Semi-Annual Report 2025

Shenzhen China Bicycle Company (Holdings) Limited

Semi-Annual Financial Report 2025

August 2025

1Semi-Annual Report 2025

I. Audit report

Whether the semi-annual report is audited

□Yes□No

The company's semi-annual financial report has not been audited

II. Financial Statement

Statement in Financial Notes are carried Unit: RMB/CNY

1. Consolidated Balance Sheet

Prepared by Shenzhen China Bicycle Company (Holdings) Limited

June 30 2025

In RMB

Item 2025-6-30 2025-1-1

Current assets:

Monetary fund 59154588.98 80974360.59

Settlement provisions

Capital lent

Trading financial assets

Derivative financial assets

Note receivable

Account receivable 163011475.07 233608634.59

Receivable financing

Accounts paid in advance 675634.48 931762.60

Insurance receivable

Reinsurance receivables

Contract reserve of reinsurance

receivable

Other account receivable 1049976.57 18883650.76

Including: Interest receivable

Dividend receivable

Buying back the sale of financial

assets

Inventory 243632693.54 84349675.00

Including：Data resources

Contractual assets

Assets held for sale

Non-current asset due within one year

Other current assets 16502052.29 2934787.58

Total current assets 484026420.93 421682871.12

Non-current assets:

Loans and payments on behalf

2Semi-Annual Report 2025

Debt investment

Other debt investment

Long-term account receivable

Long-term equity investment 830481.86 830481.86

Investment in other equity instrument

Other non-current financial assets

Investment real estate

Fix assets 2772051.24 2931163.10

Construction in progress

Productive biological asset

Oil and gas asset

Right-of-use assets 3214017.90 3836085.90

Intangible assets

Including：Data resources

Expense on Research and Development

Including：Data resources

Goodwill

Long-term expenses to be apportioned

Deferred income tax asset 5388150.89 5171495.77

Other non-current asset

Total non-current asset 12204701.89 12769226.63

Total assets 496231122.82 434452097.75

Current liabilities:

Short-term loans 24250000.00 9900000.00

Loan from central bank

Capital borrowed

Trading financial liability

Derivative financial liability

Note payable

Account payable 12557961.31 7636699.51

Accounts received in advance

Contract liability 31118466.86 4868279.05

Selling financial asset of repurchase

Absorbing deposit and interbank deposit

Security trading of agency

Security sales of agency

Wage payable 1910451.28 807688.20

Taxes payable 3888428.69 4490392.21

Other account payable 42624165.17 33704488.43

Including: Interest payable

Dividend payable

Commission charge and commission

payable

Reinsurance payable

Liability held for sale

Non-current liabilities due within one

year 1438146.75 1389819.85

Other current liabilities 4039410.62 302687.60

3Semi-Annual Report 2025

Total current liabilities 121827030.68 63100054.85

Non-current liabilities:

Insurance contract reserve

Long-term loans

Bonds payable

Including: Preferred stock

Perpetual capital securities

Lease liability 2799531.44 3212882.77

Long-term account payable

Long-term wages payable

Accrual liability

Deferred income

Deferred income tax liabilities

Other non-current liabilities

Total non-current liabilities 2799531.44 3212882.77

Total liabilities 124626562.12 66312937.62

Owner’s equity:

Share capital 689184933.00 689184933.00

Other equity instrument

Including: Preferred stock

Perpetual capital securities

Capital public reserve 797709204.77 797709204.77

Less: Inventory shares

Other comprehensive income -434799.12

Reasonable reserve

Surplus public reserve 32673227.01 32673227.01

Provision of general risk

Retained profit -1157235340.98 -1175806118.62

Total owner’ s equity attributable to

parent company 361897224.68 343761246.16

Minority interests 9707336.02 24377913.97

Total owner’ s equity 371604560.70 368139160.13

Total liabilities and owner’ s equity 496231122.82 434452097.75

Legal Representative: Wang Shenghong

Person in charge of Accounting Works: Sun Longlong

Person in charge of Accounting Institution: She Hanxing

2. Balance Sheet of Parent Company

I n RMB

Item 2025-6-30 2025-1-1

Current assets:

Monetary fund 44125370.86 43100182.78

Trading financial assets

Derivative financial assets

Note receivable

Account receivable 109918903.48 96617648.86

Receivable financing

Accounts paid in advance 33516.36 38433.55

Other account receivable 54082886.47 59769403.49

4Semi-Annual Report 2025

Including: Interest receivable

Dividend receivable

Inventory 76255293.40 48492400.18

Including：Data resources

Contractual assets

Assets held for sale

Non-current asset due within one year

Other current assets 2329307.37 410718.01

Total current assets 286745277.94 248428786.87

Non-current assets:

Debt investment

Other debt investment

Long-term account receivable

Long-term equity investment 147696069.73 126995379.73

Investment in other equity instrument

Other non-current financial assets

Investment real estate

Fix assets 2333026.58 2455032.62

Construction in progress

Productive biological asset

Oil and gas asset

Right-of-use assets

Intangible assets

Including：Data resources

Expense on Research and

Development

Including：Data resources

Goodwill

Long-term expenses to be apportioned

Deferred income tax asset 4929575.69 4747908.10

Other non-current asset

Total non-current asset 154958672.00 134198320.45

Total assets 441703949.94 382627107.32

Current liabilities:

Short-term loans 19300000.00 9900000.00

Trading financial liability

Derivative financial liability

Note payable

Account payable 535614.48 943733.90

Accounts received in advance

Contract liability 31072389.38 3539823.01

Wage payable 863399.87 429873.60

Taxes payable 1375304.55 1623423.76

Other account payable 38731576.91 26994291.79

Including: Interest payable

Dividend payable

Liability held for sale

5Semi-Annual Report 2025

Non-current liabilities due within one

year

Other current liabilities 4039410.62 460176.99

Total current liabilities 95917695.81 43891323.05

Non-current liabilities:

Long-term loans

Bonds payable

Including: Preferred stock

Perpetual capital securities

Lease liability

Long-term account payable

Long-term wages payable

Accrual liability

Deferred income

Deferred income tax liabilities

Other non-current liabilities

Total non-current liabilities

Total liabilities 95917695.81 43891323.05

Owner’s equity:

Share capital 689184933.00 689184933.00

Other equity instrument

Including: Preferred stock

Perpetual capital securities

Capital public reserve 809077277.12 809077277.12

Less: Inventory shares

Other comprehensive income

Reasonable reserve

Surplus public reserve 32673227.01 32673227.01

Retained profit -1185149183.00 -1192199652.86

Total owner’ s equity 345786254.13 338735784.27

Total liabilities and owner’ s equity 441703949.94 382627107.32

3. Consolidated Profit Statement

In RMB

Item Semi-annual of 2025 Semi-annual of 2024

I. Total operation revenue 319943616.63 213499597.25

Including: Operation revenue 319943616.63 213499597.25

Interest income

Insurance gained

Commission charge and commission

income

II. Total operation cost 296194628.18 207306438.18

Including: Operation cost 285089133.54 200995029.52

Interest expense

Commission charge and commission

expense

Cash surrender value

Net amount of expense of compensation

Net amount of withdrawal of insurance

6Semi-Annual Report 2025

contract reserve

Bonus expense of guarantee slip

Reinsurance expense

Tax and surcharge 249823.72 151502.35

Sales expenses 3955043.06 1778393.48

Administration expenses 6158206.48 3928458.71

R&D expenses 484358.77 454213.62

Finance expenses 258062.61 -1159.50

Including: Interest expenses 176043.87 25397.71

Interest income 5679.08 60794.91

Add: Other incomeInvestment income (Loss is listed with “-”)

Including: Investment income on

affiliated company and joint venture

The termination of income recognition

for financial assets measured by

amortized costExchange income (Loss is listed with “-”)-36.52

Net exposure hedging income (Loss is

listed with “-”)

Income from change of fair value (Loss

is listed with “-”)

Loss of credit impairment (Loss is listed

with “-”) -606085.62 254919.43

Impairment loss on assets(Loss is listed

with “-”) 8123.50

Income from assets disposal (Loss is

listed with “-”)

III. Operation profit (Loss is listed with

“-”)23142866.316456202.00

Add: Non-operating income 840630.92 1240262.87

Less: Non-operating expense 1763.71 60128.00

IV. Total profit (Loss is listed with “-”) 23981733.52 7636336.87

Less: Income tax expenses 5056533.83 2128307.99

V. Net profit (Net loss is listed with “-”) 18925199.69 5508028.88

(i) Classify by business continuity

1.Continuous operating net profit (netloss listed with ‘-”) 18925199.69 5508028.88

2.Termination of net profit (net losslisted with ‘-”)

(ii) Classify by ownership

1.Net profit attributable to shareholders

of parent company (net loss listed with ‘- 18570777.64 5717642.69

”)

2.Minority shareholders’ gains and losses(net loss listed with ‘-”) 354422.05 -209613.81

VI. Net other comprehensive income

after taxation -434799.12

Net other comprehensive income

attributable to owners of parent company -434799.12

after taxation

(i) Other comprehensive income items

which will not be reclassified

subsequently to profit of loss

7Semi-Annual Report 2025

1.Changes of the defined benefit plans

that re-measured

2.Other comprehensive income under

equity method that cannot be transfer to

gain/loss

3.Change of fair value of investment in

other equity instrument

4.Fair value change of enterprise's credit

risk

5. Other

(ii) Other comprehensive income items

which will be reclassified subsequently -434799.12

to profit or loss

1.Other comprehensive income under

equity method that can transfer to

gain/loss

2.Change of fair value of other debt

investment

3.Amount of financial assets re-classify

to other comprehensive income

4.Credit impairment provision for other

debt investment

5.Cash flow hedging reserve

6.Translation differences arising on

translation of foreign currency financial -434799.12

statements

7.Other

Net other comprehensive income

attributable to minority shareholders

after taxation

VII. Total comprehensive income 18490400.57 5508028.88

Total comprehensive income attributable

to owners of parent Company 18135978.52 5717642.69

Total comprehensive income attributable

to minority shareholders 354422.05 -209613.81

VIII. Earnings per share:

(i)Basic EPS 0.0269 0.0083

(ii)Diluted EPS 0.0269 0.0083

As for the enterprise combined under the same control net profit of 0.00Yuan achieved by the merged party before combination

while 0.00 Yuan achieved last period.Legal Representative: Wang Shenghong

Person in charge of Accounting Works: Sun Longlong

Person in charge of Accounting Institution: She Hanxing

4. Profit Statement of Parent Company

In RMB

Item Semi-annual of2025 Semi-annual of2024

I. Operation revenue 154121043.85 42842025.55

Less: Operation cost 140923708.46 37134145.84

Tax and surcharge 122000.73 31409.40

Sales expenses 171516.00 42828.78

Administration expenses 3477287.62 1986875.83

R&D expenses 186604.92 224047.20

Finance expenses 167981.11 957.31

Including: Interest expenses 165003.87

Interest income 3111.42 5696.20

8Semi-Annual Report 2025

Add: Other incomeInvestment income (Loss is listed with “-”)

Including:Investment income on

affiliated company and joint venture

The termination of income recognition

for financial assets measured by

amortized cost(Loss is listed with “-”)

Net exposure hedging income (Loss is

listed with “-”)

Income from change of fair value (Loss

is listed with “-”)

Loss of credit impairment (Loss is listed

with “-”) -726670.38 290961.03

Impairment loss on assets(Loss is listed

with “-”)

Income from assets disposal (Loss is

listed with “-”)II. Operation profit(Loss is listed with “-”)8345274.633712722.22

Add: Non-operating income 775487.01 1200994.87

Less: Non-operating expense 1079.13 56908.19

III. Total profit (Total losses are listed

with “-”) 9119682.51 4856808.90

Less: Income tax expenses 2069212.65 1244675.16

IV. Net profit (Net loss is listed with “-”) 7050469.86 3612133.74

(i)Continuous operating net profit (netloss listed with ‘-”) 7050469.86 3612133.74

(ii)Termination of net profit (net losslisted with ‘-”)

V. Net other comprehensive income after

taxation

(i) Other comprehensive income items

which will not be reclassified

subsequently to profit of loss

1.Changes of the defined benefit plans

that re-measured

2.Other comprehensive income under

equity method that cannot be transfer to

gain/loss

3.Change of fair value of investment in

other equity instrument

4.Fair value change of enterprise's credit

risk

5. Other

(ii) Other comprehensive income items

which will be reclassified subsequently

to profit or loss

1.Other comprehensive income under

equity method that can transfer to

gain/loss

2.Change of fair value of other debt

investment

3.Amount of financial assets re-classify

to other comprehensive income

4.Credit impairment provision for other

debt investment

5.Cash flow hedging reserve

6.Translation differences arising on

translation of foreign currency financial

9Semi-Annual Report 2025

statements

7.Other

VI. Total comprehensive income 7050469.86 3612133.74

VII. Earnings per share:

(i)Basic EPS

(ii)Diluted EPS

5. Consolidated Cash Flow Statement

In RMB

Item Semi-annual of2025 Semi-annual of2024

I. Cash flows arising from operating

activities:

Cash received from selling commodities

and providing labor services 453006079.49 208540289.21

Net increase of customer deposit and

interbank deposit

Net increase of loan from central bank

Net increase of capital borrowed from

other financial institution

Cash received from original insurance

contract fee

Net cash received from reinsurance

business

Net increase of insured savings and

investment

Cash received from interest commission

charge and commission

Net increase of capital borrowed

Net increase of capital from repurchase

business

Net cash received by agents in sale and

purchase of securities

Write-back of tax received

Other cash received concerning

operating activities 21041416.67 12931342.09

Subtotal of cash in-flow arising from

operation activity 474047496.16 221471631.30

Cash paid for purchasing commodities

and receiving labor service 489626365.63 257584685.85

Net increase of customer loans and

advances

Net increase of deposits in central bank

and interbank

Cash paid for original insurance contract

compensation

Net increase of capital lent

Cash paid for interest handling charge

and commission

Cash paid for bonus of guarantee slip

Cash paid to/for staff 5325697.91 4191369.89

Taxes paid 6578622.20 6814606.57

Other cash paid concerning operating

activities 11020232.91 4209777.81

Subtotal of cash out-flow arising from

operation activity 512550918.65 272800440.12

Net cash flow arising from operating

activities -38503422.49 -51328808.82

10Semi-Annual Report 2025

II. Cash flows arising from investing

activities:

Cash received from recovering

investment

Cash received from investment

income

Net cash received from disposal of

fixed intangible and other long-term

assets

Net cash received from disposal of

subsidiaries and other units

Other cash received concerning investing

activities

Subtotal of cash in-flow arising from

investment activity

Cash paid for purchasing fixed

intangible and other long-term assets 10358.00 38793.99

Cash paid for investment 30000.00

Net increase of mortgaged loans

Net cash received from subsidiaries

and other units obtained

Other cash paid concerning investing

activities

Subtotal of cash out-flow arising from

investment activity 10358.00 68793.99

Net cash flow arising from investment

activities -10358.00 -68793.99

III. Cash flows arising from financing

activities:

Cash received from absorbing

investment 9750000.00

Including: Cash received from

absorbing minority shareholders’

investment by subsidiaries

Cash received from loans 15000000.00

Other cash received concerning

financing activities 18154754.41 12098051.76

Subtotal of cash in-flow arising from

financing activity 33154754.41 21848051.76

Cash paid for settling debts 650000.00

Cash paid for dividend and profit

distributing or interest paying 176043.87

Including: Dividend and profit of

minority shareholder paid by subsidiaries

Other cash paid concerning financing

activities 15025000.00

Subtotal of cash out-flow arising from

financing activity 15851043.87

Net cash flow arising from financing

activities 17303710.54 21848051.76

IV. Influence on cash and cash

equivalents due to fluctuation in -434835.64

exchange rate

V. Net increase of cash and cash

equivalent -21644905.59 -29549551.05

Add: Balance of cash and cash

equivalents at the period -begin 80799494.57 54148674.40

VI. Balance of cash and cash equivalents

at the period -end 59154588.98 24599123.35

6. Cash Flow Statement of Parent Company

In RMB

11Semi-Annual Report 2025

Item Semi-annual of2025 Semi-annual of2024

I. Cash flows arising from operating

activities:

Cash received from selling

commodities and providing labor 190591512.21 159622320.49

services

Write-back of tax received

Other cash received concerning

operating activities 35715006.34 32892557.22

Subtotal of cash inflow arising from

operating activities 226306518.55 192514877.71

Cash paid for purchasing

commodities and receiving labor service 190494579.90 22193155.15

Cash paid to/for staff and workers 2193743.44 2061971.12

Taxes paid 2657025.08 5466087.76

Other cash paid concerning

operating activities 36625042.59 169094699.79

Subtotal of cash outflow arising from

operating activities 231970391.01 198815913.82

Net cash flow arising from operating

activities -5663872.46 -6301036.11

II. Cash flows arising from investing

activities:

Cash received from recovering

investment

Cash received from investment

income

Net cash received from disposal of

fixed intangible and other long-term

assets

Net cash received from disposal of

subsidiaries and other units

Other cash received concerning

investing activities

Subtotal of cash inflow from investing

activities

Cash paid for purchasing fixed

intangible and other long-term assets

Cash paid for investment 20700690.00 5250000.00

Net cash received from subsidiaries

and other units obtained

Other cash paid concerning investing

activities

Subtotal of cash outflow from investing

activities 20700690.00 5250000.00

Net cash flow arising from investment

activities -20700690.00 -5250000.00

III. Cash flows arising from financing

activities:

Cash received from absorbing

investment

Cash received from loans 10000000.00

Other cash received concerning

financing activities 18154754.41 12098051.76

Subtotal of cash inflow from financing

activities 28154754.41 12098051.76

Cash paid for settling debts 600000.00

Cash paid for dividend and profit

distributing or interest paying 165003.87

Other cash paid concerning financing

activities

Subtotal of cash outflow from financing

activities 765003.87

Net cash flow arising from financing

activities 27389750.54 12098051.76

12Semi-Annual Report 2025

IV. Influence on cash and cash

equivalents due to fluctuation in

exchange rate

V. Net increase of cash and cash

equivalents 1025188.08 547015.65

Add: Balance of cash and cash

equivalents at the period -begin 43100182.78 13378843.17

VI. Balance of cash and cash equivalents

at the period -end 44125370.86 13925858.82

13Semi-Annual Report 2025

7. Statement of Changes in Owners’ Equity (Consolidated)

Current Amount

In RMB

Semi-annual of 2025

Owners’ equity attributable to the parent Company

Other equity instrument

Item Perpet Capital Less: Other Reasona Surplus Provisi Minority Total owner’Share ual public Invent comprehen ble public on of Retained OthPrefer interests s equitycapital capital Oth reserve ory sive reserve reserve genera profit er

Subtotal

red

stock securit

er shares income l risk

ies

I. The

ending 68918 -

balance of 797709204 32673227. 343761246 24377913. 3681391604933.0 1175806118

the previous .77 01 .16 97 .130 .62

year

Add:

Changes of

accounting

policy

Error

correction

of the last

period

Other

II. The

beginning 68918 -

balance of 797709204 32673227. 343761246 24377913. 3681391604933.0 1175806118

the current .77 01 .16 97 .130 .62

year

III. Increase/

Decrease in -

the period - 18135978. 3465400.5

(Decrease is 18570777.64 14670577.434799.12 52 7

listed with 95

“-”)

(i) Total

comprehensi - 18135978. 18490400.18570777.64 354422.05

ve income 434799.12 52 57

(ii) Owners’

devoted and - -

14Semi-Annual Report 2025

decreased 15025000. 15025000.capital 00 00

1.Common - -

shares

invested by 15025000. 15025000.shareholders 00 00

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned

into owners

equity with

share-based

payment

4. Other

(iii) Profit

distribution

1.

Withdrawal

of surplus

reserves

2.

Withdrawal

of general

risk

provisions

3.

Distribution

for owners

(or

shareholders

)

4. Other

(iv)

Carrying

forward

internal

owners’

equity

1. Capital

reserves

conversed to

15Semi-Annual Report 2025

capital

(share

capital)

2. Surplus

reserves

conversed to

capital

(share

capital)

3.

Remedying

loss with

surplus

reserve

4. Carry-

over

retained

earnings

from the

defined

benefit

plans

5. Carry-

over

retained

earnings

from other

comprehensi

ve income

6. Other

(v)

Reasonable

reserve

1.

Withdrawal

in the report

period

2. Usage in

the report

period

(vi) Others

IV. Balance 68918 -

at the end of 797709204 - 32673227. 361897224 9707336.0 3716045604933.0 1157235340

the period .77 434799.12 01 .68 2 .700 .98

16Semi-Annual Report 2025

Amount of the previous period

In RMB

Semi-annual of2024

Owners’ equity attributable to the parent Company

Other equity instrument

Item Perpet Capital Less: Other Provisi Minority

Total

Share ual public Invent comprehen

Reasona Surplus owner’ s

capital Prefer Oth ory sive ble public

on of Retained Oth Subtotal interests

capital equityred er reserve shares income reserve reserve

genera profit er

stock securit

l risk

ies

I. The

ending -

balance of 68918493 77955445 3267322 30876124 639908.0 30940115

the 119265133.00 0.36 7.01 6.16 3 4.19

previous 64.21

year

Add:

Changes

of

accounting

policy

Error

correction

of the last

period

Other

II. The

beginning -

balance of 68918493 77955445 3267322 30876124 639908.0 3094011511926513

the current 3.00 0.36 7.01 6.16 3 4.1964.21

year

III.Increase/

Decrease

in the 5717642.6 5717642. 9540386. 15258028

period 9 69 19 .88

(Decrease

is listed

with “-”)

(i) Total

comprehen 5717642.6 5717642. - 5508028.

17Semi-Annual Report 2025

sive 9 69 209613.8 88

income 1

(ii)

Owners’

devoted 9750000. 9750000.and 00 00

decreased

capital

1.Common

shares

invested 9750000. 9750000.by 00 00

shareholde

rs

2. Capital

invested

by holders

of other

equity

instrument

s

3. Amount

reckoned

into

owners

equity

with share-

based

payment

4. Other

(iii) Profit

distributio

n

1.

Withdrawa

l of surplus

reserves

2.

Withdrawa

l of

general

risk

provisions

3.

Distributio

18Semi-Annual Report 2025

n for

owners (or

shareholde

rs)

4. Other

(iv)

Carrying

forward

internal

owners’

equity

1. Capital

reserves

conversed

to capital

(share

capital)

2. Surplus

reserves

conversed

to capital

(share

capital)

3.

Remedyin

g loss with

surplus

reserve

4. Carry-

over

retained

earnings

from the

defined

benefit

plans

5. Carry-

over

retained

earnings

from other

comprehen

sive

income

6. Other

19Semi-Annual Report 2025

(v)

Reasonabl

e reserve

1.

Withdrawa

l in the

report

period

2. Usage

in the

report

period

(vi) Others

IV. -

Balance at 68918493 77955445 3267322 31447888 1018029 32465918

the end of 118693373.00 0.36 7.01 8.85 4.22 3.07

the period 21.52

8. Statement of Changes in Owners’ Equity (Parent Company)

Current Amount

In RMB

Semi-annual of 2025

Other equity instrument

Item Perpetua

Share capital Capital public

Less: Other Reasonabl Surplus Othe Total owner’ s

Preferre l capital Othe reserve

Inventor comprehensiv Retained profit

y shares e income e reserve public reserve r equity

d stock securitie rs

I. The ending -

balance of the 689184933.0 809077277.1 32673227.0 338735784.21192199652.8

previous year 0 2 1 76

Add:

Changes of

accounting

policy

Error

correction of

20Semi-Annual Report 2025

the last period

Other

II. The -

beginning 689184933.0 809077277.1 32673227.0 338735784.2

balance of the 1192199652.80 2 1 7

current year 6

III. Increase/

Decrease in

the period

(Decrease is 7050469.86 7050469.86listed with “-”)

(i) Total

comprehensiv 7050469.86 7050469.86

e income

(ii) Owners’

devoted and

decreased

capital

1.Common

shares

invested by

shareholders

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned into

owners equity

with share-

based

payment

4. Other

(iii) Profit

distribution

1. Withdrawal

of surplus

reserves

2. Distribution

for owners (or

shareholders)

3. Other

21Semi-Annual Report 2025

(iv) Carrying

forward

internal

owners’ equity

1. Capital

reserves

conversed to

capital (share

capital)

2. Surplus

reserves

conversed to

capital (share

capital)

3. Remedying

loss with

surplus

reserve

4. Carry-over

retained

earnings from

the defined

benefit plans

5. Carry-over

retained

earnings from

other

comprehensiv

e income

6. Other

(v)

Reasonable

reserve

1. Withdrawal

in the report

period

2. Usage in

the report

period

(vi) Others

IV. Balance at -

the end of the 689184933.0 809077277.1 32673227.0 345786254.11185149183.0

period 0 2 1 30

Amount of the previous period

22Semi-Annual Report 2025

In RMB

Semi-annual of2024

Other equity instrument

Item Perpetua Capital public Less: OtherShare capital Reasonabl Surplusl capital Othe reserve Inventor comprehensiv e reserve public reserve Retained profit

Othe Total owner’ s

Preferre y shares e income r equity

d stock securitie rs

I. The ending -

balance of the 689184933.0 790922522.7 32673227.0 311551070.91201229611.7

previous year 0 1 1 39

Add:

Changes of

accounting

policy

Error

correction of

the last period

Other

II. The -

beginning 689184933.0 790922522.7 32673227.0 311551070.9

balance of the 1201229611.70 1 1 3

current year 9

III. Increase/

Decrease in

the period

(Decrease is 3612133.74 3612133.74listed with “-”)

(i) Total

comprehensiv 3612133.74 3612133.74

e income

(ii) Owners’

devoted and

decreased

capital

1.Common

shares

invested by

shareholders

2. Capital

invested by

holders of

23Semi-Annual Report 2025

other equity

instruments

3. Amount

reckoned into

owners equity

with share-

based

payment

4. Other

(iii) Profit

distribution

1. Withdrawal

of surplus

reserves

2. Distribution

for owners (or

shareholders)

3. Other

(iv) Carrying

forward

internal

owners’ equity

1. Capital

reserves

conversed to

capital (share

capital)

2. Surplus

reserves

conversed to

capital (share

capital)

3. Remedying

loss with

surplus

reserve

4. Carry-over

retained

earnings from

the defined

benefit plans

5. Carry-over

retained

earnings from

other

24Semi-Annual Report 2025

comprehensiv

e income

6. Other

(v)

Reasonable

reserve

1. Withdrawal

in the report

period

2. Usage in

the report

period

(vi) Others

IV. Balance at -

the end of the 689184933.0 790922522.7 32673227.0 315163204.61197617478.0

period 0 1 1 75

25Semi-Annual Report 2025

III. Basic information

1. Company Profile

According to the Approval Document SFBF (1991) No. 888 issued by the People’s Government of Shenzhen

Shenzhen China Bicycle Company (Holdings) Co. Ltd. (hereinafter referred to as the CBC) was reincorporated as

the company limited by shares in November 1991. On 28 December 1991 upon the Approval Document

SRYFZ(1991) No. 119 issued by Shenzhen Special Economic Zone Branch of the People’s Bank of China the

Company got listed on Shenzhen Stock Exchange. Registered of the Company amounted as 689184933.00 Yuan.Legal representative: Wang Shenghong

Location: No. 3008 Buxin Road Luohu District Shenzhen

Office address: 8/F Shuibei Jinzuo Building No.89 Beili North Road Cuizhu Street Luohu District Shenzhen

Certificate for Uniform Social Credit Code: 914403006188304524。

2. Business nature and main operation activities

Main business activities: Research & development of the bicycles electric bicycles electric motorcycles

motorcycles electric tricycles electric four-wheeler children's bicycles exercise bikes sports equipment

mechanical products toys electric toys electronic products new energy equipment and storage equipment

(lithium batteries batteries etc.) household appliances and spare parts and electronic components; wholesale

retail import and export and related supporting business of above-mentioned products (excluding commodities

subject to state trade management handling the application according to the relevant national regulations for

commodities involving quotas license management and other special provisions and management); fine chemical

products (excluding dangerous goods) wholesale and retail of carbon fiber composite materials; technology

development of computer software transfer of self-developed technological achievements and providing relevant

technical information consultation; own property leasing; property management. (The above projects do not

involve special administrative measures for the implementation access of national regulations and those involving

restricted projects and pre-existing administrative licenses must obtain the pre-existing administrative licensing

documents before operation.) Purchase and sale of gold products platinum jewelry palladium jewelry K-gold

jewelry silver jewelry inlaid jewelry jewelry jade ware gem-and-jade products clocks and watches precious

metal materials diamonds jadeite crafts (except ivory and its products) calligraphy and painting collection

(except for antiques cultural relics and items prohibited by national laws and administrative regulations).Main products or services currently offered are: Gold jewelry EMMELLE bicycles and electrical bicycles

lithium battery material.

3.Actual controller of the Company

Actual controller of the Company is Wang Shenghong The controlling shareholder is Wansheng Industrial

Holding (Shenzhen) Co. Ltd.who held or controlled 20% shares of the Company.

4. Release of the financial report

The Financial Report was approved to report at the 20th Session of 11th BOD of CBC on August 15 2025.

26Semi-Annual Report 2025

IV. Compilation Basis of Financial Statement

1. Compilation Basis

On the basis of going concern the Company recognizes and measures according to the actual transactions

and events the Accounting Standards for Business Enterprises-Basic Standards and other specific accounting

standards application guidelines standard interpretation and other relevant provisions (hereinafter referred to as

the Accounting Standards for Business Enterprises) and on this basis it compiles the financial statements in

combination with the provisions of the No.15 Rules on Information Disclosure and Compilation of Companies

Offering Securities to the Public - General Provisions on Financial Reports (revised in 2023) issued by China

Securities Regulatory Commission.

2. Going concern

The Company has the ability to continue to operate for at least 12 months from the end of this reporting period

and there is no major issue affecting its ability to continue to operate.V. Main accounting policy and Accounting Estimate

Tips for specific accounting policy and estimate:

Nil

1. Declaration on compliance with accounting standards for business enterprise

The financial statements prepared by the Company meet the requirements of the Accounting Standards for

Business Enterprises and truly and completely reflect the Company's financial status operating results changes

in owners' equity and cash flow and other relevant information.

2. Accounting period

Calendar year is the accounting period for the CBC which is starting from 1 January to 31 December.

3. Business cycles

The Company takes 12 months as a business cycle.

4. Book-keeping currency

The CBC takes RMB as the standard currency for bookkeeping.

5.Determination method and selection basis of importance standard

□Applicable □Not applicable

Item Criterion of importance

Material receivables with bad debt provision accrued Commercial acceptance bills receivable accounts receivable

individually and other receivables with a single amount exceeding RMB 5million (inclusive)

Material amount recovered or reversed from bad debt provision

of receivables in the current period The single amount exceeds RMB 5 million (inclusive)

Write-off of Important material receivables in the current

period The single amount exceeds RMB 5 million (inclusive)

27Semi-Annual Report 2025

Material prepayments with an age of more than one year The single amount exceeds RMB 5 million (inclusive)

Material accounts payable with an age of over 1 year The single amount exceeds RMB 5 million (inclusive)

Material contractual liabilities with an age of more than 1 year The single amount exceeds RMB 5 million (inclusive)

Material other payables with an age of more than 1 year The single amount exceeds RMB 5 million (inclusive)

Construction in progress with a single amount exceeding RMB

Material construction in progress

5 million (inclusive)

Commitments involving an amount of more than 10% of the

Material commitments

total profit and more than RMB 5 million (inclusive)

Contingencies involving an amount of more than 10% of the

Material contingencies

total profit and more than RMB 5 million (inclusive)

Matters after the balance sheet date involving an amount

Material matters after the balance sheet date exceeding 10% of the total profit and exceeding RMB 5 million

(inclusive)

The total assets of non-wholly-owned subsidiaries shall not be

less than 10% of the total assets in the consolidated statement

Material non-wholly-owned subsidiaries of the Group or the operating income shall not be less than

10% of the Group's operating income or the net profit shall not

be less than 10% of the absolute value of the Group's net profit.

6. Accounting treatment for business combinations under the same control and those not under the same

control

1. Business merger under the same control: The assets and liabilities acquired by the Company in business

merger are measured according to the book value of the assets and liabilities of the merged party (including the

goodwill formed by the acquisition of the merged party by the ultimate controlling party) in the consolidated

financial statements of the ultimate controlling party on the date of merger. For the difference between the book

value of the net assets obtained in the merger and the book value of the merger consideration paid (or the total

face value of the issued shares) adjust the capital premium or share capital premium in the capital reserve. If

the capital premium or share capital premium in the capital reserve is insufficient to offset adjust the retained

income.

2. Business merger not under the same control: The assets paid liabilities incurred or assumed by the

Company as the consideration for business merger are measured at fair value on the date of purchase and the

difference between fair value and book value is included in the current profits and losses. The Company

recognizes the difference between the merger cost and the fair value share of the net identifiable assets of the

acquiree obtained in the merger as goodwill; For the difference between the merger cost and the fair value share

of the net identifiable assets of the acquiree (which is larger than the merger cost) it reviews the fair values of

the assets and liabilities obtained in the merger the non-cash assets as the merger consideration or the equity

securities issued and the review results show that the determination of the fair values of the determined

identifiable assets and liabilities is appropriate. The difference between the business merger cost and the fair

value share of the net identifiable assets of the acquiree (which is larger than the business merger cost) is

included in the non-operating income in the current merger period.The business merger not under the same control is realized step by step through multiple transactions and

the merger cost is the sum of the consideration paid on the date of purchase and the fair value of the equity of

28Semi-Annual Report 2025

the acquiree held before the date of purchase; The equity of the purchased party held before the date of purchase

shall be re-measured according to the fair value on the date of purchase and the difference between the fair

value and its book value shall be included in the current investment income. Other comprehensive income of the

long-term equity investment of the acquiree held before the date of purchase under the accounting by equity

method shall be subject to accounting treatment on the same basis as the direct disposal of relevant assets or

liabilities by the investee. Changes in other shareholders' equity except net profits and losses other

comprehensive income and profit distribution shall be converted into current profits and losses on the date of

purchase. For other equity instrument investments of the acquiree held before the date of purchase the changes

in fair value of the equity instrument investments accumulated in other comprehensive income before the date

of purchase are transferred to retained profits and losses.

3. Disposal of related expenses in business merger: Intermediary expenses such as audit legal services

evaluation and consultation and other related management expenses incurred for business merger are included

in current profits and losses when incurred; The transaction costs of equity securities or debt securities issued as

the merger consideration are included in the initial recognition amount of equity securities or debt securities.

7. Criteria for control and preparation method of consolidated financial statements

1. Criteria for control and preparation scope of consolidated statements

Control means that the investor has the power over the investee enjoys variable returns by participating in

the related activities of the investee and has the ability to influence the amount of returns by using the power

over the investee. As for whether to control the investee the Company's criterion factors include:

(1) Have the power over the investee and the ability to lead the related activities of the investee;

(2) Be entitled to variable returns to the investee;

(3) Have the ability to use the power over the investee to influence its return amount.

Unless there is conclusive evidence that the Company cannot lead the related activities of the investee the

Company has the power over the investee if:

(1) It holds more than half of the voting rights of the investee;

(2) It holds half or less of the voting rights of the investee but controls more than half of the voting rights

through agreements with other voting rights holders.If the Company holds half or less of the voting rights of the investee but after comprehensive

consideration of the following facts and circumstances it is judged that the voting rights held are sufficient to

lead the relevant activities of the investee it is deemed that the Company has power over the investee:

(1) The size of the voting rights held relative to the voting rights held by other investors and the degree of

dispersion of the voting rights held by other investors;

(2) The potential voting rights of the investee held by other investors such as convertible corporate bonds

and executable warrants;

29Semi-Annual Report 2025

(3) Other contractual rights;

(4) Other relevant facts and circumstances such as the past voting rights of the investee.

The Company evaluates the variability of returns based on the nature of contractual arrangements rather

than the legal form of returns.If the Company exercises the decision-making power as the main responsible person or if other parties

have the decision-making power and other parties exercise the decision-making power as the agents of the

Company it shows that the Company controls the investee.Once the changes in relevant facts and circumstances lead to changes in the relevant factors involved in

the definition of control the Company will re-evaluate.The scope of consolidation of the consolidated financial statements is determined on the basis of control

including not only subsidiaries determined by voting rights (or similar rights) themselves or in combination

with other arrangements but also structured entities determined by one or more contractual arrangements.

2. Merger procedure

The consolidated financial statements are based on the financial statements of the Company and its

subsidiaries and are prepared according to other relevant information.The Company unifies the accounting policies and accounting periods adopted by its subsidiaries so that

the accounting policies and accounting periods adopted by its subsidiaries are consistent with those adopted by

the Company. When preparing consolidated financial statements it follows the principle of materiality to offset

the internal exchanges internal transactions and equity investment projects between the parent company and the

subsidiaries and between the subsidiaries.The equity and profit and loss attributable to minority shareholders of the subsidiaries are listed separately

under the item of the owners' equity in the consolidated balance sheet and under the item of net profit in the

consolidated income statement. The current loss shared by minority shareholders of a subsidiary exceeds the

balance formed by minority shareholders' share in the initial owners' equity of the subsidiary thus offsetting

minority shareholders' equity.

(1) Increase of subsidiaries and businesses

During the reporting period when preparing the consolidated balance sheet due to the business merger

under the same control and the subsidiaries and businesses increased the opening balance of the consolidated

balance sheet is adjusted; When preparing the income statement the income expenses and profits of the

subsidiary and business merger from the beginning of the current period to the end of the reporting period are

included in the consolidated income statement; When the cash flow statement is consolidated the cash flows of

the subsidiary and the business combination from the beginning of the current period to the end of the reporting

period are included in the consolidated cash flow statement; At the same time the relevant items of the

comparative statements shall be adjusted as if the merged reporting entity had existed since the ultimate

controlling party started to control.

30Semi-Annual Report 2025

During the reporting period when preparing the consolidated balance sheet for subsidiaries and businesses

increased due to business merger not under the same control or other means the opening balance of the

consolidated balance sheet will not be adjusted. When preparing the income statement the income expenses

and profits of the subsidiary and the business from the date of purchase to the end of the reporting period shall

be included in the consolidated income statement. When preparing the cash flow statement the cash flow of the

subsidiary from the date of purchase to the end of the reporting period shall be included in the consolidated cash

flow statement.The Company prepares consolidated financial statements based on the amount of identifiable assets

liabilities and contingent liabilities determined on the basis of the fair value on the date of purchase reflected in

the individual financial statements of subsidiaries at the current balance sheet date. The difference between the

merger cost and the fair value share of the net identifiable assets of the acquiree obtained in the merger shall be

recognized as goodwill. The difference between the merger cost and the fair value share of the net identifiable

assets of the acquiree obtained in the merger shall be included in the current profits and losses after review.If the business merger not under the same control is realized step by step through multiple transactions in

the consolidated financial statements the equity of the acquiree held before the date of purchase shall be re-

measured according to the fair value of the equity on the date of purchase and the difference between the fair

value and its book value shall be included in the current investment income. Other comprehensive income of the

long-term equity investment of the acquiree held before the date of purchase under the accounting by equity

method shall be subject to accounting treatment on the same basis as the direct disposal of relevant assets or

liabilities by the investee. Changes in other shareholders' equity except net profits and losses other

comprehensive income and profit distribution shall be converted into current profits and losses on the date of

purchase. For other equity instrument investments of the acquiree held before the date of purchase the changes

in fair value of the equity instrument investments accumulated in other comprehensive income before the date

of purchase are transferred to retained profits and losses.

(2) Disposal of subsidiaries and businesses

A. General disposal methods

During the reporting period if the Company disposes of its subsidiaries and businesses the income

expenses and profits of the subsidiaries and businesses from the beginning to the disposal date will be included

in the consolidated income statement; The cash flow of the subsidiaries and businesses from the beginning to

the disposal date will be included in the consolidated cash flow statement.If the Company loses control of its original subsidiaries due to the disposal of some equity investments

the remaining equity shall be re-measured according to its fair value on the date of loss of control in the

consolidated financial statements. The sum of the consideration obtained from the disposal of the equity and the

fair value of the remaining equity minus the difference between the share of the net assets that should be

continuously calculated by the original subsidiary from the date of purchase or the date of merger according to

31Semi-Annual Report 2025

the original shareholding ratio is included in the current investment income when the control right is lost and

the goodwill is also offset. Other comprehensive income related to the original subsidiary's equity investment

shall be subject to accounting treatment on the same basis as the subsidiary's direct disposal of relevant assets or

liabilities when it loses control. Shareholders' equity recognized due to changes in other shareholders' equity

related to the original subsidiary except net profit and loss other comprehensive income and profit distribution

shall be converted into current profits and losses when it loses control.B. Dispose of equity step by step until loss of control

If the enterprise disposes of its equity investment in a subsidiary step by step through multiple transactions

until it loses control if the transaction of disposing of its equity investment in a subsidiary until the loss of

control is a package transaction it shall treat each transaction as a transaction of disposing of the subsidiary and

loss of control; However the difference between the price of each disposal before the loss of control and the

share of the subsidiary's net assets corresponding to the disposal investment shall be recognized as other

comprehensive income in the consolidated financial statements and transferred to the current profits and losses

when the control is lost.The terms conditions and economic impact of various transactions dealing with equity investment in

subsidiaries meet one or more of the following conditions which usually indicates that multiple transactions

shall be subject to accounting treatment as a package transaction:

(A) These transactions are concluded at the same time or under the consideration of mutual impact;

(B) These transactions as a whole can achieve a complete commercial result;

(C) The occurrence of one transaction depends on the occurrence of at least one other transaction;

(D) A transaction is uneconomical when considered alone but it is economical when considered together

with other transactions.

(3) Purchase of minority shares of the subsidiaries

The Company shall adjust the capital premium or share capital premium in the capital reserve in the

consolidated balance sheet for the difference between the newly acquired long-term equity investment due to

the purchase of minority shares and the share of net identifiable assets that should be continuously calculated by

the subsidiaries from the date of purchase (or date of merger) according to the new shareholding ratio. If the

capital premium or share capital premium in the capital reserve is insufficient to offset the retained income

shall be adjusted.

(4) Partial disposal of equity investment in subsidiaries without loss of control

For the difference between the disposal price obtained from the partial disposal of the long-term equity

investment in the subsidiary and the share of the net assets of the subsidiary that is continuously calculated from

the date of purchase or the date of merger corresponding to the disposal of the long-term equity investment

adjust the capital premium or share capital premium in the capital reserve in the consolidated balance sheet. If

32Semi-Annual Report 2025

the capital premium or share capital premium in the capital reserve is insufficient to offset adjust the retained

income.

8. Classification of joint venture arrangement and accounting treatment for joint control

A joint venture arrangement refers to an arrangement controlled jointly by two or more participants. Joint

venture arrangements are divided into joint operation and joint ventures.

1. Joint operation refers to the joint venture arrangement in which the Company is entitled to the assets related

to the arrangement and undertakes the liabilities related to the arrangement. The Company recognizes the

following items related to the share of interests in joint operation:

(1) Recognize the assets held separately and recognize the assets held jointly according to their shares;

(2) Recognize the liabilities undertaken separately and recognize the liabilities jointly undertaken according to

their shares;

(3) Recognize the income generated from the sale of its share of joint operation output;

(4) Recognize the income generated by the sale of output in the joint operation according to its share;

(5) Recognize the expenses incurred separately and recognize the expenses incurred in joint operation

according to their shares.

2. Joint venture refers to a joint venture arrangement in which the Company has rights only to the net assets of

the arrangement. The Company shall carry out accounting treatment for the investment of the joint venture in

accordance with the provisions on accounting by equity method for long-term equity investment.

9. Recognition of cash and cash equivalents

When preparing the cash flow statement the Company will recognize the cash on hand and the deposits

that can be used for payment at any time as cash. An investment with short term (usually due within three

months from the date of purchase) strong liquidity easy conversion into known cash and little risk of value

change will be determined as a cash equivalent. Restricted bank deposits will not be regarded as cash and cash

equivalents in the cash flow statement.

10. Foreign currency transaction and financial statement conversion

1. Foreign currency business

When foreign currency business occurs the amount of foreign currency is converted into RMB for

recording according to the spot exchange rate on the date of transaction and foreign currency monetary items

and foreign currency non-monetary items are treated in the following ways at the end of the period:

(1) Foreign currency monetary items are converted at the spot exchange rate on the balance sheet date.

Exchange differences arising from the difference between the spot exchange rate on the balance sheet date and

the initial recognition or the spot exchange rate on the previous balance sheet date are included in the current

profits and losses.

33Semi-Annual Report 2025

(2) Foreign currency non-monetary items measured at historical cost are still converted at the spot exchange rate

on the date of transaction and the amount of their recording currency will not be changed.

(3) Foreign currency non-monetary items measured at fair value shall be converted at the spot exchange rate on

the fair value determination date and the resulting exchange gains and losses shall be included in the current

profits and losses or other comprehensive income.

(4) Foreign currency exchange gains and losses except the exchange gains and losses arising from foreign

currency special borrowing related to the purchase construction or production of assets eligible for

capitalization are included in the cost of assets eligible for capitalization before the assets reach the scheduled

serviceable or saleable state and the rest are included in the current profits and losses.

2. Conversion in foreign currency financial statements

(1) Assets and liabilities in the balance sheet are converted at the spot exchange rate on the balance sheet date;

Except for the "undistributed profit" other items of owners' equity are converted at the spot exchange rate at the

time of occurrence.

(2) The income and expenses in the income statement are converted at the approximate exchange rate of the

spot exchange rate on the date of transaction.

(3) The conversion difference of foreign currency financial statements generated according to the above

conversion is included in other comprehensive income. When disposing of overseas operations the conversion

difference of foreign currency financial statements related to the overseas operations shall be transferred from

the owners' equity to the current profits and losses.

(4) The cash flow statement is converted by the approximate exchange rate of the spot exchange rate on the

date of cash flow occurrence. As a reconciliation item the influence of exchange rate changes on cash is listed

separately in the cash flow statement.

11. Financial instruments

When the Company becomes a party to the financial instrument contract it recognizes a financial asset or

financial liability related to it.

1. Classification recognition basis and measurement method of financial assets

According to the business model of financial assets under management and the contractual cash flow

characteristics of financial assets the Company divides financial assets into three categories: financial assets

measured by amortized cost financial assets measured by fair value with its changes included in other

comprehensive income and financial assets measured by fair value with its changes included in current profits

and losses.Financial assets are measured at fair value upon initial recognition. For financial assets measured at fair

value with its changes included in the current profits and losses relevant transaction costs are directly included

in the current profits and losses; For financial assets of other types relevant transaction costs are included in the

initial recognition amount. If the accounts receivable initially recognized by the Company do not contain

34Semi-Annual Report 2025

significant financing components as defined in the Accounting Standards for Business Enterprises No.14-

Income or the financing components in contracts with a duration of no more than one year are not considered

according to the provisions of Accounting Standards for Business Enterprises No.14-Income the initial

measurement shall be made according to the transaction price of the consideration expected to be charged.

(1) Financial assets measured in amortized cost

The Company's business model of managing such financial assets is to collect contract cash flow and the

cash flow generated on a specific date is only for the payment of principal and interest based on the unpaid

principal amount. For such financial assets the Company adopts the effective interest rate method for

subsequent measurement according to amortized cost and the gains or losses arising from amortization or

impairment are included in the current profits and losses.

(2) Financial assets measured at fair value with changes included in other comprehensive income

The Company's business model of managing such financial assets is to collect contract cash flow and sell

it and the cash flow generated on a specific date is only for the payment of principal and interest based on the

unpaid principal amount. Such financial assets are measured at fair value with changes included in other

comprehensive income but impairment losses or gains exchange gains and losses and interest income

calculated according to the effective interest rate method are included in current profits and losses.For the investment in non-transactional equity instruments the Company can irrevocably designate it as a

financial asset measured at fair value with changes included in other comprehensive income at the initial

recognition. The designation is made on the basis of a single investment and the relevant investment conforms

to the definition of equity instrument from the issuer's point of view. The Company includes the relevant

dividend income of such financial assets in the current profits and losses and the changes in fair value in other

comprehensive income. When the financial asset is derecognized the accumulated gains or losses previously

included in other comprehensive income will be transferred from other comprehensive income to retained

income and will not be included in the current profits and losses.

(3) Financial assets measured at fair value with changes included in the current profits and losses

Except for the above financial assets measured in amortized cost and the financial assets measured at fair

value with changes included in other comprehensive income the Company classifies all other financial assets as

financial assets measured at fair value with changes included in current profits and losses. In addition at the

time of initial recognition in order to eliminate or significantly reduce the accounting mismatch the Company

designated some financial assets as the financial assets measured at fair value with changes included in the

current profits and losses. Such financial assets are subsequently measured at fair value with changes in fair

value included in current profits and losses.

2. Classification recognition basis and measurement method of financial liabilities

The Company's financial liabilities are classified into financial liabilities measured at fair value with

changes included in current profits and losses and other financial liabilities at initial recognition. For financial

35Semi-Annual Report 2025

liabilities measured at fair value with changes included in the current profits and losses the related transaction

costs are directly included in the current profits and losses and the related transaction costs of other financial

liabilities are included in their initial recognition amount.

(1) Financial liabilities measured at fair value with changes included in the current profits and losses

Financial liabilities measured at fair value with changes included in current profits and losses include

transactional financial liabilities (including derivatives belonging to financial liabilities) and financial liabilities

designated as measured at fair value with changes included in current profits and losses.Transactional financial liabilities (including derivatives belonging to financial liabilities) are subsequently

measured at fair value and changes in fair value are included in current profits and losses except those related

to hedging accounting.For financial liabilities that are designated as being measured at fair value with changes included in

current profits and losses at the time of initial recognition the changes in fair value caused by changes in the

Company's own credit risk are included in other comprehensive income and when the liability is derecognized

the accumulated changes in its fair value caused by changes in its own credit risk included in other

comprehensive income are transferred to retained income. Other changes in fair value are included in current

profits and losses. If the accounting mismatch in profit and loss will be caused or enlarged by handling the

impact of the changes in credit risk of these financial liabilities in the above way the Company will include all

the gains or losses of the financial liabilities (including the amount affected by the changes in the enterprise's

credit risk) in the current profits and losses.

(2) Other financial liabilities

Other financial liabilities except those caused by the transfer of financial assets and financial guarantee

contracts that do not meet the conditions for derecognition or continue to be involved in the transferred financial

assets are classified as financial liabilities measured in amortized cost and subsequently measured in amortized

cost. The gains or losses arising from derecognition or amortization are included in the current profits and losses.

3. Methods for determining the fair value of financial assets and financial liabilities

The fair value of financial instruments with an active market shall be determined by the quotation in the

active market. The fair value of financial instruments without active market shall be determined by valuation

technology. At the time of valuation the Company adopts the valuation technology that is applicable in the

current situation and supported by sufficient available data and other information selects the input values that

are consistent with the characteristics of assets or liabilities considered by market participants in the transaction

of relevant assets or liabilities and gives priority to the relevant observable input values. Unobservable input

values can only be used if the relevant observable input values are unavailable or impracticable.

4. Recognition basis and measurement method for transfer of financial assets

Recognition for transfer of financial assets

Circumstances Recognition results

36Semi-Annual Report 2025

Almost all risks and rewards in the ownership of financial assets are

transferred The financial assets are derecognized (new

The control of financial assets is given assets/liabilities are recognized)

Almost all risks and up

rewards in the ownership of The relevant assets and liabilities is recognized

financial assets are neither The control of financial assets is not according to the extent of continuing involvement in the

transferred nor retained given up transferred financial assets

Almost all risks and

Continue to recognize the financial assets and recognize the received consideration as financial

rewards in the ownership of

liabilities

financial assets are retained

The Company divides the transfer of financial assets into the overall transfer and partial transfer of financial

assets.

(1) If the overall transfer of financial assets meets the conditions for derecognition the difference between the

following two amounts shall be included in the current profits and losses: the book value of the transferred

financial assets on the derecognition date; The sum of the consideration received for the transfer of financial

assets and the cumulative amount of changes in fair value that were originally directly included in other

comprehensive income (the financial assets involved in the transfer are those classified as financial assets

measured at fair value with changes included in other comprehensive income in Article 18 of Accounting

Standards for Business Enterprises No.22-Recognition and Measurement of Financial Instruments).

(2) If a part of the financial assets is transferred and the transferred part as a whole meets the conditions for

derecognition the book value of the whole financial assets before the transfer shall be allocated between the

derecognition part and the continued recognition part (in this case the retained service assets shall be regarded

as part of continued recognition of financial asset) according to their respective relative fair values on the date

of transfer and the difference between the following two amounts shall be included in the current profits and

losses: the book value of the derecognition part on the derecognition date; The sum of the consideration

received for the derecognition part (including all new assets acquired minus all new liabilities assumed) and the

corresponding derecognition amount in the accumulated amount of changes in fair value originally included in

other comprehensive income (the financial assets involved in partial transfer are those classified as financial

assets measured at fair value with changes included in other comprehensive income in Article 18 of Accounting

Standards for Business Enterprises No.22-Recognition and Measurement of Financial Instruments).If the transfer of financial assets does not meet the conditions for derecognition the whole transferred

financial assets shall be continuously recognized and the received consideration shall be recognized as a

financial liability.

5. Conditions for derecognition of financial liabilities

If the current obligations of financial liabilities(or part of them) have been discharged the financial

liabilities (or part of them) shall be derecognized. If the following conditions exist:

(1) If the Company transfers the assets used to pay financial liabilities to an institution or establishes a trust and

the obligation of debt payment still exists it shall not derecognize the financial liabilities.

37Semi-Annual Report 2025

(2) The Company (the borrower) and the lender sign an agreement to replace the original financial liabilities (or

part of them) by taking on new financial liabilities and the contractual terms are essentially different. The

Company shall derecognize the original financial liabilities (or part of them) and recognize a new financial

liability at the same time.If the financial liabilities (or part of them) are derecognized the Company will record the difference

between the book value and the consideration paid (including the transferred non-cash assets or liabilities) into

the current profits and losses.

6. Impairment of financial assets

(1) Recognition method of impairment provision

The Company conducts impairment accounting treatment on financial assets (including receivables)

measured in amortized cost debt instrument investment and lease receivables measured at fair value with

changes included in other comprehensive income on the basis of expected credit losses and recognizes the loss

provisions. In addition for contract assets loan commitments and financial guarantee contracts impairment

provisions are also accrued and impairment losses are recognized in accordance with the accounting policies

described in this section.Expected credit loss refers to the weighted mean of credit loss of financial instruments weighted by the

risk of default. Credit loss refers to the difference between all contracted cash flows that the Company

discounted at the original actual interest rate and all cash flows that it is expected to receive that is the present

value of all cash shortages.Except for the purchased or originated financial assets with credit impairment the Company evaluates

whether the credit risk of relevant financial assets has increased significantly since the initial recognition on

each balance sheet date. If the credit risk has not increased significantly since the initial recognition. it is in the

first stage and the Company will measure the loss provision according to the amount equivalent to the expected

credit loss of the financial asset in the next 12 months; If the credit risk has increased significantly since the

initial recognition but with no credit impairment it is in the second stage and the Company will measure the

loss provision according to the amount equivalent to the expected credit loss of the financial asset during the

whole duration; If the financial asset has suffered credit impairment since its initial recognition it is in the third

stage and the Company will measure the loss provision according to the amount equivalent to the expected

credit loss of the financial asset in the whole duration. When evaluating the expected credit loss the Company

considers the reasonable and well-founded information including forward-looking information about past

events current situation and future economic situation prediction that can be obtained on the balance sheet date

without unnecessary extra cost or effort.The expected credit loss in the next 12 months refers to the expected credit loss caused by financial asset

default events that may occur within 12 months after the balance sheet date (if the expected duration of financial

38Semi-Annual Report 2025

assets is less than 12 months within the expected duration) which is a part of the expected credit loss in the

whole duration.For financial instruments with low credit risk on the balance sheet date the Company assumes that the

credit risk has not increased significantly since the initial recognition and chooses to measure the loss provision

according to the expected credit loss in the next 12 months.For the financial assets in the first and second stages and with low credit risk the Company calculates the

interest income according to the book balance without deducting the impairment provision and the actual

interest rate. For the financial assets in the third stage the interest income shall be calculated according to the

book balance minus the amortized cost and the actual interest rate after the impairment provision has been

accrued.

(2) Financial asset with impairment

When the Company anticipates that one or more events that have an adverse effect on the future cash flow

of a financial asset occur the financial asset becomes a financial asset with credit impairment. Evidence of

credit impairment of financial assets includes the following observable information:

A. The issuer or the debtor has major financial difficulties;

B. The debtor has breached the contract such as default or overdue payment of interest or principal;

C. The creditor makes concessions to the debtor that it will not make under any other circumstances due to

economic or contractual considerations related to its financial difficulties;

D. The debtor is likely to go bankrupt or carry out other financial restructuring;

E. The financial difficulties of the issuer or debtor lead to the disappearance of the active market of the financial

asset;

F. A financial asset is purchased or originated at a large discount which reflects the fact that credit loss has

occurred.Credit impairment of financial assets may be caused by the joint action of multiple events not necessarily

by an event that can be identified separately.

(3) Financial assets with credit impairment purchased or originated

For the purchased or originated financial assets with credit impairment the Company only recognizes the

cumulative change of expected credit loss in the whole duration after initial recognition as loss provision on the

balance sheet date. On each balance sheet date the change amount of expected credit loss during the whole

duration is included in the current profits and losses as impairment loss or gain. Even if the expected credit loss

determined on the balance sheet date is less than the amount of the expected credit loss reflected by the

estimated cash flow at the time of initial recognition the favorable change of expected credit loss will be

recognized as impairment gain.

(4) Criteria for judging significant increase in credit risk

39Semi-Annual Report 2025

If the default probability of a financial asset in the estimated duration determined on the balance sheet date

is significantly higher than that in the estimated duration determined at the initial recognition it indicates that

the credit risk of the financial asset is significantly increased. Except in special circumstances the Company

uses the change of default risk in the next 12 months as a reasonable estimate of the change in default risk in the

whole duration to determine whether the credit risk has increased significantly since the initial recognition.

(5) Method of evaluating the expected credit loss of financial assets

The Company evaluates the expected credit loss of financial assets based on individual and combined

items. It individually evaluates the credit risk of financial assets with significantly different credit risks such as:

receivables from related parties; accounts receivable from government agencies and units; and receivables with

obvious signs that the debtor is likely to be unable to fulfill the repayment obligations.Except for financial assets whose credit risks are individually evaluated the Company divides financial

assets into different groups based on common risk characteristics and evaluates the credit risks on the basis of

combination.

(6) Accounting treatment method for impairment of financial assets

The Company calculates the expected credit losses of various financial assets on the balance sheet date

and the resulting increase or reversal amount of loss provision is included in the current profits and losses as

impairment losses or gains.If the Company actually suffers from credit losses and the relevant financial assets are determined to be

irrecoverable and approved for write-off the book balance of the financial assets will be directly written down.If the financial assets written down are recovered later they will be included in the current profits and losses of

recovery as the reversal of impairment losses.

7. Financial guarantee contract

A financial guarantee contract refers to a contract in which the issuer pays a certain amount to the contract

holder who has suffered losses when the debtor fails to repay the debt according to the original or revised terms

of the debt instrument at maturity. The financial guarantee contract shall be measured at fair value upon initial

recognition. For the financial guarantee contract for a financial liability not designated as being measured at fair

value with changes included into the current profits and losses after the initial recognition subsequent

measurement shall be made according to the higher of the expected credit loss provision amount determined on

the balance sheet date and the balance of the initial recognition amount after deducting the accumulated

amortization amount determined according to the income recognition principle.

8. Offset of financial assets and financial liabilities

Financial assets and financial liabilities are listed separately in the balance sheet without mutual offset.However if the following conditions are met at the same time the net amount after mutual offset shall be listed

in the balance sheet:

40Semi-Annual Report 2025

(1) The Company has the legal right to offset the recognized financial assets and financial liabilities and such

legal right is now enforceable;

(2) The Company plans to settle accounts by netting or realize the financial assets and pay off the financial

liabilities at the same time.

9. Equity instruments

Equity instruments refer to contracts that can prove that the Company has residual interests in assets after

deducting all liabilities. The issuance (including refinancing) repurchase sale or cancellation of equity

instruments by the Company are treated as changes in equity. The Company does not recognize changes in the

fair value of equity instruments. Transaction costs related to equity transactions are deducted from equity.Various distributions (excluding stock dividends) made by the Company to holders of equity instruments

are used as profit distribution to reduce the owners' equity. The stock dividends distributed do not affect the

total owners' equity.The Company shall comply with the disclosure requirement of jewelry-related industries in the “ShenzhenStock Exchange Self-Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”

12. Note receivable

The Company measures the loss provision for notes receivable according to the expected credit loss

amount of the whole duration.Except for the notes receivable whose credit risk is evaluated individually the Company divides the notes

receivable into different portfolios based on the credit risk of their acceptors as a common risk characteristic

and calculates the expected credit loss on the basis of the portfolios. The basis for determining the portfolios is

as follows:

Portfolio name Basis for determining the portfolio

Management evaluation has low credit risk and the expected

Bank acceptance bill

credit loss is generally not recognized

Commercial acceptance bill Same as "Accounts Receivable" portfolio

The Company individually tests the impairment of the notes receivable with objective evidence and other

notes that are suitable for individual evaluation recognizes the expected credit loss and calculates the

individual impairment provision.

13. Account receivableThe CBC adopts the simplified model of expected credit loss for accounts receivables specified in “AccountingStandards for Business Enterprises No.14 - Revenue” and without containing significant financing components

(including the case that the financing components in contracts that do not exceed one year are not considered

according to the standards) that is always measures their loss provisions according to the amount of expected

41Semi-Annual Report 2025

credit loss during the entire duration and the resulting increased or reversed amount of the loss provision is

included in the current profit and loss as an impairment loss or gain.Based on common risk characteristics the Company divides accounts receivable into different groups

according to common credit risk characteristics such as customer categories:

Portfolio name Basis for determining the portfolio

Commercial acceptance bills receivable accounts receivable

and other receivables with significant single amount

Individual identification portfolio (receivables with an ending balance of more than RMB 5

million (including RMB 5 million)) or accounts receivable with

insignificant individual amount but high risk

Aging portfolio Taking the aging of receivables as the credit risk characteristic

Related-party portfolio receivable Receivables from related parties

(1) Individual identification portfolio: For receivables with an ending balance of more than RMB 5 million

(including RMB 5 million) or accounts receivable with insignificant individual amount but high risk

impairment test shall be conducted separately for each customer. Impairment test shall be conducted separately

for accounts receivable with objective evidence indicating impairment and other accounts receivable applicable

to individual evaluation (such as accounts receivable in dispute with the other party or involving litigation and

arbitration; accounts receivable with obvious signs that the debtor is likely to be unable to fulfill the repayment

obligations etc.) to recognize expected credit loss and calculate individual impairment provision.

(2) Aging portfolio: For accounts receivable that have not been impaired after individual testing or whose

individual amount is not significant but with low risk the Company evaluates the expected credit loss of various

accounts receivable based on the actual loss rate of the same or similar accounts receivable portfolio with

similar credit risk characteristics in previous years. The Company determines the aging of accounts receivable

based on the period from the entry date to the balance sheet date.

(3) Associated portfolio: Unless there is conclusive evidence indicating an impairment the accounts receivable

formed between related parties shall not be accrued for bad debt provision.

14. Receivable financing

Receivable financing reflects notes receivable and accounts receivable that are measured at fair value on

the balance sheet date with changes included in other comprehensive income. For the accounting treatment

method please refer to the related treatment of the financial assets measured at fair value with changes included

in other comprehensive income classified in Item (XI) Financial Instrument of this accounting policy.

15. Other account receivable

Determination method and accounting treatment of the expected credit loss of other account receivable

For other receivables the expected credit loss is determined according to historical data and forward-

looking information. Based on whether the credit risk of other receivables has increased significantly since the

42Semi-Annual Report 2025

initial recognition the Company adopts the amount equivalent to the expected credit loss in the next 12 months

or the whole duration to measure the impairment loss. For specific accounting treatment methods please refer

to Item (XIII) Accounts Receivable of this accounting policy.

16. Contractual assets

Contract assets refer to the right that the Company has transferred the goods to customers and has the right

to receive consideration and such right depends on other factors besides the passage of time.

17. InventoryThe Company shall comply with the disclosure requirement of jewelry-related industries in the “ShenzhenStock Exchange Self-Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”

(1) Classification of inventory

The CBC classifies the inventory into raw materials goods in process goods on hand wrap page low value

consumables materials for consigned processing and goods sold etc.

(2) Valuation of inventories

Inventories are initially measured at cost upon acquisition which includes procurement costs processing costs

and other costs. Cost of the inventory issued is carried forward on the basis of a combination of the weighted

average method and specific identification when inventories are issued.

(3)Inventory system

Perpetual inventory system is adopted.

(4) Amortization method of low-value consumables and packaging materials

"One-time amortization method" is adopted for accounting.

(5) Provision for inventory impairment

When a comprehensive count of inventories is done at the end of the period provision for inventory impairment is

allocated or adjusted using the lower of the cost of inventory and the net realizable value. The net realizable value

of stock in inventory (including finished products goods in stock and materials for sale) that can be sold directly

is determined using the estimated saleable price of such inventory deducted by the cost of sales and relevant

taxation over the course of ordinary production and operation. The net realizable value of material in inventory

that requires processing is determined using the estimated saleable price of the finished product deducted by the

cost to completion estimated cost of sales and relevant taxation over the course of ordinary production and

operation. The net realizable value of inventory held for performance of sales contract or labor service contract is

determined based on the contractual price; in case the amount of inventory held exceeds the contractual amount

the net realizable value of the excess portion of inventory is calculated using the normal saleable price.Provision for impairment is made according to individual items of inventories at the end of the period; however

for inventories with large quantity and low unit price the provision is made by categories; inventories of products

that are produced and sold in the same region or with the same or similar purpose or usage and are difficult to be

measured separately are combined for provision for impairment.If the factors causing a previous write-off of inventory value has disappeared the amount written-off is reversed

and the amount provided for inventory impairment is reversed and recognized in profit or loss for the period.During the reporting period the specific methods and implementation of the Company's inventory

impairment measurement are as follows:

(1) Inventory impairment method

43Semi-Annual Report 2025

The issuer's inventory mainly includes raw materials inventory goods and materials commissioned for

processing. The ending inventory of the Company is measured according to the lower of cost and net realizable

value. When the net realizable value is lower than the cost the inventory depreciation provision is accrued.* Specific methods for measuring the impairment of raw materials

Raw materials mainly include gold and diamond raw materials. The closing net realizable value of gold

raw materials is determined according to the closing price of spot gold trading announced by Shanghai Gold

Exchange at the end of the period. For the part with the book cost higher than the closing net realizable value

inventory depreciation provision is accrued; Diamond raw materials are used for processing finished diamond

inlaid products but the finished diamond inlaid products are with great difference. At the end of the year the

Company will comprehensively judge whether there are signs of impairment based on the price fluctuation of

diamonds in that year processing rates and pricing policies and if there are signs of impairment it will measure

the impairment one by one.* Specific methods for measuring the impairment of inventory goods

Inventory goods mainly include finished gold products finished K-gold products and finished inlaid

products. The depreciation of finished gold products and finished K-gold products shall be measured one by one

and the closing net realizable value shall be determined by referring to the sales outbound price at the end of the

period after deducting the relevant sales expenses and taxes. For finished products whose closing book cost is

higher than the net realizable value the inventory depreciation provision shall be accrued. The finished inlaid

products are quite different. At the end of the period the Company will comprehensively judge whether there

are signs of impairment according to the price fluctuation of diamonds in that year and the pricing policy. If

there are signs of impairment the impairment will be measured one by one.* Specific methods for measuring the impairment of materials commissioned for processing

Materials commissioned for processing mainly include gold and diamond raw materials which are similar

in nature to raw materials so the measurement method is consistent with that of raw materials.

18. Assets held for sale

1. Basis for classification as non-current assets held for sale or disposal group

If the book value of an non-current asset is recovered mainly through sales (including the exchange of

non-monetary assets with commercial substance) rather than continuous use or disposal group the Company

will classify it as held for sale. The specific standard is to meet the following conditions at the same time:

(1) According to the practice of sales of such assets or disposal groups in similar transactions they can be

sold immediately under the current situation;

(2) The Company has made a resolution on a sale plan and obtained a firm purchase commitment. It is

expected that the sale will be completed within one year (if the relevant regulations require the approval of the

relevant authority or regulatory department of the Company before the sale such approval has been obtained).If the control right of the subsidiary is lost due to the sale of the investment in the subsidiary regardless of

whether part of the equity investment is retained after the sale and the conditions for classification of the held-

for-sale category are met the investment in the subsidiary as a whole will be classified as held-for-sale category

in the individual financial statements of the parent company and all assets and liabilities of the subsidiary will

be classified as held-for-sale category in the consolidated financial statements.

2. Accounting treatment of non-current assets or disposal groups held for sale

When the Company initially measures or re-measures the non-current assets or disposal groups held for

sale on the balance sheet date if the book value is higher than the net amount of fair value minus the sale

44Semi-Annual Report 2025

expenses the book value will be written down to the net amount of fair value minus the sale expenses and the

written-down amount will be recognized as asset impairment loss and included in the current profits and losses

and impairment provision of assets held for sale will be accrued at the same time. If the net amount of the fair

value of non-current assets held for sale on the subsequent balance sheet date is increased after deducting the

sale expenses the previously written-down amount will be restored and reversed within the amount of asset

impairment loss recognized after being classified as held for sale and the reversed amount will be included in

the current profits and losses. Assets impairment losses recognized before being classified as held for sale shall

not be reversed.For the amount of asset impairment loss recognized by the disposal group held for sale the book value of

goodwill in the disposal group shall be deducted first and then the book value of non-current assets in the

disposal group shall be deducted proportionally according to the proportion of the book value of non-current

assets in the disposal group. For the subsequent reversal amount of asset impairment losses recognized by the

disposal group held for sale the book value will be increased in proportion according to the proportion of the

book value of non-current assets except goodwill in the disposal group.Non-current assets held for sale or non-current assets in disposal group are not depreciated or amortized

and interest and other expenses of liabilities in disposal group held for sale continue to be recognized.When the Company derecognizes the non-current assets held for sale or disposal groups the unrecognized

gains or losses will be included in the current profits and losses.When non-current assets or disposal groups are no longer classified as held for sale because they no

longer meet the classification conditions of held for sale or non-current assets are removed from the disposal

groups held for sale the measurement shall be based on the lower of the following two amounts:

(1) For the book value before being classified as held for sale the adjusted amount based on depreciation

amortization or impairment that should have been recognized if it is not classified as held for sale;

(2) Recoverable amount.

3. Determination standard and presentation method of discontinued operation

Discontinued operations refers to a component that meets any of the following conditions and can be

distinguished separately and has been disposed of by the Company or classified as a component held for sale:

(1) This component represents an independent main business or a single main business area;

(2) This component is part of an associated plan to dispose of an independent main business or a separate

main business area;

(3) This component is a subsidiary acquired exclusively for resale.

For the discontinued operation listed in the current period the Company separately lists the profit and loss

of continuing operation and the profit and loss of discontinued operation in the current income statement and

re-lists the information originally listed as the profit and loss of continuing operation as the profit and loss of

discontinued operation in comparable accounting period in the income statement of the comparative period.

19. Debt investment

For debt investment the Company determines the expected credit loss on each balance sheet date

according to the types of counterparties and risk exposures and in consideration of historical default and

industry forward-looking information or various external actual and expected economic information. For the

determination method and accounting treatment method of expected credit loss please refer to the provisions of

Item (XI) Financial Instruments of this accounting policy.

45Semi-Annual Report 2025

20. Other debt investment

For Other debt investment the Company determines the expected credit loss on each balance sheet date

according to the types of counterparties and risk exposures and in consideration of historical default and

industry forward-looking information or various external actual and expected economic information. For the

determination method and accounting treatment method of expected credit loss please refer to the provisions of

Item (XI) Financial Instruments of this accounting policy.

21. Long-term account receivable

The Company's long-term receivables include receivable financial lease and other long-term receivables.For the receivable financial lease formed by the transactions regulated in Accounting Standards for

Business Enterprises No.21-Lease the loss provision shall be measured according to the amount equivalent to

the expected credit loss during the whole duration.For other long-term receivables the Company determines the expected credit loss on each balance sheet

date according to the types of counterparties and risk exposures and in consideration of historical default and

reasonable forward-looking information or various external actual and expected economic information.Based on whether the credit risk has increased significantly since the initial recognition the Company

adopts the amount equivalent to the expected credit loss in the next 12 months or the whole duration to measure

the impairment loss of long-term receivables. Except for the long-term receivables whose credit risk is

evaluated individually they are divided into different portfolios based on their credit risk characteristics:

Portfolio name Basis for determining the portfolio

Normal long-term receivables This portfolio is a long-term receivable with no overdue risk

Overdue long-term receivables This portfolio is a long-term receivable with high overdue risk

……

22. Long-term equity investment

1. Basis for determining joint control and significant influence on the investee

Joint control refers to the common control of an arrangement according to the relevant agreement and that

the related activities of the arrangement must be unanimously agreed by the participants who share the control

rights before making decisions. When judging whether there is joint control firstly it is judged whether all

participants or a group of participants collectively control the arrangement. If all participants or a group of

participants must act in concert to decide the related activities of an arrangement it is considered that all

participants or a group of participants collectively control the arrangement. Secondly it is judged whether the

decision of the related activities of the arrangement must be unanimously agreed by the participants who

collectively control the arrangement and joint control can only be formed if and only if the decision of the

related activities requires the unanimous consent of the participants who collectively control the arrangement. If

there are two or more participants who can collectively control an arrangement it does not constitute joint

control. When judging whether there is joint control the protective rights enjoyed are not considered.Significant influence refers to that the investor has the right to participate in the decision-making of the

financial and operating policies of the investee but it cannot control or jointly control the formulation of these

policies with other parties. When determining whether a significant influence can be exerted on the investee

46Semi-Annual Report 2025

consider the influence of the investor's direct or indirect holding of the voting shares of the investee and the

potential voting rights held by the investor and other parties in the current period after it is assumed to be

converted into the equity of the investee including the influence of the current convertible warrants stock

options and convertible corporate bonds issued by the investee. When foreign investment meets the following

conditions it is generally determined that it has a significant impact on the investing unit: * It is represented in

the Board of Directors or similar authority of the investee; * It participates in the formulation of the financial

and business policies of the investee; * Important transactions with the investee occur; * Management

personnel are sent to the investee; * Key technical data is provided to the investee. When directly or indirectly

owning more than 20% but less than 50% of the voting shares of the investee it is generally considered to have

a significant impact on the investee.

2. Determination of initial investment cost

(1) Long-term equity investment formed by business merger

A. In the case of business merger under the same control if cash payment transfer of non-cash assets or

taking on debts and issuance of equity securities are adopted as the merger consideration the initial investment

cost of long-term equity investment shall be the share of the book value of the owners' equity of the merged

party in the consolidated financial statements of the final controlling party on the date of merger. If the investee

under the same control can be controlled due to additional investment and other reasons the initial investment

cost of long-term equity investment shall be determined according to the share of the net assets of the merged

party in the book value of the consolidated financial statements of the final controlling party on the date of

merger. For the difference between the initial investment cost of the long-term equity investment on the date of

merger and the book value of the long-term equity investment before the merger plus the book value of the

newly paid consideration for the shares on the date of merger adjust the capital premium or share capital

premium. If the capital premium or share capital premium is insufficient to offset the retained income will be

offset.B. For the business merger not under the same control the merger cost shall be determined as the initial

investment cost of long-term equity investment on the date of purchase in accordance with the relevant

provisions of the Accounting Standards for Business Enterprises No.20-Business Merger. If the investees not

under the same control can be controlled due to additional investment and other reasons the sum of the book

value of the original equity investment plus the new investment cost shall be taken as the initial investment cost

calculated by the cost method.

(2) In addition to the long-term equity investment formed by business merger the initial investment cost

of long-term equity investment obtained by other means shall be determined in accordance with the following

provisions:

A. For long-term equity investment obtained by paying cash the initial investment cost shall be the actual

purchase price. The initial investment cost includes expenses taxes and other necessary expenses directly

related to obtaining long-term equity investment.B. For long-term equity investment obtained by issuing equity securities the initial investment cost shall

be the fair value of issuing equity securities.C. For long-term equity investment obtained by exchange of non-monetary assets the initial investment

cost shall be determined in accordance with the Accounting Standards for Business Enterprises No.7-Exchange

of Non-monetary Assets.D. For long-term equity investment obtained by debt restructuring its initial investment cost shall be

determined in accordance with the Accounting Standards for Business Enterprises No.12-Debt Restructuring.

3. Subsequent measurement and profit and loss recognition method

47Semi-Annual Report 2025

(1) Accounting by cost method: Long-term equity investment that can be controlled by the investee shall

be accounted by cost method. When accounting by cost method the cost of long-term equity investment is

adjusted by adding or recovering investment. For the long-term equity investment accounted by the cost method

except for the declared but undistributed cash dividends or profits included in the price or consideration actually

paid at the time of investment the Company shall recognize the investment income according to the cash

dividends or profits declared by the investee and no longer distinguish whether it belongs to the net profit

realized by the investee before and after the investment.

(2) Accounting by equity method: For the long-term equity investment jointly controlled or significantly

influenced by the investee except for the equity investment in the associated enterprise part of it is indirectly

held by venture capital institutions mutual funds trust companies or similar entities including investment with

insurance funds regardless of whether the above entities have a significant influence on this part of the

investment the Company to measure this part of the indirectly held investment at fair value with its changes

included in profits and losses in accordance with the relevant provisions of Accounting Standards for Business

Enterprises No.22-Recognition and Measurement of Financial Instruments and adopts the equity method for

accounting. When accounting by equity method after the Company obtains the long-term equity investment

the investment income and other comprehensive income are recognized respectively according to the share of

the net profit and loss and other comprehensive income realized by the investee and the book value of the long-

term equity investment is adjusted; The Company shall calculate its share according to the profit or cash

dividend declared by the investee and correspondingly reduce the book value of long-term equity investment;

The Company shall adjust the book value of the long-term equity investment and include it in the owners' equity

for other changes in the owners' equity of the investee except the net profit and loss other comprehensive

income and profit distribution. The Company recognizes the net loss of the investee to the extent that the book

value of the long-term equity investment and other long-term rights and interests that substantially constitute the

net investment of the investee are written down to zero unless the Company has the obligation to bear

additional losses. If the investee realizes the net profit in the future the Company will resume the recognition of

the income share after the income share makes up for the unrecognized loss share. When recognizing the share

of the net profit and loss of the investee the Company will adjust the net profit of the investee based on the fair

value of the identifiable assets of the investee at the time of investment and offset the gains and losses of

internal transactions between the Company and associated enterprises and joint ventures and recognize the

investment profit and loss on this basis. The internal transaction losses between the Company and the investee

shall be recognized in full if they belong to asset impairment losses according to the Accounting Standards for

Business Enterprises No.8-Asset Impairment. If the accounting policies and accounting periods adopted by the

investee are inconsistent with those of the Company the financial statements of the investee shall be adjusted

according to the accounting policies and accounting periods of the Company so as to recognize the investment

profits and losses.Long-term equity investments in associated enterprises and joint ventures held before the first execution

date if there is any debit difference of equity investments related to the investment shall be amortized by the

original remaining term straight-line method and the amortized amount shall be included in the current profits

and losses.

(3) When disposing of long-term equity investment the difference between its book value and the actual

purchase price is included in the current profits and losses. If the long-term equity investment accounted by

equity method is included in the owners' equity due to other changes in the owners' equity of the investee except

the net profit and loss the part originally included in the owners' equity will be transferred to the current profits

48Semi-Annual Report 2025

and losses in proportion when disposing of the investment except for other comprehensive income arising from

the investee's re-measurement of the changes in defined benefit plan net liabilities or net assets.

23. Investment real estate

Measurement mode

Measured by cost method

Depreciation or amortization method

Investment real estate refers to real estate held to earn rent or capital appreciation or both. It includes

leased land use rights land use rights held and ready to be transferred after appreciation and leased buildings.When the Company can obtain rental income or value-added income related to investment real estate and the

cost of investment real estate can be measured reliably the Company will initially measure it according to the

actual expenditure of purchase or construction.The Company adopts the cost model to measure the investment real estate on the balance sheet date.Under the cost model the Company measures the investment real estate and makes depreciation or amortization

in accordance with the provisions of Item (23) Fixed Assets and Item (26) Intangible Assets of this accounting

policy. When the investment real estate is disposed of or permanently withdrawn from use and it is not

expected to obtain economic benefits from its disposal the recognition of the investment real estate shall be

terminated. When the Company sells transfers scraps or damages the investment real estate the amount of

disposal income after deducting its book value and relevant taxes shall be included in the current profits and

losses.

24. Fixed assets

(1) Recognition conditions

Fixed assets refer to tangible assets with a service life of more than one fiscal year which are held for

producing goods providing labor services leasing or managing.

(2) Depreciation methods

Category Method Years of depreciation Scrap value rate Yearly depreciationrate

Straight-line

Houses and buildings 20 10% 4.5%

depreciation

Straight-line

Machinery equipment 10 10% 9%

depreciation

Transportation Straight-line

510%18%

equipment depreciation

Electronic equipment Straight-line

510%18%

and others depreciation

49Semi-Annual Report 2025

25. Construction in progress

The construction in progress is measured according to the actual cost which includes all necessary project

expenditures incurred during the construction period borrowing costs that should be capitalized before the

project reaches the scheduled serviceable state and other related expenses.Construction in progress is carried forward to fixed assets when it reaches the scheduled serviceable state.The criteria for scheduled serviceable state shall meet one of the following conditions:

(1) The physical construction (including installation) or production of fixed assets has been completely or

substantially completed;

(2) It has been put into trial production or trial operation and the results show that the assets can normally

produce qualified products or the trial operation results show that it can operate or operate properly;

(3) The amount of expenditure that continues to occur on fixed assets purchased constructed or produced is

very small or almost none;

(4) The fixed assets purchased constructed or produced have reached the design or contract requirements or

are basically in line with the design or contract requirements.

26. Borrowing expenses

1. Recognition principle of capitalization of borrowing costs

Borrowing costs include interest incurred by borrowing amortization of discount or premium and

auxiliary expenses as well as exchange difference incurred by borrowing in foreign currency. If the borrowing

costs incurred by the Company can be directly attributed to the purchase construction or production of assets

that meet the capitalization conditions they shall be capitalized and included in the cost of relevant assets;

Other borrowing costs shall be recognized as expenses when incurred according to the amount incurred and

included in the current profits and losses.Assets eligible for capitalization include fixed assets investment real estate inventory and other assets

that need to go through a long period of purchase construction or production activities to reach the

predetermined serviceable or saleable state.Borrowing costs shall be capitalized when the following conditions are met at the same time:

(1) Asset expenditure has occurred including the expenditure occurred in the form of paying cash transferring

non-cash assets or undertaking interest-bearing debts for purchasing constructing or producing assets that meet

capitalization conditions;

(2) Borrowing costs have been incurred;

(3) The purchase construction or production activities necessary to make the assets reach the expected

serviceable or saleable state have started.

2. Period of capitalization of borrowing costs

50Semi-Annual Report 2025

Borrowing expenses incurred for purchasing constructing or producing assets that meet the capitalization

conditions if they meet the above capitalization conditions and occur before the assets reach the predetermined

serviceable or saleable state shall be included in the cost of the assets; If the purchase construction or

production activities of the assets are abnormally interrupted for more than 3 months the capitalization of

borrowing costs shall be suspended and recognized as current expenses until the purchase construction or

production activities of the assets resume; When the purchased constructed or produced assets reach the

predetermined serviceable or saleable state the capitalization of their borrowing costs will be stopped.Borrowing costs incurred after reaching the intended serviceable or saleable state are directly included in

financial expenses in the current period.

3. Calculation method of capitalized amount of borrowing costs

During the capitalization period the capitalization amount of interest (including amortization of discount

or premium) in each accounting period shall be determined in accordance with the following provisions:

(1) Where a special borrowing is borrowed for the purpose of purchasing constructing or producing assets that

meet the capitalization conditions it shall be determined by the actual interest expenses incurred in the current

period of the special borrowing minus the interest income obtained by depositing unused borrowing funds in

the bank or the investment income obtained by temporary investment.

(2) If the general borrowing is occupied for the purpose of purchasing constructing or producing assets that

meet the capitalization conditions the interest amount that should be capitalized on the general loan shall be

calculated and determined according to the weighted mean of the accumulated asset expenditure exceeding the

special borrowing portion multiplied by the capitalization rate of the occupied general borrowing.

27. Biological assets

None

28. Oil and gas asset

None

29. Intangible assets

(1) Service life and its determination basis estimation amortization method or review procedure

1. Service life and its determination basis estimation amortization method or review procedure

Intangible assets are measured at actual cost. The cost of outsourced intangible assets includes the

purchase price relevant taxes and other expenses directly attributable to making the assets reach the intended

use. If intangible assets are purchased by installment and the purchase price of intangible assets exceeds the

51Semi-Annual Report 2025

normal credit conditions and actually with financing nature the cost of intangible assets is the present value of

the purchase price. The cost of intangible assets invested by investors shall be determined according to the value

agreed in the investment contract or agreement. If the value agreed in the investment contract or agreement is

unfair it shall be recorded according to the fair value of intangible assets. For intangible assets obtained by

exchange of non-monetary assets the initial investment cost shall be determined in accordance with the

Accounting Standards for Business Enterprises No.7-Exchange of Non-monetary Assets. For intangible assets

obtained by debt restructuring its initial investment cost shall be determined in accordance with the Accounting

Standards for Business Enterprises No.12-Debt Restructuring. For intangible assets acquired by merger of

enterprises under the same control their entry value shall be determined according to the book value of the

merged party; For intangible assets acquired by merger of enterprises not under the same control their entry

value shall be determined at the fair value.The Company analyzes and judges the service life of intangible assets when acquiring them and divides

them into intangible assets with limited service life and intangible assets with uncertain service life. Intangible

assets with limited service life shall be amortized within the expected service life by adopting the amortization

method that can reflect the expected realization mode of economic benefits related to such assets from the time

when the intangible assets are available for use; If the expected realization mode cannot be reliably determined

straight-line amortization method shall be adopted.Amortization method service life determination basis and residual rate of various intangible assets with

limited service life:

Category Amortization method Service life (year) Determination basis Residual rate (%)

Statutory

Land use right Straight-line method 40-50 years term/registration term of 0.00

land use certificate

Trademark right Straight-line method 10 years Statutory term 0.00

Benefit period/contract

Software Straight-line method 2-10 years 0.00

period

Benefit period/contract

Patent Straight-line method 5-10 years 0.00

period

Benefit period/contract

Non-patent technology Straight-line method 5-10 years 0.00

period

Industrial property rights

Benefit period/contract

and proprietary Straight-line method 10 years 0.00

period

technology

Benefit period/contract

Others Straight-line method 5-10 years 0.00

period

At the end of each year the Company reviews the service life and amortization method of intangible

assets with limited service life. If the service life and amortization method of intangible assets are different from

those previously estimated the amortization period and amortization method shall be changed.The Company regards intangible assets with unpredictable future economic benefits as intangible assets

with uncertain service life and does not amortize intangible assets with uncertain service life. The Company

52Semi-Annual Report 2025

reviews the service life of intangible assets with uncertain service life in each accounting period. If there is

evidence that the service life of intangible assets is limited its service life shall be estimate and treatment shall

be carried out according to the above provisions.Please refer to Item (27) Impairment of Long-term Assets in this accounting policy for details on the

impairment test method and accrual method for impairment provision of intangible assets.

(2) Collection scope of R&D expenditure and related accounting treatment methods

R&D expenditure is directly related to R&D activities of the enterprise including R&D employee

compensation direct input expenses depreciation expenses and long-term deferred expenses design expenses

equipment debugging expenses intangible assets amortization expenses commissioned external R&D expenses

and other expenses. The collection and calculation of R&D expenditure is based on the fact that relevant

resources are actually invested in R&D activities. R&D expenditure includes expensed R&D expenditure and

capitalized development expenditure.The division standard of research stage expenditure and development stage expenditure of R&D projects:

Research stage expenditure refers to the expenditure incurred by original planned investigation for acquiring

and understanding new scientific or technical knowledge; Development stage expenditure refers to the

expenditure incurred by applying research results or other knowledge to a plan or design to produce new or

substantially improved materials devices and products before commercial production or use.Expenditures of intangible assets developed by the Company itself during the research stage of R&D

projects are included in the current profits and losses when incurred. Expenditure in the development stage of

the development project can only be recognized as intangible assets if the following conditions are met at the

same time:

(1) It is technically feasible to complete the intangible assets so that they can be used or sold;

(2) It has the intention to complete the intangible assets and use or sell them;

(3) For the ways in which intangible assets generate economic benefits including the ability to prove that the

products produced by using the intangible assets exist in the market or the intangible assets themselves exist in

the market if the intangible assets will be used internally their usefulness shall be proved;

(4) It has sufficient technical financial and other resources to support the development of the intangible assets

and has the ability to use or sell the intangible assets;

(5) Expenditure attributable to the development stage of the intangible assets can be reliably measured.

The expenditure in the development stage that has been expensed in the previous period is no longer adjusted.

30. Impairment of long-term assets

None

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31. Long-term expenses to be apportioned

Long-term deferred expenses refer to the expenses that have been incurred by the Company but should be

borne by the current period and subsequent periods with an amortization period of more than 1 year including

the improvement expenses of fixed assets rented by operating lease. Long-term deferred expenses shall be

amortized evenly during the benefit period of relevant projects.Category Amortization years

Decoration and maintenance fee 3-6 years

32. Contractual liability

Contractual liabilities reflect the Company's obligation to transfer goods to customers for received or

receivable consideration from customers. If the customer has paid the contract consideration or the Company

has obtained the unconditional right to receive the contract consideration before the Company transfers the

goods to the customer the contractual liabilities shall be recognized according to the amount received or

receivable when the customer actually issues the payment or the payment is due whichever is earlier.Contract assets and contractual liabilities under the same contract are listed on a net basis and contract

assets and contractual liabilities under different contracts are not offset.

33. Employee compensation

(1) Accounting treatment for short-term compensation

Short-term salary refers to the employee's salary that the Company needs to pay in full within 12 months

after the end of the annual report period when employees provide relevant services except post-employment

benefits and dismissal benefits. During the accounting period when employees provide services the Company

recognizes the actual short-term salary as a liability and includes it into relevant asset costs and expenses

according to the beneficiaries of employees' services.

(2) Accounting treatment for post-employment benefit

Post-employment benefits refer to various forms of remuneration and benefits provided by the Company

after employees retire or terminate labor relations with the Company in order to obtain services provided by

employees except short-term remuneration and dismissal benefits. Post-employment benefit plans include

defined contribution plan and defined benefit plans. Defined contribution plan refers to the post-employment

benefit plan in which the Company will not undertake further payment obligations after paying a fixed fee for

an independent fund; Defined benefit plan refers to the post-employment benefit plan except the defined

contribution plan.

(1) Defined contribution plan

54Semi-Annual Report 2025

Defined contribution plan includes basic old-age insurance and unemployment insurance. During the

accounting period when employees provide services for the Company the amount payable shall be calculated

according to the local payment base and proportion recognized as liabilities and included in the current profits

and losses or related asset costs.During the accounting period when employees provide services the amount payable calculated according

to the defined contribution plan is recognized as a liability and included in the current profits and losses or

related asset costs.

(2) Defined benefit plan

According to the formula determined by the expected cumulative benefit unit method the Company

attributes the benefit obligations generated by defined benefit plan to the period when employees provided

services and includes them in the current profits and losses or related asset costs. The employee compensation

cost caused by defined benefit plan of the Company includes the following components:

A. Service costs including current service costs past service costs and settlement gains or losses. Current

service costs refer to the increase in the present value of defined benefit plan obligations caused by employees'

provision of services in the current period; Past service costs refer to the increase or decrease of the present

value of defined benefit plan obligations related to employee service in the previous period caused by the

revision of the defined benefit plan.B. Net interest of net liabilities or net assets in defined benefit plan including the interest income of planned

assets the interest expense of defined benefit plan obligations and the interest affected by the asset ceiling.C. Changes arising from re-measurement of net liabilities or net assets in defined benefit plan.Unless other accounting standards require or allow employee benefit costs to be included in the asset costs

the Company will include the above items A and B in the current profits and losses and include Item C in other

comprehensive income which will not be transferred back to profit or loss in subsequent accounting periods but

these amounts recognized in other comprehensive income can be transferred within the scope of equity.

(3) Accounting for retirement benefits

Dismissal benefits refer to the compensation provided to employees by the Company for terminating the

labor relationship with employees before the expiration of their labor contracts or for encouraging employees to

voluntarily accept layoffs. If the Company provides dismissal benefits to employees the employee

compensation liabilities arising from the dismissal benefits shall be recognized at the earlier of the following

two dates and included in the current profits and losses: when the Company cannot unilaterally withdraw the

dismissal benefits provided by the plan to terminate labor relations or the proposal to cut back; When the

Company recognizes the costs or expenses related to the reorganization involving the payment of dismissal

benefits.

55Semi-Annual Report 2025

(4) Accounting for other long-term employee benefits

Other long-term employee benefits refer to all employee compensation except short-term salary post-

employment benefits and dismissal benefits including long-term paid absences long-term disability benefits

and long-term profit sharing plans. Other long-term employee benefits provided by the Company to employees

if they meet the requirements of the defined contribution plan shall be handled in accordance with the relevant

provisions of the defined contribution plan; For other long-term employee benefits other than the above the net

liabilities or net assets of other long-term employee benefits shall be recognized and measured according to the

relevant regulations of the defined benefit plan. At the end of the reporting period the Company attributed the

benefit obligations arising from other long-term employee benefits to the period when employees provided

services and included them in the current profits and losses or related asset costs.

34. Accrual liability

If the Company's obligation related to contingencies meet the following conditions at the same time it

will be recognized as a liability: (1) This obligation is the current obligation undertaken by the Company; (2)

The performance of this obligation may lead to the outflow of economic benefits; (3) The amount of the

obligation can be measured reliably.All or part of the expenditures required for the estimated liabilities are expected to be compensated by the

third party or other parties and the compensation amount is recognized as an asset separately when it is

basically determined that it can be received and the recognized compensation amount does not exceed the book

value of the recognized liabilities. The estimated liabilities are initially measured according to the best estimate

of the expenditure required to perform the relevant current obligations with the factors related to contingencies

such as risks uncertainties and time value of money comprehensively considered. If the time value of money

has a significant impact the best estimate shall be determined by discounting the relevant future cash outflows.On the balance sheet date the Company reviews the book value of the estimated liabilities. If there is

conclusive evidence that the book value cannot truly reflect the current best estimate such book value will be

adjusted according to the current best estimate.

35. Share-based payment

1. Types of share-based payment

Share-based payment of the Company is divided into cash-settled share-based payment and equity-settled

share-based payment.Equity-settled share-based payment shall be measured at the fair value of equity instruments granted to

employees. If it is exercisable immediately after the grant it will be included in the relevant costs or expenses

according to the fair value of the equity instrument on the grant date and the capital reserve will be increased

56Semi-Annual Report 2025

accordingly. If it is exercisable only after the service within the waiting period is completed or the specified

performance conditions are met on each balance sheet date within the waiting period the service obtained in

the current period shall be included in the relevant costs or expenses and capital reserve based on the best

estimate of the number of exercisable equity instruments and according to the fair value on the grant date of the

equity instruments. After the vesting date the recognized related costs or expenses and the total owners' equity

will not be adjusted.Cash-settled share-based payment shall be measured at fair value of liabilities calculated and determined

based on shares or other equity instruments undertaken by the Company. If it is exercisable immediately after

the grant it will be included in the relevant costs or expenses at the fair value of the liabilities undertaken by the

Company on the grant date and the liabilities will be increased accordingly. For cash-settled share-based

payment exercisable after the service in the waiting period is completed or the specified performance conditions

are met the service obtained in the current period shall be included in the costs or expenses and corresponding

liabilities on each balance sheet date during the waiting period based on the best estimate of the vesting

situation and according to the fair value of the liabilities undertaken by the Company. On each balance sheet

date and settlement date before the settlement of related liabilities the fair value of liabilities is re-measured

and its changes are included in the current profits and losses.

2. Accounting treatment related to implementation modification and termination of share-based payment plan

No matter how the terms and conditions of the granted equity instruments are modified or even the grant

of the equity instruments is cancelled or the equity instruments are settled the Company shall at least recognize

that the corresponding services obtained are measured according to the fair value of the granted equity

instruments on the grant date unless the vesting conditions of the equity instruments (except market conditions)

cannot be met.If the Company cancels the granted equity instruments or settles the granted equity instruments within the

waiting period (except those cancelled due to failure to meet the conditions of vesting conditions) the treatment

is as follows:

(1) The cancellation or settlement will be treated as accelerated vesting and the amount that should have been

recognized in the remaining waiting period will be recognized immediately.

(2) All the money paid to employees at the time of cancellation or settlement shall be treated as the repurchase

of equity and the part paid for repurchase that is higher than the fair value of the equity instrument on the

repurchase date shall be included in the current expenses.

(3) If a new equity instrument is granted to employees and it is determined that the new equity instrument

granted is used to replace the cancelled equity instrument on the grant date of the new equity instrument the

Company shall handle the granted alternative equity instrument in the same way as the modification of the

terms and conditions of the original equity instrument.

57Semi-Annual Report 2025

36. Other financial instruments including preferred stock and perpetual bonds

None

37. Revenue

Disclosure of accounting policies adopted in income recognition and measurement according to business types

The Company has fulfilled its contractual obligations that is to recognize the income when the customer

obtains the control right of relevant goods. Performance obligation refers to the commitment to transfer clearly

distinguishable goods to customers in the contract. The Company evaluates the contract on the contract start

date to identify each individual performance obligation contained in the contract. If the following conditions are

met at the same time it is clearly distinguishable goods:

(1) Customers can benefit from the goods itself or from the use of the goods along with other easily available

resources;

(2) The commitment to transfer the goods to customers can be distinguished separately from other

commitments in the contract.The following situations usually indicate that the commitment to transfer the goods to customers cannot

be distinguished separately from other commitments in the contract:

(1) Significant services need to be provided to integrate the goods and other goods promised in the contract into

the combined output agreed in the contract and transfer it to customers;

(2) The goods will make major modifications or customizations to other goods promised in the contract;

(3) The goods are highly correlated with other goods promised in the contract.

The transaction price is the amount of consideration that the Company is expected to receive for

transferring the goods to customers excluding the payment collected on behalf of third parties and the payment

that the Company is expected to return to customers. When determining the transaction price of the contract if

there is a variable consideration the Company will determine the best estimate of the variable consideration

according to the expected value or the most likely amount and include it in the transaction price at an amount

not exceeding the amount that is unlikely to be significantly reversed when the relevant uncertainty is

eliminated. If there is a significant financing component in the contract the Company will determine the

transaction price according to the amount payable in cash when the customer obtains the goods control right

and the difference between the transaction price and the contract consideration will be amortized by the

effective interest rate method during the contract period. If the interval between the customer obtaining the

goods control right and the customer paying the price is less than one year the Company will not consider the

financing component. When the consideration that the Company has the right to collect from the customer due

to the transfer of goods is in the form of non-cash the Company will determine the transaction price according

to the fair value of the non-cash consideration on the contract start date. If the fair value of the non-cash

58Semi-Annual Report 2025

consideration cannot be reasonably estimated the Company will indirectly determine the transaction price with

reference to the individual selling price of the goods it promised to transfer to customers. For the payment that

the Company expects to return to customers except for obtaining other clearly distinguishable goods from

customers the consideration payable shall be used to offset the transaction price. If the consideration payable to

customers exceeds the fair value of clearly distinguishable goods obtained from customers the excess amount

shall be used as the consideration payable to customers to offset the transaction price. If the fair value of clearly

distinguishable goods obtained from customers cannot be reasonably estimated the Company will fully offset

the transaction price from the consideration payable to customers. When carrying out accounting treatment on

the transaction price offset by the consideration payable to customers the Company will offset the current

income at the later time of recognizing the relevant income and paying (or promising to pay) the customer

consideration.If the contract contains two or more performance obligations the Company will allocate the transaction

price to each individual performance obligation according to the relative proportion of the individual selling

price of the goods promised by each individual performance obligation on the contract start date and measure

the income according to the transaction price allocated to each individual performance obligation. In case of

subsequent changes in the transaction price the Company will allocate the subsequent changes to the

performance obligations in the contract according to the basis adopted on the contract start date. The transaction

price will not be re-allocated due to the change of individual selling price after the contract start date.If any of the following conditions is met the Company will perform its obligations within a certain period

of time; Otherwise it is a fulfillment of performance obligation at a certain time point:

(1) Customers gain and consume the economic benefits brought by the Company's performance at the same

time;

(2) Customers can control the goods under construction during the performance of the Company;

(3) The goods produced during the performance of the Company have irreplaceable uses and the Company has

the right to collect payment for the accumulated part of the performance completed so far during the whole

contract period.For the performance obligations performed in a certain period of time the Company shall recognize the

income according to the performance progress during that period except that the performance progress cannot

be reasonably determined. The Company determines the performance progress of provided services according

to the input method. When the performance progress cannot be reasonably recognized if the cost already

incurred by the Company is expected to be compensated the revenue will be recognized according to the cost

amount already incurred until the performance progress can be reasonably recognized.For the performance obligations fulfilled at a certain time point the Company recognizes the income

when the customer obtains the control right of relevant goods. When judging whether the customer has obtained

the control of the goods the Company will consider the following signs:

59Semi-Annual Report 2025

(1) The Company is entitled to the right of real time payment collection for the goods that is the customer has

the real time payment collection obligation for the goods;

(2) The Company has transferred the legal ownership of the goods to the customer that is the customer has the

legal ownership of the goods;

(3) The Company has transferred the goods in kind to the customer that is the customer has occupied the

goods in kind;

(4) The Company has transferred the main risks and rewards on the ownership of the goods to the customer

that is the customer has obtained the main risks and rewards on the ownership of the goods;

(5) The customer has accepted the goods.

According to whether the Company has control over the goods or services before transferring them to

customers the Company judges whether it is the main responsible person or the agent when engaging in

transactions. If the Company can control the goods or services before transferring them to customers the

Company is the main responsible person and the income is recognized according to the total consideration

received or receivable; Otherwise the Company is an agent and will recognize the income according to the

expected amount of commission or handling fee which is determined according to the net amount of the total

consideration received or receivable after deducting the price payable to other interested parties or according to

the established commission amount or proportion.The situations in which the Company can control the goods before transferring them to customers include

the following:

(1) The enterprise transfers the control right of goods or other assets to the customer after it obtains it from a

third party;

(2) The enterprise can lead the third party to provide services to customers on behalf of the enterprise;

(3) After the enterprise obtains the control right of the goods from the third party it integrates the goods with

other goods into a combined output and transfers it to the customer by providing significant services.When judging whether it has control over the goods before transferring them to customers the Company

comprehensively considers all relevant facts and circumstances including:

(1) The enterprise bears the main responsibility for transferring goods to customers;

(2) The enterprise bears the inventory risk of the goods before or after their transfer;

(3) The enterprise has the right to decide the prices of the goods for trade independently;

(4) Other relevant facts and circumstances.

Different income recognition methods and measurement methods involved in different business models adopted

by similar businesses

The Company's commodity sales mainly include circulation sales shopping mall joint operation and

proprietary e-commerce and the recognition methods of sales revenuethese three ways are as follows:

60Semi-Annual Report 2025

(1) Circulation sales refers to that the Company recognizes the sales revenue when the goods are delivered to

the customer and the authorized representative or the first carrier recognized by the customer at the designated

place and the customer and the authorized representative or the first carrier have signed for it and the Company

has received the payment or obtained delivery documents.

(2) The shopping mall joint operation is the Company cooperates with the shopping mall to carry out joint sales

in the form of counters in the shopping mall and according to the agreement signed with the shopping mall the

shopping mall collects the payment when the Company's counters sell goods to customers and the Company

and the shopping mall carry out sales settlement. The shopping mall pays the Company after reconciling with

the Company at the agreed settlement time (generally the next month) and deducting the income and related

expenses enjoyed by the shopping mall. The Company recognizes the sales revenue after deducting the

deduction profit belonging to the shopping mall according to the full amount of the completed transaction of

actual sales in the month.

(3) Proprietary e-commerce refers to that the Company retails through third-party e-commerce platforms (such

as Tmall and JD.COM) and recognizes the sales revenue when the customer signs for the goods and obtains the

payment or payment right.

38.Contract cost

Contract costs include incremental costs incurred in obtaining contract and contract performance costs.The incremental costs incurred to obtain the contract refer to the costs that the Company would not have

incurred if the contract had not been obtained (e.g. sales commission etc.). If the cost is expected to be

recovered the Company recognizes it as an asset for the costs of acquiring the contract. Expenses incurred by

the Company in obtaining the contract other than the incremental costs that are expected to be recovered are

included in profit or loss for the current period when incurred.If the costs incurred for the performance of the contract are not subject to the scope of the relevant

standards such as inventory fixed assets or intangible assets and the following conditions are met at the same

time the Company recognizes them as an asset for contract performance costs:

(1) the cost is directly related to a current or an anticipated contract including direct labor direct materials

manufacturing expenses (or similar expenses) costs expressly borne by the customer and other costs incurred

solely as a result of the contract;

(2) the cost increases the resources that the enterprise will use to fulfill its performance obligations in the future;

(3) the cost is expected to be recovered.

61Semi-Annual Report 2025

The asset as recognized by the cost of acquiring the contract and the asset as recognized by the cost of

performance of the contract are amortized on the same basis as the revenue recognition of the goods or services

related to the assets and are included in profit or loss for the current period.If the carrying amount of an asset related to the contract cost is higher than the following two differences

the Company shall make an impairment provision for the excess and recognize it as an asset impairment loss:

(1) The residual consideration that the enterprise is expected to receive as a result of the transfer of commodities

related to the asset;

(2) An estimate of the costs to be incurred for the transfer of the relevant goods.

If the factors of impairment in the previous period change subsequently so that the difference by (1)

minus (2) is higher than the carrying amount of the asset the original provision for impairment of the asset shall

be reversed and included in the profit or loss for the current period but the carrying amount of the reversed

asset shall not exceed the carrying amount of the asset on the reversal date assuming that no provision for

impairment is made.

39. Government subsidies

1. Types of government subsidies

Government subsidies refer to the monetary assets or non-monetary assets obtained by the company from

the government free of charge including government subsidies related to assets and government subsidies

related to income.Asset-related government subsidies refer to government subsidies obtained by a company for the

acquisition construction or other formation of long-term assets.Income-related government subsidies refer to government subsidies other than asset-related government

subsidies.

2. The principle and timing of recognition of government subsidies

Recognition principle of government subsidies:

(1) The company is able to meet the conditions attached by the government subsidy;

(2) The company is able to receive government subsidies.

The government subsidy can only be recognized if the above conditions are met at the same time.

62Semi-Annual Report 2025

3. Measurement of government subsidies

(1) If the government subsidy is a monetary asset the company shall measure it according to the amount

received or receivable;

(2) If the government subsidy is a non-monetary asset the company shall measure it at fair value and if the fair

value cannot be reliably obtained it shall be measured at the notional amount (the notional amount is RMB 1).

4. Accounting treatment of government subsidies

(1) Asset-related government subsidies are written off the carrying amount of the underlying assets or

recognized as deferred income upon acquisition. If it is recognized as deferred income it shall be included in

profit or loss in installments in accordance with a reasonable and systematic method during the useful life of the

relevant asset. Government subsidies measured in notional amounts are directly included in profit or loss for the

current period.

(2) Government subsidies related to income shall be handled as follows:

A. If it is used to compensate the company for the relevant costs expenses or losses in subsequent periods it

shall be recognized as deferred income at the time of acquisition and shall be included in the profit or loss for

the current period or offset the relevant costs during the period when the relevant costs expenses or losses are

recognized.B. If it is used to compensate for the relevant costs expenses or losses incurred by the company it shall be

directly included in the current profit or loss or offset the relevant costs when acquired.

(3) For government subsidies that are included in both the asset-related part and the income-related part if they

can be distinguished they shall be accounted for separately in different parts and if it is difficult to distinguish

they shall be classified as income-related government subsidies as a whole.

(4) Government subsidies related to the company's routine operations shall be included in other income or offset

related costs and expenses according to the economic business substance. Government subsidies unrelated to

the company's routine activities are included in non-operating income and expenditure. If the finance

department directly allocates the discount funds to the company the company will offset the relevant borrowing

costs with the corresponding discount.

(5) If the confirmed government subsidy needs to be returned it shall be handled according to the following

circumstances:

A. If the carrying amount of the relevant asset is reduced at the time of initial recognition the carrying

amount of the asset shall be adjusted.

63Semi-Annual Report 2025

B. If there is relevant deferred income the carrying amount of the relevant deferred income shall be written

off and the excess part shall be included in the profit or loss for the current period.C. If it belongs to other circumstances it shall be directly included in the profit or loss for the current period.

40. Deferred tax assets/deferred tax liabilities

When the company acquires assets and liabilities it determines its tax base. If there is a temporary

difference between the carrying amount of assets and liabilities and their tax base the deferred tax assets or

deferred tax liabilities arising from them shall be recognized in accordance with the regulations.

1. Recognition of deferred tax assets

(1) The company recognizes deferred tax assets arising from deductible temporary differences to the extent that

it is likely to obtain taxable income that can be used to offset deductible temporary differences. However

deferred tax assets arising from the initial recognition of assets or liabilities are not recognized in transactions

that (1) is not a business combination and (2) the transaction does not affect either accounting profits or taxable

income (or deductible losses) at the time of the transaction.

(2) The Company recognizes the corresponding deferred tax assets for deductible temporary differences related

to investments in subsidiaries associates and joint ventures that meet the following conditions at the same time:

(1) the temporary differences are likely to be reversed in the foreseeable future and (2) the taxable income used

to offset the deductible temporary differences is likely to be obtained in the future.

(3) For deductible losses and tax credits that can be carried forward to subsequent years in accordance with the

provisions of the tax law they shall be treated as deductible temporary differences and the corresponding

deferred tax assets shall be recognized to the extent that the future taxable income that is likely to be used to

offset the deductible losses and tax credits.

2. Recognition of deferred tax liabilities

(1) The company recognizes all deferred tax liabilities arising from taxable temporary differences except for

the deferred income tax liabilities arising from the following transactions: (1) the initial recognition of goodwill

and (2) the initial recognition of assets or liabilities arising from transactions that satisfy both the following

characteristics: the transaction is not a business combination and the transaction does not affect either the

accounting profit or the taxable income (or deductible loss) at the time of the transaction.

(2) The Company recognizes the corresponding deferred tax liabilities for taxable temporary differences related

to investments in subsidiaries associates and joint ventures but other than those with the following conditions

64Semi-Annual Report 2025

are met at the same time: (1) the investment enterprise can control the time for the reversal of the temporary

difference and (2) the temporary difference is likely not to be reversed in the foreseeable future.

3. Presentation of net offsets of deferred tax assets and deferred tax liabilities

When the company has the legal right to settle on a net basis and intends to settle on a net basis or acquire

assets and settle liabilities at the same time the company's current income tax assets and current income tax

liabilities are presented on a net basis after offset.When there is a legal right to settle the current income tax assets and current income tax liabilities on a net

basis and the deferred tax assets and deferred tax liabilities are related to the income tax levied by the same tax

collection and administration department on the same taxpayer or levied by the same tax collection and

administration department to different tax subjects but in each period of reversal of deferred tax assets and

liabilities of material nature in the future the taxpayer involved intends to settle the current income tax assets

and liabilities on a net basis or acquire the assets and settle liabilities at the same time the deferred tax assets

and deferred tax liabilities of the Company are presented on a net basis after offset.

41. Leasing

(1) Accounting treatment as a lessee lease

(1) Right-of-use assets

On the commencement date of the lease term the Company as the lessee recognizes the right to use the leased

asset during the lease term as right-of-use asset except for short-term leases and leases of low-value assets.Right-of-use assets are initially measured at cost which includes:

A. Initial measurement amount of the lease liability;

B. If there is a lease incentive for the lease payment paid on or before the start date of the lease term the

relevant amount of the lease incentive already enjoyed shall be deducted;

C. Initial direct costs incurred;

D. Costs expected to be incurred to dismantle and remove the leased asset restore the site on which the leased

asset is located or restore the leased asset to the condition agreed in the lease terms except for the production

of inventory.The Company adopts the cost model for the subsequent measurement of right-of-use assets and adopts the

straight-line method for depreciation of various types of right-of-use assets.

65Semi-Annual Report 2025

If the Company is able to reasonably determine that the ownership of the leased assets will be acquired at

the expiration of the lease term the depreciation shall be accrued during the remaining useful life of the leased

assets and if it cannot be reasonably determined that the ownership of the leased assets can be acquired at the

expiration of the lease term the depreciation shall be accrued during the period which is shorter from the lease

term and the remaining useful life of the leased assets. If the right-of-use asset is impaired the Company will

carry out subsequent depreciation based on the carrying amount of the right-of-use asset after deducting the

impairment loss.When the Company remeasures lease liabilities based on the present value of the changed lease payments

and adjusts the carrying amount of right-of-use assets accordingly if the carrying amount of right-of-use assets

has been reduced to zero but the lease liabilities still need to be further reduced the remaining amount will be

included in profit or loss for the current period.The impairment test method and impairment provision method of right-of-use assets are detailed in

(XXVII) Impairment of long-term assets of this accounting policy.

(2) Lease liabilities

At the commencement date of the lease term the Company recognizes the present value of unpaid lease

payments as lease liabilities excluding short-term leases and leases of low-value assets.When calculating the present value of the lease payment the Company as the lessee uses the interest rate

implicit in the lease as the discount rate and if the interest rate implicit in the lease cannot be determined the

incremental borrowing rate of the Company is used as the discount rate.The Company calculates the interest expense of lease liabilities for each period of the lease term at a fixed

periodic interest rate and includes them in profit or loss for the current period. Variable lease payments that are

not included in the measurement of lease liabilities are recognized in profit or loss for the current period when

they are actually incurred.After the commencement date of the lease term the Company will remeasure the lease liability based on

the present value of the changed lease payment in the event of a change in the amount of the substantial fixed

payment a change in the estimated amount payable for the residual value of the guarantee a change in the

index or ratio used to determine the amount of the lease payment a change in the evaluation result or actual

exercise of the option to purchase renew or terminate the option.

(3) Short-term leases and leases of low-value assets

A short-term lease is a lease with a lease period of not more than 12 months on the start date of the lease

term and does not include an option to purchase. A lease of a low-value asset refers to a lease with a low value

when a single leased asset is a brand-new asset. If the Company subleases or expects to sublease the leased

assets the original lease is not a low-value asset lease.

66Semi-Annual Report 2025

The Company chooses not to recognize right-of-use assets and lease liabilities for short-term leases and

leases of low-value assets and to include the relevant lease payments in profit or loss or the cost of related

assets on a straight-line basis for each period of the lease term.

（2） Accounting treatment as a lessor's lease

On the lease commencement date the Company divides the lease into the finance lease and the operating

lease. A financial lease refers to a lease that substantially transfers almost all of the risks and rewards associated

with the ownership of the leased asset regardless of whether the ownership is ultimately transferred. Operating

leases refer to leases other than financial leases. When the Company acts as a subleaselessor it classifies the

sublease based on the right-of-use assets generated from the original lease.

(1) Accounting treatment of operating leases

Lease receipts from operating leases are recognized as rental income on a straight-line basis for each

period of the lease term. The Company capitalizes the initial direct expenses incurred in connection with the

operating lease and apportion them to profit or loss for the current period on the same basis as the rental income

recognition during the lease term. Variable lease payments that are not included in lease receipts are recognized

in profit or loss for the current period when they are actually incurred.

(2) Accounting treatment of financial leases

On the lease commencement date the Company recognizes the financial lease receivables for the financial

lease and terminates the recognition of the financial lease assets. When the Company initially measures the

financial lease receivables the net lease investment is recorded as the entry value of the financial lease

receivables. The net lease investment is the sum of the unsecured residual value and the present value of lease

receipts not yet received at the start date of the lease term discounted at the interest rate implicit in the lease.The Company calculates and recognizes interest income for each period of the lease term at a fixed

periodic interest rate. The derecognition and impairment of financial lease receivables are described in (Xl)

Financial instruments of this accounting policy.Variable lease payments that are not included in the net measurement of lease investments are recognized

in profit or loss for the period when they are actually incurred.

67Semi-Annual Report 2025

42. Other important accounting policy and estimation

None

43. Changes of important accounting policy and estimation

(1) Changes of important accounting policy

□Applicable□Not applicable

(2) Changes of important accounting estimation

□Applicable□Not applicable

（3） The Company started implementing the updated accounting standards commencing from 2025

and adjusted the relevant items in the financial statements at the beginning of the very year involved in

the initial implementation of the said standards

□Applicable□Not applicable

44.Other

None

VI. Taxes

1. Main tax and tax rate

Type of tax Tax calculation evidence Tax rate

Sales of goods taxable labor service

revenue taxable income intangible

Value added tax 5%6%9%13%

assets income and income from property

leasing

City maintenance & construction tax VAT payable 7%

Enterprise income tax Taxable income See below for details

Education Fee Surcharge VAT payable 3%

Local education fee surcharge VAT payable 2%

Disclose reasons for different taxpaying body

Taxpaying body Income tax rate

Shenzhen China Bicycle Company (Holdings) Co. Ltd. 25%

Shenzhen Xinsen Jewelry Gold Co. Ltd 25%

Shenzhen Xinsen Precision Manufacturing Co.Ltd. 20%

Shenzhen Jiucheng Culture Technology Co. Ltd. 20%

Shenzhen Jinjiucheng Intangible Cultural Heritage Inheritance

20%

Co. Ltd.Dongguan Xinsen Jewelry Co. Ltd. 20%

Shenzhen Emmelle Industrial Co. Ltd. 20%

Shenzhen Emmelle Cloud Technology Co. Ltd. 20%

Fujian Huaxinbao Jewelry Co. Ltd. 20%

68Semi-Annual Report 2025

Putian Kaipu Technology Partnership(LP) Divide first and then tax

Shenzhen Huabao Zhenxuan Jewelry Co. Ltd. 20%

Hainan Shenhua Industrial Co. Ltd. 20%

Shenzhen Cloud Preferred Jewelry Technology Co. Ltd. 20%

Hangzhou Huabaohui Digital Culture Co. ltd. 20%

Tibet Jinyaya Trading Co. Ltd. 20%

Zhenhua International Co. Ltd. 16.50%

2. Tax preference

The subsidiaries Shenzhen Xinsen Precision Manufacturing Co. Ltd. Shenzhen Jiucheng Culture

Technology Co. Ltd. Shenzhen Jinjiucheng Intangible Cultural Heritage Inheritance Co. Ltd.Dongguan

Xinsen Jewelry Co. Ltd.Shenzhen Emmelle Industrial Co. Ltd. Shenzhen Emmelle Cloud Technology Co.Ltd. Fujian Huaxinbao Jewelry Co. Ltd. Hainan Shenhua Industrial Co. Ltd. Shenzhen Cloud Preferred

Jewelry Technology Co. Ltd. Hangzhou Huabaohui Digital Culture Co. Ltd. andTibet Jinyaya Trading Co.Ltd.. meet the conditions of "small and low-profit enterprises" and according to the regulations of No. 12[2023]

announcement of the State Administration of Taxation of the Ministry of Finance "Announcement on Further

Supporting the Development of Small and Micro Enterprises and Individual Industrial and Commercial

Households" for small enterprises with small profit the income tax policy for the taxable income will be

reduced to be 25% to calculate and the enterprise income tax paid at the rate of 20% will be extended until

December 312027.

3.Other

None

VII. Notes to Items in the Consolidated Financial Statements

1. Monetary fund

In RMB

Item Ending balance Opening balance

Cash on hand 24644.40 48364.40

Bank deposit 59128554.97 80750939.08

Other monetary fund 1389.61 175057.11

Total 59154588.98 80974360.59

Including: total amount deposited in

overseas 38949.18

Other note：

2. Trading financial assets

None

69Semi-Annual Report 2025

3. Derivative financial assets

None

4. Note receivable

(1) Category

Not applicable

（2）According to the bad debt provision method classification disclosure

If the provision for bad debts of notes receivable is made in accordance with the general model of expected

credit losses please refer to the disclosure of other account receivable to disclose related information about bad-

debt provisions:

□Applicable □Not applicable

(3) Bad debt provision accrual collected or reversal in the period

Accrual of bad debt provision in the period:

In RMB

Current changes

Category Openingbalance Collected or Ending balanceAccrual reversal Write off Other

Including important amount of bad debt provision collected or reversal in the period:

□Applicable □Not applicable

(4) Note receivable pledged at period-end

In RMB

Item Amount pledged at period-end

(5) Note receivable which have endorsed and discount at period-end and has not expired on balance sheet

date

In RMB

Item Amount derecognition at period-end Amount not derecognition at period-end

(6) Note receivable actually written-off in the period

In RMB

Item Amount written off

70Semi-Annual Report 2025

Including important note receivable written-off:

In RMB

Amount cause by

Enterprise Nature Amount writtenoff Causes Procedure

related

transactions or not

(Y/N)

Explanation on note receivable written-off:

5. Account receivable

（1）Disclosure according to the aging of accountBy account age

In RMB

Aging Balance in year-end Balance Year-beginning

Within one year(one year included) 162228968.19 232431363.63

1-2 years 1085673.30 772381.68

2-3 years 12171870.69 12218313.35

Over 3 years 14224153.33 14282063.33

3-4 years 10762472.02 10764196.13

4-5 years 1264775.39 1263051.28

Over 5 years 2196905.92 2254815.92

Total 189710665.51 259704121.99

（2）According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provisiony BookAmount Proporti Amount Proporti value Amount Proporti Amount Proportion(%) on(%) on(%) on(%) value

Accrual

of bad

debt 263486 260815 267153. 264530 250729 138001

provisio 13.89% 98.99% 10.19% 94.78%57.31 03.96 35 09.97 94.46 5.51

n by

single

Includin

g：

Single

identific 263486 260815 267153. 264530 250729 13800113.89% 98.99% 10.19% 94.78%

ation 57.31 03.96 35 09.97 94.46 5.51

Accrual

of bad

debt 163362 617686. 162744 233251 102249 232228

provisio 86.11% 0.38% 89.81% 0.44%008.20 48 321.72 112.02 2.94 619.08

n by

portfolio

Includin

g：

Aging 163362 617686. 162744 233251 102249 232228

portfolio 86.11% 0.38% 89.81% 0.44%008.20 48 321.72 112.02 2.94 619.08

189710266991163011259704260954233608

Total 100.00% 14.07% 100.00% 10.05%

665.5190.44475.07121.9987.40634.59

Bad debt provision accrual on single basis: Single identification

71Semi-Annual Report 2025

In RMB

Opening balance Ending balance

Name Bad debt Bad debt Reason for

Book balance Book balance Accrual ratio

provision provision accrual

Guangshui

Jiaxu Energy Expected to be

Technology 22019832.63 20918841.00 22019832.63 22019832.63 100.00% difficult to

Co. Ltd. recover

Suzhou

Daming Expected to be

Vehicle 891564.42 713251.54 878654.42 702923.54 80.00% difficult to

Industry Co. recover

Ltd.Suzhou Jiaxin Expected to be

Economic 888757.00 888757.00 888757.00 888757.00 100.00% difficult to

Trade Co. Ltd. recover

Dongguan

Daxiang New Expected to be

Energy Co. 564734.00 564734.00 549734.00 549734.00 100.00% difficult to

Ltd. recover

Ningbo

Fanxing New Expected to be

Energy 503555.00 402844.00 457112.34 365689.87 80.00% difficult to

Technology recover

Co. Ltd.Shijiazhuang Expected to be

Dasong Tech. 497064.00 497064.00 497064.00 497064.00 100.00% difficult to

Co. Ltd recover

Guangdong

Xinlingjia New Expected to be

Energy Co. 348136.00 348136.00 348136.00 348136.00 100.00% difficult to

Ltd. recover

Shanghai

Siwen Electric Expected to be

Vehicle Co. 280197.50 280197.50 250197.50 250197.50 100.00% difficult to

Ltd. recover

Fuzhou Dayang Expected to be

Commercial 147804.28 147804.28 147804.28 147804.28 100.00% difficult to

Co. Ltd. recover

Tianjin Huiju Expected to be

Electric Vehicle 116840.14 116840.14 116840.14 116840.14 100.00% difficult to

Co. Ltd. recover

Expected to be

Other 194525.00 194525.00 194525.00 194525.00 100.00% difficult to

recover

Total 26453009.97 25072994.46 26348657.31 26081503.96

Bad debt provision accrual on portfolio: Aging portfolio

In RMB

Ending balance

Name of the Company

Book balance Bad debt provision Accrual ratio

Within 1 year 162228968.19 211262.67 0.13%

1-2 years 928673.10 264835.64 28.52%

2-3 years 202642.80 139864.06 69.02%

3-4 years

4-5 years 1724.11 1724.11 100.00%

Over 5 years

Total 163362008.20 617686.48

Explanation on portfolio basis:

If the provision for bad debts of account receivable is made in accordance with the general model of expected

72Semi-Annual Report 2025

credit losses please refer to the disclosure of other account receivable to disclose related information about bad-

debt provisions:

□Applicable□Not applicable

(3) Bad debt provision accrual collected or reversal in the period

Accrual of bad debt provision in the period:

In RMB

Current changes

Category Openingbalance Collected or Ending balanceAccrual reversal Write off Other

Accounts

receivable with

individual 25072994.46 1008509.50 26081503.96

provision for

bad debts

Provision for

bad debts based

on a portfolio 1022492.94 404806.46 617686.48

of credit risk

characteristics

Total 26095487.40 1008509.50 404806.46 26699190.44

Including important amount of bad debt provision collected or reversal in the period:

I n RMB

The basis and

rationality for

Name of the Amount recovered or

organization reversed Reason for reversal Recovery method

determining the

provision ratio of

original bad debt

provision

(4) Account receivables actually write-off during the reporting period

I n RMB

Item Amount written off

Including major account receivables write-off:

I n RMB

Amount cause by

Enterprise Nature Amount writtenoff Causes Procedure

related

transactions or not

(Y/N)

Explanation on account receivable write-off:

(5)The top five accounts receivable and contract assets at the end of the period aggregated according to

debtor

73Semi-Annual Report 2025

In RMB

Proportion to the Ending balance of

Ending balance of total ending accounts

Name of the Ending balance ofaccounts Ending balance of accounts balance of

receivable bad

organization contract assets receivable and accounts debt provision andreceivable contract assets receivable and contract asset

contract assets impairmentprovision

Shenzhen

Yunshang Jewelry 39422819.30 39422819.30 20.78% 3942.28

Co. Ltd.Fuzhou Rongrun

37974476.1237974476.1220.02%3797.45

Jewelry Co. Ltd

Fuxhou Cangshan

Dingjue Jewelry 31458994.23 31458994.23 16.58% 3145.90

Company

Guangshui Jiaxu

Energy

22019832.6322019832.6311.61%22019832.63

Technology Co.Ltd.Fuzhou

Zhuanjinsen 21139146.55 21139146.55 11.14% 2113.91

Jewelry Co. Ltd.Total 152015268.83 152015268.83 80.13% 22032832.17

6. Contract assets

(1) Information of contract assets

In RMB

Ending balance Opening balance

Item Bad debt Bad debt

Book balance Book value Book balance Book value

provision provision

(2) The significant amount change in book value during the reporting period and its reason

In RMB

Item The amount of change Reason for change

（3）According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provision Book

y Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Inducing

Includin

g

Provision for bad debts is made according to the general model of expected credit losses

□Applicable□Not applicable

74Semi-Annual Report 2025

(4) Bad debt provision accrual collected or reversal in the period

In RMB

Item Accrual Collected or reversal Write off Reason

Thereinto the important amount of bad debt provision recovered or reversed in the current period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

（5） Contract assets actually written off in the current period

In RMB

Item Amount written off

Including important Contract asset written-off:

In RMB

Whether the

Write-off payment is

Reason for write-

Name Nature of amount Write-off amount procedures for generated by a

off

fulfillment related party

transaction

Write-off explanation:

Other note：

7. Receivable financing

（1） Classification of receivables financing

In RMB

Item Ending balance Opening balance

（2）According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provision Book

y Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Inducing

Includin

g

Provision for bad debts is made according to the general model of expected credit losses

In RMB

Bad debt provision Phase I Phase II Phase III Total

75Semi-Annual Report 2025

Expected credit losses Expected credit losses

Expected credit losses for the entire duration for the entire duration

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

January 1 2025

balance in the current

period

The basis for the division of each stage and the proportion of bad debt provision

Explanation of the significant changes in the book balance of receivables financing with changes in loss

provisions in the current period:

（3） Bad debt provision accrual collected or reversal in the period

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

（4）Financing of accounts receivable pledged by the Company at the end of the period

In RMB

Item Pledged amount at the end of the period

（5）Financing of accounts receivable that have been endorsed or discounted by the Company at the end

of the period and have not yet matured on the balance sheet date

In RMB

The amount of derecognition at the end The amount not derecognized at the end

Item

of the period of the period

（6） Financing situation of accounts receivable actually written off in this period

In RMB

Item Write-off amount

The write off information of important accounts receivable financing thereinto

76Semi-Annual Report 2025

In RMB

Whether the

Write-off payment is

Reason for write-

Name Nature of amount Write-off amount procedures for generated by a

off

fulfillment related party

transaction

Write-off explanation:

(7) Changes in accounts receivable financing and fair value changes in the current period

（8）Other note

None

8. Other account receivable

In RMB

Item Ending balance Opening balance

Other account receivable 1049976.57 18883650.76

Total 1049976.57 18883650.76

(1) Interest receivable

1) Category

In RMB

Item Ending balance Opening balance

2) Important overdue interest

In RMB

Impairment (Y/N) and

Borrower Ending balance Overdue time Overdue reason

judgment basis

Other note:

3) Accrual of bad debt provision

□Applicable □Not applicable

4） Bad debt provision accrual collected or reversal in the period

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

Including important amount of bad debt provision collected or reversal in the period:

77Semi-Annual Report 2025

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

5)Interest receivable actually written off in the current period

In RMB

Item Write-off amount

Important Interest receivables write-offs thereinto

In RMB

Whether the

Write-off payment is

Name Nature of amount Write-off amount Write-off reason procedures for generated by a

fulfillment related party

transaction

Note：

Other note：

(2) Dividend receivable

1) Category

In RMB

Item (or the invested entity) Ending balance Opening balance

2) Important dividend receivable with over one year aged

In RMB

Item (or the invested Causes of failure for Impairment (Y/N) and

Ending balance Account age

entity) collection judgment basis

3) Accrual of bad debt provision

□Applicable □Not applicable

4） Bad debt provision accrual collected or reversal in the period

In RMB

Opening Current changes

Category Ending balance

balance Accrual Collected or Write off Other

78Semi-Annual Report 2025

reversal

Including important amount of bad debt provision collected or reversal in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

5) Dividends receivable actually written off in the current period

In RMB

Item Write-off amount

Important dividend receivables write-offs thereinto

In RMB

Whether the

Write-off payment is

Name Nature of amount Write-off amount Write-off reason procedures for generated by a

fulfillment related party

transaction

Note：

Other note：

(3) Other Account receivable

1) By nature

In RMB

Nature Ending book balance Opening book balance

Performance compensation 18154754.41

Deposit or margin 860931.86 719345.30

Personal loan of employees 198789.59 63952.14

Payment for equipment 311400.00 311400.00

Current account 245397.16 189200.47

Other 0.00 9157.90

Total 1616518.61 19447810.22

2）By account aging

In RMB

Aging Ending book balance Opening book balance

Within one year(one year included) 615306.31 18602799.92

1-2 years 457774.90 294831.92

2-3 years 166706.40 123447.38

Over 3 years 376731.00 426731.00

79Semi-Annual Report 2025

3-4 years 10200.00

4-5 years 5631.00 15831.00

Over 5 years 360900.00 410900.00

Total 1616518.61 19447810.22

3) Accrual of bad debt provision

□Applicable □Not applicable

In RMB

Amount in year-end Balance Year-beginning

Book Balance Bad debt provision Book Book Balance Bad debt provision Book

Category Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Including

Accrual of

bad debt 16165 566542. 104997 194478 564159. 188836

100.00%35.05%100.00%2.90%

provision by 18.61 04 6.57 10.22 46 50.76

portfolio

Including

Aging 161651 566542. 104997 129305 564159. 728896.

100.00%35.05%6.65%43.63%

portfolio 8.61 04 6.57 5.81 46 35

Related 181547 181547

Portfolio 93.35%54.41 54.41

Total 161651 566542. 104997 194478 564159. 188836100.00% 35.05% 100.00% 2.90%

8.61046.5710.224650.76

Bad debt provision accrual on portfolio: Aging portfolio

In RMB

Ending balance

Name of the Company

Book balance Bad debt provision Accrual ratio

Within one year(one year

615306.3134226.195.56%

included)

1-2 years 457774.90 87251.90 19.06%

2-3 years 166706.40 68332.95 40.99%

3－4 years 10200.00 10200.00 100.00%

4－5 years 5631.00 5631.00 100.00%

Over 5 years 360900.00 360900.00 100.00%

Total 1616518.61 566542.04

Provision for bad debts is made according to the general model of expected credit losses

In RMB

Phase I Phase II Phase III

Expected credit losses Expected credit losses

Bad debt provision Expected credit losses for the entire duration for the entire duration Total

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

Balance on January 1

564159.46564159.46

2025

January 1 2025

balance in the current

80Semi-Annual Report 2025

period

Reversal in Current

Year 2382.58 2382.58

Balance on June 30

566542.04566542.04

2025

The basis for the division of each stage and the proportion of bad debt provision

Explanation of the significant changes in the book balance of receivables financing with changes in loss

provisions in the current period:

□Applicable□Not applicable

4）Bad debt provision accrual collected or reversal in the period

Accrual of bad debt provision in the period:

In RMB

Current changes

Category Openingbalance Ending balanceAccrual Collected orreversal Write off Other

Provision for

bad debts

according to the 564159.46 2382.58 566542.04

combination of

credit risk

Total 564159.46 2382.58 566542.04

Important amount of bad debt provision switch-back or collection in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or

organization reversed Reason for reversal Recovery method

determining the

provision ratio of

original bad debt

provision

5） Other account receivables actually write-off during the reporting period

In RMB

Item Amount written off

Including major other account receivables write-off:

In RMB

Amount cause by

Enterprise Other Nature Amount writtenoff Causes Procedure

related

transactions or not

(Y/N)

Other Note on account receivable write-off:

6） Top 5 other account receivable collected by arrears party at ending balance

In RMB

81Semi-Annual Report 2025

Proportion in total

Enterprise Nature Ending balance Account age other account Ending balance ofreceivables at bad bet provision

period-end

Shenzhen Luwei

Mechatronic Payment for

300000.00 Over 5 years 18.56% 300000.00

Equipment Co. equipment

Ltd

Shenzhen Luohu

Government

Property Margin or deposit 285257.66 1-2 years 17.65% 39228.49

Management

Office

Li Niansheng Employee loan 120000.00 Within 1 year 7.42% 8208.00

Chow Tai Seng

Jewelry Co. Ltd. Margin or deposit 100000.00 1-2 years 6.19% 19060.00

Zhou Liu Fu E-

Margin or deposit 100000.00 1-2 years 6.19% 19060.00

commerce Co. Ltd

Total 905257.66 56.01% 385556.49

7) Reported in other receivables due to centralized management of funds

Other note：

9. Accounts paid in advance

(1) Accounts paid in advance by ageing

In RMB

Ending balance Opening balance

Account age

Amount Ratio Amount Ratio

Within one year 675634.48 100.00% 912207.69 97.90%

1-2 years 19554.91 2.10%

Total 675634.48 931762.60

Explanation on un-settlement in time for advance payment with over one year account age and major amounts:

(2) Top 5 advance payment at ending balance by prepayment object

Name Ending balance Ratio in total advance e payment(%)

Zhouliufu Jewelry Co. Ltd. 509272.00 75.38%

Shenzhen Thinking Jewelry Display Products Co. Ltd 109551.00 16.21%

Shenzhen Cuilu Gold Business 21838.28 3.23%

Shenzhen Craftsman Family Jewelry Co. Ltd. 17543.61 2.60%

Shenzhen Zhiring Lot Technology Co. Ltd. 7074.00 1.05%

Total 665278.69 98.47%

82Semi-Annual Report 2025

Other note：

10. Inventory

Whether companies need to comply with the disclosure requirements of the real estate industry

No

(1) Category

In RMB

Ending balance Opening balance

Provision for Provision for

inventory inventory

depreciation or depreciation or

Item contract contract

Book balance Book value Book balance Book value

performance performance

cost cost

impairment impairment

provision provision

Raw materials 198795922.29 322212.17 198473710.12 31921986.22 322212.17 31599774.05

Goods

inventory 41511272.43 511250.39 41000022.04 34467919.55 524712.50 33943207.05

Consigned

processing 4234862.62 75901.24 4158961.38 18882595.14 75901.24 18806693.90

materials

Total 244542057.34 909363.80 243632693.54 85272500.91 922825.91 84349675.00

（2）Data resources recognized as inventory

In RMB

Inventory of Inventory of self Inventory of data

Items outsourced data processed data resources obtained by Total

resources resources other means

(3)Provision for inventory depreciation or contract performance cost impairment provision

In RMB

Current increased Current decreased

Item Openingbalance Ending balanceAccrual Other Switch back orcharge-off Other

322212.17322212.17

Goods

inventory 524712.50 13462.11 511250.39

Consigned

processing 75901.24 75901.24

materials

Total 922825.91 13462.11 909363.80

Provision for inventory price decline that is made on a portfolio basis

83Semi-Annual Report 2025

In RMB

End of period Beginning of period

Portfolio Name

Ending balance Provision for

Proportion of Proportion of

price decline provision for

Opening Provision for

balance price decline provision forprice decline price decline

The standard for accruing the provision for inventory price decline by portfolio

(4) The explanation of the ending balance of the inventory contains the capitalized amount of borrowing

costs

(5) Explanation of the amortization amount of contract performance costs for the current period

11. Assets held for sale

In RMB

Item Ending book Impairment Ending book

Expected

Fair value disposal Expectedbalance provision value expenses disposal time

Other note:

12. Non-current asset due within one year

In RMB

Item Ending balance Opening balance

（1） Debt investment due within one year

□Applicable□Not applicable

（2）Other Debt investment due within one year

□Applicable□Not applicable

13. Other current assets

In RMB

Item Ending balance Opening balance

Input tax to be deducted 144057.34 880765.71

To be certified input tax 16357917.13 1248868.44

Advance payment of enterprise income

77.82266.18

tax

Tax amount to be received 0.00 804887.25

Total 16502052.29 2934787.58

Other note：

84Semi-Annual Report 2025

14. Debt investment

（1）Debt investment

In RMB

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

Changes in impairment provisions for debt investments in the current period

In RMB

Increase in the current Decrease in the current

Item Opening balance Ending balance

period period

（2） Important debt investment

In RMB

Debt Ending balance Opening balance

investment Face value Couponrate Actual rate Due date Face value

Coupon

rate Actual rate Due date

（3）Accrual of impairment provision

In RMB

Phase I Phase II Phase III

Expected credit losses Expected credit losses

Bad debt provision Expected credit losses for the entire duration for the entire duration Total

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

January 1 2025

balance in the current

period

The basis for the division of each stage and the proportion of bad debt provision

(4) Information of debt investment actually written off in the current period

In RMB

Item Write-off amount

Information of write-off of important debt investments thereinto.Debt Investment Write-off Explanation:

Change of book balance of loss provision with amount has major changes in the period

□Applicable □Not applicable

Other note：

15. Other debt investment

（1）Other debt investment

In RMB

85Semi-Annual Report 2025

Cumulative

loss

Change of Cumulative impairmentOpening Accrued fair value EndingItem interest in the Cost changes of

recognized

balance balance fair value in other

Note

period comprehen

sive

income

Changes in provision for impairment of other debt investments in the current period

In RMB

Increase in the current Decrease in the current

Item Opening balance Ending balance

period period

（2） Important debt investment

In RMB

Debt Ending balance Opening balance

investment Face value Couponrate Actual rate Due date Face value

Coupon

rate Actual rate Due date

（3）Accrual of impairment provision

In RMB

Phase I Phase II Phase III

Expected credit losses Expected credit losses

Bad debt provision Expected credit losses for the entire duration for the entire duration Total

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

January 1 2025

balance in the current

period

The basis for the division of each stage and the proportion of bad debt provision

（4）Other debt investments actually written off during the period

In RMB

Item Write-off amount

Other important debt investment write-offs thereinto:

Explanation for write-off of other debt investments:

Change of book balance of loss provision with amount has major changes in the period

□Applicable □Not applicable

Other note：

16. Investment in other equity instrument

In RMB

Gains Loss Accumulat Accumulat Dividend Reason for

Ending Opening

Item name recognized recognized ed gains ed losses income designated

balance balance in other in other recognized recognized recognized in fair

comprehen comprehen in other in other in the value

86Semi-Annual Report 2025

sive sive comprehen comprehen current measureme

income for income for sive sive period nt with

the current the current income at income at changes

period period the end of the end of recognized

the current the current in other

period period comprehen

sive

income

Derecognition incurred in the current period

In RMB

Accumulated gains Accumulated losses

Item name transferred to retained transferred to retained Reason for derecognition

earnings earnings

Itemized disclosure of investments by non-trading equity instruments for the current period

In RMB

Reason for

Amount of designated in Reason for

other fair value other

Recognized comprehensive measurement comprehensive

Item name dividend Accrued gains Accrued losses income with changes income

income transferred to recognized in transferred to

retained other retained

earnings comprehensive earnings

income

Other note：

17. Long-term account receivable

(1) Long-term account receivable

In RMB

Ending balance Opening balance

Discount rate

Item Bad debt Bad debt

Book balance Book value Book balance Book value interval

provision provision

（2）According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provision Book

y Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Inducing

Includin

g

Provision for bad debts is made according to the general model of expected credit losses

87Semi-Annual Report 2025

In RMB

Phase I Phase II Phase II

Expected credit losses Expected credit losses

Bad debt provision Expected credit losses for the entire duration for the entire duration Total

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

January 1 2025

balance in the current

period

The basis for the division of each stage and the proportion of bad debt provision

(3) Bad debt provision accrual collected or reversal in the period

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

The important amount of bad debt provisions reversed or recovered in the current period thereinto:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

(4)Long-term receivables actually written off in the current period

In RMB

Item Write-off amount

Important long-term accounts receivable write-off status thereinto:

In RMB

Whether the

Write-off payment is

Name of

Amount Nature Write-off amount Write-off reason procedures for generated by a

Organization

fulfillment related party

transaction

Explanation of write-off of long-term receivables:

18. Long-term equity investment

In RMB

Investe Beginn Impair Changes in the period (+ -) Ending Ending

88Semi-Annual Report 2025

d ing ment Other balanc balanc

enterpr balanc provisi compr Cash Accrua e(Boo e of

ise e on Additi ehensi divide l of k impair

begin- onal ve Other nd or value) ment

year invest incom equity profit

impair Other provisi

balanc ment e change annou

ment

nced to provisi

on

e adjust on

ment issued

I. Joint venture

II. Associated enterprise

Shenz

hen

Xinxu

an 83048 83048

Techn 1.86 1.86

ology

Co.Ltd.Subtot 83048 83048

al 1.86 1.86

8304883048

Total

1.861.86

The recoverable amount is determined on the basis of the net amount of fair value less disposal costs

□Applicable□Not applicable

The recoverable amount is determined by the present value of the projected future cash flows

□Applicable□Not applicable

The reason for the obvious discrepancy between the foregoing information and the information used in the

impairment test of previous years or the external information

The reason for the obvious discrepancy between the information used in the Company's impairment test in

previous years and the actual situation in the current year

Other note

19. Other non-current financial assets

In RMB

Item Ending balance Opening balance

Other note：

20. Investment real estate

(1) Investment real estate measured at cost

□Applicable □Not applicable

(2) Investment real estate measured at fair value

□Applicable □Not applicable

89Semi-Annual Report 2025

(3) Converted to investment real estate and measured at fair value

In RMB

Accounting Impact on other

Reason for Approval Impact on

Item accounts before Amount comprehensive

conversion procedures profit and loss

conversion income

（4）Investment real estate without property rights certificate

In RMB

Reasons for failing to complete the

Item Book value

property rights certificate

Other note:

21.Fixed assets

In RMB

Item Ending balance Opening balance

Fixed assets 2772051.24 2931163.10

Total 2772051.24 2931163.10

(1) Fixed assets

In RMB

Electronic

Houses and Machinery Means of

Item equipment and Total

buildings equipment transportation

others

I. Original book

value:

1.Opening balance 2959824.00 1512328.33 1513248.07 344991.83 6330392.23

2.Current

10358.0010358.00

increased

(1)Purchase 10358.00 10358.00

(2)Construction in

progress transfer-

in

(3)The increase in

business

combination

3.Current

decreased

(1) Disposal or

scrap

4.Ending balance 2959824.00 1512328.33 1513248.07 355349.83 6340750.23

II. Accumulated

depreciation

90Semi-Annual Report 2025

1.Opening balance 1132132.68 497759.02 862386.24 177345.44 2669623.38

2.Current

66596.0431363.8449571.6721938.31169469.86

increased

(1)Accrual 66596.04 31363.84 49571.67 21938.31 169469.86

3.Current

decreased

(1) Disposal or

scrap

4.Ending balance 1198728.72 529122.86 911957.91 199283.75 2839093.24

III. Impairment

provision

1.Opening balance 729605.75 729605.75

2.Current

increased

(1)Accrual

3.Current

decreased

(1) Disposal or

scrap

4.Ending balance 729605.75 729605.75

IV. Book value

1.Ending book

1761095.28253599.72601290.16156066.082772051.24

value

2.Opening book

1827691.32284963.56650861.83167646.392931163.10

value

(2) Fixed assets temporary idle

In RMB

Original book Accumulated Impairment

Item Book value Note

value depreciation provision

The lithium battery

equipment stored

Machinery

1044247.81 314642.06 729605.75 in the Guangshui

equipment

Jiaxu factory is in

an idle state

（(3) Fixed assets leasing-out by operational leaseIn RMB

Item Ending book value

(4) Fixed assets without property rights certificate

In RMB

91Semi-Annual Report 2025

Reasons for failing to complete the

Item Book value

property rights certificate

The six properties of Lianxin Garden 7-

20F with original value of 2959824.00

Yuan. The property purchasing refers to

the indemnificatory housing for

enterprise talent buying from Shenzhen

Housing and Construction Bureau of

Six properties in Lianxin Garden 1761095.28 Luohu District. According to the

agreement the enterprise shall not

carrying any kind of property trading

with any units or individuals except the

government and the company has no

property certification on the above

mentioned properties.Other note：

(5) Information of impairment test of fixed assets

□Applicable□Not applicable

（6） liquidation of fixed assets

In RMB

Item Ending balance Opening balance

Other note：

22. Construction in progress

In RMB

Item Ending balance Opening balance

(1)Construction in progress

In RMB

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

(1) Changes in significant construction in progress

In RMB

includi

Fixed Propor

Accum

ulated ng: InteresOther

Openi Curren assets tion of amoun interes tdecrea Ending

ng t transfe project t capital

Item Budget sed in balanc invest Progre t ofss interes capital ization

Sourceof

balanc increas r-in in

the e ment t ized rate of

funds

e ed the

Period in

Period budget capital

amoun the

ization t of the yearyear

92Semi-Annual Report 2025

(3) Provision for impairment of construction in progress in the current period

In RMB

Item Opening balance Increase Decrease Ending balance Reason

Other note：

(4) Information of impairment test of construction in progress

□Applicable□Not applicable

(5) Engineering materials

In RMB

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

Other note:

23. Productive biological asset

(1) Productive biological assets measured by cost

□Applicable □Not applicable

(2) Impairment test of productive biological assets using cost measurement mode

□Applicable □Not applicable

(2) Productive biological assets measured by fair value

□Applicable□Not applicable

24. Oil and gas asset

□Applicable□Not applicable

25. Right-of-use assets

（1） Right-of-use assets

In RMB

Item Houses and buildings Total

I. Original book value

1.Opening balance 6220679.84 6220679.84

2.Current increased

93Semi-Annual Report 2025

3.Current decreased

4.Ending balance 6220679.84 6220679.84

II. Accumulated depreciation

1.Opening balance 2384593.94 2384593.94

2.Current increased 622068.00 622068.00

(1)Accrual 622068.00 622068.00

3.Current decreased

(1) Disposal

4.Ending balance 3006661.94 3006661.94

III. Impairment provision

1.Opening balance

2.Current increased

(1)Accrual

3.Current decreased

(1) Disposal

4.Ending balance

IV. Book value

1.Ending book value 3214017.90 3214017.90

2.Opening book value 3836085.90 3836085.90

(2) Information of impairment test of right-of-use assets

□Applicable□Not applicable

Other note：

26. Intangible assets

(1) Intangible assets

In RMB

Non-patent

Item Land use right Patent Total

technology

I. Original book

value

1.Opening balance

2.Current

increased

(1)Purchase

(2) Internal R & D

(3)The increase in

business

94Semi-Annual Report 2025

combination

3.Current

decreased

(1) Disposal

4.Ending balance

II. Accumulated

depreciation

1.Opening balance

2.Current

increased

(1)Accrual

3.Current

decreased

(1) Disposal

4.Ending balance

III. Impairment

provision

1.Opening balance

2.Current

increased

(1)Accrual

3.Current

decreased

(1) Disposal

4.Ending balance

IV. Book value

1.Ending book

value

2.Opening book

value

Ratio of intangible assets resulted from internal R&D in balance of intangible assets at period-end

(2)Data resources recognized as intangible assets

□Applicable□Not applicable

(3) Land use right without certificate of title completed

In RMB

Reasons for failing to complete the

Item Book value

property rights certificate

95Semi-Annual Report 2025

Other note：

（4） Impairment test situation of intangible assets

□ Applicable √Not applicable

27. Goodwill

(1) Original book value of goodwill

In RMB

Current increased Current decreased

The invested Opening Resulted by

entity or items balance Ending balanceenterprise Dispose

combination

Total

(2) Goodwill Impairment provision

In RMB

The invested Opening Current increased Current decreased

entity or items balance Ending balanceAccrual Dispose

Total

(3)Information about the asset group or asset group portfolio to which the goodwill belongs

The composition and basis of

Name the asset group or portfolio to Affiliated business segments Whether it is consistent with

which it belongs and basis previous years

Changes in the asset group or portfolio of asset groups

Name Composition before thechange Composition after the change

Objective facts and basis for

change

Other note

(4) The specific method of determining the recoverable amount

The recoverable amount is determined on the basis of the net amount by fair value less disposal costs

□Applicable□Not applicable

The recoverable amount is determined by the present value of the projected future cash flows

□Applicable□Not applicable

The reason for the obvious discrepancy between the foregoing information and the information used in the

impairment test of previous years or the external information

The reason for the obvious discrepancy between the information used in the Company's impairment test in

96Semi-Annual Report 2025

previous years and the actual situation in the current year

(5) Status of completion of performance commitment and corresponding goodwill impairment

When goodwill is formed there is a performance commitment and the reporting period or the previous period in

the reporting period is within the performance commitment period

□Applicable□Not applicable

Other note：

28. Long-term expenses to be apportioned

In RMB

Item Opening balance Current increased Amortized in thePeriod Other decrease Ending balance

Other note：

29. Deferred income tax asset /Deferred income tax liabilities

(1) Deferred income tax assets without offset

In RMB

Ending balance Opening balance

Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax

difference asset difference asset

Asset impairment

provision 20528943.34 5132235.83 19919366.32 4979841.59

Lease Liabilities 4237678.17 1059419.54 4602702.62 1150675.65

Total 24766621.51 6191655.37 24522068.94 6130517.24

(2) Deferred income tax liabilities without offset

In RMB

Ending balance Opening balance

Item Taxable temporary Deferred income tax Taxable temporary Deferred income tax

differences liabilities differences liabilities

Right to use assets 3214017.90 803504.48 3836085.90 959021.47

Total 3214017.90 803504.48 3836085.90 959021.47

(3) Deferred income tax assets and deferred income tax liabilities listed after off-set

In RMB

Trade-off between the Ending balance of Trade-off between the Opening balance of

Item deferred income tax deferred income tax deferred income tax deferred income tax

assets and liabilities assets or liabilities after assets and liabilities at assets or liabilities afteroff-set period-begin off-set

Deferred income tax 803504.48 5388150.89 959021.47 5171495.77

97Semi-Annual Report 2025

asset

Deferred income tax

liabilities 803504.48 959021.47

(4) Details of deferred income tax assets without recognized

In RMB

Item Ending balance Opening balance

Deductable temporary difference 8392712.20 8392712.20

Deductable loss 2871162.92 2871162.92

Total 11263875.12 11263875.12

(5) Deductible losses of un-recognized deferred income tax assets expired on the followed year

In RMB

Year Ending amount Opening amount Note

2025 501170.19 501170.19 Deductable loss in 2020

2026 303426.68 303426.68 Deductable loss in 2021

2027 391287.51 391287.51 Deductable loss in 2022

2028 5645.86 5645.86 Deductable loss in 2023

2029 1669632.68 1669632.68 Deductable loss in 2024

Total 2871162.92 2871162.92

Other note

30. Other non-current assets

In RMB

Ending balance Opening balance

Item

Book balance Impairmentprovision Book value Book balance

Impairment

provision Book value

Other note

31. Assets with restricted ownership or right to use

In RMB

End of period Beginning of period

Item Restricted RestrictedBook Restricted Book Restricted

Book value circumstan Book value circumstan

balance type balance type

ce ce

Monetary Litigation

funds 174866.02 174866.02 Other frozenfunds

For the For the

talent talent

housing housing

purchased purchased

at a low at a low

Fixed 2959824.0 1761095.2 Other price 2959824.0 1827691.3 priceassets 0 8 Shenzhen

Other

0 2 Shenzhen

China China

cannot cannot

apply for a apply for a

certificate certificate

and the and the

98Semi-Annual Report 2025

disposal disposal

can only be can only be

repurchase repurchase

d by the d by the

governmen governmen

t t

Total 2959824.0 1761095.2 3134690.0 2002557.3

0824

Other note：

32. Short-term loans

(1) Category

In RMB

Item Ending balance Opening balance

Credit loans 24250000.00 9900000.00

Total 24250000.00 9900000.00

Explanation on short-term loans category:

Note 1：Shenzhen China Bicycle Company (Holdings) Limited entered into a working capital loan agreement

with the Bank of Communications Shenzhen Branch on November 2024 The term of the loan is one year As

of June 302025 and an loan balance of RMB 9300000.00 as of June 30 2025. This loan is a credit loan

which is used for daily business turnover.Note 2：Shenzhen China Bicycle Company (Holdings) Limited entered into a working capital loan agreement

with the China Citic Bank of Shenzhen Branch on June 2025 The term of the loan is one year As of June

302025 and an loan balance of RMB 10000000.00 as of June 30 2025. This loan is a credit loan which is

used for daily business turnover.Note 1：Shenzhen China Bicycle Company (Holdings) Limited entered into a working capital loan agreement

with the Bank of Communications Shenzhen Branch on May 2025 The term of the loan is one year As of

June 302025 and an loan balance of RMB 4950000.00 as of June 30 2025. This loan is a credit loan which

is used for daily business turnover.

(2) Overdue outstanding short-term loans

Total 0.00 Yuan overdue outstanding short-term loans at period-end including the followed significant amount:

In RMB/

Borrower Ending balance Lending rate Overdue time Overdue rate

Other note:

99Semi-Annual Report 2025

33. Trading financial liability

None

34. Derivative financial liability

None

35. Note payable

None

36. Account payable

(1) Account payable

In RMB

Item Ending balance Opening balance

Within one year(one year included) 12222529.31 4990535.61

1-2 years (2 years included) 2122412.74

2-3 years (3 years included) 78745.65

Over 3 years 335432.00 445005.51

Total 12557961.31 7636699.51

(2) Important account payable with account age over one year

In RMB

Reasons for non-reimbursement or carry-

Item Ending balance

forward

Other note:

37.Other account payable

In RMB

Item Ending balance Opening balance

Other account payable 42624165.17 33704488.43

Total 42624165.17 33704488.43

(1) Interest payable

In RMB

Item Ending balance Opening balance

Important overdue interest

In RMB

Unit Overdue amount Overdue reason

100Semi-Annual Report 2025

Other note:

(2) Dividend Payable

In RMB

Item Ending balance Opening balance

Other explanation:including dividends payable with over one year age and disclosure un-payment reasons

（3）Other account payable

1) By nature

In RMB

Item Ending balance Opening balance

Custodian and common benefit debts 32284157.81 22468139.52

Warranty and guarantee money 1499940.00 1499940.00

Intercourse funds 7404045.30 8590285.30

Payment 1402339.38 1021330.17

Collection and payment 33682.68 91745.33

Other 0.00 33048.11

Total 42624165.17 33704488.43

2) Significant other payable with over one year age

In RMB

Reasons for non-reimbursement or carry-

Item Ending balance

forward

Custodian and common benefit debts 32284157.81 Annual settlement offset

Shenzhen Guocheng Energy Investment

6500000.00 Intercourse funds

Development Co. Ltd.Total 38784157.81

Other note:

38. Accounts received in advance

(1) Accounts received in advance

In RMB

Item Ending balance Opening balance

(2) Account received in advance with over one year book age

In RMB

Item Ending balance Reasons for non-reimbursement or carry-forward

Other note:

101Semi-Annual Report 2025

39. Contractual liability

In RMB

Item Ending balance Opening balance

Receipt of goods in advance 31118466.86 4868279.05

Total 31118466.86 4868279.05

Contractual liability in advance with over one year book age

In RMB

Reasons for non-reimbursement or carry-

Item Ending balance

forward

Book value has major changes in the period and causes

In RMB

Item Amount changes Reason for change

Shenzhen Zhou Liu Fu

31072389.38 Advances on sales

Investment Co. Ltd.Total 31072389.38

40. Wage payable

(1) Wage payable

In RMB

Item Opening balance Current increased Current decreased Ending balance

I. Short-term

compensation 807688.20 6040624.44 4937861.36 1910451.28

II. Post-employment

benefit-Defined 478593.11 478593.11

contribution plan

Total 807688.20 6519217.55 5416454.47 1910451.28

(2) Short-term compensation

In RMB

Item Opening balance Current increased Current decreased Ending balance

1. Wages bonus

802443.325594968.574492243.191905168.70

allowances and subsidy

2. Employee benefits 55300.00 55300.00

3. Social insurance 159259.93 159259.93

Including: Medical

127721.28127721.28

insurance

Work injury insurance 15121.84 15121.84

Maternity insurance 16416.81 16416.81

4. Housing accumulation

199681.96199681.96

fund

5. Labor union 5244.88 31413.98 31376.28 5282.58

102Semi-Annual Report 2025

expenditure and personnel

education expense

Total 807688.20 6040624.44 4937861.36 1910451.28

(3) Defined contribution plan

In RMB

Item Opening balance Current increased Current decreased Ending balance

1. Basic endowment

insurance 459262.89 459262.89

2. Unemployment

insurance 19330.22 19330.22

Total 478593.11 478593.11

Other note:

41. Taxes payable

In RMB

Item Ending balance Opening balance

VAT 42061.34 378825.58

Consumption tax 3668.17 3668.14

Enterprise income tax 3754527.91 3699904.41

Individual income tax 30416.54 42632.55

City maintenance & construction tax 2724.36 26310.43

Stamp tax 53121.76 104419.30

Real estate tax 181830.16

Land use tax 10895.45

Educational surtax 1908.61 18755.75

Vehicle purchase tax 23150.44

Total 3888428.69 4490392.21

Other note：

42. Liability held for sale

In RMB

Item Ending balance Opening balance

Other note:

43. Non-current liabilities due within one year

In RMB

Item Ending balance Opening balance

Lease liabilities due within one year 1438146.75 1389819.85

Total 1438146.75 1389819.85

Other note:

103Semi-Annual Report 2025

44. Other current liabilities

In RMB

Item Ending balance Opening balance

VAT received in advance 4039410.62 302687.60

Total 4039410.62 302687.60

Changes of short-term bond payable:

In RMB

Accru

Openi Premi Endin Whet

Face Intere Relea

Issuin al

se Bond g ng

Issued intere um/di Paid g herBond value st rate date period amou

in the scount in the

balanc st by

nt Period face amorti Period

balanc defaul

e

value zation

e t

Total

Other note:

45. Long-term loans

(1)Category

In RMB

Item Ending balance Opening balance

Explanation on category of long-term loans:

Other note: including interest rate section

46. Bonds payable

(1) Bonds payable

In RMB

Item Ending balance Opening balance

(2) Changes of bonds payable (not including the other financial instrument of preferred stock and

perpetual capital securities that classify as financial liability)

In RMB

Accru

Issuin Openi Premi Endin Whet

Face Intere Relea Bond g ng Issued

al

intere um/di PaidBond value se period amou in the st by scount in the

g her

st rate date balancnt Period face amorti Period

balanc defaul

e zation e tvalue

Total —— ——

104Semi-Annual Report 2025

(3) Convertible conditions and time for shares transfer for the convertible bonds

(4) Other financial instruments classify as financial liability

Outstanding other financial instruments as preferred stock and perpetual bonds at period-end

Changes of the outstanding financial instruments as preferred stock and perpetual bonds at period-end

In RMB

Outstandin Period-begin Current increased Current decreased Period-end

g financial

instrument Amount Book value Amount Book value Amount Book value Amount Book value

Basis for financial liability classification for other financial instrument

Other note:

47. Lease liability

In RMB

Item Ending balance Opening balance

Lease payment amount 4430775.76 4873543.86

Including：Within 1 year 1555745.48 1532795.61

1-2 years 1602403.90 1578816.05

2-3 years 1272626.38 1626095.22

Over 3 years 135836.98

Unrecognized financing charges -193097.59 -270841.24

Including：Within 1 year -117598.73 -142975.15

1-2 years -64190.48 -91343.44

2-3 years -11308.38 -36115.75

Over 3 years -406.90

Reclassified to lease liabilities due within

-1438146.75-1389819.85

one year

Total 2799531.44 3212882.77

Other note:

48. Long-term account payable

In RMB

Item Ending balance Opening balance

(1) Nature of long-term account payable

In RMB

Item Ending balance Opening balance

Other note:

(2) Special payable

105Semi-Annual Report 2025

In RMB

Item Opening balance Current increased Current decreased Ending balance Causes

Other note:

49. Long-term wages payable

(1) Long-term wages payable

In RMB

Item Ending balance Opening balance

(2) Changes of defined benefit plans

Present value of the defined benefit plans:

In RMB

Item Current period incurred Prior period incurred

Scheme assets:

In RMB

Item Current period incurred Prior period incurred

Net liability (assets) of the defined benefit plans

In RMB

Item Current period incurred Prior period incurred

Content of defined benefit plans and relevant risks impact on future cash flow of the Company as well as times

and uncertainty:

Major actuarial assumption and sensitivity analysis:

Other note:

50. Accrual liability

In RMB

Item Ending balance Opening balance Causes

Other explanation including relevant important assumptions and estimation:

51. Deferred income

In RMB

Item Opening balance Current increased Current decreased Ending balance Causes

Other note:

52. Other non-current liabilities

In RMB

Item Ending balance Opening balance

Other note:

106Semi-Annual Report 2025

53. Share capital

In RMB

Changes in the period (+ -)

Opening Shares Ending

balance New shares

issued Bonus share

transferred balance

from capital Other Subtotal

reserve

689184933.689184933.

Total shares

0000

Other note:

54. Other equity instrument

(1) Outstanding other financial instruments as preferred stock and perpetual bonds at period-end

(2) Changes of the outstanding other financial instruments as preferred stock and perpetual bonds at

period-end

In RMB

Outstandin Period-begin Current increased Current decreased Period-end

g financial

instrument Amount Book value Amount Book value Amount Book value Amount Book value

Changes of other equity instrument change reasons and relevant accounting treatment basis:

Other note:

55. Capital public reserve

In RMB

Item Opening balance Current increased Current decreased Ending balance

Capital premium(Share

169874906.92169874906.92

capital premium)

Other capital public

627834297.85627834297.85

reserve

Including: Debt

482580588.23482580588.23

restructuring income

Other 145253709.62 145253709.62

Total 797709204.77 797709204.77

Other note: Including changes and reasons for changes

56. Inventory shares

In RMB

Item Opening balance Current increased Current decreased Ending balance

Other note: including changes and reasons for changes

107Semi-Annual Report 2025

57. Other comprehensive income

In RMB

Current period incurred

Less: Less:

written in written in

other other

comprehen comprehen

sive sive

Opening Account income in income inItem before previous previous Less:

Belong to Belong to Ending

balance

income tax period and period and Income tax

parent minority balance

expense company after shareholdersin the period carried carried tax after tax

forward to forward to

gains and retained

losses in earnings in

current current

period period

II.Reclassify

other

comprehensi - - -

ve income 434799.12 434799.12 434799.12

into profit or

loss

Conversion

difference

arising

from - - -

foreign 434799.12 434799.12 434799.12

currency

financial

statement

Total of

other

---

comprehen

434799.12434799.12434799.12

sive

income

Other note: including the active part of the hedging gains/losses of cash flow transfer to initial recognition

adjustment for the arbitraged items

58. Reasonable reserve

In RMB

Item Opening balance Current increased Current decreased Ending balance

Other note: including changes and reasons for changes

59. Surplus public reserve

In RMB

Item Opening balance Current increased Current decreased Ending balance

Statutory surplus

reserves 32673227.01 32673227.01

Total 32673227.01 32673227.01

108Semi-Annual Report 2025

Explanation: including changes and reasons for changes

60. Retained profit

In RMB

Item Current period Prior period

Retained profit at period-end before

adjustment -1175806118.62 -1192651364.21

Retained profit at period-begin after

adjustment -1175806118.62 -1192651364.21

Add: net profit attributable to

shareholders of parent company for this 18570777.64 5717642.69

year

Retained profit at period-end -1157235340.98 -1186933721.52

Adjustment for retained profit at period-begin:

1) Retroactive adjustment due to the Accounting Standards for Business Enterprise and relevant new regulations

retained profit at period-begin has 0.00 Yuan affected;

2) Due to the accounting policy changes retained profit at period-begin has 0.00 Yuan affected;

3) Due to the major accounting errors correction retained profit at period-begin has 0.00 Yuan affected;

4) Consolidation range changed due to the same control retained profit at period-begin has 0.00 Yuan affected;

5) Total other adjustment impacts 0.00 Yuan retained profit at period-begin

61. Operation revenue and operation cost

In RMB

Current period incurred Prior period incurred

Item

Revenue Cost Revenue Cost

Main business 313790466.16 284503069.22 211965555.07 199846203.64

Other business 6153150.47 586064.32 1534042.18 1148825.88

Total 319943616.63 285089133.54 213499597.25 200995029.52

Breakdown of operating income and operating costs:

In RMB

1# Division 2# Division Total

Contract type

Revenue Cost Revenue Cost Revenue Cost

Business type 319943616.63 285089133.54 319943616.63 285089133.54

Including：

Jewelry and

gold 318979752.50 284449986.76 318979752.50 284449986.76

Bicycles

electric

vehicles

lithium battery 963864.13 639146.78 963864.13 639146.78

materials and

others

Classification

by business

area

Including:

Market or

customer type

109Semi-Annual Report 2025

Including:

Contract type

Including:

Classification

by time of

goods transfer

Including:

Classification

by contract

duration

Including:

Classification

by sales

channel

Including:

Total 319943616.63 285089133.54 319943616.63 285089133.54

Information related to performance obligations:

The types of

The time to The nature of Whether it is The expected quality

fulfill the Important the goods that the main refunds to assuranceItem performance payment terms the company responsible customers provided by the

obligation promises to person borne by the company andtransfer company related

obligations

Other note:

Information relating to the transaction price assigned to the remaining performance obligation:

The amount of revenue corresponding to performance obligation that have been signed but have not been

fulfilled or have not been fulfilled at the end of the period was 0.00 Yuan including 0.00 Yuan is expected to be

recognized as revenue in subsequent years 0.00 Yuan is expected to be recognized as revenue in subsequent

years 0.00 Yuan is expected to be recognized as revenue in subsequent years. Other explanation:

Significant contract changes or significant transaction price adjustments

In RMB

Item Accounting treatment method The impacted amount on revenue

Other note:

62. Tax and surcharge

In RMB

Item Current period incurred Prior period incurred

City maintenance & construction tax 15369.40 30933.56

Educational surcharge 10846.59 22089.18

Stamp tax 223607.73 98479.61

110Semi-Annual Report 2025

Total 249823.72 151502.35

Other note:

63. Administrative expenses

In RMB

Item Current period incurred Prior period incurred

Employee remuneration 3630016.53 2813909.20

Daily administrative expenses 2528189.95 1114549.51

Total 6158206.48 3928458.71

Other note:

64. Sales expenses

In RMB

Item Current period incurred Prior period incurred

Employee remuneration 2328835.37 1041048.34

Marketing promotion fees 896564.49 22377.70

Online marketing fee 310598.24 64489.30

Other 419044.96 650478.14

Total 3955043.06 1778393.48

Other note:

65. R&D expenses

In RMB

Item Current period incurred Prior period incurred

Employee compensation and benefits 416542.20 419172.22

Other 67816.57 35041.40

Total 484358.77 454213.62

Other note:

66. Finance expenses

In RMB

Item Current period incurred Prior period incurred

Interest expenses 253787.54 25397.71

Including：Financing expenses

recognized by lease liabilities 77743.67 25397.71

Interest income -5679.08 -61836.44

Commission charge etc. 9954.15 35279.23

Total 258062.61 -1159.50

Other note:

67. Other income

111Semi-Annual Report 2025

In RMB

Sources Current period incurred Prior period incurred

68. Net exposure hedge gains

In RMB

Item Current period incurred Prior period incurred

Other note:

69. Income from change of fair value

In RMB

Sources Current period incurred Prior period incurred

Other note:

70. Investment income

In RMB

Item Current period incurred Prior period incurred

Other note:

71. Loss of credit impairment

In RMB

Item Current period incurred Prior period incurred

Bad debt loss of other account receivable -603703.04 442497.22

Bad debt losses of other accounts

receivable -2382.58 -187577.79

Total -606085.62 254919.43

Other note:

72. Impairment loss on assets

In RMB

Item Current period incurred Prior period incurred

I. Loss of inventory falling price and loss

of contract performance cost impairment 8123.50

Total 8123.50

Other note:

73. Income from assets disposal

In RMB

Sources Current period incurred Prior period incurred

112Semi-Annual Report 2025

74. Non-operating income

In RMB

Item Current period incurred Prior period incurred Amount reckoned in currentnon-recurring gains/losses

Other 840630.92 1240262.87

Total 840630.92 1240262.87

Other note:

75. Non-operating expense

In RMB

Item Current period incurred Prior period incurred Amount reckoned in currentnon-recurring gains/losses

Other 1763.71 60128.00

Total 1763.71 60128.00

Other note

76. Income tax expense

(1) Income tax expense

In RMB

Item Current period incurred Prior period incurred

Current income tax expense 5273188.95 1942341.89

Deferred income tax expense -216655.12 185966.10

Total 5056533.83 2128307.99

(2) Adjustment on accounting profit and income tax expenses

In RMB

Item Current period incurred

Total profit 23981733.52

Income tax measured by statutory/applicable tax rate 5995433.38

The impact of applying different tax rates to subsidiaries -516444.50

The impact of deductible temporary differences or deductible

losses on deferred income tax assets not recognized in the -375803.82

Period

Additional deductible expenses under the tax code -46651.23

Income tax expense 5056533.83

Other note:

77. Other comprehensive income

Refer to the Note

113Semi-Annual Report 2025

78.Items of Cash flow statement

（1）Cash related to operating activities

Other cash received from business operation

In RMB

Item Current period incurred Prior period incurred

Interest rent utilities etc. 1019585.40 1083672.56

Deposits and guarantees received 41542.00

Government subsidy and individual tax

handling fee refund

Other 19980289.27 11847669.53

Total 21041416.67 12931342.09

Explanation on other cash received in relation to operation activities:

Other cash paid in relation to operation activities

In RMB

Item Current period incurred Prior period incurred

Payment period expenses operating

expenses and mutual debt etc 11020232.91 3643342.79

Judicial freeze 566435.02

Total 11020232.91 4209777.81

Explanation on other cash paid in relation to operation activities:

（2）Cash related to Investment activities

Cash receivable related to other Investment activities

In RMB

Item Current period incurred Prior period incurred

Receivable for important cash related to investment activities

In RMB

Item Current period incurred Prior period incurred

Explanation on other cash received from investment activities:

Cash paid related with investment activities

In RMB

Item Current period incurred Prior period incurred

Payable for important cash related to investment activities

In RMB

Item Current period incurred Prior period incurred

Explanation on cash paid related with investment activities

114Semi-Annual Report 2025

(3)Cash related to Financing activities

Other cash received in relation to financing activities

In RMB

Item Current period incurred Prior period incurred

Received the performance commitment

payment from the controlling

shareholder Received the private 18154754.41 12098051.76

placement deposit

Total 18154754.41 12098051.76

Explanation on other cash received in relation to financing activities:

Other cash paid related with financing activities

In RMB

Item Current period incurred Prior period incurred

Acquisition of minority shareholders of

15025000.00

its subsidiary

Total 15025000.00

Explanation on other cash paid related with financing activities:

Changes in various liabilities arising from fund-raising activities

□Applicable□Not applicable

(4) Statement of cash flows on a net basis

Relevant factual The basis for the use of net

Item Financial impact

circumstances presentation

(5) Major activities and financial impacts that do not involve cash receipts and expenditures in the

current period but affect the financial position of the enterprise or may affect the cash flow of the

enterprise in the future

79. Supplementary information to statement of cash flow

(1) Supplementary information to statement of cash flow

In RMB

Supplementary information Current amount Amount of the previous period

1．Net profit adjusted to cash flow of

operation activities:

Net profit 18925199.69 5508028.88

Add: Assets impairment provision 606085.62 263042.93

Depreciation of fixed assets

consumption of oil assets and 169469.86 97927.25

depreciation of productive biology assets

Depreciation of right-of-use assets 622068.00 427357.61

Amortization of intangible assets

115Semi-Annual Report 2025

Amortization of long-term deferred

expenses

Loss from disposal of fixed assets

intangible assets and other long-term

assets (gain is listed with “-”)

Losses on scrapping of fixed assets (gain

is listed with “-”)

Gain/loss of fair value changes (gain is

listed with “-”)Financial expenses (gain is listed with “-”)258062.6125397.71

Investment loss (gain is listed with “-”)

Decrease of deferred income tax asset

(increase is listed with “-”) -216655.12 160620.72

Increase of deferred income tax liability

(decrease is listed with “-”)

Decrease of inventory (increase is listed

with “-”) -159283018.54 -6197581.61

Decrease of operating receivable

accounts (increase is listed with “-”) 56358857.09 -32438650.26

Increase of operating payable accounts

(decrease is listed with “-”) 44328648.93 -18140601.52

Other -272140.63 -1034350.53

Net cash flow arising from operating

-38503422.49-51328808.82

activities

2. Material investment and financing not

involved in cash flow

Conversion of debt into capital

Switching Company bonds due within

one year

Financing lease of fixed assets

3. Net change of cash and cash

equivalents:

Balance of cash at period end 59154588.98 24599123.35

Less: Balance of cash equivalent at

year-begin 80799494.57 54148674.40

Add: Balance at year-end of cash

equivalents

Less: Balance at year-begin of cash

equivalents

Net increased amount of cash and cash

-21644905.59-29549551.05

equivalent

(2) Net cash paid for obtaining subsidiary in the Period

In RMB

Amount

Including:

Including:

Including:

Other note:

（3）Net cash received by disposing subsidiary in the Period

In RMB

Amount

116Semi-Annual Report 2025

Including:

Including:

Including:

Other note:

(4) Constitution of cash and cash equivalent

In RMB

Item Ending balance Opening balance

I. Cash 59154588.98 80799494.57

Including: Cash on hand 24644.40 48364.40

Bank deposit available for payment at

59128554.9780750939.08

any time

Other monetary funds that may be paid

for at any time 1389.61 191.09

III. Balance of cash and cash equivalents

at the period -end 59154588.98 80799494.57

(5) Situations where the scope of use is limited but still classified as cash and cash equivalents

In RMB

Amount of the previous Reason for still beingItem Amount of the current period period classified as cash and cashequivalents

( 6) Monetary funds that do not belong to cash and cash equivalents

In RMB

Amount of the Amount of the previous

Item Reason for not belonging to cash and cash equivalents

current period period

Other monetary funds 0.00 566435.02 Litigation frozen funds

Total 0.00 566435.02

Other note:

(7) Description of other major activities

80. Notes of changes of owners’ equity

Explain the name and adjusted amount in “Other” at end of last period:

81. Foreign currency monetary items

（1）Foreign currency monetary items

In RMB

Item Ending foreign currencybalance Convert rate

Ending RMB balance

converted

Monetary fund

117Semi-Annual Report 2025

Including: USD 5482.43 7.10436 38949.18

EURO

HKD

Account receivable

Including: USD

EURO

HKD

Long-term loans

Including: USD

EURO

HKD

Other note:

(2) Explanation on foreign operational entity including as for the major foreign operational entity

disclosed main operation place book-keeping currency and basis for selection; if the book-keeping

currency changed explain reasons

□Applicable □Not applicable

82. Leasing

(1) The Company acts as the lessee

□Applicable □Not applicable

(2) The Company acts as the lessor

Operating lease as a lessor

□Applicable □Not applicable

In RMB

Thereinto: income related to variable

Item Rental income lease payments that are not included in

lease receipts

lease of houses 24153.81

Total 24153.81

Financial lease as a lessor

□Applicable□Not applicable

Annual undiscounted lease receipts for the next five years

□Applicable□Not applicable

Adjustment table for undiscounted lease receipts and net lease investments

(3) Recognition of financial lease sales gains and losses as a producer or distributor

□Applicable□Not applicable

118Semi-Annual Report 2025

83. Data resources

84.Other

VIII. R&D expenditure

In RMB

Item Amount incurred in the current period Amount incurred in the previous period

Employee remuneration and benefits 416542.20 419172.22

Other 67816.57 35041.40

Total 484358.77 454213.62

Thereinto: expensed R&D expenditure 484358.77 454213.62

1. R&D projects that meet the conditions for capitalization

In RMB

Amount increased in the current period Amount decreased in the current period

Internal Transferred

Opening Recognized

Project developme to profit or

Ending

balance asnt Others loss for the balance

intangible

expenditure current

assets

s period

Total

Significant capitalized R&D projects

Expected way of The point at which The specific basis

Estimated

Project R&D progress generating capitalization for starting

completion time

economic benefits begins capitalization

Provision for impairment of development expenditure

In RMB

Increase in the Decrease in the Impairment test

Item Opening balance Ending balance

current period current period situation

2.Important outsourcing projects under research

Expected way of generating economic Criteria and specific basis for

Name of project

benefits determining capitalization or expensing

Other note:

IX. Changes of consolidation scope

1. Enterprise combined under different control

(1) Enterprise combined under different control in the Period

In RMB

Standard to Income of Net profit

Time point Cost of Ratio of Acquired determine acquiree of acquiree

Acquiree for equity equity equity way Equity Purchasing the from from

obtained obtained obtained obtained dateway purchasing purchasing purchasingdate date to date to

119Semi-Annual Report 2025

period-end period-end

Other note:

(2) Combination cost and goodwill

In RMB

Consolidation cost

--Cash

--Fair value of non-cash assets

--Fair value of debts issued or assumed

--Fair value of equity securities issued

-- Fair value of contingent consideration

--Fair value of the equity prior to the purchasing date

--Other

Total combination cost

Less: shares of fair value of identifiable net assets acquired

The amount by which the goodwill/cost of consolidation is less

than the share of fair value of identifiable net assets acquired

Determination method for fair value of the combination cost：

Contingent consideration and changes:

Main reasons for large goodwill resulted:

Other note:

(3) Identifiable assets and liability on purchasing date under the acquiree

In RMB

Fair value on purchasing date Book value on purchasing date

Assets:

Monetary fund

Account receivable

Inventory

Fixed assets

Intangible assets

Liability:

Loan

Account payable

Deferred income tax liabilities

Net assets

Less: Minority interests

Net assets acquired

Determination method for fair value of the identifiable assets and liabilities:

Contingent liability of the acquiree bear during combination:

Other note:

120Semi-Annual Report 2025

(4) Gains or losses arising from re-measured by fair value for the equity held before purchasing date

Whether it is a business combination realized by two or more transactions of exchange and a transaction of

obtained control rights in the Period or not

□Yes□No

(5) On purchasing date or period-end of the combination combination consideration or fair value of

identifiable assets and liability for the acquiree are un-able to confirm rationally

(6) Other Note:

2. Enterprise combine under the same control

(1) Enterprise combined under the same control in the Period

In RMB

Income of Net profit

the of the

combined combined Income of Net profit

Equity ratio Basis of Standard to party from party from the of the

Combined obtained in combinedunder the Combinatio

determine

the period- period-

combined combined

n date party partyparty combinatio same combinatio begin of begin of

n control n date combinatio combinatio

during the during the

n to the n to the comparison comparison

combinatio combinatio period period

n date n date

Other note:

(2) Combination cost

In RMB

Consolidation cost

--Cash

-- Book value of non-cash assets

- Book value of debts issued or assumed

-- The face value of the equity securities issued

--Contingent consideration

Explanation on contingent consideration and its changes:

Other note:

(3) Book value of the assets and liability of the combined party on combination date

In RMB

Consolidation date End of last period

Assets:

Monetary fund

Account receivable

Inventory

Fixed assets

121Semi-Annual Report 2025

Intangible assets

Liability:

Loan

Account payable

Net assets

Less: Minority interests

Net assets acquired

Contingent liability of the combined party bear during combination:

Other note:

3. Counter purchase

Basic transaction information basis of counter purchase whether making up business due to the assets and

liability reserved by listed company and basis determination of combination cost amount and calculation on

adjusted equity by equity transaction:

4. Subsidiary disposal

Whether lost controlling rights while dispose subsidiary on one time or not

□Yes□No

Whether lost controlling rights in the Period while dispose subsidiary on two or more steps or not

□Yes□No

5. Other reasons for consolidation range changed

Reasons for changed on consolidation range (such as new subsidiary established subsidiary liquidated etc.)And

relevant information:

6.Other

X. Equity in other entity

1. Equity in subsidiary

(1) Constitute of enterprise group

In RMB

Registered Main

Subsidiary operation Registered Business

Share-holding ratio Acquired

capital place place nature Directly Indirectly way

Shenzhen Sales of

Xinsen 200000000.Shenzhen Shenzhen Jewelrydiamonds 100.00% InvestmentJewelry Gold 00

Co. Ltd and gold

Shenzhen Jewelry

5000000.00 Shenzhen Shenzhen 100.00% Investment

Xinsen diamonds

122Semi-Annual Report 2025

Precision gold

Manufacturin processing

g Co. Ltd.Dongguan Jewelry

Xinsen diamonds

Jewelry 5000000.00 Dongguan Dongguan 100.00% Investmentgold

Co. Ltd processing

Shenzhen

Jiucheng Jewelry

Culture 40000000.0 diamondsShenzhen Shenzhen 51.00% Investment

Technolog 0 gold

y Co. Ltd processing

Shenzhen

Jiucheng Jewelry

Culture 50000000.0 diamondsShenzhen Shenzhen 38.25% Investment

Technolog 0 gold

y Co. Ltd processing

Shenzhen Distribution

Emmelle

5000000.00 Shenzhen Shenzhen of bicyclesand spare 70.00% InvestmentIndustrial

Co. Ltd. parts

Shenzhen

Emmelle Software and

Cloud 2000000.00 Shenzhen Shenzhen informationtechnology 49.00% Investment

Technology service sales

Co. Ltd.Fujian Sales of

Huaxinbao 10000000.0

Putian Putian Jewelry

Jewelry Co. 0 diamonds

100.00% Investment

Ltd. and gold

Putian

Kaipu

Technolog Outbound

y 3000000.00 Putian Putian 1.00% Investmentinvestment

Partnership

(LP)

Shenzhen

Huabao Sales of

Zhenxuan 5000000.00 Shenzhen Shenzhen Jewelrydiamonds 100.00% Investment

Jewelry Co. and gold

Ltd.Hainan

Import and

Shenhua

5000000.00 Haikou Haikou export trade 100.00% Investment

Industrial

industry

Co. Ltd.Shenzhen

Yunyouxuan Sales of

Jewelry 15000000.0 Shenzhen Shenzhen Jewelrydiamonds 35.00% 0.20% InvestmentTechnology 0

Co. Ltd. and gold

Hangzhou

Huabaohui Sales of

Digital 5000000.00 Hangzhou Hangzhou Jewelry

Culture Co diamonds

100.00% Investment

Ltd and gold

Tibet Jinyaya Sales of

Jewelry

Trading Co. 2000000.00 Lhasa Lhasa

Jewelry

diamonds 100.00% Investment

Ltd. and gold

123Semi-Annual Report 2025

Zhenhua Sales of

Internation 20700690.0 HONGKAN HONGKAN Jewelry

0 G G diamonds

100.00% Investment

al Co. Ltd. and gold

Explanation on share-holding ratio in subsidiary different from ratio of voting right:

Note：

1. The Subsidiary Putian Kaipu Technology Partnership (Limited Partnership) consists of one general partner

Fujian Huaxinbao Jewelry Co. Ltd. and three limited partners. The partnership agreement designates the

general partner as the executive partner while establishing an Investment Decision Committee comprising four

members (three appointed by the general partner and one jointly appointed by limited partners) as the

investment decision-making body.

2. The Subsidiary Shenzhen Cloud Preferred Jewelry Technology Co. Ltd. is 35% owned by Shenzhen China

Bicycle and 20% by Putian Kaipu Technology Partnership (Limited Partnership) totally 55% ownership by the

above two.Basis for controlling the invested entity with half or below voting rights held and without controlling invested

entity but with over half and over voting rights:

Controlling basis for the structuring entity included in consolidated range:

Basis on determining to be an agent or consignor:

Other note

(2) Important non-wholly-owned subsidiary

In RMB

Share-holding ratio of Gains/losses Dividend announced toSubsidiary minority attributable to minority distribute for minority

Ending equity of

in the Period in the Period minority

Other note

(3) Main finance of the important non-wholly-owned subsidiary

In RMB

Ending balance Opening balance

Subsid Curren Non- Curren Non-Non- Total Non- Total

iary Curren Total t current Curren Total t currentcurrent liabiliti current liabiliti

t assets assets liabiliti liabiliti t assets assets liabiliti liabiliti

assets es assets es

es es es es

In RMB

Current period incurred Prior period incurred

Total Cash flow Total Cash flow

Subsidiary Operation comprehen from Operation comprehen from

Net profit Net profit

revenue sive operation revenue sive operation

income activity income activity

Other note：

124Semi-Annual Report 2025

(4) Major restriction on using corporate assets and liquidate corporate debts

(5) Financial or other supporting provided to structuring entity that included in consolidated financial

statement

Other note:

2. Transaction that has owners equity shares changed in subsidiary but still with controlling rights

(1) Owners equity shares changed in subsidiary

(2) Impact on minority’s interest and owners’ equity attributable to parent company

In RMB

Purchase cost/disposal consideration

--Cash

--Fair value of non-cash assets

Purchase cost/total disposal consideration

Less: Subsidiary's share of net assets calculated based on the

proportion of acquired/disposed equity

Difference

Including: Adjust capital public reserve

Adjust surplus public reserve

Adjusted retained profit

Other note

3. Equity in joint venture and associated enterprise

(1) Important joint venture or associated enterprise

Joint venture or Main operation Registered Share-holding ratioassociated Business nature Accounting

enterprise place place Directly Indirectly treatment

Share-holding ratio or shares enjoyed different from voting right ratio:

Basis of the voting rights with 20% below but with major influence or without major influence but with over

20% (20% included) voting rights hold:

(2) Main financial information of the important joint venture

In RMB

Ending balance/Current period incurred Opening balance/Prior period incurred

Current assets

Including: cash and cash equivalent

Non-current assets

Total assets

125Semi-Annual Report 2025

Current liabilities

Non-current liabilities

Total liabilities

Minority interests

Shareholders' equity attributable to the

parent company

Share of net assets calculated by

shareholding ratio

Adjustment items

--Goodwill

--Unrealized profit of internal trading

--Other

Book value of equity investment in joint

venture

Fair value of the equity investment of

joint ventures with public offers

concerned

Operation revenue

Financial expenses

Income tax expense

Net profit

Net profit of discontinuing operation

Other comprehensive income

Total comprehensive income

Dividends received from joint venture in

the year

Other note

(3) Main financial information of the important associated enterprise

In RMB

Ending balance/Current period incurred Opening balance/Prior period incurred

Current assets

Non-current assets

Total assets

Current liabilities

Non-current liabilities

Total liabilities

Minority interests

Equity attributable to shareholder of

parent company

Share of net assets measured by

shareholding

Adjustment

--Goodwill

126Semi-Annual Report 2025

--Unrealized profit of internal trading

--Other

Book value of equity investment in

associated enterprise

Fair value of the equity investment of

associated enterprise with public offers

concerned

Operation revenue

Net profit

Net profit of discontinuing operation

Other comprehensive income

Total comprehensive income

Dividends received from associated

enterprise in the year

Other note

(4) Financial summary for un-important joint venture or associated enterprise

In RMB

Ending balance/Current period incurred Opening balance/Prior period incurred

Joint venture：

Total numbers measured by share-

holding ratio

Associated enterprise：

Total book value of the investment 830481.86 830481.86

Total numbers measured by share-

holding ratio

Other note:

(5) Assets transfer ability has major restriction from joint venture or associated enterprise

(6) Excess losses from joint venture or associated enterprise

In RMB

Un-confirmed losses not

Joint venture or associated Cumulative un-confirmed recognized in the Period (or Cumulative un-confirmed

enterprise losses net profit enjoyed in the losses at period-end

Period)

Other note:

(7) Un-confirmed commitment with investment concerned with joint venture

(8) Contingent liability with investment concerned with joint venture or associated enterprise

4.Co-runs operation

127Semi-Annual Report 2025

Name Main operation

Share-holding ratio/share enjoyed

place Registered place Business nature Directly Indirectly

Share-holding ratio or shares enjoyed different from voting right ratio:

If the co-runs entity is the separate entity basis of the co-runs classification

Other note:

5. Equity in structuring entity that excluding in the consolidated financial statement

6.Other

XI. Government subsidy

1. Government subsidies recognized according to the receivable amount at the end of the reporting period

□Applicable□Not applicable

The reason for not receiving the estimated amount of government subsidies at the expected point in time

□Applicable□Not applicable

2. Liabilities involving government subsidies

□Applicable□Not applicable

3. Government subsidies included in the current profit and loss

□Applicable□Not applicable

XII. Risks Related to Financial Instruments

1.Risks arising from financial instruments

The Company's main financial instruments include monetary funds accounts receivable receivables

financing other receivables other current assets accounts payable other payables short-term borrowings other

current liabilities etc. Details of the financial instruments are provided in the relevant notes to the financial

report.The Company's risk management objective is to achieve an appropriate balance between risks and returns

to minimize the negative impact of risks on the Company's operating results and to maximize the interests of

shareholders and other equity investors. Based on this risk management objective the basic strategy of the

Company's risk management is to identify and analyze the various risks faced by the Company establish an

appropriate risk tolerance baseline and conduct risk management and monitor various risks in a timely and

reliable manner to control the risks within a limited range.The main risks associated with the Company's financial instruments are credit risk liquidity risk and

market risk. The Company's management is fully responsible for the determination of risk management

objective and policy and bears ultimate responsibility for risk management objective and policy. Management

reviews the effectiveness of the implemented procedures and the reasonableness of risk management objective

and policy through work reports submitted by functional departments.

128Semi-Annual Report 2025

(A) Credit risk

Credit risk refers to the risk that one party to a financial instrument will fail to perform its obligations

resulting in financial losses to the other party. In order to mitigate credit risk the Company has established

internal control policy responsible for determining credit limits conducting credit approvals including external

credit ratings and in some cases bank references (where this information is available) and implementing other

monitoring procedures to ensure that necessary measures are taken to recover overdue creditor's right. As a

result the management of the Company considers that the credit risk assumed by the Company has been

significantly reduced.The credit risk of the Company mainly arises from bank deposits accounts receivable prepayments other

receivables etc. and the credit risk of these financial assets is derived from the default of the counterparty and

the maximum risk exposure is equal to the carrying amount of these instruments.

1. The Company's working capital is deposited in a bank with a high credit rating thus the credit risk of the

working capital is low.

2. On the balance sheet date the Company made provision for bad debts in accordance with the accounting

policy.

(B) Liquidity risk

Liquidity risk refers to the risk that an enterprise will have a shortage of funds when fulfilling its

obligation to settle by means of cash or other financial assets. It is the Company's policy to ensure that it has

sufficient cash to pay off its debts as they fall due. Liquidity risk is centrally controlled by the Company's

finance department. The finance department monitors cash balances marketable securities that can be

liquidated at any time etc. to ensure that the Company has sufficient funds to repay its debts under all

reasonably foreseeable circumstances.

(C) Market risk

Market risk refers to the risk that the fair value or future cash flows of financial instruments will fluctuate

due to changes in market prices including interest rate risk foreign exchange risk and other price risks. Interest

rate risk refers to the risk that the fair value or future cash flows of a financial instrument will fluctuate due to

changes in market interest rates. The interest rate risk faced by the Company mainly comes from bank deposits.

129Semi-Annual Report 2025

2. Hedging

(1) The Company conducts hedging business for risk management

□Applicable□Not applicable

(2) The Company conducts qualified hedging business and applies hedge accounting

In RMB

The cumulative fair

value hedge adjustment

The carrying amount Sources of hedge The impact of hedge

of the hedged items

associated with the effectiveness and accounting on the

Item included in the

hedged item and the hedge ineffectiveness Company's financial

recognized carrying

hedging instrument part report

amount of the hedged

items

Type of hedging risk

Hedging category

Other note:

（3） The Company conducts hedging business for risk management and expects to achieve risk

management objective but does not apply hedge accounting

□Applicable□Not applicable

3. Financial assets

(1) Classification of transfer methods

□Applicable□Not applicable

(2) Financial assets that have been derecognized as a result of a transfer

□Applicable□Not applicable

(3) Financial assets of continued involvement in asset transfer

□Applicable□Not applicable

Other note:

XIII. Disclosure of fair value

1. Ending fair value of the assets and liabilities measured by fair value

130Semi-Annual Report 2025

In RMB

Ending fair value

Item

First-order Second-order Third-order Total

I. Sustaining measured

by fair value -- -- -- --

II. Non-sustaining

measured by fair value -- -- -- --

2. Recognized basis for the market price sustaining and non-persistent measured by fair value on first-

order

The quoted prices without adjustment in the active markets for identical assets or liabilities that are available at

the measurement date.

3. Valuation technique and qualitative and quantitative information on major parameters for the fair

value measure sustaining and non-persistent on second-order

The inputs for second-order are inputs other than first-order for which the related assets or liabilities are directly

or indirectly observable

4. Valuation technique and qualitative and quantitative information on major parameters for the fair

value measure sustaining and non-persistent on third-order

The third-order inputs are unobservable inputs for the underlying assets or liabilities. The fair value of the bank

acceptance bill receivable from bank is determined using the face amount because the probability of loss is

small and the recoverable amount is basically determined

5. Adjustment information and sensitivity analysis of unobservable parameters for the fair value

measure sustaining and non-persistent on third-order

None

6. Sustaining items measured by fair value as for the conversion between at all levels reasons for

conversion and policy for conversion time point

None

7. Changes of valuation technique in the Period

None

8. Financial assets and liability not measured by fair value

None

131Semi-Annual Report 2025

9.Other

None

XIV. Related party and related transactions

1. Parent company

Share-holding

Parent company Registere ratio on the Voting right ratiod place Business nature Registered capital enterprise for on the enterprise

parent company

Wansheng Industrial

Investment in

Holdings (Shenzhen) Co. Shenzhen 500 million Yuan 20.00% 20.00%

industry

Ltd.Explanation on parent company of the enterprise

Wansheng Industrial Holdings (Shenzhen) Co. Ltd. was established on May 10 2016 with the business

period is from May 10 2016 to no fixed term the registered capital of the company is 500000000 yuan the

unified social credit code is 91440300MA5DCB5K9A the enterprise type is a limited liability company the

legal representative is Wang Shenghong and the company's registered address is 1311 Beiyuehui Building No.

2115 Cuizhu Road Cuijin Community Cuizhu Street Luohu District Shenzhen.

Ultimate controller of the Company: Wang Shenghong

Other note:

2. Subsidiary of the Enterprise

Found more in Note X1(1)

3. Associated enterprise and joint venture

Found more in Note

Other associated enterprise and joint venture that have related transaction with the Company in the Period or

occurred in previous period

Joint venture or associated enterprise Relationship with the Company

Other note:

4. Other related party

Other related party Relationship with the Company

Enterprise that holds more than 5% of the shares of Shenzhen

Shenzhen Guocheng Energy Investment Development Co. Ltd.China

The associated enterprise Hangzhou Huabaohui Digital

Shenzhen Xinxuan Technology Co. Ltd.Culture Co. Ltd. holds 40% equity of the Company

Other note:

132Semi-Annual Report 2025

5. Related transaction

(1) Goods purchasing labor service providing and receiving

Goods purchasing/labor service receiving

In RMB

Transaction Current period

Related party Approved

Whether more than Prior period

content incurred transaction amount

the transaction

amount incurred

Goods sold/labor service providing

In RMB

Related party Transaction content Current period incurred Prior period incurred

Explanation on goods purchasing labor service providing and receiving

(2) Related trusteeship/contract and delegated administration/outsourcing

Trusteeship/contract

In RMB

Client/ Entrusting Yield pricing Income fromcontract-out party/ Assets type Starting date Maturity date basis trusteeship/contparty contractor ract

Explanation on related trusteeship/contract

Delegated administration/outsourcing

In RMB

Client/ Entrusting Pricing basis of Trustee

contract-out party/ Assets type Starting date Maturity date trustee fee/outsourcing

party contractor fee/outsourcing fee recognizedfee in the Period

Explanation on related administration/outsourcing

(3) Related lease

As a lessor for the Company::

In RMB

Lease income recognized in Lease income recognized in

Lessee Assets type

the Period prior Period

As a lessee for the Company:

In RMB

rental cost for

Variable lease

short-term leases

payment not

and low-value Interest expenses

included in the Right-of-use assets

assets leases with Rental paid assumed on lease

measurement of increased

simplified liability

Assets leasing liability (if

Lessor processing (if

type applicable)applicable)

Current Prior Current Prior Current Prior Current Prior Current Prior

period period period period period period period period period period

incurre incurre incurre incurre incurre incurre incurre incurre incurre incurre

d d d d d d d d d d

133Semi-Annual Report 2025

Explanation on related lease

(4) Related guarantee

As a guarantor for the Company

In RMB

Guarantee completed

Secured party Amount guarantee Starting date Due date

(Y/N)

As a secured party for the Company

In RMB

Guarantee completed

Guarantor Amount guarantee Starting date Due date

(Y/N)

Explanation on related guarantee

(5) Borrowed funds of related party

In RMB

Related party Borrowed funds Starting date Due date Note

Borrowing

Lending

(6) Assets transfer and debt restructuring of related party

In RMB

Related party Transaction content Current period incurred Prior period incurred

(7) Remuneration of key manager

In RMB

Item Current period incurred Prior period incurred

Remuneration of key manager 1054848.66 1037574.77

(8) Other related transactions

6. Receivable/payable items of related parties

(1) Receivable item

In RMB

Ending balance Opening balance

Item Related party

Book balance Bad debt provision Book balance Bad debt provision

Wansheng Industrial

Other receivable Holdings (Shenzhen) 0 0 18154754.41 0

Co. Ltd.

134Semi-Annual Report 2025

(2) Payable item

In RMB

Item Related party Ending book balance Opening book balance

Shenzhen Guosheng Energy

Other account payable Investment Development Co. 6500000.00 6500000.00

Ltd.Shenzhen Xinxuan

Other account payable 760000.00 2000000.00

Technology Co. Ltd.

7. Commitments of related party

According to the Cooperation Agreement signed by Shenzhen China Bicycle Company (Holdings) Co.Ltd. with Wansheng Industrial Holdings (Shenzhen) Co. Ltd. (hereinafter referred to as "Wansheng Industrial")

and Shenzhen Guosheng Energy Investment and Development Co. Ltd. (hereinafter referred to as "Guosheng

Energy") on December 14 2020 Wansheng Industrial promised that in the next three years from the next year

after the completion of the non-public issuance of shares and the completion of the adjustment of the board of

directors and board of supervisors of the listed company by Wansheng Industrial the net profit of the listed

company shall not be less than RMB 30 million yuan 35 million yuan and 40 million yuan that is the

cumulative net profit scale is 105 million yuan. If the cumulative actual net profit of the listed company as of

any year during the performance commitment period does not reach the promised cumulative net profit

Wansheng Industrial shall compensate the listed company in cash within 10 working days after the issuance of

the audit report of the listed company in the year during the performance commitment period. The amount of

compensation payable for the year is calculated as follows: amount of compensation payable for the year =

cumulative committed net profit as of the end of the period minus cumulative realized net profit as of the end of

the period minus cumulative compensation amount (if any).Up to now the performance compensation commitment for 2023 and 2024 have been completed and it has

been performednormally in the remaining years.

8.Other

None

XV. Share-based payment

1. General share-based payment

□Applicable□Not applicable

2. Share-based payment settled by equity

□Applicable□Not applicable

135Semi-Annual Report 2025

3. Share-based payment settled by cash

□Applicable□Not applicable

4. The current shares will pay the fee

□Applicable□Not applicable

5. Revised and termination on share-based payment

None

6.Other

None

XVI. Commitment or contingency

1. Important commitments

Important commitments in balance sheet date

None

2. Contingency

(1) Contingency on balance sheet date

None

(2) For the important contingency not necessary to disclosed by the Company explained reasons

The Company has no important contingency that need to disclosed

3. Other

None

XVII. Events after balance sheet date

1. Important non-adjustment items

In RMB

Item Content Impact on financial status and Reasons on un-able tooperation results estimated the impact number

136Semi-Annual Report 2025

2. Profit distribution

None

3. Sales return

None

4. Other events after balance sheet date

None

XVIII. Other important events

1. Previous accounting errors collection

(1) Retrospective restatement

In RMB

Correction content Treatment procedures Impact items of statementduring a comparison Cumulative impacted number

(2) Prospective application

Correction content Approval procedures Reasons for prospective applicationadopted

2. Debt restructuring

None

3. Assets replacement

(1) Non-monetary assets change

None

(2) Other assets replacement

None

4. Pension plan

None

137Semi-Annual Report 2025

5. Discontinued operations

In RMB

Discontinued

operations

Item Revenue Expenses Total profit Income tax profitexpenses Net profit attributable to

owners of

parent company

Other note:

None

6. Segment

(1) Recognition basis and accounting policy for reportable segment

The Company determines its business segments based on its internal organizational structure

management requirements and internal reporting system. The Company's business segments are those that meet

the following conditions at the same time:

(1) The component is capable of generating income and incurring expenses in its daily activities;

(2) Management is able to regularly evaluate the operating results of the component in order to decide on

the allocation of resources to it and evaluate its performance;

(3) Able to obtain accounting information related to the financial position results of operations and cash

flows of the component.The Company determines the reporting segment on the basis of the industry segment.Segment reporting information is disclosed in accordance with the accounting policy and measurement

standards adopted by each segment in reporting to management which are consistent with those at the time of

preparation of the financial report.

(2) Financial information for reportable segment

In RMB

Offset between

Item Gold jewelry Bicycle Total

segments

Main business income 318979752.50 963864.13 319943616.60

Main business cost 284449986.80 639146.78 285089133.50

Gross

138Semi-Annual Report 2025

(3)The Company has no reportable segments or unable to disclose total assets and total liability for

reportable segments explain reasons

(4) Other note:

7. Major transaction and events makes influence on investor’s decision

None

8.Other

None

XIX. Principle notes of financial statements of parent company

1. Account receivable

（1）Disclosure according to the aging

In RMB

Aging Balance in year-end Balance Year-beginning

Within one year(one year included) 109793036.64 95747214.26

1-2 years 157000.20 157000.20

2-3 years 5451739.81 5451739.81

Over 3 years 13098397.02 13113397.02

3-4 years 10762472.02 10762472.02

4-5 years 1115247.00 1115247.00

Over 5 years 1220678.00 1235678.00

Total 128500173.67 114469351.29

（2）According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provision Book

y Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Accrual

of bad

debt 186848 185548 129937. 186998 177730 926795.provisio 14.54% 99.30% 16.34% 95.04%37.03 99.43 60 37.03 41.59 44

n by

single

Includin

g：

Single

186848185548129937.186998177730926795.

identific 14.54% 99.30% 16.34% 95.04%

37.0399.436037.0341.5944

ation

Accrual 109815 26370.7 109788 957695 78660.8 956908

of bad 85.46% 0.02% 83.66% 0.08%336.64 6 965.88 14.26 4 53.42

debt

139Semi-Annual Report 2025

provisio

n by

portfolio

Includin

g：

Aging 109815 26370.7 109788 957695 78660.8 956908

85.46%0.02%83.66%0.08%

portfolio 336.64 6 965.88 14.26 4 53.42

128500185812109918114469178517966176

Total 100.00% 14.46% 100.00% 15.60%

173.6770.19903.48351.2902.4348.86

Bad debt provision accrual on single basis: Single identification

In RMB

Opening balance Ending balance

Name Bad debt Bad debt Reason for

Book balance Book balance Accrual ratio

provision provision accrual

Guangshui

Expected to be

Jiaxu Energy

15937156.89 15140299.05 15937156.89 15937156.89 100.00% difficult to

Technology

recover

Co. Ltd.Suzhou Jiaxin Expected to be

Economic 888757.00 888757.00 888757.00 888757.00 100.00% difficult to

Trade Co. Ltd. recover

Suzhou

Daming Expected to be

Vehicle 649688.00 519750.40 649688.00 519750.40 80.00% difficult to

Industry Co. recover

Ltd.Dongguan

Expected to be

Daxiang New

564734.00 564734.00 549734.00 549734.00 100.00% difficult to

Energy Co.recover

Ltd.Guangdong

Expected to be

Xinlingjia New

348136.00 348136.00 348136.00 348136.00 100.00% difficult to

Energy Co.recover

Ltd.Tianjin Huiju Expected to be

Electric Vehicle 116840.14 116840.14 116840.14 116840.14 100.00% difficult to

Co. Ltd. recover

Expected to be

Other 194525.00 194525.00 194525.00 194525.00 100.00% difficult to

recover

Total 18699837.03 17773041.59 18684837.03 18554899.43

Bad debt provision accrual on portfolio: Aging portfolio

In RMB

Ending balance

Name of the Company

Book balance Bad debt provision Accrual ratio

Within one year(one year

109793036.6410979.300.01%

included)

1-2 years

2-3 years 22300.00 15391.46 69.02%

3-4 years

4-5 years

140Semi-Annual Report 2025

Over 5 years

Total 109815336.64 26370.76

Explanation on portfolio basis:

If the provision for bad debts of account receivable is made in accordance with the general model of expected

credit losses please refer to the disclosure of other account receivable to disclose related information about bad-

debt provisions:

□Applicable□Not applicable

(3) Bad debt provision accrual collected or reversal in the period

Accrual of bad debt provision in the period:

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

Accounts

receivable with

individual 17773041.59 781857.84 18554899.43

provision for

bad debts

Provision for

bad debts based

on a portfolio 78660.84 52290.08 26370.76

of credit risk

characteristics

Total 17851702.4 18581270.1781857.84 52290.08

39

Including important amount of bad debt provision collected or reversal in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

(4) Account receivables actually write-off during the reporting period

In RMB

Item Amount written off

Including major account receivables write-off:

In RMB

Amount cause by

Amount written related

Enterprise Nature Causes Procedure

off transactions or not

(Y/N)

Explanation on account receivable write-off:

141Semi-Annual Report 2025

(5) The top five accounts receivable and contract assets at the end of the period aggregated according to

debtor

In RMB

Ending balance of

Proportion to the

accounts

Ending balance of total ending

Ending balance of receivable bad

Name of the Ending balance of accounts balance of

accounts debt provision and

organization contract assets receivable and accounts

receivable contract asset

contract assets receivable and

impairment

contract assets

provision

Fuzhou Rongrun

32115392.2232115392.2224.99%3211.54

Jewelry Co. Ltd

Fuzhou Cangshan

District Dingjue 26168281.75 26168281.75 20.36% 2616.83

Jewelry Company

Fuzhou

Zhuanjinsen 19765332.64 19765332.64 15.38% 1976.53

Jewelry Co. Ltd.Shenzhen

Yunshang Jewelry 16459912.72 16459912.72 12.81% 1645.99

Co. Ltd

Guangshui Jiaxu

Energy

Technology Co. 15937156.89 15937156.89 12.40% 15937156.89

Ltd

Total 110446076.22 110446076.22 85.94% 15946607.78

2. Other account receivable

In RMB

Item Ending balance Opening balance

Other account receivable 54082886.47 59769403.49

Total 54082886.47 59769403.49

(1) Interest receivable

1) Category

In RMB

Item Ending balance Opening balance

2) Important overdue interest

In RMB

Impairment (Y/N) and

Borrower Ending balance Overdue time Overdue reason

judgment basis

Other note:

142Semi-Annual Report 2025

3) Accrual of bad debt provision

□Applicable □Not applicable

4） Bad debt provision accrual collected or reversal in the period

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

Including important amount of bad debt provision collected or reversal in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note:

5）Interest receivables actually written off in the current period

In RMB

Item Write-off amount

Important Interest receivables write-off status thereinto:

In RMB

Whether the

Write-off payment is

Name of

Amount Nature Write-off amount Write-off reason procedures for generated by a

Organization

fulfillment related party

transaction

Note：

Other note：

(2) Dividend receivable

1) Category

In RMB

Item (or the invested entity) Ending balance Opening balance

2) Important dividend receivable with over one year aged

In RMB

Item (or the invested Ending balance Account age Causes of failure for Impairment (Y/N) and

143Semi-Annual Report 2025

entity) collection judgment basis

3) Accrual of bad debt provision

□Applicable □Not applicable

4） Bad debt provision accrual collected or reversal in the period

In RMB

Current changes

Opening

Category Collected or Ending balancebalance Accrual Write off Other

reversal

Including important amount of bad debt provision collected or reversal in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

Other note：

5） Dividend receivables actually written off in the current period

In RMB

Item Write-off amount

Important Dividend receivable write-off status thereinto:

In RMB

Whether the

Write-off payment is

Name of

Amount Nature Write-off amount Write-off reason procedures for generated by a

Organization

fulfillment related party

transaction

Note：

Other note：

（3）Other account receivable

1) By nature

In RMB

Nature Ending book balance Opening book balance

Performance compensation 18154754.41

Deposit or margin 9609.80 9609.80

Payment for equipment 11400.00 11400.00

Current account 54058155.71 41648565.50

Other 60000.00 4250.20

144Semi-Annual Report 2025

Total 54139165.51 59828579.91

2）By account aging

In RMB

Aging Ending book balance Opening book balance

Within one year(one year included) 53985866.71 59665281.11

1-2 years 61925.80 71925.80

2-3 years 79473.00 79473.00

Over 3 years 11900.00 11900.00

Over 5 years 11900.00 11900.00

Total 54139165.51 59828579.91

3) According to the bad debt provision method classification disclosure

In RMB

Amount in year-end Balance Year-beginning

Categor Book Balance Bad debt provision Book Book Balance Bad debt provision Book

y Amount Proporti Amount Proporti value Amount Proporti Amount Proporti value

on(%) on(%) on(%) on(%)

Includin

g：

Accrual

of bad

debt 541391 56279.0 540828 598285 59176.4 597694

100.00%0.10%100.00%0.10%

provisio 65.51 4 86.47 79.91 2 03.49

n by

portfolio

Includin

g：

Aging 213298. 56279.0 157019. 195695. 59176.4 136519.

0.39%26.39%0.33%30.24%

portfolio 80 4 76 56 2 14

Related

party 539258 539258 596328 596328

99.61%99.67%

Portfoli 66.71 66.71 84.35 84.35

o

54139156279.054082859828559176.4597694

Total 100.00% 0.10% 100.00% 0.10%

65.51486.4779.91203.49

Bad debt provision accrual on portfolio: Aging portfolio

In RMB

Ending balance

Name of the Company

Book balance Bad debt provision Accrual ratio

Aging portfolio 213298.80 56279.04 26.39%

Total 213298.80 56279.04

Explanation on portfolio basis:

Bad debt provision accrual on portfolio: Related party Portfolio

In RMB

Ending balance

Name of the Company

Book balance Bad debt provision Accrual ratio

Related party Portfolio 53925866.71

145Semi-Annual Report 2025

Total 53925866.71

Explanation on portfolio basis:

Provision for bad debts is made according to the general model of expected credit losses

In RMB

Phase I Phase II Phase III

Expected credit losses Expected credit losses

Bad debt provision Expected credit losses for the entire duration for the entire duration Total

over next 12 months (without credit (with credit impairment

impairment occurred) occurred)

Balance on January 1

59176.4259176.42

2025

January 1 2025

balance in the current

period

Provision in Current

2897.382897.38

Year

Balance on June 30

56279.0456279.04

2025

The basis for the division of each stage and the proportion of bad debt provision

Change of book balance of loss provision with amount has major changes in the period

□Applicable □Not applicable

4) Bad debt provision accrual collected or reversal in the period

Accrual of bad debt provision in the period:

In RMB

Current changes

Opening

Category Ending balance

balance Collected orAccrual Write off Other

reversal

Provision for

bad debts based

on a portfolio 59176.42 2897.38 56279.04

of credit risk

characteristics

Total 59176.42 2897.38 56279.04

Important amount of bad debt provision switch-back or collection in the period:

In RMB

The basis and

rationality for

Name of the Amount recovered or determining the

Reason for reversal Recovery method

organization reversed provision ratio of

original bad debt

provision

5) Other account receivables actually write-off during the reporting period

146Semi-Annual Report 2025

In RMB

Item Amount written off

Including major other account receivables write-off:

In RMB

Amount cause by

Amount written related

Enterprise Other Nature Causes Procedure

off transactions or not

(Y/N)

Other Explanation on account receivable write-off:

6) Top 5 other account receivable collected by arrears party at ending balance

In RMB

Proportion in total

other account Ending balance of

Enterprise Nature Ending balance Account age

receivables at bad bet provision

period-end

Shenzhen Xinsen Within 1 year

Jewelry Gold

Supply Chain Co. Current account 53808129.94 r(one year 99.39% 0.00

Ltd included)

Guangdong

Shenzhen Luohu Other 79473.00 2-3 years 0.15% 32575.98

Court

Hubei Guangshui

Other 52816.00 1-2 years 0.10% 10066.73

Court

Within 1 year

Fujian Huaxinbao

Current account 50000.00 r(one year 0.09% 0.00

Jewelry Co. Ltd.included)

Shenzhen

Hongkang

Equipment

Instrument 11400.00 Over 5 years 0.02% 11400.00

Technology Co.Ltd

Total 54001818.94 99.75% 54042.71

7） Reported in other receivables due to centralized management of funds

Other note：

3. Long-term equity investment

In RMB

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

Investment for

subsidiary 147696069.73 147696069.73 126995379.73 126995379.73

Total 147696069.73 147696069.73 126995379.73 126995379.73

147Semi-Annual Report 2025

(1) Investment for subsidiary

In RMB

Openi Changes in the period (+ -)

ng

balan

The Opening ce of Ending Ending

invested balance(Book the Additional balance(Book

balance of

entity value) impai impairmentinvestment Other value)

rment provision

provi

sion

Shenzhen

Emmelle

Industrial 10379.73 10379.73

Co. Ltd.Shenzhen

Xinsen

Jewelry 120500000.00 120500000.00

Gold Co.Ltd

Shenzhen

Cloud

Preferred

5250000.005250000.00

Jewelry

Technology

Co. Ltd.Hangzhou

Huabaohui

Digital 1005000.00 1005000.00

Culture

Co. ltd.Tibet

Jinyaya

130000.00130000.00

Trading

Co. Ltd.Fujian

Huaxinbao

Jewelry 100000.00 100000.00

Co. Ltd.Shenhua

Internation 20700690.00 20700690.00

al Co. Ltd.Total 126995379.73 20700690.00 147696069.73

(2) Investment for associates and joint venture

In RMB

Openi Changes in the period (+ -)

ng Ending

Openi Other

balanc Invest Cash Ending balanc

Funde ng compr Accrua

e of ment divide

d balanc Additi ehensi l of

balanc e of

the Capital gains Other nd oronal ve impair e(Boo impairenterpr e(Boo

impair reducti recogn equity profit Other

ise k invest incom ment

k ment

ment on ized change annou

value) ment e provisi

value) provisi

provisi under nced toadjust on on

on equity issuedment

148Semi-Annual Report 2025

I. Joint venture

II. Associated enterprise

The recoverable amount is determined on the basis of the net amount of fair value less disposal costs

□Applicable□Not applicable

The recoverable amount is determined by the present value of the projected future cash flows

□Applicable□Not applicable

The reason for the obvious discrepancy between the foregoing information and the information used in the

impairment test of previous years or the external information

The reason for the obvious discrepancy between the information used in the Company's impairment test in

previous years and the actual situation in the current year

（3）Other note

4. Operation revenue and operation cost

In RMB

Current period incurred Prior period incurred

Item

Revenue Cost Revenue Cost

Main business 153372154.48 140363498.34 41648464.52 36082094.24

Other business 748889.37 560210.12 1193561.03 1052051.60

Total 154121043.85 140923708.46 42842025.55 37134145.84

Breakdown of operating income and operating costs:

In RMB

1# Division 2# Division Total

Contract type

Revenue Cost Revenue Cost Revenue Cost

Business type 154121043.85 140923708.46 154121043.85 140923708.46

Including：

Jewelry and

gold 153372154.00 140363498.34 153372154.00 140363498.34

Lithium

battery

material for 748889.37 560210.12 748889.37 560210.12

bicycles and

other

Classification

by business 154121043.85 140923708.46 154121043.85 140923708.46

area

Including：

Domestic 154121043.85 140923708.46 154121043.85 140923708.46

Market or

customer type

Including:

Contract type

Including:

Classification

by time of

149Semi-Annual Report 2025

goods transfer

Including:

Classification

by contract

duration

Including:

Classification

by sales

channel

Including:

Total 154121043.85 140923708.46 154121043.85 140923708.46

Information related to performance obligations:

The types of

The time to The nature ofthe goods that Whether it is

The expected quality

Item fulfill the Important the company the main

refunds to assurance

performance payment terms responsible customers provided by the

obligation promises totransfer person

borne by the company and

company related

obligations

Other note

Information relating to the transaction price assigned to the remaining performance obligation:

The amount of income corresponding to the performance obligations that have been signed at the end of this

reporting period but have not yet been fulfilled or have not done with fulfillment is 0.00 yuan among them

yuan of revenue is expected to be recognized in year yuan of revenue is expected to be recognized in year and

yuan of revenue is expected to be recognized in year.Significant contract changes or significant transaction price adjustments

In RMB

Item Accounting treatment method The impacted amount on revenue

Other note：

None

5. Investment income

In RMB

Item Current period incurred Prior period incurred

6. Other

XX. Supplementary Information

1. Current non-recurring gains/losses

□Applicable □Not applicable

150Semi-Annual Report 2025

In RMB

Item Amount Note

Switch-back of provision of impairment

of account receivable which are treated 92482.17

with separate depreciation test

Other non-operation revenue and

expenditure except for the 838867.21

aforementioned items

Less: Impact on income tax 229010.09

Amount of impact of minority interests 67309.45

Total 635029.84 --

Details of other gains/losses items that meets the definition of non-recurring gains/losses:

□Applicable□Not applicable

There are no other gains/losses items that meet the definition of non-recurring gains/losses in the Company.Explain the items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss

in Q&AAnnouncement No.1 on Information Disclosure for Companies Offering Their Securities to the Public -

-- Extraordinary Profit/loss

□Applicable□Not applicable

2. ROE and EPS

Earnings per share

Profits during report period Weighted average ROE

Basic EPS(RMB/Share) Diluted EPS(RMB/Share)

Net profits belong to common

stock stockholders of the 5.26% 0.0269 0.0269

Company

Net profits belong to common

stock stockholders of the

Company after deducting 5.08% 0.0260 0.0260

nonrecurring gains and losses

3. Difference of the accounting data under accounting rules in and out of China

(1) Difference of the net profit and net assets disclosed in financial report under both IAS (International

Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)

□Applicable□Not applicable

(2) Difference of the net profit and net assets disclosed in financial report under both foreign accounting

rules and Chinese GAAP (Generally Accepted Accounting Principles)

□Applicable□Not applicable

151Semi-Annual Report 2025

(3) Explain accounting difference over the accounting rules in and out of China; as for the difference

adjustment for data audited by foreign auditing organ noted the name of such foreign organ

4. Other

The Board of Directors of Shenzhen China Bicycle Company (Holdings) Limited

August 15 2025

152