Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

Bingshan Refrigeration & Heat Transfer

Technologies Co. Ltd.QUARTERLY REPORT FOR FIRST QUARTER

2025

April 2025

1Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd.QUARTERLY REPORT FOR FIRST QUARTER 2025

Important Notes

1.1 The directors and the Board of Directors the supervisors and the Supervisory Board and Senior staff members

of Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. (hereinafter referred to as the Company) hereby

confirm that there are no any important omissions fictitious statements or serious misleading carried in this report

and shall take all responsibilities individual and/or joint for the reality accuracy and completeness of the whole

contents.

1.2 Chairman of the Board of Directors of the Company Financial Majordomo and the head of Accounting

Department hereby confirm that the financial report of the quarterly report is true and complete.

1.3 This report is written respectively in Chinese and in English. In the event of any discrepancy between the two

above-mentioned versions the Chinese version shall prevail.§1 Major accounting data

1.1 Major accounting data and financial indexes

Increase/decrease compared

January-March 2025 January-March 2024

with previous year

Operating revenue 1163373691.60 1160307673.73 0.26%

Net profit attributable to shareholders of listed

30109739.0229260174.462.90%

companies

Net profit belonging to the shareholders of

listed companies after the deduction of non- 30684868.37 24431907.94 25.59%

recurring profit and loss

Net cash flow from operating activities -187028757.61 -158187622.10 -18.23%

Basic earnings per share 0.04 0.03 33.33%

Diluted earnings per share 0.04 0.03 33.33%

Weighted average return on net asset yield 0.96% 0.96% 0%

Increase/decrease compared

March 31 2025 December 31 2024

with year beginning

Total assets 7450631732.95 7628315487.35 -2.33%

Owner's equity attributable to shareholders of

3163007587.053132102966.640.99%

listed companies

1.2 non-recurring gains and losses

√ Applicable □ Inapplicable

Amount from beginning

Item of non-recurring gains and losses of year to the end of

report period

Disposal gains and losses of non-current asset 26875.08

Government subsidies included in current profit or loss 1873478.00

Impairment provisions for receivables that undergo impairment tests separately are reversed 654000.0

Gains and losses on debt restructuring -2092268.90

One-time expenses incurred by an enterprise due to the cessation of related business

-1182074.90

activities such as expenditures for reemploying employees etc

Other operating revenue or expense 408012.82

Income tax effect 274729.37

Minority shareholders’ gains and losses -11577.89

Total -575129.35

1.3 Major changes in main financial items and indexes and description of the cause

2Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

√ Applicable □ Inapplicable

(1). Notes receivable decreased by 30.81% compared with the beginning of the year mainly due to the increase in bill payments

in the current settlement and the decrease in bank acceptance bills held in hand at the end of the period.

(2). The employee compensation payable decreased by 69.29% compared with the beginning of the year mainly due to the

employee compensation (year-end bonuses etc.) accrued at the end of the previous period has been paid in this period.

(3). Financial expenses decreased by 4.95 million yuan year-on-year mainly due to the reduction in borrowing in the current

period and the decline in borrowing interest rates which led to a corresponding decrease in interest expenses.

(4). Other income decreased by 3.02 million yuan year-on-year mainly due to the reduction in input tax and the decrease in

additional deductions for value-added tax in the current period.

(5). The income from asset disposal decreased by 10.36 million yuan year-on-year mainly due to the sale of machinery

equipment and inspection tools and molds by the subsidiary Sonyo Compressor in the same period last year

(6). Non-operating expenses decreased by 3.82 million yuan year-on-year mainly due to the impact of the scrapping of fixed

assets by the subsidiary Sonyo Compressor in the same period last year.

(7).Net cash flow arising from investment activities decreased by 37.28 million yuan year-on-year mainly due to the subsidiary

Sonyo Compressor sold machinery and equipment as well as inspection tools and molds during the same period last year.

(8). Net cash flow generated from financing activities decreased by 25.2 million yuan year-on-year mainly due to the reduction

in working capital borrowings.§2 shareholders information

2.1 Total number and particulars of the shareholders by the end of the report period

Total number of shareholders in Total number of shareholders as of the last month

689840

the reporting period before disclosure of the annual report

Shareholding of top ten shareholders

Number of shares Number of

Name Nature Proportion Total number with sale pledged shares

restriction or shares frozen

Domestic non-state-owned

Dalian Bingshan Group Co. Ltd. 20.27% 170916934.00 0 0

legal person

Sanyo Electric Co. Ltd. Overseas legal person 8.72% 73503150.00 0 0

Lin Zhenming Foreign natural person 0.80% 6710000.00 0 0

Cao Yifan Domestic natural person 0.71% 5950225.00 0 0

Xue Hong Domestic natural person 0.43% 3660000.00 0 0

Chen Niansheng Domestic natural person 0.42% 3542700.00 0 0

Shen Kemin Domestic natural person 0.37% 3115800.00 0 0

Chen Yong Domestic natural person 0.32% 2700000.00 0 0

Wang Shan Domestic natural person 0.31% 2625900.00 0 0

Zhang Lianyun Domestic natural person 0.28% 2331500.00 0 0

Shareholding of top ten shareholders without sale restriction

Number of shares without

Name Type of shares

sale restriction

Dalian Bingshan Group Co. Ltd. 170916934.00 RMB denominated ordinary shares

Sanyo Electric Co. Ltd. 73503150.00 Domestically listed foreign shares

Lin Zhenming 6710000.00 Domestically listed foreign shares

Cao Yifan 5950225.00 Domestically listed foreign shares

Xue Hong 3660000.00 Domestically listed foreign shares

Chen Niansheng 3542700.00 RMB denominated ordinary shares

Shen Kemin 3115800.00 RMB denominated ordinary shares

Chen Yong 2700000.00 RMB denominated ordinary shares

Wang Shan 2625900.00 RMB denominated ordinary shares

Zhang Lianyun 2331500.00 RMB denominated ordinary shares

3Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

Dalian Bingshan Group Co. Ltd. had the association relationship with

Notes to the associated relationship and uniform actions of the

Sanyo Electric Co. Ltd. among the above shareholders. Sanyo Electric

above shareholders Co. Ltd. holds 26.6% of Dalian Bingshan Group Co. Ltd.'s equity.Note: At the end of the reporting period the total number of shareholders of the Company was 68984 including

61830 A-share shareholders and 7154 B-share shareholders.

2.2 Total number of preferred shareholders and shareholding of top 10 preferred shareholders of the company

□Applicable √Inapplicable

§3 Other important matters

□Applicable √Inapplicable

§4 Financial Report (attached)

Not audited.Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd.April 24 2025

4Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

CONSOLIDATED BALANCE SHEET

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. March 31 2025 Unit: RMB Yuan

Items 31-Mar-2025 1-Jan-2025

Current assets:

Monetary funds 834999479.20 1042143744.67

Transaction financial assets

Financial assets which are measured by fair value and which changes

are recorded in current profit and loss

Derivative financial assets

Notes receivable 244142476.90 352854863.48

Accounts receivable 1707345952.83 1492234348.90

Receivables financing 372037294.93 382073283.27

Accounts in advance 182418400.82 164042640.06

Other receivables 48995263.83 45759566.06

Interest receivables

Dividend receivable 11150.00

Inventories 1313654672.47 1393653788.81

Contract assets 196932067.89 184760940.32

Assets held for sale

Non-current asset due within one year 57550.43 57550.43

Other current assets 13322981.97 27636378.46

Total current assets 4913906141.27 5085217104.46

Non-current assets:

Finance asset held available for sales

Held-to-maturity investment

Long-term account receivable 142281.33 140017.84

Long-term equity investment 495065883.92 481973415.36

Other non-current financial assets 1683852.59 1683852.59

Investment property 137109964.59 117931720.24

Fixed assets 1195357530.92 1211794069.63

Construction in progress 65918007.37 83310986.80

Right-of-use asset 21172645.92 23318732.46

Productive biological asset

Oil and gas asset

Intangible assets 200408941.97 203999076.19

Expense on Research and Development

Goodwill 286402171.93 286402171.93

Long-term expenses to be apportioned 6204305.43 5719603.26

Deferred income tax asset 104188096.83 103752827.71

Other non-current asset 23071908.88 23071908.88

Total non-current asset 2536725591.68 2543098382.89

Total assets 7450631732.95 7628315487.35

Current liabilities:

Short-term loans 154935399.63 167283407.26

Financial liabilities which are measured by fair value and which

changes are recorded in current profit and loss

Derivative financial liabilities

Transaction financial liabilities

5Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

Notes payable 563956001.10 569117426.19

Accounts payable 1687944602.97 1601381790.80

Accounts received in advance

Contract liability 527981096.76 645711808.53

Wage payable 45067731.04 146734696.02

Taxes payable 27449150.41 30276580.76

Other accounts payable 202783637.01 227361207.96

Interest payable

Dividend payable 533156.00 533156.00

Liabilities held for sale

Non-current liabilities due within one year 204421212.64 161421072.72

Other current liabilities 155673624.95 191009526.67

Total current liabilities 3570212456.51 3740297516.91

Non-current liabilities:

Long-term loans 508550000.00 547346541.25

Bonds payable

Preferred stock

Perpetual bond

Lease liability 18030182.99 19071845.78

Long-term account payable 13645879.56 12451396.59

Long-term wage payable

Special payable

Anticipation liabilities 2703369.53 2703369.53

Deferred income 90173777.67 90733480.29

Deferred income tax liabilities 25568850.86 26601881.56

Other non-current liabilities

Total non-current liabilities 658672060.61 698908515.00

Total liabilities 4228884517.12 4439206031.91

Shareholders’ equity

Share capital 843212507.00 843212507.00

Other equity instruments

Preferred stock

Perpetual bond

Capital public reserve 717097098.38 717097098.38

Less:Treasury stock

Other comprehensive income 2208669.73 2208669.73

Special preparation 794881.39

Surplus public reserve 895618513.69 895618513.69

Generic risk reserve

Retained profit 704075916.86 673966177.84

Total owner’s equity attributable to parent company 3163007587.05 3132102966.64

Minority interests 58739628.78 57006488.80

Total owner’s equity 3221747215.83 3189109455.44

Total liabilities and shareholder’s equity 7450631732.95 7628315487.35

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Wu Bin

6Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

CONSOLIDATED INCOME STATEMENT

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. January-March2025 Unit: RMB Yuan

Items January-March 2025 January-March 2024

I. Total sales 1163373691.60 1160307673.73

II. Total operating cost 1137996382.08 1126179638.97

Including: Operating cost 990200439.30 968297921.32

Taxes and associate charges 6868218.86 7555059.28

Selling and distribution expenses 48144976.77 48786253.07

Administrative expenses 59487615.15 57612917.61

R&D expenses 31215828.25 36893623.10

Financial expense 2079303.75 7033864.59

Including: interest expense 5960440.33 8852515.46

interest income 1898313.25 2581270.98

Add: Other income 4313119.09 7327524.19

Gain/(loss) from investment 11000199.66 5589837.86

Including: income from investment on affiliated enterprise and jointly

13092468.565003981.26

enterprise

Gain/(loss) from change in fair value -11019108.08Credit impairment loss (loss as “-“) -616011.11 -7305886.60Assets impairment loss (loss as “-“) -2404508.64 -2268116.37Gain/(loss) from asset disposal -22586.07 10335085.68

III. Operating profit 37647522.45 36787371.44

Add: non-business income 683238.00 953924.20

Less: non-business expense 226714.03 4053521.02

IV. Total profit 38104046.42 33687774.62

Less: Income tax 6261167.44 5075197.58

V. Net profit 31842878.98 28612577.04

(I) Net profit from continuous operation

(II)Net profit from discontinuing operation

Net profit attributable to parent company 30109739.02 29260174.46

Minority shareholders’ gains and losses 1733139.96 -647597.42

VI. After-tax net amount of other comprehensive incomes

After-tax net amount of other comprehensive incomes attributable to owners

of the Company

(I) Other comprehensive incomes that will not be reclassified into gains

and losses

1. Changes in net liabilities or assets with a defined benefit plan upon re-

measurement

2. Enjoyable shares in other comprehensive incomes in invests that

cannot be reclassified into gains and losses under the equity method

(II) Other comprehensive incomes that will be reclassified into gains and

losses

1. Enjoyable shares in other comprehensive incomes in invests that will

be reclassified into gains and losses under the equity method

2. Changes in the fair value of other debt investments

3. Gains and losses on fair value changes of available-for-sale financial

assets

4. The amount of financial assets reclassified into other comprehensive

income

5. Held-to-maturity investments are reclassified as saleable financial

asset gains and losses

6.Others

7Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

After-tax net amount of other comprehensive incomes attributable to

minority shareholders

VII Total comprehensive income 31842878.98 28612577.04

Total comprehensive income attributable to parent company 30109739.02 29260174.46

Total comprehensive income attributable to minority shareholders 1733139.96 -647597.42

VIII. Earnings per share

(I) basic earnings per share 0.04 0.03

(II) diluted earnings per share 0.04 0.03

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Wu Bin

CONSOLIDATED CASH FLOW STATEMENT

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. January-March2025 Unit: RMB Yuan

Items January-March 2025 January-March 2024

I. Cash flows arising from operating activities:

Cash received from selling commodities and providing labor services 924497053.38 1047185399.83

Write-back of tax received 23024540.42 14163964.37

Other cash received concerning operating activities 19842907.00 22322467.98

Subtotal of cash inflow arising from operating activities 967364500.80 1083671832.18

Cash paid for purchasing commodities and receiving labor service 799505304.92 881068805.80

Cash paid to/for staff and workers 272271511.36 262539400.73

Taxes paid 32058354.95 46204710.30

Other cash paid concerning operating activities 50558087.18 52046537.45

Subtotal of cash outflow arising from operating activities 1154393258.41 1241859454.28

Net cash flows arising from operating activities -187028757.61 -158187622.10

II. Cash flows arising from investing activities:

Cash received from recovering investment

Cash received from investment income 11150.00 14495.00

Net cash received from disposal of fixed intangible and other long-term assets 64225.90 30109304.89

Net cash received from disposal of subsidiaries and other units

Other cash received concerning investing activities

Subtotal of cash inflow from investing activities 75375.90 30123799.89

Cash paid for purchasing fixed intangible and other long-term assets 20964881.97 13737848.32

Cash paid for investment

Net cash paid for achievement of subsidiaries and other business units

Other cash paid concerning investing activities

Subtotal of cash outflow from investing activities 20964881.97 13737848.32

Net cash flows arising from investing activities -20889506.07 16385951.57

III. Cash flows arising from financing activities

Cash received from absorbing investment

Including: Cash received from absorbing minority shareholders' equity investment by

subsidiaries

Cash received from loans 78911221.74 170848339.00

Cash received from issuing bonds

Other cash received concerning financing activities 1000000.00 2000000.00

Subtotal of cash inflow from financing activities 79911221.74 172848339.00

Cash paid for settling debts 79120161.00 135000000.00

Cash paid for dividend and profit distributing or interest paying 5094388.49 7509871.89

8Bingshan Refrigeration & Heat Transfer Technologies Co. Ltd. Quarterly Report For First Quarter 2025

Including: dividends or profit paid by subsidiaries to minority shareholders

Other cash paid concerning financing activities 7136766.04 16581288.91

Subtotal of cash outflow from financing activities 91351315.53 159091160.80

Net cash flows arising from financing activities -11440093.79 13757178.20

IV. Influence on cash due to fluctuation in exchange rate 2205313.80 835808.20

V. Net increase of cash and cash equivalents -217153043.67 -127208684.13

Add: Balance of cash and cash equivalents at the period -begin 1040687048.04 670440335.98

VI. Balance of cash and cash equivalents at the period–end 823534004.37 543231651.85

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Wu Bin

9