Annual Report 2024
长虹美菱股份有限公司
CHANGHONG MEILING CO. LTD.二〇二四年年度报告
Annual Report 2024
1Annual Report 2024
I. Important Notice Table of Contents and Definitions
Board of Directors Supervisory Committee all directors supervisors and senior executives of Changhong
Meiling 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.Mr. Wu Dinggang Chairman of the Company Mr. Pang Haitao person in charge of accounting work and Mr.Hu Xiangfei person in charge of accounting organ (accountant in charge) hereby confirm that the Financial
Report of 2024 Annual Report is authentic accurate and complete.The Company did not have directors supervisors and senior executives of the Company could not guarantee the
reality accuracy and completion of the whole contents or have objections.All directors attended the board meeting to review this report in person.Modified audit opinions notes
□ Applicable √ Not applicable
Pan-China Certified Public Accountants LLP issued standard unqualified Auditors’ Report for the Company’s
Financial Report of 2024
Major defects in internal control
□ Applicable √Not applicable
The Company had no major defects in internal control in the reporting period.Risk warning of concerning the forward-looking statements with future planning involved in annual report
√ Applicable □Not applicable
Concerning the forward-looking statements with future planning involved in the Report they do not constitute a
substantial commitment for investors investors and the person concerned should maintain adequate risk
awareness furthermore differences between the plans forecast and commitments should be comprehended.Investors are advised to exercise caution of investment risks.Investors are advised to read the full text of semi-annual report and pay particular attention to the following risk
factors:
More details about the possible risks and countermeasures in the operation of the Company are described in the
report “XI. Risks and countermeasures” of “Section III Management Discussion and Analysis” investors are
advised to read the relevant content.Securities Times China Securities Journal and Juchao Website (www.cninfo.com.cn) are the media for
information disclosure for year of 2024that appointed by the Company. All public information under the name of
the Company disclosed on the above said media and website shall prevail and investors are advised to exercise
caution.Does the Company need to comply with disclosure requirements of the special industry: No
Profit distribution pre-plan or capitalizing of common reserves pre-plan deliberated by the Board in the annual
period
2Annual Report 2024
√ Applicable □Not applicable
The Company has no plans of cash distribution bonus shares and capitalizing of common reserves either.Whether to increase the share capital with public reserve
□Yes √No
The profit distribution plan for year of 2024 that deliberated and approved by 11th session of the 11th BOD
was: take total shares of 1029923715 shares as base dated 31 December 2024 distributed 3.3 Yuan (tax
included) bonus in cash for every 10-share hold by all shareholders no share bonus issued and no capitalizing
of common reserves carried out.Directors supervisors and senior executives of the Company respectively signed a Written Confirmation
Opinions for 2024 Annual Report.Supervisory Committee of the Company formed Written Examination Opinions for 2024 Annual Report.
3Annual Report 2024
Contents
I.Important Notice Table of contents and Definitions 2
II. Company Profile & Financial Highlights. 7
III. Management Discussion & Analysis 14
IV. Corporate Governance 57
V. Environmental & Social Responsibility 92
VI. Important Events 97
VII. Change of share capital and shareholding of Principal Shareholders 170
VIII. Situation of the Preferred Shares 177
IX. Corporate Bond 178
X. Financial Report 179
4Annual Report 2024
Documents Available for Reference
I.Financial statement carrying the signatures and seals of the Chairman principal of the accounting
works and person in charge of accounting organ;
II. Original audit report carrying the seal of the CPA and signature & seal of the accountants;
III. Original documents of the Company and manuscripts of public notices that disclosed in the website
designated by CSRC in the report period;
5Annual Report 2024
Definition
Terms to be defined Refers to Definition
Company The Company Changhong Meiling or
Refers to CHANGHONG MEILING CO.LTD.Meiling Electric
Sichuan Changhong or controlling shareholder Refers to Sichuan Changhong Electric Co. Ltd.Changhong Group Refers to Sichuan Changhong Electronics Holding Group Co. Ltd.Hong Kong Changhong Refers to CHANGHONG (HK) TRADING LIMITED
Meiling Group Refers to Hefei Meiling Group Holdings Limited
Industry Investment Group Refers to Hefei Industry Investment Holding (Group) Co. Ltd.Changhong Air-conditioner Refers to Sichuan Changhong Air-conditioner Co. Ltd.Zhongke Meiling Refers to Zhongke Meiling Cryogenic Technology Co. Ltd.Mianyang Meiling Refers to Mianyang Meiling Refrigeration Co. Ltd.Jiangxi Meiling Refers to Jiangxi Meiling Electric Appliance Co. Ltd.Ridian Technology Refers to Changhong Meiling Ridian Technology Co. Ltd.Wulian Technology Refers to Hefei Meiling Wulian Technology Co. Ltd
Zhongshan Changhong Refers to Zhongshan Changhong Electric Co. Ltd.Hefei Industrial Refers to Hefei Changhong Industrial Co. Ltd.Meiling Life Appliances Refers to Hefei Changhong Meiling Life Appliances Co. Ltd.Changhong Huayi Refers to Changhong Huayi Compressor Co. Ltd.Zhiyijia Company Refers to Sichuan Zhiyijia Network Technology Co. Ltd.Refers to
Pan-China Pan-China Certified Public Accountants LLP
CSRC Refers to China Securities Regulatory Commission
China Securities Regulatory Commission Anhui Province Securities
Anhui Securities Bureau Refers to
Regulatory Bureau
SSE Refers to Shenzhen Stock Exchange
6Annual Report 2024
II. Company Profile & Financial Highlights.I. Company Profile
Changhong Meiling
Short form of the stock Stock code 000521200521
Hongmeiling B
Short form of the Stock after
N/A
changed (if applicable)
Stock exchange for listing Shenzhen Stock Exchange
Name of the Company (in Chinese) 长虹美菱股份有限公司
Short form of the Company (in长虹美菱
Chinese)
Foreign name of the Company (if
CHANGHONG MEILING CO.LTD.applicable)
Abbr. of English name of the
CHML
Company (if applicable)
Legal representative Wu Dinggang
Registrations add. No. 2163 Lianhua Road Economic and Technology Development Zone Hefei
Code for registrations add 230601
The Company was registered in the Hefei Administration for Industry and Commerce on
November 25 1992 with the address registered as Linquan Road Hefei City (Meiling Economic
Development Zone); on March 13 1997 registered address changed to No.48 Wuhu Road Hefei
Historical changes on the
instead of Linquan Road Hefei City (Meiling Economic Development Zone); on May 19 2008
registration address
the address changed to No. 2163 Lianhua Road Economic and Technology Development Zone
Hefei from No.48 Wuhu Road Hefei. Registered address of the Company has not changed
during the reporting period.Offices add. No. 2163 Lianhua Road Economic and Technology Development Zone Hefei
Codes for office add. 230601
Website http://www.meiling.com
E-mail info@meiling.com
II. Person/Way to contact
Secretary of the Board
Name Li Xia
No. 2163 Lianhua Road Economic and Technology Development
Contact add.Zone Hefei
Tel. 0551-62219021
Fax. 0551-62219021
E-mail lixia@meiling.com
III. Information disclosure and preparation place
Website of the Stock Exchange where the annual report of the
Shenzhen Stock Exchange www.szse.cn
Company disclosed
7Annual Report 2024
Media and Website where the annual report of the Company Securities Times China Securities Journal and Juchao website:
disclosed http://www.cninfo.com.cn
Room of secretary of the Board 2/F administrative center Office
Preparation place for annual report
building of the Company
IV. Registration changes of the Company
Uniform social credit code: 9134000014918555XK
Changes of main business since listing (if applicable) No changes
1. In October 1993 after initial listing controlling shareholder of the Company-- Hefei Meiling Industrial Corp.
(renamed as Hefei Meiling Group Co. dated 23 May 1994) executing controlling rights of the Company and
management right of the state-owned assets on behalf of Hefei State-owned Assets Management Office named at
that time;
2. From November 1997 to May 2003 controlling shareholder of the Company was Hefei Meiling Group Holding
Co. Ltd. (established base on former Meiling Group Co. “Meiling Group” for short) an enterprise solely owned by
the State; mainly operating the state-owned capital in authorized from State-owned Assets Management Commission
of Hefei City ensuring the maintenance and appreciation of state-owned assets;
3. On 29 May 2003 Meiling Group entered into “Equity Transfer Agreement” with ShundeGreenKel Enterprise
Development Co. ltd. (“GreenKel”) the 82852683 state-owned shares held by the Company was transfer to
GreenKel. After transferring GreenKel comes to the first largest shareholder of the Company.
4. According to the spirit of “Bulletin of Treatment Opinions on GreenKel Company purchasing State-owned AssetsShares of Listed Company” (GZFCQ[2006] No.: 44) jointly issued from SASAC and Ministry of Finance in April
2006 Meiling Group took back the Meiling Electric 82852683 shares from GreenKel by procedures which has
been transferred. In September 2006 relevant equity transfer agreement signed between the Meiling Group and
Previous GreenKel is invalid which was confirmed by the “Award” ((2006) HZZ No.: 104) issued from arbitration
changes for commission of Hefei; the state-owned legal person’s 82852683 shares held by GreenKel should return to Meiling
controlling Electric and relevant equity consideration will pay to GreenKel by Meiling Group . On 29 December 2006 the
shareholders (if 82852683 shares of Meiling Electric were transfer to Meiling Group by GreenKel and Meiling Group becomes the
applicable) controlling shareholder of Meiling Electric again.
5. On 18 May 2006 and 11 January 2007 Meiling Group entered into “Equity Transfer Agreement of MeilingElectric” and “Supplementary Agreement of Equity Transfer of Meiling Electric” respectively with Sichuan
Changhong and Changhong Group among the 123396375 shares held by Meiling Group 82852683 shares were
transferred respectively to Sichuan Changhong and Changhong Group according to the transfer way regulated in
agreement; of this transferring 45000000 shares (10.88% of total share capital of the Company) were transferred to
Sichuan Changhong the first largest shareholder of the Company while 37852683 shares (9.15% of total share
capital of the Company) were transferred to Changhong Group the third largest shareholder of the Company.
6. On 29 October 2008 Changhong Group and Sichuan Changhong entered into “Equity Transfer Agreement ofHefei Meiling Co. Ltd.” the 32078846 restricted circulations A shares of Meiling Electric held by Changhong
Group were transferred by agreement to Sichuan Changhong. On 23 December 2008 the aforesaid equity transfer
was approved by “Reply on Matters of Equity held by State-owned Shareholders of Hefei Meiling Co. Ltd.”
(GZCQ(2008) No.: 1413) from SASAC; on 21 January 2009 the aforesaid transfer was registered for ownership
transfer in Shenzhen Branch of China Securities Depository and Clearing Corporation Limited.The first majority
shareholder of the Company comes to Sichuan Changhong.
7. Sichuan Changhong participated in the Company's private placement and Sichuan Changhong and its concert
8Annual Report 2024
party Hong Kong Changhong purchased the Company's shares through bidding transaction in the secondary
market.
8. Ended as 31 December 2023 Sichuan Changhong and its concerted action Hong Kong Changhong totally holds
281832434 shares of the Company a 27.36% in total share capital of the Company; Sichuan Changhong directly
holds 248457724 A-share of the Company a 24.12% in total share capital of the Company while Hong Kong
Changhong holds circulation B-share of the Company amounting as 33374710 shares a 3.24% in total share capital
of the Company.V. Other relevant information
(1) CPA engaged by the Company
Name of CPA Pan-China Certified Public Accountants LLP
Offices add. for CPA No.128 Xixi Road lingyin Street XihuDistrictHangzhou
Signing Accountants Li Yuanliang Peng Jiahui
(2) Sponsor engaged by the Company for performing continuous supervision duties in reporting period
□ Applicable √ Not applicable
(3) Financial consultant engaged by the Company for performing continuous supervision duties in
reporting period
□ Applicable √ Not applicable
VI. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data
√Yes□ No
Retroactive adjustment or restatement：Changes in accounting policies and mergers under the same control
Changes in the
current year
2023 over the 2022
2024 previous year
(+-)
After
Before adjustment After adjustment Before adjustment After adjustment
adjustment
Operating income
28601036014.9624247678970.5624377974386.9417.32%20215220192.2020607042437.68
(RMB)
Net profit
attributable to
shareholders of the 699270051.82 741038108.54 735828796.67 -4.97% 244538734.49 216121152.94
listed company
(RMB)
9Annual Report 2024
Changes in the
current year
2023 over the 2022
2024 previous year
(+-)
After
Before adjustment After adjustment Before adjustment After adjustment
adjustment
Net profit
attributable to
shareholders of the
listed company after 690447639.63 749415002.39 744635309.81 -7.28% 102739493.47 73207460.84
deducting
non-recurring gains
and losses (RMB)
Net cash flow
arising from
3970257217.962082343305.042072909430.4791.53%1465155748.061463033308.55
operating activities
(RMB)
Basic earnings per
0.67900.71950.7144-4.96%0.23660.2098
share (RMB/Share)
Diluted earnings per
0.67900.71950.7144-4.96%0.23660.2098
share (RMB/Share)
Reduce by
Weighted average
2.22
11.18%13.49%13.40%4.96%4.39%
ROE percentage
points
Changes at
end of the
current year
Year-end of2023 compared Year-end of2022
Year-end of2024 with the end
of previous
year (+-)
After
Before adjustment After adjustment Before adjustment After adjustment
adjustment
Total assets (RMB) 23972603896.48 19391604526.19 19638615277.46 22.07% 16200361212.80 16650451363.17
Net assets
attributable to
6085800940.385824782654.096061337941.390.40%5168286872.095410040042.66
shareholder of listed
company (RMB)
Note: In October 2024 the Company acquired 99% of the equity of Hefei Changhong Industrial Co. Ltd.(hereinafter referred to as "Hefei Industrial") held by the controlling shareholder Sichuan Changhong Electric
Co. Ltd. with its own funds; Hefei Meiling IOT Technology Co. Ltd. a subsidiary acquired 1% of the shares
of Hefei Industrial held by Sichuan Changhong Innovation Investment Co. Ltd. a subsidiary of Sichuan
Changhong with its own funds. On November 20 2024 Hefei Industrial has completed the industrial and
10Annual Report 2024
commercial change registration procedures for the change of shareholders of the company and obtained the
"Registration Notice" issued by the Market Supervision and Administration Bureau of Hefei Economic and
Technological Development Zone Anhui Province. After the completion of the equity transfer the Company
holds 100% of the equity of Hefei Industrial. According to the relevant provisions of the No. 33 Accounting
Standard for Business Enterprises-Consolidated Financial Statement the parent company shall adjust the
opening number of the consolidated statement and at the same time shall adjust the relevant items of the
comparative statements due to the addition of subsidiaries and businesses due to the business combination under
the common control during the reporting period so as to treat the consolidated reporting entity as having existed
since the time when the ultimate controller began to control. Accordingly the opening numbers and the numbers
of the same period of the previous year have been restated.Reason for change in accounting policy and correction of accounting errors
In December 2024 the Ministry of Finance issued the Interpretation No. 18 of Accounting Standards for
Business Enterprises (No. 24[2024]Cai Kuai). The Company shall change its accounting policy as required and
in accordance with the requirements of the notice to connect the old and the new for the first implementation of
this interpretation the above-mentioned quality kind assurance that was originally included in the "sales
expenses" account in 2024 and reported in the "sales expenses" statement items will be included in the "mainbusiness costs" and "other business costs" accounts as accounting policy change and presented in the “operatingcosts" statement item and the impact of the same period of the previous year is retrospectively adjusted to the
relevant financial statement items and the relevant information is disclosed in the notes to the financial
statements.The lower one of net profit before and after deducting the non-recurring gains/losses in the last three fiscal years
is negative and the audit report of last year shows that the ability to continue operating is uncertain
□Yes √ No
The lower one of net profit before and after deducting the non-recurring gains/losses is negative
□Yes √ No
VII. Accounting data difference under domestic and foreign accounting standards
(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 has no 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) in
reporting period.
(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
In RMB
Net profit attributable to shareholders of listed Net assets attributable to shareholders of listed
company company
Current period Previous period Ending amount Opening amount
11Annual Report 2024
Chinese GAAP 699270051.82 735828796.67 6085800940.38 6061337941.39
Items and amount adjusted by foreign accounting rules
Foreign accounting
699270051.82735828796.676085800940.386061337941.39
rules
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.
(3) Reasons for the differences of accounting data under accounting rules in and out of China
√ Applicable □ Not applicable
The “Notice of Relevant Issues of Audit for Company with Domestically Foreign Shares Offering” was issued
from CSRC dated 12 September 2007 since the day issuing cancel the previous “dual audit” requirement for
companies who offering domestically listed foreign shares (B-share enterprise) while engaging securities
practice qualification CPA for auditing. The Company did not compile financial report under foreign accountingrules since 2007 the financial report of the Company is complying on the “Accounting Standard for BusinessEnterprise” in China and therefore there are no differences of accounting data under accounting rules in and
out of China at period-end.VIII. Quarterly main financial index
In RMB
First quarter Second quarter Third quarter Fourth quarter
Operating income 5945935887.13 9013415136.41 7815798948.22 5825886043.20
Net profit attributable to the
shareholders of the listed 158489245.31 257599704.87 115953785.77 167227315.87
company
Net profit after deducting of
non-recurring gain/loss
188334801.75245223015.9481753224.33175136597.61
attributable to the shareholders
of listed company
Net Cash flow generated by
-116980056.072851382750.1019585735.641216268788.29
business operation
Are there significant differences between the above financial indicators or their total sum and the financial
indicators related to the company's disclosed quarterly and semi annual reports
□Yes √No
IX. Items and amounts of non-recurring profit (gains)/losses
√ Applicable □ Not applicable
In RMB
Item 2024 2023 2022 NoteGains/losses from the disposal of Found more in “Incomefrom assets disposal” and
non-current asset (including the write-off -4568990.35 1880089.33 27602023.18“Non-operationthat accrued for impairment of assets) income/expenses”Governmental subsidy calculated into Found more in “ Financial
95130581.90 80747233.76 87509992.34 expenses” “Othercurrent gains and losses(while closely
income"
12Annual Report 2024
related with the normal business of the
Company the government subsidy that
accord with the provision of national
policies and are continuously enjoyed in
line with a certain standard quota or
quantity are excluded)
Net profit and loss of subsidiaries arising
from mergers of enterprises under the
1918902.01
same control from the beginning of the
period to the merger date
Gains/losses of fair value changes arising
from holding of the trading financial
asset trading financial liability and Found more in "Financialinvestment earnings obtained from cost” “Investmentdisposing the trading financial asset -109763982.52 -91667835.90 36312576.77 income” andtrading financial liability andfinancial “Income of fair valueassets available for sale except for the changes”
effective hedging business related to
normal operation of the CompanySwitch back of the impairment for Found more in “Accountreceivables that has impairment test 28600649.28 4547547.09 2834795.58 receivable" and "
independently Constrict assets"
Found more inOther non-operating income and expenses “Non-operation income"
3048181.616704743.84977576.55
other than the above and " Non-operation
expenses"
Less: impact on income tax -4813416.23 -377847.36 3581742.85
Impact on minority shareholders’ equity
10356345.9711396138.628741529.47
(post-tax)
Total 8822412.19 -8806513.14 142913692.10 --
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
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.
13Annual Report 2024
III. Management Discussion & Analysis
I. Industry of the Company during the reporting period
1. Refrigerator industry
As a mature industry the refrigerator industry has entered a high-quality development stage dominated by
stock replacement with a nearly satured market penetration rate. In the fourth quarter of 2024 under the strong
stimulus of national subsidy policy for trade-in programs the refrigerator market showed a structural recovery.According to AVC data in 2024 the omni-channel retail volume was 40.19 million units with a year-on-year
increase of 4.9% and the retail sales was RMB 143.4 billion with a year-on-year increase of 7.6%. The double
increase in both volume and sales reflected the transformation of the market from "price competition" to "value
upgrade" and the demand for middle- and high-end products increased significantly under the promotion of
policies with the online price range of 4000-5000 yuan and offline price range of Above 8000 yuan (high-end
products) becoming the main growth forces and the trend of consumption degradation reversed.The synergy advantage of the "Made in China" industrial chain is further highlighted. Relying on the
intelligent manufacturing upgrade and green technology iteration the export competitiveness of home appliances
continued to increase plus the growth of overseas demand which promote the export business to show a certain
growth. According to industry online data the export volume of refrigerators in 2024 was 51.88 million units
with a year-on-year increase of 18.6% mainly due to the recovery of demand in emerging markets and the
restocking needs in European and American markets.
2. Air conditioning industry
The development of China's domestic air conditioning market in 2024 followed a winding path. Amid a
sluggish real estate market and generally rising commodity prices the industry's average price continued to
decline in the first half of the year. However driven by the national subsidy policy for trade-in programs the
industry ended the year with an uptick in performance. According to AVC's aggregated data China's domestic air
conditioner sales reached 59.79 million units in 2024 with a year-on-year decline of 1.7% and the total retail
sales amounted to RMB 207.1 billion with a year-on-year decline of 2%.China's air conditioner exports experienced explosive growth in 2024. Although the Red Sea crisis early in
the year prolonged shipping cycle for European orders the "Belt and Road Initiative (BRI)" boosted infrastructure
development in partner regions stimulating demand. Mature markets like Europe and the U.S. saw low inventory
levels alongside steady demand recovery while emerging markets continued to drive growth. Rising global
temperatures and overseas restocking needs further fueled export expansion. Data from Industry Online shows
that China's total air conditioner exports in 2024 hit 85 million units with a year-on-year increase of 28.3%.
3. Washing machine industry
In 2024 China's macroeconomic development followed a volatile trajectory exhibiting a "high-low-high"
V-shaped pattern throughout the year. The home appliance market began recovering in the second half after the
14Annual Report 2024
introduction of the trade-in policy. According to AVC's aggregated data domestic sales remained stable with
moderate growth: The omni-channel retail volume was 42.97 million units with a year-on-year increase of 7.3%;
The retail sales reached RMB 101.4 billion with a year-on-year increase of 7.6%. On the export front growth
slowed due to rising shipping costs and geopolitical uncertainties. Data from Industry Online shows China
exported 45.11 million washing machines in 2024 with a year-on-year increase of 17.3%.II.Main businesses of the company engaged in during the Period
As one of China's leading appliance manufacturers the Company operates four major domestic production
bases (Hefei Mianyang Jingdezhen Zhongshan) and overseas facilities including Indonesia. The Company
carefully builds the core competitiveness of the enterprise with technological innovation and product innovation.With the advanced R&D team and advanced technology accumulation Meiling has made continuous
breakthroughs in terms of frequency conversion intelligence preservation thin wall odourlessness energy
saving air cooling deep cooling simulation ultra-thin cleaning and clothing care. The Company has a national
enterprise technology center a national industrial design center a national post-doctoral research center and a 5G
industrial Internet innovation application laboratory. It has also established the first RoHS public testing center in
Anhui Province a green energy-saving refrigerator engineering technology research center in Anhui an
energy-saving and fresh-keeping green refrigerator engineering research center in Anhui and a smart home
appliance manufacturing innovation center in Anhui.In recent years the Company has successively won many national honorary titles such as "Intelligent
Manufacturing Pilot Demonstration Project for Smart Refrigerators" "National Green Factory" "National
Quality Leading Enterprise in Home Appliance Industry" "National Technology Innovation Demonstration
Enterprise" and "China Industry-University-Research Cooperation Innovation Demonstration Enterprise". At the
same time the Company has won a number of technology and product innovation honors by virtue of its strong
innovation products and brand and a number of Meiling products have repeatedly won multiple domestic awards
constantly demonstrating Meiling's ability and strength in intelligent innovation technology.FrozenFresh Refrigerator 506WP9BDZ won the Aipulan Innovation Prize for its industry-leading
FreshLock Technology (top-mounted constant-temperature fresh freezing system) which was Changhong
Meiling-originated breakthrough to solve the chronic industry issue of repeated freezing cycles through disruptive
cryogenic innovation and promote the upgrading of fresh-keeping consumption in the refrigerator industry;
M-Fresh Refrigerator BCD-511WQ6 won the German 2024 Red Dot Award & International Industrial Design
Award for its 59.9cm flush-fit installation hydro-active freshness technology constant temperature and fresh
freezing technology and precise temperature/humidity monitoring system; The four-door refrigerator (cross)
appearance patent won the 25th China Excellence Award for Appearance Design in 2024; The refrigerator (open
state) appearance patent won the 11th Anhui Silver Award for Appearance Design in 2024;Meiling 10kg
"BlueOxygen as Hand Washing" Drum Washing Machine LRS1H100D set a world record of "Drum washing
machine with the least residue after rinsing in the world" in world record association. Through the "Blue Oxygen
Residue Removal Technology" the product feature of "BlueOxygen as Hand Washing" series was established
which promoted the R&D of washing machines to the level of "care" and "cleanliness" bringing more health and
15Annual Report 2024
science to users' life; DustFree Dual-Blade Wall AC Unit was awarded the title of "Innovative Product of the
Year" by China HVAC Summit; UltraPowerSaver AC Series were selected as "Annual Energy-Efficient &
Eco-Friendly Product of the Year" by Chinese Association of Refrigeration; Meiling domestic hot water and gas
quick water heaters (JSQ30-MR-BS16516 JSQ30-MR-BS616Q3) won the "Boiling Quality Award" in 2024;
Zhongke Meiling's Large-scale Ultra-Low Temp Automated Biobank Technology won the "Hefei Employee
Innovation First Prize".After more than 40 years of development the Company has developed from single refrigerator products to a
new pattern of coordinated development of refrigerators (freezers) air conditioners washing machines major
kitchen appliances small home appliances and biomedical cryogenic storage equipment. Through continuous
innovation it has successively introduced a series of industry-leading products such as the M-Fresh refrigerator
with the best fresh-keeping effect in the industry the industry's first all-dust-free fresh air conditioner the
"BlueOxygen as Hand Washing" Drum Washing Machine with the least stain residue after rinsing in the world
the industry's strontium-rich intelligent tea bar machine and the ultra-low temperature medical refrigerator with a
refrigeration temperature up to minus 180°C which has constantly brought consumers a fresher lifestyle with
fresher products.In the future the Company will focus on the business policy of "innovation-driven resource integration
industrial synergy and internal and external integration" to lead the industrial development help the industrial
matrix consolidate the market foundation and accelerate its own development.During the reporting period main income of the Company coming from refrigerator (freezer) air conditioner
washing machine small home appliances kitchen & toilet products and biomedical etc. total amounting to 28.335
billion yuan a 99.07% of the operating income.III. Core Competitiveness Analysis
(I) Brand capability
The Company is one of the well-known electrical appliance manufacturers in China with many product lines
such as refrigerators freezers air conditioners washing machines kitchen appliances biomedicine and so on.In 2024 Meiling continued to implement its "Brand Revitalization" strategy adhering to the brand
proposition of "Beautiful China Fresh Meiling" with a product-driven branding approach. By developing the
freshest products and cultivating the freshest brand image we aim to plant the seed of "freshness" in consumers'
minds mold the brand association of "Meiling = Fresh" in consumers' mind enhance brand awareness reputation
and loyalty and fulfill the brand mission of "Meiling may the happiness come".In 2024 the Company enhanced brand reputation popularity and loyalty by strengthening brand publicity
expanding brand dissemination channels innovating brand marketing methods and elevating content operation
quality. It signed a contract to become the Official Partner of FIS Snowboard & Freeski Big Air World Cup to
create winter sports IP marketing campaigns; It launched "Rose Initiative" cross-marketing programs covering
metro transit systems music festivals university campuses and other scenes; It improved the ability of content
16Annual Report 2024
operation and continuously improved the content operation on new media platforms such as Douyin (TikTok)
and Xiaohongshu (Little Red Book) effectively enhancing brand awareness reputation and loyalty.In 2024 the Company adhered to a value-driven approach with comprehensive efficiency improvement
strengthened industrial synergy domestic-international integration user/customer-centered principle and
technology leadership to accelerate product innovation. The Company has successively launched innovative
products such as the Gen3 M-Fresh Refrigerator FrozenFresh Refrigerator "BlueOxygen as Hand Washing"
Washing Machine and BlueOxygen Dryer-Care Machine UltraPowerSaver Air Conditioner FreshWater Tea Bar
Machine and the industry's first variable frequency commercial kitchen refrigerator with the industrial chain
continuously extended product structure continuously optimized and brand core competitiveness effectively
improved.(II) Product capability
The Company has built a whole-chain innovation system of "Technical route + Product route + Promotion
route" and created a "Three-in-one" strategic layout driving industrial development with technological
innovation. As a national benchmark enterprise for technological innovation the Company has built an excellent
technological innovation system and quality control system. Relying on the international management systems
such as ISO9001 ISO14001 as certification foundations and combined with the innovative platforms and
honorary qualifications owned by the Company such as National Enterprise Technology Center National
Industrial Design Center National Intellectual Property Demonstration Enterprise National Industrial Product
Green Design Demonstration Enterprise National Technological Innovation Demonstration Enterprise China
Industry-University-Research Cooperative Innovation Demonstration Enterprise Anhui Green and
Energy-Saving Refrigerator Engineering Technology Research Center Anhui Energy-Saving Fresh-keeping and
Green Refrigerator Engineering Research Center and Anhui Manufacturing Innovation Center the Company has
formed a quality assurance system covering the whole R&D and manufacturing chain. In terms of technical
strategy the Company is committed to the application of basic technology research and industrialization transfer
and has established a technical strategic plan with "intelligence frequency conversion simulation and
fresh-keeping" as the core technologies and "refrigeration new materials and foaming" as the key technologies. In
terms of product R&D it has established a four-tier R&D system of "Technical research - Platform module -
Product operation unit - Planning platform" and innovatively implemented the product manager responsibility
system driven by product operation unit and planning which is responsible for product definition and
development internally driving cost reduction and efficiency improvement and externally driving sales
promotion. Through the deep collaboration of "research production and marketing" it has realized the two-way
empowerment of technological innovation and market demand and fully connected the value chain and business
chain.In terms of refrigerator products through the accurate control of market trends and the research on the habits
of different consumers it continued to promote product upgrading and breakthrough around the technological
innovation in "fresh thin narrow embedded and intelligent" features and improved the competitiveness of
17Annual Report 2024
products constantly. In 2024 the Company continued to strengthen the business cards of "Meiling Fresh"
"Meiling Thin" "Meiling Narrow" "Meiling Embedded" and "Meiling Intelligent" and focused on building a
three-dimensional product matrix of technology platform and space: M-Fresh Refrigerator equipped with
hydro-active freshness technology FrozenFresh Pro Refrigerator upgraded to -3.5°C with zero-impact and slight
freezing New Gen Worry-Free Embedded Refrigerator equipped with double evaporator system and AI cloud
moisturizing technology and differentiated 560L Zero-Flush French Door Refrigerator (Large Freezer) and
economical 460L Zero-Flush Multi-Door Refrigerator which accurately met the needs of consumers for
differentiation and upgrading and consolidated the brand features of "fresh thin narrow embedded and
intelligent" in all directions. In terms of freezer products the Company has developed frost-free series smart
screen series and ultra-freezing series freezers and innovatively developed the FrozenFresh Vertical Freezer
equipped with constant-temperature and fresh freezing function as well as the industry's first variable frequency
commercial kitchen freezer to create "the best freezer in the industry".In terms of air-conditioning products it insisted on a user-centered approach practiced innovative ideas
speeded up technological transformation and rapidly upgraded product energy efficiency. In 2024 it continued
to focus on "DustFree" and "LivingDining Pro" and continued to create differentiated product business cards of
"DustFree for wall-mounted air conditioner and LivingDining Pro for floor standing air-conditioner" and
launched key new products such as Q7D "DustFree FreeFlow" Wall-mounted Air-conditioner and Q7V
"UltraPowerSaver" Floor Standing Air-conditioner; It continued to strengthen the "PandaLazy" hero product
strategy to effectively support the implementation of the trade-in policy.In terms of washing machine products it focused on strengthening our mid-range product portfolio building
a star product matrix to meet diverse market demands while continuously improving the product structure. In
terms of drum washing machine it laid up "BlueOxygen as Hand Washing" Washing Machine and BlueOxygen
Dryer-Care Machine to form a BlueOxygen series matrix and create the user's reliance on "Ultra Clean" and
"Zero Residual" by relying on 3X cleaning power technology and innovative BlueOxygen residue removal
technology. At the same time it launched the BlueOxygen Dryer-Care Machine to create a new track of "Drying
& Care" achieve the feature of "Thorough Drying & Fabric Care" build the product reputation from wash - rinse
- care step by step and promote the layout of products in the field of high-end and high value relying on hardcore
care technology; In terms of pulsator washing machines it continued to improve the layout of Hercules Series
and built a high cleaning ratio of 0.9 by relying on "Mega Motor System and PowerWave Pulsator" leading the
cleaning ratio of non-frequency conversion products in the industry.In terms of major kitchen appliances and small home appliances the Company adheres to the strategy of
product-driven development focusing on core product lines guided by market demand while strengthening
R&D capabilities and optimizing product structure. In terms of small home appliances the Company continued to
focus on core categories particularly the tea beverage product line to further solidify its market advantage. In
2024 in collaboration with China University of Geosciences (Wuhan) the Company successfully developed a
proprietary strontium-rich mineralization filter technology which was applied to the "Fresh Water" Tea Bar
Machine launching the N10 Fresh Water Tea Bar Machine which simulated the natural formation of mineral
18Annual Report 2024
water accelerating the dissolution of mineral elements while incorporating trace element ratio technology to
achieve a scientifically balanced composition thereby enabling strontium-rich mineralization of drinking water.This innovation has gained significant market recognition. In terms of major kitchen appliances it remained
user-centered principle addressing consumer pain points through innovative improvements in product
technology and performance to meet diverse market demands. In 2024 it conducted research on
second-generation honeycomb energy-gathering chambers stainless steel heat exchange and DC
variable-frequency air supply technologies launched new products such as the H27/36 series gas water heaters
with constant temperature control the second-generation energy-gathering chamber series H35/H36/H70 and the
self-developed electronic control series BQ2/BQ81 which were all aimed to provide consumers with healthier
and more comfortable water solutions for daily life.In terms of biomedicine the Company adheres to the brand concept of "taking products as the main carrier
and delivering core values to users" focuses on the field of life sciences and continuously promotes product
innovation iteration and quality upgrade based on users' scenario demand providing users with professional
full-scenario solutions thus shaping a safe and stable brand image and continuously enhancing the brand
influence. In the sample ecosystem sector the Company has steadily advanced key projects in standalone
automation R&D tailored to users' specific scenarios providing critical equipment for building comprehensive
sample storage solutions; It innovatively developed air-cooled ultra-low-temperature refrigeration technology
and launched the world's first ultra-low-temperature freezer with undetectable defrosting establishing it as the
optimal equipment for low-temperature storage of blood pharmaceuticals and raw solutions; It actively
collaborated with multiple key institutions promoted the automation transformation of biobanks and was
selected as a supported project under China’s "Key Technologies Demonstration Project for Biosafety". In the
laboratory biosafety product sector the Company introduced the Ruijing series of high-efficiency biosafety
cabinets clean benches and the Ruigu series of benchtop high-speed refrigerated centrifuges further diversifying
its product offerings to fully meet the market's varied demands. In 2024 it developed eight centrifuge models
covering the full product range forming a complete product matrix.(III) Operational capability
The Company continuously improved its operational management system with business objectives as the
guidance and comprehensive budget management as the key approach strengthening the integrated management
of objectives budgets and performance to facilitate operational improvement and goal achievement. In terms of
objective management centered on strategy and business policies and following the SMART principles it has
achieved a closed-loop cycle significantly enhancing the Company's operational quality; In terms of value chain
management it has established clear delineation of responsibilities rights and benefits while enhancing
collaboration across all sectors of the industry forming a sound operational mechanism driven by objectives and
systematically interconnected; In terms of budget management it consistently strengthened whole-process budget
control realized closed-loop tracking and management of budget forecasts thereby providing strong support for
business objectives; In terms of performance management it has established a business-centered and
customer-focused performance evaluation system effectively stimulating the operational potential of all units.
19Annual Report 2024
Meanwhile the Company has continuously conducted benchmarking activities to consistently elevate its
operational management standards and competitiveness.(IV) Marketing capability
In the domestic market the Company continued to optimize the sales network and service system to provide
users with high-quality services and by adhering to five key initiatives: "promoting premium products
strengthening channels enhancing collaboration improving efficiency and controlling risks" drive the
development of base markets and opportunity markets while continuously enhancing marketing capabilities. In
terms of products it created differentiated featured products and integrated online and offline promotional
resources to launch premium offerings; In terms of channels it focused on consolidating foundational channels
ensuring retail channels outperforming and expanding incremental channels; In terms of management it refined
organizational structures to improve operational and service efficiency. It established and enhanced an operational
management system centered on rational commercial inventory management and a value management system
focused on terminal retail pricing fully implemented a marketing transformation from product-line-oriented sales
management to omni-channel and user-centered operation service and from single-category marketing to
full-category marketing achieved product leadership and efficiency gains through steadfast benchmarking and
innovative management and built marketing system capabilities and long-term growth potential.The Company has comprehensively enhanced its overseas marketing capabilities by building a team of
product-specialized marketing professionals and cultivating versatile marketing talents with dual-product-line
operational expertise; It has strengthened the promotion construction established the systematic promotion
capability for overseas markets around product packaging terminal construction and training empowered
overseas customers of B2B with the promotion mode of B2C and realized the continuous growth of sales scale of
B2B through "building terminals and promoting sales"; In terms of key account (KA) business it has deepened
our customer-centered transformation and upgrading to enhance service capabilities and improve customer
satisfaction; In terms of channel strategy it has replaced traditional trade approaches with market-driven
methodologies to boost planning capabilities consistently adhered to its "business-oriented and
customer-focused" guiding principle to achieve rapid development stable operation profitable scale expansion
and comprehensive marketing capability enhancement. In terms of channel sales it focused on leveraging
dominant channels while expanding into emerging markets through strategic key account development initiatives;
In terms of brand building it enhanced product support for subsidiaries established benchmark markets
vigorously developed brand agents and implemented multi-channel strategies to build momentum for brand
growth; In terms of product promotion it closely followed market trends increased the proportion of inverter
products optimized its product portfolio enhanced new product launches and ultimately strengthened its product
competitiveness.IV. Main Business Analysis
In 2024 amid intense competition in the home appliance industry the Company adhered to value-oriented
principles and comprehensive efficiency improvement while strengthening industrial synergy and
20Annual Report 2024
internal-external integration resulting in steady enhancement of operational quality. During the reporting period
the Company's operating income reached RMB 28.601 billion with a year-on-year of 17.32% its net profit
attributable to the parent company reached RMB 699 million A year-on-year decrease of 4.97% and its benign
operation ability continued to improve.(I) Refrigerator (freezer) industry
In domestic market it adhered to the principle of "capturing existing markets expanding new segments and
enhancing capabilities" comprehensively upgraded its existing channels current customer base new product
categories and emerging distribution networks at the same time it provided high-quality services to customers on
their product operation capabilities and brand management competencies with particular emphasis on advancing
trade-in programs and strengthening end-to-end trade-in service systems to further stimulate replacement demand.In R&D the Company maintained a user-centered approach anchored in its customer value innovation engine
and fully implemented an experience-oriented strategy across its R&D and manufacturing operations. By deeply
understanding users' needs and precisely addressing their pain points it drove product system advancement
toward intelligent and premium-quality development through dual engines of intelligent technology
empowerment and high-end feature upgrades. In marketing the Company has established a dual-track strategy
of "Premium products + Hero SKUs" focusing on five innovative dimensions: "freshness thinness narrowness
embeddability and intelligence" successfully creating an integrated online-offline product matrix. The sequential
launch of M-Fresh Cross-Generation models has consistently reinforced Meiling's "freshness" brand positioning.The FrozenFresh series achieved marketing resonance across both online and offline channels with full-scale
volume growth further strengthening the "fresh-frozen" brand perception. The Seamless-Embed series has built a
comprehensive channel firewall while gradual product line integration continued to enhance Meiling's product
family identity ultimately driving industrial scale expansion and brand reputation elevation.In overseas markets at the product end the Company has increased R&D investment in mid-to-high-end
products with the successful launch of its overseas Cross series not only driving scale expansion but also
facilitating product mix upgrades to enhance operational quality; At the R&D end it maintained
innovation-driven development introduced differentiated products such as kimchi refrigerators for niche markets
to tap into new blue ocean opportunities; At the marketing end it strengthened market capability building by fully
leveraging integrated R&D and supply chain competencies along with domestic sales and export synergies
achieving sustained growth in KA business.During the reporting period the Company's refrigerator (freezer) business realized an income of about RMB
9.296 billion with a year-on-year increase of 5.53%.
(II) Air conditioning industry
In the domestic market the Company has implemented the business strategy of "product first brand priority
channel co-construction and direct user engagement" to maintain steady development. Focusing on its two
product categories - "DustFree" and "LivingDining Pro" - it launched key new products including the Q7D
"DustFree FreeFlow" Wall-mounted Air-conditioner and Q7D "UltraPowerSaver" Floor Standing Air-conditioner
21Annual Report 2024
while strengthening its "Panda Lazy" hit product strategy to effectively support the trade-in policy
implementation; Through event marketing and media campaigns the Company has enhanced brand promotion
and continuously elevated brand influence; It has progressively advanced channel co-construction accelerated
resource integration and adhered to integrated online-offline operations to achieve more refined channel
management; It insisted on direct user engagement implemented integrated
"delivery-installation-service-recycling" processes to strengthen service guarantee meet market service demands
and effectively improve user experience.In overseas markets the Company has consistently promoted healthy business development by focusing on
brand momentum building product upgrades quality transformation regional balance and digital empowerment.In terms of brand-building it has steadfastly implemented the brand-first development strategy deepened its
presence in base markets while continuously strengthening brand foundations; In terms of market expansion it
has concentrated on key strategic markets achieved significant business growth through targeted market
strategies; It has also actively explored new regions and markets with notable breakthroughs while
simultaneously accelerating new client development to gradually improve its customer system thereby laying the
foundation for future performance growth.During the reporting period the Company's air-conditioning business realized an income of about RMB
15.407 billion with a year-on-year increase of 33.20%.
(III) Washing machine industry
In washing machines the Company insists on differentiated competition strategy and optimizes and adjusts
the product structure. In domestic market the Company has adopted a user-centered approach with product
excellence as its key driver to deepen channel transformation through dual engines of product and technological
innovation consistently advance premiumization and achieve scale expansion. Capitalizing on the trends of
flush-embedded designs and large-capacity products it has strengthened its mid-range premium product portfolio
while reinforcing differentiated competitive advantages of "As Hand Washing" and "Hercules". It has launched
products including the BlueOxygen dry-care set Flush-Embedded As Hand Washing series and 12kg Hercules
pulsator series to significantly enhance market share and mid- and high-end product influence.In oversea markets the Company has expanded client resources through refrigerator-washer synergies
focused on key regions and major accounts and by introducing color-screen displays 7kg models it has delivered
incremental value to existing clients enabling rapid growth of its washing machine business in key markets.During the reporting period the Company's washing machine business realized an income of about RMB
1.747 billion with a year-on-year increase of 31.44%.
(D) Major kitchen appliance and small home appliance industry
In the major kitchen appliance and small home appliance industry the Company has consistently focused on
core product lines while actively driving technological upgrades and iterations of products. It has successfully
launched new products such as the N10 Fresh Water Series tea bar machine to continuously enhanced brand
22Annual Report 2024
influence; It has accelerated product portfolio optimization and upgrading implemented quality-efficiency
enhancement strategies gradually phased out the product categories with poor market performance and
unexpected consumer feedback and output a comprehensive category planning outline; Through proactive
business strategy adjustments and deep operational transformation it has established a compliance management
system centered around core product operations to facilitate high-quality industry development.During the reporting period the Company's major kitchen appliance and small home appliance business
realized an income of about RMB 1.492 billion with a year-on-year decrease of 19.34%.(V) Biomedical industry
In the domestic market the Company continuously implemented the reform and reconstruction of
user-centered channel organization co-ordinated the platform resources promoted the horizontal expansion and
vertical deepening of market segment channel system deeply explored the user demand further enhanced the
product strength and service strength expanded the user coverage and enhanced the market competitiveness and
market share. Through the promotion of new products the upgrading of service capabilities and the donation of
scholarships it has continuously strengthened its market promotion and continuously improved its brand
awareness.In overseas markets the Company has adhered to the strategy of "increasing existing clients while expanding
new client" deepened strategic cooperation with current partners while actively developing emerging markets to
strengthen both the quality and quantity of its international distribution network; Its expansion in emerging
markets has maintained strong momentum with multiple successful project bids accompanied by the proactive
introduction of new products; It made continuous improvement in delivery efficiency and customer service
capabilities steadily enhanced client loyalty while upgrading its integrated competencies of "Product - Promotion
- Delivery - After-sales" ultimately establishing a sustainable mutually beneficial channel partnership
ecosystem.During the reporting period the Company's biomedical business realized an income of about RMB 264
million with a year-on-year decrease of 5.36%.(ii) Revenue and cost
1. Constitute of operation revenue
In RMB
20242023
Increase/decrease
Ratio in Ratio in
y-o-y (+-)
Amount operation Amount operation
revenue revenue
Total operation
28601036014.96100%24377974386.94100%17.32%
revenue
Manufacture of 28335360230.42 99.07% 24128954793.41 98.98% 17.43%
23Annual Report 2024
household appliances
Other business 265675784.54 0.93% 249019593.53 1.02% 6.69%
On products
Refrigerator freezer 9560071716.63 33.43% 9088215517.67 37.28% 5.19%
Air-conditioning 15407055870.21 53.87% 11566440523.53 47.45% 33.20%
Washing machine 1746832584.10 6.11% 1329017674.88 5.45% 31.44%
Small appliance and
1491831582.425.22%1849440139.127.59%-19.34%
kitchen & toilet
Other products 129568477.06 0.45% 295840938.21 1.21% -56.20%
Other business 265675784.54 0.93% 249019593.53 1.02% 6.69%
Area
Domestic 18352947530.79 64.17% 16772667160.17 68.80% 9.42%
Foreign 10248088484.17 35.83% 7605307226.77 31.20% 34.75%
Sub-sale model
Direct sales 265675784.54 0.93% 249019593.53 1.02% 6.69%
Distribution 28335360230.42 99.07% 24128954793.41 98.98% 17.43%
2.Situation of Industry Product and District Occupying the Company’s Business Income and Operating
Profit with Profit over 10%
√ Applicable □Not applicable
In RMB
Increase/dec
Increase/dec Increase/de
rease of
Gross profit rease of crease of
Operating revenue Operating cost operating
ratio operating gross profit
revenue
cost y-o-y ratio y-o-y
y-o-y
On Industry
Manufacture of
28335360230.4225262724426.5710.84%17.43%20.42%-2.21%
household appliances
On products
Refrigerator freezer 9560071716.63 8085319070.60 15.43% 5.19% 8.39% -2.50%
Air-conditioning 15407055870.21 14334050593.14 6.96% 33.20% 35.82% -1.79%
Area
Domestic 18108891124.51 16073739954.59 11.24% 9.52% 11.72% -1.74%
Foreign 10226469105.91 9188984471.98 10.15% 34.65% 39.40% -3.06%
Sub-sale model
Sub-sale 28335360230.42 25262724426.57 10.84% 17.43% 20.42% -2.21%
Under circumstances of adjustment in reporting period for statistic scope of main business data adjusted main
business based on latest on year’s scope of period-end.□ Applicable √Not applicable
3. Income from physical sales larger than income from labors
√ Yes □ No
24Annual Report 2024
In RMB
Increase/decrease
Industries Item Unit 2024 2023
y-o-y (+-)
10 thousand
Sales volume 3520.59 3486.07 0.99%
Manufacture of pieces/set
household 10 thousand Production 3615.15 3517.94 2.76%
pieces/set
appliances
10 thousand
Inventory 262.95 140.96 86.54%
pieces/set
Reasons for y-o-y relevant data with over 30% changes
√ Applicable □Not applicable
At the end of 2024 the inventory increased by 86.54% YOY compared with the end of the previous year
which was mainly due to the increase in air conditioning inventory. Based on the continuous strategic
cooperation between domestic air conditioners and key customers the export of international air conditioners
has shown an explosive growth trend in the industry and the production and sales of the air conditioning
industry have increased significantly. In order to ensure normal delivery and advance reserves the inventory
level increased significantly.
4. Performance of the material sales contract and major procurement contracts that signed by the
Company up to the reporting period
□ Applicable √Not applicable
5. Constitute of operation cost
Industry classification
In RMB
2024 2023 Increase/dec
Industries Item Ratio in operation Ratio in rease y-o-y
Amount Amount
cost operation cost (+-)
Manufacture of 23131923420
Raw material 91.57% 19137016471.04 91.22% 20.88%
household appliances .76
Description: None
6. Whether the changes in the scope of consolidation in Reporting Period
√ Yes □ No
More details can be seen in the report “VII. Changes in the scope of the merger” and “VIII. Interests in otherentities” of “Section X Financial Report”
7. Major changes or adjustment in business product or service of the Company in Reporting Period
□ Applicable √ Not applicable
8. Major sales client and main suppliers
(1) Major sales client of the Company
Total top five clients in sales (RMB) 15762630982.56
Proportion in total annual sales volume for top five clients 55.11%
Proportion of the related parties’ sales in total annual sales volume for
27.96%
top five clients
Information of top five clients of the Company
25Annual Report 2024
Proportion in total annual
No Name Sales (RMB)
sales
1 Client I 7342537500.60 25.67%
2 Client II 6777644358.51 23.70%
3 Client III 654258536.34 2.29%
4 Client IV 541049259.02 1.89%
5 Client V 447141328.09 1.56%
Total -- 15762630982.56 55.11%
Other notes of main clients
□ Applicable √ Not applicable
Main suppliers of the Company
Total purchase amount from top five suppliers (RMB) 6268281417.27
Proportion in total annual purchase amount for top five
23.85%
suppliers
Proportion of related party’s purchase in total annual purchase
13.73%
amount for top five suppliers
Information of top five suppliers of the Company
Proportion in total annual
No Name Sales (RMB)
purchase
1 Supplier 1 2471848576.60 9.41%
2 Supplier 2 1143166887.01 4.35%
3 Supplier Three 1135390929.15 4.32%
4 Supplier Four 776568478.91 2.95%
5 Supplier Five 741306545.60 2.82%
Total -- 6268281417.27 23.85%
Other notes of main suppliers
□ Applicable √Not applicable
During the reporting period the trade business income accounted for more than 10% of the operating income
□Yes □No □Not applicable
(iii) Expenses
In RMB
Increase/dec
2024 2023 rease y-o-y Note of major changes
(+-)
Sales expense 1477154043.38 1423788018.72 3.75% No major changes.Administrative expense 359672540.20 371930885.44 -3.30% No major changes.It’s mainly due to the reduction of
Financial expense -168543395.34 -120449809.04 -39.93%
exchange losses
R&D expense 637242233.83 597529355.84 6.65% No major changes.(iv)Investment in R&D
√Applicable □Not applicable
26Annual Report 2024
Expected impact on the future
Projects Purpose Progress Goals to be achieved
development of the Company
User-oriented and
Create the best fresh-keeping user-demand-centered find and
Be the best refrigerator with
products in the industry with solve the pain points of users in
continuous iterative product
Meiling Fresh features as the food preservation build the best
upgrading to provide users with
main line supplemented by refrigerator in full-space
full-space fresh-keeping in the Completed the
R&D of M-Fresh brand-new exterior and interior fresh-keeping in the industry and
industry (cold water molecule product has
Refrigerator design and continue to create develop a new generation of
activation and fresh-keeping been launched.Meiling Refrigerator's M-Fresh product which continues
technology + fresh freezing
fresh-keeping feature to Meiling Fresh features
technology at constant freezing
enhance Meiling's high-end supplements the layout of 10000
temperature).market share. yuan+ products and improves the
high-end market share.The Gen1 Frozen Fresh Refrigerator
has solved the difficulty of keeping
meat fresh for users in long-term Meet the short-term and Further consolidate Meiling's
storage but it did not solve the pain long-term storage requirements leading position in meeting the
R&D of Frozen Completed the
point of thawing convenience in for meat by adding zero-impact needs of users in fresh-keeping and
Fresh Gen2 product has
short-term storage which takes time micro-freezing technology at use of meat in multiple scenarios
Refrigerator been launched.to thaw. The purpose of this project -3.5°C in the refrigerating and further enhance the product
is to solve such convenience pain chamber. competitiveness.point in short-term storage of meat
for users.Continue the features of Frozen Extend the fresh-keeping
Be the best and differentiated Fresh Refrigerator apply technology of Meiling Fresh in
vertical (with constant-temperature constant temperature fresh freezers and consolidate it and
R&D of Frozen Completed the
fresh freezing technology) freezer in freezing technology to vertical achieve corner overtaking and rapid
Fresh Vertical product has
the industry to meet the freezer create the best improvement in the high-end
Freezer been launched.fresh-keeping needs of users for fresh-keeping vertical freezer market of freezers by the
frozen food. in the industry and enhance its constant-temperature fresh-keeping
product competitiveness. technology.Research on and develop blue "Blue Oxygen as Hand Washing"
Enhance the image of high-end oxygen residue removal drum washing machine upgrades
R&D of "Blue product in drum washing machines technology and in the the rinsing technology on the basis
Completed the
Oxygen as Hand solve the consumers' pain points of "pre-washing-washing-rinsing of washing further consolidating
product has
Washing" Drum detergent residues and further " effectively remove detergent Meiling washing machine's
been launched.Washing Machine consolidate the "Washing" features residues and improve cleaning "washing" features and it
of Meiling Washing Machine. ability through nano innovatively adopts TFT knob
micro-bubbles and blue display and 506mm ultra-thin
oxygen as well as "dissolution flat-embedded body to enhance
27Annual Report 2024
decomposition and reduction". Meiling drum washing machine's
product image and market
influence with the proportion of
high-end products continuing to
increase."Blue Oxygen Dryer" develops the
low-temperature and gentle drying
technology of 40°C heat pump to
meet the drying care needs and at
the same time it adopts double-rotor
inverter motor to fill the blank of
Through the blue-oxygen
hardware configuration of dryer;
drying care technology
and creates the industry's first ion
innovatively develop the
adsorption technology for
blue-oxygen dryer with
R&D of "Blue Newly develop heat pump dryer to Completed the nano-scale 7-level adsorption dust
"drying permeating and
Oxygen Dryer" Heat fill the category blank and expand product has removal which meets the chip
caring" and open up the light
Pump Dryer the product line. been launched. removal demand under the pet
care track which helps Meiling
economy.The successful listing of
washing machine to
"Blue Oxygen Dryer" has formed
successfully build the third
the product features of Meiling
pole of washing industry.washing machine from "washing
care" to "drying care" which has
effectively enhanced the industrial
image and laid the foundation for
opening up the third pole of
industrial growth.The energy efficiency of 8kg and
10kg washing and drying platform
products for export has reached
The energy efficiency of A/D level respectively which is the
Through technical upgrading
Continuous washing machines for export highest energy efficiency level for
improve the washing ratio of
upgrading of energy drum products reaches A-30% drying with fixed frequency fans in
washing machines for domestic sale Completed the
efficiency and A/D energy efficiency the EU market at present. At the
reach the advanced level of the technology has
technology of becomes the top priority. The same time the energy efficiency of
industry in terms of energy been fully
washing machines domestic drum products are 10kg BLDC single drum washing
efficiency of export products and applied.for domestic sale developed with a high washing machine has reached A-30% far
meet the needs of customers and
and export ratio of 1.2 reaching the exceeding the high-end energy
consumers.advanced level in the industry. efficiency level in the market
meeting the demands of customers
in different regions; The drum 10kg
and 12kg platform products for
domestic sale reached a washing
28Annual Report 2024
ratio of 1.2 which is in the first
echelon in the current domestic sale
market effectively enhancing the
confidence of customers and users
in Meiling washing machine.The technical achievements are
High-frequency PFC popularized and applied in
R&D and Solve the long-term reliability
technology and high-efficiency ChanghongYunfan Series and other
application of problem of air-conditioning products
Complete heat exchange technology have products which won the world
high-frequency PFC in complex environment and the pain
technology reached the advanced level in record certification and its
and high-efficiency point of user experience improve the
R&D and the industry forming an popularization and application will
heat exchange refrigeration and heating
realize product intelligent control system greatly enhance the performance
technology for performance of air-conditioner and
application. scheme and improving the and comprehensive
inverter air support green and low-carbon
energy efficiency of control competitiveness of products with
conditioner development.and refrigeration systems. various specifications and enhance
the user experience.It has obtained the authoritative
The
Through the 3D two-wing air certification of "saving 3000 kWh
Through technological innovation development
supply technology realize the per year" which helps Changhong
Development of make breakthrough in traditional has been
uniform temperature control of to become a green consumption
"Giant Energy energy efficiency respond to the completed and
the whole house consolidate benchmark increasing the market
Saving" Cabinet national green and low-carbon the products
the brand positioning of "Seiko share of energy-efficient products
Air-Conditioner policy and meet consumers' demand have been
Quality" and upgrade the and promote the industry to
Products for efficient and energy-saving air launched in the
industry energy efficiency transform into an ultra-wide
conditioners. market in
standards. temperature range energy-saving
batches.and comfortable direction.The
Through the technical innovation of Strengthen the product
development Establish a product model of
Development of double louvers and all-dust-free attribute label of Changhong
has been product quality improvement and
All-dust-free and design solve the pain points of users practice the product concept of
completed and air supply status visualization
Free Air on dust accumulation and straight "Seiko Quality Comfort in
the products enhance brand reputation and
Wall-mounted wind blowing in traditional air Every Degree" for Changhong
have been promote the upgrading of healthy
Air-conditioner conditioners and improve the health Air Conditioner and push the
launched in the air supply technology for industry
Products and comfortable air supply industry into an all-dust-free
market in products.experience. era.batches.Technical research On the basis of the existing series of Carry out continuous optimization
and application of ultra-low temperature products Product Mass production and sales on the performance of the
high conversion further develop new throttling application achieved Company's existing ultra-low
refrigeration system technology to realize the controllable stage temperature products which will
in ultra-low and stable cooling of the system; help consolidate the Company's
29Annual Report 2024
temperature Research on and develop compressor leading edge in the field of
refrigerated storage initial pressure relief and ultra-low temperature products
box intermediate air supply technology after the project is completed.to achieve the optimal operating
conditions of the whole process and
higher product reliability; Research
on and develop more
environmentally friendly cryogenic
mix refrigerants.The project starts with the air
circulation and isolation technology
combined with the self-developed
control system and ergonomic
Meet the market demand for
Research and design to provide all-round The products
sterility of sample operation space
application of biosafety protection for laboratory have been
which is conducive to the
intelligent air personnel article operation and mass-produced Mass production and sales
Company's business expansion in
circulation and experimental environment. The and achieved
new fields new industries and new
isolation technology products can be widely used in continuously
markets; Improve the layout of the
in biosafety cabinet medical and health care disease upgraded.Company's industrial chain.prevention and control food safety
biopharmaceuticals environmental
testing and various biological
laboratories.Aiming at the needs of centrifuge Strengthen the layout of centrifuge
work in laboratory sample industry and enhance the
The first
pretreatment the project designs and Company's market
Laboratory product of the
develops a series of centrifuge competitiveness; By providing
biosafety series has been
products in freezing laboratory and diversified centrifuge products
technology - officially
optimizes and upgrades the Mass production and sales attract more potential customers
Centrifugal launched and
structure control system and drive achieved and meet users' pursuit of efficient
technology research new products of
system of the centrifuge to improve stable and reliable equipment;
and product line centrifuge
the overall performance of the Promote the Company's
expansion business have
centrifuge and meet the users' pursuit technological innovation and
been expanded.of efficient stable and reliable industrial upgrading and enhance
equipment. its profitability and market share.Develop a tea bar machine with The The strontium-rich filter The first brand-new product of
brand-new appearance and development element has a strontium Fresh Water Series which has sold
MC-N10 Tea Bar strontium-rich mineralization was completed content of more than 0.2mg/L 150000 sets in 9 months laying a
Machine Project function; At the same time it has the in April 2024 in its service life reaching the solid foundation for building our
functions of voice Bluetooth and the product national natural strontium Fresh Water Series products.antibacterial pipeline and backrest has been mineral water standard
30Annual Report 2024
free installation. launched. (GB8537 natural mineral
drinking water).The It uses the MY-AJ15 box mold
A tea bar machine with a transparent
development which has been
screen and a strontium-rich It expands the product model of
was completed mass-produced with the
MC-H50 Tea Bar mineralized filter element is large box with 400mm width and
in September backrest displayed on a
Machine Project developed based on the box mold of makes maximum use of the existing
2024 and the transparent screen and a
MY-AJ15 a mass-produced model box mold.product has strontium-rich mineralized
and some new molds of backrest.been launched. filter element.Company's R & D personnel situation
2024 2023 Change proportion
Number of Research and
Development persons 1781 1667 6.84%
(persons)
Proportion of Research and Increase by 1.83 percentage
16.90%15.07%
Development persons points
Academic structure of R&D personnel
Undergraduate 1160 1217 -4.68%
Masters 146 113 29.20%
Age composition
Under 30 570 464 22.84%
30~406686306.03%
Investment of R&D
2024 2023 Change proportion
Investment for R&D (RMB) 801412208.23 702362069.24 14.10%
R&D investment/Operating
2.80%2.88%-0.08%
revenue
Capitalization of R&D
207422076.26147821273.9640.32%
investment (RMB)
Capitalization of R&D
25.88%21.05%4.83%
investment/R&D investment
Reasons and effects of significant changes in composition of the R&D personnel
□Applicable√ Not applicable
Reasons for significant changes in the proportion of total R&D investment in operating revenue from the
previous year
□Applicable√ Not applicable
Reasons and rationality of the major changes of the capitalization rate of R&D investment
□Applicable√ Not applicable
(v) Cash flow
In RMB
Item 2024 2023 Increase/decre
31Annual Report 2024
ase y-o-y (+-)
Subtotal of cash in-flow from operation activity 32666460604.66 26188015669.10 24.74%
Subtotal of cash out-flow from operation activity 28696203386.70 24115106238.63 19.00%
Net cash flow from operation activity 3970257217.96 2072909430.47 91.53%
Subtotal of cash in-flow from investment activity 13768606653.54 1646745380.23 736.11%
Subtotal of cash out-flow from investment activity 15464094400.84 1920380073.58 705.26%
Net cash flow from investment activity -1695487747.30 -273634693.35 -519.62%
Subtotal of cash in-flow from financing activity 2602742833.92 2299657561.65 13.18%
Subtotal of cash out-flow from financing activity 3311631839.18 1841587354.21 79.82%
Net cash flow from financing activity -708889005.26 458070207.44 -254.76%
Net increased amount of cash and cash equivalent 1584920797.49 2270781048.58 -30.20%
Main reasons for y-o-y major changes in aspect of relevant data
√Applicable □ Not applicable
Major changes in net cash flow from operation activity mainly because the cash paid for good procurement and
received services during the period increased from a year earlier.The large change in net cash flow from investment activities is mainly due to the year-on-year increase in
cash paid by the Company for investment.The large change in net cash flow generated by fund-raising activities is mainly due to the year-on-year
increase in cash paid by the Company to repay debts in this period.Explanation on reasons for the significant differences between the net cash flow arising from operation
activities in the Period and net profit of last year
√Applicable □ Not applicable
It is mainly due to the increase in operating receivables and operating payables at the end of the reporting period
compared with the beginning of the year.V. Analysis of the non-main business
√Applicable □ Not applicable
In RMB
Whether
be
Amount Ratio in total profit Note sustaina
ble
(Y/N)
Mainly due to the interest income
Investment income 35709856.70 4.39% obtained by the company during the No
holding period of the debt investment
Mainly due to the change in the fair
Gains/losses from fair value of the company's irrevocable
-87184652.30 -10.72% No
value changes orders and foreign exchange contracts in
this period
Mainly due to the company's provision
Asset impairment -116583058.63 -14.33% for inventory depreciation and intangible No
asset impairment losses in this period
32Annual Report 2024
Mainly due to the year-on-year increase
Non-operation income 10938462.86 1.34% in the company's income from liquidated No
damages and other income in this period
Mainly due to the company's non-current
Non-operation
11928863.23 1.47% asset scrapping losses and relocation No
expenditure
losses in this period
VI. Analysis of assets and liability
(i) Major changes of assets composition
In RMB
Year-end of 2024 Year-begin of 2024
Ratio
Ratio in
Ratio in total changes Note of major changes
Amount total Amount
assets (+-)
assets
Mainly due to the decrease in the
10492450750. proportion caused by the
Monetary fund 43.77% 8842623235.72 45.03% -1.26%
61 increase in the total assets of the
Company in this period
Mainly due to the company's
recovery of customer payments
Account 1527978374.4
6.37% 1680303240.09 8.56% -2.19% and increase in total assets in
receivable 8
this period resulting in a
decrease in the proportion
Contract assets 2763866.97 0.01% 13261690.62 0.07% -0.06% No major changes.Mainly due to the company's
3514968009.3
Inventory 14.66% 2022749908.45 10.30% 4.36% business growth and increase in
4
inventory reserves in this period
Investment real
66720850.69 0.28% 50920487.71 0.26% 0.02% No major changes.
estate
Long-term Mainly due to the company's
equity 81511146.82 0.34% 112745811.75 0.57% -0.23% recovery of investment in joint
investment ventures in this period
Mainly due to the increase in
2218850660.1 the company's total assets in
Fix assets 9.26% 2291776177.80 11.67% -2.41%
2 this period resulting in a
decrease in the proportion
Construction in
97807983.40 0.41% 69920839.20 0.36% 0.05% No major changes.
progress
Mainly due to the company's
Right-of-use
113784190.78 0.47% 35146281.21 0.18% 0.29% new factory leasing in this
assets
period
Mainly due to the company's
Short-term
766747286.01 3.20% 1134102419.03 5.77% -2.57% repayment of bank loans in this
loans
period
33Annual Report 2024
Year-end of 2024 Year-begin of 2024
Ratio
Ratio in
Ratio in total changes Note of major changes
Amount total Amount
assets (+-)
assets
Mainly due to the increase in
Contract
609737871.24 2.54% 405733638.26 2.07% 0.47% the company's advance payment
liability
for goods in this period
Mainly due to the company's
Long-term loans 108000000.00 0.55% -0.55% repayment of bank loans in this
period
Mainly due to the company's
Lease liability 101826405.91 0.42% 28976808.54 0.15% 0.27% new factory leasing in this
period
Foreign assets account for a relatively high proportion
□Applicable √Not applicable
(ii) Assets and liability measured by fair value
√Applicable □ Not applicable
In RMB
Accumu
lative
Amount changes Devaluation
Changes of fair Amount of Amount at
at the of fair of
Item value gains/losses purchase in Sales in the period Other changes end of the
beginning value withdrawing
in this period the period period
period reckone in the period
d into
equity
Financial assets
1.Trading
financial
assets 13070000
(derivative 13070000000.00
000.00
financial
assets
excluded)
2.
Derivative 39236447.
32773626.8072010074.43
financial 63
assets
3. Accounts
164185871516987953
receivable -124870786.
40.34.83
financing 51
4. Other non
674139515676094304.4
current 4172388.96 2217600.00.484
financial
34Annual Report 2024
Accumu
lative
Amount changes Devaluation
Changes of fair Amount of Amount at
at the of fair of
Item value gains/losses purchase in Sales in the period Other changes end of the
beginning value withdrawing
in this period the period period
period reckone in the period
d into
equity
assets 3.Accounts
receivable
financing
Subtotal of
-124870786.2265092332
financial 23552347 36946015.76 13070000 13072217600.00
51.70
assets 03.45 000.00
The above -124870786. 2265092332
2355234736946015.761307000013072217600.00
total 51 .70
03.45000.00
Financial 32229012. 156359680.9
124130668.06
liabilities 86 2
Other changes:
Other changes in receivable financing are caused by the increase of notes receivable aimed at both collecting
contract cash flow (collection) and selling (endorsement or discount).Whether there have major changes on measurement attributes for main assets of the Company in report period
or not
□Yes √ No
(iii) Assets right restricted ended as reporting period
Ended as the reporting period the Company has no major assets been closed down detain freeze or pledge andguarantee. As for other assets have restriction on rights found more in relevant content of “26. Assets withrestricted ownership or use rights” in “V. Note of consolidate financial statement” carried under Section X.Financial Report
VII. Investment analysis
(i) Overall situation
√Applicable □ Not applicable
Investment in the same period of last
Investment in the reporting (RMB) Changes
year ( RMB)
475033242.3845000000.00955.63%
35Annual Report 2024
(ii) The major equity investment obtained in the reporting period
√Applicable □ Not applicable
In RMB
W
he
th
er
in
vo
Date of
Meth Capi Type lv Index of
Share Term of Status as of Current disclosure
Name of od of Amount of tal Part of Expecte ed disclosure (if
Principal business holdin investm the balance investment (if
invested invest investment sour ners produc d return in applicable
g ratio ent sheet date profit and loss applicable
ment ces ts a )
)
la
ws
uit
(Y
/N
)
General items: Technical service technical Manuf
development technical consultation technical acturin
Sichuan
exchange technology transfer and technology g and
Changh
popularization; Software development; Software sales
ong During the
sales; Information technology consulting services; Newl Indire of
Intellige reporting
Industrial Internet data service; Information ct freque Juchao Website
nt Air y 100000000 Self- Long-ter period it Not app N March
system integration service; Electronic component holdin N/A ncy -1982983.06 www.cninfo.co
Conditio establ .00 fund m invested licable o 152024manufacturing; R&D of special electronic g of conver m.cn（2024-006)ning RMB 100
materials; Integrated circuit manufacturing; R&D ished 100% sion
Technol million
of home appliances; Manufacturing of home drive
ogy Co.appliances; Sales of home appliances; Installation control
Ltd.service of home appliances; Sales of refrigeration panel
and air conditioning equipment; Manufacturing of in air
36Annual Report 2024
refrigeration and air conditioning equipment; conditi
Sales of electronic products; Manufacturing of oning
special electronic materials; Sales of spare parts industr
for home appliances; Sales of metal materials; y
Manufacturing of communication equipment; (includ
Non-residential real estate lease; General cargo ing
storage services (excluding dangerous chemicals special
and other items that need permission and air
approval); Import and export of goods. (Except for conditi
items that are subject to approval according to law oners)
business activities shall be independently carried
out according to law by virtue of business license)
General projects: Manufacturing of electronic
component; Retail of electronic components;
Sales of electronic products; Manufacturing of Total
Manuf October
household appliances; Sales of household direct
acturin 122024
Hefei appliances; Labor service (excluding labor and Completed
g and Cobober
Changh dispatch); Non-residential real estate lease; indire Self- equity-to-pri Juchao Website Purch 375033242 Long-ter sale of Not app N 14 2024
ong Mechanical equipment lease; Import and export of ct N/A ce payment 2003295.34 www.cninfo.co
ase .38 fund m househ licable o NovemberIndustry goods; Import and export of technology; R&D of shareh and equity m.cn（2024-064)old 302024
Co. Ltd. household appliances; Mold sales; Mold olding transfer
applia November
manufacturing (except for licensed business of
nces 22 2024
projects that can be operated independently 100%
according to law and are not prohibited or
restricted by laws and regulations)
475033242
Total -- -- -- -- -- -- -- -- -- 20312.28 -- -- --.38
(iii)The material non-equity investment in the reporting period
□ Applicable √Not applicable
The Company invested RMB 88 million in the refrigerator front-end capacity improvement project of Hefei manufacturing base. For details please refer to Section VI
"XIII. Explanation of Other Important Matters".
1. As of the end of the reporting period the project is still under construction and not completed and the amount of related project contract is more than
RMB 200 million.
37Annual Report 2024
□ Yes √ No □ Not appli8cable
(iv)Financial assets investment
1. Securities investment
□ Applicable √ Not applicable
The Company had no securities investment in the reporting period.
2.Derivative investment
√ Applicable □ Not applicable
(1) Derivatives investment for hedging purposes during the reporting period
√ Applicable □ Not applicable
In RMB 10000
Profit and loss Changes in the Ratio of investment
Amount at the Investment
of fair value cumulative fair Amount purchased in the Amount sales in the amount at period-end in
Type Initial investment beginning amount at
change in the value included in reporting period reporting period net assets of the Company
period period-end
current period the equity at period-end
Forward foreign exchange
630614.02332515.07-9135.7001094850.13932563.85496923.8781.65%
contract
Total 630614.02 332515.07 -9135.70 0 1094850.13 932563.85 496923.87 81.65%
Specific principle of the
accounting policy and
calculation for derivatives in
Not applicable
the Period compared with
last period in aspect of major
changes
Description of actual profit
and loss during the reporting During the reporting period the Company confirmed the income from derivatives investment of RMB-21.2252 million.period
Description of hedging During the reporting period the Company adhered to the principle of exchange rate risk neutrality used forward foreign exchange contracts as hedging tools and signed forward foreign
38Annual Report 2024
effect exchange contracts according to the foreign exchange receipt amount predicted by sales and the target cost exchange rate. The delivery period matched with the predicted return amount
and the agreed delivery amount matched with the predicted return amount to avoid the risks caused by exchange rate fluctuations. The cash flow changes in the hedging tools during the
reporting period can offset the cash flow changes in the hedged items caused by exchange rate fluctuations which met the requirements of hedging effectiveness and achieved the hedging
objectives.Capital resource Own fund
Risk analysis:
1. Market risk: domestic and international economic situation changes may lead to exchange rate fluctuations forward foreign exchange transactions are under certain market risk. Forward
foreign exchange business is aiming to reducing impact on corporate profits by foreign exchange settlement and sale prices exchange rate fluctuations. The Company will follow up the
exchange fluctuation on the basis of target rate determined from the business relying on the research of the foreign currency exchange rates combined with prediction of consignments
and burdening ability to price variations due to exchange rate fluctuations then determine the plan of forward foreign exchange contracts and make dynamic management to the business
Risk analysis and controlling
to ensure reasonable profit level.measures for derivatives
2. Liquidity risk: all foreign exchange transactions are based on a reasonable estimate of the future import and export business to meet the requirements of the trade authenticity. In
holdings in the Period
addition forward foreign exchange transactions are processed with bank credit will not affect liquidity of company funds.(including but not limited to
3. Bank default risk: if cooperative banks collapse within the contract time the Company will not be able to transact the original foreign exchange contracts with contract price which leads
market risk liquidity risk
the risk of income uncertainty. So the Company chose five state-owned banks the Chinese-funded banks in shareholding enterprise as Everbright Bank Industrial Bank and the
credit risks operation risk
foreign-funded banks as UOB OCBC BEA etc. to conduct the trading of foreign exchange capital. These banks share a solid strength and management whose failure and the risk of loss
and law risks etc.)
may bring to the Company is very low.
4. Operational risk: improper operation of the person in charge of forward foreign exchange transactions may cause related risk also. The Company has formulated related management
system which defines the operation process and responsibility to prevent and control risks.
5. The legal risks: unclear terms based in contract signed with banks for related transactions may lead legal risks when forward foreign exchange transactions are processing. The Company
will strengthen legal review and choose good bank to carry out this kind of business as to risk control.Invested derivative products
have changes in market price
or fair value in the Period as The Company determines fair value in accordance with the Chapter VII “Determination of Fair Value” carried in the Accounting Standards for Business Enterprises No.22 - Recognition
for analysis of the fair value and Measurement of Financial Instruments. Fair-value is basically obtained according to prices offered by bank and other pricing services. While fair-value of derivatives is mainly obtained
of derivatives disclosed according to the balance between prices given by outstanding contracts and forward prices given by contracts signed during the reporting period with bank. The differences are identified as
specific applied methods and trading financial assets and liabilities.correlation assumption and
parameter setting
39Annual Report 2024
Lawsuit involved (if
Not applicable
applicable)
Disclosure date for approval
from the Board for
March 302024
investment of derivatives (if
applicable)
Disclosure date for approval
from board of shareholders
April 262024
for investment of derivatives
(if applicable)
40Annual Report 2024
(2）Derivative investments for speculation during the reporting period
□ Applicable √ Not applicable
The Company had no derivative investment in the reporting period.(v) Application of raised proceeds
√ Applicable □ Not applicable
Nil
VIII. Sales of major assets and equity
(i) Sales of major assets
□ Applicable √ Not applicable
No major assets are sold in the period
(ii) Sales of major equity
□ Applicable √ Not applicable
IX. Analysis of main holding company and stock-jointly companies
√ Applicable □ Not applicable
41Annual Report 2024
(i) Particular about main subsidiaries and stock-jointly companies net profit over 10%
In RMB
Register
Company name Type Main business Total assets Net assets Operating revenue Operating profit Net profit
capital
Research and
Zhongke Meiling development
Subsidia
Cryogenic Technology manufacturing and 96730934 747326052.54 611741106.18 295773281.94 18785418.13 18087029.57
ry
Co. Ltd. sales of ultra-low
temperature freezer
Manufacturing of
Jiangxi Meiling Electric Subsidia
refrigeration and 50000000 419664286.58 169822325.58 907613727.78 12438813.90 12341622.60
Appliance Co. Ltd. ry
freezer
Manufacturing of
Mianyang Meiling Subsidia
refrigeration and 100000000 174120831.37 125809187.80 394653666.78 3948567.20 3885488.05
Refrigeration Co. Ltd. ry
freezer
R&D
Sichuan Changhong
Subsidia manufacturing and
Air-conditioner Co. 850000000 6802632353.56 1436329167.70 10128734269.01 239880454.52 215866193.27
ry domestic sales of
Ltd.air-conditioning
R&D
Zhongshan Changhong Subsidia manufacturing and
3340000004170891500.45526881778.445640129428.53198772910.59174173856.42
Electric Co. Ltd. ry foreign sales of
air-conditioning
Hefei Meiling Group Subsidia Sales of white
800000001205253847.15-225069459.405511639410.5968182966.5067066953.66
Holdings Limited ry goods
R&D and sales of
household
Hefei Changhong
Subsidia appliances kitchen
Meiling Life 50000000 679748529.06 179209903.42 1335609757.73 51797109.67 39416387.36
ry appliances and
Appliances Co. Ltd.small home
appliances
42Annual Report 2024
(ii) Subsidiary obtained and disposed in the period
√ Applicable □ Not applicable
The method of obtaining and disposing The influence to the whole production and
Company name
subsidiaries during the report period performance
The wholly-owned subsidiary of the company
Changhong Air Conditioning invested 100
million yuan to establish. The establishment of
the company aims to further enhance key core
technological capabilities and asset utilization
Sichuan Changhong Intelligent improve electronic product processing services
Air Conditioning Technology Investment establishment and quality assurance capabilities and engage in
Co. Ltd related businesses centered on manufacturing and
selling variable frequency drive control boards
for the air conditioning industry (including
special air conditioners). It has little impact on
the overall production operation and
performance of the company.Hefei Changhong Industrial Business consolidation under the same Minor effect on the overall production and
Co. Ltd. control operation and performance of the company
(iii) Description of the holding company and stock-jointly companies
□ Applicable √ Not applicable
X. Structured entity controlled by the Company
□ Applicable √ Not applicable
XI. Prospects for the future development of the company
(I) Macro-environmental analysis
Domestic policies continue to promote consumption upgrading and green transformation accelerate the
development of green smart home appliance market through trade-in and consumption subsidies and create growth
space for high-end intelligent and energy-saving products. At the same time technological progress in energy
conservation and emission reduction has helped popularize environmentally-friendly home appliances and
promoted the industry to upgrade to a low-carbon direction. However the home appliance industry still faces
multiple challenges such as weak consumer demand shrinking real estate market and demographic changes plus
the fierce competition in the stock market resulting in significant overall pressure on the industry.Institutions such as the International Monetary Fund predict that the global economic growth rate will achieve
a moderate recovery in 2025 but with significant regional differences; In terms of trade pattern while the
multilateral trading system faces challenges the role of regional trade agreements has become increasingly
prominent against a backdrop of persistent uncertainties stemming from trade protectionism and geopolitical
conflicts. Technological competition is driving the home appliance industry toward energy-efficient and
environmentally-friendly transformation and elevating requirements for product technical standards; In terms of
policy global monetary policy adjustments and fiscally balanced approaches may impact both the costs and market
demand for home appliance exports. Other factors including exchange rate volatility and raw material price
uncertainties will further influence home appliance export.Overall the Chinese home appliance sector must navigate multiple challenges in 2025 and companies need to
demonstrate operational agility in adapting to environmental shifts while enhancing product competitiveness to
seize opportunities.
43Annual Report 2024
(II) Industrial environment analysis
1. Refrigerator (Freezer) industry
The refrigerator industry is constantly developing in terms of technological innovation green development
intelligence personalization and health and green energy saving has become an important development direction.Domestic Market: In 2025 China will continue its trade-in policy though refrigerator demand is expected to
remain stable. As such policy in 2024 already absorbed some pent-up demand the overall refrigerator market is
projected to show weaker demand in 2025. Nevertheless the trade-in policy will still drive product mix upgrades
energy efficiency improvements and accelerated growth in the built-in refrigerator industry. With deeper policy
penetration into lower-tier markets county-level regions will unlock greater potential likely boosting sales in
third-tier and fourth-tier cities.Export Market: Global demand will continue to expand with developed markets showing recovery-driven
growth while emerging markets particularly in South America will experience rapid expansion. This growing
adoption in emerging economies serves as a key driver for sustained export growth. The implementation of
updated EU standards along with impending upgrades of national standards in parts of South America and the
Middle East will accelerate global demand for higher-tier products. The new standards and regulations will
promote rapid upgrading of industrial structure accelerate the technological R&D capabilities of energy saving
frequency conversion and large volume of products focus on scientific management of carbon footprint promote
the upgrading of green home appliance industry and increase the R&D and application of low-carbon production
recyclable and degradable environmental protection materials. This will not only bring new industrial opportunities
but also pose challenges to enterprises.
2. Air conditioning industry
In the stock market competition the air-conditioning industry will develop in the green low-carbon intelligent
healthy and personalized direction. Enterprises need to make continuous efforts in technological innovation
product function optimization and brand building to adapt to market changes and policy requirements.Domestically the domestic air-conditioning industry is now in the era of stock competition and the brand
concentration has been further improved. Leading enterprises continue to consolidate their market share by virtue
of their technological advantages and scale effect. At the same time some emerging brands focusing on intelligent
and environmental protection technologies enter the market by virtue of their intelligence high cost performance
and technological advantages and promote the diversification of the competitive landscape.In terms of exports the global attention to energy conservation and environmental protection has prompted the
air-conditioning industry to accelerate the transformation to green and low carbon and the green and low carbon
policy has become increasingly strict. At the same time consumers' demand for air conditioning functions
becomes increasingly diversified. In addition to basic functions they pay more attention to functions such as air
purification and intelligent control. Therefore enterprises need to make constant innovation and optimize product
functions to adapt to changes in market demand. Judging from the competitive situation the competition in the
industry is becoming more and more fierce including not only the competition between traditional air-conditioning
44Annual Report 2024
enterprises but also the cross-sector competition from other home appliance technology enterprises. Enterprises
need to constantly improve product quality reduce costs and strengthen brand building and after-sales service to
enhance their own market competitiveness. In addition with the promotion of the "Belt and Road Initiative" and
the development of cross-border e-commerce China's air-conditioning enterprises will further expand the
international market and increase their global market share.
3. Washing machine industry
The Chinese economy has entered an era of low effective demand with the washing machine market
experiencing overall growth stagnation. The 2024 national subsidy policy stimulated partial demand ahead of
schedule resulting in limited short-term sales growth in 2025. Judging from the retained number by 100
households incremental demand from rigid-need buyers remains insufficient shifting main market demand to
"Replacement" purchases. In 2025 the extended trade-in policy will meet the trade-in demand through structural
upgrading and product innovation. In the future enterprises need to leverage this policy while aligning with
technological trends including AI integration flush-embedded designs large-capacity models high energy
efficiency and growing demand for washer-dryer combos to deliver scenario-based solutions for users.In terms of export the global washing machine market rebounds moderately but with limited growth rate.With the implementation of upgraded EU standards green and energy-efficient technologies have begun to
dominate global washing machine product upgrades. In developed markets represented by Europe and North
America against the backdrop of elevated technological convergence improved product intelligence and enhanced
scenario integration manufacturers are progressively launching premium high-efficiency drum models featuring
energy-saving intelligence and high-performance to elevate product profitability by technology. Meanwhile
emerging markets mainly in Southeast Asia Latin America and Africa remain highly price-sensitive still mainly
with rigid demand in low-end and middle-end products resulting in a volume-driven yet intensely competitive
market landscape.
4. Major kitchen appliance and small home appliance industry
Under the dual drivers of macroeconomic recovery and consumption upgrading the major kitchen appliance
and small home appliance industry is demonstrating diversified development trends. The trade-in policy has
stimulated consumption while strengthened energy efficiency standards and environmental regulations are
accelerating the industry's green and intelligent transformation.In the major kitchen appliance market traditional essential products like range hoods and cooktops maintain
stable demand though integrated cookers have seen retail sales decline due to the sluggish real estate market. As
an emerging category dishwashers have become a market highlight with their premiumization driven by
technological upgrades. The deep integration of AI has enhanced health management and smart adjustment
functions. Amid environmental and energy-saving trends the application of inverter technology and recyclable
materials has reduced energy consumption. In the future the major kitchen appliance market will increasingly
prioritize product personalization differentiation and intelligence requiring continuous innovation from
enterprises to meet consumers' demand for high-quality life. Environmental sustainability and energy efficiency
45Annual Report 2024
will become critical industry direction with brand concentration expected to intensify further as leading enterprises
leverage their technological and brand advantages to capture greater market share.The small home appliance market continues its "slow-growth" trend with traditional categories experiencing
decelerated expansion while emerging segments particularly tea bar machines and cleaning appliances are
becoming primary growth drivers through their health-oriented positioning and intelligent technology. The IoT
technology promotes the interconnection of products and innovative products such as intelligent tea bar machines
and intelligent electric fans are constantly emerging.Emerging e-commerce platforms such as Douyin (Tik Tok) have become an important engine for the growth
of small home appliance market driving brands to grow against the trend. However the rising cost of raw
materials and the competitive pressure of homogenization still exist and the concentration of head brands has
further improved. In the future the small home appliance market will develop in the direction of personalized
customization and scene sales to meet the diverse needs of consumers. Intelligent healthy and environmental
protection will become the core direction of product innovation and enterprises need to strengthen technological
R&D and brand building to cope with market competition.
5. Biomedical industry
Biomedical industry is closely related to human life and health. With the improvement of economic level and
the enhancement of medical care awareness coupled with the continuous acceleration of population aging the
demand for medical health among residents around the world is increasing and the medical expenditure is on the
rise. China is also prioritizing public health as a strategic development imperative. Furthermore bolstered by
national policies such as "vigorously developing new quality productive forces" "domestic equipment substitution"
and "Healthy China Initiative" the life science instruments sector is positioned for sustained long-term growth.(III) Business Plan for 2025
1. Business policy
The Company will drive industrial development through innovation strengthen industrial synergy through
resource integration to solidify market foundations accelerate corporate growth through internal-external
convergence develop new quality productive forces and advance digital and intelligent transformation and achieve
high-quality development the Company. In 2025 the Company aims to realize dual growth in both scale and
profitability maintaining a virtuous development trend of profitable expansion.
(1) Innovation drives industrial development
Enhance industrial competitiveness around four aspects: technological innovation product innovation
manufacturing innovation and management innovation. In terms of technological innovation increase technical
input empower industries and focus on technological research that brings added value to product competitiveness.In terms of product innovation adhere to productism with leading products create super single products help
comprehensively improve "appearance quality price and experience" and enhance brand value; In terms of
manufacturing innovation accelerate the promotion of intelligent manufacturing; In terms of management
46Annual Report 2024
(2) Resource integration helps industrial matrix
Build an industrial matrix dominated by white major home appliances and enhance the ability of four
industrial matrices around kitchen solutions living solutions air solutions and biomedical solutions. Help the
establishment and development of industrial matrix through resource integration.
(3) Industrial synergy consolidates market foundation
Make use of the solid customer base and strong market awareness of the existing international market
strengthen industrial synergy further consolidate the market base and broaden the industrial matrix.
(4) Internal and external integration accelerates the company development
Conduct integration from outside to inside form scale and benefits in the international markets invest
resources to participate in domestic market competition improve the overall technology products manufacturing
and other capabilities of the industry and then release it overseas. After the industrial capacity is further improved
upgrade domestic brand matrix and international brand matrix achieve internal and external integration and
accelerate the Company's development.
2. Market strategy
(1) Refrigerators (freezers)
In domestic market amid the normalization of national subsidies the Company will seize four key
opportunities: product enhancement category synergy retail transformation and national subsidy penetration;
Uphold the dual principles of "customer-center" to meet B2B product requirements and "user-center" to fulfill B2C
replacement demand while adhering to three guiding principles: profitability orientation problem-solving
orientation and target orientation; Through four implementation pathways integrate production research and sales
to consistently develop hero products and achieve traffic monetization feature reinforcement operational efficiency
and P&L optimization; Refine operational channels by consolidating foundational channel capabilities
aggressively expanding e-commerce channels enhancing KT channel profitability and optimizing lower-tier
channel efficiency through integration; Upgrade market regions by categories establish brand leadership in base
markets pursue scale maximization with improved profitability in revitalized markets achieve substantial
profitability expansion at maintained scale in improved markets and accelerate infrastructure development in
opportunity markets; Focus on brand building elevate brand with products through online and offline integration
promote brand with core customers in core areas and vigorously promote brand building.In overseas markets the Company will closely grasp the upgrading trend of global consumer demand in
product layout and mainly promote the trend products such as "air cooling frequency conversion multi-door
energy saving" and build a tiered product matrix of "premium high-end value-driven mid-range and efficient
entry-level offerings" to precisely meet diversified market demands; Build a user-centered all-round marketing
system improve the demand fit of large customers and the efficiency of customer cooperation and further enhance
customer loyalty; In terms of business development deepen cooperation to tap the potential of the stock market
consolidate the existing business foundation focus on the layout of high-growth emerging markets actively explore
47Annual Report 2024
incremental opportunities and achieve sustained growth in market share; Deeply cultivate the brand base market
and make efforts from multiple dimensions such as in-depth channel expansion product matrix improvement
marketing promotion capability improvement and talent echelon construction to comprehensively enhance brand
competitiveness accelerate the scale development of overseas independent brand business and create a brand
image with international influence.
(2) Air conditioners
In the domestic market the Company will strengthen the user experience and differentiated design based on AI
technology continue to create two product business cards namely "DustFree" and "LivingDining Pro" launch
"Strategic hero SKUs" and continue to promote the "Panda Lazy" hero products to create premium mid-range brand
offerings. It will increase market investment improve brand awareness and reputation through event marketing
new media seeding and other ways. It will adhere to regional differentiated management and continue to promote
the implementation of special regional strategies such as Sichuan-Chongqing Base Area Construction Plan and
Second Base Area Market Construction Plan. It will strengthen the improvement of service capability around users
quickly and directly and improve user satisfaction.In overseas markets the Company will continue to practice the concept of "profitable scale growth and
profitable cash flow growth" adhere to brand priority increase market development in base areas and vigorously
develop regional brand agents; Preserve the quantity seek increment focus on superior channels expand new
markets and carry out key customer penetration; Remain attuned to market trends by elevating product
premiumization driving innovation and advancing inverter technology adoption; Adhere to business-oriented and
customer-centered principle and constantly improve product quality customer service ability and customer
satisfaction.
(3) Washing machines
In the domestic market the Company will insist on the product-oriented principle promote quality and
high-end and continue to build good products for the market and users. For drum washing machine products the
Company will upgrade the mid-range products and break through the high-end products; Expand the flat-embedded
appearance of "As Hand Washing" series products and enhance the competitiveness of mid-range products; Extend
the "Hercules" pulsator products lay out Hercules 2.0 upwards continuously improve energy efficiency and create
a competitive advantage; Strengthen e-commerce channel capacity building and product layout achieve scale
breakthrough and at the same time focus on offline channels and ensure the steady growth of industrial scale based
on base market construction.In the overseas market the Company will insist on the of internal and external integration introduce new
products and technologies in the domestic market optimize the platform and expand products around color screen
drum products variable frequency pulsator products large pulsator products and washing and drying machines lay
out key areas focus on key customers and expand KA customers and build a leading brand of drum washing
machine worldwide with "color screen + flat embedded" dual drive by increasing appearance supply and upgrading
energy efficiency to meet differentiated needs.
48Annual Report 2024
(4) Major kitchen appliances and small home appliances
The industry adheres to the business strategy of "transformation focus and efficiency improvement". At the
retail end the Company will optimize and upgrade around "people goods market and promotion" and expand the
market through online and offline integration; In terms of industrial synergy it will deepen internal system
cooperation strengthen domestic business synergy and seize the national subsidies; At the product level with the
guidance of "expanding cooking solutions consolidating water applications and developing environmental
products" it will create high-quality hit products; and improve service efficiency and adhere to the concept of
"market-oriented customer-centered".
(5) Biomedical products
The Company will focus on the field of life sciences adhere to the business philosophy of "technology-based
product-based market-oriented and customer-centered" and based on "focusing on the sample ecology vertically
deepening the whole chain of automation; Based on the life science and horizontally expanding the field of
laboratory general equipment" continue to promote the construction of market channels expand the product matrix
enhance operational capabilities and strive to improve operational efficiency.Focusing on the market the Company is customer-centered market-oriented growth-oriented and internal
and external synergy to promote the organization to achieve leap-forward development with equal emphasis on
scale and quality. In terms of vertical and horizontal expansion the Company will implement "focusing on the
sample ecology vertically deepening the whole chain of automation; Based on the life science and horizontally
expanding the field of laboratory general equipment" deeply cultivate low-temperature storage products expand
the lineup of new products realize product synergy gradually realize various application scenario solutions and
comprehensively enhance product strength. In terms of operational efficiency the Company will attach importance
to the improvement of operational quality and efficiency and strengthen the driving force of the system. At the same
time the Company will establish an open and innovative organizational mechanism attract excellent talents and
partners build an ecosystem together and create a new benchmark in the field of life sciences.The above business plans and business objectives do not represent the listed company's profit forecast for 2025.Whether they can be realized depends on many factors such as changes in market conditions and the efforts of the
management team. There is great uncertainty which shall be especially noted by the investors.(IV) Possible risks and countermeasures
Facing the objective factors such as more intense competition in the home appliance market the operating
environment of enterprises will be even worse. In 2025 the Company will face risks such as intensified industry
competition exchange rate fluctuation price fluctuation of bulk materials trade friction and geopolitical influence.
1.Risk of industry competition: The risk of domestic industry demand decline
The domestic major home appliance market is currently in a stage of stock competition characterized by
severe product homogenization and a lack of new consumption stimuli. While the appliance trade-in policy partially
unleashed consumer demand in 2024 its industry-boosting effect for 2025 remains uncertain potentially leading to
49Annual Report 2024
slowed consumption growth that may trigger corporate performance fluctuations. The Company will actively pay
attention to the progress of the national home appliance consumption stimulus policy while continuously improving
product quality and cost competitiveness well ensure product planning and market response in advance to gain
more market share.
2. Risk of exchange rate fluctuation
Changes in the international situation may lead to large fluctuations in the exchange rate. The Company will
carefully operate the exchange rate from the perspective of steady operation and risk prevention and control and
will pay close attention to the exchange rate changes in the future to reduce the adverse effects caused by exchange
rate fluctuations.
3. Risk of price fluctuation of bulk materials
The main raw materials of the company's products are steel copper aluminum plastics and chemical materials
etc. If the prices of bulk raw materials fluctuate greatly the related costs of the company will also change
accordingly which will have a certain impact on the company's operating performance. The Company will continue
to pay attention to the price fluctuation of bulk materials and take timely measures to deal with risks and reduce the
impact of price fluctuations.
4. Influence of trade friction and geopolitics
The Company will pay close attention to the impact of international trade frictions and geopolitical
uncertainties on its global business make relevant plans in advance actively take various risk response measures
and respond quickly to mitigate the impact.In view of the industry situation in 2024 and the development opportunities in 2025 combined with the current
market risks the Company will lay out its products technologies and markets in advance around the business policy
of "innovation-driven resource integration industrial synergy and internal and external integration" in 2025 in
order to promote the Company's high-end and intelligent transformation enrich its product lines enhance its
operating ability and profitability and strive to build a comprehensive home appliance enterprise to provide
consumers with better products and services and create greater value for shareholders.
50Annual Report 2024
XII. In the report period reception of research communication and interview
□ Applicable √Not applicable
Recepti Main contents of the
Time Location Way on Type discussion and the Basic situation index of investigation
object information provided
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51Annual Report 2024
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52Annual Report 2024
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54Annual Report 2024
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Anlian Fund Huaan Asset Everbright PGIM
ABC-CA Fund Great wall Fund Jiashi Fund
#1 reference Online
Manulife Fund XiangcaiFunD PengYANG Fund
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Shenwan Fund CUAM Changsheng Fund Operation condition of the
October 232024 administrative for online Institute gId=gssz0000521&stockCode=000521&announcementId=122
Minsheng ROYAL Fund Changjiang Life Company
center of the communic 1490595&announcementTime=2024-10-23%2020:06
Zheshang Asset Management PICC Fund Huaan
Company ation
Fund BOCOM Schroders Changxin Fund Yinhe
Fund Southest Fund ShenwanSecurieies
ICBC Fund Fuguo Fund CUAM Tianhong Fund
Ping An Fund Huabao Fund GuangfaFundChina
Fund CICC Fund Tianchong Assets Guolianan
Fund Huamei International Investment
#2 reference Online
GroupBOSC Asset Taikang Asset Westard Lide
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Individu Fund Everbright PGIM Zheshang Asset Operation condition of the
November 52024 administrative for online gId=gssz0000521&stockCode=000521&announcementId=122
al Management ABC-CA Fund Guangzhou Company
center of the communic 1637937&announcementTime=2024-11-05%2019:38
Bank China Merchants Asset Management
Company ation
Donghai Self support Huatai –PineBridge
Investment Suxin Fund Ping An Life Xinyuan
Fund Tuling Asset Yixing Investment Huaan
Securities
#2 reference Online
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Operation condition of the
November 62024 administrative for online Institute Changxin Fund Guotai Junan gId=gssz0000521&stockCode=000521&announcementId=122
Company
center of the communic 1639903&announcementTime=2024-11-06%2018:20
Company ation
#2 reference Online
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Individu BOC Investment Operation condition of the
November 152024 administrative for online gId=gssz0000521&stockCode=000521&announcementId=122
al Management OrientAssetMinsheng Securities Company
center of the communic 1742046&announcementTime=2024-11-15%2018:20
Company ation
#2 reference Online
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Operation condition of the
November 182024 administrative for online Institute Guotai Fund Xingzheng Securities gId=gssz0000521&stockCode=000521&announcementId=122
Company
center of the communic 1766756&announcementTime=2024-11-18%2017:32
Company ation
November 202024 #2 reference Field Individu Guangfa Fund Operation condition of the http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
55Annual Report 2024
room of the research al HuaanFundSouthweastSecuritiesZhongtai Company gId=gssz0000521&stockCode=000521&announcementId=122
administrative Securities 1789797&announcementTime=2024-11-20%2017:28
center of the
Company
#1 reference
room of the http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Field Operation condition of the
December 172024 administrative Institute Boshi Fund Guotai Junan gId=gssz0000521&stockCode=000521&announcementId=122
research Company
center of the 2048467&announcementTime=2024-12-17%2018:32
Company
#2 reference Online
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Operation condition of the
December 262024 administrative for online Institute BOCOM Schroders Southwest Securaites gId=gssz0000521&stockCode=000521&announcementId=122
Company
center of the communic 2155902&announcementTime=2024-12-26%2019:20
Company ation
#2 reference Online
room of the platform http://www.cninfo.com.cn/new/disclosure/detailplate=szse&or
Individu Operation condition of the
December 272024 administrative for online CoreView capital China Securities gId=gssz0000521&stockCode=000521&announcementId=122
al Company
center of the communic 2167098&announcementTime=2024-12-27%2019:08
Company ation
XIII. Formulation and implementation of market value management system and valuation boost plan
Whether the Company has established a market value management system
□Yes□No
Whether the Company has disclosed plans for valuation boost.□Yes□No
XIV. The implementation of the action plan of "Double improvement of quality and return".Whether the Company has disclosed the action plan of "Double improvement of quality and return".□ Yes √No
56Annual Report 2024
IV. Corporate Governance
I. Corporate governance of the Company
(i) Overview of the corporate governance
In strict compliance with the Company Law Securities Law Governance Principles of Listed Company issued
by the CSRC the Rules Governing the Listing of Stocks on Shenzhen Stock Exchange and Shenzhen Stock
Exchange Self-Regulatory Guidelines No.1- Standardized Operation of the Listed Companies on main Board of
SSE the Company continued to construct and perfect its governance structure thereby forming its
decision-making supervision and operation management organization with general meeting the board of
directors the board of supervisors and operation management as the major structure. The general meeting
board of directors board of supervisors and operation management of the Company has definite terms of
reference which can ensure an effective balance scientific decision-making process and coordinative operation
laying firm foundation for making decisions relating to the Company’s continuous steady and healthy
development.During the reporting period the actual situation of corporate governance has been in line with the requirements
of relevant state laws and regulations and regulatory documents relevant to governance of listed companies
issued by China Securities Regulatory Commission and Shenzhen Stock Exchange.During the reporting period The Company revised and issued the Articles of Association The Authorized
Management System the Rules of Procedure of the Board of Supervisors and other systems and formulated the
Implementation Rules of the ESG Management Committee which further improved the standard operation and
governance level of the Company. The overall situation of corporate governance meets the requirements of
relevant national laws and regulations and regulatory documents on corporate governance of listed companies
issued by China Securities Regulatory Commission and Shenzhen Stock Exchange.
1. Shareholders and general meeting
The Company standardized the procedures concerning convening holding and voting of general meeting in
strict compliance with the Articles of Association and Rules of Procedure of General Meeting. All shareholders
especially the minority shareholders were equally treated to ensure all shareholders shall rank equal status and
can fully exercise their right. During the reporting period the Company convened 4 shareholders general
meetings. In addition to convening general meeting in forms of site conference the Company offered
convenience for shareholders to present general meeting via network voting which was safe economic and
convenient. At the same time all the matters submitted to the Company’s general meeting of shareholders
should count the votes of the small and medium investors separately and the results of the vote count should be
disclosed timely so as to effectively protect the rights and interests of small and medium investors and ensure
that all shareholders especially the small and medium shareholders fully exercise their rights.
2. The Company and controlling shareholders
The Company has independent business and independent management capability. The Company and its
controlling shareholders owe independent business personnel assets organs and finance. During the period
controlling shareholder abide by requirement of Article of Association and Management System of Related
Transactions strictly regulate their behaviors and no controlling shareholder has directly or indirectly
intervened in the Company’s policy-making and business activities beyond the general meeting of stockholders
no capital or assets of the Company occupied by controlling shareholder and its affiliates either.
3. The directors and board of directors
Board Meeting are revoke and open in line with the regulation of Company Law and Article of Association
strictly voting and information disclosure procedures appliance with relevant rules. All directors of the
57Annual Report 2024
company have carried out the work in accordance with the Rules of Procedure for the Board of Directors and
the Independent Director System conscientiously attended the board meetings and the shareholders' meetings
exercised their powers in accordance with the law performed their duties diligently and actively participated in
relevant training organized by the Shenzhen Stock Exchange and Anhui Securities Regulatory Bureau the
Listed Companies Association of Anhui and have been familiar with relevant laws and regulations. Independent
directors strictly abide by the Guiding Opinions on Establishing an Independent Director System in Listed
Companies the Independent Director System and other regulations in line with a serious diligent and loyal
working attitude based on an independent and prudent stand actively participated in the company's
decision-making carefully considered various proposals issued prior approval and independent opinions on
related transactions and major issues fully exerted the supervision and check and balance role of independent
directors and effectively safeguarded the interests of the company and all shareholders especially the small and
medium shareholders. The four special committees of strategy remuneration and assessment audit and
nomination under the board of directors of the company have been responsible for the discussion
decision-making supervision and evaluation of major work issues of the company according to the
corresponding working rules of each departmental committee and quality played an important role in the
scientific decision-making and the improvement of decision-making efficiency and quality.
4. Supervisors and board of supervisors
The Company convened and held meeting of supervisors in strict compliance with the Company Law and
Articles of Association and the voting and information disclosure procedures of supervisors’ meeting complied
with relevant requirements. The tenth board of supervisors of the company has five supervisors including two
employee supervisors the number and constitution of the board of supervisors meet the requirements of laws
and regulations. All supervisors of the company can earnestly perform their duties in accordance with the
requirements of the Rules of Procedure for the Board of Supervisors supervise the decision-making procedures
and resolutions of the board of directors and the legal operation of the company review the regular reports
prepared by the board of directors and put forward written review opinions and effectively supervise and
express independent opinions on the company's major events related transactions financial status the legality
and compliance of directors and senior executives’ performance of duties by attending the general meeting of
shareholders and the meeting of the board of directors from the perspective of safeguarding the legitimate rights
and interests of the company and shareholders.
5. The performance appraisal and incentive and constraint mechanism
According to the Articles of Association the Board of Directors of the company will decide to appoint or
dismiss the president secretary of the Board of Directors and other senior management personnel of the
company and decide on their remuneration rewards and punishments; According to the nomination of the
president decide to appoint or dismiss senior management personnel such as the company's vice president and
financial officer and decide on their remuneration rewards and punishments. The performance evaluation of
directors supervisors presidents and other senior management personnel shall be conducted by the Human
Resources Department of the company on a daily basis and by the Remuneration and Appraisal Committee of
the company at the end of the year. The company has established and continuously improved fair and
transparent performance evaluation standards and incentive and restraint mechanisms for directors supervisors
and senior management personnel. The appointment of company managers is open and transparent in line with
the relevant provisions of laws and regulations.
6. The stakeholders
The Company fully respects and maintains the legitimate rights and interests of stakeholders; strengthen
communication and negotiation with each other realizes the coordination and balance of interests for all parties
58Annual Report 2024
including society shareholders company and staff pushes forward the sustainable steady and harmonious
development of the Company together. In terms of safeguarding the interests of shareholders the company
treats all shareholders especially the small and medium-sized shareholders equally in strict accordance with
relevant regulations and ensures that all shareholders enjoy equal status and fully exercise their rights by
regulating the convening holding and voting procedures of the general meeting of shareholders.In terms of
maintaining employees' rights and interests starting from the company's strategy and business development it
has continuously promoted and improved talent mechanisms such as talent reserve learning and development
career planning and guidance whole-process performance management and salary incentive system regularly
evaluated and continuously monitored employees' engagement satisfaction level and corporate culture
evaluation index continuously improved employees' concerns and realized employees' personal development
goals while achieving organizational goals; In terms of protecting consumer rights we will improve the
function construction of official channel service platforms such as the 4008 service hotline brand official
website WeChat public account and Zhihuijia APP and handle user needs and problems in a timely manner.We will launch services such as the 180-day freshness preservation of Meiling M fresh refrigerators and
unconditional returns if you are not satisfied to improve consumer satisfaction. In terms of protecting supplier
rights we will establish a complete procurement management system timely optimize and revise system
documents unify information system tools strictly control every link of procurement business cultivate core
and strategic suppliers establish a high-end supply chain cultivation plan and form a collaborative cooperative
and win-win situation with suppliers. In terms of protecting the interests of stakeholders we will promote and
facilitate two-way communication and information sharing based on the principle of equality and mutual benefit
and strive to establish a win-win cooperation model of common development and growth with stakeholders
7. About information disclosure and transparency
During the reporting period the company strictly complied with relevant provisions of the Listing Rules of
Shenzhen Stock Exchange and the company's Information Disclosure Management System strengthened the
management of information disclosure affairs actively fulfilled its information disclosure obligations and
designated Securities Times China Securities Journal Hong Kong Commercial Daily and Juchao Information
Website（Juchao Website (www.cninfo.com.cn)）as the designated media for the company's information
disclosure implemented strict confidential procedures for material undisclosed inside information and
controlled the scope of informed personnel. The company earnestly fulfilled its obligations to disclose relevant
information in a true accurate timely and complete manner and ensured that all investors equally enjoy the
right to know and other legitimate rights and interests.
8. Investor relations management
The Company continued to well ensure investor relations management deepen communication and exchanges
with investors enhance investors' understanding and recognition of the company and safeguard investors'
legitimate rights and interests in accordance with the requirements of the Guidelines on Investor Relations
Management of Listed Companies Investor Relations Management System and Reception and Promotion Work
System. During the reporting period the Company adopted various forms of communication to strengthen
communication with investors and convey the progress of various businesses of the Company. By strengthening the
construction of the Company's website investors can know the Company's operation in a timely true and
comprehensive manner. The Company communicated with investors through the platform of investor relations in
Shenzhen Stock Exchange (https://irm.cninfo.com.cn/) fully listened to investors' opinions and suggestions and
earnestly safeguarded the interests of small and medium-sized investors; The Company earnestly answered and
59Annual Report 2024
replied to investors' visits and calls and received and replied to faxes and e-mails and treated media reports
cautiously; The Company seriously received the visits and consultations of investors and research institutions
upheld the principle of fairness impartiality and openness in the reception promptly disclosed the communication
contents with investors' research and ensured that all investors were entitled to the right to be informed and other
legitimate rights and interests equally. At the same time the Company also maintained smooth communication with
investors through multiple channels modes and platforms such as conference calls and investment strategy
meetings so as to enhance investors' understanding of the Company and improve the transparency of the Company's
operation.In order to help investors further understand the Company's operating performance and financial situation
the Company organized the 2023 online performance briefing meeting and achieved good results which helped
investors to understand the listed companies more comprehensively enhanced the transparency of the Company
earnestly safeguarded the legitimate rights and interests of investors and continuously promoted and improved the
management level of investor relations in the Company. The Company insisted on safeguarding equity interests and
the principle of rewarding shareholders aiming at providing investors with long-term steady and rising dividend
returns. During the reporting period the Company formulated the Shareholders' Return Plan for the Next Three
Years (2024 -2026) to share the development achievements with its shareholders.(ii)Whether there are significant differences between the actual state of corporate governance and laws
administrative regulations and the provision with governance concerned for listed companies issued by CSRC
□Yes √ No
There are no significant differences between the actual state of corporate governance and laws administrative
regulations and the provision with governance concerned for listed companies issued by CSRC
II. Independence of the Company relative to controlling shareholder and the actual controller in ensuring the
Company’s assets personnel finance organization and businesses
The Company totally separated in business personnel assets institutions and financial aspects from Sichuan
Changhong (controlling shareholder) and actual controller State-owned Assets Supervision & Administration
Commission of Mianyang Municipality with independent business accounting responsibility and risk and
independent business operation capability.
1. The business: the Company has an independent and complete business as well as operation ability with
specialized procurement production technology marketing management human resources and other
departments. We autonomously manage and operate business on our own. While the management staff are
independent from controlling shareholders and their subordinate enterprises. The Company is free from
interference by controlling shareholders and other affiliates and there is no dependence on controlling
shareholders and other affiliates.
2. The personnel: personnel labor personnel and salary of the Company are completely independent. President
vice president person in charge of finance Secretary of the board of directors and other senior management
personnel are working in the Company and receive salary not receiving any remuneration and holding position
of any except directors supervisors in the controlling shareholder and its subordinate enterprises.
3. Assets: the Company owns places of production and management independent from its controlling
shareholder owns complete assets structure independent production system auxiliary production systems and
supporting facilities land use rights ownership of houses and other assets and independent purchase and sales
60Annual Report 2024
system. No assets occupied by controlling shareholders and other affiliates.
4. Institutions: the Company established organization completely independent from controlling shareholders;
the general meeting board of directors board of supervisors and the internal organization are capable of taking
independent action with no controlling shareholder intervention of corporation's decision-making behavior. The
Company strengthen the power restriction system via general meeting the Board supervisory committee
independent directors and vary committees formulated an effective structure for corporate governance.
5. Financial aspects: the Company set up independent financial management and independent accounting
system and financial management system independently setting up banking account and tax declaration.III. Horizontal competition
□ Applicable √ Not applicable
IV. In the report period the Company held annual shareholders’ general meeting and extraordinary
shareholders’ general meeting
(i) Annual Shareholders’ General Meeting in the report period
Ratio of
Session of
Type investor Date Date of disclosure Index of disclosure
meeting
participation
Juchao Website
AGM of 2023 AGM 44.8860% April 252024 April 262024www.cninfo.com.cn( Announcement No.:2024-024）
First
Extraord
Extraordinary Juchao Website
inary
General 42.7763% June 182024 June 192024General www.cninfo.com.cn( Announcement No.:2024-036）
Meeting of
Meeting
2024
Second
Extraord
Extraordinary Juchao Website
inary
General 46.8113% October 292024 October 302024General www.cninfo.com.cn( Announcement No.:2024-060）
Meeting of
Meeting
2024
Third
Extraord
Extraordinary Juchao Website
inary
General 38.2484% December 272024 December 282024General www.cninfo.com.cn( Announcement No.:2024-076）
Meeting of
Meeting
2024
(ii) Request for extraordinary general meeting by preferred stockholders whose voting rights restore
□ Applicable √ Not applicable
61长虹美菱股份有限公司2024年年度报告全文
V. Directors supervisors and senior officers
(i) Basic information
Shares held Shares held Reasons for
Worki Number of shares Number of shares Other
Start dated of office End date of office at at increase or
Name Title ng Sex Age increased in this decreased in this changes
term term period-begi period-end decrease of
status period (share) period (share) (share)
n (share) (share) shares
Wu In Not
Chairman Male 52 April 282019 June 182027 570500 0 0 0 570500
Dinggang office applicable
In Not
Zhao Qilin Director Male 49 December 232021 June 182027 0 0 0 0 0
office applicable
In Not
Yi Suqin Director Female 46 June 182024 June 182027 0 0 0 0 0
office applicable
In Not
Cheng Ping Director Male 55 June 182024 June 182027 0 0 0 0 0
office applicable
In
Director May 212019 June 182027 Not
office
applicable
Zhong Ming Office Male 52 236175 0 0 0 236175
Not
President leavin December 112020 November 222024
注 applicable
g
In Not
Fang Wei Director Male 55 June 182024 June 182027 0 0 0 0 0
office applicable
Independen In Not
Mou Wen Female 58 October 122020 October 122026 0 0 0 0 0
t director office applicable
Hong Independen In Not
Male 49 October 122020 October 122026 0 0 0 0 0
yuanjia t director office applicable
Cheng Independen In Not
Male 55 June 182024 June 182027 0 0 0 0 0
Wenlong t director office applicable
Chairman
In Not
Qiu Jin of Male 50 June 182024 June 182027 0 0 0 0 0
office applicable
Supervisory
In Not
Ma Yu Supervisor Male 42 June 182024 June 182027 0 0 0 0 0
office applicable
Staff In Not
Ji Ge Female 43 December 252017 June 282027 0 0 0 0 0
supervisor office applicable
Tang Deputy In Not
Male 54 March 292021 June 182027 800000 0 0 0 800000
Youdao president office applicable
Office
Not
Director leavin July 32014 June 182024
Kou 注 2 applicable g Male 55 0 0 0 0 0
Huameng Not
Vice In
November 222017 June 182027 applicable
president office
62长虹美菱股份有限公司2024年年度报告全文
Office
Not
Director leavin June 212018 June 182024注
Hu Zhaogui g 2
applicable
Male 50 178050 0 0 0 178050
Not
Vice In
June 212018 June 182027 applicable
president office
Vice Not
June 182024 June 182027 0
president In applicable
Li Xia Female 44 414600 0 0 414600
Secretary of office Not
May 222009 June 182027
the Board applicable
In Not
Pang Haitao CFO Male 49 October 252017 June 182027 0 0 0 0 0
office applicable
Office
Yong Not
Director leavin Male 56 September 122017 June 182024 0 0 0 0 0
Fengshan 注 2 applicable g
Office
Independen Not
Zhao Gang leavin Male 46 October 122020 June 182024 0 0 0 0 0
t director 注 2 applicable g
Chairman Office
Not
Shao Min of leavin Male 42 September 122017 June 182024 0 0 0 0 0
注 applicable
Supervisory g 2
Office
Not
He Xintan Supervisor leavin Male 44 September 122017 June 182024 0 0 0 0 0
注 2 applicable g
Office
Not
Huang Hong Supervisor leavin Female 54 September 122017 June 182024 0 0 0 0 0
注 2 applicable g
Office
Sun Staff Not
leavin Female 53 March 302021 June 182024 0 0 0 0 0
Hongying supervisor 注 2 applicable g
Office
Huang Vice Not
leavin Male 55 September 122017 June 182024 356450 0 0 0 356450
Danian president 注 2 applicable g
Total -- -- -- -- -- -- 2555775 0 0 0 2555775 --
Note 1: On June 18 2024 the 10th Board of Directors and the Board of Supervisors of the Company were re-elected. After review and approval at the First
Extraordinary General Meeting of Shareholders in 2024 it was agreed to elect Mr. Wu Dinggang Mr. Zhao Qilin Ms. Yi Suqin Mr. Cheng Ping Mr. Zhong Ming and
Mr. Fang Wei as non-independent directors of the 11th Board of Directors of the Company; elect Ms. Mu Wen Mr. Hong Yuanjia and Mr. Cheng Wenlong as
independent directors of the 11th Board of Directors of the Company; and elect Mr. Qiu Jin and Mr. Ma Yu as supervisors of the 11th Board of Supervisors of the
Company.On June 17 2024 on the second meeting of the 9th Employee Congress of the Company it is agreed to democratically elect Ms. Ji Ge as the employee supervisor of the
11th Board of Supervisors of the Company.
63长虹美菱股份有限公司2024年年度报告全文
On June 18 2024 the Company held the first meeting of the 11th Board of Directors to hold a general election for senior management and agreed to appoint Mr. Zhong
Ming as the president of the Company Mr. Tang Youdao Mr. Kou Huameng and Mr. Hu Zhaogui as vice presidents of the Company Ms. Li Xia as the vice president
and secretary of the Board of Directors of the Company and Mr. Pang Haitao as the financial controller of the Company.Note 2: On November 22 2024 Mr. Zhong Ming the former president of the Company resigned as the president of the Company due to personal work changes. On the
same day the Company held the sixth meeting of the 11th Board of Directors and authorized Mr. Tang Youdao the vice president of the Company to act as the
president of the Company from the date of review and approval by the Board of Directors to the date of appointment of a new president by the Board of Directors.
64Annual Report 2024
1. During the reporting period whether there was any departure of directors and supervisors and dismissal
of Senior Officers
√Yes □No
(1)On June 18 2024 the 10th Board of Directors of the Company was re-elected and Mr.YongFengshan
the director left after his term expired.
(2)On June 18 2024 the 10th Board of Directors of the Company was re-elected and Mr. Kou Huameng the
director left after his term expired however he was appointed as the vice president by the 11th Board of Directors.
（3）On June 18 2024 the 10th Board of Directors of the Company was re-elected and Mr. Hu Zhaogui the
director left after his term expired however he was appointed as the vice president by the 11th Board of Directors.
（4）On June 18 2024 the 10th Board of Directors of the Company was re-elected and Mr. Zhao Gang the
incdependent director left after his term expired.
（5）On June 18 2024 the 10th Board of supervisors of the Company was re-electedand Mr. Shao Min
Chairman of the Board of Supervisors left after his term expired.
（6）On June 18 2024 the 10th Board of supervisors of the Company was re-electedand Mr. He Xintan the
supervisor of the Board of Supervisors left after his term expired.
（7）On June 18 2024 the 10th Board of supervisors of the Company was re-electedand Ms. Huang Hong
the supervisor of the Board of Supervisors left after his term expired.
（8）On June 18 2024 the 10th Board of supervisors of the Company was re-electedand Ms. Sun Hongying
the supervisor of the Board of Supervisors left after his term expired.
（9）On June 18 2024The Company held the first meeting of the 11th Board of Directors to change the
senior management. Mr. Huang Danian no longer served as the vice president.
（10）On November 222024，Mr. Zhong Ming the former president of the Company resigned due to
personal work changes. After his resignation he would continue to serve in the Company as a director a member of
the Strategy Committee under the Board of Directors a member of the Nomination Committee and a member of the
ESG Management Committee.
2. Changes of directors supervisors and senior executives
√Applicable □Not applicable
Name Title Types Date Reason
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Wu Dinggang as a
non-independent director of the 11th Board of
Director Elected June 182024 Directors of the Company with a term of office of
three years which will take effect from the date of
Wu Dinggang
review and approval at the General Meeting of
Shareholders
According to the resolution of the first meeting of
Chairman Elected June 182024 the 11th Board of Directors of the Company it was
agreed to elect Mr. Wu Dinggang as the chairman
65Annual Report 2024
of the 11th Board of Directors of the Company
with a term of office from the date of review and
approval by the Board of Directors of the
Company to the date of expiration of his term of
office in the current Board of Directors.After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Zhao Qilin as a
non-independent director of the 11th Board of
Zhao Qilin Director Elected June 182024
Directors of the Company with a term of office of
three years which will take effect from the date of
review and approval at the General Meeting of
Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Ms. Yi Suqin as a
non-independent director of the 11th Board of
Ye Suqin Director Elected June 182024
Directors of the Company with a term of office of
three years which will take effect from the date of
review and approval at the General Meeting of
Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Cheng Ping as a
non-independent director of the 11th Board of
Cheng Ping Director Elected June 182024
Directors of the Company with a term of office of
three years which will take effect from the date of
review and approval at the General Meeting of
Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Zhong Ming as a
non-independent director of the 11th Board of
Director Elected June 182024
Directors of the Company with a term of office of
three years which will take effect from the date of
review and approval at the General Meeting of
Shareholders
According to the resolution of the first meeting of
Zhong Ming the 11th Board of Directors of the Company it was
agreed to elect Mr. Zhong Ming as the Vice
President Appoint chairman of the 11th Board of Directors of the June 182024
Company with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.Due to personal reasons he appoint to resign
President Dimission November 222024 from his position as executive vice president of
the company
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Fang Wei as a
Fang Wei Director Elected June 182024
non-independent director of the 11th Board of
Directors of the Company with a term of office of
three years which will take effect from the date of
66Annual Report 2024
review and approval at the General Meeting of
Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Ms. Mou Wen
Independent
Elected asanindependent director of the 11th Board of Mou Wen director June 182024 Directors of the Company with a term of office of
three years which will take effect from the date of
review and approval at the General Meeting of
Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Hong
Independent
Hong Yuanjia Elected Yuanjiaasanindependent director of the 11th
director June 182024 Board of Directors of the Company with a term of
office of three years which will take effect from
the date of review and approval at the General
Meeting of Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Cheng
Cheng Independent Elected Wenlongasanindependent director of the 11th June 182024
Wenlong director Board of Directors of the Company with a term of
office of three years which will take effect from
the date of review and approval at the General
Meeting of Shareholders
After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr.Qiu Jian as the
Supervisor Elected June 182024 shareholder representative supervisor of the 11th
Board of supervisors of the Company with a term
of office of three years which will take effect from
the date of review and approval at the General
Qiu Jin Meeting of Shareholders.According to the resolution of the first meeting of
the 11th Board of Supervisors of the Company it
Chairman of was agreed to elect Mr. Qiu Jin as the chairman of
Elected June 182024
Supervisory the 11th Board of supervisors of the Company
with a term of office of three yearsThe term of
office is consistent with the term of office of the
current Board of Supervisors.After review and approval at the First
Extraordinary General Meeting of Shareholders in
2024 it was agreed to elect Mr. Ma Yu as the
Supervisor Elected June 182024 shareholder representative supervisor of the 11th Ma Yu
Board of supervisors of the Company with a term
of office of three years which will take effect from
the date of review and approval at the General
Meeting of Shareholders.After democratic election by 2nd session of the
9th employee representative meeting Ms.Ji Ge
Ji Ge Staff supervisor Elected June 172024 was elected as the employee supervisor of the
11th board of supervisors with a term of office of
three yearsThe term of office is consistent with
67Annual Report 2024
the term of office of the current Board of
Supervisors.According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
appoint Mr. Tang Youdao as the Company's vice
president. with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
June 182024 November of office in the current Board of Directors.Tang Youdao Vice president Appoint
222024
According to the resolution of the Sixth meeting of
the 11th Board of Directors it was agreed to
appoint Mr. Tang Youdao as the Company's vice
president. with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.When the Board of Directors changes he will
Director Dimission June 182024
resign at the expiration of his term of office.According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
Kou Huameng appoint Mr. Kou Huameng as the Company's vice
Vice president Appoint June 182024 president. with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.When the Board of Directors changes he will
Director Dimission June 182024
resign at the expiration of his term of office.According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
Hu Zhaogei
appoint Mr. Huu Zhaogui as the Company's vice
Vice president Appoint June 182024 president. with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
appoint Ms. Li Xia as the Company's vice
Vice president Appoint June 182024 president. with a term of office from the date of
review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.Li Xia
According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
appoint Ms. Li Xia as the Company's secretary of
Secretary of the
Appoint June 182024 the board. with a term of office from the date of
Board review and approval by the Board of Directors of
the Company to the date of expiration of his term
of office in the current Board of Directors.Pang Haitao CFO Appoint June 182024 According to the resolution of the first meeting of
the 11th Board of Directors it was agreed to
68Annual Report 2024
appoint Mr.Pang Haitao
as the Company's CFO. with a term of office from
the date of review and approval by the Board of
Directors of the Company to the date of expiration
of his term of office in the current Board of
Directors.Yong When the Board of Directors changes he will Director Dimission June 182024
resign at the expiration of his term of office.Fengshan
Independent When the Board of Directors changes he will
Zhao Gang Dimission June 182024 resign at the expiration of his term of office.director
Chairman of When the Board of Supervisors changes he will
Shao Min Supervisory Dimission
June 182024
resign at the expiration of his term of office.When the Board of Directors changes he will
He Xintan Supervisor Dimission June 182024 resign at the expiration of his term of office.When the Board of Directors changes he will
Hong Hong Supervisor Dimission June 182024 resign at the expiration of his term of office.When the Board of Supervisors changes he will
Sun Hongying Staff supervisor Dimission June 182024 resign at the expiration of his term of office.Vice president June 182024 He will resign at the expiration of his term of Huang Danian Dimission
office.(ii) Post-holding
1. Professional background major working experience and present main responsibilities in Company of
directors supervisors and senior executive at the present
(1) Wu Dinggang male the Han nationality from Suining Sichuan Province was born in March 1973 Member
of CPC owns bachelor degree graduate from Tianjin University of Commerce China (Tianjin University of
Commerce now) major in refrigeration equipment and cryogenic technique. He served successively as GM of
Suining Sale Branch and Chengdu Sales Branch of Sichuan Changhong Electric Co. LTD director of Sichuan
and Chongqing Marketing Management Department of Sichuan Changhong Electric Co. LTD deputy GM of
Changhong Electronics (China) Marketing Co. GM of market planning center of Changhong Multimedia Industry
director and GM of Le-Jia-Yi Chain Management Co. Ltd. ZhongkeMeiling Cryogenic Technology Co. Ltd.director and GM of Sichuan Changong Air Conditioner Co. Ltd and deputy president president deputy chairman
and Party Secretary of the Company. Currently he serves as director vice GM of Sichuan Changhong Electric Co.Ltd. chairman of the Company; Chairman of Zhongshan Changhong Electric Co. LTD; Chairman of Sichuan
Changhong Air-conditioner Co. Ltd. and Chairman of ZhongkeMeiling Cryogenic Technology Co. Ltd.
(2)Zhao Qilin male Han nationality born in September 1975 graduated from Southwestern University of
Finance and Economics with a bachelor's degree in rural finance and served as accountant of the financial
department investment project manager asset management manager of asset management department manager
of investment management department and securities affairs representative of Sichuan Changhong Electric Co.Ltd.; financial manager of Sichuan Changhong Innovation Investment Co. Ltd.; chief financial officer and and
joint company secretary of Changhong Jiahua Holdings Co. Ltd.. He currently serves as secretary of the board
general counsel office director of the board of directors and director of the asset management department of
Sichuan Changhong Electric Co. Ltd. director of Anjian Holdings Co. Ltd.director of Sichuan Changhong
Innovation Investment Co. Ltd.. and the director of the Company.
(3)YiSuqin female Han born in August 1978 in Xiantao Hubei Province member of the Communist Party of
China master's degree in Business Administration from University of Electronic Science and Technology of China
69Annual Report 2024
bachelor's degree in International Accounting from Zhongnan University of Economics and Law Senior
Accountant. She has served as the Leading Accountant of Jining Sales Branch and Shijiazhuang Sales Branch of
Sichuan Changhong Electric Co.Ltd. the Marketing Finance Director and Cost Director of Multimedia Company
of Sichuan Changhong Electric Co.Ltd. the Manager of Tax Section of Finance Department the Director of Tax
Section and the Senior Manager of Taxation and Integration of Sichuan Changhong Electric Co.Ltd. and the
Deputy Head of Financial Management Department of Sichuan Changhong Electric Co.Ltd.She is currently the
Head of the Finance Department of Sichuan Changhong Electronic Holdings Limited the Supervisor of Sichuan
Changhong Electric Co.Ltd. and the Director of the Company.
（4）Cheng Ping male Han born in September 1969 in Pujiang Sichuan bachelor's degree in Radio Technology
from the Radio Department of University of Electronic Science and Technology of China.He has served as the head
of the Technical Management Section of the Technical Quality Department and the Planning Technology
Department of Sichuan Changhong Electric Co.Ltd. concurrently as the General Manager of Sichuan
HongdianDigital Home Industry Technology Research Institute Co. Ltd. the director the deputy head and head of
the Science and Technology Management Department of Sichuan Changhong Electric Co.Ltd. He is currently the
head of Strategy and Technology Development Department of Sichuan Changhong Electronic Holdings Limited
the director of Sichuan Changhong Intelligent Health Technologies Co. Ltd. the director of Sichuan Changhong
Education Technology Co. Ltd. the director of Zhongjiu Shining Medical Technology Co. Ltd. and the director of
the Company.
（5）Zhong Ming male the Han nationality from Meishan Sichuan Province was born in November 1972
member of CPC a senior engineer doctoral degree EMBA degree from University of Science and Technology of
China PhD degree in Engineering Thermophysics. He successively served as deputy director of research
institution of Sichuan Changhong Air-conditioner Co. Ltd. deputy GM of Sichuan Changhong Air-conditioner
Co. Ltd. and technical director of household appliance group of Sichuan Changhong Electric Co. Ltd. He serves
as director President and Party Secretary of the Company currently Chairman of Zhongshan MeilingWulian
Technology Co. Ltd. Director of SichuangChanghong Air-conditioning Co. Ltd. and Director of Zhongke
Meiling Low Temperature Technology Co. Ltd.
（6）Fang Wei male Han born in September 1969 in Wuhu Anhui Province member of the Communist Party of
China Senior Accountant college degree has served as the head of Fund Section of the Finance Department of
Hefei Sifang Chemical Group Limited Liability Company the deputy head and head of the Planning and Finance
Department of Hefei Industrial Investment Holdings Co. Ltd. and the General Manager of the Planning and
Finance Department of Hefei Industrial Investment Holdings (Group) Co. Ltd.He is currently the Chief Economist
of Hefei Industrial Investment Holdings (Group) Co. Ltd. and the Director of the Company.
（7）Mou Wen female Han born in September 1965 in Hengshan Hunan Province master's degree in Business
Management from Sichuan University.She used to serve as a lecturer in the Business School of Sichuan University
an associate professor of accounting in the Business School of Sichuan University an independent director of Tibet
Mining Development Co. Ltd. Sichuan Jinlu Group Co. Ltd. Changhong Huayi Compressor Co. Ltd. Jinhui
Liquor Co. Ltd. Sichuan Teway Food Co. Ltd. Hebei Baoli Engineering Equipment Corporation Limited Fulin
Precision Machining Co.Ltd. and Chengdu Silicon Treasure Technology Co. Ltd. an independent director of
70Annual Report 2024
Sichuan Junyi Digital Technology Co. Ltd. and a member of the Investment Decision Advisory Committee of
Sichuan Chuanjiao Road & Bridge Co. Ltd. and a financial consultant of Sichuan Dakar Electric Co. Ltd. She is
currently an associate professor of accounting and a master tutor at the Business School of Sichuan University an
independent director of Tibet Mining Development Co. Ltd. an independent director of Chengdu RuixueFengtai
Precision Machinery Co. Ltd. and an independent director of the Company.
（8）Hong yuanjia male Han nationality born in February 1975 Shantou Guangdong holds a master degree
graduated from Shanghai University of Finance and Economics majoring in international business management
and is Fudan University MPAcc (Master of Accounting) CPA International Accountant (AIA) intermediate
accountant and intermediate economist. He once served as the foreign currency payable supervisor and
investment supervisor of China Eastern Airlines Co. Ltd. the deputy manager of the financial department of the
Shanghai Representative Office of SanchengHongji (Hong Kong) Co. Ltd. the accounting manager of General
Electric Lighting Co. Ltd. the accounting manager of General Electric Industrial Supply Co. Ltd. and Chief
Financial Officer of Lingji Electronics (General Electrical Industry System Power Supply). He is currently the
Chief Financial Officer of Asia Pacific Region of Yiluo Technology (Shanghai) Co. Ltd. and an independent
director of the Company.
（9）Mr. Cheng Wenlong male Han born in September 1969 in Ningguo City Anhui Provincedoctoral degree in
Engineering Thermophysics from China University of Science and Technology.He has served as a teaching assistant
lecturer associate professor and professor at the School of Engineering Science University of Science and
Technology of China.He is currently a professor and doctoral supervisor at the School of Engineering Science
University of Science and Technology of China a vice chairman of Anhui Refrigeration Society an independent
director of Beijing Zhongshi Weiye Technology Co. Ltd. and independent director of the Company.
（10）Qiu Jin male Han born in May 1974 in Jiangyou Sichuan bachelor's degree in accounting from Southwest
University of Science and Technology.He began to work in October 1996 and served as an accountant and chief
accountant in Jiangyou Post Office a project manager of Economic Benefit Department of Sichuan Changhong
Electric Co.Ltd. head of Audit Department of Changhong Meiling Co. Ltd. head of Marketing Audit Section and
head of Economic Benefit Section of Sichuan Changhong Electric Co.Ltd. head of Audit Department of Sichuan
Electronic Military Industry Group Co. Ltd. and an senior manager of Intelligent Integration of Sichuan
Changhong Electronic Holdings Limited He is currently the director of the Audit Department of Sichuan
Changhong Electric Co.Ltd. and the chairman of the Board of Supervisors of the Company.
（11）Ma Yu male Hui born in June 1982 in Mianyang Sichuan bachelor's degree in Trade and Economics from
Xi'an JiaotongUniversity.He began to work in July 2005 and has served as an overseas sales manager and a product
planning manager of product planning center of Sichuan Changhong Electric Co.Ltd. and an operation manager of
Strategic Management Department of Sichuan Changhong Electronic Holdings Limited.He is currently the risk
control manager of the Compliance and Risk Control Department of Sichuan Changhong Electronic Holdings
Limited and the supervisor of the Company.
（12）Ji Ge female Han born in January 1982 in Nanyang Henan Province bachelor's degree in law from Hunan
University and master's degree in law from Anhui University.She began to work in July 2005 and has served as an
Legal Commissioner Legal Officer Intellectual Property Director of the Legal Department Head of the Legal
71Annual Report 2024
Department Head of the Board Office and Compliance and Risk Control Department of Changhong Meiling Co.Ltd.She is currently the director of the Board Office and Compliance Risk Control Department employee
supervisor director of the Party Committee Office and director of the Committee Office for Discipline Inspection of
the Company.
（13）Tang Youdao male Han born in July 1970 in Xuancheng Anhui Province bachelor's degree in Industrial
Management Engineering from Wuhan University of Technology. He has served as an overseas marketing manager
head of Marketing Department head of Overseas Marketing Department general manager of Overseas Business
Department general manager of Ice Washing Business Headquarters and general manager of International Ice
Washing Business Department. He is currently the vice president of the Company (acting as the president).
（14）Kou Huameng male the Han nationality from Yanting Sichuan Province was born in February 1970
Member of CPC master degree candidate EMBA graduate from UESTC. He served successively as deputy
director of production office of Sichuan Changhong Electric Co. LTD director of Guangxi Marketing
management Committee director of Fujian-Jiangxi Marketing Management General Manager of Changhong
Audiovisual Company and director and GM of Guangdong Changhong Digital Technology Co. Ltd.; Sichuan
Changhong Electric Co. Ltd director of development management department of Sichuan Changhong Electric
Co. Ltd. and director of ChanghongHuayi Compressor Co. Ltd.; now he serves as director and deputy president
of the Company.
（15）Hu Zhaogui male the Han nationality born in Feixi Hefei in October 1974 a member of the Communist
Party of China holds a master’s degree graduated from Chongqing University as a master of business
administration. He has served successively as the head of marketing and sales department stationed abroad of
Hefei Meiling Co. Ltd. assistant president and general manager of the freezer and washing machine business
division and general manager of the domestic marketing division. He is currently the director and vice president
of the Company and the general manager of Sichuan Changhong Air Conditioner Co. Ltd.
（16）Li Xiafemale the Han nationality from Qionglai Sichuan Province was born in October 1980 Member of
CPC and Intermediate Accountant with Master Degree. She graduated from Accounting Department of Sichuan
University Business and Management School. She ever was Project Manager in Financing & Acquisition Office
of Asset Management Department and Business Executive in Board Office of Sichuan Changhong Electronic Co.Ltd. she took the posts of Deputy GM and Financial Supervisor of Sichuan Changhong Innovation Investment Co.Ltd. and chairman of supervisory committee ofZhongkeMeiling Cryogenic Technology Co. Ltd. She is the
Secretary of the Board deputy secretary of the Party secretary of discipline inspection commission and general
counselof the Company recently.
（17）Pang Haitao male Han nationality was born in Qionghai Hainan in May 1975 a member of the
Communist Party of China a senior accountant a senior political engineer and a bachelor degree holder and
earned the EMBA degree from Jiangxi University of Finance and Economics. He used to be a member of the
finance department the director of related transactions and the director of capital operations of Sichuan
Changhong Electric Co. Ltd. the chief of finance office of Guangdong Changhong Electronics Co. Ltd. the
director ofgeneral ledger the head of general management office and the head of general ledger management
office of the finance department of Sichuan Changhong Electric Co. Ltd. the deputy general manager and chief
financial officer of Sichuan Changhong Development Co. Ltd. the deputy general manager and chief accountant
of Huayi Compressor Co. Ltd. Currently he is the chief financial officer (person in charge of finance) of the
Company.
2. Post-holding in shareholder’s unit
√ Applicable □ Not applicable
72Annual Report 2024
Drawing
remuneration and
Start date of office End date of office
Name Shareholder’s unit Title allowance from
term term
shareholder’s unit
(Y/N)
Sichuan
Wu Dinggang Changhong Deputy GM 2019.1.11 2026.12.28 Yes
Electric Co. Ltd.Secretary of the
2020.12.16 2026.12.28 Yes
Board of Directors
Chief Compliance
2022.11.25 2026.12.28 No
Officer
General counsel 2022.02.14 - No
Director of the
Sichuan
office of the Board 2021.03.29 - No
Zhai Qilin Changhong
of Directors
Electric Co. Ltd.Director of the
management office 2023.01.09 - No
of ESG
The Minister of
the General
2024.01.26 - No
Management
Department
Sichuan
Yi Suqin Changhong Supervisor 2023.12.29 2026.12.28 No
Electric Co. Ltd.Hefei Industrial
Investment
Fang Wei Chief Economist 2022.01.11 - Yes
Holding （Group）
Co. Ltd.Sichuan
Qiu Jin Changhong Audit minister 2021.04.01 - Yes
Electric Co. Ltd.Post-holding in shareholder’s unit N/A
3. Post-holding in other unit
√ Applicable □ Not applicable
Drawing
remuneration
Start date of End date of office
Name Other unit Title and allowance
office term term
from other
unit (Y/N)
Sichuan Changhong Innovation
Director 2021.01.21 - No
Investment Co. Ltd.WIDEMIRACLELIMITED Director 2014.07.14 - No
Ganghong Industrial Co. Ltd. Director 2013.06.18 - No
SUFFICIENTVALUEGROUPL
Zhao Qilin Director 2013.06.18 - No
IMITED
ChanghongJiahua (Hong Kong)
Director 2021.01.08 - No
Information Products Co. Ltd.Anjian Holdings Co. Ltd. Director 2012.01.19 - No
Guangzhou Huanwang
Director 2022.05.23 No
Technology Co. Ltd.
73Annual Report 2024
Changhong Jiahua Holdings
Executive director 2023.03.17 - No
Co. Ltd.MianyangChanghong
Chairman 2023.08.15 - No
Technology Co. Ltd.Sichuan Changhong Minsheng
Chairman 2024.05.16 - No
Logistic Co. Ltd.Sichuan Changhong Electronics
Minster of finance 2024.01.26 - Yes
Holding Group Co. Ltd..Yi Suqin
Sichuan Changhong Group
Director 2024.07.25 - No
Finance Co. Ltd.Minister of
Strategy and
Sichuan Changhong Electronics
Science and 2023.10.27 - Yes
Holding Group Co. Ltd.Technology
Development
ZhongjiuShanguang Medical
Director 2022.09.15 - No
Technology Co. Ltd.Cheng Sichuan Changhong New Director 2023.02.10 - No
Ping Material Technology Co. Ltd.Sichuan ChanghongEducation
Director 2018.04.20 - No
Technology Co. Ltd
Sichuan Changhong Smart
Director 2023.08.04 - No
Health Technology Co. Ltd
Sichuan Ansifei Technology
Chairman 2023.07.26 - No
Co. Ltd.Zhong Sichuan Qiruk Technology Co. Director General
2024.12.10 2026.12.09 Yes
Ming Ltd. Manager
Hefei Venture Capital Guide
Chairman 2024.02.02 - No
Fund Co. Ltd
efei Science and Technology
Rural Commercial Bank Co. Director 2022.07.09 - No
Ltd
Science Island Hefei
Technology Innovation Chairman 2023.05.02 - No
Engineering Institute Co. Ltd
Hefei Life Health Industry
Chairman 2024.01.10 - No
Development Co. Ltd
Fang Wei
Ma'Anshan Iron and Steel
Director 2022.04.15 No
(Hefei) Co. LTD
Changxin Technology
Director 2022.09.19 No
GroupCo. Ltd.Hefei Medical Device
Inspection and Testing Center Executive director 2024.05.27 No
Co. Ltd
Anhui Amway Materials
Director 2024.02.02 No
Technology Co. Ltd
74Annual Report 2024
Associate
Business School of Sichuan
professor master 1995.02 - Yes
University
tutor
Tibet Mining Development Co. Independent
Mou Wen 2021.03.09 2027.06.01 Yes
Ltd. director
hengduRuixueFengtai Precision Independent
2025.01.01 2027.12.31 Yes
Electronics Shares Co. Ltd. director
Hong YiluoTechnology( Shanghai) CFO of Asia
Yuanjia Co. Ltd. pacific 2014.06 - Yes
Teacher and
University of Science and
doctoral 2014.06.01 - Yes
Technology of China
Cheng supervisor
Wenlong
Beijing Zhongshi Weiye Independent
2022.01.24 2025.01.24 Yes
Technology Co. Ltd director
Chairman of the
Sichuan Changhong Jiahua
Board of 2023.05.31 2026.05.30 No
Information Products Co. Ltd
Supervisors
Chairman of the
Sichuan Hongxin Software Co.Board of 2022.07.01 2025.06.30 No
Ltd
Supervisors
Sichuan Changhong
Communication Technology Supervisor 2018.09.13 2027.09.12 No
Co. Ltd
Qiu Jin Sichuan Changhong Cloud
Supervisor 2018.04.11 2027.04.10 No
Computing Co. Ltd
Beijing Changhong Information
Supervisor 2021.12.02 2027.12.01 No
Technology Co. LTD
Sichuan Changhong
Supervisor 2024.04.10 2027.04.09 No
International Hotel Co. Ltd
Sichuan Temons Hotel Co. Ltd Supervisor 2024.04.15 2027.04.14 No
Manager of the
Sichuan Changhong Electronics Compliance and
Ma Yu 2021.04 - Yes
Holding Group Co. Ltd Risk Control
Department
Sichuan Zhiyijia Network
Director 2019.07.25 - No
Technology Co. Ltd.Hu Sichuan TianyouGuigu
Director 2018.01.16 - No
Zhaogui Technology Co. Ltd.Chengdu Guigu Environmental
Director 2018.06.30 - No
Tech. Co. Ltd.Pang Hefei Xingmei Asset
Director 2018.02.05 - No
Haitao Management Co. Ltd.Post-holdi
ng in other N/A
unit
4. Punishment of securities regulatory authority in recent three years to the company’s current and
outgoing directors supervisors and senior management during the reporting period
□ Applicable √ Not applicable
75Annual Report 2024
(iii) Remuneration of directors supervisors and senior executives
1. Decision-making determine basis and actually payment of remuneration for directors supervisors and
senior executives
(1) Procedure for deciding remunerations of directors supervisors and senior management
Implemented in line with laws regulations and relevant rules of “Company Law” “Article of Association” and
“Enforcement Regulation of Remuneration and Evaluation Committee of the Board” including:
Allowance plan of independent directors are implemented after deliberated in the Board and approved in
Shareholders’ General Meeting. Other directors and non-staff supervisors except independent directors are
received no remuneration from the Company.Remuneration of senior executives are deliberated and approved by the Board according to remuneration
evaluation plan together with opinions of Remuneration and Evaluation Committee.The remuneration appraisal and payment for directors and senior executive of the Company for Current Year will
disclose in the Annual Report after review without objection from Remuneration & Appraisal Committee of the
Board and submit to the BOD for Current Year.
(2) Bases on which remunerations of directors supervisors and senior management are decided
According to the company's basic salary system combined with the industry salary level and salary orientation
following the salary management concept of "post value reflected and performance-oriented" giving full play to
the incentive function of salary closely combining employee compensation with the company's overall
performance according to the company's performance management rules the annual performance evaluation on
the work of senior management personnel is carried out and the performance salary is cashed according to the
performance evaluation results.
(3) Actual payment of remunerations of directors supervisors and senior management
Allowance of the independent directors are paid by the standards approved in Annual Shareholders’ General
Meeting other director who serves as senior executive at the same time and non-staff supervisors except
independent directors did not received remuneration from the Company; remunerations for senior executives of
the Company are paid strictly by the unify remuneration valuation mechanism of the Company.Directors supervisors and senior executives of the Company has 17 in total up to 31 December 2024 actually 10
person receiving remuneration from the Company 3 staff supervisors are received their remuneration by actual
positions (non-supervisor post); furthermore 3 independent directors are received the allowance monthly from the
Company; the Company will pay remuneration to 5 senior executives in line with the performance appraisal by
monthly quarterly and annual.During the reporting period the Company has established the executive compensation and performance
management program for the senior management of 2022 in accordance with the main scope the responsibilities
the importance of the management positions of the senior management and the compensation level of other
relevant company and position the program includes but not limited to the company's key performance indicator
(KPI) and performance evaluation criteria procedures and major evaluation system; the major programs of the
reward and punishment; review the performance of duties of the company's senior management and conduct the
annual performance appraisal.
2. Remuneration for directors supervisors and senior executives in reporting period
In RMB 10000
Whether
Total remuneration
remuneration
obtained from the
Name Sex Age Title Post status obtained from
Company (before
related party of
taxes)
the Company
Yes
Wu
Male 52 Chairman In Office 0
Dinggang
Zhao Qilin Male 49 Director In Office 0 Yes
Yi Suqin Female 46 Director In Office 0 Yes
Cheng Ping Male 55 Director In Office 0 Yes
Zhong Male 52 Director In Office 137.49 Yes
76Annual Report 2024
Ming
Fang Wei Male 55 Director In Office 0 Yes
Independent
Mou Wen Female 58 In Office 11.9 No
director
Hong Independent
Male 49 In Office 11.9 No
Yuanjia director
Cheng Independent
Male 55 In Office 6.35 No
Wenlong director
Chairman of
Qiu Jin Male 50 In Office 0 Yes
Supervisory
Ma Yu Male 42 Supervisor In Office 0 Yes
Ji Ge Female 43 Staff supervisor In Office 49.69 No
Tang
Male 54 Vice president In Office 214.4 No
Youdao
Kou
Male 55 Vice president In Office 94.11 No
Huameng
Hu
Male 50 Vice president In Office 112.22 No
Zhaogui
Vice president
Li Xia Female 44 Secretary of the In Office 82.14 No
Board
Pang
Male 49 CFO In Office 94.87 No
Haitao
Yong
Male 56 Director Dimission 0 No
Fengshan
Independent
Zhao Gang Male 46 Dimission 5.55 No
director
Chairman of
Shao Min Male 42 Dimission 0 Yes
Supervisory
He Xintan Male 44 Supervisor Dimission 0 Yes
Huang
Female 54 Supervisor Dimission 0 Yes
Hong
Sun
Female 53 Staff supervisor Dimission 35.52 No
Hongying
Huang
Male 55 Vice president Dimission 64.5 No
Danian
Total -- -- -- -- 920.64 --
OtherNote
77Annual Report 2024
□Applicable √Not applicable
VI. Responsibility performance of directors during the reporting period
(i) The board of directors during the reporting period
Session of meeting Date of meeting Disclosure date Meeting resolutions
The Board of Directors reviewed and approved 3
proposals namely Proposal on Establishing ESG
Management Organizational Structure of the
Company Proposal on Formulating Detailed Rules for
the Implementation of ESG Management Committee
of the Board of Directors and Proposal on the
The 40th session of 10thBOD February 192024 February 202024
Refrigerator Front-end Capacity Improvement Project
of Hefei Manufacturing Base of the Company.for details please refer to the "Resolution Notice of
the 40th session of 10thBOD" (No. 2024-004) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved the
Proposal on Establishing a wholly-owned Subsidiary
by Sichuan Changhong Air Conditioning Co. Ltd.for
The 41stsession of 10thBOD March 142024 March 152024 details please refer to the "Resolution Notice of the
41stsession of 10thBOD" (No. 2024-006) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 33
proposals including 2023 Annual Report and
Summary of Annual Report 2023 Work Report of the
Board of Directors 2023 Work Report of the
President 2023 Financial Statement Report and 2023
The 42ndsession of 10thBOD March 282024 March 302024
Debriefing Report of Independent Directors.for details please refer to the "Resolution Notice of
the 42ndsession of 10thBOD" (No. 2024-007) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 5
proposals including the Report on the First Quarter of
2024 the Proposal on Provision for Credit Impairment
and the Proposal on Provision for Asset Impairment.The 43rd session of 10thBOD April 192024 April 202024
for details please refer to the "Resolution Notice of
the 43rdsession of 10thBOD" (No. 2024-020) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 7
proposals including the Proposal on Amending Some
Provisions of the Company's Articles of Association
the Proposal on Amending Some Articles of the
Company's Authorization Management System and
the Proposal on Increasing the Use of the Company's
The 44thsession of 10thBOD May 312024 June 12024
Own Idle Funds to Invest in Wealth Management
Products.for details please refer to the "Resolution Notice of
the 44thsession of 10thBOD" (No. 2024-026) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The 1sr session of 11thBOD June 182024 June 192024 The Board of Directors reviewed and approved 8
78Annual Report 2024
proposals including the Proposal on Electing the
Chairman of the 11th Board of Directors of the
Company and the Proposal on Establishing Special
Committees under the 11th Board of Directors of the
Company.for details please refer to the "Resolution Notice of
the 1stsession of 11thBOD" (No. 2024-038) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 7
proposals including the Full Text and Summary of the
Semi-annual Report in 2024 Proposal on Provision
for Credit Impairment and Proposal on Provision for
The 2ndsession of 11thBOD August 152024 August 172024 Asset Impairment.for details please refer to the "Resolution Notice of
the 2ndsession of 11thBOD" (No. 2024-041) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 20
proposals including Proposal on Acquisition of
Equity and Related Transactions of Hefei Changhong
Industry Co. Ltd. and Proposal on Increasing the
The 3rd session of 11thBOD October 112024 October 122024 Estimated Daily Related Transactions in 2024.for details please refer to the "Resolution Notice of
the 3rdsession of 11thBOD" (No. 2024-046) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 4
proposals including the Report on the Third Quarter
of 2024 and the Proposal on Provision for Credit
Impairment.The 4thsession of 11thBOD October 222024 October 232024
for details please refer to the "Resolution Notice of
the 4thsession of 11thBOD" (No. 2024-055) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved one
proposal namely the Proposal on Extension and
Related Transactions of Sichuan Hongyun New
Generation Information Technology Venture Capital
The 5thsession of 11thBOD November 42024 November 52024 Fund Partnership Enterprise (Limited Partnership).for details please refer to the "Resolution Notice of
the 5thsession of 11thBOD" (No. 2024-061) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved the
Proposal on Authorizing the Company's Vice
President Mr. Tang Youdao to act as President
The 6thsession of 11thBOD November 222024 November 232024 for details please refer to the "Resolution Notice of
the 6thsession of 11thBOD" (No. 2024-065) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).The Board of Directors reviewed and approved 4
The 7thsession of 11thBOD December 22024 - proposals including the Proposal on Improving the
Technical Capability of the Company's Testing Center
79Annual Report 2024
and the Proposal on the Technology Platform
Switching and Manufacturing System Capability
Improvement Project of the Subsidiary Sichuan
Changhong Air Conditioning Co. Ltd.The Board of Directors reviewed and approved 7
proposals including the Proposal on Predicting Daily
Related Transactions in 2025 and the Proposal on
Predicting Continuous Related Transactions between
the Company and Its Subsidiaries and Sichuan
The 8thsession of 11thBOD December 112024 December 122024
Changhong Group Finance Co. Ltd. in 2025
for details please refer to the "Resolution Notice of
the 8thsession of 11thBOD" (No. 2024-067) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).It reviewed and approved the Proposal on Offering
The 9thsession of 11thBOD December 162024 —— Special Performance Awards to the Company's Senior
Management in 2023.The Board of Directors reviewed and approved one
proposal namely the Proposal on Amending the "Risk
Disposal Plan of Changhong Meiling Co. Ltd. on the
Financial Business of Deposits and Loans in Sichuan
The 10hsession of 11thBOD December 312024 January 22025 Changhong Group Finance Co. Ltd.".for details please refer to the "Resolution Notice of
the 10thsession of 11thBOD" (No. 2025-001) on the
cninfo website (Juchao Website
(www.cninfo.com.cn)).(ii) The attending of directors to Board meetings and shareholders general meeting
The attending of directors
Times of
Times of Board
Times of Times of Times of Absent the Meeting for attending the
meeting supposed Times of
Director present in attending by entrusted the second time in a row shareholder
to attend in the Absence
person communication presence (Y/N) general
report period
meeting
Wu
15 3 12 0 0 No 3
Dinggang
Zhao Qilin 15 3 12 0 0 No 3
Yi Suqin 10 2 8 0 0 No 1
Cheng Ping 10 2 8 0 0 No 0
Zhong Ming 15 3 12 0 0 No 3
Fang Wei 10 2 8 0 0 No 1
Mou Wen 15 3 12 0 0 No 3
Hong 15 2 13 0 0 No 3
Yuanjia
Cheng
10 2 8 0 0 No 1
Wenlong
Yong
5 0 5 0 0 No 0
Fengshan
Kou 5 1 4 0 0 No 2
Huameng
Hu Zhaogui 5 1 4 0 0 No 1
80Annual Report 2024
Zhao Gang 5 1 4 0 0 No 2
Explanation of absent the Board Meeting for the second time in a row
During the reporting period none of the directors failed to attend two consecutive Board Meeting in person.(iii) Objection for relevant events from directors
Whether directors come up with objection about company’s relevant matters or not
□ Yes √ No
Directors has no objections for relevant events in reporting period
(iv) Other explanation about responsibility performance of directors
Whether the opinions from directors have been adopted or not
√ Yes □ No
During the reporting period the directors of the company strictly followed the Company Law the Securities Law
the Listing Rules of Shenzhen Stock Exchange and the Self-Discipline Supervision Guidelines for Listed
Companies of Shenzhen Stock Exchange No. 1 - Standardized Operation of Main Board Listed Companies" and
other laws and regulations actively attended the company's board meetings and the company's general meeting of
shareholders performed duties conscientiously and diligently made prudent and scientific decisions on various
matters reviewed by the company's board meetings and all their professional suggestions on the company’s major
decisions have been adopted .VII. The special committees under the board during the reporting period
Specific
Number
Important comments Other circumstances
of
Committee name Members Date of Meeting content and suggestions performance of the
meetings
meeting made of duties objection (if
held
applicable)
The proposal was
A total of 1 proposal was
deliberated and
reviewed namely the
Wu passed and agreed to
March Proposal on Establishing a Not
Dinggang be submitted to the No
92024 wholly-owned Subsidiary by applicable
Zhao QiLin board of directors of
Sichuan Changhong Air
Zhong Ming the company for
Conditioning Co. Ltd.Kou consideration.Huameng The proposal was
Hu Zhaogui deliberated and
A total of one proposal was
Yong passed and agreed to
March reviewed namely the Not
Fengshan be submitted to the No
Strategy 182024 Proposal on the Company's applicable
Zhao Gang 3 board of directors of
Committee Development Plan in 2024.the company for
consideration.Wu
Dinggang A total of 1 proposal was The proposal was
Zhao Qilin reviewed namely the deliberated and
Yi Suqin Proposal on Acquisition of passed and agreed to
October Not
Cheng Ping Equity and Related be submitted to the No
82024 applicable
Zhong Ming Transactions of Hefei board of directors of
Fang Wei Changhong Industry Co. the company for
Cheng Ltd. consideration.Wenlong
A total of 2 proposals were
reviewed namely the
Proposal on the Company's
2023 Financial Accounting All proposals were
January Not
Statement and Internal deliberated and No
122024 applicable
Hong Control Audit Schedule and passed.Yuanjia the Company's 2023
Audit Committee 7
Mou Wen Unaudited Financial
Zhao Gang Accounting Statement.A total of 1 proposal was
deliberated namely the First The proposal were
March Not
Draft of the Audit of the deliberated and No
122024 applicable
Company's Financial passed
Accounting Statements in
81Annual Report 2024
2023.
All the proposals
were reviewed and
approved and five
proposals were
agreed to be
submitted to the
A total of 6 proposals were Board of Directors
reviewed namely the of the Company for
Audited Financial review namely
Accounting Report of the Audited Financial
Company in 2023 Audit Accounting Report
Report on Internal Control of the Company in
in 2023 Summary Report on 2023 Audit Report
the Audit of the Company by of Internal Control
ShineWing Certified Public in 2023 Report of
Accountants in 2023 Report the Audit Committee
of the Audit Committee of the of the Board of
March Not
Board of Directors of the Directors of the No
272024 applicable
Company on the Company on the
Performance Evaluation and Performance
Performance Supervision of Evaluation and
Accounting Firms in 2023 Performance
Proposal on Changing the Supervision of
Audit Institution of the Accounting Firms in
Financial Report and 2023 Proposal on
Internal Control in 2024 and Changing Audit
Proposal on the Company's Institutions of
Forward Foreign Exchange Financial Report
Fund Trading Business. and Internal Control
in 2024 and
Proposal on the
Company's Forward
Foreign Exchange
Fund Trading
Business.The proposal was
A total of 1 proposal was deliberated and
reviewed namely the passed and agreed to
April Not
Financial Statement of the be submitted to the No
172024 applicable
Company for the First board of directors of
Quarter of 2024 the company for
consideration.The proposal was
A total of 1 proposal was deliberated and
reviewed namely the passed and agreed to
June Not
Proposal on Appointing the be submitted to the No
182024 applicable
Financial Controller of the board of directors of
Company. the company for
consideration.Mou Wen
The proposal was
Wu
A total of 1 proposal was deliberated and
Dinggang
deliberated namely the passed and agreed to
Zhao Qilin August Not
Semi-annual Financial be submitted to the No
Hong 52024 applicable
Report of the Company in board of directors of
Yuanjia
2024. the company for
Cheng
consideration.Wenlong
The proposal was
A total of 1 proposal was deliberated and
reviewed namely the passed and agreed to
October Not
Financial Report of the be submitted to the No
182024 applicable
Company for the Third board of directors of
Quarter of 2024. the company for
consideration.
82Annual Report 2024
The proposal was
A total of 1 proposal was deliberated and
reviewed namely the passed and agreed to
March
Assessment and Payment of be submitted to the
182024
Wu the Company's Directors and board of directors of
Dinggang Senior Management in 2023. the company for
Mou Wen consideration. Not
No
Hong A total of 1 proposal was The proposal was applicable
Yuanjia reviewed namely the deliberated and
Remuneration and Zhao Gang Proposal on Determining the passed and agreed to
May
Appraisal 3 Allowance Standard for be submitted to the
292024
Committee Independent Directors of the board of directors of
11th Board of Directors of the company for
the Company consideration.The proposal was
Hong A total of 1 proposal was
deliberated and
Yuanjia Wu reviewed namely the
passed and agreed to
Dinggang December Proposal on Offering Special Not
be submitted to the No
Mou Wen 142024 Performance Awards to the applicable
board of directors of
Cheng Company's Senior
the company for
Wenlong Management in 2023
consideration.A total of 2 proposals were
reviewed namely the
Proposal on Qualification
Examination of Candidates The proposal was
Mou Wen
for Non-independent deliberated and
Wu
Directors to be Elected by passed and agreed to
Dinggang May Not
the 11th Board of Directors be submitted to the No
Hong 292024 applicable
and Proposal on board of directors of
Yuanjia
Qualification Examination the company for
Zhao Gang
of Candidates for consideration.Independent Directors to be
Elected by the 11th Board of
Directors
A total of 2 proposals were
reviewed namely the
Nomination Proposal on Qualification
3 The proposal was
committee Examination of the President
deliberated and
of the Company to be
passed and agreed to
June Appointed and Proposal on Not
Cheng be submitted to the No
182024 Qualification Examination applicable
Wenlong board of directors of
of the Vice President
Wu the company for
Secretary of the Board of
Dinggang consideration.Directors and Financial
Zhong Ming
Controller of the Company
Mou Wen
to be Appointed
Hong
The proposal was
Yuanjia A total of 1 proposal was
deliberated and
reviewed namely the
passed and agreed to
November Proposal on Authorizing the Not
be submitted to the No
202024 Company's Vice President applicable
board of directors of
Mr. Tang Youdao to act as
the company for
President
consideration.Wu
The proposal was
Dinggang
A total of 1 proposal was deliberated and
Zhao Qilin
reviewed namely the Report passed and agreed to
ESGadministrative Zhong Ming March Not
1 on Environment Society and be submitted to the No
Committee Kou 182024 applicable
Governance (ESG) of the board of directors of
Huameng
Company in 2023 the company for
Hu Zhaogui
consideration.Mou Wen
83Annual Report 2024
A total of 3 proposals were
reviewed namely the
Proposal on Increasing The proposal was
Daily Related Transactions deliberated and
Mou Wen
in 2024 Profit Distribution passed and agreed to
Hong March Not
Plan of the Company for be submitted to the No
Yuanjia 182024 applicable
2023 and Report on the board of directors of
Zhao Gang
Company's Continuous Risk the company for
Assessment of Sichuan consideration.Changhong Group Finance
Co. Ltd.A total of 2 proposals were
reviewed namely Report on The proposal was
the Company's Continuous deliberated and
Risk Assessment of Sichuan passed and agreed to
August Not
Changhong Group Finance be submitted to the No
52024 applicable
Co. Ltd. and Proposal on board of directors of
Increasing the Estimated the company for
Daily Related Transaction consideration.Limit in 2024.A total of 20 proposals were
reviewed namely the
The proposal was
Proposal on Acquisition of
deliberated and
Equity and Related
passed and agreed to
October Transactions of Hefei Not
be submitted to the No
82024 Changhong Industry Co. applicable
board of directors of
Ltd. and Proposal on
the company for
Increasing the Estimated
consideration.Daily Related Transactions
in 2024.Special committee A total of 1 proposal was
of independent 6 reviewed namely the The proposal was
directors Proposal on Extension and deliberated and
Related Transactions of passed and agreed to
November Not
Sichuan Hongyun New be submitted to the No
Mou Wen 12024 applicable
Generation Information board of directors of
Hong
Technology Venture Capital the company for
Yuanjia
Fund Partnership Enterprise consideration.Cheng
(Limited Partnership).Wenlong
A total of 3 proposals were
reviewed namely the
Proposal on Predicting
Daily Related Transactions
in 2025 Proposal on The proposal was
Predicting Continuous deliberated and
Related Transactions passed and agreed to
December Not
between the Company and be submitted to the No
72024 applicable
Its Subsidiaries and Sichuan board of directors of
Changhong Group Finance the company for
Co. Ltd. in 2025 and consideration.Proposal on Continuous Risk
Assessment Report of
Sichuan Changhong Group
Finance Co. Ltd.A total of 1 proposal was
reviewed namely the The proposal was
Proposal on Amending the deliberated and
Company's "Risk Disposal passed and agreed to
December Not
Plan on the Financial be submitted to the No
282024 applicable
Business of Deposits and board of directors of
Loans in Sichuan the company for
Changhong Group Finance consideration.Co. Ltd.".VIII. Works from Supervisory Committee
Whether the Company has risks or not in reporting period that found in supervisory activity from supervisory
84Annual Report 2024
committee
□Yes √ No
Supervisory committee has no objection about supervision events in reporting period
IX. Staff of the Company
(i) Numbers professional structure and education background
On-job employee in parent company at period-end (people) 3918
On-job employee in main subsidiary at period-end(people) 10737
Total on-job employees at period-end(people) 14655
Current total payroll(people) 14655
Number of retired employees with expenses paid by the parent
57
company and main subsidiary (people)
Professional structure
Types of professional category Numbers of professional category (people)
Production staff 7410
Salesman 4458
Technician 1911
Financial staff 292
Administration staff 584
Total 14655
Education background
Type of education background Numbers (people)
High school and below 9096
Junior college 2282
Undergraduate 3054
Master and above 223
Total 14655
(ii) Remuneration policy
The Company formulated human resources and compensation policy conducive to sustainable development of
enterprise according to the provisions of relevant laws and policies promulgated by the state and to the Company's
actual situation.The company continued to promote the performance growth index system defined the direction of employee
performance growth and progress effectively encouraged employees to take the initiative to find gaps and fill
shortcomings and continuously improved their professional ability and work efficiency. At the same time based
on the growth level of employees it has established a remuneration mechanism that is suitable for it and
optimized the post value evaluation and remuneration adjustment mechanism to enhance the internal fairness and
external competitiveness of the company's remuneration and strengthen the salary concept of "post value reflected
and performance-oriented". In order to promote the achievement of each unit's performance the Company designed
differentiated reward schemes according to the characteristics of different business units and based on the system
balance so as to realize the effectiveness of positive guidance and efficiently stimulate the business vitality of each
business unit. At the same time in order to promote employees' vitality and build a multi-incentive system it
focuses on four core dimensions: growth incentive welfare incentive honor incentive and emotional incentive.During the reporting period the company further optimized the position promotion evaluation and employment
mechanism improved the position system and the promotion channels in sequence and further stimulated the
team's vitality through the integrating system evaluation and employment performance growth system and other
mechanisms and matched the dynamic adjustment of remuneration; continued to promote the application of
performance management in the whole process optimized the application of performance communication and
feedback information methods strengthened the application of performance results in cadre promotion and
85Annual Report 2024
demotion talent selection salary adjustment and year-end evaluation and encouraged employees to develop
together with the company.(iii) Training plans
The company aimed at creating a learning organization continuously optimized training and talent development
and built talent standards and competency models of each sequence based on the company's annual talent
development and training program; built Meiling online learning system and knowledge asset management system
to extract and precipitate internal experience and ability; organized the implementation of internal and external
special precision training programs; carried out projects such as learning map and talent structure optimization
and gradually formed a growth mechanism that combined training with employee growth and career development.
1. In-depth development of the mechanism for selection training use and retention of reserve talents. The
Company has established a clear talent standard evaluation model and completed the construction of talent
standards for managerial positions supervisors and professional positions; It has established a succession map of
talents in key positions in each sequence and clarified the current status of the existing talent team and the
succession system of different types of talents in the future. The Company focuses on optimizing the talent reserve
echelon structure of the "Yongquan Plan" and optimizes and adjusts the talent echelon structure of the middle and
senior reserve cadre pool the Class A reserve successor pool the Class A reserve growth pool the Class B reserve
supervisor pool and the outstanding college student pool through the selection of young reserve cadres and the
regular review and evaluation of reserve talents. At the same time the reserve talent echelon readiness evaluation
model is constructed which evaluates the values performance results career experience performance ability of
the target position leadership training and performance effectively measures their reserve and configures a
training plan in line with their career planning.
2. Accurate training to improve the training effect. Based on the needs of business development it has built a
multi-level and multi-category talent training system. On the one hand it improved the training enthusiasm and
professional ability of the trainees through activities such as project integrating system and industry exchange; on
the other hand it introduced external training courses and internal course development to effectively promote the
precision training program in view of the common shortcomings of the team and shortcomings of personal ability;
According to the professional ability of key positions in the professional level it built a learning map and defined
the map of growing professional routes; At the same time it established the training organization guarantee
system and built the company's classified and graded talent training system. Through career planning analysis
course orientation promotion node control project review training examination and other ways it guided the
vertical (promotion) and horizontal (multi-skilled workers rotation) all-round development effectively and
achieved the training effect and talent promotion gradually.
3. Enrich the company's internal knowledge asset management system redefine the company's intellectual assets
standards and organizational guarantee system. On the one hand it continued to supplement and update the
teaching materials of Meiling's knowledge assets library on technology management manufacturing quality
safety and environmental protection; On the basis of "internal trainer certification system" and "benchmarking
post knowledge extraction project" optimized the professional series of live courses internalized the company's
standard talent knowledge base and carried on the inheritance and influence; On the other hand Plan and carry out
the learning map project through the design of the learning map of the process structure finance and other sequences
closely link the qualifications of specific positions with the learning map pull through the organic combination of talent
86Annual Report 2024
development and learning path and promote the Company's various sequences to cultivate professionals scientifically
systematically and efficiently; Focus on the sequence of key positions to build a phased learning map micro-course
resource library to help the professional construction of talent echelon.(iv) Labor outsourcing
□ Applicable √ Not applicable
X. Profit distribution plan and capitalizing of common reserves plan
(i) Formulation Implementation and Adjustment of Profit Distribution Policy Especially Cash Dividend
policy during the Reporting Period
√ Applicable □ Not applicable
During the reporting period the company has strictly executed the profit distribution policy in accordance with
the "Articles of Association" the formulation and implementation of the company's cash dividend policy are in
line with the provisions of "Articles of Association" and the requirements of the resolutions of shareholders'
meeting the dividends standards and proportion have been definite and clear relevant decision-making
procedures and mechanisms have been complete the responsibilities of independent directors have been clear and
have played its due role minority shareholders have had the opportunities to fully express their views and
aspirations and the legitimate interests of minority shareholders have been maintained.During the reporting period in order to enhance and improve the shareholder return mechanism increase the
transparency and operability of profit distribution policy and decision-making and effectively protect the legitimate
rights and interests of public investors the Company formulated the "Shareholder Return Plan for the Company in the
Next Three Years (2024-2026)" in accordance with relevant regulations and comprehensive consideration of factors
such as the Company's operating and financial status. Meanwhile the Company has implemented the 2023 annual profit
distribution plan that is based on the total share capital of 1029923715 shares on date of record at the time of
implementing the 2023 annual equity distribution plan (including 881733881 shares of A shares and 148189834
shares of B shares) the company distributed a cash dividend of RMB 3 (including tax) for every 10 shares to all
shareholders with a total cash dividend of RMB 308977114.5.and the dividend ratio accounts for 41.70% of the
net profit attributable to shareholders of the listed company in 2023.Special explanation on cash dividend policy
Whether it meets the requirements of the Articles of Association
Yes
or the resolution of the general meeting of shareholders:
Whether the dividend standard and proportion are explicit and
Yes
clear:
Whether the relevant decision-making procedures and
Yes
mechanisms are complete:
Whether the independent directors have performed their duties
Yes
and played their due role:
If the Company does not distribute cash dividends specific
reasons as well as the measures to be taken to enhance investor Not applicable
returns should be disclosed:
Whether the minority shareholders have the opportunity to fully
express their opinions and demands and whether their Yes
legitimate rights and interests have been fully protected:
Whether the cash dividend policy is adjusted or changed and
whether the conditions and procedures are compliant and Yes
transparent:
(ii) The Company is profitable during the reporting period and the parent company has positive profit
available for distribution to shareholders without cash dividend distribution plan proposed
87Annual Report 2024
□ Applicable √ Not applicable
(iii) Profit distribution plan and capitalizing of common reserves plan for the Period
√ Applicable □ Not applicable
Bonus shares for every 10-share (Share) 0
Dividends for every 10-share (RMB) (Tax included) 3.3
Shares added for every 10-share base (Share) 0
Equity base of distribution plan (Share) 1029923715
Total cash dividend (RMB) (Tax included) 339874825.95
Cash dividend for other ways (i.e. repurchased) (RMB) 0
Total cash dividend (including other way) (RMB) 339874825.95
Profits available for distribution (RMB) 1213740009.40
Ratio of cash dividend (including other way) in total profit
100%
distribution
Cash dividend
Taking the total share capital of 1029923715shares on the equity registration date of the company’s on December 31 2024
as the base distribute cash dividends of 3.3yuan (tax included) for every 10 shares to all shareholders not giving bonus shares
and not converting capital reserve in to equity.Detail explanation on profit distribution or capitalization from capital public reserve
According to the audit by Pan-China Certified Public Accountants LLP in 2024 the net profit realized in individual financial
statements of the parent company was RMB 254008762.00. As of December 31 2024 the cumulative undistributed profit in
individual financial statements of the parent company was RMB 1213740009.40. In addition in the consolidated financial
statements of the company for the year 2024 the net profit attributable to the owners of the parent company was 699270051.82
yuan. As of December 31 2024 the cumulative undistributed profit in the consolidated financial statements was 1803207185.06
yuan.According to relevant regulations the distribution of company profits should be based on the profits available for distribution
by the parent company and follow the principle of distributing the lower of the cumulative undistributed profits in the
consolidated financial statements and the parent company's financial statements. Therefore the distributable profit for 2024 is the
accumulated undistributed profit of RMB 1213740009.40 in individual financial statements of the parent company.According to relevant regulations and the Company's Articles of Association taking into account the interests of shareholders
and the long-term development needs of the company it is proposed that the company distribute a cash dividend of 3.3 yuan
(including tax) for every 10 shares to all shareholders based on the total share capital of 1029923715 shares as of December 31
2024 without bonus shares or conversion of reserve funds into share capital. It is expected to distribute a cash dividend of
339874825.95 yuan. After this distribution it is expected that the remaining cumulative undistributed profit of the parent
company will be 873865183.45 yuan and the remaining undistributed profit will be carried forward for distribution in future
years..XI. Implementation of the Company’s stock incentive plan employee stock ownership plan or other
employee incentives
□ Applicable √ Not applicable
The Company has no equity incentive plan employee stock ownership plans or other employee incentives.XII. Construction and implementation of internal control system during the reporting period
(i) Construction and implementation of internal control
In accordance with the Basic Norms for Enterprise Internal Control and its supporting guidelines and the
Information Disclosure Compilation Rules for Companies Publicly Issuing Securities No. 21 - General Provisions
on Annual Internal Control Evaluation Reports jointly issued by the China Securities Regulatory Commission and
the Ministry of Finance and other relevant regulations and combined with the Company's internal control system
and internal control evaluation methods the company organized its internal control work effectively implemented
internal control and continuously improved and optimized the company's internal control system so as to adapt to
the needs and changes of the internal and external environment.The company's 2024 Annual Internal Control Self-Assessment Report fully truly and accurately reflected the
actual situation of the company's internal control. The units businesses and matters included in the assessment
scope as well as high-risk areas covered the main aspects of the company's operation and management and the
company maintained effective internal controls in high-risk areas and in all material aspects. During the reporting
period the company had no major defects and significant defects in internal control.
88Annual Report 2024
(ii) Details of major defects in IC appraisal report that found in reporting period
□Yes √ No
XIII. Management and controls on the subsidiary during reporting period
During the reporting period as a shareholder or controller the company strictly adhered to relevant national laws
and regulations as well as the provisions and requirements of the company's articles of association regarding the
standardized operation and improvement of corporate governance structure and exercised supervision and
management over major issues of the subsidiary. The company also had the right to legally enjoy investment
returns and make decisions on major issues for the investing enterprise.The company has established a standardized and detailed decentralization manual set clear approval authorities
and processes and achieved scientific reasonable and efficient management of its subsidiaries. At the same time
according to the relevant internal control system of the company manage and supervise the disclosure of
information standardized operation guarantee business personnel production and operation of subsidiary
companies.During the reporting period the company did not have any major decisions of its subsidiaries that did not comply
with company regulations or major issues that were not reported in a timely manner. The subsidiaries also did not
find any significant deficiencies in their internal controls.During the reporting period the company integrated by purchasing a new subsidiary as follows:
Name
Problems
of Integratio Resolve Follow-up
Integration plan encountered Actions taken
compa n progress progress resolution plan
in integration
ny
On
November
202024
The company and its subsidiary Hefei
Hefei Meiling IoT Technology Industrial
Co. Ltd. purchased 99% equity completed
of Hefei Industry held by the the
controlling shareholder Sichuan industrial
Changhong and 1% equity of and
Hefei Industry held by Sichuan commerci
Changhong Innovation al
Hefei Investment Co. Ltd. a registratio
Chang subsidiary of Sichuan n
hong Changhong with their own procedure Not
Indust funds. This transaction is in line s for NO Not Applicable Not Applicable
rial with the company's strategic sharehold Applicable
Co. development needs meeting the er
Ltd expansion of the company's mid changes
to high end refrigerators the and
expansion of its own logistics became a
warehouse and the future wholly-o
layout of the integrated home wned
appliance industry solving the subsidiary
problems of industrial within the
development and resource scope of
scarcity. the
company's
merger
statement-
XIV. Internal control self-assessment report or internal control audit report
(i) Appraisal Report of Internal Control
Date of evaluation report of internal control disclosed (Full-text) April 32025
Index of evaluation report of internal control disclosed (Full-text) Juchao Website（www.cninfo.com.cn）
The ratio of the total assets of units included in the scope of evaluation
accounting for the total assets on the company's consolidated financial 99.91%
statements
The ratio of the operating income of units included in the scope of
evaluation accounting for the operating income on the company's 100.00%
consolidated financial statements
89Annual Report 2024
Defects Evaluation Standards
Category Financial Reports Non-financial Reports
1. Material defect: severally or jointly with other defects
will lead to material wrong reporting in financial reports being
not able to prevented or found or rectified in a timely manner.Occurrence of the followings will be deemed as material
defect:
1. inefficiency of environment control;
2. fraud of directors supervisors and senior management;
3. The external auditor finds material wrong reporting in
current financial statement while the Company has not found
such reporting during its operation;
4. The material defect identified and reported to the
management fails to be rectified in a reasonable time period;
Occurrence of the followings shall be
5. The audit committee and audit department of the
deemed as material defect otherwise as
Company exercise invalid supervision upon internal control;
major defect or general defect subject to
6. Other defects which may affect financial statement users
the level of influence.to make correct judgment.
1. breach of national laws regulations
2. Major defect: severally or jointly with other defects
or regulatory documents;
will lead to wrong reporting in financial reports being not able
2. procedure for making significant
to prevented or found or rectified in a timely manner which
decisions is not scientific;
still needs attention from the management though it doesn’t
Qualitative criteria 3. absence of system may lead to
reach or exceed material defect as described above.invalid system;
Occurrence of the followings will be deemed as major defect:
4. Material or major defects are not
(1) Financial losses caused by guaranteeing and investing in
likely to rectify;
securities and financial derivatives transactions and disposing
5. Large negative effects on the
property right and stock right without authorization;
company and disclosed in the form of
(2) The company's financial staff or other relevant business
announcement;
personnel have unclear powers and responsibilities or job
6. Other issues that materially affect the
chaos or are suspected of being involved in economic or
Company.job-related crimes and have been transferred to the judiciary;
(3) Punishment or severely negative impacts on the company's
image due to the bias implementation of the policy or
accounting errors etc.;
(4) Financial losses caused by destroying concealing or
altering the important original evidences at will such as
invoices and checks etc.
(5) Cash income is not entered into the account book or
public funds are deposited in private account or "private
coffer" is established by breaking the rules.
3. General defect: other internal control related defects that
do not constitute material defects or major defect.
1. Proportion of direct property loss
in total operating income: Material
defect: wrong reporting ≧0.1%; Major
1. Proportion of potential wrong reporting in total
defect: 0.05% ≤ wrong reporting＜0.1%;
operating income: Material defect: wrong reporting ≧0.5%;
Major defect: 0.1% ≤ wrong reporting＜0.5%; General defect: General defect: wrong reporting ＜
wrong reporting＜0.1%. 0.05%.
2. Proportion of direct property loss
2. Proportion of potential wrong reporting in total
in total profit: Material defect: wrong
profit: Material defect: wrong reporting ≧10%; Major defect:
reporting ≧10%; Major defect: 5% ≤
5% ≤ wrong reporting ＜ 10%; General defect: wrong
wrong reporting＜10%; General defect:
Quantitative reporting＜5%. wrong reporting＜5%.standard 3. Proportion of potential wrong reporting in total
3. Proportion of direct property loss
assets: Material defect: wrong reporting ≧0.5%; Major
in total assets: Material defect: wrong
defect: 0.1% ≤wrong reporting＜0.5%; General defect: wrong
reporting ≧0.2%; Major defect: 0.1% ≤
reporting＜0.1%. wrong reporting＜0.2%; General defect:
4. Proportion of potential wrong reporting in total owners’ wrong reporting＜0.1%.
equity: Material defect: wrong reporting ≧0.5%; Major
4. Proportion of direct property loss in
defect: 0.1% ≤ wrong reporting＜0.5%; General defect:
total owners’ equity: Material defect:
wrong reporting＜0.1%. wrong reporting ≧0.2%; Major defect:
0.1% ≤ wrong reporting＜0.2%; General
defect: wrong reporting＜0.1%.Amount of
0
significant defects
90Annual Report 2024
in financial reports
Amount of 0
significant defects
in non-financial
reports
Amount of 0
important defects in
financial reports
Amount of 0
important defects in
non-financial
reports
(ii) Auditing report of internal control
√ Applicable □ Not applicable
Deliberation section of auditing report of IC
We consider that: in all major aspects Changhong Meiling Co. Ltd. has efficiency in financial report of internal control dated 31
December 2024 according to Basic Standards of Internal Control for Enterprise and relevant regulations.Disclosure details of audit report of internal control Disclosed
Disclosure details of audit report of internal control April 32025
Disclosure date of audit report of internal control (full-text) Juchao Website（www.cninfo.com.cn）
Index of audit report of internal control (full-text) Standard unqualified
Opinion type of auditing report of IC No
Whether CPA carries out qualified opinion for audit report of internal control or not
□Yes √ No
Whether the opinions are consistent in audit report of internal control carrying out by CPA and the self-evaluation
report of the Board or not
√ Yes □ No
XV. The rectification of self-examination problems in the special actions on governance of listed companies
√ Yes □ No
For details please refer to Article 15 of Chapter IV "Rectification of Problems Found in Self-inspection of Special
Actions for Governance of Listed Companies" in the Company's Annual Report in 2022. Up to now the problems
found in the Company's self-inspection have not been fully rectified as follows:
(i) Subsidiary holding shares of listed companies and the rectification
1. Meiling Group a wholly-owned subsidiary of the company held 1141053 restricted shares of the Company.
The restricted shares held by Meiling Group were the consideration shares received for the share reform on behalf
of other non-tradable shareholders in the company's reform plan for non-tradable shares. In March 2016
according to the approval of the State-owned Assets Supervision and Administration Commission of the State
Council the 49477513 state-owned shares (including the already held 47823401 shares and the unrecovered
relevant rights of the consideration of 1654112 shares received for the share reform on behalf of other
non-tradable shareholders in the company's reform plan for non-tradable shares) of the Company held by Hefei
Xingtai Holdings Group Co. Ltd. the company's original shareholder should be transferred to Industry
Investment Group free of charge. Therefore the restricted shares of the Company held by Meiling Group should
be transferred to Industry Investment Group free of charge.
2. According to the approval of the State-owned Assets Supervision and Administration Commission of the State
Council and the regulations of relevant departments Meiling Group should transfer the shares paid on behalf of
others and related rights held by it to Industry Investment Group at one time free of charge after recovering all the
1654112 shares of consideration for the share reform. At present Meiling Group has only recovered 1141053
shares and the holders of the remaining consideration shares for the share reform have been unable to get in touch
for many times and for many years there is great uncertainty about the time when all the shares will be recovered.However the company still actively promotes the recovery of the shares advanced by Meiling Group and handles
the relevant procedures for free transfer as soon as possible after all the consideration shares for the share reform
are recovered. Prior to this the company's restricted shares held by Meiling Group would not enjoy any rights as
shareholders during the holding period including voting rights dividend rights etc.
91Annual Report 2024
Section V Environmental and Social Responsibility
I. Major environmental
(1)The listed Company and its subsidiary whether belongs to the key sewage units released from
environmental protection department
□Yes √No
The company and its subsidiaries do not belong to the key polluters announced by the environmental protection
department.Administrative penalties for environmental issues during the reporting period
Impact on the
The company's
Violation of the production and
Name Cause Result rectification
situation operation of listed
measures
companies
Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable
（2）.Refer to other environmental information disclosed by key pollutant discharge units
Not applicable。
（3）.Measures taken to reduce carbon emissions and their effectiveness during the reporting period
√Applicable □ Not applicable
The Company actively responds to the national "dual carbon" strategy adheres to the concept of green and
low-carbon development and takes dual carbon control as one of the core strategies of enterprise development.The Company has established a dual carbon management committee established a complete carbon emission
control system and systematically promoted the Company's overall carbon control work. During the reporting
period the Company completed the carbon emission mapping and successfully completed the 2024 carbon
reduction target through measures such as energy conservation and efficiency upgrading energy system
optimization etc. In terms of energy conservation and efficiency improvement the application of high-efficiency
and energy-saving equipment the environmental protection technology and the lean production efficiency
improvement projects have been implemented which have effectively reduced energy consumption and carbon
dioxide emissions. The Company also optimizes the energy structure expands photovoltaic power generation
projects and increases the proportion of purchased green electricity which reaches 20% in Hefei area in 2024.Meanwhile the Company is engaged in the management of green supply chain promoting suppliers and partners
to jointly reduce carbon emissions and reduce carbon emissions in the entire supply chain.
（4）.Reasons for not disclosing other environmental information
Neither the Company nor its subsidiaries belong to the key pollutant discharge units announced by the
environmental protection department.The Company advocates the development concept of green environmental
protection strictly abides by environmental protection laws and regulations such as the Environmental Protection
Law of People's Republic of China the Law of the People's Republic of China on the Prevention and Control of
92Annual Report 2024
Water Pollution and the Law of the People's Republic of China on the Prevention and Control of Atmospheric
Pollution promotes green production enhances energy conservation and emission reduction and earnestly fulfills
its environmental protection responsibilities.II. Social responsibility
The Company continues to promote win-win development with its stakeholders earnestly fulfills its social
responsibilities pays close attention to the voices of all stakeholders and actively gives back and improves and is
determined to become an enterprise that is respected by the society and loved by its employees. While achieving
sound development it pays attention to protecting the interests of its shareholders employees suppliers customers
and consumers and actively engages in public welfare undertakings thus promoting the harmonious development
of the Company and the whole society.
1. Protection of the rights and interests of shareholders and creditors
The company strictly follows the provisions and requirements formulated by the Articles of Association and
the Rules of Procedure for the General Meeting of Shareholders regulates the convening holding and voting
procedures of the general meeting of shareholders equally treats all shareholders especially small and medium
shareholders equally and ensures that all shareholders enjoy equal status and fully exercise their own rights.Under the premise of strictly implementing the Administrative Measures for Information Disclosure of Listed
Companies the company actively communicates and exchanges information with investors on the company's
operations and management financial status etc. through annual performance briefings Anhui service week for
investors by SZSE investor telephone hotline e-mails and the investor relations interactive platform of the
Shenzhen Stock Exchange and discloses information to all investors in a truthful accurate complete concise and
clear and easy-to-understand manner; further the company attaches great importance to the shareholder return
mechanism According to the Return Plan for Shareholders of Changhong Meiling Co. Ltd. for the Next Three
Years (2024 -2026) It guides investors to establish the concept of long-term investment and rational investment and
maintains the continuity and stability of the profit distribution policy. During the reporting period combined with its
own operating conditions and other factors the Company implemented the 2023 profit distribution plan and made
cash dividends accounting for 41.70% of the net profit attributable to shareholders of listed companies in 2023
offered shareholders a reasonable return on investment.Meanwhile during the reporting period the Company held 4 general meetings of shareholders and
implemented a combination of on-site voting and online voting so that the majority of investors could fully
participate and ensure that shareholders have the right to know participate and vote on the Company's major
issues. When the general meeting of shareholders deliberated on major matters affecting the interests of small and
medium-sized investors the votes of small and medium-sized investors were counted separately and publicly
disclosed in the resolutions of the general meeting of shareholders in a timely manner so as to fully protect the
rights and interests of small and medium-sized investors.In addition in order to establish a variety of shareholder return mechanisms and thank investors for their
long-term concern and support for the Company during the reporting period the Company held the "Meiling
93Annual Report 2024
Shareholder Thanksgiving Festival" to give back to all shareholders with sincerity.
2. Protection of the rights and interests of employees
In accordance with relevant laws regulations and policies and in light of its own actual situation the
company has established a relatively complete employment management system including labor contract system
salary and performance appraisal system welfare management system training management system employee
vacation management system etc..The company attaches importance to the vital interests of employees protects
the legitimate rights and interests of employees to the maximum extent establishes harmonious labor relations and
strives to form a good mechanism for the company and employees to create and share together. At the same time the
company creates a people-oriented cultural atmosphere by providing various holidays allowances condolences and
organizing diversified employee activities benchmarking personnel selection carnivals etc. and continuously
improves employee satisfaction.
3. Protection of the rights and interests of suppliers customers and consumers
The Company has built a sound supplier management system established the "Supplier Evaluation
Management Specification" strictly standardized the supplier access and evaluation system and regularly carried
out audits and evaluations to continuously improve supplier capabilities and qualifications. The Company attaches
great importance to improving the ability of suppliers and is committed to collaborative development with
suppliers. In order to help suppliers improve quality control and sustainable development related awareness
during the reporting period the Company organized supplier training activities from time to time. Meanwhile the
Company strictly controls every aspect of the procurement business cultivates core and strategic suppliers and
establishes a high-end supply chain for parts suppliers of high-end products forming a synergistic cooperative
and win-win situation between the Company and suppliers.The Company has a perfect product development process advanced R&D system and constantly develops
products with leading technology. The Company attaches great importance to product quality has strong quality
control ability reliable product performance and a refined quality management system and has passed the
management system certifications such as ISO9001 ISO14001 and ISO45001. The Company's testing center has
CNAS accreditation qualification complete test items and strong testing ability which meets the requirements of
strict and high-level testing of products. At the same time it has built one of the few RoHS and intelligent IoT
laboratories in the industry. The Company adheres to the user-centered principle and attaches importance to user
reputation. In the domestic market it increases its attention and support in terminal construction user experience
and product training to increase the sales of products; In the export market it fully recognizes the requirements of
local laws and regulations strictly certifies products and fully verifies the reliability and environmental adaptability
of products to ensure the reliability of products in the target market. Its export products have covered more than 100
countries or regions. According to different types of customers it implements classification and system
management through the information system and timely feeds back the demands put forward by customers
continuously improves quality services and enhances brand image; It also tracks the market performance by
customer satisfaction and user net recommendation value.
94Annual Report 2024
For the protection of consumers' rights and interests the company has a relatively advanced closed-loop
management system for user service. In order to meet users' service needs it gradually improves the function
construction of official channel service platforms such as 4008 service hotline brand official website WeChat
official account and Zhihuijia APP attaches importance to and strengthens the user interaction and experience of
social platforms such as Tik Tok Xiaohongshu Weibo Bilibili and Zhihu and understands and handles users' needs
and questions in time. In view of user demand processing it promotes the process visualization management and
user evaluation system management of work order processing timeline. In addition the company pays attention to
improving consumers' product guarantee service ability and has created Meiling's exclusive characteristic
guarantee service measures and upgraded and launched the services such as unconditional return within 180 days
for Meiling M fresh refrigerator because of dissatisfaction in preservation and unconditional return within 180 days
for Meiling clean refrigerator because of dissatisfaction in disinfection and sterilization so as to effectively meet
users' needs and enhance consumer satisfaction.
4. Social welfare
Over the years the company has been actively participating in social welfare undertakings and various social
welfare activities. The Company actively carries out actions such as helping employees with serious illness or
difficulties advocating voluntary donations from employees paying attention to occupational disease prevention
and control and organizing safety education and training. During the reporting period the Company took the
initiative to assume social responsibilities rushed to the flood-stricken areas in Xixian County Huangshan and
provided free testing and cleaning services for home appliances. The Party Committee of the Company actively
participated in the third party building project of Micro-philanthropy venture capital in the Jinxiu Community Social
Organization Incubation Park in Hefei Economic Development Zone. During the reporting period it organized six
activities including popular science popularization experiment safety education and psychological salon to
enhance the happiness of the community and family. The Company also helped many primary and secondary
schools in Hefei to carry out 26 study tours gave full play to the advantages of national intelligent manufacturing
demonstration enterprises set up labor practice classes on the production line received nearly 3000 primary and
secondary school students and sowed the "made in China" seeds in the hearts of every teenager through interesting
experiment classes creative labor classes and brand history classes.In order to actively respond to the national poverty alleviation policy and focus on improving the school
infrastructure in poor areas Changhong Air Conditioning a subsidiary of the Company participated in the
"ChildhoodHarbor" project promoted and implemented by China Guanghua Science and Technology Foundation
and donated 50 air conditioners to Ningnan Middle School in Phisha Town Ningku County Liangshan Prefecture
Sichuan Province which solved the problem of high temperature wet and cold learning and living conditions of
local middle school students. In order to promote the high-quality development of public health services the
Company's subsidiary Zhongke Meiling donated an automated vaccination workstation to the Linhu Community
Health Service Center of Hefei Economic Development Zone through the Hefei Red Cross Society realizing the
integration of storage and vaccination automatic vaccine issuance with zero errors traceability of vaccination
information and more efficient and accurate vaccine management. In addition the Company's subsidiary
95Annual Report 2024
Zhongke Meiling supports the development of university education and within the scope of the amount
deliberated and approved by its board of directors and shareholders' general meeting it has awarded a total of
800000 yuan of special scholarships in 2024 to 6 universities including Tsinghua University Zhejiang University
and Anhui Medical University and has awarded a total of 1.7 million yuan of special scholarships to colleges and
universities so far.III. Consolidate and expand the achievements of poverty alleviation and rural revitalization
In 2024 the Company unswervingly and fully implements the decisions and arrangements made by the CPC
Central Committee and the State Council for rural revitalization actively responds to the call promotes rural
revitalization and contributes to rural development. In order to actively respond to the rural revitalization strategy
and help fruit farmers expand the sales channels of agricultural products increase income and improve their lives
the Company purchased high-quality kiwifruit from rural areas to help and distributes benefits to employees.
96Annual Report 2024
VI. Important Events
I. Implementation of commitment
(i) Commitments that the actual controller shareholders related party the buyer and the company have
fulfilled during the reporting period and have not yet fulfilled by the end of reporting period
√ Applicable □ Not applicable
Commitm Commitment Implementatio
Type/content Date Term
ent party n
1. The acquirer shall not engage in refrigerator business
or activity which competes or will compete with Valid for Strictly
business of Meiling Electrical Appliances or that which long term implemented
has interest conflict with Meiling Electrical Appliances.
2. The acquirer promises to apply shareholders’ right on
a legal and reasonable manner and shall not take any Valid for Strictly
Commitm Sichuan About committed action to limit or affect the normal operation of Meiling long term implemented
ents made Changhong and promised in Electric.in Electric Co. order to prevent
acquisition Ltd.(hereinaf horizontal 3. For any opportunity to engage in competing business 2007-6-12
report or ter the competition in the
the acquirer will advise Meiling Electric in written forequity “Sichuan Acquisitionchange Changhong” Report of Hefei engaging such business or not. If Meiling Electrical
report ) Meiling Co. Ltd. Appliances gives no clear written reply as to whether
engaging the competing business or not within 20 days Valid for Strictly
after receipt of the aforesaid letter it shall be deemed long term implemented
that it will not engage in such business. The acquirer
will only engage in non-competing business provided
that Meiling Electric confirms not to or is deemed to not
engage in such non-competing business.
1. It will not engage in such business or activity that
competes with or has interest conflict with that of
Meiling Electric except for the action taken for sake of
Meiling Electric as required by Meiling Electrical
Appliances.
2. The Company promises to apply shareholders’ right
on a legal and reasonable manner and shall not take any
Commitment
regarding to action to limit or affect the normal operation of Meiling
reducing and Electric Valid for Strictly
2010-6-24
preventing long term implemented
competition with 3. In case that Meiling Electric expects on the basis of
Meiling Electric its existing business to expand its operation scope into
the business which the Company has already operated
Commitm
the Company agrees to grant priority acquisition right to
ent made
during the Sichuan Meiling Electric regarding such business if the same
non-public Changhong conditions are met provided that the Company is still
offer of the controlling shareholder or actual controller of
2010 Meiling Electric
1. Measures will be adopted to prevent continued
related transaction with Meiling Electric: as to the
related transaction that can not be prevented it will sign
Commitment related transaction agreement with Meiling Electricregarding to under the market principles of “equally paid and mutualreducing and benefit” and fairly determined the transaction price
standardizing according to the market prevailing standards.Valid for Strictly
June 242010
long term implemented
related transaction
2. Perform the necessary obligations to make related
with Meiling
directors and related shareholder abstain from voting
Electric
according to relevant regulation and observe legal
procedure for approving related transaction and
information disclosure obligations.
97Annual Report 2024
3. Promise not to hurt legal interests of Meiling Electric
and other shareholders through related transaction.Commit to authorized Changhong Air-conditioner and Zhongshan November Valid for Strictly
Changhong use “Changhong” trademark and relevant patents for free. 62010 long term implemented
1. Commit to disclose periodic reports on a truthful accurate complete
fair and prompt manner to disclose all the information that have important
influences over investors to accept supervision under the CSRC and
Shenzhen Stock Exchange.
2. Commit to make public clarification in respect of such information that
is released from any public media and may result in misleading influences
on stock price once the Company is aware of such information.The Valid for Strictly
Company 3. The directors supervisors senior management and core technicians of January 72011 long term implemented
the Company will accept opinions and criticism from the social public and
they will not trade the Company’s securities directly or indirectly with any
inside information and other illegal methods. The Company promises that
the documents submitted to Shenzhen Stock Exchange exist no false
statement or material omission and no relevant information will be
disclosed during the application for listing without prior content from
Shenzhen Stock Exchange.
1. Since the property transfer didn’t involve the buildings and land
currently used by Changhong Air-conditioner Sichuan Changhong Valid for Strictly
commits upon the completion of equity transfer to continue to lease such long term implemented
assets to Changhong Air-conditioner at market price.
2. After completion of this property transfer Sichuan Changhong commits
Commitm
ent made to manage to prevent new related transaction with Meiling Electric. For
in transfer those which can not be prevented Sichuan Changhong commits to
Sichuan December
of air determine the transaction price based on market accepted methods so as to
Changhong 102009
conditioni ensure fairness of related transaction and protection of the interest of
ng assets Valid for Strictly Meiling Electric
property long term implemented
3. Sichuan Changhong commits that it will not engage in air conditioning
and refrigerator business or activity which competes or will compete with
business of Meiling Electric or that which has interest conflict with
Meiling Electric
Sichuan 1. Based on market conditions and as allowed by laws and rules multiple
Changhong measures were adopted adequately to increase shareholding of Meiling
Electric Co. Electric so as to demonstrate its firm confidence on the PRC economy and
Commitm Ltd.and Meiling Electric with its actual actions maintain sound development of
ents of not persons capital market and promote recovery of healthy market
Valid for Strictly
to acting in July 92015
long term implemented
reducing concert
2. Continued to support operation and development of listed company as
the shares CHANGHO
NG (HK) always and promoted the achievement of Meiling Electric. It is committed
TRADING to bringing steady and real return to investors.LIMITED
1. Promise to truly accurately completely fairly and timely publish
periodic reports disclose all information that has significant impacts on the
investors and accept the supervision and management of China Securities
Commitm Regulatory Commission and the Shenzhen Stock Exchange.ent made
Make commitments that the Company will publicly clarify in time after
during the The December Valid for Strictly
knowing any information on any public communications media that may
non-public Company 122016 long term implemented
offer in cause misleading influence on the stock price
2016
3. The Company’s directors supervisors and senior executives will listen
carefully to the opinions and criticisms of the public and never use any
acquired inside information and other improper means to directly or
98Annual Report 2024
indirectly engage in the trading activities of the Company's stock.Perform the commitment promptly or not √ Yes □ No
If the commitment is overdue and has not been
fulfilled the specific reasons for incomplete
Not applicable
performance and the work plan for next step shall be
explained in detail
Note: The fulfilled commitments in the form will not be disclosed in the next periodic report.(ii) Concerning assets or project of the Company which has profit forecast and reporting period still in
forecasting period explain reasons of reaching the original profit forecast
□ Applicable √ Not applicable
II. Non-operational fund occupation from controlling shareholders and its related party
□ Applicable √ Not applicable
None
III. External guarantee out of the regulations
□ Applicable √ Not applicable
No external guarantee out of the regulations occurred in the period.IV. Statement on the latest “modified audit report” by BOD
□ Applicable √ Not applicable
V. Explanation from Board of Directors Supervisory Committee and Independent Directors (if applicable)
for “Qualified Opinion” that issued by CPA
□ Applicable √ Not applicable
VI. Explanation of the changes in accounting polices accounting estimates or correction of significant
accounting errors compared with the financial report of the previous year
√ Applicable □ Not applicable
Found more details in 38. Change of major accounting policy and estimation under III. Major accounting policy
and estimation carried in the Section X. Financial Report
VII. Compare with last year’s financial report; explain changes in consolidation statement’s scope
√ Applicable □ Not applicable
In the reporting period the consolidated financial statements of the Company cover 24 subsidiaries including
Sichuan Changhong Air-conditioner Co. Ltd Zhongshan Changhong Electric Co. Ltd. And Zhongke Meiling
Cryogenic Technology Co. Ltd. etc. Compared with the previous year during the reporting period two enterprise
is included in the consolidate scope During the reporting period two subsidiaries included in the consolidated
statement were cancelled: Hefei Meiling Marketing Co. Ltd. and Wuhan Meizhirong Appliance Marketing Co.Ltd.More details can be seen in the report “VII. Changes in the scope of the merger” and “VIII. Equity in other entities”
of “Section X Financial Report”
VIII. Appointment and non-reappointment (dismissal) of CPA
(i)CPAs currently engaged
Name of domestic accounting firm Pan-China Certified Public Accountants LLP
Remuneration for domestic accounting firm ( RMB 10000) 175
Continuous life of auditing service for domestic accounting
1 year
firm
Name of domestic CPA Li Yuanliang Peng Yahui
Continuous life of auditing service for domestic CPA Li Yuanliang( 1 year) Peng Yahui (1 year)
Name of foreign accounting firm (if applicable) N/A
Remuneration for foreign accounting firm (RMB 10000) (if
N/A
applicable)
Continuous life of auditing service for foreign accounting firm
N/A
(if applicable)
Name of foreign CPA (if applicable) N/A
Continuous life of auditing service for foreign CPA (if
-
applicable)
99Annual Report 2024
(ii)Has the CPAs been changed in the current period
√Yes □ No
Whether to hire a new accounting firm during the audit period
□ Yes √ No
Has the approval process been followed for changing accounting firms
√ Yes □ No
Detailed explanation of the situation of changing the appointment or accounting firm
Given that Xinyong Zhonghe Certified Public Accountants has provided auditing services for the company
for consecutive years in accordance with the relevant requirements of the "Management Measures for the
Selection and Engagement of Accounting Firms by State-owned Enterprises and Listed Companies" issued by the
Ministry of Finance the State-owned Assets Supervision and Administration Commission of the State Council
and the China Securities Regulatory Commission in order to maintain the independence objectivity and fairness
of the company's auditing work after the company's public bidding process Tianjian has been appointed as the
auditing institution for the company's 2024 financial reports and internal control.A detailed explanation of the change of employment and accounting firm
√Applicable □Not applicable
In reporting period Pan-China Certified Public Accountants LLP was appointed as audit institute of internal
control for the Company auditing charge for internal control amounting as 300000 yuan.IX. Particular about delisting after annual report disclosed
□ Applicable √ Not applicable
X. Bankruptcy reorganization
□ Applicable √ Not applicable
XI. Material lawsuits and arbitration of the Company
√Applicable □Not applicable
Whe
ther
to Implementat
Amount Litigatio Litigation(arbi
form ion of Disclo Disclo
involved (Ten n(arbitra tration)trial
Basic situation of litigation(arbitration) esti litigation(ar sure sure
thousand tion)pro results and
mate bitration)jud date index
yuan) gress impact
d gments
liabil
ities
Zhiyijia an affiliated enterprise of the The court
company signed a sales contract with the ordered the Jucha
The defendant o
defendant Tianjin Pengsheng Logistics Co.judgmen Tianjin Dece Websi
Ltd. (hereinafter referred to as "Tianjin
t of the Pengsheng to mber te
Pengsheng"). After the contract was signed (www.first immediately 2420
Zhiyijia the plaintiff supplied the goods to pay the Under 22 cninfo
9617.43 No instance
Tianjin Pengsheng the defendant as agreed plaintiff RMB execution Octob .com.c
has
but Tianjin Pengsheng the defendant failed 96174308.42 er n)(202
come and the 2020 2-101
to fulfill the payment obligation to Zhiyijia as
into corresponding 23 and
agreed. As of November 30 2022 according
effect. liquidated 2023-to statistics Tianjin Pengsheng the defendant damages for 057）
still owed Zhiyijia a payment of RMB overdue
100Annual Report 2024
96174308.42. Based on this Zhiyijia the payment and
plaintiff brought a lawsuit against Tianjin bear the
related
Pengsheng the defendant to the People's
litigation costs
Court of Mianyang High-tech Industrial
and property
Development Zone and requested the court to preservation
order Tianjin Pengsheng to immediately pay guarantee
the plaintiff RMB 96174308.42 and the fees.corresponding liquidated damages for overdue
payment and bear the related litigation costs
and property preservation guarantee fees.he court
ordered the
defendant
Meiling Group a subsidiary of the Company
Twenty- Gome
signed a sales contract with Gome Electrical
Appliances Co. Ltd. (hereinafter referred to two Electrical
as "Gome"). After the contract was signed cases Appliances
Meiling Group the plaintiff fulfilled the have Co. Ltd. to
supply obligation according to the contract been immediately
while Gome and its affiliated companies the decided pay the Jucha
defendant failed to fulfill the payment
in the plaintiff o
obligation to Meiling Group according to the Some cases
contract. According to statistics the defendant first Meiling Websihave come
Gome and its affiliated companies owe instance Group RMB Octob te into effect
Meiling Group RMB 9841267.21 for 14 5483519.01 er (www.
1086.01 No and are
purchase payment and RMB 1018820.55 for cases and the 2020 cninfo
liquidated damages for overdue payment under have corresponding 23 .com.c
totaling RMB 10860087.76. Based on this implementat
come liquidated n)(202
the plaintiff Meiling Group filed a lawsuit ion.into damages for 3-058
against the defendant Gome and its affiliatedcompanies in the People's Court of Hefei effect overdue ）
High-tech Industry Development Zone. It and 8 payment and
requested the court to order the defendant cases bear the
Gome to immediately pay the plaintiff are relevant
Meiling Group the purchase payment and the under litigation costs
liquidated damages for overdue payment
appeal. and property
totaling RMB 10860087.76.preservation
guarantee
fees.Part
Accumulated amount of other litigation that
of it
does not meet the disclosure standard of major 13582.72 - - - - -
litigation is a
note
Note: An estimated liability of 1.6527 million yuan will be confirmed in 2024. For specific details please refer to
the relevant content of "43. Estimated Liabilities" in "V. Annotations to Key Items in Consolidated Financial
Statements" of "Section 10 Financial Report" in this report.Notes: The Company's shareholding in Zhiyijia is 50% and the products are sold through Zhiyijia's smart trading
platform. The customers channels and sales transactions corresponding to the products sold are controlled and
docked by the company itself and the external transaction object is Zhiyijia and related transactions are formed
between the Company and Zhiyijia. In terms of payment settlement the Company and Zhiyijia follow the
principle of "external customer account period is Zhiyijia's account period to the Company and external customer
payment is Zhiyijia's payment to the Company which is not allowed to be remained or transited at Zhiyijia". The
amounts involved in this case are all accounts receivable and liquidated damages for overdue payment caused by
the Company's sales through the smart trading platform of Zhiyijia but the subject of the agreement is Zhiyijia
and this lawsuit will be filed by Zhiyijia. The Company and its affiliated enterprise Zhiyijia will claim their
legitimate rights and interests according to law and actively take relevant measures to safeguard the legitimate
rights and interests of the Company Zhiyijia and the investors.XII. Penalty and rectification
□Applicable√Not applicable
During the reporting period the Company had no Penalty and rectification.
101Annual Report 2024
XIII. Integrity of the company and its controlling shareholders and actual controllers
□Applicable √ Not applicable
During the reporting period the Company and the controlling shareholders and the actual controllers have had
good reputation and there is no large amount due unliquidated debt sentenced by the court.
102Annual Report 2024
XIV. Major related party transaction
(i) Related party transaction with routine operation concerned
√ Applicable □ Not applicable
Trading
Related Related Whether
Type of Proportion limit
Content of transaction transaction over the Available
Seri Relations related Pricing in similar approved Clearing form for
Related party related price (in 10 amount (in approved similar market Date of disclosure Index of disclosure
al hip transacti principle transaction (in 10 related transaction
transaction thousand 10 thousand limited or price
on s (%) thousand
Yuan) Yuan) Not (Y/N)
Yuan)
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105Annual Report 2024
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under the Refrigerator 52023December （www.cninfo.com.cn）
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Network dity machine Marketing 302024 April 023-0682023-0802024-013 controllin 604.42 604.42 0.03% 6000 No Cash settlement -
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106Annual Report 2024
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107Annual Report 2024
controllin 112024 October 22024-0442024-046202
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108Annual Report 2024
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110Annual Report 2024
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under the 52023December （www.cninfo.com.cn）
Sichuan
same Accept 222023March No.:2023-0662023-0672
Changhong Commission Marketing Spot exchange Bank 302024 April 023-0682023-0802024-0
36 controllin labor 451.37 451.37 0.21% 3000 No -
Jijia Fine Co. processing fee price acceptance 262024 August 17 072024-0082024-01420
g service
Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
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Other
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control December Juchao Website
Sichuan
52023December （www.cninfo.com.cn）
Changhong under the
same Accept 222023March No.:2023-0662023-0672Gerun Environmenta
Marketing 302024 April 023-0682023-0802024-0
37 Environment controllin labor l protection 11.87 11.87 0.01% 5000 No Cash settlement -
price 262024 August 17 072024-0082024-01420al protection g service service 2024 October 24-0242024-042024-04
Technology sharehold 112024 October 22024-0442024-046202
Co. Ltd.er and 302024. 4-0472024-0492024-60.ultimate
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Other
December Juchao Website
enterprise 52023December （www.cninfo.com.cn）
Sichuan control
Accept 222023March No.:2023-0662023-0672Changhong
under the Network Marketing 302024 April 023-0682023-0802024-0
38 Network labor 3.05 3.05 0.00% 7500 No Cash settlement -
same Maintenance price 262024 August 17 072024-0082024-01420Technology service
controllin 2024 October 24-0242024-042024-04Co. Ltd.
112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
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113Annual Report 2024
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ultimate
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Other
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December Juchao Website
control
52023December （www.cninfo.com.cn）
Sichuan under the
222023March No.:2023-0662023-0672
Changhong same Accept
Labor Marketing 302024 April 023-0682023-0802024-0
39 Electronic controllin labor 3.41 3.41 0.00% 7500 No Cash settlement -
serves price 262024 August 17 072024-0082024-01420Products Co. g service
2024 October 24-0242024-042024-04
Ltd. sharehold
112024 October 22024-0442024-046202
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302024.4-0472024-0492024-60.
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Other
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December Juchao Website
control
52023December （www.cninfo.com.cn）
under the Technical
Sichuan 222023March No.:2023-0662023-0672
same Accept service
Aichuang Marketing 302024 April 023-0682023-0802024-0
40 controllin labor warehouse 62.07 62.07 0.03% 5000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420g service management
Co. Ltd. 2024 October 24-0242024-042024-04
sharehold service
112024 October 22024-0442024-046202
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302024.4-0472024-0492024-60.
ultimate
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Other
enterprise Technology
control development December Juchao Website
under the service fee 52023December （www.cninfo.com.cn）
Sichuan
same Accept instrument 222023March No.:2023-0662023-0672
Qiruike Marketing 302024 April 023-0682023-0802024-0
41 controllin labor repair fee 903.72 903.72 0.43% 5000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420
g service inspection
Co. Ltd. 2024 October 24-0242024-042024-04
sharehold and 112024 October 22024-0442024-046202
er and certification 302024. 4-0472024-0492024-60.ultimate fee etc.controller
Other December Juchao Website
Sichuan
enterprise 52023December （www.cninfo.com.cn）
Changhong Accept
control Labor Marketing 222023March No.:2023-0662023-0672
42 Device labor 22.11 22.11 0.01% 7500 No Cash settlement -
under the serves price 302024 April 023-0682023-0802024-0Technology service
same 262024 August 17 072024-0082024-01420
Co. Ltd
controllin 2024 October 24-0242024-042024-04
114Annual Report 2024
g 112024 October 22024-0442024-046202
sharehold 302024. 4-0472024-0492024-60.er and
ultimate
controller
December Juchao Website
Air 52023December （www.cninfo.com.cn）
Sichuan Controllin conditioner 222023March No.:2023-0662023-0672
Changhong g Sales of Kitchen and Marketing Spot exchange Bank 302024 April 023-0682023-0802024-0
43 121.69 121.69 0.0043% 1000 No -
Electric Co. sharehold goods bathroom price acceptance 262024 August 17 072024-0082024-01420
Ltd. er small 2024 October 24-0242024-042024-04
112024 October
appliances 22024-0442024-046202
302024.4-0472024-0492024-60.
December Juchao Website
Sichuan Controllin 52023December （www.cninfo.com.cn）
Changhong g Kitchen and 222023March No.:2023-0662023-0672
Electronics sharehold Sales of bathroom Marketing Spot exchange Bank 302024 April 023-0682023-0802024-0
44 14.67 14.67 0.0005% 3000 No -
Holding er and goods small price acceptance 262024 August 17 072024-0082024-01420
Group Co. ultimate appliances 2024 October 24-0242024-042024-04
Ltd. 112024 October
controller 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan same Kitchen and 222023March No.:2023-0662023-0672
Changhong Sales of bathroom Marketing 302024 April 023-0682023-0802024-0
45 controllin 1.09 1.09 0.00004% 3000 No Cash settlement -
Jijia Fine Co. goods small price 262024 August 17 072024-0082024-01420
Ltd. g appliances 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
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Other
enterprise December Juchao Website
control 52023December （www.cninfo.com.cn）Sichuan
222023March No.:2023-0662023-0672
Changhong under the
Sales of Plastic Marketing 302024 April 023-0682023-0802024-0
46 Mold same 17.23 17.23 0.0006% 3000 No Cash settlement -
goods pressure parts price 262024 August 17 072024-0082024-01420
Technology controllin 2024 October 24-0242024-042024-04
Co. Ltd. g 112024 October 22024-0442024-046202
sharehold 302024. 4-0472024-0492024-60.er and
115Annual Report 2024
ultimate
controller
Other
enterprise
Sichuan control Washing December Juchao Website
under the machine 52023December （www.cninfo.com.cn）
Zhiyijia
same Refrigerator 222023March No.:2023-0662023-0672
Network Sales of Marketing Spot exchange Bank 302024 April 023-0682023-0802024-047 controllin freezer Air 734224.78 734224.78 25.91% 880000 No -
goods price acceptance 262024 August 17 072024-0082024-01420
Technology g conditioner 2024 October 24-0242024-042024-04
Co. Ltd. sharehold small 112024 October 22024-0442024-046202
er and appliances 302024. 4-0472024-0492024-60.ultimate
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Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan same 222023March No.:2023-0662023-0672Smart socket
Hongwei Sales of Marketing 302024 April 023-0682023-0802024-0
48 controllin smart switch 0.16 0.16 0.00001% 3000 No Cash settlement -
Technology goods price 262024 August 17 072024-0082024-01420etc
Co. Ltd. g 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
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Other
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December Juchao Website
control
52023December （www.cninfo.com.cn）
Sichuan under the
Air-conditioni 222023March No.:2023-0662023-0672
Changhong same
Sales of ng Energy Marketing 302024 April 023-0682023-0802024-0
49 Device controllin 95.13 95.13 0.0034% 3000 No Cash settlement -
Technology g goods
Compressed price 262024 August 17 072024-0082024-01420
air 2024 October 24-0242024-042024-04
Co. Ltd sharehold
112024 October 22024-0442024-046202
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302024.4-0472024-0492024-60.
ultimate
controller
Other
Sichuan December Juchao Website
enterprise Air 52023December （www.cninfo.com.cn）
Changhong Sales of Marketing 50 control conditioner 177.14 177.14 0.01% 3000 No Cash settlement - 222023March No.:2023-0662023-0672
goods price
Minsheng under the Refrigerator 302024 April 023-0682023-0802024-0
same 262024 August 17 072024-0082024-01420
116Annual Report 2024
Logistics Co. controllin 2024 October 24-0242024-042024-04
g 112024 October 22024-0442024-046202Ltd.
302024.4-0472024-0492024-60.
sharehold
er and
ultimate
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Other
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Sichuan control December Juchao WebsiteAir
under the 52023December （www.cninfo.com.cn）
Service Exp. conditioners
same 222023March No.:2023-0662023-0672inverter
51 Appliance
Sales of Marketing 302024 April 023-0682023-0802024-0
controllin integrated 616.30 616.30 0.02% 3000 No Cash settlement -
goods 262024 August 17 072024-0082024-01420
Service Chain g boards
price
2024 October 24-0242024-042024-04
sharehold components Co. Ltd. 112024 October 22024-0442024-046202etc.er and 302024. 4-0472024-0492024-60.ultimate
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Other
enterprise
control December Juchao Website
Sichuan
under the Waste copper 52023December （www.cninfo.com.cn）Changhong
Gerun same
waste wire 222023March No.:2023-0662023-0672
Sales of harness Marketing 302024 April 023-0682023-0802024-0
52 Environment controllin 98.43 98.43 0.0035% 3000 No Cash settlement -
goods waste price 262024 August 17 072024-0082024-01420al protection g packaging 2024 October 24-0242024-042024-04
Technology sharehold paper bag 112024 October 22024-0442024-046202
Co. Ltd.er and 302024. 4-0472024-0492024-60.ultimate
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Other
enterprise
December Juchao Website
control 52023December （www.cninfo.com.cn）
Sichuan under the 222023March No.:2023-0662023-0672
Changhong same Sales of Kitchen smal Marketing 302024 April 023-0682023-0802024-0
53 2.39 2.39 0.0001% 3000 No Cash settlement -
Real Estate controllin goods l appliances price 262024 August 17 072024-0082024-01420
Co. Ltd. g 2024 October 24-0242024-042024-04
112024 October
sharehold 22024-0442024-046202
302024.4-0472024-0492024-60.
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117Annual Report 2024
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Sichuan
222023March No.:2023-0662023-0672
Changhong same
Sales of Air Marketing 302024 April 023-0682023-0802024-0
54 Network controllin 7.54 7.54 0.0003% 3000 No Cash settlement -
goods conditioner 262024 August 17 072024-0082024-01420
Technology price g 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Printed board
Sichuan Aoku same 222023March No.:2023-0662023-0672components
Sales of Marketing 302024 April 023-0682023-0802024-0
55 Technology controllin small home 25.52 25.52 0.0009% 3000 No Cash settlement -
goods price 262024 August 17 072024-0082024-01420
Co. Ltd. g appliances 2024 October 24-0242024-042024-04
sharehold etc 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan
same 222023March No.:2023-0662023-0672
Changhong Sales of Kitchen smal Marketing 302024 April 023-0682023-0802024-0
56 controllin 0.75 0.75 0.00003% 3000 No Cash settlement -
Source Co. goods l appliances price 262024 August 17 072024-0082024-01420
g
Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
December Juchao Website
Sichuan Other
52023December （www.cninfo.com.cn）
Ailian enterprise Sales of Electric Marketing
57 10.54 10.54 0.0004% 3000 No Cash settlement - 222023March No.:2023-0662023-0672
Technology control goods device price 302024 April 023-0682023-0802024-0
Co. Ltd. under the 262024 August 17 072024-0082024-01420
118Annual Report 2024
same 2024 October 24-0242024-042024-04
controllin 112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
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sharehold
er and
ultimate
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Other
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control December Juchao Website
Sichuan under the
52023December （www.cninfo.com.cn）
same 222023March No.:2023-0662023-0672Changhong
Sales of Air Marketing 302024 April 023-0682023-0802024-0
58 New Energy controllin 98.75 98.75 0.0035% 3000 No Cash settlement -
goods conditioner price 262024 August 17 072024-0082024-01420Technology g 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan under the
222023March No.:2023-0662023-0672
Changhong same
Sales of Kitchen smal Marketing 302024 April 023-0682023-0802024-0
59 International controllin 0.11 0.11 0.000004% 3000 No Cash settlement -
l appliances 262024 August 17 072024-0082024-01420
Hotel Co. goods price g 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise December Juchao Website
control 52023December （www.cninfo.com.cn）
PT.CHANGH under the 222023March No.:2023-0662023-0672
ONGELECT Sales of Marketing 302024 April 023-0682023-0802024-0
60 same TV 194.30 194.30 0.01% 3000 No Cash settlement -
RICINDONE goods price 262024 August 17 072024-0082024-01420
SIA controllin 2024 October 24-0242024-042024-04
g 112024 October 22024-0442024-046202
sharehold 302024. 4-0472024-0492024-60.er and
119Annual Report 2024
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
CHANGHO same 222023March No.:2023-0662023-0672Air
NG(HK)TRA Sales of Marketing 302024 April 023-0682023-0802024-0
61 controllin conditioner 65382.61 65382.61 2.31% 140000 No Cash settlement -
DINGLIMIT goods and part price
262024 August 17 072024-0082024-01420
ED g 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
CHANGHO same Refrigerator 222023March No.:2023-0662023-0672
NGELECTRI Sales of freezers wash Marketing 302024 April 023-0682023-0802024-0
62 controllin 25696.65 25696.65 0.91% 140000 No Cash settlement -
C(AUSTRAL goods ing machine price 262024 August 17 072024-0082024-01420
IA)PTY.LTD. g and part 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
same 222023March No.:2023-0662023-0672
OrionPDPCo. Sales of Marketing 302024 April 023-0682023-0802024-0
63 controllin Refrigerator 4062.24 4062.24 0.14% 6500 No Cash settlement -
Ltd goods price 262024 August 17 072024-0082024-01420
g 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other December Changhong Juchao Website
Sales of Marketing 52023December
64 Europe enterprise Refrigerator 9553.85 9553.85 0.34% 12000 No Cash settlement - （www.cninfo.com.cn）
222023March
Electrics.r.o goods price control No.:2023-0662023-0672302024 April
120Annual Report 2024
under the 262024 August 17 023-0682023-0802024-0
same 2024 October 072024-0082024-01420
112024 October 24-0242024-042024-04
controllin
302024.22024-0442024-046202
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4-0472024-0492024-60.
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Other
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control December Juchao Website
Changhong under the Refrigerator 52023December （www.cninfo.com.cn）
International same freezers Air 222023March No.:2023-0662023-0672
Sales of Marketing 302024 April 023-0682023-0802024-0
65 Holdings controllin conditioner 17436.75 17436.75 0.62% 30000 No Cash settlement -
goods price 262024 August 17 072024-0082024-01420
(Hong Kong) g kitchen 2024 October 24-0242024-042024-04
Co. Ltd. sharehold utensils 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Mianyang same 222023March No.:2023-0662023-0672
Hongshang Sales of Kitchen smal Marketing 302024 April 023-0682023-0802024-0
66 controllin 1.58832 1.59 0.0001% 3000 No Cash settlement -
Real Estate goods l appliances price 262024 August 17 072024-0082024-01420
Co. Ltd. g 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
December Juchao Website
enterprise
Sichuan 52023December （www.cninfo.com.cn）
control
Aichuang 222023March No.:2023-0662023-0672
under the Sales of Kitchen smal Marketing 302024 April 023-0682023-0802024-0
67 Science & 2.26 2.26 0.00% 3000 No Cash settlement -
same goods l appliances price 262024 August 17 072024-0082024-01420
Technology
controllin 2024 October 24-0242024-042024-04
Co. Ltd. 112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
sharehold
121Annual Report 2024
er and
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Yuanxin same 222023March No.:2023-0662023-0672
Financial Sales of Air Marketing 302024 April 023-0682023-0802024-0
68 controllin 256.85 256.85 0.01% 3000 No Cash settlement -
Leasing Co. goods conditioner price 262024 August 17 072024-0082024-01420
Ltd. g 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
52023December （www.cninfo.com.cn）
Mianyang under the
same 222023March No.:2023-0662023-0672Huafeng
Sales of Air Marketing 302024 April 023-0682023-0802024-0
69 Hulian controllin 790.27 790.27 0.03% 3000 No Cash settlement -
goods conditioner price 262024 August 17 072024-0082024-01420Technology g 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same 222023March No.:2023-0662023-0672
Jiahua Sales of Air Marketing 302024 April 023-0682023-0802024-0
70 controllin 43.24 43.24 0.0015% 3000 No Cash settlement -
Information goods conditioner price 262024 August 17 072024-0082024-01420
Product Co. g 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Sichuan Controllin Providin Labour Marketing December Juchao Website71 0.59 0.59 0.01% 3000 No Cash settlement -
g g service price 52023December （www.cninfo.com.cn）
122Annual Report 2024
Changhong sharehold services 222023March No.:2023-0662023-0672
er and 302024 April 023-0682023-0802024-0Electronics
262024 August 17 072024-0082024-01420
ultimate
Holding 2024 October 24-0242024-042024-04
controller
112024 October 22024-0442024-046202
Group Co.
302024.4-0472024-0492024-60.
Ltd.Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）Property
Changhong same Providin 222023March No.:2023-0662023-0672management
Marketing 302024 April 023-0682023-0802024-0
72 Mold Plastic controllin g services 409.98 409.98 5.82% 10000 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Tech. Co. g services warehousing 2024 October 24-0242024-042024-04
Ltd. sharehold services etc 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan Property
same Providin 222023March No.:2023-0662023-0672management
Changhong Marketing Spot exchange Bank 302024 April 023-0682023-0802024-0
73 controllin g services 45.60 45.60 0.65% 3000 No -
Jijia Fine Co. price acceptance 262024 August 17 072024-0082024-01420
g services warehousing
Ltd. 2024 October 24-0242024-042024-04
sharehold services etc 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
December Juchao Website
control
Sichuan 52023December （www.cninfo.com.cn）
under the
Aichuang Providin 222023March No.:2023-0662023-0672
same Marketing 302024 April 023-0682023-0802024-0
74 Science & g Labor service 95.59 95.59 1.36% 3000 No Cash settlement -
controllin price 262024 August 17 072024-0082024-01420
Technology services
g 2024 October 24-0242024-042024-04
Co. Ltd. 112024 October
sharehold 22024-0442024-046202
302024.4-0472024-0492024-60.
er and
ultimate
123Annual Report 2024
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan same Providin 222023March No.:2023-0662023-0672
Huafeng Marketing 302024 April 023-0682023-0802024-0
75 controllin g Labor service -1.12 -1.12 -0.02% 3000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420
Co. Ltd. g services 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Zhiyijia same Providin 222023March No.:2023-0662023-0672
Service fee Marketing 302024 April 023-0682023-0802024-076 Network controllin g 10.14 10.14 0.14% 7500 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Technology g services 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan Controllin
Providin 222023March No.:2023-0662023-0672
Changhong g Marketing 302024 April 023-0682023-0802024-0
77 g Labor service 757.74 757.74 10.76% 7500 No Cash settlement -
Electric Co. sharehold price 262024 August 17 072024-0082024-01420
services
Ltd. er 2024 October 24-0242024-042024-04
112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
December Juchao Website
enterprise
Sichuan 52023December （www.cninfo.com.cn）
control
Changhong Providin 222023March No.:2023-0662023-0672
under the Technical Marketing 302024 April 023-0682023-0802024-0
78 Device g 55.28 55.28 0.78% 7500 No Cash settlement -
same service fee price 262024 August 17 072024-0082024-01420
Technology services
controllin 2024 October 24-0242024-042024-04
Co. Ltd. 112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
sharehold
124Annual Report 2024
er and
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Sichuan
same Providin 222023March No.:2023-0662023-0672Changhong
Installation Marketing 302024 April 023-0682023-0802024-0
79 New Energy controllin g 66.06 66.06 0.94% 3000 No Cash settlement -
service 262024 August 17 072024-0082024-01420
Technology price g services 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the
52023December （www.cninfo.com.cn）
same Providin Installation 222023March No.:2023-0662023-0672Changhong
service Marketing 302024 April 023-0682023-0802024-0
80 Network controllin g 17.35 17.35 0.25% 7500 No Cash settlement -
maintenance
Technology price
262024 August 17 072024-0082024-01420
g services service 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Mianyang
same Providin Technical 222023March No.:2023-0662023-0672Huafeng
service Marketing 302024 April 023-0682023-0802024-0
81 Hulian controllin g 1072.41 1072.41 15.23% 3000 No Cash settlement -
Repair price 262024 August 17 072024-0082024-01420Technology g services Service 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Changhong Other Providin Marketing December Juchao Website
82 Labor service 139.65 139.65 1.98% 200 No Cash settlement -
Huayi enterprise g price 52023December （www.cninfo.com.cn）
125Annual Report 2024
Compressor control services 222023March No.:2023-0662023-0672
Co. Ltd. under the 302024 April 023-0682023-0802024-0
262024 August 17 072024-0082024-01420
same
2024 October 24-0242024-042024-04
controllin
112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.sharehold
er and
ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same Providin maintenance 222023March No.:2023-0662023-0672
service Marketing 302024 April 023-0682023-0802024-0
83 Minsheng controllin g 13.66 13.66 0.19% 7500 No Cash settlement -
Property price 262024 August 17 072024-0082024-01420
Logistics Co. g services Management 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Ailian same Providin 222023March No.:2023-0662023-0672
Marketing 302024 April 023-0682023-0802024-0
84 Science & controllin g Warehouse 0.32 0.32 0.0046% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Technology g services 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other December Juchao Website
enterprise 52023December （www.cninfo.com.cn）Sichuan
222023March No.:2023-0662023-0672
Changhong control Providin
Marketing 302024 April 023-0682023-0802024-0
85 Xinwang under the g Labor service -10.14 -10.14 -0.14% 7500 No Cash settlement -
price 262024 August 17 072024-0082024-01420Technology same services 2024 October 24-0242024-042024-04
Co. Ltd. controllin 112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.
126Annual Report 2024
sharehold
er and
ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Service Exp. same Providin 222023March No.:2023-0662023-0672
Marketing 302024 April 023-0682023-0802024-0
86 Appliance controllin g Labor service 146.39 146.39 2.08% 7500 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Service Chain g services 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan Aoku same Providin 222023March No.:2023-0662023-0672
Marketing 302024 April 023-0682023-0802024-0
87 Technology controllin g Labor service 7.79 7.79 0.11% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Co. Ltd. g services 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same Providin 222023March No.:2023-0662023-0672
Maintenance Marketing 302024 April 023-0682023-0802024-0
88 International controllin g 4.29 4.29 0.06% 3000 No Cash settlement -
service price 262024 August 17 072024-0082024-01420
Hotel Co. g services 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
89 Sichuan Other Providin Property Marketing 10.14 10.14 0.14% 7500 No Cash settlement - December Juchao Website
127Annual Report 2024
Changhong enterprise g Management price 52023December （www.cninfo.com.cn）
International control services 222023March No.:2023-0662023-0672
Holding 302024 April
under the 023-0682023-0802024-0（HK）Co. 262024 August 17 072024-0082024-01420
same
Ltd. 2024 October 24-0242024-042024-04
controllin 112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.sharehold
er and
ultimate
controller
Other
enterprise
December Juchao Website
control
52023December （www.cninfo.com.cn）
Sichuan under the
222023March No.:2023-0662023-0672
Changhong same
Provide Package Marketing 302024 April 023-0682023-0802024-0
90 Electronic controllin 0.36 0.36 0.01% 7500 No Cash settlement -
labor service
Products Co. g price
262024 August 17 072024-0082024-01420
2024 October 24-0242024-042024-04
Ltd. sharehold
112024 October 22024-0442024-046202
er and
302024.4-0472024-0492024-60.
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan
same Providin 222023March No.:2023-0662023-0672
Qiruike Marketing 302024 April 023-0682023-0802024-0
91 controllin g Labor service 0.14 0.14 0.0021% 3000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420
g services
Co. Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
December Juchao Website
enterprise 52023December （www.cninfo.com.cn）
Yuanxin control Providin 222023March No.:2023-0662023-0672
Financial under the Consulting Marketing 302024 April 023-0682023-0802024-0
92 g 57.00 57.00 0.81% 7500 No Cash settlement -
Leasing Co. same service price 262024 August 17 072024-0082024-01420
Ltd. services controllin 2024 October 24-0242024-042024-04
112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
sharehold
128Annual Report 2024
er and
ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same Providin 222023March No.:2023-0662023-0672
Technical Marketing 302024 April 023-0682023-0802024-0
93 Property controllin g 21.40 21.40 0.30% 3000 No Cash settlement -
service fee price 262024 August 17 072024-0082024-01420
Service Co. g services 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan
under the 52023December （www.cninfo.com.cn）Changhong
same Providin 222023March No.:2023-0662023-0672Jiechuang Installation
Marketing 302024 April 023-0682023-0802024-0
94 Lithium controllin g service Labor 5.39 5.39 0.08% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420Battery g services service 2024 October 24-0242024-042024-04
Technology sharehold 112024 October 22024-0442024-046202
Co. Ltd.er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same Providin Air 222023March No.:2023-0662023-0672
Education conditioning Marketing 302024 April 023-0682023-0802024-0
95 controllin g 0.90 0.90 0.01% 3000 No Cash settlement -
and maintenance price 262024 August 17 072024-0082024-01420
Technology g services service 2024 October 24-0242024-042024-04
Co. Ltd sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Sichuan Other Rent to Warehouse Marketing December Juchao Website
96 0.96 0.96 0.02% 3000 No Cash settlement -
Aichuang enterprise the for rent price 52023December （www.cninfo.com.cn）
129Annual Report 2024
Technology control related 222023March No.:2023-0662023-0672
Co. Ltd. under the party 302024 April 023-0682023-0802024-0
262024 August 17 072024-0082024-01420
same
2024 October 24-0242024-042024-04
controllin
112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.sharehold
er and
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Rent to
Sichuan Aoku same 222023March No.:2023-0662023-0672
the Warehouse Marketing 302024 April 023-0682023-0802024-0
97 Technology controllin 0.97 0.97 0.02% 3000 No Cash settlement -
related for rent price 262024 August 17 072024-0082024-01420
Co. Ltd. g
party 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Rent to
Service Exp. same 222023March No.:2023-0662023-0672
the Rental Marketing 302024 April 023-0682023-0802024-0
98 Appliance controllin 44.66 44.66 0.75% 4000 No Cash settlement -
related apartment price 262024 August 17 072024-0082024-01420
Service Chain g
party 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other December Juchao Website
enterprise 52023December （www.cninfo.com.cn）
Sichuan Rent to
control 222023March No.:2023-0662023-0672
Qiruik the Lease of Marketing 302024 April 023-0682023-0802024-0
99 under the 4.73 4.73 0.08% 3000 No Cash settlement -
Technology related factory price 262024 August 17 072024-0082024-01420
same
Co. Ltd. party 2024 October 24-0242024-042024-04
controllin 112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.
130Annual Report 2024
sharehold
er and
ultimate
controller
December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan Controllin Rent to
Lease of 222023March No.:2023-0662023-0672
Changhong g the Marketing 302024 April 023-0682023-0802024-0
100 factory 84.40 84.40 1.42% 4000 No Cash settlement -
Electric Co. sharehold related price 262024 August 17 072024-0082024-01420
equipment
Ltd. er party 2024 October 24-0242024-042024-04
112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise
control December Juchao Website
under the Rental 52023December （www.cninfo.com.cn）
Sichuan Rent to
same apartment 222023March No.:2023-0662023-0672
Changhong the Marketing 302024 April 023-0682023-0802024-0
101 controllin warehousespl 696.97 696.97 11.73% 4000 No Cash settlement -
Jijia Fine Co. related price 262024 August 17 072024-0082024-01420
g antsequipme
Ltd. party 2024 October 24-0242024-042024-04
sharehold nt 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
December Juchao Website
Sichuan Controllin 52023December （www.cninfo.com.cn）
Changhong g Lease 222023March No.:2023-0662023-0672
Education sharehold from Lease of Marketing 302024 April 023-0682023-0802024-0
102 1.73 1.73 0.03% 3000 No Cash settlement -
and er and related factory price 262024 August 17 072024-0082024-01420
Technology ultimate parties 2024 October 24-0242024-042024-04
Co. Ltd1 controller 112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise December Juchao Website
Sichuan
control 52023December （www.cninfo.com.cn）
Changhong Rent to
under the 222023March No.:2023-0662023-0672
Precision the Rental Marketing 302024 April 023-0682023-0802024-0
103 same 84.59 84.59 1.42% 4000 No Cash settlement -
Electronics related apartment price 262024 August 17 072024-0082024-01420
controllin
Tech. Co. party 2024 October 24-0242024-042024-04
g 112024 October
Ltd. 22024-0442024-046202
sharehold 302024. 4-0472024-0492024-60.er and
131Annual Report 2024
ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Rent to
Changhong same Rental 222023March No.:2023-0662023-0672
the Marketing 302024 April 023-0682023-0802024-0
104 Minsheng controllin apartment 47.56 47.56 0.80% 4000 No Cash settlement -
related price 262024 August 17 072024-0082024-01420
Logistics Co. g office factory
party 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control Serviced December Juchao Website
Sichuan under the apartment 52023December （www.cninfo.com.cn）
Rent to
Changhong same warehouse 222023March No.:2023-0662023-0672
the Marketing 302024 April 023-0682023-0802024-0
105 Mold Plastic controllin workshop 1826.96 1826.96 30.74% 4000 No Cash settlement -
related price 262024 August 17 072024-0082024-01420
Tech. Co. g equipment
party 2024 October 24-0242024-042024-04
Ltd. sharehold and living 112024 October 22024-0442024-046202
er and quarters 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Rent to
Changhong same 222023March No.:2023-0662023-0672
the Lease of Marketing 302024 April 023-0682023-0802024-0
106 Device controllin 128.60 128.60 2.16% 4000 No Cash settlement -
related factory price 262024 August 17 072024-0082024-01420
Technology g
party 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Sichuan Other Rent to December Juchao Website
Rental Marketing 52023December
107 Zhiyijia enterprise the 18.83 18.83 0.32% 4000 No Cash settlement - （www.cninfo.com.cn）
apartment price 222023March
Network control related No.:2023-0662023-0672302024 April
132Annual Report 2024
Technology under the party 262024 August 17 023-0682023-0802024-0
Co. Ltd. same 2024 October 072024-0082024-01420
112024 October 24-0242024-042024-04
controllin
302024.22024-0442024-046202
g
4-0472024-0492024-60.
sharehold
er and
ultimate
controller
Other
enterprise
control December Juchao Website
Chengdu under the 52023December （www.cninfo.com.cn）
Leasing
Changhong same 222023March No.:2023-0662023-0672
from Marketing 302024 April 023-0682023-0802024-0
108 Electronic controllin Leasing office 69.14 69.14 1.16% 4000 No Cash settlement -
related price 262024 August 17 072024-0082024-01420
Technology g
party 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Guangdong Leasing
same Lease of staff 222023March No.:2023-0662023-0672
Changhong from Marketing 302024 April 023-0682023-0802024-0
109 controllin dormitory 12.28 12.28 0.21% 4000 No Cash settlement -
Electrics Co. related price 262024 August 17 072024-0082024-01420
g plant
Ltd. party 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
December Juchao Website
enterprise 52023December （www.cninfo.com.cn）
Sichuan control Leasing 222023March No.:2023-0662023-0672
Jiahong under the from Lease of staff Marketing 302024 April 023-0682023-0802024-0
110 55.24 55.24 0.93% 5000 No Cash settlement -
Industrial same related dormitory price 262024 August 17 072024-0082024-01420
Co. Ltd. controllin party 2024 October 24-0242024-042024-04
112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
sharehold
133Annual Report 2024
er and
ultimate
controller
December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan Controllin Leasing 222023March No.:2023-0662023-0672
Lease of
Changhong g from Marketing 302024 April 023-0682023-0802024-0
111 laboratory 401.97 401.97 6.76% 4000 No Cash settlement -
Electric Co. sharehold related price 262024 August 17 072024-0082024-01420and workshop
Ltd. er party 2024 October 24-0242024-042024-04
112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
December Juchao Website
Sichuan Controllin 52023December （www.cninfo.com.cn）
Changhong g Leasing 222023March No.:2023-0662023-0672
Electronics sharehold from Marketing 302024 April 023-0682023-0802024-0
112 Rental stores 19.51 19.51 0.33% 293800 No Cash settlement -
Holding er and related price 262024 August 17 072024-0082024-01420
Group Co. ultimate party 2024 October 24-0242024-042024-04
Ltd. 112024 October
controller 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Rent to
Zhiyijia same 222023March No.:2023-0662023-0672
the Marketing 302024 April 023-0682023-0802024-0
113 Network controllin Rental office 0.50 0.50 0.01% 4000 No Cash settlement -
related price 262024 August 17 072024-0082024-01420
Technology g
party 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
December Juchao Website
control 52023December （www.cninfo.com.cn）
Changhong under the Rent to 222023March No.:2023-0662023-0672
Huayi same the Lease of staff Marketing 302024 April 023-0682023-0802024-0
114 11.48 11.48 0.19% 80000 No Cash settlement -
Compression controllin related dormitory price 262024 August 17 072024-0082024-01420
Co. Ltd. g party 2024 October 24-0242024-042024-04
112024 October
sharehold 22024-0442024-046202
302024.4-0472024-0492024-60.
er and
ultimate
134Annual Report 2024
controller
Other
enterprise
control December Juchao Website
Sichuan Purchase under the 52023December （www.cninfo.com.cn）
Changhong and same 222023March No.:2023-0662023-0672Line body
Intelligent construc Marketing 302024 April 023-0682023-0802024-0
115 controllin transformatio 35.24 35.24 0.07% 500 No Cash settlement -
Manufacturin tion of price 262024 August 17 072024-0082024-01420n
g Technology g fixed 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October
assets 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan Controllin Leasing 222023March No.:2023-0662023-0672
Laboratory
Changhong g from Marketing 302024 April 023-0682023-0802024-0
116 infrastructure 95.26 95.26 0.20% 3000 No Cash settlement -
Electric Co. sharehold related price 262024 August 17 072024-0082024-01420construction
Ltd. er party 2024 October 24-0242024-042024-04
112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Zhiyijia same Purchase 222023March No.:2023-0662023-0672
Marketing 302024 April 023-0682023-0802024-0
117 Network controllin of fixed TV 7.88 7.88 0.02% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420
Technology g assets 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
December Juchao Website
enterprise 52023December （www.cninfo.com.cn）
Sichuan control Purchase 222023March No.:2023-0662023-0672
Hongwei under the Data center Marketing 302024 April 023-0682023-0802024-0
118 of fixed 28.10 28.10 0.06% 3000 No Cash settlement -
Technology same large screen price 262024 August 17 072024-0082024-01420
Co. Ltd. assets controllin 2024 October 24-0242024-042024-04
112024 October
g 22024-0442024-046202
302024.4-0472024-0492024-60.
sharehold
135Annual Report 2024
er and
ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
081
same Purchase 222023March No.:2023-0662023-0672Archives
Electronics Marketing 302024 April 023-0682023-0802024-0
119 controllin of fixed room 18.46 18.46 0.04% 3000 No Cash settlement -
Group Co. 262024 August 17 072024-0082024-01420
g assets equipment
price
Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan
same 222023March No.:2023-0662023-0672Purchase
Qiruik Marketing 302024 April 023-0682023-0802024-0
120 controllin Intangibl Equipment 14.69 14.69 0.03% 5000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420
g e assets
Co. Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan
same 222023March No.:2023-0662023-0672Purchase
Hongxin Information Marketing 302024 April 023-0682023-0802024-0
121 controllin Intangibl 67.92 67.92 0.14% 3000 No Cash settlement -
Software Co. management price 262024 August 17 072024-0082024-01420
g e assets
Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Sichuan Other Purchase Data center Marketing December Juchao Website
122 155.19 155.19 0.32% 3000 No Cash settlement -
Hongxin enterprise Intangibl large screen price 52023December （www.cninfo.com.cn）
136Annual Report 2024
Software Co. control e assets 222023March No.:2023-0662023-0672
Ltd. under the 302024 April 023-0682023-0802024-0
262024 August 17 072024-0082024-01420
same
2024 October 24-0242024-042024-04
controllin
112024 October 22024-0442024-046202
g 302024. 4-0472024-0492024-60.sharehold
er and
ultimate
controller
December Juchao Website
52023December （www.cninfo.com.cn）
Sichuan Controllin 222023March No.:2023-0662023-0672
Sales of
Changhong g Marketing 302024 April 023-0682023-0802024-0
123 Fixed Equipment 176.16 176.16 35.83% 3000 No Cash settlement -
Electric Co. sharehold price 262024 August 17 072024-0082024-01420assets
Ltd. er 2024 October 24-0242024-042024-04
112024 October 22024-0442024-046202
302024.4-0472024-0492024-60.
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Sichuan
same 222023March No.:2023-0662023-0672Sales of
Qiruik Marketing 302024 April 023-0682023-0802024-0
124 controllin Fixed Equipment 35.90 35.90 7.30% 3000 No Cash settlement -
Technology price 262024 August 17 072024-0082024-01420
g assets
Co. Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Guangyuan
222023March No.:2023-0662023-0672
Changhong same Sales of
Marketing 302024 April 023-0682023-0802024-0
125 Electric controllin Fixed Equipment 8.36 8.36 1.70% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420Technology g assets 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
137Annual Report 2024
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）Sichuan
same 222023March No.:2023-0662023-0672Service Exp. Sales of
Marketing 302024 April 023-0682023-0802024-0
126 Appliance controllin Fixed Equipment 1.45 1.45 0.29% 3000 No Cash settlement -
price 262024 August 17 072024-0082024-01420Service Chain g assets 2024 October 24-0242024-042024-04
Co. Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
Sichuan under the 52023December （www.cninfo.com.cn）
Changhong same 222023March No.:2023-0662023-0672Sales of
Marketing 302024 April 023-0682023-0802024-0
127 Mold Plastic controllin Fixed Equipment 5.81 5.81 1.18% 3000 No Cash settlement -
assets price
262024 August 17 072024-0082024-01420
Tech. Co. g 2024 October 24-0242024-042024-04
Ltd. sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Other
enterprise
control December Juchao Website
under the 52023December （www.cninfo.com.cn）
Yuanxin Financin
same 222023March No.:2023-0662023-0672Financing
Financial Marketing 302024 April 023-0682023-0802024-0
128 controllin g 149852.72 149852.72 209000 No Cash settlement -
Leasing Co. business price 262024 August 17 072024-0082024-01420
g business
Ltd. 2024 October 24-0242024-042024-04
sharehold 112024 October 22024-0442024-046202
er and 302024. 4-0472024-0492024-60.ultimate
controller
Total -- -- 1666569.0 -- 2127700 -- -- -- -- --
9
Detail of sales return with major amount involved Not applicable
Report the actual implementation of the daily related 1 It is estimated that the related transaction amount resulted by purchasing goods (including door shell and plastic products etc.) and accepting fuel and power from
transactions which were projected about their total Sichuan Changhong and its subsidiary by the Company for year of 2024 was 2690 million yuan at most (tax-excluded) actually 2092.9895 million yuan occurred in
138Annual Report 2024
amount by types during the reporting period (if reporting period. It is estimated that the amount of related-party transactions of the company's purchase of goods from Sichuan Changhong Jijia Fine Co. Ltd. in 2024
applicable) will not exceed 650 million yuan although the actual amount incurred during the reporting period was 657.5166 million yuan. and the actual total amount of routine
related party transactions between the Company and Sichuan Changhong and its subsidiaries (including Changhong Jijia and its subsidiaries) does not exceed the
estimated total amount which is in line with the regulations of Article 25 of "Self-Regulatory Guidelines for Listed Companies on the Shenzhen Stock Exchange No.
7-Transactions and Related Party Transactions".
2. It is estimated that the related transaction amount resulted by purchasing compressors Sell goods accept or provide services with Changhong Huayi and its
subsidiary by the Company for year of 2024 was 802 million yuan at most (tax-excluded) actually 568.7796 million yuan occurred in reporting period.
3. It is estimated that the related transaction amount resulted by purchasing or selling equipment software maintenance and spare parts and molds etc. from Sichuan
Changhong and its subsidiary by the Company for year of 2024 was 30 million yuan at most (tax-excluded) actually 5.6459 million yuan occurred in reporting period.
4. It is estimated that the related transaction amount resulted by selling goods and providing fuel and power to Sichuan Changhong and its subsidiary by the Company
for year of 2024 was 10660 million yuan at most (tax-excluded) actually 8538.2845 million yuan occurred in reporting period.
5. It is estimated that the related transaction amount resulted by leasing business to Sichuan Changhong and its subsidiary by the Company for year of 2024 was 40
million yuan at most (tax-excluded) actually 34.1645 million yuan occurred in reporting period.
6. It is estimated that the related transaction amount from domestic finished goods logistic business outsourcing to Sichuan Changhong Minsheng Logistics Co. Ltd.
by the Company for year of 2024 was 750 million yuan at most (tax-excluded) actually 690.6046 million yuan occurred in reporting period.
7. It is estimated that the related transaction amount from after sales service of domestic goods outsourcing to Sichuan Service Exp. Appliance Service Chain Co. Ltd.
by the Company for year of 2024 was 510 million yuan at most actually 388.9703 million yuan occurred in reporting period.
8. It is estimated that the related transaction amount resulted by accepting other service and labor service etc. or providing other service and labor service etc. to
Sichuan Changhong and its subsidiary by the Company for year of 2024 was 205 million yuan at most (tax-excluded) actually 96.3535 million yuan occurred in
reporting period.
9. It is estimated that the related transaction amount resulted by selling goods and leasing business from Sichuan Changhong Electronics Holding Group Co. Ltd and
its subsidiary by the Company for year of 2024 was 95 million yuan at most (tax-excluded) actually 64.2243 million yuan occurred in reporting period.
10. It is estimated that the related transaction amount resulted by purchasing goods and receiving labor services fuel power leasing and purchasing equipment etc.
from Sichuan Changhong Electronics Holding Group Co. Ltd. and its subsidiary by the Company for year of 2024 was 3403 million yuan at most (tax-excluded)
actually 2685.8539 million yuan occurred in reporting period.
11. It is estimated that the related transaction amount resulted by received the financing lease commercial factoring and bill financing from Yuanxin Financial Lease
Co. Ltd for year of 2024 was 2090 million yuan at most actually 1498.5272 million yuan occurred in reporting period.Reasons for major differences between trading price
Not applicable
and market reference price (if applicable)
Note: According to the Shenzhen Stock Exchange's "Listing Rules" and the company's "Authorization Management System" and other relevant regulations related party transactions between
the company and related parties with an amount less than 3 million yuan (including 3 million yuan) shall be implemented with the approval of the company's president. Therefore during the
reporting period the related-party transactions between the company and its related party Mianyang High-tech Zone Hongfu Technology Co. Ltd. were within 3 million yuan and has been
approved by the company's president.
139Annual Report 2024
(ii) Related transactions by assets acquisition and sold
√ Applicable □Not applicable
Apprais
ed
Carryin
value of
g value Transfe Gain/lo
assets
of assets rred Settlem ss on Date of
Related Relati Prici transfer Index of
Type Contents transferr price ent trading( disclos
party onship ng red disclosure
ed (10000 terms 10000 ure
(10000
(10000 yuan) yuan)
yuan)
yuan)
(if
any)
The Company
acquired 99%
Related-
Sichuan Contr equity of Hefei mar
party Juchao Website
Changhong olling Changhong ket 37128. 37128. October
equity 23255 Cash - www.cninfo.com.Electric shareh Industry Co. Ltd. pric 29 29 122024
acquisiti cn （2024-048）
Co.Ltd. older held by Sichuan e
on
Changhong
Electric Co.Ltd.Other
enterp
rises Hefei Meiling IOT
contro Technology Co.lled by Ltd. a
the wholly-owned
Sichuan same Related- subsidiary of the
mar
Changhong contro party Company Juchao Website
ket October
Venture lling equity acquired 1% 234.9 375.03 375.03 Cash - www.cninfo.com.pric 122024
Capital Co. shareh acquisiti equity of Hefei cn （2024-048）
e
Ltd. older on Industry held by
and Sichuan
ultima Changhong
te Venture Capital
contro Co. Ltd.lling
party
Reasons for major differences between transferred price
Not applicable
and carrying value or appraised value (if any)
This transaction is in line with the Company's strategic planning and development direction
solves the problems of industrial development and resource shortage and meets the needs of
capacity expansion of medium and high-end refrigerators expansion of its own logistics
Impact on operation result and financial status warehouse and integrated layout of home appliances and homes. The transaction funds come
from the Company's own funds. At present as the Company has abundant funds the
transaction funds will not cause cash flow shortage to the Company nor will it affect the funds
required for the Company's normal production and operation.Performance during the reporting period if relevant
Not applicable
trading involves a performance covenant
(iii) Related party transaction of joint foreign investment
□Applicable √ Not applicable
No such cases in the reporting period.(iv) Connect of related liability and debt
140Annual Report 2024
√ Applicable □ Not applicable
Whether has non-operational contact of related liability and debts or not
□Yes √ No
No non-operational contact of related liability or debts in Period
(v) Contact with the related finance companies
√ Applicable □ Not applicable
Deposit business
Amount for the Period
Maximum daily The total
Opening Total deposit Ending Balance
deposit limit (In Deposit interest amount
Related party Relationship balance (In 10 amount for the
10 thousand rate range withdrawn in the (10 thousand
thousand yuan) Period (10
yuan) Period (10 yuan)
thousand yuan)
thousand yuan)
Sichuan Other enterprises
Changhong controlled by the
Group same controlling 450000.00 0.42%-2.35% 426145.85 5957451.79 5935746.83 447850.81
Finance Co. shareholder and
Ltd. ultimate controller
Credit extension or other financial business
Total amount ( 10 Actual amount ( 10
Related party Relationship Type of business
thousand yuan) thousand yuan)
Other enterprises
Sichuan Changhong Group controlled by the same Other financial services -
Finance Co. Ltd. controlling shareholder note issuance 300000.00 87879.85
and ultimate controller
Other enterprises
Sichuan Changhong Group controlled by the same Other financial services -
Finance Co. Ltd. controlling shareholder note discounting 300000.00 40984.06
and ultimate controller
Other enterprises
Sichuan Changhong Group controlled by the same Other financial services -
Finance Co. Ltd. controlling shareholder note discounting 100000.00 97.72
and ultimate controller
Note 1: The Company's subsidiary Zhongke Meiling is a listed company on the Beijing Stock Exchange and its
dealings with financial companies with related relationships are detailed in the "2024 Annual Report" of Zhongke
Meiling.Note 2: As of December 312024 registered capital of Changhong Finance Company is 2693938365.84 yuan.The Company and Changhong Huayi holds 14.96% equity of Chonghong Finance Company respectively and
controlling shareholder of the Company -Sichuan Changhong Electric Co. Ltd and its controlling shareholder
Sichuan Changhong Electronics Holding Group Co. Ltd holds 35.04% equity of Changhong Finance Company
respectively.Note 3: After deliberated and approved by the 35th session of 9th BOD and 2thextraordinary shareholders general
meeting of 2020 held on 16 October 2023 and 3 November it is agreed to continue the financial servicescooperation between the Company and Changhong Finance Company and renew the “Financial ServiceAgreement” for a period of three years. Changhong Finance Company will provides a series of financial services
such as deposit and loans within scope of operation according to the requirements of Company and its
subsidiaries(Excluding Zhongke Meiling and its subsidiaries).(vi) Transactions between the finance company controlled by the Company and related parties
□ Applicable √ Not applicable
No such cases in the reporting period.(vii) Other related party transactions
√ Applicable □ Not applicable
1.On March 282024 and April 25 2024 it was reviewed and approved by the 42nd meeting of the Tenth
141Annual Report 2024
Board of Directors and the 30th meeting of the Tenth Board of Supervisors and it was agreed that the amount of
daily related transactions between the Company and its subsidiaries and Changhong Group and its subsidiaries on
purchase of commodities and raw materials in 2024 should not exceed RMB 1138. million (excluding tax);After
this increase estimation the Company and its subsidiaries expect that the total amount of daily related-party
transactions with Changhong Group such as in purchasing goods accepting labor services and renting will not
exceed RMB 2938 million (excluding tax) in 2024.
2. On August 15 2024 after deliberation and approval at the second meeting of the 11th board of directors
and the second meeting of the 11th board of supervisors of the Company it’s agreed that the Company will
increase the amount of routine related party transactions such as financial leasing commercial factoring and bill
financing between the Company and its subsidiaries and Yuanxin Financial Leasing Co. Ltd. in 2024 not
exceeding 290 million yuan (excluding tax). After the increase the amount of routine related party transactions
such as financial leasing commercial factoring and bill financing between the Company and its subsidiaries and
Yuanxin Financial Leasing Co. Ltd. in 2024 is expected to not exceed RMB 10.9 billion (excluding tax).
3. On October 11 2024 and October 29 2024 after deliberated and approved in the third meeting of the 11th
board of directors the third meeting of the 11th board of supervisors and the second extraordinary general
meeting of shareholders in 2024 it’s agreed that the Company will increase the amount of routine related party
transactions such as accepting or providing services labor services financial leasing commercial factoring and
bill financing between the Company and its subsidiaries and Sichuan Changhong and its subsidiaries in 2024not
exceeding 1025000000 yuan (excluding tax). Among them it’s expected that in 2024 the amount of routine
related party transactions between the Company and its subsidiaries and Sichuan Changhong and its subsidiaries
such as accepting or providing services and labor services will not exceed RMB 25 million (excluding tax); It’s
expected that in 2024 the amount of routine related party transactions such as financial leasing commercial
factoring and bill financing between the Company and its subsidiaries and Yuanxin Financial Leasing Co. Ltd. a
wholly-owned subsidiary of Sichuan Changhong will not exceed 10 billion yuan (excluding tax). After this
increase the Company and its subsidiaries are expected to conduct a total of no more than
RMB16975000000(excluding tax) in total routinerelated party transactions with Sichuan Changhong and its
subsidiaries (excluding Changhong Huayi Compressor Co. Ltd.) in 2024.
4. On November 4 2024 after the deliberation and approval of the fifth meeting of the 11th board of
directors and the fifth meeting of the 11th board of supervisors of the Company it’s agreed to extend the duration
of Sichuan Hongyun New Generation Information Technology Venture Capital Fund Partnership (Limited
Partnership) for 1 year (the specific expiration date is subject to industrial and commercial registration)
(hereinafter referred to as "Hongyun Fund Phase I") that is the cumulative duration of the fund after this
extension is 10 years and it’s agreed that the Company and other partners will sign the " Amendment to the
Partnership Agreement of Sichuan Hongyun New Generation Information Technology Venture Capital Fund
Partnership (Limited Partnership).
5. On December 11 and December 27 2024 after deliberated and approved in the eighth meeting of the 11th
board of directors the sixth meeting of the 11th board of supervisors and the third extraordinary general meeting
142Annual Report 2024
of shareholders in 2024 it’s agreed that the total amount of routine related party transactions between the
Company and its holding subsidiaries and related parties shall not exceed 26168200000 yuan (excluding tax);
It’s agreed that in 2025 the Company and Sichuan Changhong Group Finance Co. Ltd. will continue to carry out
financial services related transactions such as deposits and loans.Related searches for disclosure website of interim report with major related transaction concerned
Interim report Disclosure date Website for disclosure
Resolution Notice of the 42ndsession of
10thBOD (2024-007)
Resolution Notice of the 30thsession of
10thBOS (2024-008)
Announcement on Increasing the Daily
March 302024 April 262024 Juchao Website www.cninfo.com.cn
Related Party Transactions in 2024
（2024-014）
Announcement of the Resolution of the
general meeting of 2023 (2024-024)
Resolution Notice of the 2ndsession of
11thBOD (2024-041)
Resolution Notice of the 2nd session of
11thBOS (2024-042)
August 172024 Juchao Website www.cninfo.com.cn
Announcement on Increasing the Daily
Related Party Transactions in 2024
（2024-044）
Resolution Notice of the 3rdsession of
11thBOD (2024-046)
Resolution Notice of the 3rd session of
11thBOS (2024-047)
Announcement on Increasing the Daily
October 112024 Juchao Website www.cninfo.com.cn
Related Party Transactions in 2024
（2024-049）
Announcement of the Resolution of the
Second Extraordinary general meeting of
2024(2024-060)
Resolution Notice of the 5thsession of
11thBOD (2024-061)
Resolution Notice of the 5th session of
11thBOS (2024-0462)
Announcement on Extension and
Related Transactions of Sichuan November 52024 Juchao Website www.cninfo.com.cn
Hongyun New Generation Information
Technology Venture Capital Fund
Partnership Enterprise (Limited
Partnership). (2024-063)
143Annual Report 2024
Resolution Notice of the 6thsession of
11thBOD (2024-067)
Resolution Notice of the 6th session of
11thBOS (2024-068)
Announcement on Increasing the Daily
Related Party Transactions in 2025
（2024-069） December 122024December 28 2024 Juchao Website www.cninfo.com.cn
Announcement on the expected continued
related party transactions with Sichuan
Changhong Group Finance Co. Ltd. in
2025（2024-070）
Announcement of the Resolution of the
Third Extraordinary general meeting of
2024(2024-076)
XV. Significant contract and implementations
(i) Entrust contract and leasing
1. Entrust
□Applicable √ Not applicable
No entrust in Period.
2. Contract
□Applicable √ Not applicable
No contract in Period.
3. Leasing
√Applicable □Not applicable
Note
For the operational leasing of the company please refer to "investment real estate" "fixed assets" "use assets"
"use assets" "related party lease" and "related party lease" in the notes to the financial statements.Project which generates profit or loss reaching over 10% of total profits of the Company during the Reporting
Period
□ Applicable √ Not applicable
There were no leases with a 10% or greater impact on the Company’s gross profit in the Reporting Period.
144Annual Report 2024
(ii) Major guarantee
√ Applicable □ Not applicable
In RMB 10000
Particulars about the external guarantee of the Company and subsidiaries (Barring the guarantee for subsidiaries)
Counter
Collatera Complete
Name of the guarante Guarantee
Related Announcement Actual guarantee l (if Guarantee implemen
Company Guarantee limit Actual date of happening Guarantee type e (if for related
disclosure date limit applicabl term tation or
guaranteed applicab party
e) not
le)
-----------
Total approving external guarantee in report period (A1) 0 Total actual occurred external guarantee in report period (A2) 0
Total actual balance of external guarantee at the end of report
Total approved external guarantee at the end of report period ( A3) 0 period (A4) 0
Guarantee between the Company and the subsidiaries
Counter
Collatera Complete
Name of the guarante Guarantee
Related Announcement Actual guarantee l (if Guarantee implemen
Company Guarantee limit Actual date of happening Guarantee type e (if for related
disclosure date limit applicabl term tation or
guaranteed applicab party
e) not
le)
Announcement No.:
2021-0912021-092202
1-0962021-109 Joint liability
140000.00 October 112022 15000.00 Yes 1 year Yes No
released on December guaranty
72021 and December
242021
Joint liability
April 72023 6000.00 Yes 1 year Yes No guaranty
Joint liability
Zhongshan April 242023 10000.00 Yes 1 year Yes No guaranty
Changhong Electric Announcement No.: Joint liability
Co. Ltd. 2022-0872022-088 June 82023 10000.00 Yes 1 year Yes No guaranty
2022-091 and 2022-100 Joint liability
150000.00 June 272023 7000.00 Yes 1 year Yes No
released on December guaranty
72022 and December Joint liability
June 4 2023 10000.00 Yes 1 year Yes No
232022 guaranty
Joint liability
July 102023 20000.00 Yes 1 year Yes No guaranty
Joint liability
July 282023 5000.00 Yes 1 year Yes No guaranty
145Annual Report 2024
Joint liability
August 292023 15000.00 Yes 1 year Yes No guaranty
Joint liability
November 22023 5000.00 Yes 1 year Yes No guaranty
Announcement No.:
2023-0662023-067202
3-0702023-080
130000.00-------
released on December
52023 and December
222023
Announcement No.:
2021-0912021-092202
1-0962021-109
released on December Joint liability
7 16000.00 December 820222 3500.00 guaranty Yes 11.2 months Yes No
2021 December
242021December
242021
Changhong Meiling Announcement No.:
Ridian Technology 2022-0872022-088202
Co. Ltd. 2-0912022-100
Joint liability
16000.00 July 102023 4000.00 guaranty Yes 1 year Yes No released on December
72022 December 23
2022
Announcement No.:
2023-0662023-067202 Joint liability
3-07 2023-080 released 14500.00 March 192024 3500.00 guaranty Yes 10.7 months No No
on December 52023
December 22 2023
Announcement No.:
Zhongke Meiling 2023-0662023-067202
Cryogenic 3-0702023-80
released on December 10000.00 - - - - - - - Technology Co.Ltd. 5 2023 December 22
2023
Joint liability
Announcement No.: January 172023 10000.00 guaranty Yes 9 months Yes No
2022-0872022-088202 Joint liability
Sichuan Changhong 2-0912022-100 January 172023 5000.00 guaranty Yes 1 year Yes No
Air-conditioner Co. released on December 250000.00 Joint liability
Ltd. 7 2022 December 23 February 272023 16000.00 guaranty Yes 1 year Yes No
2022
March 162023 30000.00 Joint liability Yes 1 year Yes No
146Annual Report 2024
guaranty
Joint liability
March 242023 60000.00 guaranty Yes 1 year Yes No
Joint liability
April 142023 12000.00 guaranty Yes 1 year Yes No
Joint liability
July 52023 1500.00 guaranty Yes 5.4 months Yes No
Announcement No.:
2023-0662023-067202
3-0702023-080
262000.00-------
released on December
52023 December 22
2023
Announcement No.:
2024-0202024-021202 Joint liability
4-0232024-036 60000.00 September 272024 60000.00 guaranty Yes 6.4 months No No
released on April 20
2024 June 192024
Announcement No.:
2024-0672024-068202
4-0712024-076
61800.00-------
released on December
12 2024 December
282024
Announcement No.:
2023-0662023-067202
3-0702023-080
15000.00-------
released on December
5 2023 December 22
Jiangxi Meiling 2023
Electric Appliance
Co. Ltd. Announcement No.:
2024-0672024-068202
4-0712024-076
10000.00-------
released on December
12 2024 December 28
2024
Announcement No.:
Hefei Meiling 2023-0662023-067202
Nonferrous Metal 3-0702023-080 3000.00 - - - - - - -
Products Co. Ltd. released on December
5 2023 December 22
147Annual Report 2024
2023
Announcement No.:
2022-0872022-088202 Joint liability May 112023 4500.00 Yes 1 year Yes No
2-0912022-100 guaranty
60000.00
released on December
7 2022 December 23 Joint liability
July 122023 8000.00 Yes 1 year Yes No
2022 guaranty
Announcement No.:
2023-0662023-067202
Hefei Meiling 3-0702023-080 Joint liability
Group Holdings 25000.00 November 62024 20000.00 Yes 1 year No No released on December guaranty
Limited 5 2023 December 22
2023
Announcement No.:
2023-0662023-067202
3-0702023-080
released on December 70000.00
5 2023 December 22
2023。
Announcement No.:
2021-0912021-092202
1-096 and 2021-109 Joint liability
35000.00 November 212022 5000.00 Yes 1 year Yes No
released on December guaranty
7 2021 and December
242021
Joint liability
March 222023 8000.00 Yes 11 months Yes No
guaranty
Hefei Changhong
Joint liability
Meiling Life April 242023 2000.00 Yes 1 year Yes No guaranty
Appliances Co. Announcement No.:
Ltd. 2022-0872022-088202 Joint liability May 42023 5000.00 Yes 1 year Yes No
2-091 and 2022-100 guaranty
35000.00
released on December Joint liability
7 2022 and December October 192023 2000.00 Yes 1 year Yes No guaranty
232022
Joint liability
December 12023 10000.00 Yes 1 year Yes No
guaranty
Joint liability
December 152023 4000.00 Yes 5.7 months Yes No
guaranty
148Annual Report 2024
Announcement No.:
2023-040，2023-041，
2023-043，2023-065
8000.00-------
released on August 18
2023 November 4
2023。
Announcement No.:
2023-0662023-067202 Joint liability March 62024 5000.00 Yes 8.4 months Yes No
3-0702023-080 50000.00 guaranty
released on December
5 2023 December 22 Joint liability
2023 March 262024 8000.00 Yes 1 year No No guaranty
Announcement No.:
2023-0662023-067202
3-0702023-080
20000.00-------
released on December
5 2024 December 22
2024
Announcement No.:
2023-0662023-067202
Hefei Changhong 3-0702023-080
40000.00-------
Industrial Co. Ltd. released on December
5 2024 December 22
2024
Total amount of approving guarantee for subsidiaries in report period Total amount of actual occurred guarantee for subsidiaries in
261800.00390000.00
(B1) report period (B2)
Total amount of approved guarantee for subsidiaries at the end of Total balance of actual guarantee for subsidiaries at the end of
386300.00101500.00
reporting period (B3) reporting period (B4)
Guarantee of the subsidiaries for the subsidiaries
Counter
Collatera Complete
Name of the guarante Guarantee
Related Announcement Actual guarantee l (if Guarantee implemen
Company Guarantee limit Actual date of happening Guarantee type e (if for related
disclosure date limit applicabl term tation or
guaranteed applicab party
e) not
le)
Announcement No.:
Joint liability
Anhui Touxing 2022-0872022-088202 June 202023 1000.00 1 year Yes No guaranty
Technology Co. 2-091 and 2022-100 8000.00
Ltd. released on December Joint liability
7 2022 and December August 152023 400.00 1 year No No guaranty
149Annual Report 2024
232022
Joint liability
October 252023 1000.00 1 year Yes No
guaranty
Announcement No.:
2023-0662023-067202
3-0702023-080 Joint liability 11.5 month
5000.00 July 242024 1000.00 No No
released on December guaranty s
5 2023 December 22
2023
Announcement No.:
2023-0662023-067202
3-0702023-080
3000.00-------
released on December
5 2024 December 22
2024
Announcement No.:
Joint liability
2022-0872022-088202 August 252023 1000.00 1 year Yes No
guaranty
2-091 and 2022-100
12000.00
released on December
7 2022 and December Joint liability October 202023 1000.00 1 year Yes No
23 2022 guaranty
Announcement No.:
2023-0662023-067202
Anhui Ling'an
3-0702023-080 Joint liability
Medical Equipment 10000.00 October 312024 1000.00 1 year No No
released on December guaranty
Co. Ltd
5 2023 December 22
2023
Announcement No.:
2023-0662023-067202
3-0702023-080
5000.00-------
released on December
5 2024 December 22
2024
Announcement No.:
Ground Energy 2023-0662023-067202
Heat Pump 3-0702023-080
56500.00-------
Tech.(Zhongshan) released on December
Co. Ltd. 5 2024 December 22
2024
Total amount of approving guarantee for subsidiaries in report period Total amount of actual occurred guarantee for subsidiaries in
64500.006400.00
(C1) report period (C2)
150Annual Report 2024
Total amount of approved guarantee for subsidiaries at the end of Total balance of actual guarantee for subsidiaries at the end of
87500.002400.00
reporting period (C3) reporting period (C4)
Total amount of guarantee of the Company (total of three abovementioned guarantee)
Total amount of actual occurred guarantee in report period
Total amount of approving guarantee in report period (A1+B1+C1) 326300.00 396400.00
(A2+B2+C2)
Total amount of approved guarantee at the end of report period Total balance of actual guarantee at the end of report period
473800.00103900.00
(A3+B3+C3) (A4+B4+C4)
Ratio of actual guarantee (A4+B4+C4) in net assets of the Company 17.07%
Including:
Amount of guarantee for shareholders actual controller and its related parties (D) 0
The debts guarantee amount provided for the guaranteed parties whose assets-liability ratio exceed 70% directly or indirectly (E) 78000
Proportion of total amount of guarantee in net assets of the Company exceed 50% (F) 0
Total amount of the aforesaid three guarantees (D+E+F) 78000
Explanations on possibly bearing joint and several liquidating responsibilities for undue guarantees (if applicable) N/A
Explanations on external guarantee against regulated procedures (if applicable) N/A
The above-mentioned guarantee objects are the wholly-owned and holding subsidiaries of the Company and these wholly-owned and holding subsidiaries are in
normal production and operation there are no overdue loans and the guarantee risks are controllable. During the reporting period there were no external guarantees
for the Company and its subsidiaries but there were guarantees from the Company to its subsidiaries or from such subsidiaries to their subsidiaries.By the end of the reporting period the total approved amount of the Company's guarantee provided to its subsidiaries and the guarantee provided by such subsidiaries to
their subsidiaries was RMB 4738 million the actual amount was RMB 3964 million and the actual guarantee balance was RMB 1039 million accounting for 17.07%
of the Company's latest net assets.Explanation on guarantee with composite way: Not applicable
151Annual Report 2024
(iii) Entrust others to cash asset management
1. Trust financing
√ Applicable □ Not applicable
Trust financing in the period
In RMB 10000
Impairment
amount for
Type Capital resources Amount for entrust Undue balance Overdue amount
overdue financial
management
Bank financing
Own idle funds 1215000.00 0 0 0
products
Total 1215000.00 0 0 0
Details of the single major amount or high-risk trust investment with low security poor fluidity
√ Applicable □ Not applicable
152Annual Report 2024
In RMB 10000
Amount
of
Anticipat reserve
Refere Actual Whether Whether Summary of
Trustee ed Actual for
Sour Criteria for nce collected approved has entrust the items and
institution Trustee Product income gains/los devaluati
Amount ce of Start date Expiry date Capital investment purpose fixing annual gains/los by legal finance related query
(or name of type type (if ses in on of
funds reward rate of ses in procedur plan in the index (if
trustee) applicabl period withdraw
return period e (Y/N) future applicable)
e) ing (if
applicabl
e)
This product is a RMB structured deposit
product with embedded financial derivatives.Banks invest the raised structured deposit funds in
bank time deposits and at the same time invest in
China Principal
financial derivative transactions (including but not Not Juchao Website
Everbright -guarante Idle
January April1620 limited to derivative transactions such as options appl Not (www.cninfo.c
Bank Co. Bank ed with 30000.00 own Agreement 2.60% 195.00 195.00 N/A Yes
162024 24 and swaps) in domestic or international financial icab applicable om.cn)(2024-0
Ltd. Hefei floating funds
Branch income markets within the upper limit of the income of
le 01)
such time deposits. The sum of the investment
gains and losses of financial derivative transactions
and the interest of bank deposits jointly constitutes
the income of structured deposit products.This product is a RMB structured deposit
product with embedded financial derivatives.Banks invest the raised structured deposit funds in
bank time deposits and at the same time invest in
China Principal
financial derivative transactions (including but not Juchao Website
Everbright -guarante Idle NotJanuary April1820 limited to derivative transactions such as options Not （www.cninfo.Bank Co. Bank ed with 5000.00 own Agreement 2.60% applicabl 32.50 32.50 N/A Yes
182024 24 and swaps) in domestic or international financial e applicable com.cn)(2024-Ltd. Hefei floating funds
Branch income markets within the upper limit of the income of
002)
such time deposits. The sum of the investment
gains and losses of financial derivative transactions
and the interest of bank deposits jointly constitutes
the income of structured deposit products.
153Annual Report 2024
Bank of Communications operates the funds
raised by structured deposit products in a unified
manner and manages them in accordance with the
principle of separating basic deposits from
Zhongshan Principal
derivative transactions. The raised principal will Not
branch of Juchao Website -guarante Idle
March292 May
Bank of be included in the internal fund of Bank of
appl Not (www.cninfo.c
Bank ed with 3000.00 own Agreement 2.35% 12.17 12.17 N/A Yes
024312024
Communicat Communications for unified operation and
icab applicable om.cn)floating funds (2024-017）
ions Co. Ltd income management and will be included in the payment
le
scope of deposit reserve fund and deposit
insurance. The embedded derivative part of
products will be linked to the exchange rate
interest rate commodity and index etc
This deposit product is a RMB capital-guaranteed
Principal
Industrial non-fixed income product and the product income Not
-guarante Idle
Bank Co. May August is divided into two parts: fixed income and appl Not
Bank ed with 15000.00 own Agreement 2.65% 100.19 100.19 N/A Yes -
Ltd. Hefei 272024 272024 non-fixed income in which the non-fixed income icab applicable
floating funds
Branch
income is associated with the fluctuation of the observed
le
target.This deposit product is a RMB capital-guaranteed
Principal
Industrial non-fixed income product and the product income Not
-guarante Idle
Bank Co. May August is divided into two parts: fixed income and appl Not
Bank ed with 5000.00 own Agreement 2.65% 33.40 33.40 N/A Yes -
Ltd. Hefei 272024 282024 non-fixed income in which the non-fixed income icab applicable
floating funds
Branch
income is associated with the fluctuation of the observed
le
target.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou May November Derivative financial instruments include but are not appl Not
Bank ed with 12000.00 own Agreement 2.82% 166.88 166.88 N/A Yes -
Co. Ltd. 292024 252024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.Principal Not
Idle This deposit product is a RMB
Bank of -guarante May August appl Not
Bank 15000.00 own capital-guaranteed non-fixed income product and Agreement 1.20% 45.37 45.37 N/A Yes -
China ed with 302024 302024 icab applicable
funds
floating the product income is divided into two parts: fixed le
154Annual Report 2024
income income and non-fixed income in which the
non-fixed income is associated with the fluctuation
of the observed target.The principal part of structured deposits is
included in the in-statement accounting and it is
included in the scope of deposit reserve and deposit
Dongguan Principal insurance premium payment according to the
Not
Bank -guarante Idle deposit management. The relevant assets are
May November appl Not
Co. Ltd. Bank ed with 13000.00 own accrued with capital and provisions according to Agreement 2.95% 191.22 191.22 N/A Yes -
302024 282024 icab applicable
Hefei floating funds the relevant regulations of the State Council's le
Branch income Banking Regulatory Authority; The final actual
income of structured deposits depends on the
market performance of the linked target and is
influenced by many factors in the market.The principal part of structured deposits is
included in the in-statement accounting and it is
included in the scope of deposit reserve and deposit
Principal insurance premium payment according to the
Dongguan Not
-guarante Idle deposit management. The relevant assets are
Bank Co. May November appl Not
Bank ed with 3000.00 own accrued with capital and provisions according to Agreement 2.95% 44.13 44.13 N/A Yes -
Ltd. Hefei 312024 292024 icab applicable
floating funds
Branch the relevant regulations of the State Council's le
income Banking Regulatory Authority; The final actual
income of structured deposits depends on the
market performance of the linked target and is
influenced by many factors in the market.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou June June Derivative financial instruments include but are not appl Not
Bank ed with 20000.00 own Agreement 2.90% 42.90 42.90 N/A Yes -
Co. Ltd. 32024 302024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.Bank of Principal Idle Not
June June The principal of this product is invested in bank Not
Hangzhou Bank -guarante 5000.00 own Agreement 2.60% appl 8.19 8.19 N/A Yes -
52024 292024 deposits and derivative financial instruments. applicable
Co. Ltd. ed with funds icab
155Annual Report 2024
Hefei Branch floating Derivative financial instruments include but are not le
income limited to credit goods foreign exchange interest
rate options and other derivative financial
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou June June Derivative financial instruments include but are not appl Not
Bank ed with 27000.00 own Agreement 2.90% 49.34 49.34 N/A Yes -
Co. Ltd. 52024 282024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou June June Derivative financial instruments include but are not appl Not
Bank ed with 10000.00 own Agreement 2.90% 17.48 17.48 N/A Yes -
Co. Ltd. 62024 282024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.This product is a RMB structured deposit product
with embedded financial derivatives. Banks invest
the raised structured deposit funds in bank time
deposits and at the same time invest in financial
China Principal
derivative transactions (including but not limited to Not
Everbright -guarante Idle
June September derivative transactions such as options and swaps) appl Not
Bank Co. Bank ed with 20000.00 own Agreement 2.35% 117.50 117.50 N/A Yes -
262024 262024 in domestic or international financial markets icab applicable
Ltd. Hefei floating funds
le
Branch income within the upper limit of the income of such time
deposits. The sum of the investment gains and
losses of financial derivative transactions and the
interest of bank deposits jointly constitutes the
income of structured deposit products.This product is a RMB structured deposit product
China Principal with embedded financial derivatives. Banks invest Not
Everbright -guarante Idle
July September the raised structured deposit funds in bank time appl Not
Bank Co. Bank ed with 10000.00 own Agreement 2.30% 54.31 54.31 N/A Yes -
22024 272024 deposits and at the same time invest in financial icab applicable
Ltd. Hefei floating funds
derivative transactions (including but not limited to le
Branch income
derivative transactions such as options and swaps)
156Annual Report 2024
in domestic or international financial markets
within the upper limit of the income of such time
deposits. The sum of the investment gains and
losses of financial derivative transactions and the
interest of bank deposits jointly constitutes the
income of structured deposit products.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou July July Derivative financial instruments include but are not appl Not
Bank ed with 5000.00 own Agreement 2.60% 9.97 9.97 N/A Yes -
Co. Ltd. 32024 312024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou July July Derivative financial instruments include but are not appl Not
Bank ed with 35000.00 own Agreement 2.90% 55.62 55.62 N/A Yes -
Co. Ltd. 42024 242024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou July Derivative financial instruments include but are not appl Not
Bank ed with 50000.00 own July 29 Agreement 2.90% 99.32 99.32 N/A Yes -
Co. Ltd. 42024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou July July Derivative financial instruments include but are not appl Not
Bank ed with 45000.00 own Agreement 2.90% 92.96 92.96 N/A Yes -
Co. Ltd. 42024 302024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.Bank of Principal Not
Idle The principal of this product is invested in bank
Hangzhou -guarante July July appl Not
Bank 10000.00 own Agreement 2.90% 21.45 21.45 N/A Yes -
Co. Ltd. ed with 42024 312024
deposits and derivative financial instruments.icab applicable
funds
Hefei Branch floating Derivative financial instruments include but are not le
157Annual Report 2024
income limited to credit goods foreign exchange interest
rate options and other derivative financial
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou August August Derivative financial instruments include but are not appl Not
Bank ed with 55000.00 own Agreement 2.80% 97.04 97.04 N/A Yes -
Co. Ltd. 52024 282024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou August August Derivative financial instruments include but are not appl Not
Bank ed with 75000.00 own Agreement 2.80% 138.08 138.08 N/A Yes -
Co. Ltd. 52024 292024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch rate options and other derivative financial le income
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou August August Derivative financial instruments include but are not appl Not
Bank ed with 5000.00 own Agreement 2.60% 8.90 8.90 N/A Yes -
Co. Ltd. 52024 302024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou August August Derivative financial instruments include but are not appl Not
Bank ed with 30000.00 own Agreement 2.80% 25.32 25.32 N/A Yes -
Co. Ltd. 192024 302024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch
income rate options and other derivative financial
le
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou August November Derivative financial instruments include but are not appl Not
Bank ed with 10000.00 own Agreement 2.60% 64.11 64.11 N/A Yes -
Co. Ltd. 192024 172024 limited to credit goods foreign exchange interest icab applicable
floating funds
Hefei Branch rate options and other derivative financial le
income
instruments.
158Annual Report 2024
The funds raised by the structured deposit
products of the Bank of Communications are
operated by the Bank of Communications in a
unified manner and the business management is
carried out in accordance with the principle of
separating the basic deposits from derivative
transactions. The part of the principal raised is
included in the unified operation and management
Principal of the internal funds of Bank of Communications Not
Bank of -guarante Idle
August November and is included in the scope of payment of deposit appl Not
Communicat Bank ed with 5000.00 own Agreement 2.45% 30.54 30.54 N/A Yes -
192024 182024 reserves and deposit insurance premiums and the
ions Co. Ltd floating icab applicable funds
income embedded derivatives part of the product is linked le
to the exchange rate interest rate commodity
index and other underlying objects. The
underlying price under this product agreement is
the [Shanghai Gold Centralized Pricing Contract
(Code: SHAU) Benchmark Price Morning Price]
and the final performance of the product income is
linked to the morning price of the SHAU
benchmark price.The principal of this product is invested in bank
Principal
Industrial deposits and derivative financial instruments. Not
-guarante Idle
Bank Co. August November Derivative financial instruments include but are not appl Not
Bank ed with 10000.00 own Agreement 2.25% 56.71 56.71 N/A Yes -
Ltd. Hefei 282024 282024 limited to credit goods foreign exchange interest
floating fund
icab applicable
Branch rate options and other derivative financial le
income
instruments.The principal of this product is partly incorporated
into the unified operation and management of
Principal internal funds of ICBC The earnings are partly Not
ICBC -guarante Idle
August December invested in derivatives pegged to the euro against appl Not
MianyangGa Bank ed with 10000.00 own Agreement 2.39% 56.76 56.76 N/A Yes -
292024 22024 the dollar and the product gains are linked to the
oxin Branch icab applicable floating fund
performance of the euro against dollar exchange le
income
rate in the international market during the
observation period. Investor earnings depend on
159Annual Report 2024
the euro against the dollar during the observation
period. In the principle of fairness and justice
ICBC will observe the exchange rate of the euro
against the US dollar during the observation
period according to the market conditions and
pay the investor for the product in strict
accordance with the income conditions stipulated
in the product specification.Principal The structured deposits are included in the Not
Mianyang -guarante Idle
September September payment scope of deposit reserve and deposit appl Not
branch of Bank ed with 10000.00 own Agreement 2.60% 20.22 20.22 N/A Yes -
22024 302024 insurance premium in accordance with deposit
SPD Bank fund icab applicable floating
management and regulatory requirements le
income
The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou September September Derivative financial instruments include but are not appl Not
Bank ed with 55000.00 own Agreement 2.60% 90.11 90.11 N/A Yes -
Co. Ltd. 42024 272024 limited to credit goods foreign exchange interest fund icab applicable floating
Hefei Branch rate options and other derivative financial le
income
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments.-guarante Idle Not
Hangzhou September September Derivative financial instruments include but are not Not
Bank ed with 75000.00 own Agreement 2.60% appli 138.90 138.90 N/A Yes -
Co. Ltd. 42024 302024 limited to credit goods foreign exchange interest applicable
floating fund cable
Hefei Branch rate options and other derivative financial
income
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou September September Derivative financial instruments include but are not appl Not
Bank ed with 30000.00 own Agreement 2.60% 53.42 53.42 N/A Yes -
Co. Ltd. 52024 302024 limited to credit goods foreign exchange interest icab applicable
floating fund
Hefei Branch rate options and other derivative financial le
income
instruments.Principal The principal of this structured deposit is included Not
Hefei Branch -guarante Idle
September December in the unified operation and management of funds appl Not
of Guangfa Bank ed with 10000.00 own Agreement 2.46% 47.18 47.18 N/A Yes -
272024 62024 of Guangfa Bank，The returns are partly invested
Bank floating fund
icab applicable
in financial derivatives and investors' structured le
income
160Annual Report 2024
deposit returns depend on the performance of spot
gold during the observation period.This product is a RMB structured deposit product
with embedded financial derivatives. Banks invest
the raised structured deposit funds in bank time
deposits and at the same time invest in financial
China Principal derivative transactions (including but not limited to Not
Everbright -guarante Idle
2024 年 9 2024 年 12 derivative transactions such as options and swaps) appl Not
Bank Co. Bank ed with 30000.00 own Agreement 2.35% 176.42 176.42 N/A Yes -月29日月29日
Ltd. Hefei fund in domestic or international financial markets icab applicable floating
Branch income within the upper limit of the income of such time
le
deposits. The sum of the investment gains and
losses of financial derivative transactions and the
interest of bank deposits jointly constitutes the
income of structured deposit products.The principal part of structured deposits is
included in the in-statement accounting and it is
included in the scope of deposit reserve and deposit
Principal insurance premium payment according to the
Dongguan Not -guarante Idle deposit management. The relevant assets are
Bank Co. September December appl Not
Bank ed with 2000.00 own
Ltd. Hefei 302024 302024 accrued with capital and provisions according to
Agreement 1.70% 8.48 8.48 N/A Yes -
fund icab applicable
Branch floating the relevant regulations of the State Council's le
income Banking Regulatory Authority; The final actual
income of structured deposits depends on the
market performance of the linked target and is
influenced by many factors in the market.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou October October Derivative financial instruments include but are not appl Not
Bank ed with 55000.00 own Agreement 2.60% 74.44 74.44 N/A Yes -
Co. Ltd. 102024 292024 limited to credit goods foreign exchange interest icab applicable
floating fund
Hefei Branch rate options and other derivative financial le
income
instruments.Bank of Principal Idle The principal of this product is invested in bank Not
October October Not
Hangzhou Bank -guarante 90000.00 own deposits and derivative financial instruments. Agreement 2.60% appl 134.63 134.63 N/A Yes -
102024312024
fund applicable Co. Ltd. ed with Derivative financial instruments include but are not icab
161Annual Report 2024
Hefei Branch floating limited to credit goods foreign exchange interest le
income rate options and other derivative financial
instruments.Principal The structured deposits are included in the Not
Mianyang -guarante Idle
October November payment scope of deposit reserve and deposit appl Not
branch of Bank ed with 10000.00 own Agreement 2.20% 18.33 18.33 N/A Yes -
142024 142024 insurance premium in accordance with deposit
SPD Bank icab applicable floating fund
management and regulatory requirements le
income
The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou November November Derivative financial instruments include but are not appl Not
Bank ed with 60000.00 own Agreement 2.50% 98.63 98.63 N/A Yes -
Co. Ltd. 42024 282024 limited to credit goods foreign exchange interest icab applicable
floating fund
Hefei Branch rate options and other derivative financial le
income
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou November November Derivative financial instruments include but are not appl Not
Bank ed with 80000.00 own Agreement 2.50% 136.99 136.99 N/A Yes -
Co. Ltd. 42024 292024 limited to credit goods foreign exchange interest icab applicable
floating fund
Hefei Branch rate options and other derivative financial le
income
instruments.Principal The structured deposits are included in the
payment scope of deposit reserve and deposit Not Bank of -guarante Idle
November December appl Not
Communicat Bank ed with 10000.00 own insurance premium in accordance with deposit Agreement 2.10% 18.99 18.99 N/A Yes -
202024232024
ions Co. Ltd floating fund
icab applicable
management and regulatory requirements
le
income
Principal The structured deposits are included in the
Mianyang -guarante Idle payment scope of deposit reserve and deposit
Not
November December appl Not
branch of Bank ed with 10000.00 own insurance premium in accordance with deposit Agreement 2.00% 16.67 16.67 N/A Yes -
252024252024
SPD Bank fund icab applicable floating management and regulatory requirements
le
income
The principal of this product is invested in bank
Industrial Principal deposits and derivative financial instruments. Not
Bank Co. -guarante Idle
December December Derivative financial instruments include but are not appl Not
Ltd. Bank ed with 10000.00 own Agreement 2.17% 16.05 16.05 N/A Yes -
302024 302024 limited to credit goods foreign exchange interest
Mianyang icab applicable floating fund
Branch rate options and other derivative financial le income
instruments.
162Annual Report 2024
The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou December December Derivative financial instruments include but are not appl Not
Bank ed with 80000.00 own Agreement 2.50% 98.63 98.63 N/A Yes -
Co. Ltd. 42024 222024 limited to credit goods foreign exchange interest fund icab applicable floating
Hefei Branch rate options and other derivative financial le
income
instruments.The principal of this product is invested in bank
Principal
Bank of deposits and derivative financial instruments. Not
-guarante Idle
Hangzhou December December Derivative financial instruments include but are not appl Not
Bank ed with 60000.00 own Agreement 2.40% 90.74 90.74 N/A Yes -
Co. Ltd. 42024 272024 limited to credit goods foreign exchange interest fund icab applicable floating
Hefei Branch rate options and other derivative financial le
income
instruments.
1215000.
Total -- -- -- -- -- -- -- 3106.19 -- -- -- -- --
00
Note: Zhongke Meiling a subsidiary of the Company is a listed company of the Beijing Stock Exchange. For details of its entrusted financial management please
refer to Zhongke Meiling's 2024 annual Report.Entrust financial expected to be unable to recover the principal or impairment might be occurred
□ Applicable √ Not applicable
Are there any financial products with a single outstanding balance of over 50 million yuan or overdue payments at the end of the reporting
period.□ Yes √ No □ Not applicable
163Annual Report 2024
2. Entrust loans
□ Applicable √ Not applicable
No entrust loans in the period.(iv) Other material contracts
□ Applicable √ Not applicable
No other material contracts in the period.XVI. Explanation on other significant events
√ Applicable □ Not applicable
1. According to the resolution of the 40th meeting of the 10th Board of Directors of the Company it was agreed that
the Company should set up an ESG management organization structure and an ESG management committee under
the Board of Directors of the Company consisting of six directors of the Board of Directors namely Mr. Wu
Dinggang Mr. Zhong Ming Mr. Zhao Qilin Mr. Kou Huameng Mr. Hu Zhaogui and Ms. Mou Wen (independent
directors) and the chairman of Mr. Wu Dinggang which will take effect from the date of review and approval by the
Board of Directors. The term of office of the above members is the same as that of the Board of Directors.Found
more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-004
and 2024-005 )on 20 February 2024.
2. According to the resolution of the 40th meeting of the 10th Board of Directors it was agreed that the
Company will invest RMB 88 million to transform the front-end refrigerator production line of Hefei manufacturing
base in order to enhance the refrigerator manufacturing capacity of Hefei base and improve the market
competitiveness of products.Found more on appointed media “Securities Times” “China Securities Journal” and
Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement
No. 2024-004 )on 20February 2024.
3. According to the resolutions of the 42nd meeting of the 10th Board of Directors the 30th meeting of the 10th
Board of Supervisors and the 2023 Annual General Meeting of Shareholders it was agreed to pass the Company's
2023 profit distribution plan: based on the Company's total share capital of 1029923715 shares on December 31
2023 it will distribute a cash dividend of RMB 3 (including tax) to all shareholders for every 10 shares with no
bonus shares or share capital increase by reserve fund conversion. It is expected to distribute a cash dividend of
RMB 308977114.50 (including tax) accounting for 41.70% of the net profit attributable to shareholders of listed
companies in 2023. Found more on appointed media “Securities Times” “China Securities Journal” and Juchao
Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No.
2024-0072024-008 2024-010 and 2024-024)on 30 March 2024 and 26 April 2024..
4. According to the resolution of the 42nd meeting of the 10th Board of Directors and the 2023 Annual General
Meeting of Shareholders it was agreed to appoint Pan-China Certified Public Accountants (special general
partnership) AS appointed as the auditor of the Company's 2024 annual financial report and internal control for a
period of one year. Found more on appointed media “Securities Times” “China Securities Journal” and Juchao
Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No.
2024-007 2024-011 and 2024-024)on 30 March 2024 and 26 April 2024.
5. According to the resolution of the 42nd meeting of the 10th Board of Directors and the 2023 Annual General
164Annual Report 2024
Meeting of Shareholders it was agreed that the Company and its subsidiaries will conduct forward foreign exchange
fund trading business from July 1 2024 to June 30 2025 with a transaction balance not exceeding USD 1.199
billion (mainly including USD AUD and EUR and all other foreign exchange will be converted into USD) and alongest delivery period of a single business of no more than one year.Found more on appointed media “SecuritiesTimes” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the
form of announcement (Announcement No. 2024-0072024-013 and 2024-024)on 30 March 2024 and 26 April
2024..
6. According to the resolutions of the 42nd meeting of the 10th Board of Directors the 30th meeting of the 10th
Board of Supervisors and the 2023 Annual General Meeting of Shareholders it was agreed to pass the Company'sReturn Plan for Shareholders for the Next Three Years (2024 -2026).Found more on appointed media “SecuritiesTimes” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the
form of announcement (Announcement No. 2024-0072024-008 and 2024-024)on 30 March 2024 and 26 April
2024..
7. According to the resolution of the 42nd meeting of the 10th Board of Directors and the 2023 Annual General
Meeting of Shareholders it was agreed that the Company and its subsidiaries apply to Hefei Branch of Industrial
Bank Co. Ltd. for a special credit line of up to RMB 400 million for bill pool; and apply to Hefei Branch of Ping An
Bank Co. Ltd. for a special credit line of up to RMB 500 million for bill pool.Found more on appointed media
“Securities Times” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company
disclosed in the form of announcement (Announcement No. 2024-0072024-015 and 2024-024)on 30 March 2024
and 26 April 2024..
8. According to the 43rd meeting of the 10th Board of Directors the 31st meeting of the 10th Board of Supervisors
and the First Extraordinary General Meeting of Shareholders in 2024 it was agreed to provide a total guarantee
amount of no more than RMB 600 million for raw materials purchased by Changhong Air Conditioning a
wholly-owned subsidiary of the Company with a guarantee period of one year starting from the date of review and
approval by the Company's General Meeting of Shareholders.Found more on appointed media “Securities Times”
“China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of
announcement (Announcement No. 2024-0202024-0212024-023 and 2024-036)on 20 April 2024 and 19 June
2024..
9. In order to establish a variety of shareholder return mechanisms thank shareholders for their long-term concern
and support and at the same time to allow shareholders to experience the Company's new products and services and
improve investors' understanding and recognition of the Company's intrinsic value the Company held the
"Changhong Meiling Shareholder Thanksgiving Festival" from May 18 2024 to May 26 2024.Found more on
appointed media “Securities Times” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that
the Company disclosed in the form of announcement (Announcement No. 2024-025)on 17 May 2024 .
10. According to the resolutions of the 44th meeting of the 10th Board of Directors and the First Extraordinary
General Meeting of Shareholders in 2024 it was agreed to amend some clauses of the Company's Articles of
Association according to relevant provisions of laws and regulations and combined with the actual situation of the
165Annual Report 2024
Company.Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No.
2024-0262024-028 and 2024-036)on 1 June 2024 and 19 June 2024..
11. According to the resolution of the 44th meeting of the 10th Board of Directors and the First Extraordinary
General Meeting of Shareholders in 2024 it was agreed to amend some clauses of the Company's Authorization
Management System according to the relevant provisions of laws and regulations and combined with the actual
situation of the Company.Found more on appointed media “Securities Times” “China Securities Journal” and
Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement
No. 2024-0262024-028 and 2024-036)on 1 June 2024 and 19 June 2024..
12. According to the resolutions of the 44th meeting of the 10th Board of Directors the 32nd meeting of the 10th
Board of Supervisors and the First Extraordinary General Meeting of Shareholders in 2024 it was agreed that the
Company and its subsidiaries (excluding Zhongke Meiling Cryogenic Technology Co. Ltd. and its subsidiaries)
would increase the use of their own idle funds of no more than RMB 1.85 billion (which can be used in a rolling way)
to invest in and purchase bank wealth management products with high safety good liquidity low risk and stability
within one year. The authorization period is valid within one year from the date of deliberation and approval by the
General Meeting of Shareholders of the Company.Found more on appointed media “Securities Times” “ChinaSecurities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of
announcement (Announcement No. 2024-0262024-027 2024-030 and 2024-036)on 1 June 2024 and 19 June
2024..
13. In view of the expiration of the term of the 10th Board of Directors of the Company according to relevant
regulations the Board of Directors of the Company needs to be re-elected. It was agreed that the 11th Board of
Directors of the Company should have 9 directors including 6 non-independent directors and 3 independent
directors. According to the resolutions of the 44th meeting of the 10th Board of Directors and the First
Extraordinary General Meeting of Shareholders in 2024 it was agreed to appoint Mr. Wu Dinggang Mr. Zhong
Ming Mr. Zhao Qilin Ms. Yi Suqin Mr. Cheng Ping and Mr. Fang Wei as the non-independent directors of the 11th
Board of Directors and Ms. Mou Wen Mr. Hong Yuanjia and Mr. Cheng Wenlong as the independent directors of
the 11th Board of Directors.Found more on appointed media “Securities Times” “China Securities Journal” and
Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement
No. 2024-0262024-031 and 2024-036)on 1 June 2024 and 19 June 2024..
14. According to the resolution of the 32nd meeting of the 10th Board of Supervisors and the First
Extraordinary General Meeting of Shareholders in 2024 in order to optimize the enterprise supervision system
combined with the revision of the Articles of Association it was agreed to amend some clauses of the Rules of
Procedure of the Board of Supervisors and adjust the member number of the Board of Supervisors from 5 to
3.Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No.
2024-0272024-029 and 2024-036)on 1 June 2024 and 19 June 2024..
15. In view of the expiration of the term of the 10th Board of Supervisors of the Company according to
166Annual Report 2024
relevant regulations the Board of Supervisors of the Company needs to be re-elected. It was agreed that the 11th
Board of Supervisors of the Company should have 3 supervisors including 2 shareholder representative supervisors
and 1 employee supervisor. According to the resolution of the 32nd meeting of the 10th Board of Supervisors and
the First Extraordinary General Meeting of Shareholders in 2024 it was agreed to appoint Mr. Qiu Jin and Mr. Ma
Yu as the shareholder representative supervisors of the 11th Board of Supervisors; After voting at the second
meeting of the Ninth Workers' Congress it was agreed to elect Ms. Ji Ge as the employee supervisor of the 11th
Board of Supervisors.Found more on appointed media “Securities Times” “China Securities Journal” and Juchao
Website (www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No.
2024-0272024-032 2024-036 and 2024-037)on 1 June 2024 and 19 June 2024..
16. According to the resolution of the first meeting of the 11th Board of Directors it was agreed to elect Mr. Wu
Dinggang as the chairman of the 11th Board of Directors to elect members of the strategy audit nomination
remuneration and assessment and ESG management committees under the 11th Board of Directors to re-appoint Mr.Tang Youdao Mr. Kou Huameng and Mr. Hu Zhaogui as the Company's vice presidents to employ Ms. Li Xia as
the Company's vice president and concurrently the secretary of the Board of Directors and to re-appoint Mr. Pang
Haitao as the Company's financial director with a term of office from the date of review and approval by the Board
of Directors to the Company to the date of expiration of the term of office of the current Board of Directors.Found
more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-038
and 2024-040)on 19 June 2024 and 20 June 2024..
17. According to the resolution of the first meeting of the 11th Board of Supervisors of the Company it was
agreed to elect Mr. Qiu Jin as the chairman of the 11th Board of Supervisors of the Company with a term of officethe same as that of the 11th Board of Supervisors of the Company.Found more on appointed media “SecuritiesTimes” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the
form of announcement (Announcement No. 2024-038 and 2024-040)on 19 June 2024 and 20 June 2024..
18. On August 15 2024 through the resolution passed at the second meeting of the 11th board of directors of
the Company according to the Company's production and operation needs in order to improve the manufacturing
capacity of the Company's refrigerator products it’s agreed that the Company will use its own funds of 16.35
million yuan to carry out technical transformation of some equipment of the refrigerator production line to
enhance the production capacity and market competitiveness of the Company's products.Found more on appointed
media “Securities Times” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company
disclosed in the form of announcement (Announcement No. 2024-041on 19 August 17..
19. On October 11 2024 and October 29 2024 respectively through the resolution passed at the third
meeting of the Company's 11th board of directors the third meeting of the 11th board of supervisors and the
second extraordinary general meeting of shareholders in 2024 according to the Company's strategic development
plan and business needs in order to meet the Company's needs for high-end refrigerator expansion self-owned
logistics warehouse expansion future home appliance and home integration industrial layout etc. and solve the
problem of industrial development and resource shortage it’s agreed that the Company will use its own funds of
167Annual Report 2024
RMB 371282909.96 to acquire 99% equity of Hefei Changhong Industrial Co. Ltd. (hereinafter referred to as
"Hefei Industrial" the company's main assets are land plants etc.) held by Sichuan Changhong Electric Co. Ltd.and agreed Hefei Meiling IoT Technology Co. Ltd.-a wholly-owned subsidiary of the Company-to acquire the 1%
equity in Hefei Industrial held by Sichuan Changhong Innovation Investment Co. Ltd. with its own funds of
RMB 3750332.42. After this transaction Hefei Industrial has become a subsidiary of the Company by directly
and indirectly holding 100% of the shares which will be included in the Company's consolidated financial
statement. Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-046
and 2024-048)on 12 October 2024..
20. On October 11 2024 and October 29 2024 through the resolution passed at the third meeting of the 11th
board of directors of the Company and the second extraordinary general meeting of shareholders in 2024 it’s
agreed the Company and its subsidiaries to carry out asset pool business with Hefei Branch of Zheshang Bank Co.Ltd. with a total quota of no more than RMB 500 million; Approved the Company and its subsidiaries to carry out
asset pool business with Hefei Branch of Bohai Bank Co. Ltd. with a total quota of not more than RMB 300
million. Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-046
and 2024-050)on 12 October 2024..
21. On October 11 2024 and October 29 2024 through the resolution passed at the third meeting of the 11th
board of directors of the company and the second extraordinary general meeting of shareholders in 2024 it’s
agreed the Company and its subsidiaries to apply for a special credit line of up to RMB 500 million for the bill
pool from Huaxia Bank Co. Ltd. Hefei Branch; Approved the Company and its subsidiaries to apply for a special
credit line of up to 600 million yuan for the bill pool from Bank of Hangzhou Co. Ltd. Hefei Branch; Approved
the Company and its subsidiaries to apply for a special credit line of up to RMB 1 billion for the bill pool from
Bank of Communications Co. Ltd. Anhui Branch. Found more on appointed media “Securities Times” “ChinaSecurities Journal” and Juchao Website (www.cninfo.com.cn) that the Company disclosed in the form of
announcement (Announcement No. 2024-046 )on 12 October 2024..
22. On November 22 2024 Mr. Zhong Ming the former president of the Company resigned from his
position as President of the Company due to personal reasons and he will continue to serve as a director of the
Company a member of the Strategy Committee a member of the Nomination Committee and a member of the
ESG Management Committee of the Company. Passed by the resolution of the sixth meeting of the 11th board of
directors of the Company in accordance with "The Company Law" "Articles of Association of the Company" and
the relevant regulations of the China Securities Regulatory Commission and the Shenzhen Stock Exchange in
order to ensure the smooth progress of the Company's daily operation and management after review and approval
by the nomination committee under the board of directors the board of directors agreed to authorize Mr. Tang
Youdao vice president of the Company to act as the president with the agency period will be from the date of the
resolution of the board of directors to the date of appointment of the new president of the board of directors.Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
168Annual Report 2024
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-065
and 2024-066)on 12 October 2024..
23. On December 11 2024 and December 27 2024 through the resolution passed at the eighth meeting of
the 11th board of directors the sixth meeting of the 11th board of supervisors and the third extraordinary general
meeting of shareholders in 2024 In order to improve the efficiency of the Company's capital use increase the
Company's cash asset income and maximize the interests of shareholders under the premise of ensuring the
capital needs of daily operation and effectively controlling investment risks it’s agreed that the Company and its
subsidiaries (excluding Zhongke Meiling Cryogenic Technology Co. Ltd. and its subsidiaries) will use their own
idle funds not exceeding 6.35 billion yuan (the quota can be used on a rolling basis) to invest in bank wealth
management products with high security good liquidity low risk and stability within one year and the
authorization period shall be valid for one year from the date of approval by the Company's general meeting of
shareholders. Found more on appointed media “Securities Times” “China Securities Journal” and Juchao Website
(www.cninfo.com.cn) that the Company disclosed in the form of announcement (Announcement No. 2024-067
and 2024-072)on 12 December 2024..XVII. Major event of the subsidiary
√ Applicable □ Not applicable
1. According to the resolution of the 41st meeting of the 10th Board of Directors of the Company it was agreed
that Sichuan Changhong Air Conditioning Co. Ltd. a subsidiary of the Company would invest RMB 100 million
with its own funds to set up a wholly-owned subsidiary Sichuan Changhong Intelligent Air Conditioning
Technology Co. Ltd. to engage in related business centered on manufacturing and sales of frequency conversion
drive control panels in the air conditioning industry (including special air conditioners).Found more on appointed
media “Securities Times” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that the Company
disclosed in the form of announcement (Announcement No. 2024-006 )on 15 March 2024..
2. According to the resolution of the 42nd meeting of the 10th Board of Directors and the 30th meeting of the
10th Board of Supervisors it was agreed that Hefei Meiling Nonferrous Metal Products Co. Ltd. a subsidiary of the
Company would write off some unrecoverable accounts receivable totaling RMB 3092614.56.Found more on
appointed media “Securities Times” “China Securities Journal” and Juchao Website (www.cninfo.com.cn) that
the Company disclosed in the form of announcement (Announcement No. 2024-0072024-008 and 2024-012 )on
30 March 2024.
169Annual Report 2024
VII .Changes in Shares and Particulars about Shareholders
I. Changes in Share Capital
(i) Changes in Share Capital
In Shares
Before the Change Increase/Decrease in the Change (+ -) After the Change
Public
reserve
New Bonus transfer
Amount Proportion shares Others Subtotal Amount Proportion
shares into
issued
share
capital
I. Restricted
76888420.75%000-1534757-153475761540850.60%
shares
1.
State-owned 0 0.00% 0 0 0 0 0 0 0.00%
shares
2.
State-owned
legal 1141053 0.11% 0 0 0 0 0 1141053 0.11%
person’s
shares
3. Other
domestic 5280369 0.52% 0 0 0 -267337 -267337 5013032 0.49%
shares
Including:
Domestic
legal 3363539 0.33% 0 0 0 0 0 3363539 0.33%
person’s
shares
Domestic
natural
19168300.19%000-267337-26733716494930.16%
person’s
shares
4. Foreign
12674200.12%000-1267420-126742000.00%
shares
Including:
Foreign legal
00.00%0000000.00%
person’s
shares
Foreign
natural
12674200.12%000-1267420-126742000.00%
person’s
shares
II.Unrestricted 1022234873 99.25% 0 0 0 +1534757 +1534757 1023769630 99.40%
shares
1. RMB
ordinary 875312459 84.99% 0 0 0 +267337 +267337 875579796 85.01%
shares
2.
Domestically
14692241414.26%000+1267420+126742014818983414.39%
listed foreign
shares
3. Overseas
listed foreign 0 0.00% 0 0 0 0 0 0 0.00%
shares
4. Others 0 0.00% 0 0 0 0 0 0 0.00%
III. Total
1029923715100.00%000001029923715100.00%
shares
170Annual Report 2024
1. Reasons for share changed
√ Applicable □ Not applicable
(1)On June 18 2024 the Company held the first meeting of the 11th Board of Directors and held a general
election for senior managers. Mr. Huang Danian no longer served as the Company's vice president. According to the
relevant provisions of the Guideline No.18 on Self-regulation of Listed Companies of Shenzhen Stock Exchange -
Reduction of Shares held by Shareholders and Directors Supervisors and Senior Managers During the Reporting
Period Mr. Huang Danian the former vice president of the Company had left office for six months so 75% of the
total number of shares of the Company held by him i.e. 267337 shares was lifted.
(2) On May 25 2023 Mr. Liu Hongwei the former Executive Vice President of the Company resigned as the
executive vice president of the Company for personal reasons and his original term of office expired on June 18
2024. According to the relevant provisions of the Guideline No.18 on Self-regulation of Listed Companies of
Shenzhen Stock Exchange - Reduction of Shares held by Shareholders and Directors Supervisors and Senior
Managers all the shares of Mr. Liu Hongwei were locked six months after his resignation During the reporting
period as it had been six months since Mr. Liu Hongwei left office and his original term expired 75% of the
shares held by him that is 1267420 shares were lifted from restricted sale.
2. Approval of share changed
□ Applicable √Not applicable
3. Ownership transfer of share changed
□ Applicable √Not applicable
4. 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
5. Other information necessary to disclose or need to disclosed under requirement from security regulators
□ Applicable √ Not applicable
(ii) Changes of lock-up stocks
√ Applicable □ Not applicable
In: Shares
Restricted
Ending
Opening Shares shares
Sharehold shares
shares released in increased Restricted reasons Date for released
ers restricte
restricted Period in
d
Period
On June 18 2024 the Company held
the first meeting of the 11th Board of
Directors and held a general election
for senior managers. Mr. Huang
Danian no longer served as the
Company's vice president. According
to the relevant provisions of the
Huang Top management
267337 0 267337 0 Guideline No.18 on Self-regulation of
Danian lock-in stock
Listed Companies of Shenzhen Stock
Exchange - Reduction of Shares held
by Shareholders and Directors
Supervisors and Senior Managers
During the Reporting Period Mr.Huang Danian the former vice
president of the Company had left
171Annual Report 2024
office for six months so 75% of the
total number of shares of the
Company held by him i.e. 267337
shares was lifted.On May 25 2023 Mr. Liu
Hongwei the former Executive Vice
President of the Company resigned as
the executive vice president of the
Company for personal reasons and
his original term of office expired on
June 18 2024. According to the
relevant provisions of the Guideline
No.18 on Self-regulation of Listed
Companies of Shenzhen Stock
Liu Top management Exchange - Reduction of Shares held
1267420012674200
Hongwei lock-in stock by Shareholders and Directors
Supervisors and Senior Managers all
the shares of Mr. Liu Hongwei were
locked six months after his
resignation During the reporting
period as it had been six months
since Mr. Liu Hongwei left office and
his original term expired 75% of the
shares held by him that is 1267420
shares were lifted from restricted
sale.Total 1534757 0 1534757 0 -- --
II. Securities issuance and listing
(i) Security offering in reporting period (Not including preferred stock)
□ Applicable √ Not applicable
(ii) Explanation on changes of total shares shareholders structure and assets & liability structures
□ Applicable √ Not applicable
(iii) Current shares held by internal staffs
□ Applicable √ Not applicable
III. Particulars about shareholder and actual controller of the Company
(i) Amount of shareholders of the Company and particulars about shares holding
In Share
Total number of
common
shareholders as of
Total preference shareholders Total preference shareholders
Total the end of the
shareholders at with voting rights recovered with voting rights recovered at 73514 previous month 71608 0 0
end of the Period at end of reporting period (if end of last month before annual (March 20th) prior
applicable) report disclosed (if applicable)
to the disclosure
date of the annual
report
Particulars about common shares held above 5% by shareholders or top ten common shareholders(Excludes shares lent through refinancing)
Full name of Shareholders Nature of Proportion Amount of Changes in Amou Amount of Information of
172Annual Report 2024
shareholder of shares common shares report period nt of common shares shares pledged
held
held at the end restrict held without tagged or frozen
of reporting ed restriction
period comm
State
on of Amount
shares share
held
State-owned
Sichuan Changhong Electric Co. Ltd. 24.12% 248457724 0 0 248457724 - -
legal person
Domestic
The National Social Security Fund 101 non-state-own
3.44%35423661+12640925035423661--
portfolio ed legal
person
Foreign legal
HKSCC 2.98% 30721614 +26003000 0 30721614 - -
person
CHANGHONG (HK) TRADING Foreign legal
2.63%270777970027077797--
LIMITED person
Hefei Industry Investment Holding (Group) State-owned
1.83%18864896-28958505018864896
Co. Ltd. - - legal person
Foreign legal
CAO SHENGCHUN 1.43% 14766086 0 0 14766086 - -
person
Domestic
Industrial Bank－Southern Xingrun value
non-state-own
one-year holding period of hybrid securities 1.24% 12751953 +3590353 0 12751953 - -
ed legal
investment fund
person
Domestic
ICBC－South Excellent Growth Stock non-state-own
1.14%11783600+1140600011783600--
Securities Investment Fund ed legal
person
Domestic
CUAM Fund－The National Social non-state-own
0.91%9419401+941940109419401--
Security Fund 17021 portfolio ed legal
person
Foreign legal
PHILLIP SECURITIES（HK）LIMITED 0.61% 6296913 0 0 6296913 - -
person
Strategy investors or general legal person becomes top 10 shareholders due to rights issued (if applicable) Not applicable
Among the above shareholders CHANGHONG (HK) TRADING LIMITED (hereinafter referred to as Hong Kong
Changhong) is the wholly-owned subsidiary of Sichuan Changhong Electric Co. Ltd. the foregoing shareholders
constitute persons of uniform action. There existed no associated relationship or belong to the concerted actors as
Explanation on associated
specified in the Measures for the Administration of Information Disclosure of Shareholder Equity Changes of Listed
relationship among the
Companies among Sichuan Changhong Electric Co. Ltd Hong Kong Changhong and other top 8 shareholders The
aforesaid shareholders
company neither knows whether there is any association among other shareholders nor knows whether othershareholders belong to the persons acting in concert that is stipulated in the “Administrative Measures on InformationDisclosure of Changes in Shareholding of Listed Companies”.Description of the above shareholders in relation to delegate/entrusted voting rights and abstention from
Not Applicable
voting rights.Special note on the repurchase account among the top 10 shareholders (if applicable) Not Applicable
Particular about top ten shareholders with un-restrict shares held(Excluding shares lent through refinancing and Top management lock-in stock)
Amount of Type of shares
unrestricted
Shareholders’ name
shares held at Type Amount
end of Period
Sichuan Changhong Electric Co. Ltd. 248457724 Common shares in 248457724
RMB
The National Social Security Fund 101 portfolio 35423661 Common shares in 35423661
173Annual Report 2024
RMB
HKSCC 30721614 Common shares in 30721614
RMB
27077797 Foreign shares in 27077797
CHANGHONG (HK) TRADING LIMITED
domestic market
Hefei Industry Investment Holding (Group) Co. Ltd. 18864896 Common shares in 18864896
RMB
CAO SHENGCHUN 14766086 Common shares in 14766086
RMB
Industrial Bank－Southern Xingrun value one-year holding period of hybrid securities 12751953 Common shares in 12751953
investment fund RMB
Common shares in
ICBC－South Excellent Growth Stock Securities Investment Fund 11783600 11783600
RMB
Common shares in
CUAM Fund－The National Social Security Fund 17021 portfolio 9419401 9419401
RMB
6296913 Foreign shares in 6296913
PHILLIP SECURITIES（HK）LIMITED
domestic marketExpiation on associated relationship or consistent actors within the top 10 un-restrict Found more in “Particulars about shares held above 5% byshareholders and between top 10 un-restrict shareholders and top 10 shareholders shareholders or top 10 shares holding”
Explanation on top ten common
shareholders involving margin Not applicable
business (if any)
Note 1: At end of the reporting period the person acting in concert with controlling shareholder Sichuan
Changhong-- CHANGHONG (HK) TRADING LIMITED holds B-stock of the Company as 33374710 shares
among which 6296913 shares are held through Philip Securities (H.K.) Co. Ltd. by CHANGHONG (HK)
TRADING LIMITED
Note 2: In the above table "Particulars about shares held above 5% by shareholders or top 10 shares holding" is
subject to the data on stock transfer books provided by China Securities Depository and Clearing Corporation
Limited Shenzhen Branch
Information of shareholders holding more than 5% of the shares the top 10 shareholders and the top 10
shareholders of unrestricted tradable shares participating in the lending of shares in securities lending and
borrowing business
□ Applicable √ Not applicable
The top 10 shareholders and the top 10 shareholders of unrestricted tradable shares have changed compared with
the previous period due to the securities lending/returning of shares in securities lending and borrowing business
□ Applicable √ Not applicable
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a
buy-back agreement dealing in reporting period.□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy –back agreement dealing in reporting period.(ii) Controlling shareholder of the Company
1. Nature of controlling shareholders: local state-owned holding
2. Type of controlling shareholders: legal person
Controlling Legal
Dated Organization
shareholders rep./person in Main business
founded code
’ name charge of unit
174Annual Report 2024
Manufactures sales and maintenance of household appliance automotive electrical
appliance Electronic products and spare parts communications equipment
lighting equipment household products computer and other Electronic equipment
specialized equipment of Electronic and Electronic Electronic machinery and
equipment series products of batteries Electronic medicine products Electronic
equipment mechanical equipment Refrigeration equipment and accessories digital
monitoring products metal products apparatus and instruments culture and office
machines culture and education and sports products kitchen cabinet and gas
appliance; house and equipment rental; packing products and technical services;
road transportation; storage and discharging convey; R&D sales and services of
integrated circuit and software; consultancy and services of enterprise
management; hi-tech project investment and other state-permitted business;
Sichuan
development and operation of property; engineering construction for house and
Changhong April 9151070020541
Liu Jiang buildings; callback and disposal of obsolete appliance and Electronic products;
Electric Co. 81993 2308D services of Information Technology; consultancy and services of finance;
Ltd.sales relevant import and export business of Chemical raw materials and
products(Not contain dangerous chemicals) building materials non-ferrous metal
Steel plastics packing material mechanical and electrical equipment Precious
metals Automotive components Electronic components Value added
telecommunication service agent service of telecommunication; designing
manufacturing releasing and agency for the advertisement; Radio and television
program production; Internet information services (excluding investment finance
and securities); audio and video production and services; R&D and design of the
drone and unmanned aerial vehicle system as well as the promotion of drone
technology; transfer and technical consulting service production and sales of drone
(any projects that needs permission by the law should subject to the approval by
relevant authority )
1. As of December 312024 Sichuan Changhong directly holds 212994972 shares of Changhong Huayi Compressor Co. Ltd. (Stock
code: 000404)- a company listed on the main board of the Shenzhen Stock Exchange accounting for 30.60% of the equity of
Changhong Huayi Compressor Co. Ltd.Equity 2. As of December 312024 Sichuan Changhong indirectly holds 1990518000 ordinary shares and preferred shares in total of
controlling
Changhong Jiahua Holdings Co. Ltd. (Stock code: 03991) - a company listed on the main board of Hong Kong Stock Exchange
and jointly
accounting for 77.44% of the whole ordinary shares and preferred shares under the name of Changhong Jiahua Holdings Co. Ltd.of other
3.As of December 31 2024 Sichuan Changhong directly holds 86258333 shares of Sichuan Changhong Minsheng Logistics Co. Ltd
foreign/dom
estic listed (stock code:836237)- the company with shares transferring in National Equities Exchange and Quotations accounting for 70.27% of the
company by equity of Sichuan Changhong Minsheng Logistics Co. Ltd.controlling 4. As of December 31 2024 Sichuan Changhong directly holds 95% of the equity of Sichuan Changhong Innovation Investment Co.shareholder
Ltd. Changhong Group the controlling shareholder of Sichuan Changhong directly holds 5% of the equity of Sichuan Changhong
in reporting
Innovation Investment Co. Ltd. and Sichuan Changhong Innovation Investment Co. Ltd. directly holds 24068160 shares of Sichuan
period
Huafeng Technology Co. Ltd. (stock code: 688629) a company listed on the Science and Technology Innovation Board of the Shanghai
Stock Exchange which accounts for 5.22% of the equity of Sichuan Huafeng Technology Co. Ltd..
3. Controlling shareholder changes in reporting period
□ Applicable √ Not applicable
Controlling shareholder stays the same in Period.(iii) Actual controller of the Company and its person acting in concert
1. Nature of actual controller: local state-owned assets management
2. Type of actual controller: legal person
Legal
Dated
Actual controller rep./person in Organization code Main business
founded
charge of unit
State-owned Assets Supervision &
State-owned Assets Supervision & -- -- -- Administration Commission of Mianyang
175Annual Report 2024
Administration Commission of Mianyang Municipality is entrusted by the same level
Municipality government together performs decision-making
and management of state-owned asset owners
and is one organization which executes
comprehensive management and supervision on
its belonged state-owned assets.Equity controlling of other
foreign/domestic listed company by Not Applicable
actual controller in reporting period
3. Changes of actual controller in Period
□ Applicable √ Not applicable
Actual controller stays the same in Period
4. Property rights and the block diagram of the control relationship between the Company and the actual control
(ended as 31st December 2024)绵阳市国有资产监督管理委员会四川省财政厅
90%10%
%%四川长虹电子控股集团有限公司
23.22%
%四川长虹电器股份有限公司
100%
四川长虹（香港）贸易有限公司省绵24.12%阳市四川省
3.24%
虹欢绵阳市
%长科虹技美菱股份有限公司虹欢科有限技有限
5. Actual controller controlling the Company b责y 任means of entrust or other ass责ets任 m公anagement
□ Applicable √ Not applicable 公司 司
(iv) The total number of shares pledged by con trolling shareholders or the first majority shareholder and
%
its persons acting in concert accounts for 80%% of the shares held by them
□ Applicable √ Not applicable
(v)Other legal person’s shareholders with over ten percent shares held 10%.□ Applicable √ Not applicable
(vi) Actual controller controlling the Company by means of entrust or other assets management
□ Applicable √ Not applicable
IV. The specific implementation of shares repurchased/buy-back during the reporting period
(i) Implementation progress of shares buy-back
□ Applicable √ Not applicable
(ii) Implementation progress of reducing holdings of shares buy-back by centralized bidding
□ Applicable √ Not applicable
176Annual Report 2024
VIII. Situation of the Preferred Shares
□ Applicable √ Not applicable
The Company had no preferred stock in the Period
177Annual Report 2024
IX.Corporate Bond
□ Applicable √ Not applicable
178Annual Report 2024
X. Financial Report
I. Audit report
Type of audit opinion Standard unqualified opinion
Date for signing the report April 1 2025
Name of audit institute Pan-China Certified Public Accountants LLP
Serial of Auditing Report Tianjian Review [2025] No. 11-203
Name of CPA Li Yuanliang Peng Yahui
Auditor’s Report
To Shareholders of Changhong Meiling Co. Ltd.:
I.Auditor’s opinion
We as the auditors audited the financial statements of Changhong Meiling Co. Ltd. (the “Company”) which
included the consolidated balance sheet as of 31 December 2024 the consolidated statement of income the
consolidated statement of cash flow and the consolidated statement of changes in equity of the Company for
Current Year ended 31 December 2024 together with the relevant notes thereto.We are the view that the attached financial statements are prepared in accordance with the Business Accounting
Standards in all material aspects which reflect fairly the consolidated financial position of the Company as of 31
December 2024 and the operating results and cash flow of the Company for Current Year of 2024.II. Basis for audit opinions
We conducted this audit under the requirements of the Auditing Standards of the Certified Public Accountant of
the PRC. The section headed “Certified Public Accountant’s responsibility for audit of financial statement” in the
audit report has further clarified our responsibilities under these standards. Pursuant to the code of professional
conduct as certified public accountant in the PRC we are independent of the Company and have performed other
responsibility as required by our professional ethics. We believe that the audit evidence obtained by us is
sufficient and adequate which provides foundation for us to issue audit opinion.III.Key audit issues
Key audit matters are those matters that in our professional judgment were of most significance in our audit of
the financial statements of the current period. These matters were addressed in the context of our audit of the
financial statements as a whole and in forming our opinion thereon and we do not provide a separate opinion on
these matters. The key audit matter we identified is as follows:
(1) Recognition of operating income
1. Description of item
Please refer to Notes III (XXX) and V (II) 1 to the financial statements for details of relevant information disclosure.Changhong Meiling's operating income mainly comes from selling refrigerators (freezers) air conditioners
washing machines small home appliances kitchens and bathrooms and other home appliances to domestic and
foreign customers. In 2024 the operating income was RMB 28601036014.96 yuan of which the income from
refrigerators (freezers) air conditioners and washing machines was RMB 26713960170.94 yuan accounting for
93.40% of the operating income.
As operating income is one of the key performance indicators of Changhong Meiling there may be inherent risks
that the management of Changhong Meiling (hereinafter referred to as management) achieves specific goals or
179Annual Report 2024
expectations through improper income recognition. Therefore we determine income recognition as a key audit
item.
2. Audit response
For revenue recognition the audit procedures we implemented mainly include:
(1) Understanding the key internal controls related to revenue recognition evaluating the design of these
controls determining whether they are implemented and testing the operating effectiveness of relevant internal
controls;
(2) Reviewing the sales contract understanding the main contract terms or conditions and evaluating
whether the revenue recognition method is appropriate;
(3) Analyzing the operating revenue and gross profit rate by month product region etc. identifying whether
there are significant or abnormal fluctuations and ascertaining the reasons for the fluctuations;
(4) For domestic sales revenue choosing supporting documents for checked items including sales contracts
orders sales invoices outbound delivery orders shipping orders shipping documents customers’ signature form
and payment receipts. For overseas revenue obtaining port information and checking with the accounting records
and checking the sales contracts export declaration forms bills of lading sales invoices and other supporting
documents by sampling;
(5) Based on the accounts receivable letter of confirmation select specific samples to send letters of
confirmation to major customers regarding the current sales revenue
(6) Carrying out a cut-off test and evaluating whether the operating revenue is recognized within an
appropriate period
(7) Checking whether the information relating to operating revenue has been properly presented in the
financial statements.(II) Capitalization of R&D expenditure
1. Description of item
For details of relevant information disclosure please refer to Notes III (XXI) V (I) 21 and VI to the financial
statements.As of December 31 2024 the company's research and development is focused on refrigerators washing
machines and air conditioning projects. In 2024 the company capitalized a total of RMB 207422076.26 in R&D
investment generated during the research and development of patented and non patented technologies as
development expenses..R&D expenditure can be capitalized only when all the capitalization requirements listed in Note III (XXI) to
the financial statements are met. Since determining whether R&D expenditure meets all the capitalization
conditions requires significant accounting estimation and judgment by the management we recognize the
capitalization of R&D expenditure as a key audit item.
2. Audit response
For capitalization of R&D expenditure the audit procedures we intend to implement mainly include:
(1) Understand the scope and accounting methods of R&D expenditures key controls for capitalizing R&D
expenditures and test the effectiveness of relevant internal control operations;;
180Annual Report 2024
(2) Understand the accounting policy for capitalization of R&D expenditure of Changhong Meiling and
evaluate whether it conforms to the relevant provisions of the Accounting Standards for Business Enterprises;
(3) Obtain a detailed list of R&D expenditures perform analytical procedures on R&D expenditures select
specific samples to check supporting documents related to R&D expenditures evaluate whether the collection scope
of R&D expenditures is appropriate and whether R&D expenditures are true;;
(4) Obtain and check the project application report small batch trial manufacture review report trial
production review report and acceptance report of the project in the development stage and interview the
management to evaluate whether the management's judgment on the feasibility of the project is appropriate and
whether the capitalization time of the project is reasonable;
(5) Check whether the information related to capitalization of R&D expenditure has been properly presented in
the financial report.IV. Other information
The management of Changhong Meiling Co. Ltd. (the “Management”) is responsible for other information which
includes the information covered in the Company’s 2022 annual report excluding the financial statement and our
audit report.The audit opinion issued by us for the financial statement has not covered other information for which we do not
issue any form of assurance opinions.Considering our audit on financial statements we are liable to read other information during which we shall
consider whether other information differs materially from the financial statements or that we understand during
our audit or whether there is any material misstatement.Based on the works executed by us we should report the fact if we find any material misstatement in other
information. In t his regards we have nothing to report.V. Responsibilities of management and those charged with governance for the financial statements
The management is responsible for the preparation of the financial statements in accordance with the Accounting
Standards for Enterprise to secure a fair presentation and for the design establishment and maintenance of the
internal control necessary to enable the preparation of financial statements that are free from material
misstatement whether due to fraud or error.In preparing the financial statements the management is responsible for assessing the Company’s ability to
continue as a going concern disclosing matters related to going concern and using the going concern assumption
unless the management either intends to liquidate the Company or to cease operations or has no realistic
alternative but to do so.Those charged with governance are responsible for overseeing the Company’s financial reporting process.VI. Responsibilities of the auditor for the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement whether due to fraud or error and to issue an audit report that includes our audit opinion.Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance
with the CAS will always detect a material misstatement when it exists. Misstatements can arise from fraud or
error and are considered material if individually or in the aggregate they could reasonably be expected to
influence the economic decisions of users taken on the basis of the financial statements.As part of an audit in accordance with the CAS we exercise professional judgment and maintain professional
skepticism throughout the audit. We also:
(1) identify and assess the risks of material misstatement of the financial statements whether due to fraud or error
181Annual Report 2024
design and perform audit procedures responsive to those risks and obtain audit evidence that is sufficient and
appropriate to provide a basis for audit opinion. The risk of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error as fraud may involve collusion forgery intentional omissions
misrepresentations or the override of internal control.
(2) Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances.
(3) Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by the management.
(4) Conclude on the appropriateness of the management’s use of the going concern assumption and based on the
audit evidence obtained whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material
uncertainty exists we are required by the CAS to draw users’ attention in audit report to the related disclosures in
the financial statements or if such disclosures are inadequate to modify audit opinion. Our conclusions are based
on the information obtained up to the date of audit report. However future events or conditions may cause the
Company to cease to continue as a going concern.
(5) Evaluate the overall presentation structure and content of the financial statements and whether the financial
statements represent the underlying transactions and events in a manner that achieves fair presentation.
(6) Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business
activities within the Company to express audit opinion on the financial statements. We are responsible for the
direction supervision and performance of the group audit. We remain solely responsible for audit opinion.We communicate with those charged with governance regarding among other matters the planned scope and
timing of the audit and significant audit findings including any significant deficiencies in internal control that we
identify during our audit.We also provide those charged with governance with a statement that we have complied with relevant ethical
requirements regarding independence and communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence related safeguard measures.From the matters communicated with those charged with governance we determine those matters that were of
most significance in the audit of the financial statements of the current period and are therefore the key audit
matters. We describe these matters in the auditor’s report unless law or regulation precludes public disclosure
about the matter or when in extremely rare circumstances we determine that a matter should not be
communicated in the auditor’s report because of the adverse consequences of doing so would reasonably be
expected to outweigh the public interest benefits of such communication.Pan-China Certified Public Accountants LLP
Chinese CPA: Li Yuanliang
(Engagement partner)
Chinese CPA: Peng Yahui
Hangzhou China April 1，2025
：
182Annual Report 2024
II. Financial statements
Units in Notes of Financial Statements is RMB
1. Consolidated Balance Sheet
Prepared by CHANGHONG MEILING CO. LTD. December 31 2024
In RMB
Item December 312024 January 12024
Current assets:
Monetary funds 10492450750.61 8842623235.72
Settlement provisions
Capital lent
Trading financial assets 39236447.63
Derivative financial assets 72010074.43
Note receivable 267174.50
Account receivable 1527978374.48 1680303240.09
Receivable financing 1516987953.83 1641858740.34
Accounts paid in advance 60352345.27 45796175.02
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance
receivable
Other account receivable 135391270.79 100159876.70
Including: Interest receivable
Dividend receivable 12124951.70
Buying back the sale of financial assets
Inventories 3514968009.34 2022749908.45
Including：Data resources
Contractual assets 2763866.97 13261690.62
Assets held for sale
Non-current asset due within one year 60242921.84 122294027.78
Other current assets 562030362.98 225419883.07
Total current assets 17945175930.54 14733970399.92
Non-current assets:
Loans and payments on behalf
Debt investment 1474153793.17 420537485.54
Other debt investment
Long-term account receivable
Long-term equity investment 81511146.82 112745811.75
Investment in other equity instrument
183Annual Report 2024
Item December 312024 January 12024
Other non-current financial assets 676094304.44 674139515.48
Investment real estate 66720850.69 50920487.71
Fixed assets 2218850660.12 2291776177.80
Construction in progress 97807983.40 69920839.20
Productive biological asset
Oil and gas asset
Right-of-use assets 113784190.78 35146281.21
Intangible assets 994429966.05 930141998.97
Including：Data resources
Expense on Research and Development 74710694.74 97177535.34
Including：Data resources
Goodwill
Long-term expenses to be apportioned 33336772.23 35698465.62
Deferred income tax asset 176953941.27 159838664.57
Other non-current asset 19073662.23 26601614.35
Total non-current asset 6027427965.94 4904644877.54
Total assets 23972603896.48 19638615277.46
Current liabilities:
Short-term loans 766747286.01 1134102419.03
Loan from central bank
Capital borrowed
Trading financial liability 32229012.86
Derivative financial liability 156359680.92
Note payable 7934125435.65 5910417290.11
Account payable 6132020588.41 3900524844.73
Accounts received in advance 11085.70 55949.90
Contractual liability 609737871.24 405733638.26
Selling financial asset of repurchase
Absorbing deposit and interbank deposit
Security trading of agency
Security sales of agency
Wage payable 389952777.46 444585894.98
Taxes payable 95871539.98 93221395.45
Other account payable 1031439412.53 887428362.41
Including: Interest payable
Dividend payable 6005989.72 5384407.44
Commission charge and commission
payable
Reinsurance payable
184Annual Report 2024
Item December 312024 January 12024
Liability held for sale
Non-current liabilities due within one
29135164.6846655412.91
year
Other current liabilities 23824389.50 19177067.62
Total current liabilities 17169225232.08 12874131288.26
Non-current liabilities:
Insurance contract reserve
Long-term loans 108000000.00
Bonds payable
Including: Preferred stock
Perpetual capital securities
Lease liability 101826405.91 28976808.54
Long-term account payable 455409.20 800347.84
Long-term wages payable 10195289.45 11497075.82
Accrual liability 45030417.22 32054790.39
Deferred income 125435177.90 132977494.33
Deferred income tax liabilities 44072593.30 19587398.52
Other non-current liabilities
Total non-current liabilities 327015292.98 333893915.44
Total liabilities 17496240525.06 13208025203.70
Owner’s equity:
Share capital 1029923715.00 1029923715.00
Other equity instrument
Including: Preferred stock
Perpetual capital securities
Capital public reserve 2750470215.39 3125503457.77
Less: Inventory shares
Other comprehensive income -21222419.68 -20704362.05
Reasonable reserve 20968173.59 11246811.91
Surplus public reserve 502454071.02 477053194.82
Provision of general risk
Retained profit 1803207185.06 1438315123.94
Total owner’ s equity attributable to
6085800940.386061337941.39
parent company
Minority interests 390562431.04 369252132.37
Total owner’ s equity 6476363371.42 6430590073.76
Total liabilities and owner’ s equity 23972603896.48 19638615277.46
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
185Annual Report 2024
2. Balance Sheet of Parent Company
In RMB
Item December 312024 January 12024
Current assets:
Monetary funds 3939389057.28 4809758761.19
Trading financial assets 18729757.94
Derivative financial assets 19821438.48
Note receivable 38674.50
Account receivable 833235885.99 1451795533.72
Receivable financing 1442869017.45 1497014392.88
Accounts paid in advance 48554780.33 57223852.86
Other account receivable 149182032.46 61841221.91
Including: Interest receivable
Dividend receivable 12124951.70
Inventories 666268187.19 563055688.46
Data resources
Contractual assets 37408.05
Assets held for sale
Non-current assets maturing within one
122294027.78
year
Other current assets 291466689.98 117873746.80
Total current assets 7390787089.16 8699663066.09
Non-current assets:
Debt investment 925585208.34 185038444.44
Other debt investment
Long-term receivables
Long-term equity investments 2063325214.07 1857475810.90
Investment in other equity instrument
Other non-current financial assets 641137345.26 639796405.98
Investment real estate 3126179.84 3335032.47
Fixed assets 1053825318.71 1129605191.26
Construction in progress 59788586.47 23067134.99
Productive biological assets
Oil and natural gas assets
Right-of-use assets 12954326.53 14847119.40
Intangible assets 442210732.72 450919869.65
Data resources
Research and development costs 38924294.89 59134989.07
Data resources
Goodwill
186Annual Report 2024
Item December 312024 January 12024
Long-term deferred expenses 17709281.58 18688725.10
Deferred income tax assets 95484746.18 112630572.62
Other non-current assets 638649.57 638649.57
Total non-current assets 5354709884.16 4495177945.45
Total assets 12745496973.32 13194841011.54
Current liabilities:
Short-term borrowings 746224022.12 1128097377.36
Trading financial liability 13310995.04
Derivative financial liability 35876471.02
Notes payable 2977167497.82 2697168522.01
Account payable 2256196451.43 2296410046.78
Accounts received in advance
Contractual liability 175438827.79 107529353.67
Wage payable 107686556.89 159773962.41
Taxes payable 17041928.43 25137168.64
Other accounts payable 943872547.30 951772428.91
Including: Interest payable
Dividend payable 5405989.72 4784407.44
Liability held for sale
Non-current liabilities due within one
2368977.6842339541.12
year
Other current liabilities 7744840.19 4875594.29
Total current liabilities 7269618120.67 7426414990.23
Non-current liabilities:
Long-term loans 108000000.00
Bonds payable
Including: Preferred stock
Perpetual capital securities
Lease liability 12915911.24 14511484.16
Long-term account payable
Long term employee compensation
5434796.156554481.48
payable
Accrued liabilities 12165219.71 8758265.23
Deferred income 81760946.33 75130950.40
Deferred income tax liabilities 15926816.74 13589235.48
Other non-current liabilities
Total non-current liabilities 128203690.17 226544416.75
Total liabilities 7397821810.84 7652959406.98
Owners’ equity:
187Annual Report 2024
Item December 312024 January 12024
Share capital 1029923715.00 1029923715.00
Other equity instrument
Including: Preferred stock
Perpetual capital securities
Capital public reserve 2601775532.74 2740508510.57
Less: Inventory shares
Other comprehensive income
Special reserve 505111.75
Surplus reserve 502235905.34 476835029.14
Retained profit 1213740009.40 1294109238.10
Total owner’s equity 5347675162.48 5541881604.56
Total liabilities and owner’s equity 12745496973.32 13194841011.54
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
3. Consolidated Profit Statement
In RMB
Item 2024 2023
I. Total operating income 28601036014.96 24377974386.94
Including: Operating income 28601036014.96 24377974386.94
Interest income
Insurance gained
Commission charge and commission income
II. Total operating cost 27829543526.32 23607302828.05
Including: Operating cost 25411275203.27 21134276562.82
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 112742900.98 200227814.27
Sales expense 1477154043.38 1423788018.72
Administrative expense 359672540.20 371930885.44
R&D expense 637242233.83 597529355.84
Financial expense -168543395.34 -120449809.04
Including: Interest expenses 24540000.01 31212055.56
188Annual Report 2024
Item 2024 2023
Interest income 182415110.59 193136304.82
Add: Other income 196071087.54 146672702.27
Investment income (Loss is listed with “-”) 35709856.70 7895511.23
Including: Investment income on affiliated company and joint venture 9165103.88 19133884.40
The termination of income recognition for financial assets measured by
-38661658.21-22489932.70
amortized cost
Exchange income (Loss is listed with “-”)
Net exposure hedging income (Loss is listed with “-”)
Income from change of fair value (Loss is listed with “-”) -87184652.30 7293761.73
Loss of credit impairment (Loss is listed with “-”) 14901780.81 -81468574.70
Losses of devaluation of asset (Loss is listed with “-”) -116583058.63 -55234107.48
Income from assets disposal (Loss is listed with “-”) 160661.55 1880089.33
III. Operating profit (Loss is listed with “-”) 814568164.31 797710941.27
Add: Non-operating income 10938462.86 15072219.01
Less: Non-operating expense 11928863.23 8367475.17
IV. Total profit (Loss is listed with “-”) 813577763.94 804415685.11
Less: Income tax expense 88910261.07 36422352.81
V. Net profit (Net loss is listed with “-”) 724667502.87 767993332.30
(i) Classify by business continuity
1.continuous operating net profit (net loss listed with ‘-”) 724667502.87 767993332.30
2.termination of net profit (net loss listed with ‘-”)
(ii) Classify by ownership
1.Net profit attributable to owner’s of parent company 699270051.82 735828796.67
2.Minority shareholders’ gains and losses 25397451.05 32164535.63
VI. Net after-tax of other comprehensive income -465244.39 433908.69
Net after-tax of other comprehensive income attributable to owners of
-518057.63177100.58
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
4.Fair value change of enterprise's credit risk
5. Other
(ii) Other comprehensive income items which will be reclassified
-518057.63177100.58
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
189Annual Report 2024
Item 2024 2023
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
-518057.63177100.58
financial statements
7.Other
Net after-tax of other comprehensive income attributable to minority
52813.24256808.11
shareholders
VII. Total comprehensive income 724202258.48 768427240.99
Total comprehensive income attributable to owners of parent Company 698751994.19 736005897.25
Total comprehensive income attributable to minority shareholders 25450264.29 32421343.74
VIII. Earnings per share:
(i) Basic earnings per share 0.6790 0.7144
(ii) Diluted earnings per share 0.6790 0.7144
As for the enterprise combined under the same control net profit of 1918902.01 yuan achieved by the merged
party before combination while -5606904.68 yuan achieved last period
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
4. Profit Statement of Parent Company
In RMB
Item 2024 2023
I. Operating income 10332554876.58 9608398530.57
Less: Operating cost 9451034846.99 8715341736.95
Taxes and surcharge 45865395.79 86233117.13
Sales expenses 235254055.13 254382015.75
Administration expenses 131613837.20 139854173.76
R&D expenses 320054920.88 281165357.51
Financial expenses -55380238.83 -34410768.97
Including: Interest expenses 15040671.80 28980467.63
Interest income 81778925.78 91292890.78
Add: Other income 34545492.77 26474061.57
Investment income (Loss is listed with “-”) 76459962.63 190286552.58
Including: Investment income on affiliated Company and joint
8398963.6518713956.61
venture
The termination of income recognition for financial assets
-9688921.63-6157758.00
measured by amortized cost (Loss is listed with “-”)
Net exposure hedging income (Loss is listed with “-”)
Changing income of fair value (Loss is listed with “-”) -17915256.16 13710776.81
Loss of credit impairment (Loss is listed with “-”) 3500641.91 -9095054.57
190Annual Report 2024
Losses of devaluation of asset (Loss is listed with “-”) -24234772.55 -11009739.57
Income on disposal of assets (Loss is listed with “-”) 3044.16 1382274.00
II. Operating profit (Loss is listed with “-”) 276471172.18 377581769.26
Add: Non-operating income 594900.34 1740921.86
Less: Non-operating expense 3573902.82 3452240.92
III. Total Profit (Loss is listed with “-”) 273492169.70 375870450.20
Less: Income tax 19483407.70 17525416.84
IV. Net profit (Net loss is listed with “-”) 254008762.00 358345033.36(i) continuous operating net profit (net loss listed with ‘-”) 254008762.00 358345033.36(ii) termination of net profit (net loss listed with ‘-”)
V. Net after-tax of other comprehensive income
(i) Other comprehensive income items which will not be
reclassified subsequently to profit of loss
1.Changes of the defined benefit plans that re-measured
2.Other comprehensive income under equity method that
cannot be transfer to gain/loss
3.Change of fair value of investment in other equity instrument
4.Fair value change of enterprise's credit risk
5. Other
(ii) Other comprehensive income items which will be
reclassified subsequently to profit or loss
1.Other comprehensive income under equity method that can
transfer to gain/loss
2.Change of fair value of other debt investment
3.Amount of financial assets re-classify to other comprehensive
income
4.Credit impairment provision for other debt investment
5.Cash flow hedging reserve
6.Translation differences arising on translation of foreign
currency financial statements
7.Other
VI. Total comprehensive income 254008762.00 358345033.36
VII. Earnings per share:
(i) Basic earnings per share 0.2466 0.3479
(ii) Diluted earnings per share 0.2466 0.3479
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
5. Consolidated Cash Flow Statement
In RMB
Item 2024 2023
191Annual Report 2024
Item 2024 2023
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor services 31497336084.34 25438947904.30
Net increase of customer deposit and interbank deposit
Net increase of loan from central bank
Net increase of capital borrowed from other financial institution
Cash received from original insurance contract fee
Net cash received from reinsurance business
Net increase of insured savings and investment
Cash received from interest commission charge and commission
Net increase of capital borrowed
Net increase of returned business capital
Net cash received by agents in sale and purchase of securities
Write-back of tax received 1035628999.48 637810770.31
Other cash received concerning operating activities 133495520.84 111256994.49
Subtotal of cash inflow arising from operating activities 32666460604.66 26188015669.10
Cash paid for purchasing commodities and receiving labor service 25054928387.36 20833778564.54
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 2103869806.96 1944382915.07
Taxes paid 403412758.30 571959228.25
Other cash paid concerning operating activities 1133992434.08 764985530.77
Subtotal of cash outflow arising from operating activities 28696203386.70 24115106238.63
Net cash flows arising from operating activities 3970257217.96 2072909430.47
II. Cash flows arising from investing activities:
Cash received from recovering investment 13508000000.00 1290000000.00
Cash received from investment income 60849394.98 38159487.68
Net cash received from disposal of fixed intangible and other
3354735.137434757.68
long-term assets
Net cash received from disposal of subsidiaries and other units
Other cash received concerning investing activities 196402523.43 311151134.87
Subtotal of cash inflow from investing activities 13768606653.54 1646745380.23
Cash paid for purchasing fixed intangible and other long-term assets 324899569.37 272087223.62
Cash paid for investment 15117895464.58 1531781453.97
Net increase of mortgaged loans
Net cash received from subsidiaries and other units obtained
192Annual Report 2024
Item 2024 2023
Other cash paid concerning investing activities 21299366.89 116511395.99
Subtotal of cash outflow from investing activities 15464094400.84 1920380073.58
Net cash flows arising from investing activities -1695487747.30 -273634693.35
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 2356263587.01 1923365052.15
Other cash received concerning financing activities 246479246.91 376292509.50
Subtotal of cash inflow from financing activities 2602742833.92 2299657561.65
Cash paid for settling debts 2863465327.65 1617564263.12
Cash paid for dividend and profit distributing or interest paying 337885485.36 134699226.43
Including: Dividend and profit of minority shareholder paid by
5083093.4016677010.63
subsidiaries
Other cash paid concerning financing activities 110281026.17 89323864.66
Subtotal of cash outflow from financing activities 3311631839.18 1841587354.21
Net cash flows arising from financing activities -708889005.26 458070207.44
IV. Influence on cash and cash equivalents due to fluctuation in
19040332.0913436104.02
exchange rate
V. Net increase of cash and cash equivalents 1584920797.49 2270781048.58
Add: Balance of cash and cash equivalents at the period -begin 8391177936.62 6120396888.04
VI. Balance of cash and cash equivalents at the period -end 9976098734.11 8391177936.62
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
6. Cash Flow Statement of Parent Company
In RMB
Item 2024 2023
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor
10717024476.328764645288.77
services
Write-back of tax received 482117381.83 219064162.92
Other cash received concerning operating activities 60704809.80 39429001.18
Subtotal of cash inflow arising from operating activities 11259846667.95 9023138452.87
Cash paid for purchasing commodities and receiving labor service 9054439591.12 7020255494.88
Cash paid to/for staff and workers 555653802.87 555776356.25
Taxes paid 64481802.14 130615286.70
Other cash paid concerning operating activities 320519228.73 247010356.89
Subtotal of cash outflow arising from operating activities 9995094424.86 7953657494.72
Net cash flows arising from operating activities 1264752243.09 1069480958.15
II. Cash flows arising from investing activities:
193Annual Report 2024
Cash received from recovering investment 6888000000.00 170094761.15
Cash received from investment income 73566793.59 252919498.24
Net cash received from disposal of fixed intangible and other
528490.004023955.68
long-term assets
Net cash received from disposal of subsidiaries and other units
Other cash received concerning investing activities 76881804.89 92192116.86
Subtotal of cash inflow from investing activities 7038977088.48 519230331.93
Cash paid for purchasing fixed intangible and other long-term
165621042.85145165539.29
assets
Cash paid for investment 8091282909.96 239391719.60
Net cash received from subsidiaries and other units obtained
Other cash paid concerning investing activities 5392311.69 54598530.06
Subtotal of cash outflow from investing activities 8262296264.50 439155788.95
Net cash flows arising from investing activities -1223319176.02 80074542.98
III. Cash flows arising from financing activities:
Cash received from absorbing investment
Cash received from loans 2023749317.81 1917365052.15
Other cash received concerning financing activities 5141249.61 191861996.18
Subtotal of cash inflow from financing activities 2028890567.42 2109227048.33
Cash paid for settling debts 2555295723.05 1433564263.12
Cash paid for dividend and profit distributing or interest paying 322879236.79 115586128.29
Other cash paid concerning financing activities 49918200.78 52320157.85
Subtotal of cash outflow from financing activities 2928093160.62 1601470549.26
Net cash flows arising from financing activities -899202593.20 507756499.07
IV. Influence on cash and cash equivalents due to fluctuation in
-6776238.151866961.18
exchange rate
V. Net increase of cash and cash equivalents -864545764.28 1659178961.38
Add: Balance of cash and cash equivalents at the period -begin 4746147736.99 3086968775.61
VI. Balance of cash and cash equivalents at the period -end 3881601972.71 4746147736.99
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Hu Xiangfei
194Annual Report 2024
7. Statement of Changes in Owners’ Equity (Consolidated)
This Period
In RMB
2024
Owners’ equity attributable to the parent Company
Other
equity instrument
Less:
Perp Capi Other Reaso Provis
Item Inve
etual tal compreh nable Surplus ion of Retained Minority interests Total owners’ equity
Share capital Prefe ntory Other Subtotal
capit Othe reser ensive reserv reserve gener profit
rred share
al r ve income e al risk
stock s
secur
ities
I. The
ending
280
balance of 11246102992371 550 -207043 477053194.8 15217598 5824782654.0
811.9369252132.376194034786.46
the 5.00 345 62.05 2 36.64 9
7.77
previous
year
Add:
Changes
of
accountin
g policy
Error
correction
of the last
period
Enterprise
combine
195Annual Report 2024
under the
same
control
320
000-83444712.
Other 236555287.30 236555287.30
000.70
00
II. The
beginning 312 11246
102992371550-207043477053194.8143831516061337941.3
balance of 811.9 369252132.37 6430590073.76
5.0034562.05223.949
the current 1 7.77
year
III.Increase/
Decrease
-375
in the 9721 033 -518057.
361.636489206124462998.9921310298.6745773297.66
period 242. 63 25400876.20
8.12
38
(Decrease
is listed
with “-”)
(i) Total
comprehe -518057.
699270051698751994.1925450264.29724202258.48
nsive 63.82
income
(ii)
Owners’
-375
devoted 033
-375033242.38
and 242. -375033242.38
38
decreased
capital
1.Commo
196Annual Report 2024
n shares
invested
by
sharehold
ers
2. Capital
invested
by holders
of other
equity
instrument
s
3. Amount
reckoned
into
owners
equity
with
share-base
d payment
-375
033
4. Other -375033242.38
242.-375033242.38
38
(iii) Profit
distributio -33437799 -5083093.40 -314060207.90
25400876.20-308977114.50
n 0.70
1.
Withdraw
-25400876.al of 25400876.20
20
surplus
197Annual Report 2024
reserves
2.
Withdraw
al of
general
risk
provisions
3.
Distributi
on for
-30897711-5083093.40-314060207.90
owners (or -308977114.50
4.50
sharehold
ers)
4. Other
(iv)
Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed
to capital
(share
capital)
2. Surplus
reserves
conversed
to capital
198Annual Report 2024
(share
capital)
3.
Remedyin
g loss
with
surplus
reserve
4.
Carry-ove
r retained
earnings
from the
defined
benefit
plans
5.
Carry-ove
r retained
earnings
from other
comprehe
nsive
income
6. Other
(v) 9721
Reasonabl 361.6 9721361.68 943127.78 10664489.46
e reserve 8
1.4041
5747.40415747.601758422.5142174170.11
Withdraw
60
199Annual Report 2024
al in the
report
period
2. Usage
in the 3069
4385.30694385.92815294.7331509680.65
report
92
period
(vi)
Others
IV. 275
2096
Balance at 102992371 047 -212224
8173.502454071.0180320716085800940.3390562431.046476363371.42
the end of 5.00 021 19.68
59285.068
the period 5.39
Last Period
In RMB
2023
Owners’ equity attributable to the parent Company
Other
equity instrument
Less:
Shar Perp Capi Other Reaso Provis
Item Inve
e etual tal compreh nable Surplus ion of Minority interests Total owners’ equity
Prefe ntory Retained profit Other Subtotal
capit capit Othe reser ensive reserv reserve gener
rred share
al al r ve income e al risk
stock s
secur
ities
I. The ending 102 280 2467
992649-208814441201471.9909082037.65168286872.
balance of the 205.7 370748395.26 5539035267.35
37139062.638609
previous year 8 5.00 4.30
Error correction 17219.50 167328.13 184547.63 -8145.54 176402.09
200Annual Report 2024
of the last period
Enterprise
combine under the
same control
320
000-78235400.8241764599.1
Other 241764599.17
000.37
00
II. The beginning 102 312 2467
992649-208814441218691.4831013964.95410236018.
balance of the 205.7 370740249.72 5780976268.61
37139062.638689
current year 8 5.00 4.30
III. Increase/
Decrease in the -990 8779177100. 607301158.9 651101922.5
446.606.135834503.34-1488117.35649613805.15
period (Decrease 58 8 0
533
is listed with “-”)
(i) Total
177100.735828796.6736005897.2
comprehensive 32421343.74 768427240.99
5875
income
(ii) Owners’ -990
devoted and 446. -990446.53 -18627553.47 -19618000.00
decreased capital 53
1.Common shares
invested by
shareholders
2. Capital invested
by holders of
other equity
instruments
3. Amount
reckoned into
owners equity
201Annual Report 2024
with share-based
payment
-990
4. Other 446. -990446.53 -18627553.47 -19618000.00
53
(iii) Profit -128527637. -92693134.3
35834503.34-16677010.63-109370144.98
distribution 69 5
1. Withdrawal of -35834503.3
35834503.34
surplus reserves 4
2. Withdrawal of
general risk
provisions
3. Distribution for
-92693134.3-92693134.3
owners (or -16677010.63 -109370144.98
55
shareholders)
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
202Annual Report 2024
4. Carry-over
retained earnings
from the defined
benefit plans
5. Carry-over
retained earnings
from other
comprehensive
income
6. Other
(v) Reasonable 8779
606.18779606.131395103.0110174709.14
reserve
3
1. Withdrawal in 3127
7872.31277872.272105658.1533383530.42
the report period
27
2. Usage in the 2249
8266.22498266.14710555.1423208821.28
report period
14
(vi) Others
102312
IV. Balance at the 11246992 550 -207043 477053194.8 1438315123. 6061337941.
811.9369252132.376430590073.76
end of the period 371 345 62.05 2 94 39
1
5.007.77
Legal Representative: Wu Dinggang Person in charge of accounting works: Pang Haitao Person in charge of accounting institute: Hu Xiangfei
8. Statement of Changes in Owners’ Equity (Parent Company)
This Period
In RMB
2024
Other Less: Othe Surp
Item Capital Reasonable
Share capital equity instrument Inventory r lus Retained profit Other Total owners’ equity
reserve reserve
Preferred Perpetual Other shares com reser
203Annual Report 2024
stock capital preh ve
securities ensi
ve
inco
me
I. The ending 476
102992371274050835
balance of the 505111.75 1294109238.10 5541881604.56
5.008510.57029.
previous year 14
Add: Changes
of accounting
policy
Error
correction of
the last period
Other
II. The
476
beginning 102992371 274050 835
505111.751294109238.105541881604.56
balance of the 5.00 8510.57 029.
14
current year
III. Increase/
Decrease in
the period 254-13873
-505111.75008-80369228.70-194206442.08
(Decrease is 2977.83
76.2
listed with 0
“-”)
(i) Total
comprehensiv 254008762.00 254008762.00
e income
(ii) Owners’ -13873
-138732977.83
devoted and 2977.83
204Annual Report 2024
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
-13873
4. Other -138732977.83
2977.83
(iii) Profit 254
008-334377990.70-308977114.50
distribution
76.2
0
1. Withdrawal 254
of surplus 008 -25400876.20
reserves 76.2
0
2. Distribution
for owners (or -308977114.50 -308977114.50
shareholders)
3. Other
205Annual Report 2024
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
capital)
2. Surplus
reserves
conversed to
capital (share
capital)
3. Remedying
loss with
surplus
reserve
4. Carry-over
retained
earnings from
the defined
benefit plans
5. Carry-over
retained
earnings from
other
comprehensiv
e income
206Annual Report 2024
6. Other
(v)
Reasonable -505111.75 -505111.75
reserve
1. Withdrawal
in the report 10305674.40 10305674.40
period
2. Usage in
the report 10810786.15 10810786.15
period
(vi) Others
IV. Balance at 502
102992371260177
the end of the 235 1213740009.40 5347675162.48
5.005532.74
period 905.
34
Last period
In RMB
2023
Other Other
equity instrument compr
Less:
Item Capital ehensi Reasonabl Surplus
Share capital Perpetual Inventory Retained profit Other Total owners’ equity
Preferred reserve ve e reserve reserve
capital Other shares
stock incom
securities
e
I. The ending
balance of the 102992371 274050 687069.3 440983 1064136866.98 5276239468.23
previous year 5.00 8510.57 8 306.30
Add: Changes
of accounting 17219.5 154975.45 172194.95
policy 0
207Annual Report 2024
Error
correction of
the last period
Other
II. The
beginning
102992371274050687069.34410001064291842.435276411663.18
balance of the
5.008510.578525.80
current year
III. Increase/
Decrease in
the period
-181957.358345229817395.67265469941.38
(Decrease is
6303.34
listed with
“-”)
(i) Total
comprehensiv 358345033.36 358345033.36
e income
(ii) Owners’
devoted and
decreased
capital
1.Common
shares
invested by
shareholders
2. Capital
invested by
holders of
other equity
instruments
208Annual Report 2024
3. Amount
reckoned into
owners equity
with
share-based
payment
4. Other
(iii) Profit
358345-128527637.69-92693134.35
distribution
03.34
1. Withdrawal
of surplus 358345 -35834503.34
reserves 03.34
2. Distribution
for owners (or -92693134.35 -92693134.35
shareholders)
3. Other
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
capital)
2. Surplus
reserves
conversed to
capital (share
209Annual Report 2024
capital)
3. Remedying
loss with
surplus
reserve
4. Carry-over
retained
earnings from
the defined
benefit plans
5. Carry-over
retained
earnings from
other
comprehensiv
e income
6. Other
(v)
Reasonable -181957. -181957.63
reserve 63
1. Withdrawal
in the report 8557762. 8557762.79
period 79
2. Usage in
the report 8739720. 8739720.42
period 42
(vi) Others
IV. Balance at
the end of the 102992371 274050 505111.7 476835 1294109238.10 5541881604.56
period 5.00 8510.57 5 029.14
210Annual Report 2024
Legal Representative: Wu Dinggang Person in charge of accounting works: Pang Haitao Person in charge of accounting institute: Hu Xiangfei
211Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)I. Company profile
Changhong Meiling Co. Ltd (hereinafter referred to as “the Company”) ，originally named asHefei Meiling Co. Ltd. is an incorporated Company established and reorganized by Hefei Meiling
Refrigerator General Factory and approved on June 12th 1992 through [WanTiGaiHanZi (1992)
No.039] issued by original Mechanism Reform Committee of Anhui Province. On August 30th
1993 through Anhui Provincial Government [Wanzhenmi (1993) No.166] and re-examination of
China Securities Regulatory Commission the Company made first public issue for 30 million A
shares and the Company was listed on Oct. 18th 1993 in Shenzhen Stock Exchange. On August
13th 1996 the Company was approved to issue 100 million B shares to investors abroad through
[ZhengWeiFa (1996) No.26] issued by China Securities Regulatory Commission. The Company
went public in Shenzhen Stock Exchange on August 28th 1996.State-owned Assets Supervision & Administration Commission of the State Council approved
such transfers with Document GuoziChanquan (2007) No.253 Reply on Matters of Hefei Meiling
Group Holdings Limited Transferring Partial State-owned Ownership Hefei Meiling Group
Holdings Limited (hereinafter referred to as Meiling Group) transferred its holding 37852683
shares in 82852683 state-owned shares of the Company to Sichuan Changhong Electronic Group
Co. Ltd (hereinafter referred to as Changhong Group) other 45000000 shares to Sichuan
Changhong Electric Co. Ltd (hereinafter referred to as Sichuan Changhong). On Aug 15 2007 the
above ownership was transferred and Cleaning Corporation Limited.On 27 August 2007 State-owned Assets Supervision & Administration Commission of AnhuiProvincial Government replied with Document [WGZCQH (2007) No.309] Reply on “RelatedMatters of Share Merger Reform of Hefei Meiling Co. Ltd.” agreed the Company’s ownership
split reform plan. The Company made consideration that non-tradable share holders deliver 1.5
shares to A share holders per 10 shares and original Meiling Group made prepayment 3360329
shares for some non-tradable share holders as consideration for split reform plan.On 29 May 2008 concerning 34359384 state-owned shares (including 3360329 shares paid for
other non-tradable shareholders by original Meiling Group in share reform) held by originalMeiling Group the “Notice of Freely Transfer of Meiling Electrics Equity held by MeilingGroup”[HGZCQ(2008) No. 59] issued from State-owned Assets Supervision & Administration
Commission of Hefei Municipal agrees to transfer the above said shares to Hefei Xingtai Holding
Group Co. Ltd.(“Xingtai Holding Co.”) for free. On 7 August 2008 the “Reply of TransferFreely of Part of the Shares of Hefei Meiling Co. Ltd. held by State-owned shareholders” [GZCQ
(2007) No. 752] issued by SASAC agrees the above said transferring.
On October 29 2008 ChanghongGroup signed Agreement on Equity Transfer of Hefei Meiling
Co. Ltd with Sichuan Changhong in which 32078846 tradable A-shares with conditional
subscription of the Company (accounting for 7.76% in total shares) held by Changhong Group. On
23 December 2008 “Reply of Transfer Freely of Part of the Shares of Hefei Meiling Co. Ltd.held by State-owned shareholders” [GZCQ (2008) No. 1413] issued by SASAC agrees the above
said share transferring.On 24 December 2010 being deliberated and approved in 32nd Session of 6th BOD and 2nd
Extraordinary Shareholders’ General Meeting of 2010 as well as approval of document [ZJXK
(2010) No. 1715] from CSRC totally 116731500 RMB ordinary shares (A stock) were offering
privately to target investors with issue price of RMB 10.28/share. Capital collecting amounting to
RMB 1199999820 after issuing expenses RMB 22045500 deducted net capital collected
212Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)amounting to RMB 1177954320 and paid-in capital (share capital) increased RMB 116731500
with capital reserve (share premium) RMB 1061106088.5 increased. The increasing capital has
been verified by Capital Verification Report No.: ［XYZH2010CDA6021］issued from Shin Wing
CPA Co. Ltd.On 20 June 2011 the general meeting of the Company considered and approved the 2010 profit
distribution plan namely to distribute cash dividends of RMB0.5 (tax included) plus two shares
for every ten shares held by shareholders to all shareholders based on the total share capital of
530374449 shares as of 31 December 2010. The total share capital of the Company upon profit
distribution increased to 636449338 shares. The capital increase was verified by Anhui
HuashenZhengda Accounting Firm with the verification report WHSZDKYZ (2011) No.141.On 26 June 2012 the general meeting of the Company considered and approved the 2011 profit
distribution and capitalization of capital reserve plan namely to distribute cash dividends of
RMB0.5 (tax included) plus two shares for every ten shares to all shareholders capitalized from
capital reserve based on the total share capital of 636449338 shares as of 31 December 2011.The total share capital of the Company upon implementation of capitalization of capital reserve
increased to 763739205 shares from 636449338 shares and was verified by Anhui AnlianXinda
Accounting Firm with the verification report WALXDYZ (2012) No.093.On November 18 2015 considered and approved by the 12th Session of the 8th BOD of the
company and the first extraordinary general meeting in 2016 and approved by the document ofChina Securities Regulatory Commission [CSRC License No. (2016) 1396] “Reply to theapproval of non-public offering of shares of Hefei Meiling Co. Ltd.” the company has actually
raised funds of 1569999998.84 yuan by non-public offering of no more than 334042553 new
shares at face value of 1 yuan per share and with issue price no less than 4.70 yuan per share after
deducting the issue costs of 29267276.08 yuan the net amount of raised funds is
1540732722.76 yuan the increased paid-in capital (share capital) of 280858676.00 yuan
increased capital reserve (share premium) of 1259874046.76 yuan. This capital increase has
been verified by No.［XYZH2016CDA40272］capital verification report of Shine Wing Certified
Public Accountants (LLP).Since the first repurchase of shares on November 4 2020 the company had cumulatively
repurchased 14674166 shares of the company (B shares) in centralized bidding transactions
through the special securities account for repurchase until February 18 2022 and completed the
cancellation procedures of the repurchased shares at the Shenzhen Branch of China Securities
Depository and Clearing Co. Ltd. on March 2 2022 a total of 14674166 shares of the company
(B shares) were cancelled accounting for 1.4048% of the company's total share capital before
cancellation. After the cancellation the total share capital of the company was reduced from
1044597881 shares to 1029923715 shares.
Ended as December 31 2024 total share capital of the Company amounting to
1029923715shares with ordinary shares in full. Among which 881733881 shares of A-share
accounting 85.61% in total shares while B-share with 148189834 shares accounting 14.39% in
total shares. Specific capital structure is as follows:
Type of stock Quantity Proportion
(I)Restricted shares 6154085 0.60
1. State-owned shares
213Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Type of stock Quantity Proportion
2. State-owned legal person’s shares 1141053 0.11
3. Other domestic shares 5013032 0.49
Including: Domestic legal person’s shares 3363539 0.33
Domestic natural person’s shares 1649493 0.16
4. Foreign shares
(II)Unrestricted shares 1023769630 99.40
1. RMB Ordinary shares 875579796 85.01
2. Domestically listed foreign shares 148189834 14.39
3. Overseas listed foreign shares
4. Others
Total shares 1029923715 100.00
The Company belongs to the manufacture of light industry and engaged in the production and
sale of refrigerator freezer and air-conditioner. Unified social credit code of the Company:
9134000014918555XK; Address: No.2163 Lianhua Road Economy and Technology
Development Zone Hefei City; Legal Representative: Wu Dinggang; register capital (paid-in
capital): 1029923715 yuan; type of company: limited liability company(joint venture and listed
of Taiwan Hong Kong and Macao)
This financial statement was approved by the Board of Directors of the Company on April 1 2025.According to the Articles of Association of the Company the financial statement will be submitted
to the General Meeting of Shareholders for review.II.Basis for preparation of financial statement
1.Basis for preparation
According to the actual transactions and matters the Company's financial statements are prepared
in accordance with the Accounting Standards for Business Enterprises and its application
guidelines explanations and other relevant provisions (hereinafter referred to as "Accounting
Standards for Business Enterprises") promulgated by the Ministry of Finance as well as the
disclosure-related provisions of No.15 Rules on Information Disclosure and Compilation of
Companies Offering Securities to the Public - General Provisions on Financial Reports (revised in
2023) issued by China Securities Regulatory Commission (hereinafter referred to as "CSRC").
2.Continuous operation
The Company recently has a history of profitability operation and has financial resources
supporting and prepared the financial statement on basis of going concern is reasonable.III.Significant Accounting Policy and accounting Estimation
Specific accounting policies and accounting estimates: The specific accounting policies and
accounting estimates formulated by the Company according to the actual production and operation
characteristics include bad debt provision of receivable inventory depreciation provision
capitalization conditions of R&D expenses revenue recognition and measurement etc.
214Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
1.Statement on observation of accounting standards for enterprise
The financial statements prepared by the Company meet the requirements of the Accounting
Standards for Business Enterprises and truly accurately and completely reflect the financial status
of the Company on December 31 2024 as well as the operating results and cash flow in 2024.
2.Accounting period
The accounting period of the Company is the calendar date from 1 January to 31 December.
3.Operation cycle
Operation cycle of the Company was 12 months and it is the standard of flow classification for
assets and liabilities.
4.Standard currency for accounting
The Company takes RMB as the standard currency for accounting.
5.Determination method and selection basis of importance standard
The Company follows the principle of materiality in preparing and disclosing financial statements.The matters disclosed in the notes to the financial statements involving judgement by materiality
standard and the determination method and selection basis of materiality standard are as follows:
Matters disclosed involving the judgment by
Determination method and selection basis of importance standard
materiality standards
The single accrual amount accounts for 10% of the total bad debt
Material receivables with bad debt provision accrued
provision of various receivables and is more than RMB 50
individually
million
Material amount recovered or reversed from bad debt The single amount recovered or reversed accounts for more than
provision of receivables in this period 10% of the total receivables and is more than RMB 50 million
The single write-off amount accounts for more than 10% of the
Actual write-off of material receivables total bad debt provision of various receivables and is more than
RMB 50 million
The change in book value of contract assets accounts for more
Significant change has taken place in the book value of
than 30% of the balance of contract assets at the beginning of the
the contract assets
period
The change in book value of contractual liabilities accounts for
Significant change has taken place in the book value of
more than 30% of the balance of contractual liabilities at the
contractual liabilities
beginning of the period
Contractual liabilities with a single aging of more than one year
Material contractual liabilities with an age of more than
account for more than 10% of the total contractual liabilities and
one year
are more than RMB 50 million
Payables with a single aging of more than one year account for
Material payables more than 5% of the total payables and are more than RMB 100
million
Other payables with a single aging of more than one year account
Other material payables for more than 5% of the total amount of other payables and are
more than RMB 50 million
Material construction in progress The budget of a single project is more than RMB 100 million
Material capitalized R&D projects The ending balance of a single project accounts for more than
215Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Matters disclosed involving the judgment by
Determination method and selection basis of importance standard
materiality standards
10% of the ending balance of development expenditure and is
more than RMB 10 million
The cash received from or paid for a single investment activity
Important investment activities accounts for more than 10% of the total inflow or outflow and is
more than RMB 100 million
The net assets of subsidiaries account for more than 1% of the
Important non-wholly-owned subsidiaries
Company's net assets
The book value of the long-term equity investment in a single
investee accounts for more than 1% of the Company's net assets
An important cooperative enterprise or joint venture and is more than RMB 50 million or the investment profit and
loss under the long-term equity investment method accounts for
more than 1% of the Company's consolidated net profit
It does not involve the current cash receipts and payments and
Major activities not involving current cash receipts and
the impact on the current statements is greater than 10% of the net
payments
assets
6.Accountant arrangement method of business combination under common control and not under
common control
As acquirer the Company measures the assets and liabilities acquired through business
combination under common control at their carrying values as reflected in the consolidated
financial statement of the ultimate controller as of the combination date. Capital reserve shall be
adjusted in respect of any difference between carrying value of the net assets acquired and
carrying value of the combination consideration paid. In case that capital reserve is insufficient to
offset the Company would adjust retained earnings.The acquiree’s net identifiable assets liabilities or contingent liabilities acquired through business
combination not under common control shall be measured at fair value as of the acquisition date.The cost of combination represents the fair value of the cash or non-cash assets paid liabilities
issued or committed and equity securities issued by the Company as at the date of combination in
consideration for acquiring the controlling power in the acquiree together with the sum of any
directly related expenses occurred during business combination(in case of such business
combination as gradually realized through various transactions the combination cost refers to the
sum of each cost of respective separate transaction). Where the cost of the combination exceeds
the acquirer’s interest in the fair value of the acquirer’s identifiable net assets acquired the
difference is recognized as goodwill; where the cost of combination is lower than the acquirer’s
interest in the fair value of the acquiree’s identifiable net assets the Company shall firstly make
further review on the fair values of the net identifiable assets liabilities or contingent liabilities
acquired as well as the fair value of the non-cash assets portion of combination consideration or
the equity securities issued by the Company. In case that the Company finds the cost of
combination is still lower than the acquirer’s interest in the fair value of the acquiree’s identifiable
net assets after such further review the difference is recognized in non-operating income for the
current period when combination occurs.
216Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
7.Criteria for Control and Preparation Method of Consolidated Financial Statements
Control means that the Company has the power over the investee enjoys variable returns by
participating in the related activities of the investee and has the ability to influence the amount of
returns by using the power over the investee.The Company shall put all the subsidiaries controlled and main body structured into consolidated
financial statements.Any difference arising from the inconformity of accounting year or accounting policies between
the subsidiaries and the Company shall be adjusted in the consolidated financial statements.All the material inter-company transactions non-extraordinary items and unrealized profit within
the combination scope are written-off when preparing consolidated financial statement. Owners’
equity of subsidiary not attributable to parent company and current net gains and losses other
comprehensive income and total comprehensive income attributable to minority shareholders are
recognized as non-controlling interests minority interests other comprehensive income
attributable to minority shareholders and total comprehensive income attributable to minority
shareholders in consolidated financial statement respectively.As for subsidiary acquired through business combination under common control its operating
results and cash flow will be included in consolidated financial statement since the beginning of
the period when combination occurs. When preparing comparative consolidated financial
statement the relevant items in previous years financial statement shall be adjusted as if the
reporting entity formed upon combination has been existing since the ultimate controller
commenced relevant control.As for equity interests of the investee under common control acquired through various
transactions which eventually formed business combination the Company shall supplement
disclosure of the accounting treatment in consolidated financial statement in the reporting period
when controlling power is obtained. For example as for equity interests of the investee under
common control acquired through various transactions which eventually formed business
combination adjustments shall be made as if the current status had been existing when the
ultimate controller commenced control in connection of preparing consolidated financial statement;
in connection with preparing comparative statement the Company shall consolidate the relevant
assets and liabilities of the acquiree into the Company’s comparative consolidated financial
statement to the extent not earlier than the timing when the Company and the acquiree are all
under control of the ultimate controller and the net assets increased due to combination shall be
used to adjust relevant items under owners’ equity in comparative statement. In order to prevent
double computation of the value of the acquiree’s net assets the relevant profits and losses other
comprehensive income and change of other net assets recognized during the period from the date
when the Company acquires original equity interests and the date when the Company and the
acquiree are all under ultimate control of the same party (whichever is later) to the date of
combination in respect of the long-term equity investment held by the Company before
satisfaction of combination shall be utilized to offset the beginning retained earnings and current
gains and losses in the period as the comparative financial statement involves respectively.As for subsidiary acquired through business combination not under common control its operating
results and cash flow will be included in consolidated financial statement since the Company
obtains controlling power. When preparing consolidated financial statement the Company shall
adjust the subsidiary’s financial statement based on the fair value of the various identifiable assets
217Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)liabilities or contingent liabilities recognized as of the acquisition date.As for equity interests of the investee not under common control acquired through various
transactions which eventually formed business combination the Company shall supplement
disclosure of the accounting treatment in consolidated financial statement in the reporting period
when controlling power is obtained. For example as for equity interests of the investee not under
common control acquired through various transactions which eventually formed business
combination when preparing consolidated financial statement the Company would re-measure
the equity interests held in the acquiree before acquisition date at their fair value as of the
acquisition date and any difference between the fair value and carrying value is included in
current investment income. in case that the equity interests in acquiree held by the Company
before the relevant acquisition date involves other comprehensive income at equity method and
change of other owners’ equity (other than net gains and losses other comprehensive income and
profit distribution) then the equity interests would transfer to investment gains and losses for the
period which the acquisition date falls upon. The other comprehensive income arising from
change of the net liabilities or net assets under established benefit scheme as acquiree’s
re-measured such scheme is excluded.The transaction with non-controlling interest to dispose long-term equity investment in a
subsidiary without losing control rights over the subsidiary the difference between the proceeds
from disposal of interests and the decrease of the shared net assets of the subsidiary is adjusted to
capital premium (share premium). In case capital reserve is not sufficient to offset the difference
retained earnings will be adjusted.As for disposal of part equity investment which leads to losing control over the investee the
Company would remeasure the remaining equity interests at their fair value as of the date when
the Company loses control over the investee when preparing consolidated financial statement. The
sum of consideration received from disposal of equity interest and fair value of the remaining
equity interest less the net assets of the original subsidiary attributable to the Company calculated
based on the original shareholding proportion since the acquisition date or the date then
consolidation commences is included in investment gains and losses for the period when control
is lost meanwhile to offset goodwill. Other comprehensive income related to equity interest
investment in original subsidiaries is transferred into current investment gains and losses upon lost
of control. If the disposal of the equity investment of subsidiary is realized through multi pletran
section sunlit loss of control and is a pack age deal. the accounting treatment of the sterna sections
should be dealt with as one transaction of disposal of the subsidiary until loss of control. However
before the Company loses total control of the subsidiary the differences between the actual
disposal price and the share of the net assets of the subsidiary disposed of in every transaction
should be recognized as other comprehensive income in the consolidated financial statements and
transferred to profit or loss when losing control.
8. Accounting treatment for joint venture arrangement and joint controlled entity
The joint venture arrangement of the Company consists of joint controlled entity and joint venture.As for jointly controlled entity the Company determines the assets held and liabilities assumed
separately as a party to the jointly controlled entity recognizes such assets and liabilities
according to its proportion and recognizes relevant income and expense separately under relevant
agreement or according to its proportion. As for asset transaction relating to purchase and sales
with the jointly controlled entity which does not constitute business activity part of the gains and
218Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)losses arising from such transaction attributable to other participators of the jointly controlled
entity is only recognized.
9.Cash and cash equivalents
Cash comprises cash on hand and deposits that can be readily withdrawn on demand.Cashequivalents include short-term (generally within three months of maturity at
acquisition)highly liquid investments that are readily convertible into known amounts of
cashandwhichare subject to an insignificant risk of changes in value.
10. Foreign currency business and foreign currency financial statement conversion
(1) Foreign currency business
As for the foreign currency business the Company converts the foreign currency amount into
RMB amount pursuant to the spot exchange rate as of the business day. As at the balance sheet
date monetary items expressed by foreign currency are converted into RMB pursuant to the spot
exchange rate as of the balance sheet date. The conversion difference occurred is recorded into
prevailing gains and losses other than the disclosure which is made according to capitalization
rules for the exchange difference occurred from the special foreign currency borrowings borrowed
for constructing and producing the assets satisfying condition of capitalization. As for the foreign
currency non-monetary items measured by fair value the amount is then converted into RMB
according to the spot exchange rate as of the confirmation day for fair value. And the conversion
difference occurred during the procedure is recorded into prevailing gains and losses directly as
change of fair value. As for the foreign currency non-monetary items measured by historical cost
conversion is made with the spot exchange rate as of the business day with no change in RMB
amount.
(2) Conversion of foreign currency financial statement
Spot exchange rate as of the balance sheet date is adopted for conversion of assets and liabilities in
foreign currency balance sheet; as for the items in statement of owners’ equity except for
“Retained profit” conversion is made pursuant to the spot exchange rate of business day; income
and expense items in income statement then are also converted pursuant to the spot exchange rate
of transaction day. Difference arising from the aforementioned conversions shall be listed
separately in items of owners’ equity. Spot exchange rate as of the occurrence date of cash flow is
adopted for conversion of foreign currency cash flow. The amount of cash affected by exchange
rate movement shall be listed separately in cash flow statement.
11. Financial assets and liabilities
A financial asset or liability is recognized when the group becomes a party to a financial
instrument contract. The financial assets and financial liabilities are measured at fair value on
initial recognition. For the financial assets and liabilities measured by fair value and with variation
reckoned into current gains/losses the related transaction expenses are directly included in current
gains or losses; for other types of financial assets and liabilities the related transaction costs are
included in the initial recognition amount.
(1) Method for determining the fair value of financial assets and financial liabilities
Fair value refers to the price that a market participant can get by selling an asset or has to pay for
transferring a liability in an orderly transaction that occurs on the measurement date. For a
financial instrument having an active market the Company uses the quoted prices in the active
market to determine its fair value. Quotations in an active market refer to prices that are readily
219Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)available from exchanges brokers industry associations pricing services etc. and represent the
prices of market transactions that actually occur in an arm's length transaction. If there is no active
market for a financial instrument the Company uses valuation techniques to determine its fair
value. Valuation techniques include reference to prices used in recent market transactions by
parties familiar with the situation and through voluntary trade and reference to current fair values
of other financial instruments that are substantially identical discounted cash flow methods and
option pricing models.
(2) Category and measurement on financial assets
The group divided the financial assets as the follow while initially recognized: the financial assets
measured at amortized cost; the financial assets measured at fair value and whose changes are
included in other comprehensive income; and the financial assets measured by fair value and with
variation reckoned into current gains/losses. The classification of financial assets depends on the
business model that the Group's enterprises manage the financial assets and the cash flow
characteristics of the financial assets.
1) The financial assets measured at amortized cost
Financial assets are classified as financial assets measured at amortized cost when they also meet
the following conditions: The group's business model for managing the financial assets is to
collect contractual cash flows; the contractual terms of the financial assets stipulate that cash flow
generated on a specific date is only paid for the principal and interest based on the outstanding
principal amount. For such financial assets the effective interest method is used for subsequent
measurement according to the amortized cost and the gains or losses arising from amortization or
impairment are included in current profits and losses. Such financial assets mainly include
monetary funds notes receivable accounts receivable other receivables debt investment and
long-term receivables and so on. The Group lists the debt investment and long-term receivables
due within one year (including one year) from the balance sheet date as non-current assets due
within one year and lists the debt investment with time limit within one year (including one year)
when acquired as other current assets.
2) Financial assets measured at fair value and whose changes are included in other comprehensive
income
Financial assets are classified as financial assets measured at fair value and whose changes are
included in other comprehensive income when they also meet the following conditions: The
Group's business model for managing the financial assets is targeted at both the collection of
contractual cash flows and the sale of financial assets; the contractual terms of the financial asset
stipulate that the cash flow generated on a specific date is only the payment of the principal and
the interest based on the outstanding principal amount. For such financial assets fair value is used
for subsequent measurement. The discount or premium is amortized by using the effective interest
method and is recognized as interest income or expenses. Except the impairment losses and the
exchange differences of foreign currency monetary financial assets are recognized as the current
profits and losses the changes in the fair value of such financial assets are recognized as other
comprehensive income until the financial assets are derecognized the accumulated gains or losses
are transferred to the current profits and losses. Interest income related to such financial assets is
included in the current profit and loss. Such financial assets are listed as other debt investments
other debt investments due within one year (including one year) from the balance sheet date are
listed as non-current assets due within one year; and other debt investments with time limit within
220Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)one year (including one year) when acquired are listed as other current assets.
3) Financial assets measured at fair value and whose changes are included in current gains/losses
Financial assets except for the above-mentioned 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 which adopt fair value for subsequent measurement and all changes in
fair value are included in current profits and losses. The Group classifies non-trading equity
instruments as financial assets measured at fair value and whose changes are included in current
profits and losses. Such financial assets are presented as trading financial assets and those expire
after more than one year and are expected to be held for more than one year are presented as other
non-current financial assets.
(3) Devaluation of financial instrument
On the basis of expected credit losses the Group performs impairment treatment on financial
assets measured at amortized cost and financial assets measured at fair value and whose changes
are included in other comprehensive income and recognize the provisions for loss.Credit loss refers to the difference between all contractual cash flows that the Company discounts
at the original actual interest rate and are receivable in accordance with contract and all cash flows
expected to be received that is the present value of all cash shortages. Among them for the
purchase or source of financial assets that have suffered credit impairment the Company
discounts the financial assets at the actual interest rate adjusted by credit.The Group considers all reasonable and evidenced information including forward-looking
information based on credit risk characteristics. When assessing the expected credit losses of
receivables they are classified according to the specific credit risk characteristics as follows:
1) For receivables and contractual assets and lease receivables (including significant financing
components and not including significant financing components) the Group measures the
provisions for loss based on the amount of expected credit losses equivalent to the entire duration.* Evaluate expected credit losses based on individual items: credit notes receivable (including
accepted letters of credit) of financial institutions in notes receivable and accounts receivable and
related party payments (related parties under the same control and significant related parties);
dividends receivable interest receivable reserve funds investment loans cash deposits (including
warranty) government grants (including dismantling subsidies) in other receivables and
receivables with significant financing components (i.e. long-term receivables);
* The Group considers all reasonable and evidenced information including forward-looking
information when assessing expected credit losses. When there is objective evidence that its
customer credit characteristics and ageing combination cannot reasonably reflect its expected
credit loss the current value of the expected future cash flow is measured by a single item and the
221Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)cash flow shortage is directly written down the book balance of the financial asset.The Group considers all reasonable and evidenced information including forward-looking
information when assessing expected credit losses. When there is objective evidence that its
customer credit characteristics and ageing combination cannot reasonably reflect its expected
credit loss the current value of the expected future cash flow is measured by a single item and the
cash flow shortage is directly written down the book balance of the financial asset.
2) Assess the expected credit losses on a case-by-case basis for other assets to which the financial
instruments are impaired such as the loan commitments and financial guarantee contracts that are
not measured at fair value through profit or loss financial assets measured at fair value and whose
changes are recognized in other comprehensive income; other financial assets measured at
amortized cost (such as other current assets other non-current financial assets etc.).
(4) Reorganization basis and measure method for transfer of financial assets
The financial assets meet one of following requirements will be terminated recognition: * The
contract rights of collecting cash flow of the financial assets is terminated; * The financial assets
has already been transferred and the Company has transferred almost all risks and remunerations
of financial assets ownership to the transferee; * The financial assets has been transferred even
though the Company has neither transferred nor kept almost all risks and remunerations of
financial assets ownership the Company has given up controlling the financial assets.If the enterprise has neither transferred or kept almost all risks and remunerations of financial
assets ownership nor given up controlling the financial assets then confirm the relevant financial
assets according to how it continues to involve into the transferred financial assets and confirm the
relevant liabilities accordingly. The extent of continuing involvement in the transferred financial
assets refers to the level of risk arising from the changes in financial assets value faced by the
enterprise.If the entire transfer of financial assets satisfies the demand for derecognition reckon the balance
between the book value of the transferred financial assets and the sum of consideration received
from transfer and fluctuation accumulated amount of fair value formerly reckoned in other
consolidated income in the current profits and losses.If part transfer of financial assets satisfies the demand for derecognition apportion the integral
book value of the transferred financial assets between the derecognized parts and the parts not yet
derecognized according to each relative fair value and reckon the balance between the sum of
consideration received from transfer and fluctuation accumulated amount of fair value formerly
reckoned in other consolidated income that should be apportioned to the derecognized parts and
the apportioned aforementioned carrying amounts in the current profits and losses.
222Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)When the Group sells financial assets adopting the mode of recourse or endorses and transfers its
financial assets it is necessary to ensure whether almost all the risks and rewards of ownership of
the financial assets have been transferred. If almost all the risks and rewards of ownership of the
financial assets have been transferred to the transferee the financial assets shall be derecognized;
if almost all the risks and rewards of ownership of the financial assets are retained the financial
assets shall not be derecognized; if almost all the risks and rewards of ownership of the financial
assets are neither transferred nor retained continue to judge whether the company retains control
over the assets and conduct accounting treatment according to the principles described in the
preceding paragraphs.
(5) Category and measurement of financial liability
Financial liability is classified into financial liability measured by fair value and with variation
reckoned into current gains/losses and other financial liability at initially measurement.* the financial liability measured by fair value and with variation reckoned into current
gains/losses
The conditions to be classified as trading financial liabilities and as financial liabilities designated
to be measured at fair value and whose changes are included in current profit or loss at the initial
recognition are consistent with the conditions to be classified as trading financial assets and as
financial assets designated to be measured at fair value and whose changes are included in current
profit or loss at the initial recognition. Financial liabilities measured at fair value and whose
changes are included in current profit or loss are subsequently measured at fair value and the gain
or loss arising from changes in fair value and the dividends and interest expense related to these
financial liabilities are included in current profit or loss.* Other financial liability
It must go through the delivery of the derivative financial liabilities settled by the equity
instrument to link to the equity instruments that are not quoted in an active market and whose fair
value cannot be reliably measured and the subsequent measurement is carried out in accordance
with the cost. Other financial liabilities are subsequently measured at amortized cost by using the
effective interest method. The gain or loss arising from derecognition or amortization is included
in current profit or loss.* Financial guarantee contract
The financial guarantee contract of a financial liability which is not designated to be measured at
fair value through profit or loss is initially recognized at fair value and its subsequent
measurement is carried out by the higher one between the amount confirmed in accordance with
223Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)the Accounting Standards for Business Enterprises No. 13 — Contingencies after initial
recognition and the balance after deducting the accumulated amortization amount determined in
accordance with the principle of Accounting Standards for Business Enterprises No. 14—Revenue
from the initial recognition amount.
(6) Termination of recognition of financial liability
The financial liability or part of it can only be terminated for recognized when all or part of the
current obligation of the financial liability has been discharged. The Group (debtor) and the
creditor sign an agreement to replace the existing financial liabilities with new financial liabilities
and if the contract terms of the new financial liabilities are substantially different from the existing
financial liabilities terminated for recognized the existing financial liabilities and at the same time
recognize the new financial liabilities. If the financial liability is terminated for recognized in
whole or in part the difference between the carrying amount of the part that terminated for
recognized and the consideration paid (including the transferred non-cash assets or the assumed
new financial liabilities) is included in current profits and losses.
(7) Off-set between the financial assets and liabilities
When the Company has a legal right to offset a recognized financial asset and a financial
liability and such legal right is currently enforceable and the Company plans to settle the financial
asset on a net basis or to realize the financial asset and settle the financial liability simultaneously
the financial asset and the financial liability are presented in the balance sheet at their respective
offsetting amounts. In addition the financial assets and financial liabilities are presented in the
balance sheet separately and are not offset against each other.
(8) Derivatives and embedded derivatives
Derivatives are initially measured at fair value on the signing date of the relevant contract and are
subsequently measured at fair value. Except for derivatives that are designated as hedging
instruments and are highly effective in hedging the gains or losses arising from changes in fair
value will be determined based on the nature of the hedging relationship in accordance with the
requirements of the hedge accounting and be included in the period of profit and loss other
changes in fair value of derivatives are included in current profits and losses. For a hybrid
instrument that includes an embedded derivative if it is not designated as a financial asset or
financial liability measured at fair value and whose changes are included in current profit or loss
the embedded derivative does not have a close relationship with the main contract in terms of
economic characteristics and risks and as with embedded derivatives if the tools existing
224Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)separately conform to the definition of the derivatives the embedded derivatives are split from the
hybrid instruments and are treated as separate derivative financial instruments. If it is not possible
to measure the embedded derivative separately at the time of acquisition or subsequent balance
sheet date the whole hybrid instrument is designated as a financial asset or financial liability
measured at fair value and whose changes are included in current profits and losses.
(9) Equity instrument
The equity instrument is the contract to prove the holding of the surplus stock of the assets with
the deduction of all liabilities in the Group. The Company issues (including refinancing)
repurchases sells or cancels equity instruments as movement of equity. No fair value change of
equity instrument would be recognized by the Company. Transaction costs associated with equity
transactions are deducted from equity. The Group's various distributions to equity instrument
holders (excluding stock dividends) reduce shareholders' equity.
12. Inventory
Inventories of the Company principally include raw materials stock goods; work in process
self-made semi-finished product materials consigned to precede low-value consumption goods
goods in transit goods in process mould and contract performance costs.Perpetual inventory system is applicable to inventories. For daily calculation standard price is
adopted for raw materials low-value consumption goods and stock goods. Switch-back cost of the
current month is adjusted by distribution price difference at the end of the month the dispatched
goods will share the cost differences of inventory while in settlement the business income; and
low-value consumption goods is carried forward at once when being applied for use and the
mould shall be amortized within one year after receipt.Inventory at period-end is valued by the Lower-of-value between the cost and net realizable value.The provision for inventory depreciation shall be drawn from the difference between the book cost
of a single inventory item and its net realizable value and the provision for inventory depreciation
shall be recorded into the current profit and loss.
13. Contract assets
(1) Confirmation methods and standards of contract assets
Contract assets refer to the right of the Company to receive consideration after transferring goods
to customers and this right depends on factors other than the passage of time. If the Company
sells two clearly distinguishable commodities to a customer and has the right to receive payment
because one of the commodities has been delivered but the payment is also dependent on the
225Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)delivery of the other commodity the Company shall take the right to receive payment as a contract
asset.
(2) Determination method and accounting treatment method of expected credit loss of contract
assets
For the determination method for expected credit loss of contract assets please refer to the
above-mentioned
Accounting treatment methods for financial instrument impairment. The Company calculates the
expected credit loss of contract assets on the balance sheet date if the expected credit loss is
greater than the book value of provision for impairment of contract assets the Company shall
recognize the difference as an impairment loss debiting the "asset impairment loss" and crediting
the "contract asset impairment provision". On the contrary the Company shall recognize the
difference as an impairment gain and keep the opposite accounting records.If the Company actually incurs credit losses and determines that the relevant contract assets cannot
be recovered for those approved to be written off debit the "contract asset impairment reserve"
and credit the "contracted asset" based on the approved write-off amount. If the written-off
amount is greater than the provision for loss that has been withdrawn the "asset impairment loss"
is debited based on the difference.
14. Contract cost
(1) The method of determining the amount of assets related to the contract cost
The Company’s assets related to contract costs include contract performance cost and contract
acquisition cost.The contract performance cost is the cost incurred by the Company for the performance of the
contract those that do not fall within the scope of other accounting standards and meet the
following conditions at the same time are recognized as as an asset as the contract performance
cost: the cost is directly related to a current or expected contract including direct labor direct
materials manufacturing expenses (or similar expenses) costs clarified to be borne by the
customer and other costs incurred solely due to the contract; this cost increases the Company's
future resources for fulfilling the contract's performance obligations; this cost is expected to be
recovered.Contract acquisition cost is the incremental cost incurred by the Company to obtain the contract
those that are expected to be recovered are recognized as the contract acquisition cost as an asset;
if the asset amortization period does not exceed one year it shall be included in the current profit
and loss when it occurs. Incremental cost refers to the cost (such as sales commission etc.) that
will not incur if the Company doesn’t obtain the contract. The Company’s expenses (such as travel
226Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)expenses incurred regardless of whether the contract is obtained) incurred for obtaining the
contract other than the incremental costs expected to be recovered are included in the current
profits and losses when they are incurred except those are clarified to be borne by the customer.
(2) Amortization of assets related to contract costs
The Company’s assets related to contract costs are amortized on the same basis as the recognition
of commodity income related to the asset and included in the current profit and loss.
(3) Impairment of assets related to contract costs
When the Company determines the impairment loss of assets related to the contract cost it first
determines the impairment loss of other assets related to the contract that are confirmed in
accordance with other relevant accounting standards for business enterprises; then based on the
difference between the book value of which is higher than the remaining consideration that the
Company is expected to obtain due to the transfer of the commodity related to the asset and the
estimated cost of transferring the related commodity the excess shall be provided for impairment
and recognized as an asset impairment loss.If the depreciation factors of the previous period changed later causing the aforementioned
difference to be higher than the book value of the asset the original provision for asset impairment
shall be reversed and included in the current profit and loss but the book value of the asset after
the reversal shall not exceed the book value of the asset on the reversal date under the assumption
that no impairment provision is made.
15.Long-term equity investment
Long-term equity investment of the Company is mainly about investment in subsidiary
investment in associates and investment in joint-ventures.For long-term equity investments acquired through business combination under common control
the initial investment cost shall be the acquirer’s share of the carrying amount of net assets of the
acquiree as of the combination date as reflected in the consolidated financial statement of the
ultimate controller. If the carrying amount of net assets of the acquiree as of the combination date
is negative the investment cost of long-term equity investment shall be zero. For long-term equity
investment acquired through business combination not under common control the initial
investment cost shall be the combination cost.Excluding the long-term equity investment acquired through business combination there is also a
king of long-term equity investment acquired through cash payment for which the actual payment
for the purchase shall be investment cost; If Long-term equity investments are acquired by issuing
equity securities fair value of issuing equity investment shall be investment cost; for Long-term
227Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)equity investments which are invested by investors the agreed price in investment contract or
agreement shall be investment cost; and for long-term equity investment which is acquired
through debt reorganization and non-monetary assets exchange regulations of relevant accounting
standards shall be referred to for confirming investment cost.The Company adopts cost method for investment in subsidiaries makes calculation for
investments in joint-ventures and associates by equity method.When calculated by cost method long-term equity investment is priced according to its
investment cost and cost of the investment is adjusted when making additional investment or
writing off investment; When calculated by equity method current investment gains and losses
represent the proportion of the net gains and losses realized by the invested unit in current year
attributable to or undertaken by the investor. When the Company is believed to enjoy proportion
of net gains and losses of invested unit gains and losses attributable to the Company according to
its shareholding ratio is to computer out according to the accounting policy and accounting period
of the Company on the basis of the fair value of various recognizable assets of the invested unit as
at the date of obtaining of the investment after offset of gains and losses arising from internal
transactions with associates and joint-ventures and finally to make confirmation after adjustment
of net profit of the invested unit. Confirmation on gains and losses from the long-term equity
investment in associates and joint-ventures held by the Company prior to the first execution day
could only stand up with the precedent condition that debit balance of equity investment straightly
amortized according to its original remaining term has already been deducted if the
aforementioned balance relating to the investment do exist.In case that investor loses joint control or significant influence over investee due to disposal of
part equity interest investment the remaining equity interest shall be calculated according to
Accounting Standards for Business Enterprise No.22-Recognition and Measurement of Financial
Instrument. Difference between the fair value of the remaining equity interest as of the date when
loss of joint control or significant influence and the carrying value is included in current gains and
losses. Other comprehensive income recognized in respect of the original equity interest
investment under equity method should be treated according to the same basis which the investee
adopts to directly dispose the relevant assets or liabilities when ceasing adoption of equity method
calculation; and also switches to cost method for calculating the long-term equity investments
which entitles the Company to have conduct control over the invested units due to its additional
investments; and switches to equity method for calculating the long-term equity investments
which entitles the Company to conduct common control or significant influence while no control
over the invested units due to its additional investments or the long-term equity investments
which entitles the Company with no control over the invested units any longer while with
228Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)common control or significant influence.When disposing long-term equity investment the balance between it carrying value and effective
price for obtaining shall be recorded into current investment income. When disposing long-term
equity investment which is calculated by equity method the proportion originally recorded in
owners’ equity shall be transferred to current investment income according to relevant ratio
except for that other movements of owners’ equity excluding net gains and losses of the invested
units shall be recorded into owners’ equity
16. Investment real estate
The investment real estate of the Company includes leased houses and buildings and is accounted
value by its cost. Cost of purchased-in investment real estate consists of payment for purchase
relevant taxes and other expenditure which is attributable to the assets directly; while cost of
self-built investment real estate is formed with all necessary expenditures occurred before
construction completion of the assets arriving at the estimated utilization state.Consequent measurement of investment estate shall be measured by cost method. Depreciation is
provided with average service life method pursuant to the predicted service life and net rate of
salvage value. The predicted service life and net rate of salvage value and annual depreciation are
listed as follows:
Predicted rate of salvage Depreciation rate per
Category Depreciation term(Year)
value (%) annual (%)
House and buildings 30-40 years 4.00-5.00 2.375-3.20
When investment real estate turns to be used by holders it shall switch to fixed assets or
intangible assets commencing from the date of such turning. And when self-used real estate turns
to be leased out for rental or additional capital the fixed assets or intangible assets shall switch to
investment real estate commencing from the date of such turning. In situation of switch the
carrying value before the switch shall be deemed as the credit value after the switch.When investment real estate is disposed or out of utilization forever and no economic benefit
would be predicted to obtain through the disposal the Company shall terminate recognition of
such investment real estate. The amount of income from disposal transfer discarding as scrap or
damage of investment real estate after deducting the asset’ s carrying value and relevant taxation
shall be written into current gains and losses.
17.Fixed assets
Fixed assets of the Company are tangible assets that are also held for the production of goods
provision of services rental or management of operations have a useful life of more than one year
and have a unit value of more than 2000 yuan.Their credit value is determined on the basis of the cost taken for obtaining them. Of which cost
of purchased-in fixed assets include bidding price and import duty and relevant taxes and other
expenditure which occurs before the fixed assets arrive at the state of predicted utilization and
229Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)which could be directly attributable to the assets; while cost of self-built fixed asset is formed with
all necessary expenditures occurred before construction completion of the assets arriving at the
estimated utilization state; credit value of the fixed assets injected by investors is determined
based on the agreed value of investment contracts or agreements while as for the agreed value of
investment contracts or agreements which is not fair it shall take its fair value as credit value; and
for fixed assets which are leased in through finance leasing credit value is the lower of fair value
of leased assets and present value of minimized leasing payment as at the commencing date of
leasing.Consequent expenditure related to fixed assets consists of expenditures for repair and update
reform. For those meeting requirements for recognization of fixed assets they would be accounted
as fixed asset cost; and for the part which is replaced recognization of its carrying value shall
cease; for those not meeting requirements for recognization of fixed assets they shall be
accounted in current gains and losses as long as they occur. When fixed asset is disposed or no
economic benefit would be predicted to obtain through utilization or disposal of the asset the
Company shall terminate recognization of such fixed asset. The amount of income from disposal
transfer discarding as scrap or damage of fixed asset after deducting the asset’ s carrying value
and relevant taxation shall be written into current gains and losses.The Company withdraws depreciation for all fixed assets except for those which have been fully
depreciated while continuing to use. It adopts average service life method for withdrawing
depreciation which is treated respectively as cost or current expense of relevant assets according to
purpose of use. The depreciation term predicted rate of salvage value and depreciation rate
applied to fixed assets of the Company are as follows:
Predicted rate of salvage
Category Depreciation term Depreciation rate per year
value
House and buildings 30-40 years 4%-5% 2.375%-3.20%
Machinery equipment 10-14 years 4%-5% 6.786%-9.60%
Transport equipment 5-12 years 4%-5% 7.92%-19.20%
Other equipment 8-12 years 4%-5% 7.92%-12.00%
End of each year the Company makes re-examination on predicted service life predicted rate of
salvage value and depreciation method at each year-end. Any change will be treated as accounting
estimation change.
18. Construction in progress
On the day when the construction in progress reaches the expected usable state it will be carried
forward to fixed assets according to the estimated value based on the construction budget cost or
actual construction cost and depreciation will be accrued from the next month and the difference
in the original value of fixed assets shall be adjusted after the completion of the final accounting
procedures.
19. Borrowing expense
230Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)For the incurred borrowing expense that can be directly attributable to fixed assets investment
real estate and inventory which require more than one year of purchase construction or
production activities to reach the intended usable or saleable state the capitalization begins when
the asset expenditure has occurred the borrowing expense have occurred and the acquisition
construction or production activities necessary to make the asset reach the intended usable or
saleable state have begun; when the acquisition construction or production of assets that meet the
capitalization conditions reaches the intended usable or saleable state stop the capitalization the
borrowing expense incurred thereafter are included in the current profit and loss. If an asset that
meets the capitalization conditions is abnormally interrupted during the acquisition construction
or production process and the interruption lasts for more than 3 months the capitalization of
borrowing expense shall be suspended until the acquisition construction or production activities
of the asset restart.Capitalization shall be exercised for interest expense actually occurred from special borrowings in
current period after deduction of the interest income arising from unutilized borrowing capital
which is saved in banks or deduction of investment income obtained from temporary investment;
For recognization of capitalized amount of common borrowing it equals to the weighted average
of the assets whose accumulated expense or capital disburse is more than common borrowing
times capitalization rate of occupied common borrowing. Capitalization rate is determined
according to weighted average interest rate of common borrowing.
20. Right-of-use assets
Upon becoming a lessee under a lease contract the Company is entitled to receive substantially all
of the economic benefits arising from the use of the identified assets during the period of use and
is entitled to recognized the right-of-use assets at the sum of the present value of the lease liability
prepaid rent and initial direct costs and to recognized the depreciation and interest expenses
respectively when the use of the identified assets dominates during that period of use.When the Company becomes the lessee of a lease contract for short-term leases of less than one
year without a purchase option and leases with a value of less than 40000 yuan (excluding
sublease or expected sublease assets) the Company elects to follow simplified treatment and
record the related assets at cost or current gain/loss on a straight-line basis over the lease period.
21. Intangible assets
(1) Valuation method service life and impairment test
The Company’s intangible assets include land use rights trademark rights and non-proprietary
technology which are measured at actual cost at the time of acquisition of which acquired
intangible assets are stated at actual cost based on the price actually paid and related other
231Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)expenditure; the actual cost of an intangible asset invested by an investor is determined at the
value agreed in the investment contract or agreement except where the agreed value in the
contract or agreement is not fair in which case the actual cost is determined at fair value.The Company analyzes and judges the service life of intangible assets when acquiring them.Intangible assets with definite service life such as land use rights are amortized by the
straight-line method during the service life from the time when the intangible assets are available
for use until they are no longer recognized as intangible assets. Other intangible assets shall be
amortized according to the service life stipulated in the contract or law. Intangible assets with
uncertain service life shall not be amortized. Intangible assets developed by the Company shall be
generally amortized on an average of 3-5 years according to the benefit period of the results of the
project recognized in advance.The service life and amortization method of intangible assets with limited service life shall be
reviewed at the end of the year. If the estimated service life and amortization method of intangible
assets are different from those previously estimated the amortization period and amortization
method shall be changed. The service life of intangible assets with uncertain service life shall be
rechecked. If there is evidence that their service life is limited estimate their service life and treat
them as intangible assets with limited service life. If there is any change after the recheck it will
be regarded as the change of accounting estimate.
(2) Collection scope of R&D expenditure and related accounting treatment methods
The Company's R&D expenditure is directly related to the Company's R&D activities including
R&D staff salaries direct input expenses depreciation expenses and other expenses.The R&D expenditure of the Company is divided into research stage expenditure and
development stage expenditure according to its nature and whether there is great uncertainty in the
final formation of intangible assets from R&D activities. Research stage expenditure is included in
the current profits and losses when it occurs; Development stage expenditure is recognized as
intangible assets if it meets the following conditions at the same time: (1) It is technically feasible
to complete the intangible assets so that they can be used or sold; (2) It has the intention to
complete the intangible assets and use or sell them; (3) The products produced by using the
intangible assets exist in the market or the intangible assets themselves exist in the market; (4) It
has sufficient technical financial and other resources to support the development of the intangible
assets and has the ability to use or sell the intangible assets; (5) Expenditure attributable to the
development stage of the intangible assets can be reliably measured.-Expenditure attributable to development of the intangible assets could be reliable measured.Expenditure arising during development not satisfying the above conditions shall be recorded in current gains and
losses upon occurrence. Development expenditure which had been recorded in gains and losses in previous period
232Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)would not be recognized as assets in later period. Expenditure arising during development phase which has been
starting capitalization is listed in balance sheet as development expenditure and transferred to intangible assets
since the project reaches at predicted utilization state.
22. Impairment of long-term assets
As at each balance sheet date the Company has inspection on fixed assets construction in process
and intangible assets with limited service life. When the following indications appear assets may
be impaired and the Company would have impairment test. As for goodwill and intangible assets
which have uncertain service life no matter there is impairment or not impairment test shall be
conducted at the end of every year. If it is hard to make test on recoverable amount of single asset
test is expected to make on the basis of the assets group or assets group portfolio where such asset
belongs to.Indications for impairment are as follows:
(1) Market value of asset drops a lot in current period the drop scope is obviously greater than the
predicted drop due to move-on of times or normal utilization;
(2) Economy technology or law environment where enterprise operates or market where asset is
located will have significant change in current or recent periods which brings negative influence
to enterprise;
(3) Market interest rate or returning rate of other market investments have risen in current period
which brings influence in calculating discount rate of present value of predicted future cash flow
of assets which leads to a great drop in recoverable amount of such assets;
(4) Evidence proving that asset is obsolete and out of time or its entity has been damaged;
(5) Asset has been or will be keep aside terminating utilization or disposed advance;
(6) Internal report of enterprise shows that economic performance of asset has been or will be
lower than prediction such as that net cash flow created by asset or operation profit (or loss)
realized by asset is greatly lower (or higher) than the predicted amount;
(7) Other indications showing possible impairment of assets
After impairment test if the carrying value exceeds the recoverable amount of the asset the
balance is recognized as impairment loss. As long as impairment loss of the aforementioned assets
is recognized it couldn’t be switched back in later accounting periods. Recoverable amount of
assets refers to the higher of fair value of assets net disposal expense and present value of
predicted cash flow of the asset.
23. Contract liability
Contract liabilities reflect the Company's obligation to transfer goods to customers for
consideration received or receivable from customers. Before the Company transfers the goods to
the customer if the customer has paid the contract consideration or the Company has obtained the
right to unconditionally receive the contract consideration the contract liability is recognized
based on the received or receivable amount at the earlier time point of the actual payment by the
customer and the payment due.
233Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
24. Goodwill
Goodwill represents balance between equity investment cost or business combination cost under
no common control exceeding the attributable part or fair value of recognizable net assets of party
invested or purchased (obtained through business combination) as of acquisition day or purchase
day.Goodwill relating to subsidiaries is separately listed in consolidated financial statement. And
goodwill relating to associates and joint-ventures is included in carrying value of long-term equity
investment.
25.Long-term deferred expenses
The company's long-term deferred expenses refer to the expenses that have been paid but should
be borne by the current period and future periods with an amortization period of more than one
year (excluding one year) and these expenses are amortized evenly during the benefit period. If
the long-term deferred expense item cannot benefit the future accounting period all the amortized
value of the item that has not been amortized will be transferred into the current profit and loss.
26. Staff remuneration
Employee benefits mainly include all kinds of remuneration incurred in exchange for services
rendered by employees or compensation to the termination of employment relationship such as
short-term wages post-employment benefits compensation for the termination of employment
relationship and other long-term employee welfare.Short-term remuneration includes: staff salary bonus allowances and subsidies staff benefits
social insurances like medical insurance work-related injury insurance and maternity insurance
housing fund labor union funds and staff education funds short-term paid absence of duty
short-term profit sharing scheme and non-monetary benefits as well as other short-term
remuneration. During the accounting period when staff provides services the short-term
remuneration actually occurred is recognized as liabilities and shall be included in current gains
and losses or related asset costs according to the beneficial items.Retirement benefits mainly consist of basic pension insurance unemployment insurance and
early-retirement benefits etc. retirement benefit scheme represents the agreement reached by the
Company and its employees in respect of retirement benefits or the rules or regulations
established by the Company for providing retirement benefits to employees. In particular defined
contribution plan means a retirement benefit plan pursuant to which the Company makes fixed
contribution to independent fund upon which and it is not obliged to make further payment.
234Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Defined benefit plan refers to retirement benefit scheme other than defined contribution plan.The early retirement policy for staff and workers of the Company is the compensation for
encouraging staff and workers to accept the reduction voluntarily. The employees make
applications voluntarily the two parties sign the compensation agreement after approved by the
Company and calculate the compensation amount according to the compensation standard passed
by the staff representative conference and the Company confirms it as dismiss welfare and
reckons it in current profits and losses. As the Company promises to adjust the treatment for early
retiring staff and workers with the increase of social basic cost of living allowances the discount
elements will not be considered for calculating the dismiss welfare.
27.Lease liability
Upon becoming a lessee under a lease contract the Company recognizes a lease liability for the
leased-in asset at the present value of the unpaid lease payments net of lease incentives (except
for short-term leases and leases of low-value assets for which simplified treatment is elected)
when it is entitled to receive substantially all of the economic benefits arising from the use of the
identified asset during the period of use and is entitled to dominate the use of the identified asset
during that period of use.
28.Accrual liability
If the business in connection with such contingencies as a security involving a foreign party
commercial acceptance bill discount pending litigation or arbitration product quality assurance
etc. meets all of the following conditions the Company will confirm the aforesaid as liabilities:
the obligation is an existing obligation of the Company; performance of the obligation is likely to
cause economic benefits to flow out of the enterprise; the amount of the obligation is reliably
measurable.
29. Special reserve
The work safety expense extracted according to the regulations will be included in the cost of
related products or the current profit and loss and also included in the special reserve; When used
it will be treated separately according to whether fixed assets are formed or not: if it is an expense
expenditure the special reserve will be directly offset; If the fixed assets are formed the expenses
incurred shall be collected and the fixed assets shall be confirmed when the predetermined usable
state is reached and at the same time the equivalent special reserve shall be offset and the
equivalent accumulated depreciation shall be confirmed.
30. Revenue
235Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)The Company’s sales revenue is mainly comprised of revenue from sale of goods labor providing
income and revenue from assignment of asset use rights.The Company has fulfilled the performance obligations in the contract that is revenue is
recognized when the customer obtains control of the relevant goods or services.If the contract contains two or more performance obligations the Company will allocate the
transaction price to each individual performance obligation according to the relative proportion of
the stand-alone selling price of the goods or services promised by each individual performance
obligation on the date of the contract. The revenue is measured according to the transaction price
of each individual performance obligation.The transaction price is the amount of consideration that the Company expects to be entitled to
receive due to the transfer of goods or services to customers excluding payments on behalf of
third parties. The transaction price confirmed by the Company does not exceed the amount at
which the cumulatively recognized revenue will most likely not to undergo a significant switch
back when the relevant uncertainty is eliminated. The money expected to be returned to the
customer will be regarded as a return liability and not included in the transaction price. If there is a
significant financing component in the contract the Company shall determine the transaction price
based on the amount payable on the assumption that the customer pays in cash when obtaining the
control of the goods or services. The difference between the transaction price and the contract
consideration shall be amortized by the effective interest method during the contract period. On
the starting date of the contract if the Company expects that the interval between the customer's
acquisition of control of the goods or services and the customer's payment of the price doesn’t
exceed one year the significant financing components in the contract shall be ruled out.When meeting one of the following conditions the Company is to perform its performance
obligations within a certain period of time otherwise it is to perform its performance obligations
at a certain point in time:
1) The customer obtains and consumes the economic benefits brought by the Company's
performance at the same time as the Company's performance;
2) Customers can control the products under construction during the performance of the
Company;
3) The goods 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 performance part of
the contract during the entire contract period.For performance obligations performed within a certain period of time the Company recognizes
236Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)revenue in accordance with the performance progress during that period and determine the
progress of performance in accordance with the output method. When the performance progress
cannot be reasonably determined if the cost incurred by the Company is expected to be
compensated the revenue shall be recognized according to the amount of the cost incurred until
the performance progress can be reasonably determined.For performance obligations performed at a certain point in time the Company recognizes
revenue at the point when the customer obtains control of the relevant goods or services. When
judging whether a customer has obtained control of goods or services the Company will consider
the following signs:
1) The Company has the current right to collect payment for the goods or services;
2) The Company has transferred the goods in kind to the customer;
3) The Company has physically transferred the goods to the customer;
4) The Company has transferred the principal risks and rewards of ownership of the goods to the
customer;
5) The customer has accepted the goods or services etc.
The Company’s right to receive consideration for goods or services that have been transferred to
customers are presented as contractual assets which are impaired on the basis of expected credit
losses. The Company’s unconditional right to receive consideration from customers is shown as a
account receivable. The obligation to transfer goods or services to customers for which the
Company has received consideration receivable from them is shown as a contractual liability.Specific methods of income recognition:
1. Income from transfer of commodities
For the commodities sold between the Company and customers income is usually recognized
at the time when the control right of the commodities is transferred based on comprehensive
consideration of the factors such as obtaining the current right to collect the commodity payment
the transfer of the main risks and rewards in the ownership of the commodities the transfer of the
legal ownership of the commodities the transfer of the physical assets of the commodities and the
acceptance of the commodities by the customers. For the goods picked up by the merchants
themselves the income is recognized when the goods are picked up; For the goods delivered by
logistics the income is recognized when the goods are delivered at the merchant for signing; For the
sales business with consignment characteristics according to the contract the income is recognized
when the merchant provides the commodity settlement list; For the sales business through online
sales channels when the commodities are delivered to customers for receipt it is regarded as the
237Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)main risk and rewards on the ownership of the commodities are transferred and the realization of
the sales income of the commodities is recognized; With regard to export income according to the
contract after the goods are delivered to the port or place designated by the customer or to the
carrier designated by the customer and the customs declaration is passed the income is recognized.
2. Income from providing labor services
For the quality assurance service the service has been provided according to the contract and
the income is recognized when the payment is received or the documents (including the amount)
signed by the customer are obtained (unless it is indicated that it is not a condition for income
recognition); For technical development service the service has been provided according to the
contract and the income is recognized according to the business recognition documents of both
parties; For other engineering services the income is recognized by stages according to the project
performance progress and the performance progress is determined according to the output method.
31. Government subsidy
Government subsidy of the Company include project grants financial subsidies and job
stabilization subsidies. Of which asset-related government subsidy are government subsidy
acquired by the Company for the acquisition or other formation of long-term assets; government
subsidy related to revenue are government subsidy other than those related to assets. If the
government document does not clearly specify the subsidy object the Company will judge
according to the above-mentioned distinguishing principle. If it is difficult to distinguish it will be
overall classified as a government subsidy related to income.If government subsidies are monetary assets they are measured according to the amount actually
received. For subsidies paid on the basis of a fixed quota standard when there is conclusive
evidence at the end of the year that it can meet the relevant conditions stipulated by the financial
support policy and is expected to receive financial support funds they are measured according to
the amount receivable. If the government subsidy is a non-monetary asset it shall be measured at
its fair value when the fair value cannot be obtained reliably it shall be measured at its nominal
amount (1 yuan).Government subsidies related to assets are recognized as deferred income. Asset-related
government subsidies that are recognized as deferred income are included in the current profit and
loss in installments according to the average life method during the useful life of the relevant
assets.
238Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)If the relevant asset is sold transferred scrapped or damaged before the end of its useful life the
undistributed deferred income balance shall be transferred to the current profit and loss of asset
disposal.
32. Deferred Income Tax Assets and Deferred Income Tax Liabilities
A deferred tax asset and deferred tax liability shall be determined by a difference (temporary
difference) between the carrying amount of an asset or liability and its tax base. The deferred tax
asset shall be recognized for the carry forward of unused deductible losses that it is probable that
future taxable profits will be available against which the deductible losses can be utilized. For
temporary difference arising from initial recognition of goodwill no corresponding deferred
income tax liabilities will be recognized. For temporary difference arising from initial recognition
of assets and liabilities occurred in the transaction related to non-business combination which
neither affect accounting profit nor taxable income (or deductible losses) no corresponding
deferred income tax assets and deferred income tax liabilities will be recognized. As of the balance
sheet date deferred income tax assets and deferred income tax liabilities are measured at the
effective tax rate applicable to the period when recovery of assets or settlement of liabilities occur.The Company recognizes deferred income tax assets to the extent of future taxable income tax
which is likely to be obtained to offset deductible temporary difference deductible losses and tax
credits. For the confirmed deferred income tax assets.
33.Lease
When the Company becomes the lessee of the lease contract has the right to obtain almost all the
economic benefits arising from the use of the identified assets during the period of use and has the
right to lead the use of the identified assets during the period of use the present value of unpaid
lease payments of the lease assets after deducting lease incentives (except for short-term leases
and leases of low-value assets for which simplified treatment is selected) is recognized as a lease
liability and a right-of-use asset is recognized based on the sum of the present value of the lease
liability prepaid rent and initial direct costs and depreciation and interest expenses are
recognized separately.When the Company becomes the lessee of a lease contract for short-term leases of less than one
year without a purchase option and leases with a value of less than 40000 yuan (excluding
sublease or expected sublease assets) the Company elects to follow simplified treatment and
record the related assets at cost or current gain/loss on a straight-line basis over the lease period.When the Company becomes the lessor of a lease contract it classifies the lease into an operating
lease and a finance lease at the lease commencement date. A finance lease is a lease that transfers
substantially all the risks and rewards associated with the ownership of an asset. Operating leases
239Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)are leases other than finance leases. Rentals under operating leases are recognized as income on a
straight-line basis over the lease term. Finance leases are recorded at the net lease investment
value of the finance lease receivable which is the sum of the unguaranteed residual value and the
present value of the lease receipts not yet received as of the commencement date of the lease term.There are both leasing and non-leasing businesses in the contract and can be split and the leasing
business is financially accounted according to the lease standards. There are both leasing and
non-leasing businesses in the contract and cannot be split and the entire contract is included in the
lease business for financial accounting according to the lease standards.The lease change needs to be judged whether it can be recognized as a single leasing business and
it needs to be recognized separately if it meets the recognition conditions of a single lease; if it
does not meet the recognition of a single leasing business or there is a major event or change
within the controllable range of the lessee re-evaluate and measure the present value of lease
liabilities and adjust the book value of the right-of-use asset accordingly. If the book value of the
right-of-use asset has been reduced to zero but the lease liability still needs to be further reduced
the lessee shall include the remaining amount in the corresponding expenses for the current
period.When the Company becomes the lessor of a lease contract the lease is divided into operating lease
and finance lease on the start date of lease. A finance lease is a lease that transfers substantially all
the risks and rewards associated with ownership of an asset. An operating lease refers to a lease
other than finance leases. The rent of an operating lease is recognized as income on a straight-line
basis during the lease term. For an finance lease the net investment in the lease is regarded as the
entry value of the finance lease receivables and the net investment in the lease is the sum of the
unguaranteed residual value and the present value of the lease receipts that have not been received
on the start date of the lease term.
34. Income tax accounting
The Company accounted the income tax in a method of debit in balance sheet. The income tax
expenses include income tax in the current year and deferred income tax. The income tax
associated with the events and transactions directly included in the owners’ equity shall be
included in the owners’ equity; and the deferred income tax derived from business combination
shall be included in the carrying amount of goodwill except for that above the income tax
expense shall be included in the profit or loss in the current period.The income tax expense in the current year refers to the tax payable which is calculated according
tothe tax laws on the events and transactions incurred in the current period. The deferred income
tax refersto the difference between the carrying amount and the deferred tax assets and deferred
240Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)tax liabilities at Current Year-end recognized in the method of debit in the balance sheet.
35. Segment information
Business segment was the major reporting form of the Company which divided into four parts:
air-conditioning refrigerator & freezer& washing machine small home appliance and others. The
transfer price among the segments will recognize based on the market price common costs will
allocated by income proportion between segments except for the parts that without reasonable
allocation.
36. Explanation on significant accounting estimation
The management of the Company needs to apply estimation and assumption when preparing
financial statement which will affect the application of accounting policy and amounts of assets
liabilities income and expense. The actual condition may differ from the estimation. Constant
evaluation is conducted by the management in respect of the key assumption involved in the
estimation and judgment of uncertainties. Effect resulting from change of accounting estimation is
recognized in the period the change occurs and future periods.The following accounting estimation and key assumption may result in material adjustment to the
book value of assets and liabilities in future period.
(1) Inventory impairment provision
The Company's provision for impairment of inventories on the balance sheet date is the part of the
net realizable value lower than the cost of inventories. The net realizable value of the inventory of
goods that are directly used for sale such as the goods in stock the goods sent out and the
materials for sale and the low-consumption goods shall be determined by the amount of the
estimated selling price of the inventory minus the estimated selling expenses and relevant taxes.The net realizable value of the material inventory held for production is determined by the
amount of the estimated selling price of the finished product produced minus the estimated cost to
be incurred at the time of completion the estimated selling expenses and relevant taxes.
(2) Accounting estimation on long-term assets impairment provision
The Company makes impairment test on fixed assets such as buildings machine and equipment
which have impairment indication and long-term assets such as goodwill as at the balance sheet
date. The recoverable amount of relevant assets and assets group shall be the present value of the
projected future cash flow which shall be calculated with accounting estimation.If the management amends the gross profit margin and discount rate adopted in calculation of
future cash flow of assets and assets group and the amended gross profit margin is lower than the
currently adopted one or the amended discount rate is higher than the currently adopted one the
241Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Company needs to increase provision of impairment provision. If the actual gross profit margin is
higher (or the discount rate is lower) than the estimation of management the Company can not
transfer back the long term assets impairment provision provided already.
(3) Accounting estimation on realization of deferred income tax assets
Estimation on deferred income tax assets needs estimation on the taxable income and applicable
tax rate for each future year. Realization of deferred income tax assets depends on whether a
company is able to obtain sufficient taxable income in future. Change of future tax rate and switch
back of temporary difference could affect the balance of income tax expense (gains) and deferred
income tax. Change of the aforesaid estimation may result in material adjustment to deferred
income tax.
(4) Usable term and residual value rate of fixed assets and intangible assets
The Company at least at the end of each accounting year reviews the projected usable life and
residual value rate of fixed assets and intangible assets. The projected usable life and residual
value rate are determined by the management based on the historical experiences of similar assets
by reference to the estimation generally used by the same industry with consideration on projected
technical upgrade. If material change occurs to previous estimation the Company shall
accordingly adjust the depreciation expenses and amortization expenses for future period.
37. Other comprehensive income
Other comprehensive income represents various gains and losses not recognized in current gains
and losses according to other accounting rules.Other comprehensive income items shall be reported in the following two classes under other
relevant accounting rules:
(1)Other comprehensive income items that can not be reclassified into gains and losses in future
accounting periods mainly including changes arising from re-measurement of net liabilities or net
assets under defined benefit plan and interest in investee’s other comprehensive income which are
measured under equity method and which can not be reclassified into gains and losses in future
accounting periods;
(2) Other comprehensive income items that will be reclassified into gains and losses in future
accounting periods upon satisfaction of required conditions mainly includes the share of other
comprehensive income that is reclassified into profit and loss when the investee’s subsequent
accounting periods are accounted for in accordance with the equity method and meet the specified
conditions the fair value changes occurred by the debt investment that is measured at fair value
and whose changes are included in other comprehensive income the difference between the
242Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)original book value included in other comprehensive income and the fair value when a financial
asset measured at amortized cost is reclassified as a financial asset measured at fair value and its
changes are included in other comprehensive income the loss provisions for financial assets
measured at fair value and whose changes are included in other comprehensive income the gains
or losses generated from cash flow hedging instruments are part of effective hedging and the
differences in conversion of foreign currency financial statements.
38. Change of significant accounting policies and accounting estimates
1．Change of significant accounting policy
(1) Changes in accounting policies caused by changes in accounting standards for business
enterprises
1) Since January 1 2024 the company has implemented the provisions of "Division of Current
Liabilities and Non-current Liabilities" stipulated in the Interpretation No.17 of Accounting
Standards for Business Enterprises promulgated by the Ministry of Finance and this accounting
policy change has no impact on the company's financial statements.
2) Since January 1 2024 the Company has implemented the provisions of "Disclosure of
Supplier Financing Arrangements" in Interpretation No.17 of Accounting Standards for Business
Enterprises promulgated by the Ministry of Finance. See V (4) 3 for the specific disclosure impact.
3) Since January 1 2024 the company has implemented the provisions of "Accounting
Treatment of After-sale Leaseback Transactions" stipulated in the Interpretation No.17 of
Accounting Standards for Business Enterprises promulgated by the Ministry of Finance and this
accounting policy change has no impact on the Company's financial statements.
4) Since January 1 2024 the Company has implemented the provisions of"Accounting
Treatment for Guaranteed Quality Assurance that is not a single performance obligation" stipulated
in the Interpretation No.18 of Accounting Standards for Business Enterprises promulgated by the
Ministry of Finance and made retrospective adjustments to the information in comparable periods.The impact of implementing the above accounting policies on the consolidated income
statement for the year 2023 is as follows:
Report items significantly affected Consolidated report impact Individual reports of the parent
amount company affect the amount
2023 Annual Income Statement Items
Operating cost 148752958.42 20592252.94
243Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Sale cost -148752958.42 -20592252.94
Relevant accounting policy changes have been approved at the 12th meeting of the 11th Board of
Directors of the Company
IV. Taxation
1. Major taxes and tax rates
Tax (expenses) Tax (expenses) base Tax (expenses) rate
The output tax is calculated based on the income from sales
of goods and taxable services calculated according to the
VAT provisions of the tax law. After deducting the input tax 13%9%6%5%3%
allowed to be deducted in the current period the difference is
the VAT taxable
In case of ad valorem it will be levied according to 1.2% of
the residual value after deducting 30% from the original
House Property Tax 1.2%、12%
value of the property; In case of rent-based collection it will
be levied according to 12% of the rental income
Land use tax Actual land area used 1-6 yuan/㎡
Urban maintenance
Turnover tax 7%5%
and construction tax
Education surcharge Turnover tax 3%
Local education
Turnover tax 2%
surcharge
Corporate income tax Taxable income 29%25%22%20%15%
Description of taxpayers with different corporate income tax rates:
Name Income tax rate
The Company 15.00%
Zhongke Meiling Cryogenic Technology Co. Ltd. 15.00%
Zhongshan Changhong Electric Co. Ltd. 15.00%
Sichuan Hongmei Intelligent Technology Co. Ltd. 15.00%
Mianyang Meiling Refrigeration Co. Ltd. 15.00%
Ground Energy Heat Pump Tech. (Zhongshan) Co. Ltd. 15.00%
Hefei Meiling Nonferrous Metal Products Co. Ltd. 15.00%
Jiangxi Meiling Electric Appliance Co. Ltd. 15.00%
Sichuan Changhong Air-conditioner Co. Ltd. 15.00%
Hefei Meiling Wulian Technology Co. Ltd 15.00%
244Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Name Income tax rate
Anhui Tuoxing Technology Co. Ltd. 20.00%
Guangzhou Changhong Trading Co. Ltd. 20.00%
Hebei Hongmao Daily Appliance Technology Co. Ltd. 20.00%
CH-Meiling International (Philippines) Inc. 20.00%
Changhong Ruba Trading Company (Private) Limited 29.00%
CHANGHONG MEILING ELECTRIC INDONESIAPT 22.00%
Other taxpayers except the above 25.00%
2. Preferential tax
1.Corporate income tax
(1) On November 30 2023 the Company passed the high-tech enterprise certification and
obtained the high-tech enterprise certificate numbered GR2020340006385 and shall enjoy the
national high-tech enterprise income tax rate of 15% which is valid for three years.
(2) On October 16 2023 the subsidiary Zhongke Meiling Cryogenic Technology Co. Ltd.
obtained the high-tech enterprise certificate numbered GR202334003036 approved by the Anhui
Provincial Department of Science and Technology the Anhui Provincial Department of Finance
and the Anhui Provincial Taxation Bureau of the State Administration of Taxation and shall enjoy
the 15% enterprise income tax rate of the national high-tech enterprise which is valid for three
years.
(3) On December 28 2023 the subsidiary Zhongshan Changhong Electric Appliance Co. Ltd.
obtained a high-tech enterprise certificate with a certificate number of GR202344012950
approved by the Guangdong Provincial Department of Science and Technology the Guangdong
Provincial Department of Finance and the Guangdong Provincial Taxation Bureau of the State
Administration of Taxation and shall enjoy a national enterprise income tax rate of 15% for
high-tech enterprises which is valid for three years
(4) On December 6 2024 the subsidiary Sichuan Hongmei Intelligent Technology Co. Ltd.
obtained the high-tech enterprise certificate with a certificate number of GR202451002000
approved by the Science and Technology Department of Sichuan Province the Finance Department
of Sichuan Province and the Sichuan Provincial Tax Service State Taxation Administration and
was entitled to the income tax rate of 15% for national high-tech enterprises for a period of three
years.
(5) The subsidiary Mianyang Meiling Refrigeration Co. Ltd. belongs to the encouraged
industries listed in the Guidance Catalogue of Industrial Structure Adjustment and is entitled to the
245Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)preferential tax policy of enterprise income tax for the development of the western region and its
enterprise income tax is levied at a reduced rate of 15% which is valid until December 31 2030.
(6) On December 22nd 2022 the subsidiary Hongyuan Ground Energy Heat Pump
Technology (Zhongshan) Co. Ltd. obtained the high-tech enterprise certificate with a certificate
number of GR202244005222 approved by the Department of Science and Technology of
Guangdong Province Department of Finance of Guangdong Province and Guangdong Provincial
Tax Service State Taxation Administration and was entitled to the enterprise income tax rate of 15%
for national high-tech enterprises for a period of three years.
(7) On November 28 2024 the subsidiary Hefei Meiling Non-ferrous Metal Products Co.
Ltd. obtained the high-tech enterprise certificate with a certificate number of GR202434004167
approved by Anhui Provincial Department of Science and Technology Anhui Provincial
Department of Finance and Anhui Provincial Taxation Service State Taxation Administration and
was entitled to the income tax rate of 15% for national high-tech enterprises for a period of three
years.
(8) On November 4 2022 the subsidiary Jiangxi Meiling Electric Appliance Co. Ltd.
obtained the high-tech enterprise certificate with a certificate number of GR202236000475
approved by Science and Technology Department of Jiangxi Province Jiangxi Provincial
Department of Finance and Jiangxi Tax Service State Taxation Administration and was entitled to
the income tax rate of 15% for national high-tech enterprises for a period of three years.
(9) On November 29 2022 the subsidiary Sichuan Changhong Air Conditioning Co. Ltd.
obtained the high-tech enterprise certificate with a certificate number of GR202251005824
approved by Science and Technology Department of Sichuan Province Sichuan Provincial Finance
Department and State Taxation Administration and was entitled to the income tax rate of 15% for
national high-tech enterprises for a period of three years.
(10) On November 28 2024 the subsidiary Hefei Meiling IOT Technology Co. Ltd. obtained
the high-tech enterprise certificate with a certificate number of GR202434004986 approved by
Anhui Provincial Department of Science and Technology Anhui Provincial Department of Finance
and Anhui Provincial Taxation Service State Taxation Administration and was entitled to the
income tax rate of 15% for national high-tech enterprises for a period of three years.
(11) According to the Announcement of the Ministry of Finance and the State Taxation
Administration on Further Supporting the Development of Tax and Fee Policies for Small and
Micro Enterprises and Individual Industrial and Commercial Households (Announcement No.12 of
the Ministry of Finance and the State Taxation Administration in 2023) "The taxable income of
small and low-profit enterprises will be reduced by 25% and the enterprise income tax policy will
be paid at a rate of 20% which will be implemented until December 31 2027". The subsidiaries
246Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Anhui Tuoxing Technology Co. Ltd. Guangzhou Changhong Trading Co. Ltd. and Hebei
Hongmao Household Appliance Technology Co. Ltd. applied the above preferential policies this
year.
2.VAT
(1) According to the Announcement of the Ministry of Finance and the State Taxation
Administration on the Policy of Adding and Deducting VAT for Advanced Manufacturing
Enterprises (Announcement No.43 of the Ministry of Finance and the State Taxation Administration
in 2023) additional VAT payable of 5% will be deducted according to the deductible input tax in the
current period for advanced manufacturing enterprises from January 1 2023 to December 31 2027.The Company and its subsidiaries Zhongke Meiling Cryogenics Technology Co. Ltd. Zhongshan
Changhong Electric Co.Ltd. Hongyuan Ground Energy Heat Pump Technology (Zhongshan) Co.Ltd. Hefei Meiling Non-ferrous Metal Products Co. Ltd. Jiangxi Meiling Electric Appliance Co.Ltd. and Sichuan Changhong Air Conditioning Co. Ltd. applied the above preferential policies.
(2) According to the Notice of the Ministry of Finance and the State Taxation Administration
on the VAT Policy of Software Products (CS [2011] No.100) for sales by general VAT taxpayers of
the software products developed and produced by themselves after the VAT is levied at the rate of
13% the part whose actual VAT tax exceeds 3% will be refunded immediately. The subsidiaries
Zhongke Meiling Cryogenics Technology Co. Ltd. and Sichuan Hongmei Intelligent Technology
Co. Ltd. applied the above preferential policies.V.Consolidated financial statement item notes
1. Monetary fund
Item Ending balance Beginning balance
Cash 19623.13 15600.68
Bank deposit 5430927146.17 4160140914.47
Other monetary fund 492614908.35 427457768.37
Deposit funds from the financial company 4568889072.96 4255008952.20
Total 10492450750.61 8842623235.72
Including: total amount deposited in overseas 39440542.18 25902580.15
2. Tradable financial assets
Item Ending Balance Beginning Balance
Financial assets measured at fair value and whose changes
39236447.63
are included in current gains/losses
Including: Derivative financial assets 39236447.63
247Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Ending Balance Beginning Balance
Total 39236447.63
3. Derivative financial assets
project Ending Balance Beginning Balance
forward exchange contract 72010074.43
total 72010074.43
4. Note receivable
(1) Detail
Item Ending Balance Beginning Balance
Bank acceptance 228500.00
Trade acceptance 38674.50
Total 267174.50
(2) By accrual of bad debt provision
1) Detail
Beginning balance
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
With bad debt provision accrual
267174.50100.00267174.50
on single item
Including: Bank acceptance 228500.00 85.52 228500.00
Trade acceptance 38674.50 14.48 38674.50
Subtotal 267174.50 100.00 267174.50
Account receivable withdrawal
bad debt provision by portfolio
Total 267174.50 100.00 267174.50
5. Account receivable
(1) Category of account receivable by aging
Account age Balance at year-end Balance at year-begin
Within 1 year（Including 1 year） 1497253392.98 1653598197.84
Including：
248Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Account age Balance at year-end Balance at year-begin
Within 3 months (3 months included) 1368463315.70 1465495273.51
More than 3 months and less than 6 months (6 months
97181265.60140402241.40
included)
Over 6 months and within one year (One year included) 31608811.68 47700682.93
Over one year - within 2 years (2 years included) 75307523.19 131382522.20
Over 2 years - within 3 years (3 years included) 87182259.34 154167214.15
Over 3 years 188612629.93 76295036.77
Total 1848355805.44 2015442970.96
(2) By accrual of bad debt provision
1) Detail
Balance at year-end
Book balance Bad debt provision
Category
Ratio Ratio Book value
Amount Amount
(%)(%)
Account receivable that
withdrawal bad debt provision 736905399.87 39.87 174360359.87 23.66 562545040.00
by single item
Including: Account receivable
204543428.3611.07204543428.36
with letter of credit
Current payment with related
485828526.6726.28129934772.0726.74355893754.60
party
Receivables whose single
amount is not significant but
46533444.842.5244425587.8095.472107857.04
whose single provision for bad
debts
Account receivable withdrawal
1111450405.5760.13146017071.0913.14965433334.48
bad debt provision by portfolio
Including: account receivable of
185634242.2410.0454756852.9029.50130877389.34
engineering customers
Receivables other than
925816163.3350.0991260218.199.86834555945.14
engineering customers
Total 1848355805.44 100.00 320377430.96 17.33 1527978374.48
Continued
Amount at year-begin
Category
Book balance Bad debt provision Book value
249Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Ratio Ratio
Amount Amount
(%)(%)
Account receivable that
withdrawal bad debt provision 712659116.51 35.36 195578324.84 27.44 517080791.67
by single item
Including: Account receivable
83951301.014.1783951301.01
with letter of credit
Current payment with related
575373568.9328.55154606151.9826.87420767416.95
party
Receivables whose single
amount is not significant but
53334246.572.6540972172.8676.8212362073.71
whose single provision for bad
debts
Account receivable withdrawal
1302783854.4564.64139561406.0310.711163222448.42
bad debt provision by portfolio
Including: account receivable of
212621463.4510.5544910916.5021.12167710546.95
engineering customers
Receivables other than
1090162391.0054.0994650489.538.68995511901.47
engineering customers
Total 2015442970.96 100.00 335139730.87 16.63 1680303240.09
2) Receivables whose single amount is not significant but whose single provision for bad debts
Receivables whose single amount is not significant but whose single provision for bad debts
refers to the minor single receivables and withdrawal bad debt provision by combination shows
no risk characteristic of the receivables 116 clients involved.
3) Account receivable withdrawal bad debt provision by portfolio
A.Account receivable of engineering customers
Balance at year-end
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months
25327660.33
included)
More than 3 months and less than 6
14901434.29
months (6 months included)
Over 6 months and within one year
28923666.97
(One year included)
Over one year - within 2 years (2
56974354.6111394870.9320.00
years included)
Over 2 years - within 3 years (3
32290288.1516145144.0850.00
years included)
Over 3 years 27216837.89 27216837.89 100.00
Total 185634242.24 54756852.90 29.50
250Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Continued
Balance at year-begin
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months
33502386.39
included)
More than 3 months and less than 6
29638184.67
months (6 months included)
Over 6 months and within one year
29724507.75
(One year included)
Over one year - within 2 years (2
71526399.7014305279.9420.00
years included)
Over 2 years - within 3 years (3
35248696.7717624348.3950.00
years included)
Over 3 years 12981288.17 12981288.17 100.00
Total 212621463.45 44910916.50 21.12
B.Receivables other than engineering customers
Balance at year-end
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months
832210142.168322101.421.00
included)
More than 3 months and less than 6
8867933.33886793.3310.00
months (6 months included)
Over 6 months and within one year
2545036.25509007.2520.00
(One year included)
Over one year - within 2 years (2
1083159.99541580.0050.00
years included)
Over 2 years - within 3 years (3
545777.06436621.6580.00
years included)
Over 3 years 80564114.54 80564114.54 100.00
Total 925816163.33 91260218.19 9.86
Continued
Balance at year-begin
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months
940622126.919406221.281.00
included)
More than 3 months and less than 6
42030490.134203049.0110.00
months (6 months included)
Over 6 months and within one year
9463055.001892611.0020.00
(One year included)
251Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-begin
Account age
Book balance Bad debt provision Provision ratio (%)
Over one year - within 2 years (2
2765533.981382766.9950.00
years included)
Over 2 years - within 3 years (3
87576718.6170061374.8880.00
years included)
Over 3 years 7704466.37 7704466.37 100.00
Total 1090162391.00 94650489.53 8.68
C. Bad debt provision of accounts receivable
1) Detail
Changes this year
Balance at Resal Balance at
Category
year-begin Withdrawal or e or Other Accrual year-end
reversal write- decreases
off
Withdrawal
bad debt
195578324.847394931.7728600649.28-12247.46174360359.87
provision by
single item
Withdrawal
bad debt
139561406.036212365.75243299.31146017071.09
provision by
portfolio
Total 335139730.87 13607297.52 28600649.28 231051.85 320377430.96
2) Recovery or reversal of important bad debt reserves in this period
Basis and rationality of
Amount recovered or Reason for
Unit name Recovery mode determining the original
reversed reversal
provision for bad debts
Mainly due to recovery of bad
Sichuan Zhiyijia Network Payment Customer debts accrued in the early
26402499.40
Technology Co. Ltd. recovery repayment period due to the deterioration
of Gome's business
Subtotal 26402499.40
(4) Account receivable actually written-off in Current Year
N/A
(5) Top 5 accounts receivable and contract assets amount
Top 5 receivables collected by arrears party amounting to 587980658.36yuan in total accounted
252Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)for 31.76% of the receivables of current year-end the bad debt provision accrual correspondingly
amounting to 90080165.99 yuan at year-end balance.
6. Receivables financing
(1) Detail
Item Ending balance Opening balance
Bank acceptance 1482928143.55 1641858740.34
Financial company acceptance bill 34059810.28
Total 1516987953.83 1641858740.34
(2) By accrual of bad debt provision
Ending balance
Book balance Bad debt provision Category
Ratio Book value
Amount Ratio (%) Amount
(%)
Withdrawal
bad debt
1516987953.83100.001516987953.83
provision by
single item
Including：
Bank 1482928143.55 97.75 1482928143.55
acceptance
Financial
company
34059810.282.2534059810.28
acceptance
bill
Total 1516987953.83 100.00 1516987953.83
Continued
Balance at year-begin
Book balance Bad debt provision
Category
Ratio Book value
Amount Ratio (%) Amount
(%)
Withdrawal bad
debt provision by 1641858740.34 100.00 1641858740.34
single item
Including：Bank
1641858740.34100.001641858740.34
acceptance
Total 1641858740.34 100.00 1641858740.34
253Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
(3) Changes in credit impairment provisions
There is no bad debt provision accrued recovered or reversed this year;
(4)Financing of receivables that have been pledged at the end of the year
Item Year-end pledged amount
Bank acceptance 584233204.78
Subtotal 584233204.78
Note: with purpose of improving the note utilization the Company draw up bank acceptance by
pledge parts of the outstanding notes receivable to the bank. For details of the pledge of bills
receivable see Note V. 26. Assets with restricted ownership or use rights.
(5) Notes endorsement or discount and undue on balance sheet date listed in receivables
financing at the end of the year
Item Amount derecognition at period-end
Bank acceptance 804812890.67
Financial company acceptance bill 6118683.00
Total 810931573.67
7. Accounts paid in advance
(1) Age of account paid in advance
Ending balance
Aging Provision for
Book balance Ratio(%) Book value
impairment
59929582.8399.3059929582.83
Within one year
1-2 years 266216.81 0.44 266216.81
2-3 years 47912.63 0.08 47912.63
108633.000.18108633.00
Over 3 years
Total 60352345.27 100.00 60352345.27
Continued
Opening balance
Aging Provision for
Book balance Ratio(%) Book value
impairment
43346277.8894.6543346277.88
Within one year
1-2 years 811122.73 1.77 811122.73
2-3 years 707919.39 1.55 707919.39
254Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Opening balance
Aging Provision for
Book balance Ratio(%) Book value
impairment
930855.022.03930855.02
Over 3 years
Total 45796175.02 100.00 45796175.02
(2) Top 5 of account paid in advance
Top 5 of account paid in advance in balance at period-end amounting to 48658243.44 yuan
accounted for 80.62% of the account.
8. Other account receivable
(1) Detail
Ending balance Ending balance Opening balance
Dividend receivable 12124951.70
Other account receivable 123266319.09 100159876.70
Total 135391270.79 100159876.70
(2) Dividend receivable
Ending balance Ending balance Opening balance
Sichuan Zhiyijia Network Technology Co. Ltd. 11849751.70
Sichuan Hongyun New Generation Information
Technology Venture Capital Fund Partnership Enterprise 275200.00
(Limited Partnership
Subtotal 12124951.70
(3) Other receivable
1)) Category of other account receivable
Nature Book balance at year-end Book balance at year-begin
Loans of employee’s pretty cash 15452988.04 21047009.96
Cash deposit 11343322.56 20927726.52
Export rebate 95274068.20 41300752.20
Related party 3020490.22 17748842.07
Other 1327326.50 2195851.43
Subtotal 126418195.52 103220182.18
2) By account age
255Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Account age Balance at year-end Balance at year-begin
Within 3 months 112225289.22 77938073.75
More than 3 months and less than 6 months 787433.33 1842273.09
Over 6 months and within one yea 3137720.39 12066909.96
1-2 years 2433214.96 3017092.43
2-3 years 2216446.08 2473240.42
Over 3 years 5618091.54 5882592.53
Subtotal 126418195.52 103220182.18
3) By accrual of bad debt provision
Amount at year-end
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
That withdrawal bad debt 126192156.34 99.82 3057306.45 2.42 123134849.89
provision by single item
In which: other receivables with 27897597.92 22.07 3057306.45 10.96 24840291.47
no major individual amount but
bad debt provision accrued
individually
Export rebate receivable 95274068.20 75.36 95274068.20
Related party funds 3020490.22 2.39 3020490.22
Bad debt provision accrued by 226039.18 0.18 94569.98 41.84 131469.20
portfolio
In which: other receivables 226039.18 0.18 94569.98 41.84 131469.20
accrued by aging portfolio
Total 126418195.52 100.00 3151876.43 2.49 123266319.09
Continued
Balance at year-begin
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
That withdrawal bad debt
102904714.1699.702945873.362.8699958840.80
provision by single item
In which: other receivables with
no major individual amount but
43855119.8942.492945873.366.7240909246.53
bad debt provision accrued
individually
256Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-begin
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
Export rebate receivable 41300752.20 40.01 41300752.20
Related party funds 17748842.07 17.20 17748842.07
Bad debt provision accrued by
315468.020.30114432.1236.27201035.90
portfolio
In which: other receivables
315468.020.30114432.1236.27201035.90
accrued by aging portfolio
Total 103220182.18 100.00 3060305.48 2.96 100159876.70
4) Changes in bad debt provisions
* Detail
First stage Second stage Third stage
Expected credit loss for
Bad debt provision Expected credit Expected credit loss for the whole duration Subtotal
loss in next 12 the whole duration (no
(credit impairment has
months credit impairment)
occurred)
Balance at year-begin 181.49 58484.21 3001639.78 3060305.48
Balance at year-begin in
——————
Current Year
--Transfer to the second
stage
-- Transfer to the third
stage
-- Reversal to the second
stage
-- Reversal to the first
stage
Provision in Current Year 5749.78 -36079.13 132367.51 102038.16
Reversal in Current Year 10467.21 10467.21
Write off in Current Year
Other change
Balance at year-end 5931.27 22405.08 3123540.08 3151876.43
* Bad debt provision for other receivables accrued recovered or reversed this year
Category Year-beginning Amount of change this year Year-end
257Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Recovery or Write-off or balance
Accrual Other
reversal cancellation
Withdrawal
bad debt
provision 2945873.36 121900.30 10467.21 3057306.45
by single
item
Withdrawal
bad debt
114432.12-19862.1494569.98
provision
by portfolio
Subtotal 3060305.48 102038.16 10467.21 3151876.43
5) Other account receivable actually written-off in Current Year:N/A
6) Top 5 other receivables
Proportion in total Bad debt
other receivables provision
Name Nature Balance at year-end Account age
ending balance (%) Balance at
year-end
Unit I Tax rebate 95274068.20 Within 3 months 75.36
Unit II Related party 2217600.00 Within 3 months 1.75
Loans of
Unit III employee’s 1749678.39 Within 3 months 1.38
pretty cash
Unit IV Cash deposit 1689512.96 6 months-1 year 1.34
Loans of
Unit V employee’s 1492204.27 Within 3 months 1.18
pretty cash
Total 102423063.82 81.01
9. Inventories
(1) Detail
Amount at year-end
Inventory price decline
Item provision/contract
Book balance Book value
performance cost impairment
provision
Raw materials 212959918.52 5083192.31 207876726.21
258Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount at year-end
Inventory price decline
Item provision/contract
Book balance Book value
performance cost impairment
provision
Low value consumable
266404.7897317.58169087.20
articles
Deferred expense for mould 90498578.88 90498578.88
Stock commodities 2140311193.05 101125135.79 2039186057.26
Goods in transit 1144852004.99 9982021.26 1134869983.73
Goods-in-process 10482237.67 39214.30 10443023.37
Contract performance cost 31928661.07 4108.38 31924552.69
Total 3631298998.96 116330989.62 3514968009.34
(Continued)
Opening balance
Inventory price decline
Item provision/contract
Book balance Book value
performance cost impairment
provision
Raw materials 150806222.67 4061217.23 146745005.44
Low value consumable
3141564.20143306.822998257.38
articles
Deferred expense for mould 47131566.78 47131566.78
Stock commodities 1216312053.20 60027642.16 1156284411.04
Goods in transit 641198998.83 7934263.70 633264735.13
Goods-in-process 7337268.01 7337268.01
Contract performance cost 28988664.67 28988664.67
Total 2094916338.36 72166429.91 2022749908.45
(2) Provision for inventory depreciation and contract performance cost impairment provision
1) Detail
Increase this period Decrease this period
Item Opening balance Reversal or Ending balance
Accrual Other Other
reselling
259Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Increase this period Decrease this period
Item Opening balance Reversal or Ending balance
Accrual Other Other
reselling
Raw materials 4061217.23 3356900.39 2334925.31 5083192.31
Low value
consumable 143306.82 2634.64 48623.88 97317.58
articles
Stock
60027642.1676933185.8135748538.3087153.88101125135.79
commodities
Goods in transit 7934263.70 16960541.01 14912783.45 9982021.26
Goods-in-proce
39214.3039214.30
ss
Contract
performance 121857.53 117749.15 4108.38
cost
Total 72166429.91 97414333.68 53162620.09 87153.88 116330989.62
2) Specific basis for determining the net realizable value and the reasons for reversal or
write-off of inventory depreciation provision in this period
Reasons for the reversal or
Item Specific basis for determining of net realizable value
reselling in Current Period
Cost is higher than net realizable value (The processed products
Raw materials For production
are decline)
Cost is higher than net realizable value (The market price at
Stock commodities For sale
period-end fell)
Cost is higher than net realizable value (The market price at
Goods in transit For sale
period-end fell)
Low value
Cost is higher than net realizable value Already used
consumable articles
Contract performance Engineering construction cost is higher than net realizable value
Already used
cost (The processed products are decline)
10. Contract assets
(1) Detail
Ending balance
Item
Book balance Impairment provision Book value
Warranty 3226503.19 462636.22 2763866.97
Total 3226503.19 462636.22 2763866.97
260Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
(Continued)
Opening balance
Item
Book balance Impairment provision Book value
Warranty 13879087.90 617397.28 13261690.62
Total 13879087.90 617397.28 13261690.62
(2) Amount and reasons for significant changes in book value during the year
Items Change amount Change cause
Warranty -10497823.65 New performance sales contract
Total -10497823.65
(3) Provision for impairment of contract asset in the Period
Balance at year-end
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
Withdrawal bad debt
3226503.19100.00462636.2214.342763866.97
provision by single
Total 3226503.19 100.00 462636.22 14.34 2763866.97
Continued
Amount at year-begin
Category Book balance Bad debt provision
Book value
Amount Ratio (%) Amount Ratio (%)
Withdrawal bad debt
13879087.90100.00617397.284.4513261690.62
provision by single
Total 13879087.90 100.00 617397.28 4.45 13261690.62
(4) Provision for impairment of contract asset in the Period
Increase this year
Amount at
Item Reversal or Amount at year-end year-begin Accrual Other Other
reselling
Withdrawal bad
debt provision 617397.28 37408.05 192169.11 462636.22
by single
Total 617397.28 37408.05 192169.11 462636.22
11. Non-current assets coming due within one year
(1) Detail
261Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-end Balance at year-begin
Impai
Name Impairment rment
Book balance Book value Book balance Book value
provision provis
ion
Creditor's right
investment due within 53831301.37 53831301.37 122294027.78 122294027.78
one year
Warranty money due
6531620.47120000.006411620.47
within one year
Total 60362921.84 120000.00 60242921.84 122294027.78 122294027.78
(2) Creditor's right investment due within one year
Balance at year-end Balance at year-begin
Impair Impair
Name ment ment
Book balance Book value Book balance Book value
provisi provisi
on on
large
deposit 53831301.37 53831301.37 122294027.78 122294027.78
certificates
Total 53831301.37 53831301.37 122294027.78 122294027.78
(3) Creditor's right investment due within 1 year at the end of the year:NO
12.Other current asset
Balance at year-end Balance at year-begin
Impair Impai
Item ment rment
Book balance Book value Book balance Book value
provisi provis
on ion
VAT to be
6591963.446591963.44
deducted
Advance payment
38375210.1338375210.1329599620.5029599620.50
of income tax
VAT input tax is to
199284116.97199284116.97193911165.30193911165.30
be deducted
Contract
701222.80701222.80
acquisition cost
Time deposits held
253112899.55253112899.55
to maturity
Hold a large loan
54770499.4354770499.43
due
262Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-end Balance at year-begin
Impair Impai
Item ment rment
Book balance Book value Book balance Book value
provisi provis
on ion
Local sales tax in
689887.41689887.41511584.19511584.19
Pakistan
Deferred expenses 9205786.05 9205786.05 696290.28 696290.28
Total 562030362.98 562030362.98 225419883.07 225419883.07
13.Creditors' right investment
(1) Detail
Balance at year-end
Item Impairment
Book balance Book value
provision
large deposit certificates 1474153793.17 1474153793.17
Total 1474153793.17 1474153793.17
Continued
Balance at year-begin
Item Impairment
Book balance Book value
provision
large deposit certificates 420537485.54 420537485.54
Total 420537485.54 420537485.54
(2) Other important creditor's right investment
Balance at year-end
Item
Face value Interest rate Actual rate Date of expiring Overdue principal
Fixed deposit 250000000.00 3.05 3.05 2027-5-24
Fixed deposit 150000000.00 2.70 2.70 2026-8-7
large deposit
150000000.003.153.152027-5-16
certificates
large deposit
100000000.002.602.602027-6-21
certificates
large deposit
80000000.003.353.352026-3-28
certificates
Subtotal 730000000.00
Continued
Item Balance at year-begin
263Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Overdue
Face value Interest rate Actual rate Date of expiring
principal
large deposit
100000000.003.203.202026-1-31
certificates
large deposit
80000000.003.353.352026-3-28
certificates
large deposit
50000000.003.303.302026-6-14
certificates
large deposit
50000000.003.103.102026-6-26
certificates
large deposit
30000000.003.303.302026-5-31
certificates
large deposit
30000000.003.203.202026-3-16
certificates
large deposit
25000000.003.253.202025-8-30
certificates
large deposit
25000000.003.303.202025-8-30
certificates
large deposit 3.15
20000000.003.152026-7-31
certificates
Subtotal 410000000.00
14. Long-term equity investment
(1) Classification situation
Balance at year-end
Item
Book balance Impairment provision Book value
Associated companies 84608551.82 3097405.00 81511146.82
Total 84608551.82 3097405.00 81511146.82
Continued
Balance at year-begin
Item
Book balance Impairment provision Book value
Associated companies 112745811.75 112745811.75
Total 112745811.75 112745811.75
(2) Detail
Invested Balance at year-begin Changes in Current Year
264Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)enterprise Investment Other
Impairment Additional profit and loss comprehensive
Book value Disinvestment
provision investment confirmed by income
equity method adjustment
Associated
companies
Sichuan Zhiyijia
Network
68854162.708268998.98
Technology Co.Ltd.Hefei Xingmei
Assets Management 14139256.78 25235.21
Co. Ltd.Chengdu Guigu
Environmental 8756262.50 -1252182.11
Tech. Co. Ltd
Sichuan Tianyou
Guigu Technology 2948859.23 -184548.86
Co. Ltd..Sichuan
HongyunVenture
18047270.5418000000.00104729.46
Investment
Partnership（LP）
Hefei Xinmei Solar
Energy Technology 2202871.20
Co. Ltd
Changhong Ruba
Electric Company
(Private) Ltd.Total 112745811.75 18000000.00 9165103.88
Continued
Changes in Current Year Balance at year-end
Other
Invested enterprise Declaration of changes Provision for Impairment
cash dividends Other Book value
of impairment provision
or profits
equity
Associated
companies
Sichuan Zhiyijia
Network
16947492.6160175669.07
Technology Co.Ltd.
265Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Changes in Current Year Balance at year-end
Other
Invested enterprise Declaration of changes Provision for Impairment
cash dividends Other Book value
of impairment provision
or profits
equity
Hefei Xingmei
Assets Management 14164491.99
Co. Ltd.Chengdu Guigu
Environmental 3008655.00 4495425.39 3008655.00
Tech. Co. Ltd
Sichuan Tianyou
Guigu Technology 88750.00 2675560.37 88750.00
Co. Ltd..Sichuan
HongyunVenture
152000.00
Investment
Partnership（LP）
Hefei Xinmei Solar
Energy Technology 2202871.20
Co. Ltd
Changhong Ruba
Electric Company
(Private) Ltd.Total 19302363.81 3097405.00 81511146.82 3097405.00
(3) Impairment test of long-term equity investment
Impairment amount
Item Book value Recoverable amount
accrued in this period
Chengdu Guigu Environmental Tech. Co.
7504080.394495425.393008655.00
Ltd
Sichuan Tianyou Guigu Technology Co.
2764310.372675560.3788750.00
Ltd.Subtotal 10268390.76 7170985.76 3097405.00
Continued
Number of years Key parameters of forecast period Key parameters of stable period
Item
of forecast period and their determination basis and their determination basis
It is expected that liquidation will
begin in July 2025 and the financial
Chengdu Guigu
data from the balance sheet date to the
Environmental Tech. Co. Half year Not applicable
liquidation time will be predicted and
Ltd
the future recoverable amount will be
determined in combination with the
266Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Number of years Key parameters of forecast period Key parameters of stable period
Item
of forecast period and their determination basis and their determination basis
estimated liquidation expenses
It is expected that liquidation will
begin in July 2025 and the financial
data from the balance sheet date to the
Sichuan Tianyou Guigu
Half year liquidation time will be predicted and Not applicable
Technology Co. Ltd.the future recoverable amount will be
determined in combination with the
estimated liquidation expenses
Subtotal
15. Other non-current financial assets
Item Ending balance Opening balance
Sichuan Changhong Group Finance Co. Ltd. 556681286.83 554145436.29
Sichuan Hongyun New-Generation Information technology 30929099.25
36507860.19
Venture Capital Fund Partnership (limited partnership)
Changhong Group Sichuan ShenwanHongyuan Strategic 69913918.36
68686219.00
New Industrial Parent Fund Partnership (limited partnership)
Huishang Bank Co. Ltd. 18570000.00 14800000.00
Total 676094304.44 674139515.48
16. Investment real estate
(1) Detail
Item House and buildings Total
I.Original book value
Balance at year-begin 62361143.47 62361143.47
Increase in this year 35001468.95 35001468.95
1) Transfer of fixed assets 35001468.95 35001468.95
Decrease in this year
Balance at year-end 97362612.42 97362612.42
Accumulated depreciation and accumulated amortization
Balance at year-begin 11440655.76 11440655.76.Increase in this year 19201105.97 19201105.97
267Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
1) Withdrawal or amortization 1978095.75 1978095.75
2) Deprecation and transfer of fixed assets 17223010.22 17223010.22
Decrease in this year
Balance at year-end 30641761.73 30641761.73
Book value
Ending book value 66720850.69 66720850.69
Opening book value 50920487.71 50920487.71
(2) Investment real estate without property certification held
Reasons for failing to complete
Item Book value
property rights certificate
J03workshop Book value Related property rights in procedure
Subtotal 17727364.92
17. Fixed assets
(1) Detail
Item Book value at year-end Book value at year-begin
Fixed assets 2186003136.01 2259482994.04
Liquidation of fixed assets 32847524.11 32293183.76
Total 2218850660.12 2291776177.80
(2) Fixed assets
(1) Detail
House and Machinery Transport
Item Other equipment Total
buildings equipment equipment
Original book value
Balance at year-begin 1986815666.30 1906289172.39 36650072.30 281151364.21 4210906275.20
Increase in this year 4993904.65 189915198.45 5523240.42 48287841.75 248720185.27
1) Purchase 14959107.15 1077495.97 3987932.29 20024535.41
2) Construction in
4370084.62173874253.734445744.4544205796.63226895879.43
progress transfer-in
3) Increase in foreign
60601.7260601.72
currency translation
4) Other 623820.03 1081837.57 33511.11 1739168.71.Decrease in this year 65074297.92 87510302.36 2324801.47 10882664.08 165792065.83
1) Dispose or 60787180.53 1896962.34 9496848.24 72180991.11
268Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)House and Machinery Transport
Item Other equipment Total
buildings equipment equipment
retirement
2) Construction in
22713498.68423333.30242796.8523379628.83
progress transfer-in
3) Transfer
35001468.9535001468.95
investment real estate
4) Decrease in foreign
4505.834505.83
currency translation
5) Other 30072828.97 4009623.15 1143018.99 35225471.11
Balance at year-end 1926735273.03 2008694068.48 39848511.25 318556541.88 4293834394.64.Accumulated
depreciation.Balance at year-begin 611809867.87 1164231721.95 25939684.97 142820391.82 1944801666.61.Increase in this year 64100197.87 149702411.26 2561167.88 32276169.77 248639946.78
1) Accrual 64016036.73 148747448.58 2561167.88 32225148.78 247549801.97
2) Impact of foreign
50750.5650750.56
currency conversion
3) Other 84161.14 954962.68 270.43 1039394.25
Decrease in this year 17326275.84 63947774.21 2155790.19 8259942.26 91689782.50
1) Dispose or
53440218.781798894.858033041.4563272155.08
retirement
2) Construction in
9320907.89351895.80201080.299873883.98
progress transfer-in
3)Transfer investment
17223010.2217223010.22
real estate
4) Impact of foreign
4999.544999.54
currency conversion
5) Other 103265.62 1186647.54 25820.52 1315733.68
Balance at year-end 658583789.90 1249986359.00 26345062.66 166836619.33 2101751830.89
Impairment provision
Balance at year-begin 199392.18 5378326.42 1043895.95 6621614.55
Increase in this year.Decrease in this year 524101.85 18084.96 542186.81
1) )Dispose or
516900.4418084.96534985.40
retirement
2) Other 7201.41 7201.41
269Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)House and Machinery Transport
Item Other equipment Total
buildings equipment equipment
Balance at year-end 199392.18 4854224.57 1025810.99 6079427.74
Book value.Ending book value 1267952090.95 753853484.91 13503448.59 150694111.56 2186003136.01
Opening book value 1374806406.25 736679124.02 10710387.33 137287076.44 2259482994.04
2) Fixed assets temporary idle at year-end.
Original book Accumulated Impairment
Item Book value Remark
value depreciation provision
House and buildings 823277.88 252088.41 199392.18 371797.29
Machinery
39385736.8730989159.754732667.163663909.96
equipment
Transport
866983.91823634.7043349.21
equipment
Other 2721454.57 2555965.98 29415.81 136072.78
Subtotal 43797453.23 34620848.84 4961475.15 4215129.24
3) Fixed assets leased through operating lease at year-end
Accumulated Impairment
Item Original book value Book value Remark
depreciation provision
House and
113862815.8849563207.9664299607.92
buildings
Machinery
24069771.3614068782.5210000988.84
equipment
Other
290703.88284096.336607.55
equipment
Total 138223291.12 63916086.81 74307204.31
4) Fixed assets without property certificate
Reason of not complete the property certificate
Item Book value
J01workshop 25111339.70 Related property rights in procedure
Canopy 1473562.66 Related property rights in procedure
Connecting corridor 3054589.49 Related property rights in procedure
J02workshop 27092611.16 Related property rights in procedure
J09raw material warehouse 6006540.59 Related property rights in procedure
270Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Reason of not complete the property certificate
Item Book value
J19D guard room 133256.49 Related property rights in procedure
J19E guard room 133256.49 Related property rights in procedure
J08 packing materials
4169409.45 Related property rights in procedure
warehouse
J50finished product
15623863.61 Related property rights in procedure
warehouse
J51finished product
15159508.88 Related property rights in procedure
warehouse
J53finished product
11503048.93 Related property rights in procedure
warehouse
J54finished product
10751165.10 Related property rights in procedure
warehouse
J55finished product
9912153.77 Related property rights in procedure
warehouse
J56 finished product
9912153.77 Related property rights in procedure
warehouse
J52finished product
10995311.37 Related property rights in procedure
warehouse
J08 packing materials
23479798.48 Related property rights in procedure
warehouse
Subtotal 174511569.94
(3). Disposal of fixed assets
Item Amount at year-end Amount at year-begin
Relevant assets disposal for reserved lands 32293183.76 32293183.76
Undisposed equipment 554340.35
Subtotal 32847524.11 32293183.76
Pursuant to the urban planning requirements of Hefei Municipal Government and the Government
of Feidong county the land reserve center of Feidong county will purchase and store the land use
right of an economic development zone located at Feidong county Hefei city which is owned by
the Company’s subordinate companies Equator Electric and Equator Home Appliance
respectively with an area of 19245.09 sq.m. (Approximately 28.87 mu Land Use Right
Certificate No.: Dong Guo Yong (2008) No. 0366 the stated use of the land is for industrial
purpose) and an area of 46161.9 sq.m. (Approximately 69.24 mu Land Use Right Certificate No.:
Dong Guo Yong (2008) No. 0367 the stated use of the land is for industrial purpose). The total
consideration for purchasing and storage is approximately 36 million yuan of which the
consideration for the land use right owned by Equator Electric and Equator Home Appliance is
271Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)approximately 10.59 million yuan and 25.41 million yuan respectively. The Company has
completed the relocation of occupants of the premises and the net fixed assets in relation to the
land will transfer as disposal accounting treatment will be conduct in line with relevant rules upon
receiving of the relocation compensation.No impairment of relevant assets disposal for reserved lands at year-end.
18. Construction in progress
(1) Detail
Item Balance at year-end Balance at year-begin
Construction in progress 97807983.40 69920839.20
Total 97807983.40 69920839.20
(2) Construction in progress
1) Details of construction in progress
Amount at year-end Amount at year-begin
Impairm
Item Impairme ent
Book balance nt Book value Book balance Book value
provisio
provision
n
Refrigerator Front-end
27527110.5
Capacity Improvement Project 27527110.50
0
of Hefei Manufacturing Base
Capacity Improvement and
Transformation Project of Air 14077889.0 24062124.
14077889.0124062124.83
Conditioning Manufacturing 1 83
System
Investment Project to
Manufacturing Company by
Washing Machine Business
8092928.458092928.45
Department to Increase
Production and Guarantee
Supply in 2024
Zhongshan Changhong
7036680.5
Technical Transformation 6432519.38 6432519.38 7036680.59
9
Project
Extrusion and Crushing
1033130.0
Capacity Improvement 3654455.49 3654455.49 1033130.00
0
Demand Project of Hefei
272Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount at year-end Amount at year-begin
Impairm
Item Impairme ent
Book balance nt Book value Book balance Book value
provisio
provision
n
Refrigerator Manufacturing
Company
Plastic Vacuum Forming 1027433.6
3590796.453590796.451027433.62
Machine Project 2
Fixed Assets Project of 7 kg
1534513.2
Supporting Production 3535542.99 3535542.99 1534513.28
8
Equipment
Reconstruction of J05
Two-Device Workshop of Air
3447901.143447901.14
Conditioning Company - Steel
Platform Project
To-be-installed Equipment 2003069.7
2774000.002774000.002003069.71
Project 1
Door Shell Capacity
1947251.991947251.99
Equipment Update Project
Investment Project for
Switching Technology
1686232.801686232.80
Platform of Cabinet Air
Conditioning Heat Exchanger
Update Project of Multi-gun
Feeding Equipment on the 1446902.65 1446902.65
Back of Large Refrigerator
Investment Project of
Production Equipment for
1441592.921441592.92
Inner Cylinder of Meiling
Export Dryer
New Flat Color Plate Door 2155584.0
397699.12397699.122155584.07
Shell Line Project 7
Construction Project of Liquid
Nitrogen Tank Production 23349.06 23349.06 680956.02 680956.02
Line
Relocation and Capacity
Expansion Project of Meiling 339115.04 339115.04
Extrusion Line
Projects to improve the
capacity and production 1624647.0
1624647.04
efficiency of the washing 4
machine manufacturing
273Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount at year-end Amount at year-begin
Impairm
Item Impairme ent
Book balance nt Book value Book balance Book value
provisio
provision
n
company in the first quarter
Investment Project of Washing
Machine Supporting 617699.12 617699.12
Production Equipment
Changhong Meiling
5563207.5
Promotion Project of 5563207.57
7
Industrial Internet
Efficiency Improvement and
1388626.0
Transformation Project of 1388626.00
0
Large Refrigerators
Adaptability Transformation
Project of Fin Stamping 2634632.9
2634632.94
Production Line and Its 4
Supporting Equipment
Rectification Project of
Elevators and Fire Hazards in 1124589.1
1124589.14
Charging Area of Finished 4
Product Warehouse
Transformation and
2048088.4
Maintenance Project of Large 2048088.46
6
Line for B-line Shift Recovery
Manufacturing System 1113002.2
1113002.29
Automation Project in 2023 9
Commercial Kitchen 1894989.0
1894989.00
Refrigerator Cabinet Project 0
Laboratory Investment Project 627076.10 627076.10
17731811.411411674.
Other project 17731811.45 11411674.38
538
97807983.469920839.
Total 97807983.40 69920839.20
020
2) Changes in significant construction in progress
Book Transfer to fixed
balance
Increase in Book balance at
Projects Budget at assets in Current Other decrease
Current Period
period- period-end Period
begin
Front-end 88000000.00 38550472.22 8695934.69 2327427.03 27527110.50
274Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Book Transfer to fixed
balance
Increase in Book balance at
Projects Budget at assets in Current Other decrease
Current Period
period- period-end Period
begin
expansion project
of Hefei base
with an annual
output of
refrigerator
cabinets
(Continued)
Proportion of Accumulated
including: interest Interest
project amount of
Projects Progress capitalized amount capitalization rate Source of funds
investment in interest
of Current Period of Current Period
budget capitalization
Front-end
expansion
project of
Hefei base
43.81 68.70 Self-raised
with an annual
output of
refrigerator
cabinets
19. Right-of-use assets
Item House and buildings Total
Original book value
Balance at year-begin 43077219.46 43077219.46
Increase in this year 140945907.49 140945907.49
(1) New lease 140945907.49 140945907.49
Decrease in this year 51808320.42 51808320.42
(1) Expiration of lease and change of
51693396.8351693396.83
contract
(2) Impact of foreign currency conversion 114923.59 114923.59
Balance at year-end 132214806.53 132214806.53
Accumulated depreciation
Balance at year-begin 7930938.25 7930938.25
Increase in this year 13591410.48 13591410.48
275Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item House and buildings Total
(1) )Accrual 13591410.48 13591410.48. Decrease in this year 3091732.98 3091732.98
(1) Expiration of lease and change of
3079341.963079341.96
contract
(2) Impact of foreign currency conversion 12391.02 12391.02
Balance at year-end 18430615.75 18430615.75
Book value
Ending book value 113784190.78 113784190.78
Opening book value 35146281.21 35146281.21
The Company accrual the depreciation on right-of-use assets from the commencement date of the
lease period. Depending on use of the assets amount of accrual will included in costs of relevant
assets or current gain/loss.
20. Intangible assets
(1) Detail
Trademark Non-patent
Item Land use right Patent technology Other Total
special right technology.Original book value
Balance at
926964151.60283292439.34743027808.89196090356.1611193437.002160568192.99
year-begin
Increase in this year 115842290.70 114343648.32 660622.64 230846561.66
1) Purchase 1828141.58 281000.00 2109141.58
2) Internal
114014149.12114343648.32228357797.44
research
3) Other 379622.64 379622.64
Decrease in this year 20470204.82 84615.44 20554820.26
1)Dispose 20090582.18 20090582.18
2) Other 379622.64 84615.44 464238.08
Balance at year-end 926964151.60 283292439.34 838399894.77 310434004.48 11769444.20 2370859934.39
Accumulated
amortization
Balance at year-begin 251860307.11 283292439.34 550293846.69 76940491.50 4235458.67 1166622543.31.Increase in this year 19663819.27 91207638.03 38162340.12 1371805.93 150405603.35
276Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Trademark Non-patent
Item Land use right Patent technology Other Total
special right technology.Original book value
1) )Accrual 19663819.27 91207638.03 38162340.12 1087088.97 150120886.39
2) Other 284716.96 284716.96
Decrease in this year 15718530.66 15718530.66
1) Dispose 15433813.70 15433813.70
2) Other 284716.96 284716.96
Balance at year-end 271524126.38 283292439.34 625782954.06 115102831.62 5607264.60 1301309616.00.Impairment
provision
Balance at
41003993.4118291161.974508495.3363803650.71
year-begin
Balance at year-end 12095041.19 3655520.53 15750561.72
1) Accrual 12095041.19 3655520.53 15750561.72
Decrease in this year 4050099.37 383760.72 4433860.09
1) Dispose 4050099.37 4050099.37
2) Other 383760.72 383760.72
Balance at year-end 49048935.23 21946682.50 4124734.61 75120352.34
Book value
Ending book value 655440025.22 163568005.48 173384490.36 2037444.99 994429966.05
Opening book value 675103844.49 151729968.79 100858702.69 2449483.00 930141998.97
The intangible assets resulted from internal research takes 9.63% of the balance of intangible
assets at year-end
(2) Intangible assets impairment text
Item Book value Recoverable amount Impairment amount
Non-patent technology 9241832.80 2939427.92 6302404.88
Non-patent technology 5792636.31 5792636.31
Patent technology 4075343.94 419823.41 3655520.53
Subtotal 19109813.05 3359251.33 15750561.72
(Continued)
277Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Key parameters of forecast
Number of years Key parameters of stable period
Item period and their
of forecast period and their determination basis
determination basis
Sales volume revenue and Sales volume revenue and
cost; Determine based on cost; Determine based on
Non-patent technology 3 comprehensive analysis of comprehensive analysis of
enterprise budget and enterprise budget and
development plan development plan
Sales volume revenue and
Sales volume revenue and cost; Determine based on
cost; Determine based on comprehensive analysis of
Non-patent technology 5
comprehensive analysis of enterprise budget and
enterprise budget and development plan
development plan
Sales volume revenue and Sales volume revenue and
cost; Determine based on cost; Determine based on
Patent technology 5 comprehensive analysis of comprehensive analysis of
enterprise budget and enterprise budget and
development plan development plan
Subtotal
21. Development expense
Amount at year-end Amount at year-begin
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Technology
development for 35786399.85 35786399.85 38042546.27 38042546.27
Air-conditioner
Technology
development for 38924294.89 38924294.89 59134989.07 59134989.07
refrigerator
Total 74710694.74 74710694.74 97177535.34 97177535.34
22. Goodwill
(1) Original value of goodwill
Formation Decrease this year
from Balance at
Invested enterprise Opening balance
enterprise Dispose Other year-end
merger
Hefei Meiling Group
3553367.773553367.77
Holdings Limited
278Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Formation Decrease this year
from Balance at
Invested enterprise Opening balance
enterprise Dispose Other year-end
merger
Total 3553367.77 3553367.77
(2) Impairment loss of goodwill
Increase this period Decrease this period
Invested enterprise Opening balance Ending balance
Accrual Other Accrual Other
Hefei Meiling Group Holdings
3553367.773553367.77
Limited
Total 3553367.77 3553367.77
23. Long-term prepaid expenses
Opening Increase this Amortization Other
Item Ending balance
balance period for the period decreases
Fixed assets
33216682.0712912594.0815025844.20331197.4430772234.51
overhaul
Rental plant
decoration 2308827.63 1215902.27 960192.18 2564537.72
project
Technical support
project of vaccine
172955.92172955.92
traceability date
interface
Total 35698465.62 14128496.35 16158992.30 331197.44 33336772.23
24. Deferred tax assets and deferred tax liabilities
(1) Deferred income tax assets without the offset
Ending balance Opening balance
Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference assets difference assets
Deduction of loss 360864560.75 54129684.11 575117840.02 86267676.00
Asset impairment
338637346.0751171867.09313597900.7547114940.66
provision
Lease liabilities 121116910.59 18556500.32 35460065.89 4786118.44
Changes in fair
156334600.7923450190.12323557.5048533.63
value
Deferred income 77980146.46 11697021.96 89179865.35 13376979.81
279Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Ending balance Opening balance
Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference assets difference assets
Estimated liability 44310978.00 6994965.59 31904790.39 4785718.56
Dismission
12394842.891859226.4413940576.252091086.44
welfare
Witholding
6624971.581387454.966464906.831367611.03
expenses
Deferred income tax
assets recognized for
51380204.587707030.68
development
expenditure
Total 1169644561.71 176953941.27 1065989502.98 159838664.57
(2) Deferred income tax liabilities without the offset
Ending balance Opening balance
Item Taxable temporary Deferred income tax Taxable temporary Deferred income tax
differences liability differences liability
Recognized by 143241777.44 21486266.61 72922565.81 10938384.87
changes in fair value
Right to use assets 112973204.23 17323066.27 35146281.21 4804068.40
Recognized by
fixed assets 35081399.76 5263260.42 25632968.47 3844945.25
depreciation
Total 291296381.43 44072593.30 133701815.49 19587398.52
(3) Details of unrecognized deferred income tax assets
Item Ending balance Opening balance
Deductible temporary difference 175445032.54 159322703.86
Deductible loss 204180133.57 258387040.61
Total 379625166.11 417709744.47
25. Other non-current assets
Amount at year-end Amount at year-begin
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Prepaid
276000.00276000.00
engineering
Prepaid
9704450.569704450.5615299373.8515299373.85
equipment
280Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount at year-end Amount at year-begin
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Warranty
money due
9623211.67530000.009093211.6711955960.50653720.0011302240.50
within one
year
Total 19603662.23 530000.00 19073662.23 27255334.35 653720.00 26601614.35
26.Assets with restricted ownership or use right
Restriction
Item Book Balance Book value Restriction information
type
Security deposit; Frozen for
Monetary funds 510680650.07 510680650.07 Frozen
litigation
Receivable Pledge for issuing bank acceptance
584233204.78 584233204.78 Pledge
financing bills
Total 1094913854.85 1094913854.85
(Continued from the table above)
Restriction
Item Book Balance Book value Restriction information
type
Monetary
440543697.92440543697.92
funds
Accounts freeze bond; Frozen due to litigation
receivable 997291535.93 997291535.93
financing
fixed assets pledge Used for issuing bank
478732601.33321209491.52
acceptance bills as collateral
intangible mortgage Apply for loan mortgage
415797056.93264252595.08
assets
Investment mortgage Apply for loan mortgage
5795017.723097441.68
real estate
total 2338159909.83 2026394762.13
27. Short-term loans
Category Ending balance Opening balance
Loan in credit 750608522.12 1128967080.14
Pledge loan 16000000.00
Guaranteed loan 5000000.00
Interest payable 138763.89 135338.89
281Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Category Ending balance Opening balance
Total 766747286.01 1134102419.03
28. Trading financial liability
Item Closing balance Opening balance
Trading
32229012.86
financial liability
Including:
Derivative 32229012.86
financial liability
Total 32229012.86
29. Derivative financial liabilities
project Closing balance Opening balance
forward
exchange 156359680.92
contract
total 156359680.92
30. Note payable
Type Balance at year-end Balance at year-begin
Bank acceptance 6418137195.82 5610344422.69
Trade acceptance 870829729.52
Commercial Acceptance Bill 645158510.31 300072867.42
Total 7934125435.65 5910417290.11
31. Account payable
(1) Detail
Item Amount at year-end Amount at year-begin
Within 1 year 6045137505.31 3811958127.23
Amount aged over 1 year 86883083.10 88566717.50
Total 6132020588.41 3900524844.73
(2) Major account payable with over one year book age at year-end.:N/A
32.Received in advance.
Category Amount at year-end Amount at year-begin
282Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Category Amount at year-end Amount at year-begin
Rent received in advance 11085.70 55949.90
Total 11085.70 55949.90
33. Contract liabilities
(1) Detail
Item Balance at year-end Balance at year-begin
Within 1 year 583600476.83 362934770.50
Over 1 year 26137394.41 42798867.76
Total 609737871.24 405733638.26
(2) Major contract liabilities with over one year book age at year-end.: N/A
(3) Amount and reasons for major changes in book value during the reporting period
Item Change amount Reason
Goods 204004232.98 Advance payment for goods increased
Total 204004232.98
34. Wages payable
(1) Detail
Balance at
Item Increase this year Decrease this year Balance at year-end
year-begin
Short-term 1930190966.10 1984122640.50
438369579.20384437904.80
compensation
After-service welfare- 148057949.72 148410427.62
defined contribution 1752993.49 1400515.59
plans
Dismiss welfare 4463322.29 5669237.45 6018202.67 4114357.07
Total 444585894.98
2083918153.272138551270.79389952777.46
(2) Short-term compensation
Balance at Balance at
Item Increase this year Decrease this year
year-begin year-end
Wages bonuses 1726001349.96 1781303808.76
allowances and 430145684.21 374843225.41
subsidies
283Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at Balance at
Item Increase this year Decrease this year
year-begin year-end
Welfare for
workers and 557735.88 54953299.76 54617192.77 893842.87
staff
Social
1701031.2163386832.9363630447.521457416.62
insurance
Including:
Medical 1671812.10 57958925.64 58196974.93 1433762.81
insurance
Work
injury 29219.11 5427907.29 5433472.59 23653.81
insurance
Housing
accumulation 5451792.24 78836424.65 78735630.00 5552586.89
fund
Labor union
expenditure
and
513335.667013058.805835561.451690833.01
personnel
education
expense
Total 438369579.20 1930190966.10 1984122640.50 384437904.80
(3) Defined contribution plans
Item Balance at year-begin Increase this year Decrease this year Balance at year-end
Basic endowment
598361.39142927254.43142810804.27714811.55
insurance
Unemployment
1154632.105130695.295599623.35685704.04
insurance
Total 1752993.49 148057949.72 148410427.62 1400515.59
35. Tax payable
Item Balance at year-end Balance at year-begin
Enterprise income tax 37295721.67 22442997.30
VAT 18736805.30 16639990.58
Individual income tax 10765426.61 9049531.30
Urban maintenance and
9332329.708813777.65
construction tax
284Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Balance at year-end Balance at year-begin
Educational surtax 6751533.75 6398148.77
Stamp tax 5165439.65 4295452.50
Real estate tax 4547226.68 4421430.56
Land use tax 1752087.81 1752087.77
Other local taxes 1524968.81 2971284.02
Treatment fund for abandon
16436695.00
electrics & electronics
Total 95871539.98 93221395.45
36. Other account payable
(1) Detail
Item Balance at year-end Balance at year-begin
Dividend payable 6005989.72 5384407.44
Other account payable 1025433422.81 882043954.97
Total 1031439412.53 887428362.41
(2)Dividend payable
Item Balance at year-end Balance at year-begin
China Life Insurance (Group) Company 43992.07 288404.82
The People’s Insurance Company (Group) of China
65987.57432607.23
Limited
Bank of Communications-Fuguo Tianyi Value
153697.50153697.50
Securities Investment Fund
Hefei Branch of Bank of China 631013.60 446576.60
Hefei Collective Industrial Association 631012.60 446575.90
Provincial trust and investment company Wuhu
504810.90357261.30
office
Other 3975475.48 3259284.09
Total 6005989.72 5384407.44
(3) Other account payable by nature
Nature Balance at year-end Balance at year-begin
Accrued expenses 503726134.42 382265202.45
Receivables received temporary and deducted
6356898.8013212983.35
temporary
285Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Nature Balance at year-end Balance at year-begin
Deposit margin 170587261.56 171636107.69
Related parties 312082468.47 285904610.83
Other 32680659.56 29025050.65
Total 1025433422.81 882043954.97
37. Non-current liability due within one year
Item Balance at year-end Balance at year-begin
Long-term loan principal and interest due within
9844660.0040172155.56
one year
Lease liabilities due within one year 19290504.68 6483257.35
Total 29135164.68 46655412.91
38. Other current liabilities
Item Balance at year-end Balance at year-begin
Tax to be resold 18610598.53 18920057.53
Factoring fees payable 5213790.97 218335.59
Supply chain bill reversal 38674.50
Total 23824389.50 19177067.62
39. Long term borrowings
Item Ending balance Amount at year-begin
Loan in mortgage 108000000.00
Total 108000000.00
40. Lease liability
Item Balance at year-end Balance at year-begin
Lease prepayment 119266218.75 34691151.02
Less：Unrecognized financing charges 17439812.84 5714342.48
Total 101826405.91 28976808.54
41. Long-term payable
(1) Detail
286Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Balance at year-end Balance at year-begin
Special payable 455409.20 800347.84
Total 455409.20 800347.84
(2) Special payable
Balance at
Item Increase this year Decrease this year Balance at year-end
year-begin
Special funds for technological
transformation from Zhongshan 800347.84 344938.64 455409.20
Changhong
Subtotal 800347.84 344938.64 455409.20
42. Long-term wage payable
Item Balance at year-end Balance at year-begin
Dismissal welfare 10195289.45 11497075.82
Total 10195289.45 11497075.82
43. Accrual liability
Item Balance at year-end Balance at year-begin
Product quality guarantee note1 41657177.57 29939918.07
Litigation matters note2 3373239.65 2114872.32
Total 45030417.22 32054790.39
Note 1: Product quality deposit is the maintenance expense provided by the Company under the
national policy.Note 2: In November 2021 Zhejiang Teruisi Pharmaceutical Inc. filed a lawsuit against Zhongke
Meiling for the "Cold Storage Design Equipment Purchase and Installation Construction
Contract". Currently quality of the subject under the contract is being authenticated by a third
party engineering quality appraisal agency the initial start-up operation test is now completed.Zhongke Meiling intends to maintain the cold storage project and the estimated maintenance cost
is 1720534.42 yuan.he management raised a total of 1652705.23 yuan against other operating
lawsuits
44. Deferred income
287Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at
Item Increase this year Decrease this year Balance at year-end Reason
year-begin
Subsidies of
Government
developmen 102040223.27 23346500.00 28234866.43 97151856.84
subsidies
t project
Subsidies of Government
30937271.062653950.0028283321.06
Relocation subsidies
Total 132977494.33 23346500.00 30888816.43 125435177.90
45. Share capital
Change during the period (+、-)
Item Opening balance Ending balance
New shares Bonus Shares transferred
Other Subtotal
issued share from capital reserve
Total
1029923715.001029923715.00
shares
46. Capital reserve
(1) Detail
Increase this
Item Opening balance Decrease this period Ending balance
period
Share premium 3077460366.37 375033242.38 2702427123.99
Other capital reserve 48043091.40 48043091.40
Total 3125503457.77 375033242.38 2750470215.39
(2) Other note
The change of capital reserve in this period is mainly due to the Company's acquisition of the
equity of its subsidiary Hefei Changhong Industry Co. Ltd. under the same control.
47. Other comprehensive income
Balance at Current Year Balance at
Item
year-begin Net after-tax amount of other comprehensive income Less: year-end
288Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)previousl
Less: y
written included
in other in other
compreh comprehe
ensive nsive
income Less income
Account in ： transferre
Belong to Belong to
before previous Inco d to
parent minority
income tax period me retained
company shareholder
in Current and tax earnings
after tax s after tax
Year carried expe in the
forward nses current
to gains period
and (after tax
losses in attributab
current le to the
period parent
company)
Reclassify
other
comprehensiv -20704362.05 -465244.39 -518057.63 52813.24 -21222419.68
e income into
profit or loss
Including:
Conversion
difference
arising from
-20704362.05-465244.39-518057.6352813.24-21222419.68
foreign
currency
financial
statement
Total -20704362.05 -465244.39 -518057.63 52813.24 -21222419.68
48.Special reserves
(1)Detail
Amount at
Item Increase this year Decrease this year Amount at year-end
year-begin
Safety production costs 11246811.91 40415747.60 30694385.92 20968173.59
Total 11246811.91 40415747.60 30694385.92 20968173.59
(2) Other note
Note: This year's increase refers to the work safety expenses accrued according to the notice
289Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)issued by the Ministry of Finance on November 21 2022 on printing and distributing the
Administrative Measures for the Extraction and Use of Work Safety Expenses of Enterprises (CZ
[2022] No.136).
49. Surplus reserves
(1) Detail
Decrease this
Item Amount at year-begin Increase this year Amount at year-end
year
Statutory surplus reserve 361445492.66 25400876.20 386846368.86
Discretionary surplus 115607702.16
115607702.16
reserve
Total 477053194.82 25400876.20 502454071.02
(2) Other note
The increase in this period is due to the statutory surplus reserve accrued by 10% of the parent
company's net profit.
50. Retained profit
(1) Detail
Item Current Year Last Year
Undistributed profit at the end of the previous
1521759836.64909082037.66
period before adjustment
Adjust the total amount of undistributed profits
-83444712.70-78068072.70
at the beginning of the period
Adjust the initial undistributed profits in the later
1438315123.94831013964.96
stage
Add: Net profit attributable to the owners of the 699270051.82
735828796.67
parent company for the current period
Less: withdraw of statutory surplus reserve 25400876.20 35834503.34
Withdraw of general risk provision
Dividend payable for ordinary shares 308977114.50 92693134.35
Balance at year-end 1803207185.06 1438315123.94
(2) Adjustment of the details of undistributed profits at the beginning of the period
The change of consolidation scope caused by the same control affects the undistributed profit
at the beginning of the period RMB -83444712.70.(II)Item notes of the consolidated profit statement
1. Operation income and operation cost
(1)Detail
Item Current Year Last Year
290Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Income Cost Income Cost
Main business 28335360230.42 25262724426.57 24128954793.41 20979329606.68
Other business 265675784.54 148550776.70 249019593.53 154946956.14
Total 28601036014.96 25411275203.27 24377974386.94 21134276562.82
(2) The decomposition information of operation income and operation cost
Current Year Last Year
Type
Income Cost Income Cost
Product
Including：
15407055870.2114334050593.1411566440523.5310553796367.40
Air-conditioning
Refrigerator
9560071716.638085319070.609088215517.677459217140.19
Freezer
Washing machine 1746832584.10 1444516804.89 1329017674.88 1103161215.02
Small household
appliances and
1491831582.421304824476.331849440139.121625597604.62
kitchen and
bathroom
Other product 129568477.06 94013481.61 295840938.21 237557279.45
Other business 265675784.54 148550776.70 249019593.53 154946956.14
Area
Including:
18352947530.7916206086697.4416772667160.1714534302232.34
Domestic
Overseas 10248088484.17 9205188505.83 7605307226.77 6599974330.48
Subtotal 28601036014.96 25411275203.27 24377974386.94 21134276562.82
(3)Information related to the transaction price allocated to the remaining performance obligations
On December 31 2024 the income corresponding to the performance obligations that have been
signed but not yet fulfilled or not yet fully fulfilled is RMB 74542459.76 of which RMB
74542459.76 is expected to be recognized in 2025.
2. Business tax and extra charges
Item Current Year Last Year
City construction tax 25914199.06 30631637.08
Real estate tax 25461294.25 25176737.11
Stamp duty 24703855.76 20280757.53
Education surcharge 19726338.56 23303329.57
Land use tax 9127558.32 9128146.80
291Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Year Last Year
Water fund 7737529.88 7728166.29
Treatment fund for abandon electrics &
83956488.00
electronics
Other 72125.15 22551.89
Total 112742900.98 200227814.27
3. Sales expense
Item Current Year Last Year
Salary extra charges and labor service
576155784.54652507519.61
expenses
Market support expenses 351459135.82 299985325.55
Shipping and Installation expense 185363073.10 170138310.70
Storage lease expenses 129398876.12 99071460.40
Insurance 49096523.31 34655440.67
Travelling expenses 27486626.86 28183664.81
Three fee 15860631.14 32226527.64
Business activity expenses 15368031.16 16818583.84
Vehicle expenses 14708517.19 13438130.42
Service 8789029.44 16695232.90
Depreciation expenses 7844732.52 8123955.41
Other 95623082.18 51943866.77
Total 1477154043.38 1423788018.72
4. Administration expense
Item Current Year Last Year
Salary and social insurance etc. 198437769.99 234911595.10
Depreciation 45919238.84 45622889.34
Software use 22466676.77 12408011.23
Water and electricity fee 9289865.46 6526175.82
Employment guarantee fund for the
8447278.237230460.80
disabled
Service 8312503.04 6004749.22
292Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Year Last Year
Property insurance 7188254.55 6220209.31
Other low-value consumables
6003814.881087977.03
amortization
Engineering maintenance fee 5994580.74 3547756.90
Safety in production 5079502.47 4936056.08
Domestic travelling fee 4070311.00 3868355.25
Other 38462744.23 39566649.36
Total 359672540.20 371930885.44
5. R&D expenses
Item Current Year Last Year
Salary and social insurance etc. 268361918.57 289259184.48
Amortized intangible assets 196665452.62 175442949.00
Trial fee of R&D 90943254.33 76386928.59
Inspection and authentication fee 18549348.84 17003613.90
Other expenses 62722259.47 39436679.87
Total 637242233.83 597529355.84
6. Financial expenses
Item Current Year Last Year
Interest expenditure 21059820.87 31212055.56
Less: Interest income 182415110.59 193136304.82
Add: exchange loss 670047.10 54126655.77
Discount expenditure -27355384.73 -27110900.70
Handling fee expenditure 16017052.87 13591856.02
Interest expense on lease liability 3480179.14 866829.13
Total -168543395.34 -120449809.04
7. Other income
Amount included in
Amount of the same
Item Current amount current non-recurring
period last year
gains and losses
Government subsidies related to
31233755.0730780817.5831233755.07
assets
293Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount included in
Amount of the same
Item Current amount current non-recurring
period last year
gains and losses
Government subsidies related to
63679326.8349409103.1463679326.83
income
Refund of handling fee for personal
767204.01515213.04
income tax withheld
Additional VAT deduction 92050712.81 56552366.70
VAT will be refunded upon
8340088.829415201.81
collection
Total 196071087.54 146672702.27 94913081.90
8. Investment income
Item Current Year Last Year
Long-term equity investment income by equity method 9165103.88 19133884.40
Disposition of the investment income generated by the
22760.28
long-term equity investment
Investment income of other non-current financial assets during
14911850.5512932690.90
holding period
Investment income obtained from the disposal of trading 35122865.42
-21761889.37
financial assets
Investment income obtained from disposal of derivative -17541274.69
financial assets
Interest income from debt investment during the holding period 32712969.75 20057997.72
The termination of income recognition for financial assets
-38661658.21-22489932.70
measured by amortized cost
Total 35709856.70 7895511.23
9. Changes in fair value gains
Item Current Period Last Period
Trading financial assets -18695483.36
Including :Income of fair value changes from derivative
-18695483.36
financial instruments
Derivative financial assets 32773626.80
Among them: Income from fair value changes 32773626.80
generated by derivative financial instruments
Trading financial liability 9732511.92
Including: Income of fair value changes from derivative
9732511.92
financial instruments
294Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Period Last Period
Derivative financial liabilities -124130668.06
Among them: Income from fair value changes -124130668.06
generated by derivative financial instruments
Other non-current financial assets measured at fair 4172388.96
16256733.17
value
Including : Amount of change in the fair value of the 4172388.96
current profit and loss of the non-trading equity 16256733.17
instruments
Total -87184652.30 7293761.73
10. Credit impairment loss
Item Current Year Last Year
Account receivable bad debt loss 14993351.76 -81390317.77
Other account receivable bad debt loss -91570.95 -78256.93
Total 14901780.81 -81468574.70
11. Assets impairment loss
Item Current Period Last Period
Loss on inventory valuation -96363207.80 -36533558.64
Impairment loss on intangible assets -15750561.72 -18200119.46
Long-term equity investment impairment loss -3097405.00
Development expense impairment loss -1530365.17
Impairment loss on contractual assets 94761.06 -500429.38
Other impairment losses of non-current assets 63720.00
Total -116583058.63 -55234107.48
12. Income from assets disposal
Item Current Period Last Period
Income from non-current assets disposal 160661.55 1880089.33
Including: income classify to assets ready for sale 160661.55 1880089.33
Income from the disposal of the right to use the assets 427769.09 73793.22
Income from fixed assets disposal -267107.54 1806296.11
295Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Period Last Period
Income from non-current assets disposal 160661.55 1880089.33
Including: income classify to assets ready for sale 160661.55 1880089.33
Total 160661.55 1880089.33
13.Non-operation revenue
Amount reckoned into
non-recurring
Item Current Period Last Period
gains/losses in Current
Period
Income of penalty 2820099.56 6392175.77 2820099.56
other 8118363.30 8680043.24 8118363.30
Total 10938462.86 15072219.01 10938462.86
14. Non-operating expenditure
Amount reckoned into
non-recurring
Item Current Period Last Period
gains/losses in Current
Period
Non-current asset retirement losses 4336902.78 5218522.66 4336902.78
Public welfare donation expenditure 934781.74 1106759.24 934781.74
Other 6657178.71 2042193.27 6657178.71
Total 11928863.23 8367475.17 11928863.23
15. Income tax expenses
Item Current Year Last Year
Current income tax 81540342.99 32617426.64
Deferred income Tax 7369918.08 3804926.17
Total 88910261.07 36422352.81
16. Other comprehensive income
Found more in 47. Other comprehensive income in V
(III) Items of cash flow statement
(1) Cash related to business activities
1) Cash received from other activities relating to operation
Item Current Year Last Year
Government subsidy and rewards 86323429.01 54092201.06
296Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Year Last Year
Cash deposit deposit 21680522.40 37414693.10
Other 25491569.43 19750100.33
Total 133495520.84 111256994.49
(2) Cash paid for other activities relating to operation
Item Current Year Last Year
Operating out of cash expenses 1087578839.60 699585416.82
Petty cash deposit Cash deposit 46413594.48 65400113.95
Total 1133992434.08 764985530.77
(2) Cash related to Investment activities
1) Important cash received related to investment activities
Item Current Period Last Period
Structural deposits 13070000000.00 1120000000.00
Large deposit certificate 220000000.00 170000000.00
Total 13290000000.00 1290000000.00
(2) Important cash payable related to investment activities
Item Current Period Last Period
Structural deposits 13070000000.00 1120000000.00
Large deposit certificate 872862222.20 360000000.00
Total 13942862222.20 1480000000.00
(3) Cash received from other activities relating to investment
Item Current Period Last Period
Interest income arising from bank savings 177500877.49 190340378.30
Capital collection 17129427.73 119615832.70
Cash deposit 1706624.53 1194923.87
Income of forward exchange settlement 65593.68
Total 196402523.43 311151134.87
(4) Cash paid for other activities relating to investment
Item Current Period Last Period
Loses of forward exchange settlement 21299366.89 116011395.99
Bid bond refund 500000.00
297Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Period Last Period
Total 21299366.89 116511395.99
( 3) Cash related to financing activities
1) Cash received from other activities relating to financing
Item Current Year Last Year
Recover restricted funds 16831731.38 356794918.15
Meiling series (internal) bill discounting fundraising 229647515.53 19497591.35
Total 246479246.91 376292509.50
2) Cash paid for other activities relating to financing
Item Current Year Last Year
Turn into limited funds 86968683.53 71212010.57
Distribusigned to shareholders at the time of cancellation 14470087.35 8257294.29
Lease liability principal and interest 8361366.02 9788959.46
Dividend service charge 230889.27 65600.34
Other 250000.00
Total 110281026.17 89323864.66
4. Supplementary of the consolidated cash flow statement
Supplementary Current Period Last Period
1. Net profit is adjusted to cash flow of operation activities:
Net profit 724667502.87 767993332.30
Add: provision for depreciation of assets 116583058.63 55234107.48
Credit impairment provision -14901780.81 81468574.70
Depreciation of fixed assets consumption of oil gas assets and
264209453.01248036737.69
depreciation of productive biological assets
Amortization of intangible assets 150120886.39 149895749.73
Amortization of long-term retained expense 16158992.30 9199217.86
Loss from disposal of fixed assets intangible assets and other -1880089.33
-160661.55
long term assets (gain is listed with “-”)
Loss from discarding fixed assets as useless (gain is listed 5081404.15
4103076.53
with “-”)
Loss from change of fair value (gain is listed with “-”) 87184652.30 -7293761.73
Financial expense (gain is listed with “-”) -157205062.67 -105597302.07
298Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Supplementary Current Period Last Period
Investment loss (gain is listed with “-”) -35709856.70 -8966008.84
Decrease of deferred income tax assets (increase is listed with
-17115276.701727030.73
“-”)
Increase of deferred income tax liabilities (decrease is listed
24485194.782077895.44
with “-”)
Decrease of inventories (increase is listed with “-”) -1588581308.69 -296195160.51
Decrease of operational accounts receivable (increase is listed
186215213.84-758811422.19
with “-”)
Increase of operational accounts receivable (decrease is listed
4210203134.431930939125.06
with “-”)
Other
Net cash flow arising from operation activities 3970257217.96 2072909430.47
2. Major investment and financing activities that do not
involve cash receipts:
Conversion of debt into capital
Switching Company bonds due within one year
New right to use assets
3. Net change in cash and cash equivalents:
Balance at period-end of cash 9976098734.11 8391177936.62
Less: Opening balance of cash 8391177936.62 6120396888.04
Add: Balance at period-end of cash equivalents
Less: Opening balance of cash equivalents
Net increase in cash and cash equivalents 1584920797.49 2270781048.58
5. Cash and cash equivalent
(1) Detail
Item Current Period Last Period
1) Cash 9976098734.11 8391177936.62
Including: cash in stock 19623.13 15600.68
Bank deposits available for payment at any time. 9974662103.93 8387434041.46
Other monetary fund available for payment at any time 1417007.05 3728294.48
2) Cash equivalents
299Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Current Period Last Period
Including: bond investment due within 3 months
Balance of cash and cash equivalents at period-end 9976098734.11 8391177936.62
(2) Monetary funds that are not cash and cash equivalents
Reasons other than
Item This year's amount Last year's amount cash and cash
equivalents
Judicial freezing of funds due to contract
504942490.94 412827872.71 Limited use
disputes
Guarantee and acceptance bill deposit 5738159.13 27715825.21 Limited use
Interest receivable 5671366.43 10901601.18 Interest accrual
Total 516352016.50 451445299.10
6. Changes in liabilities arising from fund-raising activities
Increase this year Decrease in the year
Amount at Amount at year
Item
year-begin Non cash Cash changes Non cash changes Cash changes end
changes
Short-term 1134102419.03 2346263587.01 8871602.37 2722489371.00 951.40 766747286.01
Long-term
148172155.5610000000.00135116.92148462612.489844660.00
loans
Lease
35460065.89115123187.688361366.0221104976.96121116910.59
liabilities
Dividend
5384407.44347853265.05347231682.776005989.72
payable
Subtotal 1323119047.92 2356263587.01 471983172.02 3226545032.27 21105928.36 903714846.32
7. Statement of cash flow in net amount
Basis for adopting net
Item Relevant facts Financial impact
presentation
As a legal entity the Company reports the
gains or losses of foreign exchange contract
Forward foreign The reported information is more
delivery to the receipt of other cash related No
exchange delivery intuitive
to investment activities and the payment of
other cash related to investment activities
As a legal entity the Company reports the
current year's change of restricted funds to
Restricted funds the receipt of other cash related to Rolling reflection No
fundraising activities and the payment of
other cash related to fundraising activities
300Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Basis for adopting net
Item Relevant facts Financial impact
presentation
As a legal entity the Company reclassifies
the current year's change in Meiling
(internal) notes discount undue from cash
Meiling (internal) received from sales of goods service
notes discount provision/cash paid from purchase of Rolling reflection No
goods and receipt of services to other
fundraising amount
received cash related to fund-raising
activities/other paid cash related to
fundraising activities
8. It does not involve the current cash receipts and payments but affects the financial situation of
the enterprise or may affect the cash flow of the enterprise in the future
N/A
(IV)Other
1. Foreign currency
(1) Detail
Ending foreign currency Exchange Ending RMB converted
Item
balance rate balance
Monetary fund 417983789.41
Including: USD 30492303.47 7.1884 219190874.26
Euro 16271655.23 7.5257 122455595.76
AUD 5436976.88 4.5070 24504454.80
PKR 1100078112.61 0.0258 28409517.26
IDR 40026618584.00 0.000451 18052004.98
Won 983088756.00 0.004938 4854492.28
PHP 4158018.92 0.1243 516850.07
Account receivable 1304756472.57
Including: USD 112606719.14 7.1884 809462139.87
Euro 17259951.25 7.5257 129893215.12
AUD 21965383.89 4.5070 98997985.19
HKD 125183875.84 0.9260 115920269.03
PKR 392500262.03 0.0258 10136319.27
301Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Ending foreign currency Exchange Ending RMB converted
Item
balance rate balance
IDR 221379247642.96 0.000451 99842040.69
Won 3481016998.00 0.004938 17189261.94
PHP 187569318.78 0.1243 23315241.46
Other account receivable 1806114.89
Including: USD 200000.00 7.1884 1437680.00
PKR 4890883.07 0.0258 126307.06
IDR 255496000.00 0.000451 115228.70
PHP 1020893.70 0.1243 126899.13
Account payable 79388986.73
Including: USD 7558.56 7.1884 54333.95
PKR 742849280.85 0.0258 19184082.68
IDR 96728874373.00 0.000451 43624722.34
PHP 132949170.22 0.1243 16525847.76
(2) Description of overseas business entities
Whether the Reason
Main place of
Name of overseas company Recording currency recording currency of
business
changes change
CHMeilingInternational(Philippines)
Philippines Philippine peso No
Inc.ChanghongRubaTradingCompany Lahore
PKR No（Private）Limited Pakistan
CHANGHONGMEILINGELECTRI
Indonesia IDR No
CINDONESIAPT
2. Lease
（1）The Company as lessee
1) Please refer to Note V (I) 18 to the financial statements for details about the right-to-use
assets.
2) The amount of lease expenses included in the current profits and losses is as follows:
Amount of the same
Item Current amount
period last year
Interest expense of lease liabilities 3480179.14 866829.13
Short-term lease expense 8899819.70 10020995.84
302Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)The Company's accounting policies for short-term lease and low-value asset lease are detailed
in Note III (XXXIII) to the financial statements.
3) The total cash outflow related to lease is RMB 16533558.16.
4) For details of the maturity analysis of lease liabilities and the corresponding liquidity risk
management please refer to the description of Note IX (II) to the financial statements.
（2）The Company as lessor
1）Operating lease of the Company as lessor
Amount of the same
Item Current amount
period last year
Lease income 42904760.57 49331981.60
For details of operating leased-out fixed assets please refer to Note V (I) 17 of the financial
statements.
2) Financial lease
The Company has no financial lease as a lessor
3) The Company does not recognize the profit and loss of financial lease sales as a
manufacturer or distributor.
3. Supplier financing arrangement
(1) Terms and conditions of supplier financing arrangements
Types of supplier financing
Terms and conditions
arrangements
The supplier handles the financing business with Yuanxin Financial Leasing
Financing business Co. Ltd. according to the bills issued by the Company discounts the relevant
bills and shortens the payment period
(2) Liabilities related to supplier financing arrangements
1) Book value of related liabilities
Item Ending amount Opening amount
Accounts payable 185567424.38 133021074.80
In which: the supplier has received the payment 185567424.38 133021074.80
Subtotal 185567424.38 133021074.80
2) Maturity date range for related liabilities
Item Maturity date range of final payment
Liabilities belonging to financing arrangements 1-6 months after the invoice is issued
303Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)VI.R&D expenditure
(I) R&D expenditure
Amount incurred this Amount incurred last
Item
year year
Salary and social insurance etc. 290438820.29 333204514.37
Amortized intangible assets 128863813.35 128124567.42
Cost of mould 138699736.02 93918099.78
Trial fee of R&D 90611055.62 83379401.74
Technical development cost 70128627.53 26648055.81
Depreciation 27268033.15 20217498.97
Inspection and authentication fee 28187701.47 19974458.24
Domestic travel expenses 4367990.30 3760534.31
Other 66098532.36 36123499.16
Total 844664310.09 745350629.80
Including: expensed R&D expenditure 637242233.83 597529355.84
Capitalized R&D expenditure 207422076.26 147821273.96
(II) Development expenditure
1. Changes of opening and ending balance of development expenditure
Increase in this period Decrease in this period
Opening Recognized Transferred Internal Ending Item
balance as to current development Others Others balance
intangible profits and
expenditure
assets losses
Development
of air 158680478.8
38042546.27156424332.4735786399.85
conditioning 9
technology
Development
of ice
59134989.0750997743.7969677318.551531119.4238924294.89
washing
technology
228357797.4
Total 97177535.34 207422076.26 1531119.42 74710694.74
4
2. Impairment of development expenditure
Changes in impairment provision for development expenditure
304Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Increase in this period Decrease in this period
Opening
Item Ending amount
amount Disposal or Accrual Others Others
scrapping
Development of
ice washing 1530365.17 1530365.17
technology
Subtotal 1530365.17 1530365.17
VII. Changes of consolidation rage
1. Enterprise combined are not under the same control
1.) Business merger under the same control in this period
Proportion of rights
and interests Basis for forming business
Name of merged Basis for determining
obtained in business merger under the same control Merger date
party the merger date
merger
Hefei Changhong Under the control of Sichuan
100.00% 2024-11-20 Equity change
Industry Co. Ltd. Changhong Electric Co.Ltd.
（Continued）
Net profit of the
Income of the merged party from
Income of the
merged party from the beginning of the
merged party during Net profit of the merged party
Name of merged the beginning of the current merger
the comparison during the comparison period
party current merger period to the merger
period
period to the merger date
date
Hefei Changhong
23789354.601918902.01130078151.73-4840697.26
Industry Co. Ltd.
2. Merger cost
Merger cost 375033242.38
Cash 375033242.38
3. Book value of the assets and liabilities of the merged party on the merger date
(1) Detail
Hefei Changhong Industry Co. Ltd.Item
Merger date End of last period
Assets 245444834.36 264664633.71
305Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Hefei Changhong Industry Co. Ltd.Item
Merger date End of last period
Monetary fund 30542227.43 1937710.01
Account receivable 26842753.96 46604860.24
Financing receivable 254932.58
Advance payment 4512.15 60355.39
Other receivable 1359651.17 17206067.73
Contract assets 50000.00 50000.00
Fixed assets 144106028.05 154864143.52
Intangible assets 42539661.60 43686564.24
Liabilities 8527632.82 29666334.18
Not payable 6285132.71
Account payable 3802278.48 18220935.84
Advance received 420478.56
Contract liabilities 3439.36 34882.24
Salary payable to staff and worker 709255.59 973678.42
Taxes payable 809721.27 1303643.74
Other payable 2782021.01 2763641.11
Other current liabilities 438.55 4526.12
Long-term employee remuneration payable 79894.00
Net assets 236917201.54 234998299.53
Less：Minority equity
Net assets obtained 236917201.54 234998299.53
(2) Changes in the scope of merger due to other reasons
1. Increase in the scope of merger
Amount of capital
Mode of equity Time of equity Ratio of contribution
Name of company contribution (RMB
acquisition acquisition (%)
'0000)
Sichuan Changhong
Intelligent Air
New March 26 2024 10000.00 100.00
Conditioning Technology
Co. Ltd.
306Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)VIII. Equity in other entity
(I) Composition of enterprise groups
1. The Company included 24 subsidiaries including Zhongke Meiling Cryogenics Technology
Co. Ltd. Sichuan Changhong Air Conditioning Co. Ltd. and Zhongshan Changhong Electric
Co.Ltd. into the scope of consolidated financial statements.
2. Basic information of subsidiaries
Main place Shareholding ratio (%)
Registered
of business Business Acquisitio
Name of subsidiary capital (RMB
and place of nature
'0000) Direct Indirect
n method
registration
Funded
Jiangxi Meiling Electric Jingdezhen Manufacture
5000.00 98.75 1.25 establishm
Appliance Co. Ltd. Jiangxi and sale
ent
Funded
Mianyang Meiling Manufacturin
10000.00 Mianyang 95.00 5.00 establishm
Refrigeration Co. Ltd. g and sales
ent
Zhongke Meiling Funded
Manufacturin
Cryogenic Technology 9673.09 Hefei 47.4512 establishm
g and sales
Co. Ltd ent
Funded
Anhui Tuoxing Technology
1000.00 Hefei 47.4512 establishm
Technology Co. Ltd. R & D
ent
Funded
Anhui Ling'an Medical Manufacturing
5000.00 Lu'an 47.4512 establishm
Equipment Co. Lt and sales
ent
Enterprise
Sichuan Changhong combined
Manufacturing
Air-conditioner Co. 85000.00 Mianyang 100.00 under the
and sales
Ltd same
control
Funded
Ground Energy Heat Manufacturing
5000.00 Mianyang 85.00 establishm
Pump Tech. Co. Ltd. and sales
ent
Ground Energy Heat Funded
Manufacturing
Pump Tech. 4500.00 Zhongshan 85.00 establishm
and sales
(Zhongshan) Co. Ltd. ent
Sichuan Changhongi Funded
Manufacturing
Intelligent Technology 10000.00 Mianyang 100.00 establishm
and sales
Co. Ltd. ent
Zhongshan Changhong Manufacturin Enterprise
33400.00 Zhongshan 90.00 10.00
Electric Co. Ltd g and sales combined
307Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Main place Shareholding ratio (%)
Registered
of business Business Acquisitio
Name of subsidiary capital (RMB
and place of nature Direct Indirect n method '0000)
registration
under the
same
control
Changhong Ruba Funded
Trading Company 8308.98 Pakistan Sales 60.00 establishm
(Private)Limited ent
Funded
Changhong Meiling
4027.20 Jakata Sales 100.00 establishm
Electric IndonesiaPT
ent
Funded
Guangzhou Changhong
100.00 Zhuangzhou Sales 100.00 establishm
Trading Co. Ltd.ent
Enterprise
Changhong Meiling combined
Manufacturing
Ridian Technology Co. 8300.00 Zhongshan 99.0361 under the
and sales
Ltd same
control
Hebei Hongmao Daily Funded
Manufacturing
Appliance Technology 500.00 Handan 99.0361 establishm
and sales
Co. Ltd ent
Funded
Hefei Meiling Group
8000.00 Hefei Sales 100.00 establishm
Holdings Limited
ent
Enterprise
Hefei Meiling combined
Manufacturing
Nonferrous Metal 2428.68 Hefei 100.00 not under
and sales
Products Co. Ltd the same
control
Enterprise
Meiling Equator combined
Manufacturin
Appliance（Hefei）Co. 2479.31 Hefei 100.00 not under
g and sales
Ltd. the same
control
Enterprise
combined
Meiling Equator Manufacturin
1200.00 Hefei 100.00 not under
Appliance Co. Ltd. g and sales
the same
control
Hefei Meiling Wulian Software Funded
1000.00 Hefei 100.00
Technology Co. Ltd. Developme establishm
308Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Main place Shareholding ratio (%)
Registered
of business Business Acquisitio
Name of subsidiary capital (RMB
and place of nature n method
'0000) Direct Indirect
registration
nt ent
CH-Meiling Funded
International 688.91 Philippine Sales 100.00 establishm
(Philippines) Inc. ent
Hefei Changhong Funded
Meiling Life 5000.00 Hefei Sale 70.00 establishm
Appliances Co. Ltd. ent
Sichuan Hngmei Software Funded
Intelligent Technology 500.00 Mianyang Developme 100.00 establishm
Co. Ltd nt ent
Enterprise
combined
Hefei Changhong Manufacturin
10000.00 Hefei 99.00 1.00 under the
Industrial Co. ltd. g and sales
same
control
3. Other note
(1) Basis for holding half or less voting rights but still controlling the investee and holding
more than half voting rights but not controlling the investee
The Company holds 47.4512% equity of Zhongke Meiling and is its largest shareholder. In
addition to independent directors the Board of Directors of Zhongke Meiling comprises a total of
three members of which Chairman Wu Dinggang just serves as the chairman of the controlling
shareholder Changhong Meiling and Director Zhong Ming serves as the director and member of
Changhong Meiling which controls the daily operation of Zhongke Meiling.
(2) Major non-wholly-owned subsidiary
1. Detail
Gains/losses Dividend distributed
Shareholding ratio of attributable to to minority Balance of minority’s
Subsidiary
minority minority in Current announced in Current interest at period-end
Period Period
Zhongke Meiling
Ground Energy 15.00% 1152690.17 11138843.47
Ridian Technology 0.9639% -176968.07 1187703.07
Meiling Life Appliances 30.00% 11824916.21 53762971.03
309Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
2. Financial information for major non-wholly-owned subsidiary
(1) Asset and Liabilities
Ending balance
Subsidiary Non-current
Current assets Non-current assets Total assets Current liability Total liabilities
liability
Zhongke
616938129.16128338295.37745276424.53125597564.667937753.69133535318.35
Meiling
Ground
659779005.79119097321.45778876327.24634669777.1369947593.70704617370.83
Energy
Ridian
203569313.3535669577.14239238890.49114766806.02946297.67115713103.69
Technology
Meiling Life
626279605.7753468923.29679748529.06497055436.733483188.91500538625.64
Appliances
（Continued）
Opening balance
Subsidiary Non-current Non-current
Current assets Total assets Current liability Total liabilities
assets liability
Zhongke
590872333.93143608411.32734480745.25120874302.4412086470.45132960772.89
Meiling
Ground
256060078.7627234236.22283294314.98216616587.412400.97216618988.38
Energy
Ridian
226657040.8240283953.89266940994.71125655866.42292501.04125948367.46
Technology
Meiling Life
621873116.90613240.68622486357.58481523383.111169458.41482692841.52
Appliances
(2) Profit and loss and cash flow situation
Current Period
Subsidiary Total comprehensive Cash flow from
Operation income Net profit
income operation activity
Zhongke Meiling 295773281.94 18087029.57 18087029.57 25513232.80
Ground Energy 1576880674.39 7684601.11 7684601.11 50051754.93
Ridian Technology 140493379.04 -18360438.04 -18360438.04 -154927.16
Meiling Life
1335609757.7339416387.3639416387.3640668906.07
Appliances
(Continued)
Last Period
Subsidiary Total comprehensive Cash flow from
Operation income Net profit
income operation activity
310Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Last Period
Subsidiary Total comprehensive Cash flow from
Operation income Net profit
income operation activity
Zhongke Meiling 302800718.15 16126507.82 16126507.82 -9706149.56
Ground Energy 564892721.56 15842650.38 15842650.38 56039000.87
Ridian Technology 238871773.09 2116223.21 2116223.21 14725141.77
Meiling Life
1660852475.7757607898.9357607898.9377583337.61
Appliances
3. Equity in joint venture or associate enterprise
(1) Major joint venture or associate enterprise
Shareholding
MainJoint venture or Register Business ratio（%) Accounting treatment foroffice investment of joint venture or
associate enterprise place nature Directl Indirec associate enterprise
place
y tly
Sichuan Zhiyijia
Network
Mianyang Mianyang Sales 50.00 Equity
Technology Co.Ltd.
2. Financial information for major Joint venture
Sichuan Zhiyijia Network Technology Co. Ltd.Item Balance at year-end/Current
Balance at year-begin /Last Year
Year
Current assets 2007299998.18 2466521759.37
Non-current assets 20768579.44 18519147.09
Total assets 2028068577.62 2485040906.46
Current liability 1902969573.01 2343467271.81
Non-current liability 6391421.04 5509063.82
Total liabilities 1909360994.05 2348976335.63
Minority's interest
Equity attributable to shareholder of parent
118707583.57136064570.83
company
Share of net assets measured by
59353791.7968032285.42
shareholding
Adjustment 821877.28 821877.28
311Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Sichuan Zhiyijia Network Technology Co. Ltd.Item Balance at year-end/Current
Balance at year-begin /Last Year
Year
--Goodwill 821877.28 821877.28
Book value of the equity investment for
60175669.0768854162.70
associate enterprise
Fair value of equity investment for the
affiliates with consideration publicly
Operation income 481211169.61 509222643.15
Net profit 16537997.96 37428167.10
Net profit from the termination of the
business operations
Other comprehensive income
Total comprehensive income 16537997.96 37428167.10
Dividend received from associate
5097740.911629022.64
enterprise in Current Year
3. Financial summary for non-important Joint venture and associate enterprise
Balance at Balance at year-begin /Last
Item
year-end/Current Year Year
Associated companies：
Total book value of investment 21335477.75 43891649.05
Total amount measured by shareholding ratio
--Net profit -3204885.32 -28901875.68
--Other comprehensive income -733111.33 7663003.10
-- Total comprehensive income -3937996.65 -21238872.58
4. Excess loss occurred in joint venture or affiliates
Hefei Meiling Solar Energy Technology Co. Ltd and
ChanghongRubaElectricCompany(Private)Ltd have losses above the quota.IX.Government subsidies
(I) New government subsidies in this period
Item New subsidy amount in this period
Government subsidies related to assets 23346500.00
Of which: included in deferred income 23346500.00
Government subsidies related to income 72019415.65
312Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item New subsidy amount in this period
In which: included in other income 72019415.65
Total 95365915.65
(2) Liabilities involving government subsidies
Amount included
Amount included
Increase in this in non-operating
Items presented in in other income in
Opening amount period income in this
financial statements this period
Subsidy amount period
Deferred income 132977494.33 23346500.00 30888816.43
Subtotal 132977494.33 23346500.00 30888816.43
Continued
Amount
Amount of of assets
Items presented in Other
cost offset in written Ending amount Assets/income-related
financial statements changes
this period off in this
period
Deferred income 125435177.90 Asset-related
Subtotal 125435177.90
(3) Amount of government subsidies included in the current profits and losses
Amount of the same
Item Current amount
period last year
Other income 103253170.72 89605122.53
Financial expenses 42100.00
Total 103253170.72 89647222.53
(4) Government subsidies returned in this period
Item Returned amount Return reason
Return of incentive funds for promoting new
industrialization policy in the Hefei Economic Zone 30000.00 Issue error notified to return
in 2019
Following personnel dismissal
Return of partial prepaid subsidy funds for the new
187500.00 resulting in a decrease in
apprenticeship training of enterprises in 2021
subsidies
Total 217500.00
X. Relevant risks related with financial instrument
313Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)The main financial instruments of our company include loans accounts receivable accounts payable
trading financial assets derivative financial assets trading financial liabilities derivative financial
liabilities etc Trading financial liability the details of which are set out in Note V.Risks related to
these financial instruments include exchange risks and interest rate risks. The management of the
Company controls and monitors the risk exposures to ensure the above risks are under control.
1. Various risk management objectives and policies
The Company's goal in risk management is to strike a proper balance between risks and benefits reduce
the negative impact of risks on the Company's operating performance to the lowest level and maximize
the interests of shareholders and other equity investors. Based on this risk management goal the basic
strategy of the Company's risk management is to identify and analyze all kinds of risks faced by the
Company establish an appropriate risk tolerance bottom line and conduct risk management and timely
and reliably supervise all kinds of risks to control the risks within a limited range.
(1) Market risk
1) Exchange rate risk
The Company pays close attention to the impact of exchange rate changes on the Company. The
Company attaches great importance to the study of exchange rate risk management policies and
strategies. In order to avoid the exchange rate risk of foreign currency payment and foreign currency
collection and settlement income the Company has signed several forward foreign exchange contracts
with banks. The fair value of forward foreign exchange contracts recognized as derivative financial
instruments on December 312024 is RMB -84349606.49. Changes in the fair value of derivative
financial instruments have been included in the profit and loss and the relevant contents of "V. 9 Income
from changes in fair value" in this note. In the meantime with the constant change in the share of the
international market if there are risks beyond the control of the Company such as unilateral large
changes in the RMB exchange rate the Company will reduce the risks by adjusting the sales or
purchasing strategies.
2) Interest rate risk
The Company's interest rate risk arises from bank loans and interest-bearing debts. Financial liabilities
with floating interest rate expose the Company to cash flow interest rate risk while financial liabilities
with fixed interest rate expose the Company to fair value interest rate risk. The Company decides the
relative proportion of fixed interest rate and floating interest rate contracts according to the market
environment at that time. On December 312024 the Company's interest-bearing debts were mainly the
fixed-rate loan contracts denominated in RMB with a total amount of RMB776591946.01; The
Company's risk of changes in the fair value of financial instruments due to changes in interest rates is
314Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)mainly related to fixed-rate bank loans. The Company's risk of cash flow changes of financial
instruments caused by interest rate changes is mainly related to floating interest rate bank loans. The
Company pays close attention to the impact of this part of interest rate changes on the Company and
attaches importance to the study of interest rate risk management policies and strategies.
(2) Credit risk
On December 31n2024 the biggest credit risk exposure that may cause the financial loss of the
Company mainly comes from the loss of the Company's financial assets caused by the failure of the other
party to the contract and the financial guarantee undertaken by the Company including: the book amount
of the financial assets recognized in the consolidated balance sheet; For financial instruments measured
at fair value the book value reflects their risk exposure but not the maximum risk exposure and its
maximum risk exposure will change with the change of fair value in the future. In order to reduce the
credit risk the Company set up a special department to determine the credit line conduct credit approval
and implement other monitoring procedures to ensure that necessary measures are taken to recover
overdue creditor's rights. Meanwhile the Company tries to reduce the impact of credit default of
creditor's rights by purchasing credit insurance. In addition the Company reviews the recovery of each
single receivable on each balance sheet date to ensure that sufficient bad debt provision is made for
unrecoverable funds. Therefore the management of the Company believes that the credit risk assumed
by the Company has been greatly reduced. The Company's working capital is deposited in the finance
company so the credit risk of working capital is low. The Company has adopted necessary policies to
ensure that all sales customers have good credit records. The total amount of the top five accounts
receivable is RMB 587980658.36 accounting for 31.76% of the accounts receivable at the end of the
year which is dependent on major customers. Except for the top five accounts receivable the Company
has no other major credit risks.
(3) Liquidity risk
Liquidity risk is the risk that the Company cannot fulfill its financial obligations on the due date. The
Company's method of managing liquidity risk is to ensure that there is enough financial liquidity to fulfill
the due debts through capital plan management without causing unacceptable losses or damaging the
reputation of the company. According to the requirements of the capital plan cycle the Company makes a
capital plan in advance to ensure that there is sufficient capital when the debt is due. The management of
the Company monitors the use of bank loans and ensures compliance with the loan agreement. In the
meantime it conducts financing negotiations with financial institutions to maintain a certain credit line
and reduce liquidity risk.Financial liabilities are classified by remaining maturity date
Item Ending amount
315Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Undiscounted contract
Book value Within 1 year 1-3 years More than 3 years
amount
Bank loan 776591946.01 783822244.05 783822244.05
Derivative
financial 156359680.92 156359680.92 156359680.92
liabilities
Notes
7934125435.657934125435.657934125435.65
payable
Accounts
6132020588.416132020588.416132020588.41
payable
other
1025433422.811025433422.811025433422.81
payables
Lease
liabilities
(including
121116910.59142586055.1423319836.39119266218.75
those due
within one
year)
Subtotal 16145647984.39 16174347426.98 16055081208.23 119266218.75
2.Hedging
(1)The Company carries out hedging business and risk management
The Company mainly uses forward foreign exchange contracts to hedge the risk of exchange
rate fluctuations. The Company designates the purchased forward foreign exchange contracts as
hedging instruments treats them in accordance with the hedge accounting method and evaluates
the hedged items of unconfirmed asset liability itemssuch as unrecognized fixed commitments at
the balance sheet date. The Company uses the ratio analysis method to evaluate the effectiveness
of the hedge and considers that it is highly effective and the amount of hedge invalidity
recognized in the current period is not material
Expected The impact of
Qualitative The economic
Corresponding effective the
and relationship between
risk management achievement of corresponding
Item Quantitative the hedged item and
strategies and risk hedging activity
information on the related hedging
objectives management on the risk
hedged risk instrument
objectives exposure
A foreign The extent to Forward foreign Foreign According to the
exchange risk which changes exchange contracts exchange hedge
Forward
prevention in the fair are hedging hedging refers accounting
foreign
strategy with value of the instruments that are to the risk standards in
exchange
hedging as the hedging locked based on the management order to ensure
contracts
core and risk instrument can foreign exchange activity of the effectiveness
prevention as the offset the exposure generated designating a of hedging the
316Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Expected The impact of
Qualitative The economic
Corresponding effective the
and relationship between
risk management achievement of corresponding
Item Quantitative the hedged item and
strategies and risk hedging activity
information on the related hedging
objectives management on the risk
hedged risk instrument
objectives exposure
purpose change in the by the business: financial premise of
fair value or foreign exchange instrument as a exposure
cash flows of exposures include hedging hedging is that
the hedged book assets and instrument in the currency is
item caused by irrevocable orders. order to the same the
the hedged Irrevocable orders manage the direction is
risk which are defined risk exposure opposite and the
commitments that arising from expected date of
have not yet been foreign receipt and
confirmed; Not yet exchange risk payment of
recognized which so that the fair foreign
means that it has not value or cash exchange is
been recognized in flow of the similar
the balance sheet; A hedging
firm commitment instrument
refers to the changes in
exchange of a anticipation of
specific amount of offsetting all or
resources at an part of the
agreed price and the change in the
signing of a legally fair value or
binding agreement cash flow of
at a specific date or the hedged
period in the future item
(2) The Company conducts qualified hedging business and applies hedge accounting
Hedging adjustment of
Book value related Hedging Impact of hedging
accumulated fair value
to hedged items effectiveness and accounting on the
Item of hedged items
and hedging source of part with Company's
included in the book
instruments invalid hedging financial statements
value of hedged items
Fair value hedging
Hedging
instruments- Financial expenses -
Derivative 72010074.43 Exchange losses;
financial Investment income; -110397578.69
liabilities Change of income
fair value
Hedging 156359680.92
317Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Hedging adjustment of
Book value related Hedging Impact of hedging
accumulated fair value
to hedged items effectiveness and accounting on the
Item of hedged items
and hedging source of part with Company's
included in the book
instruments invalid hedging financial statements
value of hedged items
instruments-
Derivative
financial
liabilities
hedged
5076274396.73
items-assets
hedged
items-liabilities
3. Transfer of financial assets
(1)Classification of transfer modes
Nature of
Amount of transferred Derecognized Judgment basis of
Transfer mode transferred
financial assets or Not derecognition
financial assets
Notes Almost all its risks and
Receivable
endorsement/ 2595774351.83 Derecognize d rewards have been
financing
Notes discount transferred
Almost all its risks and
Accounts
Factoring 7039895390.42 Derecognize d rewards have been
receivable
transferred
Subtotal 9635669742.25
(2)Financial assets that are derecognized due to transfer
Ways of financial assets Amount of financial assets Gains or losses related to
Item
transfer derecognized derecognition
Receivable Notes endorsement/
2595774351.83-8050999.01
financing Notes discount
Accounts
Factoring 7039895390.42 -38646658.21
receivable
Subtotal 9635669742.25 -46697657.22
XI. Fair value disclosure
1. Asset and liability measured by fair value at end of Current Period and fair value measurement
level
Fair value at period-end
Item
1st level 2nd level 3rd level Total
318Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Fair value at period-end
Item
1st level 2nd level 3rd level Total
I. Continuous fair value
measurement
1. Derivative financial 72010074.43 72010074.43
assets
(1) Forward foreign 72010074.43 72010074.43
exchange contracts
2. Accounts 1516987953.83 1516987953.83
receivable financing
3. Other non 100843017.61 575251286.83 676094304.44
current financial
assets
Total assets 72010074.43 100843017.61 2092239240.66 2265092332.70
continuously
measured at fair
value
4. Derivative financial 156359680.92 156359680.92
liabilities
(1) Forward 156359680.92 156359680.92
foreign exchange
contracts
Total liabilities 156359680.92 156359680.92
continuously
measured at fair
value
2. The basis for determining the market price of continuous and non-continuous first-level
fair value measurement items
The derivative financial assets held by the Company and measured at the first-level fair value
are futures contracts and foreign exchange options and the market price of futures contracts is
determined based on the closing price of futures contracts at the end of the period; The market price
of foreign exchange options is determined according to the quotation of foreign exchange options
contract products by financial institutions at the end of the period.
3. Qualitative and quantitative information on the valuation techniques used and important
parameters for continuous and non-continuous second-level fair value measurement items
Other non-current financial assets held by the Company and measured at the second-level fair
value are long-term investments in fund companies and the book value of long-term investments in
fund companies after evaluation can represent the best estimate of fair value within this range.
4. Qualitative and quantitative information on the valuation techniques used and important
319Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)parameters for continuous and non-continuous third-level fair value measurement items
Other non-current financial assets held by the Company and measured at the third-level fair
value are investments in Sichuan Changhong Group Finance Co. Ltd. and Huishang Bank Co. Ltd.and the fair value is estimated by a series of valuation models and the assumptions adopted are not
supported by observable market prices or interest rates. The Company believes that the fair value
estimated by the valuation technique and its changes are reasonable and the most suitable value on
the balance sheet date.The receivable financing held by the Company and measure at the third-level fair value is a
bank acceptance bill receivable which has a small credit risk and a short remaining period. The
Company determines its fair value based on its face balance.XII. Related parties and related transaction
(I) Relationship of related parties
1. Controlling shareholder and ultimate controller
Controlling Share-holding Voting rights
Registration Business
shareholder and Registered capital ratio in the ratio in the
place nature
ultimate controller Company Company
Sichuan Changhong Manufacture
Mianyang 4616244222.00 27.36% 27.36%
Electric Co. Ltd. and sales
(1) Controlling shareholder and ultimate controller
Sichuan Changhong Electronics Holding Group is the controlling shareholder of Sichuan
ChanghongElectric Co. LTD and the SASAC Mianyang office holds90% equity interests of
Sichuan Changhong Electronic Holding Group which means that SASAC Mianyang office is the
ultimate controller of the Company.
(2) Register capital and change thereof of controlling shareholder
Increase this Decrease
Controlling shareholder Opening balance Ending balance
period this period
Sichuan Changhong Electric Co.
4616244222.004616244222.00
Ltd.
(3) Shares held by the controlling shareholder and its changes on equity
Amount of shares held Shareholding ratio
Controlling shareholder Ratio at Ratio at
Ending balance Opening balance period-beginn
period-end
ing
Sichuan Changhong Electric Co.
281832434.00281832434.0027.36%27.36%
Ltd.
2. Subsidiary
Found more in Note “VIII. 1 (1) Enterprise group composition”
320Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
3. Joint venture and associated enterprise
Other Joint venture and associated enterprise that have related transactions occurred with the
Company in Current Period or occurred in last period and with balance results:
For details of the Company's important joint ventures or joint ventures please refer to Note VIII (III)
1: Relevant contents of important joint ventures or associated enterprise. Other Joint venture and
associated enterprise that have related transactions occurred with the Company in Current Period
or occurred in last period and with balance results:
Joint venture and associated enterprise Relationship with the company
Associated enterprise of subsidiary Zhongshan
Changhong Ruba Electric Company (Private) Ltd.Changhong
Associated enterprise of subsidiary Changhong
Sichuan Tianyou Guigu Technology Co. Ltd
Air-conditioner
Associated enterprise of subsidiary Changhong
Ground Energy Heat Tech. Co. Ltd
Air-conditioner
Associated enterprise of subsidiary Changhong
Chengdu Guigu Environmental Tech. Co. Ltd
Air-conditioner
Associated enterprise of the Company has the same
Sichuan Zhiyijia Network Technology Co. Ltd. controlling shareholder and actual control of the
Company
4. Other related party
Other related party Relationship with the company
Mianyang Haili Appliance Co. Ltd. Associated enterprise of controlling shareholder
Sichuan Hongyun New-Generation Information
technology Venture Capital Fund Partnership (limited Associated enterprise of controlling shareholder
partnership)
Sichuan Hongran Green Energy Co. Ltd. Associated enterprise of controlling shareholder
Sichuan Changxin Refrigeration Parts Co. Ltd. Associated enterprise of controlling shareholder
An enterprise where the supervisor of the controlling
Mianyang High-tech Zone Hongfu Technology Co. Ltd
shareholder acts as its legal representative
Associated enterprise of other enterprise that have
Sichuan Baiku Technology Co. Ltd
the same controlling shareholder
Associated enterprise of other enterprise that have
Sichuan Hongyu Metal Manufacturing Co. Ltd.the same controlling shareholder
Control by same controlling shareholder and
CHANGHONG (HK) TRADING LIMITED
ultimate controller
Control by same controlling shareholder and
Changhong Europe Electric s.r.o
ultimate controller
CHANGHONG.ELECTRIC.(AUSTRALIA)PTY.LTD. Control by same controlling shareholder and
321Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Other related party Relationship with the company
ultimate controller
Control by same controlling shareholder and
Orion.PDP.Co.ltd
ultimate controller
Control by same controlling shareholder and
PT.CHANGHONG ELECTRIC INDONESIA
ultimate controller
Control by same controlling shareholder and
Chengdu Changhong Electronic Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Guangdong Changhong Electronics Co. Ltd.ultimate controller
Guangyuan Changhong Electrionics Technology Co. Control by same controlling shareholder and
Ltd. ultimate controller
Control by same controlling shareholder and
081 Electronic Group Co. Ltd.
ultimate controller
Control by same controlling shareholder and
MianyangHongshang Real Estate Co. Ltd.ultimate controller
Control by same controlling shareholder and
Mianyang Huafeng Hulian Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Aichuang Science & Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Ailink Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Ansifei Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Aoku Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Hongmofang Network Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Hongwei Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Hongxin Software Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Huafeng Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Jiahong Industry Co. Ltd.ultimate controller
Sichuan Kuaiyidian Electric Appliance Service Chain Co. Control by same controlling shareholder and
Ltd ultimate controller
Control by same controlling shareholder and
Sichuan Qineng Zhongzheng Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Qiruik Technology Co. Ltd.ultimate controller
322Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Other related party Relationship with the company
Control by same controlling shareholder and
Sichuan Qisai Microelectronics Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Package Printing Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Power Source Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Electronic Products Co. Ltd.ultimate controller
Sichuan ChanghongGerun Environmental Protection Tech. Control by same controlling shareholder and
Co. Ltd. ultimate controller
Control by same controlling shareholder and
Sichuan Changhong International Hotel Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Group Finance Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan ChanghongJijia Fine Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Jiahua Information Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Education and Technology Co. Ltd
ultimate controller
Control by same controlling shareholder and
Sichuan ChanghongJichuang Lithium Technology Co. Ltd
ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Precision Electronics Tech. Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Minsheng Logistics Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Mold Plastic Tech. Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Device Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Network Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Property Service Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan Changhong New Energy Technology Co. Ltd.ultimate controller
Control by same controlling shareholder and
Sichuan ChanghongXinwang Technology Co. Ltd.ultimate controller
Sichuan Changhong Intelligent Manufacturing Technology Control by same controlling shareholder and
Co. Ltd. ultimate controller
Control by same controlling shareholder and
Sichuan Changhong Real Estate Co. Ltd.ultimate controller
323Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Other related party Relationship with the company
Control by same controlling shareholder and
Yibin Hongxing Electric Co. Ltd.ultimate controller
Control by same controlling shareholder and
Yuanxin Financial Leasing Co. Ltd.ultimate controller
Control by same controlling shareholder and
Changhong International Holdings (Hong Kong) Co. Ltd.ultimate controller
Control by same controlling shareholder and
Changhua Huayi Compressor Co. Ltd.ultimate controller
Control by same controlling shareholder and
Zhongjiu Shining Medical Technology Co. Ltd.ultimate controller
(II) Related transactions
1. Purchasing commodity
Current Year Approved Last year
Whether the（In 10 tradingquota （In 10Related party Content tradinginit isthousand （In 10 thousandexceeded
yuan) thousand yuan) yuan)
Sichuan Changhong Mold Purchasing
109355.07 130000.00 No 79012.78
Plastic Tech. Co. Ltd. commodity
Sichuan Changxin Purchasing
66108.7853476.76
Refrigeration Parts Co. Ltd. commodity
Sichuan ChanghongJijia Fine Purchasing
65751.66 65000.00 Yes 47010.15
Co. Ltd. commodity
Changhong Huayi Compressor Purchasing
56726.83 80000.00 No 56361.04
Co. Ltd. commodity
Mianyang Haili Appliance Co. Purchasing
41209.0936490.77
Ltd commodity
Sichuan Aichuang Technology Purchasing
15558.82 30000.00 No 16847.00
Co. Ltd. commodity
Sichuan Changhong Package Purchasing
14933.66 20000.00 No 11012.12
Printing Co. Ltd. commodity
Sichuan Changhong Electics Purchasing
9529.65 23000.00 No 34337.22
Co. Ltd. commodity
Sichuan Changhong Precision Purchasing
3122.63 4000.00 No 2515.35
Electronics Tech. Co. Ltd. commodity
Sichuan Aoku Technology Co. Purchasing
2576.51 8000.00 No 2758.52
Ltd. commodity
Sichuan Changhong Electronic Purchasing
2433.07 5000.00 No 2771.62
Products Co. Ltd. commodity
Changhong International Purchasing
1952.84 16000.00 No 5500.00
Holdings (Hong Kong) Co. commodity
324Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Current Year Approved Last year
Whether the（In 10 tradingquota （In 10Related party Content tradinginit isthousand （In 10 thousandexceeded
yuan) thousand yuan) yuan)
Ltd.Sichuan Ailian Technology Purchasing
1230.76 3000.00 No 1234.06
Co. Ltd. commodity
Guangdong Changhong Purchasing
1080.41 6000.00 No 753.21
Electronics Co. Ltd. commodity
Sichuan Zhiyijia Network Purchasing
604.42 6000.00 No 806.22
Technology Co. Ltd. commodity
Sichuan Changhong Device Purchasing
501.45 6000.00 No 797.63
Technology Co. Ltd commodity
Changhong Ruba Electric Purchasing
409.171318.25
Company(Private)Ltd. commodity
Sichuan Hongran Green Purchasing
132.33145.41
Energy Co. Ltd. commodity
Sichuan Changhong New Purchasing
80.08 5000.00 No 20.18
Energy Technology Co. Ltd. commodity
Sichuan Hongwei Technology Purchasing No
33.496000.004.72
Co. Ltd. commodity
Sichuan Changhong Purchasing
3.31 5000.00 No 3.23
International Hotel Co. Ltd. commodity
Sichuan Jiahong Industrial Co. Purchasing
0.99 5000.00 No 2.80
Ltd. commodity
Sichuan Changhong Intelligent
Purchasing
Manufacturing Technology 0.49 5000.00 No 0.05
commodity
Co. Ltd.GuangyuanChanghong Purchasing
160.34
Electronic Technology Co. Ltd commodity
CHANGHONG (HK) Purchasing
120.12
TRADING LIMITED commodity
Purchasing
081 Electronic Group Co. Ltd. 5.30
commodity
Sichuan Hongyu Metal Purchasing
1.47
Manufacturing Co. Ltd. commodity
Sichuan Service Exp.Purchasing
Appliance Service Chain Co. 0.18
commodity
Ltd.Sichuan Changhong Source Purchasing
0.18
Co. Ltd. commodity
Total 640275.63 357182.46
325Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
2. Accept the services
Whether
Approved trading the trading
Related party Content Current Year Last Year
quota limit is
exceeded
Sichuan Changhong
Accept the
Minsheng Logistics 690604599.29 750000000.00 No 683224664.94
services
Co. Ltd.Sichuan Service
Exp. Appliance Accept the
388970261.6 510000000.00 No 318337233.03
Service Chain Co. services
Ltd.Sichuan Changhong
Accept the
Mold Plastic Tech. 41840238.31 100000000.00 No 40943864.06
services
Co. Ltd.Sichuan Changhong Accept the
29383913.77 75000000.00 No 3886724.22
Electric Co. Ltd. services
Sichuan Qiruik
Accept the
Technology Co. 9037166.72 50000000.00 No 9907402.78
services
Ltd.Sichuan Changxin
Accept the
Refrigeration Part 8616507.40 2113071.18
services
Co. Ltd.Sichuan Jiahong Accept the
7053542.74 50000000.00 No 5580266.42
Industrial Co. Ltd. services
Sichuan
Accept the
ChanghongJijia 4513721.37 30000000.00 No 7801048.46
services
Fine Co. Ltd.Sichuan Hongwei
Accept the
Technology Co. 2791966.25 75000000.00 No 6920.35
services
Ltd.Sichuan Changhong
Accept the
Electronics Holding 2447354.74 2938000000.00 No 2836845.39
services
Group Co. Ltd.Sichuan Hongxin Accept the
1982132.08 75000000.00 No 13997853.78
Software Co. Ltd. services
Sichuan Changhong
Accept the
International Hotel 1306322.67 50000000.00 No 736015.39
services
Co. Ltd.Mianyang
High-tech Zone Accept the
1293081.71 2000000.00 No
Hongfu Technology services
Co. Ltd
326Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Whether
Approved trading the trading
Related party Content Current Year Last Year
quota limit is
exceeded
Sichuan Aichuang
Accept the
Technology Co. 620668.67 50000000.00 No 1371321.88
services
Ltd.Guangdong
Changhong Accept the
306937.56 75000000.00 No 1112606.43
Electronics Co. services
Ltd.Sichuan Changhong
Accept the
Electronic Products 221109.20 75000000.00 No
services
Co. Ltd.Sichuan Changhong
Gerun
Environmental Accept the
118705.94 50000000.00 No 325332.17
Protection services
Technology Co.Ltd
Sichuan Changhong
Accept the
Property Service 112407.14 50000000.00 No 145611.44
services
Co. Ltd.Sichuan Zhiyijia
Network Accept the
105496.47 75000000.00 No 139286.01
Technology Co. services
Ltd.Chengdu Guigu
Accept the
Environmental 84905.66
services
Tech. Co. Ltd
Sichuan Changhong
Accept the
Electric Product 34147.70 75000000.00 No 275044.71
services
Co. Ltd.Sichuan Changhong
Network Accept the
30517.92 75000000.00 No 30517.92
Technology Co. services
Ltd.Sichuan Changhong
New Network Accept the
8532.11 75000000.00 No
Technology Co. services
Ltd.Sichuan Changhong
Accept the
Intelligent 6042.83 75000000.00 No 94339.62
services
Manufacturing
327Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Whether
Approved trading the trading
Related party Content Current Year Last Year
quota limit is
exceeded
Technology Co.Ltd.Sichuan
Hongfangfang
Accept the
Network 94339.62
services
Technology Co.Ltd
Yuanxin Financial Accept the
214645.83
Leasing Co. Ltd. services
Accept the
Orion.PDP.Co.ltd 50097.44
services
Sichuan Ailink
Accept the
Technology Co. 10754.72
services
Ltd.Total 1191490279.91 1093141468.17
3. Sales of goods
Content Current Period(in 10 Last Period(in 10
Related party
thousand Yuan) thousand Yuan)
Sichuan Zhiyijia Network Technology Co.Sales of goods 734224.78 728895.73
Ltd.CHANGHONG (HK) TRADING
Sales of goods 65382.61 69999.52
LIMITED
CHANGHONG ELECTRIC
Sales of goods 25696.65 17630.27
(AUSTRALIA) PTY.LTD.
Changhong International Holdings (Hong
Sales of goods 17436.75 11246.60
Kong) Co. Ltd.Changhong Europe Electric s.r.o Sales of goods 9553.85 10299.23
Orion.PDP.Co.ltd Sales of goods 4062.24 4478.34
Mianyang Huafeng Hulian Technology Co.Sales of goods 790.27
Ltd.Sichuan Service Exp. Appliance Service
Sales of goods 616.30 654.81
Chain Co. Ltd.Yuanxin Financial Leasing Co. Ltd Sales of goods 256.85
PT.CHANGHONG ELECTRIC
Sales of goods 194.30
INDONESIA
Sichuan Changhong Minsheng Logistic Sales of goods 177.14 79.93
328Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Content Current Period(in 10 Last Period(in 10
Related party
thousand Yuan) thousand Yuan)
Co. Ltd.Sichuan Changhong Electric Co. Ltd. Sales of goods 121.69 472.04
Sichuan Changhong New Energy
Sales of goods 98.75 -
Technology Co.Ltd.Sichuan ChanghongGerun Environmental
Sales of goods 98.43 -
Protection Technology Co. Ltd
Sichuan Changhong Device Technology
Sales of goods 95.13 14.81
Co. Ltd
Sichuan Changhong Jiahua Information
Sales of goods 43.24
Products Co. Ltd
Chengdu Guigu Environmental Technology
Sales of goods 29.05 43.78
Co. Ltd
Sichuan Aiku Technology Co. Ltd. Sales of goods 25.52 21.93
Sichuan Changhong Mold Plastic Tech.Sales of goods 17.23 21.18
Co. Ltd.Sichuan Changhong Electric Holdings
Sales of goods 14.67 0.60
Group Co. Ltd.Sichuan Ailian Technology Co. Ltd. Sales of goods 10.54 0.78
Sichuan Changhong Network Technology
Sales of goods 7.54
Co. Ltd.Sichuan Baiku Technology Co.Ltd.; Sales of goods 2.99 19.20
Sichuan Changhong Real Estate Co. Ltd. Sales of goods 2.39 6.11
Sichuan Aichuang Technology Co. Ltd. Sales of goods 2.26 407.43
MianyangHongsheng Real Estate Co. Ltd. Sales of goods 1.59
Sichuan ChanghongJija Fine Co. Ltd. Sales of goods 1.09 2.68
Sichuan Changhong Power Source Co. Ltd. Sales of goods 0.75 5.46
Sichuan Hongwei Technology Co.Ltd. Sales of goods 0.16
Sichuan Changhong International Hotel
Sales of goods 0.11
Co. Ltd.Sichuan Changhong Intelligent
Sales of goods 258.76
Manufacturing Technology Co. Ltd.Sichuan ChanghongJihuang Lithium
Sales of goods 114.78
Technology Co. Ltd
Sichuan Tianyou Guigu Technology Co.Sales of goods 96.18
Ltd.Changhong Huayi Compressor Co. Ltd. Sales of goods 89.44
329Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Content Current Period(in 10 Last Period(in 10
Related party
thousand Yuan) thousand Yuan)
Guangyuan Changhong Electronic
Sales of goods 31.76
Technology Co. Ltd
Guangdong Changhong Electronic Co. Ltd. Sales of goods 27.03
Ground Energy Heat Pump Tech. Co. Ltd. Sales of goods 23.32
Zhongji Flash Medical Technology Co. Ltd Sales of goods 14.57
Sichuan Qineng Zhongzheng Technology
Sales of goods 9.85
Co. Ltd
Yibin Hongxing Electric Co. Ltd. Sales of goods 8.67
Sichuan Hongmofang Network Technology
Sales of goods 6.06
Co. Ltd.Sichuan Qisai Microelectronics Co.Ltd. Sales of goods 4.99
Sichuan Changhong Precision Electronic
Sales of goods 1.08
Technology Co. Ltd
Sichuan Jiahong Industril Co. Ltd. Sales of goods 0.84
Sichuan Changhong Property Service Co.Sales of goods 0.46
Ltd.Sichuan Qiruik Technology Co. Ltd. Sales of goods 0.27
Sichuan Ansifei Technology Co. Ltd. Sales of goods 0.01
Total 858964.87 844988.50
4. Providing services
Related party Content Current Year Last Year
Mianyang Huafeng Hulian Technology
Provide the services 10724113.48 349753.68
Co. Ltd.Sichuan Changhong Electric Co. Ltd. Providing services 7577406.09 11395693.06
Sichuan Changhong Mold Plastic Tech.Providing services 4099830.16 3690091.63
Co. Ltd.Sichuan Service Exp. Appliance Service
Provide the services 1463906.78 2337991.38
Chain Co. Ltd.Changhong Huayi Compressor Co. Ltd. Provide the services 1396465.80 1343950.04
Sichuan Aichuang Technology Co. Ltd. Providing services 955904.56 4743474.93
Sichuan Changhong New Energy
Providing services 660622.02
Technology Co. Ltd.Yuanxin Financial Leasing Co. Ltd. Providing services 570024.15 907791.40
Sichuan Changhong Device Technology
Providing services 552789.38 124018.93
Co. Ltd
330Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Related party Content Current Year Last Year
Sichuan ChanghongJija Fine Co. Ltd. Provide the services 455956.13 229038.19
Sichuan Changhong Property Service Co.Providing services 214043.74 259029.87
Ltd.Sichuan Changhong Network Technology
Provide the services 173539.62 268020.00
Co. Ltd.Sichuan Changhong Minsheng Logistics
Providing services 136628.82 425430.66
Co. Ltd.Sichuan Zhiyijia Network Technology Co.Providing services 101440.08 185395.50
Ltd.Changhong International Holdings (Hong
Providing services 101351.88
Kong) Limited
Sichuan Aoku Technology Co. Ltd. Providing services 77946.40 4456.25
Sichuan Changhong Jihuang Lithium
Providing services 53864.91 2277747.12
Technology Co. Ltd
Sichuan Changhong International Hotel
Providing services 42909.37 65714.90
Co. Ltd
Sichuan Changhong Education and
Providing services 9000.00 9000.00
Technology Co. Ltd
Chengdu Guigu Environment Technology
Provide the services 8391.23 10061.17
Co. Ltd.Sichuan Changhong Electric Group Co.Providing services 5875.00 6742.60
Ltd.Sichuan Changhong Electric Part Co. Ltd. Providing services 3600.00 7200.00
Sichuan Ailan Technology Co.Ltd. Providing services 3229.42
Sichuan Qiruik Technology Co. Ltd. Provide the services 1446.00 95653.62
Guangdong Changhong Electronics Co.Providing services 627354.91
Ltd
Sichuan Qineng Zhongzheng Technology
Providing services 108865.14
Co. Ltd.Sichuan Hongwei Technology Co.Ltd Providing services 69735.85
Sichuan Changhong Real Estate Co. Ltd. Provide the services 45992.16
Sichuan Qisai \Microelectonics Co. Ltd. Providing services 44593.58
Sichuan Changhong Precision Electronic
Providing services 21039.34
Technology Co. Ltd
Mianyang Huafeng Technology Co. Ltd. Providing services -11201.00 576234.00
Sichuan Changhong Network Technology
Provide the services -101370.00 16670.00
Co. Ltd.
331Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Related party Content Current Year Last Year
Total 29277714.02 30246739.91
5. Related rental
(1) Rent out
Leasing income in Leasing income in
Lessor Lessee Type of assets
Current Period Last Period
Apartments
Changhong Sichuan Changhong Mold Plastic
warehouses 1998754.51 2956810.97
Meiling Tech. Co. Ltd.factories
apartment
Changhong Sichuan Changhong Jijia Fine Co.forklift 796113.61 950642.38
Meiling Ltd.warehouse
Changhong Sichuan Changhong Minsheng
apartment office 219708.07 206115.96
Meiling Logistics Co. Ltd.Changhong Sichuan Service Exp. Appliance Apartments
202690.08162376.19
Meiling Service Chain Co. Ltd. Offices Forklifts
Changhong Sichuan Zhiyijia Network
Apartment 188256.88 188256.88
Meiling Technology Co. Ltd.Changhong Sichuan Aoku Technology Co.Warehouse 5858.10 43392.81
Meiling Ltd.Changhong Sichuan Hongxin Software Co.Apartments 4400.00
Meiling Ltd.Changhong Sichuan Changhong Precision
Apartments 1105.00
Meiling Electronic Technology Co. Ltd
Changhong Sichuan Aichuang Science &
Warehouse 39014.00
Meiling Technology Co. Ltd.Changhong Changhong Huayi Compressor
Warehouse 5811.32
Meiling Co. Ltd.Changhong Sichuan Ailink Technology Co.Warehouse 3496.76
Meiling Ltd.Changhong Factory
Sichuan Changhong Mold Plastic
Air-conditio buildings and 5716010.19 5524818.10
Tech. Co. Ltd.ner equipment
Changhong Factory
Sichuan Changhong Jijia Fine Co.Air-conditio buildings and 3706088.50 3662397.40
Ltd.ner equipment
Changhong Factory
Sichuan Changhong Electric Co.Air-conditio buildings and 844041.16 807070.04
Ltd.ner equipment
Changhong
Sichuan Changxin Refrigeration Processing
Air-conditio 53333.35 159999.98
Parts Co. Ltd. equipment of U
ner
332Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Leasing income in Leasing income in
Lessor Lessee Type of assets
Current Period Last Period
Changhong
Chengdu Guigu Environmental
Air-conditio Workshop 28403.67 28403.67
Tech. Co. Ltd
ner
Changhong
Sichuan Changhong Electric
Air-conditio Workshop 4.49
Holding Co. Ltd.ner
Ridian Sichuan Changhong Device
Workshop 1285985.43 2147149.80
Technology Technology Co. Ltd.Changhong Sichuan Changhong Precision
Workshop 845919.00
Ridian Electronics Tech. Co. Ltd.Changhong Sichuan Ailink Technology Co.Workshop 47314.29 47314.29
Ridian Ltd.Zhongshan Sichuan Changhong Minsheng Parts of the office
44297.1644297.16
Changhong Logistics Co. Ltd. building rent-out
Zhongshan Sichuan Changhong Moulding
living area 34946.67
Changhong Tech. Co. Ltd.Zhongshan Sichuan Changhong Precision
living area 67200.00
Changhong Electronics Tech. Co. Ltd.Jiangxi Sichuan Changhong Minsheng
Warehouse 1016358.11 822288.36
Meiling Logistics Co. Ltd.Jiangxi Sichuan ChanghongJijia Fine Co.warehouse 16000.00 8000.00
Meiling Ltd.Jiangxi Sichuan Aichuang Science &
Warehouse 9600.00 9600.00
Meiling Technology Co. Ltd.Jiangxi Sichuan Changhong Minsheng
Workshop 9142.86 9142.86
Meiling Logistics Co. Ltd.Jiangxi Sichuan Aoku Technology Co.Warehouse 3840.00
Meiling Ltd.Jiangxi Changhong Huayi Compressor
Warehouse 4800.00
Meiling Co. Ltd.Hefei Sichuan Changhong Mold Plastic
Workshop 9538474.71
Industrial Tech. Co. Ltd.Hefei Sichuan ChanghongJijia Fine Co.Workshop 2451535.20 2451535.20
Industrial Ltd.Hefei Sichuan Service Exp. Appliance
Workshop 243950.40 21600.00
Industrial Service Chain Co. Ltd.Hefei Sichuan Changhong Minsheng
Workshop 202464.00 260150.40
Industrial Logistics Co. Ltd.Hefei Sichuan Changhong Education and
Workshop 17280.00 6898252.83
Industrial Technology Co. LTD
Hefei Sichuan Changhong Precision
Workshop 12672547.93
Industrial Electronic Technology Co. Ltd
333Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Leasing income in Leasing income in
Lessor Lessee Type of assets
Current Period Last Period
Total 29491419.28 40242941.45
(2)Lessee of related parties
334Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Variable lease
payments not
Rental charges for short-term included in lease Interest expenses on lease
Rent paid Increased use right assets
and low-value assets (if any) liabilities liabilities assumed
measurement (if
Type of
Lessor Lessee any)
assets
Amount of Amount of Amount Amoun Amount of Amount of Amount of Amount Amount of Amount of
current period previous of t of current previous current of current period previous
period current previou period period period previous period
period s period
period
Changhong Huayi
Jiangxi Staff
Compressor Co. 114803.62 115810.67
Meiling dormitory
Ltd.Chengdu
Changhong
Hongmei
Electronic Office 128587.13 11572.84 746115.01
Intelligent
Technology Co.Ltd.Chengdu
Changhong
Hongmei
Electronic Office 658462.06 678008.96 32923.10 47945.48 658462.06
Intelligent
Technology Co.Ltd.Sichuan Zhiyijia Changhong
Office 4954.13
Network Air-conditio
335Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Technology Co. ner
Ltd.Sichuan Jiahong Changhong
Staff
Industrial Co. Air-conditio 432717.96 399176.91
dormitory
Ltd. ner
Sichuan Changhong
Changhong Air-conditio Workshop 240198.20
Electric Co. Ltd. ner
Sichuan
Changhong Changhong
Electronics Air-conditio Rent 143252.58 188111.04 7014.92 376222.06
Holding Group ner
Co. Ltd.Sichuan Changhong
VISA
Changhong Air-conditio 306863.00 306863.00 34315.04 34315.04 1534315.05
laboratory
Electric Co. Ltd. ner
Guangdong
Ground
Changhong Staff
energy heat 81398.37 80355.16
Electronics Co. dormitory
pump
Ltd.Intelligent
Sichuan Jiahong
air Staff
Industrial Co. 88304.15
conditionin dormitory
Ltd.g
Sichuan Mianyang
Workshop 97312.98 96779.07 2132911.64 2831656.00 1067896.18 451647.92 48252806.05 26088842.03
Changhong Meiling
336Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Electric Co. Ltd.Sichuan Jiahong Mianyang Staff
31379.4032599.20
Industrial Co. Ltd. Meiling dormitory
Chengdu
Changhong Meiling
Electric Life Office 130997.43
Technology Co. appliance
Ltd.Guangdong
Changhong Ridian Staff
41405.1464994.60
Electronics Co. Technology dormitory
Ltd.Total 1132473.95 1063965.62 3414934.87 3816527.96 1153722.08 533908.44 50033605.18 27623157.08
337Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
6. Related guarantee
Maximum guarantee Completed
Secured party Sponsored party Start Date due
amount (Y/N)
Guarrantee： (In 10 thousand Yuan) Fulfill
Changhong Meiling Meiling Group 4500.00 2023-5-11 2024-5-11 Yes
Changhong Meiling Meiling Group 8000.00 2023-7-12 2024-7-11 Yes
2024-10-12027-10-1
Changhong Meiling Meiling Group 20000.00 No
65
Changhong Meiling Ridian Technology 4000.00 2023-7-8 2024-7-8 Yes
2022-11-1
Changhong Meiling Ridian Technology 3500.00 2023-11-9 Yes
0
2024-12-2
Changhong Meiling Ridian Technology 3500.00 2024-2-6 No
8
Zhongshan
Changhong Meiling 15000.00 2022-8-15 2023-8-14 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-30 2024-5-29 Yes
Changhong
Zhongshan
Changhong Meiling 6000.00 2023-3-15 2024-3-15 Yes
Changhong
Zhongshan
Changhong Meiling 7000.00 2023-6-15 2024-6-14 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-11 2024-5-10 Yes
Changhong
Zhongshan
Changhong Meiling 15000.00 2023-8-23 2024-8-23 Yes
Changhong
Zhongshan
Changhong Meiling 20000.00 2023-7-3 2024-7-3 Yes
Changhong
Zhongshan
Changhong Meiling 5000.00 2023-7-28 2024-7-27 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-12 2024-5-12 Yes
Changhong
Zhongshan
Changhong Meiling 5000.00 2023-11-2 2024-11-2 Yes
Changhong
Meiling Life 2022-10-2 2023-10-2
Changhong Meiling 5000.00 Yes
Appliances 6 5
Meiling Life
Changhong Meiling 2000.00 2023-4-24 2024-4-23 Yes
Appliances
Meiling Life
Changhong Meiling 5000.00 2024-1-1 2024-8-14 Yes
Appliances
Changhong Meiling Meiling Life 8000.00 2023-2-22 2024-1-12 Yes
338Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Maximum guarantee Completed
Secured party Sponsored party Start Date due
amount (Y/N)
Appliances
Meiling Life
Changhong Meiling 8000.00 2024-1-22 2025-1-22 No
Appliances
Meiling Life
Changhong Meiling 5000.00 2023-4-21 2024-4-21 Yes
Appliances
Meiling Life
Changhong Meiling 2000.00 2023-11-3 2024-11-2 Yes
Appliances
Meiling Life 2024-11-3
Changhong Meiling 10000.00 2023-12-1 No
Appliances 0
Meiling Life 2023-12-1
Changhong Meiling 4000.00 2024-6-4 Yes
Appliances 5
Changhong
Changhong Meiling 60000.00 2023-3-18 2024-3-18 Yes
air-conditioner
Changhong
Changhong Meiling 12000.00 2023-4-14 2024-4-13 Yes
air-conditioner
Changhong 2023-10-1
Changhong Meiling 10000.00 2023-1-17 Yes
air-conditioner 1
Changhong
Changhong Meiling 5000.00 2023-1-17 2024-1-16 Yes
air-conditioner
Changhong
Changhong Meiling 16000.00 2023-2-27 2024-2-26 Yes
air-conditioner
Changhong
Changhong Meiling 30000.00 2023-3-16 2024-3-16 Yes
air-conditioner
Changhong 2023-12-1
Changhong Meiling 1500.00 2023-7-5 Yes
air-conditioner 3
Changhong 2024-12-3
Changhong Meiling 60000.00 2024-6-18 No
air-conditioner 1
Zhongke Meiling Anhui Tuoxing 1000.00 2023-6-20 2024-6-4 Yes
Zhongke Meiling Anhui Tuoxing 400.00 2023-8-15 2024-8-14 No
2023-10-22024-10-2
Zhongke Meiling Anhui Tuoxing 1000.00 Yes
00
Zhongke Meiling Anhui Tuoxing 1000.00 2024-7-24 2025-6-17 No
Zhongke Meiling Lingan Medical 1000.00 2023-8-25 2024-8-24 Yes
2023-10-22024-10-2
Zhongke Meiling Lingan Medical 1000.00 Yes
00
2024-10-2025-10-
Zhongke Meiling Lingan Medical 1000.00 No
3130
339Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Maximum guarantee Completed
Secured party Sponsored party Start Date due
amount (Y/N)
Counter guarrantee：
Meiling Group Changhong Meiling 4500.00 2023-5-11 2024-5-11 Yes
Meiling Group Changhong Meiling 8000.00 2023-7-12 2024-7-11 Yes
2024-10-12027-10-1
Meiling Group Changhong Meiling 20000.00 No
65
Ridian Technology Changhong Meiling 4000.00 2023-7-8 2024-7-8 Yes
2022-11-1
Ridian Technology Changhong Meiling 3500.00 2023-11-9 Yes
0
2024-12-2
Ridian Technology Changhong Meiling 3500.00 2024-2-6 No
8
Zhongshan
Changhong Meiling 15000.00 2022-8-15 2023-8-14 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-30 2024-5-29 Yes
Changhong
Zhongshan
Changhong Meiling 6000.00 2023-3-15 2024-3-15 Yes
Changhong
Zhongshan
Changhong Meiling 7000.00 2023-6-15 2024-6-14 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-11 2024-5-10 Yes
Changhong
Zhongshan
Changhong Meiling 15000.00 2023-8-23 2024-8-23 Yes
Changhong
Zhongshan
Changhong Meiling 20000.00 2023-7-3 2024-7-3 Yes
Changhong
Zhongshan
Changhong Meiling 5000.00 2023-7-28 2024-7-27 Yes
Changhong
Zhongshan
Changhong Meiling 10000.00 2023-5-12 2024-5-12 Yes
Changhong
Zhongshan
Changhong Meiling 5000.00 2023-11-2 2024-11-2 Yes
Changhong
Meiling Life 2022-10-2 2023-10-2
Changhong Meiling 5000.00 Yes
Appliances 6 5
Meiling Life
Changhong Meiling 2000.00 2023-4-24 2024-4-23 Yes
Appliances
Meiling Life
Changhong Meiling 5000.00 2024-1-1 2024-8-14 Yes
Appliances
Meiling Life
Changhong Meiling 8000.00 2023-2-22 2024-1-12 Yes
Appliances
340Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Maximum guarantee Completed
Secured party Sponsored party Start Date due
amount (Y/N)
Meiling Life
Changhong Meiling 8000.00 2024-1-22 2025-1-22 No
Appliances
Meiling Life
Changhong Meiling 5000.00 2023-4-21 2024-4-21 Yes
Appliances
Meiling Life
Changhong Meiling 2000.00 2023-11-3 2024-11-2 Yes
Appliances
Meiling Life 2024-11-3
Changhong Meiling 10000.00 2023-12-1 No
Appliances 0
Meiling Life 2023-12-1
Changhong Meiling 4000.00 2024-6-4 Yes
Appliances 5
Changhong
Changhong Meiling 60000.00 2023-3-18 2024-3-18 Yes
air-conditioner
Changhong
Changhong Meiling 12000.00 2023-4-14 2024-4-13 Yes
air-conditioner
Changhong 2023-10-1
Changhong Meiling 10000.00 2023-1-17 Yes
air-conditioner 1
Changhong
Changhong Meiling 5000.00 2023-1-17 2024-1-16 Yes
air-conditioner
Changhong
Changhong Meiling 16000.00 2023-2-27 2024-2-26 Yes
air-conditioner
Changhong
Changhong Meiling 30000.00 2023-3-16 2024-3-16 Yes
air-conditioner
Changhong 2023-12-1
Changhong Meiling 1500.00 2023-7-5 Yes
air-conditioner 3
Changhong 2024-12-3
Changhong Meiling 60000.00 2024-6-18 No
air-conditioner 1
Anhui Tuoxing Zhongke Meiling 1000.00 2023-6-20 2024-6-4 Yes
Anhui Tuoxing Zhongke Meiling 400.00 2023-8-15 2024-8-14 No
2023-10-22024-10-2
Anhui Tuoxing Zhongke Meiling 1000.00 Yes
00
Anhui Tuoxing Zhongke Meiling 1000.00 2024-7-24 2025-6-17 No
Lingan Medical Zhongke Meiling 1000.00 2023-8-25 2024-8-24 Yes
2023-10-22024-10-2
Lingan Medical Zhongke Meiling 1000.00 Yes
00
2024-10-32025-10-3
Lingan Medical Zhongke Meiling 1000.00 No
10
7. Assets transfer and debt reorganization of related parties
341Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Current
Related party Type Last Period
Period
Sale of 1761621.3
Sichuan Changhong Electric Co. Ltd.Fixed assets 4
Sale of
Sichuan Qiruik Technology Co. Ltd. 359033.63
Fixed assets
Sale of
Guangdong Changhong Electric Co. Ltd. 83599.99
Fixed assets
Sale of
Sichuan Changhong Mold Paasitic Technology Co. Ltd 58103.56
Fixed assets
Sale of
Sichuan Service Exp. Appliance Service Chain Co. Ltd. 14493.81
Fixed assets
Purchase
and
1551878.4
Sichuan Hongxin Software Co. Ltd. construction 3061404.42
5
of fixed
assets
Constructio
Sichuan Changhong Electric Co. Ltd. n of fixed 952598.21 428600.00
assets
Purchase
and
Sichuan Changhong Intelligent Manufacturing Technology Co.construction 352395.49 2100406.26
Ltd.of fixed
assets
Purchase
and
Sichuan Hongwei Technology Co. Ltd. construction 281000.00
of fixed
assets
Purchase
and
Sichuan Qiruik Technology Co. Ltd. construction 146900.00
of fixed
assets
Purchase
and
Sichuan Changhong Electronics Holding Group Co. Ltd. construction 1698113.21
of fixed
assets
Purchase
Sichuan Changhong Jiahua Information Product Co. Ltd. 275800.17
and
342Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)construction
of fixed
assets
Purchase
and
Chengdu Guigu Environment Technology Co. Ltd. construction 50600.00
of fixed
assets
Purchase
and
081 Electronic Group Co. Ltd. construction 184634.57
of fixed
assets
Purchase
and
Sichuan Zhiyijia Network Technology Co. Ltd. construction 78818.00 40519.46
of fixed
assets
Purchase of
Sichuan Hongxin Software Co. Ltd. intangible 679245.28 3192988.66
assets
Purchase of
Sichuan Qiruik Technology Co. Ltd. intangible 288000.00
assets
6504322.311136432.1
Total
38
8. Other related party transactions
Current Period (in 10 Last Period (in 10 thousand
Name of company Content
thousand Yuan) Yuan)
Yuanxin Financial Leasing
Financing business 149852.72 47232.36
Co. Ltd.
9. Related transaction with Changhong Finance Company
(1) Saving balance
Interest income from bank
Name of company Ending balance Opening balance
saving in the period
Changhong Meiling Co. Ltd. 1415028147.56 2052187201.79 45273962.71
Zhongshan Changhong Electric Co. Ltd 1283231387.72 761905289.07 13733280.71
343Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Interest income from bank
Name of company Ending balance Opening balance
saving in the period
Sichuan Changhong Air-conditioner Co.
1255972933.70977689247.5818017640.33
Ltd
Hefei Changhong Meiling Life
240741317.89243577856.452978281.45
Appliances Co. Ltd.Ground Energy Heat Pump Tech.
169736029.92167225376.643247242.76
(Zhongshan) Co. Ltd.Changhong Meiling Ridian Technology
80215052.0756655316.22179946.97
Co. Ltd.Zhongke Meiling Cryogenic Technology
80025044.4660561687.381101447.61
Co. Ltd
Hefei Changhong Industrial Co. Ltd. 33061349.30 1890237.02 68592.31
Anhui Tuoxing Technology Co. Ltd. 7364529.96 7358942.16 161550.47
Anhui Ling'an medical equipment Co.
2991432.99825.26126.31
Ltd.Hefei Meiling Group Holdings Limited 498534.27 304516.48 6580.09
Mianyang Meiling Refrigeration Co.
14082.6213743.0050.63
Ltd.Jiangxi Meiling Electric Appliance Co.
9230.509667.6439.80
Ltd.Ground Energy Heat Pump Tech. Co.
0.51
Ltd.Sichuan Changhong Intelligent Air
2016.30
Conditioning Technology Co. Ltd.Total 4568889072.96 4329379906.69 84770758.96
(2) Discounted bills
Discounting fees
Name face amount Bill discount amount
Amount of expenses
Sichuan Changhong Air-conditioner Co.
888967457.93882371606.006595851.93
Ltd
Changhong Meiling Co. Ltd. 532621822.26 529682758.57 2939063.69
Sichuan Changhong Intelligent Air
222837475.57222837475.57
Conditioning Technology Co. Ltd
Hefei Changhong Meiling Life Appliances
130877265.21130125972.66751292.55
Co. Ltd.Zhongshan Changhong Electric Co. Ltd 8377206.93 8318511.81 58695.12
Changhong Meiling Ridian Technology 7539519.04 7503749.88 35769.16
344Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Discounting fees
Name face amount Bill discount amount
Amount of expenses
Co. Ltd.Anhui Ling'an medical equipment Co. Ltd. 3000000.00 2985000.00 15000.00
Total 1794220746.94 1783825074.49 10395672.45
(3) Issuance of invoices
Name of company Issuer Bill amount Types
Financial
Sichuan Changhong Sichuan Changhong Group Finance
837430755.91 company
Air-conditioner Co. Ltd. Co. Ltd.acceptance bill
Financial
Zhongshan Changhong Electric Sichuan Changhong Group Finance
440492818.94 company
Co. Ltd. Co. Ltd.acceptance bill
Financial
Ground Energy Heat Pump Tech. Sichuan Changhong Group Finance
191117342.13 company
(Zhongshan) Co. Ltd. Co. Ltd.acceptance bill
Financial
Sichuan Changhong Group Finance
Changhong Meiling Co. Ltd. 96656000.00 company
Co. Ltd.acceptance bill
Financial
Hefei Changhong Meiling Life Sichuan Changhong Group Finance
95895778.80 company
Appliances Co. Ltd. Co. Ltd.acceptance bill
Financial
Zhongke Meiling Cryogenic Sichuan Changhong Group Finance
43722178.46 company
Technology Co. Ltd. Co. Ltd.acceptance bill
Financial
Hefei Meiling Group Holdings Sichuan Changhong Group Finance
35793311.60 company
Limited Co. Ltd.acceptance bill
Financial
Changhong Meiling Ridian Sichuan Changhong Group Finance
8921432.24 company
Technology Co. Ltd. Co. Ltd.acceptance bill
Financial
Anhui Ling'an medical equipment Sichuan Changhong Group Finance
1074502.45 company
Co. Ltd. Co. Ltd.acceptance bill
Total 1751104120.53
(4) Credit or other financial services
Name Transaction content Amount incurred this year
345Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Name Transaction content Amount incurred this year
Sichuan Changhong Air Conditioning Co. Ltd Guarantee letter 628690.07
Total 628690.07
10.Remuneration for key management
Current Year (In 10 Last Year (In 10 thousand
Item
thousand yuan) yuan)
Remuneration for key management 920.64 516.67
(III) Come and go balance with related parties
1. Receivable items
Balance at year-end Balance at year-begin
Item Related party Bad debt Bad debt
Book balance Book balance
provision provision
Sichuan Zhiyijia
Account
Network Technology 128220885.04 83477192.59 188235530.60 110410176.95
receivable
Co. Ltd.Account CHANGHONG (HK)
124276627.62139679048.37
receivable TRADING LIMITED
Changhong
Account
International Holdings 90937385.97 5052875.52 67734903.25 3339617.94
receivable
(Hong Kong) Co. Ltd.CHANGHONG
Account ELECTRIC
74487210.9439350.4079488591.21
receivable (AUSTRALIA)
PTY.LTD.Changhong Ruba
Account
Electric Company 41322357.73 41322357.73 40856357.09 40856357.09
receivable
(Private) Ltd.Account
Orion.PDP.Co.ltd 12279923.14 13506278.22
receivable
Mianyang Huafeng
Account
Hulian Technology 9218144.00 8800.00
receivable
Co. Ltd.Account Changhong Europe
2558625.1742995.8331860854.17
receivable Electric s.r.o
Sichuan Changhong
Account
Electric Appliance 729165.87 7510684.66
receivable
Co. Ltd
346Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-end Balance at year-begin
Item Related party Bad debt Bad debt
Book balance Book balance
provision provision
Account Sichuan Aichuang
402121.613195467.74
receivable Technology Co. Ltd.Account Yuanxin Financial
381503.00558665.14
receivable Leasing Co. Ltd.Account Changhong Huayi
380929.13718403.54
receivable Compressor Co. Ltd.Sichuan Service Exp.Account
Appliance Service 323007.09 351250.17
receivable
Chain Co. Ltd.Sichuan
Account
ChanghongJijia Fine 293742.36
receivable
Co. Ltd.Account Sichuan Changhong
8300.00
receivable Electric Part Co. Ltd.Account Sichuan Aoku
5618.00
receivable Technology Co. Ltd.Sichuan Changhong
Account
Minsheng Logistics 2980.00 12760.00
receivable
Co. Ltd.Sichuan Changhong
Account Intelligent
727500.00
receivable Manufacturing
Technology Co. Ltd.Account paid Sichuan Changhong
216411.80
in advance Electric Co. Ltd.Sichuan Huafeng
Account paid
Technology Co. 176400.00
in advance
Ltd./
Sichuan Changhong
Account
Modeling Technology 176175.52
receivable
Co. Ltd.Account Sichuan Changhong
119213.45
receivable Real Estate Co. Ltd.Sichuan Changhong
Account
New Network 112000.00
receivable
Technology Co. Ltd.Sichuan Changhong
Account
Network Technology 96000.00
receivable
Co. Ltd.
347Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-end Balance at year-begin
Item Related party Bad debt Bad debt
Book balance Book balance
provision provision
Sichuan Changhong
Account
Lithium Battery 30600.00
receivable
Technology Co. Ltd.Account Sichuan Changhong
954.00
receivable Electric Part Co. Ltd.Sichan Changhong
Account
Electric Holdings 720.00
receivable
Group Co. Ltd.Chengdu Changhong
Account paid
Electric Technology 345692.58 381126.07
in advance
Co. Ltd.Sichuan Changhong
Account paid
Minsheng Logistics 248306.00 8396.00
in advance
Co. Ltd.Account paid Sichuan Ailian
50889.4953247.60
in advance Technology Co. Ltd.Account paid Sichuan Changhong
19.17
in advance Electric Co. Ltd.Sichuan Hongyun
New-Generation
Other Information
account technology Venture 2217600.00
receivable Capital Fund
Partnership (limited
partnership)
Other Sichuan Service Exp.account Appliance Service 570493.29 313490.41
receivable Chain Co. Ltd.Other Sichuan Zhyijia
account Network Technology 209510.00 303019.00
receivable Co. Ltd.Other
Sichuan Jiahong
account 19982.00
Industrial Co. Ltd.receivable
Other Sichuan Changhong
account Property Service Co. 2904.93 2904.93
receivable Ltd.Other Sichuan Changhong
17129427.73
account Electric Appliance
348Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Balance at year-end Balance at year-begin
Item Related party Bad debt Bad debt
Book balance Book balance
provision provision
receivable Co. Ltd
Yuanxin Financial
Contract assets 534886.00
Leasing Co. Ltd.Total 490028790.96 129934772.07 593565199.84 154606151.98
2.Payable items
Item Related party Balance at year-end Balance at year-begin
Account Sichuan Changhong Electric Holdings Group
299558983.3723732724.50
payable Co. Ltd.Account Sichuan Changhong Mold Plastic Tech. Co.
258862002.89173023852.05
payable Ltd.Account
Sichuan ChanghongJijia Fine Co. Ltd. 130536924.54 32211531.65
payable
Account
Changhong Huayi Compressor Co. Ltd. 106340141.35 117609190.18
payable
Account Sichuan Changxin Refrigeration Parts Co.
55712908.2017976156.76
payable Ltd.Account Sichuan Aichuang Science & Technology Co.
50559432.8656579812.80
payable Ltd.Account Sichuan Changhong Package Printing Co.
37429782.7114430893.66
payable Ltd.Account Changhong Ruba Electric Company (Private)
19165511.4513195411.19
payable Ltd.Account
Sichuan Changhong Electric Co. Ltd. 16714312.78 2863953.34
payable
Account Changhong International Holdings (Hong
16331072.348933631.46
payable Kong) Co. Ltd.Account Sichuan Changhong Precision Electronics
7834650.422884803.49
payable Tech. Co. Ltd.Account
Sichuan Aoku Technology Co. Ltd. 7036322.79 14614765.93
payable
Account Sichuan Changhong Electronic Products Co.
6151227.603801344.25
payable Ltd.Account Sichuan Changhong Minsheng Logistics Co.
3463779.164022048.97
payable Ltd.Account
Sichuan Ailink Technology Co. Ltd. 3277511.80 1721318.59
payable
349Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Related party Balance at year-end Balance at year-begin
Account
Guangdong Changhong Electric Co. Ltd. 3006306.65 1554593.15
payable
Account Sichuan Service Exp. Appliance Service Chain
892549.81725473.65
payable Co. Ltd.Account
Sichuan Hongxin Software Co. Ltd. 779047.17 451301.89
payable
Account
Sichuan Hongwei Technology Co. Ltd. 297860.00 5492.64
payable
Account Sichuan Changhong Electronic Products Co.
272906.941148884.00
payable Ltd.Account Sichuan Changhong New Energy Technology
252981.10225732.08
payable Co. Ltd.Account Sichuan Changhong Intelligent Manufacturing
239196.58270846.58
payable Technology Co. Ltd.Account Sichuan Changhong International Hotel Co.
106873.00146276.00
payable Ltd.Account Sichuan Zhiyijia Network Technology Co.
32784.7335267.63
payable Ltd.Account
Sichuan Qiruik Technology Co. Ltd. 32000.00 32000.00
payable
Account
Chengdu Guigu Environmental Tech. Co. Ltd 8247.36 57178.00
payable
Account
Mianyang Haili Appliance Co. Ltd. 17723765.52
payable
Account
PT.CHANGHONG ELECTRIC INDONESIA 1514130.31
payable
Account GuangyuanChanghong Electric Technology
50286.58
payable Co. Ltd.Account
Sichuan Jiahong Industrial Co. Ltd. 396.00
payable
Contract Sichuan Zhiyijia Network Technology Co.
71546849.7532073215.34
liability Ltd.Contract
Zhongjiu Flash Medical Technology Co. Ltd 419207.79
liability
Contract
Sichuan Changhong Electric Co. Ltd. 354131.55 353941.29
liability
Contract Sichuan Changhong International Holidng(hk)
427524.5991046.37
liability Co. Ltd
Contract
Sichuan Aichuang Technology Co. Ltd. 198900.00
liability
350Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Related party Balance at year-end Balance at year-begin
Contract Sichuan ChanghongGerun Environmental
175023.04
liability Protection Technology Co. Ltd
Contract
Sichuan Baiku Technology Co. Ltd. 138472.56 22932.74
liability
Contract Sichuan Service Exp. Appliance Service Chain
42786.1710727.89
liability Co. Ltd.Contract Sichuan Changhong Minsheng Logistics Co.
14654.8914654.86
liability Ltd.Contract
CHANGHONG (HK) TRADING LIMITED 922.22 908.66
liability
Contract
Sichuan Anshifei Technology Co. Ltd. 2646.19
liability
Contract Sichuan Changhong Mold Plastic Tech. Co.
2415.93
liability Ltd.Contract
081 Electronic Group Co. Ltd. 22.61
liability
Lease liability Sichuan Changhong Electric Co. Ltd. 24991184.60 27418257.97
Chengdu Changhong Electronic Technology
Lease liability 345692.58 381126.07
Co. Ltd.Sichuan Changhong Electronics Holding
Lease liability 188111.02
Group Co. Ltd.Chengdu Changhong Electronic Technology
Lease liability 381126.07
Co. Ltd.Sichuan Changhong Minsheng Logistics Co.Other payable 168320548.19 132815918.64
Ltd.Sichuan Service Exp. Appliance Service Chain
Other payable 129354211.90 82400851.21
Co. Ltd.Other payable Sichuan Changhong Electric Co. Ltd. 4455214.28 58735.52
Sichuan Changhong Electronics Holding
Other payable 2235171.18 393156.00
Group Co. Ltd.Sichuan Changhong Mold Paasitic Technology
Other payable 1933572.12 2559981.65
Co. Ltd
Other payable Changhong Huayi Compressor Co. Ltd. 1801167.60 1903400.00
Other payable Sichuan Hongwei Technology Co. Ltd. 1262762.78 -
Other payable Sichuan Qiruik Technology Co. Ltd. 826071.35 585767.70
Other payable Sichuan ChanghongJijia Fine Co. Ltd. 430500.00 425492.32
Other payable Sichuan Jiahong Industrial Co. Ltd. 301482.92 18.00
351Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Item Related party Balance at year-end Balance at year-begin
Sichuan Zhiyijia Network Technology Co.Other payable 232021.08 566063.25
Ltd.Other payable Sichuan Hongxin Software Co. Ltd. 187735.85 594516.98
Sichuan ChanghongGerun Environmental
Other payable 150000.00 -
Protection Technology Co. Ltd
Other payable Sichuan Aoku Technology Co. Ltd. 132973.56 260212.20
Other payable Sichuan Aichuang Technology Co. Ltd. 101132.08 1443020.00
Sichuan Changhong Electronic Products Co.Other payable 100000.00 50000.00
Ltd.Sichuan Changxin Refrigeration Parts Co.Other payable 57098.03 173907.41
Ltd.Other payable Sichuan Ailian Technology Co. Ltd. 51306.28 50000.00
Sichuan Changhong Package Printing Co.Other payable 50000.00 139699.18
Ltd.Other payable 081 Electronic Group Co. Ltd. 40867.89 -
Sichuan Changhong Intelligence
Other payable 34550.00 109596.00
Manufacturing Technology Co. Ltd.Other payable Guangdong Changhong Electric Co. Ltd. 17514.52 25113.76
Chengdu Guigu Environmental Technology
Other payable 5717.80 -
Co. Ltd
Sichuan Changhong International Hotel Co.Other payable 849.06 -
Ltd
Other payable Yuanxin Financial Leasing Co. Ltd - 61295062.03
Sichuan Changhong New Energy Technology
Other payable - 50000.00
Co. Ltd.Other payable CHANGHONG (HK) TRADING LIMITED - 3334.85
Sichuan Changhong Precision Electronic
Other payable - 734.43
Technology Co. Ltd
Sichuan Changhong Device Technology Co.Other payable - 29.70
Ltd.Total 1435821246.83 858200695.67
XIII. Commitments and contingencies
(I) Important commitments
As of December 31 2024 the Company has no important commitments that should be
disclosed but not disclosed.
352Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)(II) Contingency
1. Pending action or possible liabilities formed from arbitration
In November 2021 Zhejiang Teruisi Pharmaceutical Co. Ltd. filed a lawsuit against
Zhongke Meiling for the "Contract for Cold Storage Design Equipment Procurement and
Installation Construction". Up to now Zhongke Meiling and Zhejiang Teruisi Pharmaceutical Inc.have reached a preliminary settlement intention and have withdrawn the third-stage cost appraisal
from the court and both are communicating the project maintenance plan. The estimated
maintenance cost is RMB 1720534.42.As of December 31 2024 apart from the aforementioned lawsuits some of our subsidiaries
have been defendants in certain legal proceedings and plaintiffs in other lawsuits that arise in our
daily business operations. Although the outcome of these contingencies legal proceedings or
other lawsuits cannot be determined at present the management believes that any resulting
liabilities will not have a significant negative impact on the financial condition or operating
performance of the company
XIVI. Events occurring after the balance sheet date
1. Profit distribution:
According to the audit by Pan-China Certified Public Accountants LLP in 2024 the net profit
realized in individual financial statements of the parent company was RMB 254008762.00. As of
December 31 2024 the cumulative undistributed profit in individual financial statements of the
parent company was RMB1213740009.40. In addition in the consolidated financial statements
of the company for the year 2024 the net profit attributable to the owners of the parent company
was 699270051.82 yuan. As of December 31 2024 the cumulative undistributed profit in the
consolidated financial statements was 1803207185.06 yuan.According to relevant regulations the distribution of company profits should be based on the
profits available for distribution by the parent company and follow the principle of distributing
the lower of the cumulative undistributed profits in the consolidated financial statements and the
parent company's financial statements. Therefore the distributable profit for 2024 is the
accumulated undistributed profit of RMB 1213740009.40 in individual financial statements of
the parent company
Based on relevant regulations and the provisions of the Company's Articles of Association taking
into account the interests of shareholders and the long-term development needs of the company it
is proposed to: Based on the total share capital of 1029923715 shares as of December 31 2024
the company will distribute a cash dividend of 3.3 yuan (including tax) to all shareholders for
every 10 shares without bonus shares or conversion of reserve funds into share capital. It is
expected to distribute a cash dividend of 339874825.95 yuan.After this distribution it is expected that the remaining cumulative undistributed profit of the
parent company will be 873865183.45 yuan and the remaining undistributed profit will be
353Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)carried forward for distribution in future years.The aforementioned plan has been reviewed and approved by the 12th meeting of the 11th Board
of Directors of the company and is still awaiting approval by the shareholders' meeting.XV. Other significant matters
(I) Branch information
1. Determine the factors considered by the reporting segment
The Company determines the reporting segment based on the internal organizational structure
management requirements and internal reporting system and according to the business segment. It
assesses the operating performance of refrigerator freezer and washing machine business air
conditioner business small home appliances business and other product business respectively.
2.Branch information
In RMB 10000
Refrigerator
freezer Small home Sales in
Item Air-conditioner Other Total
Washing appliances branch
machine
Operation
1142403.051561619.05167973.8845208.5457100.912860103.60
income
Including:
foreign trade 1133744.67 1561597.20 148555.36 16206.38 2860103.60
income
Income from
transactions
8658.3821.8519418.5129002.1757100.91
between
divisions
Operation
1121856.591519683.59165473.4842824.0956715.272793122.48
expenses
Other income
and expense 12667.10 1917.89 1628.23 988.70 2825.27 14376.66
items
Operation
33213.5643853.344128.623373.153210.9081357.78
profit
Total assets 1356959.01 1085358.64 91131.17 49139.52 203023.35 2379565.00
Total liability 811539.38 897997.95 60986.28 12272.00 37578.81 1745216.79
Supplementary
information
354Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Depreciation
and
24434.5316321.41324.242045.56183.5842942.15
amortization
expenses
Capital
21278.2527359.307.99953.5549599.08
expenditure
Not :Total assets do not include deferred income tax assets and total liabilities exclude deferred
income tax liabilities.XVI. Notes to main items of financial statement of parent company
1.Account receivable
(1) By account age
Account age Balance at year-end Balance at year-begin
Within 1 year（Including 1 year） 844020537.28 1455451760.05
Including：
Within 3 months (3 months included) 804602070.05 1405485686.08
More than 3 months and less than 6 months (6 months
37341630.4840372699.21
included)
Over 6 months and within one year (One year included) 2076836.75 9593374.76
Over one year - within 2 years (2 years included) 967919.29 13012239.58
Over 2 years - within 3 years (3 years included) 6068876.14 26677206.61
Over 3 years 46551037.50 24592353.91
Total 897608370.21 1519733560.15
(2) By accrual of bad debt provision
1) Detail
Ending Balance
Book balance Bad debt provision Category
Ratio Ratio Book value
Amount Amount
(%)(%)
Account receivable that
withdrawal bad debt provision 550963154.98 61.38 57852034.98 10.50 493111120.00
by single item
Including: Account receivable
24607781.542.7424607781.54
with letter of credit
355Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Ending Balance
Book balance Bad debt provision Category
Ratio Ratio Book value
Amount Amount
(%)(%)
Current payment with related
506527455.8356.4340131974.457.92466395481.38
party
Receivables whose single
amount is not significant but
19827917.612.2117720060.5389.372107857.08
whose single provision for bad
debts
Account receivable withdrawal
346645215.2338.626520449.241.88340124765.99
bad debt provision by portfolio
Including: account receivable
346645215.2338.626520449.241.88340124765.99
of engineering customers
Total 897608370.21 100.00 64372484.22 7.17 833235885.99
Continued
Amount at year-begin
Book balance Bad debt provision
Category
Ratio Ratio Book value
Amount Amount
(%)(%)
Account receivable that
withdrawal bad debt 876212956.55 57.66 53914896.27 6.15 822298060.28
provision by single item
Including: Account
receivable with letter of 52483325.93 3.45 52483325.93
credit
Current payment with
803660757.4652.8839553880.214.92764106877.25
related party
Receivables whose single
amount is not significant
20068873.161.3214361016.0671.565707857.10
but whose single provision
for bad debts
Account receivable
withdrawal bad debt 643520603.60 42.34 14023130.16 2.18 629497473.44
provision by portfolio
Including: account
receivable of engineering 643520603.60 42.34 14023130.16 2.18 629497473.44
customers
Total 1519733560.15 100.00 67938026.43 4.47 1451795533.72
356Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)
2) ) Account receivable withdrawal bad debt provision by portfolio
Balance at year-end
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months included) 341176281.76 3411762.82 1.00
More than 3 months and less than 6
342770.6234277.0610.00
months (6 months included)
Over 6 months and within one year (One
2076836.75415367.3520.00
year included)
Over one year - within 2 years (2 years
780567.95390283.9850.00
included)
Over 2 years - within 3 years (3 years
0.600.4880.00
included)
Over 3 years 2268757.55 2268757.55 100.00
Total 346645215.23 6520449.24 1.88
Continued
Balance at year-begin
Account age
Book balance Bad debt provision Provision ratio (%)
Within 3 months (3 months included) 616484217.92 6164842.18 1.00
More than 3 months and less than 6
10991345.131099134.5110.00
months (6 months included)
Over 6 months and within one year (One
9190814.211838162.8420.00
year included)
Over one year - within 2 years (2 years
2053806.511026903.2650.00
included)
Over 2 years - within 3 years (3 years
4531662.283625329.8280.00
included)
Over 3 years 268757.55 268757.55 100.00
Total 643520603.60 14023130.16 2.18
(3) Changes in bad debt provisions
1) Detail
Changes this year
Balance at Resale Balance at Category
year-begin Withdrawal Other Accrual or year-end
or reversal decreases
write-off
Withdrawal
53914896.273987224.5850085.8757852034.98
bad debt
357Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Changes this year
Balance at Resale Balance at Category
year-begin Withdrawal Other Accrual or year-end
or reversal decreases
write-off
provision
by single
item
Withdrawal
bad debt
14023130.16-7502680.926520449.24
provision
by portfolio
Total 67938026.43 -3515456.34 50085.87 64372484.22
(5) Top 5 accounts receivable and contract assets amount
Top 5 receivables collected by arrears party amounting to 540891866.45 yuan in total accounted
for 60.26% of the receivables of current year-end the bad debt provision accrual correspondingly
amounting to 2028050.45 yuan at year-end balance.
2.Other account receivable
(1) Detail
Ending balance Ending balance Opening balance
Dividend receivable 12124951.70
Other account receivable 137057080.76 61841221.91
Total 149182032.46 61841221.91
(2) Dividend receivable
Detail
Ending balance Ending balance Opening balance
Sichuan Zhiyijia Network Technology Co. Ltd. 11849751.70
Sichuan Hongyun New Generation Information Technology
Venture Capital Fund Partnership Enterprise (Limited 275200.00
Partnership
Subtotal 12124951.70
(3) Other receivable
1)) Category of other account receivable
358Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Book balance at Book balance at
Nature
year-end year-begin
Loans of employee’s pretty cash 5755189.42 10727346.46
Cash deposit 4369898.32 4109987.09
Export rebate 95274068.20 41179511.61
Related party 31839049.68 5957370.23
Other 473034.34 456265.42
Subtotal 137711239.96 62430480.81
2) By account age
Account age Balance at year-end Balance at year-begin
Within 3 months 105115890.25 53994269.35
More than 3 months and less than 6 months 370007.17 1161881.37
Over 6 months and within one yea 971808.01 2017703.46
1-2 years 1486879.41 1206412.81
2-3 years 313350.00 1288721.92
Over 3 years 29453305.12 2761491.90
Subtotal 137711239.96 62430480.81
3) By accrual of bad debt provision
* Detail
Amount at year-end
Book balance Bad debt provision
Category
Ratio Ratio Book value
Amount Amount
(%)(%)
That withdrawal bad debt
137711239.96100.00654159.200.48137057080.76
provision by single item
In which: other receivables
with no major individual
amount but bad debt 10598122.08 7.70 654159.20 6.17 9943962.88
provision accrued
individually
Export rebate receivable 95274068.20 69.18 95274068.20
Other receivables under the
31839049.6823.1231839049.68
same control and of related
359Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Amount at year-end
Book balance Bad debt provision
Category
Ratio Ratio Book value
Amount Amount
(%)(%)
parties with significant influence
In which: other receivables
accrued by aging portfolio
Total 137711239.96 100.00 654159.20 0.48 137057080.76
Continued
Balance at year-begin
Book balance Bad debt provision
Category
Ratio Ratio Book value
Amount Amount
(%)(%)
That withdrawal bad debt
62430480.81100.00589258.900.9461841221.91
provision by single item
In which: other receivables
with no major individual
15293598.9724.50589258.903.8514704340.07
amount but bad debt provision
accrued individually
Export rebate receivable 41179511.61 65.96 41179511.61
Other receivables under the same
control and of related parties with 5957370.23 9.54 5957370.23
significant influence
In which: other receivables
accrued by aging portfolio
Total 62430480.81 100.00 589258.90 0.94 61841221.91
4) Changes in bad debt provisions
* Detail
First stage Second stage Third stage
Expected credit
Expected credit loss
Item Expected credit loss for the whole for the whole Subtotal
loss in next 12 duration (credit
duration (no credit
months impairment has
impairment)
occurred)
Balance at year-begin 589258.90 589258.90
Balance at year-begin
——————
in Current Year
360Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)First stage Second stage Third stage
Expected credit
Expected credit loss
Item Expected credit loss for the whole for the whole Subtotal
loss in next 12 duration (credit
duration (no credit
months impairment has
impairment)
occurred)
--Transfer to the
second stage
-- Transfer to the
third stage
-- Reversal to the
second stage
-- Reversal to the first
stage
Provision in Current
64900.3064900.30
Year
Reversal in Current
Year
Write off in Current
Year
Other change
Balance at year-end 654159.20 654159.20
* Bad debt provision for other receivables accrued recovered or reversed this year
Amount of change this year
Year-end
Category Year-beginning Recovery or Write-off or
Accrual Other balance
reversal cancellation
Withdrawal
bad debt
provision 589258.90 64900.30 654159.20
by single
item
Total 589258.90 64900.30 654159.20
5) Top 5 other receivables
361Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Proportion Bad
in total debt
other provi
receivable sion
Name Nature Balance at year-end Account age
s ending Balan
balance ce at
(%) year-e
nd
Unit I Tax rebate 95274068.20 Within 3 months 69.18
Within 3
months6months-1
Unit II Related party 26524883.46 19.26
year1-2 years2-3
yearsOver 3 years
Loans of
Unit III employee’s pretty 2217600.00 Within 3 months 1.61
cash
Unit IV Cash deposit 1461173.01 Within 3 months 1.06
Loans of
Unit V employee’s pretty 1437680.00 Within 3 months 1.05
cash
Total 126915404.67 92.16
3. Long-term equity investments
(1) Detail
Ending balance
Item
Book balance Impairment loss Book value
Investment in subsidiaries: 1988985053.01 1988985053.01
Investment in associates: 74340161.06 74340161.06
Total 2063325214.07 2063325214.07
(Continued)
Opening balance
Item
Book balance Impairment loss Book value
Investment in subsidiaries: 1756435120.88 1756435120.88
Investment in associates: 101040690.02 101040690.02
Total 1857475810.90 1857475810.90
(2) Investment in subsidiaries
362Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Opening balance Changes in Current Period
Provisi
Invested enterprise NegatiImpairme on for Additional ve
Book balance impair Other
nt loss Investment Invest ment
ment
loss
Zhongke Meiling Cryogenic
42652000.00
Technology Co. Ltd
Mianyang Meiling Refrigeration
95000000.00
Co. Ltd.Zhongshan Changhong Electric
304856419.37
Co. Ltd
Sichuan Changhong
955600437.79
Air-conditioner Co. Ltd
Hefei Meiling Group Holdings
113630000.00
Limited
Jiangxi Meiling Electric Appliance
79000000.00
Co. Ltd.Changhong Meiling Ridian
91082111.12
Technology Co. Ltd.Hefei Meiling Wulian Technology
10000000.00
Co. Ltd
CH-Meiling.International
6889100.00
(Philippines) Inc.Hefei Changhong Meiling Life
35000000.00
Appliances Co. Ltd.Sichuan Hongmei Intelligent
22725052.60
Technology Co. Ltd
Hefei Changhong Industrial Co. 232549932.1
Ltd. 3
232549932.1
Subtotal 1756435120.88
3
(continued)
Ending balance
Invested enterprise
Book balance Impairment loss
Zhongke Meiling Cryogenic Technology Co. Ltd 42652000.00
Mianyang Meiling Refrigeration Co. Ltd. 95000000.00
Zhongshan Changhong Electric Co. Ltd 304856419.37
Sichuan Changhong Air-conditioner Co. Ltd 955600437.79
Hefei Meiling Group Holdings Limited 113630000.00
363Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Jiangxi Meiling Electric Appliance Co. Ltd. 79000000.00
Changhong Meiling Ridian Technology Co. Ltd. 91082111.12
Hefei Meiling Wulian Technology Co. Ltd 10000000.00
CH-Meiling.International (Philippines) Inc. 6889100.00
Hefei Changhong Meiling Life Appliances Co. Ltd. 35000000.00
Sichuan Hongmei Intelligent Technology Co. Ltd 22725052.60
Hefei Changhong Industrial Co. Ltd. 232549932.13
Subtotal 1988985053.01
(3) Investment in associates
Opening balance Changes in Current Period
Investment
Other
gains and
Invested enterprise Additional Negative comprehenImpairme losses
Book value Investmen Investmen sive
nt loss recognized
t t earnings
under the
adjustment
equity metho
Hefei Xingmei
Assets Management 14139256.78 25235.21
Co. Ltd.Sichuan Zhiyijia
Network Technology 68854162.70 8268998.98
Co. Ltd.Sichuan Hongyun
Venture Capital 1800000
18047270.54104729.46
Partnership (Limited 0.00
partnership)
1800000
Total 101040690.02 8398963.65
0.00（continued）
Changes in Current Period Ending balance
Invested enterprise Provision
Other equity Cash dividend or profit for Impairmen
Other Book value
change announced to issued impairment t loss
loss
Hefei Xingmei Assets
14164491.99
Management Co. Ltd.Sichuan Zhiyijia
16947492.6160175669.07
Network Technology
364Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Changes in Current Period Ending balance
Invested enterprise Provision
Other equity Cash dividend or profit for Impairmen
Other Book value
change announced to issued impairment t loss
loss
Co. Ltd.Sichuan Hongyun
Venture Capital
152000.00
Partnership (Limited
partnership)
Total 17099492.61 74340161.06
(II)profit statement item notes of parent company
1. Operation income operation cost
(1) Detail
Current Period Last Period
Item
Income Cost Income Cost
Main business 9743416487.41 8916334488.72 9149147263.72 8312866759.79
Other business 589138389.17 534700358.27 459251266.85 402474977.16
Total 10332554876.58 9451034846.99 9608398530.57 8715341736.95
(2)Income information
Current Period Last Period
Item
Operation income Operation cost Operation income Operation cost
Product
Including：air
3447265.493447282.049284414.169279679.94
conditioner
Refrigerator
7786693499.057182764867.617620019850.616971955522.77
freezer
Washing machine 1722549267.91 1529070147.07 1298981507.21 1129740688.09
Small household
appliances and
230726454.96201052192.00220861491.74201890868.99
kitchen and
bathroom
Other 589138389.17 534700358.27 459251266.85 402474977.16
Area
365Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)Current Period Last Period
Item
Operation income Operation cost Operation income Operation cost
Including：
5675953763.655366965328.845565648590.035302764073.54
Domestic
Overseas 4656601112.93 4084069518.15 4042749940.54 3412577663.41
Subtotal 10332554876.58 9451034846.99 9608398530.57 8715341736.95
2. Investment income
Item Current Year Last Year
Long-term equity investment income by equity method 8398963.65 18713956.61
Long-term equity investment income by Cost method 32784230.13 168821072.56
Investment income obtained from the disposal of trading
18233784.22-18582366.11
financial assets
Investment income obtained from disposal of derivative
-8333541.14
financial assets
Interest income from debt investment during the holding
20153596.8514558956.62
period
Investment income of other non-current financial assets
14911850.5512932690.90
during holding period
The termination of income recognition for financial assets
-9688921.63-6157758.00
measured by amortized cost
Total 76459962.63 190286552.58
XVII. Other supplementary information
(1) Non-recurring gains and losses
(1) Detail
Item Current Year Note
Non-current asset disposal gain/loss(including the write-off part for
-4568990.35
which assets impairment provision is made)
Government subsidies recognized in current gain and
loss(excluding those closely related to the Company’s business and 95130581.90
granted under the state’s policies)
Net profit and loss of subsidiaries arising from mergers of
enterprises under the same control from the beginning of the period 1918902.01
to the merger date
366Annotations of Financial Statements of Changhong Meiling Co. Ltd.
January 1 2024 to December 31 2024
（Unless other wise specified RMB for record in the statement)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
-109763982.52
assetstrading financial liability and financial assets
available-for-sale excluded effective hedging business relevant
with normal operations of the Company
Reversal of the account receivable depreciation reserves subject to
28600649.28
separate impairment test
Other non-operating income and expenses other than the above 3048181.61
Subtotal 14365341.93
Less：Impact number of enterprise income tax -4813416.23
Less: minority shareholders’ equity (post-tax) 10356345.97
Net non-recurring gains and losses attributable to the owner of the
8822412.19
parent company
2. Return on equity and earnings per share
Weighted average return Earnings per share/EPS (RMB/Share)
Profit during the report period
on equity Basic EPS Diluted EPS
Net profit attributable to ordinary
11.18%0.67900.6790
shareholders of the parent company
Net profit attributable to ordinary
shareholders of the parent company
11.49%0.67040.6704
after deduction of the non-recurring
gains/losses
Changhong Meiling Co. Ltd.Chairman: Wu Dinggang
April 3 2025
367
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