SHENZHEN TELLUS HOLDING CO. LTD.Semi-Annual Report 2022

August 2022Section I. Important Notice Contents and Interpretation

Board of Directors Supervisory Committee all directors supervisors and senior

executives of Shenzhen Tellus Holding Co. Ltd. (hereinafter referred to as the

Company) hereby confirm that there are no any fictitious statements misleading

statements or important omissions carried in this report and shall take all

responsibilities individual and/or joint for the reality accuracy and completion

of the whole contents.Fu Chunlong Principal of the Company Lou Hong person in charge of

accounting works and Lou Hong person in charge of accounting organ

(accounting principal) hereby confirm that the Financial Report of Semi-Annual

Report 2022 is authentic accurate and complete.All directors are attended the Board Meeting for report deliberation.The possible risks faced by the Company have been well-described in the Reportinvestors are advised to pay attention to them. Be sure to note that in “X. Risks ofthe Company and countermeasures” contained in Section III Management

Discussion and Analysis.The Company plans not to pay cash dividends not to issue bonus and not to

increase the share capital from accumulation funds.- 1 -Contents

Section I Important NoticeContents and Interpretat- 1 -

Section II Company Profile and Main Financial Inde- 5 -

Section III Management Discussion and Analysis ...- 9 -

Section IV Corporate Governance...................-19 -

Section V Enviornmental and Social Responsibility. 21 -

Section VI Important Event ....................... 22 -

Section VII Changes in Shares and Particular about 35 -

Section VIII Preferred Stock ..................... 40 -

Section IX Corporate Bonds........................ 41 -

Section X Financial Report ....................... 42 -

-1-深圳市特力(集团)股份有限公司2022年半年度报告全文

Documents Available for Reference

1. The Accounting Statement containing the signature and seals of the legal representative the person in charge of

the accounting works and person in charger of the accounting organization.

2. Original copies of all documents and announcements that have been released publicly during the reporting

period.

3.The above documents are available at: office of the Board Secretariat

-3-深圳市特力(集团)股份有限公司2022年半年度报告全文

Interpretation

Items Refers to Contents

CSRC Refers to China Securities Regulatory Commission

SZE Refers to Shenzhen Stock Exchange

China Securities Depository and

Shenzhen Branch of CSDC Refers to Clearing Corporation Limited-Shenzhen

Branch

Company the Company our Company

Refers to Shenzhen Tellus Holding Co. Ltd.Tellus Group

Reporting period this reporting period Refers to January to June of 2022

Shenzhen Auto Industry and Trade

Auto Industry and Trade Company Refers to

Corporation

Zhongtian Company Refers to Shenzhen Zhongtian Industrial Co. Ltd.Gems & Jewelry Trade Association of

GAC Refers to

China

Shenzhen SDG Huari Auto Enterprise

Huari Company SDG Huari Refers to

Co. Ltd.Shenzhen Huari Toyota Auto Sales Co.Huari Toyota Refers to

Ltd

Shenzhen Zung Fu Tellus Auto Service

Zung Fu Tellus Refers to

Co. Ltd.Shenzhen SDG Tellus Property

Tellus Property Refers to

Management Co. Ltd.Special Development SDG Controlling Shenzhen Special Development Group

Refers to

Shareholder Co. Ltd.Shenzhen Tellus Treasury Supply Chain

Treasury Supply Chain Company Refers to

Tech. Co. Ltd.Shenzhen Jewelry Industry Service Co.Shenzhen Jewelry Company Refers to

LTD

Shanghai Fanyue Refers to Shanghai Fanyue Diamond Co. Ltd.-4-深圳市特力(集团)股份有限公司2022年半年度报告全文

Section II Company Profile and Main Financial Indexes

I. Company profile

Short form of the stock Tellus-A Tellus-B Stock code 000025 200025

Stock exchange for listing Shenzhen Stock Exchange

Name of the Company (in

深圳市特力(集团)股份有限公司

Chinese)

Short form of the Company

特力 A

(in Chinese)

Foreign name of the

Shenzhen Tellus Holding Co. Ltd

Company (if applicable)

Legal representative Fu Chunlong

II. Person/Way to contact

Secretary of the Board Rep. of security affairs

Name Qi Peng Liu Menglei

3/F Tellus Building Shui Bei Er Road 3/F Tellus Building Shui Bei Er Road

Contact add.Luohu District Shenzhen Luohu District Shenzhen

Tel. (0755)83989390 (0755)88394183

Fax. (0755)83989386 (0755)83989386

E-mail ir@tellus.cn liuml@tellus.cn

III. Others

1. Way of contact

Whether registrations address offices address and codes as well as website and email of the Company changed in reporting period or

not

□ Applicable √ Not applicable

The registrations address offices address and codes as well as website and email of the Company have no change in reporting period

found more details in Annual Report 2021.

2. Information disclosure and preparation place

Whether information disclosure and preparation place changed in reporting period or not

□ Applicable √ Not applicable

The newspaper appointed for information disclosure website for semi-annual report publish appointed by CSRC and preparation place

for semi-annual report have no change in reporting period found more details in Annual Report 2021

3. Other relevant information

Whether other relevant information has changed during the reporting period

-5-深圳市特力(集团)股份有限公司2022年半年度报告全文

□ Applicable √ Not applicable

IV. Main accounting data and financial indexes

Whether it has retroactive adjustment or re-statement on previous accounting data or not

□ Yes √ No

Changes in the current period

compared with the same

Current period Same period of last year

period of the previous year

(+-)

Operating revenue (Yuan) 250015152.23 249492261.24 0.21%

Net profit attributable to

shareholders of the listed 43480236.19 44542715.32 -2.39%

Company(Yuan)

Net profit attributable to

shareholders of the listed

Company after deducting non- 31023156.36 41590592.47 -25.41%

recurring gains and

losses(Yuan)

Net cash flow arising from

-11318295.4159571399.02-119.00%

operating activities(Yuan)

Basic earnings per share

0.10090.1033-2.32%

(RMB/Share)

Diluted earnings per share

0.10090.1033-2.32%

(RMB/Share)

Weighted average ROE 3.00% 3.34% -0.34%

Changes at the end of the

Current Period-end Period-end of last year current period compared with

the end of the previous year

Total assets (Yuan) 1901811890.21 1859645205.43 2.27%

Net assets attributable to

shareholder of listed 1465622963.89 1432924273.45 2.28%

Company (Yuan)

V. Difference of the accounting data under accounting rules in and out of China

1. Difference of the net profit and net assets disclosed in financial report under both IAS (International

Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)

□ Applicable √ Not applicable

The Company had no difference of the net profit or net assets disclosed in financial report under either IAS (International Accounting

Standards) or Chinese GAAP (Generally Accepted Accounting Principles) in the period.-6-深圳市特力(集团)股份有限公司2022年半年度报告全文

2. Difference of the net profit and net assets disclosed in financial report under both foreign accounting rules

and Chinese GAAP (Generally Accepted Accounting Principles)

□ Applicable √ Not applicable

The Company had no difference of the net profit or net assets disclosed in financial report under either foreign accounting rules or

Chinese GAAP (Generally Accepted Accounting Principles) in the period.VI. Items and amounts of extraordinary profit (gains)/loss

√Applicable □ Not applicable

Unit: RMB/CNY

Item Amount Note

Governmental subsidy calculated into

current gains and losses(while closely

related with the normal business of the

Company the government subsidy that

1575990.30 The government subsidy

accord with the provision of national

policies and are continuously enjoyed in

line with a certain standard quota or

quantity are excluded)

Gains/losses of fair value changes arising

from holding of the trading financial

asset trading financial liability and

investment earnings obtained from

disposing the trading financial asset 6157679.97 Financial income

trading financial liability and financial

assets available for sale except for the

effective hedging business related to

normal operation of the Company

Other non-operating income and The leasing deposit transferred to non-

expenditure except for the 295569.76 operating income upon early surrender of

aforementioned items lease by the tenant

Gain/loss on transfer of equity 8785410.47

Less: Impact on income tax 4124792.46

Impact on minority shareholders’

232778.21

equity (post-tax)

Total 12457079.83

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&A Announcement

No.1 on Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss

□ Applicable √ Not applicable

-7-深圳市特力(集团)股份有限公司2022年半年度报告全文

There are no items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement

No.1 on Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss

-8-深圳市特力(集团)股份有限公司2022年半年度报告全文

Section III Management Discussion and Analysis

I. Main businesses of the Company during the reporting period

The main business of the Company during the reporting period was jewelry service business; commercial

operation management; sales testing and maintenance of motor vehicle and accessories sales.Jewelry service business: At present the integration of all subdivisions of the jewelry service business has achieved

initial results and the overall solution integrating the service contents of all subdivisions has gradually gained

market recognition. In the first half of 2022 the company invested in the establishment of a gold circulation platform

which aims to break through the bottleneck of domestic gold circulation solve the pain points of the gold circulation

industry standardize the industry service standards and further improve the company's layout in the gold jewelry

industry.Commercial operation management: In 2022 the effect of Tellus Gman Gold Jewelry Industrial Park on the Shuibei

jewelry industry continues to expand especially that the headquarters of leading enterprises in the jewelry industry

continue to gather in the park the occupancy rate and rental price level of the park have an advantage over those

around the park. As the largest owner of the park the company continuously improves the operation system

enhances service quality and seizes opportunities to actively expand customers. As the last Grade A office building

of the company Tellus Jinzuan Trading Building has achieved good results in preparatory investments attraction

despite the double strike of the pandemic and the poor prosperity of the jewelry industry.Automobile sales testing maintenance and parts sales: The company's automobile business is mainly operating

FAW Toyota 4S stores. Affected by the repeated and sporadic pandemics in Shenzhen the impact of new energy

vehicles and the late introduction of the regional subsidy policy for stores the new car sales volume decreased

slightly on a year-on-year basis.II. Core Competitiveness Analysis

1.Solidly promoted the third-party ecosystem construction of the jewelry which rapidly improved the company's

popularity and influence in the jewelry industry.Relying on the physical platform resources in the Shuibei area where the jewelry industry gathers the company

gives full play to the credit advantages of a state-owned listed company constantly tries to innovate business models

steadily promotes the implementation of transformation projects deeply penetrates into the jewelry industry chain

and enables the third-party business of jewelry to achieve leapfrog development. In 2019 Shenzhen Tellus Treasury

Supply Chain Tech. Co. Ltd. was established to carry out jewelry supply chain business which consolidated the

third-party service foundation for jewelry. Established Shenzhen Jewelry Industry Service Co. Ltd in 2020 to

-9-深圳市特力(集团)股份有限公司2022年半年度报告全文

provide services such as bonded exhibition bonded warehousing testingcustoms declaration logistics and

settlement which shall be built into a comprehensive element trading service platform with international influence

integrating jewelry raw materials and finished products exhibition spot trading identification design processing

e-commerce financial services insurance and so on. The successful operation of Shen Jewelry has been highly

recognized by the municipal and district governments and the customs in Shenzhen which has enhanced the

company's position in the jewelry industry chain. In 2021 the company established Shanghai Fanyue and realized

a closed loop of diamonds from the bonded display transactions to the general trade import. In the first half of 2022

the company invested in the establishment of a gold circulation platform - Guorun Gold (Shenzhen) Co. Ltd. which

further improved its layout in the gold jewelry industry. With the solid advancement of the strategic transformation

the company's ability and level to provide third-party jewelry services has been continuously improved and the

brand influence in the national jewelry industry chain has been significantly enhanced becoming the company's

core competitiveness.

2. Possess abundant property resources and provide stable business income and financial support

The Company is the largest owner of the Tellus Gman Gold Jewelry Industrial Park in the Shuibei area Tellus

Jewelry Building has been fully put into use and the construction project of the Tellus Jinzuan Trading Building is

progressing as planned. At the same time the company will construct an innovative industrial projects in Buxin area

that conform to the overall strategic layout of the city district and the Company through renovation. In addition the

Company has a large number of property resources in Luohu and Futian district of Shenzhen on the basis of

maintaining the stability of the original leasing business the company actively promotes the improvement of

property quality and transform its old properties from the traditional method of simple leasing to the direction of

property asset operation so as to fully enhance and tap the added value of the property brand bring stable business

income and cash flow to the company and provide a solid foundation for the company's long-term development.IV. Main business analysis

Overview

See the “I-Main businesses of the Company during the reporting period”

Change of main financial data on a y-o-y basis

Unit: RMB/CNY

Same period of last

Current period y-o-y changes (+-) Reasons

year

Operating revenue 250015152.23 249492261.24 0.21%

Operation costs 188344177.55 173313253.96 8.67%

Sales expense 10947318.15 12002312.02 -8.79%

Management expense 19832917.21 20807474.69 -4.68%

Decrease in interest

Financial expense -2701556.39 -404559.89 -567.78% costs there was an bond

interest from equity

-10深圳市特力(集团)股份有限公司2022年半年度报告全文

performance occurred

in the same period of

previous year

Decrease in operation

Income tax expense 10808747.89 11085413.51 -2.50%

profit

1.Rent reduction during

the epidemic; 2.final

settlement on income

Net cash flow arising

tax increased on a y-o-y

from operating -11318295.41 59571399.02 -119.00%

basis; 3. purchase

activities

payment from gold

supply chain increased

on a y-o-y basis

Net cash flow arising Investment in Tellus

from investment -29463885.19 69492791.58 -142.40% Jinzuan Trading

activities Building

Net cash flow arising

Loans of Tellus Jinzuan

from financing 18016923.17 20549625.24 -12.32%

Trading Building

activities

Mainly due to the

Net increase of cash investment in Tellus

-22764976.83149597036.39-115.22%

and cash equivalent Jinzuan Trading

Building

Major changes on profit composition or profit resources in reporting period

□ Applicable √ Not applicable

No major changes on profit composition or profit resources occurred in reporting period

Constitution of operating revenue

Unit: RMB/CNY

Current period Same period last year y-o-y changes (+-)

Amount Ratio in operation Ratio in operation revenue Amount revenue

Total operation

250015152.23100%249492261.24100%0.21%

revenue

According to industries

Auto sales 90748050.16 36.30% 95643935.09 38.34% -5.12%

Auto inspection

and maintenance 21877337.87 8.75% 23157150.81 9.28% -5.53%

and accessories

sales

Property rental and 89143718.75 35.66% 99013183.37 39.69% -9.97%

service

Jewelry wholesale

48246045.4519.30%31677991.9712.70%52.30%

and retails

According to products

Auto sales 90748050.16 36.30% 95643935.09 38.34% -5.12%

Auto inspection 21877337.87 8.75% 23157150.81 9.28% -5.53%

-11深圳市特力(集团)股份有限公司2022年半年度报告全文

and maintenance

and accessories

sales

Property rental and 89143718.75 35.66% 99013183.37 39.69% -9.97%

service

Jewelry wholesale

48246045.4519.30%31677991.9712.70%52.30%

and retails

According to region

Shenzhen 250015152.23 100.00% 249492261.24 100.00% 0.21%

The industries products or regions accounting for over 10% of the Company’s operating revenue or operating

profit

√Applicable □ Not applicable

Unit: RMB/CNY

Increase/decrea

Gross Increase/decrea Increase/decrea

se of gross

Operating revenue Operating cost profit se of operating se of operating

profit ratio y-o-

ratio revenue y-o-y cost y-o-y

y

According to industries

Auto sales 90748050.16 89009452.61 1.92% -5.12% -5.56% 0.46%

Auto inspection

and

maintenance 21877337.87 17913429.37 18.12% -5.53% 5.79% -8.76%

and accessories

sales

Property rental

89143718.7529683060.1366.70%-9.97%-0.84%-3.06%

and service

Jewelry

wholesale and 48246045.45 51738235.44 -7.24% 52.30% 60.71% -5.61%

retails

According to products

Auto sales 90748050.16 89009452.61 1.92% -5.12% -5.56% 0.46%

Auto inspection

and

maintenance 21877337.87 17913429.37 18.12% -5.53% 5.79% -8.76%

and accessories

sales

Property rental

89143718.7529683060.1366.70%-9.97%-0.84%-3.06%

and service

Jewelry

wholesale and 48246045.45 51738235.44 -7.24% 52.30% 60.71% -5.61%

retails

According to region

Shenzhen 250015152.23 188344177.55 24.67% 0.21% 8.67% -5.87%

-12深圳市特力(集团)股份有限公司2022年半年度报告全文

Under circumstances of adjustment in reporting period for statistic scope of main business data adjusted main business based on

latest one year’s scope of period-end

□ Applicable √ Not applicable

Reasons for y-o-y relevant data with over 30% changes

□ Applicable √ Not applicable

IV. Analysis of non-main business

√Applicable □ Not applicable

Unit: RMB/CNY

Whether be sustainable

Amount Ratio in total profit Note

(Y/N)

Investment income

from shareholding

Investment income 23487946.52 43.57% Y

enterprises and

financing income

Redeem the unmatured

Gain/loss of fair value wealth management

-617068.50 -1.14% Y

changes income at the end of

2021

The leasing deposit

transferred to non-

Non-operation revenue 295807.48 0.55% operating income upon N

early surrender of lease

by the tenant

Non-operation Disposal of the fixed

237.72 N

expenditure assets

V. Analysis of assets and liability

1. Major changes of assets composition

Unit: RMB/CNY

Current Period-end Year-end of last year Ratio Notes of

Ratio in total Ratio in total changes major

Amount Amount

assets assets (+-) changes

Monetary fund 219732744.23 11.55% 240582057.16 12.94% -1.39%

Account

55148362.832.90%18094059.920.97%1.93%

receivable

Contract assets 0.00

Inventory 27425910.86 1.44% 25434925.04 1.37% 0.07%

Investment real

541520365.7828.47%551383294.5429.65%-1.18%

estate

-13深圳市特力(集团)股份有限公司2022年半年度报告全文

Long-term

equity 81238655.05 4.27% 88310867.47 4.75% -0.48%

investment

Fix assets 112837946.28 5.93% 109438198.23 5.88% 0.05%

Construction in

261124333.5413.73%210197546.7211.30%2.43%

process

Right-of-use

6513372.330.34%7336915.830.39%-0.05%

assets

Short-term

0.00

loans

Contract

10168590.390.53%21059311.181.13%-0.60%

liability

Long-term

121670407.446.40%86875874.394.67%1.73%

loans

Lease liability 3963266.13 0.21% 4474543.09 0.24% -0.03%

Trading

422095775.3422.19%412712843.8422.19%0.00%

financial assets

Other account

115063036.776.05%112617963.656.06%-0.01%

payable

2. Main foreign assets

□Applicable √Not applicable

3. Assets and liability measured by fair value

√ Applicable □Not applicable

Unit: RMB/CNY

Changes of Accumulati

Opening fair value ve changes

Impairme

nt accrual Amount of Amount of Other Items amount gains/losses of fair value

Ending

in this reckoned in the

purchase in sale in the change

Period the period period s

amount

period into equity

Financial

assets

1.Trading

financial

assets

41271284692000000.068200000042209577

(excluding -617068.50

3.840.005.34

derivative

financial

assets)

2. Other

equity 10176617. 10176617.instruments 20 20

Investment

42288946692000000.068200000043227239

Above total -617068.50

1.040.002.54

-14深圳市特力(集团)股份有限公司2022年半年度报告全文

Financial

0.000.00

liabilities

Whether there have major changes on measurement attributes for main assets of the Company in report period or not

□ Yes √No

4. Right of the assets restrained till end of the Period

As of 30 June 2022the Company’s right to use of monetary funds under restrictions is 27188802.59 Yuan which is the supervision

fund paid by the Company to Luohu District Urban Renewal Bureau of Shenzhen for the land plot 03 project of the upgrading project

of Tellus-Gman Gold Jewelry Industrial Park. The monetary funds with restricted use rights at the end of last year were 26926471.3

Yuan.VI. Investment analysis

1. Overall situation

√Applicable □Not applicable

Investment amount in the period (Yuan) Investment amount at same period of last year (Yuan) Changes (+-)

50926786.8234159982.9449.08%

2. The major equity investment obtained in the reporting period

□Applicable √ Not applicable

3. The major on-going non-equity investment in the reporting period

□ Applicable √ Not applicable

4. Financial assets investment

(1) Securities investment

□ Applicable √ Not applicable

The Company has no securities investment during the reporting period

(2) Derivative investment

□ Applicable √ Not applicable

The Company has no derivative investment during the reporting period

5. Application of raised proceeds

□ Applicable √ Not applicable

The Company has no application of raised proceeds during the reporting period

-15深圳市特力(集团)股份有限公司2022年半年度报告全文

VII. Sales of major assets and equity

1. Sales of major assets

□ Applicable √ Not applicable

The Company had no major assets were sold during the reporting period

2. Sales of major equity

□ Applicable √ Not applicable

VIII. Analysis of main holding Company and stock-jointly companies

√ Applicable □ Not applicable

Main subsidiary and participating companies with an impact of 10% or more on the Company’s net profit

Unit: RMB/CNY

Company Main Register Operating

Type Total assets Net assets Operating profit Net profit

name business capital revenue

Shenzhen

Auto Sales of RMB

Subsidia 465053209.6 416366405 1570764

Industry and auto and 58.96 19441350.65 16777366.31

ry 2 .43 0.85

Trade accessories million

Corporation

Auto

Shenzhen

maintenance

SDG Huari

Subsidia and USD 5 33840302. 1868899

Auto 78933844.98 2577906.29 179232.25

ry production million 05 2.55

Enterprise

and sales of

Co. Ltd.accessories

Shenzhen

RMB

Zhongtian Subsidia Property 602461949.9 476881625 4920671

366.221927672928.1020579654.24

Industrial ry rental 9 .27 8.02

million

Co. Ltd.Shenzhen

Huari

Toyota Subsidia RMB 2 10077189. 1128312

Auto sales 80858425.20 -1082890.12 -1107237.10

Automobile ry million 17 30.57

Sales Co.Ltd

Shenzhen Manufactur

Xinyongton e of RMB

Subsidia 476881625 1978661.g inspection 19.61 18230660.84 246142.59 425092.64

ry .27 48

Automobile equipment million

Testing for motor

-16深圳市特力(集团)股份有限公司2022年半年度报告全文

Equipment vehicle

Co. Ltd.Shenzhen

Tellus

Inspection

Xinyongton RMB

Subsidia and repair 465053209.6 416366405 3804172.g 32.90 1770815.60 1328111.70

ry of motor 2 .43 09

Automobile million

vehicle

Developme

nt Co. Ltd.Shenzhen

Tellus

Subsidia Property RMB 14 16276419. 1946741.Chuangying 19641733.15 691689.07 943286.42

ry rental million 15 82

Technology

Co. Ltd.Purchase

sales and

leasing of

Shenzhen

gold jewelry

Tellus

and precious

Treasury Subsidia RMB 50 21716113. 4436281

metal 51319457.05 -585503.44 -585503.44

Supply ry million 28 8.87

products

Chain Tech.coffer lease

Co. Ltd.and

warehousin

g services

Jewellery

fair

planning

Shenzhen jewellery on

Jewelry consignmen

Subsidia RMB 100 21716113. 3883226.Industry t exhibition 51319457.05 -3096012.15 -3096012.15

ry million 28 58

Service Co. planning

LTD conference

services and

marketing

planning

Shenzhen

Joint

Zung Fu Car sales

stock RMB 30 213898319.5 74875538. 4932266

Tellus Auto and -4851019.23 -3318473.42

Compan million 6 99 17.42

Service Co. maintenance

y

Ltd.Shenzhen Joint Investment RMB

387370319.781703870.5132765

Tellus stock in industry 123.70496 20859078.84 17478284.13

1608.48

Gman Compan property million

-17深圳市特力(集团)股份有限公司2022年半年度报告全文

Investment y managemen

Co. Ltd. t and leasing

Particular about subsidiaries obtained or disposed in report period

√ Applicable □ Not applicable

Way to obtained and dispose in the Impact on overall operation and

Name

Period performance

The subsidiary was incorporated on June

Guorun Gold (Shenzhen) Co. Ltd. Newly established 28 and has no impact on results of the

performance during the reporting period

IX Structured vehicle controlled by the Company

□ Applicable √ Not applicable

X. Risks of the Company and countermeasures

1. Risk from market volatility

Affected by international situation epidemic in and out of China and other factors domestic economic growth is

slowing down the pressure of industrial restructure is increasing; outbreaks of COVID-19 recurs from time to time

causing a significant impact on the economic development the overall economic environment brings uncertain

impact on the Company’s operation.Countermeasures: in response to this risk the company will actively take various preventive measures. Firstly

reinventing the main line of management improve efficiency through scientific management tap the potential to

increase revenue and comprehensively improve the profitability of the original business; secondly firmly promote

the pace of strategic transformation driving the transformation through innovative business models; exploit the

incremental markets expanding business scale and finding new profit growth points and continuously enhance the

market influence of the Company providing a favorable foundation for the long-term stable development of the

Company.

2. Risks of transformation restricted by talent shortage

During the period of enterprise transformation and development with the rapid expansion of new business scale

enterprises have an increasing demand for all kinds of talents whether technical or management talents. However

the existing talent team is gradually unable to meet the requirements of development.Countermeasures: formulate “top-down” talent training goals and establish “bottom-up” talent training plans.Formulate talent training and introduction plans combine with the third-party strategy of jewelry and the talent

training cycle so that the talent training plan and the enterprise development strategy are “in harmony”. Establish

unselfish diligent and truth-seeking work style improve cohesion and execution and ensure the stability of

enterprise transformation.-18深圳市特力(集团)股份有限公司2022年半年度报告全文

Section IV Corporate Governance

I. AGM(Annual General Meeting) and extraordinary general meeting

1. AGM held in the period

Ratio of investor

Session of meeting Type Meeting Date Date of disclosure Resolutions

participation

Found more in

Resolution of the

Annual General

Meeting of 2021

(Notice No.: 2022-

016) released on

Annual General

AGM 60.77% 2022-04-29 2022-04-30 Securities Times

Meeting of 2021

Hong Kong

Commercial Daily

and Juchao

Website

(www.cninfo.com.cn)

2. Request for extraordinary general meeting by preferred stockholders whose voting rights restore

□Applicable √Not applicable

II. Changes of directors supervisors and senior executives

√Applicable □Not applicable

Name Working status Type Date Causes

Yang Resigned as a Director of the Company for

Director Leaving office 2022-03-29

Hongyu work reasons

Elected as the Director of the 10th BOD of

Yang Xi Director Elected 2022-04-29 the Company at the second formal meeting

of 10th BOD and AGM of 2021

Resigned as a Director of the Company for

Gu Zhiming Director Leaving office 2022-05-20

work reasons

III. Profit distribution plan and capitalizing of common reserves in the period

□ Applicable √ Not applicable

The Company plans not to distributed cash dividends and there are no bonus shares and capitalizing of common

reserves either for the first half of the year.-19深圳市特力(集团)股份有限公司2022年半年度报告全文

IV. Implementation of the Company’s stock incentive plan employee stock ownership plan or

other employee incentives

□Applicable √ Not applicable

During the reporting period the Company has no stock incentive plan employee stock ownership plan or other

employee incentives that have not been implemented.-20深圳市特力(集团)股份有限公司2022年半年度报告全文

Section V Environmental and Social Responsibility

I. Major environmental protection

Listed Company and its subsidiary belong to the key pollution enterprise listed by Department of Environmental

Protection

□Yes √No

Measures taken to reduce the carbon emission during the reporting period and their effectiveness

□Applicable √ Not applicable

II. Social responsibility

The Company has always been committed to repaying shareholders achieving employees’ value and contributing

to the society. Based on the principle of fairness the company actively safeguarded the legitimate rights and interests

of shareholders; advocated realizing self-worth while realizing corporate value created an enterprise atmosphere in

which the company cares for employees employees love the company and develop harmoniously together; actively

repaid the society and the public and fulfilled the responsibility of a state-owned enterprise donated living

materials to the community implementing the rental reduction and relief policies of the Shenzhen Municipal

Government and the Municipal SASAC to help the tenants cross difficult times; meanwhile during the tough time

of the epidemic in Shenzhen three employees were sent to participate in the anti-epidemic works on a full-time

basis organize volunteers from the Company to participate in many community works of epidemic prevention and

control.-21深圳市特力(集团)股份有限公司2022年半年度报告全文

Section VI Important Event

I. Commitments that the actual controller shareholders related party buyers and the Company have

fulfilled during the reporting period and those that have been overdue as of the end of the reporting period

√Applicable □Not applicable

Type

of Comm Comm Imple

Commitmen Commitm

comm Content of commitments itment itment mentat

ts ent party

itment date term ion

s

The commitments to the fulfillment of information disclosure

about the Company business development are as follows: except

Commitmen

Shenzhen for the information has been disclosed publicly the Company has

ts make in Imple

Tellus not had the disclosed information about asset acquisition and 2014- Long-

initial public Other menti

Holding business development that has not been disclosed within one year. 10-17 term

offering or ng

Co. Ltd. In the future the Company shall timely accurately and adequately

re-financing

disclose the relevant information according to the progress of new

business and the related requirements.In order to avoid the horizontal competition the Company’s

controlling shareholder Shenzhen Special Development Group

OtherShenzhen Co. Ltd. has issued the “commitment letter about the avoidancecommitment HorizSpecial of horizontal competition” on May 26 2014. The full commitment Imple

s for ontal 2014- Long-

Developm letter is as follows: 1. The Company and other enterprises menti

medium and Comp 05-26 term

ent Group controlled by the Company except Tellus Group haven’t occupied ng

small etition

Co. Ltd. in any business that could substantially compete with the main

shareholders

businesses of Tellus Group and have no horizontal competition

relationship with Tellus Group.From 2020 to 2022 the Company’s profits will first be used to

cover the losses of previous years; after making up for losses of

previous years in the premise that the Company’s profits and cash

flow can meet the Company's normal operations and long-term

development reward shareholders the Company will implement

Other

positive profit distribution approaches to reward the shareholders

commitment Shenzhen Divide

details are as follows: 1. The Company’s profit distribution can Imple

s for Tellus nd 2021- 2022-

adopt cash stock or the combination of cash and stock or other menti

medium and Holding comm 04-24 12-31

methods permitted by law. The foreign currency conversion rates ng

small Co. Ltd. itment

of domestically listed foreign shares dividend are calculated

shareholders

according to the standard price of HK dollar against RMB

announced by People's Bank of China on the first working day

after the resolution date of the shareholders' meeting. The

Company prefers to adopt the cash dividends to distribute profits.In order to maintain the adaptability between capital expansion

-22深圳市特力(集团)股份有限公司2022年半年度报告全文

and performance growth in the premise of ensuring the full cash

dividend distributions and the rationality of equity scale and

equity structure the Company can adopt the stock dividend

methods to distribute profits. 2. According to the "Company Law"

and other relevant laws and the provisions of the Company’s

"Articles of Association" following conditions should be satisfied

when the Company implements cash dividends: (1) the

Company's annual distributable profits (i.e. the after-tax profits

after making up for losses and withdrawing accumulation funds)

are positive value the implementation of cash dividends will not

affect the Company's subsequent continuing operations; (2) the

audit institution issues the standard audit report with clean opinion

to the Company's annual financial report; (3) the Company has no

significant investment plans or significant cash outlay (except for

fund-raising projects). Major investment plans or significant cash

outlay refer to: the accumulated expenditures the Company plans

to used for investments abroad acquisition of assets or purchase

of equipment within the next 12 months reach or exceed 30% of

the net assets audited in the latest period. 3. In the premise of

meeting the conditions of cash dividends and ensuring the

Company’s normal operation and long-term development the

Company makes cash dividends once a year in principle the

Company’s board of directors can propose the Company to make

interim cash dividends in accordance with the Company's

profitability and capital demand conditions. The proportion of

cash dividends in profits available for distribution and in

distribution of profits should meet the following requirements: (1)

in principle the Company’s profits distributed in cash every year

should not be less than 10% of profit available for distribution

realized in the same year and the Company’s profits

accumulatively distributed in cash in the last three years should

not be less than 30% of the annual average profit available for

distribution realized in the last three years. (2) if the Company’s

development stage belongs to mature stage and there is no

significant capital expenditure arrangement when distributing

profits the minimum proportion of cash dividends in this profit

distribution should be 80%; (3) if the Company’s development

stage belongs to mature stage and there are significant capital

expenditure arrangements when distributing profits the

minimum proportion of cash dividends in this profit distribution

should be 40%; (4) if the Company’s development stage belongs

to growth stage and there are significant capital expenditure

arrangements when distributing profits the minimum proportion

of cash dividends in this profit distribution should be 20%; when

-23深圳市特力(集团)股份有限公司2022年半年度报告全文

the Company's development stage is not easy to be differed but

there are significant capital expenditure arrangements please

handle according to the preceding provisions. 4. On the condition

of meeting the cash dividend distribution if the Company's

operation revenue and net profit grow fast and the board of

directors considers that the Company’s equity scale and equity

structure are reasonable the Company can propose and implement

the dividend distribution plans except proposing the cash dividend

distribution plans. When allocating stock dividend every time the

stock dividend per 10 shares should be no less than 1 share. Stock

allocation can be implemented individually or in combination of

cash dividends. When confirming the exact amount of profit

distribution by stock the Company should fully consider if the

general capital after profit distribution by stock matches with the

Company’s current operation scale and profit growth rate and

consider the impact on future financing so as to make sure the

allocation plans meet the overall interests of all shareholders.Completed

on time Y

(Y/N)

As for the

commitment

out of the

commitment

time Not applicable

explain the

specific

reasons and

further plans

II. Non-operational fund occupation from controlling shareholders and its related party

□ Applicable √ Not applicable

No non-operational fund occupation from controlling shareholders and its related party in period.III. Guarantee outside against the regulation

□Applicable √Not applicable

No guarantee outside against the regulation in Period.IV. Appointment and non-reappointment (dismissal) of CPA

Whether the semi-annual financial report had been audited

-24深圳市特力(集团)股份有限公司2022年半年度报告全文

□Yes √ No

The semi-annual report was not audited

V. Explanation on “Qualified Opinion” from CPA by the Board and Supervisory Committee

□Applicable √Not applicable

VI. Explanation from the Board for “Qualified Opinion” of last year’s

□Applicable √Not applicable

VII. Bankruptcy reorganization

□Applicable √Not applicable

No bankruptcy reorganization in Period.VIII. Lawsuits

Material lawsuits and arbitration

□Applicable √Not applicable

There were no material lawsuits and arbitration during the reporting period

Other lawsuits

√ Applicable □ Not applicable

Amount Advanc

The basic of money Predicte es in

Execution of the Discl

situation of involved d litigatio The results and effects of Disclosure

litigation osure

litigation (in 10 liabilitie n litigation (Arbitration) index

(Arbitration) date

(Arbitration) thousand s (Y/N) (Arbitrat

Yuan) ion)

Jintian Company should 400800 yuan has

pay the company 325000 been paid back

yuan in cash and 427604 (including 325000The “AnnualA-shares and 163886 B- yuan in cash as

Disputes Report of

shares of Jintian Company determined in theover 2021”

Enforce within five days after the judgment and a total

guarantee 2022- released on

32.5 N ment judgment takes effect (If of 75800 yuan in

rights of 04-08 Juchao

stage the stock cannot be cash such as B-shares

recovery Website

delivered it can be paid converted to cash

(Jintian) (www.cninfo.after being converted to preservation fees

com.cn)

cash at the stock market delayed performance

price on the last day of the fees etc.) and

performance period). 427604 A-shares

-25深圳市特力(集团)股份有限公司2022年半年度报告全文

Jintian Company failed to have been transferred

perform its obligations to the account

determined in the judgment designated by the

in a timely manner and the court we are now

company filed an waiting for the

application for compulsory Qianhai Court to

execution with the court. transfer the aforesaid

funds and stocks to

the Company.Dispute over The “Noticethe on Receipt of

shareholder The company has received the Civil

qualification the first-instance judgment Judgment of

confirmation on June 30 2022. The the first

(Japan judgment confirmed that Instance by

Chukyo Auto the plaintiffs Chukyo the Company

Corp(日本國 Company and ACU and its

中京自動車 Company are the controllingshareholders of the subsidiary”(

株式會 Second

defendant SDG Huari. The No implementation 2022- Notice No.:

社)ACU 19.84 N stage of

case acceptance fee of involved at this time 07-02 2022-035)

Enterprise trial

99200 yuan shall be borne released on

Inc.(ACU 企

by the defendant SDG Securities

業株式會 Huari. Now SDG Huari Times Hong

社)filed a has appealed and paid the Kong

lawsuit in legal fees and is waiting Commercial

court to for the second trial to be Daily and

confirm their scheduled for hearing. Juchao

shareholder Website

status in (www.cninfo.SDG Huari) com.cn)

The court ruled that the As of June 2022 the

Letter of Agreement and company has

the Supplementary Change recovered all the

Agreement on Issues such properties involved

Housing as Rent Collection of Street in the case and

Enforce

lease contract Stores on Tellus North received the

30.54 N ment

dispute (Mao Road between Mao execution payment of

stage

Zhexiang) Zhexiang and the company 283383.45 yuan and

are terminated from the remaining

January 31 2020; Mao payment (interest of

Zhexiang should vacate the about 22000 yuan) is

street stores involved in the being executed. On

-26深圳市特力(集团)股份有限公司2022年半年度报告全文

case and hand over to the June 24 2022 the

company and pay Tellus Luohu Court issued a

Holding the possession and high consumption

use fee by 12498 yuan per restriction order to

month from May 1 2020 to Mao Zhexiang.the date of the actual return

of the street shop involved

in the case. Mao Zhexiang

did not take the initiative to

perform his obligations

and Tellus Holding applied

for compulsory execution.Construction

Contract The Company received the

Dispute first trial decision on

(Shenzhen December 17 2021 which

Lvcheng ruled that the Company and

Eco- Second Yinglong Company pay

No implementation

Development 51.59 N stage of 503000 yuan principal and

involved at this time

Co. Ltd trial interest to Lvcheng

Shenzhen Company together. Now

Yinglong the Company has appealed

Jian’an and awaits the second trial

(Group) Co. hearing and verdict

Ltd.)

The court ruled that the

defendant Shenzhen SDG

Tellus Real Estate Co. Ltd

should survey and draw the

house property at Room

Dispute on

502 Building 4 Tellus

Sales

Garden purchased by Liu

Contract of

Judgme Dan the plaintiff within

Commercial Has cooperated with

nt one month after judgment

Property (Liu the plaintiff to stamp

0.02 N satisfact came into effect the sheet

Dan on licensing

ion number is 481614010029.Shenzhen documents

stage Provide relevant

SDG Tellus

information required for

Real Estate

applying for the house

Co. Ltd.)

property certificate for

Room No.529 of the house.The case acceptance fee of

200 yuan shall be borne by

the defendant Shenzhen

-27深圳市特力(集团)股份有限公司2022年半年度报告全文

SDG Tellus Real Estate

Co. Ltd. Because the

implementation of the case

is clear the company does

not need to bear the

corresponding

responsibility it plans to no

longer appeal. In June the

company has cooperated

with the plaintiff to stamp

on the documents for

applying for a certificate.IX. Penalty and rectification

□ Applicable √Not applicable

X. Integrity of the Company and its controlling shareholders and actual controllers

□ Applicable √Not applicable

XI. Major related transaction

1. Related transaction with routine operation concerned

√ Applicable □ Not applicable

Relate Whet

Tradi

d Propo her Cleari

ng

Type Conte transa rtion over ng Availa

Relate limit

of nt of Pricin ction in the form ble Date Index

Relate Relati d appro

relate relate g amou simila appro for simila of of

d onshi transa ved

d d princi nt (in r ved relate r disclo disclo

party p ction (in 10

transa transa ple 10 transa limite d marke sure sure

price thousa

ction ction thousa ctions d or transa t price

nd

nd (%) not ction

Yuan)

Yuan) (Y/N)

Shenz Direct Settle

hen or/Su ment

Routi Provi

Zung pervis Refer accor

ne ding

Fu or/ SE ence ding

relate proper 259.5 259.5 259.5

Tellus serves to 2.61% 545 N to

d ty 2 2 2

Auto direct marke contra

transa leasin

Servic or of t price ct or

ctions g

e Co. the agree

Ltd. Comp ment

-28深圳市特力(集团)股份有限公司2022年半年度报告全文

any

Shenz

hen Settle

SDG Subsi ment

Routi Provi

Tellus diary Refer accor

ne ding

Prope of the ence ding

relate proper

rty contro to 1.52 1.52 0.02% 14 N to 1.52

d ty

Mana lling marke contra

transa leasin

geme shareh t price ct or

ctions g

nt older agree

Co. ment

Ltd.Provi

ding Settle

Shenz Subsi proper ment

Routi

hen diary ty Refer accor

ne

SDG of the leasin ence ding

relate

Petty contro g and to 65.41 65.41 0.66% 140 N to 65.41

d

Loan lling mana marke contra

transa

Co. shareh geme t price ct or

ctions

Ltd. older nt agree

servic ment

e

Jewelr

Settle

y Park Sub-

ment

Branc subsid Routi Provi

Refer accor

h of iary ne ding

ence ding

Shenz of relate proper 110.8 110.8 110.8

to 1.11% 180 N to

hen contro d ty 3 3 3

marke contra

SDG lling transa leasin

t price ct or

Servic shareh ctions g

agree

e Co. older

ment

Ltd.Recei

Jewelr

ve Settle

y Park Sub-

servic ment

Branc subsid Routi

e of Refer accor

h of iary ne

cleani ence ding

Shenz of relate 523.6 523.6 47.83 523.6

ng to 36 N to

hen contro d 2 2 % 2

and marke contra

SDG lling transa

greeni t price ct or

Servic shareh ctions

ng agree

e Co. older

and ment

Ltd.renov

-29深圳市特力(集团)股份有限公司2022年半年度报告全文

ation

Shenz

hen Accep Settle

SDG Subsi ting ment

Routi

Tellus diary proper Refer accor

ne

Prope of the ty ence ding

relate 152.9 152.9 152.9

rty contro mana to 0.81% 1570 N to

d 1 1 1

Mana lling geme marke contra

transa

geme shareh nt t price ct or

ctions

nt older servic agree

Co. e ment

Ltd.

1113.

Total -- -- -- 2485 -- -- -- -- --

81

Detail of sales return with major

N/A

amount involved

Report the actual implementation

of the normal related transactions

which were projected about their Performing normally

total amount by types during the

reporting period (if applicable)

Reasons for major differences

between trading price and market Not applicable

reference price (if applicable)

2. Related transactions by assets acquisition and sold

□ Applicable √ Not applicable

No related transactions by assets acquisition and sold for the Company in reporting period

3. Main related transactions of mutual investment outside

□ Applicable √ Not applicable

No main related transactions of mutual investment outside for the Company in reporting period

4. Contact of related credit and debt

□ Applicable √ Not applicable

Whether has non-operational contact of credit and debts or not

□Yes √No

There was no non-operational contact of credit and debts during the reporting period

-30深圳市特力(集团)股份有限公司2022年半年度报告全文

5. Contact with the related finance companies

□ Applicable √ Not applicable

There are no deposits loans credits or other financial business between the Company and the finance companies

with related relationships or between the related parties

6. Contact with the finance companies controlled by the Company and related parties

□ Applicable √ Not applicable

There are no deposits loans credits or other financial business between the finance companies controlled by the

Company and related parties

7. Other related transactions

□Applicable √Not applicable

No other related transaction in Period

XII. Significant contract and implementations

1. Trusteeship contract and leasing

(1) Trusteeship

□ Applicable √ Not applicable

No trusteeship for the Company in reporting period

(2) Contract

□ Applicable √ Not applicable

No contract for the Company in reporting period

(3) Leasing

□ Applicable √ Not applicable

No leasing for the Company in reporting period

2. Major guarantees

√ Applicable □ Not applicable

In 10 thousand Yuan

Particulars about the external guarantee of the Company and its subsidiary (Barring the guarantee for subsidiaries)

Name of Related Guarante Actual Actual Guarante Collatera Counter Guarante Impleme Guarante

-31深圳市特力(集团)股份有限公司2022年半年度报告全文

the Announc e limit date of guarante e type l (if any) guarante e term nted e for

Compan ement happenin e limit e (if any) (Y/N) related

y disclosur g party

guarante e date (Y/N)

ed

Shenzhe

To the

n Zung

expire

Fu

2014-09- 2007-04- date of

Tellus 3500 3500 Pledge N Y

30 17 joint

Auto

venture

Service

contract

Co. Ltd.Total approving Total actual occurred

external guarantee in 0 external guarantee in 3500

report period (A1) report period (A2)

Total approved Total actual balance

external guarantee at of external guarantee

35003500

the end of report at the end of report

period (A3) period (A4)

Guarantee of the Company to subsidiaries

Name of

Related Guarante

the Actual

Announc Actual Counter Impleme e for

Compan Guarante date of Guarante Collatera Guarante

ement guarante guarante nted related

y e limit happenin e type l (if any) e term

disclosur e limit e (if any) (Y/N) party

guarante g

e date (Y/N)

ed

Guarantee of the subsidiaries to subsidiaries

Name of

Related Guarante

the Actual

Announc Actual Counter Impleme e for

Compan Guarante date of Guarante Collatera Guarante

ement guarante guarante nted related

y e limit happenin e type l (if any) e term

disclosur e limit e (if any) (Y/N) party

guarante g

e date (Y/N)

ed

Total amount of guarantee of the Company (total of three above mentioned guarantee)

Total amount of Total amount of

approving guarantee actual occurred

3500

in report period guarantee in report

(A1+B1+C1) period (A2+B2+C2)

Total amount of Total balance of

approved guarantee actual guarantee at

35003500

at the end of report the end of report

period (A3+B3+C3) period (A4+B4+C4)

The proportion of the total amount of 2.39%

-32深圳市特力(集团)股份有限公司2022年半年度报告全文

actually guarantee in the net assets of the

Company (that is A4+ B4+C4)

Including:

3. Trust financing

√ Applicable □ Not applicable

In 10 thousand Yuan

Impairment for the

Type Capital resources Amount for entrust Outstanding Amount overdue balance for collection overdue financial management

Bank financing

product Own funds 70000 42100 0 0

Total 70000 42100 0 0

Details of the single major amount or high-risk trust investment with low security poor fluidity and non-guaranteed

□Applicable √Not applicable

Entrust financial expected to be unable to recover the principal or impairment might be occurred

□Applicable √Not applicable

4. Other material contracts

□ Applicable √ Not applicable

No other material contracts for the Company in reporting period.XIII. Description of other significant matters

√ Applicable □ Not applicable

Resolved by the 4th interim Meeting of 10th BOD the Company cooperated with Shenzhen HTI Chow Tai Fook

Jewelry Culture Industrial Park (Wuhan) Co. Ltd to jointly invest in the establishment of an enterprise of a goldflow platform the project has 200 million yuan in total for the investment. Found more on the “Notice on Investmentof a Gold Flow Platform” (Notice No.: 2022-027) released on Securities Times Hong Kong Commercial Daily and

Juchao Website (www.cninfo.com.cn) dated June 15 2022. The gold flow platform company has been registered

presently and will carry out business gradually.XIV. Important event of the subsidiaries

√ Applicable □ Not applicable

Due to the expiry of business term under the name of controlling subsidiary - Shenzhen SDG Huari Auto Enterprise

Co. Ltd the Company is advancing the follow-up matters of the expiration of business term of SDG Huari in line

with the laws and regulations. The business premises of Shenzhen Huari Toyota Auto Sales Service Co. Ltd-

controlling subsidiary of the Company is the property owned by SDG Huari due to the risks of liquidation of SDG

Huari the Company is in-depth studying the future director of Huari Toyota. In addition SDG Huari appealed

against the first instance judgment in the dispute over the confirmation of shareholder qualification and SDG Huari

-33深圳市特力(集团)股份有限公司2022年半年度报告全文has filed an appeal in accordance with the law. Found more in the “Informative Notice on Expiration of the BusinessTerm of Controlling Subsidiary” (Notice No.: 2022-030) “Notice on Response to the Concern Letter of ShenzhenStock Exchange” (Notice No.: 2022-032) “Receipt of the Civil Judgment of the First Instance by the Company andits Controlling Subsidiary” (Notice No.: 2022-035) “Notice on Expiration of the Business Term of ControllingSubsidiary” (Notice No.: 2022-038) and “Progress of Litigation of the Controlling Subsidiary” (Notice No.: 2022-

039) released on Securities Times Hong Kong Commercial Daily and Juchao Website (www.cninfo.com.cn) dated

June 22 2022 June 29 July 2 and July 29 respectively. In view of the fact that SDG Huari is still involved in

litigation and the related matters with SDG Huari concerned are uncertain in the short term the Company will

through all legal means to protect the interest of majority investors claim the rights and interest of the Company

and will pay close attention to the subsequent progress of the matters and timely compliance with the information

disclosure obligations.-34深圳市特力(集团)股份有限公司2022年半年度报告全文

Section VII. Changes in Shares and Particulars about Shareholder

I. Changes in Share Capital

1. Changes in Share Capital

Unit: share

Before change Increase/decrease in this time (+ - ) After change

New Capitaliza

Amount Ratio shares Bonus tion of

issued share public

Other Subtotal Amount Ratio

reserve

I.Restricted 0 0.00% 0 0 0 0 0 0 0.00%

shares

1. State

holding 0 0.00% 0 0 0 0 0 0 0.00%

2. State-

owned

corporatio 0 0.00% 0 0 0 0 0 0 0.00%

n shares

3. Other

domestic 0 0.00% 0 0 0 0 0 0 0.00%

shares

Including:

domestic

legal 0 0.00% 0 0 0 0 0 0 0.00%

person’s

shares

Domestic

natural 0 0.00% 0 0 0 0 0 0 0.00%

person’s

shares

4. Foreign

er’s 0 0.00% 0 0 0 0 0 0 0.00%

shares

Including:

foreign

corporatio 0 0.00% 0 0 0 0 0 0 0.00%

n shares

Foreign

natural 0 0.00% 0 0 0 0 0 0 0.00%

person’s

shares

II. Un-

restricted 4310583 4310583100.00% 0 0 0 0 0 100.00%

shares 20 20

1. RMB

ordinary 3927783 392778391.12% 0 0 0 0 0 91.12%

shares 20 20

2.

Domestic

ally listed 3828000 38280008.88% 0 0 0 0 0 8.88%

foreign 0 0

shares

2. Foreign

shares 0 0.00% 0 0 0 0 0 0 0.00%

listed

-35深圳市特力(集团)股份有限公司2022年半年度报告全文

aboard

3. Other 0 0.00% 0 0 0 0 0 0 0.00%

III. Total 4310583 4310583

shares 100.00% 0 0 0 0 0 100.00% 20 20

Reasons for share changed

□ Applicable √ Not applicable

Approval of share changed

□ Applicable √ Not applicable

Ownership transfer of share changed

□ Applicable √ Not applicable

Progress of shares buy-back

□ Applicable √ Not applicable

Implementation progress of reducing holdings of shares buy-back by centralized bidding

□ Applicable √ Not applicable

Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common

shareholders of Company in latest year and period

□ Applicable √ Not applicable

Other information necessary to disclose or need to disclosed under requirement from security regulators

□ Applicable √ Not applicable

2. Changes of lock-up stocks

□ Applicable √ Not applicable

II. Securities issuance and listing

□ Applicable √ Not applicable

III. Amount of shareholders of the Company and particulars about shares holding

Unit: share

Total common stock Total preference shareholders with voting

shareholders in reporting 73270 rights recovered at end of reporting period (if 0

period-end applicable) （see note 8）

Particulars about common shares held above 5% by shareholders or top ten common shareholders

Amount of Amount Information of

Amount of

Full name common of shares pledged

Proportion common

of Nature of shares held at Changes in restricted tagged or frozen

of shares shares held

Shareholde shareholder the end of report period common

held without State of

rs reporting shares Amount

restriction share

period held

Shenzhen

Special State-

Developme owned 49.09% 211591621 0 0 211591621 0

nt Group corporation

Co. Ltd.-36深圳市特力(集团)股份有限公司2022年半年度报告全文

Shenzhen

Capital

Fortune Domestic

Jewelry non state-

10.89%46923432-86210050469234320

Industry owned

Investment corporate

Enterprise

(LP)

Domestic

Li

nature 0.60% 2607800 2607800 0 2607800 0

Xiaoming

person

GUOTAIJ

UNANSEC

URITIES( Foreign

0.40%1744491-112055017444910

HONGKO corporation

NG)LIMIT

ED

Industrial

and

Commercia

l Bank of

China -

China

Southern 0.39% 1663775 1663775 0 1663775 0

CSI Index

Real Estate

Traded

Open-

ended

Index Fund

Huatai State-

Securities owned 0.32% 1382458 1382458 0 1382458 0

Co. Ltd. corporation

Foreign

UBS AG 0.30% 1309975 1309975 0 1309975 0

corporation

Domestic

Li Hao nature 0.30% 1300241 1300241 0 1300241 0

person

Domestic

Gao Bo nature 0.23% 1000000 1000000 0 1000000 0

person

Domestic

Lin Haizhi nature 0.19% 809766 809766 0 809766 0

person

-37深圳市特力(集团)股份有限公司2022年半年度报告全文

Strategy investor or

general legal person

becoming the top 10

N/A

common shareholders by

placing new shares (if

applicable) (see note 3)

Among the top ten shareholders there exists no associated relationship between the state-owned legal

Explanation on associated person’s shareholders SDG Ltd and other shareholders and they do not belong to the persons acting

relationship among the in concert regulated by the Management Measure of Information Disclosure on Change of

aforesaid shareholders Shareholding for Listed Companies. For the other shareholders of circulation share the Company is

unknown whether they belong to the persons acting in concert.Description of the above

shareholders in relation to

delegate/entrusted voting Not applicable

rights and abstention from

voting rights.Special note on the

repurchase account among

N/A

the top 10 shareholders (if

applicable) (see note 11)

Particular about top ten shareholders with un-lock up common stocks held

Amount of common shares held without restriction Type of shares

Shareholders’ name

at Period-end Type Amount

Shenzhen Special

Development Group Co. 211591621 RMB common shares 211591621

Ltd.Shenzhen Capital Fortune

Jewelry Industry

46923432 RMB common shares 46923432

Investment Enterprise

(LP)

Li Xiaoming 2607800 RMB common shares 2607800

GUOTAIJUNANSECURI

Domestically listed

TIES(HONGKONG)LIM 1744491 1744491

foreign shares

ITED

Industrial and

Commercial Bank of

China -China Southern

1663775 RMB common shares 1663775

CSI Index Real Estate

Traded Open-ended Index

Fund

Huatai Securities Co. Ltd. 1382458 RMB common shares 1382458

UBS AG 1309975 RMB common shares 1309975

Li Hao 1300241 RMB common shares 1300241

Gao Bo 1000000 RMB common shares 1000000

-38深圳市特力(集团)股份有限公司2022年半年度报告全文

Lin Haizhi 809766 RMB common shares 809766

Expiation on associated

relationship or consistent

Among the top ten shareholders there exists no associated relationship between the state-owned legal

actors within the top 10

person’s shareholders SDG Ltd and other shareholders and they do not belong to the persons acting

un-lock up common

in concert regulated by the Management Measure of Information Disclosure on Change of

shareholders and between

Shareholding for Listed Companies. For the other shareholders of circulation share the Company is

top 10 un-lock up common

unknown whether they belong to the persons acting in concert.shareholders and top 10

common shareholders

The shareholder Li Hao holds 1300241 shares of the company's stock through a credit transaction

Explanation on top 10

guarantee securities account and 0 share of the company's stock through an ordinary securities

common shareholders

account for a total of 1300241 shares. The shareholder Lin Haizhi holds 809766 shares of the

involving margin business

company's stock through a credit transaction guarantee securities account and 0 share of the

(if applicable) (see note 4)

company's stock through an ordinary securities account for a total of 809766 shares.Whether top ten common stock shareholders or top ten common stock shareholders with un-lock up shares held have a buy-back

agreement dealing in reporting period

□ Yes √ No

The top ten common stock shareholders or top ten common stock shareholders with un-lock up shares held of the Company have no

buy-back agreement dealing in reporting period.IV. Changes of shares held by directors supervisors and senior executives

□ Applicable √ Not applicable

Shares held by directors supervisors and senior executives have no changes in reporting period found more details in Annual Report

2021.

V. Changes in controlling shareholders or actual controllers

Change of controlling shareholder during the reporting period

□ Applicable √ Not applicable

Change of actual controller during the reporting period

□ Applicable √ Not applicable

The Company had no change of actual controller during the reporting period

-39深圳市特力(集团)股份有限公司2022年半年度报告全文

Section VIII. Preferred Stock

□ Applicable √ Not applicable

The Company had no preferred stock in the Period

-40深圳市特力(集团)股份有限公司2022年半年度报告全文

Section IX. Corporate Bonds

□ Applicable √ Not applicable

-41深圳市特力(集团)股份有限公司2022年半年度报告全文

Section X. Financial Report

I. Financial Statement

Statement in Financial Notes are carried in RMB/CNY

1. Consolidated Balance Sheet

Prepared by Shenzhen Tellus Holding Co. Ltd.June 30 2022

Unit: RMB/CNY

Item June 30 2022 December 31 2022

Current assets:

Monetary funds 219732744.23 240582057.16

Settlement provisions

Capital lent

Trading financial assets 422095775.34 412712843.84

Derivative financial assets

Note receivable

Account receivable 55148362.83 18094059.92

Receivable financing

Accounts paid in advance 13892808.08 16532227.85

Insurance receivable

Reinsurance receivables

Contract reserve of reinsurance

receivable

Other account receivable 7554454.53 5072970.77

Including: Interest receivable

Dividend receivable 547184.35 547184.35

Buying back the sale of financial

assets

Inventories 27425910.86 25434925.04

Contractual assets

Assets held for sale 530520.33

Non-current asset due within one

year

Other current assets 3630901.41 8596585.57

Total current assets 749480957.28 727556190.48

Non-current assets:

Loans and payments on behalf

Debt investment

Other debt investment

-42深圳市特力(集团)股份有限公司2022年半年度报告全文

Long-term account receivable

Long-term equity investment 81238655.05 88310867.47

Investment in other equity

10176617.2010176617.20

instrument

Other non-current financial assets

Investment real estate 541520365.78 551383294.54

Fixed assets 112837946.28 109438198.23

Construction in progress 261124333.54 210197546.72

Productive biological asset

Oil and gas asset

Right-of-use assets 6513372.33 7336915.83

Intangible assets 48966336.58 49589498.28

Expense on Research and

Development

Goodwill

Long-term expenses to be

26848710.9828682636.66

apportioned

Deferred income tax asset 8499551.03 8499551.03

Other non-current asset 54605044.16 68473888.99

Total non-current asset 1152330932.93 1132089014.95

Total assets 1901811890.21 1859645205.43

Current liabilities:

Short-term loans

Loan from central bank

Capital borrowed

Trading financial liability

Derivative financial liability

Note payable

Account payable 69778883.21 67407763.03

Accounts received in advance 10861839.87 1827827.28

Contractual liability 10168590.39 21059311.18

Selling financial asset of repurchase

Absorbing deposit and interbank

deposit

Security trading of agency

Security sales of agency

Wage payable 41549410.57 38893597.75

Taxes payable 21055313.44 48522100.45

Other account payable 115063036.77 112617963.65

Including: Interest payable

Dividend payable

Commission charge and

commission payable

Reinsurance payable

-43深圳市特力(集团)股份有限公司2022年半年度报告全文

Liability held for sale

Non-current liabilities due within

2884263.933021452.25

one year

Other current liabilities 601487.93 2367994.70

Total current liabilities 271962826.11 295718010.29

Non-current liabilities:

Insurance contract reserve

Long-term loans 121670407.44 86875874.39

Bonds payable

Including: Preferred stock

Perpetual capital

securities

Lease liability 3963266.13 4474543.09

Long-term account payable 3920160.36 3920160.36

Long-term wages payable

Accrual liability 268414.80 268414.80

Deferred income 9558134.67 10235331.21

Deferred income tax liabilities 963045.49 963045.49

Other non-current liabilities

Total non-current liabilities 140343428.89 106737369.34

Total liabilities 412306255.00 402455379.63

Owner’s equity:

Share capital 431058320.00 431058320.00

Other equity instrument

Including: Preferred stock

Perpetual capital

securities

Capital public reserve 431449554.51 431449554.51

Less: Inventory shares

Other comprehensive income 26422.00 26422.00

Reasonable reserve

Surplus public reserve 26546480.09 26546480.09

Provision of general risk

Retained profit 576542187.29 543843496.85

Total owner’ s equity attributable to

1465622963.891432924273.45

parent company

Minority interests 23882671.32 24265552.35

Total owner’ s equity 1489505635.21 1457189825.80

Total liabilities and owner’ s equity 1901811890.21 1859645205.43

Legal Representative: Fu Chunlong

Person in charge of Accounting Works: Lou Hong

-44深圳市特力(集团)股份有限公司2022年半年度报告全文

Person in charge of Accounting Institution: Lou Hong

2. Balance Sheet of Parent Company

Unit: RMB/CNY

Item June 30 2022 December 31 2022

Current assets:

Monetary funds 81036027.27 96860811.12

Trading financial assets 416095775.34 346485780.83

Derivative financial assets

Note receivable

Account receivable 2715392.30 119014.41

Receivable financing

Accounts paid in advance 1086453.80 180505.50

Other account receivable 2263037.37 90401592.58

Including: Interest receivable

Dividend receivable 547184.35 547184.35

Inventories

Contractual assets

Assets held for sale

Non-current assets maturing within

one year

Other current assets 137126.11

Total current assets 503333812.19 534047704.44

Non-current assets:

Debt investment

Other debt investment

Long-term receivables

Long-term equity investments 793528127.78 781100340.20

Investment in other equity

10176617.2010176617.20

instrument

Other non-current financial assets

Investment real estate 28170379.26 29425213.32

Fixed assets 17142634.69 17792917.53

Construction in progress 260999489.22 210072702.40

Productive biological assets

Oil and natural gas assets

Right-of-use assets

Intangible assets 47645805.33 48214014.93

Research and development costs

Goodwill

Long-term deferred expenses 8343141.87 8853627.44

Deferred income tax assets 3398437.68 3398437.68

Other non-current assets 27041880.66 32375515.49

-45深圳市特力(集团)股份有限公司2022年半年度报告全文

Total non-current assets 1196446513.69 1141409386.19

Total assets 1699780325.88 1675457090.63

Current liabilities:

Short-term borrowings

Trading financial liability

Derivative financial liability

Notes payable

Account payable 334195.06 344098.18

Accounts received in advance 1929742.08 60656.39

Contractual liability

Wage payable 28423362.63 25851294.89

Taxes payable 2759307.61 1873430.60

Other accounts payable 462130705.37 471549476.87

Including: Interest payable

Dividend payable

Liability held for sale

Non-current liabilities due within

one year

Other current liabilities

Total current liabilities 495577312.75 499678956.93

Non-current liabilities:

Long-term loans 121670407.44 86875874.39

Bonds payable

Including: Preferred stock

Perpetual capital

securities

Lease liability

Long-term account payable

Long term employee compensation

payable

Accrued liabilities

Deferred income

Deferred income tax liabilities

Other non-current liabilities

Total non-current liabilities 121670407.44 86875874.39

Total liabilities 617247720.19 586554831.32

Owners’ equity:

Share capital 431058320.00 431058320.00

Other equity instrument

Including: Preferred stock

Perpetual capital

securities

Capital public reserve 428256131.23 428256131.23

Less: Inventory shares

-46深圳市特力(集团)股份有限公司2022年半年度报告全文

Other comprehensive income

Special reserve

Surplus reserve 26546480.09 26546480.09

Retained profit 196671674.37 203041327.99

Total owner’s equity 1082532605.69 1088902259.31

Total liabilities and owner’s equity 1699780325.88 1675457090.63

3. Consolidated Profit Statement

Unit: RMB/CNY

Item 2022 semi-annual 2021 semi-annual

I. Total operating income 250015152.23 249492261.24

Including: Operating income 250015152.23 249492261.24

Interest income

Insurance gained

Commission charge and

commission income

II. Total operating cost 220692103.94 208332636.82

Including: Operating cost 188344177.55 173313253.96

Interest expense

Commission charge and

commission expense

Cash surrender value

Net amount of expense of compensation

Net amount of withdrawal of insurance

contract reserve

Bonus expense of guarantee slip

Reinsurance expense

Tax and extras 4269247.42 2614156.04

Sales expense 10947318.15 12002312.02

Administrative expense 19832917.21 20807474.69

R&D expense

Financial expense -2701556.39 -404559.89

Including: Interest

108391.881200000.00

expenses

Interest income 2843386.98 1719072.16

Add: Other income 1575990.30 326420.16

Investment income (Loss is

23487946.5214395758.68

listed with “-”)

Including: Investment income

7927787.589683638.47

on affiliated company and joint venture

The termination of

income recognition for financial assets

measured by amortized cost

-47深圳市特力(集团)股份有限公司2022年半年度报告全文

Exchange income (Loss is

listed with “-”)

Net exposure hedging income

(Loss is listed with “-”)

Income from change of fair

-617068.50-418952.05

value (Loss is listed with “-”)

Loss of credit impairment

-200149.24

(Loss is listed with “-”)

Losses of devaluation of asset

(Loss is listed with “-”)

Income from assets disposal

40765.9256242.77

(Loss is listed with “-”)

III. Operating profit (Loss is listed with

53610533.2955519093.98

“-”)

Add: Non-operating income 295807.48 72884.60

Less: Non-operating expense 237.72 9945.86

IV. Total profit (Loss is listed with “-”) 53906103.05 55582032.72

Less: Income tax expense 10808747.89 11085413.51

V. Net profit (Net loss is listed with “-”) 43097355.16 44496619.21

(i) Classify by business continuity

1.continuous operating net profit

43097355.1644496619.21(net loss listed with ‘-”)

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

(ii) Classify by ownership

1.Net profit attributable to owner’s

43480236.1944542715.32

of parent company

2.Minority shareholders’ gains and

-382881.03-46096.11

losses

VI. Net after-tax of other comprehensive

income

Net after-tax of other comprehensive

income attributable to owners of parent

company

(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

-48深圳市特力(集团)股份有限公司2022年半年度报告全文

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 statements

7.Other

Net after-tax of other comprehensive

income attributable to minority

shareholders

VII. Total comprehensive income 43097355.16 44496619.21

Total comprehensive income

attributable to owners of parent 43480236.19 44542715.32

Company

Total comprehensive income

-382881.03-46096.11

attributable to minority shareholders

VIII. Earnings per share:

(i) Basic earnings per share 0.1009 0.1033

(ii) Diluted earnings per share 0.1009 0.1033

Legal Representative: Fu Chunlong

Person in charge of Accounting Works: Lou Hong

Person in charge of Accounting Institution: Lou Hong

4. Profit Statement of Parent Company

Unit: RMB/CNY

Item 2022 semi-annual 2021 semi-annual

-49深圳市特力(集团)股份有限公司2022年半年度报告全文

I. Operating income 12666278.27 19483635.23

Less: Operating cost 5003948.63 5163217.03

Taxes and surcharge 609206.45 717195.50

Sales expenses

Administration expenses 16849325.25 16198882.72

R&D expenses

Financial expenses -1323024.22 -671872.77

Including: Interest

expenses

Interest income 1330174.79 659566.06

Add: Other income 111156.14

Investment income (Loss is

13643736.1614609726.37

listed with “-”)

Including: Investment income

7927787.5812534155.42

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 “-”)

Changing income of fair value

-390005.49-110023.28

(Loss is listed with “-”)

Loss of credit impairment

(Loss is listed with “-”)

Losses of devaluation of asset

(Loss is listed with “-”)

Income on disposal of assets

(Loss is listed with “-”)

II. Operating profit (Loss is listed with

4891708.9712575915.84

“-”)

Add: Non-operating income 74563.02 19127.02

Less: Non-operating expense

III. Total Profit (Loss is listed with “-”) 4966271.99 12595042.86

Less: Income tax 554379.86 54954.66

IV. Net profit (Net loss is listed with “-”) 4411892.13 12540088.20

(i) continuous operating net profit

4411892.1312540088.20(net loss listed with ‘-”)

(ii) termination of net profit (netloss listed with ‘-”)

V. Net after-tax of other comprehensive

income

(i) Other comprehensive income

items which will not be reclassified

-50深圳市特力(集团)股份有限公司2022年半年度报告全文

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 statements

7.Other

VI. Total comprehensive income 4411892.13 12540088.20

VII. Earnings per share:

(i) Basic earnings per share

(ii) Diluted earnings per share

5. Consolidated Cash Flow Statement

Unit: RMB/CNY

Item 2022 semi-annual 2021 semi-annual

I. Cash flows arising from operating

activities:

Cash received from selling

commodities and providing labor 233540881.93 255459153.13

services

Net increase of customer deposit

-51深圳市特力(集团)股份有限公司2022年半年度报告全文

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 returned business

capital

Net cash received by agents in sale

and purchase of securities

Write-back of tax received 11847129.45

Other cash received concerning

95434828.8673388884.28

operating activities

Subtotal of cash inflow arising from

340822840.24328848037.41

operating activities

Cash paid for purchasing

173793008.62141066170.40

commodities and receiving labor service

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 commission

charge and commission

Cash paid for bonus of guarantee

slip

Cash paid to/for staff and workers 32931967.00 30623586.20

Taxes paid 48368592.66 20257855.77

Other cash paid concerning

97047567.3777329026.02

operating activities

Subtotal of cash outflow arising from

352141135.65269276638.39

operating activities

Net cash flows arising from operating

-11318295.4159571399.02

activities

-52深圳市特力(集团)股份有限公司2022年半年度报告全文

II. Cash flows arising from investing

activities:

Cash received from recovering

699334600.00896400000.00

investment

Cash received from investment

21775312.964969394.03

income

Net cash received from disposal of

fixed intangible and other long-term 361050.00 334000.00

assets

Net cash received from disposal of

subsidiaries and other units

Other cash received concerning

investing activities

Subtotal of cash inflow from investing

721470962.96901703394.03

activities

Cash paid for purchasing fixed

50916178.9537930602.45

intangible and other long-term assets

Cash paid for investment 700000000.00 794280000.00

Net increase of mortgaged loans

Net cash received from subsidiaries

and other units obtained

Other cash paid concerning

18669.20

investing activities

Subtotal of cash outflow from investing

750934848.15832210602.45

activities

Net cash flows arising from investing

-29463885.1969492791.58

activities

III. Cash flows arising from financing

activities:

Cash received from absorbing

investment

Including: Cash received from

absorbing minority shareholders’

investment by subsidiaries

Cash received from loans 34897377.72 29715060.10

Other cash received concerning

financing activities

Subtotal of cash inflow from financing

34897377.7229715060.10

activities

Cash paid for settling debts 5000000.00

Cash paid for dividend and profit

11880454.559165434.86

distributing or interest paying

Including: Dividend and profit of

minority shareholder paid by subsidiaries

-53深圳市特力(集团)股份有限公司2022年半年度报告全文

Other cash paid concerning

financing activities

Subtotal of cash outflow from financing

16880454.559165434.86

activities

Net cash flows arising from financing

18016923.1720549625.24

activities

IV. Influence on cash and cash

equivalents due to fluctuation in 280.60 -16779.45

exchange rate

V. Net increase of cash and cash

-22764976.83149597036.39

equivalents

Add: Balance of cash and cash

211655585.86208462656.63

equivalents at the period -begin

VI. Balance of cash and cash equivalents

188890609.03358059693.02

at the period -end

6. Cash Flow Statement of Parent Company

Unit: RMB/CNY

Item 2022 semi-annual 2021 semi-annual

I. Cash flows arising from operating

activities:

Cash received from selling

commodities and providing labor 9407009.79 4331488.77

services

Write-back of tax received 8332462.70

Other cash received concerning

90848952.57145968999.79

operating activities

Subtotal of cash inflow arising from

108588425.06150300488.56

operating activities

Cash paid for purchasing

commodities and receiving labor service

Cash paid to/for staff and workers 16512716.41 14532885.73

Taxes paid 1644445.17 1621570.18

Other cash paid concerning

11334575.9847698960.71

operating activities

Subtotal of cash outflow arising from

29491737.5663853416.62

operating activities

Net cash flows arising from operating

79096687.5086447071.94

activities

II. Cash flows arising from investing

activities:

Cash received from recovering

550000000.00269900000.00

investment

-54深圳市特力(集团)股份有限公司2022年半年度报告全文

Cash received from investment

20715948.582175570.95

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

570715948.58272075570.95

activities

Cash paid for purchasing fixed

50177507.0033234690.43

intangible and other long-term assets

Cash paid for investment 639500000.00 339000000.00

Net cash received from subsidiaries

and other units obtained

Other cash paid concerning

200150.00

investing activities

Subtotal of cash outflow from investing

689677507.00372434840.43

activities

Net cash flows arising from investing

-118961558.42-100359269.48

activities

III. Cash flows arising from financing

activities:

Cash received from absorbing

investment

Cash received from loans 34897377.72 29715060.10

Other cash received concerning

financing activities

Subtotal of cash inflow from financing

34897377.7229715060.10

activities

Cash paid for settling debts

Cash paid for dividend and profit

11880454.559116132.76

distributing or interest paying

Other cash paid concerning

financing activities

Subtotal of cash outflow from financing

11880454.559116132.76

activities

Net cash flows arising from financing

23016923.1720598927.34

activities

IV. Influence on cash and cash

equivalents due to fluctuation in

exchange rate

V. Net increase of cash and cash -16847947.75 6686729.80

-55深圳市特力(集团)股份有限公司2022年半年度报告全文

equivalents

Add: Balance of cash and cash

95207575.7142609260.98

equivalents at the period -begin

VI. Balance of cash and cash equivalents

78359627.9649295990.78

at the period -end

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

Current Amount

Unit: RMB/CNY

Semi-annual of 2022

Owners’ equity attributable to the parent Company

Other

equity instrument Less Oth Tota

Perp : er Rea Prov Min l

Item Shar Pref etua

Capi Inve com sona Surp isio Reta ority owne

erre l

tal

capi rese ntor

preh

ensi ble

lus n of ined Oth Subt inter ers’

capi Oth y rese rese gene prof er otal ests equital d tal er rve stoc shar

ve rve rve ral it ty

secu es inco risk k ritie me

s

I. The ending 431 431 265 543 143 242 145264

balance of 058 449 464 843 292 655 718

the previous 22.0 320. 554. 80.0 496. 427 52.3 982

year 0 00 51 9 85 3.45 5 5.80

Add:

Changes of

accounting

policy

Error

correction of

the last

period

Enterprise

combine

under the

same control

Other

II. The 431 431 265 543 143 242 145

beginning 264

balance of 058 449 464 843 292 655 718 22.0

the current 320. 554. 80.0 496. 427 52.3 9820

year 00 51 9 85 3.45 5 5.80

III. Increase/

Decrease in 326 326 - 323

the period 986 986 382 158

(Decrease is 90.4 90.4 881. 09.4

listed with 4 4 03 1

“-”)

(i) Total

comprehensi 802 802 382 973

ve income 36.1 36.1 881. 55.1

99036

(ii) Owners’

devoted and

decreased

capital

1.Common

-56深圳市特力(集团)股份有限公司2022年半年度报告全文

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

---

107107107

(iii) Profit

distribution 815 815 815

45.745.745.7

555

1.

Withdrawal

of surplus

reserves

2.

Withdrawal

of general

risk

provisions

3.---

Distribution 107 107 107

for owners 815 815 815

(or 45.7 45.7 45.7

shareholders) 5 5 5

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.

Remedying

loss with

surplus

reserve

4. Carry-over

retained

earnings

from the

defined

benefit plans

5. Carry-over

retained

earnings

from other

-57深圳市特力(集团)股份有限公司2022年半年度报告全文

comprehensi

ve income

6. Other

(v)

Reasonable

reserve

1.

Withdrawal

in the report

period

2. Usage in

the report

period

(vi) Others

431431265576146238148

IV. Balance 264

at the end of 058 449 464 542 562 826 950 22.0

the period 320. 554. 80.0 187. 296 71.3 5630

00519293.8925.21

Amount of the previous period

Unit: RMB/CNY

Semi-annual of 2021

Owners’ equity attributable to the parent Company

Other

equity instrument Less Oth Tota

Perp : er Rea Prov Min l

Item Shar Capi com Surp isio Reta

e Pref

etua Inve sona ority own

l tal ntor preh ble lus n of ined Oth Subterre inter ers’ capi capi Oth rese y ensi rese rese gene prof er otal d ests equital

stoc tal er

rve shar ve rve ral it ty

secu es inco

rve risk

k ritie me

s

I. The ending 431 431 238 424 131 741 138264

balance of 058 449 484 141 052 214 464

the previous 22.0 320. 554. 85.6 893. 467 26.3 610

year 0 00 51 2 34 5.47 4 1.81

Add:

Changes of

accounting

policy

Error

correction of

the last

period

Enterprise

combine

under the

same control

Other

II. The 431 431 238 424 131 741 138

beginning 264

balance of 058 449 484 141 052 214 464 22.0

the current 320. 554. 85.6 893. 467 26.3 6100

year 00 51 2 34 5.47 4 1.81

III. Increase/

Decrease in 359 359 - 358

the period 215 215 953 261

(Decrease is 48.9 48.9 98.2 50.7

listed with 2 2 1 1

“-”)

(i) Total 445 445 - 444

comprehensi 427 427 460 966

-58深圳市特力(集团)股份有限公司2022年半年度报告全文

ve income 15.3 15.3 96.1 19.2

2211

(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 862 862 493 867

distribution 116 116 02.1 046

6.406.4008.50

1.

Withdrawal

of surplus

reserves

2.

Withdrawal

of general

risk

provisions

3.----

Distribution

for owners 862 862 493 867

(or 116 116 02.1 046

shareholders) 6.40 6.40 0 8.50

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.

Remedying

loss with

surplus

reserve

4. Carry-over

retained

earnings

from the

-59深圳市特力(集团)股份有限公司2022年半年度报告全文

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

431431238460134740142

IV. Balance 264

at the end of 058 449 484 063 644 260 047 22.0

the period 320. 554. 85.6 442. 622 28.1 2250

00512264.3932.52

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

Current Amount

Unit: RMB/CNY

Semi-annual of 2022

Other Other

equity instrument Capita Less: compr Reaso Surplu Total

Item Share Perpet l Invent ehensi nable s Retain owner

capital Prefer ual reserv ory ve reserv reserv ed Other s’

red capital Other e shares incom e e profit equity

stock securit e

ies

I. The ending 4310 4282 2654 2030 1088

balance of

the previous 5832 5613 6480. 4132 9022

year 0.00 1.23 09 7.99 59.31

Add:

Changes of

accounting

policy

Error

correction of

the last

period

Other

II. The

beginning 4310 4282 2654 2030 1088

balance of 5832 5613 6480. 4132 9022

the current 0.00 1.23 09 7.99 59.31

year

III. Increase/

Decrease in - -

the period 6369 6369

(Decrease is 653.6 653.6

listed with 2 2

“-”)

(i) Total 4411 4411

-60深圳市特力(集团)股份有限公司2022年半年度报告全文

comprehensi 892.1 892.1

ve income 3 3

(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 1078 1078

distribution 1545. 1545.

7575

1.

Withdrawal

of surplus

reserves

2.--

Distribution

for owners 1078 1078

(or 1545. 1545.shareholders) 75 75

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

-61深圳市特力(集团)股份有限公司2022年半年度报告全文

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 4310 4282 2654 1966 1082

at the end of 5832 5613 6480. 7167 5326

the period 0.00 1.23 09 4.37 05.69

Amount of the previous period

Unit: RMB/CNY

Semi-annual of 2021

Other Other

equity instrument Capita Less: compr Reaso Surplu Total

Item Share Perpet l Invent ehensi nable s Retain owner

capital Prefer ual reserv ory ve reserv reserv ed Other s’

red capital Other e shares incom e e profit equity

stock securit e

ies

I. The ending 4310 4282 2384 1873 1070

balance of

the previous 5832 5613 8485. 8054 5434

year 0.00 1.23 62 4.20 81.05

Add:

Changes of

accounting

policy

Error

correction of

the last

period

Other

II. The

beginning 4310 4282 2384 1873 1070

balance of 5832 5613 8485. 8054 5434

the current 0.00 1.23 62 4.20 81.05

year

III. Increase/

Decrease in 3918 3918

the period

(Decrease is 921.8 921.8

listed with 0 0

“-”)

(i) Total 1254 1254

comprehensi 0088. 0088.ve income 20 20

(ii) Owners’

devoted and

decreased

capital

1.Common

shares

invested by

shareholders

-62深圳市特力(集团)股份有限公司2022年半年度报告全文

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned

into owners

equity with

share-based

payment

4. Other

--

(iii) Profit 8621 8621

distribution 166.4 166.4

00

1.

Withdrawal

of surplus

reserves

2.--

Distribution

for owners 8621 8621

(or 166.4 166.4

shareholders) 0 0

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

comprehensi

ve income

6. Other

(v)

Reasonable

reserve

1.

Withdrawal

in the report

-63深圳市特力(集团)股份有限公司2022年半年度报告全文

period

2. Usage in

the report

period

(vi) Others

IV. Balance 4310 4282 2384 1912 1074

at the end of 5832 5613 8485. 9946 4624

the period 0.00 1.23 62 6.00 02.85

II. Company information

1. Company profile

Shenzhen Tellus Holding Co. Ltd. (hereinafter referred to as the Company or Company) is a limited company that

reorganized and established from former Shenzhen Machinery Industry Company as authorized by the reply

relating to Shenzhen Machinery Industry Company transforming to Shenzhen Testrite Machinery Co.Ltd(SFBF[1991]1012) issued by the Office of Shenzhen People Government registered in Shenzhen

Administration for Industry & Commerce on November 10 1986. The Company holds a business license with

unified social credit code of 91440300192192210U and with a registered capital of RMB431058320.00 and a

total number of 431058320 shares including unrestricted outstanding 392778320 shares (A-stock) and

38280000 shares (B-stock). Operating address of the HQ located at 3/F 4/F Tellus Building Shuibei Er Road

Luohu District Shenzhen. Legal representative: Fu Chunlong.In 1993 as authorized by the reply relating to Shenzhen Testrite Machinery Co. Ltd. transforming to a public

company (SFBF[1992]1850) issued by the Office of Shenzhen People Government and the reply relating to issuance

of stocks by Shenzhen Testrite Machinery and Electric Co. Ltd. (SRYFZ[1993]092) issued by Shenzhen branch of

People’s Bank of China the Company changed to be a public company and made the initial public offering.Registered capital amounting to RMB 166880000.00 with a total share capital of 166880000 shares among which

120900000 shares were converted from the original assets and 25980000 shares (A-stock) and 20000000 shares

(B-stock) were issued. Par value of the shares is RMB 1 per share. On June 21 1993 shares of the Company were

listed for trading on Shenzhen Stock Exchange.According to the resolution of Annual General Meeting of 1993 on the basis of 166880000 shares as of December

31 of that year 2 shares for every 10 shares and a cash dividend of 0.5 yuan per 10 shares were distributed to all

shareholders totaling 33376000 shares distributed and was implemented in 1994. Registered capital of the

Company increased to RMB 200256000.00 after the share distribution.According to the resolution of Annual General Meeting of 1994 on the basis of 200256000 shares as of December

31 of that year 0.5 shares for every 10 shares and 0.5 shares transferred and a cash dividend of 0.5 yuan per 10

shares were distributed to all shareholders totaling 20025600 shares transferred and was implemented in 1995.Registered capital of the Company increased to RMB 220281600.00 after the share transferred and distribution.-64深圳市特力(集团)股份有限公司2022年半年度报告全文

According to the resolution of 4th extraordinary general meeting of shareholders of 2014 and approved by the

“Reply on the Non-Public Offering of Shares of Shenzhen Tellus Holding Co. Ltd.”(Securities Regulatory License

[2015] No.173) from China Securities Regulatory Commission the Company offering ordinary A stock of

77000000 shares to Shenzhen Special Development Group Co. Ltd and Shenzhen Yuanzhi Fuhai Jewelry Industry

Investment Enterprise (Limited Partnership) non-publicly in 2015. Register capital of the Company increased to

RMB 297281600.00 after the shares increased.According to the resolution of Annual General Meeting of 2018 on the basis of 297281600 shares as of December

31 of that year transferred 4.5 shares for every 10 shares to all shareholders from the capital surplus

totaling133776720 shares transferred and was implemented in 2019. Registered capital of the Company increased

to RMB 431058320.00 after the transferred.Main business of the Company including auto sales auto maintenance and inspection sales of jewelry and property

leasing and services etc.Approval date of the financial statement: the financial statements were approved by the Board on August 24 2022.

2. Scope and change of the consolidate financial statement

(1)subsidiary included in the consolidate statement at end of the Period

No. Subsidiary Abbreviations Shareholding ratio %

Directly Indirectly

1 Shenzhen Tellus Xinyongtong Automobile Xinyongtong Automobile 5.00 95.00

Development Co. Ltd Development Company

2 Shenzhen Bao’an Shiquan Industrial Co. Ltd. Bao’an Shiquan Company 100.00

3 Shenzhen SDG Tellus Real Estate Co. Ltd. Tellus Real Estate Company 100.00

4 Shenzhen Tellus Chuangying Tech. Co. Ltd. Chuangying Company 100.00

5 Shenzhen Xinyongtong Auto Vehicle Inspection Inspection Equipment 51.00

Equipment Co. Ltd. Company

6 Shenzhen Auto Industry and Trade Corporation Auto Industry and Trade 100.00

Company

7 Shenzhen Automotive Industry Supply Corporation Automotive Supply 100.00

Corporation

8 Shenzhen SDG Huari Auto Enterprise Co. Ltd. Huari Company 60.00

9 Shenzhen Huari Anxin Automobile Inspection Ltd. Huari Anxin Company 100.00

10 Shenzhen Zhongtian Industrial Co. Ltd. Zhongtian Company 100.00

-65深圳市特力(集团)股份有限公司2022年半年度报告全文

11 Shenzhen Huari TOYOTA Automobile Sales Service Huari Toyota 60.00

Co. Ltd.

12 Shenzhen Tellus Treasury Supply Chain Tech. Co. Treasury Supply Chain 100.00

Ltd. Company

13 Shenzhen Jewelry Industry Service Co. LTD Shenzhen Jewelry Company 65.00

14 Shanghai Fanyue Diamond Co. Ltd. Shanghai Fanyue 100.00

Found more in the NoteⅧ.“Equity in other entity”

III. Basis Preparation of the Financial Statements

1.Preparation basis

The Company’s financial statements have been prepared based on the going concern and the actual transactions and

events. And recognized and measured in accordance with the provisions of the ASBE and its application guidelines

and interpretations of the standards. Furthermore the Company discloses relevant financial information inaccordance with the “Regulation on the Preparation of Information Disclosures of Companies Issuing PublicShares No. 15- General Provision on Financial Reports”(Revised in 2014) of China Securities Regulatory

Commission.

2. Going concern

The Company has assessed its ability to continue as a going concerned for the 12 months since end of the reporting

period and there are no matters affecting the ability to continue as a going concern being found. It is reasonable for

the Company to prepare the financial statements on a going concern basis.IV. Important accounting policy & accounting estimation

Specific accounting policies and estimation attention:

The following important accounting policies and estimation are formulated in line with the Accounting Standards

for Business Enterprises(ASBE). The business without mentioned are carried out in accordance with the relevant

accounting policies of ASBEs.

1. Statement of Compliance with the Accounting Standards for Business Enterprises

The Financial Statements are up to requirements of Accounting Standards for Business Enterprises and reflect the

financial status operation results changes of owners equity and cash flows of the Company in reporting period in

truthfulness and completeness.-66深圳市特力(集团)股份有限公司2022年半年度报告全文

2. Accounting period

Accounting period of the Company is falls to the range starting from 1 January to 31 December.

3. Operating cycle

The normal operating cycle of the Company is one year.

4. Standard currency

The recording currency of the Company is Renminbi(RMB/CNY)

5. Accounting treatment methods of business combination under the same control and not under the same

control

(1) Business combination under the same control

The assets and liabilities acquired by the Company in the business combination shall be measured at the book value

of the combined party in the consolidated financial statements of the final controlling party on the date of

combination. Among them if the accounting policies adopted by the combined party and the Company before the

business combination are different the accounting policies shall be unified based on the importance principle that

is the book value of the assets and liabilities of the combined party shall be adjusted according to the accounting

policies of the Company. If there is a difference between the book value of the net assets acquired in the business

combination and the book value of the consideration paid by the Company the Company shall first adjust the capital

reserve (capital premium or equity premium). If the balance of the capital reserve (capital premium or equity

premium) is insufficient to offset the surplus reserve and undistributed profit shall be offset successively.For the accounting treatment of a business combination under the same control through step-by-step transactions

please see Notes Ⅳ. 6.

(2) Business combination not under the same control

The identifiable assets and liabilities of the acquiree acquired by the Company in the business combination shall be

measured at their fair value on the purchase date. Among them if the accounting policies adopted by the acquiree

and the Company before the business combination are different the accounting policies shall be unified based on

the materiality principle that is the book value of the assets and liabilities of the acquiree shall be adjusted according

to the accounting policies of the Company. The difference between the combined cost of the Company on the

acquisition date and the fair value of the identifiable assets and liabilities of the acquiree acquired by the purchaser

in the business combination shall be recognized as goodwill; if the combined cost is less than the difference of fair

value of the identifiable assets and liabilities of the acquiree acquired in the business combination first of all the

combined cost and the fair value of the identifiable assets and liabilities of the acquiree acquired in the business

combination shall be reviewed after review if the combined cost is still less than the fair value of the identifiable

-67深圳市特力(集团)股份有限公司2022年半年度报告全文

assets and liabilities of the acquiree the difference shall be recognized as consolidated profits and losses for the

current period.For the accounting treatment of a business combination not under the same control through step-by-step transactions

please see Notes Ⅳ. 6.

(3) Disposal of transaction costs in business combination

The intermediary fees for auditing legal services evaluation and consultation and other related administrative

expenses incurred for the business combination shall be recorded into the current profits and losses when incurred.Transaction costs of equity securities or debt securities issued as consideration for the merger are included in the

initial recognition amount of the equity securities or debt securities.

6. Methods for preparation of consolidated financial statements

(1) Determination of the consolidated scope

The consolidated scope of the consolidated financial statements is determined on the basis of control including not

only subsidiaries as determined by voting rights (or similar voting rights) on their own or in combination with other

arrangements but also structured entities as determined by one or more contractual arrangements.Control means that the Company has the power over the investee enjoys variable returns by participating in related

activities of the investee and has the ability to use the power over the investee to influence the amount of return. A

subsidiary is an entity under the control of the Company (including the separable part of an enterprise and an

invested entity and the structured entity controlled by the enterprise etc.) a structured entity is one that is designed

without taking the right to vote or similar rights as a determining factor when determining its controlling party (Note:

sometimes it is also known as the entity of special purpose).

(2) Special provisions on the parent company being an investment entity

If the parent company is an investment entity only those subsidiaries that provide relevant services for the

investment activities of the investment entity will be included in the consolidation scope and other subsidiaries will

not be merged. Equity investors of the subsidiaries that are not included in the consolidation scope are recognized

as financial assets measured at fair value and their changes are recorded in the profits and losses of current period.When the parent company simultaneously satisfies the following conditions the parent company is an investment

entity:

* The company obtains funds from one or more investors for the purpose of providing investment management

services to investors.* The sole purpose of the company's operation is to provide returns to investors through capital appreciation

investment income or both.-68深圳市特力(集团)股份有限公司2022年半年度报告全文

* The company considers and evaluates the performance of almost all investments in accordance with the fair

value.When the parent company changes from the non-investment entity into the investment entity except only include

the subsidiaries providing related services for their investment activities into the scope of consolidated financial

statements the company no longer merge other subsidiaries since the change day and deal with according to the

principle of disposing subsidiary equity but not losing the right of control.When the parent company changes from the investment entity into the non-investment entity the subsidiary

originally not included in the scope of consolidated financial statements shall be included into the scope of

consolidated financial statements on the change day the fair value of the subsidiary originally not included in the

scope of consolidated financial statements on the change day shall be regarded as the trading consideration of

purchase and deal with according to the accounting treatment method for business combination not under the same

control.

(3) Preparation method of consolidated financial statements

The Company shall on the basis of its own financial statements and those of its subsidiaries prepare consolidated

financial statements in accordance with other relevant information.When preparing consolidated financial statements the Company shall regard the entire enterprise group as an

accounting entity and reflect the overall financial position operating results and cash flow of the enterprise group

in accordance with the requirements of recognition measurement and presentation of relevant accounting standards

for enterprises and in accordance with unified accounting policies and accounting periods.* Merge the assets liabilities owners' equity revenues expenses and cash flows of the parent company and its

subsidiaries.* Offset the parent company's long-term equity investment in the subsidiary and the parent company's share in the

owner's equity of the subsidiary.* Offset the impact of internal transactions between the parent company and its subsidiaries and among the

subsidiaries. Where the internal transaction indicates the impairment loss of the relevant assets the loss shall be

recognized in full.* Adjust special transactions from the perspective of enterprise groups.

(4) Disposal of increase or decrease in subsidiaries during the reporting period

* Increase subsidiaries or businesses

A. A subsidiary or business increased by the business merger under the same control

(a) When preparing the consolidated balance sheet the opening balance of the consolidated balance sheet shall be

adjusted and the relevant items in the comparative statement shall be adjusted so that the consolidated reporting

-69深圳市特力(集团)股份有限公司2022年半年度报告全文

entity shall be deemed to have been in existence since the beginning of the control by the final controlling party.(b) When preparing the consolidated income statement the revenues expenses and profits of the subsidiary and its

business combination from the beginning of the current period to the end of the reporting period shall be included

in the consolidated income statement and relevant items in the comparative statement shall be adjusted so that the

consolidated reporting entity shall be deemed to have been in existence since the beginning of the control by the

final controlling party.(c) When preparing the consolidated cash flow statement the cash flow of the subsidiary and the business

combination from the beginning of the current period to the end of the reporting period shall be included in the

consolidated cash flow statement and the relevant items in the comparative statement shall be adjusted so that the

consolidated reporting entity shall be deemed to have been in existence since the beginning of the control by the

final controlling party.B. A subsidiary or business added by a business combination not under the same control

(a) The opening balance of the consolidated balance sheet shall not be adjusted when preparing the consolidated

balance sheet.(b) When preparing the consolidated income statement the income expenses and profits of the subsidiary and the

business from the purchase date to the end of the reporting period shall be included in the consolidated income

statement.(c) When preparing the consolidated cash flow statement the cash flow of the subsidiary from the purchase date to

the end of the reporting period shall be included in the consolidated cash flow statement.* Disposal of subsidiaries or businesses

A. The opening balance of the consolidated balance sheet shall not be adjusted when preparing the consolidated

balance sheet.B. When preparing the consolidated income statement the income expenses and profits of the subsidiary and the

business from the beginning of the period to the disposal date shall be included in the consolidated income statement.C. The cash flows of the subsidiary and the business from the beginning of the period to the disposal date shall be

included in the consolidated cash flow statement when preparing the consolidated cash flow statement.

(5) Special considerations in the merger offset

* The long-term equity investment of the Company held by a subsidiary shall be regarded as the treasury shares

of the Company and listed as "deduct: treasury share" in the consolidated balance sheet under the owner's equity

item as a deduction of the owner's equity. The long-term equity investments held by the subsidiaries shall offset

against their respective shares in the owner's equity of the subsidiaries in accordance with the method used by the

Company to offset the equity investments in the subsidiaries.* "Special reserve" and "general risk reserve" are not paid-up capital (or equity) or capital reserves and are

different from retained earnings and undistributed profits. After the long-term equity investment and the owner's

equity of the subsidiary offset each other the "special reserve" and "general risk reserve" shall be restored according

to the share belonging to the owner of the parent company.* Where the offsetting of unrealized internal sales gains and losses results in temporary differences between the

-70深圳市特力(集团)股份有限公司2022年半年度报告全文

carrying value of assets and liabilities in the consolidated balance sheet and the tax base of their taxable entity the

deferred income tax assets or deferred income tax liabilities shall be recognized in the consolidated balance sheet

at the same time the income tax expenses in the consolidated income statement shall be adjusted except for the

deferred income taxes related to the transactions or events directly included in the owner's equity and the business

combination.* The profit and loss of the unrealized internal transaction incurred by the Company in selling assets to subsidiaries

shall fully offset against the "net profit attributable to the owner of the parent company". The profit and loss of the

unrealized internal transaction arising from the sale of assets by a subsidiary to the Company shall be distributed

and offset between the "net profit attributable to the owner of the parent company" and the "minority shareholders'

profit and loss" in accordance with the proportion distributed by the Company to the subsidiary. The profit and loss

of the unrealized internal transaction arising from the sale of assets among subsidiaries shall be distributed and

offset between "net profit attributable to the owner of the parent company" and "minority shareholders' profit and

loss" in accordance with the distribution ratio of the Company to the subsidiaries of the seller.* If the current loss shared by the minority shareholders of the subsidiary exceeds the minority shareholders' share

in the initial owner's equity of the subsidiary the balance shall still be offset against the shareholders' equity.

(6) Accounting treatment of special transactions

* Purchase minority shareholder equity

When the Company purchases the equity of a subsidiary owned by the minority shareholder of the subsidiary the

investment cost of the long-term equity investment newly acquired through the purchase of minority equity shall be

measured according to the fair value of the consideration paid in individual financial statements. In the consolidated

financial statements the difference between the newly acquired long-term equity investment due to the purchase of

a minority stake and the share of the net assets of the subsidiary calculated continuously from the purchase date or

merger date according to the new shareholding ratio should adjust the capital reserves (capital premium or stock

premium) if the capital reserves are insufficient to offset the surplus reserves and undistributed profits shall be

offset in turn.* Obtaining the control of the subsidiary step by step through multiple transactions

A. Realizing business combination under the same control step by step through multiple transactions

On the merger date the Company shall determine the initial investment cost of long-term equity investment in the

individual financial statements according to the share of the net assets of the subsidiaries that shall be enjoyed after

the merger in the book value of the consolidated financial statements of the ultimate controlling party; The difference

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

the book value of the new payment consideration for further shares acquired on the merger date shall adjust capital

reserves (capital premium or stock premium) if the capital reserves are insufficient to offset the surplus reserves

and undistributed profits shall be offset in turn.-71深圳市特力(集团)股份有限公司2022年半年度报告全文

In the consolidated financial statements the assets and liabilities of the merged party acquired by the merging party

during the merger shall be measured according to the book value in the consolidated financial statements of the final

controlling party on the merger date except for the adjustments made due to different accounting policies; The

difference between the sum of the book value of the investment held before the merger plus the book value of the

consideration paid on the date of merger and the book value of the net assets acquired during the merger shall adjust

the capital reserves (equity premium/capital premium) and adjust the retained earnings if the capital reserves are

insufficient to offset.Where the equity investment held by the merging party prior to the acquisition of control of the merged party are

accounted for according to the equity method the changes in relevant profit or loss other comprehensive income

and other owners' equity that has been recognized between the date on which the original equity was acquired and

the date on which the merging party and the merged party are in the final control of the same party shall respectively

offset against the retained earnings at the beginning of the comparative statement period.B. Realization of business combination under different control step by step through multiple transactions

On the merger date in the individual financial statements the initial investment cost of the long-term equity

investment on the merger date shall be the sum of the book value of the original long-term equity investment plus

the new investment cost on the merger date.In the consolidated financial statements the equity of the acquiree held before the purchase date shall be re-

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

and the book value shall be recorded into the investment income of the current period; If the equity held by the

acquiree prior to the purchase date involves other comprehensive income under the equity method the relevant

other comprehensive income shall be converted to the current income on the purchase date except other

comprehensive income generated by the change in net assets or net liabilities of the benefit plan set by the merged

party. In the notes the Company shall disclose the fair value on the purchase date of the equity held by the company

prior to the purchase date and the amount of relevant gains or losses generated by re-measurement in accordance

with the fair value.* The Company disposes of its long-term equity investment in its subsidiaries without losing control

Where the parent company partially disposes of its long-term equity investment in a subsidiary without losing

control in the consolidated financial statements the difference between the disposal cost and the subsidiary's share

of the net assets calculated continuously from the purchase date or the merger date corresponding to the disposal of

the long-term equity investment shall adjust the capital reserves (capital premium or stock premium) if the capital

reserves is insufficient to offset adjust the retained earnings.* The Company disposes of its long-term equity investment in its subsidiaries and loses control

A. One transaction disposal

Where the Company loses the control of the investee due to the disposal of some equity investments and other

-72深圳市特力(集团)股份有限公司2022年半年度报告全文

reasons the remaining equity shall be remeasured according to the fair value of the equity at the date of loss of

control when the consolidated financial statements are prepared. 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 shares of the net

assets of the original subsidiary which should be continuously calculated from the purchase date or merger date

according to the original shareholding ratio shall be included into the investment income of the current period when

the control right is lost.Other comprehensive income and changes in other owners' equity related to the equity investment of the original

subsidiary shall be transferred to the current profit and loss when the control right is lost except other comprehensive

income generated by changes in net liabilities or net assets of the benefit plan set by the investee.B. Multiple transactions handled in steps

In the consolidated financial statements we should first judge whether the step transaction is a "package transaction".If the step transaction does not belong to the "package transaction" in the individual financial statements each

transaction before the loss of control of the subsidiary shall be carried forward with the book value of the long-term

equity investment corresponding to the each disposal of equity and the difference between the income price and the

book value of the disposal of the long-term equity investment shall be included in the current investment income;

In the consolidated financial statements the relevant provisions of "the parent company disposes of its long-term

equity investment in the subsidiary without losing control" shall be followed.If the step transaction is a "package transaction" each transaction shall be accounted for as a transaction for the

disposal of the subsidiary and loss of control; In the individual financial statements the difference between each

disposal price before the loss of control and the book value of the long-term equity investment corresponding to the

disposed equity shall be first recognized as other comprehensive income and then transferred to the current profit

and loss of the lost control when the control right is lost; In the consolidated financial statements for each transaction

before the loss of control the difference between the disposal price and the disposal investment corresponding to

the share of the subsidiary's net assets shall be recognized as other comprehensive income which shall be transferred

to the profit and loss of the current period at the time of loss of control.Multiple transactions are usually accounted for as "package transactions" where the terms conditions and economic

impact of the transactions meet one or more of the following conditions:

(a) The transactions were concluded at the same time or with consideration for their mutual impact.(b) The transactions as a whole are required to achieve a complete commercial outcome.(c) The occurrence of one transaction depends on the occurrence of at least one other transaction.(d) A transaction is not economic when considered in isolation but it is economic when considered in conjunction

with other transactions.* The proportion of equity owned by the parent company is diluted due to the capital increase by minority

shareholders of subsidiary

-73深圳市特力(集团)股份有限公司2022年半年度报告全文

The other shareholders (minority shareholders) of the subsidiary increase the capital of the subsidiary thus diluting

the shareholding ratio of the parent company to the subsidiary. In the consolidated financial statements the share of

the parent company in the book net assets of the subsidiary before the capital increase shall be calculated according

to the proportion of the parent company's equity before the capital increase and the difference between this share

and the share of book net assets of the subsidiary after capital increase calculated according to the shareholding ratio

of the parent company shall adjust the capital reserve (capital premium or stock premium) if the capital reserves is

insufficient to offset adjust the retained earnings.

7. Classification of joint venture arrangement and accounting for joint operations

The joint venture arrangement is an arrangement under the common control of two or more participants. Joint

venture arrangement of the Company are classified as joint operations and joint ventures.

(1) Joint operations

The joint operation is a joint arrangement in which the Company enjoys the assets and bears the liabilities

associated with such arrangement.The Company recognizes the following items that related to its shares of interest in a joint operation and accounts

for them in accordance with the provisions of the Accounting Standards for Business Enterprises (ASBE):

* To recognize separately-held assets and jointly-held assets under its proportion;

* To recognize separately-assumed liabilities and jointly-assumed liabilities under its proportion;

* To recognize revenue from disposal of the output which the Company is entitled to under the proportion;

* To recognize revenue from disposal of the output under the proportion;

* To recognize separately occurred expenses and to recognize expenses occurred for joint operations under its

proportion.

(2) Joint venture

A joint venture is a joint venture arrangement in which the Company has rights only to the net assets of such

arrangement.The Company accounts for its investments in joint ventures in accordance with the regulations of the equity method

of the long-term equity investment.

8. Recognition standards for cash and cash equivalents

Cash refers to the enterprise’s cash on hand and deposits that are readily available for disbursement. The cash

equivalents are investments that are held for a short period of time (generally maturing within three months from

the date of purchase) are highly liquid are easily convertible to known amounts of cash and are subject to an

insignificant risk of changes in value.

9. Foreign currency business and conversion of foreign currency statement

(1) Method of determining the conversion rate for foreign currency transactions

-74深圳市特力(集团)股份有限公司2022年半年度报告全文

For the initial recognition of foreign currency transactions the Company shall convert to the standard currency for

accounting at the spot rate on the date of the transaction or at the exchange rate (hereinafter referred to as the

approximate exchange rate of spot rate) determined in accordance with a systematic and reasonable method and

similar to the spot rate on the date of the transaction.

(2) Conversion method of foreign currency monetary items on the balance sheet date

On the balance sheet date the spot rate on the balance sheet date is used for conversion for foreign currency

monetary items. The exchange difference resulting from the difference between the spot exchange rate on the

balance sheet date and the spot exchange rate at the initial recognition or the previous balance sheet date shall be

booked into the profit and loss of the current period. For foreign currency non-monetary items measured at historical

cost the spot exchange rate on the transaction date is still used for conversion; The foreign currency non-monetary

items measured at fair value shall be converted at the spot exchange rate on the date on which the fair value is

determined and the difference between the amount of the standard currency for accounting after conversion and the

amount of the original standard currency for accounting shall be recorded into the profits and losses of the current

period.

10. Financial instruments

The financial instrument is a contract that forms a financial asset of one party and creates a financial liability or

equity instrument of another party.

(1) Recognition and terminate of recognition for a financial instrument

When the Company becomes a party to a financial instrument contract the relevant financial assets or liabilities are

recognized.A financial asset is terminate for recognition when one of the following conditions is met:

* the contractual rights to receive the cash flow of such financial assets are terminated:

* the financial assets have been transferred and the following conditions for derecognition of transfer of such

financial assets are met.Where the current obligation of a financial liability (or any part thereof) has been terminated the recognition of the

financial liability (or the part of the financial liability) shall be terminated. If the Company (borrower) and the lender

sign an agreement to replace the original financial liabilities by assuming new financial liabilities and the contract

terms of the new financial liabilities and the original financial liabilities are substantially different the recognition

of the original financial liabilities shall be terminated and the new financial liabilities shall be recognized at the

same time. If the Company materially modifies the contract terms of the original financial liability (or any part

thereof) the original financial liability shall be terminated and at the same time a new financial liability shall be

recognized in accordance with the modified terms.-75深圳市特力(集团)股份有限公司2022年半年度报告全文

Accounting recognition and termination of recognition are made on the trading day for buying and selling of

financial assets in the normal way. Conventional buying and selling of financial assets means that the financial

assets are delivered in accordance with the terms of the contract and on a schedule determined by regulation or

market practice. "Trading day" means the date on which the Company commits to buy or sell financial assets.

(2) Classification and measurement of financial assets

In the initial recognition the Company classifies the financial assets as financial assets measured at the amortized

cost financial assets measured at fair value and the changes are recorded into the profits and losses of the current

financial assets and financial assets measured at fair value and the changes are included in the financial assets of

other comprehensive income according to the business model for managing financial assets and the contractual cash

flow characteristics of the financial assets. Financial assets shall not be reclassified after initial recognition unless

the Company changes its business model for managing financial assets in which case all affected relevant financial

assets shall be reclassified on the first day of the first reporting period following the change in business model.Financial assets are measured at fair value when they are initially recognized. For the financial assets measured at

fair value and whose changes are 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 types of financial assets are

included in the initially recognized amount. For notes receivable and accounts receivable that are generated by the

sale of goods or the rendering of services and do not include or take into account a material financing component

the Company will initially measure them in accordance with the transaction price as defined by the revenue

standards.Subsequent measurement of financial assets depends on their classification:

* Financial assets measured at amortized cost

Financial assets simultaneously meet the following conditions are classified as financial assets measured at

amortized cost. The Company's business model for managing the financial assets is to collect contract cash flows;

the contract terms of the financial assets stipulate that the cash flows generated at a specific date are only payment

of principal and interest based on the amount of outstanding principal. For such financial assets the effective interest

method is used for follow-up measurement by the amortized cost and its termination of recognition and the profit

or loss arising from amortization and impairment by the effective interest rate method are included in the profits

and losses of the current period.* Financial assets measured at fair value and their changes are included in other comprehensive income

Financial assets simultaneously meet the following conditions are classified as financial assets measured at fair

value and whose changes are included in other comprehensive income. The Company's business model for

managing the financial assets is not only to collect contract cash flows but also to sell the financial asset; the

contractual terms of the financial assets stipulate that the cash flows generated at a specific date are only payment

-76深圳市特力(集团)股份有限公司2022年半年度报告全文

of principal and interest on the amount of outstanding principal. For such financial assets the fair value is used for

subsequent measurement. Except the impairment loss or gain and the exchange gain or loss are recognized as current

profits and losses the changes in fair value of such financial assets are recognized as other comprehensive income

until the termination of recognition of the financial assets the accumulated gains or losses are transferred into the

current profits and losses. However the relevant interest income of the financial asset calculated by using the

effective interest rate method is included in the profit and loss of the current period.The Company irrevocably select part of non-transactional equity instrument investment to be designated as financial

assets measured at fair value and whose changes are included in other comprehensive income only the relevant

dividend income is recorded into the profits and losses of the current period fair value changes are recognized as

other comprehensive income and the cumulative profits or losses are transferred into retained earnings until the

termination of recognition of the financial assets.* Financial assets measured at fair value and whose changes are included in current profits and losses

Financial assets in addition to the above financial assets measured at amortized cost and financial assets measured

at fair value and whose changes are included in other comprehensive income are classified as financial assets

measured at fair value and whose changes are included in current profits and losses. For such financial assets the

fair value is used for subsequent measurement and all changes in fair value are included in the current profits and

losses.

(3) Classification and measurement of financial liabilities

The Company classifies the financial liabilities as financial liabilities measured at fair value and whose changes are

included in the profits and losses of the current period loan commitment and financial guarantee contract liabilities

below market interest rate loans and financial liabilities measured at amortized cost.The subsequent measurement of a financial liability depends on its classification:

* Financial liabilities measured at fair value and whose changes are included in the profits and losses of the current

period

Such financial liabilities include tradable financial liabilities (including derivatives belonging to financial liabilities)

and financial liabilities designated to be measured at fair value and whose changes are included in current profits

and losses. After initial recognition the fair value is used for subsequent measurement for such financial liabilities.Except for those related to the hedge accounting the profits or losses (including interest expense) generated are

recorded into the current profits and losses. However for the financial liabilities designated by the Company to be

measured at fair value and whose changes are included in the profits and losses of the current period the amount of

changes in the fair value of the financial liabilities caused by changes in its own credit risk is included in other

comprehensive income at the termination of recognition of the financial liabilities the accumulated gains and losses

previously included in other comprehensive income shall be transferred from other comprehensive income and

included in retained earnings.-77深圳市特力(集团)股份有限公司2022年半年度报告全文

* Loan commitment and financial guarantee contract liabilities

A loan commitment is an undertaking provided by the Company to the customer to issue a loan to the customer

within the commitment period on the terms of the established contract. The impairment loss of the loan commitment

is set down in accordance with the expected credit loss model.A financial guarantee contract is a contract that requires the Company to pay a specified amount of money to the

contract holder who suffers a loss when the particular debtor is unable to pay the debt in accordance with the original

or modified terms of the debt instrument at maturity. Financial guarantee contract liabilities shall be measured in

accordance with the impairment principle of financial instruments determined in accordance with the loss provision

and initial recognition of the amount of the balance of the accumulated amortization determined in accordance with

the income recognition principle.* Financial liabilities measured at amortized cost

After initial recognition other financial liabilities are measured at amortized cost by using the effective interest rate

method.Except in special circumstances financial liabilities and equity instruments are distinguished according to the

following principles:

* A contractual obligation meets the definition of a financial liability if the Company cannot unconditionally refrain

from performing it by paying cash or other financial assets. Although some financial instruments do not explicitly

contain terms and conditions for the obligation to deliver cash or other financial assets it is possible to indirectly

form contractual obligations through other terms and conditions.* If a financial instrument has to use or can use the Company's own equity instrument for settlement consideration

needs to be given to whether the Company's own equity instrument used to settle the instrument is to be used as a

substitute for cash or other financial assets or to give the owner of the instrument a residual interest in the issuer's

assets after all liabilities have been deducted. In the former case the instrument is a financial liability of the issuer;

In the latter case the instrument is an equity instrument of the issuer. In some cases a financial instrument contract

requires that the Company has to use or can use its own equity instrument to settle the financial instrument of which

the amount of contractual rights or contractual obligations is equal to the number of its own equity instruments

available or delivered multiplying its fair value at the settlement no matter the amount of the contract rights or

obligations are fixed or are based in whole or in part on changes in variables (such as interest rates the price of a

commodity or the price of a financial instrument) other than the market price of the Company’s own equity

instruments the contract is classified as a financial liability.

(4) Derivative financial instruments and embedded derivative instruments

Derivative financial instruments are initially measured at the fair value of the date on which the derivative

transaction contract is signed and are subsequently measured at their fair value. A derivative financial instrument

-78深圳市特力(集团)股份有限公司2022年半年度报告全文

with a positive fair value is recognized as an asset; and a derivative financial instrument with a negative fair value

is recognized as a liability.Except the effective part of the hedge in the cash flow hedging is included in other comprehensive income and

transferred out into the current profit and loss when the hedged item affects the profit and loss the profit or loss

generated by the change of the fair value of the derivative instrument shall be directly included in the profits and

losses of the current period.For hybrid instruments containing embedded derivatives if the main contract is a financial asset the hybrid

instruments as a whole apply to the relevant provisions on the classification of financial assets. If the main contract

is not a financial asset and the hybrid instruments are not measured at fair value and the changes are recorded into

the current profits and losses for accounting treatment the embedded derivatives have no close relationship with

the main contract in economic characteristics and risks and the instrument with the same conditions as the

embedded derivatives and existing alone satisfies the definition of derivatives the embedded derivatives shall be

split from the hybrid instruments and handled as an individual derivative financial instrument. If the fair value of

the embedded derivative on the acquisition date or on the subsequent balance sheet date cannot be measured

separately the hybrid instruments as a whole shall be designated as a financial asset or financial liability measured

at fair value and whose changes are recorded in the profits and losses of the current period.

(5) Impairment of financial instruments

For financial assets measured at amortized cost debt investment measured at fair value and whose changes are

included in other comprehensive income contract assets lease receivables loan commitments and financial

guarantee contract the Company recognizes loss provisions on the basis of expected credit losses.* Measurement of expected credit losses

Expected credit loss refers to the weighted average of the credit loss of a financial instrument weighted by the risk

of default. Credit loss refers to the difference between all contractual cash flows receivable under the contract and

all cash flows expected to be received by the Company discounted at the original effective interest rate namely the

present value of all cash shortfalls. Among them the financial assets purchased or generated by the Company which

have credit impairment shall be discounted according to the credit adjusted effective interest rate of the financial

assets.The expected credit loss over the entire duration refers to the expected credit loss due to all possible default events

that may occur during the entire expected duration of a financial instrument.Expected credit loss in the next 12 months refers to the expected credit loss resulting from the default event of a

financial instrument that may occur within 12 months after the balance sheet date (or the expected duration if the

expected duration of the financial instrument is less than 12 months) and is a part of the expected credit loss over

-79深圳市特力(集团)股份有限公司2022年半年度报告全文

the entire duration.At each balance sheet date the Company measures the expected credit losses of financial instruments at different

stages of development separately. If the credit risk of the financial instrument has not increased significantly since

the initial recognition it shall be in the first stage and the Company shall measure the loss provisions according to

the expected credit loss in the next 12 months; Where the credit risk of a financial instrument has increased

significantly since the initial recognition but no credit impairment has occurred the financial instrument shall be in

the second stage and the Company shall measure the loss provisions in accordance with the expected credit loss of

the instrument throughout its lifetime; Where a financial instrument has suffered credit impairment since its initial

recognition it shall be in the third stage and the Company shall measure the loss provisions in accordance with the

expected credit loss for the entire duration of the instrument.For financial instruments with low credit risk at the balance sheet date the Company assumes that the credit risk

has not increased significantly since the initial recognition and measures the loss provisions in accordance with the

expected credit loss in the next 12 months.The Company calculates the interest income for financial instruments in the first and second stages and with low

credit risk on the basis of their book balance and the actual interest rate without deduction of impairment provision.For a financial instrument in the third stage the interest income is calculated on the basis of the book balance minus

the amortized cost and the actual interest rate after the provision for impairment.For notes receivable accounts receivable receivables financing and contractual assets whether or not there is a

significant financing component the Company measures loss provisions in accordance with the expected credit

losses over the entire duration.A. Receivables/Contractual assets

For notes receivable accounts receivable other receivables receivables financing contract assets and long-term

receivables that have objective evidence indicating the existence of impairment and are applicable to single

evaluation implement impairment test separately recognize expected credit losses and set aside single impairment

reserves. For notes receivable accounts receivable other receivables receivables financing contractual assets and

long-term receivables that have objective evidence of impairment or when the single financial assets cannot assess

the expected credit losses at reasonable costs the Company divides notes receivable accounts receivable other

receivables receivables financing contractual assets and long-term receivables into several portfolios based on

credit risk characteristics and calculates the expected credit loss on the basis of the portfolios and the portfolio is

determined on the following basis:

The basis for determining the portfolio of notes receivable is as follows:

Notes receivable portfolio 1 Commercial acceptance bill

-80深圳市特力(集团)股份有限公司2022年半年度报告全文

Notes receivable portfolio 2 Bank’s acceptance bill

For notes receivable divided into portfolios the Company calculates the expected credit loss by referring to the

historical credit loss experience combining the current situation and the forecast of future economic conditions and

through default risk exposure and the expected credit loss rate of the entire duration.The portfolio of accounts receivable is determined as follows:

Accounts receivable portfolio 1 Aging portfolio

Accounts receivable portfolio 2 Jewelry sales portfolio

For accounts receivable divided into portfolio the Company refers to the historical credit loss experience combines

the current situation and the forecast of the future economic situation prepares a comparison table of the aging

account receivable and the expected credit loss rate of the entire duration and calculates the expected credit loss.The portfolio of other receivables is determined on the following basis:

Other receivables portfolio 1 Interest receivable

Other receivables portfolio 2 Dividends receivable

Other receivables portfolio 3 Aging portfolio

Other receivables portfolio 4 Deposit receivable and cash deposit portfolio

Other receivables portfolio 5 Related portfolio within the consolidation scope of receivables

For other receivables divided into portfolios the Company calculates the expected credit loss by referring to the

historical credit loss experience combining the current situation and the forecast of future economic conditions and

through default risk exposure and the expected credit loss rate within the next 12 months and over the entire duration.The basis for determining the portfolio of long-term receivables is as follows:

Long-term receivables portfolio 1 Other receivables

For the long-term receivables divided into Portfolio 1 the Company calculates the expected credit loss by referring

to the historical credit loss experience combining the current situation and the forecast of future economic

conditions and through default risk exposure and the expected credit loss rate over the entire duration.B. Bond investment and other bond investment

With respect to bond investments and other bond investments the Company calculates the expected credit losses in

accordance with the nature of the investment and the various types of counterparties and risk exposures and the

expected credit loss rates in the next 12 months or over the entire duration.* Low credit risk

If a financial instrument has low credit risk the the borrower has a strong ability to fulfill its contractual cash flow

obligations in the short term and even adverse changes in the economic situation and operating environment over

a longer period may not necessarily reduce the borrower's ability to fulfill its contractual cash flow obligations the

-81深圳市特力(集团)股份有限公司2022年半年度报告全文

financial instrument shall be regarded as a lower credit risk.* Credit risk increases significantly

The Company determines the relative changes in the probability of default over the expected duration of a financial

instrument and evaluates whether the credit risk of the financial instruments has increased significantly since the

initial recognition by comparing the probability of default over the expected duration of a financial instrument as

determined at the balance sheet date and the probability of default over the expected duration as determined at the

time of initial recognition.When determining whether the credit risk has increased significantly since the initial recognition the Company

considers reasonable and evidence-based information including forward-looking information that is available

without unnecessary additional cost or effort. Information considered by the Company includes:

A. Whether the internal price index has changed significantly due to the change of credit risk;

B. Adverse changes in business finance or economic conditions that are expected to result in a significant change

in the ability of the debtor to meet its debt service obligations;

C. Whether there is an actual or expected significant change in the debtor's operating results; Whether there has

been a significant adverse change in the regulatory economic or technological environment of the debtor;

D. Whether there has been a significant change in the value of the collateral secured as collateralized debt obligations

or in the quality of the guarantees or credit enhancements provided by third parties. These changes are expected to

reduce the economic incentive of the debtor to repay within the contractual period or affect the probability of default;

E. Whether there are significant changes in the economic incentives that are expected to reduce the economic

incentive of the debtor to repay within the contractual period;

F. Expected changes in the loan contract include whether an anticipated breach of contract might result in exemption

or revision of contractual obligations grant of interest free periods jump in interest rates request for additional

collateral or guarantee or other changes to the contractual framework of the financial instrument;

G. Whether there is a significant change in the debtor's expected performance and repayment behavior;

H. Whether the contract payment is overdue for more than (including) 30 days.Based on the nature of the financial instruments the Company assesses whether the credit risk has increased

significantly on the basis of individual financial instruments or a portfolio of financial instruments. When assessing

on the basis of a portfolio of financial instruments the Company may classify the financial instruments based on

common credit risk characteristics such as overdue information and credit risk ratings.Typically if it is overdue for more than 30 days the Company determines that the credit risk of financial instruments

has increased significantly. Unless the Company does not need to pay too much cost or effort and can obtain

reasonable and well-founded information which demonstrates that although the payment is overdue for 30 days

the credit risk has not been significantly increased since the initial recognition.-82深圳市特力(集团)股份有限公司2022年半年度报告全文

* Financial assets whose credit impairment has occurred

On the balance sheet date the Company assesses whether credit impairment has occurred in the financial assets

measured at amortized cost and the debt investment measured at fair value and the changes of which are included

in other comprehensive income. When one or more events that have an adverse effect on the expected future cash

flow of a financial asset occur the financial asset becomes a financial asset whose credit impairment has occurred.Evidence indicating that a credit impairment has occurred on a financial asset includes the following observable

information:

The creditor for economic or contractual reasons relating to the debtor's financial difficulties gives the debtor

concessions that would not have been made in any other circumstances; The issuer or the debtor has significant

financial difficulties; The debtor breaches the contract such as default or overdue payment of interest or principal;

The creditor for economic or contractual reasons relating to the debtor's financial difficulties gives the debtor

concessions that would not have made in any other circumstances; The debtor is likely to go bankrupt or undergo

other financial restructuring; The financial difficulties of the issuer or debtor lead to the disappearance of the active

market for the financial asset; Purchase or originate a financial asset at a substantial discount that reflects the fact

that a credit loss has occurred.* Presentation of provisions for expected credit losses

In order to reflect the change of the credit risk of financial instruments since the initial recognition the Company

shall re-measure the expected credit loss on each balance sheet date and the resulting increase or reversal amount

of the loss provisions shall be recorded into the current profit and loss as impairment loss or gain. For a financial

asset measured at amortized cost the loss provision is offset against the carrying value of the financial asset as

shown in the balance sheet; For a debt investment measured at fair value and whose changes are included in other

comprehensive income the Company shall recognize its loss provision in other comprehensive income and shall

not offset the carrying value of the financial asset.* Write-off

If the Company no longer reasonably expects the contract cash flow of the financial asset to be recovered in whole

or in part the book balance of the financial asset shall be written down directly. Such write-down constitutes the

termination of recognition of the underlying financial asset. This usually occurs when the Company determines that

the debtor has no assets or sources of income which will generate sufficient cash flow to repay the amount to be

written down.If the write-down financial asset is recovered later the impairment loss shall be reversed and included in the profits

and losses of the recovery period.

(6) Transfer of financial assets

Transfer of financial assets refers to the following two situations:

A. Transfer the contractual right to receive the cash flow of the financial asset to another party;

-83深圳市特力(集团)股份有限公司2022年半年度报告全文

B. Transfer the financial asset in whole or in part to another party but retain the contractual right to receive the cash

flow of the financial asset and the contractual obligation to pay the cash flow received to one or more payees.* Terminate the recognition of transferred financial assets

Where almost all risks and rewards of ownership of a financial asset have been transferred to the transferee or

almost all risks and rewards of ownership of a financial asset have been neither transferred nor retained but the

control over the financial asset has been relinquished recognition of the financial asset shall be terminated.When judging whether the control of the transferred financial asset has been given up based on the actual ability of

the transferee to sell the financial asset if the transferee can unilaterally sell the transferred financial asset as a whole

to an unrelated third party with no additional conditions restricting such sale it means that the Company has given

up its control over the financial asset.The Company pays attention to the essence of financial asset transfer when judging whether the transfer of financial

assets meets the conditions for the termination of recognition of financial asset.Where the overall transfer of financial assets meets the conditions for termination of recognition the difference

between the following two amounts shall be recorded into the profits and losses of the current period:

A. Book value of the transferred financial assets;

B.The sum of the consideration received due to the transfer and the amount for the termination of recognition part

in the cumulative amount of changes in fair value directly included in other comprehensive income (The financial

assets involved in transfer are financial assets that are measured at fair value and their changes are included in other

comprehensive income according to Article 18 of Accounting Standards for Business Enterprises No. 22 -

Recognition and Measurement of Financial Instruments).When the partial transfer of a financial asset meets the criteria for recognition of termination the entire book value

of the transferred financial asset shall be apportioned between the portion whose recognition is terminated and the

portion whose recognition is not terminated (in this case the reserved service assets shall be regarded as a part of

the financial assets continued to be recognized) in accordance with the respective relative fair value on the transfer

day and the balance between the following two amounts shall be recorded into the profits and losses of the current

period :

A. Book value of the the portion whose recognition is terminated on the date of termination of recognition;

B. The sum of the consideration of the portion whose recognition has been terminated and the amount for the

termination of recognition part in the cumulative amount of changes in fair value directly included in other

comprehensive income (The financial assets involved in transfer are financial assets that are measured at fair value

and their changes are included in other comprehensive income according to Article 18 of Accounting Standards for

Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments).* Continued involvement in the transferred financial assets

Where almost all the risks and rewards of ownership of the financial asset are neither transferred nor retained

-84深圳市特力(集团)股份有限公司2022年半年度报告全文

control over the financial asset has not been relinquished the relevant financial asset shall be recognized in

accordance with the extent of its continued involvement in the transferred financial asset and the relevant liabilities

shall be recognized accordingly.The extent of continued involvement in the transferred financial assets refers to the extent to which the enterprise

bears the risk or reward of changes in the value of the transferred financial assets.* Continue to recognize the transferred financial assets

Where almost all the risks and rewards of the ownership of the transferred financial asset are still retained the

transferred financial asset as a whole shall continue to be recognized and the consideration received shall be

recognized as a financial liability.The financial assets and the relevant financial liabilities recognized shall not offset each other. In the subsequent

accounting period the enterprise shall continue to recognize the income (or gain) generated by the financial asset

and the expense (or loss) generated by the financial liability.

(7) Offset of financial assets and financial liabilities

Financial assets and financial liabilities shall be shown separately in the balance sheet and should not be set off

against each other. However if the following conditions are met at the same time the net amount after mutual offset

shall be presented in the balance sheet:

The Company has the legal right to offset the recognized amount and such legal right is currently enforceable;

The Company plans a net settlement or cashes the financial asset and liquidates the financial liability at the same

time.If the transfer of financial assets does not meet the conditions for termination of recognition the transferring party

shall not offset the transferred financial assets and related liabilities.

11. Inventory

(1)Classification

Inventory includes finished products or commodities held for sale in daily activities products in the production

process materials and supplies consumed in the production process or the process of providing labor services etc.including raw materials inventory goods goods sold on consignment and working capital materials.

(2)Valuation methods for delivery of inventory

The delivery of inventory shall be priced individually on a first-in first-out basis.

(3) Inventory system

Inventory of the Company is inventoried on a perpetual basis. And the inventory is taken at least once a year and

-85深圳市特力(集团)股份有限公司2022年半年度报告全文

amount of gains/losses is recognized in gains/losses for the year.

(4) How to set aside the inventory write down

On the balance sheet date it shall be measured at the lower of cost and net realizable value. If the inventory cost is

higher than the net realizable value set aside the inventory write down and record it into the profit and loss of the

current period.The net realizable value of the inventory shall be determined on the basis of reliable evidence obtained and factors

such as the purpose for which the inventory is held and the impact of events after the balance sheet date shall be

taken into account.* The net realizable value of the inventory directly used for sale such as finished products commodities and

materials for sale shall be determined in the normal process of production and operation by deducting the estimated

selling cost and relevant taxes from the estimated selling price of the inventory. For inventories held for the

execution of sales contracts or service contracts the contract price shall be used as the measurement basis for the

net realizable value; If the quantity of inventory held exceeds the quantity ordered under the sales contract the net

realizable value of the excess inventory shall be measured on the basis of the general sales price. The market price

shall be used as the measurement basis for the net realizable value of the materials for sale etc.* The net realizable value of the inventory of materials to be processed is determined by the amount after deducting

the estimated cost estimated selling expenses and relevant taxes and fees at the time of completion from the

estimated selling price of the finished products. If the net realizable value of the finished product produced by it is

higher than the cost the material shall be measured at cost; If the decline in the price of a material indicates that the

net realizable value of the finished product is less than the cost the material is measured at the net realizable value

and inventory write down is set aside based on the difference.* The reserve for inventory write down is generally set aside as a single inventory item. For the inventory with

large quantity and low unit price it shall be set aside by inventory type.* On the balance sheet date if the influencing factors of the previous write-down of the inventory value have

disappeared the write-down amount shall be restored and the amount shall be reversed within the original amount

of the inventory write down and the reversed amount shall be recorded into the profits and losses of the current

period.

12. Contract assets

The Company lists contractual assets or contract liabilities in the balance sheet based on the relationship between

performance obligations and customer payments. The consideration to which the Company is entitled to receive for

-86深圳市特力(集团)股份有限公司2022年半年度报告全文

the goods or services it has transferred to the customer (and the right depends on factors other than the passage of

time) is listed as contract assets. The company's obligations to transfer goods or provide services to customers for

which consideration has been received or receivable are listed as contract liabilities.The Company's determination method and accounting treatment method on expected credit loss of contract assets

are detailed in Notes Ⅳ. 10.Contract assets and contract liabilities shall be listed separately in the balance sheet. The contract assets and contract

liabilities under the same contract are listed as net amount. If the net amount is the debit balance it shall be listed

under the item "Contract Assets" or "Other Non-current Assets" according to its liquidity; If the net amount is the

net credit balance it shall be listed under the "Contract Liabilities" or "Other Non-current liabilities" according to

its liquidity. Contract assets and contract liabilities under different contracts cannot offset each other.

13. Contract cost

Contract cost is divided into contract performance cost and contract acquisition cost.The cost incurred by the Company for the performance of the contract is recognized as an asset as the performance

cost of the contract when the following conditions are met simultaneously:

* The cost is directly related to a current or expected 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.* This cost increases the Company's resources for future performance obligations.* The cost is expected to be recouped.If the incremental cost incurred by the Company to acquire the contract is expected to be recovered it shall be

recognized as an asset as the contract acquisition cost.Assets related to contract costs are amortized on the same basis as revenue recognition for the goods or services

related to the assets however if the amortization period of the contract acquisition cost does not exceed one year

the Company will record it into the current profit and loss when it occurs.If the carrying value of the assets related to the contract cost is higher than the difference between the following two

items the Company will set aside impairment reserves of the excess part and recognize it as impairment loss of the

asset and further consider whether to set aside provision for the expected liabilities related to the loss contract:

* The remaining consideration expected to be obtained from the transfer of goods or services related to the asset;

* Cost estimated to be incur for transferring the related goods or services.-87深圳市特力(集团)股份有限公司2022年半年度报告全文

If the aforesaid asset impairment provision is subsequently reversed the carrying value of the asset after the reversal

shall not exceed the carrying value of the asset on the reversal date under the assumption that no impairment

provision is made.Contract performance costs recognized as assets whose amortization period at the initial recognition does not exceed

one year or one normal operating cycle shall be listed in the item "Inventory" and those whose amortization period

at the initial recognition exceed one year or one normal operating cycle shall be listed in the item "Other Non-

current Assets".Contract acquisition costs recognized as assets whose amortization period at the initial recognition does not exceed

one year or one normal operating cycle shall be listed in the item "Other Current Assets" and those whose

amortization period at the initial recognition exceeds one year or one normal operating cycle shall be listed in the

item "Other Non-current Assets".

14.Assets held-for-sale

(1)Classification of non-current assets or disposal groups held for sale

The Company classifies non-current assets or disposal groups that meet all of the following conditions as held-for-

sale:

* according to the practice of selling this type of assets or disposal groups in a similar transaction the non-current

assets or disposal group can be sold immediately at its current condition;

* The sale is likely to occur that is the Company has made resolution on the selling plan and obtained definite

purchase commitment the selling is estimated to be completed within one year. Those assets whose disposal is

subject to approval from relevant authority or supervisory department under relevant requirements are subject to

that approval.The non-current assets or disposal group acquired by the company specifically for resale shall be classified as held

for sale on the date of acquisition if meets the condition of “expected to complete the sale within one year” on the

acquisition date and is likely to meet other classification conditions of held for sale in the short term (usually 3

months) .Where the Company loses control over its subsidiary due to disposal of investment in the subsidiary whether or not

the Company retains part equity investment after such disposal investment in the subsidiary shall be classified in

its entirety as held for sale in the separate financial statement of the parent company subject to that the investment

in the subsidiary proposed to be disposed satisfies the conditions for being classified as held for sale and all the

assets and liabilities of the subsidiary shall be classified as held for sale in consolidated financial statement.-88深圳市特力(集团)股份有限公司2022年半年度报告全文

(2) Measurement of non-current assets held for sale or disposal group

The investment real estate by using fair value model for subsequent measurement the biological assets measured

at net amount after fair value minus sale cost the assets formed by employee compensation the deferred income

tax assets the financial assets specified by related accounting standards of financial instruments and the

measurements of the rights generated by the insurance contract specified by related accounting standards of

insurance contract respectively apply to other related accounting standards.When initially measuring or remeasuring the non-current assets held for sale or disposal group on the balance sheet

date if its book value is higher than the net amount after the fair value minus the sale cost book value will be

written down to the net amount after the fair value minus the sale cost the write-down amount shall be recognized

as asset impairment loss and included in the current profits and losses and the impairment reserves held for sale

shall be set aside at the same time. On the subsequent balance sheet date if the net amount of the fair value of the

non-current assets or disposal group held for sale increases after subtracting the selling expenses the previously

written-down amount shall be recovered and reversed within the amount of the asset impairment losses recognized

as non-current assets after being classified as held for sale and the reversed amount is included in the current profits

and losses. The carrying amount of goodwill that has been offset is not recovered.When non-current assets or disposal groups no longer continue to be classified as held for sale as they no longer

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

sale disposal group measure based on the lower of the following two:

* Book value before being classified as held for sale the amount adjusted according to the depreciation

amortization or impairment that should have been recognized under the assumption that it is not classified as held

for sale;

* Recoverable amount.

(3) Presentation

In the balance sheet the Company lists non-current assets held for sale or assets in the disposal group held for sale

separately from other assets and lists liabilities in the disposal group held for sale separately from other liabilities.Non-current assets held for sale or assets in the disposal group held for sale and liabilities in the disposal group held

for sale do not offset each other and are listed as current assets and current liabilities respectively.

15. Long-term equity investment

The long-term equity investment of the Company includes the equity investment which controls and has a significant

impact on the investee and the equity investment in the joint venture. If the Company is able to exert significant

influence on the invested entity it shall be an associate enterprise of the Company.-89深圳市特力(集团)股份有限公司2022年半年度报告全文

(1) Basis for determining the joint control and significant impact on the investee

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

activities of the arrangement must be agreed upon by all the participants who share the control right. When judging

whether there is joint control first judge whether all participants or participant portfolios collectively control the

arrangement. If all participants or a group of participants must act in concert to determine the relevant activities of

an arrangement then all participants or a group of participants are considered to collectively control the arrangement.Secondly it will judge whether the decision of the activities related to the arrangement must be agreed by the

participants who collectively control the arrangement. If two or more participant portfolios can collectively control

an arrangement it does not constitute joint control. The existence of joint control is judged without regard to the

protective rights enjoyed.Significant impact means that the investor has the right to participate in the decision-making of the financial and

operational policies of the investee but cannot control or jointly control the formulation of these policies with other

parties. When determining whether it can exert a significant impact on the investee it shall consider the impact of

the voting shares directly or indirectly held by the investor and the potential voting rights of the investor and other

parties in the current period assumed to be converted into the equity of the investee including the impact of current

convertible warrants stock options and convertible corporate bonds issued by the investee.When the Company owns more than 20% (including 20%) but less than 50% of the voting shares of the investee

directly or indirectly through its subsidiaries it is generally considered to have a significant impact on the investee

unless there is clear evidence that it cannot participate in the production and operation decisions of the investee

under such circumstances it shall not have a significant impact.

(2) Recognition of initial investment cost

●Investment cost of the long-term equity investment resulting from enterprise combination is recognized in

accordance with the following provisions:

A. In the case of a business combination under the same control if the combining party pays cash transfers non-

cash assets or assumes debts as the merger consideration the share of the book value of the acquired owner’s equity

of the combined party in the consolidated financial statements of the ultimate controlling party shall be used as its

initial investment cost. The difference between the initial investment cost of long-term equity investment and the

carrying amount of cash paid non-cash assets transferred and liabilities assumed is adjusted to capital reserves; if

the capital reserves is not sufficient to offset the difference retained earnings is adjusted.B. For a business combination under the same control where the merging party issues equity securities as the merger

consideration the initial investment cost of the long-term equity investment shall be the share of the book value of

the owner's equity of the merged party in the consolidated financial statements of the final controlling party on the

merger date. The capital reserves shall be adjusted according to the difference between the initial investment cost

of a long-term equity investment and the total par value of the issued shares; if the capital reserves are insufficient

-90深圳市特力(集团)股份有限公司2022年半年度报告全文

to offset the retained earnings shall be adjusted;

C. For a business combination not under the same control the fair value of the assets paid liabilities incurred or

assumed and equity securities issued on the purchase date in order to acquire the control of the acquiree determines

the merger cost as the initial investment cost of long-term equity investment. The intermediary fees for auditing

legal services evaluation and consultation and other related administrative expenses incurred by the merger party

shall be recorded into the profits and losses of the current period when incurred.●Except for the long-term equity investment formed by enterprise merger the investment cost of the long-term

equity investment obtained by other means shall be determined in accordance with the following provisions:

A. For long-term equity investment acquired by paying cash the actual purchase price paid is regarded as the

investment cost. Initial investment cost includes expenses taxes and other necessary expenses directly related to the

acquisition of long-term equity investment.B. For long-term equity investment acquired by issuing equity securities the fair value of issuing equity securities

is regarded as the investment initial investment cost.C. For long-term equity investment acquired by the exchange of non-monetary assets

if the exchange is of a commercial nature and the fair value of the assets received or surrendered can be reliably

measured the fair value of the assets surrendered and the relevant taxes and fees shall be taken as the initial

investment cost and the difference between the fair value and the book value of the assets surrendered shall be

included in the current profits and losses. If the exchange of non-monetary assets does not meet the above two

conditions at the same time the book value of the assets surrendered and relevant taxes and fees shall be taken as

the initial investment cost.D. For long-term equity investment acquired through debt restructuring its entry value shall be determined by the

fair value of the abandoned creditor's rights and the taxes and other costs directly attributable to the asset and the

difference between the fair value of the abandoned creditor's rights and the carrying value shall be recorded into the

current profits and losses.

(3) Methods of subsequent measurement and profit and loss recognition

The long-term equity investment that the Company can control over the invested unit shall use cost method for

business accounting; Long-term equity investments in joint ventures and cooperative enterprises shall use equity

method for business accounting.* Cost method

For the long-term equity investment uses cost method for business accounting the cost of the long-term equity

investment shall be adjusted when the investment is added or recovered; Cash dividends or profits declared to be

distributed by the invested entity shall be recognized as current investment income.-91深圳市特力(集团)股份有限公司2022年半年度报告全文

* Equity method

The general accounting treatment for long-term equity investments using equity method for business accounting is

as follows:

If the investment cost of the Company's long-term equity investment is greater than the fair value share of the

identifiable net assets of the invested entity the initial investment cost of the long-term equity investment shall not

be adjusted; If the initial investment cost of the long-term equity investment is less than the fair value share of the

identifiable net assets of the invested entity at the time of investment the difference shall be recorded into the current

profits and losses and the cost of the long-term equity investment shall be adjusted at the same time.The Company recognizes investment income and other comprehensive income respectively according to the share

of net profit and loss realized by the invested entity and other comprehensive income which the Company shall

enjoy or share and adjusts the book value of long-term equity investment at the same time; The Company calculates

its share based on the profits or cash dividends declared and distributed by the invested entity and reduce the book

value of the long-term equity investment accordingly; The book value of the long-term equity investment shall be

adjusted based on other changes in the owner's equity other than the net profit or loss other comprehensive income

and profit distribution of the invested entity and recorded into the owner's equity. When recognizing the share of

the net profit or loss of the invested entity the fair value of the identifiable net assets of the invested entity at the

time of acquiring the investment shall be taken as the basis and the net profit of the invested entity shall be

recognized after adjustment. If the accounting policies and accounting periods adopted by the invested entity are

inconsistent with those of the Company the financial statements of the invested entity shall be adjusted in

accordance with the accounting policies and accounting periods of the Company and the investment income and

other comprehensive income shall be recognized on the basis thereof. The part of profit and loss of the unrealized

internal transactions between the Company and the associated enterprises and joint ventures which is attributable to

the Company by calculating according to the proportion enjoyed shall be set off and the investment profit and loss

shall be recognized on this basis. If the loss of unrealized internal transaction between the Company and the invested

entity belongs to impairment loss of assets it shall be recognized in full.If the company is able to exert significant influence or implement joint control on the investee due to additional

investment and other reasons which does not constitute control the fair value of the original equity investment plus

the new investment cost shall be taken as the initial investment cost according to the equity method. If the previously

held equity investment is classified as other equity instrument investment the difference between its fair value and

book value as well as the accumulated gains or losses originally included in other comprehensive income shall be

transferred from other comprehensive income and included in retained earnings in the current period when changing

to use equity method for accounting.Where the joint control or significant influence on the invested unit is lost due to the disposal of some equity

-92深圳市特力(集团)股份有限公司2022年半年度报告全文

investments the remaining equity after disposal shall be measured by the fair value and the difference between the

fair value and the book value on the date of the loss of joint control or significant influence shall be recorded into

the current profits and losses. Other comprehensive income of the original equity investment recognized by using

the equity method for accounting adopts the same basis as the direct disposal of related assets or liabilities by the

invested entity for accounting treatment when the equity method is discontinued.

(4) Equity investments held for sale

Where the equity investment of a joint venture or associated enterprise is classified in whole or in part as assets held

for sale see Notes III. 15 for relevant accounting treatment.For the remaining equity investment not classified as assets held for sale the equity method is used for accounting

treatment.If an equity investment in a joint venture or associated enterprise that has been classified as assets held for sale no

longer meets the classification conditions for assets held for sale it shall be retroactively adjusted by using the

equity method from the date when it is classified as assets held for sale. The financial statements for the period

classified as held for sale are adjusted accordingly.

(5) Impairment test method and impairment reserve calculation method

For the investment of a subsidiary associated enterprise or joint venture see Notes Ⅳ. 21 for the method of setting

aside the impairment of assets.

16. Investment real estate

(1) Category of investment real estate

The investment real estate is the real estate that held to earn rents or for capital appreciation or both. Mainly

includes:

* Leased land use rights.* Land use rights held and ready to be transferred after appreciation.* Leased buildings

(2) Measurement of investment real estate

The Company adopts the cost model to carry out follow-up measurement of investment real estate see Note Ⅳ. 21

for the method of setting aside the impairment of assets.After deducting the accumulated impairment and net residual value of the investment real estate cost the Company

calculates the depreciation or amortization by the straight-line method. The categories of the investment real estate

the estimated economic useful life and the estimated net residual value rate determine the depreciation life and the

annual depreciation rate as follows:

-93深圳市特力(集团)股份有限公司2022年半年度报告全文

Years of

Category Scrap value rate(%) Yearly depreciation rate(%)

depreciation(year)

House and buildings 35-40 3 2.77-2.43

Land use right 50 — 2.00

17. Fixed assets

(1) Recognition

Fixed assets are recognized at their actual cost at the time of acquisition when both of the following conditions are

met:

* the economic benefits associated with the fixed assets are likely to flow into the enterprise.* cost of the fixed assets can be measured reliably.If the subsequent expenditure incurred for fixed assets that meet the conditions for recognition of fixed assets are

included in the costs of fixed assets; those that qualify for recognition as fixed assets are recognized in current

gain/loss.

(2) Depreciation methods

Category Method Annual depreciation Years of depreciation Salvage rates rates

House and buildings Straight-line 10 35-40 0、3 2.43-2.77 10.00

depreciation

Including: owned Straight-line

house renovation 10 0 10 depreciation

Machinery equipment Straight-line 12 3 8.08

depreciation

Transport equipment Straight-line 7 3 13.86

depreciation

Electronic equipment Straight-line 5-7 3 13.86-19.40

depreciation

Office and other Straight-line

7313.86

equipment depreciation

(3) Recognition measurement and depreciation of fixed assets held under finance lease

18. Construction in progress

(1) Business accounting of the construction work in process in based on project classification.

(2) Standard and time point for carrying forward the construction work in process into fixed assets

For the construction work in process project the book value of the fixed asset is all the expenses incurred before

the construction of the asset reaches the predetermined serviceable state. Including construction costs the original

-94深圳市特力(集团)股份有限公司2022年半年度报告全文

price of machinery and equipment other necessary expenses incurred to make the construction work in process

reach the predetermined serviceable state as well as the borrowing costs incurred for the special borrowing of the

project before the assets reach the predetermined serviceable state and the borrowing costs incurred for the occupied

general borrowing. The Company transfers the construction work in process into fixed assets when the project

installation or construction is completed and reaches the predetermined serviceable state. The constructed fixed

assets which have reached the predetermined serviceable state but have not yet completed the final account shall be

transferred to the fixed assets based on the estimated value according to the construction budget cost or actual cost

of work performed from the date of reaching the predetermined serviceable state and calculates the depreciation of

fixed assets in accordance with the Company's policy for depreciation of fixed assets and the original provisional

estimated value shall be adjusted according to the actual cost after the completion of the final account but the

previously accrued amount of depreciation shall not be adjusted.

19. Borrowing expenses

(1) The recognition principle of capitalization of borrowing costs and capitalization period

The borrowing expenses incurred by the Company which can be directly attributed to the acquisition and

construction or production of assets that meet the capitalization conditions shall be capitalized and included into the

related asset costs when the following conditions are met simultaneously:

* Asset expenditure has incurred;

* Borrowing costs have incurred;

* The necessary acquisition and construction or production activities have begun to make the assets reach the

predetermined serviceable state.Other interest on borrowings discounts or premiums and exchange gains or losses shall be included in the profits

or losses of the current period.If abnormal interruption occurs in the process of acquisition construction or production of the assets eligible for

capitalization and the interruption period exceeds 3 consecutive months the capitalization of borrowing costs shall

be suspended.The capitalization of the borrowing costs shall be stopped when the assets that meet the capitalization conditions of

the acquisition construction or production reach the predetermined serviceable or marketable status; Borrowing

costs incurred later are recognized as expenses in the current period of occurrence.

(2)The capitalization rate of borrowing costs and the calculation method of capitalization amount

Where specific borrowings are borrowed for the acquisition and construction or production of assets eligible for

-95深圳市特力(集团)股份有限公司2022年半年度报告全文

capitalization the amount after deducting the interest income obtained by depositing the unused loan funds in the

bank or the investment income obtained through temporary investment from the interest expenses actually incurred

in the current period of the specific borrowings is determined as the amount of the capitalization of the interest

charges for specific borrowings.Where general borrowings are occupied for the acquisition and construction or production of assets eligible for

capitalization the amount of interest that should be capitalized on the general borrowings shall be calculated and

determined by multiplying the asset expenditure weighted average of the accumulated asset expenditure exceeding

the specific borrowings and the capitalization rate of the general borrowings. The capitalization rate is calculated

and determined based on the weighted average interest rate of general borrowings.

20. Intangible assets

(1) Valuation method useful life and impairment testing

(1) Valuation of intangible assets

Recorded at the actual cost at the time of acquisition.

(2) Useful life and amortization of intangible assets

* Estimated useful life of the intangible assets with finite useful life:

Item Estimated useful life Basis

Land use right 50 years Legal right of use

Computer software 5 years Useful life is determined by the reference to the period that can bring economic benefit to the Company

Trademark 10 years Useful life is determined by the reference to the period that can bring economic benefit to the Company

At the end of each year the company shall review the service life and amortization method of intangible assets with

limited service life. Upon review the service life and amortization method of intangible assets at the end of this

period are not different from previous estimates.* Intangible assets that cannot be foreseen to bring economic benefits to the enterprise shall be regarded as

intangible assets with uncertain service life. For intangible assets with uncertain service life the company shall

review the service life of the intangible assets with uncertain service life at the end of each year. If the service life

of the intangible assets is still uncertain after the review an impairment test shall be conducted on the balance sheet

date.* Amortization of intangible assets

-96深圳市特力(集团)股份有限公司2022年半年度报告全文

For intangible assets with limited service life the Company shall determine their service life at the time of

acquisition and make reasonable amortization within the service life by using the straight line method system and

the amortization amount shall be recorded into the current profits and losses according to the benefit items. The

specific amount to be amortized is the amount after deducting the estimated residual value from the cost. For

intangible assets for which impairment reserves have been set aside the accumulated amount of impairment reserves

for intangible assets which have been set aside shall also be deducted. For intangible assets with limited service life

its residual value shall be regarded as zero except in the following cases: a third party promises to purchase the

intangible asset at the end of its service life or the estimated residual value information can be obtained based on

the active market and such market is likely to exist at the end of the service life of the intangible asset.Intangible assets with uncertain service life shall not be amortized. At the end of each year the service life of

intangible assets with uncertain service life shall be reviewed. If there is evidence that the service life of intangible

assets is limited the service life of intangible assets shall be estimated and reasonably amortized in a system within

the expected service life.

(3)Long-term assets impairment

The asset impairment of the long-term equity investment of subsidiary companies associated enterprises and joint

ventures the investment real estate using cost model for subsequent measurement the fixed assets the construction

work in process the intangible assets the goodwill etc. (except for inventory investment real estate measured by

fair value model deferred income tax assets financial assets) is determined according to the following methods:

On the balance sheet date the Company judges whether there are any signs of possible impairment of the assets. If

there are any signs of impairment the Company will estimate the recoverable amount and conduct an impairment

test. For goodwill formed by business combination intangible assets with uncertain service life and intangible assets

that have not reached the usable state impairment test is carried out every year regardless of whether there is any

indication of impairment.The recoverable amount is determined according to the higher between the net amount of the fair value of the asset

minus the disposal expense and the present value of the expected future cash flow of the asset. The Company

estimates the recoverable amount on the basis of individual assets; If it is difficult to estimate the recoverable amount

of a single asset the recoverable amount of an asset group shall be determined on the basis of the asset group to

which the asset belongs. The identification of an asset group shall be based on whether the main cash inflow

generated by the asset group is independent of the cash inflow of other assets or asset group.When the recoverable amount of an asset or an asset group is lower than its carrying amount the Company will

write down the carrying amount to the recoverable amount record the write-down amount into the current profits

and losses and at the same time make a provision for the corresponding asset impairment.For the impairment test of goodwill the book value of the goodwill formed by the business combination shall be

apportioned to the relevant asset group in a reasonable manner from the purchase date; If it is difficult to be

-97深圳市特力(集团)股份有限公司2022年半年度报告全文

apportioned to the relevant asset group it shall be apportioned to the relevant asset group portfolio. The related asset

group or asset group portfolio is the asset group or asset group portfolio that can benefit from the synergies of

business combination and is not greater than the reporting segment identified by the Company.During the impairment test if the asset group or asset group portfolio related to goodwill shows signs of impairment

the impairment test shall be carried out on the asset group or asset group portfolio which does not contain goodwill

the recoverable amount shall be calculated and the corresponding impairment loss shall be confirmed. Then the

impairment test is carried out on the asset group or the asset group portfolio containing goodwill comparing its

book value with the recoverable amount if the recoverable amount is lower than the book value the impairment

loss of goodwill is confirmed.Once an asset impairment loss is recognized it shall not be reversed in the subsequent accounting period.

(2) Accounting policy for internal R&D expenditures

21. Long-term assets impairment

The asset impairment of the long-term equity investment of subsidiary companies associated enterprises and joint

ventures the investment real estate using cost model for subsequent measurement the fixed assets the construction

work in process the intangible assets the goodwill etc. (except for inventory investment real estate measured by

fair value model deferred income tax assets financial assets) is determined according to the following methods:

On the balance sheet date the Company judges whether there are any signs of possible impairment of the assets. If

there are any signs of impairment the Company will estimate the recoverable amount and conduct an impairment

test. For goodwill formed by business combination intangible assets with uncertain service life and intangible assets

that have not reached the usable state impairment test is carried out every year regardless of whether there is any

indication of impairment.The recoverable amount is determined according to the higher between the net amount of the fair value of the asset

minus the disposal expense and the present value of the expected future cash flow of the asset. The Company

estimates the recoverable amount on the basis of individual assets; If it is difficult to estimate the recoverable amount

of a single asset the recoverable amount of an asset group shall be determined on the basis of the asset group to

which the asset belongs. The identification of an asset group shall be based on whether the main cash inflow

generated by the asset group is independent of the cash inflow of other assets or asset group.When the recoverable amount of an asset or an asset group is lower than its carrying amount the Company will

write down the carrying amount to the recoverable amount record the write-down amount into the current profits

and losses and at the same time make a provision for the corresponding asset impairment.-98深圳市特力(集团)股份有限公司2022年半年度报告全文

For the impairment test of goodwill the book value of the goodwill formed by the business combination shall be

apportioned to the relevant asset group in a reasonable manner from the purchase date; If it is difficult to be

apportioned to the relevant asset group it shall be apportioned to the relevant asset group portfolio. The related asset

group or asset group portfolio is the asset group or asset group portfolio that can benefit from the synergies of

business combination and is not greater than the reporting segment identified by the Company.During the impairment test if the asset group or asset group portfolio related to goodwill shows signs of impairment

the impairment test shall be carried out on the asset group or asset group portfolio which does not contain goodwill

the recoverable amount shall be calculated and the corresponding impairment loss shall be confirmed. Then the

impairment test is carried out on the asset group or the asset group portfolio containing goodwill comparing its

book value with the recoverable amount if the recoverable amount is lower than the book value the impairment

loss of goodwill is confirmed.Once an asset impairment loss is recognized it shall not be reversed in the subsequent accounting period.

22.Long-term prepaid expenses

To account for the expenses that have been incurred but which shall be borne by the current and future periods

and which are apportioned over a period of more than one year.The long-term prepaid expenses will amortized equally over the period of benefit.

23. Employee remuneration

(1) Accounting treatment of short-term remuneration

* Basic remuneration (salary bonus allowance subsidy)

During the accounting period when the employees provide services to the Company the Company recognizes the

short-term remuneration actually incurred as a liability and records it into the current profits and losses except for

those required or allowed to be included in the cost of assets under other accounting standards.* Employee welfare expenses

The employee welfare expenses incurred by the Company shall be included in the current profits and losses or

related asset costs according to the actual amount incurred when they actually occur. If employee welfare expenses

are non-monetary welfare they shall be measured at fair value.* Medical insurance industrial injury insurance maternity insurance and other social insurance premiums and

-99深圳市特力(集团)股份有限公司2022年半年度报告全文

housing provident funds as well as labor union funds and staff education funds

The medical insurance industrial injury insurance maternity insurance and other social insurance premiums and

housing provident funds the Company paid for its employees as well as the labor union funds and staff education

funds set aside by rule calculate and determine the corresponding employee remuneration amount according to the

stipulated provisions basic and provision ratio during the accounting period for the employee to provide services

and confirm the corresponding liabilities and record them into the current profits and losses or related asset cost.* Short-term paid absence

The Company recognizes the employee's compensation related to the accumulated paid absence when the service

provided by the employee increases his or her right to enjoy future paid absence and measures it with the increase

in expected payment due to the accumulated unexercised right. The Company recognizes employee compensation

related to non-cumulative paid absence during the accounting period when the absence actually occurs.* Short-term profit sharing plan

If the profit sharing plan satisfies the following conditions at the same time the Company recognizes the relevant

employee compensation payable:

A. The enterprise has a statutory or constructive obligation to pay its employees due to past events;

B. The amount of payroll obligations arising from profit sharing plans can be reliably estimated.

(2) Accounting treatment of post-employment benefits

* Defined contribution plans

The Company recognizes the amount payable calculated according to the defined contribution plans as a liability

during the accounting period when the employee provides services to it and records it into the current profits and

losses or the related asset cost.According to the defined contribution plans where it is not expected to pay the full amount payable within 12

months after the end of the annual reporting period for the relevant services provided by the employee the Company

measures the payroll payable by the amount after discounting the full amount payable with reference to the

corresponding discount rate (determined by the treasury bonds matching with the obligatory term of defined

contribution plans or the market yield of the high quality corporate bonds in the active market at the balance sheet

date).* Defined benefit plans

-100深圳市特力(集团)股份有限公司2022年半年度报告全文

A. Determine the present value and current service cost of the obligations under the defined benefit plans

According to the expected accumulative welfare unit method the relevant demographic variables and financial

variables are estimated by using unbiased and consistent actuarial assumptions the obligations arising from the

defined benefit plans are measured and the period of attribution of the relevant obligations is determined. The

Company discounts the obligations arising from the defined benefit plans according to the corresponding discount

rate (determined by the treasury bonds matching with the obligatory term of defined benefit plans or the market

yield of the high quality corporate bonds in the active market at the balance sheet date) to determine the present

value of the obligations of the defined benefit plans and the current service cost.B. Recognize the net liabilities or net assets of the defined benefit plans

Where there are assets in the defined benefit plans the Company shall recognize the deficit or surplus formed by

the present value of the obligations of the defined benefit plans minus the fair value of the assets of the defined

benefit plans as the net liabilities or net assets of a defined benefit plan.If there is surplus in the defined benefit plans the Company shall measure the net assets of the defined benefit plans

by the lower of the defined benefit plans’ surplus or the upper limit of assets.C. Determine the amount to be included in the asset cost or the current profit and loss

Service cost includes current service cost past service cost and settlement gains or losses. Among them except for

the current service costs required or allowed to be included in the cost of assets under other accounting standards

other service costs are included in the current profits and losses.Net interest on net liabilities or net assets of defined benefit plans including interest income on plan assets interest

expense on defined benefit plan obligations and interest on the impact of asset caps are recorded in the current

profits and losses.D. Determine the amount to be included in other comprehensive income

Remeasurement of changes in net liabilities or net assets of a defined benefit plan including:

(a) Actuarial gain or loss is an increase or decrease in the present value of the previously measured defined benefit

plan obligations as a result of actuarial assumptions and empirical adjustments;

(b) Return on plan assets deduct the amount included in the net interest on the net liabilities or net assets of the

defined benefit plan;

(c) Changes in the impact of the asset cap deduct the amount included in the net interest on the net liabilities or net

assets of the defined benefit plan.-101深圳市特力(集团)股份有限公司2022年半年度报告全文

Changes in net liabilities or net assets of the above-mentioned remeasured benefit plan are directly included in other

comprehensive income and are not allowed to be transferred back to profit or loss in subsequent accounting periods

but the Company may transfer these amounts recognized in other comprehensive income within the range of equity.

(3) Accounting treatment of dismiss benefits

Where the Company provides dismiss benefits to its employees the Company shall recognize the employees'

compensation liabilities arising from dismiss benefits at the earlier day of the following two and record them into

the current profits and losses:

* The enterprise cannot unilaterally withdraw the dismiss benefits provided by the plan for the termination of labor

relations or the downsizing proposal;

* When the enterprise recognizes the costs or expenses related to the restructuring involving the payment of dismiss

benefits.If the dismiss benefits are not expected to be fully paid within 12 months after the end of the annual report period

the amount of dismiss benefits shall be discounted according to the corresponding discount rate (determined by the

treasury bonds matching with the obligatory term of defined benefit plans or the market yield of the high quality

corporate bonds in the active market at the balance sheet date) and the discounted amount shall be used to measure

the payroll payable.

(4) Other accounting treatment methods for long-term employee benefits

* Meeting the conditions of the defined benefit plan

If other long-term employee benefits provided by the Company meet the conditions of the defined benefit plan the

payroll payable shall be measured at the discounted amount of the total amount payable.* Meeting the conditions of the defined benefit plan

At the end of the reporting period the Company recognizes the employee compensation costs generated by other

long-term employee benefits as the following components:

A. Service cost;

B. Net interest on net liabilities or net assets of other long-term employee benefits;

C. Remeasurement of changes in net liabilities or net assets of other long-term employee benefits.In order to simplify the relevant accounting treatment the total net amount of the above items is included in the

-102深圳市特力(集团)股份有限公司2022年半年度报告全文

current profits and losses or the related asset cost.

24. Accrual liability

(1) Recognition standards

The Company recognizes an accrual liability if the obligation associated with the contingency also meets the

following conditions:

* the obligation is a present obligation assumed by the Company;

* it is probable that the performance of the obligation will result in an outflow of the economic benefits to the

Company;

* the obligation can be measured reliably for its value.

(2) Measurement

Accrual liabilities are initially measured in accordance with the best estimate of the expenses required to fulfill the

relevant current obligations taking into account the risks uncertainties and time value of money related to

contingencies. The book value of the Accrual liabilities is reviewed on each balance sheet date. If there is conclusive

evidence that the book value cannot reflect the current best estimate the book value shall be adjusted according to

the current best estimate.

25. Revenue

Accounting policy of revenue recognition and measurement

(1) General principles

Income is the total inflow of economic benefits generated in the daily activities of the Company that will lead to an

increase in shareholders' equity and have nothing to do with the capital invested by shareholders.The Company recognizes revenue when the performance obligation in the contract has been fulfilled that is when

the customer obtains the control of the relevant commodity. To gain control of a relevant commodity means to be

able to dominate the use of the commodity and gain almost all economic benefits from it.If the contract contains two or more performance obligations the Company shall on the commencement date of the

contract apportion the transaction price to each individual performance obligation in accordance with the relative

proportion of the individual selling price of the goods or services promised in each individual performance

obligation and measure its income according to the transaction price apportioned to each individual performance

-103深圳市特力(集团)股份有限公司2022年半年度报告全文

obligation.The transaction price is the amount of consideration the Company expects to be entitled to receive in connection

with the transfer of goods or services to the customer excluding payments received on behalf of third parties. When

determining the contract transaction price if there is a variable consideration the Company determines the best

estimate of the variable consideration in terms of the expected or most likely amount and includes the transaction

price in an amount not exceeding the cumulatively recognized income which is highly unlikely to be materially

reversed when the relevant uncertainty is removed. If there is a significant financing component in the contract the

Company will determine the transaction price on the basis of the amount payable paid in cash by the customer at

the time of acquisition of control of the goods the difference between the transaction price and the contract

consideration is amortized over the period of the contract by using the effective interest method. Where the time

between the transfer of control and the payment by the customer is less than one year the Company shall not

consider the financing component.It belongs to fulfillment of performance obligations within a certain period of time if meeting one of the following

conditions; otherwise it belongs to fulfillment of performance obligations at a certain point of time:

* The customer obtains and consumes the economic benefits brought by the performance of the Company when

performing the contract;

* The customer can control the goods under construction in the process of the company's performance;

* The products produced by the Company during the performance of the contract have irreplaceable uses and the

Company has the right to collect payment for the accumulated part of the performance completed so far during the

entire contract period.For performance obligations performed within a certain period of time the Company shall recognize revenue in

accordance with the performance progress within that period except where the performance progress cannot be

reasonably determined. The Company determines the performance progress of the services provided according to

the input (or output) method. When the performance progress cannot be reasonably determined if the cost already

incurred by the Company is expected to be compensated the revenue shall be recognized according to the amount

of cost already incurred until the performance progress can be reasonably determined.For performance obligations performed at a certain point of time the Company recognizes revenue at the time point

when the customer obtains control of the relevant goods. When judging whether the customer has acquired control

of the goods or services the Company will consider the following indications:

* The Company is entitled to current payment rights in respect of the goods or services that is the customer has

current payment obligations in respect of the goods;

-104深圳市特力(集团)股份有限公司2022年半年度报告全文

* The Company has transferred the legal ownership of the goods to the customer that is the customer has the legal

ownership of the goods;

* The Company has transferred the commodity in kind to the customer that is the customer has physical

possession of the commodity;

* The Company has transferred the main risks and rewards of the ownership of the goods to the customer that is

the customer has acquired the main risks and rewards of the ownership of the goods;

* The customer has accepted the goods.Sales return clause

For sales with a sales return clause the Company shall recognize the revenue according to the amount of

consideration to which the customer is entitled as a result of the transfer of the goods to the customer when the

customer acquires the control of the relevant goods and the amount refunded as expected due to the sales return

shall be recognized as an estimated liability. At the same time the balance after deducting the cost expected to be

incurred for the recovery of the goods (including impairment of the value of the returned goods) from the book

value of the returned commodity at the time of transfer is recognized as an asset i.e. the cost of returns receivable

and deducts the net amount carryover cost of the above asset cost according to the book value of the transferred

commodity at the time of transfer. On each balance sheet date the Company re-estimates the return of future sales

and remeasures the above assets and liabilities.Warranty obligations

According to the contract and legal provisions the Company provides quality assurance for the sale of goods

construction of the project etc. For the warranty quality assurance designed to assure customers that the products

sold meet established standards the Company conducts accounting treatment in accordance with the Accounting

Standards for Business Enterprises No. 13 - Contingencies. For service class quality assurance that provides a

separate service in addition to assuring customers that the goods sold meet established standards the Company

regards it as a single performance obligation and apportions part of the transaction price to the service class quality

guarantee in accordance with the relative proportion of the separate price for providing goods and service class

quality guarantee and recognizes the revenue when the customer obtains the control of the service. When assessing

whether quality assurance provides a separate service in addition to assuring the customer that the goods sold meet

established standards the Company considers such factors as whether the warranty is a statutory requirement the

quality warranty period and the nature of the task to which the Company is committed.Principal responsible persons and agents

The Company determines whether the status at the time of engaging in a transaction is that of a principal responsible

person or agent based on whether the company has control over the goods or services prior to transferring them to

-105深圳市特力(集团)股份有限公司2022年半年度报告全文

the customer. The Company can control the commodities or services before transferring them to the customers

therefore the Company is the principle responsible person and the revenue is recognized according to the total

consideration received or receivable. Otherwise the Company acting as the agent shall recognize the revenue on

the basis of the amount of commissions or service charges it is expected to be entitled to receive this amount should

be determined on the basis of the net amount after deducting the price payable to other relevant parties from the

total consideration received or receivable or on the basis of the amount or proportion of fixed commissions etc.Customer consideration payable

If there is a customer consideration payable in the contract unless the consideration is to obtain other clearly

distinguishable goods or services from the customer the Company will offset the consideration payable against the

transaction price and the Company will offset the current revenue at the later time point between the time

recognizing the relevant revenue or the time paying (or promising to pay) the customer consideration.Contractual rights not exercised by the client

If the Company receives payments for sales of goods or services from customers in advance it will first recognize

such payments as liabilities and then turn them into income when the relevant performance obligations are fulfilled.Where any advance received by the Company is not refundable and the Customer may waive all or part of its

contractual rights and the Company anticipates to be entitled to an amount in connection with the contractual rights

waived by the customer such amount shall be recognized as revenue pro rata according to the mode in which the

customer exercises the contractual rights. Otherwise the Company will convert the relevant balance of the said

liabilities into income only when it is highly unlikely that the customer will require the fulfillment of the remaining

performance obligations.Change of contract

When the construction contract between the Company and the customer changes:

* If the change of contract adds a clearly distinguishable construction service and contract price and the new

contract price reflects the separate selling price of the new construction service the Company will account for the

change of contract as a separate contract;

* If the change of contract does not belong to the above-mentioned situation * and the construction service that

has been transferred and the construction service that has not been transferred on the date of contract change can be

clearly distinguished the Company will regard it as the termination of the original contract and at the same time

the unperformed part of the original contract and the changed part of the contract are combined into a new contract

for accounting treatment;

* If the change of contract does not belong to the above-mentioned situation * and the construction service that

has been transferred and the construction service that has not been transferred on the date of contract change cannot

-106深圳市特力(集团)股份有限公司2022年半年度报告全文

be clearly distinguished the Company will account for the changed part of the contract as an integral part of the

original contract and the resulting impact on the recognized revenue shall adjust the current revenue on the date of

contract change.

(2) Specific methods

Specific methods for revenue recognition of the Company are as follows:

* Commodity sales contract

The sales contract between the Company and the customer contains the performance obligation of the transferred

goods which belongs to the performance obligation at a certain point in time.The revenue recognition of auto sales and jewelry wholesale need to satisfy the following conditions: the Company

has delivered goods to the customer according to the contract and customer has accepted the goods the payment

has been received or the receipt has been obtained and the associated economic benefits are likely to flow in the

major risks and rewards of ownership of the goods have been transferred and the legal ownership of the goods has

been transferred.* Auto repair and test contract

The performance obligations contained in the auto repair and test contract between the Company and the customer

belong to the performance obligations at a certain point in time.The revenue recognition of auto repair and test contract needs to meet the following conditions: the Company has

completed the service of auto repair and test as agreed in the contract settled all materials and working hours with

the customer and allowed the customer's automobile to leave the Company's repair shop.* Provision of service contract

The provision of service contract between the Company and customers includes the performance obligations for

services related to the rental of real estate as the customer obtains and consumes the economic benefits brought by

the Company's performance of the contract while the Company performs the contract the Company considers them

as the performance obligations to be performed within a certain period of time and apportions and recognizes them

equally during the service provision period.* Real estate lease contract

For the recognition method for the Company's real estate rental income see "Notes Ⅳ. 28".

26. Government subsidy

(1) Recognition

-107深圳市特力(集团)股份有限公司2022年半年度报告全文

Government subsidies are recognized when the following conditions are met at the same time:

* The company can meet the conditions attached to the government subsidies;

* The company can receive government subsidies.

(2) Measurement

If the government subsidy is a monetary asset it shall be measured according to the amount received or receivable.If the government subsidy is a non-monetary asset it shall be measured at fair value; If the fair value cannot be

reliably obtained it shall be measured according to the nominal amount of 1 yuan.

(3) Accounting treatment of government subsidies

* Asset-related government subsidies

The government subsidies obtained by the company for the purchase and construction or the formation of long-term

assets in other ways are classified as the government subsidies related to assets. Government subsidies related to

assets are recognized as deferred income which shall be included into profits and losses in a reasonable and

systematic way in the service life of the relevant assets. Government subsidies measured in nominal amounts shall

be directly included in current profits and losses. If the relevant assets are sold transferred scrapped or destroyed

before the end of their useful life the undistributed balance of relevant deferred income shall be transferred to the

current profit sand loss of the asset disposal.* Government subsidies related to income

Government subsidies other than those related to assets are classified as income-related government subsidies. The

government subsidies related to income shall be conducted accounting treatment according to the following

regulations in different cases:

Those used to compensate the relevant costs or losses of the Company in subsequent periods shall be recognized as

deferred income and shall be recorded into the current profits and losses during the period in which the relevant

costs or losses are recognized;

Those used to compensate the relevant costs or losses incurred by the Company shall be directly recorded into the

current profit and loss.For the government subsidies that contain both the part related to assets and the part related to income separate

different parts for accounting treatment; for the indistinguishable part the whole is classified as income-related

government subsidies.-108深圳市特力(集团)股份有限公司2022年半年度报告全文

Government subsidies related to the daily activities of the Company shall be included in other earnings in

accordance with the substance of economic business. The government subsidies unrelated to the daily activities of

the Company shall be included in the non-operating income and expenditure.* Policy-based preferential loan with discounted interest

If the finance allocates the funds with discounted interest to the lending bank and the lending bank provides the

Company with a loan at a policy-based preferential interest rate the actual amount of the received loan shall be

taken as the entry value of the loan and the relevant borrowing costs shall be calculated according to the loan

principal and the policy-based preferential interest rate.If the finance directly allocates the funds with discounted interest to the Company and the Company shall offset the

relevant borrowing costs with the corresponding discounted interest.* Return of government subsidies

When the recognized government subsidies need to be returned the book value of the assets shall be adjusted if the

book value of the relevant assets is written down during the initial recognition; If there is a balance of the relevant

deferred income the book balance of the relevant deferred income shall be written down and the excess part shall

be included into the current profits and losses; Under other circumstances they shall be directly recorded into current

profits and losses.

27. Deferred income tax assets /deferred income tax liabilities

The Company usually recognizes and measures the amount of income tax impact of taxable temporary differences

or deductible temporary differences as deferred income tax liabilities and deferred income tax assets by using the

balance sheet liability method based on the temporary differences between the book value of assets and liabilities

on the balance sheet date and the tax base. The Company does not discount deferred tax assets and deferred tax

liabilities.

(1) Recognition of deferred tax assets

For deductible temporary differences deductible losses and tax credits that can be carried forward to the next year

their amount of impact on income tax is calculated at the expected income tax rate during the reversal period and is

recognized as a deferred income tax asset but is within the limit of future taxable income that the Company are

likely to use to offset deductible temporary differences deductible losses and tax credits.The impact amount of income tax of a deductible temporary difference arising from the initial recognition of an

asset or liability in a transaction or event simultaneously having both the following characteristics shall not be

recognized as a deferred income tax asset:

-109深圳市特力(集团)股份有限公司2022年半年度报告全文

A. The transaction is not a business merger;

B. The transaction occurs without affecting either accounting profit or taxable income (or deductible loss).The impact amount of income tax of the Company's deductible temporary differences related to its investments in

subsidiaries associated companies and joint ventures shall be recognized as deferred income tax assets if both of

the following conditions are met:

A. Temporary differences are likely to be reversed in the foreseeable future;

B. Taxable income is likely to be obtained in the future to offset the deductible temporary difference;

At the balance sheet date if there is conclusive evidence that sufficient taxable income is likely to be obtained in

the future period to offset the deductible temporary difference the deferred income tax assets not recognized in the

previous period shall be recognized.At the balance sheet date the Company reviews the book value of the deferred tax assets. Write down the book

value of the deferred tax asset if it is likely that sufficient taxable income will not be available to offset the benefit

of the deferred tax asset in future periods. When sufficient taxable income is likely to be obtained the amount of

the write-down shall be reversed.

(2) Recognition of deferred income tax liabilities

The impact of all taxable temporary differences of the Company on income tax is measured at the expected income

tax rate during the reversal period and is recognized as a deferred income tax liability except in the following cases:

* The effect of taxable temporary differences on income tax arising from the following transactions or events is

not determined as a deferred income tax liability:

A. Initial recognition of goodwill;

B. Initial recognition of assets or liabilities arising from transactions having the following characteristics: the

transaction is not a business combination and affects neither accounting profit nor taxable income or deductible

losses when the transaction occurs.* The impact amount of income tax of the Company's taxable temporary differences related to its investments in

subsidiaries associated enterprises and joint ventures shall be recognized as deferred income tax liabilities except

where the following two conditions are met:

A. The Company can control the time for the temporary difference to be reversed;

-110深圳市特力(集团)股份有限公司2022年半年度报告全文

B. The temporary difference is unlikely to reverse in the foreseeable future.

(3) Recognition of deferred income tax liabilities or assets involved in a particular transaction or event

* Deferred income tax liabilities or assets related to the business combination

For taxable temporary differences or deductible temporary differences arising from business combinations not under

the same control when a deferred tax liability or deferred tax asset is recognized the associated deferred income

tax expense (or income) is usually adjusted for the goodwill recognized in the business combination.* Items directly included in owners' equity

The current income tax and deferred income tax related to the transaction or event directly included in the owner's

equity shall be included in the owner's equity. The influence of temporary differences on income taxes are included

in the transactions or events of owners' equity including other comprehensive income generated by changes in fair

value of other creditor's rights investments retained earnings at the beginning of the period adopting retroactive

adjustment method for changes in accounting policies or adjusting retroactive restatement method for prior (or

important) accounting errors correction difference and hybrid financial instruments containing both liabilities

ingredients and equity ingredients at the same time included in the owner's equity at the initial recognition etc.* Recoverable loss and tax deduction

A. Recoverable losses and tax deductions arising from the Company's own operations

Deductible loss refers to the loss calculated and determined in accordance with the provisions of the tax law which

is allowed to be made up with the taxable income of subsequent years. Uncovered losses (deductible losses) and tax

deductions that can be carried forward to subsequent years in accordance with the provisions of the tax law shall be

dealt with as deductible temporary differences. Where sufficient taxable income is likely to be obtained in the future

periods in which losses or tax deductions are expected to be available the corresponding deferred income tax asset

shall be recognized within the limit of the taxable income likely to be obtained and the income tax expense in the

current income statement shall be reduced.B. Recoverable uncovered losses of the combined enterprise resulting from business combination

In a business combination the Company shall not recognize the deductible temporary differences acquired by the

acquiree that do not meet the conditions for the recognition of deferred income tax assets on the purchase

date.Within 12 months after the acquisition date if new or further information indicates that relevant conditions

existed on the date of purchase and it is expected that the economic benefits of the acquiree brought by the

deductible temporary differences on the purchase date can be realized recognize the relevant deferred income tax

assets and reduce the goodwill at the same time if the goodwill is insufficient for write-down the difference part

-111深圳市特力(集团)股份有限公司2022年半年度报告全文

shall be recognized as the current profits and losses; In addition to the above conditions the deferred income tax

assets related to the business combination shall be recognized and recorded into the current profits and losses.* Temporary differences formed by merger offset

When preparing the consolidated financial statements where there is a temporary difference between the book value

of the assets or liabilities in the consolidated balance sheet and the tax base of the taxable entity due to the offset of

unrealized internal sales gains and losses the deferred income tax assets and deferred income tax liabilities shall be

recognized in the consolidated balance sheet and the income tax expenses in the consolidated income statement

shall be adjusted at the same time but except for the transactions or events directly included in owners' equity and

the deferred income taxes related to the business combination.* Equity-settled share-based payments

If the tax law allows a pre-tax deduction for expenses related to share-based payments within the period during

which costs and expenses are recognized in accordance with accounting standards the Company shall calculate and

determine its tax base and temporary differences arising therefrom according to the amount of pre-tax deductions

estimated by the information obtained at the end of the accounting period and recognize the relevant deferred

income taxes in compliance with recognition conditions. Among them the amount that can be deducted before tax

in the future period is expected to exceed the cost and expense related to share-based payment recognized in

accordance with the provisions of accounting standards and the income tax impact of the excess part shall be

directly recorded into the owner's equity.

28. Leasing

(1) Accounting treatment of operating leases

The Company recognizes the lease receipts as rental income on a straight-line basis during each period of the lease

term and capitalizes the initial direct expenses incurred and amortizes them on the same basis as the recognition of

rental income and includes in the current profit and loss in installments. The variable lease payments obtained by

the Company related to operating leases but not included in the lease receipts are included in the current profit and

loss when actually incurred.

(2) Accounting treatment of finance lease

On the lease start date the Company recognizes the finance lease receivables based on the net investment in the

lease (the sum of the unguaranteed residual value and the present value of the lease receipts not yet received on the

lease start date and discounted at the interest rate implicit in the lease) and derecognizes the financial lease assets.During each period of the lease term the Company calculates and recognizes interest income based on the interest

-112深圳市特力(集团)股份有限公司2022年半年度报告全文

rate implicit in the lease. The variable lease payments obtained by the Company that are not included in the

measurement of net lease investment are included in the current profit and loss when they are actually incurred.V. Taxes

1. Type of tax and rate for main applicable tax

Taxes Basis Rate

Selling goods or providing taxable

VAT 13% 11% 9% 5% 6% 3%

services

Consumption tax Sell goods 0.1

Price-based resource tax 1.2 percent of

the remaining value after deducting 30%

Urban maintenance and construction tax of the original value of the property; tax 1.2% 12%

on 12% of rent income for calculation

and collection based on rent

Enterprise income tax Turnover tax payable 0.07

Educational surtax Turnover tax payable 0.03

Local education surcharge Turnover tax payable 0.02

Enterprise income tax Taxable income 20% 25%

Rate of income tax for different taxpaying body:

Taxpaying body Rate of income tax

Shenzhen Xinyongtong Auto Vehicle Inspection Equipment

0.2

Co. Ltd.Shenzhen Huari Anxin Automobile Inspection Ltd. 0.2

Shenzhen Tellus Chuangying Tech. Co. Ltd. 0.2

Other taxpaying body than the above 0.25

2. Tax preferential

According to the “Notice on Implementation of Preferential Tax-reduction & Exemption Policies for Small & Micro Enterprises” (Cai

Shui [2019] No.13) issued by SAT (State Administration of Taxation) Shenzhen Xinyongtong Auto Vehicle Inspection Equipment

Co. Ltd. Shenzhen Huari Anxin Automobile Inspection Ltd. and Shenzhen Tellus Chuangying Tech. Co. Ltd. enjoys the preferential

tax policies for small & micro enterprises with enterprise income tax at the rate of 20%.VI. Annotation to main items of consolidated financial statements

1. Monetary funds

Unit: RMB/CNY

Item Ending balance Opening balance

Cash on hand 9691.12 36941.24

Cash in bank 219723053.11 240545115.92

-113深圳市特力(集团)股份有限公司2022年半年度报告全文

Total 219732744.23 240582057.16

The total amount of money that

has restrictions on use due to mortgage 27188802.59 26926471.30

pledge or freezing

Other explanation:

As of June 30 2022 bank deposits of 27188802.59 yuan is the supervision fund by the Company developed the land plot 03 project

of the upgrading project of Tellus-Gman Gold Jewelry Industrial Park. 2000000 yuan refers to the performance bond in addition

there are no other amount in the monetary funds at the end of the period that are subject to restrictions on use and potential recovery

risks due to mortgages pledges or freezes.

2. Trading financial assets

Unit: RMB/CNY

Item Ending balance Opening balance

Financial assets measured by fair value

and with variation reckoned into current 422095775.34 412712843.84

gains/losses

Including:

Structured deposits and wealth

422095775.34412712843.84

management products

Including:

Total 422095775.34 412712843.84

3. Account receivable

(1) Category

Unit: RMB/CNY

Ending balance Opening balance

Categor Book balance Bad debt provision Book balance Bad debt provision

y Book Book Accrual Accrual

Amount Ratio Amount value ratio Amount Ratio Amount

value

ratio

Account

receivab

le with

bad debt

68796448981619814748781472.74%487814

provisio 65.95% 71.20% 100%

09.1634.4074.7685.1685.16

n accrual

on a

single

basis

Account

receivab

le with

bad debt 355170 183413. 353335 182774 27.26% 183413. 180940

34.05% 0.52% 100.00% provisio 01.20 13 88.07 73.05 13 59.92

n accrual

on

portfolio

-114深圳市特力(集团)股份有限公司2022年半年度报告全文

104313491650551483670589489648180940

Total 100.00% 47.13% 100.00% 73.02%

410.3647.5362.8358.2198.2959.92

Bad debt provision accrual on single basis:

Unit: RMB/CNY

Ending balance

Name

Book balance Bad debt provision Accrual ratio Accrual causes

Shenzhen Jinlu The account age is long

Industry and Trade Co. 9846607.00 9846607.00 100% and is not expected to

be recovered

Ltd.Guangdong Zhanjiang

The account age is long

Sanxing Auto Service 4060329.44 4060329.44 100% and is not expected to

be recovered

Co. Ltd.The account age is long

Wang Changlong 2370760.40 2370760.40 100% and is not expected to

be recovered

Huizhou Jiandacheng

The account age is long

Daoqiao Engineering 2021657.70 2021657.70 100% and is not expected to

be recovered

Company

Jiangling Automobile The account age is long

1191059.98 1191059.98 100% and is not expected to

Factory be recovered

Yangjiang Auto Trade The account age is long

1150000.00 1150000.00 100% and is not expected to

Co. Ltd. be recovered

Guangdong Materials The account age is long

1862000.00 1862000.00 100% and is not expected to

Group Corp be recovered

Accrual of the bad debt

Shenzhen Nuoqi

20014924.00 200149.24 1% in line with provision

Jewelry Co. Ltd. for the single large

amount

The account age is long

Other 26279070.64 26279070.64 100% and is not expected to

be recovered

Total 68796409.16 48981634.40

Bad debt provision accrual on portfolio:

Unit: RMB/CNY

Ending balance

Name

Book balance Bad debt provision Accrual ratio

Aging portfolio 35517001.20 183413.13 0.52%

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 receivables to disclose related information about bad-debt provisions:

□ Applicable √Not applicable

By account age

Unit: RMB/CNY

-115深圳市特力(集团)股份有限公司2022年半年度报告全文

Account age Ending balance

Within one year (including one year) 35513641.20

1-2 years

2- 3 years 3360.00

Over 3 years 68796409.16

Over 5 years 68796409.16

Total 104313410.36

(2) Bad debt provision accrual collected or reversal in the period

Bad debt provision accrual in the period:

Unit: RMB/CNY

Amount changed in the period

Opening

Category

balance Collected or

Ending balance

Accrual Written-off Other

reversal

Account

receivable with

bad debt

48781485.16200149.2448981634.40

provision

accrual on a

single basis

Account

receivable with

bad debt

183413.13183413.13

provision

accrual on

portfolio

Total 48964898.29 200149.24 49165047.53

(3) Top 5 account receivables at ending balance by arrears party

Unit: RMB/CNY

Enterprise Ending balance of accounts Proportion in total receivables Bad debt preparation ending receivable at ending balance balance

Shenzhen Jinlu Industry and

Trade Co. Ltd. 9846607.00 9.44% 9846607.00

Guangdong Zhanjiang

Sanxing Auto Service Co. 4060329.44 3.89% 4060329.44

Ltd.Shenzhen Shangjinyuan

Jewelry Industry Co. Ltd. 3358649.44 3.22% 29810.07

Wang Changlong 2370760.40 2.27% 2370760.40

Guangdong Materials Group 2021657.70 1.94% 2021657.70

Total 21658003.98 20.76%

4. Accounts paid in advance

(1) By account age

Unit: RMB/CNY

-116深圳市特力(集团)股份有限公司2022年半年度报告全文

Ending balance Opening balance

Account age

Amount Ratio Amount Ratio

Within one year 13880282.14 99.91% 16519701.91 99.92%

Over 3 years 12525.94 0.09% 12525.94 0.08%

Total 13892808.08 16532227.85

(2) Top 5 account paid in advance at ending balance by prepayment object

Name Ending balance Proportion in prepayment balance at the end of

period

FAW Toyota Motor Sales Co. Ltd. 9374525.58 67.48%

Toyota Motor (China) Investment Co. Ltd. 1264424.00 9.10%

Kingdee Software (China) Co. Ltd. 1012679.25 7.29%

Xiaopeng Automobile Sales Co. Ltd. 842355.78 6.06%

Shenzhen Wonder Construction Group Co. Ltd. 361025.45 2.60%

Total 12855010.06 92.53%

5. Other account receivable

Unit: RMB/CNY

Item Ending balance Opening balance

Interest receivable 0.00 0.00

Dividends receivable 547184.35 547184.35

Other account receivable 7007270.18 4525786.42

Total 7554454.53 5072970.77

(1) Interest receivable

Not applicable

3) Provision for bad debts

□ Applicable √Not applicable

(2) Dividends receivable

1) Category

Unit: RMB/CNY

Item (or invested unit) Ending balance Opening balance

China Pudong Development Machinery

Industry Co. Ltd 547184.35 547184.35

Total 547184.35 547184.35

2) Important dividend receivable with account age over one year

Unit: RMB/CNY

Item (or invested unit) Ending balance Account age Reasons for non- Whether there is

-117深圳市特力(集团)股份有限公司2022年半年度报告全文

recovery impairment and its

judgment basis

The enterprise has a

normal financial status

China Pudong

and operation

Development

547184.35 2-3 years Not yet paid conditions the

Machinery Industry

dividend receivable

Co. Ltd

have not been

impaired.Total 547184.35

3) Provision for bad debts

□ Applicable √Not applicable

(3) Other account receivable

1) By nature

Unit: RMB/CNY

Nature Ending book balance Opening book balance

Deposit margin 1652247.03 598861.89

Reserve fund 120000.00 0

Interim payment receivable 56976953.77 104970218.27

Total 58749200.80 105569080.16

2) Provision for bad debts

Unit: RMB/CNY

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 Jan. 1

58951.6551682978.9751741930.62

2022

Balance of Jan. 1 2022

in the period

Balance on Jun. 30

58951.6551682978.9751741930.62

2022

Change of book balance of loss provision with amount has major changes in the period

□ Applicable √Not applicable

By account age

Unit: RMB/CNY

Account age Ending balance

Within one year (including one year) 4066926.42

1-2 years 531458.10

2-3 years 82621.56

Over 3 years 54068194.72

-118深圳市特力(集团)股份有限公司2022年半年度报告全文

Over 5 years 54068194.72

Total 58749200.80

3) Bad debt provision accrual collected or reversal in the period

Not applicable

4) Other account receivable actually written-off in the period

Not applicable

5) Top 5 other receivables at ending balance by arrears party

Unit: RMB/CNY

Ratio in total

Enterprise Nature Ending balance Account age ending balance of Ending balance of other account bad debt reserve

receivables

Zhongqi South

China Auto Sales Intercourse funds 9832956.37 Over 3 years 16.74% 9832956.37

Company

South Industry &

TRADE Shenzhen

Intercourse funds 7359060.75 Over 3 years 12.53% 7359060.75

Industrial

Company

Shenzhen

Zhonghao (Group) Intercourse funds 5000000.00 Over 3 years 8.51% 5000000.00

Co. Ltd

Shenzhen Kaifeng

Special

Automobile Intercourse funds 4413728.50 Over 3 years 7.51% 2206864.25

Industry Co. Ltd.Shenzhen Gold

Beili Electrical

Appliances Co. Intercourse funds 2706983.51 Over 3 years 4.61% 2706983.51

Ltd.Total 29312729.13 49.89% 27105864.88

6) Other account receivables related to government grants

Not applicable

7) Other receivable for termination of confirmation due to the transfer of financial assets

Not applicable

-119深圳市特力(集团)股份有限公司2022年半年度报告全文

8) The amount of assets and liabilities that are transferred other receivable and continued to be involved

Not applicable

6. Inventories

Does the company need to comply with the disclosure requirements of the real estate industry

No

(1) Category

Unit: RMB/CNY

Ending balance Opening balance

Provision for Provision for

inventory inventory

Item depreciation or depreciation or

Book balance contract Book value Book balance contract Book value

performance performance

cost impairment cost impairment

provision provision

Raw materials 15829602.24 14772382.17 1057220.07 15814028.99 14772382.17 1041646.82

Inventory 41486464.73 15117773.94 26368690.79 39261052.16 14867773.94 24393278.22

Total 57316066.97 29890156.11 27425910.86 55075081.15 29640156.11 25434925.04

(2) Provision for inventory depreciation or contract performance cost impairment provision

Unit: RMB/CNY

Current amount increased Current amount decreased

Item Opening balance Reversal or Ending balance

Accrual Other Other

write-off

Raw materials 14772382.17 14772382.17

Inventory 14867773.94 250000.00 15117773.94

Total 29640156.11 250000.00 29890156.11

(3) Explanation on inventories with capitalization of borrowing costs included at ending balance

Not applicable

(4) Description of the current amortization amount of contract performance costs

Not applicable

7. Other current assets

Unit: RMB/CNY

Item Ending balance Opening balance

Reclassification of the VAT debit balance 3630901.41 8596585.57

Total 3630901.41 8596585.57

-120深圳市特力(集团)股份有限公司2022年半年度报告全文

8. Long-term account receivable

(1) Long-term account receivable

Unit: RMB/CNY

Ending balance Opening balance Discount

Item Bad debt Book Bad debt Book rate

Book balance Book balance

provision value provision value interval

Related

transactions 2179203.68 2179203.68 0.00 2179203.68 2179203.68 0.00

Total 2179203.68 2179203.68 0.00 2179203.68 2179203.68 0.00

Change of book balance of loss provision with amount has major changes in the period

□ Applicable √Not applicable

9. Long-term equity investment

Unit: RMB/CNY

Current changes (+ -) Ending

Openin Investm Other Cash Accrual Ending balance The g Additio ent compre dividen

investe balance Capital gains Other d or

of balance of

nal hensive impair impair

d entity (book (book investm reducti recognion zed income

equity profit ment Other value) ment value) ent adjustm change announ provisiunder ced to provisient on equity issued on

I. Joint venture

Shenzh

en

Tellus

Gman 47490 87391 15000 41229

Investm 740.78 42.07 000.00 882.85

ent Co.Ltd

Shenzh

en

Tellus

Hang

Investm 13452 350111 13802

ent Co. 222.35 .20 333.55

Ltd.[Note

5]

Subtota 60942 90892 15000 55032

l 963.13 53.27 000.00 216.40

II. Associated enterprise

Shenzh

en

Zung

Fu -

2736726206

Tellus 11614

904.34438.65

Auto 65.69

Service

Co.Ltd.Shenzh

en

Autom

-121深圳市特力(集团)股份有限公司2022年半年度报告全文

obile

Industr

y

Import

and

Export

Co.Ltd.Shenzh

en

Xinyon

gtong

Oil

127836

Pump.59

Environ

ment

Protecti

on Co.Ltd.Shenzh

en

Xinyon

41556.

gtong

83

Consult

ant Co.Ltd.Shenzh

en

Tellus

Autom

obile

Service

Chain

Co.Ltd.[Note

3]

Shenzh

en

Xinyon

gtong

Auto

Service

Co.Ltd.[Note

3]

Shenzh

en

Xinyon

gtong

Dongxi

ao Auto

Service

Co.Ltd.Shenzh

en

-122深圳市特力(集团)股份有限公司2022年半年度报告全文

Yongto

ng

Xinda

Inspecti

on

Equipm

ent Co.Ltd.[Note

3]

Hunan

Changy

ang

Industri 18105

al Co. 40.70

Ltd.[Note

1]

Shenzh

en

Jiechen

g

32250

Electro

00.00

nic Co.Ltd.[Note

1]

Shenzh

en

Xianda

o New

47516

Materia

21.62

ls Co.Ltd.[Note

1]

China

Auto

Industri

al

Shenzh

400000

en.00

Trading

Compa

ny

[Note

1]

Shenzh

en

General

Standar 500000

d Co. .00

Ltd.[Note

1]

Shenzh

22500

en

00.00

Zhongq

-123深圳市特力(集团)股份有限公司2022年半年度报告全文

i South

China

Auto

Sales

Compa

ny

[Note

1]

Shenzh

en

Bailiyu

an

Power 13200

Supply 00.00

Co.Ltd.[Note

1]

Shenzh

en

Yimin

Auto

200001

Trading.10

Compa

ny

[Note

1]

Shenzh

en

Torch

Spark

17849.

Plug

20

Industr

y

Compa

ny

Shenzh

en

Hanli

High-

Tech 19560

Cerami 00.00

cs Co.Ltd.[Note

2]

Shenzh

en

South

Autom

67000

obile

00.00

Repair

Center

[Note

2]

-

Subtota 27367 26206 23300

11614

l 904.34 438.65 406.04

65.69

-124深圳市特力(集团)股份有限公司2022年半年度报告全文

8831079277150008123823300

Total

867.4787.58000.00655.05406.04

Other explanation

Note 1: Business registration of the above companies have been revoked and the Company has made a full provision for impairment

of these long-term equity investment.Note 2: Operating period of Shenzhen Hanli High-Tech Ceramics Co. Ltd is from September 21 1993 to September 21 1998;

operating period of Shenzhen South Automobile Repair Center is from July 12 1994 to July 11 2002. the companies have ceased their

business activities for many years business registration have been revoked for failure to participate in annual inspection. It is unable

to exercise effective control over these companies which are excluded in the scope of consolidation statement and the carrying value

of the investment in those companies is Zero.Note 3: the carrying amount of these long-term equity investment was 0 yuan after adjusting for the recognition of gain/loss under the

equity method

Note 4: equity of the enterprise held by the Company have been transferred in the Period.Note 5: we has a 51% equity of the enterprise. According to relevant regulation of the Article of Association the voting rights held by

the Company are not sufficient to unilaterally pass the votes of the shareholders’ meeting and BOD on the relevant decision-making

motions the Company does not control the enterprise

10. Other equity instrument investment

Unit: RMB/CNY

Item Ending balance Opening balance

Unlisted equity instrument investment 10176617.20 10176617.20

Total 10176617.20 10176617.20

Itemized disclosure of investment in non-trading equity instruments for the current period

Unit: RMB/CNY

The reason for

The amount of the designation

other as being Reasons for

Recognized comprehensive measured at fair transferring

Item dividend Cumulative Accumulated income value and the other

income gain loss transferred to change comprehensive

retained included in income to

earnings other retained income comprehensive

income

China Pudong Strategic

Development investment that

Machinery is expected to

Industry Co. be held for a

Ltd. long time

-125深圳市特力(集团)股份有限公司2022年半年度报告全文

11. Investment real estate

(1) Measured at cost

√ Applicable □Not applicable

Unit: RMB/CNY

Item House and building Land use right Construction in progress Total

I. Original book value

1.Opening balance 645997222.66 49079520.00 695076742.66

2.Current amount

increased

(1) Outsourcing

(2) Inventory\fixed

assets\construction in

process transfer-in

3.Current amount

decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance 645997222.66 49079520.00 695076742.66

II. Accumulated

depreciation and

accumulated

amortization

1.Opening balance 140347117.08 3346331.04 143693448.12

2.Current amount

9305204.58557724.189862928.76

increased

(1) Accrual or

amortization 9305204.58 557724.18 9862928.76

3.Current amount

decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance 149652321.66 3904055.22 153556376.88

III. Impairment

provision

1.Opening balance

2.Current amount

increased

(1)Accrual

3.Current amount

decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance

IV. Book value

-126深圳市特力(集团)股份有限公司2022年半年度报告全文

1.Ending book value 496344901.00 45175464.78 541520365.78

2. Opening book value 505650105.58 45733188.96 551383294.54

(2) Measure at fair value

□ Applicable √Not applicable

(3) Investment real estate without property certificate completed

Item Book value Reasons

Failure to handle the ownership certificate

Nuclear Office build 4280281.38

for historical reasons

Failure to handle the ownership certificate

12 buildings in Sungang 12588.53

for historical reasons

Failure to handle the ownership certificate

12 building shops in Sungang 38916.87

for historical reasons

Total 4331786.78

12. Fixed assets

Unit: RMB/CNY

Item Ending balance Opening balance

Fixed assets 112837946.28 109438198.23

Total 112837946.28 109438198.23

(1) Fixed assets

Unit: RMB/CNY

Item House and Machinery Transport Electronic Office and other buildings equipment equipment equipment equipment Total

I. Original book value:

1.Opening balance 274856177.01 22226232.29 5835922.65 12344805.36 7850954.29 323114091.60

2.Current amount

8535210.0012649.56155178.10359332.64117820.939180191.23

increased

(1) Purchase 8535210.00 12649.56 9180191.23

(2) Transfer of

construction in progress

3.Current amount

515733.462819.66

decreased

(1) Disposal or

scrap 515733.46 2819.66

4.Ending balance 283391387.01 22238881.85 5475367.29 12701318.34 7968775.22 331775729.71

II. Accumulated

depreciation

1.Opening balance 184795722.04 9720537.85 3555622.71 8426565.35 2931992.36 209430440.31

2.Current amount

3763028.26614348.36248175.17417954.87457951.435501458.09

increased

-127深圳市特力(集团)股份有限公司2022年半年度报告全文

(1)Accrual 3763028.26 614348.36 248175.17 417954.87 457951.43 5501458.09

3.Current amount

237030.342537.69239568.03

decreased

(1) Disposal or

scrap 237030.34 2537.69 239568.03

4.Ending balance 188558750.30 10334886.21 3803797.88 8844520.22 3389943.79 214692330.37

III. Impairment provision

1.Opening balance 3836768.43 319675.11 6165.00 17984.71 64859.81 4245453.06

2.Current amount

increased

(1)Accrual

3.Current amount

decreased

(1) Disposal or

scrap

4.Ending balance 3836768.43 319675.11 6165.00 17984.71 64859.81 4245453.06

IV. Book value

1.Ending book value 90995868.28 11584320.53 1665404.41 3838813.41 4513971.62 112837946.28

2. Opening book value 86223686.54 12186019.33 2274134.94 3900255.30 4854102.12 109438198.23

(2) Temporarily idle fixed assets

Not applicable

(3) Fixed assets leased out by operation

Not applicable

(4) Fix assets without property certification held

Unit: RMB/CNY

Item Book value Reasons for without the property certification

Yongtong Building 28396915.34

Failure to handle the ownership

certificate for historical reasons

14629948.69 Failure to handle the ownership Automotive building certificate for historical reasons

Tellus Building underground parking Parking lot is un-able to carried out the

8477976.20

certificate

1#2# and 3-5/F 3# plant of Taoyuan

3265867.51 Failure to handle the ownership certificate for historical reasons

Road

Tellus Building transformation layer 1426541.48 Un-able to carried out the certificate

1252104.42 Failure to handle the ownership 16# Taohua Garden certificate for historical reasons

Shuibei Zhongtian comprehensive

661581.60 Failure to handle the ownership certificate for historical reasons

building

-128深圳市特力(集团)股份有限公司2022年半年度报告全文

First floor of Bao’an commercial-

817290.20 Failure to handle the ownership certificate for historical reasons

residence build

Failure to handle the ownership

Warehouse 795291.01 certificate for historical reasons

Failure to handle the ownership

Trade department warehouse 63803.65 certificate for historical reasons

Failure to handle the ownership

Songquan Apartment (mixed) 10086.79 certificate for historical reasons

Hostel of Renmin North Road 5902.41

Failure to handle the ownership

certificate for historical reasons

Subtotal 59803309.30

13. Construction in progress

Unit: RMB/CNY

Item Ending balance Opening balance

Construction in progress 261124333.54 210197546.72

Total 261124333.54 210197546.72

(1) Construction in progress

Unit: RMB/CNY

Ending balance Opening balance

Item Impairment Impairment

Book balance provision Book value Book balance provision Book value

Tellus Jinzhuan

Trading 260999489.22 260999489.22 210072702.40 210072702.40

Building

Other projects 124844.32 124844.32 124844.32 124844.32

Total 261124333.54 261124333.54 210197546.72 210197546.72

(2) Changes of major construction in progress

Unit: RMB/CNY

Includi

ng:

Curren Propor Accum

Openi t Transf Other tion of ulated

amoun Interes

t of t

Item Budget ng amoun er-in

decrea Ending project capital Source

balanc t fixed sed in balanc invest

Progre

ss ization

capital capital

ization ization s of

e increas assets the e ment of funds

ed Period in interes

of rate in

budget t interes Period t in

Period

Tellus

Jinzhu Financ

an 51546 21007 50926 26099 ial

Tradin 50.63 50.63 4050 4050 100.000000. 2702. 786.8 9489. Institut

g % % 285.57 285.57 % 00 40 2 22 ion

Buildi Loans

ng

51546210075092626099

40504050100.00

Total 0000. 2702. 786.8 9489.

285.57285.57%

0040222

-129深圳市特力(集团)股份有限公司2022年半年度报告全文

14. Right-of-use asset

Unit: RMB/CNY

Item House and buildings Total

I. Original book value:

1.Opening balance 10313192.96 10313192.96

2.Current amount increased

3.Current amount decreased

4.Ending balance 10313192.96 10313192.96

II. Accumulated depreciation

1.Opening balance 2976277.13 2976277.13

2.Current amount increased 823543.50 823543.50

(1)Accrual 823543.50 823543.50

3.Current amount decreased

(1) Disposal

4.Ending balance 3799820.63 3799820.63

III. Impairment provision

1.Opening balance

2.Current amount increased

(1)Accrual

3.Current amount decreased

(1) Disposal

4.Ending balance

IV. Book value

1.Ending book value 6513372.33 6513372.33

2. Opening book value 7336915.83 7336915.83

15. Intangible assets

(1) Intangible assets

Unit: RMB/CNY

Non-patented

Item Land use right Patent rights Trademark Software technology Total

I. Original book

value

1.Opening

50661450.00128500.005470373.6656260323.66

balance

2.Current

amount

increased

3.Current

amount

-130深圳市特力(集团)股份有限公司2022年半年度报告全文

decreased

(1)

Disposal

4.Ending

50661450.00128500.005470373.6656260323.66

balance

II. Accumulated

amortization

1.Opening

2867902.1699042.563703880.666670825.38

balance

2.Current

amount 538721.58 2034.96 82405.16 623161.70

increased

(1)Ac

538721.582034.9682405.16623161.70

crual

3.Current

amount

decreased

(1)

Disposal

4.Ending

3406623.74101077.523786285.827293987.08

balance

III. Impairment

provision

1.Opening

balance

2.Current

amount

increased

(1)Ac

crual

3.Current

amount

decreased

(1)

Disposal

4.Ending

balance

IV. Book value

1.Ending

book value 47254826.26 27422.48 1684087.84 48966336.58

2. Opening

book value 47793547.84 29457.44 1766493.00 49589498.28

16. Long-term expenses to be apportioned

Unit: RMB/CNY

Current amount

Item Opening balance Current

increased amortization

Other decreased Ending balance

-131深圳市特力(集团)股份有限公司2022年半年度报告全文

Renovation costs 28682636.66 487995.85 2321921.53 26848710.98

Total 28682636.66 487995.85 2321921.53 26848710.98

17. Deferred income tax asset /Deferred income tax liabilities

(1) Deferred income tax assets without offset

Unit: RMB/CNY

Ending balance Opening balance

Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax

differences asset differences asset

Credit impairment

provision 33998204.12 8499551.03 33998204.09 8499551.03

Total 33998204.12 8499551.03 33998204.09 8499551.03

(2) Deferred income tax liability without offset

Unit: RMB/CNY

Ending balance Opening balance

Item Taxable temporary Deferred income tax Taxable temporary Deferred income tax

differences liabilities differences liabilities

Taxable temporary

differences 3852181.96 963045.49 3852181.96 963045.49

Total 3852181.96 963045.49 3852181.96 963045.49

(3) Deferred income tax assets and deferred income tax liabilities listed after off-set

Unit: RMB/CNY

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 after off-set period-begin off-set

Deferred income tax

assets 8499551.03 8499551.03

Deferred income tax

liabilities 963045.49 963045.49

(4) Details of uncertain deferred income tax assets

Unit: RMB/CNY

Item Ending balance Opening balance

Deductible temporary differences 126273992.95 126073843.71

Deductible loss 19228072.00 19228072.00

Total 145502064.95 145301915.71

(5) Deductible losses of un-recognized deferred income tax assets expired on the followed year

Unit: RMB/CNY

Year Ending amount Opening amount Note

2022330146.48330146.48

2023401294.00401294.00

2024497832.28497832.28

-132深圳市特力(集团)股份有限公司2022年半年度报告全文

20259182475.079182475.07

20268816324.178816324.17

Total 19228072.00 19228072.00

18. Other non-current asset

Unit: RMB/CNY

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

Advance

payment for

engineering 42300204.90 42300204.90 56169049.73 56169049.73

equipment

VAT to be

deducted (input

tax on 12204839.26 12204839.26 12204839.26 12204839.26

engineering and

equipment)

Other 100000.00 100000.00 100000.00 100000.00

Total 54605044.16 54605044.16 68473888.99 68473888.99

19. Account payable

(1) Account payable

Unit: RMB/CNY

Item Ending balance Opening balance

Purchase of goods and services 9121414.90 4068460.06

Engineering equipment 60657468.31 63339302.97

Total 69778883.21 67407763.03

(2) Major accounts payable with age over one year

Unit: RMB/CNY

Item Ending balance Reasons of outstanding or carry-over

Shenzhen Yinglong Jian’an (Group) Co.Ltd. 29695887.90 Project unsettled

Shenzhen SDG Real Estate Co. Ltd 6054855.46 Unrepayment from related enterprise

Shenzhen Yinuo Construction

Engineering Co. Ltd. 3555095.22 Project unsettled

Shenzhen Cuilu Jewelry Co. Ltd. 1120000.00 Project unsettled

Total 40425838.58

20. Accounts received in advance

(1) Accounts received in advance

Unit: RMB/CNY

Item Ending balance Opening balance

-133深圳市特力(集团)股份有限公司2022年半年度报告全文

Rent 10861839.87 1827827.28

Total 10861839.87 1827827.28

21. Contractual liabilities

Unit: RMB/CNY

Item Ending balance Opening balance

Advance payment 6474665.61 17959187.61

Pre-collected service fee 3693924.78 3100123.57

Total 10168590.39 21059311.18

22. Wage payable

(1) Wage payable

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance

I. Short-term

compensation 38893597.75 32089862.24 29434049.42 41549410.57

II. After-service

welfare-defined 2946118.91 2946118.91

contribution plans

III. Dismissed welfare 164485.00 164485.00

Total 38893597.75 35200466.15 32544653.33 41549410.57

(2) Short-term compensation

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance

1. Wage bonus allowance

and subsidy 38284893.23 24557518.38 22318845.89 40523565.72

2. Employees’ welfare 410244.25 924408.26 532604.01 802048.50

3. Social insurance charges 4185930.50 4185930.50

Including: medical

insurance premium 4042348.97 4042348.97

Industrial injury

insurance premiums 22413.40 22413.40

Maternity insurance

premiums 88062.65 88062.65

Other 33105.48 33105.48

4. Housing public reserve 1935484.78 1935484.78

5. Trade union fee and

education fee 198460.27 486520.32 461184.24 223796.35

Total 38893597.75 32089862.24 29434049.42 41549410.57

-134深圳市特力(集团)股份有限公司2022年半年度报告全文

(3) Defined contribution plans

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance

1. Basic endowment

insurance premiums 2917225.43 2917225.43

2. Unemployment

insurance premiums 28893.48 28893.48

Total 2946118.91 2946118.91

23. Taxes payable

Unit: RMB/CNY

Item Ending balance Opening balance

VAT 1589744.77 808520.40

Enterprise income tax 9470044.63 7964.60

Personal income tax 604864.12 105706.61

Urban maintenance and construction tax 34608.47 47558.24

Land VAT 5407284.90 31705.50

House property tax 3595591.57 41276334.18

Use tax of land 211756.28 512260.46

Educational surtax 2657.88 5362682.64

Local education surcharges 361.01 26459.98

Other tax 138399.81 342907.84

Total 21055313.44 48522100.45

24. Other account payable

Unit: RMB/CNY

Item Ending balance Opening balance

Interest payable 0.00 0.00

Dividend payable 0.00 0.00

Other account payable 115063036.77 112617963.65

Total 115063036.77 112617963.65

(1) Other account payable

1) By nature

Unit: RMB/CNY

Item Ending balance Opening balance

Deposit margin 41896024.19 41657964.73

Related transactions 30025023.86 24146524.51

Withholding payments 9858819.35 15417939.62

Payable interim payment 33283169.37 31395534.79

Total 115063036.77 112617963.65

-135深圳市特力(集团)股份有限公司2022年半年度报告全文

2) Significant other account payable with over one year age

Unit: RMB/CNY

Item Ending balance Reasons for non-repayment or carry-over

Shenzhen Special Development Group Related company non-repayment

12369413.94

Co. Ltd.Hong Kong Yujia Investment Co. Ltd. 1961673.06 Related company non-repayment

Total 14331087.00

25. Non-current liabilities due within one year

Unit: RMB/CNY

Item Ending balance Opening balance

Lease liabilities due within one year 2884263.93 3021452.25

Total 2884263.93 3021452.25

26. Other current liabilities

Unit: RMB/CNY

Item Ending balance Opening balance

Tax amount to be written off 601487.93 2367994.70

Total 601487.93 2367994.70

27. Long-term loans

(1) Classification of long-term loans

Unit: RMB/CNY

Item Ending balance Opening balance

Mortgage loan 121670407.44 86875874.39

Total 121670407.44 86875874.39

28. Lease liability

Unit: RMB/CNY

Item Ending balance Opening balance

Lease liability 3963266.13 4474543.09

Total 3963266.13 4474543.09

29. Long-term account payable

Unit: RMB/CNY

Item Ending balance Opening balance

Long-term account payable 3920160.36 3920160.36

Total 3920160.36 3920160.36

-136深圳市特力(集团)股份有限公司2022年半年度报告全文

(1) By nature

Unit: RMB/CNY

Item Ending balance Opening balance

Deposit of staff residence 3908848.40 3908848.40

Allocation for technology innovation

11311.9611311.96

projects

30. Accrual liabilities

Unit: RMB/CNY

Item Ending balance Opening balance Causes

Pending litigation 268414.80 268414.80

Total 268414.80 268414.80

31. Deferred income

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance Causes

Government Receive

subsidies 10235331.21 677196.54 9558134.67 government subsidies

Total 10235331.21 677196.54 9558134.67

Item with government grants involved:

Unit: RMB/CNY

Amount

Opening New grants reckoned in

Amount Cost

Liability reckoned in reduction Other Ending

Assets

balance in the non-Period operation other in the changes balance

related/inco

income period me related revenue

Elevator

Renewal

Subsidy

Fund for

Futian

111188.09 111188.09 Assets

District Old related

Elevator

Renovation

Working

Group

Luohu

District

2021

special

funds for 3511821.2

3511821.20 Assets

industrial 0 related

transformat

ion and

upgrading-

industry

-137深圳市特力(集团)股份有限公司2022年半年度报告全文

service

platform

Luohu

District

2021

special

funds for

industrial

2364130.4

transformat 2364130.45 Assets

5 related

ion and

upgrading-

Green

building

support

subsidy

Subsidy

revenue

from the

Shenzhen

Municipal

Bureau of

Commerce 4248191.4

4248191.47 Assets

in 2020 to 7 related

promote

consumptio

n to

enhance the

support

project

32. Share capital

Unit: RMB/CNY

Increased (decreased) in this period+ -

Opening

Shares Ending

balance New shares issued Bonus shares

converted

from public Other Subtotal balance

reserve

Total shares 431058320. 431058320.

0000

33. Capital public reserve

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance

Capital premium

(Share capital 425768053.35 425768053.35

premium)

Other capital reserve 5681501.16 5681501.16

Total 431449554.51 431449554.51

34. Other comprehensive income

Unit: RMB/CNY

Current Period

-138深圳市特力(集团)股份有限公司2022年半年度报告全文

Less: Less:

written in written in

other other

comprehen comprehen

sive sive

Account income in income in

Opening before previous previous Less:

Belong to Belong to

Item parent minority

Ending

balance income tax period and period and

income tax

expense company shareholders balance in the period carried carried after tax after tax

forward to forward to

gains and retained

losses in earnings in

current current

period period

II. Other

comprehen

sive

income

items

which will 26422.00 26422.00

be

reclassified

subsequentl

y to profit

or loss

Including:

Other

comprehen

sive

income

under 26422.00 26422.00

equity

method that

can transfer

to gain/loss

Total other

comprehen

sive 26422.00 26422.00

income

35. Surplus public reserve

Unit: RMB/CNY

Item Opening balance Current increased Current decreased Ending balance

Statutory surplus

reserves 26546480.09 26546480.09

Total 26546480.09 26546480.09

36. Retained profit

Unit: RMB/CNY

Item Current period Last period

Retained profit at the end of the previous

period before adjustment 543843496.85 424141893.34

Total retained profit at the beginning of

the previous period before adjustment 543843496.85 424141893.34

Add: net profit attributable to

shareholder of parent company 43480236.19 44542715.32

-139深圳市特力(集团)股份有限公司2022年半年度报告全文

Common stock dividends payable 10781545.75 8621166.40

Retained profit at period-end 576542187.29 460063442.26

37. Operating income and operating cost

Unit: RMB/CNY

Current period Last period

Item

Income Cost Income Cost

Main business 245186251.37 187271730.10 244632938.62 172326102.86

Other business 4828900.86 1072447.45 4859322.62 987151.10

Total 250015152.23 188344177.55 249492261.24 173313253.96

Income related information:

Unit: RMB/CNY

Contract Auto maintenance Lease and service Jewelry sales and

classification Auto sales and inspection service Total

Product types

Including:

Auto sales 90748050.16 90748050.16

Auto maintenance 21877337.87

and inspection 11522091.64

Lease and service 89143718.75

99498964.98

Jewelry sales and

service 48246045.45 48246045.45

Classified by

business area

Including:

21877337.8789143718.75

Shenzhen 90748050.16 48246045.45 250015152.23

Market or

customer type

Including:

Contract type

Including:

Classification by

time of goods

transfer

Including:

Classification by

contract duration

Including:

Classification by

sales channel

Including:

Total 90748050.16 11522091.64 99498964.98 48246045.45 250015152.23

Information relating to performance obligations: nil

-140深圳市特力(集团)股份有限公司2022年半年度报告全文

38. Tax and surcharges

Unit: RMB/CNY

Item Current period Last period

Urban maintenance and construction tax 179352.95 373364.45

Education surcharge 127757.65 266566.48

House property tax 3595591.57 1750236.76

Use tax of land 229898.56 132393.16

Stamp duty 133976.69 88215.19

Other taxes 2670.00 3380.00

Total 4269247.42 2614156.04

39. Sales expenses

Unit: RMB/CNY

Item Current period Last period

Staff remuneration 6697191.21 6414558.14

Advertising and exhibition expenses 355969.09 813955.93

Depreciation and amortization 1835480.94 2066128.41

Office expenses 294600.87 202242.09

Property and utilities 239436.33 433397.24

Transportation and business trip cost 173322.82 114255.71

Insurance supervision fee 102004.55 476862.25

Other 1249312.34 1480912.25

Total 10947318.15 12002312.02

40. Administration expenses

Unit: RMB/CNY

Item Current period Last period

Staff remuneration 15547995.24 16070330.49

Office expenses 231630.78 248988.77

Transportation and business trip cost 18250.52 124886.80

Business entertainment expenses 130553.80 170483.29

Depreciation and amortization 1513826.81 1614251.84

Intermediary agency service fee 1223090.79 1285160.67

Other 1167569.27 1293372.83

Total 19832917.21 20807474.69

41. Financial expenses

Unit: RMB/CNY

Item Current period Last period

-141深圳市特力(集团)股份有限公司2022年半年度报告全文

Interest expenses 2303220.59 1747427.56

Less: Interest income 2843386.98 1719072.96

Less: interest capitalized amount 2194828.71 547427.56

Exchange loss -65959.60 -7790.79

Other 99398.31 122303.86

Total -2701556.39 -404559.89

42. Other income

Unit: RMB/CNY

Sources Current period Last period

Handling fee refund for withholding

personal income tax 50129.40 4082.49

Other 1525860.90 322337.67

43. Investment income

Unit: RMB/CNY

Item Current period Last period

Long-term equity investment income

measured by equity 7927787.58 9683638.47

Investment income of trading financial

assets during the holding period 6774748.47 4712120.21

Investment income from disposal of

8785410.47

trading financial assets

Total 23487946.52 14395758.68

44. Income of fair value changes

Unit: RMB/CNY

Sources Current period Last period

Trading financial assets -617068.50 -418952.05

Total -617068.50 -418952.05

45. Credit impairment loss

Unit: RMB/CNY

Item Current period Last period

Loss of bad debt of other account

receivable -200149.24

Total -200149.24 0.00

46. Non-operating income

Unit: RMB/CNY

Amount included in the

Item Current period Last period current non-recurring profit

and loss

Other 295807.48 72884.60 295807.48

Total 295807.48 72884.60 295807.48

-142深圳市特力(集团)股份有限公司2022年半年度报告全文

47. Non-operating expenditure

Unit: RMB/CNY

Amount included in the

Item Current period Last period current non-recurring profit

and loss

Other 237.72 9945.86 237.72

Total 237.72 9945.86 237.72

48. Income tax expense

(1) Income tax expense

Unit: RMB/CNY

Item Current period Last period

Current income tax expenses 10808747.89 11085413.51

Total 10808747.89 11085413.51

(2) Adjustment process of accounting profit and income tax expenses

Unit: RMB/CNY

Item Current period

Total profit 53906103.05

Income tax expenses calculated by statutory tax rate 13476525.76

Impact by different tax rate applied by subsidies -23350.94

Impact of non taxable income -1981946.90

Unrecognized impacts of deductible temporary differences or

deductible losses on deferred income tax assets in the period -662480.04

Income tax expenses 10808747.89

49. Other comprehensive income

More of “Other comprehensive income” and income tax effect and transfer to gain/loss as well as the reconciliation

of various items of other comprehensive income found in 34. Other comprehensive income in Note VI

50. Annotation of cash flow statement

(1) Cash received with other operating activities concerned

Unit: RMB/CNY

Item Current period Last period

Deposit margin 3980878.67 9160722.91

Interest income 2843386.98 1719072.96

Intercourse funds and other 88610563.21 62509088.41

Total 95434828.86 73388884.28

-143深圳市特力(集团)股份有限公司2022年半年度报告全文

(2) Cash paid with other operating activities concerned

Unit: RMB/CNY

Item Current period Last period

Cash paid 20599573.29 28551813.16

Deposit margin 4263044.41 6501628.21

Intercourse funds and other 72184949.67 42275584.65

Total 97047567.37 77329026.02

(3) Cash paid related with investment activities

Unit: RMB/CNY

Item Current period Last period

Import & export equity transfer listing

fee on United Property and Equity 18669.20

Exchange

Total 18669.20 0.00

51. Supplementary information to statement of cash flow

(1) Supplementary information to statement of cash flow

Unit: RMB/CNY

Supplementary information Current period Last period

1. Net profit adjusted to cash flow of

operation activities:

Net profit 43097355.16 44496619.21

Add: Impairment provision for assets

Depreciation of fixed assets

consumption of oil assets and 15364386.85 15293526.20

depreciation of productive biology assets

Depreciation of right-of-use assets

Amortization of intangible assets 623161.70 716715.48

Amortization of long-term pending

2321921.532080287.58

expenses

Loss from disposal of fixed assets

intangible assets and other long-term -40765.92 -56242.77

assets (income is listed with “-”)

Losses on scrapping of fixed assets

237.72(income is listed with “-“)Loss from change of fair value (income

617068.50418952.05is listed with “-“)Financial expenses (income is listed with

108391.881200000.00

“-”)

Investment loss (income is listed with

-23487946.52-14395758.68

“-”)

-144深圳市特力(集团)股份有限公司2022年半年度报告全文

Decrease of deferred income tax assets

19471.10

(increase is listed with “-”)

Increase of deferred income tax assets

(decrease is listed with “-”)

Decrease of inventory (increase is listed

-1990985.829297128.79

with “-”)

Decrease of operating receivable

-36896366.90-7192322.29

accounts (increase is listed with “-”)

Increase of operating payable accounts

-10834604.357693022.35

(decrease is listed with “-”)

Other -200149.24

Net cash flow arising from operating

-11318295.4159571399.02

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 188890609.03 358059693.02

Less: Balance of cash equivalent at

211655585.86208462656.63

period-begin

Add: Balance at period-end of cash

equivalents

Less: Balance at period-begin of

cash equivalents

Net increase of cash and cash

-22764976.83149597036.39

equivalents

(2) Constitution of cash and cash equivalent

Unit: RMB/CNY

Item Ending balance Opening balance

I. Cash 188890609.03 211655585.86

Including: Cash on hand 9691.12 36941.24

Bank deposit available for

188880917.91211618644.62

payment at any time

III. Balance of cash and cash equivalent

188890609.03211655585.86

at period-end

-145深圳市特力(集团)股份有限公司2022年半年度报告全文

52. Assets with ownership or use right restricted

Unit: RMB/CNY

Item Ending book value Reasons for restriction

Upgrading project of the Tellus-Gman

Monetary fund 27188802.59 Gold & Jewelry Industrial Park -

supervision funds for the 03# land

Intangible assets 45934295.01

Bank loan mortgage

Total 73123097.60

53. Foreign currency monetary

(1) Foreign currency monetary

Unit: RMB/CNY

Item Ending foreign currency Convert rate Ending RMB balance balance converted

Monetary funds 682909.72

Including: USD 104030.95 6.5126 677515.04

EURO

HKD 6858.41 0.7866 5394.68

54. Government grants

(1) Government grants

Unit: RMB/CNY

Category Amount Item Amount reckoned into current gains/losses

Elevator Renewal Subsidy

Fund for Futian District Old

131102.38 Deferred income

Elevator Renovation Working

Group

Luohu District 2021 Special

funds for industrial

4017501.99 Deferred income 221174.34

transformation and upgrading-

industry service platform

Luohu District 2021 special

funds for industrial

transformation and upgrading- 2500000.00 Deferred income 163043.46

Green building support

subsidy

Subsidy revenue from the

Shenzhen Municipal Bureau

of Commerce in 2020 to 4590000.00 Deferred income 292978.74

promote consumption to

enhance the support project

Work-based vocational

82750.00 Other income 82750.00

training subsidy

Stabilization subsidy from

6679.80 Other income 6679.80

social security bureau

-146深圳市特力(集团)股份有限公司2022年半年度报告全文

VII. Changes of consolidation range

1. Increased in scope of consolidation

Ways to acquire Time of equity Contribution

Name equity acquisition amount Contribution ratio

Guorun Gold (Shenzhen) Co. Ltd. Newly established June 2022 7850 39.25%

2. Enterprise combine under the same control

Not applicable

3. Reverse purchase

Not applicable

4. Disposal of subsidiaries

Not applicable

VIII. Equity in other entity

1. Equity in subsidiary

(1) Constitute of enterprise group

Subsidiary Main operation Registered

Share-holding ratio

place place Business nature Acquired way Directly Indirectly

Shenzhen

Tellus

Xinyongtong

Automobile Shenzhen Shenzhen Commerce 5.00% 95.00% Establishment

Development

Co. Ltd

Shenzhen

Bao’an Shiquan

Industrial Co. Shenzhen Shenzhen Commerce 100.00% Establishment

Ltd.Shenzhen SDG

Tellus Real Shenzhen Shenzhen Manufacture 100.00% Establishment

Estate Co. Ltd.Shenzhen

Tellus

Chuangying Shenzhen Shenzhen Commerce 100.00% Establishment

Tech. Co. Ltd.Shenzhen

Xinyongtong

Auto Vehicle

Inspection Shenzhen Shenzhen Commerce 51.00% Establishment

Equipment Co.Ltd.Shenzhen Auto

Industry and Shenzhen Shenzhen Commerce 100.00% Establishment

Trade

-147深圳市特力(集团)股份有限公司2022年半年度报告全文

Corporation

Shenzhen

Automotive

Industry Supply Shenzhen Shenzhen Commerce 100.00% Establishment

Corporation

Shenzhen SDG

Huari Auto

Shenzhen Shenzhen Commerce 60.00% Establishment

Enterprise Co.Ltd.Shenzhen Huari

Anxin

Automobile Shenzhen Shenzhen Commerce 100.00% Establishment

Inspection Ltd.Shenzhen

Zhongtian

Shenzhen Shenzhen Commerce 100.00% Establishment

Industrial Co.Ltd.Shenzhen Huari

TOYOTA

Automobile Shenzhen Shenzhen Commerce 60.00% Establishment

Sales Service

Co. Ltd.Shenzhen

Tellus Treasury

Shenzhen Shenzhen Commerce 100.00% Establishment

Supply Chain

Tech. Co. Ltd.Shenzhen

Jewelry

Industry Shenzhen Shenzhen Commerce 65.00% Establishment

Service Co.LTD

Shanghai

Fanyue

Shenzhen Shenzhen Commerce 100.00% Establishment

Diamond Co.Ltd.Guorun Gold

(Shenzhen) Shenzhen Shenzhen Commerce 36% 3.25% Establishment

Co. Ltd.

(2) Important non-wholly-owned subsidiary

Unit: RMB/CNY

Subsidiary Share-holding ratio of

Gains/losses Dividend announced to

minority attributable to minority distribute for minority

Ending equity of

in the Period in the Period minority

Shenzhen Huari Toyota

40.00%-442894.844030875.67

Auto Sales Co. Ltd

Shenzhen SDG Huari

Auto Enterprise Co. 40.00% 935322.67 13439198.81

Ltd.

(3) Main finance of the important non-wholly-owned subsidiary

Unit: RMB/CNY

Ending balance Opening balance

Subsid

Curren Non- Total Curren Non- Total Non- Curren Non- Total iary

t assets current assets t current liabiliti

Curren Total

assets liabiliti liabiliti es t assets

current assets t current liabilitiassets liabiliti liabiliti es

-148深圳市特力(集团)股份有限公司2022年半年度报告全文

es es es es

Shenz

hen

Huari

76682808587078170781852909029579111

Toyota 4176 5005 79111

138.5425.2236.0236.0018.3930.4504.1

Auto 286.66 912.12 504.18

4033358

Sales

Co.Ltd

Shenz

hen

SDG

Huari 59268 19665 78933 45093 45093 61681 20655 82337 50835 50835

Auto 648.8 196.1 844.9 542.9 542.9 938.5 893.7 832.3 836.9 836.9

Enterp 7 1 8 3 3 8 8 6 9 9

rise

Co.Ltd.Unit: RMB/CNY

Current period Last period

Total Cash flow Total Cash flow

Subsidiary Operating

income Net profit

comprehen from Operating comprehen from

sive operation income Net profit sive operation

income activity income activity

Shenzhen

Huari - - -

31626860.15892157.12090866

Toyota 798121.42 798121.42 1096939.0 1096939.0 1066151.6

92850.87

Auto Sales 1 1 0

Co. Ltd

Shenzhen

SDG Huari -

18688992.2338306.62338306.618429177.1882612.71882612.7

Auto 19176506. 68643.14

55885799

Enterprise 73

Co. Ltd.

2. Equity in joint venture and associated enterprise

(1) Important joint venture or associated enterprise

Share-holding ratio Accounting

Joint venture or treatment on

Associated Main operation Registered Business nature investment for

enterprise place place Directly Indirectly joint venture and associated

enterprise

Shenzhen

Tellus Gman Investment and

Shenzhen Shenzhen establishment 50.00% Equity method

Investment Co. of industries accounting

Ltd

Shenzhen Zung

Fu Tellus Auto

Shenzhen Shenzhen Sales of Benz 35.00% Equity method

Service Co. accounting

Ltd.-149深圳市特力(集团)股份有限公司2022年半年度报告全文

(2) Main financial information of the important joint venture

Unit: RMB/CNY

Ending balance/Current period Opening balance/Last period

Shenzhen Tellus Gman Investment Co. Shenzhen Tellus Gman Investment Co.Ltd Ltd

Current assets 30303217.19 45816920.84

Including: Cash and cash equivalent 26391630.67 41913040.87

Non current assets 357067102.52 366402308.03

Total Assets 387370319.71 412219228.87

Current liabilities 37478449.11 39971747.31

Non current liabilities 268188000.00 277266000.00

Total liabilities 305666449.11 317237747.31

Minority interests

Shareholders' equity attributable to the

81703870.6094981481.56

parent company

Share of net assets calculated by

40851935.3047490740.78

shareholding ratio

Adjustment matters

--Goodwill

—Unrealized profit of internal trading

--Others

Book value of equity investment in joint

56229882.8847490740.78

ventures

Fair value of the equity investment of

joint venture with public offers

concerned

Business income 51327658.48 47490740.78

Financial expenses 7454900.88 7886096.17

Income tax expenses 5826094.71 3082111.84

Net profit 17478284.13 9246335.50

Net profit of the termination of operation

Other comprehensive income

Total comprehensive income 17478284.13 9246335.50

Dividends received from joint ventures

during the year

(3) Main financial information of the important associated enterprise

Unit: RMB/CNY

Ending balance/Current period Opening balance/Last period

Shenzhen Zung Fu Tellus Auto Service Shenzhen Zung Fu Tellus Auto Service

-150深圳市特力(集团)股份有限公司2022年半年度报告全文

Co. Ltd. Co. Ltd.Current assets 181809658.99 134921582.03

Non current assets 32088660.57 33583787.31

Total Assets 213898319.56 168505369.34

Current liabilities 139022780.57 90311356.93

Non current liabilities

Total liabilities 139022780.57 90311356.93

Minority interests

Shareholders' equity attributable to the

74875538.9978194012.41

parent company

Share of net assets calculated by

26206438.6527367904.34

shareholding ratio

Adjustment matters

--Goodwill

—Unrealized profit of internal trading

--Other

Book value of equity investment in

26206438.6527367904.34

associated enterprise

Fair value of the equity investment of

associated enterprise with public offers

concerned

Business income 493226617.42 638056465.79

Net profit -3318473.42 21570821.49

Net profit of the termination of operation

Other comprehensive income

Total comprehensive income -3318473.42 21570821.49

Dividends received from associates

during the year

(4) Financial summary for non-important Joint venture and associated enterprise

Unit: RMB/CNY

Ending balance/Current period Opening balance/Last period

Joint venture:

Total book value of investment 13802333.55 13452222.35

Amount based on share-holding ratio

-- Net profit 686492.55 708235.59

-- Total comprehensive income 686492.55 708235.59

Associated enterprise:

Amount based on share-holding ratio

-151深圳市特力(集团)股份有限公司2022年半年度报告全文

(5) Excess loss occurred in joint venture or associated enterprise

Unit: RMB/CNY

Un-recognized losses not

Joint venture/Associated Cumulative un-recognized recognized in the Period (or Cumulative un-recognized

enterprise losses net profit enjoyed in the losses at period-end

Period)

Shenzhen Yongtong Xinda

Inspection Equipment Co. 1176212.73 1176212.73

Ltd.Shenzhen Tellus Automobile

98865.2698865.26

Service Chain Co. Ltd.IX. Risk related with financial instrument

The Company's risks related to financial instruments originate from various financial assets and financial liabilities

recognized by the Company in the course of operation including credit risk liquidity risk and market risk.The management of the Company is responsible for the management objectives and policies of various risks related

to financial instruments of the Company. Operating management is responsible for daily risk management through

functional departments (e.g. the credit management department of the Company checks the credit sales of the

company on a case-by-case basis). The internal audit department of the Company conducts daily supervision over

the implementation of the company's risk management policies and procedures and reports relevant findings to the

audit committee of the Company in a timely manner.The overall goal of the Company's risk management is to formulate risk management policies that may minimize

the risks associated with various financial instruments without unduly affecting the company's competitiveness and

resilience.

1. Credit risk

Credit risk is the risk that one party of a financial instrument fails to fulfill its obligations resulting in a financial

loss to the other party. The credit risk of the Company is mainly generated from monetary funds notes receivable

accounts receivable receivables financing other account receivable contract assets debt investment and long-term

receivables etc. The credit risk of these financial assets is derived from the default of the counterparty and the

maximum risk exposure is equal to the book amount of these instruments.The Company's monetary funds are mainly deposited in commercial banks and other financial institutions. The

Company believes that these commercial banks have high credit and asset status and low credit risk.For notes receivable accounts receivable receivables financing Other account receivable contract assets debt

investment and long-term receivables the Company establishes relevant policies to control credit risk exposure.The Company evaluates customers' credit qualifications and sets up corresponding credit periods based on their

financial status the possibility of obtaining guarantees from third parties credit history and other factors such as

current market conditions. The Company regularly monitors the credit records of customers. For customers with

poor credit records the Company will adopt written payment reminders shortening or cancellations of credit periods

etc. to ensure that the Company's overall credit risk is within a controllable range.

(1) Judgment criteria for a significant increase in credit risk

-152深圳市特力(集团)股份有限公司2022年半年度报告全文

On each balance sheet date the Company evaluates whether the credit risk of the relevant financial instrument has

increased significantly since the initial recognition. In determining whether the credit risk has increased significantly

since the initial recognition the Company considers the reasonable and evidence-based information that can be

obtained without unnecessary additional cost or effort including qualitative and quantitative analysis based on the

Company's historical data external credit risk ratings and forward-looking information. On the basis of a single

financial instrument or a portfolio of financial instruments with similar credit risk characteristics the Company

determines the change of the default risk during the expected duration of the financial instrument by comparing the

risk of default of the financial instrument on the balance sheet date with the risk of default on the initial recognition

date.When one or more of the following quantitative or qualitative criteria are triggered the Company considers that the

credit risk of the financial instrument has significantly increased. The quantitative criteria mainly mean that the

probability of default of the remaining duration on the reporting date increases over a certain percentage compared

with the initial recognition. The qualitative criteria are the significant adverse changes in major debtor's business or

financial situation the list of early warning customers etc.

(2) Definition of assets with credit impairment

In order to determine whether credit impairment has occurred the Company adopts the definition criteria consistent

with the internal credit risk management objectives for relevant financial instruments and considers both

quantitative and qualitative indicators.When assessing whether the debtor has suffered credit impairment the Company mainly considers the following

factors: major financial difficulties of the issuer or the debtor; the debtor breaches the contract such as the default

or overdue payment of interest or principal; the creditor for economic or contractual reasons relating to the debtor's

financial difficulties gives the debtor concessions that it would not have given in any other circumstances; the

debtor is likely to go bankrupt or undergo other financial restructuring; the financial difficulties of the issuer or

debtor lead to the disappearance of the active market for the financial asset; purchase or origination of a financial

asset at a substantial discount reflects the fact that a credit loss has occurred.The credit impairment of financial assets may be caused by the joint action of several events but is not necessarily

by separately identifiable events.

(3) Parameters of expected credit loss measurement

Depending on whether the credit risk has significantly increased and whether the credit impairment has occurred

the Company measures the impairment reserve for different assets at the expected credit loss of 12 months or the

entire duration respectively. The key parameters of expected credit loss measurement include probability of default

loss given default and exposure at default. The Company establishes the probability of default loss given default

and exposure at default model by taking into account the quantitative analysis and forward-looking information of

historical statistical data (such as counterparty rating guarantee method and collateral type repayment mode etc.).Relevant definitions are as follows:

The probability of default is the probability that the debtor will not be able to meet its reimbursement obligations in

the next 12 months or in the entire duration.-153深圳市特力(集团)股份有限公司2022年半年度报告全文

Loss given default refers to the Company's expectation to the extent of loss caused by exposure at default. The loss

given default also varies depending on the type of the counterparty the type and priority of the claim and the

collateral. The loss given default is the percentage of the risk exposure loss when the default occurs which is

calculated on the basis of the next 12 months or the entire duration;

Exposure at default is the amount payable by the Company at the time of the occurrence of default over the next 12

months or over the entire remaining duration. Both the assessment of a significant increase in credit risk and the

calculation of expected credit losses involve the forward-looking information. Through historical data analysis the

Company identifies the key economic indicators that affect the credit risk and expected credit loss of each business

type.The maximum credit risk exposure of the Company is the carrying amount of each financial asset on the balance

sheet. The Company does not provide any other guarantee which may expose the Company to credit risk.

2. Liquidity risk

Liquidity risk refers to the risk of capital shortage when an enterprise performs its obligations of settlement in the

form of cash payment or other financial assets. The Company is responsible for the overall cash management of the

company's subsidiaries including short-term investment of surplus cash and financing of loans to meet projected

cash needs. It is the Company's policy to regularly monitor short - and long-term working capital requirements and

compliance with borrowing agreements to ensure adequate cash reserves and marketable securities readily available

for cash for cash at any time.As of June 30 2022 the maturity periods of the company's financial liabilities are as follows:

June 30 2022

Item

Within one year 1-2 years 2-3 years Over 3 years

Accounts payable 69778883.21

Other payable 115063036.77

Non-current liabilities due within one

2884263.93

year

Long term loan 5040362.36 5966267.19 7285517.69 103378260.21

Long-term payable 3920160.36

Lease liability 1318243.17 1684781.03 960241.93

Total 193802442.70 7284510.36 8970298.72 104338502.14

(Continued from above table)

December 31 2021

Item

Within one year 1-2 years 2-3 years Over 3 years

Accounts payable 69318035.89

Other payable 112617963.65

Non-current liabilities due within one 3021452.25

-154深圳市特力(集团)股份有限公司2022年半年度报告全文

December 31 2021

Item

Within one year 1-2 years 2-3 years Over 3 years

year

Long term loan 3644467.25 4609457.14 5967792.71 118790550.21

Long-term payable 3920160.36

Lease liability 1829520.13 1684781.03 960241.93

Total 192522079.40 6438977.27 7652573.74 119750792.14

X. Disclosure of fair value

1. Ending fair value of the assets and liabilities measured by fair value

Unit: RMB/CNY

Ending fair value

Item

First-order Second-order Third-order Total

I. Sustaining measured

--------

by fair value

(I) Transaction

422095775.34422095775.34

financial asset

1.Financial assets

measured at fair value

and whose changes are 422095775.34 422095775.34

included in current

profit or loss

(III) Other equity

10176617.2010176617.20

instrument investment

Total assets

continuously measured 432272392.54 432272392.54

at fair value

II. Non-persistent

--------

measure

2. The qualitative and quantitative information for the valuation technique and critical parameter that

sustaining and non-persistent measured by fair value on third-order

Financial assets held for trading are the purchased structured deposits and wealth management products and the

expected rate of return is used to predict the future cash flows and the unobservable estimate is the expected rate

of return. Investments in other equity instruments are measured at the investment cost as a reasonable estimate of

fair value because the operating environment operating conditions and financial conditions of the investee company

China Pudong Development Machinery Industry Co. Ltd have not undergone significant changes.-155深圳市特力(集团)股份有限公司2022年半年度报告全文

XI. Related party and related transactions

1. Parent company

Ratio of

Ratio of voting right

Parent company Registration place Business nature Registered capital shareholding on the

on the Company

Company

Development and

Shenzhen Special operation of real RMB

Development Shenzhen 49.09% 49.09%

4582820000

Group Co. Ltd. estate and domestic

commerce

Explanation on parent company of the enterprise

Shenzhen SDG Co. Ltd. is invested by the State-owned Assets Supervision and Administration Commission of

Shenzhen Municipal People's Government and was established on August 1 1981. The company now holds a

business license with a unified social credit code of 91440300192194195C and a registered capital of 4582.82

million yuan.Ultimate controller of the Company is Shenzhen Municipal People’s Government State-Owned Assets

Supervision and Administration Commission.

2. Subsidiary

Found more in Ⅷ. Equity in other entity in the Note

3. Joint venture and associated enterprise

Found more in Ⅷ. Equity in other entity in the Note

Other cooperative enterprise and joint venture that have related transaction with the Company in the Period or

occurred in previous period:

Joint venture/Associated enterprise Relationship

Shenzhen Xinyongtong Auto Service Co. Ltd. Former associate transferred in previous period

Shenzhen Tellus Xinyongtong Auto Service Co. Ltd. Associated company

Shenzhen Tellus Automobile Service Chain Co. Ltd. Associated company

Shenzhen Yongtong Xinda Inspection Equipment Co. Ltd. Associated company

Shenzhen Xiandao New Material Co. Ltd. Associated company

Shenzhen Tellus Hang Investment Co. Ltd. Joint venture

4. Related transaction

(1) Goods purchasing labor service providing and receiving

Goods purchasing/labor service receiving

-156深圳市特力(集团)股份有限公司2022年半年度报告全文

Unit: RMB/CNY

Whether more than

Related party Related transaction Approved content Current Period transaction limit the transaction Last Period limit (Y/N)

Shenzhen SDG

Engineering

Management Co. Accept labor 430000.00 N 518499.99

Ltd.Shenzhen SDG

Tellus Property Accept labor 1529149.09 15700000.00 N 7668080.71

Management Co.Ltd.Shenzhen SDG

Service Co. Ltd.Jewelry Park Accept labor 5236179.69 360000.00 N 412752.47

Branch

Unit: RMB/CNY

Related party Related transaction content Current Period Last Period

Shenzhen SDG Petty Loan

Co. Ltd. Providing services 94975.53 80602.62

Shenzhen SDG Tellus

Property Management Co. Providing services 54548.96 36701.08

Ltd.

(2) Related lease

As a lessor for the Company:

Unit: RMB/CNY

Lessee Assets type Lease income in recognized Lease income in recognized in the Period last the Period

Shenzhen Zung Fu Tellus House lease 2595238.12 2595238.12

Auto Service Co. Ltd.Shenzhen Xinyongtong Auto House lease 404910.00

Service Co. Ltd.Shenzhen SD Petty Loan Co. House lease 654081.87 495064.92

Ltd.Shenzhen SDG Tellus

Property Management Co. House lease 15155.24 23041.90

Ltd.Shenzhen SDG Service Co. House lease 1108284.57 542136.57

Ltd. Jewelry Park Branch

Subtotal 4788605.52 4357391.51

(3) Related guarantee

As guarantor

Unit: RMB/CNY

Secured party Guarantee amount Guarantee start date Guarantee expiry date Whether the guarantee has been fulfilled

Shenzhen Zung Fu

Tellus Auto Service 3500000.00 2007-04-17 N

Co. Ltd.-157深圳市特力(集团)股份有限公司2022年半年度报告全文

(4) Related party’s borrowed funds

Not applicable

(5) Remuneration of key manager

Unit: RMB/CNY

Item Current period Last period

Total pre-tax remuneration received from

3258800.002695100.00

the Company

5. Receivable and payable of related party

(1) Receivable item

Unit: RMB/CNY

Ending balance Opening balance

Item Name Related party

Book balance Bad debt provision Book balance Bad debt provision

Shenzhen

Accounts

Xinyongtong Auto 0.00 0.00

receivable

Service Co. Ltd.Shenzhen SDG

Service Co. Ltd.

1605.491.689167.5791.68

Jewelry Park

Branch

Shenzhen SD Petty

186202.60177.9117791.06177.91

Loan Co. Ltd.Subtotal 187808 269.59 26958.63 269.59

Shenzhen Tellus

Other account Automobile

1359297.001359297.001359297.001359297.00

receivable Service Chain Co.Ltd.Shenzhen

Yongtong Xinda

Inspection 531882.24 531882.24 531882.24 531882.24

Equipment Co.Ltd.Shenzhen Xiandao

New Material Co. 660790.09 660790.09 660790.09 660790.09

Ltd.Shenzhen SDG

Tellus Property

13659.18128.3012829.59128.30

Management Co.Ltd.Subtotal 2565628.51 2552097.63 2564798.92 2552097.63

Shenzhen Tellus

Long-term Automobile

receivables 2179203.68 2179203.68 2179203.68 2179203.68 Service Chain Co.Ltd.Subtotal 2179203.68 2179203.68 2179203.68 2179203.68

-158深圳市特力(集团)股份有限公司2022年半年度报告全文

(2) Payable item

Unit: RMB/CNY

Item Name Related party Ending book balance Opening book balance

Shenzhen SDG Real Estate

Accounts payable 6054855.46 6054855.46

Co. Ltd

Shenzhen Machinery

Equipment Import & Export 45300.00 45300.00

Corporation

Shenzhen Tellus Gman

200000.00200000.00

Investment Co. Ltd

Shenzhen SDG Engineering

38905.66150005.66

Management Co. Ltd

Shenzhen SDG Tellus

Property Management Co. 1708125.16 1708125.16

Ltd.Subtotal 8047186.28 8158286.28

Hong Kong Yujia Investment

Other payable 1961673.06

Co Ltd. 1961673.06

Shenzhen SDG Swan

28766.05

Industrial Co. Ltd. 28766.05

Shenzhen Machinery

Equipment Imp & Exp. 1575452.52 1575452.52

Company

Shenzhen Special

12369413.9417383655.94

Development Group Co. Ltd.Shenzhen Longgang Tellus

1095742.501095742.50

Real Estate Co. Ltd.Shenzhen Tellus Yangchun

476217.49476217.49

Real Estate Co. Ltd.Shenzhen Tellus Hang

11144.73167470.29

Investment Co. Ltd.Shenzhen Yongtong Xinda

Inspection Equipment Co. 5600.00 5600.00

Ltd.Shenzhen SDG Tellus

Property Management Co. 30428.43 122141.49

Ltd.Shenzhen SDG Service Co.

22680.0029278.00

Ltd. Jewelry Park Branch

Shenzhen Zung Fu Tellus

833334.00833334.00

Auto Service Co. Ltd.Shenzhen SD Petty Loan Co.

237804.66237804.66

Ltd.-159深圳市特力(集团)股份有限公司2022年半年度报告全文

Shenzhen SDG Engineering

40000.0056600.00

Management Co. Ltd

Shenzhen SDG Service Co.

5832.00

Ltd.Subtotal 18688257.38 23979568.00

XII. Commitment or contingency

1. Important commitments

Important commitments at the balance sheet date

(1) Capital commitment

Capital commitments that have been signed but not yet confirmed in

June 30 2022 December 31 2020

the financial statements

Large contract 153763306.33 220523772.58

2. Contingency

(1) Contingency on balance sheet date

In October 2005 the Company filed a lawsuit with the Luohu District People's Court of Shenzhen requesting that

Jintian Industrial (Group) Co. Ltd. (hereinafter referred to as Jintian Company) be ordered to pay the amounts

forcibly deducted due to the Company's guarantee for its bank borrowings totally 4081830 yuan (including 3

million yuan in principal 1051380 yuan in interest 25160 yuan in litigation fees and 5290 yuan in execution

fees). The court has ruled in favor of the Company and the Company has applied for compulsory execution. The

Company made loss accounting treatment for the deducted funds in previous years.In April 2006 Shenzhen Development Bank sued Jintian Company for the overdue loan repayment of 2 million US

dollars and the Company’s guarantee for it. After the Company took over the principal of Jintian Company's loan

of 2 million US dollars and all interests the Company filed an appeal to the Luohu District People's Court of

Shenzhen requesting that Jintian Company be ordered to pay our company 2960490 US dollars and the interests

repaid by our company on its behalf. In 2008 mediated by Luohu District People's Court of Shenzhen both parties

reached a civil mediation agreement ((2008) SLFMYCZ No. 937) and reached the following agreements: Jintian

Company should repay 2960490 US dollars to the Company before October 31 2008 the Company shall exempt

Jintian Company from its obligation to pay interest. If Jintian Company fails to pay on time it shall pay the penalty

for overdue payment according to the RMB benchmark loan interest rate for the same period announced by the

People's Bank of China from that day. Jintian Company goes through bankruptcy reorganization and debt repayment

procedures. On January 29 2016 Shenzhen Intermediate People's Court ruled that the execution of the

reorganization plan of Jintian Company was completed and the bankruptcy proceedings were terminated. Jintian

Company should make additional distributions to creditors including the Company according to the reorganization

plan and the Company should be distributed cash of 325000 yuan and 427604 A shares and 163886 B shares of

-160深圳市特力(集团)股份有限公司2022年半年度报告全文

Jintian Company. As of the date of approval of the financial report the Company has not received the distributed

property. On August 15 2018 after failing to communicate with Jintian for many times about the cash and shares

to be distributed after the bankruptcy and reorganization of Jintian Company the Company filed a lawsuit with the

People's Court of Qianhai Cooperation Zone and the Qianhai Court issued a civil judgment (2018) Yue 0391 Min

Chu No. 3104 Jintian Company was ordered to pay the Company 325000 yuan in cash and 427604 A shares and

163886 B shares of Jintian Company within five days of the legal effect of this judgment (if the shares cannot be

delivered they may be paid in cash at the market price of the shares on the last day of the deadline for performance).As of June 30 2022 the Company had fulfilled a payment of 400808.02 yuan (including 325000 yuan in cash as

determined in the judgment and a total of 75808.02 yuan in cash such as B-shares converted to cash preservation

fees delayed performance fees etc.) and 427604 A-shares had been transferred to the account designated by the

court the company had also submitted an account to accept Jintian's A-shares and was waiting for the Qianhai

Court to transfer the aforesaid funds and stocks to the Company.XIII. Other important events

1. Segment

(1) Recognition basis and accounting policy for reportable segment

The Company determines operating (segment) divisions based on internal organizational structure management

requirements and internal reporting system and determines the reporting segment based on the industry segment.Respectively assess the operating performance of automobile sales automobile maintenance and testing leasing

and services and jewelry wholesale and retail. The assets and liabilities used with each segment are distributed

among the different segments in proportion to their size.

(2) Financial information for reportable segment

Unit: RMB/CNY

Auto

Leasing and

Item Wholesale and Offset between Auto sales maintenance retail of jewelry segment Total

services

and inspection

Main business

90748050.1626147132.30100183766.8948246045.45-15309842.57250015152.23

income

Main business

89009452.6118754863.6043466666.5653215540.26-16102345.48188344177.55

cost

-

2922091666.1901811890.

Total assets 39848642.72 141387032.02 106295526.07 1267962334.44 21

32

-161深圳市特力(集团)股份有限公司2022年半年度报告全文

-

Total liability 40644046.54 96674136.98 834493197.93 37438315.55 412306255.00 596943442.00

XIV. Principal notes of financial statements of parent company

1. Account receivable

(1) Category

Unit: RMB/CNY

Ending balance Opening balance

Categor Book balance Bad debt provision Book balance Bad debt provision

y Book Book Accrual Accrual

Amount Ratio Amount value Amount Ratio Amount value

ratio ratio

Account

receivab

le with

bad debt

484803.484803.484803.484803.

provisio 15.14% 100.00% 65.79% 100.00%

08080808

n accrual

on a

single

basis

Account

receivab

le with

bad debt 271723 271539 120861. 119014.

84.86%1847.010.07%34.21%1847.011.53%

provisio 9.31 2.30 42 41

n accrual

on

portfolio

320204486650.271539605664.486650.119014.

Total 100.00% 15.20% 100.00% 80.35%

2.39092.30500941

On June 30 2022 account receivable with bad debt provision accrual on a single basis

Unit: RMB/CNY

Ending balance

Name

Book balance Bad debt provision Accrual ratio Accrual causes

Shenzhen Bijiashan The account age is long

Entertainment 172000.00 172000.00 100% and is not expected to

be recovered

Company

The account age is long

Gong Yanqing 97806.64 97806.64 100% and is not expected to

be recovered

Guangzhou Lemin The account age is long

86940.00 86940.00 100% and is not expected to

Computer Center be recovered

The account age is long

Other 128056.44 128056.44 100%

and is not expected to

-162深圳市特力(集团)股份有限公司2022年半年度报告全文

be recovered

Total 484803.08 484803.08

By account age

Unit: RMB/CNY

Account age Ending balance

Within one year (including one year) 2717239.31

Over 3 years 484803.08

Over 5 years 484803.08

Total 3202042.39

(2) Bad debt provision accrual collected or reversal in the period

Bad debt provision accrual in the period:

Unit: RMB/CNY

Amount changed in the period

Opening

Category balance Collected or Ending balance Accrual Written-off Other

reversal

Bad debt

provision

accrual on a 484803.08 484803.08

single basis

Provision for

bad debts by 1847.01 1847.01

combination

Total 486650.09 486650.09

(3) Top 5 account receivables at ending balance by arrears party

Unit: RMB/CNY

Enterprise Ending balance of accounts Proportion in total receivables Bad debt preparation ending receivable at ending balance balance

Shenzhen Zung Fu Tellus

Auto Service Co. Ltd. 2595238.08 81.05%

Shenzhen Bijiashan

172000.005.37%172000.00

Entertainment Company

Shenzhen Jincheng Yinyu

Jewelry Co. Ltd. 117501.42 3.67% 2487.23

Gong Yanqing 97806.64 3.05% 97806.64

Guangzhou Lemin Computer

86940.002.72%86940.00

Center

Total 3069486.14 95.86%

2. Other account receivable

Unit: RMB/CNY

Item Ending balance Opening balance

Interest receivable 0.00 0.00

-163深圳市特力(集团)股份有限公司2022年半年度报告全文

Dividends receivable 547184.35 547184.35

Other account receivable 1715853.02 89854408.23

Total 2263037.37 90401592.58

(1) Dividends receivable

1) Category

Unit: RMB/CNY

Item (or invested unit) Ending balance Opening balance

China Pudong Development Machinery

547184.35547184.35

Industry Co. Ltd

Total 547184.35 547184.35

2) Important dividend receivable with account age over one year

Unit: RMB/CNY

Whether there is

Reasons for non-

Item (or invested unit) Ending balance Account age impairment and its

recovery

judgment basis

The enterprise has a

normal financial status

China Pudong

and operation

Development

547184.35 2-3 years Not yet paid conditions the

Machinery Industry

dividend receivable

Co. Ltd

have not been

impaired.Total 547184.35

3) Provision for bad debts

□ Applicable √Not applicable

(2) Other account receivable

1) By nature

Unit: RMB/CNY

Nature Ending book balance Opening book balance

Other interim payment receivable 14288238.53 13776179.52

Related transactions within the scope of

consolidation 1021365.19 89671979.41

Total 15309603.72 103448158.93

2) Provision for bad debts

Unit: RMB/CNY

Phase I Phase II Phase III

Bad debt provision Expected credit losses Expected credit losses Expected credit losses Total

over next 12 months for the entire duration for the entire duration

-164深圳市特力(集团)股份有限公司2022年半年度报告全文

(without credit (with credit impairment

impairment occurred) occurred)

Balance on Jan. 1

10804.9613582945.7413593750.70

2022

Balance on Jun. 30

10804.9613582945.7413593750.70

2022

Change of book balance of loss provision with amount has major changes in the period

□ Applicable √Not applicable

By account age

Unit: RMB/CNY

Account age Ending balance

Within one year (including one year) 1721258.06

Over 3 years 13588345.66

Over 5 years 13588345.66

Total 15309603.72

3) Bad debt provision accrual collected or reversal in the period

Bad debt provision accrual in the period:

Unit: RMB/CNY

Amount changed in the period

Opening

Category Ending balance

balance Collected or Accrual reversal Written-off Other

Bad debt

provision

accrual on a 13588345.66 13588345.66

single basis

Provision for

bad debts by 5405.04 5405.04

combination

Total 13593750.70 13593750.70

5) Top 5 other receivables at ending balance by arrears party

Unit: RMB/CNY

Ratio in total

Enterprise Nature Ending balance Account age ending balance of Ending balance of other account bad debt reserve

receivables

Shenzhen

Zhonghao (Group) Intercourse funds 5000000.00 Over 3 years 32.66% 5000000.00

Co. Ltd

Gold Beili

Electrical

Appliances Intercourse funds 2706983.51 Over 3 years 17.68% 2706983.51

Company

Shenzhen

Petrochemical Intercourse funds 1898419.67 Over 3 years 12.40% 1898419.67

Group

Offesetting debt

claims from Intercourse funds 1212373.79 Over 3 years 7.92% 1212373.79

Huatong

-165深圳市特力(集团)股份有限公司2022年半年度报告全文

Packaging

Shenzhen Jewelry

Industry Service Intercourse funds 1021190.59 Over 3 years 6.67%

Co. LTD

Total 11838967.56 77.33% 10817776.97

3. Long-term equity investment

Unit: RMB/CNY

Ending balance Opening balance

Item Impairment Impairment

Book balance Book value Book balance Book value

provision provision

Investment for

subsidiary 714245472.73 1956000.00 712289472.73 694745472.73 1956000.00 692789472.73

Investment for

associates and 91025817.37 9787162.32 81238655.05 98098029.79 9787162.32 88310867.47

joint venture

Total 805271290.10 11743162.32 793528127.78 792843502.52 11743162.32 781100340.20

(1) Investment for subsidiary

Unit: RMB/CNY

The invested Opening

Increase and decrease in current period Ending Ending balance of

entity balance Additional Reduce Provision for balance (book value) impairment investment investment impairment Other (book value) provision

Shenzhen

SDG Tellus 31152888.8 31152888.8

Real Estate 7 7

Co. Ltd.Shenzhen

Tellus

Chuangying 14000000.0 14000000.0

Technology 0 0

Co. Ltd.Shenzhen

Tellus

Xinyongtong 57672885.2 57672885.2

Automobile 2 2

Development

Co. Ltd.Shenzhen

Zhongtian 369680522. 369680522.Industrial 90 90

Co. Ltd.Shenzhen

Auto

126251071.126251071.

Industry and

5757

Trade

Corporation

Shenzhen

SDG Huari

19224692.619224692.6

Auto

55

Enterprise

Co. Ltd.Shenzhen

Huari 1807411.52 1807411.52

TOYOTA

-166深圳市特力(集团)股份有限公司2022年半年度报告全文

Automobile

Sales Service

Co. Ltd.Shenzhen

Xinyongtong

Automobile 10000000.0 10000000.0

Inspection 0 0

Equipment

Co. Ltd.Shenzhen

Tellus

Treasury 50000000.0 50000000.0

Supply Chain 0 0

Tech. Co.Ltd.Shenzhen

Hanli High-

Tech 0.00 0.00 1956000.00

Ceramics

Co. Ltd.Shenzhen

Jewelry

13000000.019500000.032500000.0

Industry

000

Service Co.LTD

692789472.19500000.0712289472.

Total 1956000.00

73073

(2) Investment for associates and joint venture

Unit: RMB/CNY

Current changes (+ -) Ending

Openin Investm Other Cash Investm g ent dividen

Accrual Ending balance

ent Additiobalance Capital gains

compre Other d or of balance

of

compan nal hensive impair impair

y (book

(book

investm reducti recognion zed income

equity profit ment Other ment

value) value) ent under adjustm

change announ provisi

ent ced to

provisi

on on equity issued

I. Joint venture

Shenzh

en

Tellus

47490873911500041229

Gman

740.7842.07000.00882.85

Investm

ent Co.Ltd

Shenzh

en

Tellus

Hang 13452 350111 13802

Investm 222.35 .20 333.55

ent Co.Ltd.Subtota 60942 90892 55032

l 963.13 53.27 216.40

II. Associated enterprise

Shenzh 27367 - 26206

en 904.34 11614 438.65

-167深圳市特力(集团)股份有限公司2022年半年度报告全文

Zung 65.69

Fu

Tellus

Auto

Service

Co.Ltd.Hunan

Changy

ang 18105

Industri 40.70

al Co.Ltd.Shenzh

en

Jiechen

32250

g

00.00

Electro

nic Co.Ltd.Shenzh

en

Xianda

47516

o New

21.62

Materia

ls Co.Ltd.-

Subtota 27367 26206 97871

11614

l 904.34 438.65 62.32

65.69

883108123897871

Total

867.47655.0562.32

4. Operating income and operating cost

Unit: RMB/CNY

Current period Last period

Item

Income Cost Income Cost

Main business 12666278.27 5003948.63 19483635.23 5163217.03

Total 12666278.27 5003948.63 19483635.23 5163217.03

5. Investment income

Unit: RMB/CNY

Item Current period Last period

Long-term equity investment income

measured by equity 7927787.58 12534155.42

Investment income from the disposal of

long-term equity investments 21843.90

Investment income of trading financial

assets during the holding period 5715948.58 2053727.05

Total 13643736.16 14609726.37

-168深圳市特力(集团)股份有限公司2022年半年度报告全文

XV. Supplementary information

1. Current non-recurring gains/losses

√ Applicable □Not applicable

Unit: RMB/CNY

Item Amount Note

Governmental subsidy reckoned into

current gains/losses (except for those with

normal operation business concerned and

conform to the national policies & 1575990.30 Government subsidies

regulations and are continuously enjoyed

at a fixed or quantitative basis according

to certain standards)

Losses/gains from changes of fair values

occurred in holding trading financial

assets and trading financial liabilities and

investment income obtaining from the

disposal of trading financial assets 6157679.97 Wealth management income

trading financial liability and financial

assets available-for-sale excluded

effective hedging business relevant with

normal operations of the Company

Other non-operating income and The lease deposit transferred to non-

expenditure except for the 295569.76 operation income upon early surrender of

aforementioned items lease by tenant

Transfer of equity gains and losses 8785410.47

Less: Impact on income tax 4124792.46

Impact on minority interests 232778.21

Total 12457079.83 --

Details of other gains/losses items that meet 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&A Announcement

No.1 on Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss

□ Applicable √Not applicable

2. ROE and earnings per share

Earnings per share

Profits during report period Weighted average ROE

Basic EPS (RMB/share) Diluted EPS (RMB/share)

Net profits belong to common

3.00%0.10090.1009

stock stockholders of the

-169深圳市特力(集团)股份有限公司2022年半年度报告全文

Company

Net profits belong to common

stock stockholders of the

2.14%0.07200.0720

Company after deducting

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

(3) Explanation on data differences under the accounting standards in and out of China; as for the differences

adjustment audited by foreign auditing institute listed name of the institute

□ Applicable √Not applicable

-170