2021 Annual Report
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2021 Annual Report
Stock Code:603529 Abbreviation: Aima Technology
AIMA TECHNOLOGY GROUP CO., LTD.
2021 Annual Report
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2021 Annual Report
Letter to Shareholders
Dear Shareholders:
In 1999, Ms. Duan Hua and I jointly founded Taimei Bicycle Business, former Aima Technology. Its growth
over 20 years can be described with three major phases: (1) transformation from trading to manufacture (1999-
2004), and from wholesale and retail of bicycles to production and management of bicycles; (2) transformation
from bicycle to electric vehicle (2004-2019), and from production and management of bicycles to development
and manufacture of electric two-wheel vehicles with self-owned brands; (3) transformation from R&D and
manufacture of electric two-wheel vehicle to digital and smart technological company (2019 to date).The
Company continues to promote change & transformation, and is committed to becoming the world's leading
platform-based technology company that provides green and convenient travel solutions. The year 2021 is the
first year after Aima Technology was public-listed, and is also the milestone year in its development history, and
will start the new development era of Aima Technology.
Electric two-wheel vehicle is important short-distance transportation and production tool for Chinese
residents. This industry originated, grew rapidly, and became flourishing in China. A complete industry chain has
been formed and relevant products are entering international market after two-decade’s development. In the
past year, the Company, strategically, has deeply developed the market by adhering to its strategic objective to
focus on two-wheel vehicles, expand on multi-wheel vehicles, build around travel, and continue transformation;
and also adhering to the strategic axis of “Customer-Centricity, Outstanding Products, Market Cultivation, and
Diligent Operations”. The Company has firmly progressed in the transformation to becoming a digital and smart
technological company. During last year the Company closely cooperated with its suppliers, dealers, staff and
stakeholders to build the value chain and sustainable industrial ecosystem, and jointly overcome the adverse
impact of COVID-19. Operationally, the Company has made great efforts in improvement of product power,
channel capacity and capability, brand power, technological power, productivity, operational capacity, and
achieved significant financial performance. In 2021, the Company recorded revenue of RMB 15,398,710,870.72,
representing a year-on-year increase of 19.33%, net profit of RMB 667,721,279.19, representing a year-on-year
increase of 9.49%, and the profit attributable to owners of the parent of RMB 663,998,092.90, representing a
year-on-year increase of 10.94%. As of 31 December 2021, the total assets of the Company were RMB
13,396,944,911.18, an increase of 40.16%, and the net assets attributable to owners of the parent of RMB
4,974,827,390.92, an increase of 89.17% compared with the end of last year.
Differentiation, high-end orientation, intelligence and internationalization will be the development trend of
future electric two-wheel vehicle industry. Smart technology and networking technology will become the public
technologies of the industry. The Company will monitor industry trend; catch industry opportunity; answer to
user’s demand; lead innovative development; enhance research, development and application of new
technologies, new materials and new processes; continually promote marketing, manufacture, decision-making,
management and coordination with digital and smart technologies, and achieve its overall empowerment in all
aspects.
Based on the operating performance and overall financial condition of the Company in 2021, the board of
directors has proposed the profit distribution plan and capitalization of capital reserves for the year 2021, taking
into consideration of the Company’s future business development and reasonable return to shareholders. The
Company will distribute a cash dividend of RMB 5.00 (tax included) and issue 4 shares converted by capital
reserve, for every 10 shares held by all shareholders of the Company before 30 June 2022, based on the total
share capital on the registration date. This plan has been submitted to 2021 annual general meeting for
consideration and approval.
We respect the market, respond to our customers, and reward our shareholders. The Company’s excellent
performance is the best return to shareholders, employees and the public. We insist on creating long-term value
for our shareholders, just like we uphold the belief that “Customer-Centricity”. We are so grateful of all
shareholders for the long journey we have taken together, and I thank you all for the long-lasting support and
trust! Aima Technology will cooperate with our shareholders, stick to our core business values, i.e. Customer-
Centricity, Hard-Working, Honesty & Integrity, and Openness & Innovation. We will continually develop our main
business and strive to become the leader in providing green and convenient transportation solutions for the world.
I hereby express my gratitude for the staff and management of the Company because it is the teamwork
and solidarity of everyone that drives the progress. Those areas of progress are also inseparable from the long-
term support and acceptance from our shareholders, customers and suppliers, to whom I also owed a big
appreciation!
Chairman of the Board:
April 15, 2022
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Important Notice
I. The Board of Directors (the “Board”), the Board of Supervisors, the directors, the supervisors and
senior executives of the Company warrant that there are no false representations or misleading
statements contained in, or material omissions from, this report; and jointly and severally accept full
responsibility for the truthfulness, accuracy and completeness of the information contained in this
report.
II. All members of the Board attended the Board Meeting.
III. Ernst & Young Hua Ming LLP audited and issued a standard unqualified opinion on the annual
financial statements of the Company.
IV. Zhang Jian, representative of the Company, Zheng Hui, person in charge of accounting operation,
and head of Accounting Department, make representations in respect of the truthfulness, accuracy
and completeness of the financial statements contained in the annual report.
V. Proposal for profit distribution and proposal for the capitalization of capital reserve during the
reporting period approved by the Board
Upon the audit by Ernst & Young Hua Ming LLP, the Company recorded the profit attributable to owners of
the parent of RMB 663,998,092.90, and the parent company recorded the net profit of RMB 467,275,778.15 in
2021. By 31 December 2021, the undistributed accumulated profit of the Company amounted to RMB
1,547,164,343.56. Pursuant to the resolution at the 25th meeting of the fourth session of the Board, the Company
intends to take the total shares on the registration date as the basis to execute the profit distribution and
capitalization of capital reserve in year 2021 as below:
1. The Company intends to distribute a cash dividend of RMB 5.00 (tax included) per 10 shares to all
shareholders. Based on the total share capital of 410,440,003 shares of the Company so far, the cash dividend
to be distributed as above will be RMB 205,220,001.50 in total (tax included). The cash dividend of the Company
in this year accounts for 30.91% in the net profit attributable to common shareholders of the Company. After the
profit distribution, the remaining balance of undistributed profit will be accumulated for further distribution in the
years to come.
2. The Company intends to issue 4 shares converted by capital reserve, per 10 shares to all shareholders.
Based on the total share capital of 410,440,003 shares of the Company so far, the total shares of the Company
will increase to 574,616,004 shares after this conversion (the total share capital of the Company is based on the
final registration result of China Securities Depository and Clearing Corporation Limited Shanghai Branch, in
case of the rounding differences if any).
Before the equity registration date of equity distribution, if the total equity of the Company changes due to
equity-based incentives, repurchase and cancellation of shares granted by equity-based incentives and other
matters, the Company intends to maintain the ratio of distribution and conversion unchanged, and
correspondingly adjust the amount of profit distribution and capital reserve capitalization. This matter needs to
be submitted to the 2021 annual general meeting of the Company for consideration.
VI. Risk relating to forward-looking statements
√Applicable Not applicable
The future plan, development strategy and other forward-looking statements contained in the report do not
constitute any substantive commitments to investors of the Company. Investors should be fully aware of the
relevant risks and the difference among plan, forecast and commitments, and pay attention to investment risk.
VII. Whether controlling shareholder and its affiliated parties occupy fund on a non-operating purpose
No
VIII. Whether there was any violation of regulations, decisions or procedures in relation to provisions of
external guarantees
No
IX. Whether over half of board members cannot guarantee the truthfulness, accuracy and completeness
of the annual report declared by the Company
No
X. Significant risk notice
In the reporting period, there was no significant risk with material impact on the production and management
of the Company. The Company had described in details relevant risks that may face in the course of production
and operation in the report. Please refer to Section 3, VI. (IV)Possible risks.
XI. Other
Applicable √Not applicable
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Table of Contents
Section 1 Definition
Section 2 Company Profile and Key Financial Indexes
Section 3 Discussion and Analysis of the Management
Section 4 Corporate Governance
Section 5 Environmental and Social Responsibility
Section 6 Significant Events
Section 7 Changes in Common Shares and Information about Shareholders
Section 8 Preferred Shares
Section 9 Corporate Bonds
Section 10 Financial Report
(I) Full text and Abstract of the Company’s Annual Report signed by the legal representative
of the Company and stamped by the Company;
Documents (II) Financial statements signed by the legal representative, the Financial Controller, and the
Available for head of the accounting department (accounting supervisor) and stamped by the Company;
Reference (III) The originals of all the Company’s documents and announcements disclosed on
newspapers designed by China Securities Regulatory Commission during the reporting
period.
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Section 1 Definition
I. Definition
In this report, unless otherwise stated in the context, the following terms have the following meanings:
Definition of common terms
Aima Technology /Aima
/Company/the Company /the refers to Aima Technology Group Co., LTD.
Group /Aima Group
Changxing Dingai Investment Management Partnership (Limited
Changxing Dingai refers to
Partnership)
Guangdong Aima Vehicle Technology Co., Ltd, a subsidiary of Aima
Guangdong Aima refers to
Technology
Jiangsu Aima Vehicle Technology Co., Ltd, a subsidiary of Aima
Jiangsu Aima refers to
Technology
Aima Nanfang refers to Aima Nanfang Co., Ltd., a subsidiary of Aima Technology
Tianjin Aima Vehicle Technology Co., Ltd., a subsidiary of Aima
Tianjin Aima/Tianjin Vehicle refers to
Technology
Zhejiang Aima Vehicle Technology Co., Ltd., a subsidiary of Aima
Zhejiang Aima refers to
Technology
Henan Aima refers to Henan Aima Vehicle Co., Ltd., a subsidiary of Aima Technology
Aima Sports/Tianjin Sports refers to Tianjin Aima Sports Goods Co., Ltd., a subsidiary of Aima Technology
Guangxi Aima refers to Guangxi Aima Vehicle Co., Ltd., a subsidiary of Aima Technology
Tianjin Suiwanwan Cultural Communication Co., Ltd., a subsidiary of
Tianjin Suiwanwan refers to
Aima Technology
Tianjin Jinge Industrial Design Co., Ltd., a subsidiary of Aima
Tianjin Jinge refers to
Technology
Xiaopa Electric Technology Xiaopa Electric Technology (Shanghai) Co., Ltd., a subsidiary of Aima
refers to
/Xiaopa Technology Technology
Wuxi Zhuoyue Industrial Design Co., Ltd., a subsidiary transferred by
Wuxi Zhuoyue refers to
Aima Technology in the period of report
Sichuan Aima Technology refers to Sichuan Aima Technology., Ltd., a subsidiary of Aima Technology
Tianjin Aima Share Technology Services Co., Ltd., a subsidiary of Aima
Aima Share refers to
Technology
Tianjin Xiaoma Network Technology Co., Ltd., a subsidiary of Aima
Xiaoma Network refers to
Technology
Tianjin Tianli refers to Tianjin Tianli Electric Bicycle Co., Ltd., a subsidiary of Aima Technology
Aima Technology (Chongqing) Co., Ltd., a subsidiary of Aima
Chongqing Aima refers to
Technology
Hainan Aima refers to Aima Technology (Hainan) Co., Ltd., a subsidiary of Aima Technology
Chongqing Aima Vehicle Technology Co., Ltd., a subsidiary of Aima
Chongqing Vehicle refers to
Technology
Zhejiang Technology refers to Aima Technology (Zhejiang) Co., Ltd., a subsidiary of Aima Technology
Taizhou Aima Vehicle Manufacture Co., Ltd., a subsidiary of Aima
Taizhou Aima refers to
Technology
Aima Growth Venture Capital (Ningbo) Co., Ltd., a subsidiary of Aima
Ningbo Venture Capital refers to
Technology
Shenzhen Aima Zhixing Technology Co., Ltd., a subsidiary of AIMA
Shenzhen Zhixing refers to
TECHNOLOG
Zhejiang Beisite Supply Chain Management Co., Ltd., a subsidiary of
Zhejiang Beisite refers to
Aima Technology
Lishui Aima Vehicle Technology Co., Ltd., a subsidiary of Aima
Lishui Vehicle refers to
Technology
Suoteng Technology Hong Kong Co., Ltd., a subsidiary of Aima
Suoteng Technology refers to
Technology
Tianjin Jiema Electric Technology Co., Ltd., a company in which Aima
Tianjin Jiema refers to
Technology holds shares
Zhejiang Today Sunshine New Energy Vehicle Co., Ltd., a company in
Today Sunshine refers to
which Aima Technology holds shares
Shandong Geling Electric Vehicle Co., Ltd., a company in which Aima
Shandong Geling refers to
Technology holds shares
Taizhou Jinfu Venture Capital Partnership (Limited Partnership),a
Taizhou Jinfu refers to
company in which Aima Technology holds shares
Shandong Aidebang Intelligent Technology Co., Ltd., a company in
Aidebang refers to
which Taizhou Jinfu holds shares
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Beijing Zhongzhong Travel Technology Co., Ltd., a company in which
Beijing Zhongzhong refers to
Aima Technology holds shares
CITIC Investment refers to CITIC Securities Investment Co., Ltd.
GoldStone Zhiyu Equity Investment (Hangzhou) Partnership (Limited
GoldStone Zhiyu refers to
Partnership)
GoldStone Haofeng Equity Investment (Hangzhou) Partnership
GoldStone Haofeng refers to
(Limited Partnership)
Three Gorges GoldStone (Shenzhen) Equity Investment Fund
Three Gorges GoldStone refers to
Partnership (Limited Partnership)
New National Standard refers to GB17761-2018 Safety Technical Specification for Electric Bicycle
Refers
CRSC China Securities Regulatory Commission
to
SSE refers to Shanghai Stock Exchange
Company Law refers to Company Law of the People’s Republic of China
Securities Law refers to Securities Law of the People’s Republic of China
Expressed in the Chinese currency of RMB
RMB, RMB’0000 refers to
Expressed in tens of thousands of RMB
Articles of Association refers to Articles of Tianjin Aima Technology Co., Ltd.
Reporting Period refers to January 1, 2021 to December 31, 2021
Same period of last year refers to January 1, 2020 to December 31, 2020
Electric two-wheel vehicles contain “electric bicycles” defined according
to the standard Safety Technical Specification for Electric Bicycle
Electric two-wheel vehicles refers to (GB17761-2018) and “electric moped” and “electric motorcycle” with
two wheels defined according to Technical Terms of Motorcycle and
Moped Part 1: Type of Vehicle (GB/T5359.1-2019).
“Electric moped” and “electric motorcycle” with two wheels defined
Electric two-wheel
refers to according to Technical Terms of Motorcycle and Moped Part 1: Type of
motorcycle
Vehicle (GB/T5359.1-2019).
Section 2 Company Profile and Key Financial Indexes
I. Company’s Information
Chinese name 爱玛科技集团股份有限公司
Abbreviation of Chinese name 爱玛科技
English name Aima Technology Group Co.,Ltd.
Abbreviation of English name AIMA
Legal representative Zhang Jian
II. Contact Information
Board Secretary Securities Representative
Name Wang Chunyan Li Xin, Yang Fei
22/F, Global Financial Center, No. 2 Dagu 22/F, Global Financial Center, No. 2 Dagu
Address
North Road, Heping District, Tianjin City North Road, Heping District, Tianjin City
Tel 022-5959 6888 022-5959 6888
Fax 022-5959 9570 022-5959 9570
Email amkj@aimatech.com amkj@aimatech.com
III. General Company Information
No. 5 Aima Road, South Area, Jinghai Economic Development
Registered address
Area, Tianjin City
Changes of registered address Not applicable
No. 5 Aima Road, South Area, Jinghai Economic Development
Office address
Area, Tianjin City
Zip code 301600
Website www.aimatech.com
Email amkj@aimatech.com
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IV. Information Disclosure and Place of Preparation
Media and websites where this Report is Securities Times, Securities Daily, China Securities Journal ，
disclosed Shanghai Securities News
Stock exchange website where this Report
http://www.sse.com.cn
is disclosed
Place where this Report is lodged The Securities Department of the Company
V. Stock Profile
Stock profile
Abbreviation of stock
Category of stock Stock exchange Abbreviation of stock Stock code
before change
Shanghai Stock
A share Aima Technology 603529 Not applicable
Exchange
VI. Other Relevant Information
Name Ernst & Young Hua Ming LLP
Accounting firm engaged by Office address 16/F Ernst & Young Building, Eastern Square, No. 1
the Company (domestic) Dongchangan Street, Dongcheng District, Beijing City
Signed by the Accountants Zhang Jiong, Zhang Bin
Name CITIC Securities Co., Ltd.
Office address CITIC Securities Building, No. 48 Liangmaqiao Road,
Sponsor that exercised
Chaoyang District, Beijing City
supervision over the
Company in the Reporting Name of sponsor
Luan Peiqiang, Qin Guoan
Period representative signing
Period of continual direction
June 15, 2021 to December 31, 2023
and supervision
VII. Major Accounting Data and Financial Indexes in Recent Three Years
(I) Major accounting data
In: Yuan currency: RMB
Major accounting data 2021 2020 Change (%) 2019
Revenue 15,398,710,870.72 12,904,586,099.11 19.33 10,423,830,989.66
Profit attributable to owners of the
663,998,092.90 598,524,584.35 10.94 521,528,433.85
parent
Net profit excluding non-recurring
gains or losses attributable to 616,214,620.89 513,503,070.76 20.00 509,692,003.38
owners of the parent
Net cash flows from operating
2,094,187,373.97 1,154,579,844.77 81.38 1,413,660,782.04
activities
2021 year end 2020 year end Change (%) 2019 year end
Net assets attributable to owners of
4,974,827,390.92 2,629,761,352.35 89.17 2,033,834,831.94
the parent
Total assets 13,396,944,911.18 9,558,496,657.40 40.16 7,832,809,565.53
(II) Major financial indexes
Major financial indexes 2021 2020 Change (%) 2019
Basic earnings per share (RMB/share) 1.79 1.77 1.13 1.54
Diluted earnings per share (RMB/share) 1.79 1.77 1.13 1.54
Basic earning per share excluding non-recurring gains or 1.66 1.52 9.21 1.51
losses (RMB/share)
Net return on equity, weighted average（%） 17.46 25.65 Reducing by 8.19 per cent 29.43
Net return on equity excluding non-recurring gains or losses, 16.31 22.42 Reducing by 6.11 per cent 28.86
weighted average（%）
Description of major accounting data and financial indexes of the Company within three years before the end
of the reporting period
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Applicable √Not applicable
VIII. Difference of Accounting Data under Domestic and International Accounting Standards
(I) Difference between net profits in the financial report concurrently disclosed according to international
accounting standard and accounting standard of China, and difference between net assets attributable
to owners of the parent
Applicable √Not applicable
(II)Difference between net profits in the financial report concurrently disclosed according to overseas
accounting standard and accounting standard of China, and difference between net assets attributable
to owners of the parent
Applicable √Not applicable
(III) Description of difference between overseas and domestic accounting standards:
Applicable √Not applicable
IX. Major Financial Data by Quarter in 2021
In: Yuan currency: RMB
Q1 Q2 Q3 Q4
(Jan. - Mar.) (Apr. - Jun.) (Jul. - Sep.) (Oct. -Dec.)
Revenue 3,127,600,595.24 4,184,053,599.90 5,201,040,110.24 2,886,016,565.34
Net profit attributable to owners of
151,953,448.66 161,943,817.42 263,769,668.98 86,331,157.84
the parent
Net profit excluding non-recurring
gains or losses, attributable to
142,276,620.99 157,741,453.10 249,679,534.14 66,517,012.66
owners of the parent
Net cash flows from operating
201,242,763.42 367,203,056.71 1,962,067,831.98 -436,326,278.14
activities
Description of difference between quarterly data and data of the disclosed periodical report
Applicable √Not applicable
X. Non-recurring Gains or Losses Items and Amounts
√Applicable Not applicable
In: Yuan currency: RMB
Non-recurring gains or losses 2021 2020 2019
Gains or losses from disposal of non-current assets -12,713,091.69 -8,941,375.47 -16,490,802.43
Government grants recognised in during profit or loss
(excluding those having close relationship with the Company’s
normal business, conforming to the national policies and 34,294,933.55 41,825,036.44 9,620,797.77
regulations and enjoying ongoing fixed amount or quantity
according to certain standard)
The investment costs for acquiring subsidiaries, associates
and joint ventures were less than the income generated by the
3,497,737.94
fair value of the identifiable net assets of the investee at the
time of acquiring the investment
Except for the effective hedging business related to the
ordinary business of the Company, changes in fair value of
financial assets and financial liabilities held for trading, as well
as the return on investment generated from the disposal of 9,978,187.68 12,219,498.91 4,354,681.92
financial assets and financial liabilities held for trading and
financial assets at fair value through other comprehensive
income
Net non-operating income or expenses other than the above
6,361,478.19 6,780,501.09 4,865,456.21
items
Other gain or loss in compliance with the definition of non-
22,292,050.35 61,478,357.16 13,431,773.83
recurring gain or loss
Less: Amount affected by the income tax 15,927,824.01 28,340,504.54 3,945,476.83
Total 47,783,472.01 85,021,513.59 11,836,430.47
Description on defining the non-recurring gains or losses items listed in the Explanatory Announcement No. 1
on Information Disclosure for Companies Offering Their Securities to the Public - Non-recurring gains or losses
as recurring profit and loss items
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Applicable √Not applicable
XI. Items Measured with Fair Value
√Applicable Not applicable
In: Yuan currency: RMB
Impact to the
Beginning
Name of item Ending balance Change profit or loss of
balance
current period
Financial assets at fair value
through other
194,010,599.36 49,295,422.59 -144,715,176.77
comprehensive income-
receivables financing
Financial asset held for
458,440,486.16 1,265,981,818.24 807,541,332.08 33,074,371.64
trading
Total 652,451,085.52 1,315,277,240.83 662,826,155.31 33,074,371.64
XII. Other
Applicable √Not applicable
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Section 3 Discussion and Analysis of the Management
I. Discussion and Analysis on Operation Situation
In the reporting period, with more intensive industry competition, rising cost of raw materials, and other
disadvantages, the Company focused on its core business, namely, development and manufacture of electric
two-wheel vehicles by adhering to its strategic axis of “Customer-Centricity, Outstanding Products, Market
Cultivation, and Diligent Operations”, and executing its strategic directives of transformation to digital and smart
technological company. The Company strictly implemented the annual business & operating plan; and achieved
good business results.
In the reporting period, the Company recorded revenue of RMB 15,398.71 million, representing a year-on-
year increase of 19.33%, the profit attributable to owners of the parent of RMB 664.00 million, representing a
year-on-year increase of 10.94%, and the profit excluding non-recurring gains or losses attributable to owners
of the parent of RMB 616.21 million, representing a year-on-year increase of 20.00%. The key milestones of the
Company in 2021 were described below:
(I) Improvement of product power
1. Implemented forward development idea and developed hot products
The Company's core and base is to meet user needs. To meet that goal, the Company established APDS
processes (development processes of AIMA products), which carried out product life-cycle management
covering planning, R&D, marketing, end-of-life from market, improved method and tool for scenario simulation
and investigation of users’ demand, increased relevant inputs, and enhanced success rate of new product
development. Based on the deep understanding of the current consumption demand and fashion trend, the
Company established “Hot Product Sales Improvement” project team, developed key vehicle types that could
accurately meet the demand of a category of consumers by virtue of APDS processes, and utmost enhanced
market reputation and sales of the vehicle type with the marketing methods suitable for the vehicle’s features
and psychology of the consumer group.
With implementation of APDS, the Company strictly met the keypoint requirements in user image description,
project planning, synchronous development, cost control, quality control and other processes, and ensured each
vehicle model developed as a high-quality product. In the reporting period, the development success rate of new
products of the Company was significantly improved, multiple key vehicle models became popular, and different
consumers deeply liked them, for example, Air force One aiming for technology & fashion, Nina for retro &
modern and XiaoAi for elegance & smartness, etc. In addition, introduction of APDS processes benefited
accurate planning and sales increase, and also contributed reduction of operating costs, as well as optimization
of SKU, its structure and proportional increase of new products and high-margin products in sales.
2. Carried out all-process quality control system to guarantee product quality
In R&D aspect, the Company promoted overall implementation of PLM (product life-cycle management)
system on the basis of continual upgrade and optimization of APDS development system, improved
management of quality control keypoint in the course of product development, and sufficiently guaranteed quality
of product introduced into mass production.
In procurement aspect, the Company continually optimized purchasing management system, improved
supliers qualification, scorecard, performance review, cost comparison, quality control of incoming materials,
quality improvement by suppliers, delivery schedule integration with production plan, and achieved the
management target of timely delivery, cost control and quality guarantee.
In manufacture aspect, the Company made three business breakthroughs by improvement on quality,
efficiency and logistics under the guidance of the strategy of digital and smart manufacture and in consideration
of QCD (quality, cost and delivery term) operational indicators. Especially in the production processes, the
Company established scientific and restrict keypoint quality control, and used advanced management tools such
as all-process real-time quality management system in order to achieve quality stability and consistence.
In quality control aspect, the Company executed the quality standard stricter than national standard. In the
reporting period, the Company increased and amended its internal quality standard, added more investment to
testing equipment, and obtained sufficient testing data through virtual simulation and physical testing so as to
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maintain good and stable quality. Furthermore, the Company improved quality control management efficiency
by quality control data standardization and traceability of quality problems.
3. Suffciently utilized localized marketing function overseas, understood international demand, and
developed products that meet demand of overseas users
The Company systemically analyzed the regional characteristics and consumption habits of the major
markets in the world, worked out market development plan according to concrete situation. First of all, the
Company intends to realize localization of international marketing team in respective markets. In the reporting
period, our International Business Department established Micro-Travel Business Center for overseas market,
and dispatched marketing teams in North America, Europe, Southeast Asia and other regions. They deeply
understood local major segments, and independently developed high-speed electric motorcycles, e-bikes,
electric scooters and other products according to the demand of overseas users.
(II) Improvement of channel capacity and capability
1. In the aspect of offline channels, increased quantity of terminals and improved output of single
store
The Company insisted on value integration of factory and distributor, took construction of channel as its key
point of strategy and established distribution network system with large coverage and high efficiency. We
improved the penetration and coverage of products. In terms of channel expansion, on one hand, the Company
continued the “channel sinking” strategy. The Company actively extended its channel to city communities and
areas of township, and increased numbers of retail stores; on the other hand, the Company established
scorecards and dynamic channel management system, and ensured rigorous development of its channel system
to “retain winners and retire losers” At the end of reporting period, the Company’s dealership network exceeded
2,000, and retail stores exceeded 20,000. In order to improve output of single store, the Company conducted
the empowerment training for dealer’s store managers and sales assistants both online and offline, completed
upgrade of digital and smart technology on all-channel marketing, set up digital stores and their new online retail
platform, and improved stores operations in all aspects.
2. In the aspect of online channel, multi-platform operation
The Company organized a professional e-commerce operation team, actively carried out digital marketing
and entered into e-commerce platforms, such as JD.com, Tmall.com, Suning.com and Pinduoduo.com. The
Company also sold goods through live streaming with the platforms such as Tiktok, Kuaishou, and provided
diversified, convenient and quick shopping experience by online ordering and offline delivery, together with offline
delivery and after-sales service to achieve online and offline coordinated sales.
3. Actively explored establishment of local marketing network abroad
The Company’s International Business Department actively explored international market, and established
local marketing network abroad. In the reporting period, the Company strengthened recruitment of talents for
international business and construction of functional teams.
(III) Improvement of brand power
1. Improved brand premium with multiple measures
Aima Technology has engaged in two-wheel vehicle industry for more than 20 years, and becomes the
company with great popularity and reputation in the industry. With “differentiation” and “high-end” strategy, the
Company improved its brand image and brand premium with multi-channel and all-direction strategy, in the
meantime widely met customer’s demands.
In the aspect of product development, the Company increased investment in R&D, improved product
performance and process design, improved product “quality-touch”, and accelerated brand premium by
increasing additional value of product. In the aspect of product structure, the Company reasonably designed
product categories according to consumer demand, distinguished product grades, actively controlled the
promotion of high-end products, created incentives for dealers to sell more of medium and high-end products,
reduced the proportion of low-end products in the product mix, and achieved brand upgrade. In the aspect of
upgrade of retail stores, retail stores are the major windows for brand image exhibition. In the reporting period,
the Company completed upgrade and reconstruction of stores from decoration standard, store layout, product
display and other areas. The store image reflected the theme of “technology and fashion”, improved fashion
sense and technological sense of the Company’s brands and products, and provided more comfortable shopping
experiences for our customers. In the aspect of marketing, the Company used IP making, scenario
empowerment, and embedded commercials within TV drama & entertainment to establish and strengthen
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emotional bond between its products and customers, thus end users responded and recognized the brands and
products of the Company, which in turn enhanced the “brand tone”.
In the era of “travel in low carbon way” and “competition with best customer service”, two-wheel electric
vehicle is one of the major transport tools for consumers. Aima Technology provided personalized, low-carbon,
high-end, smart products and services with multi-faceted and multi-level experiences for end-use customers,
and enhanced AIMA’s brand reputation and recognition from consumers.
2. Brand construction in the new online traffic era
The Company continually explored brand publicity strategy in the new online traffic era. In the reporting
period, the Company purchased commercial advertisements from China Central Television Network (“CCTV”)
and other top media, and high-speed railway media. It also attempted offline pilots, such as star-adoring plan
(increasing channel delivery), racing-car promotion (improving sale of new products), “spider-web movement”
(clearing inventories of obsolete products), cross-border collaboration on content streaming (low-cost marketing),
and other market promotion measures. The Company made live-stream activities on new streaming platforms
such as Tiktok, Kuaishou and Little Red Book. In addition, The Company insisted on value integration of factory
and distributor, established a professional training system, and staffed a business team to improve marketing
capacity for dealers who leveraged online streaming, including the matrix setup of live-stream for dealers.
3. Brand polishing strategy
The Company implemented brand polishing strategy for high-end differentiation, including:(1) improvement
of R&D capacity to build the foundation framework; the Company believed independent R&D capacity of core
technologies involved with cruising mileage, driving safety, smart function played an important role for high-end
development and long-term competition; (2) made the capability of product development as the basis for high-
end brand. With its great development and innovation capacity, the Company manufactured series products from
popular to high-end, developed a matrix of differentiated products by accumulating brand reputation in high-end
market; (3) carried out overall high-end marketing plan to improve brand image, including retail store image
upgrade, IP marketing, scenario empowerment, embedded commercials within TV drama & entertainment, and
etc.
（IV）Improvement of technological power
The Company fully adopted its development strategy of “transformation to technological company” and took
R&D as its major measure to improve product performance, competitive advantage and engine of long-term
growth. For this particular reason, the Company actively promoted transformation in R&D management and
implemented its project manager system; actively brought in experts and R&D employees, and optimized the
talent structure of R&D team; the Company had a stronger and more vigorous innovative R &D culture; the
Company also established Aima Central Research Institution for concentrating on research of industry core
technology, and promoting smart technology and application, including Internet of vehicles consumption software,
IOT-linked smart hardware. In the reporting period, the Company applied for 52 invention patents, 123 utility
models. The R&D achievements that have been applied included AimaOS smart driving system, new smart
lithium battery and etc. The Company intended to further working on the application of smart helmet, hub motor,
smart device and others
The Company laid down the ground work and R&D work of core technologies by focusing on user
experience and the carbon peak and neutrality targets. The Company achieved major breakthrough in large-
power and efficient motor and other fields, established advanced end-to-end development processes, and
significantly improved whole vehicle experience by process and standard optimization under user’s demand
direction.
The cost control team specially established by the Company effectively reduced production costs in the
condition of guaranteeing product quality by improving vehicle body structure design, introducing new materials
and new technologies and new processes, and improving existing materials and production processes. In the
reporting period, the Company used PP baking & painting and other cost control measures to improve cost-
related competitive advantage of the Company.
Besides the above R&D items that can be applied in a short term, the Company also prepared for future
development and made technology reserves through research and development. The Company carried out
development and application researches with a few of universities and research institutions on storage battery
under new energy framework.
(V) Improvement of productivity
1. Manufacture and operation management and cost control
Under three core driving factors including ABS (Aima lean operation system) methodology, talent cultivation
and benchmark setup, the Company raised Aima lean production level, improved the “Improvement Week”
management mechanism, and established performance and contribution-oriented incentive mechanism. In daily
work, the Company implemented the procedures of daily monitoring, continuous improvement, incentivized
demonstration, and coded enhancement. The Company took measures to implement overall budget and annual
operating plan, optimize production capacity with material supply both in busy and off seasons, improve inventory
turnover rate with reduction of long-turnover materials, and control the cost from manufacture, materials and
quality assurance.
2. Integration of sales and production, value chain integration and use of more information
technologies in manufacture
The Company completed construction of basic framework of information system in all processes of
manufacture, upgrade of Supplier Resources Management (“SRM”) system and requirement of data transfer
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between manufacture system and SRM. Based on the requirement of integration of sales and production, the
Company researched various information technology solutions and designed implementation plans; the
Company successfully pushed out online APS (Advanced Programming System), MES (Manufacture Execution
System), And on (abnormality management system), QMS (quality management system) and EAM (Enterprise
Asset Management System). The Company achieved seamless connection between manufacture system and
marketing system, integrated digital value chain, smart management and decision-making system, and formed
industry-leading digital and smart standards and best practices. The Company also achieved perfect connection
among marketing plan, production management, purchasing management, storage and transportation
management, plan releasing, order scheduling, production arrangement, production delivery and material control
in the whole process, and resulted in the improvement of manufacture efficiency and product quality.
3. Lean production with vehicle manufacture platform
Based on the opportunities of digital and smart management system and APDS process, the Company
established platform, module and data system for new vehicle planning, development, delivery and sales, thus
made a great progress in flexibility of vehicle development, development efficiency and cost control. It in turn
benefited the responsiveness to consumer demand and market opportunity. In current reporting period, the R&D
efficiency of the Company improved by 20%.
(VI) Improvement of operation capacity
1. Human resources
The Company appreciated human capital under the talent management idea of “showing respect for our
staff, improving their competence and making them happy”. In the aspect of talent team construction, the
Company cultivated the “talent forest” idea by external recruitment and internal training to attract experienced
R&D talents and formed “talent forest”; it also conducted on-campus recruitment for graduating students from
universities and colleges as its talent reserve. The Company focused on talent cultivation, talent development
and manager-trainee program, and established qualification system for professionals and technicians. The
Company set up training platform (Aida Course) and released “navigation courses” and “initiation courses” for
top management and low-level managers. In 2021 the platform provided innovation TRIZ courses, cross-culture
courses, courses for gold medal technicians, operator training courses, courses for gold medal team leaders and
courses for craftsmen. In the aspect of remuneration and incentive, the Company continuously optimized the
system based on “Fighter Culture” and performance management result. The Company provided equity incentive
by issuing restrictive stocks to key members of employees for their personal growth and bondage with the
Company.
2. Digital and smart transformation of finance
The Company linked front-end transactions and back-end finance with smart share system in order to realize
internal and external connection. All internal business lines and external transaction records were connected; all
transactions with external parties were recorded. It significantly improved operation efficiency, quickly responded
to customer’s demand, and integrated deep combination of finance, business and tax.
The Company sets up data platform between business and management, removed silos between business
systems, and laid foundations for data storage, data management, data use and other digital decision-makings.
With the implementation of financial share center, the Company established data platform to integrate its internal
and external resources, so as to achieve the following developments: from business end data gathering to
financial end processing, overall online analysis, real-time interconnection and automatic and digital
development of finance. Besides, the Company achieved cash flow forecast, income forecast, costs and
expenses forecast; made business and financial data connected; implemented strategic target; and provided
timely, compliant and stable business support for the Company.
The Company established management accounting and data analysis system to provide digital basis for
effective decision-making by management. With implementation of digital and smart financial system, the
Company systemically improved efficiency and effectiveness in overall budget management, production cost
management, capital management, and interpreted the operation result with detailed and accurate financial data
and information.
3. Optimization of service system
The Company optimized service system, standardized service content, service process and service
timeliness on the digital and smart service platform, and fully improved service quality and consumer experience.
The Company also expanded professional service stores and service coverage scope (including scope of region
and brand) to meeting user’s demand.
In addition, based on the demand from our customers on the battery charging and replacement demand
with safety and convenience, the Company replied upon its long-term channels, capitals and other resources,
and explored its service offering on its comprehensive energy supply system.
4. Digital and smart overall empowerment
In the reporting period, the Company continuously invested in the digital and smart field, implemented “361
Digital and Smart Engineering” strategy, and set up multi-layer and multi-field digital and smart management
system with advanced management idea and digital and smart technologies. To empower various business
fields and improve operation efficiency of whole value chain, the Company achieved in milestones across product
development, production process, marketing upgrade, service provision, financial management and other areas.
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II. Company’s Industry in The Reporting Period
The first electric two-wheel vehicle appeared in China in 1995. After rapid development for more than 20
years, electric two-wheel vehicle became the important transportation and production tools of short-distance
travel for Chinese residents.
Before implementation of Chinese New National Standard in 2019, the complete industrial eco-system and
broad market condition were formed. The cumulative ownership of electric bicycles in the society has exceeded
250 million sets, and annual average of production and sales quantity maintained some 35 million sets for years,
and market competition was intensive and industrial concentration degree was low.
The Chinese New National Standard, released in 2019, regulated research and development, production,
sale, distribution and use of electric bicycles, and brought industry new opportunities. Meanwhile, local
governments set up different transition periods for implementation of New National Standard. According to the
actual situation, it was estimated that the transition period would expire at the end of 2024. After the transition
period, the vehicle models, which didn’t meet the requirements of New National Standard, would not be allowed
to run on roads. The subsequent replacement demand would bring new growth point for market volume. With
the compound demands on both organic growth and replacement, the industry entered a new rapid growth period.
In this phase, market shares would be further taken by large-scale, leading and brand enterprises, the industry
would accelerate optimization, and the degree of market concentration would increase.
Under the macroscopic background of economy transformation, information technology, the carbon peak
and neutrality targets and COVID-19 impact, the consumer electric two-wheel vehicles market showed three
trends:(1) consumption upgrades and personalized consumer demand; (2) environmental protection
awareness by consumers;(3) consumer’s pursuit of convenience and smart technology. In addition, due to the
increased demand from international markets, electric two-wheel industry, originated, developed and flourished
in China, would further penetrate into overseas markets and accelerate its internationalization within the
industry. For this reason, the industry would be trending toward differentiation, high-end orientation,
intelligence and internationalization. After the transition period of the Chinese New National Standard expires,
and the industry would enter a new round of rapid development period, driven by the deep understanding of
consumer demand and product customization, continuous implementation of Internet technologies, smart
technologies and new energy technologies in electric two-wheel vehicle industry, and the expansion and
further growth of global business.
Form Development Stages of Electric Two-wheel Vehicle Industry
Industry
Industry features and
development Period Development characteristics
structure
stage
From 1995 to
Many manufacturers, serious
Generation and New National Rapid development from zero
product homogenization and
rapid development Standard taking
fragmented market share
effect
From New Market volume increasing Many small enterprises withdraw
National Regulatory system improved competition, the market share of
Transition to
Standard taking Industry order meeting head enterprises is being
orderly
effect to expiry specification improved, and resources are
development
of transition Market concentration degree concentrated to head
period improved enterprises
From mainly relying on the
local the market to
From expiry of
combination of local market
Future and transition Industry development shows
and overseas market
transformed period of New differential, high-end, smart and
The industry is transformed
development National international features
from manufacture and sale of
Standard
vehicles to service provision
based on users
III. Description of The Company’s Businesses in The Reporting Period
(I) Main business of the Company
The Company was established in 1999 and entered electric two-wheel vehicle industry in 2004, and it was
one of the earliest manufacturing enterprises of electric two-wheel vehicles in China. The main business of the
Company is development, production and sale of electric bicycle, electric moped and electric motorcycle. With
development for years, the Company has high market share and is one of leading enterprises in the electric two-
wheel vehicle industry.
(II) Major products of the Company
1. Electric two-wheel vehicles
(1) Classification of products
Electric two-wheel motorcycle
Classification Electric bicycle
Electric moped Electric motorcycle
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Model
Nature Non-motor vehicle Motor vehicle Motor vehicle
Pedal riding
Compulsory requirement None None
ability
Highest ≤25km/h ≤50km/h ＞50km/h
velocity
Whole mass Shall not exceed 55kg May exceed 55kg May exceed 55kg
Voltage of ≤48V No restriction No restriction
battery
Production With production
None With production qualification
qualification qualification
3C certification and
3C certification and
catalogue
Product catalogue announcement of
3C certification announcement of the
qualification the Ministry of Industry and
Ministry of Industry and
Information Technology
Information Technology
Riding Motorcycle driver’s
None Motorcycle driver’s license
qualification license
(2) “Engine MAX” series products
In January 2021, the high-end series products of the Company were introduced in the market, the energy
control system installed on the series was independently developed by the Company for electric two-wheel
energy management system, and its core were SDS smart power system and CES braking energy recovery
system independently developed by the Company and granted with invention patent. The energy management
system can effectively integrate and significantly improve operation effect of efficient energy accumulation motor,
anti-aging graphene battery, low-rolling resistance tire, whole vehicle LED energy saving lamp component and
other high-quality accessories, and the technical parameters in energy density, energy depletion and energy
recovery had remarkable improvement. In the existing energy framework, energy usage of electric two-wheel
vehicle was optimized and the cruising mileage of vehicle and the service life of battery were improved.
The engine series products had been verified for long term in the market in the aspect of cruising mileage,
and were widely recognized by customers. Their sales rapidly increased after the product was launched, and
the total sales of the Company in 2021 were 1,849,500 sets, 21.33% of total sales volume. The gross profit level
of the series was higher than the average gross profit level of the Company. The Company will continually take
the engine series products as key products, revamp and upgrade them, optimize their performance by deep
research and further strengthen promotion so as to improve the market penetration rate of the series products.
2. Electric tricycle
The electric tricycles in early days were mainly used for short-distance freight transport, and their consumers
were residents in rural area and towns. Their functional configuration and appearance design were mainly for
meeting freight demand, and their function was simple and vehicle models were few. In recent years, with gradual
implementation of urbanization, continuous improvement of people’s living standard, rise of economy of middle-
aged and old people, and other consumers, the demand to leisure and manned function of electric tricycle was
increasing. For this reason, the Company developed electric tricycle for leisure purpose, electric tricycle with
canopy, and electric tricycle for freight. The electric tricycle for leisure purpose was more suitable for the following
demands of young mothers, middle-aged and old people: leisure travel, pickup of children from and to school,
and relevant consumers liked it very much; the electric tricycle with canopy had the function of sheltering from
wind and rain, and it referred to the manufacture and assembly technology of car in the aspects of whole vehicle
design and manufacture process, and this product had good function and fashion features, and greatly met the
demand of comfortable short-distance travel; the electric tricycle for freight was added fashionable elements on
the basis of durability, and consumers highly accepted it. In the reporting period, the operating income of electric
tricycles of the Company increased by 94.29% year over year.
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In addition, the Company has also launched bicycles, e-bikes, electric scooters and other products, all of
them constitute green traffic tool product system for short and medium distance travel.
(III) Operation model
The Company mainly used distribution model. Under this distribution model, the Company had direct
business connections with dealers, who purchased the Company’s products without right of return and re-sell
them to final consumers. Dealers were the direct customers and also important partners of the Company who
sell products, provide services and exhibit brand image to consumers. The Company had established a complete
and reasonable management system of dealers, and had formulated detailed rules on admittance, management,
training, appraisal and evaluation of dealers. After the Company established cooperative relationship with
dealers, the Company provided real-time training to dealers according to management standard of dealers,
coordinated dealers in sales planning, market promotion and after-sale service, so as to improve satisfaction of
customers and market position of the Company. The Company generally delivered goods after receiving
payment, and credit sale was in special situation. Customers generally paid for goods by bank transfer, banker’s
acceptance bill, letter of credit and etc.
IV. Analysis on Core Competitive Advantages in The Reporting Period
√Applicable Not applicable
(I) Product development and innovation based on “technology and fashion”
After development of electric two-wheel vehicles for more than 20 years, homogeneous phenomenon of
product was highly general. The Company insisted on “technology and fashion” and took R&D and product
innovation as major measures for improving its product competition and realizing long-term development. Based
on the demand of users, the Company continuously explored introduction and application of new technologies
and new materials, improved the existing production technologies and processes, enhanced performance and
additional value of product and acquired leading technological capacity and productivity as guarantee for long-
term development of the Company. Meanwhile, the Company was outstanding in fashion innovation, and the
Company’s products were always the fashion wind vane in vehicle body modeling, paint texture, color matching
and other aspects, and owned diversified product development innovation capacity. The Company can provide
multiple vehicle models and met the requirements of different consumers to safe riding, fashion and personality.
The Company had powerful R&D capacity. By December 31, 2021, the Company owned 13 invention patents,
301 utility model patents and 903 design patents. Many of subsidiaries under the Company had obtained
certification of New & Hi-tech Enterprise.
In the aspect of R&D talents, with accumulation for years, the Company owned a research, development
and design team with high professional quality, strong development capacity and great industrial influence. Some
renowned design companies provided R&D and design support as long-term exclusive strategic partners of the
Company.
In the field of fashion design, the Company cooperated with China Fashion Color Association (the authority
on color fashion of China) to establish an electric vehicle fashion color R&D base, a leader in the industry, and
had acquired various original design achievements including Mai Mini, ICOOL. In addition, the innovative vehicle
models independently developed by the Company had received various honors, such as Annual Innovative
Vehicle Model, Annual Fashion Vehicle Model issued by Annual Motorcycle Model Selection Organizing
Committee of China, MUSE Golden Medal issued by International Design Awards (IAA).
In addition, the Company fully utilized its strength in R&D and technology to promote standardization of
industrial technologies. It had organized to compile or participate in drafting 12 national standards and industrial
standards, including Technical Requirements of Charger in Electric Bicycle, Motor Performance Testing Methods
for Electric Motorcycle and Electric Moped, Safety Requirements of Electric Motorcycle and Electric Moped.
Jiangsu AIMA ever obtained the honor title of “Leading Unit in Industrial Standardization” issued by Electric
Bicycle Technical Sub-committee of All-China Bicycle Standardization Technical Committee.
(II) Reliable production technologies, leading product quality
The Company always considered technical R&D, stable quality as its development foundation, pursued
excellence in the course of production and guaranteed output of high-quality products. The Company used first-
class electrophoretic technique for manufacture of vehicle frame. Internal and external double-layer paint
spraying provided good packaging of internal frame structure and significantly improved corrosion resistance
and durability; acquired advanced CNC pipe bending machines and robot welding machine to guarantee vehicle
frame cutting and wedding quality and appearance quality. In the aspect of painting, the Company established
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dust-free painting workshop to guarantee painting quality, and took cathode electrophoretic technology to
strengthen anti-rusting performance of products; used high-quality paint materials to guarantee anti-aging, anti-
corrosive performance of products and maintained products cosmetically beautiful. In the aspect of other core
components, the Company cooperated with brand suppliers leading in the industry to ensure stability of operating
system of electric two-wheel vehicles. In the aspect of manufacture and inspection of whole vehicle, the
Company carried out lean production mode to improve profit and guarantee quality with five-inspection system
including first inspection, self-inspection, mutual inspection, sampling and special inspection.
The Company had established fully equipped testing laboratories in the production bases situated in Tianjin,
Jiangsu, Guangdong and etc. The Company owned 400 sets of testing devices and equipment, and employed
about 30 technicians who had passed ISO/IEC training and obtained qualification certificates. The Company had
set up 7 professional laboratories, including whole vehicle performance laboratory, environment laboratory,
material analysis laboratory, electronic and electric laboratory, mechanic performance laboratory, core
technology laboratory and intelligent laboratory, which owned various testing equipment and powerful technical
capacity, and had the testing capacities to electric two-wheel vehicles, electric tricycles and some low-speed
electric quadricycle. The Testing Technology Center of the Company (Wuxi Base) had received the certificate
from China National Accreditation Service for Conformity Assessment (CNAS). With reference to the product
development testing model used in automobile industry, the Company worked out the testing processes highly
consistent with APDS product development processes and the Company’s production system, and carried out
overall testing to parts, system and whole vehicle to ensure product quality.
The Company’s products had been sold in the market for years, and the Company had received high-level
accreditation and various honors in the aspect of quality, for example, “All-China Quality Benchmark Enterprise”
issued by China Association for Quality Inspection, AAA Enterprise Credit Rating Certificate issued by China
Urban Transportation Association.
(III) Sales channel system with large coverage and high efficiency
In the aspect of offline channel, the Company actively implemented the brand strategy focusing at
consumption demand, grasped the development opportunity of electric two-wheel vehicle market, fully utilized
its brand influence to develop dealer channel and formed an offline sales network over China. The Company
had achieved economy of scale and rapid growth accordingly. The Company insisted on value integration of
factory and dealer, continually improved management rules and system of dealers and attracted excellent
dealers that have large share in district/county markets to establish long-term strategic cooperation relationship
with the Company. After accumulation for years, the Company had established flat marketing channels in unit of
district/county and demonstrated its advantage of wide coverage and high efficiency.
In the aspect of online channel, the Company had set up online channel system on multiple platforms,
including Tmall, JD and other major e-commerce platforms, as well as Tiktok, Small Red Book, Kuaishou and
other emerging platforms. The Company further provided overall and all-time shopping experience and
convenient after-sale services to online customers by virtue of its digital and smart empowerment platform and
nationwide service network. In addition, by coordination with the marketing measures of the Company, the online
channels played an important role as traffic driver and in new customer acquisition.
(IV) Service network with high quality, high efficiency and high coverage
In the aspect of service network, based on long-term operation, the Company had established a perfect
service network, consisting of nationwide service shops, efficient work order distribution system, industrial
leading service effect and service content standards, efficient part warehousing and distribution system,
examination system based on service satisfaction indicators and professional service team. The outstanding and
efficient services of the Company were widely praised by customers and highly accepted by regulatory bodies.
All-China Goods After-sale Service Rating Authentication Reviewing Committee determined the Company
reaching five-star level in technical support, maintenance service and etc., China Customer Connection Center
granted the Company “Customer’s Satisfaction Award”; the Company also participated in drafting the industrial
self-regulatory service specification After-sale Service Specification for Electric Bicycle, organized to draft After-
sale Service Time Effect Specification for Electric Bicycle, which led the standardized development of services
in the industry.
(V) Brand influence leading in the industry
The Company took “Technology and Fashion” as its brand strategy and “love, and act at once” as its brand
slogan to carry out brand construction in China on the basis of fashionable and high-quality products. With great
efforts for years, the brand AIMA received general acceptance and high reputation, and its brand influence led
ahead in the industry.
The qualification and honors that the Company had acquired in brand construction included authentication
of Famous Trademark of China, recognized as the 1st position for ten consecutive years on the list of China
brand influence indexes (C-BPI) in the category of electric bicycles issued by Chnbrand.
(VI) Production and sales volume leading in the industry, with significant scale advantage and cost
advantage
The Company became one of leading enterprises in the electric two-wheel vehicle industry of China due to
good quality, large distribution system and high brand reputation. Larger scale made the Company to keep
closely cooperative relationship with dealers and suppliers. The Company had great bargaining power when it
made concentrated procurement to suppliers, beneficial for maintaining stable price of raw materials and
obtaining beneficial payment period; while selling goods to dealers, the Company generally used the mode of
delivering goods after receipt of payment, and thus possessed very stable cash flow. Furthermore, larger
production scale can allow the Company to realize lower cost per single vehicle in production and manufacture.
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With the production scale and sales volume increased, the Company had sufficient resources and development
strength to improve production processes and technologies, product performance and production efficiency, and
this would further enhance scale effect and cost competition advantage. The leading production scale made the
Company to achieve efficiency and cost advantage that its competitors were incomparable in market competition.
(VII) Digital and smart management system with full empowerment and efficiency improvement
The Company had started and implemented the “361 digital and smart engineering” strategy to lead digital
transformation of the Company. The Company had also built up a digital and smart management system highly
consistent with organizational structure and business procedure, and empowered Company in various business
fields. The Company had established the digital marketing system based on retail and covering all business
processes of marketing, and achieved smooth connection of enterprise marketing system to shop terminals of
dealers, so that the coordinated business of dealers can be made online and thus it significantly improved
efficiency. Meanwhile, the system data can guide ordering plan of dealers and internal production plan of the
Company, and improved accuracy of sales and production plan; the Company had constructed private flow pool
of AIMA, and laid foundation for the Company to perform user operation. The Company carried out
transformation of intelligent manufacturing, analyzed business plan execution situation through data perspective,
and realized data-feeding lean manufacturing. The Company promoted supply and sale integration by smooth
system connection concurrently, which remarkably enhanced efficiency. The Company empowered
management, realized integration of business and finance, inspected execution of decision with operation data
and realizes consistent data collection standards and decision-making based on data. With accurate operation,
forward development, lean manufacture, and accurate data supporting operation decision-making, the Company
gave quick response and agile treatment to market demand, accurately understood and promptly met users’
demand, and reduced costs and improved benefit by refinement operation. The Company had initially realized
overall information technology use, digital operation, smart decision-making and automatic execution.
(VIII) Talent team with high loyalty and professional level
The Company upheld the talent management idea of “showing respect for our staff, improving their
competence and making them happy”, established the human resource management system based on talent
development and human capital appreciation, including attractive remuneration system, smooth occupational
promotion channel, professional talent training system, good employee welfare system and inclusive and
creative diversified business culture, so that the Company became the happy platform of contributors, improved
professional capacity and quality of staff and cultivated the talent team with high loyalty and professional level,
and made them happier.
V. Major Operation Situation in The Reporting Period
In the reporting period, the Company recorded revenue of RMB15,398.71 million, representing a year-on-
year increase of 19.33%, the profit attributable to owners of the parent of RMB663.00 million, representing a
year-on-year increase of 10.94%, and the profit excluding non-recurring gains or losses attributable to owners
of the parent of RMB616.21 million, representing a year-on-year increase of 20.00%.The main reasons were
that the Company continuously focused on its core business, i.e. R&D and manufacture of electric two-wheel
vehicles, executed annual business and operating plan, continuously improved product power, channel capacity
and capability, brand power, technological power, productivity, operation capacity, and achieved good business
operations in 2021.
(I) Analysis on main business
1. Analysis on change of relevant items in income statement and cash flow statement
In: Yuan currency: RMB
Items Amount of the current
Amount of last year Change (%)
year
Revenue 15,398,710,870.72 12,904,586,099.11 19.33
Cost of sales 13,593,606,029.56 11,431,221,982.27 18.92
Selling expenses 550,605,290.98 398,784,858.24 38.07
Administrative expenses 316,594,598.36 265,551,124.65 19.22
Financial expenses -261,133,668.57 -135,095,939.12 N/A
R&D expenses 404,084,127.91 239,440,162.52 68.76
Net cash flows from operating
2,094,187,373.97 1,154,579,844.77 81.38
activities
Net cash flows from investing
-2,024,141,754.57 -560,501,674.27 N/A
activities
Net cash flows from financing
1,797,930,958.66 370,512,394.73 385.26
activities
The change in revenue was due to that the Company achieved substantial sales growth by focusing on its main
business and continually utilizing its brand influence strength.
The change in cost of sales was due to the business expansion, resulting in an increase of the costs accordingly.
The change in selling expenses was due to the enlarged sales team and more marketing investment.
The change in administrative expenses was mainly due to the increased spending of the professional
consultation services in the reporting period.
The change in financial expenses was mainly due to the increased interest income generated from the larger
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scale of the currency funds.
The change in R&D expenses was due to that the Company expanded its R&D team and enhanced the R&D
investment.
The change in net cash flows from operating activities was mainly due to that the sales growth led to more cash
received from operating activities compared with last year.
The change in net cash flows from investing activities was mainly due to the difference of low-risk financial
products purchased and redeemed by the Company in the reporting period reduced than in last year.
The change in net cash flows from financing activities was mainly due to the Company raised capital by IPO in
the reporting period.
Detailed description of major changes of the Company in business type, profit makeup or profit source
Applicable √Not applicable
2. Analysis on revenue and cost of sales
√Applicable Not applicable
In the reporting period, the Company recorded revenue of RMB 15,398.71 million, representing a year-on-
year increase of 19.33%, and cost of sales of RMB 13,593.61 million, representing a year-on-year increase of
18.92%. The gross profit rate of the Company was 11.72%, as the Company achieved performance growth by
focusing on its main business, and continually utilizing its brand influence strength.
(1). Sales information of principal operation by industry, products, regions and sales models
In: Yuan currency: RMB
Information of main business by industries
Change of
Gross Change of cost of Change of gross
Based on profit revenue sales profit margin
Revenue Cost of sales
industry margin compared with compared compared with last
（%） last year （%） with last year（%）
year（%）
Railway, ship,
aerospace and
other transport Increased by 0.27
15,264,913,767.38 13,491,387,679.85 11.62 19.36 18.99
equipment percentage points
manufacture
industries
Information of principal operation by products
Change of
Gross Change of cost of Change of gross
profit revenue sales profit margin
Product Revenue Cost of sales margin compared with compared compared with last
（%） last year （%） with last year（%）
year（%）
Electric Increased by 0.61
7,159,540,365.16 6,336,213,579.94 11.50 42.71 41.74
bicycles percentage points
Electric two-
Increased by 0.00
wheel 6,765,559,065.06 5,996,024,990.91 11.37 0.40 0.39
percentage points
motorcycles
Electric Increased by 0.18
654,919,354.10 566,701,721.63 13.47 94.29 93.89
tricycles percentage points
Bicycles Decreased by 5.91
48,285,658.44 45,487,358.07 5.80 -71.91 -70.03
percentage points
Sale of parts Increased by 0.08
636,609,324.62 546,960,029.30 14.08 21.41 21.30
percentage points
Information of principal operation by regions
Change of
Gross Change of cost of Change of gross
profit revenue sales profit margin
Region Revenue Cost of sales
margin compared with compared compared with last
（%） last year （%） with last year（%）
year（%）
Northeast Decreased by 0.63
376,427,355.52 338,885,915.65 9.97 30.64 31.57
China percentage points
East China Decreased by 0.18
5,741,328,245.71 5,049,164,899.73 12.06 22.17 22.41
percentage points
North China Increased by 1.04
2,008,529,559.99 1,760,220,802.16 12.36 28.34 26.84
percentage points
Central China 2,446,408,196.31 2,174,030,088.38 11.13 16.72 18.48 Decreased by 1.32
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2021 Annual Report
percentage points
South China Increased by 2.01
2,284,528,382.10 2,005,468,926.39 12.22 26.36 23.53
percentage points
Southwest Increased by 8.97
1,030,223,320.97 925,861,130.70 10.13 29.26 17.52
China percentage points
Northwest Decreased by 0.30
574,744,320.48 498,506,211.31 13.26 -4.85 -4.53
China percentage points
Overseas Decreased by 5.37
172,450,122.38 139,944,395.95 18.85 68.14 80.05
percentage points
Undetermined Increased by 4.91
630,274,263.92 599,305,309.58 4.91 -23.94 -16.96
region percentage points
Information of principal operation by sales models
Change of
Gross Change of cost of Change of gross
profit revenue sales profit margin
Sales model Revenue Cost of sales margin compared with compared compared with last
（%） last year （%） with last year（%）
year（%）
Distribution Increased by 0.74
14,261,757,463.55 12,573,276,668.47 11.84 21.17 20.15
percentage points
Direct sales Decreased by 5.76
1,003,156,303.83 918,111,011.38 8.48 -1.52 5.10
percentage points
Description of principal operation by industry, products, regions, sales models
1. Description of revenue and cost of sales of principal operation by industry: in the reporting period, the
Company focused on its main business, continually utilized its brand strength and obtained performance growth.
Furthermore, the Company strengthened new product development efforts, optimized product structure and
increased the ratio of the newly developed and high-profit products in sale.
2. Description of sales of principal operation by products: in the reporting period, as the main products of
the Company, the electric bicycles achieved sound sales performance, and the demand of electric tricycles also
showed the trend of rapid increase.
3. Description of sales of principal operation by regions: The Company actively developed its sales channels,
and consequently caused the steady growth in the major sales regions.
4. Description of sales of principal operation by sales models: the revenue from direct sales model reduced
than last year, because of the decreased orders of sharing bicycles.
(2). Analysis on production and sales volumes
√Applicable Not applicable
Change of Change of Change
Production Sales production sales of
Main product Unit Inventory
volume volume volume volume inventory
（%） （%） （%）
Electric bicycles Set 5,112,906 5,018,823 258,510 30 29 82
Electric two-wheel Set 3,337,703 3,331,682 92,057 -4 -6 6
motorcycles
Electric tricycles Set 211,873 204,510 12,307 61 54 143
Bicycles Set 112,756 115,352 2,709 -69 -71 -48
Total Set 8,775,238 8,670,367 365,583 11 9 53
Description of production and sales volumes
At the end of the reporting period, the inventory level of the Company remained stable, with 7-15 turnover
days, according to the flexible adjustment based on the purchase order obtained.
(3). Performance situation of major purchasing contracts, major sales contracts
Applicable √Not applicable
(4). Cost analysis form
In: RMB
Information based on industry
Ratio in Ratio in
Change in
Cost Consumed in current total cost total cost in
Industry Consumed in last year consumption
components year in current last year
(%)
year (%) (%)
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2021 Annual Report
Railway, Direct
12,835,977,562.81 95.14 10,700,510,285.79 94.38 19.96
ship, materials
aerospace
and other Direct labor
transport and
655,410,117.04 4.86 637,314,854.14 5.62 2.84
equipment manufacture
manufacture expenses
industries
Total 13,491,387,679.85 100.00 11,337,825,139.93 100.00 18.99
Information based on product
Ratio in Ratio in
Cost Change in
total cost total cost in
structure Consumed in current Consumed in last year consumption
Product in current last year
item year (%)
year (%) (%)
Direct
5,936,021,994.54 44.00 4,121,418,810.02 36.35 44.03
materials
Direct labor
Electric
and
bicycle 400,191,585.40 2.97 338,136,932.96 2.98 18.35
manufacture
expenses
Sub-total 6,336,213,579.94 46.97 4,459,555,742.98 39.33 42.08
Direct
5,796,324,564.55 42.96 5,739,523,116.88 50.62 0.99
materials
Electric two- Direct labor
wheel and
199,700,426.37 1.48 243,773,225.48 2.15 -18.08
motorcycle manufacture
expenses
Sub-total 5,996,024,990.92 44.44 5,983,296,342.36 52.77 0.21
Direct
515,830,075.38 3.82 258,126,853.58 2.28 99.84
materials
Direct labor
Electric
and
tricycle 50,871,646.25 0.38 34,158,822.96 0.30 48.93
manufacture
expenses
Sub-total 566,701,721.63 4.20 292,285,676.54 2.58 93.89
Direct
40,840,899.05 0.30 130,521,149.01 1.15 -68.71
materials
Direct labor
Bicycle and
4,646,459.02 0.03 21,245,872.73 0.19 -78.13
manufacture
expenses
Sub-total 45,487,358.07 0.34 151,767,021.74 1.34 -70.03
Sale of parts Direct 546,960,029.29 4.05 450,920,356.31 3.98 21.30
materials
Total 13,491,387,679.85 100.00 11,337,825,139.93 100.00 18.99
Description of other situations in cost analysis
In the reporting period, as affected by price rise of bulk raw materials, the costs of main raw materials
showed rising trend, while the overall cost structure of the Company was basically steady.
(5). Equity change of major subsidiaries in the reporting period caused change of consolidation scope
Applicable √Not applicable
(6). Major changes of the Company about business, product or service in the reporting period or
relevant adjustment situation
Applicable √Not applicable
(7). Major customers and major suppliers
A. Information of major customers of the Company
The total sales amount to the top five customers was RMB1,043.04 million, accounting for 6.83% of the annual
sales amount. Among the sales to the top five customers, the amount of sales to the related parties was nil,
accounting for 0% of the annual sales amount.
In the reporting period, the circumstance that sales ratio to single customer exceeded 50% of total amount,
there were new customers in top five customers or it seriously relied on minority customers
Applicable √Not applicable
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2021 Annual Report
B. Information of major suppliers of the Company
The total purchasing amount from the top five suppliers was RMB 4,399.14 million, accounting for 32.88% of
the annual purchasing amount. Among the purchase from the top five suppliers, the amount of purchase from
the related parties was nil, accounting for 0% of the annual purchases.
In the reporting period, the circumstance that purchasing ratio from single supplier exceeded 50% of total
amount, there were new suppliers in top five suppliers or it seriously relied on minority suppliers
Applicable √Not applicable
3. Expenses
√Applicable Not applicable
In: RMB
Expense item Current year Prior year Change（%） Description of change reasons
Selling The enlarged sales team and more
550,605,290.98 398,784,858.24 38.07
expenses marketing investment
The increased spending of the
Administrative
316,594,598.36 265,551,124.65 19.22 professional consultation services in
expenses
the reporting period
The increased interest income
Financial
-261,133,668.57 -135,095,939.12 N/A generated from the larger scale of the
expenses
currency funds
R&D The Company expanded its R&D team
404,084,127.91 239,440,162.52 68.76
expenses and enhanced the R&D investment
4. Research and development input
(1).R&D input form
√Applicable Not applicable
In: RMB
Research and development input expensed 404,084,127.91
in current period
Research and development input 0
capitalized in current period
Total of research and development input 404,084,127.91
Ratio of total R&D input in operating income 2.62
(%)
Ratio of capitalization of R&D input（%） 0
(2).Information of R&D personnel
√Applicable Not applicable
Quantity of R&D personnel of the Company 701
Ratio of R&D personnel in staff of the Company（%） 9.62
Educational structure of R&D personnel
Category of educational structure People in educational structure
Doctorate 3
Master degree 24
University 304
Junior college 223
High school and below 147
Age structure of R&D personnel
Category of age structure People in age structure
Below 30 (exclusive) 241
30-40 (inclusive 30, exclusive 40) 377
40-50 (inclusive 40, exclusive 50) 67
50-60 (inclusive 50, exclusive 60) 15
Above 60 1
(3).Description of situation
Applicable √Not applicable
(4).Reasons of major change about R&D personnel structure and impact on future development of the
20 / 187
2021 Annual Report
Company
Applicable √Not applicable
5. Cash flows
√Applicable Not applicable
In: RMB
Change
Cash flow item Current year Prior year Description of change reasons
（%）
The sales growth led to more
Net cash flows from cash received from operating
2,094,187,373.97 1,154,579,844.77 81.38
operating activities activities compared with last
year
The difference of low-risk
financial products purchased
Net cash flows from
-2,024,141,754.57 -560,501,674.27 N/A and redeemed by the Company
investing activities
in the reporting period reduced
than in last year.
Net cash flows from The Company raised capital by
1,797,930,958.66 370,512,394.73 385.26
financing activities IPO in the reporting period.
(II) Description of major changes of project caused by non-main business
Applicable √Not applicable
(III) Analysis on assets and liabilities
√Applicable Not applicable
1. Assets and liabilities
In: RMB
Percentage
Percentage
of closing
of closing
balance of Year-on-year
Closing balance of Closing balance of balance of Description
Item current Change
current year last year last year in of change
year in （%）
total assets
total assets
（%）
（%）
Currency funds 2,846,143,310.70 21.24 1,249,120,118.26 13.07 127.85 Note 1
Financial assets held for 1,265,981,818.24 458,440,486.16 Note 2
9.45 4.80 176.15
trading
Receivables financing 49,295,422.59 0.37 194,010,599.36 2.03 -74.59 Note 3
Other receivables 150,069,854.58 1.12 85,518,641.96 0.89 75.48 Note 4
Inventories 795,689,208.89 5.94 494,751,269.64 5.18 60.83 Note 5
Other current assets 170,807,953.30 1.27 120,605,121.80 1.26 41.63 Note 6
Current portion of non- 875,045,616.43 Note 7
9.15 -100.00
current assets
Long-term equity investment 105,073,280.23 0.78 32,946,576.25 0.34 218.92 Note 8
Construction in progress 114,131,095.16 0.85 47,995,478.09 0.50 137.80 Note 9
Right-of-use assets 41,226,833.58 0.31 N/A Note 10
Long-term prepaid 29,394,318.63 11,802,083.24 Note 11
0.22 0.12 149.06
expenses
Deferred tax assets 88,843,633.31 0.66 56,365,819.88 0.59 57.62 Note 12
Other non-current assets 4,942,771,969.13 36.89 3,402,470,277.28 35.60 45.27 Note 13
Accounts payable 2,132,113,371.54 15.91 1,382,013,472.83 14.46 54.28 Note 14
Receipts in advance 13,125,994.89 0.10 N/A Note 15
Contract liabilities 483,535,624.57 3.61 318,471,009.89 3.33 51.83 Note 16
Taxes and surcharges 58,301,487.57 25,977,920.73 Note 17
0.44 0.27 124.43
payable
Current portion of non- 5,923,801.00 Note 18
0.04 N/A
current liabilities
Other current liabilities 39,990,259.74 0.30 12,219,830.60 0.13 227.26 Note 19
Lease liabilities 46,589,311.07 0.35 N/A Note 20
Deferred income 118,883,340.46 0.89 73,775,195.25 0.77 61.14 Note 21
Deferred tax liabilities 431,224.44 0.0030 8,740.26 0.0001 4,833.77 Note 22
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2021 Annual Report
Other notes
Note 1: the increase of currency funds was mainly due to the fund raised by IPO, and the sales growth in the
reporting period.
Note 2: the increase of financial assets held for trading were mainly due to two reasons as below. Firstly, the
Company acquired the strategic allotted shares issued by Tianneng Battery Group Co., Ltd. in its IPO on STAR
market of Shanghai Stock Exchange. Secondly, the Company purchased more low-risk financial products in the
reporting period.
Note 3: the declined receivables financing was due to the decreased undue bank acceptance bill held by the
Company at the end of reporting period.
Note 4: other receivables increased because of the deposit paid to the suppliers for locking in the purchasing
price of lithium batteries when the upstream raw materials were fast rising.
Note 5: inventories increased mainly due to the three reasons as below. Firstly, the business expansion of the
Company in the reporting period. Secondly, preparation of finished goods for Chinese New Year vacation and
strategic reserve of some materials. Thirdly, the rising prices of the raw materials in the reporting period.
Note 6: the increased other current assets mainly represented the input VAT to be deducted, as the Company
purchased more raw materials by the end of the reporting period.
Note 7: the current portion of non-current assets decreased, because the three-year term deposit recorded in
this account was due and received in this period, and there was no fixed term deposit would be due within a year
by the end of the reporting period.
Note 8: the increased long-term equity investment mainly represented the newly invested associates in the
reporting period.
Note 9: construction in progress increased mainly due to the three reasons as below. Firstly, the plant building
decoration of Chongqing Aima Vehicle Technology Co., Ltd . was not completed. Secondly, the new information
technology system was still under development. Thirdly, the Company purchased more decoration materials for
terminal sales stores’ renovation, to expand and improve the distribution network.
Note 10: the increased right-of-use assets were due to the adoption of the new lease standard.
Note 11: the increased long-term prepaid expenses were due to the plant building decoration and workshops
reconstruction of the Company in the reporting period.
Note 12: the increased deferred tax assets were mainly attributable to the deductible tax losses of some entities.
Note 13: the increased other non-current assets were due to the purchase of three-year term deposit in the
reporting period.
Note 14: accounts payable increased mainly due to more raw materials were purchased to meet the production
requirements in the business expansion in the reporting period.
Note 15: the increased receipts in advance represented the rental prepayments received at the end of the
reporting period.
Note 16: the contract liabilities increased, mainly due to that the distributors prepaid more advance to the
Company by the end of the reporting period, to ensure sufficient stock before Chinese New Year vacation.
Note 17: the increased taxes and surcharges payable mainly represented the increasing corporate income tax
payable due to the sales growth in the fourth quarter in the reporting period.
Note 18: the increased current portion of non-current liabilities were due to the adoption of the new lease
standard.
Note 19: the increased other current liabilities represented the output VAT related to the advance payments from
the distributors.
Note 20: the increased lease liabilities were due to the adoption of the new lease standard.
Note 21: the increased deferred income represented the government grants relating to assets received in the
reporting period.
Note 22: the increased deferred tax liabilities mainly represented the investment income of undue financial
products at the end of the reporting period.
2. Information of overseas assets
Applicable √Not applicable
3. Information of main restricted assets at the end of reporting period
√Applicable Not applicable
Item Closing book value Restriction reason
Financial assets held for trading 390,000,000.00 Pledged for bank credit
Fixed assets 51,854,177.47 Mortgaged for bank credit
Intangible assets 30,632,651.23 Mortgaged for bank credit
Other non-current assets 4,700,000,000.00 Pledged for bank credit
Total 5,172,486,828.70
4. Other descriptions
Applicable √Not applicable
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2021 Annual Report
(IV) Analysis on industrial operation information
Applicable √Not applicable
(V) Analysis on investment status
Overall analysis on external equity investment
√Applicable Not applicable
See the following “major non-equity investments” and “financial assets measures with fair value” for details.
1. Major equity investments
Applicable √Not applicable
2. Major non-equity investments
√Applicable Not applicable
(1) Chongqing Base
On August 16, 2021, the Company held the first temporary general meeting of 2021 and discussed and
adopted the Proposal on the Company Intends to Sign Project Agreement with the Management Committee of
Chongqing Tongliang High-tech Industrial Development Area, and the Company was agreed to invest about
RMB 2 billion to build up the project of AIMA Southwest Manufacture Base at Tongliang District, Chongqing City
in manner of establishing a holding project company. The total land used for the project was about 1100 mu
(Chinese acres), and the land for the first phase of project was about 300 mu. The land was obtained in manner
of acquisition, and the government would assist in completion; the land for the second phase was about 800 mu,
and obtained through land remising.
ON August 17, 2021, the project company Chongqing Aima Vehicle Industry Technology Co., Ltd. Received
the Business License granted by the Market Supervision Administration of Tongliang District, Chongqing City.
On August 23, 2021, Chongqing Vehicle Industry and Zhongke Chuangxun Technology Co., Ltd. Signed
the Assets Purchasing Agreement to purchase relevant land use right and houses and buildings for construction
of the first phase of Aima Southwest Manufacture Base. In January 2022, the first phase project of Aima
Southwest Manufacture Base was formally put on production.
(2) Taizhou Base
On September 3, 2021, the Company held the 21st meeting of the fourth board of directors, discussed and
adopted the Proposal on the Company Intends to Sign the Investment Agreement with the People’s Government
of Qingtian County, Lishui City, and the Company was agreed to build up the smart electric vehicles and high-
speed electric motorcycle project of Taizhou at Huangyan District, Taizhou City in manner of establishing a
project company.
On November 4, 2021, the wholly-owned subsidiary of the Company, Taizhou Aima Vehicle Manufacture
Co., Ltd., was responsible for all production and management of Taizhou Smart Electric Vehicles and High-
speed Electric Motorcycle Project.
In January 2022, the wholly-owned subsidiary of the Company, Taizhou Aima, signed Contract for
Transferring the Right to Use State-owned Construction Land with Taizhou Natural Resources and Planning
Bureau of Taizhou City.
(3) Lishui Base
On November 15, 2021, the Company held the second temporary general meeting of 2021, discussed and
adopted the Proposal on the Company Intends to Sign the Investment Agreement with the People’s Government
of Qingtian County, Lishui City, and the Company was agreed to set up a holding project company at Qingtian
County, Lishui City to invest for construction of the project of Aima New Energy Smart Transportation Ecological
Industry Park.
In the reporting period, the project company set up by a wholly-funded subsidiary of the Company Aima
Technology (Chongqing) Co., Ltd. with full investment received the Business License from the Market
Supervision Administration of Qingtian County.
3. Financial assets measured at fair value
√Applicable Not applicable
On 1 December 2020, in the 12th meeting of the fourth session, the Board considered and approved the
“Proposal on Signing the Strategic Allotted Subscription Agreement with Tianneng Battery Group Co., Ltd.”,
pursuant to which the Company was agreed to participate in strategic allotted subscription of Tianneng Battery
Group Co., Ltd. as a strategic investor with its own capital no more than RMB 100 million, which should be
completed in January 2021.
In: RMB’0000, currency: RMB
Investment
Shares held at Book value Whether
Abbreviati income in
Category Code of Initial the end of at the end purchased or Change of
on of the
of security security investment cost reporting period of reporting sold in the fair value
security reporting
(10000 shares) period reporting period
period
Share Tianneng
688819.SH 8,399.79 200 8,560.00 Purchasing 120.00 160.21
Share
4. Concrete progress of restructuring and integration of major assets in the reporting period
Applicable √Not applicable
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2021 Annual Report
(VI) Sale of major assets and equity
Applicable √Not applicable
(VII) Analysis of major controlling and companies invested by the Company
√Applicable Not applicable
In: RMB’0000, currency: RMB
Name of Control Registered Total Net
Main business Revenue Net profit
company relationship capital assets assets
Development,
Wholly-
Henan manufacture and
owned 10,000 25,895.36 12,010.07 54,037.31 1,543.70
Aima sale of electric
subsidiary
tricycle
Development,
manufacture and
Wholly-
Guangdong sale of electric
owned 10,000 76,654.04 16,781.83 142,956.64 4,251.90
Aima bicycle, electric
subsidiary
moped, electric
motorcycle
Development,
manufacture and
Wholly-
Zhejiang sale of electric
owned 10,000 72,927.75 16,125.40 136,156.76 4,224.94
Aima bicycle, electric
subsidiary
moped, electric
motorcycle
Development,
manufacture and
Wholly-
Jiangsu sale of electric
owned 44,000 276,744.28 97,420.67 417,481.48 19,311.48
Aima bicycle, electric
subsidiary
moped, electric
motorcycle
Development,
manufacture and
Wholly- sale of electric
Tianjin
owned bicycle, electric 10,000 302,567.71 29,465.99 549,382.36 14,274.02
Aima
subsidiary moped, electric
motorcycle,
electric tricycle
Development,
manufacture and
Wholly-
Guangxi sale of electric
owned 8,000 38,278.75 14,134.91 113,157.66 8,064.43
Aima bicycle, electric
subsidiary
moped, electric
motorcycle
Development,
manufacture and
Wholly-
Chongqing sale of electric
owned 1,000 98,180.23 16,869.15 285,055.56 16,669.15
Aima bicycle, electric
subsidiary
moped, electric
motorcycle
In the reporting period, net profit realized by the above important wholly-funded subsidiaries came from the
sales of major products including electric two-wheel vehicles, electric tricycles. Other subsidiaries and associates
of the Company were in normal operation, and their profit and loss situation had little impact to the Company.
(VIII) Information of structured subjects under control of the Company
Applicable √Not applicable
VI. Discussion and Analysis of The Company on Its Future Development
(I) Industrial structure and trend
√Applicable Not applicable
1. Competition situation of industry
With more intensive market competition and implementation of New National Standard, a large number of
small-scale and low-efficiency enterprises that don’t have product development and technological
competitiveness have been eliminated or closed down, and the industry concentration has continued to increase.
In view of enterprise features, the industry participants mainly include three categories of enterprises: the
enterprises in the first category are nationwide brand enterprises, which have nationwide marketing network,
nationwide production layout, independent product development capacity, powerful capital strength and good
market reputation. These enterprises generally have significant scale strength and brand influence, pay attention
24 / 187
2021 Annual Report
to product development and technical innovation and own wide user foundation and market recognition; the
enterprises in the second category are regional brand enterprises, which have formed unique competition
strength in long-term market competition, have certain market strength in specific regions and specific products,
and have powerful industry chain integration capacity and market promotion capacity; the enterprises in the third
category are newcomers, which start to enter the industry after the electric two-wheel vehicle industry has been
mature. By focusing on products for specific users or specific uses, with intelligence and networking technology
as the selling point, as they gain a certain market in specific markets and specific uses, they begin to penetrate
into the mass consumer market.
Form market competition situation of electric two-wheel vehicles
Market Customer group Brand Channel Distribution of manufacture
participant influence base
Select a few of regions with
Nationwide With brand Has set up the
Nationwide industrial cluster effect in
brand popularity in nationwide
consumers China, establish nationwide
enterprises China marketing network
manufacture base system
Regional With brand With good
Establish manufacture base
brand Local consumers popularity in a marketing network
at local place
enterprises region at local place
A segmenting
consumer group With brand
Channels mainly
(currently they are popularity
concentrated in Outsource some production
Newcomers mainly high- mainly in first-
first-tier and processes
income people in tier and second-
second-tier cities
first-tier and tier cities
second-tier cities)
2. Industrial drive factors
(1) Policy
The supervision system in the aspect of policy is becoming better, and implementation of New National
Standard and other industrial policies regulates development of industry and brings development opportunities
for head enterprises.
1）New National Standard
Implementation of New National Standard brings changes in competition order and market volume.
The inspection rules of Old National Standard are divided into three categories, veto items, important items
and common items. The electric bicycle, meeting all veto items, at least 15 ones in 18 important items and at
least 9 items in 13 common items, are deemed as qualified in inspection conclusion. The New National Standard
does not distinguish the inspection rules of electric bicycle, all technical parameters are compulsory requirements,
and insists on the nature of non-motor vehicle of electric bicycle in a few of aspects, for example, the highest
velocity of vehicle shall not exceed 25km/h, and increases the technical requirement to prevent changing
maximum speed.
With implementation of New National Standard, in order to further strengthen transportation safety
management, the administrative departments implement transition period management policy for the existing
electric bicycles that exceed the standard, and each local government set the transition period. After the
transition period expires, the electric bicycles exceeding the standard will not be allowed to run on the road again.
Local governments promulgated the management policies for electric bicycles that exceed the standard, and set
different transition periods (generally 5 years, i.e. closing before the end of 2024). And also they strictly executed
the New National Standard, and the digital and smart transport monitoring equipment and execution tools greatly
reduced execution difficulty, therefore, the implementation effect of the New National Standard was good, and
the replacement demand increasing every year extended the industry’s market volume.
After implementation of the New National Standard, the demand to electric mopeds and electric motorcycles
significantly increased, many manufacturers had to pass strict entry examination in order to obtain production
and management qualification. In addition, all electric two-wheel vehicles must pass 3C authentication before
sale in the market, and the authentication would generate certain expenses. These requirements significantly
raised industrial entry barrier and the operating costs of whole vehicle manufacturers, accelerated survival of the
fittest in the industry, and had active promotion action for regulating development and competition order of
electric two-wheel vehicle industry. In view of implementation effect of New National Standard in recent two
years, integration showed acceleration trend in the industry, and the market share would be concentrated to the
leading enterprises.
2）Other important industry policies
The industry supervision and administration policies promulgated and implemented in recent years were
mainly related to safety (including riding safety and fire safety). Benefiting from digital and smart transportation
monitoring equipment and execution tools, execution strength and effect continually increase, safety use of
electric two-wheel vehicles and industrial order were strictly regulated from production end, sales end and user
end.
The State Taxation Administration, Ministry of Industry and Information Technology, Ministry of Public
Security jointly released Measures for the Use of Motor Vehicle Invoices, which was formally implemented in
July 2021. Enterprises which manufacture and sell motor vehicles shall issue unified invoices for the motor
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vehicles which they have sold according to the principle of “one invoice for one vehicle”, and any electric
motorcycle and electric moped not issued with invoice cannot obtain license plate and run on road. The policy
of “one invoice for one vehicle” is convenient for after-sale claim of consumers and effectively removes
unsymmetrical competition in the industry.
In addition, occurrence of public safety accidents arising from electric two-wheel vehicle on fire catches
more social attention in recent years. Execution of the rule “electric vehicles shall not be upstairs” is stricter, safe
charging had become the focal point in consumption and an important issue affecting the development of the
industry, and generated a huge potential demand market, and also provided room for business expansion and
performance growth.
（2）Society
The common view of “low carbon emission and green transport”, worse traffic jam, influence of
COVID-19 to commute habit made more users to accept electric two-wheel vehicles.
In recent years, governments of various nations continually improved the policy and law system on low
carbon emission, and advocated the concept of green environmental protection, in order to solve greenhouse
effect. The common view of “low carbon emission and green transport” made electric two-wheel vehicles
accepted by more customers; traffic jam had become worse day by day, many families and individuals who
owned car or electric four-wheel vehicles were willing to select electric two-wheel vehicles for medium and short-
distance travel because they were flexible and convenient. Considering risk of epidemic infection, many people
gave up closed public transportation and in favor of open personal electric vehicle.
（3）Economy
The medium and short-distance travel demand of residents is basic, transport cost advantage makes
electric two-wheel vehicle as major selection for medium and short-distance travel; the rise of take-out
distribution and other emerging businesses remarkably extend the use scenarios of electric two-wheel
vehicles.
With economic development and urbanization progress, the travel radius of residents (including urban and
rural residents) continually increases, and the medium and short-distance travel demand is increasing.
Compared with other medium and short-distance vehicles, electric two-wheel vehicle has the following
advantages: economical, convenient, time-saving and labor-saving, and the transportation cost advantage is
even more obvious, this highly meets the demand of residents and it becomes the major selection of residents
for medium and short-distance travel. This is the basic drive factor of industry development.
Furthermore, when consumption awareness of residents improves and the “Internet +” service model is
becoming mature in China, various door-to-door services have become mainstream of new consumption, take-
out services driven under 020 (online/offline) model and express services driven under e-commerce have
become the new consumption scenarios of electric two-wheel vehicle, which benefits the expansion of industry
capacity.
（4）Technology
In-depth research on the design, technology and process of electric two-wheel vehicles and the
continuous application of networking and intelligence jointly drive the technological development of the
industry.
Industry technologies are developed mainly in two paths, one is innovation and improvement of the inherent
technology system of the industry (including material, process and structure), including performance
improvement of core hardware such as battery, application of new environment-friendly materials and new
technologies, improvement of vehicle body structure. The other is technical application crossing industries,
networking and smart technical application is the R&D field of current important cross-industry technical
application. Both of them jointly promote technology development of the industry, improvement of product
performance and function expansion, and it is beneficial that the products in the industry obtain wider market
recognition. After the leading enterprises with strength in R&D investment acquire economic interest from
research and development, they will further increase input in R&D and design, so that it can generate good cycle
of R&D - design - manufacture - sale, and promote improvement of industry concentration and whole upgrading
of industry.
（5）International demand
Carbon emission reduction is an important strategic consensus formed on a global scale. Under the
background of the continuous implementation of "carbon peaking and carbon neutrality" policies in
various countries, the international market for electric two-wheel vehicles is showing a growing trend.
Since electric two-wheel vehicle emerged, the domestic market is the major consumption market, but the
international market has low demand to electric two-wheel vehicles. Compared with electric two-wheel vehicles,
motorcycles and electric assistance products with leisure and fitness function are greatly acceptable by overseas
customers. A few of manufacturers in China have a little export business, and they try to build up factories in
Southeast Asia /other countries for developing business, but the effect is very little. While environmental
protection awareness is being strengthened in the world, many countries promulgate relevant policies for
“prohibiting motorcycle” or encouraging “replacing oil with electricity”, and the demand to electric two-wheel
vehicles in the international market shows increasing trend, and this provides another huge development space
for the industry.
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3. Industry development trend
Economic transformation and consumption upgrading, application of networking and smart
technologies and rise of international demand under carbon peaking and carbon neutrality will drive
electric two-wheel vehicle industry developing to differential, high-end, smart and international direction.
（1）Differentiation
Electric two-wheel vehicles in early days mainly met the short-distance travel demand of the public, and the
products focused at riding function and cost performance, they had simple functions and are homogeneous. With
improvement of living standard of residents and development of consumption upgrading trend, the consumption
demand to electric two-wheel vehicles changes to the direction of quality, function, personality and experience,
including color, vehicle model and style (such as business, fashion and sports), cruising mileage, smart
interaction, riding comfort, brake safety, stability, etc. In the trend of consumption demand transformation and
consumption upgrading, electric two-wheel vehicles will show differential trend, namely, manufacturers carry out
precise identification and deep research to segmenting consumption demand, and organize customized
production according to different personal demands.
（2）High-end
With more intensive competition in the industry, restructuring of industry order and change of consumption
demand, high-end will be the necessary option of electric two-wheel vehicle industry, and is also only way of
brand enterprises. High-end trend of the industry includes three aspects: first, product function upgrading and
expansion, second, brand re-positioning and extension, third, overall high-end transformation. Overall high-end
transformation mainly refers to innovation, evolution and upgrading of the existing industrial pattern under the
networking, smart and digital trend.
（3）Smartness
Consumption upgrading and cross-industry technical application provide opportunities for smart
development of the industry, including development and application of automatic driving, automatic parking,
smart navigation, automatic unlocking, health testing, remote failure diagnosis, anti-theft warning and other smart
modules. Especially, new generation people who have been one of the major consumption groups (born after
1990 and 2000) pay more attention to smart unlocking, human-vehicle interconnection and other smart functions.
With continual development of Internet of vehicles, smart function is hopeful to be the standard function
configuration. At that time, electric two-wheel vehicles will not be limited to be short-distance transport vehicle,
and they will become an important part of smart networking media system of residents and the important source
of social networking data.
（4）Internationalization
With formation of international common view on carbon emission reduction and understanding of overseas
users about green and convenient characteristics of electric two-wheel vehicle, international market faces
development opportunity, electric two-wheel vehicle industry will gradually move from domestic market to global
market. At present, many domestic manufacturers of China Intensify their efforts to expand the international
market. In spite of the obstruction of trade protectionism in the course of internationalization, the unique
advantage of electric two-wheel vehicle industry and the international strategy of some leading enterprises will
be helpful for electric two-wheel vehicles to enter overseas market, and this will become the important
development trend of this industry.
(II) Development strategy of the Company
√Applicable Not applicable
The Company will, based on its strategic axis of “Customer-Centricity, Outstanding Products, Market
Cultivation, and Diligent Operations” and following its strategic direction of transforming to digital and smart
technical company, focus its core business and carry out differential competition. The Company will achieve
products smart and high-end by application of Internet of vehicle technologies and development of core
hardware and others, and actively develop international market.
(III) Management plan
√Applicable Not applicable
1. Product
The Company's core and base was to meet user needs. To meet that goal, constantly improve product
forward development processes and develop hot products projects, the Company improves the success rate of
product development and the sales contribution rate of best-selling products; continually carries out SKU
simplification, platform orientation, standardization and efficient resource utilization; further makes the whole
processes of planning, design, development, manufacturing and procurement smooth, solves coordination
problem in the course of product development and improves efficiency. The Company continues to optimize and
strictly implement the whole-process quality control system, strictly control the key point management of new
product quality, increase investment in product testing equipment, and promote the implementation of key
component standards to ensure product quality. The Company takes improvement of product service experience
as an important strategic measure of improving brand and product competition, adds input to digital and smart
service platform and professional service team, improves service quality and accelerates service demand
response.
2. Channel
The Company carries out defined management of domestic channels, insists on value integration direction
of factories and dealers, continually adds quantity of shops and optimizes dealers and shops management
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system and digital and smart management to improve marketing capacity of dealers and single shop output. The
Company concurrently adds input to e-commerce platforms and makes more efforts in drawing online attention
and development of new customers, so as to promote online and offline collaborative development.
3. Research and Development
The Company continues to implement the R&D project manager system in depth, focuses on the research
on the application of the Internet of vehicles technology and the research on the core technology of the industry,
and at the same time increases the project investment in the application of the R&D results, to actively promote
the transformation of the results.
4. Marketing
The Company continually explores brand publicity strategy in the new online traffic era, improves the
marketing capacity of dealers in new flow era and takes adjustment of product structure as marketing point to
increase marketing strength of best selling products.
5. Digital and smart project
The Company continues to promote the construction of digital and intelligent projects, empower all business
units, and focus on promoting the iterative launch of systems in the three major areas of manufacturing,
marketing and information. At the same time, the Company continuously strengthen its ability to "raise data,
manage data, and use data", and establishes data-driven management capabilities.
6. Development of international market
The Company increased input, firmly develops international market with localization strategy, focuses on
main markets and realizes collaborative development between key OEM customers and independent brand
business; actively promotes overseas localization construction and international manufacturing system
upgrading, and builds core competitive advantages for the global markets.
7. Human resources
The Company further optimizes the organizational level, clarifies functions and responsibilities, and fully
implements the application of performance results in training, recruitment & promotion, incentives, and other
areas; strengthens cultivation of technicians, improves training and development system of skilled personnel,
and improves professional development path of skilled personnel related to remuneration distribution.
(IV) Potential risks
√Applicable Not applicable
1. More intensive competition in the industry
The competition in the electric two-wheel vehicle industry is more intensive increasingly. In recent years,
with regulatory development of industry and optimization of competition order, many small enterprises withdraw
from the market, and industry competition mainly exists between leading enterprises. This is a new situation.
These enterprises continue to reduce sales prices while improving product performance and expanding service
coverage, greatly increasing the difficulty of competition. If a manufacturer fails to promptly launch high-cost
performance products and offer high-quality services according to market demand, it may lose original
competition advantage and industrial position. At present, the Company has maintained a leading position in the
industry by virtue of its capabilities of strong product development, technological innovation, excellent cost
control and quality management, good brand image and user reputation, nationwide marketing channels and
service networks and other competitive advantages. The Company will continually focus on users’ demand, carry
out differential competition, realize smart and high-end products by application of Internet of vehicles
technologies, development of industrial core hardware, improve production efficiency and defined operation
through digital and smart upgrading, development and cost reduction and raise its cost competition advantage.
2. Product R&D risks
With the improvement of consumers' consumption awareness and the trend of consumption upgrading
becoming more and more obvious, consumers' demand for electric two-wheeled vehicles presents the
characteristics of fashion, intelligence and networking, which requires electric two-wheeled vehicle
manufacturers to continuously research and predict the trend of consumer demand, continue to carry out product
innovation and technology research and development, and launch new models with new shapes and new
functions to meet the constantly upgraded consumer needs of users. Failure to meet consumption expectations
will have a negative impact on performance. In addition, the R&D of new models requires a certain period of
time. If a manufacturer takes the lead in developing similar products and locks the relevant patents, it may put
pressure on the R&D of other manufacturers. The Company always regards R&D and product innovation as the
main means to enhance its product competitiveness and achieve long-term development. Starting from the
needs of users, after years of continuous R&D investment and exploration, it has acquired the relevant
capabilities of accurate user demand positioning, excellent technology and innovation, which makes its products
popular among consumers. The Company will continue to improve the APDS process with a user-centered R&D
strategy, and enhance the Company's technological capabilities to reduce R&D risks.
3. Management risks to dealers
The main sales model of the Company's products is distribution. Dealers are not only the Company's direct
customers, but also important windows for the Company to show its brand image and enhance its brand
reputation to consumers in its distribution areas. The operating capabilities, risk appetite and willingness to work
hard of the dealers have a greater impact on the sales of the Company's products in the relevant distribution
areas. If the dealer's operation method and service quality are contrary to the Company's business purpose or
the dealer's understanding of the Company's management philosophy deviates, it may have an adverse impact
on the Company's business performance and brand image. In this regard, the Company continuously improves
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2021 Annual Report
the dealer management system, strictly implements the management standards for dealer access, training,
assessment and exit, etc., and establishes a scorecards and dynamic channel management system to “retain
winners and retire losers”, to stimulate the dealer’ working enthusiasm, improve their operation capabilities and
ensure the vitality and healthy development of the Company's channel system.
4. Material price fluctuation risks
The purchase price of raw materials in the industry is affected by factors such as macro trends and industrial
policies, and there is the possibility of fluctuations, which increases the difficulty of controlling purchase costs
and may have a certain impact on the operating performance of production enterprises. In this regard, the
Company has built and will continue to improve a high-quality and efficient supply chain system, set up a special
supplier quality management department, and select and integrate global supply chain resources. The Company
invested in key parts manufacturers to ensure the safety of the supply of key parts; at the same time, for products
with a clear price increase, the Company adopts the method of locking the price in advance and locking the
purchase volume to avoid operating risks caused by sharp price increases. The Company has established close
strategic cooperative relations with major parts suppliers, which is conducive to achieving sufficient supply of
raw materials and stable prices. At the same time, the Company upgrades and optimizes the supply chain
platform through the construction of digital intelligence, realizes the deep synergy between the Company's
manufacturing process and the supply chain system, and hedges the cost control pressure caused by rising raw
materials with the improvement of production efficiency.
5. Impact of COVID-19 against production and management of the Company
Various measures have been adopted in various places of China to prevent and control the epidemic.
However, the repeated outbreak of the new crown epidemic, especially during the period of concentrated
outbreaks of COVID-19 cases, the production, material circulation and other business activities of local
production enterprises will be negatively affected to varying degrees. The Company's procurement, production,
sales and shipping may be affected. In this regard, the Company gives full play to the advantages of its diversified
and flexible supply chain and the network of production bases that radiate across the country, does a good job
in normalizing the prevention and control of the pandemic, strengthens flexible stocking and lean production
management, and ensure the smooth delivery of procurement, production and sales to reduce COVID-19 impact
against the Company to the least.
(V) Other
Applicable √Not applicable
VII. Explanation for Non-disclosure in Accordance with The Accounting Standard due to Being Not
Applicable to The Provisions of The Standard or State Secret and Business Secrete and Other Special
Reasons
Applicable √Not applicable
Section 4 Corporate Governance
I. Related Information about Corporate Governance
√Applicable Not applicable
The Company is operated strictly in accordance with the Company Law, Securities Law and other laws and
regulations, as well as the regulations and rules issued by China Regulatory Securities Committee and relevant
requirements of various rules of Shanghai Stock Exchange. Based on its actual situation, the Company has
established and improved its corporate governance structure, and actively promoted the optimization of the
corporate governance structure to ensure the maximization of the interests of the Company's shareholders.
The general meeting of shareholders, board of directors, board of supervisors and managers have their
respective clear rights and responsibilities, and they perform according to their duties and specifications. Four
specialized committees including the Strategy and Development Committee, Audit Committee, Nomination
Committee, Remuneration and Appraisal Committee have been set up under the Board of Directors, and each
specific committee does its work according to its duties. In 2021, the Company held 4 general meetings of
Shareholders, 11 meetings of board of directors and 8 meetings of board of supervisors, reviewing the important
matters such as external guarantees, related transactions, external investments and equity incentives. The
independent directors of the Company seriously performed duties, expressed independent opinions on relevant
matters and practically maintained legal interest of all shareholders in accordance with the requirements of
relevant laws and regulations and the Articles of Association. Concurrently, the Company has formulated
relevant rules, and continue to amend and improve them, which are effectively executed; The Company has
established impartial, transparent performance evaluation standard and incentive and restriction mechanism for
senior executives, and has made comprehensive evaluation with reference to the operation targets of the
Company and its business units, individual ability and performance examination.
The Company continually improves information disclosure quality according to the provisions of the Articles
of Association, Management Method on Information Disclosure and other rules. The Company insists on
combination of statutory information disclosure and voluntary information disclosure and ensure that all
shareholders and other stakeholders could obtain the Company’s information equally. Since the Company’s
listing date and up to December 31, 2021, the Company has disclosed 57 temporary reports, 2 regular reports.
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2021 Annual Report
The Company also strictly executed the Insider Registration and Filing System and done well in management of
insider information.
The Company attaches importance to management and maintenance of investor relations, and continually
improves investor relations management level. After listed, in order to know and properly handle the opinions
and proposals of shareholders and investors. the Company communicated with investors in multi-tier and multi-
channel manner, including video, telephone, on site, and fully utilized investor hotline, Shanghai Stock Exchange
E Interaction Platform to allow investors to understand the operation and management situation of the Company,
the Company also organized institutions for investigation several times and attended strategy conferences
organized by Securities and Investment Institutes,
Indicate whether there was any material incompliance with the applicable laws and regulations, as well as
the CSRC’s requirements in corporate governance. If yes, please explain.
Applicable √Not applicable
II. Specific Measures Taken by the Controlling Shareholder and Actual Controller to Guarantee the Asset,
Personnel, Financial, Organizational and Business Independence of the Company, as well as Solutions,
Progress and Subsequent Plans when the Company’s Independence Is Intervened
√Applicable Not applicable
Since incorporation, the Company has been operating strictly according to the Company Law, Articles of
Association and other relevant regulations the Company has established and continues to improve corporate
governance structure and is independent of the controlling shareholder, the actual controller and other
enterprises under its control in assets, personnel, finance, organization, business, etc. The Company owns
complete business system and the ability to operate independently in the market. The concrete situation is as
follows:
(I) Intact assets
The Company was changed in whole and incorporated from a limited company, and all businesses,
assets, organization, and relevant claims and debts of the limited company at the time of change in whole
entered into the joint stock company. The Company has the main production system, auxiliary production
system and supporting facilities related to production and management, has independent raw material
purchasing and product selling system, legally owns land use rights, workshop, equipment, intangible assets
and other assets related to production and management, and has the legal and complete ownership or use
right of such assets.
(II) Independent personnel
The Company has set up independent human resource department, and has formulated the rules related
to labor, personnel, salary. The general manager, vice general manager, secretary of board of directors, Chief
Financial Officer and other senior executives of the Company do not hold positions other than director, supervisor
in the controlling shareholder, actual controller of the Company and other enterprises under control thereof, and
do not receive salary in the controlling shareholder, actual controller of the Company and other enterprises under
control thereof; the financial staff of the Company do not take any part-time job or receive salary in the controlling
shareholder, actual controller of the Company and other enterprises under control thereof; the labor, personnel
and salary management of the Company is absolutely independent with the controlling shareholder, actual
controller of the Company and other enterprises under control thereof. The directors, supervisors and senior
executives of the Company generate strictly according to the Company Law, Articles of Association and other
relevant rules.
(III) Independent finance
The Company has established a set of independent, complete and normative accounting system and
financial management system strictly according to the Accounting Standards for Business Enterprises and
relevant rules, and has established relevant internal control rules and independently makes financial decisions.
The Company independently opens banking accounts, pays tax, and does not use any joint account with the
controlling shareholder, actual controller and other enterprises under control thereof.
(IV) Independent organization
The Company has established and continues to improve corporate governance structure, and its general
meeting of shareholders, board of directors, board of supervisors and senior executives perform their respective
responsibilities strictly according to the Company Law and Articles of Association; The Company has established
the independent organizational structure suitable for its own developmental needs, and has formulated
reasonable and complete position duties and internal management rules. Each department independently
operates according to the stated responsibilities, has independent operation and office space. There is no
situation that the shareholder entities, any other entities or individual interferes with the establishment of the
Company's organization, and the Company has no common institution with the controlling shareholder, actual
controller and other enterprises under control thereof.
（(V) Independent business
The Company owns independent and complete business system including purchasing, production, and sale
system, and has the capacity of independently operating its business in market. The Company has independent
management decision-making rights, independently organizes its production and management according to
operation plans, independently carries out business, which is independent with the controlling shareholder,
actual controller and other enterprises under control thereof. The Company does not have horizontal competition
or unconscionable related transaction with the controlling shareholder, actual controller and other enterprises
under control thereof.
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2021 Annual Report
Indicate whether the controlling shareholder, the actual controller, or any entity under their control is
engaged in the same or similar business with the Company. Explain the impact of horizontal competition or any
significant change to horizontal competition on the Company, solutions taken, progress and subsequent plans.
Applicable √Not applicable
III. Introduction to General Meetings of Shareholders
Index to disclosed Disclosure
Meeting Date Resolutions
resolutions date
Reviewed and adopted the Work Report of the
Board of Directors of 2020, Work Report of the
Board of Supervisors of 2020, Final Financial
Report of 2020, Proposal on Reviewing
Remuneration Situation of Directors, Supervisors
General and senior executives in 2020 and Remuneration
meeting of May 17, 2021 N/A N/A Program for 2021, Proposal on Estimated Daily
2020 Related Transactions in 2021, Proposal on
Guarantee Plan of the Company in 2021, Proposal
on Use of Idle Self-owned Fund for Cash
Management, Profit Distribution Plan of 2020,
Proposal on Continuing to Employ Accounting Firm
for 2021.
First
Reviewed and adopted the Proposal on the
temporary
August 16, August 17, Company Intends to Sign Project Agreement with
general www.sse.com.cn
2021 2021 the Management Committee of Chongqing
meeting of
Tongliang High-tech Industrial Development Area
2021
Reviewed and adopted the Proposal on the
Company Intends to Sign the Investment
Second Agreement with the People’s Government of
temporary Qingtian County, Lishui City, Proposal on Amending
November 15, November 16,
general www.sse.com.cn Articles of Association, Proposal on Amending
2021 2021
meeting of Rules of Procedure of General Meeting of
2021 Shareholders, Proposal on Amending Rules of
Procedure of Directors’ Meeting, Proposal on
Applying for Comprehensive Credit to Bank.
Reviewed and adopted the Proposal on Restricted
Third Stock Incentive Plan of the Company for 2021
temporary (Draft) and Its Summary, Proposal on Measures for
December 27, December 28,
general www.sse.com.cn Examination on Implementation of Restricted Stock
2021 2021
meeting of Incentive Plan of the Company for 2021, Proposal
2021 on Requesting General meeting to Authorize Board
of Directors to Handle Equity Incentive Matters.
Extraordinary general meetings of shareholders convened at the request of preference shareholders
with resumed voting rights:
Applicable √Not applicable
Description of general meetings of shareholders
√Applicable Not applicable
On May 17, 2021, the Company held the general meeting of shareholders of 2020, reviewed and adopted
all proposals. The Company was listed in Shanghai Stock Exchange on June 15, 2021, so it did not publish
relevant announcement about the general meeting of shareholders of 2020 on designated website or media.
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IV. Situation of Directors, Supervisors and Senior Executives
(I) Shareholding changes and remunerations of incumbent directors, supervisors and senior executives and those who resigned before the end of their tenures
during the Reporting Period
√Applicable Not applicable
In: share
Total amount
of
Change in remuneration Whether
shareholding pre-tax acquiring
Opening Closing Reason
Start of End of in the acquired from remuneration
Name Office title (note) Gender Age shareholding shareholding for
tenure tenure Reporting the Company in the related
(share) (share) change
Period in the parties of the
(share) reporting Company
period
(RMB’0000)
Chairman of the
Zhang Jian Board, general M 52 1999/09/27 2022/09/10 282,317,000 282,317,000 186.72 No
manager
Vice Chairman of
No
Duan Hua the Board, vice F 53 2013/09/13 2022/09/10 186.58
GM
Zhang No
Director F 28 2013/09/13 2022/09/10 49.20
Gege
No
Peng Wei Director M 51 2009/08/26 2022/09/10 3,150,000 3,150,000 34.16
No
Liu Jianxin Director M 55 2009/08/26 2022/09/10 3,150,000 3,150,000 0
Yes
Fang Hao Director M 47 2017/11/28 2022/09/10 0
Independent No
Wang Aijian F 67 2018/04/16 2022/09/10 8.00
director
Sun Independent No
M 58 2018/01/24 2022/09/10 8.00
Guangliang director
Independent No
Xu Haoran M 52 2018/01/24 2022/09/10 8.00
director
Chairman of
No
Xu Peng board of M 32 2016/09/13 2022/09/10 28.76
supervisors
Li Yan Employee F 38 2018/05/07 2022/09/10 34.44 No
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2021 Annual Report
supervisor
No
Wu Lyubo Supervisor M 53 2009/08/26 2022/09/10 0
No
Li Yubao Vice GM M 46 2018/01/24 2022/09/10 181.90
Vice GM,
Wang No
secretary of M 42 2018/01/24 2022/09/10 83.70
Chunyan
board of director
Vice GM, Chief No
Zheng Hui F 40 2021/07/21 2022/09/10 153.08
Financial Officer
No
Hu Yupeng Vice GM M 42 2020/05/14 2022/09/10 104.57
Wang
No
Quanzhang Vice GM M 51 2018/01/24 2021/03/22 4.55
(former)
Hao Hong Vice GM, Chief No
M 43 2013/08/23 2021/07/17 97.52
(former) Financial Officer
Ren Yong No
General manager M 41 2020/05/14 2021/10/31 139.47
(former)
Total / / / / / 288,617,000 288,617,000 / 1,308.65 /
Name Main working experience
Former executive director of Tianjin Qiyu Interactive Technology Co., Ltd., former director of Tianjin Sanshang Investment Management Co., Ltd. Current
Zhang Jian
Chairman of the Board and general manager of the Company.
Duan Hua Former vice general manger of Aima Technology. Current vice Chairman of the Board, vice general manger.
Zhang Former general manager assistant, former secretary of Chairman of the Board of the Company. Current director of the Company, executive director and
Gege general manager of Tianjin Suiwanwan, executive partner of Changxin Dingai.
Peng Wei Former general manager of Tianjin Bond Fushida Electric Vehicle Co., Ltd., former general manager of Aima Sports. Current director of the Company.
Former safety commissioner of the Company, former vice general manager of Tianjin Bond Fushida Electric Vehicle Co., Ltd., former director and general
Liu Jianxin manager of Tianjin Lepuning Packaging Materials Co., Ltd. Current director of the Company, current supervisor of Tianjin Sanshang Investment Management
Co., Ltd.
Former general manager of CITIC Securities Co., Ltd., former executive director and general manager of Qingdao Jinshi Hanna Investment Co., Ltd. Current
director and general manager of the Company, current director of China National Gold Group Gold Jewellery Co., Ltd., director of CITIC Industry Investment
Fund Management Co., Ltd., director of Zhejiang Huayou New Energy Technology Co., Ltd director of Zhejiang Xingxing Cold Chain Integration Co., Ltd.,
Fang Hao
director of Jupiter Connection Limited, director of Neptune Connection Limited, director of Uranus Connection Limited, director of Pluto Connection Limited,
director of CS Regal Holding Limited, director of CSI Capricornus Limited, director of China Investment and Financing Guarantee Co., Ltd., director of Shenzhen
BGI Smart Manufacture Technology Corp., Ltd., general manager of Guangzheng Lingxiu Investment Co., Ltd.
Former vice president of Tianjin University of Finance and Economics, and former director of Tianjin Pharmaceutical Group Co., Ltd. Current independent
Wang
director of the Company, teacher of Tianjin University of Finance and Economics, independent director of TASLY PHARMACEUTICAL GROUP CO., LTD.,
Aijian
director of Northern International Trust Co., Ltd. and etc.
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Sun Former lawyer of China Legal Affairs Center, lawyer of Zhongxin Law Firm, independent director of Daheng New Epoch Technology, Inc. Current
Guangliang independent director of the Company, director of Beijing Huatang Law Firm, independent director of Dongxing Securities Corporation Limited and etc.
Former senior vice president of Far East Holding Group, senior editor of Jiangsu Broadcasting Corporation, director journalist of Guangdong Television Station.
Current independent director of the Company, supervisor of Far East Holding Group Co., Ltd., vice Chairman of the Board of Beijing Youshi Capital
Xu Haoran Management Co., Ltd., director of TOJOY Holding Group Co., Ltd., executive director of TOJOY (Qingdao) Financial Technology Group Co., Ltd., Chairman
of the Board of Yonghu Cross-border E-commerce Co., Ltd., supervisor of Jiangsu Tianzheng Media Advertising Co., Ltd., supervisor of Beijing Huizhi Huaxia
Business Management Consultation Co., Ltd.
Former Chairman of the Board of Tianjin Bond Fushida Electric Vehicle Co., Ltd., former general manager assistant of Tianjin Sanshang Investment
Xu Peng
Management Co., Ltd. Current chairman of board of supervisors of the Company.
Former section chief of Supplier Management Section of Procurement Department of the Company, former secretary of vice Chairman of the Board, former
Li Yan director of Improvement Office, Brand Management Center, former director of office of vice Chairman of the Board. Current employee supervisor, product
manager of R & D Department of the Company.
Former director of General Affairs Department, former vice director of Business Management Department, former director of Department of Supervision, former
Wu Lyubo
public relationship manager of Administrative Department of the Company. Current supervisor of the Company.
Former director of Procurement Department of Tianjin New Times Vehicle Industry Co., Ltd., former director of Procurement Department of Tianjin Taimei
Li Yubao
Bicycle Co., Ltd., former supervisor of Procurement Department of the Company. Current vice general manager of the Company.
Wang Former lecturer of Shanghai Ocean University, former Chairman of the Board and president of Tianjin Sanshang Investment Management Co., Ltd. Current
Chunyan vice general manager, secretary of board of directors of the Company.
Former financial manager of Product Company of Midea Group Co., Ltd., former vice general manager, Chief Financial Officer of Meizhi Photoelectric
Zheng Hui Technology Co., Ltd., former vice general manager of Foshan Hange E-commerce Technology Co., Ltd., former Senior Financial Director of Foshan Yunmi
Electric Technology Co., Ltd., former Senior Financial Director of the Company. Current vice general manager, Chief Financial Officer of the Company.
Former employee of Beijing Youshi Accurate Marketing Management Consultation Co., Ltd., former general manager of Wuhan Youshi Accurate Marketing
Hu Yupeng Management Consultation Co., Ltd., former general manager of Wuhan Zhuoyue Youshi Accurate Marketing Management Consultation Co., Ltd., former
operations director of the Company. Current vice general manager of the Company.
Former workshop director of Xuchang Machine Manufacture Factory, former general manager assistant of Xinlong Industrial Co., Ltd., former Lean Promotion
Wang
Office of Structure Branch of XJ Electric Co., Ltd., former assistant manager of Tianjin Xinlong Co., Ltd, former improvement Promotion Department, General
Quanzhang
Manager’s Office of the Company, former director of General Manager’s Office, former vice general manager of the Company. Current information technology
(former)
consultant of the Company.
Former director of Planning Department of LG Electronic (Tianjin) Electrical Equipment Co., Ltd., former financial manager of OTIS (China) Co., Ltd., former
Hao Hong
director of Financial Plan & Analysis Department, former director of Financial Management Department, former vice general manager of the Company. Current
(former)
director of audit center of Audit Center of the Company.
Former domestic sale general manager of Domestic Appliance Business Department of Midea Group Co., Ltd., former senior superintendent of President’s
Ren Yong Office, former senior superintendent in market construction and coordination of China Region, former general manager of innovative services of VATTI
(former) CORPORATION LIMITED, former general manager of Jizhi Kitchen, former vice general manager, general manager of the Company. Current strategic
development consultant of the Company.
Description of other situation
√Applicable Not applicable
1. In March 2021, Wang Quanzhang, vice general manager of the Company, resigned for personal reasons.
34 / 187
2021 Annual Report
2. On July 21, 2021, the 18th meeting of the fourth board of directors of the Company reviewed and adopted the Proposal on Appointing Vice General Manager and Chief
Financial Officer of the Company. Hao Hong resigned job of vice general manager and Chief Financial Officer for work need, and acted as director of Audit Center of the
Company after the resignation; Zheng Hui was employed as vice general manager and Chief Financial Officer of the Company.
3. On July 30, 2021, the 19th meeting of the fourth board of directors of the Company reviewed and adopted the Proposal on Appointing General Manager of the Company, in
consideration of operation and long-term development strategy of the Company, Chairman of the Board Zhang Jian would not act as general manager concurrently; Ren Yong
was employed as general manager of the Company.
4. On November 16, 2021, the Company held the 23rd meeting of the fourth board of directors of the Company reviewed and adopted the Proposal on Appointing General
Manager of the Company, Ren Yong applied for resignation of the position of general manager of the Company for job change, and would act as strategic development
consultant of the Company after resignation; in consideration of operation and long-term development strategy of the Company, Mr. Zhang Jian was employed as general
manager of the Company.
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2021 Annual Report
(II) Incumbency of current and resigned directors, supervisors and senior executives during the
reporting period
1. Position at the shareholder entity
√Applicable Not applicable
Name of Name of shareholding Position held in Starting date of Ending date of
in-service staff entity shareholder entity tenure tenure
CITIC Securities Director, general August 2017
Fang Hao
Investment Co., Ltd. manager
Statement of the
position held in N/A
shareholding entity
2. Statement of the position held in other entities
√Applicable Not applicable
Name of Ending
Position held in
in-service Starting date of date of
Name of other entities other entities
staff tenure tenure
Zhang Jian Tianjin Jiema Electric Technology Co., Ltd. Director Jan. 2019
Zhang Jian Tianjin Tianli Electric Bicycle Co., Ltd. Executive director Jul. 2019
Zhang Jian Aima Nanfang Co., Ltd. General manager Aug. 2013
Zhang Jian Zhejiang Today Sunshine New Energy Vehicle Co., Ltd. Director Aug. 2016 Feb. 2022
Duan Hua Jiangsu Aima Vehicle Technology Co., Ltd. Supervisor Nov. 2018
Duan Hua Zhejiang Beisite Supply Chain Management Co., Ltd. Supervisor Aug. 2021
Duan Hua Chongqing Xiaoma Smart Technology Co., Ltd. Supervisor Jan. 2022
Duan Hua Aima Technology (Chongqing) Co., Ltd. Supervisor Apr. 2021
Duan Hua Aima Technology (Zhejiang) Co., Ltd. Supervisor Aug. 2021
Duan Hua Tianjin Xiaoma Network Technology Co., Ltd. Supervisor Jun. 2017
Duan Hua Tianjin Aima Shared Technology Service Co., Ltd. Supervisor Aug. 2017
Duan Hua Tianjin Tianli Electric Bicycle Co., Ltd. Supervisor Jul. 2019
Duan Hua Guangdong Aima Vehicle Technology Co., Ltd. Supervisor Dec. 2018
Duan Hua Chongqing Aima Vehicle Technology Co., Ltd. Supervisor Aug. 2021
Duan Hua Xiaopa Electric Technology (Shanghai) Co., Ltd. Supervisor Nov. 2018
Duan Hua Tianjin Jinge Industrial Design Co., Ltd. Supervisor Jun. 2020
Duan Hua Aima Technology (Hainan) Co., Ltd. Supervisor Apr. 2021
Duan Hua Zhejiang Aima Vehicle Technology Co., Ltd. Supervisor Mar. 2019
Duan Hua Aima South Co., Ltd. Supervisor Jul. 2020
Duan Hua Tianjin Aima Vehicle Technology Co., Ltd. Supervisor Apr. 2017
Duan Hua Sichuan Aima Technology Co., Ltd. Supervisor Jan. 2017
Duan Hua Henan Aima Vehicle Technology Co., Ltd. Supervisor Mar. 2019
Duan Hua Shenzhen Aima Zhixing Technology Co., Ltd. Supervisor Aug. 2021
Duan Hua Guangxi Aima Vehicle Technology Co., Ltd. Supervisor Jan. 2018
Duan Hua Tianjin Suiwanwan Cultural Communication Co., Ltd. Supervisor Aug. 2016
Duan Hua Tianjin Aima Sports Goods Co., Ltd. Supervisor Mar. 2017
Manager,
Zhang Gege Tianjin Suiwanwan Cultural Communication Co., Ltd. Aug. 2016
executive director
Changxin Dingai Investment Management Partnership
Zhang Gege Executive partner Dec. 2017
(Limited Partnership)
Peng Wei Tianjin Tianli Electric Bicycle Co., Ltd. Manager Nov. 2021
Peng Wei Chongqing Aima Vehicle Technology Co., Ltd. Executive director Aug. 2021
Peng Wei Xiaopa Electric Technology (Shanghai) Co., Ltd. Executive director Mar. 2022
Liu Jianxin Tianjin Sanshang Investment Management Co., Ltd. Supervisor Feb. 2017
Fang Hao CITIC Industry Investment Fund Management Co., Ltd. Director Jun. 2018
Fang Hao Zhejiang Huayou New Energy Technology Co., Ltd. Director May 2019
Fang Hao China Investment and Financing Guarantee Co., Ltd. Director Nov. 2019
Fang Hao Zhejiang Xingxing Cold Chain Integration Co., Ltd. Director Dec. 2019
Fang Hao China National Gold Group Gold Jewellery Co., Ltd Director Oct. 2017
Fang Hao Shenzhen BGI Smart Manufacture Technology Co., Ltd. Director Jun. 2020
Fang Hao CSI Capricornus Limited Director
Fang Hao Jupiter Connection Limited Director
Fang Hao Neptune Connection Limited Director
Fang Hao Uranus Connection Limited Director
Fang Hao Pluto Connection Limited Director
36 / 187
2021 Annual Report
Fang Hao CS Regal Holding Limited Director
Fang Hao Sailing International Investment Fund (Shanghai) Co., Ltd. Director Jun. 2021
Fang Hao Xi’an Yisiwei Material Technology Co., Ltd. Director Jul. 2021
Executive director,
Fang Hao Guangzheng Lingxiu Investment Co., Ltd. Dec. 2020
general manager
Fang Hao Hunan Steel Group Co., Ltd. Director Oct. 2021
Fang Hao Citron PE Holdings Limited Director
Wang Aijian Northern International Trust Co., Ltd. and etc. Director Dec. 2015
Independent
Wang Aijian TASLY PHARMACEUTICAL GROUP CO., LTD. Jun. 2021
director
Sun Independent
Dongxing Securities Corporation Limited Dec. 2017
Guangliang director
Sun Independent
CITIC Metal Co., Ltd. Sep. 2020
Guangliang director
Sun
Beijing Huatang Law Firm Director Jan. 1998
Guangliang
Vice Chairman of
Xu Haoran Beijing Youshi Capital Management Co., Ltd. Sep. 2019
the Board
Xu Haoran Kunming Mengtang Technology Co., Ltd. Director Dec. 2015
Beijing Gaopeng Tianxia Investment Management Co.,
Xu Haoran Director Jul. 2014
Ltd.
Xu Haoran Jiangsu Tianzheng Media Advertising Co., Ltd. Supervisor Mar. 2004
Xu Haoran Chongqing Yunhuan Cultural Industry (Group) Co., Ltd. Director Oct. 2018
Xu Haoran TOJOY Holding Group Co., Ltd. Director Sep. 2020
Guangzhou Dingda Educational Information Consultation
Xu Haoran Supervisor Aug. 2008
Co., Ltd.
Chairman of the
Xu Haoran Yonghu Cross-border E-commerce Co., Ltd. Jul. 2018
Board
Beijing Huizhi Huaxia Business Management Consultation
Xu Haoran Supervisor May 2021
Co., Ltd.
Xu Haoran Chongqing Yunyixuan Cultural Technology Co., Ltd. Director Jun. 2017
Xu Haoran Qinzhi Digital Technology Co., Ltd. Director Jul. 2015
Xu Haoran Far East Holding Group Co., Ltd. Supervisor Jan. 2019
Xu Haoran TOJOY (Qingdao) Financial Technology Group Co., Ltd. Executive director Oct. 2019
Xu Peng Taizhou Aima Vehicle Manufacture Co., Ltd. Executive director Nov. 2021
Xu Peng Aima Growth Venture Capital (Ningbo) Co., Ltd. Executive director Nov. 2021
Xu Peng Lishui Aima Vehicle Technology Co., Ltd. Executive director Dec. 2021
Manager,
Li Yubao Zhejiang Best Supply Chain Management Co., Ltd. Aug. 2021 Mar. 2022
executive director
Hao Hong
Jiangsu Aima Vehicle Technology Co., Ltd. Executive director Jun. 2020
(former)
Hao Hong
Aima Technology (Chongqing) Co., Ltd. Executive director Apr. 2021
(former)
Hao Hong
Tianjin Xiaoma Network Technology Co., Ltd. Executive director May 2020
(former)
Hao Hong
Tianjin Aima Shared Technical Service Co., Ltd. Executive director May 2020
(former)
Hao Hong
Guangdong Aima Vehicle Technology Co., Ltd. Executive director Jun. 2020
(former)
Hao Hong
Aima Technology (Hainan) Co., Ltd. Executive director Apr. 2021
(former)
Hao Hong
Zhejiang Aima Vehicle Technology Co., Ltd. Executive director May 2020
(former)
Hao Hong
Aima South Co., Ltd. Executive director Jul. 2020
(former)
Hao Hong
Tianjin Aima Vehicle Technology Co., Ltd. Executive director May 2020
(former)
Hao Hong
Sichuan Aima Technology Co., Ltd. Executive director May 2020
(former)
Hao Hong
Henan Aima Vehicle Technology Co., Ltd. Executive director Sep. 2020
(former)
Hao Hong
Shenzhen Aima Zhixing Technology Co., Ltd. Executive director Aug. 2021
(former)
Hao Hong Guangxi Aima Vehicle Technology Co., Ltd. Executive director May 2020
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2021 Annual Report
(former)
Hao Hong
Tianjin Aima Sports Goods Co., Ltd. Executive director May 2020
(former)
Ren Yong Chairman of the
Guangdong Chengyi Technology Co., Ltd. Dec. 2021
(former) Board, manager
Ren Yong Manager,
Guangdong Guidepost Investment Co., Ltd. Jan. 2022
(former) executive director
Description
of taking
N/A
office in
other units
(III) Remunerations of directors, supervisors and senior executives
√Applicable Not applicable
The Remuneration and Appraisal Committee of the board of directors
brings forth a proposal to the board of directors about remuneration of
Decision-making process for the
directors and senior executives of the Company. The board of directors
remuneration of directors,
decides remuneration of management, reward and punishment affairs,
supervisors and senior executives
and general meeting of shareholders decides remuneration affairs of
directors and supervisors.
Basis for deciding the remuneration The Company determines the remuneration of directors, supervisors
of directors, supervisors and senior and senior executives according to the Articles of Association and
executives relevant rules.
The directors Liu Jianxin, Fang Hao are external directors who have
not acted as other positions in the Company and do not receive
Actual payment of remuneration for
remuneration in the Company; the supervisor Wu Lyubo is shareholder
directors, supervisors and senior
representative supervisor and does not receive remuneration in the
executives
Company; the remunerations of other directors, supervisors and senior
executives are paid by the Company according to relevant rules.
Total remuneration actually
obtained by all directors,
1,308.65 RMB’0000
supervisors and senior executives
at the end of reporting period
(IV) Changes in directors, supervisors and senior executives
√Applicable Not applicable
Name Position Change Reason of change
Wang Quanzhang Vice general manager Resigned Personal reason
Vice general manager,
Hao Hong Resigned Job adjustment
Chief Financial Officer
Vice general manager, General manager
Zheng Hui Employment
Chief Financial Officer nominates to employ
Ren Yong General manager Resigned Job adjustment
Chairman of the Board
Zhang Jian General manager Employment
nominates to employ
(V) Punishments imposed by securities regulators in the past three years
Applicable √Not applicable
(VI) Other
Applicable √Not applicable
V. Board Meetings Convened during the Reporting Period
Meeting Convening date Resolutions
14th meeting of the
Reviewed and adopted the Proposal on Approving Financial
fourth board of January 31, 2021
Statement Reviewing Report of 2020.
directors
15th meeting of the March 23, 2021 Reviewed and adopted the Proposal on Approving the Audited
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2021 Annual Report
fourth board Financial Report of 2018, 2019 and 2020, the Proposal on
Confirming the Related Transactions of the Company in 2020.
Reviewed and adopted the Work Report of Board of Directors of
2020, Final Financial Report of 2020, Motion to approve the
review report of the financial statements for the three-month
period ending March 31, 2021, Proposal on Reviewing
Remuneration Situation of Directors, Supervisors and senior
16th meeting of the executives in 2020 and Remuneration Program for 2021,
April 27, 2021
fourth board Proposal on Estimated Daily Related Transactions in 2021,
Proposal on Guarantee Plan of the Company in 2021, Proposal
on Use of Idle Self-owned Fund for Cash Management, Profit
Distribution Plan of 2020, Proposal on Continuing to Employ
Accounting Firm for 2021,Proposal on Holding General Meeting
of shareholders of 2020.
Reviewed and adopted the Proposal on Amending Articles of
Association and Completing Business Change Registration,
17th meeting of the Proposal on Using Raised Fund for Providing Loan to Wholly-
June 23, 2021
fourth board owned Subsidiaries for Implementing Raised Investment Projects,
Proposal on Using Temporary Idle Raised Fund for Cash
Management.
Reviewed and adopted the Proposal on Adjusting Organizational
Structure of the Company, Proposal on Employing Vice General
18th meeting of the Manager and Chief Financial Officer of the Company, Proposal
July 21, 2021
fourth board on Using Raised Fund for Replacing Raised Investment Projects
Inputted in Advance and Self-raised Fund of Paid Issuance
Expenses.
Reviewed and adopted the Proposal on the Company Intends to
sign the Project Agreement with the Management Committee of
19th meeting of the Chongqing Tongliang High-tech Industrial Development Area,
July 30, 2021
fourth board Proposal on Employing General Manager of the Company,
Proposal on Holding the First Temporary General Meeting of
shareholders of the Company in 2021.
Reviewed and adopted the Proposal on Semi-annual Report of
2021 and Its Summary, Proposal on Adjusting the Limit of Using
20th meeting of the Temporary Idle Raised Fund for Cash Management and
August 26, 2021
fourth board Extending Term of Investment, Proposal on Special Report for
Semi-annual Deposit and Use Situation of Raised Fund of 2021,
the Proposal on Employing Representative of Securities Affairs.
Reviewed and adopted the Proposal on the Company Intends to
21st meeting of the
September 3, 2021 Sign the Agreement for Investment on Taizhou Smart Electric
fourth board
Vehicle and High-speed Electric Motorcycle Project.
Reviewed and adopted the Proposal on Report of Third Quarter
of 2021, Proposal on the Company Intends to Sign the Investment
Agreement with the People’s Government of Qingtian County,
Lishui City, Proposal on Amending Articles of Association,
22nd meeting of the
October 28, 2021 Proposal on Amending Rules of Procedure for General Meeting
fourth board
of Shareholders, Proposal on Amending Rules of Procedure for
Board of Directors, Proposal on Holding the Second Temporary
General Meeting of Shareholders of the Company in 2021,
Proposal on Applying for Comprehensive Credit Line to Bank.
Reviewed and adopted the Proposal on Restricted Stock
Incentive Plan of 2021 (Draft) of the Company and Its Summary,
Proposal on Examination Management Measures for
Implementation of Restricted Stock Incentive Plan of 2021 of the
23rd meeting of the
November 16, 2021 Company, Proposal on Requesting General Meeting to Authorize
fourth board
Board of Directors to Handle Matters Related to Equity Incentive,
Proposal on Employing General Manager of the Company,
Proposal on Holding the Third Temporary General Meeting of
Shareholders of the Company in 2021.
Reviewed and adopted the Proposal on Adjusting the List of First
Granted Incentive Objects Under Restricted Stock Incentive Plan
24th meeting of the of 2021 and Quantity of Equity Granted, Proposal on Granting
December 27, 2021
fourth board Restricted Stock to Incentive Objects First Time, Proposal on
Formulating Internal Audit Rules, Proposal on Formulating
Internal Control Rules.
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2021 Annual Report
VI. Performance of Duty by Directors
(I) Attendance of directors at board meetings and general meetings of shareholders during the Reporting
Period
Attendance
at general
Attendance at board meetings
meetings of
shareholders
Total
Total
number The
Independent number of
Name of of board director
director or Board Board general
director meetings Board meetings failed to
not meetings meetings meetings of
The attended by way attend two
attended Attended Absence shareholders
director of consecutive
on through the director
was telecommunication board
site a proxy was
supposed meetings
supposed to
to (yes/no)
attend
attend
Zhang Jian No 11 11 7 0 0 No 4
Duan Hua No 11 11 7 0 0 No 4
Zhang
No 11 11 7 0 0 No 4
Gege
Peng Wei No 11 11 7 0 0 No 4
Liu Jianxin No 11 11 10 0 0 No 4
Fang Hao No 11 11 11 0 0 No 3
Wang
Yes 11 11 11 0 0 No 3
Aijian
Sun
Yes 11 11 11 0 0 No 3
Guangliang
Xu Haoran Yes 11 11 11 0 0 No 3
Explain why any director failed to attend two consecutive board meetings.
Applicable √Not applicable
Total number of board meetings convened in the
11
Reporting Period
Of which: on-site meetings 0
Meetings convened by way of telecommunication 7
Meetings where on-site attendance and attendance
4
by telecommunication were both allowed
(II) Objections raised by directors on matters of the Company
Applicable √Not applicable
(III) Other
Applicable √Not applicable
VII. Specialized Committees under the Board of Directors
√Applicable Not applicable
(1).Members of the specialized committees
Specialized committee Members
Audit Committee Wang Aijian, Sun Guangliang, Xu Haoran Zhang Jian
Nomination Committee Wang Aijian, Sun Guangliang, Xu Haoran
Remuneration and Appraisal
Wang Aijian, Sun Guangliang, Xu Haoran
Committee
Strategy and Development
Wang Aijian, Sun Guangliang, Xu Haoran, Zhang Jian
Committee
(2).The Remuneration and Appraisal Committee held two meetings during the Reporting Period.
Other performance
Important comments and
Convening date Content of meeting of
suggestions
duties
Reviewed the Proposal on Restricted Stock Incentive Plan
November 15, of 2021 (Draft) of the Company and Its Summary, Proposal Agree to submit to the board
Nil
2021 on Examination Management Measures for of directors for deliberation
Implementation of Restricted Stock Incentive Plan of 2021
40 / 187
2021 Annual Report
of the Company, Proposal on Verifying the List of Incentive
Objects of the 2021 Restricted Stock Incentive Plan.
Reviewed the Proposal on Adjusting the List of First
Granted Incentive Objects Under Restricted Stock
December 22, Agree to submit to the board
Incentive Plan of 2021 and Quantity of Equity Granted, Nil
2021 of directors for deliberation
Proposal on Granting Restricted Stock to Incentive Objects
First Time.
(3).The Audit Committee held five meetings during the Reporting Period.
Other performance
Convening Important comments and
Content of meeting of
date suggestions
duties
Agree to submit to the
January 29, Reviewed the Proposal on Approving Financial Statement
board of directors for Nil
2021 Reviewing Report of 2020.
deliberation
Reviewed the Proposal on Approving the Audited Financial Report Agree to submit to the
March 22,
of 2018, 2019 and 2020, the Proposal on Confirming the Related board of directors for Nil
2021
Transactions of the Company in 2020 deliberation
Reviewed the Final Financial Report of 2020, Proposal on
Approving the Financial Statement Reviewing Report in the Period Agree to submit to the
April 26,
of Three Period up to March 31, 2021, Proposal on Estimated Daily board of directors for Nil
2021
Connected Transactions for 2021, Proposal on Continually deliberation
Employing the Accounting Firm for 2021
Reviewed the Proposal on Semi-annual Report of 2021 and Its Agree to submit to the
August 25,
Summary, Proposal on Special Report for Semi-annual Deposit and board of directors for Nil
2021
Use Situation of Raised Fund of 2021 deliberation
Agree to submit to the
October 26,
Reviewed the Proposal on Third Quarter Report of 2021 board of directors for Nil
2021
deliberation
(4).The Nomination Committee held three meetings during the Reporting Period.
Important comments Other
Convening date Content of meeting and performance of
suggestions duties
Agree to submit to the
Reviewed the Proposal on Employing Vice General
July 20, 2021 board of directors for Nil
Manager and Chief Financial Officer of the Company
deliberation
Agree to submit to the
Reviewed the Proposal on Employing General Manager of
July 29, 2021 board of directors for Nil
the Company
deliberation
Agree to submit to the
Reviewed the Proposal on Employing General Manager of
November 15, 2021 board of directors for Nil
the Company
deliberation
(5).Specification of Objections
Applicable √Not applicable
VIII. Risks Detected by the Board of Supervisors
Applicable √Not applicable
The board of supervisor raised no objections during the Reporting Period.
IX. Employees of the Company as the Parent and Its Principal Subsidiaries at the Period-end
(I) Employees
Number of in-service employees of the Company as the parent 1,073
Number of in-service employees of principal subsidiaries 6,215
Total number of in-service employees 7,288
Number of retirees to whom the Company as the parent or its principal 0
subsidiaries need to pay retirement pensions
Functions
Function Employees
Production 4,516
Sales 1,081
Technical 924
Financial 150
Administrative 617
Total 7,288
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2021 Annual Report
Educational background
Category of education level Quantity (person)
Doctor 5
Master 68
Undergraduate 1,087
Junior College and Technical secondary school 1,090
High school and below 5,038
Total 7,288
(II) Remuneration policy
√Applicable Not applicable
Guided by the Fighters Culture and the performance-oriented idea, The Company implements a
remuneration policy that is internally fair, externally competitive, and based on performance evaluation, which
takes the post system as the standard and the qualification evaluation as the basis to establish a sound, scientific
and reasonable promotion and compensation system. At the same time, through the implementation of incentive
measures such as equity incentives, the Company has realized the deep binding between its interests and the
key employees and improved loyalty. Under its framework of overall compensation system, for key businesses
(including marketing, R&D and manufacturing), the Company conducts performance appraisals based on
business attributes and the final realization of the value of related products, including hot product development
and marketing incentive, and reward of production process improvements, etc.
(III) Training plans
√Applicable Not applicable
The Company appreciated human capital under the talent management idea of “showing respect for our staff,
improving their competence and making them happy”. In the aspect of talent team construction, the Company
cultivated the “talent forest” idea by external recruitment and internal training to attract experienced R&D talents
and formed “talent forest”; it also conducted on-campus recruitment for graduating students from universities
and colleges as its talent reserve. The Company focused on talent cultivation, talent development and manager-
trainee program, and established qualification system for professionals and technicians. The Company set up
training platform (Aida Course) and released “navigation courses” and “initiation courses” for top management
and low-level managers. In 2021 the platform provided innovation TRIZ courses, cross-culture courses, courses
for gold medal technicians, operator training courses, courses for gold medal team leaders and courses for
craftsmen. And there are Young Eagle Training Camp and Eagle Mentor Training Program for 2021 graduates.
(IV) Labor outsourcing
√Applicable Not applicable
Total remuneration paid for labor outsourcing RMB73,615,077.43
X. Plan on Profit Distribution or Conversion of Capital Reserve
(I) Formulation, implementation or adjustment of the cash dividend policy
√Applicable Not applicable
1. According to the Articles of Association, the cash dividend policy of the Company is as below:
If the Company’s profit for the year and the accumulative undistributed profit are positive, and it has no
significant investment plan or material cash spending, the Company shall give priority to cash dividends in the
profit distribution, which shall be no less than 20% of distributable profit recorded in the year, provided that such
distribution shall not prejudice the normal operation and long-term business development of the Company. The
dividend ratio of each year shall be formulated by the board of directors according to the operation condition and
relevant regulations, and submitted to the general meeting for consideration and approval.
When proposing the profit distribution, the board of directors shall take into consideration of the industry
characteristics, ranking in the industry, competition power, profit margin when determining the Company’s
development stage, and whether it has any significant capital expenditure arrangements, and formulate the profit
distribution proposal, in accordance with the provisions set out below:
(1) If the Company is at the mature stage, and has no significant capital expenditure arrangement, the ratio
of cash dividends shall be at least 80%in the profit distribution.
(2) If the Company is at the mature stage, and has a significant capital expenditure arrangement, the ratio
of cash dividends shall be at least 40% in the profit distribution.
(3) If the Company is at the growing stage, and has a significant capital expenditure arrangement, the ratio
of cash dividends shall be at least 20% in the profit distribution.
(4) If it is difficult to determine the development stage of the Company while it has a significant capital
expenditure arrangement, the profit distribution may be dealt with according to the rules applied in the previous
paragraph.
2. Pursuant to the resolution at the 25th meeting of the fourth session of the Board, the Company intends
to take the total shares on the registration date as the basis to execute the profit distribution and capitalization
of capital reserve in year 2021 as below:
(1) The Company intends to distribute a cash dividend of RMB5.00 (tax included) per 10 shares to all
shareholders. Based on the total share capital of 410,440,003 shares of the Company so far, the cash dividend
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2021 Annual Report
to be distributed as above will be RMB 205,220,001.50 in total (tax included). The cash dividend of the Company
in this year accounts for 30.91% in the net profit attributable to common shareholders of the Company. After the
profit distribution, the remaining balance of undistributed profit will be accumulated for further distribution in the
years to come.
(2) The Company intends to issue 4 shares converted by capital reserve, per 10 shares to all shareholders.
Based on the total share capital of 410,440,003 shares of the Company so far, the total shares of the Company
will increase to 574,616,004 shares after this conversion (the total share capital of the Company is based on the
final registration result of China Securities Depository and Clearing Corporation Limited Shanghai Branch, in
case of the rounding differences if any)
Before the equity registration date of equity distribution, if the total equity of the Company changes due to
equity-based incentives, repurchase and cancellation of shares granted by equity-based incentives and other
matters, the Company intends to maintain the ratio of distribution and conversion unchanged, and
correspondingly adjust the amount of profit distribution and capital reserve capitalization. This matter needs to
be submitted to the 2021 annual general meeting of the Company for consideration.
(II) Special description of cash dividend policy
√Applicable Not applicable
In compliance with the Company’s Articles of Association or the relevant resolutions √Yes No
of general meeting of shareholders
Specific and clear dividend standards and ratios √Yes No
Complete decision-making procedure and mechanism √Yes No
Independent directors have faithfully performed their duties and played their due √Yes No
role
Non-controlling shareholders are able to fully express their opinion and demand and √Yes No
their legal rights and interests are fully protected
(III) Where the Company fails to put forward a cash dividend proposal despite the facts that the Company
has made profits in the Reporting Period and the profits of the Company as the parent distributable to
shareholders are positive, it shall give a detailed explanation of why, as well as of the purpose and use
plan for the retained earnings.
Applicable √Not applicable
XI. Status and Impact of Share Incentive Schemes, Employee Shareholding Plan or Other Incentive
Measures for Employees
(I) Relevant incentive matters disclosed in current announcement with no subsequent progress or
change
√Applicable Not applicable
Overview Index to the disclosed information
The Company held the 23rd meeting of the fourth board of directors on
November 16, 2021, reviewed and adopted the Proposal on Restricted Stock
See the relevant announcements
Incentive Plan of 2021 (Draft) of the Company and Its Summary, Proposal on
disclosed on the website of Shanghai
Examination Management Measures for Implementation of Restricted Stock
Stock Exchange on November 17, 2021
Incentive Plan of 2021 of the Company, Proposal on Requesting General
for details.
Meeting to Authorize Board of Directors to Handle Matters Related to Equity
Incentive.
The Company held the 24th meeting of the fourth board of directors on
See the relevant announcements
December 27, 2021, reviewed and adopted the Proposal on Adjusting the List of
disclosed on the website of Shanghai
First Granted Incentive Objects Under Restricted Stock Incentive Plan of 2021
Stock Exchange on December 28, 2021
and Quantity of Equity Granted, Proposal on Granting Restricted Stock to
for details.
Incentive Objects First Time.
See the relevant announcements
On January 24, 2022, the Company completed first granting registration of
disclosed on the website of Shanghai
restricted stock incentive plan of 2021 with China Securities Depository and
Stock Exchange on January 26, 2022 for
Clearing Corporation Limited Shanghai Branch.
details.
(II) Incentives not disclosed in temporary announcement or with subsequent progress
Equity incentive situation
Applicable √Not applicable
Other description
Applicable √Not applicable
Employee stock ownership plan
Applicable √Not applicable
Other incentive measures
Applicable √Not applicable
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(III) Equity incentives granted to directors and senior management during the Reporting Period
√Applicable Not applicable
In: share
Restricted
Restricted
Shares Restricted Closing
Shares held Grant Shares
granted in Unlocked shares market
Name Position at the price still in
The shares held at the price
period- (RMB) lockup
Reporting period-end (RMB)
begin
Period
Vice general manager,
Zheng Hui 400,000 20.23
Chief Financial Officer
Hu Yupeng Vice general manager 200,000 20.23
Total / 600,000 / /
By December 31, 2021, the 2021 restricted shares granted by the Company to Zheng Hui and Hu Yupeng
have not yet been registered.
(IV) Establishment and formulation of appraisal and incentive mechanisms for senior executives during
the Reporting Period
√Applicable Not applicable
The evaluation and incentive mechanisms of the Company to is based on" Developing with the organization
and Achieving organizational goals", the Company selects suitable performance indexes (including financial
indexes, operation indexes, quality indexes, key events and veto item) according to business attributes, sets up
short-term performance target and long-term performance target to the departments or business units for which
the senior executives are responsible, the Company regularly tracks and implements the achievement of these
target, and implements short-term and long-term incentives based on assessment and achievement of
organizational goals.
XII. Establishment and Implementation of Internal Control System in the Reporting Period
√Applicable Not applicable
In order to strengthen and regulate internal control management, establish and improve effective self-
restraint mechanism, improve risk management level, achieve the strategic target and promote sustainable
development, the Company formulated the Internal Control Rules and considered and approved it in the 24th
meeting of the fourth session of the Board held on December 27, 2021, in accordance with the Company Law,
Securities Law, Basic Standards for Internal Control of Enterprises and its auxiliary guide, Articles of Association
and other rules,. The Company continually improves internal control system in consideration of the actual
operation situation since it was listed on June15, 2021.
Description of major defects existing in internal control in the reporting period.
Applicable √Not applicable
XIII. Management and Control of Subsidiaries during the Reporting Period
√Applicable Not applicable
In order to strength the Company’s management and control of the subsidiaries, standardize the internal
operation mechanism and maintain legal rights of the Company and the investors, in accordance with the
Company Law, Securities Law, Stock Listing Rules of Shanghai Stock Exchange, Articles of Association and
other relevant rules, the Company formulated Subsidiary Management Rules, which was considered and
approved in the 25th meeting of the fourth session of the Board. In the reporting period, the subsidiaries of the
Company were in normal operation without major violations of laws and regulations.
XIV. Information about the Internal Control Audit Report
Applicable √Not applicable
Whether internal control audit report is disclosed: no
In accordance with The Notice on Implementation of Enterprise Internal Control Norms System for
Companies Listed on the Main Board by Categories and Batches in Year 2012 issued by China Securities
Regulatory Commission, the companies newly listed on the Main Board shall start to establish an internal control
system in the year of listing, and disclose an internal control self-appraisal report and audit report at the time of
disclosure of annual report for the year following the listing. Therefore, the Company did not disclose internal
control audit report.
XV. Rectification of Issues in Self- inspection of Special Actions for Governance of the Listed Company
Not applicable
XIV. Other
Applicable √Not applicable
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Section 5 Environmental and Social Responsibility
I. Environmental Information
(I) Information about environmental protection of the Company and its main subsidiaries as the key
pollutant discharging entities published by environmental protection department
√Applicable Inapplicable
1. Pollutant discharging information
√Applicable Not Applicable
In accordance with the List of Key Pollutant Discharging Entities of Tianjin City in 2021, Tianjin Aima, a
subsidiary of the Company, was listed as a key pollutant discharging entity of atmospheric environment, solid
waste and hazardous waste of Tianjin City in 2021. In accordance with the List of Key Pollutant Discharging
Entities of GuiGang City in 2021, Guangxi Aima, a subsidiary of the Company, was listed as a key pollutant
discharging entity of atmospheric environment in September 2021.
Tianjin Aima and Guangxi Aima have strictly executed relevant requirements of laws, regulations and
pollutant discharging permit, they have truthfully disclosed relevant information to the public on the nationwide
pollutant discharging permit management information platform, including pollutants, discharging manner,
discharging concentration and total discharging volume, construction and operation situation of pollution
prevention and control facilities, and accept supervision of the public.
2. Construction and operation situation of pollution prevention and control facilities
√Applicable Not Applicable
Tianjin Aima and Guangxi Aima have constructed various pollutant treatment facilities strictly according to
regulations, standards, environmental impact assessment and approval requirements, and these pollutant
treatment facilities are operating well. They have strictly executed national, local discharging standards to ensure
that the pollutant discharging concentration meet the standards, and the solid waste has been properly disposed.
Details are as follows:
(1) Tianjin Aima
The major waste gases emitted by Tianjin Aima include spraying dust, organic waste gas and fuel waste
gas, and the major factors of these pollutants are dust, methylbenzene, dimethylbenzene, VOCs, smoke dust,
SO2, NOx. Painting rooms, leveling rooms and drying rooms of various production lines are airtight, the purifying
method of organic waste gases is mainly “zeolite roller + RTO”, and the gases are emitted through exhaust stack
after treatment; Dust from the static powder spraying process is recovered through recovery system, and the tail
gas is fully emitted through exhaust tubes. The main waste gas exhaust port of spraying workshop is set with
online monitoring devices, which is networked withTIanjin Ecology and Environment Bureau to real-time monitor
of atmospheric pollutants emission meeting standards. The waste gas treatment facilities of Tianjin Aima are in
good operation, methylbenzene, dimethylbenzene, VOCs, PM, smoke dust, SO2, NOx and other pollutants are
discharged up to the standard.
Tianjin Aima has constructed a temporary storage room of hazardous waste, recovery area of general solid
waste and other facilities, the construction of the temporary storage room of hazardous waste met Pollution
Control Standards for Hazardous Waste Storage General industrial solid waste has been disposed according to
garbage classification, in basis of which the recycling value has been delivered to the qualified professional
institutions for recycle ,production and domestic waste has been cleaned and transported regularly by sanitation
departments, and hazardous waste has been disposed of safely by qualified professional companies. In 2021,
Tianjin Aima fully performed the hazardous waste transfer formalities according to laws, and the hazardous
waste was disposed of on the basis of compliance.
(2) Guangxi Aima
The main waste gases emitted from Guangxi Aima are spraying dust, organic waste gas and fuel waste gas,
and main pollutant factors are dust, methylbenzene, dimethylbenzene, VOCs, smoke dust, SO2, NOx. Painting
rooms, leveling rooms and drying rooms of various production lines are airtight, the purifying method of organic
waste gas is mainly “pre-treatment with dry filtration + activated carbon adsorption desorption analytic
combustion”, the waste gases are emitted according to relevant standards through exhaust tubes after treatment,
meeting the requirements of Pollution Prevention and Control Technology Policy for Volatile Organic Compounds
(VOCs); The waste gas treatment facilities of Guangxi Aima are in good operation, and the pollutant factors of
methylbenzene, dimethylbenzene, VOCs, PM, smoke dust, SO2, NOx and other pollutants are discharged up to
the standard.
Besides the above environmental protection measures, Tianjin Aima and Guangxi Aima have taken
corresponding environmental protection measures to drainage and noise, which met the requirements in relevant
with national and local environmental protection.
3. Environmental impact assessment of construction project and other administrative licenses for
environmental protection
√Applicable Not applicable
Strictly according to the requirements of laws and regulations, The Company prepares environmental impact
assessment documents for the new, reconstruction and expansion projects that need to go through
environmental protection procedures, and obtains environmental impact assessment approval documents, and
constructs strictly according to laws, regulations and environmental impact assessment approval documents.
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2021 Annual Report
The Company performs the completion and acceptance procedures of environmental protection according to
laws and regulations after the completion of the construction.
4. Emergency plan for environmental accident
√Applicable Not applicable
Tianjin Aima and Guangxi Aima filed their contingency plans for environmental emergencies in local
environmental protection administrations in August 2021 and September 2021 respectively and received the
corresponding filing receipt. They further inspected risk sources and took relevant corrective measures to
improved environmental risk prevention mechanism, and reduce the possibility of environmental risk accidents.
Tianjin Aima and Guangxi Aima have organized relevant personnel every year to carry out emergency drills for
environmental risk accidents in order to improve emergency response capacities.
5. Environmental self-monitoring program
√Applicable Not applicable
The main waste gas and wastewater discharging ports of Tianjin Aima are installed with online monitoring
system for real-time monitoring of main pollutants, and monitoring data is directly uploaded to environmental
protection data platform, various pollutants are discharged in conformity with relevant standards. The Company
keeps operation and maintenance records on production and waste gas, wastewater treatment facilities in daily
production, and solid waste and hazardous waste records. Tianjin Aima entrusts qualified testing institutions to
regularly monitor waste water, waste gas and noise strictly in accordance with self-monitoring Technical
Guidance for Pollutant Discharging Entities and other standards, as well as monitoring frequency requirement
of environmental impact evaluation documents and pollutant discharging license. The testing report is uploaded
to the pollution source monitoring data management and information sharing platform.
Guangxi Aima entrusts qualified testing institutions to regularly monitor wastewater, waste gas and noise
strictly in accordance with self-monitoring Technical Guidance for Pollutant Discharging Entities and other
standards, as well as monitoring frequency requirement of environmental impact assessment documents and
pollutants-discharging license. Various pollutants are discharged according to relevant standards. The testing
report is uploaded to the management and information sharing platform for pollution source monitoring data.
Guangxi Aima keeps operation and maintenance records on production and waste gas, wastewater treatment
facilities in daily production, and solid waste and hazardous waste transfer records.
6. Administrative penalty due to environmental issues in the reporting period
Applicable √Not applicable
7. Other environmental information that should be disclosed
Applicable √Not applicable
(II) Description of environmental protection situation of companies other than those defined as key
pollutant-discharging entities
√Applicable Not applicable
1. Administrative penalty due to environmental issues
Applicable √Not applicable
2. Other environmental information disclosed with reference to major pollutant discharging entities
√Applicable Not applicable
The Company attaches importance to environmental protection, each production base has acquired
pollutants- discharging license, has marked flow directions of wastewater and rainwater pipelines to complete
rain and sewage diversion. Production wastewater, domestic wastewater and rainwater are separately drained;
the wastewater treated by the wastewater treatment station is drained through municipal pipelines; the
Company regularly inspects to ensure that the wastewater standards of each base in conformity with relevant
requirements. The general wastewater drainage port at the Production area of Tianjin Production Base is
installed with online monitoring device, which is connected with Tianjin Ecology and Environment Bureau for
real-time monitoring of pollutant in the external drainage water of the production area, so that its drainage met
relevant discharging standards.
Each production base makes classified disposal of general solid waste, and delivers the general solid
waste that can be recovered, such as packaging materials, to third parties for recovery, and other waste is
delivered to the local sanitation department for treatment.
The Company has established and strictly executed the special management mechanism of hazardous
solid waste, has set special sites, marks and responsible person for collection, storage and transfer of
hazardous solid waste, and promptly makes records. All hazardous solid waste is entrusted to the qualified
third-party professional institutions for treatment or recycled by the original manufacturers.
The production bases of the Company make reasonably layout of noise equipment, and takes sound
insulation, sound absorption, vibration reduction and other measures. The noise at the boundary of factory
meets requirements of standard and relevant factories would not generate adverse influence on ambient
sound environment.
3. Reasons of not disclosing other environmental information
Applicable √Not applicable
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(III) Relevant information favorable to ecological protection, pollution prevention and control and
environmental responsibility fulfillment
√Applicable Not applicable
The Company invests in building a digitally-intelligent energy consumption data collecting and analyzing
system to support green production decisions such as process improvement, optimization of production process
with energy consumption data, and improve energy utilization efficiency in production and management. The
Company and its subsidiaries actively carry out inspection, transformation and replacement of high energy
consumption equipment, select energy saving, water saving products, use recyclable package if possible, and
improved service life of turnover box so as to reduce consumption of resources and energy.
(IV) Measures taken during the Reporting Period to reduce carbon emission and their effectiveness
√Applicable Not applicable
The Company actively implements energy saving and consumption reduction projects, considers energy
saving and emission reduction throughout the enterprise research and development, production and marketing
processes, actively explores the effective paths of reducing resources and energy consumption, realizes cyclic
resource utilization to improve comprehensive utilization efficiency of energy and other resources. The Company
also establishes the consciousness of energy saving and emission reduction, develops energy conservation and
emissions reduction enterprise culture, and encourages employees to start from the intravenous drip, such as
saving electricity and water. The specific energy saving projects in 2021 are as follows:
1. Reclaimed water recycling project of Tianjin Aima
Tianjin Aima completed wastewater recycling project in the second half of 2021, and the water quality of
treated wastewater in the wastewater treatment station met level 3 drainage standard and can be used for
production process without special requirements, and toilet in office building.
2. Energy saving and consumption reduction project of Zhejiang Aima
Zhejiang Aima made energy consumption analysis on water and electricity consumption situation in the
production area, formulated and executed energy saving and consumption reduction transformation of
production area based on data analysis, including investments in replacing energy-saving variable frequency
compressor, lighting equipment, installing water monitoring smart devices and etc.
II. Performance of Social Responsibilities
√Applicable Not applicable
The Company has actively undertaken social responsibility and supported charity events. In June 2021, in
order to support local epidemic control work, Guangdong Aima donated electric bicycles and tents valued RMB
425,000 to Dongguan City, Guangdong Province, where COVID-19 broke out in large numbers. In July 2021,
affected by extreme weather, Zhengzhou City in Henan Province suffered catastrophic flood. The Company
established a disaster relief guidance team immediately to take a few of disaster relief measures, including
donated 10 vehicles of goods for disaster relief, organized employees to donate RMB 520,000, and it also
appointed a special service team to carry out road relief, vehicle inspection and repair free of charge for residents
in the disaster - stricken region.
III. Particulars on the Efforts to Consolidate and Expand Its Achievements in Poverty Alleviation and
Rural Area Invigoration
√Applicable Not applicable
The Company has been pursuing the development concept of "love" for many years, actively undertaking
social responsibilities and practicing public welfare undertakings. In the course of responding to the policy all of
“precise poverty alleviation”, the Company took different support measures according to the actual demand of
the supported targets.
As an important enterprise participating in the point-to-point assistance of Tianjin Municipal Government to
in the poverty-stricken areas in West China, the Company actively helped the villages in West China to realize
vitalization. In June 2021, the Company donated Aima electric tricycles valued RMB 1.20 million to Zhengyuan
County, Gansu Province in order to support local rural construction. In July 2021, the Company donated Aima
electric bicycles valued RMB 1.50 million to its targeted support region Huangnan Tibetan Autonomous
Prefecture, Qinghai Province, and this effectively solved the local travel problem of local officials and employees.
In September 2021, Guangxi Aima donated educational materials to Zhengcun Primary School in Dongjin
Town, Guigang City, Guangxi province to support local rural education. Guangxi Aima built a cement road 100m
(L) x 3.5m (W) x 0.16m (D) in Zhongli Village, Zhongli Township, Guigang City, Guangxi province to promote
local economic development. In addition, Henan Aima actively cooperated with local Labor Bureau of Shangqiu
City to provide jobs for local women and support local development.
Section 6 Significant Events
I. Fulfillment of Commitments
(I)Commitments of the Company’s actual controller, shareholders, related parties, acquirer, as well as
the Company and other relevant entities during or up to the reporting period
"√ Applicable" "□ Not applicable"
Commitment Commitment Commitment Commitment Whether there Whether it If it is not If it is not
Promisor
background Category Description Duration is a deadline is timely timely timely
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2021 Annual Report
for and performed, performed,
implementation strictly the the plan
performed specific for the
reasons further
should be step
stated should be
stated
June 15,
Controlling
Restricted 2021 to Not Not
shareholder and Note 1 Yes Yes
shares June 14, applicable applicable
actual controller
2024
June 15,
Restricted Changxing Dingai and 2021 to Not Not
Note 2 Yes Yes
shares its partner June 14, applicable applicable
2024
CITIC Investment,
Jinshi Zhiyu, Jinshi
Haofeng, Three June 15,
Restricted Gorges Jinshi, Liu 2021 to Not Not
Note 3 Yes Yes
shares Jianxin, Peng Wei, June 14, applicable applicable
Han Jianhua, Li 2022
Shishuang and Qiao
Baogang
Controlling
Commitments
shareholder, actual
related to IPO
controller, Changxing Not Not
Others Note 4 Long term No Yes
Dingai and its partner, applicable applicable
Liu Jianxin and Peng
Wei
The Company, the
controlling
June 15,
shareholder, actual
2021 to Not Not
Others controller, directors Note 5 Yes Yes
June 14, applicable applicable
(independent directors
2024
are excluded) and
senior executives
Solution to Controlling
Not Not
horizontal shareholder and Note 6 Long term No Yes
applicable applicable
competition actual controller
Solution to Controlling Note 7
Not Not
related shareholder and Long term No Yes
applicable applicable
transactions actual controller
Note 1: Commitment of the controlling shareholder and actual controller for locking up their shares
Zhang Jian, the Company's controlling shareholder and the actual controller and Zhang Gege, the
Company’s actual controller have made the following commitment and confirmed that:
(1) Within 36 months from the date of lPO, I shall not transfer or entrust others to manage the shares directly
or indirectly held by me that have been issued before the Company's public offering, nor shall the Company
repurchase the shares directly or indirectly held by me that have been issued before the Company's public
offering.
(2) Within 6 months after the listing of the Company's stock, the closing price of the Company's stock is
continuously lower than the issuing price for successively 20 trading days, or the closing price is lower than the
issuing price at the end of the 6 months after listing, the locking duration of the shares held by me in the Company
shall prolong automatically 6 months.
Note 2: Commitment of Changxing Dingai and its partner for locking up their shares
Within 36 months from the date of IPO, I shall not transfer or entrust others to manage the shares directly
or indirectly held by me that have been issued before the Company's public offering, nor shall the Company
repurchase the shares directly or indirectly held by me that have been issued before the Company's public
offering.
Note 3: Commitment of CITIC Investment, Jinshi Zhiyu, Jinshi Haofeng, Three Gorges Jinshi, Liu
Jianxin, Peng Wei, Han Jianhua, Li Shishuang and Qiao Baogang for locking up their shares
Within 12 months from the date of listing of the Company's shares, I shall neither transfer nor entrust others
to manage the shares directly or indirectly held by me that have been issued before the Company's public offering,
nor shall the Company repurchase such shares directly or indirectly held by me that have been issued before
the Company's public offering.
Note 4：Commitment of the partner of Changxing Dingai, Liu Jianxin, and Peng Wei as the controlling
shareholder, actual controller, directors/senior executives for the intentions about shareholding or
reduction of shares
(1) During my tenure as a director or senior executive of the Company, the annual transfer of the shares of
the Company directly or indirectly held by me shall not exceed 25% of the total shares of the Company directly
or indirectly held by me; within six months after my leave from the office, none of the shares of the Company
directly or indirectly held by me shall be transferred.
(2) I commit that if the shareholding is lessened within two years after the expiration of the lock-up period,
the price of the shares reduced shall not be lower than the issue price. In the event of dividends, bonus shares,
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capitalization of provident fund, share allotment, etc., the price shall be adjusted accordingly based on the ex-
right and ex-dividend conditions.
(3) The above commitments shall not be exempted from the implementation due to job change, leave from
office, etc. If I cause any loss to the Company or other investors due to my failure to perform the above
commitments, I shall be liable for compensation to the Company or other investors in accordance with the law.
Note 5: Commitment for the stabilization of the share price and share repurchase
(1) The Company's Commitment
① Within three years from the date of IPO, if the closing price of the stock is lower than the Company's
latest audited net assets per share for 20 consecutive trading days (if ex-right and ex-right is conducted due to
the distribution of the cash bonus, bonus shares, capitalization of reserve or additional issuing of new shares,
the closing price shall be adjusted accordingly, the same below）, and the repurchase measures do not result
in the Company's equity distribution not meeting the listing criteria, the Company will initiate the measures for
stabilizing the stock price through repurchasing of the shares in accordance with the relevant laws, rules and
regulations.
②The Board of Directors should hold a Board meeting to review the proposal for repurchase of the
Company's shares within 5 trading days commencing from the day of starting the measures for stabilizing the
stock price as stated above and submit the same to the general meeting for examination. The Company should
start the repurchase commencing from the date when the general meeting has reviewed and approved such a
proposal.
③The price of the Company’s shares repurchased shall not be higher than the net assets per share in the
latest audited financial statements. The repurchase of the shares is conducted in a way of centralized bidding,
tender offer or other ways as recognized by the securities regulatory authority. Under the premise that the
Company's equity distribution may not be caused to fail to meet the listing conditions, the amount of the funds
used by the Company for repurchase at a time is not less than RMB 10 million in principle, the total repurchase
funds used to stabilize the stock price in a single fiscal year shall not exceed 50% of the net profit attributable to
the shareholders of the parent Company in the latest audited financial statements, and the total amount of funds
used by the Company to repurchase shares shall not exceed the total amount of funds raised by the Company's
initial public offering of shares.
④From the time when the Company initiates the stock price stabilization plan to that before the formal
implementation of the stock price stabilization measures, or during the implementing the measures for stabilizing
the stock price, if any of the conditions as stated in the “conditions for terminating the implementation of the
measures for stabilizing the stock price” in the “AIMA Technology Group Co., Ltd.'s IPO of RMB Common Shares
(A Shares) and The Stabilization of The Stock Price within Three Years After Listing of the Company’s Stock" is
triggered, the implementation of the above-mentioned price stabilization plan will be terminated.
⑤Within three years from the date of the listing of the Company's stock, if the Company has newly appointed
directors (independent directors are exclusive) and senior executives, the Company will require these newly
appointed directors and senior executives to fulfill the corresponding commitments made by the directors and
senior executives appointed at the time of the listing.
(2) Controlling shareholder and actual controller
① Within three years from the date of IPO, if the closing price of the stock is lower than the Company's
latest audited net assets per share for 20 consecutive trading days (if ex-right and ex-right is conducted due to
the distribution of the cash bonus, bonus shares, capitalization of reserve or additional issuing of new shares,
the closing price shall be adjusted accordingly, the same below）, and the repurchase measures do not result
in the Company's equity distribution not meeting the listing criteria, I will initiate the measures for stabilizing the
stock price through repurchasing of the shares in accordance with the relevant laws, rules and regulations.
②If the closing price of the stock is lower than the Company's latest audited net assets per share for 10
consecutive trading days from the day after the Company has finished implementation of the measures for
stabilizing the stock price (subject to the date of the announcement that implementation is finished), or within 3
months from the day after the Company has finished implementation of the measures for stabilizing the stock
price (subject to the date of the announcement that implementation is finished), the closing price of the
Company’s stock is once again lower than the Company's latest audited net assets per share for 20 consecutive
trading days, I will initiate the measures for stabilizing the stock price.
③Within 5 trading days from the day when the above-mentioned conditions for initiating the measures to
stabilize the stock price are satisfied, I will propose a plan to increase my shareholding of the Company’s shares
(including the number of shares to be increased, the price range, the completion period, etc.) and notify the
Company. After receiving my shareholding plan, the Company should announce the increasing plan in
accordance with the relevant regulations; and I will start to increase the shareholding on the trading day after the
day of announcement for the increasing plan.
④ The price of my increased shares is not higher than the Company’s audited net assets per share at the
end of the previous fiscal year. Under the premise that the Company's equity distribution may not be caused to
fail to meet the listing conditions, and the cumulative number of the increased shares shall not exceed 1% of the
Company’s total shares within every 12 months from the day when the condition for taking the measures to
stabilize the stock price is triggered, the funds I use to increase my shareholdings are not less than 30% of the
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2021 Annual Report
total amount of the cash dividends, remuneration or allowance(after-tax) that I receive directly or indirectly from
the Company in the previous year within every 12 months from the day when the condition for taking the
measures for stabilizing stock price is triggered.
⑤From the time when the Company initiates the stock price stabilization plan to that before the formal
implementation of the stock price stabilization measures, or during the implementing the measures for stabilizing
the stock price, if any of the conditions as stated in the “conditions for terminating the implementation of the
measures for stabilizing the stock price” in the “AIMA Technology Group Co., Ltd.'s IPO of RMB Common Shares
(A Shares) and The Stabilization of The Stock Price within Three Years After Listing of the Company’s Stock" is
triggered, the implementation of the above-mentioned price stabilization plan will be terminated.
⑥I guarantee that when the Company implements the plan for stabilizing stock price, I shall vote in favor of
the resolution to repurchase shares.
(3) Commitments of the directors (independent directors are exclusive) and senior executives
① Within three years from the date of IPO, if the closing price of the stock is lower than the Company's
latest audited net assets per share for 20 consecutive trading days (if ex-right and ex-right is conducted due to
the distribution of the cash bonus, bonus shares, capitalization of reserve or additional issuing of new shares,
the closing price shall be adjusted accordingly, the same below）, and the repurchase measures do not result
in the Company's equity distribution not meeting the listing criteria, I will initiate the measures for stabilizing the
stock price through repurchasing of the shares in accordance with the relevant laws, rules and regulations..
②If the closing price of the stock is lower than the Company's latest audited net assets per share for 10
consecutive trading days from the day after the Company has finished implementation of the measures for
stabilizing the stock price (subject to the date of the announcement that implementation is finished), or within 3
months from the day after the Company has finished implementation of the measures for stabilizing the stock
price (subject to the date of the announcement that implementation is finished), the closing price of the
Company’s stock is once again lower than the Company's latest audited net assets per share for 20 consecutive
trading days, I will initiate the measures for stabilizing the stock price.
③Within 5 trading days from the day when the above-mentioned conditions for initiating the measures to
stabilize the stock price are satisfied, I will propose a plan to increase my shareholding of the Company’s shares
(including the number of shares to be increased, the price range, the completion period, etc.) and notify the
Company. After receiving my shareholding plan, the Company should announce the increasing plan in
accordance with the relevant regulations; and I will start to increase the shareholding on the trading day after the
day of announcement for the increasing plan.
④ The price of my increased shares is not higher than the Company’s audited net assets per share at the
end of the previous fiscal year. Under the premise that the Company's equity distribution may not be caused to
fail to meet the listing conditions, and the cumulative number of the increased shares shall not exceed 1% of the
Company’s total shares within every 12 months from the day when the condition for taking the measures to
stabilize the stock price is triggered, the funds I use to increase my shareholdings are not less than 30% of the
total amount of the cash dividends, remuneration or allowance(after-tax) that I receive directly or indirectly from
the Company in the previous year within every 12 months from the day when the condition for taking the
measures for stabilizing stock price is triggered.
⑤ From the time when the Company initiates the stock price stabilization plan to that before the formal
implementation of the stock price stabilization measures, or during the implementing the measures for stabilizing
the stock price, if any of the conditions as stated in the “conditions for terminating the implementation of the
measures for stabilizing the stock price” in the “AIMA Technology Group Co., Ltd.'s IPO of RMB Common Shares
(A Shares) and The Stabilization of The Stock Price within Three Years After Listing of the Company’s Stock" is
triggered; the implementation of the above-mentioned price stabilization plan will be terminated.
⑥I guarantee that when the Company implements the plan for stabilizing stock price, I shall vote in favor of
the resolution to repurchase shares.
Note 6: Commitment to resolve or avoid the Horizontal Competition
The Company's controlling shareholder and actual controller have issued a letter of commitment to resolve
or avoid the horizontal competition with the commitment as follows:
(1) For the purpose of avoiding horizontal competition between the enterprise I control or imposing
significant impact on and the Company after listing, I hereby commit that while I act as a shareholder and actual
controller of Aima Technology Group Co., Ltd., the enterprise I may control or exert significant influence on shall
not be directly or indirectly involved in any business or activities which may form competition with Aima
Technology by any means both in and out of the territory of China (including but not limited to independent
operation, operation through joint venture or owning of the shares and other equity in another company or
enterprise), I shall not hold any post to perform any practical management duties in any economic organization
that competes with the Company.
If Aima Technology further expands its business scope, I promise and will urge the enterprise that I control
or exert significant influence on to commit not to compete with the expanded business of Aima Technology; if I
and the enterprise that I control or exert significant influence on have any business opportunity to do or participate
in any activity which may compete with Aima Technology currently or in future, I will take and urge the enterprise
that I control or exert significant influence on to take all possible and reasonable measures to transfer such
opportunity to Aima Technology; if Aima Technology does not accept the transfer of such opportunity, the
enterprise that I control or exert significant influence on will take any possible measures before the
50 / 187
2021 Annual Report
implementation of such opportunity to any unaffiliated third party or voluntarily withdraw from such business
opportunity, or take any other measures favorable to protect Aima Technology’s interest and to avoid horizontal
competition with Aima Technology.
For enterprises that I control or exert significant influence on, I will urge these enterprises to perform their
obligations in this letter of commitment by dispatching agencies and personnel (including but not limited to
directors and managers) and obtaining controlling positions, and commit not to be involved in horizontal
competition with Aima Technology.
(2)I commit not to take advantage of my status as the controlling shareholder and actual controller of Aima
Technology to damage the legitimate rights and interests of Aima Technology and other minority shareholders,
nor to use my special status to seek abnormal additional interests.
(3) I confirm that each of the commitments contained in this letter of commitment is independently
enforceable. If any of the above commitments is violated, Aima Technology has the right to require me and the
enterprises I control or exert significant influence on to immediately stop horizontal competition, and has the right
to require me or the enterprises I control or exert significant influence on to bear the direct or indirect economic
losses, claim liability and related expenses caused to Aima Technology.
(4) I guarantee that the above commitments shall continue to be valid and irrevocable as long as Aima
Technology remains listed on the domestic stock exchange and I act as its controlling shareholder and actual
controller. If change takes place in the relevant laws, rules or regulations, I shall update or supplement the
relevant commitments in a timely manner in accordance with the regulations.
Note 7: Measures taken by the Company to reduce related transactions
In order to further regulate and reduce related-party transactions, the controlling shareholder and actual
controller of the Company issued the letter of commitment on regulating and reducing related transactions with
details as follows:
(1) My close relatives and I, other economic organizations controlled by myself or my close relatives, will try
to avoid or reduce related transactions with Aima Technology (including its subsidiaries within the scope of
consolidated financial statements, the same below). Transactions between the independent third parties and
Aima Technology that occur through the market will be carried out by the independent third parties and Aima
Technology. My close relatives and I, other economic organizations controlled by myself or my close relatives,
will strictly avoid borrowing from Aima Technology, appropriating Aima Technology funds or taking the form of
advances and payments to occupy Aima Technology funds, etc.
(2)Any necessary transaction between my close relatives and myself, other economic organizations
controlled by myself or my close relatives and Aima Technology will strictly comply with the market principle and
in accordance with the general principles of equality and mutual benefit, and the transaction should be fair and
reasonable. If there is government price in pricing for the transaction, the government price shall be applicable;
if there is no government price, the market fair price shall be applicable; if there is neither government price nor
market price for reference, the cost price shall be determined according to the cost plus a comparable and
reasonable profit level.
(3) Any related transactions between my close relatives and myself, other economic organizations controlled
by myself or my close relatives and Aima Technology will be clearly stipulated in the form of signing a written
contract or agreement. And these transactions must comply with the necessary statutory procedures, which
stipulated in the Aima Technology’s Articles of Association and the Regulations Concerning Management of
Related Transactions. When the authority of Aima Technology reviews the concerned related transaction, I will
initiatively implement the obligation of avoidance in accordance with the law. The related transactions that need
to be reported to the authority should be implemented only after the authority has deliberated and approved
them.
(4) I promise not to obtain any improper benefit through related transactions or making Aima Technology
undertake any improper obligations. If the violation of the above commitments causes Aima Technology to lose
or using the related transactions to encroach on the interests of Aima Technology. Aima Technology has the
right to unilaterally terminate such related transactions, and I shall bear the loss of Aima Technology.
(5) For any unavoidable related transaction, I shall urge Aima Technology to strictly implement the related
transaction decision-making procedures, the voting avoidance system and the information disclosure system
formulated by the Company's articles of association, so as to ensure the fairness, impartiality and impartiality of
related party transactions, and to avoid related transactions that harm the interest of Aima Technology and its
shareholders.
(6)The above commitments will retain valid during the period when I constitute a related party of Aima
Technology.
(II)If there is earnings forecast for the assets or projects of the Company and the reporting period is still
in the earnings forecast period, the Company should explain whether the asset or project reaches the
original earnings forecast and give the reasons
"□ Already reached " "□ Not reached " "√ Not applicable"
(III) Fulfillment of commitments on the performance and its impacts on goodwill impairment test
"□ Applicable" "√ Not applicable"
II. Non-operational Occupancy of the Company’s Capital by the Controlling Shareholder and its Related
Parties during the Reporting Period
"□ Applicable" "√ Not applicable"
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2021 Annual Report
III. Information on Non-compliance Guarantees
"□ Applicable" "√ Not applicable"
IV. Explanation of the Board of Directors in Company on the “Non-standard audit report” Issued by the
Accounting Firm
"□ Applicable" "√ Not applicable"
V. Analysis and Explanation on the Causes and Influences of the Changes in the Company’s Accounting
Policies, Accounting Estimates or Correction of Major Accounting Errors
(I) Analysis and explanation of the Company on the causes and influences of the changes in the
accounting policies and accounting estimates
"√ Applicable" "□ Not applicable"
The Ministry of Finance promulgated the Circular on Revision, Printing and Issuing of the "Accounting
Standards for Enterprises No. 21-Revenues” (CAI KUAI [2018] No. 35) in December, 2018, according to which,
a company which is listed both at home and abroad or listed overseas and prepares its financial statements
according to the International Financial Reports Standards or the Accounting Standards for Enterprises started
implementing the said accounting standards commencing from January 1, 2019; other domestically listed
enterprises started the implementation commencing from January 1, 2021. Due to the revision of the above
accounting standards, the Company started implementing the new lease standards commencing from January
1, 2021, and made changes to the relevant accounting policies previously adopted.
The Company made changes in its accounting policy according to the relevant rules and regulations
promulgated by the Ministry of Finance. After the change, the accounting policy may objectively and fairly reflect
the Company's financial status and operating results, in line with relevant laws and regulations and the
Company's actual situation. The change in the accounting policy would neither lead to significant impact on the
Company's financial position, operating results or cash flow, nor would it harm the interests of the Company and
its shareholders.
(II)Explanation of the Company’s analysis on reasons and effects of the correction of significant
accounting errors
"□ Applicable" "√ Not applicable"
(III) Communication with former accounting firm
"□ Applicable" "√ Not applicable"
(IV) Other notes
"□ Applicable" "√ Not applicable"
VI. Engagement/Disengagement of the CPAs
In: RMB’0000 Currency: RMB
Currently engaged
Name of the domestic CPAs Ernst & Young (Special General Partnership)
Remuneration to the domestic CPAs 235
Years of the domestic CPAs offering auditing 9
services
Note to Engagement/Disengagement of the CPAs
"√ Applicable" "□ Not applicable"
On May 17, 2021, the Company's 2020 Annual General Meeting reviewed and approved the Proposal on
the Renewal of the Employment of the CPAs for 2021, and agreed to appoint Ernst & Young Hua Ming LLP as
the Company's auditor for 2021.
Note to the replacement of the CPAs during the auditing
"□ Applicable" "√ Not applicable"
VII. Delisting Risk
(I) Reasons for the delisting risks warning
"□ Applicable" "√ Not applicable"
(II) Solution to be adopted by the Company
"□ Applicable" "√ Not applicable"
(III) Termination of the listing and its reasons
"□ Applicable" "√ Not applicable"
VIII. Events Related to Bankruptcy and Reorganization
"□ Applicable" "√ Not applicable"
IX. Major Lawsuit and Arbitration Issues
"□ Significant lawsuits and arbitrations in the reporting period"
"√ No significant lawsuit or arbitration in the reporting period"
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2021 Annual Report
X. Punishment and Correction on the Listed Company as well as its Directors, Supervisors, Senior
Management, Controlling Shareholders and Actual Controller due to Suspect of Law Violations
"□ Applicable" "√ Not applicable"
XI. Integrity Status of the Company, its Controlling Shareholder and Actual Controller during the
Reporting Period
"√ Applicable" "□ Not applicable"
During the reporting period, the Company, its controlling shareholder and actual controller were all enjoying
good reputation in integrity, and there was no failure to perform any effective judgment of the court, or large
amount of outstanding due debts remaining unpaid.
XII. Significant Related Transactions
(I) Related Transactions Related with Day-to-Day Operations
1. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
2. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
3. Matters not disclosed in the interim announcement
"√ Applicable" "□ Not applicable"
In: RMB’0000 Currency: RMB
Proportion
Pricing of the Way of
Type of Description of Amount of
Incidence principle of amount in settlement
Party of related transaction related the related the related
relation related the similar of related
transaction transactions transactions
transactions transactions transactions
(%)
Purchase of
Tianjin Jiema Electric Purchase of accessories and Market Bank
Associate 1,109.57 0.08
Technology Co., Ltd. goods semi-finished price transfer
products, etc.
Supply of Mould
Tianjin Jiema Electric Market Bank
Associate labor machining 22.34 0.83
Technology Co., Ltd. price transfer
services services
Tianjin Jiema Electric Rent and Market Bank
Associate Property lease 633.35 16.31
Technology Co., Ltd. lease price transfer
Other
Rent and Market Bank
Duan Hua related Property lease 476.19 27.67
lease price transfer
parties
Tianjin Jiema Electric Rent and Equipment Market Bank
Associate 2.65 0.07
Technology Co., Ltd. lease hiring price transfer
Total / 2,244.10 / /
Particulars about the big sales return Not applicable
The 28th Session of the Third Board of Directors held on July 8, 2019 reviewed and approved
the Proposal on the Company to Rent Office Space and Related Transaction and the Proposal
on the Company to Lease Property to Tianjin Jijema Electric Technology Co., Ltd. and Related
Transaction. The aforesaid related transaction between Duan Hua and Tianjin Jiema was
Note to related transactions reviewed and approved by the Board of Directors.
2020 Annual General Meeting held on May 17, 2021 reviewed and approved the Proposal
on the Predicted Routine Related Transactions of Year 2021. The related transactions, including
purchase of commodities, supply of labor services, sales of products and lease of equipment,
were reviewed and approved by the General Meeting.
(II) Related transactions concerning acquisition and sales of assets or equity
1. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
2. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
3. Matters not disclosed in the interim announcement
"□ Applicable" "√ Not applicable"
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2021 Annual Report
4. If a performance agreement is involved, the achievement of performance during the reporting period
should be disclosed
"□ Applicable" "√ Not applicable"
(III) Significant related transactions concerning joint investment in foreign countries
1. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
2. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
3. Matters not disclosed in the interim announcement
"□ Applicable" "√ Not applicable"
(IV) Current Associated Rights of Credit and Liabilities
1. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
2. Matters already disclosed in the interim announcement but with no progress or change in subsequent
implementation
"□ Applicable" "√ Not applicable"
3. Matters not disclosed in the interim announcement
"□ Applicable" "√ Not applicable"
(V) Financial business between the Company and the financial company with an associated relationship,
the Company's holding financial company and the related party
"□ Applicable" "√ Not applicable"
(VI) Others
"□ Applicable" "√ Not applicable"
XIII. Important Contracts and Implementation
(I) Custody, Contacting and Leases
1. Custody
"□ Applicable" "√ Not applicable"
2. Contracting
"□ Applicable" "√ Not applicable"
3. Leases
"□ Applicable" "√ Not applicable"
(II) Guarantees
applicable□ Not applicable
In: Yuan Currency: RMB
Outward guarantees by the Company (excluding guarantee to the subsidiaries)
Guarantee
Relationship
occurrence Has the
between the Guarantee Is the About Guarantee
Amount date (date Guarantee Type of Collateral guarantee Overdue Associated
Guarantors guarantor Guarantees Starting guarantee counter to related
guaranteed of signing Due date guarantee (if any) been amount Relationship
and the date finished guarantee party?
the overdue
Company
agreement)
Total amount of guarantees incurred during the reporting period (excluding guarantees to subsidiaries)
Total amount of guarantees incurred at the end of the reporting period (A) (excluding guarantees to subsidiaries)
Guarantee to the subsidiaries provided by the Company and its subsidiaries
Total amount of guarantee to the subsidiaries incurred in the reporting period 4,722,795,186.44
Total balance of guarantees to the subsidiaries at the end of the reporting period (B) 2,800,769,582.04
About total amount of guarantees provided by the Company (including guarantees to subsidiaries)
Total amount of guarantees (A+B) 2,800,769,582.04
Proportion of the total amount of guarantees in the Company’s net assets (%) 56.30
Including:
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2021 Annual Report
Amount of guarantees offered to the shareholders, actual controller and its related parties (C)
Amount of guarantee for liabilities directly or indirectly offered to the guarantees with the asset-liability ratio exceeding 70% (D) 1,770,627,153.15
Guarantee with total amount exceeding 50% of the net assets (E) 313,355,886.58
Total amount of the aforesaid three guarantees (C+D+E) 2,083,983,039.73
Note to the immature guarantees which may bear joint liability for repayment Not applicable
The 2020 Annual General Meeting held on May 17,
2021 reviewed and approved the "Proposal on the
Note to the guarantees Company's Guarantee Plan for Year 2021", and the
above-mentioned guarantees have been reviewed and
approved by the Company's General Meeting.
(III) Entrusting a Third Party to Manage the Cash Assets
1. Finance Management on Commission
(1) General of consigned financing
"√ Applicable" "□ Not applicable"
In: RMB’0000 Currency: RMB
Immature Overdue amount
Type Capital source Amount incurred
balance unrecovered
Bank financial
Self-raised capital 240,220.00 116,741.00
product
Bank financial
Raised proceeds 126,230.77 56,837.59
product
Note: The amount of consigned financing in the above table is the highest single-day balance of this type of
wealth management product.
Other Information
"√ Applicable" "□ Not applicable"
1. About cash management of the idle self-raised funds
The Company’s 2020 Annual General Meeting of Shareholders held on May 17, 2021, reviewed and
approved the "Proposal on Using Idle Self-raised Capital for Cash Management", and agreed that the Company
and its controlled subsidiaries (including subsidiaries of the controlled subsidiaries) intend to use no more than
RMB 5 billion of idle funds to purchase low-risk cash management products with high security and good liquidity,
from the date of approval at the 2020 Annual General Meeting to the date of the 2021 Annual General Meeting.
2. About cash management of the idle raised capital
The 17th session of the Fourth Board of Directors and the 7th session of the Fourth Board of Supervisors
held on June 23, 2021 respectively reviewed and approved the Proposal on Use of the Temporarily Idle Raised
Capital for Cash Management, and approved the Company to use no higher than RMB 1.3 billion idle raised
capital for cash management to purchase investment products with high security and good liquidity. The Proposal
came into force within 3 months commencing from the date when the Proposal was reviewed and approved by
the Board of Directors and the Board of Supervisors. Within the aforesaid limit, the capital may be applied in a
rolling way.
The 20th session of the Fourth Board of Directors and the 9th session of the Fourth Board of Supervisors
held on August 26, 2021 respectively reviewed and approved the Proposal on the Adjustment of the Application
Limit of the Temporarily Idle Raised Capital for Cash Management and Prolonging the Investment Deadline,
approved that commencing from August 26, 2021, the Company and its subsidiaries would adjust the amount of
temporarily idle raised funds of no more than RMB 1.3 billion for cash management to no more than RMB 650
million. At the same time, the investment period would be extended to June 22, 2022, and the above limit of the
raised capital may be used in a rolling way within effective period.
3. In the reporting period, the Company conducted the cash management with the idle raised capital strictly
based on the limit as approved by the Board of Directors and the General Meeting. The aforesaid wealth
management products are the wealth management products or structured deposits with high security, good
liquidity, low risk and open-end.
(2) About single consigned financing
"√ Applicable" "□ Not applicable"
In:RMB’0000 Currency: RMB
Has it
Date of Date of
Type of Amount of Actual gone
commencement end of Fund Annual Actual
Consignee consigned consigned Income through
of consigned consigned Source Yield recovery
financing financing or loss statutory
financing financing
procedure
55 / 187
2021 Annual Report
Self-
Structured December
ICBC 20,000 July 16, 2021 raised 3.72% 340.45 Recovered Yes
deposit 30, 2021
capital
Self-
Structured November 24, August
ICBC 40,000 raised 3.75% Yes
deposit 2021 24, 2022
capital
Self-
Structured October
ICBC 20,000 April 16, 2021 raised 3.75% 380.14 Recovered Yes
deposit 18, 2021
capital
Self-
Structured
ICBC 20,000 May 12, 2021 November raised 3.78% 389.39 Recovered Yes
deposit
16, 2021 capital
Self-
Bohai Structured August 13, February
30,000 raised 3.55% Yes
Bank deposit 2021 14, 2022
capital
Self-
Industrial Structured August 17, February
39,000 raised 3.03% Yes
Bank deposit 2021 18, 2022
capital
Note: The above table shows the wealth management products of the Company's single significant amount
of structured deposits during the reporting period, and other open-end wealth management products are Not
applicable.
Other Information
"□ Applicable" "√ Not applicable"
(3) Provision for impairment of consigned financing
"□ Applicable" "√ Not applicable"
2. About consigned loans
(1) General of consigned loans
"□ Applicable" "√ Not applicable"
Other Information
"□ Applicable" "√ Not applicable"
(2) About single consigned loan
"□ Applicable" "√ Not applicable"
Other Information
"□ Applicable" "√ Not applicable"
(3) Provision for impairment of consigned loans
"□ Applicable" "√ Not applicable"
3. Other Information
"□ Applicable" "√ Not applicable"
(IV) Other Important Contracts
"□ Applicable" "√ Not applicable"
XIV. Note to Other Major Events that have Significant Impact on Investors' Value Judgments and
Investment Decisions
"√ Applicable" "□ Not applicable"
During the reporting period, Tianjin Aima, Guangdong Aima, and Guangxi Aima acquired the qualifications
of high-tech enterprises, and may enjoy income tax preference policy for high-tech enterprises for three
consecutive years (i.e. 2021, 2022 and 2023); that means they pay corporate income tax at a rate of 15%. As of
the disclosure date of the Report, only Tianjin Aima received the certificate of hi-tech enterprise but the other
two did not.
Section 7 Changes in Common Shares and Information about Shareholders
I. Changes in Shares Capital
(I) Table of Changes in shares
1. Table of Changes in shares
In: share
Before the change Increase or decrease of the change (+, -) After the change
New Shares
Percentage Bonus Percentage
Quantity shares converted Others Subtotal Quantity
(%) shares (%)
issued from
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2021 Annual Report
capital
reserves
I. Restricted
338,660,003 100 338,660,003 83.90
shares
1.Shares
held by the
state
2. Shares
held by the
state-owned
legal entities
3.Other
domestic 338,660,003 100 338,660,003 83.90
shares
Including:
shares held
by Domestic
40,593,003 11.99 40,593,003 10.06
non-state-
owned legal
entities
Shares held
by domestic 298,067,000 88.01 298,067,000 73.84
individuals
4. Oversea
shares
Including:
shares held
by foreign
legal entities
Shares held
by foreign
individuals
II. Tradable
shares
without 65,000,000 65,000,000 65,000,000 16.10
selling
restrictions
1. RMB
common 65,000,000 65,000,000 65,000,000 16.10
shares
2. Domestic
listed foreign
shares
3. Overseas
listed foreign
shares
4. Others
III. Total
338,660,003 100.00 65,000,000 65,000,000 403,660,003 100.00
shares
2. Statement on the change in shares
"√ Applicable" "□ Not applicable"
With the approval of the China Securities Regulatory Commission by the “Official Reply on Approving the
Initial Public Offering of Aima Technology Group Co., Ltd.” (Zheng Jian Xu Ke [2021] No. 1775), the Company
publicly issued 65,000,000 RMB common shares (A-shares) through the Shanghai Stock Exchange on June 15,
2021.
3. Effect of changes in shares on financial indicators such as earnings per share and net asset per share
for the latest year and period (if any) over the last year and the last reporting period
"√ Applicable" "□ Not applicable"
During the reporting period, the Company publicly issued 65,000,000 RMB common shares (A shares), and
the Company's total share capital changed from 338,660,003 shares to 403,660,003 shares. The above-
mentioned change in shares has resulted in the dilution of the Company's basic earnings per share and net
assets per share in 2021 and other financial indicators.
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2021 Annual Report
4. Other contents that the Company deems necessary and the securities regulatory authorities require
disclosing
"√ Applicable" "□ Not applicable"
The Company’s 2021 third Extraordinary General Meeting held on December 27, 2021 reviewed and
approved the "Proposal on the Company's “2021 Restricted Stock Incentive Plan (Draft)” and its Summary", etc.,
and the 24th session of the Fourth Board of Directors reviewed and approved the "Proposal on Granting
Restricted Shares to Incentive Objects for the First Time", etc., and determined to grant restricted stocks to
incentive objects.
On January 24, 2022, the Company completed the registration of the first grant of the 2021 Restricted Stocks
Incentive Plan with the Shanghai Branch of China Securities Depository and Clearing Corporation Limited; and
the Company's total capital stock increased to 410,440,003 shares from 403,660,003 shares.
(II) Changes in restricted shares
"□ Applicable" "√ Not applicable"
II. Securities Issuance and Listing
(I) Issuance of securities during the reporting period
"√ Applicable" "□ Not applicable"
In: share Currency: RMB
Stock and its Quantity
Issuing price Expiry
derivatives Date of Date of approved for
(or interest Shares issued date of
Types of issuance listing being listed
rate) trading
securities and traded
Type of common stock
June 3, June 15,
A-shares 27.86 65,000,000 65,000,000
2021 2021
Note to issuance of securities during the reporting period (for the bonds with different interest rates during
the period, please explain separately):
"√ Applicable" "□ Not applicable"
With the approval of the China Securities Regulatory Commission by the “Official Reply on Approving the
Initial Public Offering of Aima Technology Group Co., Ltd.” (Zheng Jian Xu Ke [2021] No. 1775), on June 3, 2021,
the Company publicly issued 65,000,000 RMB common shares (A-shares) through the Shanghai Stock
Exchange (hereinafter referred to as the “SSE”) trading system and the offline subscription electronic platform
which were listed for trading with Shanghai Stock Exchange on June 15, 2021.
(II) Changes in total common shares and shareholders structure, as well as in assets and liabilities
structure
"√ Applicable" "□ Not applicable"
During the reporting period, the Company publicly issued 65,000,000 common shares (A shares), and the
Company's total capital stock changed from 338,660,003 shares to 403,660,003 shares. At the end of the
previous year, the total assets amounted to RMB9,558,496,657.40, the total liabilities amounted to
RMB6,910,653,818.49, and the gearing ratio was 72.30%; at the end of the reporting period, the total assets
amounted to RMB13,396,944,911.18, the total liabilities amounted to RMB8,417,177,181.15, and the gearing
ratio was 62.83%.
III. Shareholders and Actual Controller
(I) Total number of shareholders
Total number of common shareholders up to the end of the reporting period 31,306
Total number of common shareholders as at the end of the last month prior to
26,472
the disclosure day of the annual report
(II) Table of top 10 shareholders, top 10 common shares (or tradable shares without selling restrictions)
by the end of reporting period
In: share
Shareholdings by top 10 shareholders
Status of shares
Number of
pledged, marked or
Names of the Increase/Decrease shares held Number of
Percentage frozen Nature of the
Shareholders during the at the end of restricted
(%) Status shareholder
(Full name) reporting period the reporting shares
of the Quantity
period
shares
Domestic
Zhang Jian 282,317,000 69.94 282,317,000 Nil
natural person
58 / 187
2021 Annual Report
Changxing Dingai
Domestic non-
Investment
16,933,000 4.19 16,933,000 Nil state legal
Management
entity
Partnership (LLP)
CITIC Securities Domestic non-
Investment Co., 8,400,000 2.08 8,400,000 Nil state legal
Ltd. entity
Jinshi Zhiyu Equity
Investment
Domestic non-
(Hangzhou)
8,260,001 2.05 8,260,001 Nil state legal
Partnership
entity
(Limited
Partnership)
Three Gorges
Jinshi (Wuhan) Domestic non-
Equity Investment 3,500,001 0.87 3,500,001 Nil state legal
Fund Partnership entity
(LLP)
Jinshi Haofeng
Domestic non-
Equity Investment
3,500,001 0.87 3,500,001 Nil state legal
(Hangzhou)
entity
Partnership (LLP)
Domestic
Peng Wei 3,150,000 0.78 3,150,000 Nil
natural person
Domestic
Han Jianhua 3,150,000 0.78 3,150,000 Nil
natural person
Domestic
Li Shishuang 3,150,000 0.78 3,150,000 Nil
natural person
Domestic
Liu Jianxin 3,150,000 0.78 3,150,000 Nil
natural person
Domestic
Qiao Baogang 3,150,000 0.78 3,150,000 Nil
natural person
Shareholdings of top 10 shareholders of tradable shares without selling restrictions
Number of tradable shares without Types and Number of shares
Names of the Shareholders
selling restrictions Types Quantity
Common floating
National Social Security Fund 113 2,699,913 2,699,913
shares
Basic Endowment Insurance Fund Common floating
1,745,500 1,745,500
Portfolio 802 shares
Common floating
Huang Yunhai 1,671,748 1,671,748
shares
China Merchants Bank Co., Ltd. - E Fund
Common floating
Day Fenghua Bond Type Securities 1,521,784 1,521,784
shares
Investment Fund
Construction Bank of China - BOSERA
Common floating
THEME INDUSTRY Mixed Securities 1,457,932 1,457,932
shares
Investment Fund (LOF)
TAIPING LIFE INSURANCE COMPANY Common floating
900,026 900,026
LIMITED shares
Dajia Life Insurance Co., Ltd.- Universal Common floating
865,324 865,324
Products shares
Construction Bank of China Co., Ltd. -
Huaxia Emerging Economies 1-Year Common floating
763,858 763,858
Holding Hybrid Securities Investment shares
Fund
Shanghai Ruiyi Investment Development
Center - Ruiyi Investment Panshan Common floating
563,219 563,219
Phase VI Block Trading Private shares
Placement Investment Fund
Construction Bank of China Co., Ltd. -
Huaxia Emerging Economies 1-Year Common floating
506,919 506,919
Holding Hybrid Securities Investment shares
Fund
Explanation on repurchase account of
Not applicable
top 10 shareholders
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2021 Annual Report
Explanation on delegated voting rights,
entrusted voting rights, abstained voting Not applicable
rights of the aforesaid shareholders
CITIC Investment, Jinshi Zhiyu, Jinshi Haofeng and Three Gorges Jinshi are
enterprises under the same control of CITIC Securities Co., Ltd. and are concerted
Notes to the related relation or consistent
actors. Apart from the above circumstance, it is not known whether there is an
actions of the above-mentioned
associated relationship among the other shareholders mentioned above, and it is
shareholders
also unknown whether the other shareholders are concerted actors as stipulated in
the Measures for the Administration of the Acquisition of Listed Companies.
Explanation on preference stockholders
with recovered voting rights and the Not applicable
number of stocks held by them
Number of shares held by top ten shareholders with selling restrictions and the selling restrictions
"√ Applicable" "□ Not applicable"
In: share
Restricted shares allowed for public
trading
Increase in
Names of shareholders with selling Number of Selling
No. restricted
restrictions restricted shares Date when public restrictions
shares allowed
trading is allowed
for public
trading
Non-tradable for
1 Zhang Jian 282,317,000 June 15, 2024 36 months from
IPO
Non-tradable for
Changxing Dingai Investment Management
2 16,933,000 June 15, 2024 36 months from
Partnership (LLP)
IPO
Non-tradable
3 CITIC Securities Investment Co., Ltd. 8,400,000 June 15, 2022 for12 months
from IPO
Jinshi Zhiyu Equity Investment (Hangzhou) Non-tradable
4 Partnership 8,260,001 June 15, 2022 for12 months
(Limited Partnership) from IPO
Non-tradable
Three Gorges Jinshi (Wuhan) Equity
5 3,500,001 June 15, 2022 for12 months
Investment Fund Partnership (LLP)
from IPO
Jinshi Haofeng Equity Investment Non-tradable
6 (Hangzhou) 3,500,001 June 15, 2022 for12 months
Partnership (LLP) from IPO
Non-tradable
7 Peng Wei 3,150,000 June 15, 2022 for12 months
from IPO
Non-tradable
8 Han Jianhua 3,150,000 June 15, 2022 for12 months
from IPO
Non-tradable
9 Li Shishuang 3,150,000 June 15, 2022 for12 months
from IPO
Non-tradable
10 Liu Jianxin 3,150,000 June 15, 2022 for12 months
from IPO
Non-tradable
11 Qiao Baogang 3,150,000 June 15, 2022 for12 months
from IPO
CITIC Investment, Jinshi Zhiyu, Jinshi Haofeng and Three Gorges Jinshi
are enterprises under the same control of CITIC Securities Co., Ltd. and
are concerted actors. Apart from the above circumstance, it is not known
Notes to the related relation or consistent actions of
whether there is an associated relationship among the other shareholders
the above-mentioned shareholders
mentioned above, and it is also unknown whether the other shareholders
are concerted actors as stipulated in the Measures for the Administration of
the Acquisition of Listed Companies.
(III) Strategic investors or general legal entity who became the top 10 shareholders due to placing of new
shares
"□ Applicable" "√ Not applicable"
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2021 Annual Report
IV. Controlling Shareholders and Actual Controllers
(I) Controlling shareholder
1. Legal entity
"□ Applicable" "√ Not applicable"
2. Natural person
"√ Applicable" "□ Not applicable"
Name Zhang Jian
Nationality China
Residency in other countries or
No
regions (yes/no)
Main occupations and positions Chairman of the Board & General Manager
3. Special statement about no controlling shareholder in the Company
"□ Applicable" "√ Not applicable"
4. Explanation on changes in controlling shareholders during the reporting period
"□ Applicable" "√ Not applicable"
5. Framework of the ownership and controlling relationship between the Company and its controlling
shareholder
"√ Applicable" "□ Not applicable"
(II) Actual controller
1. Legal entity
"□ Applicable" "√ Not applicable"
2. Natural person
"√ Applicable" "□ Not applicable"
Name Zhang Jian, Zhang Gege
Nationality China
Residency in other countries or regions (yes/no) No
Zhang Jian is the Chairman of the Board and the
General Manager of the Company; Zhang Gege is a
Main occupations and positions director of the Company, the executive director and
general manager of Tianjin Suiwanwan, and the
executive partner of Changxing Dingai.
Controlling interests in other domestically and
Not applicable
overseas listed companies in the past 10 years
3. Special statement about no actual controller in the Company
"□ Applicable" "√ Not applicable"
4. Explanation on changes in the Company’s Control during the reporting period
"□ Applicable" "√ Not applicable"
5. Framework of ownership and controlling relationship between the Company and the actual controllers
"√ Applicable" "□ Not applicable"
6. The actual controller controls the Company by way of Trust or other Assets Management
"□ Applicable" "√ Not applicable"
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2021 Annual Report
(III) Other information about Controlling shareholders and actual controllers
"√ Applicable" "□ Not applicable"
Zhang Jian and Zhang Gege, the actual controllers of the Company, are in a father-daughter relationship,
in which Zhang Jian directly holds 282,317,000 shares of the Company, and Zhang Gege indirectly holds
4,571,910 shares of the Company through Changxing DingAi Investment Management Partnership (Limited
Partnership).
On January 24, 2022, the Company's 2021 equity incentive restricted shares were first granted and
registered, resulting in a change in the Company's total capital stock, and the proportion of the shares in the
Company held b y Zhang Jian and Zhang Ge, the two actual controllers of the Company, was reduced from
71.07% to 69.90%.
V. The Proportion of The Accumulated Number of Shares Pledged by The Controlling Shareholders or
The Largest Shareholder of the Company, Together with The Parties Acting in Concert with Them to The
Number of Shares of The Company Held by Them Amounts to More Than 80%
"□ Applicable" "√ Not applicable"
VI. Other Legal Entity Shareholder Holding More Than 10%
"□ Applicable" "√ Not applicable"
VII. Explanation on The Reduction of Restricted Shares
"√ Applicable" "□ Not applicable"
For details, please refer to the interpretation on shareholding lessening as stated in “Section 6 I. (I)
Commitments of the Company’s actual controller, shareholders, related parties, acquirer, as well as the
Company and other relevant entities during or up to the reporting period”. There existed no shareholding
lessening by any of the subjects restricted for shareholding lessening against the regulations.
VIII. Specific Implementation of Share Repurchase During The Reporting Period
"□ Applicable" "√ Not applicable"
Section 8 Preferred Shares
"□ Applicable" "√ Not applicable"
Section 9 Corporate Bonds
I. Enterprise Bonds, Corporate Bonds and Debt Financing Instruments for Non-financial Enterprises
"□ Applicable" "√ Not applicable"
II. Convertible Corporate Bonds
"□ Applicable" "√ Not applicable"
Section 10 Financial Report
I. Auditor’s Report
"√ Applicable" "□ Not applicable"
Ernst & Young Hua Ming (2022) Shen Zi NO.60968971_B01
AIMA Technology Group Co., LTD.
To all shareholders of AIMA Technology Group Co., LTD.,
I. Opinion
We have audited the financial statements of AIMA Technology Group Co., LTD. (the “Company”), which
comprise the consolidated and company balance sheets as at 31 December 2021, and the consolidated and
company income statements, the consolidated and company statement of changes in equity and the
consolidated and company statement of cash flows for the year then ended, and notes to the financial statements.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial
position of the consolidated and company as at 31 December 2021, and of its financial performance and cash
flows for the year then ended in accordance with Accounting Standards for Business Enterprises (“ASBEs”).
II. Basis for opinion
We conducted our audit in accordance with China Standards on Auditing (“CSAs”). Our responsibilities
under those standards are further described in the Auditor’s responsibilities for the audit of the financial
statements section of our report. We are independent of the Company in accordance with China Code of Ethics
for Certified Public Accountants (the “Code”), and we have fulfilled our other ethical responsibilities in accordance
with the Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our opinion.
III. Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our
audit of the financial statements of the current period. These matters were addressed in the context of our audit
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2021 Annual Report
of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate
opinion on these matters. For each matter below, our description of how our audit addressed the matter is
provided in that context.
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the financial
statements section of our report, including in relation to these matters. Accordingly, our audit included the
performance of procedures designed to respond to our assessment of the risks of material misstatement of the
financial statements. The results of our audit procedures, including the procedures performed to address the
matters below, provide the basis for our audit opinion on the accompanying financial statements.
Key audit matters: How our audit addressed the key audit matter：
Sales rebates and incentives
The book value of sales rebates and incentives Our audit procedures performed on sales
payable in the consolidated financial statements on rebates and incentives mainly include:
December 31, 2021 was RMB 186,926,832.16, and 1) Understand the internal control of sales
the book value of sales rebates and incentives rebate and incentives management, perform
payable in the Company's financial statements was walkthrough test and control test on identified
RMB 101,065,324.67. controls;
2) Check the distribution agreements signed
It is stipulated in the distribution agreement with several dealers in 2021, and checking the
signed with the dealers that sales rebates and other provisions in the distribution agreements on sales
specific incentives should be given based on the rebates and incentives;
purchase volume to offset against revenue. On the 3) Select a number of dealers to check whether
balance sheet date, sales rebates and incentives are the sales rebates and incentives obtained by them
estimated based on the dealers’ purchase volume and comply with the relevant sales policies, and check
other rebates and promotion policies. Due to the large the application of these dealers' sales rebates and
number of dealers and the various forms of sales incentives;
rebates and incentives, the purchase volume of each 4) Check the year-end sales rebate calculation
dealer and the achievement of other performances process prepared by the management, and check
needs to be considered in order to determine the whether the target sales volume of the dealer's year-
period of sales rebates and incentives. The calculation end sales rebate has been achieved for the year-end
of sales rebates and incentives depends on the rebate; and check whether the quantity and unit
judgment and estimate of the management. price of the calculated sales rebate are consistent
with the specific terms in the distribution agreement;
The accounting policies, accounting estimates 5) Execute the subsequent review procedure to
and disclosures for the sales rebates and incentives check the sales rebate payable by the Company at
are set out in “V. 38. Revenue”, “V. 43. Other the end of the year and the actual payment status
significant accounting policies and accounting thereafter.
estimates” and “VII. 38. Contract liabilities” of the
financial report in this section”.
Bad debt provision of accounts receivable
The book value of accounts receivable in the Our audit procedures performed on bad debt
consolidated financial statements on December 31, provision for accounts receivable mainly include:
2021 was RMB 207,629,801.65, and the book value 1)For the accounts receivable that have been
of the accounts receivable in the Company's financial individually assessed for impairment, interview the
statements was RMB 90,196,112.09. managers of the sales department and the legal
department, and review the basis for the
The management considers the credit risk management to estimate the bad debt provision,
characteristics of different customers and evaluates including the communication correspondences
the expected credit losses (“ECLs”) of accounts between the management and the relevant
receivable based on the aging portfolio. Then, on the customers, the management’s assessment on credit
basis of ECLs, the bad debt provision is measured risks of the customers in consideration of their
according to the ECLs amount equivalent to the entire operating conditions and historical payment record,
lifetime. The management considers reasonable and etc.;
supportable information about past events, current 2) For the accounts receivable assessed by
conditions and forecasts of future economic conditions combination, review the management's setting of the
when assessing ECLs. combination of credit risk characteristics, key
information such as the aging and credit quality
The dealers’ customers are scattered and records of each combination by sampling; and with
numerous, and the estimation of bad-debt provision the combination of credit risk characteristics (i.e.
for accounts receivable depends on the judgment and ageing combination) as the base, review the
estimation of the management. management’s basis to assess the credit risk and
ECLs amount, including testing historical default
The accounting policies and disclosures for bad- data, evaluating adjustments to historical loss rates
debt provision for accounts receivable are set out in based on current economic conditions, and
“V. 10. Financial instruments”, “V. 43. Other important evaluating forward-looking information by examining
accounting policies and accounting estimates”, “VII. 5. publicly available macroeconomic factors, and
Accounts receivable” in the financial report of this check the actual credit losses incurred during the
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2021 Annual Report
section, “XVII. 1. Accounts receivable". year;
3) Check the subsequent collection of accounts
receivable, and consider the impact of subsequent
events on the estimation of bad debt provision;
4）Retest the calculation process of bad debt
provision for accounts receivable, and review the
amount of bad debt provision;
5) Review the disclosure of bad debt provision
for accounts receivable in the financial statements.
IV. Other information
The management of AIMA Technology Group Co., LTD. is responsible for the other information. The other
information comprises the information included in the Annual Report, other than the financial statements and our
auditor’s report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information
and, in doing so, consider whether the other information is materially inconsistent with the financial statements
or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
V. Responsibilities of the management and those charged with governance for the financial
statements
The management of the Company is responsible for the preparation and fair presentation of the financial
statements in accordance with ASBEs, and for designing, implementing and maintaining such internal control as
the management determines is necessary to enable the preparation of financial statements that are free from
material misstatement, whether due to fraud or error.
In preparing the financial statements, the management is responsible for assessing AIMA Technology Group
Co., LTD.’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern
and using the going concern basis of accounting unless either intend to liquidate AIMA Technology Group Co,.
LTD. or to cease operations or have no realistic alternative but to do so.
Those charged with governance is responsible for overseeing AIMA Technology Group Co., LTD.’s financial
reporting process.
VI. Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our
opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in
accordance with CSAs will always detect a material misstatement when it exists. Misstatements can arise from
fraud or error and are generally considered material if, individually or in the aggregate, they could reasonably be
expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with CSAs, we exercise professional judgement and maintain professional
skepticism throughout the audit. We also:
(1) Identify and assess the risks of material misstatement of the financial statements, whether due to fraud
or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control.
(2) Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
internal control.
(3) Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the management.
(4) Conclude on the appropriateness of the management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in
the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are
based on the audit evidence obtained up to the date of our auditor’s report. However, future events or
conditions may cause the Company to cease to continue as a going concern.
(5) Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a manner
that achieves fair presentation.
(6) Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business
activities within the Company to express an opinion on the financial statements. We are responsible for the
direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
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2021 Annual Report
We communicate with those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in internal control that
we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence and to communicate with those charged with governance all
relationships and other matters that may reasonably be thought to bear on our independence, and where
applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were
of most significance in the audit of the financial statements of the current period and are therefore the key audit
matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure
about the matter or when, in extremely rare circumstances, we determine that a matter should not be
communicated in our report because the adverse consequences of doing so would reasonably be expected to
outweigh the public interest benefits of such communication.
Ernst & Young Hua Ming LLP Chinese Certified Public Accountant: ZhangJiong
Chinese Certified Public Accountant: Zhang Bin
Beijing, the People’s Republic of China 14 April 2022
II. Financial Statements
Consolidated Balance Sheet
December 31, 2021
Prepared by AIMA Technology Group Co., LTD.
In:Yuan Currency:RMB
Items Notes December 31, 2021 December 31, 2020
Current assets:
Currency funds VII.1 2,846,143,310.70 1,249,120,118.26
Settlement reserve
Inter-bank lending
Financial assets held for trading VII.2 1,265,981,818.24 458,440,486.16
Derivative financial assets
Notes receivable
Accounts receivable VII.5 207,629,801.65 187,700,162.28
Receivables financing VII.6 49,295,422.59 194,010,599.36
Prepayments VII.7 21,538,098.38 20,248,469.38
Receivable premium
Reinsurance accounts receivable
Reserve for reinsurance contract
receivable
Other receivables VII.8 150,069,854.58 85,518,641.96
Including: Interest receivable 642,997.45 930,559.39
Dividend receivable
Redemptory monetary capital for
sale
Inventories VII.9 795,689,208.89 494,751,269.64
Contract assets
Assets classified as held for sale
Current portion of non-current VII.12
875,045,616.43
assets
Other current assets VII.13 170,807,953.30 120,605,121.80
Total current assets 5,507,155,468.33 3,685,440,485.27
Non-current assets:
Loan issuing and advance in
cash
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments VII.17 105,073,280.23 32,946,576.25
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2021 Annual Report
Other equity investments
Other non-current financial
assets
Investment properties VII.20 270,188,544.27 223,753,945.07
Fixed assets VII.21 1,966,085,704.31 1,781,506,536.14
Construction in progress VII.22 114,131,095.16 47,995,478.09
Productive biological asset
Oil and Gas Assets
Right-of-use assets VII.25 41,226,833.58
Intangible assets VII.26 332,074,064.23 316,215,456.18
Development expenditures
Goodwill
Long-term prepaid expenses VII.29 29,394,318.63 11,802,083.24
Deferred tax assets VII.30 88,843,633.31 56,365,819.88
Other non-current assets VII.31 4,942,771,969.13 3,402,470,277.28
Total non-current assets 7,889,789,442.85 5,873,056,172.13
Total assets 13,396,944,911.18 9,558,496,657.40
Current liabilities:
Short-term borrowings
Borrowings from the central bank
Loans from other banks
Financial liabilities held for
trading
Derivative financial liabilities
Notes payable VII.35 4,926,337,711.40 4,555,247,953.70
Accounts payable VII.36 2,132,113,371.54 1,382,013,472.83
Receipts in advance VII.37 13,125,994.89
Contract liabilities VII.38 483,535,624.57 318,471,009.89
Money from sale of the
repurchased financial assets
Deposits taking and interbank
placement
Acting trading securities
Income from securities
underwriting on commission
Employee benefits payable VII.39 113,584,622.70 89,154,510.59
Taxes and surcharges payable VII.40 58,301,487.57 25,977,920.73
Other payables VII.41 478,360,431.77 453,785,184.64
Including: interest payable
Dividends payable
Service charge and commission
payable
Payable reinsurance
Liabilities classified as held for
sale
Current portion of non-current VII.43
5,923,801.00
liabilities
Other current liabilities VII.44 39,990,259.74 12,219,830.60
Total current liabilities 8,251,273,305.18 6,836,869,882.98
Non-current liabilities:
Reserve for insurance contract
Long-term borrowings
Bonds payable
Including: preferred shares
Perpetual bond
Lease liabilities VII.47 46,589,311.07
Long-term payables
Long-term employee benefits
payable
Provisions
Deferred income VII.51 118,883,340.46 73,775,195.25
Deferred tax liabilities VII.30 431,224.44 8,740.26
Other non-current liabilities
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2021 Annual Report
Total non-current liabilities 165,903,875.97 73,783,935.51
Total liabilities 8,417,177,181.15 6,910,653,818.49
Shareholders’Equity：
Share capital VII.53 403,660,003.00 338,660,003.00
Other equity instruments
Including: preferred shares
Perpetual bond
Capital reserves VII.55 1,935,686,839.31 319,618,893.64
Less: Treasury shares
Other comprehensive income
Special reserves
Surplus reserves VII.59 201,830,001.50 189,936,412.55
General risks reserves
Retained earnings VII.60 2,433,650,547.11 1,781,546,043.16
Total shareholders’ equity
attributable to the parent 4,974,827,390.92 2,629,761,352.35
company
Non-controlling interests 4,940,339.11 18,081,486.56
Total shareholder’s equity 4,979,767,730.03 2,647,842,838.91
Total Liabilities and
13,396,944,911.18 9,558,496,657.40
Shareholder’s Equity
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
Balance Sheet, Parent Company
December 31, 2021
Prepared by: AIMA Technology Group Co,. LTD.
In:Yuan Currency:RMB
Items Notes December 31, 2021 December 31, 2020
Current assets:
Currency funds 1,381,189,954.73 1,026,281,081.52
Financial assets held for trading 487,120,547.95 60,600,000.00
Derivative financial assets
Notes receivable
Accounts receivable XVII.1 90,196,112.09 187,973,999.10
Receivables financing 2,920,000.00
Prepayments 8,325,601.78 9,320,260.63
Other receivables XVII.2 226,834,333.25 54,343,683.45
Including: Interest receivable 255,452.31 928,998.18
Dividend receivable
Inventories 11,327,860.00 5,103,408.33
Contract assets
Assets classified as held for sale
Current portion of non-current
875,045,616.43
assets
Other current assets 1,908,746.07 48,187,421.72
Total current assets 2,206,903,155.87 2,269,775,471.18
Non-current assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments XVII.3 874,946,715.49 693,448,588.33
Other equity investments
Other non-current financial
assets
Investment properties 426,912,592.10 438,596,163.82
Fixed assets 62,254,198.18 48,254,628.34
Construction in progress 49,538,123.48 13,543,609.26
Productive biological asset
Oil and Gas Assets
Right-of-use assets 11,005,806.85
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2021 Annual Report
Intangible assets 59,929,778.27 30,295,640.40
Development expenditures
Goodwill
Long-term prepaid expenses 14,285,240.24 1,021,465.06
Deferred tax assets 43,885,593.62 20,994,245.62
Other non-current assets 4,108,653,262.00 3,190,437,580.45
Total non-current assets 5,651,411,310.23 4,436,591,921.28
Total assets 7,858,314,466.10 6,706,367,392.46
Current liabilities:
Short-term borrowings
Financial liabilities held for
trading
Derivative financial liabilities
Notes payable 1,200,158,631.00 1,535,609,263.11
Accounts payable 1,856,691,257.42 2,581,643,212.31
Receipts in advance 18,776,664.32
Contract liabilities 259,774,265.64 293,258,453.68
Employee benefits payable 32,754,658.59 25,528,265.93
Taxes and surcharges payable 1,220,779.78 666,987.59
Other payables 356,709,196.67 308,332,553.91
Including: interest payable
Dividends payable
Liabilities classified as held for
sale
Current portion of non-current
4,349,098.29
liabilities
Other current liabilities 22,063,245.17 9,711,127.61
Total current liabilities 3,752,497,796.88 4,754,749,864.14
Non-current liabilities:
Long-term borrowings
Bonds payable
Including: preferred shares
Perpetual bond
Lease liabilities 6,909,182.17
Long-term payables
Long-term employee benefits
payable
Provisions
Deferred income 35,407,977.88 36,257,597.30
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities 42,317,160.05 36,257,597.30
Total liabilities 3,794,814,956.93 4,791,007,461.44
Shareholders’Equity：
Share capital 403,660,003.00 338,660,003.00
Other equity instruments
Including: preferred shares
Perpetual bond
Capital reserves 1,910,845,161.11 294,981,361.11
Less: Treasury shares
Other comprehensive income
Special reserves
Surplus reserves 201,830,001.50 189,936,412.55
Retained earnings 1,547,164,343.56 1,091,782,154.36
Total shareholder’s equity 4,063,499,509.17 1,915,359,931.02
Total Liabilities and
7,858,314,466.10 6,706,367,392.46
Shareholder’s Equity
Legal representative: Zhang Jian Financial controller : Zheng Hui Accounting supervisor: Zheng Hui
Consolidated Income Statement
2021
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2021 Annual Report
In:Yuan Currency: RMB
Items Notes 2021 2020
I. Revenue 15,398,710,870.72 12,904,586,099.11
Including: operating revenue VII.61 15,398,710,870.72 12,904,586,099.11
Interest income
Earned insurance premium
Service charge and commission income
II. Total operating costs 14,659,904,964.29 12,252,528,155.38
Including: cost of sales VII.61 13,593,606,029.56 11,431,221,982.27
Interest payment
Service charge and commission payment
Surrender Value
Compensation expenses, net
Provision of reserve for insurance liabilities, net
Payment of policy dividend
Reinsurance expenses
Taxes and surcharges VII.62 56,148,586.05 52,625,966.82
Selling expenses VII.63 550,605,290.98 398,784,858.24
Administrative expenses VII.64 316,594,598.36 265,551,124.65
Research and development expenses VII.65 404,084,127.91 239,440,162.52
Financial expenses VII.66 -261,133,668.57 -135,095,939.12
Including: Interest expenses 1,869,959.31 10,954,710.98
Interest income 264,701,993.37 150,694,536.85
Add: Other income VII.67 22,672,276.61 29,136,346.91
Investment income (loss is stated with “-”) VII.68 -16,374,983.63 71,851,196.50
Including: Income from investments in associates
-39,867,033.98 10,372,839.35
and joint ventures
Income from the derecognition of financial assets
measured at amortised cost
Exchange income (loss stated with “-“)
Net position hedging gains (loss stated with “-“)
Fair value gains (loss is stated with “-”) VII.70 9,978,187.68 12,219,498.91
Credit impairment losses (loss is stated with “-”) VII.71 5,960,856.26 3,965,931.68
Impairment losses of assets (loss is stated with VII.72
-11,557,401.98 -679,328.75
“-”)
Gains on disposal of non-current assets (loss is VII.73 -10,592,015.11
-4,371,284.89
stated with “-”)
III. Operating profit (loss is stated with “-“) 738,892,826.26 764,180,304.09
Add: Non-operating income VII.74 30,687,494.40 26,135,758.67
Less: Non-operating expenses VII.75 11,326,697.86 11,236,658.62
IV. Total profit (total loss is stated with “-”) 758,253,622.80 779,079,404.14
Less: Income tax expense VII.76 90,532,343.61 169,238,614.08
V. Net Profit (net loss is stated with “-“) 667,721,279.19 609,840,790.06
(I) Classified by continuity of operations
1. Profit from continuing operations(loss is stated
with “-”)
2. Profit from discontinued operations(loss is
stated with “-”)
(II) Classified by ownership
1. Profit attributable to owners of the parent(loss is
663,998,092.90 598,524,584.35
stated with “-”)
2. Profit attributable to non-controlling
3,723,186.29 11,316,205.71
interests(loss is stated with “-”)
VI. Other comprehensive income, net of tax
(I) Other comprehensive income, net of tax,
attributable to owners of the parent
1 Other comprehensive income that will not be
reclassified to profit or loss
(1) Remeasurement of a defined benefit plan
(2) Other comprehensive income using the equity
method that will not be reclassified to profit or loss
(3) Change in the fair value of other equity
investments
69 / 187
2021 Annual Report
(4) Change in the fair value of the entity’s own
credit risks
2. Other comprehensive income that may be
reclassified to profit or loss
(1) Other comprehensive income using the equity
method that may be reclassified to profit or loss
(2) Change in the fair value of other debt
investments
(3) Amount recognized in other comprehensive
income resulting from the reclassification of
financial assets
(4) Provision for credit impairment of receivables
financing
(5) Cash flow hedge reserve (Effective portion of
cash flow hedges)
(6) Exchange differences on translation of foreign
currency financial statements
(7) Others
(II) Other comprehensive income, net of tax,
attributable to non-controlling interests
VII. Total comprehensive income 667,721,279.19 609,840,790.06
(I) Total comprehensive income attributable to
663,998,092.90 598,524,584.35
owners of the parent
(II) Total comprehensive income attributable to
3,723,186.29 11,316,205.71
non-controlling interests
VIII. Earnings per share:
(I)Basic earning per share (RMB/share) 1.79 1.77
(II) Diluted earning per share (RMB/share) 1.79 1.77
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
Income Statement, Parent Company
2021
In:Yuan Currency: RMB
Items Notes 2021 2020
I. Operating revenue XVII.4 10,943,228,159.23 11,794,656,290.53
Less: cost of sales XVII.4 10,678,372,712.23 11,546,176,689.61
Taxes and surcharges 10,355,046.08 13,663,859.20
Selling expenses 365,753,276.19 277,532,607.93
Administrative expenses 179,546,823.66 100,509,267.05
Research and development expenses 8,486,096.33
Financial expenses -210,284,084.80 -124,131,405.89
Including: Interest expenses 646,375.99
Interest income 211,239,319.46 125,442,381.35
Add: Other income 3,645,613.87 4,487,710.36
Investment income (loss is stated with “-”) XVII.5 511,195,864.47 380,728,865.97
Including: Income from investments in
-39,589,711.80 10,372,839.35
associates and joint ventures
Income from the derecognition of financial assets
measured at amortised cost
Net position hedging gains (loss stated with “-“)
Fair value gains (loss is stated with “-”) 3,122,647.95 10,600,000.00
-983,807.95
Credit impairment losses (loss is stated with “-”) 7,853,598.98
Impairment losses (loss is stated with “-”) -3,090,527.33
Gains on disposal of non-current assets (loss is
1,101,007.69 288,816.97
stated with “-”)
II. Operating Profit (loss is stated with “-”) 437,917,022.50 372,936,330.65
Add: Non-operating income 11,846,519.04 4,874,439.87
Less: Non-operating expenses 5,497,070.24 2,014,877.86
III. Total profit (total loss is stated with “-“) 444,266,471.30 375,795,892.66
Less: Income tax expense -23,009,306.85 10,989,295.61
IV. Net Profit (net loss is stated with “-“) 467,275,778.15 364,806,597.05
70 / 187
2021 Annual Report
(I) Profit from continuing operations (net loss is
467,275,778.15 364,806,597.05
stated with “-”)
(II) Profit from a discontinued operation (net loss
is stated with “-”)
V. Other comprehensive income, net of tax
(I) Other comprehensive income which cannot be
re-classified into the gain and loss
1. Remeasurement of a defined benefit plan
2. Other comprehensive income using the equity
method that will not be reclassified to profit or loss
3. Change in the fair value of other equity
investments
4. Change in the fair value of the entity’s own
credit risks
(II) Other comprehensive income that may be
reclassified to profit or loss
1. Other comprehensive income using the equity
method that may be reclassified to profit or loss
2. Change in the fair value of other debt
investments
3. Amount recognised in other comprehensive
income resulting from the reclassification of
financial assets
4. Provision for credit impairment of receivables
financing
5. Cash flow hedge reserve (Effective portion of
cash flow hedges)
6. Exchange differences on translation of foreign
currency financial statements
7. Others
VI. Total comprehensive income 467,275,778.15 364,806,597.05
VII. Earnings per share:
(I)Basic earning per share (RMB/share)
(II) Diluted earning per share (RMB/share)
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
Consolidated Statement of Cash Flows
2021
In：Yuan Currency: RMB
Items Notes 2021 2020
I. Cash flows from operating activities
Cash receipts from the sale of goods and the
17,756,512,273.66 15,475,502,884.84
rendering of services
Net increase of customers’ deposit and due
from banks
Net increase of borrowings from the central
bank
Net increase of borrowings from other financial
institutions
Cash received from the premium of the original
insurance contract
Net cash received from the reinsurance
business
Net increase of the reserve from policy holders
and investment
Cash received from interest, service charge
and commission
Net increase of loan from other banks
Net increase of fund from repurchase business
Net cash received from securities trading on
commission
Receipts of taxes and surcharges refunds 52,669,169.36 4,853,543.93
Other cash receipts relating to operating VII.78
151,715,468.87 103,151,684.34
activities
71 / 187
2021 Annual Report
Total cash inflows from operating activities 17,960,896,911.89 15,583,508,113.11
Cash payments for goods and services 13,901,355,060.72 12,911,439,657.89
Net increase of loans and advances to
customers
Net increase of due from central bank and due
from other banks
Cash from payment for settlement of the
original insurance contract
Net increase of the lending capital
Cash paid for interest, service charge and
commission
Cash for payment of policy dividend
Cash payments to and on behalf of employees 993,967,512.50 666,386,325.08
Payments of all types of taxes and surcharges 427,444,370.30 439,740,523.39
Other cash payments relating to operating VII.78
543,942,594.40 411,361,761.98
activities
Total cash outflows from operating activities 15,866,709,537.92 14,428,928,268.34
Net cash flows from operating activities 2,094,187,373.97 1,154,579,844.77
II. Cash flows from investing activities:
Cash receipts from returns of investments 119,800,000.00 2,989,200,000.00
Cash receipts from returns on investments 141,528,971.25 108,378,734.93
Net cash receipts from disposal of fixed assets,
17,849,229.40 30,428,864.95
intangible assets and other long-term assets
Net cash receipts from disposal of subsidiaries
and other business units
Other cash receipts relating to investing VII.78
16,002,100.00
activities
Total cash inflows from investing activities 295,180,300.65 3,128,007,599.88
Cash payments to acquire fixed assets,
659,592,055.18 363,509,274.15
intangible assets and other long-term assets
Cash payments for investments 1,659,730,000.04 3,225,000,000.00
Net increase of the pledged loan
Net cash payments for acquisition of
subsidiaries and other business units
Other cash payments relating to investing
100,000,000.00
activities
Total cash outflows from investing activities 2,319,322,055.22 3,688,509,274.15
Net cash flows from investing activities -2,024,141,754.57 -560,501,674.27
III. Cash flows from financing activities:
Cash proceeds from investments by others 1,828,453,699.40
Including: Cash receipts from capital
contributions from non-controlling interests of
subsidiaries
Cash receipts from borrowing
Other cash receipts relating to financing VII.78
466,996,028.88
activities
Total cash inflows from financing activities 1,828,453,699.40 466,996,028.88
Cash repayments for debts
Cash payments for distribution of dividends or
13,230,000.00 4,302,051.07
profit and interest expenses
Including: Dividends or profit paid to non-
13,230,000.00 4,302,051.07
controlling shareholders of subsidiaries
Other cash payments relating to financing VII.78
17,292,740.74 92,181,583.08
activities
Total cash outflows from financing activities 30,522,740.74 96,483,634.15
Net cash flows from financing activities 1,797,930,958.66 370,512,394.73
IV. Effect of foreign exchange rate changes
-534,069.84 -2,338,295.06
on cash and cash equivalents
V. Net increase in cash and cash
1,867,442,508.22 962,252,270.17
equivalents
Add: Cash and cash equivalents at the
978,700,802.48 16,448,532.31
beginning of the year
VI. Cash and cash equivalents at the end of
2,846,143,310.70 978,700,802.48
the year
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2021 Annual Report
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
Statement of Cash Flows, Parent Company
2021
In:Yuan Currency: RMB
Items Notes 2021 2020
I. Cash flows from operating activities
Cash receipts from the sale of goods and the 12,479,010,351.93 13,289,330,508.54
rendering of services
Receipts of tax and surcharges refunds 31,843,942.86
Other cash receipts relating to operating 58,877,297.11 106,402,786.35
activities
Total cash inflows from operating activities 12,569,731,591.90 13,395,733,294.89
Cash payments for goods and services 13,036,232,276.18 10,596,245,189.98
Cash payments to and on behalf of employees 254,458,245.22 137,501,877.81
Payments of all types of taxes and surcharges 25,016,277.14 76,114,567.00
Other cash payments relating to operating 353,843,037.93 210,308,120.61
activities
Total cash outflows from operating activities 13,669,549,836.47 11,020,169,755.40
Net cash flows from operating activities -1,099,818,244.57 2,375,563,539.49
II. Cash flows from investing activities:
Cash receipts from returns of investments 5,724,000.00 1,425,367,528.00
Cash receipts from returns on investments 661,081,902.78 390,532,498.00
Net cash received from disposal of fixed assets,
1,516,772.14 335,209.76
intangible assets and other long-term assets
Net cash receipts from disposal of subsidiaries
and other business units
Other cash receipts relating to investing activities 26,002,100.00
Total cash inflows from investing activities 694,324,774.92 1,816,235,235.76
Cash payments to acquire fixed assets,
135,643,702.12 60,729,640.87
intangible assets and other long-term assets
Cash payments for investments 673,914,101.00 3,000,000,000.00
Net cash payments for acquisition of subsidiaries
2,700,000.00
and other business units
Other cash payments relating to other investing
185,000,000.00 105,000,000.00
activities
Total cash outflows from investing activities 994,557,803.12 3,168,429,640.87
Net cash flows from investing activities -300,233,028.20 -1,352,194,405.11
III. Cash flows from financing activities:
Cash proceeds from investments by others 1,828,453,699.40
Cash receipts from borrowings
Other cash receipts relating to financing activities
Total cash inflows from financing activities 1,828,453,699.40
Cash repayments for debts
Cash payments for distribution of dividends or
646,375.99
profit and interest expenses
Other cash payments relating to financing
8,327,413.70 63,978,025.00
activities
Total cash outflows from financing activities 8,973,789.69 63,978,025.00
Net cash flows from financing activities 1,819,479,909.71 -63,978,025.00
IV. Effect of foreign exchange rate changes
-308,858.66 -402,836.52
on cash and cash equivalents
V. Net increase in cash and cash
419,119,778.28 958,988,272.86
equivalents
Add: Cash and cash equivalents at the beginning
962,070,176.45 3,081,903.59
of the year
VI. Cash and cash equivalents at the end of
1,381,189,954.73 962,070,176.45
the year
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
73 / 187
2021 Annual Report
Consolidated Statement of Changes in Owner’s Equity
2021
In:Yuan Currency: RMB
2021
Owners’ equity attributable to the parent company
Non- Total
Items Other equity instruments Reserves
Less: Other controlling shareholders’
Share Capital Special Surplus for Retained
Preferred Perpetual Treasury comprehensive Others Sub-total interests equity
capital Others reserves reserves Reserves general earnings
shares bond shares income
risks
I. Balance at end
338,660,003.00 319,618,893.64 189,936,412.55 1,781,546,043.16 2,629,761,352.35 18,081,486.56 2,647,842,838.91
of prior year
Add: Changes in
accounting policy
Correction of prior
period errors
Business
combination
involving entities
under common
control
Others
II. Balance at the
beginning 338,660,003.00 319,618,893.64 189,936,412.55 1,781,546,043.16 2,629,761,352.35 18,081,486.56 2,647,842,838.91
of the year
74 / 187
2021 Annual Report
III. Changes for
the year(decrease 65,000,000.00 1,616,067,945.67 11,893,588.95 652,104,503.95 2,345,066,038.57 -13,141,147.45 2,331,924,891.12
is stated with “-“)
(I) Total
comprehensive 663,998,092.90 663,998,092.90 3,723,186.29 667,721,279.19
income
(II) Shareholders’
contributions and 65,000,000.00 1,616,067,945.67 1,681,067,945.67 -3,634,333.74 1,677,433,611.93
reduction in capital
1. Capital
contributions by 65,000,000.00 1,615,863,800.00 1,680,863,800.00 1,680,863,800.00
shareholders
2. Capital
contributed by
other equity
instruments
holders
3. Amount of
share-based
payments
recognised in
equity
4. Others
5. Purchase of the
non-controlling 204,145.67 204,145.67 -3,898,246.67 -3,694,101.00
interests
75 / 187
2021 Annual Report
6. Disposal of
263,912.93 263,912.93
subsidiaries
(III) Profit
11,893,588.95 -11,893,588.95 -13,230,000.00 -13,230,000.00
Distribution
1. Transfer to
surplus 11,893,588.95 -11,893,588.95
reserves
2. Transfer to
general risks
reserves
3. Distribution to
-13,230,000.00 -13,230,000.00
shareholders
4. Others
(IV) Internal carry-
over of owners’
equity
1. Capitalisation of
capital reserves
2. Capitalisation of
surplus reserves
3. Loss made up
by surplus
reserves
4. Transfer of
changes in the
defined benefit
76 / 187
2021 Annual Report
plan to retained
earnings
5. Transfer of
other
comprehensive
income to retained
earnings
6. Others
(V) Special
reserves
1. Appropriation
for the year
2. Utilisation for
the year
(VI) Others
IV. Balance at end
403,660,003.00 1,935,686,839.31 201,830,001.50 2,433,650,547.11 4,974,827,390.92 4,940,339.11 4,979,767,730.03
of year
2020
Owners’ equity attributable to the parent company
Reserves Non- Total
Items Other equity instruments
Less: Other controlling shareholder
Share Capital Special Surplus for Retained
Preferre Perpetu Treasury comprehensi Others Sub-total interests s’ equity
capital Others reserves reserves Reserves general earnings
d shares al bond shares ve income
risks
77 / 187
2021 Annual Report
I. Balance at end
338,660,003.00 322,216,957.58 189,936,412.55 1,183,021,458.81 2,033,834,831.94 10,974,267.98 2,044,809,099.92
of prior year
Add: Changes in
accounting
policy
Correction of
prior period
errors
Business
combination
involving entities
under common
control
Others
II. Balance at the
beginning of the 338,660,003.00 322,216,957.58 189,936,412.55 1,183,021,458.81 2,033,834,831.94 10,974,267.98 2,044,809,099.92
year
III. Changes for
the
-2,598,063.94 598,524,584.35 595,926,520.41 7,107,218.58 603,033,738.99
year(decrease is
stated with “-“)
(I) Total
comprehensive 598,524,584.35 598,524,584.35 11,316,205.71 609,840,790.06
income
(II)
-2,598,063.94 -2,598,063.94 93,063.94 -2,505,000.00
Shareholders’
78 / 187
2021 Annual Report
contributions and
reduction in
capital
1. Capital
contributions by
shareholders
2. Capital
contributed by
other equity
instruments
holders
3. Amount of
share-based
payments
recognised in
equity
4. Others -2,598,063.94 -2,598,063.94 93,063.94 -2,505,000.00
(III) Profit
-4,302,051.07 -4,302,051.07
Distribution
1. Transfer to
surplus
reserves
2. Transfer to
general risk
reserves
3. Distribution to -4,302,051.07 -4,302,051.07
79 / 187
2021 Annual Report
shareholders
4. Others
(IV) Internal
carry-over of
owners’ equity
1. Capitalisation
of capital
reserves
2. Capitalisation
of surplus
reserves
3. Loss made up
by surplus
reserves
4. Transfer of
changes in the
defined benefit
plan to retained
earnings
5. Transfer of
other
comprehensive
income to
retained
earnings
6. Others
80 / 187
2021 Annual Report
(V) Special
reserves
1. Appropriation
for the year
2. Utilisation for
the year
(VI) Others
IV. Balance at
338,660,003.00 319,618,893.64 189,936,412.55 1,781,546,043.16 2,629,761,352.35 18,081,486.56 2,647,842,838.91
end of year
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
Statement of Changes in Owner’s Equity, Parent Company
2021
In:Yuan Currency:RMB
2021
Other equity instruments Other
Less: Surplus
Items Capital comprehe Special Total
Share capital Preferred Perpetu Treasury Reserves Retained earnings
Others reserves nsive reserves shareholders’ equity
shares al bond shares
income
I. Balance at end of prior year 338,660,003.00 294,981,361.11 189,936,412.55 1,091,782,154.36 1,915,359,931.02
Add: Changes in accounting policy
Correction of prior period errors
Others
II. Balance at the beginning 338,660,003.00 294,981,361.11 189,936,412.55 1,091,782,154.36 1,915,359,931.02
of the year
81 / 187
2021 Annual Report
III. Decrease/increase of the report year 65,000,000.00 1,615,863,800.00 2,148,139,578.15
11,893,588.95 455,382,189.20
(decrease is stated with “-“)
(I) Total comprehensive income 467,275,778.15 467,275,778.15
(II) Shareholders ‘contributions and 65,000,000.00 1,615,863,800.00 1,680,863,800.00
reduction in capital
1. Capital contributions by shareholders 65,000,000.00 1,615,863,800.00 1,680,863,800.00
2. Capital contributed by other equity
instruments holders
3. Amount of payment for shares
counted to shareholders’ equity
4. Others
(III) Profit Distribution 11,893,588.95 -11,893,588.95
1. Transfer to surplus reserves 11,893,588.95 -11,893,588.95
2. Distributions to shareholders
3. Others
(IV) Internal carry-over of owners’ equity
1. Capitalisation of capital reserves
2. Capitalisation of surplus reserves
3. Loss made up by surplus reserves
4. Transfer of changes in the defined
benefit plan to retained earnings
5. Transfer of other comprehensive
income to retained earnings
6. Others
(V) Special reserves
82 / 187
2021 Annual Report
1. Appropriation for the year
2. Utilisation for the year
(VI) Others
IV. Balance at end of year 403,660,003.00 1,910,845,161.11 201,830,001.50 1,547,164,343.56 4,063,499,509.17
Year 2020
Other equity instruments Less: Other Specia
Items Capital Treasur comprehe l Total
Share capital Preferred Perpetual Surplus Reserves Retained earnings
Others reserves y nsive reserv shareholders’ equity
shares bond
shares income es
I. Balance at end of prior year 338,660,003.00 294,981,361.11 189,936,412.55 726,975,557.31 1,550,553,333.97
Add: Changes in accounting policy
Correction of prior period errors
Others
II. Balance at the beginning
338,660,003.00 294,981,361.11 189,936,412.55 726,975,557.31 1,550,553,333.97
of the year
III. Decrease/increase of the report
364,806,597.05 364,806,597.05
year (decrease is stated with “-“)
(I) Total comprehensive income 364,806,597.05 364,806,597.05
(II) Shareholders ‘contributions and
reduction in capital
1. Capital contributions by
shareholders
83 / 187
2021 Annual Report
2. Capital contributed by other equity
instruments holders
3. Amount of payment for shares
counted to shareholders’ equity
4. Others
(III) Profit Distribution
1. Transfer to surplus reserves
2. Distributions to shareholders
3. Others
(IV) Internal carry-over of owners’
equity
1. Capitalisation of capital reserves
2. Capitalisation of surplus reserves
3. Loss made up by surplus reserves
4. Transfer of changes in the defined
benefit plan to retained earnings
5. Transfer of other comprehensive
income to retained earnings
6. Others
(V) Special reserves
1. Appropriation for the year
2. Utilisation for the year
(VI) Others
IV. Balance at end of year 338,660,003.00 294,981,361.11 189,936,412.55 1,091,782,154.36 1,915,359,931.02
Legal representative: Zhang Jian Financial controller: Zheng Hui Accounting supervisor: Zheng Hui
84 / 187
2021 Annual Report
III. Company Profile
1. About the Company
"√ Applicable" "□ Not applicable"
AIMA Technology Group Co., LTD. is a joint stock limited company registered in Tianjin, People's
Republic of China. It was established on September 27, 1999. The Company is headquartered at 5 Aima
Road, Jinghai Economic Development Zone, Tianjin.
The Company's principal businesses: manufacture, R&D, machining and assemble of bicycles, electric
bicycles, electric tricycles, electric four-wheeled vehicles (excluding automobiles), sightseeing vehicles
(excluding automobiles), off-highway recreational vehicles (excluding automobiles), sports equipment and
its parts and components; sales and after-sales services of bicycles, electric bicycles, electric motorcycles
and their parts and components; wholesale and retail of hardware and electrical equipment, chemical
products (except hazardous chemicals and precursor chemicals); import and export of goods and
technologies; supply of consulting services in business Information, financial information, business
management, technology, marketing planning and other related consulting services; R&D, foundation
construction, installation, testing and trial-run, maintenance and technical services of public bicycle
intelligent management systems; housing leasing; property management services. (Unless otherwise
specified in the laws, administrative rules and regulations)（Businesses subject to approval in accordance
with the law must not be carried out until being approved by the competent department.)
On July 31, 2009, Zhang Jian, Qiao Baogang, Yu Lin, Liu Jianxin, Han Jianhua, Li Shishuang and
Peng Wei, shareholders of Tianjin Taimei Vehicle Co., Ltd. (the predecessor of the Company, hereinafter
referred to as "Tianjin Taimei") jointly signed the “Tianjin Aima Technology Co., Ltd. Founder Agreement",
held its founding conference on August 26, 2009, signed the "Articles of Tianjin Aima Technology Co., Ltd."
on August 28, 2009, and established a joint stock limited company as a whole and renewed with the
company name as Tianjin Aima Technology Co., Ltd. (the Company's former name). The amount of the
registered capital and share capital of Tianjin Aima Technology Co., Ltd. was both RMB 50,000,000.00 at
the time of establishment. The number of shares held by each founder and the shareholding ratio were as
follows:
Number of shares
Amount Shareholding
Name of the held/Number of shares
No. contributed (in proportion
founder converted (in 10,000
RMB10,000） (%)
shares)
1 Zhang Jian 4,100.00 4,100.00 82.00
2 Qiao Baogang 200.00 200.00 4.00
3 Yu Lin 200.00 200.00 4.00
4 Liu Jianxin 150.00 150.00 3.00
5 Han Jianhua 150.00 150.00 3.00
6 Li Shishuang 100.00 100.00 2.00
7 Peng Wei 100.00 100.00 2.00
Total 5,000.00 5,000.00 100.00
After the previous changes, up to January 1, 2017, the Company’s registered capital increased to RMB
150,000,000.00.
On October 31, 2017, through the resolution of the 5th extraordinary general meeting of the Company,
the Company increased its capital by 11,266,668.00 shares, and increased its registered capital by RMB
11,266,668.00. The four new shareholders (collectively referred to as “Shareholders of Private Placements")
subscribed the shares. Where, CITIC Securities Investment Co., Ltd. subscribed RMB 4,000,000.00,
GoldStone Zhiyu Equity Investment (Hangzhou) Partnership (Limited Partnership) subscribed RMB
3,933,334.00, and GoldStone Haofeng Equity Investment (Hangzhou) Partnership (Limited Partnership)
subscribed RMB 1,666,667.00, and Three Gorges GoldStone (Shenzhen) Equity Investment Fund
Partnership (Limited Partnership) subscribed RMB 1,666,667.00. The registered capital and capital stock
after the said private placement amounted to RMB 161,266,668.00.
On November 28, 2017, through the resolution of the Company's sixth extraordinary general meeting
in 2017, with the Company's total share capital of 161,226,688.00 shares as the base, the Company
capitalized its capital reserves to all shareholders at the rate of 11 shares for every 10 shares, a private
placement and the ratio of 11 shares for every 10 shares was transferred to all shareholders by capital
reserves. Share capital and a total of 177,393,335.00 shares were capitalized. After the said capitalization,
the capital stock amounted to RMB 338,660,003.00 and the amount of both registered capital and share
capital was RMB 338,660,003.00.
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On December 25, 2017, Mr. Zhang Jian, the controlling shareholder of the Company, transferred
16,933,000.00 shares of the Company to Changxing Dingai Investment Management Partnership (Limited
Partnership). The registered capital and capital stock after the change amounted to RMB 338,660,003.00.
On May 20, 2021, with the approval of the China Securities Regulatory Commission by the “Official
Reply on Approving the Initial Public Offering of AIMA Technology Group Co,. LTD.” (Zheng Jian Xu Ke
[2021] No. 1775), the Company publicly issued RMB common shares no more than 65,000,000 shares with
a par value of RMB 1.00 per share. On June 9, 2021, the Company received the total amount of the
proceeds raised from the public offering of RMB 1,810,900,000.00. The net amount was RMB
1,810,900,000.00 after the professional service fee of legal, audit, capital verification and other issuance
related expenses and taxes deducted, with RMB 65,000,000.00 recorded in “share capital”, and RMB
1,615,863,800.00 recorded in “capital reserves - share capital premium”. As of June 9, 2021, the
Company’s share capital after the change amounted to RMB 403,660,003.00, which equaled to the latest
registered capital, with the corresponding accounting treatment completed. For the detail of the registered
capital and share capital, please refer to "Section 10 VII. 53 Share capital".
The Company's controlling shareholder is Mr. Zhang Jian, a natural person.
The financial statements were approved and issued through the resolution of the Board of Directors
dated April 14, 2022.
2. Scope of Consolidated Financial Statements
"√ Applicable" "□ Not applicable"
For the detail of the scope of the consolidated financial statements and the changes, please refer to
“Section 10: Changes in the Scope of Consolidation” and “Section 10: IX. Interests in Other Entities”.
IV. Basis for Preparation of Financial Statements
1. Preparation Basis
These financial statements have been prepared in accordance with Accounting Standards for Business
Enterprises - Basic Standard and specific accounting standards, implementation guidance, interpretations
and other relevant provisions issued subsequently by the Ministry of Finance (the “MOF”) (collectively
referred to as “ASBEs”).
2. Operation on Going Concern Basis
"√ Applicable" "□ Not applicable"
The financial statements of the Company have been prepared on going concern basis. The financial
statements have been prepared under the historical cost convention, except for certain financial
instruments. If the assets are impaired, corresponding provisions for impairment shall be made according
to relevant requirements.
V. Significant Accounting Policies and Estimates
Presentation on specific accounting policies and accounting estimates
"√ Applicable" "□ Not applicable"
The Company has formulated specific accounting policies and accounting estimates based on the
practical production and operation characteristics, which are mainly reflected in the provision for bad debts
of receivables, inventory valuation methods, depreciation and amortization of investment properties,
depreciation of fixed assets, amortization of intangible assets, amortization of long-term prepaid expenses,
etc.
1. Statement on complying with the accounting standard for business enterprises
The Company declares that the financial statements prepared by the Company comply with
requirements of the enterprise accounting standards, truly and completely reflect the concerned information,
including the Company’s financial position as at December 31, 2021 and results of their operations, cash
flow, etc. of the year then ended.
2. Accounting period
The accounting year of the Group is a calendar year, i.e., from 1 January to 31 December of each year.
3. Business Cycle
"√ Applicable" "□ Not applicable"
The Company takes 12 months as a business cycle.
4. Functional currency for bookkeeping
The Company’s functional and presentation currency is RMB. The currency unit is RMB Yuan unless
otherwise stated.
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5.The accounting treatment on business consolidation under the common control and not under
the common control
"√ Applicable" "□ Not applicable"
Business combinations are classified into business combinations involving entities under common
control and business combinations not involving entities under common control.
(1) Business combinations involving entities under common control
A business combination involving entities under common control is a business combination in which
all of the combining entities are ultimately controlled by the same party or parties both before and after the
combination, and that control is not transitory. In a business combination involving entities under common
control, the entity that, at the combination date, obtains control of another combining entity is the absorbing
entity, while that other combining entity is the entity being absorbed. The combination date is the date on
which the absorbing entity effectively obtains control on the entity being absorbed.
The assets and liabilities (including goodwill arising from the ultimate controlling party’s acquisition of
the entity being absorbed) that are obtained by the absorbing entity in a business combination involving
entities under common control shall be measured on the basis of their carrying amounts in the financial
statements of the ultimate controlling party at the combination date. The difference between the carrying
amount of the net assets obtained and the carrying amount of the consideration paid for the combination
(or the aggregate face value of shares issued as consideration) shall be adjusted to capital premium under
capital reserves. If the capital premium is not sufficient to absorb the difference, any excess shall be
adjusted against retained earnings.
(2) Business combinations not involving entities under common control
A business combination not involving entities under common control is a business combination in
which all of the combining entities are not ultimately controlled by the same party or parties both before and
after the combination. In a business combination not involving entities under common control, the entity
that, on the acquisition date, obtains control of another combining entity is the acquirer, while that other
combining entity is the acquiree. The acquisition date is the date on which the acquirer effectively obtains
control of the acquiree.
The acquirer shall measure the acquiree’s identifiable assets, liabilities and contingent liabilities
acquired in the business combination at their fair values on the acquisition date.
Goodwill is initially recognised and measured at cost, being the excess of the aggregate of the fair
value of the consideration transferred (or the fair value of the equity securities issued) and any fair value of
the Group’s previously held equity interest in the acquiree over the Group’s interest in the fair value of the
acquiree’s net identifiable assets. After initial recognition, goodwill is measured at cost less any
accumulated impairment losses. Where the aggregate of the fair value of the consideration transferred
(or the fair value of the equity securities issued) and any fair value of the Group’s previously held equity
interest in the acquiree is lower than the Group’s interest in the fair value of the acquiree’s net identifiable
assets, the Group reassesses the measurement of the fair value of the acquiree’s identifiable assets,
liabilities and contingent liabilities and the fair value of the consideration transferred (or the fair value of the
equity securities issued), together with the fair value of the Group’s previously held equity interest in the
acquiree. If after that reassessment, the aggregate of the fair value of the consideration transferred (or
the fair value of the equity securities issued) and the Group’s previously held equity interest in the acquiree
is still lower than the Group’s interest in the fair value of the acquiree’s net identifiable assets, the Group
recognises the remaining difference in profit or loss.
6. Consolidated financial statements
"√ Applicable" "□ Not applicable"
The scope of the consolidated financial statements, which include the financial statements of the
Company and all of its subsidiaries, is determined on the basis of control. A subsidiary is an entity that is
controlled by the Company (such as an enterprise, a deemed separate entity, or a structured entity
controlled by the Company).
In the preparation of the consolidated financial statements, the financial statements of subsidiaries are
prepared for the same accounting year as the Company, using consistent accounting policies. All intra-
group assets and liabilities, equity, income, expenses and cash flows relating to transactions between
members of the Group are eliminated in full on consolidation.
Where the loss for the current period attributable to non-controlling interests of a subsidiary exceeds
the non-controlling interests of the opening balance of equity of the subsidiary, the excess shall still be
allocated against the non-controlling interests.
For subsidiaries acquired through business combinations not involving entities under common control,
the financial performance and cash flows of the acquiree shall be consolidated from the date on which the
Group obtains control, and continue to be consolidated until the date such control ceases. While preparing
the consolidated financial statements, the Group shall adjust the subsidiary’s financial statements, on the
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basis of the fair values of the identifiable assets, liabilities and contingent liabilities recognised on the
acquisition date.
For subsidiaries acquired through business combinations involving entities under common control, the
financial performance and cash flows of the entity being absorbed shall be consolidated from the beginning
of the period in which the combination occurs. While preparing the comparative financial statements,
adjustments are made to related items in the financial statements for the prior period as if the reporting
entity after the combination has been in existence since the date the ultimate controlling party first obtained
the control.
The Group reassesses whether or not it controls an investee if any change in facts and circumstances
indicates that there are changes to one or more of the three elements of control.
A change in the non-controlling interests, without a loss of control, is accounted for as an equity
transaction.
7. Classification of joint arrangement and joint operation
"√ Applicable" "□ Not applicable"
A joint arrangement is classified as either a joint operation or a joint venture. A joint operation is a
joint arrangement whereby the joint operators have rights to the assets, and obligations for the liabilities,
relating to the arrangement. A joint venture is a joint arrangement whereby the joint operators have rights
to the net assets of the arrangement.
A joint operator recognises the following items in relation to its interest in a joint operation: its solely-
held assets, and its share of any assets held jointly; its solely-assumed liabilities, and its share of any
liabilities incurred jointly; its revenue from the sale of its share of the output arising from the joint operation;
its share of the revenue from the sale of the output by the joint operation; its solely-incurred expenses, and
its share of any expenses incurred jointly.
8. Cash and cash equivalents
Cash comprises the Group’s cash on hand and bank deposits that can be readily withdrawn on demand.
Cash equivalents are short-term, highly liquid investments that are readily convertible into known amounts
of cash, and are subject to an insignificant risk of changes in value.
9. Foreign currency transactions and foreign currency translation
"√ Applicable" "□ Not applicable"
The Group translates foreign currency transactions into its functional currency.
Foreign currency transactions are initially recorded, on initial recognition in the functional currency
using average exchange rates for the period in which the transactions occur. Monetary items denominated
in foreign currencies are translated at the spot exchange rates ruling at the balance sheet date.
Differences arising on settlement or translation of monetary items are recognised in profit or loss, with the
exception of those relating to foreign currency borrowings specifically for the construction and acquisition
of qualifying assets, which are capitalised in accordance with the guidance for capitalisation of borrowing
costs. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated
using the exchange rates at the dates of the initial transactions, and the amount denominated in the
functional currency is not changed. Non-monetary items measured at fair value in a foreign currency are
translated using the exchange rates at the date when the fair value was measured. The resulting
exchange differences are recognised in profit or loss or other comprehensive income depending on the
nature of the non-monetary items.
Foreign currency cash flows are translated using the average exchange rates for the period during
which the cash flows occur. The effect of exchange rate changes on cash is separately presented as an
adjustment item in the statement of cash flows.
10. Financial instruments
"√ Applicable" "□ Not applicable"
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial
liability or equity instrument of another entity.
(1) Recognition and derecognition
The Group recognises a financial asset or a financial liability when it becomes a party to the contractual
provisions of a financial instrument.
A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial
assets) is primarily derecognised (i.e., removed from the Group’s consolidated balance sheet) when:
1) the rights to receive cash flows from the financial asset have expired; or
2) the Group has transferred its rights to receive cash flows from the financial asset, or has assumed
an obligation to pay the received cash flows in full without material delay to a third party under a “pass-
through” arrangement; and either (i) has transferred substantially all the risks and rewards of the financial
asset, or (ii) has neither transferred nor retained substantially all the risks and rewards of the asset, but has
transferred control of the financial asset.
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A financial liability is derecognised when the obligation under the liability is discharged or cancelled,
or expires. When an existing financial liability is replaced by another from the same lender on substantially
different terms, or the terms of an existing liability are substantially modified, such an exchange or
modification is treated as a derecognition of the original liability and a recognition of a new liability, and the
difference between the respective carrying amounts is recognised in profit or loss.
Regular way purchases and sales of financial assets are recognised and derecognised using trade
date accounting. Regular way purchases or sales are purchases or sales of financial assets that require
delivery within the period generally established by regulation or convention in the marketplace. The trade
date is the date that the Group committed to purchase or sell a financial asset.
(2) Classification and measurement of financial assets
The classification of financial assets at initial recognition depends on the financial asset’s contractual
cash flow characteristics and the Group’s business model for managing them: financial assets at fair value
through profit or loss, financial assets at amortised cost and financial assets at fair value through other
comprehensive income. Financial assets are measured at fair value on initial recognition, but accounts
receivable or notes receivable arising from the sale of goods or rendering of services that do not contain
significant financing components or for which the Group has applied the practical expedient of not adjusting
the effect of a significant financing component due within one year, are initially measured at the transaction
price.
For financial assets at fair value through profit or loss, relevant transaction costs are directly recognised
in profit or loss, and transaction costs relating to other financial assets are included in the initial recognition
amounts.
The subsequent measurement of financial assets depends on their classification as follows:
1) Debt investments measured at amortised cost
The Group measures financial assets at amortised cost if both of the following conditions are met: the
financial asset is held within a business model with the objective to hold financial assets in order to collect
contractual cash flows; the contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount outstanding. Financial assets
at amortised cost are subsequently measured using the effective interest method and are subject to
impairment. Gains and losses are recognised in profit or loss when the asset is derecognised, modified
or impaired. Such financial assets mainly include currency funds, notes receivable, accounts receivable
and other receivables.
2) Debt investments at fair value through other comprehensive income
The Group measures debt investments at fair value through other comprehensive income if both of
the following conditions are met: the financial asset is held within a business model with the objective of
both holding to collect contractual cash flows and selling; the contractual terms of the financial asset give
rise on specified dates to cash flows that are solely payments of principal and interest on the principal
amount outstanding. Interest income is recognised using the effective interest method. The interest
income, impairment losses and foreign exchange revaluation are recognised in profit or loss. The
remaining fair value changes are recognised in other comprehensive income. Upon derecognition, the
cumulative fair value change recognised in other comprehensive income is recycled to profit or loss. Such
financial assets are reported as other creditor's rights investments, other creditor's rights investments that
mature within one year as of the balance sheet date are reported as non-current assets that mature within
one year, and other creditor's rights investments whose original maturity is within one year are reported as
other current assets.
3) Financial assets at fair value through profit or loss
The financial assets other than the above financial assets measured at amortised cost and financial
assets at fair value through other comprehensive income are classified as financial assets at fair value
through profit or loss. Such financial assets are subsequently measured at fair value with net changes in
fair value recognised in profit or loss. Such financial assets are presented as held-for-trading financial
assets, and those with maturity more than one year from the balance sheet date and expected to be held
for more than one year are presented as other non-current financial assets.
(3) Classification and measurement of financial liabilities
The financial liabilities of the Company are classified as: other financial liabilities related transaction
costs are included in the initial recognition amount.
The subsequent measurement of financial liabilities depends on their classification:
Other financial liabilities: The effective interest method is applied for this category of financial liabilities
and the subsequent measurement is conducted according to the amortized cost.
(4) Impairment of financial instruments
Based on the expected credit losses (“ECLs”), the Group recognises an allowance for ECLs for the
financial assets measured at amortised cost, debt investments at fair value through other comprehensive
income.
For accounts receivable and contract assets that do not contain a significant financing component, the
Group applies the simplified approach to recognise a loss allowance based on lifetime ECLs.
Except for financial assets which apply the simplified approach as mentioned above, other financial
assets, [loan commitments] and [financial guarantee contracts], the Group assesses whether the credit risk
has increased significantly since initial recognition at each balance sheet date. If the credit risk has not
increased significantly since initial recognition (stage 1), the loss allowance is measured at an amount equal
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to 12-month ECLs by the Group and the interest income is calculated according to the carrying amount and
the effective interest rate; if the credit risk has increased significantly since initial recognition but are not
credit-impaired (stage 2), the loss allowance is measured at an amount equal to lifetime ECLs by the Group
and the interest income is calculated according to the carrying amount and the effective interest rate; if
such financial assets are credit-impaired after initial recognition (stage 3), the loss allowance is measured
at an amount equal to lifetime ECLs by the Group and the interest income is calculated according to the
amortised cost and the effective interest rate. For financial instruments with lower credit risk on the balance
sheet date, the Company assumes that its credit risk has not increased significantly since the initial
recognition.
The Group assesses the expected credit losses of financial instruments based on individual items and
portfolios. The Group has considered the credit risk characteristics of different customers and assessed
the expected credit losses of receivables based on the age combination.
The Group considers reasonable and supportable information about past events, current conditions
and forecasts of future economic conditions when assessing expected credit losses.
For the Group's judgment criteria for significant increase in credit risk, the definition of credit-impaired
assets, and the assumption for the measurement of expected credit losses, please refer to “Section 10 X.
Risks Related to Financial Instruments”.
When the Group no longer reasonably expects to collect all or part of the contractual cash flows of the
financial asset, the Group directly writes down the carrying amount of the financial asset.
(5) Offsetting of financial instruments
Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet
if there is a currently enforceable legal right to offset the recognised amounts; and there is an intention to
settle on a net basis, or to realise the assets and settle the liabilities simultaneously.
(6) Financial guarantee contract
Financial guarantee contracts are those contracts that require a payment to be made by the issuer to
reimburse the holder for a loss it incurs because the specified debtor fails to make a payment when due in
accordance with the terms of a debt instrument. Financial guarantee contracts are measured, on initial
recognition, at fair value. For financial guarantee contracts that are not designated as financial liabilities
at fair value through profit or loss, they are, after initial recognition, subsequently measured at the higher
of: (i) the amount of provisions for ECLs at the balance sheet date, and (ii) the amount initially recognised
less the cumulative amortisation recognised in accordance with the guidance for revenue recognition.
(7) Transfer of Financial Assets
A financial asset is derecognised when the Group has transferred substantially all the risks and
rewards of the asset to the transferee. A financial asset is not derecognised when the Group retains
substantially all the risks and rewards of the financial asset.
When the Group has neither transferred nor retained substantially all the risks and rewards of the
financial asset, it either (i) derecognises the financial asset and recognises the assets and liabilities created
in the transfer when it has not retained control of the asset; or (ii) continues to recognise the transferred
asset to the extent of the Group's continuing involvement, in which case, the Group also recognises an
associated liability.
Continuing involvement that takes the form of a guarantee over the transferred financial asset is
measured at the lower of the original carrying amount of the financial asset and the guarantee amount.
The guarantee amount is the maximum amount of consideration that the Group could be required to repay.
11. Notes receivable
Method for determination and accounting treatment of the expected credit loss of other receivables
"□ Applicable " "√ Not applicable"
12. Accounts receivable
Method for determination and accounting treatment of the expected credit loss of other receivables
"√ Applicable" "□ Not applicable"
For details, please refer to “10. Financial Instruments" and "V. 43. Other Important Accounting Policies
and Accounting Estimates" of "V. Significant Accounting Policies and Accounting Estimates" in "Section X.
Financial Report".
13.Receivables financing
"√ Applicable" "□ Not applicable"
For details, please refer to “10. Financial Instruments" and "V. 43. Other Important Accounting Policies
and Accounting Estimates" of "V. Significant Accounting Policies and Accounting Estimates" in "Section X.
Financial Report".
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14. Other receivables
Method for determination and accounting treatment of the expected credit loss of other receivables
"√ Applicable" "□ Not applicable"
For details, please refer to “10. Financial Instruments" and "V. 43. Other Important Accounting Policies
and Accounting Estimates" of "V. Significant Accounting Policies and Accounting Estimates" in "Section X.
Financial Report".
15. Inventories
"√ Applicable" "□ Not applicable"
The Company’s inventories consist of raw materials, work-in-process and finished goods.
Inventories are initially carried at cost. Cost of inventories comprises all costs of purchase, costs of
conversion and other costs. For inventories delivered, the actual costs are determined on the weighted
average basis. Turnover materials include low value consumables and packing materials, which are on the
immediate write-off basis.
The Company adopts the perpetual inventory system.
At the balance sheet date, inventories are stated at the lower of cost and net realisable value. The
inventories are written down below cost to net realisable value and the write-down is recognised in profit or
loss if the cost is higher than the net realisable value. When the circumstances that previously caused
the inventories to be written down below cost no longer exist, in which case the net realisable value of
inventories becomes higher than the carrying amount, the amount of the write-down is reversed. The
reversal is limited to the amount of the original write-down, and is recognised in profit or loss.
Net realisable value is the estimated selling price in the ordinary course of business less the estimated
costs of completion and the estimated costs necessary to make the sale and relevant taxes. Raw materials
and finished goods are written down item by item.
16. Contract assets
(1). Recognition method and impairment test method of contract assets
"□ Applicable" "√ Not applicable"
(2) Methods for determination and accounting treatment of the expected credit loss of contract
assets
"□ Applicable" "√ Not applicable"
17. Held-for-sale assets
"□ Applicable" "√ Not applicable"
18. Debt investment
(1). Methods for determination and accounting treatment of the expected credit loss of debt
investment
"□ Applicable" "√ Not applicable"
19. Other debt investment
(1). Methods for determination and accounting treatment of the expected credit loss of other debt
investment
"□ Applicable" "√ Not applicable"
20. Long-term receivables
(1). Method for determination and accounting treatment of the expected credit loss of long-term
receivables
"□ Applicable" "√ Not applicable"
21. Long-term equity investments
"√ Applicable" "□ Not applicable"
Long-term equity investments include equity investments in subsidiaries, joint ventures and associates.
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A long-term equity investment is initially measured at its initial investment cost on acquisition. The
initial cost of a long-term equity investment acquired through a business combination involving enterprises
under common control is the Company’s share of the carrying amount of the subsidiary’s equity in the
consolidated financial statements of the ultimate controlling party at the combination date. The difference
between the initial investment cost and the carrying amounts of the consideration given is adjusted to the
capital premium in the capital reserve, with any excess adjusted to retained earnings. For OCI before the
combination date, when disposing of the investment, the same basis as the investee's direct disposal of
relevant assets or liabilities shall be adopted. Shareholders' equity recognized due to changes in
shareholders' equity other than net profit or loss, OCI and profit distribution of the investee shall be
transferred to the profit or loss upon the disposal of the investment. Those that are still long-term equity
investments after disposal are carried forward on a pro-rata basis, and those that are converted into
financial instruments after disposal are carried forward in full.
For a long-term equity investment obtained through a business combination not involving enterprises
under common control, the initial cost comprises the aggregate of the fair value of assets transferred,
liabilities incurred or assumed, and equity securities issued by the Company, in exchange for control of the
acquiree. For a long-term equity investment obtained through a business combination not involving
enterprises under common control and achieved in stages, the initial cost comprises the carrying value of
the previously-held equity investment in the acquiree immediately before the acquisition date, and the
additional investment cost at the acquisition date. OCI held before the acquisition date and recognized by
the use of the equity method shall be accounted for when the investment is disposed of on the same basis
as the investee directly disposes of the relevant assets or liabilities. Shareholders' equity recognized as a
result of changes in shareholders' equity other than net profit or loss, OCI and profit distribution of the
investee is transferred to profit or loss upon the disposal of the investment. Those that remain long-term
equity investments after disposal are carried forward on a pro-rata basis, while those that are converted
into financial instruments after disposal are carried forward in full. For long-term equity investments
obtained by means other than business combination, the initial investment cost is determined according to
the following method: for those obtained by paying cash, the actual purchase price paid and the expenses,
taxes and other necessary costs directly related to the acquisition of long-term equity investments shall be
used. Expenses are taken as the initial investment cost. For those obtained by issuing equity securities,
the fair value of the issued equity securities is taken as the initial investment cost.
For a long-term equity investment where the Company can exercise control over the investee, the
long-term investment is accounted for using the cost method in the Company’s individual financial
statements. Control is achieved when the Group is exposed, or has rights, to variable returns from its
involvement with the investee and has the ability to affect those returns through its power over the investee.
Under the cost method, the long-term equity investment is measured at its initial investment cost.
When additional investment is made or the investment is recouped, the cost of long-term equity investment
is adjusted accordingly. Cash dividends or profit distributions declared by the investee are recognised as
investment income in profit or loss.
The equity method is adopted when the Group has joint control, or exercises significant influence over
the investee. Joint control is the contractually agreed sharing of control of an arrangement, which exists
only when decisions about the relevant activities require the unanimous consent of the parties sharing
control. Significant influence is the power to participate in the financial and operating policy decisions of the
investee, but is not control or joint control with other parties over those policies.
Under the equity method, where the initial investment cost of a long-term equity investment exceeds
the Group’s interest in the fair value of the investee’s identifiable net assets at the acquisition date, no
adjustment is made to the initial investment cost. Where the initial investment cost is less than the Group’s
interest in the fair values of the investee’s identifiable net assets at the acquisition date, the difference is
charged to profit or loss, and the cost of the long-term equity investment is adjusted accordingly.
Under the equity method, after it has acquired a long-term equity investment, the Group recognises its
share of the investee’s profit or loss, as well as its share of the investee’s other comprehensive income, as
investment income or loss and other comprehensive income, and adjusts the carrying amount of the
investment accordingly. The Group recognises its share of the investee’s profit or loss after making
appropriate adjustments to the investee’s profit or loss based on the fair value of the investee’s identifiable
assets at the acquisition date, using the Group’s accounting policies and periods. Unrealised profits and
losses from transactions with its joint ventures and associates are eliminated to the extent of the Group’s
investments in the associates or joint ventures (except for assets that constitute a business) (However, any
loss arising from such transactions which are attributable to an impairment loss shall be recognised at its
entirety). For any long-term equity investment differences (debit side) arising from investments in joint
ventures and associates held before the first-time adoption of ASBEs, the investment income or loss is
recognised after deducting the debit balance to be amortised over the remaining period on a straight-line
basis. The carrying amount of the investment is reduced based on the Group’s share of any profit
distributions or cash dividends declared by the investee. The Group’s share of losses of the investee is
recognised to the extent that the carrying amount of the investment together with any long-term interests
that in substance form part of its net investment in the investee is reduced to zero, except that the Group
has the obligations to assume further losses. The Group’s share of the investee’s equity changes, other
than those arising from the investee’s profit or loss, other comprehensive income or profit distribution, is
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recognised in the Group’s equity, and the carrying amount of the long-term equity investment is adjusted
accordingly.
Upon disposal of a long-term equity investment, the difference between the proceeds actually received
and the carrying amount is recognised in profit or loss. For a long-term equity investment accounted for
using the equity method, when the Group discontinues using the equity method due to disposal, all amounts
previously recognised in other comprehensive income are accounted for on the same basis as would have
been required if the investee had directly disposed of the related assets or liabilities. Equity previously
recognised resulting from the investee’s equity changes other than profit or loss, other comprehensive
income and profit distribution is reclassified to profit or loss in its entirety.
When the Group continues to use the equity method, the amounts previously recognised in other
comprehensive income are accounted for on the same basis as would have been required if the investee
had directly disposed of the related assets or liabilities and reclassified to profit or loss on a pro-rata basis.
Equity previously recognised resulting from the investee’s equity changes other than profit or loss, other
comprehensive income and profit distribution is reclassified to profit or loss on a pro-rata basis.
22. Investment properties
(1) If the cost measurement model is used,
Depreciation or amortization method
Investment properties are properties held to earn rental income and/or for capital appreciation.
Investment properties include land use rights leased out, land use rights held for transfer upon capital
appreciation, and buildings leased out.
An investment property is measured initially at cost. If the economic benefits relating to an investment
property will probably flow in and the cost can be reliably measured, subsequent costs incurred for the
property are included in the cost of the investment property. Otherwise, subsequent costs are recognised
in profit or loss as incurred.
The Group uses the cost model for the subsequent measurement of its investment properties. For the
depreciation method of houses and buildings in investment real estate, please refer to the relevant content
of “Section 10 V. 23 Fixed Assets”, and for the amortization method of land use rights in investment real
estate, please refer to “Section 10 V. 29 Intangible Assets".
23. Fixed asset
(1) Recognition of fixed assets
"√ Applicable" "□ Not applicable"
A fixed asset is recognised only when the economic benefits associated with the asset will probably
flow into the Group and the cost of the asset can be measured reliably. Subsequent expenditures incurred
for a fixed asset that meets the recognition criteria shall be included in the cost of the fixed asset, and the
carrying amount of the component of the fixed asset that is replaced shall be derecognised. Otherwise,
such expenditures are recognised in profit or loss as incurred.
The fixed assets are initially measured at the cost. The cost of a purchased fixed asset comprises the
purchase price, relevant taxes and any directly attributable expenditure for bringing the asset to working
condition for its intended use.
(2) Depreciation methods
"√ Applicable" "□ Not applicable"
Depreciation Annual
Categories Useful life (year) Residual rate
method depreciation rate
Straight-line
Buildings 20 5% 4.75%
method
Machinery and Straight-line
10 5% 9.50%
equipment method
Straight-line
Office equipment 5 5% 19.00%
method
Straight-line
Vehicles 4 5% 23.75%
method
Electronic Straight-line
3 5% 31.67%
equipment method
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Straight-line
Production tools 3 5% 31.67%
method
The Group reviews the useful life and estimated net residual value of a fixed asset and the depreciation
method applied at least at each year end, and make adjustments if necessary.
(3) Basis for recognizing the fixed assets under financing lease, pricing and depreciation methods
"□ Applicable" "√ Not applicable"
24. Construction in progress
"√ Applicable" "□ Not applicable"
The cost of construction in progress is determined according to the actual expenditures incurred for
the construction, including all necessary construction expenditures incurred during the construction period
and other relevant expenditures. An item of construction in progress is transferred to fixed assets, when
the asset is ready for its intended use.
25. Borrowing costs
"□ Applicable" "√ Not applicable"
26. Biological assets
"□ Applicable" "√ Not applicable"
27. Oil and gas assets
"□ Applicable" "√ Not applicable"
28. Right-of-use assets
"√ Applicable" "□ Not applicable"
The Group’s right-of-use assets include plant and buildings.
At the commencement date, the Group recognises the right of using leased assets within the lease
term as right-of-use assets, the amount of which includes: (1) the amount of the initial measurement of the
lease liability; (2) any lease payments made at or before the commencement date, less any lease incentives
received (if applicable); (3) any initial direct costs incurred; (4) an estimate of costs to be incurred by the
lessee in dismantling and removing the underlying asset, restoring the site on which it is located or restoring
the underlying asset to the condition required by the terms and conditions of the lease. The Group
depreciates right-of-use assets using the straight-line method. If the lease transfers ownership of the
underlying assets to the lessee by the end of the lease term or if the cost of the right-of-use asset reflects
that the lessee will exercise a purchase option, the lessee shall depreciate the right-of-use asset from the
commencement date to the end of the useful life of the underlying asset. Otherwise, the lessee shall
depreciate the right-of-use asset from the commencement date to the earlier of the end of the useful life of
the right-of-use asset and the end of the lease term.
The Group remeasures the lease liability at the present value of the changed lease payments and
adjusts the carrying amount of the right-of-use assets accordingly, when the carrying amount of the right-
of-use asset is reduced to zero, and there is a further reduction in the measurement of the lease liability,
the Group recognises the remaining amount of the remeasurement in profit or loss.
29. Intangible assets
(1). Pricing Method, Service Life and Impairment Test
"√ Applicable" "□ Not applicable"
An intangible asset shall be recognised only when it is probable that the economic benefits associated
with the asset will flow to the Group and the cost of the asset can be measured reliably. Intangible assets
are measured initially at cost. However, intangible assets acquired in a business combination not
involving entities under common control with a fair value that can be measured reliably are recognised
separately as intangible assets and initially measured at the fair value at the date of acquisition.
The useful life of an intangible asset is determined according to the period over which it is expected to
generate economic benefits for the Group. An intangible asset is regarded as having an indefinite useful
life when there is no foreseeable limit to the period over which the asset is expected to generate economic
benefits for the Group.
Land use rights that are purchased by the Group are accounted for as intangible assets. An intangible
asset with a finite useful life is amortised using the straight-line method over its useful life. For an intangible
asset with a finite useful life, the Group reviews the useful life and amortisation method at least at each
year end and makes adjustment if necessary.
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The useful life of each intangible asset is as follows:
Items Useful Life
Land use rights 50 years
Software 5-10 years
Trademarks 5-10 years
(2). Accounting policy for internal research and development expenditure
"□ Applicable" "√ Not applicable"
30. Impairment of long term assets
"√ Applicable" "□ Not applicable"
The Group determines the impairment of assets other than impairment of inventories, contract assets
and assets related to contract costs, deferred income tax and financial assets, using the following methods:
The Group assesses at the balance sheet date whether there is any indication that an asset may be
impaired. If any indication exists that an asset may be impaired, the Group estimates the recoverable
amount of the asset and performs impairment testing. Goodwill arising from a business combination and
an intangible asset with an indefinite useful life are tested for impairment at least at each year end,
irrespective of whether there is any indication that the asset may be impaired. Intangible assets that have
not been ready for their intended use are tested for impairment each year.
The recoverable amount of an asset is the higher of its fair value less costs to sell and the present
value of the future cash flows expected to be derived from the asset. The Group estimates the recoverable
amount on an individual basis unless it is not possible to estimate the recoverable amount of the individual
asset, in which case the recoverable amount is determined for the asset group to which the asset belongs.
Identification of an asset group is based on whether major cash inflows generated by the asset group are
largely independent of the cash inflows from other assets or asset groups.
When the recoverable amount of an asset or asset group is less than its carrying amount, the carrying
amount is reduced to the recoverable amount by the Group. The reduction in the carrying amount is
treated as an impairment loss and recognised in profit or loss. A provision for impairment loss of the asset
is recognised accordingly.
For the purpose of impairment testing, the carrying amount of goodwill acquired in a business
combination is allocated from the acquisition date on a reasonable basis, to each of the related asset
groups unless it is impossible to allocate to the related asset groups, in which case it is allocated to each
of the related sets of asset groups. Each of the related asset groups or sets of asset groups is an asset
group or a set of asset groups that is expected to benefit from the synergies of the business combination
and shall not be larger than a reportable segment determined by the Group.
When testing an asset group (a set of asset groups) to which goodwill has been allocated for
impairment, if there is any indication of impairment, the Group firstly tests the asset group (set of asset
groups), excluding the amount of goodwill allocated, for impairment, i.e., the Group determines and
compares the recoverable amount with the related carrying amount and recognises any impairment loss.
After that, the Group tests the asset group (set of asset groups), including goodwill, for impairment, the
carrying amount of the related asset group (set of asset groups) is compared to its recoverable amount.
If the carrying amount of the asset group (set of asset groups) is higher than its recoverable amount, the
amount of the impairment loss is firstly used to reduce the carrying amount of the goodwill allocated to the
asset group (set of asset groups), and then used to reduce the carrying amount of other assets (other than
the goodwill) within the asset group (set of asset groups), on a pro-rata basis of the carrying amount of
each asset.
Once the above impairment loss is recognised, it cannot be reversed in subsequent accounting periods.
31. Long term prepaid expenses
"√ Applicable" "□ Not applicable"
Long-term expenses to be apportioned are amortized using the straight-line method, and the amortization
period is as follows:
Items Amortization term
Building decoration 36 months
Leasehold Improvement 36 months
Others 24 to 60 months
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32. Contract liabilities
(1). Recognition of contract liabilities
"√ Applicable" "□ Not applicable"
The Company presents contract liabilities in the balance sheet based on the relationship between the
performance of the contract obligations and the payment by the customer.
A contractual liability is an obligation to transfer goods or service to a customer for consideration
received or receivable from the customer, such as money that a business has received before transferring
the promised goods or service.
33. Employee benefits
(1). Accounting treatment of short term salaries
"√ Applicable" "□ Not applicable"
Employee benefits refer to all forms of consideration or compensation [other than share-based
payments] given by the Group in exchange for services rendered by employees or for termination of
employment. Employee benefits include short-term employee benefits, post-employment benefits,
termination benefits and other long-term employee benefits. Benefits given by the Group to an employee’s
spouse, children and dependents, family members of deceased employees and other beneficiaries are also
employee benefits.
The Company recognizes the actual short-term remuneration as a liability during the accounting period
when employees provide services to the Group, and stated in the profit or loss or the cost of related assets.
(2). Accounting treatment of post-employment benefits
"√ Applicable" "□ Not applicable"
The employees of the Group participate in a pension scheme and unemployment insurance managed
by the local government, the corresponding expenses shall be included in the cost of related assets or
profit or loss..
(3). Dismission benefits
"□ Applicable" "√ Not applicable"
(4). Other long term employees' benefits
"□ Applicable" "√ Not applicable"
34. Lease liabilities
"√ Applicable" "□ Not applicable"
At the commencement date of the lease, the Group measures the lease liability at the present value
of the lease payments that are not paid at that date, except for short-term leases and leases of low-value
assets. In calculating the present value of the lease payments, the Group uses the interest rate implicit in
the lease as the discount rate. If that rate cannot be readily determined, the Group uses the lessee’s
incremental borrowing rate. The Group calculates the interest expenses of the lease liability in each period
during the lease term using the constant periodic rate of interest, and recognises such interest expenses
in profit or loss, except those in the costs of the related asset as required. Variable lease payments that
are not included in the measurement of the lease liabilities are recognised in profit or loss as incurred,
except those in the costs of the related asset as required.
A lessee shall remeasure the lease liability by discounting the revised lease payments, if (a) there is a
change in the actual fixed lease payments; (b) there is a change in the amounts expected to be payable
under a residual value guarantee; (c) there is a change in future lease payments resulting from a change
in an index or a rate used to determine those payments; (d) there is a change in the assessment of an
option to purchase the underlying asset, to renew the lease or a change in the actual exercise of the option.
35. Provisions
"√ Applicable" "□ Not applicable"
An obligation related to a contingency shall be recognised by the Group as a provision when all of the
following conditions are satisfied, except for contingent considerations and contingent liabilities assumed
in a business combination not involving entities under common control:
(1) the obligation is a present obligation of the Group;
(2) it is probable that an outflow of economic benefits from the Group will be required to settle the
obligation; and
(3) a reliable estimate can be made of the amount of the obligation.
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A provision is initially measured at the best estimate of the expenditure required to settle the related
present obligation, taking into account factors pertaining to a contingency such as the risks, uncertainties
and time value of money as a whole. Provisions are reviewed at each balance sheet date. Where there
is clear evidence that the carrying amount of a provision does not reflect the current best estimate, the
carrying amount is adjusted to the current best estimate.
36. Share-based payment
"√ Applicable" "□ Not applicable"
A share-based payment is classified as either an equity-settled share-based payment or a cash-settled
share-based payment. An equity-settled share-based payment is a transaction in which the Group
receives services and uses shares or other equity instruments as consideration for settlement.
An equity-settled share-based payment in exchange for services received from employees is
measured at the fair value of the equity instruments granted to the employees. If such equity-settled
share-based payment could vest immediately, related costs or expenses at an amount equal to the fair
value on the grant date are recognised, with a corresponding increase in capital reserves; if such equity-
settled share-based payment could not vest until the completion of services for a vesting period, or until
the achievement of a specified performance condition, the Group at each balance sheet date during the
vesting period recognises the services received for the current period as related costs and expenses, with
a corresponding increase in capital reserves, at an amount equal to the fair value of the equity instruments
at the grant date, based on the best estimate of the number of equity instruments expected to vest. The
fair value is determined using the market price.
For awards that do not ultimately vest because non-market performance and/or service conditions
have not been met, no expense is recognised. Where awards include a market or non-vesting condition,
the transactions are treated as vesting irrespective of whether the market or non-vesting condition is
satisfied, provided that all other performance and/or service conditions are satisfied.
Where the terms of an equity-settled share-based award are modified, as a minimum an expense is
recognised as if the terms had not been modified. In addition, an expense is recognised for any
modification that increases the total fair value of the share-based payments, or is otherwise beneficial to
the employee as measured at the date of modification.
Where an equity-settled share-based award is cancelled, it is treated as if it had vested on the date of
cancellation, and any expense not yet recognised for the award is recognised immediately. This includes
any award where non-vesting conditions within the control of either the Group or the employee are not met.
However, if a new award is substituted for the cancelled award, and is designated as a replacement on the
date that it is granted, the cancelled and new awards are treated as if they were a modification of the
original award.
37. Other financial instruments, such as preferred shares, perpetual bonds, etc.
"□ Applicable" "√ Not applicable"
38. Revenue
(1). Accounting policies used in revenue recognition and measurement
"√ Applicable" "□ Not applicable"
Revenue from contracts with customers is recognised when the Group has fulfilled its performance
obligations in the contracts, that is, when the customer obtains control of relevant goods or services.
Control of relevant goods or services refers to the ability to direct the use of the goods, or the provision of
the services, and obtain substantially all of the remaining benefits from the goods or services.
1) Contracts for the sale of goods
A contract for the sale of goods between the Group and the customer usually only includes the
performance obligation to transfer the xx goods. The revenue is recognised at xx point in time based on
the following indicators, which include: a present right to payment for goods, the transfer of significant risks
and rewards of ownership of goods, the transfer of legal title to goods, the transfer of physical possession
of goods, the customer's acceptance of goods.
2）Contracts for the rendering of services
A contract for the rendering of services between the Company and the customer usually includes the
performance obligation of after-sales service guarantee. Because the customer simultaneously receives
and consumes the benefits provided by the Group's performance as the Group performs, the revenue is
recognised over time only if the Group can reasonably measure its progress towards the complete
satisfaction of the performance obligation. The Company uses the straight-line method and determines the
progress of the services rendered on the basis of the time elapsed. If the progress towards the complete
satisfaction of the performance obligation cannot be reasonably measured, but the Group expects to
recover the costs incurred in satisfying the performance obligation, the revenue is recognised only to the
extent of the costs incurred until such time that the Group can reasonably measure the progress towards
the complete satisfaction of the performance obligation.
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3) Variable consideration
Some of the Group's contracts with customers including arrangements of sales rebates result in
variable consideration. The Group determines the best estimate of variable consideration by using the
expected value method or the most likely amount method. However, the transaction price including
variable consideration is only to the extent that it is highly probable that a significant reversal in the amount
of cumulative revenue recognised will not occur when the uncertainty associated with the variable
consideration is subsequently resolved.
4）Consideration payable to a customer
The Group accounts for the consideration payable to a customer as a reduction of the transaction price,
and recognises the reduction of revenue when (or as) the later of the recognition of relevant revenue and
the payment (or promised payment) of the consideration to a customer, unless the payment to the customer
is in exchange for a distinct good or service that the customer transfers to the Group.
5）Warranties
The Group provides a warranty in connection with the sale of a good in accordance with the contract
and the relevant laws and regulations, etc. For an assurance-type warranty that provides the customer the
assurance that the good complies with agreed-upon specifications. When assessing whether a service-
type warranty provides a customer with a separate service in addition to the assurance that the good
complies with agreed-upon specifications, the Group considers whether the warranty is required by law,
the length of the warranty coverage period and the nature of the tasks that the Group promises to perform,
etc.
(2) Differences in accounting policies for revenue recognition caused by the adoption of different
business models for similar businesses
"□ Applicable" "√ Not applicable"
39. Contract cost assets
"√ Applicable" "□ Not applicable"
The Group’s contract cost assets include the costs to obtain and fulfill a contract and are classified as
inventories, other current assets and other non-current assets by liquidity.
The Group recognises as an asset the incremental costs of obtaining a contract with a customer if the
Group expects to recover those costs, unless the amortisation period of the asset is one year or less.
Other than the costs which are capitalised as inventories, fixed assets and intangible assets, etc., costs
incurred to fulfill a contract with a customer are capitalised as an asset if all of the following criteria are met:
(1) the costs relate directly to a contract or to an anticipated contract, including direct labour, direct
materials, overheads (or similar expenses), costs that are explicitly chargeable to the customer and other
costs that are incurred only because an entity entered into the contract;
(2) the costs generate or enhance resources of the Group that will be used in satisfying performance
obligations in the future; and
(3) the costs are expected to be recovered.
The contract cost asset is amortised and charged to profit or loss on a systematic basis that is
consistent with the pattern of the revenue to which the asset related is recognised.
The Group accrues provisions for impairment and recognises impairment losses to the extent that the
carrying amount of a contract cost asset exceeds:
(1) the remaining amount of consideration that the entity expects to receive in exchange for the goods
or services to which the asset relates; less
(2) the costs that are expected to be incurred to transfer those related goods or services.
The Group recognises in profit or loss a reversal of the impairment loss previously recognised to the
extent that the difference between (1) and (2) exceeds the carrying amount of the asset due to the
subsequent changes of the factors causing asset impairment in previous periods, but the carrying amount
after the reversal does not exceed the carrying amount of the asset at the reversal date if no impairment
loss is otherwise recognised.
40. Government grants
"√ Applicable" "□ Not applicable"
Government grants are recognised when all attaching conditions will be complied with and the grants
will be received. If a government grant is in the form of a transfer of a monetary asset, it is measured at
the amount received or receivable.
Asset-related government grants are recognised when the government document designates that the
government grants are used for constructing or forming long-term assets. If the government document is
inexplicit, the Company should make a judgement based on the basic conditions to obtain the government
grants, and recognises them as asset-related government grants if the conditions are to form long-term
assets through construction or other method. Otherwise, the government grants should be income-related.
The Company's government grants are subject to the gross method.
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2021 Annual Report
A government subsidy related to income, which is used to compensate the related costs or losses in
the future period, is recognized as deferred income, and is recorded into the profit or loss or to offset the
relevant costs during the period when the related costs and expenses or losses are recognized; costs or
losses incurred in compensation is directly recorded into the profit or loss or offset the relevant costs.
A government grant relating to an asset shall be offset against the carrying amounts of relevant assets,
or recognised as deferred income and amortised in profit or loss over the useful life of the related asset by
annual installments in a systematic and rational way (however, a government grant measured at a nominal
amount is recognised directly in profit or loss). Where the assets are sold, transferred, retired or damaged
before the end of their useful lives, the rest of the remaining deferred income is released to profit or loss
for the period in which the relevant assets are disposed of.
41. Deferred income tax asset/deferred income tax liability
"√ Applicable" "□ Not applicable"
Based on the differences between the carrying amount of an asset or liability in the statement of
financial position and its tax base, and the differences between the carrying amounts of some items that
have a tax base but are not recognised as assets and liabilities and their tax base, the Group adopts the
liability method for the provision of deferred tax.
Deferred tax liabilities are recognised for all taxable temporary differences, except:
(1) when the taxable temporary difference arises from the initial recognition of goodwill, or an asset or
liability in a transaction that is not a business combination and, at the time of transaction, affects neither
accounting profit nor taxable profit or loss; and
(2) in respect of taxable temporary differences associated with investments in subsidiaries, associates
and joint ventures, when the timing of the reversal of the temporary differences can be controlled and it is
probable that the temporary differences will not be reversed in the foreseeable future.
Deferred tax assets are recognised for all deductible temporary differences, and the carryforward of
unused tax losses and any unused tax credits. Deferred tax assets are recognised to the extent that it is
probable that taxable profit will be available against which the deductible temporary differences, the
carryforward of unused tax losses and unused tax credits can be utilised, except:
(1) when the deductible temporary difference arises from the initial recognition of an asset or liability
in a transaction that is not a business combination and, at the time of the transaction, affects neither the
accounting profit nor taxable profit or loss; and
(2) in respect of the deductible temporary differences associated with investments in subsidiaries,
associates and joint ventures, deferred tax assets are only recognised to the extent that it is probable that
the temporary differences will be reversed in the foreseeable future and taxable profit will be available
against which the temporary differences can be utilised in the future.
At the balance sheet date, deferred tax assets and liabilities are measured at the tax rates that are
expected to apply to the period when the asset is realised or the liability is settled, in accordance with the
requirements of tax laws. The measurement of deferred tax assets and deferred tax liabilities reflects the
tax consequences that would follow from the manner in which the Group expects, at the balance sheet
date, to recover the assets or settle the liabilities.
The carrying amount of deferred tax assets is reviewed at the balance sheet date and reduced to the
extent that it is no longer probable that sufficient taxable profit will be available in future periods to allow
the deferred tax assets to be utilised. Unrecognised deferred tax assets are reassessed at the balance
sheet date and are recognised to the extent that it has become probable that sufficient taxable profit will be
available to allow all or part of the deferred tax asset to be recovered.
Deferred tax assets and deferred tax liabilities are offset if and only if the Group has a legally
enforceable right to set off current tax assets and current tax liabilities, and the deferred tax assets and
deferred tax liabilities relate to income taxes levied by the same taxation authority on either the same
taxable entity or different taxable entities which intend either to settle current tax liabilities and assets on a
net basis, or to realise the assets and settle the liabilities simultaneously, in each future period in which
significant amounts of deferred tax liabilities or assets are expected to be settled or recovered.
42. Leases
(1) Accounting process for operating lease
"□ Applicable" "√ Not applicable"
(2) Accounting treatment method for finance lease
"□ Applicable" "√ Not applicable"
(3) Determination method and accounting treatment method for lease under the new lease standard
"√ Applicable" "□ Not applicable"
Applicable Commencing from January 1, 2021
1) Identification of leases
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2021 Annual Report
At inception of a contract, the Group assesses whether the contract is, or contains, a lease. A contract
is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period
of time in exchange for consideration. To assess whether a contract conveys the right to control the use
of an identified asset for a period of time, the Group assesses whether, throughout the period of use, the
customer has both of the right to obtain substantially all of the economic benefits from use of the identified
asset and the right to direct the use of the identified asset.
2) Identification of separate lease components
For a contract that contains multiple separate lease components, the Group separates the components
of the contract and accounts for each separate lease component. The right to use an underlying asset is
a separate lease component if both:
① the lessee can benefit from use of the underlying asset either on its own or together with other
resources that are readily available to the lessee; and
② the underlying asset is neither highly dependent on, nor highly interrelated with, the other
underlying assets in the contract.
3) Separating lease components and non-lease components
For a contract that contains lease components and non-lease components, the Group accounts for
lease components and non-lease components separately as a lessor or a lessee.
4) Assessment of the lease term
The lease term is the non-cancellable period of a lease for which the Group has the right to use an
underlying asset. If the Group has an option to extend the lease, that is, the Group has the right to extend
the lease, and is reasonably certain to exercise that option, the lease term also includes periods covered
by an option to extend the lease. If the Group has an option to terminate the lease, that is, the Group has
the right to terminate the lease, but is reasonably certain not to exercise that option, the lease term includes
periods covered by an option to terminate the lease. The Group reassesses whether it is reasonably
certain to exercise an extension option, purchase option, or not to exercise a termination option, upon the
occurrence of either a significant event or a significant change in the circumstances that is within the control
of the Group and affects whether the Group is reasonably certain to exercise an option not previously
included in its determination of the lease term.
5) As lessee
① Lease modifications
Lease modification is a change in the scope of a lease, or the consideration for a lease, that was not
part of the original terms and conditions of the lease, for example, adding or terminating the right to use
one or more underlying assets, or extending or shortening the contractual lease term.
The Group accounts for a lease modification as a separate lease if both:
(1) the modification increases the scope of the lease by adding the right to use one or more underlying
assets; and
(2) the consideration for the lease increases by an amount commensurate with the stand-alone price
for the increase in scope and any appropriate adjustments to that stand-alone price to reflect the
circumstances of the particular contract.
For a lease modification that is not accounted for as a separate lease, at the effective date of the lease
modification the Group remeasures the lease liability by discounting the revised lease payments using a
revised discount rate. The revised discount rate is determined as the interest rate implicit in the lease for
the remainder of the lease term, or the lessee’s incremental borrowing rate at the effective date of the
modification, if the interest rate implicit in the lease cannot be readily determined.
For a lease modification that is not accounted for as a separate lease, the Group accounts for the
remeasurement of the lease liability by:
(1) decreasing the carrying amount of the right-of-use asset to reflect the partial or full termination
of the lease for lease modifications that decrease the scope of the lease, and recognising the gain or loss
relating to the partial or full termination of the lease in profit or loss; or
(2) making a corresponding adjustment to the right-of-use asset for all other lease modifications.
② Short-term leases and leases of low-value assets
The Group considers a lease that, at the commencement date of the lease, has a lease term of 12
months or less, and does not contains any purchase option as a short-term lease; and a lease for which
the value of the individual underlying asset is not more than RMB 40,000 when it is new as a lease of low-
value assets. If the Group subleases an asset, or expects to sublease an asset, the head lease does not
qualify as a lease of a low-value asset. The Group does not recognize right-of-use assets and lease
liabilities for short-term leases and low-value asset leases. The Group recognises lease payments on short-
term leases and leases of low-value assets in the costs of the related asset or profit or loss on a straight-
line basis
The Group does not assess whether there is a lease modification, and continues to calculate the
interest expense of the lease liability at the same discount rate as before the discount，and include it in the
profit or loss, and continues to depreciate the right-of-use asset according to the same method as before
the discount. For the rent reduction or exemption as incurred, the Group regards the reduced rent as the
variable lease payment amount. When the original rent payment obligation is relieved by reaching a
reduction agreement, the undiscounted amount is used to offset the relevant asset costs or expenses, and
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2021 Annual Report
the lease liabilities is adjusted accordingly; for the deferred payment of rent as incurred, the Company
offsets the lease liabilities recognised in the previous period when the actual payment is made.
6) As the lessor
A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental
to ownership of an underlying asset, except that a lease is classified as an operating lease at the inception
date.
7）As the lessor of operating lease
Rental income under an operating lease is recognised on a straight-line basis
over the lease term, through profit or loss. Variable lease payments that are not included in the
measurement of lease receivables are charged to profit or loss as incurred.
The Group accounts for a modification to an operating lease as a new lease from the effective date of
the modification, considering any prepaid or accrued lease payments relating to the original lease as part
of the lease payments for the new lease.
43. Other Important Accounting Policy and Accounting Estimates
Applicable □Not applicable
The preparation of the financial statements requires management to make judgements, estimates and
assumptions that affect the reported amounts of revenue, expenses, assets and liabilities, and their
accompanying disclosures, and the disclosure of contingent liabilities at the balance sheet date.
Uncertainty about these assumptions and estimates could result in outcomes that could require a material
adjustment to the carrying amounts of the assets or liabilities affected in the future.
(1) Judgments
① Business models
The classification of financial assets at initial recognition depends on the Group's business model for
managing financial assets. When determining the business model, the Group considers the methods to
include evaluation and report financial asset performance to key management, the risks affecting the
performance of financial assets and the risk management, and the manner in which the relevant
management receives remuneration. When assessing whether the objective is to collect contractual cash
flows, the Group needs to analyse and judge the reason, timing, frequency and value of the sale before the
maturity date of the financial assets.
② Contractual cash flow characteristics
The classification of financial assets at initial recognition depends on the financial asset’s contractual
cash flow characteristics, and the judgements on whether the contractual cash flows are solely payments
of principal and interest on the principal amount outstanding, including when assessing the modification of
the time value of money, the judgement on whether there is any significant difference from the benchmark
cash flow and whether the fair value of the prepayment features is insignificant for financial assets with
prepayment features, etc.
（2）Estimation uncertainty
The key assumptions concerning the future and other key sources of estimation uncertainty at the
balance sheet date, that have a significant risk of causing a material adjustment to the carrying amounts of
assets and liabilities within the future accounting periods, are described below.
① Write down inventories to net realisable value
The Group writes down inventories to net realisable value based on the estimation of the realizable
inventories. The assessment of write-downs requires management's judgment and reasonable estimates.
Once there is a difference between the expectation and the original estimate, the difference may affect the
book value of inventories in the estimate changed period and the impairment losses of assets.
② Impairment of financial instruments
Commencing from January 1, 2019, the Company has adopted the expected credit loss model to
assess the impairment of financial instruments. The Group is required to perform significant judgement and
estimation and take into account all reasonable and supportable information, including forward-looking
information. When making such judgements and estimates, the Group infers the expected changes in the
debtor's credit risk based on historical repayment data combined with economic policies, macroeconomic
indicators, industry risks and other factors. The different estimates may impact the impairment
assessment, and the provision for impairment may also not be representative of the actual impairment loss
in the future.
③ Impairment of non-current assets other than financial assets (other than goodwill)
The Group assesses whether there are any indications of impairment for all non-current assets other
than financial assets at the balance sheet date. Intangible assets with indefinite useful lives are tested for
impairment annually and at other times when such an indication exists. Other non-current assets other
than financial assets are tested for impairment when there are indications that the carrying amounts may
not be recoverable. An impairment exists when the carrying amount of an asset or asset group exceeds
its recoverable amount, which is the higher of its fair value less costs of disposal and the present value of
the future cash flows expected to be derived from it. The calculation of the fair value less costs of disposal
based on available data from binding sales transactions in an arm’s length transaction of similar assets or
observable market prices less incremental costs for disposing of the assets. When the calculations of the
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2021 Annual Report
present value of the future cash flows expected to be derived from an asset or asset group are undertaken,
management must estimate the expected future cash flows from the asset or asset group and choose a
suitable discount rate in order to calculate the present value of those cash flows.
④Service life and estimated net residual value of fixed assets
During the use of fixed assets, the economic environment, technology environment and other
environments in which they are may have a greater impact on the service life and estimated net residual
value of fixed assets. At the end of each year, the management reviews the service life and estimated net
residual value of fixed assets. If there is conclusive evidence that: the estimated service life of the fixed
asset is different from the original estimate, the service life of the fixed asset shall be adjusted; the estimated
net residual value of the fixed asset is different from the original estimate, and the estimated net residual
value shall be adjusted.
⑤ Deferred income tax asset
Deferred tax assets are recognised for all unused tax losses to the extent that it is probable that taxable
profit will be available against which the losses can be utilised. Significant management judgement is
required to determine the amount of deferred tax assets that can be recognised, based upon the likely
timing and level of future taxable profits together with future tax planning strategies.
⑥ Warranties
The Group makes reasonable estimate of the warranty rate of a group of contracts with similar
characteristics based on historical warranty data, current warranty, as well as all relevant information such
as product improvements, market changes, etc. Estimates of the expected warranty rate may not be
representative of the actual warranty rate in the future. The Group re-evaluates the warranty rate at least
on each balance sheet date and updates the measurement of the provisions based on the re-evaluated
warranty rate.
⑦ Provision of Sales Rebates and Rewards
The Group applies the sales rebate and incentive policy to the dealers. According to the relevant
stipulations in the distribution agreement, with reference to the completion of the agreed assessment
indicators by the dealers, sales rebates and incentives are estimated and accrued at the end of each year.
44. Changes in significant accounting policies and accounting estimates
(1). Change in accounting policies
Applicable □Not applicable
Remarks (Names and
Contents and causes of the change in accounting Examination and amounts of report items
policies approval procedures that are significantly
affected)
The MOF issued the "Accounting Standard for
Business Enterprises No. 21 – Leases” (CAI KUAI
[2018] No. 35) on December 7, 2018. According to
The MOF issued the
the requirement of the MOF, a company which is
Accounting
listed both at home and abroad or listed overseas
Standards for
and prepares its financial report according to the
Business Enterprises Note
International Financial Reports Standards or the
No. 21 – Leases
Accounting Standard for Business Enterprises
(CAI KUAI (2018)
started implementing the said accounting standards
No. 35).
commencing from January 1, 2019; other
domestically listed enterprises started the
implementation commencing from January 1, 2021.
Other notes
Notes:
On December 7, 2018, the MOF issued revised Accounting Standard for Business Enterprises No. 21
– Leases (the “New Leases Standard”). The New Leases Standard introduces a single model similar to
the current accounting treatment of finance leases, requiring the lessor to recognise right-of-use assets
and lease liabilities for all the leases, except for short-term leases and leases of low-value assets, and
recognise depreciation and interest expense, respectively. The Group has accounted for leases under
the revised leases standard since 1 January 2021. As a practical expedient, the Group did not reassess
whether a contract is, or contains, a lease at the date of initial application. According to the transitional
requirements, the Group did not restate comparative information. Instead, the Group recognised the
cumulative effect of the initial application of the New Leases Standard as an adjustment to the opening
balance of retained earnings of 2021 at the date of initial application:
1) the Group recognised the right-of-use asset and the lease liabilities at the amount of the carrying
amount of the lease asset and lease liability under the original standards applicable at the date of initial
application for leases previously classified as finance leases;
2) for leases previously classified as operating leases, the Group recognised lease liabilities based on
the present value of the remaining lease payments discounted at the incremental borrowing rate at the date
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2021 Annual Report
of initial application, and measured right-of-use assets based on the amount equal to the lease liabilities,
adjusted for any related prepaid and accrued lease payments previously recognised; and
3) the Group performed its impairment test of right-of-use assets and account for the impairment.
Identify the fulfilled and outstanding performance obligations, determine transaction prices, and
allocate transaction prices between fulfilled and outstanding performance obligations.
For operating leases of low-value assets and operating leases for which the lease term ends within 12
months before initial application, the Group applied a simplified approach and did not recognise the right-
of-use assets and lease liabilities:
1) applied a single discount rate to a portfolio of leases with reasonably similar characteristics; and
excluded the initial direct costs from the measurement of the right-of-use asset at the date of initial
application;
2) used hindsight in determining the lease term where the contract contained options to extend or
terminate the lease;
3) relied on its assessment of whether leases are onerous applying “42. Leases” of “V. Significant
Accounting Policy and Accounting Estimate” of “Section 10. Financial Report” immediately before the date
of initial application as an alternative to performing an impairment review, and adjusted the right-of-use
assets at the date of initial application by the amount of any provision for onerous leases recognised in the
balance sheet immediately before the date of initial application; and
4) accounted for the changes in leases before the date of initial application based on the final
arrangement for such changes.
(2). Change of Significant Accounting Estimates
"□ Applicable" "√ Not applicable"
(3) The Company started implementing the New Leases Standard commencing from 2021 and
adjusted the financial statements at the beginning of the current year
"√ Applicable" "□ Inapplicable"
Consolidated Balance Sheet
In: Yuan Currency:RMB
Amount involved
Items December 31, 2020 January 01, 2021
in the adjustment
Current assets:
Currency funds 1,249,120,118.26 1,249,120,118.26
Settlement reserve
Inter-bank lending
Financial assets held for trading 458,440,486.16 458,440,486.16
Derivative financial assets
Notes receivable
Accounts receivable 187,700,162.28 187,700,162.28
Receivables financing 194,010,599.36 194,010,599.36
Prepayments 20,248,469.38 18,328,847.77 -1,919,621.61
Receivable premium
Reinsurance accounts receivable
Reserve for reinsurance contract
receivable
Other receivables 85,518,641.96 85,518,641.96
Including: Interest receivable 930,559.39 930,559.39
Dividends receivable
Redemptory monetary fund for
sale
Inventories 494,751,269.64 494,751,269.64
Contract assets
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2021 Annual Report
Assets classified as held for sale
Current portion of non-current
875,045,616.43 875,045,616.43
assets
Other current assets 120,605,121.80 120,605,121.80
Total current assets 3,685,440,485.27 3,683,520,863.66 -1,919,621.61
Non-current assets:
Loan issuing and advance in cash
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 32,946,576.25 32,946,576.25
Other equity investments
Other non-current financial assets
Investment properties 223,753,945.07 223,753,945.07
Fixed assets 1,781,506,536.14 1,781,506,536.14
Construction in progress 47,995,478.09 47,995,478.09
Productive biological asset
Oil and Gas Assets
Right-of-use assets 56,116,227.00 56,116,227.00
Intangible assets 316,215,456.18 316,215,456.18
Development expenditures
Goodwill
Long-term prepaid expenses 11,802,083.24 11,802,083.24
Deferred tax assets 56,365,819.88 56,365,819.88
Other non-current assets 3,402,470,277.28 3,402,470,277.28
Total non-current assets 5,873,056,172.13 5,929,172,399.13 56,116,227.00
Total assets 9,558,496,657.40 9,612,693,262.79 54,196,605.39
Current liabilities:
Short-term borrowings
Borrowings from the central bank
Loans from other banks
Financial liabilities at fair value
through profit or loss
Derivative financial liabilities
Notes payable 4,555,247,953.70 4,555,247,953.70
Accounts payable 1,382,013,472.83 1,382,013,472.83
Receipts in advance
Contract liabilities 318,471,009.89 318,471,009.89
Money from sale of the
repurchased financial assets
Deposits taking and interbank
placement
Acting trading securities
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2021 Annual Report
Income from securities
underwriting on commission
Employee benefits payable 89,154,510.59 89,154,510.59
Taxes and surcharges payable 25,977,920.73 25,977,920.73
Other payables 453,785,184.64 446,629,221.36 -7,155,963.28
Including: interest payable
Dividends payable
Service charge and commission
payable
Payable reinsurance
Liabilities classified as held for
sale
Current portion of non-current
9,424,674.23 9,424,674.23
liabilities
Other current liabilities 12,219,830.60 12,219,830.60
Total current liabilities 6,836,869,882.98 6,839,138,593.93 2,268,710.95
Non-current liabilities:
Reserve for insurance contract
Long-term borrowings
Bonds payable
Including: preferred shares
Perpetual bond
Lease liabilities 51,927,894.44 51,927,894.44
Long-term payables
Long-term employee benefits
payable
Predicted liabilities
Deferred income 73,775,195.25 73,775,195.25
Deferred tax liability 8,740.26 8,740.26
Other non-current liabilities
Total non-current liabilities 73,783,935.51 125,711,829.95 51,927,894.44
Total liabilities 6,910,653,818.49 6,964,850,423.88 54,196,605.39
Owner’s equity(or shareholder’s equity):
Share capital 338,660,003.00 338,660,003.00
Other equity instruments
Including: preferred shares
Perpetual bond
Capital reserves 319,618,893.64 319,618,893.64
Less: Treasury shares
Other comprehensive income
Special reserves
Surplus reserves 189,936,412.55 189,936,412.55
General risks reserves
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2021 Annual Report
Retained earnings 1,781,546,043.16 1,781,546,043.16
Total shareholders’ equity
2,629,761,352.35 2,629,761,352.35
attributable to the parent company
Non-controlling interests 18,081,486.56 18,081,486.56
Total shareholder’s equity 2,647,842,838.91 2,647,842,838.91
Total Liabilities and Shareholder’s
9,558,496,657.40 9,612,693,262.79 54,196,605.39
Equity
Note to various item adjustments:
"□ Applicable" "√ Inapplicable"
Balance Sheet, Parent Company
In: Yuan Currency: RMB
Amount
Items December 31, 2020 January 01, 2021 involved in the
adjustment
Current assets:
Current assets 1,026,281,081.52 1,026,281,081.52
Financial assets at fair value
60,600,000.00 60,600,000.00
through profit or loss
Derivative financial assets
Notes receivable
Accounts receivable 187,973,999.10 187,973,999.10
Receivables financing 2,920,000.00 2,920,000.00
Prepayments 9,320,260.63 9,320,260.63
Other receivables 54,343,683.45 54,343,683.45
Including: Interest receivable 928,998.18 928,998.18
Dividend receivable
Inventories 5,103,408.33 5,103,408.33
Contract assets
Assets classified as held for sale
Current portion of non-current
875,045,616.43 875,045,616.43
assets
Other current assets 48,187,421.72 48,187,421.72
Total current assets 2,269,775,471.18 2,269,775,471.18
Non-current assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 693,448,588.33 693,448,588.33
Other equity investments
Other non-current financial
assets
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2021 Annual Report
Investment properties 438,596,163.82 438,596,163.82
Fixed asset 48,254,628.34 48,254,628.34
Construction in progress 13,543,609.26 13,543,609.26
Productive biological asset
Oil and Gas Assets
Right-of-use assets 16,638,789.86 16,638,789.86
Intangible assets 30,295,640.40 30,295,640.40
Development expenditures
Goodwill
Long-term prepaid expenses 1,021,465.06 1,021,465.06
Deferred tax assets 20,994,245.62 20,994,245.62
Other non-current assets 3,190,437,580.45 3,190,437,580.45
Total non-current assets 4,436,591,921.28 4,453,230,711.14 16,638,789.86
Total assets 6,706,367,392.46 6,723,006,182.32 16,638,789.86
Current liabilities:
Short term borrowings
Financial liabilities held for
trading
Derivative financial liabilities
Notes payable 1,535,609,263.11 1,535,609,263.11
Accounts payable 2,581,643,212.31 2,581,643,212.31
Receipts in advance
Contract liabilities 293,258,453.68 293,258,453.68
Employee benefits payable 25,528,265.93 25,528,265.93
Taxes and surcharges payable 666,987.59 666,987.59
Other payables 308,332,553.91 308,332,553.91
Including: interest payable
Dividends payable
Liabilities classified as held for
sale
Current portion of non-current
4,766,830.14 4,766,830.14
liabilities
Other current liabilities 9,711,127.61 9,711,127.61
Total current liabilities 4,754,749,864.14 4,759,516,694.28 4,766,830.14
Non-current liabilities:
Long-term borrowings
Bonds payable
Including: preferred shares
Perpetual bond
Lease liabilities 11,871,959.72 11,871,959.72
Long-term payables
Long-term employee benefits
payable
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2021 Annual Report
Provisions
Deferred income 36,257,597.30 36,257,597.30
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities 36,257,597.30 48,129,557.02 11,871,959.72
Total liabilities 4,791,007,461.44 4,807,646,251.30 16,638,789.86
Shareholder’s equity:
Share capital) 338,660,003.00 338,660,003.00
Other equity instruments
Including: preferred shares
Perpetual bond
Capital reserves 294,981,361.11 294,981,361.11
Less: Treasury shares
Other comprehensive income
Special reserves
Surplus reserves 189,936,412.55 189,936,412.55
Retained earnings 1,091,782,154.36 1,091,782,154.36
Total shareholder’s equity 1,915,359,931.02 1,915,359,931.02
Total Liabilities and
6,706,367,392.46 6,723,006,182.32 16,638,789.86
Shareholder’s Equity
Note to various item adjustments:
"□ Applicable" "√ Inapplicable"
(4) Note to the retroactive adjustment of the previous comparative data according to the new
standards for lease initially implemented from 2021
"□ Applicable" "√ Not applicable"
45. Others
"□ Applicable" "√ Not applicable"
VI. Taxes
1. Types of major taxes and tax rates
Types of major taxes and tax rates
"√ Applicable" "□ Not applicable"
Types of taxes Tax basis Tax rates
The output VAT is calculated based on the sales
of goods and taxable labor income according to
Value-added tax the tax law. After deducting the offsetable input 13%, 9%, 6%
VAT in the reporting period, the difference is the
value-added tax payable.
Urban
maintenance and It is paid based on the turnover tax actually paid 7%
construction tax
Corporate
Based on the amount of income taxable 25%, 20%, 15%
income tax
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2021 Annual Report
Education
It is paid based on the turnover tax actually paid 3%
Surcharge
Local education
It is paid based on the turnover tax actually paid 2%
Surcharge
In case there exist taxpayers subject to different corporate income tax rates, disclose the information.
"√ Applicable" "□ Not applicable"
Taxpayers Income tax rate (%)
Tianjin Suiwanwan Culture Communication Co., Ltd. 20
Tianjin Tianli Electric Bicycle Co., Ltd. 20
Tianjin Jinge Industrial Design Co., Ltd. 20
Xiaopa Electric Technology （Shanghai） Co., Ltd 20
Tianjin Xiaoma Network Technology Co., Ltd. 20
Aima Technology (Chongqing) Co., Ltd. 15
Chongqing Aima Vehicle Technology Co., Ltd. 15
Aima Technology (Hainan) Co., Ltd. 15
Tianjin Aima Vehicle Technology Co., Ltd. 15
Guangdong Aima Vehicle Technology Co., Ltd. 15
Guangxi Aima Vehicle Co., Ltd. 15
2. Tax Preferences
"√ Applicable" "□ Not applicable"
In 2021, Tianjin Jinge Industrial Design Co., Ltd., Tianjin Suiwanwan Cultural Communication Co., Ltd.,
Xiaopa Electric Technology (Shanghai) Co., Ltd., Tianjin Tianli Electric Bicycle Co., Ltd. and Tianjin Xiaoma
Network Technology Co., Ltd. enjoyed preferential taxes for small low-profit enterprises. In accordance with
the Enterprise Income Tax Law of the People’s Republic of China and the regulations for the
implementation, and the Ministry of Finance and the State Administration of Taxation on Implementing the
Inclusive Tax Deduction and Exemption Policies for Micro and Small Enterprises (CAISHUI [2019] No. 13),
from January 1, 2019 to December 31, 2021, the annual taxable income of a small low-profit enterprise
that is not more than RMB 1 million shall be included in its taxable income at the reduced rate of 25%,
with the applicable enterprise income tax rate of 20%; and the annual taxable income that is not less than
RMB 1 million nor more than RMB 3 million shall be included in its taxable income at the reduced rate
of 50%, with the applicable enterprise income tax rate of 20%. In accordance with the Announcement of
the State Administration of Taxation on the Implementation of Preferential Income Tax Policies Supporting
the Development of Small and Low-profit Enterprises and Individual Industrial and Commercial Households
(State Administration of Taxation Announcement No. 8 [2021]),from January 1, 2021 to December 31, 2022,
the annual taxable income of small and low-profit enterprises does not exceed RMB 1 million, a reduction
of 12.5% shall be included in the taxable income, and the corporate income tax shall be paid at the rate of
20%.
Aima Technology (Chongqing) Co., Ltd. and Chongqing Aima Vehicle Technology Co., Ltd. belong to
the encouraged industrial companies of the Western Development, and can enjoy the tax preference of 15%
corporate income tax from 2021 to 2030.
Aima Technology (Hainan) Co., Ltd. Enjoys the tax preference policy for and Chongqing Aima Vehicle
Technology Co., Ltd. Enjoys preferential tax policy for Hainan Free Trade Port ,and can enjoy the tax
preference of 15% corporate income tax from 2020 to 2024.
Tianjin Aima Vehicle Technology Co., Ltd., Guangdong Aima Vehicle Technology Co., Ltd. and
Guangxi Aima Vehicle Technology Co., Ltd. Were qualified for hi-tech enterprise in 2021, and may enjoy
the tax preference of 15% corporate income tax from 2021 to 2023.
3. Others
"□ Applicable" "√ Not applicable"
VII. Notes to Items of Consolidated Financial Statements
1.Currency funds
"√ Applicable" "□ Not applicable"
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2021 Annual Report
In:Yuan Currency:RMB
Items Ending balance Opening balance
Cash
Cash at banks 2,844,921,448.22 977,405,317.96
Others 1,221,862.48 271,714,800.30
Total 2,846,143,310.70 1,249,120,118.26
Other notes
The details of the Company's currency funds that have restrictions on use due to mortgage, pledge or
freezing, and which are deposited overseas and restricted from repatriation of funds are as follows:
As of December 31, 2021, the Company had no monetary funds with restricted ownership (December
31, 2020: RMB 269,196,678.00).
For the bank demand deposits, the interest income is received at the interest rate of bank demand
deposits. As at December 31, 2021，there was no short-term fixed-term deposit.
2. Financial assets held for trading
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Financial assets at fair value through
1,265,981,818.24 458,440,486.16
profit or loss
Where:
Equity investments 85,600,000.00
Financial products 1,180,381,818.24 458,440,486.16
Financial assets designated at fair
value through profit or loss
Where:
Total 1,265,981,818.24 458,440,486.16
Other notes:
"√ Applicable" "□ Not applicable"
The details of the financial products with the use right restricted are as follows:
Items Ending balance Opening balance
Financial products 390,000,000.00 280,000,000.00
3. Derivative financial assets
"□ Applicable" "√ Not applicable"
4.Notes receivable
(1) Classification of notes receivable
"□ Applicable" "√ Not applicable"
(2) Notes receivable already pledged by the Company at the end of the reporting period
"□ Applicable" "√ Not applicable"
(3) Endorsed or discounted notes receivable at the end of the reporting period, but not yet due on
the balance sheet date
"□ Applicable" "√ Not applicable"
(4) Notes transferred to receivables due to issuer’s default at the end of the reporting period
"□ Applicable" "√ Not applicable"
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2021 Annual Report
(5) Classified disclosure based on the method of provision for bad debt
"□ Applicable" "√ Not applicable"
Individual provision for bad debts:
"□ Applicable" "√ Not applicable"
Provision for bad and doubtful debts based on portfolio:
"□ Applicable" "√ Not applicable"
If the provision for bad debt is accrued in accordance with the general model of expected credit loss,
please refer to the disclosure of other receivables
"□ Applicable" "√ Not applicable"
(6) Provision for bad debts
"□ Applicable" "√ Not applicable"
(7) Notes receivable actually written off in the reporting period
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
5. Accounts receivable
(1) Disclosed based on aging
"√ Applicable" "□ Not applicable"
In: Yuan Currency: RMB
Aging Ending book balance
Within 1 year
Where: Itemized within 1 year
Within 1 year 209,442,121.39
Sub-total within 1 year 209,442,121.39
1 to 2 years 524,323.97
2 to 3 years
Over 3 years
Total 209,966,445.36
(2) Classified disclosure based on the method of provision for bad debt
"□ Applicable" "√ Inapplicable"
In: Yuan Currency: RMB
Ending balance Opening balance
Book balance Bad debt reserve Book balance Bad debt reserve
Provi Provisi
Categories Prop sion on
Book value Proporti Book value
Amount ortion Amount propo Amount Amount propor
on (%)
(%) rtion tion
(%) (%)
Assessed
bad debt
4,248,734.54 2.15 4,248,734.54
provision
individually
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2021 Annual Report
Where:
Individually
significant
amount and
4,248,734.54 2.15 4,248,734.54
separate
provision for
bad debts
Assessed
bad debt
209,966,445.36 100.00 2,336,643.71 1.11 207,629,801.65 193,547,668.80 97.85 10,096,241.06 5.22 183,451,427.74
provision
in portfolio
Where:
Portfolios
based on
credit risk 209,966,445.36 100.00 2,336,643.71 1.11 207,629,801.65 193,547,668.80 97.85 10,096,241.06 5.22 183,451,427.74
characteristic
s
Total 209,966,445.36 / 2,336,643.71 / 207,629,801.65 197,796,403.34 / 10,096,241.06 / 187,700,162.28
Individual provision for bad debts:
"□ Applicable" "√ Not applicable"
Provision for bad and doubtful debts based on portfolio:
Applicable □ Not applicable
Provision items on portfolio
In:Yuan Currency:RMB
Ending balance
Name Provision proportion
Accounts receivable Bad debt provision
(%)
Within 1 year (with 1
209,442,121.39 2,220,086.49 1.06
year inclusive)
1 to 2 years (with 2
524,323.97 116,557.22 22.23
years inclusive)
2 to 3 years (with 3
years inclusive)
Over 3 years
Total 209,966,445.36 2,336,643.71 1.11
Criteria of and note to recognition of provision for bad debts based on portfolio:
"□ Applicable" "√ Not applicable"
If the provision for bad debt is accrued in accordance with the general model of expected credit loss,
please refer to the disclosure of other receivables
"□ Applicable" "√ Not applicable"
(3) Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Categories Amount of movement during the reporting period
112 / 187
2021 Annual Report
Opening Charge- Ending
Recovery or Other
balance Provision off or balance
reversal changes
write-off
Assessed
bad debt
10,096,241.06 6,513,215.15 14,272,719.28 93.22 2,336,643.71
provision
in portfolio
Total 10,096,241.06 6,513,215.15 14,272,719.28 93.22 2,336,643.71
Where the significant amount of the reserve for bad debt recovered or reversed:
"□ Applicable" "√ Not applicable"
(4) Accounts receivable actually written off in the reporting period
"□ Applicable" "√ Not applicable"
(5) Accounts receivable owed by the top five debtors based on the ending balance
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Proportion in total ending Ending balance of
Organization name Ending balance balance of accounts the provision for bad
receivable (%) debts
Customer 1 21,928,902.65 10.44 232,446.37
Customer 2 13,641,918.29 6.50 144,604.33
Customer 3 9,414,533.53 4.48 99,794.06
Customer 4 7,605,767.51 3.62 80,621.14
Customer 5 7,235,102.18 3.45 76,692.08
Total 59,826,224.16 28.49 634,157.98
(6) Account receivable with recognition terminated due to transfer of financial assets
"□ Applicable" "√ Not applicable"
(7) Amount of assets and liabilities formed through transfer of account receivable and continuing
to be involved
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
6. Receivables financing
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Bank acceptance notes 49,295,422.59 194,010,599.36
Total 49,295,422.59 194,010,599.36
Change of increase/decrease and fair value of accounts receivable financing in the reporting period:
"□ Applicable" "√ Not applicable"
If the provision for bad debt is accrued in accordance with the general model of expected credit loss,
please refer to the disclosure of other receivables
"□ Applicable" "√ Not applicable"
113 / 187
2021 Annual Report
7. Prepayments
(1)Prepayments are presented based on aging
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Aging
Amount Proportion (%) Amount Proportion (%)
Within 1 year 20,878,129.11 96.94 17,851,166.97 97.40
1 to 2 years 559,969.27 2.60 370,840.99 2.02
2 to 3 years 106,839.81 0.58
Over 3 years 100,000.00 0.46
Total 21,538,098.38 100.00 18,328,847.77 100.00
(2) Prepayments to the top five debtors of the ending balance collected based on the debtors of the
prepayments
"√ Applicable" "□ Not applicable"
Proportion in total ending
Organization name Ending balance
balance of prepayments (%)
Supplier 1 2,593,313.53 12.04
Supplier 2 1,605,683.60 7.46
Supplier 3 1,587,174.59 7.37
Supplier 4 1,140,287.61 5.29
Supplier 5 487,834.30 2.26
Total 7,414,293.63 34.42
Other notes
"□ Applicable" "√ Not applicable"
8.Other receivables
Items Presentation
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Interest receivables 642,997.45 930,559.39
Dividends receivable
Other receivables 149,426,857.13 84,588,082.57
Total 150,069,854.58 85,518,641.96
Other notes:
"□ Applicable" "√ Not applicable"
Interest receivables
(1) Classification of interest receivable
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
114 / 187
2021 Annual Report
Items Ending balance Opening balance
Deposit and wealth investment 331,204.44
Interest of accounts receivable 642,997.45 599,354.95
Total 642,997.45 930,559.39
(2) Significant overdue interest
"□ Applicable" "√ Not applicable"
(3) Provision for bad debts
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
Dividend receivable
(4) Dividend receivable
"□ Applicable" "√ Not applicable"
(5) Significant dividends receivable with age exceeding 1 year
"□ Applicable" "√ Not applicable"
(6) Provision for bad debts
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
Other receivables
(7) Disclosed based on aging
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Aging Ending book balance
Within 1 year
Where: Itemized within 1 year
Within 1 year 144,245,727.86
Sub-total within 1 year 144,245,727.86
1 to 2 years 3,156,255.55
2 to 3 years 3,708,453.30
Over 3 years 24,323,512.34
Total 175,433,949.05
(8) Classification based on the nature of fund
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Nature of the fund Ending book balance Opening book balance
Engineering fees to be
24,164,117.84 24,164,117.84
recovered
Deposits 138,555,562.94 2,161,666.16
115 / 187
2021 Annual Report
Listing expenses 30,534,966.17
Reimbursement of the advance
406,934.00 176,881.17
to employees
Receivable from disposal of
5,248,574.23 16,509,154.50
fixed assets
Rebate to suppliers 17,806,530.09
Others 7,058,760.04 17,443,210.69
Total 175,433,949.05 108,796,526.62
(9) Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Stage 1 Stage 2 Stage 3
Lifetime Lifetime ECLs
12-month
Bad debt provision ECLs (no credit (credit Total
expected
impairment impairment
credit losses
incurred) already incurred)
Balance as at January 1,
26,894.68 17,431.53 24,164,117.84 24,208,444.05
2021
Balance as at January 1,
2021 in the reporting
period
-- transferred into Stage 2
-- transferred into Stage 3
-- revered to Stage 2
-- reversed to Stage 1
Accrual 21,647.20 1,821,326.88 1,842,974.08
Reversal 26,894.68 17,431.53 44,326.21
Transfer out
Write-off
Other changes
Balance as at
21,647.20 1,821,326.88 24,164,117.84 26,007,091.92
December 31, 2021
Note to the significant changes in the book balance of other receivables with changes in provision for
loss in the reporting period:
"□ Applicable" "√ Not applicable"
The amount of provision for bad debts in the reporting period and the basis for assessing whether the
credit risk of financial instruments has increased significantly
"□ Applicable" "√ Not applicable"
(10) Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Categories Amount of movement during the reporting period
116 / 187
2021 Annual Report
Opening Recovery Charge- Ending
Other
balance Provision or off or balance
changes
reversal write-off
Bad debt
24,208,444.05 1,842,974.08 44,326.21 26,007,091.92
provision
Total 24,208,444.05 1,842,974.08 44,326.21 26,007,091.92
Where a significant amount of the reserve for bad debt recovered or reversed during the reporting
period:
"□ Applicable" "√ Not applicable"
(11) Other receivables actually written off in the reporting period
"□ Applicable" "√ Not applicable"
(12) Other receivables owed by the top five debtors based on the ending balance
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Proportion
in total
ending
Organizatio Bad debt reserve
Nature of Payment Ending balance Aging balance of
n name Ending balance
other
receivables
(%)
Within 1
Customer 1 Deposits 107,506,442.86 61.28
year
Within 1
Customer 2 Deposits 28,534,883.61 16.27
year
Engineering fees to Over 3
Customer 3 24,164,117.84 13.77 24,164,117.84
be recovered years
Receivable from
Customer 4 disposal of fixed 2,998,574.23 2-3 years 1.71 696,326.88
assets
Receivable from
Customer 5 disposal of fixed 2,250,000.00 2-3 years 1.28 1,125,000.00
assets
Total / 165,454,018.54 94.31 25,985,444.72
(13) Accounts receivable involving government subsidy
"□ Applicable" "√ Not applicable"
(14) Other receivables with recognition terminated due to transfer of financial assets
"□ Applicable" "√ Not applicable"
(15) Amount of assets and liabilities formed through transfer of other receivables and continuing
to be involved
"□ Applicable" "√ Not applicable"
117 / 187
2021 Annual Report
Other notes:
"□ Applicable" "√ Not applicable"
9. Inventories
(1) Classification of inventories
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Provision for
Provision for write-down
write-down of of
Items inventories/im inventories /
Book balance Book value Book balance Book value
pairment of impairment
costs to fulfill of costs to
a contract fulfill a
contract
Raw 214,194,795.3
359,993,370.61 4,730,148.62 355,263,221.99 214,631,044.28 436,248.90
materials 8
Finished 280,556,474.2
440,425,986.90 440,425,986.90 280,754,523.22 198,048.96
goods 6
494,751,269.6
Total 800,419,357.51 4,730,148.62 795,689,208.89 495,385,567.50 634,297.86
4
(2) Provision for write-down of inventories / impairment of costs to fulfill a contract
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount increased in the Decrease in the reporting
Opening reporting period period
Items Ending balance
balance Other Reversal or
Provision Others
s write-off
Raw
436,248.90 6,878,033.90 2,584,134.18 4,730,148.62
materials
Finished
198,048.96 198,048.96
goods
Total 634,297.86 6,878,033.90 2,782,183.14 4,730,148.62
(3)Note to the amount of capitalized borrowing costs involved in the ending balance of inventories
"□ Applicable" "√ Not applicable"
(4) Note to the current amortization amount of contract performance costs
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
118 / 187
2021 Annual Report
10. Contract assets
(1) About contract assets
"□ Applicable" "√ Not applicable"
(2)The amount involved in the significant change of the book value and the cause during the
reporting period
"□ Applicable" "√ Not applicable"
(3)Provision for impairment of contract assets in the reporting period
"□ Applicable" "√ Not applicable"
If the provision for bad debt is accrued in accordance with the general model of expected credit loss,
please refer to the disclosure of other receivables
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
11. Held-for-sale assets
"□ Applicable" "√ Not applicable"
12. Non-current assets due within a year
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Fixed term deposit due within a
875,045,616.43
year
Total 875,045,616.43
Significant debt investment and other debt investments at the end of the reporting period:
"□ Applicable" "√ Not applicable"
13. Other current assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
CIT paid in advance 78,929,325.30 54,956,430.47
Input VAT to be credited 91,878,628.00 65,648,691.33
Total 170,807,953.30 120,605,121.80
14. Debt investment
(1) About debt investment
"□ Applicable" "√ Not applicable"
(2) Significant debt investment at the end of the reporting period
"□ Applicable" "√ Not applicable"
(3)Provision for impairment
"□ Applicable" "√ Not applicable"
The amount of provision for impairment in the reporting period and the basis for assessing whether
the credit risk of financial instruments has increased significantly
119 / 187
2021 Annual Report
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
15. Other debt investment
(1) About other debt investment
"□ Applicable" "√ Not applicable"
(2) Significant other debt investment at the end of the reporting period
"□ Applicable" "√ Not applicable"
(3)Provision for impairment
"□ Applicable" "√ Not applicable"
The amount of provision for impairment in the reporting period and the basis for assessing whether
the credit risk of financial instruments has increased significantly
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
16. Long-term receivables
(1)About long-term receivables
"□ Applicable" "√ Not applicable"
(2) Provision for bad debts
"□ Applicable" "√ Not applicable"
The amount of provision for bad debts in the reporting period and the basis for assessing whether the
credit risk of financial instruments has increased significantly
"□ Applicable" "√ Not applicable"
(3) Long term receivables with recognition terminated due to transfer of financial assets
"□ Applicable" "√ Not applicable"
(4) Amount of assets and liabilities formed through transfer of long-term receivables and continuing
to be involved
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
17. Long-term equity investments
Applicable □ Not applicable
In:Yuan Currency:RMB
Increase/ Decrease (+ / -) in the reporting period
Investm Ot Impairm
Openi Cash Provis
ent Other her ent at
ng divid ion Ending
Investees Increa Decre compreh eq Other the end
balan end for balance
se ase income ensive uity s of
ce decla impair
under income mo the year
red ment
the ve
120 / 187
2021 Annual Report
equity me
method nt
I. Joint Venture
Sub-total
II. Associates
TODAY 13,29 -
11,569,3
SUNSHI 8,705 1,729,3
94.32
NE .15 10.83
19,64 5,72
Tianjin 651,72 14,575,5
7,871 4,00
Gamma 8.75 99.85
.10 0.00
22,71 -
Shandon 19,255,2
7,737. 3,462,4
g Grand 84.44
96 53.52
90,00 -
Taizhou 54,950,3
0,000. 35,049,
Jinfu 23.80
00 676.20
Beijing 5,000, -
4,722,67
Zhongzh 000.0 277,32
7.82
ong 0 2.18
32,94 117,7 - 5,72
105,073,
Sub-total 6,576 17,73 39,867, 4,00
280.23
.25 7.96 033.98 0.00
32,94 117,7 - 5,72
105,073,
Total 6,576 17,73 39,867, 4,00
280.23
.25 7.96 033.98 0.00
18. Other equity instrument investment
(1) Other equity instrument investment
"□ Applicable" "√ Not applicable"
(2) Investment in non-transactional equity instruments
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
19. Other non-current financial assets
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
20. Investment properties
Measurement model for investment-oriented real estate
(1) Investment properties measured based on the cost method
In:Yuan Currency:RMB
121 / 187
2021 Annual Report
Items Buildings Land use rights Total
I. Original book value
1. Opening balance 185,765,336.74 74,456,169.46 260,221,506.20
2. Amount increased in the reporting
60,263,759.97 4,553,291.88 64,817,051.85
period
(1) Purchased
(2) Inventories\fixed
assets/construction in process 60,263,759.97 4,553,291.88 64,817,051.85
transferred in
(3) Increase of enterprise consolidation
3. Amount decreased in the reporting
period
(1) Disposals
(2) Other transfer out
4. Ending balance 246,029,096.71 79,009,461.34 325,038,558.05
II. Accumulative depreciation and accumulative amortization
1. Opening balance 31,718,011.86 4,749,549.27 36,467,561.13
2. Amount increased in the reporting
16,083,857.91 2,298,594.74 18,382,452.65
period
(1) Depreciation and amortisation
14,160,853.82 1,676,311.53 15,837,165.35
provided during the year
(2)Transfer-in of the fixed asset or
1,923,004.09 622,283.21 2,545,287.30
intangible assets
3. Amount decreased in the reporting
period
(1) Disposal
(2) Other transfer out
4. Ending balance 47,801,869.77 7,048,144.01 54,850,013.78
III. Provision for impairment
1. Opening balance
2. Amount increased in the reporting
period
(1) Provision
3. Amount decreased in the reporting
period
(1) Disposal
(2) Other transfer out
4. Ending balance
IV. Book value
1.Book value at the end of the
198,227,226.94 71,961,317.33 270,188,544.27
reporting period
2.Book value at the beginning of the
154,047,324.88 69,706,620.19 223,753,945.07
reporting period
122 / 187
2021 Annual Report
(2) Investment property with no title certificate
"□ Applicable" "√ Not applicable"
Other notes
"√ Applicable" "□ Not applicable"
As at December 31, 2021, the book value of investment properties leased out for operation was RMB
270,188,544.27 (December 31, 2020: RMB 223,753,945.07).
21. Fixed asset
Items Presentation
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Fixed asset 1,964,000,630.29 1,767,169,467.93
Disposal of fixed assets 2,085,074.02 14,337,068.21
Total 1,966,085,704.31 1,781,506,536.14
Fixed asset
(1) About fixed assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency：RMB
Office
Machinery and Electronic Production
Items Buildings Vehicles equipme Total
equipment equipment tools
nt
I. Original book value:
1. Opening
1,768,039,850.30 412,056,293.74 34,278,128.63 24,894,753.24 32,438,750.68 152,289,639.91 2,423,997,416.50
balance
2. Amount 95,232,540.08 455,927,069.38
increased in
201,104,063.47 127,258,977.44 7,492,659.68 12,510,123.55 12,328,705.16
the reporting
period
(1)
7,530,400.97 44,201,243.17 7,492,659.68 10,692,376.22 10,712,956.44 13,386,186.11 94,015,822.59
Purchase
(2) Transfers
from
193,573,662.50 83,057,734.27 1,817,747.33 1,615,748.72 81,846,353.97 361,911,246.79
construction
in progress
(3) Increase
of enterprise
consolidatio
n
3. Amount
60,780,041.91 24,336,889.48 3,901,120.92 1,005,471.42 1,535,783.00 3,431,088.81 94,990,395.54
decreased in
123 / 187
2021 Annual Report
the reporting
period
(1)
Disposals or 516,281.94 24,336,889.48 3,901,120.92 1,005,471.42 1,535,783.00 3,431,088.81 34,726,635.57
retirements
(2)
Transferred
into 60,263,759.97 60,263,759.97
investment
properties
4. Ending
1,908,363,871.86 514,978,381.70 37,869,667.39 36,399,405.37 43,231,672.84 244,091,091.18 2,784,934,090.34
balance
II. Accumulative depreciation
1. Opening
369,892,757.90 155,184,797.76 22,898,049.49 15,379,543.09 22,964,885.20 64,988,863.78 651,308,897.22
balance
2. Amount
increased in
84,914,679.78 38,466,255.99 4,439,128.89 3,134,060.55 6,407,368.70 46,161,195.37 183,522,689.28
the reporting
period
(1)
Depreciation
provided 84,914,679.78 38,466,255.99 4,439,128.89 3,134,060.55 6,407,368.70 46,161,195.37 183,522,689.28
during the
year
(2) Others
3. Amount
decreased in
2,034,805.47 6,464,286.55 3,706,050.67 842,246.58 1,044,998.04 3,025,752.64 17,118,139.95
the reporting
period
(1)
Disposals or 111,801.38 6,464,286.55 3,706,050.67 842,246.58 1,044,998.04 3,025,752.64 15,195,135.86
retirements
(2)
Transferred
into 1,923,004.09 1,923,004.09
investment
properties
4. Ending
452,772,632.21 187,186,767.20 23,631,127.71 17,671,357.06 28,327,255.86 108,124,306.51 817,713,446.55
balance
III. Provision for impairment
1. Opening
5,519,051.35 5,519,051.35
balance
2. Amount
4,929,182.19 6,374.31 20,546.55 85,113.04 5,041,216.09
increased in
124 / 187
2021 Annual Report
the reporting
period
(1) Provision 4,929,182.19 6,374.31 20,546.55 85,113.04 5,041,216.09
3. Amount
decreased in
7,228,354.52 6,374.31 20,412.07 85,113.04 7,340,253.94
the reporting
period
(1) Disposals
or 7,228,354.52 6,374.31 20,412.07 85,113.04 7,340,253.94
retirements
4. Ending
3,219,879.02 134.48 3,220,013.50
balance
IV. Book value
1.Book value
at the end of
1,455,591,239.65 324,571,735.48 14,238,539.68 18,728,048.31 14,904,282.50 135,966,784.67 1,964,000,630.29
the reporting
period
2.Book value
at the
beginning of 1,398,147,092.40 251,352,444.63 11,380,079.14 9,515,210.15 9,473,865.48 87,300,776.13 1,767,169,467.93
the reporting
period
(2) About temporarily idle fixed assets
"□ Applicable" "√ Not applicable"
(3) Fixed assets rented through finance lease
"□ Applicable" "√ Not applicable"
(4) Fixed assets leased through operating lease
"□ Applicable" "√ Not applicable"
(5) About fixed assets without title certificate
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
The reason why the title certificate has not
Items Book value
been granted
For self-built auxiliary function houses, it is
Buildings 6,143,202.01
unnecessary to apply for title certificate.
Other notes:
"√ Applicable" "□ Not applicable"
On December 31, 2021, the book value of the Group's fixed assets of houses and buildings with
restricted ownership was RMB 51,854,177.47 (December 31, 2020: RMB 56,311,395.08).
125 / 187
2021 Annual Report
Disposal of fixed assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Disposal of fixed assets 2,085,074.02 14,337,068.21
Total 2,085,074.02 14,337,068.21
22. Construction-in-progress
Items Presentation
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Engineering supplies 18,007,496.51
Construction-in-progress 96,123,598.65 47,995,478.09
Total 114,131,095.16 47,995,478.09
Other notes:
"□ Applicable" "√ Not applicable"
Construction-in-progress
(1) About construction-in-progress
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Impairment Impairment
Book balance Book value Book balance Book value
reserve reserve
Aima Group
35,596,259.61 35,596,259.61 12,090,511.86 12,090,511.86
Software
Aima Group
Engineering 1,338,400.38 1,338,400.38
Works
Tianjin Sports
1,408,406.98 1,408,406.98 369,469.04 369,469.04
moulds
Henan Aima
729,606.65 729,606.65 6,621,681.44 6,621,681.44
moulds
Henan Aima
machinery 1,945,749.80 1,945,749.80 1,801,980.20 1,801,980.20
equipment
Henan Aima
67,256.64 67,256.64
appliance tools
Jiangsu Aima
machinery 936,637.18 936,637.18
equipment
126 / 187
2021 Annual Report
Jiangsu Aima
5,026,548.70 5,026,548.70 2,986,725.69 2,986,725.69
moulds
Jiangsu Aima
1,431,676.12 1,431,676.12 106,194.69 106,194.69
software
Jiangsu Aima
53,097.35 53,097.35
appliance tools
Zhejiang Aima
housing and 89,867.93 89,867.93
buildings
Guangdong
Aima
10,564,885.68 10,564,885.68
machinery
equipment
Tianjin Vehicle
machinery 5,289,305.01 5,289,305.01 9,739,730.11 9,739,730.11
equipment
Tianjin Vehicle
880,088.49 880,088.49 3,547,787.58 3,547,787.58
moulds
Tianjin Vehicle
engineering 2,655,991.45 2,655,991.45 6,891,351.54 6,891,351.54
works
Tianjin Vehicle
275,748.98 275,748.98
office furniture
Xiaopa
Technology 668,168.11 668,168.11
moulds
Chongqing
Vehicle office 389,380.40 389,380.40
furniture
Chongqing
Vehicle housing 23,791,124.92 23,791,124.92
& buildings
Chongqing
Vehicle
2,682,300.92 2,682,300.92
machinery
equipment
Chongqing
Vehicle 303,097.35 303,097.35
appliance tools
Guangxi Aima
machinery 1,415,929.28 1,415,929.28
equipment
Aima Group
143,362.84 143,362.84
office furniture
127 / 187
2021 Annual Report
Aima Group
electronic 1,309,734.56 1,309,734.56
equipment
Henan Aima
electronic 743,716.85 743,716.85
equipment
Guangdong
Aima office 34,823.01 34,823.01
furniture
Guangdong
Aima appliance 55,398.23 55,398.23
tools
Xiaoma
Network 79,203.54 79,203.54
moulds
Xiaoma
Network
57,877.63 57,877.63
machinery
equipment
Total 96,123,598.65 96,123,598.65 47,995,478.09 47,995,478.09
(2) Movements of important construction-in-progress projects in the reporting period
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
The proportion of
Transferred projects
Project Opening Other Ending Capital
Budget Addition to the fixed investment
name balance decreases balance source
assets accounted for
budget (%)
Chongqing
Vehicle
201,880,000.00 194,333,842.31 170,542,717.39 23,791,124.92 96% Own fund
factory
building
Tianjin Proceeds
Vehicle 193,410,800.00 9,600,505.62 57,809,938.50 62,121,139.11 5,289,305.01 59% and own
equipment fund
Aima
Proceeds
Group
80,720,000.00 12,090,511.86 60,216,427.77 36,710,680.02 35,596,259.61 90% and own
software
fund
system
Total 476,010,800.00 21,691,017.48 312,360,208.58 269,374,536.52 64,676,689.54 / /
(3) Provision for impairment of construction in progress in the reporting period
"□ Applicable" "√ Not applicable"
128 / 187
2021 Annual Report
Other notes
"□ Applicable" "√ Not applicable"
Engineering supplies
(4). About engineering supplies
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Provision Provision
Items Book Book
Book balance for Book value for
balance value
impairment impairment
Engineering
18,007,496.51 18,007,496.51
supplies
Total 18,007,496.51 18,007,496.51
23. Productive biological asset
(1) Productive biological asset by using the cost measurement model
"□ Applicable" "√ Not applicable"
(2)Productive biological asset by using the fair value measurement model
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
24. Oil and Gas Assets
"□ Applicable" "√ Not applicable"
25. Right-of-use assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Buildings Total
I. Original book value:
1. Opening balance 56,116,227.00 56,116,227.00
2. Amount increased in the reporting
5,638,457.23 5,638,457.23
period
3. Amount decreased in the
12,186,841.29 12,186,841.29
reporting period
(1) Disposal 12,186,841.29 12,186,841.29
4. Ending balance 49,567,842.94 49,567,842.94
II. Accumulative depreciation
1. Opening balance
2. Amount increased in the reporting
13,543,970.77 13,543,970.77
period
(1) Depreciation provided
13,543,970.77 13,543,970.77
during the year
3. Amount decreased in the
5,202,961.41 5,202,961.41
reporting period
129 / 187
2021 Annual Report
(1) Disposals 5,202,961.41 5,202,961.41
4. Ending balance 8,341,009.36 8,341,009.36
III. Provision for impairment
1. Opening balance
2. Amount increased in the reporting
period
(1) Provision
3. Amount decreased in the
reporting period
(1) Disposal
4. Ending balance
IV. Book value
1.Book value at the end of the
41,226,833.58 41,226,833.58
reporting period
2.Book value at the beginning of
56,116,227.00 56,116,227.00
the reporting period
26. Intangible assets
(1) About the intangible assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Land use rights Software Trademarks Total
I. Original book value:
1. Opening
333,540,299.48 86,739,944.55 1,011,803.97 421,292,048.00
balance
2. Amount increased
39,140,380.39 39,140,380.39
in the reporting period
(1) Purchase 2,323,505.68 2,323,505.68
(2) Transfers from
construction-in- 36,816,874.71 36,816,874.71
process
3. Amount
decreased in the 4,553,291.88 1,969,774.17 6,523,066.05
reporting period
(1) Disposal 1,969,774.17 1,969,774.17
(2) Transferred into
4,553,291.88 4,553,291.88
investment properties
4. Ending balance 328,987,007.60 123,910,550.77 1,011,803.97 453,909,362.34
II. Accumulative amortization
1. Opening balance 50,242,850.18 54,046,280.80 787,460.84 105,076,591.82
2. Amount increased
6,738,808.96 12,507,071.19 43,421.25 19,289,301.40
in the reporting period
130 / 187
2021 Annual Report
(1) Amortisation
provided during the 6,738,808.96 12,507,071.19 43,421.25 19,289,301.40
year
3.Amount decreased
622,283.21 1,908,311.90 2,530,595.11
in the reporting period
(1) Disposal 1,908,311.90 1,908,311.90
(2) Transferred into
622,283.21 622,283.21
investment properties
4. Ending balance 56,359,375.93 64,645,040.09 830,882.09 121,835,298.11
III. Provision for impairment
1. Opening balance
2. Amount increased
in the reporting period
(1) Provision
3.Amount decreased
in the reporting period
(1) Disposal
4. Ending balance
IV. Book value
1.Book value at
the end of the 272,627,631.67 59,265,510.68 180,921.88 332,074,064.23
reporting period
2.Book value at
the beginning of the 283,297,449.30 32,693,663.75 224,343.13 316,215,456.18
reporting period
(2) About the land use rights without title certificate
"□ Applicable" "√ Not applicable"
Other notes:
As at December 31, 2021, the net book value of the land use rights with restricted ownership was RMB
30,632,651.23 (December 31, 2020: RMB 31,385,913.15).
27. Development expenses
"□ Applicable" "√ Not applicable"
28. Goodwill
(1). Original book value of the goodwill
"□ Applicable" "√ Not applicable"
(2). Provision for impairment of the goodwill
"□ Applicable" "√ Not applicable"
(3). Relevant information of the assets group or portfolio of the assets groups where the goodwill
is located
"□ Applicable" "√ Not applicable"
131 / 187
2021 Annual Report
(4). Explain the confirmation method of goodwill impairment test process, key parameters (such
as predicted period growth rate, stable period growth rate, profit margin, discount rate,
predicted period, etc., if applicable) and goodwill impairment loss.
"□ Applicable" "√ Not applicable"
(5). Influence of goodwill impairment test
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
29. Long-term prepaid expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Opening Amount Amount Other decrease Ending balance
balance increased in amortized in
the reporting the reporting
period period
Refurbishment
2,049,861.61 13,100,727.52 1,898,421.12 13,252,168.01
payment
Payment for
the
improvement 3,504,970.99 6,148,397.91 2,940,498.81 6,712,870.09
of the rented
fixed assets
Others 6,247,250.64 6,593,714.77 3,411,684.88 9,429,280.53
Total 11,802,083.24 25,842,840.20 8,250,604.81 29,394,318.63
30. Deferred tax assets/liabilities
(1) Deferred tax asset before being offset
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Deductible Deductible
Items Deferred tax Deferred tax
temporary temporary
assets Assets
differences differences
Deductible loss 251,596,721.32 62,899,180.33 25,069,318.56 6,267,329.64
Deferred income 118,883,340.46 23,421,534.15 95,775,195.25 23,943,798.81
Bad debt provision 28,343,735.63 4,322,808.35 34,304,685.11 8,577,078.83
Provision of inventories 4,730,148.62 810,887.28 634,297.86 158,574.46
Depreciation book-tax
23,503,828.28 5,875,957.07 17,266,262.52 4,316,565.63
difference of fixed assets
Provision for impairment
3,220,013.50 483,002.03 5,519,051.35 1,379,762.84
of fixed assets
132 / 187
2021 Annual Report
Investment losses of
29,920,457.76 7,480,114.44
associates
Sales rebates and
186,926,832.16 39,381,257.94 212,115,931.21 53,073,246.12
rewards
Accrued expenses 7,155,963.27 1,073,394.49 7,170,508.20 1,792,627.05
book-tax difference based
on the new leases 2,275,394.88 568,848.72
standard
Total 656,556,435.88 146,316,984.80 397,855,250.06 99,508,983.38
(2) Deferred tax liabilities before being offset
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Taxable Taxable
Items Deferred tax Deferred tax
temporary temporary
Liabilities Liabilities
differences differences
Accrued investment income
234,362,931.94 57,782,106.18 162,218,448.75 40,515,420.96
from financial products
Accrued fund possession fee
642,997.45 122,469.75 599,354.95 149,838.74
of deferred payment
Investment profit or loss of
9,946,576.25 2,486,644.06
associates
Total 235,005,929.39 57,904,575.93 172,764,379.95 43,151,903.76
(3) Net amount of deferred tax assets/liabilities after being offset
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Offset amount at Net amount at
Offset amount at Net amount at
the beginning of the beginning of
Items the end of the the end of the
the reporting the reporting
reporting period reporting period
period period
Deferred tax assets 57,473,351.49 88,843,633.31 43,143,163.50 56,365,819.88
Deferred tax liability 57,473,351.49 431,224.44 43,143,163.50 8,740.26
(4) Statement of deferred tax assets not recognized
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Deductible temporary 12,860.00
differences
Deductible tax losses 16,775,342.31
133 / 187
2021 Annual Report
Total 16,788,202.31
(5) Unrecognised deferred tax assets arising from deductible tax losses will expire in the following
years
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount at the end of Amount at the year
Year Remarks
the reporting period beginning
To expire in 2026 16,788,202.31
Total 16,788,202.31 /
Other notes:
"□ Applicable" "√ Not applicable"
31. Other non-current assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Items
Book balance Book value Book balance Book value
Prepayment o
equipment&
22,982,955.66 22,982,955.66 10,177,347.51 10,177,347.51
engineering
projects
Prepayment of
equity 100,000,000.00 100,000,000.00
investment
Prepayment of
18,944,601.00 18,944,601.00
properties
3-year fixed 4,919,789,013.4
4,919,789,013.47 3,273,348,328.77 3,273,348,328.77
deposit receipt 7
4,942,771,969.1
Total 4,942,771,969.13 3,402,470,277.28 3,402,470,277.28
3
Other notes:
On December 31, 2021, the Group issued bank acceptance notes with three-year fixed deposit
certificates of RMB 4,700,000,000.00 as the pledge (December 31, 2020: RMB 4,000,000,000.00).
32. Short-term borrowings
(1) Classification of short-term borrowings
"□ Applicable" "√ Not applicable"
(2) Short-term borrowings overdue but still remaining outstanding
"□ Applicable" "√ Not applicable"
Short-term borrowings overdue but still remaining outstanding
"□ Applicable" "√ Not applicable"
Other notes
134 / 187
2021 Annual Report
"□ Applicable" "√ Not applicable"
33. Transactional financial liabilities
"□ Applicable" "√ Not applicable"
34. Derivative financial liabilities
"□ Applicable" "√ Not applicable"
35. Notes payable
(1) Presentation of notes payable
Applicable □Not applicable
In:Yuan Currency:RMB
Categories Ending balance Opening balance
Bank acceptance notes 4,926,337,711.40 4,555,247,953.70
Total 4,926,337,711.40 4,555,247,953.70
36. Accounts payable
(1) Presentation of accounts payable
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Within 1 year (with 1 year
2,125,159,471.49 1,370,223,440.28
inclusive)
1 to 2 years (with 2 years
2,405,817.77 7,991,541.59
inclusive)
2 to 3 years (with 3 years
2,807,664.09 2,039,922.64
inclusive)
Over 3 years 1,740,418.19 1,758,568.32
Total 2,132,113,371.54 1,382,013,472.83
(2) Significant accounts payable with age exceeding 1 year
"□ Applicable" "√ Not applicable"
Other notes
"□ Applicable" "√ Not applicable"
37. Receipts in advance
(1) Presentation of receipts in advance
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Factory building rent 13,125,994.89
Total 13,125,994.89
(2) Significant receipts in advance with age exceeding 1 year
"□ Applicable" "√ Not applicable"
Other notes
135 / 187
2021 Annual Report
"□ Applicable" "√ Not applicable"
38. Contract liabilities
(1) About contract liabilities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Advances from sales of goods 286,324,441.22 73,560,114.88
Sales rebates 186,926,832.16 212,115,931.21
Advances from service 10,284,351.19 32,794,963.80
Total 483,535,624.57 318,471,009.89
(2)The amount involved in the significant change of the book value and the cause during the
reporting period
"□ Applicable" "√ Not applicable"
Other notes:
"√ Applicable" "□ Not applicable"
On December 31, 2021, the balance of sales rebates payable that belonging to the parent company
was RMB 101,065,324.67 (December 31, 2020: RMB 206,201,090.24)
39. Employee benefits payable
(1) Employee benefits payable
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Increase in the Decrease in the
Items Opening balance Ending balance
reporting period reporting period
I. Short-term
employee 89,154,510.59 959,578,506.59 935,510,336.39 113,222,680.79
benefits
II. Post-employment
benefits-defined 58,819,118.02 58,457,176.11 361,941.91
contribution plans
III. Dismissal
compensation
IV. Other benefit due
within a year
Total 89,154,510.59 1,018,397,624.61 993,967,512.50 113,584,622.70
(2) Presentation of short term remuneration
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Opening Increase in the Decrease in the
Items Ending balance
balance reporting period reporting period
136 / 187
2021 Annual Report
I. Wages or salaries, bonuses, 833,070,996.84 809,255,551.34 108,967,463.73
85,152,018.23
allowances and subsidies
II. Staff welfare 3,270,388.21 74,038,140.06 73,738,055.08 3,570,473.19
III. Social security contributions 460,721.07 33,281,180.36 33,559,789.88 182,111.55
Including: Medical insurance 460,721.07 29,287,253.70 29,589,817.93 158,156.84
Work injury insurance 2,133,966.58 2,111,611.47 22,355.11
Maternity insurance 1,859,960.08 1,858,360.48 1,599.60
IV. Housing fund 233,279.00 18,516,710.22 18,368,649.22 381,340.00
V. Union running costs and 671,479.11 588,290.87 121,292.32
38,104.08
employee education costs
Total 89,154,510.59 959,578,506.59 935,510,336.39 113,222,680.79
(3) Presentation of the defined contribution plan
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Opening Increase in the Decrease in the
Items Ending balance
balance reporting period reporting period
1. Pension insurance 57,022,942.01 56,673,119.73 349,822.28
2. Unemployment 1,796,176.01 1,784,056.38 12,119.63
insurance
Total 58,819,118.02 58,457,176.11 361,941.91
Other notes:
"□ Applicable" "√ Not applicable"
40. Payable taxes
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Value-added tax 3,743,717.32 1,144,240.40
Corporate income tax 47,385,304.15 19,957,439.86
Personal income tax 2,287,395.24 1,626,471.67
Urban maintenance and
512,943.01 87,633.27
construction tax
Land appreciation tax 631,354.38 527,983.81
Stamp duty 1,114,037.62 313,191.88
Education Surcharge 389,398.48 62,595.15
Others 2,237,337.37 2,258,364.69
Total 58,301,487.57 25,977,920.73
41. Other payables
Items Presentation
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
137 / 187
2021 Annual Report
Items Ending balance Opening balance
Interest payable
Dividends payable
Other payables 478,360,431.77 446,629,221.36
Total 478,360,431.77 446,629,221.36
Other notes:
"□ Applicable" "√ Not applicable"
Interest payable
(1) Presentation of classification
"□ Applicable" "√ Not applicable"
Dividends payable
(2) Presentation of classification
"□ Applicable" "√ Not applicable"
Other payables
(1) Other payables stated based on nature of fund
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Deposits 290,556,463.25 276,485,952.86
Payable of equipment &
12,069,100.76 15,236,343.47
engineering projects
Expenses accrued 45,047,280.28 114,024,247.76
Daily expenses 17,804,187.48 18,882,677.27
Government subsidy to be
22,000,000.00
refunded
Money for subscription of
112,883,400.00
restricted shares
Total 478,360,431.77 446,629,221.36
(2) Significant other payables with age exceeding 1 year
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Cause of failure in repayment or
Items Ending balance
carry-over
Security deposit of suppliers The cash pledge has not been
145,402,393.02 refunded as the cooperation is
going on
Security deposit of distributors The cash pledge has not been
47,411,457.50 refunded as the cooperation is
going on
Total 192,813,850.52 /
Other notes:
"□ Applicable" "√ Not applicable"
138 / 187
2021 Annual Report
42. Held-for-sale liabilities
"□ Applicable" "√ Not applicable"
43. Non-current liabilities due within a year
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Lease liabilities due within one
5,923,801.00 9,424,674.23
year
Total 5,923,801.00 9,424,674.23
44. Other current liabilities
About other current liabilities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Pending output VAT 39,990,259.74 12,219,830.60
Total 39,990,259.74 12,219,830.60
Increase/decrease of the short term bonds payable:
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
45. Long-term borrowings
(1) Classification of long-term borrowings
"□ Applicable" "√ Not applicable"
Other notes, including the interest rate interval:
"□ Applicable" "√ Not applicable"
46. Bonds payable
(1) Bonds payable
"□ Applicable" "√ Not applicable"
(2)Increase/Decrease of bonds payable (excluding other financial instruments classified as
financial liabilities, such as preferred shares, perpetual bonds, etc.)
"□ Applicable" "√ Not applicable"
(3) Note to the conditions and time of share conversion of convertible company bonds
"□ Applicable" "√ Not applicable"
(4) Note to other financial instruments classified as financial liabilities
Basic information on the outstanding other financial instruments, including preferred shares, perpetual
bonds, etc. at the end of the reporting period
"□ Applicable" "√ Not applicable"
Statement of movement of the outstanding other financial instruments, including preferred shares,
perpetual bonds, etc. at the end of the reporting period
"□ Applicable" "√ Not applicable"
Note to the basis of other financial instruments classified as financial liabilities
"□ Applicable" "√ Not applicable"
Other notes:
139 / 187
2021 Annual Report
"□ Applicable" "√ Not applicable"
47. Lease liabilities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Lease liabilities 46,589,311.07 51,927,894.44
Total 46,589,311.07 51,927,894.44
48. Long-term accounts payable
Items Presentation
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
Long-term accounts payable
(1) Long term accounts payable stated based on the nature
"□ Applicable" "√ Not applicable"
Special accounts payable
(2) Special accounts payable stated based on the nature
"□ Applicable" "√ Not applicable"
49. Long term payroll payable to the employees
"□ Applicable" "√ Not applicable"
50. Predicted liabilities
"□ Applicable" "√ Not applicable"
51. Deferred income
About deferred income
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Decrease in
Opening Increase in the Cause of
Items the reporting Ending balance
balance reporting period formation
period
Government Related with
73,775,195.25 50,960,200.08 5,852,054.87 118,883,340.46
subsidies assets
Total 73,775,195.25 50,960,200.08 5,852,054.87 118,883,340.46 /
Items involving government subsidies:
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount Amount
Amount of Related with
Opening counted counted to Other Ending
Liabilities newly added assets/related
balance to the the other changes balance
subsidy in the with income
non- income in
140 / 187
2021 Annual Report
reporting operating the reporting
period income period
in the
reporting
period
Subsidy of
infrastructure Related with
17,488,570.58 410,542.44 17,078,028.14
construction to assets
Henan Aima
Subsidy for
asset purchase Related with
1,333,333.32 111,111.12 1,222,222.20
by Jiangsu assets
Aima
Subsidy for
technology Related with
1,463,855.09 246,000.00 724,592.16 985,262.93
improvement to assets
Jiangsu Aima
Subsidy for
construction of
high standard Related with
394,736.91 26,315.76 368,421.15
factory assets
buildings to
Jiangsu Aima
Subsidy of
equipment and
Related with
production line 733,333.42 399,999.96 333,333.46
assets
to Aima
Technology
Subsidy for
technology
Related with
improvement to 60,352.78 1,500,000.00 86,049.70 1,474,303.08
assets
Aima
Technology
Subsidy of
environmental
protection
equipment for
Related with
treatment of 6,253,333.51 1,119,999.96 5,133,333.55
assets
baking varnish
waste gas to
Aima
Technology
Subsidy of Related with
29,210,576.59 743,568.96 28,467,007.63
infrastructure assets
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construction to
Aima
Technology
Subsidy of
infrastructure Related with
13,164,341.37 288,270.24 12,876,071.13
construction to assets
Tianjin Aima
Subsidy of
transformer
Related with
substation 889,994.40 96,215.64 793,778.76
assets
cables to
Tianjin Aima
Special
subsidy for
Related with
intelligent 1,960,000.00 840,000.00 318,735.88 2,481,264.12
assets
manufacturing
to Tianjin Aima
Subsidy for
technology Related with
486,265.49 189,542.24 130,565.49 545,242.24
improvement to assets
Henan Aima
Subsidy for
technology Related with
336,501.79 53,325.00 283,176.79
improvement to assets
Zhejiang Aima
Subsidy of
equipment and
Related with
production line 22,000,000.00 1,342,762.56 20,657,237.44
assets
to Guangxi
Aima
Subsidy of
infrastructure
Related with
construction to 21,000,000.00 21,000,000.00
assets
Chongqing
Vehicle
Financial
preference
Related with
policy fund to 5,184,657.84 5,184,657.84
assets
Chongqing
Vehicle
Other notes:
"□ Applicable" "√ Not applicable"
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52. Other non-current liabilities
"□ Applicable" "√ Not applicable"
53. Share capital
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Increase/Decrease (+/ -)
Capital
reserves\
Opening Ending
Shares Bonus surplus
balance Others Sub-total balance
issued shares reserves
turned to
shares
Total
338,660,003 65,000,000 65,000,000 403,660,003
Shares
Other notes:
On May 20, 2021, with the approval of the China Securities Regulatory Commission by the “Official
Reply on Approving the Initial Public Offering of AIMA Technology Group Co,. LTD." (Zheng Jian Xu Ke
[2021] No. 1775), the Company approved the public issuance of RMB common shares no more than
65,000,000 shares. The Company raised total proceeds amounting to RMB 1,810,900,000.00 from this
public offering; after deduction of the issuance expenses (with taxes and duties exclusive), the net proceeds
amounted to RMB 1,680,863,800.00, of which RMB 65,000,000.00 was included in the share capital and
RMB 1,615,863,800.00 was included in the capital reserves.
54. Other equity instruments
(1) Basic information on the outstanding other financial instruments, including preferred shares,
perpetual bonds, etc. at the end of the reporting period
"□ Applicable" "√ Not applicable"
(2)Statement of movement of the outstanding other financial instruments, including preferred
shares, perpetual bonds, etc. at the end of the reporting period
"□ Applicable" "√ Not applicable"
Note to their increase/decrease and the cause(s) of their movement of other equity instruments in the
reporting period and the basis for the corresponding accounting treatment:
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
55.Capital reserves
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Increase in the Decrease in the
Items Opening balance Ending balance
reporting period reporting period
Capital premium (capital
183,060,484.43 1,615,863,800.00 1,798,924,284.43
stock premium)
Change of the
shareholders’ equity -1,085,051.73 204,145.67 -880,906.06
shares
Share-based payment 137,643,460.94 137,643,460.94
Total 319,618,893.64 1,616,067,945.67 1,935,686,839.31
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56.Treasury shares
"□ Applicable" "√ Not applicable"
57.Other comprehensive income
"□ Applicable" "√ Not applicable"
58.Special reserves
"□ Applicable" "√ Not applicable"
59.Surplus reserves
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Opening balance Increase in the Decrease in the Ending balance
reporting period reporting period
Statutory surplus
189,936,412.55 11,893,588.95 201,830,001.50
reserve
Total 189,936,412.55 11,893,588.95 201,830,001.50
60. Retained earnings
Applicable □Not applicable
In:Yuan Currency:RMB
Items Reporting period Previous period
Retained earnings at the end of the
previous period before the 1,781,546,043.16 1,183,021,458.81
adjustment
Total retained earnings under
adjustment at the beginning of the
reporting year (adjustment up +,
adjustment down -)
After adjustment: Retained earnings
at the beginning of the reporting 1,781,546,043.16 1,183,021,458.81
period
Plus: Net profit attributable to
663,998,092.90 598,524,584.35
owners of the parent
Less: Appropriation to statutory
11,893,588.95
surplus reserves
Appropriation to discretionary surplus
reserves
Appropriation to general risks
reserves
Cash dividends declared
Dividends converted to capital
Retained earnings at the end of the
2,433,650,547.11 1,781,546,043.16
reporting period
Statement of adjustment of retained earnings at the beginning of the reporting period:
1. The amount involved in the retroactive adjustment according to the ASBEs and the relevant new
provisions influencing the retained earnings at the beginning of the reporting period was RMB 0.00.
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2021 Annual Report
2. The amount involved in change of the accounting policy influencing the retained earnings at the
beginning of the reporting period was RMB 0.00.
3. The amount involved in correction of the significant accounting errors influencing the retained
earnings at the beginning of the reporting period was RMB0.00.
4. The amount involved in change of the consolidation scope caused by the common control
influencing the retained earnings at the beginning of the reporting period was RMB0.00.
5. The total amount involved in other adjustments influencing the retained earnings at the beginning of
the reporting period was RMB0.00 .
61.Operating revenue and cost of sales
(1) Operating revenue and costs of sales
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the reporting period Amount incurred in the previous period
Items
Income Cost Income Cost
Primary
15,264,913,767.38 13,491,387,679.85 12,788,815,457.84 11,337,825,139.93
business
Other
133,797,103.34 102,218,349.71 115,770,641.27 93,396,842.34
businesses
Total 15,398,710,870.72 13,593,606,029.56 12,904,586,099.11 11,431,221,982.27
(2)Revenue arising from contracts
"√ Applicable" "□ Not applicable"
In:Yuan Currency: RMB
Classification of Contracts Total
Types of commodities
Revenue from electric bicycles, electric Tricycle,
15,264,913,767.38
bicycles and accessories
Other revenue 94,963,766.47
Classification based on the operation regions
Domestic 15,186,584,619.80
Overseas 173,292,914.05
Time classification based on transfer of commodities
Sales of goods 15,264,913,767.38
Revenue from materials 68,885,569.41
Others 6,634,992.65
After-sale service revenue 19,443,204.41
Total 15,359,877,533.85
Description of revenue arising from contracts
"□ Applicable" "√ Not applicable"
(3)Information about the Group’s performance obligations
"√ Applicable" "□ Not applicable"
1) Sales of goods
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2021 Annual Report
The performance obligation is satisfied upon delivery of the products to customers. For sales by
distributors, most customers need to prepay the price, and the contract price for some customers usually
expires within 1 year after delivery of the product.
2) After-sale service
The performance obligation is satisfied over time as services are rendered. The duration of the after-
sales service contract is 1 year, and the settlement is based on the time of occurrence, and customers
usually need to pay in advance before the after-sales service is provided.
(4) Information about apportioning to the residual performance obligations
"√ Applicable" "□ Not applicable"
At the end of the reporting period, the amount of revenue corresponding to the performance obligations
of the contracts which have been signed, but not yet performed or not yet completed is RMB
296,608,792.41.
Other notes:
The revenue recognized in the current year included in the book value of contract liabilities at the
beginning of the year is as follows:
In: Yuan Currency: RMB
Items 2021 2020
Sales of goods 106,355,078.68 171,836,397.15
62.Taxes and surcharges
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the reporting Amount incurred in the previous
Items
period period
Urban maintenance and
13,946,140.59 14,707,842.02
construction tax
Education Surcharge 6,192,599.61 6,398,032.22
Local education Surcharge 4,128,399.74 4,265,354.81
Real estate tax 17,876,192.00 15,787,632.66
Land use tax 3,534,624.49 3,142,517.23
Tax on using vehicle and boat 53,600.04 56,250.77
Stamp duty 9,890,360.61 8,077,288.71
Others 526,668.97 191,048.40
Total 56,148,586.05 52,625,966.82
63.Selling expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Employee benefits 257,554,844.33 138,866,037.03
Advertisement and propaganda
111,889,907.42 103,467,658.68
expenses
Business travel expenses 35,916,040.16 49,683,131.11
Transportation expenses 41,223,042.77 35,406,642.89
Consulting service 41,336,729.66 25,175,036.70
Others 62,684,726.64 46,186,351.83
Total 550,605,290.98 398,784,858.24
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2021 Annual Report
64. Administrative expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Amount incurred in the Amount incurred in the
reporting period previous period
Employee benefits 150,147,109.18 146,810,988.81
Depreciation and amortization 58,312,277.30 47,262,407.94
Consulting services 37,096,614.25 13,434,863.34
Others 71,038,597.63 58,042,864.56
Total 316,594,598.36 265,551,124.65
65.Research and development expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Employee benefits 154,206,183.20 86,391,463.83
Depreciation and amortization 52,553,979.40 36,445,717.09
Professional service fees 179,006,416.22 103,844,878.60
Others 18,317,549.09 12,758,103.00
Total 404,084,127.91 239,440,162.52
66.Financial expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Interest income -264,701,993.37 -150,694,536.85
Interest expenses 1,869,959.31 10,954,710.98
Service charge expenses 1,164,295.65 2,305,591.69
Foreign exchange differences 534,069.84 2,338,295.06
Total -261,133,668.57 -135,095,939.12
67.Other income
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Amount incurred in the reporting Amount incurred in the previous
period period
Government subsidies related
to the ordinary course of 20,852,054.87 28,975,492.28
business
Fees refunded for individual
1,295,995.29
income tax withheld
Others 524,226.45 160,854.63
Total 22,672,276.61 29,136,346.91
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2021 Annual Report
Other notes:
Government subsidies related to daily activities included in other income
Amount incurred Amount incurred
Related with
Items in the reporting in the previous
assets/income
period period
Subsidy of infrastructure construction to Related with
743,568.96 743,568.96
Aima Technology assets
Subsidy of environmental protection
equipment for treatment of baking varnish 1,119,999.96 1,119,999.96 Related with
waste gas to Aima Technology assets
Subsidy of equipment and production line Related with
399,999.96 399,999.96
to Aima Technology assets
Subsidy for technology improvement to Related with
86,049.70 24,141.48
Aima Technology assets
Subsidy of infrastructure construction to Related with
288,270.24 288,270.24
Tianjin Vehicle assets
Subsidy of transformer substation cables to Related with
96,215.64
Tianjin Aima assets
Subsidy for intelligent manufacturing to Related with
318,735.88 8,017.97
Tianjin Aima assets
Subsidy of infrastructure construction to Related with
410,542.44 410,542.44
Henan Aima assets
Subsidy for technology improvement to Related with
130,565.49 115,718.04
Henan Aima assets
Subsidy for asset purchase by Jiangsu Related with
111,111.12 111,111.12
Aima assets
Subsidy for technology improvement to Related with
724,592.16 589,042.10
Jiangsu Aima assets
Subsidy for construction of high standard Related with
26,315.76 26,315.76
factory buildings to Jiangsu Aima assets
Subsidy for technology improvement to Related with
53,325.00 79,764.25
Zhejiang Aima assets
Related with
15,000,000.00
Logistics subsidy to Guangxi Aima income
Investment construction subsidy to Related with
1,342,762.56
Guangxi Aima assets
Intelligent manufacture subsidy to Aima Related with
2,200,000.00
Technology income
Industrial development economy subsidy to Related with
8,450,000.00
Jiangsu Aima income
Subsidy of infrastructure construction to Related with
14,409,000.00
Zhejiang Aima income
Total 20,852,054.87 28,975,492.28
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2021 Annual Report
68.Investment income
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in
Items
reporting period the previous period
Long-term equity investment income under
-39,867,033.98 10,372,839.35
the equity method
Gains from disposal of long-term equity
395,864.38
investment
Return on investment during the holding of
1,200,000.00
financial assets held for trading
Return on investment from financial products 21,896,185.97 61,478,357.15
Total -16,374,983.63 71,851,196.50
69. Net exposure hedge income
"□ Applicable" "√ Not applicable"
70. Fair value gains or losses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Source of income arising from Amount incurred in the Amount incurred in the
change in fair value reporting period previous period
Financial assets held for trading 9,978,187.68 12,219,498.91
Total 9,978,187.68 12,219,498.91
71. Credit impairment losses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Impairment loss for accounts
7,759,504.13 -4,130,673.81
receivable
Impairment loss for other receivables -1,798,647.87 8,096,605.49
Total 5,960,856.26 3,965,931.68
72. Impairment losses of assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the previous
Items
reporting period period
I. Loss from impairment of assets
II. Loss for write-down of inventories
and Impairment loss for contract -6,516,185.89 -679,328.75
assets
III. Impairment loss for long-term
equity investments
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2021 Annual Report
IV. Impairment loss for investment
properties
V. Impairment loss for fixed assets -5,041,216.09
VI. Impairment loss for engineering
supplies
VII. Impairment loss for construction
in progress
VIII. Impairment loss for productive
biological asset
IX. Impairment loss for oil and gas
assets
X. Impairment loss for intangible
assets
XI. Impairment loss for goodwill
XII. Others
Total -11,557,401.98 -679,328.75
73. Gains or losses on disposal of non-current assets
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the reporting Amount incurred in the previous
Items
period period
Loss on disposal of fixed assets -10,592,015.11 -4,371,284.89
Total -10,592,015.11 -4,371,284.89
74. Non-operating income
About non-operating income
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount counted to the
Amount incurred in Amount incurred in
Items current non-operating
the reporting period the previous period
profit or loss
Government subsidies 11,622,656.94 12,688,689.53 11,622,656.94
Liquidated damage income 8,483,131.36 4,474,161.12 8,483,131.36
Others 10,581,706.10 8,972,908.02 10,581,706.10
Total 30,687,494.40 26,135,758.67 30,687,494.40
Government subsidy counted to the profit or loss.
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in Related with
Amount incurred in
Subsidy items the previous assets/related
the reporting period
period with income
4,975,484.71 6,319,781.27 Related with
Subsidy for stabilizing employment
income
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2021 Annual Report
1,810,000.00 Related with
Fund for air pollution prevention and control
income
1,000,000.00 Related with
Well-known trademark award to Aima Group
income
Guangdong special technology improvement 979,300.00 Related with
fund income
848,400.00 Related with
Tianjin Vehicle R&D Award
income
500,000.00 Related with
Jiangsu Party Construction engineering subsidy
income
300,000.00 Related with
Zhejiang Aima Quality Award
income
Tianjin Vehicle “One Belt One Road”Special 300,000.00 Related with
Subsidy income
Guangxi Work and Production Resumption 145,395.26 Related with
Financial Subsidy income
120,000.00 Related with
Foreign trade special fund
income
505,000.00 Related with
Vocational skill training subsidy
income
3,000,000.00 Related with
Special subsidy for listing to Aima Group
income
Special technology improvement fund for 738,000.00 Related with
economic high quality development to income
Guangdong Aima
Subsidy from the Science and Technology 500,000.00 Related with
Department of Guangxi Zhuang Autonomous income
Region
Jiangsu Industry Transformation and Upgrading 500,000.00 Related with
Fund income
Guangdong Key Industry Enterprise Market 386,100.00 Related with
Development and Support Project Fund income
170,000.00 Related with
Jiangsu Financial Talents Subsidy
income
Award fund for supporting enterprises to 169,700.00 Related with
strengthen income scale granted by the income
Commerce Bureau of Taizhou City, Jiangsu
Province
Modern Industry Development Fund Subsidy 150,000.00 Related with
granted by the Industry and Information Bureau income
of Xishan District
528,372.23 365,813.00 Related with
Other government subsidies
income
Total 11,622,656.94 12,688,689.53
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2021 Annual Report
Other notes:
"□ Applicable" "√ Not applicable"
75. Non-operating expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount counted to
Amount incurred in the Amount incurred in the the current non-
Items
reporting period previous period operating profit or
loss
Total losses on damage and
retirement of non-current 2,121,076.58 4,570,090.57 2,121,076.58
assets
Where: Loss on disposal of
fixed assets
Loss on disposal of intangible
assets
Product responsibility
3,465,694.43
expenditures
Donation expenditures for
3,987,935.98 571,200.00 3,987,935.98
public interest
Others 5,217,685.30 2,629,673.62 5,217,685.30
Total 11,326,697.86 11,236,658.62 11,326,697.86
76. Income tax expenses
(1) Statement of income tax expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Current tax 122,717,324.96 169,034,882.19
Deferred tax -32,184,981.35 203,731.89
Total 90,532,343.61 169,238,614.08
(2) Process of adjustment of accounting profit and income tax expenses
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in
Items
the reporting period
Total profit 758,253,622.80
Tax at the statutory or applicable tax rate 189,563,405.70
Effect of different tax rates for some subsidiaries -49,706,425.11
Adjustments in respect of current tax of previous periods -2,268,976.88
Income not subject to tax
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2021 Annual Report
Expenses not deductible for tax 410,123.73
The effect of using deductible losses of deferred income tax assets that have
not been recognized in the previous period
Influence from the offsetable provisional difference or offsetable loss of the 1,038,073.64
unrecognized deferred income tax asset at the end of the reporting period
Effect on opening deferred tax of change in the tax rate 6,025,294.75
Tax preferences such as additional deduction for R&D expenses -54,529,152.22
Income tax expenses 90,532,343.61
Other notes:
"□ Applicable" "√ Not applicable"
77. Other comprehensive income
"□ Applicable" "√ Not applicable"
78. Cash Flow Statement Items
(1) Other cash received relating to operating activities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Government subsidy and money in
57,403,078.76 31,784,756.53
connection with government subsidy
Liquidated damage income 8,483,131.36 4,474,161.12
Collection of security deposit and
13,500,510.39 21,045,105.85
advance payment
Bank deposit interest 69,232,716.23 19,490,130.78
Others 3,096,032.13 26,357,530.06
Total 151,715,468.87 103,151,684.34
(2) Other cash paid relating to operating activities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Selling expense paid in cash 250,325,799.04 220,637,469.28
Administrative expenses and R&D
272,875,287.80 180,473,781.64
expenses paid in cash
Bank service charge paid 1,164,295.68 4,155,143.01
Others 19,577,211.88 6,095,368.05
Total 543,942,594.40 411,361,761.98
(3) Other cash received relating to investment activities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
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2021 Annual Report
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Recovery of the prepayment for
16,002,100.00
strategic equity placement
Total 16,002,100.00
(4)Other cash paid relating to investment activities
"□ Applicable" "√ Not applicable"
(5)Other cash received relating to financing activities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the
Items Amount incurred in the reporting period
previous period
Bank acceptance notes
466,996,028.88
discounting
Total 466,996,028.88
(6)Other cash paid relating to financing activities
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in the
Items
reporting period previous period
Note margin 89,676,583.08
Listing expenses 4,171,533.23
Cash flow out relating to long term
9,427,106.51
rented assets
Purchase of the non-controlling
3,694,101.00 2,505,000.00
interests
Total 17,292,740.74 92,181,583.08
79. Notes to the statement of cash flows
(1) Notes to the statement of cash flows
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount in the Amount in the previous
Supplementary information
reporting period period
1. Reconciliation of profit to net cash flows from operating activities:
Net profit 667,721,279.19 609,840,790.06
Plus: Provisions for asset impairment 11,557,401.98 679,328.75
Loss from impairment of credit -5,960,856.26 -3,965,931.68
Depreciation of fixed assets, depletion of oil and gas
183,522,689.28 159,287,836.12
asset, depreciation of productive biological asset
Amortization of right-of-use assets 13,543,970.77
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2021 Annual Report
Amortization of intangible assets 19,289,301.40 15,323,888.80
Depreciation and amortization of investment property 15,837,165.34 8,062,151.75
Amortization of long-term prepaid expenses 8,250,604.81 5,175,941.07
Loss (income is stated in “-”) from disposal of fixed assets,
12,713,091.69 8,941,375.46
intangible assets and other long-term assets
Loss on retirements of fixed assets (profit is stated with
“-”)
Loss from change of fair value (profit is stated with “-”) -9,978,187.68 -12,219,498.91
Financial expenses (income is stated with “-”) -168,283,587.71 -104,172,960.08
Investment loss (income is stated with “-”) 16,374,983.63 -71,851,196.50
Decrease of the deferred tax asset (increase is stated -32,477,813.43 207,165.26
with “_”)
Increase of deferred tax liability (decrease is stated with 422,484.18 -3,433.37
“-”)
Decrease of inventories (Increase is stated with “-”) -307,454,125.14 47,999,404.48
Decrease in receivables from operating -722,391,606.16
activities (Increase is stated with “-”) 241,903,721.53
Increase in payables from operating activities (Decrease 1,427,205,250.39 1,213,666,589.72
is stated with “-”)
Others
Net cash flows arising from operating activities 2,094,187,373.97
1,154,579,844.77
2. Significant investment and financing activities with no cash income and expenses involved:
Capital converted from liabilities
Convertible company bonds due within a year
Fixed assets under finance lease
3. Net change in cash and cash equivalents:
Ending cash balance 2,846,143,310.70 978,700,802.48
Less: Opening balance of cash 978,700,802.48 16,448,532.31
Plus: Ending balance of cash equivalent
Less: Opening balance of cash equivalent
Net increase of cash and cash equivalents 1,867,442,508.22 962,252,270.17
(2)Net cash paid for acquisition of subsidiary in the reporting period
"□ Applicable" "√ Not applicable"
(3)Net cash received from disposal of subsidiary in the reporting period
"□ Applicable" "√ Not applicable"
(4)Composition of cash and cash equivalents
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
155 / 187
2021 Annual Report
I. Cash 2,846,143,310.70 978,700,802.48
Including: Cash in stock
Bank deposit available for payment at
2,846,143,310.70 978,700,802.48
any time
Other monetary fund used for
payment at any time
Due from central bank available for
payment
Due from banks
Call loan to banks
II. Cash equivalents
Including: bond investment due within
three months
III. Ending balance of cash and cash
2,846,143,310.70 978,700,802.48
equivalents
Other notes:
"□ Applicable" "√ Not applicable"
80. Notes to items of statement of change in owner’s equity
Note to the description of item “Others” and adjusted amounts for adjusting the closing balance of the
previous year:
"□ Applicable" "√ Not applicable"
81. Assets restricted in ownership or use right
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Book value at the end of the Cause of restriction
reporting period
Fixed asset 51,854,177.47 Collateral used for bank credit
Intangible assets 30,632,651.23 Collateral used for bank credit
Transactional financial Pledge for issuing bank acceptance
390,000,000.00
assets draft
Other non-current assets Pledge for issuing bank acceptance
4,700,000,000.00
draft
Total 5,172,486,828.70 /
Other notes:
(1) As of December 31, 2021, the Company had no deposit for bank acceptance notes (December 31,
2020: RMB 269,196,678.00)
On December 31, 2021, the Company issued bank acceptance notes with financial products
amounting to RMB 390,000,000.00 as the pledge (December 31, 2020: RMB 280,000,000.00).
(3) As of December 31, 2021, the Company acquired bank credit line amounting to RMB
300,000,000.00 from Bank of Communications Co., Ltd. Wuxi Xidong Sub-branch for Jiangsu Aima by
pledging the housing and building of Henan Aima Vehicle Co.,Ltd. with net book value of RMB
51,854,177.47 (December 31, 2020: RMB 56,311,395.08) and its land use rights with value of RMB
30,632,651.23 (December 31, 2020: RMB 31,385,913.15) and guarantee by the Company.
(4) As of December 31, 2021, the Company issued bank acceptance notes with a three-year fixed
deposit certificate of RMB 4,700,000,000.00 as the pledge (December 31, 2020: RMB 3,200,000,000.00).
(5) As of December 31, 2021, the Company have not issued bank acceptance notes with a three-year
fixed deposit certificate as the pledge(December 31, 2020: RMB 800,000,000.00).
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2021 Annual Report
82. Foreign currency monetary items
(1) Foreign currency monetary items
"□ Applicable" "√ Not applicable"
(2) Note to overseas operating entities, including important overseas operating entities, which
should be disclosed about its principal business place, function currency for bookkeeping and basis for the
choice. In case of any change in function currency, the cause should be disclosed.
"□ Applicable" "√ Not applicable"
83. Hedging
"□ Applicable" "√ Not applicable"
84. Government subsidies
(1) Basic information of government subsidies
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount
Items
Categories Amount counted to the
presented
profit or loss
Non-
Subsidy for stabilizing employment 4,975,484.71 operating 4,975,484.71
income
Non-
Vocational skill training subsidy 505,000.00 operating 505,000.00
income
Non-
Special subsidy for listing to Aima Group 3,000,000.00 operating 3,000,000.00
income
Special technology improvement for Non-
economic high-quality development to 738,000.00 operating 738,000.00
Guangdong Aima income
Subsidy from the Science and Technology Non-
Department of Guangxi Zhuang Autonomous 500,000.00 operating 500,000.00
Region income
Non-
Jiangsu Industry Transformation and
500,000.00 operating 500,000.00
Upgrading Fund
income
Non-
Guangdong Key Industry Enterprise Market
386,100.00 operating 386,100.00
Development and Support Project
income
Non-
Jiangsu Financial Talents Subsidy 170,000.00 operating 170,000.00
income
Award fund for supporting enterprises to
Non-
strengthen income scale granted by the
169,700.00 operating 169,700.00
Commerce Bureau of Taizhou City, Jiangsu
income
Province
157 / 187
2021 Annual Report
Modern Industry Development Fund Subsidy Non-
granted by the Industry and Information 150,000.00 operating 150,000.00
Bureau of Xishan District income
Non-
Other government subsidies 528,372.23 operating 528,372.23
income
Subsidy of infrastructure construction to Other
743,568.96 743,568.96
Aima Technology income
Subsidy of environmental protection
Other
equipment for treatment of baking varnish 1,119,999.96 1,119,999.96
income
waste gas to Aima Technology
Subsidy of equipment and production line to Other
399,999.96 399,999.96
Aima Technology income
Subsidy for technology improvement to Aima Other
86,049.70 86,049.70
Technology income
Subsidy of infrastructure construction to Other
288,270.24 288,270.24
Tianjin Vehicle income
Subsidy of transformer substation cables to Other
96,215.64 96,215.64
Tianjin Aima income
Subsidy for intelligent manufacturing to Other
318,735.88 318,735.88
Tianjin Aima income
Subsidy of infrastructure construction to Other
410,542.44 410,542.44
Henan Aima income
Subsidy for technology improvement to Other
130,565.49 130,565.49
Henan Aima income
Other
Subsidy for asset purchase by Jiangsu Aima 111,111.12 111,111.12
income
Subsidy for technology improvement to Other
724,592.16 724,592.16
Jiangsu Aima income
Subsidy for construction of high standard Other
26,315.76 26,315.76
factory buildings to Jiangsu Aima income
Subsidy for technology improvement to Other
53,325.00 53,325.00
Zhejiang Aima income
Other
Logistics subsidy to Guangxi Aima 15,000,000.00 15,000,000.00
income
Investment construction subsidy to Guangxi Other
1,342,762.56 1,342,762.56
Aima income
Total 32,474,711.81 32,474,711.81
(2). Refunding of the government subsidies
"□ Applicable" "√ Not applicable"
85. Others
"□ Applicable" "√ Not applicable"
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2021 Annual Report
VIII. Change in The Consolidation Scope
1. Applicable or not: Business consolidation not under the same control
"□ Applicable" "√ Not applicable"
2. Business consolidation under the same control
"□ Applicable" "√ Not applicable"
3. Counter purchase
"□ Applicable" "√ Not applicable"
4. Disposal of subsidiaries
Does there exist any such situation that a single disposal may cause the control power over the
investment in a subsidiary lost?
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Difference
between the
disposal price
and the share
of the Book
Percentage Fair value
subsidiary's value of
Time- of the of the
Equity net assets at the
Way of point of remaining remaining
Names of disposal the remaining
Sh equity loss of equity at equity at
subsidiaries proportion consolidated equity at
disposal control the date of the date
(%) financial the date
power loss of of loss of
statement of loss of
control (%) control
level control
corresponding
to the
disposal
investment
Wuxi October
0 60% Assignment 395,864.38
Zhuoyue 31, 2021
Other notes:
"√ Applicable" "□ Not applicable"
AIMA Technology Group Co., LTD., a subsidiary of the Company and Huang Shuaiqiao, one of the
minority shareholders signed an equity transfer agreement on September 25, 2021 according to which 60%
equity in Wuxi Zhuoyue was transferred at zero consideration. The disposal date was October 31, 2021.
Therefore, commencing from October 31, 2021, the Company no longer put Wuxi Zhuoyue in the
consolidation scope.
5. Change of the consolidation scope due to other reasons
Note to the change in the scope of consolidation caused by other reasons (such as newly established
subsidiaries, liquidation subsidiaries, etc.) and related conditions:
"√ Applicable" "□ Not applicable"
Proportion of Proportion of the Cause of
Names of Place of Nature of
the total total votes enjoyed increase of
subsidiaries registration business
shareholding by by the Group (%) new
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2021 Annual Report
the Group (%) subsidiaries
Chongqing Wholesale and Newly
Chongqing 100 100
Aima retail established
Wholesale and Newly
Hainan Aima Hainan 100 100
retail established
Chongqing Newly
Chongqing Manufacture 100 100
Vehicle established
Zhejiang Wholesale and Newly
Zhejiang 100 100
Technology retail established
Newly
Taizhou Aima Zhejiang Manufacture 100 100
established
Ningbo Venture Capital market Newly
Zhejiang 100 100
Capital service established
Software and
Shenzhen information Newly
Guangdong 100 100
Zhixing technology established
service
Wholesale and Newly
Zhejiang Beisite Zhejiang 100 100
retail established
Newly
Lishui Vehicle Zhejiang Manufacture 100 100
established
Suoteng Capital market Newly
Hong Kong 100 100
Technology service established
6. Others
"□ Applicable" "√ Not applicable"
IX. Equity in Other Entities
1. Equity in subsidiaries
(1)Composition of enterprise group
"√ Applicable" "□ Not applicable"
Main Shareholding
Names of Place of Nature of Way of
business proportion (%)
subsidiaries registration business acquisition
location Direct Indirect
Tianjin Vehicle Tianjin Tianjin Manufacture 100 Established
Henan Aima Henan Henan Manufacture 100 Established
Jiangsu Aima Jiangsu Jiangsu Manufacture 100 Established
Guangdong
Guangdong Guangdong Manufacture 100 Established
Aima
Zhejiang Aima Zhejiang Zhejiang Manufacture 100 Established
Aima Nanfang Jiangsu Jiangsu Manufacture 100 Established
Sichuan Aima Wholesale and
Sichuan Sichuan 100 Established
retail
160 / 187
2021 Annual Report
Xiaopa Service
Shanghai Shanghai 62 Established
Technology industry
Tianjin Sports Tianjin Tianjin Manufacture 100 Established
Xiaoma
Tianjin Tianjin Manufacture 100 Established
Network
Aima Share Tianjin Tianjin Manufacture 73 Established
Guangxi Aima Guangxi Guangxi Manufacture 100 Established
Tianjin Tianli Tianjin Tianjin Manufacture 100 Established
Chongqing Wholesale and
Chongqing Chongqing 100 Established
Aima retail
Hainan Aima Wholesale and
Hainan Hainan 100 Established
retail
Chongqing
Chongqing Chongqing Manufacture 100 Established
Vehicle
Zhejiang Wholesale and
Zhejiang Zhejiang 100 Established
Technology retail
Taizhou Aima Zhejiang Zhejiang Manufacture 100 Established
Ningbo Venture Capital market
Zhejiang Zhejiang 100 Established
Capital service
Software and
Shenzhen information
Guangdong Guangdong 100 Established
Zhixing technology
service
Zhejiang Wholesale and
Zhejiang Zhejiang 100 Established
Beisite retail
Lishui Vehicle Zhejiang Zhejiang Manufacture 100 Established
Suoteng Capital market
Hong Kong Hong Kong 100 Established
Technology service
Tianjin Jinge Consolidation
Service
Tianjin Tianjin 76 under the same
industry
control
Tianjin Consolidation
Service
Suiwanwan Tianjin Tianjin 100 under the same
industry
control
Other notes:
Chongqing Aima, Hainan Aima, Chongqing Vehicle, Zhejiang Technology, Taizhou Aima, Ningbo
Venture Capital, Shenzhen Zhixing, Zhejiang Beisite, Lishui Vehicle and Suoteng Technology were newly
established in year 2021.
(2)Important non-wholly-owned subsidiaries
"□ Applicable" "√ Not applicable"
(3)Key financial information of important non-wholly-owned subsidiaries
"□ Applicable" "√ Not applicable"
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2021 Annual Report
(4)Significant restriction on use of enterprise group’s assets and paying off the enterprise group’s
liabilities
"□ Applicable" "√ Not applicable"
(5) Financial support or other support provided to the structured entities incorporated in the scope
of consolidated financial statements
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
2. Transaction with a subsidiary with the share of the owner’s equity changed but still under control
"√ Applicable" "□ Not applicable"
(1)Note to the change in the share of the owner’s equity in subsidies
"√ Applicable" "□ Not applicable"
In October 2021, the Company acquired the 6% equity in Tianjin Jinge held by Chen Feilin, a minority
shareholder, at a consideration of RMB 208,000.00. Upon completion of the acquisition, the Group is
holding 76% equity in Tianjin Jinge. This transaction resulted in a decrease of RMB 209,518.65 in non-
controlling interests and an increase of RMB 1,518.65 in capital reserves in the consolidated financial
statements reserve.
In October 2021, the Company acquired the 10% equity in Tianjin Tianli held by Xie Zhijun, a minority
shareholder, at a consideration of RMB 1.00. Upon completion of the acquisition, the Group is holding 100%
equity in Tianjin Tianli. This transaction resulted in a decrease of RMB 162,684.38 in non-controlling
interests and an increase of RMB 162,683.38 in capital reserves in the consolidated financial statements
reserve.
In November 2021, the Company acquired 22% equity in Aima Share held by Li, a minority shareholder,
at a consideration of RMB 3,486,100.00. Upon completion of the acquisition, the Group is holding 73%
equity in Aima Share. This transaction resulted in a decrease of RMB 3,526,043.64 in non-controlling
interests and an increase of RMB 39,943.64 in capital reserves in the consolidated financial statements.
(2)Effect of the transaction on the non-controlling interests and owner's equity attributable to the
parent company
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Tianjin Jinge
Purchase cost/Disposal consideration
-- Cash 208,000.00
-- Fair value of non-cash assets
Purchase cost/Total disposal consideration 208,000.00
Less: Subsidiary's net asset share calculated based on the
209,518.65
proportion of equity acquired/disposed
Balance -1,518.65
Where: Adjustment of capital reserves -1,518.65
Adjustment of surplus reserves
Adjustment of retained earnings
Tianjin Tianli
Purchase cost/Disposal consideration
-- Cash 1.00
-- Fair value of non-cash assets
Purchase cost/Total disposal consideration 1.00
162 / 187
2021 Annual Report
Less: Subsidiary's net asset share calculated based on the
162,684.38
proportion of equity acquired/disposed
Balance -162,683.38
Where: Adjustment of capital reserves -162,683.38
Adjustment of surplus reserves
Adjustment of retained earnings
Aima Share
Purchase cost/Disposal consideration
-- Cash 3,486,100.00
-- Fair value of non-cash assets
Purchase cost/Total disposal consideration 3,486,100.00
Less: Subsidiary's net asset share calculated based on the
3,526,043.64
proportion of equity acquired/disposed
Balance -39,943.64
Where: Adjustment of capital reserves -39,943.64
Adjustment of surplus reserves
Adjustment of retained earnings
Other notes:
"□ Applicable" "√ Not applicable"
3. Equity in joint ventures or associates
"√ Applicable" "□ Not applicable"
(1)Important joint ventures or associates
"□ Applicable" "√ Not applicable"
(2) Key financial information of important joint ventures
"□ Applicable" "√ Not applicable"
(3) Key financial information of important associates
"□ Applicable" "√ Not applicable"
(4)Financial information summary of unimportant joint ventures and associates
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance/amount incurred Opening balance/amount
in the reporting period incurred in the previous
period
Associates:
Total book value of investment 105,073,280.23 32,946,576.25
Total of the following items calculated based on shareholding proportion
-- Net profit -39,867,033.98 10,372,839.35
-- Other comprehensive income
-- Total comprehensive income -39,867,033.98 10,372,839.35
Other notes:
163 / 187
2021 Annual Report
Shareholding Accounting
Name of Main proportion (%) treatment method
Place of Nature of
joint venture business for investment in
registration business
or associate location Direct Indirect joint ventures or
associates
TODAY Equity method
Zhejiang Zhejiang Manufacture 10.42
SUNSHINE
Tianjin Equity method
Tianjin Tianjin Manufacture 40.00
Gamma
Venture Equity method
Taizhou
Zhejiang Zhejiang capital 55.90
Jinfu
investment
Shandong Equity method
Shandong Shandong Manufacture 49.01
Grand
Beijing Service 25.00 Equity method
Beijing Beijing
Zhongzhong industry
(1) According to the articles of association of Sunshine Today, the Company is entitled to appoint
directors to its board of directors, and accordingly has the right to participate in the decision-making on its
financial and business operations, thereby exert significant influence on it.
(2) Taizhou Jinfu, Shandong Grand and Beijing Zhongzhong were associates with foreign investment
newly increased in 2021 and the Company holds 55.90%, 49.01% and 25% of the shares respectively in
them.
(3) According to the Partnership Agreement with Taizhou Jinfu, the Company, as one of the limited
partners, does not have the right to unilaterally decide the relevant activities of the partnership enterprise,
so the Company does not control the partnership enterprise, but has a significant influence on it.
(5) Note to significant restriction on the competence of a joint venture or an associate in transferring
funds to the Company
"□ Applicable" "√ Not applicable"
(6)Excessive loss incurred to a joint venture or an associate
"□ Applicable" "√ Not applicable"
(7) Unrecognized commitment in connection with investment in a joint venture
"□ Applicable" "√ Not applicable"
(8) Contingent liabilities in connection with investment in joint ventures or associates
"□ Applicable" "√ Not applicable"
4. Important joint operation
"□ Applicable" "√ Not applicable"
5. Equity in the structured entities not incorporated in the consolidated financial statements
Relevant note to the structured entities not incorporated in the consolidated financial statements
"□ Applicable" "√ Not applicable"
6. Others
"□ Applicable" "√ Not applicable"
X. Risk Relating to Financial Instruments
"√ Applicable" "□ Not applicable"
The Company faces various risks of financial instruments in its daily activities, mainly including credit
risk, liquidity risk, market risk and exchange rate risk. The Group’s financial instruments mainly include
164 / 187
2021 Annual Report
monetary capital, notes receivable, accounts receivable, accounts receivable financing, notes payable and
accounts payable. The risks involved in these financial instruments and the Group’s risk control tactics
aiming at reducing these risks are stated as follows.
(1) Credit risk
The Company carries out transactions only with accredited and reputable third parties. In accordance
with the Group's policy, all customers requiring credit transactions are subject to credit checks. In addition,
the Group continuously monitors the balance of accounts receivable to ensure that the Group shall not
access to significant bad debt risks. For transactions that are not settled in the functional currency of the
relevant operating unit, the Group shall not provide credit transaction conditions unless specifically
approved by the Group's credit control department.
Since the counterparties of monetary funds, transactional financial assets and bank acceptance drafts
receivable are banks with good reputation and high credit rating, these financial instruments have low credit
risk.
The Company's other financial assets include accounts receivable and other receivables. The credit
risk of these financial assets is derived from the default of the counterparty, and the maximum risk exposure
is equal to the book value of these instruments.
As the Company carries out transactions only with accredited and reputable third parties, no collateral
is necessary. The credit risks are managed centrally based on customers/counterparties, geographic
locations and industries. As the Group's accounts receivable are widely dispersed among the customers
bases, there exists no significant concentration of credit risks within the Company.
For the quantitative data of the Company's credit risk exposure arising from notes receivable, accounts
receivable and other receivables, please refer to "Section 10 VII. 5 Accounts Receivable" and "Section 10
VII. 8 Other Receivables ".
(2) Liquidity risks
The Company's goal is to maintain a balance between continuity and flexibility of financing by using
various financing means such as notes payable and accounts payable.
(3) Exchange rate risk
The Company faces transactional exchange rate risk. Such risks arise from sales or purchases by
operating units in currencies other than their functional currency. Approximately 1.13% (2020: 0.80%) of
the Group's sales was denominated in currencies other than the functional currency of the operating unit
in which the sales occurred. As the amount of the Group's foreign currency business is not significant, the
Group believes that changes in foreign exchange rates will not have a significant impact on the Company's
financial statements.
XI. Disclosure of Fair Value
1. Fair value at the end of the reporting period of the assets and liabilities measured based on the
fair value
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Fair value at the end of the reporting period
Level 2 fair Level 3 fair
Items Level 1 fair value
value value Total
measurement
measurement measurement
I. Continuous fair value
measurement
(I)Financial assets held for trading 1,265,981,818.24 1,265,981,818.24
1. Financial assets at fair value
through 1,265,981,818.24 1,265,981,818.24
profit or loss
(1) Debt instrument investment
(2) Equity instrument investment
(3) Derivative financial assets
2. Financial assets designated at fair
value through profit or loss
(1) Debt instrument investment
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2021 Annual Report
(2) Equity instrument investment
(II)Other debt investment
(III)Other equity instrument
investment
(IV) Investment properties
1. Land use right for lease purpose
2. Leased buildings
3. The land use right held and to be
assigned after appreciation.
(V)Biological assets
1. Consumable biological asset
2. Productive biological asset
(VI)Receivables financing 49,295,422.59 49,295,422.59
Total assets measured based on
1,265,981,818.24 49,295,422.59 1,315,277,240.83
fair value
(VII)Financial liabilities held for trading
1. Financial liabilities at fair value
through profit or
loss
Where: Issued transactional bonds
Derivative financial liabilities
Others
2. Financial liabilities designated at fair
value through profit or loss
Total liabilities continuously
measured based on fair value
II. Non-continuous fair value
measurement
(I) Held-for-sale assets
Total assets non-continuously
measured based on fair value
Total liabilities non-continuously
measured based on fair value
2. Basis for determining the market price of the items measured based on the continuous and non-
continuous first level fair value
"□ Applicable" "√ Not applicable"
3. Items measured based on the continuous or non-continuous 2nd level fair value, valuation
technique as used, nature of important parameters and quantitative information
"□ Applicable" "√ Not applicable"
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2021 Annual Report
4. Items measured based on the continuous or non-continuous 3rd level fair value, valuation
technique as used, nature of important parameters and quantitative information
"□ Applicable" "√ Not applicable"
5. Items measured based on the continuous 3rd level fair value, sensitivity analysis on adjusted
information and unobservable parameters between the book value at beginning and end of the
period
"□ Applicable" "√ Not applicable"
6. In case items measured based on fair value are converted between different levels incurred in
the reporting period, state the cause of conversion and determine conversion time point
"□ Applicable" "√ Not applicable"
7. Change of valuation technique incurred in the reporting period and cause of such change
"□ Applicable" "√ Not applicable"
8. Fair value of financial assets and financial liabilities not measured at fair value
"□ Applicable" "√ Not applicable"
9. Others
"□ Applicable" "√ Not applicable"
XII. Related Parties and Transactions
1. About the parent company
"□ Applicable" "√ Not applicable"
2. The Company’s subsidiaries
"√ Applicable" "□ Not applicable"
For details of the Company's subsidiaries, please refer to “Section X IX. 1. Equity in Subsidiaries”.
3. Joint ventures and associates of the Company
Refer to the Notes for details of the Company's major joint ventures or associates
"√ Applicable" "□ Not applicable"
Please refer to Section X “VII. 17 Long-term Equity Investments” and “IX. 3 Equity in Joint Ventures or
Associates” for the important joint ventures or associates of the Company.
Other joint ventures or associates that had related transactions with the Company in the reporting
period, or had related transactions with the Company in the previous period and formed a balance are as
follows
"√ Applicable" "□ Not applicable"
Name of joint venture or associate Relationship with the Company
An associate in which the controlling shareholder acts as
Tianjin Jiema Electric Technology Co., Ltd.
a director
Other notes
"□ Applicable" "√ Not applicable"
4. Other related parties
"√ Applicable" "□ Not applicable"
Names of other related parties Relationship between other related parties and the
Company
Duan Hua Director, the controlling shareholder’s spouse
167 / 187
2021 Annual Report
Shandong Aidebang Intelligent Technology
A joint stock company of an associate
Co., Ltd.
On August 15, 2021, Taizhou Huangyan Technology Innovation Investment Co., Ltd., Suzhou
Jinshajiang United Phase III Equity Investment Partnership (Limited Partnership), Suzhou Zhongxin Botong
Jinshi Venture Capital Partnership(L.P.) and Suzhou Jinsha Lake Venture Capital Management Co., Ltd.
jointly funded the establishment of Taizhou Jinfu. On September 27, 2021, Taizhou Jinfu signed the
"Shareholders Agreement" and "Capital Increase Agreement" with the original shareholder of Aidebon,
according to which they would invest RMB 160 million in Aidebang, with a shareholding ratio of 21.05%.
Aidebang became a related party of the Company on September 27, 2021, and the said related transaction
was disclosed as a related transaction. According to the relevant provisions of the "Listing Rules of
Shanghai Stock Exchange", Shandong Aidebang Intelligent Technology Co., Ltd. is not a related party
based on the Company's information disclosure standard.
5. Related transactions
(1) Related transactions of purchase and sale of commodities and supply and acceptance of labor
services
Statement of purchase of commodities and acceptance of labor services
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred Amount incurred
Description of Related
Related party in the reporting in the previous
Transactions
period period
Tianjin Jiema Electric Technology Purchase of
Co., Ltd. accessories and semi- 11,095,671.78 4,001,019.21
finished products, etc.
Shandong Aidebang Intelligent Purchase of raw
69,726,294.77 13,546,179.20
Technology Co., Ltd. materials
Statement of sales of goods/supply of services
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred Amount incurred
Description of Related
Related party in the reporting in the previous
Transactions
period period
Tianjin Jiema Electric
Supply of services 223,442.56 1,481,979.55
Technology Co., Ltd.
Note to related transactions of purchase and sale of commodities and supply and acceptance of labor
services
"√ Applicable" "□ Not applicable"
1.In 2021, the Company purchased accessories, semi-finished products and obtained labor services
from Tianjin Jiema Electric Technology Co., Ltd. in total of RMB 11,095,671.78 (2020: RMB 4,001,019.21).
2.In 2021, the Company purchased raw materials from Shandong Aidebang Intelligent Technology Co.,
Ltd. in total of RMB 69,726,294.77 (2020: RMB 13,546,179.20).
3. In 2021, the Company provided a total of RMB 223,442.56 (2020: RMB 1,481,979.55) of mold
processing services to Tianjin Jiema Electric Technology Co., Ltd.
(2)Related entrusted management/contracted and mandatory management/contracting
Statement of the Company's entrusted management/contracting:
"□ Applicable" "√ Not applicable"
Related entrusted management/contracting
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2021 Annual Report
"□ Applicable" "√ Not applicable"
Statement of the Company's entrusted management/outsourcing
"□ Applicable" "√ Not applicable"
Related management/outsourcing
"□ Applicable" "√ Not applicable"
(3)Related lease
The Company as lessor:
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Categories of Rental income Rental income
Names of lessee leasehold recognized in the recognized in the
properties reporting period previous period
Tianjin Jiema Electric
Property lease 6,333,512.82 8,592,569.25
Technology Co., Ltd.
The Company as lessee:
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Categories of Rental fee recognized
Rental fee recognized in
Names of lessor leasehold in the previous
the reporting period
properties period
Tianjin Jiema Electric Equipment 26,548.68
Technology Co., Ltd. hiring
Duan Hua Property lease 4,761,904.76 4,761,904.76
Related lease
"√ Applicable" "□ Not applicable"
1.In 2021, the Company leased houses to Tianjin Jiema Electric Technology Co., Ltd., and obtained
rent income and supporting water and electricity cost income amounting to RMB 6,333,512.82.In 2020, the
Company leased houses to Tianjin Jiema Electric Technology Co., Ltd., and confirmed rent income and
supporting water and electricity cost income amounting to RMB 8,592,569.25.
2. In 2021, the Company hired equipment from Tianjin Jiema Electric Technology Co., Ltd., and the
rent expenses incurred amounted to RMB 26,548.68.
3. In July 2019, the Company hired the Jinta office from Duan Hua for daily operations with the lease
term from July 10, 2019 to July 9, 2024 at annual rent rate of RMB 4,761,904.76. The rent is paid on a
quarterly basis. The Company paid a total of RMB 4,761,904.76 of rent in 2021 (2020: RMB 4,761,904.76).
From January 1, 2021, the Company has applied the new lease standards, and therefore, the rents are
accounted for in right-of-use assets and lease liabilities.
(4) Related guarantee
The Company as a guarantor
"□ Applicable" "√ Not applicable"
The Company as a guarantee
"□ Applicable" "√ Not applicable"
Note to related guarantee
"□ Applicable" "√ Not applicable"
(5)Borrowings and lendings among related parties
"□ Applicable" "√ Not applicable"
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2021 Annual Report
(6)Assets assignment and liabilities reorganization of related parties
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Description of Amount
Amount incurred in
Related party Related incurred in the
the previous period
Transactions reporting period
Tianjin Jiema Electric Technology Co., Sales of assets
884,955.80
Ltd.
(7) Remuneration to senior executives
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the reporting Amount incurred in the
Items
period previous period
Remuneration to senior executives 13,086,510.11 20,514,782.71
(8)Other related transactions
"√ Applicable" "□ Not applicable"
In 2021, the total amount of dividends received by the Group from Tianjin Jiema Electric Technology
Co., Ltd. was RMB 5,724,000.00.
6.Accounts receivable from and payable to related parties
(1)Receivables
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Bad
Description Related party Bad debt
Book balance Book balance debt
reserve
reserve
Accounts Tianjin Jiema Electric Technology
87,750.00 938.93
receivable Co., Ltd.
Tianjin Jiema Electric Technology
Prepayment 2,593,313.53
Co., Ltd.
Prepayment Duan Hua 1,250,000.00
Other Tianjin Jiema Electric Technology
2,685,921.37 1,125,000.00 6,998,870.21
receivables Co., Ltd.
Other Shandong Aidebang Intelligent
107,506,442.86
receivables Technology Co., Ltd.
Other Duan Hua
450,000.00 450,000.00
receivables
(2)Payables
"√ Applicable" "□ Not applicable"
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2021 Annual Report
In:Yuan Currency:RMB
Description Related party Ending book balance Opening book balance
Accounts Tianjin Jiema Electric
2,232,360.55 663.72
payable Technology Co., Ltd.
Accounts Shandong Aidebang Intelligent
445,120.13
payable Technology Co., Ltd.
Notes Shandong Aidebang Intelligent
24,796,814.74 65,104.03
payable Technology Co., Ltd.
Receipts in Tianjin Jiema Electric
2,910,301.01
advance Technology Co., Ltd.
Other Tianjin Jiema Electric
228,242.60 2,487,736.93
payables Technology Co., Ltd.
Other Shandong Aidebang Intelligent
1,007,368.00
payables Technology Co., Ltd.
Lease Duan Hua
6,909,182.17
liabilities
7. Related parties’ commitments
"□ Applicable" "√ Not applicable"
8. Others
"□ Applicable" "√ Not applicable"
XIII. Share-based Payment
1. General of share-based payment
"√ Applicable" "□ Not applicable"
In: share Currency:RMB
Total amount of various equity instruments granted 137,159,400.00
by the Company during the reporting period
Other notes
2021 2020
Price of the restricted shares granted RMB 20.23/share
Total restricted shares issued during the reporting period 6.78 million shares
Total employee services in exchange for share-based payments
On December 27, 2021, 2021 3rd Extraordinary General Meeting of Aima Group reviewed and
approved the proposal on the “2021 Restricted Stock Incentive Plan of AIMA Technology Group Co,. LTD.
(Draft)" and its summary. A total of 7.06 million restricted shares were granted, accounting for about 1.75%
of the total share capital of 403,660,003 shares, of which 6,860,000 shares were granted for the first time
and 200,000 shares were reserved; the number of incentive objects granted for the first time by this plan
was 112 persons, including senior executives, medium and senior management personnel, and core
technical (business) personnel; the grant price of some restricted shares granted for the first time in this
plan is RMB 20.23 per share.
On December 27, 2021, the 24th session of the Fourth Board of Directors of Aima Group reviewed
and approved the “Proposal on Adjusting the List of Incentive Objects and the Number of Equity Granted
for the First Time in 2021 Restricted Stock Incentive Plan”. After the adjustment, the number of incentive
objects granted for the first time by this plan was changed from 112 to 106, and the total amount of restricted
shares granted for the first time was adjusted from 6.86 million shares to 6.79 million shares. Later, because
some incentive objects voluntarily gave up the subscription of 10,000 restricted shares granted in part, a
total of 6,780,000 restricted shares were actually granted to 105 incentive objects, and on December 31,
2021, a total of employee stock subscriptions amounting to RMB 112,883,400.00 were received.
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The lock-up periods for restricted shares granted based on this incentive plan are 15 months, 27
months and 39 months from the date when the registration of the grant of restricted shares granted to the
incentive objects is completed.
On January 24, 2022, the Company completed the registration of the first grant of the 2021 Restricted
Shares Incentive Plan with the Shanghai Branch of China Securities Depository and Clearing Corporation
Limited; and the Company's total capital stock increased to 410,440,003 shares.
Equity-settled share-based payment is as follows:
2021 2020
Equity-settled share-based
payment
Accumulated amount counted to
the capital reserves
Total expenses recognized in the
equity-settled share-based payment
Method for determining the fair Closing price of the Company's stock less the issuing price of the
value of equity instruments granted restricted shares on the grant date
The Company's financial performance indicators and personal
Basis for determining the quantity of performance indicators are assessed on an annual basis, and
exercisable equity instruments the number of incentive objects that have achieved the
assessment target is the basis for determination.
2. About the equity-settled share-based payment
"□ Applicable" "√ Not applicable"
3. Cash-settled share-based payment
"□ Applicable" "√ Not applicable"
4. Correction and termination of share-based payment
"□ Applicable" "√ Not applicable"
5. Others
"□ Applicable" "√ Not applicable"
XIV. Commitments and Contingencies
1. Important commitments
"√ Applicable" "□ Not applicable"
Important external commitments, the nature and the amount existing as at the balance sheet date
Items December 31, 2021 December 31, 2020
Capital commitments with contract
50,470,332.66 52,386,670.02
signed but not yet provided
2. Contingencies
(1) Significant contingencies existing as at the balance sheet date
"√ Applicable" "□ Not applicable"
Pending litigation arising from patent dispute at the end of 2020 Liu Gang, as the plaintiff, filed a lawsuit
with the Beijing Intellectual Property Court with the Company and Beijing JD Century Information
Technology Co., Ltd. as the co-defendants, claiming that the defendants must immediately stop infringing
intellectual property rights by manufacturing, selling, and promising to sell, including the invention patent
with the patent No. ZL201110245887.7; claiming for paying the plaintiff all rights protection fees, attorney
fees or legal consultation fees for stopping the infringement and reasonable expenses for investigating and
stopping the infringement in a total of RMB 17,500.00; ordering the defendants to submit the relevant data
172 / 187
2021 Annual Report
information of infringement and the relevant data information of the infringer of the online stores, so as to
facilitate the plaintiff to change the litigation request after the establishment of the allegation of infringement
or to further safeguard the rights for a second prosecution, so as to determine the amount of the claim;
ordering the defendants to pay punitive damages to the plaintiff. As of the date when the financial
statements are approved for publication, the first instance of the case had not yet been heard.
(2)The Company had no important contingencies unnecessary to be disclosed but necessary to be
explained
"□ Applicable" "√ Not applicable"
3. Others
"□ Applicable" "√ Not applicable"
XV. Events after The Balance Sheet Date
1. Module: Significant non-adjustment events
"□ Applicable" "√ Not applicable"
2. Profit distribution
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Profit or dividend to be distributed 205,220,001.50
Profit or dividend announced to be 205,220,001.50
distributed after review and approval
On April 14, 2022, the Company held 25th session of the Fourth Board of Directors at which a preplan
for profit distribution and capital reserves capitalization in 2021 was proposed. According to the preplan,
the Company was to distribute cash dividend amounting to RMB 205,220,001.50 (or at the rate of RMB 0.5
per share). At the same time, the Company was to capitalize its capital reserves to whole shareholders at
the rate of 4 shares for every 10 shares. Calculated based on the Company's total capital stock of
410,440,003 shares as of April 14, 2022, after the capitalization, the Company's total capital stock would
increase to 574,616,004 shares (The total number of the Company's shares was subject to the final
registration result with China Securities Depository and Clearing Corporation Limited Shanghai Branch. If
there was any difference, it was due to rounding up).
3. Sales return
"□ Applicable" "√ Not applicable"
4. Note other post balance sheet events
"□ Applicable" "√ Not applicable"
XVI. Other significant events
1. Correction of the accounting errors in the previous period
(1) Retroactive restatement
"□ Applicable" "√ Not applicable"
(2) Prospective application method
"□ Applicable" "√ Not applicable"
2. Liabilities restructuring
"□ Applicable" "√ Not applicable"
3. Replacement of assets
(1) Non-monetary assets exchange
"□ Applicable" "√ Not applicable"
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2021 Annual Report
(2)Other assets exchange
"□ Applicable" "√ Not applicable"
4. Annuity plan
"□ Applicable" "√ Not applicable"
5. Operation termination
"□ Applicable" "√ Not applicable"
6. Segment information
(1)Basis for determining the reporting segments and accounting policy
"□ Applicable" "√ Not applicable"
(2) Financial information of the reporting segments
"□ Applicable" "√ Not applicable"
(3)In case there is no reporting segment or the total assets and liabilities of the reporting segments
cannot be disclosed, explain the reason
"√ Applicable" "□ Not applicable"
The Company is mainly engaged in the electric two-wheeled vehicle business, and the assets related
to the services supply are located in China. In terms of internal organizational structure and management
requirements, the Company takes the Company's businesses as a whole to review internal reports, allocate
resources and performance assessment. Therefore, except the information already presented in the
financial statements, there is no other segment information necessary to be presented.
(4)Other notes
"√ Applicable" "□ Not applicable"
Geographical information: The vast majority of the Company's foreign transaction revenue comes from
domestic sources. The Company's non-current assets (excluding financial assets and deferred income tax
assets) are all located in China.
7. Other significant transactions and matters that may affect investors' decision making
"□ Applicable" "√ Not applicable"
8. Others
"√ Applicable" "□ Not applicable"
In 2021, no more than 10% of the Company's operating revenue came from the Group's operating
revenue from a single customer.
XVII. Notes to The Parent Company’s Financial Statements
1. Accounts receivable
(1 )Disclosed based on aging
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Aging Ending book balance
Within 1 year
Where: Itemized within 1 year
Within 1 year 90,715,260.50
Sub-total within 1 year 90,715,260.50
1 to 2 years 419,452.53
2 to 3 years
Over 3 years
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2021 Annual Report
Total 91,134,713.03
(2) Classified disclosure based on the method of provision for bad debt
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Ending balance Opening balance
Book Book
Book balance Bad debt reserve Book balance Bad debt reserve
value value
Categories
Provision Provision
Proportion Proportion
Amount Amount proportion Amount Amount proportion
(%) (%)
(%) (%)
Assessed bad
debt provision 10,964,633.94 12.03 10,964,633.94 29,142,824.28 14.81 29,142,824.28
individually
Where:
Individual
provision for 10,964,633.94 12.03 10,964,633.94 29,142,824.28 14.81 29,142,824.28
bad debts
Assessed bad
debt provision 80,170,079.09 87.97 938,600.94 1.18 79,231,478.15 167,604,875.33 85.19 8,773,700.51 5.23 158,831,174.82
in portfolio
Where:
Portfolios
based on
80,170,079.09 87.97 938,600.94 1.18 79,231,478.15 167,604,875.33 85.19 8,773,700.51 5.23 158,831,174.82
credit risk
characteristics
Total 91,134,713.03 / 938,600.94 / 90,196,112.09 196,747,699.61 / 8,773,700.51 / 187,973,999.10
Individual provision for bad debts:
"□ Applicable" "√ Not applicable"
Provision for bad and doubtful debts based on portfolio:
Applicable □ Not applicable
Provision items on portfolio:Provision for bad debts recognized based on the portfolio of credit risk
characteristics
In:Yuan Currency:RMB
Ending balance
Name Provision proportion
Accounts receivable Bad debt provision
(%)
Within 1 year 79,750,626.59 845,356.65 1.06
1 to 2 years 419,452.50 93,244.29 22.23
Total 80,170,079.09 938,600.94 1.17
Criteria of and note to recognition of provision for bad debts based on portfolio:
"□ Applicable" "√ Not applicable"
If the provision for bad debt is accrued in accordance with the general model of expected credit loss,
please refer to the disclosure of other receivables
175 / 187
2021 Annual Report
"□ Applicable" "√ Not applicable"
(3)Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount of movement during the reporting period
Charg
Opening Other Ending
Categories Recovery or e-off or
balance Provision chan balance
reversal write-
ges
off
Assessed bad
debt provision 8,773,700.51 1,455,630.15 9,290,729.72 938,600.94
in portfolio
Total 8,773,700.51 1,455,630.15 9,290,729.72 938,600.94
Where the significant amount of the reserve for bad debt recovered or reversed:
"□ Applicable" "√ Not applicable"
(4)Accounts receivable actually written off in the reporting period
"□ Applicable" "√ Not applicable"
Where, the important accounts receivable written-off
"□ Applicable" "√ Not applicable"
(5)Accounts receivable owed by the top five debtors based on the ending balance
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Proportion in total
ending balance of Ending balance of the
Organization name Ending balance
accounts receivable provision for bad debts
(%)
Customer 1 9,414,533.53 10.33 99,794.06
Customer 2 6,400,610.04 7.02 67,846.47
Customer 3 5,405,316.32 5.93 57,296.35
Customer 4 5,400,297.20 5.93 57,243.15
Customer 5 4,818,993.85 5.29 51,081.33
Total 31,439,750.94 34.50 333,261.36
(6)Account receivable with recognition terminated due to transfer of financial assets
"□ Applicable" "√ Not applicable"
(7)Amount of assets and liabilities formed through transfer of account receivable and continuing to
be involved
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
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2021 Annual Report
2. Other receivables
Items Presentation
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Interest receivables 255,452.31 928,998.18
Dividends receivable
Other receivables 226,578,880.94 53,414,685.27
Total 226,834,333.25 54,343,683.45
Other notes:
"□ Applicable" "√ Not applicable"
Interest receivables
(1)Classification of interest receivable
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Ending balance Opening balance
Interest of accounts receivable 255,452.31 928,998.18
Total 255,452.31 928,998.18
(2)Significant overdue interest
"□ Applicable" "√ Not applicable"
(3)Provision for bad debts
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
(4)Dividend receivable
"□ Applicable" "√ Not applicable"
(5)Significant dividends receivable with age exceeding 1 year
"□ Applicable" "√ Not applicable"
(6)Provision for bad debts
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
Other receivables
(1)Disclosed based on aging
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Aging Ending book balance
Within 1 year
Where: Itemized within 1 year
177 / 187
2021 Annual Report
Within 1 year 225,965,632.81
Sub-total within 1 year 225,965,632.81
1 to 2 years 48,200.33
2 to 3 years 480,000.00
Over 3 years 99,394.50
Total 226,593,227.64
(2)Classification based on the nature of fund
"□ Applicable" "√ Not applicable"
(3)Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Stage 1 Stage 2 Stage 3
Lifetime Lifetime expected
12-month expected credit losses
Bad debt provision Total
expected credit losses (no (credit
credit losses credit impairment impairment
incurred) already incurred)
Balance as at January 1, 2021 25,242.08 7,697.25 32,939.33
Balance as at January 1, 2021
25,242.08 7,697.25 32,939.33
in the reporting period
-- transferred into Stage 2
-- transferred into Stage 3
-- revered to Stage 2
-- reversed to Stage 1
Accrual 14,346.70 14,346.70
Reversal 25,242.08 7,697.25 32,939.33
Transfer out
Write-off
Other changes
Balance as at December 31,
14,346.70 14,346.70
2021
Note to the significant changes in the book balance of other receivables with changes in provision for
loss in the reporting period:
"□ Applicable" "√ Not applicable"
The amount of provision for bad debts in the reporting period and the basis for assessing whether the
credit risk of financial instruments has increased significantly
"□ Applicable" "√ Not applicable"
(4)Provision for bad debts
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Categories Amount of movement during the reporting period
178 / 187
2021 Annual Report
Opening Recovery or Charge-off Other Ending
Provision
balance reversal or write-off changes balance
Bad debt provision 32,939.33 14,346.70 32,939.33 14,346.70
Total 32,939.33 14,346.70 32,939.33 14,346.70
Where a significant amount of the reserve for bad debt recovered or reversed during the reporting
period:
"□ Applicable" "√ Not applicable"
(5)Other receivables actually written off in the reporting period
"□ Applicable" "√ Not applicable"
(6)Other receivables owed by the top five debtors based on the ending balance
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Proportion in total
Organization
Nature of Payment Ending balance Aging ending balance of
name
other receivables
Customer 1 Inter company accounts 160,000,000.00 Within 1 year 70.61
Customer 2 Inter company accounts 28,032,897.30 Within 1 year 12.37
Customer 3 Inter company accounts 25,000,000.00 Within 1 year 11.03
Customer 4 Inter company accounts 4,400,360.00 Within 1 year 1.94
Customer 5 Inter company accounts 3,937,340.11 Within 1 year 1.74
Total / 221,370,597.41 / 97.69
(7)Accounts receivable involving government subsidy
"□ Applicable" "√ Not applicable"
(8) Other receivables with recognition terminated due to transfer of financial assets
"□ Applicable" "√ Not applicable"
(9) Amount of assets and liabilities formed through transfer of other receivables and continuing to
be involved
"□ Applicable" "√ Not applicable"
Other notes:
"□ Applicable" "√ Not applicable"
3. Long-term equity investments
Applicable □Not applicable
In:Yuan Currency:RMB
Ending balance Opening balance
Provision Provision
Items for for
Book balance Book value Book balance Book value
impairmen impairmen
t t
Investment 774,596,113.0 774,596,113.0 660,502,012.0 660,502,012.0
in 8 8 8 8
subsidiarie
s
179 / 187
2021 Annual Report
Investment
in
100,350,602.4 100,350,602.4
associates 32,946,576.25 32,946,576.25
1 1
and joint
ventures
874,946,715.4 874,946,715.4 693,448,588.3 693,448,588.3
Total
9 9 3 3
(1)Investment in subsidiaries
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Provision Ending
Decrease for balance of
Opening Increase in the in the impairment the
Investees Ending balance
balance reporting period reporting in the provision
period reporting for
period impairment
Aima Nanfang 100,000,000.00 100,000,000.00
Henan Aima 5,676,019.01 5,676,019.01
Guangdong 2,838,009.50
2,838,009.50
Aima
Jiangsu Aima 495,706,179.13 495,706,179.13
Zhejiang Aima 2,838,009.50 2,838,009.50
Tianjin 9,933,033.27
9,933,033.27
Vehicle
Sichuan Aima 10,211,400.00 10,211,400.00
Wuxi Zhuoyue 600,000.00 600,000.00
Xiaopa 1,240,000.00
1,240,000.00
Technology
Tianjin Jinge 1,203,080.50 208,000.00 1,411,080.50
Ningbo
Venture 10,000,000.00 10,000,000.00
Capital
Zhejiang
1,000,000.00 1,000,000.00
Technology
Chongqing
50,000,000.00 50,000,000.00
Vehicle
Tianjin Sports 10,000,000.00 10,000,000.00
Xiaoma 8,500,000.00
8,500,000.00
Network
Aima Share 5,100,000.00 3,486,100.00 8,586,100.00
Tianjin 2,156,281.17
2,156,281.17
Suiwanwan
180 / 187
2021 Annual Report
Guangxi Aima
Taizhou Aima 50,000,000.00 50,000,000.00
Tianjin Tianli 4,500,000.00 1.00 4,500,001.00
Total 660,502,012.08 114,694,101.00 600,000.00 774,596,113.08
(2)Investment in associates and joint ventures
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Increase/ Decrease (+ / -) in the reporting period Ending
Investmen balance of
other Other Provision
Investment Opening t income Cash Ending the
compreh equity for
In:Yuan Balance Increase Decrease under the dividend Others Balance provision
ensive moveme impairmen
equity declared for
income nt t
method impairment
I. Joint Venture
II. Associates
TODAY 13,298,705.15 -1,729,310.83 11,569,394.32
SUNSHIN
E
Tianjin 19,647,871.10 651,728.75 5,724,000.00 14,575,599.85
Gamma
Shandong 22,717,737.96 -3,462,453.52
19,255,284.44
Grand
Taizhou 90,000,000.00
-35,049,676.20 54,950,323.80
Jinfu
Sub-total 32,946,576.25 112,717,737.96 -39,589,711.80 5,724,000.00 100,350,602.41
Total 32,946,576.25 112,717,737.96 -39,589,711.80 5,724,000.00 100,350,602.41
4. Operating revenue and costs
(1) Operating revenue and costs
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the reporting period Amount incurred in the previous period
Items
Income Cost Income Cost
Primary
10,790,139,364.31 10,568,578,183.78 11,691,239,077.41 11,456,068,148.48
business
Other
153,088,794.92 109,794,528.45 103,417,213.12 90,108,541.13
businesses
Total 10,943,228,159.23 10,678,372,712.23 11,794,656,290.53 11,546,176,689.61
(2)Revenue arising from contracts
"√ Applicable" "□ Not applicable"
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2021 Annual Report
In:Yuan Currency:RMB
Classification of Contracts Total
Types of commodities
Revenue from electric two-wheelers, electric Tricycle, 10,790,139,364.31
bicycles and accessories
Other revenue 109,159,670.70
Classification based on the operation regions
China Mainland 10,832,090,471.06
Other countries or regions 67,208,563.95
Time classification based on transfer of commodities
Sales of goods 10,790,139,364.31
Revenue from materials 48,771,115.92
Others 40,665,776.57
After-sale service revenue 19,722,778.21
Total 10,899,299,035.01
Description of revenue arising from contracts
"□ Applicable" "√ Not applicable"
(3) Note to performance obligations
"√ Applicable" "□ Not applicable"
1) Sales of goods
The performance obligation is satisfied upon delivery of the products to customers. For sales by
distributors, most customers need to prepay the price, and the contract price for some customers usually
expires within 1 year after delivery of the product.
(4)Note to apportioning to the residual performance obligations
"√ Applicable" "□ Not applicable"
At the end of the reporting period, the amount of revenue corresponding to the performance obligations
of the contracts which have been signed, but not yet performed or not yet completed is RMB158,708,940.97.
Other notes:
The revenue recognized in the current year included in the book value of contract liabilities at the
beginning of the year is as follows:
In: RMB
Items 2021 2020
Sales of goods 87,057,363.44 153,430,562.75
5. Investment income
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Amount incurred in the Amount incurred in
Items
reporting period the previous period
Long-term equity investment income under 536,570,000.00 323,263,748.17
the cost method
Long-term equity investment income under
-39,589,711.80 10,372,839.35
the equity method
Gains from disposal of long-term equity
investment -600,000.00
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2021 Annual Report
Return on investment from financial 14,815,576.27 47,092,278.45
products
Total 511,195,864.47 380,728,865.97
6. Others
"□ Applicable" "√ Not applicable"
XVIII. Supplementary Information
1. Statement of non-recurring gain or losses in the reporting period
"√ Applicable" "□ Not applicable"
In:Yuan Currency:RMB
Items Amount
Profit or loss from disposal of non-current assets -12,713,091.69
Government grants recognised in during profit or loss (excluding those having close
relationship with the Company’s normal business, conforming to the national policies
34,294,933.55
and regulations and enjoying ongoing fixed amount or quantity according to certain
standard)
The investment costs for acquiring subsidiaries, associates and joint ventures were
less than the income generated by the fair value of the identifiable net assets of the 3,497,737.94
investee at the time of acquiring the investment.
Except for the effective hedging business related to the ordinary business of the
Company, changes in fair value of financial assets and financial liabilities held for
trading, as well as the return on investment generated from the disposal of 9,978,187.68
financial assets and financial liabilities held for trading and financial assets at fair
value through other comprehensive income
Net non-operating income or expenses other than the above items 6,361,478.19
Other gain or loss in compliance with the definition of non-recurring gain or loss. 22,292,050.35
Less: Amount affected by the income tax 15,927,824.01
Total 47,783,472.01
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No. 1
on Information Disclosure for Companies Offering their Securities to the Public – Non-recurring gain/loss
and its non-recurring gain/loss items as illustrated in the Explanatory Announcement No. 1 on Information
Disclosure for Companies Offering their Securities to the Public – Non-recurring gain/loss which have been
defined as recurring gain/loss, it is necessary to explain the reason.
"□ Applicable" "√ Not applicable"
2. ROE and EPS
"√ Applicable" "□ Not applicable"
Net return on Earnings per share
Profit in the reporting period equity, weighted Basic earnings Diluted earnings
average (%) per share per share
Net profit attributable to owners of the
17.46 1.79 1.79
parent
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2021 Annual Report
Net profit attributable to owners of the
parent excluding non-recurring gains or 16.31 1.66 1.66
losses
3. Difference in the Accounting Data based respectively on the Chinese Accounting Standards (CAS)
and International Accounting Standards (IAS)
"□ Applicable" "√ Not applicable"
4. Others
"□ Applicable" "√ Not applicable"
Chairman of the Board: Zhang Jian
The Report was approved by the Board of Directors. Date of the submission 4/14/2022
Revision information
"□ Applicable" "√ Not applicable"
184 / 187
