Section IX Financial ReportingReport of the AuditorsConsolidated financial statements for the six months ended 30 June 2021 haven’tbeen audited.
CONSOLIDATED BALANCE SHEET
As at 30 June 2021
(Expressed in Renminbi Yuan)
ASSETS | Note V | 30 June 2021 | 31 December 2020 |
Current assets | |||
Cash and bank balances | 1 | 5,876,638,427.56 | 5,998,204,295.87 |
Notes receivable | 2 | 606,070,192.39 | 622,115,477.04 |
Accounts receivable | 3 | 17,761,176,449.25 | 13,799,971,014.22 |
Receivable financing | 4 | 345,906,887.55 | 1,404,987,700.38 |
Advances to suppliers | 5 | 615,602,916.31 | 480,313,574.71 |
Other receivables | 6 | 662,274,841.26 | 535,228,747.69 |
Incl: Dividend receivable | - | - | |
Inventories | 7 | 7,219,658,618.62 | 6,285,010,674.46 |
Contract Assets | 8 | 17,066,105.53 | 15,177,731.64 |
Other current assets | 9 | 101,585,930.05 | 121,082,863.45 |
Total current assets | 33,205,980,368.52 | 29,262,092,079.46 | |
Non-current assets | |||
Long-term equity investments | 10 | 2,427,605,792.21 | 2,287,019,627.99 |
Other equity instrument investment | 11 | 99,488,340.28 | 99,488,340.28 |
Other non-current financial assets | 12 | 117,974,908.51 | 120,972,350.24 |
Investment properties | 13 | 123,389,130.71 | 127,444,379.94 |
Fixed assets | 14 | 840,386,519.64 | 854,191,083.27 |
Construction in progress | 15 | 64,636,735.93 | 46,631,190.23 |
Right-of-use assets | 16 | 2,523,874,174.71 | 2,356,952,392.99 |
Intangible assets | 17 | 751,492,524.18 | 734,345,179.40 |
Goodwill | 18 | 2,932,001,316.63 | 2,747,375,281.11 |
Long-term prepaid expenses | 19 | 523,192,988.98 | 457,705,276.09 |
Deferred tax assets | 20 | 96,595,749.33 | 92,118,767.81 |
Other non-current assets | 21 | 484,259,854.32 | 408,197,522.84 |
Total non-current assets | 10,984,898,035.43 | 10,332,441,392.19 | |
Total assets | 44,190,878,403.95 | 39,594,533,471.65 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED BALANCE SHEET (Continued)
As at 30 June 2021
(Expressed in Renminbi Yuan)
LIABILITIES AND EQUITY | Note V | 30 June 2021 | 31 December 2020 |
Current liabilities | |||
Short-term borrowings | 22 | 4,632,933,904.39 | 1,612,187,020.12 |
Notes payable | 23 | 6,780,425,089.17 | 7,520,165,274.69 |
Accounts payable | 24 | 9,642,504,836.50 | 7,697,451,142.50 |
Receipts in advance | 25 | 14,868,097.97 | 12,352,466.64 |
Contract liabilities | 26 | 316,827,151.78 | 368,600,357.14 |
Employee benefits payable | 27 | 242,205,983.09 | 357,212,047.10 |
Tax payable | 28 | 298,201,588.13 | 316,867,149.16 |
Other payables | 29 | 1,531,899,017.87 | 1,599,166,881.14 |
Non-current liabilities due within one year | 30 | 798,170,618.10 | 748,732,059.89 |
Other current liabilities | 31 | 22,432,447.97 | 24,787,078.55 |
Total current liabilities | 24,280,468,734.97 | 20,257,521,476.93 | |
Non-current liabilities | |||
Long-term borrowings | 32 | 61,633,794.44 | 31,637,173.89 |
Lease liabilities | 33 | 1,361,131,352.80 | 1,303,054,163.90 |
Long-term payables | 34 | 6,938,189.00 | 6,938,189.00 |
Long-term employee benefits payable | 35 | 1,262,000.00 | 1,319,000.00 |
Provisions | 36 | 68,663,166.79 | 68,808,166.79 |
Deferred income | 37 | 91,315,333.89 | 89,843,583.37 |
Deferred tax liabilities | 20 | 200,498,143.67 | 205,921,408.66 |
Other non-current liabilities | 38 | 630,839,755.01 | 740,862,989.59 |
Total non-current liabilities | 2,422,281,735.60 | 2,448,384,675.20 | |
Total liabilities | 26,702,750,470.57 | 22,705,906,152.13 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED BALANCE SHEET (Continued)
As at 30 June 2021
(Expressed in Renminbi Yuan)
LIABILITIES AND EQUITY | Note V | 30 June 2021 | 31 December 2020 |
Equity | |||
Share capital | 39 | 428,126,983.00 | 428,126,983.00 |
Capital surplus | 40 | 4,372,043,185.43 | 4,372,504,053.72 |
Other comprehensive income | 41 | 38,547,872.62 | 38,483,017.72 |
Surplus reserve | 42 | 214,063,491.50 | 214,063,491.50 |
Retained earnings | 43 | 9,294,088,533.24 | 8,895,145,106.39 |
Total equity attributable to owners of the parent | 14,346,870,065.79 | 13,948,322,652.33 | |
Non-controlling interests | 3,141,257,867.59 | 2,940,304,667.19 | |
Total equity | 17,488,127,933.38 | 16,888,627,319.52 | |
Total liabilities and equity | 44,190,878,403.95 | 39,594,533,471.65 |
The accompanying notes form an integral part of these financial statements
The financial statements have been signed by:
Legal representative: Financial controller: Head of Accounting Department:
CONSOLIDATED INCOME STATEMENT (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note V | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
Operating revenue | 44 | 33,163,091,887.39 | 27,169,940,188.52 |
Less: Operating costs | 44 | 29,216,837,201.07 | 23,971,029,719.44 |
Taxes and surcharges | 45 | 75,989,854.58 | 69,505,309.32 |
Selling expenses | 46 | 2,307,485,529.77 | 1,728,738,818.60 |
Administrative expenses | 47 | 492,536,936.71 | 443,287,144.92 |
Finance costs | 48 | 107,243,003.15 | 65,313,829.62 |
Incling: Interest expense | 147,057,897.99 | 133,350,510.68 | |
Interest income | 38,758,729.78 | 65,512,550.22 | |
Add: Interest expense | 49 | 47,249,616.26 | 35,855,298.32 |
Investment income | 50 | 156,587,066.32 | 105,206,349.26 |
Incling: Investment income from associates | 157,696,397.81 | 133,604,904.16 | |
Income from the derecognition of financial assets measured at amortised cost | (7,039,046.60) | (33,507,102.64) | |
Credit impairment losses | 51 | (28,664,985.44) | (21,580,231.52) |
Impairment losses | 52 | (416,915.26) | (1,743,888.30) |
Gain on disposal of assets | 53 | (588,799.55) | 4,305,324.80 |
Operating profits | 1,137,165,344.44 | 1,014,108,219.18 | |
Add: Non-operating income | 54 | 12,493,320.44 | 5,219,980.22 |
Less: Non-operating expenses | 55 | 3,237,951.35 | 3,008,892.52 |
Total profit | 1,146,420,713.53 | 1,016,319,306.88 | |
Less: Income tax expenses | 56 | 238,426,259.04 | 210,106,764.35 |
Net profit | 907,994,454.49 | 806,212,542.53 | |
Net Profit from continuing operations | 907,994,454.49 | 806,212,542.53 | |
Net profit attributable to owners of the parent | 741,445,013.25 | 643,451,580.59 | |
Profit or loss of non-controlling interests | 166,549,441.24 | 162,760,961.94 |
CONSOLIDATED INCOME STATEMENT (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note V | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
Other comprehensive income, net of tax | 64,854.90 | 122,186.89 | |
Other comprehensive income, net of tax, attributable to owners of the parent | 64,854.90 | 122,186.89 | |
Other comprehensive income that will be reclassified to profit or loss | 64,854.90 | 122,186.89 | |
Other comprehensive income using the equity method that will be reclassified to profit or loss | 64,854.90 | 122,186.89 | |
Total comprehensive income | 908,059,309.39 | 806,334,729,42 | |
Incl: Total comprehensive income attributable to owners of the parent | 741,509,868.15 | 643,573,767.48 | |
Total comprehensive income attributable to non-controlling interests | 166,549,441.24 | 162,760,961.94 | |
Earnings per share | |||
Basic earnings per share | 1.73 | 1.50 | |
Diluted earnings per share | 1.73 | 1.50 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2021 | Attributable to owners of the parent | |||||||
Share capital | Capital surplus | Other comprehensive income | Surplus reserves | Retained earnings | Subtotal | Non-controlling interests | Total equity | |
I. Balance at end of prior year | 428,126,983.00 | 4,372,504,053.72 | 38,483,017.72 | 214,063,491.50 | 8,895,145,106.39 | 13,948,322,652.33 | 2,940,304,667.19 | 16,888,627,319.52 |
Add: Business combination involving entities under common control | - | - | - | |||||
II. Balance at beginning of year | 428,126,983.00 | 4,372,504,053.72 | 38,483,017.72 | 214,063,491.50 | 8,895,145,106.39 | 13,948,322,652.33 | 2,940,304,667.19 | 16,888,627,319.52 |
III. Changes for the year | - | (460,868.29) | 64,854.90 | - | 398,943,426.85 | 398,547,413.46 | 200,953,200.40 | 599,500,613.86 |
(1) Total comprehensive income | - | - | 64,854.90 | - | 741,445,013.25 | 741,509,868.15 | 166,549,441.24 | 908,059,309.39 |
(2) Owners’ contributions and reduction in capital | - | (460,868.29) | - | - | (460,868.29) | 58,773,146.38 | 58,312,278.09 | |
1. Capital contributions by owners | - | - | - | - | - | - | 15,680,000.00 | 15,680,000.00 |
2. Others | - | (460,868.29) | - | - | (460,868.29) | 43,093,146.38 | 42,632,278.09 | |
(3) Profit distribution | - | - | - | (342,501,586.40)- | (342,501,586.40) | (24,369,387.22) | (366,870,973.62) | |
1.Distribution to equity owners | - | - | - | (342,501,586.40)- | (342,501,586.40) | (24,369,387.22) | (366,870,973.62) | |
IV. Balance at end of year | 428,126,983.00 | 4,372,043,185.43 | 38,547,872.62 | 214,063,491.50 | 9,294,088,533.24 | 14,346,870,065.79 | 3,141,257,867.59 | 17,488,127,933.38 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY(Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2020 | Attributable to owners of the parent | |||||||
Share capital | Capital surplus | Other comprehensive income | Surplus reserves | Retained earnings | Subtotal | Non-controlling interests | Total equity | |
I. Balance at end of prior year | 428,126,983.00 | 4,363,007,511.57 | 45,917,342.77 | 214,063,491.50 | 7,755,295,537.08 | 12,806,410,865.92 | 2,553,426,974.31 | 15,359,837,840.23 |
Add: Business combination involving entities under common control | - | 107,759,447.87 | - | - | (3,029,877.91) | 104,729,569.96 | 109,412,866.52 | 214,142,436.48 |
II. Balance at beginning of year | 428,126,983.00 | 4,470,766,959.44 | 45,917,342.77 | 214,063,491.50 | 7,752,265,659.17 | 12,911,140,435.88 | 2,662,839,840.83 | 15,573,980,276.71 |
III. Changes for the year | - | (97,854,894.55) | 122,186.89 | - | 386,575,390.79 | 288,842,683.13 | 154,985,375.48 | 443,828,058.61 |
(1) Total comprehensive income | - | - | 122,186.89 | - | 643,451,580.59 | 643,573,767.48 | 162,760,961.94 | 806,334,729.42 |
(2) Owners’ contributions and reduction in capital | - | (97,854,894.55) | - | - | (97,854,894.55) | 10,931,276.73 | (86,923,617.82) | |
1. Capital contributions by owners | - | - | - | - | - | - | ||
2. Others | - | (97,854,894.55) | - | - | (97,854,894.55) | 10,931,276.73- | (86,923,617.82) | |
(3) Profit distribution | - | - | - | - | (256,876,189.80) | (256,876,189.80) | (18,706,863.19) | (275,583,052.99) |
1.Distribution to equity owners | - | - | - | - | (256,876,189.80) | (256,876,189.80) | (18,706,863.19) | (275,583,052.99) |
IV. Balance at end of year | 428,126,983.00 | 4,372,912,064.89 | 46,039,529.66 | 214,063,491.50 | 8,138,841,049.96 | 13,199,983,119.01 | 2,817,825,216.31 | 16,017,808,335.32 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED CASH FLOW STATEMENT
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note V | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
1.CASH FLOWS FROM OPERATING ACTIVITIES | |||
Cash received from sales of good and the rendering of services | 32,800,434,055.12 | 27,735,103,033.02 | |
Receipts of taxes and surcharges refunds | 9,380,253.27 | 8,145,306.66 | |
Other cash receipts relating to operating activities | 57 | 368,590,875.46 | 707,202,110.00 |
Total cash inflows from operating activities | 33,178,405,183.85 | 28,450,450,449.68 | |
Cash payments for goods and services | 28,541,885,459.35 | 24,305,374,637.56 | |
Cash payments to and on behalf of employees | 1,708,255,657.44 | 1,278,474,969.40 | |
Payments of all types of taxes and surcharges | 766,110,586.13 | 724,722,540.88 | |
Other cash payments relating to operating activities | 57 | 932,780,197.36 | 703,674,258.49 |
Total cash outflows from operating activities | 31,949,031,900.28 | 27,012,246,406.33 | |
Net cash flows from operating activities | 58 | 1,229,373,283.57 | 1,438,204,043.35 |
2.CASH FLOWS FROM INVESTING ACTIVITIES | |||
Cash receipts from returns of investments | 2,997,441.73 | 19,027,649.76 | |
Cash receipts from returns on investments | 22,643,935.31 | 84,166,102.10 | |
Net cash received from disposal of fixed assets, intangible assets and other long-term assets | 537,887.38 | 4,352,536.98 | |
Other cash receipts relating to investing activities | 57 | 54,984.60 | 22,040,000.00 |
Total cash inflows from investing activities | 26,234,249.02 | 129,586,288.84 |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED CASH FLOW STATEMENT (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note V | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
2.CASH FLOWS FROM INVESTING ACTIVITIES (Continued) | |||
Cash payments to acquire fixed assets, intangible assets and other long-term assets | 145,820,319.98 | 116,186,214.91 | |
Cash payments for investments | 70,724,113.00 | 20,545,399.15 | |
Net cash payments for acquisition of subsidiaries and other business units | 100,950,637.41 | 659,201,491.65 | |
Other cash payments relating to investing activities | - | - | |
Total cash outflows from investing activities | 317,495,070.39 | 795,933,105.71 | |
Net cash flows from investing activities | (291,260,821.37) | (666,346,816.87) | |
3.CASH FLOWS FROM FINANCING ACTIVITIES | |||
Cash proceeds from investments by others | 15,680,000.00 | - | |
Incl: Cash receipts from capital contributions from non-controlling interests of subsidiaries | 15,680,000.00 | - | |
Cash receipts from borrowings | 915,684,894.52 | 589,920,037.57 | |
Other cash receipts relating to financing activities | 57 | 104,090,555.62 | 334,349,840.06 |
Total cash inflows from financing activities | 1,035,455,450.14 | 924,269,877.63 | |
Cash repayments for debts | 511,076,477.58 | 284,200,000.00 | |
Cash payments for distribution of dividends or profit and interest expenses | 492,345,229.08 | 432,276,651.88 | |
Incl: Dividends or profit paid to non-controlling shareholders of subsidiaries | 22,846,959.82 | 10,890,773.58 | |
Other cash payments relating to financing activities | 57 | 838,045,248.87 | 1,405,111,664.26 |
Total cash outflows from financing activities | 1,841,466,955.53 | 2,121,588,316.14 | |
Net cash flows from financing activities | (806,011,505.39) | (1,197,318,438.51) |
The accompanying notes form an integral part of these financial statements
CONSOLIDATED CASH FLOW STATEMENT (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note V | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
4.EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 392,002.63 | (47,935.97) | |
5.NET INCREASE/ DECREASE IN CASH AND CASH EQUIVALENTS | 58 | 132,492,959.44 | (425,509,148.00) |
Add: Cash and cash equivalents at beginning of the year | 5,405,113,257.99 | 8,426,071,170.16 | |
6.CASH AND CASH EQUIVALENTS AT END OF YEAR | 58 | 5,537,606,217.43 | 8,000,562,022.16 |
The accompanying notes form an integral part of these financial statements
COMPANY BALANCE SHEET
As at 30 June 2021
(Expressed in Renminbi Yuan)
ASSETS | Note XIV | 30 June 2021 | 31 December 2020 |
Current assets | |||
Cash and bank balances | 3,365,069,497.52 | 3,020,909,473.71 | |
Notes receivable | 64,759,826.01 | 30,984,449.44 | |
Accounts receivable | 1 | 701,273,128.58 | 609,575,301.13 |
Receivables financing | 2,436,398.01 | 30,248,631.32 | |
Advances to suppliers | 4,566,924.77 | 6,722,204.59 | |
Other receivables | 2 | 3,467,427,719.16 | 3,562,309,346.07 |
Inventories | 189,783,318.68 | 172,275,777.63 | |
Current Assets | 103,944.56 | 139,154.54 | |
Other current assets | 39,482.38 | 39,482.38 | |
Total current assets | 7,795,460,239.67 | 7,433,203,820.81 | |
Non-current assets | |||
Long-term equity investments | 3 | 8,014,254,485.09 | 7,873,668,245.16 |
Other non-current financial assets | 117,974,908.51 | 120,972,350.24 | |
Investment properties | 1,436,098.78 | 1,452,132.04 | |
Fixed assets | 12,027,831.98 | 13,279,902.76 | |
Right-of-use assets | 4,581,076.34 | 5,142,755.88 | |
Intangible assets | 5,801,168.94 | 4,622,268.00 | |
Long-term prepaid expenses | 4,189,589.43 | 4,335,802.92 | |
Deferred tax assets | 9,245,324.81 | 9,025,057.52 | |
Other non-current assets | 36,250,241.84 | 12,967,715.50 | |
Total non-current assets | 8,205,760,725.72 | 8,045,466,230.02 | |
Total assets | 16,001,220,965.39 | 15,478,670,050.83 |
The accompanying notes form an integral part of these financial statements
COMPANY BALANCE SHEET (Continued)
As at 30 June 2021
(Expressed in Renminbi Yuan)
LIABILITIES AND SHAREHOLDERS’ EQUITY | 30 June 2021 | 31 December 2020 | |
Current liabilities | |||
Short-term borrowings | 878,608,520.99 | 157,892,942.24 | |
Notes payable | 393,434,370.38 | 756,364,719.49 | |
Accounts payable | 507,406,947.28 | 407,275,713.49 | |
Contract liabilities | 8,566,647.98 | 1,807,562.61 | |
Employee benefits payable | 34,107,984.22 | 36,672,344.48 | |
Tax payables | 16,253,302.56 | 13,975,905.04 | |
Other payables | 2,720,704,209.77 | 3,167,152,583.28 | |
Non-current liabilities due within one year | 1,078,862.94 | 1,056,120.58 | |
Other current liabilities | 1,434,414.00 | 636,200.63 | |
Total current liabilities | 4,561,595,260.12 | 4,542,834,091.84 | |
Non-current liabilities | |||
Long-term borrowings | 31,633,794.44 | 31,637,173.89 | |
Lease liabilities | 3,909,950.01 | 4,455,967.97 | |
Long-term payables | 800,000.00 | 800,000.00 | |
Deferred income | 603,137.94 | 827,658.18 | |
Other non-current liabilities | 22,866,538.58 | 11,042.52 | |
Total non-current liabilities | 59,813,420.97 | 37,731,842.56 | |
Total liabilities | 4,621,408,681.09 | 4,580,565,934.40 |
The accompanying notes form an integral part of these financial statements
COMPANY BALANCE SHEET (Continued)
As at 30 June 2021
(Expressed in Renminbi Yuan)
LIABILITIES AND SHAREHOLDERS’ EQUITY | 30 June 2021 | 31 December 2020 | |
Shareholders’ equity | |||
Share capital | 428,126,983.00 | 428,126,983.00 | |
Capital surplus | 4,467,530,563.30 | 4,467,991,431.59 | |
Other comprehensive income | (63,178.42) | (128,033.32) | |
Surplus reserve | 214,063,491.50 | 214,063,491.50 | |
Retained earnings | 6,270,154,424.92 | 5,788,050,243.66 | |
Total shareholders’ equity | 11,379,812,284.30 | 10,898,104,116.43 | |
Total liabilities and shareholders’ equity | 16,001,220,965.39 | 15,478,670,050.83 |
The accompanying notes form an integral part of these financial statements
COMPANY INCOME STATEMENT
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
Note XIV | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |
Operating revenue | 4 | 2,078,370,123.36 | 1,772,487,363.56 |
Less: Operating costs | 4 | 1,991,420,311.80 | 1,689,564,062.24 |
Taxes and surcharges | 2,488,284.74 | 2,582,640.86 | |
Selling expenses | 35,959,501.73 | 31,376,377.04 | |
Administrative expenses | 46,619,035.09 | 43,060,479.75 | |
Finance costs | (55,486,414.78) | (43,838,117.34) | |
Incl: Interest expense | 27,864,903.28 | 21,928,061.34 | |
Interest income | 83,409,776.86 | 66,569,319.85 | |
Add: Other incomes | 1,931,159.58 | 629,921.47 | |
Investment income | 5 | 780,364,601.71 | 749,633,760.78 |
Incl: Investment income from associates | 157,696,473.52 | 133,549,495.38 | |
Income from the derecognition of financial assets measured at amortised cost | (221,815.32) | (1,526,968.25) | |
Credit impairment losses | (123,032.41) | (976,022.96) | |
Impairment losses | (281,770.77) | (242,731.87) | |
Gain on disposal of assets | 80,996.38 | - | |
Operating profits | 839,341,359.27 | 798,786,848.43 | |
Add: Non-operating income | 408,885.12 | 1,596.77 | |
Less: Non-operating expenses | - | 52,122.72 | |
Total profit | 839,750,244.39 | 798,736,322.48 | |
Less: Income tax expenses | 15,144,476.73 | 9,645,280.09 | |
Net profit | 824,605,767.66 | 789,091,042.39 | |
Profit or loss from continuing operations | 824,605,767.66 | 789,091,042.39 | |
Other comprehensive income, net of tax | 64,854.90 | 122,186.89 | |
Other comprehensive income that will be reclassified to profit or loss | 64,854.90 | 122,186.89 | |
Other comprehensive income using the equity method that will be reclassified to profit or loss | 64,854.90 | 122,186.89 | |
Total comprehensive income | 824,670,622.56 | 789,213,229.28 |
The accompanying notes form an integral part of these financial statements
COMPANY STATEMENT OF CHANGES IN EQUITY
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2021 | Share capital | Capital surplus | Other comprehensive income | Surplus reserve | Retained earnings | Total equity |
I. Balance at end of prior year | 428,126,983.00 | 4,467,991,431.59 | (128,033.32) | 214,063,491.50 | 5,788,050,243.66 | 10,898,104,116.43 |
II. Changes for the year | - | (460,868.29) | 64,854.90 | - | 482,104,181.26 | 481,708,167.87 |
(1) Total comprehensive income | - | - | 64,854.90 | - | 824,605,767.66 | 824,670,622.56 |
(2) Owners’ contributions and reduction in capital | - | (460,868.29) | - | - | - | (460,868.29) |
1.Others | - | (460,868.29) | - | - | - | (460,868.29) |
(3) Profit distribution | - | - | - | - | (342,501,586.40) | (342,501,586.40) |
1. Distribution to owners | - | - | - | - | (342,501,586.40) | (342,501,586.40) |
III. Balance at end of year | 428,126,983.00 | 4,467,530,563.30 | (63,178.42) | 214,063,491.50 | 6,270,154,424.92 | 11,379,812,284.30 |
The accompanying notes form an integral part of these financial statements
COMPANY STATEMENT OF CHANGES IN EQUITY (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2020 | Share capital | Capital surplus | Other comprehensive income | Surplus reserve | Retained earnings | Total equity |
I. Balance at end of prior year | 428,126,983.00 | 4,468,385,307.32 | (133,366.19) | 214,063,491.50 | 4,996,184,257.34 | 10,106,626,672.97 |
II. Changes for the year | - | 14,135.44 | 122,186.89 | - | 532,214,852.59 | 532,351,174.92 |
(1) Total comprehensive income | - | - | 122,186.89 | - | 789,091,042.39 | 789,213,229.28 |
(2) Owners’ contributions and reduction in capital | - | 14,135.44 | - | - | - | 14,135.44 |
1.Others | - | 14,135.44 | - | - | - | 14,135.44 |
(3) Profit distribution | - | - | - | - | (256,876,189.80) | (256,876,189.80) |
1. Distribution to owners | - | - | - | - | (256,876,189.80) | (256,876,189.80) |
III. Balance at end of year | 428,126,983.00 | 4,468,399,442.76 | (11,179.30) | 214,063,491.50 | 5,528,399,109.93 | 10,638,977,847.89 |
The accompanying notes form an integral part of these financial statements
COMPANY CASH FLOW STATEMENT
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||
1.CASH FLOWS FROM OPERATING ACTIVITIES | |||
Cash received from sales of good and the rendering of services | 2,051,451,080.04 | 1,959,922,054.30 | |
Other cash receipts relating to operating activities | 31,548,087.03 | 56,400,693.21 | |
Total cash inflows from operating activities | 2,082,999,167.07 | 2,016,322,747.51 | |
Cash payments for goods and services | 1,882,952,590.62 | 1,808,113,785.36 | |
Cash payments to and on behalf of employees | 61,431,053.37 | 56,731,764.12 | |
Payments of all types of taxes and surcharges | 36,319,473.82 | 34,728,524.87 | |
Other cash payments relating to operating activities | 11,443,446.22 | 36,411,653.42 | |
Total cash outflows from operating activities | 1,992,146,564.03 | 1,935,985,727.77 | |
Net cash flows from operating activities | 90,852,603.04 | 80,337,019.74 | |
2. CASH FLOWS FROM INVESTING ACTIVITIES | |||
Cash receipts from returns of investments | 2,997,441.73 | 32,664,096.76 | |
Cash receipts from returns on investments | 214,065,210.12 | 252,042,116.93 | |
Net cash received from disposal of fixed assets, intangible assets and other long-term assets | 339,163.00 | - | |
Other cash receipts relating to investing activities | 2,324,825,373.52 | 1,575,127,297.73 | |
Total cash inflows from investing activities | 2,542,227,188.37 | 1,859,833,511.42 | |
Cash payments for acquisition of fixed assets, intangible assets and other long-term assets | 2,302,398.23 | 10,386,641.64 | |
Other cash payments relating to investing activities | 2,155,040,000.00 | 1,309,671,874.11 | |
Total cash outflows from investing activities | 2,157,342,398.23 | 1,320,058,515.75 | |
Net cash flows from investing activities | 384,884,790.14 | 539,774,995.67 | |
The accompanying notes form an integral part of these financial statements
COMPANY CASH FLOW STATEMENT (Continued)
For the six months ended 30 June 2021
(Expressed in Renminbi Yuan)
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||
3. CASH FLOWS FROM FINANCING ACTIVITIES | |||
Cash receipts from borrowings | 280,000,000.00 | 32,264,821.52 | |
Other cash receipts relating to financing activities | 18,653,623,031.33 | 16,113,679,647.75 | |
Total cash inflows from financing activities | 18,933,623,031.33 | 16,145,944,469.27 | |
Cash repayments for debts | 30,164,821.52 | 43,700,000.00 | |
Cash payments for distribution of dividends or profit and interest expenses | 363,151,913.01 | 272,655,694.83 | |
Other cash receipts relating to financing activities | 18,673,121,608.99 | 15,582,101,156.66 | |
Total cash outflows from financing activities | 19,066,438,343.52 | 15,898,456,851.49 | |
Net cash flows from financing activities | (132,815,312.19) | 247,487,617.78 | |
4.EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 392,002.63 | (47,935.97) | |
5. NET INCREASE IN CASH AND CASH EQUIVALENTS | 343,314,083.62 | 867,551,697.22 | |
Add: Cash and cash equivalents at beginning of the year | 3,020,909,473.71 | 2,894,333,956.38 | |
6. CASH AND CASH EQUIVALENTS AT END OF YEAR | 3,364,223,557.33 | 3,761,885,653.60 |
The accompanying notes form an integral part of these financial statements
Notes to financial statementsFor the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
I Profile of the Company
(1) Historical development and basic information
As approved by the People’s Government of Shenzhen (SFBF (1993) No.356), China National AccordMedicines Corporation Ltd. (hereinafter referred to as the “the Company”), formerly known as ShenzhenHealth Mineral Water Corp., Ltd., was registered as a joint stock liability limited company on 1 February1993 through stock transformation. In March 1993, with the approval from the Shenzhen Branch of thePeople’s Bank of China, the Company issued 30 million A shares (including 16.5 million public shares,
3.5 million employee shares and 10 million corporation shares) and 20 million B shares. After thisissuance, the Company’s share capital was RMB105 million. Through convert capital surplus into sharecapital, bonus issues and issuance of shares for years, the share capital of the Company increased toRMB428.13 million as at 30 June 2021
In November 2000, the Company entered into an Assets Exchange Agreement with ShenzhenInvestment Management Company, the original major shareholder of the Company, to exchange all theassets and liabilities of the Company as of 31 August 2000 for Shenzhen Investment ManagementCompany’s 100% equity interests in 11 pharmaceutical companies and certain properties as well as 51%equity interests in Shenzhen Tefa Modern Computer Co., Ltd. The above asset exchange proposal wasapproved by shareholders in the Second Extraordinary General Meeting on December 29, 2000. Thetransaction was completed on 8 January 2001.
On 18 February 2004, the Company’s original major shareholder, Shenzhen Investment ManagementCompany, entered into a Stock Transfer Agreement with Sinopharm Group Co., Ltd. (hereinafter referredto as “Sinopharm Group”) to transfer its 43.33% shares in the Company to Sinopharm Group. The legalprocedures of the above equity transfer were completed on 9 December 2004. At the same time, asapproved by the State-owned Assets Supervision and Administration Commission of the State Council(GZCQ (2004) No.525) and the China Securities Regulatory Commission (ZJGSZ (2004) No.94), thenature of these shares was changed from state-owned stock to state-owned legal entity stock andSinopharm Group became the largest shareholder of the Company.
On 14 April 2006, the Company’s proposal on reformation of segregated stocks was approved. To gainliquidity for the restricted stocks of the Company, the holders of the restricted stocks of the Companyagreed to pay the following consideration: based on the stock registration as of 27 April 2006, theCompany issued bonus shares on 28 April 2006 at the ratio of 3 shares to every 10 A shares toliquidated A-shareholders which went public on the same day. After this bonus issue, the total number ofshares of the Company remained unchanged with corresponding changes in the composition ofshareholdings.
On March 14 2014, the company issued 74,482,543 ordinary shares (A shares) through the non-publicoffering. Par value per share is RMB1.00. The shares shall not be transferred within 36 months since theissue day. The total number of shares of the Company was 362,631,943 since the date of issue.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
I Profile of the Company (Continued)
(1) Historical development and basic information (Continued)
The Company acquired the companies under common control, including Sinopharm Holding GuodaDrugstore Co., Ltd. (“Guoda Drugstore”), Foshan Nanhai Medicine Group Co., Ltd. (“Foshan Nanhai”),Guangdong South Pharmaceutical Foreign Trade Co., Ltd. (“South Pharma & Trade”) and GuangdongDong Fang Uptodate & Special Medicines Co., Ltd. (“Guangdong Uptodate & Special Medicines”) byissuing shares and raised supporting funds by issuing shares to Ping An Asset Management Co., Ltd.to acquire the non-controlling interest of South Pharma & Trade. The above transactions werecompleted on 31 December 2016, and the relevant shares were successfully issued and listed on 5January 2017. Afterwards, the total number of shares of the Company increased to 428,126,983.As of 30 June 2021, the total share capital was RMB428.13 million.
The Company is registered with Shenzhen Administration for Industry & Commerce. Its Uniform SocialCredit Code is 91440300192186267U. The operation period of the Company is from 2 August 1986 tothe long term. The registered capital of the Company is RMB428.13 million. The legal representative ofthe Company is Lin Zhaoxiong.
The approved scope of business of the Company and its subsidiaries (together “the Group”) includes:
the wholesale of traditional Chinese medicine preparations, bulk pharmaceutical drugs, chemicalpreparations, bulk antibiotic drugs, antibiotic preparations, biochemical drugs, biological products(including vaccines and in vitro diagnostic reagents psychotropic drugs and preparations, narcotic drugs,toxic drugs for medical use, protein assimilation preparation and peptide hormones; trading of dietarysupplement; research, development and consultation services of pharmaceutical packaging materialsand pharmaceutical industry products; industrial investment holding; domestic trade; material supplyand marketing industry (other than special licensing); sale of ambulances; trade of second-class andthird- class medical equipment; project investment; property management and leasing of self-ownedproperties; pharmacovigilance and medical information consulting; parking operation; logistics andrelated services; package agency business; logistic design; import and export services (excludingprojects that are prohibited by the country; and limited projects has to be approved before operating).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
I Profile of the Company (Continued)
(2) The Group’s parent and ultimate parent companies are Sinopharm Group and China National
Pharmaceutical Group Corporation (“CNPGC”) , respectively.
(3) These financial statements were authorized for issue by the board of directors of the Company
on 13 August 2021.
(4) Subsidiaries consolidated in the financial statements for the current period and change in the
consolidation scope are shown in Note VI.
II Basis of preparation
The financial statements were prepared in accordance with the Basic Standard and specific standardsof Accounting Standards for Business Enterprises issued by the Ministry of Finance and the specificaccounting standards, application guidance, interpretation and other relevant regulations issued oramended thereafter (hereafter collectively referred to as “Accounting Standards for BusinessEnterprises” or “CAS”).
These financial statements are prepared on a going concern basis. Except for certain financialinstruments, the financial statements have been prepared using the historical cost as the principle ofmeasurement. Where assets are impaired, provisions for asset impairment are made in accordancewith the relevant requirements.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates
The Group determines the specific accounting policies and estimates based on its features ofproduction and operation, primarily comprising the methods of provision for expected credit losses onreceivables, valuation of inventories, depreciation of fixed assets and amortisation of intangible assets,the measurement model of investment properties, recognition and measurement of revenue, etc.
(1) Statement of compliance with the Accounting Standards for Business Enterprises
The financial statements of the Company for the year ended 30 June 2021 are in compliance withAccounting Standards for Business Enterprises, and truly and completely present the financial positionof the Group and the Company as of 30 June 2021 and the operating results, cash flows and otherinformation for the six months ended 30 June 2021 of the Group and the Company.
(2) Accounting year
The Company’s accounting year begins on 1 January and ends on 31 December.
(3) Business cycle
The Company’s operating cycle is 12 months.
(4) Functional currency
The Group’s functional and presentation currency is Renminbi (RMB). The currency unit is RMB Yuanunless otherwise stated.
(5) Business combinations
Business combinations are classified into business combinations involving enterprises under commoncontrol and business combinations not involving enterprises under common control.
(a) Business combinations involving enterprises under common control
A business combination involving enterprises under common control is a business combination in whichall of the combining enterprises are ultimately controlled by the same party or parties both before andafter the combination, and that control is not transitory. In a business combination involving enterprisesunder common control, the enterprise that, at the combination date, obtains control of anothercombining enterprise is the absorbing enterprise, while that other combining enterprise is the enterprisebeing absorbed. The combination date is the date on which the absorbing enterprise effectively obtainscontrol on the enterprise being absorbed.
The assets and liabilities (including goodwill arising from the ultimate controlling party’s acquisition ofthe enterprise being absorbed) that are obtained by the absorbing enterprise in a business combinationinvolving enterprises under common control shall be measured on the basis of their carrying amounts inthe financial statements of the ultimate controlling party at the combination date. The differencebetween the carrying amount of the net assets obtained and the carrying amount of the considerationpaid for the combination (or the aggregate face value of shares issued as consideration) shall beadjusted to capital premium under capital reserves and the balance transferred from capital reservesunder the old accounting system. If the capital premium is not sufficient to absorb the difference, anyexcess shall be adjusted against retained earnings.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(5) Business combinations (Continued)
(b) Business combinations involving enterprises not under common control
A business combination not involving enterprises under common control is a business combination inwhich all of the combining enterprises are not ultimately controlled by the same party or parties bothbefore and after the combination. In a business combination not involving enterprises under commoncontrol, the enterprise that, on the acquisition date, obtains control of another combining enterprise isthe acquirer, while that other combining enterprise is the acquiree. The acquisition date is the date onwhich the acquirer effectively obtains control of the acquiree.
The acquirer shall measure the acquiree’s identifiable assets, liabilities and contingent liabilitiesacquired in the business combination at their fair values on the acquisition date.
Goodwill is initially recognised and measured at cost, being the excess of the aggregate of the fair valueof the consideration transferred (or the fair value of the equity securities issued) and any fair value ofthe Group’s previously held equity interest in the acquiree over the Group’s interest in the fair value ofthe acquiree’s net identifiable assets. After initial recognition, goodwill is measured at cost less anyaccumulated impairment losses. Where the aggregate of the fair value of the consideration transferred(or the fair value of the equity securities issued) and any fair value of the Group’s previously held equityinterest in the acquiree is lower than the Group’s interest in the fair value of the acquiree’s netidentifiable assets, the Group reassesses the measurement of the fair value of the acquiree’sidentifiable assets, liabilities and contingent liabilities and the fair value of the consideration transferred(or the fair value of the equity securities issued), together with the fair value of the Group’s previouslyheld equity interest in the acquiree. If after that reassessment, the aggregate of the fair value of theconsideration transferred (or the fair value of the equity securities issued) and the Group’s previouslyheld equity interest in the acquiree is still lower than the Group’s interest in the fair value of theacquiree’s net identifiable assets, the Group recognises the remaining difference in profit or loss.
Where the business combination not involving enterprises under common control is achieved in stages,the acquirer’s previously held equity interests in the acquiree are remeasured at the fair value on theacquisition date, with the difference between the fair value and carrying amount recognised asinvestment income for the current period. If the acquirer’s previously held equity interests of theacquiree involve other comprehensive income (“OCI”) under the equity method, the accountingtreatment is conducted on the same basis as would have been required if the investee had directlydisposed of the related assets or liabilities, and the changes in shareholders’ equity other than net profitor loss, OCI and profit distributions are charged to profit or loss for the current period on the acquisitiondate. For financial assets at fair value through OCI held before the acquisition date, changes in fairvalue that were accumulated through OCI will transfer to retained earnings.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(6) Preparation of consolidated financial statements
The scope of the consolidated financial statements, which include the financial statements of theCompany and all of its subsidiaries, is determined on the basis of control. A subsidiary is an entity thatis controlled by the Company (such as an enterprise, a deemed separate entity, or a structured entitycontrolled by the Company).
In the preparation of the consolidated financial statements, the financial statements of subsidiaries areprepared for the same accounting year as the Company, using consistent accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions betweenmembers of the Group are eliminated in full on consolidation.
Where the loss for the current period attributable to non-controlling interests of a subsidiary exceeds thenon-controlling interests of the opening balance of equity of the subsidiary, the excess shall still beallocated against the non-controlling interests.
For subsidiaries acquired through business combinations not involving entities under common control,the financial performance and cash flows of the acquiree shall be consolidated from the date on whichthe Group obtains control, and continue to be consolidated until the date such control ceases. Whilepreparing the consolidated financial statements, the Group shall adjust the subsidiary’s financialstatements, on the basis of the fair values of the identifiable assets, liabilities and contingent liabilitiesrecognised on the acquisition date.
For subsidiaries acquired through business combinations involving entities under common control, thefinancial performance and cash flows of the entity being absorbed shall be consolidated from thebeginning of the period in which the combination occurs. While preparing the comparative financialstatements, adjustments are made to related items in the financial statements for the prior period as ifthe reporting entity after the combination has been in existence since the date the ultimate controllingparty first obtained the control.
The Group reassesses whether or not it controls an investee if any change in facts and circumstancesindicates that there are changes to one or more of the three elements of control.
When the Group loses control of a subsidiary in multiple transactions in which it disposes of its long-term equity investment in the subsidiary in stages, if each of the multiple transactions does not form partof a bundled transaction, the transactions conducted before the loss of control of the subsidiary areaccounted for in accordance with the accounting policy for partial disposal of the equity investment insubsidiaries where control is retained. If each of the multiple transactions forms part of a bundledtransaction which eventually results in the loss of control in the subsidiary, these multiple transactionsare accounted for as a single transaction. In the consolidated financial statements, the differencebetween the consideration received and the corresponding proportion of the subsidiary’s net assets(calculated continuously from the acquisition date) in each transaction prior to the loss of control shallbe recognised in other comprehensive income and transferred to profit or loss when the parenteventually loses control of the subsidiary.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(7) Cash and cash equivalents
Cash comprises the Group’s cash on hand and bank deposits that can be readily withdrawn on demand.Cash equivalents are short-term, highly liquid investments that are readily convertible into knownamounts of cash, and are subject to an insignificant risk of changes in value.
(8) Foreign currency transactions and foreign currency translation
The Group translates foreign currency transactions into its functional currency.
At the balance sheet date, monetary items denominated in foreign currencies are translated into RMBusing the spot exchange rates on the balance sheet date. Exchange differences arising from thesetranslations are recognised in profit or loss for the current period, except for those attributable to foreigncurrency borrowings that have been taken out specifically for the acquisition or construction ofqualifying assets, which are capitalized as part of the cost of those assets. Non-monetary itemsdenominated in foreign currencies that are measured at historical cost are translated at the balancesheet date using the spot exchange rates at the dates of the transactions.
Foreign currency cash flows are translated using the spot exchange rates prevailing on the dates ofcash flows. The effect of exchange rate changes on cash is presented separately in the cash flowstatement.
(9) Financial instruments
A financial instrument is any contract that gives rise to a financial asset of one entity and a financialliability or equity instrument of another entity.
Recognition and derecognition
The Group recognises a financial asset or a financial liability when it becomes a party to the contractualprovisions of a financial instrument.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(9) Financial instruments (Continued)
Recognition and derecognition (Continued)
A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financialassets) is primarily derecognised (i.e., removed from the Group’s consolidated balance sheet) when:
(1) the rights to receive cash flows from the financial asset have expired; or
(2) the Group has transferred its rights to receive cash flows from the financial asset, or has
assumed an obligation to pay the received cash flows in full without material delay to a thirdparty under a “pass-through” arrangement; and either (i) has transferred substantially all therisks and rewards of the financial asset, or (ii) has neither transferred nor retained substantiallyall the risks and rewards of the asset, but has transferred control of the financial asset.
A financial liability is derecognised when the obligation under the liability is discharged or cancelled, orexpires. When an existing financial liability is replaced by another from the same lender onsubstantially different terms, or the terms of an existing liability are substantially modified, such anexchange or modification is treated as a derecognition of the original liability and a recognition of a newliability, and the difference between the respective carrying amounts is recognised in profit or loss.
Regular way purchases and sales of financial assets are recognised and derecognised using trade dateaccounting. Regular way purchases or sales are purchases or sales of financial assets that requiredelivery within the period generally established by regulation or convention in the marketplace. Thetrade date is the date that the Group committed to purchase or sell a financial asset.
Classification and measurement of financial assets
The classification of financial assets at initial recognition depends on the financial asset’s contractualcash flow characteristics and the Group’s business model for managing them: financial assets at fairvalue through profit or loss, financial assets at amortised cost and financial assets at fair value throughother comprehensive income. All affected related financial assets will be reclassified only if the Groupchanges its business model for managing financial assets.
Financial assets are measured at fair value on initial recognition, but accounts receivable or notesreceivable arising from the sale of goods or rendering of services that do not contain significantfinancing components or for which the Group has applied the practical expedient of not adjusting theeffect of a significant financing component due within one year, are initially measured at the transactionprice.
For financial assets at fair value through profit or loss, relevant transaction costs are directly recognisedin profit or loss, and transaction costs relating to other financial assets are included in the initialrecognition amounts.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(9) Financial instruments (Continued)
Classification and measurement of financial assets (Continued)
The subsequent measurement of financial assets depends on their classification as follows:
Debt investments measured at amortised costThe Group measures financial assets at amortised cost if both of the following conditions are met: thefinancial asset is held within a business model with the objective to hold financial assets in order tocollect contractual cash flows; the contractual terms of the financial asset give rise on specified dates tocash flows that are solely payments of principal and interest on the principal amount outstanding.Financial assets at amortised cost are subsequently measured using the effective interest method andare subject to impairment. Gains and losses are recognised in profit or loss when the asset isderecognised, modified or impaired.
Debt investments at fair value through other comprehensive incomeThe Group measures debt investments at fair value through other comprehensive income if both of thefollowing conditions are met: the financial asset is held within a business model with the objective ofboth holding to collect contractual cash flows and selling; the contractual terms of the financial assetgive rise on specified dates to cash flows that are solely payments of principal and interest on theprincipal amount outstanding. Interest income is recognised using the effective interest method. Theinterest income, impairment losses and foreign exchange revaluation are recognised in profit or loss.The remaining fair value changes are recognised in other comprehensive income. Upon derecognition,the cumulative fair value change recognised in other comprehensive income is recycled to profit or loss.
Equity investments at fair value through other comprehensive incomeThe Group can elect to classify irrevocably its equity investments which are not held for trading asequity investments designated at fair value through other comprehensive income. Only the relevantdividend income (excluding the dividend income explicitly recovered as part of the investment cost) isrecognised in profit or loss. Subsequent changes in the fair value are included in other comprehensiveincome, and no provision for impairment is made. When the financial asset is derecognised, theaccumulated gains or losses previously included in other comprehensive income are transferred fromother comprehensive income to retained earnings.
Financial assets at fair value through profit or lossThe financial assets other than the above financial assets measured at amortised cost and financialassets at fair value through other comprehensive income are classified as financial assets at fair valuethrough profit or loss. Such financial assets are subsequently measured at fair value with net changesin fair value recognised in profit or loss except for the derivatives designated as hedging instruments inan effective hedge.
Only when an accounting mismatch is eliminated or significantly decreased, financial assets aredesignated as financial assets at fair value through profit or loss at initial recognition.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(9) Financial instruments (Continued)
Classification and measurement of financial assets (Continued)
When an enterprise initially designates a financial asset as a financial asset at fair value through profitor loss, it cannot be reclassified to other financial assets; and other financial assets cannot be re-designated after initial recognition as financial assets measured at fair value through profit or loss.
Classification and measurement of financial liabilities
The Group’s financial liabilities are, on initial recognition, classified into financial liabilities at fair valuethrough profit or loss, other financial liabilities or derivatives designated as effective hedginginstruments. For financial liabilities at fair value through profit or loss, relevant transaction costs aredirectly recognised in profit or loss, and transaction costs relating to other financial liabilities areincluded in the initial recognition amounts.
The subsequent measurement of financial liabilities depends on their classification as follows:
Financial liabilities at fair value through profit or lossFinancial liabilities at fair value through profit or loss include financial liabilities held for trading (includingderivative instruments attributable to financial liabilities) and financial liabilities designated upon initialrecognition as at fair value through profit or loss. Financial liabilities held for trading (includingderivative instruments attributable to financial liabilities) are subsequently measured at fair value. Allchanges in fair value of such financial liabilities are recognised in profit or loss except for the derivativesdesignated as hedging instruments in an effective hedge. Financial liabilities designated at fair valuethrough profit or loss are subsequently measured at fair value and gains or losses are recognised inprofit or loss, except for the gains or losses arising from the Group’s own credit risk which are presentedin other comprehensive income. If gains or losses arising from the Group’s own credit risk which arepresented in other comprehensive income will lead to or expand accounting mismatch in profit or loss,the Group will include all the changes in fair value (including the amount affected by changes in theGroup’s own credit risk) of such financial liabilities in profit or loss.
Only if one of the following conditions is met can financial liabilities be designated as financial liabilitiesat fair value through profit or loss on initial recognition:
(1) It can eliminate or significantly reduce the accounting mismatch.
(2) The formal written document of the risk management or investment strategy has stated that the
portfolio of financial instruments is managed, evaluated and reported to key managers on thebasis of fair value.
(3) The financial liability is a hybrid instrument that contains one or more embedded derivatives,unless the embedded derivatives have no significant change in the cash flows of the hybridinstrument, or the embedded derivatives should obviously not be separated from the relatedhybrid instruments.
(4) Mixed instruments contain embedded derivatives that need to be split but cannot be measuredseparately at the time of acquisition or on subsequent balance sheet days.
When an enterprise designates a financial liability as a financial liability at fair value through profit orloss, it cannot be reclassified as other financial liabilities; nor can other financial liabilities be re-designated as financial liabilities at fair value through profit or loss after initial recognition.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(9) Financial instruments (Continued)
Classification and measurement of financial liabilities (Continued)
Other financial liabilitiesAfter initial recognition, such financial liabilities are measured at amortised cost using the effectiveinterest method.
Impairment of financial assets
Based on the expected credit losses (“ECLs”), the Group recognises an allowance for ECLs for thefinancial assets measured at amortised cost, debt investments at fair value through othercomprehensive income, and contract assets.
For trade receivables and contract assets that do not contain a significant financing component, theGroup applies the simplified approach to recognise a loss allowance based on lifetime ECLs.
For trade receivables and contract assets that contain a significant financing component, the Groupchooses to adopt the simplified approach to recognise a loss allowance based on lifetime ECLs.
Except for financial assets which apply the simplified approach as mentioned above and other financialassets, the Group assesses whether the credit risk has increased significantly since initial recognition ateach balance sheet date. If the credit risk has not increased significantly since initial recognition (stage
1), the loss allowance is measured at an amount equal to 12-month ECLs by the Group and the interestincome is calculated according to the carrying amount and the effective interest rate; if the credit riskhas increased significantly since initial recognition but are not credit-impaired (stage 2), the lossallowance is measured at an amount equal to lifetime ECLs by the Group and the interest income iscalculated according to the carrying amount and the effective interest rate; if such financial assets arecredit-impaired after initial recognition (stage 3), the loss allowance is measured at an amount equal tolifetime ECLs by the Group and the interest income is calculated according to the amortised cost andthe effective interest rate. If the credit risk of financial instruments is low at the balance sheet date, theGroup assumes that the credit risk has not increased significantly since initial recognition.
The Group evaluates the expected credit losses on financial instruments on a single and combinedbasis. Taking into account the credit risk characteristics of different customers, the Group evaluates theexpected credit losses on accounts receivable based on the aging portfolio.
Refer to Note X (3) for the disclosure of the Group's criteria for judging the significant increase in creditrisk, the definition of assets with impaired credit losses, and the assumption of measuring expectedcredit losses.
When the Group no longer reasonably expects to be able to recover all or part of the contract cashflows of the financial assets, the Group directly writes down the carrying amount of the financial asset.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(9) Financial instruments (Continued)
Offsetting of financial instruments
Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet ifthere is a currently enforceable legal right to offset the recognised amounts; and there is an intention tosettle on a net basis, or to realise the assets and settle the liabilities simultaneously.
Transfer of financial assets
A financial asset is derecognised when the Group has transferred substantially all the risks and rewardsof the asset to the transferee. A financial asset is not derecognised when the Group retainssubstantially all the risks and rewards of the financial asset.
When the Group has neither transferred nor retained substantially all the risks and rewards of thefinancial asset, it either (i) derecognises the financial asset and recognises the assets and liabilitiescreated in the transfer when it has not retained control of the asset; or (ii) continues to recognise thetransferred asset to the extent of the Group's continuing involvement, in which case, the Group alsorecognises an associated liability.
Continuing involvement that takes the form of a guarantee over the transferred financial asset ismeasured at the lower of the original carrying amount of the financial asset and the guarantee amount.The guarantee amount is the maximum amount of consideration that the Group could be required torepay.
(10) Notes receivables
For details of the method for determining the expected credit loss of notes receivable, please refer toNote V (9) “Financial instruments - Impairment of financial instruments”.
(11) Accounts receivables
For details of the method for determining the expected credit loss of accounts receivable, please referto Note V (9) “Financial instruments - Impairment of financial instruments”.
(12) Receivable financing
It includes notes receivable and accounts receivables designated at fair value through othercomprehensive income as at balance sheet date.
For details of the method for determining the expected credit loss of receivables financing, please referto Note V (9) “Financial instruments - Impairment of financial instruments”.
(13) Other receivables
For details of the method for determining the expected credit losses of other receivables, please refer toNote V (9) “Financial instruments - Impairment of financial instruments”.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(14) Inventories
Inventories include raw materials, work in progress, finished goods, delegate processing supplies andturnover materials, and are measured at the lower of cost and net realizable value.
Inventories are initially carried at cost. Cost of inventories comprises all costs of purchase, costs ofconversion and other costs. Cost is determined on the weighted average basis. Turnover materialsinclude low value consumables and packing materials, which are on the immediate write-off basis.
The Group adopts the perpetual inventory system.
At the balance sheet date, inventories are stated at the lower of cost and net realisable value. Theinventories are written down below cost to net realisable value and the write-down is recognised in profitor loss if the cost is higher than the net realisable value. When the circumstances that previouslycaused the inventories to be written down below cost no longer exist, in which case the net realisablevalue of inventories becomes higher than the carrying amount, the amount of the write-down isreversed. The reversal is limited to the amount of the original write-down, and is recognised in profit orloss.
Net realisable value is the estimated selling price in the ordinary course of business less the estimatedcosts of completion and the estimated costs necessary to make the sale and relevant taxes. Finishedgoods are written down item by item.
(15) Contract assets
The Group presents contract assets or contract liabilities depending on the relationship between thesatisfaction of its performance obligations and the customer’s payment in the balance sheet. TheGroup offsets the contract assets and contract liabilities under the same contract and presents the netamount.
A contract asset is the right to consideration in exchange for goods or services that the Group hastransferred to a customer, and that right is conditioned on something other than the passage of time.
For details of how the Group measures and accounts for the ECLs of a contract asset, refer to Note V
(10) “Financial instruments - Impairment of financial instruments”.
(16) Assets relating to contract cost
The Group’s contract cost assets include the costs to obtain and fulfil a contract and are classified asinventories, other current assets and other non-current assets by liquidity.
The Group recognises as an asset the incremental costs of obtaining a contract with a customer if theGroup expects to recover those costs, unless the amortisation period of the asset is one year or less.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(16) Assets relating to contract cost (Continued)
Other than the costs which are capitalised as inventories, fixed assets and intangible assets, etc., costsincurred to fulfil a contract with a customer are capitalised as an asset if all of the following criteria aremet:
(1) the costs relate directly to a contract or to an anticipated contract, including direct labour, direct
materials, overheads (or similar expenses), costs that are explicitly chargeable to the customerand other costs that are incurred only because an entity entered into the contract;
(2) the costs generate or enhance resources of the Group that will be used in satisfying
performance obligations in the future; and
(3) the costs are expected to be recovered.
The contract cost asset is amortised and charged to profit or loss on a systematic basis that isconsistent with the pattern of the revenue to which the asset related is recognised.
The Group accrues provisions for impairment and recognises impairment losses to the extent that thecarrying amount of a contract cost asset exceeds:
(1) the remaining amount of consideration that the entity expects to receive in exchange for the
goods or services to which the asset relates; less
(2) the costs that are expected to be incurred to transfer those related goods or services.
The Group recognises in profit or loss a reversal of the impairment loss previously recognised to theextent that the difference between (1) and (2) exceeds the carrying amount of the asset due to thesubsequent changes of the factors causing asset impairment in previous periods, but the carryingamount after the reversal does not exceed the carrying amount of the asset at the reversal date if noimpairment loss is otherwise recognised.
(17) Long-term equity investments
Long-term equity investments include equity investments in subsidiaries, joint ventures and associates.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(17) Long-term equity investments (Continued)
A long-term equity investment is initially measured at its initial investment cost on acquisition. For long-term equity investments arising from business combination involving enterprises under common control,the initial investment cost shall be the share of the carrying amount of equity of the acquiree in theconsolidated financial statements of the ultimate controlling party as at the combination date. Thedifference between the initial investment cost and book value of consideration of combination isadjusted to capital reserves, and to retained earnings if capital reserves is insufficient. Othercomprehensive income recognised before the combination date is accounted for on the same basis aswould have been required if the investee had directly disposed of the related assets or liabilities. Equitypreviously recognised resulting from the investee’s equity changes other than profit or loss, othercomprehensive income and profit distribution is reclassified to profit or loss. Equity which still involves along-term investment after disposal is reclassified to profit or loss on a pro-rata basis and equity whichswiches to a financial instrument after disposal is fully reclassified to profit or loss. For long-term equityinvestments arising from business combination involving enterprises not under common control, theinvestment cost shall be the combination cost. (For a business combination achieved in stages, theinitial investment cost is determined as the sum of the carrying amount of equity of the acquiree and theadditional investment costs on the combination date.) The combination cost involves the assets paid bythe acquirer, liabilities incurred and the fair value of equity securities. Other comprehensive incomesrecognised using the equity method before the combination date is accounted for on the same basis aswould have been required if the investee had directly disposed of the related assets or liabilities. Equitypreviously recognised resulting from the investee’s equity changes other than profit or loss, othercomprehensive income and profit distribution is reclassified to profit or loss. Equity which still involves along-term investment after disposal is reclassified to profit or loss on a pro-rata basis and equity whichswiches to a financial instrument after disposal is fully reclassified to profit or loss. The accumulatedchanges in the fair value of financial assets at fair value through other comprehensive income isreclassified to retained earnings when adopting the cost method. Depending on the way of acquisitionof long-term equity investments, the initial investment cost is determined as follows: For long-termequity investments acquired by way of cash payment, the initial investment cost includes all directlyassociated expenses, applicable taxes and fees, and other necessary expenses. For long-term equityinvestments acquired by way of issuing equity securities, the initial investment cost includes the fairvalue of equity securities. For long-term equity investments acquired by way of the swap of non-monetary assets, the initial investment cost shall be determined in accordance with “ASBE No. 7 —Swap of Non-monetary Assets.” For long-term equity investments acquired by way of debt restructuring,the initial investment cost shall be determined in accordance with “ASBE No. 12 — Debt Restructuring.”
For a long-term equity investment where the Company can exercise control over the investee, the long-term investment is accounted for using the cost method in the Company’s individual financialstatements. Control is achieved when the Group is exposed, or has rights, to variable returns from itsinvolvement with the investee and has the ability to affect those returns through its power over theinvestee.
Under the cost method, the long-term equity investment is measured at its initial investment cost.When additional investment is made or the investment is recouped, the cost of long-term equityinvestment is adjusted accordingly. Cash dividends or profit distributions declared by the investee arerecognised as investment income in profit or loss.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(17) Long-term equity investments (Continued)
The equity method is adopted when the Group has joint control, or exercises significant influence overthe investee. Joint control is the contractually agreed sharing of control of an arrangement, which existsonly when decisions about the relevant activities require the unanimous consent of the parties sharingcontrol. Significant influence is the power to participate in the financial and operating policy decisions ofthe investee, but is not control or joint control with other parties over those policies.
Under the equity method, where the initial investment cost of a long-term equity investment exceeds theGroup’s interest in the fair value of the investee’s identifiable net assets at the acquisition date, noadjustment is made to the initial investment cost. Where the initial investment cost is less than theGroup’s interest in the fair values of the investee’s identifiable net assets at the acquisition date, thedifference is charged to profit or loss, and the cost of the long-term equity investment is adjustedaccordingly.
Under the equity method, after it has acquired a long-term equity investment, the Group recognises itsshare of the investee’s profit or loss, as well as its share of the investee’s other comprehensive income,as investment income or loss and other comprehensive income, and adjusts the carrying amount of theinvestment accordingly. The Group recognises its share of the investee’s profit or loss after makingappropriate adjustments to the investee’s profit or loss based on the fair value of the investee’sidentifiable assets at the acquisition date, using the Group’s accounting policies and periods.Unrealised profits and losses from transactions with its joint ventures and associates are eliminated tothe extent of the Group’s investments in the associates or joint ventures (except for assets thatconstitute a business) (However, any loss arising from such transactions which are attributable to animpairment loss shall be recognised at its entirety). The carrying amount of the investment is reducedbased on the Group’s share of any profit distributions or cash dividends declared by the investee. TheGroup’s share of net losses of the investee is recognised to the extent that the carrying amount of theinvestment together with any long-term interests that in substance form part of its net investment in theinvestee is reduced to zero, except that the Group has the obligations to assume further losses. TheGroup’s owner’s equity changes, other than those arising from the investee’s profit or loss, othercomprehensive income or profit distribution, is recognised in the Group’s equity, and the carryingamount of the long-term equity investment is adjusted accordingly.
Upon disposal of a long-term equity investment, the difference between the proceeds actually receivedand the carrying amount is recognised in profit or loss. For a long-term equity investment accounted forusing the equity method, when the Group discontinues using the equity method due to disposal, allamounts previously recognised in other comprehensive income are accounted for on the same basis aswould have been required if the investee had directly disposed of the related assets or liabilities. Equitypreviously recognised resulting from the owner’s equity changes other than profit or loss, othercomprehensive income and profit distribution is reclassified to profit or loss in its entirety. When theGroup continues to use the equity method, the amounts previously recognised in other comprehensiveincome are accounted for on the same basis as would have been required if the investee had directlydisposed of the related assets or liabilities and reclassified to profit or loss on a pro-rata basis. Equitypreviously recognised resulting from the investee’s equity changes other than profit or loss, othercomprehensive income and profit distribution is reclassified to profit or loss on a pro-rata basis.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(18) Investment properties
Investment properties are properties held to earn rental income and/or for capital appreciation.Investment properties include land use rights leased out, land use rights held for transfer upon capitalappreciation, and buildings leased out.
An investment property is measured initially at cost. If the economic benefits relating to an investmentproperty will probably flow in and the cost can be reliably measured, subsequent costs incurred for theproperty are included in the cost of the investment property. Otherwise, subsequent costs arerecognised in profit or loss as incurred.
The Group adopts the cost model for subsequent measurement of investment properties. Buildings andland use rights are depreciated or amortized to their estimated net residual values over their estimateduseful lives. The estimated useful lives, the estimated net residual values that are expressed as apercentage of cost and the annual depreciation (amortization) rates of investment properties are asfollows:
Estimated useful lives | Estimated residual value | Annual depreciation (amortization) rates | |
Buildings and Constructions | 5-35 years | 0-5% | 2.71-19.00% |
Land use rights | 40-50 years or No fixed useful life | - | 2.00-2.50% |
When an investment property is transferred to owner-occupied property, it is reclassified as a fixedasset or intangible asset at the date of transfer. When an owner-occupied property is transferred out forearning rentals or for capital appreciation, the fixed asset or intangible asset is reclassified as aninvestment property at its carrying amount at the date of transfer.
The investment properties’ useful life, net residual value and depreciation (amortization) method appliedare reviewed and adjusted as appropriate at the end of each year.
(19) Fixed assets
Recognition criteriaA fixed asset is recognised only when the economic benefits associated with the asset will probablyflow into the Group and the cost of the asset can be measured reliably. Subsequent expendituresincurred for a fixed asset that meets the recognition criteria shall be included in the cost of the fixedasset, and the carrying amount of the component of the fixed asset that is replaced shall bederecognised. Otherwise, such expenditures are recognised in profit or loss as incurred. Fixed assetsare initially measured at cost, by taking into account the effect of any asset retirement obligations. Thecost of a purchased fixed asset comprises the purchase price, relevant taxes and any directlyattributable expenditure for bringing the asset to working condition for its intended use. The Groupreviews the useful life and estimated net residual value of a fixed asset and the depreciation methodapplied at least at each year end, and make adjustments if necessary.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(19) Fixed assets (Continued)
Depreciation method
Estimated useful lives Estimated residual value Annual depreciationrates
Buildings and constructtions 10-40 years 3-5% 2.38-9.70%Machinery andequipment 5-14 years 3-5% 6.79-19.40%Motor vehicles 3-10 years 5% 9.50-31.67%Office equipments 3-10 years 5% 9.50-31.67%Electronic equipments 3-10 years 0-5% 9.50-33.33%
(20) Construction in progress
The cost of construction in progress is determined according to the actual expenditures incurred for theconstruction, including all necessary construction expenditures incurred during the construction period,borrowing costs that shall be capitalised before the construction is ready for its intended use, and otherrelevant expenditures.
An item of construction in progress is transferred to fixed assets when the asset is ready for its intendeduse.
(21) Borrowing costs
Borrowing costs are interest and other costs incurred by the Group in connection with the borrowing ofthe funds. Borrowing costs include interest, amortisation of discounts or premiums related toborrowings, ancillary costs incurred in connection with the arrangement of borrowings, and exchangedifferences arising from foreign currency borrowings.
The borrowing costs that are directly attributable to the acquisition, construction or production of aqualifying asset are capitalised. The amounts of other borrowing costs incurred are recognised as anexpense in the period in which they are incurred. Qualifying assets are assets (fixed assets, investmentproperties, inventories, etc.) that necessarily take a substantial period of time of acquisition,construction or production to get ready for their intended use or sale.
The capitalisation of borrowing costs commences only when all of the following conditions are satisfied:
(1) expenditures for the asset have been incurred;
(2) borrowing costs have been incurred; and
(3) activities that are necessary to acquire, construct or produce the asset for its intended use or
sale have been undertaken.
Capitalisation of borrowing costs ceases when the qualifying asset being acquired, constructed orproduced gets ready for its intended use or sale. Any borrowing costs subsequently incurred arerecognised in profit or loss.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(21) Borrowing costs (Continued)
During the capitalisation period, the amount of interest eligible for capitalisation for each accountingperiod shall be determined as follows:
(1) where funds are borrowed specifically for the purpose of obtaining a qualifying asset, the
amount of interest eligible for capitalisation is the actual interest costs incurred on thatborrowing for the period less any bank interest earned from depositing the borrowed fundsbefore being used on the asset or any investment income on the temporary investment of thosefunds; or
(2) where funds are borrowed generally for the purpose of obtaining a qualifying asset, the amount
of interest eligible for capitalisation is determined by applying a weighted average interest rateon the general borrowings to the weighted average of the excess of the cumulativeexpenditures on the asset over the expenditures on the asset funded by the specificborrowings.
Capitalisation of borrowing costs is suspended during periods in which the acquisition, construction orproduction of a qualifying asset is suspended abnormally by activities other than those necessary to getthe asset ready for its intended use or sale, when the suspension is for a continuous period of morethan 3 months. Borrowing costs incurred during these periods are recognised as an expense in profit orloss until the acquisition, construction or production is resumed.
(22) Right-of-use assets
The right-of-use assets of the Group mainly include buildings, machinery, vehicles, office equipmentsand other equipments (such as land use right).
At the commencement date of the lease, the Group recognises a right-of-use asset. The cost of theright-of-use asset comprises: (i) the amount of the initial measurement of the lease liability; (ii) anylease payments made at or before the commencement date of the lease less any lease incentivesreceived; (iii) any initial direct cost incurred; and (iv) an estimate of costs incurred by the lessee indismantling and removing the underlying asset, restoring the site on which it is located or restoring theunderlying asset to the condition required by the terms and conditions of the lease. The right-of-useassets are depreciated on a straight-line basis subsequently by the Group. If the Group is reasonablycertain that the ownership of the underlying asset will be transferred to the Group at the end of thelease term, the Group depreciates the asset from the commencement date to the end of the useful lifeof the asset. Otherwise, the Group depreciates the assets from the commencement date to the earlierof the end of the useful life of the asset or the end of the lease term.
The Group remeasures the lease liability at the present value of the changed lease payments andadjusts the carrying amount of the right-of-use assets accordingly, when the carrying amount of theright-of-use asset is reduced to zero, and there is a further reduction in the measurement of the leaseliability, the Group recognises the remaining amount of the remeasurement in profit or loss.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(23) Intangible assets
An intangible asset shall be recognised only when it is probable that the economic benefits associatedwith the asset will flow to the Group and the cost of the asset can be measured reliably. Intangibleassets are measured initially at cost. However, intangible assets acquired in a business combinationnot involving entities under common control with a fair value that can be measured reliably arerecognised separately as intangible assets and initially measured at the fair value at the date ofacquisition.
The useful life of an intangible asset is determined according to the period over which it is expected togenerate economic benefits for the Group. An intangible asset is regarded as having an indefiniteuseful life when there is no foreseeable limit to the period over which the asset is expected to generateeconomic benefits for the Group.
The useful lives of the intangible assets are as follows:
Categories | Useful lives | |
Land use rights | Between the approved useful period and the Company’s operating period | |
Software | 3-10 years | |
Trademarks and Brand use rights | 10 years or No fixed life | |
Distribution network | 10-20 years | |
Franchising rights | 10 years | |
Favorable leases | 16-20 years |
Land use rights that are purchased by the Group are accounted for as intangible assets. Buildings, suchas plants that are developed and constructed by the Group, and relevant land use rights are accountedfor as fixed assets and intangible assets, respectively. Payments for the land and buildings purchasedare allocated between the land use rights and the buildings; they are accounted for as fixed assets ifthey cannot be reasonably allocated.
An intangible asset with a finite useful life is amortised using the straight-line method over its useful life.For an intangible asset with a finite useful life, the Group reviews the useful life and amortisationmethod at least at each year end and makes adjustment if necessary.
Land use rights allocated by the State are regarded as an intangible asset with an indefinite useful lifedue to an uncertain useful life. The impairment test should be conducted for the intangible assets withthe indefinite service life every year to determine whether the impairment exists. The intangible assetswith the indefinite service life shall not be amortized, and the Company shall make the review of theservice life of the intangible assets during every accounting period. If evidence prove that useful livesare finite, the Group accounts for the intangible assets in accordance with intangible assets with a finiteuseful life.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(23) Intangible assets (Continued)
Internal research and development project
The Group classifies the expenses for internal research and development as research costs anddevelopment costs. All research costs are charged to the current profit or loss as incurred. Expenditureincurred on projects to develop new products is capitalised and deferred only when the Group candemonstrate the technical feasibility of completing the intangible asset so that it will be available for useor sale, its intention to complete and its ability to use or sell the asset, how the asset will generate futureeconomic benefits (including demonstration that the product derived from the intangible asset or theintangible asset itself will be marketable or, in the case of internal use, the usefulness of the intangibleasset as such), the availability of technical and financial resources to complete the project and procurethe use or sale of the intangible asset, and the ability to measure reliably the expenditure during thedevelopment. Product development expenditure which does not meet these criteria is expensed whenincurred.
Development costs previously recognised as expenses are not recognised as an asset in a subsequentperiod. Capitalized expenditure on the development phase is presented as development costs in thebalance sheet and transferred to intangible assets at the date that the asset is ready for its intendeduse.
(24) Impairment of long-term assets
The Group determines the impairment of assets, other than the impairment of inventories, investmentproperties measured using the fair value model, deferred tax assets, financial assets and assetsclassified as held for sale, using the following methods:
The Group assesses at the balance sheet date whether there is any indication that an asset may beimpaired. If any indication exists that an asset may be impaired, the Group estimates the recoverableamount of the asset and performs impairment testing. Goodwill arising from a business combinationand an intangible asset with an indefinite useful life are tested for impairment at least at each year end,irrespective of whether there is any indication that the asset may be impaired. Intangible assets thathave not been ready for their intended use are tested for impairment each year.
The recoverable amount of an asset is the higher of its fair value less costs to sell and the present valueof the future cash flows expected to be derived from the asset. The Group estimates the recoverableamount on an individual basis unless it is not possible to estimate the recoverable amount of theindividual asset, in which case the recoverable amount is determined for the asset group to which theasset belongs. Identification of an asset group is based on whether major cash inflows generated bythe asset group are largely independent of the cash inflows from other assets or asset groups.
When the recoverable amount of an asset or asset group is less than its carrying amount, the carryingamount is reduced to the recoverable amount by the Group. The reduction in the carrying amount istreated as an impairment loss and recognised in profit or loss. A provision for impairment loss of theasset is recognised accordingly.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(24) Impairment of long-term assets (Continued)
For the purpose of impairment testing, the carrying amount of goodwill acquired in a businesscombination is allocated from the acquisition date on a reasonable basis, to each of the related assetgroups unless it is impossible to allocate to the related asset groups, in which case it is allocated toeach of the related sets of asset groups. Each of the related asset groups or sets of asset groups is anasset group or a set of asset groups that is expected to benefit from the synergies of the businesscombination and shall not be larger than a reportable segment determined by the Group.
When testing an asset group (a set of asset groups) to which goodwill has been allocated forimpairment, if there is any indication of impairment, the Group firstly tests the asset group (set of assetgroups), excluding the amount of goodwill allocated, for impairment, i.e., the Group determines andcompares the recoverable amount with the related carrying amount and recognises any impairmentloss. After that, the Group tests the asset group (set of asset groups), including goodwill, forimpairment, the carrying amount of the related asset group (set of asset groups) is compared to itsrecoverable amount. If the carrying amount of the asset group (set of asset groups) is higher than itsrecoverable amount, the amount of the impairment loss is firstly used to reduce the carrying amount ofthe goodwill allocated to the asset group (set of asset groups), and then used to reduce the carryingamount of other assets (other than the goodwill) within the asset group (set of asset groups), on a pro-rata basis of the carrying amount of each asset.
Once the above impairment loss is recognised, it cannot be reversed in subsequent accounting periods.
(25) Long-term prepaid expenses
Long-term prepaid expenses include the expenditure for improvements to fixed assets under operatingleases, and other expenditures that have been made but should be recognised as expenses over morethan one year in the current and subsequent periods. Long-term prepaid expenses are amortized on thestraight-line basis over the expected beneficial period and are presented at actual expenditure net ofaccumulated amortization.
(26) Contract liabilities
The Group presents contract assets or contract liabilities depending on the relationship between thesatisfaction of its performance obligations and the customer’s payment in the balance sheet. TheGroup offsets the contract assets and contract liabilities under the same contract and presents the netamount.
A contract liability is the obligation to transfer goods or services to a customer for which the Group hasreceived consideration or an amount of consideration is due from the customer, such as an amount ofconsideration that an entity has received before the transfer of the promised goods or services.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(27) Employee benefits
Employee benefits refer to all forms of consideration or compensation other than share-basedpayments given by the Group in exchange for services rendered by employees or for termination ofemployment. Employee benefits include short-term employee benefits, post-employment benefits,termination benefits and other long-term employee benefits. Benefits given by the Group to anemployee’s spouse, children and dependents.
Short-term employee benefits
The actual occurred short-term employee benefits are recognized as liabilities during the accountingperiod in which the service has been rendered by the employees and as costs of assets or expenses towhichever the employee service is attributable.
Post-employment benefits (defined contribution plans)
The employees of the Group participate in a pension scheme and unemployment insurance managedby the local government, and an enterprise pension fund, the corresponding expenses shall be includedin the cost of related assets or profit or loss.
Post-employment benefits (defined benefit plans)
The Group operates a defined benefit pension plan which requires contributions to be made to aseparately administered fund. The benefits are unfunded. The cost of providing benefits under thedefined benefit plan is determined using the projected unit credit method.
Remeasurements arising from the defined benefit pension plan, comprising actuarial gains and losses,the effect of the asset ceiling (excluding amounts included in net interest on the net defined benefitliability) and the return on plan assets (excluding amounts included in net interest on the net definedbenefit liability), are recognised immediately in the balance sheet with a corresponding debit or credit toequity through other comprehensive income in the period in which they occur. Remeasurements arenot reclassified to profit or loss in subsequent periods.
Past service costs are recognised in profit or loss at the earlier of the date of the plan amendment andthe date that the Group recognises restructuring-related costs or termination benefits.
Net interest is calculated by applying the discount rate to the net defined benefit liability or asset. TheGroup recognises the following changes in the net defined benefit obligation under administrativeexpenses and finance expenses in the income statement: service costs comprising current servicecosts, past service costs, gains and losses on settlements; net interest comprising interest income onplan assets, interest costs on the defined benefit obligation and interest on the effect of the assetceiling.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(27) Employee benefits (Continued)
Termination benefits
The Group provides termination benefits to employees and recognises an employee benefits liability fortermination benefits, with a corresponding charge to profit or loss, at the earlier of when the Group canno longer withdraw the offer of those benefits resulting from an employment termination plan or acurtailment proposal and when the Group recognise costs involving the payment of termination benefits.
The Group offers termination benefits to the employees who accept internal retirement arrangements.Termination benefits refers to salaries and social securities paid to the employees who voluntarily retireand approved by the management before the legal retirement age. The Group pays termination benefitsfrom the date of the starting of internal retirement arrangements to legal retirement age. When meetingthe recognition criteria, termination benefits are recognised as liabilities from the date on which theemployees stop offering services to the legal retirement date and recognised in profit or loss asincurred.
The change of termination benefits’ actuarial assumptions and difference incurred by theadjustment of welfare standards are recognised in profit or loss as incurred.
The termination benefits expected to be settled within one year since the balance sheet date areclassified as current liabilities.
Other long term employee benefits
Other long-term employee’ benefits provided to employees shall be recognised and measured as netliabilities or net assets where provisions regarding post-employment benefits are applicable, providedthat changes shall be included in the current profit and loss or related asset costs.
(28) Lease liability
At the commencement date of the lease, the Group measures the lease liability at the present value ofthe lease payments that are not paid at that date, except for short-term leases and leases of low-valueassets. In calculating the present value of the lease payments, the Group uses the interest rate implicitin the lease as the discount rate. If that rate cannot be readily determined, the Group uses the lessee’sincremental borrowing rate. The Group calculates the interest expenses of the lease liability in eachperiod during the lease term using the constant periodic rate of interest, and recognises such interestexpenses in profit or loss, except those in the costs of the related asset as required. Variable leasepayments that are not included in the measurement of the lease liabilities are recognised in profit orloss as incurred, except those in the costs of the related asset as required.
After the commencement date of the lease, the Group remeasures lease liabilities with changed presentvalue of the lease payments when fixed payment, expected unguaranteed residual value payable, theinterest rate implicit in the lease as the discount rate, purchase options, options to extend the lease ordetermination of the lease term change.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(29) Provisions
An obligation related to a contingency shall be recognised by the Group as a provision when all of thefollowing conditions are satisfied, except for contingent considerations and contingent liabilitiesassumed in a business combination not involving entities under common control:
(1) the obligation is a present obligation of the Group;
(2) it is probable that an outflow of economic benefits from the Group will be required to settle the
obligation; and
(3) a reliable estimate can be made of the amount of the obligation.
A provision is initially measured at the best estimate of the expenditure required to settle the relatedpresent obligation, taking into account factors pertaining to a contingency such as the risks,uncertainties and time value of money as a whole. Provisions are reviewed at each balance sheet date.Where there is clear evidence that the carrying amount of a provision does not reflect the current bestestimate, the carrying amount is adjusted to the current best estimate.
A contingent liability recognised in a business combination not involving entities under common controlis initially measured at fair value. Subsequently, it is measured at the higher of: (i) the amount thatwould be recognised in accordance with the general policy for provisions above; and (ii) the amountinitially recognised less cumulative amortisation recognised in accordance with the policy for revenuerecognition.
(30) Share-based payments
A share-based payment is classified as either an equity-settled share-based payment or a cash-settledshare-based payment. An equity-settled share-based payment is a transaction in which the Groupreceives services and uses shares or other equity instruments as consideration for settlement.
An equity-settled share-based payment in exchange for services received from employees is measuredat the fair value of the equity instruments granted to the employees. If such equity-settled share-basedpayment could vest immediately, related costs or expenses at an amount equal to the fair value on thegrant date are recognised, with a corresponding increase in capital reserves; if such equity-settledshare-based payment could not vest until the completion of services for a vesting period, or until theachievement of a specified performance condition, the Group at each balance sheet date during thevesting period recognises the services received for the current period as related costs and expenses,with a corresponding increase in capital reserves, at an amount equal to the fair value of the equityinstruments at the grant date, based on the best estimate of the number of equity instruments expectedto vest, which is made on the basis of the latest available information such as the changes in thenumber of covered employees and whether specified performance conditions have been met. The fairvalue is determined using the binomial model.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(30) Share-based payments (Continued)
The cost of equity-settled transactions is recognised, together with a corresponding increase in capitalreserves, over the period in which the specified performance or service conditions are fulfilled. Thecumulative expense recognised for equity-settled transactions at each balance sheet date until thevesting date reflects the extent to which the vesting period has expired and the Group’s best estimate ofthe number of equity instruments that will ultimately vest.
For awards that do not ultimately vest because non-market performance and/or service conditions havenot been met, no expense is recognised. Where awards include a market or non-vesting condition, thetransactions are treated as vesting irrespective of whether the market or non-vesting condition issatisfied, provided that all other performance and/or service conditions are satisfied.
Where the terms of an equity-settled share-based award are modified, as a minimum an expense isrecognised as if the terms had not been modified. In addition, an expense is recognised for anymodification that increases the total fair value of the share-based payments, or is otherwise beneficial tothe employee as measured at the date of modification.
Where an equity-settled share-based award is cancelled, it is treated as if it had vested on the date ofcancellation, and any expense not yet recognised for the award is recognised immediately. Thisincludes any award where non-vesting conditions within the control of either the Group or the employeeare not met. However, if a new award is substituted for the cancelled award, and is designated as areplacement on the date that it is granted, the cancelled and new awards are treated as if they were amodification of the original award.
The cost of cash-settled transactions is measured at the fair value of the liability which is determined onthe basis of shares or other equity instruments of the Group. It is initially recognised at the fair value onthe grant date using binomial model together with the consideration of terms and conditions on whichthe equity instruments are granted. If the rights under a cash-settled share-based payment could vestimmediately, related costs or expenses at an amount equal to the fair value on the grant date arerecognised, with a corresponding increase in liability. If the rights under a cash-settled share-basedpayment could not vest until the completion of services for a vesting period, or until achievement of aspecified performance condition, the Group at each balance sheet date during the vesting periodrecognises the services received for the current period as related costs and expenses, with acorresponding increase in liability, at an amount equal to the fair value of the liability based on the bestestimate of the outcome of vesting. The liability is measured at each balance sheet date up to andincluding the settlement date, with changes in fair value recognised in profit or loss.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(31) Revenue recognition
Revenue from contracts with customers is recognised when the Group has fulfilled its performanceobligations in the contracts, that is, when the customer obtains control of relevant goods or services.Control of relevant goods or services refers to the ability to direct the use of the goods, or the provisionof the services, and obtain substantially all of the remaining benefits from the goods or services.
Contracts for sale of goods
The contracts for the sale of goods between the Group and its customer usually only contain theperformance obligations for the transfer of goods. The Group generally recognizes revenue at the pointof transferring the control of goods on the basis of a combination of the following factors: the currentright to collect the goods, the transfer of major risks and benefits in the ownership of the goods, and thetransfer of the legal ownership of the goods, the transfer of physical assets of the goods and that thecustomers have accepted the goods.
Service Contracts
The service contracts between the Group and its customers usually consist of performance obligationssuch as storage and logistics and so on. As the Group's performance of contracts is at the same timewhen the customer obtains and consumes the economic benefits of the performance of the Group, andthe Group has the right to collect receivables from the performance of contacts that has beencompleted to date, the Group regards it as a contract obligation over a period of time, except that theprogress of performance cannot be reasonably determined. The Group determines the progress of theperformance of contracts in accordance with the input method. If the progress of performance ofcontracts cannot be reasonably determined and the cost incurred by the Group is expected to becompensated, the revenue is recognised on the basis of the incurred costs until the progress ofperformance of contacts can be reasonably measured.
Variable consideration
Some of the Group's contracts with customers including arrangements of sales rebates (list items inaccordance with the customer’s actual conditions, such as early completion awards or others) result invariable consideration. The Group determines the best estimate of variable consideration by using theexpected value method or the most likely amount method. However, the transaction price includingvariable consideration is only to the extent that it is highly probable that a significant reversal in theamount of cumulative revenue recognised will not occur when the uncertainty associated with thevariable consideration is subsequently resolved.
Consideration payable to customers
Where consideration is payable by the Group to a customer, such consideration payable shall bededucted against the transaction price, and against current revenue upon the recognition of revenue orthe payment of (or the commitment to pay) the consideration to the customer (whichever is later), savefor consideration payable to the customer for the purpose of acquiring from the customer other clearlyseparable products.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(31) Revenue recognition (Continued)
Return clauses
In connection with sales with a return clause, revenue is recognised according to the amount ofconsideration it expects to be entitled to for the transfer to a customer when the customer acquirescontrol of the relevant products. Amounts expected to be refunded for the return of sales are recognisedas liabilities. At the same time, the balance of the carrying value of the product expected to be returnedupon transfer less expected costs for the recall of such product (including an impairment loss of therecalled product) shall be recognised as an asset (i.e. cost of return receivables), and the net amount ofthe carrying value of the transferred product upon the transfer less the aforesaid asset cost shall betransferred to cost. At each balance sheet date, the Group reassesses the future return of sales andremeasures the above assets and liabilities.
Significant financing component
Where a contract contains a significant financing component, the Group determines transaction pricesbased on amounts payable assumed to be settled in cash by customers immediately upon theacquisition of control over the products. The difference between such transaction price and contractconsideration is amortised over the contract period using the effective interest rate method based on aratio that discounts the nominal contractual consideration to the current selling price of the products.
The Group shall not give consideration to any significant financing component in a contract if the gapbetween the customer’s acquisition of control over the products and payment of consideration isexpected to be less than 1 year.
Warranty clauses
The Group provides quality assurance for products sold and assets built in accordance with contractterms and laws and regulations. The accounting treatment of quality assurance in the form of warrantyassuring customers products sold are in compliance with required standards is set out in Note V.36.Where the Group provides a service warranty for a standalone service in addition to the assurance ofcompliance of products with required standards, such warranty is treated as a stand-alone contractualperformance obligation, and a portion of the transaction price shall be allocated to the service warrantybased on a percentage of the stand-alone price for the provision of the product and service warranty.When assessing whether a warranty is rendering a stand-alone service in addition to providingguarantee to customers that all sold goods are in compliance with required standards, the Group willconsider whether or not such warranty is a statutory requirement, the term of the warranty and thenature of the Group’s undertaking to perform its obligations.
Reward points program
The Group grants reward points to customers when selling goods. Customers can use reward points toredeem free or discounted goods provided by the Group. This reward points program providessignificant rights to customers, and the Group considers it as an individual performance obligation, andapportions part of the transaction prices to reward points based on pricing of goods or services withwarranty clauses. Revenue is recognised when customers obtain goods redeemed or when rewardpoints expire.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(31) Revenue recognition (Continued)
Principal responsible person/proxy
For goods or other assets obtained from a third party which were transferred later to customers, theGroup has the right to decide, independently, the pricing of goods. This means that the Group hasobtained control over related goods before transferring to customers. Therefore, the Group is theprincipal responsible person, and revenue is recognised based on the total amount of considerationreceived or receivable. Otherwise, the Group is proxy, and revenue is recognised based on expectedcommission. This amount should be the total amount of consideration received or receivable net of theamount payable to other parties, or based on the fixed amount or percentage.
(32) Government grants
Government grants are recognised when all attaching conditions will be complied with and the grantswill be received. If a government grant is in the form of a transfer of a monetary asset, it is measured atthe amount received or receivable. If a government grant is in the form of a transfer of a non-monetaryasset, it is measured at fair value; if fair value is not reliably determinable, it is measured at a nominalamount.
Government grants related to assets refer to government assets which are granted to enterprises forthe long-term assets formed by acquisition, construction or in other manners. Government grantsrelated to income refer to government grants other than those related to assets.
A government grant related to income is accounted for as follows: (i) if the grant is a compensation forrelated expenses or losses to be incurred in subsequent periods, the grant is recognised as deferredincome, and released in profit or loss or offset against related expenses over the periods in which therelated costs are recognised; or (ii) if the grant is a compensation for related expenses or losses alreadyincurred, it is recognised immediately in profit or loss or offset against relevant expenses.
A government grant relating to an asset shall be offset against the carrying amounts of relevant assets,or recognised as deferred income and amortised in profit or loss over the useful life of the related assetby annual instalments in a systematic and rational way (however, a government grant measured at anominal amount is recognised directly in profit or loss). Where the assets are sold, transferred, retiredor damaged before the end of their useful lives, the rest of the remaining deferred income is released toprofit or loss for the period in which the relevant assets are disposed of.
(33) Income tax
Income tax comprises current and deferred tax. Income tax is recognised as income or expense inprofit or loss, or recognised directly in equity if it arises from a business combination or relates to atransaction or event which is recognised directly in equity.
Current tax liabilities or assets arising from the current and prior periods at the amount expected to bepaid by the Group or returned by the tax authority calculated according to related tax laws.Deferred tax is provided using the balance sheet liability method, on all temporary differences at thebalance sheet date between the tax bases of assets and liabilities and their carrying amounts, andtemporary differences between the tax bases and the carrying amounts of the items, which have a taxbase according to related tax laws but are not recognised as assets and liabilities.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(33) Income tax (Continued)
Deferred tax liabilities are recognised for all taxable temporary differences, except:
(1) when the taxable temporary difference arises from the initial recognition of goodwill, or an asset
or liability in a transaction that is not a business combination and, at the time of transaction,affects neither accounting profit nor taxable profit or loss; and
(2) in respect of taxable temporary differences associated with investments in subsidiaries,
associates and joint ventures, when the timing of the reversal of the temporary differences canbe controlled and it is probable that the temporary differences will not be reversed in theforeseeable future.
Deferred tax assets are recognised for all deductible temporary differences, and the carryforward ofunused tax losses and any unused tax credits. Deferred tax assets are recognised to the extent that itis probable that taxable profit will be available against which the deductible temporary differences, thecarryforward of unused tax losses and unused tax credits can be utilised, except:
(1) when the deductible temporary difference arises from the initial recognition of an asset or
liability in a transaction that is not a business combination and, at the time of the transaction,affects neither the accounting profit nor taxable profit or loss; and
(2) in respect of the deductible temporary differences associated with investments in subsidiaries,
associates and joint ventures, deferred tax assets are only recognised to the extent that it isprobable that the temporary differences will be reversed in the foreseeable future and taxableprofit will be available against which the temporary differences can be utilised in the future.
At the balance sheet date, deferred tax assets and liabilities are measured at the tax rates that areexpected to apply to the period when the asset is realised or the liability is settled, in accordance withthe requirements of tax laws. The measurement of deferred tax assets and deferred tax liabilitiesreflects the tax consequences that would follow from the manner in which the Group expects, at thebalance sheet date, to recover the assets or settle the liabilities.
The carrying amount of deferred tax assets is reviewed at the balance sheet date and reduced to theextent that it is no longer probable that sufficient taxable profit will be available in future periods to allowthe deferred tax assets to be utilised. Unrecognised deferred tax assets are reassessed at the balancesheet date and are recognised to the extent that it has become probable that sufficient taxable profit willbe available to allow all or part of the deferred tax asset to be recovered.
Deferred tax assets and deferred tax liabilities are offset if and only if the Group has a legallyenforceable right to set off current tax assets and current tax liabilities, and the deferred tax assets anddeferred tax liabilities relate to income taxes levied by the same taxation authority on either the sametaxable entity or different taxable entities which intend either to settle current tax liabilities and assets ona net basis, or to realise the assets and settle the liabilities simultaneously, in each future period inwhich significant amounts of deferred tax liabilities or assets are expected to be settled or recovered.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Lease
Identification of leases
At inception of a contract, the Group assesses whether the contract is, or contains, a lease. A contractis, or contains, a lease if the contract conveys the right to control the use of an identified asset for aperiod of time in exchange for consideration. To assess whether a contract conveys the right to controlthe use of an identified asset for a period of time, the Group assesses whether, throughout the period ofuse, the customer has both of the right to obtain substantially all of the economic benefits from use ofthe identified asset and the right to direct the use of the identified asset.Identification of separate lease components
For a contract that contains multiple separate lease components, the Group separates the componentsof the contract and accounts for each separate lease component. The right to use an underlying assetis a separate lease component if both:
(1) the lessee can benefit from use of the underlying asset either on its own or together with other
resources that are readily available to the lessee; and
(2) the underlying asset is neither highly dependent on, nor highly interrelated with, the other
underlying assets in the contract.
Separating lease components and non-lease components
For a contract that contains lease components and non-lease components, the Group accounts forlease components and non-lease components separately as a lessor or a lessee.
Assessment of the lease term
The lease term is the non-cancellable period of a lease for which the Group has the right to use anunderlying asset. If the Group has an option to extend the lease, that is, the Group has the right toextend the lease, and is reasonably certain to exercise that option, the lease term also includes periodscovered by an option to extend the lease. If the Group has an option to terminate the lease, that is, theGroup has the right to terminate the lease, but is reasonably certain not to exercise that option, thelease term includes periods covered by an option to terminate the lease. The Group reassesseswhether it is reasonably certain to exercise an extension option, purchase option, or not to exercise atermination option, upon the occurrence of either a significant event or a significant change in thecircumstances that is within the control of the Group and affects whether the Group is reasonablycertain to exercise an option not previously included in its determination of the lease term.
As leasee
The accounting treatment of the Group as lease please refer to Note.III.22 and Note III.28.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Leases(Continued)
Lease modifications
Lease modification is a change in the scope of a lease, or the consideration for a lease, that was notpart of the original terms and conditions of the lease, for example, adding or terminating the right to useone or more underlying assets, or extending or shortening the contractual lease term.
The Group accounts for a lease modification as a separate lease if both:
(1) the modification increases the scope of the lease by adding the right to use one or more
underlying assets; and
(2) the consideration for the lease increases by an amount commensurate with the stand-alone
price for the increase in scope and any appropriate adjustments to that stand-alone price toreflect the circumstances of the particular contract.
For a lease modification that is not accounted for as a separate lease, at the effective date of the leasemodification the Group remeasures the lease liability by discounting the revised lease payments using arevised discount rate. The revised discount rate is determined as the interest rate implicit in the leasefor the remainder of the lease term, or the lessee’s incremental borrowing rate at the effective date ofthe modification, if the interest rate implicit in the lease cannot be readily determined.
For a lease modification that is not accounted for as a separate lease, the Group accounts for theremeasurement of the lease liability by:
(1) decreasing the carrying amount of the right-of-use asset to reflect the partial or full termination
of the lease for lease modifications that decrease the scope of the lease, and recognising thegain or loss relating to the partial or full termination of the lease in profit or loss; or
(2) making a corresponding adjustment to the right-of-use asset for all other lease modifications.
Short-term leases and leases of low-value assets
The Group considers a lease that, at the commencement date of the lease, has a lease term of 12months or less, and does not contains any purchase option as a short-term lease; and a lease for whichthe value of the individual underlying asset is not more than RMB40,000 when it is new as a lease oflow-value assets. If the Group subleases an asset, or expects to sublease an asset, the head leasedoes not qualify as a lease of a low-value asset. The Group does not recognise the right-of-use assetsand lease liabilities for short-term leases and low-value assets. The Group recognises lease paymentson short-term leases and leases of low-value assets in the costs of the related asset or profit or loss ona straight-line basis over the lease term.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Leases(Continued)
Rent concessions under COVID-19
For rent reductions, such as rent reductions, deferred payments, etc., directly caused by the COVID-19epidemic, the Group and the lessor have reached an existing lease contract, and meet the followingconditions at the same time, the Group adopts a simplified method for leases:
(1) The lease consideration after the concession is reduced or basically unchanged from that before theconcession;
(2) The concession is only for the amount of lease payments payable before June 30, 2022;
(3) After comprehensively considering qualitative and quantitative factors, it is determined that there areno major changes in other terms and conditions of the lease.
The Group does not evaluate whether there is a lease change, and continues to calculate the interestexpense of the lease liability based on the same discount rate as before the reduction and included inthe current profit and loss, and continues to depreciate the right-of-use asset in the same way as beforethe reduction. For rent reduction or exemption, the Group regards the reduced rent as a variable leasepayment. When a concession agreement is reached to release the original rent payment obligation, theundiscounted cash amount will be used to offset the relevant asset costs or expenses, and the leaseliability will be adjusted accordingly ; For the delayed payment of rent, the Group will offset the leaseliability confirmed in the previous period when the actual payment is made.
As lessor
A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental toownership of an underlying asset, except that a lease is classified as an operating lease at the inceptiondate. The Group, as an intermediate lessor, classifies the sublease by reference to the right-of-useasset arising from the head lease.
As lessor of an operating lease
Rent income under an operating lease is recognised on a straight-line basis over the lease term,through profit or loss. Variable lease payments that are not included in the measurement of leasereceivables are charged to profit or loss as incurred.
The Group accounts for a modification to an operating lease as a new lease from the effective date ofthe modification, considering any prepaid or accrued lease payments relating to the original lease aspart of the lease payments for the new lease.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(35) Other significant accounting policies and accounting estimates
1) Medical reserve funds and specially approved reserving materials
Medical reserve funds refer to the funds appropriated by the State for the reserve of materialsfor specified purposes to cope with major disasters, epidemic situations, first aid and otheremergencies, etc. Specially approved reserving materials refer to the medical commoditiesrequired by the government to deal with emergencies such as epidemic situations, first aid andlocal common diseases. According to the regulations of CNPGC, the Group, as an enterpriseundertaking the task of specially approved reserving materials reserve, obtains the medicalreserve funds provided by the PRC government, which appropriated to the local governmentand CNPGC. The medical reserve funds received via those parties are recognised as othernon-current liabilities. In the meantime, the Government of Guangdong Province and GuangxiProvince designated Sinopharm Holding Guangzhou Co., Ltd. (“Sinopharm Guangzhou”) andits subsidiaries, Sinopharm Holding Guangxi Co., Ltd. (“Sinopharm Guangxi”) and itssubsidiaries to undertake the storage, allocation and supply of pharmaceutical commoditiesrequired by major disasters, epidemic situations, first aid and other emergencies as well aslocal common diseases in Guangdong and Guangxi Zhuang Autonomous Region. According tothe reserve plan (variety and quantity) of the local government and CNPGC, the Groupreserves the corresponding specially approved reserving materials, implements dynamicmanagement and recognises them as other non-current assets.
2) Dividend distribution
Cash dividend distribution is recognised as a liability in the period in which it is approved byshareholders at the annual shareholders’ meeting.
3) Fair value measurement
At each balance sheet date, the Group measures the fair value of equity instrument investments. Fairvalue means the price receivable from the disposal of an asset or required to be paid for the transfer ofa liability in an orderly transaction incurred by market participants on the measurement date. The Groupmeasures assets or liabilities at fair value with the assumption that the orderly transaction of assetdisposal or the transfer of liabilities takes place in the major market for the relevant assets or liabilities.Where there is no major market, the Group assumes that such transaction takes place in the mostfavourable market for the relevant assets or liabilities. The major market (or most favourable market) isa trading market which the Group has access to on the measurement date. The Group adoptsassumptions used by market participants when they price the asset or liability with the aim ofmaximising its economic benefits.
The measurement of non-financial assets measured at fair value should take into account the ability ofmarket participants to utilise the asset in the best way for generating economic benefits, or the ability todispose of such asset to other market participants who are able to utilise the asset in the best way forgenerating economic benefits.
The Group adopts valuation techniques that are appropriate in the current circumstances and supportedby sufficient usable data and other information. Observable input will be used first and foremost.Unobservable input will only be used when it is not possible or practicable to obtain observable input.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(35) Other significant accounting policies and accounting estimates (Continued)
3) Fair value measurement (Continued)
The fair value hierarchy in which an asset or liability is measured or disclosed in the financialstatements at fair value will be determined on the basis of the lowest level of input which is significantfor the fair value measurement as a whole. Input at the first level represents unadjusted quoted prices inan active market for the acquisition of the same asset or liability on the measurement date. Input at thesecond level represents directly or indirectly observable assets or liabilities apart from input at the firstlevel. Input at the third level represents unobservable input for the asset or liability.
At each balance sheet date, the Group reassesses assets and liabilities measured at fair value on anongoing basis recognised in the financial statements to determine whether the level of fair valuemeasurement should be changed.
4) Segment information
The Group identifies operating segments based on the internal organization structure, managementrequirements and internal reporting system, and discloses segment information of reportable segmentswhich is determined on the basis of operating segments.
An operating segment is a component of the Group that satisfies all of the following conditions: (1) thecomponent is able to earn revenues and incur expenses from its ordinary activities; (2) the component’soperating results are regularly reviewed by the Group’s management to make decisions aboutresources to be allocated to the segment and to assess its performance, and (3) for which theinformation on financial position, operating results and cash flows is available to the Group. If two ormore operating segments have similar economic characteristics and satisfy certain conditions, they areaggregated into one single operating segment.
5) Significant accounting judgements and estimates
The preparation of the financial statements requires management to make judgements, estimates andassumptions that affect the reported amounts of revenue, expenses, assets and liabilities, and theiraccompanying disclosures, and the disclosure of contingent liabilities at the balance sheet date.Uncertainty about these assumptions and estimates could result in outcomes that could require amaterial adjustment to the carrying amounts of the assets or liabilities affected in the future.
Judgements
In the process of applying the Group's accounting policies, management has made the followingjudgements which have a significant effect on the amounts recognised in the financial statements:
Operating leases - the Group as lessorThe Group has entered into lease agreements on its investment property portfolio. The Group hasdetermined these leases to be operating leases, based on an evaluation of the terms and conditions ofthe agreements, that it retains substantially all the significant risks and rewards of ownership of theseproperties.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(35) Other significant accounting policies and accounting estimates (Continued)
5) Significant accounting judgements and estimates(Continued)
Judgements (Continued)Business modelsThe classification of financial assets at initial recognition depends on the Group's business model formanaging financial assets. When determining the business model, the Group considers the methods toinclude evaluation and report financial asset performance to key management, the risks affecting theperformance of financial assets and the risk management, and the manner in which the relevantmanagement receives remuneration. When assessing whether the objective is to collect contractualcash flows, the Group needs to analyse and judge the reason, timing, frequency and value of the salebefore the maturity date of the financial assets.
Contractual cash flow characteristicsThe classification of financial assets at initial recognition depends on the financial asset’s contractualcash flow characteristics, and the judgements on whether the contractual cash flows are solelypayments of principal and interest on the principal amount outstanding, including when assessing themodification of the time value of money, the judgement on whether there is any significant differencefrom the benchmark cash flow and whether the fair value of the prepayment features is insignificant forfinancial assets with prepayment features, etc.
Estimation uncertainty
The key assumptions concerning the future and other key sources of estimation uncertainty at thebalance sheet date, that have a significant risk of causing a material adjustment to the carrying amountsof assets and liabilities within the future accounting periods, are described below.
Impairment of financial instrumentsThe Group uses the expected credit loss model to assess the impairment of financial. The Group isrequired to perform significant judgement and estimation and take into account all reasonable andsupportable information, including forward-looking information. When making such judgements andestimates, the Group infers the expected changes in the debtor's credit risk based on historicalrepayment data combined with economic policies, macroeconomic indicators, industry risks and otherfactors. The different estimates may impact the impairment assessment, and the provision forimpairment may also not be representative of the actual impairment loss in the future.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Other significant accounting policies and accounting estimates (Continued)
5) Significant accounting judgements and estimates(Continued)
Estimation uncertainty (Continued)
Impairment of non-current assets other than financial assets (other than goodwill)The Group assesses whether there are any indications of impairment for all non-current assets otherthan financial assets at the balance sheet date. Intangible assets with indefinite useful lives are testedfor impairment annually and at other times when such an indication exists. Other non-current assetsother than financial assets are tested for impairment when there are indications that the carryingamounts may not be recoverable. An impairment exists when the carrying amount of an asset or assetgroup exceeds its recoverable amount, which is the higher of its fair value less costs of disposal and thepresent value of the future cash flows expected to be derived from it. The calculation of the fair valueless costs of disposal based on available data from binding sales transactions in an arm’s lengthtransaction of similar assets or observable market prices less incremental costs for disposing of theassets. When the calculations of the present value of the future cash flows expected to be derived froman asset or asset group are undertaken, management must estimate the expected future cash flowsfrom the asset or asset group and choose a suitable discount rate in order to calculate the presentvalue of those cash flows. Further details are included in Note V.12/13/14/15/16.
Impairment of goodwillThe Group determines whether goodwill is impaired at least on an annual basis. This requires anestimation of the present value of the future cash flows expected to be derived from the asset groups(sets of asset groups) to which the goodwill is allocated. Estimating the present value requires theGroup to make an estimate of the expected future cash flows from the asset groups (sets of assetgroups) and also to choose a suitable discount rate in order to calculate the present value of those cashflows. Further details are included in Note V.18.
Deferred tax assetsDeferred tax assets are recognised for all unused tax losses to the extent that it is probable that taxableprofit will be available against which the losses can be utilised. Significant management judgement isrequired to determine the amount of deferred tax assets that can be recognised, based upon the likelytiming and level of future taxable profits together with future tax planning strategies.
Fair value of unlisted equity investmentsThe unlisted equity investments have been valued based on the expected cash flows discounted atcurrent rates applicable for items with similar terms and risk characteristics. This valuation requires theGroup to make estimates about expected future cash flows, credit risk, volatility and discount rates, andhence they are subject to uncertainty.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Other significant accounting policies and accounting estimates (Continued)
5) Significant accounting judgements and estimates(Continued)
Estimation uncertainty (Continued)
Loyalty pointsThe Group makes reasonable estimate of the stand-alone selling price of the loyalty points by takinginto account all relevant information, such as the stand-alone selling prices for the customer to acquireadditional free goods or services or the discounts enjoyed by the customer using the loyalty points andthe possibility for the customer to exercise the redemption right. The Group considers the likelihood forthe customer to exercise the redemption right based on the historical data of point redemption, thecurrent point redemption and the future changes for the customer, the future trend of the market andother factors. The Group re-evaluates the stand-alone selling price of loyalty points at least on eachbalance sheet date and determines the transaction price to be allocated to the loyalty points based onthe stand-alone selling price of the re-evaluated loyalty points.
Sales with a right of returnThe Group makes reasonable estimate of a group of contracts with similar characteristics according tothe sales return historical data, the current sales return situation, as well as customer changes, marketchanges and other relevant information. Estimates of the expected return rate may not berepresentative of the actual returns in the future. The Group re-evaluates the return rate at least oneach balance sheet date and updates the measurement of the refund liabilities and the right-of-returnassets based on the re-evaluated return rate.WarrantiesThe Group makes reasonable estimate of the warranty rate of a group of contracts with similarcharacteristics based on historical warranty data, current warranty, as well as all relevant informationsuch as product improvements, market changes, etc. Estimates of the expected warranty rate may notbe representative of the actual warranty rate in the future. The Group re-evaluates the warranty rate atleast on each balance sheet date and updates the measurement of the provisions based on the re-evaluated warranty rate.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
III Summary of significant accounting policies and accounting estimates (Continued)
(34) Other significant accounting policies and accounting estimates (Continued)
5) Significant accounting judgements and estimates(Continued)
Estimation uncertainty (Continued)
Assessment of constrains on variable considerationThe Group estimates, within a reasonable quantity, the amount of variable consideration that may occurand the likelihood by taking into account all reasonably available information, including historicalinformation, current information, and predictive information. The Group includes in the transaction pricesome or all of an amount of variable consideration estimated only to the extent that it is highly probablethat a significant reversal in the amount of cumulative revenue recognised will not occur when theuncertainty associated with the variable consideration is subsequently resolved. In assessing whether itis highly probable that a significant reversal in the amount of cumulative revenue recognised will notoccur once the uncertainty related to the variable consideration is subsequently resolved, the Groupconsiders both the likelihood and the magnitude of the revenue reversal. On each balance sheet date,the Group updates the estimated transaction price (including updating its assessment of whether anestimate of variable consideration is constrained) to reflect the circumstances present at the end of thereporting period and the changes in circumstances during the reporting period.
Lessee’s incremental borrowing rateIf the interest rate implicit in the lease cannot be readily determined, the Group measures the leaseliability at the present value of the lease payments discounted using the lessee’s incremental borrowingrate. According to the economic environment, the Group takes the observable interest rate as thereference basis for determining the incremental borrowing rate, then adjusts the observable interest ratebased on its own circumstances, underlying assets, lease terms and amounts of lease liabilities todetermine the applicable incremental borrowing rate.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
IV Taxation
1. Main categories and rates of taxes:
Categories | Tax base | Tax rate | |
Value added tax (“VAT”) | Taxable value added amount (Tax payable is calculated by using the taxable sales amount multiplied by the effective tax rate less deductible VAT input of the current period) | 1%, 3%, 5%, 6%, 9%, 13% | |
City maintenance and construction tax | Amount of VAT | 5% or 7% | |
Corporate income tax (“CIT”) | Taxable income | 15%, 20% or 25% | |
Educational surcharge | Amount of VAT | 3% | |
Local educational surcharge | Amount of VAT | 2% |
2. Tax preferences
In 2021, according to the "Announcement of the Ministry of Finance and the State Administration ofTaxation and the National Development and Reform Commission on the Continuation of theEnterprise Income Tax Policy for the Western Development" (Announcement No. 23, 2020 of theMinistry of Finance and the State Administration of Taxation and the National Development andReform Commission) and the "Announcement on the Continuation of the Enterprise Income TaxPolicy for the Western Development" (Ministry of Finance Announcement No. 23 of 2020), thecompany’s subsidiaries that can enjoy the preferential corporate income tax rate of 15% for theencouraged industries in the western region include: Sinopharm Holding Guangxi Co.,Ltd.( Sinopharm Guangxi), Sinopharm Holding Guangxi Logistics Co., Ltd. (“Sinopharm GuangxiLogistics”), Sinopharm Holding Liuzhou Co., Ltd. (“Sinopharm Liuzhou”) , Sinopharm HoldingBeihai Co., Ltd. (“Sinopharm Beihai”), Sinopharm Holding Guilin Co., Ltd. (“Sinopharm Guilin”),Sinopharm Holding Guigang Co., Ltd. (“Sinopharm Guigang”), Sinopharm Holding Yulin Co., Ltd.(“Sinopharm Yulin”), Sinopharm Holding Baise Co., Ltd. (“Sinopharm Baise”), Sinopharm HoldingWuzhou Co., Ltd. (“Sinopharm Wuzhou”), Sinopharm Holding Qinzhou Co., Ltd. (“SinopharmQinzhou”), Sinopharm Holding Hezhou Co., Ltd. (“Sinopharm Hezhou”), Sinopharm HoldingGuangxi Medical Supply Chain Service Co., Ltd.(“Sinopharm Guangxi Supply Chain”), SinopharmHolding Xinjiang New & Special Medicines Chain Store Co., Ltd. (“Xinjiang New & SpecialMedicines”), Sinopharm Holding Guoda Inner Mongolia Pharmacy Chain Store Co., Ltd.(“InnerMongolia Guoda”), Sinopharm Holding Guoda Hulun Buir Pharmacy Chain Store Co., Ltd.(“InnerMongolia Hulun Buir Guoda”), Inner Mongolia Guoda Medicine Co., Ltd.(“Inner Mongolia GuodaMedicine”), Ningxia Guoda Pharmacy Chain Store Co., Ltd.(“Ningxia Guoda”), Sinopharm HoldingGuoda Guangxi Pharmacy Chain Store Co., Ltd.(“Guangxi Guoda”), Guoda Pharmacy (Pu’er)Songmao Co., Ltd.(“Guoda Pu’er Songmao”) and Sinopharm Holding Guoda Drug StoreManchuria Co., Ltd.(“Manchuria Guoda”).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
IV Taxation (Continued)
2. Tax preferences (Continued)
Tax preferences(Continued)
In 2021, according to the “Notice on the Implementation of Inclusive Tax Reduction and ExemptionPolicies for Small and Micro Enterprises” (Cai Shui [2019] No.13) and the “Announcement of theMinistry of Finance and the State Administration of Taxation on the Implementation of PreferentialIncome Tax Policies for Small and Micro Enterprises and Individual Business" ( Announcement No.12 of 2021 of the Ministry of Finance and the State Administration of Taxation), subsidiaries of theCompany listed below qualified for the conditions of small low-profit enterprises, which themonomer taxable income of these subsidiaries does not exceed RMB3 million. Hence, for theportion of annual taxable income not exceeding RMB1 million, it shall be included in the taxableincome by 12.5%, and enterprise income tax shall be paid at the rate of 20%; for the portion ofannual taxable income exceeding RMB1 million but not exceeding RMB3 million, it shall beincluded in the taxable income by 50%, and enterprise income tax shall be paid at the rate of 20%.The Company’s subsidiaries which qualified for the conditions of small low-profit enterprisesincluding Shanghai Guoda Dongsheng Pharmacy Co., Ltd.(“Shanghai Dongsheng Guoda”),Shanghai Guoda Haohai Pharmacy Co., Ltd.(“Shanghai Haohai Guoda”), Shanghai Guoda RuijingPharmacy Co., Ltd.(Shanghai Ruijing Guoda”), Shanghai Guoda Dongxin Pharmacy Co.,Ltd.(“Shanghai Dongxin Guoda”), Sinopharm Guoda Yongsheng Pharmacy (Shanghai) Co.,Ltd.(Shanghai Yongsheng Guoda”), Zhejiang Sinopharm Pharmacy Dongshan Pharmacy Co.,Ltd.(“Zhejiang Dongshan Guoda”), Sinopharm Holding Guoda Pharmacy Guangzhou Chain Co.,Ltd.(“Guoda Guangzhou Chain”), Taishan Sinopharm Holding Guoda Qunkang Pharmacy ChainStore Co., Ltd. (“Taishan Qunkang”), Sinopharm Holding Guoda Pharmacy Yongxingtang ChainStore (Chaoyang) Co., Ltd.(”Guoda Yongxingtang”), Liaoning Guoda Medicine Co., Ltd.(“LiaoningMedicine”), Changzhi Guoda Wanmin Pharmacy Chain Store Co., Ltd.(“Changzhi Wanmin”),Sinopharm Holding Guoda Pharmacy Bayannur Co., Ltd. (“Bayannur”), Sinopharm Holding GuodaPharmacy Ulanqab Co., Ltd.(“Inner Mongolia Wulan Guoda”), Sinopharm Holding Baiyi PharmacyGuangxi Co., Ltd.(“Sinopharm Baiyi Pharmacy”), Sinopharm Accord (Guangzhou) Medicine Co.,Ltd.(“Guangzhou Medicine”), Shanghai ForMe Xuhui Pharmacy Co., Ltd.(“ForMe Xuhui”), BeijingGolden Elephant Guoxing Pharmaceutical Co., Ltd.(“Golden Elephant Guoxing”), Jilin Yihe DrugStore Co., Ltd.(“Jilin Yihe”), Guangxi Guoda Pharmaceutical Consulting Chain Co., Ltd.(“GuangxiConsulting”), Liaoning Guoda Health Pharmacy Co., Ltd.(“Liaoning Health Pharmacy”), LiaoningGuoda Pharmacy Chain Co., Ltd.(“Liaoning Guoda Pharmacy”), Yanji Xianghe Medicine Co.,Ltd.(“Yanji Xianghe”), Inner Mongolia Chengda Fangyuan Medicine Co., Ltd.(“Inner MongoliaChengda Fangyuan Medicine”) and Jilin Chengda Fangyuan Medicine Co., Ltd.(“Jilin ChengdaFangyuan Medicine”).
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements
1. Cash and bank balances
30 June 2021 | 31 December 2020 | |||
Cash on hand | 4,898,795.54 | 6,707,125.90 | ||
Cash at banks | 5,533,553,362.08 | 5,398,406,132.09 | ||
Cash and cash equivalent | 5,532,707,421.89 | 5,398,406,132.09 | ||
Undue interest receivable(Note 1) | 845,940.19 | - | ||
Other monetary funds (Note 2) | 338,186,269.94 | 593,091,037.88 | ||
5,876,638,427.56 | 5,998,204,295.87 | |||
Note 1: Current deposits earn interest at the rate based on current deposit interest rates. Maturities of short-term time deposits range from 1 month to 6 months depending on the fund arrangements of the Group, and the deposits earn interest at the respective deposit rates. The maturities of bank notice deposits are 7 days depending on the fund arrangement of the Group, and the deposits earn interest at the respective deposit rates. Note 2: Other monetary funds at 30 June 2021 include: Deposits for bank acceptance bills RMB236,042,026.02 (31 December 2020: RMB492,734,978.75), freezing of funds RMB67,280,993.60 (December 31, 2020: RMB66,956,993.60), Medical reserve funds RMB27,515,383.35 (December 31, 2020: RMB27,465,331.50), fixed deposit RMB3,193,851.81 (December 31,2020:RMB3,167,718.14), and other deposits RMB4,154,015.16 (December 31,2020: RMB2,766,015.89). |
2. Notes receivable
The notes receivable by category | ||||
30 June 2021 | 31 December 2020 | |||
Commercial acceptance bills | 606,070,192.39 | 622,115,477.04 | ||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
2. Notes receivable(Continued)
The carrying amount of notes receivable that affected the changes in provision this year is as follows: | ||||||||||||||
30 June 2021 | 31 December 2020 | |||||||||||||
Carrying amount | Bad debt provisions | Book Value | Carrying amount | Bad debt provisions | Book Value | |||||||||
Amount | Proportion | Amount | Proportion | Amount | Proportion | Amount | Proportion | |||||||
Items for which provision for bad debts is recognised individually | 10,301,666.47 | 1.70% | 585,955.98 | 5.69% | 9,715,710.49 | 27,634,855.48 | 4.43% | 1,479,520.32 | 5.35% | 26,155,335.16 | ||||
Items for which provision for bad debts is recognised by group (credit risk characteristics) | 596,354,481.90 | 98.30% | - | - | 596,354,481.90 | 595,960,141.88 | 95.57% | - | - | 595,960,141.88 | ||||
606,656,148.37 | 100.00% | 585,955.98 | 0.10% | 606,070,192.39 | 623,594,997.36 | 100.00% | 1,479,520.32 | 0.24% | 622,115,477.04 | |||||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
2. Notes receivable(Continued)
On 30 June 2021, notes receivable that are individually assessed for provisions are as follows: | |||||
Carrying amount | Bad debt provision | Expected credit loss rate | Assessment for impairment | ||
Client A | 723,189.59 | 2,972.46 | 0.41% | The drawer has historical credit defaults; the notes receivable are expected to be at risk of collection. | |
Client B | 9,578,476.88 | 582,983.52 | 6.09% | The drawer has historical credit defaults; the notes receivable are expected to be at risk of collection. | |
10,301,666.47 | 585,955.98 |
Provision for bad debts in the current period as follows: | |||||||
Current change amount | |||||||
Opening balance | Provision | Reversal in the year | Write-off in the year | Others | Closing balance | ||
Individual provision for bad debts | 1,479,520.32 | - | (893,564.34) | - | - | 585,955.98 | |
1,479,520.32 | - | (893,564.34) | - | - | 585,955.98 | ||
Receivables financing endorsed or discounted by the Group to other parties which were not yet due at 30 June 2021 are as follows: | ||||
30 June 2021 | ||||
Derecognised | Not derecognised | |||
Commercial acceptance bills | - | 125,089.80 | ||
At the end of the period, the company transferred the acceptance notes to accounts receivable due to the drawer's failure to perform the contract: | ||||
Amount transferred to accounts receivable at the end of the period | ||||
Commercial acceptance bills | 2,090,087.17 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
3. Accounts receivable
(1) The accounts receivable by category | |||||||||||||
30 June 2021 | 31 December 2020 | ||||||||||||
Gross carrying amount | Provision for bad debt | Gross carrying value | Gross carrying amount | Provision for bad debt | Gross carrying value | ||||||||
Amount | Proportion | Amount | Proportion | Amount | Proportion | Amount | Proportion | ||||||
Items for which provision for bad debt is recognized separately | 1,017,692,611.96 | 5.69% | (29,993,339.31) | 2.95% | 987,699,272.65 | 674,370,776.75 | 4.85% | (29,223,931.45) | 4.33% | 645,146,845.30 | |||
Inculdes: | |||||||||||||
Items for which provision for bad debt is recognized by group | 16,864,163,256.21 | 94.31% | (90,686,079.61) | 0.54% | 16,773,477,176.60 | 13,218,113,690.60 | 95.15% | (63,289,521.68) | 0.48% | 13,154,824,168.92 | |||
Includes: | |||||||||||||
17,881,855,868.17 | 100.00% | (120,679,418.92) | 0.67% | 17,761,176,449.25 | 13,892,484,467.35 | 100.00% | (92,513,453.13) | 0.67% | 13,799,971,014.22 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
3. Accounts receivable (Continued)
(1) The accounts receivable by category |
Accounts receivable that are individually assessed for provisions | |||||
30 June 2021 | |||||
Carrying amount | Bad debt provision | Proportion | Assessment for impairment | ||
Receivable of medical insurance | 514,818,583.40 | (6,606,210.91) | 1.28% | The receivable of medical insurance has lower-tier default risk. | |
Client A | 11,559,178.29 | (11,559,178.29) | 100.00% | Debtor had irregular operations of subject to serious financial difficulties and related to multiple lawsuits, is with lower-tier recoverability. | |
Client B | 2,447,976.74 | (2,447,976.74) | 100.00% | Debtor had irregular operations of subject to serious financial difficulties, and has been placed on a national list of defaulters, with highly risk of going bankruptcy or financial restructuring. | |
Client C | 2,365,253.03 | (2,365,253.03) | 100.00% | Debtor had irregular operations of subject to serious financial difficulties, and has been placed on a national list of defaulters, with highly risk of going bankruptcy or financial restructuring. | |
Others | 486,501,620.50 | (7,014,720.34) | 1.44% | Part of the receivable takes longer than usual to recover, and has risk of recoverability. | |
1,017,692,611.96 | (29,993,339.31) | - |
Provision for bad debts by portfolio: | ||||
30 June 2021 | ||||
Carrying amount | Bad debt provision | Accrual proportion | ||
Combination by credit risk characteristics | 16,864,163,256.21 | 90,686,079.61 | 0.54% |
Provision for bad debts of accounts receivable according to the general model of expected credit loss | ||||
30 June 2021 | ||||
Estimated default amount | Expected credit loss in entire lifetime | Expected credit loss rate | ||
Within 1 year | 16,312,880,752.43 | (40,974,307.84) | 0.25% | |
1 to 2 years | 511,922,099.65 | (34,341,536.99) | 6.71% | |
2 to 3 years | 27,850,847.18 | (7,831,498.28) | 28.12% | |
Over 3 years | 11,509,556.95 | (7,538,736.50) | 65.50% | |
16,864,163,256.21 | (90,686,079.61) | 0.54% |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
3. Accounts receivable (Continued)
(1) The accounts receivable by category (Continued) |
The aging analysis of accounts receivables | ||
30 June 2021 | ||
Within 1 year | 17,299,413,843.64 | |
1 to 2 years | 515,740,902.78 | |
2 to 3 years | 36,094,871.65 | |
Over 3 years | 30,606,250.10 | |
17,881,855,868.17 |
(2) Changes in bad debt provision, recovery or reverse
Bad debt provision for the current period
Opening balance | Amount changes in current period | Closing balance | |||||
Increases | Reversal | write-off | Increases in merger | ||||
Accounts receivable bad debt provision | 92,513,453.13 | 38,699,564.83 | (10,675,833.06) | (35,935.36) | 178,169.38 | 120,679,418.92 | |
Important recovered or reversed items of provision for individually assessed bad debts from January to June 2021 are listed below: | |||
Recovered or reversed amount | Method of recovery or reversion | ||
Client A | 62,252.15 | Payment collection | |
Client B | 25,278.00 | Payment collection | |
Client C | 19,152.28 | Payment collection | |
106,682.43 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
3. Accounts receivable (Continued)
(3)Accounts receivable actually written off in the current period
Project | Write off amount | |
Client A | 35,935.36 | |
35,935.36 |
(4) The top five accounts receivable analysed by customer
Amount | % of the total accounts receivable | Bad debt provision amount | |||
Top 1 Account receivable | 250,098,236.84 | 1.40% | (920,455.72) | ||
Top 2 Account receivable | 248,454,363.20 | 1.39% | (1,958,560.00) | ||
Top 3 Account receivable | 209,855,263.24 | 1.17% | (1,432,489.42) | ||
Top 4 Account receivable | 184,205,023.09 | 1.03% | (1,592,971.29) | ||
Top 5 Account receivable | 161,208,692.82 | 0.90% | (426,533.84) | ||
1,053,821,579.19 | 5.89% | (6,331,010.27) | |||
(5) Accounts receivable derecognized due to the financial assets transferred
From January to June 2021, the Group factored a small portion of accounts receivable at amortised cost to financial institutions. The amount of accounts receivable derecognised was RMB1,045,150,904.52 (January to June 2020: RMB2,756,648,565.22), and the amount of loss recognised through Investment income was RMB7,039,046.60 (January to June 2020: RMB33,507,102.64). |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
4. Receivable financing
30 June 2021 | 31 December 2020 | |||
Bank acceptance bills | 345,906,887.55 | 1,404,987,700.38 | ||
Receivable financing endorsed or discounted by the Group to other parties which were not yet due at 30 June 2021 | |||
30 June 2021 | |||
Derecognised | Not Derecognised | ||
Bank acceptance bills | 1,841,760,515.56 | 20,070,999.69 | |
5. Advances to suppliers
(1) | The aging of advances to suppliers | ||||
30 June 2021 | 31 December 2020 | ||||
Amount | % of total balance | Amount | % of total balance | ||
Within 1 year | 611,349,475.09 | 99.31% | 480,215,111.42 | 99.98% | |
1 to 2 years | 4,253,441.22 | 0.69% | 42,225.29 | 0.01% | |
2 to 3 years | - | - | 56,238.00 | 0.01% | |
615,602,916.31 | 100.00% | 480,313,574.71 | 100.00% | ||
The illustration of the reasons why advance payments with a more than one-year aging while the amounts are significant not settled in time: Nil. |
(2) | The top five advances to suppliers by customer on 30 June 2021 | |||
Amount | Proportion of total balance | |||
Total amount of top five advances to suppliers | 217,538,246.13 | 35.34% |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
6. Other receivables
30 June 2021 | 31 December 2020 | ||
Other receivables | 662,274,841.26 | 535,228,747.69 | |
(1) Other receivables | |||
(a) Category of other receivables by nature | |||
30 June 2021 | 31 December 2020 | ||
Deposits | 294,986,764.47 | 287,130,364.44 | |
Receivable of price reduction compensation and purchasing rebates | 141,495,787.02 | 85,263,225.16 | |
Receivable of the pharmaceutical electronic trading platform | 49,995,673.20 | 60,267,511.03 | |
Entrusted borrowings | 46,334,222.24 | 46,334,222.24 | |
Petty cash advance to employees | 52,673,098.70 | 22,994,684.93 | |
Receivable of equity transactions | 8,980,000.00 | 8,980,000.00 | |
Receivable due from related parties | 23,094,951.86 | 2,867,594.20 | |
Others | 115,368,379.05 | 90,580,362.96 | |
732,928,876.54 | 604,417,964.96 |
(b) Changes in bad debt provision |
Stage 1 | Stage 2 | Stage 3 | ||
Bad debt | Expected credit losses over the next 12 months | Entire lifetime expected credit losses(No credit impairment occurred) | Entire lifetime expected credit losses(Credit impairment occurred) | Total |
Balance at 1 January 2021 | - | 7,305,149.90 | 61,884,067.37 | 69,189,217.27 |
Balance at 1 January 2021 during the period | ||||
Provisions during the period | - | 2,441,341.87 | 171,144.99 | 2,612,486.86 |
Reversal during the period | - | (1,146,204.24) | (1,464.61) | (1,147,668.85) |
Balance at 30 June 2021 | - | 8,600,287.53 | 62,053,747.75 | 70,654,035.28 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
6. Other receivables (Continued)
The aging analysis of other receivables was as follows:
30 June 2021 | ||
Within 1 year | 592,791,636.86 | |
1 to 2 years | 57,692,718.34 | |
2 to 3 years | 11,332,912.33 | |
Over 3 years | 71,111,609.01 | |
732,928,876.54 |
(c) Changes in bad debt provision, recovery or reverse |
Provision for bad debts in the current period as follows: | ||||||
Current change amount | ||||||
Opening balance | Provision | Reversal in the year | Write-off in the year | Other | Closing balance | |
Provision for impairment of other receivables | 69,189,217.27 | 2,612,486.86 | (1,147,668.85) | - | - | 70,654,035.28 |
69,189,217.27 | 2,612,486.86 | (1,147,668.85) | - | - | 70,654,035.28 | |
(d) The top 5 parties that owed the largest amounts of other receivable balances |
Nature | Amount | Age | % of total amount | Provision of bad debt | |
Sinopharm Group Zhijun (Suzhou) Pharmaceutical Co., Ltd. (Note1) | Entrusted borrowings | 46,334,222.24 | Over 3 years | 6.32% | 46,334,222.24 |
Guangdong Pharmaceutical electronic trading platform | Pharmaceutical trading platform repayment not yet cleared | 36,837,497.58 | Within 1 year | 5.03% | - |
Shenzhen Administration of social insurance fund | Deposit | 20,029,963.00 | Within 1 year | 2.73% | - |
TCM-Integrated Cancer Center of Southern Medical University | Deposit of logistics extension services project | 20,000,000.00 | Over 3 years | 2.73% | - |
Bayer Healthcare Co.Ltd. | Purchase rebates receivable and price reduction compensation | 16,117,671.62 | Within 1 year | 2.20% | - |
139,319,354.44 | 19.01% | 46,334,222.24 |
Note1:Due to the poor management of Zhijun Suzhou, the solvency decreased and the credit risk increased. Based on theprinciple of prudence, the group fully accrued the bad debt provision for the entrusted loan of RMB 46,334,222.24.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
7. Inventories
(1) | Inventories by category | |||||||
30 June 2021 | 31 December 2020 | |||||||
Book value | Provision for declines in value of inventories and impairment of contract performance costs | Net book value | Book value | Provision for declines in value of inventories or impairment of contract performance costs | Net book value | |||
Raw materials | 890,219.51 | - | 890,219.51 | 1,959,948.73 | - | 1,959,948.73 | ||
Work in progress | 133,216.20 | - | 133,216.20 | 244,341.19 | - | 244,341.19 | ||
Finished goods | 7,228,118,772.03 | (12,979,519.90) | 7,215,139,252.13 | 6,292,866,195.61 | (12,997,334.35) | 6,279,868,861.26 | ||
Low cost consumables | 3,495,930.78 | - | 3,495,930.78 | 2,937,523.28 | - | 2,937,523.28 | ||
7,232,638,138.52 | (12,979,519.90) | 7,219,658,618.62 | 6,298,008,008.81 | (12,997,334.35) | 6,285,010,674.46 |
(2) | Provision for declines in value of inventories and impairment of contract performance costs |
31 December 2020 | Increases | Decreases | 30 June 2021 | ||||
Provision | Addition due to combination | Reversal or write-off | Others | ||||
Finished goods | 12,997,334.35 | 5,022,800.14 | 314,857.50 | (4,704,443.43) | (651,028.66) | 12,979,519.90 |
In 2021, due to the recovery of the value of some inventories, the provision for falling price was RMB 4,704,443.43 (2020: RMB 1,975,512.44), and the provision for falling price of inventories was RMB651,028.66 (2020: RMB 1,458,197.19).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
8. Contract assets
9. | 31 December 2021 | 31 December 2020 | ||||||
Book Value | Provision | Net Book Value | Book Value | Provision | Net Book Value | |||
Medical devices and equipment guarantee funds | 17,144,247.25 | 78,141.72 | 17,066,105.53 | 15,195,530.95- | 17,799.31 | 15,177,731.64- | ||
The Group sells medical devices and equipment to customers and provides relevant installation services, which constitutes a single performance obligation. After the delivery of medical devices and equipment by the Group and acceptance by customers, the control rights of goods are transferred. The Group recognises the relevant income and transfers part of the contract consideration to receivables, and the other parts are formed as contract assets. After the equipment is installed and the agreed warranty period ends, the contract assets will form an unconditional right of collection and be transferred into receivables. |
An aging analysis of contract assets with provision for impairment are as follows:
30 June 2021 | ||||
Estimated default amount | Expected credit loss in entire lifetime | Expected credit loss rate | ||
Within 1 year | 17,144,247.25 | 78,141.72 | 0.46% | |
Changes in provision for contract assets are presented as follows:
30 June 2021 | ||||
Project | Provision in current period | Reversal in current period | write offf | Reason |
Provision for impairment of contract assets | 60,622.700 | (280.29) | - | Provision for bad debts of contract assets shall be made according to expected credit losses |
9. Other current assets
30 June 2021 | 31 December 2020 | |||
Input VAT to be credited | 95,822,907.79 | 114,251,111.76 | ||
Corporate income tax to be deducted | 5,264,487.90 | 5,981,268.15 | ||
Others | 498,534.36 | 850,483.54 | ||
101,585,930.05 | 121,082,863.45 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
10. Long-term equity investments
Investee | 31 December 2020 | Changes in current period | 30 June 2021 | Provision for impairment | ||||
Profit of loss under equity method | Other comprehensive income adjustment | Other changes in equity | Cash dividend declared by investee | |||||
Associates | ||||||||
Shenzhen Main Luck Pharmaceutical Inc. (“Main Luck Pharmaceutical”)(a) | 322,696,745.87 | 34,596,706.61 | - | - | - | 357,293,452.48 | - | |
Shanghai Beiyi Guoda Pharmaceutical Co. Ltd. (“Shanghai Beiyi”)(b) | 11,190,188.07 | 749,788.76 | - | - | - | 11,939,976.83 | - | |
Shanghai Liyi Pharmacy Co., Ltd. (“Shanghai Liyi”) (c) | 1,147,948.30 | - | - | - | - | 1,147,948.30 | - | |
Shanghai Renbei Pharmacy Co., Ltd. (“Shanghai Renbei”)(d) | 2,465,103.92 | - | - | - | - | 2,465,103.92 | - | |
Dongyuan Accord Pharmaceutical Chain Co., Ltd. (“Dongyuan Accord”)(e) | - | - | - | - | - | 396,638.32 | ||
Sinopharm Jienuo Medical Treatment Service Guangdong Co., Ltd. (“Guangdong Jienuo”)(f) | 5,225,570.12 | (749,864.47) | - | - | - | 4,475,705.65 | - | |
Guangdong Jianhui Construction Investment Management Co., Ltd. (“Guangdong Jianhui”) (g) | 8,000,000.00 | - | - | - | - | 8,000,000.00 | - | |
Zhijun Suzhou(h) | - | - | - | - | - | 1,857,279.52 | ||
Sinopharm Group Zhijun (Shenzhen) Pharmaceutical Co., Ltd. (“Sinopharm Zhijun”)(i) | 425,557,825.11 | 28,056,303.69 | - | - | - | 453,614,128.80 | - | |
Shenzhen Zhijun Pharmaceutical Trade Co., Ltd. (“Zhijun Trade”) (i) | 10,408,675.18 | 64,801.68 | - | - | - | 10,473,476.86 | - | |
Sinopharm Group Zhijun (Shenzhen) PingShan Pharmaceutical Co., Ltd. (“Zhijun Pingshan”) (i) | 176,566,795.90 | 25,603,869.60 | - | - | - | 202,170,665.50 | - | |
Shanghai Shyndec Pharmaceutical Co.,Ltd, (“Sinopharm Shyndec”) (i) | 1,323,760,775.52 | 69,374,791.94 | 64,854.90 | (460,868.29) | (16,714,220.20) | 1,376,025,333.87 | - | |
2,287,019,627.99 | 157,696,397.81 | 64,854.90 | (460,868.29) | (16,714,220.20) | 2,427,605,792.21 | 2,253,917.84 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
10. Long-term equity investments (Continued)
(a) On 4 July 1990, the Group jointly established Main Luck Pharmaceutical with MercianKabushiki Kaisha and Main Life Co., Ltd., subscribing 35.19%, 34.15% and 30.66% of shareholdings,respectively. According to the Articles of Association, the board of directors of Main LuckPharmaceutical consisted of six directors, of which two were appointed by the Group, accounting for
33.33% of voting rights. Therefore, the Group had significant influence over Main Luck Pharmaceutical,and thus, it was considered as an associate of the Group.
(b) On 26 July 1994, the Group jointly established Shanghai Beiyi with Shanghai Beiyi (Group) Co.,Ltd. and eight natural persons including Fuchun Zhu, with the share percentages being 26%, 26% and48%, respectively. According to the Articles of Association, the board of directors of Shanghai Beiyiconsisted of seven directors, of which two were appointed by the Group, accounting for 28.57% ofvoting rights. Therefore, the Group had significant influence over Shanghai Beiyi, and thus, it wasconsidered as an associate of the Group.
(c) On 25 November 2003, the Group jointly established Shanghai Liyi with Shanghai PudongDistrict Central Hospital and Shanghai Liyi, with the share percentages being 35%, 35% and 30%,respectively. According to the Articles of Association, the board of directors of Shanghai Liyi consistedof five directors, of which two were appointed by the Group, accounting for 40.00% of voting rights.Therefore, the Group had significant influence over Shanghai Liyi, and thus, it was considered as anassociate of the Group.
(d) On 5 March 2019, the Group acquired 30% shares of Shanghai Renbei. According to theArticles of Association, the board of directors of Shanghai Renbei was composed of three directors, oneof whom was appointed by the Group, accounting for 33.33% of voting rights. Therefore, the Group hassignificant influence over Shanghai Renbei, and thus, it is considered as an associate of the Group.
(e) In 2007, Dongyuan Accord, an associate of the Group, operated in poor conditions and itsfuture operation would be significantly uncertain, so the Group made a full provision for impairment ofthe long-term equity investment on it.
(f) On 23 February 2016, the Group jointly established Guangdong Jienuo with Sinopharm JienuoMedical Treatment Service Co., Ltd. and Guangzhou Jinluo Investment Development Co., Ltd., with theshare percentages being 29%, 51% and 20%, respectively. According to the Articles of Association, theboard of directors of Guangdong Jienuo was composed of five directors, one of whom was appointedby the Group, accounting for 20% of voting rights. Therefore, the Group has significant influence overGuangdong Jienuo, and thus, it is considered as an associate of the Group. On 25 July 2019, theGroup, together with the current shareholders, Sinopharm Jienuo Medical Treatment Service Co., Ltd.and Foshan Jiejianchengfeng Medical Equipment Co., Ltd., increased the capital of Guangdong Jienuoby 29%, 51% and 20% according to the shareholding ratio respectively, and the total amount of theincreased capital was RMB6 million.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
10. Long-term equity investments (Continued)
(g) On 23 November 2018, the Group jointly established Guangdong Jianhui with GuangdongConstruction Engineering Group Co., Ltd., Suixi People's Hospital and Guangdong Jianke ArchitecturalDesign Institute Co., Ltd., with the share percentages being 10%, 79.90%, 10% and 0.10%, respectively.The registered capital of the company was RMB20,000 thousand. On 22 March 2019, the Groupcompleted the investment of RMB2,000 thousand. According to the Articles of Association, the board ofdirectors of Guangdong Jianhui was composed of five directors, one of whom was appointed by theGroup, accounting for 20% of voting rights. Therefore, the Group has significant influence overGuangdong Jianhui, and thus, it is considered as an associate of the Group. On 30 March 2020, theGroup made an additional investment of RMB6 million in Guangdong Jianhui according to theshareholding ratio.
(h) The Group disposed of its 67% equity interest of Zhijun Suzhou in April 2016. After the disposal,the Group held a 33% equity interest of Zhijun Suzhou. According to the Articles of Association, theboard of directors of Zhijun Suzhou was composed of five directors, one of whom was appointed by theGroup, accounting for 20% of voting rights. As a result, the Group has significant influence over ZhijunSuzhou, and thus, it is considered as an associate of the Group. In 2019, on account ofmismanagement, there was significant uncertainty in the future operation of the Group's affiliatedenterprise, Zhijun Suzhou. Thus, the Group made full provision for impairment of the long-term equityinvestment in Zhijun Suzhou.
(i) The Group subscribed 15.56% of new issued shares of Sinopharm Shyndec, a related party, bytransferring the productive assets in Pingshan base and its 51% equity interest of three pharmaceuticalcompanies (Sinopharm Zhijun, Zhijun Trade, Zhijun Pingshan) of the Group in 2016, respectively. Afterthe completion of the reorganization, Shyndec Pharma holds a 51% equity interest of each of the threepharmaceutical companies, and the Group holds a 49% equity interest of each of the threepharmaceutical companies, and they have significant influence over the three pharmaceuticalcompanies.
At the same time, after the completion of the reorganization, the Group holds a 15.56% equity interestof Sinopharm Shyndec. Since Sinopharm Shyndec acquired the shares of subsidiaries with share-based payment in previous years, as at 30 June 2021, the Group held a 16.28% equity interest ofSinopharm Shyndec. Sinopharm Shyndec set up a board of directors that was responsible for theshareholders' meeting, with a total of nine members, among which, one was appointed by the Group.Each director shall represent one vote for resolutions of the board, accounting for 11.11% of the votingrights. The Group has significant influence over Sinopharm Shyndec. The above three pharmaceuticalcompanies and Sinopharm Shyndec are considered as associates of the Group.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
11. Other equity instrument investment
30 June 2021 | 31 December 2020 | |||
Sinopharm Health Online Co., Ltd. | 67,056,227.40 | 67,056,227.40 | ||
Sinopharm Guoda Hubei Co., Ltd. | 18,279,788.59 | 18,279,788.59 | ||
Shanghai Guoda Shuguang Pharmacy Co., Ltd. | 8,242,076.02 | 8,242,076.02 | ||
Shanghai Guoren Pharmacy Co., Ltd. | 5,493,260.45 | 5,493,260.45 | ||
Hunan Zhongbai Pharmaceutical Investment Co., Ltd. | 416,987.82 | 416,987.82 | ||
99,488,340.28 | 99,488,340.28 |
单位:元
Recognized dividend income | Accumulated profits | Accumulated Loss | Amount transferred from other comprehensive income to retained earnings | Reasons designated to be measured at fair value with changes included in other comprehensive income | Reasons for transfer of other comprehensive income to retained earnings | |
Sinopharm Health Online Co., Ltd. | - | 55,056,227.40 | - | - | Non tradable equity instruments | |
Sinopharm Guoda Hubei Co., Ltd. | 2,280,159.50 | 17,279,788.59 | - | - | Non tradable equity instruments | |
Shanghai Guoda Shuguang Pharmacy Co., Ltd. | 50,000.00 | 7,971,316.02 | - | - | Non tradable equity instruments | |
Shanghai Guoren Pharmacy Co., Ltd. | - | 5,393,260.45 | - | - | Non tradable equity instruments | |
Hunan Zhongbai Pharmaceutical Investment Co., Ltd. | - | 101,987.82 | - | - | Non tradable equity instruments | |
2,330,159.50 | 85,802,580.28 | - | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
12. Other non-current financial assets
30 June 2021 | 31 December 2020 | |||
Financial asset measured at fair value through current profit or loss | 117,974,908.51 | 120,972,350.24 | ||
On June 30, 2021, the balance of other non-current financial assets was the fair value of the share of Sinopharm CICC Medical Industry Fund (referred to as “the Industry Fund”) subscribed by the Company. The Group's 21st meeting of the 7th Board of Directors held on January 6, 2017 reviewed and approved the proposal of the Company to subscribe for the industry fund and related party transactions. As a limited partner of the Industry Fund, the Company plans to invest RMB200 million to subscribe for the share of the Industrial Fund, which will be paid in three phases.The Industrial Fund obtained the relevant licenses as well as approvals and started operating in 2018. As of December 31, 2019, the Company had paid a total of RMB 140 million.In June 2020,The Company received the withdraw fund of this project’s principal of RMB19,027,649.76 from Qirui Port Investment Center LP of Ningbo Meishan Bonded Port. In January 2021,The Company received the withdraw fund of this project’s principal of RMB2,997,441.73 from Qirui Port Investment Center LP of Ningbo Meishan Bonded Port. Since the cash flow obtained by the Company from the investment of the Industry Fund includes both the contractual cash flow generated by the underlying assets during the investment period and the cash flow of the disposal of the underlying assets, the contractual cash flow that does not satisfy the financial assets generated on a specific date is only the payment of interest on the basis of the outstanding principal amount, therefore, the Company classifies the investment of the Industry Fund into financial assets measured at fair value through profit or loss and presented as other non-current financial assets. |
.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
13. Investment properties
Subsequent measurement under the cost model:
Buildings and constructions | Land use right | Total | ||
Original cost | ||||
Opening balance | 225,645,845.78 | 20,988,818.44 | 246,634,664.22 | |
Increase amount in current period | 1,137,337.42 | - | 1,137,337.42 | |
Purchase | - | - | - | |
Transfer from inventories\fixed assets\construction in progress | 1,137,337.42 | - | 1,137,337.42 | |
Decrease amount in current period | (3,881,175.93) | (841,319.61) | (4,722,495.54) | |
Transfer to intangible assets | - | (841,319.61) | (841,319.61) | |
Transfer to fixed assets | (3,881,175.93) | - | (3,881,175.93) | |
Closing balance | 222,902,007.27 | 20,147,498.83 | 243,049,506.10 | |
Accumulated depreciation and amortization | ||||
Opening balance | (109,976,379.20) | 7,913,905.08 | (117,890,284.28) | |
Increase amount in current period | (3,206,808.84) | (88,519.70) | (3,295,328.54) | |
Provision | (2,810,737.39) | (88,519.70) | (2,899,257.09) | |
Transfer from fixed assets | (396,071.45) | - | (396,071.45) | |
Decrease amount in current period | 2,589,746.83 | 235,490.60 | 2,825,237.43 | |
Transfer to intangible assets | - | 235,490.60 | 235,490.60 | |
Transfer to fixed assets | 2,589,746.83 | - | 2,589,746.83 | |
Closing balance | (110,593,441.21) | 7,766,934.18 | (118,360,375.39) | |
Provision for impairment | ||||
Opening balance and Closing balance | (1,300,000.00) | - | (1,300,000.00) | |
Carrying amount | ||||
At end of the period | 111,008,566.06 | 12,380,564.65 | 123,389,130.71 | |
At beginning of the period | 114,369,466.58 | 13,074,913.36 | 127,444,379.94 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
14. Fixed assets
30 June 2021 | 31 December 2020 | |||
Fixed assets | 840,386,519.64 | 854,191,083.27 | ||
(1) | Condition of fixed assets |
Buildings and constructions | Machinery and equipment | Motor vehicles | Office equipments | Electronic equipments | Total | |||
Original cost | ||||||||
Opening balance | 704,639,396.43 | 305,450,662.64 | 96,751,717.47 | 365,642,213.00 | 121,068,984.00 | 1,593,552,973.54 | ||
Increase amount in current period | 4,138,624.70 | 14,781,603.50 | 10,636,685.33 | 16,626,307.17 | 25,827,199.04 | 72,010,419.74 | ||
Purchase | 257,448.77 | 12,411,677.50 | 9,041,665.55 | 14,689,654.35 | 23,670,703.55 | 60,071,149.72 | ||
Transfer from construction in progress | - | 2,194,159.00 | - | - | - | 2,194,159.00 | ||
Transfer from Investment properties | 3,881,175.93 | - | - | - | - | 3,881,175.93 | ||
Business combinations | - | 175,767.00 | 1,595,019.78 | 1,936,652.82 | 2,156,495.49 | 5,863,935.09 | ||
Decrease amount in current period | (1,371,000.42) | (568,600.21) | (2,932,878.73) | (2,953,830.43) | (4,389,640.59) | (12,215,950.38) | ||
Transfer to investment properties | (1,137,337.42) | - | - | - | - | (1,137,337.42) | ||
Disposal or retirement | (233,663.00) | (568,600.21) | (2,932,878.73) | (2,953,830.43) | (4,389,640.59) | (11,078,612.96) | ||
Closing balance | 707,407,020.71 | 319,663,665.93 | 104,455,524.07 | 379,314,689.74 | 142,506,542.45 | 1,653,347,442.90 | ||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
14. Fixed assets (Continued)
(1) Condition of fixed assets (Continued) | |||||||
Buildings | Machinery and equipment | Motor vehicles | Office equipments | Electronic equipments | Total | ||
Accumulated depreciation | |||||||
Opening balance | (238,423,991.05) | (148,242,155.24) | (58,335,271.31) | (216,568,139.60) | (77,792,333.07) | (739,361,890.27) | |
Increase amount in current period | (16,424,080.50) | (26,413,396.62) | (4,758,056.66) | (16,722,112.14) | (16,673,703.93) | (80,991,349.85) | |
Provision | (13,834,333.67) | (26,413,396.62) | (4,758,056.66) | (16,722,112.14) | (16,673,703.93) | (78,401,603.02) | |
Transfer from Investment properties | (2,589,746.83) | - | - | - | - | (2,589,746.83) | |
Decrease amount in current period | 418,887.13 | 427,677.74 | 2,364,303.93 | 1,555,286.72 | 2,626,161.34 | 7,392,316.86 | |
Disposal or retirement | 22,815.68 | 427,677.74 | 2,364,303.93 | 1,555,286.72 | 2,626,161.34 | 6,996,245.41 | |
Transfer to investment properties | 396,071.45 | - | - | - | - | 396,071.45 | |
Closing balance | (254,429,184.42) | (174,227,874.12) | (60,729,024.04) | (231,734,965.02) | (91,839,875.66) | (812,960,923.26 | |
Carrying amount | |||||||
At end of period | 452,977,836.29 | 145,435,791.81 | 43,726,500.03 | 147,579,724.72 | 50,666,666.79 | 840,386,519.64 | |
At beginning of the period | 466,215,405.38 | 157,208,507.40 | 38,416,446.16 | 149,074,073.40 | 43,276,650.93 | 854,191,083.27 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
14. Fixed assets (Continued)
(2) Condition of Fixed assets falling to accomplish certification of title
Book value | Reason for not obtaining certification of title | |
Buildings and constructions | 25,199,513.22 | As at 30 June 2021, the Company has not yet obtained the certification of title for No.13 Jingxing North Street, Tiexi District, Shenyang. The transferor, the State-owned Assets Supervision and Administration Commission, was still processing the case and had provided a relevant notification. |
Buildings and constructions | 40,072,822.06 | As at 30 June 2021, the Company has not yet obtained the certification of title for No.53 Nanshizhong Street, Tiexi District, Shenyang. The transferor, the State-owned Assets Supervision and Administration Commission, was still processing the case and had provided a relevant notification. |
Buildings and constructions | 536,550.04 | As at 30 June 2021, the construction area is greater than the approved area, the Group can not handle the housing property right certificate located at 31 Yihe Street, Kaiyuan in Tieling City, Kaiyuan City Planning Bureau had provided a construction project completion planning acceptance certificate. |
Buildings and constructions | 119,844.81 | On 30 June 2021, due to the need for self-use storage, the Group has built its own simple warehouse located at 2 Baiyu Road, Sujiatun District, Shenyang. The Group is unable to obtain a home title certificate for the property there. . |
15. Construction in progress
30 June 2021 | 31 December 2020 | |||
Construction in progress | 64,636,735.93 | 46,631,190.23 |
(1) | Condition of construction in progress |
30 June 2021 | 31 December 2020 | ||||||
Carrying balance | Impairment | Carrying amount | Carrying balance | Impairment | Carrying amount | ||
Warehouse improvement project | 6,015,123.20 | - | 6,015,123.20 | 2,357,739.84 | - | 2,357,739.84 | |
New office building project | 2,449,885.09 | - | 2,449,885.09 | 2,654,403.71 | - | 2,654,403.71 | |
Supply chain extension project | 14,289,469.53 | - | 14,289,469.53 | 12,248,729.81 | - | 12,248,729.81 | |
Software project | 28,344,537.25 | - | 28,344,537.25 | 19,443,779.83 | - | 19,443,779.83 | |
Other construction projects | 13,537,720.86 | - | 13,537,720.86 | 9,926,537.04 | - | 9,926,537.04 | |
64,636,735.93 | - | 64,636,735.93 | 46,631,190.23 | - | 46,631,190.23 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
15. Construction in progress (Continued)
(2) | Changes of significant construction in progress in current period |
Project name | Budget | Opening balance | Increase | Decrease | Closing balance | Proportion of investment to budget | Source of funds | ||
Transferred to fixed assets | Transferred to Long-term prepaid expenses | ||||||||
Warehouse improvement project | 13,241,063.70 | 2,357,739.84 | 9,311,593.33 | 2,194,159.00 | 3,460,050.97 | 6,015,123.20 | 93.08% | Own capital | |
New office building Project | 3,600,282.07 | 2,654,403.71 | - | - | 204,518.62 | 2,449,885.09 | 10.54% | Own capital | |
Supply chain extension project | 24,311,152.00 | 12,248,729.81 | 2,040,739.72 | - | - | 14,289,469.53 | 58.22% | Own capital | |
Software project | 113,000,000.00 | 19,443,779.83 | 8,900,757.42 | - | - | 28,344,537.25 | 25.08% | Own capital | |
Other construction projects | 225,408,891.74 | 9,926,537.04 | 20,559,244.54 | - | 16,948,060.72 | 13,537,720.86 | 13.17% | Own capital | |
379,561,389.51 | 46,631,190.23 | 40,812,335.01 | 2,194,159.00 | 20,612,630.31 | 64,636,735.93 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
16. Right-of-use assets
Buildings and constructions | Machinery, transport and office equipment | Others | Total | |
Original cost | ||||
Opening balance | 3,642,726,568.57 | 6,617,052.55 | 2,418,809.35 | 3,651,762,430.47 |
Increase amount in current period | 722,812,718.72 | 255,241.57 | - | 723,067,960.29 |
Incl: Business combinations not under common control | 41,709,665.65 | - | - | 41,709,665.65 |
Decrease amount in current period | (269,712,235.31) | (1,389,315.12) | - | (271,101,550.43) |
Disposal | (269,712,235.31) | (1,389,315.12) | - | (271,101,550.43) |
Closing balance | 4,095,827,051.98 | 5,482,979.00 | 2,418,809.35 | 4,103,728,840.33 |
Accumulated depreciation | ||||
Opening balance | 1,289,526,014.83 | 5,092,290.96 | 191,731.69 | 1,294,810,037.48 |
Increase amount in current period | 493,418,631.21 | 166,716.16 | 47,473.92 | 493,632,821.29 |
Provision | 493,418,631.21 | 166,716.16 | 47,473.92 | 493,632,821.29 |
Decrease amount in current period | (207,845,002.04) | (743,191.11) | - | (208,588,193.15) |
Disposal | (207,845,002.04) | (743,191.11) | - | (208,588,193.15) |
Closing balance | 1,575,099,644.00 | 4,515,816.01 | 239,205.61 | 1,579,854,665.62 |
Carrying amount | ||||
At end of the period | 2,520,727,407.98 | 967,162.99 | 2,179,603.74 | 2,523,874,174.71 |
At beginning of the period | 2,353,200,553.74 | 1,524,761.59 | 2,227,077.66 | 2,356,952,392.99 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
17. Intangible assets
Land use rights | Software | Trademarks and brands use rights | Favorable leases | Distribution network | Franchise | Total | |
Original cost | |||||||
Opening balance | 88,694,377.76 | 198,298,230.20 | 282,036,925.12 | 127,486,000.00 | 283,573,678.24 | 710,000.00 | 980,799,211.32 |
Increase amount in current period | 841,319.61 | 6,604,973.46 | 40,440,000.00 | - | - | - | 47,886,293.07 |
Purchases | - | 6,383,557.95 | - | - | - | - | 6,383,557.95 |
Business combinations not under common control | - | 221,415.51 | 40,440,000.00 | - | - | - | 40,661,415.51 |
Transfer from investment properties | 841,319.61 | - | - | - | - | - | 841,319.61 |
- | |||||||
Closing balance | 89,535,697.37 | 204,903,203.66 | 322,476,925.12 | 127,486,000.00 | 283,573,678.24 | 710,000.00 | 1,028,685,504.39 |
- | |||||||
Accumulated amortization | |||||||
Opening balance | (30,664,860.97) | (111,160,831.01) | (5,060,783.81) | (37,878,526.79) | (60,979,029.34) | (710,000.00) | (246,454,031.92) |
Increase amount in current period | (1,129,159.45) | (11,528,055.72) | (6,550,848.51) | (3,542,977.94) | (7,987,906.67) | - | (30,738,948.29) |
Provision | (893,668.85) | (11,528,055.72) | (6,550,848.51) | (3,542,977.94) | (7,987,906.67) | - | (30,503,457.69) |
Transfer from investment properties | (235,490.60) | - | - | - | - | - | (235,490.60) |
Closing balance | (31,794,020.42) | (122,688,886.73) | (11,611,632.32) | (41,421,504.73) | (68,966,936.01) | (710,000.00) | (277,192,980.21) |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
17. Intangible assets (Continued)
Land use rights | Software | Trademarks and brands use rights | Favorable leases | Distribution network | Franchise | Total | |
Provision for impairment | |||||||
Opening balance | - | - | - | - | - | - | - |
Closing balance | - | - | - | - | - | - | - |
Carrying amount | |||||||
At end of the year | 57,741,676.95 | 82,214,316.93 | 310,865,292.80 | 86,064,495.27 | 214,606,742.23 | - | 751,492,524.18 |
- | |||||||
At beginning of the year | 58,029,516.79 | 87,137,399.19 | 276,976,141.31 | 89,607,473.21 | 222,594,648.90 | - | 734,345,179.40 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
18. Goodwill
(1) Original Book Value of goodwill
Names of the investee or matters of forming goodwill | Opening balance | Increase during this period | Decrease during this period | Closing balance | |
Merger of holdings not under common control | Business combinations not under common control | ||||
Sinopharm Holding (Jiangmen) Medical Co., Ltd. (“Sinopharm Jiangmen”) | 27,392,317.73 | - | - | - | 27,392,317.73 |
Sinopharm Holding Shenzhen Yanfeng Co., Ltd. (“Sinopharm Yanfeng”) | 16,868,644.87 | - | - | - | 16,868,644.87 |
Sinopharm Holding Zhaoqing Co., Ltd. (“Sinopharm Zhaoqing”) | 2,594,341.53 | - | - | - | 2,594,341.53 |
Sinopharm Holding Shaoguan Co., Ltd. (“Sinopharm Shaoguan”) | 1,686,496.80 | - | - | - | 1,686,496.80 |
Sinopharm Holding Meizhou Co., Ltd. (“Sinopharm Meizhou”) | 1,610,819.66 | - | - | - | 1,610,819.66 |
Sinopharm Holding Huizhou Co., Ltd. (“Sinopharm Huizhou”) | 923,184.67 | - | - | - | 923,184.67 |
Sinopharm Holding Zhanjiang Co., Ltd. (“Sinopharm Zhanjiang”) | 282,135.55 | - | - | - | 282,135.55 |
Sinopharm Holding Dongguan Co., Ltd. (“Sinopharm Dongguan”) | 1,499.02 | - | - | - | 1,499.02 |
South Pharma & Trade | 2,755,680.62 | - | - | - | 2,755,680.62 |
Foshan Nanhai | 88,877,850.51 | - | - | - | 88,877,850.51 |
Sinopharm Holding Zhuhai Co., Ltd.(“Sinopharm Zhuhai”) | 6,772,561.47 | 6,772,561.47 | |||
Sinopharm Holding Maoming Co., Ltd.(“Sinopharm Maoming”) | 66,417.07 | - | - | - | 66,417.07 |
Sinopharm Holding Guoda ForMe Medicines (Shanghai) Co., Ltd. (“ForMe Medicines’’) | 3,033,547.53 | - | - | - | 3,033,547.53 |
Sinopharm Hebei Lerentang Pharmacy Chain Store Co., Ltd.(“Hebei Lerentang”) | 29,482,149.57 | - | - | - | 29,482,149.57 |
Xiaoyi Guoda Wanmin Baicaotang Pharmacy Chain Store Co., Ltd. (“Xiaoyi Wanmin”) | 15,866,680.00 | - | - | - | 15,866,680.00 |
Shanxi Guoda Wanmin Pharmacy Chain Store Co., Ltd. (“Shanxi Guoda Wanmin”) | 65,025,000.00 | - | - | - | 65,025,000.00 |
Sinopharm Holding Guoda ForMe Pharmacy Chain Store Co., Ltd. (“ForMe Pharmacy Chain Store”) | 19,405,450.23 | - | - | - | 19,405,450.23 |
Sinopharm Holding Guoda Pharmacy Chain Store Shanghai Co., Ltd.(“Shanghai Guoda”) | 5,028,638.00 | - | - | - | 5,028,638.00 |
Sinopharm Holding Guoda Yangzhou Dadesheng Pharmacy Chain Store Co., Ltd.(“Yangzhou Guoda”) | 7,979,000.00 | - | - | - | 7,979,000.00 |
Zhejiang Guoda Pharmacy Co., Ltd.(“Zhejiang Guoda”) | 3,045,183.85 | - | - | - | 3,045,183.85 |
Sinopharm Holding Guoda Nanjing Pharmacy Chain Store Co., Ltd.(“Nanjing Guoda”) | 11,598,341.12 | - | - | - | 11,598,341.12 |
Fujian Guoda Pharmacy Chain Store Co., Ltd.(“Fujian Chain”) | 1,567,250.76 | - | - | - | 1,567,250.76 |
Sinopharm Holding Guoda Shandong Pharmacy Chain Store Co., Ltd.(“Shandong Guoda”) | 29,110,409.46 | - | - | - | 29,110,409.46 |
Sinopharm Holding Guoda Shenyang Pharmacy Chain Store Co., Ltd. (“Shenyang Guoda”) | 41,047,958.08 | - | - | - | 41,047,958.08 |
Liyang Guoda People Pharmacy Chain Store Co., Ltd.(“Liyang Guoda”) | 107,275,095.74 | - | - | - | 107,275,095.74 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
18. Goodwill (Continued)
(1) Original Book Value of goodwill (Continued)
Names of the investee or matters of forming goodwill | Opening balance | Increase during this period | Decrease during this period | Closing balance | |
Merger of holdings not under common control | Business combinations not under common control | ||||
Sinopharm Holding Hunan Guoda Minshengtang Pharmacy Chain Co., Ltd.(“Hunan Guoda”) | 41,165,574.64 | - | - | - | 41,165,574.64 |
Quanzhou Guoda Pharmacy Chain Store Co., Ltd. (“Quanzhou Guoda”) | 41,298,622.59 | - | - | - | 41,298,622.59 |
Sinopharm Holding Guoda Henan Pharmacy Chain Store Co., Ltd.(“Henan Guoda”) | 22,666,179.77 | - | - | - | 22,666,179.77 |
Guoda Neimenggu | 70,485,777.00 | - | - | - | 70,485,777.00 |
Sinopharm Guoda Pharmacy Jiangmen Chain Co., Ltd.(“Jiangmen Guoda”) | 77,350,000.00 | - | - | - | 77,350,000.00 |
Sinopharm Holding Guoda Shanxi Yiyuan Pharmacy Chain Store Co., Ltd.(“Shanxi Guoda Yiyuan”) | 9,080,100.00 | - | - | - | 9,080,100.00 |
Shenzhen Guanganli Pharmacy Chain Store Co., Ltd. ‘s Store Acquisition | 13,420,000.00 | - | - | - | 13,420,000.00 |
Beijing Golden Elephant Pharmacy Medicine Chain Company Limited(“Beijing Golden Elephant”) | 64,140,124.36 | - | - | - | 64,140,124.36 |
Guoda Taishan | 26,826,120.55 | - | - | - | 26,826,120.55 |
Taiyuan Tongxinli Pharmacy Co., Ltd. (“Taiyuan Tongxinli”) | 2,818,647.85 | - | - | - | 2,818,647.85 |
Sinopharm Holding Guoda Yongxingtang Pharmacy Chain Store (Chaoyang) Co., Ltd (“Chaoyang Yongxingtang”) | 25,973,399.17 | - | - | - | 25,973,399.17 |
Neimenggu Tongren Big Pharmacy Chain Co., Ltd. store acquisition. | 13,494,000.00 | - | - | - | 13,494,000.00 |
Guoda Pu’er | 71,064,684.79 | - | - | - | 71,064,684.79 |
Shanghai Pudong New Area Pharmaceuticals Co., Ltd.(“Pudong Pharmaceuticals”) | 65,978,042.61 | 65,978,042.61 | |||
Shanghai Dingqun Enterprise Management Consulting Co., Ltd. | 520,836,246.17 | - | - | - | 520,836,246.17 |
Cheng Dafang Pharmaceutical Group Co., Ltd | 1,182,443,676.11 | - | - | - | 1,182,443,676.11 |
Liaoning Xianzhen Pharmaceutical Chain Co., Ltd. | 34,037,431.66 | - | - | - | 34,037,431.66 |
Yunnan Guoda Disheng pharmacy chain Co., Ltd (“Disheng Chain”)(Note 1) | - | 152,157,935.52 | - | - | 152,157,935.52 |
China Pharmaceutical Holdings Nantong Puji Pharmacy Chain Co., Ltd. store acquisition (Note 2) | - | - | 11,498,100.00 | - | 11,498,100.00 |
Shanxi Huimin Kangwei Big Pharmacy Chain Co., Ltd. store acquisition (Note 3) | - | - | 20,970,000.00 | - | 20,970,000.00 |
2,772,375,281.11 | 152,157,935.52 | 32,468,100.00 | 2,957,001,316.63 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
18. Goodwill (Continued)
(2) Provision of impairment loss
Names of the investee or matters of forming goodwill | Opening balance | Increase | Decrease | Closing balance | |
Guoda Quanzhou | 25,000,000.00 | - | - | 25,000,000.00 | |
Relevant information of asset group or combination of asset groups in which goodwill is located
Explain the process of goodwill impairment test, key parameters (such as the growth rate in the forecast period, the growth rate inthe stable period, the profit rate, the discount rate, the forecast period, etc.) and the recognition method of goodwill impairmentloss:
The carrying value of goodwill is apportioned according to the proportion of each asset group or combination of asset groups atfair value of the total amount of goodwill at fair value. It is shown as follows:
30 June 2021 | 31 December 2020 | |
Pharmaceutical distribution | 152,865,497.03 | 152,865,497.03 |
Pharmaceutical retail | 2,779,135,819.60 | 2,594,509,784.08 |
2,932,001,316.63 | 2,747,375,281.11 |
The recoverable amount of asset group and combination of asset groups is calculated based on the five-year period budgetapproved by the management while using the cash flow forecast method. The cash flows beyond the five-year period areextrapolated using the inflation rate.
Key assumptions were used for the calculation of the present values of future cash flow projections of asset group andcombination of asset groups consisting of pharmaceutical distribution and pharmaceutical retail as of 30 June 2021. Keyassumptions made by management on projections of cash flows used in impairment testing are described as follows:
Pharmaceutical distribution | Pharmaceutical retail | |
Revenue growth rate in the budget period | 1.79%-16.00% | 2.67%-16.43% |
Sustainable growth rate | 3.00% | 3.00% |
Gross margin | 3.56%-6.40% | 12.40%-50.58% |
Discount rate | 12.40%-15.00% | 13.00%-15.00% |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
18. Goodwill (Continued)
The budgeted gross margin and the revenue growth rate in the budget period are determined based onthe past performance and expectation for market development. The discount rates used are pre-taxdiscount rates after reflecting specific risks of the relevant asset groups. The recoverable amount of theasset group consisting of pharmaceutical distribution and pharmaceutical retail was determinedaccording to the key assumptions.
Impact of goodwill impairment test
Other declarations
Note 1:The Group acquired a 70% stake in Yunnan Guoda Disheng Pharmaceutical Chain Co., Ltd. inMarch 2021, and after the acquisition, it formed goodwill of RMB152,157,935.52, the calculationprocess of which is detailed in Notes VI-1.
Note 2:The Group acquired 15 direct stores of Nantong Puji Pharmacy Chain Co., Ltd. in March 2021,and after the acquisition, it formed goodwill of RMB11,498,100.00, the calculation process of which isdetailed in Notes VI-1.
Note 3:The Group acquired 32 direct stores of Shanxi Huimin Kangwei Pharmaceutical Chain Co., Ltd.in February 2021, and after the acquisition was completed, it formed goodwill of RMB20,970,000.00,the calculation process of which is detailed in Notes VI-1
19. Long-term prepaid expenses
Opening balance | Additions | Amortization | Other decrease | Closing balance | ||
Fixed asset improvement expenditure | 336,895,157.13 | 73,939,831.45 | 63,049,121.27 | 1,789,848.54 | 345,996,018.77 | |
Acquisition expenditure to obtain the right to operate | 95,802,321.95 | 70,780,659.86 | 10,579,442.60 | - | 156,003,539.21 | |
Others | 25,007,797.01 | 1,655,150.46 | 5,469,516.47 | - | 21,193,431.00 | |
457,705,276.09 | 146,375,641.77 | 79,098,080.34 | 1,789,848.54 | 523,192,988.98 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
20. Deferred tax assets/liabilities
(1) | Deferred tax assets before offseting | |||||
30 June 2021 | 31 December 2020 | |||||
Deductible temporary differences | Deferred tax assets | Deductible temporary differences | Deferred tax assets | |||
Provision for impairment of assets | 196,487,679.43 | 46,536,628.81 | 170,577,875.56 | 40,697,280.41 | ||
Deductible tax loss | 32,245,677.79 | 8,061,419.46 | 30,798,485.93 | 7,699,621.49 | ||
Impact of lease criteria | 109,849,225.12 | 27,234,338.93 | 93,685,083.09 | 22,420,179.23 | ||
Accrued expenses | 108,024,144.57 | 25,409,713.77 | 113,445,282.36 | 26,095,709.73 | ||
Member bonus points | 61,049,011.99 | 14,722,901.75 | 59,179,220.98 | 14,575,814.61 | ||
Accrued payroll | 45,855,424.22 | 10,861,893.44 | 47,280,390.08 | 11,210,512.95 | ||
Others | 20,119,732.62 | 4,832,303.97 | 21,096,550.78 | 4,641,850.41 | ||
573,630,895.74 | 137,659,200.13 | 536,062,888.78 | 127,340,968.83 |
(2) | Deferred tax liabilities before offseting | |||||
30 June 2021 | 31 December 2020 | |||||
Taxable temporary differences | Deferred tax liabilities | Taxable temporary differences | Deferred tax liabilities | |||
Fair value adjustment for business combination not involving enterprises under common control | 716,667,762.07 | 179,197,391.85 | 713,703,864.68 | 178,425,966.17 | ||
Changes in fair value of financial assets through other comprehensive income | 85,802,580.28 | 21,450,645.07 | 85,802,580.28 | 21,450,645.07 | ||
One-time deduction for fixed assets under five million yuan | 123,264,042.43 | 30,816,010.64 | 126,722,799.31 | 31,679,099.86 | ||
Division restructuring assets to assess value-added differences | 16,029,854.96 | 4,007,463.74 | 17,160,546.40 | 4,290,136.60 | ||
Others | 28,333,035.97 | 6,090,083.17 | 25,205,927.86 | 5,297,761.98 | ||
970,097,275.71 | 241,561,594.47 | 968,595,718.53 | 241,143,609.68 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
20. Deferred tax assets/liabilities (Continued)
(3) | Deferred tax assets and liabilities are presented after being offset against each other: | |||||
30 June 2021 | 31 December 2020- | |||||
Deferred tax assets/liabilities -Net | Temporary differences after set-off | Deferred tax assets/liabilities - Net | Temporary differences after set-off | |||
Deferred tax assets | 41,063,450.80 | 96,595,749.33 | 35,222,201.02 | 92,118,767.81 | ||
Deferred tax liabilities | 41,063,450.80 | 200,498,143.67 | 35,222,201.02 | 205,921,408.66 |
(4) | The deductible temporary differences and deductible losses that were not recognized as deferred tax assets are presented as follows: | ||
30 June 2021 | 31 December 2020 | ||
Deductible temporary differences | 11,920,797.79 | 9,435,555.39 | |
Deductible loss | 61,373,403.25 | 61,373,403.25 | |
73,294,201.04 | 70,808,958.64 |
(5) | The aforesaid unrecognized deductible losses will due: | ||
30 June 2021 | 31 December 2020 | ||
2021 | 2,563,056.08 | 2,563,056.08 | |
2022 | 7,261,117.97 | 7,261,117.97 | |
2023 | 11,977,477.56 | 11,977,477.56 | |
2024 | 22,579,176.44 | 22,579,176.44 | |
2025 | 16,992,575.20 | 16,992,575.20 | |
61,373,403.25 | 61,373,403.25 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
21. Other non-current assets
30 June 2021 | 31 December 2020 | |||||
Carrying balance | Impairment | Carrying amount | Carrying balance | Impairment | Carrying amount | |
Physical assets reserve specifically authorized | 331,870,456.97 | - | 331,870,456.97 | 260,590,932.98 | - | 260,590,932.98 |
Security deposit | 100,326,250.00 | (70,000.00) | 100,256,250.00 | 114,186,431.57 | - | 114,186,431.57 |
Prepayment for project and equipment | 40,757,628.00 | - | 40,757,628.00 | 24,809,091.30 | - | 24,809,091.30 |
Contract assets | 8,238,308.92 | (120,404.87) | 8,117,904.05 | 7,081,263.45 | (82,188.73) | 6,999,074.72 |
Other | 3,257,615.30 | - | 3,257,615.30 | 1,611,992.27 | - | 1,611,992.27 |
484,450,259.19 | (190,404.87) | 484,259,854.32 | 408,279,711.57 | (82,188.73) | 408,197,522.84 |
22. Short-term borrowings
30 June 2021 | 31 December 2020 | |||
Credit borrowings | 4,632,933,904.39 | 1,612,187,020.12 | ||
At 30 June 2021, the annual interest rate for the above borrowings was 2.28%( (31 December 2020:3.49%)). At 30 June 2021 and 31 December 2020, there were no short-term borrowings of the Group that were overdue but not yet paid. |
23. Notes payable
30 June 2021 | 31 December 2020 | ||||
Commercial acceptance bills | 93,061,594.94 | 56,360,197.69 | |||
Bank acceptance bills | 6,687,363,494.23 | 7,463,805,077.00 | |||
6,780,425,089.17 | 7,520,165,274.69 |
At 30 June 2021, the total amount of notes payable that were due but not yet paid was nil (31 December 2020:nil).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
24. Accounts payable
30 June 2021 | 31 December 2020 | |||||
Payment for goods | 9,642,504,836.50 | 7,697,451,142.50 | ||||
At 30 June 2021, significant accounts payable aged over one year was analyzed below:
Amount | Reason | ||||
Payment for goods | 429,971,551.39 | Has not been settled |
At 30 June 2021, accounts payable aged over one year, mainly the unsettled payment for goods, was RMB429,971,551.39 (31December 2020: RMB398,772,102.49).
25. Receipts in advance
30 June 2021 | 31 December 2020 | ||||
Advanced lease payment | 14,868,097.97 | 12,352,466.64 | |||
26. Contract liabilities
30 June 2021 | 31 December 2020 | ||||
Contract liabilities | 316,827,151.78 | 368,600,357.14 | |||
The ending balance of contract liabilities is the advance payments received by the Group. After the Group receives the advancepayments by the customer for the sales of goods, it will generally perform the performance obligation and recognise the revenuewithin about 6 months.
27. Employee benefits payable
31 December 2020 | Increase | Decrease | 30 June 2021 | ||
Short-term employee benefits (1) | 347,602,975.86 | 1,442,005,710.81 | 1,554,869,193.60 | 234,739,493.07 | |
Post-employment benefits (defined contribution plan) (2) | 9,216,204.49 | 135,235,733.49 | 137,243,137.06 | 7,208,800.92 | |
Termination benefits | 392,866.75 | 560,719.50 | 695,897.15 | 257,689.10 | |
357,212,047.10 | 1,577,802,163.80 | 1,692,808,227.81 | 242,205,983.09 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
27. Employee benefits payable(Continued)
(1) | Short-term employee benefits |
31 December 2020 | Increase | Decrease | 30 June 2021 | ||
Salaries, bonuses, allowances and grants | 330,233,181.61 | 1,259,235,407.05 | 1,376,555,529.89 | 212,913,058.77 | |
Staff welfare | 1,469,381.07 | 32,807,596.67 | 33,096,433.74 | 1,180,544.00 | |
Social security contribution | 2,194,328.52 | 74,031,911.08 | 74,006,336.50 | 2,219,903.10 | |
Incl: Medical insurance | 1,531,693.95 | 68,900,758.25 | 68,513,264.14 | 1,919,188.06 | |
Work injury insurance | 84,285.35 | 2,846,079.32 | 2,857,214.97 | 73,149.70 | |
Maternity insurance | 578,349.22 | 2,285,073.51 | 2,635,857.39 | 227,565.34 | |
Housing funds | 1,650,393.19 | 52,281,928.06 | 52,197,609.56 | 1,734,711.69 | |
Labor union funds and employee education funds | 11,183,869.70 | 22,386,728.92 | 20,702,330.34 | 12,868,268.28 | |
Other short-term benefits | 871,821.77 | 1,262,139.03 | (1,689,046.43) | 3,823,007.23 | |
347,602,975.86 | 1,442,005,710.81 | 1,554,869,193.60 | 234,739,493.07 |
(2) | Defined contribution plan |
31 December 2020 | Increase | Decrease | 30 June 2021 | |||||
Basic pension insurance | 3,593,380.27 | 128,854,477.21 | 127,826,836.98 | 4,621,020.50 | ||||
Unemployment insurance | 106,718.12 | 3,965,369.33 | 3,905,028.02 | 167,059.43 | ||||
Contribution to pension fund | 5,516,106.10 | 2,415,886.95 | 5,511,272.06 | 2,420,720.99 | ||||
9,216,204.49 | 135,235,733.49 | 137,243,137.06 | 7,208,800.92 | |||||
Note:For the half year of 2021, the Group provided other termination benefits for severing labor relations of RMB406,814.34. For the half year of 2020, the Group provided other termination benefits for severing labor relations of RMB155,676.56.Other termination benefits that were reversed for there was no need to pay for severing labor relations were nil. |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
28. Tax payable
30 June 2021 | 31 December 2020 | |||
Value-added tax | 75,280,000.02 | 102,586,862.95 | ||
Corporate Income taxes | 182,236,074.48 | 173,016,908.47 | ||
Individual income tax | 7,083,305.63 | 6,790,402.61 | ||
City maintenance and construction surtax | 6,333,456.10 | 6,993,947.17 | ||
Stamp duty | 7,697,463.21 | 8,243,076.57 | ||
Water conservancy fund | 5,572,222.75 | 5,586,926.64 | ||
Educational surcharge | 5,131,997.40 | 5,254,608.43 | ||
Property tax | 1,300,695.62 | 664,697.78 | ||
Land use tax | 148,696.04 | 54,028.60 | ||
Others | 7,417,676.88 | 7,675,689.94 | ||
298,201,588.13 | 316,867,149.16 |
29. Other payables
30 June 2021 | 31 December 2020 | |||
Interest payable | 16,255,309.75 | 35,572,620.82 | ||
Dividend payable | 7,911,748.36 | 6,389,320.96 | ||
Other payables | 1,507,731,959.76 | 1,557,204,939.36 | ||
1,531,899,017.87 | 1,599,166,881.14 |
(1) Interest payable | ||||
30 June 2021 | 31 December 2020 | |||
Factoring interest on accounts receivable | 16,255,309.75 | 35,572,620.82 | ||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
29. Other payables(Continued)
(2) Dividend payable | ||||
30 June 2021 | 31 December 2020 | |||
Shanghai Fosun Pharmaceutical (Group) Co., Ltd. | 4,835,511.58 | 4,835,511.58 | ||
Dividend payable to Zhang Zhenfang | 1,389,639.31 | 1,389,639.31 | ||
Meiluo Pharmaceutical Co., Ltd. | 164,170.07 | 164,170.07 | ||
Longfeng Du | 526,506.14 | - | ||
Dong Wang | 336,202.71 | - | ||
Haiming Liu | 177,616.53 | - | ||
Guozhu Tang | 69,777.92 | - | ||
Xiancheng Liu | 88,808.27 | - | ||
Shaojun Yan | 44,404.13 | - | ||
Haiyu Liu | 38,060.69 | - | ||
Qinghua Wang | 126,868.95 | - | ||
Zhancheng Liang | 114,182.06 | - | ||
7,911,748.36 | 6,389,320.96 |
At 30 June 2021 and 31 December 2020, the Group had no significant dividend aged more than one year and not yet paid.
(3) Other payables | ||||
30 June 2021 | 31 December 2020 | |||
Deposit | 484,838,817.90 | 472,800,624.92 | ||
Payables for factoring programs | 325,153,045.22 | 576,523,284.81 | ||
Accrued expenses | 210,959,892.77 | 213,950,722.34 | ||
Equity payables | 207,199,828.25 | 38,702,372.01 | ||
Payables for rentals | 95,120,391.91 | 68,417,303.16 | ||
Payables for construction in progress and equipment | 44,723,287.89 | 40,898,589.59 | ||
Payables to individuals | 26,098,245.60 | 25,869,320.67 | ||
Collection of others | 20,055,565.05 | 19,119,286.19 | ||
Payables for land transfer payments | 12,597,500.00 | 12,597,500.00 | ||
Temporary loans | 11,198,533.00 | 11,017,981.51 | ||
Payables to related parties | 5,138,862.34 | 5,093,263.36 | ||
Others | 64,647,989.83 | 72,214,690.80 | ||
1,507,731,959.76 | 1,557,204,939.36 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
29. Other payables(Continued)
At 30 June 2021, significant other payables over 1 year are:
Amount payable | Reason for outstanding | |||
Equity payable | 36,000,000.00 | Payment conditions not met | ||
Deposits | 37,744,837.63 | Payment conditions not met | ||
Accrued expenses | 6,223,452.82 | Payment conditions not met | ||
Payables for land transfer payments | 12,597,500.00 | Payment conditions not met | ||
92,565,790.45 |
30. Non-current liabilities due within 1 year
30 June 2021 | 31 December 2020 | |||
Lease liabilities due within 1 year | 798,170,618.10 | 748,732,059.89 | ||
31. Other current liabilities
30 June 2021 | 31 December 2020 | |||
Pre-collected VAT | 20,997,225.61 | 24,142,106.09 | ||
Output VAT to be recognized | 1,435,222.36 | 644,972.46 | ||
22,432,447.97 | 24,787,078.55 |
32. Long-term borrowings
31 December 2021 | 31 December 2020 | ||||
Credit loan | 30,000,000.00 | - | |||
Entrusted loans | 31,633,794.44 | 31,637,173.89- | |||
61,633,794.44 | 31,637,173.89 | ||||
At 30 June 2021, the total amount of remaining entrusted loans was RMB31,633,794.44 (31 December 2020: RMB31,637,173.89)., which was the loan from Sinopharm Group Finance Co., Ltd entrusted by CNPGC to the group, the weighted average annual interest rate of the entrusted loans was 3.34%(31 December 2020: 3.41%). | |||||
At 30 June 2021, the balance of credit borrowings was RMB30,000,000.00 (31 December 2020: None). The annual interest rate on this credit loan is 4.05% (31 December 2020 : None). | |||||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
33. Lease liabilities
30 June 2021 | 31 December 2020 | |||
Lease payment | 2,159,301,970.90 | 2,051,786,223.79 | ||
Less: Lease liabilities due within 1 year | 798,170,618.10 | 748,732,059.89 | ||
1,361,131,352.80 | 1,303,054,163.90 |
34. Long-term payables
30 June 2021 | 31 December 2020 | ||||
Payables for specific projects | 6,938,189.00 | 6,938,189.00 |
Payables for specific projects:
31 December 2020 | Increase | Decrease | 30 June 2021 | Reasons of derred income | |||||
Special funds granted by government (1) | 800,000.00 | - | - | 800,000.00 | Funds granted by government | ||||
Medical reserve funds (2) | 6,138,189.00 | - | - | 6,138,189.00 | |||||
6,938,189.00 | - | - | 6,938,189.00 |
(1) The specific payables are research funds allocated by government departments and are accounted for the specific payableaccount at the time of allocation.
(2)The medical reserve funds were allocated by the Liaoning Province Department of Finance to Liaoning Chengda Fangyuanpharmaceutical chain Co., Ltd which was incorporated into the consolidation in 2020.
35. Long-term employee benefits payable
30 June 2021 | 31 December 2020 | |||
Early retirement benefits payable | 1,262,000.00 | 1,319,000.00 |
36. Provisions
30 June 2021 | 31 December 2020 | |||||
Pending litigation or arbitration (1) | 68,663,166.79 | 68,808,166.79 | ||||
(1) Four companies with Zhang Peng as the actual controller signed several contracts with Shenyang Branch of Bank of Dalian Co., Ltd. (“the Bank”) in previous years, which agreed that the above companies would transfer their creditor's rights of accounts receivable of Liaoning Chengda Fangyuan Pharmaceutical Co., Ltd. to the Bank, and the Bank would conduct factoring business for the above companies in accordance with the agreement. As the four companies failed to pay the relevant amount to the Bank, the Bank filed a lawsuit to the People’s Court, requesting Liaoning Chengda Fangyuan Pharmaceutical Co., Ltd. and its parent company, CDFY, to assume the corresponding legal responsibilities. Liaoning Chengda Fangyuan Pharmaceutical Co., Ltd. confirmed its estimated liabilities based on the progress of the case before being included in the scope of consolidation of Sinopharm Group Accord Pharmaceutical Co., Ltd. |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
37. Deferred income
Opening balance | Increase | Decrease | Closing balance | Reasons of deferred income | ||
Government grants | 89,610,262.61 | 7,520,212.93 | 5,962,539.84 | 91,167,935.70 | Government grant | |
VAT Additional deduction | 233,320.76 | 835,816.61 | 921,739.18 | 147,398.19 | VAT additional deduction | |
89,843,583.37 | 8,356,029.54 | 6,884,279.02 | 91,315,333.89 |
As at 30 June 2021, deferred income from government grants are as follows: | ||||||||
Government grants program | Opening balance | Addition | Amount included in non-operating income | Amount included in other income | Offset cost amount in current period | Closing balance | Asset related/ income related | |
Resettlement Compensation (Note) | 70,158,624.05 | - | 1,349,204.28 | - | - | 68,809,419.77 | Asset related | |
Funds for the construction of a modern supply chain system in the central circulation field in 2018 | 4,353,019.54 | 7,450,000.00 | - | 2,143,819.53 | - | 9,659,200.01- | Asset related | |
Logistics project Nanning Economic Development Zone construction support fund | 4,846,565.87 | - | - | 93,203.22 | - | 4,753,362.65 | Asset related | |
Guangzhou logistics standardization pilot project | 1,722,518.87 | - | - | 273,123.42 | - | 1,449,395.45 | Asset related | |
Shenyang Tiexi Government housing subsidies | 1,325,001.32 | - | - | 40,561.32 | - | 1,284,440.00 | Asset related | |
Other projects | 7,204,532.96 | 70,212.93 | - | 2,037,129.45 | 25,498.62 | 5,212,117.82 | Asset/Income related | |
Note: Due to the implementation of urban planning for old town reconstruction in Nanning, the operating center of Guangxi Logistics which was located in Longteng Road District, Nanning City, was to be reconstructed in another place. According to the agreement signed between Guangxi Logistics and the real estate developer in May 2012, Guangxi Logistics would obtain a compensation of RMB120,250,000.00, including cash of RMB50,000,000.00 and a property in construction equal to value of RMB70,250,000.00. Cash compensation of RMB50,000,000.00 was received in May 2012. In 2015, construction properties with a value of RMB70,250,000.00 were built and delivered, and had been recognised as investment properties. The compensation relating to the capital expenditure in the reconstruction of the new logistic center in another place, amounting to RMB93,320,000.00, was recognised as deferred revenue, and would be amortized and recognised in the income statement within the expected useful lives using the straight-line method, and the other cash compensation, of which the amount approximates to RMB26,930,000.00, was recognised in the income statement in 2012. |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
38. Other non-current liabilities
30 June 2021 | 31 December 2020 | ||||||
Governmental medical reserve funds (1) | 600,009,111.26 | 711,029,182.37 | |||||
Product promotion accumulative points programme (2) | 30,824,503.22 | 29,815,911.17 | |||||
Other | 6,140.53 | 17,896.05 | |||||
630,839,755.01 | 740,862,989.59 | ||||||
(1) Governmental medical reserve funds are the funds received from the national and local governments for purchasing reserve medical supplies. (2) The Product promotion accumulative points programme refers to those product-originated accumulative points that remain more than one year surplus before the expiration date. |
39. Share capital
Movement during the current year | ||||||
31 December 2020 | Issue of new share | Others | Subtotal | 30 June 2021 | ||
Shares | 428,126,983.00 | - | - | - | 428,126,983.00 |
40. Capital surplus
31 December 2020 | Increase | Decrease | 30 June 2021 | ||
Share premium | 2,118,174,787.27 | - | - | 2,118,174,787.27 | |
Other capital surplus | 2,254,329,266.45 | - | (460,868.29) | 2,253,868,398.16 | |
4,372,504,053.72 | - | (460,868.29) | 4,372,043,185.43 | ||
Changes in other equity of Shyndec Pharma, an associate of the group, reduce the book value of long-term equity investment and include it in the capital reserve of RMB -460,868.29. |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
41. Other comprehensive income
Amounts changes in current period | ||||
31 December 2020 | Occurrence amount before tax | Attributable to shareholders of owners of the parent | 30 June 2021 | |
Other comprehensive income items which will not be reclassified subsequently to profit or loss | 38,611,051.04 | - | - | 38,611,051.04 |
Incl: Change in the fair value of other equity investments | 38,611,051.04 | - | - | 38,611,051.04 |
Other comprehensive income that may be reclassified to profit or loss | (128,033.32) | 64,854.90 | 64,854.90 | (63,178.42) |
Incl: Other comprehensive income using the equity method that may be reclassified to profit or loss | (128,033.32) | 64,854.90 | 64,854.90 | (63,178.42) |
38,483,017.72 | 64,854.90 | 64,854.90 | 38,547,872.62 |
42. Surplus reserve
31 December 2020 | Increase | Decrease | 30 June 2021 | ||
Statutory surplus reserves | 214,063,491.50 | - | - | 214,063,491.50 |
43. Retained earnings
30 June 2021 | 31 December 2020 | ||
Retained earnings at beginning of year before retrospective adjustment and restatement | 8,895,145,106.39 | 7,755,295,537.08 | |
The retrospective adjustment and restatement | - | (3,029,877.91) | |
Retained earnings at beginning of year after retrospective adjustment and restatement | 8,895,145,106.39 | 7,752,265,659.17 | |
Add: Net profit attributable to the parent | 741,445,013.25 | 1,401,892,593.23 | |
Less: Dividend payable on common stock | 342,501,586.40 | 256,876,189.80 | |
Other | - | 2,136,956.21 | |
Retained earnings on June 30, 2020 | 9,294,088,533.24 | 8,895,145,106.39 |
Adjust the details of undistributed profits at the beginning of the period:
1) . due to the retroactive adjustment of the accounting standards for business enterprises and its relevant new provisions, theundistributed profit at the beginning of the period was affected by 0.00 yuan.
2) . due to the change of accounting policy, the undistributed profit at the beginning of the period is 0.00 yuan.
3) . due to the correction of major accounting errors, the undistributed profit at the beginning of the period was affected by 0.00yuan.
4) . the change of consolidation scope caused by the same control affects the undistributed profit at the beginning of the period by
0.00 yuan.
5) . the total of other adjustments affects the undistributed profit at the beginning of the period by 0.0
V Notes to the consolidated financial statements (Continued)
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
44. Operating revenue and cost
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||
Revenue | Cost | Revenue | Cost | ||
Principal operations | 32,841,264,479.56 | 29,156,249,513.96 | 26,944,450,698.03 | 23,953,267,481.54 | |
Other operations | 321,827,407.83 | 60,587,687.11 | 225,489,490.49 | 17,762,237.90 | |
33,163,091,887.39 | 29,216,837,201.07 | 27,169,940,188.52 | 23,971,029,719.44 |
Classification | Head Office | Pharmaceutical distribution | Pharmaceutical retail | Elimination between segments | Total | |
By product | ||||||
Incl: | ||||||
Pharmaceuticals | - | 19,828,394,853.85 | 10,676,855,504.22 | (499,204,175.96) | 30,006,046,182.11 | |
Medical devices and disposables | - | 2,076,206,193.67 | 134,724,521.61 | - | 2,210,930,715.28 | |
Diagnostic reagents | - | 515,191,908.40 | - | - | 515,191,908.40 | |
Medical equipments | - | 278,181,437.86 | - | - | 278,181,437.86 | |
Others | 4,532,508.37 | 111,779,259.15 | - | (5,938,298.55) | 110,373,468.97 | |
By area | ||||||
Incl: | ||||||
China | 4,532,508.37 | 22,809,753,652.93 | 10,811,580,025.83 | (505,142,474.51) | 33,120,723,712.62 | |
By types of activity | ||||||
Incl: | ||||||
Pharmaceutical distribution | - | 21,697,696,043.60 | 1,958,602,731.53 | (499,204,175.96) | 23,157,094,599.17 | |
Retail pharmacy | - | 1,000,278,350.18 | 8,852,977,294.30 | - | 9,853,255,644.48 | |
Others | 4,532,508.37 | 111,779,259.15 | - | (5,938,298.55) | 110,373,468.97 | |
By contract duration | ||||||
Incl: | ||||||
At a point in time | - | 22,697,974,393.78 | 10,811,580,025.83 | (499,204,175.96) | 33,010,350,243.65 | |
Over time | 4,532,508.37 | 111,779,259.15 | - | (5,938,298.55) | 110,373,468.97 | |
4,532,508.37 | 22,809,753,652.93 | 10,811,580,025.83 | (505,142,474.51) | 33,120,723,712.62 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
44. Operating revenue and cost (Continued)
Information about the Group’s performance obligations is summarised below:
(1) Revenue is recognised when control of the goods has transferred and payment is generally due within 30 to 210 daysfrom delivery;
(2) Revenue is recognised in the service duration and the payment is generally due within 30 to 210 days since the service is
completed.
Information related to the sales price allocated to the remaining obligations:
The amount of income corresponding to the obligation that has been signed but has not been fulfilled or has not yet fulfilledis RMB316,827,151.78, which is expected to be recognized within 1 year.
Revenue is as follows: | |||
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | ||
Revenue from contracts with customers | 33,120,723,712.62 | 27,139,718,273.17 | |
Rentals | 42,368,174.77 | 30,221,915.35 | |
33,163,091,887.39 | 27,169,940,188.52 |
45. Tax and surcharges
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
City maintenance and construction tax | 27,877,507.46 | 28,121,494.67 | ||
Educational surcharge | 20,257,170.15 | 20,311,577.25 | ||
Property tax | 4,224,163.72 | 2,492,284.79 | ||
Land tax | 768,836.09 | 317,162.91 | ||
Vehicle and vessel use tax | 85,991.96 | 72,575.73 | ||
Stamp duty | 21,497,447.37 | 17,140,178.76 | ||
Others | 1,278,737.83 | 1,050,035.21 | ||
75,989,854.58 | 69,505,309.32 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
46. Selling expenses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Employees payroll and welfare benefits | 1,197,067,119.97 | 904,925,594.87 | ||
Depreciation expenses of right-of-use assets | 479,540,503.22 | 387,380,924.52 | ||
Rental expenses | 117,046,188.52 | 60,573,717.68 | ||
Technical service fee | 84,303,596.21 | 45,620,729.98 | ||
Amortization of long-term deferred expenses | 69,802,526.37 | 52,138,560.36 | ||
Depreciation expenses | 56,762,708.30 | 43,808,801.59 | ||
Transportation charges | 52,564,735.76 | 51,095,840.37 | ||
Utilities | 39,863,463.73 | 34,081,779.59 | ||
Office allowances | 35,013,829.00 | 27,895,774.76 | ||
Storage expenses | 25,614,256.09 | 18,300,237.30 | ||
Promotion and marketing expenses | 18,804,920.99 | 15,399,693.56 | ||
Property management fee | 16,975,156.97 | 15,659,321.63 | ||
Entertainment expenses | 14,061,877.53 | 9,358,003.62 | ||
Market development fee | 8,168,582.42 | 4,517,975.19 | ||
Repairing fees | 7,118,061.32 | 7,147,598.96 | ||
Travel allowances | 2,939,453.78 | 1,845,288.42 | ||
Conference expenses | 525,946.12 | 292,483.51 | ||
Others | 81,312,603.47 | 48,696,492.69 | ||
2,307,485,529.77 | 1,728,738,818.60 |
47. Administrative expenses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Employees payroll and welfare benefits | 360,049,901.79 | 325,153,640.16 | ||
Depreciation expenses | 17,675,510.90 | 16,351,496.61 | ||
Rental expenses | 16,196,265.77 | 5,390,672.79 | ||
Office allowances | 14,281,405.19 | 12,677,148.40 | ||
Depreciation expenses of right-of-use assets | 12,957,819.94 | 10,925,364.40 | ||
Amortization of intangible assets | 11,402,009.79 | 8,991,474.97 | ||
Amortization of long-term deferred expenses | 8,283,676.96 | 6,808,445.06 | ||
Entertainment expenses | 7,342,000.00 | 4,596,522.19 | ||
Technical service fee | 6,691,393.49 | 11,527,561.19 | ||
Property management fee | 4,749,071.86 | 3,089,556.70 | ||
Vehicle management expenses | 3,659,483.25 | 3,169,051.19 | ||
Travel allowances | 3,444,399.91 | 1,822,634.84 | ||
Utilities | 3,107,684.09 | 1,919,161.42 | ||
Repairing fees | 2,852,529.46 | 2,898,331.91 | ||
Agency service fee | 2,841,366.73 | 3,411,279.41 | ||
Promotion and marketing expenses | 304,402.82 | 2,180,552.03 | ||
Others | 16,698,014.76 | 22,374,251.65 | ||
492,536,936.71 | 443,287,144.92 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
48. Finance costs
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Interest expenses | 147,057,897.99 | 133,350,510.68 | ||
Less: Interest income | 38,758,729.78 | 65,512,550.22 | ||
Cash discount | 18,968,417.81 | 20,153,456.44 | ||
Exchanges gain/(loss) | (415,927.10) | 47,935.97 | ||
Others | 18,328,179.85 | 17,581,389.63 | ||
107,243,003.15 | 65,313,829.62 |
A breakdown for interest income is as follows:
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Cash | 38,758,729.78 | 65,512,550.22 |
49.
Other incomes
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Government grants related to daily operating activities | 33,966,095.01 | 25,786,877.95 | ||
VAT reduction for small-scale taxpayers | 11,566,085.35 | 8,383,678.31 | ||
VAT additional deduction | 929,058.98 | 864,634.59 | ||
Taxation service charge refund | 788,376.92 | 820,107.47 | ||
47,249,616.26 | 35,855,298.32 |
50. Investment income
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Long-term equity investment income under the equity method | 157,696,397.81 | 133,604,904.16 | ||
Dividend income from other equity investments that are still held | 2,330,159.50 | - | ||
Investment income from financial assets at fair value through profit or loss | 3,599,555.61 | 4,109,881.90 | ||
Investment income from the derecognition of financial assets measured at amortised cost | (7,039,046.60) | (33,507,102.64) | ||
Others | 998,665.84 | |||
156,587,066.32 | 105,206,349.26 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
51. Credit impairment losses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Impairment loss of other receivables | (1,464,818.01) | (1,401,731.20) | ||
Impairment loss of accounts receivable | (28,023,731.77) | (20,178,500.32) | ||
Impairment loss of notes receivables | 893,564.34 | - | ||
Impairment loss of other non-current financial assets | (70,000.00) | - | ||
(28,664,985.44) | (21,580,231.52) |
52.
Impairment losses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Loss from write-down of inventories | (318,356.71) | (1,743,888.30) | ||
Loss from impairment of contract assets | ( 60,342.41) | - | ||
Loss from impairment of other non-current assets | ( 38,216.14) | - | ||
( 416,915.26) | (1,743,888.30) |
53. Gain on disposal of assets
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Gain on disposal of right-of-use assets | (505,084.56) | 3,971,813.20 | ||
Gain on disposal of fixed assets | (83,714.99) | 333,511.60 | ||
(588,799.55) | 4,305,324.80 |
54. Non-operating income
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | Amount classified as non-recurring profit or loss | |||
Government grants | 1,349,204.28 | 1,349,204.28 | 1,349,204.28 | ||
Gain on disposal of non-current assets | 60,184.80 | 2,171.01 | 60,184.80 | ||
Gain from writing off the unnecessary payment | 7,298,605.35 | 199,266.47 | 7,298,605.35 | ||
Others | 3,785,326.01 | 3,669,338.46 | 3,789,726.01 | ||
12,493,320.44 | 5,219,980.22 | 12,493,320.44 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
54. Non-operating income(Continued)
Government grants included in current period profit or loss:
Project Name | Government Department | Reasons for Government grants | Type | Affects the profit or loss of this year | Special subsidy | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | Related to asset/income |
Resettlement Compensation of No. 7 Zhongyao Road | Nanning Economic & Technological Development Area Management Committee | Subsidy | Subsidies from local government for support policies such as attracting investment | Yes | No | 1,349,204.28 | 1,349,204.28 | Asset related |
55. Non-operating expenses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | Amount classified as non-recurring profit or loss | ||||
Donation expenses | 158,990.50 | 527,677.41 | 158,990.50 | |||
Losses arising from damage and obsolescence of non-current assets | 273,414.36 | 373,790.44 | 273,414.36 | |||
Penalty expenses | 1,220,928.37 | 467,582.50 | 1,220,928.37 | |||
Others | 1,584,618.12 | 1,639,842.17 | 1,584,618.12 | |||
3,237,951.35 | 3,008,892.52 | 3,237,951.35 |
56. Income tax expenses
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | |||
Current income tax | 248,326,505.55 | 213,477,221.94 | ||
Deferred income tax | (9,900,246.51) | (3,370,457.59) | ||
238,426,259.04 | 210,106,764.35 |
The reconciliation from income tax calculated based on applicable tax rates and total profit presented in the consolidated financial statements to the income taxes is listed below: | ||
For the six month ended 30 June 2021 | ||
Profit before income tax | 1,146,420,713.53 | |
Tax at the applicable tax rate | 286,605,178.38 | |
Effect of different tax rates for some subsidiaries | (27,341,828.05) | |
Adjustments in respect of current tax of previous periods | 9,250,796.99 | |
Income not subject to tax | (39,424,099.45) | |
Expenses not deductible for tax | 5,188,447.29 | |
Unrecognised deductible temporary differences and tax losses | 4,147,763.88 | |
Income tax | 238,426,259.04 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
57. Notes to items in the cashflow statement
(1) | Other cash receipts relating to operating activities | ||||||||||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||||||||
Received the special emergency reserve fund | - | 330,000,000.00 | |||||||||
Rent income | 42,368,174.77 | 30,221,915.35 | |||||||||
Interest income | 38,758,729.78 | 65,499,031.75 | |||||||||
Received other government grants except tax refund | 35,612,619.03 | 28,018,379.40 | |||||||||
Others | 251,851,351.88 | 253,462,783.50 | |||||||||
368,590,875.46 | 707,202,110.00 | ||||||||||
(2) | Other cash payments relating to operating activities | ||||||||||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||||||||
Rental expenses | 133,233,956.70 | 65,964,390.47 | |||||||||
Transportation charges | 52,564,735.76 | 51,095,840.37 | |||||||||
Office expenses | 49,295,234.19 | 40,572,923.16 | |||||||||
Utilities | 42,971,147.82 | 36,000,941.01 | |||||||||
Storage expenses | 25,614,256.09 | 18,300,237.30 | |||||||||
Entertainment expenses | 21,403,877.53 | 13,954,525.81 | |||||||||
Advertising expenses | 19,109,323.81 | 17,580,245.59 | |||||||||
Travel expenses | 6,383,853.69 | 3,667,923.26 | |||||||||
Others | 582,203,811.77 | 456,537,231.52 | |||||||||
932,780,197.36 | 703,674,258.49 |
(3) | Other cash receipts relating to investing activities | ||||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||
Received from capital pool(1) | - | 22,000,000.00 | |||
Others | 54,984.60 | 40,000.00 | |||
54,984.60 | 22,040,000.00 |
(1) Pudong Pharmaceuticals, a subsidiary of the merger of enterprises under the common control of Guoda Pharmacy in2020, and recovered the funds originally collected to the cash pool in the same period in 2020.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
57. Notes to items in cash flow statement (Continued)
(4) | Other cash receipts relating to financing activities | |||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |||
Received loan provided by minority shareholders | 69,150,000.00 | 149,900,000.00 | ||
Financing restricted monetary funds received | 34,940,555.62 | 128,449,840.06 | ||
Received loan provided by Sinmpharm | - | 56,000,000.00 | ||
104,090,555.62 | 334,349,840.06 | |||
(5) | Other cash payments relating to financing activities | |||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |||
Lease payment | 536,275,009.28 | 466,492,796.45 | ||
Bank factoring payable | 251,370,239.59 | 281,994,828.44 | ||
Repayment of the loan provided by minority shareholders | 50,400,000.00 | 304,000,000.00 | ||
Investment fund of Shanghai Pudong Pharmaceuticals | - | 163,115,049.98 | ||
Repayment of the loan provided by Sinmpharm | - | 114,000,000.00 | ||
Purchase of equity of minority shareholders | - | 52,309,117.11 | ||
Others | - | 23,199,872.28 | ||
838,045,248.87 | 1,405,111,664.26 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
58. Supplementary information of cashflow statement
(1) | Reconciliation of net profit to cash flows from operating activities | ||
For the six month ended 30 June 2021 | For the six month ended 30 June 2020 | ||
Net profit | 907,994,454.49 | 806,212,542.53 | |
Add: Provisions for asset impairment | 29,081,900.70 | 23,324,119.82 | |
Depreciation of fixed assets | 78,401,603.02 | 61,147,847.16 | |
Depreciation of right-of-use assets | 493,632,821.29 | 388,208,804.99 | |
Amortization of intangible assets | 30,503,457.69 | 22,955,311.98 | |
Amortization of long-term prepaid expenses | 79,098,080.34 | 51,031,038.60 | |
Gains/(losses) on disposal of fixed assets, intangible assets and other long-term assets | 588,799.55 | (4,658,628.06) | |
Losse from obsolescence of non-current assets | 213,229.56 | 371,619.43 | |
Finance expenses | 126,395,365.24 | 124,862,298.31 | |
Investment losses | (156,587,066.32) | (105,206,349.26) | |
(Increase)/decrease in deferred tax assets | (10,036,816.58) | (1,027,041.92) | |
(Decrease)/increase in deferred tax liabilities | 417,984.79 | (2,343,415.67) | |
Decrease in inventories | (868,988,935.78) | (85,043,215.49) | |
Increase in operating receivables items | (3,060,847,945.57) | (2,023,296,252.84) | |
(Decrease)/increase in operating payable items | 3,561,205,596.30 | (133,395,115.40) | |
Others | 18,300,754.85 | 2,315,060,479.17 | |
Net cash generated from operating activities | 1,229,373,283.57 | 1,438,204,043.35 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
58. Supplementary information of cashflow statement (Continued)
(2) | Movement of cash | ||
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||
Cash at the end of the period | 5,537,606,217.43 | 8,000,562,022.16 | |
Less: Cash at the beginning of the period | 5,405,113,257.99 | 8,426,071,170.16 | |
Net increase in cash | 132,492,959.44 | (425,509,148.00) |
(3) | |||
For the six months ended 30 June 2021 | |||
Cash and cash equivalents paid for acquisitions of subsidiaries and other operating units | 129,668,139.12 | ||
Incl: Yunnan Guoda Disheng Pharmaceutical Co., Ltd.(“Disheng Pharmaceutical) | 14,130,000.00 | ||
Disheng Chain. | 71,400,000.00 | ||
32 directly-operated stores of Shanxi Huimingkangwei Pharmaceutical Chain Co., Ltd. | 30,000,000.00 | ||
15 directly-operated stores of Sinopharm Holding Nantong Puji Pharmacy Chain Co., Ltd. | 14,138,139.12 | ||
Less: Cash and cash equivalents held by subsidiaries and other operating units at the acquisition date | 28,717,501.71 | ||
Incl: Disheng Pharmaceutical | 7,723,702.95 | ||
Disheng Chain Co., Ltd. | 20,993,798.76 | ||
Net cash outflow/(inflow) on acquisition of the subsidiaries and other operating units | 100,950,637.41 |
(4) | Cash and cash equivalent | ||
30 June 2021 | 31 December 2020 | ||
Cash | 5,537,606,217.43 | 5,405,113,257.99 | |
Inclue: Cash on hand | 4,898,795.54 | 6,707,125.90 | |
Bank deposits on demand | 5,532,707,421.89 | 5,398,406,132.09 | |
Ending banlance cash and cash equivalent | 5,537,606,217.43 | 5,405,113,257.99 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
59. Assets under restricted ownership or right of use
Book value | Reasons | |||
Cash and cash equivalents | 338,186,269.94 | Note 1 | ||
Endorsed notes receivable and receivable financing | 20,196,089.49 | Note 2 | ||
358,382,359.43 |
Note 1: As at 30 June 2021, the the Group’s cash and cash equivalents with a book value of RMB 338,186,269.94(December 31, 2020: RMB 593,091,037.88) are mainly deposits for bank acceptance bills, freezing of funds and medicalreserve funds, etc.Note 2: As at 30 June 2021, the Group had receivables financing of RMB 20,070,999.69 and notes receivable ofRMB125,089.80, endorsed but not due (31 December 2020: receivables financing of RMB 23,843,867.66 and notesreceivable of RMB 4,095,283.92)
60. Government grants
Type | Amount | Items of financial statements | The amount recorded into profit or loss for the current period | |
Tax return | 12,016,071.91 | Other income | 12,016,071.91 | |
Stabilitation allowances | 11,572,570.54 | Other income/ Deferred income | 11,572,570.54 | |
Construction fund of the modern supply chain system in the central circulation field in 2018 | 2,143,819.51 | Other income/ Deferred income | 2,143,819.51 | |
Subsidies from food and strategic reserves administration of Guangdong province | 1,946,573.87 | Other income | 1,946,573.87 | |
Medical Reserve Subsidies from Shenzhen municipal health commission | 1,437,149.37 | Other income | 1,437,149.37 | |
Government support fund | 1,361,117.00 | Other income | 1,361,117.00 | |
Resettlement Compensation of No. 7 Zhongyu Road | 1,349,204.28 | Non-operating income /Deferred income | 1,349,204.28 | |
Enterprise Economic Reward | 733,317.46 | Other income /Deferred income | 733,317.46 | |
Government grants for COVID-19 | 422,595.35 | Other income | 422,595.35 | |
VAT reduction or exemption for self-employment retired soldiers | 300,870.00 | Other income | 300,870.00 | |
Guangzhou logistics standardization pilot project allowance | 273,123.42 | Other income /Deferred income | 273,123.42 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
V Notes to the consolidated financial statements (Continued)
60 Government grants (Continued)
Type | Amount | Items of financial statements | The amount recorded into profit or loss for the current period | |
Special funds for industrial transformation and upgrading in dualized integration projects | 224,520.24 | Other income /Deferred income | 224,520.24 | |
Rent subsidy from Guangzhou High-tech Industrial Development Zone | 216,700.85 | Other income | 216,700.85 | |
Service Industry Enterprise Market Development Subsidy Project in Nanning | 200,000.00 | Other income | 200,000.00 | |
Subsidy fund for medicine reserve in Foshan | 150,000.00 | Other income | 150,000.00 | |
Comprehensive experimental modern service industry subsidies | 150,000.00 | Other income /Deferred income | 150,000.00 | |
Logistics project construction support fund from Nanning economic development committee | 93,203.22 | Other income /Deferred income | 93,203.22 | |
Funds for the logistics information platform project of the pharmaceutical storage centre | 71,428.56 | Other income /Deferred income | 71,428.56 | |
Guangzhou special subsidy for commerce and trade circulation industry | 50,000.04 | Other income /Deferred income | 50,000.04 | |
Special Fund for the construction of Enterprise Research and development Institutions in Guangzhou | 44,705.94 | Other income /Deferred income | 44,705.94 | |
House purchase subsidy from the government of Tiexi District, Shenyang | 40,561.32 | Other income /Deferred income | 40,561.32 | |
Subsidy for industrialization application project of pharmaceutical cold chain patent incubator from Guangzhou liwan district | 12,499.98 | Other income /Deferred income | 12,499.98 | |
Medical intelligent supply chain e-commerce service platform technology project subsidy from Guangzhou liwan district | 9,861.24 | Other income /Deferred income | 9,861.24 | |
Other government grants | 543,447.58 | Other income/Finance costs/Administrative /Selling expenses /Deferred income | 543,447.58 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VI. Changes in scope of consolidation
1. Business combination not involving enterprises under common control
1.1 Acquiring Disheng Pharmaceutical. And Disheng chain
Acquiree | The date of acquiring the right | Acquistion cost of the right | Proportion of rights owned by the Group | Methods of acquisition the right | Acquisition date | The basis for determining the date of purchase | Income earned from the acquisition date to 30 June 2021 | Net profit earned from the acquisition date to 30 June 2021 |
Disheng Pharmaceutical (a) | 15 March 2021 | 14,130,000.00 | 70.00% | Acquisition | 15 March 2021 | The purchaser actually acquires control over the acquired company | 88,507,060.89 | 964,797.79 |
Disheng chain Co., Ltd. (b) | 15 March 2021 | 238,000,000.00 | 70.00% | Acquisition | 15 March 2021 | The purchaser actually acquires control over the acquired company | 116,656,427.71 | 12,161,419.65 |
Additional clarification:
(a) Guoda Pharmacy, a subsidiary of the Company, acquired 70% shares of Disheng Pharmaceutical from Xishuangbanna Disheng Pharmaceutical Co., Ltd by RMB14,130,000.00. The acquisition wascompleted on 15 March 2021.(b) Guoda Pharmacy, a subsidiary of the Company, acquired 70% shares of Disheng chain from Xishuangbanna Disheng Pharmaceutical Co., Ltd by RMB 238,000,000.00. The acquisition wascompleted on 15 March 2021.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VI. Changes in scope of consolidation(Continued)
1. Business combinations not involving enterprises under common control (Continued)
1.2 Acquisition costs and goodwill arising from acquisition
Acquisition costs | Disheng Pharmaceutical | Disheng chain |
Cash | 14,130,000.00 | 238,000,000.00 |
Acquisition costs | 14,130,000.00 | 238,000,000.00 |
Less: the fair values of acquired identifiable net assets | 14,708,610.41 | 85,842,064.48 |
Goodwill arising from acquisition/Acquisition costs exceeding the fair values of acquired identifiable net assets | (578,610.41) | 152,157,935.52 |
The fair value of the cost of acquisition is recognized according to the price actually paid.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VI. Changes in scope of consolidation (Continued)
1. Business combinations not involving enterprises under common control (Continued)
1.3 The fair values of acquired identifiable assets and liabilities on the acquisition date
Disheng Pharmaceutical | Disheng chain | |||
Fair value | Carrying amount | Fair value | Carrying amount | |
Cash and bank balances | 7,723,702.95 | 7,723,702.95 | 20,993,798.76 | 20,993,798.76 |
Accounts receivable | 30,471,781.24 | 30,471,781.24 | 23,414,107.18 | 23,414,107.18 |
Inventories | 19,829,957.32 | 19,829,957.32 | 45,829,051.06 | 45,829,051.06 |
Fixed assets | 1,335,373.90 | 1,335,373.90 | 2,000,261.19 | 2,000,261.19 |
Intangible assets | - | - | 40,661,415.51 | 221,415.51 |
Advances to suppliers | 2,318,717.10 | 2,318,717.10 | 91,212.94 | 91,212.94 |
Other receivables | 2,129,844.69 | 2,129,844.69 | 3,414,254.84 | 3,414,254.84 |
Other current assets | 5,329,820.93 | 5,329,820.93 | 4,627,358.05 | 4,627,358.05 |
Long-term prepaid expenses | 724,925.12 | 724,925.12 | 7,783,811.55 | 7,783,811.55 |
Right-of-use assets | - | - | 41,047,873.29 | 41,047,873.29 |
Deferred tax assets | 31,947.59 | 31,947.59 | 249,467.13 | 249,467.13 |
Accounts payable | 47,041,828.70 | 47,041,828.70 | 13,321,430.50 | 13,321,430.50 |
Deferred tax liabilities | - | - | 6,066,000.00 | - |
Contract liabilities | 123,430.92 | 123,430.92 | 1,818,156.15 | 1,818,156.15 |
Employee benefits payable | 490,428.65 | 490,428.65 | 5,316,750.15 | 5,316,750.15 |
Tax payable | 408,921.64 | 408,921.64 | 5,707,308.60 | 5,707,308.60 |
Other payables | 819,160.34 | 819,160.34 | 7,477,165.09 | 7,477,165.09 |
Non-current liabilities due within one year | - | - | 15,482,505.32 | 15,482,505.32 |
Lease liabilities | - | - | 12,291,775.00 | 12,291,775.00 |
Net assets | 21,012,300.59 | 21,012,300.59 | 122,631,520.69 | 88,257,520.69 |
Less: equity of minority shareholders | 6,303,690.18 | 6,303,690.18 | 36,789,456.21 | 26,477,256.21 |
Net assets acquired | 14,708,610.41 | 14,708,610.41 | 85,842,064.48 | 61,780,264.48 |
Methods for determining the fair value of identifiable assets and liabilities:
It is recognized according to the appraisal.
VI. Changes in scope of consolidation (Continued)
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
2. Others
2.1 Acquisition of the management right of 15 directly-managed stores of Sinopharm holding
Nantong Puji pharmacy chain Co., Ltd.( hereafter referd as
“Nantong Puji”)
Yangzhou Guoda, a subsidiary of the Company, obtained 15 directly-managed stores of Nantong Puji with cash of RMB14,138,139.12. The acquisition date is determined as 2 March 2021. After the acquisition, goodwill of RMB 11,498,100.00 wasformed.The fair values and carrying amounts of identifiable assets and liabilities of 15 directly-managed stores of Nantong Puji on theacquisition date are presented as follows:
Nantong Puji | 2 March 2021 | 2 March 2021 | |
Fair value | Carrying amount | ||
Fixed assets | 788,300.00 | 788,300.00 | |
Inventories | 1,751,439.12 | 1,751,439.12 | |
Long-term prepaid expenses | 100,300.00 | 100,300.00 | |
Total | 2,640,039.12 | 2,640,039.12 | |
Price paid | 14,138,139.12 | 14,138,139.12 | |
Goodwill arising from acquisition | 11,498,100.00 | 11,498,100.00 |
Operating results and cash flows of 15 directly-managed stores of Nantong Puji for the period from the acquisition date to the endof the June are presented as follows:
2 March 2021 to 30 June 2021 | ||
Operating revenue | 7,016,410.53 | |
Net profit | 303,795.13 | |
cash flows from operating activities | 871,784.36 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VI. Changes in scope of consolidation (Continued)
2. Others (Continued)
2.2 Acquisition of the management right of 32 directly-managed stores of Shanxi Huimin Kangwei
pharmacy chain Co., Ltd.(
hereafter referd as “Shanxi Huimin Kangwei pharmacy”)
Guoda Wanmin Huimin Kangwei pharmacy Luliang Co., Ltd.(hereafter referd as “Huimin Lvliang”), a subsidiary of the Company,obtained 32 directly-managed stores of Shanxi Huimin Kangwei pharmacy with cash of RMB 30,000,000.00. The acquisition dateis determined as 8 February 2021. After the acquisition, goodwill of RMB 20,970,000.00 was formed.The fair values and carrying amounts of identifiable assets and liabilities of 32 directly-managed stores of Shanxi Huimin Kangweipharmacy on the acquisition date are presented as follows:
Shanxi Huimin Kangwei pharmacy | 8 February 2021 | 8 February 2021 | |
Fair value | Carrying amount | ||
Fixed assets | 1,740,000.00 | 1,740,000.00 | |
Inventories | 7,290,000.00 | 7,290,000.00 | |
Total | 9,030,000.00 | 9,030,000.00 | |
Price paid | 30,000,000.00 | 30,000,000.00 | |
Goodwill arising from acquisition | 20,970,000.00 | 20,970,000.00 |
Operating results and cash flows of 32 directly-managed stores of Shanxi Huimin Kangwei pharmacy for the period from theacquisition date to the end of the June are presented as follows:
8 February 2021 to 30 June 2021 | ||
Operating revenue | 15,240,595.69 | |
Net profit | 292,600.01 | |
cash flows from operating activities | 209,519.17 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII Interests in other entities
1. Interests in in subsidiaries
(1) | The composition of the Group: |
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Sinopharm Guilin | Guilin | Guilin | Commercial | - | 100.00% | Establishment | |
Sinopharm Baise | Baise | Baise | Commercial | - | 100.00% | Establishment | |
Sinopharm Holding Zhongshan Co., Ltd. | Zhongshan | Zhongshan | Commercial | - | 100.00% | Establishment | |
Sinopharm Guigang | Guigang | Guigang | Commercial | - | 100.00% | Establishment | |
Sinopharm Beihai | Beihai | Beihai | Commercial | - | 100.00% | Establishment | |
Sinopharm Holding Guangzhou Medical Treatment | Guangzhou | Guangzhou | Commercial | - | 51.00% | Establishment | |
Sinopharm Holding Shenzhen Jianmin Co., Ltd.(hereafter refered as"Sinopharm Shenzhen Jianmin") | Shenzhen | Shenzhen | Commercial | 100.00% | - | Business combinations involving entities under common control | |
Sinopharm Holding Shenzhen Traditional & Herbal Medicine Co., Ltd. (hereafter referd as “Sinopharm Traditional & Herbal Medicine") | Shenzhen | Shenzhen | Commercial | 100.00% | - | Business combinations involving entities under common control | |
Sinopharm Holding Shenzhen Logistics Co., Ltd. (hereafter refered as“Sinopharm Shenzhen Logistics") | Shenzhen | Shenzhen | Services | 100.00% | - | Business combinations involving entities under common control | |
Sinopharm Guangzhou | Guangzhou | Guangzhou | Commercial | 100.00% | - | Business combinations involving entities under common control | |
Sinopharm Holding Guangdong Hengxing Co., Ltd. | Guangzhou | Guangzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sinopharm Yulin | Yulin | Yulin | Commercial | - | 100.00% | Business combinations involving entities under common control |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Sinopharm Liuzhou | Liuzhou | Liuzhou | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Guangdong Huixin Investment Co., Ltd. | Guangzhou | Guangzhou | Service | 100.00% | Business combinations involving entities under common control | ||
Sinopharm Holding Foshan Co., Ltd. | Foshan | Foshan | Commercial | 100.00% | Business combinations involving entities under common control | ||
Sinopharm Holding Guangdong Yuexing Co., Ltd. (hereafter refered as“Sinopharm Guangdong Yuexing”) | Guangzhou | Guangzhou | Commercial | 100.00% | Business combinations involving entities under common control | ||
Sinopharm Holding Guangdong Logistics Co., Ltd. | Guangzhou | Guangzhou | Service | 100.00% | Business combinations involving entities under common control | ||
Sinopharm Guangxi | Nanning | Nanning | Commercial | 100.00% | Business combinations involving entities under common control | ||
Guangxi Logistic | Nanning | Nanning | Service | 100.00% | Business combinations involving entities under common control | ||
Sinopharm Wuzhou | Wuzhou | Wuzhou | Commercial | 99.90% | Business combinations involving entities under common control | ||
Sinopharm Dongguan | Dongguan | Dongguan | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Zhanjiang | Zhanjiang | Zhanjiang | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Yanfeng | Shenzhen | Shenzhen | Commercial | 51.00% | Business combinations involving entities not under common control | ||
Sinopharm Meizhou | Meizhou | Meizhou | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Huizhou | Huizhou | Huizhou | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Zhaoqing | Zhaoqing | Zhaoqing | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Sinopharm Jiangmen | Jiangmen | Jiangmen | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Sinopharm Shaoguan | Shaoguan | Shaoguan | Commercial | - | 70.00% | Business combinations involving entities not under common control | |
Sinopharm Holding Shantou Co., Ltd | Shantou | Shantou | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Foshan Nanhai | Foshan | Foshan | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Foshan Nanhai Uptodate & Special Medicines Co., Ltd. | Foshan | Foshan | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Foshan Nanhai Medicine Co., Ltd. | Foshan | Foshan | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sinopharm Holding Guangdong Dong Fang Uptodate & Special Medicines Co., Ltd. (a) | Guangzhou | Guangzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
South Pharma & Trade | Guangzhou | Guangzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sinopharm Zhuhai | Zhuhai | Zhuhai | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Sinopharm Maoming | Maoming | Maoming | Commercial | - | 100.00% | Business combinations involving entities not under common control |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Sinopharm Holding GZ Medical Technology Co., Ltd. | Guangzhou | Guangzhou | Commercial | - | 51.00% | Establishment | |
Sinopharm Holding GZ Medical Supply Chain Service Co., Ltd. | Guangzhou | Guangzhou | Commercial | - | 51.00% | Establishment | |
Sinopharm Holding Heyuan Co., Ltd. | Heyuan | Heyuan | Commercial | - | 70.00% | Business combinations involving entities not under common control | |
Guoda Pharmacy | Shanghai | Shanghai | Commercial | 60.00% | - | Business combinations involving entities under common control | |
Shanghai Guoda. | Shanghai | Shanghai | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Beijing Guoda Pharmacy Chain Store Co., Ltd. | Beijing | Beijing | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Tianjin Guoda Pharmacy Chain Store Co., Ltd. | Tianjin | Tianjin | Commercial | - | 80.00% | Business combinations involving entities under common control | |
Guangxi Consulting | Nanning | Nanning | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sinopharm Holding Guoda Pharmacy Guangdong Co., Ltd. | Shenzhen | Shenzhen | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Guangxi Guoda | Liuzhou | Liuzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Zhejiang Guoda | Hangzhou | Hangzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Yangzhou Guoda | Yangzhou | Yangzhou | Commercial | - | 93.68% | Business combinations involving entities under common control | |
Ningxia Guoda | Yinchuan | Yinchuan | Commercial | - | 70.00% | Business combinations involving entities under common control | |
Nanjing Guoda | Nanjing | Nanjing | Commercial | - | 60.00% | Business combinations involving entities under common control | |
Shandong Guoda | Linyi | Linyi | Commercial | - | 55.00% | Business combinations involving entities under common control | |
Shenyang Guoda | Shenyang | Shenyang | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Fujian Chain | Xiamen | Xiamen | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Anhui Guoda Pharmacy Chain Store Co., Ltd. | Hefei | Hefei | Commercial | - | 60.00% | Business combinations involving entities under common control | |
Quanzhou Guoda | Quanzhou | Quanzhou | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Shanxi Guoda Wanmin | Taiyuan | Taiyuan | Commercial | - | 85.00% | Business combinations involving entities under common control | |
Hunan Guoda | Hengyang | Hengyang | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Liyang Guoda | Liyang | Liyang | Commercial | - | 80.00% | Business combinations involving entities under common control | |
Henan Guoda | Pingdingshan | Pingdingshan | Commercial | - | 60.00% | Business combinations involving entities under common control | |
Inner Mongolia Guoda | Hohhot | Hohhot | Commercial | - | 96.70% | Business combinations involving entities under common control | |
Hebei Lerentang | Shijiazhuang | Shijiazhuang | Commercial | - | 60.00% | Business combinations involving entities under common control |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Jiangmen Guoda | Jiangmen | Jiangmen | Commercial | - | 65.00% | Business combinations involving entities under common control | |
Shanxi Guoda Yiyuan | Taiyuan | Taiyuan | Commercial | - | 80.00% | Business combinations involving entities under common control | |
Xinjiang Guoda | Urumqi | Urumqi | Commercial | - | 51.00% | Business combinations involving entities under common control | |
ForMe Medicines | Shanghai | Shanghai | Commercial | - | 97.00% | Business combinations involving entities under common control | |
Shanghai ForMe YiXing Pharmacy Chain Store Co., Ltd. | Shanghai | Shanghai | Commercial | - | 99.76% | Business combinations involving entities under common control | |
Beijing Golden Elephant | Beijing | Beijing | Commercial | - | 53.13% | Business combinations involving entities under common control | |
Shanxi Tongfeng Pharmacy Logistics Co., Ltd. | Taiyuan | Taiyuan | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Changzhi Wanmin | Changzhi | Changzhi | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Shanxi Guoda Wanmin Clinic Management Chain Co., Ltd. | Taiyuan | Taiyuan | Medical services | - | 100.00% | Business combinations involving entities under common control | |
Shanghai Guoda Shanghong Qibao Pharmacy Co., Ltd. | Shanghai | Shanghai | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Zhejiang Intlmedicine Pharmacy Dongshan Co., Ltd. | Hangzhou | Hangzhou | Commercial | - | 51.00% | Business combinations involving entities under common control | |
Shanghai Dongsheng Guoda | Shanghai | Shanghai | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sinopharm Guoda Drug Store (Shenzhen) Chain Co., Ltd. | Shenzhen | Shenzhen | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Guoda Guangzhou Chain | Guangzhou | Guangzhou | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Shanghai Guodong Chinese Traditional Medicine Clinic Co., Ltd. | Shanghai | Shanghai | Medical clinic | - | 100.00% | Business combinations involving entities under common control | |
Shanghai Guoda Dongxin Pharmacy Chain Store Co., Ltd. | Shanghai | Shanghai | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Shanghai Yutaitang Chinese Traditional Medicine Clinic Co., Ltd. | Shanghai | Shanghai | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Sanhe Liyang Golden Elephant Pharmacy Co., Ltd. | Langfang | Langfang | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Xiaoyi Wanmin | Xiaoyi | Xiaoyi | Commercial | - | 70.00% | Business combinations involving entities under common control | |
Inner Mongolia Hulun Buir Guoda | Hulun Buir | Hulun Buir | Commercial | - | 51.00% | Business combinations involving entities under common control | |
ForMe Xuhui | Shanghai | Shanghai | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Inner Mongolia Ulanqab Guoda. | Ulanqab | Ulanqab | Commercial | - | 60.00% | Establishment | |
Taishan Guoda | Taishan | Taishan | Commercial | - | 70.00% | Business combinations involving entities under common control | |
Sinopharm Lerentang Shijiazhuang Pharmaceutical | Shijiazhuang | Shijiazhuang | Commercial | - | 100.00% | Business combinations involving entities under common control | |
Manchuria Guoda | Manchuria | Manchuria | Commercial | - | 51.00% | Establishment | |
Sinopharm Guoda Drug Store Anshan Chain Co., Ltd. | Anshan | Anshan | Commercial | - | 51.00% | Establishment |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Sinopharm Holding Guoda Yongsheng Drug Store (Shanghai) Co., Ltd. | Shanghai | Shanghai | Commercial | - | 55.00% | Establishment | |
Sinopharm Holding Foshan Medical Consumables Supply Chain Co., Ltd. | Foshan | Foshan | Commercial | - | 70.00% | Establishment | |
Sinopharm Guangxi Supply Chain | Nanning | Nanning | Commercial | - | 30.60% | Establishment | |
Shanghai Haohai Guoda | Shanghai | Shanghai | Commercial | - | 51.00% | Establishment | |
Sinopharm Baiyi Pharmacy | Nanning | Nanning | Commercial | - | 51.00% | Establishment | |
Sinopharm Hezhou | Hezhou | Hezhou | Commercial | - | 100.00% | Establishment | |
Sinopharm Holding National Pharmacy Zhengzhou Chain Co., Ltd. | Zhengzhou | Zhengzhou | Commercial | - | 60.00% | Establishment | |
Shanghai Ruijing Guoda | Shanghai | Shanghai | Commercial | - | 55.00% | Establishment | |
Fujian Guoda Pharmaceutical Co., Ltd. | Xiamen | Xiamen | Commercial | - | 100.00% | Establishment | |
Sinopharm Qinzhou | Qinzhou | Qinzhou | Commercial | - | 100.00% | Establishment | |
Sinopharm Hechi | Hechi | Hechi | Commercial | - | 100.00% | Establishment | |
Sinopharm Holding Guangzhou Huadu Co., Ltd. | Guangzhou | Guangzhou | Commercial | - | 70.00% | Business combinations involving entities not under common control | |
Sinopharm Holding Guoda Shanxi Pharmaceutical Co., Ltd. | Taiyuan | Taiyuan | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Taiyuan Tongxinli Guoda Pharmacy Co., Ltd. | Taiyuan | Taiyuan | Commercial | - | 100.00% | Business combinations involving entities not under common control | |
Bayannaoer | Bayannaoer | Bayannaoer | Commercial | - | 80.00% | Establishment | |
Guoda Inner Mongolia Pharmaceutical | Hohhot | Hohhot | Commercial | - | 100.00% | Establishment | |
Sinopharm Holding Guoda Yongxingtang Chain (Chaoyang) Co., Ltd. | Chaoyang | Chaoyang | Commercial | - | 51.00% | Establishment | |
Sinopharm Accord Medical Devices (Shenzhen) Co., Ltd(b)(“Accord Devices”) | Shenzhen | Shenzhen | Commercial | 60.00% | Establishment | ||
Sinopharm Holding Guozhi Pharmacy (Heyuan) Co., Ltd. | Heyuan | Heyuan | Commercial | 70.00% | Establishment | ||
Liaoning Guoda Pharmaceutical Co., Ltd. | Shenyang | Shenyang | Commercial | 100.00% | Establishment | ||
Sinopharm Holding Guangyi Health Management (Zhanjiang) Co., Ltd. | Zhanjiang | Zhanjiang | Commercial | 60.00% | Establishment | ||
Guangzhou Medicine | Guangzhou | Guangzhou | Commercial | 70.00% | Business combinations involving entities not under common control | ||
Guoda pharmacy(Chaoyang) Renai Co., Ltd. | Chaoyang | Chaoyang | Commercial | 51.00% | Business combinations involving entities not under common control | ||
Guoda Pu’er Songmao | Puer | Puer | Commercial | 60.00% | Business combinations involving entities not under common control | ||
Shanghai Dingqun | Shanghai | Shanghai | Medical services | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Holding Tianhe Jilin Pharmaceutical Co., Ltd. | Changchun | Changchun | Commercial | 85.00% | Business combinations involving entities not under common control | ||
Jilin Yihe | Changchun | Changchun | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Jilin Donglong Medical Logistis distribution Co., Ltd. | Changchun | Changchun | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Yushu Dinghe Medical Technology Co., Ltd. | Changchun | Changchun | Commercial | 51.00% | Business combinations involving entities not under common control |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Guoda pharmacy Jilin Co., Ltd. (c) | Changchun | Changchun | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Yanji Xianghe Medical Co., Ltd. | Yanji | Yanji | Commercial | 51.00% | Business combinations involving entities not under common control | ||
Pudong Pharmaceuticals | Shanghai | Shanghai | Commercial | 75.00% | Business combinations involving entities under common control | ||
Shanghai Yanghetang Pharmaceutical Chain Management Co., Ltd. | Shanghai | Shanghai | Commercial | 100.00% | Business combinations involving entities under common control | ||
Shanghai Pudong Yanghetang TCM Clinic Co., Ltd. | Shanghai | Shanghai | Commercial | 100.00% | Business combinations involving entities under common control | ||
Guoda Pharmacy (Rizhao) Co., Ltd. | Rizhao | Rizhao | Commercial | 100.00% | Establishment | ||
Liaoning Health Pharmacy | Shenyang | Shenyang | Commercial | 100.00% | Establishment | ||
Beijing Jinxiang Guoxing pharmaceutical chain Co., Ltd. | Beijing | Beijing | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Sinopharm Accord (Yangjiang) Medicine Co., Ltd. | Yangjiang | Yangjiang | Commercial | 70.00% | Business combinations involving entities not under common control | ||
Liaoning Guoda pharmacy | Dalian | Dalian | Commercial | 100.00% | Establishment | ||
Liaoning Huludao Guoda pharmacy Co., Ltd(d) | Huludao | Huludao | Commercial | 100.00% | Establishment | ||
Jinzhong Yuci Guoda Wanmin clinic Co., Ltd | Jinzhong | Jinzhong | Commercial | 100.00% | Establishment | ||
Guoda Jianfeng (Jiangmen) pharmaceutical chain Co., Ltd | Jiangmen | Jiangmen | Commercial | 51.00% | Establishment | ||
Chengda Fangyuan Pharmaceutical Group Co., Ltd | Shenyang | Shenyang | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Shandong Chengda Fangyuan pharmaceutical chain Co., Ltd | Qingdao | Qingdao | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Liaoning Chengda Fangyuan pharmaceutical chain Co., Ltd | Shenyang | Shenyang | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Liaoning Zhicheng Xingda advertising media Co., Ltd | Benxi | Benxi | Medical services | 100.00% | Business combinations involving entities not under common control | ||
Chengda Fangyuan (Liaoning) new drug special drug chain Co., Ltd | Shenyang | Shenyang | Commercial | 80.00% | Business combinations involving entities not under common control | ||
Liaoning Chengda Fangyuan vocational and technical training school | Shenyang | Shenyang | Medical services | 100.00% | Business combinations involving entities not under common control | ||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) | ||||||
1. | Interests in subsidiaries (Continued) | ||||||
(1) | The composition of the Group (Continued): | ||||||
Subsidiaries | Principal place of business | Place of incorporation | Nature of business | Shareholding | Ways of acquisition | ||
Direct | Indirect | ||||||
Liaoning Chengda Fangyuan Pharmaceutical Co., Ltd | Shenyang | Shenyang | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Dalian Zhengda Pharmaceutical Co., Ltd | Dalian | Dalian | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Hebei Chengda Fangyuan pharmaceutical chain Co., Ltd | Qnghuangdao | Qnghuangdao | Commercial | 100.00% | Business combinations involving entities not under common control | ||
Liaoning Chengda Fangyuan Pharmaceutical Logistics Co., Ltd | Shenyang | Shenyang | Medical services | 100.00% | Business combinations involving entities not under common control | ||
Liaoning Chengda Fangyuan Logistics Co., Ltd | Shenyang | Shenyang | Medical services | 100.00% | Business combinations involving entities not under common control | ||
Jilin Chengda Fangyuan Pharmaceutical Co., Ltd | Changchun | Changchun | Commercial | 80.00% | Business combinations involving entities not under common contro | ||
Jilin Chengda Fangyuan pharmaceutical chain Co., Ltd | Changchun | Changchun | Commercial | 99.00% | Business combinations involving entities not under common contro | ||
Inner Mongolia Chengda Fangyuan Medicine | Chifeng | Chifeng | Commercial | 70.00% | Business combinations involving entities not under common contro | ||
Inner Mongolia Chengda Fangyuan pharmaceutical chain Co., Ltd | Chifeng | Chifeng | Commercial | 99.00% | Business combinations involving entities not under common contro | ||
Huimin Luliang (e) | Lvliang | Lvliang | Commercial | 51.00% | Establishment | ||
Disheng Pharmaceutical (f) | Xishuangbanna | Xishuangbanna | Commercial | 70.00% | Business combinations involving entities not under common contro | ||
Disheng chain (g) | Xishuangbanna | Xishuangbanna | Commercial | 70.00% | Business combinations involving entities not under common contro |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) |
1. | Interests in subsidiaries (Continued) |
(1) | The composition of the Group (Continued): |
Description of shareholding ratio in subsidiaries different from voting ratio:
On January 4, 2018, the group, Guorun medical supply chain service (Shanghai) Co., Ltd. (hereafter referred to as "Guorunmedical") and Guangxi deyiyuan Medical Investment Center (limited partnership) jointly funded the establishment of Sinopharmholding medical supply chain service (Guangxi) Co., Ltd., with contributions of RMB 6.12 million, RMB 5.88 million and RMB 8million respectively. Guorun medical entrusts its voting right to the company, and the company holds 60% of the voting right ofSinopharm holding medical supply chain services (Guangxi) Co., Ltd.
a. On 20 April 2021, Guangdong Dong Fang Uptodate & Special Medicines Co., Ltd. was renamed as Sinopharm HoldingGuangdong Dong Fang Uptodate & Special Medicines Co., Ltd.
b. On 12 July 2021, Sinopharm Accord Medical Supply Chain (Shenzhen) Co., Ltd. was renamed as Sinopharm AccordMedical Devices (Shenzhen) Co., Ltd.
c. On 5 July 2021, Guoda pharmacy Jilin Co., Ltd. has completed the industrial and commercial cancellation, and the
cancellation announcement period is from June 10, 2021 to June 30, 2021.
d. On 14 December 2020, the Group invested RMB1,000.00 thousand to set up Liaoning Huludao Guoda pharmacy Co., Ltd.
As at 30 June 2021, RMB500.00 thousand was paid.
e. On 28 December 2020, the Group and Wenshui Weikang Trading Co., Ltd. invested RMB16,320.00 thousand and
RMB15,680.00 thousand to set up Guoda Wanmin Huimin Kangwei pharmacy Luliang Co., Ltd, the group holds 51% of itsequity. As at 30 June 2021, payment has been completed.
f. On 15 March 2021, the Group acquired 70% equity in Disheng Pharmaceutica from Xishuangbanna Disheng Pharmaceutical
Co., Ltd. for RMB14,130.00 thousand, which formed a business combination not involving enterprises under common control.The acquisition was completed on 15 March 2021 and was included in the scope of consolidation.
g. On 15 March 2021, the Group acquired 70% equity in Disheng chain from Xishuangbanna Disheng Pharmaceutical Co.,Ltd.
for RMB238,000.00 thousand, which formed a business combination not involving enterprises under common control. Theacquisition was completed on 15 March 2021 and was included in the scope of consolidation.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII | Interests in other entities (Continued) |
1. | Interests in subsidiaries (Continued) |
(2) Important non-wholly owned subsidiary
Subsidiaries | Minority shareholding ratio | Profit or loss attributable to minority shareholders in the current period | Dispatch of dividends to minority shareholders in the current period | Minority shareholders' equity |
Guoda Pharmacy | 40.00% | 79,549,416.99 | - | 2,028,470,458.01 |
(3) Key financial information of important non-wholly owned subsidiaries
Subsidiaries | 30 June 2021 | 31 December 2020 | ||||||||||
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 | |
Guoda Pharmacy | 9,335,400,322.92 | 7,008,855,001.21 | 16,344,255,324.13 | 9,037,608,731.16 | 1,459,822,617.08 | 10,497,431,348.24 | 8,886,545,970.79 | 6,570,327,751.04 | 15,456,873,721.83 | 8,541,421,518.15 | 1,375,989,559.14 | 9,917,411,077.29 |
Subsidiaries | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||||
Operating revenue | Net profit | Total comprehensive income | Cash flow from operating activities | Operating revenue | Net profit | Total comprehensive income | Cash flow from operating activities | |
Guoda Pharmacy | 10,841,326,194.08 | 263,262,365.37 | 263,262,365.37 | 786,526,215.87 | 8,613,020,309.15 | 248,037,573.90 | 248,037,573.90 | 470,794,143.55 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII. Interests in other entities (Continued)
2. Interests in associates
Principal place of business | Place of incorporation | Nature of business | Shareholding(%) | Accounting | ||
Direct | Indirect | |||||
Associates | ||||||
Main Luck Pharmaceutical | Shenzhen | Shenzhen | Manufacturing | 35.19% | - | Equity |
Zhijun Suzhou | Suzhou | Suzhou | Manufacturing | 33.00% | - | Equity |
Sinopharm Zhijun | Shenzhen | Shenzhen | Manufacturing | 49.00% | - | Equity |
Zhijun Trade | Shenzhen | Shenzhen | Commercial | 49.00% | - | Equity |
Zhijun Pingshan | Shenzhen | Shenzhen | Manufacturing | 49.00% | - | Equity |
Sinopharm Shyndec | Shanghai | Shanghai | Business service industry | 16.28% | - | Equity |
Shanghai Beiyi | Shanghai | Shanghai | Commercial | - | 26.00% | Equity |
Shanghai Liyi | Shanghai | Shanghai | Commercial | - | 35.00% | Equity |
Guangdong Jienuo | Guangzhou | Guangzhou | Commercial | - | 29.00% | Equity |
Dongyuan accord | Heyuan | Heyuan | Commercial | - | 45.00% | Equity |
Shanghai Renbei | Shanghai | Shanghai | Commercial | - | 30.00% | Equity |
Guangdong Jianhui | Zhanjiang | Zhanjiang | Public-Private-Partnership | - | 10.00% | Equity |
Explication of the shareholding ratio of a joint venture differs from the proportion of voting rights:
According to the articles of association of Guangdong Jianhui company, the board of directors is composed of five directors,one of whom is appointed by the company, accounting for 20% of the voting rights. Therefore, the group has a significantimpact on Guangdong Jianhui, which is an associate of the group.
Basis for holding less than 20% of the voting rights but having significant influence, or holding 20% or more of the votingrights but not having significant influence:
Sinopharm Shyndec has established a board of directors, which is responsible to the shareholders' meeting. It has ninemembers, of which the group appoints one director. The resolution of the board of directors is one person, one vote,accounting for 11.11% of its voting rights. The Group has a significant influence on Sinopharm Shyndec.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII. Interests in other entities (Continued)
2. Interests in associates (Continued)
Main financial information of important associates:
30 June 2021/ For the six months ended 30 June 2021 | 1 January 2020/ For the six months ended 30 June 2020 | |||||
Sinopharm Shyndec | Zhijun Medicine | Main Luck Pharmaceutical | Sinopharm Shyndec | Zhijun Medicine | Main Luck Pharmaceutical | |
Current assets | 11,543,472,621.58 | 1,310,424,165.50 | 1,150,192,274.24 | 10,162,475,190.65 | 1,176,812,039.37 | 1,076,146,345.00 |
Non-current assets | 8,262,496,257.36 | 241,317,313.08 | 120,177,914.28 | 8,087,979,595.07 | 238,613,242.87 | 124,495,504.04 |
Total assets | 19,805,968,878.94 | 1,551,741,478.58 | 1,270,370,188.52 | 18,250,454,785.72 | 1,415,425,282.24 | 1,200,641,849.04 |
Current liabilities | 7,742,313,859.56 | 621,599,563.08 | 246,923,526.16 | 6,194,362,158.11 | 541,117,019.88 | 275,509,215.17 |
Non-current liabilities | 1,879,414,378.30 | 4,398,795.45 | 8,120,000.00 | 2,236,726,740.99 | 5,822,904.95 | 8,120,000.00 |
Total liabilities | 9,621,728,237.86 | 625,998,358.53 | 255,043,526.16 | 8,431,088,899.10 | 546,939,924.83 | 283,629,215.17 |
Non-controlling interests | 1,731,996,575.52 | - | - | 1,688,157,191.81 | - | - |
Shareholders’ equity attributable to shareholders of the parent | 8,452,244,065.56 | 925,743,120.05 | 1,015,326,662.36 | 8,131,208,694.81 | 868,485,357.41 | 917,012,633.87 |
Portion of net assets calculated by shareholding ratio | 1,376,025,333.87 | 453,614,128.80 | 357,293,452.48 | 1,323,760,775.52 | 425,557,825.11 | 322,696,745.87 |
Carrying value of equity investment in joint ventures | 1,376,025,333.87 | 453,614,128.80 | 357,293,452.48 | 1,323,760,775.52 | 425,557,825.11 | 322,696,745.87 |
Operating revenue | 7,632,136,688.61 | 746,410,222.02 | 476,292,028.69 | 6,211,855,587.54 | 659,730,341.51 | 475,122,136.41 |
Net profit | 541,049,057.92 | 57,257,762.64 | 98,308,111.37 | 427,914,866.04 | 35,512,234.88 | 98,199,603.82 |
Total comprehensive income | 541,447,429.53 | 57,257,762.64 | 98,308,111.37 | 428,665,399.75 | 35,512,234.88 | 98,199,603.82 |
Dividends received from joint ventures this period | 16,714,220.20 | - | - | 16,714,220.20 | - | 63,342,000.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VII. Interests in other entities (Continued)
2. Interests in associates (Continued)
Summary financial information of unimportant joint ventures and associated enterprises:
Excess losses incurred by joint ventures or associates:
Accumulated unrecognized losses in the previous period | Unrecognized loss in the current period (or net profit shared in the current period) | Accumulated unrecognized losses at the end of the period | |
Sinopharm Group Zhijun(Suzhou) Pharmaceutical Co., Ltd | (11,193,619.06) | - | (11,193,619.06) |
On 11 May 2021, the court ruled that Sinopharm Group Zhijun(Suzhou) Pharmaceutical Co., Ltd. was bankrupt and
designated the local government as the bankruptcy administrator. At present, it is in the stage of creditor's rightdeclaration.
30 June 2021/ For the six months ended 30 June 2021 | 1 January 2020/ For the six months ended 30 June 2020 | |
associated enterprises: | ||
Carrying value of equity investment | 240,672,877.06 | 215,004,281.49 |
Net profit | 25,668,595.57 | 28,478,625.69 |
Total comprehensive income | 25,668,595.57 | 28,478,625.69 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments
1. Classification of financial instruments
30 June 2021:
Financial assets | Financial assets at fair value through profit or loss | Financial assets at amortised cost | Financial assets at fair value through other comprehensive income | Total | |
Mandatorily required | Mandatorily required | Designated | |||
Cash and bank balances | - | 5,876,638,427.56 | - | - | 5,876,638,427.56 |
Notes receivable | - | 606,070,192.39 | - | - | 606,070,192.39 |
Accounts receivable | - | 17,761,176,449.25 | - | - | 17,761,176,449.25 |
Receivable financing | - | - | 345,906,887.55 | - | 345,906,887.55 |
Other receivables | - | 661,339,404.62 | - | - | 661,339,404.62 |
Other non-current financial assets | 117,974,908.51 | - | - | - | 117,974,908.51 |
Other equity instrument investment | - | - | - | 99,488,340.28 | 99,488,340.28 |
117,974,908.51 | 24,905,224,473.82 | 345,906,887.55 | 99,488,340.28 | 25,468,594,610.16 |
Financial liabilities | Financial liabilities at amortised cost | |
Short-term borrowings | 4,632,933,904.39 | |
Notes payable | 6,780,425,089.17 | |
Accounts payable | 9,642,504,836.50 | |
Other payables | 1,530,963,581.23 | |
Non-current liabilities due within 1 year | 798,170,618.10 | |
Lease liabilities | 1,361,131,352.80 | |
Long-term borrowings | 61,633,794.44 | |
24,807,763,176.63 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
1. Classification of financial instruments (Continued)
31 December 2021:
Financial assets | Financial assets at fair value through profit or loss | Financial assets at amortised cost | Financial assets at fair value through other comprehensive income | Total | |
Mandatorily required | Mandatorily required | Designated | |||
Cash and bank balances | - | 5,998,204,295.87 | - | - | 5,998,204,295.87 |
Notes receivable | - | 622,115,477.04 | - | - | 622,115,477.04 |
Accounts receivable | - | 13,799,971,014.22 | - | - | 13,799,971,014.22 |
Receivable financing | - | - | 1,404,987,700.38 | - | 1,404,987,700.38 |
Other receivables | - | 535,228,747.69 | - | - | 535,228,747.69 |
Other non-current financial assets | 120,972,350.24 | - | - | - | 120,972,350.24 |
Other equity instrument investment | - | - | - | 99,488,340.28 | 99,488,340.28 |
120,972,350.24 | 20,955,519,534.82 | 1,404,987,700.38 | 99,488,340.28 | 22,580,967,925.72 |
Financial liabilities | Financial liabilities at amortised cost | |
Short-term borrowings | 1,612,187,020.12 | |
Notes payable | 7,520,165,274.69 | |
Accounts payable | 7,697,451,142.50 | |
Other payables | 1,599,166,881.14 | |
Non-current liabilities due within 1 year | 748,732,059.89 | |
Lease liabilities | 1,303,054,163.90 | |
Long-term borrowings | 31,637,173.89 | |
20,512,393,716.13 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
2. Transfer of financial assets
Transferred financial assets that are not derecognised in their entirety
As at 30 June 2021, the Group had endorsed commercial acceptance bills (the "Endorsed Bills")with a carrying amount of RMB125,089.80 (30 June 2020: 4,095,283.92) to certain of itssuppliers to settle accounts payable due to such suppliers and the Group had endorsed bankacceptance bills with a carrying amount of RMB20,070,999.69 (30 June 2020: 23,843,867.66)to certain of its suppliers to settle accounts payable due to such suppliers. In the opinion of theGroup, the Group has retained substantially all the risks and rewards, which include defaultrisks relating to such Endorsed Bills and Discounted Bills. Accordingly, it continued to recognisethe full carrying amounts of those Bills and the associated accounts payable settled.Subsequent to the Endorsement and Discount, the Group did not retain any rights on the use ofthose Bills, including the sale, transfer or pledge of those Bills to any other third parties.
As at 30 June 2021, the total carrying value of accounts payable settled by the Group wasRMB20,196,089.49 (31 December 2020: RMB27,939,151.58).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
2. Transfer of financial assets (Continued)
Transferred financial assets that are derecognised in their entirety in which continuinginvolvement exists
As at 30 June 2021, the Group had endorsed bank acceptance bills (the "Endorsed Bills") witha carrying amount of RMB754,753,155.51 (31 December 2020: RMB1,283,369,787.75) tocertain of its suppliers to settle accounts payable due to such suppliers. As at 30 June 2021,the Group had discounted bank acceptance bills (the "Discounted Bills") with a carrying amountof RMB1,067,286,554.94 (31 December 2020: RMB330,472,883.05) to banks. As at 30 June2021, those Bills had a maturity of 1 to 12 months at the end of the reporting period. Inaccordance with the Law of Negotiable Instruments, the holders of the derecognised bills havea right of recourse against the Group if the accepting banks default (the "ContinuingInvolvement"). In the opinion of the Group, the Group has transferred substantially all risks andrewards relating to those Bills. Accordingly, it has derecognised the full carrying amounts ofthose Bills and the associated accounts payable. The maximum exposure to loss from theGroup's Continuing Involvement in the derecognised bills and the undiscounted cash flows torepurchase these derecognised bills is equal to their carrying amounts. In the opinion of theGroup, the fair values of the Group’s Continuing Involvement in the derecognised bills are notsignificant.
During 2021, the Group has not recognised any gain or loss on the date of transfer. No gain orloss was recognised from derecognised financial assets in which the Continuing Involvementexists, both during the year or cumulatively.
During 2021, the Group has not recognised any gain or loss on the date of transfer of thederecognised bills. No gains or losses were recognised from the Continuing Involvement, bothduring the year or cumulatively.
As part of its normal business, the Group entered into an accounts receivable factoring withoutrecourse with banks and transferred certain accounts receivable to banks. In the opinion of thedirectors, the Group has transferred substantially all risks and rewards under the arrangement.Accordingly, it has derecognised the full carrying amounts of the associated accountsreceivable. The original carrying value of the derecognised accounts receivable transferredunder the Arrangement that have not been settled as at 30 June 2021 amounted toRMB695,181,891.24 (31 December 2020: RMB1,409,768,709.18).
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments
The main risks arising from the Group's financial instruments are credit risk, liquidity risk andmarket risk (including currency risk and interest rate risk). The Group's principal financialinstruments comprise cash and bank balances, equity investments, debt investments,borrowings, notes receivable, accounts receivable, notes payable and accounts payable. Risksthat related to these financial instruments and the Group's risk management strategies forreducing these risks are as follows.
The Company’s board of directors is responsible for planning and establishing the riskmanagement framework of the Group, formulating risk management policies and relatedguidelines of the Group and supervising the implementation of risk management measures. TheGroup has already developed risk management policies to identify and analyse the risks facedby the Group, which have clearly identified specific risks, covering a lot of aspects such asmarket risk, credit risk and liquidity risk management. The Group regularly assesses the marketenvironment and changes in the Group’s business activities to determine whether or not toupdate the risk management policies and systems. The risk management of the Group shall beconducted by the operation and management department according to the policy approved bythe Company’s management. The operation and management department identifies, evaluatesand avoids related risks by means of close cooperation with other business units of the Group.
To avoid the risk concentrating on a single industry, a specific area or a specific counterparty, theGroup spreads financial instruments risk with diversified investments and business portfolio.
Credit risk
The Group only trades with recognised and creditworthy third parties. It is the Group’s policy thatall customers who wish to trade on credit terms are subject to credit verification procedures. Inaddition, receivable balances are monitored on an ongoing basis and the Group’s exposure tobad debts is not significant. For transactions that are not denominated in the functional currencyof the relevant operating unit, the Group does not offer credit terms without the special approvalof the credit control department of the Group.
Since cash and bank balances, bank acceptance bills receivable and derivative financialinstruments are placed in the well-established banks with high credit ratings, the credit risk ofthese financial instruments is lower.
The other financial instruments of the Group include cash and bank balances and otherreceivables. The credit risk of these financial assets results from default of counterparty. Themaximum credit exposure equals to the book value of these instruments.
The maximum exposure to credit risk of the Group at each balance sheet date is the totalamount charged to the customers less the amount of the impairment provision.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments (Continued)
Credit risk (Continued)
Since the Group trades only with recognised and creditworthy third parties, there is norequirement for collateral. Credit risks are managed by customer/counterparty, by geographicalregion and by industry sector. There are no significant concentrations of credit risk within theGroup as the customer bases of the Group’s accounts receivable are widely dispersed indifferent sectors and industries. The Group does not hold any collateral or other creditenhancements over its accounts receivable balances
Determination of significant increase in credit riskAt each reporting date, the Group determines whether the credit risk of a financial asset hasincreased significantly since initial recognition. When determining whether the credit risk of afinancial asset has increased significantly since initial recognition, the Group considersreasonable and supportable information that is relevant and available without undue cost oreffort. This includes both quantitative and qualitative information analysis, based on the Group’shistorical experience and informed credit assessment and including forward-looking information.In order to determine the change of expected default risk during the financial instrument’s entirelifetime, the Group compares the default risk of financial instrument on the balance sheet dateand on the initial recognition date based on single financial instrument or financial instrumentportfolio with similar default risk.
The Group determines that the credit risk of financial assets has significantly increased when oneor more quantitative or qualitative criteria are met:
(1) Quantitative criteria are mainly probability of default increasing more than a given % sinceinitial recognition;
(2) Qualitative criteria are mainly significant detrimental changes in the borrower’s operating orfinancial conditions and early warning customer lists.
(3) The upper criterion is above 30 days of the borrowers default (including principal andinterests).
Definition of credit-impaired financial assets
In assessing whether a financial asset is credit-impaired, the Group considers both quantitative
and qualitative information in line with internal credit risk management. The Group assesses
whether a financial asset is credit-impaired by considering the following factors:
(1) Significant financial difficulty of the borrower or issuer;
(2) A breach of contract such as a default or past due event;
(3) The lender(s) of the borrower, for economic or contractual reasons relating to the borrower’s
financial difficulty, having granted to the borrower concession(s) that the lender(s) would not
otherwise consider;
(4) It is becoming probable that the borrower will enter bankruptcy or other financialreorganisation;
(5) The disappearance of an active market for security because of financial difficulties; and
(6) Financial assets purchased or sourced at large discounts indicating that credit losses haveoccurred.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments (Continued)
Credit risk (Continued)
The impairment of financial assets may not be necessarily due to a single disparate event. Thecombined effects of multiple events may result in financial assets being credit-impaired.
Parameter of the expected credit loss modelBased on whether there is a significant increase in credit risk and whether the financial assetsare credit-impaired, the Group recognizes impairment allowance for different assets using either12-month expected credit losses or lifetime expected credit losses. The measurement of the ECLmodel is a function of the probability of default, the loss given default (i.e. the magnitude of theloss if there is a default) and the exposure at default. The Group establishes the model byconsidering the quantitative analysis of historical statistics such as the counterparty rating, theguarantee method, the collateral category, the repayment method, and also forward-lookinginformation.Definitions:
(1) The probability of default is the probability that the debtor will not be able to meet itsrepayment obligations within the following 12 months or throughout the remainingduration. To reflect the macro-economic environment conditions, the Group’s assessmentof the probability of default is based on the calculation of the ECL model adjusted byforward-looking information.
(2) The loss given default (i.e. the magnitude of the loss if there is a default) refers to theGroup's expectation of the extent of the loss of default risk exposure. The loss givendefault varies depending on the type of counterparty, the way and priority of recourse,and the type of collateral. The loss given default is the percentage of the risk exposureloss at the time of default, calculated on the basis of the next 12 months or the entireduration.
(3) The exposure at default refers to the amount that the Group should repay in the event ofdefault in the next 12 months or throughout the remaining period.
Both the assessment of a significant increase in credit risk and the calculation of the ECL involveforward-looking information. The Group recognises key economic ratios that influence credit riskand the ECL by historical data analysis.
As at 30 June 2021, there was no evidence of a significant increase in credit risk.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments (Continued)
Liquidity risk
The maturity analysis of the Group's financial liabilities as at the end of the reporting period, based on the contractual undiscounted cash flows, is as follows:
30 June 2021 | ||||||||||
Within 1 year | 1 to 2 years | 2 to 5 years | Above 5 years | Total | ||||||
Short-term borrowings | 4,709,466,709.01 | - | - | - | 4,709,466,709.01 | |||||
Long-term borrowings | - | 2,431,600.00 | 62,818,460.27 | - | 65,250,060.27 | |||||
Notes payable | 6,780,425,089.17 | - | - | - | 6,780,425,089.17 | |||||
Accounts payable | 9,642,504,836.50 | - | - | - | 9,642,504,836.50 | |||||
Other payables | 1,530,963,581.23 | - | - | - | 1,530,963,581.23 | |||||
Non-current liabilities due within 1 year | 875,756,920.06 | - | - | - | 875,756,920.06 | |||||
Lease liabilities | - | 647,956,518.10 | 715,415,984.31 | 96,740,307.76 | 1,460,112,810.17 | |||||
23,539,117,135.97 | 650,388,118.10 | 778,234,444.58 | 96,740,307.76 | 25,064,480,006.41 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments (Continued)
Liquidity risk (Continued)
The maturity analysis of the Group's financial liabilities as at the end of the reporting period, based on the contractual undiscounted cash flows, is asfollows:
31 December 2020 | ||||||||||
Within 1 year | 1 to 2 years | 2 to 5 years | Above 5 years | Total | ||||||
Short-term borrowings | 1,630,237,831.47 | - | - | - | 1,630,237,831.47 | |||||
Long-term borrowings | - | 1,216,600.00 | 32,313,062.78 | - | 33,529,662.78 | |||||
Notes payable | 7,520,165,274.69 | - | - | - | 7,520,165,274.69 | |||||
Accounts payable | 7,697,451,142.50 | - | - | - | 7,697,451,142.50 | |||||
Other payables | 1,599,166,881.14 | - | - | - | 1,599,166,881.14 | |||||
Non-current liabilities due within 1 year | 866,553,230.12 | - | - | - | 866,553,230.12 | |||||
Lease liabilities | - | 607,074,838.58 | 682,420,061.05 | 86,860,654.77 | 1,376,355,554.40 | |||||
19,313,574,359.92 | 608,291,438.58 | 714,733,123.83 | 86,860,654.77 | 20,723,459,577.10 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
3. Risks of financial instruments (Continued)
Market risk
Interest rate risk
The Group's interest rate risk arises from long-term borrowings from banks. Financial liabilitiesissued at floating rates expose the Group to cash flow interest rate risk. Financial liabilities issuedat fixed rates expose the Group to fair value interest rate risk. The Group determines the relativeproportions of its fixed rate and floating rate contracts depending on the prevailing marketconditions. As at 30 June 2021, if the floating interest rates of the long-term interest-bearingborrowings increased or decreased by 50 base points, while other factors did not change, theGroup’s net income would decrease or increase by RMB59,087.67 (31 December 2020: if thefloating interest rates of the long-term interest-bearing borrowings increased or decreased by 50base points, while other factors did not change, the Group’s net income would increase ordecrease by RMB97,072.60).
The Group’s finance department at its headquarters continuously monitors the interest rateposition of the Group. Increases in interest rates will increase the cost of new borrowings and theinterest expenses with respect to the Group’s outstanding floating rate borrowings and, therefore,could have a material adverse effect on the Group’s financial position. The Group’s managementlayer would make adjustments with reference to the latest market conditions which are interestrate swap agreements to mitigate its exposure to interest rate risk. During 2021 and 2020, theGroup had not entered into any interest rate swap agreements.
For the year ended 30 June 2021, the Group has long-term interest-bearing borrowings withfloating interest rates amounting to RMB31,600,000.00 (31 December 2020: RMB31,600,000.00).And long-term interest-bearing borrowings with fixed interest rates amounting toRMB30,000,000.00 (31 December 2020: nil).
Currency risk
The Group’s major operational activities are carried out in Mainland China and a majority of thetransactions are denominated in RMB. The Group is exposed to foreign exchange risk arising fromthe recognised assets and liabilities as well as future transactions (denominated in foreigncurrencies, primarily with respect to United States dollars and Hong Kong dollars). The Group’sfinance department at its headquarters is responsible for monitoring the amounts of assets andliabilities, and transactions denominated in foreign currencies aim at mitigating the potentialforeign exchange risk to a large extent.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
VIII Risks related to financial instruments (Continued)
4. Capital management
The Company’s primary objective for managing capital is to ensure that it maintains a strong creditrating and a healthy capital ratio in order to support its business, bring shareholders investing returnsand benefit related parties. Management also aims to maintain a capital structure that ensures thatthe lowest cost of capital is available to the entity.
Management adjusts the capital structure through adjusting dividend payments to shareholders,returning capital to shareholders, issuing new shares or selling assets to reduce debts.
The Group’s total capital is the total shareholders’ equity in the balance sheet. The Group does notadopt an asset ratio as a compulsory factor to govern capital investment.
The gearing ratios of the Group as at the end of the reporting periods are as follows:
30 June 2021 | 31 December 2020 | |
Gearing ratio | 60.43% | 57.35% |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
IX. Disclosure of fair value
1. Assets and liabilities at fair value
30 June 2021:
Input applied in the measurement of fair value | ||||||
Quoted prices in active markets | Significant observable inputs | Significant unobservable inputs | Total | |||
Level 1 | Level 2 | Level 3 | ||||
Continuous measurement of fair value | ||||||
Receivable financing | - | 345,906,887.55 | - | 345,906,887.55 | ||
Other investment in equity instruments | - | 99,488,340.28 | - | 99,488,340.28 | ||
Other non-current financial assets | - | - | 117,974,908.51 | 117,974,908.51 | ||
- | 445,395,227.83 | 117,974,908.51 | 563,370,136.34 |
31 December 2020
Input applied in the measurement of fair value | ||||||
Quoted prices in active markets | Significant observable inputs | Significant unobservable inputs | Total | |||
Level 1 | Level 2 | Level 3 | ||||
Continuous measurement of fair value | ||||||
Receivable financing | - | 1,404,987,700.38 | - | 1,404,987,700.38 | ||
Other investment in equity instruments | - | 99,488,340.28 | - | 99,488,340.28 | ||
Other non-current financial assets | - | - | 120,972,350.24 | 120,972,350.24 | ||
- | 1,504,476,040.66 | 120,972,350.24 | 1,625,448,390.90 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
IX. Disclosure of fair value(Continued)
2. Assets and liabilities disclosed at fair value
30 June 2021:
Input applied in the measurement of fair value | |||||
Quoted prices in active markets | Significant observable inputs | Significant unobservable inputs | Total | ||
Level 1 | Level 2 | Level 3 | |||
Long-term borrowings | - | 61,633,794.44 | - | 61,633,794.44 |
3. Estimation of fair value
The following are the book value and fair value of financial instruments of the Group, excluding those that haveimmaterial difference in book value and fair value:
Carrying amount | Fair value | ||||
30 June 2021 | 31 December 2020 | 30 June 2021 | 31 December 2020 | ||
Financial liabilities | - | - | - | - | |
Long-term borrowings | 61,633,794.44 | 31,637,173.89 | 61,633,794.44 | 31,637,173.89 |
Management has assessed that the fair values of cash and cash equivalents, trade receivables, receivablefinancing, other receivables, short-term borrowings, notes payable, trade payables, other payables, non-currentliabilities due within 1 year as well as other short-term financial assets and liabilities. Due to the short remainingmaturities of these instruments, the fair value approximated to the carrying amount.
The financial controller of the Group takes the responsibility to formulate policies and procedures related tofinancial instrument fair value measurements and directly reports to the CFO and the audit committee. On eachbalance sheet date, the financial department analyses the variation of the fair value of financial instruments anddetermines the inputs applicable to valuation. The valuation is required to be approved by the CFO.
The fair values of financial assets and liabilities are the amounts at which the instrument could be exchanged ordebts could be settled in an arm’s length transaction between knowledgeable and willing parties, other than in aforced or liquidation sale. The following methods and assumptions were used to estimate the fair values.
The fair values of short-term and long-term borrowings, and long-term payables have been calculated bydiscounting the expected future cash flows using market rates of return currently available for other financialinstruments with similar terms, credit risk and remaining maturities. As at 30 June 2021, the Group’s own non-performance risk for short-term and long-term borrowings was assessed to be insignificant.
For an equity instrument of listed entities, the market price is used to determine fair value. For an equity instrumentof non-listed entities, the recent equity transaction consideration or the market comparable company model is usedto estimate fair value. The Group believes that the estimated fair value by the valuation method is rational, and alsothe most sufficient value at the balance sheet date.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
IX. Disclosure of fair value(Continued)
4. Unobservable inputs
Other non-current financial assets were the fund shares of Qirui Port Investment Center LP of Ningbo MeishanBonded Port subscribed by the Group. For the determination of the fair value of the investment, after referring tothe net assets of Qirui Port Investment Center LP of Ningbo Meishan Bonded Port on 30 June 2021, which hasimplemented the new financial instrument standards, the result was calculated and determined according to thefund share proportion owned by the company.
A financial instrument that is measured at fair value with measurement of level 3 is insensitive to reasonablefluctuation of the unobservable inputs.
5. Transfers between levels of fair value measurement
At 30 June 2021 and 31 December 2020, there were no transfers of fair value measurements between Level 1 andLevel 2.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions
1. Parent
Parent’s name | Registered address | Nature of business | Share capital | Proportion of ownership interest in the Company | Proportion of voting power in the Company |
Sinopharm Group Co., Ltd. | Shanghai | Industrial investment holding, trustee of a pharmaceutical enterprise, assets reorganization, distribution and retail of medicines and pharmaceutical products, etc. | 3,120,656,191.00 | 56.06% | 56.06% |
The ultimate controlling party of the Company is CNPGC.
2. Subsidiaries
Refer to Note VII 1 for details of subsidiaries.
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
3. Associates
Refer to Note VII 2 for details of associates.
The situation of other joint ventures or associates that have related party transactions with thecompany during the current period or the balance of the related party transactions with the companyin the previous period is as follows:
Please refer to Note X 5 for details.
4. Other related parties
Company name | Related party relationships |
Lanzhou Biotechnology Development Co., Ltd. | Controlled by CNPGC |
Shanghai Shyndec Pharmaceutical Marketing Co., Ltd. | Controlled by CNPGC |
China National Pharmaceutical Foreign Trade Corporation | Controlled by CNPGC |
Sinopharm Yixin Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Foshan Winteam Pharmaceutical Group Ltd. | Controlled by CNPGC |
Southwest Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Chengdu Rongsheng Pharmacy Co., Ltd. | Controlled by CNPGC |
Taiji Group Chongqing Fuling Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Beijing Huasheng Pharmaceutical Biotechnology Development Co., Ltd. | Controlled by CNPGC |
Taiji Group Chongqing Tongjunge Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Fengliaoxing (Foshan) Pharmaceutical Drugs Co., Ltd. | Controlled by CNPGC |
Shanghai Shangsheng Biological Products Co., Ltd. | Controlled by CNPGC |
Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Zhonglian Pharmaceutical Group Co., Ltd. | Controlled by CNPGC |
China National Pharmaceutical Industry Co., Ltd. | Controlled by CNPGC |
Shanghai Modern Hasen (Shangqiu) Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Luya (Shandong) Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Tongjitang (Guizhou) Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm ChuanKang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Huayi Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Shantou Jinshi Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Weiqida Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Chengdu Institute of Biological Products Co., Ltd. | Controlled by CNPGC |
Sinopharm Group Yibin Pharmaceuticals Co., Ltd. | Controlled by CNPGC |
Yunnan Tianjiang Yifang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Wuhan Zhongsheng Yujin Biological Medicine Co., Ltd. | Controlled by CNPGC |
Shantou Jinshi Powder Injection Co., Ltd. | Controlled by CNPGC |
Sinopharm Xinjiang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Wuhan Blood Products Co., Ltd. | Controlled by CNPGC |
Taiji Group | Controlled by CNPGC |
Sichuan Jiangyou Zhongba Aconiti Science and Technology Development Co., Ltd. | Controlled by CNPGC |
Sinopharm Wuhan Zhonglian Siyao Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Taiji Group Zhejiang Dongfang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Taiji Group Sichuan Mianyang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Sanyi Medicine (Wuhu) Co., Ltd. | Controlled by CNPGC |
Sinopharm (Anhui) Jingfang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Taiji Group Sichuan Nanchong Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Shanghai Zeno Biotechnology Co., Ltd. | Controlled by CNPGC |
Sinopharm Guangdong Global Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Fujian Chentian Jinling Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Dezhong (Foshan) Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Foreign Trade (Beijing) Co., Ltd. | Controlled by CNPGC |
Foshan Chengnan Fengliaoxing Medical Hospital Co., Ltd. | Controlled by CNPGC |
Sinopharm Fengliaoxing Medical Hospital Co., Ltd. | Controlled by CNPGC |
Chongqing Tongjunge Co., Ltd. | Controlled by CNPGC |
Sichuan Taiji Pharmacy Chain Co., Ltd. | Controlled by CNPGC |
Sinopharm Group Fengliaoxing Medical Hospital (Foshan Nanhai) Co., Ltd. | Controlled by CNPGC |
China Sinopharm International Corporation | Controlled by CNPGC |
Guangdong Yifang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Fengliaoxing (Foshan) Medicines Co., Ltd. | Controlled by CNPGC |
Sinopharm Group Fengliaoxing Pharmacy (Foshan) Co., Ltd. | Controlled by CNPGC |
Guangxi Yifang Tianjiang Pharmaceutical Co., Ltd. | Controlled by CNPGC |
Sinopharm Group Financial Co., Ltd. | Controlled by CNPGC |
Innostar Biotechnology Nantong Co., Ltd | Controlled by CNPGC |
Hubei Sinopharm Zhonglian Medicine Co., Ltd. | Controlled by CNPGC |
Taiji Group Gansu Tianshui Xihuang Ejiao Co., Ltd. | Controlled by CNPGC |
Sinopharm Beijing Huamiao Pharmaceutical Co., Ltd. | Controlled by CNPGC |
China National of Traditional & Herbal Medicine Co., Ltd. | Controlled by CNPGC |
Sinopharm Holding Sub Marketing Center Co., Ltd. | Controlled by Sinopharm Group |
China National Medicines Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shenyang Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Yangzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Lunan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Inner Mongolia Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jilin Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Fujian Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Henan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shandong Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Guangdong Medicine Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Beijing Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinjiang Xinte Shenrong Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jiangsu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Tongliao Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Guorui Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hunan Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Pingdingshan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xiamen Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Changzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | Controlled by Sinopharm Group |
Yunnan Sinopharm Holding Dongchang Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jinzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Ningxia Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anshan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Shanxi Medical Devices Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Zhongjian Medical Device Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jinan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Dajiuzhou Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Jiankun (Beijing) Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Donghong Medical (Shanghai) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Advanced (Shanghai) Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanghai Likang Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Shanghai International Pharmaceutical Trade Co., Ltd. | Controlled by Sinopharm Group |
China National Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Heilongjiang Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Huaideju (Xiamen) Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Wuxi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hulun Buir Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Beijing Kangchen Bio-Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Southwest Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Tianjin Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Linfen Ningle Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinjiang Xinte Karamay Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Dalian Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Liaoning Medical Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Beijing Tianxing Puxin Biological Medical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Yancheng Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Qinhuangdao Pharmaceutical Trading Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Fuzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lingyun Biopharmaceutical (Shanghai) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Yunnan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anhui Huaning Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Huixinqinyuan (Beijing) Technology Development Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Nantong Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Biopharmaceutical (Tianjin) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Quanzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Special Drugs Shihezi Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Benxi Co., Ltd. | Controlled by Sinopharm Group |
Shanghai Merro Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hubei Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holdings Beijing Huahong co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanghai Biomedicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Yangzhou Medical Treatment Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Chifeng Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Zhejiang Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Pu’er Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Zhihuiminsheng (Tianjin) Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hubei Likang Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hainan Hongyi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Putian Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Sichuan Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Bayannur Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anhui Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hunan Pharmaceutical Development Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Mingdikang Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Nanping Newforce Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinye (Hubei) Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Changsha Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinjiang Special Drugs Yili Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Kunming Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Changde Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Ordos Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Inner Mongolia Medical Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Dalian Hecheng Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hainan Co., Ltd. | Controlled by Sinopharm Group |
China National Medical Device (Hui Zhou) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Medicine Logistic Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Changsha Gaoxin Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Nanjing Wende Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Linfen Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Liaoning Medical Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Zhangzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Yangzhou Biological Products Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Shenzhen Medicine Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hubei Guoda Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
China National Scientific Instruments & Materials I&E Shenzhen Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Chongqing Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Medical Instrument (Hainan) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Wuhan Hongshen Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm (Dalian) Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Linyi Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Hebei Medical Instrument Co., Ltd. | Controlled by Sinopharm Group |
Liaoning Pilot Free Trade Zone China Medical Device Technology Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Jinzhong Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Runhe Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Med-Tech Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Rizhao Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jiangxi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Chengdu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shiyan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Ulanqab Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Jincheng Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Lianyungang Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Changzhou Medical Logistics Center Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Baotou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Shanghai Medicine Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Dezhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Taizhou Co., Ltd. | Controlled by Sinopharm Group |
China Medical Equipment Shandong Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Guang’an Co., Ltd.. | Controlled by Sinopharm Group |
Shanghai Tongyu Information Technology Co., Ltd. | Controlled by Sinopharm Group |
Guorun Medical Supply Chain Service (Shanghai) Co., Ltd. | Controlled by Sinopharm Group |
Xinjiang Baitong Property Service Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Pharmaceutical Logistics Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Logistics Beijing Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Wenzhou Co., Ltd. | Controlled by Sinopharm Group |
Handan Sinopharm Lerentang Pharmacy Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group (Tianjin) Eastern Bokang Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang (Langfang) Pharmaceutical Trade Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Tangshan Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Xingtai Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Guizhou Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Baoding Trading Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Baoding Hongkang Pharmaceutical Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Hengshui Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding (Hubei) Hankou Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anhui Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xuzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shangqiu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Gansu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Guizhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Chongqing Taimin Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anshun Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Tongren Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Guizhou (Zunyi) Medical Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Zunyi Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Wuhu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Cangzhou Medicine Co., Ltd. | Controlled by Sinopharm Group |
Shanghai Shengxin Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Qinhuangdao Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Tangshan Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Baise Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Qinghai Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Honghe Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Xingtai Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jiaozuo Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Anhui Pharmaceutical Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Chuxiong Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Shijiazhuang Medical Management Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Tianjin North Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Cangzhou Pharmaceutical Trading Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Guangdong Medical Examination Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Chengde Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Guangxi Medical Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Langfang Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Longyan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hubei Hongyuan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Medical Instrument Guizhou Qiannan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Handan Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Wuhan Guoda Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Baoding Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Professional Pharmacy (Hainan) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Healthcare Shijiazhuang Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hongrun Medical Business Service (Shanghai) Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Zhuanye Pharmacy (Dongfang) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Hunan Weian Pharmacy Medicine Chain Company Limited | Controlled by Sinopharm Group |
Sinopharm Holding Ningde Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Changxing Professional Pharmacy (Haikou) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Pharmacy (Shanghai) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Guanai Yuankang Pharmacy (Haikou) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Dalian Special Drugs Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Medical Devices Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding (Shandong) Medicine Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Professional Pharmacy Songyuan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Medical Instrument (Jiangmen) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Xinyu Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Suzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Zhuhai Medical Instrument Co., Ltd. | Controlled by Sinopharm Group |
Yuxi Sinopharm Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Hunan Prov. Medical Equipment Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Qianxi’nan Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Fuzhou Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Kunming Pharmacy Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Guanai Jikun Pharmacy (Haikou) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Lerentang Langfang Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Zhenjiang Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Guizhou Medical Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Hejin Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jilin Chain Store Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Guangdong Medicine Device Supply Chain Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Medical Instrument Guangxi Medical Technology Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Medical Instrument (Foshan) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Group Shanghai Co., Ltd. | Controlled by Sinopharm Group |
Beijing Sinopharm Tianyuan Real Estate & Property Management Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Guizhou Yitong Medicine Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Shanxi Linfen Co., Ltd. | Controlled by Sinopharm Group |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Sinopharm Holding Huaideju Pharmaceutical (Xiamen) Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Liaocheng Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Jilin Medicine Device Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding (Tianjin Binhai) Pharmaceutical Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Chemical Reagent Co., Ltd. | Controlled by Sinopharm Group |
Sinopharm Holding Huaian Co., Ltd. | Controlled by Sinopharm Group |
Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | Associate of CNPGC |
China Otsuka Pharmaceutical Co., Ltd. | Associate of CNPGC |
Sinopharm Group Shanxi Ruifulai Co., Ltd. | Associate of CNPGC |
SINO-TCM Shanghai Medicine & Medicinal Materials Co., Ltd. | Associate of CNPGC |
Changchun Changsheng Gene Pharmaceutical Co., Ltd. | Associate of CNPGC |
Yichang Humanwell Pharmaceutical Co., Ltd. | Associate of Sinopharm Group |
Hutchison Whampoa Sinopharm Pharmaceuticals (Shanghai) Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Holding Chuangke Medical Technology (Guangxi) Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Holding Chuangke Yuanzhe Medical Technology (Shanghai) Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Health Online Co., Ltd. | Associate of Sinopharm Group |
Shanghai Guoda Lingyun Pharmacy Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Holding (China) Financing Lease Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Nutraceuticals (Shanghai) Co., Ltd. | Associate of Sinopharm Group |
Sinopharm Anhui Great Health Industry Co., Ltd. | Associate of Sinopharm Group |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | Minority shareholders of a subsidiary |
Jiangmen Xinhui District Jianfeng Pharmaceutical Co., Ltd. | Minority shareholders of a subsidiary |
Lerentang Investment Group Co., Ltd. | Minority shareholders of a subsidiary |
Shenyang Pharmaceutical Co., Ltd. | Minority shareholders of a subsidiary |
Hunan Minshengtang Biotechnology Co., Ltd. | Minority shareholders of a subsidiary |
Guangdong Jiyuantang Development Co., Ltd. | Minority shareholders of a subsidiary |
Xishuangbanna Disheng Pharmaceutical Co., Ltd. | Minority shareholders of a subsidiary |
Beijing Huafang Investment Co., Ltd. | Minority shareholders of a subsidiary |
Gu Haiqun | Minority shareholders of a subsidiary |
Shenzhen Jiufeng Investment Co., Ltd. | Minority shareholders of a subsidiary |
Zhang Haiyan | Minority shareholders of a subsidiary |
Taishan Qunkang Pharmacy Co., Ltd. | Minority shareholders of a subsidiary |
Pu'er Songmao Medicine Group Co., Ltd. | Minority shareholders of a subsidiary |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
4. Other related parties (Continued)
Company name | Related party relationships |
Hangzhou Xihu District Commercial Co., Ltd. | Minority shareholders of a subsidiary |
Jilin Province Yihe Investment Consulting Co., Ltd. | Minority shareholders of a subsidiary |
Du Longfeng | Minority shareholders of a subsidiary |
Li Huichun | Minority shareholders of a subsidiary |
Zhang Zhenfang | Minority shareholders of a subsidiary |
Pingdingshan Pusheng Pharmaceutical Co., Ltd. | Minority shareholders of a subsidiary |
Xiong Xinyuan | Minority shareholders of a subsidiary |
Shenyang Shengdiou Trading Co., Ltd. | Minority shareholders of a subsidiary |
Shanghai Baizhong Business Development (Group) Co., Ltd. | Minority shareholders of a subsidiary |
Zhang Yechuan | Family members of the actual controller of minority shareholders of a subsidiary |
Wang Yang | Family members of the actual controller of minority shareholders of a subsidiary |
Li Fang | The actual controller of minority shareholders of a subsidiary |
Gu Jinhua | The actual controller of minority shareholders of a subsidiary |
Nanjing Yuanguang Trading Co., Ltd. | Companies owned by minority shareholders of a subsidiary |
Shaoguan Wujiang District Muyang Medicine Information Consultant Co., Ltd. | Companies owned by minority shareholders of a subsidiary |
Taishan Xiangranhui Trade Co., Ltd. | Companies owned by minority shareholders of a subsidiary |
Southeast (Quanzhou) Biotechnology Pharmaceutical Co., Ltd. | Companies owned by minority shareholders of a subsidiary |
Shenzhen Wanwei Medicine Trading Co., Ltd. | Subsidiary of Main Luck Pharmaceutical |
Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | Subsidiary of Fosun Pharm |
Chongqing Yaoyou Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Shanghai Henlius Biopharmaceuticals Co., Ltd. | Subsidiary of Fosun Pharm |
Tibet Yaoyou Medicines Co., Ltd. | Subsidiary of Fosun Pharm |
Jinzhou Avanc Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Shanghai Chaohui Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Jiangxi Erye Medicine Marketing Co., Ltd. | Subsidiary of Fosun Pharm |
Fosun Pharmaceutical Distribution Jiangsu Co., Ltd. | Subsidiary of Fosun Pharm |
Sichuan Hexin Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Suzhou Erye Pharmaceutical Limited Company | Subsidiary of Fosun Pharm |
Hunan Dongting Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Other related parties (Continued)
Company name | Related party relationships |
GlaxoSmithKline Pharmaceuticals (Suzhou) Co., Ltd. | Subsidiary of Fosun Pharm |
Shanghai Transfusion Technology Co., Ltd. | Subsidiary of Fosun Pharm |
Shenyang Hongqi Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Guilin Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Jinzhou Avanc Medicine Co., Ltd. | Subsidiary of Fosun Pharm |
Jiangsu Huanghe Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Hunan Yaoyou Medicines Co., Ltd. | Subsidiary of Fosun Pharm |
Suzhou Laishi Transfusion Equipment | Subsidiary of Fosun Pharm |
Chengdu List Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Chongqing Haisiman Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Foshan Chancheng Pharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Shenzhen Hengsheng Hospital | Subsidiary of Fosun Pharm |
Foshan Chancheng Central Hospital Co., Ltd. | Subsidiary of Fosun Pharm |
Foshan Chanyixing Medicine Development Co., Ltd. | Subsidiary of Fosun Pharm |
Shenzhen Chindex Medical Beauty Clinic | Subsidiary of Fosun Pharm |
Lecong Supply and Market Group Shunketang Medicine Co., Ltd. | Subsidiary of Fosun Pharm |
Chindex Shanghai International Trading Co., Ltd. | Subsidiary of Fosun Pharm |
Dalian Yalifeng Biopharmaceutical Co., Ltd. | Subsidiary of Fosun Pharm |
Chindex Shanghai International Trading Co., Ltd. | Subsidiary of Fosun Pharm |
Naton Biotechnology (Beijing) Co., Ltd. | Subsidiary of Fosun Naton |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties
(1) Related party transactions - goods and services
Purchase of goods and receiving of services from related parties
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Holding Sub Marketing Center Co., Ltd. | Purchase of goods | 567,957,995.48 | 8,910,000,000.00 | NO | 548,051,256.56 |
China National Medicines Co., Ltd. | Purchase of goods | 378,976,943.17 | NO | 309,588,426.46 | |
Sinopharm Holding Shanxi Co., Ltd. | Purchase of goods | 291,169,816.86 | NO | 302,659,086.81 | |
Sinopharm Holding Shenyang Co., Ltd. | Purchase of goods | 218,687,438.90 | NO | 91,252,243.44 | |
Sinopharm Lerentang Medicine Co., Ltd. | Purchase of goods | 212,774,916.08 | NO | 144,033,107.71 | |
Sinopharm Holding Shanxi Co., Ltd. | Purchase of goods | 204,598,556.55 | NO | 168,218,597.08 | |
Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | Purchase of goods | 132,068,068.87 | NO | 76,699,225.00 | |
Sinopharm Group Co., Ltd. | Purchase of goods | 130,357,912.20 | NO | 101,625,946.62 | |
Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | Purchase of goods | 83,397,212.70 | NO | 60,511,824.27 | |
Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | Purchase of goods | 80,954,984.16 | NO | 97,184,029.57 | |
Lanzhou Biotechnology Development Co., Ltd. | Purchase of goods | 68,090,371.68 | NO | 48,840,600.00 | |
Sinopharm Holding Yangzhou Co., Ltd. | Purchase of goods | 51,592,777.55 | NO | 38,126,655.70 | |
Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | Purchase of goods | 45,696,541.00 | NO | 34,152,784.08 | |
Sinopharm Holding Lunan Co., Ltd. | Purchase of goods | 40,999,864.55 | NO | 26,448,807.82 | |
Sinopharm Holding Inner Mongolia Co., Ltd. | Purchase of goods | 40,632,946.46 | NO | 35,570,487.58 | |
Chongqing Yaoyou Pharmaceutical Co., Ltd. | Purchase of goods | 37,011,667.64 | NO | 26,949,678.43 | |
Shanghai Shyndec Pharmaceutical Marketing Co., Ltd. | Purchase of goods | 36,421,939.26 | NO | 82,302.92 | |
China National Pharmaceutical Foreign Trade Corporation | Purchase of goods | 31,428,461.51 | NO | 8,156,658.48 | |
Sinopharm Holding Jilin Co., Ltd. | Purchase of goods | 30,157,192.13 | NO | 11,181,666.83 | |
Sinopharm Yixin Pharmaceutical Co., Ltd. | Purchase of goods | 28,345,022.18 | NO | 8,249,563.42 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Shanghai Henlius Biopharmaceuticals Co., Ltd. | Purchase of goods | 26,663,502.35 | 8,910,000,000.00 | NO | - |
Sinopharm Holding Fujian Co., Ltd. | Purchase of goods | 26,242,880.93 | NO | 21,032,808.12 | |
Main Luck Pharmaceutical | Purchase of goods | 25,917,861.73 | NO | 16,716,318.29 | |
Foshan Winteam Pharmaceutical Group Ltd. | Purchase of goods | 23,659,412.81 | NO | 11,624,754.37 | |
Sinopharm Holding Henan Co., Ltd. | Purchase of goods | 22,693,352.04 | NO | 22,896,338.50 | |
Sinopharm Holding Shandong Co., Ltd. | Purchase of goods | 22,619,090.27 | NO | 9,870,222.38 | |
Sinopharm Holding Lerentang Pharmaceutical Co., Ltd. | Purchase of goods | 19,472,073.81 | NO | 16,213,399.66 | |
Sinopharm Group Guangdong Medicine Device Co., Ltd. | Purchase of goods | 19,340,530.98 | NO | - | |
Southwest Pharmaceutical Co., Ltd. | Purchase of goods | 17,542,194.64 | NO | - | |
Sinopharm Holding Beijing Co., Ltd. | Purchase of goods | 17,360,821.15 | NO | 32,520,572.80 | |
Sinopharm Holding Xinjiang Xinte Shenrong Pharmaceutical Co., Ltd. | Purchase of goods | 17,310,598.75 | NO | - | |
Sinopharm Holding Jiangsu Co., Ltd. | Purchase of goods | 16,730,745.30 | NO | 10,137,097.99 | |
Sinopharm Holding Tongliao Co., Ltd. | Purchase of goods | 16,039,594.19 | NO | 5,810,230.35 | |
Sinopharm Zhijun | Purchase of goods | 15,931,558.84 | NO | 12,126,208.66 | |
Sinopharm Group Guorui Medicine Co., Ltd. | Purchase of goods | 15,180,518.65 | NO | 2,675,445.41 | |
Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | Purchase of goods | 14,889,163.04 | NO | 4,168,839.16 | |
Chengdu Rongsheng Pharmacy Co., Ltd. | Purchase of goods | 14,584,099.03 | NO | 8,518,290.00 | |
Tibet Yaoyou Medicines Co.,Ltd. | Purchase of goods | 14,011,950.98 | NO | 10,576,537.72 | |
Sinopharm Holding Hunan Co., Ltd. | Purchase of goods | 13,204,231.22 | NO | 8,970,281.71 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Shenzhen Wanwei Medicine Trading Co., Ltd. | Purchase of goods | 13,151,952.24 | 8,910,000,000.00 | NO | 11,467,474.49 |
Yichang Humanwell Pharmaceutical Co., Ltd. | Purchase of goods | 12,457,905.62 | NO | 7,649,748.62 | |
Sinopharm Pharmaceuticals (Shanghai) Co., Ltd. | Purchase of goods | 12,051,455.59 | NO | 3,507,017.31 | |
Sinopharm Holding Pingdingshan Co., Ltd. | Purchase of goods | 11,979,529.78 | NO | 15,984,508.75 | |
Sinopharm Holding Xiamen Co., Ltd. | Purchase of goods | 11,957,608.14 | NO | 8,217,598.96 | |
Jinzhou Avanc Pharmaceutical Co., Ltd. | Purchase of goods | 11,829,570.34 | NO | 7,185,929.54 | |
China Otsuka Pharmaceutical Co., Ltd. | Purchase of goods | 11,763,554.47 | NO | 6,256,674.56 | |
Zhijun Pingshan | Purchase of goods | 10,838,947.13 | NO | 11,851,634.26 | |
Sinopharm Holding Changzhou Co., Ltd. | Purchase of goods | 10,160,654.93 | NO | 11,126,503.85 | |
Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. | Purchase of goods | 9,851,650.37 | NO | 5,872,922.23 | |
Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | Purchase of goods | 9,697,409.23 | NO | 7,471,038.17 | |
Yunnan Sinopharm Holding Dongchang Medicine Co., Ltd. | Purchase of goods | 9,191,104.74 | NO | 989,799.95 | |
Sinopharm Holding Jinzhou Co., Ltd. | Purchase of goods | 8,931,064.40 | NO | 3,117,332.78 | |
Shanghai Chaohui Pharmaceutical Co., Ltd. | Purchase of goods | 7,770,056.47 | NO | 3,912,114.41 | |
Sinopharm Holding Ningxia Co., Ltd. | Purchase of goods | 7,527,437.99 | NO | 12,243,904.08 | |
Sinopharm Holding Anshan Co., Ltd. | Purchase of goods | 7,386,999.04 | NO | 584,206.98 | |
Sinopharm Group Shanxi Medical Devices Co., Ltd. | Purchase of goods | 6,568,011.43 | NO | 4,980,871.81 | |
Jiangxi Erye Medicine Marketing Co., Ltd. | Purchase of goods | 6,315,288.30 | NO | 6,456,636.49 | |
Sinopharm Holding Shanxi Zhongjian Medicial Device Chain Co., Ltd. | Purchase of goods | 6,180,889.71 | NO | 7,522,898.44 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Fosun Pharmaceutical Distribution Jiangsu Co., Ltd. | Purchase of goods | 5,932,515.36 | 8,910,000,000.00 | NO | 2,481,349.10 |
Sinopharm Holding Jinan Co., Ltd. | Purchase of goods | 5,593,031.01 | NO | 3,208,390.44 | |
Sinopharm Holding Shanxi Dajiuzhou Medicine Co., Ltd. | Purchase of goods | 5,438,916.55 | NO | 4,606,542.22 | |
Taiji Group Chongqing Fuling Pharmaceutical Co., Ltd. | Purchase of goods | 5,323,305.69 | NO | - | |
Sinopharm Jiankun (Beijing) Medicine Co., Ltd. | Purchase of goods | 4,529,929.13 | NO | 1,444,828.32 | |
Sinopharm Holding Donghong Medical (Shanghai) Co., Ltd. | Purchase of goods | 4,477,305.68 | NO | 1,124,358.11 | |
Sinopharm Advanced (Shanghai) Medicine Device Co., Ltd. | Purchase of goods | 4,359,697.01 | NO | 649,215.02 | |
Beijing Huasheng Pharmaceutical Biotechnology Development Co., Ltd. | Purchase of goods | 4,230,984.00 | NO | 1,450,504.18 | |
Sinopharm Holding Shanghai Likang Pharmaceutical Co., Ltd. | Purchase of goods | 4,051,307.75 | NO | 2,283,462.26 | |
Taiji Group Chongqing Tongjunge Pharmaceutical Co., Ltd. | Purchase of goods | 3,955,453.47 | NO | - | |
Sinopharm Fengliaoxing (Foshan) Pharmaceutical Drugs Co., Ltd. | Purchase of goods | 3,765,974.30 | NO | 2,745,736.27 | |
Shanghai Shangsheng Biological Products Co., Ltd. | Purchase of goods | 3,748,316.28 | NO | 1,506,116.50 | |
Sinopharm Holding Chuangke Medicial Technology (Guangxi) Co., Ltd. | Purchase of goods | 3,741,777.16 | NO | 796,460.19 | |
Shanghai International Pharmaceutical Trade Co., Ltd. | Purchase of goods | 3,215,831.81 | NO | 3,897,527.05 | |
Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. | Purchase of goods | 2,917,177.22 | NO | 1,911,884.91 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
China National Medical Device Co., Ltd. | Purchase of goods | 2,866,958.60 | 8,910,000,000.00 | NO | 26,548.67 |
Sinopharm Holding Heilongjiang Co., Ltd. | Purchase of goods | 2,700,433.59 | NO | 2,533,432.31 | |
Sinopharm Holding Huaideju Pharmaceutical (Xiamen) Co., Ltd. | Purchase of goods | 2,654,950.93 | NO | - | |
Sichuan Hexin Pharmaceutical Co., Ltd. | Purchase of goods | 3,903,635.62 | NO | 2,257,987.38 | |
Sinopharm Holding Wuxi Co., Ltd. | Purchase of goods | 2,439,252.13 | NO | 8,550,202.41 | |
Sinopharm Holding Hulun Buir Co., Ltd. | Purchase of goods | 2,425,267.22 | NO | 1,564,568.11 | |
Sinopharm Zhonglian Pharmaceutical Group Co., Ltd. | Purchase of goods | 2,350,922.70 | NO | 907,465.81 | |
Sinopharm Holding Beijing Kangchen Bio-Pharmaceutical Co., Ltd. | Purchase of goods | 2,321,886.33 | NO | (550,607.22) | |
Sinopharm Group Southwest Medicine Co., Ltd. | Purchase of goods | 2,313,721.29 | NO | 372,966.72 | |
Sinopharm Holding Tianjin Co., Ltd. | Purchase of goods | 2,113,934.18 | NO | 2,168,770.41 | |
Suzhou Erye Pharmaceutical Limited Company | Purchase of goods | 1,942,102.86 | NO | 1,489,545.90 | |
Sinopharm Holding Linfen Ningle Pharmaceutical Co., Ltd. | Purchase of goods | 1,922,967.49 | NO | 160,565.02 | |
Sinopharm Holding Xinjiang Special Drugs Karamay Pharmaceutical Co., Ltd. | Purchase of goods | 1,801,633.72 | NO | 2,704,084.84 | |
Hunan Dongting Pharmaceutical Co., Ltd. | Purchase of goods | 1,673,060.75 | NO | 1,885,047.92 | |
China National Pharmaceutical Industry Co., Ltd. | Purchase of goods | 1,658,893.69 | NO | 1,509,682.80 | |
Sinopharm Holding Dalian Co., Ltd. | Purchase of goods | 1,618,603.64 | NO | 1,450,198.00 | |
Sinopharm Liaoning Medical Equipment Co., Ltd. | Purchase of goods | 1,610,762.20 | NO | 3,970,884.24 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Holding Beijing Tianxing Puxin Biological Medical Co., Ltd. | Purchase of goods | 1,591,292.21 | 8,910,000,000.00 | NO | 34,820,929.08 |
Shanghai Modern Hasen (Shangqiu) Pharmaceutical Co., Ltd. | Purchase of goods | 1,553,305.70 | NO | 506,283.18 | |
Sinopharm Luya (Shandong) Pharmaceutical Co., Ltd. | Purchase of goods | 1,537,349.20 | NO | 2,381,688.57 | |
Sinopharm Holding Yancheng Co., Ltd. | Purchase of goods | 1,355,193.79 | NO | 1,623,042.70 | |
Sinopharm Tongjitang (Guizhou) Pharmaceutical Co., Ltd. | Purchase of goods | 1,342,043.34 | NO | 2,616,939.67 | |
Glaxosmithkline Pharmaceuticals (Suzhou) Co., Ltd. | Purchase of goods | 1,312,782.80 | NO | 6,570,287.55 | |
Sinopharm Chuankang Pharmaceutical Co., Ltd. | Purchase of goods | 1,292,333.10 | NO | 1,699,176.97 | |
Huayi Pharmaceutical Co., Ltd. | Purchase of goods | 1,266,831.84 | NO | 176,144.72 | |
Sinopharm Lerentang Qinhuangdao Pharmaceutical Trading Co., Ltd | Purchase of goods | 1,156,691.29 | NO | - | |
Sinopharm Holding Fuzhou Co., Ltd. | Purchase of goods | 1,152,589.16 | NO | 2,117,865.83 | |
Sinopharm Lingyun Biopharmaceutical (Shanghai) Co., Ltd. | Purchase of goods | 1,017,142.82 | NO | 1,717,968.13 | |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | Purchase of goods | 984,816.68 | NO | 2,391,565.82 | |
Sinopharm Holding Yunnan Co., Ltd. | Purchase of goods | 805,065.42 | NO | 143,973.45 | |
Sinopharm Shantou Jinshi Pharmaceutical Co., Ltd. | Purchase of goods | 781,581.70 | NO | 1,077,980.94 | |
Sinopharm Holding Anhui Huaning Medicine Co., Ltd. | Purchase of goods | 781,575.58 | NO | 1,434,252.18 | |
Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | Purchase of goods | 773,057.14 | NO | 627,174.03 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Huixinqinyuan (Beijing) Technology Development Co., Ltd. | Purchase of goods | 753,274.35 | 8,910,000,000.00 | NO | 1,300,658.82 |
Sinopharm Holding Nantong Co., Ltd. | Purchase of goods | 697,002.20 | NO | - | |
Sinopharm Weiqida Pharmaceutical Co., Ltd. | Purchase of goods | 690,157.52 | NO | 668,790.52 | |
Sinopharm Holding Biopharmaceutical (Tianjin) Co., Ltd. | Purchase of goods | 682,560.86 | NO | 414,430.28 | |
Shanghai Transfusion Technology Co., Ltd. | Purchase of goods | 667,699.12 | NO | 712,212.39 | |
Sinopharm Holding Quanzhou Co., Ltd. | Purchase of goods | 662,423.54 | NO | 880,856.56 | |
Shenyang Hongqi Pharmaceutical Co., Ltd. | Purchase of goods | 653,104.18 | NO | 359,010.73 | |
Sinopharm Holding Special Drugs Shihezi Pharmaceutical Co., Ltd. | Purchase of goods | 607,344.52 | NO | 132,136.11 | |
Chengdu Institute of Biological Products Co.,Ltd. | Purchase of goods | 562,767.00 | NO | 475,738.80 | |
Sinopharm Holding Benxi Co., Ltd. | Purchase of goods | 559,188.59 | NO | - | |
Shanghai Merro Pharmaceutical Co., Ltd. | Purchase of goods | 542,162.94 | NO | 749,178.23 | |
Sinopharm Group Yibin Pharmaceuticals Co., Ltd. | Purchase of goods | 536,821.03 | NO | 433,524.84 | |
Sinopharm holdings Hubei Co., Ltd. | Purchase of goods | 531,440.87 | NO | 58,060,607.87 | |
Yunnan Tianjiang Yifang Pharmaceutical Co., Ltd. | Purchase of goods | 497,209.07 | NO | - | |
Guilin Pharmaceutical Co., Ltd. | Purchase of goods | 491,568.15 | NO | 351,228.30 | |
Sinopharm holdings Beijing Huahong Co., Ltd. | Purchase of goods | 471,946.23 | NO | 2,856,735.70 | |
Sinopharm Holding Shanghai Biomedicine Co., Ltd. | Purchase of goods | 408,296.15 | NO | 282,209.74 | |
Sinopharm Group Shanxi Ruifulai Co., Ltd. | Purchase of goods | 404,922.04 | NO | - | |
Sinopharm Holding Yangzhou Medical Treatment Equipment Co., Ltd. | Purchase of goods | 371,264.92 | NO | 1,209,038.66 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2010 |
Wuhan Zhongsheng Yujin Biological Medicine Co., Ltd. | Purchase of goods | 354,016.00 | 8,910,000,000.00 | NO | - |
Shantou Jinshi Powder Injection Co., Ltd. | Purchase of goods | 351,589.74 | NO | 300,803.34 | |
Sinopharm Holding Chifeng Co., Ltd. | Purchase of goods | 347,527.93 | NO | - | |
Sinopharm Xinjiang Pharmaceutical Co., Ltd. | Purchase of goods | 341,818.02 | NO | 368,206.57 | |
Sinopharm Holding Zhejiang Co., Ltd. | Purchase of goods | 317,534.11 | NO | 194,238.02 | |
Sinopharm Holding Puer Co., Ltd. | Purchase of goods | 296,085.02 | NO | 446,396.77 | |
Sinopharm Holding Zhihuiminsheng (Tianjin) Pharmaceutical Co., Ltd. | Purchase of goods | 295,539.81 | NO | 2,181,662.15 | |
Sinopharm Wuhan Blood Products Co., Ltd. | Purchase of goods | 281,200.00 | NO | 24,800.00 | |
Jinzhou Avanc Medicine Co., Ltd. | Purchase of goods | 265,412.37 | NO | 2,780,545.99 | |
Sinopharm Holding Hubei Likang Pharmaceutical Co., Ltd. | Purchase of goods | 260,747.00 | NO | - | |
Sinopharm Holding Hainan Hongyi Co., Ltd. | Purchase of goods | 258,280.38 | NO | 17,043.48 | |
Sinopharm Holding Putian Co., Ltd. | Purchase of goods | 257,643.78 | NO | 466,764.43 | |
Sinopharm Sichuan Pharmaceutical Co., Ltd. | Purchase of goods | 253,894.16 | NO | 144,648.00 | |
Sinopharm Holding Bayannur Co., Ltd. | Purchase of goods | 234,878.49 | NO | 667,045.83 | |
Sinopharm Holding Anhui Co., Ltd. | Purchase of goods | 180,725.82 | NO | 2,398,623.06 | |
Taiji Group | Purchase of goods | 166,678.24 | NO | - | |
Jiangsu Huanghe Pharmaceutical Co., Ltd. | Purchase of goods | 162,782.30 | NO | - | |
Sichuan Jiangyou Zhongba Aconiti Science and Technology Development Co., Ltd. | Purchase of goods | 142,201.82 | NO | - | |
Sinopharm Holding Hunan Pharmaceutical Development Co., Ltd. | Purchase of goods | 136,860.13 | NO | 157,222.35 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
The Fourth Pharmaceutical Co., Ltd. of Zhonglian Group | Purchase of goods | 124,447.86 | 8,910,000,000.00 | NO | (1,875.00) |
Hunan Yaoyou Medicines Co., Ltd. | Purchase of goods | 121,513.28 | NO | - | |
Sinopharm Holding Shanxi Mingdikang Medicine Co., Ltd. | Purchase of goods | 110,206.77 | NO | 42,957.42 | |
Sinopharm Holding Nanping Newforce Co., Ltd | Purchase of goods | 105,027.03 | NO | 122,980.30 | |
Sinopharm Holding Xinye (Hubei) Medicine Co., Ltd. | Purchase of goods | 101,222.21 | NO | 56,646.03 | |
Sinopharm Holding Changsha Co., Ltd. | Purchase of goods | 84,558.36 | NO | 1,783,867.44 | |
Taiji Group Zhejiang Dongfang Pharmaceutical Co., Ltd. | Purchase of goods | 79,709.72 | NO | - | |
Sinopharm Holding Xinjiang Special Drugs Yili Pharmaceutical Co., Ltd. | Purchase of goods | 68,861.47 | NO | - | |
Sinopharm Holding Kunming Co., Ltd. | Purchase of goods | 58,396.46 | NO | - | |
Taiji Group Sichuan Mianyang Pharmaceutical Co., Ltd. | Purchase of goods | 48,842.47 | NO | - | |
Sinopharm Holding Changde Co., Ltd. | Purchase of goods | 48,318.59 | NO | - | |
Sinopharm Holding Sanyi Medicine (Wuhu) Co., Ltd. | Purchase of goods | 37,095.80 | NO | 46,347.42 | |
Sinopharm Shyndec | Purchase of goods | 36,180.53 | NO | 9,493,936.28 | |
Sinopharm Holding Ordos Co., Ltd. | Purchase of goods | 35,001.77 | NO | - | |
Sinopharm Inner Mongolia Medical Equipment Co., Ltd. | Purchase of goods | 35,000.88 | NO | - | |
Sinopharm Jingfang (Anhui) Pharmaceutical Co., Ltd. | Purchase of goods | 20,306.19 | NO | 766,468.52 | |
Taiji Group Sichuan Nanchong Pharmaceutical Co., Ltd. | Purchase of goods | 18,751.86 | NO | - | |
Sinopharm Holding Dalian Hecheng Co., Ltd. | Purchase of goods | 17,404.47 | NO | 48,749.02 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Holding Hainan Co., Ltd. | Purchase of goods | 13,042.99 | 8,910,000,000.00 | NO | 111,398.23 |
Sinopharm Medical Instrument (Huizhou) Co., Ltd. | Purchase of goods | 10,618.77 | NO | - | |
Sinopharm Group Medicine Logistic Co., Ltd. | Purchase of goods | 9,450.54 | NO | 11,161.53 | |
Sinopharm Holding Changsha Gaoxin Medicine Co., Ltd. | Purchase of goods | 9,380.53 | NO | 32,964.60 | |
Sinopharm Holding Nanjing Wende Pharmaceutical Co.,Ltd. | Purchase of goods | 9,026.54 | NO | 9,026.54 | |
Sinopharm Group Linfen Co., Ltd. | Purchase of goods | 8,257.25 | NO | 107,014.36 | |
Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | Purchase of goods | 6,578.33 | NO | 52,672.56 | |
Sinopharm Liaoning Medical Equipment Co., Ltd. | Purchase of goods | 4,424.78 | NO | - | |
Sinopharm Holding Zhangzhou Co., Ltd. | Purchase of goods | 2,835.40 | NO | 73,228.32 | |
Sinopharm Holding Yangzhou Biological Products Co., Ltd. | Purchase of goods | 1,850.00 | NO | 49,400.00 | |
Suzhou Laishi Transfusion Equipment | Purchase of goods | 1,019.47 | NO | - | |
Naton Biotechnology (Beijing) Co., Ltd. | Purchase of goods | 63.72 | NO | - | |
Sinopharm Shenzhen Medicine Device Co., Ltd. | Purchase of goods | - | NO | 4,689,458.43 | |
Shanghai Zeno Biotechnology Co., Ltd. | Purchase of goods | - | NO | 4,424,779.00 | |
Sinopharm Holding Hubei Guoda Pharmacy Co., Ltd. | Purchase of goods | - | NO | 3,749,173.52 | |
China National Scientific Instruments & Materials I&E Shenzhen Co., Ltd. | Purchase of goods | - | NO | 3,716,814.16 | |
Sinopharm Holding Chongqing Co., Ltd. | Purchase of goods | - | NO | 3,106,188.00 | |
Sinopharm Medical Instrument Hainan Co., Ltd. | Purchase of goods | - | NO | 2,109,734.51 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Holding Wuhan Hongshen Medicine Co., Ltd. | Purchase of goods | - | 8,910,000,000.00 | NO | 1,415,929.21 |
Sinopharm (Dalian) Medicial Device Co., Ltd. | Purchase of goods | - | NO | 928,255.76 | |
Sinopharm Holding Chuangke Yuanzhe Medicial Technology (Shanghai) Co., Ltd. | Purchase of goods | - | NO | 672,566.40 | |
Sinopharm Holding Linyi Medicial Device Co., Ltd. | Purchase of goods | - | NO | 633,769.93 | |
Sinopharm Hebei Medical Instrument Co., Ltd. | Purchase of goods | - | NO | 607,424.77 | |
Sinopharm Guangdong Global Pharmaceutical Co., Ltd. | Purchase of goods | - | NO | 581,499.90 | |
Liaoning Pilot Free Trade Zone China Medical Device Technology Co., Ltd. | Purchase of goods | - | NO | 260,176.99 | |
Chengdu List Pharmaceutical Co.,Ltd. | Purchase of goods | - | NO | 204,849.56 | |
Fujian Chentian Jinling Pharmaceutical Co., Ltd. | Purchase of goods | - | NO | 138,669.72 | |
Sinopharm Holding Shanxi Jinzhong Co., Ltd. | Purchase of goods | - | NO | 119,470.72 | |
Sinopharm Holding Shanxi Runhe Medicine Co., Ltd. | Purchase of goods | - | NO | 93,171.55 | |
Sinopharm Group Med-Tech Co., Ltd. | Purchase of goods | - | NO | 92,920.35 | |
Sinopharm Dezhong (Foshan) Pharmaceutical Co., Ltd. | Purchase of goods | - | NO | 53,734.51 | |
Sinopharm Holding Rizhao Co., Ltd. | Purchase of goods | - | NO | 34,498.69 | |
Sinopharm Holding Jiangxi Co., Ltd. | Purchase of goods | - | NO | 28,244.60 | |
Sinopharm Holding Chengdu Pharmaceutical Co., Ltd. | Purchase of goods | - | NO | 11,307.62 | |
Sinopharm Holding Shiyan Co., Ltd. | Purchase of goods | - | NO | 2,088.50 | |
Sinopharm Holding Ulanqab Co., Ltd. | Purchase of goods | - | NO | 2,043.91 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Holding Shanxi Jincheng Co., Ltd. | Purchase of goods | - | 8,910,000,000.00 | NO | 171.81 |
Sinopharm Holding Lianyungang Co., Ltd. | Purchase of goods | - | NO | (478.47) | |
Chongqing Haisiman Pharmaceutical Co., Ltd. | Purchase of goods | - | NO | (3,514.34) | |
SINO-TCM Shanghai Medicine&Medicinal Materials Co., Ltd. | Purchase of goods | - | NO | (10,888.69) | |
Sinopharm Holding Changzhou Medical Logistics Center Co., Ltd. | Purchase of goods | - | NO | (191,787.19) | |
Sinopharm Holding Baotou Co., Ltd. | Purchase of goods | (88.50) | NO | 126,066.66 | |
Sinopharm Group Shanghai Medicine Device Co., Ltd. | Purchase of goods | (209.96) | NO | 308,584.08 | |
Sinopharm Holding Dezhou Co., Ltd. | Purchase of goods | (223.18) | NO | 108,484.59 | |
Sinopharm Holding Taizhou Co., Ltd. | Purchase of goods | (350.45) | NO | 81,224.26 | |
China Medical Equipment Shandong Co., Ltd. | Purchase of goods | (2,177.00) | NO | 14,427.65 | |
Sinopharm Holding Guang’an Co., Ltd. | Purchase of goods | (6,594.69) | NO | - | |
Sinopharm Group Medicine Logistic Co., Ltd. | Storage and transport cost, information system access fee | 9,631,686.33 | 80,000,000.00 | NO | 8,264,849.06 |
Sinopharm Group | Consulting service fee | 2,269,577.44 | NO | - | |
Sinopharm Huixinqinyuan (Beijing) Technology Development Co., Ltd. | Consulting service fee | 658,831.86 | NO | - | |
Sinopharm Holding Zhihuiminsheng (Tianjin) Pharmaceutical Co., Ltd. | Storage and transport cost; Consulting service fee | 518,400.00 | NO | - | |
Shanghai Tongyu Information Technology Co., Ltd. | Consulting service fee, information system access fee | 476,169.82 | NO | 187,905.67 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Purchase of goods and receiving of services from related parties (Continued)
Related party | Type of transaction | For the six months ended 30 June 2021 | Approved trading quota | whether the transaction limit is exceeded | For the six months ended 30 June 2020 |
Sinopharm Foreign Trade(Beijing) Co., Ltd. | Equipment maintenance fee | 141,592.92 | 80,000,000.00 | NO | - |
Sinopharm Holding Henan Co., Ltd. | Consulting service fee | 106,046.95 | NO | - | |
China National Pharmaceutical Foreign Trade Corporation | Equipment maintenance fee | 68,938.05 | NO | - | |
Guorun Medical Supply Chain Service (Shanghai) Co., Ltd. | Information system access fee | 49,056.60 | NO | 12,264.15 | |
Sinopharm Group Guangdong Medicine Device Co., Ltd. | Operation service fee | 34,651.32 | NO | - | |
Xinjiang Baitong Property Service Co., Ltd. | Property fee | 1,150.44 | NO | - | |
Sinopharm Holding Jilin Co., Ltd. | Consulting service fee | 109.23 | NO | - | |
Sinopharm Health Online Co., Ltd. | Consulting service fee | - | NO | 7,008,590.59 | |
Shanghai Beiyi Guoda Pharmaceutical Co. Ltd. | Consulting service fee | - | NO | 1,492,677.11 | |
Sinopharm Pharmaceutical Logistics Co., Ltd. | Storage and transport cost; Consulting service fee | - | NO | 93,635.83 | |
Sinopharm Logistics Beijing Co., Ltd. | Storage and transport cost; Consulting service fee | - | NO | 54,060.78 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Group | Sale of goods | 139,234,971.54 | 110,426,213.05 |
Foshan Chancheng Pharmaceutical Co., Ltd. | Sale of goods | 68,883,280.00 | 49,079,098.20 |
Sinopharm Holding Hainan Co., Ltd. | Sale of goods | 56,647,385.55 | 60,158,578.46 |
Shanghai Beiyi Guoda Pharmaceutical Co. Ltd. | Sale of goods | 51,633,689.10 | 61,896,587.65 |
Sinopharm Lerentang Medicine Co., Ltd. | Sale of goods | 30,299,085.61 | 22,566,166.73 |
Sinopharm Holding Beijing Co., Ltd. | Sale of goods | 20,211,375.98 | 12,909,717.52 |
Sinopharm Holding Hainan Hongyi Co., Ltd. | Sale of goods | 19,732,331.43 | 13,367,342.74 |
Sinopharm Holding Wenzhou Co., Ltd. | Sale of goods | 16,294,606.34 | 14,794,703.17 |
Sinopharm Lingyun Biopharmaceutical (Shanghai) Co., Ltd. | Sale of goods | 15,169,815.63 | 10,455,648.05 |
Sinopharm Holding Shandong Co., Ltd. | Sale of goods | 14,001,108.69 | 6,925,017.46 |
Handan Sinopharm Lerentang Pharmacy Chain Co., Ltd. | Sale of goods | 13,521,643.14 | 1,075,458.43 |
Shenzhen Hengsheng Hospital | Sale of goods | 13,376,757.25 | 10,629,421.43 |
Sinopharm Holding Henan Co., Ltd. | Sale of goods | 12,870,576.33 | 9,642,957.94 |
Foshan Chancheng Central Hospital Co., Ltd. | Sale of goods | 12,092,528.87 | 7,665,327.44 |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | Sale of goods | 10,239,238.49 | 10,679,779.77 |
Sinopharm holdings Beijing Huahong Co., Ltd. | Sale of goods | 10,138,011.45 | 5,763,714.05 |
Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | Sale of goods | 8,887,736.05 | 1,587,426.88 |
Sinopharm Holding Nantong Co., Ltd. | Sale of goods | 8,373,035.18 | 7,861,952.62 |
Sinopharm Holding Jinzhou Co., Ltd. | Sale of goods | 7,182,756.92 | 72,477.87 |
Sinopharm Holding Sub Marketing Center Co., Ltd. | Sale of goods | 6,713,774.05 | 5,584,808.87 |
Sinopharm Holding Donghong Medical (Shanghai) Co., Ltd. | Sale of goods | 6,709,036.12 | 784,084.53 |
Sinopharm Holding Shanxi Co., Ltd. | Sale of goods | 6,114,523.08 | 2,812,873.37 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Group (Tianjin) Eastern Bokang Pharmaceutical Co., Ltd. | Sale of goods | 5,801,373.68 | 4,803,387.32 |
Sinopharm Holding Hubei Co., Ltd. | Sale of goods | 5,725,139.41 | 18,913,611.09 |
Sinopharm Holding Yangzhou Co., Ltd. | Sale of goods | 5,243,275.79 | 3,233,686.62 |
Sinopharm Lerentang (Langfang) Pharmaceutical Trade Co., Ltd. | Sale of goods | 4,540,492.31 | 18,101.77 |
Foshan Chanyixing Medicine Development Co Ltd. | Sale of goods | 4,356,266.82 | 3,705,867.85 |
Sinopharm Lerentang Tangshan Medicine Co., Ltd. | Sale of goods | 3,561,044.84 | 661,960.55 |
Sinopharm Lerentang Xingtai Pharmaceutical Co., Ltd. | Sale of goods | 3,311,038.77 | - |
Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | Sale of goods | 3,187,482.23 | 492,572.13 |
Sinopharm Holding Shanghai Likang Pharmaceutical Co., Ltd. | Sale of goods | 2,986,283.70 | 3,680,499.78 |
Sinopharm Holding Jilin Co., Ltd. | Sale of goods | 2,942,030.47 | 1,599,917.79 |
Sinopharm Holding Tianjin Co., Ltd. | Sale of goods | 2,941,625.35 | 1,822,107.93 |
Shanghai Merro Pharmaceutical Co., Ltd. | Sale of goods | 2,858,507.18 | 3,312,398.44 |
Sinopharm Lerentang Qinhuangdao Pharmaceutical Trading Co., Ltd | Sale of goods | 2,637,455.35 | 16,467.26 |
Sinopharm Holding Shanxi Co., Ltd. | Sale of goods | 2,569,451.46 | 3,053,010.35 |
Sinopharm Holding Guizhou Medical Device Co., Ltd. | Sale of goods | 2,506,974.27 | 255,175.71 |
Sinopharm Lerentang Baoding Trading Co., Ltd. | Sale of goods | 2,386,692.15 | - |
Sinopharm Lerentang Baoding Hongkang Pharmaceutical Chain Co., Ltd. | Sale of goods | 2,371,766.36 | 1,716,599.10 |
Hutchison Whampoa Sinopharm Pharmaceuticals (Shanghai) Co., Ltd. | Sale of goods | 2,280,410.62 | 1,724,205.31 |
Sinopharm Sichuan Pharmaceutical Co., Ltd. | Sale of goods | 2,270,896.31 | 5,574,204.53 |
Sinopharm Holding Yunnan Co., Ltd. | Sale of goods | 2,197,412.02 | 1,875,892.22 |
Sinopharm Holding Hunan Co., Ltd. | Sale of goods | 2,170,058.36 | 1,594,378.72 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Holding Shanxi Co., Ltd. | Sale of goods | 1,759,444.55 | 190,595.28 |
Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | Sale of goods | 1,732,284.48 | 2,349,651.28 |
Sinopharm Holding Anhui Co., Ltd. | Sale of goods | 1,714,909.94 | 3,490,356.70 |
Sinopharm Group Southwest Medicine Co., Ltd. | Sale of goods | 1,686,783.92 | 1,891,076.22 |
Sinopharm Lerentang Hengshui Medicine Co., Ltd. | Sale of goods | 1,541,096.39 | 158,792.13 |
Sinopharm Holding Dalian Co., Ltd. | Sale of goods | 1,505,999.43 | 1,320,364.57 |
Shanghai Guoda Lingyun Pharmacy Co., Ltd. | Sale of goods | 1,444,193.49 | 786,887.13 |
Sinopharm Holding Anshan Co., Ltd. | Sale of goods | 1,410,135.08 | - |
China National Medicines Co., Ltd. | Sale of goods | 1,269,341.13 | 2,178,096.79 |
Sinopharm Holding Jiangxi Co., Ltd. | Sale of goods | 1,230,819.17 | 499,633.43 |
Sinopharm Holding (Hubei) Hankou Pharmacy Co., Ltd. | Sale of goods | 1,164,258.24 | - |
Sinopharm Holding Anhui Pharmaceutical Co., Ltd. | Sale of goods | 1,152,047.45 | 693,361.90 |
Sinopharm Holding Xuzhou Co., Ltd. | Sale of goods | 1,108,631.54 | 1,271,612.79 |
Shanghai Liyi Pharmacy Co.,Ltd | Sale of goods | 1,102,980.44 | 690,837.84 |
Sinopharm Holding Shangqiu Co., Ltd. | Sale of goods | 1,039,646.02 | - |
Sinopharm Holding Fujian Co., Ltd. | Sale of goods | 992,070.43 | 51,109,674.50 |
Sinopharm Holding Gansu Co., Ltd. | Sale of goods | 863,189.43 | 662,808.94 |
Sinopharm Holding Guizhou Co., Ltd. | Sale of goods | 836,038.24 | 749,381.57 |
Sinopharm Holding Ningxia Co., Ltd. | Sale of goods | 766,385.82 | 607,397.50 |
Sinopharm Holding Chongqing Taimin Pharmaceutical Co., Ltd. | Sale of goods | 675,555.69 | 174,838.95 |
Sinopharm Holding Wuxi Co., Ltd. | Sale of goods | 651,490.72 | 545,114.34 |
Sinopharm Holding Anshun Co., Ltd. | Sale of goods | 637,336.24 | 626,960.18 |
Sinopharm Holding Tongren Co., Ltd. | Sale of goods | 608,054.18 | 347,824.70 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | Sale of goods | 585,023.94 | 477,391.38 |
Sinopharm Holding Guizhou (Zunyi) Medical Equiment Co., Ltd. | Sale of goods | 551,323.97 | 722,382.88 |
Sinopharm Holding Jiangsu Co., Ltd. | Sale of goods | 526,573.72 | 578,180.26 |
Sinopharm Holding Zunyi Co., Ltd. | Sale of goods | 497,385.52 | 1,078,617.62 |
Sinopharm Holding Wuhu Co., Ltd. | Sale of goods | 483,333.34 | 421,019.02 |
Sinopharm Lerentang Cangzhou Medicine Co., Ltd. | Sale of goods | 441,107.97 | 27,143.36 |
Sinopharm Holding Dalian Hecheng Co., Ltd. | Sale of goods | 440,610.07 | 39,122.93 |
Shenzhen Chindex Medical Beauty Clinic | Sale of goods | 388,613.67 | 97,277.83 |
Sinopharm Holding Shanghai Biomedicine Co., Ltd. | Sale of goods | 367,752.21 | 282,212.28 |
Shanghai Shengxin Pharmacy Co., Ltd. | Sale of goods | 352,446.68 | - |
Sinopharm Lerentang Qinhuangdao Medicine Co., Ltd. | Sale of goods | 352,417.43 | 107,256.67 |
Sinopharm Lerentang Tangshan Medicine Co., Ltd. | Sale of goods | 330,239.40 | - |
Sinopharm Baise Device Co., Ltd. | Sale of goods | 328,663.72 | 102,654.87 |
Sinopharm Holding Shanxi Pharmacy Co., Ltd. | Sale of goods | 274,021.65 | - |
Sinopharm Holding Qinghai Co., Ltd. | Sale of goods | 262,068.06 | 253,282.77 |
Jiangmen Xinhui District Jianfeng Pharmaceutical Co., Ltd. | Sale of goods | 253,856.26 | - |
Sinopharm Holding Honghe Co., Ltd. | Sale of goods | 233,627.39 | 411,978.99 |
Sinopharm Lerentang Xingtai Medicine Co., Ltd. | Sale of goods | 224,344.53 | 178,966.16 |
Sinopharm Holding Jiaozuo Co., Ltd. | Sale of goods | 220,106.10 | 183,421.75 |
Sinopharm Holding Anhui Pharmaceutical Chain Co., Ltd. | Sale of goods | 190,577.18 | - |
Sinopharm Holding Chuxiong Co., Ltd. | Sale of goods | 185,415.94 | 83,585.92 |
Sinopharm Holding Nanjing Wende Pharmaceutical Co.,Ltd. | Sale of goods | 175,046.02 | 79,064.60 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Guoyao Lerentang Shijiazhuang Medical Management Co., Ltd. | Sale of goods | 169,490.24 | 55,743.09 |
Sinopharm Holding Tianjin North Medicine Co., Ltd. | Sale of goods | 165,577.13 | 237,608.84 |
Sinopharm Holding Chongqing Co., Ltd. | Sale of goods | 157,390.71 | 98,396.45 |
Sinopharm Holding Inner Mongolia Co., Ltd. | Sale of goods | 150,193.67 | 159,586.47 |
Sinopharm Lerentang Cangzhou Pharmaceutical Trading Co., Ltd. | Sale of goods | 143,767.71 | - |
Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | Sale of goods | 135,104.03 | 8,730.28 |
Sinopharm Guangdong Medical Examination Co., Ltd. | Sale of goods | 134,910.79 | 163,965.18 |
Foshan Chengnan Fengliaoxing Medicial Hospital Co., Ltd. | Sale of goods | 134,895.13 | 87,322.13 |
Sinopharm Holding Benxi Co., Ltd. | Sale of goods | 134,235.92 | - |
Sinopharm Lerentang Chengde Medicine Co., Ltd. | Sale of goods | 129,707.75 | 63,193.63 |
Sinopharm Fengliaoxing Medical Hospital Co., Ltd. | Sale of goods | 123,210.38 | 75,159.98 |
Sinopharm Holding Pingdingshan Co., Ltd. | Sale of goods | 121,061.94 | - |
Sinopharm Group Guangxi Medical Device Co., Ltd. | Sale of goods | 110,309.74 | 113,097.35 |
Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | Sale of goods | 107,351.54 | - |
Sinopharm Advanced (Shanghai) Medical Device Co., Ltd. | Sale of goods | 107,011.95 | - |
Sinopharm Holding Fuzhou Co., Ltd. | Sale of goods | 93,210.07 | 131,345.42 |
Sinopharm Lerentang Langfang Pharmaceutical Co., Ltd. | Sale of goods | 88,799.03 | 55,538.93 |
Sinopharm Holding Longyan Co., Ltd. | Sale of goods | 87,410.63 | 57,138.07 |
Sinopharm Holding Hubei Hongyuan Co., Ltd. | Sale of goods | 74,265.48 | 133,587.47 |
Sinopharm Medical Instrument Guizhou Qiannan Co., Ltd. | Sale of goods | 70,346.37 | 16,276.77 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Lerentang Handan Medicine Co., Ltd. | Sale of goods | 69,991.28 | 18,101.77 |
Sinopharm Holding Wuhan Guoda Pharmacy Co., Ltd. | Sale of goods | 66,101.95 | - |
Sinopharm Lerentang Baoding Medicine Co., Ltd. | Sale of goods | 57,943.93 | 32,999.89 |
Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | Sale of goods | 55,499.70 | 84,353.70 |
Sinopharm Zhijun | Sale of goods | 54,493.27 | 3,922.08 |
Sinopharm Group Guangdong Medicine Device Co., Ltd. | Sale of goods | 48,348.50 | 8,494.51 |
Sinopharm Holding Professional Pharmacy (Hainan) Co., Ltd. | Sale of goods | 40,146.37 | - |
Sinopharm Lerentang Healthcare Shijiazhuang Pharmacy Co., Ltd. | Sale of goods | 35,758.14 | 41,262.69 |
Sinopharm Holding Putian Co., Ltd. | Sale of goods | 26,888.49 | 53,777.00 |
Sinopharm Holding Yancheng Co., Ltd. | Sale of goods | 25,340.97 | 556,583.59 |
China National Scientific Instruments & Materials I&E Shenzhen Co., Ltd. | Sale of goods | 25,022.45 | 11,412.30 |
Sinopharm Holding Changzhou Co., Ltd. | Sale of goods | 21,218.05 | 110,397.17 |
Chongqing Tongjunge Co., Ltd. | Sale of goods | 19,289.52 | - |
Sichuan Taiji Pharmacy Chain Co., Ltd. | Sale of goods | 18,141.59 | - |
Sinopharm Holding Hongrun Medical Business Service (Shanghai) Co., Ltd. | Sale of goods | 16,629.61 | 5,383.97 |
Sinopharm Holding Zhuanye Pharmacy (Dongfang) Co., Ltd. | Sale of goods | 14,607.52 | 8,438.69 |
Sinopharm Holding Hunan Weian Pharmacy Medicine Chain Company Limited | Sale of goods | 13,825.24 | - |
Sinopharm Holding Ningde Co., Ltd. | Sale of goods | 10,083.19 | 30,249.56 |
Sinopharm Holding Changxing Professional Pharmacy (Haikou) Co., Ltd. | Sale of goods | 6,978.32 | 12,993.87 |
Sinopharm Holding Taizhou Co., Ltd. | Sale of goods | 5,834.87 | 68,810.53 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Holding Pharmacy (Shanghai) Co., Ltd. | Sale of goods | 4,862.18 | - |
Sinopharm Group Fengliaoxing Medical Hospital (Foshan Nanhai) Co., Ltd. | Sale of goods | 3,939.20 | 2,261.97 |
Sinopharm Guanai Yuankang Pharmacy (Haikou) Co., Ltd. | Sale of goods | 2,902.65 | 34,988.29 |
Sinopharm Holding Dalian Special Drugs Pharmaceutical Co., Ltd. | Sale of goods | 2,831.86 | - |
Sinopharm Group Shanxi Medical Devices Co., Ltd. | Sale of goods | 2,795.57 | - |
Sinopharm Holding (Shandong) Medicine Device Co., Ltd. | Sale of goods | 2,492.03 | - |
Sinopharm Holding Professional Pharmacy Songyuan Co., Ltd. | Sale of goods | 1,231.86 | - |
Sinopharm Medical Instrument (Jiangmen) Co., Ltd. | Sale of goods | 884.96 | - |
Sinopharm Holding Shenyang Co., Ltd. | Sale of goods | 839.65 | 92,078.76 |
Sinopharm Holding Xinyu Co., Ltd. | Sale of goods | 632.94 | - |
Lecong Supply and Market Group Shunketang Medicine Co., Ltd. | Sale of goods | 58.41 | - |
Sinopharm Holding Tongliao Co., Ltd. | Sale of goods | 45.14 | - |
Sinopharm Holding Suzhou Co., Ltd. | Sale of goods | 3.54 | - |
Sinopharm Zhuhai Medical Instrument Co., Ltd. | Sale of goods | - | 7,446,238.57 |
Chindex International Trading (Shanghai) Co., Ltd. | Sale of goods | - | 3,037,167.60 |
China Sinopharm International Corporation | Sale of goods | - | 2,988,690.22 |
Sinopharm Holding Quanzhou Co., Ltd. | Sale of goods | - | 1,628,615.99 |
Zhijun Pingshan | Sale of goods | - | 297,706.43 |
Dongyuan Accord | Sale of goods | - | 230,559.29 |
Yuxi Sinopharm Medicine Co., Ltd. | Sale of goods | - | 226,147.04 |
Foshan Chancheng District Shiwan Town Chengnan Community Health Service Center | Sale of goods | - | 207,388.60 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Hunan Prov. Medical Equipment Co., Ltd. | Sale of goods | - | 142,300.88 |
Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | Sale of goods | - | 84,955.75 |
Sinopharm Holding Qianxi’nan Co., Ltd. | Sale of goods | - | 47,058.57 |
Sinopharm Holding Fuzhou Co., Ltd. | Sale of goods | - | 36,927.44 |
Guangdong Yifang Pharmaceutical Co., Ltd. | Sale of goods | - | 27,079.65 |
Sinopharm Holding Kunming Pharmacy Co., Ltd. | Sale of goods | - | 26,664.78 |
Sinopharm Holding Beijing Tianxing Puxin Biological Medical Co., Ltd. | Sale of goods | - | 25,300.89 |
Sinopharm Guanai Jikun Pharmacy (Haikou) Co., Ltd. | Sale of goods | - | 17,838.67 |
Sinopharm Fengliaoxing (Foshan) Medicines Co., Ltd. | Sale of goods | - | 12,682.56 |
Sinopharm Lerentang Langfang Medicine Co., Ltd. | Sale of goods | - | 7,323.36 |
Main Luck Pharmaceutical | Sale of goods | - | 6,610.62 |
Sinopharm Holding Xiamen Co., Ltd. | Sale of goods | - | 5,889.38 |
Sinopharm Holding Zhenjiang Co., Ltd. | Sale of goods | - | 5,614.16 |
Guangdong Jienuo | Sale of goods | - | 2,657.08 |
Sinopharm Medical Instrument (Hainan) Co., Ltd. | Sale of goods | - | 1,805.31 |
Sinopharm Holding Guizhou Medicial Chain Co., Ltd. | Sale of goods | - | 1,340.53 |
Sinopharm Holding Shanxi Hejin Pharmaceutical Co., Ltd. | Sale of goods | - | 1,187.61 |
Sinopharm Holding Ulanqab Co., Ltd. | Sale of goods | - | (555.14) |
Sinopharm Holding Jilin Chain Store Co., Ltd. | Sale of goods | - | (16,556.17) |
Sinopharm Group Fengliaoxing Pharmacy (Foshan) Co., Ltd. | Sale of goods | - | (26,464.91) |
Sinopharm Holding Chengdu Co., Ltd. | Sale of goods | (20,800.88) | 238,592.93 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Group Medicine Logistic Co., Ltd. | Transport and storage income | 4,729,519.50 | 3,176,727.67 |
China National Medicines Co., Ltd. | Sublease income, transport and storage income | 1,658,616.64 | 3,116,205.52 |
Sinopharm Zhijun | Sublease income, canteen income | 1,299,722.86 | 1,250,273.36 |
Sinopharm Guangdong Medicine Device Supply Chain Co., Ltd. | Consulting service income | 498,556.31 | 82,325.73 |
Sinopharm Holding Sub Marketing Center Co., Ltd. | Consulting service income | 404,513.64 | 1,253,573.97 |
Guangdong Jienuo | Transport and storage income | 252,229.35 | - |
Zhijun Trade | Sublease income | 157,142.88 | 285,714.30 |
Sinopharm Medical Instrument Guangxi Medical Technology Co., Ltd. | SPD service income | 135,813.29 | - |
Sinopharm Baise Device Co., Ltd. | SPD service income | 104,923.15 | - |
Sinopharm Holding Hunan Weian Pharmacy Medicine Chain Company Limited | Sublease income | 102,102.49 | 97,240.50 |
Sinopharm Medical Instrument (Foshan) Co., Ltd. | SPD service income | 89,941.38 | - |
Zhijun Pingshan | Transport and storage income | 83,186.24 | 129,797.90 |
Sinopharm Group Southwest Medicine Co., Ltd. | Transport and storage income | 79,480.00 | - |
Sinopharm Holding Shanxi Zhongjian Medical Device Chain Co., Lt | Business promotion income | 51,415.10 | - |
Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | Business promotion income | 50,471.71 | - |
Sinopharm Holding Shanxi Co., Ltd. | Business promotion income | 31,886.79 | 1,886.79 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(1) Related party transactions - goods and services (Continued)
Sale of goods and rendering of services (Continued)
Related Party | Type of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Holding Jilin Co., Ltd. | Transport and storage income | 26,000.00 | - |
Sinopharm Group Guangxi Medical Device Co., Ltd. | SPD service income | 25,173.94 | - |
Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | SPD service income | 19,777.54 | - |
Sinopharm Holding Shanxi Dajiuzhou Medicine Co., Ltd. | Business promotion income | 15,377.36 | - |
Sinopharm Holding Shenyang Co., Ltd. | Consulting service income | 2,452.83 | - |
Sinopharm Group Guangdong Medicine Device Co., Ltd. | Consulting service income | 1,523.21 | - |
Sinopharm Medical Instrument (Huizhou) Co., Ltd. | Consulting service income | 173.96 | - |
Sinopharm Holding Hubei Co., Ltd. | Transport and storage income | - | 81,773.22 |
Sinopharm Huixinqinyuan (Beijing) Technology Development Co., Ltd. | Consulting service income | - | 17,169.81 |
China National Scientific Instruments & Materials I&E Shenzhen Co., Ltd. | Consulting service income | - | 2.64 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(2) Related party transactions - leases
(a) As the lessor | |||
Type of assets under leases | Income from leases For the six months ended 30 June 2021 | Income from leases For the six months ended 30 June 2020 | |
Sinopharm Zhijun | Building | 957,142.86 | 957,142.86 |
Zhijun Trade | Building | 157,142.88 | 285,714.30 |
Sinopharm Holding Hunan Weian Pharmacy Medicine Chain Company Limited | Building | 102,102.49 | 97,240.50 |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | Building | 66,666.66 | - |
China National Medicines Co., Ltd. | Building | 52,554.86 | 52,554.86 |
(b) As the lessee | |||
Type of assets under leases | Expense from leases For the six months ended 30 June 2021 | Expense from leases For the six months ended 30 June 2020 | |
Hunan Minshengtang Biotechnology Co., Ltd. | Building | 7,317,209.70 | - |
Sinopharm Group | Building | 5,406,057.00 | - |
Sinopharm Group Medicine Logistic Co., Ltd. | Equipment | 3,749,999.99 | 3,750,000.00 |
Sinopharm Group Medicine Logistic Co., Ltd. | Building | 3,539,999.99 | 3,540,000.00 |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | Building | 5,536,320.75 | 5,296,226.44 |
Lerentang Investment Group Co., Ltd. | Building | 4,361,467.88 | 3,224,047.60 |
Shenyang Pharmaceutical Co., Ltd. | Building | 3,543,964.78 | 3,571,428.61 |
Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | Building | 2,748,595.47 | 3,786,173.34 |
Sinopharm Holding Yangzhou Co., Ltd. | Building | 1,866,023.82 | - |
Nanjing Yuanguang Trading Co., Ltd. | Building | 1,077,247.29 | 1,923,809.52 |
Guangdong Jiyuantang Development Co., Ltd. | Building | 921,180.26 | 978,504.36 |
Sinopharm Holding Shanxi Jincheng Co., Ltd. | Building | 600,000.00 | - |
Sinopharm Group Shanghai Co., Ltd. | Building | 586,365.00 | 2,031,905.96 |
Shaoguan Wujiang District Muyang Medicine Information Consultant Co., Ltd. | Building | 508,827.42 | 478,984.74 |
Xishuangbanna Disheng Pharmaceutical Co., Ltd. | Building | 405,799.98 | - |
Sinopharm Holding (China) Financing Lease Co., Ltd. | Building | 360,000.00 | - |
Taishan Xiangranhui Trade Co., Ltd. | Equipment | 462,670.01 | 389,625.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(2) Related party transactions - leases(Continued)
(b) As the lessee(Continued) | |||
Type of assets under leases | Expense from leases For the six months ended 30 June 2021 | Expense from leases For the six months ended 30 June 2020 | |
Zhang Yechuan | Building | 333,046.64 | - |
Wang Yang | Building | 312,305.70 | 295,868.56 |
Li Fang | Building | 269,047.62 | 254,761.90 |
Sinopharm Holding Beijing Co., Ltd. | Building | 272,400.00 | - |
Guangxi Yifang Tianjiang Pharmaceutical Co., Ltd. | Building | 257,389.00 | - |
Beijing Sinopharm Tianyuan Real Estate & Property Management Co., Ltd. | Building | 242,857.14 | 181,428.58 |
Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | Building | 216,191.74 | - |
Sinopharm Holding Xinjiang Xinte Karamay Pharmaceutical Co., Ltd. | Building | 215,968.52 | - |
Gu Jinhua | Building | 187,740.00 | 178,800.00 |
Sinopharm Xinjiang Pharmaceutical Co., Ltd. | Building | 177,233.88 | - |
Beijing Huafang Investment Co., Ltd. | Building | 119,004.08 | 120,934.28 |
Southeast (Quanzhou) Biotechnology Pharmaceutical Co., Ltd. | Building | 118,025.28 | - |
Gu Haiqun | Building | 104,099.04 | 99,143.81 |
Shenzhen Jiufeng Investment Co., Ltd. | Building | 92,279.59 | - |
Zhang Haiyan | Building | 85,714.26 | - |
Zhijun Pingshan | Building | 50,917.44 | - |
Zhang Guitang | Building | 49,714.26 | |
Taishan Qunkang Pharmacy Co., Ltd. | Equipment | 11,258.41 | - |
Sinopharm Holding (China) Financing Lease Co., Ltd. | Building | - | 2,971,727.14 |
Pu'er Songmao Medicine Group Co., Ltd. | Building | - | 1,984,761.90 |
Sinopharm Holding Rizhao Co., Ltd. | Building | - | 436,785.87 |
Hangzhou Xihu District Commercial Co., Ltd. | Building | - | 146,438.10 |
China National Medicines Co., Ltd. | Building | - | 142,857.14 |
Taishan Qunkang Pharmacy Co., Ltd. | Building | - | 70,850.46 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 71,629,923.57 | 25 February 2021 | 25 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 54,707,698.10 | 25 February 2021 | 25 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 94,787,926.58 | 6 May 2021 | 6 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 50,462,024.83 | 17 May 2021 | 17 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 48,621,724.23 | 26 February 2021 | 26 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 47,123,809.11 | 30 April 2021 | 30 October 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 30,698,840.96 | 29 January 2021 | 29 July 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 13,237,656.55 | 29 January 2021 | 29 April 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 41,035,658.40 | 5 February 2021 | 5 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 36,462,587.66 | 10 May 2021 | 30 June 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 19,867,578.99 | 19 May 2021 | 19 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 15,663,049.52 | 19 May 2021 | 19 September 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 34,614,169.13 | 30 June 2021 | 30 December 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 33,675,870.87 | 26 May 2021 | 26 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 26,570,964.00 | 10 February 2021 | 10 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 19,998,663.88 | 20 May 2021 | 20 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 5,650,549.88 | 20 May 2021 | 27 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 25,471,272.13 | 31 May 2021 | 31 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 25,123,710.36 | 3 June 2021 | 3 September 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 24,991,580.40 | 23 June 2021 | 23 September 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 24,272,643.76 | 8 February 2021 | 8 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 22,224,875.91 | 28 January 2021 | 28 April 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 20,712,214.94 | 7 May 2021 | 7 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 20,341,265.01 | 4 February 2021 | 4 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 19,215,568.92 | 24 February 2021 | 24 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 18,756,773.39 | 22 February 2021 | 22 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 17,331,983.85 | 15 April 2021 | 30 June 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 9,569,134.14 | 17 June 2021 | 29 October 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 6,424,446.52 | 17 June 2021 | 8 October 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 15,853,329.24 | 25 May 2021 | 27 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 12,201,711.11 | 1 April 2021 | 30 June 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 11,497,531.01 | 12 May 2021 | 12 August 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 8,830,838.40 | 09 June 2021 | 08 October 2021 | Short-term borrowings |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 8,222,169.28 | 7 February 2021 | 7 May 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 5,876,451.19 | 27 April 2021 | 30 June 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 5,042,535.17 | 25 June 2021 | 25 December 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 4,283,314.86 | 10 June 2021 | 10 September 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 4,060,815.23 | 18 June 2021 | 26 October 2021 | Short-term borrowings |
Sinopharm Group Finance Co., Ltd. | 44,296,134.90 | 20 January 2021 | 29 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 36,495,375.70 | 20 January 2021 | 29 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 20,957,120.78 | 20 January 2021 | 5 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 13,865,920.44 | 20 January 2021 | 23 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 12,428,990.00 | 20 January 2021 | 17 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 10,882,062.53 | 20 January 2021 | 23 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 10,214,229.97 | 20 January 2021 | 24 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 10,000,000.00 | 20 January 2021 | 6 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 9,565,723.90 | 20 January 2021 | 30 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 7,799,879.19 | 20 January 2021 | 7 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 7,590,732.63 | 20 January 2021 | 16 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 7,042,747.95 | 20 January 2021 | 7 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,537,002.78 | 20 January 2021 | 12 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,026,702.20 | 20 January 2021 | 14 July 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 4,926,793.36 | 20 January 2021 | 26 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,907,195.62 | 20 January 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,506,000.00 | 20 January 2021 | 27 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,888,241.63 | 20 January 2021 | 25 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,398,007.79 | 20 January 2021 | 30 September 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,058,953.56 | 20 January 2021 | 28 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,740,000.00 | 20 January 2021 | 3 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,396,451.40 | 20 January 2021 | 27 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,200,000.00 | 20 January 2021 | 28 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 20 January 2021 | 6 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,822,498.07 | 20 January 2021 | 31 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,448,834.11 | 20 January 2021 | 23 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,157,784.94 | 20 January 2021 | 30 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,108,342.37 | 20 January 2021 | 14 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,017,440.00 | 20 January 2021 | 4 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,000,000.00 | 20 January 2021 | 9 February 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 54,801,891.65 | 13 January 2021 | 28 May 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 38,986,447.03 | 13 January 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 30,000,000.00 | 13 January 2021 | 27 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 22,265,381.78 | 13 January 2021 | 23 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 19,674,402.16 | 13 January 2021 | 25 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,835,167.48 | 13 January 2021 | 29 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,783,483.59 | 13 January 2021 | 21 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,519,239.80 | 13 January 2021 | 19 November 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,471,900.80 | 13 January 2021 | 11 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,164,873.99 | 13 January 2021 | 5 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,858,045.62 | 13 January 2021 | 8 September 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 13 January 2021 | 28 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,523,993.34 | 13 January 2021 | 7 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,500,000.00 | 13 January 2021 | 19 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,292,152.37 | 13 January 2021 | 12 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 18,680,231.59 | 17 May 2021 | 26 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 15,883,376.88 | 17 May 2021 | 27 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 14,286,605.28 | 17 May 2021 | 28 July 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 13,480,000.00 | 17 May 2021 | 25 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,796,478.52 | 17 May 2021 | 10 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,273,537.35 | 17 May 2021 | 30 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,378,924.20 | 17 May 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,960,609.75 | 17 May 2021 | 23 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,703,388.49 | 17 May 2021 | 22 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,595,598.82 | 17 May 2021 | 29 October 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,182,401.59 | 17 May 2021 | 3 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,008,800.00 | 17 May 2021 | 11 November 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,700,944.91 | 17 May 2021 | 29 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,488,466.57 | 17 May 2021 | 7 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,361,657.30 | 17 May 2021 | 8 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,038,005.12 | 17 May 2021 | 10 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,035,276.72 | 17 May 2021 | 2 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 997,255.88 | 17 May 2021 | 16 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 616,725.82 | 17 May 2021 | 22 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 561,672.80 | 17 May 2021 | 14 July 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 10,459,326.96 | 9 February 2021 | 25 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 9,152,110.07 | 9 February 2021 | 27 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 7,677,033.25 | 9 February 2021 | 29 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,880,000.00 | 9 February 2021 | 26 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,659,793.42 | 9 February 2021 | 28 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,000,000.00 | 9 February 2021 | 22 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,262,169.90 | 9 February 2021 | 24 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,168,433.40 | 9 February 2021 | 30 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 9 February 2021 | 21 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 9 February 2021 | 20 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,958,612.59 | 9 February 2021 | 22 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,741,698.80 | 9 February 2021 | 30 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,602,467.58 | 9 February 2021 | 24 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,065,088.90 | 9 February 2021 | 28 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 900,094.07 | 9 February 2021 | 25 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 848,393.16 | 9 February 2021 | 2 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 753,663.52 | 9 February 2021 | 4 March 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 710,000.00 | 9 February 2021 | 11 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 637,104.40 | 9 February 2021 | 25 March 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 564,197.26 | 9 February 2021 | 14 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 500,000.00 | 9 February 2021 | 13 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 500,000.00 | 9 February 2021 | 16 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 25,075,659.76 | 20 February 2021 | 25 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 8,060,000.00 | 20 February 2021 | 26 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 6,309,241.36 | 20 February 2021 | 27 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 5,467,954.90 | 20 February 2021 | 27 April 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,358,800.90 | 20 February 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,873,122.00 | 20 February 2021 | 5 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,500,000.00 | 20 February 2021 | 28 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 18,000,000.00 | 22 February 2021 | 22 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 17,139,076.55 | 22 February 2021 | 28 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,013,193.00 | 22 February 2021 | 25 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,337,172.57 | 22 February 2021 | 24 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,211,874.00 | 22 February 2021 | 5 July 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 14,670,958.74 | 4 March 2021 | 22 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 5,617,316.39 | 4 March 2021 | 29 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 5,321,515.08 | 4 March 2021 | 25 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,147,744.22 | 4 March 2021 | 26 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,044,614.59 | 4 March 2021 | 28 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,900,000.00 | 4 March 2021 | 24 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,189,149.82 | 4 March 2021 | 23 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 371,529.55 | 4 March 2021 | 24 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 13,008,065.85 | 5 March 2021 | 27 November 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 4,593,633.89 | 5 March 2021 | 31 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,274,404.52 | 5 March 2021 | 27 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 3,000,000.00 | 5 March 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,275,132.93 | 5 March 2021 | 26 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,812,568.88 | 5 March 2021 | 20 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,642,356.60 | 5 March 2021 | 18 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,638,360.00 | 5 March 2021 | 25 January 2022 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,379,729.57 | 5 March 2021 | 23 July 2021 | Discount on bank acceptance bill |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Sinopharm Group Finance Co., Ltd. | 1,000,000.00 | 5 March 2021 | 26 May 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 883,068.00 | 5 March 2021 | 5 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 751,251.30 | 5 March 2021 | 9 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 10,000,000.00 | 20 April 2021 | 24 September 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 9,055,204.07 | 20 April 2021 | 22 August 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 5,819,577.00 | 20 April 2021 | 24 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 5,000,000.00 | 20 April 2021 | 13 October 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 20 April 2021 | 30 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 1,370,000.00 | 20 April 2021 | 26 June 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 23,539,009.32 | 29 April 2021 | 27 July 2021 | Discount on bank acceptance bill |
Sinopharm Group Finance Co., Ltd. | 2,000,000.00 | 29 April 2021 | 21 July 2021 | Discount on bank acceptance bill |
Jilin Province Yihe Investment Consulting Co., Ltd. | 33,000,000.00 | 22 April 2021 | 21 April 2022 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 1,500,000.00 | 22 April 2021 | 20 August 2021 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 1,500,000.00 | 22 April 2021 | 21 October 2021 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 9,900,000.00 | 14 May 2021 | 13 May 2022 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 4,500,000.00 | 30 March 2021 | 29 March 2022 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 1,500,000.00 | 30 March 2021 | 29 September 2021 | Short-term borrowings |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(3) Related party transactions - Financing (Continued)
Related Party | Amount | Inception Date | Maturity Date | Note |
Borrow from | ||||
Jilin Province Yihe Investment Consulting Co., Ltd. | 4,500,000.00 | 21 June 2021 | 20 June 2022 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 4,500,000.00 | 19 April 2021 | 18 June 2021 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 4,500,000.00 | 15 January 2021 | 14 April 2022 | Short-term borrowings |
Jilin Province Yihe Investment Consulting Co., Ltd. | 3,750,000.00 | 18 May 2021 | 17 May 2022 | Short-term borrowings |
(4) Related party asset transfer
Related party | Types of transaction | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Shanghai Tongyu Information Technology Co., Ltd. | Purchase of an intangible asset | 161,045.25 | - |
Shanghai Tongyu Information Technology Co., Ltd. | Purchase of a construction in progress | 103,797.89 | - |
(5) Remuneration for key management personnel
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||
Remuneration for key management personnel | 3,729,169.00 | 4,375,318.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
5. Major transactions between the Group and its related parties (Continued)
(6) Other related party transactions
Interest expense | |||
Related party | Types of transactions | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Group Finance Co., Ltd. | Payment of notes discount interest | 8,036,560.44 | 3,199,207.88 |
Sinopharm Group Finance Co., Ltd. | Payment of finance companies loan interest | 5,933,752.64 | 1,882,094.57 |
Jilin Yihe Investment Consulting Co., Ltd | Payment of entrusted loan interest | 1,289,047.50 | - |
China Pharmaceutical Group Co., Ltd | Payment of entrusted loan interest | 611,679.44 | 513,884.11 |
Sinopharm Group Finance Co., Ltd. | Payment of related parties loan interest | - | 1,311,742.70 |
Sinopharm Holding Co., Ltd | Payment of entrusted loan interest | - | 1,035,984.12 |
Sinopharm Holding (China) Financing Lease Co., Ltd. | Payment of related parties loan interest | - | 44,007.71 |
15,871,040.02 | 7,986,921.09 | ||
Interest income | |||
Related party | Types of transactions | For the six months ended 30 June 2021 | For the six months ended 30 June 2020 |
Sinopharm Group Finance Co., Ltd. | Deposit interest | 190,537.17 | 17,036.24 |
190,537.17 | 17,036.24 | ||
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties
(1). Accounts Receivable
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Group | 59,684,699.84 | - | 51,044,738.77 | - |
Accounts receivable | Foshan Chancheng Pharmaceutical Co., Ltd. | 55,897,388.44 | 382,518.20 | 50,457,076.93 | 331,221.14 |
Accounts receivable | Sinopharm Lerentang Medicine Co., Ltd. | 17,212,247.23 | - | 11,339,926.55 | - |
Accounts receivable | Sinopharm Health Online Co., Ltd. | 16,591,484.79 | - | 5,961,622.28 | - |
Accounts receivable | Sinopharm Holding Hainan Co., Ltd. | 16,079,241.71 | - | 9,263,188.55 | - |
Accounts receivable | Shanghai Beiyi | 12,620,973.07 | - | 26,066,542.88 | - |
Accounts receivable | Handan Sinopharm Lerentang Pharmacy Chain Co., Ltd. | 9,594,611.38 | - | 832,391.06 | - |
Accounts receivable | Sinopharm Holding Beijing Co., Ltd. | 8,097,092.09 | - | 9,329,174.72 | - |
Accounts receivable | Foshan Chancheng Central Hospital Co., Ltd. | 7,747,869.21 | 50,335.53 | 6,199,898.17 | 38,953.63 |
Accounts receivable | Sinopharm Holding Hainan Hongyi Co., Ltd. | 6,678,714.03 | - | 5,347,075.47 | - |
Accounts receivable | Shenzhen Hengsheng Hospital | 6,589,721.27 | - | 5,376,978.17 | - |
Accounts receivable | Sinopharm Lingyun Biopharmaceutical (Shanghai) Co., Ltd. | 4,880,354.02 | - | 4,380,633.00 | - |
Accounts receivable | Sinopharm Lerentang Baoding Hongkang Pharmaceutical Chain Co., Ltd. | 4,540,010.19 | - | 3,464,166.50 | - |
Accounts receivable | Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | 4,289,053.68 | - | 4,397,286.71 | - |
Accounts receivable | Sinopharm Holding Henan Co., Ltd. | 4,139,688.62 | - | 2,144,155.36 | - |
Accounts receivable | Sinopharm Holding Wenzhou Co., Ltd. | 4,048,268.69 | - | 3,142,596.82 | - |
Accounts receivable | Sinopharm Holding Donghong Medical (Shanghai) Co., Ltd. | 3,834,188.90 | - | 2,049,971.85 | - |
Accounts receivable | Sinopharm Holdings Beijing Huahong co., Ltd. | 3,673,535.53 | - | 1,811,083.32 | - |
Accounts receivable | Sinopharm Holding Shandong Co., Ltd. | 2,831,043.88 | - | 76,095.93 | - |
Accounts receivable | Sinopharm Holding Shanxi Co., Ltd. | 2,816,264.17 | - | 771,816.12 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Holding Jilin Co., Ltd. | 2,528,223.55 | - | 208,589.40 | - |
Accounts receivable | Foshan Chanyixing Medicine Development Co., Ltd. | 2,509,939.17 | 13,136.36 | 3,445,722.95 | 17,975.48 |
Accounts receivable | Sinopharm Holding Sub Marketing Center Co., Ltd. | 2,432,642.59 | - | 2,237,094.40 | - |
Accounts receivable | Sinopharm Holding Nantong Co., Ltd. | 2,304,018.16 | - | 62,224.62 | - |
Accounts receivable | Sinopharm Lerentang Baoding Trading Co., Ltd. | 2,035,819.17 | - | 1,645,313.00 | - |
Accounts receivable | Sinopharm Group (Tianjin) Eastern Bokang Pharmaceutical Co., Ltd. | 1,997,891.99 | - | 943,539.89 | - |
Accounts receivable | Sinopharm Lerentang Qinhuangdao Pharmaceutical Trading Co., Ltd. | 1,889,841.32 | - | 1,067,964.98 | - |
Accounts receivable | Sinopharm Lerentang Tangshan Medicine Co., Ltd. | 1,860,045.69 | - | 997,312.62 | - |
Accounts receivable | Sinopharm Holding Shanxi Co., Ltd. | 1,846,421.01 | - | 94,929.87 | - |
Accounts receivable | Sinopharm Holding Hubei Co., Ltd. | 1,554,241.15 | - | 1,252,860.26 | - |
Accounts receivable | Sinopharm Holding Yangzhou Co., Ltd. | 1,462,063.19 | - | 1,092,414.55 | - |
Accounts receivable | Sinopharm Lerentang (Langfang) Pharmaceutical Trade Co., Ltd. | 1,401,228.87 | - | 1,294,279.54 | - |
Accounts receivable | Hutchison Whampoa Sinopharm Pharmaceuticals (Shanghai) Co., Ltd. | 1,348,814.00 | - | 1,814,506.00 | - |
Accounts receivable | Sinopharm Holding Dalian Co., Ltd. | 1,183,889.64 | - | 657,906.20 | - |
Accounts receivable | Shanghai Merro Pharmaceutical Co., Ltd. | 1,127,455.20 | - | 1,648,042.00 | - |
Accounts receivable | Sinopharm Holding Shanghai Likang Pharmaceutical Co., Ltd. | 1,125,141.84 | - | 1,337,124.28 | - |
Accounts receivable | Sinopharm Holding Shanxi Co., Ltd. | 1,009,330.58 | - | 63,447.29 | - |
Accounts receivable | Sinopharm Holding Tianjin Co., Ltd. | 837,878.00 | - | 568,733.37 | - |
Accounts receivable | Shanghai Guoda Lingyun Pharmacy Co., Ltd. | 824,587.38 | - | 664,836.26 | - |
Accounts receivable | Sinopharm Holding Anhui Pharmaceutical Co., Ltd. | 790,661.48 | - | 225,394.20 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Holding Hunan Co., Ltd. | 665,593.65 | - | 476,299.62 | - |
Accounts receivable | Sinopharm Holding Wuxi Co., Ltd. | 648,747.00 | - | 129,862.00 | - |
Accounts receivable | Sinopharm Lerentang Hengshui Medicine Co., Ltd. | 627,902.87 | - | 1,197,573.36 | - |
Accounts receivable | Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | 623,234.72 | - | 1,385,097.14 | - |
Accounts receivable | Sinopharm Lerentang Xingtai Pharmaceutical Co., Ltd. | 577,711.40 | - | 82,171.75 | - |
Accounts receivable | Sinopharm Sichuan Pharmaceutical Co., Ltd. | 510,242.85 | - | 1,437,709.48 | - |
Accounts receivable | Sinopharm Holding Xuzhou Co., Ltd. | 483,736.52 | - | 227,353.60 | - |
Accounts receivable | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 482,610.48 | - | 1,257,499.80 | - |
Accounts receivable | Sinopharm Holding Yunnan Co., Ltd. | 425,758.31 | - | 139,122.62 | - |
Accounts receivable | China National Medicines Co., Ltd. | 409,622.43 | - | 333,566.22 | - |
Accounts receivable | Sinopharm Holding Gansu Co., Ltd. | 396,351.02 | - | 14,543.96 | - |
Accounts receivable | Sinopharm Holding Anhui Co., Ltd. | 387,196.36 | - | 74,455.49 | - |
Accounts receivable | Sinopharm Holding Jinzhou Co., Ltd. | 376,206.03 | - | 587,192.90 | - |
Accounts receivable | Sinopharm Holding Anshan Co., Ltd. | 341,765.32 | - | 81,120.00 | - |
Accounts receivable | Sinopharm Group Southwest Medicine Co., Ltd. | 339,980.82 | - | 192,876.72 | - |
Accounts receivable | Sinopharm Holding Jiangxi Co., Ltd. | 327,835.60 | - | 114,697.32 | - |
Accounts receivable | Sinopharm Holding Ningxia Co., Ltd. | 240,560.00 | - | 50,448.00 | - |
Accounts receivable | Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | 237,868.93 | - | 921,543.58 | - |
Accounts receivable | Sinopharm Holding Shanghai Biomedicine Co., Ltd. | 207,780.00 | - | 169,080.04 | - |
Accounts receivable | Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | 200,134.47 | - | 120,058.61 | - |
Accounts receivable | Sinopharm Holding Shanxi Pharmacy Co., Ltd. | 161,494.00 | - | - | - |
Accounts receivable | Sinopharm Holding Guizhou Co., Ltd. | 145,406.38 | - | 79,571.94 | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | 140,111.40 | - | 62,413.00 | - |
Accounts receivable | Sinopharm Lerentang Qinhuangdao Medicine Co., Ltd. | 139,548.04 | - | 10,333.92 | - |
Accounts receivable | Sinopharm Holding (Hubei) Hankou Pharmacy Co., Ltd. | 130,741.00 | - | - | - |
Accounts receivable | Sinopharm Holding Jiangsu Co., Ltd. | 122,527.35 | - | 138,015.90 | - |
Accounts receivable | Sinopharm Lerentang Tangshan Medicine Co., Ltd. | 112,190.04 | - | - | - |
Accounts receivable | Sinopharm Holding Fujian Co., Ltd. | 106,344.00 | - | 258,264.00 | - |
Accounts receivable | Shanghai Liyi | 106,314.44 | - | 237,727.36 | - |
Accounts receivable | Sinopharm Lerentang Langfang Pharmaceutical Co., Ltd. | 100,342.90 | - | 102,413.00 | - |
Accounts receivable | Sinopharm Holding Dalian Hecheng Co., Ltd. | 99,164.02 | - | 16,766.22 | - |
Accounts receivable | Sinopharm Medical Instrument (Foshan) Co., Ltd. | 95,337.86 | - | - | - |
Accounts receivable | Sinopharm Holding Qinghai Co., Ltd. | 83,207.22 | - | 57,312.76 | - |
Accounts receivable | Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | 71,875.21 | - | - | - |
Accounts receivable | Sinopharm Holding Wuhan Guoda Pharmacy Co., Ltd. | 68,085.00 | - | - | - |
Accounts receivable | Sinopharm Lerentang Chengde Medicine Co., Ltd. | 65,785.14 | - | - | - |
Accounts receivable | Sinopharm Holding Chuxiong Co., Ltd. | 61,759.70 | - | - | - |
Accounts receivable | Sinopharm Holding Honghe Co., Ltd. | 55,179.48 | - | - | - |
Accounts receivable | Sinopharm Holding Benxi Co., Ltd. | 52,679.28 | - | - | - |
Accounts receivable | Sinopharm Zhijun | 50,503.75 | - | 41,533.50 | - |
Accounts receivable | Sinopharm Holding Professional Pharmacy (Hainan) Co., Ltd. | 45,365.40 | - | - | - |
Accounts receivable | Sinopharm Holding Inner Mongolia Co., Ltd. | 45,137.28 | - | 16.00 | - |
Accounts receivable | Shanghai Shengxin Pharmacy Co., Ltd. | 42,289.16 | - | 217,507.20 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Medical Instrument Guangxi Medical Technology Co., Ltd. | 42,276.91 | - | - | - |
Accounts receivable | Sinopharm Lerentang Zhangjiakou Medicine Co., Ltd. | 40,042.75 | - | - | - |
Accounts receivable | Sinopharm Lerentang Shijiazhuang Medical Management Co., Ltd. | 38,872.60 | - | 74,424.44 | - |
Accounts receivable | Sinopharm Lerentang Handan Medicine Co., Ltd. | 37,771.71 | - | 11,012.40 | - |
Accounts receivable | Sinopharm Lerentang Cangzhou Pharmaceutical Trading Co., Ltd. | 37,491.28 | - | 470,726.50 | - |
Accounts receivable | Sinopharm Holding Anshun Co., Ltd. | 37,206.55 | - | 20,656.00 | - |
Accounts receivable | Sinopharm Lerentang Baoding Medicine Co., Ltd. | 35,216.00 | - | 13,056.35 | - |
Accounts receivable | Sinopharm Lerentang Cangzhou Medicine Co., Ltd. | 30,282.41 | - | 39,136.40 | - |
Accounts receivable | Foshan Chengnan Fengliaoxing Medical Hospital Co., Ltd. | 28,152.70 | 3.53 | 37,151.74 | 10.36 |
Accounts receivable | Sinopharm Group Guangxi Medical Device Co., Ltd. | 26,684.38 | - | - | - |
Accounts receivable | Sinopharm Holding Tianjin North Medicine Co., Ltd. | 25,316.96 | - | 68,180.00 | - |
Accounts receivable | Sinopharm Holding Fuzhou Co., Ltd. | 24,627.20 | - | 88.00 | - |
Accounts receivable | Sinopharm Fengliaoxing Medical Hospital Co., Ltd. | 18,658.86 | 164.15 | 15,505.90 | 131.93 |
Accounts receivable | Sinopharm Holding Zunyi Co., Ltd. | 17,159.10 | - | - | - |
Accounts receivable | Sinopharm Lerentang Xintai Medicine Co., Ltd. | 12,579.33 | - | 34,154.44 | - |
Accounts receivable | Sinopharm Holding Zhuanye Pharmacy (Dongfang) Co., Ltd. | 11,282.50 | - | 3,560.10 | - |
Accounts receivable | Sinopharm Holding Chengdu Co., Ltd. | 10,563.41 | - | 34,068.41 | - |
Accounts receivable | Sinopharm Holding Changxing Professional Pharmacy (Haikou) Co., Ltd. | 6,667.50 | - | - | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Accounts receivable | Sinopharm Lerentang Healthcare Shijiazhuang Pharmacy Co., Ltd. | 4,415.33 | - | 1,491.33 | - |
Accounts receivable | Sinopharm Group Shanxi Medical Devices Co., Ltd. | 3,159.00 | - | - | - |
Accounts receivable | Sinopharm Holding Hongrun Medical Business Service (Shanghai) Co., Ltd. | 3,081.60 | - | 5,602.42 | - |
Accounts receivable | Shanghai Henlius Biopharmaceuticals Co., Ltd. | 1,798.00 | - | - | - |
Accounts receivable | Sinopharm Medical Instrument (Jiangmen) Co., Ltd. | 1,000.00 | - | - | - |
Accounts receivable | Sinopharm Holding Pharmacy (Shanghai) Co., Ltd. | 768.70 | - | - | - |
Accounts receivable | Sinopharm Group Fengliaoxing Medical Hospital (Foshan Nanhai) Co., Ltd. | 56.74 | 0.57 | 916.62 | 9.17 |
Accounts receivable | Sinopharm Holding Tongliao Co., Ltd. | 9.60 | - | - | - |
Accounts receivable | China National Pharmaceutical Foreign Trade Corporation | - | - | 299,402.99 | - |
Accounts receivable | Foshan Chancheng District Shiwan Town Chengnan Community Health Service Center | - | - | 160,285.82 | 396.20 |
Accounts receivable | Sinopharm Holding Yancheng Co., Ltd. | - | - | 65,635.20 | - |
Accounts receivable | Sinopharm Holding Changzhou Co., Ltd. | - | - | 14,975.52 | - |
Accounts receivable | Jiangmen Xinhui District Jianfeng Pharmaceutical Co., Ltd. | - | - | 3,652.00 | - |
Accounts receivable | Sinopharm Fengliaoxing (Foshan) Pharmaceutical Drugs Co., Ltd. | - | - | 3,456.00 | - |
Accounts receivable | Sinopharm Guanai Yuankang Pharmacy (Haikou) Co., Ltd. | - | - | 2,301.60 | - |
Accounts receivable | Sinopharm Holding Shenyang Co., Ltd. | - | - | 440.00 | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Note receivable | Sinopharm Holding Hainan Co., Ltd. | 7,790,377.25 | - | 48,549,280.19 | - |
Note receivable | Sinopharm Holding Hainan Hongyi Co., Ltd. | 3,648,399.46 | - | 9,445,722.78 | - |
Note receivable | Sinopharm Holding Beijing Co., Ltd. | 2,752,320.00 | - | 2,795,361.96 | - |
Note receivable | Sinopharm Holding Shanxi Co., Ltd. | 927,668.77 | - | 650,373.76 | - |
Note receivable | Innostar Biotechnology Nantong Co., Ltd | 15,550.30 | - | - | - |
Note receivable | Sinopharm Holding Shandong Co., Ltd. | - | - | 1,355,084.16 | - |
Note receivable | Sinopharm Lerentang Medicine Co., Ltd. | - | - | 909,517.66 | - |
Note receivable | Sinopharm Holding Zunyi Co., Ltd. | - | - | 803,004.11 | - |
Note receivable | Sinopharm Holding Guizhou Yitong Medicine Co., Ltd. | - | - | 357,540.60 | - |
Note receivable | Sinopharm Holding Anshan Co., Ltd. | - | - | 313,535.20 | - |
Note receivable | Sinopharm Holding Jinzhou Co., Ltd. | - | - | 300,000.00 | - |
Note receivable | Sinopharm Holding Gansu Co., Ltd. | - | - | 175,281.40 | - |
Note receivable | Sinopharm Holding Guizhou Co., Ltd. | - | - | 158,268.10 | - |
Note receivable | Sinopharm Holding Anhui Co., Ltd. | - | - | 140,856.05 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Other receivable | Zhijun Suzhou | 46,334,222.24 | 46,334,222.24 | 46,334,222.24 | Zhijun Suzhou |
Other receivable | Xishuangbanna Disheng Pharmaceutical Co., Ltd. | 16,046,032.95 | - | - | - |
Other receivable | Sinopharm Group Medicine Logistic Co., Ltd. | 3,662,451.54 | - | 2,559,772.89 | - |
Other receivable | Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | 1,106,077.40 | - | 220,000.00 | - |
Other receivable | Sinopharm Shyndec | 983,940.00 | - | 983,940.00 | - |
Other receivable | Sinopharm Holding (China) Financing Lease Co., Ltd. | 938,513.78 | - | 570,000.00 | - |
Other receivable | Sinopharm Holding Fujian Co., Ltd. | 753,015.80 | - | 1,158,302.52 | - |
Other receivable | Sinopharm Zhijun | 421,976.49 | - | 204,351.29 | - |
Other receivable | Sinopharm Holding Sub Marketing Center Co., Ltd. | 414,904.45 | - | - | - |
Other receivable | Sinopharm Holding Shanghai Biomedicine Co., Ltd. | 400,000.00 | - | 400,000.00 | - |
Other receivable | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 398,842.11 | - | - | - |
Other receivable | Guangdong Jienuo | 274,930.00 | - | - | - |
Other receivable | Dalian Yalifeng Biopharmaceutical Co., Ltd. | 180,900.74 | - | 1.00 | - |
Other receivable | Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | 170,025.29 | - | 7,174.98 | - |
Other receivable | Sinopharm Holding Inner Mongolia Co., Ltd. | 142,500.00 | - | 256,500.00 | - |
Other receivable | Sinopharm Holding Xinjiang Xinte Karamay Pharmaceutical Co., Ltd. | 58,582.65 | - | - | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Other receivable | Zhijun Pingshan | 41,684.00 | - | 18,500.00 | - |
Other receivable | Zhijun Trade | 31,573.40 | - | 10,779.42 | - |
Other receivable | Zhang Haiyan | 30,000.00 | - | 30,000.00 | - |
Other receivable | Innostar Biotechnology Nantong Co., Ltd | 15,550.30 | - | - | - |
Other receivable | Sinopharm Medical Instrument Guangxi Medical Technology Co., Ltd. | 12,276.81 | - | - | - |
Other receivable | China National Scientific Instruments & Materials I&E Shenzhen Co., Ltd. | 10,036.80 | - | - | - |
Other receivable | Sinopharm Group Guangxi Medical Device Co., Ltd. | 3,060.93 | - | - | - |
Other receivable | Sinopharm Group Guangdong Medicine Device Co., Ltd. | 1,000.00 | - | 60.00 | - |
Other receivable | China National Medical Device (Hui Zhou) Co., Ltd. | 184.40 | - | - | - |
Other receivable | Du Longfeng | - | - | 2,057,281.04 | - |
Other receivable | Li Huichun | - | - | 2,057,281.04 | - |
Other receivable | Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | - | - | 48,493.16 | - |
Other receivable | Sinopharm Guangdong Medicine Device Supply Chain Co., Ltd. | - | - | 17,397.44 | - |
Other receivable | Sinopharm Zhonglian Pharmaceutical Group Co., Ltd. | - | - | 5,000.00 | 1,000.00 |
Other receivable | Xinjiang Baitong Property Service Co., Ltd. | - | - | 1,300.00 | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Advances to suppliers | Southwest Pharmaceutical Co., Ltd. | 2,675,229.26 | - | - | - |
Advances to suppliers | Nanjing Yuanguang Trading Co., Ltd. | 1,170,978.86 | - | - | - |
Advances to suppliers | Sichuan Hexin Pharmaceutical Co., Ltd. | 710,539.19 | - | - | - |
Advances to suppliers | Shanghai Shyndec Pharmaceutical Marketing Co., Ltd. | 440,791.78 | - | 475,673.07 | - |
Advances to suppliers | Sinopharm Group Guorui Medicine Co., Ltd. | 264,040.41 | - | 307,838.82 | - |
Advances to suppliers | Taiji Group Chongqing Fuling Pharmaceutical Co., Ltd. | 249,048.67 | - | - | - |
Advances to suppliers | Hunan Dongting Pharmaceutical Co., Ltd. | 166,924.76 | - | 176,257.86 | - |
Advances to suppliers | China National Pharmaceutical Industry Co., Ltd. | 149,990.40 | - | - | - |
Advances to suppliers | Shanghai Tongyu Information Technology Co., Ltd. | 132,743.36 | - | - | - |
Advances to suppliers | Sinopharm Holding Hubei Co., Ltd. | 127,076.65 | - | - | - |
Advances to suppliers | Sinopharm Holdings Beijing Huahong co., Ltd. | 104,156.85 | - | 10,984.33 | - |
Advances to suppliers | Suzhou Erye Pharmaceutical Limited Company | 91,135.03 | - | 121,669.23 | - |
Advances to suppliers | Sinopharm Weiqida Pharmaceutical Co., Ltd. | 81,416.71 | - | - | - |
Advances to suppliers | Chongqing Yaoyou Pharmaceutical Co., Ltd. | 55,637.49 | - | 408,984.97 | - |
Advances to suppliers | Sinopharm Holding Sub Marketing Center Co., Ltd. | 45,683.18 | - | 44,662.50 | - |
Advances to suppliers | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 34,469.49 | - | - | - |
Advances to suppliers | Hunan Yaoyou Medicines Co., Ltd. | 26,721.82 | - | - | - |
Advances to suppliers | Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. | 21,057.70 | - | 137,280.00 | - |
Advances to suppliers | Sinopharm Yixin Pharmaceutical Co., Ltd. | 20,757.00 | - | - | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Advances to suppliers | Taiji Group Chongqing Tongjunge Pharmaceutical Co., Ltd. | 14,901.57 | - | - | - |
Advances to suppliers | Foshan Winteam Pharmaceutical Group Ltd. | 13,972.00 | - | - | - |
Advances to suppliers | Taiji Group Gansu Tianshui Xihuang Ejiao Co., Ltd. | 13,648.00 | - | - | - |
Advances to suppliers | Hubei Sinopharm Zhonglian Medicine Co., Ltd. | 13,529.23 | - | 13,529.23 | - |
Advances to suppliers | Taishan Xiangranhui Trade Co., Ltd. | 13,150.03 | - | - | - |
Advances to suppliers | Sinopharm Tongjitang (Guizhou) Pharmaceutical Co., Ltd. | 8,956.01 | - | 8,956.01 | - |
Advances to suppliers | Sinopharm Guangdong Global Pharmaceutical Co., Ltd. | 4,708.38 | - | - | - |
Advances to suppliers | Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. | 2,833.81 | - | 12,393.12 | - |
Advances to suppliers | Sinopharm Holding Dalian Hecheng Co., Ltd. | 2,444.10 | - | - | - |
Advances to suppliers | Sinopharm Holding Shanxi Jincheng Co., Ltd. | 1,837.72 | - | - | - |
Advances to suppliers | Zhang haiyan | 714.29 | - | - | - |
Advances to suppliers | Sinopharm Group | 594.95 | - | 59,577.44 | - |
Advances to suppliers | Shanghai Modern Hasen (Shangqiu) Pharmaceutical Co., Ltd. | 457.48 | - | - | - |
Advances to suppliers | Sinopharm Shyndec | 61.20 | - | 84.97 | - |
Advances to suppliers | Sinopharm Holding Hubei Likang Pharmaceutical Co., Ltd. | 35.08 | - | - | - |
Advances to suppliers | Sinopharm Lerentang Hebei Medicine Co., Ltd. | 0.01 | - | 0.01 | - |
Advances to suppliers | Sinopharm Holding Shanxi Co., Ltd. | - | - | 17,747,100.00 | - |
Advances to suppliers | Sinopharm Group Guangxi Medical Device Co., Ltd. | - | - | 1,850,000.00 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(1). Accounts Receivable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 | ||
Gross carrying amount | Provision for bad debt | Gross carrying amount | Provision for bad debt | ||
Advances to suppliers | Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | - | - | 260,846.15 | - |
Advances to suppliers | Chengdu Rongsheng Pharmacy Co., Ltd. | - | - | 217,055.13 | - |
Advances to suppliers | Lanzhou Biotechnology Development Co., Ltd. | - | - | 180,000.00 | - |
Advances to suppliers | Sinopharm Shantou Jinshi Pharmaceutical Co., Ltd. | - | - | 79,332.33 | - |
Advances to suppliers | Guilin Pharmaceutical Co., Ltd. | - | - | 74,560.00 | - |
Advances to suppliers | Sinopharm Zhijun | - | - | 41,928.00 | - |
Advances to suppliers | Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | - | - | 28,796.22 | - |
Advances to suppliers | Sinopharm Holding Beijing Co., Ltd. | - | - | 14,878.90 | - |
Advances to suppliers | Jinzhou Avanc Pharmaceutical Co., Ltd. | - | - | 8,351.85 | - |
Advances to suppliers | Sinopharm Holding Changsha Co., Ltd. | - | - | 4,476.56 | - |
Advances to suppliers | Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | - | - | 4,021.05 | - |
Advances to suppliers | Sinopharm Group Yibin Pharmaceuticals Co., Ltd. | - | - | 1,377.08 | - |
Advances to suppliers | Sinopharm Holding Yancheng Co., Ltd. | - | - | 703.62 | - |
Advances to suppliers | Fosun Pharmaceutical Distribution Jiangsu Co., Ltd. | - | - | 81.08 | - |
Advances to suppliers | Sinopharm Holding Nanping Newforce Co., Ltd | - | - | 20.46 | - |
Advances to suppliers | Sinopharm Holding Xinye (Hubei) Medicine Co., Ltd. | - | - | 3.40 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Holding Sub Marketing Center Co., Ltd. | 136,420,774.52 | 100,597,889.85 |
Accounts Payable | China National Medicines Co., Ltd. | 94,328,048.04 | 53,510,089.86 |
Accounts Payable | Sinopharm Lerentang Medicine Co., Ltd. | 92,347,900.63 | - |
Accounts Payable | Sinopharm Holding Shanxi Co., Ltd. | 79,515,178.71 | 8,706,339.43 |
Accounts Payable | Sinopharm Holding Shanxi Co., Ltd. | 50,047,053.30 | 698,931.88 |
Accounts Payable | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 46,826,354.95 | 44,967,413.32 |
Accounts Payable | Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | 46,680,139.27 | 31,372,881.57 |
Accounts Payable | Sinopharm Holding Shenyang Co., Ltd. | 42,512,516.24 | 17,044,758.52 |
Accounts Payable | Sinopharm Group Co., Ltd. | 38,594,822.49 | 30,169,144.90 |
Accounts Payable | Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | 23,252,792.65 | 14,299,613.79 |
Accounts Payable | Lanzhou Biotechnology Development Co., Ltd. | 17,238,914.69 | - |
Accounts Payable | Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | 15,460,751.55 | 6,926,143.50 |
Accounts Payable | Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | 15,071,393.38 | 13,211,593.60 |
Accounts Payable | Sinopharm Yixin Pharmaceutical Co., Ltd. | 12,922,894.16 | 5,223,703.27 |
Accounts payable | Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | 12,538,440.66 | 11,917,795.97 |
Accounts Payable | Sinopharm Holding Jilin Co., Ltd. | 12,238,802.76 | 4,774,676.38 |
Accounts Payable | Sinopharm Holding Lunan Co., Ltd. | 10,975,399.71 | - |
Accounts Payable | Chongqing Yaoyou Pharmaceutical Co., Ltd. | 10,259,242.11 | 3,319,845.70 |
Accounts Payable | Sinopharm Holding Tongliao Co., Ltd. | 9,464,045.96 | 802,269.56 |
Accounts Payable | Shanghai Henlius Biopharmaceuticals Co., Ltd. | 9,349,231.90 | 3,489,402.52 |
Accounts Payable | Sinopharm Holding Yangzhou Co., Ltd. | 9,270,870.65 | 6,056,767.80 |
Accounts Payable | Sinopharm Holding Fujian Co., Ltd. | 8,787,141.12 | 5,306,468.57 |
Accounts Payable | Main Luck Pharmaceutical | 8,563,894.25 | 5,586,186.27 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Holding Shanxi Zhongjian Medical Device Chain Co., Ltd. | 8,116,781.92 | 4,873,657.16 |
Accounts Payable | Sinopharm Holding Inner Mongolia Co., Ltd. | 7,811,861.15 | 2,761,321.64 |
Accounts Payable | Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | 7,687,260.65 | 3,588,817.09 |
Accounts Payable | Sinopharm Holding Xinjiang Xinte Shenrong Pharmaceutical Co., Ltd. | 7,418,455.79 | 3,753,212.37 |
Accounts Payable | Sinopharm Holding Jiangsu Co., Ltd. | 6,986,215.82 | 6,211,219.22 |
Accounts Payable | Sinopharm Group Shanxi Medical Devices Co., Ltd. | 6,366,021.31 | 6,105,947.86 |
Accounts Payable | Sinopharm Holding Shandong Co., Ltd. | 6,124,476.27 | 793,417.76 |
Accounts Payable | Yunnan Sinopharm Holding Dongchang Medicine Co., Ltd. | 5,922,302.36 | 1,660,475.22 |
Accounts Payable | Foshan Winteam Pharmaceutical Group Ltd. | 5,488,616.17 | 5,032,327.78 |
Accounts Payable | Sinopharm Holding Hunan Co., Ltd. | 4,923,319.80 | 407,092.81 |
Accounts Payable | Shenzhen Wanwei Medicine Trading Co., Ltd. | 4,869,268.33 | 883,982.13 |
Accounts Payable | Sinopharm Holding Beijing Co., Ltd. | 4,868,848.38 | 2,391,873.73 |
Accounts Payable | Hutchison Whampoa Sinopharm Pharmaceuticals (Shanghai) Co., Ltd. | 4,559,628.22 | 626,104.94 |
Accounts Payable | Yichang Humanwell Pharmaceutical Co., Ltd. | 4,470,996.08 | 702,352.60 |
Accounts Payable | Jinzhou Avanc Pharmaceutical Co., Ltd. | 4,411,339.82 | 4,977,249.88 |
Accounts Payable | Sinopharm Holding Henan Co., Ltd. | 4,396,344.31 | 3,206,888.96 |
Accounts Payable | Zhijun Pingshan | 4,272,258.25 | 3,854,209.10 |
Accounts Payable | China Otsuka Pharmaceutical Co., Ltd. | 3,739,214.15 | 2,677,852.24 |
Accounts Payable | Sinopharm Holding Xiamen Co., Ltd. | 3,388,026.93 | 551,570.55 |
Accounts Payable | China National Pharmaceutical Foreign Trade Corporation | 3,183,468.89 | 1,264,206.58 |
Accounts Payable | Sinopharm Holding Ningxia Co., Ltd. | 3,139,723.50 | 2,414,511.01 |
Accounts Payable | Sinopharm Holding Jinzhou Co., Ltd. | 3,002,980.96 | 1,176,931.82 |
Accounts Payable | Sinopharm Holding Changzhou Co., Ltd. | 2,986,094.33 | 4,061,240.62 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Tibet Yaoyou Medicines Co., Ltd. | 2,766,861.56 | 5,599,734.54 |
Accounts Payable | Sinopharm Zhijun | 2,752,553.26 | 2,204,850.71 |
Accounts Payable | Taiji Group Chongqing Lingling Pharmaceutical Factory Co., Ltd | 2,678,260.95 | - |
Accounts Payable | Sinopharm Fengliaoxing (Foshan) Pharmaceutical Drugs Co., Ltd. | 2,635,957.97 | 2,029,331.09 |
Accounts Payable | Sinopharm Holding Shanxi Dajiuzhou Medicine Co., Ltd. | 2,503,237.00 | 206,174.46 |
Accounts Payable | Sinopharm Holding Pingdingshan Co., Ltd. | 2,334,135.94 | 3,110,222.71 |
Accounts Payable | Sinopharm Holding Beijing Kangchen Bio-Pharmaceutical Co., Ltd. | 2,297,132.34 | 1,402,636.20 |
Accounts Payable | Shanghai International Pharmaceutical Trade Co., Ltd. | 2,268,132.84 | 2,140,826.76 |
Accounts Payable | Taiji Group Chongqing Junge Pharmaceutical Co., Ltd | 2,209,845.30 | - |
Accounts Payable | Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. | 2,169,689.83 | 1,345,750.22 |
Accounts Payable | Sinopharm Advanced (Shanghai) Medical Device Co., Ltd. | 2,018,301.45 | 474.35 |
Accounts Payable | Sinopharm Holding Anshan Co., Ltd. | 1,921,040.94 | 210,514.52 |
Accounts Payable | Sinopharm Holding Hulun Buir Co., Ltd. | 1,723,560.47 | 862,728.46 |
Accounts Payable | Sinopharm Holding Shanghai Likang Pharmaceutical Co., Ltd. | 1,664,002.07 | 1,179,431.76 |
Accounts Payable | Sinopharm Jiankun (Beijing) Medicine Co., Ltd. | 1,558,885.49 | 236,040.00 |
Accounts Payable | Sinopharm Zhonglian Pharmaceutical Group Co., Ltd. | 1,528,102.51 | 450,506.71 |
Accounts Payable | Sinopharm Holding Wuxi Co., Ltd. | 1,475,312.09 | 839,716.25 |
Accounts Payable | Sinopharm Huixinqinyuan (Beijing) Technology Development Co., Ltd. | 1,406,460.00 | 1,315,880.00 |
Accounts Payable | Fosun Pharmaceutical Distribution Jiangsu Co., Ltd. | 1,396,404.21 | 1,404,453.04 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Holding Jinan Co., Ltd. | 1,378,772.68 | 5,044.24 |
Accounts Payable | Sinopharm Liaoning Medical Equipment Co., Ltd. | 1,332,215.59 | 801,190.96 |
Accounts Payable | Beijing Huasheng Pharmaceutical Biotechnology Development Co., Ltd. | 1,210,637.01 | 275,637.01 |
Accounts Payable | Sinopharm Holding Donghong Medical (Shanghai) Co., Ltd. | 1,191,544.83 | 189,625.02 |
Accounts Payable | Shanghai Shyndec Pharmaceutical Marketing Co., Ltd. | 1,120,294.14 | 1,198,963.22 |
Accounts Payable | Sinopharm Group, Southwest Pharmaceutical Co., Ltd. | 889,435.22 | - |
Accounts Payable | Sinopharm Holding Beijing Tianxing Puxin Biological Medical Co., Ltd. | 878,317.60 | 1,495,702.47 |
Accounts Payable | Sinopharm Group Guorui Medicine Co., Ltd. | 847,231.99 | 1,029,635.96 |
Accounts Payable | Jinzhou Avanc Medicine Co., Ltd. | 774,228.85 | 2,251,486.36 |
Accounts Payable | Sinopharm Luya (Shandong) Pharmaceutical Co., Ltd. | 717,286.31 | 1,728,265.11 |
Accounts Payable | Sinopharm Holding Heilongjiang Co., Ltd. | 709,357.70 | 811,310.59 |
Accounts Payable | Sinopharm Holding Linfen Ningle Pharmaceutical Co., Ltd. | 702,647.45 | 7,414.31 |
Accounts Payable | Sinopharm Tongjitang (Guizhou) Pharmaceutical Co., Ltd. | 661,183.36 | 560,063.40 |
Accounts Payable | Sinopharm Holding Xinjiang Special Drugs Karamay Pharmaceutical Co., Ltd. | 651,582.93 | 659,567.18 |
Accounts Payable | Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | 641,043.63 | 714,642.68 |
Accounts Payable | Fujian Chentian Jinling Pharmaceutical Co., Ltd. | 639,896.10 | 639,896.10 |
Accounts Payable | Huayi Pharmaceutical Co., Ltd. | 622,400.00 | 110,159.29 |
Accounts Payable | China National Pharmaceutical Industry Co., Ltd. | 563,196.30 | 614,940.77 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Southwest Pharmaceutical Co., Ltd | 498,114.40 | - |
Accounts Payable | Sinopharm Holding Zhihuiminsheng (Tianjin) Pharmaceutical Co., Ltd. | 483,577.38 | 763,894.30 |
Accounts Payable | Sinopharm ChuanKang Pharmaceutical Co., Ltd. | 483,468.40 | 228,071.04 |
Accounts Payable | Yunnan Tianjiang Yifang Pharmaceutical Co., Ltd. | 475,579.30 | 792,663.67 |
Accounts Payable | Shanghai Transfusion Technology Co., Ltd. | 452,700.00 | 301,800.00 |
Accounts Payable | Sinopharm Lingyun Biopharmaceutical (Shanghai) Co., Ltd. | 451,033.67 | 553,653.19 |
Accounts Payable | Jiangxi Erye Medicine Marketing Co., Ltd. | 437,250.19 | 134,268.38 |
Accounts Payable | Sichuan Hexin Pharmaceutical Co., Ltd. | 414,600.00 | 1,164,727.22 |
Accounts Payable | Sinopharm Holdings Chuangke Medical Technology (Guangxi) Co., Ltd | 405,660.80 | - |
Accounts Payable | Sinopharm Holdings Benxi Co., LTD | 356,397.10 | - |
Accounts Payable | Sinopharm Holding Tianjin Co., Ltd. | 352,357.23 | 95,084.93 |
Accounts Payable | Sinopharm Holding Yancheng Co., Ltd. | 344,929.57 | - |
Accounts Payable | Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | 338,359.74 | 390,349.10 |
Accounts Payable | Sinopharm Holding Special Drugs Shihezi Pharmaceutical Co., Ltd. | 337,497.87 | 126,985.40 |
Accounts Payable | Hunan Dongting Pharmaceutical Co., Ltd. | 335,196.57 | 667,433.56 |
Accounts Payable | Jiangsu Huanghe Pharmaceutical Co., Ltd. | 334,470.96 | 229,932.46 |
Accounts Payable | Suzhou Erye Pharmaceutical Limited Company | 332,911.50 | 350,413.20 |
Accounts Payable | Sinopharm Lerentang Qinhuangdao Pharmaceutical Trading Co., Ltd. | 325,253.73 | 355,710.50 |
Accounts Payable | Sinopharm Holding Hubei Co., Ltd. | 325,147.65 | 706,495.38 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Holding Fuzhou Co., Ltd. | 294,318.62 | 655,028.77 |
Accounts Payable | Sinopharm Holding Anhui Huaning Medicine Co., Ltd. | 292,609.10 | 248,701.04 |
Accounts Payable | GlaxoSmithKline Pharmaceuticals (Suzhou) Co., Ltd. | 286,776.33 | 156,960.48 |
Accounts Payable | Taiji Group Sichuan Mianyang Pharmaceutical Co., Ltd | 284,788.67 | - |
Accounts Payable | Sinopharm Group Yibin Pharmaceuticals Co., Ltd. | 281,130.03 | 286,441.67 |
Accounts Payable | Sinopharm Holding Yangzhou Medical Treatment Equipment Co., Ltd. | 280,247.31 | 347,738.10 |
Accounts Payable | Sinopharm Holding Pu’er Co., Ltd. | 267,364.71 | 126,457.83 |
Accounts Payable | Sinopharm Holding Dalian Co., Ltd. | 260,998.30 | 372,970.88 |
Accounts Payable | Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. | 246,191.00 | 412,372.07 |
Accounts Payable | Shanghai Merro Pharmaceutical Co., Ltd. | 243,184.50 | 196,678.40 |
Accounts Payable | Sinopharm Holding Yunnan Co., Ltd. | 239,684.27 | 128,094.48 |
Accounts Payable | Sinopharm Holding Shanghai Biomedicine Co., Ltd. | 198,359.00 | 182,202.00 |
Accounts Payable | Sinopharm Xinjiang Pharmaceutical Co., Ltd. | 191,183.73 | 94,780.05 |
Accounts Payable | Sinopharm Shanxi ruifulai Pharmaceutical Co., Ltd | 163,015.43 | - |
Accounts Payable | Sinopharm Holding Putian Co., Ltd. | 160,656.67 | 224,611.58 |
Accounts Payable | Shanghai Shangsheng Biological Products Co., Ltd. | 153,756.00 | 194,400.00 |
Accounts Payable | Sichuan Jiangyou Zhongba Fuzi Technology Development Co., Ltd | 148,143.06 | - |
Accounts Payable | Chengdu Institute of Biological Products Co., Ltd. | 140,400.00 | 374,400.00 |
Accounts Payable | Sinopharm Holdings Beijing Huahong co., Ltd. | 139,337.70 | 68,274.07 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Holding Hunan Pharmaceutical Development Co., Ltd. | 136,890.18 | 105,438.07 |
Accounts Payable | Sinopharm Holding Shanxi Mingdikang Medicine Co., Ltd. | 113,139.81 | 47,953.27 |
Accounts Payable | Sinopharm Holding Biopharmaceutical (Tianjin) Co., Ltd. | 106,718.02 | 106,918.61 |
Accounts Payable | Chengdu Rongsheng Pharmacy Co., Ltd. | 100,794.89 | 100,000.02 |
Accounts Payable | Sinopharm Holding Zhejiang Co., Ltd. | 100,418.02 | 30,316.89 |
Accounts Payable | Sinopharm Holding Bayannur Co., Ltd. | 96,966.40 | 69,930.10 |
Accounts Payable | Wuhan Zhongsheng Yujin biomedical Co., Ltd | 88,504.00 | - |
Accounts Payable | Sinopharm Shantou Jinshi Pharmaceutical Co., Ltd. | 88,254.41 | 135,961.28 |
Accounts Payable | Sinopharm Holding Quanzhou Co., Ltd. | 81,315.39 | 203,348.93 |
Accounts Payable | Shanghai Chaohui Pharmaceutical Co., Ltd. | 77,054.61 | 1,020,709.97 |
Accounts Payable | Sinopharm Holding Huaideju (Xiamen) Pharmacy Co., Ltd. | 76,448.34 | 84.48 |
Accounts Payable | Sinopharm holding Xinte Yili Pharmaceutical Co., Ltd | 68,861.47 | - |
Accounts Payable | Shenyang Hongqi Pharmaceutical Co., Ltd. | 65,372.23 | 165,983.07 |
Accounts Payable | Sinopharm Holding Nantong Co., Ltd | 61,946.90 | - |
Accounts Payable | Shantou Jinshi Powder Injection Co., Ltd. | 61,662.00 | 72,590.24 |
Accounts Payable | Sinopharm Device (Guangdong) Medical Technology Co., Ltd. | 58,450.50 | 76,078.94 |
Accounts Payable | Taiji Group Ltd | 47,123.91 | - |
Accounts Payable | Sinopharm Holding Chifeng Co., Ltd | 46,663.80 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm Inner Mongolia Medical Instrument Co., Ltd | 39,551.00 | - |
Accounts Payable | Sinopharm Holding Nanping New Power Co., Ltd | 38,961.61 | - |
Accounts Payable | Sinopharm Holding Dezhou Co., Ltd. | 37,534.02 | 45,750.41 |
Accounts Payable | Sinopharm Sanyi Medicine (Wuhu) Co., Ltd. | 35,199.94 | 26,646.40 |
Accounts Payable | Sinopharm Holding Anhui Co., Ltd. | 34,219.90 | - |
Accounts Payable | Sinopharm Holding Changzhou Medical Logistics Center Co., Ltd. | 32,872.49 | 32,872.49 |
Accounts Payable | Sinopharm (Anhui) Jingfang Pharmaceutical Co., Ltd. | 32,814.69 | 59,773.89 |
Accounts Payable | Sinopharm holding Shanxi Linfen Co., Ltd | 31,242.18 | - |
Accounts Payable | Shanghai Modern Hasen (Shangqiu) Pharmaceutical Co., Ltd. | 30,432.28 | 31,024.85 |
Accounts Payable | Sinopharm Holding Changsha Co., Ltd. | 30,339.75 | - |
Accounts Payable | Taiji Group Zhejiang Dongfang Pharmaceutical Co., Ltd | 30,277.66 | - |
Accounts Payable | Sinopharm Beijing Huamiao Pharmaceutical Co., Ltd. | 26,862.15 | 131,751.68 |
Accounts Payable | Sinopharm Guangdong Global Pharmaceutical Co., Ltd. | 25,018.25 | 28,464.87 |
Accounts Payable | Sinopharm Wuhan Zhonglian Siyao Pharmaceutical Co., Ltd. | 19,500.56 | 147,224.95 |
Accounts Payable | Chongqing Haisiman Pharmaceutical Co., Ltd. | 18,488.82 | 18,488.82 |
Accounts Payable | Sinopharm Holding Ulanqab Co., Ltd. | 16,092.20 | 36,092.20 |
Accounts Payable | Sinopharm Holding Nanjing Wende Pharmaceutical Co., Ltd. | 15,958.84 | 10,858.84 |
Accounts Payable | Sinopharm Holding Taizhou Co., Ltd. | 11,239.87 | 17,598.01 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | China National Medical Device (Hui Zhou) Co., Ltd. | 8,950.00 | 805.31 |
Accounts Payable | China Medical Equipment Shandong Co., Ltd. | 7,303.36 | 29,843.36 |
Accounts Payable | Sinopharm Holding Changsha Gaoxin Medicine Co., Ltd. | 5,825.00 | 12,900.00 |
Accounts Payable | Sinopharm holding Hainan Hongyi Co., Ltd | 4,960.00 | - |
Accounts Payable | Changchun Changsheng Gene Pharmaceutical Co., Ltd. | 3,017.25 | 3,807.25 |
Accounts Payable | Sinopharm Holding Yangzhou Biological Products Co., Ltd. | 2,378.07 | 149,183.90 |
Accounts Payable | Sinopharm holding Xinye (Hubei) Pharmaceutical Co., Ltd | 2,170.00 | - |
Accounts Payable | Sinopharm Holding Ordos Co., Ltd. | 1,771.20 | 1,771.20 |
Accounts Payable | Sinopharm Nutraceuticals (Shanghai) Co., Ltd. | 1,461.55 | 1,461.56 |
Accounts Payable | Sinopharm Dezhong (Foshan) Pharmaceutical Co., Ltd. | 1,244.76 | 5,453.55 |
Accounts Payable | Sinopharm Holding Huaideju Pharmaceutical (Xiamen) Co., Ltd. | 1,113.85 | 2,229.36 |
Accounts Payable | Sinopharm holding Guang'an Co., Ltd | 857.31 | - |
Accounts Payable | Guilin Pharmaceutical Co., Ltd. | 627.25 | 627.25 |
Accounts Payable | Sinopharm Anhui Great Health Industry Co., Ltd | 504.00 | - |
Accounts Payable | Sinopharm Holding Zhangzhou Co., Ltd. | 468.00 | 2,119.78 |
Accounts Payable | Sinopharm Holding Liaocheng Co., Ltd. | 174.00 | 174.00 |
Accounts Payable | Sinopharm Fengliaoxing (Foshan) Medicines Co., Ltd. | 127.72 | 127.72 |
Accounts Payable | Chengdu List Pharmaceutical Co., Ltd. | 72.89 | 1,756.39 |
Accounts Payable | Natong Biotechnology (Beijing) Co., Ltd | 63.72 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Accounts Payable | Sinopharm holding Jilin Medical Instrument Co., Ltd | 47.50 | 47.50 |
Accounts Payable | Sinopharm holding Chongqing Co., Ltd | 45.00 | - |
Accounts Payable | Sinopharm Shyndec | 15.61 | 612.78 |
Accounts Payable | Sinopharm Holding Suzhou Co., Ltd. | 13.09 | 13.09 |
Accounts Payable | Sinopharm Holding Linfen Co., Ltd | 5.00 | 5.30 |
Accounts Payable | Sinopharm Holding Xinyu Co., Ltd | 0.01 | 0.01 |
Accounts Payable | Sinopharm Group Guangxi Medical Device Co., Ltd. | - | 1,637,168.14 |
Accounts Payable | Sinopharm Holding Shanxi Jinzhong Co., Ltd. | - | 304,455.20 |
Accounts Payable | Sinopharm Holding Baotou Co., Ltd. | - | 16,443.00 |
Accounts Payable | Sinopharm Holding Dalian Hecheng Co., Ltd. | - | 3,169.55 |
Accounts Payable | Sinopharm Holding Shanxi Jincheng Co., Ltd. | - | 2,233.33 |
Accounts Payable | Sinopharm Group Shanghai Medicine Device Co., Ltd. | - | 209.96 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Notes Payable | Sinopharm Lerentang Medicine Co., Ltd. | 178,726,114.00 | 133,513,118.91 |
Notes Payable | Sinopharm Holding Sub Marketing Center Co., Ltd. | 98,532,398.98 | 145,007,748.49 |
Notes Payable | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 86,581,666.40 | 34,904,620.08 |
Notes Payable | China National Medicines Co., Ltd. | 46,854,819.69 | 21,240,547.39 |
Notes Payable | Sinopharm Holding Shanxi Co., Ltd. | 37,255,237.87 | 96,475,832.70 |
Notes Payable | Sinopharm Holding Shanxi Co., Ltd. | 29,956,295.04 | 147,484,839.36 |
Notes Payable | Sinopharm Holding Shenyang Co., Ltd. | 27,343,806.55 | 23,666,333.81 |
Notes Payable | Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | 19,093,642.80 | 42,481,785.07 |
Notes Payable | Sinopharm Holding Lunan Co., Ltd. | 15,322,762.00 | 4,500,000.00 |
Notes Payable | Sinopharm Holding Yangzhou Co., Ltd. | 13,766,896.93 | 4,300,000.00 |
Notes Payable | Chengdu Rongsheng Pharmacy Co., Ltd. | 12,003,000.00 | 10,368,750.00 |
Notes Payable | Sinopharm Holding Inner Mongolia Co., Ltd. | 11,789,525.01 | 20,429,758.48 |
Notes Payable | Sinopharm Holding Fujian Co., Ltd. | 9,086,169.43 | 15,606,964.31 |
Notes Payable | Sinopharm Holding Tongliao Co., Ltd. | 8,146,891.51 | - |
Notes Payable | Sinopharm Holding Jilin Co., Ltd. | 7,870,548.03 | 430,080.28 |
Notes Payable | Sinopharm Lerentang Hebei Medical Instrument Trade Co., Ltd. | 7,734,939.35 | 5,681,012.75 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Notes Payable | Lanzhou Biotechnology Development Co., Ltd | 6,720,000.00 | 34,920,000.00 |
Notes Payable | Sinopharm Holding Xiamen Co., Ltd. | 6,189,287.86 | 3,173,200.37 |
Notes Payable | Chongqing Yaoyou Pharmaceutical Co., Ltd. | 5,683,557.40 | 2,693,445.70 |
Notes Payable | Sinopharm Holding Pingdingshan Co., Ltd. | 5,644,930.05 | 3,000,000.00 |
Notes Payable | Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. | 5,339,586.09 | 1,978,218.04 |
Notes Payable | Sinopharm Holding Henan Co., Ltd. | 4,804,061.33 | - |
Notes Payable | Sinopharm Holding Xinjiang Special Drugs Western Pharmaceutical Co., Ltd. | 4,226,969.98 | 2,840,425.46 |
Notes Payable | Sinopharm Group | 3,360,257.39 | 15,665,754.04 |
Notes Payable | Sinopharm Holding Hunan Co., Ltd. | 3,296,556.25 | 769,724.44 |
Notes Payable | Foshan Winteam Pharmaceutical Group Ltd. | 2,988,970.44 | 1,047,709.72 |
Notes Payable | Main Luck Pharmaceutical | 2,505,357.14 | 1,274,104.80 |
Notes Payable | Sinopharm Holding Huaideju (Xiamen) Pharmacy Co., Ltd. | 2,400,044.48 | 4,755,780.00 |
Notes Payable | China Otsuka Pharmaceutical Co., Ltd. | 1,571,497.60 | 2,321,674.00 |
Notes Payable | Sinopharm Holding Hulun Buir Co., Ltd. | 1,278,836.38 | - |
Notes Payable | Sinopharm Holding Ningxia Co., Ltd. | 1,268,500.30 | 2,139,620.00 |
Notes Payable | Sinopharm Jiankun (Beijing) Medicine Co., Ltd. | 1,213,920.00 | 1,911,680.00 |
Notes Payable | Sinopharm Holding Dalian Co., Ltd. | 1,180,305.76 | 1,269,329.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Notes Payable | Sinopharm Holding Jinan Co., Ltd. | 1,107,000.00 | 650,000.00 |
Notes Payable | Sinopharm Holding Heilongjiang Co., Ltd. | 1,031,283.29 | - |
Notes Payable | Sinopharm Holding Lerentang Hebei Pharmaceutical Co., Ltd. | 913,177.02 | 1,777,689.35 |
Notes Payable | Sinopharm Fengliaoxing (Foshan) Pharmaceutical Drugs Co., Ltd. | 865,606.40 | 715,196.92 |
Notes Payable | Shanghai Shyndec Pharmaceutical Marketing Co., Ltd. | 743,698.80 | 267,514.80 |
Notes Payable | Fosun Pharmaceutical Distribution Jiangsu Co., Ltd. | 740,537.68 | 754,075.83 |
Notes Payable | Jinzhou Avanc Medicine Co., Ltd. | 609,930.00 | 655,110.00 |
Notes Payable | Sinopharm Holding Yancheng Co., Ltd. | 563,801.29 | 967,264.56 |
Notes Payable | Shenzhen Wanwei Medicine Trading Co., Ltd. | 521,432.00 | 597,769.76 |
Notes Payable | Sinopharm Zhijun | 471,834.29 | 636,206.80 |
Notes Payable | Taiji Group Chongqing Lingling Pharmaceutical Factory Co., Ltd | 427,400.50 | - |
Notes Payable | Shanghai Transfusion Technology Co., Ltd. | 402,400.00 | 251,500.00 |
Notes Payable | Sinopharm Zhonglian Pharmaceutical Group Co., Ltd. | 330,347.20 | 116,747.00 |
Notes Payable | Sinopharm Wuhan Blood Products Co., Ltd. | 281,200.00 | 420,000.00 |
Notes Payable | Wuhan Zhongsheng Jin Biopharmaceutical Co., Ltd | 265,512.00 | - |
Notes Payable | Sinopharm Holding Bayannur Co., Ltd. | 221,930.30 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Notes Payable | Sinopharm Holding Quanzhou Co., Ltd. | 212,549.38 | 1,347,279.74 |
Notes Payable | Sinopharm Holding Anshan Co., Ltd. | 199,777.75 | 63,415.75 |
Notes Payable | Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. | 112,420.00 | 278,588.10 |
Notes Payable | Sinopharm Holding Nanping New Power Co., Ltd | 97,439.62 | 100,557.27 |
Notes Payable | Sinopharm Wuhan Zhonglian Siyao Pharmaceutical Co., Ltd. | 50,000.00 | - |
Notes Payable | Sinopharm Holding Changsha Co., Ltd. | 46,237.84 | 29,765.60 |
Notes Payable | Sinopharm Yixin Pharmaceutical Co., Ltd. | - | 14,416,290.57 |
Notes Payable | Sinopharm Lerentang Shijiazhuang Medicine Co., Ltd. | - | 2,946,186.04 |
Notes Payable | Sinopharm Holding Tianjin Co., Ltd. | - | 2,365,453.12 |
Notes Payable | China Medical Devices Co., Ltd | - | 1,743,360.00 |
Notes Payable | Sinopharm Group Shanxi Medical Devices Co., Ltd. | - | 1,431,000.00 |
Notes Payable | Sinopharm Holding Jinzhou Co., Ltd. | - | 1,222,139.83 |
Notes Payable | Sinopharm Holding Linfen Ningle Pharmaceutical Co., Ltd. | - | 564,116.00 |
Notes Payable | Sinopharm Holding Shanxi Dajiuzhou Medicine Co., Ltd. | - | 537,224.53 |
Notes Payable | Sinopharm Holding Shanxi Jinzhong Co., Ltd. | - | 102,211.00 |
Notes Payable | Fujian Chentian Jinling Pharmaceutical Co., Ltd. | - | 71,204.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Other Payable | Sinopharm Group | 5,313,664.01 | 4,146,496.53 |
Other Payable | National Pharmaceutical Group Pharmaceutical Logistics Co., Ltd | 4,715,402.44 | 2,825,718.21 |
Other Payable | Zhenfang Zhang | 4,322,499.97 | 3,919,999.95 |
Other Payable | China Pharmaceutical Group Shanghai Co., Ltd | 1,660,431.38 | 3,619,450.06 |
Other Payable | China Traditional Chinese Medicine Co., Ltd | 1,300,000.00 | 1,300,000.00 |
Other Payable | Sinopharm Holding Zhihuiminsheng (Tianjin) Pharmaceutical Co., Ltd. | 518,400.00 | 165,906.00 |
Other Payable | National Pharmaceutical Health Online Co., Ltd | 414,492.64 | 185,980.18 |
Other Payable | Shanghai North Wing Guoda Pharmaceutical Co., Ltd | 286,498.20 | 364,905.28 |
Other Payable | Sinopharm Holdings (Tianjin Binhai) Pharmaceutical Co., Ltd | 241,760.00 | - |
Other Payable | Shanghai Tongyu Information Technology Co., Ltd | 180,338.49 | 249,892.49 |
Other Payable | Sinopharm holding Hunan Wei'an pharmacy chain Co., Ltd | 104,625.76 | 104,626.65 |
Other Payable | Sinopharm Holdings Beijing Huahong co., Ltd. | 104,156.84 | - |
Other Payable | Sinopharm Holding Sub Marketing Center Co., Ltd. | 37,817.38 | 37,871.38 |
Other Payable | Zhijun Pingshan | 25,458.72 | - |
Other Payable | Foshan Winteam Pharmaceutical Group Ltd. | 7,280.00 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Other Payable | Sinopharm Group Chemical Reagent Co., Ltd | 6,980.00 | - |
Other Payable | Jiangsu Wanbang Pharmacy Marketing Co., Ltd. | 2,800.00 | - |
Other Payable | Fresenius Kabi Huarui Pharmaceuticals Co., Ltd. | 6.28 | 6.28 |
Other Payable | Pingdingshan Pusheng Pharmaceutical Co., Ltd | - | 515,857.96 |
Other Payable | Sinopharm Holding Yangzhou Co., Ltd. | - | 372,571.40 |
Other Payable | Fujian Chentian Jinling Pharmaceutical Co., Ltd. | - | 50,000.00 |
Other Payable | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 22,401.28 | |
Other Payable | Haiyan Zhang | - | 1,422.03 |
Other Payable | Chengdu Institute of Biological Products Co., Ltd. | - | 327.60 |
Other Payable | Sinopharm Guangdong Global Pharmaceutical Co., Ltd. | - | 126.63 |
Other Payable | Shenzhen Wanwei Medicine Trading Co., Ltd. | - | 123.46 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Contract liability | Sinopharm lerentang Qinhuangdao Pharmaceutical Co., Ltd | 72,666.90 | 97,625.80 |
Contract liability | Sinopharm Holding Shenyang Co., Ltd. | 64,281.72 | 64,395.72 |
Contract liability | Sinopharm Holding Yunnan Co., Ltd. | 64,039.40 | 186,666.45 |
Contract liability | Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 50,924.30 | - |
Contract liability | Sinopharm Holding Qianxinan Co., Ltd | 30,905.31 | - |
Contract liability | Sinopharm Holding Wuhu Co., Ltd | 30,384.00 | 30,384.00 |
Contract liability | Sinopharm lerentang Cangzhou Pharmaceutical Co., Ltd | 25,691.00 | 25,691.00 |
Contract liability | Sinopharm Holding Hulun Buir Co., Ltd. | 21,177.25 | 21,177.25 |
Contract liability | Sinopharm Holding Gansu Co., Ltd | 21,960.00 | 21,960.00 |
Contract liability | Sinopharm Group Guizhou (Zunyi) Medical Instrument Co., Ltd | 5,743.36 | - |
Contract liability | Sinopharm lerentang Shijiazhuang medical management Co., Ltd | 5,134.40 | - |
Contract liability | Sinopharm Holding Guizhou medical device Co., Ltd | 2,929.38 | 1,140.71 |
Contract liability | Sinopharm lerentang Tangshan Pharmaceutical Co., Ltd | 1,734.36 | - |
Contract liability | Jiangmen Xinhui Jianfeng Pharmaceutical Co., Ltd | 1,368.00 | - |
Contract liability | Sinopharm Holding Chongqing Co., Ltd | 755.62 | 3,523.35 |
Contract liability | Sinopharm Instrument Guizhou Qiannan Co., Ltd | 524.51 | - |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
6. Amounts due from/to related parties (Continued)
(2). Accounts Payable (Continued)
Item | Related Party | 30 June 2021 | 31 December 2020 |
Contract liability | Sinopharm Holding Tongren Co., Ltd | 438.00 | - |
Contract liability | Sinopharm Holding Inner Mongolia Co., Ltd. | 83.60 | 83.60 |
Contract liability | Sinopharm holding (Shandong) medical device Co., Ltd | 64.00 | - |
Contract liability | Sinopharm Holding Huai'an Co., Ltd | 19.40 | 19.40 |
Contract liability | Sinopharm Holding Nantong Co., Ltd | - | 1,074,470.38 |
Contract liability | Qianda international trade (Shanghai) Co., Ltd | - | 783,640.00 |
Contract liability | Sinopharm Holding Anhui Co., Ltd. | - | 154,870.80 |
Contract liability | Sinopharm Holding Nanjing Wende Pharmaceutical Co., Ltd. | - | 98,901.00 |
Contract liability | Sinopharm Lerentang Medicine Co., Ltd. | - | 40,366.72 |
Contract liability | Sinopharm Holding Jilin Co., Ltd. | - | 23,017.49 |
Contract liability | Sinopharm Holding Shaanxi Co., Ltd | - | 14,791.76 |
Contract liability | Sinopharm lerentang Chengde Pharmaceutical Co., Ltd | - | 10,976.96 |
Contract liability | Sinopharm lerentang Hengshui Pharmaceutical Co., Ltd | - | 10,276.41 |
Contract liability | Sinopharm Holding Taizhou Co., Ltd. | - | 6,593.40 |
Contract liability | Dongyuan Accord | - | 855.00 |
Contract liability | Sinopharm Holding Jiangxi Co., Ltd. | - | 190.98 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
7. Commitments of Related Party
Lease commitmentRent-out
Related Party | 30 June 2021 | 31 December 2020 |
Beijing Golden Elephant Fosun Pharmaceutical Co., Ltd. | 199,999.99 | 266,666.66 |
Sinopharm Holding Hunan Weian Pharmacy Medicine Chain Company Limited | 85,085.99 | 187,187.99 |
Rent-in
Related Party | 30 June 2021 | 31 December 2020 |
Sinopharm Holding Yangzhou Co., Ltd. | 16,794,214.38 | 19,560,000.00 |
Zhang Yechuan | 8,910,988.61 | 5,777,181.67 |
Sinopharm Group Medicine Logistic Co., Ltd. | 7,290,000.00 | - |
Shaoguan Wujiang District Muyang Medicine Information Consultant Co., Ltd. | 7,208,388.45 | 7,717,215.87 |
Shenyang Pharmaceutical Co., Ltd. | 7,142,857.14 | 2,976,190.55 |
Sinopharm Group | 6,631,429.92 | - |
Lerentang Investment Group Co., Ltd. | 5,617,201.82 | 10,178,669.70 |
Sinopharm Group Xinjiang Special Drugs National Pharmaceutical Co., Ltd. | 2,748,595.47 | - |
Guangxi Yifang Tianjiang Pharmaceutical Co., Ltd. | 2,723,965.98 | 3,974,949.26 |
Xiong xinyuan | 2,582,102.83 | - |
Guangdong Jiyuantang Development Co., Ltd. | 1,990,209.48 | 3,180,113.86 |
Li Fang | 1,906,800.00 | 2,179,200.00 |
Sinopharm Holding Beijing Co., Ltd. | 1,557,142.84 | 123,809.52 |
Shenyang Shengdiou Trading Co., Ltd. | 1,499,269.22 | - |
Beijing Sinopharm Tianyuan Real Estate & Property Management Co., Ltd. | 1,385,714.26 | 1,628,571.40 |
Sinopharm Holding Shanxi Jincheng Co., Ltd | 1,200,000.00 | - |
Wang Yang | 936,917.10 | - |
Zhang Zhenfang | 805,000.00 | 805,000.00 |
Nanjing Yuanguang Trading Co., Ltd. | 750,000.00 | 571,488.75 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
7. Commitments of Related Party (Continued)
Lease commitment (Continued)Rent-in (Continued)
Related Party | 30 June 2021 | 31 December 2020 |
Taishan Xiangranhui Trade Co., Ltd. | 479,468.57 | 843,949.00 |
Zhang Haiyan | 451,530.48 | 537,244.90 |
Sinopharm Holding (China) Financing Lease Co., Ltd. | 415,363.22 | 870,588.42 |
Sinopharm Xinjiang Pharmaceutical Co., Ltd. | 388,571.43 | 777,142.86 |
Gu Jinhua | 344,190.00 | 378,609.00 |
Gu Haiqun | 342,774.31 | 446,873.35 |
Zhijun Pingshan | 313,990.88 | 364,908.32 |
Zhang Guitang | 240,285.59 | - |
Sinopharm Holding Xinjiang Special Drugs Kashgar Pharmaceutical Co., Ltd. | 216,191.74 | - |
Sinopharm Holding Xinjiang Xinte Karamay Pharmaceutical Co., Ltd. | 215,968.52 | - |
Shanghai Baizhong Business Development (Group) Co., Ltd. | 151,568.54 | - |
Southeast (Quanzhou) Biotechnology Pharmaceutical Co., Ltd. | 118,025.28 | - |
Beijing Huafang Investment Co., Ltd. | 91,428.57 | 345,908.56 |
Hunan Minshengtang Investment Co., Ltd. | - | 1,097,581.46 |
Shenzhen Jiufeng Investment Co., Ltd. | - | 166,666.67 |
Pu'er Songmao Medicine Group Co., Ltd. | - | 37,335.24 |
Taishan Qunkang Pharmacy Co., Ltd. | - | 11,258.41 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
8. Others
Related Party | 30 June 2021 | 31 December 2020 |
Short-term Borrowing | ||
Sinopharm Group Finance Co., Ltd. | 581,796,571.46 | 14,338,732.53 |
Entrusted loan | ||
CNPGC (1) | 31,633,794.44 | 31,637,173.89 |
Jilin Province Yihe Investment Consulting Co., Ltd. (2) | 75,450,000.00 | 56,700,000.00 |
(1) CNPGC entrusted Sinopharm Group Finance Co., Ltd. with this borrowing to the Group. The entrusted borrowing includes the principal of RMB31,600.00 thousand and the outstanding interest receivable of RMB33.79 thousand. | ||
(2) The loan is a bank loan entrusted by Jilin Yihe Investment Consulting Co., Ltd. to the group. | ||
Other non-current liabilities | ||
Sinopharm Group Co., Ltd. | 35,061,743.31 | 35,061,743.31 |
Cash deposite within a related party | ||
Sinopharm Group Finance Co., Ltd. | 1,636,830.68 | 101,779,861.57 |
For the six months ended 30 June 2021, the annual interest rates of the above deposits are 0.35% to 1.15%. (In year 2020, the annual interest rates of the above deposits are 0.35% to 1.89%.) | ||
Lease liability | ||
Sinopharm Holding Yangzhou Co., Ltd. | 15,391,588.00 | |
Shaoguan Wujiang District Muyang Medicine Information Consultant Co., Ltd. | 6,252,122.18 | 6,628,838.10 |
Lerentang Investment Group Co., Ltd. | 5,489,599.52 | 6,112,542.74 |
Zhang Yechuan | 4,527,961.17 | 5,201,907.68 |
Guangxi Yifang Tianjiang Pharmaceutical Co., Ltd. | 3,243,616.53 | 3,434,525.25 |
Xiong Xinyuan | 2,582,102.83 | 2,873,340.76 |
Guangdong Jiyuantang Development Co., Ltd. | 1,743,569.88 | 3,085,854.50 |
Shenyang Shengdiou Trading Co., Ltd. | 1,499,269.22 | 1,468,641.78 |
Sinopharm Holding Beijing Co., Ltd. | 1,494,302.29 | 130,936.97 |
Beijing Sinopharm Tianyuan Real Estate & Property Management Co., Ltd. | 1,313,142.67 | |
Li Fang | 1,293,405.86 | |
Wang Yang | 936,917.10 | |
Sinopharm Holding Shanxi Jincheng Co., Ltd. | 587,475.03 | |
Zhang Haiyan | 427,589.17 | 503,526.40 |
Sinopharm Xinjiang Pharmaceutical Co., Ltd. | 387,110.55 | 378,950.29 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
X. Related party relationships and transactions (Continued)
8. Others (Continued)
Related Party | 30 June 2021 | 31 December 2020 |
Lease liability(Continued) | ||
Gu Haiqun | 331,772.12 | 427,942.87 |
Zhijun Pingshan | 294,545.87 | 338,800.77 |
Zhang Guitang | 228,947.93 | |
Beijing Huafang Investment Co., Ltd. | 216,830.68 | 336,640.65 |
Shanghai Baizhong Business Development (Group) Co., Ltd. | 151,568.54 | 300,058.00 |
Southeast (Quanzhou) Biotechnology Pharmaceutical Co., Ltd. | 116,951.13 | |
Sinopharm Holding (China) Financing Lease Co., Ltd. | 91,512.93 | 388,839.95 |
Sinopharm Group | 172,342.31 | |
Pu'er Songmao Medicine Group Co., Ltd. | 37,330.98 | |
Total | 48,601,901.20 | 31,821,020.00 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XI Commitments and contingencies
1. Commitments
(1) | Capital commitments | ||
Capital expenditures contracted for at the balance sheet date but not recognized in balance sheet are analyzed as follows: | |||
30 June 2021 | 31 December 2020 | ||
RMB‘0,000 | RMB‘0,000 | ||
Buildings, machinery and equipment | 42.16 | 42.16 |
2. Contingencies
As of the balance sheet date, there were no contingencies that the Group was required to disclose.
XII Other significant events
1. Segment reporting
Operating segments
For management purposes, the Group is organized into business units based on its products and services and hasthree reportable operating segments as follows:
(1) The Head Office, which is mainly engaged in the investment and management of businesses;
(2) Pharmaceutical distribution segment, which is mainly engaged in the distribution of medicine and pharmaceuticalproducts to customers;
(3) Retail pharmacy segment, which is the management of the operation of Guoda Pharmacy.
Management monitors the results of the Group’s operating segments separately for the purpose of making decisionsabout resource allocation and performance assessment. Segment performance is evaluated based on reportablesegment profit, which is measured consistently with the Group’s profit before tax.
Inter-segment sales and transfers are transacted with reference to the selling prices used in the transactions carried outwith third parties at the then prevailing market prices.
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XII Other significant events (Continued)
1. Segment reporting (Continued)
Operating segments (Continued)
Operating segment information as at and for the semi year ended
Head Office | Pharmaceutical distribution | Pharmaceutical retail | Elimination between segments | Total | |
Principal operations income | - | 22,714,878,520.83 | 10,625,590,134.69 | (499,204,175.96) | 32,841,264,479.56 |
Principal cost of sales | - | (21,415,481,154.82) | (8,237,771,652.36) | 497,003,293.22 | (29,156,249,513.96) |
Income from investments in associates | 157,696,473.52 | (749,864.47) | 749,788.76 | - | 157,696,397.81 |
Net profit | 804,194,136.76 | 462,450,144.61 | 263,262,365.37 | (621,912,192.25) | 907,994,454.49 |
Total assets | 14,935,672,415.11 | 25,483,335,796.44 | 16,344,255,324.13 | (12,572,385,131.73) | 44,190,878,403.95 |
Total liabilities | (3,580,219,319.14) | (19,600,657,390.32) | (10,497,431,348.24) | 6,975,557,587.13 | (26,702,750,470.57) |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements
1. Accounts receivable
The accounts receivable by category are analyzed below: | |||||||||||||||
30 June 2021 | 31 December 2020 | ||||||||||||||
Gross carrying amount | Provision for bad debt | Book value | Gross carrying amount | Provision for bad debt | Book value | ||||||||||
Amount | Proportion | Amount | Proportion | Amount | Proportion | Amount | Proportion | ||||||||
Items for which provision for bad debt is recognised separately | 25,150,432.16 | 3.58% | (334,294.70) | 1.33% | 24,816,137.46 | 18,549,524.82 | 3.04% | (334,294.70) | 1.80% | 18,215,230.12 | |||||
Items for which provision for bad debt is recognized by group (credit risk characteristics) | 676,458,655.12 | 96.42% | (1,664.00) | - | 676,456,991.12 | 591,360,071.01 | 96.96% | - | - | 591,360,071.01 | |||||
701,609,087.28 | 100.00% | (335,958.70) | 0.05% | 701,273,128.58 | 609,909,595.83 | 100.00% | (334,294.70) | 0.05% | 609,575,301.13 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements(Continued)
1. Accounts receivable (Continued)
At 30 June 2021, accounts receivable that are individually assessed for provisions are as follows: | |||||
Debtor’s name | Carrying amount | Bad debt provision | Rate | Assessment for impairment | |
Receivables from subsidiaries of the Group | 24,816,137.46 | - | - | Internal related parties, with lower-tier recovery risk | |
Client A | 323,044.50 | (323,044.50) | 100.00% | Debtor had mismanagement, subject to serious financial difficulties, and the expected recoverability is very low | |
Client B | 11,250.20 | (11,250.20) | 100.00% | Debtor had mismanagement, subject to serious financial difficulties, and the expected recoverability is very low | |
25,150,432.16 | (334,294.70) |
Provision for bad debts of accounts receivable according to the general model of expected credit loss: | |||||||
30 June 2021 | |||||||
Estimated default amount | Expected credit loss in entire lifetime | Expected credit loss rate | |||||
Within 1 year | 676,425,237.12 | - | - | ||||
1 to 2 years | 33,418.00 | (1,664.00) | 4.98% | ||||
676,458,655.12 | (1,664.00) | - |
The accounts receivable for which the Company recognised provision for bad debts using the aging analysis method are presented as follows: | |||||||
30 June 2021 | |||||||
Within 1 year | 701,241,374.58 | ||||||
1 to 2 years | 33,418.00 | ||||||
2 to 3 years | - | - | 334,294.70 | ||||
- | 701,609,087.28 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements(Continued)
1. Accounts receivable (Continued)
Bad debt provision for the current period as follows:
Opening balance | Increases during the period | Reversal during the period | Write-off during the period | Other | Closing balance | ||
Bad debt provision | 334,294.70 | 1,664.00 | - | - | - | 335,958.70 |
As at 30 June 2021, the top five accounts receivable by customer are as follows: | |||||
Amount | % of the total accounts receivable | Bad debt provision amount | |||
Top 1 Account receivable | 75,221,487.68 | 10.72% | - | ||
Top 2 Account receivable | 40,139,214.96 | 5.72% | - | ||
Top 3 Account receivable | 39,234,570.32 | 5.59% | - | ||
Top 4 Account receivable | 24,895,974.53 | 3.55% | - | ||
Top 5 Account receivable | 24,378,296.97 | 3.47% | - | ||
203,869,544.46 | 29.05% | - |
Accounts receivable derecognised due to transfer of financial assets was as follows:
From January to June 2021, the Company factored a small portion of accounts receivable at amortised cost to financialinstitutions. The amount of accounts receivable derecognised was RMB 26,097,254.38 (from January to June 2020:
RMB156,689,648.43), and the amount of loss recognised through Investment income was RMB 221,815.32 (from Januaryto June 2020: RMB1,526,968.25).
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
2. Other receivables
30 June 2021 | 31 December 2020 | ||
Other receivables | 3,467,427,719.16 | 3,562,309,346.07 |
Category of other receivables by nature is as follows: | |||
Nature | 30 June 2021 | 31 December 2020 | |
Amounts due from subsidiaries | 3,442,240,233.02 | 3,539,822,609.73 | |
Receivable of equity transactions | 8,980,000.00 | 8,980,000.00 | |
Deposit | 331,867.02 | 343,834.42 | |
Others | 71,367,604.27 | 68,533,518.66 | |
3,522,919,704.31 | 3,617,679,962.81 |
Changes in bad debt provision for the 12-month expected credit losses and lifetime expected credit losses on otherreceivables are as follows:
Stage 1 | Stage 2 | Stage 3 | |||
Bad debt | Expected credit losses over the next 12 months | Entire lifetime expected credit losses(No credit impairment occurred) | Entire lifetime expected credit losses(Credit impairment occurred) | Total | |
Balance at 1 January 2021 | - | 56,394.50 | 55,314,222.24 | 55,370,616.74 | |
Balance at 1 January 2021 during the period | |||||
Provisions during the period | - | 4,709.88 | 127,901.60 | 132,611.48 | |
Reversal during the period | - | (11,243.07) | - | (11,243.07) | |
Balance at 30 June 2021 | - | 49,861.31 | 55,442,123.84 | 55,491,985.15 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
2. Other receivables (Continued)
The aging analysis of other receivables was as follows:
30 June 2021 | ||
Within 1 year | 3,465,946,636.42 | |
1 to 2 years | 2,490,521.42 | |
2 to 3 years | 436,281.36 | |
Over 3 years | 54,046,265.11 | |
Total | 3,522,919,704.31 |
Bad debt provision for the current period as follows:
Opening balance | Increases during the peried | Reversal during the period | Write-off during the period | Other | Closing balance | ||
Bad debt provision | 55,370,616.74 | 132,611.48 | (11,243.07) | - | - | 55,491,985.15 |
As at 30 June 2021,the accumulated top five other receivables are analysed below: | |||||
Nature | Amount | Age | % of total amount | Bad debt provision | |
Sinopharm Guangzhou | Entrusted borrowings | 950,965,833.42 | Within 1 year | 26.99% | - |
Sinopharm Guangxi | Entrusted borrowings | 566,090,705.45 | Within 1 year | 16.07% | - |
South Pharma & Trade | Entrusted borrowings | 200,193,333.25 | Within 1 year | 5.68% | - |
Sinopharm Guangdong Yuexing | Entrusted borrowings | 173,834,848.77 | Within 1 year | 4.93% | - |
Sinopharm Dongguan | Entrusted borrowings | 161,153,558.44 | Within 1 year | 4.57% | - |
2,052,238,279.33 | 58.24% | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
3. Long-term equity investments
30 June 2021 | 31 December 2020 | ||||||
Original value | Bad debt provision | Carrying amount | Original value | Bad debt provision | Carrying amount | ||
Investments in subsidiaries | 5,614,677,427.58 | - | 5,614,677,427.58 | 5,614,677,427.58 | - | 5,614,677,427.58 | |
Investments in associates | 2,439,507,057.51 | 39,930,000.00 | 2,399,577,057.51 | 2,298,920,817.58 | 39,930,000.00 | 2,258,990,817.58 | |
8,054,184,485.09 | 39,930,000.00 | 8,014,254,485.09 | 7,913,598,245.16 | 39,930,000.00 | 7,873,668,245.16 | ||
(1) | Subsidiaries | |||||||||
31 December 2020 | Increases | Decrease | 30 June 2021 | Amount of provision for impairment | ||||||
Sinopharm Shenzhen Jianmin | 60,054,911.04 | - | - | 60,054,911.04 | - | |||||
Sinopharm Shenzhen Material | 15,450,875.93 | - | - | 15,450,875.93 | - | |||||
Sinopharm Shenzhen Logistics | 5,019,062.68 | - | - | 5,019,062.68 | - | |||||
Sinopharm Guangzhou | 3,588,689,716.80 | - | - | 3,588,689,716.80 | - | |||||
Sinopharm Guangxi | 525,456,951.07 | - | - | 525,456,951.07 | - | |||||
Sinopharm Yanfeng | 38,207,800.00 | - | - | 38,207,800.00 | - | |||||
Guoda Pharmacy | 1,361,800,110.06 | - | - | 1,361,800,110.06 | - | |||||
Accord Devices | 19,998,000.00 | - | - | 19,998,000.00 | - | |||||
- | - | |||||||||
5,614,677,427.58 | - | - | 5,614,677,427.58 | - |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
3. Long-term equity investments (Continued)
(2) | Associates | |||||||||
Changes in the period | ||||||||||
Opening balance | Profit or loss under the equity method | Adjustment in other comprehensive income | Other changes in equity | Cash dividend or profits declared | Closing balance | Provision of impairment |
Main Luck Pharmaceutical | 322,696,745.87 | 34,596,706.61 | - | - | - | 357,293,452.48 | - |
Zhijun Suzhou | - | - | - | - | - | - | 39,930,000.00 |
Sinopharm Zhijun | 425,557,825.11 | 28,056,303.69 | - | - | - | 453,614,128.80 | - |
Zhijun Trade | 10,408,675.18 | 64,801.68 | - | - | - | 10,473,476.86 | - |
Zhijun Pingshan | 176,566,795.90 | 25,603,869.60 | - | - | - | 202,170,665.50 | - |
Sinopharm Shyndec | 1,323,760,775.52 | 69,374,791.94 | 64,854.90 | (460,868.29) | (16,714,220.20) | 1,376,025,333.87 | - |
2,258,990,817.58 | 157,696,473.52 | 64,854.90 | (460,868.29) | (16,714,220.20) | 2,399,577,057.51 | 39,930,000.00 |
Notes to financial statements (Continued)
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
4. Operating revenue and cost
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | ||||
Revenue | Cost | Revenue | Cost | ||
Principal operations | 2,062,334,204.15 | 1,982,274,379.60 | 1,750,454,957.66 | 1,679,162,910.91 | |
Other operations | 16,035,919.21 | 9,145,932.20 | 22,032,405.90 | 10,401,151.33 | |
2,078,370,123.36 | 1,991,420,311.80 | 1,772,487,363.56 | 1,689,564,062.24 | ||
Classification | For the six months ended 30 June 2021 | |
By product | ||
Include: | ||
Pharmaceuticals | 1,971,490,771.22 | |
Medical devices and disposables | 86,143,203.37 | |
Diagnostic reagents | 4,700,229.56 | |
Other | 11,402,530.41 | |
By area | ||
Include: | ||
China | 2,073,736,734.56 | |
By major activities | ||
Include: | ||
Pharmaceutical distribution | 2,062,334,204.15 | |
Others | 11,402,530.41 | |
By contract duration | ||
Include: | ||
At a point in time | 2,062,334,204.15 | |
Overtime | 11,402,530.41 | |
2,073,736,734.56 |
Notes to financial statements (Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIII Notes to key items of the company financial statements (Continued)
4. Operating revenue and cost (Continued)
Information about the Company’s obligations is as follows:
(1) Revenue is recognised when control of the goods has transferred and payment is generally due within 30 to 210 days from delivery; | |
(2) Revenue is recognised in the service duration and the payment is generally due within 30 to 210 days since the service is completed. |
Information related to the sales price allocated to the remaining obligations:
The amount of income corresponding to the obligation that has been signed but has not been fulfilled or has not yet fulfilled isRMB 8,566,647.98, which is expected to be recognized within 1 year.
Revenue is as follows: | |||
30 June 2021 | 30 June 2020 | ||
Revenue from contracts with customers | 2,073,736,734.56 | 1,768,294,423.43 | |
Rentals | 4,633,388.80 | 4,192,940.13 | |
2,078,370,123.36 | 1,772,487,363.56 |
5. Investment income
For the six months ended 30 June 2021 | For the six months ended 30 June 2020 | |||
Gain on long-term equity investments under the cost method | 619,290,387.90 | 612,502,685.91 | ||
Gain on long-term equity investments under the equity method | 157,696,473.52 | 133,549,495.38 | ||
Income from the derecognition of financial assets measured at amortised cost measured at amortised cost | (221,815.32) | (1,526,968.25) | ||
? Dividends from other financial assets | 3,599,555.61 | 4,109,881.90 | ||
? Others | - | 998,665.84 | ||
780,364,601.71 | 749,633,760.78 |
Supplementary information to financial statements
For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIV Supplementary information to financial statements
1. Schedule of non-recurring profit or loss
Amount for 30 June 2021 | Illustration | ||
Gains and losses from disposal of non-current assets | (802,029.11) | Mainly probability of gain and losses from the end of lease | |
Government grants recognized in income statement for the current year, except for those closely related to the ordinary operation of the Company which the Group enjoyed constantly according to the allotment standards or quantitative criteria of the country | 35,363,341.68 | Mainly probability of exemption and other government grants for special purpose and finance Discount | |
The investment cost of an enterprise to acquire a subsidiary, an associate and a joint venture, which is less than profits derived from the fair value of the identifiable net assets of the invested unit when investing | 578,610.41 | ||
Reversal of bad debt provision for accounts receivable and contract assets that were tested for impairment individually | 88,994.76 | ||
Non-operating income and expenses other than the aforesaid items | 7,540,783.96 | Mainly probability of the non operating income generated from the write off of funds that do not need to be paid in the current period | |
Other | 1,717,435.90 | ||
Less:Impact of income tax | 12,962,326.01 | ||
Impact of non-controlling interests after tax | 11,034,206.56 | ||
20,490,605.03 | |||
Basis for preparation of detailed list of non-recurring profit or loss items: The Group's recognition of non-recurring profit or loss items is in accordance with the provisions of Explanatory announcement No.1 on information disclosure by companies offering securities to the public - non-recurring profit or loss. |
Appendix(Continued)For the six months ended 30 June 2021
(All amounts in Renminbi “RMB” unless otherwise stated)
XIV Supplementary information to financial statements (Continued)
2. Return on equity (“ROE”) and earnings per share (“EPS”)
Weighted average ROE (%) | Basic EPS (RMB/Share) | ||
Basic EPS (RMB/Share) | Diluted EPS (RMB/Share) | ||
Net profit attributable to ordinary shareholders of the parent | 5.22% | 1.73 | 1.73 |
Net profit after deducting non-recurring profit or loss attributable to the Company’s ordinary shareholders of the parent | 5.08% | 1.68 | 1.68 |