ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
ZhejiangSanhuaIntelligentControlsCo.,Ltd.
2020Semi-AnnualReport
August2020
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionIImportantNotes,ContentsandDefinitionsTheBoardofDirectors,BoardofSupervisors,Directors,SupervisorsandSeniorManagementofZhejiangSanhuaIntelligentControlsCo.,Ltd.(hereinafterreferredtoasthe“Company”)herebyguaranteethattheinformationpresentedinthisreportshallbeauthentic,accurate,completeandfreefrommaterialmisstatementwhetherduetofalserecord,misleadingstatementorsignificantomission,andtheywillbearbothindividualandjointlegalliabilities.
ZhangYabo,theCompany'slegalrepresentative,YuYingkui,thepersoninchargeoftheaccountingwork,andShengXiaofeng,thepersoninchargeofaccountingdepartment(AccountingOfficer)herebydeclareandwarrantthatthefinancialstatementsinthisreportareauthentic,accurateandcomplete.Alldirectorsattendedtheboardmeetingtoreviewthisreport.TheCompanydescribesindetailconcerningthepossiblerisksandcountermeasuresinSectionX"RisksoftheCompanyandCountermeasures"underSectionIV"Management’sDiscussionandAnalysisofOperations".Pleasepayparticularattentiontorelevantcontents.
Theprofitdistributionproposalapprovedbytheboardofdirectorsisasfollows:With3,582,258,682asthebasenumber,cashdividendofRMB1.00(includingtax)willbedistributedtoallshareholdersforevery10shares.TheCompanywillnotdistributebonussharesorconvertcapitalreservestosharecapital.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
CONTENTS
SectionIImportantNotes,ContentsandDefinitions ...... 2
SectionIICorporateProfileandKeyFinancialIndicators ...... 5
SectionIIICorporateBusinessOverview ...... 8
SectionIVManagement’sDiscussionandAnalysisofOperations ...... 12
SectionVSignificantEvents ...... 34
SectionVIChangesinSharesandInformationaboutShareholders ...... 63
SectionVIIInformationofPreferredShares ...... 73
SectionVIIIInformationaboutConvertibleBonds ...... 74
SectionIXInformationaboutDirectors,Supervisors,SeniorManagement ...... 75
SectionXCorporateBonds ...... 77
SectionXIFinancialReport ...... 78
SectionXIIDocumentsAvailableforInspection ...... 191
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Definitions
| Items | Refersto | Definition |
| TheCompany,Company | Refersto | ZhejiangSanhuaIntelligentControlsCo.,Ltd. |
| TheArticlesofAssociations | Refersto | ArticlesofAssociationsforZhejiangSanhuaIntelligentControlsCo.,Ltd. |
| TheCSRC | Refersto | ChinaSecuritiesRegulatoryCommission |
| SZSE | Refersto | ShenzhenStockExchange |
| ZhejiangSecuritiesRegulatoryBureau | Refersto | ZhejiangSecuritiesRegulatoryBureauofChinaSecuritiesRegulatoryCommission |
| GeneralMeeting | Refersto | GeneralMeetingofZhejiangSanhuaIntelligentControlsCo.,Ltd. |
| TheBoardofDirectors | Refersto | TheBoardofDirectorsofZhejiangSanhuaIntelligentControlsCo.,Ltd. |
| TheBoardofSupervisors | Refersto | TheBoardofSupervisorsofZhejiangSanhuaIntelligentControlsCo.,Ltd. |
| Yuan | Refersto | RMB |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionIICorporateProfileandKeyFinancialIndicators
I.CorporateInformation
| Stockabbreviation | SanhuaIntelligentControls | Stockcode | 002050 |
| StockExchangewherethesharesoftheCompanyarelisted | ShenzhenStockExchange | ||
| NameoftheCompanyinChinese | 浙江三花智能控制股份有限公司 | ||
| Abbr.oftheCompanynameinChinese(ifany) | 三花智控 | ||
| NameoftheCompanyinEnglish(ifany) | ZHEJIANGSANHUAINTELLIGENTCONTROLSCO.,LTD. | ||
| Abbr.oftheCompanynameinEnglish(ifany) | SANHUA | ||
| LegalRepresentative | ZhangYabo | ||
| BoardSecretary | SecuritiesAffairsRepresentative | |
| Name | HuKaicheng | WangYutong |
| Address | No.12St.,No.289XiashaEconomicDevelopment,Hangzhou,Zhejiang,China. | No.219,WoxiAvenue,MeizhuTown,XinchangCounty,Zhejiang,China. |
| Tel. | 0571-28020008 | 0575-86255360 |
| Fax | 0571-28876605 | 0575-86563888-8288 |
| shc@zjshc.com | shc@zjshc.com |
1.Company’scontactinformation
WhetherthereisanychangeintheCompany’sregisteredaddress,officeaddress,zipcode,websiteoremailaddressduringthereportingperiod.
□Applicable√NotapplicableTherearenochangesintheCompany’sregisteredaddress,officeaddress,zipcode,websiteorCompanyemailaddressduringthereportingperiod.Pleasereferto2019AnnualReportfordetails.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
2.Informationdisclosureandplaceofthereport
Whetherthereisanychangeininformationdisclosureandplaceofthereportduringthereportingperiod.
□Applicable√NotapplicableTherearenochangesinthenewspaperdesignatedbytheCompanyforinformationdisclosure,websitespecifiedbyCSRCforreleaseofthereportandplaceforreportpreparationduringthereportingperiod.Pleasereferto2019AnnualReportfordetails.
IV.KeyAccountingDataandFinancialIndicators
WhethertheCompanyperformedaretrospectiveadjustmentorrestatementofpreviousaccountingdata
□Yes√No
| CurrentReportingPeriod | CorrespondingPeriodofLastYear | YoYChange(%) | |
| OperatingRevenue(RMB) | 5,318,178,626.77 | 5,831,107,028.08 | -8.80% |
| NetProfitAttributabletoShareholdersoftheListedCompany(RMB) | 643,481,717.35 | 692,968,498.78 | -7.14% |
| NetProfitAttributabletoShareholdersoftheListedCompanyafterDeductingNon-recurringGainsandLosses(RMB) | 582,191,161.67 | 641,841,146.76 | -9.29% |
| NetCashFlowGeneratedbyOperationalActivities(RMB) | 1,104,651,449.42 | 830,554,910.93 | 33.00% |
| BasicEarningsperShare(RMB/Share) | 0.18 | 0.19 | -5.26% |
| DilutedEarningsperShare(RMB/Share) | 0.18 | 0.19 | -5.26% |
| WeightedAverageROE | 6.74% | 7.99% | -1.25% |
| AttheEndoftheCurrentReportingPeriod | AttheEndofLastYear | YoYChange(%) | |
| TotalAssets(RMB) | 15,540,725,156.74 | 14,790,190,170.64 | 5.07% |
| NetAssetsAttributabletoShareholdersoftheListedCompany(RMB) | 9,528,973,610.48 | 9,291,632,928.45 | 2.55% |
1.Differenceinthefinancialreportofnetprofitsandnetassetsaccordingtothedisclosureof
InternationalFinancialReportingStandardsandChinaAccountingStandards
□Applicable√NotapplicableThereisnodifferenceinthefinancialreportofnetprofitsandnetassetsaccordingtothedisclosureofInternationalFinancialReportingStandards(IFRS)andChinaAccountingStandardsinthereportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
2.DifferenceinthefinancialreportofnetprofitsandnetassetsaccordingtothedisclosureofOverseas
AccountingStandardsandChinaAccountingStandards
□Applicable√NotapplicableThereisnodifferenceinthefinancialreportofnetprofitsandnetassetsaccordingtothedisclosureofOverseasAccountingStandardsandChinaAccountingStandardsinthereportingperiod.
VI.ItemsandAmountsofNon-recurringGainsandLosses
√Applicable□Notapplicable
Unit:RMB
| Items | Amount | Note |
| GainsorLossesfromDisposalofNon-currentAssets(IncludingtheWrite-offfortheAccruedImpairmentofAssets) | -1,403,295.52 | |
| TheGovernmentSubsidiesIncludedintheCurrentGainsandLosses(ExcludingtheGovernmentSubsidiesCloselyRelatedtoRegularBusinessesoftheCompanyandIssuedintheQuotaorQuantityBasedontheNationalStandards) | 93,590,286.21 | |
| GainsorLossesAttributedtotheChangesinFairValueforHoldingHeld-for-tradingfinancialassets,DerivativeFinancialAssets,TradingFinancialLiabilities,DerivativeFinancialLiabilitiesandInvestmentIncomefromDisposalofHeld-for-tradingfinancialassets,DerivativeFinancialAssets,TradingFinancialLiabilities,DerivativeFinancialLiabilitiesandOtherDebtInvestment,ExcludingHedgingBusinessesRelatedtotheRegularBusinessOperationoftheCompany | -23,409,775.96 | |
| Non-operatingIncomeandExpendituresOtherThantheAbove | 1,196,846.18 | |
| OtherGainsandLossesItemsthatFitintheDefinitionofNon-recurringGainsandLosses | 1,113,187.32 | |
| Less:ImpactofIncomeTax | 9,222,107.32 | |
| ImpactofMinorityEquity(aftertax) | 574,585.23 | |
| Total | 61,290,555.68 | -- |
Thereasonsforthenon-recurringgainsandlossesitemsdefinedorlistedintheExplanatoryAnnouncementNo.1ofInformationDisclosureofListedCompanies–Non-recurringGainsandLossesaredefinedasrecurringgainsandlossesitems
□Applicable√NotapplicableInthereportingperiod,theCompanydidnotdefineanynon-recurringgainsandlossesitemsdefinedandlistedintheExplanatoryAnnouncementNo.1ofInformationDisclosureofListedCompanies–Non-recurringGainsandLosses,asrecurringgainsandlossesitems.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionIIICorporateBusinessOverview
I.ThePrincipalBusinessoftheCompanyduringtheReportingPeriod
1.Mainbusiness
TheCompanyadherestothe"focusonleading"businesspath,focusingontheresearchandapplicationofheatpumpinvertercontroltechnologyandthermalmanagementsystemproducts,focusingonthedevelopmentofenvironmentalthermalmanagementsolutionsforheatexchangeandintelligentcontrol,andiscommittedtotheprofessionaloperationinthefieldsofbuildingHVAC,electricalequipmentandautomobilethermalmanagement.Accordingtothedifferentstages,needsandcharacteristicsofstrategicbusinessandtheirdevelopment,theCompany'sbusinessismainlydividedintorefrigerationandairconditioningelectricalcomponentsbusinessandautomotivecomponentsbusiness,tofurtherclarifycustomerorientationandquicklyrespondtothemarket.ThemainpurposeoftheCompanyistoproduceandmarketcomponentsandpartsforrefrigerationA/Candrefrigerator,automobileA/Candthermalmanagementofnewenergyvehicles,coffeemaker,dishwasherandwashingmachine.ThemainproductsofrefrigerationandA/CelectricalpartsbusinessincludeFour-wayReversingValve,ElectronicExpansionValve,SolenoidValve,MicrochannelHeatExchanger,OmegaPump,etc.,whicharewidelyusedinA/C,refrigerator,coldchainlogistics,dishwasherandotherfields;themainproductsofautomotivecomponentsbusinessincludeThermalExpansionValve,ReceiverDrier,ElectronicExpansionValve,ElectronicWaterPump,etc.,whicharewidelyusedinbothtraditionalfuelvehiclesandnewenergyvehiclethermalmanagementfield.Duringthereportingperiod,theCompany'smainbusinessanditsbusinessmodelhavenotchanged.
2.Industrydevelopment
（1）RefrigerationandairconditioningelectricalcomponentsindustryChinaisthelargestmanufacturingbaseofA/Candrefrigeratorsintheworld,anditsproductionandsalesvolumeranksfirstglobally.Inlinewiththetrendofenvironmentalprotectionintheworld,energy-savinginverterandintelligenttechnologyhavebecomethetrend,whichputsforwardaseriesofnewrequirementsforthemarketofcontrolcomponents,andalsobringsnewdevelopmentopportunities.Asaleadingenterpriseintherefrigerationcontrolcomponentsindustry,theCompanywillfollowthetrend,firmlyseizethisopportunityanddevelopsteadily.
（2）AutomotivecomponentsindustryTheglobalautomobileindustryhasbeendevelopingrapidly,whichalsodrivesthemarketdemandofautomotiveA/Candthermalmanagementproductstocontinuetogrowsubstantially.Inrecentyears,thedevelopmentofnewenergyvehicleshasbecomearelativelycertaintrend,whichputsforwardhigherandmoreupdatedrequirementsforA/Candthermalmanagementproducts.Focusingonthein-depthresearchonA/Candthermalmanagementsystemofnewenergyvehicles,theCompanyhasgraduallydevelopedfromcomponentstomoduleandsubsystems,andhasbecomethesupplierofValeo,Mahler,Volkswagen,MercedesBenz,BMW,Volvo,Toyota,
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
GM,Geely,BYD,SAICandothercustomers.
3.Industrystatus
TheCompanyistheworld'slargestmanufacturerofrefrigerationcontrolcomponentsandtheworld'sleadingmanufacturerofautomotiveA/Candthermalmanagementsystemcontrolcomponents."Sanhua"brandrefrigerationintelligentcontrolcomponentshavebecomeaworld-famousbrand,andastrategicpartnerofmanyautomobileenterprisesandair-conditioningrefrigerationappliancemanufacturersintheworld.Aftermorethan30yearsofdevelopment,theCompanyhasestablishedaleadingpositionintheglobalmarketofrefrigerationandairconditioningintelligentcontrolcomponents.ThemarketshareoftheCompany'sElectronicExpansionValve,Four-wayReversingValve,SolenoidValve,MicrochannelHeatExchanger,OmegaPumpranksfirstglobally.ThemarketshareoftheCompany'sServiceValve,VehicleThermalExpansionValveandReceiverDrierisintheleadingpositionintheworld.Atthesametime,theCompanyfocusesontheresearchanddevelopmentofairconditioningandthermalmanagementproductsfornewenergyvehicles,becamethefirstChineseenterprisetowinthePaceAwardofAutomotiveNewsoftheUnitedStates.
II.SignificantChangesinMainAssets
1.Significantchangesinmainassets
| Majorasset | ExplanationonMajorChanges |
| EquityAssets | Nomajorchanges |
| FixedAssets | Increasedby246.36millioncomparedwiththebeginningoftheyear,mainlyduetoinvestmentofraisedfundsandthetransformationofautomationequipment |
| IntangibleAssets | Nomajorchanges |
| ConstructioninProgress | Increasedby11.91millioncomparedwiththebeginningoftheyear,mainlyduetoinvestmentofraisedfundsandthetransformationofautomationequipment |
| CashandBankBalances | Increasedby748.32millioncomparedwiththebeginningoftheyear,mainlyduetonetcashinflowfromoperatingactivities |
| Held-for-tradingfinancialassets | Increasedby227.90millioncomparedwiththebeginningoftheyear,mainlyduetoincreaseofbankfinancialproducts |
| DerivativeFinancialAssets | Increasedby15.39millioncomparedwiththebeginningoftheyear,mainlyduetoincreasinginfloatingincomeoffuturecontracts |
| Prepayments | Increasedby28.31millioncomparedwiththebeginningoftheyear,mainlyduetoincreasinginprepaymentofinventories |
√Applicable□Notapplicable
| Contentof | Formation | Sizeof | Location | Operation | Control | Income | Proportion | Whether |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Assets | Assets | Mode | measuresofsecurityassets | Status | ofoverseasassetsinnetassetsoftheCompany | thereissignificantimpairmentrisk | ||
| SanhuaInternationalLimited(USA)(merger) | EquityInvestment | 1,198,408,135.25 | TheUnitedStates | R&D,Manufacturing,MarketingandInvestmentManagement | Financialsupervisionandexternalaudit | -20,604,138.42 | No | |
| SanhuaInternationalSingaporePTE.Ltd.(merger) | EquityInvestment | 2,234,799,870.35 | Singapore | Manufacturing,MarketingandInvestmentManagement | Financialsupervisionandexternalaudit | 32,301,884.25 | No |
1.ClearstrategiclayoutTheCompanyadherestothe"focusonleading"businesspath,takestheresearchandapplicationofheatpumpinvertercontroltechnologyandthermalmanagementsystemproductsasthecore,firmlygraspsthedevelopmentthemeofenergyconservation,environmentalprotectionandintelligentcontrol,upgradesfrom"mechanicalpartsdevelopment"to"systemcontroltechnologysolutiondevelopmentofelectroniccontrolintegration".TheCompany’sproductseriesareexpandedfromhouseholdA/CandrefrigeratorcomponentstothefieldofcommercialA/Candcommercialrefrigeration,andextendingtothedirectionofinvertercontroltechnologyandsystemintegrationandupgrading.Meanwhile,aftertheinjectionofautomotivebusiness,itwillgivefullplaytothesynergyeffectwiththeoriginalbusiness,continuetodeepentheresearchanddevelopmentofautomobileA/Candnewenergyvehiclethermalmanagementsystemcomponents,andactivelylayoutthedeeperapplicationofthermalmanagementcomponentsandsubsystemsintheautomotivefield,soastoprovideglobalcustomerswithcompetitiveenvironmentalintelligentcontrolsolutions.
2.Technologyleading,customerorientedAsanationalhigh-techenterprise,theCompanyhasalwaysadheredtothetechnologicalrouteofindependentdevelopmentandinnovation.Fordecades,ithasfocusedonthefieldofintelligentcontrolandvigorouslycultivatedcoretechnologieswithindependentintellectualpropertyrights.Ithasbeengrantedpatentsbothdomesticandabroad,includinginventionpatents.Allproducts,servicesandqualityoftheCompanyaretomeettheneedsofcustomersasthefirstpriority.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
3.Qualityassurance,scaleeconomyeffectTheCompany'sproductscoverrefrigerationA/Celectricalcomponentsandautomotivecomponentsindustry.ThemarketshareoftheCompany'sElectronicExpansionValve,Four-wayReversingValve,SolenoidValve,MicrochannelHeatExchanger,AutomotiveElectronicExpansionValve,OmegaPumpranksfirstglobally.ThemarketshareofServiceValve,VehicleThermalExpansionValveandReceiverDrierisintheleadingpositionintheworld.TheCompanyhasestablishedacompleteandstrictqualityassurancesystem,passedISO9001,IATF16949,QC080000qualitysystemcertification.TheCompanywontheNationalQualityAward,ZhejiangQualityAward,andwonthehighcommentsfromJCI,Daikin,Carrier,Gree,Midea,Haier,Toyota,Benz,Volkswagen,Valeo,Mahlerandotherwell-knownenterprisesathomeandabroad.
4.AdvantagesofglobalmarketingnetworkandproductionbaseSincethe1990s,theCompanyhasfocusedonexpandingtheinternationalmarket,andhasestablishedoverseassubsidiariesinJapan,SouthKorea,Singapore,theUnitedStates,Mexico,Germanyandotherplacestobuildaglobalmarketingnetwork.Atthesametime,ithasestablishedoverseasproductionbasesintheUnitedStates,Poland,Mexico,Vietnamandotherplaces,andhaspreliminaryabilitytocopewithglobalization.Andinpractice,wehavetrainedanumberofmanagementtalentswhocanmeettheneedsofbusinessdevelopmentindifferentcountriesandregions.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionIVManagement’sDiscussionandAnalysisofOperations
I.Overview
Inthefirsthalfof2020,undertheinfluenceoftheCOVID-19,strictepidemicpreventionandcontrolmeasureswereimplementedathomeandabroad,andthedownwardpressureontheeconomywasfurtherincreased.Inaddition,theeconomicandtradefrictionbetweenChinaandtheUnitedStatesbroughtadverseeffectsontheCompany'soperationandmarketexpectations.SpecifictotheindustryinwhichtheCompanyoperates,theCompany'srefrigerationandairconditioningelectricalcomponentsbusinessisaffectedbytheepidemic,andtheoverallperformanceisunderpressureintheshortterm.However,withtheinventoryclearanceoftheindustryandthereleaseofnewenergyefficiencystandardsforairconditioning,thedemandhasgraduallybeguntorecover,evenreachinganewhighpoint.Theautomotivecomponentsbusinesshasbeengreatlyaffectedbytheoveralldeclineoftheautomobileindustry,butthelong-termdevelopmenttrendofnewenergyvehiclesisstrong,andthecumulativepositivegrowthhasbeenachieved.Duringthereportingperiod,theoperatingrevenueisRMB5.318billion,ayear-on-yeardecreaseof8.80%;theoperatingprofitisRMB740million,ayear-on-yeardecreaseof10.86%;thenetprofitattributabletoshareholdersofthelistedCompanyisRMB643million,ayear-on-yeardecreaseof7.14%.TheoperatingrevenueofrefrigerationandairconditioningelectricalcomponentsbusinessisRMB4.368billion,ayear-on-yeardecreaseof
13.79%;theoperatingrevenueofautomotivecomponentsbusinessisRMB950million,ayear-on-yearincreaseof24.34%.ThemainworksoftheCompanyinthefirsthalfof2020areasfollows:
1.Focusonoperationanddeepenindustriallayout
(1).RefrigerationandairconditioningelectricalcomponentsbusinessTheCompany'srefrigerationandairconditioningelectricalcomponentsbusinesswasnegativelyaffectedbytheepidemic.Underthepressureofasharpdeclineinthefirstquarter,theCompanypaidcloseattentiontothemarkettrend,activelyadjustedthemarketstrategy,furtherstrengthenedthestrategicrelationshipwithcustomersexternally,seizedorders,andsteadilyincreasedthemarketshare,ofwhichsalesinMayandJuneincreasedsignificantly.Internally,wewillcontinuetosortouttheintegrationofAwecobusiness,implementbudgetmanagement,IEimprovementandothermeasurestopromoteinternalefficiencyandcostreduction.Atthesametime,withthereleaseofnewenergyefficiencystandardsforairconditioning,wewillactivelyseizemarketopportunitiessuchasenergyefficiencyupgradingandrefrigerantswitching,andcontinuetopromotemorecompetitiveproducts.
(2).AutomotivecomponentsbusinessInthefirsthalfof2020,theglobaleconomywasaffectedbytheepidemicathomeandabroadinsuccession,andtheautomobileindustryasawholewasgreatlyaffected.Onthepremiseofepidemicpreventionandcontrol,theautomotivecomponentsbusinessdealwiththeorderdeliveryofoverseascustomers;atthesametime,itactivelypromotetheintegratedmoduleprojectamongexistingcustomers,soastomakethethermalmanagementproductsmorestandardized,integratedandplatform-based.Atthesametimeofstrivingforthe
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
newprojectofexistingcustomers,weactivelydevelopnewcustomers,realizedtheicebreakingofJapanesecustomers,andsuccessfullyenteredtheToyotasuppliersystem.
2.Uniteasoneandfightagainsttheepidemictogether
Aftertheoutbreakoftheepidemic,underguidanceofgovernmentdepartments,theCompanyfocusedonthepreventionandcontroloftheepidemicononehandandtheresumptionofproductionontheotherhand.Ineachsubsidiarycompanyaroundtheworld,timelyimplementtheanti-epidemicmaterialreserve,overcomeplentyofdifficulties,implementofresumptionofworkinbatches,providetimelyproductserviceforcustomers,andensurethenormaloperationandproduction.
3.Payattentiontotheconstructionoftalentteamandestablishsustainedandlong-termincentivemechanism
TheCompanycontinuestodeepentheworkof"strengtheningthetalents,streamliningandhighefficiency",promotingeachbusinessunittooptimizethetalentdevelopmentandeliminationmechanism,andcomprehensivelyapplythetalentreviewresults.Atthesametime,duringthereportingperiod,theCompanyimplementedthesecondrestrictedstockincentiveplanfordirectors,seniormanagersandothercoretalents,andfurtherestablishedandimprovedtheCompany'slong-termincentivemechanism.
II.MainBusinessAnalysis
OverviewPleaserefertodetailsin“I.Overview”of“SectionIVManagement’sDiscussionandAnalysisofOperation”Changesinkeyfinancialdataoverthecorrespondingperiodoflastyear
Unit:RMB
| CurrentReportingPeriod | CorrespondingPeriodofLastYear | YoYChange(%) | NoteofChange | |
| OperatingRevenue | 5,318,178,626.77 | 5,831,107,028.08 | -8.80% | |
| OperatingCost | 3,839,626,004.70 | 4,179,915,713.98 | -8.14% | |
| SellingExpenses | 257,442,500.54 | 263,730,876.93 | -2.38% | |
| AdministrativeExpenses | 315,350,745.15 | 304,294,733.96 | 3.63% | |
| FinancialExpenses | -29,893,397.04 | 12,364,734.89 | -341.76% | Mainlyduetogainsonexchangeratefluctuation |
| IncomeTaxExpenses | 99,017,348.37 | 142,881,546.88 | -30.70% | Mainlyduetodecreaseinoperatingrevenue |
| R&DInvestments | 240,012,928.38 | 248,506,405.93 | -3.42% | |
| NetCashFlowsfromOperatingActivities | 1,104,651,449.42 | 830,554,910.93 | 33.00% | Mainlyduetodecreaseincashpaymentforgoodsandservicesinthecurrentperiod |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| NetCashFlowsfromInvestmentActivities | -679,392,344.66 | 227,848,099.26 | -398.18% | Mainlyduetoincreaseinpurchaseoffinancialproductsinthisperiod |
| NetCashFlowsfromFinancingActivities | 310,293,217.58 | -646,477,650.98 | 148.00% | Mainlyduetoincreaseinbankloan |
| NetIncreaseinCashandCashEquivalents | 709,896,200.36 | 408,595,409.47 | 73.74% |
WhetherthereissignificantchangeinCompany’sprofitstructureorprofitsourceduringthereportingperiod
□Applicable√NotapplicableThereisnosuchcaseduringthereportingperiodOperatingincomestructure
Unit:RMB
| CurrentReportingPeriod | CorrespondingPeriodofLastYear | YoYChange(%) | |||
| Amount | Proportiontooperatingincome | Amount | Proportiontooperatingincome | ||
| TotalRevenue | 5,318,178,626.77 | 100% | 5,831,107,028.08 | 100% | -8.80% |
| ClassifiedbyIndustry | |||||
| GeneralEquipmentManufacturingIndustry | 5,318,178,626.77 | 100.00% | 5,831,107,028.08 | 100.00% | -8.80% |
| ClassifiedbyProducts | |||||
| RefrigerationA/CElectricalComponents | 4,367,942,431.64 | 82.13% | 5,066,906,018.45 | 86.89% | -13.79% |
| AutomotiveComponents | 950,236,195.13 | 17.87% | 764,201,009.63 | 13.11% | 24.34% |
| ClassifiedbyRegion | |||||
| Domestic | 2,479,768,382.72 | 46.63% | 2,932,950,932.66 | 50.30% | -15.45% |
| Overseas | 2,838,410,244.05 | 53.37% | 2,898,156,095.42 | 49.70% | -2.06% |
Industries,productsorregionsaccountingformorethan10%oftheCompany’soperatingincomeoroperatingprofit
√Applicable□Notapplicable
Unit:RMB
| Operatingincome | Operatingcost | Grossmargin | YoYChange(%)ofoperating | YoYChange(%)ofoperatingcost | YoYChange(%)ofgrossmargin |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| income | ||||||
| Classifiedbyindustry | ||||||
| GeneralEquipmentManufacturingIndustry | 5,318,178,626.77 | 3,839,626,004.70 | 27.80% | -8.80% | -8.14% | -0.52% |
| Classifiedbyproduct | ||||||
| RefrigerationA/CElectricalComponents | 4,367,942,431.64 | 3,164,066,988.85 | 27.56% | -13.79% | -13.65% | -0.12% |
| AutomotiveComponents | 950,236,195.13 | 675,559,015.85 | 28.91% | 24.34% | 31.03% | -3.63% |
| Classifiedbyregion | ||||||
| Domestic | 2,479,768,382.72 | 1,745,269,588.31 | 29.62% | -15.45% | -16.96% | 1.28% |
| Overseas | 2,838,410,244.05 | 2,094,356,416.39 | 26.21% | -2.06% | 0.77% | -2.08% |
InthecasethattheCompany'smainbusinessdatastatisticsareadjustedduringthereportingperiod,theCompany'smainbusinessdataofthelatestreportingperiodwereadjustedaccordingtothestatisticsattheendofthelastreportingperiod
□Applicable√NotapplicableExplanationsonrelevantdatachangedformorethan30%onayear-over-yearbase
√Applicable□NotapplicableTheoperatingcostofautopartsincreasedby31.03%overthesameperiodoflastyear,mainlyduetotheincreaseof24.34%inoperatingrevenue.
III.Non-CoreBusinessAnalysis
√Applicable□Notapplicable
Unit:RMB
| Amount | Proportiontonetprofit | NoteofChange | Sustainability | |
| InvestmentIncome | -8,109,921.96 | -1.10% | Gainsandlossesoffuturescontractsettlement,foreignexchangeforwardcontractsettlement,bankfinancialproduct,etc. | No |
| GainsandLossesfromChangeofFairValue | 6,520,045.96 | 0.88% | Floatingincomeoffuturescontracts,foreignexchangeforwardcontracts,bankfinancialproducts,etc. | No |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Non-operatingRevenue | 1,466,984.81 | 0.20% | Failuretopay,compensationandpenaltyincome,etc. | No |
| Non-operatingExpenditures | 1,354,079.15 | 0.18% | Lossonscrappingoffixedassets,etc. | No |
| OtherGains | 101,528,141.23 | 13.72% | Governmentgrants,etc. | ThegovernmentgrantsofVATrefundofcivilwelfareenterprisesandsoftwareproductVATexceedingtaxburdenaresustainable,whiletherestarenotsustainable |
| CreditImpairmentLoss | -12,874,290.80 | -1.74% | Baddebtloss,etc. | No |
| AssetsImpairmentLoss | -6,302,857.17 | -0.85% | Lossonimpairmentofinventories | No |
| GainsonDisposalofProperties | -319,355.00 | -0.04% | Gainsondisposaloffixedassets | No |
1.Materialchangesofassets
Unit:RMB
| AttheEndofCurrentReportingPeriod | AttheEndofCorrespondingPeriodofLastYear | YoYChange(%) | Noteofsignificantchange | |||
| Amount | Percentageoftotalassets | Amount | Percentageoftotalassets | |||
| CashandBankBalances | 3,412,040,819.22 | 21.96% | 1,688,352,692.35 | 12.13% | 9.83% | MainlyduetotheincreaseofnetcashflowgeneratedbytheCompany'soperatingactivities |
| AccountReceivable | 2,130,607,685.90 | 13.71% | 2,187,524,138.75 | 15.71% | -2.00% | |
| Inventories | 1,902,896,386.17 | 12.24% | 1,804,997,672.73 | 12.96% | -0.72% | |
| Investmentproperty | 26,263,000.26 | 0.17% | 76,238,924.18 | 0.55% | -0.38% | |
| Long-termEquityInvestment | 14,348,933.44 | 0.09% | 11,813,021.01 | 0.08% | 0.01% | |
| FixedAssets | 3,625,967,658. | 23.33% | 3,040,588,886. | 21.84% | 1.49% | |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| 09 | 33 | |||||
| ConstructioninProgress | 492,864,704.94 | 3.17% | 640,806,251.81 | 4.60% | -1.43% | |
| Short-termborrowings | 1,267,378,241.24 | 8.16% | 1,408,757,665.49 | 10.12% | -1.96% | |
| Long-termborrowings | 1,259,113,765.14 | 8.10% | 2,000,000.00 | 0.01% | 8.09% | Mainlyduetoincreasedbankloansforprojectconstructionandautomationequipmenttransformation, |
√Applicable□Notapplicable
Unit:RMB
| Items | Openingbalance | Profitandlossoffairvaluechangeinthecurrentperiod | Cumulativechangesinfairvalueincludedinequity | Impairmentaccruedinthecurrentperiod | Currentpurchaseamount | Currentsaleamount | Otherchanges | Closingbalance |
| FinancialAssets | ||||||||
| 1.Held-for-tradingfinancialassets(ExcludingDerivativeFinancialAssets) | 993,634,433.31 | -300,099.30 | 228,200,957.00 | 1,221,535,291.01 | ||||
| 2.DerivativeFinancialAssets | 8,314,400.73 | 15,393,725.59 | 23,708,126.32 | |||||
| Total | 1,001,948,834.04 | 15,093,626.29 | 228,200,957.00 | 1,245,243,417.33 | ||||
| FinancialLiabilities | 126,364.40 | 8,323,248.69 | 8,449,613.09 | |||||
WhethertherewereanymaterialchangesonthemeasurementattributesofmajorassetsoftheCompanyduringthereportingperiod:
□Yes√No
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
3.Assetsrightrestrictionsasoftheendofreportingperiod
| Items | ClosingBookvalue | Reasonsforbeingrestricted |
| CashandBankBalances | 148,361,603.85 | Depositsandinvestmentdeposits |
| NoteReceivable | 1,264,550,094.76 | Pledgeforfinancing |
| Total | 1,412,911,698.61 | - |
1.Overview
√Applicable□Notapplicable
| InvestmentduringtheReportingPeriod(RMB) | InvestmentovertheCorrespondingPeriodofLastYear(RMB) | FluctuationRate(%) |
| 0.00 | 9,238,318.85 | -100.00% |
□Applicable√Notapplicable
3.Significantnon-equityinvestmentduringthereportingperiod
□Applicable√Notapplicable
4.Financialassetportfolio
（1）SecuritiesInvestments
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
（2）DerivativesInvestments
√Applicable□Notapplicable
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Unit:RMBin10thousand
| Operationpartyofderivativesinvestment | WhetherRelatedparty | Whetherrelatedtransaction | Typeofderivativesinvestment | Initialinvestmentamountofderivativesinvestment | Initialdate | Terminationdate | Openinginvestmentamount | Purchasedamountduringthereportingperiod | Soldamountduringthereportingperiod | Impairmentprovisions(ifany) | Closinginvestmentamount | ProportionofclosinginvestmentamounttotheCompany’snetassetsattheendofthereportingperiod | Actualgainorlossduringthereportingperiod |
| FuturesCompany,Bank | No | No | Futurescontracts,foreignexchangeforwardcontracts,etc. | ||||||||||
| Total | -- | -- | |||||||||||
| Capitalsourceofderivativesinvestment | Company’sself-fund | ||||||||||||
| Prosecution(ifapplicable) | Notapplicable | ||||||||||||
| Announcementdateforapprovalsofderivativesinvestmentfromtheboardofdirectors(ifany) | |||||||||||||
| Announcementdateforapprovalsofderivativesinvestmentfromthegeneralmeeting(ifany) | |||||||||||||
| Riskanalysisandcontrolmeasures(includingbutnot | Inordertoavoidthepriceriskofrawmaterialsandexchangeraterisk,theCompanyanditssubsidiarieshavecarriedoutderivative | ||||||||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| limitedto,marketrisk,liquidityrisk,creditrisk,operationalrisk,legalrisk,etc.)ofholdingderivativesduringthereportingperiod | business,includingfuturescontractsandforeignexchangeforwardcontracts.TheCompanyanditssubsidiariesstrictlyimplementtherelevantprovisionslistedintheManagementmeasuresforoperationoffutureshedgingbusinessandManagementinstitutionforforeignexchangehedgingbusiness. |
| Changeofmarketpriceorfairvalueofinvestedderivativesduringthereportingperiod;specificmethods,relatedassumptionsandparametersettingofthederivatives’fairvalueanalysisshouldbedisclosed | Atthebeginningofthereportingperiod,thefloatingincomeofinvestedderivativesatfairvaluewasRMB8.188million,andthatofderivativesattheendofthereportingperiodwasRMB15.2585million. |
| Duringthecurrentreportingperiod,whethertherewassignificantchangesofaccountingpoliciesandaccountingprinciplesoftheCompany’sderivativescomparingtothepriorreportingperiod | Notapplicable |
| SpecificopinionsontheCompany’sderivativesinvestmentsandriskcontrolfromindependentdirectors | Notapplicable |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
5.Usageofraisedfunds
√Applicable□Notapplicable
（1）Overallusageofraisedfund
√Applicable□Notapplicable
Unit:RMBin10thousand
| TotalAmountofRaisedFunds | 171,631 |
| TotalAmountofRaisedFundsInvestedintheReportPeriod | 24,588.33 |
| AccumulatedAmountofFundRaised | 141,274.52 |
| TotalAmountofRaisedFundswithUseAlterationduringtheReportingPeriod | 0 |
| AccumulatedAmountofRaisedFundswithUseAlteration | 11,471.76 |
| ProportionofAccumulatedAmountofRaisedFundswithUseAlterationtotheTotalAmountofRaisedFunds | 6.68% |
| DescriptionofOverallUsageofRaisedFunds | |
| TheinformationintheabovetableincludestheraisedfundsissuedbytheCompanyin2015and2017.(1)Year20151.TheactualamountofraisedfundanddateoftransferinApprovedbyChinaSecuritiesRegulatoryCommission(CSRC)[2015]No.1454,theCompanynon-publicoffered46,349,942commonshares,withatotalraisedfundofRMB399,999,999.46.AfterdeductingtheissuanceexpensesofRMB5,999,999.47,thenetamountofraisedfundsisRMB393,999,999.99.TheraisedfundsweretransferredinonDecember21st,2015,andithasbeenverifiedbyTianjianaccountingfirm,whichhasissuedtheCapitalVerificationReport(TJY[2015]No.531).AstheprincipalbodyoftheprojectisHangzhouSanhuaMicrochannelHeatExchangerCo.,Ltd.(hereinafterreferredtoasSanhuaMicrochannel)anditssubsidiarySanhuaMexicoIndustrys.de.r.l.deC.V.(hereinafterreferredtoasMexicoMicrochannel),theCompanyallocatedRMB393,999,999.99ofraisedfundstoSanhuaMicrochannelintheformofcapitalincreaseonDecember29th,2015.2.UsageandbalanceofraisedfundsTheCompanyhasusedRMB345.6904millionofraisedfundsinpreviousyears.TheamountofbankdepositinterestandfinancialincomenetofbankchargesreceivedinpreviousyearswasRMB12.2878million.ThesurplusbalanceofraisedfundsamountedtoRMB26,100,allofwhichhasbeenusedtopermanentlyreplenishtheCompany'sworkingcapital.FromJanuarytoJune2020,theactualuseofraisedfundsisRMB5.3660million,theamountofbankdepositinterestandfinancialincomeafterdeductingbankchargesisRMB444,100.ThesurplusbalanceofraisedfundsamountedtoRMB55.6494million,allofwhich | |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
（2）StatementofCommittedInvestmentProjectsofRaisedFunds
√Applicable□Notapplicable
Unit:RMBin10thousand
hasbeenusedtopermanentlyreplenishtheCompany'sworkingcapital.TheaccumulatedamountofusedraisedfundswasRMB
351.0564million,theaccumulatedamountofbankdepositsinterestandfinancialincomeafterdeductingbankchargesisRMB
12.7319million.TheaccumulatedsurplusbalanceofraisedfundsamountedtoRMB55.6755million,allofwhichhasbeenusedtopermanentlyreplenishtheCompany'sworkingcapital.AsofJune30
th
,2020,thebalanceofraisedfundsisRMB0.000(includingthenetamountofaccumulatedbankdepositinterestandfinancialincomenetofbankcharges,etc.).
(1)Year2017
1.TheactualamountofraisedfundanddateoftransferinWiththeapprovalofChinaSecuritiesRegulatoryCommission(CSRC)[2017]No.1392,theCompanynon-publicissued88,154,000commonshares(Ashares),withatotalraisedcapitalofRMB1,322,310,000.00.AfterdeductingtheissuanceexpensesofRMB13,078,480.00,thenetamountofraisedfundsisRMB1,309,231,520.00.Theabove-mentionedraisedfundsweretransferredinonSeptember1
st,2017,andithasbeenverifiedbyTianjianaccountingfirm,whichhasissuedtheCapitalVerificationReport(TJY[2017]No.327).SinceZhejiangSanhuaAutomotiveComponentsCo.,Ltd.(hereinafterreferredtoasSanhuaAutomotive)anditssubsidiaryShaoxingSanhuaNewEnergyAutomotiveComponentsCo.,Ltd.(hereinafterreferredtoasShaoxingAutomotive),theCompanyhasallocatedtheraisedfundsofRMB1,301,310,000.00toSanhuaAutomotiveintheformofcapitalincrease.SanhuaAutomotivesynchronouslyallocatedtheraisedfundofRMB503,620,000.00toShaoxingAutomotiveintheformofcapitalincrease.
2.UsageandbalanceofraisedfundsTheCompanyhasusedRMB821.1715millionoftheraisedfundsinpreviousyears,andtheamountofbankdepositinterestandfinancialincomenetofbankchargesreceivedinpreviousyearswasRMB77.6239million.FromJanuarytoJune2020,theactualusageofraisedfundsisRMB240.5173million,andtheamountofbankdepositinterestandfinancialincomenetofbankchargesisRMB10.4168million.TheaccumulatedamountofusedraisedfundswasRMB1,061.6888million,theaccumulatedamountofbankdepositsinterestandfinancialincomeafterdeductingbankchargesisRMB88.0407million.AsofJune30
th
,2020,thebalanceofraisedfundsisRMB48.6619million(includingthenetamountofaccumulatedbankdepositinterestandfinancialincomedeductingbankcharges,etc.),andthebalanceofraisedfundsactuallyusedbytheCompanytopurchasefinancialproductsisRMB300million.Committedinvestmentprojectsandallocationofover-raisedfunds
| Committedinvestmentprojectsandallocationofover-raisedfunds | Whetherprojecthas | Totalcommittedinvest | Totalinvestmentafter | Investmentinthecurrent | Accumulativeinvestmentat | Investmentprogressatthe | Dateofassetreadyfor | Benefitsachievedinthe | Whetherexpected | Whetherfeasibilityof |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| been(orpartially)altered | mentofraisedfunds | alteration(a) | year | theendoftheperiod(b) | endoftheperiod(%)(d)=(b)/(a) | intendeduse | currentyear | benefitshavebeenachieved | projecthaschangedsignificantly | |
| Committedinvestmentprojects | ||||||||||
| ConstructionofMicrochannelHeatExchangerproductionlineinMexico | Yes | 22,755 | 11,760 | 11,739.6 | 99.83% | December31st,2017 | N/A | Yes | ||
| Technicaltransformationprojectofheatexchangerwithanannualoutputofadditional800,000units | No | 7,996 | 7,996 | 7,996 | 100.00% | June30th,2017 | N/A | No | ||
| Replenishworkingcapital | No | 9,249 | 9,249 | 8,649 | 93.51% | N/A | No | |||
| Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units | No | 11,471.76 | 536.6 | 6,721.04 | 58.59% | December31st,2019 | N/A | No | ||
| Newenergyautopartsconstructionprojectwithannualoutputof11.5millionsets | No | 50,362 | 50,362 | 13,539.96 | 42,101.14 | 83.60% | December31st,2021 | N/A | No | |
| TechnicaltransformationprojectofAutomotivethermalmanagementsystemmodulewithanannualoutputofadditional7.3millionunits | No | 45,495 | 45,495 | 9,638.25 | 34,866.02 | 76.64% | January31st,2021 | N/A | No | |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits | No | 20,874 | 20,874 | 754.82 | 18,614.65 | 89.18% | March31st,2020 | N/A | No | |
| Expansionofproducttestingroomandauxiliaryproductionroomproject | No | 13,400 | 13,400 | 118.7 | 8,529.22 | 63.65% | January31st,2019 | N/A | No | |
| Paymentofagents’fees | No | 2,100 | 2,100 | 2,057.85 | 97.99% | N/A | No | |||
| Subtotalofcommittedinvestmentprojects | -- | 172,231 | 172,707.76 | 24,588.33 | 141,274.52 | -- | -- | -- | -- | |
| Investmentofexcessproceeds | ||||||||||
| -- | ||||||||||
| Total | -- | 172,231 | 172,707.76 | 24,588.33 | 141,274.52 | -- | -- | 0 | -- | -- |
| Thesituationandreasonsofnotreachingtheplannedscheduleorexpectedincome(byspecificproject) | Fundsraisedin2015:AfterdeliberationandapprovaloftheboardofdirectorsonAugust6th,2016,thedateofassetreadyforintendeduseof"Technicaltransformationprojectofheatexchangerwithanannualoutputofadditional800,000units"wasextendedfromJune2016toJune2017,andothercontentsoftheprojectremainedunchanged.Thisprojecthasbeencompleted.AfterdeliberationandapprovaloftheboardofdirectorsonNovember30th,2017,theCompanymadesomechangestothepurposeoftheraisedfundsforthe"ConstructionofMicrochannelHeatExchangerproductionlineinMexico",andtransferredtheremainingraisedfundsinto"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units".ThenewprojectplanstouseRMB114.7176millionofraisedfunds(includingRMB4.7676millionofbankdepositinterestandfinancingincomeofraisedfunds),accountingfor29.12%ofthenetamountoffundsraisedin2015.Reasonsforthechange:InordertoacceleratethedevelopmentofMicrochannelbusiness,improvetheleveloftechnicalequipment,realizetheadjustmentandupgradingofproductstructure,andgivefullplaytotheresourceadvantagesofSanhuaMicrochannelHangzhoufactoryinR&D,technology,equipment,andimprovetheutilizationefficiencyofraisedfunds.TheCompanypostponedtheinvestmentinthethirdproductionlineandotherrelatedsupportingfacilitiesofMexicoproject.TheinvestmentofthethirdproductionlineandothersupportingfacilitiesinMexicoprojectshallbearrangedbytheCompanywithownfunding. | |||||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Fundsraisedin2017:(1)AfterdeliberationandapprovalbytheboardofdirectorsoftheCompanyonApril1st,2019,thedateofassetreadyforintendeduseof"TechnicaltransformationprojectofAutomotivethermalmanagementsystemmodulewithanannualoutputofadditional7.3millionunits"and"TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits"wasextendedfromJanuary2019toJanuary2021,theothercontentsoftheprojectwillremainunchanged.Reasonsforthechange:Combinedwiththeexistingproductstructureandmarkettrend,theCompanyadoptsthestrategyofprudentuseandreasonableinvestmentfortheraisedfunds.Asthenewequipmenttendstobemoreintelligentandsystematic,theCompanyselectstheequipmentaccordingtothelatesttechnicalrequirementsandproductmodels,sothattheinvestmentprogressofnewequipmentoftheprojectislaterthanexpected.OnMarch31st,2020,"TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits"hasbeencompleted.(2)AfterdeliberationandapprovalbytheboardofdirectorsonApril27th,2020,thedateofassetreadyforintendeduseof"Newenergyautopartsconstructionprojectwithannualoutputof11.5millionsets"wasextendedfromDecember2019toDecember2021,andothercontentsoftheprojectremainedunchanged.Reasonsforthechange:Combinedwiththeexistingproductstructureandmarkettrend,theCompanyadoptsthestrategyofprudentuseandreasonableinvestmentfortheraisedfunds.Incombinationwithcustomerfeedbackandproductionschedulingplan,theCompanywillgraduallyreleasetheproductioncapacityaccordingtotheactualcustomerdemand.Inordertoensurethattheinvestmentprogresscanmeettheactualproductiondemand,theCompanywilladjusttheequipmentprocurementtimingoftheraisedfundinvestmentprojectaccordingtothecustomer'sactualrequirements,thusextendtheinvestmentperiodoftheraisedfundinvestmentproject. | |
| Significantchangesinthefeasibilityofprojects | Fundsraisedin2015:1.BasicinformationaboutthechangeofprojectsinvestedbyraisingfundsAfterdeliberationandapprovaloftheboardofdirectorsonNovember30th,2017,theCompanymadesomechangestothepurposeoftheraisedfundsforthe"ConstructionofMicrochannelHeatExchangerproductionlineinMexico",andtransferredtheremainingraisedfundsinto"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units".ThenewprojectplanstouseRMB114.7176millionofraisedfunds(includingRMB4.7676millionofbankdepositinterestandfinancingincomeofraisedfunds),accountingfor29.12%ofthenetamountoffundsraisedin2015.2.ReasonsforthechangeoftheprojectinvestedbyraisingfundsInordertoacceleratethedevelopmentofMicrochannelbusiness,improvetheleveloftechnicalequipment,realizetheadjustmentandupgradingofproductstructure,andgivefullplaytotheresourceadvantagesofSanhuaMicrochannelHangzhoufactoryinR&D,technology,equipment,andimprovetheutilizationefficiencyofraisedfunds.TheCompanypostponedtheinvestmentinthethirdproductionlineandotherrelatedsupportingfacilitiesofMexicoproject.TheinvestmentofthethirdproductionlineandothersupportingfacilitiesinMexicoprojectshallbearrangedbytheCompanywithownfunding. |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| 3.DecisionmakingproceduresforthechangeofprojectsinvestedbyraisingfundsThechangeofraisedinvestmentprojectwasapprovedbytheboardofdirectorsoftheCompanyonNovember30th,2017.4.InformationdisclosureofchangesinprojectsinvestedbyraisedfundsOnDecember2nd,2017,theCompanydisclosedtheAnnouncementonChangingtheUsageofPartRaisedFunds(AnnouncementNo.:2017-078). | |
| Amount,usageanduseprogressofover-raisedFunds | Notapplicable |
| ChangeinimplementationlocationofinvestmentprojectsofRaisedFunds | Notapplicable |
| AdjustmenttoimplementationmethodofinvestmentprojectsofRaisedFunds | Notapplicable |
| Advanceinvestmentandreplacementofprojectsinvestedwithraisedfunds | Applicable |
| Raisedfundsin2015:In2016,theCompanyreplacedtheinitialinvestmentamountwithraisedfundsofRMB72.6453million.Fundsraisedin2017:In2017,theCompanyreplacedtheinitialinvestmentamountbyraisedfundsofRMB140.5585million. | |
| Temporarysupplementofworkingcapitalwithidleraisedfunds | Notapplicable |
| Theamountandreasonsofthebalanceofraisedfundsintheprojectimplementation | Applicable |
| AfterdeliberationandapprovaloftheboardofdirectorsonNovember30th,2017,theCompanymadesomechangestothepurposeoftheraisedfundsforthe"ConstructionofMicrochannelHeatExchangerproductionlineinMexico",andtransferredtheremainingraisedfundsinto"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units".ThenewprojectplanstouseRMB114.7176millionofraisedfunds(includingRMB4.7676millionofbankdepositinterestandfinancingincomeofraisedfunds),accountingfor29.12%ofthenetamountoffundsraisedin2015.InordertoacceleratethedevelopmentofMicrochannelbusiness,improvetheleveloftechnicalequipment,realizetheadjustmentandupgradingofproductstructure,andgivefullplaytotheresource |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| advantagesofSanhuaMicrochannelHangzhoufactoryinR&D,technology,equipment,andimprovetheutilizationefficiencyofraisedfunds.TheCompanypostponedtheinvestmentinthethirdproductionlineandotherrelatedsupportingfacilitiesofMexicoproject.TheinvestmentofthethirdproductionlineandothersupportingfacilitiesinMexicoprojectshallbearrangedbytheCompanywithownfunding.InApril2020,withtheapprovaloftheboardofdirectorsoftheCompany,the"Expansionofproducttestingroomandauxiliaryproductionroomproject"and"TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits"implementedbySanhuaAutomotiveandthe"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units"implementedbyMicrochannelwerecompleted.Amongthem,"Expansionofproducttestingroomandauxiliaryproductionroomproject"and"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units"werecompletedonDecember31st,2019,andthe"TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits"wascompleteonMarch31st,2020.OnMarch31st,2020,thefinalpaymentof"Expansionofproducttestingroomandauxiliaryproductionroomproject"isaboutRMB17.1548million,whichistobepaidbytheraisedfundsaccordingtothecontract.TheendingbalanceoftheprojectisaboutRMB32.74million.Theusagewillbedeterminedafterperformingtherelevantapprovalprocedures.OnMarch31st,2020,thefinalpaymentof"TechnicaltransformationprojectofAutomotiveA/Ccontrolcomponentswithanannualoutputofadditional12.70millionunits"isaboutRMB20.1527million,whichistobepaidwithraisedfundsaccordingtothecontract,andtheendingbalanceoftheprojectisaboutRMB19.9369million(includingthenetamountofaccumulatedbankdepositinterestandfinancialincomedeductingbankcharges).Theusageshallbedeterminedafterrelevantapprovalprocedures.OnMarch31,2020,theendingbalanceof"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units"wasRMB55.8663million(includingthenetamountofaccumulatedbankdepositinterestandfinancialincomenetofbankcharges,andtheunpaidbalanceofequipmentofRMB21.5949million.Theactualamountshallbesubjecttothebalanceofthespecialaccountonthedaywhenthefundistransferredout.).AccordingtotheresolutionoftheboardofdirectorsonApril27,2020,theendingbalanceoftheprojectisproposedtoreplenishworkingcapital,andtheremainingequipmentbalancetobepaidshallbepaidwithitsownfunds.AsofJune30th,2020,theactualbalanceofRMB55.6494millionhasbeenusedtoreplenishtheworkingcapitalpermanently. | |
| Useofunusedraisedfunds | Itisdepositedinthespecialaccountofraisedfundsandusedtopurchasebankfinancialproducts. |
| Problemsorother | No |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
（3）StatementofAlteredInvestmentProjectsofRaisedFunds
√Applicable□Notapplicable
Unit:RMBin10thousand
situationsintheuseanddisclosureofraisedfunds
Project
afteralteration
| Projectafteralteration | Projectbeforealteration | TotalRaisedFundstobeinvestedtotheprojectafteralteration(a) | Actualinvestmentinthecurrentyear | Actualaccumulativeinvestment(b) | Investmentprogress(%)(c)=(b)/(a) | Dateofassetreadyforintendeduse | Benefitsachievedinthecurrentyear | Whetherexpectedbenefitshavebeenachieved | Whetherfeasibilityofprojecthaschangedsignificantly |
| Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units | ConstructionofMicrochannelHeatExchangerproductionlineinMexico | 11,471.76 | 536.6 | 6,721.04 | 58.59% | December31st,2019 | Notapplicable | No | |
| Total | -- | 11,471.76 | 536.6 | 6,721.04 | -- | -- | 0 | -- | -- |
| Alterationreason,decisionmakingprogressandinformationdisclosure(ofaspecificproject) | 1.BasicinformationaboutthechangeofprojectsinvestedbyraisingfundsAfterdeliberationandapprovaloftheboardofdirectorsonNovember30th,2017,theCompanymadesomechangestothepurposeoftheraisedfundsforthe"ConstructionofMicrochannelHeatExchangerproductionlineinMexico",andtransferredtheremainingraisedfundsinto"Automatictechnicaltransformationprojectofheatexchangerwithanannualoutputofadditional700,000units".ThenewprojectplanstouseRMB114.7176millionofraisedfunds(includingRMB4.7676millionofbankdepositinterestandfinancingincomeofraisedfunds),accountingfor29.12%ofthenetamountoffunds | ||||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| raisedin2015.2.ReasonsforthechangeoftheprojectinvestedbyraisingfundsInordertoacceleratethedevelopmentofMicrochannelbusiness,improvetheleveloftechnicalequipment,realizetheadjustmentandupgradingofproductstructure,andgivefullplaytotheresourceadvantagesofSanhuaMicrochannelHangzhoufactoryinR&D,technology,equipment,andimprovetheutilizationefficiencyofraisedfunds.TheCompanypostponedtheinvestmentinthethirdproductionlineandotherrelatedsupportingfacilitiesofMexicoproject.TheinvestmentofthethirdproductionlineandothersupportingfacilitiesinMexicoprojectshallbearrangedbytheCompanywithownfunding.3.DecisionmakingproceduresforthechangeofprojectsinvestedbyraisingfundsThechangeofraisedinvestmentprojectwasapprovedbytheboardofdirectorsoftheCompanyonNovember30th,2017.4.InformationdisclosureofchangesinprojectsinvestedbyraisedfundsOnDecember2nd,2017,theCompanydisclosedtheAnnouncementonChangingtheUsageofPartRaisedFunds(AnnouncementNo.:2017-078). | |
| Thesituationandreasonsofnotreachingtheplannedscheduleorexpectedincome(byspecificproject) | Notapplicable |
| Descriptionofsignificantchangesinthefeasibilityofthechangedproject | Notapplicable |
√Applicable□Notapplicable
Unit:RMBin10thousand
| Project | Totalplannedinvestment | Investmentamountinthereportingperiod | Accumulatedactualinvestmentamountasoftheendofthereportperiod | Investmentprogress | Benefitsachievedinthecurrentyear | Disclosuredate(ifany) | Disclosureindex(ifany) |
| VietnamIndustrialPlantProject | 38millionUSD | 2,115.78 | 11,026.38 | 40.99% | Notapplicable(onlyproductionfunction, |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| materialsupplyandproductsalesareundertakenbyrelatedparties,andprojectbenefitscannotbecalculatedseparately) | |||||||
| Constructionprojectofcommercialrefrigerationandairconditioningintelligentcontrolcomponentswithannualoutputof65millionsets | 178,055 | 655.5 | 5,860.96 | 3.29% | Notapplicable(thesalesoftheproductsareundertakenbytherelatedparties,andthebenefitsoftheprojectcannotbecalculatedseparately) | ||
| Total | - | 2,771.28 | 16,887.34 | -- | -- | -- | -- |
1.Disposalofsignificantassets
□Applicable√NotapplicableDuringthereportingperiod,therewasnodisposalofsignificantassets
2.Saleofsignificantequity
□Applicable√Notapplicable
VII.AnalysisofMajorSubsidiariesandInvestees
√Applicable□NotapplicableInformationaboutmajorsubsidiaries,andinvesteesthatcontributeabove10%oftheCompany’snetProfit
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Unit：
RMB
| Companyname | Companytype | Principalbusiness | Registeredcapital | Totalassets | Netassets | Operatingrevenue | Operatingprofit | Netprofit |
| ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd. | Subsidiary | RefrigerationandA/Celectricalcomponentsmanufacturingandmarketing | 250million | 3,232,488,916.03 | 3,058,812,324.23 | 508,458,014.81 | 95,872,764.44 | 81,926,735.08 |
| HangzhouSanhuaMicrochannelHeatExchangerCo.,Ltd. | Subsidiary | RefrigerationandA/Celectricalcomponentsmanufacturingandmarketing | 360million | 1,555,917,273.38 | 1,080,336,030.91 | 606,537,105.77 | 93,943,423.10 | 78,791,505.08 |
| ZhejiangSanhuaTradingCo.,Ltd. | Subsidiary | RefrigerationandA/Celectricalcomponentsmarketing | 50million | 2,991,565,951.62 | 89,744,313.32 | 1,629,816,923.74 | -20,435,663.09 | -17,443,438.09 |
| ZhejiangSanhuaAutomotiveComponentsCo.,Ltd | Subsidiary | Automotivecomponentsmanufacturingandmarketing | 1,460million | 3,522,572,484.15 | 2,789,986,415.80 | 950,236,195.13 | 196,052,902.07 | 170,228,217.65 |
| SanhuaInternationalLimited(USA)(merger) | Subsidiary | RefrigerationandA/Celectricalcomponentsmanufacturingmarketingandinvestment | 37.55millionUSD | 1,198,408,135.25 | 202,888,640.33 | 1,104,653,615.62 | -20,221,409.40 | -20,604,138.42 |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| management | ||||||||
| SanhuaInternationalSingaporePTE.Ltd.(merger) | Subsidiary | RefrigerationandA/Celectricalcomponentsmanufacturingmarketingandinvestmentmanagement | 75.58millionUSD | 2,234,799,870.35 | 574,784,677.46 | 1,527,163,374.13 | 43,520,582.16 | 32,301,884.25 |
Informationaboutobtaininganddisposalofsubsidiariesduringthereportingperiod
√Applicable□Notapplicable
| Companyname | Equityacquisitionanddisposalmethodduringthereportingperiod | ImpactonoverallproductionresultsHangzhou |
| AWECOElectricEquipment(Shanghai)Co.,Ltd. | Liquidationcancellation | Nosignificantimpact |
| HangzhouSanhuaHouseholdThermalManagementSystemCo.,Ltd. | Liquidationcancellation | Nosignificantimpact |
□Applicable√Notapplicable
IX.GuidanceontheCompany’sOperationalResultfromJanuary1
st2020toSeptember30
th
2020
□Applicable√Notapplicable
X.RisksoftheCompanyandCountermeasures
1.RiskofrawmaterialpricefluctuationTherawmaterialsrequiredbytheCompanyarecopper,aluminum,etc.,whichaccountforalargeproportionintheproductcostcomposition.Therefore,thefluctuationofthemarketpriceofrawmaterialswillbringgreatercostpressuretotheCompany.TheCompanywillreducetheadverseimpactofrawmaterialpricefluctuationbyestablishinglinkagepricingmechanismandbulkcommodityfuturehedgingoperations.
2.RiskofrisinglaborcostsTheCompany'slaborcosthasbeenincreasingannually,whichhascompressedtheCompany'sprofitspacetoa
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
certainextent.Inthefuture,theCompanywillcontinuetopromoteleanproduction,processimprovement,technicaltransformation,etc.toimprovethedegreeofautomationandlaborproductionefficiency.
3.RiskoftradeandexchangerateTheCompany'sforeigntradeexportvolumeislarge,involvingNorthAmerica,Europe,Japan,SoutheastAsiaandotherregions.ThechangesoftheinterregionaltradepolicyhaveanimpacttotheCompany'soperationonadailybasis.TheCompanycancopewiththeriskofinterregionaltradebymeansofoverseastransferofproductioncapacity.ThefluctuationofexchangeratewillhaveacertainimpactontheCompany'sprofits.Accordingtotheactualsituation,theCompanycancopewithandreducetheriskofexchangeratefluctuationbymeansoflong-termsettlementofforeignexchangeandtheestablishmentofoverseasproductionbasesintheUnitedStates,Poland,Mexico,India,etc.
4.RiskoftheimpactofinfectiousdiseasesTheCOVID-19hasspreadworldwidesincethebeginningof2020.TheCompany'srefrigeration,A/Candelectricalcomponents,andautopartsbusinessalsosufferfromthedisease,sinceitaffectedproduction,supplyandsales.TheCompanyestimatesthattheuncertaintyofthepandemicpneumoniawillcontinuetoaffecttheCompany'srevenuesandprofits.Onthepremiseofmeetingtherequirementsofepidemicpreventionandcontrol,theCompanytimelyadjustedrelevantbusinessstrategiesandactivelyorganizedtheresumptionofworkandproduction.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionVSignificantEvents
I.AnnualGeneralMeetingandExtraordinaryGeneralMeetingsConvenedDuringthe
ReportingPeriod
1.AnnualGeneralMeetingconvenedduringthecurrentreportingperiod
| Meeting | Nature | Proportionofparticipatinginvestors | ConvenedDate | DisclosureDate | DisclosureIndex |
| FirstExtraordinaryGeneralMeetingin2020 | ExtraordinaryGeneralMeeting | 11.86% | February10th2020 | February11st2020 | Theannouncementoftheresolutionofthefirstextraordinarygeneralmeetingofshareholdersin2020No.2020-014waspublishedinSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO |
| 2019AnnualGeneralMeetingofShareholders | AnnualGeneralMeetingofShareholders | 15.23% | May19th2020 | May20th2020 | Theannouncementontheresolutionoftheannualgeneralmeetingofshareholdersin2019(2020-045)waspublishedinSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO. |
| SecondExtraordinaryGeneralMeetingin2020 | ExtraordinaryGeneralMeeting | 15.21% | June22nd2020 | June23rd2020 | Theannouncementontheresolutionofthesecondextraordinarygeneralmeetingofshareholdersin2020(2020-055)waspublishedinSecuritiesTimes,ShanghaiSecurities |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
NewsandCNINFO.
2.Extraordinarygeneralmeetingsconvenedattherequestofpreferredshareholderswithresumedvoting
rights
□Applicable√Notapplicable
II.Profitdistributionandconversionofcapitalreservetosharecapitalduringthereporting
period
√Applicable□Notapplicable
| Bonusshareissuedper10shares(share) | 0 |
| Cashdividendper10shares(RMB)(taxinclusive) | 1 |
| Additionalsharesconvertedfromcapitalreservesfor10shares(share) | 0 |
| Totalcapitalsharebasisforthedistributionproposal(share) | 3,582,258,682 |
| Totalcashdividend(RMB)(taxinclusive) | 358,225,868.20 |
| Cashdividendamountinotherways(suchassharerepurchase)(RMB) | 0.00 |
| Totalcashdividends(includingotherways)(RMB) | 358,225,868.20 |
| Distributableprofits(RMB) | 1,082,646,144.47 |
| Percentageofcashdividendsofthetotaldistributedprofit(%) | 33.09% |
| Cashdividends | |
| Other | |
| Detaileddescriptionofprofitdistributionorcapitalreservesconversionplan | |
| With3,582,258,682asthebasenumber,cashdividendofRMB1.00(includingtax)willbedistributedtoallshareholdersforevery10shares.AtotalofRMB358,225,868.20willbedistributed. | |
Shareholders,Relatedparties,Acquirers,andOtherRelatedPartiesbytheEndoftheReportingPeriod
√Applicable□Notapplicable
| Commitments | Giverofcommitments | Nature | Detailsofcommitments | Dateofcommitments | Termofcommitments | Performance |
| Commitment | ZhangYabo, | Other | Whenthenumberofsharessoldthroughlisting | November21st | Longterm | Strict |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| fromreformationofshareholding | controllingshareholderSanhuaHoldingGroupCo.,Ltd. | commitment | andtradinginShenzhenStockExchangereaches1%ofthetotalnumberofsharesoftheCompany,itshallmakeanannouncementwithintwoworkingdaysfromthedateoftheoccurrenceofthefact. | 2005 | performance | |
| ZhangDaocai,controllingshareholderSanhuaHoldingGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | ZhangDaocaiandSanhuaholdinggroup,thecontrollingshareholderoftheCompany,promisethattherewillnotbeanycompetitionwithSanhuaintelligentcontrolsinthebusinessscopebeingoralreadycarriedoutinthefuture. | January5th,2009 | Longterm | Strictperformance | |
| ZhangDaocai,controllingshareholderSanhuaHoldingGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | SanhuaHoldingGrouppromises:afterthecompletionofthistransaction,SanhuaHoldingGroupandSanhuaintelligentcontrolswillsignanagreementaccordingtolaw,performlegalprocedures,fulfilltheobligationofinformationdisclosureandhandlesignificantmattersforapprovalinaccordancewithrelevantlaws,regulations,articlesofassociationofSanhuaintelligentcontrols.Intheprocessofimplementationofrelatedpartytransactions,wewillfollowtheprincipleoflegalityandreasonableness,ensurethefairnessofpricesandprocedures,andmakecertainthatthelegitimateinterestsofSanhuaintelligentcontrolsandothershareholderswillnotbedamagedthroughrelatedpartytransactions. | January5th,2009 | Longterm | Strictperformance | |
| ZhangDaocai,ZhangYabo,ZhangShaobo,controllingshareholderSanhua | Commitmentonhorizontalcompetition, | InordertoavoidhorizontalcompetitionwithSanhuaintelligentcontrols,ZhangDaocai,ZhangYabo,ZhangShaobo,SanhuaHoldingGroupthecontrollingshareholderoftheCompany,andSanhuaLvnengIndustry,thetradingpartnermadethefollowing | July24th,2015 | Longterm | Strictperformance |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| HoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | relatedpartytransactionsandcapitaloccupation | commitments:1.I(ortheCompany)willnotdirectlyorindirectlyengageinorparticipateinthebusinessthatconstitutespotentialdirectorindirectcompetitionwithSanhuaIntelligentControlsanditssubordinateenterprises;guaranteethatlegalandeffectivemeasuresshallbetakentourgeotherenterprisescontrolledbyme(ortheCompany)nottoengageinorparticipateinanybusinesscompetingwithSanhuaIntelligentControlsanditssubordinateenterprises.2.IfSanhuaIntelligentControlsfurtherexpandsitsbusinessscope,I(ortheCompany)andothercontrolledenterpriseswillnotcompetewithSanhuaIntelligentControls'expandedbusiness;ifitispossibletocompetewithSanhuaIntelligentControls'businessafterexpansion,I(ortheCompany)andothercontrolledenterpriseswillwithdrawfromSanhuaIntelligentControlsinthefollowingwaysofcompetition:A.StopthebusinessesthatcompeteormaycompetewithSanhuaIntelligentControls;B.InjectthecompetitivebusinessintoSanhuaIntelligentControls;C.Transferthecompetitivebusinesstoanunrelatedthirdparty.3.IfI(ortheCompany)andotherenterprisescontrolledbyme(ortheCompany)haveanybusinessopportunitiestoengageinandparticipateinanyactivitiesthatmaycompetewithSanhuaIntelligentControls'businessoperation,theyshallimmediatelyinformSanhuaIntelligentControlsoftheabovebusinessopportunities.IfSanhuaIntelligentControlsmakesanaffirmativereplytotakeadvantageofthebusinessopportunitywithinareasonableperiodspecifiedinthenotice,itshalldoitsbesttogivethebusinessopportunitytoSanhuaIntelligentControls.4.Incaseofbreachoftheabovecommitment,I(ortheCompany)iswillingtobearallresponsibilitiesarisingtherefromandfullycompensatealldirectorindirectlossescaused |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| toSanhuaIntelligentControls. | |||||
| ZhangDaocai,ZhangYabo,ZhangShaobo,controllingshareholderSanhuaHoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | InordertostandardizetherelatedpartytransactionswithSanhuaIntelligentControls,ZhangDaocai,ZhangYabo,ZhangShaobo,SanhuaHoldingGroupthecontrollingshareholderoftheCompanyandSanhuaLvnengIndustrialthetradingpartnermadethefollowingcommitments:1.I(ortheCompany)andthecontrolledenterpriseswillreducetherelatedpartytransactionswithSanhuaintelligentcontrolsasfaraspossible,andwillnotusetheirownstatusasshareholdersofSanhuaintelligentcontrolstoseekforsuperiorrightsintermsofbusinesscooperationandotheraspectscomparedwithotherthirdparties;2.I(ortheCompany)willnottakeadvantageoftherighttoenterintoatransactionwithSanhuaintellectualcontrolsusingthepositionasashareholder.3.Iftherearenecessaryandunavoidablerelatedpartytransactions,I(ortheCompany)andthecontrolledenterpriseswillsignagreementswithSanhuaintelligentcontrolsinaccordancewiththeprinciplesoffairness,followlegalprocedures,andperformtheinformationdisclosureobligationsinaccordancewiththerequirementsofrelevantlaws,regulatorydocumentsandthearticlesofassociation.Itshallalsoperformrelevantinternaldecision-makingandapprovalprocedurestoensurethatitwillnotconducttransactionswithSanhuaintelligentcontrolsontermsthatareobviouslyunfaircomparedwiththemarketprice,andwillnotusesuchtransactionstoengageinanybehaviorthatdamagesthelegitimaterightsandinterestsofSanhuaintelligentcontrolsandothershareholders. | July24th,2015 | Longterm | Strictperformance |
| ZhangDaocai,ZhangYabo,ZhangShaobo,controlling | OtherCommitment | ZhangDaocai,ZhangYabo,ZhangShaoboandSanhuaholdingGroup,thecontrollingshareholderoftheCompany,madethefollowingcommitments:afterthecompletionofthetransaction,Sanhuaintelligentcontrolswill | July24th,2015 | Longterm | Strictperformance |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| shareholderSanhuaHoldingGroupCo.,Ltd. | continuetoimprovethecorporategovernancestructureandindependentoperationoftheCompanymanagementsysteminaccordancewiththerequirementsofrelevantlawsandregulationsandthearticlesofAssociation,andcontinuetomaintaintheindependenceofSanhuaintelligentcontrolsinbusiness,assets,finance,institutions,personnel,etc.toprotecttheinterestsofallshareholders. | ||||
| ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | Commitmentofrestrictedshares | Thesharesacquiredinthistransactionshallnotbetransferredwithin36monthsfromthelistingdateofnewsharesafterthecompletionoftheissuance;within6monthsafterthecompletionofthetransaction,iftheclosingpriceofthesharesofthelistedCompanyislowerthantheissuepriceofthesharestopurchaseassetsfor20consecutivetradingdays,oriftheclosingpriceattheendof6thmonthislowerthantheissuepriceofthesharestopurchaseassets,thelockingperiodofthesharesacquiredbytheCompanyduetothistransactionwillbeautomaticallyextendedforatleast6months. | September20th,2017 | September19th,2020 | Strictperformance |
| ZhangDaocai,ZhangYabo,ZhangShaobo,controllingshareholderSanhuaHoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | 1.I(ortheCompany)andthecontrolledenterpriseswillreducetherelatedpartytransactionswithSanhuaintelligentcontrolsasfaraspossible,andwillnotusethepositionasashareholderofSanhuaintellectualcontrolstoseekthesuperiorrightsforbusinesscooperationwithSanhuaintelligentcontrolscomparedwithotherthirdparties;2.I(ortheCompany)willnotusemypositionasashareholderofSanhuaintellectualcontrolstoseekforthepriorityrighttocooperatewithSanhuaintellectualcontrols;3.Iftherearenecessaryandunavoidablerelatedpartytransactions,I(ortheCompany)andthecontrolledenterpriseswillsignagreementswithSanhuaintelligentcontrolsinaccordancewiththeprinciplesoffairness,followlegalprocedures,andperformtheinformationdisclosureobligationsinaccordancewiththerequirementsofrelevantlaws,regulatorydocumentsandthearticlesofassociation.It | September18th,2017 | Longterm | Strictperformance |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| shallalsoperformrelevantinternaldecision-makingandapprovalprocedurestoensurethatitwillnotconducttransactionswithSanhuaintelligentcontrolsontermsthatareobviouslyunfaircomparedwiththemarketprice,andwillnotusesuchtransactionstoengageinanybehaviorthatdamagesthelegitimaterightsandinterestsofSanhuaintelligentcontrolsandothershareholders. | |||||
| ZhangDaocai,ZhangYabo,ZhangShaobo,controllingshareholderSanhuaHoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | 1.I(ortheCompany)willnotdirectlyorindirectlyengageinorparticipateinanybusinessthatmayconstitutepotentialdirectorindirectcompetitionwithSanhuaintelligentcontrolsanditssubordinateenterprises;guaranteedthatlegalandeffectivemeasureswillbetakentourgeotherenterprisescontrolledbyme(ortheCompany)nottoengageinorparticipateinanybusinessthatiscompetitivewithSanhuaintelligentcontrolsanditssubordinateenterprisesBusiness.2.IfSanhuaintelligentcontrolsfurtherexpandsitsbusinessscope,I(ortheCompany)andotherenterprisescontrolledbyme(ortheCompany)willnotcompetewithSanhuaintelligentcontrols'expandedbusiness;ifitispossibletocompetewithSanhuaintelligentcontrols'businessafterexpansion,I(ortheCompany)andotherenterprisescontrolledbyme(ortheCompany)willwithdrawfromSanhuaintelligentcontrolsinthefollowingwaysofcompetition:A.stopthebusinessesthatcompeteormaycompetewithSanhuaintelligentcontrols;B.injectthecompetitivebusinessintoSanhuaintelligentcontrols;C.transferthecompetitivebusinesstoanunrelatedthirdparty.3.IfI(ortheCompany)andotherenterprisescontrolledbyme(ortheCompany)haveanybusinessopportunitiestoengageinandparticipateinanyactivitiesthatmaycompetewithSanhuaintelligentcontrols'businessoperation,theyshallimmediatelyinformSanhuaintelligentcontrolsoftheabovebusinessopportunities.IfSanhuaintelligent | September18th,2017 | Longterm | Strictperformance |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| controlsmakesanaffirmativereplytotakeadvantageofthebusinessopportunitywithinareasonableperiodspecifiedinthenotice,itshalldoitsbesttogivethebusinessopportunitytoSanhuaintelligentcontrols.4.Incaseofbreachoftheabovecommitment,I(ortheCompany)iswillingtobearallresponsibilitiesarisingtherefromandfullycompensatealldirectorindirectlossescausedtoSanhuaintelligentcontrols. | ||||||
| ZhangDaocai,ZhangYabo,ZhangShaobo,controllingshareholderSanhuaHoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd. | Othercommitment | Afterthecompletionofthetransaction,thelistedCompanywillcontinuetoimprovethecorporategovernancestructureandindependentoperationoftheCompanymanagementsysteminaccordancewiththerequirementsofrelevantlawsandregulationsandthearticlesofassociation,continuetomaintaintheindependenceofthelistedCompanyinbusiness,assets,finance,institutions,personnelandotheraspects,andeffectivelyprotecttheinterestsofallshareholders. | September18th,2017 | Longterm | Strictperformance | |
| ZhangDaocai,controllingshareholderSanhuaHoldingGroupCo.,Ltd. | Commitmentonhorizontalcompetition,relatedpartytransactionsandcapitaloccupation | ThecommitmentmadeatthetimeofIPO,itshallnotengageinthesameproduction,operationorbusinessastheCompanyinthefuture.InordertoavoidbusinesscompetitionwiththeCompanyandclarifythenon-competitionobligations,SanhuaHoldingGroup,onbehalfofitselfanditssubsidiarieswithmorethan50%equity,makesacommitmenttoSanhuaintelligentcontrolstoavoidpossiblehorizontalcompetition. | June7th2005 | Longterm | Strictperformance | |
| Arethecommitmentsfulfilledon | Yes | |||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
time
IV.EngagementandDismissaloftheCPAfirm
Whetherthehalfyearreportwasaudited
□Yes√NoTheCompany’sreportwasnotaudited.
V.ExplanationGivenbytheBoardofDirectorsandSupervisoryCommitteeRegardingthe
“Non-standardAuditor’sReport”IssuedbytheCPAFirmfortheReportingPeriod
□Applicable√Notapplicable
VI.ExplanationGivenbytheBoardofDirectorsRegardingthe“Non-standardAuditor’s
Report”IssuedbytheCPAFirmforthePriorYear
□Applicable√Notapplicable
VII.BankruptcyandRestructuring
□Applicable√NotapplicableNosuchcaseduringthereportingperiod.
VIII.MaterialLitigationandArbitration
MaterialLitigationandArbitration
□Applicable√NotapplicableNosuchcaseduringthereportingperiod.Otherlitigations
□Applicable√Notapplicable
IX.MediaQueries
□Applicable√NotapplicableTherewasnoprevalentmediaqueryduringthereportingperiod.
X.PunishmentsandRectifications
□Applicable√NotapplicableNosuchcaseduringthereportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
XI.IntegrityoftheCompanyandItsControllingShareholdersandActualControllers
□Applicable√Notapplicable
XII.TheImplementationofanEquityIncentivePlan,EmployeeStockIncentivePlan,or
OtherIncentivePlans
√Applicable□Notapplicable
1.Duringthereportingperiod,theCompanyhascompletedtherepurchaseandcancellationof291,200sharesof
allorpartoftherestrictedsharesheldby33incentiveobjects(28resignedand5failedtomeetthepersonalperformanceassessmentrequirementsduringthefirstreleaseperiod)involvedintheincentiveplanforrestrictedsharesin2018.
| Importantissues | DisclosureDate | DisclosureIndex |
| Announcementonthecompletionofrepurchaseandcancellationofsomerestrictedstocks | March3rd2020 | http://www.cninfo.com.cn |
12.045millionsharesofrestrictedstockto914incentiveobjects.ThegrantdateoftheequityincentiveplanisFebruary24,2020,andthegrantpriceisRMB9.85pershare.ThelistingdateoftherestrictedsharesgrantedthistimeisMarch20,2020.
| Importantissues | DisclosureDate | DisclosureIndex |
| Announcementontheresolutionofthe7thinterimmeetingofthe6thboardofdirectors | January22nd2020 | http://www.cninfo.com.cn |
| Announcementontheresolutionofthe7thinterimmeetingofthe6thboardofsupervisors | January22nd2020 | http://www.cninfo.com.cn |
| Restrictedstockincentiveplan2020(Draft) | January22nd2020 | http://www.cninfo.com.cn |
| Managementmeasuresfortheimplementationofrestrictedstockincentiveplanin2020 | January22nd2020 | http://www.cninfo.com.cn |
| Listofincentiveobjectsofrestrictedstockin2020 | January22nd2020 | http://www.cninfo.com.cn |
| Examinationandverificationopinionsoftheboardofsupervisorsonthepublicityofthelistofincentiveobjectsoftheequityincentiveplanin2020 | February4th2020 | http://www.cninfo.com.cn |
| Announcementoftheresolutionofthefirstextraordinarygeneralmeetingofshareholdersin2020 | February11st2020 | http://www.cninfo.com.cn |
| Announcementontheresolutionofthe8thinterimmeetingofthe6thboardofdirectors | February25th2020 | http://www.cninfo.com.cn |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Announcementontheresolutionofthe8thinterimmeetingofthe6thboardofsupervisors | February25th2020 | http://www.cninfo.com.cn |
| Announcementonadjustmentofincentiveplanforrestrictedstockin2020 | February25th2020 | http://www.cninfo.com.cn |
| Announcementongrantingrestrictedsharestoincentiveobjectsofrestrictedstockincentiveplanin2020 | February25th2020 | http://www.cninfo.com.cn |
| Announcementoncompletionofgrantregistrationofrestrictedstockincentiveplanin2020 | March23rd2020 | http://www.cninfo.com.cn |
1.Significantrelated-partytransactionsarisingfromroutineoperation
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
2.Related-partytransactionsregardingpurchaseanddisposalofassetsorequity
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
3.Significantrelated-partytransactionsarisingfromjointinvestmentsonexternalparties
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
4.Relatedcreditanddebttransactions
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
5.Othersignificantrelatedpartytransactions
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
XIV.Non-operatingCapitalOccupationofListedCompaniesbyControllingShareholders
andTheirRelatedParties
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
XV.SignificantContractsandTheirExecution
1.Mattersontrusteeship,contracting,andleasing
（1）Trusteeship
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
（2）Contracting
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
（3）Leasing
√Applicable□NotapplicableIllustrationofleaseAwecoPolskasAppliancesp.z.o.osp.k,awholly-ownedsubsidiaryoftheCompany,acquired2buildingsthroughleasing.Itemswithprofitandlossexceeding10%ofthetotalprofitoftheCompanyinthereportperiod
□Applicable√NotapplicableDuringthereportingperiod,thereisnoleasingprojectwithprofitandlossofmorethan10%ofthetotalprofitoftheCompanyduringthereportingperiod.
2.Significantguarantees
√Applicable□Notapplicable
(1)Guarantees
Unit:RMBin10thousand
| ExternalGuaranteesfromtheCompanyanditsSubsidiaries(ExcludingGuaranteestotheSubsidiaries) | ||||||||
| GuaranteedParty | AnnouncementDateofDisclosureoftheGuaranteeAmount | GuaranteeAmount | ActualOccurrenceDate | ActualGuaranteeAmount | TypeofGuarantee | TermofGuarantee | DueorNot | GuaranteeforRelatedPartiesorNot |
| Company'sGuaranteestoSubsidiaries | ||||||||
| GuaranteedParty | Announcement | GuaranteeAmount | ActualOccurrence | ActualGuarantee | TypeofGuarantee | TermofGuarantee | DueorNot | Guaranteefor |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| DateofDisclosureoftheGuaranteeAmount | Date | Amount | RelatedPartiesorNot | |||||
| SanhuaAWECOApplianceSystemsGmbH | April16,2018 | 35,000 | November5,2018 | 18,310.3 | Jointliabilityguarantee | 2018.11.05-2021.11.04 | Yes | Yes |
| SanhuaAWECOApplianceSystemsGmbH | April3,2019 | 41,000 | April8,2020 | 12,737.6 | Jointliabilityguarantee | 2020.04.08-2021.11.04 | No | Yes |
| SanhuaAWECOApplianceSystemsGmbH | April29,2020 | 52,000 | June5,2020 | 8,757.1 | Jointliabilityguarantee | 2020.06.05-2021.11.04 | No | Yes |
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April16,2019 | 132,000 | September17,2018 | 13,135.65 | Jointliabilityguarantee | 2018.09.17-2022.09.16 | Yes | Yes |
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April3,2019 | 132,000 | July29,2019 | 9,203.35 | Jointliabilityguarantee | 2019.07.29-2020.01.30 | Yes | Yes |
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April3,2019 | 132,000 | September23,2019 | 7,079.5 | Jointliabilityguarantee | 2019.09.23-2020.09.23 | No | Yes |
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April3,2019 | 132,000 | July5,2019 | 11,941.5 | Jointliabilityguarantee | 2019.07.05-2022.06.20 | No | Yes |
| SANHUAINTERNATIONAL,INC. | April3,2019 | 30,000 | December9,2019 | 21,946.45 | Jointliabilityguarantee | 2019.12.09-2022.12.09 | No | Yes |
| SANHUAINTERNATIONAL,INC. | April16,2018 | 30,000 | January18,2019 | 10,619.25 | Jointliabilityguarantee | 2019.01.18-2020.01.21 | Yes | Yes |
| SANHUA | April3, | 30,000 | January21, | 10,619.25 | Joint | 2020.01.2 | No | Yes |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| INTERNATIONAL,INC. | 2019 | 2020 | liabilityguarantee | 1-2020.07.09 | ||||
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April29,2019 | 150,000 | June12,2020 | 7,500 | Jointliabilityguarantee | 2020.06.12-2022.12.25 | No | Yes |
| SANHUAINTERNATIONALSINGAPOREPTE.LTD. | April3,2019 | 132,000 | February10,2020 | 10,349.3 | Jointliabilityguarantee | 2020.02.10-2021.02.09 | No | Yes |
| TotalAmountofGuaranteestoSubsidiariesApprovedduringtheReportingPeriod(B1) | 310,000 | TotalAmountofGuaranteestoSubsidiariesActuallyOccurredduringtheReportingPeriod(B2) | 49,963.25 | |||||
| TotalAmountofGuaranteestoSubsidiariesApprovedbytheEndoftheReportingPeriod(B3) | 384,673.6 | TotalBalanceofGuaranteesActuallyPaidtoSubsidiariesattheEndoftheReportingPeriod(B4) | 90,930.7 | |||||
| Subsidiaries'GuaranteestoSubsidiaries | ||||||||
| GuaranteedParty | AnnouncementDateofDisclosureoftheGuaranteeAmount | GuaranteeAmount | ActualOccurrenceDate | ActualGuaranteeAmount | TypeofGuarantee | TermofGuarantee | DueorNot | GuaranteeforRelatedPartiesorNot |
| ThetotalamountoftheCompany'sguarantees(thetotaloftheabovethreeitems) | ||||||||
| TotalAmountofGuaranteesApprovedduringtheReportingPeriod(A1+B1+C1) | 310,000 | TotalAmountofGuaranteesActuallyOccurredduringtheReportingPeriod(A2+B2+C2) | 49,963.25 | |||||
| TotalAmountofGuaranteesApprovedbytheEndoftheReportingPeriod(A3+B3+C3) | 384,673.6 | TotalBalanceofGuaranteesActuallyPaidattheEndoftheReportingPeriod(A4+B4+C4) | 90,930.7 | |||||
| TotalAmountofActualGuarantees(A4+B4+C4)asaPercentageoftheCompany'sNetAssets | 9.54% | |||||||
| Ofwhich： | ||||||||
| BalanceofDebtGuaranteesDirectlyorIndirectlyOfferedtoGuaranteedObjectswithAsset-liabilityRatioExceeding70%(E) | 90,930.7 | |||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| TotalAmountoftheAboveThreeGuarantees(D+E+F) | 90,930.7 |
□Applicable√NotapplicableNoillegalexternalguaranteesduringthereportingperiod.
3.Entrustedwealthmanagement
√Applicable□Notapplicable
Unit:RMBin10thousand
| Specifictypes | Capitalsource | Amount | Balancebeforematurity | Overdueuncollectedamount |
| Bankfinancialproducts | TheCompany’sownedfundsandraisedfunds | 238,982.3 | 120,930.9 | 0 |
| Total | 238,982.3 | 120,930.9 | 0 | |
Specificsituationofhigh-riskentrustedfinancialmanagementwithlargesingleamountorlowsecurity,poorliquidityandwithoutguaranteeofprincipal
√Applicable□Notapplicable
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Unit:RMBin10thousand
| Nameoftrustee | Typeoftrustee | Producttype | Amount | Capitalsource | Startdate | Terminationdate | Capitalinvestment | Determinationofreturn | Referenceannualizedrateofreturn | Expectedreturn(ifany) | Actualprofitandlossinthereportingperiod | Actualrecoveryofprofitandlossinthereportingperiod | Amountofprovisionforimpairment(ifany) | Throughlegalproceduresornot | Futureentrustedfinancialmanagementplanornot | Eventoverviewandrelevantindex(ifany) |
| ShaoxingXinchangsubbranchofBankofCommunicationsCo.,Ltd | Bank | Cashdeposit(Company) | 19,500 | Self-funds | December31,2019 | January15,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.24% | 25.99 | 25.99 | Yes | - | |||
| ShaoxingXinchangsubbranchofBankofCommunicationsCo.,Ltd | Bank | Cashdeposit(Company) | 10,000 | Self-funds | January15,2020 | January21,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.39% | 5.56 | 5.56 | Yes | - | |||
| BankofHangzhou | Bank | "Tianlibao" | 10,000 | Self-funds | January21, | April21, | Bankfinancia | Floatingincome | 4.00% | 99.73 | 99.73 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Xinchangsubbranch | structureddepositproducts | 2020 | 2020 | lproducts | withguaranteeofprincipal | ||||||||||
| ShaoxingXinchangsubbranchofBankofCommunicationsCo.,Ltd | Bank | Cashdeposit(Company) | 5,000 | Self-funds | March6,2020 | March16,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.09% | 5.50 | 5.50 | Yes | - | ||
| ShaoxingXinchangsubbranchofBankofCommunicationsCo.,Ltd | Bank | Structureddeposits176days | 7,000 | Self-funds | March31,2020 | September23,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.75% | 126.23 | 0 | 0 | Yes | - | |
| BankofHangzhouXinchangsubbranch | Bank | "Tianlibao"structureddepositproducts | 20,000 | Self-funds | March26,2020 | May26,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.80% | 127.01 | 127.01 | Yes | - | ||
| ABC | Bank | Huilifeng | 10,000 | Self-fun | April | Decemb | Bank | Floating | 3.70% | 252.73 | 0 | 0 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| Xinchangsubbranch | issue4840of2020customizedRMBstructureddepositproducts(250days) | ds | 22,2020 | er28,2020 | financialproducts | incomewithguaranteeofprincipal | |||||||||
| BankofChinaXinchangsubbranch | Bank | Linkedstructureddeposits | 10,000 | Self-funds | April27,2020 | May29,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.60% | 31.56 | 31.56 | Yes | - | ||
| BankofChinaXinchangsubbranch | Bank | Linkedstructureddeposits | 10,000 | Self-funds | April27,2020 | May29,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.60% | 31.56 | 31.56 | Yes | - | ||
| ABCXinchangsubbranch | Bank | Huilifengno.4917customizedRMBstructured | 10,000 | Self-funds | April29,2020 | December28,2020 | Bankfinancialproducts | Floatingincomewithguaranteeof | 3.70% | 245.66 | 0 | 0 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| depositproductsin2020(243days) | principal | ||||||||||||||
| ShaoxingXinchangsubbranchofBankofCommunicationsCo.,Ltd | Bank | 97daysofBankofCommunicationsYuntongwealthfixedtermstructureddeposit | 10,000 | Self-funds | June5,2020 | September10,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.27% | 86.66 | 0 | 0 | Yes | - | |
| ABCXinchangsubbranch | Bank | Huilifengno.5371customizedRMBstructureddepositproductsin2020(196days) | 10,000 | Self-funds | June5,2020 | December18,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.40% | 182.08 | 0 | 0 | Yes | - | |
| ShaoxingXinchangsubbranchofBankof | Bank | Cashdeposit(Company) | 6,000 | Self-funds | May26,2020 | June15,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeof | 3.16% | 10.37 | 10.37 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| CommunicationsCo.,Ltd | principal | ||||||||||||||
| HengSengBankHangzhouBranch | Bank | Hengliying | 6,000 | Self-funds | April4,2019 | January3,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 4.10% | 176.64 | 176.64 | Yes | - | ||
| ICBCeconomicdevelopmentsubbranch | Bank | Tianlibao | 5,000 | Self-funds | January3,2020 | January22,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.30% | 6.12 | 6.12 | Yes | - | ||
| GuangzhouDevelopmentBankHangzhouXiaoshansubbranch(Shaoxing) | Bank | XinjiaxinNo.16structureddeposit | 5,500 | Raisedfunds | October28,2019 | January13,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.95% | 43.24 | 43.24 | Yes | - | ||
| ICBCeconomic | Bank | Tianlibao | 5,000 | Self-funds | February24, | February26, | Bankfinancia | Floatingincome | 3.13% | 0.85 | 0.85 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| developmentsubbranch | 2020 | 2020 | lproducts | withoutguaranteeofprincipal | |||||||||||
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16structureddeposit | 5,000 | Self-funds | April30,2019 | February24,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 4.10% | 158.96 | 158.96 | Yes | - | ||
| ICBCeconomicdevelopmentsubbranch | Bank | Tianlibao | 5,000 | Self-funds | March26,2020 | March27,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.13% | 0.25 | 0.25 | Yes | - | ||
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16structureddeposit | 5,500 | Self-funds | January3,2020 | April20,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.90% | 59.88 | 59.88 | Yes | - | ||
| HangzhouXiaoshansub | Bank | XinjiaxinNo.16structured | 5,500 | Raisedfunds | January14,2020 | July13,2020 | Bankfinancial | Floatingincomewith | 3.95% | 107.44 | 0 | 0 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| branchofGuangfabank(Shaoxing) | deposit | products | guaranteeofprincipal | ||||||||||||
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16 | 7,000 | Raisedfunds | April29,2019 | April27,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 2.69% | 270.01 | 270.01 | Yes | - | ||
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16 | 8,000 | Raisedfunds | July30,2019 | July29,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 4.05% | 324 | 0 | 0 | Yes | - | |
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16 | 7,500 | Self-funds | October25,2019 | October25,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.95% | 297.06 | 0 | 0 | Yes | - | |
| HangzhouXiaoshansub | Bank | XinjiaxinNo.16 | 10,000 | Raisedfunds | April29,2019 | April27,2020 | Bankfinancial | Floatingincomewith | 4.10% | 385.73 | 385.73 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| branchofGuangfabank(Shaoxing) | products | guaranteeofprincipal | |||||||||||||
| HangzhouXiaoshansubbranchofGuangfabank(Shaoxing) | Bank | XinjiaxinNo.16 | 5,500 | Raisedfunds | July30,2019 | July29,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 4.05% | 222.75 | 0 | 0 | Yes | - | |
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16 | 5,500 | Self-funds | April21,2020 | October21,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.90% | 107.25 | 0 | 0 | Yes | - | |
| HangzhouXiaoshansubbranchofGuangfabank | Bank | XinjiaxinNo.16 | 7,000 | Raisedfunds | April27,2020 | June2,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 3.55% | 23.43 | 23.43 | Yes | - | ||
| ICBCeconomic | Bank | Tianlibao(without | 6,000 | Self-funds | June9,2020 | June10,2020 | Bankfinancia | Floatingincome | 3.00% | 0.39 | 0.39 | Yes | - |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| developmentsubbranch | guaranteeofprincipal) | lproducts | withoutguaranteeofprincipal | |||||||||||||
| ICBCeconomicdevelopmentsubbranch | Bank | Tianlibao(withoutguaranteeofprincipal) | 8,000 | Self-funds | June10,2020 | June24,2020 | Bankfinancialproducts | Floatingincomewithoutguaranteeofprincipal | 3.00% | 8.42 | 8.42 | Yes | - | |||
| ChinaCITICBankFengqisubbranch | Bank | Winwininterestratestructure31784RMBstructureddepositproducts | 5,000 | Raisedfunds | January15,2020 | January31,2020 | Bankfinancialproducts | Floatingincomewithguaranteeofprincipal | 2.60% | 5.38 | 5.38 | Yes | - | |||
| Total | 249,500[1] | -- | -- | -- | -- | -- | -- | 1,951.86 | 1,476.58 | -- | -- | -- | -- | |||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Note:[1]Duringthereportingperiod,theaccumulatedfinancialmanagementamountoftheCompanyisRMB3,258.7019million,andtheaboveinformationarethedetailsoftheCompany'ssinglesignificantfinancialmanagement(singleamountofmorethanRMB50million).Entrustedfinancialmanagementisexpectedtobeunabletorecovertheprincipalorthereareothersituationsthatmayleadtoimpairment
□Applicable√Notapplicable
4.Othersignificantcontracts
□Applicable√NotapplicableNosuchcaseinthereportingperiod.
XVI.SocialResponsibility
1.Significantenvironmentalproblems
WhethertheCompanyortheCompany’ssubsidiariesarecriticalpollutantenterprisesdisclosedbyNationalEnvironmentalProtectionDepartment
Yes
| NameofCompanyorsubsidiary | Nameofmainpollutantsandcharacteristicpollutants | Emissionmode | Numberofoutlets | Distributionofemissionoutlets | Emissionconcentration | Emissionstandards | Totalemissions | Approvedtotalemission | Overstandardemission |
| ZhejiangSanhuaIntelligentControlsCo.,Ltd | COD | Nanotube | 1 | North | ≦500mg/L | ThelimitationofCODinGB8978-1996IntegratedWastewaterEmissionStandardis500mg/L | 17.463T | 61.867T/year | Notexceedingthestandard |
| ZhejiangSanhuaIntelligentControlsCo.,Ltd | AmmoniaNitrogen | Nanotube | 1 | North | ≦35mg/L | ThelimitationlistedinDB33/887-2013IndirectEmissionLimitsof | 1.746T | 6.186T/year | Notexceedingthestandard |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| NitrogenandPhosphorusPollutantsfromIndustrialWastewateris35mg/L | |||||||||
| ZhejiangSanhuaIntelligentControlsCo.,Ltd | SO2 | Directemission | 1 | North | ≦50mg/m3 | ThelimitationlistedinGB13271-2014EmissionStandardofAirPollutantsforBoilersis50mg/m3 | 0.37T | 2.15T/year | Notexceedingthestandard |
| ZhejiangSanhuaIntelligentControlsCo.,Ltd | NitrogenOxide | Directemission | 1 | North | ≦50mg/m3 | AccordingtothelowNitrogenemissionrequirementsoflocalgovernment,thelimitvalueofgas-firedboileris50mg/m3 | 1.729T | 10.06T/year | Notexceedingthestandard |
| ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd. | COD | Nanotube | 1 | South | ≦500mg/l | ThelimitationfromGB8979-1996is500mg/L | 3.206T | 9.205T/year | Notexceedingthestandard |
| ZhejiangSanhuaClimate&ApplianceControls | TotalCopper | Nanotube | 1 | South | ≦2.0mg/l | ThelimitationfromGB8979-1996is | 0.051T | / | Notexceedingthestandard |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| GroupCo.,Ltd. | 2.0mg/l |
ConstructionandoperationofpollutioncontrolfacilitiesAdheringtotheadvancedmanagementconcept,theCompanytakes"developingenergy-savingandlow-carboneconomy,creatingagreenqualityenvironment"asitsownresponsibility,constantlysurpasses,andbecomesanimportantcreatorandcontributorofhumangreenqualitylivingenvironmentwithlimitedresourcesandunlimitedwisdom.
1.Intermsofwastewatertreatment,theCompanyrespondedtotheconstructionof"fivewatertreatment",
"eliminatinginferiorV-typewater"and"zerodirectdischargeofsewage"inthewholeprovince.TheCompanyrenovatedtherainwaterandsewageoutletsinthefactoryarea,implementedtheseparationofrainwaterandsewage,andinstalledcut-offvalvesandvideomonitoringequipmentattheCompany'srainwaterdischargeoutlets,andcollectedandtreatedtheearlyrainwater.Therearetwowastewatertreatmentstationsinthefactory.Thesewagetreatmentstationshavebeenequippedwithstandardizedsewageoutletsandsetupdischargeoutletsigns.Onlinemonitoringdevice,solenoidvalveflowmeterandcardswipingsewagesystemareinstalledatthedischargeoutlet,whichhasbeenconnectedwiththeenvironmentalprotectiondepartment.ThemonitoringindicatorsincludepH,COD,totalcopper,totalzincandflow.Wastewatertreatment:TheCompanyhasentrustedathird-partyprofessionaltreatmentunitfortreatment.ThedischargeindicatorsoftheCompany'sinternalcontrolwastewaterarestricterthantheenvironmentaldischargestandard.ThefinaltreatedwastewaterisdischargedintothesewagecollectionpipenetworkoftheindustrialzoneandsenttoShengxinsewagetreatmentplantforretreatment.
2.Wastegastreatment:TheCompanyhasacidpickling,electroplatingwastegas,weldingdust,ultrasonic
cleaningandotherwastegas.Allkindsofwastegasdischargecylindersareequippedwithcorrespondingwastegastreatmentdevices.Theacidpicklingandelectroplatingwastegasabsorptionandtreatmenttowerisinstalledwithautomaticdosingsystem,andthewastegasisdischargedtoairaftertreatment.Atthesametime,inordertowintheblue-skydefenseactivity,theCompanycarriedoutlowNitrogenemissiontransformationoftheCompany'sgasboilersinaccordancewiththerequirementsofrelevantofficialdepartmentsin2019.
3.Solidwasteandsoiltreatment:allkindsofhazardouswasteoftheCompanyareentrustedtothethird
qualifiedpartyfordisposal,thegeneralsolidwastewithutilizationvalueisrecycled,thedomesticwasteisclearedandtransportedbytheenvironmentalsanitationstation,andtheconstructionwasteiscleanedandtransportedbytheconstructionunit.In2019,theCompanycommissionedathirdpartytoinvestigatethecurrentsituationofsoilandgroundwaterenvironmentoftheproductionsite,andnopollutionwasfound.TheCompanyalsotestedthesoilandgroundwatereveryyearandpublicizeditonthecorrespondingwebsite.InMarch2020,SanhuaRefrigerationGroupcarriedoutaspecialsiteinvestigationonsoilandgroundwaterinXialiquanplantarea,andpreparedaninvestigationreport.Nopollutionwasfound.
4.Noisecontrol:TheCompany'sexistingmainnoiseisworkshopproductionnoise,aircompressorroom,waste
gasandwastewatertreatmentequipmentnoise.Equipmentlayoutisreasonable,andtreesareplantedaroundtheworkshop.Noiseatfactorymeetsthestandard.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
5.The"threewastes"pollutioncontrolfacilitiesoftheCompanyareinnormalandstableoperation,the
pollutantsaredischargedbasedonthestandard,andthereisnoenvironmentalpollutionevent.EnvironmentalImpactAssessment(EIA)ofconstructionprojectsandotheradministrativepermitsforenvironmentalprotection
1.Since2010,theCompanyhasinvestedintheconstructionofMeizhuSanhuaIndustrialEstateinXinchangCounty,andhasobtained22EIAreplies.Alltheprojectshavepassed.
2.ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd.hasinvestedinXialiquanofXinchangCountysince2013,andhasobtained6EIAreplies.Alltheprojectshavepassed.EmergencyResponsePlan
1.TheCompanyre-preparedtheEmergencyResponsePlaninNovember2017,andfiledwithXinchangEnvironmentalProtectionBureauonJanuary25,2018(RecordNo.3306242018001).
2.Inordertomanageenvironmentalemergenciesandreducetheenvironmentalhazardscausedbysuddenenvironmentalpollutionaccidents,ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd.re-compiledEmergencyResponsePlanforEnvironmentalPollutionAccidentsofZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd.(simplifiedversion)inOctober2018,whichwasfiledwithXinchangCountyEnvironmentalProtectionBureauonOctober29,2018(RecordNo.3306242018013).Environmentalself-monitoringprogramTheCompanyformulatedSelf-monitoringSchemeofZhejiangSanhuaIntelligentControlCo.,Ltd.accordingtotherequirementsofthesuperiorenvironmentalprotectiondepartment,combinedwiththeactualproductionsituationandtheactualneedsofenvironmentalmanagementoftheCompany.ThesewagestationoftheCompanyisequippedwithalaboratory,andthedetectionisconductedbyaspeciallyassignedperson.OnlineautomaticmonitoringequipmentsuchaspH,COD,TOC,totalcopper,totalzinc,flowrateetc.areinstalledattheCompany'stotalwastewaterdischargeoutlet,soastoachievethecombinationofautomaticmonitoringandmanualtesting.Forthepollutionfactorssuchassuspendedmatters,totalPhosphorus,AmmoniaNitrogen,totalIronandPetroleum,theCompanyentrustsathird-partytestingagencytocarryoutregularmonitoring.Themonitoringresultsarepublishedregularlyontheenterpriseself-monitoringinformationdisclosureplatformofZhejiangProvince.ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd.hasgoodpollutantemissionmonitoringandmanagementability,andcantimelyinformtheenvironmentalprotectionadministrativedepartmentandthepublicofthemonitoringinformation.Accordingtotheactualproductionsituationandtheactualneedsofenvironmentalmanagement,theenvironmentalprotectionlaboratoryofwastewatertreatmentstationissetup,andthedetectioniscarriedoutbyspeciallyassignedpersondaily.OnlineautomaticmonitoringequipmentsuchaspH,COD,TOC,totalcopperandflowrateareinstalledatthetotalwastewaterdischargeoutletoftheCompany.Thecombinationofautomaticmonitoringandmanualtestingeffectivelyensuresthetimelinessandeffectivenessofmonitoring.Atthesametime,athird-partytestingCompanyisentrustedtocarryoutregularmonitoring.Themonitoringresultsarepublishedregularlyontheenterpriseself-monitoringinformationdisclosureplatformofZhejiangProvince.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
OtherenvironmentalinformationthatshouldbedisclosedNotapplicableOtherenvironmentalinformationNotapplicable
2.Fulfillmentofthesocialresponsibilityoftargetedpovertyalleviation
Notapplicable
XVII.OtherSignificantEvents
□Applicable√NotapplicableTherewerenoothersignificantissuesthatneedtobeexplainedduringthecurrentreportingperiod.
XVIII.SignificantEventsoftheCompany’sSubsidiaries
□Applicable√Notapplicable
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionVIChangesinSharesandInformationaboutShareholders
I.ChangesinShares
1.Changesinshares
Unit:Share
| Beforethechange | Changesintheperiod(+,-) | Afterthechange | |||||||
| Shares | Ratio | NewSharesIssued | Bonusshare | Sharetransferredfromcapitalreserve | Others | Sub-total | Shares | Ratio | |
| 1.Sharessubjecttoconditionalrestriction(s) | 346,976,785 | 12.55% | 107,619,176 | 11,753,800 | 119,372,976 | 466,349,761 | 12.98% | ||
| 3)Otherdomesticshares | 346,976,785 | 12.55% | 107,619,176 | 11,753,800 | 119,372,976 | 466,349,761 | 12.98% | ||
| Ofwhich:Sharesheldbydomesticlegalperson | 299,892,703 | 10.84% | 89,967,811 | 89,967,811 | 389,860,514 | 10.85% | |||
| Sharesheldbydomesticnaturalperson | 47,084,082 | 1.71% | 17,683,865 | 11,753,800 | 29,437,665 | 76,489,247 | 2.13% | ||
| 2.Shareswithoutrestriction | 2,418,681,113 | 87.45% | 719,055,904 | -12,045,000 | 707,010,904 | 3,125,692,017 | 87.02% | ||
| 1)RMBordinaryshares | 2,418,681,113 | 87.45% | 719,055,904 | -12,045,000 | 707,010,904 | 3,125,692,017 | 87.02% | ||
| 3.Total | 2,765,657,898 | 100.00% | 826,675,080 | -291,200 | 826,383,880 | 3,592,041,778 | 100.00% | ||
Reasonforthechangesinsharecapital
√Applicable□Notapplicable
1.OnMarch2,2020,theCompanyhascompletedtherepurchaseandcancellationof0.2912millionsharesofallorpartoftherestrictedsharesheldby33incentiveobjectswhodonotmeettherequirementsoftheincentiveplanforrestrictedsharesin2018(28resigned,and5failedtomeettheindividualperformanceassessmentrequirementsduringthefirstreleaseperiod).
2.OnFebruary24,2020,theCompanygranted12.045millionsharesofrestrictedsharesto914incentiveobjectsundertheCompany'srestrictedstockincentiveplanin2020,andthesharescamefromtheCompany'srepurchaseaccount.ThelistingdateofthestockisMarch20,2020.
3.OnJune3,2020,theCompanyimplementedtheprofitdistributionplanfortheyearof2019:Theplanof
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
convertingcapitalreserveintosharecapitaltakes2,755,583,602sharesofcapitalstockasthebase,anddistribute3sharesforevery10sharesofallshareholders,withatotalof826,675,080shares.Aftertheconversion,thetotalsharecapitalincreasedfrom2,765,366,698to3,592,041,778shares.Approvalforchangesinsharecapital
√Applicable□Notapplicable
1.Theproposalonrepurchaseandcancellationofsomerestrictedshareshasbeendeliberatedandapprovedbythefirstextraordinarygeneralmeetingofshareholdersin2019.TheresolutionannouncementofthegeneralmeetingofshareholderswaspublishedintheSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO(www.cninfo.com.cn)onNovember12,2019.
2.Thegrantingof12.045millionrestrictedsharestotheincentiveobjectsoftheincentiveplanforrestrictedsharesin2020hasbeendeliberatedandapprovedattheeighthinterimmeetingofthesixthboardofdirectors.TheannouncementoftheresolutionwaspublishedintheSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO(www.cninfo.com.cn)onFebruary25,2020.
3.TheCompany'sequitydistributionplanfor2019hasbeendeliberatedandapprovedbythe2019annualgeneralmeetingofshareholdersheldonMay19,2020.TheresolutionannouncementofthegeneralmeetingofshareholderswaspublishedintheSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO(www.cninfo.com.cn)onMay20,2020.Transferofshares
√Applicable□Notapplicable
1.OnFebruary24,2020,theCompanygranted12.045millionrestrictedsharesto914incentiveobjectsundertheCompany'srestrictedstockincentiveplanin2020,andthesharescamefromtheCompany'srepurchaseaccount.
2.OnJune3,2020,aftertheimplementationoftheprofitdistributionplanin2019,theCompany'ssharecapitalincreasedfrom2,765,366,698sharesto3,592,041,778shares.Informationabouttheimplementationofsharerepurchase
√Applicable□NotapplicableOnJune16,2020,theAnnouncementaboutHalfwayThroughtheBuybackPlanisnotyetImplementedwaspublishedinSecuritiesTimes,ShanghaiSecuritiesNewsandCNINFO(www.cninfo.com.cn).Theprogressonreductionofre-purchasesharesbymeansofcentralizedbidding
□Applicable√NotapplicableEffectsofchangesinsharecapitalonthebasicearningspershare("EPS"),dilutedEPS,netassetspershareattributabletocommonshareholdersoftheCompany,andotherfinancialindexesoverthelastyearandlastperiod
√Applicable□Notapplicable
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
Pleaserefertothefinancialreportfordetails.OthercontentsthattheCompanyconsidersnecessaryorrequiredbythesecuritiesregulatoryauthoritiestodisclose
□Applicable√Notapplicable
2.Changesinrestrictedshares
√Applicable□Notapplicable
Unit:Share
| Nameofshareholder | Openingbalanceofrestrictedshares | Vestedincurrentperiod | Increasedincurrentperiod | Closingbalanceofrestrictedshares | Noteforrestrictedshares | Dateofunlocking |
| ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd | 299,892,703 | 89,967,811 | 389,860,514 | NonpublicofferingofsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedtosharecapital,and89,967,811sharesofrestrictedshareswereadded. | September182020 | |
| ZhangYabo | 37,518,000 | 11,255,400 | 48,773,400 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby | Accordingtotherelevantprovisionsofexecutivessharesmanagement |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| 11,255,400shares. | ||||||
| WangDayong | 6,500 | 1,950 | 8,450 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby1,950shares. | Accordingtotherelevantprovisionsofexecutivessharesmanagement | |
| NiXiaoming | 6,500 | 1,950 | 8,450 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby1,950shares. | Accordingtotherelevantprovisionsofexecutivessharesmanagement | |
| ChenYuzhong | 6,500 | 1,950 | 8,450 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreserve | Accordingtotherelevantprovisionsofexecutivessharesmanagement |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| wasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby1,950shares. | ||||||
| HuKaicheng | 6,500 | 1,950 | 8,450 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby1,950shares. | Accordingtotherelevantprovisionsofexecutivessharesmanagement | |
| YuYingkui | 30,582 | 9,175 | 39,757 | ExecutivelockedsharesDuetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreservewasconvertedintosharecapital,andthenumberofrestrictedshareswasincreasedby9,175shares. | Accordingtotherelevantprovisionsofexecutivessharesmanagement | |
| Incentiveobjects | 9,509,500 | 18,132,790 | 27,642,290 | Equityincentivestock:1.OnFebruary24,2020,12.045 | Fordetails,pleaserefertotheCompany'sdraftofrestrictedstock |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| millionrestrictedsharesweregrantedundertherestrictedstockincentiveplanin2020.2.Duetotheimplementationoftheequitydistributionplanin2019onJune3,2020,thecapitalreserveisconvertedtosharecapital,andthenumberofrestrictedsharesisincreasedby18,132,790. | incentiveplanin2018and2020andrelevantannouncements | |||||
| Total | 346,976,785 | 0 | 119,372,976 | 466,349,761 | -- | -- |
□Applicable√Notapplicable
III.TotalNumberofShareholdersandTheirShareholdings
Unit:Share
| TotalNumberofCommonShareholdersattheEndoftheReportingPeriod | 56,410 | TotalNumberofPreferredShareholders(IfAny)(RefertoNote8)WhoseVotingRightsHaveBeenRecoveredattheEndoftheReportingPeriod | 0 | |||||||
| Particularsaboutsharesheldbyshareholderswithashareholdingpercentageover5%ortheTop10ofthem | ||||||||||
| Nameofshareholder | Natureofshareholder | Share-holdingpercentage(%) | Totalsharesheldattheendofthereportingperiod | Increase/decreaseduringthereportingperiod | Thenumberofcommonsharesheldwithtradingrestrictions | Thenumberofsharesheldwithouttradingrestrictions | Pledgedorfrozen | |||
| Status | Amount | |||||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| SanhuaHoldingGroupCo.,Ltd. | Domesticnon-state-ownedcorporation | 29.78% | 1,069,537,580 | 172,686,442 | 1,069,537,580 | Pledged | 140,270,000 | |
| ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd | Domesticnon-state-ownedcorporation | 20.68% | 742,747,954 | 171,403,374 | 389,860,514 | 352,887,440 | ||
| HongKongCentralClearingLimited | Overseascorporation | 6.66% | 239,069,530 | -18,744,565 | 239,069,530 | |||
| ZhangYabo | DomesticIndividual | 1.45% | 52,031,200 | 2,007,200 | 48,773,400 | 3,257,800 | ||
| IndustrialandCommercialBankofChinaLimited-Efundemerginggrowthflexibleallocationhybridsecuritiesinvestmentfund | Others | 1.09% | 39,181,947 | 39,181,947 | 39,181,947 | |||
| ChinaConstructionBankCorporation-BankofCommunicationsSchroderalphacorehybridsecuritiesinvestmentfund | Others | 0.87% | 31,240,755 | 16,904,609 | 31,240,755 |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| IndustrialandCommercialBankofChinaLimitedHuaanmediaInternethybridsecuritiesinvestmentfund | Others | 0.85% | 30,570,328 | 30,570,328 | 30,570,328 | ||
| NationalSocialSecurityFund-112 | Domesticstate-ownedcorporation | 0.75% | 26,883,230 | 4,595,053 | 26,883,230 | ||
| NationalSocialSecurityFund-111 | Domesticstate-ownedcorporation | 0.69% | 24,651,152 | 8,586,158 | 24,651,152 | ||
| CITICBankCo.,Ltd.-BankofCommunicationsSchroedernewvitalityflexibleallocationofhybridsecuritiesinvestmentfunds | Others | 0.66% | 23,734,481 | 8,805,048 | 23,734,481 | ||
| InformationaboutStrategicInvestors’orGeneralLegalPersons’BecomingTopTenCommonShareholdersforPlacementofNewShares(IfAny)(RefertoNote3) | No | ||||||
| ExplanationonAssociatedRelationshiporConcertedActionsamongtheAbove-MentionedShareholders | Amongtheaboveshareholders,SanhuaHoldingGroupCo.,Ltd.,ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd.andZhangYaboarethepersonsactinginconcert.TheCompanydoesnotknowwhetherthereisanyrelatedrelationshipbetweenothershareholders,orwhethertheybelongtothepersonsactinginconcertstipulatedintheAdministrativeMeasuresfortheAcquisitionofListedCompanies. | ||||||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| ParticularsaboutSharesHeldbyTopTenCommonShareholdersHoldingSharesThatAreNotSubjecttoTradingRestrictions | |||
| NameofShareholder | NumberofCommonSharesHeldwithoutRestrictionsattheEndoftheReportingPeriod | Typeofshares | |
| Type | Amount | ||
| SanhuaHoldingGroupCo.,Ltd. | 1,069,537,580 | RMBcommonstock | 1,069,537,580 |
| ZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd | 352,887,440 | RMBcommonstock | 352,887,440 |
| HongKongCentralClearingLimited | 239,069,530 | RMBcommonstock | 239,069,530 |
| IndustrialandCommercialBankofChinaLimited-Efundemerginggrowthflexibleallocationhybridsecuritiesinvestmentfund | 39,181,947 | RMBcommonstock | 39,181,947 |
| ChinaConstructionBankCorporation-BankofCommunicationsSchroderalphacorehybridsecuritiesinvestmentfund | 31,240,755 | RMBcommonstock | 31,240,755 |
| IndustrialandCommercialBankofChinaLimitedHuaanmediaInternethybridsecuritiesinvestmentfund | 30,570,328 | RMBcommonstock | 30,570,328 |
| NationalSocialSecurityFund-112 | 26,883,230 | RMBcommonstock | 26,883,230 |
| NationalSocialSecurityFund-111 | 24,651,152 | RMBcommonstock | 24,651,152 |
| CITICBankCo.,Ltd.-BankofCommunicationsSchroedernewvitalityflexibleallocationofhybridsecuritiesinvestmentfunds | 23,734,481 | RMBcommonstock | 23,734,481 |
| AgriculturalBankofChinaLtd.Hua'anintelligentlifehybridsecuritiesinvestmentfund | 23,251,750 | RMBcommonstock | 23,251,750 |
| ExplanationofAssociatedRelationshiporConcertedActionsamongTopTenCommonShareholderswithoutTradingRestrictions,andamongTopTenCommonShareholderswithoutTradingRestrictionsandTopTen | Amongtheaboveshareholders,SanhuaHoldingGroupCo.,Ltd.,andZhejiangSanhuaLvnengIndustrialGroupCo.,Ltd.arethepersonsactinginconcert.TheCompanydoesnotknowwhetherthereisanyrelatedrelationshipbetweenothershareholders,orwhethertheybelongtothepersonsactinginconcertstipulatedintheAdministrativeMeasuresfortheAcquisitionofListedCompanies. | ||
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
| CommonShareholders | |
| ExplanationofTopTenCommonShareholders’ParticipationinSecuritiesMarginTrading(IfAny)(RefertoNote4) | No |
AnyoftheCompany’stop10commonshareholdersortop10non-restrictedcommonshareholdersconductedanyagreedbuy-backinthereportingperiod?
□Applicable√NotapplicableNosuchcasesduringthecurrentreportingperiod.
IV.ChangesinControllingShareholdersandActualControllers
Changeofthecontrollingshareholderduringthecurrentreportingperiod
□Applicable√NotapplicableNosuchcasesinthereportingperiod.Changeoftheactualcontrollerduringthereportingperiod
□Applicable√NotapplicableNosuchcasesinthecurrentreportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionVIIInformationofPreferredShares
□Applicable√NotapplicableNoexistedpreferredsharesfortheCompanyduringthecurrentreportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionVIIIInformationaboutConvertibleBonds
□Applicable√NotapplicableNoexistedConvertiblebondsfortheCompanyduringthecurrentreportingperiod.
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionIXInformationaboutDirectors,Supervisors,Senior
Management
I.Shareholdingchangesofdirectors,supervisors,seniormanagement
√Applicable□Notapplicable
| Name | Position | Tenurestatus | SharesheldatthebeginningofthePeriod(Shares) | SharesincreasedduringthePeriod(shares) | SharesdecreasedduringthePeriod(Shares) | SharesheldattheendofthePeriod(Shares) | Numberofrestrictedsharesheldatthebeginningoftheperiod(shares) | Numberofrestrictedsharesgrantedduringtheperiod(shares) | Numberofrestrictedsharesheldattheendoftheperiod(shares) |
| ZhangYabo | Chairman、CEO | Incumbent | 50,024,000 | 12,007,200 | 10,000,000 | 52,031,200 | 0 | 0 | 0 |
| WangDayong | Director,seniormanagement | Incumbent | 130,000 | 169,000 | 299,000 | 91,000 | 157,300 | 248,300 | |
| ChenYuzhong | Director,seniormanagement | Incumbent | 130,000 | 169,000 | 299,000 | 91,000 | 157,300 | 248,300 | |
| NiXiaoming | Director | Incumbent | 130,000 | 169,000 | 299,000 | 91,000 | 157,300 | 248,300 | |
| HuKaicheng | BoardSecretary,seniormanagement | Incumbent | 130,000 | 169,000 | 299,000 | 91,000 | 157,300 | 248,300 | |
| YuYingkui | CFO,seniormanagement | Incumbent | 154,082 | 176,225 | 330,307 | 91,000 | 157,300 | 248,300 | |
| Total | -- | -- | 50,698,082 | 12,859,425 | 10,000,000 | 53,557,507 | 455,000 | 786,500 | 1,241,500 |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
II.ChangesofDirectors,SupervisorsandSeniorManagement
√Applicable□Notapplicable
| Name | Position | Type | Date | Reasons |
| ShenYuping | IndependentDirector | Leavethepositionwhentermofofficeexpires | June72020 | Leavethepositionwhensix-yeartermofofficeexpires |
| ZhangYaping | IndependentDirector | Leavethepositionwhentermofofficeexpires | June72020 | Leavethepositionwhensix-yeartermofofficeexpires |
| ShiJianhui | IndependentDirector | Appointment | June82020 | Thenumberofindependentdirectorsislessthanonethirdoftheboardmembers |
| ZhuHongjun | IndependentDirector | Appointment | June82020 | Independentdirectorwithfinancialmajor.Thenumberofindependentdirectorsislessthanonethirdoftheboardmembers |
ZhejiangSanhuaIntelligentControlsCo.,Ltd.2020Semi-AnnualReport
SectionXCorporateBondsWhethertheCompanyhaspubliclyissuedcorporatebondsonStockExchange,whichhasnotterminatedorterminatedbutfailtocollectthefullpaymentbeforethehalfyearreportauthorizeddisclosuredate.
□Yes√No
SectionXIFinancialReport
I.AuditorReportWhetheraudithasbeenperformedonthisinterimfinancialreport
□Yes√NoTheCompany’s2020HalfYearReporthasnotbeenauditedII.FinancialStatementsUnitsoffinancialreportsinthenotes:RMB
1.ConsolidatedBalanceSheetPreparedby:ZhejiangSanhuaIntelligentControlsCo.,Ltd.
Unit:RMB
| Items | June30,2020 | December31,2019 |
| CurrentAssets: | ||
| CashandBankBalances | 3,412,040,819.22 | 2,663,719,770.15 |
| Settlementfunds | ||
| Loanstootherbanks | ||
| Held-for-tradingfinancialassets | 1,221,535,291.01 | 993,634,433.31 |
| Derivativefinancialassets | 23,708,126.32 | 8,314,400.73 |
| Notesreceivable | 1,652,911,349.99 | 2,097,159,908.40 |
| Accountsreceivable | 2,130,607,685.90 | 1,871,323,522.82 |
| Receivablefinancing | ||
| Advancespaid | 91,178,630.33 | 62,871,924.30 |
| Premiumreceivable | ||
| Reinsuranceaccountsreceivable | ||
| Reinsurancereservesreceivable | ||
| Otherreceivables | 66,256,474.54 | 97,394,782.97 |
| Including:Interestreceivable | ||
| Dividendsreceivable | ||
| Financialassetsunderreverserepo | ||
| Inventories | 1,902,896,386.17 | 2,180,838,596.07 |
| Contractassets |
| Assetsclassifiedasheldforsale | ||
| Non-currentassetsduewithinoneyear | ||
| Othercurrentassets | 81,420,752.84 | 75,933,253.28 |
| Totalcurrentassets | 10,582,555,516.32 | 10,051,190,592.03 |
| Non-currentassets: | ||
| Loansandadvancespaid | ||
| Debtinvestments | ||
| Otherdebtinvestments | ||
| Long-termreceivable | 2,306,862.76 | 2,145,963.27 |
| Long-termequityinvestments | 14,348,933.44 | 14,522,259.80 |
| Otherequityinstrumentinvestments | ||
| Othernon-currentfinancialassets | ||
| Investmentproperty | 26,263,000.26 | 27,025,974.05 |
| Fixedassets | 3,625,967,658.09 | 3,379,608,199.26 |
| Constructioninprogress | 492,864,704.94 | 480,959,262.46 |
| Productivebiologicalassets | ||
| Oil&gasassets | ||
| Right-of-useassets | ||
| Intangibleassets | 521,013,723.37 | 525,867,518.75 |
| Developmentexpenditures | ||
| Goodwill | 31,959,091.60 | 31,959,091.60 |
| Long-termprepayments | 4,818,348.86 | 8,720,120.64 |
| Deferredtaxassets | 84,285,107.91 | 88,952,931.69 |
| Othernon-currentassets | 154,342,209.19 | 179,238,257.09 |
| Totalnon-currentassets | 4,958,169,640.42 | 4,738,999,578.61 |
| Totalassets | 15,540,725,156.74 | 14,790,190,170.64 |
| Currentliabilities: | ||
| Short-termborrowings | 1,267,378,241.24 | 1,295,610,572.07 |
| Centralbankloans | ||
| Loansfromotherbanks | ||
| Held-for-tradingfinancialliabilities | ||
| Derivativefinancialliabilities | 8,449,613.09 | 126,364.40 |
| Notespayable | 973,763,888.02 | 1,130,668,415.32 |
| Accountspayable | 1,565,086,777.42 | 1,587,763,752.62 |
| Advancesreceived | 31,296,264.17 | 23,453,218.32 |
| Contractliabilities | ||
| Financialliabilitiesunderrepo | ||
| Absorbingdepositandinterbankdeposit | ||
| Depositforagencysecuritytransaction | ||
| Depositforagencysecurityunderwriting | ||
| Employeebenefitspayable | 162,360,168.58 | 228,997,483.82 |
| Taxesandratespayable | 56,961,785.44 | 58,192,607.75 |
| Otherpayables | 292,885,146.18 | 161,237,214.88 |
| Including:InterestPayable | ||
| DividendsPayable | 1,310,000.00 | 1,772,750.00 |
| Handlingfeeandcommissionpayable | ||
| Reinsuranceaccountspayable | ||
| Liabilitiesclassifiedasheldforsale | ||
| Non-currentliabilitiesduewithinoneyear | 222,228,097.22 | |
| Othercurrentliabilities | ||
| Totalcurrentliabilities | 4,358,181,884.14 | 4,708,277,726.40 |
| Non-currentliabilities: | ||
| Insurancepolicyreserve | ||
| Long-termborrowings | 1,259,113,765.14 | 392,882,280.09 |
| Bondspayable | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | 92,435,999.26 | 94,235,857.77 |
| Long-termemployeebenefitspayable | ||
| Provisions | ||
| Deferredincome | 79,093,357.32 | 82,537,550.43 |
| Deferredtaxliabilities | 69,319,249.50 | 65,049,361.71 |
| Othernon-currentliabilities | 82,435,946.79 | 81,788,928.52 |
| Totalnon-currentliabilities | 1,582,398,318.01 | 716,493,978.52 |
| Totalliabilities | 5,940,580,202.15 | 5,424,771,704.92 |
| Equity: | ||
| Sharecapital | 3,592,041,778.00 | 2,765,657,898.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Capitalreserve | 243,740,344.02 | 1,090,800,022.06 |
| Less:Treasuryshares | 309,452,726.34 | 363,781,151.34 |
| Othercomprehensiveincome | -65,788,870.48 | -39,332,748.50 |
| Specialreserve | ||
| Surplusreserve | 559,896,619.39 | 559,896,619.39 |
| Generalriskreserve | ||
| Undistributedprofit | 5,508,536,465.89 | 5,278,392,288.84 |
| TotalequityattributabletotheparentCompany | 9,528,973,610.48 | 9,291,632,928.45 |
| Non-controllinginterest | 71,171,344.11 | 73,785,537.27 |
| Totalequity | 9,600,144,954.59 | 9,365,418,465.72 |
| Totalliabilities&equity | 15,540,725,156.74 | 14,790,190,170.64 |
Legalrepresentative:ZhangYaboPersoninchargeofaccounting:YuYingkuiPersoninchargeoftheaccountinginstitution:ShengXiaofeng
2.BalanceSheetoftheParentCompany
Unit:RMB
| Items | June30,2020 | December31,2019 |
| Currentassets: | ||
| Cashandbankbalances | 1,450,068,513.99 | 1,039,915,005.31 |
| Held-for-tradingfinancialassets | 653,228,000.00 | 195,000,000.00 |
| Derivativefinancialassets | 11,362,725.00 | 2,069,850.00 |
| Notesreceivable | 374,959,009.23 | 161,946,880.21 |
| Accountsreceivable | 933,630,950.88 | 1,135,299,895.98 |
| Receivablesfinancing | ||
| Advancespaid | 15,111,207.68 | 6,076,163.25 |
| Otherreceivables | 564,793,977.69 | 603,257,516.95 |
| Including:InterestReceivable | 1,789,540.22 | |
| DividendsReceivable | 14,438,323.76 | |
| Inventories | 344,463,393.93 | 519,241,847.99 |
| Contractassets | ||
| Assetsclassifiedasheldforsale |
| Non-currentassetsduewithinoneyear | ||
| Othercurrentassets | 27,796,271.79 | 21,333,811.35 |
| Totalcurrentassets | 4,375,414,050.19 | 3,684,140,971.04 |
| Non-currentassets: | ||
| Debtinvestments | ||
| Otherdebtinvestments | ||
| Long-termreceivable | ||
| Long-termequityinvestments | 4,402,111,834.98 | 4,256,633,941.06 |
| Otherequityinstrumentinvestments | ||
| Othernon-currentfinancialassets | ||
| Investmentproperty | ||
| Fixedassets | 1,497,464,939.91 | 1,460,855,506.39 |
| Constructioninprogress | 65,263,049.57 | 44,135,844.65 |
| Productivebiologicalassets | ||
| Oil&gasassets | ||
| Right-of-useassets | ||
| Intangibleassets | 186,236,958.19 | 189,181,593.94 |
| Developmentexpenditures | ||
| Goodwill | ||
| Long-termprepayments | 312,659.05 | 625,318.03 |
| Deferredtaxassets | 8,164,241.86 | 17,068,063.08 |
| Othernon-currentassets | 67,980,073.91 | 109,659,279.90 |
| Totalnon-currentassets | 6,227,533,757.47 | 6,078,159,547.05 |
| Totalassets | 10,602,947,807.66 | 9,762,300,518.09 |
| Currentliabilities: | ||
| Short-termborrowings | 771,283,865.78 | 730,799,542.65 |
| Held-for-tradingfinancialliabilities | ||
| Derivativefinancialliabilities | ||
| Notespayable | 58,894,261.28 | |
| Accountspayable | 1,414,719,890.68 | 1,431,862,681.89 |
| Advancesreceived | 216,579.50 | 92,676.29 |
| Contractliabilities | ||
| Employeebenefitspayable | 60,750,804.91 | 65,680,254.82 |
| Taxesandratespayable | 7,918,874.44 | 1,576,623.72 |
| Otherpayables | 1,503,361,654.84 | 1,252,808,472.44 |
| Including:interestpayable | ||
| DividendsPayable | ||
| Liabilitiesclassifiedasheldforsale | ||
| Non-currentliabilitiesduewithinoneyear | 220,225,194.44 | |
| Othercurrentliabilities | ||
| Totalcurrentliabilities | 3,817,145,931.43 | 3,703,045,446.25 |
| Non-currentliabilities: | ||
| Long-termborrowings | 770,756,434.72 | |
| Bondspayable | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | ||
| Long-termemployeebenefitspayable | ||
| Provisions | ||
| Deferredincome | 27,394,542.02 | 30,895,817.00 |
| Deferredtaxliabilities | 32,962,814.80 | 31,296,603.88 |
| Othernon-currentliabilities | ||
| Totalnon-currentliabilities | 831,113,791.54 | 62,192,420.88 |
| Totalliabilities | 4,648,259,722.97 | 3,765,237,867.13 |
| Equity: | ||
| Sharecapital | 3,592,041,778.00 | 2,765,657,898.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Capitalreserve | 1,158,243,441.49 | 2,005,303,119.53 |
| Less:treasuryshares | 309,452,726.34 | 363,781,151.34 |
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 431,209,447.07 | 431,209,447.07 |
| Undistributedprofit | 1,082,646,144.47 | 1,158,673,337.70 |
| Totalequity | 5,954,688,084.69 | 5,997,062,650.96 |
| Totalliabilities&equity | 10,602,947,807.66 | 9,762,300,518.09 |
3.ConsolidatedIncomeStatement
Unit:RMB
| Items | 2020Interim | 2019Interim |
| I.Totaloperatingrevenue | 5,318,178,626.77 | 5,831,107,028.08 |
| Including:Operatingrevenue | 5,318,178,626.77 | 5,831,107,028.08 |
| Interestincome | ||
| Premiumearned | ||
| Revenuefromhandlingchargesandcommission | ||
| II.Totaloperatingcost | 4,658,848,422.13 | 5,050,671,056.89 |
| Including:Operatingcost | 3,839,626,004.70 | 4,179,915,713.98 |
| Interestexpenses | ||
| Handlingchargesandcommissionexpenditures | ||
| Surrendervalue | ||
| Netpaymentofinsuranceclaims | ||
| Netprovisionofinsurancepolicyreserve | ||
| Premiumbonusexpenditures | ||
| Reinsuranceexpenses | ||
| Taxesandsurcharges | 36,309,640.40 | 41,858,591.20 |
| Sellingexpenses | 257,442,500.54 | 263,730,876.93 |
| Administrativeexpenses | 315,350,745.15 | 304,294,733.96 |
| R&Dexpenses | 240,012,928.38 | 248,506,405.93 |
| Financialexpenses | -29,893,397.04 | 12,364,734.89 |
| Including:Interestexpenses | 32,558,310.10 | 26,919,773.79 |
| Interestincome | 19,167,271.27 | 11,053,538.87 |
| Add:Otherincome | 101,528,141.23 | 52,433,523.85 |
| Investmentincome(orless:losses) | -8,109,921.96 | 30,358,255.34 |
| Including:Investmentincomefromassociatesandjointventures | 1,826,673.64 | 508,944.08 |
| Gainsfromderecognitionoffinancialassetsatamortizedcost | -114,807.17 | |
| Gainsonforeignexchange(orless:losses) | ||
| Gainsonnetexposuretohedgingrisk(orless:losses) | ||
| Gainsonchangesinfairvalue(orless:losses) | 6,520,045.96 | 8,436,416.96 |
| Creditimpairmentloss | -12,874,290.80 | -19,122,897.76 |
| Assetsimpairmentloss | -6,302,857.17 | -22,535,866.59 |
| Gainsonassetdisposal(orless:losses) | -319,355.00 | -122,323.66 |
| III.Operatingprofit(orless:losses) | 739,771,966.90 | 829,883,079.33 |
| Add:Non-operatingrevenue | 1,466,984.81 | 2,717,783.94 |
| Less:Non-operatingexpenditures | 1,354,079.15 | 1,257,816.96 |
| IV.Profitbeforetax(orless:totalloss) | 739,884,872.56 | 831,343,046.31 |
| Less:Incometaxexpense | 99,017,348.37 | 142,881,546.88 |
| V.Netprofit(orless:netloss) | 640,867,524.19 | 688,461,499.43 |
| (I)Categorizedbythecontinuityofoperations | ||
| 1.Netprofitfromcontinuingoperations(orless:netloss) | 640,867,524.19 | 688,461,499.43 |
| 2.Netprofitfromdiscontinuedoperations(orless:netloss) | ||
| (II)Categorizedbytheportionofequityownership | ||
| 1.NetprofitattributabletoownersofparentCompany(orless:netloss) | 643,481,717.35 | 692,968,498.78 |
| 2.Netprofitattributabletonon-controllingshareholders(orless:netloss) | -2,614,193.16 | -4,506,999.35 |
| VI.Othercomprehensiveincomeaftertax | -26,456,121.98 | -3,329,949.74 |
| ItemsattributabletotheownersoftheparentCompany | -26,456,121.98 | -3,329,949.74 |
| (I)Nottobereclassifiedsubsequentlytoprofitorloss | ||
| 1.Changesinremeasurementonthenetdefinedbenefitplan | ||
| 2.Itemsunderequitymethodthatwillnotbereclassifiedtoprofitorloss | ||
| 3.Changesinfairvalueofotherequityinstrumentinvestments | ||
| 4.Changesinfairvalueofowncreditrisk | ||
| 5.Others | ||
| (II)Tobereclassifiedsubsequentlytoprofitorloss | -26,456,121.98 | -3,329,949.74 |
| 1.Itemsunderequitymethodthatmaybereclassifiedtoprofitorloss | ||
| 2.Changesinfairvalueofotherdebtinvestments | ||
| 3.Profitorlossfromreclassificationoffinancialassetsintoothercomprehensiveincome | ||
| 4.Provisionforcreditimpairmentofotherdebtinvestments | ||
| 5.Cashflowhedgingreserve | ||
| 6.Translationreserve | -26,456,121.98 | -3,329,949.74 |
| 7.Others | ||
| Itemsattributabletonon-controllingshareholders |
| VII.Totalcomprehensiveincome | 614,411,402.21 | 685,131,549.69 |
| ItemsattributabletotheownersoftheparentCompany | 617,025,595.37 | 689,638,549.04 |
| Itemsattributabletonon-controllingshareholders | -2,614,193.16 | -4,506,999.35 |
| VIII.Earningspershare(EPS): | ||
| (I)BasicEPS(yuanpershare) | 0.18 | 0.19 |
| (II)DilutedEPS(yuanpershare) | 0.18 | 0.19 |
Legalrepresentative:ZhangYaboPersoninchargeofaccounting:YuYingkuiPersoninchargeoftheaccountinginstitution:ShengXiaofeng
4.IncomeStatementoftheParentCompany
Unit:RMB
| Items | 2020Interim | 2019Interim |
| I.Operatingrevenue | 2,117,212,102.62 | 2,495,838,463.84 |
| Less:Operatingcost | 1,616,751,481.77 | 1,965,004,672.15 |
| Taxesandsurcharges | 14,883,710.72 | 15,997,771.30 |
| Sellingexpenses | 15,130,538.49 | 18,249,452.87 |
| Administrativeexpenses | 72,140,520.61 | 69,118,857.63 |
| R&Dexpenses | 88,292,793.63 | 96,190,250.84 |
| Financialexpenses | 8,904,811.12 | 129,571.18 |
| Including:Interestexpenses | 34,495,598.61 | 30,358,919.36 |
| Interestincome | 10,398,609.20 | 21,885,553.49 |
| Add:Otherincome | 52,824,654.27 | 21,442,460.57 |
| Investmentincome(orless:losses) | 10,995,316.73 | 254,931,773.19 |
| Including:Investmentincomefromassociatesandjointventures | 1,922,776.38 | 867,006.32 |
| Gainsfromderecognitionoffinancialassetsatamortizedcost | ||
| Gainsonnetexposuretohedging(orless:losses) | ||
| Gainsonchangesinfairvalue(orless:losses) | 12,520,875.00 | -1,337,748.00 |
| Creditimpairmentloss | 1,810,314.30 | -882,179.01 |
| Assetsimpairmentloss | ||
| Gainsonassetdisposal(orless:losses) | 60,000.75 | 126,257.34 |
| II.Operatingprofit(orless:losses) | 379,319,407.33 | 605,428,451.96 |
| Add:Non-operatingrevenue | 472,666.13 | 98,027.21 |
| Less:Non-operatingexpenditures | 137,009.04 | 301,568.34 |
| III.Profitbeforetax(orless:totalloss) | 379,655,064.42 | 605,224,910.83 |
| Less:Incometaxexpense | 42,344,717.35 | 52,218,796.69 |
| IV.Netprofit(orless:netloss) | 337,310,347.07 | 553,006,114.14 |
| (I)Netprofitfromcontinuingoperations(orless:netloss) | 337,310,347.07 | 553,006,114.14 |
| (II)Netprofitfromdiscontinuedoperations(orless:netloss) | ||
| V.Othercomprehensiveincomeaftertax | ||
| (I)Nottobereclassifiedsubsequentlytoprofitorloss | ||
| 1.Changesinremeasurementonthenetdefinedbenefitplan | ||
| 2.Itemsunderequitymethodthatwillnotbereclassifiedtoprofitorloss | ||
| 3.Changesinfairvalueofotherequityinstrumentinvestments | ||
| 4.Changesinfairvalueofowncreditrisk | ||
| 5.Others | ||
| (II)Tobereclassifiedsubsequentlytoprofitorloss | ||
| 1.Itemsunderequitymethodthatmaybereclassifiedtoprofitorloss | ||
| 2.Changesinfairvalueofotherdebtinvestments | ||
| 3.Profitorlossfromreclassificationoffinancialassetsintoothercomprehensiveincome | ||
| 4.Provisionforcreditimpairmentofotherdebtinvestments | ||
| 5.Cashflowhedgingreserve(profitorlossoncashflowhedging) | ||
| 6.Translationreserve | ||
| 7.Others | ||
| VI.Totalcomprehensiveincome | 337,310,347.07 | 553,006,114.14 |
5.ConsolidatedCashFlowStatement
Unit:RMB
| Items | 2020Interim | 2019Interim |
| I.Cashflowsfromoperatingactivities: | ||
| Cashreceiptsfromsaleofgoodsorrenderingofservices | 5,669,226,956.30 | 5,690,456,680.63 |
| Netincreaseofclientdepositandinterbankdeposit | ||
| Netincreaseofcentralbankloans | ||
| Netincreaseofloansfromotherfinancialinstitutions |
| Cashreceiptsfromoriginalinsurancecontractpremium | ||
| Netcashreceiptsfromreinsurance | ||
| Netincreaseofpolicy-holderdepositandinvestment | ||
| Cashreceiptsfrominterest,handlingchargesandcommission | ||
| Netincreaseofloansfromothers | ||
| Netincreaseofrepurchase | ||
| Netcashreceiptsfromagencysecuritytransaction | ||
| Receiptsoftaxrefund | 135,301,637.22 | 139,825,545.01 |
| Othercashreceiptsrelatedtooperatingactivities | 138,981,847.05 | 121,184,630.63 |
| Subtotalofcashinflowsfromoperatingactivities | 5,943,510,440.57 | 5,951,466,856.27 |
| Cashpaymentsforgoodspurchasedandservicesreceived | 3,476,000,876.09 | 3,742,133,669.66 |
| Netincreaseofloansandadvancestoclients | ||
| Netincreaseofcentralbankdepositandinterbankdeposit | ||
| Cashpaymentsforinsuranceindemnitiesoforiginalinsurancecontracts | ||
| Netincreaseofloanstoothers | ||
| Cashpaymentsforinterest,handlingchargesandcommission | ||
| Cashpaymentsforpolicybonus | ||
| Cashpaidtoandonbehalfofemployees | 783,884,263.51 | 775,495,900.36 |
| Cashpaymentsfortaxesandrates | 205,682,821.70 | 239,712,962.89 |
| Othercashpaymentsrelatedtooperatingactivities | 373,291,029.85 | 363,569,412.43 |
| Subtotalofcashoutflowsfromoperatingactivities | 4,838,858,991.15 | 5,120,911,945.34 |
| Netcashflowsfromoperatingactivities | 1,104,651,449.42 | 830,554,910.93 |
| II.Cashflowsfrominvestingactivities: | ||
| Cashreceiptsfromwithdrawalofinvestments | ||
| Cashreceiptsfrominvestmentincome | 23,348,369.16 | 33,755,279.46 |
| Netcashreceiptsfromthedisposaloffixedassets,intangibleassetsandotherlong-termassets | 2,066,447.61 | 3,718,696.87 |
| Netcashreceiptsfromthedisposalofsubsidiaries&otherbusinessunits | ||
| Othercashreceiptsrelatedtoinvestingactivities | 277,649,043.00 | 620,914,127.51 |
| Subtotalofcashinflowsfrominvestingactivities | 303,063,859.77 | 658,388,103.84 |
| Cashpaymentsfortheacquisitionoffixedassets,intangibleassetsandotherlong-termassets | 442,252,824.96 | 402,675,247.21 |
| Cashpaymentsforinvestments |
| Netincreaseofpledgedborrowings | ||
| Netcashpaymentsfortheacquisitionofsubsidiaries&otherbusinessunits | ||
| Othercashpaymentsrelatedtoinvestingactivities | 540,203,379.47 | 27,864,757.37 |
| Subtotalofcashoutflowsfrominvestingactivities | 982,456,204.43 | 430,540,004.58 |
| Netcashflowsfrominvestingactivities | -679,392,344.66 | 227,848,099.26 |
| III.Cashflowsfromfinancingactivities: | ||
| Cashreceiptsfromabsorbinginvestments | 118,643,250.00 | 3,609,000.00 |
| Including:Cashreceivedbysubsidiariesfromnon-controllingshareholdersasinvestments | 3,609,000.00 | |
| Cashreceiptsfromborrowings | 1,379,378,896.06 | 652,992,773.64 |
| Othercashreceiptsrelatedtofinancingactivities | 26,080,652.17 | 58,902,676.13 |
| Subtotalofcashinflowsfromfinancingactivities | 1,524,102,798.23 | 715,504,449.77 |
| Cashpaymentsfortherepaymentofborrowings | 758,969,786.13 | 600,819,921.22 |
| Cashpaymentsfordistributionofdividendsorprofitsandforinterestexpenses | 451,059,488.63 | 559,026,654.00 |
| Including:Cashpaidbysubsidiariestonon-controllingshareholdersasdividendorprofit | 2,680,000.00 | 11,299,967.32 |
| Othercashpaymentsrelatedtofinancingactivities | 3,780,305.89 | 202,135,525.53 |
| Subtotalofcashoutflowsfromfinancingactivities | 1,213,809,580.65 | 1,361,982,100.75 |
| Netcashflowsfromfinancingactivities | 310,293,217.58 | -646,477,650.98 |
| IV.Effectofforeignexchangeratechangesoncash&cashequivalents | -25,656,121.98 | -3,329,949.74 |
| V.Netincreaseincashandcashequivalents | 709,896,200.36 | 408,595,409.47 |
| Add:Openingbalanceofcashandcashequivalents | 2,553,783,015.01 | 1,164,542,861.48 |
| VI.Closingbalanceofcashandcashequivalents | 3,263,679,215.37 | 1,573,138,270.95 |
6.CashFlowStatementoftheParentCompany
Unit:RMB
| Items | 2020Interim | 2019Interim |
| I.Cashflowsfromoperatingactivities: | ||
| Cashreceiptsfromsaleofgoodsandrenderingofservices | 1,582,936,545.48 | 1,575,934,290.46 |
| Receiptsoftaxrefund | 45,688,483.71 | 45,554,541.66 |
| Othercashreceiptsrelatedtooperatingactivities | 59,466,164.51 | 36,560,819.24 |
| Subtotalofcashinflowsfromoperatingactivities | 1,688,091,193.70 | 1,658,049,651.36 |
| Cashpaymentsforgoodspurchasedandservicesreceived | 822,533,884.63 | 927,035,338.75 |
| Cashpaidtoandonbehalfofemployees | 193,396,299.54 | 153,147,803.53 |
| Cashpaymentsfortaxesandrates | 51,272,174.14 | 42,816,607.59 |
| Othercashpaymentsrelatedtooperatingactivities | 79,419,321.52 | 64,546,685.86 |
| Subtotalofcashoutflowsfromoperatingactivities | 1,146,621,679.83 | 1,187,546,435.73 |
| Netcashflowsfromoperatingactivities | 541,469,513.87 | 470,503,215.63 |
| II.Cashflowsfrominvestingactivities: | ||
| Cashreceiptsfromwithdrawalofinvestments | 3,000,000.00 | 5,000,000.00 |
| Cashreceiptsfrominvestmentincome | 6,834,184.92 | 252,050,133.00 |
| Netcashreceiptsfromthedisposaloffixedassets,intangibleassetsandotherlong-termassets | 174,800.00 | 2,191,607.40 |
| Netcashreceiptsfromthedisposalofsubsidiaries&otherbusinessunits | 3,609,000.00 | |
| Othercashreceiptsrelatedtoinvestingactivities | 175,228,503.46 | 499,884,082.87 |
| Subtotalofcashinflowsfrominvestingactivities | 185,237,488.38 | 762,734,823.27 |
| Cashpaymentsfortheacquisitionoffixedassets,intangibleassetsandotherlong-termassets | 102,274,729.91 | 145,172,309.32 |
| Cashpaymentsforinvestments | 140,874,000.00 | 9,238,318.85 |
| Netcashpaymentsfortheacquisitionofsubsidiaries&otherbusinessunits | ||
| Othercashpaymentsrelatedtoinvestingactivities | 472,363,792.38 | 309,114,325.61 |
| Subtotalofcashoutflowsfrominvestingactivities | 715,512,522.29 | 463,524,953.78 |
| Netcashflowsfrominvestingactivities | -530,275,033.91 | 299,209,869.49 |
| III.Cashflowsfromfinancingactivities: | ||
| Cashreceiptsfromabsorbinginvestments | 118,643,250.00 | |
| Cashreceiptsfromborrowings | 1,159,811,000.00 | 350,000,000.00 |
| Othercashreceiptsrelatedtofinancingactivities | 161,770,652.17 | 77,272,550.00 |
| Subtotalofcashinflowsfromfinancingactivities | 1,440,224,902.17 | 427,272,550.00 |
| Cashpaymentsfortherepaymentofborrowings | 570,000,000.00 | 150,000,000.00 |
| Cashpaymentsfordistributionoforprofitsandforinterestexpenses | 437,223,073.41 | 538,405,951.79 |
| Othercashpaymentsrelatedtofinancingactivities | 12,254,861.11 | 202,454,564.36 |
| Subtotalofcashoutflowsfromfinancingactivities | 1,019,477,934.52 | 890,860,516.15 |
| Netcashflowsfromfinancingactivities | 420,746,967.65 | -463,587,966.15 |
| IV.Effectofforeignexchangeratechangesoncashandcashequivalents | ||
| V.Netincreaseincashandcashequivalents | 431,941,447.61 | 306,125,118.97 |
| Add:Openingbalanceofcashandcashequivalents | 974,923,339.25 | 259,366,745.24 |
| VI.Closingbalanceofcashandcashequivalents | 1,406,864,786.86 | 565,491,864.21 |
7.ConsolidatedStatementofChangesinOwners'EquityAmountofthisperiod
Unit:RMB
| Items | 2020Interim | ||||||||||||||
| EquityAttributabletoparentCompany | Non-controllinginterest | Totalequity | |||||||||||||
| ShareCapital | Otherequityinstruments | Capitalreserve | Less:treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Generalriskreserve | Undistributedprofit | Others | Subtotal | |||||
| Preferredshares | Perpetualbonds | Others | |||||||||||||
| I.Balanceattheendofprioryear | 2,765,657,898.00 | 1,090,800,022.06 | 363,781,151.34 | -39,332,748.50 | 559,896,619.39 | 5,278,392,288.84 | 9,291,632,928.45 | 73,785,537.27 | 9,365,418,465.72 | ||||||
| Add:Cumulativechangesofaccountingpolicies | |||||||||||||||
| Errorcorrectionofpriorperiod | |||||||||||||||
| Businesscombinationundercommoncontrol | |||||||||||||||
| Others | |||||||||||||||
| II.Balanceatthebeginningofcurrent | 2,765,657,898.00 | 1,090,800,022.06 | 363,781,151.34 | -39,332,748.50 | 559,896,619.39 | 5,278,392,288.84 | 9,291,632,928.45 | 73,785,537.27 | 9,365,418,465.72 | ||||||
| year | |||||||||||
| III.Currentperiodincrease(orless:decrease) | 826,383,880.00 | -847,059,678.04 | -54,328,425.00 | -26,456,121.98 | 230,144,177.05 | 237,340,682.03 | -2,614,193.16 | 234,726,488.87 | |||
| (I)Totalcomprehensiveincome | -26,456,121.98 | 643,481,717.35 | 617,025,595.37 | -2,614,193.16 | 614,411,402.21 | ||||||
| (II)Capitalcontributedorwithdrawnbyowners | -291,200.00 | -20,384,598.04 | -54,328,425.00 | 33,652,626.96 | 33,652,626.96 | ||||||
| 1.Ordinarysharescontributedbyowners | -49,264,050.00 | -49,264,050.00 | |||||||||
| 2.Capitalcontributedbyholdersofotherequityinstruments | |||||||||||
| 3.Amountofshare-basedpaymentincludedinequity | 30,463,131.96 | 30,463,131.96 | 30,463,131.96 | ||||||||
| 4.Others | -291,200.00 | -1,583,680.00 | -5,064,375.00 | 3,189,495.00 | 3,189,495.00 | ||||||
| (III)Profitdistribution | -413,337,540.30 | -413,337,540.30 | -413,337,540.30 | ||||||||
| 1.Appropriationofsurplus |
| reserve | |||||||||
| 2.Appropriationofgeneralriskreserve | |||||||||
| 3.Appropriationofprofittoowners | -413,337,540.30 | -413,337,540.30 | -413,337,540.30 | ||||||
| 4.Others | |||||||||
| (IV)Internalcarry-overwithinequity | 826,675,080.00 | -826,675,080.00 | |||||||
| 1.Transferofcapitalreservetocapital | 826,675,080.00 | -826,675,080.00 | |||||||
| 2.Transferofsurplusreservetocapital | |||||||||
| 3.Surplusreservetocoverlosses | |||||||||
| 4.Changesindefinedbenefitplancarriedovertoretainedearnings | |||||||||
| 5.Othercomprehensiveincome |
| carriedovertoretainedearnings | |||||||||||||
| 6.Others | |||||||||||||
| (V)Specialreserve | |||||||||||||
| 1.Appropriationofcurrentperiod | |||||||||||||
| 2.Applicationofcurrentperiod | |||||||||||||
| (VI)Others | |||||||||||||
| IV.Balanceattheendofcurrentperiod | 3,592,041,778.00 | 243,740,344.02 | 309,452,726.34 | -65,788,870.48 | 559,896,619.39 | 5,508,536,465.89 | 9,528,973,610.48 | 71,171,344.11 | 9,600,144,954.59 |
AmountofPreviousPeriod
Unit:RMB
| Items | 2019Interim | ||||||||||||||
| EquityAttributabletoparentCompany | Non-controllinginterestCapitalreserve | TotalequityShareCapital | |||||||||||||
| ShareCapital | Otherequityinstruments | Capitalreserve | ShareCapital | Otherequityinstruments | Capitalreserve | ShareCapital | Otherequityinstruments | Capitalreserve | ShareCapital | Otherequityinstruments | |||||
| Preferredshares | Perpetualbonds | Others | |||||||||||||
| I.Balanceattheendofprioryear | 2,130,646,835.00 | 1,702,234,409.35 | 116,457,618.45 | -39,303,906.65 | 448,843,076.37 | 4,488,881,759.86 | 8,614,844,555.48 | 85,232,116.46 | 8,700,076,671.94 | ||||||
| Add:Cumulativechangesofaccountingpolicies | 120,088.18 | 8,359,634.19 | 8,479,722.37 | 8,479,722.37 | |||||||||
| Errorcorrectionofpriorperiod | |||||||||||||
| Businesscombinationundercommoncontrol | |||||||||||||
| Others | |||||||||||||
| II.Balanceatthebeginningofcurrentyear | 2,130,646,835.00 | 1,702,234,409.35 | 116,457,618.45 | -39,303,906.65 | 448,963,164.55 | 4,497,241,394.05 | 8,623,324,277.85 | 85,232,116.46 | 8,708,556,394.31 | ||||
| III.Currentperiodincrease(orless:decrease) | 635,011,063.00 | -625,636,164.78 | 183,524,664.63 | -3,329,949.74 | 163,792,612.28 | -13,687,103.87 | -9,687,586.82 | -23,374,690.69 | |||||
| (I)Totalcomprehensiveincome | -3,329,949.74 | 692,968,498.78 | 689,638,549.04 | -4,506,999.35 | 685,131,549.69 | ||||||||
| (II)Capitalcontributedorwithdrawnbyowners | 9,823,629.60 | 183,524,664.63 | -173,701,035.03 | -5,180,587.47 | -178,881,622.50 | ||||||||
| 1.Ordinarysharescontributedbyowners | -5,180,587.47 | -5,180,587.47 | |||||||||||
| 2.Capitalcontributedbyholders |
| ofotherequityinstruments | ||||||||||
| 3.Amountofshare-basedpaymentincludedinequity | 9,823,629.60 | 9,823,629.60 | 9,823,629.60 | |||||||
| 4.Others | 183,524,664.63 | -183,524,664.63 | -183,524,664.63 | |||||||
| (III)Profitdistribution | -529,175,886.50 | -529,175,886.50 | -529,175,886.50 | |||||||
| 1.Appropriationofsurplusreserve | ||||||||||
| 2.Appropriationofgeneralriskreserve | ||||||||||
| 3.Appropriationofprofittoowners | -529,175,886.50 | -529,175,886.50 | -529,175,886.50 | |||||||
| 4.Others | ||||||||||
| (IV)Internalcarry-overwithinequity | 635,011,063.00 | -635,011,063.00 | ||||||||
| 1.Transferofcapitalreservetocapital | 635,011,063.00 | -635,011,063.00 | ||||||||
| 2.Transferofsurplusreserveto |
| capital | |||||||||||||
| 3.Surplusreservetocoverlosses | |||||||||||||
| 4.Changesindefinedbenefitplancarriedovertoretainedearnings | |||||||||||||
| 5.Othercomprehensiveincomecarriedovertoretainedearnings | |||||||||||||
| 6.Others | |||||||||||||
| (V)Specialreserve | |||||||||||||
| 1.Appropriationofcurrentperiod | |||||||||||||
| 2.Applicationofcurrentperiod | |||||||||||||
| (VI)Others | -448,731.38 | -448,731.38 | -448,731.38 | ||||||||||
| IV.Balanceattheendofcurrentperiod | 2,765,657,898.00 | 1,076,598,244.57 | 299,982,283.08 | -42,633,856.39 | 448,963,164.55 | 4,661,034,006.33 | 8,609,637,173.98 | 75,544,529.64 | 8,685,181,703.62 |
8.StatementofChangesinOwners'EquityoftheParentCompanyAmountofthisperiod
Unit:RMB
| Items | 2020Interim | |||||||||||
| ShareCapital | Otherequityinstruments | Capitalreserve | Less:treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Undistributedprofit | Others | Totalequity | |||
| Preferredshares | Perpetualbonds | Others | ||||||||||
| I.Balanceattheendofprioryear | 2,765,657,898.00 | 2,005,303,119.53 | 363,781,151.34 | 431,209,447.07 | 1,158,673,337.70 | 5,997,062,650.96 | ||||||
| Add:Cumulativechangesofaccountingpolicies | ||||||||||||
| Errorcorrectionofpriorperiod | ||||||||||||
| Others | ||||||||||||
| II.Balanceatthebeginningofcurrentyear | 2,765,657,898.00 | 2,005,303,119.53 | 363,781,151.34 | 431,209,447.07 | 1,158,673,337.70 | 5,997,062,650.96 | ||||||
| III.Currentperiodincrease(orless:decrease) | 826,383,880.00 | -847,059,678.04 | -54,328,425.00 | -76,027,193.23 | -42,374,566.27 | |||||||
| (I)Totalcomprehensiveincome | 337,310,347.07 | 337,310,347.07 | ||||||||||
| (II)Capitalcontributedorwithdrawnbyowners | -291,200.00 | -20,384,598.04 | -54,328,425.00 | 33,652,626.96 | ||||||||
| 1.Ordinarysharescontributedbyowners | -49,264,050.00 | -49,264,050.00 | ||||||||||
| 2.Capitalcontributedbyholdersofotherequityinstruments | ||||||||||||
| 3.Amountofshare-basedpaymentincludedinequity | 30,463,131.96 | 30,463,131.96 | ||||||||||
| 4.Others | -291,200.00 | -1,583,680.00 | -5,064,375.00 | 3,189,495.00 | ||||
| (III)Profitdistribution | -413,337,540.30 | -413,337,540.30 | ||||||
| 1.Appropriationofsurplusreserve | ||||||||
| 2.Appropriationofprofittoowners | -413,337,540.30 | -413,337,540.30 | ||||||
| 3.Others | ||||||||
| (IV)Internalcarry-overwithinequity | 826,675,080.00 | -826,675,080.00 | ||||||
| 1.Transferofcapitalreservetocapital | 826,675,080.00 | -826,675,080.00 | ||||||
| 2.Transferofsurplusreservetocapital | ||||||||
| 3.Surplusreservetocoverlosses | ||||||||
| 4.Changesindefinedbenefitplancarriedovertoretainedearnings | ||||||||
| 5.Othercomprehensiveincomecarriedovertoretainedearnings | ||||||||
| 6.Others | ||||||||
| (V)Specialreserve | ||||||||
| 1.Appropriationofcurrentperiod | ||||||||
| 2.Applicationofcurrentperiod | ||||||||
| (VI)Others |
| IV.Balanceattheendofcurrentperiod | 3,592,041,778.00 | 1,158,243,441.49 | 309,452,726.34 | 431,209,447.07 | 1,082,646,144.47 | 5,954,688,084.69 |
AmountofPreviousPeriod
Unit:RMB
| Items | 2019Interim | |||||||||||
| ShareCapital | Otherequityinstruments | Capitalreserve | Less:treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Undistributedprofit | Others | Totalequity | |||
| Preferredshares | Perpetualbonds | Others | ||||||||||
| I.Balanceattheendofprioryear | 2,130,646,835.00 | 2,621,241,593.01 | 116,457,618.45 | 320,155,904.05 | 688,311,336.98 | 5,643,898,050.59 | ||||||
| Add:Cumulativechangesofaccountingpolicies | 120,088.18 | 1,080,793.66 | 1,200,881.84 | |||||||||
| Errorcorrectionofpriorperiod | ||||||||||||
| Others | ||||||||||||
| II.Balanceatthebeginningofcurrentyear | 2,130,646,835.00 | 2,621,241,593.01 | 116,457,618.45 | 320,275,992.23 | 689,392,130.64 | 5,645,098,932.43 | ||||||
| III.Currentperiodincrease(orless:decrease) | 635,011,063.00 | -625,187,433.40 | 183,524,664.63 | 23,830,227.64 | -149,870,807.39 | |||||||
| (I)Totalcomprehensiveincome | 553,006,114.14 | 553,006,114.14 | ||||||||||
| (II)Capitalcontributedorwithdrawnbyowners | 9,823,629.60 | 183,524,664.63 | -173,701,035.03 | |||||||||
| 1.Ordinarysharescontributedbyowners | ||||||||||||
| 2.Capitalcontributedbyholdersofotherequityinstruments | ||||||||||||
| 3.Amountofshare-basedpaymentincludedinequity | 9,823,629.60 | 9,823,629.60 | ||||||
| 4.Others | 183,524,664.63 | -183,524,664.63 | ||||||
| (III)Profitdistribution | -529,175,886.50 | -529,175,886.50 | ||||||
| 1.Appropriationofsurplusreserve | ||||||||
| 2.Appropriationofprofittoowners | -529,175,886.50 | -529,175,886.50 | ||||||
| 3.Others | ||||||||
| (IV)Internalcarry-overwithinequity | 635,011,063.00 | -635,011,063.00 | ||||||
| 1.Transferofcapitalreservetocapital | 635,011,063.00 | -635,011,063.00 | ||||||
| 2.Transferofsurplusreservetocapital | ||||||||
| 3.Surplusreservetocoverlosses | ||||||||
| 4.Changesindefinedbenefitplancarriedovertoretainedearnings | ||||||||
| 5.Othercomprehensiveincomecarriedovertoretainedearnings | ||||||||
| 6.Others | ||||||||
| (V)Specialreserve | ||||||||
| 1.Appropriationofcurrentperiod |
| 2.Applicationofcurrentperiod | |||||||||
| (VI)Others | |||||||||
| IV.Balanceattheendofcurrentperiod | 2,765,657,898.00 | 1,996,054,159.61 | 299,982,283.08 | 320,275,992.23 | 713,222,358.28 | 5,495,228,125.04 |
III.BasicinformationoftheCompanyTheCompanywasestablishedbytheoriginalSanhuaFujiKokiCo.,Ltd.TheCompanycurrentlyholdsabusinesslicensewithaunifiedsocialcreditcodeof913300006096907427registeredandissuedbyZhejiangAdministrationofIndustryandCommerce,withheadquarterinShaoxingCity,ZhejiangProvince.
TheCompanyoperatesinthemachinerymanufacturingindustry.BusinessscopeincludesproductionandmarketingofServiceValve,ElectronicExpansionvalve,DrainagePump,SolenoidValve,One-wayValve,CompressorParts,PressurePipelineComponents,ElectromechanicalHydraulicControlPumpandotherelectromechanicalhydrauliccontrolcomponents,undertakingservicesofinspection,testandanalysisofrefrigerationaccessories,andengaginginimportandexportbusiness.MainproductsincludecontrolcomponentsandpartsofhouseholdappliancesandautomobileA/C.
ThefinancialstatementshavebeenapprovedbytheboardofdirectorsoftheCompanyanddisclosedonAugust11th,2020.
ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltdandothersubsidiariesareincludedinthescopeofconsolidatedfinancialstatementsinthecurrentperiod.Forfurtherdetails,pleaserefertothechangeofconsolidationscopeinthenotestothefinancialreportandthedescriptionofequityinotherentities.
IV.Preparationbasisofthefinancialstatements
1.Preparationbasis
Thefinancialstatementshavebeenpreparedonthebasisofgoingconcern.
2.Goingconcern
TheCompanyhasthecapabilitytocontinueasagoingconcernbusinessforatleast12monthsasoftheendofcurrentreportingperiod,withoutanysignificantmatteraffectingitscapabilityofgoingconcern.V.SignificantAccountingPolicesandAccountingEstimatesNotestospecificaccountingpoliciesandaccountingestimates:
1.StatementofcompliancewithChinaAccountingStandardsforBusinessEnterprises
ThefinancialstatementshavebeenpreparedinaccordancewiththerequirementsofChinaAccountingStandardsforBusinessEnterprises(CASBEs),andpresenttrulyandcompletelythefinancialposition,resultsofoperationsandcashflowsoftheCompany.
2.Accountingperiod
TheaccountingperiodoftheCompanyisfrom1Januaryto31Decemberofeachcalendaryear.
3.OperatingcycleTheCompanyhasarelativelyshortoperatingcycleforitsbusiness,anassetoraliabilityisclassifiedascurrentifitisexpectedtoberealizedorduewithin12months.
4.Functionalcurrency
TheCompany’sfunctionalcurrencyisRenminbi(RMB)Yuan.
5.Theaccountingtreatmentofbusinesscombinationsinvolvingenterprisesundercommoncontrolandbusinesscombinationsnotinvolvingenterprisesundercommoncontrol
1.AccountingtreatmentofbusinesscombinationundercommoncontrolAssetsandliabilitiesarisingfrombusinesscombinationaremeasuredatcarryingamountofthecombinedpartyincludedintheconsolidatedfinancialstatementsoftheultimatecontrollingpartyatthecombinationdate.Differencebetweencarryingamountoftheequityofthecombinedpartyincludedintheconsolidatedfinancialstatementsoftheultimatecontrollingpartyandthatofthecombinationconsiderationortotalparvalueofsharesissuedisadjustedtocapitalreserve,ifthebalanceofcapitalreserveisinsufficienttooffset,anyexcessisadjustedtoretainedearnings.
2.AccountingtreatmentofbusinesscombinationnotundercommoncontrolWhencombinationcostisinexcessofthefairvalueofidentifiablenetassetsobtainedfromtheacquireeattheacquisitiondate,theexcessisrecognizedasgoodwill;otherwise,thefairvalueofidentifiableassets,liabilitiesandcontingentliabilities,andthemeasurementofthecombinationcostarereviewed,thenthedifferenceisrecognizedinprofitorloss.
6.CompilationmethodofconsolidatedfinancialstatementsTheparentCompanybringsallitscontrolledsubsidiariesintoitsconsolidationscope.TheconsolidatedfinancialstatementsarecompiledbytheparentCompanyaccordingto“CASBE33-ConsolidatedFinancialStatements”,basedonrelevantinformationandthefinancialstatementsoftheparentCompanyanditssubsidiaries.
7.Recognitioncriteriaofcashandcashequivalents
Cashaspresentedincashflowstatementreferstocashonhandanddepositondemandforpayment.Cashequivalentsrefertoshort-term,highlyliquidinvestmentsthatcanbereadilyconvertedtocashandthataresubjecttoaninsignificantriskofchangesinvalue.
8.Conversionoftransactionsandfinancialstatementsdenominatedinforeigncurrencies
1.Translationoftransactionsdenominatedinforeigncurrency
TransactionsdenominatedinforeigncurrencyaretranslatedintoRMByuanatthespotexchangerate/atthebeginningofthemonthexchangerateatthetransactiondateatinitialrecognition.Atthebalancesheetdate,monetaryitemsdenominatedinforeigncurrencyaretranslatedatthespotexchangerateatthebalancesheetdate
withdifference,exceptforthosearisingfromtheprincipalandinterestofexclusiveborrowingseligibleforcapitalization,includedinprofitorloss;non-cashitemscarriedathistoricalcostsaretranslatedatthespotexchangerateatthetransactiondate,withitsRMBamountunchanged;non-cashitemscarriedatfairvalueinforeigncurrencyaretranslatedatthespotexchangerateatthedatewhenthefairvaluewasdetermined,withdifferenceincludedinprofitorlossorothercomprehensiveincome.
2.TranslationoffinancialstatementsmeasuredinforeigncurrencyTheassetsandliabilitiesinthebalancesheetaretranslatedintoRMBatthespotrateatthebalancesheetdate;theequityitems,otherthanundistributedprofit,aretranslatedatthespotrateatthetransactiondate;therevenuesandexpensesintheincomestatementaretranslatedintoRMBattheapproximateexchangeratesimilartothesystematicallyandrationallydeterminedspotexchangerateatthetransactiondate.Thedifferencearisingfromforeigncurrencytranslationisincludedinothercomprehensiveincome.
9、Financialinstruments
Financialinstrumentsrefertocontractsthatformoneparty’sfinancialassetsintootherparties’financialliabilitiesorequityinstruments.
1.ClassificationoffinancialassetsandfinancialliabilitiesAccordingtothebusinessmodeloffinancialassetsmanagementoftheCompanyandthecontractualcashflowcharacteristicsoffinancialassets,thefinancialassetsaremainlyclassifiedattheinitialrecognitioninto:(1)financialassetsatamortizedcost;(2)financialassetsatfairvaluethroughprofitorloss.Financialliabilitiesaremainlyclassifiedintothefollowingfourcategorieswheninitiallyrecognized:(1)financialliabilitiesatamortizedcost.(2)financialliabilitiesatfairvaluethroughprofitorloss;
2.Recognitioncriteria,measurementmethodandderecognitionconditionoffinancialassetsandfinancialliabilities
(1)Recognitioncriteriaandmeasurementmethodoffinancialassetsandfinancialliabilities
WhentheCompanybecomesapartytoafinancialinstrument,itisrecognizedasafinancialassetorfinancialliability.ThefinancialassetsandfinancialliabilitiesinitiallyrecognizedbytheCompanyaremeasuredatfairvalue;forthefinancialassetsandliabilitiesatfairvaluethroughprofitorloss,thetransactionexpensesthereofaredirectlyincludedinprofitorloss;forothercategoriesoffinancialassetsandfinancialliabilities,thetransactionexpensesthereofareincludedintotheinitiallyrecognizedamount.However,atinitialrecognition,foraccountsreceivablethatdonotcontainasignificantfinancingcomponentorcontractsinwhichthefinancingcomponentswithassociatedperiodlessthanoneyeararenotconsidered,theCompanymeasuresattheirtransactionprice.
(2)Subsequentmeasurementoffinancialassets
TheCompanymeasuresitsfinancialassetsattheamortizedcostsusingeffectiveinterestmethod.Gainsorlossesonfinancialassetsthataremeasuredatamortizedcostandarenotpartofhedgingrelationshipsshallbeincludedintoprofitorlosswhenthefinancialassetsarederecognized,reclassified,throughtheamortizationprocessorinordertorecognizeimpairmentgainsorlosses.
TheCompanymeasuresitsfinancialassetsatfairvalue.Gainsorlossesarisingfromchangesinfairvalue(includinginterestsanddividends)shallbeincludedintoprofitorloss,exceptforfinancialassetsthatarepartofhedgingrelationships.
(3)Subsequentmeasurementoffinancialliabilities
TheCompanymeasuresitsfinancialliabilitiesatamortizedcostusingeffectiveinterestmethod.Gainsorlossesonfinancialliabilitiesthataremeasuredatamortizedcostandarenotpartofhedgingrelationshipsshallbeincludedintoprofitorlosswhenthefinancialliabilitiesarederecognizedandthroughtheamortizationprocess.
Financialliabilitiesdesignatedasatfairvaluethroughprofitorloss.TheCompanymeasuressuchkindofliabilitiesatfairvalue.Othergainsorlossesonthosefinancialliabilitiesshallbeincludedintoprofitorloss,exceptforfinancialliabilitiesthatarepartofhedgingrelationships.
(4)Derecognitionoffinancialassetsandfinancialliabilities
Financialassetsarederecognizedwhen:
a.thecontractualrightstothecashflowsfromthefinancialassetsexpire;or
b.thefinancialassetshavebeentransferredandthetransferqualifiesforderecognitioninaccordancewith“CASBE23–TransferofFinancialAssets”.
Onlywhentheunderlyingpresentobligationsofafinancialliabilityarerelievedtotallyorpartlymaythefinancialliabilitybederecognizedaccordingly.
3.Recognitioncriteriaandmeasurementmethodoffinancialassetstransfer
WheretheCompanyhastransferredsubstantiallyalloftherisksandrewardsrelatedtotheownershipofthefinancialasset,itderecognizesthefinancialasset,andanyrightorliabilityarisingfromsuchtransferisrecognizedindependentlyasanassetoraliability.Ifitretainedsubstantiallyalloftherisksandrewardsrelatedtotheownershipofthefinancialasset,itcontinuesrecognizingthefinancialasset.
WheretheCompanydoesnottransferorretainsubstantiallyalloftherisksandrewardsrelatedtotheownershipofafinancialasset,itisdealtwithaccordingtothecircumstancesasfollowsrespectively:(1)iftheCompanydoesnotretainitscontroloverthefinancialasset,itderecognizesthefinancialasset,andanyrightorliabilityarisingfromsuchtransferisrecognizedindependentlyasanassetoraliability;(2)iftheCompanyretainsitscontroloverthefinancialasset,accordingtotheextentofitscontinuinginvolvementinthetransferredfinancialasset,itrecognizestherelatedfinancialassetandrecognizestherelevantliabilityaccordingly.
Ifthetransferofanentirefinancialassetsatisfiestheconditionsforderecognition,thedifferencebetweentheamountsofthefollowingtwoitemsareincludedinprofitorloss:(1)thecarryingamountofthetransferredfinancialassetasofthedateofderecognition;(2)thesumofconsiderationreceivedfromthetransferofthefinancialasset.
4.Fairvaluedeterminationmethodoffinancialassetsandliabilities
TheCompanyusevaluationtechniquesthatareappropriateinthecircumstancesandforwhichsufficientdataareavailabletomeasurefairvalue.
5.Impairmentoffinancialinstruments
(1)Measurementandaccountingtreatment
TheCompany,onthebasisofexpectedcreditloss,recognizeslossallowancesoffinancialassetsatamortizedcost.TheCompanyconsidersreasonableandevidence-basedinformationaboutpastevents,currentconditions,andforecastsoffutureeconomicconditions,andusestheriskofdefaultastheweighttocalculatethedifferencebetweenthecontractualcashflowreceivableandtheexpectedcashflowProbability-weightedamountofthepresentvaluetoconfirmexpectedcreditlosses.TheCompanyseparatelymeasurestheexpectedcreditlossesoffinancialinstrumentsatdifferentstagesonthebalancesheetdate.Thefirststage,ifthecreditriskofafinancialinstrumenthasnotincreasedsignificantlysincetheinitialrecognition,andthelossprovisionismeasuredaccordingtotheexpectedcreditlossinthenext12months.Thesecondstage,ifthecreditriskofafinancialinstrumenthasincreasedsignificantlysinceitsinitialrecognitionbutnocreditimpairmenthasoccurred,andthelossprovisionismeasuredbasedontheexpectedcreditlossfortheentireduration.Thethirdstage,ifafinancialinstrumenthasbeencredit-impairedsinceitsinitialrecognition,andthelossprovisionismeasuredbasedontheexpectedcreditlossfortheentireduration.
Consideringreasonableandsupportableforward-lookinginformation,theCompanycomparestheriskofadefaultoccurringonthefinancialinstrumentasatthebalancesheetdatewiththeriskofadefaultoccurringonthe
financialinstrumentasatthedateofinitialrecognition,soastoassesswhetherthecreditriskonthefinancialinstrumenthasincreasedsignificantlysinceinitialrecognition.
TheCompanymayassumethatthecreditriskonafinancialinstrumenthasnotincreasedsignificantlysinceinitialrecognitionifthefinancialinstrumentisdeterminedtohavelowcreditriskonthebalancesheetdate.Regardingtheaccountsreceivable(includingbillsreceivableandaccountsreceivable)stipulatedinthe"CASBE14–Revenue",regardlessofwhetheritcontainssignificantfinancingcomponents(includingfinancingincontractsnotexceedingoneyear)Component),theCompanymeasuresthelossprovisionbasedontheexpectedcreditlossfortheentireduration.
Forfinancialinstrumentsinthefirstandsecondstagesandwithlowercreditrisk,theinterestincomeiscalculatedbasedonthebookbalanceandtheeffectiveinterestratewithoutdeductingtheprovisionforimpairment.Forfinancialinstrumentsinthethirdstage,theinterestincomeiscalculatedbasedontheamortizedcostandtheactualinterestrateafterthebookbalanceminustheprovisionforimpairment.
Ifthe"creditrisk-relatedinformation"ofasingleinstrumenthasbeenknownorisrelativelyeasilyavailable,theCompanyassessesexpectedcreditriskandmeasuresexpectedcreditlossesonthebasisofasinglefinancialinstrument.Suchfinancialinstrumentsusuallyincludeaccountsreceivablefromrelatedparties,depositdepositsreceivablefromgovernmentunitsorpublicutilityunits,andfinancialinstrumentswithsolidevidencethatcreditimpairmenthasoccurred.
Ifsufficientevidenceof“creditrisk-relatedinformation”cannotbeobtainedatareasonablecostatthelevelofindividualinstruments,theCompanyassessesexpectedcreditriskandmeasuresexpectedcreditlossesbasedonacombinationoffinancialinstruments.TheCompanycombinesfinancialinstrumentsbasedonthesameorsimilarcreditriskcharacteristics,includingbutnotlimitedtoagingcombinations.
Iftheavailabilityof"creditrisk-relatedinformation"ofasingletoolchangesfrombeingdifficulttoobtaintobeingavailable,theCompanywillchangefromacombination-basedassessmentmeasurementtoasingletool-basedassessmentmeasurement.
TheCompanyremeasuresexpectedcreditlossesoneachbalancesheetdate,andtheresultingincreaseinlossreservesortheamountofreversalisincludedinthecurrentprofitsandlossesasimpairmentlossesorgains.Forfinancialassetsmeasuredatamortizedcost,thelossallowanceshallbedeductedfromthebookvalueofthefinancialassetslistedinthebalancesheet.
(2)Financialinstrumentswithexpectedcreditriskassessedandexpectedcreditlossesmeasuredonacollectivebasis
Forotherreceivablesthataredifficulttobeevaluatedandmeasuredbyasingletool,theCompanymainlycombinesagingasacreditriskfeature,referstohistoricalcreditlossexperience,combinescurrentconditionsandforecastsoffutureeconomicconditions,andadoptsdefaultriskexposureandTheexpectedcreditlossrateinthenext12monthsortheentiredurationisusedtocalculatetheexpectedcreditloss.
(3)Accountsreceivableandcontractassetswithexpectedcreditlossesmeasuredonacollectivebasis
Regardingtheaccountsreceivablespecifiedinthe"CASBE14–Revenue",regardlessofwhetheritcontainssignificantfinancingcomponents(includingfinancingcomponentsincontractsnotexceedingoneyear),refertohistoricalcreditlossexperienceandcombinecurrentThesituationandtheforecastoffutureeconomicconditions,throughthedefaultriskexposureandtheentiredurationoftheexpectedcreditlossrate,calculatetheexpectedcreditloss.Foraccountsreceivablethataredifficulttobeevaluatedandmeasuredbyasingletool,theCompanydividestheaccountsreceivableintoseveralcombinationsbasedoncreditriskcharacteristics,andcalculatestheexpectedcreditlossonthebasisofthecombination.Thebasisfordeterminingthecombinationandthespecificaccrualmethodareshownbelowtable:
| PortfolioName | Basisfordeterminationof | Methodformeasuringexpectedcreditloss |
| portfolio | ||
| Notesreceivable—Bankacceptancebill | Acceptedbyfinancialinstitutions | Noprovision |
| Notesreceivable—Commercialacceptancebill | Notacceptedbyfinancialinstitutions | 5% |
| Accountsreceivable—Agesportfolios | Ages | receivablewithprovisionmadeonacollectivebasisbasedonthecomparisontableofageandexpectedcreditlossrate |
Accountsreceivable–comparisontableofagesandlifetimeexpectedcreditlossrate
| Ages | Expectedcreditlossrate |
| Within1year | 5% |
| 1-2years | 10% |
| 2-3years | 30% |
| Over3years | 50% |
6.OffsettingfinancialassetsandfinancialliabilitiesFinancialassetsandfinancialliabilitiesarepresentedseparatelyinthebalancesheetandarenotoffset.However,theCompanyoffsetsafinancialassetandafinancialliabilityandpresentsthenetamountinthebalancesheetwhenthosewhomeetthecorrespondingconditionsatthesametime.
10.NotesReceivable
Reference9.Financialinstruments.
11.AccountsReceivable
Reference9.Financialinstruments.
12.OtherreceivablesRecognizingmethodsandaccountingmethodsoftheexpectedcreditlossofotherreceivables
Reference9.Financialinstruments.
13.Inventories
1.CategoryofinventoryInventoriesincludematerials,workinprocessintheprocessofproductionandfinishedgoodsetc.
2.DeterminationofcostIfpricedatactualcost,theweightedaveragemethodisadopted.Ifpricedaccordingtotheplannedcost,thecostdifferenceshallbecarriedforwardatthesametimeattheendofthemonth.
3.BasisforthedeterminationofnetrealizablevalueandprovisionmethodfordeclineinvalueofinventoriesAtthebalancesheetdate,inventoriesaremeasuredatthelowerofcostornetrealizablevalue;provisionsforinventorywrite-downaremadeontheexcessofitscostoverthenetrealizablevalue.
4.InventorysystemTheperpetualinventorysystemisadopted.
5.Revolvingmaterialsareamortizedwithone-offmethod.
14.Long-termequityinvestments
1.JudgmentofjointcontrolandsignificantinfluenceJointcontrolisthecontractuallyagreedsharingofcontrolofanarrangement,whichexistsonlywhendecisionsabouttherelevantactivitiesrequiretheunanimousconsentofthepartiessharingcontrol.Significantinfluenceisthepowertoparticipateinthefinancialandoperatingpolicydecisionsoftheinvesteebutisnotcontrolorjointcontrolofthesepolicies.
2.Determinationofinvestmentcost
(1)Forbusinesscombinationundercommoncontrol,iftheconsiderationofthecombiningpartyisthatitmakespaymentincash,transfersnon-cashassets,assumesitsliabilitiesorissuesequitysecurities,onthedateofcombination,itregardstheshareofthecarryingamountoftheequityofthecombinedpartyincludedtheconsolidatedfinancialstatementsoftheultimatecontrollingpartyastheinitialcostoftheinvestment.Thedifferencebetweentheinitialcostofthelong-termequityinvestmentsandthecarryingamountofthecombinationconsiderationpaidortheparvalueofsharesissuedoffsetscapitalreserve;ifthebalanceofcapitalreserveisinsufficienttooffset,anyexcessisadjustedtoretainedearnings.
(2)Forbusinesscombinationnotundercommoncontrol,investmentcostisinitiallyrecognizedattheacquisition-datefairvalueofconsiderationspaid.
(3)Long-termequityinvestmentsobtainedthroughwaysotherthanbusinesscombination:theinitialcostofalong-termequityinvestmentobtainedbymakingpaymentincashisthepurchasecostwhichisactuallypaid.
3.Subsequentmeasurementandrecognitionmethodofgainorloss
Forlong-termequityinvestmentswithcontrolrelationship,itisaccountedforwithcostmethod;forlong-termequityinvestmentswithjointcontrolorsignificantinfluencerelationship,itisaccountedforwithequitymethod.
15.InvestmentpropertyInvestmentpropertymeasurementmodelMeasurementbycostmethodDepreciationoramortizationmethod
1.Investmentpropertyincludeslanduserightofrent-outpropertyandofpropertyheldforcapitalappreciationandbuildingsthathavebeenleasedout.
2.Theinitialmeasurementofinvestmentpropertyisbasedonitscost,andsubsequentmeasurementismadeusingthecostmodel,thedepreciationoramortizationmethodisthesameasthatoffixedassetsandintangibleassets.
16.Fixedassets
1.Recognitionprinciplesoffixedassets
Fixedassetsaretangibleassetsheldforuseintheproductionorsupplyofgoodsorservices,forrentaltoothers,orforadministrativepurposes,andexpectedtobeusedduringmorethanoneaccountingyear.Fixedassetsarerecognizedif,andonlyif,itisprobablethatfutureeconomicbenefitsassociatedwiththeassetswillflowtotheCompanyandthecostoftheassetscanbemeasuredreliably.
2.Depreciationmethodofdifferentcategoriesoffixedassets
| Categories | Depreciationmethod | Usefullife(years) | Estimatedresidualvalueproportion(%) | Annualdepreciationrate(%) |
| Buildingsandstructures | Straight-linemethod | 20-30 | 0%、5%、10% | 3%～5% |
| Machineryandequipment | Straight-linemethod | 5-12 | 0%、5%、10% | 7.50%～20% |
| Measurementanalysisequipment | Straight-linemethod | 5-10 | 5% | 9.50%～19% |
| Vehicle | Straight-linemethod | 5-8 | 0%、5%、10% | 11.25%～20% |
| Officeequipmentandothers | Straight-linemethod | 5-8 | 0%、5%、10% | 11.25%～20% |
17.Constructioninprogress
1.Constructioninprogressisrecognizedif,andonlyif,itisprobablethatfutureeconomicbenefitsassociatedwiththeitemwillflowtotheCompany,andthecostoftheitemcanbemeasuredreliably.Constructioninprogressismeasuredattheactualcostincurredtoreachitsdesignedusableconditions.
2.Constructioninprogressistransferredintofixedassetsatitsactualcostwhenitreachesitsdesignedusableconditions.Whentheconstructioncompletioncostreachesfinalestimatingandauditingoftheconstructioninprogresswasnotfinishedwhileitreachingthedesignedusableconditions,itistransferredtofixedassetsusingestimatedvaluefirst,andthenadjustedaccordinglywhentheactualcostissettled,buttheaccumulateddepreciationisnottobeadjustedretrospectively.
18.Borrowingcosts
WheretheborrowingcostsincurredtotheCompanycanbedirectlyattributabletotheacquisitionandconstructionorproductionofassetseligibleforcapitalization,itiscapitalizedandincludedinthecostsofrelevantassets;otherborrowingcostsarerecognizedasexpensesonthebasisoftheactualamountincurred,andareincludedinprofitorloss.
19.Intangibleassets
(1).Valuationmethod,servicelife,impairmenttestIntangibleassetincludeslanduseright,patentrightandnon-patentedtechnologyetc.Theinitialmeasurementofintangibleassetisbaseditscost.
Forintangibleassetswithfiniteusefullives,itsamortizationamountisamortizedwithinitsusefullifesystematicallyandreasonably,ifitisunabletodeterminetheexpectedrealizationpatternreliably,intangibleassetsareamortizedbythestraight-linemethodwithdetailsasfollows:
| Categories | Amortizationmethod | Amortizationperiod(years) |
| Landuseright | Straight-linemethod | Contractualservicelife |
| AWECOintellectualpropertyandbusinessresources | Straight-linemethod | 4-7 |
| RANCOintellectualpropertyandbusinessresources | Straight-linemethod | 5-8 |
| IntellectualPropertyofAirConditioningController | Straight-linemethod | 5-10 |
| PatentedtechnologyofelectronicexpansionvalvecontrollerofDotech | Straight-linemethod | 10 |
| Software | Straight-linemethod | 1-4 |
Intangibleassetswithindefiniteusefullifearenotamortized,buttheirusefullifeisreviewedannually.Theindefinitelandownershipheldbyoverseassubsidiariesabroadisnotamortizedduetouncertainservicelife.
(2).AccountingpolicyforinternalR&Dexpenditure
Expendituresontheresearchphaseofaninternalprojectarerecognizedasprofitorlosswhenitisincurred.AnintangibleassetarisingfromthedevelopmentphaseofaninternalprojectisrecognizediftheCompanycanmeetthecorrespondingconditions.
20.Impairmentoflong-termassets
Long-termassets,suchaslong-termequityinvestment,investmentproperties,fixedassets,constructioninprogress,intangibleassetsthatmeasuredatcostaretestedforimpairmentifthereisanyindicationthatanassetmaybeimpairedatthebalancesheetdate.Impairmenttesttogoodwillandtheintangibleassetswhoseusinglifeisnotcertainshallbecarriedoutatleastattheendofeachyear.Goodwillshallbetestedforimpairmentincombinationwithitsrelatedassetgrouporcombinationofassetgroups.
Iftherecoverableamountoftheaforementionedlong-termassetsislowerthanitsbookvalue,theassetimpairmentprovisionshallberecognizedaccordingtothedifferenceandincludedinthecurrentprofitandloss.
21.Long-termprepayments
Thelong-termdeferredexpenseshavebeenaccountedforandtheamortizationperiodismorethan1year(excluding1year).Long-termprepaymentsarerecordedwithactualcost,andevenlyamortizedwithinitsbeneficiaryperiodorstipulatedperiod.Ifitemsoflong-termprepaymentsfailtobebeneficialtothefollowingaccountingperiods,residualvaluesofsuchitemsareincludedinprofitorloss.
22.Employeebenefits
(1).Short-termemployeebenefits
TheCompanyrecognizes,intheaccountingperiodinwhichanemployeeprovidesservice,short-termemployeebenefitsactuallyincurredasliabilities,withacorrespondingchargetoprofitorlossorthecostofarelevantasset.
(2).Post-employmentbenefits
TheCompanyclassifiespost-employmentbenefitplansaseitherdefinedcontributionplansordefinedbenefitplans.TheCompanyrecognizesintheaccountingperiodinwhichanemployeeprovidesservicethecontributionpayabletoadefinedcontributionplanasaliability,withacorrespondingchargetoprofitorlossorthecostofarelevantasset.
(3).Terminationbenefits
Terminationbenefitsprovidedtoemployeesarerecognizedasanemployeebenefitliabilityforterminationbenefits,withacorrespondingchargetoprofitorlossattheearlierofthefollowingdates:a.whentheCompanycannotunilaterallywithdrawtheofferofterminationbenefitsbecauseofanemploymentterminationplanoracurtailmentproposal;orb.whentheCompanyrecognizescostorexpensesrelatedtoarestructuringthatinvolves
thepaymentofterminationbenefits.
23.Provisions
1.Provisionsarerecognizedwhenfulfillingthepresentobligationsarisingfromcontingenciessuchasprovidingguaranteeforotherparties,litigation,productsqualityguarantee,onerouscontract,etc.,maycausetheoutflowoftheeconomicbenefitandsuchobligationscanbereliablymeasured.
2.Theinitialmeasurementofprovisionsisbasedonthebestestimatedexpendituresrequiredinfulfillingthepresentobligations,anditscarryingamountisreviewedatthebalancesheetdate.
24.Share-basedpayment
1.Typesofshare-basedpayment
Share-basedpaymentconsistsofequity-settledshare-basedpaymentandcash-settledshare-basedpayment.
2.Accountingtreatmentforsettlements,modificationsandcancellationsofshare-basedpaymenttermsandconditions
(1)Equity-settledshare-basedpayment
Forequity-settledshare-basedpaymenttransactionwithemployees,iftheequityinstrumentsgrantedvestimmediately,thefairvalueofthoseequityinstrumentsismeasuredatgrantdateandrecognizedastransactioncostorexpense,withacorrespondingadjustmentincapitalreserve;iftheequityinstrumentsgranteddonotvestuntilthecounterpartycompletesaspecifiedperiodofservice,atthebalancesheetdatewithinthevestingperiod,thefairvalueofthoseequityinstrumentsmeasuredatgrantdatebasedonthebestestimateofthenumberofequityinstrumentsexpectedtovestisrecognizedastransactioncostorexpense,withacorrespondingadjustmentincapitalreserve.
Forequity-settledshare-basedpaymenttransactionwithpartiesotherthanemployees,ifthefairvalueofthegoodsorservicesreceivedcanbemeasuredreliably,thefairvalueismeasuredatthedatetheCompanyobtainsthegoodsorthecounterpartyrendersservice;ifthefairvalueofthegoodsorservicesreceivedcannotbemeasuredreliably,thefairvalueoftheequityinstrumentsgrantedmeasuredatthedatetheCompanyobtainsthegoodsorthecounterpartyrendersserviceisreferredto,andrecognizedastransactioncostorexpense,withacorrespondingincreaseinequity.
(2)Cash-settledshare-basedpayment
Forcash-settledshare-basedpaymenttransactionswithemployees,ifshareappreciationrightsvestimmediately,thefairvalueoftheliabilityincurredastheacquisitionofgoodsorservicesismeasuredatgrantdateandrecognizedastransactioncostorexpense,withacorrespondingincreaseinliabilities;ifshareappreciationrightsdonotvestuntiltheemployeeshavecompletedaspecifiedperiodofservice,theliabilityismeasured,ateachbalancesheetdateuntilsettled,atthefairvalueoftheshareappreciationrightsmeasuredatgrantdatebasedonthebestestimateofthenumberofshareappreciationrightexpectedtovest.
(3)Modificationsandcancellationsofshare-basedpaymenttermsandconditions
Ifthemodificationincreasesthefairvalueoftheequityinstrumentsgranted,measuredimmediatelybeforeandafterthemodification,theCompanyincludestheincrementalfairvaluegrantedinthemeasurementoftheamountrecognizedforservicesreceivedasconsiderationfortheequityinstrumentsgranted;similarly,ifthemodificationincreasesthenumberofequityinstrumentsgranted,theCompanyincludesthefairvalueoftheadditionalequityinstrumentsgranted,measuredatthedateofthemodification,inthemeasurementoftheamountrecognizedforservicesreceivedasconsiderationfortheequityinstrumentsgranted;iftheCompanymodifiesthe
vestingconditionsinamannerthatisbeneficialtotheemployee,theCompanytakesthemodifiedvestingconditionsintoaccount.
Ifthemodificationreducesthefairvalueoftheequityinstrumentsgranted,measuredimmediatelybeforeandafterthemodification,theCompanydoesnottakeintoaccountthatdecreaseinfairvalueandcontinuetomeasuretheamountrecognizedforservicesreceivedasconsiderationfortheequityinstrumentsbasedonthegrantdatefairvalueoftheequityinstrumentsgranted;ifthemodificationreducesthenumberofequityinstrumentsgrantedtoanemployee,thatreductionisaccountedforasacancellationofthatportionofthegrant;iftheCompanymodifiesthevestingconditionsinamannerthatisnotbeneficialtotheemployee,theCompanydoesnottakethemodifiedvestingconditionsintoaccount.
IftheCompanycancelsorsettlesagrantofequityinstrumentsduringthevestingperiod(otherthanagrantcancelledbyforfeiturewhenthevestingconditionsarenotsatisfied),theCompanyaccountsforthecancellationorsettlementasanaccelerationofvesting,andthereforerecognizesimmediatelytheamountthatotherwisewouldhavebeenrecognizedforservicesreceivedovertheremainderofthevestingperiod.
25.RevenueAccountingpoliciesusedinrevenuerecognitionandmeasurement.
1.Revenuerecognitionprinciples
Atcontractinception,theCompanyshallassessthecontractsandshallidentifyeachperformanceobligationinthecontracts,anddeterminewhethertheperformanceobligationshouldbesatisfiedovertimeoratapointintime.
TheCompanysatisfiesaperformanceobligationovertimeifoneofthefollowingcriteriaismet,otherwise,theperformanceobligationissatisfiedatapointintime:(1)thecustomersimultaneouslyreceivesandconsumesthebenefitsprovidedbytheCompany’sperformanceastheCompanyperforms;(2)thecustomercancontrolgoodsorservicesastheyarecreatedbytheCompany’sperformance;(3)theCompany’sperformancedoesnotcreategoodsorserviceswithanalternativeusesandtheCompanyhasanenforceablerighttopaymentforperformancecompletedtodate.
Foreachperformanceobligationsatisfiedovertime,theCompanyshallrecognizerevenueovertimebymeasuringtheprogresstowardscompletesatisfactionofthatperformanceobligation.Inthecircumstancethattheprogresscannotbemeasuredreasonably,butthecostsincurredinsatisfyingtheperformanceobligationareexpectedtoberecovered,theCompanyshallrecognizerevenueonlytotheextentofthecostsincurreduntilitcanreasonablymeasuretheprogress.Todeterminewhetherthecustomerhasobtainedcontrolofgoods,theCompanyshallconsiderthefollowingindicators:(1)theCompanyhasapresentrighttopaymentforthegoods,i.e.,thecustomerispresentlyobligedtopayforthegoods;(2)theCompanyhastransferredthelegaltitleofthegoodstothecustomer,i.e.,thecustomerhaslegaltitletothegoods;(3)theCompanyhastransferredphysicalpossessionofthegoods,i.e.,thecustomerhasphysicallypossessedthegoods;(4)theCompanyhastransferredsignificantrisksandrewardsofownershipofthegoods,i.e.,thecustomerhasobtainedsignificantrisksandrewardsofownershipofthegoods;(5)thecustomerhasacceptedthegoods;(6)otherindicatorsshowingthecustomerhasobtainedcontroloverthegoods.
2.Measurementprinciple
(1)Revenueismeasuredattheamountofthetransactionpricethatisallocatedtoeachperformanceobligation.ThetransactionpriceistheamountofconsiderationtowhichtheCompanyexpectstobeentitledinexchangefortransferringpromisedgoodsorservicestoacustomer,excludingamountscollectedonbehalfofthirdpartiesandthoseexpectedtoberefundedtothecustomer.
(2)Iftheconsiderationpromisedinacontractincludesavariableamount,theCompanyshallestimatetheamountofconsiderationatexpectedvalueorthemostlikelyamount.TheCompanyshallincludeinthetransactionpricetheamountofvariableconsiderationonlytotheextentthatitishighprobablethatasignificantreversalintheamountofcumulativerevenuerecognizedwillnotoccurwhentheuncertaintyassociatedwiththevariableconsiderationissubsequentlyresolved.
(3)Inthecircumstancethatthecontractcontainsasignificantfinancingcomponent,theCompanyshalldeterminethetransactionpricebasedonthepricethatacustomerwouldhavepaidforifthecustomerhadpaidcashforobtainingcontroloverthosegoodsorservices.Thedifferencebetweenthetransactionpriceandtheamountofpromisedconsiderationisamortizedundereffectiveinterestmethodovercontractualperiod.TheeffectsofasignificantfinancingcomponentshallnotbeconsiderediftheCompanyexpects,atthecontractinception,thattheperiodbetweenwhenthecustomerobtainscontrolovergoodsorservicesandwhenthecustomerpaysconsiderationwillbeoneyearorless.
(4)Forcontractscontainingtwoormoreperformanceobligations,theCompanyshalldeterminethestand-alonesellingpriceatcontractinceptionofthedistinctgoodunderlyingeachperformanceobligationandallocatethetransactionpricetoeachperformanceobligationonarelativestand-alonesellingpricebasis.
3.Revenuerecognitionmethod
(1)TheCompanymainlysellscontrolcomponentsandpartsforhouseholdappliancesandautomobileairconditioners.Duetocontinuousbatchsupply,productsalesrevenueisconfirmedafterdeliveryinspectionandreceiptofpaymentreceipts.Exportsalesrevenueisrecognizedaftercustomsdeclarationandexportandobtainingthebilloflading.
(2)Recognitionofincomefromthesaleofscrapmetalafterweighingandtakingdeliveryandobtainingreceipts。Differencesinrevenuerecognitionaccountingpoliciescausedbydifferentbusinessmodelsofsimilarbusinesses
26.Governmentgrants
1.Governmentgrantsshallberecognizedif,andonlyif,thefollowingconditionsareallmet:(1)theCompanywillcomplywiththeconditionsattachingtothegrants;(2)thegrantswillbereceived.Monetarygovernmentgrantsaremeasuredattheamountreceivedorreceivable.Non-monetarygovernmentgrantsaremeasuredatfairvalue,andcanbemeasuredatnominalamountinthecircumstancethatfairvaluecan’tbeassessed.
2.Governmentgrantsrelatedtoassets
GovernmentgrantsrelatedtoassetsaregovernmentgrantswithwhichtheCompanyconstructorotherwiseacquirelong-termassetsunderrequirementsofgovernment.Inthecircumstancesthatthereisnospecificgovernmentrequirement,theCompanyshalldeterminebasedontheprimaryconditiontoacquirethegrantsandgovernmentgrantsrelatedtoassetsaregovernmentgrantswhoseprimaryconditionistoconstructorotherwiseacquirelong-termassets.Theyoffsetcarryingamountofrelevantassetsorrecognizedasdeferredincome.Ifrecognizedasdeferredincome,theyareincludedinprofitorlossonasystematicbasisovertheusefullivesoftherelevantassets.Thosemeasuredatnotionalamountisdirectlyincludedintoprofitorloss.Forassetssold,transferred,disposedordamagedwithintheusefullives,balanceofunamortizeddeferredincomeistransferredintoprofitorlossoftheyearinwhichthedisposaloccurred.
3.Governmentgrantsrelatedtoincome
Governmentgrantsrelatedtoincomearegovernmentgrantsotherthanthoserelatedtoassets.Forgovernmentgrantsthatcontainbothpartsrelatedtoassetsandpartsrelatedtoincome,inwhichthosetwoparts
areblurredandthuscollectivelyclassifiedasgovernmentgrantsrelatedtoincome.Forgovernmentgrantsrelatedtoincomeusedforcompensatingtherelatedfuturecost,expensesorlossesoftheCompanyarerecognizedasdeferredincomeandareincludedinprofitorlossoroffsetrelevantcostduringtheperiodinwhichtherelevantcost,expensesorlossesarerecognized;forgovernmentgrantsrelatedtoincomeusedforcompensatingtherelatedcost,expensesorlossesincurredtotheCompany,theyaredirectlyincludedinprofitorlossordirectlyoffsetrelevantcost.
4.Governmentgrantsrelatedtotheordinarycourseofbusinessshallbeincludedintootherincomeoroffsetrelevantcostbasedonbusinessnature,whilethosenotrelatedtotheordinarycourseofbusinessshallbeincludedintonon-operatingrevenueorexpenditures.
27.Deferredtaxassets/Deferredtaxliabilities
1.Deferredtaxassetsordeferredtaxliabilitiesarecalculatedandrecognizedbasedonthedifferencebetweenthecarryingamountandtaxbaseofassetsandliabilities(andthedifferenceofthecarryingamountandtaxbaseofitemsnotrecognizedasassetsandliabilitiesbutwiththeirtaxbasebeingabletobedeterminedaccordingtotaxlaws)andinaccordancewiththetaxrateapplicabletotheperiodduringwhichtheassetsareexpectedtoberecoveredortheliabilitiesareexpectedtobesettled.
2.Adeferredtaxassetisrecognizedtotheextentoftheamountofthetaxableincome,whichitismostlikelytoobtainandwhichcanbedeductedfromthedeductibletemporarydifference.Atthebalancesheetdate,ifthereisanyexactevidencethatitisprobablethatfuturetaxableprofitswillbeavailableagainstwhichdeductibletemporarydifferencescanbeutilized,thedeferredtaxassetsunrecognizedinpriorperiodsarerecognized.
3.Atthebalancesheetdate,thecarryingamountofdeferredtaxassetsisreviewed.Thecarryingamountofadeferredtaxassetisreducedtotheextentthatitisnolongerprobablethatsufficienttaxableprofitswillbeavailabletoallowthebenefitofthedeferredtaxassettobeutilized.Suchreductionissubsequentlyreversedtotheextentthatitbecomesprobablethatsufficienttaxableincomewillbeavailable.
4.Theincometaxanddeferredtaxfortheperiodaretreatedasincometaxexpensesorincomethroughprofitorloss,excludingthosearisingfromthefollowingcircumstances:(a)businesscombination;and(b)thetransactionsoritemsdirectlyrecognizedinequity.
28.Leases
(1).Accountingofoperatinglease
WhentheCompanyisthelessee,duringeachperiodoftheleaseterm,therentisincludedintherelevantassetcostorrecognizedasthecurrentprofitandlossaccordingtothestraight-linemethod,andtheinitialdirectexpensesincurredaredirectlyincludedinthecurrentprofitandloss.Contingentrentsareincludedinthecurrentprofitsandlosseswhentheyactuallyoccur.
WhentheCompanyisthelessor,duringeachperiodoftheleaseterm,therentisrecognizedasthecurrentprofitandlossaccordingtothestraight-linemethod,andtheinitialdirectexpensesincurredaredirectlyincludedinthecurrentprofitandlossexceptforthelargeramountwhichiscapitalizedandincludedintheprofitandlossininstallments.Contingentrentsareincludedinthecurrentprofitsandlosseswhentheyactuallyoccur.
(2).Accountingoffinancelease
WhentheCompanyisthelessee,onthestartdateoftheleaseterm,theCompanyusesthelowerofthefairvalueoftheleasedassetontheleasestartdateandthepresentvalueoftheminimumleasepaymentastheentryvalueoftheleasedasset,andtheminimumleasepaymentasthelong-termpayableFortherecordedvalueofthe
loan,thedifferenceistheunrecognizedfinancingcost,andtheinitialdirectcostincurredisincludedinthevalueoftheleasedasset.Ineachperiodoftheleaseperiod,theactualinterestratemethodisusedtocalculateandconfirmthecurrentfinancingcosts.
WhentheCompanyisthelessor,atthebeginningoftheleaseperiod,theCompanyusesthesumoftheminimumleasepaymentontheleasestartdateandtheinitialdirectcostastheentryvalueofthefinancialleasereceivable,andrecordstheunsecuredresidualvalueatthesametime;collectstheminimumleasepaymentThedifferencebetweenthesumofinitialdirectcostsandthesumofunguaranteedresidualvalueandthesumofitspresentvalueisrecognizedasunrealizedfinancingincome.Ineachperiodoftheleaseperiod,theactualinterestratemethodisusedtocalculateandconfirmthecurrentfinancingincome.
29.Othersignificantaccountingpoliciesandestimates
Segmentreporting
ReportablesegmentsareidentifiedbasedonoperatingsegmentswhicharedeterminedbasedonthestructureoftheCompany’sinternalorganization,managementrequirementsandinternalreportingsystem.AnoperatingsegmentisacomponentoftheCompanythat:
1.engagesinbusinessactivitiesfromwhichitmayearnrevenuesandincurexpenses;
2.whosefinancialperformanceareregularlyreviewedbyManagementtomakedecisionsaboutresourcetobeallocatedtothesegmentandassessitsperformance;and
3.forwhichfinancialinformationregardingfinancialposition,financialperformanceandcashflowsisavailable.30．Changesinsignificantaccountingpoliciesandaccountingestimates
(1)Changesinsignificantaccountingpolicies
√Applicable□Notapplicable
TheCompanyhasadopted“CASBE14-Revenue”revisedbyMinistryofFinanceofPRC(the“revisedleasestandard”)sinceJanuary1,2020.
(2)Adjustmentstothefirstimplementationofthefinancialstatementsatthebeginningoftheyearatthefirstimplementationofnewrevenuestandards.
√Applicable□NotapplicableWhetheritisnecessarytoadjustthebalancesheetaccountsatthebeginningoftheyear
□Yes√NoExplainwhythereisnoneedtoadjustthebalancesheetaccountsatthebeginningoftheyearTheCompanyhasadopted“CASBE14-Revenue”revisedbyMinistryofFinanceofPRC(the“revisedleasestandard”)sinceJanuary1,2020.Noimpactonthedataatthebeginningoftheyear.Ⅵ.Taxes
1.Majorcategoriesoftaxesandtaxrates
| TaxType | Taxationbasis | Taxrate |
| VAT | Thetaxablerevenuefromsalesofgoodsorrenderingofservices | 13% |
| Urbanmaintenanceandconstructiontax | ThesumofturnovertaxpayableandVATexemption | 5%，7% |
| Enterpriseincometax | Taxableincome | 15%，25% |
Differententerpriseincometaxratesapplicabletodifferenttaxpayers:
| Taxpayers | Incometaxrate |
| ZhejiangSanhuaIntelligentControlsCo.,Ltd | 15% |
| ZhejiangSanhuaClimate&ApplianceControlsgroupCo.,Ltd | 15% |
| WuhuSanhuaAuto-controlComponentsCo.,Ltd | 15% |
| ZhejiangSanhuaAutomotiveComponentsCo.,Ltd. | 15% |
| Sanhua(hangzhou)MicroChannelHeatExchangerCo.,Ltd | 15% |
| HangzhouLeaderwayElectronicsCo.Ltd | 15% |
| ZhuhaiHengtuElectronicsCo.,Ltd. | 15% |
| WuhuSanhuaRefrigerationFittingsCo.Ltd | 15% |
| Sanhua(Jiangxi)Self-controlComponentsCo.,Ltd. | 15% |
| WuhanSanhuaRefrigerationPartsCo.,Ltd | 15% |
| SanhuaAWECOApplianceSystems(Wuhu)Co.,Ltd. | 15% |
| Domestictaxpayersotherthantheabove-mentioned | 25% |
2.Preferentialtaxrate
1．EnterpriseincometaxBeingcategorizedashigh-techenterprises,theincometaxoftheCompanyandseveralsubsidiariesfor2020aretemporarilycalculatedatapreferentialtaxrateof15%,andthefinalincometaxsettlementshallprevail.2．Value-addedtaxSeveralsubsidiariesarewelfareenterprisesandcanenjoythepreferentialpolicyof"VATrefund".Theexceedingportionoverthe3%VATpayableofthecertifiedsoftwareproductsenjoytheimmediaterefundpolicy.ExportgoodsenjoytheVATexemptionandrefundpolicy.Ⅶ.NotestoItemsintheConsolidatedFinancialStatements
1.Cashandbankbalances
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Cashonhand | 572,367.71 | 417,814.58 |
| Cashinbank | 3,263,106,847.66 | 2,553,365,200.43 |
| Othercashandbankbalances | 148,361,603.85 | 109,936,755.14 |
| Total | 3,412,040,819.22 | 2,663,719,770.15 |
| Including:depositoverseas | 346,614,002.37 | 488,694,193.85 |
| Thetotalamountofthecashandbankbalancesthatarelimitedbymortgage,pledgeorfreeze | 148,361,603.85 | 109,936,755.14 |
Otherremarks:
2.Held-for-tradingfinancialassets
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Financialassetsatfairvaluethroughprofitorloss | 1,221,535,291.01 | 993,634,433.31 |
| Including: | ||
| Bankfinancialproducts | 1,221,535,291.01 | 993,634,433.31 |
| Including: | ||
| Total | 1,221,535,291.01 | 993,634,433.31 |
Otherremarks:
3.DerivativeFinancialAssets
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Foreignexchangecontract | 229,194.90 | 3,371,510.40 |
| Futurescontract | 23,478,931.42 | 4,942,890.33 |
| Total | 23,708,126.32 | 8,314,400.73 |
Otherremarks:
4.Notesreceivable
（1）Categoriesofnotesreceivable
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Bankacceptancebill | 1,551,375,087.54 | 1,981,778,291.59 |
| Commercialacceptancebill | 101,536,262.45 | 115,381,616.81 |
| Total | 1,652,911,349.99 | 2,097,159,908.40 |
Unit:RMB
| Categories | Closingbalance | Openingbalance | ||||||||
| Bookbalance | Provisionforbaddebt | Carryingamount | Bookbalance | Provisionforbaddebt | Carryingamount | |||||
| Amount | Proportion | Amount | Accruedproportion | Amount | Proportion | Amount | Accruedproportion | |||
| Including: | ||||||||||
| Notesreceivablewithprovisionforbaddebtmadeonacollectivebasis | 1,658,255,363.79 | 100.00% | 5,344,013.80 | 0.32% | 1,652,911,349.99 | 2,103,232,625.08 | 100.00% | 6,072,716.68 | 0.29% | 2,097,159,908.40 |
| Including: | ||||||||||
| Bankacceptancebill | 1,551,375,087.54 | 93.55% | 1,551,375,087.54 | 1,981,778,291.59 | 94.23% | 1,981,778,291.59 | ||||
| Commercialacceptancebill | 106,880,276.25 | 6.45% | 5,344,013.80 | 5.00% | 101,536,262.45 | 121,454,333.49 | 5.77% | 6,072,716.68 | 5.00% | 115,381,616.81 |
| Total | 1,658,255,363.79 | 100.00% | 5,344,013.80 | 0.32% | 1,652,911,349.99 | 2,103,232,625.08 | 100.00% | 6,072,716.68 | 0.29% | 2,097,159,908.40 |
Provisionforbaddebtmadeonacollectivebasis:
Unit:RMB
| Items | Closingbalance | ||
| Bookbalance | Provisionforbaddebt | Accruedproportion | |
| Bankacceptancebill | 1,551,375,087.54 | ||
| Commercialacceptancebill | 106,880,276.25 | 5,344,013.80 | 5.00% |
| Total | 1,658,255,363.79 | 5,344,013.80 | -- |
Remarksonthedeterminationbasisofportfolio:
Iftheprovisionforbaddebtofnotesreceivableisinaccordancewiththegeneralexpectedcreditlossmodel,pleaserefertothedisclosureofthebaddebtprovisionforotherreceivables:
□Applicable√NotApplicable
（2）Provisionforbaddebtaccrued,recoveredorreversedincurrentperiodProvisionforbaddebtaccruedincurrentperiod:
Unit:RMB
| Categories | Openingbalance | Changedamountofthisperiod | Closingbalance | |||
| Accrual | Recoveredor | Writeoff | Others | |||
| reversed | |||||
| Commercialacceptancebill | 6,072,716.68 | 728,702.88 | 5,344,013.80 | ||
| Total | 6,072,716.68 | 728,702.88 | 5,344,013.80 |
Includingsignificantprovisionforbaddebtrecoveredorreversedamount:
□Applicable√NotApplicable
（3）NotesreceivablepledgedbytheCompanyattheendofthereportingperiod
Unit:RMB
| Items | Closingbalanceofpledgednotes |
| Bankacceptancebill | 1,264,550,094.76 |
| Total | 1,264,550,094.76 |
（4）Endorsedordiscountedbutunduenotesatthebalancesheetdate
Unit:RMB
| Items | Closingbalancederecognized | Closingbalancenotyetderecognized |
| Bankacceptancebill | 32,009,582.10 | |
| Commercialacceptancebill | 29,035,960.88 | 8,977,580.15 |
| Total | 61,045,542.98 | 8,977,580.15 |
5.Accountsreceivable
（1）Disclosureofaccountsreceivablebycategories
Unit:RMB
| Categories | Closingbalance | Openingbalance | ||||||||
| Bookbalance | Provisionforbaddebt | Carryingamount | Bookbalance | Provisionforbaddebt | Carryingamount | |||||
| Amount | Proportion | Amount | Accruedproportion | Amount | Proportion | Amount | Accruedproportion | |||
| Receivableswithprovisionmadeonanindividualbasis | 473,410.84 | 0.02% | 473,410.84 | 100.00% | 447,139.67 | 0.02% | 447,139.67 | 100.00% | 0.00 | |
| Including: | ||||||||||
| Receivableswithprovisionmadeonacollectivebasis | 2,243,483,549.68 | 99.98% | 112,875,863.78 | 5.03% | 2,130,607,685.90 | 1,970,386,982.39 | 99.98% | 99,063,459.57 | 5.03% | 1,871,323,522.82 |
| Including: | ||||||||||
| Total | 2,243,956,960.52 | 100.00% | 113,349,274.62 | 5.05% | 2,130,607,685.90 | 1,970,834,122.06 | 100.00% | 99,510,599.24 | 5.05% | 1,871,323,522.82 |
Provisionmadeonanindividualbasis:
Unit:RMB
| Items | Closingbalance | |||
| Bookbalance | Provisionforbaddebt | Accruedproportion | Accruedreason | |
| GuangzhouTaiyiAutomobileAirConditioningElectronicEquipmentCo.,Ltd.,etc. | 473,410.84 | 473,410.84 | 100.00% | |
| Total | 473,410.84 | 473,410.84 | -- | -- |
Provisionmadeonacollectivebasis:provisionmadeonacollectivebasisbasedontheagingoftheaccountsreceivable
Unit:RMB
| Items | Closingbalance | ||
| Bookbalance | Provisionforbaddebt | Accruedproportion | |
| Within1year | 2,234,190,927.71 | 111,709,546.37 | 5.00% |
| 1to2years | 8,639,632.26 | 863,963.23 | 10.00% |
| 2to3years | 120,703.35 | 36,211.00 | 30.00% |
| Over3years | 532,286.36 | 266,143.18 | 50.00% |
| Total | 2,243,483,549.68 | 112,875,863.78 | -- |
Remarksonthedeterminationbasisofportfolio:
Iftheprovisionforbaddebtofaccountsreceivableisinaccordancewiththegeneralexpectedcreditlossmodel,pleaserefertothedisclosureofbaddebtprovisionforotherreceivables:
□Applicable√NotApplicableDisclosurebyaging
Unit:RMB
| Aging | Closingbalance |
| Within1year(including1year) | 2,234,190,927.71 |
| 1to2years | 8,639,632.26 |
| 2to3years | 120,703.35 |
| Over3years | 1,005,697.20 |
| Total | 2,243,956,960.52 |
（2）Provisionforbaddebtaccrued,recoveredorreversedincurrentperiodProvisionforbaddebtaccruedincurrentperiod:
Unit:RMB
| Categories | Openingbalance | Changedamountofthecurrentperiod | Closingbalance | |||
| Accrued | Recoveredorreversed | Writeoff | Others | |||
| Receivableswithprovisionmadeonanindividualbasis | 447,139.67 | 26,271.17 | 473,410.84 | |||
| Receivableswithprovisionmadeonacollectivebasis | 99,063,459.57 | 13,812,949.09 | 544.88 | 112,875,863.78 | ||
| Total | 99,510,599.24 | 13,839,220.26 | 544.88 | 113,349,274.62 | ||
（3）Actualwrite-offofaccountsreceivableincurrentperiodActualwrite-offofaccountsreceivableincurrentperiodisRMB544.88.
（4）Top5debtorswiththelargestaccountsreceivablebalances
Unit:RMB
| Debtors | Closingbalance | Proportiontothetotalbalanceofaccountsreceivable | Provisionforbaddebtattheendoftheperiod |
| Top5debtorswiththelargestbalances | 763,257,417.91 | 34.01% | 38,205,528.30 |
| Total | 763,257,417.91 | 34.01% |
6.Advancespaid
（1）Advancespaidbyaging
Unit:RMB
| Aging | Closingbalance | Openingbalance | ||
| Amount | Percentage | Amount | Percentage | |
| Within1year(including1year) | 87,228,820.00 | 95.67% | 59,688,137.51 | 94.94% |
| 1to2years | 1,885,267.20 | 2.07% | 1,274,082.94 | 2.03% |
| 2to3years | 1,083,388.18 | 1.19% | 1,799,865.58 | 2.86% |
| Over3years | 981,154.95 | 1.07% | 109,838.27 | 0.17% |
| Total | 91,178,630.33 | -- | 62,871,924.30 | -- |
Remarksonreasonsforunsettledsignificantadvancespaidwithagingoveroneyear:
（2）Top5debtorswiththelargestadvancespaidbalancesClosingbalanceofthetop5debtorstotaledRMB24,167,344.71,accountingfor26.51%ofthetotalclosingbalanceoftheadvancespaid.Otherremarks:
7.Otherreceivables
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Otherreceivables | 66,256,474.54 | 97,394,782.97 |
| Total | 66,256,474.54 | 97,394,782.97 |
（1）Otherreceivables1）Otherreceivablescategorizedbynature
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Taxrefundreceivable | 20,548,202.00 | 46,670,909.67 |
| Guaranteedeposits | 32,751,602.02 | 30,166,732.62 |
| Others | 15,438,204.76 | 23,292,984.90 |
| Total | 68,738,008.78 | 100,130,627.19 |
2）Provisionofbaddebt
Unit:RMB
| Provisionforbaddebt | Phase1 | Phase2 | Phase3 | Total |
| Next12?monthexpectedcreditlosses | Lifetimeexpectedcreditlosses(creditnotimpaired) | Lifetimeexpectedcreditlosses(creditimpaired) | ||
| BalanceonJanuary1,2020 | 1,439,293.11 | 1,296,551.11 | 2,735,844.22 | |
| BalanceincurrentperiodonJanuary1,2020 | —— | —— | —— | —— |
| Provisionmadeincurrentperiod | 121,411.51 | 121,411.51 | ||
| Provisionrecoveredincurrentperiod | 375,721.49 | 375,721.49 | ||
| BalanceonJune30,2020 | 1,063,571.62 | 1,417,962.62 | 2,481,534.24 |
Lossprovisionsforsignificantchangesinbookbalancesincurrentperiod
□Applicable√NotApplicableDisclosebyaging
Unit:RMB
| Aging | Closingbalance |
| Within1year(including1year) | 1,063,571.62 |
| 1to2years | 375,109.33 |
| 2to3years | 238,282.05 |
| Over3years | 804,571.24 |
| Total | 2,481,534.24 |
3）Provisionforbaddebtaccrued,recoveredorreversedincurrentperiodProvisionforbaddebtaccruedincurrentperiod:
Unit:RMB
| Categories | Openingbalance | Changedamountofthecurrentperiod | Closingbalance | |||
| Accrued | Recoveredorreversed | Writeoff | Others | |||
| Receivableswithprovisionmadeonacollectivebasis | 2,735,844.22 | 121,411.51 | 375,721.49 | 2,481,534.24 | ||
| Total | 2,735,844.22 | 121,411.51 | 375,721.49 | 2,481,534.24 | ||
4）Detailsofthetop5debtorswithlargestbalances
Unit:RMB
| Items | Natureofreceivables | Closingbalance | Ages | Proportiontothetotalbalanceofotherreceivables | Provisionforbaddebtattheendoftheperiod |
| Taxrefundreceivables | Taxrefund | 20,548,202.00 | Within1year(including1year) | 29.89% | |
| FinanceBureauofXinchangCounty | Performancebond | 6,971,285.00 | 1to3years | 10.14% |
| ShaoxingBinhaiNewCityManagementCommittee | Performancebondforlandandprojectconstruction | 5,410,000.00 | 1to3years | 7.87% |
| XinchangCountyLandReserveDevelopmentCenter | Depositofconstructionprojects | 3,774,000.00 | Over3years | 5.49% |
| FinanceBureauofYijiangDistrict,WuhuCity | Depositofconstructionprojects | 3,751,000.00 | 1to7years | 5.46% |
| Total | -- | 40,454,487.00 | -- | 58.85% |
5）OtherreceivablesrelatedtoGovernmentgrants
Unit:RMB
| Items | Governmentgrant | Closingbalance | Ages | Estimatedreceipttime,amountandbasis |
| Localfinanceandtaxationdepartments | VATrefundofcivilwelfareenterprises | 2,521,640.84 | Within1year | FromJulytoOctober,2020,Taxrefundreturn |
8.InventoriesWhethertheCompanyneedstocomplywiththedisclosurerequirementsoftherealestateindustryNo
（1）Categoriesofinventories
Unit:RMB
| Items | Closingbalance | Openingbalance | ||||
| Bookbalance | Provisionfordeclineinvalueofinventoriesorprovisionforimpairmentofcontractperformancecosts | Carryingamount | Bookbalance | Provisionfordeclineinvalueofinventoriesorprovisionforimpairmentofcontractperformancecosts | Carryingamount | |
| Rawmaterials | 458,105,736.83 | 34,167,655.65 | 423,938,081.18 | 402,017,918.68 | 29,042,388.91 | 372,975,529.77 |
| Work-in-progress | 225,619,929.38 | 4,730,403.55 | 220,889,525.83 | 312,143,395.71 | 4,759,164.75 | 307,384,230.96 |
| Finishedgoods | 1,309,147,400.86 | 51,969,501.50 | 1,257,177,899.36 | 1,558,291,038.03 | 58,630,244.52 | 1,499,660,793.51 |
| Others | 890,879.80 | 890,879.80 | 818,041.83 | 818,041.83 | ||
| Total | 1,993,763,946.87 | 90,867,560.70 | 1,902,896,386.17 | 2,273,270,394.25 | 92,431,798.18 | 2,180,838,596.07 |
（2）ProvisionfordeclineinvalueofinventoriesandProvisionforimpairmentofcontractperformancecosts
Unit:RMB
| Items | Openingbalance | Increaseincurrentperiod | Decreaseincurrentperiod | Closingbalance | ||
| Accrued | Others | Reversalorwriteoff | Others | |||
| Rawmaterials | 29,042,388.91 | 5,799,127.62 | 673,860.88 | 34,167,655.65 | ||
| Work-in-progress | 4,759,164.75 | 28,761.20 | 4,730,403.55 | |||
| Finishedgoods | 58,630,244.52 | 1,957,614.90 | 8,618,357.92 | 51,969,501.50 | ||
| Others | ||||||
| Total | 92,431,798.18 | 7,756,742.52 | 9,320,980.00 | 90,867,560.70 | ||
Thedeterminationofthenetrealizablevalueoftheexcess&obsoleteinventoriesofmetalmaterialsattheendoftheperiodisthescrapmetalrecoveryprice.Thedeterminationofthenetrealizablevalueoftheexcess&obsoleteinventoriesofelectroniccomponentsisRMB0.
9.Othercurrentassets
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Deductibleinputtax | 25,187,707.43 | 41,622,415.21 |
| PrepaidEnterpriseincometax | 52,657,538.58 | 33,856,030.95 |
| Others | 3,575,506.83 | 454,807.12 |
| Total | 81,420,752.84 | 75,933,253.28 |
Otherremarks:
10.Long-termreceivable
（1）Long-termreceivable
Unit:RMB
| Items | Closingbalance | Openingbalance | Rangeofdiscountrate | ||||
| Bookbalance | Provisionforbaddebt | Carryingamount | Bookbalance | Provisionforbaddebt | Carryingamount | ||
| Employeehomeloan | 2,306,862.76 | 2,306,862.76 | 2,145,963.27 | 2,145,963.27 | |||
| Total | 2,306,862.76 | 2,306,862.76 | 2,145,963.27 | 2,145,963.27 | -- | ||
Impairmentofprovisionforbaddebt
Unit:RMB
| Provisionforbaddebt | Phase1 | Phase2 | Phase3 | Total |
| Next12?monthexpectedcreditlosses | Lifetimeexpectedcreditlosses(creditnotimpaired) | Lifetimeexpectedcreditlosses(creditimpaired) | ||
| BalanceincurrentperiodonJanuary1,2020 | —— | —— | —— | —— |
Lossprovisionsforsignificantchangesinbookbalancesincurrentperiod
□Applicable√NotApplicable
11.Long-termequityinvestments
Unit:RMB
| Investees | Openingbalance(Carryingamount) | Increase/decreaseincurrentperiod | Closingbalance(Carryingamount) | Closingbalanceofprovisionforimpairment | |||||||
| Investmentincreased | Investmentdecreased | Investmentincomerecognizedunderequitymethod | Adjustmentinothercomprehensiveincome | Changesinotherequity | Cashdividendsorprofitdeclaredtodistribution | Provisionforimpairment | Others | ||||
| Ⅰ.Jointventures | |||||||||||
| Ⅱ.Associates | |||||||||||
| GuochuangEnergyInternetInnovationCenter(Guangdong)Co.,Ltd. | 1,493,718.98 | -446.80 | 1,493,272.18 | ||||||||
| ChongqingTainuoMachineryCo., | 8,847,728.00 | 1,544,830.62 | 1,500,000.00 | 8,892,558.62 | |||||||
| Ltd. | |||||||
| NanchangSanhuaJinlifengMachineryCo.,Ltd. | 2,335,242.16 | 406,364.13 | 500,000.00 | 2,241,606.29 | |||
| ZhongshanSanhuaTainuoMachineryCo.,Ltd. | 27,971.57 | -27,971.57 | 0.00 | ||||
| QingdaoSanhuaJinlifengMachineryCo.,Ltd. | 0.00 | 0.00 | |||||
| ZhongshanXuanyiPipeManufacturingCo.,Ltd. | 1,817,599.09 | -96,102.74 | 1,721,496.35 | ||||
| Subtotal | 14,522,259.80 | 1,826,673.64 | 2,000,000.00 | 14,348,933.44 | |||
| Total | 14,522,259.80 | 1,826,673.64 | 2,000,000.00 | 14,348,933.44 |
Otherremarks
12.Investmentproperty
（1）Investmentpropertymeasuredbycostmethod
√Applicable□NotApplicable
Unit:RMB
| Items | Buildingsandstructures | LanduserightandOverseaslandownership | Constructioninprogress | Total |
| Ⅰ.OriginalCarryingamount | ||||
| 1.Openingbalance | 36,137,499.11 | 10,455,622.00 | 46,593,121.11 | |
| 2.Increaseincurrentperiod | 282,802.21 | 64,165.50 | 346,967.71 | |
| （1）Acquisition | ||||
| （2）Transferredinfrominventory\fixedassets\constructioninprogress | ||||
| （3）Businesscombination | ||||
| （4）ConverteddifferenceinForeignCurrencyStatements | 282,802.21 | 64,165.50 | 346,967.71 | |
| 3.Decreaseincurrentperiod | ||||
| （1）Disposal | ||||
| （2）Othertransferout |
| 4.Closingbalance | 36,420,301.32 | 10,519,787.50 | 46,940,088.82 | |
| Ⅱ.Accumulateddepreciationandamortization | ||||
| 1.Openingbalance | 17,507,685.84 | 2,059,461.22 | 19,567,147.06 | |
| 2.Increaseincurrentperiod | 1,033,941.04 | 76,000.46 | 1,109,941.50 | |
| （1）Accrualoramortization | 926,917.56 | 76,000.46 | 1,002,918.02 | |
| （2）ConverteddifferenceinForeignCurrencyStatements | 107,023.48 | 107,023.48 | ||
| 3.Decreaseincurrentperiod | ||||
| （1）Disposal | ||||
| （2）Othertransferout |
| 4.Closingbalance | 18,541,626.88 | 2,135,461.68 | 20,677,088.56 | |
| Ⅲ.Provisionforimpairment | ||||
| 1.Openingbalance | ||||
| 2.Increaseincurrentperiod | ||||
| （1）Accrual |
| 3.Decreaseincurrentperiod |
| （1）Disposal |
| （2）Othertransferout |
| 4.Closingbalance | ||||
| Ⅳ.Carryingamount | ||||
| 1.Closingbalance | 17,878,674.44 | 8,384,325.82 | 26,263,000.26 | |
| 2.Openingbalance | 18,629,813.27 | 8,396,160.78 | 27,025,974.05 |
13.Fixedassets
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Fixedassets | 3,625,967,658.09 | 3,379,608,199.26 |
| Total | 3,625,967,658.09 | 3,379,608,199.26 |
（1）Fixedassets
Unit:RMB
| Items | Buildingsandstructures | Machineryandequipment | Measurementanalysisequipment | Transportationvehicles | Officeandotherequipment | Total |
| Ⅰ.Originalbookvalue: | ||||||
| 1.Openingbalance | 2,157,358,358.56 | 3,050,563,131.59 | 77,768,081.99 | 40,349,952.76 | 224,254,779.28 | 5,550,294,304.18 |
| 2.Increaseincurrentperiod | 111,153,335.56 | 278,877,291.33 | 41,353,626.09 | 1,581,881.78 | 9,740,831.02 | 442,706,965.78 |
| （1）Acquisition | 124,325,170.02 | 41,146,993.83 | 1,489,848.06 | 8,732,046.43 | 175,694,058.34 |
| （2）Transferredinfromconstructioninprogress | 105,968,706.98 | 148,477,278.54 | 206,632.26 | 254,652,617.78 | ||
| （3）Businesscombination | ||||||
| （4）ConverteddifferenceinForeignCurrencyStatements | 5,184,628.58 | 6,074,842.77 | 92,033.72 | 1,008,784.59 | 12,360,289.66 | |
| 3.Decreaseincurrentperiod | 17,441,634.83 | 1,347,431.51 | 2,109,809.33 | 3,118,668.47 | 24,017,544.14 | |
| （1）Disposalorscrap | 17,441,634.83 | 1,347,431.51 | 2,109,809.33 | 3,118,668.47 | 24,017,544.14 |
| 4.Closingbalance | 2,268,511,694.12 | 3,311,998,788.09 | 117,774,276.57 | 39,822,025.21 | 230,876,941.83 | 5,968,983,725.82 |
| Ⅱ.Accumulateddepreciation | ||||||
| 1.Openingbalance | 509,863,544.24 | 1,443,454,422.50 | 32,773,108.28 | 30,515,107.61 | 150,112,811.87 | 2,166,718,994.50 |
| 2.Increaseincurrentperiod | 45,052,679.92 | 131,765,110.76 | 2,746,767.73 | 2,108,258.55 | 10,233,255.85 | 191,906,072.81 |
| （1）Accrual | 44,186,222.63 | 128,551,265.70 | 2,746,767.73 | 2,065,618.96 | 9,806,448.80 | 187,356,323.82 |
| (2)ConverteddifferenceinForeignCurrencyStatements | 866,457.29 | 3,213,845.06 | 42,639.59 | 426,807.05 | 4,549,748.99 | |
| 3.Decreaseincurrentperiod | 13,440,835.83 | 1,209,644.23 | 2,026,811.77 | 2,898,818.17 | 19,576,110.00 | |
| （1）Disposalorscrap | 13,440,835.83 | 1,209,644.23 | 2,026,811.77 | 2,898,818.17 | 19,576,110.00 |
| 4.Closingbalance | 554,916,224.16 | 1,561,778,697.43 | 34,310,231.78 | 30,596,554.39 | 157,447,249.55 | 2,339,048,957.31 |
| Ⅲ.Provisionforimpairment | ||||||
| 1.Openingbalance | 3,967,110.42 | 3,967,110.42 | ||||
| 2.Increaseincurrentperiod |
（1）Accrual
3.Decreaseincurrentperiod
| 3.Decreaseincurrentperiod |
| （1）Disposalorscrap |
| 4.Closingbalance | 3,967,110.42 | 3,967,110.42 | ||||
| Ⅳ.Carryingamount | ||||||
| 1.Closingbalance | 1,713,595,469.96 | 1,746,252,980.24 | 83,464,044.79 | 9,225,470.82 | 73,429,692.28 | 3,625,967,658.09 |
| 2.Openingbalance | 1,647,494,814.32 | 1,603,141,598.67 | 44,994,973.71 | 9,834,845.15 | 74,141,967.41 | 3,379,608,199.26 |
（2）Fixedassetsleasedthroughfinancialleasing
Unit:RMB
| Items | Originalbookvalue | Accumulateddepreciation | Provisionforimpairment | Carryingamount |
| Buildingsandstructures | 154,848,669.67 | 23,947,897.44 | 130,900,772.23 |
（3）Fixedassetswithcertificateoftitlesbeingunsettled
Unit:RMB
| Items | Carryingamount | Reasonsforunsettlement |
| 13#factoryinMeizhuNorthdistrict | 85,729,372.11 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| FinishedgoodswarehouseinMeizhuNorthdistrict | 23,998,659.71 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| 14#factoryinMeizhuNorthdistrict | 26,710,037.05 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| StaffdormitoryinMeizhu(PhaseII) | 25,416,491.44 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| 15#factoryinMeizhuNorthdistrict | 53,734,878.02 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| ClassAwarehouse | 1,968,323.02 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| Auxiliaryroom | 1,629,791.85 | Newassets,thecertificateoftitletobeprocesseduniformlyaftertheoverallcompletion |
| Subtotal | 219,187,553.20 |
Otherremarks
14.Constructioninprogress
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Constructioninprogress | 492,864,704.94 | 480,959,262.46 |
| Total | 492,864,704.94 | 480,959,262.46 |
（1）Detailsofconstructioninprogress
Unit:RMB
| Items | Closingbalance | Openingbalance | ||||
| Bookbalance | Provisionforimpairment | Carryingamount | Bookbalance | Provisionforimpairment | Carryingamount | |
| Annualproductionof7.3millionsetsofnewenergyvehiclethermalmanagementsystemcomponentsproject | 121,470,097.80 | 121,470,097.80 | 78,050,708.13 | 78,050,708.13 | ||
| Annualproductionof12.7millionsetsofautomotiveairconditioningcontrolcomponentsproject | 1,251,699.09 | 1,251,699.09 | 50,740,941.36 | 50,740,941.36 | ||
| Annualproductionof11.5millionsetsofnewenergyautopartsproject | 126,534,443.53 | 126,534,443.53 | 100,809,231.62 | 100,809,231.62 | ||
| Constructionofamicro-channelheatexchangerproductionlineprojectinMexico | 92,307.69 | 92,307.69 | 92,307.69 | 92,307.69 | ||
| Newlyaddedanannualproductionof800,000heatexchangertechnologytransformationprojects | 1,014,928.03 | 1,014,928.03 | 160,228.03 | 160,228.03 | ||
| InfrastructureprojectofMeizhuNorthdistrict | 12,071,299.73 | 12,071,299.73 | 5,043,312.03 | 5,043,312.03 | ||
| Annualproductionof65millionsetsofcommercialrefrigerationandair | 20,370,108.79 | 20,370,108.79 | 13,815,107.62 | 13,815,107.62 | ||
| conditioningintelligentcontrolcomponentsconstructionproject | ||||||
| Annualproductionof103millionresidentialair-conditioningcontrolcomponentsproject | 33,214,448.15 | 33,214,448.15 | 19,942,496.28 | 19,942,496.28 | ||
| Annualproductionof1millionsetsofnewenergyvehicleair-conditioningthermalsensorsproject | 2,957,132.27 | 2,957,132.27 | 2,877,561.33 | 2,877,561.33 | ||
| Annualproductionof2millionsetsofautomotiveair-conditioningpartsproject | 504,871.82 | 504,871.82 | 2,088,782.95 | 2,088,782.95 | ||
| Vietnamindustrialplantproject | 51,029,148.57 | 51,029,148.57 | 32,155,560.02 | 32,155,560.02 | ||
| Others | 122,354,219.47 | 122,354,219.47 | 175,183,025.40 | 175,183,025.40 | ||
| Total | 492,864,704.94 | 492,864,704.94 | 480,959,262.46 | 480,959,262.46 |
（2）Changesofsignificantconstructioninprogressincurrentperiod
Unit:RMB
| Items | Budget | Openingbalance | Increasedincurrentperiod | Transferredtofixedassetsinthecurrentperiod | Otheramountsdecreasedincurrentperiod | Closingbalance | Accumulatedinvestmenttobudget(%) | Completionpercentage(%) | Accumulatedamountofcapitalizedinterest | Including:capitalizedinterestincurrentperiod | Capitalizationrateforinterestincurrentperiod | Fundsource |
| Annualproductionof7.3millionsetsofnewenergyvehiclethermalmanagementsystem | 468,600,000.00 | 78,050,708.13 | 82,385,160.56 | 38,965,770.89 | 121,470,097.80 | 49.03% | Raisedfunds |
| componentsproject | |||||||||
| Annualproductionof12.7millionsetsofautomotiveairconditioningcontrolcomponentsproject | 215,000,000.00 | 50,740,941.36 | 31,270,297.35 | 80,759,539.62 | 1,251,699.09 | 80.39% | Raisedfunds | ||
| Annualproductionof11.5millionsetsofnewenergyautopartsproject | 528,800,000.00 | 100,809,231.62 | 134,131,873.58 | 108,406,661.67 | 126,534,443.53 | 64.37% | Raisedfunds | ||
| Constructionofamicro-channelheatexchangerproductionlineprojectinMexico | 96,075,000.00 | 92,307.69 | 92,307.69 | 94.20% | Other | ||||
| Newlyaddedanannual | 73,560,000.00 | 160,228.03 | 854,700.00 | 1,014,928.03 | 98.10% | Other |
| productionof800,000heatexchangertechnologytransformationprojects | |||||||||
| InfrastructureprojectofMeizhuNorthdistrict | 482,340,000.00 | 5,043,312.03 | 9,118,895.95 | 2,090,908.25 | 12,071,299.73 | 57.63% | Other | ||
| Annualproductionof65millionsetsofcommercialrefrigerationandairconditioningintelligentcontrolcomponentsconstructionproject | 1,526,302,000.00 | 13,815,107.62 | 6,555,001.17 | 20,370,108.79 | 1.33% | Other | |||
| Annualproductionof103million | 1,104,050,000.00 | 19,942,496.28 | 22,702,638.70 | 9,430,686.83 | 33,214,448.15 | 45.72% | Other |
| residentialair-conditioningcontrolcomponentsproject | ||||||||||
| Annualproductionof1millionsetsofnewenergyvehicleair-conditioningthermalsensorsproject | 44,786,000.00 | 2,877,561.33 | 179,400.00 | 99,829.06 | 2,957,132.27 | 39.21% | Other | |||
| Annualproductionof2millionsetsofautomotiveair-conditioningpartsproject | 42,830,000.00 | 2,088,782.95 | 1,583,911.13 | 504,871.82 | 119.98% | Other | ||||
| Vietnamindustrialplantproject | USD18,640,000.00 | 32,155,560.02 | 21,157,802.84 | 2,284,214.29 | 51,029,148.57 | 40.40% | Other | |||
| Total | 305,776,237.06 | 308,355,770.15 | 243,621,521.74 | 370,510,485.47 | -- | -- | -- |
15.IntangibleAssets
（1）Detailsofintangibleassets
Unit:RMB
| Items | Landuseright | Patentright | Non-patenttechnology | Overseaslandownership | AWECOintellectualpropertyandbusinessresources | RANCOintellectualpropertyandbusinessresources | Intellectualpropertyrightofairconditionercontroller | PatentedtechnologyofelectronicexpansionvalvecontrollerofDotech | Software | Total |
| Ⅰ.OriginalCarryingamount | ||||||||||
| 1.Openingbalance | 553,075,849.31 | 29,413,801.81 | 103,486,789.02 | 1,758,479.45 | 42,150,175.56 | 6,634,364.80 | 27,892,661.59 | 764,412,121.54 | ||
| 2.Increasedincurrentperiod | 376,887.43 | 475,709.06 | 1,784,737.64 | 30,420.30 | 3,876,142.70 | 6,543,897.13 | ||||
| （1）Acquisition | 3,635,042.77 | 3,635,042.77 | ||||||||
| （2）Internalresearchanddevelopment | ||||||||||
| （3）Businesscombination | ||||||||||
| （4）ConverteddifferenceinForeign | 376,887.43 | 475,709.06 | 1,784,737.64 | 30,420.30 | 241,099.93 | 2,908,854.36 |
| CurrencyStatements | |||
| 3.Decreasedincurrentperiod | 341,251.27 | 341,251.27 | |
| （1）Disposal | 341,251.27 | 341,251.27 |
| 4.Closingbalance | 553,452,736.74 | 29,889,510.87 | 105,271,526.66 | 1,788,899.75 | 42,150,175.56 | 6,634,364.80 | 31,427,553.02 | 770,614,767.40 | |
| Ⅱ.Accumulatedamortization | |||||||||
| 1.Openingbalance | 86,030,559.93 | 205,745.37 | 103,485,854.20 | 363,239.45 | 21,257,295.24 | 552,863.70 | 22,519,438.24 | 234,414,996.13 | |
| 2.Increasedincurrentperiod | 5,528,131.27 | 69,310.41 | 1,785,672.46 | 9,760.30 | 1,947,508.80 | 331,718.22 | 1,664,441.95 | 11,336,543.41 | |
| （1）Accrual | 5,528,131.27 | 66,263.84 | 1,947,508.80 | 331,718.22 | 1,456,578.82 | 9,330,200.95 | |||
| （2)ConverteddifferenceinForeignCurrencyStatements | 3,046.57 | 1,785,672.46 | 9,760.30 | 207,863.13 | 2,006,342.46 | ||||
| 3.Decreasedincurrentperiod | 341,251.27 | 341,251.27 | |||||||
| （1）Disposal | 341,251.27 | 341,251.27 |
| 4.Closingbalance | 91,558,691.20 | 275,055.78 | 105,271,526.66 | 372,999.75 | 23,204,804.04 | 884,581.92 | 23,842,628.92 | 245,410,288.27 | |
| Ⅲ.Provisionforimpairment | |||||||||
| 1.Openingbalance | 4,129,606.66 | 4,129,606.66 | |||||||
| 2.Increasedincurrentperiod | 61,149.10 | 61,149.10 | |||||||
| （1）Accrual | |||||||||
| （2)ConverteddifferenceinForeignCurrencyStatements | 61,149.10 | 61,149.10 | |||||||
| 3.Decreasedincurrentperiod | |||||||||
| （1）Disposal |
| 4.Closingbalance | 4,190,755.76 | 4,190,755.76 | |||||||
| Ⅳ.Carryingamount | |||||||||
| 1.Closingbalance | 461,894,045.54 | 25,423,699.33 | 1,415,900.00 | 18,945,371.52 | 5,749,782.88 | 7,584,924.10 | 521,013,723.37 |
| 2.Openingbalance | 467,045,289.38 | 25,078,449.78 | 934.82 | 1,395,240.00 | 20,892,880.32 | 6,081,501.10 | 5,373,223.35 | 525,867,518.75 |
Atthebalancesheetdate,intangibleassetsformedfrominternalR&Daccountfor0.00%oftotalclosingbalanceofintangibleassets.
16.Goodwill
（1）OriginalCarryingamountofgoodwill
Unit:RMB
| Investeeoreventsresultingingoodwill | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance | ||
| Duetobusinesscombination | Disposal | |||||
| R-SquaredPuckettInc. | 31,959,091.60 | 31,959,091.60 | ||||
| Total | 31,959,091.60 | 31,959,091.60 | ||||
17.Long-termprepayments
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Amortization | Otherdecreases | Closingbalance |
| Plantrenovationexpenditure | 7,223,760.94 | 111,964.96 | 3,423,783.44 | 3,911,942.46 | |
| Compensatedusefeeforemissionrights | 968,938.03 | 484,468.98 | 484,469.05 | ||
| Tools | 527,421.67 | 105,484.32 | 421,937.35 | ||
| Total | 8,720,120.64 | 111,964.96 | 4,013,736.74 | 4,818,348.86 |
Otherremarks
18.Deferredtaxassets/deferredtaxliabilities
（1）Deferredtaxassetsbeforeoffset
Unit:RMB
| Items | Closingbalance | Openingbalance | ||
| Deductibletemporarydifference | Deferredtaxassets | Deductibletemporarydifference | Deferredtaxassets | |
| Provisionforbaddebt | 69,545,031.10 | 14,408,313.03 | 71,519,997.24 | 14,114,166.19 |
| Provisionforinventorywrite-down | 68,581,055.63 | 11,089,479.84 | 69,518,382.06 | 11,230,078.81 |
| Unrealizedprofitfrominternaltransactions | 163,448,516.71 | 18,214,164.00 | 223,604,977.62 | 25,040,965.45 |
| Deductiblelosses | 44,805,724.24 | 9,694,985.94 | 72,228,904.20 | 13,514,908.45 |
| Deferredincome:governmentgrants | 79,093,357.32 | 12,664,031.04 | 82,537,550.43 | 12,800,632.56 |
| Provisionforfixedassetsimpairments | 3,898,415.90 | 584,762.40 | 3,898,415.90 | 584,762.39 |
| Floatinglossonderivatives | 382,124.00 | 62,148.60 | 126,364.40 | 18,954.66 |
| Share-basedpayment | 67,151,015.24 | 10,432,601.50 | 47,235,572.03 | 7,487,443.77 |
| Provisionalcostestimate | 47,564,143.70 | 7,134,621.56 | 27,740,129.55 | 4,161,019.41 |
| Total | 544,469,383.84 | 84,285,107.91 | 598,410,293.43 | 88,952,931.69 |
（2）Deferredtaxliabilitiesbeforeoffset
Unit:RMB
| Items | Closingbalance | Openingbalance | ||
| Taxabletemporarydifference | Deferredtaxliabilities | Taxabletemporarydifference | Deferredtaxliabilities | |
| Depreciationandamortizationexpense | 408,599,505.53 | 64,804,531.68 | 396,585,435.74 | 62,347,023.15 |
| Floatinggainonderivatives | 15,889,565.30 | 2,383,434.80 | 2,906,246.02 | 435,936.90 |
| Floatinggainonfinancialproducts | 12,226,291.01 | 2,131,283.02 | 12,526,390.31 | 2,266,401.66 |
| Total | 436,715,361.84 | 69,319,249.50 | 412,018,072.07 | 65,049,361.71 |
（3）Detailsofunrecognizeddeferredtaxassets
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Provisionforbaddebt | 51,629,791.56 | 36,799,162.90 |
| Provisionforinventorywrite-down | 22,286,505.07 | 22,913,416.12 |
| Deductiblelossesofsubsidiaries | 27,578,280.52 | 97,583,268.62 |
| Provisionforfixedassetsimpairments | 68,694.52 | 68,694.52 |
| Provisionforintangible | 4,190,755.76 | 4,129,606.66 |
| assetsimpairment | ||
| Floatinglossonderivatives | 8,067,489.09 | |
| Share-basedpayment | 1,606,100.11 | 1,840,976.14 |
| Total | 115,427,616.63 | 163,335,124.96 |
（4）Maturityyearsofdeductiblelossesofunrecognizeddeferredtaxassets
Unit:RMB
| Maturityyears | Closingbalance | Openingbalance | Remarks |
| Year2020 | 129,751.40 | 770,856.07 | |
| Year2021 | 1,257,463.18 | 14,131,496.37 | |
| Year2022 | 23,008,626.48 | ||
| Year2023 | 15,620,641.85 | 24,053,673.84 | |
| Year2024 | 9,171,321.25 | 17,510,655.24 | |
| Year2025 | 614,389.17 | ||
| Year2028 | 10,478,078.42 | ||
| Year2029 | 7,629,882.20 | ||
| Year2030 | 784,713.67 | ||
| Total | 27,578,280.52 | 97,583,268.62 | -- |
Otherremarks:
19.Othernon-currentassets
Unit:RMB
| Items | Closingbalance | Openingbalance | ||||
| Bookbalance | Provisionforimpairment | Carryingamount | Bookbalance | Provisionforimpairment | Carryingamount | |
| Advancedpaymentforassetspurchasing | 154,342,209.19 | 154,342,209.19 | 179,238,257.09 | 179,238,257.09 | ||
| Total | 154,342,209.19 | 154,342,209.19 | 179,238,257.09 | 179,238,257.09 | ||
Otherremarks:
20.Short-termborrowings
（1）Categoriesofshort-termborrowings
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Securedborrowings | 770,795,000.00 | 730,000,000.00 |
| Overseasloanunderdomesticguarantee | 495,427,500.00 | 562,083,652.90 |
| Accruedinterest | 1,155,741.24 | 3,526,919.17 |
| Total | 1,267,378,241.24 | 1,295,610,572.07 |
21.Derivativefinancialliabilities
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Foreignexchangeforwardcontract | 8,401,313.09 | 126,364.40 |
| Futurescontract | 48,300.00 | |
| Total | 8,449,613.09 | 126,364.40 |
Otherremarks:
22.Notespayable
Unit:RMB
| Categories | Closingbalance | Openingbalance |
| Bankacceptancebill | 973,763,888.02 | 1,130,668,415.32 |
| Total | 973,763,888.02 | 1,130,668,415.32 |
Atthebalancesheetdate,balancesduebutunpaidtotaledRMB0.
23.Accountspayable
（1）Detailsofaccountspayable
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Within1year(including1year) | 1,533,770,039.02 | 1,538,694,359.81 |
| 1to2years | 21,896,931.86 | 36,247,361.15 |
| 2to3years | 4,847,681.00 | 7,254,952.39 |
| Over3years | 4,572,125.54 | 5,567,079.27 |
| Total | 1,565,086,777.42 | 1,587,763,752.62 |
24.Advancesreceived
（1）Detailsofadvancesreceived
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Advancesreceivedfromsalesofgoods | 31,296,264.17 | 23,453,218.32 |
| Total | 31,296,264.17 | 23,453,218.32 |
25.Employeebenefitspayable
（1）Detailsofemployeebenefitspayable
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| Ⅰ.Short-termemployeebenefits | 221,838,334.79 | 700,236,484.92 | 763,597,486.94 | 158,477,332.77 |
| Ⅱ.Post-employmentbenefits-definedcontributionplan | 3,701,568.23 | 14,445,109.26 | 16,128,693.35 | 2,017,984.14 |
| Ⅲ.Terminationbenefits | 3,457,580.80 | 1,592,729.13 | 1,864,851.67 | |
| Total | 228,997,483.82 | 714,681,594.18 | 781,318,909.42 | 162,360,168.58 |
（2）DetailsofShort-termemployeebenefits
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| 1.Wage,bonus,allowancesandsubsidy | 203,198,192.24 | 585,062,334.41 | 656,434,798.79 | 131,825,727.86 |
| 2.Employeewelfarefund | 2,134,102.51 | 25,652,596.89 | 27,008,804.02 | 777,895.38 |
| 3.Socialinsurancepremium | 11,162,051.71 | 49,376,025.31 | 40,948,536.92 | 19,589,540.10 |
| Including:Medicarepremium | 2,023,459.75 | 10,098,636.99 | 10,751,102.22 | 1,370,994.52 |
| Occupationalinjuriespremium | 211,099.28 | 616,425.35 | 671,139.76 | 156,384.87 |
| Maternitypremium | 233,674.66 | 300,264.44 | 412,512.75 | 121,426.35 |
| Overseassocialsecuritycontributions | 8,693,818.02 | 38,360,698.53 | 29,113,782.19 | 17,940,734.36 |
| 4.Housingprovidentfund | 265,855.34 | 11,935,507.71 | 11,871,329.34 | 330,033.71 |
| 5.Tradeunionfundandemployee | 104,574.42 | 2,327,899.34 | 2,301,195.18 | 131,278.58 |
| educationfund | ||||
| Salariesofsubcontractor | 3,511,341.29 | 24,981,456.04 | 25,032,822.69 | 3,459,974.64 |
| Share-basedpayment | 1,462,217.28 | 900,665.22 | 2,362,882.50 | |
| Total | 221,838,334.79 | 700,236,484.92 | 763,597,486.94 | 158,477,332.77 |
（3）Detailsofdefinedcontributionplan
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| 1.Basicendowmentinsurancepremium | 3,584,148.09 | 13,982,466.15 | 15,605,518.18 | 1,961,096.06 |
| 2.Unemploymentinsurancepremium | 117,420.14 | 462,643.11 | 523,175.17 | 56,888.08 |
| Total | 3,701,568.23 | 14,445,109.26 | 16,128,693.35 | 2,017,984.14 |
Otherremarks:
26.Taxesandratespayable
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Enterpriseincometax | 22,518,002.09 | 27,169,457.87 |
| VAT | 14,994,809.42 | 12,303,529.64 |
| Individualincometax | 4,004,798.97 | 6,570,153.06 |
| Urbanmaintenanceandconstructiontax | 2,171,687.86 | 2,004,384.14 |
| Educationsurcharge | 1,136,266.20 | 1,098,720.52 |
| Localeducationsurcharge | 757,510.79 | 623,676.41 |
| Housingpropertytax | 6,904,279.76 | 5,263,984.54 |
| Landusetax | 3,319,306.44 | 2,277,425.60 |
| Localfoundationforwaterworks | 52,046.35 | 6,051.60 |
| Others | 1,103,077.56 | 875,224.37 |
| Total | 56,961,785.44 | 58,192,607.75 |
Otherremarks:
27.Otherpayables
Unit:RMB
| Item | Closingbalance | Openingbalance |
| Dividendpayable | 1,310,000.00 | 1,772,750.00 |
| Otherpayables | 291,575,146.18 | 159,464,464.88 |
| Total | 292,885,146.18 | 161,237,214.88 |
（1）Dividendpayable
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Dividendofrestrictedshares | 1,772,750.00 | |
| Dividendpayableattributabletonon-controllinginterest | 1,310,000.00 | |
| Total | 1,310,000.00 | 1,772,750.00 |
Otherremarks,includingdisclosureofreasonforunpaiddividendpayablewithagingover1year
（2）Otherpayables1）Otherpayableslistedbynature
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Restrictedsharesrepoobligations | 173,032,675.00 | 57,578,920.00 |
| Freightandmiscellaneouscharges | 34,794,242.70 | 39,930,705.16 |
| Productwarrantyfee | 3,023,787.70 | 3,114,096.06 |
| Guaranteedeposit | 19,318,281.20 | 18,044,694.61 |
| Rentandpropertyfee | 4,621,092.70 | 2,609,059.40 |
| Compensationforproductqualityloss | 20,502,176.15 | 1,125,611.68 |
| Collectionandpaymentfortalentincentive | 2,000,000.00 | 1,969,150.29 |
| Others | 34,282,890.73 | 35,092,227.68 |
| Total | 291,575,146.18 | 159,464,464.88 |
28.Non-currentliabilitiesduewithinoneyear
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Guaranteedloans | 222,000,000.00 | |
| Accruedinterest | 228,097.22 | |
| Total | 222,228,097.22 |
Otherremarks:
29.Long-termborrowings
（1）Categoriesoflong-termborrowings
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Securedborrowings | 790,582,938.30 | |
| Overseasloanunderdomesticguarantee | 467,285,650.00 | 392,371,834.47 |
| Accruedinterest | 1,245,176.84 | 510,445.62 |
| Total | 1,259,113,765.14 | 392,882,280.09 |
30.Long-termpayables
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Long-termpayables | 92,435,999.26 | 94,235,857.77 |
| Total | 92,435,999.26 | 94,235,857.77 |
（1）Long-termpayableslistedbynature
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Payablesforfinancialleasing | 90,811,210.12 | 92,607,634.64 |
| Stockappreciationrightsdeposit | 1,624,789.14 | 1,628,223.13 |
Otherremarks:
Payablesforfinancialleasing
| Remainingleaseterm | Amount |
| Within1year(including1year) | 7,623,284.47 |
| 1to2years | 7,078,477.83 |
| 2to3years | 10,192,259.83 |
| Over3years | 74,697,343.36 |
| Subtotal | 99,591,365.49 |
| Less:Unrecognizedfinancingcharges | 8,780,155.37 |
| Subtotal | 90,811,210.12 |
31.Deferredincome
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance | Reason |
| Governmentgrants | 82,537,550.43 | 5,184,500.00 | 8,628,693.11 | 79,093,357.32 | |
| Total | 82,537,550.43 | 5,184,500.00 | 8,628,693.11 | 79,093,357.32 | -- |
Projectsrelatedtogovernmentgrants:
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | GrantsincludedintoNon-operatingrevenueincurrentperiod | Theamountrecordedasotherincomeincurrentperiod | offsettingcostandexpensesincurrentperiod | Otherchanges | Closingbalance | Relatedtoassets/relatedtoincome |
| ComprehensiveinvestmentawardfortechnologicaltransformationofindustrialenterprisesinWuhuCity | 3,343,136.00 | 178,944.00 | 3,164,192.00 | Relatedtoassets | ||||
| PolicygrantforWuhuCity'sstrongindustrialbaseandmanufacturingstrongprovince | 795,000.00 | 45,000.00 | 750,000.00 | Relatedtoassets | ||||
| Grantforanannualoutputof2millionsetsofhigh-efficiencyenergy-savinginvertercontrollers | 2,295,417.72 | 257,973.82 | 2,037,443.90 | Relatedtoassets | ||||
| Specialfundgrantformultistoryfactorybuildingsofsmallandmedium-sizedenterprises | 5,215,120.26 | 110,959.98 | 5,104,160.28 | Relatedtoassets | ||||
| Four-wayreversingvalveoptimizationproject | 733,333.40 | 79,999.98 | 653,333.42 | Relatedtoassets |
| 624,038.60 | 63,461.52 | 560,577.08 | Relatedtoassets | |||
| Industrialtransferprojectsandsingleequipmentinvestmentgrant | 450,690.70 | 450,690.70 | Relatedtoassets | |||
| Comprehensiveawardandcompensationforinvestmentintechnologicaltransformationofindustrialenterprises | 2,218,666.33 | 209,178.54 | 2,009,487.79 | Relatedtoassets | ||
| Industrialtransformationandupgrading,technologicaltransformationandindustrial | 1,615,259.34 | 101,212.50 | 1,514,046.84 | Relatedtoassets |
| investment | |||||||
| Grantforresearchanddevelopmentprojectofultrasonicargonprotectedweldingself-fusionconnectiontechnologyforliquidstoragetank | 1,000,000.00 | 49,999.98 | 950,000.02 | Relatedtoassets | |||
| Grantfortechnicaltransformationprojectofnewlyincreased800000setsofheatexchangerperyear | 3,032,000.00 | 379,000.00 | 2,653,000.00 | Relatedtoassets | |||
| Technicaltransformationprojectofannualoutputof100000largeheatexchangers | 5,008,290.00 | 357,735.00 | 4,650,555.00 | Relatedtoassets | |||
| Grantforcommercialmachinemicro-channelheatexchangertechnicaltransformationproject | 2,030,050.00 | 369,100.00 | 1,660,950.00 | Relatedtoassets | |||
| Grantforair-conditioningcomponentmicro-channelheatexchangerproject | 1,000,000.00 | 500,000.00 | 500,000.00 | Relatedtoassets | |||
| Grantforprojectofanannualoutputof15millioncommercialrefrigerationandair-conditioningautomaticcontrolcomponents | 4,898,000.16 | 1,224,499.98 | 3,673,500.18 | Relatedtoassets | |||
| IntelligentfactorytechnologicaltransformationprojectbasedonTheInternetofThingstechnology | 4,124,999.93 | 250,000.02 | 3,874,999.91 | Relatedtoassets | |||
| GrantforinnovationabilityconstructionprojectofNationalEnterpriseTechnologyCenter | 3,750,000.12 | 312,499.98 | 3,437,500.14 | Relatedtoassets | |||
| Grantforconstructionprojectofpublictestanddetectionserviceplatformforrefrigerationcomponents | 1,399,999.72 | 350,000.04 | 1,049,999.68 | Relatedtoassets | |||
| Grantfortheconstructionprojectofautomaticcontrolcomponentsforresidentialairconditionerswithanannualoutputof10million | 960,000.00 | 240,000.00 | 720,000.00 | Relatedtoassets | |||
| Grantforconstructionprojectofpublicinspectionandtestingserviceplatformforautomobileairconditioningparts | 641,666.83 | 192,499.98 | 449,166.85 | Relatedtoassets | |||
| Annualproductionof3millionself-circulatingsuperconducting | 816,750.00 | 49,500.00 | 767,250.00 | Relatedtoassets |
| platestechnologyproject | |||||||
| Grantforconstructionprojectof25millionsetsofnewenergy-savingandenvironmentalprotectionvariablefrequencyairconditioningexpansionvalve | 476,000.24 | 67,999.98 | 408,000.26 | Relatedtoassets | |||
| Grantforpollutionsourcetreatmentproject | 1,347,391.67 | 89,450.00 | 1,257,941.67 | Relatedtoassets | |||
| Grantfortheannualproductionof11.5millionsetsofnewenergyautopartsproject | 5,280,000.00 | 4,184,500.00 | 384,224.96 | 9,080,275.04 | Relatedtoassets | ||
| Grantforthetechnicaltransformationprojectwithanannualoutputof2millionsetsofair-conditioningparts | 2,760,000.08 | 276,000.00 | 2,484,000.08 | Relatedtoassets | |||
| Grantfor1millionsetsofair-conditioningthermalsensortechnologytransformationofnewenergyvehicle | 6,407,450.08 | 457,674.98 | 5,949,775.10 | Relatedtoassets | |||
| Grantfortheindustrializationprojectof20millionrefrigerationandairconditioningautomaticcontrolcomponents | 1,443,272.70 | 582,217.50 | 861,055.20 | Relatedtoassets | |||
| Grantforintelligentmanufacturingtechnologytransformationprojectof6millionsetsofcommercialrefrigerationcomponentsperyear | 2,991,220.00 | 180,000.00 | 2,811,220.00 | Relatedtoassets | |||
| Grantfortechnicaltransformationprojectofintelligentmanufacturingofrefrigerationcomponents | 6,628,400.00 | 414,274.99 | 6,214,125.01 | Relatedtoassets | |||
| Grantfortechnicaltransformationprojectof30millionsetsofhighefficiencyenergysavingrefrigerationandairconditioningcontrolcomponents | 7,200,000.00 | 400,000.01 | 6,799,999.99 | Relatedtoassets | |||
| Grantforenergy-savingprojectwithanannualoutputof35millionsetsofL-typefour-wayreversingvalveforairconditioners | 3,051,396.55 | 455,285.37 | 2,596,111.18 | Relatedtoassets | |||
| Subtotal | 82,537,550.4 | 5,184,500.00 | 8,628,693.11 | 79,093,357.32 |
Otherremarks:
32.Othernon-currentliabilities
Unit:RMB
Items
| Items | Closingbalance | Openingbalance |
| Engineeringagentconstructionfund | 32,512,629.00 | 32,512,629.00 |
| Long-termemployeerightsprotectionpayment | 49,923,317.79 | 49,276,299.52 |
| Total | 82,435,946.79 | 81,788,928.52 |
Otherremarks:
Accordingtolocalinvestmentpromotionpolicies,the"sevenconnectionsandoneleveling"projectoftheconstructionlandoftheWuhucityiscompletedbyWuhuhigh-techIndustrialDevelopmentZoneAdministrationCommittee.Asthestate-ownedassetsmanagementunitofWuhuhigh-techIndustrialDevelopmentZone,WuhuXinmaInvestmentCo.,Ltd.andWuhuHigh-techConstructionDevelopmentCo.,Ltd.entrustedWuhuSanhuaAuto-controlComponentsCo.,LtdandWuhuSanhuaTechnologyCo.,Ltd.tobuildthe"sevenconnectionsandoneleveling"project,andallocatedRMB72.03millionasengineeringfund.AsofJune30,2020,theaccumulatedamountofhedgingandwritten-offofengineeringagentconstructionfundandprojectexpensewasRMB39.5174million,andtheamounttobewritten-offattheendoftheperiodwasRMB32.5126million.
Long-termemployeerightsprotectionpayment:retirementpensionsofMr.HaraldSchrottwhoistheformeractualcontrolleroftheGermanyAwecoresidentialappliancesbusiness,andhisfatherHugoSchrott.BasedonAustrianlaborlaw,one-timewelfarecompensationforterminationoflaborcontractandone-timewelfarecompensationforretirement,disabilityanddeath.Theamountofsuchliabilitiesisestimatedanddeterminedbyanindependentactuary.
33.Sharecapital
Unit:RMB
| Openingbalance | Changedamountofcurrentperiod（+/-） | Closingbalance | |||||
| Issueofnewshares | Bonusshares | Reservetransferredtoshares | Others | Subtotal | |||
| Totalshares | 2,765,657,898.00 | 826,675,080.00 | -291,200.00 | 826,383,880.00 | 3,592,041,778.00 | ||
Otherremarks:
1ApprovedbytheCompany’sshareholdersmeeting,theCompanytransferred826,675,080sharestoall
shareholders(excludingreposhareholders)withcapitalreserveattheratioofincreasing3sharesforevery10shares.
2Repoandwrite-downof291,200sharesofequityincentiverestrictedsharesthathavenotmetunlock
condition.
34.Capitalreserve
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| Capitalpremium（Sharepremium） | 970,924,083.94 | 877,522,810.00 | 93,401,273.94 | |
| Othercapitalreserve | 119,875,938.12 | 30,463,131.96 | 150,339,070.08 | |
| Total | 1,090,800,022.06 | 30,463,131.96 | 877,522,810.00 | 243,740,344.02 |
Otherremarks,includingchangesinthecurrentperiod:
①Incurrentperiod,theCompanygranted12.045millionrestrictedsharestoincentiveobjectswiththereposharesinthepreviousperiod,thegrantpricewasRMB9.85pershare,andatotalofRMB118,643,250.00wasraised.TreasurysharesdecreasedRMB167,907,300.00,andsharepremiumdecreasedRMB49,264,050.00.Therestrictedshareshavenotmettheunlockcondition,theCompanyaccountedthemastreasuryshares,andrecognizedrelatedliabilitiesforrepoobligation.
②Repoandcancellationofequityincentiverestrictedsharesthathavenotmettheunlockcondition,sharecapitaldecreasedRMB291,200.00,treasurysharesdecreasedRMB1,874,880.00,SharepremiumdecreasedRMB1,583,680.00.
③Duetotransfercapitalreservetosharecapital,SharepremiumdecreasedRMB826,675,080.00.
④OthercapitalreserveincreasedRMB30,463,131.96duetotheconfirmationofshare-basedpaymentremuneration.
35.Treasuryshares
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| Restrictedshares | 59,453,800.00 | 118,643,250.00 | 5,064,375.00 | 173,032,675.00 |
| Reposhares | 304,327,351.34 | 167,907,300.00 | 136,420,051.34 | |
| Total | 363,781,151.34 | 118,643,250.00 | 172,971,675.00 | 309,452,726.34 |
Otherremarks,includingchangedamountofthecurrentperiodandmovementreason:
①Incurrentperiod,theCompanygranted12.045millionrestrictedsharestoincentiveobjectswiththereposharesinthepreviousperiod,thegrantpricewasRMB9.85pershare,andatotalofRMB118,643,250.00wasraised.TreasurysharesdecreasedRMB167,907,300.00,andsharepremiumdecreasedRMB49,264,050.00.Therestrictedshareshavenotmettheunlockcondition,theCompanyaccountedthemastreasuryshares,andrecognizedrelatedliabilitiesforrepoobligation.
②Repoandcancellationofequityincentiverestrictedsharesthathavenotmettheunlockcondition,sharecapitaldecreasedRMB291,200.00,treasurysharesdecreasedRMB1,874,880.00,SharepremiumdecreasedRMB1,583,680.00.
③InMay2020,theCompanyimplementedthe2019equitydistributionwithadividendofRMB3,189,495.00forequityincentiverestrictedshares,andthetreasurysharesandrepoobligationspayablewerereducedbythesameamount.
36.Othercomprehensiveincome(OCI)
Unit:RMB
| Items | Openingbalance | Changedamountofthecurrentperiod | Closingbalance | |||||
| Currentperiodcumulativebeforeincometax | Less:OCIcarriedforwardtransferredtoprofitorloss | Less:OCIcarriedforwardtransferredtoundistributedprofit | Less:incometaxexpense | AttributabletotheparentCompanyaftertax | AttributabletoNon-controllinginterestaftertax | |||
| Itemstobereclassifiedsubsequentlytoprofitorloss | -39,332,748.50 | -26,456,121.98 | -26,456,121.98 | -65,788,870.48 | ||||
| Translationreserves | -39,332,748.50 | -26,456,121.98 | -26,456,121.98 | -65,788,870.48 | ||||
| Othercomprehensiveincomeintotal | -39,332,748.50 | -26,456,121.98 | -26,456,121.98 | -65,788,870.48 | ||||
Otherremarks,includingtheeffectivepartofthecashflowhedgeprofitandlossesconvertedintotheinitialrecognizedamountadjustmentofthehedgeditem
37.Surplusreserve
Unit:RMB
| Items | Openingbalance | Increasedincurrentperiod | Decreasedincurrentperiod | Closingbalance |
| Statutorysurplusreserve | 533,401,562.81 | 533,401,562.81 | ||
| Discretionarysurplusreserve | 8,681,137.20 | 8,681,137.20 | ||
| Reservefund | 17,813,919.38 | 17,813,919.38 | ||
| Total | 559,896,619.39 | 559,896,619.39 |
Remarksonsurplusreserve,includingmovementincurrentperiodandthereasonforchanges:
38.Undistributedprofit
Unit:RMB
| Items | Currentperiod | Previousperiod |
| Balancebeforeadjustmentattheendofthepreviousperiod | 5,278,392,288.84 | 4,488,881,759.86 |
| Add:Increaseduetoadjustment(orless:decrease) | 8,359,634.19 | |
| Openingbalanceafteradjustment | 5,278,392,288.84 | 4,497,241,394.05 |
| Add:NetprofitattributabletoshareholdersoftheparentCompanyforcurrentyear | 643,481,717.35 | 692,968,498.78 |
| Payabledividendsonordinaryshares | 413,337,540.30 | 529,175,886.50 |
| Closingbalance | 5,508,536,465.89 | 4,661,034,006.33 |
39.OperatingrevenueandOperatingcost
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative | ||
| Revenue | Cost | Revenue | Cost | |
| Mainoperations | 5,154,036,483.16 | 3,687,894,611.98 | 5,657,122,904.62 | 4,013,821,685.14 |
| Otheroperations | 164,142,143.61 | 151,731,392.72 | 173,984,123.46 | 166,094,028.84 |
| Total | 5,318,178,626.77 | 3,839,626,004.70 | 5,831,107,028.08 | 4,179,915,713.98 |
Otherremarks
40.Taxesandsurcharges
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Urbanmaintenanceandconstructiontax | 11,285,362.07 | 14,559,842.14 |
| Educationsurcharge | 5,862,443.58 | 7,549,103.76 |
| Housingpropertytax | 7,739,313.64 | 8,186,257.92 |
| Landusetax | 3,936,973.44 | 3,028,888.30 |
| Stampduty | 1,718,299.51 | 1,675,871.24 |
| Localeducationsurcharge | 3,917,789.39 | 5,008,401.78 |
| Localfoundationforwaterworks | 317,066.13 | 414,168.96 |
| Others | 1,532,392.64 | 1,436,057.10 |
| Total | 36,309,640.40 | 41,858,591.20 |
Otherremarks:
41.Sellingexpenses
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Laborcost | 89,959,268.53 | 79,600,268.77 |
| Warehousing,freightandmiscellaneouscharges | 107,209,661.24 | 107,031,581.41 |
| Entertainmentexpense | 11,184,991.26 | 16,553,036.80 |
| Travelexpense | 7,216,150.87 | 13,477,802.75 |
| Marketmaintenancefee | 21,127,233.51 | 21,270,851.67 |
| Advertisingexpense | 3,565,221.92 | 3,956,700.74 |
| Others | 17,179,973.21 | 21,840,634.79 |
| Total | 257,442,500.54 | 263,730,876.93 |
Otherremarks:
42.Administrativeexpenses
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Laborcost | 180,394,958.75 | 174,052,375.18 |
| Share-basedpaymentremuneration | 31,363,797.18 | 9,774,107.10 |
| Officeexpense | 37,525,515.30 | 33,355,750.99 |
| Entertainmentexpense | 4,931,757.55 | 6,478,275.37 |
| Depreciationandamortizationexpense | 33,079,843.36 | 33,472,260.81 |
| Intermediaryservicefee | 15,638,721.85 | 19,300,454.09 |
| Vehicleexpense | 3,554,310.73 | 4,306,818.34 |
| Others | 8,861,840.43 | 23,554,692.08 |
| Total | 315,350,745.15 | 304,294,733.96 |
Otherremarks:
43.R&Dexpenses
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Laborcost | 133,441,569.36 | 127,060,317.33 |
| Materialandpowerexpense | 70,421,777.52 | 85,322,408.05 |
| Depreciationandamortizationexpense | 16,095,750.47 | 13,213,234.08 |
| Moldmanufacturingfee | 9,274,489.97 | 11,183,661.11 |
| Travelexpense | 1,444,769.03 | 3,375,949.73 |
| Royalties | 1,278,190.44 | 1,240,756.22 |
| OutsourcingR&Dexpense | 734,967.97 | 772,130.15 |
| Others | 7,321,413.62 | 6,337,949.26 |
| Total | 240,012,928.38 | 248,506,405.93 |
Otherremarks:
44.Financialexpenses
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Interestexpense | 32,558,310.10 | 26,919,773.79 |
| Interestincome | -19,167,271.27 | -11,053,538.87 |
| Bankfinancingfee | 1,399,332.23 | 1,443,399.75 |
| Cashdiscount | -1,126,936.47 | -1,178,667.37 |
| Exchangegainsorlosses | -45,679,616.29 | -5,962,024.68 |
| Others | 2,122,784.66 | 2,195,792.27 |
| Total | -29,893,397.04 | 12,364,734.89 |
Otherremarks:
45.Otherincome
Unit:RMB
| Sourceoftheotherincome | Currentperiodcumulative | Precedingperiodcomparative |
| Governmentgrants | 100,414,953.91 | 52,433,523.85 |
| Including:VATrefundofcivilwelfareenterprises | 5,134,826.02 | 5,799,299.40 |
| VATrefundonsoftwareproductsinexcessoftaxburden | 1,689,841.68 | 952,293.40 |
| Othergovernmentgrants | 93,590,286.21 | 45,681,931.05 |
| Handlingfeesforwithholdingindividualincometax | 1,113,187.32 | |
| Total | 101,528,141.23 | 52,433,523.85 |
46.Investmentincome
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Investmentincomefromlong-termequity | 1,826,673.64 | 508,944.08 |
| investmentsunderequitymethod | ||
| Investmentincomeofbankfinancingproducts | 20,408,132.79 | 23,795,957.11 |
| Gainsandlossesonsettlementoffuturescontracts | -17,407,734.45 | -1,037,334.40 |
| Gainsandlossesonsettlementofforeignexchangecontract | -12,822,186.77 | 7,090,688.55 |
| Billdiscountinterest | -114,807.17 | |
| Total | -8,109,921.96 | 30,358,255.34 |
Otherremarks:
47.Gainsorlossesonchangesinfairvalue
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Floatingincomeofbankfinancingproducts | -300,099.30 | |
| Floatingincomeoffuturescontracts | 18,412,630.80 | 493,499.16 |
| Floatingincomeofforeignexchangecontract | -11,592,485.54 | 7,942,917.80 |
| Total | 6,520,045.96 | 8,436,416.96 |
Otherremarks:
48.Creditimpairmentloss
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Provisionforbaddebt | -12,874,290.80 | -19,122,897.76 |
| Total | -12,874,290.80 | -19,122,897.76 |
Otherremarks:
49.Assetsimpairmentloss
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Ⅱ.Inventorywrite-downlossandcontractperformancecostimpairmentloss | -6,302,857.17 | -22,535,866.59 |
| Total | -6,302,857.17 | -22,535,866.59 |
Otherremarks:
50.Gainsonassetdisposal
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Gainsondisposaloffixedassets | -319,355.00 | -122,323.66 |
51.Non-operatingrevenue
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative | Amountrecordedintothecurrentnon-recurringprofitandloss |
| Gainsfromretirementoffixedassets | 26,006.68 | 6,896.55 | 26,006.68 |
| Compensationandpenaltyincome | 471,406.19 | 2,125,490.08 | 471,406.19 |
| Exemptedpayment | 637,810.13 | 250,063.97 | 637,810.13 |
| Others | 331,761.81 | 335,333.34 | 331,761.81 |
| Total | 1,466,984.81 | 2,717,783.94 | 1,466,984.81 |
52.Non-operatingexpenditures
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative | Amountincludedinnon-recurringprofitorloss |
| Donationexpenditures | 52,072.82 | 44,582.08 | 52,072.82 |
| Lossesonretirementoffixedassets | 1,109,947.20 | 1,055,756.60 | 1,109,947.20 |
| Others | 192,059.13 | 157,478.28 | 192,059.13 |
| Total | 1,354,079.15 | 1,257,816.96 | 1,354,079.15 |
Otherremarks:
53.Incometaxexpenses
（1）Incometaxexpenses
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Currentperiodincometaxexpenses | 90,079,636.80 | 146,707,979.68 |
| Deferredincometaxexpenses | 8,937,711.57 | -3,826,432.80 |
| Total | 99,017,348.37 | 142,881,546.88 |
（2）Reconciliationofaccountingprofittoincometaxexpenses
Unit:RMB
| Items | Currentperiodcumulative |
| Profitbeforetax | 739,884,872.56 |
| Incometaxexpensebasedonstatutory/applicabletaxrate | 115,033,160.69 |
| Effectofpriorincometaxreconciliation | -7,748,107.85 |
| Effectofdeducibletemporarydifferencesordeductiblelossesnotrecognized | 571,518.93 |
| Adjustmentofpermanentdifferences | -8,839,223.40 |
| Incometaxexpenses | 99,017,348.37 |
Otherremarks
54.OthercomprehensiveincomePleaserefertothenotesofbalancesheetitemsandothercomprehensiveincomefordetails.
55.NotestoitemsoftheconsolidatedcashflowstatementNote:Basedontheindividualfinancialstatements,bankfinanceproducts,restrictedfunds,collectionsandpaymentsarealllistedintermsofnetchanges.
（1）Othercashreceiptsrelatedtooperatingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Governmentgrants | 88,442,413.04 | 37,681,612.93 |
| Netchangeinrestrictedfunds | 22,717,257.39 | |
| Interestincome | 19,167,271.27 | 10,600,273.83 |
| Rentalincome | 5,168,725.74 | 5,610,795.32 |
| Guaranteedeposit,etc. | 26,203,437.00 | 44,574,691.16 |
| Total | 138,981,847.05 | 121,184,630.63 |
Theremarksofothercashreceiptsrelatedtooperatingactivities:
（2）Othercashpaymentsrelatedtooperatingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Netchangeinrestrictedfunds | 56,390,427.84 | 494,179.42 |
| Guaranteedeposit | 901,638.78 | 6,110,490.15 |
| Expensepaymentsfortheperiod | 315,998,963.23 | 356,964,742.86 |
| Total | 373,291,029.85 | 363,569,412.43 |
Theremarksofothercashpaymentsrelatedtooperatingactivities:
（3）Othercashreceiptsrelatedtoinvestingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Redemptionofbankfinancingproducts | 276,799,043.00 | 615,000,000.00 |
| Netchangeinrestrictedfunds | 850,000.00 | 891,000.00 |
| Depositoflandtransfer | 5,000,000.00 | |
| Callloansinterest | 23,127.51 | |
| Total | 277,649,043.00 | 620,914,127.51 |
Theremarksofothercashreceiptsrelatedtoinvestingactivities:
（4）Othercashpaymentsrelatedtoinvestingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Paymentsforpurchasingbankfinancingproducts | 505,000,000.00 | 13,000,000.00 |
| Netchangeinrestrictedfunds | 8,965,073.04 | 12,864,757.37 |
| Lossonforeignexchangecontractsettlement | 12,129,251.67 | |
| Lossonfuturescontractsettlement | 14,109,054.76 | |
| Callloans | 2,000,000.00 | |
| Total | 540,203,379.47 | 27,864,757.37 |
Theremarksofothercashpaymentsrelatedtoinvestingactivities:
（5）Othercashreceiptsrelatedtofinancingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Netchangeinrestrictedfunds | 26,080,652.17 | 58,902,676.13 |
| Total | 26,080,652.17 | 58,902,676.13 |
Theremarksofothercashpaymentsrelatedtoinvestingactivities:
（6）Othercashpaymentsrelatedtofinancingactivities
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Bankfinancingfee | 1,399,332.23 | 1,443,399.75 |
| Repaymentoffinanceleaseandinterest | 2,380,973.66 | 5,346,642.30 |
| Expensesforacquiringnon-controllinginterestinsubsidiaries | 9,238,318.85 | |
| Reposharesexpenses | 186,107,164.63 | |
| Total | 3,780,305.89 | 202,135,525.53 |
Theremarksofothercashpaymentsrelatedtofinancingactivities:
56.Supplementinformationtothecashflowstatement
（1）Supplementinformationtothecashflowstatement
Unit:RMB
| Supplementinformation | Currentperiodcumulative | Precedingperiodcomparative |
| 1.Reconciliationofnetprofittocashflowfromoperatingactivities: | -- | -- |
| Netprofit | 640,867,524.19 | 688,461,499.43 |
| Add:Provisionforassetsimpairmentloss | 19,177,147.97 | 41,658,764.35 |
| Depreciationoffixedassets,oilandgasassets,productivebiologicalassets | 188,283,241.38 | 159,606,292.28 |
| Amortizationofintangibleassets | 9,406,201.41 | 10,687,228.25 |
| AmortizationofLong-termprepayments | 4,013,736.74 | 4,552,556.67 |
| Lossondisposaloffixedassets,intangibleassetsandotherlong-termassets(Less:gains) | 319,355.00 | 122,323.66 |
| Lossonretirementoffixedassets(Less:gains) | 1,083,940.52 | 1,048,860.05 |
| Lossesonchangesinfairvalue(Less:gains) | -6,520,045.96 | -8,436,416.96 |
| Financialexpenses(Less:gains) | 33,957,642.33 | 26,709,252.54 |
| Investmentincome(Less:gains) | 8,109,921.96 | -30,358,255.34 |
| Decreaseofdeferredtaxassets(Less:increase) | 4,667,823.78 | -6,184,126.60 |
| Increaseofdeferredtaxliabilities(Less:decrease) | 4,269,887.79 | 677,648.21 |
| Decreaseininventories(Less:increase) | 271,639,352.73 | 199,333,205.56 |
| Decreaseinoperatingreceivables(Less:increase) | 112,901,508.32 | -272,007,374.07 |
| Increaseofoperatingpayables(Less:decrease) | -218,889,585.92 | 4,859,823.30 |
| Others | 31,363,797.18 | 9,823,629.60 |
| Netcashflowfromoperatingactivities | 1,104,651,449.42 | 830,554,910.93 |
| 2.Significantinvestingandfinancingactivitiesnotrelatedtocashreceiptsandpayments: | -- | -- |
| 3.Netchangesincashandcashequivalents: | -- | -- |
| Closingbalanceofcash | 3,263,679,215.37 | 1,573,138,270.95 |
| Less:Openingbalanceofcash | 2,553,783,015.01 | 1,164,542,861.48 |
| Netincreaseofcashandcashequivalents | 709,896,200.36 | 408,595,409.47 |
（2）Compositionofcashandcashequivalents
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Ⅰ.Cash | 3,263,679,215.37 | 2,553,783,015.01 |
| Including:Cashonhand | 572,367.71 | 417,814.58 |
| Cashinbankthatcanbereadilydrawnondemand | 3,263,106,847.66 | 2,553,365,200.43 |
| Ⅲ.Cashandcashequivalentsatendofyear | 3,263,679,215.37 | 2,553,783,015.01 |
Otherremarks:
57.Assetswithrestrictiononownershiporuserights
Unit:RMB
| Items | Carryingamountattheendoftheperiod | Causeofrestriction |
| CashandBankBalances | 148,361,603.85 | Guaranteedepositanddeposited |
| investmentfund | ||
| Notesreceivable | 1,264,550,094.76 | Pledgefinancing |
| Total | 1,412,911,698.61 | -- |
Otherremarks:
58.Monetaryitemsinforeigncurrencies
（1）Monetaryitemsinforeigncurrencies
Unit:RMB
| Items | Closingbalanceinforeigncurrencies | Exchangerate | RMBequivalent |
| Cashandbankbalances | |||
| Including:USD | 88,601,273.08 | 7.0795 | 627,252,712.77 |
| EUR | 12,102,158.73 | 7.9610 | 96,345,285.65 |
| Othercurrencies | 143,557,821.59 | ||
| Subtotal | 867,155,820.01 | ||
| Derivativefinancialassets | |||
| Including:USD | 1,096,031.70 | 7.0795 | 7,759,356.42 |
| EUR | 7,436.83 | 7.9610 | 59,204.60 |
| Subtotal | 7,818,561.02 | ||
| Accountsreceivable | |||
| Including:USD | 129,685,575.47 | 7.0795 | 918,109,031.54 |
| EUR | 25,679,783.62 | 7.9610 | 204,436,757.40 |
| Othercurrencies | 84,787,541.78 | ||
| Subtotal | 1,207,333,330.72 | ||
| Otherreceivables | |||
| Including:USD | 947,584.77 | 7.0795 | 6,708,426.38 |
| EUR | 151,029.24 | 7.9610 | 1,202,343.78 |
| Othercurrencies | 13,691,631.92 | ||
| Subtotal | 21,602,402.08 | ||
| Long-termreceivable | |||
| Including:EUR | 182,999.97 | 7.9610 | 1,456,862.76 |
| Subtotal | 1,456,862.76 | ||
| Short-termborrowings | |||
| Including:USD | 35,000,000.00 | 7.0795 | 247,782,500.00 |
| EUR | 45,379,501.79 | 7.9610 | 361,266,213.75 |
| Subtotal | 609,048,713.75 | ||
| Derivativefinancialliabilities | |||
| Including:USD | 508,835.62 | 7.0795 | 3,602,301.77 |
| Othercurrencies | 4,168,901.99 | ||
| Subtotal | 7,771,203.76 | ||
| Accountspayable | |||
| Including:USD | 8,261,395.33 | 7.0795 | 58,486,548.24 |
| EUR | 6,168,103.96 | 7.9610 | 49,104,275.63 |
| Othercurrencies | 10,883,916.14 | ||
| Subtotal | 118,474,740.01 | ||
| Otherpayables | |||
| Including:USD | 2,961,019.03 | 7.0795 | 20,962,534.22 |
| EUR | 1,412,922.11 | 7.9610 | 11,248,272.92 |
| Othercurrencies | 9,912,810.69 | ||
| Subtotal | 42,123,617.83 | ||
| Long-termborrowings | |||
| Including:USD | 52,607,400.00 | 7.0795 | 372,434,088.30 |
| EUR | 14,500,000.00 | 7.9610 | 115,434,500.00 |
| Subtotal | 487,868,588.30 | ||
| Long-termpayables | |||
| Including:USD | 82,565.00 | 7.0795 | 584,518.92 |
| EUR | 11,521,992.44 | 7.9610 | 91,726,581.81 |
| Othercurrencies | 124,898.53 | ||
| Subtotal | 92,435,999.26 |
Otherremarks:
（2）Notesonoverseasoperatingentities,includingforthesignificantoverseasoperatingentities,itsmainoperatinglocations,reportingcurrencyandthebasisforselectionshouldbedisclosed,andthereasonforchangesinreportingcurrencyshouldalsobedisclosed.
√Applicable□NotApplicable
TheCompanyhasseveraloverseassubsidiaries,locateintheUnitedStates,Europe,Japan,Poland,Mexicoandothercountries,whereUSdollars,Japaneseyen,Polishzloty,Mexicanpesos,etc.areusedasthestandardreportingcurrency.
59.Governmentgrants
（1）Details
1)GovernmentgrantsrelatedtoassetsFordetails,pleaserefertoexplanationofdeferredincomeinthenotesoftheconsolidatedfinancialstatements.
2)Governmentgrantsrelatedtoincomeandusedtocompensaterelevantcost,expensesorlosses.
| Items | Currentperiodcumulative | FinancialReportItems |
| AwardofMeizhuindustrialparkconstructionproject | 41,560,300.00 | Otherincome |
| SubsidyofCOVID-19 | 10,344,959.70 | Otherincome |
| Refundofsocialsecurityexpenses | 7,403,385.72 | Otherincome |
| Awardofindustrysupportfund | 7,104,236.00 | Otherincome |
| AwardofenterpriseR&Dinvestment | 5,736,773.27 | Otherincome |
| VATrefundofcivilwelfareenterprises | 5,134,826.02 | Otherincome |
| Subsidyandawardoftechnologicalinnovationandentrepreneurship | 4,115,700.00 | Otherincome |
| Specialfundsforforeigntradeandeconomicdevelopment | 2,381,300.00 | Otherincome |
| VATrefundonsoftwareproductsinexcessoftaxburden | 1,689,841.68 | Otherincome |
| Talentintroductionandjobstabilizationsubsidies | 1,514,013.37 | Otherincome |
| Awardofurbanlandusetaxpolicy | 1,307,700.00 | Otherincome |
| Enterpriseoperationdevelopmentreward | 1,090,000.00 | Otherincome |
| Rewardofindustrialinformationdevelopment | 984,100.00 | Otherincome |
| Others | 1,419,125.04 | Otherincome |
| Subtotal | 91,786,260.80 |
(2).TheamountofgovernmentgrantincludedintheprofitorlossstatementinthecurrentperiodisRMB100,414,953.91
Ⅷ.Changesintheconsolidationscope
1.ChangesinconsolidationscopeduetootherreasonsChangesinconsolidationscopeduetootherreasonsandrelatedinformation(suchasnewlyestablishedsubsidiary,liquidationsubsidiary,etc.
| Entityname | Disposalmethod | Deregisterdate | Netassetsofthederegisterdate | Netprofitfromthebeginningdatetoderegisterdate |
| HangzhouSanhuaHomeApplianceThermalManagementSystemCo.,Ltd | Liquidationcancellation | 2020/5/18 | 147,448.25 | -80,047.52 |
| AwecoAppliance(Shanghai)Co.,Ltd | Liquidationcancellation | 2020/6/2 | 6,669.73 | 22,351.38 |
Ⅸ.Interestinotherentities
1.Interestinsubsidiaries
（1）Compositionofenterprisegroup
| Subsidyname | Mainoperatingplace | Placeofregistration | Businessnature | Holdingproportion | Acquisitionmethod | |
| Direct | Indirect | |||||
| ZhejiangSanhuaTradingCo.,Ltd | Zhejiang | Zhejiang | Commerce | 100.00% | Establishment | |
| ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd | Zhejiang | Zhejiang | Manufacture | 74.00% | 26.00% | Businesscombinationundercommoncontrol |
| ZhejiangSanhuaAutomotiveComponentsCo.,Ltd. | Zhejiang | Zhejiang | Manufacture | 100.00% | Businesscombinationundercommoncontrol | |
| Sanhua(hangzhou)MicroChannelHeatExchangerCo.,Ltd | Zhejiang | Zhejiang | Manufacture | 100.00% | Businesscombinationundercommoncontrol | |
| SanhuaInternationalInc. | USA | USA | Commerce | 100.00% | Businesscombinationundercommoncontrol | |
| SanhuaInternationalSingaporePte.Ltd | Singapore | Singapore | Commerce | 100.00% | Businesscombinationundercommoncontrol | |
Otherremarks:
TheabovesubsidiariesaresignificantsubsidiariesoftheCompany.
2.Interestinjointventurearrangementorassociates
（1）Aggregatedfinancialinformationofinsignificantjointventuresandassociates
Unit:RMB
| Closingbalance/Currentperiodcumulative | Openingbalance/Precedingperiodcomparative | |
| Jointventures: | -- | -- |
| Proportionatesharesinthefollowingitems | -- | -- |
| Associates: | -- | -- |
| TotalCarryingamountofinvestment | 14,348,933.44 | 14,522,259.80 |
| Proportionatesharesinthefollowingitems | -- | -- |
| --Netprofit | 1,826,673.64 | 508,944.08 |
| --Totalcomprehensiveincome | 1,826,673.64 | 508,944.08 |
Otherremarks
X.RisksRelatingtoFinancialInstrumentsTheCompanyhasexposuretothefollowingrisksfromitsuseoffinancialinstruments,whichmainlyinclude:
creditrisk,liquidityrisk,andmarketrisk.TheCompany'soverallriskmanagementstrategyisaimedattheunpredictabilityofthefinancialmarketandstrivestoreducethepotentialadverseeffectsontheCompany'sfinancialperformance.
(I)CreditriskCreditriskistheriskthatonepartytoafinancialinstrumentwillcauseafinanciallossfortheotherpartybyfailingtodischargeanobligation.
1.Creditriskmanagementpractice
(1)EvaluationmethodofcreditriskAteachreportingdate,theCompanyassesseswhetherthecreditriskonafinancialinstrumenthasincreasedsignificantlysinceinitialrecognition.Whenassessingwhetherthecreditriskhasincreasedsignificantlysinceinitialrecognition,theCompanytakesintoaccountreasonableandsupportableinformation,whichisavailablewithoutunduecostoreffort,includingqualitativeandquantitativeanalysisbasedonhistoricaldata,externalcreditriskrating,andforward-lookinginformation.TheCompanydeterminesthechangesindefaultriskoffinancialinstrumentsduringtheestimatedlifetimethroughcomparisonofthedefaultriskatthebalancesheetdateandtheinitialrecognitiondate,onanindividualbasisoracollectivebasis.
TheCompanyconsidersthecreditriskonafinancialinstrumenthasincreasedsignificantlywhenoneormoreofthefollowingqualitativeandquantitativestandardsaremet.Quantitativestandardmainlyrelatestothescenarioinwhich,onthebalancesheetdate,theprobabilityofdefaultintheremaininglifetimehasrisenbymorethanacertainpercentagecomparedwiththeinitialrecognition.Qualitativestandardmainlyrelatestosignificantadversechangesinthedebtor’soperationorfinancialposition,presentorexpectedchangesintechnology,market,economyorlegalenvironmentthatwillhavesignificantadverseimpactonthedebtor’srepaymentability.
(2)Definitionofdefaultandcredit-impairedasset
Afinancialassetiscredit-impairedwhenoneormorefollowingeventshaveoccurred.Thestandardisconsistentwiththedefinitionofcreditimpairment.Thedebtorhassignificantfinancialdifficulty.Thedebtorbreachedthebindingclauseofthecontractonthedebtor.Thedebtorislikelytogobankruptorotherfinancialreorganization.Thecreditorofthedebtor,foreconomicorcontractualreasonsrelatingtothedebtor’sfinancialdifficulty,havinggrantedtothedebtoraconcession(s)thatthecreditorwouldnototherwiseconsider.
2.Measurementofexpectedcreditlosses
Thekeyfactorsinthemeasurementofexpectedcreditlossincludetheprobabilityofdefault,lossrateofdefault,andexposuretodefaultrisk.TheCompanydevelopsamodeloftheprobabilityofdefault,lossrateofdefault,andexposuretodefaultriskonthebasisofquantitativeanalysisofhistoricaldata(e.g.counterpartyrating,guaranteemeasuresandcollateraltype,paymentmethod,etc.)andforward-lookinginformation.
3.Pleasereferto“Notesreceivable”,“Accountsreceivable”,“Otherreceivable”fordetailsonthereconciliationtableofopeningbalanceandclosingbalanceofprovisionforlossesoffinancialinstrument.
4.Exposuretocreditriskandconcentrationofcreditrisk
TheCompany’screditriskisprimarilyattributabletocashandbankbalances,bankfinancialinvestmentsandreceivables.
TheCompanydepositsitsbankbalancesandothercashandbankbalancesinfinancialinstitutionswithrelativelyhighcreditlevels.SomebankacceptancebillsheldbytheCompanyareacceptedandpaidbysmallandmediumfinancialinstitutions.Inaddition,inordertoimprovetheefficiencyofcapitaluse,theCompanyentrustsidlefundstobanksforfinancialinvestment.ThemanagementoftheCompanybelievesthat,basedonthecurrentoperatingstatusofdomesticbanks,bankbalancesandothercash,notesreceivableandbankfinancialinvestmentsarenotcurrentlyfacingseriouscreditrisks.Ifthereisaseriousunfavorabledifferentiationinthebank'screditsysteminthefuture,theCompanywillmakeadjustmentsinduecourse.
TheCompanyperformscreditassessmentoncustomerswhousescreditsettlementonacontinuousbasis.Basedonthecustomer'sfinancialstatus,pastcredithistoryandotherfactors,assessthecustomer'screditrating,andmonitorthebalanceofaccountsreceivabletocontrolcreditriskexposure.Forcustomerswithbadcreditrecords,theCompanywillusewrittenreminders,shortenorcancelcreditperiods,andreducecredittransactionamountstoensurethatthereisnomajorriskofbaddebts.
TheCompanyconductstransactionswithrecognizedandcreditworthycustomers,andthecreditriskiscentralizedandmanagedonthebasisofcustomers.AsofJune30,2020,theCompanyhasacertainconcentrationofcreditrisk,and34.01%ofaccountsreceivablewasduefromthefivelargestcustomersoftheCompany.TheCompanyheldnocollateralorothercreditenhancementonbalanceofreceivables.
ThemaximumamountofexposuretocreditriskoftheCompanyisthecarryingamountofeachfinancialassetonthebalancesheet.
(II)Liquidityrisk
TheCompanycontinuestomonitorshort-termandlong-termfundingneedstoensurethatsufficientcashreservesaremaintained.Atthesametime,theCompanycontinuouslymonitorscompliancewiththeloanagreementtoensurethatthecreditlineobtainedfromcommercialbankscanmeetshort-termorlong-termfundingneeds.Whennecessary,theCompanycanimplementequityfinancing.
AsofJune30,2020,theundiscountedcontractualcashflowsoftheCompany’sfinancialliabilitieslistedbymaturitydateareshowninthefollowingtable.
Financialinstrumentsclassifiedbasedonremainingtimeperiodtillmaturity
| Items | Closingbalance | |||
| Within1year | 1-3years | Over3years | Total | |
| Short-termborrowings（Includeinterest） | 1,275,596,654.06 | 1,275,596,654.06 | ||
| Notespayable | 973,763,888.02 | 973,763,888.02 | ||
| Accountspayable | 1,565,086,777.42 | 1,565,086,777.42 | ||
| Otherpayable | 291,575,146.18 | 291,575,146.18 | ||
| Long-termborrowings（Includeinterest） | 1,324,404,456.90 | 1,324,404,456.90 | ||
| Long-termpayables（Includeinterest） | 17,738,655.90 | 74,697,343.36 | 92,435,999.26 | |
| Subtotal | 4,106,022,465.68 | 1,342,143,112.80 | 74,697,343.36 | 5,522,862,921.84 |
(Continued)
| Items | Openingbalance |
| Within1year | 1-3years | Over3years | Total | |
| Short-termborrowings（Includeinterest） | 1,311,299,960.81 | 1,311,299,960.81 | ||
| Notespayable | 1,130,668,415.32 | 1,130,668,415.32 | ||
| Accountspayable | 1,587,763,752.62 | 1,587,763,752.62 | ||
| Otherpayable | 159,464,464.88 | 159,464,464.88 | ||
| Non-currentliabilitiesduewithinoneyear（Includeinterest） | 223,342,263.89 | 223,342,263.89 | ||
| Long-termborrowings（Includeinterest） | 411,319,664.33 | 411,319,664.33 | ||
| Long-termpayables（Includeinterest） | 194,556.75 | 15,342,264.21 | 78,699,036.81 | 94,235,857.77 |
| Subtotal | 4,412,733,414.27 | 426,661,928.54 | 78,699,036.81 | 4,918,094,379.62 |
(II)MarketRisk
1.InterestRateRiskTheCompany’sinterestriskrelatesmainlytobankborrowings.TheCompany’sfairvalueinterestrisksarisefromfixed-ratefinancialinstruments,whilethecashflowinterestrisksarisefromfloatinginterestfinancialinstruments.TheCompanydeterminestheproportionoffixed-ratefinancialinstrumentsandfloatinginterestratefinancialinstrumentsbasedonthemarketenvironment.AsofJune30,2020,theCompany'sinterest-bearingdebtaccountedforasmallproportion,andtheinterestrateriskitfacedwaswithinacontrollablerange.
TheCompanycontinuestomonitorthelevelofinterestrates.RisinginterestrateswillhaveanadverseimpactontheCompany'sfinancialperformance,andthemanagementwillmakenecessaryresponsemeasuresinatimelymannerbasedonthelatestmarketconditions.
2.Foreigncurrencyrisk
TheCompany'sproductionbasesandsalesmarketsaredistributedindevelopedanddevelopingcountries,includingtheUnitedStates,theEuropeanUnion,Japan,India,Mexico,etc.ThebusinessvolumesettledinEurosandU.S.dollarshasacertainproportion,andtheexchangerateriskisrelativelyhigh.Basedoninternalriskcontrolpolicies,theCompany'smanagementhastakenseveralmeasurestodealwithexchangeraterisks:a.pre-judgmentbasedonthetrendofexchangeratechanges,timelysettlementofforeignexchangereceiptsordelayedsettlementofforeignexchange;b.Carryoutoverseasfinancingthroughdomesticguaranteesandoverseasloanstohedgeforeigncurrencymonetaryassetsandcontrolnetriskexposure;andc.Carryoutforwardexchangesettlementandforeigncurrencyswapbusinesstolockinexchangerates.
AsofJune30,2020,pleasereferto“monetaryitemsinforeigncurrencies”ofnotestofinancialstatementsfordetailsinforeigncurrencyfinancialassetsandliabilities.
XI.DisclosureofFairValues
1.Fairvaluesoftheassetsandliabilitiesattheendoftheperiod
Unit:RMB
| ItemName | Fairvalueasofthebalancesheetdate | |||
| Level1 | Level2 | Level3 | Total | |
| I.Recurringfairvaluemeasurement | -- | -- | -- | -- |
| (I)Held-for-trading | 23,478,931.42 | 1,092,455,485.91 | 129,309,000.00 | 1,245,243,417.33 |
| financialassets | ||||
| 1.Financialassetsmeasuredatfairvaluethroughprofitorloss | 23,478,931.42 | 1,092,455,485.91 | 129,309,000.00 | 1,245,243,417.33 |
| (1)Debtinstrumentinvestments | 1,092,226,291.01 | 129,309,000.00 | 1,221,535,291.01 | |
| (2)Derivativefinancialassets | 23,478,931.42 | 229,194.90 | 23,708,126.32 | |
| Totalamountofassetsconstantlymeasuredattheirfairvalues | 23,478,931.42 | 1,092,455,485.91 | 129,309,000.00 | 1,245,243,417.33 |
| (Ⅵ)Held-for-tradingliabilities | 48,300.00 | 8,401,313.09 | 8,449,613.09 | |
| Derivativefinancialliabilities | 48,300.00 | 8,401,313.09 | 8,449,613.09 | |
| Totalamountofliabilitiesconstantlymeasuredattheirfairvalues | 48,300.00 | 8,401,313.09 | 8,449,613.09 | |
| II.Non-constantmeasurementatfairvalues | -- | -- | -- | -- |
2.Basisfordeterminingthemarketpriceofitemsunderfirstlevelconstantandnon-constantmeasurementatfairvalue.Thefairvalueoffuturescontractsismeasuredattheexchange'sopenmarketquotes.
3.Itemsundersecondlevelconstantandnon-constantmeasurementatfairvalue,valuationtechniqueadopted,andqualitativeandquantitativeinformationofimportantparameters
ThefairvalueofforwardforeignexchangecontractsandbankfinancingproductsismeasuredbasedonthevaluationamountofthehostbankortheforwardforeignexchangerateannouncedbytheBankofChina.Bankfinancingproductsaremeasuredbasedonthevaluationamountoftheissuerormanager.
4.Itemsunderthirdlevelconstantandnon-constantmeasurementatfairvalue,valuationtechniqueadopted,andqualitativeandquantitativeinformationofimportantparameters.
Ifthefairvalueinformationisinsufficient,thebankfinancingproductsaremeasuredatcostonbehalfofthefairvalue.
XII.Relatedpartyrelationshipsandtransactions
1.ParentCompany
| ParentCompany | Placeofregistration | Businessnature | Registeredcapital | HoldingproportionovertheCompany | VotingrightproportionovertheCompany |
| SanhuaHoldingGroupCo.,Ltd | ZhejiangProvince | IndustrialInvestment | 660millionyuan | 50.46% | 50.46% |
RemarksontheparentCompany:
AsofJune30,2020,SanhuaHoldingGroupCo.,Ltd.directlyholds29.78%oftheCompany'sshares,andindirectlyholds20.68%ofthesharesthroughitssubsidiaries,foratotalof50.46%oftheshares.ThefinalcontrollersoftheCompanyareMrZhangDaocai,MrZhangYaboandZhangShaobo.Otherremarks:
2.InformationabouttheCompany'ssubsidiariesPleaserefertosectionIXofnotestofinancialstatements.
3.JointventuresandassociatesoftheCompanyPleaserefertosectionIXofnotestofinancialstatementsfordetailsontheCompany’ssignificantjointventuresandassociates.DetailsofotherjointventuresorassociatescarryingoutrelatedpartytransactionswiththeCompanyincurrentperiodorinprecedingperiodbutwithbalanceincurrentperiodareasfollows:
| Jointventuresorassociates | RelationshipswiththeCompany |
| QingdaoSanhuajinlifengMachineryCo.,Ltd | Associates |
| ZhongshanXuanyiPipeManufacturingCo.,Ltd. | Associates |
| ChongqingTainuoMachineryCo.,Ltd | Associates |
Otherremarks
| Jointventuresorassociates | Abbreviationofassociate |
| QingdaoSanhuaJinlifengMachineryCo.,Ltd | QSJM |
| ZhongshanXuanyiPipeManufacturingCo.,Ltd. | ZXPM |
| ChongqingTainuoMachineryCo.,Ltd | CTMC |
4.OtherrelatedpartiesoftheCompany
| Otherrelatedparties | OtherrelationshipswiththeCompany |
| ZhejiangSanhuaLvnengIndustryGroupCo.,Ltd | ShareholdersandunderthesamecontroloftheparentCompany |
| HangzhouSanhuaResearchInstituteCo.,Ltd. | underthesamecontroloftheparentCompany |
| HangzhouTongchanMachineryCo.,Ltd. | underthesamecontroloftheparentCompany |
| ZhejiangHaoyuanTechnologyCo.,Ltd. | underthesamecontroloftheparentCompany |
| HangzhouSanhuaInternationalBuildingCo.,Ltd. | underthesamecontroloftheparentCompany |
| ZhejiangSanhuaZhichengRealEstateDevelopmentCo.,Ltd. | underthesamecontroloftheparentCompany |
| XinchangCountySanhuaPropertyManagementCo.,Ltd. | underthesamecontroloftheparentCompany |
| WuhuAldaTechnologyCo.,Ltd. | SubsidiaryofaCompanywithsharesheldbytheCompany |
| HangzhouFormostMaterialTechnologyCo.,Ltd | SubsidiaryofaCompanywithsharesheldbytheCompany |
Otherremarks
| Jointventuresorassociates | Abbreviationofassociate |
| SanhuaHoldingGroupCo.,Ltd. | SHG |
| ZhejiangSanhuaLvnengIndustryGroupCo.,Ltd | ZSGE |
| HangzhouSanhuaResearchInstituteCo.,Ltd. | HSRI |
| HangzhouTongchanMachineryCo.,Ltd. | HTM |
| ZhejiangHaoyuanTechnologyCo.,Ltd. | ZHT |
| HangzhouSanhuaInternationalBuildingCo.,Ltd. | HSIB |
| ZhejiangSanhuaZhichengRealEstateDevelopmentCo.,Ltd. | ZSZR |
| XinchangCountySanhuaPropertyManagementCo.,Ltd. | XCSP |
| WuhuAldaTechnologyCo.,Ltd. | WAT |
| HangzhouFormostMaterialTechnologyCo.,Ltd | HFMT |
5.Relatedpartytransactions
（1）Purchaseandsaleofgoods,renderingandreceivingservicesPurchaseofgoodsandreceivingofservices
Unit:RMB
| Relatedparties | Contentoftransaction | Currentperiodcumulative | ApprovedTransactionLimit | OvertheTransactionLimitorNo | Precedingperiodcomparative |
| HSRI | Merchandise | 14,303.48 | 1,500,000.00 | No | |
| HTM | Merchandise | 57,168.14 | 1,500,000.00 | No | 81,077.58 |
| HTM | Services | 124,929.81 | |||
| QSJM | Merchandise | 1,656,061.81 | 2,000,000.00 | No | 349,774.37 |
| WAT | Merchandise | 4,743.36 | 50,000.00 | No | 17,327.58 |
| ZHT | Merchandise | 1,063,598.21 | 1,500,000.00 | No | |
| ZXPM | Merchandise | 5,023,870.90 | 10,000,000.00 | No | 6,263,590.90 |
Saleofgoodsandrenderingofservices
Unit:RMB
| Relatedparties | Contentoftransaction | Currentperiodcumulative | Precedingperiodcomparative |
| HSRI | Merchandise | 182,978.26 | 1,329,760.44 |
| HSRI | Services | 636,792.45 | |
| QSJM | Merchandise | 79,420.08 | 4,064.97 |
| SHG | Merchandise | 674,800.00 | |
| WAT | Merchandise | 7,230.77 | 218,234.34 |
| CTMC | Merchandise | 223,199.82 | |
| HSIB | Merchandise | 265,862.07 | |
| ZSZR | Merchandise | 17,388.50 |
Otherremarks:
DuetothelargenumberofrelatedpartiesinvolvedinrelatedpartytransactionsbetweentheparentCompanySanhuaHoldingGroupCo.,Ltdanditssubsidiaries,theCompanyapprovedRMB1.5millionastheoverallpurchasequotaforpurchasesfromtheparentcompanySanhuaHoldingGroupCo.,Ltd.anditssubsidiariescollectively.TheapprovalbasesonthemergeroftheparentCompanyanditssubsidiaries.
（2）RelatedpartyguaranteesTheCompanyasguarantors
Unit:RMB
| Guaranteedparties | Amountguaranteed | Commencementdate | Maturitydate | Whethertheguaranteeismature |
TheCompanyasguaranteedparties
| Guaranteedparties | Amountguaranteed | Commencementdate | Maturitydate | Whethertheguaranteeismature |
| SHG | RMB250,000,000.00 | February27,2020 | February26,2022 | No |
| SHG | RMB220,000,000.00 | March26,2020 | March24,2022 | No |
| SHG | RMB100,000,000.00 | April23,2020 | April22,2022 | No |
| SHG | RMB200,000,000.00 | June17,2020 | June15,2022 | No |
| SHG | RMB150,000,000.00 | August28,2019 | August27,2020 | No |
| SHG | RMB130,000,000.00 | September30,2019 | September29,2020 | No |
| SHG | RMB100,000,000.00 | October24,2019 | October23,2020 | No |
| SHG | USD20,000,000.00 | December24,2019 | December23,2021 | No |
| SHG | EUR15,000,000.00 | July5,2019 | June20,2022 | No |
Remarksofrelatedpartyguarantees
（3）Keymanagement’semoluments
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Keymanagement’semoluments | 4,127,788.78 | 3,920,120.27 |
（4）Otherrelatedpartytransactions
Unit:RMB
| Abbreviationofassociate | Contentoftransaction | Currentperiodcumulative | Precedingperiodcomparative |
| HSRI | Rentalfee,propertymanagementfee,waterandelectricityfee,servicefee | 226,684.14 | 270,459.92 |
| ZHT | 628,351.19 | ||
| ZSGE | 1,032,369.03 | 1,380,688.85 | |
| HTM | Purchaseequipment | 5,112,554.76 | 7,056,710.66 |
| HFMT | Rentalfee,propertymanagementfee,waterandelectricityfee,servicefee | 966,272.27 | 1,908,561.58 |
| HSRI | 717,369.20 | 1,595,968.94 | |
| SHG | 4,313,221.66 | 3,496,679.16 | |
| WAT | 197,707.74 | 300,394.03 | |
| ZSGE | 720,433.64 | 869,874.64 |
6.Balanceduetoorfromrelatedparties
（1）Receivables
Unit:RMB
| Items | Relatedparties | Closingbalance | OpeningBalance | ||
| Bookbalance | Provisionforbaddebts | Bookbalance | Provisionforbaddebts | ||
| Accountsreceivable | HSRI | 434,918.95 | 21,745.95 | 358,962.37 | 17,948.12 |
| Accountsreceivable | QSJM | 93,610.79 | 4,680.54 | 9,331.56 | 466.58 |
| Accountsreceivable | SHG | 2,272,555.94 | 113,627.80 | ||
| Accountsreceivable | WAT | 182,166.18 | 9,108.31 | 62,502.41 | 3,125.12 |
| Accountsreceivable | XCSP | 3,372.00 | 168.60 | 3,372.00 | 168.60 |
| Accountsreceivable | ZSGE | 81,403.01 | 4,070.15 | ||
| Accountsreceivable | HFMT | 1,044,608.14 | 52,230.41 | ||
| Advancespaid | HTM | 6,233,021.74 | |||
| Advancespaid | ZXPM | 186,974.96 | |||
（2）Payables
Unit:RMB
| Items | Relatedparties | Closingbalance | OpeningBalance |
| Accountspayable | HSRI | 266,150.00 | 266,150.00 |
| Accountspayable | HTM | 2,536,979.58 | 4,002,107.32 |
| Accountspayable | QSJM | 1,640,137.08 | 1,177,838.77 |
| Accountspayable | ZXPM | 3,191,767.02 | |
| Advancesreceived | WAT | 2,101.34 | 2,101.34 |
| Otherpayables | HFMT | 100,000.00 | 100,000.00 |
| Otherpayables | ZSGE | 30,135.60 |
XIII.Share-basedpayment
1.Overallinformation
√Applicable□Notapplicable
| Totalequityinstrumentsgrantedincurrentperiod | 12.04millionshares |
| Therangeofexercisepricesofshareoptionsoutstandingattheendoftheperiodandtheremainingcontractuallife | Incentiveplanforstockappreciationrightsin2018:Theadjustedgrantpriceofstockappreciationrightsis4.69yuan,whichwillbeunlockedinbatcheswithin12monthsafter24monthsand36monthsfromthegrantdate. |
| Therangeofexercisepricesofotherequityinstrumentsattheendoftheperiodandtheremainingcontractuallife | 2018RestrictedStockIncentivePlan:Theadjustedrestrictedstockgrantpriceis4.69yuan,whichwillbeunlockedinbatcheswithin12monthsafter24monthsand36monthsafterthegrantdate.2020RestrictedStockIncentivePlan:TheadjustedrestrictedstockgrantpriceisRMB7.46,whichwillbeunlockedinbatcheswithin12monthsafter12months,24months,and36monthsfromthegrantdate. |
Otherremarks
In2018,theCompanyimplementedarestrictedstockandstockappreciationrightincentiveplanforcoreemployees.Amongthem,thenumberofrestrictedstocksgrantedwas10.33millionshares,thenumberofstockappreciationrightsgrantedwas355,000shares,andthegrantpricepersharewasRMB8.37.ThegrantdatewasSeptember18,2018,at30%:30%:40%.Theproportionisunlockedyearbyyearinbatches.InMay2019andJune2020,theCompanyimplementedthe2018and2019equitydistribution.Accordingtothemethodsstipulatedinthe"2018RestrictedStockIncentivePlan"and"2018StockAppreciationRightsIncentivePlan",theexercisepriceandquantityoftheunderlyingstocksinvolvedwereadjustedaccordingly.Aftertheadjustment,thenumberofrestrictedstocksgrantedwas11.98millionshares.Thenumberofvalue-addedrightsgrantedwas325,300shares,andthegrantpricepersharewasRMB4.69.In2020,theCompanyimplementedarestrictedstockincentiveplanforcoreemployees.Thenumberofgrantswas12.045millionshares,andthegrantpricepersharewasRMB9.85.ThegrantdatewasFebruary24,2020,anditwillbeunlockedyearbyyearinbatchesataratioof30%:30%:40%.
InJune2020,theCompanyimplementedthe2019equitydistribution.Accordingtothemethodstipulatedin
the"2020RestrictedStockIncentivePlan",theexercisepriceandquantityoftheunderlyingstocksinvolvedwereadjustedaccordingly.Aftertheadjustment,thenumberofrestrictedstocksgrantedwas15.6585millionshares,andthegrantpricepersharewasRMB7.46.
2.Equity-settledshare-basedpayment
√Applicable□Notapplicable
Unit:RMB
| Determinationmethodforgrant-datefairvalueofequityinstruments | Calculatedbasedontheclosingpriceofthestockonthegrantdateminusthegrantpriceoftherestrictedstock. |
| Determinationmethodforthebestestimateofthenumberofequityinstrumentsexpectedtovest | Accordingtotheaforementionedadjustedrestrictedstockquantity(basenumber),itwillbeunlockedyearbyyearinbatchesataratioof30%:30%:40%.TheCompanyestimatesthenumberofexercisableequityinstrumentsonthefollowingbasis:theCompany'soperatingperformancecanmeetthetarget,thefuturevoluntaryturnoverrateoftheincentiveobjectsis0%,andtheperformanceappraisallevelisaboveC(theunlockingcoefficientis1). |
| Reasonsforsignificantdifferencebetweentheestimatesincurrentperiodandprecedingperiod | Notapplicable |
| Capitalreserveaccumulatedduetoequity-settledshare-basedpayment | 54,905,976.80 |
| Totalexpensesincurredduetoequity-settledshare-basedpaymenttransactions | 30,463,131.96 |
Otherremarks
3.Cash-settledshare-basedpayment
√Applicable□Notapplicable
Unit:RMB
| DeterminationmethodforthefairvalueofliabilityincurredbytheCompanyandtobesettledincashorotherassets | Itiscalculatedbasedontheclosingpriceofthestockonthebalancesheetdateafterdeductionoftheadjustedstockappreciationrightgrantprice. |
| Liabilitiesincurredduetocash-settledshare-basedpayment | 3,139,116.00 |
| Totalexpensesincurredduetocash-settledshare-basedpaymenttransactions | 900,665.22 |
Otherremarks
4.Modificationsandcancellationsofshare-basedpaymenttransactionsAccordingtotheresolutionoftheCompany’ssecondextraordinarygeneralmeetingofshareholdersin2020,
theCompanyadjustedsomeperformanceevaluationindicatorsfortheaboveincentiveplan.Themainadjustmentcontentistheevaluationindicatorsfor2020andbeyond,adjustedfrom"weightedaveragereturnonnetassetsnotlessthan17%"to"weightedaveragereturnonnetassetsnotlowerthan17%ornotlowerthanthesameindustrybenchmarkingCompany's80-thpercentileweightedaveragereturnonnetassetsforthesameperiod."RefertotheCompany'sCorrespondingannouncementsfordetails.
XIV.Commitmentsandcontingencies
1.SignificantcommitmentsSignificantcommitmentsonthebalancesheetday
ApprovedbytheChinaSecuritiesRegulatoryCommissionintheSecuritiesRegulatoryCommission[2017]No.1392document,theCompanyissuedsharesinSeptember2017toraiseatotalof1.3223millionyuan.Thefundsraisedwillbeusedtoinvestintheconstructionof"11.5millionsetsofnewenergyautopartsconstructionproject","newenergyvehiclethermalmanagementsystemcomponenttechnologytransformationprojectwithanannualoutputof7.3millionsets","vehicleair-conditioningcontrolcomponenttechnologytransformationprojectwithanannualoutputof12.7millionsets","expandingproducttestingroomandproductionauxiliaryroomproject"and"payingintermediaryfees".
AsofJune30,2020,pleaserefertotheanalysisofinvestmentstatusinthediscussionandanalysisoftheCompany'soperationstatusinthe2020semi-annualreportfordetailsoftheexpenditureoffundraisingprojects.
2.Contingencies
（1）IfnoimportantcontingentmattertobedisclosedbytheCompany,itshouldalsobenotedaccordinglyNoimportantcontingentmatterneedstobedisclosedbytheCompany.XV.Eventsafterthebalancesheetdate
1.Profitdistribution
Unit:RMB
| Proposeddistributionofprofitsordividends | 358,225,868.20 |
| Profitsordividendsdeclaredtobedistributedafterdeliberationandapproval | 358,225,868.20 |
XVI.OtherSignificantEvents
1.Segmentinformation
（1）Basisforreportablesegmentsandtheaccountingpolicy
ReportablesegmentsareidentifiedbasedonoperatingsegmentswhicharedeterminedbasedonthestructureoftheCompany’sinternalorganization,managementrequirementsandinternalreportingsystem,etc.,and
identifiedthereportablesegmentsbasedonproducts.
（2）Financialinformationofthereportingsubsection
Unit:RMB
| Items | Refrigerationandair-conditioningelectricalpartsbusiness | Autopartsbusiness | Inter-segmentelimination | Total |
| TotalOperatingrevenue | 4,367,942,431.64 | 950,236,195.13 | 5,318,178,626.77 | |
| TotalOperatingcost | 3,164,066,988.85 | 675,559,015.85 | 3,839,626,004.70 | |
| Totalassets | 12,018,152,672.59 | 3,522,572,484.15 | 15,540,725,156.74 | |
| Totalliabilities | 5,207,994,133.80 | 732,586,068.35 | 5,940,580,202.15 |
2.Otherremarks
Pleasereferto“Fixedassets”ofnotestofinancialstatementsfordetailsinfixedassetsleasedinbyfinancing.Pleasereferto“Long-termpayables”ofnotestofinancialstatementsfordetailsinunrecognizedfinancingcostsandminimumleasepaymentstobepaidinsubsequentyears.XVII.NotestoitemsofparentCompanyfinancialstatements
1.Accountsreceivable
（1）Disclosureofaccountsreceivablebycategories
Unit:RMB
| Category | Closingbalance | Openingbalance | ||||||||
| Bookbalance | Provisionforbaddebt | Carryingamount | Bookbalance | Provisionforbaddebt | Carryingamount | |||||
| Amount | Proportion | Amount | Accruedproportion | Amount | Proportion | Amount | Accruedproportion | |||
| Receivableswithprovisionmadeonanindividualbasis | 823,985,398.50 | 87.71% | 823,985,398.50 | 986,349,014.75 | 86.28% | 986,349,014.75 | ||||
| Including: | ||||||||||
| Receivableswithprovisionmadeonacollectivebasis | 115,416,370.93 | 12.29% | 5,770,818.55 | 5.00% | 109,645,552.38 | 156,790,401.29 | 13.72% | 7,839,520.06 | 5.00% | 148,950,881.23 |
| Including: | ||||||||||
| Total | 939,401,769.43 | 100.00% | 5,770,818.55 | 0.61% | 933,630,950.88 | 1,143,139,416.04 | 100.00% | 7,839,520.06 | 0.69% | 1,135,299,895.98 |
Provisionmadeonanindividualbasis:
Unit:RMB
| Name | Closingbalance | |||
| Bookbalance | Provisionforbaddebt | Accruedproportion | Accruedreason | |
| ZhejiangSanhuaTradingCo.,Ltd | 537,087,611.22 | |||
| SanhuaInternationalSingaporePte.Ltd | 245,518,524.35 | |||
| Sanhua(Vietnam)CompanyLimited,etc. | 41,379,262.93 | |||
| Total | 823,985,398.50 | -- | -- | |
Provisionmadeonacollectivebasis:
Unit:RMB
| Name | Closingbalance | ||
| Bookbalance | Provisionforbaddebt | Accruedproportion | |
| Receivableswithprovisionmadeonacollectivebasis | 115,416,370.93 | 5,770,818.55 | 5.00% |
| Total | 115,416,370.93 | 5,770,818.55 | -- |
Thestatementofdeterminationofacollectivebasis:
IftheProvisionforbaddebtofaccountsreceivableisaccruedinaccordancewiththegeneralexpectedcreditlossmodel,pleaserefertothedisclosureofotherreceivablestodisclosetherelevantinformationabouttheProvisionforbaddebt:
□Applicable√NotApplicableDisclosurebyaging
Unit:RMB
| Aging | Closingbalance |
| Within1year(including1year) | 939,401,769.43 |
| Total | 939,401,769.43 |
（2）Provisionforbaddebtaccrued,recoveredorreversedincurrentperiodProvisionforbaddebtaccruedincurrentperiod:
Unit:RMB
| Category | Openingbalance | Changedamountofthecurrentperiod | Closingbalance | |||
| Accrued | Recoveredorreversed | Writeoff | Others | |||
| Receivableswithprovisionmadeonacollectivebasis | 7,839,520.06 | 2,068,701.51 | 5,770,818.55 | |||
| Total | 7,839,520.06 | 2,068,701.51 | 5,770,818.55 |
（3）Top5debtorswiththelargestaccountsreceivablebalances
Unit:RMB
| Name | Closingbalance | Proportiontothetotalbalanceofaccountsreceivable | Provisionforbaddebtattheendoftheperiod |
| Top5debtorswithlargestbalances | 846,553,684.24 | 90.12% | 2,292,600.34 |
| Total | 846,553,684.24 | 90.12% |
2.Otherreceivables
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Interestreceivable | 1,789,540.22 | |
| Dividendsreceivable | 14,438,323.76 | |
| Otherreceivables | 548,566,113.71 | 603,257,516.95 |
| Total | 564,793,977.69 | 603,257,516.95 |
（1）Interestreceivable1）Categoriesofinterestreceivable
Unit:RMB
| Items | Closingbalance | Openingbalance |
| Interestonsubsidiariesfunds | 1,789,540.22 | |
| Total | 1,789,540.22 |
2）Provisionforbaddebt
□Applicable√NotApplicable
（2）Dividendsreceivable1）Categoriesofdividendsreceivable
Unit:RMB
| Project(orinvestedentity) | Closingbalance | Openingbalance |
| XinchangSitongElectricalandMechanicalCo.,Ltd | 12,048,323.76 |
| SuzhouSanhuaAir-ConditionerPartsCo.,Ltd | 1,190,000.00 |
| ZhongshanSanhuaAirconditioningRefrigerationComponentsCo.,Ltd | 1,200,000.00 |
| Total | 14,438,323.76 |
2）Provisionforbaddebt
□Applicable√NotApplicableOtherremarks:
（3）Otherreceivables1）Otherreceivablescategorizedbynature
Unit:RMB
| Otherreceivablescategorizedbynature | Closingbalance | Openingbalance |
| Principalandinterestofcapitalassistancetosubsidiaries | 534,369,210.21 | 573,806,364.53 |
| RefundofVATreceivable | 256,448.95 | 15,017,287.01 |
| Guaranteedeposit | 10,381,285.00 | 10,381,285.00 |
| Others | 4,214,247.02 | 4,660,439.18 |
| Total | 549,221,191.18 | 603,865,375.72 |
2）Provisionforbaddebt
Unit:RMB
| Provisionforbaddebt | Phase1 | Phase2 | Phase3 | Total |
| Next12?monthexpectedcreditlosses | Lifetimeexpectedcreditlosses(creditnotimpaired) | Lifetimeexpectedcreditlosses(creditimpaired) | ||
| BalanceonJanuary1,2020 | 607,858.77 | 607,858.77 | ||
| BalanceincurrentperiodonJanuary1,2020 | —— | —— | —— | —— |
| Provisionmadeincurrentperiod | 47,218.70 | 47,218.70 | ||
| BalanceonJune30,2020 | 655,077.47 | 655,077.47 |
Lossprovisionsforsignificantchangesinbookbalancesincurrentperiod
□Applicable√NotApplicableDisclosurebyaging
Unit:RMB
| Aging | Closingbalance |
| Within1year(including1year) | 117,125.08 |
| 1to2years | 113,408.50 |
| 2to3years | 221,343.39 |
| Over3years | 203,200.50 |
| Total | 655,077.47 |
3）Provisionforbaddebtaccrued,recoveredorreversedincurrentperiodProvisionforbaddebtaccruedincurrentperiod:
Unit:RMB
| Category | Openingbalance | Changedamountofthecurrentperiod | Closingbalance | |||
| Accrued | Recoveredorreversed | Writeoff | Others | |||
| Receivableswithprovisionmadeonacollectivebasis | 607,858.77 | 47,218.70 | 655,077.47 | |||
| Total | 607,858.77 | 47,218.70 | 655,077.47 | |||
4）Top5debtorswiththelargestotherreceivablesbalances
Unit:RMB
| Debtors | Natureofreceivables | Closingbalance | Age | Proportiontothetotalbalanceofotherreceivables | Provisionforbaddebtattheendoftheperiod |
| SanhuaInternationalSingaporePte.Ltd | Financialaid | 141,590,000.00 | 1to2years | 25.78% | 0.00 |
| Sanhua(Jiangxi)Self-controlComponentsCo.,Ltd. | Financialaid | 50,264,000.00 | Within1year | 9.15% | 0.00 |
| ShaoxingShangyuSanliCopperIndustryCo.,Ltd | Financialaid | 50,084,000.00 | Within1year | 9.12% | 0.00 |
| HangzhouLeaderwayElectronicsCo.,Ltd | Financialaid | 48,000,000.00 | Within1year | 8.74% | 0.00 |
| WuhuSanhuaAuto-controlComponentsCo.,Ltd | Financialaid | 46,252,000.00 | Within1year | 8.42% | 0.00 |
| Total | -- | 336,190,000.00 | -- | 61.21% | 0.00 |
3.Long-termequityinvestments
Unit:RMB
| Investees | Closingbalance | Openingbalance | ||||
| Bookbalance | Provisionforimpairment | Carryingamount | Bookbalance | Provisionforimpairment | Carryingamount | |
| Investmentsinsubsidiaries | 4,389,484,397.89 | 4,389,484,397.89 | 4,297,929,280.35 | 54,000,000.00 | 4,243,929,280.35 | |
| Investmentsinassociatesandjointventures | 12,627,437.09 | 12,627,437.09 | 12,704,660.71 | 12,704,660.71 | ||
| Total | 4,402,111,834.98 | 4,402,111,834.98 | 4,310,633,941.06 | 54,000,000.00 | 4,256,633,941.06 | |
（1）Investmentsinsubsidiaries
Unit:RMB
| Investees | Openingbalance(Carryingamount) | Changedamountofthecurrentperiod | Closingbalance(Carryingamount) | Closingbalanceofprovisionforimpairment | |||
| Investmentsincreased | Investmentsdecreased | Provisionforimpairment | Others | ||||
| SanhuaInternationalSingaporePte.Ltd | 454,171,908.17 | 142,872,270.78 | 597,044,178.95 | ||||
| ZhejiangSanhuaSelf-controlComponentsCo.,Ltd | 32,000,000.00 | 32,000,000.00 | |||||
| ZhejiangSanhuaClimate&ApplianceControlsGroupCo.,Ltd | 310,155,131.25 | 3,544,630.40 | 313,699,761.65 | ||||
| XinchangSitongElectricalandMechanicalCo.,Ltd | 65,444,051.15 | 303,458.12 | 65,747,509.27 | ||||
| WuhuSanhuaAuto-controlComponentsCo.,Ltd | 150,379,784.89 | 381,494.26 | 150,761,279.15 | ||||
| ShaoxingShangyuSanliCopperIndustryCo.,Ltd | 31,930,719.92 | 247,690.94 | 32,178,410.86 | ||||
| ChangzhouRancoReversingValueCo.,Ltd | 35,196,850.59 | 23,719.04 | 35,220,569.63 | ||||
| SuzhouSanhuaAir-ConditionerPartsCo.,Ltd | 8,395,763.86 | 112,619.90 | 8,508,383.76 | ||||
| ZhongshanSanhuaRefrigerationComponentsCo.,Ltd | 5,163,639.29 | 254,300.23 | 5,417,939.52 | ||||
| ZhongshanSanhuaAirconditioningRefrigerationComponentsCo.,Ltd | 4,885,524.32 | 135,071.10 | 5,020,595.42 | ||
| HangzhouLeaderwayElectronicsCo.,Ltd | 47,798,913.83 | 1,312,876.14 | 49,111,789.97 | ||
| Sanhua(Jiangxi)Self-controlComponentsCo.,Ltd. | 92,824,141.91 | 195,545.52 | 93,019,687.43 | ||
| WuhanSanhuaRefrigerationPartsCo.,Ltd | 3,734,983.46 | 186,130.72 | 3,921,114.18 | ||
| Sanhua(Hangzhou)MicroChannelHeatExchangerCo.,Ltd | 635,170,819.48 | 3,821,105.64 | 638,991,925.12 | ||
| ZhejiangSanhuaTradingCo.,Ltd | 51,053,113.94 | 1,135,431.80 | 52,188,545.74 | ||
| HangzhouSanhuaHomeApplianceThermalManagementSystemCo.,Ltd | 16,247,160.09 | 16,247,160.09 | 0.00 | ||
| QingdaoDebaiyiRefrigerationEquipmentCo.,Ltd. | 14,580,943.52 | 14,580,943.52 | |||
| ZhejiangSanhuaAutomotiveComponentsCo.,Ltd. | 1,977,416,802.97 | 6,900,232.06 | 1,984,317,035.03 | ||
| SanhuaInternationalInc. | 307,379,027.71 | 375,700.98 | 307,754,728.69 | ||
| Total | 4,243,929,280.35 | 161,802,277.63 | 16,247,160.09 | 4,389,484,397.89 |
（2）Investmentsinassociatesandjointventures
Unit:RMB
| Investees | Openingbalance(Carryingamount) | 本期增减变动 | Closingbalance(Carryingamount) | Closingbalanceofprovisionforimpairment | |||||||
| Investmentsincreased | Investmentsdecreased | Investmentincomerecognizedunderequitymethod | Adjustmentinothercomprehensiveincome | Changesinotherequity | Cashdividend/profitdeclaredfordistribution | Provisionforimpairment | Others | ||||
| Ⅰ.Jointventures | |||||||||||
| Ⅱ.Associates | |||||||||||
| GuochuangEnergy | 1,493,718.98 | -446.80 | 1,493,272.18 | ||||||||
| InternetInnovationCenter(Guangdong)Co.,Ltd. | |||||||
| NanchangSanhuaJinlifengMachineryCo.,Ltd. | 2,335,242.16 | 406,364.13 | 500,000.00 | 2,241,606.29 | |||
| ZhongshanSanhuaTainuoMachineryCo.,Ltd. | 27,971.57 | -27,971.57 | 0.00 | ||||
| ChongqingTainuoMachineryCo.,Ltd. | 8,847,728.00 | 1,544,830.62 | 1,500,000.00 | 8,892,558.62 | |||
| QingdaoSanhuaJinlifengMachineryCo.,Ltd. | 0.00 | 0.00 | |||||
| Subtotal | 12,704,660.71 | 1,922,776.38 | 2,000,000.00 | 12,627,437.09 | |||
| Total | 12,704,660.71 | 1,922,776.38 | 2,000,000.00 | 12,627,437.09 |
（3）Otherremarks
4.OperatingrevenueandOperatingcost
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative | ||
| Revenue | Cost | Revenue | Cost | |
| Mainoperations | 2,025,861,982.70 | 1,525,914,788.36 | 2,383,024,761.99 | 1,852,588,211.54 |
| Otheroperations | 91,350,119.92 | 90,836,693.41 | 112,813,701.85 | 112,416,460.61 |
| Total | 2,117,212,102.62 | 1,616,751,481.77 | 2,495,838,463.84 | 1,965,004,672.15 |
Otherremarks：
5.Investmentincome
Unit:RMB
| Items | Currentperiodcumulative | Precedingperiodcomparative |
| Investmentincomefromlong-termequityinvestmentsundercostmethod | 16,058,323.76 | 248,086,031.19 |
| Investmentincomefromlong-termequityinvestmentsunderequitymethod | 1,922,776.38 | 867,006.32 |
| Gainsondisposaloflong-termequityinvestments | -13,099,711.84 | 57,012.43 |
| Gainsandlossesonsettlementoffuturescontracts | -5,205,759.36 | 485,064.76 |
| Gainsandlossesonsettlementofforeignexchangecontract | -1,711,629.28 | 48,634.20 |
| Investmentincomeofbankfinancingproducts | 3,214,184.92 | 5,388,024.29 |
| Incomeoffundusingfee | 9,817,132.15 | |
| Total | 10,995,316.73 | 254,931,773.19 |
6.Others
XVIII.Supplementaryinformation
1.Non-recurringprofitorlossincurrentperiod
√Applicable□NotApplicable
Unit:RMB
| Items | Amount | Remarks |
| Gainsorlossondisposalofnon-currentassets | -1,403,295.52 | |
| Governmentgrantincludedincurrentperiodprofitorloss(excludingGovernmentgrantscloselyrelatedtoenterprisebusinessandenjoyedinaccordancewiththeunifiednationalstandardquotaorration | 93,590,286.21 | |
| Gainsonchangesinfairvalueofheld-for-tradingfinancialassets,derivativefinancialassets,held-for-tradingfinancialliabilitiesandderivativefinancialliabilities,andinvestmentincomefromdisposalofheld-for-tradingfinancialassets,derivativefinancialassets,held-for-tradingfinancialliabilities,derivativefinancialliabilitiesandotherinvestment,excludingthosearisingfromhedgingbusinessrelatedtooperatingactivities | -23,409,775.96 | |
| Othernon-operatingrevenueorexpendituresexcepttheaboveitems | 1,196,846.18 |
| Otherprofitorlosssatisfyingthedefinitionofnon-recurringprofitorloss | 1,113,187.32 | |
| Less:Enterpriseincometaxaffected | 9,222,107.32 | |
| Non-controllinginterestaffected | 574,585.23 | |
| Total | 61,290,555.68 | -- |
Foritemsdefinedasnon-recurringprofitorlossaccordingto“theNo.1ExplanatoryAnnouncementonInformationDisclosureforCompaniesOfferingTheirSecuritiestoPublic-Non-recurringProfitorLoss”,non-recurringprofitorlossitemslistedinthesaiddocumentdefinedasprojectofrecurringprofitorloss,specifythereason
□Applicable√NotApplicable
2.ROEandEPS
| Profitofthereportingperiod | WeightedaverageROE | EPS | |
| BasicEPS(RMB/share) | DilutedEPS(RMB/share) | ||
| Netprofitattributabletoshareholdersofordinaryshares | 6.74% | 0.18 | 0.18 |
| Netprofitattributabletoshareholdersofordinarysharesafterdeductingnon-recurringprofitorloss | 6.10% | 0.16 | 0.16 |
3.Financialdatavariancebetweenfinancialreportingpreparedunderdomesticandinternationalaccountingstandards
（1）DifferencesofnetprofitsandnetassetsinthefinancialreportsdisclosedaccordingtotheIFRSandChineseAccountingStandards
□Applicable√NotApplicable
（2）DifferencesofnetprofitsandnetassetsinthefinancialreportsdisclosedaccordingtotheoverseasaccountingstandardsandChineseAccountingStandards
□Applicable√NotApplicable
（3）Reasonsforaccountingdatavariancebetweenfinancialreportingpreparedunderdomesticandinternationalaccountingstandards,andforthedifferenceadjustmentonthedataalreadyauditedbyanoverseasauditinstitution,thenameoftheauditinstitutionshouldbenoted
4.Others1．CalculationprocessofweightedaverageROE
(1)Weightedaveragenetassets
| Changediteminnetassets | Amount | Weightedbymonth | Weightedaveragenetassets |
| Netassetsattributabletoshareholdersofordinarysharesatthebeginningofperiod | 9,291,632,928.45 | 6/6 | 9,291,632,928.45 |
| Netprofitattributabletoshareholdersofordinaryshares | 643,481,717.35 | 3/6 | 321,740,858.68 |
| CashdividendannouncedinMay | -413,337,540.30 | 1/6 | -68,889,590.05 |
| CashdividendannouncedinMay,includingthereductionofrestrictedsharesrepoobligations | 3,189,495.00 | 1/6 | 531,582.50 |
| ConverteddifferenceinForeignCurrencyStatements | -26,456,121.98 | 3/6 | -13,228,060.99 |
| Equity-settledshare-basedpayment(phase1) | 4,728,589.32 | 3/6 | 2,364,294.66 |
| Equity-settledshare-basedpayment(phase2) | 25,734,542.64 | 2/6 | 8,578,180.88 |
| Netassetsattributabletoshareholdersofordinarysharesattheendofperiod | 9,528,973,610.48 | 9,542,730,194.13 |
(2)WeightedaverageROE
| Items | Symbol | Currentperiodcumulative |
| Netprofitattributabletoshareholdersofordinaryshares | A | 643,481,717.35 |
| Non-recurringprofitorloss | B | 61,290,555.68 |
| Netprofitattributabletoshareholdersofordinarysharesafterdeductingnon-recurringprofitorloss | C=A-B | 582,191,161.67 |
| Weightedaveragenetassets | D | 9,542,730,194.13 |
| WeightedaverageROE | E=A/D | 6.74% |
| WeightedaverageROEafterdeductingnon-recurringprofitorloss | F=C/D | 6.10% |
2．CalculationprocessofBasicEPSandDilutedEPS
(1)BasicEPS
| Items | Symbol | Currentperiodcumulative |
| Netprofitattributabletoshareholdersofordinaryshares | A | 643,481,717.35 |
| Non-recurringprofitorlossattributabletoshareholdersofordinaryshares | B | 61,290,555.68 |
| Netprofitattributabletoshareholdersofordinarysharesafterdeductingnon-recurringprofitorloss | C=A-B | 582,191,161.67 |
| Totalsharesatthebeginningofperiod | D | 2,765,657,898 |
| Capitalreserveconvertedintosharecapital | E | 826,675,080 |
| Consideringthenumberofrestrictedsharesaftertheconversionandliftingoftheban | F | 27,642,290 |
| Weightedaveragenumberofordinarysharesoutstanding(excludingrestrictedshares) | G(noted) | 3,564,690,688 |
| BasicEPS | H=A/G | 0.18 |
| BasicEPSafterdeductingnon-recurringprofitorloss | I=C/G | 0.16 |
Remark:G=D+E-F
(2)DilutedEPS
| Items | Symbol | Currentperiodcumulative |
| Netprofitattributabletoshareholdersofordinaryshares | A | 643,481,717.35 |
| Non-recurringprofitorloss | B | 61,290,555.68 |
| Netprofitattributabletoshareholdersofordinarysharesafterdeductingnon-recurringprofitorloss | C=A-B | 582,191,161.67 |
| Weightedaveragenumberofordinarysharesoutstanding(excludingrestrictedshares) | D | 3,564,690,688 |
| Weightedaveragenumberofordinarysharesincreasedbyequityincentiverestrictedshares | E | 14,003,342 |
| Weightedaveragenumberofordinarysharesoutstandingafterdilution | F=D+E | 3,578,694,030 |
| DilutedEPS | G=A/F | 0.18 |
| DilutedEPSafterdeductingnon-recurringprofitorloss | H=C/F | 0.16 |
SectionXIIDocumentsAvailableforInspection
1.Thefinancialreportsignedbythechairmanoftheboard.
2.ThefinancialreportsignedandsealedbytheCompany'slegalrepresentative,chieffinanceofficerandpersoninchargeofaccountingdepartment.
3.OriginalcopyofalltheCompany'sdocumentsandannouncementspublishedonthenewspapersdesignatedbyCSRCwithinthereportingperiod.
4.Otherdocumentsavailableforinspection