INTERIM REPORT 2022
August 2022
Part I Important Notes, Table of Contents and DefinitionsThe Board of Directors (or the “Board”), the Supervisory Committee as well as the directors,supervisors and senior management of BOE Technology Group Co., Ltd. (hereinafter referredto as the “Company”) hereby guarantee the factuality, accuracy and completeness of thecontents of this Report and its summary, and shall be jointly and severally liable for anymisrepresentations, misleading statements or material omissions therein.Mr. Chen Yanshun, the Company’s legal representative, Mr. Gao Wenbao, President, Ms. YangXiaoping, Chief Financial Officer, and Mr. Teng Jiao, head of the financial department(equivalent to financial manager) hereby guarantee that the Financial Statements carried inthis Report are factual, accurate and complete.All the Company’s directors have attended the Board meeting for the review of this Report andits summary.Any plans for the future, development strategies and other forward-looking statementsmentioned in this Report and its summary shall NOT be considered as absolute promises of theCompany to investors. Therefore, investors are reminded to exercise caution when makinginvestment decisions. For further information, see “(X) Risks Facing the Company andCountermeasures” in Part III herein.The Company has no interim dividend plan, either in the form of cash or stock.This Report and its summary have been prepared in both Chinese and English. Should therebe any discrepancies or misunderstandings between the two versions, the Chinese versions shallprevail.
Table of Contents
Part I Important Notes, Table of Contents and Definitions ...... 2
Part II Corporate Information and Key Financial Information ...... 6
Part III Management Discussion and Analysis ...... 10
Part IV Corporate Governance ...... 25
Part V Environmental and Social Responsibility ...... 28
Part VI Significant Events ...... 33
Part VII Share Changes and Shareholder Information ...... 47
Part VIII Preferred Shares ...... 57
Part IX Bonds ...... 58
Part X Financial Statements ...... 62
BOE Technology Group Co., Ltd. Interim Report 2022
Documents Available for Reference
(I) The financial statements signed and sealed by the Company’s legal representative, President, Chief Financial Officer and head ofthe financial department (equivalent to financial manager); and(II) The originals of all the documents and announcements that the Company disclosed on www.cninfo.com.cn during the ReportingPeriod.All the above mentioned documents are available at the Board Secretary’s Office of the Company.
Chairman of the Board (signature): Mr. Chen Yanshun
Date of the Board’s approval of this Report: 26
August 2022
BOE Technology Group Co., Ltd. Interim Report 2022
Definitions
| Term | Definition |
| “BOE”, the “Company”, the “Group” or “we” | BOE Technology Group Co., Ltd. and its consolidated subsidiaries, except where the context otherwise requires |
| The cninfo website | http://www.cninfo.com.cn/ |
| CSRC | The China Securities Regulatory Commission |
| The Articles of Association | The Articles of Association of BOE Technology Group Co., Ltd. |
| OLED | Organic Light Emitting Diode |
| LED | Light-emitting Diode |
| MLED | Mini/Micro LED |
| TFT-LCD | Thin Film Transistor Liquid Crystal Display |
| AMOLED | Active-matrix Organic Light Emitting Diode |
| Oxide | A compound of oxygen and another chemical element |
| Microdisplay | Microdisplay technology |
| LCD | Liquid Crystal Display |
| IoT | Internet of Things |
| X-ray | A type of radiation that can pass through objects that are not transparent and make it possible to see inside them |
| Mini/Micro LED | Submillimeter/Micro Light Emitting Diode |
| IEC | International Electrotechnical Commission |
| BP | Back Plate |
| EPD | Electrophoretic Display |
| AM | Active Matrix |
| MNT | Monitor, generally referring to the 27~34 inch model |
| VR/AR | Virtual Reality /Augmented Reality |
| MNT QHD+ | Monitor with QHD+ definition |
| NB Oxide | A compound of oxygen and another chemical element |
| MBL | Mobile |
| ISO | International Organization for Standardization |
| TV | Television |
| RGB | Red Green Blue |
| 3C | Computer, communication and consumer electronics |
| P0.9 | Point 0.9mm |
| SID | The Society for Information Display |
| DIA | Display Industry Awards |
| NB | Notebook |
| SaaS | Software-as-a-Service |
| Gaming | Gaming monitor |
| C2P and C2S | Whole-gadget models manufactured by the Company |
BOE Technology Group Co., Ltd. Interim Report 2022
Part II Corporate Information and Key Financial InformationI Corporate Information
| Stock name | BOE-A, BOE-B | Stock code | 000725, 200725 |
| Changed stock name (if any) | N/A | ||
| Stock exchange for stock listing | Shenzhen Stock Exchange | ||
| Company name in Chinese | 京东方科技集团股份有限公司 | ||
| Abbr. (if any) | 京东方 | ||
| Company name in English (if any) | BOE TECHNOLOGY GROUP CO., LTD. | ||
| Abbr. (if any) | BOE | ||
| Legal representative | Chen Yanshun | ||
II Contact Information
| Item | Board Secretary | Securities Representative |
| Name | Liu Hongfeng | Luo Wenjie |
| Address | 12 Xihuan Middle Road, Beijing Economic-Technological Development Area, P.R.China | 12 Xihuan Middle Road, Beijing Economic-Technological Development Area, P.R.China |
| Tel. | 010-64318888 ext. | 010-64318888 ext. |
| Fax | 010-64366264 | 010-64366264 |
| Email address | liuhongfeng@boe.com.cn | luowenjie@boe.com.cn |
III Other Information
1. Contact Information of the Company
Indicate by tick mark whether any change occurred to the registered address, office address and their zip codes, website address andemail address of the Company in the Reporting Period.
□ Applicable ? Not applicable
No change occurred to the said information in the Reporting Period, which can be found in the 2021 Annual Report.
2. Media for Information Disclosure and Place where this Report is Lodged
Indicate by tick mark whether any change occurred to the information disclosure media and the place for keeping the Company’speriodic reports in the Reporting Period.
□ Applicable ? Not applicable
The newspapers designated by the Company for information disclosure, the website designated by the CSRC for disclosing theCompany’s periodic reports and the place for keeping such reports did not change in the Reporting Period. The said information can
BOE Technology Group Co., Ltd. Interim Report 2022
be found in the 2021 Annual Report.
3. Other Information
Indicate by tick mark whether any change occurred to other information in the Reporting Period.
□ Applicable ? Not applicable
IV Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.? Yes □ NoReason for retrospective restatement:
Change of accounting policy.
| Item | H1 2022 | H1 2021 | Change (%) | |
| Before | Restated | Restated | ||
| Operating revenue (RMB) | 91,610,241,869.00 | 107,285,327,026.00 | 108,618,018,710.00 | -15.66% |
| Net profit attributable to the listed company’s shareholders (RMB) | 6,595,661,738.00 | 12,762,024,968.00 | 12,917,163,177.00 | -48.94% |
| Net profit attributable to the listed company’s shareholders before exceptional gains and losses (RMB) | 4,239,456,093.00 | 11,661,616,772.00 | 11,816,754,981.00 | -64.12% |
| Net cash generated from/used in operating activities (RMB) | 28,112,000,665.00 | 32,745,188,339.00 | 32,787,642,867.00 | -14.26% |
| Basic earnings per share (RMB/share) | 0.166 | 0.363 | 0.367 | -54.77% |
| Diluted earnings per share (RMB/share) | 0.166 | 0.363 | 0.367 | -54.77% |
| Weighted average return on equity (%) | 4.80% | 13.40% | 13.54% | -8.74% |
| Item | 30 June 2022 | 31 December 2021 | Change (%) | |
| Before | Restated | Restated | ||
| Total assets (RMB) | 446,291,365,552.00 | 449,726,980,355.00 | 450,232,603,405.00 | -0.88% |
| Equity attributable to the listed company’s shareholders (RMB) | 143,316,946,650.00 | 142,925,547,899.00 | 143,086,216,558.00 | 0.16% |
Reason for accounting policy change and correction of accounting error:
As required by the Q&A on the Implementation of Fixed Assets Standards and the Interpretation of Accounting Standards for BusinessEnterprises No. 15 issued by the Ministry of Finance, the Group retrospectively adjusted related items of financial statements of thebeginning of the year and those of the same period of last year. The above changes of accounting policies have no significant influenceon the Company’s financial status and operating results.
BOE Technology Group Co., Ltd. Interim Report 2022
V Accounting Data Differences under China’s Accounting Standards for Business Enterprises(CAS) and International Financial Reporting Standards (IFRS) and Foreign AccountingStandards
1. Net Profit and Net Asset Differences under CAS and IFRS
□ Applicable ? Not applicable
No such differences for the Reporting Period.
2. Net Profit and Net Asset Differences under CAS and Foreign Accounting Standards
□ Applicable ? Not applicable
No such differences for the Reporting Period.VI Exceptional Gains and Losses
? Applicable □ Not applicable
Unit: RMB
| Item | Amount | Note |
| Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) | -1,480,132.00 | N/A |
| Tax rebates, reductions and exemptions given with ultra vires approval or in lack of official approval documents | 0.00 | N/A |
| Government subsidies charged to current profit or loss (exclusive of government subsidies consistently given in the Company’s ordinary course of business at fixed quotas or amounts as per governmental policies or standards) | 2,960,353,628.00 | N/A |
| Capital occupation charges on non-financial enterprises that are charged to current profit or loss | 0.00 | N/A |
| Gain equal to the amount by which investment costs for the Company to obtain subsidiaries, associates and joint ventures are lower than the Company’s enjoyable fair value of identifiable net assets of investees when making investments | 0.00 | N/A |
| Gain or loss on non-monetary asset swaps | 0.00 | N/A |
| Gain or loss on assets entrusted to other entities for investment or management | 0.00 | N/A |
| Allowance for asset impairments due to acts of God such as natural disasters | 0.00 | N/A |
| Gain or loss on debt restructuring | 0.00 | N/A |
| Restructuring costs in staff arrangement, integration, etc. | 0.00 | N/A |
| Gain or loss on the over-fair value amount as a result of transactions with distinctly unfair prices | 0.00 | N/A |
| Current profit or loss on subsidiaries obtained in business combinations involving enterprises under common control from the period-beginning to combination dates, net | 0.00 | N/A |
| Gain or loss on contingencies that do not arise in the Company’s ordinary course of business | 0.00 | N/A |
| Gain or loss on fair-value changes in held-for-trading financial assets and liabilities & income from disposal of held-for-trading financial assets and liabilities and available-for-sale financial assets (exclusive of the effective | 122,322,990.00 | N/A |
BOE Technology Group Co., Ltd. Interim Report 2022
| portion of hedges that arise in the Company’s ordinary course of business) | ||
| Reversed portions of impairment allowances for receivables which are tested individually for impairment | 20,528,284.00 | N/A |
| Gain or loss on loan entrustments | 0.00 | N/A |
| Gain or loss on fair-value changes in investment property of which subsequent measurement is carried out using the fair value method | 0.00 | N/A |
| Effects of all adjustments required by taxation, accounting and other applicable laws and regulations on current profit or loss | 0.00 | N/A |
| Income from charges on entrusted management | 0.00 | N/A |
| Non-operating income and expense other than the above | 85,481,075.00 | N/A |
| Other gains and losses that meet the definition of exceptional gain/loss | 0.00 | N/A |
| Less: Income tax effects | 92,067,447.00 | N/A |
| Non-controlling interests effects (net of tax) | 738,932,753.00 | N/A |
| Total | 2,356,205,645.00 |
Particulars about other gains and losses that meet the definition of exceptional gain/loss:
□ Applicable ? Not applicable
No such cases for the Reporting Period.Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in the Explanatory Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Gain/Loss Items:
□ Applicable ? Not applicable
No such cases for the Reporting Period.
BOE Technology Group Co., Ltd. Interim Report 2022
Part III Management Discussion and Analysis
I Principal Activity of the Company in the Reporting PeriodBOE Technology Group Co., Ltd. is an loT company providing intelligent interface products and professional services for informationinteraction and human health. After years of professional cultivation, the Company has developed into a global leader in the field ofsemiconductor display and a global innovative enterprise in the field of the Internet of Things. Based on a deep understanding of theintrinsic laws of the market and practical exploration, and in order to further enhance its value creation capability, BOE has proposedthe development strategy of " Screen-Connected IoT " based on its core genes and capabilities, seizing the ubiquitous growthopportunities of "screen", and fully leveraging its core advantage of "screen" to integrate screens into more market segments andapplication scenarios by integrating more functions and deriving more forms. By doing so, BOE will realize the user perceptionrevolution of "screen as terminal" in the digital era, build an industrial ecology of "screen as platform and screen as system", andreshape the value growth model. At the same time, based on the strategic design of " Screen-Connected IoT ", BOE will bring a newconnotation to the "1+4+N+Ecosystem" development structure under the new development pattern."1" represents semiconductor display, which is the core capacity and quality resources accumulated by BOE, as well as the source andorigin of the Company's transformation and development."4" is a high-potential channel and direction of development selected based on BOE's core competence and value chain extension, aswell as the four main fronts of the Company's IoT transformation, namely the IoT Innovation business, the Sensor and Solution business,the MLED business and the Smart Medical Engineering business."N" refers to the subdivided application scenarios of IoT that are continuously explored and cultivated by BOE, as well as the specificfocus of the Company's IoT transformation development.“Ecosystem” means the Company work with its partners by way of strategic investment, strategy cooperation, etc. to ensure the securityof the business ecosystem.The Company's core businesses are summarized as follows:
1. Display Devices business
The Display Devices business offers integrated design and manufacturing services for devices, and is committed to providing interfacedevices applying TFT-LCD, AMOLED, Microdisplay and other technologies, focusing on providing customers with high-qualitydisplay devices for smartphones, tablet PCs, laptops, monitors, TVs, vehicle-mounted, electronic shelf label (ESL), industrial control,household medical applications, applications on wearable devices, whiteboards, tiled display screens, commercial devices, VR/ARdevices, etc.
2. IoT Innovation business
The IoT Innovation business offers integrated design and manufacturing services for system solutions, and provides customers withcompetitive smart terminal products for TVs, monitors, laptops, tablets, low-power devices, IoT, 3D display, etc. Backed by AI andbig data technologies, it focuses on products and services combining hardware and software, providing integrated IoT solutions forsegments including smart industrial parks, smart finance, smart government affairs and transportation, visual arts, smart energy, all-in-one machines, etc.
3. Sensor and Solution business
The Sensor and Solution business offers integrated design and manufacturing services for system solutions, focuses on medicalbiological segment, transportation and construction, consumer electronics, microwave communications, industrial sensors and otherfields, and provides customers with design and manufacturing of sensor devices and system solution services, with specific productsand solutions including back plates for flat panel X-ray detectors (FPXD), digital microfluidic chips, intelligent PDLC glass and PDLCsystem solutions, fingerprint identification sensors and systems, as well as industrial sensors and solutions, among others.
BOE Technology Group Co., Ltd. Interim Report 2022
4. MLED business
MLED business renders Mini-LED backlight products with high reliability and high partition of dimming for LCD of mobile phones,tablet PCs, laptops, monitors, TVs, vehicles, wearable devices, etc., as well as Mini/Micro-LED display products with high brightness,high reliability and high contrast for segment markets of outdoor, commercial, transparent, specialized and other displays. All theseproducts are designed and manufactured in an integrated manner.
5. Smart Medical Engineering business
The Smart Medical Engineering business adopts the professional service model to combine technologies with medicine and integratemedicine and engineering with innovation, so as to provide families, communities and hospitals with the four major human-centeredservices of health management, health technology, digital hospital, and technology services. It connects testing equipment, healthcareworkers and customers through the health IoT platform to build a smart health management ecosystem where customers enjoy healthservices including prevention, treatment, therapy and nursing.
6. The "N" business
With a specific focus on "N", the Company provides hardware and software integrated system solutions for different industries,including smart finance, smart industrial parks, visual art, smart retail, industrial IoT, and other fields, which can provide customerswith all-dimensional, one-stop and smart new experience under IoT scenarios. For example, smart retail provides customers with smartretail solutions covering all fields such as malls and supermarkets, 3C, cosmetics, and household, realises online and offline integrationand upgrade, and offers the new experience of smart shopping; industrial IoT provides enterprises with solutions, products, and serviceslike smart production, smart factory, and cloud services, assists customers in digital intelligence transformation relying on its self-developed industrial Internet platform, realises refined operation and management, achieves cost reduction and efficiency enhancementfrom all procedures of design, supply, production, and sales, and offers all-dimensional, one-stop and smart industrial IoT solutions tocustomers.
II Core Competitiveness Analysis
1. Steadily improved market position
The Company made breakthroughs in markets. In the five major application areas, our LCD market share ranked first in the world. Wefurther expanded high-end market segments, ranked first in the world in the market shares of NB Oxide and Gaming, and saw anincrease of over 20% in the sales of MNT QHD+. In terms of innovative application, the overall sales rose by over 50% year on year.In terms of car displays, the Company's market share rose to the world's highest for the first time. The smart terminal product line wasgradually improved. We launched new products like 65-inch and 75-inch smart screens and C2P and C2S whole products, and saw ayear-on-year increase of over 160% in the sales of large-size products; we expanded new application scenarios for smart finance,launched the industry's first elderly-friendly finance screen, and rolled out innovative scenario solutions such as green finance andelderly-friendly services; in terms of smart parks, the Company successfully joined the smart industrial park working group of theNational Intelligence Standards Committee to promote the building of a standard industrial park system.
2. Continuously enhanced technological strength
Through the short-, medium- and long-term technology R&D mechanism, the Company productizes technology rapidly and activelylays out forward-looking technology directions while realizing the incubation of technology value to ensure that the Company'stechnological strength continues to lead. In terms of patents, in the first half of the year, the number of new patent applications exceeded4,500, including more than 90% for inventions and over 33% for overseas patents; patent applications in respect of OLED, sensors,artificial intelligence (AI) and other fields exceeded 50%. In terms of technical standards, the Company led the formulation and revisionof over 40 external standards, participated in the formulation and revision of more than 70 external standards, and raised over 20proposals on technical standards. The ISO/IEC "Internet of Things (IoT) — IoT applications for electronic label system (ELS)" led bythe Company has been officially released. The four technical standards of the UHD video and audio broadcasting system for "100
BOE Technology Group Co., Ltd. Interim Report 2022
Cities and 1000 Screens" such as the Technical Requirements of the Public Display System (Outdoor) of UHD Video and AudioBroadcasting System for "100 Cities and 1000 Screens", which were formulated with the Company's participation, have been officiallyreleased as well. In terms of products and technologies, the Company was the first to release the world's highest refresh rate technologyfor TV, MNT, and NB. For TV products, we launched the "black quartz" technology with image quality matching OLED and has passedthe product certification of brand customers. A 110-inch 8K naked-eye 3D product, the largest size in the world, and a 95-inch 8KOLED smart terminal using the 8K AI image enhancement engine, also the largest size in the world, were debuted in the SID. Theestablishment of the process route for the NB backlight with ultrathin glass was completed, marking the thinnest module in the industry.For car display products, we launched the first oversize (more than 40 inches) and curved vehicle-grade OLED product in the world.The Company was the first to launch the peep-proof display technology featuring a 360-degree swappable display. In respect ofmini/micro LED Company launched the first direct display glass P0.9 4K product in the world and won the award of best displaycomponent product for its 86-inch COG AM Mini LED backlight unit from SID DIA. The smart screens were delivered in batches inthe automotive and construction fields. Besides, we launched a command centre control platform and an omnimedia transportationcontrol platform and implemented the all-route commanding bus station project.
3. Further progress in the effectiveness of lean management
BOE continuously optimized its operation mechanism, promoted the centralization and scale of products, continued to strengthenplatform linkages and connections and leveraged its advantages of intensification, continuously enhancing the efficiency of productionlines. Design, supply, production, and sales departments closely collaborated with each other and made concerted efforts tocontinuously guarantee efficient and accurate delivery. Meanwhile, focusing on the Group's strategy policy of "high-quality", wemanaged to increase the delivery rate of high-end products by 6.3% from last year.The Company was in a leading position in China's electronics industry in respect of the management of the "double carbon" task; wesuccessfully promoted the analysis report on management scenarios of science-based targets, trials of carbon footprint verification forproducts, greenhouse gas verification, assessment of the double carbon task by third-party technology consulting firms, and the reporton carbon emission reduction by customers; the 10.5th generation of TFT-LCD production line in Wuhan was recognised as a nationalgreen factory. The 8.5th generation of TFT-LCD production line won a national award for benchmarking enterprises of smartmanufacturing; the 8.5th generation of TFT-LCD production line in Fuzhou became the first enterprise in the Chinese Mainland to beawarded as the "lighthouse factory" in the industry.
4. Steadily advanced digital transformation
BOE continued to comprehensively advance digital transformation, with the top goal of building "a digital, visual BOE". The Companypromoted and implemented a series of digital change key measures to build an end-to-end digital management system of "agile response,efficient coordination, and full coverage", so as to stimulate organisational vitality, strengthen IT system support, revitalize data capital,and realise efficient digital operation. The Company continued to improve management efficiency and business efficiency. In the firsthalf of the year, the Company further optimised the management mechanism for digital transformation projects, deepened theempowerment by the project management system, refined the hierarchical decision-making mechanism, constantly improved enterprisestructure governance, process and data management capabilities, and the development of professional capabilities, and promoted theimplementation of each digital transformation project in an orderly manner focusing on excellent data, products, and delivery.III Analysis of Core Businesses
Overview:
See contents under the heading “I Principal Activity of the Company in the Reporting Period” above.Year-on-year changes in key financial data:
Unit: RMB
BOE Technology Group Co., Ltd. Interim Report 2022
| Item | H1 2022 | H1 2021 | Change (%) | Main reason for change |
| Operating revenue | 91,610,241,869.00 | 108,618,018,710.00 | -15.66% | Demand for semiconductor display lingered at low levels, and major panel products experienced falling prices, leading to a decline in operating revenue. |
| Cost of sales | 74,499,068,362.00 | 75,420,407,266.00 | -1.22% | N/A |
| Selling expense | 1,862,479,468.00 | 2,295,547,697.00 | -18.87% | N/A |
| Administrative expense | 2,948,599,229.00 | 3,245,612,412.00 | -9.15% | N/A |
| Finance costs | 654,112,804.00 | 1,758,296,231.00 | -62.80% | Decreased net interest expense in the Reporting Period |
| Income tax expense | 1,681,324,244.00 | 2,260,425,038.00 | -25.62% | N/A |
| R&D investments | 5,689,976,471.00 | 5,535,141,416.00 | 2.80% | N/A |
| Net cash generated from/used in operating activities | 28,112,000,665.00 | 32,787,642,867.00 | -14.26% | N/A |
| Net cash generated from/used in investing activities | -22,841,690,510.00 | -21,356,987,489.00 | - | N/A |
| Net cash generated from/used in financing activities | -3,178,244,904.00 | -12,633,974,318.00 | - | Increased cash inflows from borrowings received during the Reporting Period |
| Net increase in cash and cash equivalents | 3,181,592,619.00 | -1,723,109,268.00 | - | Increased cash inflows from borrowings received during the Reporting Period |
Material changes to the profit structure or sources of the Company in the Reporting Period:
□ Applicable ? Not applicable
No such changes in the Reporting Period.Breakdown of operating revenue:
Unit: RMB
| Item | H1 2022 | H1 2021 | Change (%) | ||
| Operating revenue | As % of total operating revenue (%) | Operating revenue | As % of total operating revenue (%) | ||
| Total | 91,610,241,869.00 | 100% | 108,618,018,710.00 | 100% | -15.66% |
| By operating division | |||||
| Display devices | 82,641,917,513.00 | 90.21% | 100,644,922,831.00 | 92.66% | -17.89% |
| IoT innovation | 13,490,882,043.00 | 14.73% | 13,321,094,890.00 | 12.26% | 1.27% |
| Sensor and solution | 103,681,585.00 | 0.11% | 79,166,852.00 | 0.07% | 30.97% |
| MLED | 411,634,393.00 | 0.45% | 274,144,781.00 | 0.25% | 50.15% |
| Smart medical engineering | 1,044,238,829.00 | 1.14% | 863,981,458.00 | 0.80% | 20.86% |
| Others and offset | -6,082,112,494.00 | -6.64% | -6,565,292,102.00 | -6.04% | -7.36% |
| By product category | |||||
| Display devices | 82,641,917,513.00 | 90.21% | 100,644,922,831.00 | 92.66% | -17.89% |
| IoT innovation | 13,490,882,043.00 | 14.73% | 13,321,094,890.00 | 12.26% | 1.27% |
| Sensor and solution | 103,681,585.00 | 0.11% | 79,166,852.00 | 0.07% | 30.97% |
| MLED | 411,634,393.00 | 0.45% | 274,144,781.00 | 0.25% | 50.15% |
| Smart medical engineering | 1,044,238,829.00 | 1.14% | 863,981,458.00 | 0.80% | 20.86% |
| Others and offset | -6,082,112,494.00 | -6.64% | -6,565,292,102.00 | -6.04% | -7.36% |
| By operating segment | |||||
| Mainland China | 37,391,483,962.00 | 40.81% | 50,358,289,184.00 | 46.36% | -25.75% |
| Other regions in Asia | 37,757,230,449.00 | 41.22% | 44,464,483,584.00 | 40.94% | -15.08% |
BOE Technology Group Co., Ltd. Interim Report 2022
| Europe | 2,914,549,849.00 | 3.18% | 3,602,389,524.00 | 3.32% | -19.09% |
| America | 13,503,340,713.00 | 14.74% | 10,094,599,107.00 | 9.29% | 33.77% |
| Other regions | 43,636,896.00 | 0.05% | 98,257,311.00 | 0.09% | -55.59% |
Operating division, product category or operating segment contributing over 10% of operating revenue or operating profit:
? Applicable □ Not applicable
Unit: RMB
| Item | Operating revenue | Cost of sales | Gross profit margin | YoY change in operating revenue (%) | YoY change in cost of sales (%) | YoY change in gross profit margin (%) |
| By operating division | ||||||
| Display devices | 82,641,917,513.00 | 69,884,436,495.00 | 15.44% | -17.89% | -3.40% | -12.68% |
| IoT innovation | 13,490,882,043.00 | 12,263,288,192.00 | 9.10% | 1.27% | 3.87% | -2.27% |
| By product category | ||||||
| Display devices | 82,641,917,513.00 | 69,884,436,495.00 | 15.44% | -17.89% | -3.40% | -12.68% |
| IoT innovation | 13,490,882,043.00 | 12,263,288,192.00 | 9.10% | 1.27% | 3.87% | -2.27% |
| By operating segment | ||||||
| Mainland China | 37,391,483,962.00 | 29,333,965,536.00 | 21.55% | -25.75% | -18.68% | -6.82% |
| Other regions in Asia | 37,757,230,449.00 | 30,966,230,745.00 | 17.99% | -15.08% | 4.53% | -15.39% |
| America | 13,503,340,713.00 | 11,568,639,131.00 | 14.33% | 33.77% | 70.49% | -18.45% |
Core business data of the prior year restated according to the changed statistical caliber for the Reporting Period:
□ Applicable ? Not applicable
IV Analysis of Non-Core Businesses? Applicable □ Not applicable
Unit: RMB
| Item | Amount | As % of total profit | Source/Reason | Recurrent or not |
| Return on investment | 646,167,675.00 | 13.20% | Income recognized from associates | Not |
| Gain/loss on changes in fair value | 77,771,038.00 | 1.59% | N/A | Not |
| Asset impairments | -4,528,459,543.00 | -92.53% | Inventory valuation allowances established based on market conditions | Not |
| Non-operating income | 99,586,182.00 | 2.03% | N/A | Not |
| Non-operating expense | 17,425,496.00 | 0.36% | N/A | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
V Analysis of Assets and Liabilities
1. Material Changes in Asset Composition
Unit: RMB
| Item | 30 June 2022 | 31 December 2021 | Change in percentage (%) | Reason for material change | ||
| Amount | As % of total assets | Amount | As % of total assets | |||
| Monetary assets | 84,788,918,128.00 | 19.00% | 80,986,835,088.00 | 17.99% | 1.01% | N/A |
| Accounts receivable | 25,711,089,557.00 | 5.76% | 35,503,414,820.00 | 7.89% | -2.13% | N/A |
| Contract assets | 88,068,862.00 | 0.02% | 75,698,324.00 | 0.02% | 0.00% | N/A |
| Inventories | 33,018,794,213.00 | 7.40% | 27,805,161,436.00 | 6.18% | 1.22% | N/A |
| Investment property | 1,137,543,991.00 | 0.25% | 1,158,365,401.00 | 0.26% | -0.01% | N/A |
| Long-term equity investments | 6,646,019,274.00 | 1.49% | 6,040,948,317.00 | 1.34% | 0.15% | N/A |
| Fixed assets | 214,032,994,330.00 | 47.96% | 227,141,366,885.00 | 50.45% | -2.49% | N/A |
| Construction in progress | 40,146,851,520.00 | 9.00% | 32,099,711,879.00 | 7.13% | 1.87% | N/A |
| Right-of-use assets | 879,444,501.00 | 0.20% | 753,164,237.00 | 0.17% | 0.03% | N/A |
| Short-term borrowings | 2,766,638,569.00 | 0.62% | 2,072,057,332.00 | 0.46% | 0.16% | N/A |
| Contract liabilities | 3,306,387,693.00 | 0.74% | 3,765,081,554.00 | 0.84% | -0.10% | N/A |
| Long-term borrowings | 123,858,634,582.00 | 27.75% | 116,078,666,587.00 | 25.78% | 1.97% | N/A |
| Lease liabilities | 747,894,221.00 | 0.17% | 669,130,264.00 | 0.15% | 0.02% | N/A |
2. Major Assets Overseas
□ Applicable ? Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
3. Assets and Liabilities at Fair Value
? Applicable □ Not applicable
Unit: RMB
| Item | Beginning amount | Gain/loss on fair-value changes in the Reporting Period | Cumulative fair-value changes charged to equity | Impairment allowance for the Reporting Period | Purchased in the Reporting Period | Sold in the Reporting Period | Other changes | Ending amount |
| Financial assets | ||||||||
| 1. Held-for-trading financial assets (excluding derivative financial assets) | 10,635,068,300.00 | 77,771,038.00 | 0.00 | 0.00 | 42,272,000,000.00 | 35,581,000,000.00 | 0.00 | 17,317,207,971.00 |
| 2.Derivative financial assets | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Investments in other debt obligations | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Investments in other equity instruments | 519,088,146.00 | 0.00 | -197,519,293.00 | 0.00 | 18,036,272.00 | 0.00 | 0.00 | 550,228,080.00 |
| Subtotal of financial assets | 11,154,156,446.00 | 77,771,038.00 | -197,519,293.00 | 0.00 | 42,290,036,272.00 | 35,581,000,000.00 | 0.00 | 17,867,436,051.00 |
| Investment property | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Productive living assets | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Others | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total of the above | 11,154,156,446.00 | 77,771,038.00 | -197,519,293.00 | 0.00 | 42,290,036,272.00 | 35,581,000,000.00 | 0.00 | 17,867,436,051.00 |
| Financial liabilities | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
Contents of other changes:
N/ASignificant changes to the measurement attributes of the major assets in the Reporting Period:
□ Yes ? No
BOE Technology Group Co., Ltd. Interim Report 2022
4. Restricted Asset Rights as at the Period-End
Unit: RMB
VI Investments Made
1. Total Investments Made
? Applicable □ Not applicable
| Investments made in this Reporting Period (RMB) | Investments made in the same period of last year (RMB) | Change（%） |
| 252,036,272.00 | 796,092,446.00 | -68.34% |
2. Significant Equity Investments Made in the Reporting Period
□ Applicable ? Not applicable
3. Significant Non-Equity Investments Ongoing in the Reporting Period
□ Applicable ? Not applicable
| Item | Ending carrying value | Reason for restriction |
| Monetary assets | 4,740,547,715.00 | Mainly margin deposit |
| Notes receivable | 110,215,838.00 | Endorsed and transferred with right of recourse, and put in pledge for the issuance of notes payable |
| Inventories | 0.00 | N/A |
| Fixed assets | 151,628,122,893.00 | Mortgaged as collateral |
| Intangible assets | 1,477,181,999.00 | Mortgaged as collateral |
| Construction in progress | 453,776,871.00 | Mortgaged as collateral |
| Investment property | 40,313,449.00 | Mortgaged as collateral |
| Total | 158,450,158,765.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
4. Financial Investments
(1) Securities Investments
? Applicable □ Not applicable
Unit: RMB
| Variety of securities | Code of securities | Name of securities | Initial investment cost | Accounting measurement model | Beginning carrying value | Profit/loss on fair value changes in this Reporting Period | Cumulative fair value changes charged to equity | Purchased in this Reporting Period | Sold in this Reporting Period | Profit/loss in this Reporting Period | Ending carrying value | Accounting title | Funding source |
| Domestic/overseas stock | SH600658 | Electronic Zone | 90,160,428.00 | Fair value method | 56,638,836.00 | 0.00 | -32,971,701.00 | 0.00 | 0.00 | 206,209.00 | 57,188,727.00 | Other equity instrument investment | Self-funded |
| Domestic/overseas stock | HK01963 | Bank of Chongqing | 120,084,375.00 | Fair value method | 91,875,688.00 | 0.00 | -30,022,420.00 | 0.00 | 0.00 | 9,563,780.00 | 90,061,955.00 | Other equity instrument investment | Self-funded |
| Domestic/overseas stock | HK01518 | New Century Healthcare | 140,848,850.00 | Fair value method | 19,810,485.00 | 0.00 | -124,529,381.00 | 0.00 | 0.00 | 0.00 | 16,319,469.00 | Other equity instrument investment | Self-funded |
| Other securities investments held at the period-end | 0.00 | -- | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -- | -- | ||
| Total | 351,093,653.00 | -- | 168,325,009.00 | 0.00 | -187,523,502.00 | 0.00 | 0.00 | 9,769,989.00 | 163,570,151.00 | -- | -- | ||
(2) Investments in Derivative Financial Instruments
? Applicable □ Not applicable
Unit: RMB’0,000
| Counterparty | Relationship with the Company | Related-party transaction | Type of derivative | Initial investment amount | Start date | End date | Beginning investment amount | Purchased in the Reporting | Sold in the Reporting | Impairment allowance (if any) | Ending investment amount | Ending investment amount | Actual gain/loss in the |
BOE Technology Group Co., Ltd. Interim Report 2022
| or not | Period | Period | as % of the Company’s ending net asset value | Reporting Period | |||||||||
| Financial institutions | Not related parties | Not | Foreign exchange forward contract | 77,145.97 | 1 January 2022 | 30 June 2022 | 77,145.97 | 0.00 | 40,233.27 | 0.00 | 36,912.70 | 0.26% | 191.48 |
| Total | 77,145.97 | -- | -- | 77,145.97 | 0.00 | 40,233.27 | 0.00 | 36,912.70 | 0.26% | 191.48 | |||
| Funding source | Self-funded | ||||||||||||
| Legal matters involved (if applicable) | N/A | ||||||||||||
| Analysis of risks and control measures associated with the derivative investments held in the Reporting Period (including but not limited to market, liquidity, credit, operational and legal risks, etc.) | As of the end of the reporting period, the financial derivatives held by the company are foreign exchange forward contracts, and the risks faced are related to the uncertainty of the foreign exchange market in the future. The company's control measures for the financial derivatives are as follows: the company controls the types of derivative transactions, reasonably matches the scale of derivative transactions, and the transactions must match the company's production, operation and development planning, mainly for the purpose of cost locking and risk prevention. | ||||||||||||
| Changes in market prices or fair value of derivative investments in the Reporting Period (fair value analysis should include measurement methods and related assumptions and parameters) | The fair value of the invested derivatives at the end of the reporting period shall be determined by reference to the market quotation of the external financial institutions. | ||||||||||||
| Significant changes in accounting policies and specific accounting principles adopted for derivative investments in the Reporting Period compared to the last reporting period | No major changes | ||||||||||||
| Opinion of independent directors on derivative investments and risk control | N/A | ||||||||||||
5. Use of Funds Raised
? Applicable □ Not applicable
(1) Overall Usage of Funds Raised
? Applicable □ Not applicable
Unit: RMB’0,000
| Year | Way of raising | Total funds raised | Total funds used in the Current Period | Accumulative fund used | Total funds with usage changed | Accumulative funds with usage changed | Proportion of accumulative funds with usage changed | Total unused funds | The usage and destination of unused funds | Amount of funds raised idle for over two years |
| 2021 | Private | 2,033,260 | 90,928 | 1,840,745 | 0 | 0 | 0.00% | 192,515 | Continuously | 0 |
BOE Technology Group Co., Ltd. Interim Report 2022
| placement of stocks | used for the construction of equity investment project | |||||||||
| 2022 | Renewable corporate bonds | 200,000 | 200,000 | 200,000 | 0 | 0 | 0.00% | 0 | N/A | 0 |
| Total | -- | 2,233,260 | 290,928 | 2,040,745 | 0 | 0 | 0.00% | 192,515 | -- | 0 |
| Explanation of overall usage of funds raised | ||||||||||
| The Company raised RMB2,000,000,000 from the above-mentioned offering of renewable corporate bonds during the Reporting Period, and the net proceeds exclusive of issuance costs were RMB1,989,000,000, which would be used for capital increase to subsidiary and replenishing the working capital. The raised funds of RMB2,000,000,000 have been used up in the Reporting Period, conforming to the provisions of the prospectus. The cumulative amount of raised funds through private placement of stocks was RMB20,332,599,995.83, and the net proceeds after deducting issuance costs were RMB19,869,507,400. In the Reporting Period, the raised funds were used according to project investment plans, conforming to the relevant promise. | ||||||||||
(2) Commitment Projects of Fund Raised
? Applicable □ Not applicable
Unit: RMB’0,000
| Committed investment project and super raise fund arrangement | Changed or not (including partial changes) | Committed investment amount | Investment amount after adjustment (1) | Investment amount in the Reporting Period | Accumulative investment amount as of the period-end (2) | Investment schedule as the period-end (3)＝(2)/(1) | Date of reaching intended use of the project | Realized income in the Reporting Period | Whether reached anticipated income | Whether occurred significant changes in project feasibility |
| Committed investment project | ||||||||||
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | Not | 300,000 | 300,000 | 0 | 300,000 | 100.00% | - | - | N/A | Not |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | Not | 650,000 | 650,000 | 0 | 650,000 | 100.00% | - | - | N/A | Not |
| Chongqing BOE Display Technology Co., Ltd. | Not | 600,000 | 600,000 | 88,035 | 508,365 | 84.73% | - | - | N/A | Not |
| Yunnan Chuangshijie Optoelectronics Technology Co., Ltd. | Not | 100,000 | 100,000 | 0 | 0 | 0.00% | - | - | N/A | Not |
| Chengdu BOE Hospital Co., Ltd. | Not | 50,000 | 50,000 | 2,893 | 49,120 | 98.24% | - | - | N/A | Not |
| Supplementation of | Not | 286,951 | 286,951 | 0 | 286,951 | 100.00% | - | - | N/A | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
| working capital | ||||||||||
| Chengdu BOE Optoelectronics Technology Co., Ltd. | Not | 100,000 | 100,000 | 100,000 | 100,000 | 100.00% | - | - | N/A | Not |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | Not | 90,000 | 90,000 | 90,000 | 90,000 | 100.00% | - | - | N/A | Not |
| Supplementation of working capital | Not | 10,000 | 8,900 | 8,900 | 8,900 | 100.00% | - | - | N/A | Not |
| Subtotal of committed investment project | -- | 2,186,951 | 2,185,851 | 289,828 | 1,993,336 | -- | -- | - | -- | -- |
| Super raised funds arrangement | ||||||||||
| N/A | ||||||||||
| Total | -- | 2,186,951 | 2,185,851 | 289,828 | 1,993,336 | -- | -- | - | -- | -- |
| Condition and reason for not reaching the schedule and anticipated income (by specific items) | N/A | |||||||||
| Notes of condition of significant changes occurred in project feasibility | N/A | |||||||||
| Amount, usage and schedule of super raise fund | N/A | |||||||||
| Changes in implementation address of investment project | N/A | |||||||||
| Adjustment of implementation mode of investment project | N/A | |||||||||
| Advance investments in projects financed with raised funds and swaps of such advance investments with subsequent raised funds | Applicable | |||||||||
| As at 30 June 2022, the funds raised through Phase I of renewable corporate bonds of 2022 were used to swap with advance project investments of RMB1.9 billion. As at 30 June 2022, the Company had replaced the prior invested funds of the committed investment projects with the raised funds from the non-public offering of shares for a total amount of RMB6,023.0660 million . Of these, RMB3 billion was to replace the Company's own funds invested in repaying the loan of Fuzhou Urban Construction Investment Group. RMB250 million was to replace the own funds invested in BOE Health Investment Management Company Limited, and RMB2,773.0660 million was to replace the own funds invested in Chongqing BOE Display Technology Co., Ltd. | ||||||||||
| Idle fund supplementing the current capital | N/A | |||||||||
BOE Technology Group Co., Ltd. Interim Report 2022
| temporarily | |
| Amount of surplus in project implementation and the reasons | Applicable |
| As at 30 June 2022, the funds raised through the renewable corporate bonds have been used up, with a balance of RMB3.2148 million in the raised funds account, which was the interest income generated during the deposit period. As at 30 June 2022, the balance of the raised funds from the non-public offering of shares was RMB1,987.1914 million, representing the unused raised funds and interest income generated during the deposit period. | |
| Usage and destination of unused funds | As at 30 June 2022, the unspent raised funds will be paid for the purposes specified in the Issuance Report and Listing Notice. |
| Problems incurred in fund using and disclosure or other condition | N/A |
(3) Changes in Items of Funds Raised
□ Applicable ? Not applicable
No such cases in the Reporting Period.VII Sale of Major Assets and Equity Interests
1. Sale of Major Assets
□ Applicable ? Not applicable
No such cases in the Reporting Period.
2. Sale of Major Equity Interests
□ Applicable ? Not applicable
VIII Main Controlled and Joint Stock Companies? Applicable □ Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
Main subsidiaries and joint stock companies with an over 10% influence on the Company’s net profit
Unit: RMB
| Name | Relationship with the Company | Principal activities | Registered capital | Total assets | Net assets | Operating revenue | Operating profit | Net profit |
| Chongqing BOE Optoelectronics Technology Co., Ltd. | Subsidiary | R&D, Production, and sales of semi-conductor display device, complete machine, and relevant products; import and export business and technology consulting of goods. | 19,226,000,000 | 51,086,339,315.00 | 42,050,779,329.00 | 14,584,108,287.00 | 4,735,993,509.00 | 4,022,938,055.00 |
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | Subsidiary | Investment construction, R&D, Production, and sales of relevant products of TFT-LCD and its matching products. | 17,600,000,000 | 30,373,168,281.00 | 23,361,695,160.00 | 7,503,816,684.00 | 1,111,851,720.00 | 950,620,453.00 |
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | Subsidiary | Investment construction, R&D, Production, and sales of relevant products of TFT-LCD and its matching products. | 19,500,000,000 | 33,048,144,814.00 | 24,091,526,663.00 | 9,490,240,470.00 | 819,647,212.00 | 699,264,696.00 |
Subsidiaries obtained or disposed in this Reporting Period
□ Applicable ? Not applicable
Information about major majority- and minority-owned subsidiaries:
N/AIX Structured Bodies Controlled by the Company
□ Applicable ? Not applicable
X Risks Facing the Company and CountermeasuresDue to the challenges brought about by the pandemic and the ever-changing environment, the uncertainty of the global political and business environment continued to increase and the macroenvironment was extraordinarily severe and complex. International geopolitical turbulence continued while inflation was spiking around the world, forcing central banks of many countries to
BOE Technology Group Co., Ltd. Interim Report 2022
regulate their economies through interest rate hikes, RRR cuts and other methods. However, the recovery of the global economy remained weak, dampening consumer confidence. Facing such anenvironment, the Company withstood the pressure, insisted on guaranteeing the resource input into technology, continuously enhanced its technological strength and deepened the strategiccooperation with upstream and downstream partners to overcome the current difficulties with joint efforts. Meanwhile, the Company continued to pursue innovation-driven development,accelerated the IoT transformation, and actively promoted the building of a safe and sound industrial ecology to respond to the impact of the external environment on all fronts.
BOE Technology Group Co., Ltd. Interim Report 2022
Part IV Corporate Governance
I Annual and Extraordinary General Meeting Convened during the Reporting Period
1. General Meetings Convened during the Reporting Period
| Meeting | Type | Investor participation ratio | Convened date | Disclosure date | Meeting resolutions |
| The 2021 Annual General Meeting | Annual General Meeting | 24.61% | 28 April 2022 | 29 April 2022 | The following reports and proposals were deliberated and approved, i.e., Report on the Work of the Board of Directors for 2021, Report on the Work of the Board of Supervisors for 2021, Full Annual Report and Summary for 2021, Financial Final Report for 2021 and Business Plan for 2022, Proposal for the Distribution of Profits for 2021, Proposal on Borrowing and Credit Line, Proposal on the Development of Structured Deposits and Other Principal-protected Business, Proposal on Provision of Guarantee by A Subsidiary of Beijing BOE Energy Technology Co., Ltd. for the 200,000 kW Photovoltaic Project of Sonid Right Banner, Proposal on Provision of Guarantee for BOE Vision Electronic Technology Co., Ltd., Proposal on the Intended Appointment of an Audit Agency for 2022, Proposal on Repurchase of Domestic Listed Foreign Investment Shares (B Share) of the Company, Proposal on Purchase of Liability Insurance for Directors, Supervisors, and Senior Managers, Proposal on the Amendment of the Articles of Association of the Company and other Policies, Proposal on the Amendment of the Rules of Procedure for the Supervisory Committee, Election of Non-Independent Directors, Election of Independent Directors, and Election of Supervisors. |
2. Extraordinary General Meetings Convened at the Request of Preference Shareholders with ResumedVoting Rights
□ Applicable ? Not applicable
II Change of Directors, Supervisors and Senior Management
? Applicable □ Not applicable
| Name | Office title | Type of change | Date of change | Reason for change |
| Wang Jing | Director | Resigned | 17 March 2022 | Voluntary resignation |
| Song Jie | Director | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Hu Xiaolin | Independent Director | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Li Xuan | Independent Director | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Yang Xiangdong | Chairman of the Supervisory Committee | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Wei Shuanglai | Supervisor | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
BOE Technology Group Co., Ltd. Interim Report 2022
| Chen Xiaobei | Supervisor | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Shi Hong | Supervisor | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| He Daopin | Employee Supervisor | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Yao Xiangjun | Senior management | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Zhang Zhaohong | Senior management | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Zhong Huifeng | Senior management | Resigned upon expiry of tenure | 28 April 2022 | Resigned upon expiry of tenure |
| Fan Yuanning | Director | Elected | 28 April 2022 | Elected |
| Guo He | Independent Director | Elected | 28 April 2022 | Elected |
| Wang Duoxiang | Independent Director | Elected | 28 April 2022 | Elected |
| Wang Jin | Chairman of the Supervisory Committee | Elected | 28 April 2022 | Elected |
| Shi Xiaodong | Supervisor | Elected | 28 April 2022 | Elected |
| Xu Jinghe | Supervisor | Elected | 28 April 2022 | Elected |
| Wang Xiping | Senior management | Appointed | 28 April 2022 | Appointed |
| Yang Xiaoping | Senior management | Appointed | 28 April 2022 | Appointed |
III Interim Dividend Plan
□ Applicable ? Not applicable
The Company has no interim dividend plan, either in the form of cash or stock.
IV Equity Incentive Plans, Employee Stock Ownership Plans or Other Incentive Measures forEmployees
? Applicable □ Not applicable
1. Equity Incentives
The Company held the 15th Meeting of the 9th Board of Directors and the 2nd Extraordinary General Meeting of 2020 on 27 August2020 and 17 November 2020 respectively and deliberated and approved the 2020 Stock Option and Restricted Stock Grant Program,in which the Company intends to implement the Equity Incentive Scheme, including both the Stock Option Incentive Scheme and theRestricted Stock Incentive Scheme. On 30 October 2020, the Company received the Approval on the Implementation of the EquityIncentive Scheme of BOE (J.G.Z. [2020] No. 77) from the State-owned Assets Supervision and Administration Commission of People'sGovernment of Beijing Municipality forwarded by Beijing Electronics Holding Co., Ltd, the actual controller, and the State-ownedAssets Supervision and Administration Commission of People's Government of Beijing Municipality approved in principle theimplementation of this incentive scheme by the Company. Following the approval of the Proposal on the First Grant of Stock Optionsand Restricted Shares to Incentive Objects at the 20th Meeting of the 9th Board of Directors and the 8th Meeting of the 9th SupervisoryCommittee, the Company disclosed the Announcement on Completion of Registration of the First Grant of the 2020 Stock Option andRestricted Stock Incentive Scheme (Announcement No.: 2020-086) on 31 December 2020. Following the approval of the Proposal onthe Awarding of Reserved Stock Options to Incentive Objects at the 31st Meeting of the 9th Board of Directors and the 13th Meetingof the 9th Supervisory Committee, the Company disclosed the Announcement on Completion of Registration of the Reserved andGranted Stock Option of the 2020 Stock Option and Restricted Stock Incentive Scheme (Announcement No.: 2021-084) on 23 October2021. The Company disclosed the Announcement on Adjustment of the Exercise Price of the Stock Option and the Restricted Share
BOE Technology Group Co., Ltd. Interim Report 2022
Repurchase Price in the 2020 Stock Option and Restricted Stock Incentive Scheme of the Company (Announcement No.: 2022-059)on 30 August 2022. Since the equity distribution of the Company for 2021 has been completed, the restricted share repurchase priceinvolved in this incentive scheme is adjusted from RMB2.62/share to RMB2.41/share, the exercise price of the first grant of the stockoption is adjusted from RMB5.33/share to RMB5.12/share, and the exercise price of the reserved and granted stock option is adjustedfrom RMB5.83/share to RMB5.62/share. The Company disclosed the Announcement on the Repurchase and Retirement of CertainRestricted Shares (Announcement No.: 2022-060) and the Announcement on the Cancellation of Certain Stock Options(Announcement No.: 2022-061) on 30 August 2022, in which the Company intends to repurchase and cancel 6,153,700 shares ofrestricted shares and cancel a total of 24,073,200 shares of stock options in this incentive scheme that have been awarded to incentiveobjects but have not been exercised by them since some incentive objects voluntarily resigned for personal reasons.
2. Implementation of Employee Stock Ownership Plans
□ Applicable ? Not applicable
3. Other Incentive Measures for Employees
□ Applicable ? Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
Part V Environmental and Social Responsibility
I Major Environmental Issues
Indicate by tick mark whether the Company or any of its subsidiaries is a heavily polluting business identified by the environmentalprotection authorities of China.? Yes □ No
| Name of polluter | Name of major pollutants | Way of discharge | Number of discharge outlets | Distribution of discharge outlets | Discharge concentration | Discharge standards implemented | Total discharge | Approved total discharge | Excessive discharge |
| Beijing BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northwest corner of factory | 94 mg/L | 500mg/l | 132t | 828.418t | None |
| Ammonia nitrogen | 2.85 mg/L | 45 mg/L | 4.07t | 59.173t | None | ||||
| The 4.5 generation TFT-LCD production line of Chengdu BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | North side of factory | 142.98mg/L | 500mg/l | 69.43t | 607.66t | None |
| Ammonia nitrogen | 18.80mg/L | 45mg/L | 9.21t | 54.69t | None | ||||
| Hefei BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northwest corner of factory | 35.39mg/L | 380mg/L | 63.52t | 1081.55t | None |
| Ammonia nitrogen | 1.92mg/L | 30mg/L | 3.47t | 101.23t | None | ||||
| Beijing BOE Display Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 (main discharge outlet of wastewater) | East gate of factory | 135.56mg/L | 500mg/l | 337.5t | 1570.32t | None |
| Ammonia nitrogen | 20.04mg/L | 45mg/l | 49.78t | 183.20t | None | ||||
| COD | 1(S2 Phase II discharge outlet of sanitary sewage) | South gate of dormitory area | 47.83mg/L | 500mg/l | 2.00t | 80.76t | None | ||
| Ammonia nitrogen | 24.8mg/L | 45mg/l | 1.91t | 6.06t | None | ||||
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northeast side of factory | 128.5mg/L | 350mg/L | 382.13t | 3135.04t | None |
| Ammonia nitrogen | 8.47mg/L | 35mg/L | 24.89t | 313.5t | None | ||||
| Erdos Yuansheng Optoelectronics Co., Ltd. | COD | Standard emission after being treated by sewage treatment | 1 | North side of factory | 108.34mg/L | 500mg/L | 71.067t | 713.81t | None |
| Ammonia nitrogen | 3.98mg/L | 45mg/L | 1.27t | 2.635t | None |
BOE Technology Group Co., Ltd. Interim Report 2022
| system | |||||||||
| The 6th generation flexible AMOLED production line of Chengdu BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | North side of factory | 47.27mg/L | 500mg/L | 88.557t | 2443.16t | None |
| Ammonia nitrogen | 18.14mg/L | 45mg/L | 33.727t | 203.53t | None | ||||
| Chongqing BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | South side of factory | 100.87mg/L | 400mg/L | 193.098t | 1900.24t | None |
| Ammonia nitrogen | 4.37mg/L | 30mg/L | 8.345t | 146.17t | None | ||||
| Hefei BOE Display Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | North side of factory | 62.83mg/L | 400mg/L | 325.76t | 4759.56t | None |
| Ammonia nitrogen | 14.92mg/L | 35mg/L | 77.57t | 416.46t | None | ||||
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northeast side of factory | 12.89mg/L | 500mg/L | 32.14t | 297.50t | None |
| Ammonia nitrogen | 0.26mg/L | 45mg/L | 0.66t | 29.75t | None | ||||
| Mianyang BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | North side of factory | 21.59mg/L | 500mg/L | 32.56t | 7125.85t | None |
| Ammonia nitrogen | 1.57mg/L | 45mg/L | 2.37t | 368.58t | None | ||||
| Chongqing BOE Display Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | North side of factory | 8.54mg/L | 400mg/L | 8.21t | 4171.2t | None |
| Ammonia nitrogen | 1.41mg/L | 35mg/L | 0.68t | 398.4t | None | ||||
| Wuhan BOE Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northeast corner of factory | 58.22mg/L | 500mg/L | 281.08t | 2413.73t | None |
| Ammonia nitrogen | 5.97mg/L | 45mg/L | 28.84t | 217.24t | None | ||||
| Nanjing BOE Display Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | South side of factory | 94.2mg/L | 500mg/L | 172.45t | 2215.01t | None |
| Ammonia nitrogen | 3.6mg/L | 45mg/L | 25.69t | 183.67t | None | ||||
| Chengdu CEC Panda Display Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment | 1 | Northwest corner of factory | 130.53mg/L | 500mg/L | 74.79t | 4310.1t | None |
| Ammonia nitrogen | 20.19mg/L | 45mg/L | 11.97t | 148.8t | None |
BOE Technology Group Co., Ltd. Interim Report 2022
| system | |||||||||
| BOE (Hebei) Mobile Display Technology Co., Ltd. | COD | Discharged into sewage treatment plant through municipal pipes | 1 | North side of factory | 174.148mg/L | 500mg/L | 6.965t | 88.491t | None |
| Ammonia nitrogen | 8.812mg/L | 45mg/L | 0.364t | 7.754t | None | ||||
| Yunnan Chuangshijie Optoelectronics Technology Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northwest corner of factory | 63.5mg/L | 500mg/L | 3.4t | Industrial and domestic sewage of the project, upon treatment, is discharged to the industrial sewage plant of Linkong Industrial Park in Dianzhong New Zone, Kunming, Yunnan Province and included in the total discharge of the sewage plant. | None |
| Ammonia nitrogen | 10.9mg/L | 45mg/L | 0.27t | None | |||||
| BOE Technology Group Co., Ltd. | COD | Standard emission after being treated by sewage treatment system | 1 | Northwest corner of factory | 104mg/L | 500mg/L | 0.58t | 11.114t | None |
| Ammonia nitrogen | 3.59mg/L | 45mg/L | 0.02t | 0.341t | None |
Construction of pollution prevention equipment and operation conditionDuring the Reporting Period, the Company did not have any serious environmental problems. The Company builds sound environmentmanagement systems and establishes the environment management organizations to supervise the overall environment performance ofthe Company, work out the environment management objectives and related systems, conduct regular supervision and instruction forthe environment management of subsidiaries and push forward the implementation of environment management.Currently, the waste water which is generated by each subsidiary of the Company can be divided in to industrial waste water andhousehold waste water. Rain water-waste water shunting system is adopted for drainage system to drain water separately according todifferent natures. After collecting, the rain water is discharged into rain water pipeline of factory; after the rain water is collected byrain water pipe network, the rain water is discharged. After being treated by sewage treatment system in factory, industrial waste wateris discharged into sewage treatment factory through municipal pipe network for intense treatment. Household waste water compriseshousehold fecal waste water and canteen oily waste water etc, after pretreatment, the waste water is discharged into municipal sewagetreatment factory. All industrial and household waste water is not discharged directly, and the concentration and total amount of drainagesatisfy the requirements of national and local relevant standards.In additional, the exhaust gas which is emitted by each subsidiary mainly comes from technology exhaust gas during production process,
BOE Technology Group Co., Ltd. Interim Report 2022
generally including acid exhaust gas, alkaline exhaust gas, special exhaust gas and organic exhaust gas etc. Various exhaust gas can beemitted after being treated by independent emission treatment system. The emission concentration and total amount satisfy the nationaland local relevant standards.“4R concept” for the use of materials has been used by the Company, that is recycle (Recycle), reduction (Reduce), renewal (Renew)and responsibility (responsibly). The Company promises that the used materials are all in accordance with requirements of nationalrelevant environmental regulations and the registration, assessment, permission and restriction system of chemicals. In additional, theCompany promotes the recycle of package materials constantly. The waste materials which are generated by each subsidiary can bedivided into general industrial solid waste, hazardous waste materials and household waste materials, and they all handed over toqualified recycler for regular treatment. The disposal rate of hazardous waste materials is 100%.The Company focuses on the recycle of water resource and advanced cleaning methods such as adverse cleaning etc are adopted bysubsidiaries for processing equipment. Most high purity water and chemicals are recycled, reducing the consumption of high puritywater, chemical and other materials maximally and reducing the discharge of waste water and waste materials.At present, each subsidiary formulates various management methods such as water pollution management standard, air pollutionmanagement standard, hazardous waste materials management standard, energy management standard etc. The methods specify theoperation and maintenance regulations and requirements of pollutant treatment system, establish regular monitoring and supervisingmechanism, in order to ensure the continuous stable operation of each system.In recent years, the environmental emission index of the Company is up to national standards such as Sewage Comprehensive DischargeStandard, Air Pollutant Comprehensive Emission Standard, Industrial Enterprise Environmental Noise Emission Standard withinFactory Boundary, etc and local standards. The Company will continue to promote the environmental management, devote to forginggreen factory and improve environmental management level constantly.Environmental Impact Assessment on Construction Project and Other Administrative Licenses for Environmental ProtectionAt present, corresponding environmental impact assessments have been conducted for all construction projects under the control of theCompany in conformity with applicable national and local laws and regulations, and corresponding administrative licenses have alsobeen obtained.Contingency Plan for Emergent Environmental IncidentsEvery subsidiary of the Company has formulated, updated and filed corresponding contingency plan for emergent environmentalincidents in local environmental protection departments according to their requirements. However, such contingency plan consists ofcomprehensive plan, special plan and on-site disposal plan, and involves various aspects such as waste water, exhaust gas, hazardouswastes and dangerous chemicals etc. Meanwhile, drills must be conducted regularly.Self-monitoring PlanCurrently, major pollutant-discharging units subordinated to the Company have worked out corresponding self-monitoring planaccording to relevant requirements put forward by the local environmental protection agency. The self-monitoring plans respectivelyformulated by Beijing BOE Display Technology Co., Ltd. and Beijing BOE Optoelectronics Technology Co., Ltd. have been publishedvia Beijing Environmental Information Disclosure Platform for Enterprises and Institutions and the Company’s official website.Administrative penalties imposed for environmental issues during the Reporting Period
| Name | Reason | Case | Result | Influence on production and operation | Rectification measures |
| N/A | N/A | N/A | N/A | N/A | N/A |
Other environment information that should be disclosedNoMeasures taken to decrease carbon emission in the Reporting Period and corresponding effects? Applicable □ Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
In the first half of 2022, to respond to the national goal to peak carbon emissions before 2030 and reach carbon neutrality before 2060,the Company promoted the unified planning and effective implementation of carbon emission peak and carbon neutrality, clearly raiseda carbon emission management policy featuring "comprehensive coordination, continuous reduction in carbon emissions, valueextension and green development", and formulated measurable carbon emission management goals to continuously improve theCompany's performance in the management of carbon emission.On the basis of the "6·24" action plan for peaking carbon emissions raised at the end of 2021, in the first half of 2022, the Companycoordinated all relevant undertakings and professional organisations, refined core projects for peak carbon emissions, implementedspecific action plans, and effectively advanced carbon emission peak and carbon neutrality by means of green management, greenproducts, green manufacturing, green recycling, green investment and green actions.Subsidiaries achieve the goal of energy-saving and emission reduction through the operation of the energy management system andthe incentive energy-saving program through refined management on the energy management platform. Results of energy-saving andemission reduction: The number of energy-saving and emission reduction projects was 264 in total in H1 2022. As at the end of June,
74.2903 million kWh of electricity, 2.7115 million tons of water, 0.1246 million cubic meters of natural gas, 0.3344 million cubicmeters of nitrogen, and 3.6 thousand cubic meters of vapor had been saved.Meanwhile, in order to cope with the challenges and opportunities brought by carbon trading, subsidiaries in Beijing actively conductedcarbon emission trading and accumulated carbon trading experience to assist the Company in achieving its goals of carbon emissionpeak and carbon neutrality.Other related environment protection informationThe Company fully considers design for recycling, universal design and minimal design of products in the product design stage, adheresto the green management concept of the full life cycle of products, and follows the principles of minimizing energy and resourceconsumption, minimizing the impact on the ecological environment and maximizing the recyclability.In order to reduce the impact of the logistics transportation process on the environment, the Company and its partners constantlyimprove the transportation management system, carry out reasonable layout and planning of transportation stations and routes, improvethe delivery efficiency, and reduce greenhouse gas emissions.II Social ResponsibilityThe Company did not take any targeted measures to help people lift themselves out of poverty during the Reporting Period, also nosubsequent plans.
BOE Technology Group Co., Ltd. Interim Report 2022
Part VI Significant Events
1. Commitments of the Company’s Actual Controller, Shareholders, Related Parties and Acquirers, as well as the Company Itself andother Entities Fulfilled in the Reporting Period or Ongoing at the Period-end
? Applicable □ Not applicable
| Commitment | Promisor | Type of commitment | Details of commitment | Date of commitment making | Term of commitment | Fulfillment |
| Commitments made in share reform | - | - | - | - | - | - |
| Commitments made in acquisition documents or shareholding alteration documents | - | - | - | - | - | - |
| Commitments made in time of asset restructuring | - | - | - | - | - | - |
| Commitments made in time of IPO or refinancing | - | - | - | - | - | - |
| Equity incentive commitments | - | - | - | - | - | - |
| Other commitments made to minority interests | The Chairman of the Board: Mr. Chen Yanshun Vice Chairman of the Board: Mr. Liu Xiaodong Director: Ms. Sun Yun and Mr. Gao Wenbao Supervisor: Mr. Xu Yangping, Mr. Yan Jun and Mr. Teng Jiao Senior Management: Ms. Feng Liqiong, Mr. Xie Zhongdong, Mr. Miao Chuanbin and Mr. Liu Hongfeng | Other commitments | In accordance with the Announcement on the Commitments of not Reducing the Shareholding by Some Directors, Supervisors and Senior Management (No.: 2020-001) disclosed by the Company on 22 February 2020, some of the Company’s directors, supervisors and senior managers, based on their confidence in the Company’s future development and their recognition of the corporate value, promise not to reduce or transfer any shares held in BOE (A shares), not to entrust others to manage specific shares, not to authorize others to execute their voting right by means of any agreement, trust or other arrangements and not to require the Company to repurchase any specific shares during the terms of office and within 6 months after their tenures expire so as to promote the Company’s continuous, stable and healthy development and maintain the rights and | 21 February 2020 | During the term as director, supervisor or senior manager, and in six months after the expiration of the term (the term determined when taking office). | Ongoing |
BOE Technology Group Co., Ltd. Interim Report 2022
| Former Supervisor: Mr. He Daopin Former Senior Management: Mr. Yao Xiangjun, Mr. Zhang Zhaohong, and Mr. Zhong Huifeng | interests of the Company and all shareholders. For any newly-added shares derived from the assignment of rights and interests including the share donation and the reserved funds converted into share capital during the period (corresponding to the specific shares), they shall still keep their promises till the commitment period expires. | |||
| Executed on time or not | Yes | |||
| Specific reasons for failing to fulfill commitments on time and plans for next step (if any) | N/A | |||
BOE Technology Group Co., Ltd. Interim Report 2022
II Occupation of the Company’s Capital by the Controlling Shareholder or any of Its RelatedParties for Non-Operating Purposes
□ Applicable ? Not applicable
No such cases in the Reporting Period.III Irregularities in the Provision of Guarantees
□ Applicable ? Not applicable
No such cases in the Reporting Period.IV Engagement and Disengagement of Independent AuditorAre the interim financial statements audited?
□ Yes ? No
The interim financial statements have not been audited.V Explanations Given by the Board of Directors and the Supervisory Committee Regarding theIndependent Auditor's “Modified Opinion” on the Financial Statements of the ReportingPeriod
□ Applicable ? Not applicable
VI Explanations Given by the Board of Directors Regarding the Independent Auditor's“Modified Opinion” on the Financial Statements of Last Year
□ Applicable ? Not applicable
VII Insolvency and Reorganization
□ Applicable ? Not applicable
No such cases in the Reporting Period.VIII Legal MattersSignificant lawsuits and arbitrations:
□ Applicable ? Not applicable
No such cases in the Reporting Period.Other legal matters:
? Applicable □ Not applicable
| General information | Involved amount (RMB’0,000) | Provision | Progress | Decisions and effects | Execution of decisions | Disclosure date | Index to disclosed information |
| Litigations for | 30,754.62 | No | N/A | N/A | N/A | N/A | N/A |
BOE Technology Group Co., Ltd. Interim Report 2022
H1 2022(includingcarryforwards inprevious years )
IX Punishments and Rectifications
□ Applicable ? Not applicable
X Credit Quality of the Company as well as its Controlling Shareholder and De FactoController
□ Applicable ? Not applicable
XI Major Related-Party Transactions
1. Continuing Related-Party Transactions
□ Applicable ? Not applicable
No such cases in the Reporting Period.
2. Related-Party Transactions Regarding Purchase or Sales of Assets or Equity Interests
□ Applicable ? Not applicable
No such cases in the Reporting Period.
3. Related Transactions Regarding Joint Investments in Third Parties
□ Applicable ? Not applicable
No such cases in the Reporting Period.
4. Amounts Due to and from Related Parties
□ Applicable ? Not applicable
No such cases in the Reporting Period.
5. Transactions with Related Finance Companies
□ Applicable ? Not applicable
The Company did not make deposits in, receive loans or credit from and was not involved in any other finance business with anyrelated finance company or any other related parties.
6. Transactions with Related Parties by Finance Companies Controlled by the Company
□ Applicable ? Not applicable
The finance company controlled by the Company did not make deposits, receive loans or credit from and was not involved in any other
BOE Technology Group Co., Ltd. Interim Report 2022
finance business with any related parties.
7. Other Major Related-Party Transactions
? Applicable □ Not applicableNoneIndex to the public announcements about the said related-party transactions disclosed
| Title of public announcement | Disclosure date | Disclosure website |
| Announcement on Capital Increase to Tianjin Xianzhi Chain Investment Center (Limited Partnership) and the Related-party Transaction | 15 March 2022 | www.cninfo.com.cn |
| Announcement on Estimated Continuing Related-party Transactions for 2022 | 31 March 2022 | www.cninfo.com.cn |
| Announcement on the Receipt of Equity Interests in Hefei BOE Display Technology Co., Ltd. and the Related-party Transaction | 20 July 2022 | www.cninfo.com.cn |
BOE Technology Group Co., Ltd. Interim Report 2022
XII Major Contracts and Execution thereof
1. Entrustment, Contracting and Leases
(1) Entrustment
□ Applicable ? Not applicable
No such cases in the Reporting Period.
(2) Contracting
□ Applicable ? Not applicable
No such cases in the Reporting Period.
(3) Leases
□ Applicable ? Not applicable
No such cases in the Reporting Period.
2. Major Guarantees
? Applicable □ Not applicable
Unit: RMB'0,000
| Guarantees provided by the Company as the parent and its subsidiaries for external parties (exclusive of those for subsidiaries) | ||||||||||
| Obligor | Disclosure date of the guarantee line announcement | Line of guarantee | Actual occurrence date | Actual guarantee amount | Type of guarantee | Collateral (if any) | Counter guarantee (if any) | Term of guarantee | Having expired or not | Guarantee for a related party or not |
| N/A | ||||||||||
| Guarantees provided by the Company as the parent for its subsidiaries | ||||||||||
| Obligor | Disclosure date of | Line of | Actual | Actual | Type of | Collateral (if | Counter | Term of | Having | Guarantee for |
BOE Technology Group Co., Ltd. Interim Report 2022
| the guarantee line announcement | guarantee | occurrence date | guarantee amount | guarantee | any) | guarantee (if any) | guarantee | expired or not | a related party or not | |
| Ordos YuanSheng Optoelectronics Co., Ltd. | 2016-11-30 | 547,315 | 2017-03-15 | 155,455 | Joint-liability | N/A | N/A | 2017-3-17 to 2027-3-17 | Not | Not |
| Chengdu BOE Optoelectronics Technology Co., Ltd. | 2017-04-24 | 2,251,908 | 2017-08-30 | 1,822,921 | Joint-liability | N/A | N/A | 2017-9-6 to 2029-9-6 | Not | Not |
| Hefei BOE Display Technology Co., Ltd. | 2016-11-30 | 1,657,533 | 2017-08-30 | 871,419 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2017-9-7 to 2027-9-7 | Not | Not |
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | 2015-12-09 | 1,321,331 | 2016-11-08 | 228,554 | Joint-liability | N/A | N/A | 2016-12-19 to 2026-12-19 | Not | Not |
| Mianyang BOE Optoelectronics Co., Ltd. | 2018-05-18 | 2,087,103 | 2018-09-18 | 1,969,581 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2018-9-26 to 2031-9-26 | Not | Not |
| Chongqing BOE Display Technology Co., Ltd. | 2020-04-27 | 2,012,918 | 2020-12-29 | 1,049,387 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2020-12-31 to 2033-12-31 | Not | Not |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | 2019-03-25 | 1,989,932 | 2019-08-16 | 1,620,382 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2019-8-23 to 2032-8-23 | Not | Not |
| Nanjing BOE Display Technology Co., Ltd. | 2020-09-23 | 180,000 | 2021-05-12 | 90,000 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2021-5-12 to 2026-5-31 | Not | Not |
| Nanjing BOE Display Technology Co., Ltd. | 2020-09-23 | 120,000 | 2021-05-12 | 120,000 | Joint-liability | N/A | The secured party provides a counter | 2021-5-12 to 2026-6-6 | Not | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
| guarantee for the guarantor | ||||||||||
| Nanjing BOE Display Technology Co., Ltd. | 2020-09-23 | 105,334 | 2021-07-29 | 52,679 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2021-7-29 to 2025-6-17 | Not | Not |
| Nanjing BOE Display Technology Co., Ltd. | 2020-09-23 | 19,098 | 2021-08-13 | 8,750 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2021-8-13 to 2025-4-28 | Not | Not |
| Nanjing BOE Display Technology Co., Ltd. | 2020-09-23 | 10,500 | 2021-12-27 | 7,500 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2021-12-27 to 2026-8-24 | Not | Not |
| Chengdu BOE Hospital Co., Ltd. | 2020-04-27 | 240,000 | 2020-06-15 | 140,309 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2020-6-15 to 2042-6-30 | Not | Not |
| Total approved line for such guarantees in the Reporting Period (B1) | 0 | Total actual amount of such guarantees in the Reporting Period (B2) | -497,572 | |||||||
| Total approved line for such guarantees at the end of the Reporting Period (B3) | 12,542,972 | Total actual balance of such guarantees at the end of the Reporting Period (B4) | 8,136,938 | |||||||
| Guarantees provided between subsidiaries | ||||||||||
| Obligor | Disclosure date of the guarantee line announcement | Line of guarantee | Actual occurrence date | Actual guarantee amount | Type of guarantee | Collateral (if any) | Counter guarantee (if any) | Term of guarantee | Having expired or not | Guarantee for a related party or not |
| Guangtai Solar Energy Technology (Suzhou) Co., Ltd. | N/A | 5,450 | 2017-12-20 | 3,144 | Joint-liability, pledge | Equity interests | N/A | 2017-12-20 to 2029-4-6 | Not | Not |
| Huanda Trading (Hebei) Co., Ltd. | N/A | 14,600 | 2017-05-24 | 8,997 | Joint-liability, pledge | Equity interests | N/A | 2017-6-15 to 2031-3-16 | Not | Not |
| Yangyuan Photovoltaic Power | N/A | 3,800 | 2020-09-30 | 3,720 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
| Generation (Huanggang) Co., Ltd. | ||||||||||
| Yaoguang New Energy (Shouguang) Co., Ltd. | N/A | 3,600 | 2020-09-30 | 3,524 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Suzhou Industrial Park Taijing Photovoltaic Co., Ltd. | N/A | 2,800 | 2020-09-30 | 2,741 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Qingmei Solar Energy Technology (Lishui) Co., Ltd. | N/A | 3,300 | 2020-09-30 | 2,920 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Qinghong Solar Energy Technology (Jinhua) Co., Ltd. | N/A | 1,700 | 2020-09-30 | 1,504 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Qinghui Solar Energy Technology (Jinhua) Co., Ltd. | N/A | 1,100 | 2020-09-30 | 973 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Hefei Hexu Technology Co., Ltd. | N/A | 400 | 2020-09-30 | 392 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Hefei Chenneng Technology Co., Ltd. | N/A | 800 | 2020-09-30 | 783 | Joint-liability | N/A | N/A | 2020-9-30 to 2034-9-30 | Not | Not |
| Qinghao Solar Energy Technology (Jinhua) Co., Ltd. | N/A | 890 | 2017-12-18 | 633 | Joint-liability, pledge | Equity interests | N/A | 2017-12-18 to 2032-12-18 | Not | Not |
| Xiangqing Solar Energy Technology (Dongyang) Co., Ltd | N/A | 3,476 | 2017-12-18 | 2,098 | Joint-liability, pledge | Equity interests | N/A | 2017-12-18 to 2032-12-18 | Not | Not |
| Qingyue Solar Energy Technology (Wuyi) Co., Ltd | N/A | 960 | 2017-12-18 | 580 | Joint-liability, pledge | Equity interests | N/A | 2017-12-18 to 2032-12-18 | Not | Not |
| Qingyou Solar Energy Technology (Longyou) Co., Ltd | N/A | 2,210 | 2017-12-18 | 1,589 | Joint-liability, pledge | Equity interests | N/A | 2017-12-18 to 2032-12-18 | Not | Not |
| Qingfan Solar Energy Technology (Quzhou) Co., Ltd | N/A | 1,855 | 2017-12-18 | 1,120 | Joint-liability, pledge | Equity interests | N/A | 2017-12-18 to 2032-12-18 | Not | Not |
| Taihang Electric Power Technology (Ningbo) Co., Ltd | N/A | 300 | 2020-12-03 | 271 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
| Guoji Energy (Ningbo) Co., Ltd. | N/A | 1,800 | 2020-12-03 | 1,629 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
| Hongyang Solar Energy Power Generation (Anji) Co., Ltd. | N/A | 2,500 | 2020-12-03 | 2,262 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
| Ke’en Solar Energy Power Generation (Pingyang) Co., Ltd. | N/A | 1,600 | 2020-12-03 | 1,448 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
| Dongze Photovoltaic Power Generation (Wenzhou) Co., Ltd. | N/A | 1,400 | 2020-12-03 | 1,267 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
| Aifeisheng Investment and Management (Wenzhou) Co, Ltd. | N/A | 700 | 2020-12-03 | 633 | Joint-liability | N/A | N/A | 2020-12-3 to 2034-12-3 | Not | Not |
| Beijing BOE Energy Technology Co., Ltd. | N/A | 12,800 | 2017-10-23 | 12,455 | Pledge | Charging right | N/A | 2017-10-24 to 2032-10-23 | Not | Not |
| Beijing BOE Energy Technology Co., Ltd. | N/A | 20,560 | 2018-08-15 | 14,960 | Pledge | Charging right | N/A | 2018-9-26 to 2032-12-21 | Not | Not |
| Beijing BOE Energy Technology Co., Ltd. | N/A | 25,418 | 2017-11-28 | 21,718 | Pledge | Charging right | N/A | 2017-12-1 to 2032-12-1 | Not | Not |
| Hengchuang New Energy Technology (Hong’an) Co., Ltd. | N/A | 6,892 | 2018-01-31 | 4,871 | Joint-liability | N/A | N/A | 2018-1-31 to 2033-1-31 | Not | Not |
| Junlong New Energy Technology (Huaibin) Co., Ltd. | N/A | 8,459 | 2018-04-25 | 6,334 | Joint-liability | N/A | N/A | 2018-4-25 to 2033-4-25 | Not | Not |
| Shaoxing Guangnian New Energy Co., Ltd. | N/A | 16,000 | 2018-12-13 | 13,491 | Joint-liability | N/A | N/A | 2018-12-13 to 2033-12-12 | Not | Not |
| Shaoxing Xuhui New Energy Co., Ltd. | N/A | 4,500 | 2018-12-13 | 3,794 | Joint-liability | N/A | N/A | 2018-12-13 to 2033-12-12 | Not | Not |
| Hefei BOE Hospital Co., Ltd. | 2018-04-27 | 130,000 | 2018-04-27 | 124,500 | Joint-liability | N/A | N/A | 2018-4-27 to 2036-4-27 | Not | Not |
| Juhui New Energy (Pinghu) Co., Ltd. | N/A | 1,200 | 2021-10-27 | 1,125 | Joint-liability | N/A | N/A | 2021-10-27 to 2036-10-27 | Not | Not |
| Dinghui New Energy (Zhuji) Co., Ltd. | N/A | 2,100 | 2021-10-27 | 1,969 | Joint-liability | N/A | N/A | 2021-10-27 to 2036-10-27 | Not | Not |
| Juhui New Energy (Shaoxing) Co., Ltd. | N/A | 8,700 | 2021-10-27 | 8,156 | Joint-liability | N/A | N/A | 2021-10-27 to 2036-10-27 | Not | Not |
| Beijing BOE Life Technology Co., Ltd. | N/A | 60,000 | 2021-12-29 | 20,000 | Joint-liability | N/A | The secured party provides a counter guarantee for the guarantor | 2021-12-29 to 2039-12-28 | Not | Not |
BOE Technology Group Co., Ltd. Interim Report 2022
| Total approved line for such guarantees in the Reporting Period (C1) | 201,342 | Total actual amount of such guarantees in the Reporting Period (C2) | -8,572 |
| Total approved line for such guarantees at the end of the Reporting Period (C3) | 553,212 | Total actual balance of such guarantees at the end of the Reporting Period (C4) | 275,603 |
| Total guarantee amount (total of the three kinds of guarantees above) | |||
| Total guarantee line approved in the Reporting Period (A1+B1+C1) | 201,342 | Total actual guarantee amount in the Reporting Period (A2+B2+C2) | -506,144 |
| Total approved guarantee line at the end of the Reporting Period (A3+B3+C3) | 13,096,184 | Total actual guarantee balance at the end of the Reporting Period (A4+B4+C4) | 8,412,541 |
| Total actual guarantee amount (A4+B4+C4) as % of the Company’s net assets | 58.70% | ||
| Of which: | |||
| Balance of guarantees provided for shareholders, actual controller and their related parties (D) | 0 | ||
| Balance of debt guarantees provided directly or indirectly for obligors with an over 70% debt/asset ratio (E) | 31,545 | ||
| Amount by which the total guarantee amount exceeds 50% of the Company’s net assets (F) | 1,246,694 | ||
| Total of the three amounts above (D+E+F) | 1,278,239 | ||
| Joint responsibilities possibly borne or already borne in the Reporting Period for undue guarantees (if any) | N/A | ||
| Provision of external guarantees in breach of the prescribed procedures (if any) | N/A | ||
Compound guaranteesNone
BOE Technology Group Co., Ltd. Interim Report 2022
3. Cash Entrusted for Wealth Management
? Applicable □ Not applicable
Unit: RMB'0,000
| Specific type | Capital resources | Amount incurred | Undue balance | Overdue amount | Overdue amount with provision for impairment |
| Structured bank deposits | Self-owned funds | 1,670,000 | 1,670,000 | 0 | 0 |
| Total | 1,670,000 | 1,670,000 | 0 | 0 | |
Particulars of entrusted cash management with single significant amount or low security, bad liquidity, and no capital preservation
□ Applicable ? Not applicable
Whether there is the case where the principal cannot be recovered at maturity or other case which may cause impairment for entrustedasset management
□ Applicable ? Not applicable
4. Other Major Contracts
□ Applicable ? Not applicable
No such cases in the Reporting Period.XIII Other Significant Events? Applicable □ Not applicable
1. On 18 October 2019, the Company disclosed the Announcement on the Company’s Application for CSRC’s Approval for its PublicIssue of Renewable Corporate Bonds (Announcement No. 2019-052), and the Company received the No. [2019] 1801 Approval fromCSRC. Based on the approval, the Company could publicly issue the renewable corporate bonds with the nominal value no more thanRMB30 billion to qualified investors. The Company publicly issued renewable corporate bonds (to qualified investors) (the first issue)(epidemic prevention and control bonds) (“20BOEY1” for short; Code: 149046) in 2020 with the issue term from 27 February 2020 to28 February 2020. The Company publicly issued the renewable corporate bonds (to qualified investors) (the second issue) (epidemicprevention and control bonds) (“20BOEY2” for short; Code: 149065) in 2020 with the issue term from 18 March 2020 to 19 March2020. The Company publicly issued the renewable corporate bonds (to qualified investors) (the third issue) (epidemic prevention andcontrol bonds) (“20BOEY3” for short; Code: 149108) in 2020 with the issue term from 24 April 2020 to 27 April 2020. The Companydisclosed 2022 "20BOEY1" Interest Payment Announcement (Announcement No. 2022-006) on 24 February 2022. The interestpayment plan was RMB36.40 (including tax) every ten bonds. The Company disclosed 2022 "20BOEY2" Interest PaymentAnnouncement (Announcement No. 2022-013) on 17 March 2022. The interest payment plan was RMB35.40 (including tax) per tenbonds. The Company publicly issued renewable corporate bonds (digital economy) to professional investors (the first issue)(“22BOEY1” for short; Code: 149861) in 2022 with the issue term from 24 March 2022 to 25 March 2022, the issuing scale of RMB2billion and the bonds’ ultimate nominal interest rate of 3.50%. The Company disclosed 2022 "20BOEY3" Interest PaymentAnnouncement (Announcement No. 2022-037) on 23 April 2022. The interest payment plan was RMB35.00 (including tax) per tenbonds.
2. On 16 January 2021, the Company disclosed the Announcement on the Resolution of the 21st Meeting of the 9th Board of Directors(Announcement No. 2021-001) and the Plan for Non-Public Offering of A-Shares in 2021, and other related announcements, in whichthe Company intends to make a non-public offering of A-shares to no more than 35 specific investors including Jing Guorui Fund. The
BOE Technology Group Co., Ltd. Interim Report 2022
net fund raised was expected to be no more than 20 billion. On 19 August 2021, the Company disclosed the Report on the Non-publicOffering of A-shares by BOE Technology Group Co., Ltd. & the Announcement on the Listing of these Shares (announcement No.2021-058), along with other relevant announcements. 3,650,377,019 new shares were issued in the non-public offering, which werelisted on the Shenzhen Stock Exchange on 20 August 2021. On 18 February 2022, the Company disclosed the SuggestiveAnnouncement on Relieving Restricted Non-publicly Offered A Shares in 2021 (Announcement No.: 2022-005). On 21 February 2022,2,932,244,165 restricted shares of non-publicly offered A shares in 2021 were relieved and could be traded in the market. The numberof the relieved restricted shares accounted for 8.5058% of non-restricted shares of the Company, and 7.6270% of the total share capitalof the Company.
3. Following the approval of the Proposal on the Repurchase of Some Public Shares at the 31st Meeting of the 9th Board of Directors,the Company disclosed the Announcement No. 2021-067 on the Repurchase of Some Public Shares on 31 August 2021. The Companycarried out the first repurchase on 2 September 2021 and disclosed the Announcement No. 2021-077 on the First Repurchase of SomePublic Shares on 3 September 2021. On 2 March 2022, the Company disclosed the Announcement on the Completed Implementationof Share Repurchase Programme and Repurchase Implementation Results (Announcement No.: 2022-007). As at 28 February 2022,the Company has implemented the repurchase of the Company's shares by means of centralized bidding through a special securitiesaccount for the repurchase, and the cumulative number of A Shares repurchased was 499,999,919, accounting for approximately 1.3330%of the Company's A Shares and 1.3005% of the Company's total share capital, with the highest transaction price of RMB5.96 per shareand the lowest transaction price of RMB4.68 per share. The total amount paid was RMB2,620,105,418.52 (including other fixedexpenses such as commissions). The above repurchase of the Company was in line with the requirements of relevant laws andregulations, as well as the established repurchase programme of the Company. The total fund of this share repurchase didn't exceed theamount proposed to be used in the repurchase programme, and the number of shares repurchased has reached the cap of shares underthe repurchase programme. So far, this share repurchase has been implemented and completed as planned.
4. Following the approval of the Proposal on the Repurchase of Domestically Listed Foreign Shares (B-shares) at the 39th Meeting ofthe 9th Board of Directors and the 2021 Annual General Meeting, the Company disclosed the Announcement No. 2022-030 on thePlan for the Repurchase of Domestically Listed Foreign Shares (B-shares) on 31 March 2022 and the Report on the Repurchase ofDomestically Listed Foreign Shares (B-shares) (Announcement No. 2022-046) on 10 May 2022. The Company carried out the firstrepurchase on 27 June 2022 and disclosed the Announcement No. 2022-050 on the First Repurchase of Domestically Listed ForeignShares (B-shares) on 28 June 2022. On 2 July 2022, the Company disclosed the Announcement No. 2022-051 on the Progress of theRepurchase of Domestically Listed Foreign Shares (B-shares). As at 30 June 2022, the Company has implemented the repurchase ofthe Company's shares by means of centralized bidding through a special securities account for the repurchase, and the cumulativenumber of B-shares repurchased was 24,630,889, accounting for approximately 2.6312% of the Company's B-shares and 0.0641% ofthe Company's total share capital, with the highest transaction price of HKD4.10 per share and the lowest transaction price of HKD3.65per share. The total amount paid was HKD97,262,535.91 (net of transaction costs). The above repurchase of the Company was in linewith the requirements of relevant laws and regulations, as well as the established repurchase programme of the Company.
5. On 29 April 2022, the Company disclosed the Announcement No. 2022-041 on the Resolutions of the 2021 Annual General Meeting,the Announcement No. 2022-043 on the Resolutions of the First Meeting of the 10
th
Board of Directors, and the Announcement No.2022-044 on the Resolutions of the First Meeting of the 10
th
Supervisory Committee. Re-election proposals were approved at thesemeetings. As such, the re-election has been completed. For further information, see the relevant announcements.
6. On 24 May 2022, the Company disclosed the Announcement No. 2022-048 on the Distribution of the 2021 Final Dividend. As the2021 Final Dividend Plan had been approved at the 2021 Annual General Meeting on 28 April 2022, the Company distributed a 2021final dividend of RMB2.10 per 10 shares (dividend to B-shareholders paid in HKD according to the central parity rate of RMB andHKD declared by the People’s Bank of China on the first working day immediately after the date of the relevant general meetingresolution), with no bonus issue from either profit or capital reserves.
| Overview of significant event | Disclosure date | Disclosure website |
BOE Technology Group Co., Ltd. Interim Report 2022
| Announcement on Capital Increase to Tianjin Xianzhi Chain Investment Center (Limited Partnership) and the Related-party Transaction | 15 March 2022 | www.cninfo.com.cn |
| Announcement on the Receipt of Equity Interests in Hefei BOE Display Technology Co., Ltd. and the Related-party Transaction | 20 July 2022 | www.cninfo.com.cn |
XIV Significant Events of Subsidiaries
□ Applicable ? Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
Part VII Share Changes and Shareholder InformationI Share Changes
1. Share Changes
Unit: share
| Item | Before | Increase/decrease (+/-) | After | ||||||
| Number | Percentage | New issues | Bonus shares | Bonus issue from profit | Other | Subtotal | Number | Percentage | |
| I. Restricted shares | 3,972,199,930 | 10.33% | 0 | 0 | 0 | -2,931,809,540 | -2,931,809,540 | 1,040,390,390 | 2.71% |
| 1. Shares held by the state | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 2. Shares held by state-owned corporations | 1,472,764,818 | 3.83% | 0 | 0 | 0 | -754,631,964 | -754,631,964 | 718,132,854 | 1.87% |
| 3. Shares held by other domestic investors | 1,898,530,477 | 4.94% | 0 | 0 | 0 | -1,602,922,641 | -1,602,922,641 | 295,607,836 | 0.77% |
| Among which: Shares held by domestic corporations | 1,603,357,266 | 4.17% | 0 | 0 | 0 | -1,603,357,266 | -1,603,357,266 | 0 | 0.00% |
| Shares held by domestic individuals | 295,173,211 | 0.77% | 0 | 0 | 0 | 434,625 | 434,625 | 295,607,836 | 0.77% |
| 4. Shares held by foreign investors | 600,904,635 | 1.56% | 0 | 0 | 0 | -574,254,935 | -574,254,935 | 26,649,700 | 0.07% |
| Among which: Shares held by foreign corporations | 574,254,935 | 1.49% | 0 | 0 | 0 | -574,254,935 | -574,254,935 | 0 | 0.00% |
| Shares held by foreign individuals | 26,649,700 | 0.07% | 0 | 0 | 0 | 0 | 0 | 26,649,700 | 0.07% |
| II. Non-restricted shares | 34,473,546,552 | 89.67% | 0 | 0 | 0 | 2,931,809,540 | 2,931,809,540 | 37,405,356,092 | 97.29% |
| 1. RMB ordinary shares | 33,537,433,064 | 87.23% | 0 | 0 | 0 | 2,931,809,540 | 2,931,809,540 | 36,469,242,604 | 94.86% |
| 2. Domestically listed foreign shares | 936,113,488 | 2.43% | 0 | 0 | 0 | 0 | 0 | 936,113,488 | 2.43% |
| 3. Overseas listed foreign shares | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 4. Other | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| III. Total shares | 38,445,746,482 | 100.00% | 0 | 0 | 0 | 0 | 0 | 38,445,746,482 | 100.00% |
Reasons for share changes:
BOE Technology Group Co., Ltd. Interim Report 2022
? Applicable □ Not applicableDuring the Reporting Period, 2,932,244,165 shares that had been privately placed in 2021 were unlocked for public trading.During the Reporting Period, the Company completed the re-election on 28 April 2022, leading to an increase of 434,625 shares in locked up shares held by senior management.Approval of share changes:
□ Applicable ? Not applicable
Transfer of share ownership:
□ Applicable ? Not applicable
Progress on any share repurchase:
? Applicable □ Not applicable
1. The Proposal on the Repurchase of Some Public Shares was approved at the 31st Meeting of the 9th Board of Directors on 27 August 2021. As such, the Company was approved to use its ownfunds to repurchase some shares by way of centralized bidding within 12 months of the approval of the repurchase plan by the Board of Directors. In reality, the Company carried out the repurchaseplan during the period from 2 September 2021 to 28 February 2022. During the Reporting Period, the Company implemented the repurchase of the Company's shares by means of centralizedbidding through a special securities account for the repurchase, and the total number of A Shares repurchased was 39,580,919, accounting for approximately 0.1055% of the Company's A Sharesand 0.1029% of the Company's total share capital. As of 28 February 2022, the Company implemented the repurchase of the Company's shares by means of centralized bidding through a specialsecurities account for the repurchase, and the cumulative number of A Shares repurchased was 499,999,919, accounting for approximately 1.3330% of the Company's A Shares and 1.3005% ofthe Company's total share capital with the highest transaction price of RMB5.96 per share and the lowest transaction price of RMB4.68 per share. The total amount paid was RMB2,620,105,418.52(including other fixed expenses such as commissions).
2. The Proposal on the Repurchase of Domestically Listed Foreign Shares (B-shares) was approved item by item at the 39th Meeting of the 9th Board of Directors on 30 March 2022 and the 2021Annual General Meeting on 28 April 2022. As such, the Company was approved to use its own funds to repurchase B-shares within six months of the approval of the repurchase plan at the 2021Annual General Meeting. The repurchased shares would be cancelled, which would lead to a corresponding decrease in the registered capital of the Company. As at 30 June 2022, the Companyhas implemented the repurchase of the Company's shares by means of centralized bidding through a special securities account for the repurchase, and the cumulative number of B-shares repurchasedwas 24,630,889, accounting for approximately 2.6312% of the Company's B-shares and 0.0641% of the Company's total share capital, with the highest transaction price of HKD4.10 per shareand the lowest transaction price of HKD3.65 per share. The total amount paid was HKD97,262,535.91 (net of transaction costs).Progress on reducing the repurchased shares by means of centralized bidding:
□ Applicable ? Not applicable
Effects of share changes on the basic and diluted earnings per share, equity per share attributable to the Company’s ordinary shareholders and other financial indicators of the prior year and theprior accounting period, respectively:
? Applicable □ Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
| Item | January-December 2021 | January-June 2022 |
| Basic earnings per share (RMB/share) | 0.71 | 0.17 |
| Diluted earnings per share (RMB/share) | 0.71 | 0.17 |
| Item | 31 December 2021 | 30 June 2022 |
| Equity per share attributable to the Company’s ordinary shareholders | 3.39 | 3.35 |
Other information that the Company considers necessary or is required by the securities regulator to be disclosed:
□ Applicable ? Not applicable
2. Changes in Restricted Shares
? Applicable □ Not applicable
Unit: Share
| Name of the shareholders | Restricted shares amount at the period-begin | Restricted shares relieved of the period | Restricted shares increased of the period | Restricted shares amount at the period-end | Restricted reasons | Restricted shares relieved date |
| Beijing Jing Guorui Soe Reform and Development Fund (L.P.) | 718,132,854 | 0 | 0 | 718,132,854 | Private placement | 2023-02-21 |
| Fuqing Huirong Venture Capital Co., Ltd. | 538,599,640 | 538,599,640 | 0 | 0 | - | 2022-02-21 |
| MORGAN STANLEY & CO.INTERNATIONAL PLC. | 271,095,152 | 271,095,152 | 0 | 0 | - | 2022-02-21 |
| Caitong Fund - PSBC - Caitong Fund - No. 1 Asset Management Plan of Bohai Life in Yuquan | 179,533,214 | 179,533,214 | 0 | 0 | - | 2022-02-21 |
| Yiwu Harmonious Jinhong Equity Investment Partnership (L.P.) | 179,533,213 | 179,533,213 | 0 | 0 | - | 2022-02-21 |
| Shandong Haixiang Equity Investment Fund Management Co., Ltd. | 147,163,387 | 147,163,387 | 0 | 0 | - | 2022-02-21 |
| Hongta Securities Co., Ltd. | 143,626,570 | 143,626,570 | 0 | 0 | - | 2022-02-21 |
| JPMORGAN CHASE BANK,NATIONAL ASSOCIATION | 116,696,588 | 116,696,588 | 0 | 0 | - | 2022-02-21 |
| Shanghai Gao Yi Asset Management Partnership (L.P.) - Gao Yi Xiaofeng No. 2 Zhixin Fund | 107,719,928 | 107,719,928 | 0 | 0 | - | 2022-02-21 |
| Haitong Securities Co., Ltd. | 99,030,520 | 99,030,520 | 0 | 0 | - | 2022-02-21 |
| Other non-public offering restricted shareholders | 1,149,245,953 | 1,149,245,953 | 0 | 0 | - | 2022-02-21 |
| Locked shares of executives | 3,038,411 | 0 | 434,625 | 3,473,036 | Locked shares of executives | - |
| Restricted shares for equity incentive | 318,784,500 | 0 | 0 | 318,784,500 | Restricted shares for equity incentive | - |
| Total | 3,972,199,930 | 2,932,244,165 | 434,625 | 1,040,390,390 | -- | -- |
BOE Technology Group Co., Ltd. Interim Report 2022
II Issuance and Listing of Securities? Applicable □ Not applicable
| Name of Stock and derivative securities thereof | Issue date | issue price (interest) | Issue amount | Listing date | Approved amount for listing | Termination date for trading | Disclosure index | Disclosure date |
| Stock | ||||||||
| N/A | ||||||||
| Convertible corporate bonds, convertible corporate bonds separately traded and corporate bonds | ||||||||
| 2022 Public Offering of Renewable Corporate Bonds of BOE (for professional investors) (Digital Economy) (Phase I) | 25 March 2022 | 3.50% | 2,000,000,000 | 7 April 2022 | 2,000,000,000 | 25 March 2025 | See the Announcement on the Listing on the Shenzhen Stock Exchange of the 2022 Public Offering of Renewable Corporate Bonds of BOE (for Professional Investors) (Digital Economy) (Phase I) disclosed on http://www.cninfo.com.cn/ | 7 April 2022 |
| Other derivative securities | ||||||||
| N/A | ||||||||
Notes: NoneIII Shareholders and Their Holdings as at the Period-End
Unit: share
| Number of ordinary shareholders at the period-end | 1,641,390 (including 1,606,920 A-shareholders and 34,470 B-shareholders) | |||||||
| 5% or greater ordinary shareholders or top 10 ordinary shareholders | ||||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage | Total ordinary shares held at the period-end | Increase/decrease in the Reporting Period | Restricted ordinary shares held | Unrestricted ordinary shares held | Shares in pledge, marked or frozen | |
| Status | Shares | |||||||
| Beijing State-owned Capital Operation and Management Company Limited | State-owned legal person | 10.57% | 4,063,333,333 | - | 0 | 4,063,333,333 | N/A | 0 |
| Hong Kong Securities Clearing Company Ltd. | Foreign legal person | 3.75% | 1,443,583,683 | 74,585,847 | 0 | 1,443,583,683 | N/A | 0 |
| Beijing BOE Investment & Development Co., Ltd. | State-owned legal person | 2.14% | 822,092,180 | - | 0 | 822,092,180 | N/A | 0 |
| Beijing Jing Guorui Soe Reform and | Other | 1.87% | 718,132,854 | - | 718,132,854 | 0 | N/A | 0 |
BOE Technology Group Co., Ltd. Interim Report 2022
| Development Fund (L.P.) | ||||||||
| Hefei Jianxiang Investment Co., Ltd. | State-owned legal person | 1.73% | 666,195,772 | - | 0 | 666,195,772 | N/A | 0 |
| Fuqing Huirong Venture Capital Co., Ltd. | Domestic non-state-owned legal person | 1.40% | 538,599,640 | - | 0 | 538,599,640 | N/A | 0 |
| Sinatay Life Insurance Co., Ltd.-Traditional Product | Other | 0.79% | 305,330,128 | - | 0 | 305,330,128 | N/A | 0 |
| Beijing Yizhuang Investment Holdings Co., Ltd | State-owned legal person | 0.73% | 280,721,832 | 119,131,000 | 0 | 280,721,832 | N/A | 0 |
| Beijing Electronics Holdings Co., Ltd. | State-owned legal person | 0.71% | 273,735,583 | - | 0 | 273,735,583 | N/A | 0 |
| Ningxia Risheng High-tech Industry Co., Ltd. | Domestic non-state-owned legal person | 0.67% | 257,152,466 | 147,973,200 | 0 | 257,152,466 | N/A | 0 |
| Strategic investors or general corporations becoming top-ten ordinary shareholders due to placing of new shares (if any) (see Note 3) | N/A | |||||||
| Related or acting-in-concert parties among the shareholders above | 1. Beijing State-owned Capital Operation and Management Company Limited held 100% equities of Beijing Electronics Holdings Co., Ltd. 2. Beijing Electronics Holdings Co., Ltd. held 66.25% equities of Beijing BOE Investment & Development Co., Ltd. and was its controlling shareholder. 3. After the non-public issuing of BOE in 2014, Hefei Jianxiang Investment Co., Ltd., by entering into Implementation Protocol of Voting Right, agreed to maintain all of the shares held by it unanimous with Beijing BOE Investment & Development Co., Ltd. when executing the voting rights as a shareholder. 4. After the non-public issuing of the Company in 2014, Beijing State-owned Capital Operation and Management Company Limited handed over 70% of the shares directly held by it to Beijing Electronics Holdings Co., Ltd. for management through Stock Management Protocol, and Beijing Electronics Holdings Co., Ltd. gained the incidental shareholders’ rights except for disposing right and usufruct of the shares, of which the rest 30% voting right maintained unanimous with Beijing Electronics Holdings Co., Ltd. through the agreement according to Implementation Protocol of Voting Right. 5. During the non-public issuing of the Company in 2021, Beijing Jing Guorui Soe Reform and Development Fund (L.P.) signed the Acting-in-Concert Agreement with Beijing Electronics Holdings Co., Ltd. 6. Beijing State-owned Capital Operation and Management Company Limited indirectly held 100% equities of Beijing Jingguorui Investment Management Co., Ltd. and directly held 77.5918% shares of Beijing Jing Guorui Soe Reform and Development Fund (L.P.); Beijing Jingguorui Investment Management Co., Ltd. is the general partner of Beijing Jing Guorui Soe Reform and Development Fund (L.P.). In addition, among the nine members of the Investment Decision-Making Committee of Beijing Jing Guorui Soe Reform and Development Fund (L.P.), three are nominated by Beijing State-owned Capital Operation and Management Company Limited. 7. Except for the above relationships, the Company does not know any other connected party or acting-in-concert party among the top 10 shareholders. | |||||||
| Explain if any of the shareholders above was involved in entrusting/being entrusted with voting rights or waiving voting rights | 1. After the non-public issuing of BOE in 2014, Hefei Jianxiang Investment Co., Ltd., by entering into Implementation Protocol of Voting Right, agreed to maintain all of the shares held by it unanimous with Beijing BOE Investment & Development Co., Ltd. when executing the voting rights as a shareholder. 2. After the non-public issuing of the Company in 2014, Beijing State-owned Capital Operation and Management Company Limited handed over 70% of the shares directly held by it to Beijing Electronics Holdings Co., Ltd. for management through Stock Management Protocol, and Beijing Electronics Holdings Co., Ltd. gained the incidental shareholders’ rights except for disposing right and usufruct of the shares, of which the rest 30% voting right maintained unanimous with Beijing Electronics Holdings Co., Ltd. through the agreement according to Implementation Protocol of Voting | |||||||
BOE Technology Group Co., Ltd. Interim Report 2022
| Right. 3. During the non-public issuing of the Company in 2021, Beijing Jing Guorui Soe Reform and Development Fund (L.P.) signed the Acting-in-Concert Agreement with Beijing Electronics Holdings Co., Ltd. | |||
| Special account for share repurchases (if any) among the top 10 shareholders (see note 11) | At the end of the Reporting Period, among the top ten shareholders of the Company, the special securities account for the repurchase of BOE Technology Group Co., Ltd. held 528,186,052 A-shares, accounting for 1.37%. According to relevant regulations in the Rule No. 3 for Content and Format of Information Disclosure of the Company Issuing Securities Publicly, if there are repurchase accounts in the top ten shareholders of the Company, it should be specified, but these shareholders should not be included and listed as the top ten shareholders. | ||
| Shareholdings of the top ten unrestricted ordinary shareholders | |||
| Name of shareholder | Number of unrestricted ordinary shares held at the period-end | Shares by type | |
| Type | Shares | ||
| Beijing State-owned Capital Operation and Management Company Limited | 4,063,333,333 | RMB ordinary share | 4,063,333,333 |
| Hong Kong Securities Clearing Company Ltd. | 1,443,583,683 | RMB ordinary share | 1,443,583,683 |
| Beijing BOE Investment & Development Co., Ltd. | 822,092,180 | RMB ordinary share | 822,092,180 |
| Hefei Jianxiang Investment Co., Ltd. | 666,195,772 | RMB ordinary share | 666,195,772 |
| Fuqing Huirong Venture Capital Co., Ltd. | 538,599,640 | RMB ordinary share | 538,599,640 |
| Sinatay Life Insurance Co., Ltd.-Traditional Product | 305,330,128 | RMB ordinary share | 305,330,128 |
| Beijing Yizhuang Investment Holdings Co., Ltd | 280,721,832 | RMB ordinary share | 280,721,832 |
| Beijing Electronics Holdings Co., Ltd. | 273,735,583 | RMB ordinary share | 273,735,583 |
| Ningxia Risheng High-tech Industry Co., Ltd. | 257,152,466 | RMB ordinary share | 257,152,466 |
| Xu Lili | 207,723,497 | RMB ordinary share | 207,723,497 |
| Related or acting-in-concert parties among top 10 unrestricted ordinary shareholders, as well as between top 10 unrestricted ordinary shareholders and top 10 ordinary shareholders | 1. Beijing State-owned Capital Operation and Management Company Limited held 100% equities of Beijing Electronics Holdings Co., Ltd. 2. Beijing Electronics Holdings Co., Ltd. held 66.25% equities of Beijing BOE Investment & Development Co., Ltd. and was its controlling shareholder. 3. After the non-public issuing of BOE in 2014, Hefei Jianxiang Investment Co., Ltd., by entering into Implementation Protocol of Voting Right, agreed to maintain all of the shares held by it unanimous with Beijing BOE Investment & Development Co., Ltd. when executing the voting rights as a shareholder. 4. After the non-public issuing of the Company in 2014, Beijing State-owned Capital Operation and Management Company Limited handed over 70% of the shares directly held by it to Beijing Electronics Holdings Co., Ltd. for management through Stock Management Protocol, and Beijing Electronics Holdings Co., Ltd. gained the incidental shareholders’ rights except for disposing right and usufruct of the shares, of which the rest 30% voting right maintained unanimous with Beijing Electronics Holdings Co., Ltd. through the agreement according to Implementation Protocol of Voting Right. 5. During the non-public issuing of the Company in 2021, Beijing Jing Guorui Soe Reform and Development Fund (L.P.) signed the Acting-in-Concert Agreement with Beijing Electronics Holdings Co., Ltd. 6. Beijing State-owned Capital Operation and Management Company Limited indirectly held 100% equities of Beijing Jingguorui Investment Management Co., Ltd. and directly held 77.5918% shares of Beijing Jing Guorui Soe Reform and Development Fund (L.P.); Beijing Jingguorui Investment Management Co., Ltd. is the general partner of Beijing Jing Guorui Soe Reform and Development Fund (L.P.). In addition, among the | ||
BOE Technology Group Co., Ltd. Interim Report 2022
| nine members of the Investment Decision-Making Committee of Beijing Jing Guorui Soe Reform and Development Fund (L.P.), three are nominated by Beijing State-owned Capital Operation and Management Company Limited. 7. Except for the above relationships, the Company does not know any other connected party or acting-in-concert party among the top 10 shareholders. | |
| Top 10 ordinary shareholders involved in securities margin trading (if any) (see Note 4) | 1. Shareholder Ningxia Risheng High-tech Industry Co., Ltd. held 232,612,566 shares in the Company via its credit securities account, and shareholder Xu Lili held 174,508,900 shares in the Company via her credit securities account. 2. The shares held by Beijing Yizhuang Investment Holdings Co., Ltd. in the Company increased by 119,131,000 shares due to securities refinancing. 3. Shareholders Beijing State-owned Capital Operation and Management Company Limited, Beijing BOE Investment & Development Co., Ltd., Beijing Jing Guorui SOE Reform and Development Fund (L.P.), Hefei Jianxiang Investment Co., Ltd., Fuqing Huirong Venture Capital Co., Ltd., Beijing Electronics Holdings Co., Ltd. and Sinatay Life Insurance Co., Ltd.-Traditional Product were not involved in securities refinancing. 4. Except for the aforesaid, the Company does not know any other top-10 ordinary shareholder who was involved in securities refinancing. |
Indicate by tick mark whether any of the top 10 ordinary shareholders or the top 10 unrestricted ordinary shareholders of the Company conducted any promissory repo during the Reporting Period.
□ Yes ? No
No such cases in the Reporting Period.
BOE Technology Group Co., Ltd. Interim Report 2022
IV Change in Shareholdings of Directors, Supervisors and Senior Management
? Applicable □ Not applicable
| Name | Office title | Incumbent/Former | Beginning shareholding (share) | Increase in the Reporting Period (share) | Decrease in the Reporting Period (share) | Ending shareholding (share) | Restricted shares granted at the period-beginning (share) | Restricted shares granted in the Reporting Period (share) | Restricted shares granted at the period-end (share) |
| Chen Yanshun | Chairman of the Board and Chairman of the Executive Committee | Incumbent | 2,900,000 | 0 | 0 | 2,900,000 | 2,000,000 | 0 | 2,000,000 |
| Pan Jinfeng | Vice Chairman of the Board | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Liu Xiaodong | Vice Chairman of the Board and member of the Executive Committee | Incumbent | 2,480,000 | 0 | 0 | 2,480,000 | 1,800,000 | 0 | 1,800,000 |
| Gao Wenbao | Director, President and Vice Chairman of the Executive Committee | Incumbent | 1,860,700 | 0 | 0 | 1,860,700 | 1,500,000 | 0 | 1,500,000 |
| Fan Yuanning | Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Sun Yun | Director, member of the Executive Committee and Executive Vice President | Incumbent | 1,989,481 | 0 | 0 | 1,989,481 | 1,500,000 | 0 | 1,500,000 |
| Ye Feng | Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Tang Shoulian | Independent Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Zhang Xinmin | Independent Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Guo He | Independent Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Wang Jixiang | Independent Director | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Wang Jin | Chairman of the Supervisory Committee | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Sun Fuqing | Supervisor | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Shi Xiaodong | Supervisor | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Xu Jinghe | Supervisor | Incumbent | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Yan Jun | Employee | Incumbent | 32,000 | 0 | 0 | 32,000 | 0 | 0 | 0 |
BOE Technology Group Co., Ltd. Interim Report 2022
| Supervisor | |||||||||
| Xu Yangping | Employee Supervisor | Incumbent | 35,000 | 0 | 0 | 35,000 | 0 | 0 | 0 |
| Teng Jiao | Employee Supervisor | Incumbent | 55,200 | 0 | 0 | 55,200 | 0 | 0 | 0 |
| Wang Xiping | Member of the Executive Committee and Executive Vice President | Incumbent | 852,400 | 0 | 0 | 852,400 | 750,000 | 0 | 750,000 |
| Feng Liqiong | Member of the Executive Committee, Executive Vice President and CLO | Incumbent | 1,360,000 | 0 | 0 | 1,360,000 | 1,000,000 | 0 | 1,000,000 |
| Zhang Yu | Member of the Executive Committee and Executive Vice President | Incumbent | 751,600 | 0 | 0 | 751,600 | 634,000 | 0 | 634,000 |
| Yang Xiaoping | Senior Vice President and CFO | Incumbent | 742,300 | 0 | 0 | 742,300 | 634,000 | 0 | 634,000 |
| Xie Zhongdong | Senior Vice President, Chief Audit Officer and Chief Risk Control Officer | Incumbent | 1,057,000 | 0 | 0 | 1,057,000 | 750,000 | 0 | 750,000 |
| Miao Chuanbin | Senior Vice President and Chief Culture Officer | Incumbent | 758,800 | 0 | 0 | 758,800 | 650,000 | 0 | 650,000 |
| Liu Hongfeng | Vice President and Board Secretary | Incumbent | 1,024,500 | 0 | 0 | 1,024,500 | 750,000 | 0 | 750,000 |
| Wang Jing | Director | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Song Jie | Director | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Hu Xiaolin | Independent Director | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Li Xuan | Independent Director | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Yang Xiangdong | Chairman of the Supervisory Committee | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Wei Shuanglai | Supervisor | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Chen Xiaobei | Supervisor | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Shihong | Supervisor | Former | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| He Daopin | Employee Supervisor | Former | 32,600 | 0 | 0 | 32,600 | 0 | 0 | 0 |
| Yao Xiangjun | Member of the Executive | Former | 1,265,000 | 0 | 0 | 1,265,000 | 1,000,000 | 0 | 1,000,000 |
BOE Technology Group Co., Ltd. Interim Report 2022
| Committee and Executive Vice President | |||||||||
| Zhang Zhaohong | Member of the Executive Committee, Executive Vice President, MLED CEO | Former | 1,498,800 | 0 | 0 | 1,498,800 | 1,000,000 | 0 | 1,000,000 |
| Zhong Huifeng | Member of the Executive Committee, Executive Vice President and Chief Operating Results Management Officer | Former | 1,310,000 | 0 | 0 | 1,310,000 | 1,000,000 | 0 | 1,000,000 |
| Total | -- | -- | 20,005,381 | 0 | 0 | 20,005,381 | 14,968,000 | 0 | 14,968,000 |
V Change of the Controlling Shareholder or the Actual ControllerChange of the controlling shareholder in the Reporting Period
□ Applicable ? Not applicable
No such cases in the Reporting Period.Change of the actual controller in the Reporting Period
□ Applicable ? Not applicable
No such cases in the Reporting Period.
BOE Technology Group Co., Ltd. Interim Report 2022
Part VIII Preference Shares
□ Applicable ? Not applicable
No preference shares in the Reporting Period.
BOE Technology Group Co., Ltd. Interim Report 2022
Part IX Bonds
? Applicable □ Not applicableI Enterprise Bonds
□ Applicable ? Not applicable
No enterprise bonds in the Reporting Period.II Corporate Bonds? Applicable □ Not applicable
1. Basic Information of the Corporate Bonds
Unit: RMB
| Bond name | Abbr. | Bond code | Date of issue | Value date | Maturity | Balance (RMB’0,000) | Coupon rate | Way of redemption | Trade place |
| 2019 Public Offering of Renewable Corporate Bonds of BOE (for qualified investors) (Phase I) | 19BOEY1 | 112741 | 28 October 2019 | 29 October 2019 | 29 October 2022 | 8,000,000,000.00 | 4.00% | If the issuer does not execute its right in the deferred interest payment, corresponding interests shall be paid for this issue of bonds yearly, and the last installment of interest shall be paid with the redemption of principal. | SZSE |
| 2020 Public Offering of | 20BOEY1 | 149046 | 27 February | 28 February | 28 February | 2,000,000,000.00 | 3.64% | If the issuer does not | SZSE |
BOE Technology Group Co., Ltd. Interim Report 2022
| Renewable Corporate Bonds of BOE (for qualified investors) (Phase I) (epidemic prevention and control bonds) | 2020 | 2020 | 2023 | execute its right in the deferred interest payment, corresponding interests shall be paid for this issue of bonds yearly, and the last installment of interest shall be paid with the redemption of principal. | |||||
| 2020 Public Offering of Renewable Corporate Bonds of BOE (for qualified investors) (Phase II) (epidemic prevention and control bonds) | 20BOEY2 | 149065 | 18 March 2020 | 19 March 2020 | 19 March 2023 | 2,000,000,000.00 | 3.54% | If the issuer does not execute its right in the deferred interest payment, corresponding interests shall be paid for this issue of bonds yearly, and the last installment of interest shall be paid with the redemption of principal. | SZSE |
| 2020 Public Offering of Renewable Corporate Bonds of BOE (for qualified investors) (Phase III) (epidemic prevention and control bonds) | 20BOEY3 | 149108 | 24 April 2020 | 27 April 2020 | 27 April 2023 | 2,000,000,000.00 | 3.50% | If the issuer does not execute its right in the deferred interest payment, corresponding interests shall be paid for this issue of bonds yearly, and the last installment of interest shall be paid with the redemption of principal. | SZSE |
| 2022 Public Offering of Renewable Corporate Bonds of BOE (for professional investors) | 22BOEY1 | 149861 | 24 March 2022 | 25 March 2022 | 25 March 2025 | 2,000,000,000.00 | 3.50% | If the issuer does not execute its right in the deferred interest payment, | SZSE |
BOE Technology Group Co., Ltd. Interim Report 2022
| (Digital Economy) (Phase I) | corresponding interests shall be paid for this issue of bonds yearly, and the last installment of interest shall be paid with the redemption of principal. | |||
| Appropriate arrangement of the investors (if any) | Only for the qualified investors | |||
| Applicable trade mechanism | centralized bidding trade and negotiated block trade | |||
| Risk of delisting (if any) and countermeasures | Not | |||
Overdue bonds
□ Applicable ? Not applicable
2. The Trigger and Execution of the Option Clause of the Issuers or Investors and the Investor Protection Clause? Applicable □ Not applicableFor the renewable corporate bonds “19BOEY1”, “20BOEY1”, “20BOEY2”, “20BOEY3” and “22BOEY1”, 3 interest-bearing years shall be regarded as a cycle. At the end of each cycle, theissuer shall have the right to conditionally extend the issue of bonds for another cycle (3 years) or choose to fully redeem the due bonds at the end of the cycle. All bonds issued in the ReportingPeriod entitle the issuer the right in the deferred interest payment. As of the approval date of this Report for issue, the issuer has not executed the aforesaid option on these bonds.
3. Adjustment of Credit Rating Results during the Reporting Period
□ Applicable ? Not applicable
4. Execution and Changes of Guarantee, Repayment Plan and Other Repayment Guarantee Measures as well as Influence on Equity of Bond Investors duringthe Reporting Period
□ Applicable ? Not applicable
BOE Technology Group Co., Ltd. Interim Report 2022
III Debt Financing Instruments of Non-financial Enterprises
□ Applicable ? Not applicable
No such cases in the Reporting Period.IV Convertible Corporate Bonds
□ Applicable ? Not applicable
No such cases in the Reporting Period.V Losses of Scope of Consolidated Financial Statements during the Reporting Period Exceeding10% of Net Assets up the Period-end of Last Year
□ Applicable ? Not applicable
VI The Major Accounting Data and the Financial Indicators of the Recent 2 Years of theCompany up the Period-end
Unit: RMB’0,000
| Item | 30 June 2022 | 31 December 2021 | Change |
| Current ratio | 1.75 | 1.56 | 12.18% |
| Debt/asset ratio | 51.81% | 51.72% | 0.09% |
| Quick ratio | 1.40 | 1.29 | 8.53% |
| Item | H1 2022 | H1 2021 | Change |
| Net profit before exceptional gains and losses | 423,946 | 1,181,675 | -64.12% |
| EBITDA/debt ratio | 15.30% | 25.98% | -10.68% |
| Interest cover (times) | 3.93 | 8.21 | -52.13% |
| Cash-to-interest cover (times) | 12.20 | 12.04 | 1.33% |
| EBITDA-to-interest cover (times) | 14.19 | 14.46 | -1.87% |
| Loan repayment ratio (%) | 100.00% | 100.00% | 0.00% |
| Interest payment ratio (%) | 100.00% | 100.00% | 0.00% |
Part X Financial StatementsI Independent Auditor’s ReportAre these interim financial statements audited by an independent auditor?
□ Yes ? No
These interim financial statements have not been audited by an independent auditor.II Financial StatementsCurrency unit for the financial statements and the notes thereto: RMB
1. Consolidated Balance Sheet
Prepared by BOE Technology Group Co., Ltd.
30 June 2022
Unit: RMB
| Item | 30 June 2022 | 1 January 2022 |
| Current assets: | ||
| Monetary assets | 84,788,918,128.00 | 80,986,835,088.00 |
| Settlement reserve | 0.00 | 0.00 |
| Interbank loans granted | 0.00 | 0.00 |
| Held-for-trading financial assets | 16,710,312,524.00 | 10,028,172,853.00 |
| Derivative financial assets | 0.00 | 0.00 |
| Notes receivable | 273,938,741.00 | 217,734,298.00 |
| Accounts receivable | 25,711,089,557.00 | 35,503,414,820.00 |
| Accounts receivable financing | 0.00 | 0.00 |
| Prepayments | 873,612,718.00 | 1,112,880,007.00 |
| Premiums receivable | 0.00 | 0.00 |
| Reinsurance receivables | 0.00 | 0.00 |
| Receivable reinsurance contract reserve | 0.00 | 0.00 |
| Other receivables | 1,261,520,393.00 | 1,922,828,378.00 |
| Including: Interest receivable | 172,230.00 | 0.00 |
| Dividends receivable | 9,826,050.00 | 2,414,503.00 |
| Financial assets purchased under resale agreements | 0.00 | 0.00 |
| Inventories | 33,018,794,213.00 | 27,805,161,436.00 |
| Contract assets | 88,068,862.00 | 75,698,324.00 |
| Assets held for sale | 0.00 | 0.00 |
| Current portion of non-current assets | 8,255,656.00 | 7,700,735.00 |
| Other current assets | 2,966,432,667.00 | 3,578,919,710.00 |
| Total current assets | 165,700,943,459.00 | 161,239,345,649.00 |
| Non-current assets: | ||
| Loans and advances to customers | 0.00 | 0.00 |
| Investments in debt obligations | 0.00 | 0.00 |
| Investments in other debt obligations | 0.00 | 0.00 |
| Long-term receivables | 27,146,189.00 | 29,918,542.00 |
| Long-term equity investments | 6,646,019,274.00 | 6,040,948,317.00 |
| Investments in other equity instruments | 550,228,080.00 | 519,088,146.00 |
| Other non-current financial assets | 606,895,447.00 | 606,895,447.00 |
| Investment property | 1,137,543,991.00 | 1,158,365,401.00 |
| Fixed assets | 214,032,994,330.00 | 227,141,366,885.00 |
| Construction in progress | 40,146,851,520.00 | 32,099,711,879.00 |
| Productive living assets | 0.00 | 0.00 |
| Oil and gas assets | 0.00 | 0.00 |
| Right-of-use assets | 879,444,501.00 | 753,164,237.00 |
| Intangible assets | 10,774,722,746.00 | 11,209,498,406.00 |
| Development costs | 0.00 | 0.00 |
| Goodwill | 1,130,006,987.00 | 1,130,006,987.00 |
| Long-term prepaid expense | 598,516,872.00 | 636,530,502.00 |
| Deferred income tax assets | 183,028,594.00 | 190,335,524.00 |
| Other non-current assets | 3,877,023,562.00 | 7,477,427,483.00 |
| Total non-current assets | 280,590,422,093.00 | 288,993,257,756.00 |
| Total assets | 446,291,365,552.00 | 450,232,603,405.00 |
| Current liabilities: | ||
| Short-term borrowings | 2,766,638,569.00 | 2,072,057,332.00 |
| Borrowings from the central bank | 0.00 | 0.00 |
| Interbank loans obtained | 0.00 | 0.00 |
| Held-for-trading financial liabilities | 0.00 | 0.00 |
| Derivative financial liabilities | 0.00 | 0.00 |
| Notes payable | 469,414,068.00 | 827,958,031.00 |
| Accounts payable | 31,449,642,913.00 | 32,455,830,694.00 |
| Advances from customers | 102,092,958.00 | 146,140,084.00 |
| Contract liabilities | 3,306,387,693.00 | 3,765,081,554.00 |
| Financial assets sold under repurchase agreements | 0.00 | 0.00 |
| Customer deposits and interbank deposits | 0.00 | 0.00 |
| Payables for acting trading of securities | 0.00 | 0.00 |
| Payables for underwriting of securities | 0.00 | 0.00 |
| Employee benefits payable | 2,799,938,528.00 | 5,133,155,237.00 |
| Taxes payable | 1,677,090,939.00 | 2,200,249,305.00 |
| Other payables | 20,706,959,082.00 | 23,835,374,942.00 |
| Including: Interest payable | 138,850.00 | 126,701.00 |
| Dividends payable | 49,630,531.00 | 6,561,972.00 |
| Handling charges and commissions payable | 0.00 | 0.00 |
| Reinsurance payables | 0.00 | 0.00 |
| Liabilities directly associated with assets held for sale | 0.00 | 0.00 |
| Current portion of non-current liabilities | 27,352,987,482.00 | 28,874,958,714.00 |
| Other current liabilities | 4,032,121,872.00 | 4,051,532,509.00 |
| Total current liabilities | 94,663,274,104.00 | 103,362,338,402.00 |
| Non-current liabilities: | ||
| Insurance contract reserve | 0.00 | 0.00 |
| Long-term borrowings | 123,858,634,582.00 | 116,078,666,587.00 |
| Bonds payable | 355,835,127.00 | 359,586,437.00 |
| Including: Preferred shares | 0.00 | 0.00 |
| Perpetual bonds | 0.00 | 0.00 |
| Lease liabilities | 747,894,221.00 | 669,130,264.00 |
| Long-term payables | 776,386,166.00 | 906,592,838.00 |
| Long-term employee benefits payable | 0.00 | 0.00 |
| Provisions | 0.00 | 0.00 |
| Deferred income | 6,214,183,533.00 | 6,416,089,611.00 |
| Deferred income tax liabilities | 1,548,427,381.00 | 1,525,622,873.00 |
| Other non-current liabilities | 3,049,516,117.00 | 3,535,809,876.00 |
| Total non-current liabilities | 136,550,877,127.00 | 129,491,498,486.00 |
| Total liabilities | 231,214,151,231.00 | 232,853,836,888.00 |
| Owners’ equity: | ||
| Share capital | 38,445,746,482.00 | 38,445,746,482.00 |
| Other equity instruments | 16,206,214,165.00 | 14,146,997,427.00 |
| Including: Preferred shares | 0.00 | 0.00 |
| Perpetual bonds | 16,206,214,165.00 | 14,146,997,427.00 |
| Capital reserves | 54,311,238,485.00 | 53,804,309,393.00 |
| Less: Treasury stock | 3,630,090,776.00 | 3,415,768,207.00 |
| Other comprehensive income | -371,270,524.00 | 113,551,147.00 |
| Specific reserve | 0.00 | 0.00 |
| Surplus reserves | 2,890,218,539.00 | 2,889,590,205.00 |
| General reserve | 0.00 | 0.00 |
| Retained earnings | 35,464,890,279.00 | 37,101,790,111.00 |
| Total equity attributable to owners of the Company as the parent | 143,316,946,650.00 | 143,086,216,558.00 |
| Non-controlling interests | 71,760,267,671.00 | 74,292,549,959.00 |
| Total owners’ equity | 215,077,214,321.00 | 217,378,766,517.00 |
| Total liabilities and owners’ equity | 446,291,365,552.00 | 450,232,603,405.00 |
Legal representative: Chen Yanshun Chief Executive Officer: Gao WenbaoChief Financial Officer: Yang Xiaoping Head of the Company’s Financial Department: Teng Jiao
2. Balance Sheet of the Company as the Parent
Unit: RMB
| Item | 30 June 2022 | 1 January 2022 |
| Current assets: | ||
| Monetary assets | 10,352,078,642.00 | 5,609,364,822.00 |
| Held-for-trading financial assets | 0.00 | 0.00 |
| Derivative financial assets | 0.00 | 0.00 |
| Notes receivable | 0.00 | 0.00 |
| Accounts receivable | 4,771,307,244.00 | 4,828,855,275.00 |
| Accounts receivable financing | 0.00 | 0.00 |
| Prepayments | 16,890,151.00 | 12,669,107.00 |
| Other receivables | 21,844,099,566.00 | 15,449,830,610.00 |
| Including: Interest receivable | 0.00 | 0.00 |
| Dividends receivable | 919,429,466.00 | 219,715,564.00 |
| Inventories | 12,216,637.00 | 15,853,238.00 |
| Contract assets | 0.00 | 0.00 |
| Assets held for sale | 0.00 | 0.00 |
| Current portion of non-current assets | 0.00 | 0.00 |
| Other current assets | 173,882,985.00 | 167,179,023.00 |
| Total current assets | 37,170,475,225.00 | 26,083,752,075.00 |
| Non-current assets: | ||
| Investments in debt obligations | 0.00 | 0.00 |
| Investments in other debt obligations | 0.00 | 0.00 |
| Long-term receivables | 0.00 | 0.00 |
| Long-term equity investments | 213,375,779,799.00 | 210,945,821,235.00 |
| Investments in other equity instruments | 80,307,389.00 | 63,458,868.00 |
| Other non-current financial assets | 0.00 | 0.00 |
| Investment property | 256,683,073.00 | 261,526,129.00 |
| Fixed assets | 923,766,028.00 | 961,944,766.00 |
| Construction in progress | 589,550,574.00 | 551,352,449.00 |
| Productive living assets | 0.00 | 0.00 |
| Oil and gas assets | 0.00 | 0.00 |
| Right-of-use assets | 148,273,718.00 | 170,173,793.00 |
| Intangible assets | 1,172,615,249.00 | 1,243,806,868.00 |
| Development costs | 0.00 | 0.00 |
| Goodwill | 0.00 | 0.00 |
| Long-term prepaid expense | 426,413,480.00 | 441,560,097.00 |
| Deferred income tax assets | 0.00 | 0.00 |
| Other non-current assets | 1,608,509,389.00 | 1,744,751,520.00 |
| Total non-current assets | 218,581,898,699.00 | 216,384,395,725.00 |
| Total assets | 255,752,373,924.00 | 242,468,147,800.00 |
| Current liabilities: | ||
| Short-term borrowings | 0.00 | 0.00 |
| Held-for-trading financial liabilities | 0.00 | 0.00 |
| Derivative financial liabilities | 0.00 | 0.00 |
| Notes payable | 0.00 | 0.00 |
| Accounts payable | 169,971,210.00 | 61,519,244.00 |
| Advances from customers | 14,986,275.00 | 20,038,334.00 |
| Contract liabilities | 0.00 | 0.00 |
| Employee benefits payable | 258,878,329.00 | 640,728,285.00 |
| Taxes payable | 150,831,212.00 | 244,586,957.00 |
| Other payables | 3,377,602,469.00 | 2,880,884,768.00 |
| Including: Interest payable | 0.00 | 0.00 |
| Dividends payable | 6,486,733.00 | 6,561,972.00 |
| Liabilities directly associated with assets held for sale | 0.00 | 0.00 |
| Current portion of non-current liabilities | 8,794,466,619.00 | 10,909,326,195.00 |
| Other current liabilities | 21,040,775.00 | 29,190,783.00 |
| Total current liabilities | 12,787,776,889.00 | 14,786,274,566.00 |
| Non-current liabilities: | ||
| Long-term borrowings | 38,828,500,000.00 | 32,208,500,000.00 |
| Bonds payable | 0.00 | 0.00 |
| Including: Preferred shares | 0.00 | 0.00 |
| Perpetual bonds | 0.00 | 0.00 |
| Lease liabilities | 108,711,513.00 | 129,343,868.00 |
| Long-term payables | 0.00 | 0.00 |
| Long-term employee benefits payable | 0.00 | 0.00 |
| Provisions | 0.00 | 0.00 |
| Deferred income | 2,437,974,777.00 | 2,906,951,707.00 |
| Deferred income tax liabilities | 225,898,702.00 | 225,816,218.00 |
| Other non-current liabilities | 87,216,661,806.00 | 74,506,661,805.00 |
| Total non-current liabilities | 128,817,746,798.00 | 109,977,273,598.00 |
| Total liabilities | 141,605,523,687.00 | 124,763,548,164.00 |
| Owners’ equity: | ||
| Share capital | 38,445,746,482.00 | 38,445,746,482.00 |
| Other equity instruments | 16,206,214,165.00 | 14,146,997,427.00 |
| Including: Preferred shares | 0.00 | 0.00 |
| Perpetual bonds | 16,206,214,165.00 | 14,146,997,427.00 |
| Capital reserves | 53,924,472,274.00 | 53,598,033,152.00 |
| Less: Treasury stock | 3,630,090,776.00 | 3,415,768,207.00 |
| Other comprehensive income | 72,995,021.00 | 89,024,650.00 |
| Specific reserve | 0.00 | 0.00 |
| Surplus reserves | 2,890,218,539.00 | 2,889,590,205.00 |
| Retained earnings | 6,237,294,532.00 | 11,950,975,927.00 |
| Total owners’ equity | 114,146,850,237.00 | 117,704,599,636.00 |
| Total liabilities and owners’ equity | 255,752,373,924.00 | 242,468,147,800.00 |
3. Consolidated Income Statement
Unit: RMB
| Item | H1 2022 | H1 2021 |
| 1. Revenue | 91,610,241,869.00 | 108,618,018,710.00 |
| Including: Operating revenue | 91,610,241,869.00 | 108,618,018,710.00 |
| Interest income | 0.00 | 0.00 |
| Insurance premium income | 0.00 | 0.00 |
| Handling charge and commission income | 0.00 | 0.00 |
| 2. Costs and expenses | 85,954,099,199.00 | 88,446,068,320.00 |
| Including: Cost of sales | 74,499,068,362.00 | 75,420,407,266.00 |
| Interest expense | 0.00 | 0.00 |
| Handling charge and commission expense | 0.00 | 0.00 |
| Surrenders | 0.00 | 0.00 |
| Net insurance claims paid | 0.00 | 0.00 |
| Net amount provided as insurance contract reserve | 0.00 | 0.00 |
| Expenditure on policy dividends | 0.00 | 0.00 |
| Reinsurance premium expense | 0.00 | 0.00 |
| Taxes and surcharges | 627,834,518.00 | 793,904,356.00 |
| Selling expense | 1,862,479,468.00 | 2,295,547,697.00 |
| Administrative expense | 2,948,599,229.00 | 3,245,612,412.00 |
| R&D expense | 5,362,004,818.00 | 4,932,300,358.00 |
| Finance costs | 654,112,804.00 | 1,758,296,231.00 |
| Including: Interest expense | 1,503,427,051.00 | 2,438,979,548.00 |
| Interest income | 651,030,668.00 | 443,748,698.00 |
| Add: Other income | 2,976,852,563.00 | 1,131,779,224.00 |
| Return on investment (“-” for loss) | 646,167,675.00 | 25,936,741.00 |
| Including: Share of profit or loss of joint ventures and associates | 586,980,332.00 | 620,013.00 |
| Income from the derecognition of financial assets at amortized cost (“-” for loss) | 0.00 | 0.00 |
| Exchange gain (“-” for loss) | 0.00 | 0.00 |
| Net gain on exposure hedges (“-” for loss) | 0.00 | 0.00 |
| Gain on changes in fair value (“-” for loss) | 77,771,038.00 | 37,887,125.00 |
| Credit impairment loss (“-” for loss) | -19,995,527.00 | -33,868,609.00 |
| Asset impairment loss (“-” for loss) | -4,528,459,543.00 | -2,307,446,795.00 |
| Asset disposal income (“-” for loss) | 3,601,605.00 | 152,606,846.00 |
| 3. Operating profit (“-” for loss) | 4,812,080,481.00 | 19,178,844,922.00 |
| Add: Non-operating income | 99,586,182.00 | 48,115,802.00 |
| Less: Non-operating expense | 17,425,496.00 | 21,548,141.00 |
| 4. Profit before tax (“-” for loss) | 4,894,241,167.00 | 19,205,412,583.00 |
| Less: Income tax expense | 1,681,324,244.00 | 2,260,425,038.00 |
| 5. Net profit (“-” for net loss) | 3,212,916,923.00 | 16,944,987,545.00 |
| 5.1 By operating continuity | ||
| 5.1.1 Net profit from continuing operations (“-” for net loss) | 3,212,916,923.00 | 16,944,987,545.00 |
| 5.1.2 Net profit from discontinued operations (“-” for net loss) | 0.00 | 0.00 |
| 5.2 By ownership | ||
| 5.2.1 Net profit attributable to owners of the Company as the parent | 6,595,661,738.00 | 12,917,163,177.00 |
| 5.2.1 Net profit attributable to non-controlling interests | -3,382,744,815.00 | 4,027,824,368.00 |
| 6. Other comprehensive income, net of tax | -497,059,876.00 | -46,126,447.00 |
| Attributable to owners of the Company as the parent | -478,538,335.00 | -28,421,976.00 |
| 6.1 Items that will not be reclassified to profit or loss | -20,609,687.00 | -84,109,200.00 |
| 6.1.1 Changes caused by remeasurements on defined benefit schemes | 0.00 | 0.00 |
| 6.1.2 Other comprehensive income that will not be reclassified to profit or loss under the equity method | -10,265,385.00 | -64,314,237.00 |
| 6.1.3 Changes in the fair value of investments in other equity instruments | -10,344,302.00 | -19,794,963.00 |
| 6.1.4 Changes in the fair value arising from changes in own credit risk | 0.00 | 0.00 |
| 6.1.5 Other | 0.00 | 0.00 |
| 6.2 Items that will be reclassified to profit or loss | -457,928,648.00 | 55,687,224.00 |
| 6.2.1 Other comprehensive income that will be reclassified to profit or loss under the equity method | 51,684.00 | 0.00 |
| 6.2.2 Changes in the fair value of investments in other debt obligations | 0.00 | 0.00 |
| 6.2.3 Other comprehensive income arising from the reclassification of financial assets | 0.00 | 0.00 |
| 6.2.4 Credit impairment allowance for investments in other debt obligations | 0.00 | 0.00 |
| 6.2.5 Reserve for cash flow hedges | 0.00 | 0.00 |
| 6.2.6 Differences arising from the translation of foreign currency-denominated financial statements | -457,980,332.00 | 55,687,224.00 |
| 6.2.7 Other | 0.00 | 0.00 |
| Attributable to non-controlling interests | -18,521,541.00 | -17,704,471.00 |
| 7. Total comprehensive income | 2,715,857,047.00 | 16,898,861,098.00 |
| Attributable to owners of the Company as the parent | 6,117,123,403.00 | 12,888,741,201.00 |
| Attributable to non-controlling interests | -3,401,266,356.00 | 4,010,119,897.00 |
| 8. Earnings per share | ||
| 8.1 Basic earnings per share | 0.166 | 0.367 |
| 8.2 Diluted earnings per share | 0.166 | 0.367 |
Where business combinations under common control occurred in the current period, the net profit achieved by the acquirees before thecombinations was RMB0.00, with the amount for the same period of last year being RMB0.00.Legal representative: Chen Yanshun Chief Executive Officer: Gao WenbaoChief Financial Officer: Yang Xiaoping Head of the Company’s Financial Department: Teng Jiao
4. Income Statement of the Company as the Parent
Unit: RMB
| Item | H1 2022 | H1 2021 |
| 1. Operating revenue | 2,712,812,036.00 | 3,056,487,143.00 |
| Less: Cost of sales | 5,281,222.00 | 5,740,484.00 |
| Taxes and surcharges | 26,370,648.00 | 17,736,708.00 |
| Selling expense | 0.00 | 0.00 |
| Administrative expense | 625,941,940.00 | 337,658,825.00 |
| R&D expense | 1,019,595,582.00 | 977,552,146.00 |
| Finance costs | 293,782,658.00 | 408,339,302.00 |
| Including: Interest expense | 322,061,288.00 | 450,708,097.00 |
| Interest income | 53,616,149.00 | 21,893,482.00 |
| Add: Other income | 488,504,655.00 | 484,261,261.00 |
| Return on investment (“-” for loss) | 1,516,746,783.00 | 1,697,393,282.00 |
| Including: Share of profit or loss of joint ventures and associates | 416,617,496.00 | 13,838,703.00 |
| Income from the derecognition of financial assets at amortized cost (“-” for loss) | 0.00 | 0.00 |
| Net gain on exposure hedges (“-” for loss) | 0.00 | 0.00 |
| Gain on changes in fair value (“-” for loss) | 0.00 | 0.00 |
| Credit impairment loss (“-” for loss) | -636,303.00 | -1,746,785.00 |
| Asset impairment loss (“-” for loss) | 0.00 | 0.00 |
| Asset disposal income (“-” for loss) | 0.00 | 0.00 |
| 2. Operating profit (“-” for loss) | 2,746,455,121.00 | 3,489,367,435.00 |
| Add: Non-operating income | 3,538,481.00 | 4,925,381.00 |
| Less: Non-operating expense | 882,153.00 | 1,187,679.00 |
| 3. Profit before tax (“-” for loss) | 2,749,111,449.00 | 3,493,105,137.00 |
| Less: Income tax expense | 230,231,274.00 | 261,110,109.00 |
| 4. Net profit (“-” for net loss) | 2,518,880,175.00 | 3,231,995,028.00 |
| 4.1 Net profit from continuing operations (“-” for net loss) | 2,518,880,175.00 | 3,231,995,028.00 |
| 4.2 Net profit from discontinued operations (“-” for net loss) | 0.00 | 0.00 |
| 5. Other comprehensive income, net of tax | -9,746,293.00 | -77,752,212.00 |
| 5.1 Items that will not be reclassified to profit or loss | -9,797,977.00 | -77,752,212.00 |
| 5.1.1 Changes caused by remeasurements on defined benefit schemes | 0.00 | 0.00 |
| 5.1.2 Other comprehensive income that will not be reclassified to profit or loss under the equity method | -10,265,385.00 | -64,314,236.00 |
| 5.1.3 Changes in the fair value of investments in other equity instruments | 467,408.00 | -13,437,976.00 |
| 5.1.4 Changes in the fair value arising from changes in own credit risk | 0.00 | 0.00 |
| 5.1.5 Other | 0.00 | 0.00 |
| 5.2 Items that will be reclassified to profit or loss | 51,684.00 | 0.00 |
| 5.2.1 Other comprehensive income that will be reclassified to profit or loss under the equity method | 51,684.00 | 0.00 |
| 5.2.2 Changes in the fair value of investments in other debt obligations | 0.00 | 0.00 |
| 5.2.3 Other comprehensive income arising from the reclassification of financial assets | 0.00 | 0.00 |
| 5.2.4 Credit impairment allowance for investments in other debt obligations | 0.00 | 0.00 |
| 5.2.5 Reserve for cash flow hedges | 0.00 | 0.00 |
| 5.2.6 Differences arising from the translation of foreign currency-denominated financial statements | 0.00 | 0.00 |
| 5.2.7 Other | 0.00 | 0.00 |
| 6. Total comprehensive income | 2,509,133,882.00 | 3,154,242,816.00 |
| 7. Earnings per share | ||
| 7.1 Basic earnings per share | 0.058 | 0.085 |
| 7.2 Diluted earnings per share | 0.058 | 0.085 |
5. Consolidated Cash Flow Statement
Unit: RMB
| Item | H1 2022 | H1 2021 |
| 1. Cash flows from operating activities: | ||
| Proceeds from sale of commodities and rendering of services | 105,748,212,621.00 | 102,983,059,761.00 |
| Net increase in customer deposits and interbank deposits | 0.00 | 0.00 |
| Net increase in borrowings from the central bank | 0.00 | 0.00 |
| Net increase in loans from other financial institutions | 0.00 | 0.00 |
| Premiums received on original insurance contracts | 0.00 | 0.00 |
| Net proceeds from reinsurance | 0.00 | 0.00 |
| Net increase in deposits and investments of policy holders | 0.00 | 0.00 |
| Interest, handling charges and commissions received | 0.00 | 0.00 |
| Net increase in interbank loans obtained | 0.00 | 0.00 |
| Net increase in proceeds from repurchase transactions | 0.00 | 0.00 |
| Net proceeds from acting trading of securities | 0.00 | 0.00 |
| Tax rebates | 11,422,361,466.00 | 6,890,984,602.00 |
| Cash generated from other operating activities | 5,584,434,829.00 | 3,658,020,137.00 |
| Subtotal of cash generated from operating activities | 122,755,008,916.00 | 113,532,064,500.00 |
| Payments for commodities and services | 76,855,395,277.00 | 65,678,777,231.00 |
| Net increase in loans and advances to customers | 0.00 | 0.00 |
| Net increase in deposits in the central bank and in interbank loans granted | 0.00 | 0.00 |
| Payments for claims on original insurance contracts | 0.00 | 0.00 |
| Net increase in interbank loans granted | 0.00 | 0.00 |
| Interest, handling charges and commissions paid | 0.00 | 0.00 |
| Policy dividends paid | 0.00 | 0.00 |
| Cash paid to and for employees | 11,234,924,468.00 | 9,006,613,635.00 |
| Taxes paid | 3,972,911,897.00 | 3,697,784,048.00 |
| Cash used in other operating activities | 2,579,776,609.00 | 2,361,246,719.00 |
| Subtotal of cash used in operating activities | 94,643,008,251.00 | 80,744,421,633.00 |
| Net cash generated from/used in operating activities | 28,112,000,665.00 | 32,787,642,867.00 |
| 2. Cash flows from investing activities: | ||
| Proceeds from disinvestment | 35,710,798,594.00 | 14,595,162,184.00 |
| Return on investment | 178,876,792.00 | 63,705,219.00 |
| Net proceeds from the disposal of fixed assets, intangible assets and other long-lived assets | 4,016,426.00 | 15,950,030.00 |
| Net proceeds from the disposal of subsidiaries and other business units | 0.00 | 0.00 |
| Cash generated from other investing activities | 627,086,392.00 | 580,693,730.00 |
| Subtotal of cash generated from investing activities | 36,520,778,204.00 | 15,255,511,163.00 |
| Payments for the acquisition of fixed assets, intangible assets and other long-lived assets | 15,758,092,463.00 | 22,725,541,463.00 |
| Payments for investments | 42,524,036,688.00 | 13,559,315,026.00 |
| Net increase in pledged loans granted | 0.00 | 0.00 |
| Net payments for the acquisition of subsidiaries and other business units | 0.00 | 0.00 |
| Cash used in other investing activities | 1,080,339,563.00 | 327,642,163.00 |
| Subtotal of cash used in investing activities | 59,362,468,714.00 | 36,612,498,652.00 |
| Net cash generated from/used in investing activities | -22,841,690,510.00 | -21,356,987,489.00 |
| 3. Cash flows from financing activities: | ||
| Capital contributions received | 1,073,997,000.00 | 5,412,784,000.00 |
| Including: Capital contributions by non-controlling interests to subsidiaries | 1,073,997,000.00 | 5,412,784,000.00 |
| Borrowings raised | 34,623,869,532.00 | 19,163,654,139.00 |
| Cash generated from other financing activities | 5,212,625.00 | 1,050,916,089.00 |
| Subtotal of cash generated from financing activities | 35,703,079,157.00 | 25,627,354,228.00 |
| Repayment of borrowings | 27,288,608,429.00 | 24,273,242,173.00 |
| Interest and dividends paid | 10,659,724,426.00 | 6,563,653,470.00 |
| Including: Dividends paid by subsidiaries to non-controlling interests | 0.00 | 0.00 |
| Cash used in other financing activities | 932,991,206.00 | 7,424,432,903.00 |
| Subtotal of cash used in financing activities | 38,881,324,061.00 | 38,261,328,546.00 |
| Net cash generated from/used in financing activities | -3,178,244,904.00 | -12,633,974,318.00 |
| 4. Effect of foreign exchange rates changes on cash and cash equivalents | 1,089,527,368.00 | -519,790,328.00 |
| 5. Net increase in cash and cash equivalents | 3,181,592,619.00 | -1,723,109,268.00 |
| Add: Cash and cash equivalents, beginning of the period | 76,623,486,083.00 | 68,064,736,371.00 |
| 6. Cash and cash equivalents, end of the period | 79,805,078,702.00 | 66,341,627,103.00 |
6. Cash Flow Statement of the Company as the Parent
Unit: RMB
| Item | H1 2022 | H1 2021 |
| 1. Cash flows from operating activities: | ||
| Proceeds from sale of commodities and rendering of services | 3,060,528,996.00 | 2,330,732,897.00 |
| Tax rebates | 0.00 | 36,064,521.00 |
| Cash generated from other operating activities | 1,115,844,542.00 | 328,682,480.00 |
| Subtotal of cash generated from operating activities | 4,176,373,538.00 | 2,695,479,898.00 |
| Payments for commodities and services | 610,354,078.00 | 2,416,514,190.00 |
| Cash paid to and for employees | 1,117,218,033.00 | 962,945,173.00 |
| Taxes paid | 585,318,767.00 | 404,011,370.00 |
| Cash used in other operating activities | 26,588,246.00 | 91,513,902.00 |
| Subtotal of cash used in operating activities | 2,339,479,124.00 | 3,874,984,635.00 |
| Net cash generated from/used in operating activities | 1,836,894,414.00 | -1,179,504,737.00 |
| 2. Cash flows from investing activities: | ||
| Proceeds from disinvestment | 169,798,594.00 | 461,214,968.00 |
| Return on investment | 468,135,647.00 | 2,085,472,096.00 |
| Net proceeds from the disposal of fixed assets, intangible assets and other long-lived assets | 0.00 | 4,330.00 |
| Net proceeds from the disposal of subsidiaries and other business units | 0.00 | 0.00 |
| Cash generated from other investing activities | 2,743,609,848.00 | 1,149,998,526.00 |
| Subtotal of cash generated from investing activities | 3,381,544,089.00 | 3,696,689,920.00 |
| Payments for the acquisition of fixed assets, intangible assets and other long-lived assets | 425,914,421.00 | 593,285,345.00 |
| Payments for investments | 1,987,008,586.00 | 12,698,003,442.00 |
| Net payments for the acquisition of subsidiaries and other business | 0.00 | 0.00 |
| units | ||
| Cash used in other investing activities | 8,169,528,356.00 | 25,316,404.00 |
| Subtotal of cash used in investing activities | 10,582,451,363.00 | 13,316,605,191.00 |
| Net cash generated from/used in investing activities | -7,200,907,274.00 | -9,619,915,271.00 |
| 3. Cash flows from financing activities: | ||
| Capital contributions received | 0.00 | 0.00 |
| Borrowings raised | 20,500,000,000.00 | 8,365,000,000.00 |
| Cash generated from other financing activities | 12,710,000,000.00 | 12,768,112,185.00 |
| Subtotal of cash generated from financing activities | 33,210,000,000.00 | 21,133,112,185.00 |
| Repayment of borrowings | 14,039,500,000.00 | 7,150,000,000.00 |
| Interest and dividends paid | 8,778,110,111.00 | 4,231,130,463.00 |
| Cash used in other financing activities | 282,280,201.00 | 104,779.00 |
| Subtotal of cash used in financing activities | 23,099,890,312.00 | 11,381,235,242.00 |
| Net cash generated from/used in financing activities | 10,110,109,688.00 | 9,751,876,943.00 |
| 4. Effect of foreign exchange rates changes on cash and cash equivalents | 6,521,149.00 | -77,249,702.00 |
| 5. Net increase in cash and cash equivalents | 4,752,617,977.00 | -1,124,792,767.00 |
| Add: Cash and cash equivalents, beginning of the period | 5,591,885,722.00 | 4,360,065,216.00 |
| 6. Cash and cash equivalents, end of the period | 10,344,503,699.00 | 3,235,272,449.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
7. Consolidated Statements of Changes in Owners’ Equity
H1 2022
Unit: RMB
| Item | H1 2022 | ||||||||||||||
| Equity attributable to owners of the Company as the parent | Non-controlling interests | Total owners’ equity | |||||||||||||
| Share capital | Other equity instruments | Capital reserves | Less: Treasury stock | Other comprehensive income | Specific reserve | Surplus reserves | General reserve | Retained earnings | Other | Subtotal | |||||
| Preferred shares | Perpetual bonds | Other | |||||||||||||
| 1. Balance as at the end of the period of prior year | 38,445,746,482.00 | 0.00 | 14,146,997,427.00 | 0.00 | 53,804,309,393.00 | 3,415,768,207.00 | 113,551,147.00 | 0.00 | 2,889,590,205.00 | 0.00 | 36,941,121,452.00 | 0.00 | 142,925,547,899.00 | 73,947,595,568.00 | 216,873,143,467.00 |
| Add: Adjustment for change in accounting policy | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 160,668,659.00 | 0.00 | 160,668,659.00 | 344,954,391.00 | 505,623,050.00 |
| Adjustment for correction of previous error | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Adjustment for business combination under | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| common control | |||||||||||||||
| Other adjustments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Balance as at the beginning of the Reporting Period | 38,445,746,482.00 | 0.00 | 14,146,997,427.00 | 0.00 | 53,804,309,393.00 | 3,415,768,207.00 | 113,551,147.00 | 0.00 | 2,889,590,205.00 | 0.00 | 37,101,790,111.00 | 0.00 | 143,086,216,558.00 | 74,292,549,959.00 | 217,378,766,517.00 |
| 3. Increase/ decrease in the period (“-” for decrease) | 0.00 | 0.00 | 2,059,216,738.00 | 0.00 | 506,929,092.00 | 214,322,569.00 | -484,821,671.00 | 0.00 | 628,334.00 | 0.00 | -1,636,899,832.00 | 0.00 | 230,730,092.00 | -2,532,282,288.00 | -2,301,552,196.00 |
| 3.1 Total comprehensive income | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -478,538,335.00 | 0.00 | 0.00 | 0.00 | 6,595,661,738.00 | 0.00 | 6,117,123,403.00 | -3,401,266,356.00 | 2,715,857,047.00 |
| 3.2 Capital increased and reduced by owners | 0.00 | 0.00 | 1,989,415,094.00 | 0.00 | 506,559,784.00 | 214,322,569.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,281,652,309.00 | 910,245,590.00 | 3,191,897,899.00 |
| 3.2.1 Ordinary shares increased by owners | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,073,997,000.00 | 1,073,997,000.00 |
| 3.2.2 Capital increased by holders of other equity instrume | 0.00 | 0.00 | 1,989,415,094.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,989,415,094.00 | 0.00 | 1,989,415,094.00 |
| nts | |||||||||||||||
| 3.2.3 Share-based payments included in owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 305,704,628.00 | -60,417,632.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 366,122,260.00 | 20,365,186.00 | 386,487,446.00 |
| 3.2.4 Other | 0.00 | 0.00 | 0.00 | 0.00 | 200,855,156.00 | 274,740,201.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -73,885,045.00 | -184,116,596.00 | -258,001,641.00 |
| 3.3 Profit distribution | 0.00 | 0.00 | 69,801,644.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -8,238,216,572.00 | 0.00 | -8,168,414,928.00 | -41,261,522.00 | -8,209,676,450.00 |
| 3.3.1 Appropriation to surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.2 Appropriation to general reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.3 Appropriation to owners (or shareholders) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -7,954,814,928.00 | 0.00 | -7,954,814,928.00 | -41,261,522.00 | -7,996,076,450.00 |
| 3.3.4 Other | 0.00 | 0.00 | 69,801,644.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -283,401,644.00 | 0.00 | -213,600,000.00 | 0.00 | -213,600,000.00 |
| 3.4 Transfers within owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -6,283,336.00 | 0.00 | 628,334.00 | 0.00 | 5,655,002.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.1 Increase | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| in capital (or share capital) from capital reserves | |||||||||||||||
| 3.4.2 Increase in capital (or share capital) from surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.3 Loss offset by surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.4 Changes in defined benefit schemes transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.5 Other comprehensive income transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -6,283,336.00 | 0.00 | 628,334.00 | 0.00 | 5,655,002.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5 Specific reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.1 Increase | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| in the period | |||||||||||||||
| 3.5.2 Used in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 369,308.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 369,308.00 | 0.00 | 369,308.00 |
| 4. Balance as at the end of the Reporting Period | 38,445,746,482.00 | 0.00 | 16,206,214,165.00 | 0.00 | 54,311,238,485.00 | 3,630,090,776.00 | -371,270,524.00 | 0.00 | 2,890,218,539.00 | 0.00 | 35,464,890,279.00 | 0.00 | 143,316,946,650.00 | 71,760,267,671.00 | 215,077,214,321.00 |
H1 2021
Unit: RMB
| Item | H1 2021 | ||||||||||||||
| Equity attributable to owners of the Company as the parent | Non-controlling interests | Total owners’ equity | |||||||||||||
| Share capital | Other equity instruments | Capital reserves | Less: Treasury stock | Other comprehensive income | Specific reserve | Surplus reserves | General reserve | Retained earnings | Other | Subtotal | |||||
| Preferred shares | Perpetual bonds | Other | |||||||||||||
| 1. Balance as at the end of the period of prior year | 34,798,398,763.00 | 0.00 | 14,146,997,427.00 | 0.00 | 37,435,655,934.00 | 1,036,298,508.00 | -22,198,072.00 | 0.00 | 2,444,416,669.00 | 0.00 | 15,509,794,622.00 | 0.00 | 103,276,766,835.00 | 70,120,967,879.00 | 173,397,734,714.00 |
| Add: Adjustment for change in accounting policy | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 30,852,512.00 | 0.00 | 30,852,512.00 | 10,034,656.00 | 40,887,168.00 |
| Adjustment for correction of previous error | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Adjustment for business combination under common control | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Other adjustments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Balance as at the beginning of the Reporting Period | 34,798,398,763.00 | 0.00 | 14,146,997,427.00 | 0.00 | 37,435,655,934.00 | 1,036,298,508.00 | -22,198,072.00 | 0.00 | 2,444,416,669.00 | 0.00 | 15,540,647,134.00 | 0.00 | 103,307,619,347.00 | 70,131,002,535.00 | 173,438,621,882.00 |
| 3. Increase/ decrease in the period (“-” for decrease) | 0.00 | 0.00 | 51,007,123.00 | 0.00 | -373,763,328.00 | 0.00 | -70,035,865.00 | 0.00 | 4,161,389.00 | 0.00 | 9,212,987,291.00 | 0.00 | 8,824,356,610.00 | 4,186,024,478.00 | 13,010,381,088.00 |
| 3.1 Total comprehensive income | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -28,421,976.00 | 0.00 | 0.00 | 0.00 | 12,917,163,177.00 | 0.00 | 12,888,741,201.00 | 4,010,119,897.00 | 16,898,861,098.00 |
| 3.2 Capital increased and reduced by owners | 0.00 | 0.00 | 0.00 | 0.00 | -376,241,707.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -376,241,707.00 | 190,282,117.00 | -185,959,590.00 |
| 3.2.1 Ordinary shares increased by owners | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -926,301,322.00 | -926,301,322.00 |
| 3.2.2 Capital increased by holders of other equity instruments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.2.3 Share-based payments included in owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 288,269,885.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 288,269,885.00 | 20,510,201.00 | 308,780,086.00 |
| 3.2.4 Other | 0.00 | 0.00 | 0.00 | 0.00 | -664,511,592.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -664,511,592.00 | 1,096,073,238.00 | 431,561,646.00 |
| 3.3 Profit distribution | 0.00 | 0.00 | 51,007,123.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -3,741,628,386.00 | 0.00 | -3,690,621,263.00 | -14,377,536.00 | -3,704,998,799.00 |
| 3.3.1 Appropriation to surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.2 Appropriation to general reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.3 Appropriation to owners | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -3,477,021,263.00 | 0.00 | -3,477,021,263.00 | -14,377,536.00 | -3,491,398,799.00 |
| (or shareholders) | |||||||||||||||
| 3.3.4 Other | 0.00 | 0.00 | 51,007,123.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -264,607,123.00 | 0.00 | -213,600,000.00 | 0.00 | -213,600,000.00 |
| 3.4 Transfers within owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -41,613,889.00 | 0.00 | 4,161,389.00 | 0.00 | 37,452,500.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.1 Increase in capital (or share capital) from capital reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.2 Increase in capital (or share capital) from surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.3 Loss offset by surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.4 Changes in defined benefit schemes transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.5 Other compreh | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -41,613,889.00 | 0.00 | 4,161,389.00 | 0.00 | 37,452,500.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| ensive income transferred to retained earnings | |||||||||||||||
| 3.4.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5 Specific reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.1 Increase in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.2 Used in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 2,478,379.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,478,379.00 | 0.00 | 2,478,379.00 |
| 4. Balance as at the end of the Reporting Period | 34,798,398,763.00 | 0.00 | 14,198,004,550.00 | 0.00 | 37,061,892,606.00 | 1,036,298,508.00 | -92,233,937.00 | 0.00 | 2,448,578,058.00 | 0.00 | 24,753,634,425.00 | 0.00 | 112,131,975,957.00 | 74,317,027,013.00 | 186,449,002,970.00 |
8. Statements of Changes in Owners’ Equity of the Company as the Parent
H1 2022
Unit: RMB
| Item | H1 2022 | |||||||||||
| Share capital | Other equity instruments | Capital reserves | Less: Treasury stock | Other comprehensive income | Specific reserve | Surplus reserves | Retained earnings | Other | Total owners’ equity | |||
| Preferred shares | Perpetual bonds | Other | ||||||||||
| 1. Balance as at the end of the period of | 38,445,746,482.00 | 0.00 | 14,146,997,427.00 | 0.00 | 53,598,033,152.00 | 3,415,768,207.00 | 89,024,650.00 | 0.00 | 2,889,590,205.00 | 11,950,975,927.00 | 0.00 | 117,704,599,636.00 |
| prior year | ||||||||||||
| Add: Adjustment for change in accounting policy | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Adjustment for correction of previous error | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Other adjustments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Balance as at the beginning of the Reporting Period | 38,445,746,482.00 | 0.00 | 14,146,997,427.00 | 0.00 | 53,598,033,152.00 | 3,415,768,207.00 | 89,024,650.00 | 0.00 | 2,889,590,205.00 | 11,950,975,927.00 | 0.00 | 117,704,599,636.00 |
| 3. Increase/ decrease in the period (“-” for decrease) | 0.00 | 0.00 | 2,059,216,738.00 | 0.00 | 326,439,122.00 | 214,322,569.00 | -16,029,629.00 | 0.00 | 628,334.00 | -5,713,681,395.00 | 0.00 | -3,557,749,399.00 |
| 3.1 Total comprehensive income | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -9,746,293.00 | 0.00 | 0.00 | 2,518,880,175.00 | 0.00 | 2,509,133,882.00 |
| 3.2 Capital increased and reduced by owners | 0.00 | 0.00 | 1,989,415,094.00 | 0.00 | 326,069,814.00 | 214,322,569.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,101,162,339.00 |
| 3.2.1 Ordinary shares increased by owners | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.2.2 Capital increased by holders of other equity instruments | 0.00 | 0.00 | 1,989,415,094.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,989,415,094.00 |
| 3.2.3 Share-based payments included in owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 326,069,814.00 | -60,417,632.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 386,487,446.00 |
| 3.2.4 Other | 0.00 | 0.00 | 0.00 | 0.00 | 274,740,201.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -274,740,201.00 | |
| 3.3 Profit distribution | 0.00 | 0.00 | 69,801,644.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -8,238,216,572.00 | 0.00 | -8,168,414,928.00 |
| 3.3.1 Appropriation to surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.2 Appropriation to owners (or shareholders) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -7,954,814,928.00 | 0.00 | -7,954,814,928.00 |
| 3.3.3 Other | 0.00 | 0.00 | 69,801,644.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -283,401,644.00 | 0.00 | -213,600,000.00 |
| 3.4 Transfers within owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -6,283,336.00 | 0.00 | 628,334.00 | 5,655,002.00 | 0.00 | 0.00 |
| 3.4.1 Increase in capital (or share capital) from capital reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.2 Increase in capital (or share capital) from surplus | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| reserves | ||||||||||||
| 3.4.3 Loss offset by surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.4 Changes in defined benefit schemes transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.5 Other comprehensive income transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -6,283,336.00 | 0.00 | 628,334.00 | 5,655,002.00 | 0.00 | 0.00 |
| 3.4.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5 Specific reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.1 Increase in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.2 Used in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 369,308.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 369,308.00 |
| 4. Balance as at the end of the Reporting Period | 38,445,746,482.00 | 0.00 | 16,206,214,165.00 | 0.00 | 53,924,472,274.00 | 3,630,090,776.00 | 72,995,021.00 | 0.00 | 2,890,218,539.00 | 6,237,294,532.00 | 0.00 | 114,146,850,237.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
H1 2021
Unit: RMB
| Item | H1 2021 | |||||||||||
| Share capital | Other equity instruments | Capital reserves | Less: Treasury stock | Other comprehensive income | Specific reserve | Surplus reserves | Retained earnings | Other | Total owners’ equity | |||
| Preferred shares | Perpetual bonds | Other | ||||||||||
| 1. Balance as at the end of the period of prior year | 34,798,398,763.00 | 0.00 | 14,146,997,427.00 | 0.00 | 36,696,079,366.00 | 1,036,298,508.00 | 90,713,133.00 | 0.00 | 2,444,416,669.00 | 11,954,088,031.00 | 0.00 | 99,094,394,881.00 |
| Add: Adjustment for change in accounting policy | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Adjustment for correction of previous error | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Other adjustments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Balance as at the beginning of the Reporting Period | 34,798,398,763.00 | 0.00 | 14,146,997,427.00 | 0.00 | 36,696,079,366.00 | 1,036,298,508.00 | 90,713,133.00 | 0.00 | 2,444,416,669.00 | 11,954,088,031.00 | 0.00 | 99,094,394,881.00 |
| 3. Increase/ decrease in the period (“-” for decrease) | 0.00 | 0.00 | 51,007,123.00 | 0.00 | 313,557,266.00 | 0.00 | -119,366,101.00 | 0.00 | 4,161,389.00 | -472,180,858.00 | 0.00 | -222,821,181.00 |
| 3.1 Total comprehensive income | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -77,752,212.00 | 0.00 | 0.00 | 3,231,995,028.00 | 0.00 | 3,154,242,816.00 |
| 3.2 Capital | 0.00 | 0.00 | 0.00 | 0.00 | 308,780,087.0 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 308,780,087.0 |
| increased and reduced by owners | 0 | 0 | ||||||||||
| 3.2.1 Ordinary shares increased by owners | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.2.2 Capital increased by holders of other equity instruments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.2.3 Share-based payments included in owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 308,780,087.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 308,780,087.00 |
| 3.2.4 Other | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3 Profit distribution | 0.00 | 0.00 | 51,007,123.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -3,741,628,386.00 | 0.00 | -3,690,621,263.00 |
| 3.3.1 Appropriation to surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.3.2 Appropriation to owners (or shareholders) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -3,477,021,263.00 | 0.00 | -3,477,021,263.00 |
| 3.3.3 Other | 0.00 | 0.00 | 51,007,123.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -264,607,123.00 | 0.00 | -213,600,000.00 |
| 3.4 Transfers within owners’ equity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -41,613,889.00 | 0.00 | 4,161,389.00 | 37,452,500.00 | 0.00 | 0.00 |
| 3.4.1 Increase in capital (or share capital) from capital reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.2 Increase in capital (or share capital) from surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.3 Loss offset by surplus reserves | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.4 Changes in defined benefit schemes transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.4.5 Other comprehensive income transferred to retained earnings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -41,613,889.00 | 0.00 | 4,161,389.00 | 37,452,500.00 | 0.00 | 0.00 |
| 3.4.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5 Specific reserve | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.1 Increase in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.5.2 Used in the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3.6 Other | 0.00 | 0.00 | 0.00 | 0.00 | 4,777,179.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 4,777,179.00 |
| 4. Balance as at the end of the Reporting Period | 34,798,398,763.00 | 0.00 | 14,198,004,550.00 | 0.00 | 37,009,636,632.00 | 1,036,298,508.00 | -28,652,968.00 | 0.00 | 2,448,578,058.00 | 11,481,907,173.00 | 0.00 | 98,871,573,700.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
III Company ProfileFounded in Beijing on 9 April 1993 and headquartered in the city, BOE Technology Group Co., Ltd. (hereinafter referred to as the“Company”) is a company limited by shares. Its parent and ultimate controller is Beijing Electronics Holding Co., Ltd. (“ElectronicsHolding”). The Company and its affiliated subsidiaries (hereinafter jointly referred to as the “Group”) are divided into five majorbusiness divisions, namely, display business, Internet of Things (IoT) innovation business, sensor and application solutions, MLEDand smart medicine & engineering. For information about the Company’s subsidiaries, see Note IX herein.The consolidation scope for consolidated financial statements was determined based on control including the Company and subsidiariescontrolled by the Company.Information about subsidiaries was presented in Note IX.The increase and decrease of subsidiaries was listed in Note VIII.IV Basis for the Preparation of Financial Statements
1. Preparation Basis
The financial statements have been prepared on the basis of going concern.
2. Continuing Operations
The Company had the continuing operations ability within 12 months since the end of the Reporting Period.V Significant Accounting Policies and Estimates
Reminder of the specific accounting policies and estimates:
Naught
1. Statement of Compliance with the Accounting Standards for Business EnterprisesThe financial statements have been prepared in accordance with the requirements of Accounting Standards for Business Enterprisesissued by the Ministry of Finance (hereinafter referred to as MOF). These financial statements present truly and completely theconsolidated financial position and financial position as of 30 June 2022, the consolidated results of operations and results of operationsand the consolidated cash flows and cash flows in the first half year of 2022 of the Company.These financial statements also comply with the disclosure requirements of “Regulation on the Preparation of Information Disclosuresby Companies Issuing Securities, No. 15: General Requirements for Financial Reports” as revised by the China Securities RegulatoryCommission (“CSRC”) in 2014.
2. Accounting period
The accounting year of the Group is from January 1
st
to December 31
st.
3. Operating Cycle
The Company regarded the period from purchasing the assets for processing to realizing the cash or cash equivalents as the normal
operating cycle. The operating cycle of the main business of the Company usually is less than 12 months.
4. Recording Currency
The Company’s functional currency is Renminbi. These financial statements are presented in Renminbi. The basis of choosing thefunctional currency for the Company and its subsidiaries is that it’s the pricing and settlement currency for the main business. Somesubsidiaries of the Company adopt the currency other than RMB as the recording currency. The Company translates the foreigncurrency financial statement of subsidiaries when compiling the financial statement in accordance with V Significant AccountingPolicies and Estimates-9. Foreign Currency Businesses and Translation of Foreign Currency Financial Statements.
5. Accounting Treatments for a Business Combination Involving Entities Under and those not UnderCommon Control
(1) Business combination involving entities under common control
A business combination involving enterprises under common control is a business combination in which all of the combiningenterprises are ultimately controlled by the same party or parties both before and after the business combination, and that control is nottransitory. The assets and liabilities obtained are measured at the carrying amounts as recorded by the enterprise being combined at thecombination date. The difference between the carrying amount of the net assets obtained and the carrying amount of consideration paidfor the combination (or the total face value of shares issued) is adjusted to share premium in the capital reserve. If the balance of sharepremium is insufficient, any excess is adjusted to retained earnings. Other direct expenses occur when the Group conducting businesscombinations is recognized in current profit and loss. The combination date is the date on which one combining enterprise effectivelyobtains control of the other combining enterprises.
(2) Business combinations involving entities not under common control
A business combination involving entities not under common control is a business combination in which all of the combining entitiesare not ultimately controlled by the same party or parties both before and after the business combination. When the Group acts as thecombination party, the cost of a business combination paid by the acquirer is the aggregate of the fair value at the acquisition date ofassets given (including share equity of the acquiree held before the combination date), liabilities incurred or assumed, and equitysecurities issued by the acquirer. Any excess of the cost of a business combination over the acquirer’s interest in the fair value of theacquiree’s identifiable net assets is recognized as goodwill, while any excess of the acquirer’s interest in the fair value of the acquiree’sidentifiable net assets over the cost of a business combination is recognized in profit or loss. The cost of equity securities or liabilitysecurities as on combination consideration offering is recognized in initial recording capital on equity securities or liability securities.Other direct expenses occur when the Group conducting business combinations is recognized in current profit and loss. The differencebetween the fair value and the carrying amount of the assets given is recognized in profit or loss. The Group, at the acquisition date,recognized the acquiree’s identifiable asset, liabilities and contingent liabilities at their fair value at that date. The acquisition date isthe date on which the acquirer effectively obtains control of the acquiree.In a business combination not under same control realized by two or more transactions of exchange, for the equities of the purchasesheld before the purchase date, the Group will execute the remeasurement according to the fair value of the equity on the purchase datewith the difference between the fair value and its book value be recorded in the current investment income or other comprehensiveincome. The other comprehensive income which could be reclassified in the gains and losses afterwards under the measurement of theequity method and the changes of the equities of the other owners that involved with the afterwards equity of the purchases held beforethe purchase date should be transferred in the current investment income. When the equity in the acquiree held before the acquisitiondate is the investment in equity instrument at fair value through other comprehensive income, the other comprehensive incomerecognized before the acquisition date shall be transferred into retained earnings on the acquisition date.
6. Preparation Methods for Consolidated Financial Statements
(1) General principle
The scope of consolidated financial statements is determined on the base of control, which comprise the Company and its subsidiaries.The term “control” is the power of the Group upon an investee, with which it can take part in relevant activities of the investee to obtainvariable returns and is able to influence the amount of returns. When judging whether the Group owns the right on the investees or not,the Group only considers the substantive rights related to the investees (including the substantive rights enjoyed by the Group itselfand by the other parties). The financial status, operating results and cash flow of subsidiaries are included in the consolidated financialstatements from the date that control commences until the date that control ceases.Equity, profit or loss attributable to minority shareholders is presented separately under the item of shareholders’ equity in consolidatedincome statement and the net profits in the consolidated income statement.If current loss shoulder by minority shareholders of a subsidy over the proportion enjoyed by minority shareholders in a subsidy atowners’ equity at period-begin, its balance still offset minority shareholders’ equity.When the accounting period or accounting policies of a subsidiary are different from those of the Company, the Company makesnecessary adjustments to the financial statements of the subsidiary based on the Company’s own accounting period or accountingpolicies. Intra-group balances and transactions, and any unrealized profit or loss arising from intra-group transactions, are eliminatedin preparing the consolidated financial statements. Unrealized losses resulting from intra-group transactions are eliminated in the sameway as unrealized gains but only to the extent that there is no evidence of impairment.
(2) Acquiring the subsidiaries from merger
Where a subsidiary was acquired during the Reporting Period, through a business combination involving entities under common control,the financial statements of the subsidiary are included in the consolidated financial statements based on book value in the consolidatedbalance sheet of the subsidiary’s assets, liabilities and results of operations as if the combination had occurred at the date that commoncontrol was established. Therefore the opening balances and the comparative figures of the consolidated financial statements arerestated.Where a subsidiary was acquired during the Reporting Period, through a business combination involving entities not under commoncontrol, when prepared the consolidated financial statements, the Company shall included the acquired subsidiaries into theconsolidated scope from the acquisition date basing on the fair value of the identifiable assets, liabilities at the acquisition date.
(3) Disposing the subsidiaries
Where the control of former subsidiary was lost, any disposal profit or loss occurred shall be recorded into the investment incomeduring the period of losing control right. As for remaining equity investment, the Group will re-account it according to the fair valueat the date the control was lost. Any profit or loss occurred shall be recorded into the investment income during the period of losingcontrol right.Where the Group losses control on its original subsidiaries due to step by step disposal of equity investments through multipletransactions, should judge whether is the package deal according to the following principles:
- These deals are at the same time or under the condition of considering the influence of each other to concluded;- These transactions only when be regarded as a whole could achieve a complete business result;- The occurrence of a deal depends on at least one other transactions；- A deal alone is not economical, it is economical with other trading together.If each deal not belongs to a package deal, as for each deal before losing the control right on the subsidiaries, should be disposedaccording to the accounting policies of partly disposing the equity investment of the subsidiaries under the situation not losing thecontrol right.If each deal belongs to a package deal, considered as a transaction and conduct accounting treatment, however, before losing control,the differences between every disposal cost and the shares of the book value of the corresponding net assets continuously calculated
since the purchase date of the subsidiary of disposal investment are confirmed as other comprehensive income in consolidated financialstatements, which together transferred into the current profits and losses in the loss of control , when the Group losing control on itssubsidiary.
(4) Changes of non-controlling interests
Where the Company acquires a minority interest from a subsidiary’s minority shareholders or disposes of a portion of an interest in asubsidiary without a change in control, the difference between the amount by which the minority interests are adjusted and the amountof the consideration paid or received is adjusted to the capital reserve (share premium) in the consolidated balance sheet. If the creditbalance of capital reserve (share premium) is insufficient, any excess is adjusted to retained earnings.
7. Classification of Joint Arrangements and Accounting Treatment of Joint OperationsA joint arrangement refers to an arrangement jointly controlled by two participants or above and all the participants are restricted bythe arrangement; and two or more participants execute the jointly control on the arrangement. Any of the participant should notindividually control the arrangement, while any of the participant that owns the jointly control could stop other participants or theparticipants group from individually control the arrangement.Joint arrangements divided into joint operations and joint ventures. A joint operation refers to a joint arrangement where the participantparty enjoys assets and has to bear liabilities related to the arrangement. A joint venture refers to a joint arrangement where theparticipant party is only entitled to the net assets of the arrangement.The participant party should confirm the following items related to the interests portion among the jointly operation and execute theaccounting treatment according to the regulations of the relevant ASBE: recognizes the assets and liabilities that it holds and bears inthe joint operation, and recognizes the jointly-held assets and jointly-borne liabilities according to the Group’s stake in the jointoperation; recognizes the income from sale of the Group’s share in the output of the joint operation; recognizes the income from saleof the joint operation’s outputs according to the Group’s stake in it; and recognizes the expense solely incurred to the Group and theexpense incurred to the joint operation according to the Group’s stake in it.
8. Recognition Standard for Cash and Cash Equivalents
In the Group’s understanding, cash and cash equivalents include cash on hand, any deposit that can be used for cover, and short-termand high circulating investments, which are easily convertible into known amount of cash and whose risks in change of value areminimal.
9. Foreign Currency Businesses and Translation of Foreign Currency Financial StatementsWhen the Group receives capital in foreign currencies from investors, the capital is translated to Renminbi at the spot exchange rate atthe date of the receipt. Other foreign currency transactions are, on initial recognition, translated to Renminbi at the spot exchange ratesat the dates of the transactions.Monetary items denominated in foreign currencies are translated to Renminbi at the spot exchange rate at the balance sheet date. Theresulting exchange differences are recognized in profit or loss, except those arising from the principals and interests on foreign currencyborrowings specifically for the purpose of acquisition, construction of qualifying assets. Non-monetary items denominated in foreigncurrencies that are measured at historical cost are translated to Renminbi using the foreign exchange rate at the transaction date. Non-monetary items denominated in foreign currencies that are measured at fair value are translated using the foreign exchange rate at thedate the fair value is determined; the exchange differences, if it’s the difference arising from the non-monetary item of non-transactionalequity investments designated to be measured at fair value and changes thereof recorded into other comprehensive income, it shall beconsidered as other comprehensive income; other differences shall be recognized in current profit or loss.
The assets and liabilities of foreign operation are translated to Renminbi at the spot exchange rate at the balance sheet date. The equityitems, excluding “Retained earning” and “Difference arising from translation of foreign currency financial statements in othercomprehensive income”, are translated to Renminbi at the spot exchange rates at the transaction dates. The income and expenses offoreign operation are translated to Renminbi at rates that approximate the spot exchange rates at the transaction dates. The resultingexchange differences are listed in other comprehensive income. Upon disposal of a foreign operation, the cumulative amount of theexchange differences recognized in equity which relates to that foreign operation is transferred to profit or loss in the period in whichthe disposal occurs.Note: The determination methods for conversion exchange rates under foreign currency transactions, translation methods for foreigncurrency monetary items at the balance sheet date, accounting treatments for foreign exchange gains and losses, and accountingtreatments for translation of foreign currency financial statements shall be explained.
10. Financial instruments
(1) Recognition and initial measurement of financial assets and financial liabilities
A financial asset or financial liability is recognised in the balance sheet when the Group becomes a party to the contractual provisionsof a financial instrument.Financial assets (unless it is a trade receivable without a significant financing component) and financial liabilities is measured initiallyat fair value. For financial assets and financial liabilities at fair value through profit or loss, any related directly attributable transactioncosts are charged to profit or loss; for other categories of financial assets and financial liabilities, any related directly attributabletransaction costs are included in their initial costs. A trade receivable without a significant financing component is initially measuredat the transaction price according to Accounting Standards for Business Enterprises No.14-Revenue.
(2) Classification and subsequent measurement of financial assets
(a) Classification of financial assetsThe classification of financial assets is generally based on the business model in which a financial asset is managed and its contractualcash flow characteristics. On initial recognition, a financial asset is classified as measured at amortised cost, at fair value through othercomprehensive income (“FVOCI”), or at fair value through profit or loss (“FVTPL”).Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business model for managingfinancial assets in which case all affected financial assets are reclassified on the first day of the first reporting period following thechange in the business model.A financial asset is measured at amortised cost if it meets both of the following conditions and is not designated as at FVTPL:
- it is held within a business model whose objective is to hold assets to collect contractual cash flows; and- its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principalamount outstanding.A debt investment is measured at FVOCI if it meets both of the following conditions and is not designated as at FVTPL:
- it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets;and- its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principalamount outstanding.
On initial recognition of an equity investment that is not held for trading, the Group may irrevocably elect to present subsequent changesin the investment’s fair value in other comprehensive income. This election is made on an investment-by-investment basis. Theinstrument meets the definition of equity from the perspective of the issuer.
All financial assets not classified as measured at amortised cost or FVOCI as described above are measured at FVTPL. On initialrecognition, the Group may irrevocably designate a financial asset that otherwise meets the requirements to be measured at amortised
cost or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise.
The business model refers to how the Group manages its financial assets in order to generate cash flows. That is, the Group’s businessmodel determines whether cash flows will result from collecting contractual cash flows, selling financial assets or both. The Groupdetermines the business model for managing the financial assets according to the facts and based on the specific business objective formanaging the financial assets determined by the Group’s key management personnel.
In assessing whether the contractual cash flows are solely payments of principal and interest, the Group considers the contractual termsof the instrument. For the purposes of this assessment, ‘principal’ is defined as the fair value of the financial asset on initial recognition.‘Interest’ is defined as consideration for the time value of money and for the credit risk associated with the principal amount outstandingduring a particular period of time and for other basic lending risks and costs, as well as a profit margin. The Group also assesses whetherthe financial asset contains a contractual term that could change the timing or amount of contractual cash flows such that it would notmeet this condition.
(b) Subsequent measurement of financial assets
- Financial assets at FVTPL
These financial assets are subsequently measured at fair value. Net gains and losses, including any interest or dividend income, arerecognised in profit or loss unless the financial assets are part of a hedging relationship.
- Financial assets at amortised cost
These assets are subsequently measured at amortised cost using the effective interest method. A gain or loss on a financial asset that ismeasured at amortised cost and is not part of a hedging relationship shall be recognised in profit or loss when the financial asset isderecognised, through the amortisation process or in order to recognise impairment gains or losses.
- Debt investments at FVOCI
These assets are subsequently measured at fair value. Interest income calculated using the effective interest method, impairment andforeign exchange gains and losses are recognised in profit or loss. Other net gains and losses are recognised in other comprehensiveincome. On derecognition, gains and losses accumulated in other comprehensive income are reclassified to profit or loss.
- Equity investments at FVOCI
These assets are subsequently measured at fair value. Dividends are recognised as income in profit or loss. Other net gains and lossesare recognised in other comprehensive income. On derecognition, gains and losses accumulated in other comprehensive income arereclassified to retained earnings.
(3) Classification and subsequent measurement of financial liabilities
Financial liabilities are classified as measured at FVTPL or amortised cost.
- Financial liabilities at FVTPL
A financial liability is classified as at FVTPL if it is classified as held-for-trading (including derivative financial liability) or it isdesignated as such on initial recognition.
Financial liabilities at FVTPL are subsequently measured at fair value and net gains and losses, including any interest expense, arerecognised in profit or loss, unless the financial liabilities are part of a hedging relationship.
- Financial liabilities at amortised cost
These financial liabilities are subsequently measured at amortised cost using the effective interest method.
(4) Offsetting
Financial assets and financial liabilities are generally presented separately in the balance sheet, and are not offset. However, a financialasset and a financial liability are offset and the net amount is presented in the balance sheet when both of the following conditions aresatisfied:
- The Group currently has a legally enforceable right to set off the recognised amounts；- The Group intends either to settle on a net basis, or to realise the financial asset and settle the financial liability simultaneously.
(5) Derecognition of financial assets and financial liabilities
Financial asset is derecognised when one of the following conditions is met:
- the Group’s contractual rights to the cash flows from the financial asset expire;- the financial asset has been transferred and the Group transfers substantially all of the risks and rewards of ownership of thefinancial asset; or；- the financial asset has been transferred, although the Group neither transfers nor retains substantially all of the risks and rewardsof ownership of the financial asset, it does not retain control over the transferred asset.
Where a transfer of a financial asset in its entirety meets the criteria for derecognition, the difference between the two amounts belowis recognised in profit or loss:
- the carrying amount of the financial asset transferred measured at the date of derecognition;- the sum of the consideration received from the transfer and, when the transferred financial asset is a debt investment at FVOCI,any cumulative gain or loss that has been recognised directly in other comprehensive income for the part derecognised.
The Group derecognises a financial liability (or part of it) only when its contractual obligation (or part of it) is extinguished.
(6) Impairment
The Group recognises loss allowances for expected credit loss (ECL) on:
- financial assets measured at amortised cost;- contract assets;
- debt investments at FVOCI; andFinancial assets measured at fair value, including debt investments or equity securities at FVTPL, equity securities designated at FVOCIand derivative financial assets, are not subject to the ECL assessment.
Measurement of ECLs
ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. thedifference between the cash flows due to the entity in accordance with the contract and the cash flows that the Group expects to receive).
The maximum period considered when estimating ECLs is the maximum contractual period (including extension options) over whichthe Group is exposed to credit risk.
Lifetime ECLs are the ECLs that result from all possible default events over the expected life of a financial instrument.
12-month ECLs are the portion of ECLs that result from default events that are possible within the 12 months after the balance sheetdate (or a shorter period if the expected life of the instrument is less than 12 months).
Loss allowances for trade receivables and contract assets are always measured at an amount equal to lifetime ECL. ECLs on thesefinancial assets are estimated using a provision matrix based on the Group’s historical credit loss experience, adjusted for factors thatare specific to the debtors and an assessment of both the current and forecast general economic conditions at the balance sheet date.Except for trade receivables and contract assets, the Group measures loss allowance at an amount equal to 12-month ECL for thefollowing financial instruments, and at an amount equal to lifetime ECL for all other financial instruments.
- If the financial instrument is determined to have low credit risk at the balance sheet date;- If the credit risk on a financial instrument has not increased significantly since initial recognition.
Financial instruments that have low credit risk
The credit risk on a financial instrument is considered low if the financial instrument has a low risk of default, the borrower has a strongcapacity to meet its contractual cash flow obligations in the near term and adverse changes in economic and business conditions in thelonger term may, but will not necessarily, reduce the ability of the borrower to fulfil its contractual cash flow obligations.
Significant increases in credit risk
In assessing whether the credit risk of a financial instrument has increased significantly since initial recognition, the Group comparesthe risk of default occurring on the financial instrument assessed at the balance sheet date with that assessed at the date of initialrecognition.
When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimatingECL, the Group considers reasonable and supportable information that is relevant and available without undue cost or effort, includingforward-looking information. In particular, the following information is taken into account:
- failure to make payments of principal or interest on their contractually due dates;- an actual or expected significant deterioration in a financial instrument’s external or internal credit rating (if available);
- an actual or expected significant deterioration in the operating results of the debtor; and- existing or forecast changes in the technological, market, economic or legal environment that have a significant adverse effect onthe debtor’s ability to meet its obligation to the Group.
Depending on the nature of the financial instruments, the assessment of a significant increase in credit risk is performed on either anindividual basis or a collective basis. When the assessment is performed on a collective basis, the financial instruments are groupedbased on shared credit risk characteristics, such as past due status and credit risk ratings.
The Group assumes that the credit risk on a financial asset has increased significantly if it is more than 30 days past due.Credit-impaired financial assets
At each balance sheet date, the Group assesses whether financial assets carried at amortised cost and debt investments at FVOCI arecredit-impaired. A financial asset is ‘credit-impaired’ when one or more events that have a detrimental impact on the estimated futurecash flows of the financial asset have occurred. Evidence that a financial asset is credit-impaired includes the following observabledata:
- significant financial difficulty of the borrower or issuer;- a breach of contract, such as a default or delinquency in interest or principal payments;- for economic or contractual reasons relating to the borrower’s financial difficulty, the Group having granted to the borrower aconcession that would not otherwise consider;- it is probable that the borrower will enter bankruptcy or other financial reorganisation; or- the disappearance of an active market for that financial asset because of financial difficulties.
Presentation of allowance for ECL
ECLs are remeasured at each balance sheet date to reflect changes in the financial instrument’s credit risk since initial recognition. Anychange in the ECL amount is recognised as an impairment gain or loss in profit or loss. The Group recognises an impairment gain orloss for all financial instruments with a corresponding adjustment to their carrying amount through a loss allowance account, exceptfor debt investments that are measured at FVOCI, for which the loss allowance is recognised in other comprehensive income.
Write-off
The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no realistic prospect ofrecovery. A write-off constitutes a derecognition event. This is generally the case when the Group determines that the debtor does nothave assets or sources of income that could generate sufficient cash flows to repay the amounts subject to the write-off. However,financial assets that are written off could still be subject to enforcement activities in order to comply with the Group’s procedures forrecovery of amounts due.
Subsequent recoveries of an asset that was previously written off are recognised as a reversal of impairment in profit or loss in theperiod in which the recovery occurs.
(7) Equity instrument
The consideration received from the issuance of equity instruments net of transaction costs is recognised in shareholders’ equity.Consideration and transaction costs paid by the Company for repurchasing self-issued equity instruments are deducted from
shareholders’ equity.
When the Company repurchases its own shares, those shares are treated as treasury shares. All expenditure relating to the repurchaseis recorded in the cost of the treasury shares, with the transaction recording in the share register. Treasury shares are excluded fromprofit distributions and are presented as a deduction under shareholders’ equity in the balance sheet.
When treasury shares are cancelled, the share capital should be reduced to the extent of the total par value of the treasury sharescancelled. Where the cost of the treasury shares cancelled exceeds the total par value, the excess is deducted from capital reserve (sharepremium), surplus reserve and retained earnings sequentially. If the cost of treasury shares cancelled is less than the total par value, thedifference is credited to the capital reserve (share premium).
When treasury shares are disposed of, any excess of proceeds above cost is recognised in capital reserve (share premium); otherwise,the shortfall is deducted against capital reserve (share premium), surplus reserve and retained earnings sequentially.
(8) Perpetual bonds
At initial recognition, the Group classifies the perpetual bonds issued or their components as financial assets, financial liabilities orequity instruments based on their contractual terms and their economic substance after considering the definition of financial assets,financial liabilities and equity instruments.
Perpetual bonds issued that should be classified as equity instruments are recognised in equity based on the actual amount received.Any distribution of dividends or interests during the instruments’ duration is treated as profit appropriation. When the perpetual bondsare redeemed according to the contractual terms, the redemption price is charged to equity.
11. Notes Receivable
See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
12. Accounts Receivable
See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
13. Accounts Receivable Financing
Naught
14. Other Receivables
The recognition method and accounting treatment of expected credit losses of other receivablesSee V Significant Accounting Policies and Estimates-10. Financial Instruments for details
15. Inventory
(1) Classification and cost of inventories
Inventories include raw materials, work in progress, finished goods and reusable materials. Reusable materials include low-value
consumables, packaging materials and other materials, which can be used repeatedly but do not meet the definition of fixed assets.Inventories are initially measured by the cost. Cost of inventories comprises all costs of purchase, costs of conversion and other costs.Inventories are initially measured at their actual cost. In addition to the purchasing cost of raw materials, work in progress and finishedgoods include direct labor costs and an appropriate allocation of production overheads.
(2) Pricing method for outgoing inventories
Cost of inventories is calculated using the weighted average method.Revolving materials such as the low priced and easily worn articles and the packing materials should be amortized by adopting one-time amortization method and be recorded in the cost of the relevant assets or the current gains and losses.
(3) Recognition basis of net realizable value and withdrawal method of depreciation reserves for inventoriesOn the balance sheet day, inventories are carried at the lower of cost and net realizable value.Net realizable value is the estimated selling price in the normal course of business less the estimated costs to completion and theestimated expenses and related taxes necessary to make the sale. The net realizable value of materials held for use in the production ofinventories is measured based on the net realizable value of the finished goods in which they will be incorporated. The net realizablevalue of the quantity of inventory held to satisfy sales or service contracts is based on the contract price. If the quantities of inventoriesspecified in sales contracts are less than the quantities held by the Group, the net realizable value of the excess portion of inventoriesshall be based on general selling prices.Any excess of the cost over the net realizable value of each class of inventories is recognized as a provision for diminution in the valueof inventories, and then recorded into current profit or loss.
(4) Inventory system for inventories
The Group maintains a perpetual inventory system.
16. Contract Assets
Contract assets refer to the right that the Group has to charge consideration from customers due to the transfer of commodities to them,and the right depends on other factors than time lapse. If the Group sells two highly distinguishable commodities to a customer, andhas the right to receive payment due to the delivery of one of the commodities, but with the collection of the payment depending onthe delivery of the other, the Group will treat this right of payment as a contract asset.See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
17. Contract Costs
Contract costs are either the incremental costs of obtaining a contract with a customer or the costs to fulfill a contract with a customer.Incremental costs of obtaining a contract are those costs that the Group incurs to obtain a contract with a customer that it would nothave incurred if the contract had not been obtained. The Group recognizes as an asset the incremental costs of obtaining a contract witha customer if it expects to recover those costs. Other costs of obtaining a contract are expensed when incurred. Incremental costsincurred as the Group obtains a contract refer to those costs which will not incur without entering into a contract.If the costs to fulfill a contract with a customer are not within the scope of inventories or other accounting standards, the Grouprecognizes an asset from the costs incurred to fulfill a contract only if those costs meet all of the following criteria:
-the costs relate directly to an existing contract or to a specifically identifiable anticipated contract, including direct labor, directmaterials, allocations of overheads (or similar costs), costs that are explicitly chargeable to the customer and other costs that are incurredonly because the Group entered into the contract;-the costs enhance resources of the Group that will be used in satisfying performance obligations in the future;-the costs are expected to be recovered.
Assets recognized for the incremental costs of obtaining a contract and assets recognized for the costs to fulfill a contract (the "assetsrelated to contract costs") are amortized on a systematic basis that is consistent with the transfer to the customer of the goods or servicesto which the assets relate and recognized in profit or loss for the current period.-The Group recognizes an impairment loss in profit or loss to the extent that the carrying amount of an asset related to contract costsexceeds:
-remaining amount of consideration that the Group expects to receive in exchange for the goods or services to which the asset relates;-the costs that relate directly to providing those goods or services that have not yet been recognized as expenses.
18. Assets Held for Sale
The Group classifies a non-current asset or disposal group as held for sale when the carrying amount of a non-current asset or disposalgroup will be recovered through a sale transaction rather than through continuing use.A disposal group refers to a group of assets to be disposed of, by sale or otherwise, together as a whole in a single transaction andliabilities directly associated with those assets that will be transferred in the transaction.The Group should divide the non-current assets (or the disposal group, that is an asset group concurrently be disposed through sellingor other methods as an entirety in a transaction and the liabilities directly related to the assets from the transfer among the transaction,the same below )which simultaneously meet with the following conditions as the assets held for sale.– The non-current assets or disposal group could be immediately sold under the current condition in accordance with the usual termsof selling this kind of assets in similar transactions;– The sale is extremely possible that is to say, the Company has made a resolution regarding a sales planning and signed a legallybinding purchase agreement with other party, and the sale is expected to be finished within one year.The Group measures the non-current assets held for sale, deferred income tax assets and the investment properties be follow-upmeasured by the fair value mode according to the lower one between the book value and the fair value after deducting the net amountof the disposal expenses, while the deference that the book value higher than the fair value which deducted the disposal expenses shouldbe recognized as the impairment losses of the assets.
19. Investments in Debt Obligations
See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
20. Other Investments in Debt Obligations
See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
21. Long-term Receivables
See V Significant Accounting Policies and Estimates-10. Financial Instruments for details
22. Long-term Equity Investments
(1) Recognition of the investment cost of the long-term equity investment
(a) Long-term equity investments acquired through a business combination– The initial investment cost of a long-term equityinvestment obtained through a business combination involving entities under common control is the Company’s share of thesubsidiary’s equity at the combination date. The difference between the initial investment cost and the carrying amounts of the
consideration given is adjusted to share premium in capital reserve. If the balance of the share premium is insufficient, any excess isadjusted to retained earnings. For the long-term equity investment of the subsidiaries formed from the enterprise merger under the samecontrol that realized step by step of the multiple transaction not belong to package deal, the Company would adjust the capital stockpremium among the capital surplus according to the difference between the initial investment cost of the long-term equity investmentrecognized according to the above principles and the sum of the book value of the long-term equity investment before reaching themerger and the book value of the newly paid consideration which be further received on the merger date, and if the balance of the sharepremium is insufficient, any excess is adjusted to retained earnings.– For other long-term equity investment obtained through entities not under common control, the fair values, on the acquisition date,of the assets given, the liabilities incurred or assumed and the equity securities issued by the acquirer in exchange for the control onthe acquiree shall be recognized as initial investment cost of the long-term equity investment. For long-term equity investment obtainedthrough a business combination involving entities not under common control by two or more transactions and by several steps, theinitial investment cost is recognized as the aggregation of the carrying value of acquirees’ equity investment before the acquisition dateheld by the Company and newly investment cost at the acquisition date.(b) Long-term equity investments acquired otherwise than through a business combinationFor the Long-term equity investments acquired otherwise than through a business combination, if the long-term investment is acquiredby paying cash, the Group shall, upon initial recognition, take the purchase price actually paid as the initial investment cost ;For the long-term equity investment obtained by issuing equity securities, the Group takes the fair value of equity securities issued asthe initial investment cost.
(2) Subsequent measurement and recognition of profits or losses of the long-term equity investment(a) Investments in subsidiariesIn the Company’s financial statements, investments in subsidiaries are accounted for using the cost method, unless the investment isclassified as held for sale. Cash dividends or profit distributions declared by subsidiaries and attributed to the Company shall berecognized as investment income, without dividing whether it’s the net profit realized by the investee before the investment or afterthe investment, except those that have been declared but unpaid at the time of acquisition and therefore included in the price paid orconsideration.The investment into the subsidiaries is stated at cost less impairment losses in the balance sheet.As for the impairment testing method and impairment provisions for investments in subsidiaries, please refer to V. SignificantAccounting Policies and Estimates-31. Long-term Asset Impairment.In the Group’s consolidated financial statements, long-term equity investments in subsidiaries are treated in accordance with V.Significant Accounting Policies and Estimates-6. Preparation Method for Consolidated Financial Statements.(b) Investment in jointly controlled enterprises and associatesThe joint enterprise refers to an arrangement that the Group and other joint operation parties execute jointly control and only enjoy therights of their own net assets.An associate is an enterprise over which the Group has significant influence.Upon the subsequent measurement, an investment in a jointly controlled enterprise or an associate is accounted for using the equitymethod, unless the investment is classified as held for sale.The Group makes the following accounting treatments when using 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’sidentifiable net assets at the date of acquisition, the investment is initially recognized at the initial investment cost. Where the initialinvestment cost is less than the Group’s interest in the fair value of the investee’s identifiable net assets at the date of acquisition, theinvestment is initially recognized at the investor’s share of the fair value of the investee’s identifiable net assets, and the difference ischarged to profit or loss.– After the acquisition of the investment, the Group recognizes its share of the investee’s net profits or losses after deducting the
amortization of the debit balance of equity investment difference, which was recognized by the Group before the first-time adoptionof CAS, as investment income or losses, and adjusts the carrying amount of the investment accordingly. The debit balance of the equityinvestment difference is amortized using the straight-line method over a period which is determined in accordance with previousaccounting standards. Once the investee declares any cash dividends or profits distributions, the carrying amount of the investment isreduced by that attributable to the Group. As for the other changes of the owners’ equities except for the net gains and losses, othercomprehensive income and profits distribution of the joint ventures or associated enterprises (hereinafter referred to as “changes ofother owners’ equities”), the Group included which in the shareholders’ equities according to the portion ought to be enjoyed or shared,and at the same time adjust the book value of the long-term equity investment.– The Group recognizes its share of the investee’s net profits or losses, other comprehensive income and changes of other owners’equities after making appropriate adjustments to align the accounting policies or accounting periods with those of the Group based onthe fair values of the investee’s identifiable net assets at the date of acquisition. Unrealized profits and losses resulting from transactionsbetween the Group and its associates or jointly controlled enterprises are eliminated to the extent of the Group’s interest in the associatesor jointly controlled enterprises. Unrealized losses resulting from transactions between the Group and its associates or jointly controlledenterprises are eliminated in the same way as unrealized gains but only to the extent that there is no evidence of impairment.– The Group discontinues recognizing its share of net losses of the investee after the carrying amount of the long-term equity investmentand any long-term interest that in substance forms part of the Group’s net investment in the associate or the jointly controlled enterpriseis reduced to zero, except to the extent that the Group has an obligation to assume additional losses. Where net profits are subsequentlymade by the associate or jointly controlled enterprise, the Group resumes recognizing its share of those profits only after its share ofthe profits equals the share of losses not recognized.As for the impairment testing method and impairment provisions for investments in joint ventures and associated enterprises, pleaserefer to V. Significant Accounting Policies and Estimates-31. Long-term Asset Impairment.
(3) The basis for determination of joint control or significant influence over investee enterpriseJoint control refers to the control jointly owned on certain arrangement according to relevant agreement and the relevant activities ofthe arrangement (which are the activities cause significant influences on the arrangement) could only execute the decision-makingthrough the unanimous consent of the parties sharing control.The following evidences shall be considered when determining whether the Group can exercise joint control over an investee:
? No single venture is in a position to control the operating activities unilaterally;? Operating decisions relating to the investee’s economic activity require the unanimous consent of the parties sharing control.Significant influence is the power to participate in the financial and operating policy decisions of an investee but is not control or jointcontrol over those policies.
23. Investment Property
Measurement model for investment propertyCost measurementMethod of depreciation and amortizationThe Company classified its real estate held for earning rents or capital appreciation or for both into the investment property. TheCompany applied the cost model to measure the investment real estate. Namely, it would be presented in the Balance Sheet throughdeducting the accumulated depreciation, amortization and the depreciation reserves from the costs. Besides, the Company wouldcalculate and withdraw or amortize the investment real estate by using the straight-line method within the service life through deductingthe predicted net residual value and the accumulated provision reserves from the costs, unless the investment real estate could meetcorresponding held-for-sale conditions. See See V Significant Accounting Policies and Estimates-31. Impairment of Long-term Assetsfor details about methods for impairment testing and impairment provision.The life time, residual rate and yearly depreciation of various investment properties are respectively as follows:
| Item | Life time | Residual rate | Yearly depreciation |
| Land use right | 32-50 years | 0% | 2%-3.1% |
| Houses and buildings | 20-40 years | 0%-10% | 2.3%-5% |
24. Fixed Assets
(1) Conditions for Recognition
Fixed assets represent the tangible assets held by the Group for use in the production of goods or supply of services for rental to othersor for operation and administrative purposes with useful lives over one year.The cost of a purchased fixed asset comprises the purchase price, related taxes, and any directly attributable expenditure for bringingthe asset to working condition for its intended use. The cost of self-constructed assets is measured in accordance with the policy setout in Note V. Significant Accounting Policies and Estimates-25. Construction in Progress.Where parts of an item of fixed assets have different useful lives or provide benefits to the Group in different patterns thus necessitatinguse of different depreciation rates or methods, each part is recognized as a separate fixed asset.The subsequent costs, including the cost of replacing part of an item of fixed assets, are recorded into fixed asset cost when the economicinterests related to costs may flow into the Group, and the carrying amount of the replaced part is derecognized. The costs of the day-to-day servicing of fixed assets are recognized in profit or loss as incurred. Fixed assets are stated in the balance sheet at cost lessaccumulated depreciation and impairment losses, unless that the fixed assets meet the conditions of held-for-sale.
(2) Depreciation Methods
| Category of fixed assets | Depreciation method | Depreciable life | Residual value rate (%) | Yearly depreciation |
| Workshops and buildings | Straight-line method | 10-50 years | 3%-10% | 1.8%-9.7% |
| Equipments | Straight-line method | 2-25 years | 0-10% | 3.6%-50% |
| Others | Straight-line method | 2-10 years | 0-10% | 9.0%-50% |
Naught
(3) Recognition Basis, Pricing and Depreciation Method of Fixed Assets by Finance Lease
Naught
25. Construction in Progress
The cost of the self-constructed fixed asset including the engineering materials, direct labor, borrowing expenses met with thecapitalization condition (refer to V. Significant Accounting Policies and Estimates-26. Borrowing Costs) and the necessary expenseshappened before the assets reach the expected available state.When the self-constructed fixed asset reaches the available state, should transfer into the fixed assets, before which should be listedamong the construction in progress and not withdraw the depreciation.
26. Borrowing Costs
Borrowing costs incurred directly attributable to the acquisition and construction of a qualifying asset are capitalized as part of the costof the asset. Other borrowing costs are recognised as financial expenses when incurred.During the capitalisation period, the amount of interest (including amortisation of any discount or premium on borrowing) to becapitalised in each accounting period is determined as follows:
-Where funds are borrowed specifically for the acquisition and construction of a qualifying asset, the amount of interest to be capitalisedis the interest expense calculated using effective interest rates during the period less any interest income earned from depositing theborrowed funds or any investment income on the temporary investment of those funds before being used on the asset.-To the extent that the Group borrows funds generally and uses them for the acquisition and construction of a qualifying asset, theamount of borrowing costs eligible for capitalisation is determined by applying a capitalisation rate to the weighted average of theexcess amounts of cumulative expenditure on the asset over the above amounts of specific borrowings. The capitalisation rate is theweighted average of the interest rates applicable to the general-purpose borrowings.The effective interest rate is determined as the rate that exactly discounts estimated future cash flow through the expected life of theborrowing or, when appropriate, a shorter period to the initially recognised amount of the borrowings.During the capitalisation period, exchange differences related to the principal and interest on a specific-purpose borrowing denominatedin foreign currency are capitalised as part of the cost of the qualifying asset. The exchange differences related to the principal andinterest on foreign currency borrowings other than a specific-purpose borrowing are recognised as a financial expense when incurred.The capitalisation period is the period from the date of commencement of capitalisation of borrowing costs to the date of cessation ofcapitalisation, excluding any period over which capitalisation is suspended. Capitalisation of borrowing costs commences whenexpenditure for the asset is being incurred, borrowing costs are being incurred and activities of acquisition and construction that arenecessary to prepare the asset for its intended use are in progress, and ceases when the assets become ready for their intended use.When the parts of the qualifying assets acquired or constructed that are eligible for capitalisation are completed separately, and eachpart is available for use in other parts of the construction process or can be sold externally, and for the purpose of making the parts ofthe assets ready for use or necessary for the sales status, the acquisition or construction activities have been substantially completed,the Group ceases the capitalization of the borrowing costs related to the parts of the assets. Capitalisation of borrowing costs issuspended when the acquisition and construction activities are interrupted abnormally for a period of more than three months.
27. Living Assets
Naught
28. Oil and Gas Assets
Naught
29. Right-of-Use Assets
The term "right-of-use assets" refers to the right of the Group as the lessee to use the leased assets during the lease term
(1) Initial measurement
The Group recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initiallymeasured at cost, which comprises the initial amount of the lease liability, any lease payments made at or before the commencementdate (less any lease incentives received), any initial direct costs incurred and an estimate of costs to dismantle and remove the underlyingasset or to restore the site on which it is located or restore the underlying asset to the condition required by the terms and conditions of
the lease.
(2) Subsequent measurement
The right-of-use asset is depreciated using the straight-line method. If the lessee is reasonably certain to exercise a purchase option bythe end of the lease term, the right-of-use asset is depreciated over the remaining useful lives of the underlying asset. Otherwise, theright-of-use asset is depreciated from the commencement date to the earlier of the end of the useful life of the right-of-use asset or theend of the lease term. Impairment losses of right-of-use assets are accounted for in accordance with the accounting policy described in
31. Long-term asset impairment under V. Significant Accounting Policies and Accounting Estimates.
30. Intangible Assets
(1) Pricing Method, Useful life and Impairment test
(a) Pricing method of intangible assetsIntangible assets are stated in the balance sheet at cost less accumulated amortisation (where the estimated useful life is finite) andimpairment losses (see 31. Long-term asset impairment under V. Significant Accounting Policies and Accounting Estimates).(b) Estimated useful life of intangible assets with limited useful lifeAs for the intangible assets with limited useful life, after deducting the salvage of the cost and the impairment provision, the Groupamortized the intangible assets through straight line method within the expected service life, unless the intangible assets are classifiedas held for sale.The respective amortisation periods for intangible assets are as follows:
| Item | Amortisation period (years) |
| Land use rights | 20 - 50 years |
| Patent and proprietary technology | 5 – 20 years |
| Computer software | 3 – 10 years |
| Others | 5 – 20 years |
Useful lives and amortisation methods of intangible asset with finite useful life are reviewed at least at each year-end. An intangibleasset is regarded as having an indefinite useful life and is not amortized when there is no foreseeable limit to the period over which theasset is expected to generate economic benefits for the Group. At the balance sheet date, the Group doesn’t have any intangible assetswith indefinite useful lives.
(2) Accounting Policies of Internal R & D Expenses
Expenditures of internal R&D project of the Group divides into expenditures on the research phase and expenditures on thedevelopment phase.Expenditures on the research phase are recognized in profit or loss when incurred. Expenditures on the development phase arecapitalized if development costs can be measured reliably, the product or process is technically and commercially feasible, and theGroup intends to and has sufficient resources to complete development. Capitalized development costs are stated at cost less impairmentlosses in the balance sheet (see 31. Long-term asset impairment under V. Significant Accounting Policies and Accounting Estimates).Other development expenditures are recognized as expenses in the period in which they are incurred.
31. Impairment of Long-term Assets
The Group executes the impairment test on the assets with impairment indication and evaluates the recoverable amount of the assets.Besides, whether there is impairment indication, the Group will evaluate the recoverable amount of the goodwill at the year-end. The
Group will amortize the book value of the good according to the benefit situation in the synergistic effect from the enterprise mergerby the relevant assets group or the combination of the assets group and based on which executes the impairment test of the goodwill.The recoverable amount of an asset, asset group or set of asset groups is the higher of its fair value less costs to sell and its presentvalue of expected future cash flows. An asset group is the smallest identifiable group of assets that generates cash inflows that arelargely independent of the cash inflows from other assets or asset groups.An asset group is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflowsfrom other assets or asset groups. An asset group is composed of assets directly relating to cash-generation. Identification of an assetgroup is based on whether major cash inflows generated by the asset group are largely independent of the cash inflows from otherassets or asset groups. In identifying an asset group, the Group also considers how management monitors the Group’s operations andhow management makes decisions about continuing or disposing of the Group’s assets.The present value of expected future cash flows of an asset is determined by discounting future cash flows, estimated to be derivedfrom continuing use of the asset and from its ultimate disposal, to their present value using a pre-tax discount rate that reflects currentmarket assessments of the time value of money and the risks specific to the asset.If the result of the recoverable amount calculation indicates that the recoverable amount of an asset is less than its carrying amount, thecarrying amount of the asset is reduced to its recoverable amount. That reduction is recognized as an impairment loss and charged toprofit or loss for the current period. A provision for impairment loss of the asset is recognized accordingly. For impairment lossesrelated to an asset group or a set of asset groups, first reduce the carrying amount of any goodwill allocated to the asset group or set ofasset groups, and then reduce the carrying amount of the other assets in the asset group or set of asset groups on a pro rata basis.However, the carrying amount of an impaired asset will not be reduced below the highest of its individual fair value less costs to sell(if determinable), the present value of expected future cash flows (if determinable) and zero.Once an impairment loss is recognized, it is not reserved in a subsequent period.
32. Long-term Deferred Expenses
Long-term deferred expenses are amortized on a straight-line method within the benefit period:
| Item | Amortization period (years) |
| Cost of construction and use of public facilities | 10-15 years |
| Cost of operating lease assets improvement | 2-10 years |
| Others | 2-10 years |
33. Contract Liabilities
Contract liabilities refer to the Company’s obligations in transferring commodities or services to the client for the received or predictedconsideration. Contract assets and contract liabilities under the same contract shall be presented based on the net amount.
34. Payroll
(1) Accounting Treatment of Short-term Compensation
During the accounting period of an employee' providing services, the Group recognizes the actual occurred or withdrawn worker wages,bonuses and the social insurance charges such as the medical insurance premiums, industrial injury insurance premium and birthinsurance premium according to the specified benchmark and proportion as well as the housing funds as the liabilities and recordswhich in the current gains and losses or the relevant asset costs.
(2) Accounting Treatment of the Welfare after Demission
The defined contribution plans participated by the Group including: the basic endowment insurance and unemployment insurance
among the social security system set up and managed by the government institutions according to the requirements of the relevantChinese regulations of the employees of the Group and the corporation pension plan approved and set up by the relevant departmentsaccording to the relevant policies of the state enterprise annuity system. The payment amount of the basic endowment insurance andthe unemployment insurance should be calculated according to the benchmark and the proportion stipulated by the nation. Theenterprise annuity should be withdrawn according to the certain proportion of the total amount of the worker wages of the employeesvoluntarily participated in the pension plan. During the accounting period of the employees providing the service, the Companyrecognizes the deposited amount as the liabilities and records in the current gains and losses or the relevant asset costs.
(3) Accounting Treatment of the Demission Welfare
The Group relieves the labor relations with the employees before the maturity of the labor contracts or puts forward the advice forcompensation for encouraging the employees voluntarily accept the reduction, and recognizes the liabilities caused from the demissionwelfare on the earlier date of the followings and at the same time records which in the current gains and losses:
? When the Group could not unilaterally withdraw the demission welfare provided owning to the termination of the labor relations orthe reduction advice:
? The Group owns specific and formal reorganization plan that concerning the payment of the demission welfare; and the time whenthe reorganization plan had been executed or had announced the main content of the plan to the parties influenced by which, then ledall parties formed the rational expectations about the Group is going to execute the reorganization.
(4) Accounting Treatment of the Welfare of Other Long-term Staffs
The welfare of other long-term staffs refers to the all the employees compensation except for the short-term compensation, welfareafter demission and demission welfare, which including the long-term compensated absences, long-term sociability benefits and long-term profit sharing plan and so on. The Group not involved with any other long-term employee's welfare.
35. Lease Liabilities
(1) Initial measurement
The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discountedusing the interest rate implicit in the lease or, if that rate cannot be readily determined, the Group’s incremental borrowing rate.
(2) Subsequent measurement
A constant periodic rate is used to calculate the interest on the lease liability in each period during the lease term with a correspondingcharge to profit or loss or included in the cost of assets where appropriate. Variable lease payments not included in the measurementof the lease liability are charged to profit or loss or included in the cost of assets where appropriate as incurred.
(3) Remeasurement
Under the following circumstances after the commencement date, the Group remeasures lease liabilities based on the present value ofrevised lease payments:
- there is a change in the amounts expected to be payable under a residual value guarantee;- there is a change in future lease payments resulting from a change in an index or a rate used to determine those payments;- there is a change in the assessment of whether the Group will exercise a purchase, extension or termination option, or there is a changein the exercise of the extension or termination option.When the lease liability is remeasured, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or isrecorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.The Group has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 monthsor less and leases of low-value assets. The Group recognises the lease payments associated with these leases in profit or loss or as thecost of the assets where appropriate using the straight-line method or other systematic basis over the lease term.
36. Provisions
A provision is recognized for an obligation related to a contingency if the Group has a present obligation that can be estimated reliably,and it is probable that an outflow of economic benefits will be required to settle the obligation.The estimated liabilities should be executed the initial measurement according to the best estimated number needed to be spent whencaring out the relevant current obligations. As for those with significant influences on the time value of money, the estimated liabilitiesshould be confirmed according to the amount after the discount of the estimated future cash flow. When recognizing the best estimatednumber, the Group comprehensively considers the factors such as the risks, uncertainty and the time value of money related to thecontingencies. There is a contiguous range of the needed expenses and the possibility of various results within the range is the sameand the best estimated number should be recognized according to the mediant within the range; under other circumstance, the bestestimated number should be handled respectively according to the following situations:
? If the contingencies involve with a single item, should be recognized according to the most likely happened amount.? If the contingencies involve with various items, should be recognized according to the calculation of various possible results and therelevant probabilities.The Group executes the reexamination of the book value of the estimated liabilities on the balance sheet date and adjusts the bookvalue according to the current best estimated number.
37. Share-based Payment
The Group conducts accounting treatment in accordance with relevant provisions of the Accounting Standards for Business EnterprisesNo. 11 - Share-based Payment and the application guide.Share-based payment is a transaction in which an enterprise grants equity instruments or takes liabilities based on equity instrumentsin order to obtain services provided by employees and other parties.Share-based payments include equity-settled share-based payment and cash-settled share-based payment.If an equity-settled share-based payment is adopted for services provided by employees, it shall be measured at the fair value of theequity instrument granted to employees.Cash-settled share-based payment shall be measured at the fair value of liabilities calculated and determined on the basis of shares orother equity instruments undertaken by the enterprise.The Group makes corresponding accounting treatment according to the implementation schedule of the equity incentive plan.
(1) Grant date
For an equity-settled share-based payment, if the right can be exercised immediately after the grant, the fair value of the equityinstruments shall, on the grant date, be included in the relevant costs or expenses and the capital reserves shall be increased accordingly.For a cash-settled share-based payment, if the right can be exercised immediately after the grant, the fair value of the obligations borneby the Company shall, on the grant date, be included in the relevant costs or expenses and the obligations shall be increased accordingly.Neither equity-settled share-based payments nor cash-settled share-based payments, except for share-based payments which can beexercised immediately, undergo accounting treatment on the grant date.
(2) Each balance sheet date in the vesting period
Vesting period refers to the period during which the vesting conditions are satisfied.For share-based payments subject to the prescribed period of service, the vesting period is the period from the grant date to the vestingdate. For share-based payments subject to prescribed performance, the length of the vesting period is estimated at the grant date basedon the most likely performance results.For a share-based payment, if the right cannot be exercised until the vesting period ends or until the prescribed performance conditions
are met, on each balance sheet date within the vesting period, the services acquired in the current period shall, based on the best estimateof the information about the exercisable right and at the fair value of the equity instrument on the grant date for equity-settled share-based payments, be included in the costs or expenses and the corresponding obligations. For a cash-settled share-based payment, theservices acquired in the current period shall be included in the costs or expenses and the corresponding obligations at the fair value ofthe obligations borne by the enterprise.
(3) Vesting date
Vesting date refers to the date on which the vesting conditions are satisfied and the employees and other parties have the right to acquireequity instruments or cash from the enterprise.Vesting date refers to the date on which employees and other parties exercise their rights and acquire cash or equity instruments.For an equity-settled share-based payment, no adjustment will be made to the related costs or expenses recognized and to the totalowner's equity after the vesting date. On the vesting date, share capital or treasury stock and share premium shall be recognized basedon the exercise situation, and capital reserves recognized during the vesting period shall be carried forward.For cash-settled share-based payments, the enterprise shall re-measure the fair value of the obligations on each balance sheet date andsettlement date after the vesting date and before the settlement of the relevant obligations, and the changes shall be included in theprofit and loss of the current period. On the vesting date, the recognized obligations shall be carried forward at the time of settlementaccording to the exercise.The share-based payment of the Company was paid with shares settled in equity.
38. Other Financial Instruments such as Preferred Shares and Perpetual BondsSee V Significant Accounting Policies and Estimates-10. Financial Instruments for details.
39. Revenue
Accounting policies for recognition and measurement of revenueRevenue is the gross inflow of economic benefits arising in the course of the Group’s ordinary activities when the inflows result inincrease in shareholders’ equity, other than increase relating to contributions from shareholders.
Revenue is recognised when the Group satisfies the performance obligation in the contract by transferring the control over relevantgoods or services to the customers.Where a contract has two or more performance obligations, the Group determines the stand-alone selling price at contract inception ofthe distinct good or service underlying each performance obligation in the contract and allocates the transaction price in proportion tothose stand-alone selling prices. The Group recognises as revenue the amount of the transaction price that is allocated to eachperformance obligation. The stand-alone selling price is the price at which the Group would sell a promised good or service separatelyto a customer. If a stand-alone selling price is not directly observable, the Group considers all information that is reasonably availableto the entity, maximises the use of observable inputs to estimate the stand-alone selling price.
For the contract which the Group grants a customer the option to acquire additional goods or services (such as, loyalty points, discountcoupons for future purchase, etc.,), the Group assesses whether the option provides a material right to the customer. If the optionprovides a material right, the Group recognises the option as a performance obligation, and recognises revenue when those future goodsor services are transferred or when the option expires. If the stand-alone selling price for a customer’s option to acquire additionalgoods or services is not directly observable, the Group estimates it, taking into account all relevant information, including the differencein the discount that the customer would receive when exercising the option or without exercising the option, and the likelihood that the
option will be exercised.
For the contract with a warranty, the Group analyses the nature of the warranty provided, if the warranty provides the customer with adistinct service in addition to the assurance that the product complies with agreed-upon specifications, the Group recognises for thepromised warranty as a performance obligation. Otherwise, the Group accounts for the warranty in accordance with the requirementsof CAS No.13 – Contingencies.
The transaction price is the amount of consideration to which the Group expects to be entitled in exchange for transferring promisedgoods or services to a customer, excluding amounts collected on behalf of third parties. The Group recognises the transaction priceonly to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognised will not occurwhen the uncertainty associated with the variable consideration is subsequently resolved. To determine the transaction price forcontracts in which a customer promises consideration in a form other than cash, the Group measures the non-cash consideration at fairvalue. If the Group cannot reasonably estimate the fair value of the non-cash consideration, the Group measures the considerationindirectly by reference to the stand-alone selling price of the goods or services promised to the customer in exchange for theconsideration. Where the contract contains a significant financing component, the Group recognises the transaction price at an amountthat reflects the price that a customer would have paid for the promised goods or services if the customer had paid cash for those goodsor services when (or as) they transfer to the customer. The difference between the amount of promised consideration and the cashselling price is amortised using an effective interest method over the contract term. The Group does not adjust the consideration forany effects of a significant financing component if it expects, at contract inception, that the period between when the Group transfersa promised good or service to a customer and when the customer pays for that good or service will be one year or less.The Group satisfies a performance obligation over time if one of the following criteria is met; or otherwise, a performance obligationis satisfied at a point in time:
- the customer simultaneously receives and consumes the benefits provided by the Group’s performance as the Group performs;- the customer can control the asset created or enhanced during the Group’s performance; or- the Group’s performance does not create an asset with an alternative use to it and the Group has an enforceable right to paymentfor performance completed to date.
For performance obligation satisfied over time, the Group recognises revenue over time by measuring the progress towards completesatisfaction of that performance obligation. When the outcome of that performance obligation cannot be measured reasonably, but theGroup expects to recover the costs incurred in satisfying the performance obligation, the Group recognises revenue only to the extentof the costs incurred until such time that it can reasonably measure the outcome of the performance obligation.
For performance obligation satisfied at a point in time, the Group recognises revenue at the point in time at which the customer obtainscontrol of relevant goods or services. To determine whether a customer has obtained control of goods or services, the Group considersthe following indicators:
- the Group has a present right to payment for the goods or services;- the Group has transferred physical possession of the goods to the customer;- the Group has transferred the legal title of the goods or the significant risks and rewards of ownership of the goods to the customer;and- the customer has accepted the goods or services.
The Group determines whether it is a principal or an agent, depending on whether it obtains control of the specified good or servicebefore that good or service is transferred to a customer. The Group is a principal if it controls the specified good or service before thatgood or service is transferred to a customer, and recognises revenue in the gross amount of consideration to which it has received (orreceivable). Otherwise, the Group is an agent, and recognises revenue in the amount of any fee or commission to which it expects tobe entitled. The fee or commission is the net amount of consideration that the Group retains after paying the other party the consideration,or is the established amount or proportion.
For the sale of a product with a right of return, the Group recognises revenue when the Group obtains control of that product, in theamount of consideration to which the Group expects to be entitled in exchange for the product transferred (i.e. excluding the amountof which expected to be returned), and recognises a refund liability for the products expected to be returned. Meanwhile, an asset isrecognised in the amount of carrying amount of the product expected to be returned less any expected costs to recover those products(including potential decreases in the value of returned products), and carry forward to cost in the amount of carrying amount of thetransferred products less the above costs. At the end of each reporting period, the Group updates its assessment of future sales return.If there is any change, it is accounted for as a change in accounting estimate.The Group determines whether the licence transfers to a customer either at a point in time or over time. If all of the following criteriaare met, revenue is recognised for performance obligations satisfied over time. Otherwise, revenue is recognised for performanceobligations satisfied at a point in time.
- the contract requires, or the customer reasonably expects, that the Group will undertake activities that significantly affect theintellectual property to which the customer has rights;- the rights granted by the licence directly expose the customer to any positive or negative effects of the Group’s activities; and- those activities do not result in the transfer of a good or a service to the customer as those activities occur.
The Group recognises revenue for a sales-based or usage-based royalty promised in exchange for a licence of intellectual property onlywhen (or as) the later of the following events occurs:
- the subsequent sale or usage occurs; and- the performance obligation has been satisfied (or partially satisfied).
For a change in the scope or price of a contract that is approved by the parties to the contract, the Group accounts for the contractmodification according to the following situations:
- The addition of promised goods or services are distinct and the price of the contract increases by an amount of considerationreflects stand-alone selling prices of the additional promised goods or services, the Group shall account for a contract modification asa separate contract.
- If the above criteria are not met, and the remaining goods or services are distinct from the goods or services transferred on thedate of the contract modification, the Group accounts for the contract modification as if it were a termination of the existing contractand the creation of a new contract.
- If the above criteria are not met, and the remaining goods or services are not distinct from the goods or services transferred on
the date of the contract modification, the Group accounts for the contract modification as if it were a part of the existing contract. Theeffect that the contract modification has on the revenue is recognised as an adjustment to revenue in the reporting period.
A contract asset is the Group’s right to consideration in exchange for goods or services that it has transferred to a customer when thatright is conditional on something other than the passage of time. The Group recognises loss allowances for expected credit loss oncontract assets (See V Significant Accounting Policies and Estimates-10. Financial Instruments for details). Accounts receivable is theGroup’s right to consideration that is unconditional (only the passage of time is required). A contract liability is the Group’s obligationto transfer goods or services to a customer for which the Group has received consideration (or an amount of consideration is due) fromthe customer.The following is the description of accounting policies regarding revenue from the Group’s principal activities:
(1) Sale of goods
The sales contracts/orders signed between the Group and its customers usually contain various trading terms. Depending on the tradingterms, customers obtain control of the goods when the goods are delivered and received, or when they are received by the carrier.Revenue of sale of goods is recognised at that point in time.
For the transfer of goods with a right of return, revenue is recognised to the extent that it is highly probable that a significant reversalin the amount of cumulative revenue recognised will not occur. Therefore, the amount of revenue recognised is adjusted for the amountexpected to be returned, which are estimated based on the historical data. The Group recognises a refund liability based on the amountexpected to be returned. An asset is initially measured by reference to the former carrying amount of the product expected to be returnedless any expected costs to recover those products (including potential decreases in the value to the Group of returned products). Ateach balance sheet date, the Group updates the measurement of the refund liability for changes in expectations about the amount offunds. The above asset and liability are adjusted accordingly.
(2) Rendering of services
The Group recognises the revenue from rendering of services within a certain period of time according to the progress of theperformance as the customer simultaneously receives and consumes the benefits provided by the Group’s performance as the Groupperforms. Otherwise, for performance obligation satisfied at a point in time, the Group recognises revenue at the point in time at whichthe customer obtains control of relevant services.
Note: accounting policies used in revenue recognition and measurement, and judgments and changes in judgments that materially affectthe determination of the point and amount of revenue recognition include the method for determining the performance progress andthe reasons for adopting the method, the judgment relating to the point at which the customer acquires control of the transferredcommodity, the methods for determining the transaction price, estimating the variable consideration included in the transaction price,apportioning transaction price, and measuring similar obligations such as the funds expected to be returned to the customer.Differences in accounting policies for the recognition of revenue caused by different business models for the same type of businessNaughtNote: if there are differences in revenue recognition accounting policies for similar businesses due to different business models, theyshall be disclosed separately.
40. Government grants
Government grants are non-reciprocal transfers of monetary or non-monetary assets from the government to the Group except forcapital contributions from the government in the capacity as an investor in the Group.A government grant is recognised when there is reasonable assurance that the grant will be received and that the Group will complywith the conditions attaching to the grant.If a government grant is in the form of a transfer of a monetary asset, it is measured at the amount received or receivable. If a governmentgrant is in the form of a transfer of a non-monetary asset, it is measured at fair value.Government grants related to assets are grants whose primary condition is that the Group qualifying for them should purchase, constructor otherwise acquire long-term assets. Government grants related to income are grants other than those related to assets.Those related to daily activities of the Company are included in other income or used to write off related cost based on the nature ofeconomic businesses, or included in non-operating income and expense in respect of those not related to daily activities of the Company.With respect to the government grants related to assets, if the Group first obtains government grants related to assets and then recognizesthe long-term assets purchased and constructed, deferred income is included in profit and loss based on a reasonable and systematicapproach by stages when related assets are initially depreciated or amortized; or the deferred income is written off against the carryingamount of the asset when the asset becomes ready for its intended status or intended use. If the Group obtains government grants relatedto the assets after relevant long-term assets are put into use, deferred income is included in profit and loss based on a reasonable andsystematic approach by stages within the remaining useful life of relevant assets, or the deferred income is written off against thecarrying amount of relevant asset when the grants are obtained; the assets shall be depreciated or amortized based on the carryingamount after being offset and the remaining useful life of relevant assets.For the government grants related to income which are used to compensate for related costs or losses of the Group in the future period,it shall be recognized as deferred income, and included in profit and loss or used to offset related costs; otherwise it shall be directlyincluded in profit and loss or used to offset related costs.In respect of the policy-based preferential loan interest subsidy obtained by the Group, if the interest subsidy is appropriated to thelending bank which shall provide loans to the Group at the policy-based preferential interest rate, the actual loan amount is used as theentry value and relevant borrowing costs are calculated on the basis of the loan principal and the preferential interest rate. If the interestsubsidy is directly appropriated to the Group, relevant borrowing costs shall be offset by corresponding interest subsidy. If borrowingcosts are capitalized as part of the cost of the asset (see Note V. Significant Accounting Policies and Estimates-26. Borrowing Costs),the interest subsidy shall be used to offset relevant asset costs.
Note: Specific criteria for asset-related government subsidies and income-related government subsidies shall be distinguished. If thegovernment document does not specify the subsidy object, the judgment basis for determining the government subsidy is asset-relatedor income-related shall be described. Whether government subsidies adopt the gross method or the net method shall be disclosed. Ifthe gross method is adopted, the amortization method of deferred income related to government subsidies and the recognition methodof the amortization period shall also be disclosed. The time when government subsidies are confirmed shall be disclosed.
41. Deferred Income Tax Assets/Deferred Income Tax Liabilities
(1) Recognition basis of deferred income tax assets
The Group uses the balance sheet liability method to calculate its income tax, which is recognized in accordance with a differencebetween the carrying amount of an asset or liability and its tax base (temporary difference). For any deductible loss that can be carriedforward to the next year to deduct the income tax according to the stipulations of tax law, relevant deferred income tax assets shall berecognized. The deferred income tax asset shall be determined to the extent that the amount of taxable income to be offset by the
deductible loss or tax deduction to be likely obtained. For the deductible temporary difference relating to the investments of thesubsidiary companies, associated enterprises and joint enterprises, the enterprise shall recognize the corresponding deferred incometax assets for those that meet the following requirements: the temporary differences are likely to be reversed in the expected future;and it is likely to acquire any amount of taxable income that may be used for deducting the deductible temporary differences.
(2) Recognition basis of deferred income tax liabilities
The Group uses the balance sheet liability method to calculate its income tax, which is recognized in accordance with a differencebetween the carrying amount of an asset or liability and its tax base (temporary difference). As for the temporary difference from theinitial recognition of goodwill, no deferred income tax liabilities shall be recognized. The taxable temporary differences relating to theinvestments of subsidiary companies, associated enterprises and joint enterprises shall recognized as corresponding deferred incometax liabilities, however, excluding those that simultaneously satisfy the following conditions: the investing enterprise can control thetime of the reverse of temporary differences; and the temporary differences are unlikely to reverse in the excepted future.
42. Lease
(1) Accounting Treatment of Operating Lease
1. Lessee
New leases standard has revised CAS No.21 – Leases issued by the MOF in 2006 ("previous leases standard"). Under new leasesstandard, the Group no longer distinguishes between operating leases and finance leases. The Group recognises right-of-use assets andlease liabilities for all leases (except for short-term leases and leases of low-value assets which are accounted for using practicalexpedient). The specific accounting treatments are as follows:
The Group recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initiallymeasured at cost, which comprises the initial amount of the lease liability, any lease payments made at or before the commencementdate (less any lease incentives received), any initial direct costs incurred and an estimate of costs to dismantle and remove the underlyingasset or to restore the site on which it is located or restore the underlying asset to the condition required by the terms and conditions ofthe lease.The right-of-use asset is depreciated using the straight-line method. If the lessee is reasonably certain to exercise a purchase option bythe end of the lease term, the right-of-use asset is depreciated over the remaining useful lives of the underlying asset. Otherwise, theright-of-use asset is depreciated from the commencement date to the earlier of the end of the useful life of the right-of-use asset or theend of the lease term. Impairment losses of right-of-use assets are accounted for in accordance with the accounting policy described in
31. Long-term asset impairment under V. Significant Accounting Policies and Accounting Estimates.The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discountedusing the interest rate implicit in the lease or, if that rate cannot be readily determined, the Group’s incremental borrowing rate.A constant periodic rate is used to calculate the interest on the lease liability in each period during the lease term with a correspondingcharge to profit or loss or included in the cost of assets where appropriate. Variable lease payments not included in the measurementof the lease liability are charged to profit or loss or included in the cost of assets where appropriate as incurred.Under the following circumstances after the commencement date, the Group remeasures lease liabilities based on the present value ofrevised lease payments:
- there is a change in the amounts expected to be payable under a residual value guarantee;- there is a change in future lease payments resulting from a change in an index or a rate used to determine those payments;- there is a change in the assessment of whether the Group will exercise a purchase, extension or termination option, or there is a changein the exercise of the extension or termination option.When the lease liability is remeasured, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or isrecorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.The Group has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 monthsor less and leases of low-value assets. The Group recognises the lease payments associated with these leases in profit or loss or as thecost of the assets where appropriate using the straight-line method or other systematic basis over the lease term.
2. Lessor
The Group determines at lease inception whether each lease is a finance lease or an operating lease. A lease is classified as a financelease if it transfers substantially all the risks and rewards incidental to ownership of an underlying asset irrespective of whether thelegal title to the asset is eventually transferred. An operating lease is a lease other than a finance lease.When the Group is a sub-lessor, it assesses the lease classification of a sub-lease with reference to the right-of-use asset arising fromthe head lease, not with reference to the underlying asset. If a head lease is a short-term lease to which the Group applies practicalexpedient described above, then it classifies the sub-lease as an operating lease.Lease receipts from operating leases are recognised as income using the straight-line method or other systematic basis over the leaseterm. The initial direct costs incurred in respect of the operating lease are initially capitalised and subsequently amortised in profit orloss over the lease term on the same basis as the lease income. Variable lease payments not included in lease receipts are recognisedas income as they are earned.
(2) Accounting Treatments of Financial Lease
1. Lessee
New leases standard has revised CAS No.21 – Leases issued by the MOF in 2006 ("previous leases standard"). Under new leasesstandard, the Group no longer distinguishes between operating leases and finance leases. The Group recognises right-of-use assets andlease liabilities for all leases (except for short-term leases and leases of low-value assets which are accounted for using practicalexpedient). The specific accounting treatments are the same as those in 42. Lease (1) Accounting treatment of operating leases 1. Lesseeunder V. Significant Accounting Policies and Accounting Estimates.
2. Lessor
The Group determines at lease inception whether each lease is a finance lease or an operating lease. A lease is classified as a financelease if it transfers substantially all the risks and rewards incidental to ownership of an underlying asset irrespective of whether thelegal title to the asset is eventually transferred. An operating lease is a lease other than a finance lease.
Under a finance lease, at the commencement date, the Group recognises the finance lease receivable and derecognises the finance leaseasset. The finance lease receivable is initially measured at an amount equal to the net investment in the lease. The net investment in thelease is measured at the aggregate of the unguaranteed residual value and the present value of the lease receivable that are not receivedat the commencement date, discounted using the interest rate implicit in the lease.The Group calculates and recognises interest income for each period of the lease term based on a fixed periodic interest rate. Thederecognition and impairment of the finance lease receivable are recognised in accordance with the accounting policy described in 10.Financial instruments under V. Significant Accounting Policies and Accounting Estimates. Variable lease payments not included inthe measurement of net investment in the lease are recognised as income as they are earned
43. Other Significant Accounting Policies and Estimates
(1) Related parties
If a party has the power to control, jointly control or exercise significant influence over another party, or vice versa, or where two ormore parties are subject to common control or joint control from another party, they are considered to be related parties. Related partiesmay be individuals or enterprises. Enterprises with which the Company is under common control only from the State and that have noother related party relationships are not regarded as related parties.In addition to the related parties stated above, the Company determines related parties based on the disclosure requirements ofAdministrative Procedures on the Information Disclosures of Listed Companies issued by the CSRC.
(2) Segment reporting
Reportable segments are identified based on operating segments which are determined based on the structure of the Group’s internalorganisation, management requirements and internal reporting system after taking the materiality principle into account. Two or moreoperating segments may be aggregated into a single operating segment if the segments have the similar economic characteristics andare same or similar in respect of the nature of each segment’s products and services, the nature of production processes, the types orclasses of customers for the products and services, the methods used to distribute the products or provide the services, and the natureof the regulatory environment.Inter-segment revenues are measured on the basis of the actual transaction prices for such transactions for segment reporting. Segmentaccounting policies are consistent with those for the consolidated financial statements.
(3) Profit distributions
Dividends or profit distributions proposed in the profit appropriation plan, which will be approved after the balance sheet date, are notrecognised as a liability at the balance sheet date, but are disclosed in the notes separately.
(4) Fair value measurement
Unless otherwise specified, the Group measures fair value as follows:
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between marketparticipants at the measurement date.When measuring fair value, the Group takes into account the characteristics of the particular asset or liability (including the conditionand location of the asset and restrictions, if any, on the sale or use of the asset) that market participants would consider when pricingthe asset or liability at the measurement date, and uses valuation techniques that are appropriate in the circumstances and for whichsufficient data and other information are available to measure fair value. Valuation techniques mainly include the market approach, theincome approach and the cost approach.
(5) Goodwill
The initial cost of goodwill represents the excess of cost of acquisition over the acquirer's interest in the fair value of the identifiablenet assets of the acquiree under a business combination not involving entities under common control.
Goodwill is not amortised and is stated in the balance sheet at cost less accumulated impairment losses (see 31. Long-term assetimpairment under V. Significant Accounting Policies and Accounting Estimates). On disposal of an asset group or a set of asset groups,any attributable goodwill is written off and included in the calculation of the profit or loss on disposal.
(6) Hedge accounting
Hedge accounting is a method which recognises in profit or loss (or other comprehensive income) the gain or loss on the hedginginstrument and the hedged item in the same accounting period(s) to represent the effect of risk management.Hedged items are items that expose the Group to risks of changes in fair value or cash flows and that are designated as being hedgedand can be reliably measured. The Group's hedged items include a firm commitment that is settled with a fixed amount of foreigncurrency and that exposes the Group to foreign currency risk.A hedging instrument is a designated financial instrument whose changes in fair value or cash flows are expected to offset changes inthe fair value or cash flows of the hedged item. For a hedge of foreign currency risk, the foreign currency risk component of a non-derivative financial asset or non-derivative financial liability may also be designated as a hedging instrument provided that it is not aninvestment in an equity instrument for which an entity has elected to present changes in the fair value in other comprehensive income.A hedging instrument is a designated financial instrument whose changes in fair value or cash flows are expected to offset changes inthe fair value or cash flows of the hedged item. For a hedge of foreign currency risk, the foreign currency risk component of a non-derivative financial asset or non-derivative financial liability may also be designated as a hedging instrument provided that it is not aninvestment in an equity instrument for which an entity has elected to present changes in the fair value in other comprehensive income.The Group assesses at the inception of a hedging relationship, and on an ongoing basis, whether the hedging relationship meets thehedge effectiveness requirements. A hedging relationship is regarded as having met the hedge effectiveness requirements if all of thefollowing conditions are satisfied:
- There is an economic relationship between the hedged item and the hedging instrument.- The effect of credit risk does not dominate the value changes that result from the economic relationship.- The hedge ratio of the hedging relationship is the same as that resulting from the quantity of the hedged item that the entity actuallyhedges and the quantity of the hedging instrument that the entity actually uses to hedge that quantity of the hedged item.The Group discontinues applying hedge accounting in any of the following circumstances:
- The hedging relationship no longer meets the risk management objective on the basis of which it qualified for hedge accounting.- The hedging instrument expires or is sold, terminated or exercised.- There is no longer an economic relationship between the hedged item and the hedging instrument or the effect of credit risk starts todominate the value changes that result from that economic relationship.- The hedging relationship no longer meets other criteria for applying hedge accounting.Cash flow hedgesA cash flow hedge is a hedge of the exposure to variability in cash flows. The portion of the gain or loss on a hedging instrument thatis determined to be an effective hedge is recognised in other comprehensive income as a cash flow hedge reserve. The amount of thecash flow hedge reserve is adjusted to the lower of the following (in absolute amounts):
- the cumulative gain or loss on the hedging instrument from inception of the hedge;- the cumulative change in present value of the expected future cash flows on the hedged item from inception of the hedge.The change in the amount of the cash flow hedge reserve is recognised in other comprehensive income in each period.The portion of the gain or loss on the hedging instrument that is determined to be ineffectiveness is recognised in profit or loss.If a hedged forecast transaction subsequently results in the recognition of a non-financial asset or non-financial liability, or a hedgedforecast transaction for a non-financial asset or non-financial liability becomes a firm commitment for which fair value hedgeaccounting is applied, the Group removes that amount from the cash flow hedge reserve and includes it in the initial cost or othercarrying amount of the asset or liability.For cash flow hedges other than those covered above, that amount is reclassified from the cash flow hedge reserve to profit or loss asa reclassification adjustment in the same period or periods during which the hedged expected future cash flows affect profit or loss.
When the Group discontinues hedge accounting for a cash flow hedge, the amount of the accumulated cash flow hedge reserverecognised in other comprehensive income is accounted for as follows:
- If the hedged future cash flows are still expected to occur, that amount will remain in the cash flow hedge reserve, and be accountedfor in accordance with the above policy.- If the hedged future cash flows are no longer expected to occur, that amount is immediately reclassified from the cash flow hedgereserve to profit or loss as a reclassification adjustment.
44. Changes in Significant Accounting Policies and Estimates
(1) Changes in Significant Accounting Policies
? Applicable □ Not applicable
| Contents of changes in accounting policies and reasons thereof | Approval procedures | Note |
| The Ministry of Finance issued the Accounting Standards for Business Enterprises Interpretation No. 15 on 30 December 2021. The Company conducted following accounting treatment as required by the Standards: (1) Accounting treatment for sales of products or by-products by enterprises generated from fixed assets before reaching the intended state of availability or from the period of R&D; (2) Presentation of centralized capital management; (3) Judgment on onerous contracts. | Reviewed and approved by the Board of Directors and the Executive Committee | No significant influence on the financial status and operating results of the Company |
Naught
(2) Changes in Accounting Estimates
□Applicable ? Not applicable
45. Others
Naught
VI. Taxation
1. Main Taxes and Tax Rate
| Category of taxes | Tax basis | Tax rate |
| VAT | Output VAT is calculated on the income from product sales, provision of taxable labor services and provision of taxable services, based on tax laws. The remaining balance of output VAT, after subtracting the deductible input VAT of the period, is VAT payable. | 6%, 9%, 13% |
| Consumption tax | Naught | Naught |
| Urban maintenance and construction tax | Based on VAT paid, VAT exemption and offset for the period | 7%, 5% |
| Enterprise income tax | Based on taxable income | 15%-30% |
| Education surcharge and local education surcharge | Based on VAT paid, VAT exemption and offset for the period | 3%, 2% |
Notes of the disclosure situation of the taxpaying bodies with different enterprises income tax rate
| Name | Income tax rate |
| BOE Technology Group Co., Ltd. | 15% |
| Beijing BOE Optoelectronics Technology Co., Ltd. | 15% |
| Chengdu BOE Optoelectronics Technology Co., Ltd. | 15% |
| Hefei BOE Optoelectronics Technology Co., Ltd. | 15% |
| Beijing BOE Display Technology Co., Ltd. | 15% |
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | 15% |
| Erdos Yuansheng Optoelectronics Co., Ltd. | 15% |
| Chongqing BOE Optoelectronics Technology Co., Ltd. | 15% |
| Hefei BOE Display Technology Co., Ltd. | 15% |
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | 15% |
| Mianyang BOE Optoelectronics Technology Co., Ltd. | 15% |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | 15% |
| Nanjing BOE Display Technology Co., Ltd. | 15% |
| Chengdu CEC Panda Display Technology Co., Ltd. | 15% |
| BOE Optical Science and Technology Co., Ltd. | 15% |
| Beijing BOE Tea Valley Electronic Co., Ltd. | 15% |
| Hefei BOE Display Light Source Co., Ltd. | 15% |
| Chongqing BOE Display Lighting Co., Ltd. | 15% |
| BOE (Hebei) Mobile Display Technology Co., Ltd. | 15% |
| Chongqing BOE Intelligent Electronic System Co., Ltd. | 15% |
| Suzhou K-Tronics Co., Ltd. | 15% |
| Beijing BOE Vacuum Electronics Co., Ltd. | 15% |
| Beijing BOE Vacuum Technology Co., Ltd. | 15% |
| BOE Smart IoT Technology Co., Ltd. | 15% |
| Beijing Zhongxiangying Technology Co., Ltd. | 15% |
| BOE Regenerative Medical Technologies Co. Ltd. | 15% |
| Beijing BOE Health Technology Co., Ltd. | 15% |
| Beijing BOE Energy Technology Co., Ltd. | 15% |
| Yunnan Chuangshijie Optoelectronics Technology Co., Ltd. | 15% |
| Chongqing BOE Electronic Technology Co., Ltd. | 15% |
| Beijing BOE Sensor Technology Co., Ltd. | 15% |
2. Tax Preference
| Company | Policy basis | Authority of Approval, Approval Document No. and Valid Period |
| Hefei BOE Display Technology Co., Ltd. Fuzhou BOE Optoelectronics Technology Co., Ltd. Chengdu BOE Optoelectronics Technology Co., Ltd. Mianyang BOE Optoelectronics Technology Co., Ltd. | In June 2016, Ministry of Finance, General Administration of Customs and SAT jointly issued [2016] No.30 Document. According to the document, in terms of the new FPD project and new key equipment imported between 1 January 2015 and 31 December 2018. Import VAT could be paid by installments within 6 years (72 consecutive months) after the first device was imported. | In 2016, Ministry of Finance, General Administration of Customs and SAT jointly issued CS [2016] No.30 Notice on various Policies related to VAT Payment by Installments for the Imported Equipment Involved in the New FPD Project. According to the document, in terms of the new FPD project and new key equipment imported between 1 January 2015 and 31 December 2018. Import VAT could be paid by installments within 6 years (72 consecutive months) after the first device was imported. |
| Mianyang BOE Optoelectronics Technology Co., Ltd. Chongqing BOE Display Technology Co., Ltd. | In December 2019, the Ministry of Finance, General Administration of Customs and SAT jointly issued Document [2019] No. 47, which approved the import of key new equipment for the Active-matrix Organic Light Emitting Diode (AMOLED) display device project between 1 January 2019 and 31 December 2020, with import value-added tax allowed to be paid in phases over a period of six years (72 consecutive months) | In 2019, the Ministry of Finance, the GACC and the State Taxation Administration jointly issued the C.G.SH. [2019] No. 47 Notice on the Phased VAT Payment Policy for Imported Equipment of Active-matrix Organic Light Emitting Diode Display Device Project, which approved the import of key new device for Active-matrix Organic Light Emitting Diode (AMOLED) display device project between 1 January 2019 and |
| after the import of the first equipment. | 31 December 2020, with import value-added tax allowed to be paid in phases over a period of six years (72 consecutive months) after the import of the first device. |
3. Others
Naught
VII. Notes on Major Items in Consolidated Financial Statements of the Company
1. Cash at Bank and on Hand
Unit: RMB
| Item | Ending balance | Beginning balance |
| Cash on hand | 415,779.00 | 451,975.00 |
| Bank deposits | 79,996,367,571.00 | 76,760,433,855.00 |
| Other monetary assets | 4,792,134,778.00 | 4,225,949,258.00 |
| Total | 84,788,918,128.00 | 80,986,835,088.00 |
| Of which: the total amount deposited overseas | 6,597,965,680.00 | 7,197,634,319.00 |
| Total amount of restriction in use by guaranteed, pledged or frozen | 4,740,547,715.00 | 4,152,705,165.00 |
Other notes:
As at 30 June 2022, other monetary funds were pledged by the Group amounting to RMB24,000,000 for short-term loans, andUSD1,493,532 and RMB38,760,000 were pledged for long-term loans. The rest of other restricted monetary funds, amounting toRMB4,667,764,026, were the deposits in commercial banks as security.
2. Trading Financial Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Financial assets at fair value through profit or loss | 16,710,312,524.00 | 10,028,172,853.00 |
| Of which: | ||
| Wealth management products | 16,710,312,524.00 | 10,028,172,853.00 |
| Financial assets designated to be measured at fair value and changes thereof recorded into the current profit or loss | 0.00 | 0.00 |
| Of which: | ||
| Total | 16,710,312,524.00 | 10,028,172,853.00 |
Other notes:
N/A
3. Notes Receivable
(1) Notes Receivable Listed by Category
Unit: RMB
| Item | Ending balance | Beginning balance |
| Bank acceptance bill | 273,938,741.00 | 217,734,298.00 |
| Commercial acceptance bill | 0.00 | 0.00 |
| Total | 273,938,741.00 | 217,734,298.00 |
Unit: RMB
| Category | Ending balance | Beginning balance | ||||||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |||||
| Amount | Percentage | Amount | Withdrawal proportion | Amount | Percentage | Amount | Withdrawal proportion | |||
| Notes receivable for which bad debt provision accrued separately | N/A | |||||||||
| Of which: | ||||||||||
| Notes receivable for which bad debt provision accrued by group | N/A | |||||||||
| Of which: | ||||||||||
If the bad debt provision for notes receivable was withdrawn in accordance with the general model of expected credit losses, informationrelated to bad debt provision shall be disclosed by reference to the disclosure method of other receivables:
□Applicable ? Not applicable
(2) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
Information of withdrawal of bad debt provision:
Unit: RMB
| Category | Beginning balance | Changes in the Reporting Period | Ending balance | |||
| Withdrawal | Reversal or recovery | Write-off | Others | |||
| N/A | ||||||
Of which bad debt provision reversed or recovered with significant amount:
□Applicable ? Not applicable
(3) Notes Receivable Pledged by the Company at the Period-end
Unit: RMB
| Item | Amount |
| Bank acceptance bill | 0.00 |
| Commercial acceptance bill | 0.00 |
| Total | 0.00 |
(4) Notes Receivable which Had Endorsed by the Company or Had Discounted and Had not Due on theBalance Sheet Date at the Period-end
Unit: RMB
| Item | Amount of recognition termination at the period-end | Amount of not terminated recognition at the period-end |
| Bank acceptance bill | 158,416,913.00 | 110,215,838.00 |
| Commercial acceptance bill | 0.00 | 0.00 |
| Total | 158,416,913.00 | 110,215,838.00 |
(5) Notes Transferred to Accounts Receivable Because Drawer of the Notes Failed to Execute the Contract orAgreement
Unit: RMB
| Item | Amount of the notes transferred to accounts receivable at the period-end |
| Commercial acceptance bill | 0.00 |
Other notes: N/A
(6) Notes Receivable with Actual Verification for the Reporting Period
Unit: RMB
| Item | Amount verified |
| N/A |
Of which, verification of significant notes receivable:
Unit: RMB
| Subsidiary | Nature | Amount verified | Reason for verification | Verification procedures performed | Whether generated from connected transactions |
| N/A |
Notes of the verification of notes receivable: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
4. Accounts Receivable
(1) Accounts Receivable Disclosed by Category
Unit: RMB
| Category | Ending balance | Beginning balance | ||||||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |||||
| Amount | Percentage | Amount | Withdrawal proportion | Amount | Percentage | Amount | Withdrawal proportion | |||
| Accounts receivable for which bad debt provision accrued separately | 1,688,810,640.00 | 6.54% | 56,562,165.00 | 3.35% | 1,632,248,475.00 | 1,275,228,505.00 | 3.58% | 46,406,137.00 | 3.64% | 1,228,822,368.00 |
| Of which: | ||||||||||
| Accounts receivable for which bad debt provision accrued by group | 24,117,373,340.00 | 93.46% | 38,532,258.00 | 0.16% | 24,078,841,082.00 | 34,309,953,455.00 | 96.42% | 35,361,003.00 | 0.10% | 34,274,592,452.00 |
| Of which: | ||||||||||
| Total | 25,806,183,980.00 | 100.00% | 95,094,423.00 | 0.37% | 25,711,089,557.00 | 35,585,181,960.00 | 100.00% | 81,767,140.00 | 0.23% | 35,503,414,820.00 |
Bad debt provision withdrawn separately:
Unit: RMB
| Name | Ending balance | |||
| Book value | Provision for impairment | Withdrawal proportion | Reason for withdrawal | |
| Customers with high credit risks | 57,099,934.00 | 56,562,165.00 | 99.06% | N/A |
| Customers with low credit risks | 1,631,710,706.00 | 0.00 | 0.00% | N/A |
| Total | 1,688,810,640.00 | 56,562,165.00 | ||
Bad debt provision accrued by group:
Unit: RMB
| Name | Ending balance | ||
| Book value | Provision for impairment | Withdrawal proportion | |
| Customers with moderate credit risks | 24,117,373,340.00 | 38,532,258.00 | 0.16% |
| Total | 24,117,373,340.00 | 38,532,258.00 | |
Notes of the basis of recognizing the group:
| Customer group | Basis |
| Customers with high credit risks | With special matters, litigations or the deterioration of customers’ credit status |
| Customers with low credit risks | Banks, insurance companies, large state-owned enterprises and public institutions |
| Customers with moderate credit risks | Customers not included in Groups above |
Please refer to the relevant information of disclosure of bad debt provision of other accounts receivable if adopting the general mode of expected credit loss to withdraw bad debt provision ofnotes receivable:
? Applicable □ Not applicableAt all times the Group measures the impairment loss for accounts receivable at an amount equal to lifetime ECLs, and the ECLs are based on the number of overdue days and the expected lossrate. According to the Group’s historical experience, different loss models are applicable to different customer groups.
Disclosed by aging
Unit: RMB
| Ageing | Ending balance |
| Within 1 year (including 1 year） | 25,218,317,530.00 |
| 1 to 2 years | 220,369,661.00 |
| 2 to 3 years | 133,747,854.00 |
| Over 3 years | 233,748,935.00 |
| 3 to 4 years | 147,532,211.00 |
| 4 to 5 years | 70,897,365.00 |
| Over 5 years | 15,319,359.00 |
| Total | 25,806,183,980.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
(2) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting PeriodInformation of withdrawal of bad debt provision:
Unit: RMB
| Category | Beginning balance | Changes in the Reporting Period | Ending balance | |||
| Withdrawal | Reversal or recovery | Write-off | Others | |||
| Bad debt of accounts receivable | 81,767,140.00 | 40,495,569.00 | -20,528,284.00 | -7,648,566.00 | 1,008,564.00 | 95,094,423.00 |
| Total | 81,767,140.00 | 40,495,569.00 | -20,528,284.00 | -7,648,566.00 | 1,008,564.00 | 95,094,423.00 |
Of which bad debt provision reversed or recovered with significant amount:
Unit: RMB
| Subsidiary | Amount reversed or recovered | Way of recovery |
| N/A |
(3) Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
| Item | Amount verified |
| Accounts receivable with actual verification | 7,648,566.00 |
Of which the verification of significant accounts receivable:
Unit: RMB
| Subsidiary | Nature | Amount verified | Reason for verification | Verification procedures performed | Whether generated from connected transactions |
| N/A |
Notes:
None
(4) Top 5 Accounts Receivable in Ending Balance Collected according to the Arrears Party
Unit: RMB
| Subsidiary | Ending balance of accounts receivable | Proportion to the total ending balance of accounts receivable | Ending balance of bad debt provisions |
| Sum of top 5 accounts receivable | 10,338,714,662.00 | 40.06% | 0.00 |
| Total | 10,338,714,662.00 | 40.06% |
(5) Accounts Receivable Derecognized Due to the Transfer of Financial Assets
N/A
(6) The Amount of the Assets and Liabilities Formed by the Transfer and the Continued Involvement ofAccounts Receivable
N/A
Other notes: N/A
5. Prepayments
(1) List by Aging Analysis
Unit: RMB
| Ageing | Ending balance | Beginning balance | ||
| Amount | Percentage | Amount | Percentage | |
| Within 1 year | 847,054,972.00 | 96.96% | 1,088,149,020.00 | 97.78% |
| 1 to 2 years | 21,846,800.00 | 2.50% | 9,828,654.00 | 0.88% |
| 2 to 3 years | 2,144,978.00 | 0.25% | 2,531,759.00 | 0.23% |
| Over 3 years | 2,565,968.00 | 0.29% | 12,370,574.00 | 1.11% |
| Total | 873,612,718.00 | 1,112,880,007.00 | ||
Notes of the reasons of the prepayment aging over 1 year with significant amount but failed settled in time:
N/A
(2) Top 5 of the Ending Balance of the Prepayments Collected according to the Prepayment Target
The total amount of the prepayment of the top 5 of the Group at the period-end was of RMB539,042,675.00 that covered 61.70% ofthe total amount of the ending balance of the prepayment at the period-end.Other notes:
N/A
6. Other Accounts Receivable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Interest receivable | 172,230.00 | 0.00 |
| Dividends receivable | 9,826,050.00 | 2,414,503.00 |
| Other receivables | 1,251,522,113.00 | 1,920,413,875.00 |
| Total | 1,261,520,393.00 | 1,922,828,378.00 |
(1) Interest Receivable
1) Category of Interest Receivable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Fixed time deposit | 172,230.00 | 0.00 |
| Entrusted loan | 0.00 | 0.00 |
| Bond investment | 0.00 | 0.00 |
| Total | 172,230.00 | 0.00 |
2) Significant Overdue Interest
Unit: RMB
| Borrower | Ending balance | Overdue time | Reason | Whether occurred impairment and its judgment basis |
| N/A |
Other notes:
N/A
3) Withdrawal of Bad Debt Provision
□Applicable ? Not applicable
(2) Dividend Receivable
1) Category of Dividend Receivable
Unit: RMB
| Item(or investee) | Ending balance | Beginning balance |
| Bank of Chongqing | 9,826,050.00 | 0.00 |
| Illumina Fund I,L.P. | 0.00 | 2,414,503.00 |
| Total | 9,826,050.00 | 2,414,503.00 |
2) Significant Dividend Receivable Aging Over One Year
Unit: RMB
| Item(or investee) | Ending balance | Ageing | Unrecovered reason | Whether occurred impairment and its judgment basis |
| N/A |
3) Withdrawal of Bad Debt Provision
□Applicable ? Not applicable
Other notes:
N/A
(3) Other Accounts Receivable
1) Other Account Receivable Classified by Account Nature
Unit: RMB
| Nature of other receivables | Ending carrying balance | Beginning carrying balance |
| VAT refunds and export tax rebate | 14,088,288.00 | 253,311.00 |
| Amount due from equity transfer | 200,000,000.00 | 200,000,000.00 |
| Security deposits | 962,669,574.00 | 1,518,208,550.00 |
| Others | 83,836,117.00 | 210,995,830.00 |
| Total | 1,260,593,979.00 | 1,929,457,691.00 |
2) Withdrawal of Bad Debt Provision
Unit: RMB
| Provision for | Phase I | Phase II | Phase III | Total |
| impairment | Expected credit losses in the next 12 months | Expected credit losses for the whole existence period (no credit impairment) | Expected credit losses for the whole existence period (with credit impairment) | |
| Balance of 1 January 2022 | 0.00 | 0.00 | 9,043,816.00 | 9,043,816.00 |
| Balance of 1 January 2022 in the current period | ||||
| --Transferred to the Phase II | 0.00 | 0.00 | 0.00 | 0.00 |
| -Transfer to Third stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to Second stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to First stage | 0.00 | 0.00 | 0.00 | 0.00 |
| Withdrawal of the current period | 0.00 | 0.00 | 28,245.00 | 28,245.00 |
| Reversal of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Write-offs of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Verification of the current period | 0.00 | 0.00 | -195.00 | -195.00 |
| Other changes | 0.00 | 0.00 | 0.00 | 0.00 |
| Balance of 30 June 2022 | 0.00 | 0.00 | 9,071,866.00 | 9,071,866.00 |
Changes of carrying amount with significant amount changed of loss provision in the current period
□Applicable ? Not applicable
Disclosed by aging
Unit: RMB
| Ageing | Ending balance |
| Within 1 year (including 1 year） | 952,348,121.00 |
| 1 to 2 years | 43,427,881.00 |
| 2 to 3 years | 21,641,752.00 |
| Over 3 years | 243,176,225.00 |
| 3 to 4 years | 8,828,783.00 |
| 4 to 5 years | 9,206,870.00 |
| Over 5 years | 225,140,572.00 |
| Total | 1,260,593,979.00 |
3) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting PeriodInformation of withdrawal of bad debt provision:
Unit: RMB
| Category | Beginning balance | Changes in the Reporting Period | Ending balance | |||
| Withdrawal | Reversal or recovery | Write-off | Others | |||
| Bad debt provisions for other receivables | 9,043,816.00 | 28,245.00 | 0.00 | -195.00 | 0.00 | 9,071,866.00 |
| Total | 9,043,816.00 | 28,245.00 | 0.00 | -195.00 | 0.00 | 9,071,866.00 |
N/AOf which bad debt provision reversed or recovered with significant amount:
Unit: RMB
| Subsidiary | Amount reversed or recovered | Way of recovery |
| N/A |
N/A
4) Other Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
| Item | Amount verified |
| Customer 1 | 195.00 |
Of which the verification of significant other accounts receivable:
Unit: RMB
| Subsidiary | Nature | Amount verified | Reason for verification | Verification procedures performed | Whether generated from connected transactions |
| N/A |
Notes:
None
5) Top 5 Other Accounts Receivable in Ending Balance Collected according to the Arrears Party
Unit: RMB
| Subsidiary | Nature | Ending balance | Ageing | Proportion to the total ending balance of other receivables | Ending balance of bad debt provisions |
| Customer A | Security deposits | 469,772,832.00 | Within 1 year (including 1 year) | 37.27% | 0.00 |
| Customer B | Equity transfer accounts receivable | 200,000,000.00 | Over 5 year | 15.87% | 0.00 |
| Customer C | Security deposits | 151,006,500.00 | Within 1 year (including 1 year) | 11.98% | 0.00 |
| Customer D | Security deposits | 100,671,000.00 | Within 1 year (including 1 year) | 7.99% | 0.00 |
| Customer E | Security deposits | 20,649,975.00 | Within 1 year (including 1 year) | 1.64% | 0.00 |
| Total | 942,100,307.00 | 74.73% | 0.00 |
6) Accounts Receivable Involving Government Grants
Unit: RMB
| Subsidiary | Project of government grants | Ending balance | Ending aging | Estimated recovering time, amount and basis |
| N/A |
N/A
7) Other Accounts Receivable Derecognized Due to the Transfer of Financial AssetsN/A
8) Amount of Assets and Liabilities Due to the Transfer of Other Account Receivable and ContinuedInvolvementN/AOther notes:
N/A
7. Inventories
Whether the Company shall comply with the disclosure requirements for real estate industryNo
(1) Category of Inventories
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Falling price reserves or impairment provision for contract performance costs | Carrying amounts | Book value | Falling price reserves or impairment provision for contract performance costs | Carrying amounts | |
| Raw materials | 13,735,182,853.00 | 2,696,180,447.00 | 11,039,002,406.00 | 12,029,879,462.00 | 2,083,190,076.00 | 9,946,689,386.00 |
| Work in progress | 6,551,623,291.00 | 1,610,041,622.00 | 4,941,581,669.00 | 4,080,209,516.00 | 732,973,017.00 | 3,347,236,499.00 |
| Finished goods | 21,494,894,316.00 | 4,732,898,325.00 | 16,761,995,991.00 | 17,108,598,457.00 | 2,795,564,803.00 | 14,313,033,654.00 |
| Consumables | 153,048,398.00 | 0.00 | 153,048,398.00 | 130,472,966.00 | 0.00 | 130,472,966.00 |
| Consumptive living assets | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Costs to fulfil a contract with a customer | 123,165,749.00 | 0.00 | 123,165,749.00 | 67,728,931.00 | 0.00 | 67,728,931.00 |
| Goods in transit | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 42,057,914,607.00 | 9,039,120,394.00 | 33,018,794,213.00 | 33,416,889,332.00 | 5,611,727,896.00 | 27,805,161,436.00 |
(2) Falling Price Reserves of Inventories and Impairment Provision for Contract Performance Costs
Unit: RMB
| Item | Beginning balance | Increased amount | Decrease | Ending balance | ||
| Withdrawal | Others | Reverse or write-off | Others | |||
| Raw materials | 2,083,190,076.00 | 805,565,400.00 | 3,994,636.00 | 196,569,665.00 | 0.00 | 2,696,180,447.00 |
| Work in | 732,973,017.00 | 970,008,571.00 | 891,562.00 | 93,831,528.00 | 0.00 | 1,610,041,622.00 |
| progress | ||||||
| Finished goods | 2,795,564,803.00 | 3,824,559,337.00 | 883,763.00 | 1,888,109,578.00 | 0.00 | 4,732,898,325.00 |
| Consumables | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Consumptive living assets | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Costs to fulfil a contract with a customer | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 5,611,727,896.00 | 5,600,133,308.00 | 5,769,961.00 | 2,178,510,771.00 | 0.00 | 9,039,120,394.00 |
N/A
(3) Notes to the Ending Balance of Inventories Including Capitalized Borrowing Expense
N/A
(4) Amount of Contract Performance Costs Amortized in the Reporting PeriodN/A
8. Contract Assets
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |
| Contract assets | 88,068,862.00 | 0.00 | 88,068,862.00 | 75,698,324.00 | 0.00 | 75,698,324.00 |
| Total | 88,068,862.00 | 0.00 | 88,068,862.00 | 75,698,324.00 | 0.00 | 75,698,324.00 |
The amount of significant changes in the carrying value of contract assets and reason during the Reporting Period:
Unit: RMB
| Item | Amount changed | Reason |
| N/A |
Please refer to the relevant information of disclosure of bad debt provision of other contract assets if adopting the general mode ofexpected credit loss to withdraw bad debt provision of notes receivable.
□Applicable ? Not applicable
Additions, recoveries or reversals of provision for contract assets during the Reporting Period
Unit: RMB
| Item | Withdrawal of the current period | Reversal of the current period | Write-offs/Verification of the current period | Reason for change |
| N/A |
Other notes:
N/A
9. Current Portion of Non-current Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Current portion of investments in debt | 0.00 | 0.00 |
| obligations | ||
| Current portion of other investments in debt obligations | 0.00 | 0.00 |
| Current portion of long-term receivabels | 8,255,656.00 | 7,700,735.00 |
| Total | 8,255,656.00 | 7,700,735.00 |
Significant investments in debt obligations /other investments in debt obligations
Unit: RMB
| Item | Ending balance | Beginning balance | ||||||
| Par value | Coupon rate | Actual interest rate | Maturity date | Par value | Coupon rate | Actual interest rate | Maturity date | |
| N/A | ||||||||
Other notes:
N/A
10. Other Current Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Contract acquisition cost | 0.00 | 0.00 |
| Costs receivables for recovering products from a customer | 124,579,715.00 | 126,447,496.00 |
| VAT on tax credits | 2,075,288,104.00 | 2,643,490,711.00 |
| Input tax to be verified or deducted | 479,859,579.00 | 575,209,816.00 |
| Prepaid income taxes | 38,404,635.00 | 20,739,659.00 |
| Others | 248,300,634.00 | 213,032,028.00 |
| Total | 2,966,432,667.00 | 3,578,919,710.00 |
Other notes:
N/A
11. Long-term Receivables
(1) List of Long-term Receivables
Unit: RMB
| Item | Ending balance | Beginning balance | Interval of discount rate | ||||
| Carrying amount | Bad debt provision | Carrying value | Carrying amount | Bad debt provision | Carrying value | ||
| Finance lease payment | 27,146,189.00 | 0.00 | 27,146,189.00 | 29,918,542.00 | 0.00 | 29,918,542.00 | 4.65%-39.22% |
| Of which: unrealized financing income | -28,434,742.00 | 0.00 | -28,434,742.00 | -31,683,072.00 | 0.00 | -31,683,072.00 | 4.65%-39.22% |
| Sales of goods by installments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Rendering of services by installments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Total | 27,146,189.00 | 0.00 | 27,146,189.00 | 29,918,542.00 | 0.00 | 29,918,542.00 | |
Impairment of bad debt provision
Unit: RMB
| Bad debt provision | First stage | Second stage | Third stage | Total |
| Expected credit loss of the next 12 months | Expected loss in the duration (credit impairment not occurred) | Expected loss in the duration (credit impairment occurred) | ||
| Balance of 1 January 2022 | 0.00 | 0.00 | 0.00 | 0.00 |
| Balance of 1 January 2022 in the current period | ||||
| --Transferred to the Phase II | 0.00 | 0.00 | 0.00 | 0.00 |
| -Transfer to Third stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to Second stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to First stage | 0.00 | 0.00 | 0.00 | 0.00 |
| Withdrawal of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Reversal of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Write-offs of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Verification of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Other changes | 0.00 | 0.00 | 0.00 | 0.00 |
| Balance of 30 June 2022 | 0.00 | 0.00 | 0.00 | 0.00 |
Changes of carrying amount with significant amount changed of loss provision in the reporting period
□Applicable ? Not applicable
N/A
(2) Derecognition of Long-term Receivables due to the Transfer of Financial AssetsN/A
(3) The Amount of the Assets and Liabilities Formed due to the Transfer and the Continued Involvement ofLong-term ReceivablesN/AOther notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
12. Long-term Equity Investment
Unit: RMB
| Investee | Beginning balance (carrying value) | Increase/decrease | Ending balance (carrying value) | Ending balance for impairment provisions | |||||||
| Additional investments | Reduced investments | Profit and loss on investments confirmed according to equity law | Adjustment of other comprehensive income | Other equity movements | Declared distribution of cash dividends or profits | Impairment provisions | Others | ||||
| I. Joint ventures | |||||||||||
| N/A | |||||||||||
| II. Associated enterprises | |||||||||||
| Beijing Nissin Electronics Precision Component Co., Ltd. | 2,013,138.00 | 0.00 | 0.00 | 858,488.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,871,626.00 | 0.00 |
| Beijing Nittan Electronic Co., Ltd. | 77,596,241.00 | 0.00 | 0.00 | 475,086.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 78,071,327.00 | 0.00 |
| Beijing Infi-Hailin Venture Investment Co., Ltd. | 0.00 | 0.00 | 0.00 | 1,596,566.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,596,566.00 | 0.00 |
| Beijing Infi-Hailin Venture Investment (Limited Partnership) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Erdos BOE Energy Investment Co., Ltd. | 631,808,521.00 | 0.00 | 0.00 | -612,344.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 631,196,177.00 | 777,858,312.00 |
| TPV Display Technology (China) Co., Ltd. | 28,459,837.00 | 0.00 | 0.00 | 479,181.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 28,939,018.00 | 0.00 |
| Beijing Xindongneng Investment Fund (Limited Partnership) | 2,088,917,867.00 | 0.00 | 129,798,594.00 | 396,305,719.00 | -15,049,881.00 | 0.00 | 0.00 | 0.00 | -63,058,137.00 | 2,277,316,974.00 | 0.00 |
| Beijing Xindongneng Investment Management Co., Ltd. | 8,640,494.00 | 0.00 | 0.00 | 1,630,439.00 | 0.00 | 0.00 | -2,000,000.00 | 0.00 | 0.00 | 8,270,933.00 | 0.00 |
| Shenzhen Yunyinggu Technology Co., Ltd. | 41,093,186.00 | 0.00 | 0.00 | 1,974,946.00 | 93,053.00 | 369,308.00 | 0.00 | 0.00 | 0.00 | 43,530,493.00 | 0.00 |
| Beijing Xloong Technologies Co., Ltd. | 21,091,552.00 | 0.00 | 0.00 | -274,258.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 20,817,294.00 | 0.00 |
| New On Technology Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,070,042.00 |
| Cnoga Medical Ltd. | 8,058,251.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 8,199,181.00 | 140,930.00 | 0.00 | 266,848,672.00 |
| Hefei Xin Jing Yuan Electronic Materials Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Beijing Zhonglianhe Ultra HD Collaborative Technology Centre Co., Ltd. | 2,367,172.00 | 0.00 | 0.00 | 77,368.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,444,540.00 | 0.00 |
| Tianjin Xianzhilian Investment Management Centre (Limited Partnership) | 4,648,632.00 | 0.00 | 0.00 | 4,117,196.00 | 0.00 | 0.00 | -3,150,000.00 | 0.00 | 0.00 | 5,615,828.00 | 0.00 |
| Tianjin Xianzhilian Investment Centre (Limited Partnership) | 968,341,880.00 | 234,000,000.00 | 0.00 | 137,302,513.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,339,644,393.00 | 0.00 |
| Beijing Innovation Industry Investment Co., Ltd. | 207,564,573.00 | 0.00 | 0.00 | 11,035,537.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 218,600,110.00 | 0.00 |
| BEHC Industrial Investment Co., Ltd. | 231,777,557.00 | 0.00 | 0.00 | 1,835,865.00 | 4,743,127.00 | 0.00 | 0.00 | 0.00 | 0.00 | 238,356,549.00 | 0.00 |
| BOE Houji Technology (Beijing) Co., Ltd. | 927,761.00 | 0.00 | 0.00 | -217,274.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 710,487.00 | 0.00 |
| Biochain (Beijing) Science-Technology.Inc | 339,845,254.00 | 0.00 | 0.00 | -3,083,578.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 336,761,676.00 | 0.00 |
| Beijing BOE Microbial Technology Co., Ltd. | 20,042,936.00 | 0.00 | 0.00 | -6,918,983.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 13,123,953.00 | 0.00 |
| BOE Art Cloud Technology Co., Ltd. | 286,976,389.00 | 0.00 | 0.00 | 1,648,526.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 288,624,915.00 | 0.00 |
| Guoke BOE (Shanghai) Equity Investment Management Co., Ltd. | 1,183,512.00 | 0.00 | 0.00 | -856,752.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 326,760.00 | 0.00 |
| Beijing YanDong MicroElectronic Co., Ltd. | 1,009,985,276.00 | 0.00 | 0.00 | 39,852,089.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,049,837,365.00 | 0.00 |
| Chongqing BOE Smart Private Equity Investment Fund Partnership (Limited Partnership) | 59,608,288.00 | 0.00 | 0.00 | -245,998.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 59,362,290.00 | 0.00 |
| Sub-total | 6,040,948,317.00 | 234,000,000.00 | 129,798,594.00 | 586,980,332.00 | -10,213,701.00 | 369,308.00 | -5,150,000.00 | 8,199,181.00 | -62,917,207.00 | 6,646,019,274.00 | 1,046,777,026.00 |
| Total | 6,040,948,317.00 | 234,000,000.00 | 129,798,594.00 | 586,980,332.00 | -10,213,701.00 | 369,308.00 | -5,150,000.00 | 8,199,181.00 | -62,917,207.00 | 6,646,019,274.00 | 1,046,777,026.00 |
Other notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
13. Other Equity Instrument Investment
Unit: RMB
| Item | Ending balance | Beginning balance |
| Beijing Electronics Zone High-Tech Group Co., Ltd. | 57,188,727.00 | 56,638,836.00 |
| Zhejiang BOE Display Technology Co., Ltd. | 321,256.00 | 321,256.00 |
| Zhejiang Qiusheng Optoelectronics Technology Co., Ltd. | 248,776.00 | 248,776.00 |
| Beijing Digital TV National Engineering Laboratory Co., Ltd. | 6,250,000.00 | 6,250,000.00 |
| Qingdao Ultra HD Video Innovation Technology Co., Ltd. | 500,000.00 | 500,000.00 |
| Bank of Chongqing | 90,061,955.00 | 91,875,688.00 |
| New Century Medical Treatment | 16,319,469.00 | 19,810,485.00 |
| Beijing Horizon Robotics Technology Research and Development Co., Ltd. | 33,181,760.00 | 31,722,880.00 |
| Nanjing Xinjiayuan Technology Co., Ltd. | 1,487,050.00 | 1,482,425.00 |
| Danhua Capital, L.P. | 33,557,000.00 | 31,878,500.00 |
| Danhua Capital II, L.P. | 67,114,000.00 | 63,757,002.00 |
| Kateeva Inc. | 80,167,673.00 | 76,157,736.00 |
| ZGLUE INC. | 0.00 | 0.00 |
| Nanosys INC | 50,335,500.00 | 47,817,750.00 |
| Ceribell INC | 8,724,812.00 | 8,288,403.00 |
| Baebies INC | 29,487,791.00 | 28,012,830.00 |
| KA IMAGING INC. | 1,931,320.00 | 1,834,716.00 |
| MOOV INC. | 26,956,672.00 | 25,608,316.00 |
| Illumina Fund I,L.P. | 28,753,409.00 | 25,607,407.00 |
| ACQIS Technology, Inc. | 1,342,280.00 | 1,275,140.00 |
| Beijing Dongfang Electronic Industry Co. Ltd. | 0.00 | 0.00 |
| Beijing Jingguoguan Equity Investment Fund (Limited Partnership) | 16,298,630.00 | 0.00 |
| Total | 550,228,080.00 | 519,088,146.00 |
Disclosure of Non-trading Equity Instrument Investment
Unit: RMB
| Item | Dividend income recognized | Accumulative gains | Accumulative losses | Amount transferred from other comprehensive income to retained earnings | Reason for being designated at fair value through other comprehensive income | Reason for transferring from other comprehensive income to retained earnings |
| Beijing Electronics Zone High-Tech Group Co., Ltd. | 206,209.00 | 0.00 | 8,447,433.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Zhejiang BOE Display Technology Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | With intention of long-term holding for | N/A |
| strategic reasons | ||||||
| Zhejiang Qiusheng Optoelectronics Technology Co., Ltd. | 0.00 | 3,040,266.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Beijing Digital TV National Engineering Laboratory Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Qingdao Ultra HD Video Innovation Technology Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Bank of Chongqing | 9,563,780.00 | 29,273,560.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| New Century Medical Treatment | 0.00 | 0.00 | 123,619,079.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Beijing Horizon Robotics Technology Research and Development Co., Ltd. | 0.00 | 1,227,260.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Nanjing Xinjiayuan Technology Co., Ltd. | 0.00 | 0.00 | 512,950.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Danhua Capital, L.P. | 4,865,400.00 | 8,667,504.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Danhua Capital II, L.P. | 0.00 | 13,267,050.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Kateeva Inc. | 0.00 | 0.00 | 2,694,793.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| ZGLUE INC. | 0.00 | 0.00 | 10,405,488.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Nanosys INC | 0.00 | 0.00 | 13,500.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Ceribell INC | 0.00 | 62,529.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Baebies INC | 0.00 | 364,237.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| KA IMAGING INC. | 0.00 | 0.00 | 76,201.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| MOOV INC. | 0.00 | 0.00 | 906,167.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Illumina Fund I,L.P. | 0.00 | 5,839,017.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| ACQIS Technology, Inc. | 0.00 | 0.00 | 221,680.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
| Beijing Dongfang Electronic Industry Co. | 0.00 | 0.00 | 180,000.00 | 0.00 | With intention of long-term holding for | N/A |
| Ltd. | strategic reasons | |||||
| Beijing Jingguoguan Equity Investment Fund (Limited Partnership) | 0.00 | 0.00 | 0.00 | 0.00 | With intention of long-term holding for strategic reasons | N/A |
Other notes: N/A
14. Other Non-current Financial Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Equity investment | 606,895,447.00 | 606,895,447.00 |
| Total | 606,895,447.00 | 606,895,447.00 |
Other notes: N/A
15. Investment Property
(1) Investment Property Adopted the Cost Measurement Mode
? Applicable □ Not applicable
Unit: RMB
| Item | Houses and buildings | Land use rights | Construction in progress | Total |
| I. Original carrying value | ||||
| 1. Beginning balance | 1,022,831,969.00 | 687,434,677.00 | 0.00 | 1,710,266,646.00 |
| 2. Increased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Outsourcing | 0.00 | 0.00 | 0.00 | 0.00 |
| (2)Transfer from inventory/fixed assets/construction in progress | 0.00 | 0.00 | 0.00 | 0.00 |
| (3) Business combination increase | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 |
| (2) Other transfer | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Ending balance | 1,022,831,969.00 | 687,434,677.00 | 0.00 | 1,710,266,646.00 |
| II. Accumulative depreciation and accumulative amortization | ||||
| 1. Beginning balance | 383,883,440.00 | 168,017,805.00 | 0.00 | 551,901,245.00 |
| 2. Increased amount of the period | 14,010,060.00 | 6,811,350.00 | 0.00 | 20,821,410.00 |
| (1)Withdrawal or amortization | 14,010,060.00 | 6,811,350.00 | 0.00 | 20,821,410.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 |
| (2) Other transfer | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Ending balance | 397,893,500.00 | 174,829,155.00 | 0.00 | 572,722,655.00 |
| III. Depreciation reserves | ||||
| 1. Beginning balance | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Increased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Withdrawal | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 |
| (2) Other transfer | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Ending balance | 0.00 | 0.00 | 0.00 | 0.00 |
| IV. Carrying value | ||||
| 1. Ending carrying value | 624,938,469.00 | 512,605,522.00 | 0.00 | 1,137,543,991.00 |
| 1. Beginning carrying value | 638,948,529.00 | 519,416,872.00 | 0.00 | 1,158,365,401.00 |
(2) Investment Property Adopted the Fair Value Measurement Mode
□Applicable ? Not applicable
(3) Investment Property with Certificate of Title Uncompleted
Unit: RMB
| Item | Carrying amounts | Reason |
| N/A |
Other notes: N/A
16. Fixed Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Fixed assets | 214,032,994,330.00 | 227,141,366,885.00 |
| Disposal of fixed assets | 0.00 | 0.00 |
| Total | 214,032,994,330.00 | 227,141,366,885.00 |
(1) List of Fixed Assets
Unit: RMB
| Item | Plant & buildings | Equipment | Others | Total |
| I. Original carrying value | ||||
| 1. Beginning balance | 65,746,184,870.00 | 289,073,320,849.00 | 10,027,118,299.00 | 364,846,624,018.00 |
| 2. Increased amount of the period | 20,093,429.00 | 2,758,961,061.00 | 861,211,947.00 | 3,640,266,437.00 |
| (1) Purchase | 15,393,508.00 | 517,008,989.00 | 690,351,648.00 | 1,222,754,145.00 |
| (2)Transfer from construction in progress | 17,944,723.00 | 2,374,576,693.00 | 213,556,293.00 | 2,606,077,709.00 |
| (3) Business combination increase | 0.00 | 0.00 | 0.00 | 0.00 |
| (4) Offset of government grants | 0.00 | -62,696,794.00 | -11,753,413.00 | -74,450,207.00 |
| (5) Differences arising from translation of foreign currency-denominated financial statements | -13,244,802.00 | -69,927,827.00 | -30,942,581.00 | -114,115,210.00 |
| 3. Decreased amount of the period | 0.00 | 261,345,826.00 | 65,899,497.00 | 327,245,323.00 |
| (1) Disposal or scrap | 0.00 | 261,345,826.00 | 65,899,497.00 | 327,245,323.00 |
| 4. Ending balance | 65,766,278,299.00 | 291,570,936,084.00 | 10,822,430,749.00 | 368,159,645,132.00 |
| II. Accumulative depreciation | ||||
| 1. Beginning balance | 7,908,069,483.00 | 122,199,288,667.00 | 5,704,812,685.00 | 135,812,170,835.00 |
| 2. Increased amount of the period | 1,067,610,891.00 | 14,714,483,775.00 | 931,094,282.00 | 16,713,188,948.00 |
| (1) Withdrawal | 1,065,659,469.00 | 14,675,738,562.00 | 928,181,535.00 | 16,669,579,566.00 |
| (2) Differences arising from translation of foreign currency-denominated financial statements | 1,951,422.00 | 38,745,213.00 | 2,912,747.00 | 43,609,382.00 |
| 3. Decreased amount of the period | 0.00 | 206,535,913.00 | 28,092,585.00 | 234,628,498.00 |
| (1) Disposal or scrap | 0.00 | 206,535,913.00 | 28,092,585.00 | 234,628,498.00 |
| 4. Ending balance | 8,975,680,374.00 | 136,707,236,529.00 | 6,607,814,382.00 | 152,290,731,285.00 |
| III. Depreciation reserves | ||||
| 1. Beginning balance | 34,480.00 | 1,704,957,933.00 | 188,093,885.00 | 1,893,086,298.00 |
| 2. Increased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Withdrawal | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Decreased amount of the period | 0.00 | 56,858,324.00 | 308,457.00 | 57,166,781.00 |
| (1) Disposal or scrap | 0.00 | 56,858,324.00 | 308,457.00 | 57,166,781.00 |
| 4. Ending balance | 34,480.00 | 1,648,099,609.00 | 187,785,428.00 | 1,835,919,517.00 |
| IV. Carrying value | ||||
| 1. Ending carrying value | 56,790,563,445.00 | 153,215,599,946.00 | 4,026,830,939.00 | 214,032,994,330.00 |
| 2. Beginning carrying value | 57,838,080,907.00 | 165,169,074,249.00 | 4,134,211,729.00 | 227,141,366,885.00 |
(2) Temporarily Idle Fixed Assets
Unit: RMB
| Item | Book value | Accumulated depreciation | Provision for impairment | Carrying amounts | Notes |
| N/A |
(3) Fixed Assets Leased out by Operating Lease
Unit: RMB
| Item | Ending carrying value |
| Fixed assets leased out by operating lease | 81,238,273.00 |
(4) List of Fixed Assets with Certificate of Title Uncompleted
On 30 June 2022, the carrying value of fixed assets with certificate of title uncompleted totaled RMB6,825,687,457.00, and thecertificate of title was in process.
(5) Disposal of Fixed Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| N/A | ||
| Total | 0.00 | 0.00 |
Other notes: N/A
17. Construction in Progress
Unit: RMB
| Item | Ending balance | Beginning balance |
| Construction in progress | 40,146,851,520.00 | 32,099,711,879.00 |
| Engineering materials | 0.00 | 0.00 |
| Total | 40,146,851,520.00 | 32,099,711,879.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
(1) List of Construction in Progress
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |
| The 6th generation AMOLED (flexible) production line-Chongqing | 29,398,398,474.00 | 0.00 | 29,398,398,474.00 | 24,774,517,248.00 | 0.00 | 24,774,517,248.00 |
| Others | 10,792,946,870.00 | 44,493,824.00 | 10,748,453,046.00 | 7,369,688,455.00 | 44,493,824.00 | 7,325,194,631.00 |
| Total | 40,191,345,344.00 | 44,493,824.00 | 40,146,851,520.00 | 32,144,205,703.00 | 44,493,824.00 | 32,099,711,879.00 |
(2) Changes in Significant Construction in Progress during the Reporting Period
Unit: RMB
| Item | Budget | Beginning balance | Increased amount | Transfer in intangible assets | Other decreased amount during the Reporting Period | Ending balance | Proportion of accumulated investment in constructions to budget | Job schedule | Accumulated amount of interest capitalization | Of which: Amount of capitalized interests for the Reporting Period | Capitalization rate of interests for the Reporting Period | Sources of funding |
| The 6th generation AMOLED (flexible) production line-Chongqing | 46,500,000,000.00 | 24,774,517,248.00 | 4,625,257,864.00 | 1,376,638.00 | 0.00 | 29,398,398,474.00 | 65.91% | 65.91% | 347,046,410.00 | 161,255,667.00 | 3.51% | Self-raised and borrowings |
| Total | 46,500,000,000.00 | 24,774,517,248.00 | 4,625,257,864.00 | 1,376,638.00 | 0.00 | 29,398,398,474.00 | 347,046,410.00 | 161,255,667.00 | - |
(3) Provisions for Impairment of Construction in Progress during the Reporting Period
Unit: RMB
| Item | Withdrawal amount | Reason for withdrawal |
| N/A |
Other notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
(4) Engineering Materials
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |
| N/A | ||||||
| Total | 0.00 | 0.00 | ||||
Other notes: N/A
18. Right-of-Use Assets
Unit: RMB
| Item | Houses and buildings | Equipment | Others | Total |
| I. Original carrying value | ||||
| 1. Beginning balance | 567,247,967.00 | 107,357,735.00 | 192,885,015.00 | 867,490,717.00 |
| 2. Increased amount of the period | 205,424,514.00 | 1,408,822.00 | 158,588.00 | 206,991,924.00 |
| (1) Addition | 196,418,051.00 | 3,483,436.00 | 208,949.00 | 200,110,436.00 |
| (2) Exchange rate change | 9,006,463.00 | -2,074,614.00 | -50,361.00 | 6,881,488.00 |
| 3. Decreased amount of the period | 84,437.00 | 0.00 | 0.00 | 84,437.00 |
| 4. Ending balance | 772,588,044.00 | 108,766,557.00 | 193,043,603.00 | 1,074,398,204.00 |
| II. Accumulative depreciation | ||||
| 1. Beginning balance | 82,687,553.00 | 22,013,731.00 | 9,625,196.00 | 114,326,480.00 |
| 2. Increased amount of the period | 72,505,055.00 | 2,855,292.00 | 5,266,876.00 | 80,627,223.00 |
| (1) Withdrawal | 67,118,720.00 | 3,546,806.00 | 5,012,528.00 | 75,678,054.00 |
| (2) Exchange rate change | 5,386,335.00 | -691,514.00 | 254,348.00 | 4,949,169.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 |
| (2) Fluctuation of exchange rate | ||||
| 4. Ending balance | 155,192,608.00 | 24,869,023.00 | 14,892,072.00 | 194,953,703.00 |
| III. Depreciation reserves | ||||
| 1. Beginning balance | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Increased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Withdrawal | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Ending balance | 0.00 | 0.00 | 0.00 | 0.00 |
| IV. Carrying value | ||||
| 1. Ending carrying value | 617,395,436.00 | 83,897,534.00 | 178,151,531.00 | 879,444,501.00 |
| 2. Beginning carrying value | 484,560,414.00 | 85,344,004.00 | 183,259,819.00 | 753,164,237.00 |
Other notes: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
19. Intangible Assets
(1) List of Intangible Assets
Unit: RMB
| Item | Land use rights | Patent | Non-patent technology | Patent and proprietary technology | Computer software | Others | Total |
| I. Original carrying value | |||||||
| 1. Beginning balance | 5,539,522,787.00 | 0.00 | 0.00 | 6,978,992,728.00 | 1,676,849,060.00 | 1,549,958,675.00 | 15,745,323,250.00 |
| 2. Increased amount of the period | 232,590.00 | 0.00 | 0.00 | -10,218,312.00 | 81,683,962.00 | 1,208,292.00 | 72,906,532.00 |
| (1) Purchase | 232,590.00 | 0.00 | 0.00 | 8,727,783.00 | 41,174,149.00 | 0.00 | 50,134,522.00 |
| (2) Internal R&D | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| (3) Business combination increase | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| (4) Transfer from construction in progress | 0.00 | 0.00 | 0.00 | 0.00 | 40,513,856.00 | 112,297.00 | 40,626,153.00 |
| (5) Exchange differences | 0.00 | 0.00 | 0.00 | -18,946,095.00 | -4,043.00 | 1,095,995.00 | -17,854,143.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 | 232,252.00 | 0.00 | 232,252.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 | 232,252.00 | 0.00 | 232,252.00 |
| 4. Ending balance | 5,539,755,377.00 | 0.00 | 0.00 | 6,968,774,416.00 | 1,758,300,770.00 | 1,551,166,967.00 | 15,817,997,530.00 |
| II. Accumulated amortization | |||||||
| 1. Beginning balance | 524,719,007.00 | 0.00 | 0.00 | 2,613,841,165.00 | 999,888,044.00 | 397,376,628.00 | 4,535,824,844.00 |
| 2. Increased amount of the period | 66,082,103.00 | 0.00 | 0.00 | 303,988,879.00 | 92,117,134.00 | 45,494,076.00 | 507,682,192.00 |
| (1) Withdrawal | 66,082,103.00 | 0.00 | 0.00 | 308,827,784.00 | 92,130,681.00 | 45,087,855.00 | 512,128,423.00 |
| (2) Exchange differences | 0.00 | 0.00 | 0.00 | -4,838,905.00 | -13,547.00 | 406,221.00 | -4,446,231.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 | 232,252.00 | 0.00 | 232,252.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 | 232,252.00 | 0.00 | 232,252.00 |
| 4. Ending balance | 590,801,110.00 | 0.00 | 0.00 | 2,917,830,044.00 | 1,091,772,926.00 | 442,870,704.00 | 5,043,274,784.00 |
| III. Depreciation reserves | |||||||
| 1. Beginning balance | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Increased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Withdrawal | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Decreased amount of the period | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Disposal | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| 4. Ending balance | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| IV. Carrying value | |||||||
| 1. Ending carrying value | 4,948,954,267.00 | 0.00 | 0.00 | 4,050,944,372.00 | 666,527,844.00 | 1,108,296,263.00 | 10,774,722,746.00 |
| 2. Beginning carrying value | 5,014,803,780.00 | 0.00 | 0.00 | 4,365,151,563.00 | 676,961,016.00 | 1,152,582,047.00 | 11,209,498,406.00 |
The proportion of intangible assets generated from the internal R&D of the Company to the balance of intangible assets at the period-end: 0.00%.
(2) Land Use Right with Certificate of Title Uncompleted
Unit: RMB
| Item | Carrying value | Reason |
| N/A |
Other notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
20. Goodwill
(1) Original Carrying Value of Goodwill
Unit: RMB
| Name of the invested units or events generating goodwill | Beginning balance | Increase | Decrease | Ending balance |
| Formed by business combination | Disposals | |||
| Chengdu CEC Panda Display Technology Co., Ltd. | 537,038,971.00 | 0.00 | 0.00 | 537,038,971.00 |
| Nanjing BOE Display Technology Co., Ltd. | 155,714,415.00 | 0.00 | 0.00 | 155,714,415.00 |
| BOE Healthcare Investment & Management Co., Ltd. | 146,460,790.00 | 0.00 | 0.00 | 146,460,790.00 |
| Beijing Yinghe Century Co., Ltd. | 42,940,434.00 | 0.00 | 0.00 | 42,940,434.00 |
| Suzhou K-Tronics Co., Ltd. | 8,562,464.00 | 0.00 | 0.00 | 8,562,464.00 |
| Beijing BOE Optoelectronics Technology Co., Ltd. | 4,423,876.00 | 0.00 | 0.00 | 4,423,876.00 |
| SES Imagotag SA Co.Ltd. | 706,406,821.00 | 0.00 | 0.00 | 706,406,821.00 |
| Hefei Jiangcheng Technical Co., Ltd. | 9,391,961.00 | 0.00 | 0.00 | 9,391,961.00 |
| Total | 1,610,939,732.00 | 0.00 | 0.00 | 1,610,939,732.00 |
(2) Provisions for Impairment of Goodwill
Unit: RMB
| Name of the invested units or events generating goodwill | Beginning balance | Increase | Decrease | Ending balance |
| Withdrawal | Disposal | |||
| BOE Healthcare Investment & Management Co., Ltd. | 82,137,669.00 | 0.00 | 0.00 | 82,137,669.00 |
| Beijing BOE Optoelectronics Technology Co., Ltd. | 4,423,876.00 | 0.00 | 0.00 | 4,423,876.00 |
| SES Imagotag SA Co.Ltd. | 394,371,200.00 | 0.00 | 0.00 | 394,371,200.00 |
| Total | 480,932,745.00 | 0.00 | 0.00 | 480,932,745.00 |
Information of assets group or the combination of assets group where goodwill isN/ANotes of the testing process of goodwill impairment, key parameters(growth rate of predictive period in estimating he present value offuture cash flow, grow rate of stable period, profit rate, discount rate, predictive period, etc.) and the recognition method of goodwillimpairment losses:
N/AThe influence of testing goodwillN/AOther notes:
N/A
21. Long-term Prepaid Expense
Unit: RMB
| Item | Beginning balance | Increased amount | Amortization amount of the period | Other decreased amount | Ending balance |
| Payment for public facilities construction and use | 51,962,118.00 | 0.00 | 6,542,763.00 | 0.00 | 45,419,355.00 |
| Cost of operating lease assets improvement | 10,325,942.00 | 7,329,297.00 | 5,164,811.00 | 0.00 | 12,490,428.00 |
| Others | 574,242,442.00 | 34,821,622.00 | 67,595,257.00 | 861,718.00 | 540,607,089.00 |
| Total | 636,530,502.00 | 42,150,919.00 | 79,302,831.00 | 861,718.00 | 598,516,872.00 |
Other notes:
N/A
22. Deferred Income Tax Assets/Deferred Income Tax Liabilities
(1) Deferred Income Tax Assets Had Not Been Off-set
Unit: RMB
| Item | Ending balance | Beginning balance | ||
| Deductible temporary differences | Deferred tax assets | Deductible temporary differences | Deferred tax assets | |
| Provision for impairment of assets | 103,389,472.00 | 22,381,659.00 | 113,867,486.00 | 24,884,958.00 |
| Internal unrealized profit | 0.00 | 0.00 | 0.00 | 0.00 |
| Deductible tax losses | 410,743,867.00 | 114,618,265.00 | 422,990,806.00 | 118,064,555.00 |
| Changes in fair value of investments in other equity instruments | 138,973,307.00 | 20,845,996.00 | 139,523,200.00 | 20,928,480.00 |
| Depreciation of fixed assets | 207,688,047.00 | 36,254,242.00 | 201,462,125.00 | 34,642,083.00 |
| Assessed value added by investing real estate in subsidiaries | 122,672,343.00 | 30,668,086.00 | 125,449,252.00 | 31,362,313.00 |
| Others | 297,214,805.00 | 48,206,693.00 | 516,022,153.00 | 50,481,965.00 |
| Total | 1,280,681,841.00 | 272,974,941.00 | 1,519,315,022.00 | 280,364,354.00 |
(2) Deferred Income Tax Liabilities Had Not Been Off-set
Unit: RMB
| Item | Ending balance | Beginning balance | ||
| Taxable temporary difference | Deferred tax liabilities | Taxable temporary difference | Deferred tax liabilities | |
| Revaluation due to business combinations involving entities not under common control | 2,116,503,658.00 | 561,518,738.00 | 2,197,597,331.00 | 584,383,821.00 |
| Changes in fair value of investment in other debt obligations | 0.00 | 0.00 | 0.00 | 0.00 |
| Changes in fair value of investments in other equity instruments | 0.00 | 0.00 | 0.00 | 0.00 |
| Depreciation of fixed assets | 6,650,188,539.00 | 1,023,512,407.00 | 6,388,163,232.00 | 984,779,332.00 |
| Long-term equity investments | 120,141,687.00 | 18,021,253.00 | 120,141,687.00 | 18,021,253.00 |
| Others | 198,672,019.00 | 35,321,330.00 | 167,106,175.00 | 28,467,297.00 |
| Total | 9,085,505,903.00 | 1,638,373,728.00 | 8,873,008,425.00 | 1,615,651,703.00 |
(3) Deferred Income Tax Assets or Liabilities Listed by Net Amount after Off-set
Unit: RMB
| Item | Mutual set-off amount of deferred income tax assets and liabilities at the period-end | Ending balance of deferred income tax assets or liabilities after off-set | Mutual set-off amount of deferred income tax assets and liabilities at the period-begin | Beginning balance of deferred income tax assets or liabilities after off-set |
| Deferred tax assets | 89,946,347.00 | 183,028,594.00 | 90,028,830.00 | 190,335,524.00 |
| Deferred tax liabilities | 89,946,347.00 | 1,548,427,381.00 | 90,028,830.00 | 1,525,622,873.00 |
(4) List of Unrecognized Deferred Income Tax Assets
Unit: RMB
| Item | Ending balance | Beginning balance |
| Deductible temporary differences | 20,564,945,146.00 | 24,215,956,667.00 |
| Deductible tax losses | 24,538,479,899.00 | 19,433,679,291.00 |
| Total | 45,103,425,045.00 | 43,649,635,958.00 |
(5) Deductible Losses of Unrecognized Deferred Income Tax Assets will Due in the Following Years
Unit: RMB
| Year | Ending amount | Beginning amount | Notes |
| 2022 | 97,027,350.00 | 316,585,394.00 | N/A |
| 2023 | 113,941,428.00 | 290,518,573.00 | N/A |
| 2024 | 309,426,324.00 | 458,962,394.00 | N/A |
| 2025 | 710,217,945.00 | 1,276,919,825.00 | N/A |
| 2026 | 1,586,872,252.00 | 1,785,437,184.00 | N/A |
| 2027 | 1,128,002,131.00 | 14,979,073.00 | N/A |
| 2028 | 2,214,431,524.00 | 2,221,266,958.00 | N/A |
| 2029 | 4,952,769,121.00 | 5,296,070,440.00 | N/A |
| 2030 | 4,201,823,386.00 | 4,368,141,751.00 | N/A |
| 2031 | 2,366,194,417.00 | 2,406,109,565.00 | N/A |
| 2032 | 5,962,150,391.00 | 0.00 | N/A |
| Others | 895,623,630.00 | 998,688,134.00 | N/A |
| Total | 24,538,479,899.00 | 19,433,679,291.00 |
Other notes:
N/A
23. Other Non-current Assets
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |
| Contract acquisition cost | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Costs to fulfil a contract with a customer | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Costs receivables for recovering products from a customer | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Contract assets | 491,044.00 | 0.00 | 491,044.00 | 420,101.00 | 0.00 | 420,101.00 |
| Deferred VAT for imported equipment | 0.00 | 0.00 | 0.00 | 1,407,330,930.00 | 0.00 | 1,407,330,930.00 |
| Prepayment for fixed assets | 324,390,301.00 | 0.00 | 324,390,301.00 | 572,510,455.00 | 0.00 | 572,510,455.00 |
| VAT on tax credits | 1,013,166,019.00 | 0.00 | 1,013,166,019.00 | 3,424,055,815.00 | 0.00 | 3,424,055,815.00 |
| Prepayments for construction | 265,393,538.00 | 0.00 | 265,393,538.00 | 224,400,336.00 | 0.00 | 224,400,336.00 |
| Prepayment for management fee of loans | 183,867,218.00 | 0.00 | 183,867,218.00 | 204,757,059.00 | 0.00 | 204,757,059.00 |
| Cash deposit | 1,376,511,249.00 | 0.00 | 1,376,511,249.00 | 1,339,517,936.00 | 0.00 | 1,339,517,936.00 |
| Others | 713,204,193.00 | 0.00 | 713,204,193.00 | 304,434,851.00 | 0.00 | 304,434,851.00 |
| Total | 3,877,023,562.00 | 0.00 | 3,877,023,562.00 | 7,477,427,483.00 | 0.00 | 7,477,427,483.00 |
Other notes:
N/A
24. Short-term Borrowings
(1) Category of Short-term Borrowings
Unit: RMB
| Item | Ending balance | Beginning balance |
| Pledge loan | 0.00 | 0.00 |
| Mortgage loan | 0.00 | 0.00 |
| Guaranteed loan | 901,475,000.00 | 1,352,433,750.00 |
| Credit loan | 1,865,163,569.00 | 719,623,582.00 |
| Total | 2,766,638,569.00 | 2,072,057,332.00 |
Notes of category of short-term borrowings:
N/A
(2) Overdue and Outstanding Short-term Borrowings
The total overdue and outstanding short-term borrowings was RMB0.00, of which, the significant ones were listed as follows:
Unit: RMB
| Borrower | Ending balance | Loan interest rate | Overdue time | Overdue charge rate |
| N/A |
Other notes:
N/A
25. Notes Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Commercial acceptance bills | 429,850,806.00 | 663,001,350.00 |
| Bank acceptance bills | 39,563,262.00 | 164,956,681.00 |
| Total | 469,414,068.00 | 827,958,031.00 |
The total overdue and outstanding notes payable at the period-end were RMB0.00.
26. Accounts Payable
(1) List of Accounts Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Payables to related parties | 140,379,125.00 | 142,557,107.00 |
| Payables to third parties | 31,309,263,788.00 | 32,313,273,587.00 |
| Total | 31,449,642,913.00 | 32,455,830,694.00 |
(2) Significant Accounts Payable Aging over One Year
Unit: RMB
| Item | Ending balance | Unpaid/Un-carry-over reason |
| N/A |
Other notes:
N/A
27. Advances from Customers
(1) List of Advances from Customers
Unit: RMB
| Item | Ending balance | Beginning balance |
| Advances from third parties | 101,901,227.00 | 145,178,278.00 |
| Advances from related parties | 191,731.00 | 961,806.00 |
| Total | 102,092,958.00 | 146,140,084.00 |
(2) Significant Advances from Customers Aging over One Year
Unit: RMB
| Item | Ending balance | Unpaid/ Un-carry-over reason |
| N/A |
Other notes: N/A
28. Contract Liabilities
Unit: RMB
| Item | Ending balance | Beginning balance |
| Sale of goods | 3,306,387,693.00 | 3,765,081,554.00 |
| Total | 3,306,387,693.00 | 3,765,081,554.00 |
The amount of significant changes of carrying value and reason during the Reporting Period:
Unit: RMB
| Item | Amount changed | Reason |
| N/A |
29. Payroll Payable
(1) List of Payroll Payable
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| I. Short-term salary | 5,098,605,495.00 | 8,485,269,634.00 | 10,840,243,957.00 | 2,743,631,172.00 |
| II. Post-employment benefit-defined contribution plans | 34,235,855.00 | 712,130,853.00 | 690,383,850.00 | 55,982,858.00 |
| III. Termination benefits | 313,887.00 | 7,108,617.00 | 7,098,006.00 | 324,498.00 |
| IV. Other benefits due within one year | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 5,133,155,237.00 | 9,204,509,104.00 | 11,537,725,813.00 | 2,799,938,528.00 |
(2) List of Short-term Salary
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| 1. Salary, bonus, allowance, subsidy | 4,304,276,089.00 | 7,012,344,890.00 | 9,474,396,472.00 | 1,842,224,507.00 |
| 2. Employee welfare | 0.00 | 544,899,792.00 | 544,899,792.00 | 0.00 |
| 3. Social insurance | 43,095,684.00 | 356,511,404.00 | 344,195,634.00 | 55,411,454.00 |
| Of which: Medical insurance premiums | 38,317,039.00 | 330,426,473.00 | 319,455,586.00 | 49,287,926.00 |
| Work-related injury insurance | 2,583,340.00 | 19,763,033.00 | 18,778,524.00 | 3,567,849.00 |
| Maternity insurance | 2,195,305.00 | 6,321,898.00 | 5,961,524.00 | 2,555,679.00 |
| 4. Housing fund | 33,089,973.00 | 387,014,584.00 | 385,598,358.00 | 34,506,199.00 |
| 5. Labor union budget and employee education budget | 697,018,542.00 | 184,373,914.00 | 90,555,161.00 | 790,837,295.00 |
| 6. Short-term compensated absence | 0.00 | 0.00 | 0.00 | 0.00 |
| 7. Short-term profit-sharing plan | 0.00 | 0.00 | 0.00 | 0.00 |
| 8. Bonus and allowance bond | 20,553,209.00 | 0.00 | 0.00 | 20,553,209.00 |
| 9. Other short-term salary | 571,998.00 | 125,050.00 | 598,540.00 | 98,508.00 |
| Total | 5,098,605,495.00 | 8,485,269,634.00 | 10,840,243,957.00 | 2,743,631,172.00 |
(3) List of Defined Contribution Plans
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| 1. Basic pension benefits | 30,284,940.00 | 618,313,150.00 | 607,813,513.00 | 40,784,577.00 |
| 2. Unemployment insurance | 906,583.00 | 19,886,963.00 | 19,743,844.00 | 1,049,702.00 |
| 3. Annuity | 3,044,332.00 | 73,930,740.00 | 62,826,493.00 | 14,148,579.00 |
| Total | 34,235,855.00 | 712,130,853.00 | 690,383,850.00 | 55,982,858.00 |
Other notes:
N/A
30. Taxes Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Value-added tax | 87,749,195.00 | 101,448,944.00 |
| Consumption tax | 0.00 | 0.00 |
| Corporate income tax | 729,658,045.00 | 1,266,575,648.00 |
| Individual income tax | 38,572,453.00 | 58,763,365.00 |
| City maintenance and construction tax | 419,008,837.00 | 383,455,432.00 |
| Education surcharges and local education surcharges | 299,672,620.00 | 274,382,851.00 |
| Others | 102,429,789.00 | 115,623,065.00 |
| Total | 1,677,090,939.00 | 2,200,249,305.00 |
Other notes:
N/A
31. Other Payables
Unit: RMB
| Item | Ending balance | Beginning balance |
| Interest payable | 138,850.00 | 126,701.00 |
| Dividends payable | 49,630,531.00 | 6,561,972.00 |
| Other payables | 20,657,189,701.00 | 23,828,686,269.00 |
| Total | 20,706,959,082.00 | 23,835,374,942.00 |
(1) Interest Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Long-term loan interest of installment payment of interest and repay the due capital | 0.00 | 0.00 |
| Enterprise bond interest | 0.00 | 0.00 |
| Interest paid for short-term borrowings | 138,850.00 | 126,701.00 |
| Interest of preferred shares/perpetual bonds classified as financial liabilities | 0.00 | 0.00 |
| Others | 0.00 | 0.00 |
| Total | 138,850.00 | 126,701.00 |
Significant overdue and outstanding interests:
Unit: RMB
| Borrower | Overdue amount | Reason |
| N/A |
Other notes:
N/A
(2) Dividends Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Ordinary share dividends | 49,630,531.00 | 6,561,972.00 |
| Dividends of preferred shares/perpetual bonds classified as equity instruments | 0.00 | 0.00 |
| Others | 0.00 | 0.00 |
| Total | 49,630,531.00 | 6,561,972.00 |
Other notes, including the reason for unpayment of significant dividends payable unpaid for over one year:
None
(3) Other Accounts Payable
1) Other Accounts Payable Listed by Nature of Account
Unit: RMB
| Item | Ending balance | Beginning balance |
| Projects and equipment | 14,429,922,370.00 | 16,494,274,603.00 |
| Fund transaction | 3,103,057,528.00 | 3,077,116,568.00 |
| Repurchase obligation of restricted shares | 768,270,645.00 | 835,215,390.00 |
| Deferred VAT for imported equipment | 0.00 | 927,825,520.00 |
| Pre-withdrawal water and electricity & logistics freight | 448,261,464.00 | 348,955,956.00 |
| Margin | 531,774,369.00 | 537,788,828.00 |
| External agency fee | 156,583,359.00 | 193,251,964.00 |
| Others | 1,219,319,966.00 | 1,414,257,440.00 |
| Total | 20,657,189,701.00 | 23,828,686,269.00 |
2) Significant Other Accounts Payable Aging over One Year
Unit: RMB
| Item | Ending balance | Unpaid/Un-carry-over reason |
| N/A |
Other notes:
N/A
32. Non-current Liabilities Due within One Year
Unit: RMB
| Item | Ending balance | Beginning balance |
| Long-term loans due within 1 year | 26,720,769,038.00 | 27,907,851,457.00 |
| Bonds payable due within 1 year | 0.00 | 0.00 |
| Long-term accounts payable due within 1 year | 207,794,145.00 | 520,546,343.00 |
| Lease liabilities due within 1 year | 64,156,359.00 | 92,788,055.00 |
| Others | 360,267,940.00 | 353,772,859.00 |
| Total | 27,352,987,482.00 | 28,874,958,714.00 |
Other notes: The interest rate of RMB long-term loans due within one year for the Group ranged from 0% to 5.88% in 2022 (2021:
from 0% to 5.88%).
33. Other Current Liabilities
Unit: RMB
| Item | Ending balance | Beginning balance |
| Short-term bonds payable | 0.00 | 0.00 |
| Refund liability | 132,489,079.00 | 141,997,964.00 |
| Warranty provisions | 3,606,031,076.00 | 3,595,808,261.00 |
| Pending output VAT | 183,413,008.00 | 216,565,073.00 |
| Others | 110,188,709.00 | 97,161,211.00 |
| Total | 4,032,121,872.00 | 4,051,532,509.00 |
Increase or decrease in short-term bonds payable:
Unit: RMB
| Debenture | Face value | Issuance date | Maturity period | Issuance amount | Beginning balance | Issued in the Current Period | Interest at face value | Amortization of premium and depreciation | Repayment during the period | Ending balance |
| N/A | ||||||||||
| Total |
Other notes:
N/A
34. Long-term Borrowings
(1) Category of Long-term Borrowings
Unit: RMB
| Item | Ending balance | Beginning balance |
| Pledge loan | 610,306,000.00 | 551,057,843.00 |
| Mortgage loan | 70,712,167,474.00 | 76,397,414,046.00 |
| Guaranteed loan | 4,012,491,590.00 | 3,942,294,934.00 |
| Credit loan | 48,523,669,518.00 | 35,187,899,764.00 |
| Total | 123,858,634,582.00 | 116,078,666,587.00 |
Notes of the category of long-term borrowings:
N/AOther notes, including the interest rate range:
The interest rate of RMB long-term loans for the Group ranged from 0% to 5.90% in 2022 (2021: from 0% to 5.90%).
BOE Technology Group Co., Ltd. Interim Report 2022
35. Bonds Payable
(1) Bonds Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Euro PP | 355,835,127.00 | 359,586,437.00 |
| Total | 355,835,127.00 | 359,586,437.00 |
(2) Increase/Decrease of Bonds Payable (Excluding Other Financial Instruments Classified as Financial Liabilities such as Preferred Shares and PerpetualBonds)
Unit: RMB
| Debenture | Face value | Issuance date | Maturity period | Issuance amount | Beginning balance | Issued in the Current Period | Interest at face value | Amortization of premium and depreciation | Repayment during the period | Translation differences arising from translation of foreign currency financial statements | Ending balance |
| Euro PP | EUR10,000,000 | 2016.12.29 | 7 years | EUR10,000,000 | 71,955,154.00 | 0.00 | 1,230,049.00 | 51,922.00 | 0.00 | -2,120,158.00 | 71,116,967.00 |
| Euro PP | EUR30,000,000 | 2017.03.29 | 6 years | EUR30,000,000 | 216,118,687.00 | 0.00 | 3,690,146.00 | 191,838.00 | 0.00 | -6,368,285.00 | 213,632,386.00 |
| Euro PP | EUR10,000,000 | 2019.07.22 | 6 years | EUR10,000,000 | 71,512,596.00 | 0.00 | 1,599,063.00 | 85,794.00 | 0.00 | -2,111,679.00 | 71,085,774.00 |
| Total | —— | EUR50,000,000 | 359,586,437.00 | 0.00 | 6,519,258.00 | 329,554.00 | 0.00 | -10,600,122.00 | 355,835,127.00 | ||
(3) Explanations on Share Transfer Conditions and Time for Convertible Corporate BondsN/A
BOE Technology Group Co., Ltd. Interim Report 2022
(4) Other Financial Instruments Classified as Financial Liabilities
Basic situation of other financial instruments outstanding at the period-end such preferred shares and perpetual bondsN/AChanges in financial instruments outstanding at the period-end such preferred shares and perpetual liabilities
Unit: RMB
| Outstanding financial instruments | Period-beginning | Increase | Decrease | Period-end | ||||
| Quantity | Carrying amounts | Quantity | Carrying amounts | Quantity | Carrying amounts | Quantity | Carrying amounts | |
| N/A | ||||||||
Notes to the basis of classifying other financial instruments as financial liabilitiesN/AOther notes:
N/A
36. Lease Liabilities
Unit: RMB
| Item | Ending balance | Beginning balance |
| Lease liabilities | 747,894,221.00 | 669,130,264.00 |
| Total | 747,894,221.00 | 669,130,264.00 |
Other notes:
N/A
37. Long-term Accounts Payable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Long-term payables | 776,386,166.00 | 906,592,838.00 |
| Specific payables | 0.00 | 0.00 |
| Total | 776,386,166.00 | 906,592,838.00 |
(1) Long-term Accounts Payable Listed by Nature of Account
Unit: RMB
| Item | Ending balance | Beginning balance |
| Long-term payables | 776,386,166.00 | 906,592,838.00 |
Other notes: N/A
(2) Specific Payable
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance | Formed reason |
| N/A | |||||
| Total | 0.00 | 0.00 | 0.00 | 0.00 |
Other notes: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
38. Deferred Income
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance | Formed reason |
| Government grants | 6,416,089,611.00 | 2,439,506,976.00 | 2,641,413,054.00 | 6,214,183,533.00 | Government grants |
| Total | 6,416,089,611.00 | 2,439,506,976.00 | 2,641,413,054.00 | 6,214,183,533.00 |
Item involving government grants:
Unit: RMB
| Item | Beginning balance | Amount of newly subsidy | Amount recorded into non-operating income in the Reporting Period | Amount recorded into other income in Reporting Period | Amount offset cost in the Reporting Period | Other changes | Ending balance | Related to assets/related to income |
| Related to assets | 3,865,273,297.00 | 572,892,883.00 | 0.00 | 439,754,949.00 | 0.00 | 62,913,373.00 | 3,935,497,858.00 | Related to assets |
| Related to income | 2,550,816,314.00 | 1,866,614,093.00 | 0.00 | 2,124,923,130.00 | 0.00 | 13,821,602.00 | 2,278,685,675.00 | Related to income |
| Total | 6,416,089,611.00 | 2,439,506,976.00 | 0.00 | 2,564,678,079.00 | 0.00 | 76,734,975.00 | 6,214,183,533.00 | —— |
Other notes:
N/A
39. Other Non-current Liabilities
Unit: RMB
| Item | Ending balance | Beginning balance |
| Contract liabilities | 0.00 | 0.00 |
| Contribution of non-controlling interests with redemption provisions | 3,015,214,692.00 | 3,020,160,654.00 |
| Deferred VAT for imported equipment | 0.00 | 479,505,410.00 |
| Others | 34,301,425.00 | 36,143,812.00 |
| Total | 3,049,516,117.00 | 3,535,809,876.00 |
Other notes:
N/A
40. Share Capital
Unit: RMB
| Item | Beginning balance | Increase/decrease (+/-) | Ending balance | ||||
| New issues | Bonus shares | Bonus issue from profit | Others | Sub-total | |||
| Total shares | 38,445,746,482.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 38,445,746,482.00 |
Other notes:
N/A
41. Other Equity Instrument
(1) The Basic Information of Other Financial Instruments such as Preferred Stock and Perpetual Bond Outstanding at the End of the Period
| Outstanding financial instruments | Issuance date | Accounting classification | Interest rate | Issuance price | Quantity | Amount | Maturity date or renewal status | Conditions for conversion | Conversion status |
| 19BOEY1 | 29 October 2019 | Equity instrument | 4.00% | RMB 100/bond | 80 million | RMB 8 billion | 3+N years | Not applicable | Not applicable |
| 20BOEY1 | 28 February 2020 | Equity instrument | 3.64% | RMB 100/bond | 20 million | RMB 2 billion | 3+N years | Not applicable | Not applicable |
| 20BOEY2 | 19 March 2020 | Equity instrument | 3.54% | RMB 100/bond | 20 million | RMB 2 billion | 3+N years | Not applicable | Not applicable |
| 20BOEY3 | 27 April 2020 | Equity instrument | 3.50% | RMB 100/bond | 20 million | RMB 2 billion | 3+N years | Not applicable | Not applicable |
| 22BOEY1 | 25 March 2022 | Equity instrument | 3.50% | RMB 100/bond | 20 million | RMB 2 billion | 3+N years | Not applicable | Not applicable |
(2) Changes in Financial Instruments such as Preferred Stock and Perpetual Bond Outstanding at the End of the Period
Unit: RMB
| Outstanding financial instruments | Period-beginning | Increase | Decrease | Period-end | ||||
| Quantity | Carrying amounts | Quantity | Carrying amounts | Quantity | Carrying amounts | Quantity | Carrying amounts | |
| 19BOEY1-original value | 80,000,000.00 | 7,957,047,264.00 | 0.00 | 0.00 | 0.00 | 0.00 | 80,000,000.00 | 7,957,047,264.00 |
| 20BOEY1-original value | 20,000,000.00 | 1,989,179,245.00 | 0.00 | 0.00 | 0.00 | 0.00 | 20,000,000.00 | 1,989,179,245.00 |
| 20BOEY2-original value | 20,000,000.00 | 1,989,320,755.00 | 0.00 | 0.00 | 0.00 | 0.00 | 20,000,000.00 | 1,989,320,755.00 |
| 20BOEY3-original value | 20,000,000.00 | 1,989,415,094.00 | 0.00 | 0.00 | 0.00 | 0.00 | 20,000,000.00 | 1,989,415,094.00 |
| 22BOEY1-original value | 0.00 | 0.00 | 20,000,000.00 | 1,989,415,094.00 | 0.00 | 0.00 | 20,000,000.00 | 1,989,415,094.00 |
| 19BOEY1-interest | 0.00 | 56,986,301.00 | 0.00 | 158,684,931.00 | 0.00 | 0.00 | 0.00 | 215,671,232.00 |
| 20BOEY1-interest | 0.00 | 61,431,233.00 | 0.00 | 36,100,822.00 | 0.00 | 72,800,000.00 | 0.00 | 24,732,055.00 |
| 20BOEY2-interest | 0.00 | 55,864,110.00 | 0.00 | 35,109,041.00 | 0.00 | 70,800,000.00 | 0.00 | 20,173,151.00 |
| 20BOEY3-interest | 0.00 | 47,753,425.00 | 0.00 | 34,712,329.00 | 0.00 | 70,000,000.00 | 0.00 | 12,465,754.00 |
| 22BOEY1-interest | 0.00 | 0.00 | 0.00 | 18,794,521.00 | 0.00 | 0.00 | 0.00 | 18,794,521.00 |
| Total | 140,000,000.00 | 14,146,997,427.00 | 20,000,000.00 | 2,272,816,738.00 | 0.00 | 213,600,000.00 | 160,000,000.00 | 16,206,214,165.00 |
Changes in other equity instruments for the Current Period, explanation on reasons for the changes and basis for related accounting treatment:
On 30 June 2022, as the issued renewable corporate bonds aforementioned are classified as cumulative other equity instruments, the Company accrued interest of RMB283,401,644.00 on renewablecorporate bonds from undistributed profits and paid interest of RMB213,600,000.00.Other notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
42. Capital Reserves
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| Capital premium (premium on stock) | 53,267,488,127.00 | 196,029,051.00 | 1,654,497.00 | 53,461,862,681.00 |
| Other capital reserves | 536,821,266.00 | 319,398,222.00 | 6,843,684.00 | 849,375,804.00 |
| Total | 53,804,309,393.00 | 515,427,273.00 | 8,498,181.00 | 54,311,238,485.00 |
Other notes, including notes to increase and decrease during the Reporting Period and the reasons for changes:
N/A
43. Treasury shares
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| Repurchase of public shares | 3,415,768,207.00 | 274,740,201.00 | 60,417,632.00 | 3,630,090,776.00 |
| Total | 3,415,768,207.00 | 274,740,201.00 | 60,417,632.00 | 3,630,090,776.00 |
Other notes, including notes to increase and decrease during the Reporting Period and the reasons for changes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
44. Other Comprehensive Income
Unit: RMB
| Item | Beginning balance | Reporting Period | Ending balance | |||||
| Income before taxation in the Current Period | Less: Recorded in other comprehensive income in prior period and transferred in profit or loss in the Current Period | Less: Recorded in other comprehensive income in prior period and transferred in retained earnings in the Current Period | Less: Income tax expense | Net-of-tax amount attributable to shareholders of the Company | Net-of-tax amount attributable to non-controlling interests | |||
| I. Other comprehensive income that will not be reclassified to profit or loss | 34,424,335.00 | -20,527,203.00 | 0.00 | 6,283,336.00 | 82,484.00 | -26,893,023.00 | 0.00 | 7,531,312.00 |
| Of which: Changes caused by re-measurements on defined benefit pension schemes | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Other comprehensive income that will not be reclassified to profit or loss under equity method | 207,633,206.00 | -10,265,385.00 | 0.00 | 6,283,336.00 | 0.00 | -16,548,721.00 | 0.00 | 191,084,485.00 |
| Changes in fair value of investments in other equity instruments | -173,208,871.00 | -10,261,818.00 | 0.00 | 0.00 | 82,484.00 | -10,344,302.00 | 0.00 | -183,553,173.00 |
| Changes in fair value of enterprise credit risk | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| II. Other comprehensive income that may be reclassified to profit or loss | 79,126,812.00 | -476,450,189.00 | 0.00 | 0.00 | 0.00 | -457,928,648.00 | -18,521,541.00 | -378,801,836.00 |
| Of which: Other comprehensive income that will be reclassified to profit or loss under equity method | -284,718.00 | 51,684.00 | 0.00 | 0.00 | 0.00 | 51,684.00 | 0.00 | -233,034.00 |
| Changes in fair value of investment in other debt obligations | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Amount of financial assets reclassified to other comprehensive income | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Provision for credit impairment of investment in other debt obligations | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Reserves for cash flow hedges | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Translation differences arising from translation of foreign currency financial statements | 79,411,530.00 | -476,501,873.00 | 0.00 | 0.00 | 0.00 | -457,980,332.00 | -18,521,541.00 | -378,568,802.00 |
| Total of other comprehensive income | 113,551,147.00 | -496,977,392.00 | 0.00 | 6,283,336.00 | 82,484.00 | -484,821,671.00 | -18,521,541.00 | -371,270,524.00 |
Other notes, including the note to the adjustment of the initial recognition amount of hedged item transferred from the effective gain/loss on cash flow hedges: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
45. Surplus Reserves
Unit: RMB
| Item | Beginning balance | Increase | Decrease | Ending balance |
| Statutory surplus reserve | 2,599,918,896.00 | 628,334.00 | 0.00 | 2,600,547,230.00 |
| Discretionary surplus reserve | 289,671,309.00 | 0.00 | 0.00 | 289,671,309.00 |
| Reserve fund | 0.00 | 0.00 | 0.00 | 0.00 |
| Enterprise expansion fund | 0.00 | 0.00 | 0.00 | 0.00 |
| Others | 0.00 | 0.00 | 0.00 | 0.00 |
| Total | 2,889,590,205.00 | 628,334.00 | 0.00 | 2,890,218,539.00 |
Notes to surplus reserves, including the note to increase and decrease in the Reporting Period and the reason for changes:
N/A
46. Retained Profits
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Opening balance of retained profits before adjustments | 36,941,121,452.00 | 15,509,794,622.00 |
| Total beginning balance of retained profits before adjustments (increase+, decrease-) | 160,668,659.00 | 30,852,512.00 |
| Beginning balance of retained profits after adjustments | 37,101,790,111.00 | 15,540,647,134.00 |
| Add: Net profit attributable to owners of the Company as the parent | 6,595,661,738.00 | 25,960,751,647.00 |
| Less: Appropriation for statutory surplus reserve | 0.00 | 439,649,657.00 |
| Withdrawal of discretional surplus reserves | 0.00 | 0.00 |
| Withdrawal of general reserve | 0.00 | 0.00 |
| Dividends to ordinary shares | 7,954,814,928.00 | 3,476,073,919.00 |
| Dividend of common stock transferred into share capital | 0.00 | 0.00 |
| Interest on holders of other equity instruments | 283,401,644.00 | 533,600,000.00 |
| Transfer of other comprehensive income to retained earnings | -5,655,002.00 | -49,714,906.00 |
| Retained earnings | 35,464,890,279.00 | 37,101,790,111.00 |
List of adjustment of beginning retained profits:
(1) RMB160,668,659.00 beginning retained profits was affected by retrospective adjustment conducted according to the AccountingStandards for Business Enterprises and relevant new regulations.
(2) RMB0.00 beginning retained profits was affected by changes in accounting policies.
(3) RMB0.00 beginning retained profits was affected by correction of significant accounting errors.
(4) RMB0.00 beginning retained profits was affected by changes in combination scope arising from same control.
(5) RMB0.00 beginning retained profits was affected totally by other adjustments.
47. Operating Revenue and Cost of Sales
Unit: RMB
| Item | Reporting Period | Same period of last year | ||
| Income | Cost | Income | Cost | |
| Principal activities | 89,179,455,575.00 | 72,658,074,746.00 | 106,912,632,987.00 | 74,211,708,811.00 |
| Other operating activities | 2,430,786,294.00 | 1,840,993,616.00 | 1,705,385,723.00 | 1,208,698,455.00 |
| Total | 91,610,241,869.00 | 74,499,068,362.00 | 108,618,018,710.00 | 75,420,407,266.00 |
Relevant information of revenue:
Unit: RMB
| Category of contracts | Segment 1 | Segment 2 | Total |
| Types of products | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| By operating places | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| By types of market or customers | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| Types of contracts | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| By the time of transferring goods | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| By contract term | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| By marketing channel | 0.00 | 0.00 | 0.00 |
| Of which: | |||
| Total | 0.00 | 0.00 | 0.00 |
Information related to performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet wasRMB0.00 at the period-end.
Information related to transaction value assigned to residual performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet wasRMB0.00 at the period-end, among which RMB0.00 was expected to be recognized in 0 year, RMB0.00 in 0 year and RMB0.00 in 0year.Other notes:
N/A
48. Taxes and Surtaxes
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Consumption tax | 0.00 | 0.00 |
| City maintenance and construction tax | 131,231,387.00 | 203,891,270.00 |
| Education Surcharge | 94,462,019.00 | 146,864,277.00 |
| Resources tax | 0.00 | 0.00 |
| Property tax | 284,268,154.00 | 292,983,778.00 |
| Land use tax | 24,478,318.00 | 28,491,208.00 |
| Vehicle and vessel tax | 0.00 | 0.00 |
| Stamp duty | 82,804,123.00 | 85,587,761.00 |
| Others | 10,590,517.00 | 36,086,062.00 |
| Total | 627,834,518.00 | 793,904,356.00 |
Other notes: N/A
49. Selling Expense
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Warranty provisions | 956,829,173.00 | 1,415,523,949.00 |
| Staff cost | 578,952,537.00 | 592,486,021.00 |
| Share payments | 46,359,186.00 | 36,313,013.00 |
| Others | 280,338,572.00 | 251,224,714.00 |
| Total | 1,862,479,468.00 | 2,295,547,697.00 |
Other notes:
N/A
50. Administrative Expense
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Staff cost | 1,599,827,857.00 | 2,140,478,405.00 |
| Depreciation and amortization | 413,687,986.00 | 433,446,892.00 |
| Share payments | 110,814,289.00 | 86,503,091.00 |
| Others | 824,269,097.00 | 585,184,024.00 |
| Total | 2,948,599,229.00 | 3,245,612,412.00 |
Other notes:
N/A
51. Development Costs
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Staff cost | 2,400,991,826.00 | 2,329,473,723.00 |
| Material expenses | 920,452,382.00 | 858,112,914.00 |
| Depreciation and amortization | 1,003,150,020.00 | 916,105,490.00 |
| Equity incentives | 124,763,007.00 | 131,420,331.00 |
| Others | 912,647,583.00 | 697,187,900.00 |
| Total | 5,362,004,818.00 | 4,932,300,358.00 |
Other notes:
N/A
52. Finance Costs
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Interest expense | 1,503,427,051.00 | 2,438,979,548.00 |
| Interest income | -651,030,668.00 | -443,748,698.00 |
| Net loss on exchange | -244,097,140.00 | -295,822,911.00 |
| Others | 45,813,561.00 | 58,888,292.00 |
| Total | 654,112,804.00 | 1,758,296,231.00 |
Other notes:
N/A
53. Other Income
Unit: RMB
| Sources | Reporting Period | Same period of last year |
| Government grants related to assets | 439,754,949.00 | 171,893,815.00 |
| Government grants related to income | 2,518,837,330.00 | 952,619,529.00 |
| Others | 18,260,284.00 | 7,265,880.00 |
| Total | 2,976,852,563.00 | 1,131,779,224.00 |
54. Investment Income
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Income from long-term equity investments accounted for using equity method | 586,980,332.00 | 620,013.00 |
| Investment income from disposal of long-term equity investments | 0.00 | -1,490,516.00 |
| Investment income arising from holding of trading financial assets | 0.00 | 0.00 |
| Investment income from disposal of financial assets held for trading | 44,551,952.00 | 8,343,154.00 |
| Dividend income received from holding of other equity instrument investment | 14,635,391.00 | 16,450,665.00 |
| Gain from remeasurement of remaining equity interests to fair value upon the loss of control | 0.00 | 0.00 |
| Interest income of investment in debt obligations during holding period | 0.00 | 2,013,425.00 |
| Interest income of investment in other debt obligations during holding period | 0.00 | 0.00 |
| Investment income from disposal of investment in other debt obligations | 0.00 | 0.00 |
| Gains from debt restructuring | 0.00 | 0.00 |
| Total | 646,167,675.00 | 25,936,741.00 |
Other notes: N/A
55. Gains from Changes in Fair Value
Unit: RMB
| Sources | Reporting Period | Same period of last year |
| Financial assets held for trading | 77,771,038.00 | 37,887,125.00 |
| Of which: Gains from changes in fair value of derivative financial instruments | 0.00 | 0.00 |
| Trading financial liabilities | 0.00 | 0.00 |
| Investment property measured by fair value | 0.00 | 0.00 |
| Total | 77,771,038.00 | 37,887,125.00 |
Other notes: N/A
56. Credit Impairment Loss
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Bad debt loss of other receivables | -28,243.00 | -45,495.00 |
| Impairment loss of investment in debt obligations | 0.00 | 0.00 |
| Impairment loss of investment in other debt obligations | 0.00 | 0.00 |
| Bad debt loss of long-term receivables | 0.00 | 0.00 |
| Bad debt loss of accounts receivables | -19,967,284.00 | -33,823,114.00 |
| Total | -19,995,527.00 | -33,868,609.00 |
Other notes:
N/A
57. Asset Impairment Loss
Unit: RMB
| Item | Reporting Period | Same period of last year |
| I. Bad debt loss | 0.00 | 0.00 |
| II. Loss on inventory valuation and contract performance cost | -4,520,260,362.00 | -1,706,491,865.00 |
| III. Impairment losses on long-term equity investment | -8,199,181.00 | 0.00 |
| IV. Impairment losses on investment property | 0.00 | 0.00 |
| V. Fixed assets impairment losses | 0.00 | -517,917,416.00 |
| VI. Impairment losses on engineering materials | 0.00 | 0.00 |
| VII. Impairment losses on construction in progress | 0.00 | -83,037,514.00 |
| VIII. Impairment losses on productive living assets | 0.00 | 0.00 |
| IX. Impairment losses on oil and gas assets | 0.00 | 0.00 |
| X. Impairment losses on intangible assets | 0.00 | 0.00 |
| XI. Goodwill impairment losses | 0.00 | 0.00 |
| XII. Impairment Losses of Contract Assets | 0.00 | 0.00 |
| XIII. Others | 0.00 | 0.00 |
| Total | -4,528,459,543.00 | -2,307,446,795.00 |
Other notes:
N/A
58. Asset Disposal Income
Unit: RMB
| Sources | Reporting Period | Same period of last year |
| Gains from fixed asset disposals | 3,601,605.00 | 152,606,846.00 |
| Total | 3,601,605.00 | 152,606,846.00 |
59. Non-operating Income
Unit: RMB
| Item | Reporting Period | Same period of last year | Amount recorded in the current non-recurring profit or loss |
| Income from non-monetary assets exchange | 0.00 | 0.00 | 0.00 |
| Donations accepted | 2,000.00 | 0.00 | 2,000.00 |
| Government grants | 1,761,349.00 | 1,237,320.00 | 1,761,349.00 |
| Others | 97,822,833.00 | 46,878,482.00 | 97,822,833.00 |
| Total | 99,586,182.00 | 48,115,802.00 | 99,586,182.00 |
Government grants recorded into current profit or loss:
Unit: RMB
| Item | Distribution entity | Distribution reason | Nature | Whether subsidies influence the current profit or loss | Special subsidy or not | Reporting Period | Same period of last year | Related to assets/related to income |
| Policy incentives and others | Municipal People’s Government, National Development and | Subsidy | Due to engage in special industry that the state encouraged and supported, gained subsidy (obtaining | No | No | 1,761,349.00 | 1,237,320.00 | Related to income |
| Reform Commission, Bureau of Finance, etc. | in line with the law and the regulations of national policy) |
Other notes:
N/A
60. Non-operating Expense
Unit: RMB
| Item | Reporting Period | Same period of last year | Amount recorded in the current non-recurring profit or loss |
| Non-monetary asset exchange losses | 0.00 | 0.00 | 0.00 |
| Donations provided | 1,808,206.00 | 1,605,298.00 | 1,808,206.00 |
| Others | 15,617,290.00 | 19,942,843.00 | 15,617,290.00 |
| Total | 17,425,496.00 | 21,548,141.00 | 17,425,496.00 |
Other notes:
N/A
61. Income Tax Expense
(1) List of Income Tax Expense
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Current income tax expense | 1,657,492,994.00 | 1,984,034,420.00 |
| Deferred income tax expense | 23,831,250.00 | 276,390,618.00 |
| Total | 1,681,324,244.00 | 2,260,425,038.00 |
(2) Adjustment Process of Accounting Profit and Income Tax Expense
Unit: RMB
| Item | Reporting Period |
| Profit before taxation | 4,894,241,167.00 |
| Current income tax expense accounted at statutory/applicable tax rate | 734,136,175.00 |
| Influence of applying different tax rates by subsidiaries | 62,335,517.00 |
| Influence of income tax before adjustment | 0.00 |
| Influence of non-taxable income | -1,608,955.00 |
| Effect of non-deductible costs, expense and losses | 1,606,517.00 |
| Influence of deductible loss of unrecognized deferred income tax assets in prior period | -346,716,100.00 |
| Influence of deductible temporary difference or deductible loss of unrecognized deferred income tax assets in the Reporting Period | 1,186,744,986.00 |
| Others | 44,826,104.00 |
| Income tax expenses | 1,681,324,244.00 |
Other notes:
N/A
62. Other Comprehensive Income
Refer to Notes 44 for details.
63. Cash Flow Statement
(1) Cash Generated from Other Operating Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Government grants related to income | 4,610,789,391.00 | 3,304,516,231.00 |
| Restricted deposits and others | 973,645,438.00 | 353,503,906.00 |
| Total | 5,584,434,829.00 | 3,658,020,137.00 |
Notes: NoneN/A
(2) Cash Used in Other Operating Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Daily expenditure paid | 2,141,762,138.00 | 2,071,733,547.00 |
| Daily operation margins, deposits, and others paid | 438,014,471.00 | 289,513,172.00 |
| Total | 2,579,776,609.00 | 2,361,246,719.00 |
Notes: NoneN/A
(3) Cash Generated from Other Investing Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Interest income from investment activities | 604,391,438.00 | 569,135,155.00 |
| Investment-based margins and others received | 22,694,954.00 | 11,558,575.00 |
| Total | 627,086,392.00 | 580,693,730.00 |
Notes: NoneN/A
(4) Cash Used in Other Investing Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Increase in restricted deposits in financial institutions | 658,308,951.00 | 286,150,106.00 |
| Investment-based margins and others returned | 422,030,612.00 | 41,492,057.00 |
| Total | 1,080,339,563.00 | 327,642,163.00 |
Notes: None
N/A
(5) Cash Generated from Other Financing Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Recovery of restricted deposits in financial institutions | 0.00 | 1,007,134,885.00 |
| Dividends of A and B shares returned and others | 5,212,625.00 | 43,781,204.00 |
| Total | 5,212,625.00 | 1,050,916,089.00 |
Notes: NoneN/A
(6) Cash Used in Other Financing Activities
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Repurchase of shares | 274,740,201.00 | 6,489,085,322.00 |
| Leasing-related principals and interests and others | 658,251,005.00 | 935,347,581.00 |
| Total | 932,991,206.00 | 7,424,432,903.00 |
Notes: NoneN/A
64. Supplemental Information for Cash Flow Statement
(1) Supplemental Information for Cash Flow Statement
Unit: RMB
| Supplemental information | Reporting Period | Same period of last year |
| 1. Reconciliation of net profit to net cash flows generated from operating activities: | ||
| Net profit | 3,212,916,923.00 | 16,944,987,545.00 |
| Add: Provision for impairment of assets | 4,548,455,070.00 | 2,341,315,404.00 |
| Depreciation of fixed assets, oil-gas assets, and productive living assets | 16,649,076,929.00 | 16,104,794,927.00 |
| Depreciation of right-to-use assets | 74,631,909.00 | 164,503,238.00 |
| Amortization of intangible assets | 480,460,970.00 | 528,499,995.00 |
| Amortization of long-term deferred expenses | 79,302,831.00 | 66,159,277.00 |
| Losses on disposal of fixed assets, intangible assets and other long-lived assets (gains: negative) | -3,601,605.00 | -152,137,294.00 |
| Losses on scrap of fixed assets (gains: negative) | 5,081,737.00 | 3,074,286.00 |
| Losses from variation of fair value (gains: negative) | -77,771,038.00 | -37,887,125.00 |
| Finance costs (gains: negative) | 1,687,897,812.00 | 1,886,733,641.00 |
| Investment loss (gains: negative) | -646,167,675.00 | -25,936,741.00 |
| Decrease in deferred income tax assets (gains: negative) | 3,698,440.00 | 134,940,635.00 |
| Increase in deferred income tax liabilities (“-” means decrease) | 20,929,956.00 | 139,078,578.00 |
| Decrease in inventory (gains: negative) | -9,786,577,845.00 | -6,965,171,404.00 |
| Decrease in accounts receivable generated from operating activities (gains: negative) | 10,599,972,473.00 | -13,418,180,813.00 |
| Increase in accounts payable used in operating activities (decrease: negative) | 1,146,723,792.00 | 13,229,155,339.00 |
| Others | 116,969,986.00 | 1,843,713,379.00 |
| Net cash inflow from operating activities | 28,112,000,665.00 | 32,787,642,867.00 |
| 2. Significant investing and financing activities without involvement of cash receipts and payments: | ||
| Transfer of debt to capital | 0.00 | 0.00 |
| Convertible corporate bonds due within one year | 0.00 | 0.00 |
| Fixed assets leased in through financing | 0.00 | 0.00 |
| 3. Net increase/decrease of cash and cash equivalent: | ||
| Ending balance of cash | 79,805,078,702.00 | 66,341,627,103.00 |
| Less: Beginning balance of cash | 76,623,486,083.00 | 68,064,736,371.00 |
| Add: Ending balance of cash equivalents | 0.00 | 0.00 |
| Less: Beginning balance of cash equivalents | 0.00 | 0.00 |
| Net increase in cash and cash equivalents | 3,181,592,619.00 | -1,723,109,268.00 |
(2) Net Cash Paid For Acquisition of Subsidiaries
Unit: RMB
| Item | Amount |
| Cash or cash equivalents paid in the Reporting Period for business combination occurring in the Reporting Period | 0.00 |
| Of which: | |
| Less: Cash and cash equivalents held by subsidiaries on the date of purchase date | 0.00 |
| Of which: | |
| Add: Cash or cash equivalents paid in the Reporting Period for business combination occurring in the prior period | 0.00 |
| Of which: | |
| Net payments for acquisition of subsidiaries | 0.00 |
Other notes:
N/A
(3) Net Cash Receive from Disposal of the Subsidiaries
Unit: RMB
| Item | Amount |
| Cash or cash equivalents received in the Reporting Period from disposal of subsidiaries in the Current Period | 0.00 |
| Of which: | |
| Less: Cash and cash equivalents held by subsidiaries on the date of losing control power | 0.00 |
| Of which: | |
| Add: Cash or cash equivalents received in the Reporting Period from disposal of subsidiaries in the prior period | 0.00 |
| Of which: |
| Net cash received from disposal of subsidiaries | 0.00 |
Other notes:
N/A
(4) Cash and Cash Equivalent
Unit: RMB
| Item | Ending balance | Beginning balance |
| I. Cash | 79,805,078,702.00 | 76,623,486,083.00 |
| Including: Cash on hand | 415,779.00 | 451,975.00 |
| Bank deposits available on demand | 79,753,075,861.00 | 76,549,790,015.00 |
| Other monetary funds available on demand | 51,587,062.00 | 73,244,093.00 |
| Accounts deposited in the central bank available for payment | 0.00 | 0.00 |
| Deposits in other banks | 0.00 | 0.00 |
| Accounts of interbank | 0.00 | 0.00 |
| II. Cash equivalents | 0.00 | 0.00 |
| Of which: Bond investment expired within three months | 0.00 | 0.00 |
| III. Ending balance of cash and cash equivalents | 79,805,078,702.00 | 76,623,486,083.00 |
| Of which: Cash and cash equivalents with restriction in use for the Company as the parent or subsidiaries of the Group | 0.00 | 0.00 |
Other notes:
N/A
65. Notes to Items in Statements of Changes in Owners’ Equity
Notes to names under the item of “Other” in the adjusted ending balance for the same period of last year and the corresponding amount:
N/A
66. Assets with Restricted Ownership or Right to Use
Unit: RMB
| Item | Ending carrying value | Reason for restriction |
| Cash at bank | 4,740,547,715.00 | Mainly margin deposit |
| Bills receivable | 110,215,838.00 | Endorsed and transferred with right of recourse, and put in pledge for the issuance of notes payable |
| Inventories | 0.00 | N/A |
| Fixed assets | 151,628,122,893.00 | Mortgaged as collateral |
| Intangible assets | 1,477,181,999.00 | Mortgaged as collateral |
| Construction in progress | 453,776,871.00 | Mortgaged as collateral |
| Investment properties | 40,313,449.00 | Mortgaged as collateral |
| Total | 158,450,158,765.00 |
Other notes: N/A
67. Foreign Currency Monetary Items
(1) Foreign Currency Monetary Items
Unit: RMB
| Item | Ending foreign currency balance | Exchange rate | Ending balance converted to RMB |
| Cash at bank | |||
| Including: USD | 2,778,127,228.00 | 6.7114 | 18,645,123,076.00 |
| EUR | 133,140,400.00 | 7.0084 | 933,101,182.00 |
| HKD | 66,304,393.00 | 0.8552 | 56,702,854.00 |
| Accounts receivable | |||
| Including: USD | 2,316,065,127.00 | 6.7114 | 15,544,039,494.00 |
| EUR | 106,765,852.00 | 7.0084 | 748,257,795.00 |
| HKD | 0.00 | 0.8552 | 0.00 |
| Long-term loans | |||
| Including: USD | 4,246,186,285.00 | 6.7114 | 28,497,854,633.00 |
| EUR | 31,168,278.00 | 7.0084 | 218,439,760.00 |
| HKD | 0.00 | 0.8552 | 0.00 |
Other notes:
N/A
(2) Notes to Overseas Entities Including: for Significant Oversea Entities, Main Operating Place, RecordingCurrency and Selection Basis Shall Be Disclosed; if there Are Changes in Recording Currency, RelevantReasons Shall Be Disclosed.
□Applicable ? Not applicable
68. Government Grants
(1) Basic Information on Government Grants
Unit: RMB
| Category | Amount | Listed items | Amount recorded in the current profit or loss |
| Government grants related to assets with influence on the current profit or loss | 985,262,643.00 | Other income/fixed assets/intangible assets | 985,262,643.00 |
| Government grants related to income with influence on the current profit or loss | 3,564,839,705.00 | Other income/non-operating income/finance costs | 3,564,839,705.00 |
| Total | 4,550,102,348.00 | —— | 4,550,102,348.00 |
(2) Return of Government Grants
□Applicable ? Not applicable
Other notes:
N/A
69. Other
N/A
VIII. Changes of Consolidation Scope
1. Business Combinations Involving Entities Not Under Common Control
(1) Business Combinations Involving Entities Not Under Common Control Occurred During the Reporting Period
Unit: RMB
| Name of the acquiree | Date of equity acquisition | Cost of equity acquisition | Proportion of equities acquired | Method of equity acquisition | Acquisition date | Basis for determining the acquisition date | The acquiree's revenue from the acquisition date to the period-end | The acquiree's net profit from the acquisition date to the period-end |
| N/A |
Other notes:
N/A
(2) Acquisition Cost and Goodwill
Unit: RMB
| Acquisition cost | 0.00 |
| --Cash | 0.00 |
| --Fair value of non-cash assets | 0.00 |
| --Fair value of issued or assumed debts | 0.00 |
| --Fair value of issued equity securities | 0.00 |
| --Fair value of the contingent consideration | 0.00 |
| --Fair value of equity interests held before the acquisition date on the acquisition date | 0.00 |
| Others | 0.00 |
| Total acquisition cost | 0.00 |
| Less: Share of the fair value of the identifiable net assets acquired | 0.00 |
| Amount of goodwill/acquisition cost less than share of the fair value of the identifiable net assets acquired | 0.00 |
Notes to the method for determining the fair value of the acquisition cost and contingent consideration and its changes:
NoneMain reasons for the formation of large-amount goodwill:
NoneOther notes:
N/A
(3) Identifiable Assets and Liabilities of the Acquiree on the Acquisition Date
Unit: RMB
| Item | ||
| Fair value on the acquisition date | Carrying value on the acquisition date | |
| Assets: | 0.00 | 0.00 |
| Cash at bank | 0.00 | 0.00 |
| Receivables | 0.00 | 0.00 |
| Inventories | 0.00 | 0.00 |
| Fixed assets | 0.00 | 0.00 |
| Intangible assets | 0.00 | 0.00 |
| Liabilities: | 0.00 | 0.00 |
| Loans | 0.00 | 0.00 |
| Payables | 0.00 | 0.00 |
| Deferred tax liabilities | 0.00 | 0.00 |
| Net assets | 0.00 | 0.00 |
| Less: Non-controlling interests | 0.00 | 0.00 |
| Net assets acquired | 0.00 | 0.00 |
Method for determining the fair value of identifiable assets and assets:
NoneContingent liabilities of the acquiree assumed in the business combination:
NoneOther notes:
N/A
(4) Gain or Loss from Remeasurement of Equity Interests Held before the Acquisition Date at Fair ValueWhether there were several transactions to realize business combinations and acquire controls during the Reporting Period
□Yes ? No
(5) Notes to Failure to Reasonably Determine the Combination Consideration or the Fair Value of Identifiable Assets andLiabilities of the Acquiree on the Acquisition Date or at the End of the Current PeriodN/A
(6) Other Notes
N/A
2. Business Combinations Involving Entities Under Common Control
(1) Business Combinations Involving Entities Under Common Control Occurred During the Reporting Period
Unit: RMB
| Name of the combined party | Proportion of equity interests acquired in the business combination | Basis for the judgment about the business combination under common control | Combination date | Basis for determining the combination date | The combined party's revenue from the beginning of the current period, in which the combination occurred, to the combination date | The combined party's net profit from the beginning of the current period, in which the combination occurred, to the combination date | The combined party's revenue during the comparison period | The combined party's net profit during the comparison period |
| N/A |
Other notes:
N/A
(2) Acquisition Cost
Unit: RMB
| Acquisition cost | |
| --Cash | 0.00 |
| --Carrying value of non-cash assets | 0.00 |
| --Carrying value of issued or assumed debts | 0.00 |
| --Carrying value of issued equity securities | 0.00 |
| --Contingent consideration | 0.00 |
Notes to contingent consideration and its changes:
NoneOther notes:
None
(3) The Carrying Value of Assets and Liabilities of the Combined Party on the Combination Date
Unit: RMB
| Item | ||
| Combination date | End of the previous period | |
| Assets: | 0.00 | 0.00 |
| Cash at bank | 0.00 | 0.00 |
| Receivables | 0.00 | 0.00 |
| Inventories | 0.00 | 0.00 |
| Fixed assets | 0.00 | 0.00 |
| Intangible assets | 0.00 | 0.00 |
| Liabilities: | 0.00 | 0.00 |
| Loans | 0.00 | 0.00 |
| Payables | 0.00 | 0.00 |
| Net assets | 0.00 | 0.00 |
| Less: Non-controlling interests | 0.00 | 0.00 |
| Net assets acquired | 0.00 | 0.00 |
Contingent liabilities of the combined party assumed in business combinations:
NoneOther notes:
N/A
3. Counter Purchase
Basic information of the transactions, basis of the counter purchase, basis and whether assets and liabilities retained by the listedcompany constitute business, determination of the combination cost, the amount and calculation of the equity amount adjusted intreatment for the equity transaction:
N/A
4. Disposal of Subsidiary
Whether there is a single disposal of the investment to the subsidiary and lost control?
□Yes ? No
Whether there are several disposals of the investment to the subsidiary and lost controls?
□Yes ? No
5. Changes in Combination Scope for Other Reasons
Note to changes in combination scope for other reasons (such as newly establishment or liquidation of subsidiaries, etc.) and relevantinformation:
In the year, the Company newly established one subsidiary, BOE Environmental Energy Technology Co., Ltd., with 100% shareholding.
6. Other
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
IX. Equity in Other Entities
1. Interests in Subsidiaries
(1) Subsidiaries
| Name of the Subsidiary | Principal place of business | Registered place | Business nature | Shareholding percentage | Acquisition method | |
| Direct | Indirect | |||||
| Beijing BOE Optoelectronics Technology Co., Ltd. | Beijing, China | Beijing, China | Research and development (“R&D”), design and manufacturing of TFT-LCD | 0.00% | 100% | Founded by investment |
| Chengdu BOE Optoelectronics Technology Co., Ltd. (“Chengdu Optoelectronics”) | Chengdu, China | Chengdu, China | R&D, design, production and sales of new display devices and modules and other electronic components. | 100.00% | 0.00% | Business combinations involving entities not under common control |
| Hefei BOE Optoelectronics Technology Co., Ltd. | Hefei, China | Hefei, China | Investment, construction, R&D, production and sales of the relevant products of thin film transistor LCD and its auxiliary products. | 100.00% | 0.00% | Business combinations involving entities not under common control |
| Beijing BOE Display Technology Co., Ltd. (“Beijing BOE Display”) | Beijing, China | Beijing, China | Development of TFT-LCD, manufacturing and sale of LCD | 97.17% | 2.83% | Founded by investment |
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | Hefei, China | Hefei, China | Investment, construction, R&D, production and sales of the relevant products of thin film transistor LCD and its auxiliary products. | 99.97% | 0.03% | Business combinations involving entities not under common control |
| Erdos Yuansheng Optoelectronics Co., Ltd. (“Yuansheng Optoelectronics”) | Erdos, China | Erdos, China | Manufacture and sales of AM-OLED products and auxiliary products. | 100.00% | 0.00% | Founded by investment |
| Chongqing BOE Optoelectronics Technology Co., Ltd. (“Chongqing BOE”) | Chongqing, China | Chongqing, China | R&D, production and sales of semi-conducting display devices, complete machine and related products; import & export of goods and technology consulting. | 100.00% | 0.00% | Business combinations involving entities not under common control |
| Fuzhou BOE Optoelectronics Technology Co., Ltd. (“Fuzhou BOE”) | Fuzhou, China | Fuzhou, China | Investment, construction, R&D, production and sales of the relevant products of thin film transistor LCD and its auxiliary products. | 83.24% | 0.00% | Business combinations involving entities not under common control |
| Beijing BOE Video Technology Co., Ltd. (“BOE Video”) | Beijing, China | Beijing, China | Manufacture of LCD TV, LCD; technology development of terminal products and systems such as TFT-LCD display and TV | 100.00% | 0.00% | Founded by investment |
| Beijing BOE Vacuum Electronics Co., Ltd. | Beijing, China | Beijing, China | Manufacture and sale of vacuum electronic products | 57.89% | 0.00% | Founded by investment |
| Beijing BOE Vacuum Technology Co., Ltd. | Beijing, China | Beijing, China | Manufacture and sale of electronic tubes. | 100.00% | 0.00% | Founded by investment |
| Beijing Yinghe Century Co., Ltd. | Beijing, China | Beijing, China | Management of engineering projects; real estate development; public parking lot for motor vehicles service; office lease. | 100.00% | 0.00% | Founded by investment |
| BOE Optical Science and Technology Co., Ltd. (“Optical Science and Technology”) | Suzhou, China | Suzhou, China | R&D, production and sales of LCD, back light for display and related components. | 95.17% | 0.00% | Founded by investment |
| BOE Hyundai LCD (Beijing) Display Technology Co., Ltd. | Beijing, China | Beijing, China | Development, manufacture and sale of liquid display for mobile termination. | 75.00% | 0.00% | Founded by investment |
| BOE (Hebei) Mobile Technology Co., Ltd. (“BOE Hebei”) | Langfang, China | Langfang, China | Manufacture and sale of mobile flat screen display technical products and related services. | 100.00% | 0.00% | Founded by investment |
| Beijing BOE Multimedia Technology Co. Ltd. (“BOE Multimedia”) | Beijing, China | Beijing, China | Technology development, technology transfer, technology consulting and technology services; sales of computer software, hardware and auxiliary equipment, digital video and audio technology products, electronic digital products, video telephone, mobile phones and spare parts, hardware (excluding electric bicycle), household appliances, photographic equipment, sporting goods, Class I medical devices, lamps, stationery, cosmetics, bathroom appliances, knitwear and textile, clothing, daily necessities, timepieces, glasses, toys and food; equipment maintenance; import and export of goods; basic software services; application software service; machinery and equipment leases; design, production, agency and publication of advertisements. (Market participants independently select the business activities and carry out the business activities in accordance with laws and regulations; sales of food and business activities subject to approval in accordance with laws and regulations, operations may be conducted only with the approval of relevant government authorities; business activities prohibited and restricted by the industrial policies of the state and the city. | 100.00% | 0.00% | Founded by investment |
| Beijing BOE Energy Technology Co., Ltd. (“BOE Energy”) | Beijing, China | Beijing, China | Design, consultancy and service of solar cell, photovoltaic system, wind power system and solar thermal system as well as the assembly units; energy-saving service. | 80.11% | 0.00% | Founded by investment |
| Beijing BOE Life Technology Co., Ltd. (“BOE Life Technology”) | Beijing, China | Beijing, China | Technology promotion services, property management, sales of electronic products | 100.00% | 0.00% | Founded by investment |
| Beijing Zhongxiangying Technology Co., Ltd. (“Zhongxiangying”) | Beijing, China | Beijing, China | Technology promotion services, property management, sales of electronic products | 100.00% | 0.00% | Founded by investment |
| Ordos City Haosheng Energy Investment Co., Ltd. | Ordos, China | Ordos, China | Energy investment | 0.00% | 100.00% | Founded by investment |
| BOE Semi-conductor Co., Ltd. | Beijing, China | Beijing, China | Processing, manufacturing and sales of precision electronic components, semi-conductor devices, micro modules, microelectronic devices and electronic materials; import & export of goods | 84.00% | 0.00% | Founded by investment |
| BOE Optoelectronics Holding Co., Ltd ("Optoelectronics Holding") | Hong Kong | British Virgin Islands | Investment holding | 100.00% | 0.00% | Founded by investment |
| BOE (Korea) Co.,Ltd. | Korea | Korea | Wholesale and retail trade | 100.00% | 0.00% | Founded by investment |
| BOE Health Investment Management Co., Ltd. (“Health Investment”) | Beijing, China | Beijing, China | Investment management and project investment. | 100.00% | 0.00% | Business combinations involving entities not under common control |
| Beijing Matsushita Color CRT Co., Ltd. (“Matsushita Color CRT”) | Beijing, China | Beijing, China | Colour TV set, display tube, colour RPTV projection tube and materials of electronic components; property management and parking services, etc. | 88.80% | 0.00% | Business combinations involving entities not under common control |
| Hefei BOE Display Technology Co., Ltd. (“Hefei Technology”) | Hefei, China | Hefei, China | Investment, R & D and production of products related to TFT-LCD and the supporting facility | 8.33% | 0.00% | Business combinations involving entities not under common control |
| Beijing BOE Technology Development Co., Ltd. (“Technology Development”) | Beijing, China | Beijing, China | Development, transfer, consulting and service of technology | 100.00% | 0.00% | Founded by investment |
| Hefei BOE Zhuoyin Technology Co., Ltd. (“Zhuoyin Technology”) | Hefei, China | Hefei, China | Investment, construction, R&D, production and sales of products related to OLED display device and auxiliary products. | 75.00% | 0.00% | Founded by investment |
| Beijing BOE Land Co., Ltd. | Beijing, China | Beijing, China | Development, construction, property management and supporting service of industrial plants and supporting facilities; information consulting of real estate; lease of commercial facilities, commercial attendants and the supporting service facilities; motor vehicles public parking service. | 70.00% | 0.00% | Founded by investment |
| Beijing BOE Marketing Co., Ltd. | Beijing, China | Beijing, China | Sales of communication equipment, hardware & software of computer and peripheral units, electronic products, equipment maintenance; development, transfer, consulting and service providing of technologies; import & export of goods and technologies, agency of import & export; manufacturing consignment of electronic products and LCD devices. | 100.00% | 0.00% | Founded by investment |
| Yunnan Chuangshijie Optoelectronic Technology Co., Ltd. ("Yunnan BOE") | Kunming, China | Kunming, China | Development, spread, transfer, consulting and service providing of display technology; service providing of computer software/hardware and network systems; construction, operation and | 79.10% | 0.00% | Founded by investment |
| management of e-commerce platforms; providing service of conferences; undertaking of exhibitions; computer animation design; production, R&D and sales of OLED micro display devices and AR/VR complete machine; storage services | ||||||
| Wuhan BOE Optoelectronics Technology Co., Ltd. (“Wuhan BOE”) | Wuhan, China | Wuhan, China | Investment, construction, R&D, production and sales, technology development, transfer, consulting, and service of the relevant products of thin film transistor LCD and its auxiliary products | 47.14% | 0.00% | Business combinations involving entities not under common control |
| Mianyang BOE Optoelectronics Technology Co., Ltd. (“Mianyang BOE”) | Mianyang, China | Mianyang, China | Production of display panel for high-end smart phones, folding laptops etc. and R&D, production and sales of modules. | 83.46% | 0.00% | Business combinations involving entities not under common control |
| Chongqing BOE Display Technology Co., Ltd. (“Chongqing BOE Display”) | Chongqing, China | Chongqing, China | R&D, manufacture and sales of semiconductor display devices, whole widget and relevant products, import and export of goods and technical consulting | 38.46% | 0.00% | Business combinations involving entities not under common control |
| Beijing BOE Sensing Technology Co., Ltd. | Beijing, China | Beijing, China | Development, testing, consulting, service and transfer of technologies in X-ray sensors, micro fluidic chips, biochemical chips, gene chips, security sensors, microwave antenna, biological sensors, internet of things, and modules, systems and equipment of other semiconducting sensors. | 100.00% | 0.00% | Founded by investment |
| Fuzhou BOE Display Technology Co., Ltd. | Fuzhou, China | Fuzhou, China | R&D, production and sales of semiconductor display device-related products and related products; import or export of goods or technology; display device and component, other electronic components, and technology development, technology transfer, technical consulting, related fields related to display devices and electronic products, technical services; business management consulting; property management; house rental; machinery and equipment rental | 43.46% | 0.00% | Business combinations involving entities not under common control |
| SES Imagotag SA Co.Ltd. | Nanterre, France | Nanterre, France | Supports color electronic paper, segment LCD, TFT-LCD display, covering ESL multi-frequency protocol, Wi-Fi, BLE and NFC; multiple communication methods, integrated electronic paper supply chain resources and downstream software around electronic shelf labels Platform, image recognition and big data analytics resources to create a complete solution for the retail industry. | 0.00% | 60.20% | Business combinations involving entities not under common control |
| Hefei BOE Xingyu Technology Co., Ltd. | Hefei, China | Hefei, China | Investment, R&D, manufacturing and sales of direct display, sensors related to the display, back light source for LCD and supporting components; enterprise management consulting and service; house rental; equipment rental; technology development, transfer and consulting services. | 63.77% | 0.00% | Founded by investment |
| BOE Education Technology Co., Ltd. | Beijing, China | Beijing, China | Technology development, software development, sales of stationery supplies, sports supplies and home appliances; business management, economic and trade consultancy, education consultancy, public relations services; research and experiment development of natural science, engineering technology, and agricultural science; copyright agency and arts and crafts creation services. | 100.00% | 0.00% | Founded by investment |
| Oriental Chengqi (Beijing) Business Technology Co., Ltd. | Beijing, China | Beijing, China | Technology development; sales of primary edible agricultural products; translation services, conference services; business management, real estate information consulting; ticketing agents, tourism consulting, warehousing services, public relations services, car rental; import and export of goods, technology import and export; beauty services, medical services; inbound tourism business; Internet information services. | 100.00% | 0.00% | Founded by investment |
| BOE Innovation Investment Co., Ltd. | Beijing, China | Beijing, China | Project investment; investment management.? ("1. The company shall not raise funds in any public manner; 2. It shall not conduct securities products and financial derivative transactions in any public manner; 3. It shall not issue loans; 4. It shall not provide guarantees for enterprises other those it invests in; 5. It shall not promise any principal guarantee or minimum return to investors; (Market participants independently select the business activities and carry out the business activities in accordance with laws and regulations; sales of food and business activities subject to approval in accordance with laws and regulations, operations may be conducted only with the approval of relevant government authorities; business activities prohibited and restricted by the industrial | 100.00% | 0.00% | Founded by investment |
| policies of the state and the city.)) | ||||||
| BOE Smart Technology Co., Ltd. | Beijing, China | Beijing, China | Provision of hardware and software integrated system solutions for the IoT market segment; smart city, smart transport, smart finance, smart parks and the display terminal products such as the smart all-in-one machines | 100.00% | 0.00% | Founded by investment |
| Nanjing BOE Display Technology Co., Ltd. (Formerly Nanjing CEC Panda FPD Technology Co., Ltd.) | Nanjing, China | Nanjing, China | R&D, manufacturing and sales of TFT-LCD panels, color filters and whole liquid crystal modules; provision of products and business-related services, as well as other business activities associated with the foregoing; proprietary and agency import and export of various goods and technologies (excluding goods and technologies restricted by state or import & export prohibited). (For items that require approval by law, the approval from related authorities must be obtained before engagement in the business activities) | 80.83% | 0.00% | Business combinations involving entities not under common control |
| Chengdu CEC Panda Display Technology Co., Ltd. | Chengdu, China | Chengdu, China | R&D, production and sales of TFT-LCD panels and modules, liquid crystal display monitors, televisions, instruments, machinery equipment and accessories as well as provision of technical services; foreign trade in form of import and export of goods and technology. (For items that require approval by law, the approval from related authorities must be obtained before engagement in the business activities) | 35.03% | 0.00% | Business combinations involving entities not under common control |
| BOE Jingxin Technology Co., Ltd. | Beijing, China | Beijing, China | Technology development, technology consultancy, technology transfer, and technology services; basic software services; application software services; computer system services; Internet data services (excluding data centers in Internet data services and cloud computing data center with PUE over 1.4); information processing and storage support services; general contracting, professional contracting, and labor subcontracting; equipment installation, maintenance, and leasing; literary and artistic creation; computer animation design; product design; enterprise management consulting; sales of computers, | 100.00% | 0.00% | Founded by investment |
| software and auxiliary equipment, as well as electronic products. | ||||||
| BOE Environmental Energy Technology Co., Ltd. | Beijing, China | Beijing, China | Energy-saving technology, new energy technology for environmental protection, environmental protection equipment, solar power generation, technology development, technology consulting, technology transfer, technology promotion, technology services, and technology testing for building integrated photovoltaics and green building, electric power, and power station operation and maintenance; software development; internet data services (data centres in Internet data services, excluding cloud computing data centres with a PUE over 1.4); information processing and storage support services (data centres in information processing and storage support services, excluding cloud computing data centres with a PUE over 1.4); energy management contracting; water contamination governance; atmospheric pollution governance; solid wastes governance; soil pollution control and remediation services; environmental protection monitoring; installation, maintenance and lease of equipment; professional design services; property management; sales of special equipment for environmental protection, illuminating equipment, electronic products, machinery and equipment, electrical equipment, instruments, hardware products, computers, software and ancillary equipment, and chemical products (excluding licensed chemical products); import and export of goods; import and export of technologies; agency of import & export; power service; construction engineering design; electrical installation services; miscellaneous engineering construction activities; general contracting of housing construction and | 100.00% | 0.00% | Founded by investment |
municipal infrastructure project engineering;construction labour subcontracting.
Explanations that the shareholding percentage is different from the voting right percentage in subsidiaries:
(1) BOE signed the Agreement of Acting in Concert with Hefei Core Screen Industrial Investment Fund (Limited Partnership) and Hefei Xingrong Investment Co., Ltd. Based on the agreement,Hefei Core Screen Industrial Investment Fund (Limited Partnership) and Hefei Xingrong Investment Co., Ltd. agreed to act as the persons acting in concert according to the wishes of the Company,and exercised the voting rights unconditionally and irrevocably in accordance with the opinions of the Company. Therefore, BOE owns 100% of the voting right ratio to Hefei BOE Display andincludes it in the consolidation scope.
(2) BOE signed the Agreement of Acting in Concert with Wuhan Airport Economic Development Zone Industrial Development Investment Group Co., Ltd. and Hubei Changbai IndustrialInvestment Fund Partnership (Limited Partnership). Based on the agreement, Wuhan Airport Economic Development Zone Industrial Development Investment Group Co., Ltd. and Hubei ChangbaiIndustrial Investment Fund Partnership (Limited Partnership) agreed to act as the persons acting in concert according to the wishes of the Company, and exercised the voting rights unconditionallyand irrevocably in accordance with the opinions of the Company. Therefore, BOE owns 100% of the voting right ratio to Wuhan BOE Optoelectronics Technology and includes it in theconsolidation scope.
(3) BOE signed the Agreement of Acting in Concert with Chongqing Strategic Emerging Industry Equity Investment Fund Partnership (Limited Partnership) and Chongqing Yuzi OptoelectronicIndustry Investment Co., Ltd., Chongqing Jianxin Junheng Private Equity Fund Partnership (Limited Partnership), and Chongqing Jingping Equity Investment Fund Partnership (LimitedPartnership). Based on the agreement, Chongqing Strategic Emerging Industry Equity Investment Fund Partnership (Limited Partnership) and Chongqing Yuzi Optoelectronic Industry InvestmentCo., Ltd., Chongqing Jianxin Junheng Private Equity Fund Partnership (Limited Partnership), and Chongqing Jingping Equity Investment Fund Partnership (Limited Partnership) agreed to act asthe persons acting in concert according to the wishes of the Company, and exercised the voting rights unconditionally and irrevocably in accordance with the opinions of the Company. Therefore,BOE owns 100% of the voting right ratio to Chongqing BOE Display Technology and includes it in the consolidation scope.
(4) BOE signed the Agreement of Acting in Concert with Fuqing City Invested-Construction Investment Group Co., Ltd. and Fuzhou Urban Construction Investment Group Co., Ltd. Based on theagreement, Fuqing City Invested-Construction Investment Group Co., Ltd. and Fuzhou Urban Construction Investment Group Co., Ltd. agreed to act as the persons acting in concert according tothe wishes of the Company, and exercised the voting rights unconditionally and irrevocably in accordance with the opinions of the Company. Therefore, BOE owns 100% of the voting right ratioto Fuzhou BOE Display Technology Co., Ltd. and includes it in the consolidation scope.
(5) BOE signed an agreement of acting in concert with Chengdu Advanced Manufacturing Industry Investment Co., Ltd., Chengdu Airport Xingcheng Investment Group Co., Ltd., ChengduXihanggang Industrial Development Investment Co., Ltd., Nanjing Panda Information Industry Group Co., Ltd., and China Electronics Corporation, aiming to control Chengdu CEC Panda DisplayTechnology Co., Ltd. by acting in concert. Chengdu Advanced Manufacturing Industry Investment Co., Ltd., Chengdu Airport Xingcheng Investment Group Co., Ltd., Chengdu XihanggangIndustrial Development Investment Co., Ltd., Nanjing Panda Information Industry Group Co., Ltd., and China Electronics Corporation agreed to act as the persons acting in concert according tothe wishes of the Company on exercising their shareholders' rights at the Board of Directors and voting rights on recommended directors in Chengdu CEC Panda Display Technology Co., Ltd.,on the premise of not harming their interests. Therefore, BOE owns 96.75% of the voting right ratio to Chengdu CEC Panda Display Technology Co., Ltd. and includes it in the consolidationscope.
Basis for the control over the investees with half or less voting right and for not controlling the investees with over half voting right:
N/ABasis for the control over the significant structured entities included in the scope of combination:
N/A
Basis for the determining the Company as the agent or the trustor:
N/AOther notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
(2) Significant Not Wholly-owned Subsidiary
Unit: RMB
| Name of the Subsidiary | Shareholding proportion of non-controlling interests | The profit or loss attributable to non-controlling interests | Declaring dividends distributed to non-controlling interests | Ending balance of non-controlling interests |
| Hefei BOE Display Technology Co., Ltd. | 91.67% | -1,039,789,016.00 | 0.00 | 21,391,024,075.00 |
| Mianyang BOE Optoelectronics Technology Co., Ltd. | 16.54% | -263,619,017.00 | 0.00 | 3,672,714,980.00 |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | 52.86% | -654,648,293.00 | 0.00 | 14,491,042,564.00 |
Notes that the shareholding percentage is different from the voting right percentage of non-controlling shareholders in subsidiaries:
N/AOther notes:
N/A
(3) The Main Financial Information of Significant Not Wholly-owned Subsidiary
Unit: RMB
| Name of the Subsidiary | Ending balance | Beginning balance | ||||||||||
| Current assets | Non-current assets | Total assets | Current liabilities | Non-current liabilities | Total liabilities | Current assets | Non-current assets | Total assets | Current liabilities | Non-current liabilities | Total liabilities | |
| Hefei BOE Display Technology Co., Ltd. | 15,291,826,342.00 | 22,092,758,648.00 | 37,384,584,990.00 | 6,620,745,068.00 | 7,429,025,833.00 | 14,049,770,901.00 | 15,797,281,551.00 | 24,332,972,509.00 | 40,130,254,060.00 | 7,432,659,554.00 | 8,237,784,012.00 | 15,670,443,566.00 |
| Mianyang BOE Optoelectronics Technology Co., Ltd. | 11,608,383,193.00 | 38,559,607,867.00 | 50,167,991,060.00 | 8,731,073,644.00 | 19,231,869,168.00 | 27,962,942,812.00 | 9,246,943,007.00 | 43,427,820,893.00 | 52,674,763,900.00 | 7,343,085,123.00 | 21,547,455,635.00 | 28,890,540,758.00 |
| Wuhan BOE Optoelectronics | 10,420,937,031.00 | 40,208,548,309.00 | 50,629,485,340.00 | 8,537,925,943.00 | 14,677,555,304.00 | 23,215,481,247.00 | 12,711,279,779.00 | 37,827,474,491.00 | 50,538,754,270.00 | 7,311,202,489.00 | 15,031,465,931.00 | 22,342,668,420.00 |
Technology Co.,Ltd.
Unit: RMB
| Name of the Subsidiary | Reporting Period | Same period of last year | ||||||
| Operating income | Net profit | Total comprehensive income | Cash flows from operating activities | Operating income | Net profit | Total comprehensive income | Cash flows from operating activities | |
| Hefei BOE Display Technology Co., Ltd. | 6,859,750,975.00 | -1,134,274,044.00 | -1,134,274,044.00 | -87,608,184.00 | 10,056,857,841.00 | 2,117,875,480.00 | 2,117,875,480.00 | 3,427,977,081.00 |
| Mianyang BOE Optoelectronics Technology Co., Ltd. | 5,554,777,261.00 | -1,593,827,191.00 | -1,593,827,191.00 | 4,096,026,311.00 | 7,139,702,888.00 | -884,043,896.00 | -884,043,896.00 | 983,913,609.00 |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | 7,746,898,476.00 | -1,238,456,854.00 | -1,238,456,854.00 | 427,041,611.00 | 6,959,030,521.00 | 1,509,628,810.00 | 1,509,628,810.00 | 1,578,297,899.00 |
Other notes:
N/A
(4) Significant Limitation on the Use of Assets and Liquidation of Debts of the CompanyN/A
(5) Financial Support or Other Support Provided for Structured Entities Included in the Scope of Consolidated Financial StatementsN/AOther notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
2. Transactions That Cause Changes in the Group’s Interests in Subsidiaries That Do Not Result in Loss ofControl
(1) Explanations on Changes in Owner’s Equity of Subsidiary
The Company held 53.86% of shares in Hefei Xingyu before the change and 63.77% after.The Company held 100.00% of shares in Energy Technology before the change and 80.11% after.
(2) The Effects of the Transaction on Non-controlling Interests and Equity Attributable to Owners of the Company as theParent
Unit: RMB
| Hefei Xingyu | Energy Technology | |
| Purchase cost/disposal consideration | 169,364,156.00 | 0.00 |
| --Cash | 169,364,156.00 | 0.00 |
| --Fair value of non-cash assets | 0.00 | 0.00 |
| Total of purchase cost /disposal consideration | 169,364,156.00 | 0.00 |
| Less: Subsidiary net assets proportion calculated by share proportion obtained/disposal | 167,813,830.00 | 196,029,055.00 |
| Difference | 1,550,326.00 | -196,029,055.00 |
| Of which: Adjustment of capital reserves | -1,550,326.00 | 196,029,055.00 |
| Surplus reserves adjustments | 0.00 | 0.00 |
| Retained profits adjustments | 0.00 | 0.00 |
Other notes:
N/A
3. Equity in Joint Ventures or Associated Enterprises
(1) Significant Joint Ventures or Associated Enterprises
| Name | Principal place of business | Registered place | Business nature | Shareholding percentage | Accounting treatment method for the investment in joint ventures or associated enterprises | |
| Direct | Indirect | |||||
| N/A | ||||||
Explanations that the shareholding percentage is different from the voting right percentage in joint ventures or associated enterprises:
N/ABasis of the voting rights below 20% but with major influence, or without major influence but with over 20% (included) voting rightsheld:
N/A
(2) The Main Financial Information of Significant Joint Ventures
Unit: RMB
| Item | Ending balance/Reporting Period | Beginning balance/The same period of last year |
| N/A |
Other notes:
N/A
(3) The Main Financial Information of Significant Associated Enterprises
Unit: RMB
| Item | Ending balance/Reporting Period | Beginning balance/The same period of last year |
| N/A |
Other notes:
N/A
(4) Summary Financial Information of Insignificant Joint Ventures or Associated Enterprises
Unit: RMB
| Item | Ending balance/Reporting Period | Beginning balance/The same period of last year |
| Joint venture: | ||
| Total carrying value of investment | 0.00 | 0.00 |
| The total of following items according to the shareholding proportions | ||
| --Net profit | 0.00 | 0.00 |
| --Other comprehensive income | 0.00 | 0.00 |
| --Total comprehensive income | 0.00 | 0.00 |
| Associated enterprise: | ||
| Total carrying value of investment | 6,646,019,274.00 | 6,040,948,317.00 |
| The total of following items according to the shareholding proportions | ||
| --Net profit | 586,980,332.00 | 620,013.00 |
| --Other comprehensive income | -10,213,701.00 | -64,314,237.00 |
| --Total comprehensive income | 576,766,631.00 | -63,694,224.00 |
Other notes:
N/A
(5) Note to the Significant Restrictions on the Ability of Joint Ventures or Associated Enterprises to TransferFunds to the Company
N/A
(6) The Excess Loss of Joint Ventures or Associated Enterprises
Unit: RMB
| Name | The cumulative recognized losses in previous accumulatively derecognized | The derecognized losses (or the share of net profit) in Reporting Period | The accumulative unrecognized losses in Reporting Period |
| Hefei Xin Jing Yuan Electronic Materials Co., Ltd. | -20,352,876.00 | 4,094,002.00 | -16,258,874.00 |
Other notes:
As at 30 June 2022, Hefei Xinjingyuan Electronic Materials Co., Ltd. has continuously incurred losses. Since the Company has noobligation to undertake extra losses for it, the recognition of the share of its net losses born by the Company shall be limited to that the
carrying value of long-term equity investments is reduced to zero. And the accumulative unrecognized investment losses areRMB16,258,874.
(7) The Unrecognized Commitment Related to Investment to Joint Ventures
N/A
(8) Contingent Liabilities Related to Investment to Joint Ventures or Associated Enterprises
N/A
4. Other
N/AX. The Risk Related to Financial Instruments
1. Credit Risk
Credit risk refers to the risk of financial losses to one party of a financial instrument due to the failure of obligation performance by theother party. The credit risk of the Group is mainly from accounts receivable. And the management will continue to monitor the exposureof these credit risks.The cash at bank of the Group is mainly held with well-known financial institutions. Management does not foresee any significantcredit risks from these deposits and does not expect that these financial institutions may default and cause losses to the Group.As for accounts receivable, the Group has worked out the credit policies based on actual situation to evaluate customers’ credit so asto decide the limit of sales on credit and credit period. The credit evaluation is conducted on the basis of a customer’s financial condition,external rating and historical transaction records. The accounts receivable will expire within 7 to 120 days since the issue date ofaccount bills. The debtors of overdue accounts receivable will be required to pay off all outstanding balance before obtaining furthercredit lines.The credit risk of the Group is mainly influenced by characteristics of customers, not the industries, countries or regions they are in.Thus, the concentration of material credit risks is mainly generated from material accounts receivable and contract assets of the Groupfrom individual customers. On the balance sheet date, the accounts receivable of the Group and the Company's top five customersrespectively account for 38% and 0.001% (in 2021: 39% and 0.001%) of total accounts receivable and total contract assets of the Groupand the Company. What’s more, the accounts receivable of the Group not overdue and without impairment are mainly from customerswithout debt records recently.The maximum credit risk exposure born by the Group is the carrying amount of each financial asset in the balance sheet. As stated inNote XIV, the Group has no external guarantee that will bring credit risks to the Group as at 30 June 2022.
2. Liquidity Risk
Liquidity risk is the risk that an enterprise will encounter difficulty in meeting obligations that are settled by delivering cash or anotherfinancial asset. The Company and its individual subsidiaries are responsible for their own cash management, including short-terminvestment of cash surpluses and the raising of loans to cover expected cash demands (subject to approval by the Company’s boardwhen the borrowings exceed certain predetermined levels). The Group’s policy is to regularly monitor its liquidity requirements andits compliance with lending covenants, to ensure that it maintains sufficient reserves of cash, readily realizable marketable securitiesand adequate committed lines of funding from major financial institutions to meet its liquidity requirements in the short and longerterm.
3. Interest Rate Risk
Interest-bearing financial instruments at variable rates and at fixed rates expose the Group to cash flow interest rate risk and fair valueinterest risk, respectively. The Group determines the appropriate weightings of the fixed and floating rate interest-bearing instrumentsbased on the current market conditions and performs regular reviews and monitoring to achieve an appropriate mix of fixed and floatingrate exposure. The Group does not enter into financial derivatives to hedge interest rate risk.As at 30 June 2022, it is estimated that a general increase/decrease of 100 basis points in interest rates of variable rate instrument, withall other variables held constant, would decrease/increase the Group's net profit and equity by RMB672.93 million (2021: RMB549.53million).In respect of the exposure to cash flow interest rate risk arising from floating rate non-derivative instruments held by the Group at thebalance sheet date, the impact on the net profit and equity is estimated as an annualized impact on interest expense or income of sucha change in interest rates. The analysis is performed on the same basis for the previous year.
4. Foreign Currency Risk
In respect of cash at bank and on hand, accounts receivable and payable, short-term loans and other assets and liabilities denominatedin foreign currencies other than the functional currency, the Group ensures that its net exposure is kept to an acceptable level by buyingor selling foreign currencies at spot rates when necessary to address short-term imbalances.(a)The Group’s exposure as at 30 June to currency risk arising from recognized foreign currency assets or liabilities is mainlydenominated in US dollar. The amount of the USD exposure is net liabilities exposure USD2,002,631,924 (2021 net liabilities exposure:
USD177,293,137), translated into RMB13,440,463,895 (2021: RMB1,130,367,854), using the spot rate at the balance sheet date.Differences resulting from the translation of the financial statements denominated in foreign currency are excluded.(b) Assuming all other risk variables remained constant, a 5% strengthening/weakening of the Renminbi against the US dollar at 30June would have increased/decreased both the Group's equity and net profit by the amount RMB272,498,323 (2021: decrease/increaseRMB164,148,318).The sensitivity analysis above assumes that the change in foreign exchange rates had been applied to re-measure those financialinstruments held by the Group which expose the Group to foreign currency risk at the balance sheet date. The analysis excludesdifferences that would result from the translation of the financial statements denominated in foreign currency. The analysis is performedon the same basis for the previous year.XI. The Disclosure of Fair Value
1. Ending Fair Value of Assets and Liabilities at Fair Value
Unit: RMB
| Item | Ending fair value | |||
| Level 1 Fair value measurement | Level 2 Fair value measurement | Level 3 Fair value measurement | Total | |
| I. Consistent fair value measurement | -- | -- | -- | -- |
| ----(I) Trading financial assets | 0.00 | 0.00 | 17,317,207,971.00 | 17,317,207,971.00 |
| 1. Financial assets at fair value through profit or loss | 0.00 | 0.00 | 17,317,207,971.00 | 17,317,207,971.00 |
| (1) Debt instruments investment | 0.00 | 0.00 | 16,710,312,524.00 | 16,710,312,524.00 |
| (2) Equity instruments investment | 0.00 | 0.00 | 606,895,447.00 | 606,895,447.00 |
| (3) Derivative financial assets | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Financial assets assigned measured by fair value and the changes be included in the current gains and losses | 0.00 | 0.00 | 0.00 | 0.00 |
| (1) Debt instruments investment | 0.00 | 0.00 | 0.00 | 0.00 |
| (2) Equity instruments investment | 0.00 | 0.00 | 0.00 | 0.00 |
| (II) Investment in other debt obligations | 0.00 | 0.00 | 0.00 | 0.00 |
| (III) Other equity instrument investment | 163,570,151.00 | 0.00 | 386,657,929.00 | 550,228,080.00 |
| (IV) Investment property | 0.00 | 0.00 | 0.00 | 0.00 |
| 1. Lease the land use right | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Rental buildings | 0.00 | 0.00 | 0.00 | 0.00 |
| 3. Land use right held and prepared to transfer after appreciation | 0.00 | 0.00 | 0.00 | 0.00 |
| (V)Biological assets | 0.00 | 0.00 | 0.00 | 0.00 |
| 1.Consumable biological assets | 0.00 | 0.00 | 0.00 | 0.00 |
| 2. Productive living assets | 0.00 | 0.00 | 0.00 | 0.00 |
| Total assets measured at fair value on a recurring basis | 0.00 | 0.00 | 0.00 | 0.00 |
| (VI)Trading financial liabilities | 0.00 | 0.00 | 0.00 | 0.00 |
| Of which: Tradable bond issued | 0.00 | 0.00 | 0.00 | 0.00 |
| Derivative financial liabilities | 0.00 | 0.00 | 0.00 | 0.00 |
| Others | 0.00 | 0.00 | 0.00 | 0.00 |
| (VII) Refer as financial liabilities measured by fair value and the changes included in the current gains and losses | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities of consistent fair value measurement | 0.00 | 0.00 | 0.00 | 0.00 |
| II. Inconsistent fair value measurement | -- | -- | -- | -- |
| ----(I) Assets held for sale | 0.00 | 0.00 | 0.00 | 0.00 |
| Total assets inconsistently measured at fair value | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities inconsistently measured at fair value | 0.00 | 0.00 | 0.00 | 0.00 |
2. Basis of Determining the Market Price for Recurring and Non-recurring Fair Value MeasurementsCategorized within Level 1
The unadjusted offer in active market obtaining same assets or liabilities on the calculation date.
3. Consistent and Inconsistent Fair Value Measurement Items at Level 2, Valuation Techniques Adopted, theQualitative and Quantitative Information of Important ParametersObservable input value of related assets or liabilities except level 1 input value.
4. Consistent and Inconsistent Fair Value Measurement Items at Level 3, Valuation Techniques Adopted, theQualitative and Quantitative Information of Important ParametersThe unobservable input value of related assets or liabilities.
5. Consistent Fair Value Measurement Items at Level 3, Adjustment between the Beginning Carrying Valueand the Ending Carrying Value and Sensitivity Analysis on Unobservable ParametersN/A
6. Explain the Reason for Conversion and the Policy Governing when the Conversion Happens if ConversionHappens among Consistent Fair Value Measurement Items at Different LevelN/A
7. Changes in Valuation Techniques in the Reporting Period and Reasons for the ChangesN/A
8. Fair Value of Financial Assets and Liabilities Not Measured at Fair ValueN/A
9. Other
N/AXII. Connected Party and Connected Transaction
1. Information on the Company as the Parent
| Company name | Registered place | Business nature | Registered capital | Proportion of share held by the Company as the parent against the Company (%) | Proportion of voting rights owned by the Company as the parent against the Company (%) |
| Beijing Electronics Holding Co., Ltd. | No. 12, Jiuxianqiao Road, Chaoyang District, Beijing | Operation and management of state-owned assets within authorization, etc. | RMB3,139,210,000.00 | 0.71% | 17.45% |
Notes to the Company as the parent:
N/AThe final controller of the Company is Beijing Electronics Holding Co., Ltd.Other notes:
N/A
2. Subsidiaries of the Company
Refer to Note IX.-1 for details.
3. Information on the Joint Ventures and Associated Enterprises of the CompanyFor information of significant joint ventures or associated enterprises of the Company, please refer to Note IX-3.List of other joint ventures and associated enterprises that made connected transactions with the Company generating balance duringor before the Reporting Period:
| Name | Relationship with the Company |
| Beijing Nissin Electronics Precision Component Co., Ltd. | Associate of the Group and the Company |
| Beijing Nittan Electronic Co., Ltd. | Associate of the Group and the Company |
| BOE Yiyun Technology Co., Ltd. | Associate of the Group and the Company |
| TPV Display Technology (China) Limited | Associate of the Group and the Company |
| Beijing Xindongneng Investment Management Co., Ltd. | Associate of the Group and the Company |
| Shenzhen Yunyinggu Technology Co., Ltd. | Associate of the Group and the Company |
| BioChain (Beijing) Science & Technology, Inc. | Associate of the Group |
| Beijing BOE Microbial Technology Co., Ltd. | Associate of the Group |
| Hefei Xinjingyuan Electronic Materials Co., Ltd. | Associate of the Group |
| BOE Houji Technology (Beijing) Co., Ltd. | Associate of the Group |
| Changzhou Xiruojia Medical Technology Co., Ltd. | Subsidiary of associate of the Group |
| Beijing BioChain Medical Laboratory Co., Ltd. | Subsidiary of associate of the Group |
Other notes:
N/A
4. Information on Other Related Parties
| Name of other related parties | Relationship with the Company |
| Beijing Zhengdong Electronic Power Group Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Electronics Holding & SK Technology Co., Ltd. | Under the same control of the ultimate holding company |
| Beidian Aisite (Jiangsu) Technology Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Electrical Control Jiuyi Industrial Development Company | Under the same control of the ultimate holding company |
| Beijing Smart-aero Display Technology Co., Ltd. | Under the same control of the ultimate holding company |
| Nortel New Energy Technology (Jiangsu) Co., Ltd. | Under the same control of the ultimate holding company |
| Sevenstar Semiconductor Technologies Co., Ltd. | Under the same control of the ultimate holding company |
| NAURA Technology Group Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing NAURA Microelectronics Equipment Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing C&W Technology Development Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing C&W Intelligent Equipment Co., Ltd. | Under the same control of the ultimate holding company |
| 761 Workshop (Beijing) Technology Development Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Ripeness Sanyuan Instrumentation Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Ether Electronics Group Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Dongdian Industrial Development Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing BOE Investment Development Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Yansong Economic and Trade Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing Zhaowei Electronics (Group) Co., Ltd. | Under the same control of the ultimate holding company |
| Beijing C&W Self-service Equipment Technology Co. , Ltd. | Under the same control of the ultimate holding company |
| Xin Xiang Microelectronic (Hong Kong) Co., Ltd. | Associate of enterprise that is under the same control of the ultimate holding company |
| Beijing Senju Electronic Materials Co., Ltd. | Associate of enterprise that is under the same control of the ultimate holding company |
| Beijing Yizhuang Environmental Technology Group Co., Ltd. | Other |
| China Minsheng Banking Corporation Limited | Other |
| Hefei Construction and Investment Holdings (Group) Co., Ltd. | Other |
Other notes:
N/A
5. Transactions with Related Parties
(1) Information on Acquisition of Goods and Reception of Labor Service
Information on acquisition of goods and reception of labor service
Unit: RMB
| Name of related party | Nature of transaction | Reporting Period | The approval trade credit | Whether exceed trade credit or not | Same period of last year |
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Purchase of goods | 105,041,971.00 | 750,000,000.00 | No | 266,829,360.00 |
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Receiving of services | 3,257,510.00 | 20,000,000.00 | No | 1,522,372.00 |
| Other related parties | Purchase of goods | 39,589,302.00 | 450,000,000.00 | No | 129,714,767.00 |
| Other related parties | Receiving of services | 2,132.00 | 500,000.00 | No | 1,328,899.00 |
Information of sales of goods and provision of labor service
Unit: RMB
| Name of related party | Nature of transaction | Reporting Period | Same period of last year |
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Sale of goods | 434,437,945.00 | 5,234,597.00 |
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Rendering of services | 6,730,172.00 | 3,739,611.00 |
| Other related parties | Sale of goods | 60, 851,429.00 | 126,028,273.00 |
| Other related parties | Rendering of services | 1,101,089.00 | 264,969.00 |
Explanation of Information on Acquisition of Goods and Reception of Labor ServiceN/A
(2) Connected Trusteeship/Contract and Entrust/Contractee
Lists of connected trusteeship/contract:
Unit: RMB
| Name of the entruster/contractee | Name of the entrustee/ contractor | Type | Start date | Due date | Pricing basis | Income recognized in the Reporting Period |
| N/A |
Notes to connected trusteeship/contract: N/ALists of entrust/contractee
Unit: RMB
| Name of the entruster/contractee | Name of the entrustee/ contractor | Type | Start date | Due date | Pricing basis | Income recognized in the Reporting Period |
| N/A |
Notes to entrust/contractee: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
(3) Information on Connected Lease
The Company served as the lessor:
Unit: RMB
| Name of lessee | Type of assets leased | The lease income confirmed in the Reporting Period | The lease income confirmed in the same period of last year |
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Investment properties | 1,741,177.00 | 102,491.00 |
| Other related parties | Investment properties | 532,189.00 | 573,156.00 |
The Company served as the lessee:
Unit: RMB
| Name of lessor | Type of assets leased | Rental expenses of short-term lease simplified treated and low-value asset lease (if applicable) | Variable lease payments not included in the measurement of lease liabilities (if applicable) | Paid rent | Income expense of lease liabilities undertaken | Increased right-of-use assets | |||||
| Reporting Period | The same period of last year | Reporting Period | The same period of last year | Reporting Period | The same period of last year | Reporting Period | The same period of last year | Reporting Period | The same period of last year | ||
| Beijing Electronics Holding Co., Ltd and its affiliated companies | Fixed assets | 0.00 | 1,678.00 | 0.00 | 0.00 | 1,254,182.00 | 1,254,182.00 | 146,784.00 | 146,784.00 | 0.00 | 0.00 |
| Other related parties | Fixed assets | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
Notes to connected lease: N/A
(4) Connected Guarantee
The Company served as the guarantee
Unit: RMB
| Secured party | Amount | Start date | Due date | Whether completely performed |
| N/A |
The Company served as the secured party
Unit: RMB
| Guarantee | Amount | Start date | Due date | Whether completely performed |
| N/A |
Notes to connected guarantee: N/A
BOE Technology Group Co., Ltd. Interim Report 2022
(5) Interbank Borrowing and Lending of Capital by Connected Party
Unit: RMB
| Name of related party | Amount of funding | Inception date | Maturity date | Note |
| Funds received | ||||
| N/A | ||||
| Funds provided | ||||
| N/A | ||||
(6) Assets Transfer and Debt Restructuring of Connected Party
Unit: RMB
| Name of related party | Nature of transaction | Reporting Period | Same period of last year |
| N/A |
(7) Remuneration for Key Management Personnel
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Remuneration of key management personnel | 70,157,777.00 | 69,055,577.00 |
(8) Other Connected Transactions
During the Reporting Period, the Company conducted the normal commercial deposit and loan business with China Minsheng BankingCorporation Limited. Specifically, the interest income from bank deposits was RMB9,243,785.00 and interest expenses from loansstood at RMB12,943,979.00.
6. Receivables from and Payables to Related Parties
(1) Accounts Receivable
Unit: RMB
| Item | Name of related party | Ending balance | Beginning balance | ||
| Book value | Provision for impairment | Book value | Provision for impairment | ||
| Accounts receivable | Beijing Electronics Holding Co., Ltd and its affiliated companies | 165,183,994.00 | 2,513.00 | 39,312,053.00 | 2,300.00 |
| Contract assets | Beijing Electronics Holding Co., Ltd and its affiliated companies | 122,743.00 | 0.00 | 122,743.00 | 0.00 |
| Other receivables | Beijing Electronics Holding Co., Ltd and its affiliated companies | 1,471,308.00 | 0.00 | 1,712,918.00 | 0.00 |
| Prepayments | Beijing Electronics Holding Co., Ltd and its affiliated companies | 1,828,134.00 | 0.00 | 1,046,184.00 | 0.00 |
| Accounts receivable | Other related parties | 65,379,708.00 | 4,881,906.00 | 49,642,856.00 | 4,881,231.00 |
| Contract assets | Other related parties | 513,430.00 | 0.00 | 0.00 | 0.00 |
| Other receivables | Other related parties | 345,269.00 | 0.00 | 188,859.00 | 0.00 |
| Prepayments | Other related parties | 200,343.00 | 0.00 | 71,961.00 | 0.00 |
(2) Accounts Payable
Unit: RMB
| Item | Name of related party | Ending carrying balance | Beginning carrying balance |
| Accounts payable | Beijing Electronics Holding Co., Ltd and its affiliated companies | 43,813,357.00 | 62,722,051.00 |
| Other payables | Beijing Electronics Holding Co., Ltd and its affiliated companies | 174,798,763.00 | 171,671,859.00 |
| Advance payments received | Beijing Electronics Holding Co., Ltd and its affiliated companies | 38,431.00 | 803,401.00 |
| Contract liabilities | Beijing Electronics Holding Co., Ltd and its affiliated companies | 8,775.00 | 8,033.00 |
| Accounts payable | Other related parties | 96,565,768.00 | 79,835,056.00 |
| Other payables | Other related parties | 6,509,536.00 | 6,515,280.00 |
| Advance payments received | Other related parties | 153,300.00 | 158,405.00 |
| Contract liabilities | Other related parties | 337,784.00 | 3,709,467.00 |
7. Commitments of the Related Parties
As at the balance sheet date, the commitments of the related parties, which are signed but not listed in financial statement, are for theprocurement of equipment. The amount in the current period was RMB16,594,169.00, as compared with RMB182,785,156.00 in theprevious period.
8. Other
N/A
XIII. Share-based Payments
1. Overview of Share-based Payments
? Applicable □ Not applicable
Unit: RMB
| The total amount of equity instruments granted to the Company during the Reporting Period | 0.00 |
| The total amount of equity instruments exercised by the Company during the Reporting Period | 0.00 |
| The total amount of equity instruments of the Company that expire during the Reporting Period | 0.00 |
| Scope of the exercise price of outstanding stock options of the Company at the end of the Reporting Period and remaining contract term | -- |
| Scope of the exercise price of other outstanding equity instruments of the Company at the end of the Reporting Period and remaining contract term | -- |
Other notes:
On 17 November 2020, the General Meeting of the Company approved the implementation of share options and restricted shareincentive plans since 2020. The shares for the share options and restricted share incentive plans are from the Company's Renminbi A-share ordinary shares repurchased from the secondary market.
Vesting plans of share options and restricted share incentive plans are presented as follows:
(1) Share option incentive plan
The share option incentive plan is classified into initial grant and reserved grant. The initial grant date was 21 December 2020, and theimplementation was completed on 25 December 2020. The actual number of grantees was 1,988, with a number of grants of596,229,700 shares; the implementation was completed on 22 October 2021. The actual number of grantees was 110, with a numberof grants of 33,000,000 shares.The share options are exercised in three phases after 24 months from the grant date. The exercise ratios for each phase are 34%, 33%,and 33%, respectively. The corresponding exercise dates are 2 years, 3 years, and 4 years from the grant date.The fair value of equity instruments at the grant date is determined based on the difference between the assessed fair value of theexercisable share options at each grant date and the subscription price in RMB (First grant: RMB1.68/share, RMB1.93/share andRMB2.09/share, respectively; reserved grant: RMB1.70/share, RMB2.02/share and RMB2.17/share, respectively).When the Company's performance meets the corresponding criteria, the proportion of exercisable rights of the above-mentioned shareoptions is determined based on the business performance of the incentive object's operation and the contribution value of the incentiveobject. In accordance with the plan, the Company will deregister the current exercisable shares of the options obtained by the incentiveobjects if the exercise criteria stipulated in this plan are not met.
(2) Restricted share incentive plan
The grant date of restricted share incentive plan was 21 December 2020, and the implementation was completed on 29 December 2020.The actual number of grantees was 793, with a number of grants of 321,813,800 share.The lock-up periods of the restricted shares are 24, 36 and 48 months from the grant date. During the lock-up period, restricted sharesgranted to the incentive object under this plan shall not be transferred, used for guarantee or debt repayment before the lock-up release.Lock-up restricted shares are released in three phases after 24 months from the grant date. The release ratios for each phase are 34%,33%, and 33%, respectively. The corresponding release dates are 2 years, 3 years, and 4 years from the grant date. The actual numberreleased shall be based on the performance assessment result in the previous year.The fair value of equity instruments at the grant date is determined based on the difference between the fair value of shares at the grantdate and the subscription price at RMB2.68/share.When the Company's performance meets the corresponding criteria, the release proportion of the above-mentioned restricted shares isdetermined based on the business performance of the incentive object's operation and the contribution value of the incentive object.The Company will repurchase the locked restricted shares at the granted price of the incentive objects if the release criteria stipulatedin this plan are not met, and the incentive object shall not release the restricted shares for the current period.
2. Equity-settled Share-based Payments
? Applicable □ Not applicable
Unit: RMB
| Method for determining the fair value of equity instruments at the grant date | Share option: The fair value of equity instruments at the grant date is determined based on the difference between the assessed fair value of the exercisable share options at each grant date and the subscription price in RMB (First: RMB1.68/share, RMB1.93/share and RMB2.09/share, respectively; Second: RMB1.70/share, RMB2.02/share and RMB2.17/share, respectively). Restricted shares: The fair value of equity instruments at the grant date is determined based on the difference between the fair value of shares at the grant date and the subscription price at RMB2.68/share. |
| Basis of determining the number of equity instruments | At each balance sheet date during the vesting period, the best |
| expected to vest | estimation is made according to the latest information, such as the number of employees who are granted options and the completion of performance indicators, and the number of equity instruments expected to vest is revised accordingly. On the vesting date, the estimated number is equal to the number of equity instruments that are ultimately vested. |
| Causes for material difference between the current estimate and the previous estimate | N/A |
| Payment of the cumulative amount included in capital reserves with equity-settled shares | 920,416,425.00 |
| Total costs recognized by equity-settled share-based payment in the Reporting Period | 326,069,814.00 |
Other notes:
N/A
3. Cash-settled Share-based Payments
□Applicable ? Not applicable
4. Modification and Termination of Share-based Payments
N/A
5. Others
N/AXIV Commitments and Contingency
1. Significant commitments
Significant commitments on the balance sheet dateUnit: RMB
| The Group | 30 June 2022 | 31 December 2021 |
| Outward investment contract signed but not performed or not performed fully | 32,128,069,883.00 | 36,353,906,810.00 |
| Outward investment contract authorized but contract not signed | 89,076,750,923.00 | 84,007,549,386.00 |
| Total | 121,204,820,806.00 | 120,361,456,196.00 |
Unit: RMB
| The Group | 30 June 2022 | 31 December 2021 |
| Outward investment contract signed but not performed or not performed fully | 26,625,505,707.00 | 25,226,123,138.00 |
| Outward investment contract authorized but contract not signed | 0.00 | 0.00 |
| Total | 26,625,505,707.00 | 25,226,123,138.00 |
2. Contingency
(1) Significant Contingency on the Balance Sheet Date
N/A
(2) Explanations Should Also Be Given when there Was No Significant Contingency to DiscloseThere was no significant contingency to disclose.
3. Other
N/AXV Other Significant Events
1. Debt Restructuring
N/A
2. Assets Replacement
(1) Replacement of Non-monetary Assets
N/A
(2) Replacement of Other Assets
N/A
3. Pension Plans
In order to ensure and improve the living standards of BOE retirees and put in place a multi-layer old-age security system and a long-term talent retaining mechanism, as per China’s relevant policies and regulations, BOE has established the annuity programme sinceJanuary 2014. The annuity fund consists of the contributions by the Company (paid as per the government’s regulations according tothe applicable taxation policy), the contributions by employees (deducted by the Company from their salaries according to theapplicable taxation policy) and the returns on investment by the fund (operated by the relevant government department according tothe investment principle of high security and moderate income).
4. Segment Information
(1) Recognition Basis and Accounting Policies of Reportable Segment
(a) Display business — The Display Devices business offers integrated design and manufacturing services for devices, and is committedto providing interface devices applying TFT-LCD, AMOLED, Microdisplay and other technologies, focusing on providing customerswith high-quality display devices for smartphones, tablet PCs, laptops, monitors, TVs, vehicle-mounted, electronic shelf label (ESL),
industrial control, household medical applications, applications on wearable devices, whiteboards, tiled display screens, commercialdevices, VR/AR devices, etc.(b) Internet of Things (IoT) innovation business — The IoT Innovation business offers integrated design and manufacturing servicesfor system solutions, and provides customers with competitive smart terminal products for TVs, monitors, laptops, tablets, low-powerdevices, IoT, 3D display, etc. Backed by AI and big data technologies, it focuses on products and services combining hardware andsoftware, providing integrated IoT solutions for segments including smart industrial parks, smart finance, smart government affairs andtransportation, visual arts, smart energy, all-in-one machines, etc.(c) Sensor and application solutions — The Sensor and Solution business offers integrated design and manufacturing services forsystem solutions, focuses on medical biological segment, transportation and construction, consumer electronics, microwavecommunications, industrial sensors and other fields, and provides customers with design and manufacturing of sensor devices andsystem solution services, with specific products and solutions including back plates for flat panel X-ray detectors (FPXD), digitalmicrofluidic chips, intelligent PDLC glass and PDLC system solutions, fingerprint identification sensors and systems, as well asindustrial sensors and solutions, among others.(d) MLED — MLED business renders Mini-LED backlight products with high reliability and high partition of dimming for LCD ofmobile phones, tablet PCs, laptops, monitors, TVs, vehicles, wearable devices, etc., as well as Mini/Micro-LED display products withhigh brightness, high reliability and high contrast for segment markets of outdoor, commercial, transparent, specialized and otherdisplays. All these products are designed and manufactured in an integrated manner.(e) Smart medicine and engineering — The Smart Medical Engineering business adopts the professional service model to combinetechnologies with medicine and integrate medicine and engineering with innovation, so as to provide families, communities andhospitals with the four major human-centered services of health management, health technology, digital hospital, and technologyservices. It connects testing equipment, healthcare workers and customers through the health IoT platform to build a smart healthmanagement ecosystem where customers enjoy health services including prevention, treatment, therapy and nursing.(f) Others — Other service mainly includes technical development service and patent maintenance service.The main reason to separate the segments is that the Group independently manages the display business, IoT innovation business,sensor and application solutions, MLED and smart medicine and engineering and other businesses. As these business segmentsmanufacture and sell different products, apply different manufacturing processes and specify in gross profit, the business segments aremanaged independently. The management evaluates the performance and allocates resources according to the profit of each businesssegment and does not take financing cost and investment income into account.
BOE Technology Group Co., Ltd. Interim Report 2022
(2) The Financial Information of Reportable Segment
Unit: RMB
| Item | Display business | Smart systems innovation business | Smart medicine & engineering integration business | MLED business | Sensor and application solutions business | Others and offset | Total |
| Operating income | 82,641,917,513.00 | 13,490,882,043.00 | 103,681,585.00 | 411,634,393.00 | 1,044,238,829.00 | -6,082,112,494.00 | 91,610,241,869.00 |
| Operating costs | 69,884,436,495.00 | 12,263,288,192.00 | 83,170,915.00 | 422,333,369.00 | 848,276,386.00 | -9,002,436,995.00 | 74,499,068,362.00 |
(3) If There Was no Reportable Segment, or the Total Amount of Assets and Liabilities of Each Reportable Segment Could not Be Reported, Relevant ReasonsShall Be Clearly Stated
The Company develops various businesses by using common assets and liabilities and therefore, it could not analyze assets and liabilities of each reportable segment respectively by business.
(4) Other Notes
N/A
5. Other Important Transactions and Matters Impacting Investors' Decision-making
N/A
6. Other
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
XVI Notes of Main Items in the Financial Statements of the Company as the Parent
1. Accounts Receivable
(1) Accounts Receivable Disclosed by Category
Unit: RMB
| Category | Ending balance | Beginning balance | ||||||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |||||
| Amount | Percentage | Amount | Withdrawal proportion | Amount | Percentage | Amount | Withdrawal proportion | |||
| Accounts receivable for which bad debt provision accrued separately | 4,774,903,423.00 | 99.99% | 4,090,353.00 | 0.09% | 4,770,813,070.00 | 4,832,284,906.00 | 99.98% | 4,090,353.00 | 0.08% | 4,828,194,553.00 |
| Of which: | ||||||||||
| Accounts receivable for which bad debt provision accrued by group | 540,349.00 | 0.01% | 46,175.00 | 8.55% | 494,174.00 | 835,021.00 | 0.02% | 174,299.00 | 20.87% | 660,722.00 |
| Of which: | ||||||||||
| Total | 4,775,443,772.00 | 100.00% | 4,136,528.00 | 0.09% | 4,771,307,244.00 | 4,833,119,927.00 | 100.00% | 4,264,652.00 | 0.09% | 4,828,855,275.00 |
Bad debt provision withdrawn separately:
Unit: RMB
| Name | Ending balance | |||
| Book value | Provision for impairment | Withdrawal proportion | Reason for withdrawal | |
| Customers with high credit risks | 4,090,353.00 | 4,090,353.00 | 100.00% | N/A |
| Customers with low credit risks | 4,770,813,070.00 | 0.00 | 0.00% | N/A |
| Total | 4,774,903,423.00 | 4,090,353.00 | ||
Bad debt provision accrued by group:
Unit: RMB
| Name | Ending balance | ||
| Book value | Provision for impairment | Withdrawal proportion | |
| Customers with moderate credit risks | 540,349.00 | 46,175.00 | 8.55% |
| Total | 540,349.00 | 46,175.00 | |
Notes of the basis of recognizing the group:
| Customer group | Basis |
| Customers with high credit risk | With special matters, litigations or the deterioration of customers’ credit status |
Customers with low credit risk
| Customers with low credit risk | Banks, insurance companies, large state-owned enterprises and public institutions |
| Customers with moderate credit risk | Customers not included in Groups above |
Please refer to the relevant information of disclosure of bad debt provision of other accounts receivable if adopting the general mode of expected credit loss to withdraw bad debt provision ofaccounts receivable.? Applicable □ Not applicableAt all times the Group measures the impairment loss for accounts receivable at an amount equal to lifetime ECLs, and the ECLs are based on the number of overdue days and the expected lossrate. According to the Group’s historical experience, different loss models are applicable to different customer groups.Disclosed by aging
Unit: RMB
| Ageing | Ending balance |
| Within 1 year (including 1 year） | 4,368,130,081.00 |
| 1 to 2 years | 182,281,809.00 |
| 2 to 3 years | 209,571,841.00 |
| Over 3 years | 15,460,041.00 |
| 3 to 4 years | 14,236,057.00 |
| 4 to 5 years | 0.00 |
| More than 5 years | 1,223,984.00 |
| Total | 4,775,443,772.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
(2) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
Information of withdrawal of bad debt provision:
Unit: RMB
| Category | Beginning balance | Changes in the Reporting Period | Ending balance | |||
| Withdrawal | Reversal or recovery | Write-off | Others | |||
| Bad debt of accounts receivable | 4,264,652.00 | 24,021.00 | -152,145.00 | 0.00 | 0.00 | 4,136,528.00 |
| Total | 4,264,652.00 | 24,021.00 | -152,145.00 | 0.00 | 0.00 | 4,136,528.00 |
Of which bad debt provision reversed or recovered with significant amount:
Unit: RMB
| Subsidiary | Amount reversed or recovered | Way of recovery |
| N/A |
(3) Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
| Item | Amount verified |
| Accounts receivable with actual verification | 0.00 |
Of which the verification of significant accounts receivable:
Unit: RMB
| Subsidiary | Nature | Amount verified | Reason for verification | Verification procedures performed | Whether generated from connected transactions |
| N/A |
Notes:
N/A
(4) Top 5 Accounts Receivable in Ending Balance Collected according to the Arrears Party
Unit: RMB
| Subsidiary | Ending balance of accounts receivable | Proportion to the total ending balance of accounts receivable | Ending balance of bad debt provisions |
| Sum of top 5 accounts receivable | 4,297,098,823.00 | 89.98% | 0.00 |
| Total | 4,297,098,823.00 | 89.98% |
(5) Accounts Receivable Derecognized Due to the Transfer of Financial AssetsN/A
(6) The Amount of the Assets and Liabilities Formed by the Transfer and the Continued Involvement ofAccounts ReceivableN/AOther notes: N/A
2. Other Accounts Receivable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Interest receivable | 0.00 | 0.00 |
| Dividends receivable | 919,429,466.00 | 219,715,564.00 |
| Other receivables | 20,924,670,100.00 | 15,230,115,046.00 |
| Total | 21,844,099,566.00 | 15,449,830,610.00 |
(1) Interest Receivable
1) Category of Interest Receivable
Unit: RMB
| Item | Ending balance | Beginning balance |
| Fixed time deposit | 0.00 | 0.00 |
| Entrusted loan | 0.00 | 0.00 |
| Bond investment | 0.00 | 0.00 |
| Total | 0.00 | 0.00 |
2) Significant Overdue Interest
Unit: RMB
| Borrower | Ending balance | Overdue time | Reason | Whether occurred impairment and its judgment basis |
| N/A |
Other notes:
N/A
3) Withdrawal of Bad Debt Provision
□Applicable ? Not applicable
(2) Dividend Receivable
1) Category of Dividend Receivable
Unit: RMB
| Item(or investee) | Ending balance | Beginning balance |
| Beijing?Matsushita Color CRT Co., Ltd. (BMCC) | 214,240,861.00 | 214,240,861.00 |
| BOE (Korea) Co., Ltd. | 5,265,528.00 | 5,474,703.00 |
| Hefei BOE Optoelectronics Technology Co., Ltd. | 300,000,000.00 | 0.00 |
| Beijing BOE Display Technology Co., Ltd. | 100,000,000.00 | 0.00 |
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | 299,923,077.00 | 0.00 |
| Total | 919,429,466.00 | 219,715,564.00 |
2) Significant Dividend Receivable Aging over One Year
Unit: RMB
| Item(or investee) | Ending balance | Ageing | Unrecovered reason | Whether occurred impairment and its judgment basis |
| N/A |
3) Withdrawal of Bad Debt Provision
□Applicable ? Not applicable
Other notes:
N/A
(3) Other Accounts Receivable
1) Other Account Receivable Classified by Account Nature
Unit: RMB
| Nature of other receivables | Ending carrying balance | Beginning carrying balance |
| Transaction amount | 20,734,630,143.00 | 15,065,482,829.00 |
| Others | 197,606,294.00 | 171,434,127.00 |
| Total | 20,932,236,437.00 | 15,236,916,956.00 |
2) Withdrawal of Bad Debt Provision
Unit: RMB
| Provision for impairment | Phase I | Phase II | Phase III | Total |
| Expected credit losses in the next 12 months | Expected credit losses for the whole existence period (no credit impairment) | Expected credit losses for the whole existence period (with credit impairment) | ||
| Balance of 1 January 2022 | 0.00 | 0.00 | 6,801,910.00 | 6,801,910.00 |
| Balance of 1 January 2022 in the current period | ||||
| --Transferred to the Phase II | 0.00 | 0.00 | 0.00 | 0.00 |
| -Transfer to Third stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to Second stage | 0.00 | 0.00 | 0.00 | 0.00 |
| -Reverse to First stage | 0.00 | 0.00 | 0.00 | 0.00 |
| Withdrawal of the current period | 0.00 | 0.00 | 764,427.00 | 764,427.00 |
| Reversal of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Write-offs of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Verification of the current period | 0.00 | 0.00 | 0.00 | 0.00 |
| Other changes | 0.00 | 0.00 | 0.00 | 0.00 |
| Balance of 30 June 2022 | 0.00 | 0.00 | 7,566,337.00 | 7,566,337.00 |
Changes of carrying amount with significant amount changed of loss provision in the current period
□Applicable ? Not applicable
Disclosed by aging
Unit: RMB
| Ageing | Ending balance |
| Within 1 year (including 1 year） | 12,657,995,654.00 |
| 1 to 2 years | 6,485,379,818.00 |
| 2 to 3 years | 1,722,373,288.00 |
| Over 3 years | 66,487,677.00 |
| 3 to 4 years | 37,871,169.00 |
| 4 to 5 years | 5,514,186.00 |
| More than 5 years | 23,102,322.00 |
| Total | 20,932,236,437.00 |
3) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
Information of withdrawal of bad debt provision:
Unit: RMB
| Category | Beginning balance | Changes in the Reporting Period | Ending balance | |||
| Withdrawal | Reversal or recovery | Write-off | Others | |||
| Bad debt provisions for other receivables | 6,801,910.00 | 764,427.00 | 0.00 | 0.00 | 0.00 | 7,566,337.00 |
| Total | 6,801,910.00 | 764,427.00 | 0.00 | 0.00 | 0.00 | 7,566,337.00 |
N/AOf which bad debt provision reversed or recovered with significant amount:
Unit: RMB
| Subsidiary | Amount reversed or recovered | Way of recovery |
| N/A |
N/A
4) Other Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
| Item | Amount verified |
| N/A |
Of which the verification of significant other accounts receivable:
Unit: RMB
| Subsidiary | Nature | Amount verified | Reason for verification | Verification procedures performed | Whether generated from connected transactions |
| N/A |
Notes of verification of other receivables: N/A
5) Top 5 Other Accounts Receivable in Ending Balance Collected according to the Arrears Party
Unit: RMB
| Subsidiary | Nature | Ending balance | Ageing | Proportion to the total ending balance of other receivables | Ending balance of bad debt provisions |
| Customer A | Transaction amount | 4,643,582,801.00 | Within 1 year (including 1 year), 1 to 2 years, 2 to 3 years | 22.18% | 0.00 |
| Customer B | Transaction amount | 3,174,737,849.00 | Within 1 year (including 1 year), 1 to 2 years, 2 to 3 years | 15.17% | 0.00 |
| Customer C | Transaction amount | 2,895,947,531.00 | Within 1 year (including 1 year), 1 to 2 years, 2 to 3 years, 3 to 4 fours and 4 to 5 years | 13.83% | 0.00 |
| Customer D | Transaction amount | 2,411,352,447.00 | Within 1 year (including 1 year), 1 to 2 years, 2 to 3 years, and 3 to 4 fours | 11.52% | 0.00 |
| Customer E | Transaction amount | 2,027,632,475.00 | Within 1 year (including 1 year), 1 to 2 years, 2 to 3 years | 9.69% | 0.00 |
| Total | 15,153,253,103.00 | 72.39% | 0.00 |
6) Accounts Receivable Involving Government Grants
Unit: RMB
| Subsidiary | Project of government grants | Ending balance | Ending aging | Estimated recovering time, amount and basis |
| N/A |
N/A
7) Other Accounts Receivable Derecognized Due to the Transfer of Financial Assets
N/A
8) Amount of Assets and Liabilities Due to the Transfer of Other Account Receivable and Continued InvolvementN/AOther notes:
N/A
BOE Technology Group Co., Ltd. Interim Report 2022
3. Long-term Equity Investment
Unit: RMB
| Item | Ending balance | Beginning balance | ||||
| Book value | Provision for impairment | Carrying amounts | Book value | Provision for impairment | Carrying amounts | |
| Investment to subsidiaries | 209,995,888,482.00 | 32,000,000.00 | 209,963,888,482.00 | 207,777,846,290.00 | 32,000,000.00 | 207,745,846,290.00 |
| Investment to joint ventures and associated enterprises | 3,411,891,317.00 | 0.00 | 3,411,891,317.00 | 3,199,974,945.00 | 0.00 | 3,199,974,945.00 |
| Total | 213,407,779,799.00 | 32,000,000.00 | 213,375,779,799.00 | 210,977,821,235.00 | 32,000,000.00 | 210,945,821,235.00 |
(1) Investment to Subsidiaries
Unit: RMB
| Investee | Beginning balance (carrying value) | Increase/decrease | Ending balance (carrying value) | Ending balance for impairment provisions | |||
| Additional investments | Reduced investments | Impairment provisions | Others | ||||
| BOE Semi-conductor Co., Ltd. | 9,450,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 9,450,000.00 | 0.00 |
| Beijing Yinghe Century Co., Ltd. | 342,184,564.00 | 0.00 | 0.00 | 0.00 | 4,565,664.00 | 346,750,228.00 | 0.00 |
| Beijing BOE Land Co., Ltd. | 8,568,773.00 | 0.00 | 0.00 | 0.00 | 407,340.00 | 8,976,113.00 | 0.00 |
| BOE (Heibei) Mobile Display Technology Co., Ltd. | 1,354,940,194.00 | 0.00 | 0.00 | 0.00 | 600,036.00 | 1,355,540,230.00 | 0.00 |
| BOE Hyundai LCD (Beijing) Display Technology Co., Ltd. | 36,624,841.00 | 0.00 | 0.00 | 0.00 | 2,395,728.00 | 39,020,569.00 | 0.00 |
| Beijing BOE Vacuum Electronics Co., Ltd. | 19,577,537.00 | 0.00 | 0.00 | 0.00 | 159,342.00 | 19,736,879.00 | 0.00 |
| Beijing BOE Vacuum Technology Co., Ltd. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 32,000,000.00 |
| Beijing BOE Optoelectronics Technology Co., Ltd. | 4,198,742,954.00 | 0.00 | 4,172,288,084.00 | 0.00 | 6,816,222.00 | 33,271,092.00 | 0.00 |
| BOE Optical Science and Technology Co., Ltd. | 662,168,271.00 | 0.00 | 0.00 | 0.00 | 2,720,964.00 | 664,889,235.00 | 0.00 |
| Beijing BOE Sales Co., Ltd. | 31,014,071.00 | 0.00 | 0.00 | 0.00 | 250,086.00 | 31,264,157.00 | 0.00 |
| Chengdu BOE Optoelectronics Technology Co., Ltd. | 25,055,603,860.00 | 0.00 | 0.00 | 0.00 | 24,089,190.00 | 25,079,693,050.00 | 0.00 |
| BOE (Korea) Co., Ltd. | 3,900,987.00 | 0.00 | 0.00 | 0.00 | 1,608,000.00 | 5,508,987.00 | 0.00 |
| BOE Optoelectronics Holding Co., Ltd. | 3,211,961,538.00 | 0.00 | 0.00 | 0.00 | 0.00 | 3,211,961,538.00 | 0.00 |
| Beijing BOE Display | 17,520,168,739.00 | 0.00 | 0.00 | 0.00 | 57,491,466.00 | 17,577,660,205.00 | 0.00 |
| Technology Co., Ltd. | |||||||
| Beijing BOE Energy Technology Co., Ltd. | 854,286,893.00 | 0.00 | 0.00 | 0.00 | 1,942,704.00 | 856,229,597.00 | 0.00 |
| Beijing BOE Multimedia Technology Co., Ltd. | 400,000,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 400,000,000.00 | 0.00 |
| Hefei BOE Optoelectronics Technology Co., Ltd. | 9,032,079,808.00 | 0.00 | 0.00 | 0.00 | 13,863,840.00 | 9,045,943,648.00 | 0.00 |
| Beijing Matsushita Colour Innovation Co., Ltd. | 2,527,690.00 | 0.00 | 0.00 | 0.00 | 1,172,250.00 | 3,699,940.00 | 0.00 |
| Beijing BOE Vision Electronic Technology Co., Ltd. | 4,094,913,328.00 | 330,595,800.00 | 0.00 | 0.00 | 1,296,498.00 | 4,426,805,626.00 | 0.00 |
| Beijing BOE Life Technology Co., Ltd. | 10,000,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 10,000,000.00 | 0.00 |
| Beijing Zhongxiangying Technologies Co., Ltd. | 100,578,919.00 | 0.00 | 0.00 | 0.00 | 424,452.00 | 101,003,371.00 | 0.00 |
| Ordos Yuansheng Optoelectronics Co., Ltd. | 11,808,874,625.00 | 0.00 | 0.00 | 0.00 | 2,428,434.00 | 11,811,303,059.00 | 0.00 |
| Hefei Xinsheng Optoelectronics Technology Co., Ltd. | 20,122,733,179.00 | 0.00 | 0.00 | 0.00 | 15,196,494.00 | 20,137,929,673.00 | 0.00 |
| Chongqing BOE Optoelectronics Technology Co., Ltd. | 19,584,823,404.00 | 0.00 | 0.00 | 0.00 | 7,117,440.00 | 19,591,940,844.00 | 0.00 |
| Hefei BOE Display Technology Co., Ltd. | 2,020,815,508.00 | 0.00 | 0.00 | 0.00 | 9,277,638.00 | 2,030,093,146.00 | 0.00 |
| Fuzhou BOE Optoelectronics Technology Co., Ltd. | 14,687,793,781.00 | 0.00 | 0.00 | 0.00 | 6,065,382.00 | 14,693,859,163.00 | 0.00 |
| BOE Healthcare Investment & Management Co., Ltd. | 7,283,180,411.00 | 220,000,000.00 | 0.00 | 0.00 | 398,886.00 | 7,503,579,297.00 | 0.00 |
| BOE Wisdom IOT Technology Co., Ltd. | 13,441,936.00 | 0.00 | 0.00 | 0.00 | 6,865,536.00 | 20,307,472.00 | 0.00 |
| Hefei BOE Zhuoyin Technology Co., Ltd. | 602,251,996.00 | 0.00 | 0.00 | 0.00 | 1,095,558.00 | 603,347,554.00 | 0.00 |
| Beijing BOE Technology Development Co., Ltd. | 1,724,087.00 | 0.00 | 0.00 | 0.00 | 352,266.00 | 2,076,353.00 | 0.00 |
| Yunnan Chuangshijie Optoelectronics Technology Co., Ltd. | 1,514,944,989.00 | 0.00 | 0.00 | 0.00 | 1,746,552.00 | 1,516,691,541.00 | 0.00 |
| Beijing BOE Sensor Technology Co., Ltd. | 221,944,202.00 | 4,213,288,084.00 | 0.00 | 0.00 | 5,802,222.00 | 4,441,034,508.00 | 0.00 |
| Mianyang BOE Optoelectronics Co., Ltd. | 22,329,872,372.00 | 0.00 | 0.00 | 0.00 | 6,216,570.00 | 22,336,088,942.00 | 0.00 |
| Wuhan BOE Optoelectronics Technology Co., Ltd. | 12,511,267,959.00 | 0.00 | 0.00 | 0.00 | 6,342,084.00 | 12,517,610,043.00 | 0.00 |
| Chongqing BOE Display | 9,085,662,024.00 | 218,750,000.00 | 0.00 | 0.00 | 3,651,234.00 | 9,308,063,258.00 | 0.00 |
| Technology Co., Ltd. | |||||||
| Fuzhou BOE Display Technology Co., Ltd. | 22,454,088.00 | 0.00 | 0.00 | 0.00 | 170,712.00 | 22,624,800.00 | 0.00 |
| Hefei BOE Xingyu Technology Co., Ltd. | 335,731,430.00 | 169,364,156.00 | 0.00 | 0.00 | 568,356.00 | 505,663,942.00 | 0.00 |
| BOE Innovation Investment Co., Ltd. | 2,964,000,000.00 | 234,000,000.00 | 0.00 | 0.00 | 85,356.00 | 3,198,085,356.00 | 0.00 |
| BOE Education Technology Co., Ltd. | 27,881,265.00 | 0.00 | 0.00 | 0.00 | 1,316,358.00 | 29,197,623.00 | 0.00 |
| BOE Smart Technology Co., Ltd. | 1,822,000,000.00 | 250,000,000.00 | 0.00 | 0.00 | 0.00 | 2,072,000,000.00 | 0.00 |
| Nanjing BOE Display Technology Co., Ltd. | 5,591,893,772.00 | 0.00 | 0.00 | 0.00 | 3,244,668.00 | 5,595,138,440.00 | 0.00 |
| Chengdu CEC Panda Display Technology Co., Ltd. | 7,550,673,783.00 | 0.00 | 0.00 | 0.00 | 3,114,414.00 | 7,553,788,197.00 | 0.00 |
| Dongfang Chengqi (Beijing) Business Technology Co., Ltd. | 8,000,000.00 | 2,000,000.00 | 0.00 | 0.00 | 1,691,742.00 | 11,691,742.00 | 0.00 |
| BOE Mled Technology Co., Ltd. | 600,366,251.00 | 455,000,000.00 | 0.00 | 0.00 | 5,834,310.00 | 1,061,200,561.00 | 0.00 |
| BOE Environmental Energy Technology Co., Ltd. | 0.00 | 50,000,000.00 | 0.00 | 0.00 | 0.00 | 50,000,000.00 | 0.00 |
| Others* | 84,222,261.00 | 0.00 | 0.00 | 0.00 | 38,946,242.00 | 123,168,503.00 | 0.00 |
| Total | 207,745,846,290.00 | 6,142,998,040.00 | 4,172,288,084.00 | 0.00 | 247,332,236.00 | 209,963,888,482.00 | 32,000,000.00 |
(2) Investment to Joint Ventures and Associated Enterprises
Unit: RMB
| The investor | Beginning balance (carrying value) | Increase/decrease | Ending balance (carrying value) | Ending balance for impairment provisions | |||||||
| Additional investments | Reduced investments | Profit and loss on investments confirmed according to equity law | Adjustment of other comprehensive income | Other equity movements | Declared distribution of cash dividends or profits | Impairment provisions | Others | ||||
| I. Joint ventures | |||||||||||
| N/A | |||||||||||
| II. Associated enterprises | |||||||||||
| Beijing Nissin Electronics Precision Component | 2,013,138.00 | 0.00 | 0.00 | 858,488.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 2,871,626.00 | 0.00 |
| Co., Ltd. | |||||||||||
| Beijing Nittan Electronic Co., Ltd. | 77,596,241.00 | 0.00 | 0.00 | 475,086.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 78,071,327.00 | 0.00 |
| Beijing Infi-Hailin Venture Investment Co., Ltd. | 0.00 | 0.00 | 0.00 | 1,596,566.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 1,596,566.00 | 0.00 |
| Beijing Fly Hailin Investment Center (LLP) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Erdos BOE Energy Investment Co., Ltd. | 76,107,007.00 | 0.00 | 0.00 | -91,847.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 76,015,160.00 | 0.00 |
| TPV Display Technology (China) Limited | 28,459,837.00 | 0.00 | 0.00 | 479,181.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 28,939,018.00 | 0.00 |
| Beijing XindongNeng Investment Fund (LLP) | 2,088,917,867.00 | 0.00 | 129,798,594.00 | 396,305,719.00 | -15,049,881.00 | 0.00 | 0.00 | 0.00 | -63,058,137.00 | 2,277,316,974.00 | 0.00 |
| Beijing Xindongneng Investment Management Co., Ltd. | 8,640,494.00 | 0.00 | 0.00 | 1,630,439.00 | 0.00 | 0.00 | -2,000,000.00 | 0.00 | 0.00 | 8,270,933.00 | 0.00 |
| Shenzhen Yunyinggu Technology Co., Ltd. | 41,093,186.00 | 0.00 | 0.00 | 1,974,946.00 | 93,053.00 | 369,308.00 | 0.00 | 0.00 | 0.00 | 43,530,493.00 | 0.00 |
| Beijing Xloong Technologies Co., Ltd. | 21,091,552.00 | 0.00 | 0.00 | -274,258.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 20,817,294.00 | 0.00 |
| Beijing | 207,564,573.00 | 0.00 | 0.00 | 11,035,537.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 218,600,110.00 | 0.00 |
| Innovation Industry Investment Co., Ltd. | |||||||||||
| Beijing Electric Control Industry Investment Co., Ltd. | 231,777,557.00 | 0.00 | 0.00 | 1,835,865.00 | 4,743,127.00 | 0.00 | 0.00 | 0.00 | 0.00 | 238,356,549.00 | 0.00 |
| BOE Yiyun Science & Technology Co., Ltd. | 215,529,981.00 | 0.00 | 0.00 | 1,648,526.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 217,178,507.00 | 0.00 |
| Guoke BOE (Shanghai) Equity Investment Management Co., Ltd. | 1,183,512.00 | 0.00 | 0.00 | -856,752.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 326,760.00 | 0.00 |
| Chengdu BOE Automotive Electronics Co., Ltd. | 200,000,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 200,000,000.00 | 0.00 |
| Sub-total | 3,199,974,945.00 | 0.00 | 129,798,594.00 | 416,617,496.00 | -10,213,701.00 | 369,308.00 | -2,000,000.00 | 0.00 | -63,058,137.00 | 3,411,891,317.00 | 0.00 |
| Total | 3,199,974,945.00 | 0.00 | 129,798,594.00 | 416,617,496.00 | -10,213,701.00 | 369,308.00 | -2,000,000.00 | 0.00 | -63,058,137.00 | 3,411,891,317.00 | 0.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
(3) Other Notes
N/A
4. Operating Revenue and Cost of Sales
Unit: RMB
| Item | Reporting Period | Same period of last year | ||
| Income | Cost | Income | Cost | |
| Principal activities | 2,707,458,580.00 | 5,154,112.00 | 3,046,433,371.00 | 3,174,980.00 |
| Other operating activities | 5,353,456.00 | 127,110.00 | 10,053,772.00 | 2,565,504.00 |
| Total | 2,712,812,036.00 | 5,281,222.00 | 3,056,487,143.00 | 5,740,484.00 |
Relevant information of revenue
Unit: RMB
| Category of contracts | Segment 1 | Segment 2 | Total | |
| Types of products | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| By operating places | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| By types of market or customers | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| Types of contracts | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| By the time of transferring goods | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| By contract term | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| By marketing channel | 0.00 | 0.00 | 0.00 | |
| Of which: | ||||
| Total | 0.00 | 0.00 | 0.00 |
Information related to performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet wasRMB0.00 at the period-end.Information related to transaction value assigned to residual performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet wasRMB0.00 at the period-end, among which RMB0.00 was expected to be recognized in 0 year, RMB0.00 in 0 year and RMB0.00 in 0year.Other notes:
N/A
5. Investment Income
Unit: RMB
| Item | Reporting Period | Same period of last year |
| Income from long-term equity investments accounted for using cost method | 1,099,923,077.00 | 1,680,000,000.00 |
| Income from long-term equity investments accounted for using equity method | 416,617,496.00 | 13,838,703.00 |
| Investment income from disposal of long-term equity investments | 0.00 | 0.00 |
BOE Technology Group Co., Ltd. Interim Report 2022
| Investment income arising from holding of trading financial assets | 0.00 | 0.00 |
| Investment income from disposal of financial assets held for trading | 0.00 | 0.00 |
| Dividend income received from holding of other equity instrument investment | 206,210.00 | 3,554,579.00 |
| Gain from remeasurement of remaining equity interests to fair value upon the loss of control | 0.00 | 0.00 |
| Interest income of investment in debt obligations during holding period | 0.00 | 0.00 |
| Interest income of investment in other debt obligations during holding period | 0.00 | 0.00 |
| Investment income from disposal of investment in other debt obligations | 0.00 | 0.00 |
| Total | 1,516,746,783.00 | 1,697,393,282.00 |
6. Other
N/AXVII Supplementary Materials
1. Items and Amounts of Non-recurring Profit or Loss
? Applicable □ Not applicable
Unit: RMB
| Item | Amount | Note |
| Gains/losses on the disposal of non-current assets | -1,480,132.00 | N/A |
| Tax rebates, reductions and exemptions given with ultra vires approval or in lack of official approval documents | 0.00 | N/A |
| Government subsidies recognized in the current period, except for those acquired in the ordinary course of business or granted at certain quotas or amounts according to the government’s unified standards | 2,960,353,628.00 | N/A |
| Capital occupation charges on non-financial enterprises that are charged to current profit or loss | 0.00 | N/A |
| Gain equal to the amount by which investment costs for the Company to obtain subsidiaries, associates and joint ventures are lower than the Company’s enjoyable fair value of identifiable net assets of investees when making investments | 0.00 | N/A |
| Gain or loss on non-monetary asset swaps | 0.00 | N/A |
| Gain or loss on assets entrusted to other entities for investment or management | 0.00 | N/A |
| Allowance for asset impairments due to acts of God such as natural disasters | 0.00 | N/A |
| Gain or loss on debt restructuring | 0.00 | N/A |
| Restructuring costs in staff arrangement, integration, etc. | 0.00 | N/A |
| Gain or loss on the over-fair value amount as a result of transactions with distinctly unfair prices | 0.00 | N/A |
| Current profit or loss on subsidiaries obtained in business combinations involving enterprises under common control from the period-beginning to combination dates, net | 0.00 | N/A |
| Gain or loss on contingencies that do not arise in the Company’s ordinary course of business | 0.00 | N/A |
| Gain or loss on fair-value changes in held-for-trading financial assets and liabilities & income from disposal of held-for-trading financial assets and liabilities and available-for-sale financial assets (exclusive of the effective portion of hedges that arise in the Company’s ordinary course of business) | 122,322,990.00 | N/A |
| Reversed portions of impairment allowances for accounts receivable which are tested individually for impairment | 20,528,284.00 | N/A |
| Gain or loss on loan entrustments | 0.00 | N/A |
| Gain or loss on fair-value changes in investment property of which subsequent measurement is carried out using the fair value method | 0.00 | N/A |
| Effects of all adjustments required by taxation, accounting and other applicable laws and | 0.00 | N/A |
BOE Technology Group Co., Ltd. Interim Report 2022
| regulations on current profit or loss | ||
| Income from charges on entrusted management | 0.00 | N/A |
| Other non-operating income and expenses besides items above | 85,481,075.00 | N/A |
| Other items qualified as extraordinary gain and loss | 0.00 | N/A |
| Less: Income tax effects | 92,067,447.00 | N/A |
| Non-controlling interests effects | 738,932,753.00 | N/A |
| Total | 2,356,205,645.00 | -- |
Others that meets the definition of non-recurring gain/loss:
□Applicable ? Not applicable
No such cases in the Reporting Period.Explain the reasons if the Company classifies any extraordinary gain/loss item mentioned in the Explanatory Announcement No. 1 onInformation Disclosure for Companies Offering Their Securities to the Public—Non-recurring Gains and Losses as a recurrent gain/lossitem
□Applicable ? Not applicable
2. Return on Equity and Earnings Per Share
| Profit as of Reporting Period | Weighted average return on net assets | EPS (Yuan/share) | |
| Basic earnings per share (RMB/share) | Diluted earnings per share (RMB/share) | ||
| Net profit attributable to the Company’s ordinary equity shareholders | 4.80% | 0.166 | 0.166 |
| Net profit excluding extraordinary gain and loss attributable to the Company’s ordinary equity shareholders | 2.99% | 0.104 | 0.104 |
3. Differences between Accounting Data under Domestic and Overseas Accounting Standards
(1) Differences of Net Profit and Net Assets Disclosed in Financial Reports Prepared under International andChinese Accounting Standards
□Applicable ? Not applicable
(2) Differences of Net profit and Net assets Disclosed in Financial Reports Prepared under Overseas andChinese Accounting Standards
□Applicable ? Not applicable
(3) Explain Reasons for the Differences between Accounting Data under Domestic and Overseas AccountingStandards; for any Adjustment Made to the Difference Existing in the Data Audited by the Foreign AuditingAgent, Such Foreign Auditing Agent’s Name Shall Be Clearly StatedN/A
4. Other
N/A