Guangdong Dongfang Precision Science & Technology Co. Ltd.【Date of Disclosure】14 August 2025Guangdong Dongfang Precision Science & Technology Co. Ltd. Part I Important Notes Table of Contents and Definitions
The Board of Directors (or the “Board”) the Supervisory Committee as well as the
directors supervisors and senior management of Guangdong Dongfang Precision Science &
Technology Co. Ltd. (hereinafter referred to as the “Company”) hereby guarantee that the
contents of this Report are true accurate and complete and free of any misrepresentations
misleading statements or material omissions and collectively and individually accept legal
responsibility for such contents.Tang Zhuolin the Company’s legal representative Shao Yongfeng the Company’s Chief
Financial Officer and Chen Lin the Head of the Company’s Accounting Department
(equivalent to Financial Manager) hereby guarantee that the financial statements carried in
this Report are truthful accurate and complete.All directors of the Company attended in person the board meeting for the approval of
this Report.For possible risks with respect to the Company please refer to “X Risks Faced by theCompany and Countermeasures” of “Part III Management Discussion and Analysis” herein.And investors are kindly advised to read through the aforesaid contents.The Company has no semi-annual dividend plan either in the form of cash or stock.Special Declaration
This Report has been prepared in Chinese and translated into English. Should there be
any discrepancies or misunderstandings between the two versions the Chinese version shall
prevail.Page 2 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Table of Contents
Part I Important Notes Table of Contents and Defin... 2
Part II Corporate Information and Key Financial In... 7
Part III Management Discussion and Analysis......... 10
Part IV Corporate GovernanceEnvironmental and Soci.. 65
Part V Significant Events............................69
Part VI Share Changes and Shareholder Information....75
Part VII Corporate Bonds............................ 83
Part VIII Corporate Financial Statements............ 84
Part IX Other Reported Data.........................194
Page 3 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Documents Available for Reference
1. The financial statements signed and sealed by the Company’s legal representative Chief Financial Officer
and the person-in-charge of the financial organ.
2. All the originals of the Company’s announcements and documents that were disclosed to the public during
the Reporting Period on the media designated by the CSRC for information disclosure.
3. The 2025 Semi-Annual Report carrying the signature of the legal representative.
4. The documents above are lodged in the Securities Department of the Company 18A China Merchants
Plaza 1166 Wanghai Road Shekou Shuiwan Community Zhaoshang Street Nanshan District Shenzhen City
Guangdong Province China.Page 4 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Definitions
Term Definition
Guangdong Dongfang Precision Science & Technology Co. Ltd. and its
Dongfang Precision or the “Company”
consolidated subsidiaries except where the context otherwise requires
The corrugated box packaging machinery division of Guangdong Dongfang
Dongfang Precision (China)
Precision Science & Technology Co. Ltd.Fosber Italy Fosber S.p.A.Fosber Asia Guangdong Fosber Intelligent Equipment Co. Ltd.Fosber America Fosber America Inc.Fosber Tianjin Fosber Machinery (Tianjin) Co. Ltd.The business group including subsidiaries Fosber Italy Fosber America Qcorr
Fosber Group
Tirua Group etc.Tirua Group Tirua Slu
Tirua America Tirua America Inc.Tirua Asia Tirua (Guangdong) Intelligent Equipment Manufacturing Co. Ltd
QCorr QuantumCorrugated S.r.l.Dongfang Precision (Europe)/EDF EDF Europe S.r.l.Dongfang Precision (Netherland) Dong Fang Precision (Netherland) Cooperatief U.A.Dongfang Precision (HK) Dong Fang Precision (HK) Limited
Wonder Digital Shenzhen Wonder Digital Technology Co. Ltd.Parsun Power Suzhou Parsun Power Machine Co. Ltd.Suzhou High-Tech Zone Jinquan Business Management Partnership (Limited
Suzhou Jinquan
Partnership)
Shunyi Investment Suzhou Shunyi Investment Co. Ltd.Jaten Robot Guangdong Jaten Robot & Automation Co. Ltd.Yineng Investment Hainan Yineng Investment Co. Ltd.Yineng International Dongfang Yineng International Holding Co. Ltd.Dongfang Digicom Dongfang Digicom Technology Co. Ltd.Dongfang Digicom (Guangdong) Dongfang Digicom Technology (Guangdong) Co. Ltd.Corrugated cardboard is a multi-layer paper-bonding object composed of at least
one sandwich layer of wavy medium (commonly known as "corrugated paper"
Corrugated cardboard
"corrugated medium paper" "corrugated paper medium" and "corrugated base
paper") and one layer of cardboard (also known as "liner board").Corrugated box is a rigid paper container made of corrugated boards through die
Corrugated box cutting indenting nailing or gluing. Corrugated box is one of the most widely
used packaging containers in modern business and trade.Corrugated box printing and packaging production line equipment include
corrugated box printing and packaging line and stand-alone products that
Corrugated box printing and packaging production integrates pre-feeding printing grooving die cutting forming and packaging
line equipment functions in whole or in part which is highly functionally integrated highly
automated and highly technical can save the capital and manpower investment
reduce workers' workload and improve the production efficiency of box
Page 5 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. manufacturers and requires equipment manufacturers to be highly competent in
design technological innovation assembly and finishing of parts.Corrugated cardboard production lines are assembly lines comprising
corrugating gluing agglutinating bundle breaking dimension board cutting and
output processes which are used to produce and process corrugated boards.A corrugated cardboard production line has two independent process sections as
the wet section and the dry section. The wet section composed of the base paper
stand auto splicer preheat pre-regulator single-face corrugator feeding bridge
Corrugated cardboard production lines glue machine and double facer is used to make corrugated based paper into
three-layer five-layer and seven-layer corrugated boards of different corrugated
combinations. The dry section composed of the rotary shear slitter indenter
cut-off knife and stacker is used to slit indent cut off and stack corrugated
boards as ordered.Corrugated cardboard production lines are key production equipment for
corrugated board and box manufacturers.Pre-printing and post-printing intelligent automatic packaging machinery refers
to equipment that is compatible with the corrugated box printing line or stand-
Pre-printing and post-printing intelligent automatic
alone products and can provide functions related to pre-printing and post-
packaging machinery
printing processes of corrugated box printing and packaging. It includes the pre-
feeder stripper conveyor intelligent stacker and folder gluer.Outboard motors are a kind of detachable power units that are mounted on the
Outboard motors
stern plate of a boat to drive the boat to sail.General utility small gasoline motors are a kind of thermo-dynamic machinery
of 20kW power or less with a wide range of applicability. It is characterized by
small size light weight and easy operation and is usually used as a power
General utility small gasoline motors engine for a variety of terminal products. By the structure of engine and
principle of work general utility small gasoline motors can be divided into two-
stroke general utility small gasoline motors and four-stroke general utility small
gasoline motors.CSRC China Securities Regulatory Commission
SZSE or the “Stock Exchange” Shenzhen Stock Exchange
Expressed in the Chinese currency of Renminbi expressed in tens of thousands
RMB yuan RMB’0000
of Renminbi
The “Reporting Period” or “Current Period” The period from 1 January 2025 to 30 June 2025
Page 6 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part II Corporate Information and Key Financial Information
I Corporate Information
Stock name Dongfang Precision Stock code 002611
Stock exchange Shenzhen Stock Exchange
Company name in Chinese 广东东方精工科技股份有限公司
Abbr. 东方精工
Company name in English (if
Guangdong Dongfang Precision Science & Technology Co. Ltd
any)
Abbr. (if any) Dongfang Precision
Legal representative Tang Zhuolin
II Contact Information
Board Secretary Securities Representative
Name Feng Jia Zhu Hongyu
18A China Merchants Plaza 1166 18A China Merchants Plaza 1166
Wanghai Road Shekou Shuiwan Wanghai Road Shekou Shuiwan
Office address Community Zhaoshang Street Nanshan Community Zhaoshang Street Nanshan
District Shenzhen City Guangdong District Shenzhen City Guangdong
Province China Province China
Tel. 0755-36889712 0755-36889712
Fax 0755-36889822 0755-36889822
Email address ir@vmtdf.com ir@vmtdf.com
III Other Information
1. Contact information of the company
Whether the company's registered address company office address and its postal code company website and e-mail address have
changed during the reporting period.□ Applicable□ Not applicable
The company's registered address company office address and its postal code the company's website and e-mail address remain
unchanged during the reporting period which can be found in the 2024 Annual report.
2. Information disclosure and location.
Whether the information disclosure and location have changed during the reporting period.□ Applicable□ Not applicable
Page 7 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. The name and address of the stock exchange website and media where the Company discloses its half-yearly report and the place
where the Company's half-yearly report has been filed has not changed during the reporting period which can be found in the Annual
Report 2024.
3. Other relevant information
Whether other relevant information has changed in the reporting period
□ Applicable √ Not applicable
IV Key Financial Information
Indicate whether there is any retrospectively restated datum in the table below.□ Yes √ No
2025H1 2024H1 change (%)
Operating revenue (RMB yuan) 2158956857.88 2161188907.40 -0.10%
Net profit attributable to the listed
397440989.86163880472.14142.52%
company’s shareholders (RMB yuan)
Net profit attributable to the listed
company’s shareholders before exceptional 256886325.80 229107701.04 12.12%
gains and losses (RMB yuan)
Net cash generated from/used in operating
355284471.35118570463.65199.64%
activities (RMB yuan)
Basic earnings per share (RMB yuan /share) 0.33 0.14 135.71%
Diluted earnings per share (RMB yuan
0.330.14135.71%
/share)
Weighted average return on equity (%) 7.58% 3.58% 4.00%
30 June 2025 30 June 2024 Change (%)
Total assets (RMB yuan) 8347404337.56 7528576996.98 10.88%
Equity attributable to the listed company’s
5351030865.114977379483.297.51%
shareholders (RMB yuan)
V Accounting Data Differences under China’s Accounting Standards for Business Enterprises
(CAS) and International Financial Reporting Standards (IFRS) and Foreign Accounting
Standards
1. Net Profit and Equity under CAS and IFRS
□Applicable□ Not applicable
No difference for the Reporting Period.Page 8 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 2. Net Profit and Equity under CAS and Foreign Accounting Standards
□Applicable□ Not applicable
No difference for the Reporting Period.VI Exceptional Gains and Losses
□Applicable □ Not applicable
Unit: RMB yuan
Item Numbers Note
Gain or loss on disposal of non-current assets (inclusive of
-308560.28
impairment allowance write-offs)
Government subsidies included in current profit and loss
(excluding those closely related to the company’s normal business
operations in compliance with national policies enjoyed 10467732.86
according to specified standards and having a continuous impact
on the company’s profit and loss)
Gains and losses from changes in the fair value of financial assets
and financial liabilities held by non-financial enterprises as well
as gains and losses from the disposal of financial assets and 156597226.73
financial liabilities excluding effective hedging related to the
company’s normal business operations
Non-operating income and expenses other than the above 527205.94
Minus: Income tax effects 24962924.76
Non-controlling interests effects (net of tax) 1766016.43
Total 140554664.06 --
Details of other profit and loss items that meet the definition of non-recurring profit or loss.□ Applicable□ Not applicable
No such cases in the Reporting Period.Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item defined or listed in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Gain/Loss
Items:
□ Applicable□ Not applicable
No such cases in the Reporting Period.Page 9 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part III Management Discussion and Analysis
With “intelligent equipment manufacturing” as its primary strategic focus Dongfang Precision concentrates on the
manufacturing of high-end intelligent equipment. Its principal operations include “intelligent packaging equipment” and “waterpowersports equipment”. The “intelligent packaging equipment business” consists of smart corrugated packaging equipment digital
printers and industrial Internet industry solutions. Dongfang Precision accounts for approximately 15% of the global corrugated
packaging equipment market ranking first among domestic enterprises of the same type and Top 2 in the global market.The company
has the capability to flexibly customize intelligent efficient and integrated production line equipment for customers. Leveraging its
capabilities in industrial Internet industry solutions and its advancements in the field of artificial intelligence the company is
upgrading from intelligent equipment manufacturing to high-quality digital and intelligent development achieving a comprehensive
breakthrough in its “digital and intelligent” strategy.Regarding the “the business division of water powersports equipment” the controlled subsidiary Parsun Power has ranked first
in the domestic industry for three consecutive years (2020-2022) in terms of outboard motors. In 2021 and 2023 Parsun Power
successfully mass-produced 115-horsepower and 130-horsepower gasoline outboard motors respectively. In 2024 Parsun Power
released its first domestically produced 300-horsepower gasoline outboard motor. In the first half of 2025 Parsun Power successfully
achieved mass production and delivery of the 300-horsepower gasoline outboard motor becoming the first company in China to mass
-produce this model. This achievement makes China the third country in the world after the United States and Japan capable of
successfully mass-producing a 300-horsepower gasoline outboard motor. It marks China’s leap from being a “follower” to a
“competitor” in the field of high-end high-horsepower outboard motors in the global high-end equipment manufacturing industry. It
also announces that domestic outboard motors will fully enter the global high-end mainstream market to compete on the same stage
with international brands worldwide. In 2025 the company launched its first electric trolling motor establishing a new growth curve
centered on the positioning of becoming “a supplier of comprehensive water powersports solutions and products”.During the 14 years since its listing on the Shenzhen Stock Exchange in 2011 Dongfang Precision has always highly valued the
“organic growth + external expansion” strategic development model. Guided by the principle of “the principal businesses as the core+ extended investment as the support” this model drives the Company forward on a circular basis. In terms of strategic development
Dongfang Precision has always closely followed the strategic blueprint for the transformation and upgrading of China’s
manufacturing industry outlined by the state focusing on the core theme of “high-quality development”. Since 2020 it has promoted
“digital transformation” creating industry-specific digital factory solutions for the large packaging sector facilitating the digital
transformation and upgrading of the industry chain. In 2024 the Company followed the national strategic direction of the new quality
productive forces accurately targeting the “artificial intelligence + robotics” strategic emerging industries. At the same time it began
laying out future industry tracks such as “key structural materials for controlled nuclear fusion + nuclear power equipment” building
an investment matrix spanning two major strategic fields at the industry chain level. The Company has deeply integrated its core
resources and excellent capabilities accumulated in equipment manufacturing over the years and has organically linked with
strategically invested companies in cutting-edge fields like humanoid robots AI big models and key structural materials for
controlled nuclear fusion. The goal is to seek cooperation in production manufacturing application scenarios and market expansion
to jointly explore the infinite potential of cutting-edge application scenarios and to ultimately achieve deep co-creation sharing and
win-win cooperation of upstream downstream value entities across the entire industry chain.Page 10 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. I Principal Operations of the Company in the Reporting Period
(I) Industries in which the Company principally operates
According to the Classification of Strategic Emerging Industries (2018) and the Industrial Classification for
National Economic Activities (GB/T 4754-2017) the industries in which the Company principally operates are
shown below:
The Company’s Principal Business Divisions and Their Industries
Strategic Principal
emerging Industry business Primary products and their applications
industry division
1. Corrugated cardboard production lines: The
corrugated cardboard production lines are used for the
production of corrugated cardboards of different
specifications are the core machinery for corrugated
packaging production and are widely used by medium
and large enterprises (cardboard plants) that produce
Smart
corrugated cardboards.corrugated
packaging 2. Corrugated box printing and packaging production
equipment lines : The corrugated box printing and packaging
production line equipment is used to produce and
Intelligent Specialised
process corrugated cardboards into corrugated boxes of
manufacturing equipment different specifications. The corrugated box printing
equipment manufacturing and packaging production line equipment is widely
used by various enterprises (box plants) that produce
corrugated boxes in the corrugated packaging industry.Digital printers generate graphic images from digital
information. With the help of print head ink digital
Digital printing enables the formation of the image directly on
the printing stocks and can indirectly transmit the
printers
colour and auxiliary substances to the print stocks to
form the presswork. Digital printing can meet the
requirement for industrial production.Industrial Industrial Specific Industrial Internet Platformthe intelligent
Internet and Software and Internet production management system matched with the
supporting information services industry corrugated box printing and packaging production lines
services solutions and equipment after-sales service management system
Manufacturing of Railway shipping Water Outboard motors are a kind of detachable power units
ship auxiliary aviation and other powersports that are mounted on the stern plate of a boat to drive the
equipment transport equipment equipment boat to sail and can be applied to boats shorter than
manufacturing 24m. They are widely used in water recreation fishing
Page 11 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Strategic Principal
emerging Industry business Primary products and their applications
industry division
industries water traffic emergency rescue shore landing and
maritime patrol.(II) Industry overview
1. The Industries to which the Company's Intelligent Packaging Equipment Business Segment Belongs
1.1 Demand side—customers
The intelligent packaging equipment division of the Company primarily serves B-end customers such as
corrugated cardboard and corrugated box manufacturers. The Company provides various single machine and
complete production line products for cardboard and box production.End demand for corrugated packaging is growing:. Corrugated packaging products are used in a vast
number of fields including food and beverage household chemicals electronic products and e-commerce
express delivery and are inelastically demanded by consumers. Electronic products food beverage and express
delivery take up 26% 20% 21% and 13% respectively of the downstream application market of paper
packaging.China’s express market and the relevant fields such as e-commerce and logistics show an increasing
demand for corrugated box and board packaging which will drive the expansion of the capacity of corrugated
packaging enterprises and thus increase the demand for corrugated packaging machinery.Digital and intelligent upgrading brings new development opportunities. The “strategy of robotassembling line” and “smart factory” are increasingly recognized by the industry. Additionally leading
packaging enterprises including Xiamen Hexing Packaging Printing Co. Ltd. (HXPP) MYS Group Co. Ltd.(MYS) Shenzhen YUTO Packaging Technology Co. Ltd. and Shenzhen Jinjia Group Co. Ltd. have
successively entered markets such as intelligent manufacturing one after another. The capacity upgrade in the
paper packaging and printing industry continues to deepen. Against the backdrop of intelligent manufacturing
leading enterprises in the corrugated paper packaging equipment industry are also expected to embrace new
opportunities for development.Overseas demand is growing steadily: In recent years when environmental pollution becomes more and
more serious growing environmental awareness has led to “plastic bans and restrictions” across the world
providing a major boost to paper as an alternative to plastic. The global green packaging market is projected to
grow from USD262.27 billion in 2023 to USD381.98 billion in 2028 with a compound annual growth rate of
7.81% during the forecast period (2023-2028).
The corrugated cardboard produced by corrugated cardboard production lines is used to make various
corrugated boxes corrugated cartons and other corrugated packaging materials which are rigid consumer
products in European and American countries. The philosophy of “sustainability” is gaining ground in the
European and US consumer goods packaging markets. With the growing trend of "replacing plastics with paper"
Page 12 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. in the packaging industry demand for corrugated packaging materials in the European and US consumer goods
markets continues to grow steadily helping to drive demand for corrugated packaging production line equipment.The rapid development of digital printing brings more development opportunities for the
industry.According to the latest report by Smithers Pira during the period from 2024 to 2029 the compound
annual growth rate of digital inkjet printing in the packaging field will be approximately 15%. It is estimated that
the global market size of digital inkjet printing in the packaging field will reach 18.08 billion US dollars by 2029.In the Chinese market with the continuous growth of demand for "small-batch + multi-variety + personalized +
customized" packaging in the packaging field digital inkjet printing is rapidly penetrating the packaging sector.According to the forecast of Qianzhan Research Institute the compound annual growth rate of digital inkjet
printing in China's packaging field will be about 18.0% from 2024 to 2029.
1.2 Supply side——the Company’s presence in the industry
In the field of intelligent packaging equipment Dongfang Precision has a complete layout and has formed a
multi-segment business system covering corrugated cardboard production lines core components of corrugated
board production lines carton printing and packaging lines as well as digital printing equipment. Relying on its
comprehensive industrial chain layout and strong technological strength the company with its wide range of
products and advanced technologies provides global customers with one-stop and all-round intelligent packaging
equipment solutions.Corrugated cardboard production lines: Major manufacturers of corrugated cardboard production lines
around the world include Fosber Group BHS Marquip and J.S. Machine. The Fosber Group along with its
major competitor BHS from Germany ranks in the first tier. Fosber Group holds approximately 30% of the global
middle- and high-end corrugated cardboard production line market and more than 50% of the North American
market.Corrugated & pressure rollers key components of corrugated cardboard production lines: The subsidiary
Tirua Group has more than 40 years of experience in the corrugated and pressure roller segment and is renowned
in Europe as a world-leading specialist in this segment.Corrugated box printing and packaging production line equipment: Major manufacturers in this field include
Dongfang Precision Bobst Gopfert Ward Ding Long (Shanghai) and Guangzhou Keshenglong. With an
advantage in global resource coordination leading design concept excellent overall R&D strength and a product
system featuring complete categories and rich specifications Dongfang Precision is an industry leader in China
and is competitive with the global industry leader Bobst from Switzerland.Digital printers: Major manufacturers include HP EFI Koenig & Bauer Durst Wonder Digital Hanhua
Gongye and Atexco among others. Wonder Digital a majority-owned subsidiary of Dongfang Precision is a
leader in the domestic digital printer industry and has been committed to extending digital printing technology to
such fields as paper packaging (colour printing & pre-printing) advertising home furnishing building materials
and label printing.Dongfang Precision leads the world in terms of its comprehensive strength in smart corrugated packagingequipment business and can provide downstream customers such as cardboard plants and box plants with “one-stop” machinery and service support that covers each production process including corrugated cardboard
Page 13 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. production corrugated box production and pre-printing and post-printing production processes and different
technology roadmaps including flexographic printing and digital printing.The value of the global corrugated packaging equipment market is estimated to be about RMB30-40
billion. In terms of operating revenue Dongfang Precision accounts for approximately 15% of the global
corrugated packaging equipment market ranking first among domestic enterprises of the same type and
second in the global market.
2. The industry to which the company's industrial Internet industry solutions business belongs
Policy side: .For eight consecutive years from 2018 to 2025 "Industrial Internet" has appeared in the
government work report every year. The government work report in 2025 put forward the idea of "vigorously
promoting new industrialization and accelerating the innovative development of the Industrial Internet". The "14th
Five-Year Plan for the In-depth Integration of Informatization and Industrialization Development" proposed that
by 2025 informatization and industrialization would achieve integrated development on a broader scale at a
deeper level and at a higher level. Under the guidance and support of a series of policies the Industrial Internet
and smart factories have always been important directions for the transformation and upgrading of the
manufacturing industry.Market side: China is the only country in the world whose industries cover all industrial categories in the
United Nations’ industrial classification. Concurrently it is expected to grow into the world’s largest industrial
digitalization market. For the current manufacturing industry of China digital transformation is no longer an
“option” but a “compulsory course” that is critical to its survival and long-term development.According to the Bluebook on the Digital Transformation of Enterprises--Empowering the Low-carbon and
Green Transformation of the Real Economy with New IT released by the China Academy of Information and
Communications Technology after relevant manufacturing enterprises complete digital transformation on average
their production efficiency will be boosted their operating expenses will be lowered and their energy utilisation
rate will be improved. Concurrently with the rapid development and continuous iteration of the new-generation
information technology the cost of digital transformation of enterprises is gradually decreasing.According to the data released by Frost & Sullivan the scale of the market of industrial Internet platforms
and relevant solutions in China by 2025 is estimated to reach RMB193.12 billion.Supply side:The key technologies and industries that the industrial Internet involves are extensive and
complex and can hardly be fully covered by enterprises. Thus developing the industrial Internet by relying on
industrial manufacturing enterprises becomes a typical development path of industrial Internet enterprises such as
Root Cloud Midea Cloud. In the packaging field major manufacturers that provide industrial Internet-related
products and solutions services include Yunyin Dongfang Digicom and Shanghai Wantit.The subsidiary Dongfang Digicom carrying Dongfang Precision’s missions of expanding into the industrial
Internet industry and implementing “digital and intelligent transformation strategies” was established in 2020.With the vision “to become a world-leading provider of industrial Internet industry solutions” Dongfang Digicom
is engaged in building industrial Internet platforms for industries using new-generation information technologies
such as the IoT cloud computing big data and artificial intelligence to facilitate digital and intelligent upgrading.
3. The Industries to which the company's water power products segment belongs
Page 14 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 3.1 Demand side——customers
Outboard motors are the key auxiliary equipment for small- and medium-sized ships and are characterized by
their compact structures light weights convenient installation and maintenance easy operations and low noise.The downstream of the outboard motor industry involves the shipbuilding industry primarily applied in areas such
as yachts sailboats and other vessels encompassing applications in recreational sports commercial operations
and military maritime activities.Applications of Parsun Power’s Outboard Motors
Field Scenario Example
Recreational fishing
Recreational sailing and water
sports
Fishing water traffic
Commercial and waterway
maintenance
Page 15 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Emergency rescue
Official and and maritime patrol
military Beach landing and
water reconnaissance
Global Market: According to a report by the international market research agency GMI the global market
sales for outboard motors are expected to reach USD15975 million by 2030 with a compound annual growth rate
(CAGR) of 5.35% from 2023 to 2030.
Figure: Global Outboard Motor Sales Volume and Market Size 2023–2030 (in ten thousands of units in hundreds of millions of US dollars)
Units Dollars
By Application Field: The recreational boating sector is the largest downstream application market for
outboard motors. By 2030 it is expected that the market share of outboard motors used in water-based leisure
sports will account for 73.22% globally. Yachts are one of the main downstream products equipped with outboard
motors. In recent years the global yacht industry has shown a trend of expanding scale. According to a report by
the China Association of the National Shipbuilding Industry the global leisure boat market size is expected to
grow from USD16.4 billion in 2021 to USD23.6 billion in 2027 with a CAGR of approximately 6.20%.Benefiting from the rapid growth of the downstream yacht market the global outboard motor market for water
leisure sports is expected to grow steadily.By Power Size: The market share of mid-to-high power outboard motors accounts for more than three-
quarters of the total market. In 2023 the mid-to-high power outboard motor market share in the global outboard
Page 16 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. motor market was 79.72%. North America and Europe are the main markets for mid-to-high power outboard
motors. From 2023 to 2030 the compound annual growth rate (CAGR) of the mid-to-high power outboard motor
market in the Asia-Pacific region is expected to reach 8.97%.Figure: Market Size and Forecast of Outboard Motors by HP 2023–2030 (in hundreds of millions of US dollars)
Small HP mid-to-high HP
By Power Type: Gasoline outboard motors are the mainstream model in the global outboard motor
consumption market. By 2030 it is expected that the market share of gasoline diesel and electric outboard
motors globally will be 80.21% 11.49% and 8.30% respectively. Diesel engines have certain market space in
specific fields. Electric outboard motors are primarily used for low horsepower with a higher price but features
such as greater environmental friendliness and easier maintenance. With increasingly stringent environmental
regulations in various countries and continuous advancements in battery technology the application of electric
outboard motors is becoming more widespread.Figure: Market Size and Forecast of Outboard Motors by Fuel Type 2023–2030 (in hundreds of millions of US dollars)
Gasoline Electric
Page 17 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Chinese Market: By 2030 the market size of outboard motors in China is expected to reach USD588 million
with a compound annual growth rate (CAGR) of 9.79% from 2022 to 2030 significantly higher than the global
CAGR. Benefiting from the rapid growth of China’s economy and changes in residents’recreational habits China
has become one of the fastest-growing countries in the global outboard motor market.In recent years considering the development of China’s water tourism and recreational industry and the
emphasis of the government on maritime rights the Chinese government agencies at all levels have granted
vigorous policy support to ship-related industries. For example the National Development and Reform
Commission has included high-performance ships such as superyachts luxury cruise ships marine surveillance
vessels and small-waterplane-area twin hulls among items for encouragement. The Ministry of Industry and
Information Technology has proposed developing brand products such as luxury superyachts sightseeing boats
and official boats. The State Council has also proposed vigorously developing marine tourism manufacturing
localised tourism equipment such as cruises and cruise yachts and vigorously developing cruise yacht tourism.China’s yacht industry will usher in rapid development.Domestic substitution has become the mainstream trend in the development of the domestic outboard motor
industry. According to China’s customs import and export data the import value of outboard motors into China
reached RMB1283 million in 2023. In the public service and military fields China’s military outboard motors in
the mid-to-high power range primarily use overseas brands. Against the backdrop of the national policy
encouraging domestic equipment to replace imports with the rise of domestic outboard motor companies China
is expected to enter a new stage of prosperous development for the rise of domestic outboard motor companies.Leading domestic outboard motor companies will benefit from both the industry’s rapid growth and domestic
substitution.The electric trolling motor (also known as the “marine electric propeller” or “electronic anchor”) is an
auxiliary power device installed on fishing ships. Its primary function is to achieve ship positioning and stability.Through GPS/Beidou satellite positioning combined with power compensation technology a ship can remain in
the predetermined location without the need for traditional anchoring. Even in the face of wind waves and
currents the motor can automatically adjust the thrust direction to maintain the ship’s orientation. The electric
trolling motor is mainly used in recreational fishing and competitive fishing events and can also serve as an
auxiliary electric propulsion device for position holding or course adjustment.According to the Fact.MR report the global market size for electric trolling motors is expected to grow from
approximately USD583 million in 2023 to around USD851 million by 2034. Among them bow-mounted models
will account for over 60% of the total electric trolling motor market. In a global context North America and
Europe are currently the main markets for electric trolling motors with regions such as East Asia and Southeast
Asia developing at a faster pace. Domestically the use of electric trolling motors is concentrated in areas where
recreational fishing culture is popular such as coastal provinces in China and locations where fishing enthusiasts
gather.The Chinese electric trolling motor market is in its growth phase. Due to the continuous increase in the
number of participants in water-based recreational sports greater product awareness and more affordable pricing.electric trolling motors are gradually penetrating from the professional sea fishing tackle market into the broader
Page 18 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. mass-market water recreation sector. With ongoing trends like technological innovations (such as multi-mode
satellite navigation high-precision positioning control systems energy system optimization brought by motor and
battery technology advancements and the introduction of AI technology) and domestic substitution the Chinese
electric trolling motor market has substantial potential for development.
3.2 Supply side——the Company’s presence in the industry
The major participants in the global outboard motor market are Japanese and American brands including
Yamaha and Suzuki from Japan and Mercury from the United States. Compared to international competitors
Parsun Power relying on its product performance that is close to the competitors’ and its clear price advantage
competes globally with American and Japanese manufacturers by offering high cost-performance products.Parsun Power a holding subsidiary is a leading company in the domestic outboard motor industry. From
2020 to 2022 Parsun Power’s outboard motor products ranked first in market share in China for three consecutive
years. The company is a national “Little Giant” enterprise specializing in innovation a national high-tech
enterprise the Jiangsu Province Outboard Motor Engineering Technology Research Center a recognized
enterprise technology center in Jiangsu Province a leading enterprise in the Chinese internal combustion engine
industry and a member unit of the Small Gasoline Engine Branch of the China Internal Combustion Engine
Industry Association. At the same time its outboard motor products have also received various honors including
the National Torch Program Industrialization Demonstration Project Certificate China Machinery Industry
Innovative Products Jiangsu Province Famous Brand Products and Suzhou City Famous Brand Products.In the outboard motor sector: Parsun Power has maintained a leading position in the domestic industry in
terms of comprehensive R&D and innovation capacities for many years. In 2021 and 2023 Parsun Power
successfully mass-produced 115-horsepower and 130-horsepower gasoline outboard motors respectively. In 2024
Parsun Power released its first domestically produced 300-horsepower gasoline outboard motor. In the first half of
2025 Parsun Power successfully achieved mass production and delivery of the 300-horsepower gasoline outboard
motor becoming the first company in China to mass-produce this model. This makes China the third country in
the world after the United States and Japan capable of successfully mass-producing a 300-horsepower gasoline
outboard motor. The core technology of the 300-horsepower gasoline outboard motor is independently controlled
with production manufacturing and supply chain localization marking a milestone in China’s autonomous high-
end equipment manufacturing in the outboard motor sector. It successfully breaks the monopoly of U.S. and
Japanese manufacturers in the high-horsepower and high-power segment of outboard motors signaling China’s
leap from a “follower” to a “competitor” in the field of high-end high-horsepower outboard motors. It also
announces that domestic outboard motors will fully enter the global high-end mainstream market to compete on
the same stage with international brands worldwide.In March 2025 Parsun Power released its first electric trolling motor product at the 28th China Shanghai
International Boat Show & Shanghai International Workboat Show 2025 (“CIBS2025”). The development of this
product follows the “high-end positioning positive R&D” philosophy having undergone over 40 rounds of shape
optimization 70 structural adjustments more than 100 software version iterations and nearly a thousand water
tests. It fully demonstrates Parsun Power’s years of accumulated technical expertise. Parsun Power will use the
launch of its first electric trolling motor product as a starting point to continuously expand its comprehensive
Page 19 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. layout in the water powersports product field and create a new performance growth curve.(III) Principal operations of the Company in the Reporting Period
With “intelligent equipment manufacturing” as its primary strategic focus Dongfang Precision concentrateson the manufacturing of high-end intelligent equipment. Its principal operations include “intelligent packagingequipment” and “water powersports equipment”. The “intelligent packaging equipment business” consists of
smart corrugated packaging equipment digital printers and industrial Internet industry solutions.Business Divisions and Entities of Dongfang Precision
Page 20 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. AThe intelligent packaging equipment division
The intelligent packaging equipment division consists of smart corrugated packaging equipment digital printers and industrial Internet industry solutions
which cover the most important links in the value chain of corrugated packaging production (as shown below).Relationship between Corrugated Packaging Manufacturing Value Chain and the Company's Smart Corrugated Packaging Equipment
Page 21 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. a. Smart corrugated packaging equipment business
(1) Corrugated cardboard production lines (including corrugated rollers)
The corrugated cardboard production lines business of the company is engaged in corrugated cardboard
production lines (under the brands of Fosber and Quantum) as well as corrugated and pressure rollers (under the
Tirua brand) which are key components of corrugated cardboard production lines. With the overseas Fosber
Group (under it Fosber Italy Fosber America QCorr and Tirua Group) as well as the domestic Fosber Asia and
Tirua Asia Dongfang Precision is able to provide products and services for customers around the world.Overseas Fobser Group primarily serves large- and medium-sized manufacturers in Europe North America
Latin America and other countries and regions. All the business units and profit centres of Fosber Group have
their business assets and staff located in Europe and North America. They adopt a local management and
operation model and design develop and manufacture their products locally. Fosber Group has established stable
partnerships with major manufacturers in the corrugated packaging industry in Europe and the US.Domesticallysupported by China’s most complete supply chain across all industrial sectors globally as
well as the competitive edge of manufacturing Fosber Asia’s corrugated lines have been designed and adapted to
the needs of customers in the Chinese market. Over 90% of the components of the corrugated lines are
manufactured domestically. These products which are high-tech high-performance and cost-efficient for they are
made in China are provided for corrugated packaging manufacturers in China Asia (East Asia Southeast Asia
South Asia and the Middle East) Africa Russia and Latin America. Tirua Asia has achieved the mass
production and delivery of the first batch of domestic corrugated rolls and pressure rolls. While catering to the
needs of Fosber Asia’s corrugated lines for corrugated and pressure rollers Tirua is also developing new markets
in China and the rest of Asia for its products.
(2) Corrugated box printing and packaging production lines
Domestically Dongfang Precision (China) is responsible for business operations associated with corrugated
box printing and packaging equipment while in the overseas market it is Dongfang Precision (Europe).The product matrix of Dongfang Precision (China) includes corrugated converting line and single machine
products that are of dozens of specifications and different market positioning featuring fixed type/open-close type
top printing/bottom printing and other technologies. These products mainly include “Dongfang Star” Quickset
Top Printing FFG and Top Printing Open-Close Type FFG Inline as well as “Asia Star” Bottom Printing Die
Cutter Stripper Vacuum Stacker Converting Line Bottom Printing Open-Close Type FFG Inline and Bottom
Printing Open-Closed Type/FFG & Stitcher. Dongfang Precision (China) is a professional manufacturer with an
early start and a strong foundation among domestic fellow companies enjoying high brand awareness and
customer recognition in the industry. The products are highly popular not only in the domestic market but also
exported to over 60 countries and regions worldwide.Dongfang Precision (Europe) specializes in high-end corrugated converting line products. Its primary
products include “FD” Quickset Top Printing FFG “HGL” Quickset Bottom Printing FFG and Quickset Bottom
Printing/Die Cutter Stripper Vacuum Line. These products are designed with noncrush feeder design full servo
control and fully automatic control features making them more suitable for high-definition printing.Page 22 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. b. Digital Printer business
The business is primarily led by the subsidiary Shenzhen Wonder Digital Technology Co. Ltd. which
provides solutions for customers in the digital printing industry including digital printers ink accessories and
professional services. Wonder Digital has introduced a variety of digital printers to meet the diverse needs of
different market segments and customer levels including Multi Pass digital printer series applicable for small-
batch paper packaging printing Single Pass digital printer series applicable for large/medium/small batch paper
packaging printing Single Pass digital series applicable for pre-printing on raw paper and Hybrid printer series
that combines Multi Pass high-precision printing and Single Pass high speed printing into one.Wonder Digital offers a diverse range of products that cover various types and specifications from
postprinting to pre-printing from water-based dye/pigment water-based ink to spot colour UV ink from boxes
offset cartons to sheet metal. The products also support a range of application modes and scenarios from single-
sheet printing to exchange orders seamlessly with variable data printing and from single machine printing to
integration with ERP systems.Apart from digital printers Wonder Digital also sells supporting units after printing section including slotting
and varnish coating units as well as special ink products that are compatible with its own-brand equipment. These
special ink products including water-based dye ink water-based pigment ink and UV ink. Wonder Digital’s high
cost-performance digital printing solution provides customers with cost-effective configuration plans for digital
inkjet printing equipment and ink formulation plans.With its comprehensive product matrix Wonder Digital provides paper packaging digital printers that meet
the iverse needs of industry customers with different market positions and levels. Wonder Digital’s digital printers
have been exported to countries and regions such as Europe America Middle East Latin America and Southeast
Asia..Page 23 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Primary Product Portfolio of Dongfang Precision’s intelligent packaging Equipment Business - Corrugated Cardboard Production Lines
Product type Brand Product image Main characteristics
Fosber Brand S/Line
Width: 2.5m~2.8m
Production speed: 370~470 meters/minute
Designed for large corrugated board
manufacturers Beltless Technology
Caddy oil-free technology
Gapless changeover with no speed reduction of
the cadre
Industry leading changeover times
Optimum board quality and low operating costs
Industry leading Syncro system control
Corrugated Process Control Supervision (PCS)
Cardboard Data Tracking Supervision (DTS)
Production Quantum Line：
Widths from 1.8m to 2.5m
Lines
A new concept in corrugated board production
Better suited for lightweight corrugated board
production
Innovative design compact and flexible
Optimum appearance and print surface quality
Lower energy consumption and less labor
Domestic Line:
Width: 2.2m~3.35m
Design speed: 270-370 meters/minute
Single tile double tile triple tile wet section
Wet section without belt technology
Page 24 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Cadre without lubrication technology
High board quality
Industry-leading Syncro system control
Process Control Supervision (PCS)
Data Tracking Supervision (DTS)
Instant Set:
Dual Module Slitting Machine
Gapless order change speed of 250
meters/minute
Positioning accuracy of +/-0.5mm
Within 3 seconds to change the order and line
up the knives
Belt Single-Facer:
Maximum design speed: 460 meters per minute
Patented Teflon composite belt
Classic large-small roller design
Vacuum negative pressure technology
Suitable for low-grammage and pre-printing
Corrugated & The world's leading supplier of corrugating
pressure rolls and pressure rolls with industry-leading
rollers machining and tungsten carbide treatment
Page 25 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Primary Product Portfolio of Dongfang Precision’s Smart Corrugated Packaging Equipment Business - Corrugated Box Printing and Packaging Production Line Equipment
Product type Brand Product image Main characteristics
DONGFANG STAR I QUICKSET TOP PRINTING FFG Fixed type
Full servo control
No downtime for plate change
2 minutes quick order change
Vacuum adsorption large belt high precision
cardboard transfer long service life
Energy saving up to 30
Only 2 people are needed to operate the whole
line
Integrated
corrugated DONGFANG STAR II TOP PRINTING OPEN-CLOSE TYPE FFG Vacuum adsorption roller transfer;
box printing Computerized adjustment easy to operate;
and High speed and stable operation; Patented
packaging folding structure; Improve carton molding
lines effect
Only 2-3 persons are needed to operate the
whole line
Suitable for shaped box machine box and
Asia-Pacific STAR I BOTTOM PRINTING DIE CUTTER STRIPPER VACUUM STACKER CONVERTING LINE pre-printed box etc. with one point and
multiple die-cutting.Mature down-printing die-cutting technology;
Clean chip removal and accurate counting
Efficient production; Uninterrupted feeding;
No-speed down output of bundles flexible
palletizing methods
Configurable for double-sided printing; 2-3
Page 26 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Product type Brand Product image Main characteristics
person operation
Vacuum adsorption roller transfer
Asia-Pacific STAR II BOTTOM PRINTING OPEN-CLOSE TYPE FFG INLINE
Computerized adjustment of the whole
machine easy to operate
Good effect of clearing waste can realize one
opening and two die-cutting line gluing
Integrated
carton.corrugated
Patented folding structure improves carton
box printing
molding effect.and
The whole line is operated by 2-3 persons
packaging
Design concept of down-printing type gluing
lines Asia-Pacific STAR III BOTTOM PRINTING OPEN-CLOSED TYPE/FFG & STITCHER
and nailing as a whole
Multi-purpose machine to meet the
production needs of different orders
Saving space reducing process greatly
reducing labor cost.Multiple pre-pressure to enhance folding and
molding effect precise control of molding
accuracy.High-end down-printing fixed in-line
Spindle servo drive
Quick order change
Complete pre-press and post-press supporting
units
Page 27 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Primary Product Portfolio of Dongfang Precision’s intelligent packaging Equipment Business – Digital Printers
Product Brand Product image Main characteristics
type
Printing reference accuracy: 1800 NPI
WONDER INNO PRO SINGLE PASS
Improved stability and print clarity
Industrial High-Definition Color Digital Printer
Better colour printing effect
Printing speed: up to 150 metres per minute to meet the needs of
high-speed printing
Printing thickness: 0.2mm-15mm
Printing material: thin paper/cardboard yellow and white kraft card
honeycomb board coated paper etc.Printing width up to 2500mm
Water-based dye ink/water-based pigment waterproof ink is optional.A cost-effective tool for bulk orders
Adopts Epson's latest HD industrial printheads.Printing width up to 2500mm
Digital Speed up to 700㎡/h
Printers Printing thickness 1.5mm-35mm
Full suction platform printing and feeding
WD250++ Series Scanning Wide Format Coated paper and honeycomb board can also be easily printed.Base accuracy 1200dpi
High Quality Carton Digital Printer
Water-based dye ink/water-based pigment waterproof ink is optional.Page 28 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Product Brand Product image Main characteristics
type
Fully automatic feeder system
CMYK+W ink colour scheme is optional.Printing quality is delicate and vivid
Colour effect comparable to offset printing
Printing thickness: 0.2mm-20mm
WD250 PRINT MASTER MULTI PASS Printing material: cardboard/copperplate paper coated paper yellow
Digital inkjet color printing equipment and white kraft card etc.\
Digital
Printers The printing reference accuracy can reach 1200 dpi and can be
upgraded to 1800 dpi. The maximum printing line speed is 150
meters per minute.It is applicable to digital pre - printing of corrugated base paper car
stickers light - box cloth PVC colored film decorative paper thin
Industrial SINGLE PASS roll-to-roll aluminum plates etc. The printing quality exceeds flexography and
high-speed digital pre-printing machine is comparable to offset printing.Combines two different digital printing methods: Multi Pass high-
precision scanning and Single Pass high-speed printing.Reduce the
capital investment in equipment save space labor maintenance and
other costs improve production efficiency
MULTI PASS-SINGLE PASS All-in-One
Digital Printing Machine
Page 29 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd.c. Industrial Internet solutions businessDongfang Digicom a subsidiary of Dongfang Precision serves as the primary business entity for “industrialInternet industry solutions”.Based on the extensive industry experience of Dongfang Precision spanning over three decades in the field of
corrugated packaging equipment as well as guided by the Group’s strategies the subsidiary Dongfang Digicom
leveraging cutting-edge technologies such as the Internet of Things (IoT) cloud computing big data 5G and
artificial intelligence (AI) has developed iDataPioneer an industrial Internet platform for the packaging industry
in a broad sense.One-Stop Digital Factory Overall Solution Architecture Diagram
Dongfang Digicom has launched customized products for packaging industry clients including “InterLink”
“Micro Mes” and “Equipment After-Sales Service Management System.” These products can be embedded into
the sale of new machines under the Dongfang Precision brand enhancing product value. They can also be sold
independently supporting the upgrade of existing equipment and compatible with multiple brands thus meeting
the diverse needs of industry clients with flexible business models.“InterLink” is an intelligent production management system designed for Dongfang Precision’s corrugated
box printing and packaging equipment. It fully utilizes the ecological resource advantages of Dongfang Precision's
corrugated packaging equipment improving machine operation efficiency order processing capacity reducing
order management costs and enhancing the market competitiveness of machine products. “Micro Mes” is an
30 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd.
integrated application solution based on the intelligent production management system and enterprise ERP
achieving closed-loop management from order creation scheduling production issuance to reporting. It enhances
the digitalization level of production process control. The “Equipment After-Sales Service Management System”
focuses on the after-sales service of packaging printing equipment. It enables the reuse of underlying technologies
and realizes the digitalization of equipment “points rounds inspections” and maintenance through systematic
after-sales services online spare parts management full lifecycle management of equipment records and remote
maintenance.Dongfang Digicom also provides digital diagnostic consulting services for large packaging industry clients.Through digital transformation consulting it drives product sales creating a “service solution-driven product sales”
closed loop.d. The operational model of the intelligent packaging equipment business
R&D model: The Company has industry-leading independent design and R&D capabilities continually
establishing high-level R&D innovation management mechanisms. The R&D team spearheaded by industry
experts employs a blend of long and short-term product R&D planning supported by a market-oriented R&D
mechanism. Additionally a robust R&D talent incentive mechanism enhances the Company’s overall technical
proficiency cementing its leadership position in the industry.Procurement and production model: The Company procures raw materials such as steel plates metal
components and electrical parts (such as motors and PLCs) from external suppliers while producing some core
components and corrugated rollers in-house.The majority of the Company’s equipment products adhere to a “made-to-order production” model. Upon
receiving orders and partial deposits from customers the Company purchases raw materials from suppliers based
on specific customer requirements and inventory levels and develops production plans and schedules. The
Company advocates a “lean production” model for production and operational management ensuring precise
control over BOM costs and manufacturing expenses while continuously enhancing operational efficiency.During the reporting period the delivery period for orders of corrugated board production lines under the
Fosber Group was around 6 months. The delivery period for orders of corrugated box printing and packaging
complete machine equipment under the Dongfang Precision brand was 3 to 6 months and the delivery period for
orders of digital printing equipment under the Wonder Digital brand was 1 to 3 months.Marketing Model: The Company employs a “direct selling + distribution” marketing model. It utilizes a
direct sales approach for the domestic market and a combination of direct sales and agent distribution for overseas
markets tailoring the strategy to suit the unique needs of different countries and regions. This approach not only
widens the scope of sales channels and increases sales volume but also reduces market expansion and sales costs.The Company’s complete production line and single machine products are typically one-time sales with
more significant transaction amounts. However accessories software and services can be sold multiple times
throughout the life-cycle of complete production line or single machine products. The growing number of existing
equipment sold in the downstream industry market presents a steady stream of sales opportunities for accessories
software and services. Additionally providing high-quality technical support and services helps to promote the
31 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd.
sales of complete production line products. In terms of the settlement of orders the Company collects down
payment in advance and payment by stages for the sales of corrugated cardboard production lines and corrugated
box printing and packaging equipment.B The water powersports equipment division
The main products of Parsun Power a subsidiary are outboard motors of various specifications and series.The product power range is broad covering from 2 horsepower to 300 horsepower. The products are of stable
quality and reliable performance with some products offering comprehensive performance comparable to
internationally renowned brands and emissions meeting European and American standards. Most models have
passed the China Classification Society (CCS) certification European CE certification and U.S. EPA certification.These products are widely used in water leisure sports fisheries water transportation emergency rescue coastal
landing maritime patrol and other fields and are exported globally.
(1) Outboard motors
Parsun Power has achieved a complete product line layout of “gasoline — diesel — electric” outboard
motors. Leveraging its years of experience and leading market share in the gasoline outboard motor sector the
company is now advancing towards high-power diesel and electric outboard motors. In the future Parsun Power's
outboard motor products will gradually focus on mid-to-high power while expanding the electric outboard motor
product line to continue solidifying its position as a leading domestic outboard motor brand.Gasoline outboard motors are the most diverse product range in Parsun Power’s portfolio covering from 2
horsepower to 300 horsepower including two-stroke and four-stroke models. Parsun Power has accumulated
extensive experience in this field over many years developing proprietary technologies that are applied to its
products. In 2021 Parsun Power achieved mass production and sales of a 115-horsepower gasoline outboard
motor successfully breaking the long-standing monopoly of internationally renowned brands in this power
segment. In 2023 it achieved mass production and sales of a 130-horsepower gasoline outboard motor. In 2024 it
released a 300-horsepower gasoline outboard motor and mass production and delivery of 300-horsepower
gasoline outboard motors were achieved in the first half of 2025.The 300-horsepower outboard motor belongs to the high-power segment with application scenarios covering
recreational commercial and other professional fields including sea fishing surfing marine cruising fisheries
water transportation as well as maritime law enforcement patrols maritime search and rescue etc. It employs a
range of advanced technologies such as four-stroke engines electronic fuel injection (EFI) lightweight materials
and integrated electronic control systems. It is the representative of high-end positioning and high-value-added
products in the global outboard motor market.As a Chinese manufacturer Parsun Power’s breakthrough in the large-horsepower model allows it to directly
target high-value markets competing globally with the core advantages of Chinese manufacturing. Parsun Power
is poised to become one of the core competitors in the global high-end outboard motor market laying the
foundation for its entry into the global high-end leisure yacht market and becoming a key driver of future revenue
growth.In recent years Parsun Power has continuously broken through the ceiling of domestic gasoline outboard
motors. On the premise of maintaining independent control over core technologies and localizing production
manufacturing and supply chains it has been committed to building milestones for China's high-end
32 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd.
manufacturing in the outboard motor sector. This marks the official entry of Chinese enterprises into the global
high-end mainstream market for outboard motors.Electric outboard motors use rechargeable batteries as an energy source and convert electrical energy into
kinetic energy via an electric motor. Compared with fuel-powered outboard motors they feature zero emissions
lower noise and are easier to operate. Parsun Power’s electric outboard motors primarily focus on small to
medium horsepower mainly used in environmentally sensitive areas such as tourist resorts.Diesel outboard motors retain the advantages of gasoline outboard motors such as ease of installation
maintenance and operation while also offering greater fuel efficiency lower emissions higher torque enhanced
safety and easier maintenance mainly used in commercial transport offshore oil extraction and public law
enforcement fields.. The development of Parsun Power’s own-brand diesel outboard motors is advancing rapidly.
(2) Electric trolling motors
In March 2025 Parsun Power officially launched its first intelligent electric trolling motor product at the
CIBS2025. This product is Parsun Power’s first electric trolling motor and also China’s first electric trolling
motor product with a folding structure. During the development process of this product Parsun Power has adhered
to the “high-end positioning positive R&D” philosophy and performed over 40 rounds of shape optimization
more than 70 structural adjustments over 100 software version iterations and nearly a thousand water tests
achieving core technology and production manufacturing independence and control. The product has now entered
the mass production and delivery phase.
(3) General machines
General machines refer to versatile power solutions and associated end-user items featuring primarily
general utility small gasoline motors general utility small diesel motors and generator sets using them as
supporting power (like emergency power kits and field operation power supplies) agricultural equipment (e.g.water pumps cultivators) gardening machinery (e.g. lawnmowers chainsaws) compact construction tools (e.g.cutters tampers concrete mixers and levelers) among other miscellaneous applications. These products find
extensive usage across various sectors.Parsun Power’s general machine products mainly include gasoline motors gasoline generator sets and
gasoline water pump sets. Gasoline motors primarily single-cylinder four-stroke units utilize gasoline as fuel and
are adaptable for use in agricultural machinery gardening equipment and other small machinery applications.Gasoline generator sets combine these motors with generators functioning as standby power sources. The
gasoline water pump sets feature centrifugal pumps driven by gasoline motors and are extensively utilized in
agricultural irrigation livestock watering and similar domains.Parsun Power’s general machine products are mainly sold to Africa and Western Asia. With a leading market
layout and relying on excellent product quality and stable performance Parsun Power has established a significant
brand advantage and a good market reputation in these regions.
(4) Operational model
The operational model of the water powersports product business: In terms of sales Parsun Power follows a
global industry-standard sales model that primarily relies on distribution supplemented by direct selling. The
33 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd.
demand for outboard motors which are the company’s main product is mainly distributed overseas with end
customers scattered throughout the world. Adopting a distribution-centric sales model enables Parsun Power to
reach end customers to the fullest extent possible. In terms of production Parsun Power produces outboard motor
products independently utilizing sales demand forecasts customer orders product inventory status material
delivery progress and product production cycles to formulate production plans. The company then organizes the
production of components in accordance with specialized processes and procedures. In procurement following
the principle of “sales determine production production determines procurement” Parsun Power determines the
procurement requirements for its outboard motor business while also taking into account reasonable safety stock.The operational model of the general machine business: Based on its strategic positioning of “becoming aworld-class provider of comprehensive water powersports equipment” Parsun Power has adjusted its general
machine business from the early independent production model to an OEM outsourcing model to focus its
resources on water powersports products. According to the principle of “sales determine procurement” while also
taking into account reasonable safety stock Parsun Power provides design drawings technical specifications and
quality requirements to the OEM manufacturers. These manufacturers directly purchase raw materials carry out
customized production and deliver finished products for Parsun Power’s confirmation before shipment.
34 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Primary Product Portfolio of Parsun Power
Brand Product type Product image Main characteristics
High-Efficiency Power System
300-hp(four-stroke)
4.2L V6 DOHC engine delivers powerful power output
gasoline
Electronic Fuel Injection (EFI) technology precisely controls the
outboard motor
fuel-air mixture enabling more complete combustion and
reducing fuel consumptionand Variable Valve Timing (VVT)
technology enhances mid-to-low speed torque and improves
acceleration performance.mid-to-high Underwater Transmission System
power outboard Efficient and stable transmission: Hydrodynamically optimized
motors 130/115-hp(four- design reduces water flow resistance improves propulsion
stroke) gasoline efficiency and lowers fuel consumption; a high-flow water pump
outboard motor impeller design enhances cooling water pressure to ensure the
machine operates efficiently.Multi-layer protection: High-grade marine materials improve the
corrosion resistance and durability of components reducing
maintenance and replacement costs; multi-layer anti-corrosion
coatings and anode protection enhance the anti-corrosion grade.Electronic control system Electronic Control System: One-button start/stop cruise
control berthing and automatic tilt enabling seamless switching
Marine-grade
between multiple working conditions and human-machine
touch screen
Intelligent control interaction; Electronic throttle/shift with extreme response
system control low maintenance costs and improved handling feel and
safety；
Marine-grade Touch Screen:Real-time display of engine speed
tilt angle steering angle water temperature oil pressure fault
alarms etc. to ensure navigation safety.
35 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Brand Product type Product image Main characteristics
High-Efficiency Power System:Sensor-less&brush-less
motor technology featuring anti-interference high
efficiency low noise and long service life. It provides
instantaneous torque output with fast response.Intelligent Energy Management: High-density lithium
battery pack ensures long endurance aand supports
Electric outboard multiple charging modes.motors The BMS (Battery Management System) monitors
temperature voltage and current in real time and is
equipped with multiple protection mechanisms.Precise Control Experience:Electronic throttle and
direct-drive transmission structure enable millisecond-
level power response.High-Efficiency Power System: High-performance motor
with a low-voltage DC system certified by FCC/CE safety
Electric trolling standards.motors Precise Vector Control: Sub-meter-level GPS positioningfor stationary berthing.Intelligent Navigation System: One-button heading
positioning and path memory; automatic resistance to
water flow/wind flow with offset compensation.High rotation speed simple structure and stable operation.General Portable cost-effective lightweight and easy to use and
maintain.Machines Widely applied in scenarios such as agriculture gardening
and animal husbandry.
36 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
II Core Competitiveness Analysis
The analysis of the Company’s core competitiveness in the Reporting Period is as follows:
(I) Industry-leading technology and strong capabilities of R&D and innovation
The Company’s overall R&D capabilities rank among the top in domestic enterprises of the same type. By
the end of 2024 the Company had been granted 491 patents an increase of 71 compared to the previous year; it
had also been granted 84 software copyrights an increase of 9 compared to the previous year.
1. The smart corrugated packaging equipment business:
The high-end corrugated cardboard production lines under the Fosber Group a subsidiary is industry-
leading in terms of speed width accuracy reliability and level of intelligence. It has earned global recognition
from customers for its high quality reliability and intelligent software systems. Based on Industry 4.0 technology
Fosber Group has launched a corrugated cardboard production line control system which includes modules such
as Pro/Syncro Pro/Care and Pro/Quality. Using sensors AR AI analytics big data and cloud computing
technologies it enables high precision and intelligent management of production lines. Among them Pro/Syncro
achieves high-speed high-quality and low-energy consumption production; Pro/Care provides intelligent
diagnostics to reduce equipment downtime; and Pro/Quality performs real-time defect detection and quality
traceability. Fosber also offers remote services such as Pro/Visionair and Remote Control significantly reducing
after-sales costs and improving customer efficiency. Fosber Asia a subsidiary has introduced and applied the
“Instant Set” dual-module slitter in corrugated cardboard production lines. By independently controlling the
cutting blades and creasers with servo motors it reduces the order changeover time from the industry average of
8-15 seconds to under 3 seconds making it particularly suitable for China’s “small batch diverse product” order
characteristics.How Fosber Group’s PRO Series Intelligent Production Management Information Technology System Works
37 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Wonder Digital a holding subsidiary is a national high-tech enterprise and a “Little Giant” Enterprise with
specialties refined management unique technologies and innovation. It connects the physical and digital worlds
through a complete digital printing matrix offering comprehensive solutions. Wonder Digital’s brand UV digital
color printers and high-speed digital printers achieve a printing accuracy of 1800 NPI with color printing quality
comparable to traditional offset printing. The new product WONDER INNO PRO SINGLE PASS launched in
2024 represents a technological breakthrough in digital printing extending from color to high-definition colors. Its
large-width roll-to-roll high-speed digital printing machine is leading in China offering advantages in size
energy consumption and cost-effectiveness.
2. The water powersports equipment business:
Parsun Power is a national-level “Little Giant” with specialties refined management unique technologies
and innovation and a high-tech enterprise. It has long focused on the research and development of domestic
outboard motors accumulating rich innovative achievements. By the end of 2024 the company had accumulated
114 intellectual property rights and participated in the formulation of several industry standards. It has also won
the second prize of the China Machinery Industry Science and Technology Award twice. In 2021 and 2023
Parsun Power successfully achieved mass production of 115-horsepower and 130-horsepower gasoline outboard
motors. In March 2024 Parsun Power released its first domestically produced 300-horsepower gasoline outboard
motor and in 2025H1 Parsun Power released its first domestically produced electric trolling motors. The core
technologies of the aforementioned new products are independently controllable and their manufacturing supply
chains have been localized. This has become an important milestone for China's high-end manufacturing in the
field of water powersports equipment.In the first half of 2025 Parsun Power’s High-power Outboard Motor Emission Testing Center Laboratory
received the CNAS Laboratory Accreditation Certificate from the China National Accreditation Service for
Conformity Assessment (CNAS). This made Parsun Power the first company in the Chinese outboard motor
industry to obtain CNAS certification for a professional laboratory filling the gap in China’s specialized testing
platform for high-horsepower gasoline outboard motors. This certification has further solidified Parsun Power’s
position as an industry benchmark in the domestic gasoline outboard motor field. It also signifies that Parsun
Power’s professional testing in this specialized field is now on par with international top-level standards and the
testing reports will be globally recognized.The CNAS laboratory accreditation received by Parsun Power in the domestic gasoline outboard motor field
helps shorten R&D cycles and reduce R&D costs for Parsun Power in the development and testing of high-
horsepower outboard motors thus creating a more competitive core advantage. It also provides strong localized
support for other domestic companies in the same field for the R&D production and certification of high-
performance large-power outboard motors. This contributes to the green transformation of China’s shipbuilding
industry and the achievement of the “dual carbon” goals.In the first half of 2025 Parsun Power was awarded the “National Postdoctoral Research Workstation”
certificate by the Ministry of Human Resources and Social Security and the National Postdoctoral Affairs
Management Committee which means Parsun Power’s research capabilities in the frontier field of water
powersports products and its ability to nurture top talent and foster industry-academia-research collaboration has
38 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
gained national recognition and marks a new milestone in the company’s scientific research strength and talent
development as well as further enhancement of the company’s technological image and brand influence.(II) Complete layout in the corrugated packaging machinery industry chain and the most complete
and richest product portfolio in the industry
Among domestic companies in the corrugated packaging equipment sector Dongfang Precision is the
enterprise with the most complete and comprehensive industrial chain layout. Its products cover the fields of
corrugated cardboard production carton printing and packaging and digital printers. The company's business
encompasses all key links in the corrugated packaging production and processing value chain and it possesses the
most comprehensive and diverse product portfolio of corrugated packaging production line equipment in the
industry. This enables the company to meet the needs of different market segments and various types of customers
offering dozens of different specifications and models of full-line and standalone products making it the leader in
the domestic market.
1. Corrugated cardboard production linesIn the field of “High-End Intelligent Corrugated cardboard production lines “: Fosber Group a subsidiaryoffers three major series of products of corrugated cardboard production lines: S/Line Pro/Line and Quantum
Line along with key components for corrugated cardboard production lines such as corrugating rolls and pressure
rolls. These products are designed for medium to large-sized enterprises in the global corrugated cardboard
production and processing industry providing mid-to-high-end corrugated cardboard production lines in various
specifications types and different positioning levels.The S/Line and Pro/Line are primarily suitable for the production of corrugated cardboard with a thickness of
2mm to 13mm. This type of corrugated cardboard is known for its strong load-bearing capacity excellent shock
resistance high plasticity and environmental friendliness. It is widely used in logistics and express delivery
furniture and home appliances and electronics packaging. The Quantum Line is mainly suitable for the
production of solid fiberboard under 2mm thick and micro-corrugated cardboard. This type of cardboard is
lightweight high in strength moisture-resistant and environmentally friendly. It is widely used in packaging for
color boxes high-end products electronics and cultural and artistic items. The Tirua brand’s corrugating rolls
and pressure rolls are compatible with various brands and different specifications of corrugated cardboard
production lines. They can be customized based on the type of corrugated line coating requirements and
applicable paper types.
2. Corrugated box printing and packaging production lines
Dongfang Precision (China) and Dongfang Precision (Europe) offer high-quality corrugated box printing and
packaging production lines and standalone equipment for both the Chinese and overseas markets. They offer
dozens of different specifications and market positioning products covering fixed/open-close type top-
print/bottom-print full-line (line)/standalone models making them the most comprehensive and diverse suppliers
of products in this field globally.
3. Digital printers
Wonder Digital offers four major series of digital printing machines covering a wide range of types and
specifications from post-printing to pre-printing from water-based inks to dyes and pigments from water-based
39 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
spot colors to UV spot colors and from cartons and color boxes to coiled materials. The machines support various
application modes and scenarios including single-sheet printing to variable data seamless job changeoverstandalone printing to ERP integration among others. Wonder Digital positions itself as a “digital printersupermarket” meeting the needs of different markets and industry customers at various levels for digital printing
production.(III) Profound Know-How experience and experienced team in the industry
Dongfang Precision has a team with deep industry Know-how and extensive experience. With over 20 years
of experience in both domestic and international markets the team has a profound understanding of the industry
layout development planning R&D roadmap production operations marketing and team management in the
field; The core management team has a broad vision and is able to deeply grasp the overall development trends of
the smart corrugated packaging equipment manufacturing industry. Through forward-looking strategic planning
and layout the steady and sustainable development of the Company is achieved. Furthermore the Company
practices a professional manager management model continuously improving organizational structure
management authority incentive systems and cultural development. These measures help the Company attract
talent and enhance the team’s combat effectiveness.(IV) High brand popularity and customer recognition worldwide
Intelligent Packaging Equipment Sector: The Fosber brand corrugated lines Quantum corrugated lines
Tirua brand corrugating rolls and pressure rolls as well as Dongfang Precision brand corrugated box printing
and packaging lines and Wonder Digital brand digital printers are well-known and influential both domestically
and internationally. Fosber Group a subsidiary was founded in 1978 and is one of the two companies with the
strongest comprehensive strength in the high-end corrugated line sector worldwide. The Fosber brand enjoys a
high level of recognition and reputation in the corrugated packaging industry markets in Europe North America
and Latin America. Tirua Group another subsidiary has nearly 40 years of experience in the field of corrugating
rolls and pressure rolls with its products being sold in over 60 countries and regions. Qcorr a subsidiary formerly
known as the Italian corrugated line supplier Agnati has over 80 years of industry experience. Dongfang
Precision brand’s corrugated box printing and packaging lines are sold in more than 60 countries and regions. The
holding subsidiary Wonder Digital is in the top tier of the domestic digital printer field with its products sold in
over 80 countries and regions and a market stock of over 1600 units.Water Powersports Equipment Sector: Parsun Power a subsidiary is a leading company in the domestic
outboard motor industry. From 2020 to 2022 Parsun Power’s outboard motor products maintained the highest
national market share for three consecutive years. The Parsun Power brand has received numerous honors
including “Jiangsu Province Famous Brand Product” and “Suzhou Famous Brand Product”. Overseas Parsun
Power’s sales network covers more than 100 countries and regions establishing business partnerships with
numerous customers worldwide.(V) Global layout of business assets
The Company mainly serves customers in the corrugated packaging industry worldwide and has realized the
global layout of its business assets:
40 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
In Asia the Company has three R&D and manufacturing bases located in Foshan Suzhou and Shenzhen. In
Europe the Company has four R&D and manufacturing bases located in Italy and Spain. Additionally the
Company has production bases and service outlets in the United States and Mexico. The international marketing
and service network enables the Company to provide products equipment and technical services to industry
clients in over 100 countries and regions. It also helps integrate global resources improve resource allocation
efficiency achieve complementary advantages reduce costs and realize the benefits of optimal resource
distribution.Global Distribution Diagram of the Company’s Business Assets and Marketing Network
(VI) Strong capabilities of strategic control and integration
Since going public Dongfang Precision has continuously expanded upstream and downstream in its core
industries. Over many years of practice the Company has developed strong strategic control and deep integration
capabilities across its business segments accumulating rich experience and practical knowledge. Strategic
management capabilities have become the Company's core strength in successfully managing its various business
entities.In practice the Company has developed a set of effective post-investment integration management methods
by deeply understanding the industry forecasting industry trends and focusing on strategic goals. These methodsinclude corporate governance standardization policy the “Board of Directors-Supervisory Committee-GeneralMeeting” operation mechanism the strategic and financial control system decentralized authorization
management complete audits and management incentives forming a set of measures for effective controls for
post-investment integration with the Company’s own characteristics to secure the effective implementation of the
strategic plan.* Corrugated cardboard production lines: Fosber Group recorded a compound annual growth rate (CAGR)
of net profit of 25% over the past five years
Since acquiring the controlling stake in Fosber Italy in 2014 Dongfang Precision and its management team
have implemented a series of effective integration measures including adjusting strategic planning business
41 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
strategies standardizing the management system management incentives and strengthening financial control.These measures successfully energized Fosber Group achieving a compound annual revenue growth rate of about
12% and a compound annual net profit growth rate of 25% from 2020 to 2024.
* Water powersports products: Parsun Power’s CAGRs of operating revenue and net profit achieved 22%
over the past five years
Since acquiring the controlling stake in Parsun Power in 2015 Dongfang Precision has helped Parsun Power
enhance its R&D marketing supply chain and manufacturing through strategic adjustments and the introduction
of outstanding talent. Between 2020 and 2024 Parsun Power achieved a compound annual growth rate of 22% in
both revenue and net profit.* Revitalizing established enterprises: Tirua Group and QCorr
From 2019 to 2020 Dongfang Precision completed the acquisition of Tirua Group and Qcorr (formerly
Italy’s Agnati) through its subsidiary Fosber Group. During the post-investment integration phase continuous
optimization and adjustments in strategy R&D market positioning production and talent management
effectively revived these two long-established European companies..Relying on strong strategic management and integration capabilities and based on mutual respect and mutual
trust with an open mindset the Company has successfully integrated its business entities. The synergies along the
industrial chain continue to be released contributing to the active practice of China’s private enterprises going
global accumulating valuable experience and providing strong support for the Company’s sustainable and steady
development.(VII) Going global and bringing in integrating domestic and international industrial Chain
advantages and strengthening the competitive moat
Over the years Dongfang Precision has actively implemented the “Go Global Bring In” strategy in the
corrugated packaging equipment sector through early overseas expansion and domestic manufacturing upgrades.While maintaining technological leadership in the industry the Company effectively reduces costs by leveraging
the advantages of Chinese manufacturing improving product cost-effectiveness and market adaptability thereby
enhancing the competitive advantage of its products and continuously building a moat in the domestic high-end
corrugated packaging equipment sector.Subsidiaries Fosber Asia and Tirua Asia have introduced Fosber’s corrugated cardboard production lines
and Tirua’s corrugating rolls and pressure rolls adapting and upgrading them to meet the actual needs of the
Chinese market. This has achieved technology localization and manufacturing domestication fully leveraging
China’s advantage as the world’s most complete industrial and manufacturing support network significantly
lowering production costs and improving product competitiveness. Fosber’s domestic manufacturing rate for mid-
to-high-end corrugated lines has reached 90% and Tirua Asia delivered its first batch of mass-produced
corrugating rolls and pressure rolls in 2024. The development of both companies fully embodies the integration of
domestic and foreign industries creating differentiated competitive advantages for domestic high-end smart
equipment and expanding into new markets in China and regions like Southeast Asia and South Asia.
42 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
III Analysis of Principal Operations
(I) Overview
In the first half of 2025 China’s national economy made steady progress and achieved new results in high-
quality development. The intelligent transformation and upgrading of the manufacturing industry continued to
deepen and new productive forces were actively developed. Under the strong leadership of the Board of Directors
and the management team all employees worked hard and made progress in the first half of 2025 achieving
stable growth in the Company’s operation performance.From January to June 2025 the Company achieved total operating revenue of approximately RMB2159
million a year-on-year decrease of 0.1%. The net profit attributable to shareholders of the listed company was
approximately RMB397 million a year-on-year increase of 142.52%. The net profit attributable to shareholders of
the listed company excluding non-recurring gains and losses was approximately RMB256 million a year-on-year
increase of 12.12%.(II) Performance of principal operations during the Reporting Period
1. The business division of water powersports equipment
In the first half of 2025 the controlled subsidiary Parsun Power achieved operating revenue of RMB485
million a year-on-year increase of about 28% and a net profit of RMB58 million a year-on-year increase of 13%.Both revenue and profit set new historical highs for the first half of the year. Since 2021 Parsun Power has
entered a fast growth phase. In the first half of 2025 its operating revenue and net profit both more than doubled
compared to the first half of 2021.Breaking into the high-end outboard motor market and completing mass production and delivery of
300-horsepower gasoline outboard motors: Following the launch of China’s first 300-horsepower gasoline
outboard motor in 2024 Parsun Power made extensive efforts toward mass production and successfully achieved
the mass production and delivery of the 300-horsepower gasoline outboard motor in March 2025 making it the
first company in China to mass-produce this model. This achievement filled the gap in China’s high-horsepower
gasoline outboard motor manufacturing sector making China the third country in the world after the United
States and Japan to successfully mass-produce a 300-horsepower gasoline outboard motor. China’s outboard
motor industry was driven from the “follower” stage into the “competitor” stage in the field of high-horsepower
gasoline outboard motor manufacturing and sales.Launching the first electric trolling motor and creating a new growth curve for water powersports
products: While consolidating its competitive advantage in outboard motors Parsun Power has expanded its
scope to become a “a supplier of comprehensive water powersports solutions” based on years of precipitation and
accumulation in outboard motors. By opening up new product lines it is creating a new growth curve. In March
2025 Parsun Power officially launched its first intelligent electric trolling motor at the CIBS2025. This product is
Parsun Power’s first electric trolling motor and also China’s first electric trolling motor with a folding structure.Parsun Power adhered to the “high-end positioning positive R&D” philosophy in the development of this
43 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
product. After over 40 rounds of shape optimization more than 70 structural adjustments over 100 software
version iterations and nearly a thousand water tests it achieved independence and control over core technology
and production manufacturing. The product has now entered the mass production and delivery phase.Driving efficiency improvement through digital and intelligent operations to support rapid
performance growth: In the first half of 2025 Parsun Power launched the U9 ERP system which significantly
improved the automation level of the entire process of “sales planning production and delivery” and effectively
enhanced management performance in supply chain management production manufacturing and financial
management. Inventory turnover days significantly decreased compared to the same period in 2024 and net
operating cash flow increased noticeably during the same period. The improvement in operational efficiency
played a significant role in the growth of outboard motor parts sales revenue in the first half of the year. Through
internal management process improvements the delivery time for parts sales was greatly shortened with over
90% of parts orders being delivered within one month. The sales of parts increased by more than 50% year-on-
year.Approved as China’s first CNAS laboratory further strengthening technological advantages: In June
2025 Parsun Power’s High-power Outboard Motor Emission Testing Center Laboratory received the CNAS
Laboratory Accreditation Certificate from the CNAS becoming the first CNAS-certified professional laboratory
in China’s outboard motor industry. This filled the gap in China’s specialized testing platform for high-
horsepower gasoline outboard motors and further solidified Parsun Power’s position as an industry benchmark in
the domestic gasoline outboard motor sector. Additionally Parsun Power was approved to establish a National
Postdoctoral Research Workstation during the Reporting Period which means Parsun Power’s scientific research
strength high-end talent cultivation and industry-academia-research collaboration gained national recognition
and has further enhanced the company’s technological image and brand influence.Making parallel growth in domestic and international markets through innovative and diversified
marketing approaches: In 2025 Parsun Power ventured into live-stream e-commerce collaborating with
commercial partners to host several live-streaming events on the Douyin platform. This direct approach helped
bridge the gap between the company and end consumers and strengthen mutual recognition. Parsun Power is
gradually building a marketing loop of “online traffic generation offline experience and full-scope conversion”
and creating a new omni-channel marketing model with “online and offline synergy”. The company also
promoted its electric trolling motor products by sponsoring Lure fishing competitions to gradually build brand
recognition and reputation in the recreational fishing field. Furthermore in the first half of the year Parsun Power
participated in major domestic exhibitions such as the 2025 Shanghai International Yacht Show the 2025 Canton
Fair and the CIBS2025 the Canton Fair 2025 and the Shanghai International Emergency Disaster Reduction &
Rescue Exhibition. The company also strengthened its market expansion in Europe and Southeast Asia with a
focus on Latin American and African markets. In terms of general machine business Parsun Power’s revenue
from this segment grew by over 80% in the first half of 2025 compared to the same period in 2024 becoming a
strong support for the core business development of Parsun Power’s water powersports products.New headquarters put into use opening the 2.0 era: Parsun Power’s new headquarters in Suzhou Jiangsu
officially began operations in May 2025. The launch of the new headquarters featuring intelligent production
44 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
workshops a 300-horsepower outboard motor assembly line and robotic spraying technology will lay the
foundation for further improving Parsun Power’s business performance. Between 2020 and 2024 Parsun Power
achieved a rapid growth rate with average annual compound growth rates of more than 20% in both revenue and
net profit. The company successively launched 115-horsepower 130-horsepower and 300-horsepower gasoline
outboard motors filling many gaps in the Chinese gasoline outboard motor sector and achieving remarkable
accomplishments. Based on the rapid development of the past five years the completion and use of the new
headquarters marks the beginning of Parsun Power’s “2.0 Era”. It will continue to focus on the trends of “high-horsepower electrification and intelligence” in the marine power field providing comprehensive water
powersports solutions and products for customers across various fields and scenarios. Building on its solid
position as an industry leader in China Parsun Power aims to benchmark against top international enterprises
regard innovation as its driving force and full-industry chain collaboration as its support and strive to become a
world-class provider of comprehensive water powersports equipment.
2. The business division of intelligent packaging equipment
A. The segment of corrugated cardboard production lines
■ Overseas business unit: Stable markets in Europe and North America steady expansion in emerging
markets and continuous improvement in internal collaboration
In the mid- to high-end corrugated cardboard production line industry in the core markets of Europe and
North America the continued merger and integration of large group companies among the top in market share in
the European and American paper packaging industry which began in 2024 have led to a slowdown in capital
investment in the sector. However Fosber Group has maintained stable long-term cooperative relationships with
the industry leaders and large enterprises in the above European and American corrugated packaging industry for
many years. During the Reporting Period Fosber Group continued to closely follow the investment plans of its
industry customers and collaborate deeply with them. In the first half of 2025 Fosber Group’s overall new orders
remained stable. Looking ahead upon completion of the merger and integration of major players in the
downstream paper packaging industry the inclination to invest in large-scale high-capacity and intelligent
factories will benefit Fosber Group’s steady growth as it has deep competitive barriers and a leading market share
in the mid- to high-end intelligent corrugated cardboard production line market in Europe and North America.Amid the slowing growth in core markets Fosber Group has actively explored emerging markets like Latin
America and Africa. In 2024 Fosber established a new subsidiary Fosber Mexico which has shown positive
momentum in business development in the first half of 2025. This subsidiary is expected to become the core
region for after-sales spare parts business covering the entire Latin American market thus providing strong
support for Fosber Group’s market expansion and sales growth in the Latin American region.Enhancing industrial synergy and continuously reducing costs and increase efficiency: During the Reporting
Period Fosber Group continued to deepen collaboration between its three main product lines: Fosber-branded
corrugated line Quantum-branded corrugated line and Fosber Asia’s domestic corrugated line. In the first half of
the year Fosber Group made positive progress in collaboration and integration with its subsidiary Qcorr in
operations and after-sales service. Additionally collaboration between Fosber Group and Fosber Asia in R&D as
45 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
well as project implementation also made positive strides contributing to improved cost management and
operational efficiency in the overall corrugated cardboard production line business segment.■ Domestic business unit: Record-high performance significant increase in domestic market orders
and successful launch of a new factory
Fosber Asia a subsidiary of Fosber is positioned as a domestic mid- and high-end corrugated cardboard
production line supplier based in China and spanning to the Asian market. In the first half of 2025 Fosber Asia
achieved impressive results in the domestic industry market with new orders reaching a record high. Fosber
Asia’s operating revenue and net profit during the Reporting Period both achieved the best half-year performance
in nearly five years since 2021 with significant year-on-year growth in both complete lines and spare parts service
sales.In terms of research and product development S-line a domestic mid- and high-end corrugated line of
Fosber Asia launched a new line product of 3.15-meter-wide corrugated cardboard in the first half of the year
which was successfully sold in the domestic market. In production and operations Fosber Asia achieved a
historical high in the number of corrugated line projects completed in the first half of the year. Through
improvements in internal operation management product quality and qualification rate were improved and the
product cost structure was further optimized. Fosber Asia has continued to strengthen its market competitiveness
by balancing “high-end technological breakthroughs” and “domestic manufacturing cost reduction”.In June 2025 Fosber Asia’s new factory was successfully completed and put into operation. The new factory
has a design capacity of 40 lines per year providing strong support for the growth of Fosber Asia’s business
performance.B. The segment of corrugated box printing and packaging line equipment
Overseas market: In the context of many domestic peers expanding overseas Dongfang Precision’s
corrugated box printing and packaging equipment products under the Dongfang Precision brand have continued
to achieve success in expanding into overseas markets. With years of accumulated goodwill leading technology
levels high-quality products and a robust sales and service system the Company has steadily advanced itsinternational business. During the Reporting Period Dongfang Precision (China) adopted an “agency sales +direct sales” model for its overseas business. The company’s overseas business personnel have continuously
increased efforts to expand the overseas direct sales market focusing on the “Belt and Road” countries and made
progress in markets such as the Middle East and Southeast Asia with the number and value of orders received for
joint-line projects in the international market in the first half of the year exceeding the same period last year.Operation management: Dongfang Precision (China) has continuously promoted energy conservationconsumption and cost reduction and efficiency improvement. The company has implemented a “digitalworkshop” approach by introducing intelligent equipment data collection data analysis production process
optimization and artificial intelligence assistance. This initiative has consistently optimized aspects such as order
progress production performance capacity analysis quality management product traceability and inventory
management. During the Reporting Period Dongfang Precision (China) deeply promoted supply chain
management and production process improvements and continued to optimize cost control.
46 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Digital printer business: The controlled subsidiary Wonder Digital launched an upgraded version of its
“MULTI PASS-SINGLE PASS Digital Hybrid Printer”. With its innovative “dual-mode integration technology”
the product can meet the diversified printing needs for various sizes and help customers reduce costs and increase
efficiency. This product has gained popularity in the domestic market brought the company a considerable number
of orders in the first half of the year. During the Reporting Period sales of ink consumables and accessories for
Wonder Digital’s digital printers continued the strong growth trend seen in 2024 with the supporting effect
continuing to show.
3. The segment of external investments
While focusing on the two core business segments the Company places high importance on externalexpansion through equity investments. Adhering to the principle of “the principal businesses as the core +extended investment as the support” the Company leads and coordinates “organic growth + external expansion”
with the “1+N” development model.“1” refers to focusing on the core businesses of high-end intelligent equipment manufacturing (corrugated
packaging equipment + water powersports equipment) firmly establishing its foundational position continuously
strengthening and expanding and enhancing core competitiveness to maintain and increase market share amidst
the trends of digitalization and intelligence. “N” refers to external expansion which can include the following
three aspects:
(1) Deepening Chain Extension: Mergers and Acquisitions Synergy Strengthening Core Moat
Building on the advantages of Dongfang Precision's main business the Company focuses on acquiring high-
quality companies within the same industry chain globally. By vertically integrating the supply chain it
implements precise mergers and acquisitions of high-quality targets in related fields. After the acquisition the
Company performs deep integration outputs key capabilities and stimulates internal industry chain synergies to
further strengthen its core businesses.
(2) Breaking Boundaries for Ecological Co-Creation: Strategic Investment and Co-Creation of
Strategic Emerging Industry “New Productive Power Clusters”
The Company focuses on “new productive power” which is a core theme of developing strategic emerging
industries and future industries designated by the country. It closely follows the national direction of developing
new productive power and targets the two major directions: strategic emerging industries and future industries.The Company has defined two key fields for its external expansion strategy: “artificial intelligence + robotics”
and “key structural materials for controlled nuclear fusion + nuclear power equipment” with an industrial chain
investment layout for key areas. In the first half of 2025 the Company’s external investment business efforts were
mainly centered on “strategic investment” as follows:
■ “Artificial intelligence + robotics”
In the 2025 government work report China included “embodied intelligence” and “intelligent robots” as part
of the national future industry development direction marking a new opportunity for the intelligent upgrading of
Chinese manufacturing. Dongfang Precision is implementing a “cluster-based strategic investment” approach to
deepen its industrial layout in robotics and embodied intelligence.
47 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
In the first half of 2025 the Company made an equity investment in Leju Robot acquiring a 2.83% stake.Leju Robot is a national specialized refined featured and innovative “Little Giant” enterprise that focuses on core
robotic technology research intelligent robot product development and production. The company possesses fully
independent intellectual property rights for hardware and control systems and has advanced technologies in areas
such as overall structural design of robots core component manufacturing and AI algorithm development. It has
launched several intelligent robot products and derivatives with a continued focus on robot applications in diverse
scenarios such as industrial intelligent manufacturing commercial services research and education and home
services.Following this equity investment Dongfang Precision now has three equity investment projects in the
“artificial intelligence + robotics” field forming a “cluster-based strategic investment” landscape:
Dongfang Precision’s
shareholding percentage
Target name Field
as of the end of the
Reporting Period Note
Guangdong Jaten Robot & Automation Co. Ltd. Industrial robotics 19.84%
Shenzhen Ruoyu Technology Co. Ltd. AI Multi-modal large models 12.39%
Humanoid robots & embodied
Leju (Shenzhen) Robotics Co. Ltd. 2.83%
intelligence robots
Note: The shareholding percentages in the above table are based on the business registration information of the
relevant invested companies as of June 30 2025. Any differences in decimal places are due to rounding to two decimal
places.Dongfang Precision’s strategic investment in the “artificial intelligence + robotics” field aims to create a
model of “strategic investment + industrial collaboration”. By combining Dongfang Precision’s resources and
capabilities in the equipment manufacturing industry with the industry-leading technologies products and
application experiences of the invested companies in robotics and AI large models the Company seeks efficient
integration. This collaboration aims to explore cooperation in production manufacturing application scenarios
and market expansion fostering the co-creation and shared value of the industry chain.In July 2025 the Company signed a “Strategic Cooperation Agreement” with Leju Robot which fully
reflects Dongfang Precision’s strategy of building a “strategic investment + industrial collaboration” model in the
“artificial intelligence + robotics” field. The two parties will initiate and deepen cooperation based on project
collaboration and complementary advantages leveraging Leju Robot' technological R&D and application
strengths as well as Dongfang Precision’s advantages in intelligent manufacturing and resources. The areas of
cooperation include but are not limited to:
a. Production manufacturing and services: Dongfang Precision will produce and manufacture humanoid
robot products for Leju Robot according to the company’s technology standards and capacity requirements in a
timely and quality-assured manner as well as subsequent debugging deployment and after-sales services.b. Application expansion: Leju Robot will provide service solutions while Dongfang Precision will leverage
its strengths in intelligent manufacturing to jointly explore humanoid robot skills training and applications.
48 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
c. Market expansion and promotion: Dongfang Precision will assist Leju Robot in promoting robot products
in the fields of industrial intelligent manufacturing commercial services research and education and home
services by utilizing its social and industry resource advantages. Both parties will jointly expand the market.With the subsequent implementation of cooperation measures in the three areas mentioned above Dongfang
Precision will fully leverage the advantages it has accumulated over nearly three decades in the high-end
intelligent equipment manufacturing field including experience in large-scale production and efficient operation
management. The Company will collaborate with Leju Robot to jointly promote the large-scale manufacturing
process of humanoid robot products. Relying on Dongfang Precision’s resource advantages in its core high-end
intelligent equipment business and external investments the Company will help open broader application
scenarios for Leju Robot' products. This will drive the enhancement and deepening of humanoid robots'
application levels in industrial manufacturing and enable both companies to jointly explore and expand the
application and market for robotic products across multiple fields. Within the boundaries of Dongfang Precision’s
capabilities the Company will accelerate the application and popularization of robot-related products.■ “Key structural materials for controlled nuclear fusion + nuclear power equipment”
Dongfang Precision made its first equity investment in Guizhou Aerospace Xinli Technology Co. Ltd.(hereinafter referred to as “Aerospace Xinli”) in 2021 acquiring a 3.86% stake in it. In the first half of 2025 the
Company further increased its stake in Aerospace Xinli and by the end of the Reporting Period Dongfang
Precision held a 19.89% stake (Note: The shareholding percentage is based on the business registration information of
the relevant invested company as of June 30 2025 and any differences in decimal places are due to rounding to two
decimal places).Aerospace Xinli focuses on the research and development of high-end metal materials manufacturing of
castings and forgings and the production of supporting products in fields such as nuclear energy aerospace and
aviation. Its core competitiveness lies in the nuclear power component manufacturing field. As one of the earliest
companies in China to obtain a nuclear power manufacturing license Aerospace Xinli’s products are used in all
domestic nuclear power projects that have been completed or are under construction. Since 2014 Aerospace Xinli
has undertaken important manufacturing tasks for one of the largest international scientific research collaboration
projects globally the “International Thermonuclear Experimental Reactor (ITER)” including the magnet supportand shielding components. In 2022 Aerospace Xinli was the first to complete the manufacturing of the “FirstWall with Enhanced Thermal Load” for the ITER project. In 2024 the company exclusively won all product
orders for the magnet support system of the Fusion New Energy BEST project.Aerospace Xinli has undertaken the development and production of nuclear level-I mechanical equipment
components for most of China’s nuclear power station and has been deeply involved in the localization process of
China’s nuclear power construction. The company has successfully completed the research and localization of
dozens of types of nuclear energy equipment alloy materials and key components.Dongfang Precision made its first equity investment in Aerospace Xinli in 2021 and has long highly
recognized the company’s strong technological innovation capabilities independent control of key core
technologies product reserves and its leading industry position both domestically and internationally in nuclear
power components and special new materials. The Company remains confident about the application prospects
and the immense development potential of Aerospace Xinli’s products in fields such as controlled nuclear fusion
49 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
nuclear power equipment and aerospace and aviation. Dongfang Precision plans to increase its stake in Aerospace
Xinli in 2025 and will seek future cooperation in special new materials and nuclear energy components
contributing to the upgrading of China’s high-end equipment manufacturing industry.
(3) Positioning on Key Core Tracks: Forward-looking Investment to Build Future Competitiveness
Dongfang Precision and its subsidiary Yineng Investment focus on industries that align with the Company’s
external investment business. These areas are closely tied to the core theme of “high-quality development” in
China’s manufacturing industry during the 14th Five-Year Plan period. The Company centers its efforts around
innovation-driven growth focusing on hard-tech fields such as aerospace new materials and other industries with
significant technological barriers broad future development potential and national strategic value. Dongfang
Precision aims to identify excellent companies in niche sectors and obtain small equity stakes in these companies
through investment (with post-investment shareholding not exceeding 5%). Yineng Investment has made
investments in aerospace and aviation such as in Sichuan Tengden UAV and EXPACE as well as in new
materials investing in Yunnan Yuze Semiconductor. These investments aim to yield good returns while exploring
new directions and opportunities for the Company’s development.
4. Analysis of key financial indicators of principal operations
Unit: RMB yuan
Reason for any
2025H1 2024H1 Change (%)
significant change
Operating revenue 2158956857.88 2161188907.40 -0.10% No significant change.Operating cost 1511618213.45 1502217618.28 0.63% No significant change.Selling expenses 81372896.12 88952530.48 -8.52% No significant change.Administrative Mainly due to the
expenses increase in equity
188675988.67 161949583.52 16.50% incentive amortization
during the reporting
period.Finance costs Mainly due to the
decrease in interest
expenses and the
-19645153.25-12794161.84-53.55%
increase in interest
income during the
reporting period.Mainly due to he
decrease in payable
Income tax expenses 67252009.19 90957489.73 -26.06%
income taxes during the
reporting period.R&D expenses 53511623.86 50366067.58 6.25% No significant change
Mainly due to the
Net cash generated increase in cash inflows
from/used in operating 355284471.35 118570463.65 199.64% from operating
activities activities during the
reporting period.Net cash generated Mainly due to the
from/used in investing 514988451.97 -160975009.11 419.92% company's disposal of
activities financial assets during
50 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Reason for any
2025H1 2024H1 Change (%)
significant change
the reporting period.Net cash generated Mainly due to the
from/used in financing payment of cash
-149180394.39-94150183.88-58.45%
activities dividends during the
reporting period.Net increase in cash and Mainly due to the
cash equivalents impact of net cash
flows from operating
752254111.58 -162323576.70 563.43% activities and
investment activities
during the reporting
period.There have been no significant changes in the composition or sources of the company's profits during the reporting period.Composition of operating revenue
Unit: RMB
2025H1 2024H1
As a % of total As a % of total Change (%)
Operating revenue operating revenue Operating revenue operating revenue
(%)(%)
Total 2158956857.88 100% 2161188907.40 100% -0.10%
By operating division
Intelligent
2158956857.88100.00%2161188907.40100.00%-0.10%
manufacturing
By product category
Corrugated
cardboard 1396140752.50 64.67% 1469605534.73 68.00% -5.00%
production lines
Corrugated box
printing and
packaging
278299181.6912.89%313453089.7714.50%-11.22%
production line
equipment(Including
Digital Printers)
Water powersports
products and general 484516923.69 22.44% 378130282.90 17.50% 28.13%
machines
By operating segment
Mainland China 508124085.88 23.54% 308411411.62 14.27% 64.76%
Other countries and
1650832772.0076.46%1852777495.7885.73%-10.90%
regions
Operating Division Product Category or Operating Segment Contributing over 10% of Operating Revenue or Operating Profit
√ Applicable □ Not applicable
Unit: RMB
51 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
YoY change in YoY change in Change in
Operating Gross profit
Cost of sales operating cost of sales gross profit
revenue margin
revenue (%) (%) margin (%)
By operating division
Intelligent
2158956857.881511618213.4529.98%-0.10%0.63%-0.51%
manufacturing
By product category
Corrugated
cardboard 1396140752.50 935823113.75 32.97% -5.00% -6.68% 1.21%
production lines
Corrugated box
printing and
packaging
278299181.69194890083.6729.97%-11.22%-7.18%-3.05%
production line
equipment(Including
Digital Printers)
Water powersports
products and general 484516923.69 380905016.03 21.38% 28.13% 31.61% -2.08%
machines
By operating segment
Mainland China 508124085.88 415918124.10 18.15% 64.76% 73.42% -4.09%
Other countries and
1650832772.001095700089.3533.63%-10.90%-13.20%1.77%
regions
Under the circumstances that the statistical caliber of the Company's main business data is adjusted in the Reporting Period the
Company's main business data that adjusted according to the caliber at the end of the Reporting Period
□ Applicable √ Not applicable
IV Analysis of Non-Core Businesses
√ Applicable □ Not applicable
Unit: RMB yuan
Amount As a % of gross profit Primary source/reason Recurrent or not
Mainly due to the
change in investment
income recognized
from the
Return on investment 145682957.38 30.15% Yes
implementation of
investments in
securities during the
period.Mainly due to changes
in fair value recognized
Gain/loss on changes in
9152211.19 1.89% in investments in Yes
fair value
securities implemented
during the period
Mainly due to provision Not
Asset impairment loss -9018836.80 -1.87% for decline in value of
inventories and
impairment of contract
52 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Amount As a % of gross profit Primary source/reason Recurrent or not
assets during the period.Non-operating income 1552164.28 0.32% No significant change Not
Non-operating expenses 1300695.51 0.27% No significant change Not
V Analysis of Assets and Liabilities
1. Significant Changes in Asset Composition
Unit: RMB yuan
30 June 2025 31 December 2024 Reason for any
Change in
As a % of total As a % of total significant
Amount Amount percentage (%)
assets assets change
Mainly due to
the recovery of
investment
funds from the
Cash and bank disposal of
2501935816.5329.97%1729050383.3422.97%7.00%
balances trading
financial assets
during the
reporting
period.Accounts No significant
817534803.089.79%745862825.719.91%-0.12%
receivable change.No significant
Contract assets 46565536.09 0.56% 52151171.92 0.69% -0.13%
change.No significant
Inventories 1316777926.90 15.77% 1031899593.02 13.71% 2.06%
change.Long-term
equity 0.00% 0.00% 0.00% N/A
investments
No significant
Fixed assets 111903408.19 1.34% 113469148.58 1.51% -0.17%
change.Construction in No significant
953178133.5511.42%681980621.799.06%2.36%
progress change.Right-of-use No significant
216072179.852.59%404826595.025.38%-2.79%
assets change.Short-term No significant
60180882.890.72%64147198.310.85%-0.13%
borrowings change.Contract No significant
139457969.591.67%85390128.991.13%0.54%
liability change.Long-term No significant
595986497.107.14%373931068.164.97%2.17%
borrowings change.No significant
Lease liabilities 136998422.99 1.64% 125482485.31 1.67% -0.03%
change.Cash and bank No significant
44109251.330.53%47666801.960.63%-0.10%
balances change.Financial assets 140769386.23 1.69% 788649332.18 10.48% -8.79% Mainly due to
53 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
30 June 2025 31 December 2024 Reason for any
Change in
As a % of total As a % of total significant
Amount Amount percentage (%)
assets assets change
held for trading the recovery of
investment
funds from the
disposal of
trading
financial assets
during the
reporting
period.
2、Overseas assets that take up a large percentage of the Company’s net asset value:
√ Applicable □ Not applicable
As a % of
Control
the Any material
Asset value Management measures to
Asset Source Location Return Company’s impairment
(RMB) model protect asset
net asset risk or not
safety
value
Integration
of strategic
100% control
Producing
interest authorisation
and
of M&A 1415394939.87 Italy control Good 25.44% Not
marketing
Fosber operational
by itself
S.p.A. control and
financial
management
Integration
of strategic
control
100% Producing
authorisation
interest and
M&A 20194159.36 Italy control Good 0.36% Not
of EDF marketing
operational
S.R. L by itself
control and
financial
management
54 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 3. Assets and Liabilities at Fair Value
√Applicable □ Not applicable
Unit: RMB yuan
Cumulative fair-
Gain/loss on fair- Impairment
value changes Purchased in the
Item Opening amount value changes in allowance for the Sold in the period Other changes Closing amount
recognized in period
the period period
equity
Financial assets
1. Financial assets
held for trading
(exclusive of 788649332.18 9913460.41 1179018063.04 1836811469.40 140769386.23
derivative
financial assets)
2. Derivative
2755081.17304706.800.0025877.233033910.74
financial assets
3.Other non-
current financial 539449588.63 -3995229.41 173911701.08 5736881.14 9028315.94 712657495.10
assets
Subtotal of
1330854001.986222937.800.000.001352929764.121842574227.779028315.94856460792.07
financial assets
Other non-current
10579534.25163643.8310743178.08
financial assets
Total of the above 1341433536.23 6386581.63 0.00 0.00 1352929764.12 1842574227.77 9028315.94 867203970.15
Financial
213178435.77-2846999.410.000.000.007172630.76217504067.12
liabilities
Indicate whether any significant change occurred to the measurement attributes of the major assets in the Reporting Period.□ Yes √ No
55 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 4. Assets to which the Company’s Rights Were Restricted as at the Period-End
Unit: RMB yuan
Item Closing carrying amount Reason for restriction
Cash and bank balances 97391156.40 Deposits used for obtaining bank acceptance bills and guarantees etc.Fixed assets 59086450.51 For bank loans obtained by subsidiaries
Total 156477606.91
VI Investments Made
1. Total Investment Amount
√Applicable □ Not applicable
Total investment amount in 2025H1 (RMB) Total investment amount in 2024H1 (RMB) Change (%)
790495367.75970338776.80-18.53%
2. Significant Equity Investments Acquired in the Reporting Period
□Applicable √Not applicable
3. Significant Non-Equity Investments of which the Acquisition Was Uncompleted in the Reporting Period
□Applicable √ Not applicable
56 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 4. Financial Investments
(1) Securities Investments
√ Applicable □ Not applicable
Unit: RMB yuan
Measu Cumulative
remen Gain/loss on fair- fair-value Fundin
Security Security Security Initial investment Opening carrying Purchased in the Gain/loss in the Closing carrying Accounti
t value changes in the changes Sold in the period g
type code name cost amount period period amount ng title
metho period recognized in source
d equity
Domestic
Financial
ally/
Fair assets Self-
overseas Others 187638899.00 187638899.00 -2223067.28 137693463.04 472858348.24 147525986.20
value held for funded
listed
trading
stocks
Financial
Trust Fair assets Self-
20153767.7220153767.7215840.6330082000.0050296171.3760403.65
products value held for funded
trading
Financial
Fair assets Self-
Funds 347067239.36 347067239.36 10601898.12 151272850.67 421414275.94 5865037.08 82790851.17
value held for funded
trading
Financial
Fair assets Self-
Others 233789426.10 233789426.10 1518788.94 859969749.33 1039527407.21 3746766.84 57978535.06
value held for funded
trading
Total 788649332.18 -- 788649332.18 9913460.41 0.00 1179018063.04 1984096202.76 157198193.77 140769386.23 -- --
57 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (2) Investments in Derivative Financial Instruments
√ Applicable □Not applicable
1) Derivative Investments for Hedging Purposes in the Reporting Period
√ Applicable □Not applicable
Unit: RMB'0000
Cumulative fair- Closing amount
Gain/loss on fair-
Initial investment value changes Purchased in the Sold in the as % of the
Type of derivative Opening amount value changes in Closing amount
amount recognized in Reporting Period Reporting Period Company’s closing
the period
equity equity
Forward Foreign
33347.0820588.55189.160.0012758.538244.1325107.014.69%
Exchange
合计33347.0820588.55189.160.0012758.538244.1325107.014.69%
Description of
significant changes in
accounting policies
and specific financial
accounting principles
No significant change
in respect of the
Company's hedges for
the Reporting Period
as compared to the
prior reporting period
Actual gains/losses in
During the Reporting Period the actual loss on derivative contracts for hedging purposes stood at 1.8916 million yuan.the Reporting Period
Results of hedges Currently not available
Funding source Self-funded
Risk analysis of
positions held in The above-mentioned hedging transactions are mainly intended to avert and prevent risks arising from fluctuations in exchange rates. In the Rules on the Management of Financial
derivatives during the Derivative Transaction Business formulated by the Company the operating rules review and approval authority routine management and risk control mechanisms on the financial
Reporting Period and derivative transaction business have been prescribed to standardize business operation as well as prevent and control related risks. The Company will strengthen the understanding
description of control and mastering of national policies and requirements of relevant governing bodies to avoid related credit and legal risks.measures (Including
58 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. but not limited to
market risk liquidity
risk credit risk
operational risk legal
risk etc.)
Changes in market
prices or fair value of
derivative products
during the Reporting
Period specific
Undue forward forex settlement and sale contracts are measured at fair value i.e. the difference between the signing price of an undue forward forex settlement and sale contract
methods used and
held at the period-end and the bank’s forward forex rates at the period-end.relevant assumption
and parameter settings
shall be disclosed for
analysis of fair value
of derivatives
Legal matter (if
N/A
applicable)
Disclosure date of the
announcement about
the board’s consent for 18 March 2025
the derivative
investment (if any)
Disclosure date of the
announcement about
the general meeting’s
8 April 2025
consent for the
derivative investment
(if any)
2) Derivative Investments for Speculative Purposes in the Reporting Period
√ Applicable □Not applicable
59 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Unit: RMB'0000
Closing
investment Actual
Purchased
Relationship Initial Opening Sold in the Impairment Closing amount gain/loss in
Related Type of in the
Counterparty with the investment Start date End date investment Reporting allowance investment as % of the the
transaction derivative Reporting
Company amount amount Period (if any) amount Company’s Reporting
Period
closing Period
equity
Agricultural Swap
30 June
Bank of N/A No Foreign 7230.19 1 Jan 2025 715.86 9377.77 2898.75 0 7268.04 1.36% 73.29
2025
China Exchange
Total 7230.19 -- -- 715.86 9377.77 2898.75 0 7268.04 1.36% 73.29
Funding source Self-funded
Legal matter (if applicable) N/A
Disclosure date of the announcement about the board’s
18 March 2025
consent for the derivative investment (if any)
Disclosure date of the announcement about the general
8 April 2025
meeting’s consent for the derivative investment (if any)
Risk analysis:
1. Decision-making risk: The Company's involvement in derivatives trading is influenced by a variety of factors including international and
domestic economic policies economic conditions developments of the sectors fluctuations in exchange rates and interest rates. Furthermore
this type of trading is inherently complex and requires a high level of specialisation thus carrying a certain degree of risk in trading decision-
making processes.
2. Market risk: Financial markets are susceptible to macroeconomic conditions industry cycles and numerous other influences. Exchange rate
movements are bi-directional; in the context of forward exchange rates there's a possibility that locked-in forward exchange transactions may
Risk analysis of positions held in derivatives during the lead to settlement exchange rates below the company's book rate on the delivery date potentially generating foreign exchange losses.Reporting Period and description of control measures
3. Liquidity risk: A sudden and extreme shift in the relevant price index or managing excessively large positions could potentially result in
(Including but not limited to market risk liquidity risk
untimely margin calls and force the liquidation of positions thereby exposing the Company to liquidity risks.credit risk operational risk legal risk etc.)
4. Policy and legal risks: The Company may suffer losses due to alterations in the legal framework non-compliance with relevant laws
regulations or contractual breaches by counter-parties leading to improper execution of contracts.
5. Other risks: During transaction execution failing to adhere to standard procedures for derivatives trading or inadequate comprehension of
derivative product information can introduce operational risks potentially leading to losses stemming from non-compliant actions or unforeseen
legal contingencies.Description of control measures:
1. In the Rules on the Management of Financial Derivative Transaction Business formulated by the Company the operating rules review and
60 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. approval authority routine management and risk control mechanisms on the financial derivative transaction business have been prescribed to
standardise business operation as well as prevent and control related risks.
2. The Company will diligently select qualified financial institutions for partnership and may engage experienced external professionals when
needed to offer advisory services. This ensures thorough and methodical research and analysis prior to investments thereby minimizing
operational risks and performance uncertainties.
3. Throughout its business operations the Company and its associates rigorously comply with applicable national laws and regulations to avert
legal hazards. They conduct regular supervision and inspections to ensure the derivatives business's standardization internal control efficacy
and information disclosure accuracy. They closely monitor shifts in domestic and international regulatory policies and changes to relevant rules
proactively adjusting trading strategies accordingly to mitigate potential policy risks well ahead of time.
4. The Company will steadfastly uphold cautious investment principles consistently enhancing its analysis and research on economic policies
market conditions and environmental shifts promptly adjusting its investment strategies and scales as needed. Moreover it will continuously
fortify the professional education of its team members elevating the proficiency of its practitioners.
5. The the Audit Committee of the Board of Directors are in charge of supervising and verifying the implementation of derivatives trading
business proposing timely rectification opinions on existing problems.Changes in market prices or fair value of derivative
products during the Reporting Period specific methods
Based on market value changes
used and relevant assumption and parameter settings shall
be disclosed for analysis of fair value of derivatives
Description of significant changes in accounting policies
and specific financial accounting principles in respect of the
No significant change
Company's derivatives for the Reporting Period as
compared to the prior reporting period
61 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 5. Use of Raised Funds
□Applicable √ Not applicable
No such cases in the Reporting Period.Ⅶ Sale of Major Assets and Equity Investments
1. Sale of Major Assets
□Applicable √ Not applicable
No such cases in the Reporting Period.
2. Sale of Major Equity Investments
□Applicable √ Not applicable
No such cases in the Reporting Period.Ⅷ Principal Subsidiaries and Joint Stock Companies
√ Applicable □ Not applicable
Principal subsidiaries and joint stock companies with an over 10% effect on the consolidated net profit:
Unit: RMB yuan
Relations
hip with Principal Registered Operating Operating
Name Total assets Net assets Net profit
the activities capital revenue profit
Company
R&D
processing
manufacturin
g and
marketing of
corrugated
Fosber Subsidiar EUR1.56 30098147 14153949 12139829 20470953 18395867
cardboard
Group y million 41.08 39.87 56.49 5.89 1.70
production
lines and
parts as well
as provision
of after-sales
services
Shunyi Subsidiar Shunyi RMB10 82925996 40324421 48451692 68643684. 58329213.Investment y Investment is million 6.08 6.85 3.69 23 28
principally
62 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. engaged in
business
entity and
project
investments
etc. It is the
direct
controlling
shareholder
of Parsun
Power.Ⅸ Structured Bodies Controlled by the Company
√ Applicable □ Not applicable
1. In March 2021 the Company established Tianjin Hangchuang Zhijin Investment Partnership (Limited Partnership) (the
"Tianjin Hangchuang Fund") with AVIC Innovation Capital Management Co. Ltd. The Company as the sole LP of the Fund
subscribed for the Partnership's contribution share of RMB20000000. The Fund is a special fund which is to invest in the equity of
Sichuan Dajin Stainless Steel Co. Ltd. (now renamed as Chengdu Dajin Aero-Tech Co. Ltd.).This investment is in line with the Company’s development strategy considering the Fund’s investment direction decision-
making management income distribution loss allocation etc. From the perspective of business nature the Company provides much
of the capital of the Tianjin Hangchuang Fund so it is reasonable to include the Fund in the Company’s consolidated financial
statements of the Reporting Period.
2. In March 2022 the wholly owned subsidiary Yineng Investment indirectly invested in Beijing Sinoscience Fullcryo
Technology Co. Ltd. (referred to as "Fullcryo" in this Report) and Sinoscience Fullcryo (Zhongshan) Equipment Manufacturing Co.Ltd. by making a capital contribution to a limited partnership and obtained non-controlling interests of the two companies.As one of the limited partners of the partnership Yineng Investment accounts for 94.86% of the total capital contributions.Considering the partnership's agreements on investment orientation investment decisions operation and management income
apportionment and loss bearing and the fact that Yineng Investment accounts for the majority of the capital contributions to the
partnership the partnership is included in the consolidated statements of Dongfang Precision as a "structured body controlled by the
Company" from the perspective of commercial substance and after complying with the Accounting Standard for Business Enterprises
and referring to the professional opinions of the independent auditor.Ⅹ. Possible risks and countermeasures
1. Risks arising from fluctuations in exchange rates
The main settlement currency and recording currency of Fosber Group the principal overseas business entity of the Company
are euros while the revenue of Fosber America and domestic entities from export is mainly settled with the US dollar. Fluctuations
in the US dollar and euro exchange rates do not significantly impact the routine operation of overseas business entities but exert
certain impacts on the presentation of their assets and operating results in the consolidated financial statements.Factors such as domestic macroeconomic conditions and policies changes in the Federal Reserve’s interest rate cut expectations
global geopolitical and trade situation changes central bank monetary policy changes international balance of payments inflation
rates and interest levels can all affect the RMB exchange rate. Under the comprehensive influence of multiple complex factors the
63 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. volatility of the RMB foreign exchange market has significantly increased.Countermeasures:
The Company can closely track the global financial market and national exchange rate policies make timely decisions to select
proper exchange rate management tools to manage exchange rate risks actively. It can also reduce risk exposure and increase
exchange gains by increasing debts of foreign currency and rely on Group management to strengthen the level of capital coordination
in different countries and regions balance and offset fluctuation risks at the Group level.
2. Potential risks of financial investment business
In recent years the Company has arranged some of its idle owned funds to carry out financial investment business such as
securities investment and entrusted wealth management in an appropriate manner based on the actual and development needs. There
are certain risks of carrying out the above business due to fluctuations in the financial market and uncertainty of income; and the risk
that the Company may suffer certain investment losses in case of risk events in the process of wealth management activities in terms
of investment strategies and use of funds.Countermeasures:
On the premise that the funds required for the daily operation of the main business will not be affected the Company reasonably
controls the capital scale for financial investment; it establishes and improves the internal control system and mechanism standards
for securities investment and entrusted financial management and strengthens the risk control management of securities investment
business safeguard the safety of investment funds and strictly control the risk exposure. In accordance with the economic situation
and changes in the financial market it continuously tracks and analyses the progress of securities investment and the investment of
funds the progress of project investment and the performance of the capital market and timely takes corresponding preservation
measures to control investment risks.Ⅺ. Implementation of Market Value Management System and Valuation Enhancement Plan
whether the Company has formulated a market value management system.□ Yes √ No
whether the Company has disclosed a valuation enhancement plan.□ Yes √ No
ⅪI. Implementation of the “Quality and Earnings Dual Improvement” Action Plan
whether the Company has disclosed the “Quality and Earnings Dual Improvement” Action Plan.□ Yes √ No
64 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part IV Corporate GovernanceEnvironmental and Social
Responsibilities
I Changes of Directors Supervisors and Senior Management
□Applicable□ Not applicable
The Company’s directors supervisors and senior management remained unchanged during the Reporting Period. For details see the
2024 Annual Report.
II Dividend Plan for the Reporting Period
□Applicable□ Not applicable
The Company has no semi-annual dividend plan either in the form of cash or stock.III Equity Incentive Plans Employee Stock Ownership Plans or Other Incentive Measures for
Employees
□Applicable □ Not applicable
1. Equity Incentives
1. The company held the 1st (Interim) shareholders’ meeting of 2024 on May 27 2024 which reviewed and approved the
"Proposal on the Failure to Meet the Unlocking Conditions for the Second Unlocking Period of the First Grant under the 2022
Restricted Stock Incentive Plan and the Repurchase and Cancellation of Some Restricted Stocks". On December 30 2024 the
company held the 5th (Interim) shareholders’ meeting of 2024 which reviewed and approved the "Proposal on the Repurchase and
Cancellation of Some Restricted Stocks". In accordance with the relevant provisions of the Measures for the Administration of Equity
Incentives of Listed Companies the company's 2022 Restricted Stock Incentive Plan and the Measures for the Assessment and
Administration of the Implementation of the 2022 Restricted Stock Incentive Plan the company decided to repurchase and cancel
1280000 restricted shares accounting for approximately 0.10% of the company's total share capital before the repurchase and
cancellation at a repurchase price of RMB 1 per share.On January 15 2025 the company disclosed the Announcement on the Completion of Repurchase and Cancellation of Some
Restricted Stocks. China Securities Depository and Clearing Corporation Limited Shenzhen Branch confirmed that the procedures for
the repurchase and cancellation of 1280000 restricted shares have been completed.
2. On April 25 2025 the company held the 14th (Interim) Meeting of the Fifth Board of Directors and the 12th (Interim)
Meeting of the Fifth Supervisory Board which reviewed and approved the "Proposal on the Failure to Meet the Unlocking
Conditions for the Third Unlocking Period of the First Grant under the 2022 Restricted Stock Incentive Plan and the Repurchase and
Cancellation of Some Restricted Stocks". In view of the failure to achieve the company-level performance assessment target for the
third unlocking period resulting in the failure to meet the unlocking conditions for the third unlocking period in accordance with the
65 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. incentive plan the company shall repurchase and cancel 480000 restricted shares held by 5 incentive recipients corresponding to the
third unlocking period of the first grant under the 2022 Restricted Stock Incentive Plan at the grant price. On May 12 2025 the
company held the 1st (Interim) shareholders’ meeting of 2025 which reviewed and approved the aforesaid proposal.On May 28 2025 the company disclosed the Announcement on the Completion of Repurchase and Cancellation of Some
Restricted Stocks. China Securities Depository and Clearing Corporation Limited Shenzhen Branch confirmed that the procedures for
the repurchase and cancellation of 480000 restricted shares have been completed.
2. Implementation of Employee Stock Ownership Plans
Applicable □ Not applicable
The situation of all effective employee stock ownership plans during the reporting period
Total Proportion of
Number
number of Change the total share
Scope of employees of Source of funds
shares held situation capital of the
employees
(shares) listed company
The long-term
Company directors (excluding independent incentive award
directors) senior managers who play important fund withdrawn by
roles and have significant impacts on the overall the company in
performance and medium to long-term accordance with
51 21330000 NA 1.75%
development of the company as well as core the systems
managers and core business (technical) personnel regarding salary
who are employed by the company or its management and
controlled subsidiaries performance
management.The shareholding of directors supervisors and senior management personnel in the employee stock ownership plan during the
reporting period
The proportion of the
Opening shareholding Closing shareholding
Name Office title total share capital of the
(share) (share)
listed company.Director and General
Qiu Yezhi 4090000 4090000 0.34%
Manager
Director and Deputy
Xie Weiwei 900000 900000 0.07%
General Manager
Director Board
Feng Jia Secretary and Vice 700000 700000 0.06%
President
Chief Financial Officer
Shao Yongfeng 700000 700000 0.06%
and Vice President
Changes in asset management institutions during the reporting period
□ Applicable √ Not applicable
Changes in equity caused by holders' disposal of shares etc. during the reporting period
□ Applicable √ Not applicable
The situation of the exercise of shareholders' rights during the reporting period.
66 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. During the reporting period the company implemented the equity distribution for the first quarter of 2025. In accordance with the
company's "2024 Employee Stock Ownership Plan Scheme" holders are entitled to the rights and interests of this employee stock
ownership plan in proportion to the share of the employee stock ownership plan they hold.Other relevant matters regarding the employee stock ownership plan during the reporting period
□ Applicable √ Not applicable
Changes in the members of the management committee of the employee stock ownership plan
□ Applicable √ Not applicable
The financial impact of the employee stock ownership plan on the listed company during the reporting period and relevant
accounting treatments
Applicable □ Not applicable
According to "Accounting Standards for Business Enterprises No. 11 - Share-based Payments" for equity-settled share-based
payments in exchange for employees' services that can only be exercised when the services during the waiting period are completed
or the stipulated performance conditions are met on each balance sheet date during the waiting period the services obtained in the
current period should be included in relevant costs or expenses and capital reserve based on the best estimate of the number of
exercisable equity instruments and in accordance with the fair value of the equity instruments on the grant date. The amortization
expense of the company's employee stock ownership plan in 2025H1 was 16.1299 million yuan which was included in relevant
expense accounts and capital reserve.The situation of the termination of the employee stock ownership plan during the reporting period.□ Applicable √ Not applicable
3. Other Incentive Measures for Employees
□ Applicable √ Not applicable
IV Disclosure of Environment Information
□Applicable □ Not applicable
Whether the listed company and its major subsidiaries are included in the list of enterprises required to disclose environmental
information in accordance with the law
□Yes □ No
Number of companies included in the list of enterprises required to
disclose environmental information in accordance with the law (unit: 1
enterprise)
Query index for reports on environmental
No. Name
information disclosure in accordance with the
Jiangsu Provincial Department of Ecology and
Environment - "Environmental Protection
1 Parsun Power Facemask" for Jiangsu Enterprises (One Enterprise
One File)
https://sthjt.jiangsu.gov.cn/col/col83817/index.html
V Social Responsibilities
The Company attached importance to fulfilling social responsibility in daily operations intending to promote harmony and co-
prosperity between it and parties related to its interests. The Company also took active measures in the protection of the rights and
67 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. interests of shareholders creditors employees suppliers customers and consumers environmental protection sustainable
development public relations and social public welfare undertakings and strived to maximize comprehensive social benefits
including the sustainable development of itself.
(1) Corporate governance: During the Reporting Period the Company strictly abided by the Company Law the Securities Law
and Code of Corporate Governance for Listed Companies continued to refine the corporate governance structure improve the
internal control system formed the decision-making system comprising the Shareholders' General Meeting the Board of Directors
the Supervisory Committee and the Management and timely fulfilled its obligation of information disclosure according to laws and
regulations and effectively safeguarded the rights and interests of all shareholders.
(2) Rights and interests of employees: The Company provided employees with welfare and care by providing holiday gifts and
holding employee birthday parties annual meetings and team-building activities improved employees' professional competence by
offering regular or irregular training to employees in the headquarters and domestic and foreign branches and subsidiaries and
continued to improve the competitive comprehensive remuneration system to retain and attract talents needed for the Company's
sustainable development.
(3) Relationship with customers and suppliers: Long adhering to the principle of "honest business" and "mutual benefit and
win-win" the Company took the initiative to construct and develop a strategic partnership with suppliers and customers and jointly
built a platform of trust and cooperation and earnestly fulfilled its social responsibilities to suppliers customers and consumers. The
Company has been well-performing contracts with suppliers and customers and ensuring that the rights and interests of all parties are
highly valued and duly protected.
(4) Production safety: The Company strictly abided by the Labour Law and the Labour Contract Law adhered to the "people-
oriented" principle attached importance to the needs of employeesstrived to improve the working and living environments of
employees and has set up a labour union to effectively protect the interests of employees. It also provided labour protection supplies
according to the risk factors of different posts organized occupational health examinations for employees (before taking the post on
the post and before leaving the post) and bought safety liability insurance for employees on highly risky posts. In 2020 Dongfang
Precision extended its Grade II Production Safety Standardization Certificate for Machinery Enterprises and Parsun Power and
Fosber Asia were granted the Grade III Production Safety Standardization Certificate for Machinery Enterprises.
(5) Environmental protection: Dongfang Precision was granted the National Pollutant Discharge Permit and regularly completes
the filling of data for post-license monitoring of the National Discharge License. It commissioned the qualified third-party
environmental protection agencies to compile the Contingency Plans for Environmental Emergencies and update it on a regular basis.The Company established the "Environmental Self-Monitoring Programme" entrusted a third party to install and operate 24-hour
sewage on-line flow monitoring equipment and entrusted a third-party monitoring organisation to carry out quarterly testing of
wastewater exhaust gas and noise and issue third-party test reports. Moreover the Company’s environmental protection facilities
passed the qualification re-examination on OHSAS18001:2007 Occupational Health and Safety Management Systems and
ISO14001:2005 Environmental Management System. .Subsidiary Parsun Power has obtained the National Pollutant Discharge
Permit and passed the ISO 14001:2015 environmental management system certification. It has purchased environmental protection
equipment including a 50000 m3/h organic waste gas treatment device and a waste gas recovery system which can meet the daily
requirements for pollutant treatment.
(6) Anti-fraud: The Group complied a thorough internal authorization manual that detailed provisions on internal authorization
process of major matters to ensure appropriate internal control and reduce the risk of fraud. In order to create a fair just honest and
non-corrupt internal business environment and strengthen internal monitoring the Company also established and launched the anti-
fraud reporting platform to encourage employees to report fraud findings.
68 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part V Significant Events
I Undertakings of the Company’s Actual Controller Shareholders Related Parties and
Acquirers as well as the Company Itself and Other Entities Fulfilled in the Reporting Period
or Unfulfilled and Overdue at the Period-End
□Applicable□ Not applicable
No such cases in the Reporting Period.II Occupation of the Company’s Capital by the Controlling Shareholder or Other Related
Parties for Non-Operating Purposes
□Applicable□ Not applicable
No such cases in the Reporting Period.III Irregularities in Provision of Guarantees
□Applicable□ Not applicable
No such cases in the Reporting Period.IV Engagement and Disengagement of Independent Auditor
Whether the semi-annual financial report was audited.□ Yes √ No
The semi-annual financial report was not audited.V Explanations Given by the Board of Directors and the Supervisory Committee Regarding
the Independent Auditor's “Modified Opinion” on the Financial Statements of the Reporting
Period
□Applicable□ Not applicable
VI Explanations Given by the Board of Directors Regarding “Modified Opinion” on the
Financial Statements of Last Year
□Applicable□ Not applicable
69 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. VII Insolvency and Reorganization
□Applicable□ Not applicable
No such cases in the Reporting Period.VIII Legal Matters
Significant Legal Matters
□ Applicable□ Not applicable
No such cases in the Reporting Period.Other Legal Matter
□ Applicable□ Not applicable
IX Punishments and Rectifications
□Applicable□ Not applicable
No such cases in the Reporting Period.X Credit Quality of the Company as well as Its Controlling Shareholder and Actual
Controller
□Applicable□ Not applicable
XI Significant Related-Party Transactions
1. Continuing Related-Party Transactions
□Applicable□ Not applicable
No such cases in the Reporting Period.
2. Related-Party Transactions Regarding Purchase or Sales of Assets or Equity Investments
□Applicable□ Not applicable
No such cases in the Reporting Period.
3. Related-Party Transactions Regarding Joint Investments in Third Parties
□Applicable□ Not applicable
70 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. No such cases in the Reporting Period.
4. Amounts Due to and from Related Parties
□Applicable□ Not applicable
No such cases in the Reporting Period.
5. Transactions with Related Financial Companies
□Applicable□ Not applicable
No such cases in the Reporting Period.
6. Transactions between the finance company controlled by the company and related parties
□Applicable□ Not applicable
No such cases in the Reporting Period.
7. Other Significant Related-Party Transactions
□Applicable□ Not applicable
No such cases in the Reporting Period.XII Significant Contracts and Execution thereof
1. Entrustment Contracting and Leases
(1) Entrustment
□ Applicable□ Not applicable
No such cases in the Reporting Period.
(2) Contracting
□ Applicable□ Not applicable
No such cases in the Reporting Period.
(3) Leases
□ Applicable□ Not applicable
No such cases in the Reporting Period.
71 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 2. Significant Guarantees
□Applicable □ Not applicable
Guarantees provided by the Company as the parent and its subsidiaries for external parties (exclusive of those for subsidiaries)
Guarantee
Disclosure
Actual Actual Counter- Having for a
date of the Line of Type of Security Term of
Obligor occurrence guarantee guarantees expired related
guarantee line guarantee guarantee (if any) guarantee
date amount (if any) or not party or
announcement
not
Guarantees provided by the Company as the parent for its subsidiaries
Guarantee
Disclosure
Actual Actual Counter- Having for a
date of the Line of Type of Security Term of
Obligor occurrence guarantee guarantees expired related
guarantee line guarantee guarantee (if any) guarantee
date amount (if any) or not party or
announcement
not
From the
effective
No more date of the
than RMB security
2024-04- Joint
Tirua Asia 2024-03-28 RMB 61.9427 None None agreement No No
28 liability
100 million until three
million years after
the maturity
of the loan
Total approved line for such Total actual amount of
guarantees in the Reporting 0 such guarantees in the RMB 61.9427 million
Period (B1) Reporting Period (B2)
Total actual balance of
Total approved line for such
No more than RMB such guarantees at the end
guarantees at the end of the RMB 61.9427 million
100 million of the Reporting Period
Reporting Period (B3)
(B4)
Guarantees provided between subsidiaries
Guarantee
Disclosure
Actual Actual Counter- Having for a
date of the Line of Type of Security Term of
Obligor occurrence guarantee guarantees expired related
guarantee line guarantee guarantee (if any) guarantee
date amount (if any) or not party or
announcement
not
Two years
from the
date of
Parsun No more expiration of
Power than the debt
15 May RMB 70.00 Joint
Technology 2025-04-26 RMB None None performance No No
2025 million liability
Baisheng 300 period
International million stipulated in
the relevant
credit
agreement
Total approved line for such Total actual amount of
No more than RMB
guarantees in the Reporting such guarantees in the RMB 70.00 million
300 million
Period (C1) Reporting Period (C2)
72 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total actual balance of
Total approved line for such
No more than RMB such guarantees at the end
guarantees at the end of the RMB 70.00 million
300 million of the Reporting Period
Reporting Period (C3)
(C4)
Total guarantee amount (total of the three kinds of guarantees above)
Total guarantee line approved Total actual guarantee
No more than RMB
in the Reporting Period amount in the Reporting RMB 131.9427 million
300 million
(A1+B1+C1) Period (A2+B2+C2)
Total actual guarantee
Total approved guarantee line
No more than RMB balance at the end of the
at the end of the Reporting RMB 131.9427 million
400 million Reporting Period
Period (A3+B3+C3)
(A4+B4+C4)
Total actual guarantee amount (A4+B4+C4) as % of the Company’s net assets 2.47%
Of which:
Balance of guarantees provided for shareholders the actual controller and their related
0
parties (D)
Balance of debt guarantees provided directly or indirectly for obligors with an over
RMB 61.9427 million
70% debt/asset ratio (E)
Amount by which the total guarantee amount exceeds 50% of the Company’s net
0
assets (F)
Total of the three amounts above (D+E+F) RMB 61.9427 million
Joint liability possibly borne or already borne in the Reporting Period for outstanding
N/A
guarantees (if any)
Guarantees provided in breach of prescribed procedures (if any) N/A
3. Cash Entrusted for Wealth Management
□Applicable □ Not applicable Unit: RMB’0000
High-risk wealth management transactions with a significant single amount or with low security low liquidity and no principal
Impairment
Unrecovered provision for
Type Funding source Amount Undue amount
overdue amount unrecovered
overdue amount
Bank’s wealth
Self-funded 44305.00 16470.00 0.00 0.00
management product
Securities firm’s
wealth management Self-funded 34022.00 8013.98 0.00 0.00
product
Trust product Self-funded 2700.00 200.00 358.62 358.62
Total 81027.00 24683.98 358.62 358.62
protection:
□ Applicable□ Not applicable
Wealth management transactions where the principal is expectedly irrecoverable or an impairment may be incurred:
□Applicable □ Not applicable
As of the end of the Reporting Period the unrecovered amount of trust products was RMB3.5862 million for which an impairment
73 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. allowance of RMB3.5862million was established.
4. Other Significant Contracts
□Applicable□ Not applicable
No such cases in the Reporting Period.XIII Other Significant Events
□Applicable□ Not applicable
XIV Significant Events of Subsidiaries
□Applicable□ Not applicable
74 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part VI Share Changes and Shareholder Information
I Share Changes
1. Share Changes
Unit: share
Before Increase/decrease in the period (+/-) After
Shares as
Shares as
dividend
dividend
Percentage New converted Percentage
Shares converted Other Subtotal Shares
(%) issues from (%)
from
capital
profit
reserves
1. Restricted - -
22397453318.37%21508863317.67%
shares 8885900 8885900
1.1 Shares
held by the 0 0.00% 0 0 0 0.00%
government
1.2 Shares
held by state-
00.00%0000.00%
owned
corporations
1.3 Shares
held by other - -
22397453318.37%21508863317.67%
domestic 8885900 8885900
investors
Including:
Shares held by
00.00%0000.00%
domestic
corporations
Shares held
--
by domestic 223974533 18.37% 215088633 17.67%
88859008885900
individuals
1.4 Shares
held by overseas 0 0.00% 0 0 0 0.00%
investors
Including:
Shares held by
00.00%0000.00%
overseas
corporations
Shares held
by overseas 0 0.00% 0 0 0 0.00%
individuals
2. Unrestricted
99507180781.63%71259007125900100219770782.33%
shares
2.1 RMB-
denominated 995071807 81.63% 7125900 7125900 1002197707 82.33%
ordinary shares
75 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 2.2
Domestically
00.00%0000.00%
listed foreign
shares
2.3 Overseas
listed foreign 0 0.00% 0 0 0 0.00%
shares
2.4 Others 0 0.00% 0 0 0 0.00%
--
3. Total shares 1219046340 100.00% 1217286340 100.00%
17600001760000
Reasons for share changes:
□Applicable □ Not applicable
1. Repurchase and Cancellation of Restricted Shares under Equity Incentive
(1). The company held the 1st (Interim) shareholders’ meeting of 2024 on May 27 2024 which reviewed and approved the
"Proposal on the Failure to Meet the Unlocking Conditions for the Second Unlocking Period of the First Grant under the 2022
Restricted Stock Incentive Plan and the Repurchase and Cancellation of Some Restricted Stocks". On December 30 2024 the
company held the 5th (Interim) shareholders’ meeting of 2024 which reviewed and approved the "Proposal on the Repurchase and
Cancellation of Some Restricted Stocks". In accordance with the relevant provisions of the Measures for the Administration of Equity
Incentives of Listed Companies the company's 2022 Restricted Stock Incentive Plan and the Measures for the Assessment and
Administration of the Implementation of the 2022 Restricted Stock Incentive Plan the company decided to repurchase and cancel
1280000 restricted shares accounting for approximately 0.10% of the company's total share capital before the repurchase and
cancellation at a repurchase price of RMB 1 per share.On January 15 2025 the company disclosed the Announcement on the Completion of Repurchase and Cancellation of Some
Restricted Stocks. China Securities Depository and Clearing Corporation Limited Shenzhen Branch confirmed that the procedures for
the repurchase and cancellation of 1280000 restricted shares have been completed.
(2). On April 25 2025 the company held the 14th (Interim) Meeting of the Fifth Board of Directors and the 12th (Interim)
Meeting of the Fifth Supervisory Board which reviewed and approved the "Proposal on the Failure to Meet the Unlocking
Conditions for the Third Unlocking Period of the First Grant under the 2022 Restricted Stock Incentive Plan and the Repurchase and
Cancellation of Some Restricted Stocks". In view of the failure to achieve the company-level performance assessment target for the
third unlocking period resulting in the failure to meet the unlocking conditions for the third unlocking period in accordance with the
incentive plan the company shall repurchase and cancel 480000 restricted shares held by 5 incentive recipients corresponding to the
third unlocking period of the first grant under the 2022 Restricted Stock Incentive Plan at the grant price. On May 12 2025 the
company held the 1st (Interim) shareholders’ meeting of 2025 which reviewed and approved the aforesaid proposal.On May 28 2025 the company disclosed the Announcement on the Completion of Repurchase and Cancellation of Some
Restricted Stocks. China Securities Depository and Clearing Corporation Limited Shenzhen Branch confirmed that the procedures for
the repurchase and cancellation of 480000 restricted shares have been completed..
2. Changes in Restricted shares of senior management
Mr. Tang Zhuolin and Mr. Xie Weiwei who serve as directors and senior managements had changes in their shareholdings in 2024.In early 2025 based on their latest shareholding amounts China Securities Depository and Clearing Corporation Limited calculated
their statutory quota of transferable shares for the current year at 25% of their holdings. A total of 7125900 shares were unlocked
during the reporting period.
76 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Approval of share changes:
□Applicable □ Not applicable
In the Reporting Period with respect to share changes the Company followed the applicable laws and regulations and its Articles of
Association executed the approval procedures with the general meeting and the Board of Directors and obtained approval from the
Shenzhen Stock Exchange.Transfer of share ownership:
□Applicable □ Not applicable
In the Reporting Period with respect to the transfers of share ownership the Company completed the transfers with the Shenzhen
branch of China Securities Depository and Clearing Co. Ltd. after they were approved by the Shenzhen Stock Exchange.Progress of implementation of share buyback
□Applicable□ Not applicable
Progress on reducing the repurchased shares by way of centralized bidding:
□Applicable□ Not applicable
Effects of share changes on the basic earnings per share diluted earnings per share equity per share
attributable to the Company’s ordinary shareholders and other financial indicators of the prior year and
the prior accounting period respectively:
□Applicable□ Not applicable
Other information that the Company considers necessary or is required by the securities regulator to be
disclosed:
□Applicable□ Not applicable
2. Changes in Restricted Shares
□Applicable □ Not applicable
Unit: share
Increase in
Opening Unlocked in the Closing Reason for Date of
Shareholder restricted shares
restricted shares period restricted shares restriction unlocking
in the period
Restricted shares of
Tang Zhuolin 203053176 6984900 0 196068276 2025-1-2
senior management
Restricted shares of
Xie Weiwei 564000 141000 0 423000 2025-1-2
senior management
Total 203617176 7125900 0 196491276 -- --
II Issuance and Listing of Securities
□ Applicable□ Not applicable
77 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
III Shareholders and Their Shareholdings
Unit: share
Number of ordinary shareholders at the Number of preference shareholders with resumed voting
1509700
period-end rights at the period-end (if any) (see note 8)
5% or greater ordinary shareholders or top 10 ordinary shareholders
Total ordinary shares Increase/decrease Unrestricted Shares in pledge marked or frozen
Name of Shareholding Restricted ordinary
Nature of shareholder held at the period- in the Reporting ordinary
shareholder percentage shares held
end Period shares held Status Shares
Tang Zhuolin Domestic individual 21.26% 258837568 -2586800 196068276 62769292 In pledge 90000000
Tang Zhuomian Domestic individual 7.96% 96885134 0 0 96885134 -- 0
Beijing Puren
Pulead
Technology R & State-owned 2.19% 26628340 0 0 26628340 -- 0
corporation
D Center (Limited
Partnership)
Qiu Yezhi Domestic individual 1.92% 23382388 0 17536791 5845597 -- 0
Guangdong
Dongfang
Precision Science
& Technology Others 1.75% 21330000 0 0 21330000 -- 0
Co. Ltd. - 2024
Employee Stock
Ownership Plan
Luzhou Industrial
Development State-owned
1.41%171043100017104310--0
Investment Group corporation
Co. Ltd.
78 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Hong Kong
Securities Overseas
1.20%14597147-10198120014597147--0
Clearing corporation
Company Limited
China Merchants
Bank Co. Ltd. -
Southern CSI
1000 Exchange- Others 0.65% 7866820 7866820 0 7866820 -- 0
Traded Open-End
Index Securities
Investment Fund
Great Wall Life
Insurance Co.Others 0.42% 5053100 5053100 0 5053100 -- 0
Ltd. - Proprietary
Funds
China Merchants
Bank Co. Ltd. -
ChinaAMC CSI
1000 Exchange- Others 0.38% 4642500 4642500 0 4642500 -- 0
Traded Open-End
Index Securities
Investment Fund
Strategic investor or general corporation
becoming a top-10 ordinary shareholder in None
a rights issue (if any) (see note 3)
Related or acting-in-concert parties among Mr. Tang Zhuolin and Mr. Tang Zhuomian are brothers. On 18 August 2010 they signed the Agreement on Acting in Concert.the shareholders above
The holders of the Guangdong Dongfang Precision Science & Technology Co. Ltd. - 2024 Employee Stock Ownership Plan as a whole waive the
Above shareholders entrusting or entrusted shareholder voting rights enjoyed by virtue of holding the underlying stocks through participation in this employee stock ownership plan while
with voting rights or waiving voting rights retaining other shareholder rights (including rights to asset returns such as dividend rights rights to subscribe for new shares and rights to convert
capital reserve into share capital).Top 10 shareholders including the special
account of repurchased shares (if any) (see None
note 11)
Top 10 unrestricted ordinary shareholders
79 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Semi-Annual Report
2025
Shares by type
Name of shareholder Unrestricted ordinary shares held at the period-end
Type Shares
RMB-denominated
Tang Zhuomian 96885134 96885134
ordinary stock
RMB-denominated
Tang Zhuolin 62769292 62769292
ordinary stock
Beijing Puren Pulead Technology R & D RMB-denominated
2662834026628340
Center (Limited Partnership) ordinary stock
Guangdong Dongfang Precision Science &
RMB-denominated
Technology Co. Ltd. - 2024 Employee 21330000 21330000
ordinary stock
Stock Ownership Plan
Luzhou Industrial Development RMB-denominated
1710431017104310
Investment Group Co. Ltd. ordinary stock
Hong Kong Securities Clearing Company RMB-denominated
1459714714597147
Limited ordinary stock
China Merchants Bank Co. Ltd. -
Southern CSI 1000 Exchange-Traded RMB-denominated
78668207866820
Open-End Index Securities Investment ordinary stock
Fund
RMB-denominated
Qiu Yezhi 5845597 5845597
ordinary stock
Great Wall Life Insurance Co. Ltd. - RMB-denominated
50531005053100
Proprietary Funds ordinary stock
China Merchants Bank Co. Ltd. -
ChinaAMC CSI 1000 Exchange-Traded RMB-denominated
46425004642500
Open-End Index Securities Investment ordinary stock
Fund
Related or acting-in-concert parties among
top 10 unrestricted ordinary shareholders
as well as between top 10 unrestricted Mr. Tang Zhuolin and Mr. Tang Zhuomian are brothers. On 18 August 2010 they signed the Agreement on Acting in Concert.ordinary shareholders and top 10 ordinary
shareholders
Description of the participation of the top Luzhou Industrial Development Investment Group Co. Ltd. holds 17104310 shares through the client margin trading and securities lending
10 common shareholders in the financing guarantee account of Guotai Haitong Securities Co. Ltd. Beijing Puren Pulead Technology R & D Center (Limited Partnership) holds 26628340
and securities financing business (if any) shares through the client margin trading and securities lending guarantee account of China Securities Co. Ltd.
80 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Top 10 shareholders involved in refinancing shares lending:
□ Applicable √ Not applicable
Changes in top 10 shareholders compared with the prior period:
□ Applicable √ Not applicable
Indicate whether any of the top 10 ordinary shareholders or the top 10 unrestricted ordinary shareholders of the Company conducted
any promissory repo during the Reporting Period.□ Yes□ No
No such cases in the Reporting Period
IV Changes in the Shareholdings of Directors Supervisors and Senior Management
Applicable □ Not applicable
Number Number
Number of
of Number Initial of Ending
Shares
Shares of Number Restrict Number
Repurchas
Increas Shares of ed of
Initial ed and Ending
Employme ed in Reduce Restrict Shares Restrict
Name Position Shareholdi Cancelled Shareholdi
nt Status the d in the ed Granted ed
ng (Shares) in the ng (Shares)
Current Current Shares in the Shares
Current
Period Period Granted Current Granted
Period
(Shares (Shares) (Shares) Period (Shares)
(Shares)
) (Shares)
Chairm
Tang
an of Currently 26142436 25868 25883756
Zhuoli 0 0 0 0 0
the Employed 8 00 8
n
Broad
Director
Feng Currently
Secretar 700000 0 560000 140000 0 0 0
Jia Employed
y of the
Board
262124362586825897756
Total -- -- 0 560000 0 0 0
8008
V Changes of the Company’s Controlling Shareholder and Actual Controller
Controlling Shareholder changed during the Reporting Period
□ Applicable□ Not applicable
No such cases in the Reporting Period.Actual Controller changed during the Reporting Period
□ Applicable□ Not applicable
81 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. No such cases in the Reporting Period.VI Preference Shares
□Applicable□ Not applicable
No preference shares in the Reporting Period.
82 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part VII Corporate Bonds
□Applicable□ Not applicable
83 / 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part VIII Corporate Financial Statements
I Auditor’s Report
Whether the semi-annual financial statements were audited.□ Yes□ No
The semi-annual financial statements were not audited.II Financial Statements
Currency unit for the tables in the notes to the financial statements: RMB yuan
1. Consolidated Balance Sheet
Prepared by: Guangdong Dongfang Precision Science & Technology Co. Ltd.
30 June 2025
Unit: RMB yuan
Item 30 June 2025 31 December 2024
Current assets:
Cash and bank balances 2501935816.53 1729050383.34
Settlement provisions
Dismantling funds
Financial assets held for trading 140769386.23 788649332.18
Derivative financial assets 3033910.74 2755081.17
Notes receivable 91141351.69 98048145.31
Accounts receivable 817534803.08 745862825.71
Receivable financing 23201080.81 16303982.64
Prepayments 46929961.37 28226195.35
Premium receivable
Receivable reinsurance account
Page 84 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Provision for reinsurance contract
receivable
Other receivables 52410147.67 40647410.48
Including: Interest receivable
Dividend receivable
Buy back resale financial assets
Inventories 1316777926.90 1031899593.02
Of which Data Resources
Contract assets 46565536.09 52151171.92
Assets held for sale
Current portion of non-current
12332376.638035336.42
assets
Other current assets 104743716.98 60543096.49
Total current assets 5157376014.72 4602172554.03
Non-current assets:
Loans and advances
Debt investment
Other debt investments
Long-term receivables 4609128.36 4047852.80
Long-term equity investment 111903408.19 113469148.58
Investment in other equity
instruments
Other non-current financial assets 712657495.10 539449588.63
Real estate investment
Fixed assets 953178133.55 681980621.79
Construction in progress 216072179.85 404826595.02
Productive biological assets
Oil and gas asset
Right-of-use assets 60180882.89 64147198.31
Page 85 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Intangible assets 370059537.41 356564206.44
Of which Data Resources
Development expenditure
Of which Data Resources
Goodwill 444514570.02 424989302.93
Long-term prepaid expenses 20877348.69 21718570.19
Deferred tax assets 187085782.32 222186749.21
Other non-current assets 108889856.46 93024609.05
Total non-current assets 3190028322.84 2926404442.95
Total assets 8347404337.56 7528576996.98
Current liabilities:
Short-term borrowings 139457969.59 85390128.99
Borrowing from the Central Bank
Borrowed funds
Financial liabilities held for trading
Derivative financial liabilities 211750476.02 206216239.00
Notes payable 200991603.73 144137609.00
Accounts payable 844115803.29 687235330.65
Advance receivables
Contract liabilities 595986497.10 373931068.16
Selling back financial assets
Deposits and Interbank deposit
Agent trading securities
Agent underwriting securities
Employee benefits payable 159226719.46 139543012.38
Tax payable 47176740.59 69194598.03
Other payables 116833457.60 117617259.50
Including: Interest payable
Dividend payable
Page 86 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Fees and commissions
Reinsurance accounts payable
Liabilities held for sale
Current portion of non-current
67867180.8681630784.65
liabilities
Other current liabilities 45953761.68 41832335.71
Total current liabilities 2429360209.92 1946728366.07
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 136998422.99 125482485.31
Bonds payable
Including: Preference Shares
Perpetual bonds
Lease liabilities 44109251.33 47666801.96
Long-term payables
Long-term employee benefits
13898580.6613128052.34
payable
Provisions 138029311.85 146820629.26
Deferred income 13932001.66 14790331.66
Deferred tax liabilities 1246422.77 2042929.48
Other non-current liabilities 5753591.10 7573539.20
Total non-current liabilities 353967582.36 357504769.21
Total Liabilities 2783327792.28 2304233135.28
Equity:
Share capital 1217286340.00 1219046340.00
Other equity instruments
Including: Preference Shares
Perpetual bonds
Capital surplus 2835111956.47 2818982096.52
Page 87 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Less: Treasury stock 115233041.40 117233041.40
Other comprehensive income 146994730.40 29809317.74
Special reserve 19008674.14 18106386.75
Surplus reserves 51830974.45 51830974.45
General risk preparation
Retained earnings 1196031231.05 956837409.23
Total equity attributable to owners of the
5351030865.114977379483.29
parent
Non-controlling interests 213045680.17 246964378.41
Total equity 5564076545.28 5224343861.70
Total liabilities and equity 8347404337.56 7528576996.98
Legal representative: Tang Zhuolin Chief in charge of accounting work: Shao Yongfeng Head of accounting institution: Chen Lin
2. Parent Company Balance Sheet
Unit: RMB yuan
Item 30 June 2025 31 December 2024
Current assets:
Cash and bank balances 1384515099.75 698349330.28
Financial assets held for trading 91433549.01 534553587.74
Derivative financial assets 363783.42
Notes receivable 15904967.22 9765309.28
Accounts receivable 186254439.11 236125159.25
Receivable financing 4902338.60 5036303.55
Prepayments 3302989.89 5379122.23
Other receivables 495826703.64 504269264.02
Including: Interest receivable
Dividend receivable 189441700.97 184841125.30
Inventories 145193587.55 129915017.16
Of which Data Resources
Page 88 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Contract assets 23870922.28 28814278.05
Assets held for sale
Current portion of non-current
7331976.638035336.42
assets
Other current assets 1518711.16 2107492.86
Total current assets 2360419068.26 2162350200.84
Non-current assets:
Debt investment
Other debt investments
Long-term receivables 913621.16 4047852.80
Long-term equity investment 879293456.64 877527583.14
Investment in other equity
instruments
Other non-current financial assets 400121406.18 226209705.10
Real estate investment
Fixed assets 277055509.46 280406246.36
Construction in progress 5440950.00 5440950.00
Productive biological assets
Oil and gas asset
Right-of-use assets 3405949.12 4610994.41
Intangible assets 58903867.59 60569947.92
Of which Data Resources
Development expenditure
Of which Data Resources
Goodwill
Long-term prepaid expenses 2785177.88 3507201.55
Deferred tax assets 130906023.30 161058263.43
Other non-current assets 70580512.50 70238512.50
Total non-current assets 1829406473.83 1693617257.21
Page 89 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total assets 4189825542.09 3855967458.05
Current liabilities:
Short-term loan 71000000.00 1000000.00
Financial liabilities held for trading 0.00
Derivative financial liabilities 110559.93 116513.31
Notes payable 45962026.84 48838900.00
Accounts payable 64625041.50 76177615.41
Advance receivables
Contract liabilities 35877984.58 29456102.15
Employee benefits payable 15304357.05 16248751.40
Tax payable 1515081.93 118064.93
Other payables 35127139.96 41517747.95
Including: Interest payable
Dividend payable
Liabilities held for sale
Current portion of non-current
16766501.7517452778.58
liabilities
Other current liabilities 8387383.03 5736334.26
Total current liabilities 294676076.57 236662807.99
Non-current liabilities:
Long-term borrowings 13392000.00 16740000.00
Bonds payable
Including: Preference Shares
Perpetual bonds
Lease liabilities 2539705.86 3434210.61
Long-term payables
Long-term employee benefits
payable
Provisions 659187.93 1111329.09
Page 90 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Deferred income 13932001.66 14790331.66
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities 30522895.45 36075871.36
Total Liabilities 325198972.02 272738679.35
Equity:
Share capital 1217286340.00 1219046340.00
Other equity instruments
Including: Preference Shares
Perpetual bonds
Capital surplus 2689342833.95 2673989321.44
Less: Treasury stock 115233041.40 117233041.40
Other comprehensive income
Special reserve 7326466.01 6850427.57
Surplus reserves 51830974.45 51830974.45
Retained earnings 14072997.06 -251255243.36
Total equity 3864626570.07 3583228778.70
Total liabilities and equity 4189825542.09 3855967458.05
3. Consolidated Income Statement
Unit: RMB yuan
Item H1 2025 H1 2024
1 Total operating revenue 2158956857.88 2161188907.40
Including: Operating revenue 2158956857.88 2161188907.40
Interest income
Premiums earned
Fee and commission income
2 Total operating cost 1828531494.60 1800173050.63
Including: Cost of sales 1511618213.45 1502217618.28
Interest expense
Payment of fees and commission
Page 91 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Surrender fund
Net indemnity expenditure
Draw the net reserve of insurance
liability contract
Policy dividend expense
Reinsurance cost
Taxes and surcharges 12997925.75 9481412.61
Selling expenses 81372896.12 88952530.48
Administrative expenses 188675988.67 161949583.52
R&D expenses 53511623.86 50366067.58
Finance costs -19645153.25 -12794161.84
Including: Interest expenses 5246608.14 10539931.90
Interest income 25618916.20 22603240.17
Add: Other income 10467732.86 10323357.51
Investment income (loss with "-" sign) 145682957.38 -8194916.20
Including: Share of profit or loss of joint
ventures and associates -1762058.16 -2914122.66
Income from derecognition of
financial assets measured at amortised cost (loss with
"-" sign)
Exchange gain (loss with "-" sign)
Net exposure hedging gain (loss with "-"
sign)
Gain/loss on changes in fair value (loss
with "-" sign) 9152211.19 -85374294.70
Credit impairment loss (loss is listed with "-
" sign) -3779031.08 662562.69
Asset impairment loss (loss with "-" sign) -9018836.80 -5743282.79
Gain/loss on disposal of assets (loss with "-
" sign) -32823.11 5094479.46
3 Operating profit (losses are listed with "-" sign) 482897573.72 277783762.74
Add: Non-operating income 1552164.28 939908.99
Less: Non-operating expenses 1300695.51 389972.29
5 Gross profit (the gross loss shall be filled in with
the sign "-") 483149042.49 278333699.44
Less: Income tax expenses 67252009.19 90957489.73
Net profit (net loss is listed with "-" sign) 415897033.30 187376209.71
(1) Net profit from continuing operations
i. Net profit from continuing operations (net loss
with "-" sign) 415897033.30 187376209.71
ii. Net profit from termination of operation (net
loss with "-" sign)
Page 92 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (2) Net profit classified by attribution of
ownership
i. Net profit attributable to owners of the parent 397440989.86 163880472.14
ii. Net profit attributable to non-controlling
interests 18456043.44 23495737.57
6 Other comprehensive income/(loss) net of tax 117113291.88 -28881848.39
Other comprehensive income/(loss) attributable
to owners of the parent net of tax 117185412.66 -29083521.22
(1) Other comprehensive loss that will not
be reclassified to profit or loss 39378.48 61371.94
i. Changes caused by remeasurements
on defined benefit schemes 39378.48 61371.94
ii. Other comprehensive income that
cannot be transferred to profit or loss under the equity
method
iii. Changes in fair value of
investments in other equity instruments
iv. Fair value change of enterprise's
own credit risk
v. Other
(2) Other comprehensive income/(loss) that
will be reclassified to profit or loss 117146034.18 -29144893.16
i. Other comprehensive income that
can be transferred to profit or loss under the equity
method
ii. Changes in fair value of other debt
investments
iii. The amount of financial assets
reclassified to other comprehensive income
iv. Provision for credit impairment of
other debt investments
v. Cash flow hedging reserve
vi. Differences arising from the
translation of foreign currency-denominated financial 117146034.18 -29144893.16
statements
vii. Other
Other comprehensive income attributable to non-
controlling interests net of tax -72120.78 201672.83
Total comprehensive income 533010325.18 158494361.32
Total comprehensive income attributable to
owners of the parent 514626402.52 134796950.92
Total comprehensive income attributable to non-
controlling interests 18383922.66 23697410.40
Page 93 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Earnings per share:
(1) Basic earnings per share 0.33 0.14
(2) Diluted earnings per share 0.33 0.14
Legal representative: Tang Zhuolin Chief in charge of accounting work: Shao Yongfeng Head of accounting institution: Chen Lin
4. Parent Company Income Statement
Unit: RMB yuan
Item H1 2025 H1 2024
1 Operating Revenue 153322909.97 183076847.69
Less: Cost of sales 94709822.33 100138393.86
Taxes and surcharges 7194182.20 5080596.56
Selling expenses 15584615.11 13419186.13
Administrative expenses 41929357.03 32618565.06
R&D expenses 11727590.93 9413776.76
Finance costs -27752374.54 -3498579.49
Including: Interest expense 1075740.71 2157788.10
Interest income 13829606.84 7669201.91
Add: other income 1643099.82 1345739.76
Investment income (loss with "-" sign) 436078398.61 -5482815.06
Including: Share of profit or loss of
joint ventures and associates -1226419.87 -2158740.92
Termination of recognition
of gains on financial assets measured at
amortised cost (loss with "-" sign)
Net exposure hedging gain (loss with "-
" sign)
Gain/loss on changes in fair value (loss
with "-" sign) 7373753.98 -85765352.26
Credit impairment loss (loss is listed
with "-" sign) -1205400.76 419338.54
Asset impairment loss (loss with "-"
sign) 395147.09 -423541.64
Gain/loss on disposal of assets (loss
with "-" sign) 9302.82
2 Operating profit (loss shall be listed with "-"
sign) 454224018.47 -64001721.85
Add: Non-operating income -7496.79 50204.16
Less: Non-operating expenses 488873.09 3.01
3 Gross profit (gross loss shall be filled in with
the sign "-") 453727648.59 -63951520.70
Less: Income tax expenses 30152240.13 7826397.77
4 Net profit (net loss is listed with "-" sign) 423575408.46 -71777918.47
(1) Net profit from continuing operation (net
loss with "-" sign) 423575408.46 -71777918.47
(2) Net profit from termination of operation
(net loss with "-" sign)
Page 94 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 5 Other comprehensive income/(loss) net of tax
(1) Other comprehensive loss that will not
be reclassified to profit or loss
i. Re-measure the change in the
benefit plan
ii. Other comprehensive income
that cannot be transferred to profit or loss under
the equity method
iii. Changes in fair value of
investments in other equity instruments
iv. Fair value change of
enterprise's own credit risk
v. Other
(2) Other comprehensive income/(loss) that
will be reclassified to profit or loss
i. Other comprehensive income
that can be transferred to profit or loss under the
equity method
ii. Changes in fair value of other
debt investments
iii. The amount of financial assets
reclassified to other comprehensive income.iv. Provision for credit impairment
of other debt investments.v. Cash flow hedging reserve.vi. Differences arising from the
translation of foreign currency-denominated
financial statements
vii. Other.
6 Total comprehensive income 423575408.46 -71777918.47
7 Earnings per share:
(1) Basic earnings per share
(2) Diluted earnings per share
5. Consolidated Statement of Cash Flows
Unit: RMB yuan
Item H1 2025 H1 2024
1 Cash flows from operating activities:
Proceeds from sale of goods and
2312363630.872133184710.51
rendering of services
Net increase in customer deposits
and interbank deposits
Page 95 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Net increase in borrowing from the
central bank
Net increase in funds transferred to
other financial institutions
Cash received from the premium
of the original insurance contract
Net cash received from reinsurance
business
Net increase in depositors' deposits
and investment funds
Cash that collects interest
commission and commission
Net increase in borrowed funds
Net increase in funds for
repurchase business
Net cash received by agents
buying and selling securities
Receipts of taxes and surcharges
32151919.0229629118.26
refunds
Cash generated from other
29608879.6348750670.03
operating activities
Subtotal of cash generated from
2374124429.522211564498.80
operating activities
Payments for goods and services 1290435429.19 1384098428.71
Net increase in customer loans and
advances
Net increase in central bank and
interbank deposits
Cash to pay the indemnity of the
original insurance contract
Net increase in loan funds
Cash for the payment of interest
fees and commissions
Cash for the payment of policy
dividends
Cash payments to and on behalf of
450685536.00442114678.46
employees
Payments of all types of taxes and 131376866.21 94893671.53
Page 96 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. surcharges
Cash used in other operating
146342126.77171887256.45
activities
Subtotal of cash used in operating
2018839958.172092994035.15
activities
Net cash generated from/used in
355284471.35118570463.65
operating activities
2 Cash flows from investing activities:
Proceeds from disinvestment 1839186979.20 830003799.66
Investment income 172587961.00 1966111.00
Net proceeds from the disposal of
fixed assets intangible assets and other 771432.77 9543239.57
long-lived assets
Disposal of net cash received by
subsidiaries and other business units
Cash generated from other
79323058.18
investing activities
Subtotal of cash generated from
2091869431.15841513150.23
investing activities
Payments for the acquisition of
fixed assets intangible assets and other 109440325.73 86360919.88
long-lived assets
Payments for investments 1352929764.12 916127239.46
Net increase in pledged loans
Obtain net cash paid by
subsidiaries and other business units
Cash used in other investing
114510889.33
activities
Subtotal of cash used in investing
1576880979.181002488159.34
activities
Net cash generated from/used in
514988451.97-160975009.11
investing activities
3 Cash flows from financing activities:
Absorb the cash received by the
investment
Including: the subsidiary
absorbs the cash received from the
investment of minority shareholders
Page 97 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Borrowings raised 125021800.96 148093714.84
Cash generated from other
36583685.28155429105.81
financing activities
Subtotal of cash generated from
161605486.24303522820.65
financing activities
Repayment of borrowings 58202558.96 332379346.30
Interest and dividends paid 219577925.19 9300470.13
Including: Interest and
dividends paid to minority shareholders
Cash used in other financing
33005396.4855993188.10
activities
Subtotal of cash used in financing
310785880.63397673004.53
activities
Net cash generated from/used in
-149180394.39-94150183.88
financing activities
4 Effect of foreign exchange rates
31161582.65-25768847.36
changes on cash and cash equivalents
5 Net (decrease)/increase in cash and
752254111.58-162323576.70
cash equivalents
Add: Cash and cash equivalents
1652290548.551672514611.84
beginning of the period
6 Cash and cash equivalents end of the
2404544660.131510191035.14
period
6. Parent Company Statement of Cash Flow
Unit: RMB yuan
Item H1 2025 H1 2024
1 Cash flow generated by business
activities:
Cash received from the sale of
196330066.53150619380.19
goods and the provision of services
Receipts of taxes and surcharges
5273869.477593327.09
refunds
Cash generated from other
18078984.9133938546.55
operating activities
Subtotal of cash generated from
219682920.91192151253.83
operating activities
Page 98 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Payments for goods and services 100488885.59 119991428.65
Cash payments to and on behalf of
54354915.4453507816.89
employees
Payments of all types of taxes and
14385131.059174721.73
surcharges
Cash used in other operating
27398404.1018963431.44
activities
Subtotal of cash used in operating
196627336.18201637398.71
activities
Net cash generated from/used in
23055584.73-9486144.88
operating activities
2 Cash flows from investing activities:
Proceeds from disinvestment 1129098608.42 463677581.78
Investment income 463632757.83 39246958.11
Net proceeds from the disposal of
fixed assets intangible assets and other 265532.09
long-lived assets
Disposal of net cash received by
subsidiaries and other business units
Cash generated from other
66236220.5160000000.00
investing activities
Subtotal of cash generated from
1659233118.85562924539.89
investing activities
Payments for the acquisition of
fixed assets intangible assets and other 5324699.56 2086657.84
long-lived assets
Payments for investments 851496204.10 540547812.01
Obtain net cash paid by
subsidiaries and other business units
Cash used in other investing
80404104.12
activities
Subtotal of cash used in investing
937225007.78542634469.85
activities
Net cash generated from/used in
722008111.0720290070.04
investing activities
3 Cash flows from financing activities:
Absorb the cash received by the
investment
Page 99 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Cash received for obtaining loans 70000000.00
Cash generated from other
115953756.22
financing activities
Subtotal of cash generated from
70000000.00115953756.22
financing activities
Repayment of borrowings 3848000.00 3848000.00
Interest and dividends paid 159197786.94 903599.82
Cash used in other financing
1224680.7820151681.90
activities
Subtotal of cash used in financing
164270467.7224903281.72
activities
Net cash generated from/used in
-94270467.7291050474.50
financing activities
4 Effect of foreign exchange rates
changes on cash and cash equivalents
5 Net (decrease)/increase in cash and
650793228.08101854399.66
cash equivalents
Add: Cash and cash equivalents
681128021.05405841967.20
beginning of the period
6 Cash and cash equivalents end of the
1331921249.13507696366.86
period
Page 100 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 7. Consolidated Statements of Changes in Equity
Amount of current period
Unit: RMB yuan
H1 2025
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Preference Perpetual Capital surplus comprehensive Others Subtotal
interests
Others stock reserve reserves reserve earnings
shares bonds income
I. On 31 December 2024 1219046340.00 2818982096.52 117233041.40 29809317.74 18106386.75 51830974.45 956837409.23 4977379483.29 246964378.41 5224343861.70
Add: Adjustments for
changes in accounting policies
Adjustments for
correction of previous errors
Other adjustments
II. On 1 January 2025 1219046340.00 2818982096.52 117233041.40 29809317.74 18106386.75 51830974.45 956837409.23 4977379483.29 246964378.41 5224343861.70
III. Changes for the period (“-”
-1760000.0016129859.95-2000000.00117185412.66902287.39239193821.82373651381.82-33918698.24339732683.58
for decrease)
(I) Total comprehensive income 117185412.66 397440989.86 514626402.52 18383922.66 533010325.18
(II) Owner’s contributions and
-1760000.0016129859.95-2000000.0016369859.95-52302620.90-35932760.95
reduction in capital
1. Ordinary shares increased by
owners
2. Capital increased by holders of
other equity instruments
Page 101 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2025
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Capital surplus comprehensive Others Subtotal interestsPreference Perpetual
Others stock reserve reserves reserve earnings
shares bonds income
3. Share-based payments included
16129859.9516129859.9516129859.95
in equity
4. Others -1760000.00 -2000000.00 240000.00 -52302620.90 -52062620.90
(III) Profit distribution -158247168.04 -158247168.04 -158247168.04
1. Appropriation to surplus
reserves
2. Appropriation to general
reserve
3. Appropriation to owners (or
-158247168.04-158247168.04-158247168.04
shareholders)
4. Others
(IV) Transfers within equity
1. Increase in capital (or share
capital) from capital surplus
2. Increase in capital (or share
capital) from surplus reserves
3. Surplus reserves used to offset
loss
4. Changes in defined benefit
schemes transferred to retained
Page 102 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2025
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Capital surplus comprehensive Others Subtotal interestsPreference Perpetual
Others stock reserve reserves reserve earnings
shares bonds income
earnings
5. Other comprehensive income
transferred to retained earnings
6. Others
(V) Special reserve 902287.39 902287.39 902287.39
1. Provision in the period 1948471.48 1948471.48 1948471.48
2. Utilisation in the period -1046184.09 -1046184.09 -1046184.09
(VI) Others
IV. On 30 June 2025 1217286340.00 2835111956.47 115233041.40 146994730.40 19008674.14 51830974.45 1196031231.05 5351030865.11 213045680.17 5564076545.28
Amount of previous period
Unit: RMB yuan
H1 2024
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Preference Perpetual Capital surplus comprehensive Others Subtotal
interests
Others stock reserve reserves reserve earnings
shares bonds income
I. On 31 December 2023 1240618400.00 2889928997.21 218298532.79 75122078.52 16229817.03 51830974.45 456258959.55 4511690693.97 222517275.37 4734207969.34
Add: Adjustments for
Page 103 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Capital surplus comprehensive Others Subtotal interestsPreference Perpetual
Others stock reserve reserves reserve earnings
shares bonds income
changes in accounting policies
Adjustments for
correction of previous errors
Other adjustments
II. On 1 January 2024 1240618400.00 2889928997.21 218298532.79 75122078.52 16229817.03 51830974.45 456258959.55 4511690693.97 222517275.37 4734207969.34
III. Changes for the period (“-”
-21572060.00-78137677.44-100775491.39-29083521.22609795.24163880472.14136472500.1123116196.15159588696.26
for decrease)
(I) Total comprehensive income -29083521.22 163880472.14 134796950.92 23697410.40 158494361.32
(II) Owner’s contributions and
-21572060.00-78137677.44-100775491.391065753.95-581214.25484539.70
reduction in capital
1. Ordinary shares increased by
owners
2. Capital increased by holders of
other equity instruments
3. Share-based payments included
1065753.951065753.951065753.95
in equity
4. Others -21572060.00 -79203431.39 -100775491.39 -581214.25 -581214.25
(III) Profit distribution
1. Appropriation to surplus
reserves
Page 104 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital Preference Perpetual Capital surplus comprehensive Others Subtotal
interests
Others stock reserve reserves reserve earnings
shares bonds income
2. Appropriation to general
reserve
3. Appropriation to owners (or
shareholders)
4. Others
(IV) Transfers within equity
1. Increase in capital (or share
capital) from capital surplus
2. Increase in capital (or share
capital) from surplus reserves
3. Surplus reserves used to offset
loss
4. Changes in defined benefit
schemes transferred to retained
earnings
5. Other comprehensive income
transferred to retained earnings
6. Others
(V) Special reserve 609795.24 609795.24 609795.24
1. Provision in the period 1198032.00 1198032.00 1198032.00
Page 105 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Equity attributable to owners of the parent
Item Other equity instruments Other Non-controlling
Less: Treasury Special Surplus General Retained Total equity
Share capital interestsPreference Perpetual Capital surplus comprehensive Others Subtotal
Others stock reserve reserves reserve earnings
shares bonds income
2. Utilisation in the period -588236.76 -588236.76 -588236.76
(VI) Others
IV. On 30 June 2024 1219046340.00 2811791319.77 117523041.40 46038557.30 16839612.27 51830974.45 620139431.69 4648163194.08 245633471.52 4893796665.60
8. Company Statement of Changes in Equity
Amount of current period
Unit: RMB yuan
H1 2025
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
I. On 31 December 2024 1219046340.00 2673989321.44 117233041.40 6850427.57 51830974.45 -251255243.36 3583228778.70
Add: Adjustments
for changes in accounting
policies
Adjustments
for correction of previous
errors
Other
Page 106 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2025
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
adjustments
II. On 1 January 2025 1219046340.00 2673989321.44 117233041.40 6850427.57 51830974.45 -251255243.36 3583228778.70
III. Changes for the -1760000.00 15353512.51 -2000000.00 476038.44 265328240.42 281397791.37
period (“-” for decrease)
(I) Total comprehensive 423575408.46 423575408.46
income
(II) Owner’s -1760000.00 15353512.51 -2000000.00 15593512.51
contributions and
reduction in capital
1. Ordinary shares
increased by owners
2. Capital increased by
holders of other equity
instruments
3. Share-based payments 15353512.51 15353512.51
included in equity
4. Others -1760000.00 -2000000.00 240000.00
(III) Profit distribution -158247168.04 -158247168.04
1. Appropriation to
surplus reserves
2. Appropriation to -158247168.04 -158247168.04
Page 107 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2025
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
owners (or shareholders)
3. Others
(IV) Transfers within
equity
1. Increase in capital (or
share capital) from
capital surplus
2. Increase in capital (or
share capital) from
surplus reserves
3. Surplus reserves used
to offset loss
4. Changes in defined
benefit schemes
transferred to retained
earnings
5. Other comprehensive
income transferred to
retained earnings
6. Others
(V) Special reserve 476038.44 476038.44
1. Provision in the period 569717.94 569717.94
Page 108 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2025
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
2. Utilisation in the -93679.50 -93679.50
period
(VI) Others
IV. On 30 June 2025 1217286340.00 2689342833.95 115233041.40 7326466.01 51830974.45 14072997.06 3864626570.07
Amount of previous period
Unit: RMB yuan
H1 2024
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
I. On 31 December 2023 1240618400.00 2745450997.27 218298532.79 6645318.98 51830974.45 -332943330.01 3493303827.90
Add: Adjustments
for changes in accounting
policies
Adjustments
for correction of previous
errors
Other
adjustments
II. On 1 January 2024 1240618400.00 2745450997.27 218298532.79 6645318.98 51830974.45 -332943330.01 3493303827.90
Page 109 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
III. Changes for the
-21572060.00-78792391.92-100775491.39-311380.45-71777918.47-71678259.45
period (“-” for decrease)
(I) Total comprehensive
-71777918.47-71777918.47
income
(II) Owner’s
contributions and -21572060.00 -78792391.92 -100775491.39 411039.47
reduction in capital
1. Ordinary shares
increased by owners
2. Capital increased by
holders of other equity
instruments
3. Share-based payments
411039.47411039.47
included in equity
4. Others -21572060.00 -79203431.39 -100775491.39
(III) Profit distribution
1. Appropriation to
surplus reserves
2. Appropriation to
owners (or shareholders)
3. Others
Page 110 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
(IV) Transfers within
equity
1. Increase in capital (or
share capital) from
capital surplus
2. Increase in capital (or
share capital) from
surplus reserves
3. Surplus reserves used
to offset loss
4. Changes in defined
benefit schemes
transferred to retained
earnings
5. Other comprehensive
income transferred to
retained earnings
6. Others
(V) Special reserve -311380.45 -311380.45
1. Provision in the period
2. Utilisation in the
-311380.45-311380.45
period
Page 111 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. H1 2024
Other equity instruments
Item Other comprehensive
Share capital Preference Perpetual Capital surplus Less: Treasury stock Special reserve Surplus reserves Retained earnings Others Total equity
Others income
shares bonds
(VI) Others
IV. On 30 June 2024 1219046340.00 2666658605.35 117523041.40 6333938.53 51830974.45 -404721248.48 3421625568.45
Page 112 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. III Corporate Background
Guangdong Dongfang Precision Science & Technology Co. Ltd. (the "Company") a joint stock company
with limited liability registered in Guangdong Province of the People's Republic of China and established on
9 December 1996 obtained a Business License for Enterprise Legal Person with a registration number of
440682000040868.
In August 2011 upon the approval by the China Securities Regulatory Commission (CSRC) in the Reply on
Approving the Initial Public Offering of Shares by Guangdong Dongfang Precision Science & Technology
Co. Ltd. (ZH.J.X.K. [2011] No. 1237) the Company issued Renminbi-denominated ordinary shares to the
public and was listed on the Shenzhen Stock Exchange in the same month. The Company started to use the
unified social credit code (914406002318313119) in 2016. The Company is headquartered in 2 Qiangshi
Road Shishan Town Nanhai District Foshan City Guangdong Province China.The Group's main businesses include four major business segments: smart corrugated packaging equipment
industrial Internet industry solutions digital printers and water powersports equipment.The actual controllers of the Company are Tang Zhuolin and Tang Zhuomian.These financial statements were authorized for issue by the Board of Directors of the Company on 13 Aug
2025.
IV.Basis of Preparation of the Financial StatementsThese financial statements have been prepared in accordance with China’s “Accounting Standards forBusiness Enterprises — Basic Standards” promulgated by the Ministry of Finance and the specific
accounting standards application guidance interpretations and other relevant regulations issued or
amended thereafter (hereafter collectively referred to as “Accounting Standards for Business Enterprises” or
“CAS”). In addition the financial statements also disclose relevant financial information in accordance with
the Rules No. 15 for the Preparation of Information Disclosure by Companies Offering Securities to the
Public - General Provisions on Financial Reports.The financial statements are prepared on a going concern basis.Page 113 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates
The Group has formulated specific accounting policies and accounting estimates according to the
characteristics of its actual production and operation which is mainly embodied in the provision for the bad
debt of accounts receivable provision for write-down of inventories depreciation of fixed assets provision
for product warranties capitalization conditions for expenditure on the development phase of research and
development expenses and recognition and measurement of revenue.
1. Statement of compliance
The financial statements present truly and completely the financial positions of the Group and the Company
as at 30 June 2025 and the financial performance and the cash flows for the 1st half of 2025 then ended in
accordance with Accounting Standards for Business Enterprises.
2. Accounting year
The accounting year of the Group is from 1 January to 31 December of each calendar year.
3. Functional currency
The Group’s functional currency and the currency used in preparing the financial statements were Renminbi.The amounts in the financial statements were denominated in Renminbi yuan unless otherwise stated.
4. Determination method and selection basis of materiality criteria
Materiality criteria
Significant construction in Budgeted amount for investment exceeds RMB50000000
progress
Significant cash flows from Amount exceeds RMB50000000
investing activities
Significant non-wholly owned Net assets of non-wholly owned subsidiaries account for
subsidiaries more than 10% of consolidated net assets
Significant associates The carrying amount of long-term equity investments in
associates accounts for more than 5% of the consolidated net
assets
5. Business combination
Business combinations are classified into business combinations involving entities under common control and
business combinations not involving entities under common control.Business combinations involving entities under common control
A business combination involving entities under common control is a business combination in which all of the
combining entities are ultimately controlled by the same party or parties both before and after the business
combination and that control is not transitory.Page 114 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
5. Business combination (cont’d)
Business combinations involving entities under common control (cont’d)
Assets and liabilities obtained by combining party in the business combination involving entities under common
control (including goodwill arising from the acquisition of the merged party by the ultimate controller) are
recognized on the basis of their carrying amounts at the combination date recorded on the financial statements of
the ultimate controlling party. The difference between the carrying amount of the consideration paid for the
combination (or aggregate face values of the shares issued) and the carrying amount of the net assets obtained is
adjusted to capital surplus. If the capital surplus are not sufficient to absorb the difference any excess is adjusted
to retained earnings.Business combinations not involving entities under common control
A business combination not involving entities under common control is a business combination in which all of the
combining entities are not ultimately controlled by the same party or parties both before and after the business
combination.The acquiree’s identifiable assets liabilities and contingent liabilities are recognized at their fair values at the
acquisition date. The excess of the sum of the consideration paid (or equities issued) for business combination and
equity interests in the acquiree held prior to the date of acquisition over the share of the attributable net
identifiable assets of the acquiree measured at fair value was recognized as goodwill which is subsequently
measured at cost less cumulative impairment loss. In case the fair value of the sum of the consideration paid (or
equities issued) and equity interests in the acquire held prior to the date of acquisition is less than the fair value of
the share of the attributable net identifiable assets of the acquiree a review of the measurement of the fair values
of the identifiable assets liabilities and contingent liabilities the consideration paid for the combination (or equity
issued) and the equity interests in the acquiree held prior to the date of acquisition is conducted. If the review
indicates that the fair value of the sum of the consideration paid (or equities issued) and equity interests in the
acquiree held prior to the date of acquisition is indeed less than the fair value of the share of the attributable net
identifiable assets of the acquiree the difference is recognized in profit or loss.
6. Consolidated financial statements
The consolidation scope for consolidated financial statements is determined based on the concept of control
including the Company and all subsidiaries’ financial statements. Subsidiaries are those enterprises or entities
which the Company has control over (including enterprises separable components of investee units and structured
entities controlled by the Company). An investor controls an investee when the investor is exposed or has rights
to variable returns from its involvement with the investee and has the ability to affect those returns through its
power over the investee.The financial statements of the subsidiaries are prepared for the same reporting period as the Company using
consistent accounting policies. Any inconsistent accounting policies have been adjusted to become consistent with
the Company’s accounting policies. All assets liabilities equities revenues costs and cash flows arising from
intercompany transactions are eliminated on consolidation.Page 115 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
6. Consolidated financial statements (cont’d)
The excess of current loss attributable to non-controlling shareholders of a subsidiary over their entitlements to the
opening balance of equity shall be charged to non-controlling interests.For subsidiaries obtained through a business combination not involving entities under common control the
operating results and cash flows of the acquirees will be recognized in consolidated financial statements from the
date the Group effectively obtains the control until the date that control is terminated. When consolidated financial
statement is prepared the subsidiaries’ financial statements will be adjusted based on the fair values of the
identifiable assets liabilities and contingent liabilities at the acquisition date.For subsidiaries acquired through combination of entities under common control the business results and cash
flows of the combined entities are included in the consolidated financial statements from the beginning of the
period in which the combination occurred. When preparing and comparing the consolidated financial statements
the Group makes adjustments to relevant items of the financial statements of the previous period deeming the
reporting entity formed through combination as existing since initial implementation of control by the ultimate
controlling party.In the event of the change in one or more elements of control as a result of changes in relevant facts and
conditions the Group reassesses whether it has control over the investee.If the control right is not lost the change of minority shareholders' equity shall be regarded as equity
transaction.
7. Cash and cash equivalents
Cash comprises cash on hand and deposits readily available for payments. Cash equivalents represent short-term
highly liquid investments which are readily convertible to known amounts of cash and subject to an insignificant
risk of changes in value.
8. Foreign currency translation
For foreign currency transactions the Group translates the foreign currency into its functional currency.Upon initial recognition foreign currency transactions are translated into the functional currency using the spot
exchange rate of the dates on which transactions occur. At the balance sheet date foreign currency monetary items
are translated using the spot exchange rate at the balance sheet date. The translation differences arising from the
settlement and foreign currency monetary items are recognized in profit or loss. Also at the balance sheet date
foreign currency non-monetary items measured at historical cost continue to be translated using the spot exchange
rate at the dates of the transactions and it does not change its carrying amount in functional currency. Foreign
currency non-monetary items measured at fair value are translated using the spot exchange rate. The differences
arising from the above translations are recognized in current profit or loss or other comprehensive income
according to the nature of foreign currency non-monetary items.Page 116 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
8. Foreign currency translation (cont’d)
The Group translates the functional currencies of foreign operations into Renminbi when preparing the financial
statements. Asset and liability items in the balance sheet are translated at the spot exchange rate prevailing at the
balance sheet date. Equity items except for retained earnings are translated at the spot exchange rates at the date
when such items arose. Revenue and expense items in the income statement are translated using the average
exchange rate for the periods when transactions occur. Translation differences arising from the aforesaid
translation of financial statements denominated in foreign currency shall be recognized as other comprehensive
income. When foreign operations are disposed other comprehensive income relating to the foreign operation is
transferred to current profit or loss. Partial disposal shall be recognized on a pro-rata basis.Cash flows denominated in foreign currencies and foreign subsidiaries’ cash flows are translated using the
average exchange rate for the period when cash flows occur. The impact on cash by the fluctuation of exchange
rates is presented as a separate line item of reconciliation in the statement of cash flows.
9. Financial instruments
Financial instruments refer to the contracts which give rise to a financial asset in one entity and a financial
liability or equity instrument in another entity.Recognition and derecognition of financial instruments
The Group recognizes a financial asset or a financial liability when it becomes a party to the contractual
provisions of the financial instrument.A financial asset (or part of it or a part of a group of similar financial asset) is derecognized when one of the
following criteria is met that is when a financial asset is written off from its account and balance sheet:
(1) The right of receiving the cash flow generated from the financial asset has expired;
(2) The right of receiving cash flow generated by the financial assets is transferred or an obligation of payingthe full amount of cash flow received to third parties in a timely manner has been undertaken under “pass-through” agreements where (a) substantially all risks and rewards of the ownership of such type of
financial assets have been transferred or (b) control over such type of financial assets has not been
retained even though substantially all risks and rewards of the ownership of such type of financial assets
have been neither transferred nor retained.If the obligation of financial liability has been fulfilled cancelled or expired the financial liability is
derecognized. If the present financial liability is substituted by the same debtee with another liability differing in
substance or the terms of the present liability have been substantially modified this substitution or modification is
treated as derecognition of a present liability and recognition of a new liability with any arising differences
recognized in profit or loss.Conventional dealings in financial assets are recognized or derecognized under the trade day accounting method.Conventional dealings refer to the receipt or delivery of financial assets within periods stipulated by the law and
according to usual practices. The trade day is the date on which the Group undertakes to buy or sell a financial
asset.Page 117 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
9. Financial instruments (cont’d)
Classification and measurement of financial assets
At initial recognition the Group classifies its financial assets into: financial assets at fair value through profit or
loss financial assets at amortized cost or financial assets at fair value through other comprehensive income
according to the Group’s business model for managing financial assets and the contract cash flow characteristics
of the financial assets. When and only when the Group changes its business model of managing financial assets
all relevant financial assets affected will be re-classified.Financial assets are measured at fair value on initial recognition but if the accounts receivable or notes receivable
generated from the sales of goods or provision of services do not contain significant financing components or do
not consider financing components of no longer than one year the initial measurement will be based on the
transaction price.For financial assets at fair value through profit or loss the relevant transaction costs are directly recognized in
profit or loss; for other financial assets the relevant transaction costs are recognized in their initial recognition
amount.The subsequent measurement of financial assets is dependent on its classification:
Debt instruments measured at amortized cost
Financial assets fulfilling all of the following conditions are classified as financial assets at amortized cost: the
objective of the Group’s business management model in respect of such type of financial assets is to generate
contract cash flow; the contract terms of such type of financial assets provide that cash flow generated on specific
dates represents interest payment in relation to principal amounts based on outstanding principal amounts only.Interest income from such type of financial assets are recognized using the effective interest rate method and any
profit or loss arising from derecognition amendments or impairment shall be charged to current profit or loss.Debt instruments at fair value through other comprehensive income
Financial assets fulfilling all of the following conditions are classified as financial assets at fair value through
other comprehensive income: the objective of the Group’s business management model in respect of such type of
financial assets is both to generate contract cash flow and to sell such type of financial assets; the contract terms of
such type of financial assets provide that cash flow generated on specific dates represents interest payment in
relation to principal amounts based on outstanding principal amounts only. Interest income from this type of
financial assets is recognized using the effective interest rate method. Other than interest income impairment loss
and exchange differences which shall be recognized as current profit or loss other fair value changes shall be
included in other comprehensive income. Upon derecognition of the financial assets the cumulative gains or
losses previously included in other comprehensive income shall be transferred from other comprehensive income
to current profit or loss.Financial assets at fair value through profit or loss
Other than financial assets measured at amortized cost and financial assets at fair value through other
comprehensive income as aforementioned all financial assets are classified as financial assets at fair value
through profit or loss which are subsequently measured at fair value any changes of which are recognized in
current profit or loss.Page 118 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
9. Financial instruments (cont’d)
Classification and measurement of financial liabilities
The Group classifies its financial liabilities at initial recognition: financial liabilities at fair value through profit or
loss and other financial liabilities. For financial liabilities at fair value through profit or loss the relevant
transaction costs are directly recognized in profit or loss; for other financial liabilities the relevant transaction
costs are recognized in their initial recognition amount.The subsequent measurement of financial liabilities is dependent on its classification:
Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or loss include mainly financial liabilities held for
trading(comprising derivatives classified as financial liabilities). Financial liabilities held for trading (comprising
derivatives classified as financial liabilities) are subsequently measured at fair value and all changes are
recognized in current profit or loss.Other financial liabilities
Subsequent to initial recognition these financial liabilities are carried at amortized cost using the effective interest
method.Impairment of financial instruments
Methods for determining expected credit losses and accounting treatment methods
The Group performs impairment treatment on financial assets at amortized cost debt instruments at fair value
through other comprehensive income and contract assets based on expected credit losses (ECL) and recognizes
allowances for losses.For receivables and contract assets that do not contain significant financing components the Group adopts a
simplified measurement method to measure allowances for losses based on an amount equivalent to the lifetime
expected credit losses.Financial assets other than those measured with simplified valuation methods the Group evaluates at each balance
sheet date whether its credit risk has significantly increased since initial recognition. The period during which
credit risk has not significantly increased since initial recognition is considered the first stage at which the Group
shall measure loss allowance based on the amount of expected credit loss for the next 12 months and shall
compute interest income according to the book balance and effective interest rate; the period during which credit
risk has significantly increased since initial recognition although no credit impairment has occurred is considered
the second stage at which the Group shall measure loss allowance based on the amount of expected credit loss for
the entire valid period and shall compute interest income according to the book balance and effective interest rate;
The period during which credit impairment has occurred after initial recognition is considered the third stage at
which the Group shall measure loss allowance based on the amount of the lifetime expected credit loss and shall
compute interest income according to the amortized cost and effective interest rate. For financial instruments with
low credit risk at the balance sheet date the Group assumes that their credit risk has not increased significantly
since initial recognition.The Group estimates the expected credit loss of financial instruments individually and on a group basis. The
Group considers the credit risk features of different customers and estimates the expected credit losses of financial
instruments based on aging portfolio.Page 119 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
9. Financial instruments (cont’d)
Impairment of financial instruments (cont’d)
For the Group’s criteria for judging whether credit risks have significantly increased the definition of assets
subjected to credit impairment and assumptions underlying the measurement of expected credit losses please
refer to Note IX.2.The Group's approach to measuring ECLs on financial instruments reflects factors such as the unbiased
probability-weighted average amount determined by evaluating a range of possible outcomes the time value
of money and reasonable and supportable information about past events current conditions and projections
of future economic conditions available at the balance sheet date without undue additional cost or effort.When the Group no longer reasonably expects to be able to fully or partially recover the contract cash flow of
financial assets the Group directly writes down the book balance of such financial assets.Derivative financial instruments
The Group uses derivative financial instruments. Derivative financial instruments are initially recognized at fair
value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value.Derivatives are carried as assets when the fair value is positive and as liabilities when the fair value is negative.Gains or losses arising from changes in the fair value of derivative instruments shall be directly recognized in
current profit or loss.Transfer of financial assets
If the Group has transferred substantially all the risks and rewards associated with the ownership of a financial
asset to the transferee the asset should be derecognized. If the Group retains substantially all the risks and rewards
of ownership of a financial asset the asset should not be derecognized.When the Group has neither transferred nor retained substantially all the risks and rewards of ownership of the
financial asset it may either derecognize the financial asset and recognize any associated assets and liabilities if
control of the financial asset has not been retained; or recognizes the financial asset to the extent of its continuing
involvement in the transferred financial asset and recognizes an associated liability if control has been retained.Assets formed by the continuing involvement by way of the provision of financial guarantee in respect of the
transferred financial assets shall be recognized as the lower of the carrying value of the financial asset and the
amount of financial guarantee. The amount of financial guarantee means the maximum amount among
considerations received to be required for repayment.Page 120 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
10. Inventories
Inventories include raw materials work-in-progress finished goods product deliveries semi-finished goods
materials consigned for processing etc.Inventories are initially recorded at costs. Inventories’ costs include purchasing costs processing costs and other
costs. Actual costs of product deliveries are recognized using the weighted average method. Turnover materials
include low-value consumables packaging materials etc. which are expensed in full.The Group adopts the perpetual inventory system.Inventories on the balance sheet date are stated at the lower of cost or net realisable value. Inventory valuation
allowance is made and recognized in profit or loss when the net realisable value is lower than cost. Net realizable
value is determined based on the estimated selling price in the ordinary course of business less the estimated costs
to completion and estimated costs necessary to make the sale and related taxes. Valuation allowances for raw
materials are established by category and those for finished goods by individual item. For inventories that relate
to products produced and sold in the same region have the same or similar ultimate purpose and are difficult to
separate in measurement valuation allowances are established on a combined basis.Page 121 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
11. Long-term equity investments
Long-term equity investments include equity investments in subsidiaries joint ventures and associates.Long-term equity investments were recorded at initial investment cost on acquisition. For long-term equity
investments acquired through the business combination of entities under common control the initial investment
cost shall be the share of carrying value of the equity of the merged party at the date of combination as stated in
the consolidated financial statements of the ultimate controlling party. Any difference between the initial
investment cost and the carrying value of the consideration for the combination shall be dealt with by adjusting
the capital surplus(if the capital surplus are insufficient for setting off the difference such difference shall be
further set off against retained earnings). Upon disposal of the investment other comprehensive income prior to
the date of combination shall be dealt with on the same basis as if the relevant assets or liabilities were disposed of
directly by the investee. Equity recognized as a result of changes in equity other than the set-off of profit and loss
other comprehensive income and profit allocation of the investee shall be transferred to current profit and loss
upon disposal of the investment. Items which remain long-term equity investments after the disposal shall be
accounted for on a pro-rata basis while items reclassified as financial instruments following the disposal shall be
accounted for in full. For long-term equity investments acquired through the business combination of entities not
under common control the initial investment cost shall be the cost of combination (for business combinations of
entities not under common control achieved in stages through multiple transactions the initial investment cost
shall be the sum of the carrying value of the equity investment in the acquired party held at the date of acquisition
and new investment cost incurred as at the date of acquisition). The cost of combination shall be the sum of assets
contributed by the acquiring party liabilities incurred or assumed by the acquiring party and the fair value of
equity securities issued. Upon disposal of the investment other comprehensive income recognized under the
equity method held prior to the date of acquisition shall be dealt with on the same basis as if the relevant assets or
liabilities were disposed of directly by the investee. Equity recognized as a result of changes in equity other than
the set-off of profit and loss other comprehensive income and profit allocation of the investee shall be transferred
to current profit and loss upon disposal of the investment. Items which remain long-term equity investments after
the disposal shall be accounted for on a pro-rata basis while items reclassified as financial instruments following
the disposal shall be accounted for in full. The initial investment cost of long-term equity investments other than
those acquired through business combination shall be recognized in accordance with the following: for those
acquired by way of cash payments the initial investment cost shall be the consideration actually paid plus
expenses tax amounts and other necessary outgoings directly related to the acquisition of the long-term equity
investments.In the financial statements of the Company the cost method is used for long term equity investments in investees
over which the Company exercises control. Control is defined as the power exercisable over the investee the
entitlement to variable return through involvement in the activities of the investee and the ability to influence the
amount of return using the power over the investee.When the cost method is used long-term equity investments are measured at initial cost on acquisition. When
additional investments are made or investments are recouped the cost of longterm equity investments shall be
adjusted. Cash dividend or profit distribution declared by the investee shall be recognized as investment income
for the period.Page 122 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
11. Long-term equity investments (cont’d)
The equity method is used to account for long-term equity investments when the Group can jointly control or has
significant influence over the invested entity. Joint control is the contractually agreed sharing of control of an
arrangement which exists only when decisions about the relevant activities require the unanimous consent of the
parties sharing control. Significant influence means having the authority to take part in the decision over the
financial and operational policies but not the authority to control or jointly control with other parties the
formulation of such policies.Under the equity method any excess of the initial investment cost over the Company’s share of the net fair value
of the investment’s identifiable assets and liabilities is included in the initial investment cost of the long-term
equity investment. When the carrying amount of the investment is less than the Company’s share of the fair value
of the investment’s identifiable net assets the difference is recognized in profit or loss of the current period and
debited to long-term equity investments.Under the equity method after the long-term equity investments are acquired investment gains or losses and other
comprehensive income are recognized according to the entitled share of net profit or loss and other comprehensive
income of the investee and the carrying amount of the long-term equity investment is adjusted accordingly. When
recognising the Group’s share of the net profit or loss of the invested entity the Group makes adjustments based
on fair values of the investees’ identifiable assets and liabilities at the acquisition date in accordance with the
Group’s accounting policy and accounting period to investee’s net profits eliminating pro-rata profit or loss from
internal transactions with associates and joint ventures attributed to investor (except that loss from inter-group
transactions deemed as asset impairment loss shall be fully recognized) provided that invested or sold assets
constituting businesses shall be excluded. When the invested enterprise declares profit distribution or cash
dividends the carrying amount of investment is adjusted down by the Group’s share of the profit distribution and
dividends. The Group shall derecognize its share of the losses of the investee after the long-term equity
investment together with any long-term interests that in substance forms part of the Group’s net investment in the
investee are reduced to zero except to the extent that the Group has incurred obligations to assume additional
losses. The Group also adjusts the carrying amount of long-term equity investments for other changes in owner’s
equity of the investees (other than the net-off of net profits or losses other comprehensive income and profit
distribution of the investee) and includes the corresponding adjustment in equity.
12. Fixed assets
A fixed asset is recognized when and only when it is probable that future economic benefits that are associated
with the fixed asset will flow to the Group and the cost can be measured reliably. Subsequent expenditures related
to a fixed asset are recognized in the carrying amount of the fixed asset if the above recognition criteria are met
and the carrying value of the replaced part is derecognized; otherwise those expenditures are recognized in profit
or loss as incurred.Fixed assets are initially recognized at cost. Cost of purchased fixed assets includes purchasing price relevant
taxes and any directly attributable expenditure for bringing the asset to working conditions for its intended use.Page 123 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
12. Fixed assets (cont’d)
Except for those incurred by using the accrued expenses for safety production fixed assets are depreciated on a
straight-line basis and the respective estimated useful lives estimated residual value ratios and annual
depreciation rates are as follows:
Useful life Estimated residual Annualvalue ratio depreciation rate
Buildings and constructions 20-40 years 5.00% 2.38%-4.75%
Machinery 5-18 years 5.00% 5.28%-19.00%
Transportation equipment 5-10 years 5.00% 9.5%-19.00%
Electronic equipment 3-10 years 5.00% 9.5%-31.67%
Office equipment 3-10 years 5.00% 9.5%-31.67%
Other equipment 5-10 years 5.00% 9.5%-19.00%
The Group reviews at least at each year end useful lives estimated residual values and depreciation methods of
fixed assets and makes adjustments if necessary.
13. Construction in progress
Construction in progress is measured at the actual construction expenditures including necessary project work
expenses incurred during the period while construction is in progress and other related fees.The criteria for construction in progress to be transferred to fixed assets when it is ready for its intended use
are as follows:
Criteria
Buildings and constructions Actual start of use
The earlier of actual start of use/completion
Machinery of installation and acceptance
14. Borrowing costs
The borrowing costs that are directly attributable to the acquisition construction or production of a qualifying
asset are capitalized. The amounts of other borrowing costs incurred are recognised as an expense in the period in
which they are incurred.When assets that meet the capitalisation criteria are constructed or produced and reach their intended usable
or saleable state borrowing costs cease to be capitalised. Borrowing costs incurred thereafter are recognised
in profit or loss for the period.During the capitalisation period the amount of interest capitalised for each accounting period is determined
as follows: for specific borrowings the amount is determined by deducting temporary deposit interest
income or investment income from the actual interest expenses incurred during the period; for general
borrowings within the Group there were no borrowings that met the capitalisation criteria during the current
year.If the construction or production of an asset that meets the capitalisation criteria is subject to an abnormal
Page 124 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. interruption other than those necessary to achieve the intended usable or saleable state and the interruption
lasts continuously for more than three months capitalisation of borrowing costs is suspended. Borrowing
costs incurred during the interruption period are recognised as expenses and charged to the current period's
profit or loss until the construction or production activities of the asset resume.V.Principal Accounting Policies and Accounting Estimates (Cont’d)
15. Intangible assets
Overseas land use rights and trademark rights are intangible assets with indefinite useful lives. Impairment
tests shall be conducted annually regardless of whether there are indications of impairment. Such intangible
assets shall not be amortized and their useful life shall be reviewed during each accounting period. If there is
evidence suggesting that their useful life is limited accounting treatment will be performed according to the
above policy on intangible assets with definite useful life.Other intangible assets are amortised on a straight-line basis over their useful lives as follows:
Useful life Determination basis
Land use rights 40-50 years Term of land use right
The shorter of the term of trademark
Trademark 5-10 years rights/expected term of use
Patent 5-10 years Expected benefit period
The land ownership of Fosber S.p.A. ("Fosber Group") a subsidiary of the Company in Italy has a
permanent term and the Company believes that the land ownership will be used and will bring expected
inflows of economic benefits to the Company in the foreseeable future so its useful life is regarded as
indefinite. The trademarks registered by subsidiaries Fosber Group and Fosber America Inc. ("Fosber
America") have a useful life in accordance with the law but at the expiration of the protection period Fosber
Group and Fosber America can apply for an extension at low service charges so the Company will benefit
from the above trademarks in the long term. Thus the Company recognized the trademark use right as
intangible assets with indefinite useful life. The useful life of intangible assets with indefinite useful life will
be reviewed at the end of each year. After review the useful life of the above intangible assets is still
uncertain.The Group classifies the expenses for internal research and development as research costs and development
costs. All research costs are charged to the current profit or loss as incurred. Expenditure incurred on projects
to develop new products is capitalized and deferred only when the Group can demonstrate the technical
feasibility of completing the intangible asset so that it will be available for use or sale its intention to
complete and its ability to use or sell the asset how the asset will generate future economic benefits
(including demonstration that the product derived from the intangible asset or the intangible asset itself will
be marketable or in the case of internal use the usefulness of the intangible asset as such) the availability of
technical and financial resources to complete the project and procure the use or sale of the intangible asset
and the ability to measure reliably the expenditure during the development. Development costs which do not
meet these criteria is recognized in profit or loss when incurred.After meeting the above conditions passing the technical feasibility and economic feasibility study the
corresponding projects of the Group enter the development stage and begin to be capitalized after being
reviewed and approved.Page 125 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
16. Impairment
The Group assesses impairment of assets other than inventories contract assets and assets related to contract
costs deferred tax assets and financial assets using the methods described below:
Impairment of assets (other than the impairment of inventories contract assets and contract cost assets investment
properties measured using the fair value model deferred tax assets and financial assets ) is determined in the
following way: the Group assesses at the balance sheet date whether there is any indication that an asset may be
impaired; if any indication exists that an asset may be impaired the Group estimates the recoverable amount of
the asset and performs impairment testing; goodwill arising from a business combination intangible assets with
indefinite useful lives and intangible assets not yet available for use are tested for impairment at least at each year
end irrespective of whether there is any indication that the asset may be impaired.The recoverable amount is the higher of the asset’s fair value less costs to sell and its present value of estimated
future cash flows. The Group estimates recoverable value for individual assets. When it is difficult to estimate
individually the recoverable value of the cash generating units which the asset belongs to will be estimated. The
definition of cash generating units is determined on the basis of whether the cash generating units generate cash
flows which are largely independent of those from other cash generating units.Where the carrying amount of an asset or a cash generating unit exceeds its recoverable amount the asset or cash
generating unit is considered impaired and is written down to its recoverable amount. The difference between the
carrying amount and recoverable amount is recognized in profit or loss and allowance for impairment is made
accordingly.In connection with impairment tests for goodwill the carrying value of goodwill arising from business
combination is allocated to relevant cash generating units (“CGU”) from the date of acquisition on a reasonable
basis. If it is difficult to allocate such goodwill to a relevant CGU it should be allocated to a relevant CGU group.A relevant CGU or CGU group is defined as one which can benefit from the synergies of the business
combination and is not larger than the reporting segments determined by the Group.In connection with impairment tests for CGUs or CGU groups that comprise goodwill where indications of
impairment exists in a CGU or CGU group related to goodwill impairment tests should be performed first on
CGUs or CGU groups that do not comprise goodwill and recognize impairment loss after estimating the
recoverable amount. Then impairment tests on CGUs or CGU groups that comprise goodwill should be performed
and the carrying value and recoverable amount should be compared. Where the recoverable amount is lower than
the carrying value the impairment loss should first be offset against the carrying value of the goodwill allocated
to CGUs or CGU groups and then against assets in the CGUs or CGU groups other than goodwill in proportion to
the weighting of these assets.Previously recognized impairment losses are not reversed in subsequent periods.Page 126 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
17. Long-term prepaid expenses
Long-term prepaid expenses are amortized using the straight-line method with the amortization periods as
follows:
Amortization period
Decoration expenditures 3-5 years
Amortization of moulds 3 years
Other expenditures 3-5 years
18. Employee benefits
Employee benefits include all kinds of rewards or compensation incurred by the Group in exchange for service
rendered by employees or in the termination of employment other than share-based payment. Employee benefits
include short-term benefits retirement benefits dismission benefits and other long-term employees’ benefits.Benefits provided by the Group to the spouses children and dependents of employees and families of deceased
employees are also a part of employee benefits.Short-term benefits
For accounting periods during which services are rendered by employees short-term benefits that will incur is
recognized as liability and included in profit and loss or related capital costs.Retirement benefits (defined contribution schemes)
Employees of the Group participated in pension insurance and unemployment insurance schemes managed by the
local government. The contribution costs are charged as asset cost or to profit or loss when incurred.Retirement benefits (defined benefit schemes)
The Group operates a defined benefit pension scheme which requires payments to an independently operated
fund. No funds have been injected into the scheme. The cost of benefits provided under the defined benefit
scheme is calculated using the expected benefit accrual unit approach.Remeasurement arising from defined benefit pension schemes including actuarial gains or losses changes in the
asset cap effect (deducting amounts included in net interest on net liabilities of the defined benefit schemes) and
return on scheme assets (deducting amounts included in net interest on net liabilities of the defined benefit
schemes) are instantly recognized in the balance sheet and charged to equity through other comprehensive income
for the period during which it is incurred. It will not be reversed to profit and loss in subsequent periods.Previous service costs are recognized as current expenses when: the defined benefit scheme is revised or relevant
restructuring costs or dismission benefits are recognized by the Group whichever earlier.Page 127 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
18. Employee benefits (cont’d)
Retirement benefits (defined benefit schemes) (cont’d)
Net interest is arrived at by multiplying net liabilities or net assets of defined benefits with a discount rate.Changes in net obligations of defined benefits are recognized as cost of sales administrative expenses R&D
expenses selling expenses and finance costs in the income statement. Service costs included current services
costs past service costs and settlement of profit or loss. Net interest included interest income from scheme assets
interest expenses for scheme obligations and interest of the asset cap effect.
19. Provisions
Other than contingent consideration and assumed contingent liabilities in a business combination not involving
entities under common control the Group recognizes as provision an obligation that is related to contingent
matters when all of the following criteria are fulfilled:
(1) the obligation is a present obligation of the Group;
(2) the obligation would probably result in an outflow of economic benefits from the Group;
(3) the obligation could be reliably measured.
Provisions are initially measured according to the best estimate of expenses on fulfilling the current liabilities in
connection with the risk uncertainty and timing value of the currency. The carrying value of the provisions would
be reassessed on every balance sheet date. The carrying value will be adjusted to the best estimated value if there
is certain evidence that the current carrying value is not the best estimate.The contingent liabilities obtained from a business combination not involving entities under common control shall
be measured at fair value at the time of initial recognition. After the initial recognition according to the amount
confirmed by provisions and the balance of the initial recognition amount after deducting the accumulated
amortization determined by the revenue recognition principle the higher of the two shall prevail for subsequent
measurements.
20. Share-based payments
Share-based payments can be distinguished into equity-settled share-based payments and cash-settled share-based
payments. Equity-settled share-based payments are transactions of the Group settled through the payment of
shares or other equity instruments in consideration for receiving services.Equity-settled share-based payments made in exchange for services rendered by employees are measured at the
fair value of equity instruments granted to employees. Instruments which are vested immediately upon the grant
are charged to relevant costs or expenses at the fair value on the date of grant and the capital surplus are credited
accordingly. Instruments of which vesting is conditional upon completion of services or fulfillment of
performance conditions are measured by recognising services rendered during the period in relevant costs or
expenses and crediting the capital surplus accordingly at the fair value on the date of grant according to the best
estimates of the number of exercisable equity instruments conducted by the Group at each balance sheet date
during the pending period. The fair value of equity instruments is determined using the closing price of the
Company’s stock on the date of grant.Page 128 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
21. Revenue generating from contracts with customers
The Group recognizes its revenue upon the fulfilment of contractual performance obligations under a contract
namely when the customer obtains control over the relevant products or services. The acquisition control over
relevant products or services shall mean the ability to direct the use of the products or the provision of the services
and receive substantially all economic benefits derived therefrom.Contract for the sales of products
The product sales contract between the Group and its customers typically includes different contractual
performance obligations for the transfer of products and the rendering of services. With respect to the sales of
products the Group typically recognizes its revenue at the time when the customer takes control over the
products taking into account the following factors: the acquisition of the current right to receive payments for the
products the transfer of major risks and rewards of ownership the transfer of the legal title of the products the
transfer of the physical assets of the products and customers’ acceptance of the products.Contract for the rendering of installation services
The service contract between the Group and its customers includes contractual performance obligations for
installation services. As the customer is able to forthwith obtain and consume the economic benefits brought by
the Group’s contractual performance when the Group performs a contract the Group considers such contractual
performance obligations to be obligations performed over a period of time and revenue shall be recognized on
each balance sheet date according to the progress of installation.Significant financing component
Where a contract contains a significant financing component the Group determines transaction prices based on
amounts payable assumed to be settled in cash by customers immediately upon the acquisition of control over the
products or services. The difference between such transaction price and contract consideration is amortized over
the contract period using the effective interest method based on a ratio that discounts the nominal contractual
consideration to the current selling price of the products or services. The Group shall not give consideration to any
significant financing component in a contract if the gap between the customer’s acquisition of control over the
products or services and payment of consideration is expected to be less than 1 year.Warranty clauses
The Group provides quality assurance for products sold in accordance with contract terms and laws and
regulations. The accounting treatment of quality assurance in the form of warranty assuring customers products
sold are in compliance with required standards is set out in Note III.20. Where the Group provides a service
warranty for a standalone service in addition to the assurance of compliance of products with required standards
such warranty is treated as a standalone contractual performance obligation and a portion of the transaction price
shall be allocated to the service warranty based on a percentage of the standalone price for the provision of
product and service warranty. When assessing whether a warranty is rendering a standalone service in addition to
providing guarantee to customers that all sold goods are in compliance with required standards the Group will
consider whether or not such warranty is a statutory requirement the term of the warranty and the nature of the
Group’s undertaking to perform its obligations.Page 129 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
22. Contract assets and contract liabilities
The Group presents contract assets or contract liabilities on the balance sheet according to the relationship
between contractual performance obligations and customer payments.Contract assets
Contract assets are the right to receive consideration following the transfer of products or services to customers
which is dependent on factors other than the passage of time.For details of the Group’s determination and accounting treatment of expected credit losses from contract assets
please refer to Note III.8.Contract liabilities
Contract liabilities are the obligation to pass products or services to customers in connection with customer
consideration received or receivable for example amounts received prior to the transfer of the promised products
or services.
23. Assets relating to contract cost
The Group’s assets relating to contract costs include the contract acquisition costs and contract performance costs.The costs are presented in inventory other current assets or other non-current assets based on liquidity of the
assets.Where the Group expects the incremental costs for acquiring a contract to be recoverable such contract
acquisition costs are recognized as an asset (unless the amortisation period of the asset is not more than 1 year).Costs incurred by the Group for the performance of a contract are recognized as an asset as contract performance
costs if they do not fall under the scope of the relevant standards for inventories fixed assets or intangible assets
but meet all the following conditions:
(1) they are directly related to a current or anticipated contract including direct labour direct materials
manufacturing expenses (or similar expenses) to be borne by customers as specifically stipulated and
otherwise incurred solely in connection with the contract;
(2) they will increase the resources to be utilized in the Company’s future performance of its contractual
obligations;
(3) they are expected to be recoverable.
24. Government grants
Government grants are recognized when there is reasonable assurance that the grant will be received and all
attaching conditions will be complied with. The grant is measured as the amount received or receivable where it
takes the form of a cash asset or at fair value where it is not a cash asset. Where the fair value cannot be reliably
obtained it should be measured at the nominal value.In accordance with the stipulations of the government instruments government grants applied towards acquisition
or the formation of long-term assets in other manners are asset-related government grants; the instruments
unspecifically refer to the exercise of judgement based on the basic conditions for receiving the asset-related grant
applied towards or the formation of long-term assets in other manners. All other grants are recognized as income-
related government grants.Page 130 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
24. Government grants (cont’d)
Government grants relating to income and applied to make up for related costs or losses in future periods shall be
recognized as deferred income and shall be recognized in profit or loss of the period for which related costs or
loss are recognized. Government grants specifically applied for the reimbursement of incurred related costs and
expenses shall be directly recognized in profit or loss.Government grants relating to assets shall offset the carrying amount of related assets or be recognized as
deferred income and credited to profit or loss over the useful life of the asset concerned by reasonable and
systematic instalments (provided that government grants measured at nominal value shall be directly recognized
in profit or loss). Where the asset concerned is disposed of transferred retired or damaged prior to the end of its
useful life the balance of the deferred income yet to be allocated shall be transferred to “asset disposal” under
current profit or loss.
25. Deferred tax assets
The Group recognizes deferred tax assets and liabilities based on temporary differences using the balance sheet
liability method. Temporary differences are differences between the carrying amount of assets or liabilities in the
balance sheet and their tax base on the balance sheet date. Temporary differences also include the differences
between the carrying values and tax bases of items not recognized as assets or liabilities where the tax base can be
calculated according to the relevant tax regulations.Deferred tax liabilities are recognized for all taxable temporary differences except:
(1) where the taxable temporary difference arises from goodwill or the initial recognition of an asset or
liability in a transaction that is not a business combination and at the time of the transaction affects
neither the accounting profit nor taxable profit or loss;
(2) in respect of taxable temporary differences associated with investments in subsidiaries associates and
interests in joint ventures where the timing of the reversal of the temporary differences can be controlled
and it is probable that the temporary differences will not reverse in the foreseeable future.Deferred tax assets are recognized for all deductible temporary differences carryforward of unused tax credits and
unused tax losses to the extent that it is probable that taxable profit will be available against which the deductible
temporary differences and the carryforward of unused tax credits and unused tax losses can be utilized except:
(1) where the deductible temporary difference arises from transaction that is not a business combination and
at the time of the transaction affects neither the accounting profit nor taxable profit or loss;
(2) deductible temporary differences associated with investments in subsidiaries associates and interests in
joint ventures are recognized when all following conditions are met: it is probable that the temporary
differences will reverse in the foreseeable future it is probable that taxable profit against the deductible
temporary differences will be available.Page 131 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
25. Deferred tax assets (cont’d)
As at balance sheet date deferred tax assets and liabilities are measured in accordance with relevant tax laws at
the tax rates that are expected to apply to the period when the asset is realized or the liability is settled and
reflects the tax consequences that would follow the manner in which the Group expects at the balance sheet date
to recover the assets or settle the carrying amount of its assets and liabilities.The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the
extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred
tax asset to be utilized. Unrecognized deferred tax assets are reassessed at the end of each reporting period and are
recognized to the extent that it has become probable that sufficient taxable profit will be available to allow all or
part of the deferred tax asset to be recovered.Deferred tax assets and liabilities are offset and presented as a net amount if all of the following conditions are
met: the Group has the legal right to set off the current income tax assets and liabilities and the deferred tax assets
and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or
different taxable entities provided that the taxable entity concerned intends either to settle current income tax
liabilities and assets on a net basis or to realize the assets and settle the liabilities simultaneously in each future
period in which significant amounts of deferred tax liabilities or assets are expected to be settled or recovered.
26. Leases
At inception of a contract the Group assesses whether the contract is or contains a lease. A contract is or
contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in
exchange for consideration.As lessee
The Group recognizes leases as the right-of-use asset and lease liabilities except for short-term leases and leases
of low-value assets.Right-of-use assets
At the commencement date of the lease the Group recognizes a right-of-use asset. The cost of the right-of-
use asset comprises: (1) the amount of the initial measurement of the lease liability; (2) any lease payments
made at or before the commencement date less any lease incentives received; (3) any initial direct cost
incurred; (4) an estimate of costs incurred by the lessee in dismantling and removing the underlying asset
restoring the site on which it is located or restoring the underlying asset to the condition required by the
terms and conditions of the lease. The right-of-use assets are depreciated on a straight-line basis subsequently
by the Group. If ownership of the leased asset transfers to the Group at the end of the lease term
depreciation is calculated using the estimated useful life of the asset. Otherwise the right-of-use assets are
depreciated over the shorter of the lease term and the estimated useful lives of the assets.Page 132 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
26. Leases (cont’d)
Lease liabilities
At the commencement date the Group measures the lease liability at the present value of the lease payments that
are not paid at that date except for short-term leases and low-value asset leases. Lease payments include constant
payments and the substantial constant payments net of lease incentives variable lease payments that depend on an
index or ratio the estimated payables of guaranteed residual value and also include the exercise price of the
purchase option or the amount to be paid upon vest of the termination option provided that the Group is
reasonably certain that the option will be vested or that the lease term reflects that the Group will exercise the
termination option.In calculating the present value of the lease payments the Group uses the interest rate implicit in the lease as the
discount rate. If that rate cannot be readily determined the Group uses the lessee’s incremental borrowing rate.The Group calculates the interest expenses of the lease liability in each period during the lease term using the
constant periodic rate of interest and recognizes such interest expenses in profit or loss except those that in the
related asset costs as required. Variable lease payments that are not included in the measurement of the lease
assets are recognized in profit or loss as incurred except those that shall be included in the related asset costs as
required.After the commencement date the Group increases the book value of the lease liability when interest is
recognized and decreases the book value of the lease liability when lease payments are made. In the event of any
change to the substantial constant payments the estimated payables of guaranteed residual value the index or
ratio used to determine lease payments the assessment results or actual vesting of the purchase option the
renewal option or the termination option the Group remeasures the lease liability at the present value of the
modified lease payments.Short-term leases and leases of low-value assets
A short-term lease is a lease that at the commencement date has a lease term of 12 months or less and does not
contains any purchase option. The Group does not recognize the right-of-use assets and lease liabilities for
buildings short-term leases. The Group recognizes lease payments on short-term leases and leases of low-value
assets in the related asset costs or profit or loss on a straight-line basis over the lease term.As a lessor
A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental to ownership
of an underlying asset except that a lease is classified as an operating lease at the inception date.As a lessor of operating leases
Rental income of operating leases is recognized in current profit or loss over the respective periods during the
lease term on a straight-line basis while variable lease payment not included in lease receipts is charged to profit
or loss as and when incurred.Initial direct costs are capitalised and recognised over the lease term on the same basis as rental income through
profit or loss.Page 133 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
27. Share repurchase
The consideration and transaction costs paid to repurchase equity instruments are charged against owner’s equity.Except for share-based payments the issue (including refinancing) repurchase disposal or retirement of the
Company’s own equity instruments are accounted for as changes in equity.
28. Expenses for safety production
The expenses for safety production set side as stipulated shall be included in the cost of relevant products or
current profits and losses and included in the special reserve at the same time. When such expenses are used
accounting treatment will be performed according to whether fixed assets are formed. If identified as expense
expenditures the special reserve will be written down directly; if fixed assets are formed the expenses incurred
will be collected fixed assets will be recognized when they reach a predetermined usable state and the equivalent
amount of special reserve will be written down and the equivalent accumulated depreciation will be recognized.
29. Put option related to non-controlling interests
In the process of acquiring majority equity of subsidiaries the Group grants to minority shareholders the option to
sell the shares of subsidiaries held by them to the Group (put option). The Group recognizes the shares of
subsidiaries held by minority shareholders as non-controlling interests in its consolidated financial statements; for
the put option the Group undertakes the obligation to redeem the shares of the subsidiaries held by minority
shareholders in cash. The Group removes the present value of the amount payable to redeem the put option from
its equity (excluding non-controlling interests) and classifies it as financial liability which is remeasured in
subsequent periods at the present value of the the amount payable to redeem the put option and recognized in
profit or loss.
30. Fair value measurement
At each balance sheet date the Group measures the fair value of derivative financial instruments and equity
instrument investments. Fair value means the price receivable from the disposal of an asset or required to be paid
for the transfer of a liability in an orderly transaction incurred by market participants on the measurement date.The fair value hierarchy to which an asset or liability measured or disclosed in the financial statements at fair
value will be determined on the basis of the lowest level of input which is significant for the fair value
measurement as a whole. Input at the first level represents unadjusted quoted prices in an active market for the
acquisition of the same asset or liability on the measurement date. Input at the second level represents directly or
indirectly observable assets or liabilities apart from input at the first level. Input at the third level represents
unobservable input for the asset or liability.At each balance sheet date the Group reassesses assets and liabilities measured at fair value on an ongoing basis
recognized in the financial statements to determine whether the level of fair value measurement should be
changed.Page 134 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
31. Significant accounting judgements and estimates
The preparation of financial statements requires judgement and estimation of the management. Such judgement
and estimation will affect the reported amounts of revenue expenses assets and liabilities and the disclosure of
contingent liabilities as at the balance sheet date. However the consequence arising from the uncertain nature of
such estimation may result in significant adjustment to the carrying value of the asset or liability affected in the
future.Judgement
In the process of applying the Group’s accounting policies management has made the following judgements
which have the most significant effect on the amounts recognized in the financial statements:
Determination of standalone contractual performance obligations
The intelligent packaging equipment (printers and corrugators) business of the Group includes four kinds of
product or service commitments i.e. the sale installation transportation and insurance services of machinery. As
the customer can benefit from the individual use of the four kinds of products or services or their use together with
other readily available resources and such product or service commitments are distinctly separable from other
products or service commitments the aforesaid product or service commitments constitute standalone contractual
performance obligations respectively.Business model
The classification of financial assets at initial recognition is dependent on the Group’s business model for
managing the assets. Factors considered by the Group in judging the business model include enterprise valuation
the method of reporting the results of financial assets to key management members risks affecting the results of
financial assets and the method for managing such risks as well as the form of remuneration received by the
management personnel of the businesses concerned. In assessing whether the business model is aimed at receiving
contract cash flow the Group is required to analyse and exercise judgment in respect of the reasons timing
frequency and values of any disposals prior to maturity.Characteristics of contract cash flow
The classification of financial assets at initial recognition is dependent on the characteristics of the contract cash
flow of such type of financial assets. Judgement is required to determine whether the contract cash flow represents
interest payment in relation to principal amounts based on outstanding principal amounts only including
judgement of whether it is significantly different from the benchmark cash flow when assessing modifications to
the time value of currencies and judgement of whether the fair value of early repayment features is minimal
where the financial assets include such early repayment features.Estimation uncertainty
The key assumptions concerning the future and other key sources of estimation uncertainty at the balance sheet
date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities
within subsequent financial years are discussed below.Page 135 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
31. Significant accounting judgements and estimates (cont’d)
Estimation uncertainty (cont’d)
Impairment of financial instruments and contract assets
The Group has adopted the expected credit loss model to evaluate the impairment of financial instruments and
contract assets. The application of the expected credit loss model requires significant judgement and estimates and
the consideration of all reasonable and soundly based information including forward-looking information. In
making such judgement and estimates the Group estimates the projected movements of the debtor’s credit risk
according to past repayment records economic policies macro-economic indicators and industry risks. Different
estimates may affect impairment allowances and established impairment allowances may not equal the actual
impairment loss amount in the future.Impairment of non-current assets other than financial assets (exclusive of goodwill)
The Group assesses at each balance sheet date whether there is an indication that a non-current asset other than
financial assets may be impaired. For an intangible asset with an indefinite useful life in addition to the annual
impairment test it is also tested when there is an indication that it may be impaired. Non-current assets other than
financial assets are tested for impairment when there is an indication that the carrying amount is irrecoverable.Where the carrying amount of an asset or an asset group exceeds its recoverable amount—the higher of the asset
or asset group’s fair value less costs to sell and its present value of estimated future cash flows it is considered
impaired. The net amount of the fair value less costs to sell is determined based on the price of a similar asset’s
sales contract in a fair transaction or the observable market price less the incremental cost directly attributable to
the disposal of the asset. When estimating the present value of future cash flows the management must choose a
proper discount rate.Impairment of goodwill
Goodwill must be tested for impairment at least annually. It requires estimating the present value of future cash
flows of an asset group or asset group portfolio allocated with goodwill. When estimating the present value of
future cash flows the Group needs to estimate future cash flows generating from the asset group or asset group
portfolio and at the same time choose a proper discount rate to determine the present value of future cash flows.For details see Note V.20.Fair value of unlisted equity investments
The unlisted equity investments have been valued based on the expected cash flows discounted at current rates
applicable for items with similar terms and risk characteristics. This valuation requires the Group to make
estimates about expected future cash flows credit risk volatility and discount rates and hence they are subject to
uncertainty.Deferred tax assets
Deferred tax assets are recognized for all unused tax losses to the extent that it is likely that taxable profit will be
available to utilize these unused tax losses. Significant judgments are needed from management to estimate the
timing and amount of taxable profit in the future with tax planning strategies to determine the amount of the
deferred tax assets that should be recognized.Page 136 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. V.Principal Accounting Policies and Accounting Estimates (Cont’d)
31. Significant accounting judgements and estimates (cont’d)
Estimation uncertainty (cont’d)
Lessee’s incremental borrowing rate
If the interest rate implicit in the lease cannot be readily determined the Group measures the lease liability at the
present value of the lease payments that are not paid at that date. The Group discounted the lease payments using
the lessee’s incremental borrowing rate. The Group determines the incremental borrowing rate based on the
economic environment by reference to the observable interest rate. Then the Group adjusts the reference interest
rate based on its own circumstances underlying assets lease terms and amounts of lease liabilities to determine
the applicable incremental borrowing rate.Provisions
The Group estimates and makes corresponding provision for product quality guaranty according to contract terms
existing knowledge and past experience. When such contingencies have formed a present obligation and it is
probable that an outflow of economic benefits from the Group will be required to settle the obligation the Group
recognizes the contingencies as provisions based on the best estimate of the expenditure required to settle the
related present obligation. The recognition and measurement of provisions largely depend on the judgment of
management. In the process of making judgment the Group is required to assess the risks uncertainties time
value of money and other factors related to such contingencies.The Group will undertake the provisions for post-sale quality maintenance provided to customers for the sale
maintenance and renovation of the sold goods. The provisions have been made taking into account the Group’s
recent data of maintenance experience and taking into account the risks uncertainties and other factors related to
maintenance matters. Any increase or decrease in this provision may affect the profit and loss in future years.Page 137 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. VI. Taxation
1. Principal tax items and tax rates
Tax basis Tax rate
Value-added tax The output tax: taxable income; 22%13% and
(VAT) VAT: difference after deducting the input tax which is 6%
allowed to be deducted in the current period
City maintenance Turnover tax actually paid 7%
and construction
tax
Education Turnover tax actually paid 3%
surcharge
Local education Turnover tax actually paid 2%
Surcharge
Property tax Ad valorem tax: remaining value after deducting 30% 1.2% and 12%
from the original value of the property;
Tax levied from rent: rental income.Corporate income Taxable income 15%-30%
tax
The taxpaying entities subject to different corporate income tax rates are as follows:
Income tax rate
Guangdong Dongfang Precision Science & Technology Co. Ltd. 15.0%
Suzhou Parsun Power Machine Co. Ltd. ("Parsun Power") 15.0%
Guangdong Fosber Intelligent Equipment Co. Ltd. ("Fosber Asia") 15.0%
Shenzhen Wonder Printing System Co.Ltd. ("Wonder Printing") 15.0%
Dong Fang Precision (HK) Limited (“Dongfang Precision (HK)”) 16.5%Dong Fang Precision (Netherland) Cooperatief U.A.(“Dongfang Precision 20.0%(Netherland)”)
Fosber S.p.A. 24.0%
Fosber America Inc.(“Fosber America”) 21.0%
EDF Europe s.r.l.(“EDF”) 24.0%
Tirua America inc. (“Tirua America”) 21.0%
Quantum Corrugated S.r.l.(“QCorr”) 24.0%
Tirua S.L.U. 28.0%
Tirua France SARL 15.0%
SCI Candan 15.0%
Fosber Mexico Corrugados S.de R.L（“Fosber Mexico”） 30.0%
Page 138 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. VI. Taxation (Cont’d)
2. Tax concessions
On 28 December 2023 the Company passed the high-tech enterprise review by the Department of Science and
Technology of Guangdong Province Department of Finance of Guangdong Province Guangdong Provincial Tax
Service of State Taxation Administration and Guangdong Provincial Local Taxation Bureau and obtained a High-
tech Enterprise Certificate (certificate no.: GR202344004676) jointly issued by the above authorities with a
validity of three years during which the Company paid the corporate income tax at a reduced rate of 15% so the
preferential tax rate of 15% was applicable to the Company's corporate income tax as at 30 June 2024.Suzhou Parsun Power Machine Co. Ltd. a subsidiary of the Company passed the high-tech enterprise review by
the Department of Science and Technology of Jiangsu Province Department of Finance of Jiangsu Province and
Jiangsu Provincial Tax Service of State Taxation Administration on 18 November 2022 and obtained a High-tech
Enterprise Certificate (certificate no.: GR202232005866) jointly issued by the above authorities with a validity of
three years during which the subsidiary paid the corporate income tax at a reduced rate of 15% so the preferential
tax rate of 15% was applicable to the corporate income tax of Parsun Power as at 30 June 2025.Guangdong Fosber Intelligent Equipment Co. Ltd. a subsidiary of the Company passed the high-tech enterprise
review by the Department of Science and Technology of Guangdong Province Department of Finance of
Guangdong Province and Guangdong Provincial Tax Service of State Taxation Administration on 20 December
2021 and obtained a High-tech Enterprise Certificate (certificate no.: GR202144003984) jointly issued by the
above authorities with a validity of three years during which the subsidiary paid the corporate income tax at a
reduced rate of 15% and passed the re-certification as a high-tech enterprise on 28 November 2024 (Certificate
Number: GR202444004278) with a validity period of three years. During this period the company is eligible to
pay corporate income tax at a reduced rate of 15% so the preferential tax rate of 15% was applicable to the
corporate income tax of Fosber Asia as at 30 June 2025.Shenzhen Wonder Printing System Co.Ltd. a subsidiary of the Company passed the high-tech enterprise review
by the Department of Science and Technology of Guangdong Province Department of Finance of Guangdong
Province and Guangdong Provincial Tax Service of State Taxation Administration on 19 December 2022 and
obtained a High-tech Enterprise Certificate (certificate no.: GR202244206125) jointly issued by the above
authorities with a validity of three years during which the subsidiary paid the corporate income tax at a reduced
rate of 15% so the preferential tax rate of 15% was applicable to the corporate income tax of Wonder Printing as
at 30 June 2025.Page 139 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. VII Notes to the Consolidated Financial Statements
1. Cash and bank balances
Unit: RMB yuan
Item Closing balance Opening balance
Cash on hand 747976.31 497855.11
Cash at banks 1613789087.19 1505877879.48
Other cash balances 887398753.03 222674648.75
Total 2501935816.53 1729050383.34
Of which: Total amount overseas 744960180.14 661563660.12
Other information:
The fund deposited abroad with restrictions on repatriation was equivalent to RMB14276910.32 (On 31 December
2024 the number was RMB10859642.60). Current bank deposits earn interest income based on interest rates for current
deposits.
2. Financial assets held for trading
Unit: RMB yuan
20252024
Financial assets at fair value through
profit or loss 140769386.23 788649332.18
Asset management plans
including
Asset management plans 82790851.17 297908542.28
Investments in bank’s wealth
57978535.06233789426.10
management products
Stocks and Funds 236797596.08
Investments in trust products 20153767.72
Total 140769386.23 788649332.18
3. Derivative financial assets
项目20252024
Foreign exchange derivatives 3033910.74 2755081.17
Total 3033910.74 2755081.17
4. Notes receivable
(1) Notes receivable by type
Unit: RMB yuan
Item Closing balance Opening balance
Bank acceptance notes 91141351.69 96695760.53
Commercial acceptance notes 1352384.78
Total 91141351.69 98048145.31
Page 140 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (2) At the end of the period the company had endorsed or discounted notes receivable that had not
yet matured as of the balance sheet date.Unit: RMB yuan
Amount recognised at the end of the Amount not derecognised at the end of
Item
period the period
Bank acceptance notes 41059985.71
Total 41059985.71
5. Accounts receivable
(1) Disclosure by the aging of accounts receivable
Unit: RMB yuan
20252024
Within 1 year (inclusive) 737890231.96 671758354.04
1-2 years 72510506.20 64675802.44
2-3 years 30357954.48 26567589.98
Over 3 years 17545115.29 18570611.30
3-4 years 3294986.01 7329163.57
4-5 years 7021000.09 2565796.54
Over 5 years 7229129.19 8675651.19
Total 858303807.93 781572357.76
(2) Disclosure classified by the allowance provision method of accounts receivable
Unit: RMB yuan
Closing balance Opening balance
Gross amount Allowance Gross amount Allowance
Type Allow Carrying Allow Carrying
Percen ance amount Percen anceAmount Amount Amount Amount amount
tage percen tage percen
tage tage
Account 125040 0.15% 125040 100.00 125040 0.16% 125040 100.00
s 0.00 0.00 % 0.00 0.00 %
receivab
le for
which
the
allowanc
es are
establish
ed
individu
ally
Of
which:
Account 125040 0.15% 125040 100.00 125040 0.16% 125040 100.00
s 0.00 0.00 % 0.00 0.00 %
receivab
le for
Page 141 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. which
the
allowanc
es are
establish
ed
individu
ally
Account 857053 99.85 395186 4.61% 817534 780321 99.84 344591 4.42% 745862
s 407.93 % 04.85 803.08 957.76 % 32.05 825.71
receivab
le for
which
the
allowanc
es are
establish
ed by
group
Of
which:
85705399.853951864.61%81753478032199.843445914.42%745862
Account 407.93 % 04.85 803.08 957.76 % 32.05 825.71
s
receivab
le for
which
the
allowanc
es are
establish
ed by
group
with
similar
credit
risk
characte
ristics
Total 858303 100.00 407690 4.75% 817534 781572 100.00 357095 4.57% 745862807.93 % 04.85 803.08 357.76 % 32.05 825.71
Accounts receivable for which the allowances are established individually:
Unit: RMB yuan
Opening balance Closing balance
Entity Reason for
Gross amount Allowance Gross amount Allowance ECL allowance
Customer’s
Customer 1 641600.00 641600.00 641600.00 641600.00 100.00%
inability to
settle the
amount due
Customer’s
Customer 2 608800.00 608800.00 608800.00 608800.00 100.00%
inability to
settle the
amount due
Total 1250400.00 1250400.00 1250400.00 1250400.00
Page 142 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Accounts receivable for which the allowances are established by group with similar credit risk characteristics are as follows:
Unit: RMB yuan
Closing balance
Item
Gross amount Allowance ECL
Within 1 year 737890231.96 13637555.05 1.85%
1-2 years 72510506.20 3712449.22 5.12%
2-3 years 30357954.48 8882677.28 29.26%
3-4 years 3294986.01 1910954.26 58.00%
4-5 years 7021000.09 5396239.85 76.86%
Over 5 years 5978729.19 5978729.19 100.00%
Total 857053407.93 39518604.85
（3） Allowances established orreversed in the current period
Allowances in the current period:
Unit: RMB yuan
Opening Change in the current period
Type Closing balance
balance Provision Reversed Written off Others
Allowances 35709532.05 2556666.34 -741344.53 774229.02 2535690.95 40769004.85
for doubtful
accounts
receivable
Total 35709532.05 2556666.34 -741344.53 774229.02 2535690.95 40769004.85
（4） Top five entities with respect to accounts receivable
Unit: RMB yuan
Total closing
balance of
Total closing As a % of the provision for
Closing balance of balance of closing balance of allowances ofClosing balance of
Entity accounts accounts
contract assets total accounts
accounts
receivable receivable and receivable and receivable and
contract assets contract asset provision for
impairment of
contract asset
Customer 3 177912344.45 177912344.45 19.53% 1664637.38
Customer 4 54415497.49 54415497.49 5.97% 2044373.82
Customer 5 32864646.18 32864646.18 3.61% 559336.98
Customer 6 30611829.36 30611829.36 3.36% 1092538.14
Customer 7 29924689.00 29924689.00 3.29% 1068014.06
Total 325729006.48 325729006.48 35.76% 6428900.38
6、Contract assets
（1） Contract assets
Unit: RMB yuan
Page 143 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Closing balance Opening balance
Type
Gross amount Allowance Carrying Carryingamount Gross amount Allowance amount
Contract assets 52436261.57 5870725.48 46565536.09 57810489.98 5659318.06 52151171.92
Total 52436261.57 5870725.48 46565536.09 57810489.98 5659318.06 52151171.92
（2） Disclosure classified by the allowance provision method
Unit: RMB yuan
Closing balance Opening balance
Gross amount Allowance
Type Carryin Gross amount Allowance Carryin
Percenta Amount Percenta
g Percenta g
Amount amount Amount Amount
Percenta
ge ge ge ge amount
Of which:
Provisio
n for
524362587072465655578104565931521511
allowanc 100.00% 11.20% 100.00% 9.79%
61.575.4836.0989.988.0671.92
es by
group
Of which:
Contract
assets
for
which
allowanc
es are
establish
524362587072465655578104565931521511
ed by 100.00% 11.20% 100.00% 9.79%
61.575.4836.0989.988.0671.92
group
with
similar
credit
risk
characte
ristics
524362587072465655578104565931521511
Total 100.00% 11.20% 100.00% 9.79%
61.575.4836.0989.988.0671.92
Accounts receivable for which the allowances are established by group:
Unit: RMB yuan
Closing balance
Type
Gross amount Allowance Percentage
Within 1 year 37114629.97 503994.75 1.36%
1-2 years 8738087.12 633233.69 7.25%
2-3 years 3306608.48 1456561.04 44.05%
3-4 years
4-5 years 3276936.00 3276936.00 100.00%
More than 5 years
Total 52436261.57 5870725.48
Page 144 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. （3）Allowances established orreversed in the current period
Unit: RMB yuan
Type Established Reversed Written off Reason
Provision for
impairment of contract 614032.71 402583.54
asset
Total 614032.71 402583.54
7. Receivables financing
Unit: RMB yuan
Item Closing balance Opening balance
Notes receivable 23201080.81 16303982.64
Total 23201080.81 16303982.64
8. Other receivables
Unit: RMB yuan
Item Closing balance Opening balance
Other receivables 52410147.67 40647410.48
Total 52410147.67 40647410.48
(1) Other receivables
1) Disclosure by nature
Unit: RMB yuan
Nature Closing gross amount Opening gross amount
Prepaid service charges 20309563.00 9002675.21
Security deposits 8279978.45 8642471.46
Government subsidy 7581099.87 6000000.00
Export tax refunds 460716.03 1267848.43
Employee loans and petty cash 5354666.24 5500800.82
Others 12244006.44 11676701.15
Total 54230030.03 42090497.07
2)Disclosure by the aging
Unit: RMB yuan
Aging Closing gross amount Opening gross amount
Within 1 year 46944261.35 33526337.20
1-2 years 2127652.52 2775908.24
2-3 years 1271765.18 2741627.11
Over 3 years 3886350.98 3046624.52
3-4 years 2670509.40 676581.88
4-5 years 230437.33 1327408.54
Over 5 years 985404.25 1042634.10
Page 145 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total 54230030.03 42090497.07
3) Disclosure classified by the allowances provision methods
Unit: RMB yuan
Closing balance Opening balance
Type Gross amount Allowance Carryin Gross amount Allowance Carryin
Percenta Amount Percenta
g Percenta g
Amount amount Amount Amount
Percenta
ge ge ge ge amount
Of which:
Provisio
n for
542300181988524101420904144308406474
allowanc 100.00% 3.36% 100.00% 3.43%
30.032.3647.6797.076.5910.48
es by
group
Of which:
Portfolio
of credit
542300181988524101420904144308406474
risk 100.00% 3.36% 100.00% 3.43%
30.032.3647.6797.076.5910.48
characte
ristics
542300181988524101420904144308406474
Total 100.00% 3.36% 100.00% 3.43%
30.032.3647.6797.076.5910.48
Allowances：
Unit: RMB yuan
Stage 1 Stage 2 Stage 3
Allowances Lifetime expected Lifetime expected12-month expected Total
credit loss (without credit loss (with credit
credit loss
credit impairment) impairment)
Balance as at 1 January
943086.59500000.001443086.59
2025
Balance as at 1 January
2025 in the current
period
Provision in the current
376795.77376795.77
period
Balance as at 30 June
1319882.36500000.001819882.36
2025
Balances with significant changes in loss allowances in the current period:
□ Applicable□ Not applicable
4) Allowances established or reversed in the current period
Allowances in the current period:
Unit: RMB yuan
Opening Change in the current period
Type Closing balance
balance Established Reversed Written off Others
Allowances for 1443086.59 376795.77 1819882.36
doubtful other
Page 146 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. receivables
Total 1443086.59 376795.77 1819882.36
5) Top five entities with respect to other receivables
Unit: RMB yuan
As a % of the Closing balance of
Nature of other closing balance of allowances for
Entity Closing balance Aging
receivable total other doubtful other
receivables receivables
Entity 1 Government grants 6000000.00 Within 1 year 11.06%
Transactions with
Entity 2 2876684.96 Within 1 year 5.30%
third parties
Transactions with
Entity 3 2682909.09 Within 1 year 4.95%
third parties
Transactions with
Entity 4 2556425.34 Within 1 year 4.71%
third parties
Transactions with
Entity 5 1889818.91 Within 1 year 3.48%
third parties
Total 16005838.30 29.50%
9. Prepayments
(1) Prepayments by aging
Closing balance Opening balance
Aging
Amount Percentage Amount Percentage
Within 1 year 44671509.41 95.19% 20658142.10 73.19%
1-2 years 65620.00 0.14% 5496200.81 19.47%
2-3 years 272848.00 0.58% 1800946.41 6.38%
Over 3 years 1919983.96 4.09% 270906.03 0.96%
Total 46929961.37 28226195.35
(2) Top five entities with respect to prepayments
The closing balance of total prepayments to the top five entities amounted to RMB17834729.26 accounting for
38.00% of the closing balance of the total prepayments.
10. Inventories
Is the Company subject to the disclosure requirements for the real estate industry
No.
(1) Inventories by type
Unit: RMB yuan
Closing balance Opening balance
Item Inventory Carrying Inventory Carrying
Gross amount valuation Gross amountamount valuation amount
allowances or allowances or
Page 147 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. impairment impairment
allowances for allowances for
contract contract
performance performance
costs costs
Raw materials 693991884.54 27329501.19 666662383.35 589876070.44 22563941.37 567312129.07
Work-in-
570736625.0821341681.78549394943.30374757086.6920796033.51353961053.18
progress
Finished goods 70486111.71 4720931.32 65765180.39 70354471.23 4963028.38 65391442.85
Product
13102418.7438692.7413063726.0012920671.7712920671.77
deliveries
Semi-finished
18732085.24594060.1618138025.0830449965.16594060.1629855905.00
goods
Materials
consigned for 3753668.78 3753668.78 2458391.15 2458391.15
processing
1370802794.1316777926.1080816656.1031899593.
Total 54024867.19 48917063.42
09904402
(2) Inventory valuation allowances and impairment allowances for contract performance costs
Unit: RMB yuan
Increase in the current period Decrease in the current period
Opening
Item Closing balance
balance Reversed orEstablished Others Others
written off
Raw materials 22563941.37 8127968.89 1291211.01 4653620.08 27329501.19
Work-in-
20796033.51614361.9568713.6821341681.78
progress
Finished goods 4963028.38 709439.68 951536.74 4720931.32
Product
38692.7438692.74
deliveries
Semi-finished
594060.16594060.16
goods
Total 48917063.42 8876101.31 1905572.96 5673870.50 54024867.19
11. Current portion of non-current assets
Unit: RMB yuan
Item Closing balance Opening balance
Current portion of long-term receivables 12332376.63 8035336.42
Total 12332376.63 8035336.42
Substantial debt investments/other debt investments:
12. Other current assets
Unit: RMB yuan
Item Closing balance Opening balance
Input value-added tax (VAT) to be
3009159.1020900456.01
deducted
Overpaid VAT 43212395.56 24869036.74
Page 148 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Tax repayments 43680546.21 5707002.32
Others 14841616.11 9066601.42
Total 104743716.98 60543096.49
13. Long-term receivables
(1) Particulars about long-term receivables
Unit: RMB yuan
Closing balance Opening balance Range of
Item Gross Impairment Carrying Gross Impairment Carrying discount
amount allowance amount amount allowance amount rates
Amounts
receivable by
installment 4777500.00 168371.64 4609128.36 4112000.00 64147.20 4047852.80
for selling
goods
Total 4777500.00 168371.64 4609128.36 4112000.00 64147.20 4047852.80
（2） Classification by bad debt provision method
Unit: RMB yuan
Closing balance Opening balance
Gross amount Impairment Impairment
Item allowance
Gross amount
Carrying allowance Carrying
Percenta Percenta amount Percenta Percenta amount
Amount Amount Amount Amount
ge ge ge ge
Of which:
Provisio
n for bad
debts
477750168371.46091241120064147.2404785
calculate 100.00% 3.52% 100.00% 1.56%
0.00648.360.0002.80
d on a
portfolio
basis
Of which:
Credit
risk 477750 168371. 460912 411200 64147.2 404785
100.00%3.52%100.00%1.56%
characte 0.00 64 8.36 0.00 0 2.80
ristics
477750168371.46091241120064147.2404785
Total 100.00% 3.52% 100.00% 1.56%
0.00648.360.0002.80
(3) Movements in allowances for doubtful long-term receivables are as follows:
Unit: RMB yuan
Opening Change in the current period
Type Closing balance
balance Provision Reversed Written off Others
long-term
64147.20104224.440.00168371.64
receivables
Page 149 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total 64147.20 104224.44 0.00 0.00 0.00 168371.64
13、Long-term equity investments
Unit: RMB yuan
Change in the current period
Closin
Return g
Opening on Adjustme Othe Decla Closing balanc
Inves balance Additi Reduc investm nt to r red Impair balance e of
tee (carrying onal ed ent other equit cash ment Others (carrying impair
amount) invest invest under comprehe y divide allowa amount) ment
ment ment the nsive chan nds or nce allowa
equity income ges profit nce
method
1. Joint ventures
2. Associates
Jaten
88414911915628860647
Robo
3.65.986.63
t
Talle
res 1685238 19631 1881555
Tapr .05 7.77 .82
e
Nanj
-
ing 2336899 2141537
19536
Profe 6.88 5.74
21.14
ta
-
Subt 1134691 19631 1119034
17620
otal 48.58 7.77 08.19
58.16
-
1134691196311119034
Total 17620
48.587.7708.19
58.16
The recoverable amount is determined by the net amount after deducting the disposal expenses from the fair value.□ Applicable□ Not applicable
The recoverable amount is determined by the present value of the expected future cash flows.□ Applicable□ Not applicable
15. Other non-current financial assets
Unit: RMB yuan
Item Closing balance Opening balance
Financial assets 712657495.10 539449588.63
Total 712657495.10 539449588.63
16. Fixed assets
Unit: RMB yuan
Item Closing balance Opening balance
Fixed assets 953178133.55 681980621.79
Page 150 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total 953178133.55 681980621.79
(1) Particulars about fixed assets
Unit: RMB yuan
Buildings and Transportation
Item Machinery Other equipment Total
constructions equipment
I. Gross amount
1. Opening
684941295.72576518555.1434793257.9073877754.431370130863.19
balance
2. Increase in
253160160.0080764594.951190693.6210859044.23345974492.80
the current period
(1) Purchases 826620.53 9719737.64 1073157.24 2496058.58 14115573.99
(2) Transfers
from construction 225867742.97 31129949.33 7980304.49 264977996.79
in progress
(3) Increase
in business
combination
(4) Effect of
exchange rate 26465796.50 39914907.98 117536.38 382681.16 66880922.02
movements
3. Decrease in
467603.43675341.491205508.971135527.393483981.28
the current period
(1) Disposal
467603.43675341.491205508.971135527.393483981.28
or retirement
4. Closing
937633852.29656607808.6034778442.5583601271.271712621374.71
balance
II. Accumulated
depreciation
1. Opening
234501979.99378031510.5621155407.9554461342.90688150241.40
balance
2. Increase in
21270130.0646296780.631990256.474076411.5973633578.75
the current period
(1) Provision 10132828.14 14824506.01 1868327.39 3765472.59 30591134.13
(2) Effect of
exchange rate 11137301.92 31472274.62 121929.08 310939.00 43042444.62
movements
3. Decrease in
134282.37527808.721084754.87593733.032340578.99
the current period
(1) Disposal
134282.37527808.721084754.87593733.032340578.99
or retirement
4. Closing
255637827.68423800482.4722060909.5557944021.46759443241.16
balance
III. Impairment
allowances
1. Opening
balance
Page 151 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 2. Increase in
the current period
(1)
Established
3. Decrease in
the current period
(1) Disposal
or retirement
4. Closing
balance
IV. Carrying
amount
1. Closing
681996024.61232807326.1312717533.0025657249.81953178133.55
carrying amount
2. Opening
450439315.73198487044.5813637849.9519416411.53681980621.79
carrying amount
17. Construction in progress
Unit: RMB yuan
Item Closing balance Opening balance
Construction in progress 216072179.85 404826595.02
Total 216072179.85 404826595.02
(1) Particulars about construction in progress
Unit: RMB yuan
Closing balance Opening balance
Item Impairment Carrying Impairment Carrying
Gross amount Gross amount
allowance amount allowance amount
Plants and
202541357.07202541357.07379310179.88379310179.88
buildings
Equipment
13530822.7813530822.7825516415.1425516415.14
installation
Total 216072179.85 216072179.85 404826595.02 404826595.02
(2) Changes in substantial construction in progress in the current period
Unit: RMB yuan
Transf Cumul Of Interes
erred Other ative Cumul which: t
Increas
Openi to decrea Closin project ative Capital capital
e in Project Fundin
ng fixed ses in g invest capital ized ization
Project Budget the progre g
balanc assets the balanc ment ized interes rate for
current ss source
e in the current e as a % interes t in the the
period
current period of the t current current
period budget period period
Dongf 32753 5436 5436 16.60 16.60 Others
ang 000.0 233.02 233.02 % %
Page 152 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Precisi 0
on -
Plant
Constr
uction
Project
Fosber
Asian
–13483886074622613483
100.00100.005797043263100.00
Fosber 3981. 893.4 088.0 3981. Others
%%7.311.63%
Songg 53 5 8 53
ang
Plant
Parsun
Power
348501240712431
- Plant 23318 35.67 35.67
3300. 9449. 2629. Others
Constr 0.34 % %
005185
uction
Project
Fosber
Group -
33489160331093371937
–Plant 8879 12061 51.88 51.88
3650. 1144. 4604. 034.9 Others
Constr 029.47 464.8 % %
0063043
uction 7
Project
Tirua
S.L.U.-
Corrug
71697-
ated 2486 48875 2724 35.05 35.05
343.9 28648 Others
roller 882.62 .84 495.00 % %
08.22
produc
tion
equip
ment
23884101842076011661
1647
Others 991.7 678.7 535.3 787.0
348.12
9685
-
9226840482655222649721607
107005797043263100.00
Total 1275. 6595. 976.6 7996. 2179.
604.97.311.63%
430257985
7
18. Right-of-use assets
Unit: RMB yuan
Item Buildings and constructions Transportation equipment Total
I. Gross amount
1. Opening balance 111772062.42 34640747.28 146412809.70
2. Increase in the current
period 10067571.20 4035444.30 14103015.50
(1) Increase in the
1104736.851104736.85
current period
(2) Effect of exchange
8962834.354035444.3012998278.65
rate movements
3. Decrease in the current 461222.61 461222.61
Page 153 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. period
(1) Disposal 461222.61 461222.61
4. Closing balance 121378411.01 38676191.58 160054602.59
II. Accumulated depreciation
1. Opening balance 60216325.38 22049286.01 82265611.39
2. Increase in the current
period 13245616.68 4362491.63 17608108.31
(1) Established 8724426.58 1683031.75 10407458.33
(2) Effect of exchange
4521190.102679459.887200649.98
rate movements
3. Decrease in the current
period
(1) Disposal
4. Closing balance 73461942.06 26411777.64 99873719.70
III. Impairment allowances
1. Opening balance
2. Increase in the current
period
(1) Established
3. Decrease in the current
period
(1) Disposal
4. Closing balance
IV. Carrying amount
1. Closing carrying amount 47916468.95 12264413.94 60180882.89
2. Opening carrying
amount 51555737.04 12591461.27 64147198.31
19. Intangible assets
(1) Particulars about intangible assets
Unit: RMB yuan
Item Land use rights Patent rights Non-patented Land Trademarks andtechnologies ownership software Total
I. Gross amount
1. Opening
balance 177783228.49 124910055.82 16101261.87 211483366.81 530277912.99
2. Increase in
the current 15571893.80 1875702.76 23482384.93 40929981.49
period
(1)
Purchases 3304694.75 3244403.30 6549098.05
(2)
Internal R&D
(3)
Increase in
business
combination
Page 154 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (4) Effect of
exchange rate 12267199.05 1875702.76 20237981.63 34380883.44
movements
3. Decrease
in the current 295165.08 295165.08
period
(1)
Disposal 295165.08 295165.08
4. Closing
177783228.49140481949.6217976964.63234670586.66570912729.40
balance
II. Accumulated
amortization
1. Opening
balance 32729685.75 86977196.91 54006823.89 173713706.55
2. Increase in
the current 1850048.25 12895029.83 12398223.07 27143301.15
period
(1)
Provision 1850048.25 3653739.07 7510685.55 13014472.87
9241290.764887537.5214128828.28
3. Decrease
in the current 3815.71 3815.71
period
(1)
Disposal 3815.71 3815.71
(2) Effect of
exchange rate
movements
4. Closing
34579734.0099872226.7466401231.25200853191.99
balance
III. Impairment
allowances
1. Opening
balance
2. Increase in
the current
period
(1)
Established
(2) Effect of
exchange rate
movements
3. Decrease
in the current
period
(1)
Disposal
4. Closing
balance
IV. Carrying
amount
1. Closing
carrying 143203494.49 40609722.88 17976964.63 168269355.41 370059537.41
amount
2. Opening 145053542.74 37932858.91 16101261.87 157476542.92 356564206.44
Page 155 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. carrying
amount
As at the period-end intangible assets arising from internal R&D accounted for 3.59% of the carrying amount of total
intangible assets.
20. Goodwill
(1) Gross amounts of goodwill
Unit: RMB yuan
Increase in the current period Decrease in the current period
Investee or item
generating Opening Generated due Effect of Effect of
goodwill balance
Closing balance
to business exchange rate Disposal exchange rate
combination movements movements
Parsun Power 208031946.10 208031946.10
EDF 66069650.95 7696727.61 73766378.56
Fosber Group 154506980.86 17999158.90 172506139.76
QCorr 13100299.37 1526108.19 14626407.56
Wonder Digital 119422168.56 119422168.56
Total 561131045.84 27221994.70 588353040.54
(2) Impairment allowances for goodwill
Unit: RMB yuan
Increase in the current period Decrease in the current period
Investee or item
generating Opening Effect of Effect of
goodwill balance
Closing balance
Provision exchange rate Disposal exchange rate
movements movements
Parsun Power 61855054.35 61855054.35
EDF 66069650.95 7696727.61 73766378.56
Wonder Digital 8217037.61 8217037.61
Total 136141742.91 7696727.61 143838470.52
21. Long-term prepaid expenses
Unit: RMB yuan
Item Opening balance Increase in the Amortization incurrent period the current period Other decreases Closing balance
Plant decoration
expenditures 1172704.70 32456.28 711199.77 493961.21
Expenditures on
plant supporting 1031479.78 399975.34 631504.44
engineering
Office decoration
expenditures 2639293.16 512819.53 2126473.63
Amortization of
moulds 14477251.54 3452538.82 2260152.77 15669637.59
Others 2397841.01 442069.19 1955771.82
Total 21718570.19 3484995.10 4326216.60 20877348.69
Other information:
Page 156 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 22. Deferred tax assets/liabilities
(1) Deferred tax assets before offsetting
Unit: RMB yuan
Closing balance Opening balance
Item Deductible temporary Deferred tax assets Deductible temporarydifferences differences Deferred tax assets
Asset impairment
allowances 53060905.74 9291732.91 47734216.35 8660456.54
Internal unrealized
profit 32919062.79 7900575.06 48001485.88 11520356.61
Deductible loss 868290749.75 131237873.37 1048858286.21 158814236.91
Provisions—after-sales
maintenance service 129005858.36 32897989.47 138790149.48 36017710.44
charges
Deferred income 13932001.66 2089800.25 14790331.66 2218549.75
Accrued expenses 57693039.05 11912589.81 66952010.17 11858922.37
Equity incentives 14006700.04 1992962.82 8039014.18 1205852.11
Credit impairment
allowances 41988522.36 8997910.40 36461019.37 7620555.43
Lease liabilities 58863300.21 15254309.87 66292896.00 15265968.52
Others 72206145.67 17175191.75 120546724.92 24174916.88
Total 1341966285.63 238750935.71 1596466134.22 277357525.56
(2) Deferred tax liabilities before offsetting
Unit: RMB yuan
Closing balance Opening balance
Item Taxable temporary Deferred tax liabilities Taxable temporarydifferences differences Deferred tax liabilities
Increase in value in
asset valuation in
business combination 50573257.37 8362897.36 36211780.48 6266802.33
not involving entities
under common control
Financial assets at fair
value through profit or 26613015.01 4734381.96 7897264.33 566246.42
loss
Depreciation difference
of fixed assets 36727644.96 6918308.79 54682485.61 9197111.97
Right-of-use assets 54584764.30 14266284.64 64040183.00 14687786.79
Others 71885608.42 18629703.41 112555579.09 26495758.32
Total 240384290.06 52911576.16 275387292.51 57213705.83
(3) Net balances of deferred tax assets/liabilities after offsetting
Unit: RMB yuan
Offset amount between Closing balance of Offset amount between Opening balance of
Item deferred tax assets and deferred tax assets or deferred tax assets and deferred tax assets orliabilities as at the liabilities after liabilities as at the liabilities after
period-end offsetting period-begin offsetting
Deferred tax assets 51665153.39 187085782.32 55170776.35 222186749.21
Page 157 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Deferred tax liabilities 51665153.39 1246422.77 55170776.35 2042929.48
(4) Breakdown of deferred tax assets unrecognized
Unit: RMB yuan
Item Closing balance Opening balance
Deductible temporary differences 8437044.05 2322421.40
Deductible losses 155057319.23 170662463.45
Total 163494363.28 172984884.85
(5) Deductible losses not recognized as deferred tax assets will expire as follows
Unit: RMB yuan
Year Closing amount Opening amount Remark
20258437079.0516306590.04
202611793420.5412841957.31
202768573674.2973324757.62
202842920108.2646744666.65
202921241531.8923766913.23
203010528549.25
Total 163494363.28 172984884.85
23. Other non-current assets
Unit: RMB yuan
Item Closing balance Opening balance
Prepayment for
acquisition of
98078669.4282384181.65
long-term
assets
Certificates of
10743178.0810579534.25
deposit
Others 68008.96 60893.15
Total 108889856.46 93024609.05
24. Assets with restricted ownership or right of use
Unit: RMB yuan
Item Closing balance Opening balance
Cash and
bank 97391156.40 Deposit pledge and 76759834.79
balances freezing Deposit pledge and freezing
Fixed
assets 59086450.51 61309010.26Mortgage Mortgage
Total 156477606.91 138068845.05
Page 158 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 25. Short-term borrowings
(1) Short-term borrowings by type
Unit: RMB yuan
Item Closing balance Opening balance
Credit loan 133985440.63 59829377.75
Bills discounted 5472528.96 25560751.24
Total 139457969.59 85390128.99
26. Derivative financial liabilities held for trading
Unit: RMB yuan
Item Closing balance Opening balance
Option repurchase obligation 211658957.00 205222952.29
Foreign exchange derivatives 91519.02 993286.71
Total 211750476.02 206216239.00
27. Notes payable
Unit: RMB yuan
Type Closing balance Opening balance
Bank acceptance notes 200991603.73 144137609.00
Total 200991603.73 144137609.00
28. Accounts payable
(1) Breakdown of accounts payable
Unit: RMB yuan
Item Closing balance Opening balance
Purchases of inventories 844115803.29 687235330.65
Total 844115803.29 687235330.65
29. Other payables
Unit: RMB yuan
Item Closing balance Opening balance
Other payables 116833457.60 117617259.50
Total 116833457.60 117617259.50
（1） Other payables
Unit: RMB yuan
Item Closing balance Opening balance
Accrued expenses 40764297.78 46653027.39
Equipment Engineering Payment 51814864.20 45315052.50
Deposit 2735000.00 1780393.50
Page 159 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Equity acquisition 8000000.00 8000000.00
Others 13519295.62 15868786.11
Total 116833457.60 117617259.50
30. Contract liabilities
Unit: RMB yuan
Item Closing balance Opening balance
Contract liabilities 595986497.10 373931068.16
Total 595986497.10 373931068.16
31. Employee benefits payable
(1) Breakdown of employee benefits payable
Unit: RMB yuan
Item Opening balance Increase in the current Decrease in the currentperiod period Closing balance
I. Short-term benefits 125399088.91 409534917.91 380482857.46 154451149.36
II. Retirement benefits-
defined contribution 14143923.47 53996973.44 63365326.81 4775570.10
schemes
Severance pay 124275.36 124275.36
Total 139543012.38 463656166.71 443972459.63 159226719.46
(2) Breakdown of short-term benefits
Unit: RMB yuan
Item Opening balance Increase in the current Decrease in the currentperiod period Closing balance
1. Salaries bonuses
allowances and 118250534.10 365836476.26 337562856.99 146524153.37
subsidies
2. Employee welfare 6000842.31 18136651.84 17452921.42 6684572.73
3. Social security
contributions 350467.84 21255640.83 21169479.09 436629.58
Including: medical
insurance 217042.06 12910458.16 12987589.21 139911.01
Work
injury insurance 117423.28 7979412.15 7817034.63 279800.80
Maternit
y insurance 16002.50 365770.52 364855.25 16917.77
4. Housing funds 624565.00 3560094.42 3562401.42 622258.00
5. Labour union funds
and employee 172679.66 746054.56 735198.54 183535.68
education funds
Total 125399088.91 409534917.91 380482857.46 154451149.36
(3) Breakdown of defined contribution schemes
Unit: RMB yuan
Item Opening balance Increase in the current Decrease in the currentperiod period Closing balance
Page 160 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 1. Basic endowment
insurance 14126328.89 53418439.02 62787413.29 4757354.62
2. Unemployment
insurance 17594.58 578534.42 577913.52 18215.48
Total 14143923.47 53996973.44 63365326.81 4775570.10
32. Tax payable
Unit: RMB yuan
Item Closing balance Opening balance
Value-added tax 3979827.39 2649513.81
Corporate income tax 18112367.19 51562827.65
Individual income tax 22457591.90 13973593.51
City maintenance and construction tax 444147.69 294045.12
Education surcharge 317248.35 210001.65
Stamp duties 115673.03 118826.19
Property tax 1519073.37 265497.57
Land use tax 229625.20 120185.89
environmental protection tax 617.46
Others 569.01 106.64
Total 47176740.59 69194598.03
33. Current portion of non-current liabilities
Unit: RMB yuan
Item Closing balance Opening balance
Current portion of long-term borrowings 47423425.73 61229428.22
Current portion of lease liabilities 20443755.13 20401356.43
Total 67867180.86 81630784.65
34.Other current liabilities
Unit: RMB yuan
Item Closing balance Opening balance
Output tax to be written off 10366304.93 10287364.93
Endorsed notes receivable 35587456.75 31544970.78
Total 45953761.68 41832335.71
35. Long-term borrowings
(1) Long-term borrowings by type
Unit: RMB yuan
Item Closing balance Opening balance
Collateralized loan 61923155.14 61866952.89
Guaranteed loan 27728891.32 33218557.13
Credit loan 94769802.26 91626403.51
Page 161 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Less: Current portion of long-term
-47423425.73-61229428.22
borrowings
Total 136998422.99 125482485.31
36. Lease liabilities
Unit: RMB yuan
Item Closing balance Opening balance
Lease liabilities 64553006.46 68068158.39
Less: Current portion of non-current
-20443755.13-20401356.43
liabilities
Total 44109251.33 47666801.96
37. Long-term employee benefits payable
(1) Long-term employee benefits payable
Unit: RMB yuan
Item Closing balance Opening balance
Retirement benefits- net liabilities of
13898580.6613128052.34
defined benefit schemes
Total 13898580.66 13128052.34
(2) Movements in the present value of defined benefit obligations are as follows:
Unit: RMB yuan
Item Closing balance Opening balance
Opening balance 13128052.34 13964394.20
Included in profit or loss -315021.11 1264267.21
Current service cost 847235.35
Net interest -315021.11 417031.86
Included in other comprehensive income -39378.48 -126738.95
Actuarial gains or losses -39378.48 -126738.95
Other changes 1124927.91 -1973870.10
Benefits paid -357524.88 -1387765.63
Effect of exchange rate movements 1482452.79 -586104.49
Closing balance 13898580.66 13128052.34
38. Provisions
Unit: RMB yuan
Item Closing balance Opening balance Reason for provision
Product quality warranty 129005858.37 138790149.48
Others 9023453.48 8030479.78
Total 138029311.85 146820629.26
Page 162 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 39. Deferred income
Unit: RMB yuan
Increase in the Decrease in the Reason for
Item Opening balance Closing balance
current period current period deferred income
Government grants 14790331.66 858330.00 13932001.66
Total 14790331.66 858330.00 13932001.66
40. Other non-current liabilities
Unit: RMB yuan
Item Closing balance Opening balance
Other 5753591.10 7573539.20
Total 5753591.10 7573539.20
41. Share capital
Unit: RMB yuan
Increase/decrease in the current period
Shares as
Opening Shares as dividend Closing
balance dividendNew issues converted Others Subtotal balance
converted
from capital
from profit
surplus
Total share 121904634 - - 121728634
capital 0.00 1760000.00 1760000.00 0.00
Other information:
In the current period the Company retired a total of 1760000shares reducing its total share capital from
1219046340 shares to1217286340 shares.
42. Capital surplus
Unit: RMB yuan
Increase in the current Decrease in the current
Item Opening balance Closing balance
period period
Capital premium (share
2673029158.522673029158.52
premium)
Other capital surplus 145952938.00 16129859.95 162082797.95
Total 2818982096.52 16129859.95 2835111956.47
43. Treasury shares
Unit: RMB yuan
Increase in the current Decrease in the current
Item Opening balance Closing balance
period period
Share repurchase 117233041.40 2000000.00 115233041.40
Total 117233041.40 2000000.00 115233041.40
Other information including changes in the current period and reasons for changes:
The decrease in treasury shares was mainly due to the share retirement (as stated in Item 41 under Note VII).Page 163 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 44. Other comprehensive income
Unit: RMB yuan
Amount generated in the current period
Less: Less:
amount amount
previously previously After-tax
Amount recognized recognized amount
Less: After-tax
Opening before in other in other attributaIncom amount ClosingItem
balance income tax comprehens comprehens ble toe tax attributable balance
generated in ive income ive income non-
expen to the
the current and and controlli
se parent
period currently currently ng
transferred transferred interests
to profit or to retained
loss earnings
I. Other
comprehens
ive income
that will not 1291719. 1331097.9
39378.4839378.48
be 46 4
reclassified
to profit or
loss
Of which:
Changes
due to
remeasurem 1291719. 1331097.9
39378.4839378.48
ent of 46 4
defined
benefit
schemes
II. Other
comprehens
ive income -
28517598117073913117146034145663632
that will be 72120.7.28.40.18.46
reclassified 8
to profit or
loss
Differences
arising
from the
-
translation 28561570 117073913 117146034 145707604
72120.7
of foreign .35 .40 .18 .53
8
currency-
denominate
d financial
statements
Others -43972.07 -43972.07
Total other -
29809317117113291117185412146994730
comprehens 72120.7.74.88.66.40
ive income 8
Page 164 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 45. Special reserve
Unit: RMB yuan
Increase in the current Decrease in the current
Item Opening balance Closing balance
period period
Expenses for safety
18106386.751948471.481046184.0919008674.14
production
Total 18106386.75 1948471.48 1046184.09 19008674.14
46. Surplus reserves
Unit: RMB yuan
Increase in the current Decrease in the current
Item Opening balance Closing balance
period period
Statutory surplus
51830974.4551830974.45
reserves
Total 51830974.45 51830974.45
47. Retained earnings
Unit: RMB yuan
Item Current period Last year
Opening retained earnings before
956837409.23456258959.55
adjustment
Opening retained earnings after
956837409.23456258959.55
adjustment
Add: Net profit attributable to owners of
392080418.90500578449.68
the parent in the current period
Common stock dividends payable 158247168.04
Closing retained earnings 1196031231.05 956837409.23
48. Operating revenue and costs
Unit: RMB yuan
H1 2025 H1 2024
Item
Revenue Costs Revenue Costs
Principal operations 2133028573.92 1490792871.18 2158219373.35 1500649176.62
Other operations 25928283.96 20825342.27 2969534.05 1568441.66
Total 2158956857.88 1511618213.45 2161188907.40 1502217618.28
Information related to contract performance obligations:
Timing of
satisfaction Nature of Types of
of Significant goods Whether the
Expected warranties
performance payment terms promised to principal
refunds to
transfer customers
and related
obligations obligations
Sales of Upon 20%-90% Sales of Yes Nil Statutory
goods delivery payment before machinery and warranties
delivery parts
Page 165 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Provision During After service Installation and Yes Nil Nil
of service maintenance
services service
Provision During Payment based Warranties for Yes Nil Nil
of service on service services
services progress
Information related to the transaction price allocated to residual performance obligations:
At the end of the Reporting Period the amount of revenue corresponding to performance obligations that had been
contracted but not yet performed or fulfilled was RMB595986497.10 of which RMB595986497.10 is expected to be
recognized by 2025.
49. Taxes and surcharges
Unit: RMB yuan
Item H1 2025 H1 2024
City maintenance and construction tax 5608669.25 3685148.38
Education surcharge 4015060.58 2687834.54
Property tax 2406619.56 2376568.91
Land use tax 284438.01 206660.90
Vehicle and vessel use tax 10440.32 6882.77
Stamp duties 586862.29 458217.47
Others 85835.74 60099.64
Total 12997925.75 9481412.61
50. Administrative expenses
Unit: RMB yuan
Item H1 2025 H1 2024
Employee benefits 93614791.67 86471690.69
Depreciation and amortization expenses 15880784.42 14210998.52
Intermediary expenses 19664878.44 13921094.92
Equity incentives 12721740.00 714743.91
Office expenses 9810563.38 10201972.20
Travel and reception expenses 6711853.55 6636531.47
Conference expenses 7169997.99 7623766.99
Rental expenses 3243315.52 4170373.66
Technology development expenses 7241450.76 7544884.23
Other expenses 12616612.94 10453526.93
Total 188675988.67 161949583.52
51. Selling expenses
Unit: RMB yuan
Item H1 2025 H1 2024
Commissions and agency fees 19522157.45 29735720.82
Employee benefits and equity incentive 38471760.90 34882281.94
Advertising and exhibition expenses 9934583.53 10370281.35
Page 166 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Travel expenses 6145358.97 6863531.64
Depreciation and amortization expenses 1069806.83 1121092.53
Other expenses 6229228.44 5979622.20
Total 81372896.12 88952530.48
52. R&D expenses
Unit: RMB yuan
Item H1 2025 H1 2024
Employee benefits and equity incentive 38549100.64 35059894.63
Depreciation and amortization expenses 5494745.00 8149649.45
Material expenses 4561308.84 2892339.95
Other expenses 4906469.38 4264183.55
Total 53511623.86 50366067.58
53. Finance costs
Unit: RMB yuan
Item H1 2025 H1 2024
Interest expenses 5246608.14 10539931.90
Less: Interest income 25618916.20 22603240.17
Exchange gains and losses -1418011.27 -2315440.36
Others 2145166.08 1584586.79
Total -19645153.25 -12794161.84
54. Other income
Unit: RMB yuan
Source of other income H1 2025 H1 2024
Government grants 10208069.85 9890423.74
Handling charges for individual income
259663.01432933.77
tax withheld
Total 10467732.86 10323357.51
55. Gains and losses on changes in fair value
Unit: RMB yuan
Source of gains and losses on changes in
H1 2025 H1 2024
fair value
Financial assets held for trading 9856867.83 -66877509.32
Derivative financial assets 369736.80 -18496785.38
Fair value changes in minority
-1074393.44
shareholders' call/put options
Total 9152211.19 -85374294.70
56. Investment income
Unit: RMB yuan
H1 2025 H1 2024
Income from long-term equity -1762058.16 -2914122.66
Page 167 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. investments measured at equity method
Income from financial assets held for
147502487.00-5280793.54
trading
Discount rate on bills -57471.46
Total 145682957.38 -8194916.20
57. Credit impairment loss
Unit: RMB yuan
Item H1 2025 H1 2024
Loss on doubtful accounts receivable -3298010.87 746267.19
Loss on doubtful other receivables -376795.77 -108095.70
Loss on doubtful long-term receivables -104224.44 24391.20
Total -3779031.08 662562.69
58. Asset impairment loss
Unit: RMB yuan
Item H1 2025 H1 2024
Inventory valuation loss and loss on
impairments of contract performance -8807387.63 -2084889.45
costs
Loss on impairments of contract assets -211449.17 -3658393.34
Total -9018836.80 -5743282.79
59. Gains on disposal of assets
Unit: RMB yuan
Source of gains on disposal of assets H1 2025 H1 2024
Loss on disposal of fixed assets -32823.11 5017509.44
Profit or loss from disposal of right-of-
76970.02
use assets
Total -32823.11 5094479.46
60. Non-operating income
Unit: RMB yuan
Amount recognized in
Item H1 2025 H1 2024
exceptional gains and losses
Others 1552164.28 939908.99 1552164.28
Total 1552164.28 939908.99 1543461.23
61. Non-operating expenses
Unit: RMB yuan
Amount recognized in
Item H1 2025 H1 2024
exceptional gains and losses
Donations 160901.71 163461.77 160901.71
Loss on disposal of non- 275738.17 2205.15 275738.17
Page 168 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. current assets
Others 864055.63 224305.37 864055.63
Total 1300695.51 389972.29 1300695.51
62. Income tax expenses
(1) Income tax expenses
Unit: RMB yuan
Item H1 2025 H1 2024
Current income tax expenses 32685368.80 83725950.64
Deferred income tax expenses 34566640.39 7231539.09
Total 67252009.19 90957489.73
(2) Reconciliation between accounting profit and income tax expenses
Unit: RMB yuan
Item H1 2025
Gross profit 483149042.49
Income tax calculated at statutory/applicable tax rates 72472356.37
Different tax rates for specific provinces or enacted by local
26543751.19
authority
Adjustment to income tax in previous periods -31411526.41
Costs expenses and losses not deductible for tax 1995256.89
Utilization of deductible losses on previously unrecognized
-2265475.63
deferred tax assets
Effect of deductible temporary differences or deductible losses
1210098.19
on current unrecognized deferred tax assets
Over-deduction of the taxable profit amount for R&D -1292451.41
Income tax expenses 67252009.19
63. Other comprehensive income
See Item 44 under Note VII.
64. Line items of the cash flow statement
(1) Cash related to operating activities
Cash generated from other operating activities
Unit: RMB yuan
H1 2025 H1 2024
Current accounts and others 4496284.68 13443346.57
Interest income 18327998.79 22755414.30
Government grants 4954251.97 9765027.51
Guarantee deposit received 1332228.88
Deposits 1830344.19 1454652.77
Total 29608879.63 48750670.03
Page 169 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Cash used in other operating activities
Unit: RMB yuan
H1 2025 H1 2024
Selling expenses in cash 56080945.90 87390198.62
Administrative expenses in cash 66613404.21 61327958.13
R&D expenses in cash 4906469.27 4262737.50
Letter of guarantee paid 5855098.69
Current accounts and others 18741307.39 12744856.93
Security deposits 306406.58
Total 146342126.77 171887256.45
(2) Cash related to investing activities
Cash generated from other investing activities
Unit: RMB yuan
H1 2025 H1 2024
Investment deposit 79323058.18
Total 79323058.18
Cash received relating to significant investing activities
Unit: RMB yuan
H1 2025 H1 2024
Disposal/redemption of financial assets
1834186979.20820003799.66
held for trading
Recovery of equity investments 5000000.00 10000000.00
Total 1839186979.20 830003799.66
Cash used in other investing activities
Unit: RMB yuan
H1 2025 H1 2024
Investment deposit 114510889.33
Total 114510889.33
Cash payments relating to significant investing activities
Unit: RMB yuan
H1 2025 H1 2024
Purchase of financial assets held for
1179018063.04838349461.46
trading
Purchase of equity investments 173911701.08 77777778.00
Total 1352929764.12 916127239.46
(3) Cash related to financing activities
Cash generated from other financing activities
Unit: RMB yuan
H1 2025 H1 2024
Security deposits recovered for internal
107345506.70
guarantees for external loans
Security deposits for bank acceptance
36583685.2848083599.11
notes
Page 170 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Total 36583685.28 155429105.81
Cash used in other financing activities
Unit: RMB yuan
Item H1 2025 H1 2024
Share repurchase 950213.00 67200.00
Security deposits for bank acceptance
21287776.2544775224.72
notes
Rental and interest paid 10767407.23 11150763.38
Total 33005396.48 55993188.10
Changes in liabilities arising from financing activities:
□Applicable □Not Applicable
Unit: RMB yuan
increase in the current period decrease in the current period
Closing
Opening Changes in Non-cash Changes in Non-cash balance
balance cash changes cash changes
Short-term
85390128.99111804800.9639734236.8518002723.51139457969.59
borrowing
Long-term
borrowings
(Including
186711913.5313217000.0011989393.5527496458.36184421848.72
current portion
of long-termborrowings）
Lease liabilities
(Including
current portion 68068158.39 7252255.30 10767407.23 64553006.46
of non-current
liabilities)
Total 340170200.91 125021800.96 19241648.85 77998102.44 18002723.51 388432824.77
65. Supplemental information on statement of cash flows
(1) Supplemental information on statement of cash flows
Unit: RMB yuan
Supplementary information H1 2025 H1 2024
1. Reconciliation of net profit to net cash
generated from/used in investing
activities:
Net profit 415897033.30 187376209.71
Add: Asset impairment allowances 9018836.80 5743282.79
Credit impairment loss 3779031.08 -662562.69
Depreciation of fixed assets
depletion of oil and gas assets and 30591134.13 24399898.32
depreciation of productive living assets
Depreciation of right-of-use
10407458.339865972.32
assets
Amortization of intangible
12495719.1611558754.93
assets
Page 171 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Amortization of long-term
4326216.606434210.87
prepaid expenses
Loss on the disposal of fixed
assets intangible assets and other long- 32822.11 -5094479.46
lived assets (“-” for gain)
Loss on the retirement of fixed
275738.172205.15
assets (“-” for gain)
Loss on changes in fair value
-9152211.1985374294.70
(“-” for gain)
Finance costs (“-” for income) -22760867.82 15619969.13
Loss on investment (“-” for
-145682957.388194916.20
income)
Decrease in deferred tax assets
21901731.313369718.95
(“-” for increase)
Increase in deferred tax
9808594.53-2638399.89
liabilities (“-” for decrease)
Decrease in inventories (“-” for
-326376599.70-139102847.17
increase)
Decrease in operating
-95300243.2657187082.83
receivables (“-” for increase)
Increase in operating payables
421387684.27-144819176.01
(“-” for decrease)
Others 14635350.91 -4238587.03
Net cash generated from/used
355284471.35118570463.65
in operating activities
2. Significant investing and financing
activities that involve no cash proceeds
or payments:
Conversion of debt to capital
Current portion of convertible
corporate bonds
Fixed assets leased in in finance
leases
3. Net changes in cash and cash
equivalents:
Closing balance of cash 2404544660.13 1510191035.14
Less: Opening balance of cash 1652290548.55 1672514611.84
Add: Closing balance of cash
equivalents
Less: Opening balance of cash
equivalents
Net increase in cash and cash
752254111.58-162323576.70
equivalents
(2) Breakdown of cash and cash equivalents
Unit: RMB yuan
Item Closing balance Opening balance
I. Cash 2404544660.13 1652290548.55
Including: cash on hand 747976.31 497855.11
Page 172 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Bank deposits readily available 1613789087.19 1505877879.48
Other cash and bank balances
790007596.63145914813.96
readily available
III. Closing balance of cash and cash
2404544660.131652290548.55
equivalents
66. Monetary items in foreign currencies
(1) Monetary items in foreign currencies
Unit: RMB yuan
Closing balance in foreign
Item Exchange rate Closing balance in RMB
currency
Cash and bank balances
Including: USD 143918530.70 7.1586 1030255193.87
EUR 50414327.33 8.4024 423601343.96
HKD 3908331.44 0.9120 3564398.27
GBP 71432.22 9.8300 702178.72
Mexican peso 1844953.00 0.3809 702742.60
Singapore dollar 18945.52 5.6179 106434.04
Accounts receivable
Including: USD 1188457.02 7.1586 8507688.42
EUR 77644756.85 8.4024 652402304.96
HKD
Long-term borrowings
Including: USD
EUR 3396103.85 8.4024 28535422.99
HKD
Accounts payable
Including: USD 9322.05 7.1586 66732.83
EUR 57728280.11 8.4024 485056100.80
Other receivables
Including: USD 37684.04 7.1586 269764.97
EUR 3580401.25 8.4024 30083963.46
Short-term borrowings
Including: EUR 4375826.03 8.4024 36767440.63
Current portion of non-
current liabilities
Including: EUR 5122794.47 8.4024 43043768.25
Other payables
Page 173 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Including: USD 413895.02 7.1586 2962908.89
EUR 1727969.78 8.4024 14519093.28
Lease liabilities
Including: EUR 4703793.61 8.4024 39523155.43
Contract Assets
Including: USD 555597.56 7.1586 3977300.69
EUR 924384.42 8.4024 7767047.65
(2) Overseas business entities (for substantial overseas business entities the following information
shall be disclosed: principal place of business functional currency and basis for the choice change
of functional currency and reasons)
□Applicable □ Not applicable
Substantial overseas business Principal place of Functional
Basis for the choice
entity business currency
Fosber Group Italy EUR Settlement currency for local businessoperations
Fosber America America USD Settlement currency for local businessoperations
EDF Italy EUR Settlement currency for local businessoperations
Tirua Group Spain EUR Settlement currency for local businessoperations
Ⅷ R&D expenditure
Unit: RMB yuan
Classified by nature H1 2025 H1 2024
Employee benefit and Equity
incentive expense 38549100.64 35059894.63
Depreciation and amortization
expenses 5494745.00 8149649.45
Material expenses 4561308.84 2892339.95
Other expenses 4906469.38 4264183.55
Total 53511623.86 50366067.58
Of which：Expensed R&D
expenditure 53511623.86 50366067.58
Page 174 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Ⅸ Interests in Other Entities
1. Interests in subsidiaries
Particulars of the subsidiaries of the Company are as follows:
Principal place Place of Business Registered The Company’s
of business registration nature capita interest(%)
Direct Indirect
Subsidiaries acquired by way of incorporation or investment
Dongfang Precision (HK) HK HK Trading USD300000 100.00 -
Dongfang Precision (Netherland) Netherland Netherland Trading EUR40000 90.00 10.00
Fosber Asia Foshan Foshan
Guangdong China Guangdong China Manufacturing RMB29581891 100.00 -
Italy QCorr Italy Italy Manufacturing EUR375000 - 60.00
Suzhou High-Tech Zone Jinquan Business Management Partnership Suzhou Suzhou
(Limited Partnership)*(“High-Tech Zone Jinquan”) Jiangsu China Jiangsu China Investment RMB10553000 - 30.17Suzhou Parsun Power Technology Co. Ltd. (“Parsun Power Suzhou SuzhouTechnology”) Jiangsu China Jiangsu China Trading RMB10million - 71.14Suzhou Baisheng International Trade Co. Ltd. (“Baisheng Suzhou SuzhouInternational”) Jiangsu China Jiangsu China Trading RMB3 million - 71.14
Suzhou Suzhou
Tide International Jiangsu China Jiangsu China Trading RMB500000 71.14
Haikou Hainan Haikou Hainan China Industrial
Dongfang Digicom Data Technology Co. Ltd. (“Dongfang Digicom”) China Internet RMB100 million 100.00 -Dongfang Digicom Data Technology (Guangdong) Co. Ltd. (“Dongfang Foshan Foshan IndustrialDigicom (Guangdong)”) Guangdong China Guangdong China Internet RMB8 million 100.00 -
Haikou Hainan Haikou Hainan China
Hainan Yineng Investment Co. Ltd. (“Yineng Investment”) China Investment RMB100 million 100.00 -Dongfang Yineng International Holdings Co. Ltd. (“Yineng Foshan FoshanInternational”) Guangdong China Guangdong China Investment RMB50 million 100.00 -
Page 175 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Tianjin Hangchuang Zhijin Investment Partnership (Limited Partnership) Tianjin China Tianjin China
(“Tianjin Hangchuang”) Investment RMB21 million 95.24 -
Changzhou Xinchen Investment Partnership (Limited Partnership) Changzhou Changzhou
(“Changzhou Xinchen”) Jiangsu China Jiangsu China Investment RMB50.6 million - 94.86
Oriental Precision Machinery Limited (Hong Kong) HK HK Investment HKD10000 100.00
Fobser Mexico Mexico Mexico Manufacturing Mex.$100000 100.00
Yuanhang Holdings (Singapore) Limited Singapore Singapore Investment USD3000 100.00
Star Shine Precision Technology (Singapore) Limited Singapore Singapore Manufacturing USD3000 100.00
Fosber Group Italy Italy Manufacturing EUR1.56 million - 100.00
Fosber America America America Manufacturing USD1.10 million - 100.00
Forsberg (Machinery) Tianjin Co. Ltd. (“Fosber Tianjin”) Tianjin China Tianjin China Manufacturing USD500000 - 100.00
Suzhou Jiangsu Suzhou Jiangsu
Parsun Power China China Manufacturing RMB85.3 million 7.83 63.31
Suzhou Jiangsu Suzhou Jiangsu
Suzhou Shunyi Investment Co. Ltd. .(“Shunyi Investment”) China China Investment RMB10 million 100.00 -
EDF Italy Italy Manufacturing EUR100000 - 100.00
Tirua S.L.U. Spain Spain Manufacturing EUR1.44 million - 100.00
Tirua FranceSARL France France Manufacturing EUR100000 - 100.00
SCI Candan France France Manufacturing EUR10000 - 100.00
Tirua America America America Manufacturing USD3 million - 100.00
Foshan Guangdong Foshan Guangdong
Tirua Asia China China Manufacturing RMB26120386.96 100.00 -
Shenzhen Shenzhen
Wonder Printing Guangdong China Guangdong China Manufacturing RMB31171949 51.00 -
Dongguan Dongguan
Dongguan Wonder Digital Machinery Co. Ltd. (“Wonder Digital”) Guangdong China Guangdong China Manufacturing RMB5million - 51.00
*According to the partnership agreement the general partner of the partnership shall execute partnership affairs and other partners shall not execute partnership affairs. As the sole
general partner the Company forms control over the partnership which is included in the scope of consolidation of the Group.Page 176 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Ⅸ Interests in Other Entities
2. Interests in associates
Principal Place of
place of Business Registered The Company’s Accounting
business registration nature capital interest (%) method
Direct Indirect
Associates
Guangdong Jaten
Robot & Foshan Foshan
Automation Co. Guangdong Guangdong Manufact Equity
Ltd. China China uring RMB31.759 million 19.84 - method
Manufact Equity
Talleres TapreS.L. Spain Spain uring EUR37563 - 20.00 method
Nanjing Nanjing Equity method
Jiangsu Jiangsu Manufact Equity
Nanjing Profeta China China uring RMB4.5427 million 15.00 5.67 method
Financial information of insignificant joint ventures and associates combined
Unit: RMB yuan
Closing balance/H1 2024 Opening balance/H1 2023
Joint ventures:
Totals based on the Company’s interests
Associates:
Total carrying amount of investments 111903408.19 113469148.58
Totals based on the Company’s interests
--Net profit -1762058.16 -2914122.66
--Total comprehensive income -1762058.16 -2914122.66
Other information:
As there is no obligation to bear additional losses the net losses incurred by the investee are recognized to
the extent that the book value of the long-term equity investment and other long-term interests that
substantially constitute the net investment in the investee are reduced to zero.Ⅹ. Government grants
1. Government subsidies recognised at the end of the reporting period based on the amount receivable
The ending balance of accounts receivable: 7581099.87 yuan.
2. Liabilities related to government subsidies
Amount
Accounting Opening New subsidy Amount Other Closing Asset/income-
included in transferred toitems balance amount changes balance related
non- other income
Page 177 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. operating
income
Deferred
14790331.66 858330.00 13932001.66 Asset -related
income
3. The government grants recognised in profit or loss are as follows:
Unit: RMB yuan
20252024
Government grants related to assets
858330.00558330.00
Recognised as other income
Government grants related to income
9349739.859332093.74
Recognised as other income
Total 10208069.85 9890423.74
Ⅺ Risks Associated with Financial Instruments
1.Risks of financial instruments
The main risks arising from the Group's financial instruments are credit risk liquidity risk and market risk.The Group’s policies are summarised below.Credit risk
The Group transacts only with recognized and reputable third parties. According to the Group's policies
credit checks are needed for all customers that require transactions should be conducted by means of credit.Additionally the Group performs continuous monitoring of the balance of accounts receivable to ensure that
the Group will not face major bad debt risk. For transactions not settled in the accounting standard currency
of the relevant business unit unless specifically approved by the credit control department of the Group the
Group will not provide credit transaction conditions.Since the counterparties of cash and bank balances and notes receivable are banks with a good reputation and
high credit rating the credit risk of such financial instruments is low.Other financial assets of the Group mainly include accounts receivable other receivables and contract assets
the credit risk of which arises from counterparty default and the maximum risk exposure is equal to the
carrying value of these instruments.The Group transacts only with recognized and reputable third parties so no collateral is required. Credit risk
concentration is managed by customer/counterparty geographic region and industry. Because the customer
base of accounts receivable of the Group is widely dispersed in different departments and industries there is
no major credit risk concentration within the Group. The Group does not hold any collateral or other credit
enhancement on the balance of accounts receivable.Criteria for judging significant increases in credit risk
The Group assesses whether or not the credit risk of the relevant financial instruments has increased
significantly since the initial recognition at each balance sheet date. The Group's main criteria for
determining significant increase in credit risk are that the number of days past due exceed 30 days or one or
more of the following indicators have changed significantly: significant adverse changes in the operating
environment of the debtor internal and external credit ratings and actual or expected operating results.Page 178 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Definition of credit-impaired financial assets
The Group's main criterion for determining that credit impairment has occurred is that the number of days
past due exceeds 90 days. However in some cases if internal or external information indicates that the
contract amount may not be recovered in full before considering any credit enhancements held the Group
will also consider that credit impairment has occurred.The credit impairment on a financial asset may be caused by the combined effect of multiple events and may
not be necessarily due to a single event.Liquidity risk
The Group aims to maintain sufficient cash and credit lines to meet its liquidity requirements. The Group
finances its working capital requirements through a combination of funds generated from operations and
other borrowings.Market Risk
Interest rate risk
The Group’s exposure to risk of changes in market interest rates relates primarily to the Group’s long-term
liabilities with floating interest rates.Exchange rate risk
The Group is exposed to trading exchange rate risks. Such exposures arise from sales or purchases by
business units in currencies other than the units’ functional currencies.The primary objective of the Group’s capital management is to safeguard the Group’s ability to continue as a
going concern and to maintain healthy capital ratios in order to support its business and maximize
shareholders’ value.The Group manages its capital structure and makes adjustments in the light of changes in economic
conditions and in the risk profiles of relevant assets. To maintain or adjust the capital structure the Group
may adjust the dividend payment to shareholders return capital to shareholders or issue new shares. The
Group is not subject to any externally imposed capital requirements. No changes were made in the
objectives policies or processes for managing capital during 2024 and 2023.Ⅻ Disclosure of Fair Values
1. The closing fair value of assets and liabilities measured at fair value
Unit: RMB yuan
Closing fair value
Item Level 1 fair value Level 2 fair value Level 3 fair value
Total
measurement measurement measurement
I. Continuous -- -- -- --
Page 179 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. measurement of fair
value
(I) Financial assets
140769386.23140769386.23
held for trading
Derivative financial
3033910.743033910.74
assets
Receivables financing 23201080.81 23201080.81
Other non-current
31258001.95681399493.15712657495.10
financial assets
Other non-current
10743178.0810743178.08
assets
Total assets
continuously measured 175061298.92 33944258.89 681399493.15 890405050.96
at fair value
Derivative financial
211750476.02211750476.02
liabilities
Other non-current
5753591.105753591.10
liabilities
Total liabilities
continuously measured 217504067.12 217504067.12
at fair value
II. Non-continuous
measurement of fair -- -- -- --
value
XIII Related Parties and Related-party Transactions
1. Parent
Interest in the
Name Relationship with the Company
Company (%)
Tang Zhuolin The Company’s controlling shareholder and one of the
(individual) actual controllers 21.26%
Tang Zhuomian The Company’s controlling shareholder and one of the
(individual) actual controllers 7.96%
The ultimate controllers of the Company are Tang Zhuolin and Tang Zhuomian.
2. Subsidiaries of the Company
See Item 1 under Ⅸ Interests in Other Entities
Page 180 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 3. Joint ventures and associates of the Company
For substantial joint ventures and associates of the Company see Item 2 under Ⅸ Interests in Other Entities
4. Other related parties
Other related parties Relationship with the Company
Tang Zhuolin chairman of the board
Qiu Yezhi Director and General Manager
Xie Weiwei Director and Deputy General Manager
Chen Huiyi Chairman of the Supervisory Committee
Zhao Xiuhe Employee Supervisor
He Baohua Supervisor
Li Ketian Independent Director
Feng Zhidong Independent Director
Tu Haichuan Independent Director
Feng Jia Director and Board Secretary
Shao Yongfeng Chief Financial Officer and Vice President
5. Related-party transactions
(1) Remuneration of key management
Unit: RMB yuan
Item H1 2025 H1 2024
Remuneration of key management 7152918.40 8429047.79
XIV Share-based Payments
Unit: RMB yuan
Granted in the period Exercised in the period Unlocked in the period Expired in the period
Number Amount Number Amount Number Amount Number Amount
managem 1600000.0 1600000.0200000.00 200000.00
ent 0 0
R&D 40000.00 40000.00 160000.00 160000.00
1760000.01760000.0
Total 240000.00 240000.00 0 0
On 9 October 2024 the shareholders' meeting of Dongfang Precision approved the ‘2024 Employee Shareholding
Plan Scheme of Guangdong Dongfang Precision Technology Co. Ltd.’ Fifty-one eligible employees who meet the
criteria specified in the employee shareholding plan scheme and are employed by the company or its subsidiaries
participated in this employee shareholding plan. The employee stock ownership plan will acquire 21330000
shares repurchased by the company at a price of 2.64 yuan per share through a non-transferable assignment from
the company's repurchase special account. The funds for this acquisition will be sourced from the long-term
incentive reward fund established by the company in accordance with its compensation management and
Page 181 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. performance management regulations. According to the employee stock ownership plan the term of this employee
stock ownership plan is 48 months; the performance evaluation period covers the three fiscal years from 2024 to
2026 with evaluation indicators including company-level performance evaluation indicators and individual-level
performance evaluation indicators. Based on the achievement of company-level performance evaluation and
individual-level performance evaluation the corresponding stock equity will be unlocked to the participants in
three phases. On 20 October 2024 the company disclosed the ‘Announcement on the Completion of Non-Trading
Stock Transfer for the 2024 Employee Stock Ownership Plan’ announcing the completion of the non-trading
stock transfer related to this employee stock ownership plan.
2、Equity-settled share-based payments are as follows：
Unit: RMB yuan
Determination method of fair value of equity instruments at
grant date Based on the share price on the grant date minus the grant price
Important parameters of fair value of equity instruments at
grant date Share price at grant date and Grant Price
Make the best estimate of the number of vested employees
Basis for determining the number of vested equity instruments based on the latest information such as turnover rate and
substandard rate
Reasons for significant difference between current year's
None
estimate and prior year's estimate
Accumulated amount of equity-settled share-based payment
25825028.83
included in capital reserve
Total expense recognized for equity-settled share-based
16129859.95
payments during the period
3、Share-based payment expenses incurred during the year are as follows:
Unit: RMB yuan
Equity-settled share-based Cash-settled share-based
payment expenses payment expenses
Marketing 1120412.16
management 12721740.00
R&D 1673279.10
Production&Operation 614428.69
Total 16129859.95
XV Commitments and Contingencies
1. Substantial commitments
Item Closing balance Opening balance
Committed but not provisioned capital commitments 13672107.52 58000411.49
Page 182 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 2. Contingencies
(1) Explain if the Company has no substantial contingencies that need to be disclosed
The Company had no substantial contingencies that needed to be disclosed.XVI Events after the Balance Sheet Date
1. Other information on events after the balance sheet date
At the balance sheet date the Company had no events after the balance sheet date that are required to be disclosed.XVII Other Significant Matters
1. Segment reporting
(1) Basis for the determination of reporting segments and accounting policies
For management purposes the Group is divided into business units based on products and services.。
(2) Financial information of reporting segments
Unit: RMB yuan
Item Domestic entities Overseas entities Offset Total
Operating revenue 948598071.72 1306325233.92 -95966447.76 2158956857.88
Cost of sales 685864905.50 910966036.65 -85212728.70 1511618213.45
Total assets 6317274805.34 3303628697.86 -1273499165.64 8347404337.56
Total liabilities 1622373174.32 1736638060.67 -575683442.71 2783327792.28
XVIII Notes to Major Items in the Company Financial Statements
1. Accounts receivable
(1) Disclosure by the aging of accounts receivable
Unit: RMB yuan
age of accounts H1 2025 H1 2024
Within 1 year 158256842.15 233762914.62
1-2 years 27433214.80 3910580.71
2-3 years 3720896.59 341011.00
Over 3 years 1648720.84 1760719.07
3-4 years 357841.19
4-5 years 398320.84 152477.88
Over 5 years 1250400.00 1250400.00
Total 191059674.38 239775225.40
Page 183 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (2) Disclosure classified by the bad debt provision methods
Unit: RMB yuan
Closing balance Opening balance
Gross amount Allowance Gross amount Allowance
Allowa Allowa
Type Carrying Carrying
Percent nce Percent nce
Amount Amount amount Amount Amount amount
age percent age percent
age age
Accounts
receivable
for which
the
allowance 1250400. 125040 100.00 1250400. 125040 100.00
0.65%0.52%
s are 00 0.00 % 00 0.00 %
establishe
d
individuall
y
Of which:
Accounts
receivable
for which
the
allowance 1250400. 125040 100.00 1250400. 125040 100.00
0.65%0.52%
s are 00 0.00 % 00 0.00 %
establishe
d
individuall
y
Accounts
receivable
for which
the 18980927 99.35 355483 18625443 23852482 99.48 239966 23612515
1.87%1.01%
allowance 4.38 % 5.27 9.11 5.40 % 6.15 9.25
s are
establishe
d by group
Of which:
Accounts
receivable
for which 18980927 99.35 355483 18625443 23852482 99.48 239966 236125151.87% 1.01%
4.38%5.279.115.40%6.159.25
the
allowance
Page 184 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. s are
establishe
d by group
with
similar
credit risk
characteris
tics
Total 19105967 100.00 480523 18625443 23977522 100.00 365006 236125152.52% 1.52%
4.38%5.279.115.40%6.159.25
Accounts receivable for which the allowances are established individually:
Unit: RMB yuan
H1 2025 H1 2024
ECL Reason for
Gross amount Allowance Gross amount Allowance (%) allowance
Customer’s
inability to
Customer 1 641600.00 641600.00 641600.00 641600.00 100.00%
settle the
amount due
Customer’s
inability to
Customer 2 608800.00 608800.00 608800.00 608800.00 100.00%
settle the
amount due
Total 1250400.00 1250400.00 1250400.00 1250400.00
Accounts receivable for which the allowances are established by group with similar credit risk characteristics are as follows:
Unit: RMB yuan
Closing balance
Item
Gross amount Allowance Allowance percentage
Within 1 year (inclusive) 158256842.15 792723.62 0.50%
1-2 years (including 2 years) 27433214.80 724735.86 2.64%
2-3 years (including 3 years) 3720896.59 1639054.95 44.05%
3-4 years (including 4 years)
4-5 years (including 5 years) 398320.84 398320.84 100.00%
Over 5 years
Total 189809274.38 3554835.27
Basis for grouping：
Where allowances for doubtful accounts receivable are established using the general model of expected credit loss.□ Applicable□ Not applicable
Page 185 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. (3) Allowances established or reversed in the current period
Allowances in the current period:
Unit: RMB yuan
Opening Change in the current period
Type Closing balance
balance Provision Reversed Written off Others
Allowances for
doubtful
3650066.151155169.124805235.27
accounts
receivable
Total 3650066.15 1155169.12 4805235.27
As at 30 June 2025 the top five accounts receivable and contract assets were as follows:
Unit: RMB yuan
Total closing As a % of the Total closing
Closing balance of balance of
Closing balance of closing balance of
balance of
accounts accounts total accounts accountscontract assets
receivable receivable and receivable and receivable and
contract assets contract assets contract assets
Dongfang
76197562.0076197562.0035.12%
Precision (HK)
Dongfang
Precision 73358883.56 73358883.56 33.81%
(Netherland)
Customer 8 6935969.41 620000.00 7555969.41 3.48% 117873.12
Fosber Asia 5417400.44 5417400.44 2.50%
Customer 9 1003624.88 4143689.75 5147314.63 2.37% 118392.24
Total 162913440.29 4763689.75 167677130.04 77.28% 236265.36
2. Other receivables
Unit: RMB yuan
Item Closing balance Opening balance
Dividends receivable 189441700.97 184841125.30
Other receivables 306385002.67 319428138.72
Total 495826703.64 504269264.02
(1)Other receivables
1) Disclosure by nature
Unit: RMB yuan
Nature Closing gross amount Opening gross amount
Internal transactions with related parties 291447337.63 308429032.05
Page 186 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Prepaid service charges 1969123.92 1775693.02
Security deposits 1735000.57 1128327.05
Performance compensation 500000.00 500000.00
Employee loans and petty cash 1135209.38 1991026.87
Others 10753355.71 6759084.27
Total 307540027.21 320583163.26
2) Disclosure by the aging
Unit: RMB yuan
age of accounts 2025 2024
Within 1 year 35658905.87 69165030.40
1-2 years 128090945.11 158655504.15
2-3 years 97854087.50 67930684.05
Over 3 years 45936088.73 24831944.66
3-4 years 45463468.41 24323818.04
4-5 years 32670.06 62225.66
Over 5 years 439950.26 445900.96
Total 307540027.21 320583163.26
3) Disclosure classified by the allowances provision methods
Unit: RMB yuan
Closing balance Opening balance
Gross amount Allowance Gross amount Allowance
Allowa Allowa
Type Carrying Carrying
Percent nce Percent nce
Amount Amount amount Amount Amount amount
age percent age percent
age age
Of which:
allowances
are 307540 100.00 115502 30638500 32058316 100.00 115502 31942813
0.38%0.36%
established 027.21 % 4.54 2.67 3.26 % 4.54 8.72
by group
Of which:
allowances
are
established
by group 307540 100.00 115502 30638500 32058316 100.00 115502 31942813
0.38%0.36%
with similar 027.21 % 4.54 2.67 3.26 % 4.54 8.72
credit risk
characteristic
s
Page 187 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 307540100.001155023063850032058316100.0011550231942813
Total 0.38% 0.36%
027.21%4.542.673.26%4.548.72
Provision for allowance is made according to the general model of expected credit loss:
Unit: RMB yuan
Stage 1 Stage 2 Stage 3
Financial assets
Total
12-month ECL Lifetime ECL with creditimpairment
(lifetme ECL)
Opening and closing
balance 655024.54 500000.00 1155024.54
4) Allowances established or reversed in the current period
Allowances for doubtful other receivables in the current period:
Unit: RMB yuan
Opening Change in the current period
Type Closing balance
balance Provision Reversed Written off Others
Allowances for
doubtful other 1155024.54 1155024.54
receivables
Total 1155024.54 1155024.54
5) As at 30 June 2025 top 5 of other receivables are as follows:
Unit: RMB yuan
As a % of
Closing balance of
Nature 2025 Age total other allowance
receivables
Within 1 year;
Hainan Yineng Current account 166866700.44 1-2 years; 2-3 54.26%
years;3-4years
Within 1 year;
Tirua Aisa Current account 59411902.00 1-2 years; 2-3 19.32%
years;3-4years
Dongfang Within 1 year;
Digicom Current account 34103077.52 1-2 years; 2-3 11.09%
(Guangdong) years;3-4years
Dongfang Within 1 year;
Current account 12505992.07
Digicom 1-2 years; 2-3
4.07%
years;3-4years
Dongfang Within 1 year;
Precision Current account 8897949.59 1-2 years; 2.89%
(Netherland) 2-3years
Total 281785621.62 91.63%
Page 188 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 3. Long-term equity investments
Unit: RMB yuan
Closing balance Opening balance
Item Impairment Carrying Impairment Carrying
Gross amount Gross amount
allowance amount allowance amount
Investments
in 819220899.99 45303485.99 773917414.00 816228606.62 45303485.99 770925120.63
subsidiaries
Investments
in joint
ventures 105376042.64 105376042.64 106602462.51 106602462.51
and
associates
Total 924596942.63 45303485.99 879293456.64 922831069.13 45303485.99 877527583.14
(1) Investments in subsidiaries
Unit: RMB yuan
Change in the period
Opening Closing
Opening Additional Reduction Closing
balance impairment Change inin balance impairment
allowance otherinvestment investment allowance
equity
Dong Fang
Precision 1856010.0 1856010.0
(HK) 0 0
Limited
Dongfang
Precision 1602394.3 1602394.3
(Netherlan 0 0
d)
Guangdong
Fosber 11562065 1670165.9 11729082
Intelligent 5.41 0 1.31
Equipment
Suzhou
Shunyi 29655388 45303485. 3509062.5 30006295 45303485.Investment 9.02 99 0 1.52 99
Co. Ltd
Tirua
(Guangdon
g)
Intelligent 21940399. 22014274.
73875.00
Equipment 84 84
Manufactur
ing Co.Ltd.Dongfang
Digicom 4718918.7 4718918.7
Page 189 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Data 4 4
Technology
Co. Ltd.Dongfang
Digicom
Data 10916737. 11018589.
101852.47
Technology 27 74
(Guangdon
g) Co. Ltd.Hainan
Yineng 10344024 2637337.5 10607758
Investment 4.58 0 2.08
Co. Ltd.Tianjin
10000000.5000000.05000000.0
Hangchuan
0000
g
Wander 17380000 17380000
Digital 0.00 0.00
1197730.31197730.3
EDF
44
Yineng
Internation 29278141. 29278141.al Holdings 13 13
Co. Ltd
7709251245303485.5000000.07992293.37739174145303485.
Total
0.6399074.0099
(2) Investments in joint ventures and associates
Unit: RMB yuan
Change in the period
Return
on Adjust
Openi invest ment
ng Declar
Closin
Closin
g
Openi ment toAdditi Reduct Other ed Impair g
ng recogn other
impair
balanc onal ion in equity cash ment impair
ment ized compr Others balanc
e invest invest change divide allowa ment
allowa using ehensi e allowa
nce ment ment s nds or ncethe ve nce
profit
equity incom
metho e
d
Associates/joint ventures
Guang
dong
Jaten
8841488606
Robot 19156
913.6476.6
&2.98
53
Autom
ation
Co.Page 190 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Ltd.Nanjin
g
Profeta
Intellig 18187 - 16769
ent 548.8 1417 566.0
Techn 6 982.85 1
ology
Co.Ltd.
10660-10537
Total 2462. 1226 6042.
51419.8764
4. Operating revenue and costs
Unit: RMB yuan
H1 2025 H1 2024
Item
Revenue Costs Revenue Costs
Principal operations 147397112.58 93653394.93 174730275.81 98570978.05
Other operations 5925797.39 1056427.40 8346571.88 1567415.81
Total 153322909.97 94709822.33 183076847.69 100138393.86
Information related to the transaction price allocated to residual performance obligations:
At the end of the Reporting Period the amount of revenue corresponding to performance obligations that had been
contracted but not yet performed or fulfilled was RMB35877984.58 of which RMB35877984.58 is expected to be
recognized during 2025.
5. Investment income
Unit: RMB yuan
Item H1 2025 H1 2024
Income from long-term equity
-1226419.87-2158740.92
investments measured at equity method
Investment income generated from the
875016.30529048.11
disposal of long-term equity investment
Income from financial assets held for
146337046.02-3853122.25
trading
Cost method dividend 290092756.16
Total 436078398.61 -5482815.06
XIX Supplementary Information
1. Schedule of exceptional gains and losses in the current period
□Applicable □ Not applicable
Page 191 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Unit: RMB yuan
Amount
Gain or loss on disposal of non-current assets
(inclusive of impairment allowance write-offs) -308560.28
Government grants through profit or loss (Except
for government grants that are closely related to
normal business comply with national policies
and regulations enjoy according to the 10467732.86
recognition criteria and have a sustained impact
on profit and loss)
Profit or loss from changes in fair value of
financial assets and financial liabilities held by
non-financial enterprises and profit or loss from
disposal of financial assets and financial 156597226.73
liabilities except for effective hedging business
related to normal business operations
Non-operating income and expenses other than the
above 527205.94
Minus：Income tax effects 24962924.76
Non-controlling interests effects (net of tax) 1766016.43
Total 140554664.06
Other items that meet the definition of exceptional gain/loss:
□ Applicable□ Not applicable
No such cases for the Reporting Period.Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in the Explanatory Announcement No.
1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Gain/Loss Items:
□ Applicable□ Not applicable
2. Return on equity (ROE) and earnings per share (EPS)
EPS
Profit of the Reporting Period Weighted average ROE Diluted EPS (RMB
Basic EPS (RMB yuan/share)
yuan/share)
Net profit attributable to
ordinary shareholders of the 7.58% 0.33 0.33
Company
Net profit attributable to
ordinary shareholders of the
4.90%0.210.21
Company before exceptional
gains and losses
Page 192 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. 3. Accounting data differences under China’s Accounting Standards for Business Enterprises (CAS) and
International Financial Reporting Standards (IFRS) and foreign accounting standards
(1) Net profit and equity under CAS and IFRS
□Applicable□ Not applicable
(2) Net profit and equity under CAS and foreign accounting standards
□Applicable□ Not applicable
Page 193 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Part IX Other Reported Data
I. Status of Other Major Social Security Issues
Whether the listed company and its subsidiaries have any other major social security issues
□ Yes □ No□ Not applicable
Whether any administrative penalties imposed during the reporting period
□ Yes □ No□ Not applicable
II. Communications with the Investment Community such as Researches Inquiries and
Interviews
√ Applicable □ Not applicable
Main
discussions
Type of the and
Way of Index to the relevant
Date Place communication Communication party materials
communication information
party provided by
the
Company
Introduction
of the
Hongsite Assets Zhongyi Company's
Capital Hengying Fund operation
Qianhai Yunxi Fund Far competitive
East Horizon advantages
Company Meihua Venture Capital
industry
2025- Huishang Bank Deppon development cninfo.comConference Field Research Institutes
Room Securities Galaxy
trend and http://www.cninfo.com.cn
Securities Zhongtai future
Securities Guoling Assets strategic
Zhiyuan Investment planning
Dianrun Investment China and
Business News answering
investor
questions
Guotou Securities E Fund Introduction
Cinda Australia-Asia Fund of the
Zhengyuan Fund Minsheng Company's
Plus Silver Fund Huaan operation
2025- Online Online Fund Pengyang Fund competitive cninfo.com
Institutes
03-18 communication Tongtai Fund HT Capital advantagesMeeting http://www.cninfo.com.cnGuotou Securities Asset industry
Management Hongming development
Assets GF Fund Noah trend and
Fund Bosera Fund Hongyi future
Asset Management CITIC strategic
Page 194 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. Main
discussions
Type of the and
Way of Index to the relevant
Date Place communication Communication party materials
communication information
party provided by
the
Company
Securities AIA Life planning
Insurance Guoxin and
Securities Juzhou answering
Investment Dacheng Fund investor
China Asset Management questions
(ChinaAMC) Duoxin
Investment Harvest Fund
CCB PensionHongyi
Yuanfang Fund Baoying
Fund.CShenzhen New Fortune
Private Equity Investment
Fund Co. Ltd.Guangzhou Blue Ocean
Private Securities
Investment Fund
Management Co. Ltd.Shenzhen Hongzhou
Investment Management
Co. Ltd.Shenzhen Runyuan Private
Introduction
Securities Fund
of the
Management Co. Ltd.Company's
Shenzhen Hexin Private operation
Securities Fund competitive
Management Co. Ltd. advantages
Shenzhen Lianrun Oriental industry
Company
2025- Equity Investment Fund development cninfo.com
Conference Field Research Institutes
03-28 Management Co. Ltd. trend and
Room http://www.cninfo.com.cn
Guangzhou Shanyue future
Private Fund Management strategic
Co. Ltd. planning
Qingping Private Fund and
Management (Hainan) Co. answering
Ltd. investor
China Guangfa Bank Co. questions
Ltd.Chaoshang Investment Co.Ltd.Ruisheng International
Capital Limited
Yuemin Investment Private
Fund Management Co.Ltd.Northeast Securities Co.Ltd..Page 195 of 196Guangdong Dongfang Precision Science & Technology Co. Ltd. III. Fund transactions between listed companies and their controlling shareholders as well as
other related parties
□Applicable □ Not applicable
Unit: RMB’0000
Amount Amount
Name of
Nature of Opening Incurred in Repaid in Closing Interest Interest
Counter-
Transaction Balance Reporting Reporting Balance Income Expense
party
Period Period
Non-
Tirua Asia operational 5550.74 353.1 1.11 5902.73 51.99
Transactions
Dongfang Non-
Precision operational 764.32 125.47 0 889.79 0
(Netherland) Transactions
Non-
Shunyi
operational 683.76 12.38 696.14 0 12.38
Investment
Transactions
Non-
Yineng
operational 10279.7 49.88 1500 8829.58 49.78
Investment
Transactions
Non-
Dongfang
operational 1250.5 0 0 1250.5 0
Digicom
Transactions
Dongfang Non-
Precision operational 19.4 0 0 19.4 0
(HK) Transactions
Non-
Yineng
operational 208.69 463.77 349.99 322.47 13.49
International
Transactions
Dongfang Non-
Digicom(Gu operational 3397.59 0.67 0 3398.26 0
angdong) Transactions
Total -- 22154.7 1005.27 2547.24 20612.73 127.64 0
All counter-parties listed in this table are wholly-owned subsidiaries of the company. The non-operational fund
Decision-
transactions between the company and its wholly-owned subsidiaries as well as their affiliated enterprises are
Making
normal transaction funds and the internal approval procedures have been performed in accordance with the
Procedures
requirements of the company's internal control system.The aforementioned fund transactions of the company occur based on business needs and the security risks of the
Fund
funds are controllable. The company has established necessary approval processes in accordance with internal
Security
system requirements and relevant businesses must be approved by management personnel with corresponding
Safeguard
authority. The company's internal audit department and the accounting firm hired by the company will also
Measures
conduct audits on the aforementioned fund transactions to ensure fund security.Page 196 of 196
沪公网安备31011802005267号
