深中华B：2022年半年度报告（英文版）.PDF

Shenzhen China Bicycle Company (Holdings) Limited Semi-Annual Report 2022 August 2022 1 Section I. Important Notice, Contents and Interpretation Board of Directors, Supervisory Committee, all directors, supervisors and senior executives of Shenzhen China Bicycle Company (Holdings) Limited (hereinafter referred to as the Company) hereby confirm that there are no any fictitious statements, misleading statements, or important omissions carried in this report, and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completion of the whole contents. Li Hai, Principal of the Company, Sun Longlong, person in charge of accounting works and Zhong Xiaojin, person in charge of accounting organ (accounting principal) hereby confirm that the Financial Report of 2022 Semi-Annual Report is authentic, accurate and complete. All directors are attended the Board Meeting for report deliberation. The Company plans not to distribute cash dividends, not to send bonus shares, and no reserve capitalizing. 2 Contents Section I Important Notice, Contents and Interpretation . 1 Section II Company Profiel and Main Financial Indexes . 5 Section III Management Discussion and Analysis . 9 Section IV Corporate Governance . 22 Section V Enviornmental and Social Reponsibility . 23 Section VI Important Events . 错误!未定义书签。 Section VII Changes in Shares and Particular about Shareholders . 33 Section VIII Preferred Stock . 错误!未定义书签。 Section IX Corporate Bonds . 39 Section XI Financial Report . 40 3 Documents Available for Reference 1. Accounting statement carrying the signatures and seals of the legal representative, person in charge of accounting and person in charge of accounting organ. 2. Originals documents of the Company and manuscripts of public notices that disclosed in the newspaper designated by CSRC in the report period. 3. English version of the Semi-Annual Report 2022 4 Interpretation Items Refers to Contents 5 Section II. Company Profile and Main Financial Indexes I. Company profile Short form of the stock Zhonghua-A, Zhonghua-B Code for share 000017, 200017 The abbreviation of the stock before changed(if applicable) N/A Stock exchange for listing Shenzhen Stock Exchange Name of the Company (in Chinese) 深圳中华自行车（集团）股份有限公司 Short form of the Company (in Chinese) (if applicable) 深中华 Foreign name of the Company (if applicable) Shenzhen China Bicycle Company (Holdings) Limited Short form of foreign name of the Company (if applicable) CBC Legal representative Li Hai II. Person/Way to contact Secretary of the Board Rep. of security affairs Name Sun Longlong Yu Xiaomin, Zhong Xiaojin Contact add. 501 Zhongxin Technology Building, No.31 Bagua Rd., Bagualing, Futian District, Shenzhen 501 Zhongxin Technology Building, No.31 Bagua Rd., Bagualing, Futian District, Shenzhen Tel. 0755-25516998,28181666 0755-25516998,28181666 Fax. 0755-28181009 0755-28181009 E-mail III. Others 1. Way of contact Whether registrations address, offices address and codes as well as website and email of the Company changed in reporting period or not Applicable Not applicable The registrations address, offices address and codes as well as website and email of the Company have no changes in the Period, found more in Annual Report 2021. 2. Information disclosure and preparation place Whether information disclosure and preparation place changed in reporting period or not 6 Applicable Not applicable The newspaper appointed for information disclosure, website for semi-annual report publish appointed by CSRC and preparation place for semi-annual report have no change in reporting period, found more details in Annual Report 2021. 3. Other relevant information Whether other relevant information has changed during the reporting period Applicable Not applicable IV. Main accounting data and financial indexes Whether it has retroactive adjustment or re-statement on previous accounting data or not Yes No Current period Same period of last year Changes in the current period over the same period of previous year (+,-) Operation revenue(RMB) 106,665,446.58 54,130,317.60 97.05% Net profit attributable to shareholders of the listed company(RMB) -1,483,364.42 1,365,493.34 -208.63% Net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses(RMB) -2,275,914.14 -416,594.29 -446.31% Net cash flow arising from operating activities(RMB) -9,279,476.52 -2,447,126.82 -279.20% Basic earnings per share (RMB/Share) -0.0027 0.0025 -208.00% Diluted earnings per share (RMB/Share) -0.0027 0.0025 -208.00% Weighted average ROE -18.14% 11.78% -29.92% End of current period End of last year Increase/decrease in current report-end over that of last period-end(+,-) Total assets (RMB) 101,482,852.73 97,363,437.22 4.23% Net assets attributable to shareholder of listed company (RMB) 7,435,173.74 8,918,538.16 -16.63% 7 V. Difference of the accounting data under accounting rules in and out of China 1. Difference of the net profit and net assets disclosed in financial report, under both IAS (International Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles) Applicable Not applicable The Company had no difference of the net profit or net assets disclosed in financial report, under either IAS (International Accounting Standards) or Chinese GAAP (Generally Accepted Accounting Principles) in the period. 2. Difference of the net profit and net assets disclosed in financial report, under both foreign accounting rules and Chinese GAAP (Generally Accepted Accounting Principles) Applicable Not applicable The Company had no difference of the net profit or net assets disclosed in financial report, under either foreign accounting rules or Chinese GAAP (Generally Accepted Accounting Principles) in the period. VI. Items and amounts of extraordinary profit (gains)/loss Applicable Not applicable Unit: RMB/CNY Item Amount Note Government subsidy reckoned into current gains/losses (except for those with normal operation business concerned, and conform to the national policies & regulations and are continuously enjoyed at a fixed or quantitative basis according to certain standards) 153,395.80 Switch-back of provision of impairment of account receivable which are treated with separate depreciation test 721,987.00 Other non-operation revenue and expenditure except for the aforementioned items 224,228.84 Less: Impact on income tax 6,055.20 Impact on minority shareholders equity (post-tax) 301,006.72 Total 792,549.72 Other gains/losses items that conform to the definition of non-recurring gains/losses: Applicable Not applicable The Company does not have other gains/losses items that conform to the definition of non-recurring gains/losses Information on the definition of non-recurring profit(gain)/loss that listed in the Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public - Extraordinary (non-recurring) Profit(gain)/loss as the recurring profit(gain)/loss Applicable Not applicable 8 The Company does not have any non-recurring profit(gain)/loss listed under the Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public - Extraordinary (non-recurring) Profit(gain)/loss defined as recurring profit(gain)/loss 深圳中华自行车（集团）股份有限公司 2022 年半年度报告全文 9 Section III Management Discussion and Analysis I. Main businesses of the company during the reporting period During the reporting period, the companys main businesses were bicycles and lithium battery materials business, and jewelry gold business. (1) Bicycles and lithium battery materials business included the production, assembly, procurement, and sales of bicycles and electric bicycles, and purchase, sales, and commissioned processing of lithium battery materials, etc.; (2) The gold jewelry business mainly provided supply chain management and services in the vertical field of gold jewelry. The company connected with downstream gold jewelry brands, purchased gold and diamonds according to their product needs, and then commissioned gold jewelry processing plants for processing, made product certification for the processed finished products after passing the inspection, and delivered them to downstream customers. Through the integration of upstream supplier resources and downstream customer resources, the turnover rate of gold jewelry products in the upstream and downstream was improved, the cost of circulation links was reduced, and the overall competitive advantage of the upstream and downstream was formed. The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure” (i) Analysis of the industry market size 1. The product category of the industry is relatively rich Jewelry can be divided into gold, diamond, jade, colored jewelry and others. Under the background of Chinas cultural tradition of advocating gold jewelry and the investment properties of gold, gold jewelry occupies a relatively high proportion in the domestic jewelry market, reaching 60.13%. Diamond and jade are also the main categories of jewelry in China, accounting for 13.97% and 9.85%. From the international market, the jewelry markets of developed countries such as the United States, Japan, and Europe are all dominated by diamond jewelry. Compared with the international market, the main categories of Chinas jewelry market are more abundant, and the proportion of various jewelry markets is more balanced. 2. The actual consumption of gold jewelry has a steady growth With the growth of the national economy and the accumulation of wealth of residents, Chinas demand for gold grew rapidly in the early 21st century, making it the worlds largest gold consumer. The fall in gold prices in 2013 triggered a boom of buying gold jewelry, and also overdrew the demand for gold jewelry in advance, which declined from 2013 to 2016. However, after a period of readjustment, along with the gradual recovery of the economy and gold prices, the gold jewelry industry has bottomed out since September 2016, and continued to grow steadily in 2017, entering a new round of recovery cycle. In 2022, the domestic pandemic was effectively 深圳中华自行车（集团）股份有限公司 2022 年半年度报告全文 10 controlled, enterprises resumed work and production in an orderly manner, and the consumer market entered a stage of gradual recovery. The gold jewelry consumer market benefited from the rigid demand for weddings, which played a positive role in promoting gold jewelry sales. Based on the further improvement of Chinas macroeconomic strength and international status, a huge middle-class consumer group has been formed, which has brought a new development pattern to the development of the gold jewelry market and opened up new incremental space. (ii) Industry development trend analysis 1. The increase in industry concentration has become the mainstream trend In recent years, consumers brand awareness has been increasing. In addition, at the end of 2014, the National Jewelry Standards Technical Committee revised the mandatory national standard “Regulations on the Purity of Precious Metals in Jewelry and Naming” (GB11887-2012), which deleted the “pure gold” and other titles, guided consumers to pay more attention to jewelry design, craftsmanship, style and brand value, and no longer be attracted by the words “pure gold” in the slogan and pay more attention to product quality, prompting small jewelry enterprises to move closer to large jewelry enterprises. The increasing concentration of the jewelry industry has become the mainstream trend. In contrast, some regional branded or unbranded small jewelry companies are at a disadvantage in terms of scale, capital, cost, etc., coupled with their own lack of ability in brand operation management, product marketing design, and enterprise operation, in the case of consumers paying more and more attention to brand, they will have to choose to rely on the development of jewelry brands with larger brand awareness, which will further promote the improvement of the industry concentration, and the national jewelry brands will gain an opportunity for vigorous development. 2. The development trend of industrial clustering is more obvious The cluster development of the jewelry industry has now become an important direction for Chinas jewelry industry to improve its comprehensive competitiveness and promote the extension and upgrade of the characteristic industry chain of the regional jewelry. At present, there are more than ten jewelry industry bases in China, all of which have distinctive characteristics and outstanding advantages. Whether it is pearl cultivation, jade carving or jewelry processing, they all add charm to the city and also bring vitality to the prosperity of the jewelry industry. Special jewelry industry bases such as Shenzhen Luohu, Guangzhou Panyu mainly focus on precious metal jewelry inlay processing, diamond cutting, and supporting products, forming a series of leading enterprises and many small and medium-sized enterprises. At the same time, with the strong support of the local government, the supporting system such as logistics services, information services and technical services have been continuously improved. 3. The Third- and fourth-tier cities become important consumer markets for the jewelry industry In recent years, the pace of urbanization in China has gradually accelerated, and the urbanization rate has continued to grow. Residents in rural areas are gradually relocating and settling in nearby third- and fourth-tier cities, which steadily deliver new vitality to the third- and fourth-tier cities. In the future, the third- and fourth-tier 深圳中华自行车（集团）股份有限公司 2022 年半年度报告全文 11 cities will have broad market space and show huge growth potential. With the sinking trend of the jewelry consumption market, the third- and fourth-tier cities will become the main markets for the growth of jewelry companies in the future. 4. Channel strength will be regarded as the core competitiveness of enterprises for a long time The internal competition in the jewelry industry is relatively large, and the fierce market competition makes the construction and control of sales channels for jewelry companies crucial. At the same time, due to the high value of jewelry, consumers are often worried about the quality of the product and the reasonableness of the price when purchasing, which often prompts them to purchase through physical channels. There is a certain scarcity of high-quality physical channels, and the number of high-quality shops in a regions high-quality business districts is scarce. Such high-quality shops can not only provide higher traffic, improve the retail performance of jewelry, but also have the important value of brand promotion. Therefore, in the fierce market competition, it is very important for jewelry enterprises to con