Stock code: 000045 Stock Abbreviation: Shen Textile A, Shen Textile B Announcement No.:2022-14
Shenzhen Textile (Group) Co., LTDThe First Quarter 2022 Report
Important content reminder:
1.The Board of Directors, The Supervisory Committee, the supervisors and the directors of the Companyguarantee that there are no significant omissions, fictitious or misleading statements carried in the Report and wewill accept individual and joint responsibilities for the truthfulness, accuracy and completeness of the Report.
2. Principal of the Company, Person in Charge of Accounting Works and Person in Charge of Accounting Organ(Accounting Officer) hereby confirm that the Financial Report of the First Quarterly Report is authentic, accurateand complete.
3. Whether the First Quarterly Report has been audited or not
□Yes √No
4. This Report has been prepared in both Chinese and English, in case any discrepancy, the Chinese version shallprevail.
I. Main financial data(I) Main accounting data and financial indexesWhether it has retroactive adjustment or re-statement on previous accounting data or not
□Yes √No
The members of the Board and the Company acknowledge being responsible for the truthfulness,accuracy, and completeness of the announcement. Not any false record, misleading statement or significantomission carried in this announcement.
| This period | Same period of last year | Increase/decrease from year-begin to period-end compared with the same period of the previous year | |
| Operating income (RMB) | 670,551,882.04 | 552,950,209.39 | 21.27% |
| Net profit attributable to the shareholders of the listed company（Yuan） | 17,625,745.18 | 42,776,335.85 | -58.80% |
| Net profit after deducting of non-recurring gain/loss attributable to the shareholders of listed company（Yuan） | 15,102,181.63 | 39,905,925.26 | -62.16% |
| Cash flow generated by business operation, net（Yuan） | -65,966,923.49 | -75,288,004.27 | 12.38% |
| Basic earning per share(Yuan/Share) | 0.0348 | 0.0842 | -58.67% |
| Diluted gains per share(Yuan/Share) | 0.0348 | 0.0842 | -58.67% |
| Weighted average return on equity（%） | 0.62% | 1.53% | -0.91% |
| End of this period | End of last period | Changes of this period-end over same period-end of last year(%) | |
| Gross assets（Yuan） | 5,614,397,580.92 | 5,496,647,107.83 | 2.14% |
| Net assets attributable to the shareholders of the listed company（Yuan） | 2,834,412,300.14 | 2,816,795,889.89 | 0.63% |
（II）Items and amount of non-current gains and losses
√ Applicable □ Not applicable
Unit: yuan
| project | Amount of this reporting period | explain |
| Non-current asset disposal gain/loss(including the write-off part for which assets impairment provision is made) | -12,114.72 | |
| Governmental Subsidy accounted as current gain/loss, except for those subsidies at with amount or quantity fixed by the national government and closely related to the Company’s business operation. | 4,300,287.54 | Other benefits of government subsidies that are confirmed related to the main business |
| Net amount of non-operating income and expense except the aforesaid items | -93,647.44 | |
| Less :Influenced amount of income tax | 11,413.84 | |
| Influenced amount of minor shareholders’ equity (after tax) | 1,659,547.99 | |
| Total | 2,523,563.55 | -- |
Other gain/loss items that qualified the definition of non-recurring profit (gains)/losses:
□ Applicable √ Not applicable
The Company does not have other gain/loss items that qualified the definition of non-recurring profit(gains)/lossesExplanation on those non-recurring gain/loss listed in the “Q&A Announcement No.1 on Information Disclosurefor Companies Offering Their Securities to the Public --- Extraordinary Profit/loss” defined as recurring gain/loss
□ Applicable √ Not applicable
The Company does not have the non-recurring gain/loss listed in the “Q &A Announcement No.1 on InformationDisclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss”defined asrecurring gain/loss(III) Particulars about changes in items of main accounting data and financial index and explanations ofreasons
√ Applicable □Not applicable
The reporting period attributable to shareholders of the same period last year, the main reason: one is thelarge TV polarized light industrialization project (line 7), line 7 has not been put into production in the second halfof 2021, high fixed assets depreciation and amortization, resulting in higher product unit manufacturing cost, andthe line 7 after the consolidation project loan interest of 7.6999 million yuan in the same period lastyear.Excluding the incomparable factors such as the climbing of Line 7 and the liquidation income of subsidiaries,despite the adverse factors such as the declining market and the rising raw material prices in the second half of lastyear, the company has maintained a steady operating performance in this reporting period compared with the sameperiod of last year by further optimizing the product and customer structure and improving the lean managementlevel compared with the same period of last year.
At present, the yield and loss rate and other technical indicators of Line 7 have improved month by month,the production capacity has increased, and the company's operating performance is improving month bymonth.The main products of Line 7 have been completed through customer verification, the order volume hasbeen gradually increased, and the unit manufacturing cost of the products has been gradually reduced. With thesmooth climbing progress of Line 7, the subsequent products will have a positive impact on the company'sbusiness performance.
| Items | Ending balance (RMB 10,000) | Operaing balance(RMB 10,000) | Changes ratio | Reasons of changes |
Monetary funds
| Monetary funds | 12,186.80 | 30,247.28 | -59.71% | It is mainly caused by the purchase of money funds, investment in Line 7 and Guangzhou RTP projects during the reporting period. |
| Notes receivable | 2,983.82 | 14,994.29 | -80.10% | It is mainly due to the maturity and acceptance of notes receivable during the reporting period. |
| Account receivable | 63,186.38 | 47,999.87 | 31.64% | Mainly due to the increase of polarizer business sales revenue during the reporting period. |
| Financing receivable | 6,098.40 | 2,147.41 | 183.99% | Mainly due to the increase of polarizer business sales revenue during the reporting period. |
Prepayments
| Prepayments | 6,709.56 | 1,540.66 | 335.50% | Mainly due to the increase of prepaid materials during the reporting period. |
| Other current assets | 8,525.52 | 2,950.34 | 188.97% | This is mainly due to the increase in the input tax expected. |
Construction in
process
| Construction in process | 1,709.75 | 7,148.20 | -76.08% | Mainly due to the reporting period Guangzhou RTP project under construction to solid. |
| Items | Amount at the period（RMB 10,000) | Amount at the same period of last year(RMB 10,000) | Changes ratio | Reasons of changes |
| Operating income | 67,055.19 | 55,295.02 | 21.27% | It is mainly caused by the increase of polarizer business sales after the mass production of Line 7 during the reporting period. |
| Operating costs | 57,967.15 | 42,781.74 | 35.50% | It is mainly due to the year-on-year increase of operating revenue and the increase of simultaneous operating costs. However, due to the low sales gross profit margin of new line 7 products during the reporting period, the growth of operating costs exceeded the growth of operating revenue. |
| Credit impairment loss | -416.89 | 3.75 | -11219.63% | It is mainly caused by the increase in accounts receivable and the corresponding increase in bad debt provision during the reporting period. |
Operatingprofit
| Operating profit | 2,499.21 | 6,882.35 | -63.69% | Due to the main fact that Line 7 is still in the climbing period, the high manufacturing cost of the product unit, the loan interest of Line 7 is recorded in the reporting period; the income from the liquidation and cancellation of the subsidiary in the same period of last year. |
| Total profit | 2,489.84 | 6,882.00 | -63.82% | Due to the main fact that Line 7 is still in the climbing period, the high manufacturing cost of the product unit, the loan interest of Line 7 is recorded in the reporting period; the income from the liquidation and cancellation of the subsidiary in the same period of last year. |
| Income tax expenses | 191.99 | 672.05 | -71.43% | Mainly due to the reduction of enterprise income tax expenses during the reporting period. |
Net profit
| Net profit | 2,297.86 | 6,209.95 | -63.00% | Due to the main fact that Line 7 is still in the climbing period, the high manufacturing cost of the product unit, the loan interest of Line 7 is recorded in the reporting period; the income from the liquidation and cancellation of the subsidiary in the same period of last year. |
Cash flowgenerated by
financing
| Cash flow generated by financing | 2,035.56 | 7,186.57 | 71.68% | Mainly due to the reduction of loans to Line 7 projects in this reporting period. |
II. Shareholders Information
(I) Total number of common shareholders and preference shareholders with voting rights recovered andtop ten common shareholders
Unit: stock
| Total number of common shareholders at the period-end | 24,671 | Total preference shareholders with the voting power recovered at the end of the reporting period(if any) | 0 | |||
| Shares held by the top 10 shareholders | ||||||
| Shareholder name | Properties of shareholder | Share proporti | Quantity | Amount of | Pledging or freezing | |
| Status of | Quantity | |||||
| on % | tradable shares with Conditional held | the shares | ||||
| Shenzhen Investment Holdings Co., Ltd. | State-owned legal person | 46.21% | 234,069,436 | |||
| Shenzhen Shenchao Technology Investment Co., Ltd. | State-owned legal person | 3.18% | 16,129,032 | |||
| Sun Huiming | Domestic natural person | 1.19% | 6,008,653 | |||
| Deng Yan | Domestic natural person | 1.11% | 5,604,400 | |||
| Chen Danzhen | Domestic natural person | 1.09% | 5,543,800 | |||
| Liu Shenpei | Domestic natural person | 0.95% | 4,801,288 | |||
| Su Weipeng | Domestic natural person | 0.60% | 3,016,010 | pledge | 2,800,000 | |
| Mao Yuxia | Domestic natural person | 0.55% | 2,792,400 | |||
| Qi Jianhong | Domestic natural person | 0.44% | 2,218,800 | |||
| China Construction Bank Company Limited-Cinda Australia Bank New Energy Industry Equity Securities Investment Fund | Others | 0.43% | 2,174,610 |
| Shareholding of top 10 shareholders of unrestricted shares | |||
| Name of the shareholder | Quantity of unrestricted shares held at the end of the reporting period | Share type | |
| Share type | Quantity | ||
| Shenzhen Investment Holding Co., Ltd | 234,069,436 | RMB common stock | 234,069,436 |
| Shenzhen Shenchao Technology Investment Co., LTD | 16,129,032 | RMB common stock | 16,129,032 |
| Sun Huiming | 6,008,653 | Domestic listed foreign shares | 6,008,653 |
| Deng Yan | 5,604,400 | RMB common stock | 5,604,400 |
| Chen Danzhen | 5,543,800 | RMB common stock | 5,543,800 |
| Liu Shenpei | 4,801,288 | RMB common stock | 4,801,288 |
| Su Weipeng | 3,016,010 | RMB common stock | 3,016,010 |
| Mao Yuxia | 2,792,400 | RMB common stock | 2,792,400 |
| Qi Jianhong | 2,218,800 | RMB common stock | 2,218,800 |
| China Construction Bank Company Limited-Cinda Australia Bank New Energy Industry Equity Securities Investment Fund | 2,174,610 | RMB common stock | 2,174,610 |
| Description of the above shareholder association or concerted action | Among the top 10 common shareholders, Shenzhen Investment Holdings Co., Ltd. and Shenzhen Shenchao Technology Investment Co., Ltd. do not constitute a concerted party relationship. In addition, the company does not know whether there is an associated relationship among the top 10 ordinary shareholders, and between the top 10 ordinary shareholders and the top 10 shareholders, or whether they are persons taking concerted action defined in Regulations on Disclosure of Information about Shareholding of Shareholders of Listed Companies. | ||
(II) Total shareholders with preferred stock held and shares held by top ten shareholders withpreferred stock held
□ Applicable √ Not applicable
III. Other significant events
√ Applicable □ Not applicable
(I) Progress of polarizer industrialization project for ultra-large TV (Line 7)During the reporting period, technical indicators such as yield and loss rate of Line 7 improved month by month,production capacity increased, and the company's operating performance improved month by month.The mainproducts of Line 7 have been completed through customer verification, the order volume has been graduallyincreased, and the unit manufacturing cost of the products has been gradually reduced. With the smooth climbingprogress of Line 7, the subsequent products will have a positive impact on the company's business performance.
(II) About the investment and construction of RTS after the production lineIn 2021, the company increased investment in one RTS production line, the total project investment does notexceed 30 million yuan; By March 31,2022, RMB 23,8.828, actually paid 17,628,500 yuan; By 31st March 2022,the company overcame the adverse impact of the epidemic and accelerated the construction of the RTS productionline, which is expected to be completed in the second quarter of 2022.
(III) Progress in subsidiaries participating in the establishment of industrial fundsOn November 16,2017, the company subsidiary shengbo photoelectric and fund manager huai ji investment,general partner jin investment and other limited partners signed the changxing jun ying equity investmentpartnership (limited partnership) partnership agreement, jointly launched industrial fund, focus on related to thecompany's main business, fund scale 50 million yuan, sheng bo photoelectric as one of the limited partners ofindustrial fund, subscribed 28.5 million yuan, see giant tide information network (http: / / www.cninfo.com."cn.)Company Announcement No.2017-55".
On February 10,2018, Changxing Junying has completed the industrial and commercial registration, and hascompleted the private investment fund filing on February 8,2018, please refer to Juchao Information Network(http: / / www.cninfo.com.Company Announcement, cn) 2018-05.As of March 31,2022, Changxing Junying has accumulated invested in 3 projects, with a total investmentamount of 42 million yuan.
| No | Name | Investment | Fund contribution （RMB 10,000） |
| 1 | Shenzhen Kaichuang Shijia Technology Co., Ltd. | Optical Film | 1,400 |
| 2 | Shenzhen Shenfuyu Electronic Technology Co., Ltd. | Optical Film | 1,300 |
| 3 | Shenzhen Hengbaoshun Technology Development Co., Ltd. | Optical Film | 1,500 |
(IV) The disposal of assets of the joint venture company Xieli Automobile Co., Ltd.
Shenzhen Xili Automobile Co., LTD. (hereinafter referred to as "Shenzhen Xili") is a Sino-foreign joint ventureinvested by the company and Hong Kong Xili Maintenance Company in 1981, with a registered capital of 3.12million yuan, and the company holds 50% of the equity.The company operated until 2008 and its business licensewas revoked in 2014, with the main assets were property.In March 2020, Shenzhen Xili Industry and Commercehas been cancelled, but there are three properties under its name how to dispose of both shareholders need to solveafter further negotiation.
On July 26,2021, the Company filed to the People's Court of Yantian District, Shenzhen City, GuangdongProvince the cancellation of Shenzhen Market Supervision Administration of Shenzhen Xili AutomobileEnterprise Co., Ltd. on March 9,2020; On November 21,2021, the cancellation of Shenzhen Xili AutomobileEnterprise Co., Ltd.; on December 3 and December 6,2021, Hong Kong Xili and Shenzhen Market SupervisionAdministration submitted an appeal to the Shenzhen Intermediate People's Court respectively.On April 18, 2022,
the company received the notice of the second instance hearing sent by Shenzhen intermediate people's court. Thecase was heard on April 27, 2022. As of the disclosure date of this report, the company has not received thejudgment result of the second instance.IV. Quarterly financial statements
(1) Financial statements
1. Consolidated balance sheet
Prepared by: Shenzhen Textile (Group) Co., LTD
In RMB
| Items | March 31, 2022 | March 31, 2021 |
| Current asset： | ||
| Monetary fund | 121,867,997.52 | 302,472,828.60 |
| Settlement provision | ||
| Outgoing call loan | ||
| Transactional financial assets | 710,992,246.79 | 586,540,735.16 |
| Derivative financial assets | ||
| Notes receivable | 29,838,237.17 | 149,942,880.28 |
| Account receivable | 631,863,822.83 | 479,998,708.57 |
| Financing receivable | 60,983,972.96 | 21,474,101.07 |
| Prepayments | 67,095,605.10 | 15,406,619.53 |
| Insurance receivable | ||
| Reinsurance receivable | ||
| Provisions of Reinsurance contracts receivable | ||
| Other account receivable | 106,238,805.90 | 140,185,750.40 |
| Including：Interest receivable | 91,547.13 | |
| Dividend receivable | ||
| Repurchasing of financial assets | ||
| Inventories | 767,239,406.08 | 667,461,447.03 |
| Contract assets | ||
| Assets held for sales | ||
| Non-current asset due within 1 year | ||
| Other current asset | 85,255,221.34 | 29,503,352.42 |
| Total of current assets | 2,581,375,315.69 | 2,392,986,423.06 |
| Non-current assets： | ||
| Loans and payment on other’s behalf disbursed | ||
| Creditor's Investment | ||
| Other Creditor's Investment | ||
| Long-term receivable | ||
| Long term share equity investment | 132,915,289.85 | 133,022,325.77 |
| Other equity instruments investment | 186,033,829.72 | 186,033,829.72 |
| Other non-current financial assets | 30,650,943.40 | 30,650,943.40 |
| Property investment | 104,445,128.42 | 106,217,779.76 |
| Fixed assets | 2,428,601,151.17 | 2,424,741,252.86 |
| Construction in progress | 17,097,540.42 | 71,482,031.08 |
| Production physical assets | ||
| Oil & gas assets | ||
| Use right assets | 9,221,189.37 | 9,221,189.37 |
| Intangible assets | 47,387,543.01 | 48,635,160.00 |
| Development expenses | ||
| Goodwill | ||
| Long-germ expenses to be amortized | 5,170,341.08 | 5,387,295.94 |
| Deferred income tax asset | 3,708,379.99 | 3,708,596.78 |
| Other non-current asset | 67,790,928.80 | 84,560,280.09 |
| Total of non-current assets | 3,033,022,265.23 | 3,103,660,684.77 |
| Total of assets | 5,614,397,580.92 | 5,496,647,107.83 |
| Current liabilities | ||
| Short-term loans | 42,453,773.89 | 37,575,113.83 |
| Loan from Central Bank | ||
| Borrowing funds | ||
| Transactional financial liabilities | ||
| Derivative financial liabilities | ||
| Notes payable | 33,407,331.28 | 16,682,324.12 |
| Account payable | 394,196,964.85 | 283,643,842.23 |
| Advance receipts | 5,098,962.57 | 1,805,311.57 |
| Contract liabilities | 340,528.94 | 68,955.21 |
| Selling of repurchased financial assets | ||
| Deposit taking and interbank deposit | ||
| Entrusted trading of securities | ||
| Entrusted selling of securities | ||
| Employees’ wage payable | 56,758,706.14 | 59,719,860.24 |
| Tax payable | 4,177,510.64 | 9,200,627.09 |
| Other account payable | 139,672,295.52 | 201,317,421.35 |
| Including：Interest payable | ||
| Dividend payable | ||
| Fees and commissions payable | ||
| Reinsurance fee payable | ||
| Liabilities held for sales | ||
| Non-current liability due within 1 year | 5,175,393.52 | |
| Other current liability | 37,088,751.30 | 27,523,903.58 |
| Total of current liability | 713,194,825.13 | 642,712,752.74 |
| Non-current liabilities： | ||
| Reserve fund for insurance contracts | ||
| Long-term loan | 711,388,134.97 | 683,016,243.25 |
| Bond payable | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Lease liability | 9,419,249.23 | 4,243,855.71 |
| Long-term payable | ||
| Long-term remuneration payable to staff | ||
| Expected liabilities | 25,621,002.16 | 30,741,055.00 |
| Deferred income | 106,333,226.06 | 110,461,293.15 |
| Deferred income tax liability | 61,642,660.91 | 61,642,660.91 |
| Other non-current liabilities | ||
| Total non-current liabilities | 914,404,273.33 | 890,105,108.02 |
| Total of liability | 1,627,599,098.46 | 1,532,817,860.76 |
| Owners’ equity | ||
| Share capital | 506,521,849.00 | 506,521,849.00 |
| Other equity instruments | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Capital reserves | 1,961,599,824.63 | 1,961,599,824.63 |
| Less：Shares in stock | ||
| Other comprehensive income | 119,672,784.12 | 119,682,119.05 |
| Special reserve | ||
| Surplus reserves | 98,245,845.47 | 98,245,845.47 |
| Common risk provision | ||
| Retained profit | 148,371,996.92 | 130,746,251.74 |
| Total of owner’s equity belong to the parent company | 2,834,412,300.14 | 2,816,795,889.89 |
| Minority shareholders’ equity | 1,152,386,182.32 | 1,147,033,357.18 |
| Total of owners’ equity | 3,986,798,482.46 | 3,963,829,247.07 |
| Total of liabilities and owners’ equity | 5,614,397,580.92 | 5,496,647,107.83 |
Legal representative: Zhang Jian Person in charge of accounting work: He Fei Head of accounting institution: Zhu Jingjing
2. Consolidated income statement
In RMB
| Items | Amount in this period | Amount in last period |
| I. Turnover | 670,551,882.04 | 552,950,209.39 |
| Including：Operating income | 670,551,882.04 | 552,950,209.39 |
| Interest income | ||
| Insurance fee earned | ||
| Commission charge and commission income | ||
| II. Total operating costs | 631,453,868.00 | 467,514,146.26 |
| Including ：Operating costs | 579,671,495.55 | 427,817,363.33 |
| Interest expense | ||
| Fee and commission paid | ||
| Insurance discharge payment | ||
| Net claim amount paid | ||
| Appropriation of deposit for duty, net | ||
| Insurance policy dividend paid | ||
| Reinsurance expenses | ||
| Business tax and surcharge | 2,117,586.03 | 2,169,731.19 |
| Sales expense | 8,619,166.65 | 12,186,927.12 |
| Administrative expense | 31,849,295.48 | 25,121,747.46 |
| R & D expense | 13,080,014.85 | 11,210,174.64 |
| Financial expenses | -3,883,690.55 | -10,991,797.48 |
| Including：Interest expense | ||
| Interest income | ||
| Add：Other income | 4,300,287.54 | 4,666,489.60 |
| Investment gain（“-”for loss） | 5,112,851.74 | 5,008,410.87 |
| Including: investment gains from affiliates | -97,700.99 | -267,795.43 |
| Financial assets measured at amortized cost cease to be recognized as income | ||
| Gains from currency exchange | ||
| Net exposure hedging income | ||
| Changing income of fair value | 402,037.73 | |
| Credit impairment loss | -4,168,918.12 | 37,491.52 |
| Impairment loss of assets | -19,338,029.09 | -26,726,948.99 |
| Assets disposal income | -12,114.72 | |
| III. Operating profit（“-”for loss） | 24,992,091.39 | 68,823,543.86 |
| Add ：Non-operating income | 7,030.76 | 3,907.91 |
| Less: Non-operating expense | 100,678.20 | 7,403.96 |
| IV. Total profit(“-”for loss) | 24,898,443.95 | 68,820,047.81 |
| Less：Income tax expenses | 1,919,873.63 | 6,720,531.16 |
| V. Net profit | 22,978,570.32 | 62,099,516.65 |
| (I) Classification by business continuity | ||
| 1.Net continuing operating profit | 22,978,570.32 | 62,099,516.65 |
| 2.Termination of operating net profit | ||
| (II) Classification by ownership | ||
| 1.Net profit attributable to the owners of parent company | 17,625,745.18 | 42,776,335.85 |
| 2.Minority shareholders’ equity | 5,352,825.14 | 19,323,180.80 |
| VI. Net after-tax of other comprehensive income | -9,334.93 | 134,830.38 |
| Net of profit of other comprehensive income attributable to owners of the parent company. | -9,334.93 | 134,830.38 |
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | 113,852.14 | |
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| 3. Changes in the fair value of investments in other equity instruments | 113,852.14 | |
| 4. Changes in the fair value of the company’s credit risks | ||
| 5.Other | ||
| (II)Other comprehensive income that will be reclassified into profit or loss | -9,334.93 | 20,978.24 |
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | ||
| 2. Changes in the fair value of investments in other debt obligations | ||
| 3. Other comprehensive income arising from the reclassification of financial assets | ||
| 4.Allowance for credit impairments in investments in other debt obligations | ||
| 5. Reserve for cash flow hedges | ||
| 6.Translation differences in currency financial statements | -9,334.93 | 20,978.24 |
| 7.Other | ||
| Net of profit of other comprehensive income attributable to Minority shareholders’ equity | ||
| VII. Total comprehensive income | 22,969,235.39 | 62,234,347.03 |
| Total comprehensive income attributable to the owner of the parent company | 17,616,410.25 | 42,911,166.23 |
| Total comprehensive income attributable minority shareholders | 5,352,825.14 | 19,323,180.80 |
| VIII. Earnings per share | ||
| (I)Basic earnings per share | 0.0348 | 0.0842 |
| (II)Diluted earnings per share | 0.0348 | 0.0842 |
If the enterprise merger under the same control occurs in this period, the net profit realized by the consolidated party before themerger is 0.00 yuan, and the net profit realized by the consolidated party in the previous period is 0.00 yuan.Legal representative: Zhang Jian Person in charge of accounting work: He Fei Head of accounting institution: Zhu Jingjing
3. Consolidated cash flow statement
In RMB
| Items | Amount in this period | Amount in last period |
| I.Cash flows from operating activities | ||
| Cash received from sales of goods or rending of services | 604,500,101.55 | 497,878,724.28 |
| Net increase of customer deposits and capital kept for brother company | ||
| Net increase of loans from central bank | ||
| Net increase of inter-bank loans from other financial bodies | ||
| Cash received against original insurance contract | ||
| Net cash received from reinsurance business | ||
| Net increase of client deposit and investment | ||
| Cash received from interest, commission charge and commission | ||
| Net increase of inter-bank fund received | ||
| Net increase of repurchasing business | ||
| Net cash received by agent in securities trading | ||
| Tax returned | 1,364,975.85 | 6,520,333.41 |
| Other cash received from business operation | 52,681,743.74 | 50,348,087.80 |
| Sub-total of cash inflow | 658,546,821.14 | 554,747,145.49 |
| Cash paid for purchasing of merchandise and services | 502,457,863.05 | 464,527,899.35 |
| Net increase of client trade and advance | ||
| Net increase of savings in central bank and brother company | ||
| Cash paid for original contract claim | ||
| Net increase for Outgoing call loan | ||
| Cash paid for interest, processing fee and commission | ||
| Cash paid for policy dividend | ||
| Cash paid to staffs or paid for staffs | 66,865,538.16 | 72,133,529.61 |
| Taxes paid | 135,772,979.52 | 10,012,400.49 |
| Other cash paid for business activities | 19,417,363.90 | 83,361,320.31 |
| Sub-total of cash outflow from business activities | 724,513,744.63 | 630,035,149.76 |
| Net cash generated from /used in operating activities | -65,966,923.49 | -75,288,004.27 |
| II. Cash flow generated by investing | ||
| Cash received from investment retrieving | 20,230,035.72 |
| Cash received as investment gains | 1,673,424.66 | 5,129,520.27 |
| Net cash retrieved from disposal of fixed assets, intangible assets, and other long-term assets | 1,776.70 | |
| Net cash received from disposal of subsidiaries or other operational units | ||
| Other investment-related cash received | 470,457,427.76 | |
| Sub-total of cash inflow due to investment activities | 1,675,201.36 | 495,816,983.75 |
| Cash paid for construction of fixed assets, intangible assets and other long-term assets | 16,535,761.62 | 89,469,056.52 |
| Cash paid as investment | ||
| Net increase of loan against pledge | ||
| Net cash received from subsidiaries and other operational units | ||
| Other cash paid for investment activities | 120,000,000.00 | 512,374,977.65 |
| Sub-total of cash outflow due to investment activities | 136,535,761.62 | 601,844,034.17 |
| Net cash flow generated by investment | -134,860,560.26 | -106,027,050.42 |
| III.Cash flow generated by financing | ||
| Cash received as investment | ||
| Including: Cash received as investment from minor shareholders | ||
| Cash received as loans | 27,922,000.00 | 75,966,000.00 |
| Other financing –related cash received | ||
| Sub-total of cash inflow from financing activities | 27,922,000.00 | 75,966,000.00 |
| Cash to repay debts | ||
| Cash paid as dividend, profit, or interests | 7,566,288.88 | 4,020,397.33 |
| Including: Dividend and profit paid by subsidiaries to minor shareholders | ||
| Other cash paid for financing activities | 128.63 | 79,933.50 |
| Sub-total of cash outflow due to financing activities | 7,566,417.51 | 4,100,330.83 |
| Net cash flow generated by financing | 20,355,582.49 | 71,865,669.17 |
| IV. Influence of exchange rate alternation on cash and cash equivalents | -68,534.94 | 548,403.88 |
| V.Net increase of cash and cash equivalents | -180,540,436.20 | -108,900,981.64 |
| Add: balance of cash and cash equivalents at the beginning of term | 302,408,433.72 | 278,337,236.95 |
| VI.Balance of cash and cash equivalents at the end of term | 121,867,997.52 | 169,436,255.31 |
（II）Audit reportIs the First Quarterly Report be audited?
□ Yes √No
The Board of Directors of Shenzhen Textile (Holdings) Co., Ltd.
April 29,2022