The Third Quarter Report in 2020
Stock Code: 688007 Stock Short Name: Appotronics
Appotronics Corporation Limited
The Third Quarter Report in 2020
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The Third Quarter Report in 2020
CONTENT
I. Important Notes............................................................................................ 3
II. Basic Information ....................................................................................... 3
III. Significant Events ...................................................................................... 8
IV. Annex ........................................................................................................ 16
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The Third Quarter Report in 2020
I. Important Notes
1.1 The Board of Directors, the Board of Supervisors, directors, supervisors and senior officers of the
Company hereby warrant that the information contained in this Quarter Report is true, accurate and
complete and this Quarter Report is free from any misrepresentation, misleading statement or
material omission, and agree to assume joint and several liability for this Quarter Report.
1.2 All directors of the Company attended the meeting of the Board of Directors for deliberation of this
Quarter Report.
1.3 BO Lianming, Principal of the Company; ZHAO Ruijin, the Person in Charge of the Accounting
Body; and WEI Yanlin, the Chief Accountant (the Person in Charge of Accounting) hereby
represent that the financial statements contained in this Quarter Report are true, accurate and
complete.
1.4 The Company's third quarter report has not been audited.
II. Basic Information
2.1 Major financial data
In RMB
Changes at the end of the
At the end of the
At the end of the prior year reporting period from the
reporting period
end of the prior year (%)
Total assets 3,064,551,514.66 3,099,508,090.85 -1.13
Net assets
attributable to
shareholders of 2,012,293,789.69 1,974,559,837.64 1.91
the listed
company
From the beginning of From the beginning of the
the year to the end of prior year to the end of the Changes over the same
the reporting period reporting period of the prior period of the prior year (%)
(Jan.-Sep.) year (Jan.-Sep.)
Net cash flow
from operating 113,316,743.29 54,312,138.69 108.64
activities
From the beginning of From the beginning of the Changes over the same
the year to the end of prior year to the end of the period of the prior year (%)
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The Third Quarter Report in 2020
the reporting period reporting period of the prior
(Jan.-Sep.) year (Jan.-Sep.)
Operating 1,238,398,708.87 1,351,772,312.07 -8.39
income
Net profits
attributable to
shareholders of 44,138,225.23 124,130,427.05 -64.44
the listed
company
Net profits
attributable to
shareholders of
the listed
-11,822,043.71 90,158,518.82 -113.11
company after
deduction of
non-recurring
profits or losses
Weighted
average return on 2.21 12.21 Decrease by 10%
net assets (%)
Basic earnings -67.74
per share 0.10 0.31
(RMB/share)
Diluted earnings -67.74
per share 0.10 0.31
(RMB/share)
Proportion of
R&D
investments to Increase by 1.67%
11.83 10.16
the operating
income (%)
Operating Analysis
In the third quarter, the Company recovered nicely, represented by a positive year-on-year growth in
operating income and continuous improvement in profitability. Revenue in the third quarter amounted to
RMB 522 million, achieving a positive growth, up 4.81% year on year and 27.68% month on month.
During the reporting period, the net cash flow from operating activities was RMB 113 million, up
108.64% year on year.
1.The Company has demonstrated the strength of operations in fields of commercial education and
engineering since household business developed fast and cinema business recovered continuously. In the
third quarter, the Company’s revenue in non-cinema businesses was RMB 450 million overall, up 58.47%
year on year and 21.71% month on month, in which household products achieved a revenue amounting to
RMB 250 million, up 138.45% year on year. During the reporting period, the Company’s key subsidiary,
Fengmi (Beijing) Technology Co., Ltd., as successfully introduced strategic investments, further
accelerated the outbreak of laser display technology applications and promoted the rapid development of
the laser display industry. The Company’s cinema business revived strongly, as the revenue from the
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The Third Quarter Report in 2020
cinema service recovering to 9.47%, 64.91% and 83.16% of that in the same period of last year in July,
August and September respectively. With normal services available in cinemas, the Company has
resumed its cinema service businesses basically.
2. The Company has achieved milestones in patent operation, including authorizing patent licenses to
enterprises in intelligent projection industry with advanced and efficient core devices supplied, and
concluding strategic cooperation agreements with partners, in which the partners would continue to
purchase core device products from the Company in next five years, playing important roles for the
development of the Company’s core device business. These milestones are significant signs to evidence
the Company’s persistence on exploring operation mode of intellectual property rights and great efforts to
protect core technology achievements, and further confirm the Company’s leading role in original laser
display technology.
3. The Company has made breakthrough progress in new products. The 100-inch flexible Fresnel
anti-light screen firstly launched by the Company globally, has greatly enhanced the display effect by
adopting the ALFA technology independently developed by the Company which was in advance in light
shaping and light absorption, and by practicing the micro-nano structure and nano-coating design.
Comparing with traditional products, this product is significantly advantaged in costs and performance.
Now, as the Company can produce this product in mass, consumers will enjoy portable large-screen
interactive entertainment experience due to its accessibility to various application scenarios.
4. Despite the impact of the COVID-19, the Company continues to make more investments in research
and development in emerging areas, and has established the AR Division for providing a broad platform
for the exploration of the “next curve” as technology innovation is the foot-stone of any enterprise. In the
third quarter, the Company’s R&D expenses were RMB 59,262,400, up 23.26% year on year. The
Company has obtained 45 new domestic and foreign authorized patents, and applied 68 new domestic and
foreign patents, including 55 domestic and foreign invention patents, and 31 new PCT international
patents.
Items and amounts of non-recurring profit or loss
√Applicable □ N/A
In RMB
Amount of the From the beginning of the
Item current period year to the end of the Description
(Jul.-Sep.) reporting period (Jan.-Sep.)
Profit or loss on disposal of
162,789.52 208,729.85
non-current assets
Government grants recognized in
profit or loss other than grants which
are closely related to the Company’s
business and are either in fixed 3,983,553.27 33,835,240.75
amounts or determined under
quantitative methods in accordance
with the national standard
Net profit or loss of subsidiaries from
the beginning of the period up to the 5,827,864.14 17,483,592.42
business combination date
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The Third Quarter Report in 2020
recognized as a result of business
combination of enterprises involving
entities under common control
Profit or loss on changes in the fair
value of held-for-trading financial
assets, derivative financial assets,
held-for-trading financial liabilities
and derivative financial liabilities and
investment income on disposal of
held-for-trading financial assets,
1,934,383.56 12,759,177.27
derivative financial assets,
held-for-trading financial liabilities,
derivative financial liabilities and
other debt investments, other than
those used in the effective hedging
activities relating to normal operating
business
Other non-operating income or
596,713.59 230,307.70
expenses other than the above
Effects attributable to minority
-263,601.44 -2,201,678.67
interests (net of tax)
Income tax effects -841,371.79 -6,355,100.38
Total 11,400,330.85 55,960,268.94
2.2 Total number of shareholders, and the shareholding of top ten shareholders and top ten unrestricted
shareholders as of the end of reporting period
In Share
Total number of shareholders (account) 16,247
The shareholding of top ten shareholders
Number of Description
restricted of pledge or
shares freeze
Number of
Number of including
Shareholder name shares held Proport Nature of
restricted shares leased If
(full name) at the end of ion (%) Nu shareholders
shares held out for pledged
the period mb
refinancing or
er
business frozen
Non-state-ow
Shenzhen
ned
Appotronics 79,762,679 17.66 79,762,679 79,762,679 No 0
corporation
Holdings Limited
in China
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The Third Quarter Report in 2020
SAIF IV Hong
Kong (China Oversea
58,707,119 13.00 0 0 No 0
Investments) corporation
Limited
CITIC PE
Investment (Hong Oversea
41,774,562 9.25 0 0 No 0
Kong) 2016 corporation
Limited
Nantong Strait
Appotronics
25,064,737 5.55 0 0 No 0 Other
Investment
Partnership (LP)
Shenzhen Yuanshi
Laser Industrial
Investment 24,139,500 5.35 24,139,500 24,139,500 No 0 Other
Consulting
Partnership (LP)
Shenzhen
Appotronics Daye
20,430,250 4.52 20,430,250 20,430,250 No 0 Other
Investment
Partnership (LP)
GREEN FUTURE
Oversea
HOLDINGS 16,504,518 3.66 0 0 No 0
corporation
LIMITED
Shenzhen
Appotronics
15,662,374 3.47 15,662,374 15,662,374 No 0 Other
Hongye Investment
Partnership (LP)
Shenzhen Jinleijing
Investment Limited 12,353,106 2.74 12,353,106 12,353,106 No 0 Other
Partnership (LP)
Shenzhen
Chengguhui Equity
10,443,640 2.31 0 0 No 0 Other
Investment
Partnership (LP)
The shareholding of top ten shareholders of non-restricted shares
Shareholder name Number of unrestricted Category and number of shares
circulating shares Category Number
SAIF IV Hong Kong (China RMB ordinary
58,707,119 58,707,119
Investments) Limited shares
CITIC PE Investment (Hong Kong) RMB ordinary
41,774,562 41,774,562
2016 Limited shares
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The Third Quarter Report in 2020
Nantong Strait Appotronics RMB ordinary
25,064,737 25,064,737
Investment Partnership (LP) shares
GREEN FUTURE HOLDINGS RMB ordinary
16,504,518 16,504,518
LIMITED shares
Shenzhen Chengguhui Equity RMB ordinary
10,443,640 10,443,640
Investment Partnership (LP) shares
SMART TEAM INVESTMENT RMB ordinary
6,799,660 6,799,660
LIMITED shares
RMB ordinary
CAI Kunliang 6,106,243 6,106,243
shares
ShenZhen Xiaoxiang Junyi Asset
Management Co., Ltd. -Junyi RMB ordinary
5,849,872 5,849,872
Private Placement No.1 Privately shares
Offered Investment Funds
RMB ordinary
ZHENG Yongshi 5,833,817 5,833,817
shares
Shenzhen Liansong Capital
RMB ordinary
Management Limited Partnership 5,833,817 5,833,817
shares
(LP)
Explanation for related-party As of the end of the reporting period, the Company has received no
relationship or concerted actions statement from aforementioned shareholders to confirm there is a
among aforementioned related-party relationship or concerted action, except the concerted
shareholders action among Shenzhen Appotronics Holdings Limited, Shenzhen
Yuanshi Laser Industrial Investment Consulting Partnership (LP),
Shenzhen Appotronics Daye Investment Partnership ( LP), Shenzhen
Appotronics Hongye Investment Partnership (LP), and Shenzhen
Jinleijing Investment Limited Partnership (LP).
Explanation on preferred N/A
shareholders of voting power
recovered and shareholding
numbers
2.3 Total number of preferred shareholders, and the shareholding of top ten preferred shareholders and
top ten unrestricted preferred shareholders as of the end of reporting period
□ Applicable √ N/A
III. Significant Events
3.1 Significant changes in the Company’s main accounting line items and financial highlights and
reasons thereof
√Applicable □ N/A
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The Third Quarter Report in 2020
1. Changes in line items of the balance sheet and reasons thereof
In RMB
Item September 30, December 31, Proportion of Reason for change
2020 2019 change (%)
Primarily due to increased
oversea investments, more
Cash and payments used for purchase of
875,858,784.5
bank 483,912,743.79 -44.75 wealth management products,
8
balances and repayment of certain
borrowings in the current
period
Primarily due to changes in
product sales structure and
Accounts 176,035,155.2
99,577,072.66 -43.43 model in the current reporting
receivable 4
period as influenced by
COVID-19
Primarily due to receipt of more
Receivable
12,362,600.00 1,980,500.00 524.22 bank acceptance bills in the
s financing
current period
Primarily due to increased
material safety stock in
Inventorie 299,966,170.3 response to COVID-19 and
477,741,934.81 59.27
s 5 increased stock of finished
goods in response to growth in
the household business
Primarily due to the
Contract
2,953,407.97 - N/A implementation of the new
assets
revenue standard
Primarily due to recognition of
Long-term revenue from sales of
receivable 12,746,195.72 - N/A products by installment with a
s financing nature in the current
period
Long-term Primarily due to recognition of
equity 139,534,371.9 investment in GDC and
271,239,198.05 94.39
investment 4 changes in investment income
s
Primarily due to the increased
Constructi
investments in construction in
on in 36,727,517.41 20,132,004.07 82.43
progress of the headquarter
progress
building in the current period
Notes 116,480,308.72 37,335,841.79 211.98 Primarily due to more
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The Third Quarter Report in 2020
payable payments made by bank
acceptance bills in the current
period
Primarily due to the
Contract
39,375,031.62 - N/A implementation of the new
liabilities
revenue standard
Employee Primarily due to the payment of
benefits 18,451,259.89 50,586,932.71 -63.53 2019 year-end bonus in the
payable current period
Primarily due to the decreased
Taxes payment of enterprise income
15,633,660.66 42,924,647.79 -63.58
payable tax and the decline in taxes
payable in the current period
Primarily due to increased
government grants payable to
Other cooperative entities and
33,606,944.36 14,364,076.43 133.97
payables borrowings made by
subsidiaries from minority
shareholders
Non-curre Primarily due to the increased
nt balance on long-term
liabilities 144,256,472.46 64,968,795.02 122.04 borrowings due within one year
due within
one year
Primarily due to increased
Other output VAT to be recognized
current 3,481,306.95 - N/A in contractual liabilities caused
liabilities by the implementation of the
new revenue standard
Primarily due to increased
Long-term balance on non-current
279,615,107.2
borrowing 72,269,365.00 -74.15 liabilities due within one year
7
s transferred from long-term
borrowings
Primarily due to the provision
Provisions 36,085,966.30 27,072,676.49 33.29 made for three-guarantee
services not yet incurred
Primarily due to deferred tax
Deferred
liabilities recognized for
tax 1,897,071.51 - N/A
income of installment
liabilities
collection
2. Changes in line items of the income statement and reasons thereof
In RMB
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The Third Quarter Report in 2020
Item For the period For the period Proportio Reason for change
from January 1, from January 1, n of
2020 to 2019 to change
September 30, September 30, (%)
2020 2019
Primarily due to decreased loan
Financial
9,040,635.11 24,776,270.90 -63.51 interest expenses and increased
expenses
deposit interest income
Primarily due to increased
Other income 38,477,908.99 21,665,297.88 77.60 government grants recognized in the
current period
Primarily due to receipt of
Non-operating
876,830.38 3,054,939.31 -71.30 compensations for litigation
income
settlement in the prior period
Primarily due to the decreased
Income tax current tax expenses caused by less
18,096,689.22 52,507,610.31 -65.54
expenses profits before tax in the current
period
Primarily due to decreased gross
profits, since the Company became
less profitable as a result of decreased
Net profits 16,647,218.80 160,004,297.63 -89.60 cinema service businesses due to
COVID-19 and changes in the
Company’s product structure in the
current period
Net profits
attributable to
Primarily due to decreases in net
shareholders of 44,138,225.2 124,130,427.05 -64.44
profits
the Parent
Company
Profits or losses
Primarily due to losses from
attributable to
-27,491,006.43 35,873,870.58 -176.63 subsidiaries controlled by the
minority
Company in the current period
shareholders
Other
Primarily due to changes in exchange
comprehensive
differences on translation of financial
income that can
statements denominated in foreign
be attributable
2,205,949.42 5,330,380.33 -58.62 currencies and other comprehensive
to owners of the
income from translation of financial
Parent
statement of the investee caused by
Company, net of
exchange fluctuations
tax
Other 6,635,497.46 - N/A Primarily due to increases in other
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The Third Quarter Report in 2020
comprehensive comprehensive income of the
income that can investee that can be recognized and
be reclassified transferred to profit or loss in the
to profit or loss current period
under the equity
method
Exchange
differences on
translation of
financial Primarily due to exchange
-4,429,548.04 5,330,380.33 -183.10
statements fluctuations
denominated in
foreign
currencies
Primarily due to the decline in
Basic earnings earnings per share caused by
0.10 0.31 -67.74
per share decreased net profits attributable to
shareholders of the listed Company
3. Changes in line items of the cash flow statement and reasons thereof
In RMB
For the period For the period
from January 1, from January 1, Proportion
Item 2020 to 2019 to of change Reason for change
September 30, September 30, (%)
2020 2019
Primarily due to the increased amount
Net cash flow of collection from businesses,
from operating 113,316,743.29 54,312,138.69 108.64 decreased expenditures under
activities reasonable control, and decreased
payments of taxes and levies
Primarily due to no equity capital
contributed to the Company in the
Net cash flow
-181,011,186.9 1,000,513,933.9 current period while a number of funds
from financing -118.09
0 5 raised in the prior period by IPO, and
activities
repayment of bank borrowings in
succession
Effect of
Primarily due to exchange profit or
foreign
loss and the exchange differences on
exchange rate -3,483,946.39 3,876,393.28 -189.88
translation of financial statements
changes on cash
denominated in foreign currencies
and cash
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The Third Quarter Report in 2020
equivalents
3.2 Description of analysis on progresses of significant events and their influences and solutions
√Applicable □ N/A
(I) Litigation
1.Civil litigation and arbitration cases where the Company acted as a defendant
Cause of Amount
Case No. Plaintiff Defendant/Appellee Patents involved Progress
action involved
Appotronics
Corporation Limited;
(2019) Yue 73 Infringement Delta
Shenzhen Futian RMB Suspension
Zhi Min Chu of patent rights Electronics, ZL201610387831.8
Suopuni Projection 16,145,300 of hearing
No.662 of inventions Inc.
Video System
Commercial Firm
(2019) Jing 73 RMB Pending
Min Chu ZL201410249663.7 16,010,000
No.1275
Infringemen Fengmi (Beijing)
(2019) Jing 73 Delta RMB Pending
t of patent Technology Co.,
Min Chu Electronics, ZL201610387831.8 16,010,000
rights of Ltd.; Appotronics
No.1276 Inc.
inventions Corporation Limited
(2019) Jing 73 RMB Pending
Min Chu ZL201010624724.5 16,010,000
No.1278
As of the disclosure date of the report, there have been 4 civil litigation cases where the Company
was a defendant, with details as below:
2.Civil litigation and arbitration cases where the Company acted as a plaintiff
As of the disclosure date of the report, there have been 45 civil litigation cases where the Company
acted as a plaintiff. In these cases, 43 cases were caused by infringement of invention patents with relevant
claims as follows: requiring the defendant to stop infringing the Company’s patents for invention and
destroy the equipment and mold, etc. used to produce the infringed products; requiring the defendant to
compensate the plaintiff with economic losses and reasonable expenses incurred for stopping the
infringement, and to bear the joint and several liability. No other credit and debt disputes were involved.
And 2 cases were brought for correcting the inventors of the patents, with relevant claims of correcting LI
Yi and HU Fei as the inventors of the US Patent No. 9,024,241 and the China Patent No.
ZL201610387831.8.
3. Progress on cases.
(1) In March 2020, the Company concluded the Mediation Agreement with Casio Computer Co.,
Ltd., pursuant to which both parties voluntarily reached a mediation on a number of litigation cases, and
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The Third Quarter Report in 2020
withdrew relevant cases respectively. As of the disclosure date of the report, the withdrawal of cases by
both parties has been completed.
(2) In August 2020, the Company concluded the Mediation Agreement with Chengdu Xgimi
Technology Co., Ltd., pursuant to which both parties voluntarily reached a mediation on a number of
litigation cases, and withdrew relevant cases respectively. As of the disclosure date of the report, the
withdrawal of cases by both parties has been completed.
(3) The Company has received the Civil Judgement ((2019) Jing 73 Min Chu No.1277) decided by
Beijing Intellectual Property Court in September 2020, in which Beijing Intellectual Property Court
rejected the litigation brought by the plaintiff (Delta) against the defendant (the Company) for
infringement of invention patents since the patents involved in this case was announced as invalidate by
China National Intellectual Property Administration.
(II) Invalidation plea
1. Invalidation plea cases where the Company acted as a patentee
As of the disclosure date of the report, there have been 2 invalidation plea cases where the Company
acted as a patentee, with details as below:
Serial Case code Current Patent No. Petitioner for Remark
No. Patentee involved invalidation
1 4W110045 Appotronics ZL200880107739.5 Delta China National Intellectual Property
Corporation Electronics Administration accepted the
Limited (Shanghai) Co., invalidation plea. Details were
Ltd. disclosed in 2020-007 Temporary
Announcement.
2 4W110680 Appotronics ZL200880107739.5 WEI Qun China National Intellectual Property
Corporation Administration accepted the
Limited invalidation plea. Details were
disclosed in 2020-045 Temporary
Announcement.
2. Invalidation plea cases where the Company acted a petitioner
As of the disclosure date of the report, there have been 3 invalidation plea cases where the Company
acted as a petitioner, all of which are related to the invalidation plea against patents held by Delta
Electronics, Inc.
3.3 Commitments failed in completion as scheduled within the reporting period
□ Applicable √ N/A
3.4 Warning of the estimate that the accumulated net profits from the beginning of the year to the end of
the next reporting period will be negative or will change significantly comparing with the same
period of the previous year, and description of reasons
□Applicable √ N/A
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The Third Quarter Report in 2020
Company Appotronics Corporation
name Limited
Legal BO Lianming
Representative
Date October 29, 2020
15 / 39
The Third Quarter Report in 2020
IV. Annex
4.1 Financial statements
Consolidated Balance Sheet
September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
Item September 30, 2020 December 31, 2019
Current Assets:
Cash and bank balances 483,912,743.79 875,858,784.58
Balances with clearing agencies
Placements with banks and other
financial institutions
Held-for-trading financial assets 664,000,000.00 540,000,000.00
Derivative financial assets
Notes receivable 3,578,388.84 4,042,559.63
Accounts receivable 99,577,072.66 176,035,155.24
Receivables financing 12,362,600.00 1,980,500.00
Prepayments 35,448,165.42 35,070,999.13
Premiums receivable
Amounts receivable under
reinsurance contracts
Reinsurer’s share of insurance
contract reserves
Other receivables 12,796,292.05 9,618,750.08
Including: Interest receivable
Dividends receivable
Financial assets purchased under
resale agreements
Inventories 477,741,934.81 299,966,170.35
Contract assets 2,953,407.97
Held-for-sale assets
Non-current assets due within one
year
Other current assets 35,010,163.96 44,405,513.30
Total Current Assets 1,827,380,769.50 1,986,978,432.31
Non-current Assets:
Loans and advances
Debt investments
Other debt investments
Long-term receivables 12,746,195.72
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The Third Quarter Report in 2020
Long-term equity investments 271,239,198.05 139,534,371.94
Other equity instrument 11,975,419.38 11,975,419.38
investments
Other non-current financial assets
Investment properties
Fixed assets 450,146,136.15 471,204,340.95
Construction in progress 36,727,517.41 20,132,004.07
Bearer biological assets
Oil and gas assets
Use right assets
Intangible assets 324,511,996.30 332,331,324.07
Development expenditure
Goodwill
Long-term prepaid expenses 13,383,417.40 16,908,070.34
Deferred tax assets 108,168,696.46 109,023,941.85
Other non-current assets 8,272,168.29 11,420,185.94
Total Non-current Assets 1,237,170,745.16 1,112,529,658.54
Total assets 3,064,551,514.66 3,099,508,090.85
Current Liabilities:
Short-term borrowings 54,021,724.03 76,765,319.05
Loans from the central bank
Taking from banks and other
financial institutions
Held-for-trading financial
liabilities
Derivative financial liabilities
Notes payable 116,480,308.72 37,335,841.79
Accounts payable 201,363,644.22 176,624,445.46
Receipts in advance 171,459,573.95 184,444,643.33
Contract liabilities 39,375,031.62
Financial assets sold under
repurchase agreements
Customer deposits and deposits
from banks and other financial
institutions
Funds from securities trading
agency
Funds from underwriting
securities agency
Employee benefits payable 18,451,259.89 50,586,932.71
Taxes payable 15,633,660.66 42,924,647.79
Other payables 33,606,944.36 14,364,076.43
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The Third Quarter Report in 2020
Including: Interest payable
Dividends payable
Fees and commissions payable
Amounts payable under
reinsurance contracts
Held-for-sale liabilities
Non-current liabilities due within 144,256,472.46 64,968,795.02
one year
Other current liabilities 3,481,306.95
Total Current Liabilities 798,129,926.86 648,014,701.58
Non-current Liabilities:
Insurance contract reserves
Long-term borrowings 72,269,365.00 279,615,107.27
Bonds payable
Including: Preferred shares
Perpetual bonds
Leasing liabilities
Long-term payables 3,405,050.00 3,488,100.00
Long-term employee benefits
payable
Provisions 36,085,966.30 27,072,676.49
Deferred income 16,669,272.16 17,108,361.69
Deferred tax liabilities 1,897,071.51
Other non-current liabilities
Total Non-current Liabilities 130,326,724.97 327,284,245.45
Total Liabilities 928,456,651.83 975,298,947.03
Owners’ (or Shareholders’)
equity:
Paid-in capital (or share capital) 451,554,411.00 451,554,411.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserve 1,231,919,941.73 1,207,942,318.37
Less: Treasury shares
Other comprehensive income 5,493,013.27 3,287,063.85
Special reserve
Surplus reserve 22,800,224.13 22,800,224.13
General risk reserve
Retained profits 300,526,199.56 288,975,820.29
Total Owners’(or Shareholders’)
Equity Attributable to Owners of the 2,012,293,789.69 1,974,559,837.64
Parent Company
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The Third Quarter Report in 2020
Minority interests 123,801,073.14 149,649,306.18
Total Owners’ (or
2,136,094,862.83 2,124,209,143.82
Shareholders’) Equity
Total Liabilities and Owners’
3,064,551,514.66 3,099,508,090.85
(or Shareholders’) Equity
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
Balance Sheet of the Parent Company
September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
Item September 30, 2020 December 31, 2019
Current Assets:
Cash and bank balances 216,612,378.99 570,479,390.49
Held-for-trading financial assets 664,000,000.00 540,000,000.00
Derivative financial assets
Notes receivable 2,092,388.84 3,542,559.63
Accounts receivable 463,796,378.00 299,315,776.44
Receivables financing 963,600.00 442,500.00
Prepayments 8,721,611.47 6,410,257.48
Other receivables 66,009,326.55 67,227,575.21
Including: Interest receivable
Dividends receivable
Inventories 181,941,472.22 135,617,379.22
Contract assets 2,922,380.97
Held-for-sale assets
Non-current assets due within one
year
Other current assets 865,332.73 12,280,164.39
Total Current Assets 1,607,924,869.77 1,635,315,602.86
Non-current Assets:
Debt investments
Other debt investments
Long-term receivables 12,746,195.72
Long-term equity investments 396,013,887.97 257,795,276.13
Other equity instrument 7,075,419.38 7,075,419.38
investments
Other non-current financial assets
Investment properties
19 / 39
The Third Quarter Report in 2020
Fixed assets 56,765,974.51 60,391,512.92
Construction in progress 25,048,282.58 1,385,496.59
Bearer biological assets
Oil and gas assets
Use right assets
Intangible assets 323,310,924.93 330,796,423.87
Development expenditure
Goodwill
Long-term prepaid expenses 10,805,041.05 12,771,126.83
Deferred tax assets 10,644,168.16 9,545,438.20
Other non-current assets 8,019,915.94 6,744,453.85
Total Non-current Assets 850,429,810.24 686,505,147.77
Total assets 2,458,354,680.01 2,321,820,750.63
Current Liabilities:
Short-term borrowings 51,888,902.86 10,217,738.36
Held-for-trading financial
liabilities
Derivative financial liabilities
Notes payable 29,637,714.78 37,335,841.79
Accounts payable 202,684,447.31 162,596,838.45
Receipts in advance 3,626,119.84 11,116,659.11
Contract liabilities 18,804,754.20
Employee benefits payable 10,011,782.35 26,985,668.92
Taxes payable 9,235,517.95 1,534,242.70
Other payables 39,949,486.90 42,599,703.36
Including: Interest payable
Dividends payable
Held-for-sale liabilities
Non-current liabilities due within
one year
Other current liabilities 1,111,100.27
Total Current Liabilities 366,949,826.46 292,386,692.69
Non-current Liabilities:
Long-term borrowings
Bonds payable
Including: Preferred shares
Perpetual bonds
Leasing liabilities
Long-term payables 3,405,050.00 3,488,100.00
Long-term employee benefits
payable
Provisions 20,322,447.21 14,631,273.00
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The Third Quarter Report in 2020
Deferred income 14,116,988.26 15,724,174.30
Deferred tax liabilities 1,897,071.51
Other non-current liabilities
Total Non-current Liabilities 39,741,556.98 33,843,547.30
Total Liabilities 406,691,383.44 326,230,239.99
Owners’ (or Shareholders’)
equity:
Paid-in capital (or share capital) 451,554,411.00 451,554,411.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserve 1,337,176,090.85 1,310,939,867.82
Less: Treasury shares
Other comprehensive income
Special reserve
Surplus reserve 21,522,683.40 21,522,683.40
Retained profits 241,410,111.32 211,573,548.42
Total Owners’ (or
2,051,663,296.57 1,995,590,510.64
Shareholders’) Equity
Total Liabilities and Owners’
2,458,354,680.01 2,321,820,750.63
(or Shareholders’) Equity
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
Consolidated Income Statement
For the period from January 1, 2020 to September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
The third The third First three First three
Item quarter in 2020 quarter in 2019 quarters in 2020 quarters in 2019
(Jul.-Sep.) (Jul.-Sep.) (Jan.-Sep.) (Jan.-Sep.)
I. Total operating income 522,373,501.53 498,415,347.23 1,238,398,708.87 1,351,772,312.07
Including: Operating income 522,373,501.53 498,415,347.23 1,238,398,708.87 1,351,772,312.07
Interest income
Premiums earned
Fee and commission
income
II. Total operating costs 492,353,168.32 411,966,261.96 1,248,451,362.20 1,154,091,473.61
Including: Operating costs 362,665,544.45 284,068,967.95 892,453,334.39 795,826,871.07
Interest expenses
21 / 39
The Third Quarter Report in 2020
Fee and commission
expenses
Surrenders
Claims and policyholder
benefits (net of amounts
recoverable from reinsurers)
Net withdrawal of
insurance contract reserves
Insurance policyholder
dividends
Expenses for reinsurance
accepted
Taxes and levies 1,875,651.83 1,366,675.04 4,205,362.39 5,703,626.02
Selling expenses 32,244,998.41 40,911,236.25 83,078,892.91 101,496,726.09
Administrative expenses 35,301,623.47 30,123,132.33 113,115,280.56 88,900,870.55
R&D expenses 59,262,406.09 48,077,619.18 146,557,856.84 137,387,108.98
Financial expenses 1,002,944.07 7,418,631.21 9,040,635.11 24,776,270.90
Including: Interest
4,581,708.83 9,497,830.74 16,194,534.70 27,765,589.66
expense
Interest income 2,747,375.10 930,400.88 7,366,346.43 3,917,258.16
Add: other income 5,555,874.02 4,248,188.77 38,477,908.99 21,665,297.88
Investment income (loss is
883,334.96 1,336,694.88 12,610,023.47 -2,123,921.67
indicated by “-”)
Including: Income from
investments in associates and joint -1,051,048.60 590,426.97 -149,153.80 -2,867,879.34
ventures
Gains from
derecognition of financial assets
at amortized assets
Foreign exchange gains
(loss is indicated by “-”)
Gains from net exposure
hedges (loss is indicated by “-”)
Gains from changes in fair
values (loss is indicated by “-”)
Losses of credit
impairment (loss is indicated by 28,945.51 -1,048,679.97 2,199,052.47 -1,810,440.85
“-”)
Impairment losses of
3,180,219.96 -3,528,161.53 -8,929,461.13 -4,907,457.63
assets (loss is indicated by “-”)
Gains from disposal of
266,622.24 416,243.15
assets (loss is indicated by “-”)
III. Operating profit (loss is 39,935,329.90 87,457,127.42 34,721,113.62 210,504,316.19
22 / 39
The Third Quarter Report in 2020
indicated by “-”)
Add: Non-operating income 606,214.90 724,763.47 876,830.38 3,054,939.31
Less: Non-operating expenses 113,334.03 16,012.88 854,035.98 1,047,347.56
IV. Total profits (total losses are
40,428,210.77 88,165,878.01 34,743,908.02 212,511,907.94
indicated by “-”)
Less: Income tax expenses 15,402,747.80 19,367,396.57 18,096,689.22 52,507,610.31
V. Net profits (net losses are
25,025,462.97 68,798,481.44 16,647,218.80 160,004,297.63
indicated by “-”)
(I) Categorized by the continuity of operation
1. Net profits from
continuing operations (net losses 25,025,462.97 68,798,481.44 16,647,218.80 160,004,297.63
are indicated by “-”)
2. Net profits from
discontinued operations (net
losses are indicated by “-”)
(II) Categorized by the ownership
1.Net profits attributable to
shareholders of the Parent
29,810,782.27 57,550,852.99 44,138,225.23 124,130,427.05
Company (net losses are indicated
by “-”)
2. Profits or losses
attributable to minority
-4,785,319.30 11,247,628.45 -27,491,006.43 35,873,870.58
shareholders (net losses are
indicated by “-”)
VI. Other comprehensive income,
1,196,980.13 5,961,476.67 2,236,630.70 5,526,550.64
net of tax
(I) Other comprehensive
income that can be attributable to
1,192,134.22 5,763,041.54 2,205,949.42 5,330,380.33
owners of the Parent Company,
net of tax
1. Other comprehensive
income that cannot be reclassified
subsequently to profit or loss
(1) Changes from
remeasurement of defined benefit
plans
(2) Other comprehensive
income that cannot be reclassified
to profit or loss under the equity
method
(3) Changes in fair value of
investments in other equity
instruments
23 / 39
The Third Quarter Report in 2020
(4) Changes in fair value of
enterprises’ own credit risks
2.Other comprehensive
income that will be reclassified to 1,192,134.22 5,763,041.54 2,205,949.42 5,330,380.33
profit or loss
(1) Other comprehensive
income that can be reclassified to
6,771,203.77 6,635,497.46
profit or loss under the equity
method
(2) Changes in fair value of
other debt investments
(3) Amount of financial assets
reclassified to other
comprehensive income
(4) Provision for credit
impairment of other debt
investments
(5) Reserve for cash flow
hedges
(6) Exchange differences on
translation of financial statements -5,579,069.55 5,763,041.54 -4,429,548.04 5,330,380.33
denominated in foreign currencies
(7) Others
(II) Other comprehensive
income that can be attributable to 4,845.91 198,435.13 30,681.28 196,170.31
minority shareholders, net of tax
VII. Total comprehensive income 26,222,443.10 74,759,958.11 18,883,849.50 165,530,848.27
(I) Total comprehensive
income that can be attributable to 31,002,916.49 63,313,894.53 46,344,174.65 129,460,807.38
owners of the Parent Company
(II) Total comprehensive
income that can be attributable to -4,780,473.39 11,446,063.58 -27,460,325.15 36,070,040.89
minority shareholders
VIII. Earnings per share:
(I) Basic earnings per share
0.07 0.13 0.10 0.31
(RMB/share)
(II) Diluted earnings per share
0.07 0.13 0.10 0.31
(RMB/share)
For business combination involving entities under common control occurred during the period, net profit
of the acquiree generated before the business combination is nil, and net profit of the acquiree generated in
prior period is nil.
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The Third Quarter Report in 2020
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
Income Statement of the Parent Company
For the period from January 1, 2020 to September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
First three
The third The third First three
Item quarters in
quarter in 2020 quarter in 2019 quarters in
2020
(Jul.-Sep.) (Jul.-Sep.) 2019 (Jan.-Sep.)
(Jan.-Sep.)
I. Operating income 321,136,628.42 307,161,249.72 706,036,006.83 734,845,754.76
Less: Operating costs 210,335,903.75 210,261,659.31 466,996,690.72 500,905,328.28
Taxes and levies 1,391,857.62 902,012.24 2,743,998.63 3,973,767.05
Selling expenses 18,123,753.89 18,079,644.26 45,650,045.32 58,924,010.31
Administrative
24,400,714.23 20,134,847.79 80,711,100.08 59,260,571.86
expenses
R&D expenses 26,576,762.26 28,831,641.70 77,662,616.80 84,997,067.84
Financial
-4,809,654.16 -2,880,026.75 -11,027,775.23 -3,006,419.68
expenses
Including:
283,643.73 2,335,383.75 709,466.06 4,389,365.84
Interest expense
Interest
4,571,775.39 2,935,596.65 13,654,169.54 7,069,117.92
income
Add: other income 4,129,368.65 607,742.78 30,529,269.12 10,475,701.91
Investment
income (loss is indicated 1,934,383.56 743,957.67 12,759,177.27 679,415.34
by “-”)
Including:
Income from
investments in associates
and joint ventures
Gains from
derecognition of
financial assets at
amortized assets
Gains from net
exposure hedges (loss is
indicated by “-”)
Gains from
changes in fair values
25 / 39
The Third Quarter Report in 2020
(loss is indicated by “-”)
Losses of credit
impairment (loss is -2,016,863.43 -871,600.60 -2,161,444.58 -12,156.94
indicated by “-”)
Impairment
losses of assets (loss is 3,899,393.36 -4,198,384.12 -6,700,815.24 -5,699,937.03
indicated by “-”)
Gains from
disposal of assets (loss is
indicated by “-”)
II. Operating profit (loss
53,063,572.97 28,113,186.90 77,725,517.08 35,234,452.38
is indicated by “-”)
Add: Non-operating
412,668.90 724,525.69 665,988.51 3,050,319.64
income
Less: Non-operating
103,832.72 2,883.78 454,220.06 842,320.05
expenses
III. Total profits (total
losses are indicated by 53,372,409.15 28,834,828.81 77,937,285.53 37,442,451.97
“-”)
Less: Income tax
9,475,176.74 4,351,071.49 14,234,141.80 5,609,048.39
expenses
IV. Net profits (net losses
43,897,232.41 24,483,757.32 63,703,143.73 31,833,403.58
are indicated by “-”)
(I) Net profits from
continuing operations
43,897,232.41 24,483,757.32 63,703,143.73 31,833,403.58
(net losses are indicated
by “-”)
(II) Net profits from
discontinued operations
(net losses are indicated
by “-”)
V. Other comprehensive
income, net of tax
(I) Other
comprehensive income
that cannot be
reclassified subsequently
to profit or loss
1.Changes from
remeasurement of
defined benefit plans
2. Other
comprehensive income
26 / 39
The Third Quarter Report in 2020
that cannot be
reclassified to profit or
loss under the equity
method
3.Changes in fair
value of investments in
other equity instruments
4.Changes in fair
value of enterprises’
own credit risks
(II) Other
comprehensive income
that will be reclassified
to profit or loss
1. Other
comprehensive income
that can be reclassified to
profit or loss under the
equity method
2. Changes in fair
value of other debt
investments
3. Amount of
financial assets
reclassified to other
comprehensive income
4.Provision for
credit impairment of
other debt investments
5. Reserve for cash
flow hedges
6. Exchange
differences on
translation of financial
statements denominated
in foreign currencies
7. Others
VI. Total comprehensive
43,897,232.41 24,483,757.32 63,703,143.73 31,833,403.58
income
VII. Earnings per share:
(I) Basic earnings
0.10 0.06 0.14 0.08
per share (RMB/share)
(II) Diluted earnings 0.10 0.06 0.14 0.08
27 / 39
The Third Quarter Report in 2020
per share (RMB/share)
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
Consolidated Cash Flow Statement
For the period from January 1, 2020 to September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
Item First three quarters in 2020 First three quarters in 2019
(Jan.-Sep.) (Jan.-Sep.)
I. Cash Flows from Operating
Activities:
Cash receipts from the sale of goods
1,457,706,115.99 1,524,765,547.43
and the rendering of services
Net increase in customer deposits and
deposits from banks and other financial
institutions
Net increase in loans from the central
bank
Net increase in taking from banks and
other financial institutions
Cash receipts from premiums under
direct insurance contracts
Net cash receipts from reinsurance
business
Net cash receipts from
policyholders’ deposits and investment
contract liabilities
Cash receipts from interest, fees and
commissions
Net increase in taking from banks
Net increase in financial assets sold
under repurchase arrangements
Net cash received from securities
trading agencies
Receipts of tax refunds 5,764,495.55 3,992,454.55
Other cash receipts relating to 131,484,147.03
60,269,533.11
operating activities
Sub-total of cash inflows from 1,594,954,758.57 1,589,027,535.09
28 / 39
The Third Quarter Report in 2020
operating activities
Cash payments for goods purchased 1,026,554,782.15 1,000,432,638.11
and services received
Net increase in loans and advances to
customers
Net increase in balance with the
central bank and due from banks and
other financial institutions
Cash payments for claims and
policyholders’ benefits under direct
insurance contracts
Net increase in placements with banks
and other financial institutions
Cash payments for interest, fees and
commissions
Cash payments for insurance
policyholder dividends
Cash payments to and on behalf of 224,599,412.16 212,824,743.40
employees
Payments of various types of taxes 55,076,208.73 122,094,156.48
Other cash payments relating to 175,407,612.24 199,363,858.41
operating activities
Sub-total of cash outflows from 1,481,638,015.28 1,534,715,396.40
operating activities
Net cash flow from operating 113,316,743.29 54,312,138.69
activities
II. Cash Flows from Investing
Activities:
Cash receipts from disposals and
1,810,000,000.00 193,700,000.00
recovery of investments
Cash receipts from investment income 12,759,177.27 743,957.67
Net cash receipts from disposals of
fixed assets, intangible assets and other 3,600.00 4,467.91
long-term assets
Net cash receipts from disposals of
subsidiaries and other business units
Other cash receipts relating to
investing activities
Sub-total of cash inflows from
1,822,762,777.27 194,448,425.58
investing activities
Cash payments to acquire or construct
fixed assets, intangible assets and other 44,898,632.06 214,874,928.72
long-term assets
29 / 39
The Third Quarter Report in 2020
Cash payments to acquire investments 2,062,213,540.00 1,049,000,000.00
Net increase in pledged loans
receivables
Net cash payments for acquisitions of
subsidiaries and other business units
Other cash payments relating to
investing activities
Sub-total of cash outflows from
2,107,112,172.06 1,263,874,928.72
investing activities
Net cash flow from investing
-284,349,394.79 -1,069,426,503.14
activities
III. Cash Flows from Financing
Activities:
Cash receipts from capital
1,190,000,000.00
contributions
Including: cash receipts from capital
contributions from minority shareholders
of subsidiaries
Cash receipts from borrowings 98,922,683.45 339,450,000.00
Other cash receipts relating to
19,320,000.00
financing activities
Sub-total of cash inflows from
118,242,683.45 1,529,450,000.00
financing activities
Cash repayments of borrowings 248,568,075.70 390,125,379.80
Cash payments for distribution of
dividends or profits or settlement of 50,497,914.29 26,476,981.84
interest expenses
Including: payments for distribution of
dividends or profits to minority
shareholders of subsidiaries
Other cash payments relating to
187,880.36 112,333,704.41
financing activities
Sub-total of cash outflows from
299,253,870.35 528,936,066.05
financing activities
Net cash flow from financing
-181,011,186.90 1,000,513,933.95
activities
IV. Effect of Foreign Exchange Rate
Changes on Cash and Cash -3,483,946.39 3,876,393.28
Equivalents
V. Net Increase in Cash and Cash -355,527,784.79
-10,724,037.22
Equivalents
Add: Opening balance of cash and 829,789,487.86
472,508,550.40
cash equivalents
30 / 39
The Third Quarter Report in 2020
VI. Closing Balance of Cash and Cash 474,261,703.07 461,784,513.18
Equivalents
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
Cash Flow Statement of the Parent Company
For the period from January 1, 2020 to September 30, 2020
Prepared by: Appotronics Corporation Limited
In RMB, Unaudited
Item First three quarters in 2020 First three quarters in
(Jan.-Sep.) 2019 (Jan.-Sep.)
I. Cash Flows from Operating
Activities:
Cash receipts from the sale of goods
623,172,212.09 759,373,200.75
and the rendering of services
Receipts of tax refunds 3,108,523.77
Other cash receipts relating to
185,835,186.09 189,854,012.75
operating activities
Sub-total of cash inflows from
812,115,921.95 949,227,213.50
operating activities
Cash payments for goods purchased
538,963,144.43 478,755,326.24
and services received
Cash payments to and on behalf of
135,740,648.27 134,584,562.50
employees
Payments of various types of taxes 12,715,535.03 45,613,336.41
Other cash payments relating to
135,880,309.94 292,741,755.03
operating activities
Sub-total of cash outflows from
823,299,637.67 951,694,980.18
operating activities
Net cash flow from operating
-11,183,715.72 -2,467,766.68
activities
II. Cash Flows from Investing
Activities:
Cash receipts from disposals and
1,810,000,000.00 194,635,457.67
recovery of investments
Cash receipts from investment income 12,759,177.27 743,957.67
Net cash receipts from disposals of
fixed assets, intangible assets and other 3,600.00
long-term assets
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The Third Quarter Report in 2020
Net cash receipts from disposals of
subsidiaries and other business units
Other cash receipts relating to
283,360.00
investing activities
Sub-total of cash inflows from
1,823,046,137.27 195,379,415.34
investing activities
Cash payments to acquire or construct
fixed assets, intangible assets and other 34,717,483.03 206,491,618.76
long-term assets
Cash payments to acquire investments 2,065,213,540.00 1,084,364,000.00
Net cash payments for acquisitions of
subsidiaries and other business units
Other cash payments relating to 33,440,160.00
investing activities
Sub-total of cash outflows from 2,133,371,183.03 1,290,855,618.76
investing activities
Net cash flow from investing
-310,325,045.76 -1,095,476,203.42
activities
III. Cash Flows from Financing
Activities:
Cash receipts from capital
1,190,000,000.00
contributions
Cash receipts from borrowings 52,241,387.30 132,000,000.00
Other cash receipts relating to
financing activities
Sub-total of cash inflows from
52,241,387.30 1,322,000,000.00
financing activities
Cash repayments of borrowings 10,000,000.00 184,440,000.00
Cash payments for distribution of
dividends or profits or settlement of 34,626,843.26 4,661,973.39
interest expenses
Other cash payments relating to
22,587.36 112,333,704.41
financing activities
Sub-total of cash outflows from
44,649,430.62 301,435,677.80
financing activities
Net cash flow from financing
7,591,956.68 1,020,564,322.20
activities
IV. Effect of Foreign Exchange Rate
Changes on Cash and Cash -34,785.59 1,707,762.33
Equivalents
V. Net Increase in Cash and Cash
-313,951,590.39 -75,671,885.57
Equivalents
Add: Opening balance of cash and 524,648,100.62 295,049,085.02
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The Third Quarter Report in 2020
cash equivalents
VI. Closing Balance of Cash and Cash
210,696,510.23 219,377,199.45
Equivalents
Legal Representative: Person in Charge of the Accounting Body: Chief Accountant:
BO Lianming ZHAO Ruijin WEI Yanlin
4.2 Description of adjustments in opening balances of line items in financial statements of the year due to
the implementation of new revenue standard and new lease standard since 2020
√Applicable □ N/A
Consolidated Balance Sheet
In RMB
Item December 31, 2019 January 1, 2020 Adjusted amount
Current Assets:
Cash and bank balances 875,858,784.58 875,858,784.58
Balances with clearing agencies
Placements with banks and other
financial institutions
Held-for-trading financial assets 540,000,000.00 540,000,000.00
Derivative financial assets
Notes receivable 4,042,559.63 4,042,559.63
Accounts receivable 176,035,155.24 191,622,712.01 15,587,556.77
Receivables financing 1,980,500.00 1,980,500.00
Prepayments 35,070,999.13 35,070,999.13
Premiums receivable
Amounts receivable under
reinsurance contracts
Reinsurer’s share of insurance
contract reserves
Other receivables 9,618,750.08 9,618,750.08
Including: Interest receivable
Dividends receivable
Financial assets purchased under
resale agreements
Inventories 299,966,170.35 283,610,860.13 -16,355,310.22
Contract assets 3,740,605.96 3,740,605.96
Held-for-sale assets
Non-current assets due within
one year
Other current assets 44,405,513.30 42,064,888.10 -2,340,625.20
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The Third Quarter Report in 2020
Total Current Assets 1,986,978,432.31 1,987,610,659.62 632,227.31
Non-current Assets:
Loans and advances
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 139,534,371.94 139,534,371.94
Other equity instrument 11,975,419.38 11,975,419.38
investments
Other non-current financial
assets
Investment properties
Fixed assets 471,204,340.95 471,204,340.95
Construction in progress 20,132,004.07 20,132,004.07
Bearer biological assets
Oil and gas assets
Use right assets
Intangible assets 332,331,324.07 332,331,324.07
Development expenditure
Goodwill
Long-term prepaid expenses 16,908,070.34 16,908,070.34
Deferred tax assets 109,023,941.85 109,023,941.85
Other non-current assets 11,420,185.94 11,420,185.94
Total Non-current Assets 1,112,529,658.54 1,112,529,658.54
Total assets 3,099,508,090.85 3,100,140,318.16 632,227.31
Current Liabilities:
Short-term borrowings 76,765,319.05 76,765,319.05
Loans from the central bank
Taking from banks and other
financial institutions
Held-for-trading financial
liabilities
Derivative financial liabilities
Notes payable 37,335,841.79 37,335,841.79
Accounts payable 176,624,445.46 176,624,445.46
Receipts in advance 184,444,643.33 167,534,200.30 -16,910,443.03
Contract liabilities 15,777,305.81 15,777,305.81
Financial assets sold under
repurchase agreements
Customer deposits and deposits
from banks and other financial
institutions
Funds from securities trading
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The Third Quarter Report in 2020
agency
Funds from underwriting
securities agency
Employee benefits payable 50,586,932.71 50,586,932.71
Taxes payable 42,924,647.79 42,924,647.79
Other payables 14,364,076.43 14,364,076.43
Including: Interest payable
Dividends payable
Fees and commissions payable
Amounts payable under
reinsurance contracts
Held-for-sale liabilities
Non-current liabilities due 64,968,795.02 64,968,795.02
within one year
Other current liabilities 1,133,137.22 1,133,137.22
Total Current Liabilities 648,014,701.58 648,014,701.58
Non-current Liabilities:
Insurance contract reserves
Long-term borrowings 279,615,107.27 279,615,107.27
Bonds payable
Including: Preferred shares
Perpetual bonds
Leasing liabilities
Long-term payables 3,488,100.00 3,488,100.00
Long-term employee benefits
payable
Provisions 27,072,676.49 27,072,676.49
Deferred income 17,108,361.69 17,108,361.69
Deferred tax liabilities
Other non-current liabilities
Total Non-current Liabilities 327,284,245.45 327,284,245.45
Total Liabilities 975,298,947.03 975,298,947.03
Owners’ (or Shareholders’) equity:
Paid-in capital (or share capital) 451,554,411.00 451,554,411.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserve 1,207,942,318.37 1,207,942,318.37
Less: Treasury shares
Other comprehensive income 3,287,063.85 3,287,063.85
Special reserve
Surplus reserve 22,800,224.13 22,800,224.13
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The Third Quarter Report in 2020
General risk reserve
Retained profits 288,975,820.29 290,254,555.17 1,278,734.88
Total Owners’ (or 1,974,559,837.64 1,975,838,572.52 1,278,734.88
Shareholders’) Equity Attributable
to Owners of the Parent Company
Minority interests 149,649,306.18 149,002,798.61 -646,507.57
Total Owners’ (or 2,124,209,143.82 2,124,841,371.13 632,227.31
Shareholders’) Equity
Total Liabilities and
3,099,508,090.85 3,100,140,318.16 632,227.31
Owners’ (or Shareholders’) Equity
Description of adjustments on each item:
√Applicable □ N/A
In accordance with the Accounting Standards for Business Enterprises No.14- Revenue (Cai Kuai
[2017] No. 2) issued by the Ministry of Finance on July 5, 2017, for enterprises listed in domestic and
oversea stock exchange concurrently and enterprises listed overseas with the financial statements prepared
under international financial reporting standards or accounting standards for business enterprises, the new
revenue standard shall be implemented from January 1, 2018; and for other enterprises listed domestically,
the revenue standard shall be implemented from January 1, 2020. As a domestic listed company, the
Company adopted the new revenue standard as at January 1, 2020 on the basis of making adjustments on
the opening balance of relevant items recognized in the financial statements of 2020 with the data in
comparable period unadjusted, according to which: (1) the goods payments received in advance
originally qualified for conditions of “Receipts in advance” were charged to the line item of “Contract
liabilities”; (2) the rights of the Company for collecting the considerations for goods that have been
transferred to customers, which depend on factors other than the lapse of time, were charged to the line
item of “Contract assets”; (3) for goods sold under the model of “profit distribution”, income from
customers received but not recognized were changed as it satisfied the condition of revenue recognition
under the new revenue standard.
Balance Sheet of the Parent Company
In RMB
Item December 31, 2019 January 1, 2020 Adjusted amount
Current Assets:
Cash and bank balances 570,479,390.49 570,479,390.49
Held-for-trading financial 540,000,000.00 540,000,000.00
assets
Derivative financial assets
Notes receivable 3,542,559.63 3,542,559.63
Accounts receivable 299,315,776.44 295,616,359.63 -3,699,416.81
Receivables financing 442,500.00 442,500.00
Prepayments 6,410,257.48 6,410,257.48
Other receivables 67,227,575.21 67,227,575.21
Including: Interest receivable
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The Third Quarter Report in 2020
Dividends receivable
Inventories 135,617,379.22 135,617,379.22
Contract assets 3,699,416.81 3,699,416.81
Held-for-sale assets
Non-current assets due within
one year
Other current assets 12,280,164.39 12,280,164.39
Total Current Assets 1,635,315,602.86 1,635,315,602.86
Non-current Assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 257,795,276.13 257,795,276.13
Other equity instrument 7,075,419.38 7,075,419.38
investments
Other non-current financial
assets
Investment properties
Fixed assets 60,391,512.92 60,391,512.92
Construction in progress 1,385,496.59 1,385,496.59
Bearer biological assets
Oil and gas assets
Use right assets
Intangible assets 330,796,423.87 330,796,423.87
Development expenditure
Goodwill
Long-term prepaid expenses 12,771,126.83 12,771,126.83
Deferred tax assets 9,545,438.20 9,545,438.20
Other non-current assets 6,744,453.85 6,744,453.85
Total Non-current Assets 686,505,147.77 686,505,147.77
Total assets 2,321,820,750.63 2,321,820,750.63
Current Liabilities:
Short-term borrowings 10,217,738.36 10,217,738.36
Held-for-trading financial
liabilities
Derivative financial liabilities
Notes payable 37,335,841.79 37,335,841.79
Accounts payable 162,596,838.45 162,596,838.45
Receipts in advance 11,116,659.11 4,387,326.61 -6,729,332.50
Contract liabilities 6,485,831.14 6,485,831.14
Employee benefits payable 26,985,668.92 26,985,668.92
Taxes payable 1,534,242.70 1,534,242.70
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The Third Quarter Report in 2020
Other payables 42,599,703.36 42,599,703.36
Including: Interest payable
Dividends payable
Held-for-sale liabilities
Non-current liabilities due
within one year
Other current liabilities 243,501.36 243,501.36
Total Current Liabilities 292,386,692.69 292,386,692.69
Non-current Liabilities:
Long-term borrowings
Bonds payable
Including: Preferred shares
Perpetual bonds
Leasing liabilities
Long-term payables 3,488,100.00 3,488,100.00
Long-term employee benefits
payable
Provisions 14,631,273.00 14,631,273.00
Deferred income 15,724,174.30 15,724,174.30
Deferred tax liabilities
Other non-current liabilities
Total Non-current Liabilities 33,843,547.30 33,843,547.30
Total Liabilities 326,230,239.99 326,230,239.99
Owners’ (or Shareholders’) equity:
Paid-in capital (or share capital) 451,554,411.00 451,554,411.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserve 1,310,939,867.82 1,310,939,867.82
Less: Treasury shares
Other comprehensive income
Special reserve
Surplus reserve 21,522,683.40 21,522,683.40
Retained profits 211,573,548.42 211,573,548.42
Total Owners’ (or
1,995,590,510.64 1,995,590,510.64
Shareholders’) Equity
Total Liabilities and
Owners’ (or Shareholders’) 2,321,820,750.63 2,321,820,750.63
Equity
Description of adjustments on each item:
√Applicable □ N/A
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The Third Quarter Report in 2020
In accordance with the Accounting Standards for Business Enterprises No.14- Revenue (Cai Kuai
[2017] No. 2) issued by the Ministry of Finance on July 5, 2017, for enterprises listed in domestic and
oversea stock exchange concurrently and enterprises listed overseas with the financial statements prepared
under international financial reporting standards or accounting standards for business enterprises, the new
revenue standard shall be implemented from January 1, 2018; and for other enterprises listed domestically,
the revenue standard shall be implemented from January 1, 2020. As a domestic listed company, the
Company adopted the new revenue standard as at January 1, 2020 on the basis of making adjustments on
the opening balance of relevant items recognized in the financial statements of 2020 with the data in
comparable period unadjusted, according to which: (1) the goods payments received in advance originally
qualified for conditions of “Receipts in advance” were charged to the line item of “Contract liabilities”; (2)
the rights of the Company for collecting the considerations for goods that have been transferred to
customers, which depend on factors other than the lapse of time, were charged to the line item of “Contract
assets”.
4.3 Description of retrospective adjustments in comparable data for previous periods upon the first
adoption of the new revenue standard and new lease standard since 2020
□ Applicable √ N/A
4.4 Auditor’s report
□ Applicable √ N/A
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