Stock Code: 301330 Abbreviation of Securities: ZKTECO Announcement No.: 2023-035
ZKTECO CO., LTD.2023 1
stQuarter ReportThe Company and all members of the Board of Directors guarantee thatthe information disclosed is true, accurate and complete, without any falserecords, misleading statements or material omissions.
Important content tips:
1. The Board of Directors, the Board of Supervisors, directors, supervisors, and senior management guarantee that the informationpresented in this report is true, accurate and complete without any false records, misleading statements or material omissions, and willundertake individual and joint legal liabilities.
2. The Company's legal representative, the person in charge of the accounting work, and the person in charge of accounting institution(accounting supervisor) hereby declare that the financial information in this report is true, accuracy, and complete.
3. Whether the 1
stquarter report has been audited
□ Yes ? No
I. Key Financial Data
(I) Main Accounting Data and Financial IndicatorsWhether the Company performed a retroactive adjustment or restatement of the previous accounting data?Yes □ NoReasons for retroactive adjustment or restatement of the previous accounting data?Changes in accounting policies □ Correction of accounting errors □ Merger of enterprise under the same control □ Other reasons
| Current reporting period | The same period last year | Increase/decrease in this reporting period compared to the same period last year (%) | ||
| Before adjustment | After adjustment | After adjustment | ||
| Operating revenue (RMB) | 403,022,827.48 | 432,406,206.03 | 432,406,206.03 | -6.80% |
| Net profit attributable to shareholders of listed companies (RMB) | 31,690,542.22 | 29,319,200.73 | 29,376,601.09 | 7.88% |
| Net profit attributable to shareholders of listed companies after deducting non-recurring profits and losses (RMB) | 30,281,180.21 | 25,767,460.21 | 25,824,860.57 | 17.26% |
| Net cash flows from operating activities (RMB) | 64,369,898.55 | -17,379,274.58 | -17,379,274.58 | 470.38% |
| Basic earnings per share (RMB/share) | 0.2098 | 0.2633 | 0.2638 | -20.47% |
| Diluted earnings per share (RMB/share) | 0.2121 | 0.2633 | 0.2638 | -19.60% |
| Weighted average return on net assets (%) | 1.03% | 2.11% | 2.12% | -1.09% |
| At the end of this reporting period | At the end of the previous year | Increase or decrease at the end of this reporting period compared to the end of the previous year (%) | ||
| Before adjustment | After adjustment | After adjustment | ||
| Total assets (RMB) | 3,675,155,941.36 | 3,655,960,456.30 | 3,662,519,973.00 | 0.35% |
| Owner's equity attributable to shareholders of the listed company (RMB) | 3,094,886,204.45 | 3,057,467,189.68 | 3,057,720,783.95 | 1.22% |
Reasons for changes in accounting policies and situations of correction of accounting errorsOn November 30, 2022, the Ministry of Finance issued and implemented the "Interpretation No. 16 of the Accounting Standards forBusiness Enterprises", which stipulates that "deferred income tax related to assets and liabilities arising from individual transactionsshall not be subject to the accounting treatment of initial recognition exemption". The Company shall implement it from January 1,2023. For the lease liabilities and right-of-use assets recognized due to the application of this regulation in the earliest period of financialstatement presentation for the first time, as well as the estimated liabilities and corresponding assets related to the disposal obligationrecognized, which generate taxable temporary differences and deductible temporary differences, the Company shall adjust thecumulative impact to present the initial retained earnings and other related financial statement items for the earliest period in the
financial statements in accordance with this regulation and the provisions of "Accounting Standards for Enterprises No. 18 - IncomeTax".(II) Items and Amounts of Non-recurring Gains and Losses?Applicable □ Not applicable
Unit: RMB
| Item | Amount during this reporting period | Remarks |
| Losses and gains from disposal of non-current assets (including the offsetting portion of the provision for asset impairment) | -217,760.67 | |
| Government subsidies included in current profits and losses (except those closely related to the normal business of the Company, which are in line with national policies and regulations and continue to be enjoyed in accordance with certain standards or quotas) | 1,739,891.98 | Mainly due to government subsidies received during the reporting period |
| Capital occupancy fees charged to non-financial enterprises included in current profits and losses | 12,971.53 | |
| In addition to the effective hedging business related to the normal business of the Company, the profits and losses from fair value changes arising from the holding of trading financial assets and trading financial liabilities as well as investment income from the disposal of trading financial assets, trading financial liabilities and available-for-sale financial assets | 354,202.50 | |
| Other non-operating income and expenses other than the above items | -192,773.53 | |
| Other profit and loss items that meet the definition of non-recurring profits and losses | 0.00 | |
| Less: income tax impact | 204,066.33 | |
| Minority interest impact (after tax) | 83,103.47 | |
| Total | 1,409,362.01 |
Details of other profit and loss items that meet the definition of non-recurring profits and losses
□ Applicable ? Not applicable
The Company does not have other specific conditions of profit and loss items that meet the definition of non-recurring profit and loss.Explanations on classifying any non-recurring gain/loss item mentioned in the "Explanatory Announcement for Information Disclosureby Companies that Issue Securities to the Public No. 1 - Non-recurring Gains and Losses" as recurring gain/loss item
□ Applicable ? Not applicable
The Company does not classify any non-recurring gain/loss item mentioned in the "Explanatory Announcement for InformationDisclosure by Companies that Issue Securities to the Public No. 1 - Non-recurring Gains and Losses" as recurring gain/loss item.
(III) Changes and Reasons for Changes in Key Accounting Data and Financial Indicators?Applicable □ Not applicable
| Balance Sheet Items | March 31, 2023 | December 31, 2022 | Change ratio | Reasons |
| Trading financial asset | 52,704,348.13 | 204,318,406.05 | -74.20% | Mainly due to the maturity of structured deposits |
| Notes payable | 129,274,492.93 | 68,293,818.22 | 89.29% | Mainly due to the month on month increase in procurement volume in 2022 Q4, resulting in an increase in the issuance of notes payable during the reporting period |
| Income Statement Items | January - March 2023 | January - March 2022 | Change ratio | Reasons |
| Financial expenses | -8,461,054.18 | -1,435,819.60 | -489.28% | Mainly due to the fact that during the reporting period, the amount of bank deposits significantly increased compared to the same period last year, resulting in a significant increase in interest income |
Other income
| Other income | 3,354,811.90 | 2,370,527.35 | 41.52% | Mainly due to the year-on-year increase in the amount of value-added tax immediately collected and refunded received by the subsidiary in this period |
| Income from changes in fair value | - | -182,854.54 | 100.00% | Mainly due to the lack of forward foreign exchange settlement and sales business in this period |
| Losses from credit impairment | 818,545.26 | 266,734.44 | -206.88% | Mainly due to the decrease in accounts receivable at the end of this period, resulting in the reversal of bad debt reserves |
| Cash Flow Statement Items | January - March 2023 | January - March 2022 | Change ratio | Reasons |
| Net cash flows from operating activities | 64,369,898.55 | -17,379,274.58 | 470.38% | Mainly due to the decrease in purchase payments made in the current period compared to the same period last year |
| Net cash flows from operating activities | 8,704,305.63 | -11,849,084.85 | 173.46% | Mainly due to the increase in the maturity or redemption amount of current time deposits and financial products compared to the same period last year, which is higher than the increase in the purchase amount of current term deposits and financial products compared to the same period last year |
| Net cash flows from financing activities | -20,327,769.95 | -7,986,494.23 | -154.53% | Mainly due to the higher amount of cash dividends paid by subsidiaries to shareholders in the current period compared to the same period last year |
| Effect of fluctuation in exchange rate on cash and cash equivalents | -3,672,657.75 | -1,008,437.54 | -264.19% | Mainly due to the impact of exchange rate fluctuations. |
II. Shareholder Information(I) Table of the Total Number of Common Shareholders and the Number of Preferred Shareholders withResumed Voting Rights and information about Top Ten Shareholders
Unit: share
| Total number of common shareholders at the end of the reporting period | 17,418 | Total number of preferred shareholders whose voting rights have been recovered at the end of the reporting period (if any) | 0 | |||
| Particulars about the top 10 shareholders | ||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage (%) | Total shares held at the period-end | Number of shares with trading restrictions | Pledged, marked or frozen | |
| Share status | Amount | |||||
| Shenzhen ZKTeco Times Investment Co., Ltd. | Domestic non state-owned corporation | 30.30% | 45,000,000.00 | 45,000,000.00 | ||
| Che Quanhong | Domestic individual | 17.62% | 26,171,000.00 | 26,171,000.00 | ||
| Shenzhen JYSJ Investment Enterprise (Limited Partnership) | Domestic non state-owned corporation | 7.31% | 10,852,000.00 | 10,852,000.00 | ||
| Shenzhen JYHY Investment Enterprise (Limited Partnership) | Domestic non state-owned corporation | 7.21% | 10,708,500.00 | 10,708,500.00 | ||
| Dongguan LX Investment Partnership Enterprise (Limited Partnership) | Domestic non state-owned corporation | 5.12% | 7,600,000.00 | 7,600,000.00 | ||
| Shenzhen JYLX Consulting Enterprise (Limited Partnership) | Domestic non state-owned corporation | 2.46% | 3,652,600.00 | 3,652,600.00 | ||
| Huaxin Yuanchuang (Qingdao) Investment Management Co., Ltd. - Qingdao Walden Zhongxiang Investment Center (Limited | Other | 1.76% | 2,612,540.00 | 2,612,540.00 | ||
| Partnership) | ||||||
| Shenzhen Fuhai Juanyong I Venture Investment Fund (Limited Partnership) | Domestic non state-owned corporation | 1.35% | 2,009,646.00 | 2,009,646.00 | ||
| Changjiang Wealth Asset Management - Bank of Nanjing - Changjiang Wealth - ZKTeco Employee Strategic Placement No.1 Collective Asset Management Plan | Other | 1.17% | 1,733,148.00 | 1,733,148.00 | ||
| National Social Security Fund 504 Portfolio | Other | 1.00% | 1,479,856.00 | 0.00 | ||
| Particulars about shares held by the Top 10 common shareholders holding shares that are not subject to trading restriction(s) | ||||||
| Name of shareholder | Number of shares without trading restrictions | Types of shares | ||||
| Type | Amount | |||||
| National Social Security Fund 504 Portfolio | 1,479,856.00 | RMB ordinary shares | 1,479,856.00 | |||
| Hong Kong Securities Clearing Company Limited | 740,930.00 | RMB ordinary shares | 740,930.00 | |||
| China International Capital Corporation Limited | 546,628.00 | RMB ordinary shares | 546,628.00 | |||
| Wang Zheng | 442,300.00 | RMB ordinary shares | 442,300.00 | |||
| Shenzhen Upright Asset Management Co., Ltd. - Upright Elite - Penghui No.1 Securities Investment Fund | 413,912.00 | RMB ordinary shares | 413,912.00 | |||
| Shenzhen Upright Asset Management Co., Ltd. - Upright Cornerstone Investment No. 1 Fund | 379,055.00 | RMB ordinary shares | 379,055.00 | |||
| Liang Qiming | 300,078.00 | RMB ordinary shares | 300,078.00 | |||
| CITIC Securities Co., Ltd. | 274,777.00 | RMB ordinary shares | 274,777.00 | |||
| Zhu Qizhong | 161,600.00 | RMB ordinary shares | 161,600.00 | |||
| Huatai Securities Co., Ltd. | 161,195.00 | RMB ordinary shares | 161,195.00 | |||
| Explanation on associated relationship and concerted actions among above shareholders | The Company does not know whether there is a related relationship between the top 10 shareholders of shares without trading restrictions, as well as between the top 10 shareholders outstanding shares without trading restrictions and the top 10 shareholders, or whether they belong | |||||
| to persons acting in concert. | |
| Information on Top 10 shareholders of participating in margin trading and short selling business (if any) | Among the top 10 shareholders without trading restrictions, Wang Zheng held a total of 442,300 shares of the Company at the end of the reporting period, including 0 share held through ordinary securities accounts and 442,300 shares held through a margin account of Chinalin Securities Co., Ltd. At the end of the reporting period, Zhu Qizhong held a total of 161,600 shares of the Company, including 0 share held through ordinary securities accounts and 161,600 shares held through a margin account of Zheshang Securities Co., Ltd. |
(II) Total Number of Preferred Shareholders and information about Top 10 Preferred Shareholders
□ Applicable ? Not applicable
(III) Changes in Restricted Shares
?Applicable □ Not applicable
Unit: share
| Name of shareholder | Number of restricted shares at the beginning of the period | Number of shares released from trading restrictions in this period | Increase in restricted shares in this period | Number of restricted shares at the end of the period | Reason for restrictions | Date of releasing from trading restrictions |
| Shenzhen ZKTeco Times Investment Co., Ltd. | 45,000,000.00 | 45,000,000.00 | Restricted shares before IPO | February 17, 2026 | ||
| Che Quanhong | 26,171,000.00 | 26,171,000.00 | Restricted shares before IPO | February 17, 2026 | ||
| Shenzhen JYSJ Investment Enterprise (Limited Partnership) | 10,852,000.00 | 10,852,000.00 | Restricted shares before IPO | One quarter of the shares will be unlocked from August 17, 2023, until all shares are unlocked on August 17, 2026 | ||
| Shenzhen JYHY Investment Enterprise (Limited Partnership) | 10,708,500.00 | 10,708,500.00 | Restricted shares before IPO | One quarter of the shares will be unlocked from August 17, 2023, until all shares are unlocked on August 17, 2026 | ||
| Dongguan LX Investment Partnership Enterprise (Limited Partnership) | 7,600,000.00 | 7,600,000.00 | Restricted shares before IPO | August 17, 2025 | ||
| Shenzhen | 3,652,600.00 | 3,652,600.00 | Restricted | One quarter of |
| JYLX Consulting Enterprise (Limited Partnership) | shares before IPO | the shares will be unlocked from August 17, 2023, until all shares are unlocked on August 17, 2026 | ||||
| Shenzhen Fuhai Juanyong I Venture Investment Fund (Limited Partnership) | 2,009,646.00 | 2,009,646.00 | Restricted shares before IPO | August 17, 2023 | ||
| Huaxin Yuanchuang (Qingdao) Investment Management Co., Ltd. - Yiwu Walden Yuanjing Venture Capital Center (Limited Partnership) | 1,406,752.00 | 1,406,752.00 | Restricted shares before IPO | August 17, 2023 | ||
| Huaxin Yuanchuang (Qingdao) Investment Management Co., Ltd. - Qingdao Walden Zhongxiang Investment Center (Limited Partnership) | 2,612,540.00 | 2,612,540.00 | Restricted shares before IPO | August 17, 2023 | ||
| Shenzhen JYQL Investment and Consulting Enterprise (Limited Partnership) | 1,356,000.00 | 1,356,000.00 | Restricted shares before IPO | One quarter of the shares will be unlocked from August 17, 2023, until all shares are unlocked on August 17, 2026 | ||
| Changjiang Wealth Asset Management - Bank of Nanjing - Changjiang Wealth - ZKTeco Employee Strategic Placement No.1 Collective | 1,733,148.00 | 1,733,148.00 | Restricted shares after IPO | August 17, 2023 |
| Asset Management Plan | ||||||
| Changjiang Wealth Asset Management - Bank of Nanjing - Changjiang Wealth - ZKTeco Employee Strategic Placement No.2 Collective Asset Management Plan | 272,022.00 | 272,022.00 | Restricted shares after IPO | August 17, 2023 | ||
| Offline issuance restricted shares | 1,865,168.00 | 1,865,168.00 | 0.00 | Restricted shares after IPO | February 17, 2023 | |
| Total | 115,239,376.00 | 1,865,168.00 | 0.00 | 113,374,208.00 |
III. Other Important Events
?Applicable □ Not applicable
1. On January 18, 2023, the Company held the 23rd Session of the Second Board Meeting and the 17th Session of the SecondSupervisory Board Meeting,On February 6, 2023, the Company held the Second Extraordinary General Meeting of 2023, anddeliberated and approved the "Proposal on Changing the Investment Projects of Raised Funds, Changing the Special Account for RaisedFunds, Increasing Capital and Providing Loans to Subsidiaries to Implement Investment Projects". The Company agreed to change theoriginal investment project "Tangxia Production Base Construction Project" (hereinafter referred to as "the original investment project")to "Multimodal Biometrics Digitalization Industrial Base Construction Project of ZKTeco" (hereinafter referred to as "the newinvestment project"), and the original investment project will no longer be constructed. The original investment project was constructedby the Company as the main entity, while the new investment project was implemented by the Company's wholly-owned subsidiary,ZKTECO (GUANGDONG) CO., LTD The total investment amount of the new investment project is RMB 431.8689 million. The newinvestment project uses the unused raised funds and over-raised funds of the original investment project, as well as the correspondingfund returns. Among them, the raised funds of the original investment project are RMB 248.4118 million, and the over-raised fundsare RMB 147.6392 million. The actual income of the funds corresponding to these two parts shall be based on the net income of thefunds corresponding to the transfer of relevant funds to the special account for the new investment project after approval by theshareholders' meeting. The insufficient part will be invested by ZKTECO (GUANGDONG) CO., LTD with its own funds.
2. Due to the need of strategic planning and business development, the Company and PT Digital Mediatama Maxima Tbk.(hereinafter referred to as "DMMX") jointly invested and established ZKDIGIMAX PTE. LTD. (hereinafter referred to as"ZKDIGIMAX") in Singapore through the wholly-owned subsidiary of Singapore, ZKTECO SG INVESTMENT PTE.LTD.(hereinafter referred to as "ZKTECO SG INVESTMENT"). The registered capital of ZKDIGIMAX is USD 20 million, of whichZKTECO SG INVESTMENT subscribed USD 16 million and DMMX subscribed USD 4 million. In March 2023, ZKDIGIMAXcompleted the registration procedures for its establishment in Singapore. On March 31, 2023, ZKTECO SG INVESTMENT andDMMX officially signed the "Shareholders' Agreement". The Company's overseas investment to establish a secondary controlling
subsidiary is mainly based on the strategic layout of the Company's business development. By focusing on and promoting theintegration of DMMX's IaaS (Infrastructure as a Service), CMS (Content Management System) and management service solutionswith intelligent digital signage of ZKTeco, BioCV computer vision human-computer interaction technology, Minerva IoT cloudplatform and service capabilities, smart business SaaS cloud platforms and AI services are provided for retails, catering and otherscenarios, promoting the digital upgrading of global retail and catering enterprises, thereby further expanding the Company's marketsize, improving its performance level, and enhancing its competitiveness.
3. The Company held the 24th Session of the Second Board Meeting on March 21, 2023, and deliberated and approved the"Proposal on the Election and Nomination of Non-Independent Director Candidates for the Third Board of Directors" and the "Proposalon the Election and Nomination of Independent Director Candidates for the Third Board of Directors". The board of directors agreedto nominate Mr. Che Quanhong, Mr. Jin Hairong, Mr. Ma Wentao, and Mr. Fu Zhiqian as non-independent director candidates for thethird board of directors, and agreed to nominate Mr. Pang Chunlin, Ms. Zhuo Shuyan, and Ms. Dong Xiuqin as independent directorcandidates for the third board of directors. On the same day, the Ccompany held the 18th Session of the Second Supervisory BoardMeeting, and deliberated and approved the "Proposal on the Election and Nomination of Candidates for Non-employee RepresentativeSupervisors of the 3rd Board of Supervisors". The board of supervisors nominated Mr. Wang Huineng and Mr. Yang Xianfeng ascandidates for non-employee representative supervisors of the 3rd Board of Supervisors. The board of directors proposed to convenethe third extraordinary general meeting of the Company for 2023 at 14:00 on April 7, 2023 to review the aforementioned matters.
4. On January 30, 2023, XIAMEN ZKTECO CO., LTD., a subsidiary of the Company, signed a "Credit Line Contract"numbered XYXXZE Zi No. 2023003 with Xiamen Branch of Industrial Bank Co., Ltd. The maximum principal amount of the creditline under this Contract is converted into RMB 40 million, and the specific types of credit line business include but are not limited toshort-term working capital loans, medium-term working capital loans, working capital loans (technology innovation fund R&D loans),bank acceptance bills, non-financing letter of guarantee business, and bill pool financing business, which revolve within the limit. OnJanuary 30, 2023, the subsidiary of the Company, XIAMEN ZKTECO CO., LTD. (hereinafter referred to as the "borrower") signed a"Technology Innovation Fund Syndicated Loan Contract" with Xiamen Branch of Industrial Bank Co., Ltd. (hereinafter referred to asthe "lender", "lead bank", "agent bank") and Xiamen International Trust Co., Ltd. (hereinafter referred to as the "lender", "participatingbank"). All lenders agree to provide the borrower with a loan limit of not more than RMB 8,500,000.00 in total principal. Theparticipating bank and the lead bank, as lenders, shall undertake loans in a ratio of 5:95. The commitment amount of the participatingbank shall not exceed RMB 425,000.00, and the commitment amount of the lead bank shall not exceed RMB 8,075,000.00. TheContract stipulates that the borrower shall use each fund withdrawn for the R&D investment of XIAMEN ZKTECO CO., LTD. Thefixed interest rate of the loan is 3.60%, with Xiamen International Trust Co., Ltd. bearing 1.60% of the interest expense. The loan termis 3 years and interest is paid quarterly.
IV. Quarterly Financial Statements(I) Financial Statements
1. Consolidated Balance Sheet
Unit: RMB
| Item | March 31, 2023 | January 1, 2023 |
| Current assets: | ||
| Monetary funds | 2,109,889,614.34 | 1,912,945,031.97 |
| Deposit reservation for balance | ||
| Lendings to banks and other financial institutions |
| Trading financial asset | 52,704,348.13 | 204,318,406.05 |
| Derivative financial assets | ||
| Notes receivable | ||
| Accounts receivable | 373,491,838.79 | 403,497,924.27 |
| Receivable financing | ||
| Prepayment | 39,001,896.08 | 30,954,685.58 |
| Premiums receivable | ||
| Reinsurance accounts receivable | ||
| Reserves for reinsurance contract receivable | ||
| Other receivables | 29,953,316.74 | 34,207,287.53 |
| Including: interest receivable | ||
| Dividends receivable | ||
| Buying back the sale of financial assets | ||
| Inventories | 329,071,668.72 | 348,280,641.59 |
| Contract assets | 301,199.94 | 306,799.94 |
| Held-for-sale assets | ||
| Non-current assets due within one year | 10,025,638.89 | 10,025,638.89 |
| Other current assets | 18,753,070.16 | 17,861,354.81 |
| Total current assets | 2,963,192,591.79 | 2,962,397,770.63 |
| Non-current assets: | ||
| Loans and advances to customers | ||
| Debt investment | 13,852,657.12 | 12,331,160.29 |
| Other debt investment | ||
| Long-term receivables | ||
| Long-term equity investment | 7,178,211.15 | 7,151,332.70 |
| Other equity instrument investments | ||
| Other non-current financial assets | ||
| Investment real estate | ||
| Fixed assets | 454,727,805.27 | 446,857,509.06 |
| Construction in progress | 56,073,306.74 | 57,041,298.90 |
| Productive biological assets | ||
| Oil and gas assets | ||
| Right-of-use asset | 48,513,942.15 | 50,640,675.59 |
| Intangible assets | 67,898,374.16 | 68,110,512.79 |
| Development expenditures | ||
| Goodwill | 489,765.16 | 496,386.40 |
| Long-term deferred expenses | 3,164,927.93 | 3,056,310.34 |
| Deferred income tax assets | 58,566,018.09 | 53,309,238.98 |
| Other non-current assets | 1,498,341.80 | 1,127,777.32 |
| Total non-current assets | 711,963,349.57 | 700,122,202.37 |
| Total assets | 3,675,155,941.36 | 3,662,519,973.00 |
| Current liabilities: | ||
| Short-term loan | 9,855,000.00 | 9,855,000.00 |
| Borrowings from the Central Bank | ||
| Borrowings from banks and other financial institutions | ||
| Trading financial liabilities | ||
| Derivative financial liabilities | ||
| Notes payable | 129,274,492.93 | 68,293,818.22 |
| Accounts payable | 160,708,067.88 | 226,000,476.96 |
| Advances from customer | ||
| Contract liabilities | 52,569,505.97 | 58,838,840.39 |
| Financial assets sold for repurchase | ||
| Deposit from customers and interbank |
| Acting trading securities | ||
| Acting underwriting securities | ||
| Payroll payable | 53,067,064.84 | 58,940,852.80 |
| Taxes and dues payable | 26,263,892.33 | 22,621,805.04 |
| Other payables | 30,663,110.03 | 31,429,478.43 |
| Including: interest payable | ||
| Dividends payable | ||
| Handling charges and commissions payable | ||
| Reinsurance accounts receivable | ||
| Liabilities held for sale | ||
| Non-current liabilities due within one year | 21,279,647.91 | 23,718,225.39 |
| Other current liabilities | 19,981,038.10 | 21,173,620.79 |
| Total current liabilities | 503,661,819.99 | 520,872,118.02 |
| Non-current liabilities: | ||
| Reserves for insurance contracts | ||
| Long-term loan | 120,021.80 | 141,757.54 |
| Bonds payable | ||
| Including: preferred stock | ||
| Perpetual bonds | ||
| Lease liabilities | 28,034,876.93 | 28,256,717.44 |
| Long-term payables | ||
| Long-term payroll payable | ||
| Estimated liabilities | 600,000.00 | 600,000.00 |
| Deferred income | 1,993,164.27 | 2,039,702.49 |
| Deferred tax liability | 9,428,115.92 | 9,833,050.63 |
| Other non-current liabilities | ||
| Total non-current liabilities | 40,176,178.92 | 40,871,228.10 |
| Total liabilities | 543,837,998.91 | 561,743,346.12 |
| Owner's equity: | ||
| Share capital | 148,492,051.00 | 148,492,051.00 |
| Other equity instruments | ||
| Including: preferred stock | ||
| Perpetual bonds | ||
| Capital reserve | 2,071,464,420.86 | 2,061,172,912.28 |
| Less: treasury stock | ||
| Other comprehensive income | 437,545.51 | 5,254,175.81 |
| Special reserve | ||
| Surplus reserves | 53,975,085.77 | 53,975,085.77 |
| General risk reserves | ||
| Undistributed profits | 820,517,101.31 | 788,826,559.09 |
| Total owner's equity attributable to the parent company | 3,094,886,204.45 | 3,057,720,783.95 |
| Minority interests | 36,431,738.00 | 43,055,842.93 |
| Total owner's equity | 3,131,317,942.45 | 3,100,776,626.88 |
| Total liabilities and owner's equity | 3,675,155,941.36 | 3,662,519,973.00 |
Legal Representative: Jin Hairong. Person in charge of accounting work: Wang Youwu . Person in charge of accounting department:
Fang Li
2. Consolidated Income Statement
Unit: RMB
| Item | 2023 Q1 | 2022 Q1 |
| I. Total operating revenue | 403,022,827.48 | 432,406,206.03 |
| Including: operating revenue | 403,022,827.48 | 432,406,206.03 |
| Interest income | ||
| Premium earned | ||
| Revenue from handling charges and commissions | ||
| II. Total operating cost | 366,431,964.03 | 401,456,417.15 |
| Including: operating cost | 206,936,533.66 | 246,039,041.25 |
| Interest expense | ||
| Expenses from handling charges and commissions | ||
| Surrender value | ||
| Net payments for insurance claims | ||
| Net provisions for policy reserves | ||
| Policy dividend expenses | ||
| Reinsurance expenses | ||
| Taxes and surcharges | 2,815,533.99 | 4,775,517.36 |
| Selling expenses | 89,773,070.43 | 82,244,779.64 |
| Administrative expenses | 27,990,999.21 | 25,847,105.52 |
| R&D expenses | 47,376,880.92 | 43,985,792.98 |
| Financial expenses | -8,461,054.18 | -1,435,819.60 |
| Including: interest expenses | 770,609.19 | 786,239.36 |
| Interest income | 15,105,655.30 | 1,816,778.36 |
| Plus: other income | 3,354,811.90 | 2,370,527.35 |
| Investment income ( loss expressed with "-") | 1,975,900.37 | 2,840,616.00 |
| Including: income from investment in associates and joint ventures | 806,641.55 | 671,953.22 |
| Gains from derecognition of financial assets measured atamortized cost | ||
| Gains from foreign exchange (loss expressed with "-") | ||
| Gains from net exposure hedging (loss expressed with "-") | ||
| Gains from changes in fair value (loss expressed with "-") | -182,854.54 | |
| Losses from credit impairment (loss expressed with "-") | 818,545.26 | 266,734.44 |
| Losses from impairment of assets (loss expressed with "-") | -3,282,698.64 | -2,898,435.54 |
| Gains from disposal assets (loss expressed with "-") | -203,207.68 | 17,120.23 |
| III. Operating profit (loss expressed with "-") | 39,254,214.66 | 33,363,496.82 |
| Plus: non-operating revenue | 96,744.56 | 523,752.02 |
| Less: non-operating expenditure | 304,657.32 | 242,237.53 |
| IV. Total profit (loss expressed with "-") | 39,046,301.90 | 33,645,011.31 |
| Less: income tax expenses | 1,529,528.60 | 2,291,976.82 |
| V. Net profit (loss expressed with "-") | 37,516,773.30 | 31,353,034.49 |
| (I) Classification by business continuity | ||
| 1. Net profit from continuing operations (net loss expressed with "-") | 37,516,773.30 | 31,353,034.49 |
| 2. Net profit from discontinued operations (net loss expressed with "-") | ||
| (II) Classification by ownership | ||
| 1. Net profits attributable to owners of parent company | 31,690,542.22 | 29,376,601.09 |
| 2. Minority shareholders' profit and loss | 5,826,231.08 | 1,976,433.40 |
| VI. Other comprehensive income - Net of Income Tax | -4,779,705.56 | -2,502,725.26 |
| Net of tax of other comprehensive income attributable to the owner of the parent company | -4,816,630.30 | -1,684,259.02 |
| Other comprehensive income that cannot be transferred to profit or loss | 0.00 | 0.00 |
| 1. Changes in re-measurement of the defined benefit plan | ||
| 2. Other comprehensive income that cannot be transferred to profit or loss under the equity method | ||
| 3. Changes in fair value of other equity instrument investments | ||
| 4. Changes in the fair value of the Company's own credit risk | ||
| 5. Other | ||
| (2) Other comprehensive income that will be reclassified into profit or loss | -4,816,630.30 | -1,684,259.02 |
| 1. Other comprehensive income that can be transferred to profit or loss under the equity method | ||
| 2. Changes in fair value of other debt investments | ||
| 3. Amount of financial assets reclassified into other comprehensive income | ||
| 4. Provision for credit impairment of other debt investments | ||
| 5. Cash flow hedging reserve | ||
| 6. Translation difference of foreign currency financial statements | -4,816,630.30 | -1,684,259.02 |
| 7. Others | ||
| After-tax net amount of other comprehensive income attributable to the minority shareholders | 36,924.74 | -818,466.24 |
| VII. Total comprehensive income | 32,737,067.74 | 28,850,309.23 |
| Total comprehensive income attributable to owners of the parent company | 26,873,911.92 | 27,692,342.07 |
| Total comprehensive income attributable to minority shareholders | 5,863,155.82 | 1,157,967.16 |
| VIII. Earnings per share (EPS): | ||
| (I) Basic earnings per share | 0.2098 | 0.2638 |
| (II) Diluted earnings per share | 0.2121 | 0.2638 |
In the event of a merger of enterprise under the same control in the current period, the net profit realized by the combined partybefore the merger is RMB, and the net profit realized by the combined party in the previous period is RMB.Legal Representative: Jin Hairong Person in charge of accounting work: Wang Youwu Person in charge of accounting department:
Fang Li
3. Consolidated Cash Flow Statement
Unit: RMB
| Item | 2023 Q1 | 2022 Q1 |
| I. Cash flows from operating activities: | ||
| Cash received from sale of goods and rendering of services | 453,759,458.45 | 470,499,725.02 |
| Net increase in deposits from customers and deposits in banks and other financial institutions | 0.00 | |
| Net increase in borrowings from the Central Bank | 0.00 | |
| Net increase in borrowings from banks and other financial institutions | 0.00 | |
| Cash received from receiving insurance premiums of original insurance contracts | 0.00 | |
| Net cash received from reinsurance business | 0.00 | |
| Net increase in deposits and investments from policyholders | 0.00 | |
| Cash received from interest, handling fees and commissions | 0.00 | |
| Net increase in borrowings from banks and other financial institutions | 0.00 | |
| Net capital increase in repurchase business | 0.00 | |
| Net cash received from vicariously traded securities | 0.00 | |
| Refund of taxes and surcharges | 21,026,770.27 | 11,677,723.19 |
| Cash received from other operating activities | 14,989,016.60 | 17,614,509.66 |
| Subtotal of cash inflows from operating activities | 489,775,245.32 | 499,791,957.87 |
| Cash paid for purchase of goods and rendering of services | 207,708,632.71 | 295,303,603.46 |
| Net increase in loans and advances to customers | 0.00 | |
| Net increase in deposits in Central Bank and other banks and financial institutions | 0.00 | |
| Cash paid for original insurance contract claims | 0.00 | |
| Net increase in lendings to banks and other financial institutions | 0.00 | |
| Cash paid for interest, handling fees | 0.00 |
| and commissions | ||
| Cash paid for policy dividends | 0.00 | |
| Cash paid to and for employees | 125,445,116.49 | 124,338,394.76 |
| Payments of all types of taxes | 13,491,315.70 | 20,902,263.66 |
| Other cash payments relating to operating activities | 78,760,281.87 | 76,626,970.57 |
| Subtotal of cash outflows from operating activities | 425,405,346.77 | 517,171,232.45 |
| Net cash flows from operating activities | 64,369,898.55 | -17,379,274.58 |
| II. Cash flows from investing activities: | ||
| Cash received from disinvestment | 485,364,529.75 | 32,341,973.53 |
| Cash received from investment income | 756,078.92 | 2,137,798.66 |
| Net cash received from disposal of fixed assets, intangible assets and other long-term assets | 178,690.17 | 890.02 |
| Net cash received from disposal of subsidiaries and other business units | 0.00 | |
| Cash received from other investing activities | 0.00 | |
| Subtotal of cash inflows from investing activities | 486,299,298.84 | 34,480,662.21 |
| Cash paid to acquire and construct fixed assets, intangible assets and other long-term assets | 18,760,852.38 | 26,446,518.18 |
| Cash paid for investments | 458,834,140.83 | 19,883,228.88 |
| Net increase in pledge loans | 0.00 | |
| Net cash paid to acquire subsidiaries and other business units | 0.00 | |
| Cash paid for other investing activities | 0.00 | |
| Subtotal of cash outflows from investing activities | 477,594,993.21 | 46,329,747.06 |
| Net cash flows from operating activities | 8,704,305.63 | -11,849,084.85 |
| III. Cash flows from financing activities: | ||
| Cash received from investors | 0.00 | |
| Including: cash received by subsidiaries from the absorption of minority shareholders' investments | 0.00 | |
| Cash received from borrowings | 0.00 | |
| Cash received from other financing activities | 0.00 | |
| Subtotal of cash inflows from financing activities | 0.00 | |
| Cash paid for debt repayments | 0.00 | 52,970.04 |
| Cash paid for distribution of dividends and profits or payment of interest | 12,487,260.75 | 328,543.44 |
| Including: dividends and profits paid to minority shareholders by subsidiaries | 12,487,260.75 | 320,642.28 |
| Cash paid for other financing activities | 7,840,509.20 | 7,604,980.75 |
| Subtotal of cash outflows from financing activities | 20,327,769.95 | 7,986,494.23 |
| Net cash flows from financing activities | -20,327,769.95 | -7,986,494.23 |
| IV. Effect of exchange rate changes on cash and cash equivalents | -3,672,657.75 | -1,008,437.54 |
| V. Net increase in cash and cash equivalents | 49,073,776.48 | -38,223,291.20 |
| Plus: beginning balance of cash and cash equivalents | 1,077,608,258.10 | 516,288,425.76 |
| VI. Closing balance of cash and cash equivalents | 1,126,682,034.58 | 478,065,134.56 |
(II) Audit ReportWhether the 2023 1 st Quarter Report been audited
□ Yes ? No
The Company's Q1 Report has not been audited.
ZKTECO CO., LTD.
Board of DirectorsApril 28, 2023