Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Stock Code: 000541 200541 Stock Name: FSL FSL-B Announcement No. 2023-065

FOSHAN ELECTRICAL AND LIGHTING CO. LTD.THIRD QUARTERLY REPORT 2023

Foshan Electrical and Lighting Co. Ltd. (hereinafter referred to as the “Company”) and all the members

of the Company’s Board of Directors hereby guarantee that the contents of this Report are true accurate

and complete and free of any misrepresentations misleading statements or material omissions.Important Notes:

1. The Board of Directors the Supervisory Committee as well as the directors supervisors and senior

management of the Company hereby guarantee that the contents of this Report are true accurate and complete

and free of any misrepresentations misleading statements or material omissions and collectively and

individually accept legal responsibility for such contents.

2. The Company’s legal representative Chief Financial Officer (CFO) and person-in-charge of the Company’s

accounting organ (equivalent to accounting manager) hereby guarantee that the financial statements carried in

this Report are true accurate and complete.

3. Indicate whether the financial statements in this Report have been audited by an independent auditor.

□Yes □ No

I Key Financial Information

(I) Key Accounting Data and Financial Indicators

Indicate whether there is any retrospectively restated datum in the table below.□Yes □ No

Reason for any retrospectively adjustment or restatement

Changes to accounting policies and business Combination under the same control

YoY YoY

Q3 2022 Q1-Q3 Q1-Q3 2022

Q3 2023 change (%) change (%)

2023

Before Restated Restated Before Restated Restated

Operating

223094520614122091857679700864096816525188

revenue 6.65% 4.17%

(RMB) 274.66 360.91 134.06 003.68 360.22 527.48

Net profit 6975656 6008802 6139147 13.63% 2386918 2207524 2249194 6.12%

1Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

attributable 8.65 6.76 8.35 01.19 60.04 98.13

to the listed

company’s

shareholder

s (RMB)

Net profit

attributable

to the listed

company’s

shareholder 4983899 6416790 6412083 2302282 2250304 2263354

-22.27%1.72%

s before 8.43 8.29 5.07 09.96 32.47 30.41

exceptional

gains and

losses

(RMB)

Net cash

generated

from/used

753566254428805752773

in — — — — 30.99%

operating 21.72 75.20 22.38

activities

(RMB)

Basic

earnings

per share 0.0517 0.0445 0.0455 13.63% 0.1769 0.1636 0.1667 6.12%

(RMB/shar

e)

Diluted

earnings

per share 0.0512 0.0441 0.0451 13.53% 0.1753 0.1636 0.1651 6.18%

(RMB/shar

e)

Weighted

average

1.36%1.20%0.75%0.61%4.59%3.88%2.78%1.81%

return on

equity (%)

31 December 2022 YoY change (%)

30 September 2023

Before Restated Restated

Total assets

15306358220.9115287061119.7015288860907.090.11%

(RMB)

Equity

attributable

to the listed

5187261100.025173066095.765173011348.740.28%

company’s

shareholder

s (RMB)

Reason for change to accounting policies :

In November 2022 the Ministry of Finance ("MOF") issued Accounting Standard for Business Enterprises

Interpretation No. 16 (hereinafter referred to as "Interpretation No. 16") which regulated the accounting

treatment for the exemption from initial recognition of the deferred income taxes related to assets and liabilities

arising from a single transaction. It specified that for single transactions that are not business combinations that

affect neither accounting profit nor taxable income (or deductible losses) at the time the transaction occurs and

where the initial recognition of assets and liabilities results in taxable temporary differences and deductible

temporary differences of equal amounts exemption from initial recognition of deferred income tax liabilities

2Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

and deferred income tax assets under Article XI (II) and Article XIII of Accounting Standard for Business

Enterprises No. 18 -- Income Taxes is not applicable. An enterprise shall recognise the corresponding deferred

income tax liabilities and deferred income tax assets for the taxable temporary differences and deductible

temporary differences arising from the initial recognition of assets and liabilities in respect of the transaction

when the transaction occurs. This provision came into force on 1 January 2023 and can be executed in advance.For exact amount affected see “(II) Adjustments to Financial Statement Items at the Beginning of the Year ofthe First Implementation of the New Accounting Standards Implemented since 2023” under Item IV in this

Report.(II) Exceptional Gains and Losses

□ Applicable □ Not applicable

Unit: RMB

Item Q3 2023 Q1-Q3 2023 Note

Gain or loss on disposal of

non-current assets (inclusive

13274955.0711875836.12

of impairment allowance

write-offs)

Government grants through

profit or loss (exclusive of

government grants given in

the Company’s ordinary

13550632.6340951624.68

course of business at fixed

quotas or amounts as per the

government’s uniform

standards)

Capital occupation charges on

non-financial enterprises that

56338.62201762.16

are recognized in profit or

loss

Gain or loss on fair-value

changes on held-for-trading

financial assets and liabilities

& income from disposal of

held-for-trading financial

assets and liabilities and 4433195.76 -16545307.62

available-for-sale financial

assets (exclusive of the

effective portion of hedges

that arise in the Company’s

ordinary course of business)

Non-operating income and

1925914.531084857.14

expense other than the above

Less: Income tax effects 4149865.85 3183612.26

Non-controlling

9173600.5425921568.99

interests effects (net of tax)

Total 19917570.22 8463591.23 --

Other items that meet the definition of exceptional gain/loss:

□Applicable □ Not applicable

3Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

No such cases in the Reporting Period.Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in the

Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the

Public—Exceptional Gain/Loss Items:

□Applicable □ Not applicable

No such cases in the Reporting Period.(III) Changes in Key Financial Statement Line Items and Explanation of why

□ Applicable □ Not applicable

Unit: RMB

Q1~Q3 2023/

Q1~Q3 2022/

Item 30 September Change (%) Explanation of why

1 January 2023

2023

Held-for-trading Redemption of wealth management products

181479512.22261541896.45-30.61%

financial assets upon maturity in the current period

Decreased bank acceptance notes with higher

Receivables financing 364872086.77 569868831.79 -35.97%

credit ratings in the current period

Reclassification of large depository receipts to

Other current assets 235091397.07 79438576.89 195.94%

other current assets in the current period

Expiry of some leases and rent abatements in the

Right-of-use assets 8388054.40 13047727.73 -35.71%

current period

Changes in the fair value of forward forex

Held-for-trading

14879250.00 4679000.00 218.00% settlement contracts as a result of currency

financial liabilities

fluctuations

Advances from

313404.00 2532442.44 -87.62% Decrease in advances of rentals

customers

Interest payable 18359.41 N/A A ccrued interest payable in the current period

Adjustment of dividends that were no longer

Dividends payable 10112.28 15646.07 -35.37%

needed to be paid in the current period

Long-term Repayment of some long-term borrowings in the

510871537.62747931023.71-31.70%

borrowings current period

Other non-current Decreased liabilities of subsidiary liquidated and

205769.48308780.61-33.36%

liabilities de-registered in the current period

Increased provisions for property tax and surtax

Taxes and levies 56954464.79 40721043.34 39.86%

of value added tax in the current period

Increased interest expense on borrowings in the

Interest expense 19331634.25 12789860.77 51.15%

current period

4Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Increased interest income from bank deposits in

Interest income 38170763.00 19191092.04 98.90%

the current period

Decrease in recognized income from fiscal

Other income 40940624.68 63287513.13 -35.31%

subsidies in the current period

Increased gains on forward forex settlement

Return on investment 19490163.08 13670258.81 42.57%

contracts in the current period

Share of profit or loss Increase in net profits of associates attributable

of joint ventures and 1558105.76 985142.24 58.16% to owners of the Company as the parent in the

associates current period

Increased receivable balance in the current

Credit impairment

-30867217.69 -6458671.84 -377.92% period resulting in increased allowances for

loss (“-” for loss)

doubtful amounts

Increased income from the disposal of fixed

Asset disposal income 12669744.50 283064.85 4375.92%

assets in the current period

Transfer to non-operating income of payables of

Non-operating

5569379.68 10752058.29 -48.20% subsidiary NationStar Optoelectronics that it did

income

not need to pay in the same period of last year

Non-operating The same period of last year saw a higher loss on

5267434.907575079.92-30.46%

expense the retirement of fixed assets

Decreased income arising from changes in the

Other comprehensive

-88509238.19 -378748998.86 76.63% fair value of investments in other equity

income net of tax

instruments in the current period

Other comprehensive

income net of tax Decreased income arising from changes in the

attributable to owners -89542585.21 -379127519.77 76.38% fair value of investments in other equity

of the Company as the instruments in the current period

parent

Changes in the fair

Decreased income arising from changes in the

value of investments

-90769609.63 -379785755.08 76.10% fair value of investments in other equity

in other equity

instruments in the current period

instruments

Differences arising

from the translation of

Fluctuations of the RMB against foreign

foreign currency- 1227024.42 658235.31 86.41%

currencies

denominated financial

statements

Other comprehensive

income net of tax Fluctuations of the RMB against foreign

1033347.02378520.91173.00%

attributable to non- currencies

controlling interests

Decreased income arising from changes in the

Total comprehensive

232341926.76 -37300202.99 722.90% fair value of investments in other equity

income

instruments in the current period

Total comprehensive

income attributable to Decreased income arising from changes in the

owners of the 149149215.98 -154208021.64 196.72% fair value of investments in other equity

Company as the instruments in the current period

parent

Net cash generated A decreased amount of notes payable that were

from/used in 753566221.72 575277322.38 30.99% due were honored with material suppliers in the

operating activities current period.Net cash generated The same period of last year saw the disposal of

-272237910.41-57548961.25-373.05%

from/used in investing the Gotion High-tech shares resulting in

5Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

activities increased cash inflow from investing activities

and wealth management products were

purchased in the current period.More payment for the acquisition of equity

Net cash generated

interests in subsidiary NationStar

from/used in -365735695.99 -869659908.56 57.94%

Optoelectronics under common control in the

financing activities

same period of last year

Net increase in cash Increased net cash generated from financing

120085894.40-314428453.50138.19%

and cash equivalents activities

II Shareholder Information

(I) Numbers of Ordinary Shareholders and Preference Shareholders with Resumed Voting Rights as well

as Holdings of Top 10 Shareholders

Unit: share

Number of preference shareholders with resumed

Number of ordinary shareholders 63701 0

voting rights (if any)

Top 10 shareholders

Name of Nature of Shareholding Total shares Restricted Shares in pledge marked or frozen

shareholder shareholder percentage held shares held Status Shares

Hong Kong

Wah Shing

Foreign

Holding 13.84% 188496430 0

corporation

Company

Limited

Prosperity

Lamps & Foreign

10.79%1469348570

Components corporation

Limited

Guangdong

Electronics

State-owned

Information 9.01% 122694246 0

corporation

Industry Group

Ltd.Guangdong

Rising State-owned

6.10%831308980

Holdings corporation

Group Co. Ltd.Essence

International

Foreign

Securities 2.77% 37776511 0

corporation

(Hong Kong)

Limited

Central Huijin

Asset State-owned

2.43%331618000

Management corporation

Co. Ltd.Rising

Investment Foreign

1.87%254822520

Development corporation

Limited

Foreign

Zhuang Jianyi 0.87% 11903509 8927632

individual

Domestic

Zhang Shaowu 0.86% 11700000 0

individual

China

Foreign

Merchants 0.67% 9178398 0

corporation

Securities (HK)

6Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Co. Limited

Top 10 unrestricted shareholders

Shares by class and number

Name of shareholder Unrestricted ordinary shares held

Class Shares

RMB-

Hong Kong Wah Shing Holding

188496430 denominated 188496430

Company Limited

ordinary share

RMB-

Prosperity Lamps & Components

146934857 denominated 146934857

Limited

ordinary share

RMB-

Guangdong Electronics

122694246 denominated 122694246

Information Industry Group Ltd.ordinary share

RMB-

Guangdong Rising Holdings

83130898 denominated 83130898

Group Co. Ltd. ordinary share

Domestically

Essence International Securities

37776511 listed foreign 37776511

(Hong Kong) Limited

share

RMB-

Central Huijin Asset Management

33161800 denominated 33161800

Co. Ltd.ordinary share

Domestically

Rising Investment Development

25482252 listed foreign 25482252

Limited

share

RMB-

Zhang Shaowu 11700000 denominated 11700000

ordinary share

Domestically

China Merchants Securities (HK)

9178398 listed foreign 9178398

Co. Limited share

RMB-

Hong Kong Securities Clearing

7495887 denominated 7495887

Company Limited ordinary share

Among the top 10 shareholders Hong Kong Wah Shing Holding

Company Limited Guangdong Electronics Information Industry Group

Ltd. Guangdong Rising Holdings Group Co. Ltd. and Rising

Investment Development Limited are acting-in-concert parties;

Related or acting-in-concert parties among the

Prosperity Lamps & Components Limited and Zhuang Jianyi are acting-

shareholders above

in-concert parties. Apart from that it is unknown whether there is among

the top 10 shareholders any other related parties or acting-in-concert

parties as defined in the Administrative Measures for the Acquisition of

Listed Companies.Top 10 shareholders involved in securities margin

None

trading (if any)

(II) Number of Preference Shareholders and Shareholdings of Top 10 of Them

□Applicable □ Not applicable

III Other Significant Events

□ Applicable □ Not applicable

1. Share offering to specific parties

The Company intends to raise gross proceeds of no more than RMB1094.5518 million through an offering of

A-stock shares to specific parties. The amount exclusive of the issuance costs will be used to invest in the FSL

7Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

automation and digital transformation construction project the FSL Hainan Industrial Park Phase I the

intelligent street light construction project the automotive lamp module production and construction project

and the R&D centre construction project. The said share offering plan has been approved at the 39th Meeting of

the Ninth Board of Directors and a general meeting of shareholders on 14 March 2023 and 31 March 2023

respectively as well as by the Public Offering Review Centre of the Shenzhen Stock Exchange on 17 July 2023.The approval of the CSRC was obtained on 31 August 2023.

2. Equity incentives

On 12 June 2023 the 2023 Restricted Share Incentive Plan (Draft) and Its Summary together with other

relevant proposals were approved at the 44th Meeting of the Ninth Board of Directors and the 22nd Meeting of

the Ninth Supervisory Committee. As such it was approved to grant no more than 13000000 restricted shares

(accounting for 0.95% of the Company’s total share capital of 1361.9946 million shares at the date of the

announcement on the draft plan of the incentive plan) to 262 awardees. To be specific there were 11.7 million

shares for the first grant accounting for 90.00% of the total grant under the incentive plan; and there were 1.3

million reserved shares accounting for 10.00% of the total grant under the incentive plan. The restricted shares

were A-stock ordinary shares repurchased by the Company. And the grant price for the first grant was

RMB3.81/share. This equity incentive plan is subject to approval by the State-owned Assets Supervision and

Administration Commission of Guangdong Province and a general meeting of shareholders of the Company.For further information see the 2023 Restricted Share Incentive Plan (Draft) and Its Summary and other

relevant proposals that have been disclosed on http://www.cninfo.com.cn/ dated 13 June 2023.

3. Expropriation of land and above-ground housing of Nanjing Fozhao

The Company held the 24th Meeting of the Ninth Board of Directors on 15 December 2021 where the Proposal

on Expropriation of Land and Above-ground Housing of the Wholly-owned Subsidiary Nanjing Fozhao

Lighting Equipment Manufacturing Co. Ltd. was deliberated and adopted. The Board of Directors agreed that

Nanjing Lishui District People's Government expropriates the land use rights and above-land housing of

Nanjing Fozhao Lighting Equipment Manufacturing Co. Ltd. (hereinafter referred to as "Nanjing Fozhao") a

wholly-owned subsidiary of the Company at a compensation amount of RMB183855895 and Nanjing Fozhao

signed an expropriation and compensation agreement with Lishui County House Dismantling Moving &

Resettling Development Co. Ltd. the implementing unit of the housing expropriation. As of the date of this

report Nanjing Fozhao has received 30% of the compensation that is RMB55160000.00 the land use right

8Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

certificate and house ownership certificate of the assets involved have been cancelled and the site handover is

still in progress.

4. De-registration of FSL Lighting GmbH

The Company held a general manager's office meeting on 22 October 2021 at which the proposal on de-

registration of wholly-owned subsidiary FSL Lighting GmbH was approved. As of 30 September 2023 the

liquidation and de-registration procedures of FSL Lighting GmbH have been completed.IV Quarterly Financial Statements

(I) Financial Statements

1. Consolidated Balance Sheet

Prepared by Foshan Electrical and Lighting Co. Ltd.

30 September 2023

Unit: RMB

Item 30 September 2023 1 January 2023

Current assets:

Monetary assets 2624474183.70 2484508907.43

Settlement reserve

Loans to other banks and financial

institutions

Held-for-trading financial assets 181479512.22 261541896.45

Derivative financial assets

Notes receivable 858685880.80 821537774.07

Accounts receivable 2284154530.73 1920770941.76

Receivables financing 364872086.77 569868831.79

Prepayments 53000900.42 45526548.93

Premiums receivable

Reinsurance receivables

Receivable reinsurance contract reserve

Other receivables 41462469.77 32902865.98

Including: Interest receivable

Dividends receivable

Financial assets purchased under resale

agreements

Inventories 1807233818.39 2031637401.87

Contract assets 5153358.98 5466875.07

Assets held for sale 17147339.84 17147339.84

Current portion of non-current assets

Other current assets 235091397.07 79438576.89

Total current assets 8472755478.69 8270347960.08

Non-current assets:

Loans and advances to customers

Debt investments

Other debt investments

9Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Long-term receivables

Long-term equity investments 180920304.64 181931792.66

Investments in other equity instruments 756422278.25 864191346.40

Other non-current financial assets

Investment property 42744133.50 44611882.44

Fixed assets 3307248243.19 3508094282.41

Construction in progress 1425371629.87 1282780335.14

Productive living assets

Oil and gas assets

Right-of-use assets 8388054.40 13047727.73

Intangible assets 337840926.53 340166852.37

Development costs

Goodwill 421831593.46 421831593.46

Long-term prepaid expense 175648593.25 190126627.91

Deferred income tax assets 96825193.47 90186993.64

Other non-current assets 80361791.66 81543512.85

Total non-current assets 6833602742.22 7018512947.01

Total assets 15306358220.91 15288860907.09

Current liabilities:

Short-term borrowings 148330000.00 157715359.35

Borrowings from the central bank

Loans from other banks and financial

institutions

Held-for-trading financial liabilities 14879250.00 4679000.00

Derivative financial liabilities

Notes payable 2018799321.11 1975743568.71

Accounts payable 2573063139.88 2513177458.14

Advances from customers 313404.00 2532442.44

Contract liabilities 152470713.70 125143161.61

Financial assets sold under repurchase

agreements

Customer deposits and deposits from

other banks and financial institutions

Payables for acting trading of securities

Payables for underwriting of securities

Employee benefits payable 176079014.80 173034152.18

Taxes and levies payable 83220269.93 64295552.10

Other payables 505681214.00 440230081.05

Including: Interest payable 18359.41

Dividends payable 10112.28 15646.07

Fees and commissions payable

Reinsurance payables

Liabilities directly associated with

assets held for sale

Current portion of non-current

63412452.7365540510.67

liabilities

Other current liabilities 108239924.32 100192681.00

Total current liabilities 5844488704.47 5622283967.25

Non-current liabilities:

Insurance contract reserve

Long-term borrowings 510871537.62 747931023.71

Bonds payable

Including: Preference shares

Perpetual bonds

Lease liabilities 6115468.78 7055542.18

Long-term payables

Long-term employee benefits payable

Provisions 9360647.32 9587043.31

10Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Deferred income 77384101.89 97078233.43

Deferred income tax liabilities 192214231.86 204371264.18

Other non-current liabilities 205769.48 308780.61

Total non-current liabilities 796151756.95 1066331887.42

Total liabilities 6640640461.42 6688615854.67

Owners’ equity:

Share capital 1361994647.00 1361994647.00

Other equity instruments

Including: Preference shares

Perpetual bonds

Capital reserves 7245971.54 7245971.54

Less: Treasury stock 82165144.15 82165144.15

Other comprehensive income 408598433.49 498141018.70

Specific reserve

Surplus reserves 91359027.15 91359027.15

General reserve

Retained earnings 3400228164.99 3296435828.50

Total equity attributable to owners of the

5187261100.025173011348.74

Company as the parent

Non-controlling interests 3478456659.47 3427233703.68

Total owners’ equity 8665717759.49 8600245052.42

Total liabilities and owners’ equity 15306358220.91 15288860907.09

Legal representative: Wu Shenghui Chief Financial Officer: Tang Qionglan

Person-in-charge of the Company’s accounting organ: Liang Yuefei

2. Consolidated Income Statement for Q1~Q3

Unit: RMB

Item Q1~Q3 2023 Q1~Q3 2022

1. Revenues 6797008003.68 6525188527.48

Including: Operating revenue 6797008003.68 6525188527.48

Interest income

Insurance premium income

Fee and commission

income

2. Costs and expenses 6420801736.12 6146972601.95

Including: Cost of sales 5527480367.80 5355208894.59

Interest expense

Fee and commission

expense

Surrenders

Net insurance claims paid

Net amount provided as

insurance contract reserve

Expenditure on policy

dividends

Reinsurance premium

expense

Taxes and levies 56954464.79 40721043.34

Selling expense 211510086.07 163048296.08

Administrative expense 299817354.12 291280291.37

R&D expense 359659339.75 332426466.72

Finance costs -34619876.41 -35712390.15

Including: Interest

19331634.2512789860.77

expense

Interest income 38170763.00 19191092.04

Add: Other income 40940624.68 63287513.13

11Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Return on investment (“-” for loss) 19490163.08 13670258.81

Including: Share of profit or loss

1558105.76985142.24

of joint ventures and associates

Income from the derecognition

of financial assets at amortized cost (“-”

for loss)

Exchange gain (“-” for loss)

Net gain on exposure hedges (“-”

for loss)

Gain on changes in fair value (“-”

-13694620.01-15847302.07

for loss)

Credit impairment loss (“-” for

-30867217.69-6458671.84

loss)

Asset impairment loss (“-” for

-45751119.19-46526314.03

loss)

Asset disposal income (“-” for

12669744.50283064.85

loss)

3. Operating profit (“-” for loss) 358993842.93 386624474.38

Add: Non-operating income 5569379.68 10752058.29

Less: Non-operating expense 5267434.90 7575079.92

4. Gross profit (“-” for loss) 359295787.71 389801452.75

Less: Income tax expense 38444622.76 48352656.88

5. Net profit (“-” for net loss) 320851164.95 341448795.87

5.1 By operating continuity

5.1.1 Net profit from continuing

320851164.95341448795.87

operations (“-” for net loss)

5.1.2 Net profit from discontinued

operations (“-” for net loss)

5.2 By ownership

5.2.1 Net profit attributable to

shareholders of the Company as the 238691801.19 224919498.13

parent (“-” for net loss)

5.2.1 Net profit attributable to non-

82159363.76116529297.74

controlling interests (“-” for net loss)

6. Other comprehensive income net of

-88509238.19-378748998.86

tax

Attributable to owners of the

-89542585.21-379127519.77

Company as the parent

6.1 Items that will not be

-90769609.63-379785755.08

reclassified to profit or loss

6.1.1 Changes caused by

remeasurements on defined benefit

schemes

6.1.2 Other comprehensive

income that will not be reclassified to

profit or loss under the equity method

6.1.3 Changes in the fair value of

-90769609.63-379785755.08

investments in other equity instruments

6.1.4 Changes in the fair value

arising from changes in own credit risk

6.1.5 Other

6.2 Items that will be reclassified to

1227024.42658235.31

profit or loss

6.2.1 Other comprehensive

income that will be reclassified to profit

or loss under the equity method

6.2.2 Changes in the fair value of

other debt investments

6.2.3 Other comprehensive

income arising from the reclassification

of financial assets

6.2.4 Credit impairment

allowance for other debt investments

6.2.5 Reserve for cash flow

12Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

hedges

6.2.6 Differences arising from the

translation of foreign currency- 1227024.42 658235.31

denominated financial statements

6.2.7 Other

Attributable to non-controlling

1033347.02378520.91

interests

7. Total comprehensive income 232341926.76 -37300202.99

7.1 Attributable to owners of the

149149215.98-154208021.64

Company as the parent

7.2 Attributable to non-controlling

83192710.78116907818.65

interests

8. Earnings per share

8.1 Basic earnings per share 0.1769 0.1667

8.2 Diluted earnings per share 0.1753 0.1651

Where business combinations under common control occurred in the current period the net profit achieved by

the acquirees before the combinations was RMB0.00 with the amount for the same period of last year being

RMB0.00.Legal representative: Wu Shenghui Chief Financial Officer: Tang Qionglan

Person-in-charge of the Company’s accounting organ: Liang Yuefei

3. Consolidated Cash Flow Statement for Q1~Q3

Unit: RMB

Item Q1~Q3 2023 Q1~Q3 2022

1. Cash flows from operating activities:

Proceeds from sale of commodities

5975682602.936156929254.90

and rendering of services

Net increase in customer deposits and

deposits from other banks and financial

institutions

Net increase in borrowings from the

central bank

Net increase in loans from other

financial institutions

Premiums received on original

insurance contracts

Net proceeds from reinsurance

Net increase in deposits and

investments of policy holders

Interest fees and commissions received

Net increase in loans from other banks

and financial institutions

Net increase in proceeds from

repurchase transactions

Net proceeds from acting trading of

securities

Tax and levy rebates 164019398.33 185461999.13

Cash generated from other operating

193974038.74170559869.33

activities

Subtotal of cash generated from

6333676040.006512951123.36

operating activities

Payments for commodities and services 4036894176.40 4355919362.91

Net increase in loans and advances to

customers

Net increase in deposits in the central

bank and other banks and financial

institutions

Payments for claims on original

insurance contracts

13Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

Net increase in loans to other banks and

financial institutions

Interest fees and commissions paid

Policy dividends paid

Cash paid to and for employees 1035295184.09 1061563854.31

Taxes and levies paid 305559029.37 264566896.10

Cash used in other operating activities 202361428.42 255623687.66

Subtotal of cash used in operating

5580109818.285937673800.98

activities

Net cash generated from/used in

753566221.72575277322.38

operating activities

2. Cash flows from investing activities:

Proceeds from disinvestment 220981292.12 534902240.66

Return on investment 15446758.01 15331293.58

Net proceeds from the disposal of fixed

assets intangible assets and other long- 1595864.64 1524973.60

lived assets

Net proceeds from the disposal of

subsidiaries and other business units

Cash generated from other investing

activities

Subtotal of cash generated from

238023914.77551758507.84

investing activities

Payments for the acquisition of fixed

assets intangible assets and other long- 219901065.19 483847805.78

lived assets

Payments for investments 290000000.00 125459663.31

Net increase in pledged loans granted

Net payments for the acquisition of

subsidiaries and other business units

Cash used in other investing activities 360759.99

Subtotal of cash used in investing

510261825.18609307469.09

activities

Net cash generated from/used in

-272237910.41-57548961.25

investing activities

3. Cash flows from financing activities:

Capital contributions received

Including: Capital contributions by

non-controlling interests to subsidiaries

Borrowings received 143185218.89 724436000.00

Cash generated from other financing

40461306.665506572.70

activities

Subtotal of cash generated from

183646525.55729942572.70

financing activities

Repayment of borrowings 366489526.02 355803238.15

Interest and dividends paid 182483084.25 162715594.13

Including: Dividends paid by

31969754.9924282863.70

subsidiaries to non-controlling interests

Cash used in other financing activities 409611.27 1081083648.98

Subtotal of cash used in financing

549382221.541599602481.26

activities

Net cash generated from/used in

-365735695.99-869659908.56

financing activities

4. Effect of foreign exchange rates

4493279.0837503093.93

changes on cash and cash equivalents

5. Net increase in cash and cash

120085894.40-314428453.50

equivalents

Add: Cash and cash equivalents

1945971307.261940209052.92

beginning of the period

6. Cash and cash equivalents end of the

2066057201.661625780599.42

period

Legal representative: Wu Shenghui Chief Financial Officer: Tang Qionglan

Person-in-charge of the Company’s accounting organ: Liang Yuefei

14Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

(II) Adjustments to Financial Statement Items at the Beginning of the Year of the First Implementation

of the New Accounting Standards Implemented since 2023

□ Applicable □ Not applicable

Note to adjustments

The account data of financial statements are retroactively adjusted as follows:

Unit: RMB

Consolidated balance sheet

1 January 2022

Item Before After Affected

1898149

Deferred income tax assets 82261788.58 84159937.92.34

1862978

Deferred income tax liabilities 280172789.59 282035768.42.83

Retained earnings 3111864076.86 3111882995.08 18918.22

Total equity attributable to owners of the Company as the

7036108772.547036127690.7618918.22

parent

Non-controlling interests 3543741175.21 3543757427.50 16252.29

10579849947.710579885118.2

Total owners’ equity 35170.51

56

Unit: RMB

Consolidated balance sheet

1 January 2023

Item Before After Affected

Deferred income tax assets 88387206.25 90186993.64 1799787.39

Deferred income tax liabilities 202469697.60 204371264.18 1901566.58

Retained earnings 3296490575.52 3296435828.50 -54747.02

Total equity attributable to owners of the

5173066095.765173011348.74-54747.02

Company as the parent

Non-controlling interests 3427280735.85 3427233703.68 -47032.17

Total owners’ equity 8600346831.61 8600245052.42 -101779.19

Unit: RMB

Consolidated income statement

2022

Item Before After Affected

Income tax expense 30874328.03 31011277.73 136949.70

-

Net profit 350843355.72 350706406.02

136949.70

Net profit attributable to shareholders of the Company as the parent 230394235.91 230320570.67 -73665.24

Net profit attributable to non-controlling interests 120449119.81 120385835.35 -63284.46

Note: The amount affected by the retroactive adjustment of this accounting policy change has not been audited.

15Foshan Electrical and Lighting Co. Ltd. Third Quarterly Report 2023

(III) Independent Auditor’s Report

Indicate by tick mark whether the financial statements above have been audited by an independent auditor.□Yes □ No

These financial statements have not been audited by such an auditor.The Board of Directors

Foshan Electrical and Lighting Co. Ltd.

26 October 2023

16