CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
CSG HOLDING CO. LTD.Financial Report of Semi-annual Report 2023
I. Report of the auditors
Whether the Semi-annual Report has been audited or not
□ Yes √ No
The Company's Semi-annual Report has not been audited.II. Financial statements
All amounts in the tables in the Notes to the Financial Statements are expressed in RMB.
1. Consolidated balance sheet
Prepared by: CSG Holding Co. Ltd.
30 June 2023
Unit: RMB
Item 30 June 2023 1 January 2023
Current assets：
Cash at bank and on hand 2659317147 4604607779
Notes receivable 731429485 156943437
Accounts receivable 1618049955 1179992784
Receivables Financing 830989703 1095412643
Advances to suppliers 230228115 183629823
Other receivables 193416864 193847322
Inventories 2118417593 1783941982
Non-current assets due within one year 80000000 20000000
Other current assets 138475480 108248545
Total current assets 8600324342 9326624315
Non-current assets：
Investment properties 290368105 290368105
Fixed assets 11986389945 11243236175
Construction in progress 2622639485 2520362291
Right-of-use assets 9589272 9908413
Intangible assets 2395648014 1438102666
Development expenditure 54503705 46755816
Goodwill 8593352 7897352
Long-term prepaid expenses 6568159 2647939
Deferred tax assets 166489256 161489749
Other non-current assets 1125121631 856620485
Total non-current assets 18665910924 16577388991
1CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Total assets 27266235266 25904013306
Current liabilities：
Short-term borrowings 384776205 345000000
Notes payable 1359373689 994557496
Accounts payable 3024632655 2033542627
Contract liabilities 342662579 418051975
Employee benefits payable 300681897 473616428
Taxes payable 150987570 161134638
Other payables 463757844 537065184
Including: interest payable 7275176 99945325
Current portion of non-current liabilities 1008414500 2481433006
Other current liabilities 89468648 50407240
Total current liabilities 7124755587 7494808594
Non-current liabilities：
Long-term borrowings 5228900581 4353589980
Lease liabilities 3648983 3564330
Long-term payables 109425563 129236878
Provisions 7569501
Deferred income 428796377 449875380
Deferred tax liabilities 92060465 97266841
Total non-current liabilities 5870401470 5033533409
Total liabilities 12995157057 12528342003
Shareholders’ equity：
Share capital 3070692107 3070692107
Capital surplus 596997085 596997085
Other comprehensive income 180891037 170860478
Special reserve 210519 731580
Surplus reserve 1228634001 1228634001
Undistributed profits 8676447235 7786968455
Total equity attributable to
1375387198412854883706
shareholders of parent company
Minority interests 517206225 520787597
Total shareholders' equity 14271078209 13375671303
Total liabilities and shareholders' equity 27266235266 25904013306
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
2CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
2. Balance sheet of the parent company
Prepared by: CSG Holding Co. Ltd.
30 June 2023
Unit: RMB
Item 30 June 2023 1 January 2023
Current assets：
Cash at bank and on hand 1523830141 2598503883
Notes receivable 10000000 49194385
Accounts receivable 35178427 23994936
Receivables Financing 10000000 123469960
Advances to suppliers 1295479 1571283
Other receivables 2749872404 2369431782
Including: Dividends receivable 129077200 375057800
Non-current assets due within one year 80000000 20000000
Total current assets 4410176451 5186166229
Non-current assets：
Long-term equity investments 8837769867 7838487027
Fixed assets 9000302 7876626
Intangible assets 7429274 5946174
Long-term prepaid expenses 570915 189806
Other non-current assets 4291162 83297124
Total non-current assets 8859061520 7935796757
TOTAL ASSETS 13269237971 13121962986
Current liabilities：
Short-term borrowings 100000000 200000000
Notes payable 217090273 19496400
Accounts payable 816708 661058
Contract liabilities 669 3097
Employee benefits payable 20410807 63906834
Taxes payable 4674019 15374554
Other payables 1996303479 2126409980
Including: interest payable 1712638 95445534
Current portion of non-current
6455860002332402522
liabilities
Other current liabilities 87 403
Total current liabilities 2984882042 4758254848
Non-current liabilities：
Long-term borrowings 1412091000 1231134000
Deferred income 171937500 172125000
Total non-current liabilities 1584028500 1403259000
Total liabilities 4568910542 6161513848
Shareholders’ equity：
Share capital 3070692107 3070692107
3CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Capital surplus 741824399 741824399
Surplus reserve 1243179361 1243179361
Undistributed profits 3644631562 1904753271
Total shareholders' equity 8700327429 6960449138
Total liabilities and shareholders' equity 13269237971 13121962986
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
3. Consolidated income statement
Prepared by: CSG Holding Co. Ltd.Unit: RMB
Item H1 2023 H1 2022
I. Total business income 8389340245 6519216676
Including: operating income 8389340245 6519216676
II. Total operating costs 7477912994 5480144295
Including: operating costs 6495395931 4637645927
Taxes and surcharges 76379004 61280622
Selling and distribution expenses 146856141 133906652
General and administrative expenses 340252772 318635812
Research and development expenses 346264501 265877930
Financial expenses 72764645 62797352
Including: interest expenses 113306203 91984604
Interest income 45500449 30756704
Add：Other Income 47203839 99302552
Investment income（Loss is listed with “-”） -4083180 16413695
Credit impairment loss（Loss is listed with “-”） -7601224 -1492222
Asset impairment loss（Loss is listed with “-”） 24908 1456
Income on disposal assets（Loss is listed with “-”） 53451 12745461
III. Operating profit（Loss is listed with “-”） 947025045 1166043323
Add: Non-operating revenue 9453333 15132978
Less: Non-operating expenses 486800 3660070
IV. Total profit（Loss is listed with “-”） 955991578 1177516231
Less: Income tax expenses 74094170 168925524
V. Net profit (Net loss is listed with “-”) 881897408 1008590707
（1）Classified by continuous operation:
1. Net income from continuing operations (Net loss is
8818974081008590707
listed with “-”)
2. Net income from discontinued operations (Net loss
is listed with “-”)
（2）Classified by equity ownership:
1.Attributable to shareholders of parent company 889478780 1001174398
2.Minority interests -7581372 7416309
VI. Other comprehensive income net after tax 10030559 6167540
4CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Other comprehensive income net after tax attributable
100305596167540
to shareholders of parent company
（1）Other comprehensive income not to be
reclassified into profit and loss
（2）Other comprehensive income to be reclassified
100305596167540
into profit and loss
1. Translation differences arising on translation of
100305596167540
foreign currency financial statement
Other comprehensive income net after tax attributable
to minority interests
VII. Total comprehensive income 891927967 1014758247
Total comprehensive income attributable to shareholders
of the parent company 899509339 1007341938
shareholders of parent company
Total comprehensive income attributable to minority
shareholders -7581372 7416309
minority interests
VIII. Earnings per share
（1）Basic earnings per share 0.29 0.33
（2）Diluted earnings per share 0.29 0.33
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
4. Income statement of the parent company
Prepared by: CSG Holding Co. Ltd.Unit: RMB
Item H1 2023 H1 2022
I. Operating income 219825718 230198412
Less: operating costs 15015892
Taxes and surcharges 1405865 1508969
Selling and distribution expenses 10326349 1500585
General and administrative expenses 137413753 158605939
Research and development expenses 290120
Financial expenses 15872574 54002083
Including: interest expenses 61444973 84259999
Interest income 41530076 28380771
Add：Other Income 3002974 5677313
Investment income（Loss is listed with “-”） 1682067333 665374823
Credit impairment loss（Loss is listed with “-”） 459771 -85084
Asset impairment loss（Loss is listed with “-”）
Income on disposal assets（Loss is listed with “-”） 2477876
II. Operating profit（Loss is listed with “-”） 1740047135 673009872
Add: Non-operating revenue 1770
Less: Non-operating expenses 170614 1459583
III. Total profit（Loss is listed with “-”） 1739878291 671550289
Less: Income tax expenses
5CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
IV. Net profit (Net loss is listed with “-”) 1739878291 671550289
（1）Net income from continuing operations (Net loss
1739878291671550289
is listed with “-”)
（2）Net income from discontinued operations(Net loss
is listed with “-”)
V. Other comprehensive income net after tax
VI. Total comprehensive income 1739878291 671550289
VII. Earnings per share
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
5. Consolidated statement of cash flows
Prepared by: CSG Holding Co. Ltd.Unit: RMB
Item H1 2023 H1 2022
I. Cash flows from operating activities：
Cash received from sales of goods or rendering of services 8167102471 6933269669
Refund of taxes and surcharges 129649279 209272049
Cash received relating to other operating activities 235147053 87236568
Sub-total of cash inflows from operating activities 8531898803 7229778286
Cash paid for goods and services 6164275159 4720858626
Cash paid to and on behalf of employees 1161324786 967549535
Payments of taxes and surcharges 481706537 434697790
Cash paid relating to other operating activities 206165136 203869214
Sub-total of cash outflows from operating activities 8013471618 6326975165
Net cash flows from/(used in) operating activities 518427185 902803121
II. Cash flows from investing activities：
Cash received from returns on investments 20000000 1988760000
Cash received from returns on invest income 775676 15609996
Net cash received from disposal of fixed assets intangible
17674713563172
assets and other long-term assets
Cash received relating to other investing activities 32629490
Sub-total of cash inflows from operating activities 53581913 2017933168
Cash paid to acquire fixed assets intangible assets and other
17149497651632778700
long-term asset
Cash paid to acquire investments 20000000 2198160000
Net cash paid to acquire subsidiaries and other business units 696000
Cash paid relating to other investing activities 19138102
Sub-total of cash outflows from operating activities 1735645765 3850076802
Net cash flows (used in)/from investing activities -1682063852 -1832143634
III. Cash flows from financing activities：
Cash received from investors 4000000
Including: Cash received from absorbing minority
shareholders’ 4000000
investment by subsidiaries
Cash received from borrowings 1792403638 2277155766
6CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Cash received relating to other financing activities 12000000 206753
Sub-total of cash inflows from operating activities 1808403638 2277362519
Cash repayments of borrowings 2351598051 428340521
Cash payments for interest expenses and distribution of
227681798791223957
dividends or profits
Cash payments relating to other financing activities 23054274 24165012
Sub-total of cash outflows from operating activities 2602334123 1243729490
Net cash flows (used in)/from financing activities -793930485 1033633029
IV. Effect of foreign exchange rate changes on cash 2809041 3195681
V. Net increase/(decrease) in cash and cash equivalents -1954758111 107488197
Add: Cash and cash equivalents at beginning of period 4594018251 2756477572
VI. Cash and cash equivalents at end of period 2639260140 2863965769
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
7CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
6. Statement of cash flows of the parent company
Prepared by: CSG Holding Co. Ltd.Unit: RMB
Item H1 2023 H1 2022
I. Cash flows from operating activities：
Cash received from sales of goods or rendering of services 346331261 191082575
Cash received relating to other operating activities 207913289 39349241
Sub-total of cash inflows from operating activities 554244550 230431816
Cash paid for goods and services 59456484
Cash paid to and on behalf of employees 182805295 179110652
Payments of taxes and surcharges 22354669 7463566
Cash paid relating to other operating activities 17475295 16953909
Sub-total of cash outflows 282091743 203528127
Net cash flows from/(used in) operating activities 272152807 26903689
II. Cash flows from investing activities：
Cash received from returns on investments 20000000 1988760000
Cash received from returns on invest income 1931308828 664571124
Net cash received from disposal of fixed assets intangible
20002477876
assets and other long-term assets
Sub-total of cash inflows 1951310828 2655809000
Cash paid to acquire fixed assets intangible assets and other
57759843611833
long-term assets
Cash paid to acquire investments 999282840 2835444015
Sub-total of cash outflows 1005058824 2839055848
Net cash flows (used in)/from investing activities 946252004 -183246848
III. Cash flows from financing activities：
Cash received from borrowings 610000000 900000000
Cash received relating to other financing activities 379666653
Sub-total of cash inflows 610000000 1279666653
Cash repayments of borrowings 2216543000 310000000
Cash payments for interest expenses and distribution of
154494391756638060
dividends or profits
Cash paid relating to other financing activities 532071876 1017256
Sub-total of cash outflows 2903109267 1067655316
Net cash flows (used in)/from financing activities -2293109267 212011337
IV. Effect of foreign exchange rate changes on cash 18222 1808472
V. Net increase/(decrease) in cash and cash equivalents -1074686234 57476650
Add: Cash and cash equivalents at beginning of period 2595003883 1960395527
VI. Cash and cash equivalents at end of period 1520317649 2017872177
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang
Wenxin
8CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
7. Consolidated statement of changes in owner's equity
Prepared by: CSG Holding Co. Ltd.H1 2023
Unit: RMB
H1 2023
Equity attributable to shareholders of parent company
Item Total
Other Minority
Capital Special Undistributed shareholders' interests
Share capital comprehensive Surplus reserve Sub-total
surplus reserve profits equity
income
I. Balance at the end of the last year 3070692107 596997085 170860478 731580 1228634001 7786968455 12854883706 520787597 13375671303
II. Balance at the beginning of the
3070692107596997085170860478731580122863400177869684551285488370652078759713375671303
period
III. Movements for the period
10030559-521061889478780898988278-3581372895406906
(Decrease is listed with “-”)
（1）Total comprehensive income 10030559 889478780 899509339 -7581372 891927967
（2）Capital increase or decrease
40000004000000
from shareholder
1． Ordinary shares contributed by
40000004000000
the owner
（3）Profit distribution
（4）Internal carry-forward of
owners' equity
（5）Special reserve -521061 -521061 -521061
1．Special reserve appropriate 5038984 5038984 5038984
2．Special reserve used 5560045 5560045 5560045
（6）Others
IV. Balance at the end of the period 3070692107 596997085 180891037 210519 1228634001 8676447235 13753871984 517206225 14271078209
9CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
7. Consolidated statement of changes in owner's equity（Continued）
Prepared by: CSG Holding Co. Ltd.H1 2022
Unit: RMB
H1 2022
Equity attributable to shareholders of parent company
Item Total
Other Minority
Capital Special Surplus Undistributed shareholders'
Share capital comprehensive Sub-total
interests
surplus reserve reserve profits equity
income
I. Balance at the end of the last year 3070692107 596997085 159200530 7296397 1144887510 6450587417 11429661046 436813189 11866474235
II. Balance at the beginning of the
30706921075969970851592005307296397114488751064505874171142966104643681318911866474235
period
III. Movements for the period
6167540-54436943870359773877598237416309395176132
(Decrease is listed with “-”)
（1）Total comprehensive income 6167540 1001174398 1007341938 7416309 1014758247
（2）Capital increase or decrease
from shareholder
（3）Profit distribution -614138421 -614138421 -614138421
1．Distributed to owners (or
-614138421-614138421-614138421
shareholders)
（4）Internal carry-forward of
owners' equity
（5）Special reserve -5443694 -5443694 -5443694
1．Special reserve appropriate 4853948 4853948 4853948
2．Special reserve used 10297642 10297642 10297642
（5）Others
IV. Balance at the end of the period 3070692107 596997085 165368070 1852703 1144887510 6837623394 11817420869 444229498 12261650367
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang Wenxin
10CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
8. Statement of changes in owners' equity of the parent company
Prepared by: CSG Holding Co. Ltd.H1 2023
Unit: RMB
H1 2023
Item Total shareholders'
Share capital Capital surplus Surplus reserve Undistributed profits
equity
I. Balance at the end of the last year 3070692107 741824399 1243179361 1904753271 6960449138
II. Balance at the beginning of the period 3070692107 741824399 1243179361 1904753271 6960449138
III. Movements for the period (Decrease is listed with
17398782911739878291
“-”)
（1）Total comprehensive income 1739878291 1739878291
（2）Capital increase or decrease from shareholder
（3）Profit distribution
（4）Internal carry-forward of owners' equity
（5）Special reserve
（6）Others
IV. Balance at the end of the period 3070692107 741824399 1243179361 3644631562 8700327429
11CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
8. Statement of changes in owners' equity of the parent company（Continued）
Prepared by: CSG Holding Co. Ltd.H1 2022
Unit: RMB
H1 2022
Item Total shareholders'
Share capital Capital surplus Surplus reserve Undistributed profits
equity
I. Balance at the end of the last year 3070692107 741824399 1159432870 1765173270 6737122646
II. Balance at the beginning of the period 3070692107 741824399 1159432870 1765173270 6737122646
III. Movements for the period (Decrease is listed with
5741186857411868
“-”)
（1）Total comprehensive income 671550289 671550289
（2）Capital increase or decrease from shareholder
（3）Profit distribution -614138421 -614138421
1．Distributed to owners (or shareholders) -614138421 -614138421
（4）Internal carry-forward of owners' equity
（5）Special reserve
（6）Others
IV. Balance at the end of the period 3070692107 741824399 1159432870 1822585138 6794534514
Legal representative: Chen Lin Principal in charge of accounting: Wang Wenxin Head of accounting department: Wang Wenxin
12CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
III、GENERAL INFORMATION
CSG Holding Co. Ltd. (the “Company”) was incorporated in September 1984 known as China South Glass Company as a joint
venture enterprise by Hong Kong China Merchants Shipping Co.LTD (香港招商局轮船股份有限公司) Shenzhen Building
Materials Industry Corporation (深圳建筑材料工业集团公司) China North Industries Corporation (中国北方工业深圳公司)
and Guangdong International Trust and Investment Corporation (广东国际信托投资公司). The Company was registered in
Shenzhen Guangdong Province of the People's Republic of China and its headquarters is located in Shenzhen Guangdong
Province of the People's Republic of China. The Company issued RMB-denominated ordinary shares (“A-share”) and foreign
shares (“B-share”) publicly in October 1991 and January 1992 respectively and was listed on Shenzhen Stock Exchange on
February 1992. As at 30 June 2023 the registered capital was RMB3070692107 with nominal value of RMB1 per share.The Company and its subsidiaries (collectively referred to as the “Group”) are mainly engaged in the manufacture and sales of flat
glass specialised glass engineering glass energy saving glass silicon related materials polycrystalline silicon and solar
components and electronic-grade display device glass and the construction and operation of photovoltaic plant etc.The financial statements were authorised for issue by the Board of Directors on 25 August 2023.Details on the majors subsidiaries included in the consolidated scope in current year were stated in Note.IV、BASIS OF PREPARATION OF FINANCIAL STATEMENTS
1、Basis of preparation of financial statements
The financial statements are prepared in accordance with the Accounting Standards for Business Enterprises - Basic Standard and
the specific accounting standards and other relevant regulations issued by the Ministry of Finance on 15 February 2006 and in
subsequent periods (hereafter collectively referred to as “the Accounting Standard for Business Enterprises” or “CAS”) and
Information Disclosure Rule No. 15 for Companies with Public Traded Securities - Financial Reporting General Provision issued
by China Security Regulatory Commission.
2、Going concern
The present financial report has been prepared on the basis of going concern assumptions.V、SIGNIFICANT ACCOUNTING POLICIES AND ACCOUNTING ESTIMATES
The Group determines its specific accounting policies and accounting estimates to manufacturing and operation feature. It mainly
reflected in expected credit impairment losses of receivables was measured inventory costing method Depreciation of fixed assets
and amortization of intangible assets criteria for determining capitalised development expenditure and timing for revenue
recognition.Please see the key judgements adopted by the Group in applying important accounting policies.
13CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
1、Statement of compliance with the Accounting Standards for Business Enterprises
The financial statements of the Company for the six months ended 30 June 2023 are in compliance with the Accounting Standards
for Business Enterprises and truly and completely present the financial position of the consolidated and the Company as at 30
June 2023 and their financial performance cash flows for the six months then ended.
2、Accounting year
The Company’s accounting year starts on 1 January and ends on 31 December.
3、Operating cycle
The Company’s operating cycle starts on 1 January and ends on 31 December.
4、Recording currency
The recording currency is Renminbi (RMB).
5、Accounting treatment of business combinations under the common control and under non- common
control
(a) Business combinations involving enterprises under common control
The consideration paid and net assets obtained by the absorbing party in a business combination are measured at book value. If the
merged party was acquired by the ultimate controlling party from a third party in the previous year the assets and liabilities of the
merged party (including the goodwill formed by the ultimate controlling party’s acquisition of the merged party). The difference
between book value of the net assets obtained from the combination and book value of the consideration paid for the combination
is treated as an adjustment to capital surplus (share premium). If the capital surplus (share premium) is not sufficient to absorb the
difference the remaining balance is adjusted against retained earnings. Costs directly attributable to the combination are included
in profit or loss in the period in which they are incurred. Transaction costs associated with the issue of equity or debt securities for
the business combination are included in the initially recognised amounts of the equity or debt securities.(b) Business combinations involving enterprises under non-common control
The cost of combination and identifiable net assets obtained by the acquirer in a business combination are measured at fair value at
the acquisition date. Where the cost of the combination exceeds the acquirer’s interest in the fair value of the acquiree’s
identifiable net assets the difference is recognised as goodwill; where the cost of combination is lower than the acquirer’s interest
in the fair value of the acquiree’s identifiable net assets the difference is recognised in profit or loss for the current period. Costs
directly attributable to the combination are included in profit or loss in the period in which they are incurred. Transaction costs
associated with the issue of equity or debt securities for the business combination are included in the initially recognised amounts
of the equity or debt securities.
6、Methodology for the preparation of consolidated financial statement
The consolidated financial statements comprise the financial statements of the Company and all of its subsidiaries.
14CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Subsidiaries are consolidated from the date on which the Group obtains control and are de-consolidated from the date that such
control ceases. For a subsidiary that is acquired in a business combination involving enterprises under common control it is
included in the consolidated financial statements from the date when it together with the Company comes under common control
of the ultimate controlling party. The portion of the net profits realised before the combination date is presented separately in the
consolidated income statement.In preparing the consolidated financial statements where the accounting policies and the accounting periods of the Company and
subsidiaries are inconsistent the financial statements of the subsidiaries are adjusted in accordance with the accounting policies
and the accounting period of the Company. For subsidiaries acquired from business combinations involving enterprises not under
common control the individual financial statements of the subsidiaries are adjusted based on the fair value of the identifiable net
assets at the acquisition date.All significant intra-group balances transactions and unrealised profits are eliminated in the consolidated financial statements. The
portion of subsidiaries’ equity and the portion of a subsidiaries’ net profits and losses and comprehensive incomes for the period
not attributable to Company are recognised as minority interests and presented separately in the consolidated financial statements
under equity net profits and total comprehensive income respectively. Unrealised profits and losses resulting from the sales of
assets by the Company to its subsidiaries are fully eliminated against net profit attributable to shareholders of the parent company.Unrealised profits and losses resulting from the sales of assets by a subsidiary to the Company are eliminated and allocated
between net profit attributable to shareholders of the parent company and non-controlling interests in accordance with the
allocation proportion of the parent company in the subsidiary. Unrealised profits and losses resulting from the sales of assets by
one subsidiary to another are eliminated and allocated between net profit attributable to shareholders of the parent company and
non-controlling interests in accordance with the allocation proportion of the parent in the subsidiary.After the control over the subsidiary has been gained whole or partial minority equities of the subsidiary owned by minority
shareholders are acquired from the subsidiary’s minority shareholders. In the consolidated financial statements the subsidiary's
assets and liabilities are reflected with amount based on continuous calculation starting from the acquisition date or consolidation
date. Capital surplus is adjusted according to the difference between newly increased long-term equity investment arising from
acquisition of minority equity and the share of net assets calculated based on current shareholding ratio that the parent company is
entitled to. The share is subject to continuous calculation starting from the acquisition date or consolidation date. If the capital
surplus (capital premium or share capital premium) is not sufficient to absorb the difference the remaining balance is adjusted
against retained earnings.If the accounting treatment of a transaction which considers the Group as an accounting entity is different from that considers the
Company or its subsidiaries as an accounting entity it is adjusted from the perspective of the Group.
7、Standards for determining cash and cash equivalents
Cash and cash equivalents refer to cash in hand deposits that can be used for payment at any time and investments with short
holding periods strong liquidity easy conversion into known amounts of cash and low risk of value changes.
8、Foreign currency transactions and translation of foreign currency statement
(a) Foreign currency transaction
Foreign currency transactions are translated into RMB using the exchange rates prevailing at the dates of the transactions.
15CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
On the balance sheet date monetary items denominated in foreign currencies are translated into RMB using the spot exchange
rates on the balance sheet date. Exchange differences arising from these translations are recognised in profit or loss or other
comprehensive income for the current period except for those attributable to foreign currency borrowings that have been taken out
specifically for the acquisition or construction of qualifying assets which are capitalised as part of the cost of those assets. Non-
monetary items denominated in foreign currencies that are measured at historical costs are translated at the balance sheet date
using the spot exchange rates at the date of the transactions. The effect of exchange rate changes on cash is presented separately in
the cash flow statement.(b) Translation of foreign currency financial statements
The asset and liability items in the balance sheets for overseas operations are translated at the spot exchange rates on the balance
sheet date. Among the shareholders’ equity items the items other than “undistributed profits” are translated at the spot exchange
rates of the transaction dates. The income and expense items in the income statements of overseas operations are translated at the
spot exchange rates of the transaction dates. The differences arising from the above translation are presented separately in other
comprehensive income items in the shareholders’ equity. The cash flows of overseas operations are translated at the spot exchange
rates on the dates of the cash flows. The effect of exchange rate changes on cash is presented separately in the cash flow statement.
9、Financial instrument
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity
instrument of another entity. A financial asset or a financial liability is recognised when the Group becomes a party to the
contractual provisions of the instrument.(a) Financial assets
(i) Classification and measurement
Based on the business model for managing the financial assets and the contractual cash flow characteristics of the
financial assets financial assets are classified as: (1) financial assets at amortised cost; (2) financial assets at fair value through
other comprehensive income; (3) financial assets at fair value through profit or loss.The financial assets are measured at fair value at initial recognition. Related transaction costs that are attributable to the
acquisition of the financial assets are included in the initially recognised amounts except for the financial assets at fair value
through profit or loss the related transaction costs of which are recognised directly in profit or loss for the current period.Accounts receivable or notes receivable arising from sales of products or rendering of services (excluding or without
regard to significant financing components) are initially recognised at the consideration that is entitled to be charged by
the Group as expected.Debt instruments
The debt instruments held by the Group refer to the instruments that meet the definition of financial liabilities from the
perspective of the issuer and are measured in the following ways.Measured at amortised cost
16CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
The objective of the Group's business model is to hold the financial assets to collect the contractual cash flows and
the contractual cash flow characteristics are consistent with a basic lending arrangement which gives rise on specified dates
to the contractual cash flows that are solely payments of principal and interest on the principal amount outstanding. The interest
income of such financial assets is recognised using the effective interest method. Such financial assets mainly include cash at
bank and on hand accounts receivable other receivables debt investments and long-term receivables. The Group presents debt
investments and long-term receivables maturing within one year (inclusive) from the balance sheet date as non-current assets
maturing within one year; Debt investments with a maturity of one year (inclusive) at the time of acquisition are listed as other
current assets.Financial assets at fair value through other comprehensive income:
The objective of the Group's business model is to hold the financial assets to collect the contractual cash flows and selling as
target and the contractual cash flow characteristics are consistent with a basic lending arrangement. Such financial assets
are measured at fair value and their changes are included in other comprehensive income but impairment losses or gains
exchange gains and losses and interest income calculated by the effective interest rate method are all included in the current profit
and loss. Such financial assets mainly comprise receivable financing and other financial debt investment. Other financial debt
investment that are due within one year (inclusive) as from the balance sheet date are included in the current portion as other
current assets.Measured at fair value through profit or loss:
Debt instruments held by the Group that are not divided into those at amortised cost or those measured at fair value through
other comprehensive income are measured at fair value through profit or loss and included in financial assets held for
trading. At initial recognition the Group designates a portion of financial assets as at fair value through profit or loss to
eliminate or significantly reduce an accounting mismatch. Financial assets that are due within one year (inclusive) as from
the balance sheet date and are expected to be held over one year are included in other non-current financial assets.Equity instruments
Investments in equity instruments over which the Group has no control joint control or significant influence are measured
at fair value through profit or loss under financial assets held for trading; investments in equity instruments expected to
be held over one year as from the balance sheet date are included in other non-current financial assets.In addition a portion of certain investments in equity instruments not held for trading are designated as financial assets at fair
value through other comprehensive income under other investments in equity instruments. The relevant dividend income
of such financial assets is recognised in profit or loss for the current period.(ii) Impairment
The Group confirms the loss provision based on expected credit losses for financial assets measured at amortised cost debt
instrument investments at fair value through other comprehensive income and financial guarantee contracts based on expected
credit losses (ECL) and recognizes allowances for losses.Giving consideration to reasonable and supportable information on past events current conditions and forecasts of future
economic conditions as well as the default risk weight the expected credit loss was confirmed.
17CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
On each balance sheet date the expected credit losses of financial instruments at different stages are measured
respectively. 12-month ECL provision is recognised for financial instruments in Stage 1 that have not had a significant
increase in credit risk since initial recognition; lifetime ECL provision is recognised for financial instruments in Stage 2
that have had a significant increase in credit risk yet without credit impairment since initial recognition; and lifetime ECL
provision is recognised for financial instruments in Stage 3 that have had credit impairment since initial recognition.For the financial instruments with lower credit risk on the balance sheet date the Group assumes there is no significant
increase in credit risk since initial recognition and recognises the 12-month ECL provision.For the financial instruments in Stage 1 Stage 2 and with lower credit risk the Group calculates the interest income by applying
the effective interest rate to the gross carrying amount (before deduction of the impairment provision). For the financial
instrument in Stage 3 the interest income is calculated by applying the effective interest rate to the amortised cost (after
deduction of the impairment provision from the gross carrying amount).For notes and accounts receivables and factoring receivables arising from daily business activities such as selling commodities
and providing labor services the Group recognises the lifetime expected credit loss provision regardless of whether there
exists a significant financing component.In case the expected credit losses of an individually assessed financial asset cannot be evaluated with reasonable cost the Group
divides the receivables into certain groupings based on credit risk characteristics and calculates the expected credit losses
for the groupings. Basis for determined groupings and method for provision are as follows:
Class Item Method
Notes receivables Portfolio 1 Bank acceptance Notes Expected credit loss method
Notes receivables Portfolio 2 Trade acceptance Notes Expected credit loss method
Accounts receivables Portfolio 1 Receivables non-related third party Expected credit loss method
Accounts receivables Portfolio 2 Receivables related party Expected credit loss method
Receivables Financing Portfolio 1 Bank acceptance Notes Expected credit loss method
Other receivables Portfolio 1 Receivables non-related third party Expected credit loss method
Other receivables Portfolio 2 Receivables related party Expected credit loss method
For notes and accounts receivables and receivable financing arising from daily business activities such as selling commodities and
providing labor services the Group refers to historical credit loss experience combined with current conditions and predictions of
future economic conditions. In addition to notes receivable factoring receivables and other receivables classified as a combination
the Group refers to historical credit loss experience combines current conditions and predictions of future economic conditions
and passes default risk exposure and future 12 The expected credit loss rate within a month or the entire duration is calculated as
the expected credit loss.The Group recognises the loss provision made or reversed into profit or loss for the current period. For debt instruments that are
held at fair value and whose changes are included in other comprehensive income the Group adjusts other comprehensive income
while accounting for impairment losses or gains in the current profit or loss.(iii) Derecognition
18CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
A financial asset is derecognised when any of the below criteria is met: (1) the contractual rights to receive the cash flows from
the financial asset expire; (2) the financial asset has been transferred and the Group transfers substantially all the risks and
rewards of ownership of the financial asset to the transferee; or (3) the financial asset has been transferred and the
Group has not retained control of the financial asset although the Group neither transfers nor retains substantially all the risks
and rewards of ownership of the financial asset.(b) Financial liabilities
Financial liabilities are classified as financial liabilities at amortised cost and financial liabilities at fair value through profit or loss
at initial recognition.The Group's financial liabilities are mainly comprise financial liabilities at amortised cost including bills payable accounts
payable and other payables. This type of financial liability is initially measured at its fair value after deducting transaction costs
and is subsequently measured using the actual interest rate method. If the maturity is less than one year (including one year) it is
listed as current liabilities; Those with a maturity of less than one year (including one year) are listed as current liabilities; those
with a maturity of more than one year but due within one year (including one year) from the balance sheet date are listed as non-
current liabilities due within one year. The rest are listed as non-current liabilities.A financial liability is derecognised or partly derecognised when the underlying present obligation is discharged or partly
discharged. The difference between the carrying amount of the derecognised part of the financial liability and the consideration
paid is recognised in profit or loss for the current period.(c) Determination of fair value of financial instruments
The fair value of a financial instrument that is traded in an active market is determined at the quoted price in the active
market. The fair value of a financial instrument that is not traded in an active market is determined by using a valuation
technique. In valuation the Group adopts valuation techniques applicable in the current situation and supported by adequate
available data and other information selects inputs with the same characteristics as those of assets or liabilities
considered in relevant transactions of assets or liabilities by market participants and gives priority to the use of relevant
observable inputs. When relevant observable inputs are not available or feasible unobservable inputs are adopted.
10、Inventories
(a) Classification
Inventories refer to manufacturing sector including raw materials work in progress finished goods and turnover materials and
are measured at the lower of cost and net realisable value.(b) Issued Inventory costing method
Cost is determined using the weighted average method. The cost of finished goods and work in progress comprise raw materials
direct labour and systematically allocated production overhead based on the normal production capacity.(c) Amortisation methods of low value consumables and packaging materials
Turnover materials include low value consumables and packaging materials which are expensed when issued.(d)The determination of net realisable value and the method of provision for decline in the value of inventories
19CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Provision for decline in the value of inventories is determined at the excess amount of book values of the inventories over their net
realisable value. Net realisable 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.(e) The Group adopts the perpetual inventory system.
11、Assets classified as held for sale
A non-current asset or a disposal group is classified as held for sale when all of the following conditions are satisfied: (1) the non-
current asset or the disposal group is available for immediate sale in its present condition subject to terms that are traditionally and
customary for sales; (2) the Group has made a resolution and obtained appropriate approval for disposal of the non-current asset or
the disposal group and the transfer is to be completed within one year.Non-current assets (except for financial assets investment properties at fair value and deferred tax assets) that meet the recognition
criteria for held for sale are recognised at the amount equal to the lower of the fair value less costs to sell and book value. The
difference between fair value less costs to sell and carrying amount should be presented as impairment loss.Such non-current assets and assets included in disposal groups as classified as held for sale are accounted for as current assets;
while liabilities included in disposal groups classified as held for sale are accounted for as current liabilities and are presented
separately in the balance sheet.A discontinued operation is a component of the Group that either has been disposed of or is classified as held for sale and is
separately identifiable operationally and for financial reporting purposes and satisfies one of the following conditions: (1)
represents a separate major line of business or geographical area of operations; (2) is part of a single coordinated plan to dispose of
a separate major line of business or geographical area of operations; and (3) is a subsidiary acquired exclusively with a view to
resale.The discontinued operation profits on income statement presentation have included the profits and loss of operation and disposal.
12、Long-term equity investments
Long-term equity investments comprise the Company’s long-term equity investments in its subsidiaries and the Group’s long-
term equity investments in its associates.Subsidiaries are the investees over which the Company is able to exercise control. Associates are the investees that the Group has
significant influence on their financial and operating policies.Investments in subsidiaries are measured using the cost method in the Company’s financial statements and adjusted by using the
equity method when preparing the consolidated financial statements. Investments in associates are accounted for using the equity
method.(a) Initial recognition of investment cost
For long-term equity investments formed in business combination: when obtained from business combinations involving entities
under common control the long-term equity investment is stated at carrying amount of equity for the combined parties at the time
20CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
of merger; when the long-term equity investment obtained from business combinations involving entities not under common
control the investment is measured at combination cost.For long-term equity investments not formed in business combination: the one paid by cash is initially measured at actual purchase
price; the long-term investment obtained by issuing equity securities is stated at fair value of equity securities as initial investment
cost.(b)Subsequent measurement and recognition of related profit or loss
For long-term equity investments accounted for using the cost method they are measured at the initial investment costs and cash
dividends or profit distribution declared by the investees are recognised as investment income in profit or loss.For long-term equity investments accounted for using the equity method where the initial investment cost of a long-term equity
investment exceeds the Group’s share of the fair value of the investee’s identifiable net assets at the acquisition date the long-term
equity investment is measured at the initial investment cost; where the initial investment cost is less than the Group’s share of the
fair value of the investee’s identifiable net assets at the acquisition date the difference is included in profit or loss and the cost of
the long-term equity investment is adjusted upwards accordingly.Under the equity method the Group recognises the investment income according to its share of net profit or loss of the investee.The Group discontinues recognising its share of the net losses of an investee after book values of the long-term equity investment
together with any long-term interests that in substance form part of the investor’s net investment in the investee are reduced to zero.However if the Group has obligations for additional losses and the criteria with respect to recognition of provisions under the
accounting standards on contingencies are satisfied the Group continues recognising the investment losses and the provisions. For
changes in owners’ equity of the investee other than those arising from its net profit or loss its proportionate share is directly
recorded into capital surplus provided that the proportion of the shareholding of the Group in the investee remains unchanged.Book value of the investment is reduced by the Group’s share of the profit distribution or cash dividends declared by an investee.The unrealised profits or losses arising from the intra-group transactions amongst the Group and its investees are eliminated in
proportion to the Group’s equity interest in the investees and then based on which the investment gains or losses are recognised.Any losses resulting from transactions between the Group and its investees attributable to asset impairment losses are not
eliminated.(c) Basis for determining existence of control jointly control or significant influence over investees
The term "control" refers to the power in the investees to obtain variable returns by participating in the related business activities
of the investees and the ability to affect the returns by exercising its power over the investees.The term "significant influence" refers to the power to participate in the formulation of financial and operating policies of an
enterprise but not the power to control or jointly control the formulation of such policies with other parties.(d) Impairment of long-term equity investments
Book value of long-term equity investments in subsidiaries and associates is reduced to the recoverable amount when the
recoverable amount is less than book value.
13、Investment property
Investment property includes leased land use rights land use rights held and provided for to transfer after appreciation and leased
building and construction.
21CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Investment properties are initially measured at acquisition cost. The cost of outsourcing Investment property includes the purchase
price relevant taxes and other expenditures that can be directly attributable to the asset; the cost of self-built Investment property
is determined by the construction of the asset. The composition of the necessary expenditures incurred before the usable state.Investment property adopts the fair value model for subsequent measurement without depreciation or amortization. On the balance
sheet date the book value of the investment properties are initially measured at acquisition cost is adjusted based on the fair value
of the investment properties are initially measured at acquisition cost. The difference between the fair value and the original book
value will be calculated into the current profit and loss.When the use of an Investment property is changed to self-use the investment property is converted into fixed assets or intangible
assets from the date of change and the book value and fair value of the fixed assets and intangible assets are determined based on
the fair value of the investment property on the conversion date. The difference with the original book value of the investment
property is included in the current profit and loss. When the purpose of self-use real estate is changed to earning rent or capital
appreciation from the date of change the fixed assets or intangible assets are converted into investment properties are initially
measured at acquisition cost and the fair value on the day of conversion is used as the book value of the investment properties are
initially measured at acquisition cost and the fair value on the day of conversion If the value is less than the original book value of
fixed assets and intangible assets the difference is included in the current profit and loss. If the fair value on the day of conversion
is greater than the original book value of fixed assets and intangible assets the difference is included in other comprehensive
income.When an investment property is disposed of or permanently withdrawn from use and it is expected that no economic benefits can
be obtained from its disposal the confirmation of the investment real estate shall be terminated. The disposal income from the sale
transfer scrapping or destruction of investment real estate shall deduct its book value and relevant taxes and shall be included in
the current profits and losses. If there is an amount included in other comprehensive income on the original conversion date it will
also be carried forward and included in the current profit and loss.
14、Fixed assets
（1）Recognition and initial measurement
Fixed assets comprise buildings machinery and equipment motor vehicles and others.Fixed assets are recognised when it is probable that the related economic benefits will probably flow to the Group and the costs
can be reliably measured. Fixed assets purchased or constructed by the Group are initially measured at cost at the acquisition date.Subsequent expenditures incurred for a fixed asset are included in the cost of the fixed asset when it is probable that the associated
economic benefits will flow to the Group and the related cost can be reliably measured. Book value of the replaced part is
derecognised. All the other subsequent expenditures are recognised in profit or loss in the period in which they are incurred.
（2）Depreciation methods
Fixed assets are depreciated using the life average method to allocate the cost of the assets to their estimated residual values over
their estimated useful lives. For the fixed assets that have been provided for impairment loss the related depreciation charge is
prospectively determined based upon the adjusted carrying amounts over their remaining useful lives.
22CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
The estimated useful lives the estimated net residual values expressed as a percentage of cost and the annual depreciation rates of
fixed assets are as follows:
Estimated net residual Annual depreciation
Type Depreciation methods Estimated useful lives
value rate
The life average
Buildings 20 to 35 years 5% 2.71% to 4.75%
method
Machinery and The life average
8 to 20 years 5% 4.75% to 11.88%
equipment method
Transportation and The life average
5 to 8 years 0% 12.50% to 20%
others method
The estimated useful life the estimated net residual value of a fixed asset and the depreciation method applied to the asset are
reviewed and adjusted as appropriate at each year-end.
（3）Book value of a fixed asset is reduced to the recoverable amount when the recoverable amount is
below book value.
（4）Disposal
A fixed asset is derecognised on disposal or when no future economic benefits are expected from its use or disposal. The amount
of proceeds from disposals on sale transfer retirement or damage of a fixed asset net of its carrying amount and related taxes and
expenses is recognised in profit or loss for the current period.
15、Construction in progress
Construction in progress is recorded at actual cost. Actual cost comprises construction cost installation cost borrowing costs
eligible for capitalised condition and necessary expenditures incurred for its intended use.Construction in progress is transferred to fixed assets when the assets are ready for their intended use and depreciation begins
from the following month.Book value of construction in progress is reduced to the recoverable amount when the recoverable amount is below book value.
16、Borrowing costs
The borrowing costs that are directly attributable to the acquisition and construction of an asset that needs a substantially long
period of time for its intended use commence to be capitalised and recorded as part of the cost of the asset when expenditures for
the asset and borrowing costs have been incurred and the activities relating to the acquisition and construction that are necessary
to prepare the asset for its intended use have commenced. The capitalisation of borrowing costs ceases when the asset under
acquisition or construction becomes ready for its intended use and the borrowing costs incurred thereafter are recognised in profit
or loss for the current period. Capitalisation of borrowing costs is suspended during periods in which the acquisition or
construction of a fixed asset is interrupted abnormally and the interruption lasts for more than 3 months until the acquisition or
construction is resumed.For the specific borrowings obtained for the acquisition or construction of an asset qualifying for capitalisation the amount of
borrowing costs eligible for capitalisation is determined by deducting any interest income earned from depositing the unused
23CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
specific borrowings in the banks or any investment income arising on the temporary investment of those borrowings during the
capitalisation period.For the general borrowings obtained for the acquisition or construction of an asset qualifying for capitalisation the amount of
borrowing costs eligible for capitalisation is determined by applying the weighted average effective interest rate of general
borrowings to the weighted average of the excess amount of cumulative expenditures on the asset over the amount of specific
borrowings. The effective interest rate is the rate at which the estimated future cash flows during the period of expected duration of
the borrowings or applicable shorter period are discounted to the initial amount of the borrowings.
17、Intangible assets
（1）Valuation method service life impairment test
Intangible assets mainly including land use rights patents and proprietary technologies exploitation rights and others are
measured at cost.(a) Land use rights
Land use rights are amortised on the straight-line basis over their approved use period of 30 to 70 years. If the acquisition costs of
the land use rights and the buildings located thereon cannot be reasonably allocated between the land use rights and the buildings
all of the acquisition costs are recognised as fixed assets.(b) Patents and proprietary technologies
Patents are amortised on a straight-line basis over the estimated use life.(c) Exploitation rights
Exploitation rights are amortised on a straight-line basis over permitted exploitation periods or the beneficial life on the
exploitation certificate.(d) Periodical review of useful life and amortisation method
For an intangible asset with a finite useful life review of its useful life and amortisation method is performed at each year-end
with adjustment made as appropriate.(e) Impairment of intangible assets
Book value of intangible assets is reduced to the recoverable amount when the recoverable amount is below book value.
（2）Internal Research and development expenditure accounting policy
The expenditure on an internal research and development project is classified into expenditure on the research phase and
expenditure on the development phase based on its nature and whether there is material uncertainty that the research and
development activities can form an intangible asset at end of the project.Expenditure on the research phase related to planned survey evaluation and selection for research on manufacturing technique is
recognised in profit or loss in the period in which it is incurred. Prior to mass production expenditure on the development phase
related to the design and testing phase in regards to the final application of manufacturing technique is capitalised only if all of the
following conditions are satisfied:
24CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
·the development of manufacturing technique has been fully demonstrated by technical team;
·management has approved the budget for the development of manufacturing technique;
·there are research and analysis of pre-market research explaining that products manufactured with such technique are capable of
marketing;
·There is sufficient technique and capital to support the development of manufacturing technology and subsequent mass
production; and the expenditure on manufacturing technology development can be reliably gathered.Other development expenditures that do not meet the conditions above are recognised in profit or loss in the period in which they
are incurred. Development costs previously recognised as expenses are not recognised as an asset in a subsequent period.Capitalised expenditure on the development phase is presented as development costs in the balance sheet and transferred to
intangible assets at the date that the asset is ready for its intended use.
18、Impairment of long-term assets
Fixed assets construction in progress intangible assets with finite useful lives and long-term equity investments in joint ventures
and associates are tested for impairment if there is any indication that the assets may be impaired on the balance sheet date;
intangible assets not ready for their intended use are tested at least annually for impairment irrespective of whether there is any
indication that they may be impaired. If the result of the impairment test indicates that the recoverable amount of an asset is less
than its carrying amount a provision for impairment and an impairment loss are recognised for the amount by which the asset’s
carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and
the present value of the future cash flows expected to be derived from the asset. Provision for asset impairment is determined and
recognised on the individual asset basis. If it is not possible to estimate the recoverable amount of an individual asset the
recoverable amount of a group of assets to which the asset belongs is determined. A group of assets is the smallest group of assets
that is able to generate independent cash inflows.Goodwill that is separately presented in the financial statements is tested at least annually for impairment irrespective of whether
there is any indication that it may be impaired. In conducting the test book value of goodwill is allocated to the related asset
groups or groups of asset groups which are expected to benefit from the synergies of the business combination. If the result of the
test indicates that the recoverable amount of an asset group or group of asset groups including the allocated goodwill is lower
than its book value the corresponding impairment loss is recognised. The impairment loss is first deducted from book value of
goodwill that is allocated to the asset group or group of asset groups and then deducted from book values of other assets within
the asset groups or groups of asset groups in proportion to book values of assets other than goodwill.Once the above asset impairment loss is recognised it will not be reversed for the value recovered in the subsequent periods.
19、Long-term prepaid expenses
Long-term prepaid expenses include the expenditures that have been incurred but should be recognised as expenses over more than
one year in the current and subsequent periods. Long-term prepaid expenses are amortised on the straight-line basis over the
expected beneficial period and are presented at actual expenditure net of accumulated amortisation.
25CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
20、Employee benefits
Employee benefits include short-term employee benefits post-employment benefits termination benefits and other long-term
employee benefits provided in various forms of consideration in exchange for service rendered by employees or compensations for
the termination of employment relationship.
（1）Short-term employee benefits
Short-term employee benefits include wages or salaries bonuses allowances and subsidies staff welfare medical care work
injury insurance maternity insurance housing funds labour union funds employee education funds and paid short-term leave etc.The employee benefit liabilities are recognised in the accounting period in which the service is rendered by the employees with a
corresponding charge to the profit or loss for the current period or the cost of relevant assets. Employee benefits which are non-
monetary benefits shall be measured at fair value.
（2）Post-employment benefits
The Group classifies post-employment benefit plans as either defined contribution plans or defined benefit plans. Defined
contribution plans are post-employment benefit plans under which the Group pays fixed contributions into a separate fund and will
have no obligation to pay further contributions; and defined benefit plans are post-employment benefit plans other than defined
contribution plans. During the reporting period the Group's post-employment benefits mainly include basic pensions and
unemployment insurance both of which belong to the defined contribution plans.
（3）Basic pensions
The Group’s employees participate in the basic pension plan set up and administered by local authorities of Ministry of Human
Resource and Social Security. Monthly payments of premiums on the basic pensions are calculated according to prescribed bases
and percentage by the relevant local authorities. When employees retire local labour and social security institutions have a duty to
pay the basic pension insurance to them. The amounts based on the above calculations are recognised as liabilities in the
accounting period in which the service has been rendered by the employees with a corresponding charge to the profit or loss for
the current period or the cost of relevant assets.
（4）Termination benefits
The Group provides compensation for terminating the employment relationship with employees before the end of the employment
contracts or as an offer to encourage employees to accept voluntary redundancy before the end of the employment contracts. The
Group recognises a liability arising from compensation for termination of the employment relationship with employees with a
corresponding charge to profit or loss at the earlier of the following dates: 1) when the Group cannot unilaterally withdraw the
offer of termination benefits because of an employment termination plan or a curtailment proposal; 2) when the Group recognises
costs or expenses related to the restructuring that involves the payment of termination benefits.The termination benefits expected to be paid within one year since the balance sheet date are classified as current liabilities.
26CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
21、Provisions
Business restructuring provisions for product warranties loss contracts etc. are recognised when the Group has a present
obligation it is probable that an outflow of economic benefits will be required to settle the obligation and the amount of the
obligation can be measured reliably.A provision is initially measured at the best estimate of the expenditure required to settle the related present obligation. Factors
surrounding a contingency such as the risks uncertainties and the time value of money are taken into account as a whole in
reaching the best estimate of a provision. Where the effect of the time value of money is material the best estimate is determined
by discounting the related future cash outflows. The increase in the discounted amount of the provision arising from passage of
time is recognised as interest expense.Book value of provision is reviewed at each balance sheet date and adjusted to reflect the current best estimate.The provisions expected to be paid within one year since the balance sheet date are classified as current liabilities.
22、Share-based payments
Share-based payments are divided into equity-settled and cash-settled payments. The term "equity-settled share-based payment"
refers to a transaction in which an enterprise grants shares or other equity instruments as a consideration in return for services.Equity-settled share-based payment The Group‘s stock option plan is the equity-settled share-based payment in exchange of
employees' services and is measured at the fair value of the equity instruments at grant date. The equity instruments are exercisable
after services in vesting period are completed or specified performance conditions are met. In the vesting period the services
obtained in current period are included in relevant cost and expenses at the fair value of the equity instruments at grant date based
on the best estimate of the number of exercisable equity instruments and capital surplus is increased accordingly. The Group
makes the best estimate of the number of vesting equity instruments based on the latest obtained changes in the number of vested
employees whether the required performance conditions are met and other follow-up information. If the subsequent information
indicates the number of exercisable equity instruments differs from the previous estimate an adjustment is made and on the
exercise date the estimate is revised to equal the number of actual vested equity instruments.In the period at which performance conditions and term of service are met the relevant cost and expenses of equity-settled
payment should be recognized and capital surplus is increased accordingly. Before the exercise date the accruing amounts of
equity-settled payments on balance sheet date reflect the part of expired waiting period and optimal estimation for the number of
the Company final vested equity instruments.If the non-market conditions and term of service are not met so that share-based payment fail to exercise the costs and expenses
on this portion should not be recognized. If the share-based payment agreement sets out the market conditions and term of non-
vesting as long as performance conditions and term of service are met it is should be regard as exercisable right no matter the
market conditions and non-vesting conditions are meet or not.If the terms of equity-settled payment are modified at least the service is confirmed in accordance with the unmodified terms. In
addition the increase of the fair value of the authorized equity instruments or the beneficial changes to the employees on the
modification date the increase of service are confirmed. If the equity-settled payment is cancelled the cancellation date shall be
deemed as an expedited exercise and the unconfirmed amount shall be confirmed immediately. If the employee or other party is
27CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
able to choose to meet the non-vesting conditions but not satisfied in the waiting period equity-settled payment should be
cancelled. But if a new equity instrument is granted and the new equity instrument is confirm to replace the old equity instrument
which is canceled in the authorization date of the new equity instrument the new equity instrument should be disposed by using
the same conditions and terms of the old equity instrument for modifications.
23、Revenue
The Group recognises revenue at the consideration that the Group is entitled to charge as expected when the Group has fulfilled
the performance obligations in the contract that is the customer obtains control over relevant goods or services.a. Sales of goods
The Group mainly sells flat and engineering glass products related to solar energy and electronic glass and displays. For domestic
sales the Group delivers the products to a certain place specified in the contract. When the buyer takes over the goods the Group
recognises revenue. For export sales the Group recognises the revenue when it finished clearing goods for export and deliver the
goods on board the vessel or when the goods are delivered to a certain place specified in the contract. The credit period granted by
the Group to customers is determined based on the customer's credit risk characteristics consistent with industry practices and
there is no major financing component. The Group’s obligation to transfer goods to customers for consideration received or
receivable from customers is listed as contract liabilities.Revenue is presented as the net amount after deducting sales discounts and sales returns.b. Rendering of services
The Group provides external consulting loading unloading transportation and processing labor services and recognizes revenue
within a period of time based on the progress of the completed labor. The progress of the completed labor is determined according
to the proportion of the cost incurred to the estimated total cost. On the balance sheet date the Group re-estimates the progress of
completed labor services so that it can reflect changes in contract performance.When the Group recognizes revenue based on the performance progress of the completed labor services the portion for which the
Group has obtained the unconditional right to receive payments is recognized as accounts receivable and the remaining portion is
recognized as contract assets and the Company measures the loss reserve of accounts receivable and contract assets. according to
the expected credit loss; If the contract price received or receivable by the Group exceeds the completed progress the excess is
recognized as contract liabilities. The Group presents the contract assets and contract liabilities under the same contract as a net
amount.
24、Government grants
Government grants are transfers of monetary or non-monetary assets from the government to the Group at nil consideration
including tax refund and financial subsidies etc.A government grant is recognised when there is a reasonable assurance that the grants will be received and the Group will comply
with all attached conditions. Monetary government grants are measured at the amounts received or receivable. Non-monetary
government grant are measured at fair value if the fair value cannot be reliably obtained it is measured at nominal amount.
28CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
The government grants related to assets refer to government grant obtained by enterprises and used for purchase and construction
of long-term assets or formation of long-term asset in other ways. The government grants related to income refer to grants other
than those related to assets.For government grants related to income where the grant is a compensation for related expenses or losses to be incurred by the
Group in the subsequent periods the grant is recognised as deferred income and included in profit or loss over the periods in
which the related costs are recognised; where the grant is a compensation for related expenses or losses already incurred by the
Group the grant is recognised immediately in profit or loss for the current period. The company use the same method of
presentation for similar government grants.The ordinary activity government grants should be counted into operating profits; the government grants which not belong
ordinary activities should be counted into non-operating income.
25、Deferred tax assets and deferred tax liabilities
Deferred tax assets and deferred tax liabilities are calculated and recognised based on the differences arising between the tax bases
of assets and liabilities and their carrying amounts (temporary differences). Deferred tax asset is recognised for the deductible
losses that can be carried forward to subsequent years for deduction of the taxable profit in accordance with the tax laws. No
deferred tax liability is recognised for a temporary difference arising from the initial recognition of goodwill. No deferred tax asset
or deferred tax liability is recognised for the temporary differences resulting from the initial recognition of assets or liabilities due
to a transaction other than a business combination which affects neither accounting profit nor taxable profit (or deductible loss).At the balance sheet date deferred tax assets and deferred tax liabilities are measured at the tax rates that are expected to apply to
the period when the asset is realised or the liability is settled.Deferred tax assets are only recognised for deductible temporary differences deductible losses and tax credits to the extent that it
is probable that taxable profit will be available in the future against which the deductible temporary differences deductible losses
and tax credits can be utilised.Deferred tax liabilities are recognised for temporary differences arising from investments in subsidiaries and associates except
where the Group is able to control the timing of reversal of the temporary difference and it is probable that the temporary
difference will not reverse in the foreseeable future. When it is probable that the temporary differences arising from investments in
subsidiaries and associates will be reversed in the foreseeable future and that the taxable profit will be available in the future
against which the temporary differences can be utilised the corresponding deferred tax assets are recognised.Deferred tax assets and liabilities that meet the following conditions at the same time are listed as the net amount after offset:
·Deferred income tax assets and deferred income tax liabilities are related to the same tax payer within the Group and the same
taxation authority; and
·That tax entity within the Group has a legally enforceable right to offset current tax assets against current tax liabilities.
26、Leases
A leasing is a contract in which the lessor cedes the right to use an asset to the lessee for a certain period of time in return for
consideration.
29CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
(a) The Group acts as the lessee
The Company recognizes the right-of-use assets on the commencement date of the lease term and recognizes the lease liabilities at
the present value of the outstanding lease payments. The lease payments include fixed payments as well as payments where there
is reasonable certainty that a purchase option will be exercised or a lease option will be terminated. The variable rent determined
based on a certain percentage of sales is not included in the lease payment and is included in the current profit and loss when it
actually occurs. The Group will list the lease liabilities paid within one year (inclusive) from the balance sheet date as non-current
liabilities due within one year
On the commencement date the Company shall initially measure the right-of-use asset at cost. The cost of the right-of-use asset
shall comprise the amount of the initial measurement of the lease liability and any lease payments made at or before the
commencement date and any initial direct costs incurred by the lessee etc less any lease incentives received 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.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.A short-term lease is a lease that at the commencement date has a lease term of 12 months or less and has a low-value asset
leases. The Group does not recognize the right-of-use assets and lease liabilities. 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.The Group accounts for a lease modification as a separate lease if both:(1) the modification increases the scope of the lease by
adding the right to use one or more underlying assets; (2) the consideration for the lease increases by an amount commensurate
with the stand-alone price for the increase in scope and any appropriate adjustments to that stand-alone price to reflect the
circumstances of the particular contract.For a lease modification that is not accounted for as a separate lease at the effective date of the lease modification the Group
remeasures the lease liability by discounting the revised lease payments using a revised discount rate. Decreasing the carrying
amount of the right-of-use asset to reflect the partial or full termination of the lease for lease modifications that decrease the scope
of the lease. The Group recognizes in profit or loss any gain or loss relating to the partial or full termination of the lease. Other
lease modifications will remeasure lease liabilities and the group will make a corresponding adjustment to the right-of-use asset
book value.(b) The Group acts as the lessor
A lease that transfers substantially all the risks and rewards associated with the ownership of the leased asset is a finance lease.Other leases are operating leases.(i) Operating lease
When the Company operates leased buildings machinery and equipment and means of transport the rental income from operating
leases shall be recognized in accordance with the straight-line method during the lease term. The Company will include variable
30CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
rent determined based on a percentage of sales in rental income when it actually incurs. For any modification to an operating lease
the Group treats it as a new lease from the effective date of the modification and the received or receivable lease payments related
to the lease prior to the modification are treated as lease payments of the new lease.(ii) Finance lease
On the beginning date of the lease term the Company recognizes the finance lease receivables for finance leases and derecognizes
related assets. The Company presents the finance lease receivables as long-term receivables and the finance lease receivables
received within one year (including one year) from the balance sheet date are presented as non-current assets due within one year.
27、Critical accounting policies and accounting estimates
The Group continually Estimates the critical accounting estimates and key assumptions applied based on historical experience and
other factors including expectations of future events that are believed to be reasonable.The critical accounting estimates and key assumptions that have a significant risk of possibly causing a material adjustment to
book values of assets and liabilities within the next accounting year are outlined below:
(a) Income tax
The Group is subject to Income tax in numerous jurisdictions. There are some transactions and events for which the ultimate tax
determination is uncertain during the ordinary course of business. Significant judgement is required from the Group in determining
the provision for Income tax in each of these jurisdictions. Where the final identified outcome of these tax matters is different from
the initially-recorded amount such difference will impact the income tax expenses and deferred income tax in the period in which
such determination is finally made.(b) Deferred income tax
Estimates on deferred tax assets are based on estimates on amount of taxable income and applicable tax rate for every year.Realisation of deferred income tax are subject to sufficient taxable income that are possible to be obtained by the Group in the
future. Change of the future tax rate as well as the reversed time of temporary difference might have effects on tax expense
(income) and the balance of deferred tax assets or liabilities. Those estimates may also cause significant adjustment on deferred tax.(c)Impairment of long-term assets (excluding goodwill)
Long-term assets on the balance sheet date should be subject to impairment testing if there are any indications of impairment.Management determines whether the long-term assets impaired or not by evaluating and analysing following aspects: (1) whether
the event affecting assets impairment occurs; (2) whether the expected obtainable present value of future cash flows is lower than
the asset’s carrying amount by continually using the assets or disposal; and (3) whether the assumptions used in expected
obtainable present value of future cash flows are appropriate.Various assumptions including the discount rate and growth rate applied in the method of present value of future cash flow are
required in evaluating the recoverable amount of assets. If these assumptions cannot be conformed the recoverable amount should
be modified and the long-term assets may be impaired accordingly.(d) The useful life of fixed assets
31CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Management estimates the useful life of fixed assets based on historical experiences on using fixed assets that have similar
properties and functions. When there are differences between actually useful life and previously estimation management will
adjust estimation to useful life of fixed assets. The fixed assets would be written off or written down when fixed assets been
disposed or became redundant. Thus the estimated result based on existing experience may be different from the actual result of
the next accounting period which may cause major adjustment to book value of fixed assets on balance sheet.(e) Goodwill impairment
Goodwill impairment reviews are undertaken annually or more frequently if events or changes in circumstances indicate a
potential impairment. For the purpose of impairment testing goodwill acquired in a business combination is allocated to each of
the cash-generating units (“CGUs”) or groups of CGUs and future cash flow from each CGU or CGUs is forcasted and
discounted with appropriate discount rate.
28、Significant changes in accounting policies and accounting estimates
（1）Significant changes in accounting policies
√ Applicable □ Not applicable
Contents and reasons of changes in
Approval procedure Remark
accounting estimates
On 30 November 2022 the Ministry of Finance issued
"Interpretation No. 16 of the Accounting Standards for Business
Enterprises" (Finance and Accounting [2021] No. 31) (hereinafter
referred to as "Interpretation No. 16") which regulates the
It was reviewed and The adoption of Interpretation
accounting treatment for the income tax impact of dividends related
approved the "Proposal No. 16 did not have a
to financial instruments classified as equity instruments by the
on Changes in Accounting significant impact on the
issuer and the accounting treatment for the modification of cash
Policies" by the board of financial condition and
settled share-based payments to equity settled share-based
directors on 24 April operating results of the
payments by enterprises shall be implemented from the date of
2023. Company.
promulgation; The accounting treatment for deferred income tax
related to assets and liabilities arising from individual transactions
that are not exempt from initial recognition will be implemented
from 1 January 2023.
（2）Significant changes in accounting estimates
□ Applicable √ Not applicable
（3）Adjustments to the opening financial statement items in 2023 when a new accounting standard is first
adopted
□ Applicable √ Not applicable
29、Others
（1）Safety production costs
According to relevant regulations of the Ministry of Finance and National Administration of Work Safety a subsidiary of the
Group which is engaged in producing and selling polysilicon appropriates safety production costs on following basis:
(a) 4.5% for revenue below RMB10 million (inclusive) of the year;
32CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
(b) 2.25% for the revenue between RMB10 million to RMB100 million (inclusive) of the year;
(c) 0.55% for the revenue between RMB100 million to RMB1 billion (inclusive) of the year;
(d) 0.2% for the revenue above RMB1 billion of the year.The safety production costs are mainly used for the overhaul renewal and maintenance of safety facilities. The safety production
costs are charged to costs of related products or profit or loss when appropriated and safety production costs in equity account are
credited correspondingly. When using the special reserve if the expenditures are expenses in nature the expenses incurred are
offset against the special reserve directly when incurred. If the expenditures are capital expenditures when projects are completed
and transferred to fixed assets the special reserve should be offset against the cost of fixed assets and a corresponding
accumulated depreciation are recognised. The fixed assets are no longer be depreciated in future.
（2）Segment information
The Group identifies operating segments based on the internal organisation structure management requirements and internal
reporting system and discloses segment information of reportable segments which is determined on the basis of operating
segments.An operating segment is a component of the Group that satisfies all of the following conditions: (1) the component is able to earn
revenue and incur expenses from its ordinary activities; (2) whose operating results are regularly reviewed by the Group’s
management to make decisions about resources to be allocated to the segment and to assess its performance and (3) for which the
information on financial position operating results and cash flows is available to the Group. If two or more operating segments
have similar economic characteristics and satisfy certain conditions they are aggregated into one single operating segment.VI、TAXATION
1、The main categories and rates of taxes applicable to the Group are set out below:
Category Taxable basis Tax rate
Enterprise income tax Taxable income 0%-25%
Taxable value-added amount (Tax
payable is calculated using the taxable
Value-added tax (“VAT”) sales amount multiplied by the applicable 3%-13%
tax rate less deductible VAT input of the
current period)
City maintenance and construction tax VAT paid 1%-7%
Educational surcharge VAT paid 5%
2、Tax incentives
The main tax incentives the Group is entitled to are as follows:
Tianjin CSG Energy-Saving Glass Co. Ltd. (“Tianjin Energy Conservation”) passed review on a high and new tech enterprise in
2021 and obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate
for three years since 2021.
33CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Dongguan CSG Architectural Glass Co. Ltd. (“Dongguan CSG”) passed review on a high and new tech enterprise in 2022 and
obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for three
years since 2022.Wujiang CSG East China Architectural Glass Co. Ltd. (“Wujiang CSG Engineering”) passed review on a high and new tech
enterprise in 2020 and obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to
15% tax rate for three years since 2020. As the company is currently going through the 2023 review of its high-tech enterprise
certificate the income tax rate of 15% was provisionally adopted for the report period.Dongguan CSG Solar Glass Co. Ltd. (“Dongguan CSG Solar”) passed review on a high and new tech enterprise in 2020 and
obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for three
years since 2020. As the company is currently going through the 2023 review of its high-tech enterprise certificate the income tax
rate of 15% was provisionally adopted for the report period.Yichang CSG Polysilicon Co. Ltd. (“Yichang CSG Polysilicon”) passed review on a high and new tech enterprise in 2020 and
obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for three
years since 2020. As the company is currently going through the 2023 review of its high-tech enterprise certificate the income tax
rate of 15% was provisionally adopted for the report period.Dongguan CSG PV-tech Co. Ltd. (“Dongguan CSG PV-tech”) passed review on a high and new tech enterprise in 2022 and
obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for three
years since 2022.Hebei Shichuang Glass Co. Ltd. (“Hebei Shichuang”) passed review on a high and new tech enterprise in 2022 and obtained the
Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for three years since
2022.
Wujiang CSG Glass Co. Ltd. (“Wujiang CSG”) passed review on a high and new tech enterprise in 2020 and obtained the
Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15% tax rate for three years
since 2020. As the company is currently going through the 2023 review of its high-tech enterprise certificate the income tax rate
of 15% was provisionally adopted for the report period.Xianning CSG Glass Co Ltd. (“Xianning CSG”) passed review on a high and new tech enterprise in 2020 and obtained the
Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15% tax rate for three years
since 2020. As the company is currently going through the 2023 review of its high-tech enterprise certificate the income tax rate
of 15% was provisionally adopted for the report period.Xianning CSG Energy-Saving Glass Co. Ltd. (“Xianning CSG Energy-Saving”) passed review on a high and new tech enterprise
in 2021 and obtained the Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15%
tax rate for three years since 2021.Yichang CSG Photoelectric Glass Co. Ltd. (“Yichang CSG Photoelectric”) passed review on a high and new tech enterprise in
2021 and obtained the Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15%
tax rate for three years since 2021.
34CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Yichang CSG Display Co. Ltd (“Yichang CSG Display”) passed review on a high and new tech enterprise in 2021 and obtained
the Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15% tax rate for three
years since 2021.Qingyuan CSG New Energy-Saving Materials Co. Ltd. (“Qingyuan CSG Energy-Saving”) passed review on a high and new tech
enterprise in 2022 and obtained the Certificate of High and New Tech Enterprise and the period of validity was three years. It
applies to 15% tax rate for three years since 2022.Hebei CSG Glass Co Ltd. (“Hebei CSG”) passed review on a high and new tech enterprise in 2021 and obtained the Certificate of
High and New Tech Enterprise and the period of validity was three years. It applies to 15% tax rate for three years since 2021.Shenzhen CSG Applied Technology Co Ltd. (“Shenzhen Technology”) passed review on a high and new tech enterprise in 2021
and obtained the Certificate of High and New Tech Enterprise and the period of validity was three years. It applies to 15% tax rate
for three years since 2021.Xianning CSG Photoelectric Glass Co. Ltd. (“Xianning Photoelectric”) passed review on a high and new tech enterprise in 2022
and obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to 15% tax rate for
three years since 2022.Dongguan CSG Crystal Yuxin Materials Co. Ltd. ("Dongguan Jing Yu Company") passed review on a high and new tech
enterprise in 2021 and obtained the Certificate of High and New Tech Enterprise the period of validity is three years. It applies to
15% tax rate for three years since 2021.
Zhaoqing CSG Energy Saving Glass Co. Ltd. (hereinafter referred to as "Zhaoqing Energy Saving Company") passed review on a
high and new tech enterprise in 2022 and obtained the Certificate of High and New Tech Enterprise the period of validity is three
years. It applies to 15% tax rate for three years since 2022.Sichuan CSG Energy Conservation Glass Co. Ltd. (“Sichuan CSG Energy Conservation”) obtains enterprise income tax
preferential treatment for Western Development and temporarily calculates enterprise income tax at a tax rate of 15% for current
year.Chengdu CSG Glass Co. Ltd. (“Chengdu CSG”) obtains enterprise income tax preferential treatment for Western Development
and temporarily calculates enterprise income tax at a tax rate of 15% for current year.Xi'an CSG Energy Saving Glass Technology Co. Ltd. (hereinafter referred to as "Xi'an Energy Saving Company") obtains
enterprise income tax preferential treatment for Western Development and temporarily calculates enterprise income tax at a tax
rate of 15% for current year.Guangxi CSG New Energy Materials Technology Co. Ltd. (hereinafter referred to as "Guangxi New Energy Materials Company")
obtains enterprise income tax preferential treatment for Western Development and temporarily calculates enterprise income tax at
a tax rate of 15% for current year.
35CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Qinghai CSG Risheng New Energy Technology Co. Ltd. (hereinafter referred to as "Qinghai New Energy Company") obtains
enterprise income tax preferential treatment for Western Development and temporarily calculates enterprise income tax at a tax
rate of 15% for current year.Zhaoqing CSG New Energy Technology Co. Ltd. (hereinafter referred to as "Zhaoqing New Energy Company") Anhui CSG
Photovoltaic Energy Co. Ltd. (“Anhui PV Energy”) Xianning CSG PV Energy Co. Ltd. (“Xianning PV Energy”) and Zhanjiang
CSG New Energy Co. Ltd. (“Zhanjiang PV Energy”) are public infrastructure project specially supported by the state in
accordance with the Article 87 in Implementing Regulations of the Law of the People's Republic of China on Enterprise Income
Tax and can enjoy the tax preferential policy of “three-year exemptions and three-year halves” that is starting from the tax year
when the first revenue from production and operation occurs the enterprise income tax is exempted from the first to the third year
while half of the enterprise income tax is collected for the following three years.
3、Others
Some subsidiaries of the Group have used the “exempt credit refund” method on goods exported and the refund rate is 0%-13%.VII、NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1、Cash at bank and on hand
Unit: RMB
Item 30 June 2023 1 January 2023
Cash at bank 2391660140 3242318251
Other currency funds 267657007 1362289528
Total 2659317147 4604607779
Including: Total overseas deposits 37863509 52079105
The total amount of cash and cash
equivalents that are restricted to use due 20057007 10589528
to mortgage pledge or freezing etc.
2、Notes receivable
（1）Notes receivable listed by category
Unit: RMB
Item 30 June 2023 1 January 2023
Bank acceptance 722005152 156943437
Trade acceptance 9424333
Total 731429485 156943437
Unit: RMB
30 June 2023 1 January 2023
Provision for bad Provision for bad
Carrying amount Carrying amount
Category debts debts
Book value Book value
Propo Propo Propo Propo
Amount Amount Amount Amount
rtion rtion rtion rtion
36CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Credit loss
provision
accrued by item
Credit loss
provision
731429485100%731429485156943437100%156943437
accrued by
portfolio
Total 731429485 100% 731429485 156943437 100% 156943437
（2）Notes receivables that the Company has pledged at the end of the period
Unit: RMB
Item Pledged amount
Bank acceptance 701846825
Total 701846825
（3）Endorsed or discounted notes receivable have not yet matured on the balance sheet
None
（4）Notes transferred to accounts receivable due to default of the issue at the end of period
None
3、Accounts receivable
（1）Details on categories
Unit: RMB
30 June 2023 1 January 2023
Provision for bad Provision for bad
Carrying amount Carrying amount
debts debts
Category Provi
Provi
sion Book value Book value
Propo Propo sion
Amount Amount Prop Amount Amount
rtion rtion Prop
ortio
ortion
n
Separate
provision
19044975611%15561372982%3483602719646886414%15701980980%39449055
for bad
debts
Portfolio
provision
161551793289%323040042%1583213928116382013286%232764032%1140543729
for bad
debts
Total 1805967688 100% 187917733 10% 1618049955 1360288996 100% 180296212 13% 1179992784
Provision for bad debts made on an individual basis:
37CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Unit: RMB
30 June 2023
Provision
Name Carrying Provision for
Proportio Reason for provision
amount bad debts
n
Mainly due to the inability to honor commercial
acceptance bills issued by Evergrande and its
subsidiaries that have been endorsed by customers
Separate provision for
190449756 155613729 82% and the transfer of accounts receivable from bills
bad debts
receivable as well as partial or full provision for bad
debt reserves due to business disputes or
deterioration of customer operations.Total 190449756 155613729 82%
Provision for bad debts made on the basis of portfolio:
Unit: RMB
30 June 2023
Type(s)
Carrying amount Provision for bad debts Proportion (%)
Portfolio 1 1615517932 32304004 2%
Total 1615517932 32304004 2%
Disclosure by ages
Unit: RMB
Aging 30 June 2023
Within 1 year(including 1 year) 1519933746
1 to 2 years 68361980
2 to 3 years 154358206
Over 3 years 63313756
Total 1805967688
（2）Provisions made collected or reversed in current period
Provision for bad debts made in current period:
Unit: RMB
Amount of change in current period
Type(s) 1 January 2023 Recovery or 30 June 2023
Accrual Write-off Other
reversal
Provision for bad
debts for accounts 180296212 21722891 14101370 187917733
receivable
Total 180296212 21722891 14101370 187917733
（3）Accounts receivable details of the top 5 closing balances by debtors
Unit: RMB
Accounts receivable Percentage in total accounts Provision for bad debts
Name
closing balance receivable balance closing balance
Total balances for the five largest 610509283 34% 12210186
38CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
accounts receivable
Total 610509283 34% 12210186
4、Receivables Financing
Unit: RMB
Item 30 June 2023 1 January 2023
Bank acceptance 830989703 1095412643
Total 830989703 1095412643
5、Advances to suppliers
（1）Listing by ages
Unit: RMB
30 June 2023 1 January 2023
Aging
Amount Proportion Amount Proportion
Within 1 year
21064889792%182578314100%
(including 1 year)
1 to 2 years 19050500 8% 377211
2 to 3 years 8220 153800
Over 3 years 520498 520498
Total 230228115 100% 183629823 100%
（2）Advance payment of the top 5 closing balances by prepayment objects
Unit: RMB
Percentage in total advances to
Item Advance payment closing balance
suppliers balance
Total balances for the five largest
12262431153%
advances to suppliers
6、Other receivables
Unit: RMB
Item 30 June 2023 1 January 2023
Other receivables 193416864 193847322
Total 193416864 193847322
（1）Other receivables
1）Other receivables categorized by nature
Unit: RMB
Nature 30 June 2023 1 January 2023
Receivables from special fund for talent 171000000 171000000
Payments made on behalf of other parties 40075441 49075321
Advances to suppliers 10366164 10366164
39CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Refundable deposits 22677268 16456690
Petty cash 1981083 963222
Others 13402205 12091519
Total 259502161 259952916
2）Provision for bad debts
Unit: RMB
Stage 1 Stage 2 Stage 3
Expected credit Expected credit
Expected
loss for the loss for the
Provision for bad debt credit loss in Total
whole period whole period
the next 12
(no credit (with credit
months
impairment) impairment)
Amount on 1 January 2023 1331355 64774239 66105594
Carrying amount on 1 January
2023
that in this period:
Provision for the period 205339 205339
Reverse for the period 225636 225636
Amount on 30 June 2023 1311058 64774239 66085297
3）Disclosure by ages
Unit: RMB
Aging 30 June 2023
Within 1 year (including 1 year) 24822358
1 to 2 years 27937872
2 to 3 years 6852372
Over 3 years 199889559
3 to 4 years 811012
4 to 5 years 2369390
Over 5 years 196709157
Total 259502161
4）Provisions made collected or reversed in current period
Provision for bad debts made in current period:
Unit: RMB
Movement in current period
Type 1 January 2023 Withdrawal or 30 June 2023
Accrual Write-off Others
reversal
Bad debt
6610559420533922563666085297
provision
Total 66105594 205339 225636 66085297
40CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
5）Other receivables details of the top 5 closing balances by debtors
Unit: RMB
Percentage in total
Provision for bad
Name Nature of business 30 June 2023 Ageing other receivables
debts
balance
Independent third
Company A 171000000 Over 5 years 66% 51300000
party
Governmental Independent third
14000000 1 to 2 years 5% 280000
department B party
Governmental Independent third
11556004 Over 5 years 4% 231120
department C party
Independent third
Company D 10366164 Over 5 years 4% 10366164
party
Governmental Independent third
10000000 1 to 2 years 4% 200000
department E party
Total 216922168 83% 62377284
7、Inventories
（1）Inventory classification
Unit: RMB
30 June 2023 1 January 2023
Provision for Provision for
decline in the decline in the
value of value of
Item inventories or inventories or Carrying Carrying
provision for Book value provision for Book value
amount amount
impairment of impairment of
contractual contractual
performance performance
costs costs
Raw materials 578404128 957713 577446415 646622778 9065792 637556986
Work in
32852655328526553174577031745770
progress
Finished goods 1425442033 1456266 1423985767 1067004894 20645880 1046359014
Turnover
84292770160014841327566870261042239868280212
materials
Total 2120991586 2573993 2118417593 1814076052 30134070 1783941982
（2）Provision for inventories and provision for impairment of contractual performance costs
Unit: RMB
Increase in current period Decrease in current period
Item 1 January 2023 30 June 2023
Reversal or
Provision Others Others
write-off
Raw materials 9065792 8108079 957713
Finished goods 20645880 19189614 1456266
41CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Turnover
422398262384160014
materials
Total 30134070 27560077 2573993
8、Non-current assets due within one year
Unit: RMB
Item 30 June 2023 1 January 2023
Fixed-term deposit in bank due within
8000000020000000
one year
Total 80000000 20000000
9、Other current assets
Unit: RMB
Item 30 June 2023 1 January 2023
VAT to be offset 72654028 45198116
Enterprise income tax prepaid 31825260 30407477
VAT input to be recognised 13992098 32642483
Term deposits 20000000
Others 4094 469
Total 138475480 108248545
10、Investment properties
（1）Investment properties measured using the fair value model
√ Applicable □ Not applicable
Unit: RMB
Item House building and related land use rights
I. 1 January 2023 290368105
II. Movement in the current period
III. 30 June 2023 290368105
11、Fixed assets
Unit: RMB
Item 30 June 2023 1 January 2023
Fixed assets 11986389945 11243236175
Total 11986389945 11243236175
（1）List of fixed assets
Unit: RMB
Machinery and Motor vehicles
Item Buildings Total
equipment and others
I. Original book value：
42CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
1. 1 January 2023 5305705728 14283099277 294024553 19882829558
2. Increase in current period 593737978 1508241039 48088269 2150067286
（1）Acquisition 1317463 23933500 12350297 37601260
（2）Transfers from
5912047011478778979308825962100866276
construction in progress
（3）Others 1215814 5528560 4855376 11599750
3. Decrease in current period 43697038 1081830604 7402047 1132929689
（1）Disposal or retirement 7692659 5339946 13032605
（2）Transfer to construction
4252191010637435597699121107035381
in progress
（3）Others 1175128 10394386 1292189 12861703
4. 30 June 2023 5855746668 14709509712 334710775 20899967155
II. Accumulative depreciation
1. 1 January 2023 1214780507 5985207126 245329297 7445316930
2. Increase in current period 93408343 439528151 20332786 553269280
（1）Provision 93232275 439498494 17423856 550154625
（2）Others 176068 29657 2908930 3114655
3. Decrease in current period 241327850 5693504 247021354
（1）Disposal or retirement 6955109 5333702 12288811
（2）Transfer to construction
23054923170354230619585
in progress
（3）Others 3823510 289448 4112958
4. 30 June 2023 1308188850 6183407427 259968579 7751564856
III. Impairment provision
1. 1 January 2023 152839987 1040644542 791924 1194276453
2. Increase in current period 67111087 178678 67289765
（1）Provision
（2）Transfers from
6711108717867867289765
construction in progress
3. Decrease in current period 42521910 57031954 99553864
（1）Disposal or retirement 481306 481306
（2）Transfer to construction
425219105655064899072558
in progress
4. 30 June 2023 110318077 1050723675 970602 1162012354
IV. Book value
1. 30 June 2023 4437239741 7475378610 73771594 11986389945
2. 1 January 2023 3938085234 7257247609 47903332 11243236175
（2）Fixed assets without ownership certificate
Unit: RMB
Reasons for not yet obtaining certificates
Item Carrying amount
of title
Have submitted the required documents
Buildings 1816139589
and are in the process of application or
43CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
the related land use right certificate
pending
12、Construction in progress
Unit: RMB
Item 30 June 2023 1 January 2023
Construction in progress 2622639485 2520362291
Total 2622639485 2520362291
（1）Details of construction in progress
Unit: RMB
30 June 2023 1 January 2023
Provision
Item Provision for Carrying Carrying for
impairment Book value Book value
amount amount impairment
loss
loss
Anhui Fengyang Solar
Equipment Lightweight
High Tongue Plate 522882011 522882011 917798737 917798737
Manufacturing Base
Project
Xianning Nanblass 1200T
/ D Ton Photovoltaic
13470421347042721820302721820302
Packaging Material
Production Line Project
Hebei window ultra-thin
electronic glass second 263216331 263216331 256034845 256034845
line construction project
Qingyuan South Blass
Technology Reform 226614841 94897536 131717305 225748578 94897536 130851042
Project
450MWPERC Battery
Technology Upgrade 186866743 184998076 1868667 186866743 184998076 1868667
Project
Wujiang Project New
Engineering Glass
Intelligent Manufacturing 73902384 73902384 72885336 72885336
Factory Construction
Project
Xi'an South Glass Energy
Saving Glass Production 138277411 138277411 41694021 41694021
Line Project
Zhaoqing CSG high-end
automobile glass 77092563 77092563 40439362 40439362
production line project
Guangxi Beihai
Photovoltaic Green
1991231731991231733321375333213753
Energy Industry Park
(Phase I) Project
44CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
30 June 2023 1 January 2023
Provision
Item Provision for Carrying Carrying for
impairment Book value Book value
amount amount impairment
loss
loss
Zhaoqing CSG high-end
energy-saving glass 5110114 5110114 14799352 14799352
production line project
New 50000 ton/year high-
purity crystalline silicon
project in Haixi 210126656 210126656 10319009 10319009
Prefecture Qinghai
Province
Chengdu Float three sets
of flue gas treatment
backup environmental 13805346 13805346 608993 608993
protection facilities
construction project
Technological upgrading
project of Xianning Float 53110650 53110650
Line 2 (700t/d)
Yichang Polysilicon
1200t/month high-purity
83385678194291477739565304152254152254
crystalline silicon
technology reform project
Dongguan Solar G6/G7
Line Process and
3779411437794114
Equipment Upgrading and
Renovation Project
Others 196275610 4781082 191494528 307372271 67289767 240082504
Total 3001607656 378968171 2622639485 2867547670 347185379 2520362291
45CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
（2）Movement of significant projects of construction in progress
Unit: RMB
Proportio Including: Capita
n Amount of lisatio
Other Engin Amount of
Transfer to between borrowing n rate
1 January Increase in decreases in eering borrowing Source of
Project name Budget fixed assets in 30 June 2023 engineeri costs for
2023 current period current progre costs fund
current period ng input capitalised curren
period ss capitalised
and in current t
budget period period
Anhui Fengyang
Solar Equipment
Internal
Lightweight High
3739020000 917798737 431748265 826664991 522882011 77% 100% 43865185 9980672 3.13% fund and
Tongue Plate
bank loan
Manufacturing
Base Project
Xianning Nanblass
1200T / D Ton
Internal
Photovoltaic
905571798 721820302 139002442 850743979 8731723 1347042 96% 100% 13945275 -6505468 3.60% fund and
Packaging Material
bank loan
Production Line
Project
Hebei window
Internal
ultra-thin electronic
324646330 256034845 31090053 23908567 263216331 89% 89% 4863391 2382495 4.28% fund and
glass second line
bank loan
construction project
Qingyuan South Internal
Blass Technology 534870000 225748578 955796 89533 226614841 4% 4% fund and
Reform Project bank loan
450MWPERC
Internal
Battery Technology 100990000 186866743 186866743 1% 3%
fund
Upgrade Project
46CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Proportio Including: Capita
n Amount of lisatio
Other Engin Amount of
Transfer to between borrowing n rate
1 January Increase in decreases in eering borrowing Source of
Project name Budget fixed assets in 30 June 2023 engineeri costs for
2023 current period current progre costs fund
current period ng input capitalised curren
period ss capitalised
and in current t
budget period period
Wujiang Project
New Engineering
Glass Intelligent Internal
Manufacturing 179140610 72885336 2111163 1094115 73902384 45% 58% 2124479 669327 3.80% fund and
Factory bank loan
Construction
Project
Xi'an South Glass
Internal
Energy Saving
494000000 41694021 96583390 138277411 28% 28% 287688 287688 3.60% fund and
Glass Production
bank loan
Line Project
Zhaoqing CSG
high-end Internal
automobile glass 609830000 40439362 41115387 4462186 77092563 24% 24% fund and
production line bank loan
project
Guangxi Beihai
Photovoltaic Green Internal
Energy Industry 4942051800 33213753 165909420 199123173 4% 4% 1364414 1312048 1.76% fund and
Park (Phase I) bank loan
Project
Zhaoqing CSG
high-end energy- Internal
saving glass 500000000 14799352 5884509 2996027 12577720 5110114 87% 100% 5780897 52702 3.80% fund and
production line bank loan
project
47CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Proportio Including: Capita
n Amount of lisatio
Other Engin Amount of
Transfer to between borrowing n rate
1 January Increase in decreases in eering borrowing Source of
Project name Budget fixed assets in 30 June 2023 engineeri costs for
2023 current period current progre costs fund
current period ng input capitalised curren
period ss capitalised
and in current t
budget period period
New 50000
ton/year high-purity
Internal
crystalline silicon
4498192210 10319009 200044097 236450 210126656 5% 5% fund and
project in Haixi
bank loan
Prefecture Qinghai
Province
Chengdu Float
three sets of flue
gas treatment Internal
backup 59600000 608993 13196353 13805346 23% 23% fund and
environmental bank loan
protection facilities
construction project
Technological
Internal
upgrading project
190848683 59420281 6309631 53110650 21% 21% 14403 14403 4.35% fund and
of Xianning Float
bank loan
Line 2 (700t/d)
Yichang Polysilicon
1200t/month high-
Internal
purity crystalline 35970000 152254 833709867 5340 833856781 66% 66%
fund
silicon technology
reform project
Dongguan Solar
G6/G7 Line
Internal
Process and
61330000 37794114 46161003 83955117 100% 100% 199673 139845 3.90% fund and
Equipment
bank loan
Upgrading and
Renovation Project
48CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Proportio Including: Capita
n Amount of lisatio
Other Engin Amount of
Transfer to between borrowing n rate
1 January Increase in decreases in eering borrowing Source of
Project name Budget fixed assets in 30 June 2023 engineeri costs for
2023 current period current progre costs fund
current period ng input capitalised curren
period ss capitalised
and in current t
budget period period
Internal
Others 1658144495 307372271 198268985 306709971 2655675 196275610 6183061 102636 fund and
bank loan
Total 18834205926 2867547670 2265201011 2100866276 30274749 3001607656 78628466 8436348
49CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
13、Right-of-use assets
Unit: RMB
Item Land leases Total
I. Original book value:
1. 1 January 2023 11790434 11790434
2. Increase in current period
3. Decrease in current period
4. 30 June 2023 11790434 11790434
II. Accumulative depreciation
1. 1 January 2023 1882021 1882021
2. Increase in current period 319141 319141
3. Decrease in current period
4. 30 June 2023 2201162 2201162
III. Impairment provisions
IV. Carrying amount
1. 30 June 2023 9589272 9589272
2. 1 January 2023 9908413 9908413
14、Intangible assets
（1）Details of intangible assets
Unit: RMB
Patents and
Land use Exploitation
Item proprietary Others Total
rights rights
technologies
I. Original book value：
1. 1 January 2023 1425431642 502074878 5351751 54579056 1987437327
2. Increase in current
443825003229822938531942148805611001024825
period
（1）
443825009385319422302841985217283
Acquisition
（2）Transfers
from development 3229822 3229822
expenditure
（3）Others 12577720 12577720
3. Decrease in current
period
（1）Others
4. 30 June 2023 1469814142 505304700 943883693 69459617 2988462152
II. Accumulative
amortization
1. 1 January 2023 258193337 227328706 4775067 45827071 536124181
2. Increase in current
17435942185003784960928258222943479477
period
50CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
（1）Provision 17435942 18500378 4960928 2582229 43479477
3. Decrease in current
period
（1）Others
4. 30 June 2023 275629279 245829084 9735995 48409300 579603658
III. Provision for
impairment
1. 1 January 2023 13201347 9133 13210480
2. Increase in current
period
3. Decrease in current
period
4. 30 June 2023 13201347 9133 13210480
IV. Book value
1. 30 June 2023 1194184863 246274269 934147698 21041184 2395648014
2. 1 January 2023 1167238305 261544825 576684 8742852 1438102666
（2）Land use rights without ownership certificate
Unit: RMB
Item Carrying amount Reasons for not yet obtaining certificates of title
The management of the Company believes that there is no
substantive legal obstacle to obtaining the relevant land use
Land use rights 4139483
certificate and it will not have a significant adverse impact on the
operation of the Group.
15、Development expenditure
Unit: RMB
Increase in current
Decrease in current period
period
Item 1 January 2023 30 June 2023
Internal development Recognised as Recognised as
expenditure intangible assets expenses
Development
4675581610977711322982254503705
expenditure
Total 46755816 10977711 3229822 54503705
16、Goodwill
（1）Original carrying amount of goodwill
Unit: RMB
Name of invested
Increase in current Decrease in current
unit or items 1 January 2023 30 June 2023
period period
forming goodwill
Tianjin CSG Architectural
30399463039946
Glass Co. Ltd
Xianning CSG 4857406 4857406
51CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Photoelectric
Shenzhen CSG Display 389494804 389494804
Guangdong Licheng
Construction Engineering 696000 696000
Co. Ltd.Total 397392156 696000 398088156
（2）Provision for impairment of goodwill
Unit: RMB
Name of invested unit or Increase in current Decrease in current
1 January 2023 30 June 2023
matters forming goodwill period period
Shenzhen CSG Display 389494804 389494804
Total 389494804 389494804
17、Long-term prepaid expenses
Unit: RMB
Amortized
Increase in current
Item 1 January 2023 amounts in Other decreases 30 June 2023
period
current period
Various prepaid
2647939579854718783276568159
expenses
Total 2647939 5798547 1878327 6568159
18、Deferred tax assets and liabilities
（1）Deferred income tax assets before offsetting
Unit: RMB
30 June 2023 1 January 2023
Item Deductible temporary Deductible temporary
Deferred tax assets Deferred tax assets
differences differences
Provision for asset
738273925113123393740627003112511365
impairments
Deductible losses 379522985 65298553 362029963 65461019
Government grants 163371710 25941951 160233122 25185546
Accrued expenses 4570068 685510 8584847 1287727
Depreciation of fixed
1064461201598524910085977315955296
assets etc.Total 1392184808 221034656 1372334708 220400953
（2）Deferred income tax liabilities before offsetting
Unit: RMB
Item 30 June 2023 1 January 2023
52CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Taxable temporary Deferred tax Taxable temporary Deferred tax
differences liabilities differences liabilities
Depreciation of fixed assets 600158758 91321123 663136097 100893303
Changes in the fair value of
3685649445528474236856494455284742
investment real estate
Total 968723702 146605865 1031701041 156178045
（3）Deferred income tax assets or liabilities presented with net amount after offsetting
Unit: RMB
Offset amount of Offset amount of
Closing deferred tax Opening deferred tax
closing deferred tax opening deferred tax
Item assets or liabilities after assets or liabilities after
assets assets
offsetting offsetting
and liabilities and liabilities
Deferred tax assets 54545400 166489256 58911204 161489749
Deferred tax liabilities 54545400 92060465 58911204 97266841
（4）Detail about unrecognized deferred income tax assets
Unit: RMB
Item 30 June 2023 1 January 2023
Deductible losses etc 1453735298 1713248298
Total 1453735298 1713248298
（5）Deductible losses of unconfirmed deferred income tax assets shall expire in the following years
Unit: RMB
Year 30 June 2023 1 January 2023 Notes
202386893698146238837
2024178208832178208832
2025657255317745942821
2026524185763642332904
2027524904524904
20286666784
Total 1453735298 1713248298
19、Other non-current assets
Unit: RMB
30 June 2023 1 January 2023
Item Carrying Impairment Book Carrying Impairment Book
amount provision value amount provision value
Prepayment for
equipment and 1048111631 1048111631 194410485 194410485
project
Prepayment for 6510000 6510000 24210000 24210000
53CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
lease of land use
rights
Fixed deposits 80000000 80000000
Prepaid mining
7050000070500000558000000558000000
rights
Total 1125121631 1125121631 856620485 856620485
20、Short-term borrowings
（1）Classification of short-term borrowings
Unit: RMB
Item 30 June 2023 1 January 2023
Guaranteed loan 280776205 144000000
Credit loan 104000000 201000000
Total 384776205 345000000
21、Notes payable
Unit: RMB
Type 30 June 2023 1 January 2023
Trade acceptance 206528235 290779095
Bank acceptance 1152845454 703778401
Total 1359373689 994557496
22、Accounts payable
（1）Accounts payable listed
Unit: RMB
Item 30 June 2023 1 January 2023
Materials payable 1048261509 813677642
Equipment payable 658969024 483253256
Construction expenses payable 1108347387 576821441
Freight payable 117036311 88104366
Utilities payable 80500474 64738721
Others 11517950 6947201
Total 3024632655 2033542627
（2）Significant accounts payable aged more than one year
Unit: RMB
Item 30 June 2023 Reasons
Due to the unfinished final accounts of
Engineering and equipment payments
196983225 related projects they have not been
etc
settled yet
Total 196983225
54CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
23、Contract liabilities
Unit: RMB
Item 30 June 2023 1 January 2023
Contract liabilities 342662579 418051975
Total 342662579 418051975
24、Employee benefits payable
（1）Presentation of employee benefits payable
Unit: RMB
Increase in current Decrease in
Item 1 January 2023 30 June 2023
period current period
I. Short-term employee benefits payable 464930939 991800917 1164043450 292688406
II. Defined contribution plans payable 8685489 88228590 88920588 7993491
III. Termination benefits 1473347 1473347
Total 473616428 1081502854 1254437385 300681897
（2）Presentation of short-term benefits
Unit: RMB
Increase in current Decrease in
Item 1 January 2023 30 June 2023
period current period
1. Wages and salaries bonus allowances
4384233289157645071088074170266113665
and subsidies
2. Social security contributions 1583272 38936496 39956077 563691
Including: Medical insurance 957621 33522537 34431136 49022
Work injury insurance 559430 4047416 4092177 514669
Maternity insurance 66221 1366543 1432764
3. Housing funds 891279 26277832 24987729 2181382
4. Labour union funds and employee
24033060108220821102547423829668
education funds
Total 464930939 991800917 1164043450 292688406
（3）Defined benefit plans
Unit: RMB
Increase in current Decrease in
Item 1 January 2023 30 June 2023
period current period
1. Basic pensions 8403902 85097313 85755917 7745298
2. Unemployment insurance 281587 3131277 3164671 248193
Total 8685489 88228590 88920588 7993491
55CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
25、Taxes payable
Unit: RMB
Item 30 June 2023 1 January 2023
Enterprise income tax payable 73092705 38330878
VAT payable 45427700 91809300
Individual income tax payable 5259962 7688833
City maintenance and construction tax
32684646755889
payable
Educational surcharge payable 2661955 4953777
Housing property tax payable 12146395 4877079
Environmental tax payable 1377003 1252845
Others 7753386 5466037
Total 150987570 161134638
26、Other payables
Unit: RMB
Item 30 June 2023 1 January 2023
Other payables 456482668 437119859
Interest payable 7275176 99945325
Total 463757844 537065184
（1）Interest payable
Unit: RMB
Item 30 June 2023 1 January 2023
Interest of long-term borrowings 6824896 5754599
Interest of corporate bonds 92258065
Interest of short-term borrowings 450280 1932661
Total 7275176 99945325
（2）Other payables
1）Disclosure of other payables by nature
Unit: RMB
Item 30 June 2023 1 January 2023
Guarantee deposits received from
372906587331974002
construction contractors
Accrued cost of sales (i) 53706022 62936670
Payable for contracted labour costs 11483781 28696828
Temporary receipts for third parties 2563790 2318135
Others 15822488 11194224
Total 456482668 437119859
（i）It represented the payment made to external third parties arising from undertaking the rights of debtor and creditor
comprising maintenance charges professional service fee and travelling expenses etc.
56CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
27、Non-current liabilities due within one year
Unit: RMB
Item 30 June 2023 1 January 2023
Current portion of long-term borrowings 968935071 443216290
Current portion of debentures payable 1999316522
Current portion of long-term account
3947942938900194
payable
Total 1008414500 2481433006
28、Other current liabilities
Unit: RMB
Item 30 June 2023 1 January 2023
Output VAT to be transferred 40127791 50107240
Supply chain financing 49040857
Others 300000 300000
Total 89468648 50407240
29、Long-term borrowings
（1）Types of long-term borrowings
Unit: RMB
Item 30 June 2023 1 January 2023
Guaranteed loan 3730316842 3122455980
Credit loan 1498583739 1231134000
Total 5228900581 4353589980
30、Lease liabilities
Unit: RMB
Item 30 June 2023 1 January 2023
Lease liabilities 3648983 3564330
Total 3648983 3564330
31、Long-term account payable
Unit: RMB
Item 30 June 2023 1 January 2023
Long-term account payable 109425563 129236878
Total 109425563 129236878
（1）Long-term payable listed by nature
Unit: RMB
57CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Item 30 June 2023 1 January 2023
Finance lease payable 109425563 129236878
32、Provisions
Unit: RMB
Item 30 June 2023 1 January 2023
Mine rehabilitation and other costs 7569501
33、Deferred income
Unit: RMB
Increase in current Decrease in current
Item 1 January 2023 30 June 2023
period period
Government grants 449875380 837900 21916903 428796377
Total 449875380 837900 21916903 428796377
Government grants:
Unit: RMB
Increase in Recorded in other
1 January Assets/Incom
Item current income in current 30 June 2023
2023 e related
period period
Tianjin energy saving gold solar
36842660 1687446 35155214 Assets related
project
Dongguan project gold solar project 29573250 1375500 28197750 Assets related
Hebei South Bolk Sun Project 30250000 1375000 28875000 Assets related
Xianning South Bolt Solar
32830417 1515250 31315167 Assets related
Engineering Project
Wu Jiangnan infrastructure
19421208 2020769 17400439 Assets related
compensation
Qingyuan energy-saving project 8439167 1235000 7204167 Assets related
Yichang polysilicon project 7734375 1406250 6328125 Assets related
Yichang Nanolate Silicon Molding
19495676 837900 1510990 18822586 Assets related
Project
Sichuan energy-saving glass project 2205360 827010 1378350 Assets related
Group coating laboratory project 1125000 187500 937500 Assets related
Yichang high-purity silicon material
2114441 151589 1962852 Assets related
project
Yichang semiconductor silicon
2666666 111111 2555555 Assets related
material project
Yichang Display Company Project 37897545 1333906 36563639 Assets related
Xianning Optoelectronics Project 5720000 260000 5460000 Assets related
Shenzhen medical equipment
6014000 582000 5432000 Assets related
subsidy project
Hebei float emission reward 8621656 366879 8254777 Assets related
Income
Group Talent Fund Project 171000000 171000000
related
Zhaoqing energy-saving industry to Income
43805274380527
build financial support funds related
Others 23543432 1590176 21953256 Assets related
Total 449875380 837900 21916903 428796377
58CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
34、Share capital
Unit: RMB
Movement for current period
1 January 2023 Transfer 30 June 2023
New issues Bonus issue from capital Others Sub-total
surplus
Total number
of ordinary 3070692107 3070692107
shares
35、Capital surplus
Unit: RMB
Increase in Decrease in
Item 1 January 2023 30 June 2023
current period current period
Share premium 655424260 655424260
Other capital surplus -58427175 -58427175
Total 596997085 596997085
36、Other comprehensive income
Unit: RMB
Other comprehensive income for current period
1 January Attributable to Attributable to
Item Actual amount
2023 Less: Income parent minority
30 June 2023
before tax for
tax expenses company after shareholders
current period
tax after tax
I. Other comprehensive
income items which will
be reclassified 170860478 10030559 10030559 180891037
subsequently to profit or
loss
1. Difference on
translation of foreign
7158681100305591003055917189240
currency financial
statements
2. Financial rewards for
energy-saving technical 2550000 2550000
retrofits
3. Income generated
when self-property and
land use rights are 161151797 161151797
converted into
investment property
Total 170860478 10030559 10030559 180891037
37、Special reserve
Unit: RMB
59CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Increase in current Decrease in current
Item 1 January 2023 30 June 2023
period period
Safety production costs 731580 5038984 5560045 210519
Total 731580 5038984 5560045 210519
38、Surplus reserve
Unit: RMB
Increase in current Decrease in current
Item 1 January 2023 30 June 2023
period period
Statutory surplus
11007814331100781433
reserve
Discretionary surplus
127852568127852568
reserve
Total 1228634001 1228634001
39、Undistributed profits
Unit: RMB
Item H1 2023 H1 2022
Adjustment on undistributed profit at end of
77869684556450587417
last year
Adjusted undistributed profit at beginning of
77869684556450587417
period
Add: Net profits attributable to shareholders
8894787801001174398
of parent company in current period
Less: Appropriation for statutory surplus
reserve
Ordinary share dividends payable 614138421
Undistributed profits at end of period 8676447235 6837623394
40、Operating income and operating costs
Unit: RMB
H1 2023 H1 2022
Item
Revenue Cost Revenue Cost
Principal operation 8269985146 6451841635 6421792209 4599587540
Other operations 119355099 43554296 97424467 38058387
Total 8389340245 6495395931 6519216676 4637645927
41、Taxes and surcharges
Unit: RMB
Item H1 2023 H1 2022
City maintenance and construction tax 18676773 15694124
Educational surcharge 14886892 13036606
60CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Housing property tax 20987873 17222873
Land use rights 10894279 8675097
Stamp tax 6454506 3840095
Environmental tax 2815691 2206638
Others 1662990 605189
Total 76379004 61280622
42、Selling and distribution expenses
Unit: RMB
Item H1 2023 H1 2022
Employee benefits 99419222 92473703
Entertainment fees 8645368 5362131
Business travel expenses 6194559 2856337
Vehicle use fees 4656501 4488510
Rental expenses 5713495 4437109
Freight expenses 3390552 2557634
Insurance fees 2528186 8951501
Others 16308258 12779727
Total 146856141 133906652
43、General and administrative expenses
Unit: RMB
Item H1 2023 H1 2022
Employee benefits 198481504 194016411
Depreciation and amortization 70577321 60669827
General office expenses 14943321 13393317
Labour union funds 10994483 9792599
Entertainment fees 8997162 8507539
Business travel expenses 4438258 2194600
Water and electricity fees 3542076 2955260
Canteen costs 5641281 4624155
Vehicle use fees 3500710 3213151
Consulting advisers 3919242 3470195
Others 15217414 15798758
Total 340252772 318635812
44、Research and development expenses
Unit: RMB
Item H1 2023 H1 2022
Research and development expenses 346264501 265877930
Total 346264501 265877930
45、Financial expenses
Unit: RMB
Item H1 2023 H1 2022
61CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Interest on borrowings 121742551 118724723
Less: Capitalised interest 8436348 26740119
Interest expenses 113306203 91984604
Less: Interest income 45500449 30756704
Exchange losses 3203357 -210284
Others 1755534 1779736
Total 72764645 62797352
46、Other Income
Unit: RMB
Item H1 2023 H1 2022
Government subsidy amortization 21916903 71815510
Industry support funds 800000 1500000
Government incentive funds 18216697 17203284
Research grants 1528784 2196600
Others 4741455 6587158
Total 47203839 99302552
47、Investment income
Unit: RMB
Item H1 2023 H1 2022
Income from structural deposits 14478503
Interest on note discounting -5617361
Income from term deposits 1534181 1935192
Total -4083180 16413695
48、Credit impairment loss
Unit: RMB
Item H1 2023 H1 2022
Losses on bad debts of other receivables 20297 -396253
Losses on bad debts of accounts
-7621521-1095969
receivable
Total -7601224 -1492222
49、Asset impairment loss
Unit: RMB
Item H1 2023 H1 2022
Decline in the value of inventories 24908 1456
Total 24908 1456
50、Income on disposal of assets
Unit: RMB
Item H1 2023 H1 2022
62CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Gain/loss on disposal of non-current
5345112745461
assets
Total 53451 12745461
51、Non-operating revenue
Unit: RMB
Amount booked into
Item H1 2023 H1 2022 current non-recurring
profits and losses
Compensation income 165653 45951 165653
Amounts unable to pay 4901175 3861020 4901175
Insurance claims 3212700 9040000 3212700
Others 1173805 2186007 710645
Total 9453333 15132978 8990173
52、Non-operating expenses
Unit: RMB
Amount booked into
Item H1 2023 H1 2022 current non-recurring
profits and losses
Donation 300614 1731127 300614
Compensation 30225 599074 30225
Government subsidy return
74583
back
Others 155961 1255286 155961
Total 486800 3660070 486800
53、Income tax expenses
（1）Income tax expense details
Unit: RMB
Item H1 2023 H1 2022
Current income tax 84300053 103724527
Deferred income tax -10205883 65200997
Total 74094170 168925524
（2）Adjustment process of accounting profit and income tax expenses
Unit: RMB
Item H1 2023
Total profit 955991578
Income tax expenses calculated at applicable tax rates by company 158703893
Adjustment on effect of income tax in the prior period -28368714
Costs expenses and losses not deductible for tax purposes 741785
63CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Effect of deductible loss on usage of unconfirmed deferred income tax assets in the
-46970548
prior period
Effect of deductible temporary difference or deductible loss on unconfirmed deferred
1417560
income tax in the current period
Effect of obtaining tax incentives -11429806
Income tax expenses 74094170
54、Other comprehensive income
See Note Other comprehensive income for details
55、Notes to the cash flow statement
（1）Cash received relating to other operating activities
Unit: RMB
Item H1 2023 H1 2022
Security deposits received for operating
14093952211256308
purposes
Interest income 45474892 30756704
Government grants 41458937 30487042
Others 7273702 14736514
Total 235147053 87236568
（2）Cash paid relating to other operating activities
Unit: RMB
Item H1 2023 H1 2022
General office expenses 22506207 19162389
Insurance fees 21517337 22824587
Entertainment fees 21343865 16277475
Canteen costs 20838907 19549842
Maintenance fee 17742387 13668199
Business travel expenses 14512458 7379731
Vehicle use fee 10230122 8129592
Rental expenses 9824468 10391291
Consulting advisers 8326998 6193327
Freight costs 4833629 3928266
Handling charges 1820613 1610434
Others 52668145 74754081
Total 206165136 203869214
（3）Cash received relating to other investing activities
Unit: RMB
Item H1 2023 H1 2022
Security deposits received 22629490
Amounts received that had been
10000000
previously paid on behalf of others
64CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Total 32629490
（4）Cash paid relating to other investing activities
Unit: RMB
Item H1 2023 H1 2022
Security deposits paid for investment
19138102
purposes
Total 19138102
（5）Cash received relating to other financing activities
Unit: RMB
Item H1 2023 H1 2022
Current amounts received 12000000
Others 206753
Total 12000000 206753
（6）Cash payments relating to other financing activities
Unit: RMB
Item H1 2023 H1 2022
Repay financing leases 22948274 23022757
Others 106000 1142255
Total 23054274 24165012
56、Supplementary information to the cash flow statement
（1）Supplementary information to the cash flow statement
Unit: RMB
Supplementary information H1 2023 H1 2022
1．Reconciliation from net profit to cash flows from operating activities
Net profit 881897408 1008590707
Add: Provision for asset impairment -24908 -1456
Provision for credit impairment 7601224 1492222
Depreciation of fixed assets oil and gas assets and productive living assets 550154625 435495584
Depreciation of right-of-use assets 319141 877303
Amortisation of intangible assets 43479477 31408498
Amortisation of long-term prepaid expenses 1878327 289845
Losses (gains) on disposal of fixed assets intangible assets and other long-term
-53451-12745461
asset ("-" for gains)
Financial expenses ("-" for gains) 113306203 91984604
Investment loss ("-" for gains) 4083180 -16413695
Decrease in deferred tax assets ("-" for increase) -4999507 58524476
65CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Increase in deferred tax liabilities ("-" for decrease) -5206376 6676521
Decrease in inventories ("-" for increase) -306915534 -668865872
Decrease/(increase) in operating receivables ("-" for increase) -825895694 -544965419
Increase in operating payables ("-" for decrease) 53764086 505601316
Others 5038984 4853948
Net cash flows from operating activities 518427185 902803121
2． Net changes in cash and cash equivalents:
Cash and cash equivalents at end of period 2639260140 2863965769
Less: Cash and cash equivalents at beginning of period 4594018251 2756477572
Net increase in cash and cash equivalents -1954758111 107488197
（2）Net cash payments for the acquisition of subsidiaries in the current period
Unit: RMB
Amount
Cash or cash equivalents paid in the current period for business combinations incurred in
696000
the current period
Less: Cash and cash equivalents held by subsidiary at the acquisition date
Add: Cash or cash equivalents paid in the current period for business combinations
incurred in prior periods
Net cash payments for the acquisition of subsidiaries 696000
（3）Cash and cash equivalents composition
Unit: RMB
Item 30 June 2023 1 January 2023
I. Cash and cash equivalents 2639260140 4594018251
Bank deposits that can be readily
23916601403242318251
drawn on demand
Other cash balances that can be readily
2476000001351700000
drawn on demand
II. Cash and cash equivalents at end of period 2639260140 4594018251
57、The assets with the ownership or use right restricted
Unit: RMB
Item Book value at the end of reporting period Cause of restriction
Restricted circulation of deposits
Cash at bank and on hand 20057007
freezes etc
Note receivable 701846825 Restricted pledge
Fixed assets 95994423 Restricted financing lease
Construction in progress 25571588 Restricted financing lease
Total 843469843
66CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
58、Monetary items denominated in foreign currencies
（1）Monetary items denominated in foreign currencies
Unit: RMB
Balances denominated in Balances denominated in
Item Exchange rates
foreign currencies RMB
Cash at bank and on hand 103492166
Including：USD 12744010 7.2258 92085669
EUR 12642 7.8771 99586
HKD 11925040 0.9220 10994887
SGD 1265 5.3442 6760
AUD 797 4.7992 3827
JPY 6016707 0.0501 301437
Accounts receivable 145856443
Including：USD 19045323 7.2258 137617694
EUR 834785 7.8771 6575688
HKD 1803754 0.9220 1663061
Accounts payable 30828637
Including：USD 4031344 7.2258 29129682
EUR 166156 7.8771 1308827
HKD 60560 0.9220 55836
JPY 4665010 0.0501 233717
GBP 11000 9.1432 100575
59、Government grants
（1）Basic conditions of government grants
Unit: RMB
Amount included
Type Amount Presentation account in profit or loss
for the year
Amortization of government
21916903 Other income 21916903
subsidies
Other government subsidies 25286936 Other income 25286936
Government subsidies for Construction in
171163333321333
loan interest progress/financial expenses
（2）General information of government subsidies return
√ Applicable □ Not applicable
Unit: RMB
Item Amount Cause of return
Return of the third batch of special funds for dual-creation
1047210
representative carriers
67CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Return of the first batch of project funds for the provincial
750000
manufacturing high-quality development special programme
VIII、THE CHANGES OF CONSOLIDATION SCOPE
1、Business combinations not involving entities under common control
（1）Business combinations not involving entities under common control in the current period
Unit: RMB
Revenue of Net profit
the of the
Way of Basis for the
Time of Equity- acquiree acquiree
obtaining determinatio
obtaining the holding Date of from the from the
Acquiree Cost the n of the
equity percenta acquisition date of date of
equity acquisition
interests ge acquisition acquisition
interests date
to the to the
period-end period-end
Guangdong
Licheng
Constructio Acquisiti 21 March Obtaining
March 2023 696000 100% 0 -177262
n on 2023 control
Engineerin
g Co. Ltd.
（2）Cost of acquisition and goodwill
Unit: RMB
Cost of acquisition Guangdong Licheng Construction Engineering Co. Ltd.--Cash 696000
Total cost of acquisition 696000
Less: Share of fair value of net identifiable assets acquired 0
Goodwill/amount by which the cost of acquisition is lower than
696000
the share of fair value of net identifiable assets acquired
Fair value measurement contingent consideration and changes of cost of acquisition: None
Main reason for large-amount goodwill: Not applicable
Other information: None
2、Changes in scope of consolidation due to other reasons
（1）On 24 April 2023 the Group set up Guangxi CSG Mining Co. Ltd. (referred to as "Guangxi Mining"). As of 30 June 2023
the Group has invested RMB 50 million in cash. The Group owns 100% of its equity.
（2）On 19 May 2023 the Group set up Wuxuan Nanxin Mining Co. Ltd. (referred to as "Wuxuan Mining"). As of 30 June 2023
the Group has invested RMB 6 million in cash. The Group owns 60% of its equity.
68CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
IX、EQUIRTY IN OTHER ENTITIES
1、Interest in subsidiaries
（1）Constitution of the Group
Shareholding Method
Major
Name of Place of of
business Scope of business
Subsidiary registration Direct Indirect acquisitiolocation
n
Chengdu Chengdu Development production and Establish
Chengdu CSG 75% 25%
PRC PRC sales of special glass ment
Development production and
Sichuan CSG Energy Chengdu Chengdu Separatio
sales of special glass and 75% 25%
Conservation PRC PRC n
processing of glass
Tianjin Energy Tianjin Tianjin Development production and Establish
75%25%
Conservation PRC PRC sales of special glass ment
Dongguan CSG Dongguan Dongguan Establish
Intensive processing of glass 75% 25%
Engineering PRC PRC ment
Dongguan Dongguan Production and sales of solar Establish
Dongguan CSG Solar 75% 25%
PRC PRC glass ment
Dongguan Dongguan Production and sales of hi-tech Establish
Dongguan CSG PV-tech 100%
PRC PRC green battery and components ment
Yichang CSG Yichang Yichang Production and sales of high- Establish
75%25%
Polysilicon PRC PRC purity silicon materials ment
Wujiang CSG Wujiang Wujiang Establish
Intensive processing of glass 75% 25%
Engineering PRC PRC ment
Yongqing Yongqing Production and sales of special Establish
Hebei CSG 75% 25%
PRC PRC glass ment
Wujiang Wujiang Production and sales of special Establish
Wujiang CSG 100%
PRC PRC glass ment
China Southern Glass Hong Kong Hong Establish
Investment holding 100%
(Hong Kong) Limited PRC Kong PRC ment
Xianning Xianning Production and sales of special Establish
Xianning CSG 75% 25%
PRC PRC glass ment
Xianning CSG Energy- Xianning Xianning Separatio
Intensive processing of glass 75% 25%
Saving PRC PRC n
Qingyuan CSG Energy- Qingyuan Qingyuan Production and sales of ultra- Establish
100%
Saving PRC PRC thin electronic glass ment
Shenzhen CSG Financial Shenzhen Shenzhen Establish
Finance leasing etc. 75% 25%
Leasing Co. Ltd. PRC PRC ment
Jiangyou CSG Mining Jiangyou Jiangyou Production and sales of silica Establish
100%
Development Co. Ltd. PRC PRC and its by-products ment
Shenzhen Shenzhen Production and sales of display Acquisiti
Shenzhen CSG Display: 60.8%
PRC PRC component products on
Zhaoqing Energy Saving Zhaoqing Zhaoqing Production and sales of various Establish
100%
Company PRC PRC special glasses ment
Zhaoqing Automobile Zhaoqing Zhaoqing Production and sales of various Establish
100%
Company PRC PRC special glasses ment
Fengyang Fengyang Production and sales of solar Establish
Anhui Energy Company 100%
PRC PRC glass products ment
Fengyang Fengyang Production and sales of solar Establish
Anhui Quartz Company 100%
PRC PRC glass products ment
Anhui Silicon Valley Fengyang Fengyang Establish
Mineral resources exploitation 60%
Mingdu Mining PRC PRC ment
69CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Shareholding Method
Major
Name of Place of of
business Scope of business
Subsidiary registration Direct Indirect acquisitiolocation
n
Company
Xi'an energy Production and sales of various Establish
Xi’an PRC Xi’an PRC 55% 45%
conservation company special glasses ment
Guangxi New Energy Longgang Longgang Production and sales of various Establish
75%25%
Materials Company PRC PRC special glasses ment
（2）Major non-wholly owned subsidiaries
Unit: RMB
Profit or loss Dividends distributed
Name of Shareholding of attributable to minority to minority Minority interests as at
Subsidiary minority shareholders shareholders for the shareholders for the the period-end
current period current period
Shenzhen CSG Display 39.20% -5431242 405177951
（3）Key financial information of major non-wholly owned subsidiaries
Unit: RMB
30 June 2023
Name of
Subsidiary Non-current Current assets Non-current assets Total assets Current liabilities Total liabilities
liabilities
2127406931294237190150697788332923199377328171406560164
1 January 2023
Shenzhen CSG
Display Non-current Current assets Non-current assets Total assets Current liabilities Total liabilities
liabilities
2006277911323084986152371277733342817479596855413025029
Unit: RMB
H1 2023 H1 2022
Name of Cash flows Cash flows
Total Total
Subsidiary from from
Revenue Net profit comprehens Revenue Net profit comprehens
operating operating
ive income ive income
activities activities
Shenzhen CSG
242490594-10166567-101665675701630276320544211916482119164820948584
Display
X、RISKS ASSOCIATED WITH FINANCIAL INSTRUMENTS
The Group's activities expose it to a variety of financial risks: market risk (primarily foreign exchange risk and interest rate risk)
credit risk and liquidity risk. The Group's overall risk management program focuses on the unpredictability of financial market and
seeks to reduce potential adverse effects on the Group's financial performance.
70CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
1、Market risk
（1）Foreign exchange risk
The Group’s major operational activities are carried out in Mainland China and a majority of the transactions are denominated in
RMB. Some export business however is denominated in foreign currencies. In addition the Group is exposed to foreign
exchange risk arising from the recognized assets and liabilities and future transactions denominated in foreign currencies
primarily with respect to US dollars and Hong Kong dollar. The Group monitors the scale of foreign currency transactions foreign
currency assets and liabilities and adjusts settlement currency of export business to furthest reduce the currency risk.On 30 June 2023 book values in RMB equivalent of the Group’s assets and liabilities denominated in foreign currencies are
summarized below:
Unit: RMB
30 June 2023
USD HKD Others Total
Financial assets
denominated in foreign
currency
Cash at bank and on hand 92085669 10994887 411610 103492166
Receivables 137617694 1663061 6575688 145856443
Total 229703363 12657948 6987298 249348609
Financial liabilities
denominated in foreign
currency
Payables 29129682 55836 1643119 30828637
Total 29129682 55836 1643119 30828637
Unit: RMB
1 January 2023
USD HKD Others Total
Financial assets
denominated in foreign
currency
Cash at bank and on hand 31173757 6942974 213024 38329755
Receivables 128863157 1305159 6196529 136364845
Total 160036914 8248133 6409553 174694600
Financial liabilities
denominated in foreign
currency
Payables 28189789 234966 4483784 32908539
Total 28189789 234966 4483784 32908539
On 30 June 2023 if the currency had strengthened/weakened by 10% against the USD while all other variables had been held
constant the Group’s net profit for the year would have been approximately RMB 17048763 lower/higher (31 December 2022:
approximately RMB 11207006 lower/higher) for various financial assets and liabilities denominated in USD.Other changes in exchange rate had no significant impact on the Group's operating activities except USD dollar.
71CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
（2）Interest rate risk
The Group's interest rate risk arises from long-term interest bearing debts including long-term borrowings and bonds payable.Financial liabilities issued at floating rates expose the Group to cash flow interest rate risk. Financial liabilities issued at fixed rates
expose the Group to fair value interest rate risk. The Group determines the relative proportions of its fixed rate and floating rate
contracts depending on the prevailing market conditions. As at 30 June 2023 the Group’s long-term interest-bearing debts at and
fixed rates and floating rates are illustrated below:
Unit: RMB
Type 30 June 2023 1 January 2023
Contracts at fixed rates 763027404 487260925
Contracts at floating rates 4465873177 3866329055
Total 5228900581 4353589980
The Group continuously monitors the interest rate position of the Group. Increases in interest rates will increase the cost of new
borrowing and the interest expenses with respect to the Group’s outstanding floating rate borrowings and therefore could have a
material adverse effect on the Group’s financial position. The Group makes adjustments timely with reference to the latest market
conditions which includes increasing/decreasing long-term fixed rate debts at the anticipation of increasing/decreasing interest
rate.
2、Credit risk
Credit risk is managed on the grouping basis. Credit risk mainly arises from cash at bank notes receivable accounts receivable
other receivables.The Group expects that there is no significant credit risk associated with cash at bank since they are mainly deposited at state-
owned banks and other medium or large size listed banks. Management does not expect that there will be any significant losses
from non-performance by these counterparties. Furthermore as the Group’s bank acceptance notes receivable are generally
accepted by the state-owned banks and other large and medium listed banks management believes the credit risk should be limited.In addition the Group has policies to limit the credit exposure on accounts receivable other receivables and trade acceptance notes
receivable. The Group assesses the credit quality of and sets credit limits on its customers by taking into account their financial
position the availability of guarantee from third parties their credit history and other factors such as current market conditions.The credit history of the customers is regularly monitored by the Group. In respect of customers with a poor credit history the
Group will use written payment reminders or shorten or cancel credit periods to ensure the overall credit risk of the Group is
limited to a controllable extent.
3、Liquidity risk
Cash flow forecasting is performed by each subsidiary of the Group and aggregated by the Group’s finance department in its
headquarters. The Group’s finance department at its headquarters monitors rolling forecasts of the Group's short-term and long-
term liquidity requirements to ensure it has sufficient cash reserve while maintaining sufficient headroom on its undrawn
committed borrowing facilities from major financial institutions so that the Group does not breach borrowing limits or covenants
on any of its borrowing facilities to meet the short-term and long-term liquidity requirements.Management will implement the following measures to ensure the liquidation risk limited to a controllable extent:
72CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
(a) The Group will have steady cash inflows from operating activities;
(b) The Group will pay the debts that mature and finance the construction projects through the existing bank facilities;
(c) The Group will closely monitor the payment of construction expenditure in terms of payment time and amount.The financial liabilities of the Group at the balance sheet date are analyzed by their maturity date below at their undiscounted
contractual cash flows:
Unit: RMB
30 June 2023
Item
Within 1 year 1 to 2 years 2 to 5years Over 5 years Total
Short-term borrowings 393996838 393996838
Notes payable 1359373689 1359373689
Accounts payable 3024632655 3024632655
Other payables 463757844 463757844
Other current liabilities 89468648 89468648
Non-current liabilities due within
10298201201029820120
one year
Long-term payables 42357197 67068366 109425563
Long-term borrowings 184899213 1451148970 3266108860 916249339 5818406382
Total 6545949007 1493506167 3333177226 916249339 12288881739
Unit: RMB
1 January 2023
Item
Within 1 year 1 to 2 years 2 to 5years Over 5 years Total
Short-term borrowings 350149308 350149308
Notes payable 994557496 994557496
Accounts payable 2033542627 2033542627
Other payables 537065184 537065184
Other current liabilities 50407240 50407240
Non-current liabilities due within 2493836975 2493836975
one year
Long-term payables 40906147 88330731 129236878
Long-term borrowings 159922694 1158108565 2569845854 1040196665 4928073778
Total 6619481524 1199014712 2658176585 1040196665 11516869486
XI、DISCLOSURE OF FAIR VALUE
1、Closing balance of assets and liabilities measured at fair value
Unit: RMB
Item Closing fair value
73CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Level 1 Level 2 Level 3 Total
Financial assets at fair value through
--------
profit or loss
Structured deposits
Financial assets at fair value through
--------
other comprehensive income
Receivables financing 830989703 830989703
Investment property 290368105 290368105
Total 290368105 830989703 1121357808
2、Fair value of financial assets and financial liabilities not measured at fair value
The group’s financial assets and financial liabilities measured at amortized cost mainly include: notes receivable accounts
receivable other receivable short-term borrowings accounts payable lease liabilities long term borrowings bonds payable etc.Except for financial liabilities listed below book value of the other financial assets and liabilities not measured at fair value is a
reasonable approximation of their fair value.Unit: RMB
30 June 2023 1 January 2023
Item
Carrying amount Fair value Carrying amount Fair value
Corporate bonds 1999316522 2001520000
Total 1999316522 2001520000
XII、RELATED PARTIES AND RELATED PARTY TRANSACTIONS
1、Information of the parent company
The Company regards no entity as the parent company.
2、The subsidiaries
The general information and other related information of the subsidiaries are set out in Note VII(1).
3、General information of the Group’s associate
None
4、Other related parties information
Name of Other Related Party Relationship with the Group
Qianhai Life Insurance Co. Ltd The largest shareholder of the Company
Related party of the Company's largest shareholder of taking
Suzhou Baoqi Logistics Co. Ltd.concerted action
Shantou Chaoshang Urban Comprehensive Management Co. Related party of the Company's largest shareholder of taking
Ltd concerted action
Shantou Laihua Industrial Co. Ltd. Related party of the Company's largest shareholder of taking
74CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
concerted action
5、Related party transactions
（1）Purchase and sales of goods and rendering and receiving services
Table on purchase of goods/receiving of services
Unit: RMB
Related parties Related transaction H1 2023 H1 2022
Qianhai Life Insurance Co.Purchase of life insurance
Ltd 3787542 3323544
Other related parties Purchase of goods etc. 245339
Total 3787542 3568883
Table on sales of goods/providing of services
Unit: RMB
Related parties Related transaction H1 2023 H1 2022
Shantou Chaoshang Urban
Comprehensive Management Co. Sales of goods 478927
Ltd
Other related parties Sales of goods 71645 208935
Total 550572 208935
（2）Related party leases
The Company as lessee:
Unit: RMB
Rent costs of short-
term Variable lease
leases and low- payments not
value Interest expenses included in the Increase of right-
Name Type of Rentals on lease liabilities asset leases with measurement of of-use assets
of leased in the current year
simplified lease obligation (if
lessor asset
treatment (if applicable)
applicable)
H1 H1 H1 H1 H1 H1 H1 H1 H1
H1 2022
202320222023202220232023202220232022
Other
Buildin
related 442325 19559
g
parties
6、Receivables from and payables to related parties
（1）Receivables from related parties
Unit: RMB
Related parties 30 June 2023 1 January 2023
75CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Provision for bad Provision for bad
Carrying amount Carrying amount
debts debts
Qianhai Life Insurance Co. Ltd 572995
Total 572995
（2）Payables to related parties
Unit: RMB
Related parties 30 June 2023 1 January 2023
Suzhou Baoqi Logistics Co. Ltd 314667 314667
Shantou Laihua Industrial Co. Ltd. 20211
Shantou Chaoshang Urban Comprehensive
200881
Management Co. Ltd
Other related parties 118762 125408
Total 453640 640956
7、Commitments made by related parties
8、Other information
XIII、SHARE-BASED PAYMENTS
1、Overall share-based payments
None
2、Equity-settled share-based payments
None
3、Cash-settled share-based payments
None
XIV、COMMITMENTS AND CONTINGENCIES
1、Significant commitments
Capital expenditures contracted for by the Group at the balance sheet date but are not yet necessary to be recognized on the
balance sheet are as follows:
Unit: RMB
Item 30 June 2023 1 January 2023
Buildings machinery and equipment 5259068982 3060099197
76CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
XV、OTHER SIGNIFICANT EVENTS
1、Segment reporting
（1）Determination basis and accounting policy of report segment
The Group's business activities are classified by product and service as follows:
-Glass segment responsible for production and sale of flat glass and architectural glass as well as production of the silica for the
production of flat glass etc.-Electronic glass and display segment responsible for production and sale of display modules specialised ultra-thin glass etc.-Solar energy and other businesses segment responsible for production and sale of polycrystalline silicon and solar cell modules
photovoltaic energy development and other products etc.The reportable segments of the Group are the business units that provide different products or service. Different businesses require
different technologies and marketing strategies. The Group therefore separately manages the production and operation of each
reportable segment and Estimates their operating results respectively in order to make decisions about resources to be allocated to
these segments and to assess their performance.Inter-segment transfer prices are measured by reference to selling prices to third parties.The assets are allocated based on the operations of the segment and the physical location of the asset. The liabilities are allocated
based on the operations of the segment. Expenses indirectly attributable to each segment are allocated to the segments based on the
proportion of each segment’s revenue.
（2）Financial information of reporting segments
Unit: RMB
Electronic Solar and
Item Flat glass glass other Unallocated Elimination Total
and displays industries
Revenue from
617150409266899315915478660009769948389340245
external customers
Inter-segment
1636838795141273437552445219179302-471828360
revenue
Interest income 2651076 255643 1062614 41531116 45500449
Interest expenses 48827708 2236857 796665 61444973 113306203
Depreciation and
amortisation 395153159 115017819 74291609 11368983 595831570
expenses
Total profit/(loss) 539000083 14131929 371745816 31113750 955991578
Income tax
58762548-573614158567294850774094170
(expenses)/income
Net profit/(loss) 480237535 14705543 355889087 31065243 881897408
Total assets 17035436395 3589063058 4394783457 2246952356 27266235266
Total liabilities 8826523585 638358176 794819916 2735455380 12995157057
Increase in non-
20531634135730682430115643757490892417375763
current assets
77CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
XVI、NOTES TO THE KEY ITEMS IN THE COMPANY'S FINANCIAL STATEMENTS
1、Accounts receivable
（1）Details on categories
Unit: RMB
30 June 2023 1 January 2023
Provision for Provision for bad
Carrying Amount Carrying Amount
bad debts debts
Type Accr Accr
ual Book value Book value
Propo Amoun Propo ual
Amount prop Amount Amount
rtion t rtion propo
ortio
rtion
n
Credit loss
provision
35178427100%3517842724484628100%4896922%23994936
accrued by
portfolio
Total 35178427 100% 35178427 24484628 100% 489692 2% 23994936
Disclosure by ages
Unit: RMB
Aging 30 June 2023
Within 1 year (including 1 year) 35178427
Total 35178427
（2）Provisions made collected or reversed in current period
Provision for bad debts made in current period:
Unit: RMB
Movement in current period
Type 1 January 2023 Withdrawal or 30 June 2023
Accrual Write-off Others
reversal
Provision for bad
debts for 489692 489692
accounts receivable
Total 489692 489692
（3）Accounts receivable details of the top 5 closing balances by debtors
Unit: RMB
Accounts receivable closing
Name % of total balance Provision for bad debts
balance
Total balance of the five
35178427100%
largest accounts receivables
Total 35178427 100%
78CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
2、Other receivables
Unit: RMB
Item 30 June 2023 1 January 2023
Dividend receivable 129077200 375057800
Other receivables 2620795204 1994373982
Total 2749872404 2369431782
（1）Dividends receivable
1）Disclosed by categories
Unit: RMB
Item 30 June 2023 1 January 2023
Dividends receivable from subsidiaries 129077200 375057800
Total 129077200 375057800
（2）Other receivables
1）Other receivables categorized by nature
Unit: RMB
Nature of receivables 30 June 2023 1 January 2023
Due from related parties 2495577727 1870622635
Others 176630079 175134028
Total 2672207806 2045756663
2）Provision for bad debts
Unit: RMB
Stage 1 Stage 2 Stage 3
Expected credit
losses in the Lifetime expected credit Lifetime expected credit
Bad debts Total
following 12 losses lossesmonths (credit unimpaired) (credit impaired)）
(grouping)
Amount on 1 January 2023 82681 51300000 51382681
Carrying amount on 1 January
2023
that in this period:
Increase in current period 29921 29921
Amount on 30 June 2023 112602 51300000 51412602
3）Disclosure by ages
Unit: RMB
79CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Ages 30 June 2023
Within 1 year (including 1 year) 2016721888
Over 1year 655485918
Total 2672207806
4）Provisions for bad debts accrued collected or reversed in current period
Provision for bad debts accrued in current period:
Unit: RMB
Movement in current period
Type 1 January 2023 Withdrawal or 30 June 2023
Accrual Write-off Others
reversal
Provision for bad debts of
513826812992151412602
other receivables
Total 51382681 29921 51412602
5）Other receivables details of the top 5 closing balances by debtors
Unit: RMB
Relationship with Provision for
Name of entity Amount Ageing % of total balance
the Group bad debts
Company 1 Subsidiary 530568458 Within 1 year 20%
Company 2 Subsidiary 263946590 Within 1 year 10%
Company 3 Subsidiary 246143413 Within 1 year 9%
Company 4 Subsidiary 203072111 Over 1 year 8%
Company 5 Subsidiary 188301048 Within 1 year 7%
Total 1432031620 54%
3、Long-term equity investments
Unit: RMB
30 June 2023 1 January 2023
Item Carrying Provision for Carrying Provision for
Book value Book value
amount impairment amount impairment
Investment in
88527698671500000088377698677853487027150000007838487027
subsidiaries
Total 8852769867 15000000 8837769867 7853487027 15000000 7838487027
（1）Investments in subsidiaries
Unit: RMB
Movement in current period Closing
balance of
Investee 1 January 2023 Decrease ProvisioIncrease in 30 June 2023
in n for Others impairment
investment
investmen impairm provision
80CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
t ent loss
Chengdu CSG 151397763 151397763
Sichuan Energy
Conservation 119256949 119256949
Company
Tianjin Energy
Conservation 247833327 247833327
Company
Dongguan
198276242198276242
Engineering Company
Dongguan Solar
355120247355120247
Energy Company
Dongguan
Photovoltaic 382112183 382112183
Company
Yichang Silicon
909960170909960170
Material Company
Wujiang Engineering
254401190254401190
Company
Hebei CSG 266189705 266189705
CSG (Hong Kong)
8776730487767304
Co. Ltd.Wujiang CSG 567645430 567645430
Jiangyou Sands
102415096102415096
Company
Xianning Float
181116277181116277
Company
Xianning Energy
165452035165452035
Saving Company
Qingyuan Energy
885273105885273105
Saving Company
Shenzhen CSG
Financial Leasing 133500000 133500000
Co. Ltd.Shenzhen Display
550765474550765474
Company
Zhaoqing Energy
150000000150000000
Saving Company
Zhaoqing CSG
Automotive Glass 116047333 27254920 143302253
Co. Ltd.Anhui Energy
13000000001334279201433427920
Company
Anhui Quartz
7500000075000000
Company
Anhui Silicon Valley
Mingdu Mining 120000000 120000000
Company
Shenzhen CSG
2000000020000000
Medical Company
Xi'an energy
413650003160000072965000
conservation company
Guangxi New Energy
5700000050000000107000000
Materials Company
Nanbo (Suzhou)
3000000030000000
Corporate
81CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Headquarters
Management Co. Ltd.Shenzhen South Glass
New Energy Industry 120000000 720000000 840000000
Development Co. Ltd
Others 250592197 37000000 287592197 15000000
Total 7838487027 999282840 8837769867 15000000
4、Operating income and operating costs
Unit: RMB
H1 2023 H1 2022
Item
Income Cost Income Cost
Principal operation 833033 15479200 15015892
Other operations 218992685 214719212
Total 219825718 230198412 15015892
5、Investment income
Unit: RMB
Item H1 2023 H1 2022
Investment income from long-term equity
1680533152648961128
investment under cost method
Investment income from financial assets held
14478503
for trading during the holding period
Income from term deposits 1534181 1935192
Total 1682067333 665374823
XVII、SUPPLEMENTARY INFORMATION
1、Statement of non-recurring gains and losses
√ Applicable □ Not applicable
Unit: RMB
Item Amount Notes
Gains or losses on disposal of non-current assets 53451
Government grants recognized in profit or loss (except for
grants that are closely related to the Company's business and
48576899
are in amounts and quantities fixed in accordance with the
national standard)
Losses/gains from changes of fair values occurred in holding
trading financial assets and trading financial liabilities and
investment income obtaining from the disposal of trading
1534181
financial assets trading financial liability and financial assets
available-for-sale excluded effective hedging business
relevant with normal operations of the Company
Reversal of provision for accounts receivable that are tested
2698913
for credit loss individually
82CSG HOLDING CO. LTD. Financial Report of Semi-annual Report 2023
Other non-operating income or expenses other than above 8503373
Less :Influenced amount of income tax 8958077
Influenced amount of minor shareholders’ equity 1168728
Total 51240012 --
Particulars about other gains and losses that meet the definition of non-recurring gains and losses:
□ Applicable √ Not applicable
It did not exist that other profit and loss items met the definition of non-recurring gains and losses.Explanation of the non-recurring gains and losses listed in the Explanatory Announcement No.1 on Information Disclosure for
Companies Offering their Securities to the Public - Non-recurring Gains and Losses as recurring gains and losses
□ Applicable √ Not applicable
2、Return on net assets and earnings per share
Weighted average Earnings per share
The profit of reporting period return on net Basic earnings per share Diluted earnings per share
assets (RMB/share) (RMB/share)
Net profit attributable to ordinary
6.69%0.290.29
shareholders of the Company
Net profit attributable to ordinary
shareholders of the Company after
6.30%0.270.27
deducting non-recurring gains and
losses
Board of Directors of
CSG Holding Co. Ltd.
29 August 2023
83
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