Sungrow Power Supply Co. Ltd.Sungrow Power Supply Co. Ltd.2022 Annual Report
Announcement No.: 2023-020
April 2023
1Sungrow Power Supply Co. Ltd.
2022 Annual Report
Section I Important Notes Contents and Definitions
The Board of Directors the Board of Supervisors directors supervisors and executives of the
Company hereby guarantee that the information presented in this annual report is truthful
accurate and integrate free of any false records misleading statements or material omissions
and assume individual and joint legal liabilities thereof.Cao Renxian as the President of the Company Tian Shuai as the Chief Accountant and Li
Pan as the head of accounting department (accounting supervisor) hereby guarantee the
truthfulness integrity and accuracy of financial statements in this annual report.All directors have attended the board meeting to review this report.Contents in this report concerning future plans performance forecasts and etc. do not
constitute any commitment made by the Company to any investor or related party. Investors
and related parties should maintain adequate risk awareness and understand the possible
difference between plans forecasts and commitments. Investors are kindly advised to pay
attention to investment risks.
(1) Policy-related risks
Although technologies related to renewable energy power generation are still evolving and
grid parity has been achieved in most regions around the world there are still a few regions
where the power generation cost or the on-grid electricity price is higher than that of fossil
energy and the unit electricity cost per kilowatt-hour from wind-solar-storage integrated
applications maintains relatively high. In addition considering the various constraints
including grid consumption intermittent fluctuations in new energy availability as well as
land and taxation policy support and encouragement from governments are still necessary.Since the supportive policies are formulated by the governments of various countries while
the global trend of energy conservation and emission reduction remains unchanged major
changes in the macro economies of major markets or relevant supportive policies will affect
the growth pace of the industry and the Company’s profitability to a certain extent. To this
end the Company actively makes global presence and continually delves into the global
market to minimize the impact of policy fluctuations within a single country.
(2) Risk of gross margin reduction due to intensified competition
As the world's largest PV inverter manufacturer the Company's core product PV inverters
enjoys an obvious market advantage. However the huge potential of domestic and foreign
markets has also attracted fierce market competition. If the Company fails to maintain the
leading edge in technological innovation new product development and cost control the
products will face the risk of gross margin declination. As such the Company needs to further
accelerate new product upgrade and iteration through R&D innovation and increasing R&D
investment speed up the research and application of AI technology so as to constantly
2Sungrow Power Supply Co. Ltd.
provide customers with value-added services delivering better customer experience and
consolidate product advantages in the market.
(3) Risk of collecting accounts receivables
As the domestic market grows rapidly the Company makes more efforts in product sales. In
consideration of the PV industry characteristics in China such as subsidy arrearage large
project amount and long payment term the Company's business growth at fast pace will lead
to a quick increase of receivables and certain risks in payment collection. In order to prevent
credit risks and accelerate capital turnover the Company has formulated strict credit
management systems and sale-on-credit policies and actively reduce the risk of
non-performing loans and bad accounts through legal actions.
(4) Risk of international trade frictions
Under the impact of intensified international trade frictions global economy is under huge
pressure of inclination governments are launching monetary policies and other economic
stimulation policies. While boosting the economy such policies may cause bigger supply chain
fluctuation logistic efficiency reduction and cost increase. The PV industry where the
Company is in also faces short-term pressures due to changes in demand tempo. The
Company has formulated a series of defensive measures and lean production plans to actively
respond to the complicated global situation and expand the global market on the premise of
ensuring employees’ safety and health. By strengthening the global supply chain layout
improving supply chain management capabilities the Company makes every effort to reduce
trade frictions and other impacts ensuring that the annual tasks are completed on time.
(5) Risk of exchange rate fluctuation
USD AUD and EUR are the three major currencies used for the Company's overseas revenue
settlement. The impact of exchange rate fluctuations is mainly reflected in the following two
aspects: a. Because of the CNY exchange rate fluctuation changes in operating income
measured in local currency pose a direct impact on the gross margin of main products; b.From the moment sales revenue is confirmed and accounts receivable is generated to the
moment of collecting foreign currency the Company is subject to exchange gains/losses from
the fluctuations in the CNY exchange rate which also directly affects the Company's
performance. On the foundation of normal operation and relying on specific businesses the
Company takes various means including hedging continuous monitoring and timely settling
foreign currency sales to reduce exchange-related loss and control operating risks.
(6) Risks in the supply chain of semiconductor components
Semiconductors used in the Company's power electronic devices mainly include power
semiconductors and chips that are mostly sourced from overseas. With the rapid growth of
new energy vehicles renewable energy power generation 5G use cases and charging
infrastructure semiconductors are facing certain risks of short supply and price fluctuation.To this end the Company has made plans in anticipation established long-term strategic
partnerships with suppliers and locked orders in advance so as to get hold of the industry
supply dynamics and secure the supply chain to the maximum extent.
(7) Risks in construction management of PV power station investment and development
3Sungrow Power Supply Co. Ltd.
projects
PV power station projects feature large amount of investment and short lead time. These
projects not only involve ground resources but also commercial roofs. For these projects the
investment decision-making is quite challenging and a lot of uncertainties exist in project
engineering and implementation which may lead to project delays and jeopardize timely grid
connection for power generation. While challenging the Company's project management the
projects also require a huge amount of working capital. In response to such risks the
Company makes cautious considerations when selecting new energy power generation
projects to prioritize those with better grid connection conditions clearly communicated
subsidy policies controllable installed cost and higher gross profit. Meanwhile the Company
further enhances engineering management and improves project management. After entering
into sales contracts with customers the Company reinforces project construction
management in a timely manner adequately communicates with customers on the progress
and adjusts the work schedule according to the result of communication so that the impact of
project delay on the Company's production and operation is eliminated or alleviated to the
most extent. By providing project owners with safe efficient and intelligent PV power stations
that meet their needs the Company's reputation in PV power station investment and
development is improved.The board meeting has deliberated and approved the following profit distribution proposal:
Based on a base quantity of 1478705935 shares a cash dividend of CNY 2.20 per 10 shares
(tax inclusive) will be distributed to all shareholders no bonus share (tax inclusive) will be
distributed and no share distribution from capital reserve.
4Sungrow Power Supply Co. Ltd.
Contents
Section I Important Notes Contents and Definitions....2
Section II Company Profile & Key Financial Indicat....9
Section III Management’s Discussion and Analysis ... 13
Section IV Corporate Governance .................... 53
Section V Environment and Social Responsibilities .. 78
Section VI Significant Events ...................... 80
Section VII Changes in Shares and Information abou. 110
Section VIII Preference shares .................... 123
Section IX Bonds .................................. 124
Section X Financial Reports ....................... 125
5Sungrow Power Supply Co. Ltd.
Documents for Future Reference
1. Accounting statements signed and stamped by the Legal Respective the Chief Accountant and the head of the accounting
department of the Company.
2. The original Audit Report signed and stamped by the certified public accountants and stamped by the accounting firm.
3. The originals of company documents and announcements publicly disclosed on www.cninfo.com.cn during the reporting period.
4. Other relevant documents.
6Sungrow Power Supply Co. Ltd.
Definitions
Term Definition
Sungrow the Company Sungrow Power Supply Co. Ltd.Sungrow Renewables Sungrow Renewables Development Co. Ltd. the Company's holding
subsidiary
PV Solar photovoltaic effect refers to the light-caused potential difference
inside uneven semiconductors or combinations of semiconductors and
metals
Inverter PV inverter One of the critical devices in a solar PV power generation system which
converts DC power from solar cells into AC power that meets the grid
power quality requirements
Centralized PV inverter Connecting a number of parallel PV modules to the DC input of a
centralized inverter for maximum power point tracking (MPPT) then
connecting them into the grid after inversion. With a relatively high
power it is mainly used in large-scale centralized ground PV power
stations with uniform lighting and other centralized PV power generation
systems
String PV inverter Performing separate MPPT on several groups (in general 1 to 4 groups) of
PV modules and connecting them into the AC grid after inversion. A
string inverter may have multiple MPPT modules. With a relatively low
small power it is mainly used in distributed power generation systems
and sometimes also in centralized PV power generation systems
Energy storage converter Power conversion devices between the energy storage batteries and the
AC power grid capable of charging and discharging the batteries. They
are used in PV power smoothing for wind power generation peak load
shifting micro-grid and other scenarios
Wind power converter Devices that convert the electric energy with unstable voltage frequency
and amplitude generated by wind turbine generators under the actions of
natural wind into electric energy with stable frequency and amplitude that
meets the grid requirements and connect it to the grid
Distributed power supply Distributed power supply units that is small and modular standalone
power supplies ranging from several kilowatts to 50 MW that are
environment-compatible
Energy storage Storage of electrical energy
UL One of the globally renowned testing and certification bodies and
7Sungrow Power Supply Co. Ltd.
standard development bodies
A safety certification mark granted by the TüV Group to products which
TüV
is widely recognized around the world
A certification that must be obtained by products entering the European
CE
market
A standard developed by the Italian State Power Board (Enel) which is
Enel-GUIDA
widely recognized in Italy
An Australian standard. PV modules and inverters must comply with this
AS4777 standard in order to be used in the design and installation of PV systems
in Australia
Abbreviation of the California Energy Commission. External power
CEC
supplies exported to California must obtain this certification
Canadian Standards Association the largest non-profit organization for
CSA
defining industrial standards in Canada
One of the most experienced certification bodies in Europe with a high
VDE reputation in the world that is directly involved in developing the German
national standards
IPD Integrated product development management process
Watt (W) Kilowatt (kW) Megawatt (MW) The unit of measure for power of electricity in specific 1 GW = 1000
Gigawatt (GW) MW = 1000000 kW = 1000000000 W
CNY 10K CNY 100 million CNY Renminbi yuan renminbi 10000 yuan renminbi 100 million yuan
Reporting period current reporting period this January 1 2022 to December 31 2022
period
8Sungrow Power Supply Co. Ltd.
Section II Company Profile & Key Financial Indicators
I. Company Profile
Stock abbreviation Sungrow Stock code 300274
Name of the Company in Chinese 阳光电源股份有限公司
Abbreviation of the Company in Chinese 阳光电源
Name of the Company in English (if any) Sungrow Power Supply Co. Ltd.Abbreviation of the Company in English (if any) Sungrow
Legal representative Cao Renxian
Registered address No. 1699 Xiyou Road High-tech Zone Hefei Anhui Province
Zip code of registered address 230088
Changes in the Company's registered address The registered address has not changed since the Company went public in 2011
Business address No. 1699 Xiyou Road High-tech Zone Hefei Anhui Province
Zip code of business address 230088
Company website http://www.sungrowpower.com
E-mail dshms@sungrow.cn kangml@sungrowpower.com
II. Contacts and Contact Information
Board Secretary Securities Affairs Representative
Name Lu Yang Kang Maolei
No. 1699 Xiyou Road High-tech Zone No. 1699 Xiyou Road High-tech Zone
Address
Hefei Anhui Province Hefei Anhui Province
Phone 0551-65325617 0551-65325617
Fax 0551-65327800 0551-65327800
E-mail dshms@sungrow.cn kangml@sungrowpower.com
III. Information Disclosure and Place of the Report
Website of the stock exchange specified for disclosing
http://www.cninfo.com.cn
the Annual Report
Media and websites specified for disclosing the China Securities Journal Securities Times Shanghai Securities News
Annual Report Securities Daily
Place where the Annual Report is available for Office of the Board of Directors
9Sungrow Power Supply Co. Ltd.
inspection
IV. Other Relevant Information
Accounting firm engaged by the Company
Name of the accounting firm RSM China (Special General Partnership)
Business address of the accounting firm 29/F Block A the Landmark Shushan District Hefei City Anhui Province
Name of the undersigning accountants Wan Yunlong Jiang Wei Pan Lili
Sponsor institution engaged by the Company for continuous supervision during the reporting period
□ Applicable □ Not Applicable
Period of continuous
Name of sponsor institution Business address of sponsor institution Sponsor representative
supervision
Floors 27/28 China World Office 2
China International Capital October 22 2021 to December
No. 1 Jianguomenwai Avenue Beijing Liu Chengli Li Jizhe
Corporation Limited 31 2023
100004 P.R. China
Financial advisor engaged by the Company for continuous supervision during the reporting period
□ Applicable □ Not Applicable
V. Key Accounting Data and Financial Indicators
Whether the Company performed a retroactive adjustment or restatement of previous accounting data
□ Yes □ No
2022 2021 YOY Change 2020
Operating income (CNY) 40257239155.34 24136598726.55 66.79% 19285641347.02
Net profit attributable to shareholders of the
3593410009.261582707374.76127.04%1954308244.82
Company (CNY)
Net profit attributable to shareholders of the
Company after deducting non-recurring gains and 3385797303.38 1334589366.45 153.70% 1846326102.70
losses (CNY)
Net cash flows from operating activities (CNY) 1210498485.89 -1638632122.77 173.87% 3088658224.59
Basic earnings per share (CNY/share) 2.42 1.08 124.07% 1.34
Diluted earnings per share (CNY/share) 2.42 1.08 124.07% 1.34
Weighted average return on equity 20.95% 13.05% 7.90% 20.36%
As at Dec. 31 2022 As at Dec. 31 2021 YOY Change As at Dec. 31 2020
Total assets (CNY) 61626211527.11 42840130915.46 43.85% 28002933994.86
Net assets attributable to shareholders of the
18666305389.6715655063485.7119.23%10455904743.14
Company (CNY)
The lower of the Company's net profit including extraordinary and net profit excluding extraordinary is negative in the last three
10Sungrow Power Supply Co. Ltd.
fiscal years and the audit report for the last year shows that uncertainties exist in the Company's business continuity
□ Yes □ No
The lower of net profit including extraordinary and net profit excluding extraordinary is negative
□ Yes □ No
VI. Key Financial Indicators by Quarter
(in CNY)
Quarter 1 Quarter 2 Quarter 3 Quarter 4
Operating income 4567689691.24 7713545221.55 9942702573.53 18033301669.02
Net profit attributable to shareholders
410913211.59489526979.801160125763.751532844054.12
of the Company
Net profit attributable to shareholders
of the Company after deducting 370528596.97 424873966.83 1106827682.00 1483567057.58
non-recurring gains and losses
Net cash flows from operating
-1682576215.24423495040.13-1637591350.254107171011.25
activities
Whether there are significant differences between above financial indicators or their sums and the relevant financial indicators in the
quarterly and half-year reports disclosed by the Company
□ Yes □ No
VII. Differences in Accounting Data between Chinese and Overseas Accounting Standards
1. Differences in the net profits and net assets disclosed in the financial statements as per the international
accounting standards and China accounting standards
□ Applicable □ Not Applicable
There is no difference in the net profits and net assets disclosed in the financial statements as per the international accounting
standards and China accounting standards.
2. Differences in the net profits and net assets disclosed in the financial statements as per the local
(overseas) accounting standards and China accounting standards
□ Applicable □ Not Applicable
There is no difference in the net profits and net assets disclosed in the financial statements as per the local (overseas) accounting
standards and China accounting standards.VIII. Non-recurring Items and Their Gains/Losses
□ Applicable □ Not Applicable
(in CNY)
11Sungrow Power Supply Co. Ltd.
Item Amount in 2022 Amount in 2021 Amount in 2020 Remarks
Gains or losses from disposal of non-current assets (including
-3361515.27198734481.06255099.07
the write-off accrued for impairment of assets)
Government grants accounted for in the Gains or losses for
the current period (except for those closely related to the
Company’s normal business operation compliant with 140744784.09 110269947.66 103595912.36
national policies and regulations and granted to a certain
standard or at a fixed amount)
Gains entitled to the Company when the investment cost of
acquiring subsidiaries associates or joint ventures is No more
266221.04
than the fair value of identifiable net assets of invested unit at
the time of investment
Gains or losses from debt restructuring 8019908.32
Gains or losses from changes in fair value arising from
holding trading financial assets and trading
financial liabilities as well as investment gains from disposal
of trading financial assets trading financial liabilities and 114038405.73 12598837.40 15060054.04
salable financial assets except for the effective hedging
business associated with the Company’s normal business
operation
Reversal of impairment provisions for accounts receivable
5784209.132883005.14
which are separately tested for impairment
Other non-operational income and expenditure in addition to
-6748079.29-198891.2811538157.44
the items listed above
Less: Income tax impact 39295421.32 42695728.48 19730145.34
Minority shareholders' equity impact (after tax) 3549677.19 41759772.55 2736935.45
Total 207612705.88 248118008.31 107982142.12 --
Details of other gains or losses that fit in the definition of extraordinary items:
□ Applicable □ Not Applicable
There are no other gains or losses in the Company that fit in the definition of extraordinary items.Explanation on defining the extraordinary items listed in the Explanatory Announcement No. 1 on Information Disclosure for
Companies Publicly Offering Securities - Extraordinary Items as recurring gains or losses
□ Applicable □ Not Applicable
Item Amount (CNY) Reason
Equity gains from transfer of power Equity transfer of power station projects is one of the Company's
-1640494.75
station projects day-to-day businesses
Gains from changes in fair value of Equity transfer of power station projects is one of the Company's
28274565.33
power station projects in possession day-to-day businesses
12Sungrow Power Supply Co. Ltd.
Section III Management’s Discussion and Analysis
I. Discussion and analysis of business situation
Despite the complex international situation economic slowdown challenging logistics supply chain price chaos power device
shortage and many other negative factors in 2022 under the guidance of the global low-carbon goal renewable energy gained a
vigorous momentum worldwide. In the context of global energy crisis due to the Russia-Ukraine conflict short supply of fossil fuel
and high prices further highlighted the safety and economic benefits of developing renewable energy. Major economies around the
world put significantly more focus on renewable energy strengthened policy and financial support for renewable energy in order to
get away from fossil energy dependence and accelerate green energy development. For example the European Union launched the
REPowerEU plan in which the proportion of renewable energy was increased from 40% to 45% by 2030 and a plan was made to
invest EUR 210 billion more over the next five years to accelerate the growth of green energy. The United States released the IRA
and planned to allocate USD 369 billion to subsidize and support projects in the clean energy sector. India launched the PLI plan to
promote efficient PV manufacturing in India which was expected to attract a direct investment of nearly INR 940 billion (USD 11.59
billion). China released the 14th Five-Year Plan for Renewable Energy Development and the Implementation Plan for Promoting the
Quality New Energy Development in the New Era and put forward a number of objects including consuming renewable energy by
more than 50% in the 14th Five-Year-Plan period and achieving a total installed capacity of over 1.2 billion kilowatts for wind
power and solar power generation by 2030. On a worldwide scale the process of new energy transformation with solar energy being
the representative accelerated significantly with a quick expansion in scale. According to China Photovoltaic Industry Association
global installed capacity of PV increased by 230 GW-AC (installed capacity increased by about 276 GW-DC on DC-side according
to the Company) in 2022 a year-on-year increase of 35.3% reaching a historic high. The installed capacity mainly came from China
the European Union the United States and India.In 2023 as new capacity for silicon materials and etc. is gradually released the upstream supply-demand contradiction that the PV
industry has been suffering for two years will be effectively alleviated. Prices of silicon chips solar cells and modules started to fall
at the end of last year and a downward trend is expected throughout this year. The economy of PV power generation will be further
improved downstream demand for installed capacity will be further supported and released. Driven by the carbon neutrality goals
clean energy transformation efforts and economic resurrection in many countries the PV industry looks to a highly prosperous
growth. According to the predictions of China Photovoltaic Industry Association and International Energy Agency the installed
capacity of new photovoltaic units worldwide will reach 280 to 330 GW in 2023. In 2024 the cumulative installed capacity of
photovoltaic units worldwide will exceed that of hydropower making it the largest contributor of non-fossil energy power generation.In 2026 the cumulative installed capacity of photovoltaic units worldwide will exceed that of natural gas. In 2027 the cumulative
installed capacity of photovoltaic units worldwide will exceed that of coal becoming the world's largest source of power. From 2023
to 2050 an installed capacity of 13000 GW is expected for photovoltaic units worldwide.II. Business Scope in the Reporting Period
Sungrow Power Supply Co. Ltd. is a national key high-tech enterprise specializing in R&D manufacturing sales and service of
solar energy wind energy energy storage electric vehicles and other new energy power supply equipment. With a wide range of
products including PV inverters wind energy converters energy storage systems electric drive system for new energy vehicles
floating PV systems and smart energy operation and maintenance service the Company is committed to providing world-class
solutions for the full life cycle of clean energy.
1. PV inverters
13Sungrow Power Supply Co. Ltd.
Since the establishment in 1997 the Company has been concentrating on the R&D and manufacturing of PV system equipment with
PV inverters being the core product. Adhering to the mission of “Clean power for all” the Company provides cutting-edge PV
system solutions to users around the globe.PV inverter is one of the main components in a PV power generation system which connects PV arrays to the grid and plays a
critical role in ensuring the long-term and reliable operation of PV power stations and improving the project investment return.Sungrow’s PV inverter family consisting of residential inverters string inverters centralized inverters and modular inverters covers
a power range from 3 kW to 8800 kW and is widely used in residential industrial and commercial large ground power station and
other application scenarios.Residential PV inverters feature high power density appealing exterior design and simple installation and maintenance which can
automatically adapt to complicated grid environment prolong power generation and effectively improve power generation revenue.With built-in lightning protection and high-precision leakage current protection as well as energy storage interfaces and various
communication modes they can meet various application requirements indoor and outdoor and are widely used in residential PV
power generation systems on residential roofs or in courtyards.String PV inverters feature high power density and simple installation and maintenance which can meet the requirements of different
applications indoor and outdoor hence are widely used in small and medium PV power generation systems in parking lots or on
commercial roofs as well as in large-scale ground power stations on complex terrains.Centralized PV inverters feature high conversion efficiency safety and reliability are highly grid-friendly and cost effective. They
can cope with various environments such as extremely low temperature and high altitude and are widely used in large and
medium-sized PV power generation systems in deserts plateaus and on commercial roofs.Modular inverters mark a new category in the industry. At a unit power of 1.1 MW modules can be connected in parallel to form a
flexible subarray configuration of 1.1 MW to 8.8 MW. Integrating the advantages of centralized inverters and string inverters each
module features independent operation and an independent MPPT design is built with higher tracking accuracy and plug-and-play
convenience for operation and maintenance capable of addressing the diverse needs and application scenarios of different markets
around the world.Sungrow Cloud: Capitalizing on the Internet of Things artificial intelligence big data and blockchain technologies Sungrow Cloud
enables group customers to collectively operate and manage solar energy energy storage charging piles and other energies and
creates a smart energy brain. It comprehensively satisfies the management needs of customers at different levels throughout the entire
energy lifecycle and delivers four core values: stabilizing investment returns guaranteeing asset safety standardizing operation and
management and assisting the group’s decision-making.Sungrow's PV inverters are exported to more than 150 countries around the world and topped the BloombergNEF list of “TheWorld’s Most Bankable Inverter Brand for four consecutive years. In IHS Markit’s list of 2021 global PV inverter shipment
Sungrow ranked the first. As of December 2022 Sungrow has cumulatively installed over 340 GW of inverter equipment in the
global market.
2. Wind power converters
The Company's wind power converter products are transmission frequency conversion devices that integrate power electronics
modern transmission control theory and new energy application technologies. Covering a power range from 1.5 MW to 26 MW and a
voltage range of 690V 1140V and 3300V the portfolio consists of full-power wind power converters and double-fed wind power
converters that are fully compatible with mainstream wind turbine models in China which is suitable for various wind farm
environments on-shore and off-shore. Dedicated in the power electronics industry for more than 20 years Sungrow has recently
developed high-power double-fed air-cooled main control integrated converters 3 MW to 16 MW three-level converters and other
new products to supply mainstream wind turbine manufactures in China. In the future Sungrow will stick to the low-cost innovation
and development strategy accelerate the system cost reduction of wind turbines and contribute added values to customers.
3. Energy storage system (ESS)
Sungrow's energy storage business relies on the world-leading technology integration of power electronics electrochemistry and
14Sungrow Power Supply Co. Ltd.
grid support to build profession energy storage systems. With a focus on the R&D production sales and service of lithium battery
ESS the Company can provide energy storage converters lithium batteries energy management system and other core equipment for
energy storage deliver a range of ESS solutions for auxiliary new energy grid connection power frequency and peak regulation
demand side response micro-grid and residential scenarios and is acknowledged a world-class supplier of energy storage equipment
and system solutions.As one of companies that made the earliest attempts in the field of energy storage in China Sungrow’s ESS business footprints have
now covered China US UK Germany Japan and etc.
4. New energy investment and development
In recent years Sungrow Renewables as the Company's new energy project development and investment platform has upheld to the
development concept of "More Power Generation in a Friendlier Way" to comprehensively advance development efforts for
centralized PV industrial and commercial PV residential PV and wind power innovatively explore a new model of green and
ecological development featuring multiple-energy complementation and industrial synergy. Under the dual propulsion of technology
and market Sungrow has established a diversified and collaborative business landscape featuring a solid foundation in China and
rapid development overseas. As of end 2022 the Company has developed and built PV and wind power stations with a cumulatively
capacity of more than 31 million kilowatts with Sungrow Renewables continuing to hold the first place in the list of global PV
developers.Centralized PV power stations: Covering various application scenarios centralized PV power stations leverage advanced R&D
capabilities and extensive project experiences to largely improve the ROI of PV power stations creating greater value for customers.In the meanwhile comprehensive development models such as PV desertification control reclamation of saline and alkaline land
PV-agriculture complement and floating systems are adopted to enable efficient and composite utilization of wind solar and land
resources providing integrated development examples for comprehensive environmental treatment and new energy industry
application.Industrial and commercial PV power stations: In response to the diversified and personalized energy needs the Company capitalizes
on its world-leading new energy technological strength as well as innovative and efficient industrial and commercial PV power
station products to provide enterprises with comprehensive new energy lifecycle solutions covering consulting developmentinvestment and delivery. Based on the core advantages of “technology + platform" the Company builds a multi-win landscape forthe brand channel operators partners industrial and commercial enterprises shortens service radius and improves responsiveness
hence to assist a variety of industries in accelerating zero carbon transformation.Residential PV power stations: As the world's first residential PV brand certified by TüV Sungrow Residential PV relies on
Intelligentization and digitization to innovate serialized solutions for complex scenarios including flat roofs flat-to-slope roofs slope
roofs and courtyards. The end-to-end intelligent residential PV systems featuring independent design and integrated development
and the innovative iSolar Roof-C residential smart design software can improve power station design efficiency by 400% and
increase power generation by 0.6%.Wind power station: Wind farms can fit in different operating environments such as high/low temperatures high altitude low wind
speed coastal areas and are intended for plain wind power mountain wind power decentralized wind power wind-PV
complementary systems and other healthy ecosystems and development patterns to meet the diverse needs of customers and
maximize value.Multi-energy integration: Relying on the PowMart smart energy solution featuring independent intellectual property Sungrow
incorporates advanced system integration technology into the wind-PV-storage integration wind-PV-hydrogen production
PV-storage-charging integration and other new energy integration application scenarios establishes innovative examples in
multi-energy collaboration intelligent scheduling grid friendliness safety and reliability and provides support for building a new
type of power system running on new energies.
5. New energy vehicle drive system
With the profound accumulation of clean power conversion technology and R&D advantages Sungrow has extended inverter
15Sungrow Power Supply Co. Ltd.
application into the electric vehicle industry providing new energy vehicles with quality drive systems.As the Company’s platform for exploring the new energy vehicle industry Sungrow Electric Power has grown into a national key
high-tech enterprise specializing in R&D production sales and service of electronic control power supply and other products for
new energy vehicles. Based on the Company’s R&D platform with 26 years of history the abundant manufacturing experience and
stable global supply chain Sungrow Electric Power brings together high-level automotive electronics professionals and is committed
to providing quality electric control and power supply products for energy-saving and new energy vehicles. Sungrow Electric Power
has been providing products and services for manufacturers of quality passenger vehicles commercial vehicles and construction
machineries since 2010. Having adopted a platform based design the serialized products boast high efficiency high reliability and
flexible adaptation. In the reporting period Sungrow Electric Power’s No. 500000 electric control product left the production line.As of the end of 2022 the Company's products have been installed on more than 1 million vehicles.Sungrow Electric Power has obtained the ISO9001 IATF16949 ISO14001 ISO45001 and other system certifications as well as the
ISO 26262 Automotive Safety Integrity Level ASIL-D certification and instituted a product development and management system to
the highest level of functional safety. With multiple electric control and power supply automation production lines built the
Company is capable of producing 1.5 million units per annum. With professional technological competence trustworthy product
quality and stable delivery capability the Company has won a number of honors such as the Red Dot: Best of the Best the First
Prize in Science and Technology of the China Electrotechnical Society the First Prize of Science and Technology Award of China
Power Supply Society the 2022 Top 100 EV Core Components Manufacturers in China and Top 100 Excellent Automotive Parts
Suppliers in China. In December 2022 the company was recognized as an SRDI (Specialized Refined Differential and Innovative)
enterprise by the Anhui Provincial Department of Economy and Information Technology.
6. Floating PV system
Relying on the Company’s technology R&D and production experience in the PV industry of more than 20 years Sungrow Floating
Modules (Sungrow FM) has set up an R&D team for floating PV systems consisting of industry experts and doctors. The team has
mastered key technologies of floating power stations including system design materials product structure and arrays anchoring
system made more than 150 patent applications in the fields of floating bodies anchoring system inverter booster floating platforms
system operation and maintenance led and participated in the formulation of multiple standards related to floating systems.Upholding the mission of “Clean power for all” and based on the vision of “To be a global leader in floating PV systems” Sungrow
FM is dedicated to creating eco-friendly reliable and efficient floating PV systems and is committed to providing one-stop floating
PV system solutions suitable for different water bodies. In the reporting period Sungrow FM completed design and delivery of the
first 200 MW floating PV system in a 100-meter-deep area and cumulatively installed more than 2.2 GW of floating PV systems by
the end of 2022 making it the world's first GW level floating PV system supplier and leading the global market share for five
consecutive years.
7. Charging equipment
Rooted in Sungrow’s 20+ years of design and application experiences in outdoor high-power-rating power supply products as well as
the profound power electronics technology background Sungrow Lechong builds EV charging equipment based on the coreprinciples of “Reliable Efficient and Intelligent" has introduced DC charging piles and AC charging piles series. The industry's first"integrated DC charging pile" has adopted an innovative integrated design that delivers high reliability maintenance free and long
service life leading technological transformation of the charging industry. The products were quickly applied in many benchmark
projects after the launch such as the Shanghai urban road charging project and the Shenzhen freeway service area project receiving
wide praise from operators and vehicle owners.In the reporting period the Sungrow 30 kW charging pile was launched in Europe with batch deliveries made continually leading the
charging technology transformation. In the meanwhile Sungrow charging piles were connected to Sungrow’s PV and energy storage
systems to provide charging stations with an integrated PV-storage-charging solution offering new energy to new energy vehicles
and helping to deliver the dual carbon target earlier.
8. Smart operation and maintenance
16Sungrow Power Supply Co. Ltd.
Relying on the Company’s 20+ years of power electronic conversion technology and power station integration practice the operation
and maintenance business adheres to the service concept of “Secure with technology be reliable and trustworthy” to provide
one-stop asset management services for new energy assets and continues to ensure customers' stable return and asset safety with
advanced technology.In the reporting period Sungrow Smart Operation enlisted the National Specialized Little Giant enterprise and achieved a 90%
increase in business size. As of end 2022 Sungrow Smart Operation had contracted new energy power station operation and
maintenance projects with a total capacity exceeding 19 GW accumulated extensive experiences in PV power station wind farm
and energy storage operation and maintenance and was capable of customizing proven and effective operation and maintenance
solutions for different types of power stations. The SolarEye smart energy operation and maintenance platform developed
independently by the company offers a digitalized operation and maintenance system a data analysis system and an intelligent
application system. The platform empowers production management by digital and information-based means hence to achieve
visualized and closed-loop control of the operation and maintenance process. Moreover it leverages intelligent tools and methods to
assist in operation and maintenance work quickly identifying problems and defects in power stations and improving the efficiency
of power station operation and maintenance.
9. Hydrogen energy
As the very first new energy company that set foot in the hydrogen energy field in China the Company is committed to providing
efficient intelligent and safe green power hydrogen production systems and solutions and is capable of developing and delivering
IGBT hydrogen production power supply ALK and PEM water electrolysis equipment gas-liquid separation and purification
equipment smart hydrogen energy management system and other integrated system equipment. The Company has also developed
hydrogen production system solutions in multiple modes including off-grid grid-connected and micro-grid. The Company is the first
to build a nationally-leading comprehensive testing platform for electrolyzed water hydrogen production system a demonstration
platform for renewable energy variable-power hydrogen production and hydrogen storage power generation a joint laboratory of
PEM electrolysis for hydrogen production technology and an electrolysis hydrogen production material laboratory.In the reporting period the company passed CQC and TüV certifications for hydrogen production power supply; optimized structure
and key component materials for the 1000 m3/h ALK electrolysis cell with cell body energy consumption reaching an
industry-leading level; developed (ongoing) four 1000 m3/h ALK electrolysis cells together with one gas-liquid separation and
purification device to cope with renewable energy hydrogen production projects of larger scale; developed the 100 m3/h PEM
electrolysis cell and achieved system delivery; upgraded the smart hydrogen energy management system that was equipped with
software platforms and monitoring systems suitable for the hydrogen energy business scenarios; established and optimized the EHS
management system and the quality certification system. The hydrogen production equipment plant with a GW level annual capacity
was put into operation capable of building high-power ALK and PEM electrolysis hydrogen production systems on a large scale. In
July 2022 the company was awarded the Most Influential Enterprise in China's Hydrogen Energy Industry in 2021. In November
2022 the ALK electrolyzed hydrogen production system was included in the first white list of the Hydrogen Energy Forerunner
Initiative and was awarded China’s first energy efficiency certificate for the 1000 m3/h ALK electrolyzed hydrogen production
system by Bureau Veritas. In December 2022 the company enlisted top 30 of the first China Hydrogen Alliance SRDI
Entrepreneurship Competition and managed to achieve top 5 of the Competition and the first place in the hydrogen production
industry. In the same month the 1000 Nm3/h ALK wind-PV hydrogen production demonstration project in Baicheng of Jilin started
operation and Yangtze Power’s 200 Nm3/h PEM hydroelectricity hydrogen production demonstration project reached full capacity.The Company's green power hydrogen production system is applicable for various scenarios such as energy and power
petrochemicals transportation and metallurgy which has been widely used in wind-PV-water renewable energy hydrogen
production projects across Jilin Ningxia Inner Mongolia Gansu and Hubei provinces.
17Sungrow Power Supply Co. Ltd.
Division Product Picture Brief Introduction
PV inverters 1+X modular products Based on the profound insight into
New energy market demands the Company made
investment and significant innovation to traditional
development inverters and introduced the
Wind power first-to-market 1+X modular inverters
converters in the industry. At a unit power of 1.1
Energy storage MW multiple inverters can be
system connected in parallel to shape a
flexible sub-array of 1.1 MW to 8.8
MW making station configuration
more flexible and operation and
maintenance easier. By optimizing
the modular design of equipment
systems and components operation
and maintenance is streamlined
power generation efficiency is
improved.
320HX string inverter To cope with the widespread
(overseas model: 350) application of high-power modules
Sungrow introduced the 320HX
high-power string inverter for
large-scale ground power stations.Through the combination of
sub-arrays and power optimization
the product can optimize system BOS
cost while enabling upgrades in
safety reliability multi-dimensional
integration and stronger support for
the power grid which is a leading
300 KW+ high-power string
technology.SG30-110CX-P2-CN string Based on precise market insights
inverter (for industrial and Sungrow introduced the
commercial scenarios) SG30—110CX-P2 string inverters.This product series further enriches
the portfolio of small and
medium-sized power inverters and
achieves full coverage of distributed
application scenarios.SG10-25RT-P2-CN To cope with the widespread
residential inverter application of high-power PV
modules and the demand for larger
residential PV systems Sungrow
made all-around upgrades to its RT
series of products. The input current
of a single string is increased to 16A
allowing the it to flexibly adapt to
high-power PV modules and
double-sided PV modules. At the
same time the power range of
products are expanded to address
diversified residential installation
needs.
18Sungrow Power Supply Co. Ltd.
New energy Centralized PV power Centralized PV power station
vehicle electric station solution covers various application
drive system scenarios and relies on
Floating PV market-leading technologies to
system optimize power station LCOE hence
Charging significantly improving the ROI of
equipment PV power stations and creating
Intelligent greater value for customers.operation and Following the national strategy of
maintenance building large wind-PV power
Divisions generation bases Sungrow offers
PV inverters comprehensive utilization models
such as desertification control land
reclamation forestry-PV
complement salt-PV complement
and floating systems to set integrated
development examples for
comprehensive environmental
treatment and new energy industry
application.Wind power station solution Wind power station solution covers
plain wind power mountain wind
power and decentralized wind power
applications. Upholding the principle
of "wind power development and
ecological protection in parallel"
Sungrow develops and builds
ecological friendly wind power
stations in various scenarios and
refines wind resource assessment
according to local situation for value
maximization.iClean cleaning solution for iClean cleaning solution for
distributed PV system distributed PV system leverages AI to
ensure all-around powerful
self-cleaning which can significantly
reduce dirt coverage loss and increase
power generation by minimum 6%.As a distributed PV system that
enables secondary power generation
improvement it can drastically
reduce power station overhead and
achieve long-term investment return.iBlock flat-roof distributed iBlock flat-roof distributed solution is
solution an innovative application developed
for flat-roof distributed power
stations. The module brackets are
integrated with cement bases for
support and stabilization. Standard
modular design and installation
improves placement rate of modules
and increases installed capacity
hence significantly shortening the
construction lead time.
19Sungrow Power Supply Co. Ltd.
iBuilding smart BIPV iBuilding smart BIPV distributed
distributed solution solution is an integrated system that
combines modern roof building
materials and PV power generation.Built with a national patented
waterproof technology it requires no
consumable replacement in 30 years
enables a worry-free and comfortable
production environment together with
multiple benefits brought by clean
power.iRoof residential power iRoof residential power station
station solution solution is an exclusive design and
customized development of SungrowResidential PV featuring “morepower generation”. With intelligent
inverters efficient modules
intelligent grid-connection units
dedicated supports and intelligent
monitoring software integrated the
system features industry-leading
stability and can work in perfect
condition round-the-clock.iGarden colorful PV winter iGarden colorful PV winter garden
garden solution solution is an exclusive design and
integrated development of Sungrow
Residential PV for high-end
residential PV power generation
system. Featuring an exclusive patent
on water resistance it requires no
glue application and is water tight.The colors can be customized the
inclination angle can be adjusted and
the dimensions can be expanded. The
product can be customized according
to users’ personalized needs allowing
solar energy to truly blend into the
living environment.New energy Double-fed 4.x MW - 10 The product features an integrated
investment and MW wind power converter heat dissipation design that improves
development heat dissipation efficiency and
Wind power product stability a high power
converters density design and integrated
components for a compact structure
an integrated design of main control
and converters for larger
load-carrying capacity and strong
environmental adaptability for
customization in various application
scenarios.
20Sungrow Power Supply Co. Ltd.
Full power 5.x MW - 26 This product features the highest unit
MW wind power converter power of wind power converters in
China and a redundant design to
ensure unit power generation
revenue. It can proactively adapt to
complex grid environments to ensure
grid friendliness; it is built with
enhanced anti-corrosion and
anti-condensation design to
effectively cope with the marine
environment; cabin-mounted
applications and a special
anti-vibration structure help to meet
the strict vibration requirements.Energy storage PowerTitan large-scale Adhering to the “3-in-1 integration"system ground energy storage concept and innovative combination
New energy system of power electronics
vehicle electric electrochemistry and grid support
drive system technologies Sungrow introduced the
Floating PV professionally integrated PowerTitan
system series energy storage systems.Liquid-cooling temperature control
and intelligent cluster-level
management help to deliver the goals
of longer service life higher
efficiency and less loss reducing
LCOS by more than 20%. Combined
innovations in electrical safety cell
safety and grid safety improve the
overall safety of the energy storage
system.PowerStack industrial and In response to the increased civil
commercial energy storage power consumption and large power
system load fluctuations in peak hours
Sungrow introduced the PowerStack
industrial and commercial energy
storage system for industrial and
commercial scenarios. Based on
intelligent EMS energy management
the product supports multiple
application modes in on-grid or
off-grid scenarios coordinates energy
scheduling among grids PV systems
charging piles and loads and
increases scheduling gain by 10%.Thanks to the liquid-cooling
technology and intelligent safety
protection it can improve the
reliability of energy storage systems
in multiple dimensions.
21Sungrow Power Supply Co. Ltd.
Residential battery The overseas residential energy
SBR096-256 storage market is experiencing an
explosive growth. Capitalizing on the
channel advantages Sungrow
accelerates the residential PV-storage
business and has introduced the new
generation of SBR series residential
battery solutions. The product
features convenient installation
flexible configuration safety and
reliability and outstanding
performance.Charging HEM3 series hybrid dual The product is suitable for Class A
equipment electric control for and Class B hybrid passenger
Intelligent passenger vehicles vehicles and can work with various
operation and drive motors with a rated power of 45
maintenance to 80 kW. Built with the brand-new
Divisions discrete device parallel connection
PV inverters technology it features high reliability
New energy and power scalability.investment and EC60 series SiC motor The product is suitable for Class B
development controller and Class C high-end new energy
Wind power passenger vehicles and can work
converters with various drive motors with a
rated power of 100 to 140 kW. Built
with the full silicon carbide discrete
device parallel connection
technology it features ultra-high
efficiency and meets functional safety
standards.EE30 series 4-in-1 With main motor controller DCDC
controller OBC and PDU integrated the
product is suitable for N1 vehicles
such as minivans. It features high
integration high reliability and
flexible adaptation.EP10 series in-vehicle With OBC DCDC and PDU
power supply functions integrated the product is
suitable for Class A00 and Class A0
new energy passenger vehicles. It
features high reliability high power
density and platform design.EC53 series motor The product is suitable for new
controller energy buses heavy-duty trucks and
construction machineries. Built with
single and dual-motor control
functions to flexibly cope with
various scenarios it supports power
expansion and is reliable and
compliant with functional safety
standards.
22Sungrow Power Supply Co. Ltd.
EC32 series dual-motor The product is suitable for pure
controller electric and hybrid passenger
vehicles and can work with various
drive motors with a rated power of 45
to 60 kW. Built with the new
generation of parallel power modules
it can adapt to various power ratings
and support single and dual-motor
control delivering high efficiency
and reliability.EC11 series motor The product is suitable for Class A00
controller pure electric passenger vehicles and
can work with various drive motors
with a rated power of 10 to 15 kW. It
features platform design high
reliability and high power density.Energy storage Floating bodies The product underlies PV modules
system and electrical equipment on water
surface hence to form a floating PV
power station. 1. It can reduce water
evaporation and minimize waste of
water resources; 2. It inhibits the
growth of blue-green algae and
improves water environment; 3. It
effectively cools down the floating
modules and can increase power
generation; 4. It can be used in
various water environments such as
coal mining subsidence areas
reservoirs and offshore areas.New energy Chinese standard 120 kW The industry-leading 120 kW
vehicle electric integrated DC charging pile integrated DC charging pile features
drive system highly integrated power conversion
Floating PV system control and thermal
system management systems. The
dual-chamber isolated design of
power electronics and heat
dissipation parts enables IP65
protection rating and a service life of
more than 10 years which effectively
reduces the total cost across the entire
life cycle and ensures ROI for
charging station operators.European standard 30 kW This European standard charging pile
integrated DC charging pile is compatible with all vehicles with a
European CCS2 interface and is
mainly used in destination charging
scenarios. Being a reliable efficient
and friendly product it delivers
industry-leading technological
advantages including IP65 protection
rating efficiency up to 96.5% noise
below 50 dB and residential level
EMC Class B performance. The
product has a minimum service life of
10 years is reliable and maintenance
23Sungrow Power Supply Co. Ltd.
free and brings continuous benefits
to customers.Charging Smart operation and Relying on the Company’s 20+ years
equipment maintenance service of power electronic conversion
technology and power station
integration practice Sungrow Smart
Maintenance adheres to the serviceconcept of “Secure with technologybe reliable and trustworthy” to
provide standard all-around services
for new energy assets and continues
to ensure customers' stable return and
asset safety with advanced
technology.Intelligent IGBT rectifier power supply The product leverages the IGBT
operation and full-control power devices and PWM
maintenance control technology to rectify and
convert AC into DC required for the
electrolytic cell which is suitable for
large-scale renewable energy
AC-coupling hydrogen production
scenarios.IGBT DC conversion power The product leverages the IGBT
supply full-control power devices and PWM
control technology to convert
unstable wind or solar power supply
into DC required for the electrolytic
cell which is suitable for direct
hydrogen production scenarios using
off-grid wind and/or solar power.Alkaline electrolyzed water The product uses direct current to
hydrogen production electrolyze alkaline solution into
equipment hydrogen and oxygen and obtains
high-purity finished hydrogen after
gas-liquid separation and purification.It consists of an alkaline electrolysis
cell gas-liquid separation and
purification equipment and utilities
equipment.PEM electrolyzed water The product uses direct current to
hydrogen production facility electrolyze pure water into hydrogen
and oxygen and obtains high-purity
finished hydrogen after gas-liquid
separation and purification. It consists
of a PEM electrolysis cell gas-liquid
separation and purification
equipment and utilities equipment.
24Sungrow Power Supply Co. Ltd.
Intelligent hydrogen energy The product is the "brain" of green
management system power hydrogen production systems
which enables coordinated control
between multiple hydrogen
production systems as well as
between hydrogen production
systems and multiple energy sources.It is built with four major functions:
operation monitoring analysis and
diagnosis coordinated control and
operation management which can
ensure system efficiency
intelligence and safety.The Company needs to comply with the requirements on the disclosure of PV industry chain related business specified in the
Shenzhen Stock Exchange’s No. 4 Regulatory Guidelines for Listed Companies — Information Disclosure of GEM-Listed
Companies.
1. PV inverters’ conversion efficiency
The indicator “conversion efficiency” refers to the ratio of inverters converting the input DC power to AC power which is inverter’s
output power / inverter’s DC input power × 100%.By utilizing new semiconductor materials and high-efficiency magnetic devices optimizing circuit design improving MPPT
algorithm and optimizing the heat dissipation system the Company continuously drives inverters’ efficiency to go up. The
maximum efficiency of Sungrow's full range of inverters has reached 99% at the moment.
2. Cost of energy per kilowatt-hour of the Company's PV system
The indicator “cost of energy per kilowatt-hour” refers to the ratio of the PV system’s total investment cost versus the power
generated throughout the entire life cycle of the system. The total investment cost includes the initial investment and the operation
and maintenance investment throughout the life cycle. The cost of energy per kilowatt-hour directly reflects the power generation
cost of the PV system that is the lower the cost of energy per kilowatt-hour the higher revenue the PV system generates.Through constant technological innovation and system optimization the Company reduces investment cost and increases system
power generation thereby reducing the cost of energy per kilowatt-hour and improving customers' return on investment. By
increasing the unit power of inverters less inverters are required for power stations to reach the same capacity and the cable cost is
also reduced. By forming inverters into power units of larger capacity a maximum sub-array of 12.5 MW can be supported which
further saves the cost of transformers and reduces the initial investment. Highly integrated inverters and solutions will be widely used.For example the box-type medium-voltage inverter not only has the inverter transformer power distribution communication and
smoke detection functions integrated but also is built with a PID control box and communication power supply interfaces for the
tracking system. By improving the level of integration the system cost across its life cycle including cable cost construction cost
project management cost post-operation and maintenance cost can be reduced; systems are strongly coupled which improves
reliability and increases power generation of the power station. The modular design from "device level" to "system level" reduces
system operation and maintenance costs and higher equipment uptime rate increases the power generation of PV power stations.Intelligent medium-voltage shutdown solutions feature intelligent algorithm control between inverters collector circuit breakers and
step-up transformers achieving zero loss standby for step-up transformers and further improving ROI for customers.
3. PV system’s grid friendliness
As PV systems are being utilized at large scale the penetration rate of PV increases year by year. Inverters are directly connected to
the grid as a link for energy transfer and the requirements for inverters’ grid friendliness are getting increasingly higher.Sungrow inverters are built with low-voltage ride-through zero-voltage ride-through and high-voltage ride-through capabilities
which can cope with the voltage changes of power grid in the case of power grid problems hence to ensure that PV systems will not
be disconnected from the grid on a large scale and result in the escalation of incident. Moreover inverters are built-in with fast power
25Sungrow Power Supply Co. Ltd.
control modules to enable quick scheduling in less than 20 ms for reactive power response and support stronger reactive power. They
also support the VSG (virtual synchronous power generation) technology to realize proactive support for the power grid. Inverters
have the DC energy storage interface integrated hence to eliminate transformation afterwards. In addition they support reverse
charging and take advantages of the energy storage equipment. The power generation side is a multi-energy complementary platform
that allows PV power station peak regulation smooth PV power station output and grid stability; the power consumption side is an
intelligent PV-storage micro-grid platform which enables peak-trough balance through energy storage improves PV consumption
and achieves precise energy supply. As new energy application increases year by year the SCR (short-circuit ratio) of power grid
decreases which can easily cause frequent disconnection of inverters. Sungrow has developed the adaptive control algorithm to
precisely perceive the strength of power grid. The algorithm has passed the SCR=1.02 weak current grid certification which
positively promotes an ear of "grid friendliness" and achieves the dual carbon target.
4. PV system safety
As the installed capacity of PV systems increase year by year safety hazards in PV power stations become an increasingly large
concern. The Company takes the safety of power stations a priority at work and further improves the safety of system design.Sungrow’s inverter systems are capable of detecting DC series and parallel arc pulling in real time. They have passed relevant
protection certifications can quickly identify arc pulling based on the intelligent arc pulling detection algorithm and cut off in
milliseconds to block the damage of arc pulling. Inverters are built with AC/DC insulation monitoring systems to cope with various
application environments quickly locate insulation faults enable self-protection in case of cable faults avoid electric shock and fire
risks and safeguard the power station round-the-clock. Thanks to the intelligent protection and control algorithms integrated
isolation switches and big data-based operations inverters can precisely identify reverse connections short circuits and other faults
cut off in down to 10 ms hence effectively avoiding fault escalation.
5. Unit production cost of the Company's PV inverters
Due to wide range of the Company's PV inverters and different power ratings the unit production cost varies from CNY 0.07 to
CNY 0.15 per watt at the moment.III. Analysis of Core Competitiveness
In the nearly two decades of rapid development the Company has been committed to the independent innovation of power
electronics and electric energy conversion technology in the new energy field with a number of technologies reaching the
world-leading level. In recent years the Company successively deployed a range of new businesses such as key components of new
energy vehicles micro-grid energy storage smart energy and new energy hydrogen production and gained considerable growth.
1. Brand Advantages
As the first enterprise engaged in the R&D and production of inverter products in China the Company has been committed to
developing and producing PV inverters and other PV system equipment since its establishment in 1997 and secured a solid leading
position. In 2015 the Company for the first time outperformed a European company that had been the world leader in terms of
shipment for many years and shipped the most PV inverters in the world. With a leading market share the Company’s products were
sold to more than 150 countries including Germany Italy Australia the United States Japan and India. By the end of 2022 the
Company has cumulatively installed more than 340 GW of inverter equipment worldwide. The Company's brand and reputation are
highly acknowledged in the industry and continually improving. The Company has successively received the honors of China
Industry Awards Demonstration Enterprise of National Individual Champion in Manufacturing Forbes Top 50 Most Innovative
Chinese Companies National Intellectual Property Demonstration Enterprise Global Top 500 New Energy Enterprises Best
Companies to Work For in Asia and etc. Boasting a state-level post-doctoral research workstation a national high-tech
industrialization demonstration base a national recognized enterprise technology center a national industrial design center and a
national green plant the Company holds a leading position in the global new energy power generation industry in terms of
comprehensive strength. In the 2022 list of China's 500 Most Valuable Brands released by the World Brand Lab the Company
26Sungrow Power Supply Co. Ltd.
ranked No. 153 with a brand value of CNY 61.586 billion a year-on-year increase of over 40%. In 2022 the Company was the only
inverter brand rated 100% bankable by BloombergNEF securing the top position for four consecutive years.
2. R&D Innovation Capability
Since its establishment in 1997 the Company has been focusing on the new energy power generation sector to advance the research
and development of core technologies while maintaining market oriented and innovation based. To transform technological
advantages into product advantages benefits advantages and competitive advantages the Company has fostered a professional R&D
team with solid R&D experiences and strong innovation capabilities. The Company has set up six R&D centers in Hefei Shanghai
Nanjing Shenzhen Germany and the Netherlands providing leading technological support for building globally competitive new
energy equipment. In order to explore cutting-edge technologies the Company has set up the Central Research Institute that is
responsible for making high-value intellectual property plans in advance and addressing critical technical challenges hence to
provide efficient platform services and innovation management for the Company's product and technology development and foster
R&D and management professionals to build core technological competitiveness. In the meantime each division has set up an
independent R&D task-force for close interaction with the market and customers. In 2022 the Company invested CNY 1.692 billion
in research and development an increase of 45.70% year-on-year. As of the end of the reporting period the Company boasted an
R&D headcount of 3647 accounting for nearly 40% of total employees including 51 doctorate holders and 1336 master's degree
holders. The Company has successively undertaken more than 20 national key science and technology programs and led the drafting
of multiple national standards making it one of the few enterprises in the industry that boast multiple independent core technologies.The Company also attaches great importance to the accumulation of intellectual properties in technological innovation achievements
and closely follows the evolution of various new technical standards. In 2022 1756 new patent applications were filed accounting
for a patent application growth rate of 57% which added up to 5410 patent applications cumulatively including 4691 in China and
719 overseas. A total of 2877 patents were awarded cumulatively accounting for a growth rate of 47.4% including 1073 inventions
1591 utility models and 213 exterior designs. Relying on the industry-leading technological reserve the Company actively
promoted the formulation and optimization of relevant standards in the industry organized and contributed to a number of Chinese
national standards.The Company has introduced the IPD (Integrated Product Development) process to guide the technological reserve and product
development efforts according to customer demand analysis technology development analysis and competitive strategy analysis.From concept planning development verification trial production to mass production staged quality indicators are set for each step
of new product development to ensure the quality of products. The Company has invested in a world-leading electromagnetic
compatibility laboratory that is equipped with high-performance large-capacity low-voltage ride-through facilities as well as a variety
of power supplies and power grid simulators which is capable of providing the most demanding test condition. The Company
continues to establish and optimize the ISO9001:2015 ISO14001 OHSAS18001 management systems and strictly promote the
integrated quality environment occupational health and safety management system. The Company's products have passed a number
of authoritative international certifications including UL TüV CE Enel-GUIDA AS4777 CEC CSA and VDE.
3. Global Marketing Channels and Service Network
Since its establishment the Company has identified a global development strategy and established now an oversea production
capacity of 25 GW in the India production base and the Thailand plant. As of today the Company has set up 20+ oversea subsidiaries
6 global service regions 85+ global service centers 280+ authorized service providers and hundreds of important channel partners
with products being sold to more than 150 countries around the world. In the future the Company will continue to explore the global
market orderly promote the global deployment of inverters energy storage charging power stations and floating system businesses
prioritize the improvement of global marketing service financing and other key capabilities thereby reinforcing the global support
capability system and strengthen the global influence.
27Sungrow Power Supply Co. Ltd.
IV. Core Business Analysis
1. Overview
A. Overview of core business analysis
As the global new energy market grew rapidly in 2012 the Company seized the opportunity and overcame the impacts of challenging
logistics and supply shortage to enhance R&D innovation and deeply explore the global market. As a result the Company further
consolidated its leading position in core business and expanded the brand influence. At the same time benefited from the scale effect
channel expansion and improvements in operational capabilities the Company’s profitability improved further.In the reporting period the Company achieved a total revenue of CNY 40.257 billion an increase of 66.79% year-on-year; an
operating cost of CNY 30.376 billion a year-on-year increase of 61.87%. The increase in both revenue and operating cost mainly
came from the Company's continuous expansion in the market and the subsequent expansion of sales scale. The Company achieved a
gross profit rate of 24.55% a year-on-year increase of 2.29% which mainly came from expansion of the energy storage business
especially the increase in the proportion of residential storage and the decrease in shipping costs. The Company realized a net profit
attributable to shareholders of CNY 3.593 billion an increase of 127.04% year-on-year; selling expenses amounted to CNY 3.169
billion a year-on-year increase of 100.26% which mainly came from expansion of business scale increase in sales personnel costs
and increased investment to expand the global channel and service network. The Company realized R&D expenses amounting to
CNY 1.692 billion a year-on-year increase of 45.70% which was mainly due to the large increase in the salaries of R&D staff and
the use of raw materials for the expanded R&D investment in the current period. The Company realized financial expenses of CNY
-477 million a year-on-year decrease of 268.48% mainly due to the relatively large exchange earnings from foreign exchange rate
fluctuations in the current period. The net cash flow from operating activities was CNY 1.210 billion a year-on-year increase of
173.87% which was mainly contributed by the increase in cash collection from commodities sold and labor services provided in the
current period.B. Overview of core business in the reporting period
In the reporting period the Company made the following attempts related to the main business:
(1) Business development
PV inverters
In the reporting period the Company released the 2023-2027 technology roadmap based on which the Company intended to advance
technological R&D and product innovation related to the solar power and energy storage. In addition the Company continued to
strengthen R&D innovation vigorously pushed forward the global brand strategy and deeply explore key segmented markets in
order to capitalize on the global marketing service and supply chain advantages. With increasing global competitiveness and
influence the Company successfully guaranteed green power supply for the World Cup 2022 2022 Winter Olympics COP27 and
other global events. In 2022 the Company shipped 77 GW of PV inverters in total including 900000 units shipped through channels.As of December 2022 the Company has cumulatively installed over 340 GW of inverter equipment in the global market.In the reporting period the Company expanded its presence in the European American Australian and Chinese channel markets
and set up 370+ service outlets worldwide including 85+ global service centers and 280+ authorized certification service providers.Being customer-oriented the Company has established solid cooperation with global customers entered into several contracts for
GW-level inverters. The Company’s performance in distributed market continued to go up with the market share in dominating
markets stably ranking the first.In the reporting period the SG320HX leading the 300kW+ string technology and the groundbreaking 1+X modular inverter were
widely applied in various scenarios worldwide. The Company assisted in the grid connection operation of an 800 MW PV power
station in Qatar contracted a 256 MW (the largest in Africa) standalone new energy power generation project with the SOLA Group
in South Africa as well as a 650 MW PV project in Brazil a 480 MW PV project in Chile and a 320MW project in Denmark.In the meanwhile Modular Technology and Equipment for New Medium-Voltage PV Power Generation Units one of the National
28Sungrow Power Supply Co. Ltd.
Key Research and Development Plan programs passed acceptance giving birth to the world's first direct-mounted 35 kV
medium-voltage PV inverter.For the distributed market the Company launched new industrial and commercial products globally with 125 kW high-power
products leading the industry. Sungrow’s upgraded CX series industrial and commercial PV inverters fitted in various industrial and
commercial scenarios featuring the advantages of flexible compatibility with large modules global MPPT solutions and removable
enclosure design. This series further enriched the portfolio of small and medium-sized power inverters and redefined the future of
distributed inverters.In response to the growing global demand for residential storage Sungrow released the new generation of residential integrated
PV-storage-charging solution and launched the PV-Storage-Charging Green Power Solution for residences. Leading the global
residence energy independency transition the solutions were widely acknowledged by the market because of its high power
generation efficiency and convenient operation and maintenance. They were also largely welcomed and praised by customers in
many projects.Wind power converters
In the reporting period significant breakthroughs were made in offshore wind power converters wind power aftermarket and
powertrain businesses. In 2022 23 GW of wind power converters were shipped marking a year-on-year increase of 53%. The
Company continued to increase strategic investment in the wind energy business during the reporting period insisted on R&D
innovation maintained a leading edge in wind power converter technologies and continually expanded in wind power conversion
and electric powertrain technologies hence to increase Sungrow’s brand influence in the wind power industry promote quality
development of the wind power industry and contribute to the earlier arrival of a zero carbon society under the dual-carbon goal.Energy storageIn the reporting period Sungrow introduced PowerTitan and PowerStack the industry's first “3-in-1 professionally integrated"liquid-cooling energy storage solutions. three electricity integration professional integration" full series of liquid cooling energy
storage solutions PowerTitan and PowerStack for large-scale ground and industrial power plant application scenarios. While
maintaining the temperature uniformity and lower power consumption of liquid cooling the solutions creatively incorporated
“cluster-level managers” to address the "barrel effect” of batteries and supported mixed use of new and old batteries to further
reduce LCOS. In 2022 Sungrow shipped 7.7 GWh of energy storage systems worldwide.At present the Company's energy storage systems are widely used in mature electricity markets such as US UK and Germany to
enhance the deep integration of wind power solar power and energy storage. No safety incident was reported in any of the energy
storage projects the Company was involved in extensive application experiences were gained in frequency regulation and peak
shaving auxiliary renewable energy grid connection micro-grid industrial and commercial energy storage residential energy
storage and other fields. In the reporting period the Company provided one-stop solutions for various projects around the world
including the 638 MWh energy storage project (the largest) in Latin America the Phase I 176 MWh PV-storage integration project of
Ginan Solar in Australia the 136.24 MWh PV-storage integrated power station (the largest) in Southeast Asia the 430 MWh energy
storage project (the largest) in Israel and the 100 MW/200 MWh grid-side standalone energy storage project in Taiyang of
Taierzhuang Shandong.According to the Energy Storage Industry White Paper 2023 released by China Energy Storage Alliance in April 2023 Sungrow’s
shipment of energy storage systems ranked No. 1 among Chinese manufacturers for 7 consecutive years. the shipment volume of
solar power storage systems ranked first among Chinese enterprises for seven consecutive years. With proven strengthen in clean
power conversion technology Sungrow will continuously capitalize on the advantages of collaborative wind power solar power and
energy storage innovation ensure the safe stable and efficient operation of new energy energy storage and power grid advance
top-level industry designs and assist in building new power systems running on new energy.New energy investment and developmentIn the reporting period Sungrow Renewables focused on the vision of “To be the global leader of new energy power generationtechnology” practiced the value proposition of “More Power Generation in a Friendlier Way” and continued to implement the
29Sungrow Power Supply Co. Ltd.
business policy of “being pragmatic and refined in operation”. The Company continued to enhance research and development of new
energy system technology innovative and optimize power station products accelerate channel business layout and upgrade service
capability. As of the end of the reporting period Sungrow's new energy business extended into 30 provinces autonomous regions
and municipalities in China as well as countries along the Belt and Road with cumulative volume of global development and
construction of PV/wind power stations exceeding 31 million kilowatts.Leveraging system technology innovation to secure the differentiated competitiveness Sungrow Renewables continually increases
technological innovation and industrial application of new energy systems. In the reporting period the Company increased R&D
investment targeting at three core technology systems (high-efficiency power generation system integration and power station life
cycle optimization); upgraded the PowMart smart energy solution portfolio to cover more application scenarios and cope with
diversified industries. The latest iSolarRoof-B intelligent industrial and commercial PV system design software iSolarBP initial
evaluation software for industrial and commercial PV systems and iSolarRoof-C intelligent residential PV system design software
assisted industrial commercial and residential PV power stations in efficient evaluation and decision-making streamlined designing
intelligent optimization cost reduction and efficiency improvement and efficient power generation which comprehensively
improved the development quality of the distributed PV industry.In the reporting period Sungrow Renewables joined forces with the National Energy Key Laboratory for Wind and Solar Simulation
Testing and Certification and the China General Certification Center to roll out the Good PV Power Station certification project. As a
result the BIPV (Building Integrated PV) Technology White Paper the Floating PV System Power Generation Technology White
Paper and a number of Good PV Power Station evaluation standards for BIPV floating systems and PV integration with agriculture
forestry husbandry fishery soil/environment reclamation were released. The relevant white papers and technical achievements
bridged the gap of no evaluation standards available for quality PV power stations and played a significant role in guiding the quality
development of the PV industry. Along the course the Company chaired the Webinar on Tonga Volcano Eruption and PV Power
Generation and the Webinar on Energy Storage System Development under the Dual Carbon Target providing consistent technical
support for developing PV energy storage and other new energy businesses.Focusing on the new energy development track and guided by the value proposition of "More Power Generation in a Friendlier Way”
Sungrow Renewables openly embraced major national energy strategies such as the large-scale wind power and PV base and the
county-wide PV/wind power development across the county continuously built project reserve and converted resource conversion.In the domestic market the Company built the first grid-side energy storage application demonstration project in Anhui Province the
largest PV-storage integration project in China the annual energy storage demonstration project in Shandong and a number of
industry benchmarks. In the overseas market the Company accelerated market exploration maintained a steady momentum won the
bid of Australia's top credit rating PPA project and officially connected Kazakhstan's 150 MW wind power project to the grid.In the field of industrial and commercial PV systems the Company insisted on parallel development of "direct selling + channeldistribution" and fully leveraged the advantages of “technology + platform" dual drive to incubate unique technologies in the fieldof industrial and commercial PV systems as well as effective power generation products and intelligent software that assist channel
partners in rapid development. Sungrow Renewables has also innovated a series of technology service platform partner platform
financing platform supply chain platform information management platform and etc. to provide channel partners with all-around
platform services throughout the entire lifecycle. In the reporting period Sungrow Renewables cumulatively developed more than 4
GW of industrial and commercial PV power stations and cooperated with nearly one thousand industrial and commercial enterprises.In response to the increasingly popular residential PV market Sungrow continued to enhance the comprehensive advantages in brand
product service and other aspects deepen the channel model and achieve coordinated development of multiple business models
including full payment financing cooperative operation and operational leasing in the market. The Company continued to shape a
community of interests for manufacturers; made market assistance efforts in technological guidance financial support training and
empowerment market promotion; kicked off the 2022 All Quality Matters Tour and other brand service initiatives in China to
enhance customer experience. To consolidate the product and technological advantages the Company optimized and upgraded the
iRoof residential power station the iGarden colorful PV winter garden and other products to ensure efficient power generation. In the
30Sungrow Power Supply Co. Ltd.
reporting period the market share of Sungrow residential PV systems steadily increased the installed capacity doubled enabling the
Company to hold a solid position in the leading group among residential PV manufacturers and earning the 2022 Influential Brands
of Residential PV Systems in China as well as other honors.While the business developed rapidly Sungrow Renewables received a number of honors such as the National May Day Labor
Award Anhui Provincial Industrial Design Center National Service-oriented Manufacturing Demonstration Enterprise and 2022
Best ESG Employers in China. The Company won the very first TüV Rheinland PV Power Station Developer Award and received
the approval for establishing a postdoctoral research workstation.Sungrow Renewables proactively embraces changes in policies and market environment and adheres to the strategic positioning of
being a proven player in new energy system technologies. With comprehensive efforts made in brand products channels and service
the Company develops and builds power station products featuring “More Power Generation in a Friendlier Way” helping achieve
higher power generation efficiency and lower unit electricity costs and leading the quality development of the new energy industry.
(2) Operation management and others
The 2022 Restricted Stock Incentive Plan
To further optimize the long-term incentive mechanism of the Company attract and retain outstanding talents and motivate
employees at work by effectively considering the interests of shareholders the Company and employees so that all parties jointly
contribute to the Company’s long-term development and following the principle of equal benefits and contributions a total of
6165000 Class II restricted shares were granted to 467 incentive objects at the price of CNY 35.54 per share in the reporting period.
This equity incentive plan helped to grow endogenic force for the sustainable and healthy development of the Company which
integrated the interests of core personnel with the Company's future performance growth and shareholder return capability. It helped
to continuously improve the Company's operating performance and value creation capability and set a guidance for attracting and
retaining more outstanding employees in the future and effectively implementing long-term strategic plans.Share buyback for equity incentive
Based on the positive prospect of the Company's growth Sungrow successfully implemented the share buyback plan in 2022 to
safeguard the interests of shareholders enhance investors’ confidence and further improve the Company's long-term incentive
mechanism. Taking into account the Company's operating performance financial performance profitability and development
prospects the Company bought back some of the Company's shares with self-supplied funds and intended to use them for employee
stock ownership plans or equity incentive plans for key employees in the future. As of the end of the reporting period the Company
had bought back approximately 6485000 shares through centralized bidding in the Shenzhen Stock Exchange’s trading system with
the total payment amounting to CNY 521 million.Corporate culture
Year 2022 marked the 25th anniversary of Sungrow. With systematic thinking and collective wisdom the Company instituted theSungrow Guidelines to guide the Company's operation and growth in the future. While firmly upholding the green mission of “Cleanpower for all” Sungrow’s core values were upgraded to "Honest & Reliable Excellent & Open-minded Innovative & RespectfulCustomer First” which intended to foster an inclusive organizational atmosphere and strived to enable all Sungrow employees to
innovate and collaborate in mutual trust and respect. In the reporting period the “Global Sungrow” concept was reinforced to expand
the influence of the Sungrow culture; the Role Model series publicizing passed on positive attitude and inspired empathy; the
Cross-Cultural Salon promoted exchange and interaction of cross-cultural teams. A number of themed cultural activities were carried
out: the Sungrow Trailwalk attracted nearly 10000 employees from all over the world as well as external followers with the
cumulative distance hitting nearly 250000 kilometers; the Global Skills Competition helped to communicate the concepts of lean
production and smart manufacturing; employees across multiple regions in China and overseas acted in coordination to bless
Sungrow’s 25th anniversary in diversified ways; the Love from Sungrow Donation brought warmth to the left-behind children in
rural areas and demonstrated corporate social responsibilities. By continuously advancing the global employer branding efforts across
Europe Americas and Asia Pacific regions Sungrow won multiple international employer brand awards including Top Company
2022 Great Place To Work Certification and Best Companies to Work For in Asia which further consolidated Sungrow’s employer
31Sungrow Power Supply Co. Ltd.
brand image overseas. The third Sungrow University Innovation Competition attracted more than 100 undergraduates as well as
master and doctoral candidates from key universities in the country; Open Day activities campus workshops winter camps and etc.attracted more talents to the Company. Sungrow has created a diverse and inclusive workplace and recruited 900 employees
overseas accounting for a localized employment rate of 99.6%. The Company extends internal and external training to empower
employees offers diversified incentives and benefits to motivate employees and enhance employees’ well-being and shapes the
Sungrow atmosphere of “joyful work and healthy life”.Social responsibilities
Since the Company joined EP100 and made commitments to increase energy productivity by at least 35% by 2028 on top of the 2018
benchmark multiple energy-saving and emission reduction activities were launched to progress refined energy management driven
by technology and management. In the meanwhile the Company speeded up towards the RE100 target and realized 45% of green
power use during the year.Assuming the mission of “Clean power for all” the Company makes in-depth exploration in the field of clean power and is
committed to addressing the challenges in producing converting storing and using clean power with technological progress. We
strive to lower energy cost raise the proportion of green energy worldwide offer more efficient and convenient ways to use energy
and allow more people to get involved ultimately enabling affordable safe and smart low-carbon energy to be accessible for all and
making unremitting contributions to a greener planet.Adhering to the brand position of “technologic power” the Company insists on high level of R&D investment delves into the
energy-saving and emission-reduction scenarios of various industries continually innovates and delivers outstanding products and
services to help customers reduce emissions save resources and lead partners in the ecosystem towards low-carbon transformation.By the end of 2022 the Company has achieved a cumulative installed capacity of 340 GW of inverter equipment worldwide
produced 471.1 billion kWh of clean power and reduced carbon dioxide emission by nearly 377 million tons per annum. Moreover
the Company has reduced carbon emission by 23000 tons throughout the year by focusing on company-wide green operation.In 2022 the Company made full use of its advantages and professional capabilities and rolled out public welfare volunteer programs
in ecology and environment protection support for education technology and human resources poverty alleviation community
growth and disaster assistance. The Sungrow Forest program was included in China’s Sustainability Cases in Industrial and
Information Technology released by China Federation of Industrial Economics. The Company released the Supplier Code of Conduct
and conducted a product carbon footprint survey. In addition the Company set up a dedicated public welfare fund of CNY 10 million
and launched the Sungrow Global Volunteer Service Program to repay the care and support received from society. Throughout the
year the Company made a total donation of CNY 7.4807 million.R&D intellectual property
In the reporting period the Company continued to increase R&D investment and actively advanced the consolidation of independent
intellectual properties and patent application. In 2022 the Company was granted 895 new patents all of which were original ones
including 40 patents overseas 208 inventions 598 utility models and 50 exterior design patents in China. A total of 1750 new
patent applications were filed including 169 patents in foreign countries 743 invention patents 764 utility model patents and 74
appearance patents in China. Such efforts further enhanced the Company's independent innovation capabilities and strengthened the
core competitiveness.As of the end of the reporting period the Company has cumulatively acquired a total of 2877 patents including 1073 inventions
1591 utility models and 213 exterior designs. Relying on the industry-leading technological reserve the Company actively
promoted the formulation and optimization of relevant standards in the industry organized and contributed to a number of Chinese
national standards.Honors and awards received in the reporting period
Honors and Awards Awarded by
Top Chinese Listed Companies 2022 (Most Progressive Listed National Business Daily
32Sungrow Power Supply Co. Ltd.
Companies in New Energy and New Materials Industries)
2022 Top 100 Companies in Anhui Anhui Enterprise Federation Anhui Entrepreneur
Federation
2022 Top 100 Manufacturing Companies in Anhui Anhui Enterprise Federation Anhui Entrepreneur
Federation
2022 Top 500 Manufacturing Companies in China China Enterprise Confederation China Entrepreneur
Association
PVBL Top Global Photovoltaic Brand Award Photovoltaic Brand Lab (PVBL) Century New Energy
Network
Top 100 Global Photovoltaic Brands Century New Energy Network Photovoltaic Brand Lab
2022 Top 100 Most Valuable Chinese PV Brands Organizing Committee of the 5th China International
Photovoltaic Industry Summit Forum
2022 EPC Excellence PV Companies World Solar Photovoltaic Industry Expo Guangdong
Hongwei International Exhibition Co. Ltd.
2022 Excellent PV Inverter Companies World Solar Photovoltaic Industry Expo Guangdong
Hongwei International Exhibition Co. Ltd.
2022 Most Influential Chinese Rooftop PV Inverter Brands Organizing Committee of China Residential PV
Conference
China Distributed PV Conference - Top Ten Most Influential Organizing Committee of the 5th China Distributed PV
Inverter Brands Conference
2022 China Energy Storage Industry Evaluation - Best System Solarbe ESN The Solar Energy Cup Evaluation
Integration Solution Award Committee
The Solar Energy Cup Evaluation - 2022 Most Influential PV Solarbe Global The Solar Energy Cup Evaluation
Inverter Companies Committee
The Solar Energy Cup Evaluation - 2022 Most Influential PV Solarbe Global The Solar Energy Cup Evaluation
Storage Solution Providers Committee
The 11th North Star Cup 2022 Most Influential PV-Storage North Star Solar Photovoltaic Network Beijing Huonet
Integration Solution Providers Power Technology Co. Ltd.The 11th North Star Cup 2022 Most Influential PV Inverter Brands North Star Solar Photovoltaic Network Beijing Huonet
Power Technology Co. Ltd.GGII Energy Storage 2022 Energy Storage Industry Chain GGII Energy Storage GGII
Nominee for the Paulson Prize for Sustainability Paulson Institute
Contributor to the Carbon Neutrality Green Brand Influence
China Energy News China Institute of Energy Economics
Initiative
Demonstration Enterprise of Green Design for Industrial Products Ministry of Industry and Information Technology
The 11th North Star Cup 2022 Most Influential Low Carbon Action North Star Solar Photovoltaic Network Beijing Huonet
Brands Power Technology Co. Ltd.
33Sungrow Power Supply Co. Ltd.
First Prize in the Science and Technology Progress Award
(Dispatching and Control Technology and its Application for
China Electrotechnical Society
Multiple New Resources Involved in Secondary Frequency
Regulation of Power Systems)
Science and Technology Award of China Power Supply Society
(First Prize - Technological Invention) (Key Technologies and
China Power Supply Society
Application of a Large Scale Energy Storage System Based on
Power Electronics Battery Units)
Anhui Province Patent Gold Award (a method for exiting and
Anhui Provincial Market Supervision and Administration
switching the MPPT centralized mode and its application)
2022 Forbes Most Innovative Chinese Companies Forbes China
China's 500 Most Valuable Brands World Brand Lab
Enterprise of Best Practices in Achieving the Sustainable
Global Compact China Network
Development Goals (Carbon Peaking and Carbon Neutrality)
2022 Best Companies to Work For In Asia HR Asia
Top Company Kununu
2. Income and Cost Analysis
(1) Composition of operating income
The Company needs to comply with the requirements on the disclosure of “PV industry chain related business” specified in the
Shenzhen Stock Exchange’s No. 4 Regulatory Guidelines for Listed Companies — Information Disclosure of GEM-Listed Companies:
Overview of operating income
(in CNY)
20222021
% of Operating % of Operating YoY Change
Amount Amount
Income Income
Total operating income 40257239155.34 100% 24136598726.55 100% 66.79%
By sector
PV 27245555359.81 67.68% 18931185451.66 78.43% 43.92%
Energy storage 10126474666.35 25.15% 3137622772.49 13.00% 222.74%
Other 2885209129.18 7.17% 2067790502.40 8.57% 39.53%
By product
PV inverters and other power
15717345647.0939.04%9050773565.6337.50%73.66%
conversion devices
New energy investment and
11603806618.8228.82%9678744379.6140.10%19.89%
development
Energy storage systems 10126474666.35 25.15% 3137622772.49 13.00% 222.74%
34Sungrow Power Supply Co. Ltd.
Wind power converters 1461329609.84 3.63% 1177080263.56 4.88% 24.15%
PV power generation 625483634.25 1.55% 485629355.11 2.01% 28.80%
Other 722798978.99 1.80% 606748390.15 2.51% 19.13%
By geography
Mainland China (not including Hong 21194893809.26 52.65% 14959211117.66 61.98% 41.68%
Kong Macau and Taiwan)
Overseas (including Hong Kong 19062345346.08 47.35% 9177387608.89 38.02% 107.71%
Macao and Taiwan)
Sales to major revenue-contributing countries
(in CNY)
Major Significant adverse changes in local PV industrial policies or
revenue-contributing Sales volume Sales revenue trade policies and their impacts on the Company's current and
countries future operating results
China Not Applicable 21194893809.26 Not Applicable
Basic situation of PV power stations
Since there are a large number of PV power station projects in the reporting period the basic information of the top ten PV power
stations by revenue is disclosed here item by item and the rest power stations are listed as a whole by business pattern.Source of PV
Capacity
No. Project Name BT/EPC Status inverters/wind
(MW/MWH)
power converters
The BOREY 100 MW Wind Power Project in 100
1 BT Grid connected Outsourced
Kazakhstan
Hebei Yangmin New Energy 190 MW Sungrow 203 Construction in
2 BT Self-supplied
Residential PV Power Station Project progress
Anyang Yangzhao 260 MW Sungrow 195 Construction in
3 BT Self-supplied
Residential PV Power Station Project progress
Hefei Yangjie New Energy Technology Co. Ltd. 175 Construction in
4 BT Self-supplied
370 MW Residential Project progress
5 Laizhou Haoyang Phase II 140 MW PV Project EPC 140 In trial operation Self-supplied
Luohe Yangzhao 90 MW Sungrow Residential 180 Construction in
6 BT Self-supplied
PV Power Station Project progress
Sungrow Renewables - Gao'an Fuyang Xiangfu 114 Construction in
7 BT Self-supplied
Town 150 MW Project progress
Shandong Daiyang New Energy Co. Ltd. 260 121 Construction in
8 BT Self-supplied
MW Residential PV Power Station Project progress
9 Hefei Yangyuan New Energy Technology Co. BT 122 Construction in Self-supplied
35Sungrow Power Supply Co. Ltd.
Ltd. 340 MW Sungrow Residential PV Power progress
Station Project
Kaifeng Yangzhao 365 MW Sungrow 123 Construction in
10 BT Self-supplied
Residential PV Power Station Project progress
Other BT power station projects 1513 - -
Other EPC power station projects 506 - -
The construction contract between the Company and the
customer includes the performance obligation for power
station construction. Since customer has control over the
construction-in-progress during the contract performance
the Company considers it as a performance obligation
within a certain period of time and recognizes revenue
according to the progress of performance unless the
progress of performance cannot be reasonably determined.Accounting treatment for BT and EPC models
The Company determines the performance progress of
service provision according to the percentage of
investment. The performance progress is the ratio of the
actual cost incurred for the performance of the contract
versus the estimated cost of the contract. The Company
re-estimates the progress of completion or the labor
service provided on the date of the balance sheet so that it
can reflect changes in the contract performance.
(2) Industries products geographies and sales models that account for more than 10% of the Company's
operating income or operating profit
□ Applicable □ Not Applicable
(in CNY)
Gross YoY changes in YoY changes in YoY changes in
Operating income Operating cost
margin operating income operating cost gross margin
By sector
PV 27245555359.81 20387578197.75 25.17% 43.92% 40.60% 1.77%
Energy storage 10126474666.35 7773287416.92 23.24% 222.74% 188.43% 9.13%
By product
PV inverters and other
power conversion 15717345647.09 10495620278.70 33.22% 73.66% 75.18% -0.58%
devices
New energy investment
11603806618.8210238914199.9911.76%19.89%20.08%-0.15%
and development
Energy storage systems 10126474666.35 7773287416.92 23.24% 222.74% 188.43% 9.13%
By geography
36Sungrow Power Supply Co. Ltd.
Mainland China (not
including Hong Kong 21194893809.26 16523804445.24 22.04% 41.68% 36.48% 2.97%
Macau and Taiwan)
Overseas (including
Hong Kong Macao and 19062345346.08 13852002105.08 27.33% 107.71% 108.04% -0.12%
Taiwan)
Where the statistical caliber for the Company's core business data was adjusted in the reporting period the adjusted core business
data in the last year at the end of the reporting period
□ Applicable □ Not Applicable
(3) Whether the Company's physical sales revenue is greater than the labor revenue
□ Yes □ No
Sector Item UoM 2022 2021 YoY Change
Sales GW 77 47 63.83%
PV inverters Production GW 82 56 46.43%
Inventory GW 23 18 27.78%
Reasons for year-on-year changes greater than 30%
□ Applicable □ Not Applicable
Sales volume increased by 63.83% year-on-year mainly contributed by the increase in business scale;
Production volume increased by 46.43% year-on-year mainly contributed by the increase in business scale.
(4) Performance of major sales contracts and purchase contracts entered by the Company up to the
reporting period
□ Applicable □ Not Applicable
(5) Composition of operating cost
By sector
(in CNY)
20222021
Sector Item % of Operating % of Operating YoY Change
Amount Amount
Income Income
PV Raw materials 16582269527.82 81.13% 11648179923.82 80.33% 42.36%
(6) Whether the scope of consolidation changed in the reporting period
□ Yes □ No
For details please refer to the Description of Changes in the Scope of Consolidation in Section X Financial Reports.
37Sungrow Power Supply Co. Ltd.
(7) Significant changes or adjustments to the Company's business products or services in the reporting
period
□ Applicable □ Not Applicable
(8) Major Customers and Major Suppliers
Major customers
Total amount of sales to top five customers (CNY) 5239115401.56
Proportion of total sales amount to top five customers in the annual total sales 13.01%
Proportion of related party sales to top five customers in the annual total sales 0.00%
Sales to top 5 customers
No. Customer Name Sales (CNY) % of Total Annual Sales
1 Customer 1 1338807154.18 3.33%
2 Customer 2 1298032210.93 3.22%
3 Customer 3 1213105455.78 3.01%
4 Customer 4 721485964.97 1.79%
5 Customer 5 667684615.70 1.66%
Total -- 5239115401.56 13.01%
Other information about major customers
□ Applicable □ Not Applicable
Major suppliers
Total amount of purchase from top five suppliers (CNY) 9932320322.67
Proportion of total purchase amount from top five suppliers in the annual purchase amount 27.21%
Proportion of related party purchase from top five suppliers in the annual purchase amount 0.00%
Purchase from top 5 suppliers
No. Supplier Name Purchase Amount (CNY) % of Total Annual Purchase Amount
1 Supplier 1 4960843607.87 13.59%
2 Supplier 2 1746457310.41 4.78%
3 Supplier 3 1130956185.58 3.10%
4 Supplier 4 1054275704.98 2.89%
5 Supplier 5 1039787513.83 2.85%
Total -- 9932320322.67 27.21%
Other information about major suppliers
□ Applicable □ Not Applicable
38Sungrow Power Supply Co. Ltd.
3. Expenses
(in CNY)
2022 2021 YOY Change Notes on Major Changes
3169263472.82 1582578297.46 100.26% Mainly due to the large increase in the salaries of
sales staff and the post-sales service fee accrued
Selling expenses
for the increased sales revenue in the current
period.Management expenses 612314748.77 491053482.80 24.69%
-477244161.25 283256851.58 -268.48% Mainly due to the relatively large exchange
Financial expenses earnings from foreign exchange rate fluctuations
in the current period.
1692156198.42 1161389788.60 45.70% Mainly due to the large increase in the salaries of
R&D expenses R&D staff and the use of raw materials for the
expanded R&D investment in the current period.
4. R&D Investment
□ Applicable □ Not Applicable
Major R&D Impacts Expected on the
Purpose Progress Planned Objective
Projects Company’s Growth
The SG8800UD Modular design to lower Ready for volume Design an 8.8 MW series Solve the problem of large
Series Product power generation loss shipment integrated MV system that power generation loss due to
Project due to faults; optimized can be accommodated in a faults in previous generations;
system design to improve 40-foot container; design a drastically reduce costs;
equipment utilization; 4.4 MW integrated MV gradually replace the
enhanced intelligent system that can be SG3125HV series with new
operation and accommodated in a 20-foot product in the market.maintenance to reduce container; reduce LCOE of
maintenance costs. power station; offer IP65
protection; real-time
monitoring of DC parallel
arcing; reactive response < 20
ms.The SG320HX Bridge deficiencies in In volume shipment Carry on the characteristics of Solve problems facing
Project previous generations of SG250HX series products previous generations; further
products; reduce product following the principle of reduce product cost and
costs; increase power suitability for manual safeguard customer
generation; expand handling; cope with the 182 investment; increase power
product application and 210 series modules generation and customer
scenarios. introduced in the industry. revenue.
39Sungrow Power Supply Co. Ltd.
The SG320HX Guarantee product In volume shipment Guarantee product delivery; Replace the legacy product
Module delivery. reduce cost and increase SG225HX; increase customer
Replacement efficiency; introduce multiple power generation and reduce
Project suppliers to reduce finished customer investment; repair
product cost. failures in legacy products
and increase market share.The Introduce multiple In volume shipment Lightweight container design Enhance product
SG6250HV-MV suppliers to reduce cost introduce multiple suppliers competitiveness; improve
Optimization and increase efficiency; to ensure delivery; satisfy product gross margin;
Project satisfy customer needs. customer needs integrate new enhance the market share of
customer demands into centralized products.product development; create
value for customers and
contribute to customer
success.Statement of R&D staff
2022 2021 % of Change
Total R&D Staff 3647 2734 33.39%
R&D Staff in Total HC 39.47% 40.65% -1.18%
Educational Background of R&D Staff
Bachelor 1807 1350 33.85%
Master 1336 994 34.41%
Doctor 51 31 64.52%
College Graduate and. below 453 359 26.18%
Age Structure of R&D Staff
Below 30 1463 1031 41.90%
30 to 40 1945 1529 27.21%
Above 40 239 174 37.36%
R&D investment size and percentage in operating proceeds in the past three years
202220212020
R&D investment (CNY) 1692156198.42 1161389788.60 806352266.48
Percentage of R&D investment in operating proceeds 4.20% 4.81% 4.18%
Capitalized R&D expenditure (CNY) 0.00 0.00 0.00
Capitalized R&D expenditure as a percentage of R&D 0.00% 0.00% 0.00%
investment
Capitalized R&D expenditure as a percentage of net 0.00% 0.00% 0.00%
profit in the period
Reasons for substantial changes in R&D staff and their impacts
40Sungrow Power Supply Co. Ltd.
□ Applicable □ Not Applicable
Reasons for substantial change in percentage of total R&D investment in operating income as compared with the previous year
□ Applicable □ Not Applicable
Reasons for substantial changes in the capitalization rate of R&D investment and the justifications
□ Applicable □ Not Applicable
5. Cash Flows
(in CNY)
Item 2022 2021 YoY Change (%)
Cash inflow from operating activities 40759815988.81 24052818855.57 69.46%
Cash outflow from operating activities 39549317502.92 25691450978.34 53.94%
Net cash flow from operating activities 1210498485.89 -1638632122.77 173.87%
Cash inflow from investment activities 14684990549.50 4557428471.65 222.22%
Cash outflow from investment activities 14339435233.12 8270637807.44 73.38%
Net cash flow from investment activities 345555316.38 -3713209335.79 109.31%
Cash inflow from financing activities 9949974901.15 6979881183.93 42.55%
Cash outflow from financing activities 8203257437.80 1801225561.76 355.43%
Net cash flow from financing activities 1746717463.35 5178655622.17 -66.27%
Net increase in cash and cash equivalents 3242092864.04 -192686945.97 1782.57%
Explanation on main contributors to the significant YoY change in relevant data
□ Applicable □ Not Applicable
1. Cash inflow from operating activities increased by 69.46% YoY mainly contributed by the increase in cash collection from
commodities sold and labor services provided in the current period;
2. Cash outflow from operating activities increased by 53.94% YoY mainly contributed by the increase in cash payment for
commodities purchased and labor services received in the current period;
3. Cash inflow from investment activities increased by 222.22% YoY mainly contributed by the increase in cash recovery of
project investment in the current period;
4. Cash outflow from investment activities increased by 73.38% YoY mainly contributed by the increase in cash payments for
investment projects in the current period;
5. Cash inflow from financing activities increased by 42.55% YoY mainly contributed by the increase in cash received from
borrowings in the current period;
6. Cash outflow from financing activities increased by 355.43% YoY mainly contributed by the increase in cash paid for
borrowings in the current period;
Explanation on reasons for the significant difference between the net cash flow from operating activities and the net profit of the year
during the reporting period
□ Applicable □ Not Applicable
41Sungrow Power Supply Co. Ltd.
V. Status of Non-Core Business
□ Applicable □ Not Applicable
VI. Analysis of Assets and Liabilities
1. Significant changes in asset composition
(in CNY)
End of Year 2022 Beginning of Year 2022 Notes on Major
Change
Amount % of Total Assets Amount % of Total Assets Variations
Money funds 11666601491.42 18.93% 7790144016.01 18.18% 0.75%
Accounts receivable 13804040262.60 22.40% 8748141497.54 20.42% 1.98%
Contract assets 1291527303.40 2.10% 1364393136.40 3.18% -1.08%
Inventory 19060142584.88 30.93% 10767519365.64 25.13% 5.80%
Long-term equity
228278242.430.37%115159366.420.27%0.10%
investment
Fixed assets 4543555993.02 7.37% 4245993353.02 9.91% -2.54%
Construction-in-progress 1188671605.49 1.93% 424310899.34 0.99% 0.94%
Right-of-use asset 559699600.83 0.91% 344386440.69 0.80% 0.11%
Short-term loan 1422187421.05 2.31% 1524580849.05 3.56% -1.25%
Contract liabilities 3788439560.39 6.15% 1713946572.46 4.00% 2.15%
Long-term loan 4161650000.00 6.75% 1891445000.00 4.42% 2.33%
Lease liability 430999112.05 0.70% 283789579.70 0.66% 0.04%
High percentage of overseas assets
□ Applicable □ Not Applicable
2. Assets and liabilities measured at fair value
□ Applicable □ Not Applicable
(in CNY)
Gains/losses Cumulative
Amount of
from changes at Impairment Amount of
Beginning procuremen Other
Item changes at fair value accrued for sales in the Closing amount
Amount t in the changes
fair value in included in the period period
period
the period equity
Financial Assets
1. Trading financial 3802888 -30274158 11851632 14143207
1481039651.37
assets (excl. 726.03 .24 954.00 870.42
42Sungrow Power Supply Co. Ltd.
derivative financial
assets)
2. Derivative financial 1000806
-553717.349454345.61
assets 2.95
3. Other investments 7627159 54315598 51562342
1038041498.25
in debts 06.62 55.18 63.55
4. Investment in other 4000852 53309889. 217201271 6842046.2
303677642.96
equity instruments 7.59 74 .87 4
Sum - Financial 4615621 22482014. 17500394 19306284
2832213138.19
Assets 223.19 16 081.05 180.21
Sub-total 4615621 22482014. 17500394 19306284
2832213138.19
223.1916081.05180.21
Financial Liabilities
1. Trading financial
liabilities (excl. 51919973.
51919973.63
derivative financial 63
assets)
2. Derivative financial 854928.
173025.001027953.77
liabilities 77
Sum - Financial 52092998. 854928.
52947927.40
Liabilities 63 77
Significant changes in the measurement attributes of the Company's main assets in the reporting period
□ Yes □ No
3. Restricted asset rights as of the end of the reporting period
(in CNY)
Item Closing Book Value Reasons for Restriction
1842079141.45 Bank acceptance letter of guarantee letter of credit and PV loan
Other monetary assets
deposit refundable deposits
Notes receivable 240597907.63 Short-term loan pledge notes payable pledge
Cash in bank 22429693.17 Judicial freeze
Receivables financing 721517301.09 Short-term loan pledge notes payable pledge
Accounts receivable 717277614.31 Long-term loan pledge
Other receivables 23968200.00 Long-term loan pledge
Fixed assets 1722200.00 Long-term loan pledge
Total 3569592057.65
43Sungrow Power Supply Co. Ltd.
VII. Investment Analysis
1. Overview
□ Applicable □ Not Applicable
Investment in the reporting period (CNY) Investment in the same period last year (CNY) Change
2619435233.122674922334.76-2.07%
2. Significant equity investment received in the reporting period
□ Applicable □ Not Applicable
3. Significant non-equity investment in progress in the reporting period
□ Applicable □ Not Applicable
4. Financial asset investment
(1) Securities investment
□ Applicable □ Not Applicable
The Company made no securities investment in the reporting period.
(2) Derivatives investment
□ Applicable □ Not Applicable
a. Derivatives investment for hedging purpose in the reporting period
□ Applicable □ Not Applicable
For details please refer to VII. Notes to Consolidated Financial Statement 2. Trading Financial Assets in Section X.b. Derivatives investment for speculative purpose in the reporting period
□ Applicable □ Not Applicable
The Company made no derivatives investment for speculative purpose in the reporting period.
5. Use of raised funds
□ Applicable □ Not Applicable
(1) General use of raised funds
□ Applicable □ Not Applicable
(in CNY 10K)
Percenta
Total ge of
Purpose Amount of
Total amount of Cumulativ cumulati
and raised
amount of Cumulativ raised e amount ve
Year of Fund- Total funds whereabou funds that
Total raised raised e amount funds with of raised amount
fund- raising raised but ts of have been
funds funds used of raised changed funds with of raised
raising mode not used unused idle for
in this funds used use in the changed funds
raised more than
period reporting use with
funds two years
period changed
use
Non- CNY
2021362314.6171133.30155757.96000.00%214667.650
public 1056676
44Sungrow Power Supply Co. Ltd.
offering 500 in the
special
account
for raised
funds
CNY
1090000
000 used
on undue
financial
products.Total -- 362314.61 71133.30 155757.96 0 0 0.00% 214667.65 -- 0
Description of the general use of raised funds
1. Before the above-mentioned raised funds were in place the Company had accumulatively invested CNY 243141600 in
fund-raising projects with self-raised funds as of October 11 2021. After the raised funds were in place the Company replaced the
self-raised funds of CNY 243141600 with the raised funds for the specific projects.
2. In 2022 the raised funds were used as the following: a. An amount of CNY 711333000 was directly invested in fund-raising
projects; b. An amount of CNY 800000000 from idle raised funds was used to supplement working capital in this period and was
fully recovered at the end of the period; c. A total return and interest amounting to CNY 74519500 was gained from financial
products bought with the temporarily idle raised funds; d. A service charge of CNY 25200 was paid for the special account for
raised funds in this period. As of December 31 2022 the balance of raised funds was CNY 2146676500 of which CNY
1056676500 was in the special account for raised funds CNY 1090000000 was in premature wealth management products.
(2) Projects commitments of raised funds
□ Applicable □ Not Applicable
45Sungrow Power Supply Co. Ltd.
(in CNY 10K)
Cumulative
Total Cumulative
Changes Total Amount Investment Date of Benefit benefit
investment amount of Substantial
in projects investment invested in progress by the projects realized realized by Achieved the
Investment projects committed and amount investment changes in the
(including after the end of the reaching in the the end of expected
target of over-raised funds committed by the end project
partial adjustment reporting period scheduled reporting the benefits
by raised of the feasibility
changes) (1) period (3)=(2)/(1) availability period reporting
funds period (2)
period
Investment Project Commitments
The New Energy Power Generation
Apr. 30 Not
Equipment Manufacturing Base Project No 241787 240343.09 40434.17 65468.23 27.24% 0 0 No
2024 applicable
with an annual output of 100 GW
The R&D Innovation Center Expansion Mar. 31 Not
No 63970 63970 28026.4 42490.44 66.42% 0 0 No
Project 2024 applicable
The Global Marketing Service System Mar. 31 Not
No 49835 49835 2672.73 39632.77 79.53% 0 0 No
Project 2023 applicable
The Supplementary Working Capital Not
No 8166.52 8166.52 8166.52 100.00% 0 0 No
Project applicable
Subtotal of committed investment
--363758.52362314.6171133.3155757.96--------
projects
Target of over-raised funds
Total -- 363758.52 362314.61 71133.3 155757.96 -- -- -- --
Description of projects behind planned Not Applicable
schedule or failing to gain expected
returns and the reasons (including those
identified as “Not Applicable” in the
46Sungrow Power Supply Co. Ltd.
column “Achieved the expectedbenefits”)
Description of material changes in Not Applicable
project feasibility
Amount purpose and progress of use of Not Applicable
over-raised funds
Changes in implementation locations of Not Applicable
projects invested with raised funds
Changes in implementation modes of Not Applicable
projects invested with raised funds
Preliminary investment and replacement Applicable
in projects invested with raised funds
Changes in implementation modes of
Not Applicable
projects invested with raised funds
Applicable
As of October 11 2021 the Company had invested CNY 243141600 in fund-raising projects with self-raised funds of which CNY 143827900
was for the new energy power generation equipment manufacturing base with an annual output of 100 GW CNY 94743100 for the expansion of
R&D Innovation Center and CNY 4570600 for the global marketing service system project. At the 12th meeting of the Fourth Board of Directors
Preliminary investment and replacement
the Proposal on Replacing Self-Raised Funds Previously Used in Fund-Raising Projects was reviewed and approved which agreed that the
in projects invested with raised funds
Company should replace CNY 243141600 of self-raised funds previously used in fund-raising projects with the raised funds. RSM China (Special
General Partnership) verified the advanced investment in the above-mentioned fundraising projects and issued the Assurance Report on the
Advance Input in Fund-Raising Projects made by Sungrow Power Supply Co. Ltd. with Self-Raised Funds (RSM [2021] No. 230Z2674) on October
122021.
47Sungrow Power Supply Co. Ltd.
Applicable
On October 26 2022 the Company held the 21st meeting of the Fourth Board of Directors at which the Proposal on Temporarily Replenishing
Working Capital with Some of the Idle Raised Funds was reviewed and approved. It was agreed that the Company would temporarily replenish
Description of temporarily replenishing working capital with less than CNY 1000 million of idle raised funds provided that the funding needs of fund-raising projects and the normal
working capital with idle raised funds progress of the raised funds investment plans were ensured. Such an amount should be used within a period of 12 months from the date of approval
by the Board of Directors and should be returned to the special account for raised funds upon expiration. As of December 31 2022 the Company
had used CNY 800 million of raised funds to temporarily replenish working capital and returned this amount to the special account for raised funds
within 12 months.Amount of surplus raised fund in project
Not Applicable
implementation and reasons behind
Purpose and whereabouts of unused As of December 31 2022 the unused raised funds amounted to CNY 2146676500 of which CNY 1056676500 was in the special account for
raised funds raised funds CNY 1090000000 was in premature wealth management products.On April 16 2021 the Company held the first extraordinary general meeting in 2021 at which the Proposal on Requesting the Shareholders’
Meeting to Authorize the Board of Directors to Proceed with the Issuance to Specific Objects was reviewed and approved. The Board of Directors
was authorized to handle all matters related to the issuance of shares to specific objects in 2021 including but not limited to determining the
specific arrangements for the use of the raised funds for this issuance to specific objects.On October 21 2021 Company held the 12th meeting of the fourth Board of Directors and the 11th meeting of the fourth Board of Supervisors at
Problems or other situations in the use
which the Proposal on Paying the Fund-Raising Investment Projects with Bank Acceptances and Replacing Them Equally with Raised funds was
and disclosure of raised funds
reviewed and approved. It was agreed that during the implementation of the fund-raising investment project the Company could use bank
acceptances for payments involved in the project and regularly transfer the same amount from the special account of raised funds to the Company's
general settlement account. The Board of Supervisors independent directors and sponsors expressed their consent. As of December 31 2022 the
Company had accumulatively made investment project-related payments with CNY 160688900 of bank acceptances and the same amount had
been replaced with raised funds.
(3) Projects with changes in raised funds
□ Applicable □ Not Applicable
There were no projects with changes in raised funds in the reporting period.
48Sungrow Power Supply Co. Ltd.
VIII. Sale of Major Assets or Equity
1. Sale of major assets
□ Applicable □ Not Applicable
The Company did not sell any major assets in the reporting period.
2. Sale of major equity
□ Applicable □ Not Applicable
IX. Analysis of Major Controlling and Holding Companies
□ Applicable □ Not Applicable
Major subsidiaries and holding companies that contribute to a net profit by 10% and above
(in CNY 10K)
Company Main Registered Operating Operating
Type Total Assets Net Assets Net Profit
Name Business Capital Income Profit
Sungrow New energy
Renewables investment
Subsidiary 142053.44 2151023.36 579224.76 1287714.31 78819.89 64120.69
Development and
Co. Ltd. development
Subsidiaries acquired or disposed in the reporting period
□ Applicable □ Not Applicable
For details please refer to VIII. Changes in the Scope of Consolidation 2. Changes in the scope of consolidation due to other reasons
in Section X Financial Reports.X. Structured Entities Controlled by the Company
□ Applicable □ Not Applicable
XI. Prospects of the Company’s Future Development
(1) Planned Prospects
Focus on the field of clean power continuously increase R&D investment hold on to development both in scope and in depth make
deeper explorations in power electronics grid support and AI technology further enrich product categories and deliver leading
solutions for the integration of solar energy wind energy energy storage electricity and hydrogen energy. Promote
customer-oriented transformation towards sales and service integration pursue extraordinary customer experience improve digital
operation standard strengthen the brand image as a “technological power” and further expand global leading advantages.
(2) Operating Plan
In 2023 the bottlenecks constraining the global green energy industry chain will be fully alleviated and the high-growth momentumwill be further enhanced and continued. Taking “Gain momentum and embrace changes make in-depth breakthroughs contribute tocustomer success with digital operation” as the annual guideline the Company capitalizes on the opportunities for rapid market
49Sungrow Power Supply Co. Ltd.
development comprehensively improves brand power product power and marketing power reinforces digital operation and
continues to expand global leading advantages in a variety of businesses to achieve rapid and sustainable growth.To deliver the annual business objectives the Company plans to take the following key measures:
1. Maintain high level of investment in research and development make in-depth breakthroughs in key technologies. Taking the
six R&D centers worldwide as the foundation the Company continues to empower innovation with a high level of R&D
investment makes in-depth breakthroughs in power electronics grid support and AI technologies so as to gain leading
advantages in technology and promote product iteration and upgrading.
2. Further enrich product categories and improve the capability of delivering integrated solutions. By introducing diverse product
categories strengthening coverage of segmented markets and leveraging the Company's advantageous layout for solar energy
wind energy energy storage electricity and hydrogen energy the Company creates integrated solutions on the basis of terminal
new energy application scenarios and continues to deliver customer values in solar power energy storage and charging
integration.
3. Explore the global market further and promote the sales and service integration. The Company upholds the globalization
strategy consolidates national-level business systems optimizes the global marketing and service network establishes an
integrated sales and service platform and increases investment in service resources to enhance customer service experience.
4. Upgrade global manufacturing and supply systems. By continuously optimizing the global supply network layout and
strengthening localization and core supplier management the Company secures the stable supply of strategic materials. By
building digital plants worldwide and continuously improving lean manufacturing capabilities the Company establishes a
global supply system featuring fast response favorable cost reliable quality and timely delivery.
5. Create a globally renowned brand and continue to advance ESG efforts. By highlighting product innovation and globalized
marketing service the Company continues to shape a trustworthy and responsible global brand. By improving the level of
corporate governance actively contributing to environmental protection and social development the Company empowers
sustainable development of itself while being deeply integrated with the global sustainable development process.
6. Advance all-around digital operations. The Company accelerates digital transformation builds an integrated business process
across the entire value chain and leverages digital intelligence technologies to create an intelligent enterprise and an agile
organization that is always online shared and transparent hence to reduce operational cost improve operational efficiency and
continuously raise the standard of lean operation.
7. Strengthen organizational capacity building. Based on the principles of empowering business and focusing on core
competitiveness the Company establishes a closed-loop organizational capability management system through the identification
tracking evaluation and improvement of critical organizational capabilities. Furthermore such capabilities are effectively
embedded in the organization to promote the constant upgrade of organizational capabilities.XII. Events Register for Research Visits Communication and Interviews in the Period
□ Applicable □ Not Applicable
Date Venue Type of Visit Type of Visitors Main Contents of Index of Basic
Visitors the Discussion Research Data
and Information
Provided
Apr. 19 2022 On the Via phone Institution 1000+ investors including 2021 annual www.cninfo.com.cn
phone Haitong Securities performance Investor Relations
Dongwu Securities and status quo of Activity Register No.Sinolink Securities operation and 20220420
governance 2022
50Sungrow Power Supply Co. Ltd.
strategic plan and
adjustment
Apr. 22 2022 An investor Other Institution Investors participating in Status of the www.cninfo.com.cn
relations the Sungrow 2022 Online Company's core Investor Relations
online Performance Briefing via business status Activity Register No.interaction the online interaction quo of operation 20220422
platform platform (www.p5w.net) and governance
(https://ir.p5 etc.w.net)
Aug. 26 2022 On the Via phone Institution 1000+ investors including 2022 half-year www.cninfo.com.cn
phone Haitong Securities financial Investor Relations
Dongwu Securities CITIC performance Activity Register No.Securities and Yangtze highlights of core 20220826
Fund business key
initiatives for the
second half year
Sep. 7 2022 An investor Other Institution Online investors Current www.cninfo.com.cn
relations development Investor Relations
online status of energy Activity Register No.interaction storage business 20220907
platform overseas business
(https://ir.p5 situation
w.net) adjustment to the
Company's
business layout
Sep. 20 2022 An online Other Institution Investors participating in Prediction for the www.cninfo.com.cn
roadshow the activity via the future inverter and Investor Relations
(https://ir.p5 Panorama Roadshow energy storage Activity Register No.w.net) markets and 20220920
investment plans
of the Company
Oct. 26 2022 On the Via phone Institution 1000+ investors including Current situation www.cninfo.com.cn
phone Haitong Securities of the PV Investor Relations
Changjiang Securities industry financial Activity Register No.Dongwu Securities and status of the 20221026
Nomura Fund Company and
overseas market
analysis
Dec. 2 2022 Sungrow Other Institution 2000+ investors including Global PV and www.cninfo.com.cn
No. 1 Haitong Securities energy storage Investor Relations
Conference Changjiang Securities market situation Activity Register No.Room Dongwu Securities and the impact of the 20221204
51Sungrow Power Supply Co. Ltd.
Nomura Fund Russia-Ukraine
conflict on the
European market
etc.
52Sungrow Power Supply Co. Ltd.
Section IV Corporate Governance
I. Basic Situation of Corporate Governance
During the reporting period the Company strictly followed the Company Law the Securities Law the Governance Guidelines for
Listed Companies the Rules for Stock Listing at Shenzhen Stock Exchange as well as other laws and regulations to constantly
optimize the corporate governance structure improve the internal control system and achieve standardized operation.The Company's overall operation in the reporting period was standardized and highly independent the information disclosure was
compliant and the actual situation was basically in line with the requirements in the CSRC normative documents on the governance
of listed companies.a. About shareholders and the shareholders’ meeting
Shareholders of the Company hold equal status based on the shares they possess and assume corresponding obligations following the
provisions in the Articles of Association. The Company convenes and holds shareholders’ meetings in strict accordance with the
regulations and requirements of the Rules for the Shareholders’ Meeting of Listed Companies and the Rules of Procedure for the
Shareholder’s Meeting making sure shareholders exercise their rights and interests legitimately treating all shareholders equally
and providing as much convenience as possible for shareholders to participate in the shareholders’ meetings so that they can fully
exercise their rights as shareholders.b. About the Company and the controlling shareholder
The Company’s controlling shareholder Mr. Cao Renxian strictly abides by the Governance Guidelines for Listed Companies Rules
for GEM Stock Listing at Shenzhen Stock Exchange Shenzhen Stock Exchange’s No. 2 Regulatory Guidelines for Listed Companies
— Standardized Operation of GEM-Listed Companies and the Articles of Association to regulate his behavior. He makes no actions
that directly or indirectly interfere with the Company's decision-making and business activities beyond the shareholders’ meeting nor
jeopardizes the interests of the Company and other shareholders. There is no occurrence of the controlling shareholder taking up the
Company's funds or the Company providing guarantees for the controlling shareholder. The Company owns independent and
complete business and is capable of operating independently. The Company is independent from the controlling shareholder in terms
of business assets personnel organization and finance; the Company's Board of directors Board of Supervisors and internal
organizations operate independently.c. About directors and the Board of Directors
The Board of Directors is composed of 8 directors including 3 independent directors. The number of directors and the composition
of the Board of Directors are in line with the relevant laws regulations and the Articles of Association. Directors perform their duties
in accordance with the Rules of Procedure for the Board of Directors the Rules for Independent Director and the Shenzhen Stock
Exchange’s No. 2 Regulatory Guidelines for Listed Companies — Standardized Operation of GEM-Listed Companies attend board
meetings and shareholders' meetings diligently assume their job responsibilities and obligations and actively participate in relevant
training to get familiar with the relevant laws and regulations.d. About supervisors and the Board of Supervisors
The Board of Supervisors is composed of 3 supervisors including 2 employee supervisors. The number of supervisors and the
composition of the Board of Supervisors are in line with the requirements of laws and regulations. Supervisors perform their duties in
accordance with the Rules of Procedure for the Board of Supervisors and supervise the Company’s major transactions related-party
transactions financial status and the legitimacy and compliance of directors’ and executives’ job performance.e. About performance evaluation and the incentive and restraint mechanism
The Remuneration and Evaluation Committee is set up under the Board of Directors which has formulated the Working Rules of the
Remuneration and Evaluation Committee established and implemented the performance evaluation system and defined a scientific
53Sungrow Power Supply Co. Ltd.
system of indicators. The various centers product lines and departments make full use of the performance management tools to
ensure objectives and performance plans are under control. The manager-in-charge holds the primary accountability for realizing
annual objectives and performance plans of the respective department. Each department further breaks down the work plan into
monthly and weekly tasks and strives to achieve performance indicators on time in quality and quantity hence to ensure the
delivery of the Company's annual objectives. All accountable organizations and all employees are subject to regular performance
evaluation and objective assessment and the evaluation results are used as the grounds for determining employees’ remuneration
promotion/demotion appraisal and job transfer.f. About information disclosure and transparency
In strict accordance with relevant laws and regulations as well as the requirements in the Information Disclosure Management
Procedures and the Investor Relations Management Procedures the Company fairly discloses the relevant information in a truthful
accurate timely and complete manner. The Company's Board Secretary is appointed to take charge of information disclosure
coordinate the relations between the Company and investors receive investors’ visits reply investors' inquiries and provide investors
with the information disclosed by the Company. The Company has also designated www.cninfo.com.cn as the website for disclosing
company information China Securities Journal Securities Times Securities Daily and Shanghai Securities News as the newspapers
for disclosing the Company’s periodical reports hence to ensure that all shareholders of the Company are informed of with equal
opportunities.g. About stakeholders
The Company fully values and safeguards the legitimate rights and interests of relevant stakeholders attaches great importance to the
Company's social responsibilities actively collaborates with relevant stakeholders and enhances communication and exchange with
all parties so as to realize the coordination and balance of the interests of shareholders employees society and other parties and
jointly promote the sustainable and healthy development of the Company.Whether there is a material difference between the actual situation of corporate governance and laws administrative regulations and
the CSRC regulations on the governance of listed companies
□ Yes □ No
There is no material difference between the actual situation of corporate governance and laws administrative regulations and the
CSRC regulations on the governance of listed companies
II. The specific measures taken by the controlling shareholders and actual controllers to
ensure the independence of the Company's assets personnel finance organization and
business
The Company is capable of operating its business independently and has set up a complete operation and management system that is
independent from the controlling shareholder in terms of business personnel assets organization and finance.III. Horizontal competition
□ Applicable □ Not Applicable
IV. Information on the annual shareholders’ meeting and the extraordinary general
meeting(s) held in the reporting period
1. The shareholders’ meeting in the reporting period
Session Type Investor Date of Meeting Date of Disclosure Resolution(s)
54Sungrow Power Supply Co. Ltd.
Participation %
No. 2022-039
Announcement on the
Annual
2021 Annual Resolutions of the 2021
Shareholders’ 44.80% May 18 2022 May 18 2022
Shareholders’ Meeting Annual Shareholders’
Meeting
Meeting on
http://www.cninfo.com.cn
No. 2022-047
Announcement on the
The First Extraordinary
Extraordinary Resolutions of the First
General Meeting in 45.30% May 30 2022 May 30 2022
General Meeting Extraordinary General
2022
Meeting in 2022 on
http://www.cninfo.com.cn
2. The extraordinary general meeting(s) requested by preference shareholders with restored voting rights
□ Applicable □ Not Applicable
V. The Company’s voting rights difference arrangement
□ Applicable □ Not Applicable
VI. Corporate governance with the red-chip architecture
□ Applicable □ Not Applicable
VII. Directors Supervisors and Executives
1. Basic Situation
Shares
Shares Shares Shares
held at Reason
increased decrease Other held at
Office Office the for
Name Title Status Gender Age during d during changes the end
starts on ends on beginnin changes
the the (shares) of the
g of the in shares
period period period
period
Chairma
Cao Incumbe Dec. 8 May 19 451008 451008
n and Male 55
Renxian nt 2016 2023 000 000
President
Zhang Vice
Incumbe May 19 May 19
Xucheng Chairma Male 51 150000 37500 112500 Sell
nt 2020 2023
n
Zheng Director Incumbe Male 55 Dec. 8 May 19 119763 119763
55Sungrow Power Supply Co. Ltd.
Guibiao SVP nt 2016 2023 60 60
Zhao Director Incumbe Dec. 8 May 19 707600 707600
Male 50
Wei SVP nt 2016 2023 0 0
Gu Yilei Director Incumbe Dec. 11 May 19
Male 45 450000 450000
SVP nt 2018 2023
Li Ind. Incumbe May 19 May 19
Male 60 -
Mingfa Director nt 2020 2023
Li Ind. Incumbe Dec. 8 May 19
Male 70 -
Baoshan Director nt 2016 2023
Gu Ind. Incumbe May 19 May 19
Female 60 -
Guang Director nt 2020 2023
Tao Chairma
Gaozhou n of the
Incumbe Dec. 8 May 19
Board of Male 52 -
nt 2016 2023
Supervis
ors
He Wei Employe
e Incumbe Dec. 8 May 19
Male 48 -
Supervis nt 2016 2023
or
Li Employe
Xiaomei e Incumbe Dec. 8 May 19
Female 55 -
Supervis nt 2016 2023
or
Zhang Incumbe Dec. 8 May 19
VP Male 56 225000 225000
Youquan nt 2016 2023
Chen Incumbe Dec. 8 May 19
VP Male 43 375000 375000
Zhiqiang nt 2016 2023
Wu Incumbe Dec. 8 May 19
VP Male 51 375000 375000
Jiamao nt 2016 2023
Xie
Incumbe Aug. 14 May 19
Xiaoyon VP Male 47 300000 300000
nt 2017 2023
g
Deng Incumbe Dec. 11 May 19
VP Male 47 369679 369679
Dejun nt 2018 2023
Li Shun Incumbe Oct. 29 May 19
VP Male 46 25000 25000
nt 2020 2023
Peng Incumbe Oct. 29 May 19
VP Male 46 78750 78750
Chaocai nt 2020 2023
56Sungrow Power Supply Co. Ltd.
Lu Yang VP
Incumbe Oct. 21 May 19
Board Male 41
nt 2021 2023
Secretary
Tian Finance Incumbe Jun. 27 May 19
Male 40
Shuai Director nt 2022 2023
Liu Zhen Dec. 8 May 18
Director Resigned Male 47
20162022
Cheng Resigned Dec. 8 May 13
VP Male 43 375000 93700 281300 Sell
Cheng 2016 2022
Li Finance Resigned Dec. 8 Jun. 27 120000 120000
Male 48
Guojun Director 2016 2022 0 0
Total 473983 473852
------------131200--
789589
Resignation of directors/supervisors or dismissal of executives within the term of office during the reporting period
□ Yes □ No
Changes in directors supervisors and executives of the Company
□ Applicable □ Not Applicable
Name Position Type Date Reason
Because Mr. Liu Zhen was unable to perform his duties as a director
the Board of Directors proposed to the Shareholders' Meeting to
Liu Zhen Director Departure May 18 2022
remove Liu Zhen from his position of a director (non-independent
director) of the fourth Board of Directors
Following review and approval by the 2021 Annual Shareholders'
Gu Yilei Director Election May 18 2022 Meeting Mr. Gu Yilei was elected as a director (non-independent
director) of the fourth Board of Directors
Due to personal health reasons Mr. Cheng Cheng resigned from the
Cheng Cheng VP Departure May 13 2022
position of Vice President of the Company
Due to personal reasons Mr. Li Guojun resigned from the position of
Li Guojun Finance Director Departure Jun. 27 2022
Finance Director of the Company
At the 18th meeting of the Fourth Board of Directors Mr. Tian Shuai
was appointed Finance Director of the Company. This appointment
Appointmen
Tian Shuai Finance Director Jun. 27 2022 intended to further improve the Company's financial informatization
t
level and global service capabilities promote the rapid and healthy
development of the Company’s businesses
2. Incumbents Overview
The professional background main work experience and job responsibilities of current directors supervisors and executives of the
Company
(1) Directors
57Sungrow Power Supply Co. Ltd.
Mr. Cao Renxian Chinese national with no permanent residency overseas born in July 1968 master degree and researcher is
currently a delegate of the 14th National People's Congress and the chairman of the China Photovoltaic Industry Association. Mr.Cao Renxian was one of the faculty of Hefei University of Technology from June 1993 to 1998 and worked in Sungrow Power
Supply Co. Ltd. from July 1998 to July 2001. He served the role of Executive Director and General Manager of Sungrow Power
Supply Co. Ltd. from July 2001 to August 2007 followed by the role of Chairman and President from August 2007 to date.Mr. Zhang Xucheng Chinese national with no permanent residency overseas born in June 1972 master degree. He served the roles
of Vice Procurement Manager Logistics Manager Human Resources Manager and Senior Vice President of Sungrow. He is currently
Vice Chairman of Sungrow Chairman and President of Sungrow Renewables Development Co. Ltd.Mr. Zheng Guibiao Chinese national with no permanent residency overseas born in May 1968 master degree senior engineer. He
served the roles of Vice General Manager and Director of Sungrow and is currently Director and Senior Vice President of Sungrow.Mr. Zhao Wei Chinese national with no permanent residency overseas born in December 1973 Ph.D. senior engineer. He served
the roles of Vice Director and Vice General Manager of Sungrow R&D Center and is currently Director and Senior Vice President of
Sungrow.Mr. Gu Yilei Chinese national with no permanent residency overseas born in February 1978 Ph.D. He has successively worked in
Zhongda Simike Electronics Co. Ltd. (Delta Group) Shenzhen Kangdawei Electronic Technology Co. Ltd. Santak Electronics
(Shenzhen) Co. Ltd. and Eaton (China) Investment Co. Ltd. He joined Sungrow in September 2015 and successively served the
roles of Vice Director of the Sungrow Research Institute Director of the Central Research Institute. He is currently Director and
Senior Vice President of Sungrow and President of the Solar Storage Division.Mr. Li Mingfa Chinese national with no permanent residency overseas born in February 1963 Ph.D. Level 2 professor and doctoral
supervisor of Anhui University. He was Director of the Law School of Anhui University and Executive Vice Director of the Graduate
School of Anhui University. He is currently Executive Director of the Civil Law Research Association of the China Law Society
Vice Director-General of the Anhui Civil and Commercial Law Research Association Legal Adviser of the Standing Committee of
the Anhui Provincial People's Congress and an Expert Advisor of the Anhui Provincial People's Procuratorate. He is currently an
independent director of Wuhu Sanlian Forging Co. Ltd. Tongling Kingkong Electronics Technology Co. Ltd. Anhui Estone
Materials Technology Co. Ltd. and Sungrow Power Supply Co. Ltd.Mr. Li Baoshan Chinese national with no permanent residency overseas born in March 1953 bachelor senior engineer. He was a
research intern of the Energy Research Institute of the State Development and Reform Commission an engineer of the Agricultural
Engineering Design and Research Institute of the Ministry of Agriculture a vice section chief researcher and vice inspector in the
Department of High and New Technology Development of the Ministry of Science and Technology. He is currently Vice Chairman
and Advisor of China Renewable Energy Society an independent director of CECEP Wind Power Co. Ltd. Titan Wind Energy
(Suzhou) Co. Ltd. Sinofibers Technology Co. Ltd. and Sungrow Power Supply Co. Ltd.Ms. Gu Guang Chinese national with no permanent residency overseas born in July 1963 master degree certified public accountant
of China (non-practicing member). She graduated from the Department of Economics of Anhui University in 1986 and has been
teaching at the university ever since having served the roles of Vice Director and Director of the Accounting Department of the
School of Business Anhui University Director of the MPAcc Education Center Associate Professor and Master's Supervisor in
accounting at the School of Business Anhui University. Currently she is an independent director of Anhui Shanhe Pharmaceutical
Excipients Co. Ltd. Anhui Taida New Materials Co. Ltd. Anhui Hongyu Wuzhou Medical Manufacturer Co. Ltd. Atech
Automotive Co. Ltd. and Sungrow Power Supply Co. Ltd.
(2) Supervisors
Mr. Tao Gaozhou Chinese national with no permanent residency overseas born in March 1971 master degree senior engineer. He
was Manager of Structure Department and a Supervisor of Sungrow and is currently the Chairman of Sungrow’s Board of
Supervisors and a senior expert of the Structure Platform Department of Central Research Institute
Mr. He Wei Chinese national with no permanent residency overseas born in October 1975 master degree. He was Business
58Sungrow Power Supply Co. Ltd.
Planning Manager and Logistics Assurance Manager of Sungrow and is currently an Employee Representative Supervisor of
Sungrow and General Manager of the Administrative Service Center.Ms. Li Xiaomei Chinese national with no permanent residency overseas born in November 1968 bachelor degree. She was the
Process Technology Manager of Sungrow R&D Center the PV System Engineering Technology Manager and a Senior Internal
Audit Specialist of the System Management Team of the Power Station Division. She is currently an Employee Representative
Supervisor of Sungrow and a Senior SQE Engineer of the Supply Chain Quality Technology Department.
(3) Executives
Mr. Cao Renxian President. Refer to the introduction in “(1) Directors” for details.Mr. Zheng Guibiao Senior Vice President. Refer to the introduction in “(1) Directors” for details.Mr. Zhao Wei Senior Vice President. Refer to the introduction in “(1) Directors” for details.Mr. Gu Yilei Senior Vice President. Refer to the introduction in “(1) Directors” for details.Mr. Zhang Youquan Chinese national with no permanent residency overseas born in April 1967 master degree senior engineer. He
was Vice Chief Engineer of Sungrow Hefei Director of the Product Management Center Chairman of the Board of Supervisors and
Vice General Manager of Sungrow. He is currently Vice President of Sungrow.Mr. Chen Zhiqiang Chinese national with no permanent residency overseas born in April 1980 graduated from the University of
Science and Technology of China in 2020 with a master degree and a certified quality engineer of China. He was the Quality Control
Supervisor Quality Control Manager Management Representative Quality Director Employee Supervisor and Chairman of the
Board of Supervisors of Sungrow. He is currently Vice President of Sungrow.Mr. Wu Jiamao Chinese national with no permanent residency overseas born in September 1972 master degree. He worked for
Anhui Ningguo Shuangjin Group previously and joined Sungrow in March 2005. He successively served the roles of Sales Manager
of Sungrow General Manager of Shanghai Yangfeng Power Supply Co. Ltd. General Manager of Sungrow Shanghai Company
and is currently Vice President of Sungrow and Vice President of the Solar Storage Division.Mr. Xie Xiaoyong Chinese national with no permanent residency overseas born in September 1976 master degree. He worked for
Xuancheng Administration for Industry and Commerce Yiren (Ningbo) Arts & Crafts Co. Ltd. Wison Marine Engineering Co. Ltd.previously and joined Sungrow in October 2009. He successively served the roles of Human Resources Manager Strategic Planning
Manager Operation Director General Manager of the Strategy Center of Sungrow and is currently Vice President of Sungrow.Mr. Deng Dejun Chinese national with no permanent residency overseas born in September 1976 bachelor degree. He worked for
Maanshan Iron and Steel Co. Ltd. Foxconn Technology Group Philips Electronics and Great Wall Development Technology Co.Ltd. previously. After joining Sungrow in January 2011 he successively served the role of Production Planning Manager Production
Planning Manager and Vice General Manager of the Gansu Division Manufacturing Director of the Production Center and
Production Planning Manager Vice General Manager of the Production Center and General Manager of the Production Center. He
is currently Vice President of Sungrow and General Manager of the Production Center.Mr. Li Shun Chinese national with no permanent residency overseas born in January 1977 master degree. He worked for China
Academy of Engineering Physics Santak Electronics (Shenzhen) Co. Ltd. and Samil Power Co. Ltd. After joining Sungrow he
successively served the roles of Director of Small-to-Medium Power Products Director of String Products and Vice President of the
Solar Storage Division. He is currently Vice President of Sungrow and Vice President of the Solar Storage Division.Mr. Peng Chaocai Chinese national with no permanent residency overseas born in December 1977 master degree. He worked for
Shangqiu Experimental Middle School Sinoma Technology Wind Power Blade Co. Ltd. and Delta Electronics (Shanghai) Co. Ltd.before joining Sungrow as President of the Wind Energy Division. He is currently Vice President of Sungrow and President of the
Wind Energy Division.Mr. Lu Yang Chinese national with no permanent residency overseas born in October 1982 master degree. He worked previously
for State Nuclear Power Technology Corporation Beijing Zhenglue Junce Management Consulting Co. Ltd. and ENN Group Co.Ltd. In August 2016 he joined Sungrow and successively served the roles of Strategic Planning Manager Strategic Planning
Director and General Manager of the Strategy Center. He is currently Vice President Board Secretary and General Manager of the
59Sungrow Power Supply Co. Ltd.
Strategy Center of Sungrow.Mr. Tian Shuai Chinese national with no permanent residency overseas born in November 1983 bachelor degree and MBA
candidate of Peking University CMA (Certified Management Accountant). He worked previously for Sany Heavy Industry Co. Ltd.Huawei Technologies Co. Ltd. Hunan Huinong Technology Co. Ltd. and Honor Device Co. Ltd. In September 2021 he joined
Sungrow and successively served the roles of Vice General Manager of the Finance Center and General Manager of the Finance
Center. He is currently Finance Director of Sungrow.Positions in organizations as a shareholder
□ Applicable □ Not Applicable
Positions in other organizations
□ Applicable □ Not Applicable
Paid by the
Name Organization Position Office starts on Office ends on
Organization
Hefei Renshang Enterprise Management
Cao Renxian Supervisor No
Co. Ltd.Li Mingfa Anhui Estone Material Technology Co. Ltd. Ind. Director Yes
Li Mingfa Wuhu Sanlian Forging Co. Ltd. Ind. Director Yes
Li Mingfa Tongling Kingkong Electronics Technology
Ind. Director Yes
Co. Ltd.Li Baoshan Titan Wind Energy (Suzhou) Co. Ltd. Ind. Director Yes
Li Baoshan CECEP Wind Power Co. Ltd. Ind. Director Yes
Gu Guang Anhui Shanhe Pharmaceutical Excipients
Ind. Director Yes
Co. Ltd.Gu Guang Anhui Hongyu Wuzhou Medical
Ind. Director Yes
Manufacturer Co. Ltd.Gu Guang Anhui Taida New Materials Co. Ltd. Ind. Director Yes
Gu Guang Atech Automotive Co. Ltd. Ind. Director Yes
Xie Xiaoyong Hefei Shangneng Enterprise Management Exe. Director
No
Co. Ltd. GM
Lu Yang Jiangyin Wanzai Trading Co. Ltd. Supervisor No
Penalties imposed by securities regulators in the past three years on incumbent directors supervisors executives and those departed
in the reporting period
□ Applicable □ Not Applicable
3． Remuneration of Directors Supervisors and Executives
The procedure for determining remuneration for directors supervisors and executives the ground for determination and the actual
payment
Procedure for determination: Remuneration of the Company's directors and supervisors is determined by the shareholders' meeting;
remuneration of executives is determined by the Board of Directors. Directors supervisors and executives who hold offices in the
Company receive remuneration according to their specific positions.
60Sungrow Power Supply Co. Ltd.
Grounds for determination: Remuneration of directors supervisors and executives is determined and paid in accordance with the
provisions in the Working Rules of the Remuneration and Evaluation Committee defined by the Board of Directors taking into
consideration of their respective business performance professional competency job ranking and other evaluation results.Actual payment: Remuneration of directors supervisors and executives has been paid in full according to the predefined standard.Remuneration of Directors Supervisors and Executives of the Company during the Reporting Period
(in CNY 10K)
Total Paid by
Name Position Gender Age Status remuneration related-party of
before tax the Company Y/N
Chairman
Cao Renxian Male 55 Incumbent 351 No
President
Zhang Xucheng Vice Chairman Male 51 Incumbent 276 No
Zheng Guibiao Director SVP Male 55 Incumbent 220 No
Zhao Wei Director SVP Male 50 Incumbent 294 No
Gu Yilei Director SVP Male 45 Incumbent 960 No
Li Mingfa Ind. Director Male 60 Incumbent 8 No
Li Baoshan Ind. Director Male 70 Incumbent 8 No
Gu Guang Ind. Director Female 60 Incumbent 8 No
Tao Gaozhou Chairman of the
Board of Male 52 Incumbent 105 No
Supervisors
He Wei Employee
Male 48 Incumbent 105 No
Supervisor
Li Xiaomei Employee
Female 55 Incumbent 51 No
Supervisor
Zhang Youquan VP Male 56 Incumbent 170 No
Chen Zhiqiang VP Male 43 Incumbent 240 No
Wu Jiamao VP Male 51 Incumbent 775 No
Xie Xiaoyong VP Male 47 Incumbent 230 No
Deng Dejun VP Male 47 Incumbent 213 No
Li Shun VP Male 46 Incumbent 400 No
Peng Chaocai VP Male 46 Incumbent 276 No
Lu Yang VP Board
Male 41 Incumbent 181 No
Secretary
Tian Shuai Finance Director Male 40 Incumbent 202 No
Liu Zhen Director Male 47 Resigned 0 No
Cheng Cheng VP Male 43 Resigned 28 No
61Sungrow Power Supply Co. Ltd.
Li Guojun Finance Director Male 48 Resigned 65 No
Total -- -- -- -- 5166 --
VIII. Directors' Performance of Duties During the Reporting Period
1. Board meetings during the reporting period
Session Date of Meeting Date of Disclosure Resolution(s)
The 14th meeting of the fourth April 19 2022 April 20 2022 No. 2022-005 Announcement on Resolutions of the
Board of Directors Fourteenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 15th meeting of the fourth May 6 2022 May 6 2022 No. 2022-029 Announcement on Resolutions of the
Board of Directors Fifteenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 16th meeting of the fourth May 13 2022 May 14 2022 No. 2022-033 Announcement on Resolutions of the
Board of Directors Sixteenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 17th meeting of the fourth May 30 2022 May 30 2022 No. 2022-049 Announcement on Resolutions of the
Board of Directors Seventeenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 18th meeting of the fourth June 27 2022 June 27 2022 No. 2022-057 Announcement on Resolutions of the
Board of Directors Eighteenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 19th meeting of the fourth August 26 2022 August 27 2022 No. 2022-069 Announcement on Resolutions of the
Board of Directors Nineteenth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 20th meeting of the fourth September 14 2022 September 14 2022 No. 2022-081 Announcement on Resolutions of the
Board of Directors Twentieth Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
The 21st meeting of the fourth October 26 2022 October 27 2022 No. 2022-092 Announcement on Resolutions of the
Board of Directors Twenty-first Meeting of the Fourth Board of Directors
on http://www.cninfo.com.cn
2. Directors’ presence at Board Meetings and Shareholders’ Meetings
Directors’ presence at Board Meetings and Shareholders’ Meetings
Director Failed
Board
In-person Audio/Video Delegate in-person Presence at
meetings to be Absence from
presence at presence at presence at presence at shareholders’
attended in the board meetings
board meetings board meetings board meetings two meetings
period
consecutive
62Sungrow Power Supply Co. Ltd.
board meetings
Cao Renxian 8 1 7 0 0 No 2
Zhang Xucheng 8 1 7 0 0 No 2
Zheng Guibiao 8 1 7 0 0 No 2
Zhao Wei 8 1 7 0 0 No 2
Gu Yilei 5 1 4 0 0 No 1
Li Mingfa 8 1 7 0 0 No 2
Li Baoshan 8 1 7 0 0 No 2
Gu Guang 8 1 7 0 0 No 2
Liu Zhen 2 0 0 0 2 Yes 0
Explanation on failing in-person presence at two consecutive board meetings
Mr. Liu Zhen an external director of the Company was suspected of serious violations of discipline and law and was unable to
perform his duties as a director. He was unreachable for the 14th and 15th meetings of the fourth Board of Directors and failed
in-person presence at two consecutive board meetings nor delegated anyone to attend the board meetings on his behalf. The 2021
Annual Shareholders' Meeting held on May 18 2022 reviewed and approved to remove him from the director position.
3. Objections raised by directors to matters related to the Company
Whether there were objections raised by directors to matters related to the Company
□ Yes □ No
No directors raised any objection to matters related to the Company during the reporting period.
4. Other explanations on directors’ performance of duties
Whether suggestions made by directors were accepted
□ Yes □ No
Explanation on accepting or rejecting suggestions made by directors
During the reporting period all directors of the Company strictly followed the Company Law the Securities Law the Governance
Guidelines for Listed Companies the Shenzhen Stock Exchange’s No. 2 Regulatory Guidelines for Listed Companies — Standardized
Operation of GEM-Listed Companies as well as other relevant regulations and requirements in the Articles of Association and the
Rules of Procedure for the Board of Directors. All directors performed their duties in a diligent and conscientious way to ensure
thoughts were adequately exchanged decisions were made in a timely and efficient manner and the legitimate rights and interests of
the Company and all shareholders were safeguarded. During the reporting period independent directors expressed independent views
on critical issues such as profit distribution and outbound guarantee which safeguarded the legitimate rights and interests of the
Company and all shareholders.IX. Operation of Special Committees under the Board of Directors During the Reporting
Period
Committee Members Content of Important Specific
No. of Date of Performance of
comments and circumstances
63Sungrow Power Supply Co. Ltd.
Meetings Meetings Meeting suggestions other duties of objection (if
made any)
The Audit Gu Guang Li 1 Apr. 16 2022 Deliberation of Approved the None None
Committee Baoshan the Proposal proposal and
Zheng Guibiao on agreed to
Re-engaging submit the
the Company's proposal for
Auditing Firm deliberation by
for 2022 the the Board of
Proposal on Directors
the Company's
2022 First
Quarter
Report the
Proposal on
the Company's
2021 Annual
Report and the
Report
Summary
The Audit Gu Guang Li 1 Aug. 24 2022 Deliberation of Approved the None None
Committee Baoshan the Proposal proposal and
Zheng Guibiao on the agreed to
Company's submit the
2022 Half Year proposal for
Report and the deliberation by
Report the Board of
Summary Directors
The Audit Gu Guang Li 1 Oct. 24 2022 Deliberation of Approved the None None
Committee Baoshan the Proposal proposal and
Zheng Guibiao on the agreed to
Company's submit the
2022 Third proposal for
Quarter Report deliberation by
the Board of
Directors
The Cao Renxian 1 Jun. 24 2022 Deliberation of Approved the None None
Nomination Li Mingfa Gu the Proposal proposal and
Committee Guang on the agreed to
Appointment of submit the
Finance proposal for
Director deliberation by
the Board of
64Sungrow Power Supply Co. Ltd.
Directors
The Strategy Cao Renxian 1 Nov. 30 2022 Deliberation of Approved the None None
Committee Zhang the Proposal proposal
Xucheng on the
Zheng Guibiao Company's
Medium- and
long-term
Planning and
Three-Year
Rolling Plans
of Functional
Centers
The Li Baoshan Li 1 Apr. 16 2022 Deliberation of Approved the None None
Remuneration Mingfa Zhang the Proposal proposal and
and Evaluation Xucheng on the 2022 agreed to
Committee Remuneration submit the
of Directors proposal for
Supervisors deliberation by
and Executives the Board of
Directors
X. Operation of the Board of Supervisors
Whether the Board of Supervisors identified any risks during the monitoring activities in the reporting period
□ Yes □ No
The Board of Supervisors had no objections to matters subject to supervision in the reporting period.XI: Employees
1. The number of employees and their professional and educational background
Incumbent employees of the parent company at the end of the period 4349
Incumbent employees of major subsidiaries at the end of the period 4890
Total incumbent employees at the end of the period 9239
Total number of employees receiving remuneration in the current period 9239
Retirees to be financially supported by the parent company and major
0
subsidiaries
Professional Background
Profession Split Head Count
Production 2834
Sales 1511
65Sungrow Power Supply Co. Ltd.
Technical 3647
Financial 137
Administration 1110
Total 9239
Educational Background
Education Level Head Count
Doctor 64
Master 2033
Bachelor 4086
College Graduate and below 3056
Total 9239
2. Remuneration policy
Competitive remuneration stimulates employees’ enthusiasm and creativity and promotes the sustainable growth of the Company. In
consideration of the Company’s strategic development needs and based on the different stages of business development (mature
business for profit contribution and seeding business for rapid growth) the Company designed targeted incentive plans incorporating
the medium- and long-term objectives thereby promoting the sustainable development of the various businesses. The Company also
made remuneration adjustments according to the relevant national laws and regulations on human resources management the market
status and employees' individual job performance so as to allow employees to receive reasonable returns and establish a
remuneration and performance management system that takes into account of internal fairness and external competitiveness.
3. Training planCentered around the employee value proposition of “accelerate employees’ growth and fulfill employees’ dreams" the Companyattaches great importance to employee development pays attention to growing employees' technical skills and comprehensive
competency and has established a robust training system. The Company has designed professional and personalized learning and
growth programs for different training groups and focuses such as training programs for new hires from open recruitment and
campus recruitment hierarchical leadership empowerment programs cross-cultural training and other general skills training
programs. The Company clarifies the annual training needs in combination with the corporate development objectives and the work
targets of each department formulates a comprehensive annual training plan and establishes a hierarchical curriculum design to
facilitate job-related skills training. While engaging external trainers the Company has also set up an internal trainers’ team and
trained a number of excellent internal trainers so that training efficiency and effectiveness could be improved employees' skills and
competencies could be upgraded to better serve the business growth.
4. Labor outsourcing
□ Applicable □ Not Applicable
66Sungrow Power Supply Co. Ltd.
XII. Profit Distribution and Conversion of Capital Reserve into Share Capital
The formulation implementation or adjustment of the profit distribution policy especially the cash dividend policy during the
reporting period
□ Applicable □ Not Applicable
The Company strictly implemented the profit distribution policy in accordance with the Articles of Association. The formulation and
implementation of the Company's cash dividend policy were aligned with the provisions in the Articles of Association and the
requirements in the resolution of the shareholders' meeting. The dividend standard and proportion were clearly specified; the relevant
decision-making procedures and mechanisms were in place. Independent directors fulfilled their responsibilities and played their
roles the minority shareholders fully expressed their opinions and demands and the legitimate rights and interests of the minority
shareholders were adequately safeguarded.Special Explanation on the Cash Dividend Policy
Whether it complied with the provisions in the Articles of Association or the requirements in the
Yes
resolution(s) of the shareholders' meeting:
Whether the dividend standard and proportion were clearly specified: Yes
Whether the relevant decision-making procedures and mechanisms were in place: Yes
Whether independent directors performed their duties and played their roles: Yes
Whether minority shareholders had the opportunity to fully express their views and demands Yes
and whether their legitimate rights and interests were adequately safeguarded:
In the case of cash dividend policy modification or change whether the conditions and Yes
procedures were compliant and transparent:
The Company's profit distribution plan and capital reserve conversion plan for the reporting period were consistent with the relevant
provisions in the Articles of Association and the dividend management policy
□ Yes □ No □ Not Applicable
The Company's profit distribution plan and capital reserve conversion plan for the reporting period were in line with the relevant
provisions in the Articles of Association.Profit distribution and conversion of capital reserve into share capital for the year
Number of bonus shares for every 10 shares 0
Dividend (in CNY) per 10 shares (tax inclusive) 2.20
Number of shares transferred per 10 shares 0
Equity base of the distribution plan (in shares) 1478705935.00
Cash dividend (in CNY) (tax inclusive) 325315305.70
Cash dividend in other ways (such as share buyback) (in CNY) 520543225.73
Total cash dividend (including those distributed in other ways) (in CNY) 845858531.43
Distributable profit (in CNY) 8636973267.33
Total cash dividend (including those distributed in other ways) in total profit distribution 100.00%
Overview of this Cash Dividend
Other
67Sungrow Power Supply Co. Ltd.
Detailed description of the profit distribution or the capital reserve conversion plan
As audited and confirmed by RSM China (Special General Partnership) the net profit realized by the parent company in 2022 was
CNY 3495882716.50. After setting aside statutory reserves of CNY 349588271.65 at 10% of the net profit realized the
undistributed profit amounted to CNY 3146294444.85. Adding up the undistributed profit of CNY 5654051628.97 from the
previous year and deducting the 2021 cash dividend of CNY 163372806.49 already distributed the distributable profit of the
parent company as of December 31 2022 was CNY 8636973267.33.According to CSRC’s Notice on Further Implementing Cash Dividends of Listed Companies and Related Matters the Company
Law the No. 3 Regulatory Guidelines for Listed Companies — Cash Dividends of Listed Companies and the Articles of
Association and after comprehensive consideration of the Company's financial status business development needs in the future and
return to shareholders the Company made the following profit distribution plan for 2022:
Based on a share capital of 1478705935 shares (the existing total share capital of 1485190984 shares minus 6485049 shares
that have been bought back in the special account for buyback) the Company plans to distribute a cash dividend of CNY 2.20 (tax
inclusive) for every 10 shares to all shareholders with the total cash dividend amounting to CNY 325315305.70 (tax inclusive).The remaining undistributed profit will carry forward next year. No share capital was increased and no bonus shares was issued
this year. In the event that the Company’s total share capital changes prior to the execution of the distribution plan due to the
conversion of convertible bonds share buyback exercise of equity incentives and listing of new shares from refinancing the
Company will adjust the distribution ratio while maintaining the total amount of distribution unchanged.The Company was profitable during the reporting period the parent company made positive profits distributable to shareholders but
no cash dividend distribution plan was proposed
□ Applicable □ Not Applicable
XIII. Progress of the Company's Equity Incentive Plan Employee Stock Ownership Plan or
Other Employee Incentive Measures
□ Applicable □ Not Applicable
a. Equity Incentives
The 2018 Restricted Stock Incentive Plan
1. On December 11 2018 the Company held the 16th meeting of the third Board of Directors at which the 2018 Restricted Stock
Incentive Plan (Draft) and its summary the Assessment Measures for the Implementation of the 2018 Restricted Stock Incentive
Plan and the Proposal on Requesting the Shareholders’ Meeting to Authorize the Board of Directors to Proceed with the 2018
Restricted Stock Incentive Plan Related Initiatives were reviewed and approved. On the same day independent directors
expressed independent views on the incentive object’s qualification and the specific contents of the restricted stock incentive
plan as well as on whether it contributed to the sustainable development of the Company and whether there were any signs of
compromising the benefits of the Company and all shareholders.
2. On December 27 2018 the Company held the fourth extraordinary general meeting in 2018 at which the 2018 Restricted Stock
Incentive Plan (Draft) and its summary the Assessment Measures for the Implementation of the 2018 Restricted Stock Incentive
Plan and the Proposal on Requesting the Shareholders’ Meeting to Authorize the Board of Directors to Proceed with the 2018
Restricted Stock Incentive Plan Related Initiatives were reviewed and approved. The Board of Directors was authorized to deal
with the changes and terminations of the Plan according to the provisions in the Company's 2018 Restricted Stock Incentive
Plan including but not limited to revoking the incentive object’s qualifications for unlocking restricted shares buying back and
cancelling restricted shares held by incentive objects that have not been unlock.
3. On January 9 2019 the Company held the 17th meeting of the third Board of Directors at which the Proposal on Granting
68Sungrow Power Supply Co. Ltd.
Restricted Shares to Incentive Objects for the First Time was reviewed and approved. The Company decided to take January 9
2019 as the granting date and granted 7.5 million restricted shares to 142 incentive objects of the first grant in 2018 at the
granting price of CNY 4.66 per share.In the registration for the first grant of restricted shares in 2018 some incentive objects voluntarily waived the restricted shares
in whole or in part due to personal reasons the quantity of first grant in the 2018 incentive plan changed from 7.5 million shares
to 7.35 million shares and the number of incentive objects changed from 142 to 139. After review and confirmation by the
Shenzhen Stock Exchange and the China Securities Depository and Clearing Corporation Limited Shenzhen Branch the
Company completed the registration of 7.35 million restricted shares granted to 139 incentive objects involved in the first grant
and the restricted shares granted were listed on February 27 2019.
4. On May 9 2019 the Company held the 20th meeting of the third Board of Directors at which the Proposal on the Buyback and
Cancellation of Some Restricted Shares was reviewed and approved. Since some of the Company’s original incentive objects
Wei Yongzhen Zhang Daqiang Ai Shaowei Cheng Zheng Zeng Jin and Wang Qigang resigned according to the relevant
provisions of the Company's equity incentive plan all the restricted shares that were granted to them but not unlocked should be
bought back and cancelled by the Company. Since the individual annual performance of the Company’s original incentive
objects Li Bing accounted for an unlocking percentage of 50% according to the relevant provisions of the Company's equity
incentive plan the remaining part of restricted shares that were granted to him but not unlocked should be bought back and
cancelled by the Company. The total buyback quantity amounted to 268750 shares. The buyback price was CNY 5.1314 per
share for restricted shares in the first grant in 2017 CNY 8.8002 per share for the reserved grant in 2017 and CNY 4.66 per
share for the first grant in 2018.
5. On August 14 2019 the Company held the 21th meeting of the third Board of Directors and the 18th meeting of the third Board
of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and approved.Since some of the Company’s original incentive objects Li Chen Meng Wei Hu Weichao Li Guo Jiang Lihui Cao Zhi Geng
Anran Yu Guoqiang Ling Li Lai Chengzhi Li Guoqing Yang Mei Zuo Yalian Lu Tao and Ma Xiangyun resigned
according to the relevant provisions of the Company's equity incentive plan all the restricted shares that were granted to them
but not unlocked should be bought back and cancelled by the Company with the total buyback quantity amounting to 528000
shares. The buyback price was CNY 5.0714 per share for restricted shares in the first grant in 2017 CNY 8.7402 per share for
the reserved grant in 2017 and CNY 4.6 per share for the first grant in 2018.
6. On October 25 2019 the Company held the 22th meeting of the third Board of Directors and the 19th meeting of the third
Board of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and
approved. Since some of the Company’s original incentive objects Sun Hongfei Ji Ruifei Huang Yong Yin Zufa Tu Chao
Chen Yadong Dong Bincheng Wang Huichao and Han Gao resigned according to the relevant provisions of the Company's
equity incentive plan all the restricted shares that were granted to them but not unlocked should be bought back and cancelled
by the Company with the total buyback quantity amounting to 274000 shares. The buyback price was CNY 5.0714 per share
for restricted shares in the first grant in 2017 CNY 8.7402 per share for the reserved grant in 2017 and CNY 4.6 per share for
the first grant in 2018.
7. On December 26 2019 the Company held the 23rd meeting of the third Board of Directors and the 20th meeting of the third
Board of Supervisors at which the Proposal on Granting the Reserved Part of Restricted Shares to Incentive Objects was
reviewed and approved. The Company decided to take December 26 2019 as the granting date and granted 1.5 million restricted
shares from the reserved part of 2018 to 38 incentive objects.
8. On April 23 2020 the Company held the 24th meeting of the third Board of Directors at which the Proposal on the
Achievement of Unlocking Conditions for Stage III of the First Batch and Stage II of the Reserved Part of Restricted Shares
69Sungrow Power Supply Co. Ltd.
Granted in 2017 and Stage I of the First Batch Granted in 2018 was reviewed and approved. It was agreed that the unlocking of
the Stage I restricted shares in the first grant in 2018 should be proceeded with according to the relevant provisions of the 2018
Restricted Stock Incentive Plan. A total of 131 incentive objects were eligible for the Stage I unlock of the first batch granted in
2018 and the total number of restricted shares that could be unlocked was 2145000 accounting for 0.1472% of the Company's
total share capital at present.
9. On April 23 2020 the Company held the 24th meeting of the third Board of Directors and the 21st meeting of the third Board
of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and approved.Since some of the Company’s original incentive objects Lu Chunguang Xiao Fuqin Wu Changhong Zhang Changxin Zhang
Lei Wang Xiaofei Yu Hong Zhang Yingfan Xie Jiehua Liu Ziyu Liu Dawei Chen Qiang Gao Yu Jiao Xiangbo Xu
Zhongren Zhang Jiannan Qu Rao and Li Gaoshan resigned according to the relevant provisions of the Company's equity
incentive plan all the restricted shares that were granted to them but not unlocked should be bought back and cancelled by the
Company. Since the individual annual performance of the Company’s original incentive objects Yang Li accounted for an
unlocking percentage of 50% according to the relevant provisions of the Company's equity incentive plan the remaining part of
restricted shares that were granted to him but not unlocked should be bought back and cancelled by the Company. The total
buyback quantity amounted to 522000 shares. The buyback price was CNY 5.0714 per share for restricted shares in the first
grant in 2017 CNY 8.7402 per share for the reserved grant in 2017 and CNY 4.6 per share for the first grant in 2018.
10. On May 14 2020 the Stage I unlocked restricted shares from the first grant of the 2018 Restricted Stock Incentive Plan were
listed for circulation. The number of restricted shares unlocked this time was 2145000 accounting for 0.1472% of the
Company's total share capital at present; the actual number of restricted shares that could be listed for circulation was 1895000
accounting for 0.1301% of the Company's total share capital at present.
11. On July 13 2020 the Company held the second meeting of the fourth Board of Directors and the second meeting of the fourth
Board of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and
approved. Since some of the Company’s original incentive objects Yao Shaohua Wu Zongjian Zhang Fenggang Liu Lei
Wang Rui Tian Geng Wang Baoping Wu Jie Tang Jie Yan Shichao Wu Bin Cheng Qi Yang Gangxin Shen Tan Song
Zijian Lin Guangyi and Chen Chao resigned according to the relevant provisions of the Company's equity incentive plan all
the restricted shares that were granted to them but not unlocked should be bought back and cancelled by the Company with the
total buyback quantity amounting to 504000 shares. The buyback price was CNY 5.0014 per share for restricted shares in the
first grant in 2017 CNY 8.6702 per share for the reserved grant in 2017 and CNY 4.5300 per share for the first grant in 2018.
12. On August 28 2020 the Company made the Announcement on the Completion of the Reserved Grant Registration for the 2018
Restricted Stock Incentive Plan and shares granted this time were listed on September 1 2020. Since a large number of
incentive objects for this grant were foreign employees working outside China it was very challenging for employees to pay and
verify their capital due to conditional constraints; therefore the share-granting progress fell behind. The original plan was to
grant a total of 1.5 million restricted shares to 38 eligible incentive objects. In the subsequent payment and capital verification
process the original incentive objects Xu Youbin and CARDOSOROBERTOMIGUEL voluntarily waived; therefore 36
incentive objects were actually granted this time and the actual quantity granted was 1450000 shares.
13. On October 29 2020 the Company held the fourth meeting of the fourth Board of Directors and the fourth meeting of the fourth
Board of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and
approved. Since some of the Company’s original incentive objects Zhu Hui Yang Guoqiang Zhang Tao Wang Xinzhong
Dong Yugang Liu Ming Yu Chuandian Xing Zhen Tian Hao Hu Di Tu Fang WARDZACHARIAH HUSSEIN and KIM
MYUNGKWAN resigned according to the relevant provisions of the Company's equity incentive plan all the restricted shares
that were granted to them but not unlocked should be bought back and cancelled by the Company with the total buyback
quantity amounting to 297500 shares. The buyback price was CNY 5.0014 per share for restricted shares in the first grant in
70Sungrow Power Supply Co. Ltd.
2017 and CNY 8.6702 per share for the reserved grant in 2017 the buyback price was CNY 4.5300 per share for restricted
shares granted in the first grant in 2018 and CNY 5.3000 per share for the reserved grant in 2018.
14. On April 26 2021 the Company held the 8th meeting of the fourth Board of Directors and the 7th meeting of the fourth Board
of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and approved.Since some of the Company’s original incentive objects Wan Rubin Zhou Ping Zhan Zhihai Zhang Jianzhou Jiang Wenjun
Xie Feng and Yao Li resigned according to the relevant provisions of the Company's equity incentive plan all the restricted
shares that were granted to them but not unlocked should be bought back and cancelled by the Company. Since the individual
annual performance of the Company’s original incentive objects Li Tao and Shang Xiaozhong accounted for an unlocking
percentage of 50% according to the relevant provisions of the Company's equity incentive plan the remaining part of restricted
shares that were granted to them but not unlocked should be bought back and cancelled by the Company. The total buyback
quantity amounted to 142000 shares. The buyback price for restricted shares in the first grant in 2017 was CNY 5.0014 per
share and that for restricted shares in the first grant in 2018 was CNY 4.5300 per share.
15. On April 26 2021 the Company held the 8th meeting of the fourth Board of Directors and the 7th meeting of the fourth Board
of Supervisors at which the Proposal on the Achievement of Unlocking Conditions for Stage IV of the First Batch and Stage III
of the Reserved Part of Restricted Shares Granted in 2017 and Stage II of the First Batch Granted in 2018 was reviewed and
approved. It was agreed that the unlocking of the Stage II restricted shares in the first grant in 2018 should be proceeded with
according to the relevant provisions of the 2018 Restricted Stock Incentive Plan. A total of 116 incentive objects were eligible
for the Stage II unlock of the first batch granted in 2018 and the total number of restricted shares that could be unlocked was
1986000 accounting for 0.1363% of the Company's total share capital at present.
16. On May 12 2021 the Stage II unlocked restricted shares from the first grant of the 2018 Restricted Stock Incentive Plan were
listed for circulation. The number of restricted shares unlocked this time was 1986000 accounting for 0.1363% of the
Company's total share capital at present; the actual number of restricted shares that could be listed for circulation was 1326000
accounting for 0.0910% of the Company's total share capital at present.
17. On September 8 2021 the Stage I unlocked restricted shares from the reserved part of the 2018 Restricted Stock Incentive Plan
were listed for circulation. The number of restricted shares unlocked this time was 680000 accounting for 0.0467% of the
Company's total share capital at present; the actual number of restricted shares that could be listed for circulation was 680000
accounting for 0.0467% of the Company's total share capital at present.
18. On April 19 2022 the Company held the 14th meeting of the fourth Board of Directors and the 13th meeting of the fourth
Board of Supervisors at which the Proposal on the Achievement of Unlocking Conditions for Stage III of the First Batch of
Restricted Shares Granted in 2018 was reviewed and approved. It was agreed that the unlocking of the Stage III restricted
shares in the first grant in 2018 should be proceeded with according to the relevant provisions of the 2018 Restricted Stock
Incentive Plan. A total of 116 incentive objects were eligible for the Stage III unlock of the first batch granted in 2018 and the
total number of restricted shares that could be unlocked was 2648000 accounting for 0.1783% of the Company's total share
capital at present.
19. On April 19 2022 the Company held the 14th meeting of the fourth Board of Directors and the 13th meeting of the fourth
Board of Supervisors at which the Proposal on the Buyback and Cancellation of Some Restricted Shares was reviewed and
approved. Since Han Zhiyuan one of the Company’s original incentive objects resigned according to the relevant provisions of
the Company's equity incentive plan all the restricted shares that were granted to him but not unlocked were bought back and
cancelled by the Company with the buyback quantity amounting to 25000 shares. During the buyback period the Company
completed equity distribution for 2021 and adjusted the buyback price to CNY 5.0495176 per share.
20. On May 6 2022 the Stage III unlocked restricted shares from the first grant of the 2018 Restricted Stock Incentive Plan were
71Sungrow Power Supply Co. Ltd.
listed for circulation. The number of restricted shares unlocked this time was 2648000 accounting for 0.1783% of the
Company's total share capital at present; the actual number of restricted shares that could be listed for circulation was 1468938
accounting for 0.0989% of the Company's total share capital at present.
21. On August 26 2022 the Company held the 19th meeting of the fourth Board of Directors and the 16th meeting of the fourth
Board of Supervisors at which the Proposal on the Achievement of Unlocking Conditions for Stage II of the Reserved Part of
Restricted Shares Granted in 2018 was reviewed and approved. It was agreed that the unlocking of the Stage II restricted shares
in the reserved part granted in 2018 should be proceeded with according to the relevant provisions of the 2018 Restricted Stock
Incentive Plan. A total of 31 incentive objects were eligible for the Stage II unlock of the reserved part granted in 2018 and the
total number of restricted shares that could be unlocked was 615000 accounting for 0.0414% of the Company's total share
capital at present.
22. On September 5 2022 the Stage II unlocked restricted shares from the reserved part of the 2018 Restricted Stock Incentive Plan
were listed for circulation. The number of restricted shares unlocked this time was 615000 accounting for 0.0414 of the
Company's total share capital at present; the actual number of restricted shares that could be listed for circulation was 615000
accounting for 0.0414% of the Company's total share capital at present.The 2022 Restricted Stock Incentive Plan
1. On May 13 2022 the Company held the 16th meeting of the fourth Board of Directors at which the Proposal on the 2022
Restricted Stock Incentive Plan (Draft) and its Summary the Assessment Measures for the Implementation of the 2022
Restricted Stock Incentive Plan and the Proposal on Requesting the Shareholders’ Meeting to Authorize the Board of Directors
to Proceed with the 2022 Restricted Stock Incentive Plan Related Initiatives were reviewed and approved. On the same day
independent directors expressed independent views on the incentive object’s qualification and the specific contents of the
restricted stock incentive plan as well as on whether it contributed to the sustainable development of the Company and whether
there were any signs of compromising the benefits of the Company and all shareholders.
2. On May 30 2022 the Company held the first extraordinary general meeting in 2022 at which the Proposal on the 2022
Restricted Stock Incentive Plan (Draft) and its Summary the Assessment Measures for the Implementation of the 2022
Restricted Stock Incentive Plan and the Proposal on Requesting the Shareholders’ Meeting to Authorize the Board of Directors
to Proceed with the 2022 Restricted Stock Incentive Plan Related Initiatives were reviewed and approved. The Board of
Directors was authorized to deal with the changes and terminations of the Plan according to the provisions in the Company's
2022 Restricted Stock Incentive Plan including but not limited to revoking the incentive object’s qualifications for unlocking
restricted shares buying back and cancelling restricted shares held by incentive objects that have not been unlock.
3. On May 30 2022 the Company held the 17th meeting of the fourth Board of Directors at which the Proposal on Adjusting the
List of Incentive Objects the Number of Objects and the Number of Shares to be Granted for the First Grant of the 2022
Restricted Stock Incentive Plan and the Proposal on Granting Restricted Shares to Incentive Objects for the First Time were
reviewed and approved. Since one of the Company’s original incentive objects resigned and was no longer eligible for the
incentive the Board of Directors agreed to adjust the list of incentive objects the number of objects and the number of shares
for the first grant. After the adjustment the number of incentive objects for the first grant of the 2022 Plan changed from 468 to
467 the total number of restricted shares to be granted changed from 6500000 to 6485000 and the number of restricted
shares for the first grant changed from 6180000 to 6165000. It was also agreed to take May 30 2022 as the granting date for
the first grant of the 2022 Restricted Stock Incentive Plan to grant restricted shares to incentive objects.
72Sungrow Power Supply Co. Ltd.
Equity incentives granted to directors and executives
□ Applicable □ Not Applicable
(in Shares)
Restricted
Stock Exercise price Stock Restricted Granting Restricted
Stock Shares Shares Market price shares Restricted
options held of shares options shares price of shares held
options exercisable exercised at the end of held at the shares
Name Title at the exercised in held at the newly restricted at the end
granted in in the in the the period beginning unlocked in
beginning of the period end of the granted in shares of the
the period period period (CNY/share) of the the period
the period (CNY/share) period the period (CNY/share) period
period
Zheng Guibiao Director SVP 120000 120000
Zhao Wei Director SVP 120000 120000
Gu Yilei Director SVP 120000 120000
Chen Zhiqiang VP 120000 120000
Wu Jiamao VP 120000 120000
Xie Xiaoyong VP 120000 120000
Zhang Youquan VP 120000 120000
Deng Dejun VP 80000 80000
Peng Chaocai VP 60000 60000
Total -- 0 0 0 0 -- 0 -- 980000 980000 --
Remarks (if any) On April 19 2022 the Company held the 14th meeting of the fourth Board of Directors and the 13th meeting of the fourth Board of Supervisors at which the
Proposal on the Achievement of Unlocking Conditions for Stage III of the First Batch of Restricted Shares Granted in 2018 was reviewed and approved. It
was agreed that a total of 980000 restricted shares granted to directors and executives in Stage III of the first grant in the 2018 Restricted Stock Incentive Plan
should be unlocked according to the relevant provisions of the 2018 Plan.Evaluation mechanism and incentives for executives
The Company has established a complete performance evaluation system and remuneration system for executives. Based on the delivery status of the Company's annual business objectives and
the job performance of executives the Remuneration and Evaluation Committee of the Board of Directors carries out annual performance evaluation of executives and supervises the
73Sungrow Power Supply Co. Ltd.
implementation of the remuneration system. Rewards and punishments will be applied correspondingly according to the performance evaluation results.b. Implementation of the Employee Stock Ownership Plan
□ Applicable □ Not Applicable
c. Other Employee Incentive Measures
□ Applicable □ Not Applicable
XIV: Establishment and Implementation of the Internal Control System during the Reporting Period
1. Establishment and Implementation of Internal Control
In strict accordance with the Company Law the Securities Law the Governance Guidelines for Listed Companies as well as other requirements in normative documents on the governance of
listed companies issued by the China Securities Regulatory Commission the Company continued to improve the corporate governance structure and systems such as the shareholders’ meeting
the Board of Directors and the Board of Supervisors. In addition the Company followed the latest requirements of laws and regulations to standardize the behavior of controlling shareholders
actual controllers directors supervisors executives and related parties thereby improving the level of internal governance. The Company organized directors supervisors and executives to
regulatory compliance training on a timely basis hence to improve the corporate governance standard of the management team. For middle-level managers and ordinary employees the
Company conducted targeted compliance training to improve their risk prevention awareness strengthen operational compliance and ensure the effective implementation of internal control
policies so that the Company’s standard operation level could be effectively raised and the healthy and sustainable development could be promoted.Subject to the Basic Internal Control Standards and the supporting guidelines as well as other internal control regulations the Company established internal control systems and evaluation
mechanisms. Following the principle of risk orientation such systems and mechanisms were constantly optimized on the basis of routine supervision and special supervision of internal control
so as to cope with the ever-changing external environment and internal management requirements. During the reporting period the development and implementation of the Company's internal
control system complied with the Basic Internal Control Standards and the relevant laws and regulations and ensured effective internal control in all major aspects related to the business
operation and management of the Company. There were no critical internal control deficiencies in financial reporting or non-financial reporting.
2. Description of Critical Internal Control Deficiencies Identified During the Reporting Period
□ Yes □ No
74Sungrow Power Supply Co. Ltd.
XV: Management and Control of the Company's Subsidiaries during the Reporting Period
Problems during
Company Name Integration Plan Integration Progress Resolutions Taken Resolution Progress Action Plan
Integration
Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable
XVI. Internal Control Self-Assessment Report or Internal Control Audit Report
1. Internal Control Self-Assessment Report
The full text of the internal control assessment report was disclosed on April 25 2023
The full text of the internal control assessment report was disclosed at www.cninfo.com.cn
The ratio of the total assets of organizations included in the assessment to the total assets of
100.00%
the Company's consolidated financial statements
The ratio of the operating income of organizations included in the assessment to the
100.00%
Company’s total operating income in the consolidated financial statements
Criteria of Deficiencies
Category Financial Reports Non-Financial Reports
Deficiencies with the following characteristics are considered as critical deficiencies
Each of the following is considered a critical deficiency of in the internal control of non-financial reports:
the Company: Fraudulence of the Company's directors 1) No scientific basis for the decision-making procedures resulting in major
supervisors and executives; corrections to financial mistakes;
Qualitative Criteria statements disclosed; mistakes or omissions of major data in 2) High turnover of key positions professionals and technical personnel;
the current financial statements discovered by certified 3) Internal control assessment results especially critical deficiencies are not
public accountant but ignored by the internal audit rectified;
department during the control operation. 4) Other situations that may have a significant negative impact on the Company.Other situations are categorized as major deficiencies or minor deficiencies according
75Sungrow Power Supply Co. Ltd.
to the level of impact.The quantitative criteria for determining the significance of
mistakes (including omissions) in the Company's
consolidated financial statements by benchmarking the data
The quantitative criteria for determining internal control deficiencies in non-financial
from previous annual financial statements:
Quantitative Criteria reports shall refer to the quantitative criteria for determining internal control
Critical deficiency: mistakes ≥ 5% of total profit
deficiencies in financial reports.Major deficiency: 2% of total profits ≤ mistakes ≤ 5% of
total profit
Minor deficiency: mistakes ≤ 2% of total profit
Number of critical deficiencies in financial
0
reports
Number of critical deficiencies in
0
non-financial reports
Number of major deficiencies in financial
0
reports
Number of major deficiencies in
0
non-financial reports
2. Internal Control Audit Report or Assurance Report
Internal Control Assurance Report
Review Opinion in the Internal Control Assurance Report
Sungrow’s 2022 Special Report on the Annual Deposit and Use of Raised Funds was prepared in accordance with the No. 2
Regulatory Guidelines for Listed Companies — Regulatory Requirements for the Management and Use of Raised Funds by Listed
Companies and relevant regulations of the exchange in all critical aspects which fairly reflected the actual deposit and use of
raised funds by Sungrow in 2022.Disclosure of Internal Control Assurance Report (Y/N) Yes
Date of disclosing the full text of Internal Control Assurance Report April 25 2023
76Sungrow Power Supply Co. Ltd.
Disclosure index of the full text of Internal Control Assurance Report www.cninfo.com.cn
Type of Internal Control Assurance Report opinion Standard unmodified opinion
Critical deficiencies in non-financial reports (Y/N) No
Does the accounting firm issue an internal control assurance report with non-standard opinion
□ Yes □ No
Is the opinion in the internal control assurance report issued by the accounting firm consistent with that in the self-assessment report of the Board of Directors
□ Yes □ No
XVII: Rectification of Problems Found in Dedicated Self-Examination Initiatives on Corporate Governance
According to the relevant requirements the Company carried out dedicated self-examination initiatives on corporate governance in strict accordance with the Company Law the Securities Law
and relevant laws and administrative regulations following a truth-based principle. The dedicated self-examination on corporate governance of listed companies identified that the Company had
established a supporting corporate governance structure and internal control system in accordance with the provisions of the Company Law the Securities Law and the Governance Guidelines
for Listed Companies and there were no critical issues that need to be rectified. As the Company develops and the internal and external environment changes it shall further improve the
internal control system strengthen the learning and training of directors supervisors executives and relevant personnel optimize the management details of the internal control system and
standardized operation of listed companies hence to continuously improve the governance quality as a listed company.
77Sungrow Power Supply Co. Ltd.
Section V Environment and Social Responsibilities
I. Major Environmental Issues
Whether the Company and its subsidiaries are included in the list of key pollutant discharge organizations identified by the
environmental authority
□ Yes □ No
Administrative penalties for environmental issues during the reporting period
The Company was subject to no environment-related administrative penalties during the reporting period.Refer to other environmental information disclosed by key pollutant discharge units
Not Applicable
Measures taken to reduce carbon emissions during the reporting period and their effects
□ Applicable □ Not Applicable
The Company actively implements carbon inventory and carbon footprint standards and practices transparent and science-based
verification for low-carbon development. To assume corporate responsibilities the Company started company-wide carbon inventory
in 2020 established independent inventory capabilities in 2022 and extended the inventory coverage to India Plant and Thailand
Plant. In 2022 the Company avoided 23331.44 tons of carbon emission by directly purchasing green power and generating power
with rooftop PV power stations in plant areas offset 10265.40 tons of carbon emission by purchasing I-REC making significant
achievements in emission reduction. For details of the Company’s carbon emission results please refer to the Sungrow Power Supply
Co. Ltd. 2022 Sustainability Report disclosed on www.cninfo.com.cn.Reasons for not disclosing other environmental information
The Company and its subsidiaries are not included in the list of key pollutant discharge units identified by the environmental
authority. The Company actively responds to the requirements of the national and local governments strictly regulates noise effluent
waste gas and hazardous waste generated within the Company formulates corresponding environmental protection rules and
regulations and monitors noise effluent waste gas and hazardous waste in strict accordance with the pollution discharge permit
management requirements.II. Social Responsibilities
For details please refer to the Sungrow Power Supply Co. Ltd. 2022 Sustainability Report disclosed by the Company on
www.cninfo.com.cn.III. Efforts on Consolidating and Expand the Achievements of Poverty Alleviation and Rural
Revitalization
Sungrow practices sustainability in operation and leverages its business advantages and resources to improve the lives of residents in
the surrounding and contribute to local communities. The Company collaborates with governments customers enterprises and
non-profit organizations in various countries to launch a number of activities including rural revitalization disaster assistance and
public welfare donations so as to benefit the communities along the Company's operations. In order to progress the public welfare
volunteer service effectively ensure the rational and efficient use of public welfare funds and practically fulfill corporate social
responsibilities the Company formulated the Regulations on Managing External Donations in 2022 developed implementation
78Sungrow Power Supply Co. Ltd.
plans for public welfare products and empowered public welfare volunteer service in the aspects of system process and resources.The Company has made the following efforts in 2022:
1. Setting up a dedicated public welfare fund
On September 5 in response to the theme of the Charity Day of China — Participating in Charity Efforts Spreading Truth Kindness
and Beauty Sungrow set up a dedicated public welfare fund of CNY 10 million at Hefei Charity Federation to support the
Federation’s exploration of goodness practices under common prosperity. During the reporting period the Company donated
scholarship to Chengguan No. 5 Primary School in Jianhe County and Changqing No. 2 Primary School in Danzhai County of
Guizhou Province through the Federation in order to promote rural education.
2. Public welfare volunteer services
The Company introduced the Volunteer Management Platform and launched the Global Volunteer Service Week program. From
November 29th to December 5th every year volunteers may pick an area that is closely related to their functions and participate in
volunteer activities worldwide in the same theme. With a focus on ecology and environment protection a number of activities were
held in Hefei Beijing Shanghai Munich San Francisco and Phoenix including the Plastic Workshop Canvas Shoes Painting
community renovation One Week Fast Cooking and park cleaning. Currently there are 230 registered volunteers in the Company.In the future Sungrow will further optimize the volunteer management system plan diverse global activities expand the number of
registered volunteers and increase volunteer service hours.
3. Poverty Alleviation
Sungrow Renewables proactively interacts with the local government of where the Company operates surveys and visits
impoverished areas and population. In 2022 the Company offered assistance to the Vocational and Technical High School in Lingbi
County of Anhui Province and the Saryoba Middle School in Singapore donated funds to renovate the village school water tower
and clinic in Saryoba.
4. Community Development
Sungrow Renewables closely integrates social responsibilities with corporate development and proactively responds to the national
strategy of rural revitalization. The Company donated a 200 kW residential PV power station in Jiulianshan of Fuyu City to help
residents improve their quality of life and enable joint development with the local community. In remote areas such as Gansu and
Qinghai the Company set up Sungrow Smart Classrooms and Sungrow Elderly Care to watch for the growth and education of
vulnerable children as well as the physical and mental health of the elderly.
5. Disaster Recovery Assistance
In 2022 Sungrow Renewables and Sungrow FM donated supplies to Shaanxi Jilin Hunan (Changde City) and Anhui (Huainan
City).ther places.
79Sungrow Power Supply Co. Ltd.
Section VI Significant Events
I. Fulfillment of Undertakings
1．Undertakings made by the Company or its actual controller shareholder related party and acquirer that are to be fulfilled in the reporting period or
undertakings not yet fulfilled by the end of the reporting period
□ Applicable □ Not Applicable
Date of
Origin of undertaking Undertaker Type of undertaking Content Duration Status of fulfillment
undertaking
Shareholders Mr. Cao Renxian Mr. Zheng Guibiao and
Mr. Zhao Wei who serve as the Company’s directors
and/or executives hereby undertake that no shares
Undertaking on The undertaking is
Undertaking at IPO or Cao Renxian Zheng Guibiao Zhao exceeding 25% of the total shares held by each individual
executive’s share Jan. 31 2011 Long-term being fulfilled with no
refinancing Wei shall be transferred each year after the lock-up period and
lock up signs of breaching
no shares held by each individual shall be transferred
within 6 months after the shareholder resigns from the
Company.
1. On the date of signing this Letter of Undertaking I or
the companies I have interests in have not produced or
developed any product that competes or may compete
Undertaking on with those produced by the joint-stock company; have not The undertaking is
Undertaking at IPO or
Cao Renxian horizontal directly or indirectly operated any business that competes Jan. 31 2011 Long-term being fulfilled with no
refinancing
competition or may compete with those operated by the joint-stock signs of breaching
company; have not invested in any other enterprise that
competes or may compete with the joint-stock company in
terms of products or business; 2. As of the date of signing
80Sungrow Power Supply Co. Ltd.
this Letter of Undertaking I or the companies I have
interests in will not produce or develop any product that
competes or may compete with those produced by the
joint-stock company; will not directly or indirectly
operate any business that competes or may compete with
those operated by the joint-stock company; will not invest
in any other enterprise that competes or may compete
with the joint-stock company in terms of products or
business; 3. As of the date of signing this Letter of
Undertaking if the joint-stock company further expands
its products and business scope I or the companies I have
interests in will not compete with the joint-stock
company in terms of the expanded products or business.In the event of competition with the expanded products or
business of the joint-stock company I or the companies I
have interests in will stop producing the competing
product or operating the competing business or
incorporate the competing business into the joint-stock
company or transfer the competing business to an
unrelated third party in order to avoid horizontal
competition; 4. If this Letter of Undertaking is proven to
be untrue or not complied with the undertaker will
indemnify the joint-stock company for any and all direct
and indirect losses.Hefei Huizhuo Equity Investment 1. On the date of signing this Letter of Undertaking the
Partnership (Limited Partnership) Undertaking on undertaker or the company held or controlled by the The undertaking is
Undertaking at IPO or
(formerly Xinjiang Shangge Equity horizontal undertaker has not produced or developed any product Jan. 31 2011 Long-term being fulfilled with no
refinancing
Investment Partnership (Limited competition that competes or may compete with those produced by the signs of breaching
Partnership) Luzhou Huizhuo joint-stock company; has not directly or indirectly
81Sungrow Power Supply Co. Ltd.
Enterprise Management Partnership operated any business that competes or may compete with
(Limited Partnership)) those operated by the joint-stock company; has not
invested in any other enterprise that competes or may
compete with the joint-stock company in terms of
products or business; 2. Whenever the undertaker still
holds 5% or more of the joint-stock company’s shares the
undertaker or the company controlled by the undertaker
will not produce or develop any product that competes or
may compete with those produced by the joint-stock
company; will not directly or indirectly operate any
business that competes or may compete with those
operated by the joint-stock company; will not control any
other enterprise that competes or may compete with the
joint-stock company in terms of products or business; 3. If
this Letter of Undertaking is proven to be untrue or not
complied with the undertaker will indemnify the
joint-stock company for any and all direct and indirect
losses.Sungrow Other undertaking The undertaker does not provide loans or financial May 13 2022 During the The undertaking is
assistance in other forms including providing guarantees implement being fulfilled with no
for their loans for incentive objects of the 2022 ation of the signs of breaching
Restricted Stock Incentive Plan to acquire restricted Company's
Undertaking on equity
shares. 2022
incentive
Restricted
Stock
Incentive
Plan
Undertaking is fulfilled
Yes
on time
82Sungrow Power Supply Co. Ltd.
If the undertaking is
expired and not
fulfilled specify the
Not Applicable
detailed reasons for
failure to fulfill and
subsequent action plans
2. If there is a profit forecast on the Company's assets or projects and the forecast period contains the reporting period provide an explanation on whether
assets or projects achieving the profit forecast and the reasons behind
□ Applicable □ Not Applicable
II. Non-Operating Appropriation of Funds by Controlling Shareholders or Other Related Parties
□ Applicable □ Not Applicable
In the reporting period there was no non-operating appropriation of funds by controlling shareholders or other related parties.III. Illegal External Guarantees
□ Applicable □ Not Applicable
In the reporting period the Company made no illegal external guarantees.IV. The Board of Directors’ Statement on the Most Recent Non-Standard Audit Report
□ Applicable □ Not Applicable
83Sungrow Power Supply Co. Ltd.
V. Statement of the Board of Directors the Board of Supervisors and Independent Directors
(if any) on the Non-Standard Audit Report Issued by the Accounting Firm in the Reporting
Period
□ Applicable □ Not Applicable
VI. The Board of Directors’ Statement on the Changes in Accounting Policies and Accounting
Estimates and the Corrections to Significant Accounting Errors in the Reporting Period
□ Applicable □ Not Applicable
1. Implementation of the provisions on “Accounting Treatment for External Sale of Products or By-products Produced beforeEnterprise’s Fixed Assets Reaching Intended Usable State or during Research and Development” and “Judgment of Loss Contracts”
in the No. 15 Interpretation of Accounting Standards for Business Enterprises
On December 30 2021 the Ministry of Finance issued the No. 15 Interpretation of Accounting Standards for Business Enterprises(MOF-Acc-[2021] No. 35) (hereinafter referred to as the Interpretation No. 15) in which the provisions on “Accounting Treatmentfor External Sale of Products or By-products Produced before Enterprise’s Fixed Assets Reaching Intended Usable State or duringResearch and Development” and “Judgment of Loss Contracts” came into force as of January 1 2022. Implementing the relevant
provisions of Interpretation No. 15 had no impact on the Company's financial statements for the reporting period.
2. Implementation the No. 16 Interpretation of Accounting Standards for Business Enterprises
On November 30 2022 the Ministry of Finance issued the No. 16 Interpretation of Accounting Standards for Business Enterprises(MOF-Acc-[2022] No. 31) (hereinafter referred to as the Interpretation No. 16) in which the provisions on “Accounting Treatmentfor the Income Tax Impact on Dividends related to Financial Instruments Classified as Equity Instruments by the Issuer” and
“Accounting Treatment for Enterprises’ Switch from Cash Settled Stock Payments to Equity Settled Stock Payments” came into
force on the date of issuance. Implementing the relevant provisions of Interpretation No. 16 had no impact on the Company's
financial statements for the reporting period.VII. Changes in the Scope of Consolidated Statements as Compared to the Financial Reports
of the Previous Year
□ Applicable □ Not Applicable
1. Newly established subsidiaries
In this period the Company newly established 11 wholly-owned subsidiaries namely Hefei Sungrow Zhiyuan Technology Co. Ltd.Binzhou Binyang Power Supply Co. Ltd. Liaoning Xinyang Power Supply Co. Ltd. Ordos Xuyang Power Supply Co. Ltd.Sungrow Power Supply (Sanya) Co. Ltd. Bozhou Daoyang Power Supply Technology Co. Ltd. Liaoning Huiyang Power Supply
Co. Ltd. Gansu Renyang Power Supply Co. Ltd. Ordos Zhunyang Power Supply Co. Ltd. Yan'an Anyang Green Energy Power
Supply Co. Ltd. and Dingyuan Renyang Power Supply Technology Co. Ltd.; the Company’s holding subsidiary Sungrow
Renewables Development Co. Ltd. newly established 214 subsidiaries for power station projects; other holding subsidiaries of the
Company newly established 8 subsidiaries; none of the subsidiaries newly established in this period is an important one.
2. Consolidated project companies in this period
In this period the Company’s holding subsidiary Sungrow Renewables Development Co. Ltd. acquired 8 overseas project
companies for the purpose of developing power station business. None of the project companies newly included in the scope of
84Sungrow Power Supply Co. Ltd.
consolidated statements for this period is an important one.
3. Cancellation of subsidiaries
According to the Company's business needs in this period the Company cancelled 1 subsidiary Hefei Sungrow Floating Modules
Co. Ltd.; the Company’s holding subsidiary Sungrow Renewables Development Co. Ltd. cancelled 112 subsidiaries that were not
in actual business; other holding subsidiaries of the Company cancelled 6 subsidiaries that were not in actual business.
4. Transfer of new energy project companies
According to the Company's business needs the Company’s holding subsidiary Sungrow Renewables Development Co. Ltd.transferred 136 new energy project companies in this period all of which were set up and transferred for the implementation of
projects.VIII. Engagement and Disengagement of Accounting Firms
Accounting firm currently engaged
Name of accounting firm in China RSM China (Special General Partnership)
Compensation for accounting firm in China (CNY 10K) 206 (tax-inclusive)
Years of continuous auditing service provided by the accounting firm in China 16
Name of CPAs of the accounting firm in China Wan Yunlong Jiang Wei Pan Lili
Years of continuous auditing service provided by the CPAs of the firm 3 years 3 years 1 year
Whether to replace the accounting firm or not
□ Yes □ No
Engagement of internal control auditing/accounting firms financial advisors or sponsors
□ Applicable □ Not Applicable
IX. Statement on Delisting after the Disclosure of Annual Report
□ Applicable □ Not Applicable
X. Matters Related to Bankruptcy Reorganization
□ Applicable □ Not Applicable
No bankruptcy reorganization related matters happened to the Company in the reporting period.XI. Major Litigations and Arbitrations
□ Applicable □ Not Applicable
Date of Disclosure: September 5 2019
Announcement No.: 2019-057
Disclosed at: www.cninfo.com.cn
http://www.cninfo.com.cn/new/disclosure/detail?plate=szse&orgId=9900021300&stockCode=300274&announcementId=120690379
85Sungrow Power Supply Co. Ltd.
2&announcementTime=2019-09-05%2015:52
86Sungrow Power Supply Co. Ltd.
Plaintiff or Defendant or Basic information of litigation (arbitration) Amount An Progress of Result and Execution of litigation Case
Applicant Respondent involved estimated litigation impacts of (arbitration) judgment Closed
(in CNY liability (arbitration) litigation Y/N
10K) Y/N (arbitration)
Enforcement was
terminated by the People’s
Court of Hefei High-Tech
Industrial Development
Zone because the
defendant had no property
available for enforcement.Jingjiang Our bankruptcy liquidation
Changrunfenghe application
Judgment made
New Energy (2022-JS-1282-BLA-38)
A case was filed against the customer by the People’s
Technology Co. has been accepted by the
because they failed to make the payment as Court of Hefei
Sungrow Power Ltd. In bankruptcy People's Court of Jingjiang
agreed in the contract. We applied for 141.15 No High-Tech No
Supply Co. Ltd. Changzhou proceedings City our rights as a
enforcement to the court and the case is Industrial
Fenghe creditor has been declared
under enforcement at the moment. Development
Photoelectric and confirmed. Currently
Zone
Technology Co. Jiangsu Shenque Law
Ltd Firm the bankruptcy
administrator is
proceeding with
bankruptcy liquidation we
will receive corresponding
repayment in proportion to
the asset situation in the
future.
87Sungrow Power Supply Co. Ltd.
Enforcement was
terminated by the People’s
Court of Hefei High-Tech
Judgment made Industrial Development
by the People's Zone because the
A case was filed against the customer
Court of Hefei defendant had no property
because they failed to make the payment as
Guangdong High-Tech available for enforcement.agreed in the contract. The two parties
Shengpa New Industrial Our bankruptcy liquidation
Sungrow Power reached a mediation in the second instance In
Energy 134.44 No Development application No
Supply Co. Ltd. but the defendant failed to perform as per enforcement
Development Zone and (2022-GD-13-BLA-46)
the mediation. Therefore we applied for
Co. Ltd. mediated at the was rejected by the Interim
enforcement to the court and the case is
Intermediate People's Court of Huizhou
under enforcement at the moment.People's Court City. We have appealed to
of Hefei City the Higher People's Court
of Guangdong Province
and the case is currently
under trial.We were not effectively
repaid after judgment was
made by the Intermediate
The customer is a subsidiary of Zhejiang
Judgment made People's Court of
Dunan Group. Affected by the overall
Inner Mongolia by the Hangzhou City. On
operation of Dunan Group the customer
Sungrow Power Geoho Energy In bankruptcy Intermediate February 4 2021 the
failed to pay as agreed in the contract. 1856.40 Yes No
Supply Co. Ltd. Equipment Co. proceedings People’s Court Intermediate People's
Although a lawsuit was brought to the
Ltd. of Hangzhou Court of Ordos City in
court they failed to perform; therefore we
City Inner Mongolia issued a
applied for enforcement.ruling
(2021-IM-0602-BLA-1) on
the Company’s bankruptcy
88Sungrow Power Supply Co. Ltd.
and liquidation and we
have declared creditors'
claims to the administrator.So far the first creditors'
meeting has been held the
administrator is working
on the checking sorting
and resale of the
company's assets.We were not effectively
repaid after judgment was
made by the Intermediate
People's Court of
Hangzhou City. On
February 4 2021 the
Intermediate People's
Judgment made Court of Ordos City in
Inner Mongolia by the Inner Mongolia issued a
Sungrow Power Geoho Energy In bankruptcy Intermediate ruling
Same as above 448.85 Yes No
Supply Co. Ltd. Equipment Co. proceedings People’s Court (2021-IM-0602-BLA-1) on
Ltd. of Hangzhou the Company’s bankruptcy
City and liquidation and we
have declared creditors'
claims to the administrator.So far the first creditors'
meeting has been held the
administrator is working
on the checking sorting
and resale of the
89Sungrow Power Supply Co. Ltd.
company's assets.We were not effectively
repaid after judgment was
made by the Intermediate
People's Court of
Hangzhou City. On
February 4 2021 the
Intermediate People's
Court of Ordos City in
Judgment made
Inner Mongolia issued a
Inner Mongolia by the
ruling
Sungrow Power Geoho Energy In bankruptcy Intermediate
Same as above 562.15 Yes (2021-IM-0602-BLA-1) on No
Supply Co. Ltd. Equipment Co. proceedings People’s Court
the Company’s bankruptcy
Ltd. of Hangzhou
and liquidation and we
City
have declared creditors'
claims to the administrator.So far the first creditors'
meeting has been held the
administrator is working
on the checking sorting
and resale of the
company's assets.Wuhan Suotai Judgment made Enforcement was
Green Energy A case was filed against the customer by the People’s terminated by the People’s
Environmental because they failed to make the payment as Court of Hefei Court of Hefei High-Tech
Sungrow Power In
Technology Co. agreed in the contract. We brought a 103.11 No High-Tech Industrial Development No
Supply Co. Ltd. enforcement
Ltd. lawsuit to the court and the case is under Industrial Zone because the
Wuhan Suotai enforcement at the moment. Development defendant had no property
Energy Group Zone available for enforcement.
90Sungrow Power Supply Co. Ltd.
Co. Ltd. After we filed the
bankruptcy liquidation
application at the
Intermediate People's
Court of Wuhan City on
May 28 2022 the
company provided its
accounts receivable claims
to a third party. Based on
the information we had
the accounts receivable
claims to third party
frozen. Currently the
claims have not matured
and will be paid as
conditions allow.Enforcement was
terminated by the People’s
Court of Hefei High-Tech
Industrial Development
A case was filed at the court because the Judgment made
Zone because the
Jiangsu FGY customer failed to make the payment as by the People’s
Sungrow-Samsung defendant had no property
Energy Storage agreed in the contract. Customer was Court of Hefei
SDI Energy In bankruptcy available for enforcement.Technology requested to pay CNY 222000 for the 28.16 Yes High-Tech No
Storage Power proceedings On March 29 2021 other
Research purchase together with overdue interests. Industrial
Supply Co. Ltd. creditors applied for
Institute Co. Ltd. Judgment has been made and enforcement Development
bankruptcy liquidation of
in progress. Zone
the company; however the
bankruptcy reorganization
failed. On July 2 2022 the
People's Court of
91Sungrow Power Supply Co. Ltd.
Zhenjiang Economic
Development Zone ruled
bankruptcy liquidation of
the Company
(2021-JS-1191-BLA-3).We
have declared creditor's
rights to the administrator
and is currently waiting for
the administrator’s further
advice.Enforcement was
terminated by the People’s
Court of Hefei High-Tech
Industrial Development
Zone because the
Judgment made
defendant had no property
by the People’s
A case was filed at the court because the available for enforcement.Shandong Yuhui Court of Hefei
Sungrow Power customer failed to make the payment as In In June 2022 we filed a
New Energy Co. 36.06 No High-Tech No
Supply Co. Ltd. agreed in the contract. Judgment has been enforcement bankruptcy liquidation
Ltd. Industrial
made and enforcement in progress. application for the
Development
company at the People's
Zone
Court of Lanshan District
Linyi City and the
application materials are
currently being reviewed
by the court.Judgment made
Hefei Sanchuan A case was filed at the court because the Enforcement was
Sungrow Power In bankruptcy by the People’s
Automatic customer failed to make the payment as 148.06 No terminated by the People’s No
Supply Co. Ltd. proceedings Court of Hefei
Control agreed in the contract. After the judgment Court of Hefei High-Tech
High-Tech
92Sungrow Power Supply Co. Ltd.
Engineering Co. was made we applied for enforcement Industrial Industrial Development
Ltd. Development Zone because the
Zone defendant had no property
available for enforcement.Our bankruptcy liquidation
application
(2022-AH-8601-BLA-15)
has been accepted by the
Railway Transportation
Primary Court of Hefei. So
far the first creditors'
meeting has been held the
administrator is sorting the
company's assets.Enforcement was
terminated by the People’s
Court of Hefei High-Tech
Industrial Development
Judgment made Zone because the
by the People’s defendant had no property
Huaxia Juguang A case was filed at the court because the
Court of Hefei available for enforcement.Sungrow Power (Inner Mongolia) customer failed to make the payment as In
249.82 No High-Tech After we filed the 否
Supply Co. Ltd. PV Power Co. agreed in the contract. After the judgment enforcement
Industrial bankruptcy liquidation
Ltd. was made we applied for enforcement
Development application at the
Zone Intermediate People's
Court of Hohohot City on
May 28 2022 the
company provided its
accounts receivable claims
93Sungrow Power Supply Co. Ltd.
to a third party. Based on
the information we had
the accounts receivable
claims to third party
frozen. Currently the
claims have not matured
and will be paid as
conditions allow.Enforcement in process.Application has been filed
Judgment made
to the court to list the
Kelin by the People’s
A case was filed at the court because the respondent as a defaulter
Environmental Court of Hefei
Sungrow Power customer failed to make the payment as In and limit his/her high-end
Protection 182.77 No High-Tech No
Supply Co. Ltd. agreed in the contract. After the judgment enforcement consumption. The
Equipment Co. Industrial
was made we applied for enforcement Company is actively
Ltd. Development
pursuing clues of
Zone
respondent’s property at
the moment.Huainan Haifeng Enforcement in process.Plastic Products Application has been filed
Co. Ltd. Mediated at the to the court to list the
People’s Court respondent as a defaulter
Huainan Sungrow A case was filed at the court because the
of Hefei and limit his/her high-end
Floating Module customer failed to make the payment as In
1092.58 No High-Tech consumption. The payment No
Sci. & Tech. Co. agreed in the contract. After the judgment enforcement
Industrial has been partially
Ltd. was made we applied for enforcement
Development recovered from the
Zone enforcement and the
Company is actively
pursuing clues of
94Sungrow Power Supply Co. Ltd.
respondent’s property at
the moment in order to
recover the outstanding
Sichuan A case was filed at the court because the Enforcement was
Yuanzhongyuan customer failed to make the payment as terminated by the People’s
Electric Power agreed in the contract. After the judgment Court of Hefei High-Tech
Engineering was made we applied for enforcement Industrial Development
Judgment made
Design Co. Ltd. Zone because the
by the People’s
defendant had no property
Court of Hefei
Sungrow Power In available for enforcement.
94.65 No High-Tech No
Supply Co. Ltd. enforcement We have filed a
Industrial
bankruptcy liquidation
Development
application at the People's
Zone
Court of Wuhou District
Chengdu City on July 25
2022 and are currently
waiting for the court result.Qinghai Zhuma A case was filed at the court because the
Sapphire Crystal defendant Qinghai Zhuma refused to Application for Qinghai Zhuma Sapphire
Co. Ltd. refund the bid security. We requested court Crystal Co. Ltd. and He
Qinghai Zhuma and the guarantor He enforcement Kangyu were listed as
Sungrow Power In
Kangyu to assume the repayment 355.57 No filed at the defaulters by the court. No No
Supply Co. Ltd. enforcement
obligations. After the case came into effect People's Court money or assets have been
we applied for enforcement to the court of Hefei collected from the
and the enforcement is in process at the High-Tech Zone execution.moment.
95Sungrow Power Supply Co. Ltd.
XII. Punishments and Rectification
□ Applicable □ Not Applicable
The Company was subject to no punishment or rectification in the reporting period.XIII. Integrity of the Company its Controlling Shareholder and Actual Controller
□ Applicable □ Not Applicable
XIV. Significant Related-Party Transactions
1. Related-party transactions involving daily operations
□ Applicable □ Not Applicable
Related-par Relation Type of Content of Pricing Transactio Amount of In Transactio Exceedin Settleme Market Date of Disclosure
ty transaction transaction principles n price related-part percentage n limit g the nt of price disclosur index
for y of the approved approved transactio available e
transactio transaction amount of (in CNY limit Y/N n for similar
ns (in CNY similar 10K) transactio
10K) transactio ns
ns
EnerTrack EnerTrack Purchase Brackets Market Market 10679.39 11.94% 25000 N Wire Not Apr. 20 Apr. 20 2022
Technology is the from price-base price transfer applicable 2022 Announceme
Co. Ltd. holding related-part d bank nt No.:
(EnerTrack) subsidiary y transfer 2022-015
of Hefei
Sell to Technical Market Market 31.47 100.00% Wire Not
Renchuang
related-part services & price-base price transfer applicable
Phase II
y raw d bank
Equity
materials transfer
Partnership
(Limited
Partnership
) and Mr.Cao
96Sungrow Power Supply Co. Ltd.
Renxian
the
Chairman
is a limited
partner of
Hefei
Renchuang
Phase II
Equity
Partnership
(Limited
Partnership
)
Sunpure EnerTrack Purchase Intelligent Market Market 172.42 61.70% 1050 N Wire Not Aug. 27 Aug. 27
Intelligent is the from operation price-base price transfer applicable 2022 2022
Technology holding related-part & d bank Announceme
Co. Ltd. subsidiary y maintenan transfer nt No.:
(Sunpure) of Hefei ce system 2022-074
Renchuang
Sell to Intelligent Market Market 1337.63 8.46% 3476 N Wire Not Apr. 20 Apr. 20 2022
Phase II
related-part cleaning price-base price transfer applicable 2022 Announceme
Equity
y robots & d bank nt No.:
Partnership
raw transfer 2022-015
(Limited
materials
Partnership
) and Mr. Lease from Houses Market Market 24.82 100.00% N Wire Not
Cao related-part price-base price transfer applicable
Renxian y d bank
the transfer
Chairman
is a limited
partner of
Hefei
Renchuang
Phase II
Equity
Partnership
(Limited
Partnership
97Sungrow Power Supply Co. Ltd.
)
Details of large sales returns Not applicable
Actual performance of daily related-party transactions There is a difference between the actual amount of daily related-party transactions and the expected amount in 2022. This is mainly
in the reporting period (if any) for which the total because the expected amount of daily related-party transactions in 2022 is calculated based on the upper limit of possible transactions
amount is estimated by category according to business needs and market demand while the actual amount is determined according to the specific performance
progress of both parties which is subject to a certain extent of uncertainty. Related-party transactions of the Company follow the
principles of fairness justice and reasonableness and the prices of which are determined through consultation with reference to the
market price with no damage to the interests of the Company and shareholders.Reasons for significant differences between transaction
Not applicable
prices and market prices (if applicable)
2. Related-party transactions arising from the acquisition or sale of assets or equity
□ Applicable □ Not Applicable
The Company did not make any related-party transactions arising from the acquisition or sale of assets or equity in the reporting period.
3. Related-party transactions of joint outbound investment
□ Applicable □ Not Applicable
Registered
Total assets of Net assets of Net profit of
capital of
Co-Investors Relationship Name of investee Main business of investee investee investee investee
investee
(in CNY 10K) (in CNY 10K) (in CNY 10K)
(in CNY 10K)
Cao Renxian Hefei Renfa Xinneng Engaging in equity
Mr. Cao Renxian the Hefei Sungrow Renfa
Investment Fund Management Co. investment investment
controlling shareholder Carbon Neutrality
Ltd. Anhui Railway Development management asset
is currently the Chairman Investment Management 102000 34090.29 34065.34 -104.66
Fund Co. Ltd. Hefei Quality management and other
and President of the Center (Limited
Development Guidance Fund Co. activities with private equity
company Partnership)
Ltd. Hefei Zhegu Energy funds
98Sungrow Power Supply Co. Ltd.
Conservation Industry
Development Partnership (Limited
Partnership) Shanghai Yihe
Hanyang New Materials Co. Ltd.Anhui Provincial Enterprises
Reform and Development Fund
Partnership (Limited Partnership)
Jiaxing Jun'an Equity Investment
Partnership (Limited Partnership)
Hefei Mingyang Enterprise
Management Partnership (Limited
Partnership) Anhui SME
Development Fund Co. Ltd.Status of major construction-in-progress of the investee (if
Not applicable
any)
4. Related Credits and Liabilities
□ Applicable □ Not Applicable
There were no related credits and liabilities in the reporting period.
5. Transactions with Related Financial Companies
□ Applicable □ Not Applicable
There was no saving loan credit or other financial business between the Company and related financial companies or related parties.
6. Transactions Between Financial Companies Controlled by the Company and Related Parties
□ Applicable □ Not Applicable
99Sungrow Power Supply Co. Ltd.
There was no saving loan credit or other financial business between financial companies controlled by the Company and related parties.
7. Other Significant Related-Party Transactions
□ Applicable □ Not Applicable
There were no other significant related-party transactions in the reporting period.XV. Major Contracts and the Contract Performance
1. Trusteeship Contracting and Leasing
(1) Trusteeship
□ Applicable □ Not Applicable
There was no trusteeship in the reporting period.
(2) Contracting
□ Applicable □ Not Applicable
There was no contracting in the reporting period.
(3) Leasing
□ Applicable □ Not Applicable
There was no leasing in the reporting period.
2. Major Guarantees
□ Applicable □ Not Applicable
(in CNY 10K)
100Sungrow Power Supply Co. Ltd.
Outbound Guarantees of the Company and its Subsidiaries (Excl. Guarantees for Subsidiaries)
Date of Disclosure of
Actual Counter- Guarantee
Announcements Amount Actual Date of Type of Collateral (if Guarantee Fulfilled
Guarantee Object Amount of Guarantee for Related
Related to the Amount Guaranteed Guarantee Guarantee any) Period Y/N
Guarantee (if any) Party Y/N
Guaranteed
January 26 2018; May 80478.17 January 26 58467.00 Joint and From the date
Users of the Company's residential PV
18 2018; April 1 2021 2018 several of loan
products owners of industrial and
liability origination to No No
commercial distributed projects (loan
guarantee the date of
application from collaborating banks)
loan pay off
Residential PV users eligible for August 5 2021 50000.00 August 6 17811.00 Joint and From the date
financing 2021 several of loan
liability origination to No No
guarantee the date of
loan pay off
Hefei Zhongan Sungrow New Energy December 27 2018; 55807.46 December 27 55807.46 Joint and
Industry Investment Partnership (Limited April 1 2021 2018 several No more than
No No
Partnership) liability 10 years
guarantee
The Company’s Guarantee for Subsidiaries
Date of Disclosure of
Actual Counter- Guarantee
Announcements Amount Actual Date of Type of Collateral (if Guarantee Fulfilled
Guarantee Object Amount of Guarantee for Related
Related to the Amount Guaranteed Guarantee Guarantee any) Period Y/N
Guarantee (if any) Party Y/N
Guaranteed
Sungrow Power (Hong Kong) Co. Ltd. May 19 2020 14181.00 M ay 20 2020 3187.85 J oint and
No more than
several No No
3 years
liability
101Sungrow Power Supply Co. Ltd.
guarantee
Sungrow USA corporation Nov. 17 2020 71742.63 N ov. 20 2020 71742.63 J oint and
several No more than
No No
liability 2 years
guarantee
SUNGROW POWER UK LIMITED Apr. 16 2021 40075.14 Nov. 11 2021 40075.14 J oint and
several No more than
No No
liability 10 years
guarantee
Sungrow USA Corporation May 18 2021 115966.11 Feb. 17 2022 61736.75 Joint and
No later than
several
December No No
liability
312025
guarantee
Dec. 4 2021 54229.36 J oint and
No later than
several
December No No
liability
312026
guarantee
Sungrow Energy Storage Technology May 18 2021 500000.00 D ec. 31 2022 274896.81 J oint and
Co. Ltd. several No more than
No No
liability 2 years
guarantee
Lingbi Qingyang New Energy Power Jul. 24 2017; Apr. 1 17307.00 M ar. 15 2018 14914.00 J oint and
Generation Co. Ltd. 2021 several No more than
Yes No
liability 15 years
guarantee
Xiao County Yiguang New Energy Power Apr. 23 2018; Apr. 1 8052.00 J un. 26 2018 7041.00 J oint and
No more than
Generation Co. Ltd. 2021 several Yes No
15 years
liability
102Sungrow Power Supply Co. Ltd.
guarantee
Weishan Guoyang New Energy Power Nov. 22 2019; Apr. 1 27500.00 S ep. 28 2019 26500.00 J oint and
Generation Co. Ltd. 2021 several No more than
Yes No
liability 15 years
guarantee
Tuanfeng Shengyang New Energy Power Nov. 17 2020 55000.00 J un. 11 2021 49350.00 J oint and
Generation Co. Ltd. several No more than
Yes No
liability 15 years
guarantee
Shenmu Yuanhang New Energy Nov. 17 2020 12000.00 A pr. 17 2021 9166.00 J oint and
Development Co. Ltd. several No more than
Yes No
liability 15 years
guarantee
Sungrow Renewables Development Co. Nov. 17 2020 120000.00 J o int and
Ltd. several
No No
liability
guarantee
Sungrow Renewables Development Co. April 16 2021 150000.00 J o int and
Ltd. several
No No
liability
guarantee
Sungrow Renewables Development Co. May 18 2021 250000.00 M ay 31 2021 8714.42 Joint and
Ltd. several No more than
No No
liability 2 years
guarantee
Zongyang Chenyang New Energy Power May 18 2021 16200.00 Jun. 30 2021 15900.00 J oint and
No more than
Generation Co. Ltd. several Yes No
15 years
liability
103Sungrow Power Supply Co. Ltd.
guarantee
SUNGROW POWER (VIETNAM) Aug. 20 2021 21005.31 May 6 2022 4725.00 Joint and 2 years after
LIMITED COMPANY several the due date
liability of each
guarantee project
payment
No No
under the
main
contract that
is by the end
of 2024
Sungrow USA Corporation May 18 2022 Joint and
No later than
several
Aug. 10 2022 79487.91 December No No
liability
312027
guarantee
800000.00
Joint and
several No later than
Oct. 19 2022 134194.02 No No
liability July 13 2028
guarantee
Sungrow Australia Group PTY LTD May 18 2022 Joint and
several
75000.00 No No
liability
guarantee
Sungrow Japan K.K. May 18 2022 Joint and
several
5000.00 No No
liability
guarantee
104Sungrow Power Supply Co. Ltd.
Sungrow Power UK limited May 18 2022 Joint and
several No more than
32000.00 Jul. 14 2022 8517.92 No No
liability 10 years
guarantee
SUNGROW DO BRASIL May 18 2022 Joint and From the date
REPRESENTACAO COMERCIAL several of the Letter
INSTALACAO E MANUTENCAO DE Jun. 13 2022 6674.32 liability of guarantee Yes No
EQUIPAMENTOS LTDA guarantee to December
172022
Joint and When
several obligations
15000.00 liability are
guarantee completed or
five years
Sep. 29 2022 1454.83 No No
from the date
of the Letter
of guarantee
(whichever
comes first)
Sungrow Power Korea Limited May 18 2022 Joint and
several
3000.00 No No
liability
guarantee
Sungrow Floating Modules Technology May 18 2022 Joint and
Co. Ltd. several No more than
10000.00 Dec. 31 2022 221.00 No No
liability 2 years
guarantee
Hefei Sungrow Electric Power May 18 2022 10000.00 Joint and No No
105Sungrow Power Supply Co. Ltd.
Technology Co. Ltd. several
liability
guarantee
Sungrow Smart Operation Technology May 18 2022 Joint and
Co. Ltd. several
10000.00 No No
liability
guarantee
Subsidiary's Guarantee for Subsidiaries
Date of Disclosure of
Actual Counter- Guarantee
Announcements Amount Actual Date of Type of Collateral (if Guarantee Fulfilled
Guarantee Object Amount of Guarantee for Related
Related to the Amount Guaranteed Guarantee Guarantee any) Period Y/N
Guarantee (if any) Party Y/N
Guaranteed
General No more than
Sungrow USA Corporation Apr. 24 2020 15445.90 Apr. 25 2020 15445.90 No No
guarantee 5 years
SUNGROW DO BRASIL Joint and
REPRESENTACAO COMERCIAL several No more than
Mar. 31 2021 8449.79 Apr. 1 2021 8449.79 No No
INSTALACAO E MANUTENCAO DE liability 7 years
EQUIPAMENTOS LTDA guarantee
No later than
Five projects in Australia owned by General
Sep. 29 2021 9365.2 Sep. 30 2021 9365.2 December Yes No
Sungrow Investment & Holdings Pte. Ltd guarantee
312022
No more than
two years
General from the
Sungrow Power Australia Pty Ltd Dec. 1 2021 14714.05 Dec. 2 2021 14714.05 No No
guarantee effective date
of the Letter
of
106Sungrow Power Supply Co. Ltd.
Commitment
Joint and Five years
several from the date
Sungrow Ibérica S.A.U. Dec. 1 2021 3309.16 Dec. 2 2021 3309.16 No No
liability of the Letter
guarantee of Guarantee
Joint and Five years
several from the date
Sungrow Ibérica S.A.U. Jul. 1 2022 26459.68 Jul. 2 2021 26459.68 No No
liability of the Letter
guarantee of Guarantee
Joint and
SUNGROW RENEWABLE ENERGY several
Dec. 2 2022 160000.00 No No
INVESTMENT PTE.LTD liability
guarantee
Dec. 2 2022 joint and
SUNGROW POWER (VIETNAM) several No more than
35000.00 Dec. 2 2022 1412.24
COMPANY LIMITED liability 1 year
guarantee
Dec. 2 2022 Joint and
several
SUNGROW QURYLYS LLP 35000.00
liability
guarantee
Dec. 2 2022 Joint and
SUNGROW POWER AUSTRALIA PTY several
30000.00
LTD liability
guarantee
Dec. 2 2022 Joint and
SUNGROW RENEWABLE ENERGY
15000.00 several No No
SPAIN S.L.liability
107Sungrow Power Supply Co. Ltd.
guarantee
Dec. 2 2022 Joint and
Xuancheng Heyang New Energy Co. several
5000.00 No No
Ltd. liability
guarantee
Dec. 2 2022 Joint and
Anhui Sungrow Supply Chain several No more than
300000.00 Dec. 2 2022 9382.10 No No
Management Co. Ltd. liability 1 year
guarantee
Dec. 2 2022 Joint and
SUNGROW POWER several
25000.00 No No
CONSTRUCCIONES SPA liability
guarantee
3. Cash Assets Management Entrusted to Others
(1) Entrusted financial management
□ Applicable □ Not Applicable
Overview of entrusted financial management in the reporting period
(in CNY 10K)
Source of funds for entrusted Amount of entrusted Impairment provision for overdue
Type Undue balance Overdue amount to be collected
financial management financial management amount to be collected
Financial products issued by banks Funds raised 499000.00 109000.00 0 0
Financial products issued by banks Funds owned by the Company 968000.00 20000.00 0 0
Financial products issued by Funds owned by the Company 1000.00
00
securities traders
108Sungrow Power Supply Co. Ltd.
Total 1467000.00 130000.00 0 0
Details of high-risk entrusted financial management with large amount low security or low flowability
□ Applicable □ Not Applicable
Expected inability to recover the principal of entrusted financial management or other circumstances that may lead to impairment
□ Applicable □ Not Applicable
(2) Entrusted loans
□ Applicable □ Not Applicable
There were no entrusted loans in the reporting period.
4. Other major contracts
□ Applicable □ Not Applicable
There were no other major contracts in the reporting period.XVI. Explanation on Other Significant Matters
□ Applicable □ Not Applicable
There were no other significant matters to be explained in the reporting period.XVII. Significant Matters of the Company's Subsidiaries
□ Applicable □ Not Applicable
109Sungrow Power Supply Co. Ltd.
Section VII Changes in Shares and Information about Shareholders
I. Changes in Share Capital
1. Changes in Shares
(in Shares)
Before the change Changes in the period (+ -) After the change
Capitalized from
Quantity Percentage New issuance Bonus Others Sub-total Quantity Percentage
common reserve
I. Shares subject to conditional restriction(s) 389073583 26.20% -33105267 -33105267 355968316 23.97%
1. Shares held by state-owned corporation 1171875 0.08% -1171875 -1171875
2. Shares held by other domestic shareholders 373287761 25.13% -17319445 -17319445 355968316 23.97%
Incl. shares held by domestic enterprise 9585937 0.65% -9585937 -9585937
Shares held by domestic natural person 363701824 24.49% -7733508 -7733508 355968316 23.97%
3. Shares held by foreign capital 14613947 0.98% -14613947 -14613947
Incl. shares held by overseas enterprise 14613947 0.98% -14613947 -14613947
II. Shares subject to no restrictions 1096142401 73.80% 33080267 33080267 1129222668 76.03%
1. A-shares 1096142401 73.80% 33080267 33080267 1129222668 76.03%
III. Total 1485215984 100.00% -25000.00 -25000.00 1485190984 100.00%
Reasons for share changes
□ Applicable □ Not Applicable
1. On April 20 2022 the Company made the Suggestive Announcement on Unlocking and Circulating Restricted Shares Issued to Specific Objects. According to the Announcement the
110Sungrow Power Supply Co. Ltd.
transfer restriction period for a total of 28418634 non-public A-shares issued to 18 specific objects in 2021 expired the corresponding shares were listed for circulation as of April 22
2022.
2. On April 29 2022 the Company made the Suggestive Announcement on Unlocking and Circulating Stage III Restricted Shares from the First Grant of the 2018 Restricted Stock Incentive
Plan. Subject to the approval of the fourteenth meeting of the fourth Board of Directors unlocking conditions for stage III restricted shares from the first grant of the 2018 Restricted Stock
Incentive Plan had been achieved a total of 1468938 restricted shares were unlocked and listed for circulation as of May 6 2022.
3. On September 1 2022 the Company made the Suggestive Announcement on Unlocking and Circulating Stage II Restricted Shares from the Reserved Part of the 2018 Restricted Stock
Incentive Plan. Subject to the approval of the nineteenth meeting of the fourth Board of Directors unlocking conditions for stage II restricted shares from the reserved part of the 2018
Restricted Stock Incentive Plan had been achieved a total of 615000 restricted shares were unlocked and listed for circulation as of September 5 2022.
4. On the first trading day of 2022 the statutory amount of transferable shares in 2022 held by the Company’s directors supervisors and executives were calculated as 25% of total shares
registered to each of them on the last trading day of 2021. On the same day Shenzhen Branch of China Securities Depository and Clearing Corporation Limited unlocked the tradable
shares held by the Company’s directors supervisors and executives that are subject to no transfer restrictions within the current year's transferable amount.
5. On April 19 2022 the Company held the fourteenth meeting of the fourth Board of Directors and the thirteenth meeting of the fourth Board of Supervisors at which the Proposal on the
Buyback and Cancellation of Some Restricted Shares was reviewed and approved. Since Han Zhiyuan one of the Company’s original incentive objects resigned according to the relevant
provisions of the Company's equity incentive plan all the restricted shares that were granted to the aforementioned personnel but not unlocked should be bought back and cancelled by the
Company with the total buyback quantity amounting to 25000 shares. The Company completed the buyback and cancellation at the Shenzhen Branch of China Securities Depository and
Clearing Corporation Limited on July 18 2022 and the Company’s total share capital changed from 1485215984 shares to 1485190984 shares.Approvals for share changes
□ Applicable □ Not Applicable
Refer to “Reasons for share changes”.Share transfers
□ Applicable □ Not Applicable
Refer to “Reasons for share changes”.The impact of changes in shares on financial indicators such as basic earnings per share diluted earnings per share net assets per share attributable to common shareholders in the last year and
the last period
□ Applicable □ Not Applicable
Other contents the Company considers necessary or required by the securities regulatory authorities to disclose
□ Applicable □ Not Applicable
111Sungrow Power Supply Co. Ltd.
2. Changes in Restricted Shares
□ Applicable □ Not Applicable
(in Shares)
Opening Increased in Unlocked in Closing
Shareholder Reason for restriction Time of unlocking
restricted shares current period current period restricted shares
Cao Renxian Lock-up of executives’ shares 25% of lock-up shares at the end of last
338256000338256000
year is released every year
Zheng Guibiao Lock-up of executives’ shares 25% of lock-up shares at the end of last
98072701200009450008982270
year is released every year
Zhao Wei Lock-up of executives’ shares 25% of lock-up shares at the end of last
60570001200008700005307000
year is released every year
Li Guojun Lock-up of executives’ shares Holder has resigned for more than 6
although holder has resigned as an months in the reporting period; 75% of
111000080000290000900000
executive prior to the expiration of the shares in holder's possession remain
term of office locked
Gu Yilei Lock-up of executives’ shares 25% of lock-up shares at the end of last
450000120000232500337500
year is released every year
Zhang Xucheng Lock-up of executives’ shares 25% of lock-up shares at the end of last
15000037500112500
year is released every year
Chen Zhiqiang Lock-up of executives’ shares 25% of lock-up shares at the end of last
375000120000213750281250
year is released every year
Wu Jiamao Lock-up of executives’ shares 25% of lock-up shares at the end of last
375000120000213750281250
year is released every year
Cheng Cheng Lock-up of executives’ shares Holder has resigned for more than 6
375000 120000 213750 281250 although holder has resigned as an months in the reporting period; 75% of
executive prior to the expiration of the shares in holder's possession remain
112Sungrow Power Supply Co. Ltd.
term of office locked
Xie Xiaoyong Lock-up of executives’ shares 25% of lock-up shares at the end of last
300000120000195000225000
year is released every year
Deng Dejun Lock-up of executives’ shares 25% of lock-up shares at the end of last
36967980000172420277259
year is released every year
Zhang Youquan Lock-up of executives’ shares 25% of lock-up shares at the end of last
225000120000176250168750
year is released every year
Li Shun Lock-up of executives’ shares 25% of lock-up shares at the end of last
1875018750
year is released every year
Peng Chaocai Lock-up of executives’ shares 25% of lock-up shares at the end of last
78750600007968859062
year is released every year
Zhou Yanfeng Lock-up of executives’ shares 25% of lock-up shares at the end of last
although holder has resigned as an year is released every year
559500119025440475
executive prior to the expiration of the
term of office
Other incentive objects 2148000 2108000 40000 Equity incentive restriction September 2022
Shanghai Greenwoods Asset Non-public offering of shares with a
Management Co. Ltd. - Greenwoods commitment to lock for 6 months
937500 937500 Apr. 22 2022
Jingtai Fenshou Private Securities
Investment Fund
Shanghai Greenwoods Asset Non-public offering of shares with a
Management Co. Ltd. - Fengshou No. 3 937500 937500 commitment to lock for 6 months Apr. 22 2022
Private Equity Fund
Huatai Financial Holdings (Hong Kong) Non-public offering of shares with a
937500 937500 Apr. 22 2022
Limited commitment to lock for 6 months
JPMorgan Chase Bank National 1171875 1171875 Non-public offering of shares with a Apr. 22 2022
113Sungrow Power Supply Co. Ltd.
Association commitment to lock for 6 months
Dajia Asset Management Co. Ltd. - Non-public offering of shares with a
Dajia Asset-ICBC-DaJia Asset-Blue commitment to lock for 6 months
1562500 1562500 Apr. 22 2022
Chip Selected No. 5 Collective Asset
Management Product
Yunnan Energy Investment Co. Ltd. Non-public offering of shares with a
1171875 1171875 Apr. 22 2022
commitment to lock for 6 months
Goldman Sachs & Co. LLC Non-public offering of shares with a
1234375 1234375 Apr. 22 2022
commitment to lock for 6 months
The Hongkong and Shanghai Banking Non-public offering of shares with a
937500 937500 Apr. 22 2022
Corporation Limited commitment to lock for 6 months
UBS AG Non-public offering of shares with a
6738948 6738948 Apr. 22 2022
commitment to lock for 6 months
J.P.Morgan Securities PLC Non-public offering of shares with a
1054687 1054687 Apr. 22 2022
commitment to lock for 6 months
Gao Jinhua Non-public offering of shares with a
1171875 1171875 Apr. 22 2022
commitment to lock for 6 months
Beijing XHTH Asset Management Non-public offering of shares with a
(Limited Partnership) - Xinhong commitment to lock for 6 months
937500 937500 Apr. 22 2022
Xinghong No. 2 Private Securities
Investment Fund
WT Asset Management Limited Non-public offering of shares with a
1562500 1562500 Apr. 22 2022
commitment to lock for 6 months
Runhui Investment Management Hong Non-public offering of shares with a
976562 976562 Apr. 22 2022
Kong Co. Ltd. commitment to lock for 6 months
Jinan Jiangshan Investment Partnership 1953125 1953125 Non-public offering of shares with a Apr. 22 2022
114Sungrow Power Supply Co. Ltd.
(Limited Partnership) commitment to lock for 6 months
Caitong Fund Management Co. Ltd. Non-public offering of shares with a
960937 960937 Apr. 22 2022
commitment to lock for 6 months
Zhong Ge Non-public offering of shares with a
1875000 1875000 Apr. 22 2022
commitment to lock for 6 months
Lord Abbett China Asset Management Non-public offering of shares with a
2296875 2296875 Apr. 22 2022
Co. Ltd. commitment to lock for 6 months
Total 389073583 1180000 34285267 355968316 -- --
II. Issuance and Listing of Securities
1. Securities (excl. preference shares) issued during the reporting period
□ Applicable □ Not Applicable
2. Changes in the Company’s total shares and shareholder structure and changes in the Company’s asset and liability structure
□ Applicable □ Not Applicable
On April 19 2022 the Company held the fourteenth meeting of the fourth Board of Directors and the thirteenth meeting of the fourth Board of Supervisors at which the Proposal on the
Buyback and Cancellation of Some Restricted Shares was reviewed and approved. Since Han Zhiyuan one of the Company’s original incentive objects resigned according to the relevant
provisions of the Company's equity incentive plan all the restricted shares that were granted to the aforementioned personnel but not unlocked should be bought back and cancelled by the
Company with the total buyback quantity amounting to 25000 shares. The Company completed the buyback and cancellation at the Shenzhen Branch of China Securities Depository and
Clearing Corporation Limited on July 18 2022 and the Company’s total share capital changed from 1485215984 shares to 1485190984 shares.
3. Existing employees’ shares
□ Applicable □ Not Applicable
115Sungrow Power Supply Co. Ltd.
III. Shareholders and Actual Controllers
1. Total number of shareholders and share holdings
(in Shares)
Total number of
Total number of
preference shareholders
ordinary shareholders Total number of preference
Total number of with restored voting Total number of
at the end of the shareholders with restored
ordinary shareholders rights at the end of the shareholders holding
136437 previous month 143001 voting rights at the end of 0 0 0
at the end of the previous month before special voting shares (if
before the disclosure the reporting period (if any)
reporting period the disclosure date of the any)
date of the annual (see Note 9)
annual report (if any)
report
(see Note 9)
Shareholders with a shareholding of over 5% or shareholdings of the top ten shareholders
Total shares held at Pledged marked or frozen
Changes in the Non-tradable Tradable shares
Name of shareholder Nature of shareholder Percentage the end of the
reporting period shares held held Share status Quantity
reporting period
Cao Renxian Domestic natural person 30.37% 451008000.00 338256000.00 112752000.00 Pledged 22800000.00
Hong Kong Securities Clearing Overseas legal person
10.17%151060230.00-11186643.00151060230.00
Company Limited
Hefei Huizhuo Equity Investment Domestic
Partnership (Limited Partnership) non-state-owned legal 3.55% 52687201.00 -2179000.00 52687201.00
person
Shanghai Pudong Development Other
Bank Co. Ltd. - GF High-End
0.85%12690710.00321661.0012690710.00
Manufacturing Equity Sponsored
Securities Investment Fund
116Sungrow Power Supply Co. Ltd.
Zheng Guibiao Domestic natural person 0.81% 11976360.00 8982270.00 2994090.00
Chinalink Asia Holdings Limited Overseas legal person 0.76% 11235305.00 -472000.00 11235305.00
China Construction Bank Other
Corporation - GF Technology
0.72%10715006.00-1443704.0010715006.00
Pioneer Hybrid Securities
Investment Fund
Bank of China Co. Ltd. - Other
Huatai-PineBridge CSI PV Industry
0.70%10381647.001659267.0010381647.00
Open-Ended Index Securities
Investment Fund
China Minsheng Bank Co. Ltd. - Other
GF Industry Selected Three-Year 0.63% 9422419.00 -572783.00 9422419.00
Hybrid Securities Investment Fund
CITIC Securities Co. Ltd. - Other
Tianhong CSI PV Industry Index 0.54% 8053609.00 -271288.00 8053609.00
Initiated Securities Investment Fund
Relations between the Mr. Cao Renxian the controlling shareholder and actual controller of the Company holds 10.44% equity of Hefei Huizhuo Equity Investment Partnership
above-mentioned shareholders or (Limited Partnership). Apart from the shareholders’ relations specified as above the Company is not aware of any other relations between shareholders and
actions in concert does not know whether they are persons acting in concert as stipulated in the Administrative Measures for the Acquisition of Listed Companies.Shares held by top 10 shareholders subject to no restrictions on trading
Unrestricted shares held at the end of the Share Details
Shareholder
reporting period Type Quantity
Hong Kong Securities Clearing Company Limited 151060230.00 A-share 151060230.00
Cao Renxian 112752000.00 A-share 112752000.00
Hefei Huizhuo Equity Investment Partnership (Limited
52687201.00 A-share 52687201.00
Partnership)
117Sungrow Power Supply Co. Ltd.
Shanghai Pudong Development Bank Co. Ltd. - GF
High-End Manufacturing Equity Sponsored Securities 12690710.00 A-share 12690710.00
Investment Fund
Chinalink Asia Holdings Limited 11235305.00 A-share 11235305.00
China Construction Bank Corporation - GF Technology
10715006.00 A-share 10715006.00
Pioneer Hybrid Securities Investment Fund
Bank of China Co. Ltd. - Huatai-PineBridge CSI PV
10381647.00 A-share 10381647.00
Industry Open-Ended Index Securities Investment Fund
China Minsheng Bank Co. Ltd. - GF Industry Selected
9422419.00 A-share 9422419.00
Three-Year Hybrid Securities Investment Fund
CITIC Securities Co. Ltd. - Tianhong CSI PV Industry
8053609.00 A-share 8053609.00
Index Initiated Securities Investment Fund
Industrial and Commercial Bank of China Limited - GF
Double Engine Upgraded Hybrid Securities Investment 7942999.00 A-share 7942999.00
Fund
Relations between top 10 shareholders of unrestricted Mr. Cao Renxian the controlling shareholder and actual controller of the Company holds 10.44% equity of Hefei Huizhuo Equity
circulating shares relations between top 10 shareholders of Investment Partnership (Limited Partnership). Apart from the shareholders’ relations specified as above the Company is not aware of
unrestricted circulating shares and top 10 shareholders or any other relations between shareholders and does not know whether they are persons acting in concert as stipulated in the
actions in concert Administrative Measures for the Acquisition of Listed Companies.Whether the Company has made arrangements for different voting rights
□ Applicable □ Not Applicable
Whether the top 10 shareholders of ordinary shares and the top 10 shareholders of ordinary shares subject to no trading restrictions made the buy-back transaction as agreed in the reporting
period
□ Yes □ No
The top 10 shareholders of ordinary shares and the top 10 shareholders of ordinary shares subject to no trading restrictions did not make the buy-back transaction as agreed in the reporting
period.
118Sungrow Power Supply Co. Ltd.
2. Controlling Shareholders of the Company
Nature of controlling shareholder: Natural person
Type of controlling shareholder: Natural person
Name of controlling shareholder Nationality In possession of right of abode in other countries
Cao Renxian Chinese No
Main occupation and title Mr. Cao Renxian has been the Chairman and President of the Company for the past 5 years
Domestic/overseas listed companies controlled/vested in the past 10 years Mr. Cao Renxian does not control other domestic/overseas listed companies
Changes of controlling shareholder during the reporting period
□ Applicable □ Not Applicable
The controlling shareholder of the Company did not change in the reporting period.
3. Actual Controllers and Persons Acting In Concert
Nature of actual controller: Domestic natural person
Type of actual controller: Natural person
Name of actual controller Relationship with actual controller Nationality In possession of right of abode in other countries
Cao Renxian Himself Chinese No
Main occupation and title Mr. Cao Renxian has been the Chairman and President of the Company for the past 5 years
Domestic/overseas listed companies controlled/vested in the past 10 years Mr. Cao Renxian does not control other domestic/overseas listed companies
Change of actual controller during the reporting period
□ Applicable □ Not Applicable
The actual controller of the Company did not change during the reporting period.Block diagram of the property rights and control relationship between the Company and the actual controller
119Sungrow Power Supply Co. Ltd.
中文英文
曹仁贤 Cao Renxian
通过配偶苏蕾 Via spouse Su Lei
合肥汇卓股份投资合伙企业（有限合伙）
Hefei Huizhuo Equity Investment Partnership (Limited
Partnership)
阳光电源股份有限公司 Sungrow Power Supply Co. Ltd.
120Sungrow Power Supply Co. Ltd.
The actual controller controls the Company through trust or other asset management methods
□ Applicable □ Not Applicable
4. The cumulative quantity of pledged shares of the Company’s controlling shareholder or the largest shareholder and its persons acting in concert
account for more than 80% of the Company’s shares held by them
□ Applicable □ Not Applicable
5. Other legal person shareholders holding more than 10% of the shares
□ Applicable □ Not Applicable
6. Share restrictions and reductions of controlling shareholder actual controller restructuring parties and other undertaking entities
□ Applicable □ Not Applicable
IV. Specific implementation of share buy-back during the reporting period
Progress of share buy-back
□ Applicable □ Not Applicable
Number of In percentage of the
In percentage of Planned amount
Disclosure time Number of shares to be Planned period shares target quantity
total share of buy-back Purpose of buy-back
of the plan bought-back of buy-back already involved in the equity
capital (in CNY 10000)
bought-back incentive plan (if any)
Used for the employee
0.3367%- May 13 2022 – stock ownership plan
May 14 2022 5000000 - 10000000 50000 - 100000 6485049
0.6733% May 12 2023 or equity incentive
plan
Progress of buy-back share reduction via centralized bidding
121Sungrow Power Supply Co. Ltd.
□ Applicable □ Not Applicable
122Sungrow Power Supply Co. Ltd.
Section VIII Preference shares
□ Applicable □ Not Applicable
No preference shares exist in the Company during the reporting period.
123Sungrow Power Supply Co. Ltd.
Section IX Bonds
□ Applicable □ Not Applicable
124Sungrow Power Supply Co. Ltd.
Section X Financial Reports
I. Audit Report
Type of Audit Opinion Standard unqualified opinion
Audit Report Signed on April 24 2023
Auditing Firm RSM China (Special General Partnership)
Audit Report Number RSM-AR [2023] No. 230Z0453
Name of CPAs Wan Yunlong Jiang Wei Pan Lili
Audit Report
I. Audit Opinion
We have audited the financial statements of Sungrow Power Supply Co. Ltd. (hereinafter referred to as Sungrow) including the
Consolidated Balance Sheet and Balance Sheet of Parent Company as at December 31 2022 the Consolidated Income Statement and
Income Statement of Parent Company in 2022 and the Consolidated Statement of Cash Flows and Statement of Cash Flows of
Parent Company Consolidated Statement of Changes in Equity and Statement of Changes in Equity of Parent Company as well as
Notes to the relevant financial statements.In our opinion the financial statements as attached were prepared in accordance with the Accounting Standards for Business
Enterprises in all material aspects which fairly reflect the consolidated financial position of Sungrow and the parent company as at
December 31 2022 as well as the consolidated operating results and cash flows of Sungrow and the parent company in 2022.II. Grounds for the Audit Opinion
The audit has been performed in accordance with the Auditing Standards for Certified Public Accountants of China. Our
responsibilities under these standards are further explained in the part CPA's Responsibilities for the Audit of Financial Statements in
the audit report. Abiding by the China Code of Ethics for Certified Public Accountants we have operated independently from
Sungrow and fulfilled other responsibilities in professional ethics. We believe that the audit evidence we obtained is sufficient and
appropriate to provide a ground for our audit opinion.III. Key Audit Matters
Key audit matters are those we consider to be the most important to the audit of financial statements of the current period based on
our professional judgment. Such matters are addressed in the context that the financial statements are audited as a whole with the
audit opinion issued. We do not express separate opinions on these matters.A. Recoverability of accounts receivable
1. Description of the matter
As stated in Notes “III. 10 Financial Instruments” and “V. 4 Accounts Receivable” the book value of accounts receivable in
Sungrow’s consolidated financial statements was CNY 13804 million of which bad debt provision was CNY 1367 million. The
Company determined the bad debt provision according to the recoverability of accounts receivable. To determine the book value of
the accounts receivable at the end of the period the Sungrow management team (hereinafter referred to as the Management) needs to
identify the items that have been impaired and the objective evidences evaluate the cash flows that are expected in the future and
determine their present value which involves the Management’s use of significant accounting estimates and judgments. Moreover
125Sungrow Power Supply Co. Ltd.
the recoverability of accounts receivable is vital to the financial statements; therefore we have identified the recoverability of
accounts receivable as a key audit matter.
2. Audit response
The procedures we performed mainly include the following:
(1) We evaluated and tested the rationality of design and operational effectiveness of Sungrow's credit policy and internal controls
related to accounts receivable management.
(2) We analyzed the rationality of accounting estimates for bad debt provision for Sungrow's accounts receivable including the
basis for determining the combination of accounts receivable and the judgment on separate bad debts provision.
(3) After considering the actual amount of bad debts of similar receivables and the situations in the past and in combination with
customer credit market condition and other factors we evaluated the appropriateness of approaches used by the Management
which divided receivables into several groups for impairment assessment. For receivables that had been accrued for bad debt
provision individually we verified the foundations used by the Management to evaluate the expected cash flow; for receivables
that had been accrued for bad debt provision according to the characteristics of credit risk combination we used expected credit
loss rate and aging analysis to test the rationality and accuracy of the Management's provision for bad debts.
(4) We evaluated the recoverability of accounts receivable in large amount with special attention paid to those with an aging of
more than one year and those covered in lawsuits filed by Sungrow (for selected samples). Through the investigation of
customer background operating status litigation situation and etc. we interviewed with lawyers and sales personnel inspected
the letters of confirmation and collections after the period in order to evaluate the rationality and adequacy of the
Management’s bad debts provision.B. Revenue recognition
1. Description of the matter
As stated in Notes “III. 26 Principles and Measurements for Revenue Recognition” and “V. 45 Operating Income and OperatingCosts” Sungrow recognized an operating income of CNY 40257 million. Since operating income is one of the Company's key
metrics there might be an inherent risk that the Management manipulate revenue recognition in order to achieve specific goals or
expectations; therefore we have identified revenue recognition as a key audit matter.
2. Audit response
The procedures we used mainly include the following:
(1) We evaluated and tested the design and operational effectiveness of internal controls related to Sungrow's revenue from product
sales and power station construction.
(2) We verified revenue growth and changes in gross profit in an analytic way.
(3) For revenue from product sales we inspected samples of sales contracts sales invoices logistics documents customer receipts
customs declarations and other relevant materials to evaluate the authenticity of revenue recognition; for sales revenue
recognized around the date of the balance sheet we ran cut-off test and verified supporting documents such as customer receipts
thereby evaluating the completeness of revenue recognition.
(4) For revenue from power station construction we compared and analyzed the actual total cost of the completed project samples
and the total contract cost estimated by the Management before project completion to evaluate the Management's experience
and capacity in making the accounting estimation; we inspected contracts of major construction projects to verify the total
contract revenue review key contract terms and confirm the correctness of contract revenue. For major contracts involving
power generation commitments we reviewed the basis for determining the power generation estimation and the accuracy of
126Sungrow Power Supply Co. Ltd.
revenue recognition. For the actual cost of major projects we checked the supporting documents such as contracts invoices
equipment receipts progress confirmation documents and analyzed the gross profit rate of the project thereby evaluating the
authenticity and accuracy of the actual cost accounting. We shortlisted several projects and visited the project sites to determine
whether the site status matched the progress recorded.C. Inventories
1. Description of the matter
As stated in Notes “III. 12 Inventories” and “V. 8 Inventories” as of December 31 2022 the book balance of inventories in
Sungrow’s consolidated financial statements is CNY 19684 million the inventory depreciation provision is CNY 624 million and
the book value of inventories is CNY 19060 million. In consideration that the inventory amount is huge and the determination of the
net realizable value of inventories involves significant management judgment we have identified inventories as a key audit matter.
2. Audit response
The procedures we used mainly include the following:
(1) We evaluated and tested the rationality of design and operational effectiveness of Sungrow's internal controls related to
inventory management.
(2) We supervised inventory counting in the field and inspected the quantity and status of inventories with special attention paid to
the ending inventory status and the identification of obsolete stocks. For inventories at customers’ premises we ran external
confirmations to verify the quantity.
(3) In combination with the audit of accounts payable and prepayments we ran external confirmations with major suppliers to
verify the purchase amount ending balance of current transactions etc.
(4) We analyzed inventory changes and conducted valuation tests on major inventories to verify the accuracy of carrying cost of
inventories.
(5) We obtained the Management’s spreadsheet for calculating inventory depreciation provision ran the inventory impairment test
and confirmation procedure checked and analyzed the rationality of the net realizable value and evaluated the accuracy of the
inventory depreciation reserve and resale.
(6) We conducted peer analysis of Sungrow’s inventory turnover rate and ratio of inventory depreciation provision to analyze
whether the Company's inventory depreciation significantly deviates from the average level of the peer industry.
(7) We evaluated the appropriateness of the Management's disclosure of inventories and notes in the financial statements.
IV. Other information
Sungrow’s management team is responsible for other information. Other information includes those covered in Sungrow's 2022
annual report but does not include the financial statements and our audit report.The audit opinion on financial statements does not cover other information nor do we make assurance conclusions on other
information in any form.As it relates to the audit of financial statements our responsibility is to read other information and identify whether there are material
inconsistence or errors between other information and the financial statements or the situation we learned during the audit.Based on what we have done if we are certain that material errors exist in other information we should report. In this case there is
nothing to be reported.V. Management’s and Governance’s Responsibilities for the Financial Statements
127Sungrow Power Supply Co. Ltd.
The Sungrow management team is responsible for preparing and presenting these financial statements fairly in accordance with the
Accounting Standards for Business Enterprises and for designing implementing and maintaining necessary internal controls so that
the financial statements are free from material misstatements due to fraud or error.When preparing the financial statements the management team is responsible for evaluating Sungrow’s ability to continue as a going
concern disclosing matters related to going concerns and applying going concern assumptions unless the management team is
arranging liquidation termination or options of no other realistic alternatives for Sungrow.Sungrow's governance team is responsible for overseeing Sungrow's financial reporting process.VI. CPA's Responsibilities for the Audit of the Financial Statements
Our objective is to obtain reasonable assurance on that the financial statements as a whole are free from material misstatement due to
fraud or error and to issue an auditor report containing our audit opinion. A reasonable assurance is a high level of assurance
however there is no assurance that an audit performed in accordance with Auditing Standards can always identify a material
misstatement in existence. Misstatements may result from fraud or error and are generally considered material if individually or in
aggregate the misstatements could be reasonably expected to influence the economic decisions made by users of the financial
statements based on the content of the financial statements.In the process of conducting the audit in accordance with Auditing Standards we exercise professional judgment and maintain
professional skepticism. At the same time we also perform the following:
1. Identify and evaluate the risk of material misstatement due to fraud or error design and implement auditing procedures to
address the risk and obtain sufficient and appropriate audit evidence as the grounds for our audit opinion. Since fraud may
involve collusion forgery intentional omission misrepresentation or override of internal controls the risk of failure to detect
material misstatements due to fraud is higher than the risk of failure to detect material misstatements due to error.
2. Understand the audit-related internal controls in order to design an appropriate auditing procedure.
3. Evaluate the appropriateness of accounting policies selected by the Management and the rationality of accounting estimates and
related disclosures.
4. Conclude on the appropriateness of the going concern assumptions used by the Management. Based on the audit evidence
obtained draw conclusions on whether there are significant uncertainties in matters or situations that are likely to impair
Sungrow's ability to continue as a going concern. Should the conclusions considered significant uncertainties we are required
by the auditing standards to remind users of the financial statements to the relevant disclosures in the financial statements; if the
disclosures were insufficient we should not issue our opinion as non-qualified. Our conclusions are based on information
available as of the date of the audit report. However matters or circumstances in the future may still cause Sungrow to cease to
operate as a going concern.
5. Evaluate the overall presentation structure and content of the financial statements and evaluate whether the financial statements
fairly reflect the relevant transactions and matters.
6. Obtain sufficient and appropriate audit evidence on the financial information of Sungrow’s entities or business activities so as
to issue an audit opinion on the financial statements. We are responsible for directing supervising and performing the group
audit and are solely responsible for the audit opinion we make.We communicate with the governance team on the planned scope schedule and significant audit findings of the audit including
internal control deficiencies of concern that we identified during our audit.We have also provided the governance team with a statement of compliance with professional ethical requirements related to
independence and communicated with them on all relationships and other matters that might be reasonably believed to affect our
128Sungrow Power Supply Co. Ltd.
independence together with the corresponding countermeasures.From the list of matters that we have communicated with the governance team we identify those of the most significance to the audit
of financial statements of the current period as the key audit matters. We describe these matters in our audit report unless public
disclosure of such matters is prohibited by laws or regulations or; in rare circumstances where the adverse consequences of
communicating a matter in the audit report would be reasonably expected to outweigh the benefits in the public interest we decide
not to communicate such a matter in the audit report.II. Financial Statements
All numbers in the financial statements are in CNY.
1. Consolidated Balance Sheet
Prepared by: Sungrow Power Supply Co. Ltd.December 31 2022
(in CNY)
Item December 31 2022 January 1 2022
Current Assets:
Cash and cash equivalents 11666601491.42 7790144016.01
Settlements Provision
Loans to banks and other financial institutions
Financial assets held for trading 1490493996.98 3812896788.98
Derivative financial assets
Notes receivable 1086866640.25 784339002.72
Accounts receivable 13804040262.60 8748141497.54
Financing receivables 1038041498.25 762715906.62
Prepayments 382891914.73 359819409.47
Insurance premium receivable
Due from reinsurers
Reinsurance contract reserves receivable
Other receivables 1171813634.65 946579893.54
Including: Interest receivable
Dividends receivable 27389502.93
Financial assets purchased under agreements to resell
Inventories 19060142584.88 10767519365.64
Contract assets 1291527303.40 1364393136.40
Assets classified as held for sale
129Sungrow Power Supply Co. Ltd.
Non-current assets due in one year 53713000.00 75528337.39
Other current assets 947593110.24 895355467.22
Total current assets 51993725437.40 36307432821.53
Non-current assets:
Loans and advances
Debt investment
Other debt investments
Long-term receivables 352460000.00 213044303.38
Long-term equity investments 228278242.43 115159366.42
Other equity instruments investments
Other non-current financial assets 303677642.96 40008527.59
Investment properties
Fixed assets 4543555993.02 4245993353.02
Construction in progress 1188671605.49 424310899.34
Productive biological assets
Oil and gas assets
Right-of-use asset 559699600.83 344386440.69
Intangible assets 340374616.37 174385023.72
Development expenditures
Goodwill
Long-term prepaid expenses 98761004.79 23696359.28
Deferred tax assets 1024759727.51 638432375.29
Other non-current assets 992247656.31 313281445.20
Total non-current assets 9632486089.71 6532698093.93
Total assets 61626211527.11 42840130915.46
Current liabilities:
Short-term borrowings 1422187421.05 1524580849.05
Borrowing from the central bank
Deposits and balances from banks and other financial
institutions
Financial liabilities held for trading 51919973.63
Derivative financial liabilities 1027953.77
Notes payable 12502200528.61 7939950795.46
Accounts payable 13423788672.62 9824886816.58
130Sungrow Power Supply Co. Ltd.
Receipts in advance
Contract liabilities 3788439560.39 1713946572.46
Financial assets sold under agreements to buy
Customer deposits and balances from banks and other
financial institutions
Customer brokerage deposits
Securities underwriting brokerage deposits
Payroll and employee benefits payable 647136521.65 380993966.96
Taxes payable 842046338.30 508768582.40
Other payables 760375319.15 500890674.53
Including: Interest payable
Dividend payable
Fees and commission payable
Payable reinsurance
Liabilities classified as held for sale
Non-current liabilities due in one year 809879585.68 205372932.33
Other current liabilities 1219596256.39 907970842.58
Total current liabilities 35468598131.24 23507362032.35
Non-current liabilities:
Insurance reserves
Long-term borrowings 4161650000.00 1891445000.00
Bonds payable
Including: Preference shares
Perpetual debt
Lease liabilities 430999112.05 283789579.70
Long-term Payable 596102307.79 56156864.10
Long-term payroll and employee benefits payable
Provisions 1012055993.93 242096475.53
Deferred income 166799167.22 141475530.69
Deferred tax liabilities 13401614.14 14127384.33
Other non-current liabilities 39610000.00
Total non-current liabilities 6420618195.13 2629090834.35
Total liabilities 41889216326.37 26136452866.70
Owners’ equity:
131Sungrow Power Supply Co. Ltd.
Paid-in capital 1485190984.00 1485215984.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 7052840542.50 6959695649.18
Less: treasury shares 520749625.73 15133520.00
Other comprehensive income -30520376.52 -24221290.12
Special reserve
Surplus reserve 1066201017.69 716612746.04
General risk reserve
Retained earnings 9613342847.73 6532893916.61
Equity attributable to owners of the parent 18666305389.67 15655063485.71
Non-controlling interests 1070689811.07 1048614563.05
Total owners’ equity 19736995200.74 16703678048.76
Total liabilities and owners’ equity 61626211527.11 42840130915.46
Legal Representative: Cao Renxian Chief Accountant: Tian Shuai Head of Accounting Department: Li Pan
2. Balance Sheet of Parent Company
(in CNY)
Item December 31 2022 January 1 2022
Current Assets:
Cash and cash equivalents 7843493020.92 4686803427.38
Financial assets held for trading 1023462624.14 2655239184.22
Derivative financial assets
Notes receivable 513951198.39 460268788.01
Accounts receivable 12289281607.26 6633778001.81
Financing receivables 841039102.74 477280432.91
Prepayments 15214576.36 54560360.00
Other receivables 1064683730.83 729294428.68
Including: Interest receivable
Dividends receivable 27389502.93
Inventories 4305038408.84 3571281925.32
Contract assets 356483190.49 400767894.33
Assets classified as held for sale
132Sungrow Power Supply Co. Ltd.
Non-current assets due in one year 53713000.00 75528337.39
Other current assets 49297706.52 179708891.30
Total current assets 28355658166.49 19924511671.35
Non-current assets:
Debt investment
Other debt investments
Long-term receivables 352460000.00 213044303.38
Long-term equity investments 5287620696.34 4645754539.19
Other equity instruments investments
Other non-current financial assets 125035324.41
Investment properties
Fixed assets 1412825971.90 1276995771.25
Construction in progress 585904972.37 240635749.42
Productive biological assets
Oil and gas assets
Right-of-use asset 47727364.25 42607365.77
Intangible assets 207480610.30 122705732.83
Development expenditures
Goodwill
Long-term prepaid expenses 57092196.74 17802929.79
Deferred tax assets 310943335.06 348201521.51
Other non-current assets 537065057.02 171253899.20
Total non-current assets 8924155528.39 7079001812.34
Total assets 37279813694.88 27003513483.69
Current liabilities:
Short-term borrowings 74407523.19 566025816.24
Financial liabilities held for trading 6367790.64
Derivative financial liabilities 1027953.77
Notes payable 6574809279.06 3859144185.00
Accounts payable 9326539265.79 6093277528.94
Receipts in advance
Contract liabilities 690409136.06 695217795.44
Payroll and employee benefits payable 259302306.80 166713271.18
Taxes payable 265054124.87 139986244.97
133Sungrow Power Supply Co. Ltd.
Other payables 419115721.82 273839838.70
Including: Interest payable
Dividend payable
Liabilities classified as held for sale
Non-current liabilities due in one year 64942372.58 23520306.60
Other current liabilities 124706255.00 91452860.84
Total current liabilities 17806681729.58 11909177847.91
Non-current liabilities:
Long-term borrowings 957720000.00 10500000.00
Bonds payable
Including: Preference shares
Perpetual debt
Lease liabilities 21784939.47 28185840.68
Long-term Payable
Long-term payroll and employee
benefits payable
Provisions 532428639.25 14629180.74
Deferred income 146613574.00 125720570.24
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities 1658547152.72 179035591.66
Total liabilities 19465228882.30 12088213439.57
Owners’ equity:
Paid-in capital 1485190984.00 1485215984.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 7146687476.79 7074553205.11
Less: treasury shares 520749625.73 15133520.00
Other comprehensive income 281692.50
Special reserve
Surplus reserve 1066201017.69 716612746.04
Retained earnings 8636973267.33 5654051628.97
Total owners’ equity 17814584812.58 14915300044.12
134Sungrow Power Supply Co. Ltd.
Total liabilities and owners’ equity 37279813694.88 27003513483.69
3. Consolidated Income Statement
(in CNY)
Item 2022 2021
I. Total revenue 40257239155.34 24136598726.55
Including: Operating proceeds 40257239155.34 24136598726.55
Interest income
Net earned premiums
Net fee and commission revenue
II. Total operating costs 35514911265.50 22365999105.36
Including: Operating costs 30375806550.32 18765234741.08
Interest expenses
Fees and commission expenses
Surrenders
Net payments for insurance claims
Net provision of insurance reserve
Policyholder dividends
Reinsurance expenses
Taxes and surcharges 142614456.42 82485943.84
Selling expenses 3169263472.82 1582578297.46
General and administrative expenses 612314748.77 491053482.80
R&D expenses 1692156198.42 1161389788.60
Financial expenses -477244161.25 283256851.58
Including: Interest expense 209088016.88 124111368.70
Interest income 77821870.16 62999892.35
Add: Other income 220935253.06 186298661.20
Investment gains (or losses) 40338523.02 354966135.62
Including: Share of gains of associates
-2286676.649335376.24
and joint ventures
Gains from derecognition of financial
assets measured at amortized cost
Exchange gains (or losses)
Net exposure hedging gains (or losses)
135Sungrow Power Supply Co. Ltd.
Gains (or losses) on the changes in fair
-29610984.4766438296.41
value
Credit impairment losses -456447435.65 -207580392.56
Assets impairment losses -374657742.38 -273593601.70
Gain (or losses) from disposal of assets -1741000.52 448633.20
III. Operating profit (or loss) 4141144502.90 1897577353.36
Add: Non-operating income 9156115.54 17119329.76
Less: Non-operating costs 16339008.39 22024546.89
IV. Profit (or loss) before tax 4133961610.05 1892672136.23
Less: Income tax expense 438525751.74 188677565.32
V. Net profit (or loss) 3695435858.31 1703994570.91
(1) Categorized by operation continuity
1. Net profit (or loss) from continuing
3695435858.311703994570.91
operations
2. Net profit (or loss) from discontinuing
operations
(2) Categorized by ownership
1. Net profit attributable to shareholders
3593410009.261582707374.76
of parent company
2. Net profit attributable to
102025849.05121287196.15
non-controlling interests
VI. Other comprehensive income net of
-7899020.61-9833344.80
tax
Other comprehensive income net of tax
attributable to shareholders of parent -6299086.40 -9833344.80
company
a. Other comprehensive income not be
reclassified as profit or loss
1. Remeasurement gains or losses of a
defined benefit plan
2. Other comprehensive income not to be
reclassified as profit or loss using the
equity method
3. Changes in fair value of other equity
instrument investments
4. Changes in fair value of enterprise’s
own credit risk
136Sungrow Power Supply Co. Ltd.
5. Others
b. Other comprehensive income to be
-6299086.40-9833344.80
reclassified as profit or loss
1. Other comprehensive income to be
reclassified as profit or loss using equity
method
2. Changes in fair value of other debt
investments
3. Amount of financial assets reclassified
into other comprehensive income
4. Provision for credit impairment of
other debt investments
5. Cash flow hedging reserves 281692.50
6. Exchange differences on translation of
-6580778.90-9833344.80
foreign currency financial
7. Others
Other comprehensive income net of tax
-1599934.21
attributable to non-controlling interests
VII. Total comprehensive income 3687536837.70 1694161226.11
Total comprehensive income attributable
3587110922.861572874029.96
to owners of parent company
Total comprehensive income attributable
100425914.84121287196.15
to non-controlling interests
VIII. Earnings per share
(1) Basic earnings per share 2.42 1.08
(2) Diluted earnings per share 2.42 1.08
Legal Representative: Cao Renxian Chief Accountant: Tian Shuai Head of Accounting Department: Li Pan
4. Income Statement of Parent Company
(in CNY)
Item 2022 2021
I. Operating revenue 26798345232.68 11679896018.21
Less: Operating costs 20736938957.77 9435266771.20
Taxes and surcharges 89454540.58 32993657.30
Selling expenses 1121725628.76 466391969.51
General and administrative expenses 294158951.57 212847588.74
137Sungrow Power Supply Co. Ltd.
R&D expenses 1108693906.17 791547101.42
Financial expenses -387191420.14 69838783.75
Including: Interest expense 24305403.72 15910260.18
Interest income 75655482.56 128135123.54
Add: Other income 70596800.23 78490900.38
Investment gains (or losses) 434746619.98 376596031.61
Including: Share of gains of associates
-2408049.57-1641941.89
and joint ventures
Gains (or losses) from derecognition of
financial assets measured at amortized
cost
Net exposure hedging gains (or losses)
Gains (or losses) on the changes in fair
-506748.3133457802.21
value
Credit impairment losses -447759303.14 169936441.85
Assets impairment losses -15264193.57 -37298170.36
Gain (or losses) from disposal of assets 86130.64 418400.22
II. Operating profit (or loss) 3876463973.80 1292611552.20
Add: Non-operating income 4704919.95 10938246.07
Less: Non-operating costs 5014049.48 20522307.52
III. Total profit (or loss) 3876154844.27 1283027490.75
Less: Income tax expense 380272127.77 55714428.41
V. Net profit (or loss) 3495882716.50 1227313062.34
a. Net profit (or loss) from continuing
3495882716.501227313062.34
operations
b. Net profit (or loss) from discontinuing
operations
V. Other comprehensive income net of
281692.50
tax
a. Other comprehensive income not to be
reclassified as profit or loss
1. Remeasurement gains or losses of a
defined benefit plan
2. Other comprehensive income not to be
reclassified as profit or loss using the
equity method
3. Changes in fair value of other equity
138Sungrow Power Supply Co. Ltd.
instrument investments
4. Changes in fair value of enterprise’s
own credit risk
5. Others
b. Other comprehensive income to be
281692.50
reclassified as profit or loss
1. Other comprehensive income to be
reclassified as profit or loss using equity
method
2. Changes in fair value of other debt
investments
3. Amount of financial assets reclassified
into other comprehensive income
4. Provision for credit impairment of
other debt investments
5. Cash flow hedging reserves 281692.50
6. Exchange differences on translation of
foreign currency financial
7. Others
VI. Total comprehensive income 3496164409.00 1227313062.34
VII. Earnings per share
(1) Basic earnings per share
(2) Diluted earnings per share
5. Consolidated Statement of Cash Flows
(in CNY)
Item 2022 2021
I. Cash flows from operating activities
Cash receipts from the sale of goods and the
38113475847.0422746962796.41
rendering of services
Net increase in customer bank deposits and due to
banks and other financial institutions
Net increase in loans from the central bank
Net increase in funds borrowed from other financial
institutions
Cash premiums received on original insurance
contracts
139Sungrow Power Supply Co. Ltd.
Net cash received from re-insurance business
Net increase in deposits and investments from
insurers
Cash received from interest fees and commission
Net increase in funds deposit
Net increase in repurchase business funds
Net income from securities trading brokerage
business
Tax refunds received 2010210787.57 790867061.23
Cash received relating to other operating activities 636129354.20 514988997.93
Sub-total of cash inflows 40759815988.81 24052818855.57
Cash paid for purchase of goods and services 32223692792.32 21463759761.25
Net increase in loans and payments on behalf of
customers
Net increase in deposits with central bank and other
financial institutions
Payments for claims for original insurance contracts
Net increase in funds lent
Cash paid for interest fees and commission
Commissions on insurance policies paid
Cash paid to and on behalf of employee 2905936662.96 1763505472.38
Cash paid for taxes 1983956956.63 848134227.11
Cash paid relating to other operating activities 2435731091.01 1616051517.60
Sub-total of cash outflows 39549317502.92 25691450978.34
Net cash flows from operating activities 1210498485.89 -1638632122.77
II. Cash flows from investing activities:
Cash received from disposal of investments 14661894272.35 4399319691.62
Cash received from investment income 13728203.53 142090826.04
Net proceeds from disposal of fixed assets intangible
9368073.6212149964.76
assets and other long-term assets
Cash received from disposal of subsidiaries and other
3814295.00
business units
Cash received relating to other investing activities 53694.23
Sub-total of cash inflows 14684990549.50 4557428471.65
Cash paid for purchase/construction of fixed assets
1526766108.851665649098.40
intangible assets and other non-current assets
140Sungrow Power Supply Co. Ltd.
Cash paid for investments 12812669124.27 6604988709.04
Net increase in secured loans
Net cash paid for acquisition of a subsidiary and other
operating units
Cash paid relating to other investing activities
Sub-total of cash outflows 14339435233.12 8270637807.44
Net cash flows from investing activities 345555316.38 -3713209335.79
III. Cash flows from financing activities:
Cash received from investment 15000000.00 4178537220.12
Including: Cash receipts from capital contributions
15000000.00
from non-controlling interests of subsidiaries
Proceeds from borrowings 8870222959.85 2727391963.81
Cash receipts relating to other financing activities 1064751941.30 73952000.00
Subtotal of cash inflows 9949974901.15 6979881183.93
Repayments for debts 5678221694.06 1357130322.37
Cash payments for distribution of dividends or profit
351615275.80319225674.30
and interest expenses
Including: Dividends or profit paid to non-controlling
shareholders of subsidiaries
Cash payments relating to other financing activities 2173420467.94 124869565.09
Subtotal of cash outflows 8203257437.80 1801225561.76
Net cash flows from financing activities 1746717463.35 5178655622.17
IV. Effect of exchange rate changes on cash and cash
-60678401.58-19501109.58
equivalents
V. Net increase in cash and cash equivalents 3242092864.04 -192686945.97
Add: Cash and cash equivalents at beginning of the
6559999792.766752686738.73
period
VI. Cash and cash equivalents at end of the period 9802092656.80 6559999792.76
6. Statement of Cash Flows of Parent Company
(in CNY)
Item 2022 2021
I. Cash flows from operating activities
Cash receipts from the sale of goods and the
21311183225.0013888228231.73
rendering of services
Tax refunds received 1147907367.79 573067985.35
141Sungrow Power Supply Co. Ltd.
Cash received relating to other operating activities 190264372.84 267054687.30
Sub-total of cash inflows 22649354965.63 14728350904.38
Cash paid for purchase of goods and services 16517692526.60 12624409133.49
Cash paid to and on behalf of employee 1275541506.39 864821507.51
Cash paid for taxes 417527277.33 86378257.47
Cash paid relating to other operating activities 1213446733.19 875243605.70
Sub-total of cash outflows 19424208043.51 14450852504.17
Net cash flows from operating activities 3225146922.12 277498400.21
II. Cash flows from investing activities:
Cash received from disposal of investments 13338421935.62 2459948800.00
Cash received from investment income 107506947.55 263267352.70
Net proceeds from disposal of fixed assets intangible
25086997.7515354478.36
assets and other long-term assets
Cash received from disposal of subsidiaries and other
business units
Cash received relating to other investing activities 2019346250.00
Sub-total of cash inflows 15490362130.92 2738570631.06
Cash paid for purchase/construction of fixed assets
853811119.381060816972.70
intangible assets and other non-current assets
Cash paid for investments 12442801480.00 7402062808.31
Net increase in secured loans
Net cash paid for acquisition of a subsidiary and other
2267731705.99
operating units
Cash paid relating to other investing activities 15564344305.37 8462879781.01
Sub-total of cash outflows -73982174.45 -5724309149.95
Net cash flows from investing activities
III. Cash flows from financing activities: 3623146130.36
Cash received from investment 1209531000.00 563705196.00
Cash received from borrowings 134997884.97 1994736469.94
Cash receipts relating to other financing activities 1344528884.97 6181587796.30
Subtotal of cash inflows 726205196.00 606044522.37
Repayments for debts 182657721.65 222227003.29
Cash payments for distribution of dividends or profit
736422321.35160201781.92
and interest expenses
Cash payments relating to other financing activities 1645285239.00 988473307.58
142Sungrow Power Supply Co. Ltd.
Net cash flows from financing activities -300756354.03 5193114488.72
IV. Effect of exchange rate changes on cash and cash
-52497688.47-9667764.78
equivalents
V. Net increase in cash and cash equivalents 2797910705.17 -263364025.80
Add: Cash and cash equivalents at beginning of the
4127114236.114390478261.91
period
VI. Cash and cash equivalents at end of the period 6925024941.28 4127114236.11
143Sungrow Power Supply Co. Ltd.
7. Consolidated Statement of Changes in Equity
Current period amount
(in CNY)
2022
Equity attributable to owners of the parent
Total
Item Other equity instruments Less: Other Non-controll
Share Capital Special Surplus General Retained owners’
treasury comprehensive Others Subtotal ing interests Preference Perpetual
capital reserve reserve reserve reserve earnings equity Others
share debt shares income
I. Balance at 14852
69596915133527166126532893916156550631048614516703678
the end of 15984. -24221290.12
5649.180.00746.04.61485.7163.05048.76
previous year 00
Add: changes
in accounting
policies
Corrections of
prior period
errors
Business
combination
under
common
control
Others
II. Balance at 14852 695969 1513352 716612 6532893916 15655063 10486145 16703678
-24221290.12
the beginning 15984. 5649.18 0.00 746.04 .61 485.71 63.05 048.76
144Sungrow Power Supply Co. Ltd.
of the year 00
III. Increase
(or decrease) -25000 931448 5056161 349588 3080448931 3011241 22075248. 30333171
-6299086.40
during the .00 93.32 05.73 271.65 .12 903.96 02 51.98
period
a. Total
3593410009358711010202584936891367
comprehensiv -6299086.40.26922.86.0571.91
e income
b. Owners’
-250001185365056161-3871050-4729545.5-39183458
contribution.00062.0305.7343.7039.23
and reduction
1. Owners’
-25000-101237-126237.9-4729545.5-4855783.contribution in.00.944347
ordinary share
2.
Contribution
from other
equity
instruments
3. Amount of
share-based
1186375056161-3869788-38697880
payments
299.9705.7305.765.76
recognized in
equity
4. Others
c. Profit 349588 -512961078. -1633728 -16337280
distribution 271.65 14 06.49 6.49
145Sungrow Power Supply Co. Ltd.
1. Transfer to
349588-349588271.
surplus
271.6565
reserve
2. Transfer to
general
reserve
3. Distribution
-163372806.-1633728-16337280
to owner (or
4906.496.49
shareholder)
4. Others
d. Transfer
within equity
1. Capital
reserves
converted to
share capital
2. Surplus
reserves
converted to
share capital
3. Loss made
up by surplus
reserves
4. Changes in
the defined
benefit plan
transferred to
146Sungrow Power Supply Co. Ltd.
retained
earnings
5. Other
comprehensiv
e income
transferred to
retained
earnings
6. Others
e. Special
reserve
1. Additions 116558 1165580. 1165580.0
0.09099
2. Utilization 116558 1165580. 1165580.0
0.09099
f. Others -25391 -2539116 -75221055. -10061222
168.718.71504.21
IV. Balance at 14851
70528452074961066209613342847186663051070689819736995
the end of the 90984. -30520376.52
0542.5025.731017.69.73389.6711.07200.74
period 00
Last period amount
(in CNY)
2021
Equity attributable to owners of parent company
Item Non-controlling
Share Other equity instruments Capital Less: Other Special Surplus General Retained Total owners’ equity
Others Subtotal interests
capital Preference Perpetual Others reserve treasury comprehensive reserve reserve reserve earnings
147Sungrow Power Supply Co. Ltd.
share debt shares income
I. Balance at 14572 104559
321841576130655938815276889
the end of 36850. -14387945.32 04743.1 408792371.89 10864697115.03
694.873.30439.81357.08
previous year 00 4
Add: changes
in accounting
policies
Corrections of
prior period
errors
Business
combination
under common
control
Others
II. Balance at 14572 104559
321841576130655938815276889
the beginning 36850. -14387945.32 04743.1 408792371.89 10864697115.03
694.873.30439.81357.08
of the year 00 4
III. Increase (or
decrease) 27979 3741279 -609971 122731 1256004 519915
-9833344.80639822191.165838980933.73
during the 134.00 954.31 33.30 306.23 559.53 8742.57
period
a. Total
1582707157287
comprehensive -9833344.80 121287196.15 1694161226.11
374.764029.96
income
b. Owners’ 27979 3741279 -609971 383025
518534995.014348791216.62
contribution 134.00 954.31 33.30 6221.61
148Sungrow Power Supply Co. Ltd.
and reduction
1. Owners’
279793592820362079
contribution in 491720977.71 4112520718.17
134.00606.469740.46
ordinary share
2. Contribution
from other
equity
instruments
3. Amount of
share-based
1693302-609971230327
payments 230327412.49
79.1933.30412.49
recognized in
equity
4. Others -208709 -20870
26814017.305943085.96
31.34931.34
c. Profit 122731 -3267028 -203971
-203971509.00
distribution 306.23 15.23 509.00
1. Transfer to 122731 -1227313
surplus reserve 306.23 06.23
2. Transfer to -2039715 -203971
-203971509.00
general reserve 09.00 509.00
3. Distribution
to owner (or
shareholder)
4. Others
d. Transfer
within equity
149Sungrow Power Supply Co. Ltd.
1. Capital
reserves
converted to
share capital
2. Surplus
reserves
converted to
share capital
3. Loss made
up by surplus
reserves
4. Changes in
the defined
benefit plan
transferred to
retained
earnings
5. Other
comprehensive
income
transferred to
retained
earnings
6. Others
e. Special
reserve
1. Additions
150Sungrow Power Supply Co. Ltd.
2. Utilization
f. Others
IV. Balance at 14852 156550
6959695151335271661265328931048614563.0
the end of the 15984. -24221290.12 63485.7 16703678048.76
649.180.00746.04916.615
period 00 1
8. Statement of Changes in Owners’ Equity of Parent Company
Current amount
(in CNY)
2022
Other equity instruments Other
Item Share Capital Less: treasury Special Surplus Retained
Preference Perpetual comprehensive Others Total Owners’ Equity
capital Others reserve shares reserve reserve earnings
share debt income
I. Balance at the end of 14852159 70745532 15133520.0 7166127 565405
14915300044.12
previous year 84.00 05.11 0 46.04 1628.97
Add: changes in
accounting policies
Corrections of prior
period errors
Others
II. Balance at the 14852159 70745532 15133520.0 7166127 565405
14915300044.12
beginning of the year 84.00 05.11 0 46.04 1628.97
III. Increase (or
72134271.505616105.3495882298292
decrease) during the -25000.00 281692.50 2899284768.46
687371.651638.36
period
151Sungrow Power Supply Co. Ltd.
a. Total comprehensive 349588
281692.503496164409.00
income 2716.50
b. Owners’ contribution 72134271. 505616105.-25000.00-433506834.05
and reduction 68 73
1. Owners’ contribution
-25000.00-101237.94-126237.94
in ordinary share
2. Contribution from
other equity instruments
3. Amount of
72235509.505616105.
share-based payments -433380596.11
6273
recognized in equity
4. Others
c. Profit distribution 3495882 -512961
-163372806.49
71.65078.14
1. Transfer to surplus 3495882 -349588
reserve 71.65 271.65
2. Distribution to owner -163372
-163372806.49
(or shareholder) 806.49
3. Others
d. Transfer within equity
1. Capital reserves
converted to share
capital
2. Surplus reserves
converted to share
capital
152Sungrow Power Supply Co. Ltd.
3. Loss made up by
surplus reserves
4. Changes in the
defined benefit plan
transferred to retained
earnings
5. Other comprehensive
income transferred to
retained earnings
6. Others
e. Special reserve
1. Additions 290881.
290881.03
03
2. Utilization 290881.
290881.03
03
f. Others ·
IV. Balance at the end of 14851909 71466874 520749625. 1066201 863697
281692.5017814584812.58
the period 84.00 76.79 73 017.69 3267.33
Last period amount
(in CNY)
2021
Other equity instruments Other
Item Capital Less: treasury Special Surplus Retained Total Owners’
Share capital Preference comprehensive Others
Perpetual debt Others reserve shares reserve reserve earnings Equity
share income
I. Balance at the
1457236850.3355671776130653.3593881439475344110084100773.07
end of previous
153Sungrow Power Supply Co. Ltd.
year 00 54.70 0 .81 381.86
Add: changes in
accounting
policies
Corrections of
prior period
errors
Others
II. Balance at
1457236850.3355671776130653.35938814394753441
the beginning 10084100773.07
0054.700.81381.86
of the year
III. Increase (or
decrease) 37188814 -60997133.3 122731306 9006102
27979134.004831199271.05
during the 50.41 0 .23 47.11
period
a. Total
1227313
comprehensive 1227313062.34
062.34
income
b. Owners’
37188814-60997133.3
contribution 27979134.00 3807857717.71
50.410
and reduction
1. Owners’
35928206
contribution in 27979134.00 3620799740.46
06.46
ordinary share
2. Contribution
from other
equity
154Sungrow Power Supply Co. Ltd.
instruments
3. Amount of
share-based
126060843-60997133.3
payments 187057977.25.950
recognized in
equity
4. Others
c. Profit 122731306 -3267028
-203971509.00
distribution .23 15.23
1. Transfer to 122731306 -1227313
surplus reserve .23 06.23
2. Distribution
-2039715
to owner (or -203971509.00
09.00
shareholder)
3. Others
d. Transfer
within equity
1. Capital
reserves
converted to
share capital
2. Surplus
reserves
converted to
share capital
3. Loss made
up by surplus
155Sungrow Power Supply Co. Ltd.
reserves
4. Changes in
the defined
benefit plan
transferred to
retained
earnings
5. Other
comprehensive
income
transferred to
retained
earnings
6. Others
e. Special
reserve
1. Additions
2. Utilization
f. Others
IV. Balance at
1485215984.7074553215133520.07166127465654051
the end of the 14915300044.12
0005.110.04628.97
period
156
沪公网安备31011802005267号
