深纺织Ｂ：2022年第三季度报告（英文版）.PDF
The Third Quarterly Report 20221Stock code:000045,200045Stock Abbreviation:Shen Textile A,Shen Textile BAnnouncement No.:2022-41Shenzhen Textile(Holdings)Co.,Ltd.The Third Quarterly Report 2022The Company and its directors hereby guarantee that the content of information disclosure is real,accurate,complete and free from any false record,misleading representation or material omissions.Important content reminder:1.The Board of Directors,The Supervisory Committee,the supervisors and the directors of the Companyguarantee that there are no significant omissions,fictitious or misleading statements carried in the Report andwe will accept individual and joint responsibilities for the truthfulness,accuracy and completeness of the Report.2.Principal of the Company,General Manager,Person in Charge of Accounting Works and Person in Charge ofAccounting Organ(Accounting Officer)hereby confirm that the Financial Report of the Third Quarterly Reportis authentic,accurate and complete.3.Whether the Third Quarterly Report has been audited or notYes NoI.Main financial data(I)Main accounting data and financial indexesWhether it has retroactive adjustment or re-statement on previous accounting data or notYes NoThis periodIncrease/decrease inthe period comparedwith the same periodof the previous yearYear-begin toperiod-endIncrease/decrease from year-begin toperiod-endcomparedwith the sameperiod of theprevious yearOperating income（Yuan）676,901,015.1718.60%2,122,038,324.2626.89%Net profit attributable to the shareholders ofthe listed company（Yuan）14,115,950.48186.82%56,549,475.58-30.64%Net profit after deducting of non-recurringgain/loss attributable to the shareholders oflisted company（Yuan）9,730,544.281,092.65%44,701,519.74-28.63%Cash flow generated by business operation,net（Yuan）115,901,783.45-271.40%The Third Quarterly Report 20222Basic earning per share(Yuan/Share)0.0279187.63%0.1116-30.60%Diluted gains per share(Yuan/Share)0.0279187.63%0.1116-30.60%Weighted average return on equity（%）0.50%0.33%2.00%-0.91%End of thisperiodEnd of last periodIncrease/decrease at the period-endcompared with the end of theprevious yearGross assets（Yuan）5,582,145,871.055,496,647,107.831.56%Net assets attributable to the shareholders ofthe listed company（Yuan）2,848,193,370.212,816,795,889.891.11%（II)Items and amount of non-current gains and lossesApplicable Not applicableIn RMBItemsThis periodAmount from year-beginto period-endNotesNon-current asset disposalgain/loss(including the write-off part forwhich assets impairment provision is made)0.00-11,114.72Governmental Subsidy accounted as currentgain/loss,except for those subsidies at withamount or quantity fixed by the nationalgovernment and closely related to theCompanys business operation.7,869,993.5318,650,648.01Other benefits of governmentsubsidies that are confirmedrelated to the main business.Net amount of non-operating income andexpense except the aforesaid items-606,222.86948,801.90Less:Influenced amount of income tax45,239.68158,257.89Influenced amount of minor shareholdersequity(after tax)2,833,124.787,582,121.46Total4,385,406.2111,847,955.84-Other gain/loss items that qualified the definition of non-recurring profit(gains)/losses:Applicable Not applicableThe Company does not have other gain/loss items that qualified the definition of non-recurring profit(gains)/lossesExplanation on those non-recurring gain/loss listed in the“Q&A Announcement No.1 on InformationDisclosure for Companies Offering Their Securities to the Public-Extraordinary Profit/loss”defined asrecurring gain/lossApplicable Not applicableThe Company does not have the non-recurring gain/loss listed in the“Q&A Announcement No.1 onInformation Disclosure for Companies Offering Their Securities to the Public-Extraordinary Profit/loss”defined as recurring gain/loss(III)Particulars about changes in items of main accounting data and financial index and explanations ofreasons Applicable Not applicableIn the first third quarters of 2022,the Company realized the net profit attributable to shareholders of thelisted company of RMB 56.5495 million,a decrease of 30.64%over the same period last year.Its mainly dueto that in order to jointly respond to the new coronavirus epidemic and actively fulfill social responsibilities thisyear,the Company and its wholly-owned and holding subsidiaries have reduced property rents for eligibleproperties,therefore the rental income of the current period has decreased significantly YOY.The Third Quarterly Report 20223In the third quarter of 2022,the Company realized the net profit attributable to shareholders of the listedcompany of RMB 14.116,an increase of 186.82%from the same period last year.Its mainly due to that theyield and loss rate and other technical indicators of the Companys ultra-large size TV polarizer project(Line 7)had improved to a certain extent compared with the same period of the previous year,and the productioncapacity had increased YOY,boosted the Companys this quarter operating performance upped YOY.ItemsEnding balance(RMB 10,000)Operaingbalance(RMB10,000)Changes ratioReasons of changesMonetary funds56,635.4930,247.2887.24%Mainly due to the increase in business volume boosted bythe mass production of Line 7 and the release of productioncapacity.Notes receivable9,395.0314,994.29-37.34%Mainly due to a decrease in the acceptance bills accepted inthe polarizer business sales during the reporting period.Account receivable62,932.3547,999.8731.11%Mainly due to the increase in business volume boosted bythe mass production of Line 7 and the release of productioncapacity.Financing receivable7,043.192,147.41227.99%Mainly due to the increase in business volume boosted bythe mass production of Line 7 and the release of productioncapacity.Prepayments5,425.901,540.66252.18%Mainly due to an increase in advances for materials.Other accountreceivable766.6114,018.58-94.59%Mainly due to a decrease in the return of customs deposits.Other current asset8,054.752,950.34173.01%Mainly due to the verification of input VAT to be deductedduring the reporting period and thereby transferred into taxpayable.Construction in progress2,969.137,148.20-58.46%Mainly due to the transfer of RTP production lines intofixed assets.Use right assets1,442.92922.1256.48%Mainly due to the increase in leased warehouses.Other non-currentfinance asset-3,065.09-100.00%Mainly due to the disposal of other non-current assets.Other non-current asset5,587.088,456.03-33.93%Mainly due to the receipt of prepaid payment invoices forengineering and equipment.Short-term loans1,435.003,757.51-61.81%Mainly due to a decrease in discounted unexpiredacceptances.Advance receipts1,251.16180.53593.04%Mainly due to the rent reduction transferred into theadvance collection of rent.Tax payable431.31920.06-53.12%Mainly due to the rent income reduction.Other account payable13,850.9220,131.74-31.20%Mainly caused by the payment of the project.Lease liability647.56424.3952.59%Mainly caused by the increase of backup warehouses.Other current liabilities6,108.192,752.39121.92%Mainly due to the increase in the discount notes caused byboosted business.The Third Quarterly Report 20224ItemsAmount at theperiod（RMB10,000)Amount at thesame period oflast year(RMB10,000)Changes ratioReasons of changesR&D expense5,916.907,284.51-18.77%Financial expenses186.80-168.32-210.98%Mainly due to the interest expensed after the Line 7transferred into fixed assets.Credit impairment loss-8.88-318.58-97.21%Mainly due to the collection of receivables and bad debtswere prepared to be transferred back.Operating profit9,079.9310,413.55-12.81%Non-operating income188.222,054.14-90.84%Mainly due to the disposal income of the import and exportcompany last year,yet there was no such item in thecurrent period.Non-operating expense93.3457.3662.72%Mainly due to the increase in donations of materials due tothe new coronavirus epidemic.Total profit(9,174.8112,410.34-26.07%Net profit attributable tothe shareholders of thelisted company5,654.958,152.47-30.64%Mainly caused by policy rent reduction.Net cash flow generatedby operating activities11,590.18-6,761.99-271.40%Mainly due to the increase in business volume boosted bythe mass production of Line 7 and the release of productioncapacity.Net cash flow generatedby investment activities13,905.02-31,611.19-143.99%Mainly due to money fund redemptions.Net cash flow generatedby Financing activities186.8227,800.98-99.33%Mainly due to there were no major fundraising projects inthe current period.II.Shareholders Information(I)Total number of common shareholders and preference shareholders with voting rights recovered andtop ten common shareholdersIn sharesTotal number of commonshareholders at the period-end38,448Total preference shareholders with the voting powerrecovered at the end of the reporting period(if any)0Shares held by the top 10 shareholdersShareholder nameProperties ofshareholderShareproportion%QuantityAmount oftradable shareswithConditionalheldPledging or freezingStatus ofthe sharesQuantityShenzhen Investment HoldingsCo.,Ltd.State-ownedlegal person46.21%234,069,436The Third Quarterly Report 20225Shenzhen Shenchao TechnologyInvestment Co.,Ltd.State-ownedlegal person3.18%16,129,032Deng YanDomesticNature person1.42%7,208,200Su WeipengDomesticNature person1.23%6,208,853Su WeipengDomesticNature person0.71%3,580,000Pledging2,800,000Chen XiaobaoDomesticNature person0.66%3,321,184Qi JianhongDomesticNature person0.45%2,288,800MERRILL LYNCHINTERNATIONALOverseas legalperson0.45%2,272,101Li ZengmaoDomesticNature person0.39%1,968,297Wang ZhongjingDomesticNature person0.37%1,881,500Shareholding of top 10 shareholders of unrestricted sharesName of the shareholderQuantity of unrestricted shares held at theend of the reporting periodShare typeShare typeQuantityShenzhen Investment HoldingsCo.,Ltd.234,069,436RMB Common shares234,069,436Shenzhen Shenchao TechnologyInvestment Co.,Ltd.16,129,032RMB Common shares16,129,032Deng Yan7,208,200RMB Common shares7,208,200Su Weipeng6,208,853Foreign shares placedin domestic exchange6,208,853Su Weipeng3,580,000RMB Common shares3,580,000Chen Xiaobao3,321,184RMB Common shares3,321,184Qi Jianhong2,288,800RMB Common shares2,288,800MERRILL LYNCHINTERNATIONAL2,272,101RMB Common shares2,272,101Li Zengmao1,968,297RMB Common shares1,968,297Wang Zhongjing1,881,500RMB Common shares1,881,500Related or acting-in-concertparties among shareholders aboveAmong the top 10 common shareholders,Shenzhen Investment Holdings Co.,Ltd.and Shenzhen Shenchao Technology Investment Co.,Ltd.do not constitute a concerted party relationship.In addition,the company does not know whether there is an associated relationship among the top 10 ordinary shareholders,and between the top 10 ordinary shareholders and the top 10 shareholders,or whether they are persons taking concerted action defined in Regulations on Disclosure of Information about Shareholding of Shareholders of Listed Companies.Participation of top 10unconditional common shareshareholders in securities margintrading(if any)None(II)Total shareholders with preferred stock held and shares held by top ten shareholders with preferredstock held Applicable Not applicableIII.Other significant eventsApplicable Not applicable(I)Progress of polarizer industrialization project for ultra-large TV(Line 7)During the reporting period,technical indicators such as yield and loss rate of Line 7 improved month bymonth,production capacity increased,and the companys operating performance improved month by month.The Third Quarterly Report 20226The main products of Line 7 have been completed through customer verification,the order volume has beengradually increased,and the unit manufacturing cost of the products has been gradually reduced.With thesmooth climbing progress of Line 7,the subsequent products will have a positive impact on the companysbusiness performance.(II)About the investment and construction of RTS after the production lineIn 2021,the company increased investment in one RTS production line,the total project investment does notexceed 30 million yuan;As of September 30,2022,the amount of contracts signed was 25.56 million yuan,andthe actual payment was 22.02 million yuan;As of September 30,2022,The Company had overcome theadverse effects of the epidemic,and presently the project has completed the move-in,installation andcommissioning of all equipment,and successfully completed the trial production and possessed the massproduction capacity,yet its promoting the follow-up production and operation in an orderly manner accordingto market conditions and customer needs.(III)The disposal of assets of the joint venture company Xieli Automobile Co.,Ltd.Shenzhen Xieli Automobile Co.,Ltd.(hereinafter referred to as Shenzhen Xieli)is a Sino-foreign jointventure invested by the company and Hong Kong Xieli Maintenance Company in 1981,with a registeredcapital of 3.12 million yuan,and the company holds 50%of the equity.The company operated until 2008 andits business license was revoked in 2014,with the main assets were property.In March 2020,Shenzhen XieliIndustry and Commerce has been cancelled,but there are three properties under its name how to dispose of bothshareholders need to solve after further negotiation.On July 26,2021,the Company filed to the Peoples Court of Yantian District,Shenzhen City,GuangdongProvince the cancellation of Shenzhen Market Supervision Administration of Shenzhen Xieli AutomobileEnterprise Co.,Ltd.on March 9,2020;On November 21,2021,the cancellation of Shenzhen Xieli AutomobileEnterprise Co.,Ltd.;on December 3 and December 6,2021,Hong Kong Xieli and Shenzhen MarketSupervision Administration submitted an appeal to the Shenzhen Intermediate Peoples Court respectively.OnApril 18,2022,the company received the notice of the second instance hearing sent by Shenzhen intermediatepeoples court.The case was heard on April 27,2022.On June 28,2022,the Shenzhen Intermediate PeoplesCourt ruled that the first judgment was to revoke the administrative judgment-No.1883 Xingchu 0308 Yue2021of the Yantian District Peoples Court of Shenzhen City,and the second was to send it back to the YantianDistrict Peoples Court of Shenzhen City Guangdong Province for a re-trial.On July 22,2022,a summons wasreceived from the Yantian District Peoples Court of Shenzhen City Guangdong Province,and the trial wasscheduled to begin on August 25,2022.Due to the coronavirus pandemic,the court hearing was postponed toSeptember 29,2022.As of the date of disclosure of this report,the court hearing has not yet rendered ajudgment.（IV）Regarding the progress of litigation involving the Company and its holding subsidiariesIn July and August 2022,the Company and its holding subsidiary-Shengbo Optoelectronic Technology Co.,Ltd.received legal documents such as No.3507,No.4013,and No.4336 Minchu 0310Yue(2022)of Notice ofResponse and Summons served by the Peoples Court of Pingshan District Shenzhen City GuangdongProvince,and its informed that the court
