光峰科技: 2023年半年度报告（英文版）-j9九游app

stock code: 688007                                             stock short name: appotronics
             appotronics corporation limited
                                     august 2023
     本报告为深圳光峰科技股份有限公司自愿披露的《2023 年半年度报告（英文
版）》，对本报告的中英文版本理解上发生歧义时，以中文版本为准。
     this is 2023 semiannual report (english version) voluntarily disclosed by
appotronics corporation limited. in the event of any discrepancy between the english and
chinese versions of this report, the chinese version shall prevail.
                                        important note
i.    the board of directors, the board of supervisors, directors, supervisors and senior officers of
      the company hereby warrant that the information contained in this semiannual report is
      true, accurate and complete and this semiannual report is free from any misrepresentation,
      misleading statement or material omission, and agree to assume joint and several liability for
      this semiannual report.
ii.   alert of significant risks
      the company has described in detail the risks that may exist in the production and operation
of the company in this report. refer to “section iii discussion and analysis of the management -
v. risk factors” for the relevant risks. the investors should be aware of the risk of investment.
iii. all directors of the company attended the meeting of the board of directors.
iv. this semiannual report has not been audited.
v.    li yi, principal of the company, wang yingxia, person in charge of the accounting body,
      and wang yingxia, chief accountant, hereby warrant that the financial report contained in
      this semiannual report is true, accurate and complete.
vi. profit distribution proposal or proposal for capitalization of capital reserve approved by the
      board of directors during the reporting period
      none
vii. is there any material event concerning any special arrangement of corporate governance?
      □ applicable√ n/a
viii.risk statement regarding forward-looking statements
      √ applicable□ n/a
      the forward-looking statements contained herein regarding the future plans, development
strategies or other matters of the company do not constitute any substantive covenant made by the
company to the investors. investors and relevant personnel should sufficiently know about the risks
in this aspect, and understand the differences among plans, predictions, and promises. the investors
should be aware of the risk of investment.
ix. is there any non-operating occupation of funds by the controlling shareholder or other
      affiliates?
      no
x.    is there any external guarantee provided in contravention of the stipulated decision-making
      procedure?
      no
xi. are the majority of the directors unable to guarantee the truthfulness, accuracy and
    completeness of the semiannual report disclosed by the company?
    no
xii. others
    □ applicable√ n/a
                                               table of contents
                         financial statements with seals and signatures of the principal of the company,
 list of documents person in charge of the accounting body, and chief accountant
   available for
     inspection    all original documents and announcements of the company publicly disclosed
                         during the reporting period
                                   section i definitions
for purpose of this report, unless the context otherwise requires, the following terms shall have the
meanings indicated below:
                                                 terms
company            or
                         means   appotronics corporation limited
appotronics
appotronics ltd.         means   appotronics corporation ltd., the predecessor of the company
cineappo                 means   cineappo laser cinema technology (beijing) co., ltd.
formovie, chongqing
                         means   formovie (chongqing) innovative technology co., ltd.
formovie
appotronics hk           means   appotronics hong kong limited
appotronics daye         means   shenzhen appotronics daye investment partnership (lp)
appotronics deye         means   shenzhen appotronics deye consulting partnership (lp)
appotronics hongye       means   shenzhen appotronics hongye consulting partnership (lp)
appotronics chengye      means   shenzhen appotronics chengye consulting partnership (lp)
jinleijing               means   shenzhen jinleijing investment limited partnership (lp)
blackpine                means   blackpine investment corp. ltd.
cinionic                 means   cinionic limited (previously known as barco cineappo limited)
wecast                   means   wecast technology corp.
gdc bvi                  means   gdc technology limited (british virgin islands)
gdc cayman               means   gdc technology limited (cayman islands)
sse                      means   shanghai stock exchange
anker                    means   anker innovations technology co., ltd.
dangbei                  means   hangzhou dangbei network technology co., ltd.
viewsonic                means   viewsonic china limited
delta electronics or
                         means   delta electronics, inc.
delta
ces                      means   international consumer electronics show
ar                       means   augmented reality
hud                      means   head-up display
dci                      means   digital cinema initiatives of the united states
dlp                      means   digital light processing
                                 liquid crystal on silicon, a new reflective display technology that
lcos                     means
                                 organically combines lcd and cmos integrated circuits
lcd                      means   liquid crystal display
rgb                      means   optical three primary colors, r: red, g: green, b: blue
led                      means   light emitting node, a common light emitting device
                                 on-screen display, an adjustment method by using a menu displayed on
osd                      means
                                 the screen
cvia                     means   china video industry association
                                 a screen resolution of digital products, representing the screen resolution
                                 of 4096×2160, which is an ultra-high-definition resolution
nit                      means   the unit of brightness
iatf                     means   international automotive task force
adb                      means   adaptive driving beam
ai                       means   artificial intelligence
pct                      means   patent cooperation treaty
                 section ii company profile and financial highlights
i. company profile
chinese name                   深圳光峰科技股份有限公司
short name in chinese          光峰科技
english name                   appotronics corporation limited
short name in english          appotronics
legal representative           li yi
registered address
                               street, nanshan district, shenzhen
                               road, south area, high-tech industrial zone, nanshan district,
                               shenzhen
                               venture building, south area, high-tech industrial zone, nanshan
                               district, shenzhen
historical changes of the
                               zone, nanshan district, shenzhen
company’s registered address
                               industrial park, south to chaguang road, xili township, nanshan
                               district, shenzhen
                               xuefu road, yuehai street, nanshan district, shenzhen
                               road, yuehai street, nanshan district, shenzhen
office address
                               street, nanshan district, shenzhen
postal code of office address  518052
website                        http://www.appotronics.com
email                          ir@appotronics.cn
reference to changes during the
                                n/a
reporting period
ii. contact person and contact information
                                  board secretary (domestic representative for information
                                                           disclosure)
name                         chen yasha
address
                             street, nanshan district, shenzhen
telephone                    0755-32950536
facsimile                    0755-86186299
email                        ir@appotronics.cn
iii. description of changes to the media for information disclosure and place for keeping
     semiannual reports
                                 china securities journal (https://www.cs.com.cn)
designated newspaper for         shanghai securities news (https://www.cnstock.com)
information disclosure           securities times (http://www.stcn.com)
                                 securities daily (http://www.zqrb.cn)
websites for publishing the
                                 shanghai stock exchange website (http://www.sse.com.cn)
semiannual reports
place for keeping the semiannual office of the board of directors
    reports
    reference to changes during the n/a
    reporting period
    iv. stock and depository receipts of the company
    (i) stock of the company
    √ applicable□ n/a
                                       stock of the company
      stock class    stock exchange and      stock short               stock code          former stock
                            board                name                                       short name
                        shanghai stock
       a-shares                              appotronics                 688007                  n/a
                    exchange, star market
    (ii) depository receipts of the company
    □ applicable√ n/a
    v. other related information
    □ applicable√ n/a
    vi. main accounting data and financial indicators of the company
    (i) main accounting data
                                                                               unit: yuan currency: rmb
                                                 during the
                                                                                           change over the
           main accounting data               reporting period         prior period
                                                                                           prior period (%)
                                                (jan. - jun.)
  operating income                            1,073,249,037.75     1,269,322,202.11              -15.45
  net profit attributable to shareholders
  of the listed company
  net profit attributable to shareholders
  of the listed company after deduction of     34,228,839.62           22,005,386.92             55.55
  non-recurring profit or loss
  net cash flow from operating activities      114,738,832.13       -78,553,359.67               n/a
                                                                                           changes at the
                                                                                           end     of   the
                                              at the end of the    at the end of the       reporting period
                                              reporting period        prior year           from the end of
                                                                                           the prior year
                                                                                           (%)
  net assets attributable to shareholders
  of the listed company
  total assets                                4,340,274,686.92     4,333,350,260.15               0.16
    (ii) financial highlights
                                                        during the
                                                        reporting          prior          change over the
               financial highlights
                                                          period           period         prior period (%)
                                                       (jan. - jun.)
basic earnings per share (rmb/share)                       0.16             0.10                60.00
diluted earnings per share (rmb/share)                     0.16             0.10                60.00
basic earnings per share after deduction of non-
recurring profit or loss (rmb/share)
weighted average return on net assets (%)                   2.78            1.86           0.92 percentage
                                                                                                  points
weighted average return on net assets after                                                   0.38 percentage
deduction of non-recurring profit or loss (%)                                                     points
proportion of r&d investments to operating income                                             2.72 percentage
(%)                                                                                               points
    explanation about the main accounting data and financial highlights
    √ applicable□ n/a
    the net profit attributable to shareholders of the listed company after deduction of non-recurring profit or
    loss increased by 62.98% and 55.55% year on year, respectively; the basic earnings per share, diluted
    earnings per share, and basic earnings per share after deduction of non-recurring profit or loss increased
    by 60.00%, 60.00%, and 40.00%, respectively year on year, primarily due to the following:
         (1) during the reporting period, the incomes from the business of cinema projection services and
    the business of light sources and light generators increased by 32.75% and 18.43% year on year,
    respectively, while the proportion of the income from the to c business decreased, which changed the
    income structure and increased the overall gross profit margin by 7.39 percentage points;
         (2) during the reporting period, the non-recurring profit or loss increased by rmb 16.7247 million
    year on year, an year-on-year increase by 69.80%, which caused a positive impact on the net profit
    attributable to shareholders of the listed company;
    decreased payment for procurement, and net recovery of security deposits during the reporting period.
    vii. differences in accounting data under chinese accounting standards and overseas accounting
         standards
    □ applicable√ n/a
    viii. items and amounts of non-recurring profit or loss
    √ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                                                                                            note (if
                item of non-recurring profit or loss                         amount
                                                                                           applicable)
 gain or loss on disposal of non-current assets                            -216,132.87
 government grants recognized in profit or loss for the current
 period (excluding government grants that are closely related to the
                                                                                               vii. 84 of
 business of the company and are provided in fixed amount or              33,198,815.57
                                                                                               section x
 quantity continuously according to the applicable polices and
 standards of the country)
                                                                                               vii. 68 of
 profit or loss on entrusted investments or assets management             5,198,708.55
                                                                                               section x
 net profit or loss of subsidiaries from the beginning of the period up
 to the business combination date recognized as a result of business
 combination of enterprises involving enterprises under common
 control
 profit or loss on changes in the fair value of held-for-trading
 financial assets, derivative financial assets, held-for-trading
 financial liabilities and derivative financial liabilities and            67,000.00
 investment income on disposal of held-for-trading financial assets,
 derivative financial assets, held-for-trading financial liabilities,
derivative financial liabilities and other debt investments, other than
those used in the effective hedging activities relating to normal
operating business
reversal of impairment loss on accounts receivable and contract
assets tested for impairment individually
other non-operating income and expenses                                    14,480.93
other gains or losses meeting the definition of non-recurring profit
or loss
less: effect of income taxes                                               3,469,096.89
      effects attributable to minority interests (net of tax)              9,543,875.27
                                  total                                   40,685,801.33
   it is required to specify the reason for defining items as non-recurring profit or loss items according to
   information disclosure and presentation rules for companies making public offering of securities no.
   information disclosure and presentation rules for companies making public offering of securities no.
   □ applicable√ n/a
   ix. explanation about performance indicators not under the accounting standards for business
       enterprises
   □ applicable√ n/a
             section iii       discussion and analysis of the management
i.   industry and main business during the reporting period
     the company, as a global leading enterprise in the field of laser display technology, stays market
and customer demand-oriented, and continues to engage in the research, development, production and
sales of laser display core devices and complete equipment based on the proprietary semiconductor laser
light source technologies and architecture. we apply the semiconductor laser light source technology to
household display, cinema, large venue, business education, and other conventional scenarios, and
successfully expands to new fields such as automotive display, aviation display, ar, robots, etc., to
provide customers with a full range of solutions.
     our products may be mainly classified into core laser display devices and complete laser display
equipment. the core devices can be further classified into laser light source (cinema light source and
large venue light source), laser tv and smart mini projection light generator, automotive optical core
devices (automotive display, ar-hud, laser headlights) and systems; and complete laser display
equipment can be classified into laser smart mini projector, laser tv, laser cinema projector, large venue
laser projector, laser education projector and others. the services the company performs include laser
cinema projection services, smart large-screen ecology system feng os and corresponding system
solutions.
     as an emerging industry, laser display is at a stage of rapid growth, and its growth drivers mainly
come from: 1. technological progress has spawned emerging application fields, and semiconductor laser
light source technology has been applied to the automotive optics and other fields, and the market has
great potential for explosion; 2. the laser display industry in which the company operates is one of the
strategic emerging industries receiving the major support from the state for accelerated development.
with the support of national and industry policies, more and more domestic enterprises and scientific
research institutions enter the upstream and downstream fields of the laser display industry chain,
strengthen the industrial chain, actively develop and iterate technology, thus further increasing the
localization rate of core components of products.
     in 2007, the alpd® semiconductor laser light source technology invented by our r&d team
created a wholly new semiconductor laser light source, which made a breakthrough in the application of
core devices and imaging solutions of laser display, hence becoming the mainstream technical route for
the laser display industry and widely used in vehicle, household, cinema, large venue, commercial, and
education fields.
     in terms of technology, the alpd® semiconductor laser light source technology is compatible with
various chip and technology routes, and is suitable for the dlp, lcos, and lcd technologies. in terms
of market, in addition to traditional applications such as cinema, large venue, and business education,
emerging industries such as intelligent cockpit, intelligent networking, ar, and ai are booming, and
gradually become a new application development focus of the laser display industry, and the overall
scale of the industry continues to expand, which is expected to help to broaden the application scenarios
of the alpd® semiconductor laser light source technology.
     (1) core technologies and core devices
     the alpd® technology independently developed by the company at its early stage created a
wholly new semiconductor laser light source - the ultra-high-brightness semiconductor laser light source
based on rare earth light-emitting materials. the innovative combination of the semiconductor solid laser
with the rare earth phosphor material is the key component of our alpd® semiconductor laser light
source technology. the blue laser of the gallium nitride (gan) semiconductor material system is used to
excite phosphor on the phosphor wheel, hence obtaining the green light and red light in a cost-effective
manner.
     on one hand, since the phosphor material contains numerous doping ions that emit light on their
own, different doping ions emit light at slightly different time, and the lights are emitted towards various
directions of the whole space, there is no time or spatial interference, hence eliminating speckle from the
origin of the technology. on the other hand, thanks to the phosphor wheel as a core device developed
and manufactured by the company, and the rare earth phosphor materials as an advantageous industry of
china, we can effectively control the costs of the devices.
     as a result, our alpd® semiconductor laser light source technology solves the problem of speckle
and problem of costs of conventional rgb trichromatic laser display, hence achieving industrialization
rapidly and becoming the mainstream technology architecture for laser display at present.
     our latest independently developed alpd® 5.0 super panchromatic laser technology, which is a
breakthrough on the basis of our early technology architecture, creatively integrates six light sources
(three colors of laser light sources   three colors of led light sources) by employing a unique light
combination technology. this solves the technical bottleneck of pure three-color laser light sources or
pure three-color led light sources, effectively overcomes the problems of speckle and colorful edges
caused by pure laser display and the problems of limited brightness for pure three-color led, hence
achieving the advantages of higher brightness, no speckle, and more comfortable colors.
     (2) laser products
     laser display products involve several fields, including optics, electronics, materials, physics,
mechanical designing, precision manufacturing, etc. specifically, in the designing of mechanical
structures, simulation and designing of heat and stress, designing of optical lens and other components,
electronic software and hardware (especially for image processing), analysis of ultra-high-definition
signals, precision manufacturing, etc., the company has profound technologies and manufacturing
processes barriers in all the foregoing fields.
     it should be noted that at present, the alpd® semiconductor laser light source technology is the
only laser display and lighting technology meeting automotive standards thanks to its obvious technical
advantages in the automotive optical field.
     as the display technology of a new generation, thanks to the advantages of high brightness, small
size, long service life, wide color gamut, environment friendliness, the alpd® semiconductor laser light
source technology has a broad space for market application. besides the conventional display field, it
has expanded to the automotive optics, ar, aviation, and many other innovative fields.
     as a leader in the laser display technology, appotronics has created a strong patent moat around the
underlying technical architecture of the alpd® semiconductor laser light source technology, which is
hard to be bypassed by projection brands in the industry entering the route of laser phosphor
technologies. we are committed in the breakthroughs, innovations, expansion of application scenarios,
and industrialization of semiconductor laser light source technology, and created technology reserves
and patent portfolios covering the whole technology chain of laser display technology from key system
architecture, core devices to key algorithm. thanks to the core competitive advantages consisting of
“patent moat   technical barriers”, the company holds a key position at the upstream core device stage.
ii. core technologies and progress in r&d of technologies
     we are committed in the breakthroughs, innovations, expansion of application scenarios, and
industrialization of semiconductor laser light source technology, and created technology reserves and
patent portfolios covering the whole technology chain of laser display technology from key system
architecture, core devices to key algorithm. meanwhile, the company has devoted many r&d resources
in the miniaturization of laser display system, light source architecture, complete equipment structure,
machine perception and the preparation and processing of thin film materials to maintaining the leading
position in the industry. as a leader level member of the laser illuminated projector association
(lipa), we have participated in the preparation of the international laser display standard.
     with the support of the data, algorithm and design solutions accumulated by us over the years, we
can rapidly come up with products and solutions meeting the requirements of different application
scenarios, such as cinema projection, home entertainment, outdoor exhibition, ultra large-sized display,
and immersive display. meanwhile, we have continuously achieved breakthrough in automobile-grade
laser light generators, ar optical modules, etc., and released products to the market.
national scientific and technology awards
□ applicable√ n/a
qualification of national “little giant” enterprises in specialized, refine, differential, and innovative
aspects, and “leading enterprise” in the manufacturing industry
□ applicable√ n/a
     during the reporting period, the company made the following achievements in technology and
product innovation:
     (1) core technologies and core devices
     a.core technologies
     in november 2022, we officially released the alpd® 5.0 super panchromatic laser technology, and
moved further towards productization in 2023. thanks to the innovation in the key technical architecture,
this technology has the advantages of higher brightness, no speckle, and more comfortable colors.
     relying on the unique light combination technology and profound patent barriers, the alpd® 5.0
super panchromatic laser technology integrates three colors of laser light sources with three colors of
led light sources to achieve the unprecedented integration of six light sources. this technology
perfectly overcomes the technical bottleneck of pure three-color laser light sources or pure three-color
led light sources, effectively solves the problems of speckle and colorful edges, hence achieving the
advantages of higher brightness, no speckle, and more comfortable colors to produce extreme visual
experience for users.
     on the basis of the innovative light source architecture, the alpd® 5.0 super panchromatic laser
technology also has an outstanding dynamic color gamut modulation, so that the system employs an
algorithm to perform pre-analysis to identify the color gamut standard required for playing a video, and
feeds back such standard to the light source for modulation; this accurately restores the color gamut that
should be achieved for a corresponding image to present the truest colors and brightness.
     b.core devices
     in the field of automotive core devices, we released the world’s first automobile-grade colorful
laser headlight at the 20th shanghai international automobile industry exhibition. meanwhile, we also
presented various immersive in-vehicle digital interaction solutions, such as window display, in-vehicle
transparent display, in-vehicle entertainment large screen, smart surface, etc.
     in the field of automotive display and lighting, the alpd® technology used in our colorful laser
headlights is the only laser technology that has passed the automobile-grade certification by now - it
integrates the three functions of high beam, low beam, and projection display, and even implements
colorful display for the first time to present ultra-high-definition and finer road display for more accurate
adb control, hence meeting the dual requirements of “lighting   display” for future smart headlights.
     there are obvious advantages for applying laser light sources to smart headlights. firstly, the laser
is brighter. with the same dlp or lcos chip, the luminous flux of laser is 4 times of led. secondly,
laser devices are smaller. for example, our laser headlight module can implement the light aperture of
beam and low beam.
     moreover, the alpd® colorful laser headlight is a programmable component; therefore, we can
develop various applications specific for driving, entertainment, and human-vehicle interaction for
vehicle manufacturers, so as to create new experience of intelligent vehicles for consumers.
     in the field of household core devices, based on the alpd® semiconductor laser light source
technology, we are continuously developing light generator products for laser mini projectors to meet
diversified requirements of customers. during the reporting period, we supplied light generators for
dangbei’s new laser projector d5x pro. the light generator adopts the alpd® semiconductor laser
light source technology to present high-brightness, clear, and speckle-free images, hence creating more
eye-friendly use experience for consumers. thanks to the high performance of laser light generators, this
light generator allows appearance designed with a smaller and more compact size of the overall device.
     c.algorithms
     during the reporting period, based on the study achievements of 3d visual algorithms, we
developed the 3d and real-time projection and rendering system based on multiple points of sight, which
can accurately sense the geographic information and semantic information of the projection bearing
surface, render 3d content in real time, and achieve high-precision overlapping projection display. being
suitable for rapid mass production and measurement against specifications, and being equipped with
functional modules for device parameter estimation, projection assistance (i.e. automatic focusing,
automatic omnidirectional correction, automatic obstacle avoidance, automatic screen-in, non-inductive
focusing, non-inductive omnidirectional correction etc.), high-quality 3d model reconstruction for the
projection bearing surface, ai object gesture estimation, real-time overlapping projection rendering,
monocular/binocular 3d rendering, ai content generation etc., this system can achieve high-quality 3d
sensing and real-time rendering in projection augmented reality (projection ar) applications, making
projection more interesting and novel. this algorithm system may be applied to large venue, consumer,
and other fields to provide customers with solutions of greater functions, and provide consumers with
more genuine and immersive experience.
     (2) branded complete equipment
     a. household products
     in the field of household smart mini projectors, formovie released multiple new projectors,
including x5 laser projector, xiaoming q3 and q3 max smart projectors, etc. in march 2023,
formovie officially released the x5 laser projector, which was the first projection product directly
adopting the cvia brightness standard in the industry. being equipped with the alpd® semiconductor
laser light source technology, the x5 laser projector can achieve speckle-free and eye-friendly 4k
resolution and the brightness up to 4,500 cvia lumens, which is brighter than tvs and achieved
projection for a 1,800-inch giant screen.
     in the field of household laser tvs, formovie released the laser tv c3 in may 2023. being
equipped with the alpd® semiconductor laser light source technology that is same as high-end cinema
laser halls, this product can display outstanding, clear, and speckle-free images while improving the
brightness performance to 400nit.
     b. dedicated display equipment
     in march 2023, we released the t pro, g pro, d, and other series of large venue projectors at the
summit of dedicated display core partners, and achieved product upgrade in terms of brightness, image
quality, and lens adaptation. the t pro series high-brightness large venue projector is a laser large venue
projector with stable performance and brightness up to 30,000lm; it is equipped with the alpd® dual-
color laser light source technology and the 3dlp imaging technology to produce outstanding colors. the
core light source has the service life of up to 20,000 hours and supports dual-channel signal backup.
being able to restore colors accurately with outstanding stability, this product is suitable for large venues,
outdoor lighting, stage performance, and lease scenarios. in terms of software, we released the “new
appotronics osd system” and “appotronics dedicated console system” to improve the control of
projectors during installation, adjustment, and management, helping users to efficiently complete project
management, operation, and maintenance.
list of intellectual property rights acquired during the reporting period
                                   increase                                        total
                        applications                                applications
                                          granted (pcs)                                    granted (pcs)
                           (pcs)                                       (pcs)
patent for
invention
patent for utility
model
patent for design          12                     10                   232                  212
software
j9九游app copyright
others                     32                     45                  1,150                1,025
       total               196                    190                 3,982                3,059
note: 1. the “others” showed in the above table refers to the company’s trademarks; 2. during the
reporting period, the company filed a total of 15 valid pct international patent applications.
                                                                                                unit: yuan
                                            current period         prior period           % change
r&d investments expensed                    126,406,142.12        114,959,786.37              9.96
r&d investments capitalized                       -                      -                      -
total r&d investments                       126,406,142.12        114,959,786.37              9.96
proportion of r&d investments to                                                         2.72 percentage
operating income (%)                                                                         points
proportion of r&d investments
                                                    -                    -                       -
capitalized (%)
reason for the material change in the total r&d investments compared with last year
□ applicable√ n/a
reasons for the great change in the proportion of r&d investments capitalized and explanation
about the rationality thereof
□ applicable√ n/a
√ applicable□ n/a
                                                                                                                                       unit: 0’000 yuan
                                 investment
                     estimated                              progress
                                    in the    aggregate                                                             technological
no.      item          total                               or interim                   goals                                        application scenario
                                   current    investment                                                                level
                    investment                               results
                                    period
      innovative                                                        provide customized automotive optical
                                                                                                                                    automotive, ar, and
      projection                                           laboratory   products for vehicle manufacturer          leading in the
      and optical                                             test      brands, and develop ar optical             industry.
                                                                                                                                    scenarios.
      application                                                       modules, etc.
      core
                                                                        continuously     develop the        new
      device                                                                                                                        continuous
                                                                        generation alpd® semiconductor laser
      light                                                                                                                         development of core
                                                              mass      light source technology to achieve light   leading in the
                                                           production   sources and light generators with wider    industry.
      light                                                                                                                         devices for use in
                                                                        color gamut, higher brightness, and
      generator                                                                                                                     various fields.
                                                                        higher energy efficiency.
      project
                                                                        develop laser tvs with advantageous
                                                              mass                                                 leading in the
                                                           production                                              industry.
                                                                        and eye-friendliness.
                                                                        develop dci-compliant and highly
                                                                                                                                    intended for the high-
      laser                                                             cost-effective    household     cinema
                                                              mass                                                 leading in the   end household market
                                                           production                                              industry.        and projection halls at
      projector                                                         cinema screen for cinema projection
                                                                                                                                    cinemas.
                                                                        halls.
                                                                        the smart mini projector products with
                                                                        high performance and high cost
                                                                        effectiveness will be researched and
      smart
                                                              mass      developed, and different series of         leading in the   intended for home mini
                                                           production   products will be laid out to make          industry.        projector market.
      projector
                                                                        breakthroughs        in     technology
                                                                        innovation, product form innovation
                                                                        and quality upgrade and meet different
                                                                      user needs.
        dedicated
                                                                      multiple laser large venue projectors
        display
                                                                      with high brightness, education                             large venue projector,
        products
                                                            mass      projectors, and business projectors with   leading in the   business    education
                                                         production   cost effectiveness will be researched      industry.        projector and other
        venue 
                                                                      and developed for meeting different                         fields.
        business
                                                                      user needs.
        education)
total       -        74,273.00   12,640.61   52,209.36       -                           -                             -                     -
                                                                 unit: 0’000 yuan currency: rmb
                                        basic information
                                                    current period            prior period
number of r&d staff (persons)                            465                       471
proportion of r&d staff to total employees of
the company (%)
total compensation of r&d staff                        8,664.32                 7,641.61
average compensation of r&d staff                       18.63                     16.22
                                         education
           academic background                           number                percentage (%)
master and above                                          132                      28.39
bachelor and below                                        333                      71.61
total                                                     465                       100
                                               age structure
                        age                                   number        percentage (%)
below 30 (exclusive)                                            162              34.84
total                                                           465               100
note: the average compensation of r&d staff shown in the table above was the average compensation
for the first half of 2023 and the first half of 2022, respectively.
□ applicable√ n/a
iii. analysis of core competitiveness during the reporting period
(i) analysis of core competitiveness
√ applicable□ n/a
     the company stays innovation-driven, continues to increase r&d investment in forward-looking
technology arrangement and product technology development. as a high-tech enterprise, the company
will continue to improve r&d capabilities as the main theme of the company’s core competitiveness,
and continue to improve the r&d system. with mr. li yi, chairman and general manager, as the core
personnel of r&d, the company has established a leading r&d team in optical modules, mechanical
designing, thermal simulation, software and hardware control and preparation of rare earth phosphor
materials, developed and innovated the laser display technology for many years, thus having
accumulated profound r&d technical strength and got a deep understanding and judgment of the
industry’s cutting-edge technology and development trend.
     the company has set up a research institute and a research and development center to jointly
coordinate technology planning, development and accumulation. the institute carries out forward-
looking product technology research and product verification, develops it into a new product under a
new application scenario, and ensures that r&d resources are advanced; the r&d center, combining the
r&d and scientific research achievements of the research institute, coordinates the management of new
product development until mass production and launch. with leading r&d technical resources, the
company significantly improves the efficiency of r&d planning through the cooperation of r&d
center and research institute, and applies the latest r&d achievements to projection display products.
arrangement for application scenarios is made
     based on the technical advantages of core devices and market development trends, the company
has been committed to the breakthrough and innovation of semiconductor laser light source technology,
the development of application scenarios and the industrialization promotion, and thus forms the
technical reserve and patent arrangement of the whole technology chain of laser display from key system
architecture, core devices to key algorithms, and constantly optimizes and improves the strategic
arrangement of automotive optics, aviation display, ar and other application fields. we promote the
innovative application of core devices in new fields and new tracks, and continue to broaden the long-
term growth space of core device value.
     the company takes the underlying technical architecture patent of the original semiconductor laser
light source technology as the center, and builds a solid and interconnected intellectual property patent
system, and it is difficult for competitors to fully imitate or directly bypass the underlying patent
arrangement of the company’s laser phosphor technology route. the company actively responds to the
national “intellectual property power strategy” and increases the proportion of high-value patents. as of
june 30, 2023, the company had a total of 2,714 patents filed and granted throughout the world,
including 1,901 patents granted throughout the world, of which 1,007 ones were patents for invention.
     in terms of technology leadership, the company’s original semiconductor laser light source
technology has become the mainstream technology in the current laser display field, and as the
underlying key architecture technology, it has been used more than 670 times by leading companies in
the same industry, such as philips of the netherlands, osram of germany and epson of japan.
(ii) events occurred during the reporting period that have a material effect on the company’s
     core competitiveness, analysis of the effect and countermeasures
□ applicable√ n/a
iv. discussion and analysis of business situations
    in the first half of 2023, we persisted in the core strategy of “core technologies   core devices 
application scenarios” in response to challenges in the operating environment. meanwhile, we increased
r&d efforts for core technologies and growth businesses to build up energy for sustainable development
of the company.
     during the reporting period, we made continuous efforts to expand the business of automotive core
devices; the stable recovery of the business of cinema core devices and the business of dedicated display
improved the overall gross profit margin of the company; the business of household core devices and to
c products experienced revenue reduction due to prudent consumption of the public and change in
consumption habits. during the first half of 2023, our operating income was rmb 1.073 billion,
decreased by 15.45%; the net profit attributable to the parent company reached rmb 74.9146 million,
increased by 62.98% year on year; and the overall gross profit margin of the company was 37.70%,
increased by 7.39 percentage points year on year.
foundation for development
➢    obtained fixed orders from multiple vehicle manufacturers to continuously increase the
     alpd® installations
     during the reporting period, after making active efforts to communicate with well-known
automobile manufacturers and the downstream and upstream players in the supply chain, and to promote
favorable cooperation, we received the development nomination letters from byd, beijing electric
vehicle, and other outstanding vehicle manufacturers, which led to the stable development of the
business of automotive core devices. the increase in fixed orders and the mass production and delivery
of products under corresponding fixed orders will lead to positive impact on the operating performance
of the company during the project life cycle of the business of automotive core devices.
     at the end of the period, besides the 5 nominations we have obtained, we also communicated with
multiple vehicle manufacturers on laser headlights, ar-hud, and other products to build the foundation
for projects of their new vehicle models.
➢    actively participated in major industry exhibitions and released new products and new
     concepts for automotive optics
     in january 2023, at the international consumer electronics show (ces 2023), the automobile
brand bmw released dee - the world’s first concept car equipped with the multi-window immersive
display technology at four windows, which technology was supplied by appotronics. an ultra small-
sized and high-brightness alpd® dlp light generator is used to achieve the functions of projection
inside and display outside, and projection inside and display inside at the side windows, so that the
driver and passengers can interact with the display image either inside or outside of the car.
     in addition, at the 20th shanghai international automobile industry exhibition held in april 2023,
we made our debut with an exhibition car equipped with the automotive immersive laser display and
lighting technical scenario, and released the world’s first automobile-grade colorful laser headlight, and
the immersive in-vehicle digital interaction solution containing window display, in-vehicle transparent
display, in-vehicle entertainment large screen, smart surface. this presented our new concept for various
automotive optical scenarios in the future, hence providing drivers and passengers with experience that
is more intelligent and interesting.
➢    built a comprehensive supply chain system for the automotive optical business to get ready
     for delivery of products for dedicated projects
     we constantly build and improve the supply chain system in consideration of iatf standards,
automotive industry standards, and the requirements of customers in cooperation at present, including
but not limited to building different production lines for automotive products for mass production
delivery to vehicle manufacturer customers; constantly optimizing the plan and delivery management,
manufacturing management, engineering management, quality management, and other functions in
accordance with the whole-process designing for automotive projects; and building a set of strict
procedure management system containing quality control, procurement management, engineering
management, and production management specific for the automotive business, so as to ensure the
quality of automotive products both on complete vehicles and on the end market.
➢    strengthened the patent layout in intellectual property rights to enhance the unique
     advantages in automotive optics
     in the field of automotive display and lighting, our alpd® semiconductor laser light source
technology is the only laser technology that has passed the automobile-grade certification by now. while
continuously enhancing r&d efforts for automotive optics, we constantly improve the patent layout in
technologies for automotive core devices to enhance our head start advantages and unique advantages in
the field of automotive optics. during the reporting period, we have 62 new patents granted and filed for
technologies of automotive core devices, an increase of 113.79% year on year; as of june 30, 2023, we
have a total of 176 patents granted and filed, an increase of 70.87% year on year.
     in consideration of the growing demands for intelligentization and scientific technologies in
vehicles, we will actively expand the business of automotive core devices in three major directions,
namely, automotive display, laser headlight, and ar-hud, actively explore more novel and comfortable
smart vehicle experience with outstanding domestic and overseas automakers and upstream and
downstream partners in the supply chain, and make use of our resources to develop high-quality
dedicated products, hence driving the rapid development of the growth business.
results in overseas market expansion
     with respect to the domestic market, the cinema market was gradually recovering - the number of
films shown increased by 50% year on year in the first half of 2023. according to the statistics of china
film administration, as of june 30, 2023, the total box office in china for the first half of 2023 was
rmb 26.271 billion, up by 52.91% year on year. driven by multiple favorable factors, such as sufficient
supply of films and increased showings, we achieved the operating income of rmb 180 million from
the business of cinema projection services, up by 32.75% year on year. thanks to the accumulation and
leading advantages built by the company for multiple years, we achieved over 800 installations of newly
leased light sources during the reporting period. as of june 30, 2023, over 28,600 sets of alpd® laser
light source projection solutions have been installed throughout china. besides the cinema projection
services, the subsidiary cineappo continuously improved its product portfolio in recent years, and
built various innovative products and services in consideration of the different requirements of cinema
customers.
     with respect to the overseas market, the box office in the north america was usd 4.4 billion in the
first half of 2023, up by nearly 20% year on year. given the continuous increase in the film watching
demands, we will take active measures to expand the overseas market. our light source business has
expanded to north america, europe, the middle east, southeast asia, and other regions.
projection market
    entering the year 2023, the public became more prudent in consumption, which affected the
demands of consumer electronics to a certain extent. meanwhile, the market entered a transitional period
due to changes in the arrangement of smart projection brands. in the first half of 2023, our business
division of household core devices worked actively to assist dangbei, viewsonic, anker, and other
customers in releasing new products.
    we officially released the alpd® 5.0 super panchromatic laser technology in november 2022.
thanks to the innovation in the key technical architecture, this technology has the advantages of higher
brightness, no speckle, and more comfortable colors. in this year, we will take the lead in releasing
alpd® 5.0 light generator products in the household field, and the business division of household
core devices will assist customers in releasing new products to allow consumers to experience
projection products that are more outstanding.
    the reporting period witnessed the gradual recovery of the cultural and tourism lighting, night
economy, and cultural and art market in china. we helped customers in multiple benchmark projects,
including the light show on the world’s highest cooling tower - “lighting show program of the indirect
cooling tower of mengtai dongsheng phase ii”. meanwhile, thanks to the recovery of offline education
activities, our education business performed outstandingly. in the first half of 2023, we achieved the
operating income of rmb 202 million from the dedicated display business, which achieved favorable
recovery with the increase by 13.79% year on year.
 figure 1: lighting show program of the indirect cooling tower of mengtai dongsheng phase ii
     to deepen the strategic cooperation with core customers and partners, we held a summit of core
partners under the theme of “innovate together to create a bright future” in march 2023, at which we
explored new opportunities and technical trends with core partners, and released multiple new products
and software. in terms of new products, we released the t pro, g pro, d, and other new products and
achieved product upgrade in terms of brightness, image quality, and lens adaptation. in terms of software,
we released the “new appotronics osd system” and “appotronics dedicated console system” to
improve the control of projectors during installation, adjustment, and management, helping users to
efficiently complete project management, operation, and maintenance.
     for the overseas market, relying on the core advantages of the alpd® semiconductor laser light
source technology, we will further improve the influence of the alpd® brand, enhance the overseas
layout, and expand the size of the overseas business.
fluctuation in the demands of consumer electronics
     under the industry background of prudent consumption of the public, change in consumption habits,
and change in market conditions, the subsidiary formovie continuously improved its business structure
by making great efforts to develop the cost-effective sub-brand xiaoming and actively responding to the
changes in the current market conditions. this increased the ratio of formovie’s self-branded business to
its total income to 78%.
     during the reporting period, facing the short-term fluctuation in the market of consumer electronics,
formovie paid great attention to the cultivation and development of its self-branded products, and
released new products such as the laser projector x5, laser tv c3, xiaoming q3 and q3 max smart
projector.
significant changes in the operations of the company during the reporting period, and the events
that have or are expected to have a significant impact on the operations of the company during
the reporting period
□ applicable√ n/a
v. risk factors
√ applicable□ n/a
     at present, given that the global economy is experiencing cyclical fluctuation, both domestic and
overseas economy is complex and prone to changes. under such circumstances, the public are more
prudent in consumption, which slows down the demands on the consumer electronics market. as
optional consumption products, smart projection products are facing more significant short-term
fluctuation.
     we will continue to enhance efforts for studying the macro economic conditions, closely follow the
development trend of the consumer electronics industry, conduct in-depth research into market demands,
constantly enhance efforts for product r&d and technology investment, improve our r&d and product
designing competence, assess risks rapidly, and take initiative to make relevant business adjustment,
hence improving the risk tolerance of the company.
     (1) risk of impairment of accounts receivable
     as of the end of the reporting period, the book value of our accounts receivable was rmb
receiving the payment therefor. we give certain credit period to some major and high-quality customers.
in case of any material adverse change in the business condition of our customers, we may be unable to
recover certain accounts receivable, which may have an adverse effect on our operating performance in
the future.
     the company strengthens risk management and control, continuously tracks and controls customer
credit, and strengthens the assessment of accounts receivable collection, and establishes an early
warning system for overdue accounts receivable; for individual customers who maliciously default and
have a long period of arrears, payment will be recovered through arbitration, litigation and other legal
methods.
     (2) risk of impairment of inventories
     as of the end of the reporting period, the book value of our inventories was rmb 757.7190 million,
accounting for 17.46% of our assets. our inventories mainly comprise raw materials and goods in stock.
in the event of any significant change in the competition pattern of the industry, and material innovation
in laser display technology and products, the recoverable amount of the inventories will be lower than
their book value. the impairment of inventories will have a negative effect on our earnings. the
company will pay close attention to the changes in supply and demand of the industrial chain, and
promptly carry out production and marketing coordination according to the market and production
conditions to reduce product inventory risks.
     (3) risks of impairment of fixed assets
     as of the end of the reporting period, the book value of our fixed asset was rmb 379.9624 million,
accounting for 8.75% of our assets. our fixed assets mainly consist of production equipment and cinema
projector light sources for lease, where the cinema projector light sources account for 71.87%. if force
majeure factors result in shutdown of cinemas, the cinema projector light sources may be idle, causing
risks of impairment of fixed assets and adverse effects to the operation of the company. in order to cope
with the above risks, the company will pay close attention to the status of fixed assets, strengthen
communication with business departments, improve the efficiency of asset use, and reduce the risk of
impairment. in the meanwhile, for assets that show signs of impairment, the company will measure the
recoverable amount and make an impairment provision for fixed assets based on the difference between
the recoverable amount and the carrying value.
     (4) risks of exchange rate movement
     the company’s procurement and sales involve a variety of foreign currencies, of which dollar is
the main foreign currency. if the exchange rate of the relevant currency fluctuates, it will have a certain
impact on the company’s financial position. in this regard, in order to effectively avoid the risks of the
foreign exchange market, prevent large fluctuations in the exchange rate from adversely affecting the
company’s business performance, improve the efficiency of the use of foreign exchange funds, and
reasonably reduce financial costs, the company carries out foreign exchange derivatives and other
businesses in a timely manner to reduce the risk of exchange rate fluctuations.
     under the impact of changes in the internal and external environment, there are risks that the
company cannot implement investment projects as expected. despite the efforts of the company in
enhancing the management over investment projects, accelerate the progress of investment projects, and
constantly monitoring the progress of such investment projects, in the actual implementation, this cannot
avoid situation like delayed construction compared with the plan, or adjustment to the implementation
plan or solution in response to industry and market development. upon the occurrence of such
circumstances, the company will make decisions in accordance with relevant provisions and promptly
fulfill its obligations for information disclosure.
     at present, the company is in the process of arbitration and counter arbitration with relevant parties
of gdc concerning the rights and interests of the parties. because gdc cayman, gdc bvi, mr.
zhang wanneng and his management team violated the provisions of the shareholders’ agreement
and settlement agreement, including but not limited to the appointment of directors in violation of
corporate governance regulations, violation of protective provisions for the company, and failing to
purchase the minimum quantity of c5 projectors and core device parts by the end of 2021.
     the cooperation on the purchase business for cinema hardware products between the company and
gdc bvi is subject to uncertainty. the trial of this case has not been started, the impact of such case on
the profit or loss of the company cannot be determined at present; the eventual actual impact depends on
the award of the arbitration tribunal or the negotiation between the parties. the company has engaged a
professional attorney team and taken relevant legal measures to safeguard the legitimate rights and
interests of the company and all shareholders in accordance with law, and will promptly fulfill the
information disclosure obligations in accordance with relevant provisions.
vi. main business activities during the reporting period
refer to “iv. discussion and analysis of business situations” in this section for details.
(i) analysis of main business
                                                                             unit: yuan currency: rmb
              item                     current period              prior period            % change
operating income                       1,073,249,037.75          1,269,322,202.11           -15.45
operating costs                         668,659,467.49            884,560,607.88            -24.41
selling expenses                        143,399,660.02            120,302,361.36             19.20
administrative expenses                  86,696,223.82            106,015,842.36            -18.22
financial expenses                      -17,021,406.56             -3,353,880.91              n/a
r&d expenses                            126,406,142.12            114,959,786.37              9.96
net cash flow from operating            114,738,832.13            -78,553,359.67              n/a
   activities
   net cash flows from investment
                                              -260,010,504.24         5,167,457.19             -5,131.69
   activities
   net cash flows from financing
   activities
   description of reasons for changes in the operating income: the operating income decreased by
   description of reasons for changes in operating costs: the operating costs decreased by 24.41% year
   on year, primarily due to the decrease in the operating costs corresponding to the year-on-year decrease
   by 39.97% of the operating income from the to c business;
   description of reasons for changes in the selling expenses: the selling expenses increased by 19.20%
   year on year, primarily due to the increase in marketing fees, salaries of the sales staff, etc.;
   description of reasons for changes in the administrative expenses: the administrative expenses
   decreased by 18.22% year on year, primarily due to the year-on-year decrease by rmb 19.2929 million
   of the share-based payment;
   description of reasons for changes in the financial expenses: the financial expenses decreased by
   rmb -13.6675 million year on year, primarily due to the year-on-year increase in the subsidy for
   interests on loans and interest incomes received;
   description of reasons for changes in the r&d expenses: the r&d expenses increased by 9.96%
   year on year, primarily due to the increase in the r&d expenses in the business of automotive core
   devices;
   description of reasons for changes in the net cash flows from operating activities: the net cash flow
   from operating activities increased by rmb 193.2922 million year on year, primarily due to the
   optimized supply chain management, decreased payment for procurement, and net recovery of security
   deposits during the reporting period;
   description of reasons for changes in the net cash flows from investment activities: the net cash
   flow from investment activities decreased by 5,131.69% year on year, primarily due to the increase in
   the purchase of wealth management products;
   description of reasons for changes in the net cash flows from financing activities: the net cash flow
   from financing activities decreased by 11.13% year on year, primarily due to the increase in the
   repayment of due bank loans.
         sources of the company
   □ applicable√ n/a
   (ii) explanation about material change in profit due to non-main business
   □ applicable√ n/a
   (iii) analysis of assets and liabilities
   √ applicable□ n/a
                                                                                                   unit: yuan
                                    % of
                                                                  % of total
                                    total
              balance at the                    balance at the   assets at the
                                  assets at                                        %
   item        end of the                         end of the      end of the                        explanation
                                  the end                                        change
                 period                          prior period       prior
                                   of the
                                                                    period
                                   period
held-for-                                                                                      primarily due to the
trading       564,877,200.00       13.01        352,880,000.00       8.14            60.08     increase    in     the
financial                                                                                      purchase of structural
assets                                                                  bank deposits in the
                                                                        current period
                                                                        primarily due to the
                                                                        increase in commercial
notes
receivable
                                                                        received in the current
                                                                        period
                                                                        primarily due to the
                                                                        increase     in    bank
receivables
financing
                                                                        received during this
                                                                        period
                                                                        primarily due to the
                                                                        increase      in     the
contract                                                                warranty deposit for
assets                                                                  the new integration
                                                                        project in the current
                                                                        period
                                                                        primarily due to the
non-
                                                                        increase in the long-
current
                                                                        term receivables due
assets due    28,306,652.31    0.65   13,431,554.82    0.31   110.75
                                                                        within 1 year as of the
within   1
                                                                        end of the reporting
year
                                                                        period
                                                                        primarily due to the
                                                                        increase      in     the
long-term
receivables
                                                                        receipts in the current
                                                                        period
                                                                        primarily due to the
other non-
                                                                        increase              in
current       18,633,790.53    0.43   12,569,088.37    0.29   48.25
                                                                        prepayments for long-
assets
                                                                        term assets
                                                                        primarily due to the
                                                                        payment      of    bank
                                                                        acceptance bills that
notes
payable
                                                                        beginning and paid
                                                                        during the reporting
                                                                        period
                                                                        primarily due to the
                                                                        payment of accrued
employee
                                                                        salaries and wages as
benefits      29,744,716.45    0.69   58,470,960.55    1.35   -49.13
                                                                        well as bonuses for the
payable
                                                                        preceding year in the
                                                                        current period
                                                                        primarily due to the
                                                                        subscription amounts
                                                                        for restricted shares
other
payables
                                                                        period, for which the
                                                                        share registration has
                                                                        not been completed
other                                                                   primarily due to the
current        9,799,529.40    0.23   28,383,608.37    0.66   -65.47    payment made in the
liabilities                                                             current period for
                                                                                          rebates incurred in the
                                                                                          prior period
                                                                                          primarily due to the
long-term                                                                                 new long-term bank
borrowings                                                                                borrowings incurred in
                                                                                          the current period
                                                                                          primarily due to the
                                                                                          recognition         and
deferred
income
                                                                                          income      to     other
                                                                                          income
   other information
   none
   √ applicable□ n/a
   (1) size of assets
   including: the overseas assets were rmb 481.0871 million, representing 11.08% of the total assets.
   (2) explanation about the high proportion of overseas assets
   □ applicable√ n/a
   other information
   none
   √ applicable□ n/a
                                                                       unit: yuan currency: rmb
                                       closing balance of book
                   item                                                          reason
                                                 value
           other monetary funds              10,961,787.42                   security deposits
              bank deposits                  40,000,000.00                    term deposits
                                                                       accounts not handling for a
              bank deposits                       5.49
                                                                                long time
             intangible assets              275,524,999.80                 mortgage collateral
                  total                     326,486,792.71                           -
   □ applicable√ n/a
(iv) analysis of investments
overall analysis of external equity investments
√ applicable□ n/a
                                                                                                                                       unit: yuan currency: rmb
  investment amount in the reporting period (in               investment in the same period of the
                                                                                                                            range of change
                    rmb)                                             prior year (in rmb)
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                                                                                       unit: yuan currency: rmb
                                  gain or loss     cumulative fair
                                                                       impairment of        purchase           sale/redemption
 asset          opening          on changes in      value changes                                                                     other           closing
                                                                        the current       amount for the        for the current
category        balance          fair value for      included in                                                                     changes          balance
                                                                          period          current period             period
                                   the period           equity
 equities     12,880,000.00                                                                                                                         12,880,000.00
  others     351,354,460.38                         -4,900,000.00                          222,941,577.33                                          574,296,037.71
  total      364,234,460.38                         -4,900,000.00                          222,941,577.33                                          587,176,037.71
note: “others” mainly include structured deposits and other equity instruments, described in detail in xi of section x.
description of securities investments
√ applicable□ n/a
                                                                                                                                      unit: yuan currency: rmb
                                                                               gain or
                                                                                loss on   cumulative     purchase                gains
                                                                                                                       sale
                                        initial      source                    changes     fair value     amount                   or       closing
security    security     short                                    opening                                             for the                                accounting
                                      investment       of                       in fair     changes       for the                losses    balance of
  type        code       name                                    book value                                           current                                 account
                                         cost        funds                       value    included in     current                from      book value
                                                                                                                      period
                                                                                for the      equity        period               disposal
                                                                                period
domestic                                                                                             held-for-
                                                self-
  and                                                                                                trading
overseas                                                                                             financial
                                                capital
 shares                                                                                              assets
 total        -         -       14,000,000.00      -      12,880,000.00              12,880,000.00         -
description of investments in private funds
□ applicable√ n/a
description of derivative investments
√ applicable□ n/a
    the company held the 16th meeting of the second board of directors on october 28, 2022, at
which the proposal on carrying out foreign exchange derivatives trading business was deliberated
and approved, under which the company and subsidiaries in the scope of consolidation were allowed to
engage in the business of foreign exchange derivative products for no more than usd 35.00 million (the
funds may be used on a rolling basis within such quota), and the management or relevant staff of the
company were authorized to implement relevant specific affairs. this proposal is valid for 12 months
from the date when it is deliberated and passed by the board of directors of the company. in the current
period, the company carried out the business of foreign exchange derivative products in the amount of
usd 5.00 million. this business has become expired by the end of the period.
(v) sale of material assets and equities
□ applicable√ n/a
(vi) analysis of major investees
√ applicable□ n/a
                                                                       unit: 0’000 yuan currency: rmb
company          main       registere    shareholdin         total       net       operatin      net
 name          business     d capital      g ratio           assets     assets     g income     profit
              provision
              of cinema
              projection
cineappo      services      10,000.00         67.80%                              24,187.64
              and sales
              of
              projectors
              r&d and
              sale     of                                                  -                       -
chongqing                                                   79,752.8
              househol      7,017.54          39.19%                   15,573.7   37,600.18     7,921.6
formovie                                                       4
              d display                                                   6                        8
              products
              r&d and
appotronic    sale     of                                   43,254.0   35,443.2
  s hk        laser light                                      5          4
              source
(vii)    structured entities controlled by the company
□ applicable√ n/a
vii. other disclosures
□ applicable√ n/a
                              section ivcorporate governance
i.     general meetings of shareholders held
                                      reference to
                                      resolutions              date of
                      date of
      session                       published on the        disclosure of              resolutions
                      meeting
                                       designated            resolutions
                                        website
                                                                            refer to the announcement on
                                                                            the resolutions of the annual
                                                                            general         meeting       of
annual general
                                                                            shareholders in 2022 (no.
     meeting of
                   may 19, 2023      www.sse.com.cn         may 20, 2023    2023-020) disclosed by the
shareholders in
                                                                            company at the website of the
                                                                            shanghai     stock    exchange
                                                                            (www.sse.com.cn) on may 20,
extraordinary general meeting of shareholders requested by the preferred shareholders with
restitution of voting right
□ applicable√ n/a
explanation about the general meetings of shareholders
√ applicable□ n/a
       during the reporting period, the company held 1 annual general meeting. after being certified by
beijing zhong lun (shenzhen) law firm engaged by the company, the convening and holding
procedures of general meetings of shareholders, the qualifications of the persons attending the meeting
and conveners, the voting procedures and results comply with the relevant provisions of the companies
law, the rules for general meetings of shareholders and other laws, regulations and normative
documents as well as the provisions of the articles of association, and are legal and valid. all proposals
submitted by the board of directors of the company to the general meeting have been reviewed and
passed.
ii.    changes in directors, supervisors, senior officers and key technical staff
□ applicable√ n/a
description of changes in directors, supervisors, senior officers and key technical staff
□ applicable√ n/a
description of determination of key technical staff of the company
√ applicable□ n/a
the key technical staff of the company were determined by taking into account the following factors:
(1) play an important role in the company’s r&d system or hold an important position in the
company’s r&d department;
(2) lead the r&d of multiple core technologies of the company during the period of service;
(3) obtain several patents in the capacity as inventor or designer, and make outstanding contributions to
the core technologies of the company;
(4) have a deep professional knowledge background in the laser display industry, broad work
qualifications or project experience.
any candidate shall meet at least two of the above criteria at the same time, and then with the approval
by the chairman, may be determined as a key technician of the company.
iii. proposals for profit distribution or capitalization of the capital reserve
profit distribution proposal or proposal for capitalization of the capital reserve during the
reporting period
whether to implement profit distribution or
                                                                                  no
capitalization of the capital reserve
number of bonus shares distributed per 10 shares                                   -
cash dividends distributed per 10 shares (inclusive
of tax)
number of shares distributed out of the capital
reserve
         description of the proposal for profit distribution or capitalization of the capital reserve
iv. share incentive plan, employee stock ownership plan or other employee incentive measures of
     the company and their effect
(i) equity incentives already disclosed in the interim announcements about which no new
    information is available
√ applicable□ n/a
                           summary                                     reference
on june 25, 2023, the company held the 20th meeting of the second
board of directors and the 19th meeting of the second board of              refer      to       the     relevant
supervisors, deliberating and approving the proposal on adjustments         announcements disclosed by the
to grant prices under the company’s restricted share incentive              company at the website of the
plan, the proposal on invalidating partially granted but not vested         shanghai        stock     exchange
restricted shares, the proposal on meeting vesting criteria for the         (www.sse.com.cn) on june 27,
first vesting period in the initial grant under 2022 restricted share       2023 for details.
incentive plan, and other related proposals.
(ii) incentives that have not been disclosed in any interim announcement or about which there’s
     new information available
share incentives
□ applicable√ n/a
other information
□ applicable√ n/a
employee stock ownership plan
□ applicable√ n/a
other incentives
□ applicable√ n/a
                section v environment and social responsibilities
i. environment
whether mechanisms related to environmental
                                                                              yes
protection have been established
investment in environmental protection funds
during the reporting period (unit: rmb 0’000)
(i) environmental protection information of the company and its major subsidiaries that are
     identified as major polluters by the environmental protection authority
□ applicable√ n/a
(ii) environmental protection information of any company that is not identified as a major
     polluter
√ applicable□ n/a
□ applicable√ n/a
√ applicable□ n/a
     as a leading laser display technology enterprise in the world, the company mainly engages in the
research, development, production and sales of laser display core devices and complete equipment and
application of semiconductor laser light source technologies to different scenarios based on the
proprietary semiconductor laser light source technologies and architecture, making it a low energy
consumption enterprise. during the reporting period, the company had no production or operating entity
included in the list of major polluters identified by the environmental protection authority, did not
conduct its routine production and operation in the heavy pollution industry identified by relevant
national laws and regulations, and its production and operating activities had little impact on
environment.
     during its production, the company mainly emits waste gas, waste water and solid waste, which
have been properly handled in accordance with the requirements of relevant authorities and industrial
parks. for waste gas, we apply the level ii standards defined in the emission limits of air pollutants
(db44/27-2001) promulgated by guangdong province. the waste gas is treated by an environment
protection facility, and emitted when reaching the waste gas emission criteria. moreover, we engage a
professional third-party inspection institution every year to monitor and assess the waste gas emitted. of
the waste water, domestic sewage is pre-processed according to standards, and discharged through the
municipal sewage pipelines to the regional water quality purification plant for in-depth processing. the
industrial wastewater is uniformly recycled and treated by a qualified environmental protection company.
meanwhile, the company actively optimizes the production process and reduces sewage discharge. with
respect to solid waste, industrial solid waste is treated by a qualified environmental protection company,
while recyclable waste is collected and sorted by the company’s cleaning staff and then recovered by
the relevant resource recovery unit.
□ applicable√ n/a
(iii) new information about the environmental protection information disclosed during the
     reporting period
□ applicable√ n/a
(iv) relevant information conducive to protecting ecology, preventing pollution and fulfilling
     environmental responsibilities
√ applicable□ n/a
     the company achieved iso14001 environmental management system certification in 2008, and
maintained such certification to date, and also achieved the qc080000 hazardous substance process
management (hspm) certification in 2019. all of our products are green products and have passed
china environmental labeling product certification, rohs, reach and other certifications.
     we actively implemented internal measures to reduce costs and improve efficiency, and achieve
energy conservation and environment protection by means of technical innovation. for example, our
alpd® 5.0 super panchromatic laser technology can achieve the energy efficiency of up to 20 lm/w and
improve the efficiency by about 100% compared with other light sources, hence significantly reducing
energy consumption while maintaining the high brightness. to promote green office among employees,
we replaced paper approval with online approval, which effectively reduced the paper consumption at
the office. moreover, we encouraged employees to shut down devices when leaving their posts, turn off
the light for one hour at the lunch break, and take the employee bus, hence improving employees’
awareness of energy conservation and environment protection. we actively implemented rules of energy
conservation and emission reduction and daily management measures, and effectively carried out
measures to save water and power.
(v) measures taken to reduce carbon emissions during the reporting period and their effect
whether carbon reduction measures are
                                                                        yes
in place
reduction of co2 equivalent emissions
(in tons)
                                             to develop and produce new products that facilitate carbon
types of carbon reduction measures           reduction: the xenon lamp light sources used for
(e.g., using clean energy to generate        projection at conventional cinemas have the characteristics
electricity,   using    carbon   reduction   of high power consumption and fast brightness attenuation.
technologies in the production process,      our alpd® laser light source, thanks to its obvious
developing and producing new products        advantages in energy and power conservation, can reduce
that contribute to carbon reduction, etc.)   power consumption by about 1.8 degree for each hour
                                             compared with xenon lamps.
specific description
√ applicable□ n/a
     to verify the use performance of the alpd® laser light source, a cinema in hebei province
selected two cinema halls with almost identical conditions, and retained the xenon lamp light source in
one hall while upgrading the other hall with the alpd® laser light source. after operation for two
months, given the basically same film programming, the xenon lamp hall consumed a total of 1,076
degrees of electricity, making the hourly electricity consumption of 2.91 degrees; while the alpd® laser
hall consumed 403 degrees of electricity, making the hourly electricity consumption of 1.1 degrees,
which reduced the hourly electricity consumption by 1.81 degrees compared with the xenon lamp hall.
     as of the end of the reporting period, we have installed over 28,600 sets of our alpd® laser light
source projection solution throughout china, achieving the total light source operation of about 268
million hours. on the basis of the average of about 1.8 degrees of electricity saved per hour, this saved a
total of about 482 million degrees of electricity, equivalent to reducing the co2 emission by 0.4142
million tons.
ii. information on consolidation and expansion of the results of poverty alleviation, rural
    revitalization and other specific work
□ applicable√ n/a
                                                             section vi significant matters
i.   fulfillment of covenants
(i) covenants made by the actual controller, shareholders, affiliates and acquirer of the company, the company itself and other related parties during
    the reporting period or the outstanding covenants made by them in the prior periods
√ applicable□ n/a
                                                                                                           whether     whether
                                                                                                                                    reason for      action
                                                                                                           there’s a      the
                                                                                                                                     failure to     plan if
                                                                                          validity        time limit   covenant
background     covenant                                                                                                              fulfill the   failing to
                                    covenantor                     covenant content       period of         for the    has been
of covenant      type                                                                                                                covenant      fulfill the
                                                                                          covenant       fulfillment    strictly
                                                                                                                                    on time (if    covenant
                                                                                                             of the     fulfilled
                                                                                                                                    applicable)     on time
                                                                                                          covenant      on time
                            covenant by the controlling
                            shareholder          regarding
                                                                                        after
                            restriction on the sale of
covenant      restriction                                                               completion of
                            shares held by him, voluntary
relating to   on the sale                                     refer to ipo prospectus   the ipo and         yes          yes           n/a            n/a
                            lock-up of such shares,
ipo            of shares                                                                the extended
                            extension of lock-up period,
                                                                                        period stated
                            intention to hold and dispose
                                                                                        below
                            of shares and other issues
                                                                                        after
                            covenant by the actual                                      completion of
                            controller           regarding                              the ipo and
                            restriction on the sale of                                  the extended
covenant      restriction
                            shares held by him, voluntary                               period stated
relating to   on the sale                                     refer to ipo prospectus                       yes          yes           n/a            n/a
                            lock-up of such shares,                                     below, and 6
ipo            of shares
                            extension of lock-up period,                                months after
                            intention to hold and dispose                               termination of
                            of shares and other issues                                  employment
                                                                                        with       the
                                                                                        company
                            covenant by the concert
                            parties of the actual controller                             36    months
                            regarding restriction on the                                 after
covenant      restriction   sale of shares held by them,                                 completion of
relating to   on the sale   voluntary lock-up of such          refer to ipo prospectus   the ipo and      yes   yes   n/a            n/a
ipo            of shares    shares, extension of lock-up                                 the extended
                            period, intention to hold and                                period stated
                            dispose of shares and other                                  below
                            issues
                                                                                         after
                            covenant by hu fei, as a
                                                                                         completion of
                            member of key technical
                                                                                         the ipo and
                            staff, regarding restriction on
                                                                                         the extended
covenant      restriction   the sale of shares held by
                                                                                         period stated
relating to   on the sale   him, voluntary lock-up of          refer to ipo prospectus                    yes   yes   n/a            n/a
                                                                                         below, and 6
ipo            of shares    such shares, extension of
                                                                                         months after
                            lock-up period, intention to
                                                                                         termination of
                            hold and dispose of shares
                                                                                         employment
                            and other issues
                                                                                         with       the
                                                                                         company
covenant
                            issuer’s covenant regarding
relating to   others                                           refer to ipo prospectus    permanent       no    yes   n/a            n/a
                            measures against fraud in ipo
ipo
                            controlling      shareholder,
covenant                    actual controller and their
relating to   others        concert parties’ covenant          refer to ipo prospectus    permanent       no    yes   n/a            n/a
ipo                         regarding measures against
                            fraud in ipo
                            directors, supervisors and
covenant
                            senior officers’ covenant
relating to   others                                           refer to ipo prospectus    permanent       no    yes   n/a            n/a
                            regarding measures against
ipo
                            fraud in ipo
covenant                    issuer’s covenant regarding
              others                                           refer to ipo prospectus    permanent       no    yes   n/a            n/a
relating to                 remedial measures for diluted
ipo                         earnings in the current period
                            controlling        shareholder,
                            actual controller and their
covenant
                            concert parties’ covenant
relating to   others                                           refer to ipo prospectus    permanent       no   yes   n/a            n/a
                            regarding remedial measures
ipo
                            for diluted earnings in the
                            current period
                            directors and senior officers’
covenant
                            covenant regarding remedial
relating to   others                                           refer to ipo prospectus    permanent       no   yes   n/a            n/a
                            measures for diluted earnings
ipo
                            in the current period
covenant
                            issuer’s covenant regarding
relating to   others                                           refer to ipo prospectus    permanent       no   yes   n/a            n/a
                            profit distribution policy
ipo
                            issuer’s covenant regarding
covenant                    restraint      measures     and
relating to   others        liability for compensation in      refer to ipo prospectus    permanent       no   yes   n/a            n/a
ipo                         the event of failure to fulfill
                            its covenants
                            controlling         shareholder,
                            actual controller and their
covenant                    concert parties’ covenant
relating to   others        regarding restraint measures       refer to ipo prospectus    permanent       no   yes   n/a            n/a
ipo                         and liability for compensation
                            in the event of failure to
                            fulfill their covenants
                            directors, supervisors and
                            senior officers’ covenant
covenant
                            regarding restraint measures
relating to   others                                           refer to ipo prospectus   term of office   no   yes   n/a            n/a
                            and liability for compensation
ipo
                            in the event of failure to
                            fulfill their covenants
covenant        resolve     controlling        shareholder’s
relating to    horizontal   covenant        on     avoiding    refer to ipo prospectus    permanent       no   yes   n/a            n/a
ipo           competition   horizontal competition and
                  issues      regulating     and     reducing
                              related-party transactions
                  resolve     actual controller’s covenant
covenant          related-    on     avoiding      horizontal
relating to         party     competition and regulating        refer to ipo prospectus          permanent   no         yes   n/a            n/a
ipo             transaction   and reducing related-party
                   issues     transactions
                                                                for details, refer to the 2021
                                                                restricted share incentive
                              covenant by the grantee of
                                                                plan (draft), the 2021 second
                              share incentives regarding
                others                                          restricted share incentive       permanent   no         yes   n/a            n/a
                              information      disclosure
                                                                plan (draft), and the 2022
                              documents
covenant                                                        restricted share incentive
related    to                                                   plan (draft) of the company
share                                                           for details, refer to the 2021
incentives                                                      restricted share incentive
                              company’s covenant on             plan (draft), the 2021 second
                others        refraining from providing         restricted share incentive       permanent   no         yes   n/a            n/a
                              financial assistance              plan (draft), and the 2022
                                                                restricted share incentive
                                                                plan (draft) of the company
ii. non-operating occupation of funds by the controlling shareholder and other affiliates during the reporting period
□ applicable√ n/a
iii. guarantees in violation of applicable regulations
□ applicable√ n/a
iv. audit of semiannual report
□ applicable√ n/a
v. changes in matters involved by non-standard audit opinions in the previous annual report and treatment thereof
□ applicable√ n/a
vi. matters relating to bankruptcy and reorganization
□ applicable√ n/a
        vii. material litigations and arbitrations
        √ the company was involved in material litigations or arbitrations during the reporting period
        □ the company was not involved in material litigations or arbitrations during the reporting period
        (i) litigations and arbitrations already disclosed in interim announcements about which no new information is available
        √ applicable□ n/a
                                         summary and type of case                                                                reference
        i. (2019) yue 03 min chu no. 2943, 2944, 2946, 2948 and 2951
        in july 2019, the company initiated a patent infringement litigation on the ground that
        delta electronics (shanghai) co., ltd., delta video display system (wujiang) limited, refer to the announcement of litigation involving appotronics (no.
        and shenzhen super network technology co., ltd. infringed the patent for invention 2019-006) disclosed by the company at the website of the shanghai
        stop the acts of infringing the company’s patent rights and compensate the plaintiff for its
        economic losses, etc. in the amount of rmb 28.00 million.
        ii. (2021) yue 73 zhi min chu no. 1860
                                                                                                     refer to the announcement on malicious litigation initiated by
        in december 2021, delta maliciously initiated an intellectual property litigation against
                                                                                                     delta electronics (no. 2021-097) disclosed by the company at the
        the company. since such act infringed the rights and interests of the company, the
                                                                                                     website of the shanghai stock exchange (www.sse.com.cn) on
        company sued delta to guangzhou intellectual property court on december 17, 2021 on
                                                                                                     december 21, 2021 for details.
        the ground of such malicious act, involving the amount of rmb 10.00 million.
        iii. 01-22-0001-2735
        in march 2022, gdc cayman and gdc bvi initiated the arbitration against the
        company and its wholly-owned subsidiary appotronics hk in respect of the dispute over
                                                                                                     refer to the announcement on arbitration with gdc cayman and
        the implementation of the settlement agreement, involving the total amount of usd
                                                                                                     gdc bvi (no. 2022-028) disclosed by the company at the website
                                                                                                     of the shanghai stock exchange (www.sse.com.cn) on april 2, 2022
        bvi, mr. zhang wanneng and his management team on the ground that gdc cayman,
                                                                                                     for details.
        gdc bvi, mr. zhang wanneng and his management team violated the provisions of
        the shareholders’ agreement and settlement agreement, involving the total amount of no
        less than usd 40.00 million.
        (ii) litigations and arbitrations that have not been disclosed in interim announcements or about which there’s new information available
        √ applicable□ n/a
                                                                                                                                 unit: 0’000 yuan currency: rmb
during the reporting period:
                                                      party             type of                             amount whether                       result      enforcement of
  plaintiff/claimant       defendant/respondent                                           background                                 status
                                                   jointly and litigation/arbitration                       claimed       any                      and      judgment/award
                                                 severally                                                                  provision                   effect
                                                   liable                                                                      is
                                                                                                                           recognized
                                                                                                                             and the
                                                                                                                             amount
                                                                                       case of dispute over
                                                                                       infringement        on
                                                                                       patents            for
                                                                                                                                        under trial
                                                                                       invention      (2019)
                                                                                                                                           of the
                                                                                       jing 73 min chu
                                                                                                                                          second
                                                                                       no.      1275,     the
                                                                                                                                         instance.
                                                                                       plaintiff alleges that
                                                                                                                                        judgment
                                                fengmi                                 it is the owner of
                                                                                                                                          of first
                          appotronics           (beijing)     infringement        on   the     patent     for                                          trial not
delta electronics, inc.                                                                                         1,601.00      no         instance:                        -
                          corporation limited   technology    patent for invention     invention                                                      completed
                                                                                                                                          all the
                                                co., ltd.                              zl201610387831.8
                                                                                                                                         claims of
                                                                                       and the defendant
                                                                                                                                           delta
                                                                                       infringed        such
                                                                                                                                        electronics
                                                                                       patent for invention
                                                                                                                                         should be
                                                                                       of the plaintiff and
                                                                                                                                        dismissed.
                                                                                       caused      economic
                                                                                       losses      to     the
                                                                                       plaintiff.
                                                                                       case of dispute over
                                                                                       infringement        on
                                                                                       patents            for
                                                chengdu                                invention      (2021)
                                                                                                                                                      the court
                                                jinxi                                  chuan 01 zhi min                                    the
                                                                                                                                                      approved
                          appotronics           guangxian     infringement        on   chu no. 685, the                                 plaintiff
delta electronics, inc.                                                                                         1,601.00      no                          to              -
                          corporation limited   information   patent for invention     plaintiff alleges that                           withdrew
                                                                                                                                                      withdraw
                                                technology                             the        defendant                              its case
                                                                                                                                                       the case
                                                co., ltd.                              infringed        such
                                                                                       patent for invention
                                                                                       zl201610387831.8
                                                                                       of the plaintiff and
                                                                                       caused      economic
                                                                                       losses      to     the
                                                                                       plaintiff.
                                                                                       case of dispute over
                                                                                       infringement        on
                                                                                       patents            for
                                                                                       invention      (2021)
                                                                                       chuan 01 zhi min
                                                chengdu
                                                                                       chu no. 686, the                                     the court
                                                jinxi                                                                              the
                                                                                       plaintiff alleges that                               approved
                          appotronics           guangxian     infringement on                                                   plaintiff
delta electronics, inc.                                                                the        defendant     1,601.00   no                   to               -
                          corporation limited   information   patent for invention                                              withdrew
                                                                                       infringed        such                                withdraw
                                                technology                                                                       its case
                                                                                       patent for invention                                  the case
                                                co., ltd.
                                                                                       zl201110041436.1
                                                                                       of the plaintiff and
                                                                                       caused      economic
                                                                                       losses      to     the
                                                                                       plaintiff.
                                                                                       case of dispute over
                                                                                       infringement        on
                                                                                       patents            for
                                                                                       invention (2023) hu
                                                shanghai                               no.: (2021) hu 73                                    the court
                                                                                                                                   the
                                                haichi                                 zhi min chu no.                                      approved
                          appotronics                         infringement        on                                            plaintiff
delta electronics, inc.                         digital                                1070), the plaintiff     1,601.00   no                   to               -
                          corporation limited                 patent for invention                                              withdrew
                                                technology                             alleges that the                                     withdraw
                                                                                                                                 its case
                                                co., ltd.                              defendant infringed                                   the case
                                                                                       such patent for
                                                                                       invention
                                                                                       zl201110041436.1
                                                                                       of the plaintiff and
                                                                                       caused      economic
                                                                                       losses      to     the
                                                                                           plaintiff.
                                                    delta
                                                    video
                                                    display
                                                    system
                                                    (wujiang)                              cases of dispute
                                                    limited,                               over infringement
                                                    wang                                   on     patents    for
                                                    yuhai,                                 invention      (2020)
                                                    hunan                                  yue 73 zhi min
                                                    dehao                                  chu no. 1335-
                                                    cultural                               1338, 1340, 1341,
                                                    and                                    1361, the plaintiff
                                                    creative                               accused           the
                                                    co., ltd.,                             defendants, delta
                                                    digital                                electronics                                          the court
appotronics corporation   delta       electronics   protection    infringement        on   (shanghai)       co.,                    case        has made
limited                   (shanghai) co., ltd.      (beijing)     patent for invention     ltd., delta video                       closed          the
                                                    electronics                            display       system                                 decision
                                                    technology                             (wujiang) limited,
                                                    co., ltd.,                             and other entities,
                                                    guangdong                              of infringing the
                                                    jianye                                 patent for invention
                                                    display                                no.
                                                    information                            zl200880107739.5
                                                    technology                             of the plaintiff and
                                                    co., ltd.,                             caused     economic
                                                    and                                    losses     to     the
                                                    guangzhou                              plaintiff.
                                                    jianye
                                                    network
                                                    technology
                                                    co., ltd.
appotronics corporation   delta       electronics   delta         infringement        on   cases of dispute                         case        the court
limited                   (shanghai) co., ltd.      video         patent for invention     over infringement                       closed       has made
                          display            on     patents    for          the
                          system             invention      (2020)        decision
                          (wujiang)          yue 73 zhi min
                          limited,           chu no. 1339,
                          wang               1353, 1355, 1357-
                          yuhai,             1360, the plaintiff
                          hunan              accused           the
                          dehao              defendants, delta
                          cultural           electronics
                          and                (shanghai)       co.,
                          creative           ltd., delta video
                          co., ltd.,         display       system
                          digital            (wujiang) limited,
                          protection         and other entities,
                          (beijing)          of infringing the
                          electronics        patent for invention
                          technology         no.
                          co., ltd.,         zl200810065225.x
                          guangdong          of the plaintiff and
                          jianye             caused     economic
                          display            losses     to     the
                          information        plaintiff.
                          technology
                          co., ltd.,
                          and
                          guangzhou
                          jianye
                          network
                          technology
                          co., ltd.
(iii) other information
√ applicable□ n/a
examination at china national intellectual property administration.
intellectual property administration. the patent involved is “phosphor layer, device and corresponding light source and projection system, and corresponding
production method” (patent no.: zl201510420950.4).
 viii. penalties imposed on the listed company and its directors, supervisors, senior officers,
        controlling shareholder, actual controller for suspected violation of laws and regulations
        and rectification of the relevant violations
 □ applicable√ n/a
 ix. credit standing of the company and its controlling shareholder and actual controller during
     the reporting period
 □ applicable√ n/a
 x. material related-party transactions
 (i) related-party transactions in connection with day-to-day operation
       available
 √ applicable□ n/a
                            summary                                         reference
 the company expects to engage in daily related-party
                                                               refer to the announcement on the
 transactions with china film equipment co., ltd. and its
                                                               prediction of daily related-party
 affiliates, xiaomi communications co., ltd. and its
                                                               transactions in 2023 (no. 2023-010)
 affiliates, beijing donview education technology co.,
                                                               disclosed by the company at the
 ltd. and its affiliates, cinionic limited and its affiliates,
                                                               website of the shanghai stock
 gdc technology limited and its affiliates, shenzhen ylx
                                                               exchange (www.sse.com.cn) on april
 technology development co., ltd. for the amount of rmb
        information available
  □ applicable√ n/a
  □ applicable√ n/a
  (ii) related-party transactions involving acquisition or sale of assets or equities
        available
  □ applicable√ n/a
        information available
  □ applicable√ n/a
  □ applicable√ n/a
  □ applicable√ n/a
  (iii) material related-party transactions involving joint external investments
        available
  √ applicable□ n/a
                       summary                                            reference
                                                         refer to the announcement on stopping
on april 26, 2023, the company held the 19th meeting
                                                         acquiring 51% equity interests in wecast
of the second board of directors and the 18th meeting of
                                                         technology corp. by the subsidiary
the second board of supervisors, at which the proposal     formovie (no. 2023-014) disclosed by the
on stopping acquiring 51% equity interests in wecast       company at the website of the shanghai
technology corp. by the subsidiary formovie was stock exchange (www.sse.com.cn) on april
reviewed and approved, under which it was approved         28, 2023 for details.
that formovie (chongqing) innovative technology co.,
ltd., a subsidiary of the company, shall stop acquiring
the 51% equity interests in wecast.
      information available
 □ applicable√ n/a
 □ applicable√ n/a
 (iv) accounts receivable from and payable to related parties
      available
 □ applicable√ n/a
      information available
 □ applicable√ n/a
 □ applicable√ n/a
 (v) financial business between the company and its affiliated financial companies, or between
      the company’s controlled financial companies and affiliates
 □ applicable√ n/a
 (vi) other material related-party transactions
 □ applicable√ n/a
 (vii) others
 □ applicable√ n/a
 xi. material contracts and performance thereof
 (i) trusteeship, contracting and lease
 √ applicable□ n/a
 (1) trusteeship
 □ applicable√ n/a
 (2) contracting
 □ applicable√ n/a
(3) lease
√ applicable□ n/a
                                                                                                                      unit: 0’000 yuan currency: rmb
                                                                                                            impact of
                                                                                             basis for                  related-party      related-
 name of        name of       leased     amount of                                 lease                  lease income
                                                        start date   end date              determining                  transaction or       party
  lessor         lessee       assets    leased assets                             income                     on the
                                                                                           lease income                        not          relation
                                                                                                            company
                            office,
 shenzhen
              appotronics   r&d,
 meisheng
              corporation   factory,      1469.40       2022.12.01   2024.11.30     -           -              -             no              none
  industry
               limited      employee
 co., ltd.
                            dormitory
description of lease
none
(ii) material guarantees that have been performed or have not yet been fully performed during the report period
√ applicable□ n/a
                                                                                                                                   unit: 0’000 yuan currency: rmb
                                 external guarantees provided by the company (excluding those provided for the subsidiaries)
total amount of guarantees provided during the reporting period (excluding those provided for                                                                   0
the subsidiaries)
balance of guarantees as of the end of the reporting period (a) (excluding those provided for the                                                               0
subsidiaries)
                                 guarantees provided by the company or its subsidiaries for the subsidiaries of the company
                                                                                                                      whether
                                                                                                                                whether
             relationsh                                                                                                   the               amount
                                       relationsh                                                                                  the                whethe
             ip between                                           commencem                                           obligatio              of the
                                       ip between                                  inceptio                                     obligatio             r there’s
                  the                                guarante       ent date of                  expiry      type of       n                overdue
guaranto                               the obligor                                n date of                                         n                     a
              guarantor obligor                          ed         guarantee                    date of     guarant guarante               obligatio
     r                                   and the                                  guarante                                      guarante              counter
               and the                                amount      (signing date                guarantee        ee      ed has                  n
                                          listed                                       e                                         ed has               guarant
                listed                                            of agreement)                                          been               guarante
                                        company                                                                                  become                   ee
              company                                                                                                 discharge                ed
                                                                                                                                overdue
                                                                                                                           d
                                                                                              three years
                         cineapp                                                              after     the
appotroni
                         o laser                                                              due date for
cs                                                                                                          joint and
             headquarte cinema         controlled                                  2021/12/ the
corporati                                            50,000.00      2021/12/29                              several       no       no           -          no
                   rs    technolog subsidiary                                         29      obligations
on                                                                                                          liability
                         y (beijing)                                                          under the
limited
                         co., ltd.                                                            master
                                                                                              contract.
                         cineapp
appotroni
                         o laser
cs                                                                                                          joint and
             headquarte cinema         controlled                                  2021/1/2
corporati                                            23,000.00       2021/1/26                  2026/2/7 several          no       no           -          no
                   rs    technolog subsidiary                                          6
on                                                                                                          liability
                         y (beijing)
limited
                         co., ltd.
appotroni headquarte cineapp controlled                                            2021/12/                 joint and
cs                 rs    o laser subsidiary                                           27                    several
corporati            cinema                                                                          liability
on                   technolog
limited              y (beijing)
                     co., ltd.
                     cineapp
appotroni
                     o laser
cs                                                                                                   joint and
          headquarte cinema        controlled                               2022/12/
corporati                                       10,000.00   2022/12/30                 2027/2/28     several     no   no       -          no
              rs     technolog     subsidiary                                  30
on                                                                                                   liability
                     y (beijing)
limited
                     co., ltd.
                     formovie
appotroni
                     (chongqin
cs                                                                                                   joint and
          headquarte g)            controlled                               2021/9/1
corporati                                       20,000.00   2021/9/10                  2028/4/25     several     no   no       -          no
              rs     innovative    subsidiary                                  0
on                                                                                                   liability
                     technolog
limited
                     y co., ltd.
                     formovie
appotroni
                     (chongqin
cs                                                                                                joint and
          headquarte g)            controlled                               2021/12/
corporati                                       9,000.00    2021/12/6                  2026/12/30 several        no   no       -          no
              rs     innovative    subsidiary                                  6
on                                                                                                liability
                     technolog
limited
                     y co., ltd.
                                                                                     three years
                     formovie                                                        after     the
appotroni
                     (chongqin                                                       due date for
cs                                                                                                   joint and
          headquarte g)          controlled                                 2022/9/1 the
corporati                                       30,000.00   2022/9/16                                several     no   no       -          no
              rs     innovative subsidiary                                      6    obligations
on                                                                                                   liability
                     technolog                                                       under the
limited
                     y co., ltd.                                                     master
                                                                                     contract.
appotroni            formovie                                                        three years
cs                   (chongqin                                                       after     the   joint and
          headquarte            controlled                                  2022/12/
corporati            g)                         12,000.00   2022/12/22               due     date    several     no   no       -          no
              rs                subsidiary                                     22
on                   innovative                                                      (without        liability
limited              technolog                                                       accelerated
                          y co., ltd.                                                         maturity) of
                                                                                              the    latest
                                                                                              financing
                                                                                              due      and
                                                                                              payable
                                                                                              among all
                                                                                              the
                                                                                              financings
                                                                                              drawn and
                                                                                              used during
                                                                                              the period
                                                                                              of
                                                                                              occurrence
                                                                                              of
                                                                                              guaranteed
                                                                                              debts under
                                                                                              the master
                                                                                              agreement
                                                                                              or/and
                                                                                              inter-bank
                                                                                              borrowing.
                                                                                              the
                                                                                              guarantee
                         formovie                                                             period      is
appotroni
                         (chongqin                                                            three years
cs                                                                                                           joint and
            headquarte g)             controlled                                    2021/12/ from       the
corporati                                            5,000.00      2021/12/29                                several     no   no       -          no
                 rs      innovative subsidiary                                         29     date       of
on                                                                                                           liability
                         technolog                                                            termination
limited
                         y co., ltd.                                                          of claims
                                                                                              determinati
                                                                                              on period.
total amount of guarantees provided for the subsidiaries during the reporting period                                                          20,908.07
balance of guarantees provided for the subsidiaries as of the end of the reporting period (b)                                                 51,793.89
                            total amount of guarantees provided by the company (including those provided for the subsidiaries)
total amount guaranteed (a b)                                                                                     51,793.89
proportion of total amount guaranteed to the net assets of the company (%)                                            19.00
including:
total amount of guarantees provided for the shareholders, actual controller and their affiliates (c)                       0
total amount of debt guarantees directly or indirectly provided for the obligors whose equity-
debt ratio exceeds 70% (d)
total amount guaranteed in excess of 50% of the net assets of the company (e)                                              0
total amount guaranteed (c d e)                                                                                   36,599.64
explanation about outstanding guarantees for which the company may assume joint and several
                                                                                                                         n/a
liability
explanation about guarantees                                                                                             n/a
(iii) other material contracts
□ applicable√ n/a
            xii. use of offering proceeds
            √ applicable□ n/a
            (i) overall use of offering proceeds
            √ applicable□ n/a
                                                                                                                                                                                unit: yuan
                                                                                                                                               cumulative
                                                                                                                            cumulative
                                                                                                                                                investment
                                                                net offering                                               total offering                                            ratio of the
                         date     of                                                                    total offering                          progress as
    source        of                                           proceeds after      total offering                          proceeds used                            amount             amount
                         receiving         total offering                                                  proceeds                            of the end of
    offering                                                    deduction of         proceeds                               as of the end                          invested in       invested in
                         offering            proceeds                                                  committed after                               the
    proceeds                                                      offering          committed                                   of the                            this year (4)     this year (%)
                         proceeds                                                                       adjustment (1)                           reporting
                                                                  expenses                                                   reporting                                                (5)=(4)/(1)
                                                                                                                                                period (%)
                                                                                                                             period (2)
                                                                                                                                                 (3)=(2)/(1)
     initial public      july    16,
       offering          2019
            (ii) breakdown of investment projects
            √ applicable□ n/a
                                                                                                                                                                                unit: yuan
                                                              total              cumul     cumul       date
                                                                                                                        whet                    whet
                                                              invest    total     ative      ative    for the
                                                                                                                         her                     her      bene
                                                               ment    invest     total     invest    project
                                                                                                                         the                    benef      fits    material
                                                      whe      from     ment     offerin     ment        to
                      wheth                  date                                                                       inves                     its       or     changes
                                                      ther      the     from        g      progre      reach                       specific
                         er     source         of                                                                       tmen                     are      r&d        in the
                                                      over    offeri     the     procee    ss as of     the                      reason for
                      change       of       receivi                                                             com        t                    achie     resul     project
                                                        -        ng    offerin      ds        the     workin                      failing to
          natu           of     offerin       ng                                                                plete   prog                     ved        ts     feasibilit     balance amount and
project                                               raise   proce       g       used     end of         g                     achieve the
           re          invest      g        offerin                                                             d or     ress                   duri      achie    y; if any,       reasons thereof
                                                        d       eds    procee     as of       the     conditi                      plan of
                      ment is   procee         g                                                                 not    meet                     ng        ved     describe
                                                      fund      com       ds       the     reporti    on for                    investment
                      involve     ds        procee                                                                      s the                    the       by         the
                                                      s are   mitte     after    end of       ng         its                      progress
                         d                    ds                                                                        prog                    repo       the      specific
                                                      used     d for   adjust      the     period     intend
                                                                                                                         ress                   rting     proje     reasons
                                                                the     ment     reporti     (%)      ed use
                                                                                                                         plan                   perio       ct
                                                              proje      (1)       ng        (3) =     [note
                                                                                                                         ned                       d
                                                                 ct              period    (2)/(1)       1]
                                                                     (2)
                                                                                                                                                      as of december 31,
r&d
                                                                                                                                                      and industrialization of
and
                                                                                                                                                      new generation of laser
industrial   prod
                                                                                                                                                      display products” has
ization of   uctio         initial
                                     july        313,0   313,00    279,31            decem                                        n/a                 been completed, which
new          n and         public
                     n/a              16,   no   00,00   0,000.0   1,086.9   89.24     ber   yes   yes        n/a          n/a   [note       no       used the raised funds of
generatio    const         offerin
n of laser   ructi            g
                                                                                                                                                      the remaining raised
display       on
                                                                                                                                                      funds of rmb 51.6167
products
                                                                                                                                                      million in total were
[note 5]
                                                                                                                                                      used to supplement the
                                                                                                                                                      working capital.
                                                                                                         the
                                                                                                         construction
                                                                                                         of the head
                                                                                                         office
                                                                                                         building
                                                                                                         slowed down
                                                                                                         due to the
                                                                                                         complex
r&d
                                                                                                         geological
center at                  initial
                                     july        284,0   284,00    151,97            decem               conditions on
the head                   public
             r&d     n/a              16,   no   00,00   0,000.0   2,898.4   53.51     ber   no    no    the site. this    n/a   n/a         no                   n/a
office of                  offerin
appotro                       g
                                                                                                         be        fully
nics
                                                                                                         implemented
                                                                                                         only after the
                                                                                                         construction
                                                                                                         of the head
                                                                                                         office
                                                                                                         building is
                                                                                                         completed.
                                                                                                         as a result,
                                                                                                            the project
                                                                                                            implementati
                                                                                                            on            is
                                                                                                            postponed.
                                                                                                            since the
                                                                                                            main body of
                                                                                                            the head
                                                                                                            office
                                                                                                            building of
informati                                                                                                   the company
            oper
on                        initial                                                                           is still under
            ation                   july         70,00                                 decem
system                    public                          70,000,   38,556,                                 construction,
            mana    n/a              16,   no    0,000.                       55.08      ber    no    no                       n/a   n/a       no                   n/a
upgrade                   offerin                         000.00    386.63                                  the
            geme                    2019           00                                   2023
and                          g                                                                              prerequisites
              nt
building                                                                                                    for
                                                                                                            implementin
                                                                                                            g this project
                                                                                                            have not
                                                                                                            been
                                                                                                            satisfied.
            supp
            leme
            nting
             the
supplem     work
                          initial
entary       ing                    july         333,0    333,00    335,39
                          public
working     capit   n/a              16,   no    00,00    0,000.0   5,037.6   100.72    n/a     yes   yes        n/a           n/a   n/a       no                   n/a
                          offerin
capital       al                    2019          0.00       0         2
                             g
[note 2]     and
            repay
            ment
              of
            loans
share                     initial
                                    july         20,00                                 septem
repurcha    other         public                          20,000,   19,377,
                    n/a              16,   yes   0,000.                       96.89      ber    yes   yes        n/a           n/a   n/a       no                   n/a
se [note      s           offerin                         000.00    297.59
other                        initial
                                        july             42,47
excess     other             public                               42,470,
                    n/a                  16,      n/a    0,797.                 -         -         n/a      no      yes         n/a         n/a      n/a        no                   n/a
offering     s               offerin                              797.73
proceeds                        g
             [note 1] on march 18, 2022, the company held the 9th meeting of the second board of directors and the 8th meeting of the second board of supervisors, approving
             the proposal on postponing some investment projects through deliberation, and agreeing the company to adjust the time for some investment projects to reach the
             working condition for its intended use.
             [note 2] during the period of implementation of the company’s investment projects, the total wealth management returns of rmb 2.3950 million were realized
             from the special account of supplementary working capital, which have been put into use in the project (supplementary working capital). the special account for
             supplementary working capital (huaxia bank co., ltd. shenzhen houhai branch, account number: 10869000000251463) has been deregistered on july 30, 2020.
             the interest rmb 1,418.11 incurred after completion of this project has been paid to the basic account of the company to be used as supplementary working capital.
             [note 3] the company held the 9th meeting of the second board of directors and the 1st extraordinary general meeting of shareholders in 2022 respectively on
             march 18, 2022 and march 29, 2022, approving the proposal on repurchase of shares of the company through call auction through deliberation, and agreeing the
             company to use the excess offering proceeds to repurchase some rmb-denominated ordinary shares (a shares) issued by it through call auction via the trading
             system of the shanghai stock exchange.
             [note 4] as of december 31, 2022, the project “r&d and industrialization of new generation of laser display products” has been completed, for which the
             incremental sales revenue of rmb 50.5068 million before and after the investment in this project was taken as the indicator of the benefits realized from the project.
             [note 5] on april 26, 2023, the company held the 19th meeting of the second board of directors and the 18th meeting of the second board of supervisors
             respectively, which deliberated and approved the proposal on the completion of some of the company’s fundraising projects and permanent replenishment of
             working capital with the surplus raised funds, and agreed that the company would close the fundraising project “r&d and industrialization of new generation of
             laser display products”, and a total of rmb 51.6167 million saved (as of december 31, 2022) shall be used for permanent replenishment of the working capital. as
             at the date of remittance, the actual balance in the special account was rmb 52.0022 million (including the interest income and wealth management income, net of
             handling fees). this special account (hua xia bank co., ltd. shenzhen houhai branch, account no.: 10869000000305964) has been deregistered on may 17, 2023,
             and the funds have been transferred to the general account of the company.
(iii) change in investment projects during the reporting period
□ applicable√ n/a
(iv) other information about the use of offering proceeds during the reporting period
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
     the proposal on cash management of temporarily idle offering proceeds was approved through
deliberation at the 14th meeting of the second board of directors and the 13th meeting of the second
board of supervisors held by the company on june 29, 2022. it was approved that, without affecting the
normal implementation of the investment plan for offering proceeds, a maximum of rmb 469 million
temporarily idle offering proceeds may be put under cash management to purchase investment products
featuring high security, good liquidity, and guarantee of the principal (including but not limited to
structural deposits, agreement deposits, notice deposits, term deposits, large-amount deposit note, and
return notes), where the total amount for purchasing return notes shall be no more than rmb 100 million
for no more than 12 months, which shall be effective within 12 months from the review and approval by
the board of directors and board of supervisors.
     the proposal on cash management of temporarily idle offering proceeds was approved through
deliberation at the 20th meeting of the second board of directors and the 19th meeting of the second
board of supervisors held by the company on june 25, 2023. it was approved that, without affecting the
normal implementation of the investment plan for offering proceeds, a maximum of rmb 249.00
million (inclusive) temporarily idle offering proceeds may be put under cash management to purchase
investment products featuring high security, good liquidity, and guarantee of the principal (including but
not limited to structural deposits, notice deposits, term deposits, large-amount deposit note, and return
notes), where the total amount for purchasing return notes shall be no more than rmb 100 million
(inclusive), which shall be effective within 12 months from the review and approval.
□ applicable√ n/a
√ applicable□ n/a
projects through deliberation, and agreeing the company to adjust the time for some investment projects
to reach the working condition for its intended use. refer to the announcement on postponing some
investment projects (no. 2022-019) disclosed by the company at the website of the shanghai stock
exchange (www.sse.com.cn) on march 21, 2022.
general meeting of shareholders in 2022 respectively on march 18, 2022 and march 29, 2022, approving
the proposal on repurchase of shares of the company through call auction through deliberation, and
agreeing the company to use the excess offering proceeds to repurchase some rmb-denominated
ordinary shares (a shares) issued by it through call auction via the trading system of the shanghai stock
exchange, with the repurchase funds totaling not less than rmb 10 million (inclusive) but not more than
rmb 20 million (inclusive), the repurchase price not exceeding rmb 26.89 per share (inclusive, namely
the price after adjustments to equity distribution in 2021) and the repurchase period being six months
from the date on which this repurchase plan is approved by the general meeting of shareholders.
    as of december 31, 2022, the company repurchased 900,000 shares in the aggregate through call
auction, representing 0.1969% of the company’s total share capital, and paid rmb 19,377,297.59
(including stamp duty, commissions and other transaction fees). the repurchase of shares has been
completed.
second board of supervisors on june 29, 2022, approving the proposal on adjusting internal investment
structure of some investment projects through deliberation, and agreeing the company to adjust the
internal investment structure of the investment project “r&d and industrialization of new generation of
laser display products”, and to decrease the “equipment purchase expenses” by rmb 53.802 million and
increase the “r&d expenditures” by rmb 53.802 million.
second board of supervisors and the annual general meeting for 2022 on april 26, 2023 and may 19,
investment projects through deliberation, and agreeing the company to adjust the internal investment
structure of the investment project “r&d center at the head office of appotronics”, and to decrease the
“equipment purchase expenses” by rmb 65.0000 million and increase the “r&d expenditures” by
rmb 65.0000 million.
xiii.    other significant matters
□ applicable√ n/a
                 section vii         changes in shares and shareholders
i.    changes in shares
(i)    statement of changes in shares
during the reporting period, there is no change in total ordinary shares and share capital structure of the
company.
□ applicable√ n/a
financial indicators for the duration after the reporting period to the disclosure date of the
semiannual report
√ applicable □ n/a
    on july 5, 2023, the company disclosed the announcement on the vesting result for the first
vesting period in the initial grant of the restricted share incentive plan 2022 and listing of shares
(no. 2023-029). the company registered a total of 3,299,000 newly vested shares for the first vesting
period in the initial grant of the restricted share incentive plan 2022. these shares became available for
trading on july 7, 2023, increasing the company’s total shares from 457,107,538 shares to 460,406,538
shares.
      from the end of the reporting period to the disclosure date of this semiannual report, changes in the
company’s shares increased the diluted earnings per shares and net assets per share attributable to
ordinary shareholders of the company.
regulatory authority
□ applicable√ n/a
(ii) changes in non-tradable shares
□ applicable√ n/a
ii.   shareholders
(i)    total number of shareholders:
total number of ordinary shareholders as of the end of the
reporting period (accounts)
total number of shareholders of preferred shares whose
voting right has been restituted as of the end of the reporting                       0
period (accounts)
total number of shareholders holding shares with special
voting rights as of the end of the reporting period (accounts)
number of holders of depository receipts
□ applicable√ n/a
(ii) shares held by top 10 shareholders and top 10 holders of tradable shares as of the end of the
     reporting period
shares held by top 10 shareholders through both the general securities account and the customer
credit transaction guarantee securities account of a securities company
□ applicable√ n/a
                                                                                           unit: share
                                 shares held by top 10 shareholders
                                                          number of         shares
                                                               non-        pledged,
                                                            tradable      marked, or
                        balance
                                                numb          shares        frozen
              change    of shares
                                                 er of         held,
sharehold     during     held as
                                                 non-      including                       sharehold
    er          the       of the    percenta
                                                tradab the shares                             er
   (full      reporti    end of      ge (%)                             shar
                                                   le        lent out                       nature
  name)         ng         the                                            e     quantit
                                                shares     under the
              period    reportin                                        statu     y
                                                 held     refinancin
                        g period                                          s
                                                                 g
                                                          arrangeme
                                                                nt
shenzhen                                                                                   domestic
appotroni                                                                                  non-state-
cs              0                    17.45        0           0                    0       owned
holdings                                                                                   corporatio
limited                                                                                    n
shenzhen
yuanshi
                                                                                           domestic
laser
                                                                                           non-state-
industrial              24,139,5                                        non
investment                 00                                            e
                                                                                           corporatio
consulting
                                                                                           n
partnershi
p (lp)
nantong
strait                                                                                     domestic
appotroni                                                                                  non-state-
cs              0                     4.98        0           0                    0       owned
investment                                                                                 corporatio
partnershi                                                                                 n
p (lp)
shenzhen
                                                                                           domestic
appotroni
                                                                                           non-state-
cs     daye             20,430,2                                        non
investment                 50                                            e
                                                                                           corporatio
partnershi
                                                                                           n
p (lp)
shenzhen
                                                                                           domestic
appotroni
                                                                                           non-state-
cs hongye               15,662,3                                        non
investment                 74                                            e
                                                                                           corporatio
partnershi
                                                                                           n
p (lp)
shenzhen
                                                                                           domestic
jinleijing
                                                                                           non-state-
investment              12,353,1                                        non
limited                    06                                            e
                                                                                           corporatio
partnershi
                                                                                           n
p (lp)
shenzhen
appotroni                                                                             domestic
cs                                                                                    non-state-
chengye          0                  2.27        0          0                  0       owned
consulting                                                                            corporatio
partnershi                                                                            n
p (lp)
bank     of
china co.,
ltd.       -
stable
income            -      9,710,54                                   non
bond           222,857      4                                        e
securities
investment
fund of e
fund
shenzhen
guochuan
g chenggu
capital
manageme                                                                              domestic
nt     co.,                                                                           non-state-
                428,60   8,114,36                                   non
ltd.       -                        1.78        0          0                  0       owned
shenzhen                                                                              corporatio
chengguh                                                                              n
ui equity
investment
partnershi
p (lp)
industrial
bank co.,
ltd.       -
tianhong
                497,07   7,540,68                                   non
yongli                              1.65        0          0                  0         others
bond
securities
investment
fund
                          shares held by top 10 holders of tradable shares
                                            number of              type and number of shares
            shareholder                   tradable shares
                                                                  category          quantity
                                                held
shenzhen     appotronics     holdings                         rmb-denominated
limited                                                         ordinary share
shenzhen yuanshi laser industrial
                                                              rmb-denominated
investment consulting partnership            24,139,500                            24,139,500
                                                                ordinary share
(lp)
nantong       strait     appotronics                          rmb-denominated
investment partnership (lp)                                     ordinary share
shenzhen       appotronics       daye                         rmb-denominated
investment partnership (lp)                                     ordinary share
shenzhen     appotronics      hongye                          rmb-denominated
investment partnership (lp)                                     ordinary share
shenzhen     jinleijing    investment                         rmb-denominated
limited partnership (lp)                                        ordinary share
shenzhen     appotronics     chengye                           rmb-denominated
consulting partnership (lp)                                     ordinary share
bank of china co., ltd. - stable
                                                               rmb-denominated
income bond securities investment            9,710,544                                  9,710,544
                                                                ordinary share
fund of e fund
shenzhen     guochuang       chenggu
capital management co., ltd. -                                 rmb-denominated
shenzhen      chengguhui       equity                           ordinary share
investment partnership (lp)
industrial bank co., ltd. - tianhong
                                                               rmb-denominated
yongli bond securities investment            7,540,688                                  7,540,688
                                                                ordinary share
fund
description of special repurchase
shareholders     among      top   10                                n/a
shareholders
description of entrusting voting
right, entrusted voting right and
                                                                    n/a
waiver of voting right of the
shareholders above
                                        shareholders of the company constituted persons acting in
                                        concert: shenzhen appotronics holdings limited, shenzhen
                                        yuanshi laser industrial investment consulting partnership
                                        (lp), shenzhen appotronics daye investment partnership
                                        (lp), shenzhen appotronics hongye investment partnership
affiliates or concert parties among
                                        (lp), shenzhen jinleijing investment limited partnership (lp),
the shareholders stated above
                                        and shenzhen appotronics chengye consulting partnership
                                        (lp);
                                        affiliates or concert parties as defined in the administrative
                                        measures for the acquisition of the listed companies among
                                        other shareholders.
holders of preferred shares whose
voting rights have been restituted
                                                                    n/a
and the number of shares held by
them
top 10 holders of non-tradable shares and lock-up period
□ applicable√ n/a
statement of top 10 holders of domestic depository receipts as of the end of the reporting period
□ applicable√ n/a
number of non-tradable depository receipts held by top 10 holders and lock-up period
□ applicable√ n/a
(iii) statement of top 10 shareholders by number of votes held as of the end of the reporting
    period
□ applicable√ n/a
(iv) strategic investors or general corporations that become top 10 shareholders as a result of
    allotment of new shares/depository receipts
□ applicable√ n/a
iii. directors, supervisors, senior officers and key technical staff
(i) changes in shareholding of current directors, supervisors, senior officers and key technical
    staff and the former directors, supervisors, senior officers and key technical staff who left the
    company during the reporting period
□ applicable√ n/a
other information
□ applicable√ n/a
(ii) share incentives granted to directors, supervisors, senior officers and key technical staff
    during the reporting period
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                                            unit: share
                                    number of                      number       number
                                                                                              number of
                                    restricted                         of           of
                                                     number of                                restricted
                                      shares                      restricted   restricted
                                                     restricted                                  shares
                                     already                        shares       shares
                                                       shares                                   already
                                    granted as                       that      that have
 name               title                             granted                                 granted as
                                      at the                       could be       been
                                                     during the                              of the end of
                                    beginning                     vested in    vested in
                                                     reporting                                     the
                                      of the                          the          the
                                                       period                                 reporting
                                    reporting                     reporting    reporting
                                                                                                 period
                                      period                        period       period
            chairman & general
  li yi                              3,500,000              0          0           0           3,500,000
                  manager
zhang         director, deputy
  wei        general manager
wang         director, financial
yingxia           director
 chen
              board secretary         432,750               0      75,000          0            432,750
 yasha
yu xin       key technical staff     1,070,000              0     100,000          0           1,070,000
hu fei       key technical staff      540,000               0      75,000          0            540,000
wang
             key technical staff      630,000               0      75,000          0            630,000
  lin
wang
             key technical staff      632,000               0      75,000          0            632,000
 zeqin
 guo
             key technical staff      626,000               0      75,000          0            626,000
zuqiang
 total                -              8,601,310              0     625,000          0           8,601,310
(iii) other information
□ applicable√ n/a
iv. changes in the controlling shareholder or actual controller
□ applicable√ n/a
v.   implementation of and changes in arrangements relating to depository receipts during the
     reporting period
□ applicable√ n/a
vi. shares with special voting rights
□ applicable√ n/a
                    section viii preferred shares
□ applicable√ n/a
                                     section ix bonds
i.    enterprise bonds, corporate bonds and non-financial corporate debt financing instruments
□ applicable√ n/a
ii.   convertible corporate bonds
□ applicable√ n/a
                                 section x financial report
i. auditor’s report
□ applicable√ n/a
ii. financial statements
                                   consolidated balance sheet
                                           june 30, 2023
prepared by: appotronics corporation limited
                                                                    unit: yuan currency: rmb
                   item                       note      june 30, 2023       december 31, 2022
current assets:
   monetary funds                            vii. 1      1,279,193,927.48       1,355,882,208.63
   balances with clearing agencies
   placements with banks and other
financial institutions
   held-for-trading financial assets         vii. 2       564,877,200.00          352,880,000.00
   derivative financial assets
   notes receivable                          vii. 4         3,404,025.55            2,234,687.77
   accounts receivable                       vii. 5       206,727,257.21          208,260,235.79
   receivables financing                     vii. 6        15,223,418.33            4,279,041.00
   prepayments                               vii. 7        34,764,381.68           48,445,976.86
   premiums receivable
   amounts receivable under reinsurance
contracts
   reinsurer’s share of insurance contract
reserves
   other receivables                         vii. 8        26,973,222.84            26,331,721.55
   including: interest receivable
           dividend receivable                             14,307,084.00            13,789,908.00
   financial assets purchased under resale
agreements
   inventories                               vii. 9       757,719,004.42          865,639,961.79
   contract assets                           vii. 10        1,608,301.56            1,061,581.35
   assets held for sale
   non-current assets due within 1 year      vii. 12        28,306,652.31          13,431,554.82
   other current assets                      vii. 13        95,956,187.10         106,502,611.79
      total current assets                               3,014,753,578.48       2,984,949,581.35
non-current assets:
   loans and advances
   debt investments
   other debt investments
   long-term receivables                     vii. 16       22,198,629.19           11,524,193.80
   long-term equity investment               vii. 17      156,523,146.05          162,394,917.57
   investment in other equity instruments    vii. 18        7,075,419.38            7,075,419.38
   other non-current financial assets
   investment property
   fixed assets                              vii. 21      379,962,412.96          427,539,718.53
   construction in progress                  vii. 22      314,382,210.87          278,978,057.73
   productive biological assets
   oil and gas assets
   right-of-use assets                       vii. 25       55,804,553.57           62,255,670.29
   intangible assets                         vii. 26      285,586,197.40          290,341,693.08
   development expenditure
   goodwill
   long-term prepaid expenses                  vii. 29        7,285,477.87           5,990,984.03
   deferred tax assets                         vii. 30       78,069,270.62          89,730,936.02
   other non-current assets                    vii. 31       18,633,790.53          12,569,088.37
      total non-current assets                            1,325,521,108.44       1,348,400,678.80
         total assets                                     4,340,274,686.92       4,333,350,260.15
current liabilities:
   short-term borrowings                       vii. 32     129,604,426.40          129,589,634.03
   loans from the central bank
   taking from banks and other financial
institutions
   held-for-trading financial liabilities
   derivative financial liabilities
   notes payable                               vii. 35      80,254,013.57          201,299,388.57
   accounts payable                            vii. 36     275,507,953.57          276,845,321.28
   advance from customers                      vii. 37      99,404,605.97          113,834,728.10
   contract liabilities                        vii. 38      39,465,849.54           37,285,920.43
   financial assets sold under repurchase
agreements
   customer deposits and deposits from
banks and other financial institutions
   funds from securities trading agency
   funds from underwriting securities
agency
   employee benefits payable                   vii. 39      29,744,716.45            58,470,960.55
   taxes payable                               vii. 40       6,453,066.16             8,272,768.90
   other payables                              vii. 41     119,907,648.52            56,662,357.08
   including: interest payable
           dividend payable                                    797,774.22
   fees and commissions payable
   amounts payable under reinsurance
contracts
   liabilities held for sale
   non-current liabilities due within 1 year   vii. 43     178,360,640.39          178,031,817.37
   other current liabilities                   vii. 44       9,799,529.40           28,383,608.37
      total current liabilities                            968,502,449.97        1,088,676,504.68
non-current liabilities:
   insurance contract reserves
   long-term borrowings                        vii. 45     531,486,901.70          403,720,542.45
   bonds payable
   including: preferred shares
           perpetual bonds
   lease liabilities                           vii. 47      27,260,832.49            34,319,284.23
   long-term payables
   long-term employee benefits payable
   provisions                                  vii. 50      53,463,551.36            56,463,882.87
   deferred income                             vii. 51       5,112,246.23             8,651,422.26
   deferred tax liabilities
   other non-current liabilities
      total non-current liabilities                         617,323,531.78         503,155,131.81
         total liabilities                                1,585,825,981.75       1,591,831,636.49
owners’ equity (shareholders’ equity):
   paid-in capital (or share capital)          vii. 53     457,107,538.00          457,107,538.00
   other equity instruments
   including: preferred shares
           perpetual bonds
   capital reserve                           vii. 55    1,551,466,365.12       1,530,752,116.04
   less: treasury shares                     vii. 56       19,377,297.59          19,377,297.59
   other comprehensive income                vii. 57       12,451,180.91           5,736,897.41
   special reserve
   surplus reserve                           vii. 59       75,519,782.06           75,519,782.06
   general risk reserve
   retained profits                          vii. 60      648,203,885.57         597,924,451.67
   total owners’ (or shareholders’) equity
attributable to owners of the parent                    2,725,371,454.07       2,647,663,487.59
company
   minority interests                                      29,077,251.10           93,855,136.07
      total owners’ (or shareholders’)
equity
        total liabilities and owners’ (or
shareholders’) equity
principal of the company: li yi chief accountant: wang yingxia       person in charge of the
accounting body: wang yingxia
                              balance sheet of the parent company
                                           june 30, 2023
prepared by: appotronics corporation limited
                                                                    unit: yuan currency: rmb
                   item                       note      june 30, 2023       december 31, 2022
current assets:
  monetary funds                                          708,529,158.47         675,429,827.76
  held-for-trading financial assets                       556,410,000.00         352,880,000.00
  derivative financial assets
  notes receivable                                          3,404,025.55           2,234,687.77
  accounts receivable                        xvii. 1      640,188,219.65         688,004,828.29
  receivables financing                                     8,441,068.33           2,399,041.00
  prepayments                                               8,174,839.77          11,009,592.85
  other receivables                          xvii. 2       14,803,374.55           7,556,623.71
  including: interest receivable
         dividend receivable
  inventories                                             342,827,948.28         390,906,125.18
  contract assets                                           1,608,301.56           1,061,581.35
  assets held for sale
  non-current assets due within 1 year                      1,388,837.66           1,334,808.66
  other current assets                                     25,403,663.47          27,531,860.98
    total current assets                                2,311,179,437.29       2,160,348,977.55
non-current assets:
  debt investments
  other debt investments
  long-term receivables                                       993,013.56             944,108.40
  long-term equity investment                xvii. 3      466,035,120.86         450,239,347.45
  investment in other equity instruments                    7,075,419.38           7,075,419.38
  other non-current financial assets
  investment property
  fixed assets                                             64,584,608.06          66,271,459.60
  construction in progress                                309,377,852.19         270,837,599.21
  productive biological assets
  oil and gas assets
  right-of-use assets                                      41,175,572.84           52,738,418.54
  intangible assets                                       288,593,244.60          294,108,453.73
  development expenditure
  goodwill
  long-term prepaid expenses                                 1,136,835.80             487,991.29
  deferred tax assets                                       17,162,782.96          20,220,930.66
  other non-current assets                                  16,605,003.36           9,952,305.78
     total non-current assets                            1,212,739,453.61       1,172,876,034.04
       total assets                                      3,523,918,890.90       3,333,225,011.59
current liabilities:
  short-term borrowings                                    60,038,850.01            60,043,166.67
  held-for-trading financial liabilities
  derivative financial liabilities
  notes payable                                            33,608,729.87           58,301,159.76
  accounts payable                                        289,751,340.58          275,547,785.20
  advance from customers
  contract liabilities                                     17,901,395.11            19,945,270.00
  employee benefits payable                                16,396,021.22            35,920,277.61
  taxes payable                                             1,883,828.76             5,339,271.71
  other payables                                           77,053,825.14             9,722,655.99
  including: interest payable
          dividend payable                                    797,774.22
  liabilities held for sale
  non-current liabilities due within 1 year                50,590,576.11           24,463,018.64
  other current liabilities                                 1,429,595.96            2,666,327.90
     total current liabilities                            548,654,162.76          491,948,933.48
non-current liabilities:
  long-term borrowings                                    249,181,118.32          148,087,667.43
  bonds payable
  including: preferred shares
          perpetual bonds
  lease liabilities                                        19,976,948.15            29,114,281.86
  long-term payables
  long-term employee benefits payable
  provisions                                               22,959,255.63            24,939,050.33
  deferred income                                           2,657,700.76             5,630,959.06
  deferred tax liabilities
  other non-current liabilities
     total non-current liabilities                        294,775,022.86          207,771,958.68
       total liabilities                                  843,429,185.62          699,720,892.16
owners’ equity (shareholders’ equity):
  paid-in capital (or share capital)                      457,107,538.00          457,107,538.00
  other equity instruments
  including: preferred shares
          perpetual bonds
  capital reserve                                        1,561,226,098.34       1,541,789,874.63
  less: treasury shares                                     19,377,297.59          19,377,297.59
  other comprehensive income
  special reserve
  surplus reserve                                          74,242,241.33           74,242,241.33
  retained profits                                        607,291,125.20          579,741,763.06
     total owners’ (or shareholders’)
equity
       total liabilities and owners’ (or                 3,523,918,890.90       3,333,225,011.59
shareholders’) equity
principal of the company: li yi chief accountant: wang yingxia              person in charge of the
accounting body: wang yingxia
                                    consolidated income statement
                                            jan. - jun. 2023
                                                                           unit: yuan currency: rmb
                      item                           note     half year of 2023     half year of 2022
i. total operating income                                       1,073,249,037.75     1,269,322,202.11
including: operating income                         vii. 61     1,073,249,037.75     1,269,322,202.11
        interest income
        premiums earned
        fee and commission income
ii. total operating costs                                       1,012,145,838.42       1,227,121,118.16
including: operating costs                          vii. 61       668,659,467.49         884,560,607.88
        interest expenses
        fee and commission expenses
        surrenders
        claims and policyholder benefits (net
of amounts recoverable from reinsurers)
        net withdrawal of insurance contract
reserves
        insurance policyholder dividends
        expenses for reinsurance accepted
        taxes and surcharges                        vii. 62         4,005,751.53           4,636,401.10
        selling expenses                            vii. 63       143,399,660.02         120,302,361.36
        administrative expenses                     vii. 64        86,696,223.82         106,015,842.36
        r&d expenses                                vii. 65       126,406,142.12         114,959,786.37
        financial expenses                          vii. 66       -17,021,406.56          -3,353,880.91
        including: interest expense                                 7,061,642.05          12,510,421.43
                interest income                                    15,604,073.30           6,740,942.87
   add: other income                                vii. 67        23,608,983.31          21,565,810.43
        investment income (loss is indicated
                                                    vii. 68        -2,806,106.20           -4,567,473.71
by “-”)
        including: income from investments in
                                                                   -8,071,814.75          -10,562,840.53
associates and joint ventures
              gains from derecognition of
financial assets at amortized assets (loss is
indicated by “-”)
        foreign exchange gains (loss is
indicated by “-”)
        gains from net exposure hedges (loss
is indicated by “-”)
        gains from changes in fair values (loss
                                                    vii. 70                                -1,634,000.00
is indicated by “-”)
        losses of credit impairment (loss is
                                                    vii. 71        -3,513,083.07            1,393,164.79
indicated by “-”)
        impairment losses of assets (loss is
                                                    vii. 72       -29,013,931.74          -19,822,363.99
indicated by “-”)
        gains from disposal of assets (loss is
                                                    vii. 73            15,262.15               17,213.16
indicated by “-”)
iii. operating profit (loss is indicated by “-”)                   49,394,323.78           39,153,434.63
   add: non-operating income                        vii. 74         9,424,347.83              167,888.31
   less: non-operating expenses                     vii. 75           641,261.92            1,511,909.47
iv. total profits (total losses are indicated by                   58,177,409.69           37,809,413.47
“-”)
   less: income tax expenses                         vii. 76   18,649,943.64            19,269,471.17
v. net profits (net losses are indicated by “-”)               39,527,466.05            18,539,942.30
(i) categorized by the continuity of operation
(net losses are indicated by “-”)
operations (net losses are indicated by “-”)
(ii) categorized by the ownership
of the parent company (net losses are                          74,914,640.95            45,966,481.10
indicated by “-”)
minority shareholders (net losses are indicated                -35,387,174.90          -27,426,538.80
by “-”)
vi. other comprehensive income, net of tax           vii. 77    5,158,805.71            13,583,493.02
   (i) other comprehensive income that can be
attributable to owners of the parent company,                   6,714,283.50            13,734,264.61
net of tax
cannot be reclassified subsequently to profit or
loss
(1) changes from remeasurement of defined
benefit plans
(2) other comprehensive income that cannot
be reclassified to profit or loss under the
equity method
(3) changes in fair value of investments in
other equity instruments
(4) changes in fair value of enterprises’ own
credit risks
be reclassified to profit or loss
(1) other comprehensive income that will be
reclassified to profit or loss under the equity                 -4,176,328.87           -9,668,892.26
method
(2) changes in fair value of other debt
investments
(3) amount of financial assets reclassified to
other comprehensive income
(4) provision for credit impairment of other
debt investments
(5) reserve for cash flow hedges
(6) exchange differences on translation of
financial statements denominated in foreign                    10,890,612.37            23,403,156.87
currencies
(7) others
   (ii) other comprehensive income that can
be attributable to minority shareholders, net of                -1,555,477.79             -150,771.59
tax
vii. total comprehensive income                                44,686,271.76            32,123,435.32
   (i) total comprehensive income that can be
attributable to owners of the parent company
   (ii) total comprehensive income that can be
                                                               -36,942,652.69          -27,577,310.39
attributable to minority shareholders
viii. earnings per share:
     (i) basic earnings per share (rmb/share)                                 0.16                    0.10
     (ii) diluted earnings per share (rmb/share)                              0.16                    0.10
  in the event of business combinations involving enterprises under common control, the net profits
  realized prior to the combination by the party being absorbed is: rmb 0.00, and the net profits realized
  in the last period by the party being absorbed is: rmb 0.00.
  principal of the company: li yi        chief accountant: wang yingxia       person in charge of the
  accounting body: wang yingxia
                                  income statement of the parent company
                                              jan. - jun. 2023
                                                                            unit: yuan currency: rmb
                                                                note   half year of     half year of
                          item
i. operating income                                          xvii. 4   542,956,800.34  649,645,354.34
    less: operating costs                                    xvii. 4   368,571,473.83  432,684,792.22
          taxes and surcharges                                           3,199,879.01     2,709,645.68
          selling expenses                                              37,056,481.71    34,971,927.98
          administrative expenses                                       46,709,472.09    70,191,714.62
          r&d expenses                                                  70,859,871.98    74,661,621.25
          financial expenses                                           -16,034,801.70   -12,346,217.67
          including: interest expense                                    3,133,969.39     1,758,702.76
                  interest income                                       14,313,472.46     9,044,664.08
    add: other income                                                   19,359,728.30    12,418,751.65
          investment income (loss is indicated by “-”)       xvii. 5    12,717,708.55     5,884,922.38
          including: income from investments in
associates and joint ventures
                gains from derecognition of financial
assets at amortized assets (loss is indicated by “-”)
          gains from net exposure hedges (loss is
indicated by “-”)
          gains from changes in fair values (loss is
                                                                                            -1,634,000.00
indicated by “-”)
          losses of credit impairment (loss is indicated
                                                                        -2,891,569.80         -970,107.59
by “-”)
          impairment losses of assets (loss is indicated
                                                                        -7,961,985.67       -7,784,985.64
by “-”)
          gains from disposal of assets (loss is indicated
by “-”)
ii. operating profit (loss is indicated by “-”)                         53,831,023.23      54,686,451.06
    add: non-operating income                                              362,544.72          94,307.77
    less: non-operating expenses                                           216,230.87       1,451,707.15
iii. total profits (total losses are indicated by “-”)                  53,977,337.08      53,329,051.68
       less: income tax expenses                                         1,792,767.89      11,694,579.04
iv. net profits (net losses are indicated by “-”)                       52,184,569.19      41,634,472.64
    (i) net profits from continuing operations (net
losses are indicated by “-”)
    (ii) net profits from discontinued operations (net
losses are indicated by “-”)
v. other comprehensive income, net of tax
    (i) other comprehensive income that cannot be
reclassified subsequently to profit or loss
benefit plans
reclassified to profit or loss under the equity method
equity instruments
credit risks
   (ii) other comprehensive income that will be
reclassified to profit or loss
reclassified to profit or loss under the equity method
investments
other comprehensive income
investments
financial statements denominated in foreign
currencies
vi. total comprehensive income                                        52,184,569.19     41,634,472.64
vii. earnings per share:
      (i) basic earnings per share (rmb/share)
      (ii) diluted earnings per share (rmb/share)
  principal of the company: li yi         chief accountant: wang yingxia    person in charge of the
  accounting body: wang yingxia
                                   consolidated cash flow statement
                                            jan. - jun. 2023
                                                                             unit: yuan currency: rmb
                         item                          note     half year of 2023     half year of 2022
  i. cash flows from operating activities:
     cash receipts from the sale of goods and the
  rendering of services
     net increase in customer deposits and
  deposits from banks and other financial
  institutions
     net increase in loans from the central bank
     net increase in taking from banks and other
  financial institutions
     cash receipts from premiums under direct
  insurance contracts
     net cash receipts from reinsurance business
     net cash receipts from policyholders’
  deposits and investment contract liabilities
     cash receipts from interest, fees and
  commissions
     net increase in taking from banks
     net increase in financial assets sold under
  repurchase arrangements
     net cash received from securities trading
  agencies
     receipts of tax refunds                                          4,435,896.68        3,189,929.64
     other cash receipts relating to operating
                                                      vii. 78        90,837,327.64       34,395,802.37
  activities
        sub-total of cash inflows from operating                  1,212,329,008.00    1,466,819,846.60
activities
   cash payments for goods purchased and
services received
   net increase in loans and advances to
customers
   net increase in balance with the central bank
and due from banks and other financial
institutions
   cash payments for claims and
policyholders’ benefits under direct insurance
contracts
   net increase in placements with banks and
other financial institutions
   cash payments for interest, fees and
commissions
   cash payments for insurance policyholder
dividends
   cash payments to and on behalf of
employees
   payments of various types of taxes                            30,029,161.72        47,664,436.15
   other cash payments relating to operating         vii. 78
activities
      sub-total of cash outflows from operating
activities
         net cash flow from operating activities                114,738,832.13       -78,553,359.67
ii. cash flows from investing activities:
   cash receipts from disposals and recovery of
investments
   cash receipts from investment income                            5,265,708.55        5,995,366.82
   net cash receipts from disposals of fixed
assets, intangible assets and other long-term                        30,975.00             2,210.00
assets
   net cash receipts from disposals of
subsidiaries and other business units
   other cash receipts relating to investing
activities
      sub-total of cash inflows from investing
activities
   cash payments to acquire or construct fixed
assets, intangible assets and other long-term                    41,659,342.63        53,593,529.31
assets
   cash payments to acquire investments                         976,816,480.00      995,000,000.00
   net increase in pledged loans receivables
   net cash payments for acquisitions of
subsidiaries and other business units
   other cash payments relating to investing
activities
      sub-total of cash outflows from investing
activities
         net cash flows from investment
                                                               -260,010,504.24         5,167,457.19
activities
iii. cash flows from financing activities:
   cash receipts from capital contributions                      50,609,959.00         8,866,332.86
   including: cash receipts from capital
contributions from minority shareholders of
subsidiaries
   cash receipts from borrowings                                  265,000,000.00      260,569,353.56
   other cash receipts relating to financing
activities
     sub-total of cash inflows from financing
activities
   cash repayments of borrowings                                  137,959,994.00       70,016,183.00
   cash payments for distribution of dividends
or profits or settlement of interest expenses
   including: payments for distribution of
dividends or profits to minority shareholders of                   11,040,000.00
subsidiaries
   other cash payments relating to financing
                                                    vii. 78        17,407,047.01       17,704,289.67
activities
     sub-total of cash outflows from financing
activities
         net cash flows from financing activities                 110,646,737.55      124,508,865.09
iv. effect of foreign exchange rate
changes on cash and cash equivalents
v. net increase in cash and cash
                                                                  -26,350,268.55       60,285,822.80
equivalents
   add: opening balance of cash and cash
equivalents
vi. closing balance of cash and cash
equivalents
principal of the company: li yi         chief accountant: wang yingxia     person in charge of the
accounting body: wang yingxia
                              cash flow statement of the parent company
                                              jan. - jun. 2023
                                                                          unit: yuan currency: rmb
                      item                             note    half year of 2023    half year of 2022
i. cash flows from operating activities:
   cash receipts from the sale of goods and the
rendering of services
   receipts of tax refunds                                           1,915,638.25          329,661.66
   other cash receipts relating to operating
activities
     sub-total of cash inflows from operating
activities
   cash payments for goods purchased and
services received
   cash payments to and on behalf of
employees
   payments of various types of taxes                               12,354,746.49      25,813,452.99
   other cash payments relating to operating
activities
     sub-total of cash outflows from operating
activities
   net cash flow from operating activities                         125,758,431.19       -8,672,402.14
ii. cash flows from investing activities:
   cash receipts from disposals and recovery of
investments
   cash receipts from investment income                             12,717,708.55        5,884,922.38
   net cash receipts from disposals of fixed
assets, intangible assets and other long-term
assets
   net cash receipts from disposals of
subsidiaries and other business units
   other cash receipts relating to investing
activities
     sub-total of cash inflows from investing
activities
   cash payments to acquire or construct fixed
assets, intangible assets and other long-term                      35,226,743.48       46,538,785.01
assets
   cash payments to acquire investments                           976,818,280.00      935,000,000.00
   net cash payments for acquisitions of
subsidiaries and other business units
   other cash payments relating to investing
activities
     sub-total of cash outflows from investing
activities
         net cash flows from investment
                                                                 -234,302,339.93      -98,653,862.63
activities
iii. cash flows from financing activities:
   cash receipts from capital contributions                        50,609,959.00        8,866,332.86
   cash receipts from borrowings                                  135,000,000.00       80,569,353.56
   other cash receipts relating to financing
activities
     sub-total of cash inflows from financing
activities
   cash repayments of borrowings                                    5,750,000.00          500,000.00
   cash payments for distribution of dividends
or profits or settlement of interest expenses
   other cash payments relating to financing
activities
     sub-total of cash outflows from financing
activities
         net cash flows from financing activities                 138,107,859.55       27,490,416.10
iv. effect of foreign exchange rate
changes on cash and cash equivalents
v. net increase in cash and cash
equivalents
   add: opening balance of cash and cash
equivalents
vi. closing balance of cash and cash
equivalents
principal of the company: li yi         chief accountant: wang yingxia     person in charge of the
accounting body: wang yingxia
                                                            consolidated statement of changes in owners’ equity
                                                                               jan. - jun. 2023
                                                                                                                                                          unit: yuan currency: rmb
                                                                                                          half year of 2023
                                                               equity attributable to owners of the parent company
     item                     other equity instruments                                                                  gene                                                        total
                   paid-in                                                             other      speci                                                              minority
                                                                          less:                                           ral                                                      owner’s
                   capital                                 capital                  comprehen       al      surplus             retained      othe                   interests
                              preferr   perpet                          treasury                                         risk                         sub-total                     equity
                  (or share                      othe      reserve                      sive      reser     reserve              profits       rs
                                ed       ual                             shares                                         reser
                   capital)                       rs                                  income       ve
                              shares    bonds                                                                             ve
i. closing
balance of the        38.00                                      6.04        7.59             1                  2.06                 1.67                   7.59           .07           3.66
prior year
add: changes
in accounting
policies
      correctio
ns of prior
period errors
      business
combination
involving
enterprises
under
common
control
      others
ii. opening
balance of the        38.00                                      6.04        7.59             1                  2.06                 1.67                   7.59           .07           3.66
current year
iii. changes
for the year                                                                                                                                                                  -
(decrease is                                                        8                         0                                         90                      8
indicated by                                                                                                                                                                .97
“-”)
(i) total                                                                           6,714,283.5                                 74,914,640.          81,628,924.4            -    44,686,271.7
comprehensiv                                                                                  0                                         95                      5   36,942,652               6
e income                                                                        .69
(ii) owners’
contributions    20,714,249.0                            20,714,249.0
and reduction               8                                       8
                                                                                .28
in capital
shares
contributed by
owners
contribution
from holders
of other
equity
instruments
based
payment          20,442,747.1                            20,442,747.1    3,204,207.   23,646,954.6
recognized in               9                                       9           49               8
owners’
equity
                                                                                .77              8
(iii) profit                                         -              -             -              -
distribution                               24,635,207.   24,635,207.0   11,040,000    35,675,207.0
surplus
reserve
general risk
reserve
                                                     -              -             -              -
distributions
to owners (or                                      05               5           .00              5
shareholders)
(iv) transfers
within
owners’
equity
capitalization
of capital
reserve
capitalization
of surplus
reserve
by surplus
reserve
earnings
carried
forward from
changes in
defined
benefit plans
earnings
carried
forward from
other
comprehensiv
e income
(v) special
reserve
special
reserve in the
period
utilized in the
current period
(vi) others
iv. closing
balance of the        38.00           5.12        7.59           91          2.06         5.57           4.07           .10           5.17
current year
                                                                                              half year of 2022
                                                             equity attributable to owners of the parent company
                             other equity instruments                                                                 gene                                                        total
    item          paid-in                                                              other      speci                                                            minority
                                                                        less:                                           ral                                                      owner’s
                  capital                                 capital                   comprehen       al    surplus             retained      othe                   interests
                             preferr   perpet                          treasury                                        risk                         sub-total                     equity
                 (or share                      othe      reserve                       sive      reser   reserve              profits       rs
                               ed       ual                             shares                                        reser
                  capital)                       rs                                   income       ve
                             shares    bonds
                                                                                                                        ve
i. closing                                                                                    -
balance of the       01.00                                      6.65
prior year                                                                                  60
add: changes
in accounting
policies
      correcti
ons of prior
period errors
      business
combination
involving
enterprises
under
common
control
      others
ii. opening                                                                                   -
balance of the       01.00                                      6.65
current year                                                                                60
iii. changes
for the year                                                                                                                            -                                   -
(decrease is                                                       1          .13           61
indicated by                                                                                                                            3                                 15
“-”)
(i) total                                                                                                                                                                   -
comprehensiv                                                                                61                                        10                      1
e income                                                                                                                                                                  39
(ii) owners’
contributions                                           35,464,460.9   3,211,260                                                                   32,253,200.7   2,634,023.2   34,887,224.0
and reduction                                                      1          .13                                                                             8             4              2
in capital
shares                          3,211,260                                        -                            -
contributed                            .13                            3,211,260.13                 3,211,260.13
by owners
contribution
from holders
of other
equity
instruments
based
payment          35,464,460.9                                         35,464,460.9   2,634,023.2   38,098,484.1
recognized in               1                                                    1             4              5
owners’
equity
(iii) profit                                                      -              -                            -
distribution                                            47,539,596.   47,539,596.4                 47,539,596.4
surplus
reserve
general risk
reserve
                                                                  -              -                            -
distributions
to owners (or                                                   43               3                            3
shareholders)
(iv)
transfers
within
owners’
equity
capitalization
of capital
reserve
capitalization
of surplus
reserve
by surplus
reserve
earnings
carried
forward from
changes in
defined
benefit plans
earnings
carried
forward from
other
comprehensiv
e income
(v) special
reserve
special
reserve in the
period
utilized in the
current period
(vi) others
iv. closing                                                                       -
balance of the        01.00                         7.56          .13
current year                                                                      9
principal of the company: li yi   chief accountant: wang yingxia            person in charge of the accounting body: wang yingxia
                                                     statement of changes in owners’ equity of the parent company
                                                                             jan. - jun. 2023
                                                                                                                                                     unit: yuan currency: rmb
                                                                                                      half year of 2023
                                   paid-in              other equity instruments                                             other
                                                                                                            less:                                                            total
             item                 capital (or                                               capital                       comprehen   special    surplus      retained
                                                 preferred     perpetual                                   treasury                                                         owner’s
                                    share                                      others       reserve                           sive    reserve    reserve       profits
                                                  shares        bonds                                       shares                                                           equity
                                   capital)                                                                                 income
i. closing balance of the prior   457,107,538.                                             1,541,789,8   19,377,297.5                           74,242,241.   579,741,76    2,633,504,1
year                                       00                                                    74.63              9                                   33          3.06          19.43
add: changes in accounting
policies
      corrections of prior
period errors
      others
ii. opening balance of the        457,107,538.                                             1,541,789,8   19,377,297.5                           74,242,241.    579,741,76   2,633,504,1
current year                               00                                                    74.63              9                                   33           3.06         19.43
iii. changes for the year                                                                  19,436,223.                                                        27,549,362.   46,985,585.
(decrease is indicated by “-”)                                                                      71                                                                 14            85
(i) total comprehensive                                                                                                                                       52,184,569.   52,184,569.
income                                                                                                                                                                 19            19
(ii) owners’ contributions and                                                             19,436,223.                                                                      19,436,223.
reduction in capital                                                                               71                                                                                71
by owners
holders of other equity
instruments
recognized in owners’ equity                                                                       71                                                                               71
(iii) profit distribution                                                                                                                                               -             -
shareholders)                                                                                                                                                 24,635,207.   24,635,207.
(iv) transfers within owners’
equity
reserve
reserve
reserve
forward from changes in
defined benefit plans
forward from other
comprehensive income
(v) special reserve
in the period
current period
(vi) others
iv. closing balance of the        457,107,538.                                             1,561,226,0    19,377,297.5                          74,242,241.   607,291,12    2,680,489,7
current year                               00                                                    98.34               9                                  33          5.20          05.28
                                                                                                      half year of 2022
                                   paid-in              other equity instruments                                             other
                                                                                                            less:                                                            total
              item                capital (or                                               capital                       comprehen   special    surplus      retained
                                                 preferred     perpetual                                   treasury                                                         owner’s
                                    share                                      others       reserve                           sive    reserve    reserve       profits
                                                  shares        bonds                                       shares                                                           equity
                                   capital)                                                                                 income
i. closing balance of the prior   452,756,901.                                             1,410,150,1                                          54,988,327.   453,996,13    2,371,891,4
year                                       00                                                    34.25                                                  58          5.72          98.55
add: changes in accounting
policies
      corrections of prior
period errors
      others
ii. opening balance of the        452,756,901.                                             1,410,150,1                                          54,988,327.    453,996,13   2,371,891,4
current year                               00                                                    34.25                                                  58           5.72         98.55
iii. changes for the year                                                                  38,311,779.                                                                  -   29,195,395.
(decrease is indicated by “-”)                                                                      65                                                        5,905,123.7            73
(i) total comprehensive                                          41,634,472.   41,634,472.
income                                                                   64            64
(ii) owners’ contributions          38,311,779.                                35,100,519.
and reduction in capital                    65                                         52
contributed by owners                             3,211,260.13                 3,211,260.1
holders of other equity
instruments
recognized in owners’ equity                65                                         65
(iii) profit distribution                                                  -             -
shareholders)                                                    47,539,596.   47,539,596.
(iv) transfers within owners’
equity
reserve
reserve
reserve
forward from changes in
defined benefit plans
forward from other
comprehensive income
(v) special reserve
in the period
current period
(vi) others
iv. closing balance of the   452,756,901.                                       1,448,461,9                               54,988,327.   448,091,01   2,401,086,8
current year                          00                                              13.90                                       58          1.93         94.28
 principal of the company: li yi            chief accountant: wang yingxia    person in charge of the accounting body: wang yingxia
iii. company profile
√ applicable□ n/a
     appotronics corporation limited (hereinafter referred to as “company” or “the company”),
formally named as appotronics corporation ltd. (hereinafter referred to as “appotronics ltd.”), was
jointly invested and established by li yi and xu yanzheng, registered in nanshan branch of market
supervision and regulation bureau of shenzhen municipality on october 24, 2006, and headquartered
in shenzhen city, guangdong province. the company holds the business license bearing the credibility
code 91440300795413991n. the company’s registered capital is rmb 457,107,538.00 divided into
shares were listed for trading on shanghai stock exchange on july 22, 2019.
     the company can be classified into the computer, communication and other electronic equipment
manufacturing industry. it mainly engages in research and development, production, sales and leasing of
laser display core devices and whole machines, and can provide customers with technical research and
development services and customized products. its products mainly include laser optical engines, laser
business and education projectors, smart mini projectors, laser tv, laser large venue projector and laser
digital cinema projector.
     these financial statements have been approved by the 21st meeting of the second board of
directors on august 16, 2023 for public disclosure.
√ applicable□ n/a
     the company has included 35 subsidiaries into the consolidated financial statements for the current
period, including cineappo laser cinema technology (beijing) co., ltd., appotronics hong kong
limited, formovie (chongqing) innovative technology co., ltd., fengmi (beijing) technology co.,
ltd., etc. refer to viii and ix of section x for details.
iv. basis of preparation of financial statements
the company’s financial statements are prepared on a going-concern basis.
√ applicable□ n/a
the company has detected no events or circumstances that may cast significant doubt upon its ability to
continue as a going concern within 12 months from the reporting period.
v.   significant accounting policies and accounting estimates
specific accounting policies and accounting estimates:
√ applicable□ n/a
important: the company establishes the specific accounting policies and makes the specific
accounting estimates with respect to the impairment of financial instruments, depreciation of fixed assets,
amortization of intangible assets, recognition of revenues and other transactions and events according to
the actual production and operation characteristics of the company.
the financial statements prepared by the company conform to the requirements of the accounting
standards for business enterprises and truly and completely reflect the company’s financial position,
operating results, changes in shareholders’ equity, cash flows and other related information.
the company’s accounting year is from january 1 to december 31 of each calendar year.
√ applicable□ n/a
the company has a relatively short operating cycle, and determines the liquidity of assets and liabilities
on the basis of 12 months.
the company and domestic subsidiaries adopt rmb as their functional currency, while appotronics
hong kong limited and other overseas subsidiaries engaging in overseas operation adopt the currency
in their primary economic environments as their functional currencies.
     and not involving entities under common control
√ applicable□ n/a
     assets and liabilities acquired from a business combination by the company are measured at the
book values of the assets and liabilities of the acquiree in the consolidated financial statements of the
ultimate controller at the date of combination. the difference between the book value of the owners’
equity of the acquiree as stated in the consolidated financial statements of the ultimate controller and the
book value of the total consideration paid or total par value of the shares issued in connection with the
combination is treated as an adjustment to the capital reserve. in case the capital reserve is not sufficient
to absorb the difference, the remaining balance is adjusted against the retained earnings.
     where the cost of combination exceeds the company’s interest in the fair value of the acquiree’s
identifiable net assets, the difference is recognized as goodwill. where the cost of combination is less
than the company’s interest in the fair value of the acquiree’s identifiable net assets, the company
firstly reassesses the fair values of the acquiree’s identifiable assets, liabilities and contingent liabilities
and the measurement of the cost of combination. if after that reassessment, the cost of combination is
still less than the company’s interest in the fair value of the acquiree’s identifiable net assets, the
acquirer recognizes the remaining difference immediately in profit or loss for the current period.
√ applicable□ n/a
     the parent company includes all of its controlled subsidiaries in its consolidated financial
statements. the consolidated financial statements are prepared by the parent company in accordance
with the accounting standards for business enterprises no. 33 - consolidated financial statements, on
the basis of the respective financial statements of the parent company and its subsidiaries, by reference
to other relevant data.
√ applicable□ n/a
relating to its interest in the joint operation:
     (1) the assets individually held by the company, and the company’s share of the assets held jointly;
     (2) the liabilities incurred individually by the company, and the company’s share of the liabilities
incurred jointly;
     (3) the company’s revenue from the sale of its share of output of the joint operation;
     (4) the company’s share of revenue from the sale of assets by the joint operation; and
     (5) the expenses incurred individually by the company, and the company’s share of the expenses
incurred jointly.
cash equivalents are the group’s short-term (generally due within 3 months from the acquisition date),
highly liquid investments that are readily convertible to known amounts of cash and which are subject to
an insignificant risk of changes in value.
√ applicable□ n/a
     a foreign currency transaction is recorded in rmb, on initial recognition, by applying the spot
exchange rate on the date of the transaction. at the balance sheet date, foreign currency monetary items
are translated into rmb using the spot exchange rates at the balance sheet date. exchange differences
arising from such translations are recognized in profit or loss for the current period, except for those
attributable to foreign currency borrowings that have been taken out specifically for the acquisition or
construction of qualifying assets and accrued interest. non-monetary items denominated in foreign
currencies that are measured at historical cost are translated using the foreign exchange rates ruling at
the transaction dates, without adjusting the amounts in rmb. non-monetary items denominated in
foreign currencies that are measured at fair value are translated using the foreign exchange rates
prevailing at the dates when the fair value was determined, with exchange differences arising from such
translations recognized in profit or loss for the current period or other comprehensive income.
     asset and liability items on the balance sheet are translated at the spot exchange rate prevailing at
the balance sheet date; shareholders’ equity items other than “retained profits” are translated at the spot
exchange rates at the dates on which such items arose; income and expense items in the income
statement are translated at the exchange rates that approximate the actual spot exchange rates on the
dates of the transactions. exchange differences arising from such translations are recognized in other
comprehensive income.
√ applicable□ n/a
     on initial recognition, the company’s financial assets are classified into three categories, including
(1) financial assets at amortized cost; (2) financial assets at fair value through other comprehensive
income; and (3) financial assets at fair value through profit or loss for the current period.
     upon initial recognition, the company’s financial liabilities are classified into four categories,
including (1) financial liabilities at fair value through profit or loss for the current period; (2) financial
liabilities arising as a result of the transfer of financial assets not meeting the criteria for derecognition or
continuing involvement in the financial assets transferred; (3) financial guarantee contracts not falling
under clauses (1) and (2), and loan commitments not falling under clause (1) and below market interest
rate; and (4) financial liabilities at amortized cost.
     (1) recognition and initial measurement of financial assets and financial liabilities
     when the company becomes a party to a financial instrument contract, a financial asset or liability
is recognized. financial assets and liabilities are initially measured at fair value. transaction costs
relating to financial assets or liabilities at fair value through profit or loss are directly recognized in
profit or loss for the current period. transaction costs relating to other kinds of financial assets or
liabilities are included in their initially recognized amount. however, where the accounts that do not
contain any significant financing component or are recognized by the company without taking into
consideration the significant financing components under the contracts with a term of less than one year
upon initial recognition are initially measured at transaction price defined in the accounting standard for
business enterprises no. 14 - revenue.
     (2) subsequent measurement of financial assets
     financial assets at amortized cost are subsequently measured at amortized cost using the effective
interest method. gains or losses arising from financial assets at amortized cost that do not belong to any
hedging relationship are recognized in profit or loss for the current period upon derecognition,
reclassification, amortization using the effective interest method or recognition of impairment.
     investments in debt instruments at fair value through other comprehensive income are subsequently
measured at fair value. interest, impairment losses or gains and exchange gains or losses calculated
using the effective interest method are recognized in profit or loss for the current period, and other gains
or losses are recognized in other comprehensive income. upon derecognition, the aggregate gains or
losses previously recognized in other comprehensive income are transferred to profit or loss for the
current period.
     investments in debt instruments at fair value through other comprehensive income are subsequently
measured at fair value. dividends received (other than those received as recovery of investment cost) are
recognized in profit or loss for the current period, and other gains or losses are recognized in other
comprehensive income. upon derecognition, the accumulated gains or losses previously recognized in
other comprehensive income are transferred to retained earnings.
     financial assets at fair value through profit or loss for the current period are subsequently measured
at fair value, with gains or losses arising therefrom, including interest and dividend income, recognized
in profit or loss for the current period, except the financial assets belonging to any hedging relationship.
     (3) subsequent measurement of financial liabilities
     financial liabilities at fair value through profit or loss for the current period include financial
liabilities held for trading (including derivatives classified as financial liabilities), and financial liabilities
directly designated as at fair value through profit or loss for the current period. such financial liabilities
are subsequently measured at fair value. changes in the fair value of financial liabilities designated as at
fair value through profit or loss for the period arising out of changes in the company’s own credit risk
are recognized in other comprehensive income, unless such treatment will result in or increase any
accounting mismatch in profit or loss. other gains or losses arising from such financial liabilities,
including interest expenses and changes in fair value not arising out of changes in the company’s own
credit risk, are recognized in profit or loss for the current period, except the financial liabilities
belonging to any hedging relationship. upon derecognition, the accumulated gains or losses previously
recognized in other comprehensive income are transferred to retained earnings.
for derecognition or continuing involvement in the financial assets transferred
     such financial liabilities are measured in accordance with the accounting standards for business
enterprises no. 23 - transfer of financial assets.
falling under clause 1) and below market interest rate
     such financial liabilities are subsequently measured at the higher of ① provision for impairment
losses determined according to the policy for impairment of financial instruments; and ② balance of
the initially recognized amount after deduction of the accumulated amortization determined in
accordance with the relevant provisions of the accounting standard for business enterprises no. 14 -
revenue.
     financial liabilities at amortized cost are subsequently measured at amortized cost using the
effective interest method. gains or losses on financial liabilities at amortized cost that do not belong to
any hedging relationship are recognized in profit or loss for the current period upon derecognition or
amortization using the effective interest method.
     (4) derecognition of financial assets and financial liabilities
     ① the contractual right to receive cash flows from the financial assets has expired; or
     ② the financial assets have been transferred and such transfer meets the criteria for derecognition
of financial assets as set forth in the accounting standards for business enterprises no. 23 - transfer of
financial assets.
part thereof) is discharged.
     when a financial asset of the company is transferred, if substantially all the risks and rewards
incidental to the ownership of the financial asset have been transferred, the financial asset is
derecognized, and the rights and obligations incurred or retained in such transfer are separately
recognized as assets or liabilities (as the case may be); if substantially all the risks and rewards
incidental to the ownership of the financial asset have been retained, the financial asset transferred
continues to be recognized. if the company neither transferred nor retained a substantial portion of all
risks and rewards incidental to the ownership of the financial asset, then: (1) if the company does not
retain control over the financial asset, the financial asset is derecognized, and the rights and obligations
incurred or retained in such transfer are separately recognized as assets or liabilities (as the case may be);
and (2) if the company retains control over the financial asset, the financial asset continues to be
recognized to the extent of the company’s continuing involvement in the financial asset transferred, and
a corresponding liability is recognized.
     if an entire transfer of a financial asset meets the criteria for derecognition, the difference between
(1) the book value of the financial asset transferred at the date of derecognition; and (2) the sum of the
consideration received from the transfer and the portion of the accumulated amount of changes in fair
value directly recorded as other comprehensive income originally that corresponds to the part
derecognized (where the financial asset transferred is an investment in debt instruments at fair value
through other comprehensive income) is recognized in profit or loss for the current period. if part of a
financial asset is transferred and the part transferred entirely meets the criteria for derecognition, the
total book value of the financial asset immediately prior to the transfer is allocated between the part
derecognized and the part not derecognized in proportion to their relative fair value at the date of
transfer, and the difference between (1) the book value of the part derecognized; and (2) the sum of the
consideration received from the transfer of the part derecognized and the portion of the accumulated
amount of changes in fair value directly recorded as other comprehensive income originally that
corresponds to the part derecognized (where the financial asset transferred is an investment in debt
instruments at fair value through other comprehensive income) is recognized in profit or loss for the
current period.
     the company adopts the valuation techniques applicable to the current situations and with
sufficient data available and support of other information, to determine the fair value of financial assets
and financial liabilities. the company classifies the inputs used by the valuation techniques in the
following levels and uses them in turn:
     (1) level 1 inputs: quoted market price (unadjusted) in an active market for an identical asset or
liability available at the date of measurement;
     (2) level 2 inputs: inputs other than inputs included within level 1 that are observable directly or
indirectly. this category includes quoted prices for similar assets or liabilities in active markets, quoted
prices for identical or similar assets or liabilities in inactive markets, observable inputs other than quoted
prices (such as interest rate and yield curves observable during regular intervals of quotation), and inputs
validated by the market;
     (3) level 3 inputs: inputs that are unobservable. this category includes interest rate or stock
volatility that cannot be directly observed or validated by observable market data, future cash flows from
retirement obligation incurred in business combinations, and financial forecasts made using own data.
     (1) measurement and accounting treatment of impairment of financial instruments
     the company determines the impairment and assesses provision for impairment losses of financial
assets at amortized cost, investments in debt instruments at fair value through other comprehensive
income, contract assets, lease receivable, loan commitments other than financial liabilities designated at
fair value through profit or loss for the current period, and financial guarantee contracts other than
financial liabilities designated at fair value through profit or loss for the current period and financial
liabilities arising as a result of the transfer of financial assets not meeting the criteria for derecognition or
continuing involvement in the financial assets transferred, on the basis of expected credit losses.
     expected credit loss is the weighted average of credit losses on financial instruments taking into
account the possibility of default. credit loss is the difference between all contractual cash flows
receivable under the contract and estimated future cash flows discounted at the original effective interest
rate, i.e. the present value of all cash shortage, wherein the company’s purchased or originated financial
assets that have become credit impaired are discounted at their credit-adjusted effective interest rate.
     with respect to purchased or originated financial assets that have become credit impaired, at the
balance sheet date, the company recognizes a loss allowance equal to the accumulated amount of
changes in lifetime expected credit losses since initial recognition.
     with respect to lease receivable, accounts receivable and contract assets that are formed from
transactions under the accounting standards for business enterprises no. 14 - revenue, the company
 uses the simple measurement method and recognizes a loss allowance equal to the lifetime expected
 credit loss.
      with respect to financial assets not using the measurement methods stated above, at each balance
 sheet date, the company assesses whether the credit risk has increased significantly since initial
 recognition, and recognizes a loss allowance equal to the lifetime expected credit loss if the credit risk
 has increased significantly since initial recognition, or to the expected credit losses within the next 12
 months if the credit risk has not increased significantly since initial recognition.
      the company uses reasonable and supportable information, including forward-looking information,
 and compares the possibility of default at the balance sheet date with the possibility of default upon
 initial recognition, to determine whether the credit risk of the financial instruments has increased
 significantly since initial recognition.
      at the balance sheet date, if the company determines that a financial instrument only has low credit
 risk, the company assumes that its credit risk has not increased significantly since initial recognition.
      the company assesses expected credit risk and measures expected credit losses of financial
 instruments individually or collectively. when assessing the financial instruments collectively, the
 company includes the financial instruments in different groups according to their common risk
 characteristics.
      at each balance sheet date, the company re-assesses the expected credit losses, with the amount of
 increase in or reversal of loss allowance recognized in profit or loss for the current period as impairment
 losses or gains. with respect to a financial asset at amortized cost, its book value recorded in the balance
 sheet is written off against the loss allowance. with respect to an investment in debt instruments at fair
 value through other comprehensive income, the company recognizes the loss allowance in other
 comprehensive income, without reducing its book value.
      (2) financial instruments for which expected credit risk is assessed and expected credit losses are
 measured collectively by using a three-stage model
                      item                           basis for determining         method for measuring
                                                            a group                    expected credit losses
other receivables - group of deposit and                                       by reference to historic credit
security receivable                                                            loss experience, and taking
                                                    nature of receivables
other receivables - group of withholding                                       into account the current
receivable                                                                     situations and prediction of
                                                    contract assets from       future economic conditions,
other receivables - group of receivables from
                                                    related parties in the     calculate the expected credit
related parties in the scope of consolidation
                                                    scope of consolidation     losses according to the default
                                                                               risk exposure and 12-month or
other receivables - grouping by aging               aging                      rate of lifetime expected credit
                                                                               loss.
     (3) accounts receivable for which expected credit losses are measured collectively and contract
assets using the simple measurement method
             item                  basis for             method for measuring expected credit losses
                                 determining a
                                     group
bank acceptance bills
receivable
                               type of notes
commercial acceptance                              by reference to historic credit loss experience, and
bills receivable                                   taking into account the current situations and prediction
                               contract assets     of future economic conditions, calculate the expected
accounts receivable -
                               from related        credit losses according to the default risk exposure and
group of receivables from
                               parties in the      rate of lifetime expected credit loss.
related parties in the scope
                               scope of
of consolidation
                               consolidation
                                                   by reference to historic credit loss experience, and
                                                   taking into account the current situations and prediction
accounts receivable -                              of future economic conditions, prepare a comparison
                               aging
grouping by aging                                  table of the aging of accounts receivable and rate of
                                                   lifetime expected credit loss, and calculate the expected
                                                   credit losses.
                               contract assets     by reference to historic credit loss experience, and
contract assets - contract
                               from related        taking into account the current situations and prediction
assets from related parties
                               parties in the      of future economic conditions, calculate the expected
in the scope of
                               scope of            credit losses according to the default risk exposure and
consolidation
                               consolidation       rate of lifetime expected credit loss.
                                                   by reference to historic credit loss experience, and
                                                   taking into account the current situations and prediction
contract assets - grouping                         of future economic conditions, prepare a comparison
                                     aging
by aging                                           table of the aging of contract assets and rate of lifetime
                                                   expected credit loss, and calculate the expected credit
                                                   losses.
                                                   by reference to historic credit loss experience, and
                                                   taking into account the current situations and prediction
long-term receivables -                            of future economic conditions, prepare a comparison
                                     aging
grouping by aging                                  table of the aging of long-term receivables and rate of
                                                   lifetime expected credit loss, and calculate the expected
                                                   credit losses.
accounts receivable and rate of lifetime expected credit loss
                                      rate of expected credit loss for accounts receivable, contract assets,
              aging
                                                          and long-term receivables (%)
 within 1 year (including, the
 same below)
 over 3 years                        100.00
     financial assets and financial liabilities are presented in the balance sheet separately, without
offsetting each other. however, the company may represent the financial assets and financial liabilities
on a net basis in the balance sheet only if: (1) the company has a legal right that is currently enforceable
to set off the recognized financial assets and financial liabilities, and (2) the company intends either to
settle on a net basis, or to realize the financial asset and settle the financial liability simultaneously.
with respect to the transfer of financial assets not meeting the criteria for derecognition, the company
does not offset the financial assets transferred against the relevant liabilities.
method for recognition of expected credit losses of notes receivable and relevant accounting
treatments
√ applicable□ n/a
the company’s method for recognition of expected credit losses of notes receivable and relevant
accounting treatments are disclosed in v.10 of section x in details.
method for recognition of expected credit losses of accounts receivable and relevant accounting
treatments
√ applicable□ n/a
the company’s method for recognition of expected credit losses of accounts receivable and relevant
accounting treatments are disclosed in v.10 of section x in details.
√ applicable□ n/a
the company’s policies on receivables financing and accounting are disclosed in v.10 of section x in
details.
method for recognition of expected credit losses of other receivables and relevant accounting
treatments
√ applicable□ n/a
the company’s method for recognition of expected credit losses of other receivables and relevant
accounting treatments are disclosed in v.10 of section x in details.
√ applicable□ n/a
     inventories include finished goods or merchandise held by the company for sale in the ordinary
course of business, or work in progress in the process of production for such sale, or materials or
supplies to be consumed in the production process or in the rendering of services.
     the actual cost of inventories upon delivery is calculated using the moving weighted average
method.
     at the balance sheet date, inventories are measured at the lower of cost and net realizable value.
any excess of the cost over the net realizable value of each item/class of inventories is recognized as a
provision for diminution in the value of inventories. for inventories directly used for sale, the net
realizable value is determined as the estimated selling price in the ordinary course of business less the
estimated costs necessary to make the sale and relevant taxes. for inventories required for processing,
the net realizable value is determined as the estimated selling price of finished goods in the ordinary
course of business less the estimated costs of completion, and the estimated costs necessary to make the
sale and relevant taxes. as at the balance sheet date, if in the same item of inventories, some are agreed
with contractual prices while the others are not, the net realizable value for such inventories is
determined separately, and compared with the costs of the two parts of inventories distinctively, as to
determine the provisions or reversal of provisions for decline in value of inventories separately.
     the perpetual inventory system is maintained for stock system.
     (1) low cost and short-lived consumable items
     packaging materials are amortized using the immediate write-off method.
     (2) packaging materials
     packaging materials are amortized using the immediate write-off method.
(1). recognition method and criteria of contract assets
√ applicable□ n/a
     the company presents contract assets or contract liabilities in the balance sheet according to the
relationship between the performance of contractual obligations and payment by customers. contract
assets and contract liabilities under a same contract are presented at the net amount after offsetting each
other.
     the company presents its owned right to unconditionally (that is, only depending on the lapse of
time) receive consideration from customers as the accounts receivable, and the right to receive the
consideration for which the goods that have been transferred to customers (that is, depending on factors
other than the lapse of time) as the contract assets.
(2). method for recognition of expected credit losses of contract assets and relevant accounting
     treatments
√ applicable□ n/a
the method for recognition of expected credit losses of contract assets and relevant accounting
treatments are disclosed in v.10 of section x in details.
□ applicable√ n/a
method for recognition of expected credit losses of debt investments and relevant accounting
treatments
□ applicable√ n/a
method for recognition of expected credit losses of other debt investments and relevant accounting
treatments
□ applicable√ n/a
method for recognition of expected credit losses of long-term receivables and relevant accounting
treatments
√ applicable□ n/a
the method for recognition of expected credit losses of long-term receivables and relevant accounting
treatments are disclosed in v.10 of section x in details.
√ applicable□ n/a
     joint control is the contractually agreed sharing of control of an arrangement, which exists only
when decisions about the relevant activities of such arrangement require the unanimous consent of the
parties sharing control. significant influence is the power to participate in the financial and operating
policy decisions of the investee but does not control or jointly control over those policies.
     (1) in case of an equity investment acquired through a business combination involving entities
under common control, if the acquirer pays consideration for the business combination by cash, transfer
of non-monetary assets, assumption of liabilities or issuance of equity securities, the initial investment
cost of the long-term equity investment is the company’s share of the book value of the owners’ equity
of the acquiree in the consolidated financial statements of the ultimate controller at the date of
combination. the difference between: (i) the initial investment cost of the long-term equity investment;
and (ii) the book value of the consideration paid for the combination or the total par value of the shares
issued is treated as an adjustment to the capital reserve. in case the capital reserve is not sufficient to
absorb the difference, the remaining balance is adjusted against the retained earnings.
     for a long-term equity investment acquired through business combination involving enterprises
under common control that is achieved through multiple transactions by steps, the company shall judge
whether such transactions constitute a package deal. if such transactions constitute a package deal, the
company accounts for such transactions as one transaction to acquire control. if such transactions do not
constitute a package deal, the initial investment cost is the company’s share of the book value of the
owners’ equity of the acquiree in the consolidated financial statements of the ultimate controller at the
date of combination. the difference between: (i) the initial investment cost of the long-term equity
investment at the date of combination; and (ii) the sum of the book value of long-term equity investment
before the combination and the book value of the consideration paid for acquisition of the additional
shares at the date of combination is adjusted against the capital reserve. in case the capital reserve is not
sufficient to absorb the difference, the remaining balance is adjusted against the retained earnings.
     (2) in case of an equity investment acquired through a business combination not involving
enterprises under common control, the initial investment cost is the fair value of the carrying amount of
the consideration paid for the combination at the date of acquisition.
     with respect to a long-term equity investment acquired through a business combination not
involving enterprises under common control that is achieved through multiple transactions by steps, the
accounting treatment thereof in the separate financial statements is different from that in the
consolidated financial statements as stated below:
originally held in the acquiree and the additional investment cost incurred is recorded as the initial
investment cost of the equity investment changed into the cost method.
constitute a package deal. if such transactions constitute a package deal, the company accounts for such
transactions as one transaction to acquire control. if such transactions do not constitute a “package deal”,
the company re-measures the fair value of the equity held in the acquiree prior to the date of acquisition,
and records the difference between the fair value and the book value as investment income for the
current period; if the equity held in the acquiree prior to the date of acquisition involves other
comprehensive income under equity method, such other comprehensive income is transferred to the
income of the period in which the date of acquisition falls, except for other comprehensive income
arising from re-measurement by the investee of changes in net liabilities or net assets of defined benefit
plans.
     (3) in the event of no business combination: the initial investment cost is the purchase price actually
paid if it is acquired by cash, or the fair value of the equity securities issued if it is acquired through
issuance of equity securities, or determined in accordance with the accounting standards for business
enterprises no. 12 - debt restructuring if it is acquired through debt restructuring, or determined in
accordance with the accounting standards for business enterprises no. 7 - exchange of non-monetary
assets if it is acquired through exchange of non-monetary assets.
      long-term equity investments in investees are measured using the cost method. long-term equity
investments in associates and joint ventures are measured using the equity method.
n/a
(1). criteria for recognition
√ applicable□ n/a
      fixed assets are tangible assets held for production of goods, rendering of service, lease or
operation and management with a useful life of more than one accounting year. a fixed asset is
recognized if the economic benefits relating to it are very likely to flow to the company and its cost can
be reliably measured.
(2). method of depreciation
√ applicable□ n/a
                                                                                             annual
                          method of          depreciation           residual ratio
      category                                                                          depreciation rate
                         depreciation        period (years)               (%)
                                                                                               (%)
machinery and            straight line              5                     5.00                 19.00
equipment                   method
transportation           straight line              5                     5.00                 19.00
equipment                   method
electronic               straight line             3-5                    5.00             19.00-31.67
equipment and               method
others
operating leased         straight line            3, 7                    5.00             31.67, 13.57
equipment                   method
(3). identification basis, valuation method and depreciation method for fixed assets acquired
     under finance leases
□ applicable√ n/a
√ applicable□ n/a
flow to the company and its cost can be reliably measured. a construction in progress is measured at the
actual cost incurred before it is completed and ready for intended use.
actual construction cost. a construction in progress that is ready for intended use but the final settlement
of which has not yet been completed is transferred to fixed assets at estimated value first, and after the
completion of final settlement, the estimated value is adjusted according to the actual cost, but the
accrued depreciation is not adjusted.
√ applicable□ n/a
     borrowing costs incurred by the company that are directly attributable to the acquisition,
construction or production of a qualifying asset are capitalized as part of the cost of that asset. other
borrowing costs are recognized as expenses and charged to the current profit or loss.
     (1) borrowing costs are capitalized when all of the following conditions are met: 1) capital
expenditure has been incurred; 2) borrowing costs have been incurred; and 3) activities relating to the
acquisition, construction or production of the asset that are necessary to prepare the asset for its intended
use or sale have commenced.
     (2) where acquisition and construction or production of a qualified asset is interrupted abnormally
and the interruption period lasts for more than 3 months, the capitalization of the borrowing costs shall
be suspended. the borrowing costs incurred during these periods shall be recognized as expenses for the
current period until the acquisition, construction or production of a qualifying asset is resumed.
     (3) capitalization of borrowing costs shall be ceased when acquisition, construction or production
of the qualifying asset has prepared for its intended use or sale.
     as for the specific borrowings for the acquisition and construction or production of assets
qualifying for capitalization, the to-be-capitalized amount of interests shall be determined in light of the
actual cost incurred on the current specific borrowings (including the amortization of discounts or
premiums determined using the effective interest method) minus the income of interests earned from the
unused borrowings by depositing it in the bank or investment income from such borrowing by making it
as a temporary investment; where a general borrowing is used for the acquisition and construction or
production assets qualifying for capitalization, the company shall calculate and determine the to-be-
capitalized amount of interests on the general borrowing by multiplying the weighted average value of
the accumulative expenditures to asset minus the specific borrowing by the capitalization rate of the
general borrowing used.
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
     right-of-use assets are initially measured at cost; the cost includes: 1) initial measurement amount
of leased liabilities; 2) lease payments paid on or prior to the commencement of the lease term, net of the
lease incentives (if any) received; 3) initial direct expenses incurred by the lessee; and 4) costs expected
to be incurred by the lessee for dismantling and removing the leased assets, restoring the place of the
leased assets, or restoring the leased assets to the state provided under lease provisions.
     the company depreciates right-of-use assets by using the straight-line method. if there is
reasonable certainty that the lessee will obtain ownership of the leased asset by the end of the lease term,
the company depreciates the leased asset over its useful life. if there is no reasonable certainty that the
lessee will obtain ownership of the leased asset by the end of the lease term, the company depreciates
the leased asset over the shorter of the lease term and its remaining useful life.
(1). measurement, service life and impairment test
√ applicable□ n/a
initially.
rational expected realization of economic benefits relative to the intangible asset, or is amortized using
the straight-line method if it is impossible to determine expected realization reliably. the specific years
are as follows:
        item                                                        amortization period (years)
     land use rights                                                             30
     patents                                                                     10
     software                                                                    3-5
(2). accounting policy on internal research and development expenditures
√ applicable□ n/a
     expenditures incurred during the research phase of internal research and development projects are
recognized as current expenses when they occur. expenditures on an internal research and development
project at development phase are recognized as an intangible asset if all the following conditions are met:
(1) it is technically feasible to complete the intangible asset so that it will be available for use of sale; (2)
it is intended to complete the intangible asset so that it will be available for use of sale; (3) the pattern in
which the intangible asset will generate economic results can demonstrate the existence of a market for
the output of the intangible asset or the intangible asset itself, or if it is to be used internally, the
usefulness of the intangible asset; (4) there are sufficient technical, financial and other resources
available to complete the development activities and to use or sell the intangible asset; and (5) the
expenditures attributable to the development of the intangible asset can be reliably measured.
√ applicable□ n/a
     for long-term equity investments, fixed assets, construction in progress, right-of-use assets,
intangible assets with a finite useful life and other long-term assets, if there’s an indication of
impairment at the balance sheet date, the company assesses their recoverable amount. goodwill arising
from business combinations and intangible assets with an infinite useful life are tested for impairment
every year regardless of whether there’s an indication of impairment. goodwill is tested for impairment
together with the relevant groups of assets or combinations of groups of assets.
     if the recoverable amount of a long-term asset is less than its book value, the difference is measured
as impairment loss of the asset and recognized in profit or loss for the current period.
√ applicable□ n/a
     long-term prepaid expenses are expenses that have already been incurred but should be amortized
over a period of more than one year (excluding one year). long-term prepaid expenses are stated as the
amount actually incurred and shall be amortized evenly by stages within the benefit period or specified
period. if an item of long-term prepaid expenses will not benefit the subsequent periods, the amortized
value of the item that has not yet been amortized is wholly transferred to profit or loss for the current
period.
recognition method for contract liabilities
√ applicable□ n/a
     the company presents contract assets or contract liabilities in the balance sheet according to the
relationship between the performance of contractual obligations and payment by customers. contract
assets and contract liabilities under a same contract are presented at the net amount after offsetting each
other.
     the obligations of the company for transferring goods to customers corresponding to
considerations that have been received or receivable are presented as contract liabilities.
(1). accounting treatment of short-term employee benefits
√ applicable□ n/a
and other long-term employee benefits.
     the short-term employee benefits actually incurred are recognized as liabilities in the accounting
period during which employee services are rendered, and included in profit or loss for the current period
or the cost of related assets.
(2). accounting treatment of post-employment benefits
√ applicable□ n/a
     post-employment benefits are classified into defined contribution plans and defined benefit plans.
     (1) in the accounting period during which employee services are rendered, the amount in
contribution as calculated according to the defined contribution plan is recognized as liabilities and
included in profit or loss for the current period or the cost of related assets.
     (2) the accounting treatment of a defined benefit plan generally involves the following steps:
assumptions to estimate demographic variables and financial variables, measure the obligation arising
from the defined benefit plan and determine the period to which the relevant obligation belongs.
meanwhile, discount the obligation arising from the defined benefit plan, in order to determine the
present value of the defined benefit plan obligation and the current service cost;
value of the defined benefit plan obligation by the fair value of the defined benefit plan is recognized as
a net liability or asset of the defined benefit plan. if the defined benefit plan has a surplus, the net assets
of the defined benefit plan are measured at the lower of surplus in the defined benefit plan and asset
ceiling;
plan is recorded as service cost, net interest on the net liabilities or net assets of the defined benefit plan,
and changes arising from re-measurement of the net liabilities or net assets of the defined benefit plan,
wherein the service cost and the net interest on the net liabilities or net assets of the defined benefit plan
are included in profit or loss for the current period or the cost of related assets, and the changes arising
from re-measurement of the net liabilities or net assets of the defined benefit plan are included in other
comprehensive income, which will not be reserved to profit or loss in subsequent periods, but may be
transferred within the scope of equity.
(3). accounting treatment of termination benefits
√ applicable□ n/a
     if dismissal benefits are provided to employees, the liabilities of employee benefits from the
dismissal benefits are recognized at the earlier of the following and are recognized in the profit or loss
for the current period: (1) when the company can no longer withdraw the offer of termination benefits
as a result of termination of employment or redundancy; or (2) the company recognizes the restructuring
costs or expenses relating to payment of termination benefits.
(4). accounting treatment of other long-term employee benefits
√ applicable□ n/a
     other long-term employee benefits are accounted for in accordance with the provisions applicable
to defined contribution plans if they are qualified as defined contribution plans, otherwise, are accounted
for in accordance with the provisions applicable to defined benefit plans. in order to simplify the
accounting treatment, the total net amount of the cost of employee benefits arising from the defined
benefit plans that is recorded as service cost, net interest on the net liabilities or net assets of other long-
term employee benefits, changes arising from re-measurement of the net liabilities or net assets of other
long-term employee benefits and other components is included in profit or loss for the current period or
the cost of related assets.
√ applicable□ n/a
       at the commencement date of the lease, the company recognizes the present value of lease
payments not paid as lease liabilities. the interest rate implicit in the lease is used as the discount rate
for calculating the present value of the lease payments; if the interest rate implicit in the lease cannot be
determined, the incremental borrowing interest rate of the company is used as the discount rate. the
difference between the lease payments and the present value thereof is considered as unrecognized
finance charges; in each period during the lease term, interest expenses are recognized in the profit or
loss for the current period according to the discount rate of the present value of recognized lease
payments. variable lease payments not included in measurement of lease liabilities are recognized in the
profit or loss for the current period when the actually arise.
       where, after the lease inception date, there are changes in the substantial fixed payment, the
payables expected on the basis of the residual value of the guarantee, the index or ratio used for
determining the lease payment, the evaluation results or actual exercising of purchase option, renewal
option or lease termination option, the company re-measures the lease liability as per the present value
of the lease payment after change, and adjust the book value of the right-of-use assets accordingly.
where the book value of the use right asset has been reduced to zero, but the lease liability still needs to
be further reduced, the company includes the residual amount in the current profit or loss.
√ applicable□ n/a
contract or other contingencies is recognized as a provision if it is a present obligation assumed by the
company, and it is probable that an outflow of resources embodying economic benefits will be required
to settle the obligation, and the amount of the obligation can be reliably measured.
the present obligation. the book value of provisions is reviewed at the balance sheet date.
√ applicable□ n/a
       share-based payments include equity-settled share-based payments and cash-settled share-based
payments
plan
       (1) equity-settled share-based payments
       equity-settled share-based payments in exchange for services rendered by employees that can be
executed immediately upon being granted, are measured at the fair value of the equity instruments at the
grant date, and recognized as related costs or expenses with a corresponding adjustment to capital
reserve. at each balance sheet date during the vesting period, equity-settled share-based payments in
exchange for services rendered by employees that cannot be executed until services in the vesting period
are completed or required performance conditions are satisfied, are measured at the fair value of the
equity instruments at the grant date based on the best estimate of exercisable numbers of equity
instruments, and recognized as related costs or expenses with a corresponding adjustment to capital
reserve.
     for equity-settled share-based payments in exchange for services rendered by other parties, if the
fair value of services from other parties can be measured reliably, they are measured at the fair value of
services from other parties at the date when such services are received. if the fair value of services from
other parties cannot be measured reliably but the fair value of the equity instruments can be measured
reliably, they are measured at the fair value of the equity instruments at the date when such services are
received. the fair value of the equity instruments are recognized as related costs or expenses, with a
corresponding increase in owners’ equity.
     (2) modification and termination of share-based payment plan
     if the modification increases the fair value of the equity instruments granted, the company will
include the incremental fair value of the equity instruments granted in the measurement of the amount
recognized for services received. if the modification increases the number of the equity instruments
granted, the company will include the fair value of additional equity instruments granted in the
measurement of the amount recognized for services received. if the company modifies the exercisable
conditions of the share-based payment plan in a manner beneficial to the employee, the company will
consider the modified exercisable conditions when dealing with exercisable conditions.
     if the modification decreases the fair value of the equity instruments granted, the company will
continue to measure the amount recognized for services received at the fair value of the equity
instruments at the grant date without including the decremental fair value of the equity instruments. if
the modification decreases the number of the equity instruments granted, the company will treat the
decreased number as the cancelled number of equity instruments granted. if the company modifies the
exercisable conditions in a manner unbeneficial to the employee, the company will not consider the
modified exercisable conditions when dealing with exercisable conditions.
     if cancellation or settlement of the equity instruments granted occurs (not due to unsatisfaction of
exercisable conditions) during the vesting period, the company will account for the cancellation or
settlement of the equity instruments granted as an acceleration of vesting, and recognize immediately the
amount that otherwise would have been recognized over the remainder of the vesting period.
□ applicable√ n/a
(1). accounting policies adopted for income recognition and measurement
√ applicable□ n/a
     on the commencement date of a contract, the company evaluates the contract, identifies each
individual performance obligation contained therein and determine whether each individual performance
obligation is performed over time or at a certain point in time.
     when meeting one of the following criteria, it belongs to the obligation performed over time,
otherwise it constitutes the obligation performed at a certain point in time: (1) the customer obtains and
consumes the economic benefits generated by the company’s performance when the company performs
the contract; (2) the customer can control the products under construction in the process of the
company’s performance; (3) the products produced in the process of the company’s performance have
irreplaceable uses, and the company has the right to collect payment for the cumulative performance
that has been completed up to date throughout the term of the contract.
     for the obligation performed over time, the company recognizes the revenue based on the
performance progress over time. when the performance progress cannot be reasonably determined, and
the costs incurred are expected to be recoverable, revenue is recognized to the extent of costs incurred
until the performance progress can be reasonably determined. for the obligation performed at a certain
point in time, the revenue is recognized at the time point when the customer obtains the control of the
related goods and services. when judging whether the customer has obtained the control of goods, the
company considers the followings signs: (1) the company has the current right to receive payment for
such goods, that is, the customer has the current obligation to make payment for such goods; (2) the
company has transferred the legal ownership of such goods to the customer, that is, the customer has the
legal ownership of such goods; (3) the company has transferred such goods to the customer physically,
that is, the customer has taken possession of such goods physically; (4) the company has transferred
material risks and rewards of such goods to the customer, that is, the customer has obtained material
risks and rewards of such goods; (5) the customer has accepted such goods; and (6) other signs that the
customer has obtained control of such goods.
     (1) the company measures the revenue based on the transaction price allocated to individual
performance obligations. the transaction price is the amount of consideration to which the company is
entitled arising from the transfer of goods or services to the customer, excluding the amount collected on
behalf of a third party and expected to be returned to the customer.
     (2) if there is variable consideration in the contract, the company determines the best estimate of
the variable consideration based on the expected value or the most likely amount. however, variable
consideration is included in the transaction price if, and to the extent that, it is highly probable that its
inclusion will not result in a significant revenue reversal of accumulatively recognized revenue in the
future when the uncertainty has been subsequently resolved.
     (3) if there is a major financing component in the contract, the company determines the transaction
price based on the presumed amount payable in cash when the customer obtains the control of goods or
services. the difference between the transaction price and contract consideration is amortized using the
effective interest method during the term of the contract. if on the commencement of a contract, the
company expects that the customer’s acquisition of control of goods or services is not more than one
year from the customer’s payment therefor, the major financing component in the contract will not be
considered.
     (4) if the contract has two or multiple performance obligations, the company, on the
commencement of a contract, allocates the transaction price to each individual performance obligation in
the contract by reference to relative standalone selling prices of goods promised thereby.
     (1) revenue from sales of goods
     the performance obligation concerning sales of goods (primarily dividing into goods sold to the
domestic market and goods exported to overseas markets) by the company is taken as one satisfied at a
certain point in time for the recognition of revenue.
     goods sold to the domestic market: 1) under the direct sale model and the distribution model, the
company recognizes the revenue when the goods sent have been delivered to customers with customers’
receipt given to the company. for goods sold attached with return conditions, the company recognizes
the revenue according to the amount of consideration to which it expects to be entitled in exchange for
transferring goods to customers, and recognize the liabilities according to the expected amount to be
returned due to sales return against the revenue; for goods required for installment and inspection after
sales, the company recognizes the revenue when such goods have been installed and inspected with
customers’ acceptance certificate given to the company; if the company shares profits from sales of
product by downstream end customers, the company recognizes shared revenue when it can be
measured reliably. 2) under the commissioned sales mode, the company recognizes the revenue when it
receives the list of commissioned sales from the customer.
     goods exported to overseas markets: the company mainly adopts fca for export of goods. under
this mode, the company recognizes revenue when it delivers goods at the designated location with
export customs clearance procedures completed.
     (2) e-commerce platform revenue
     in the e-commerce platform model, the e-commerce platform is responsible for product promotion
and order management. consumers place orders and pay directly to the e-commerce platform, and the e-
commerce platform arranges third-party logistics through the company or ships directly to the consumer
by the e-commerce platform after receiving the consumer's payment. the specific revenue recognition
time points are: for domestic e-commerce platforms, revenue is recognized according to the time of end
customer receipt; for foreign e-commerce platforms, revenue is recognized after receiving the
confirmation list of the e-commerce platform after checking the reconciliation time agreed in the
contract.
     (3) other incomes
     any other performance obligation of the company is taken as one satisfied over time/at a certain
point in time for the recognition of revenue. for installation services provided by the company, the
company recognizes the revenue when it has completed the services and received customers’
acceptance certificate; for repair and maintenance services provided by the company, the company
recognizes the revenue when it has completed the services and received payments; for patrol inspection
services provided by the company, the company determines the service performance progress by using
the output approach, and recognizes the revenue according to the performance progress; for patent
licensing services provided by the company, the company recognizes the revenue when the patent
licensing is completed and handed over; and for technology development services provided by the
company, the company recognizes the revenue when it has completed the services or when the agreed
time point of service acceptance is reached.
(2). description of differences in the accounting policies in revenue recognition due to different
     operating modes adopted for the same business type
□ applicable√ n/a
√ applicable□ n/a
     assets related to contract costs include contract acquisition costs and contract performance costs.
     if costs incurred by the company for acquiring a contract are expected to be recovered, such costs
are recognized as an asset as contract acquisition costs.
     the costs incurred by the company for performing a contract are recognized as an asset of contract
performance costs if they do not fall within the scope of other relevant standards, like inventories, fixed
assets, or intangible assets, and meet all the following conditions:
materials, manufacturing expenses (or similar expenses), costs explicitly to be borne by customers, and
other costs arising from the contract;
obligations in the future; and
     assets related to contract costs are amortized on the same basis as recognizing incomes from goods
related to assets, and are recognized in the profit or loss for the current period.
     if the book value of the assets related to contract costs is greater than the consideration expected to
be acquired by transferring the goods or services related to such assets less the costs expected to be
incurred, the company makes provision for impairment for the exceeding portion and recognizes
impairment loss of assets. in the event of a change in the factors causing impairment in a prior period, so
that the consideration expected to be acquired by transferring the goods or services related to such assets
less the costs expected to be incurred is greater than the book value of such assets, the provision for
impairment made for such assets is reversed and recognized in the profit or loss for the current period;
provided, however, that the reversed book value of such assets shall not exceed the book value of such
assets at the reversal data on the assumption that no provision for impairment has been made.
√ applicable□ n/a
government grants; and (2) the company will receive the government grants. government grants in the
form of monetary assets are measured at the amount received or receivable. government grants in the
form of non-monetary assets are measured at fair value, or if their fair value is unavailable, at nominal
amount.
     government grants related to assets are government grants which are offered for purchasing,
constructing or otherwise acquiring long-term assets as provided by the applicable government
documents. in the absence of such express provision in the applicable government documents,
government grants related to assets are those with a primary condition that the company should
purchase, construct or otherwise acquire long-term assets. government grants related to assets are offset
against the book value of the relevant assets or recognized as deferred income. government grants
related to assets recognized as deferred income shall be included in profit or loss over the service life of
the relevant assets on a reasonable and systemic basis. government grants measured at nominal amount
are directly recognized in profit or loss for the current period. in case of sale, transfer, retirement or
damage of the relevant assets before the end of intended service life, the balance of the unallocated
deferred income is transferred to profit or loss for the period in which the assets are disposed of.
     government grants related to income are government grants other than those related to assets.
government grants related to both assets and income in which it is difficult to make a distinction
between the portion related to assets and the portion related to income are wholly classified as
government grants related to income. government grants related to income as compensation for
expenses or losses to be incurred in subsequent periods are recognized as deferred income and in the
period for recognizing the relevant costs, expenses or losses, included in profit or loss for the current
period or offset against the relevant costs. government grants related to income as compensation for
expenses or losses already incurred are directly included in profit or loss for the current period or offset
against the relevant costs.
offset against the relevant costs and expenses depending on the nature of economic business.
government grants not related to daily operations of the company are recognized in non-operating
income or expenses.
     (1) if the ministry of finance appropriates the interest subsidies to the lending bank, who then
grants the loan to the company at the policy preferential rate, the loan is stated as the amount actually
received, and the borrowing cost is calculated according to the principal of the loan and the policy
preferential rate.
     (2) if the ministry of finance directly appropriates the interest subsidies to the company, the
interest subsidies are offset against the borrowing cost.
√ applicable□ n/a
item not recognized as asset or liability whose tax base can be determined according to the applicable
tax law, the difference between its tax base and book value) is recognized as a deferred tax asset or
deferred tax liability according to the tax rate applicable to the period in which the asset or liability is
expected to be recovered or settled.
available in future periods against which deductible temporary differences are deductible. at the balance
sheet date, deferred tax assets not recognized in prior periods are recognized if there’s conclusive
evidence that it is probable that sufficient taxable income will be available in future periods against
which the deductible temporary differences are deductible.
extent that it is no longer probable that sufficient taxable income will be available in future periods to
allow the benefit of the deferred tax assets to be utilized. if it is probable that sufficient taxable income
will be available, the reduced amount is reversed.
income tax expenses or gains, except the income taxes arising from any: (1) business combination; or (2)
transaction or event directly recognized in owners’ equity.
(1). accounting treatment of operating leases
□ applicable√ n/a
(2). accounting treatment of finance leases
□ applicable√ n/a
(3). method for determination and accounting treatments of lease under the new lease standard
√ applicable□ n/a
     on the lease inception date, the company recognizes a lease with a lease term of not more than 12
months and not containing an option as a short-term lease, and recognizes a low-value assets lease for a
lease in which individually leased assets have a low value when they are new. if the company subleases
or expects to sublease the leased asset, the original lease is not recognized as a low-value assets lease.
     for short-term leases and low-value assets leases, the company recognizes lease payment in the
costs of relevant assets or the profit or loss for the current period by using the straight-line method in
each period during the lease term.
     except for short-term leases and low-value assets leases subject to simplified treatment above, on
the lease inception date, the company recognizes right-of-use assets and lease liabilities for leases.
     (1) use right assets
     right-of-use assets are initially measured at cost; the cost includes: 1) initial measurement amount
of leased liabilities; 2) lease payments paid on or prior to the commencement of the lease term, net of the
lease incentives (if any) received; 3) initial direct expenses incurred by the lessee; and 4) costs expected
to be incurred by the lessee for dismantling and removing the leased assets, restoring the place of the
leased assets, or restoring the leased assets to the state provided under lease provisions.
     the company depreciates right-of-use assets by using the straight-line method. if there is
reasonable certainty that the lessee will obtain ownership of the leased asset by the end of the lease term,
the company depreciates the leased asset over its useful life. if there is no reasonable certainty that the
lessee will obtain ownership of the leased asset by the end of the lease term, the company depreciates
the leased asset over the shorter of the lease term and its remaining useful life.
     (2) lease liabilities
     at the commencement date of the lease, the company recognizes the present value of lease
payments not paid as lease liabilities. the interest rate implicit in the lease is used as the discount rate
for calculating the present value of the lease payments; if the interest rate implicit in the lease cannot be
determined, the incremental borrowing interest rate of the company is used as the discount rate. the
difference between the lease payments and the present value thereof is considered as unrecognized
finance charges; in each period during the lease term, interest expenses are recognized in the profit or
loss for the current period according to the discount rate of the present value of recognized lease
payments. variable lease payments not included in measurement of lease liabilities are recognized in the
profit or loss for the current period when the actually arise.
     where, after the lease inception date, there are changes in the substantial fixed payment, the
payables expected on the basis of the residual value of the guarantee, the index or ratio used for
determining the lease payment, the evaluation results or actual exercising of purchase option, renewal
option or lease termination option, the company re-measures the lease liability as per the present value
of the lease payment after change, and adjust the book value of the right-of-use assets accordingly.
where the book value of the use right asset has been reduced to zero, but the lease liability still needs to
be further reduced, the company includes the residual amount in the current profit or loss.
     on the lease inception date, the company classifies a lease in which almost all the risks and
rewards related to the ownership of the leased asset have been substantially transferred as a finance lease,
and recognizes all other leases as operating leases.
     (1)   operating lease
     in each period during the lease term, the company recognizes lease payments as rental incomes by
using the straight-line method/units of production method; initial direct expenses incurred are capitalized,
and amortized on the same basis for recognizing lease incomes for recognizing in the profit or loss for
each period. the variable lease payments acquired by the company that are related to operating leases
and not recognized in lease payments are recognized in the profit or loss for the current period when
they actually occur.
□ applicable√ n/a
(1). changes in significant accounting policies
□ applicable√ n/a
(2). changes in significant accounting estimates
□ applicable√ n/a
(3). the first implementation of new accounting standards or standard interpretations from 2023
     onwards that involves adjusting the financial statements at the beginning of the year in which
     they were first implemented
□ applicable√ n/a
□ applicable√ n/a
vi. taxes
description of major categories of taxes and tax rates
√ applicable□ n/a
  category of tax              basis of tax computation                          tax rate
                      vat payable is the difference of the
                      output tax calculated based on the
 value-added tax incomes from selling goods and taxable
 (vat)                services in accordance with the tax law,
                      less the input tax allowed to be reduced in
                      the period
 city maintenance                                                   5%, 7%
 and construction turnover tax payable
 tax
 education                                                          3%
                      turnover tax payable
 surcharges
 local education                                                    2%
                      turnover tax payable
 surcharges
 enterprise income                                                  6.5%, 8.25%, 8.70%, 8.84%, 15%,
                      taxable income
 tax                                                                16.5%, 20%, 21%, 25%
disclosure of taxpayers with different rates of enterprise income tax:
√ applicable□ n/a
                                                                                  rate of enterprise
                                  taxpayer
                                                                                    income tax (%)
appotronics corporation limited                                                                    15%
fengmi (beijing) technology co., ltd.                                                              15%
appotronics hong kong limited                                                            8.25%, 16.5%
beijing orient appotronics technology co., ltd.                                                    20%
joveai innovation, inc.                                                             8.70%, 8.84%, 21%
appotronics usa, inc.                                                                              21%
formovie technology inc.                                                                           21%
joveai limited                                                                          tax exemption
wemax llc                                                                                          21%
shenzhen appotronics display device co., ltd.                                                      20%
appotronics technology (changzhou) co., ltd.                                                       20%
qingda appotronics (xiamen) technology co., ltd.                                                   20%
shenzhen appotronics home line technology co., ltd.                                                20%
shenzhen appotronics laser technology co., ltd.                                                    20%
shenzhen appotronics xiaoming technology co., ltd.                                                 20%
joveai asia company limited                                                                        20%
formovie limited                                                                                 16.5%
chongqing ewei ecommerce co., ltd.                                                                 20%
chongqing guangbo ecommerce co., ltd.                                                              20%
shenzhen orange juice energy technology co., ltd.                                                  20%
tianjin bonian film partnership (lp)                                                    tax exemption
cineappo laser cinema technology (beijing) co., ltd.                                               15%
hongkong orange juice energy technology co., limited                                             16.5%
wemax inc.                                                                                   6.5%, 21%
shenzhen weiwoqi trading co., ltd.                                                                 20%
yaoyouguang (chongqing) technology co., ltd.                                                       20%
appotronics international limited                                                                16.5%
appotronics intelligent manufacturing (shenzhen) co., ltd.                                         20%
shenzhen qianhai taishi investment partnership (lp)                                     tax exemption
other taxpayers except above                                                                       25%
note:
level income tax system, namely, applying the tax rate of 8.25% for the first hkd 2 million taxable
income and 16.50% for the remaining taxable income.
tax rate of 21%.
tax rate of 21%, the california state enterprise income tax rate of 8.84%, and the delaware state
enterprise income tax rate of 8.70%.
income tax rate of 21%.
of 20%.
the income tax rate of 16.50%.
√ applicable□ n/a
     (1) on december 19, 2022, the company obtained the high-tech enterprise certificate (certificate
no.: gr202244206480) jointly issued by shenzhen science and technology innovation commission,
shenzhen finance bureau and shenzhen tax service of state taxation administration with a valid term
of three years. therefore, the company paid the enterprise income tax at a rate of 15% in 2023.
     (2) on december 17, 2021, fengmi (beijing) technology co., ltd. obtained the high-tech
enterprise certificate (certificate no.: gr202111004001) jointly issued by beijing municipal science
and technology commission, beijing finance bureau and beijing tax service of state taxation
administration with a valid term of three years. therefore, the company paid the enterprise income tax
at a rate of 15% in 2023.
     (3) on october 18, 2022, cineappo laser cinema technology (beijing) co., ltd. obtained the
high-tech enterprise certificate (certificate no.: gr202211008942) jointly issued by beijing municipal
science and technology commission, beijing finance bureau and beijing tax service of state
taxation administration with a valid term of three years. therefore, the company paid the enterprise
income tax at a rate of 15% in 2023.
     (4) in accordance with the notice of the ministry of finance and the state taxation administration
on implementing the inclusive tax deduction and exemption policies for micro and small enterprises
(cai shui [2019] no. 13), and the announcement of the ministry of finance and the state taxation
administration on implementing preferential income tax policies for micro and small enterprises and
individually-owned businesses (announcement no. 6 in 2023 of the ministry of finance and the state
taxation administration), the annual taxable income of a small low-profit enterprise that is not more
than rmb 1 million shall be levied with the enterprise income tax rate at a discount of 25%, namely, for
which the applicable enterprise income tax rate is 20%; for the annual taxable income more than rmb 1
million but no more than rmb 3 million, the taxable income shall be calculated at a discount of 50%,
namely, for which the applicable enterprise income tax rate is 20%. the following companies are
qualified for enjoying such tax incentives: beijing orient appotronics technology co., ltd., shenzhen
appotronics display device co., ltd., appotronics technology (changzhou) co., ltd., qingda
appotronics (xiamen) technology co., ltd., shenzhen appotronics home line technology co., ltd.,
shenzhen appotronics laser technology co., ltd., shenzhen city appotronics xiaoming technology
co., ltd., chongqing ewei ecommerce co., ltd., chongqing guangbo ecommerce co., ltd., shenzhen
orange juice energy technology co., ltd., shenzhen weiwoqi trading co., ltd., yaoyouguang
(chongqing) technology co., ltd., and appotronics intelligent manufacturing (shenzhen) co., ltd.
     (1) in accordance with the notice of the ministry of finance and the state administration of
taxation on value-added tax policies for software products (cai shui [2011] no. 100), for self-
developed and produced software products sold by general vat taxpayers, the tax-refund-upon-
collection policy is applicable to the part of their actual vat burden in excess of 3% after the vat has
been collected at a tax rate of 17%. appotronics corporation limited, fengmi (beijing) technology co.,
ltd., and shenzhen appotronics software technology co., ltd. are qualified for enjoying such tax
incentives.
     (2) according to the announcement of the ministry of finance and the state taxation
administration on clarifying the policies for reducing and exempting value-added tax of small-scale
taxpayers (announcement no. 1 of 2023 by the ministry of finance and the state taxation
administration), production and service-oriented taxpayers are allowed to deduct an additional 5% of
the deductible input tax amount from the payable tax amount; cineappo laser cinema technology
(beijing) co., ltd. is qualified for this tax incentive.
□ applicable√ n/a
vii. notes to items in the consolidated financial statements
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                       item                                closing balance              opening balance
cash on hand                                                          3,346.05                   5,479.42
bank deposits                                                 1,257,428,379.51           1,283,079,345.51
other monetary funds                                             21,762,201.92              72,797,383.70
total                                                         1,279,193,927.48           1,355,882,208.63
        including: total overseas deposits                      185,283,856.24             261,403,774.28
other information:
     in other monetary funds, an amount of rmb 10,961,787.42 is restricted for in use because they are
security deposits; in the bank deposits, rmb 40,000,005.49 is deposited by the company at banks at
term deposits or in restricted accounts, and therefore is not presented as cash and cash equivalents in the
cash flow statement.
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                             item                                 closing balance        opening balance
financial assets at fair value through profit or loss                564,877,200.00          352,880,000.00
including:
       equity instrument investment                                    42,880,000.00           42,880,000.00
       structural deposits                                           521,997,200.00          310,000,000.00
                             total                                   564,877,200.00          352,880,000.00
other information:
□ applicable√ n/a
□ applicable√ n/a
(1). categories of notes receivable
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
              item                            closing balance                     opening balance
        bank acceptances
     commercial acceptances                                   3,404,025.55                      2,234,687.77
               total                                          3,404,025.55                      2,234,687.77
(2). notes receivable pledged by the company at the end of the period
□ applicable√ n/a
(3). notes receivable which are undue as at the balance sheet date but endorsed or discounted by
     the company at the end of the period
□ applicable√ n/a
(4). notes transferred to accounts receivable due to drawer’s failure in cashing at the end of the
     period
□ applicable√ n/a
(5). disclosure by categories of provision for bad debts
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
                         closing balance                               opening balance
                             provision for                                provision for
             carrying amount                              carrying amount
                               bad debts                                    bad debts
                                                                                     per
                            perce                                                    cent
category                    ntage                book                                age
               percent                                                  perce             book value
                       amoun of                  value                                of
         amount age                                           amount    ntage amount
                         t  provi                                                    pro
                (%)                                                      (%)
                             sion                                                    visi
                             (%)                                                      on
                                                                                     (%)
provisio
n for bad
debts
made
individu
ally
including:
provisio
n for bad
debts              100.00        5.00
made by
group
including:
bank
acceptan
ce bills
commer 3,583,18 100.00 179,15 5.00 3,404,025. 2,352,302. 100.0 117,615.1 5.0 2,234,687.7
cial       4.80          9.25             55         92      0         5   0           7
acceptan
ce bills
  total
provision for bad debts made individually:
□ applicable√ n/a
provision for bad debts made by group:
√ applicable□ n/a
item by group: commercial acceptance bills
                                                                            unit: yuan currency: rmb
                                                         closing balance
          name                                                                    percentage of provision
                             notes receivable        provision for bad debts
                                                                                           (%)
group of commercial                  3,583,184.80                  179,159.25                        5.00
acceptance bills
          total                      3,583,184.80                  179,159.25                        5.00
recognition criterion to make the provision for bad debts by group and explanation
□ applicable√ n/a
if the bad debt provision is made according to the general model of ecl, please refer to the disclosure of
other receivables:
□ applicable√ n/a
(6). provision for bad debts
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
                                                    changes for the current period
                                 opening                                                        closing
          category                                            recovery or   write off or
                                 balance     provision                                          balance
                                                               reversal     cancellation
provision for bad debts
made individually
provision for bad debts
made by group
            total               117,615.15    61,544.10                                         179,159.25
including significant amounts recovered or reversed from the current provision for bad
debts:
□ applicable√ n/a
other information:
none
(7). notes receivable actually canceled in the current period
□ applicable√ n/a
other information:
□ applicable√ n/a
(1).    disclosure by aging
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                       aging                                  closing balance of carrying amount
within 1 year
including: sub-items within 1 year
within 1 year                                                                              201,099,239.16
sub-total of items within 1 year                                                           201,099,239.16
over 3 years                                                                                    306,798.88
                        total                                                              240,969,796.39
(2).    disclosure by categories of provision for bad debts
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
                              closing balance                              opening balance
     category        carrying   provision for bad     book        carrying     provision for    book
                     amount           debts           value       amount          bad debts     value
                                                                                 perce
                                    percent                                      ntage
                       perce                                        perce
                                    age of                                         of
                amount ntage amount                          amount ntage amount
                                    provisi                                      provi
                        (%)                                          (%)
                                    on (%)                                        sion
                                                                                  (%)
provision for
bad debts       17,662,4      17,662,4                       16,498,5      16,498,5 100.0
made               66.52         66.52                          40.60         40.60     0
individually
including:
provision for
bad debts       17,662,4      17,662,4                       16,498,5      16,498,5 100.0
made               66.52         66.52                          40.60         40.60     0
individually
provision for
bad debts       223,307,       16,580,0             206,727, 222,932,       14,672,3      208,260,
made by          329.87           72.67              257.20 593.11             57.32       235.79
group
including:
accounts
receivable for
which the
provision for           92.67                7.42                     93.11          6.58
bad debts is
made by
aging group
    total                               14.21                                        13.02
provision for bad debts made individually:
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
                                                        closing balance
        name                                 provision for bad   percentage of          reason for
                        carrying amount
                                                   debts         provision (%)          provision
                                                                                   expected to be
                                                                                   unrecoverable
     company a             16,875,766.52        16,875,766.52             100.00   because the
                                                                                   customer is in
                                                                                   hardship
                                                                                   expected to be
     company b                786,700.00            786,700.00            100.00   unrecoverable
                                                                                   because the
                                                                                           customer is in
                                                                                           hardship
           total               17,662,466.52       17,662,466.52                  100.00            /
explanation about provision for bad debts made individually:
□ applicable√ n/a
provision for bad debts made by group:
√ applicable□ n/a
item by group: accounts receivable for which the provision for bad debts is made by aging group
                                                                           unit: yuan currency: rmb
                                                           closing balance
          name                                                                        percentage of provision
                            accounts receivable         provision for bad debts
                                                                                               (%)
within 1 year                       198,608,813.03                  9,930,440.68                            5.00
over 3 years                            306,798.88                    306,798.88                        100.00
           total                    223,307,329.87                 16,580,072.67                            7.42
recognition criterion to make the provision for bad debts by group and explanation:
□ applicable√ n/a
if the bad debt provision is made according to the general model of ecl, please refer to the disclosure of
other receivables:
□ applicable√ n/a
(3).     provision for bad debts
√ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                                               changes for the current period
                     opening                         recovery                                     closing
 category                                                          write off or     other
                     balance         provision          or                                        balance
                                                                   cancellation    changes
                                                     reversal
provision for
bad debts
made
individually
provision for
bad debts
made by
group
       total       31,170,897.92    3,143,542.32     69,851.05        2,050.00                  34,242,539.19
including significant amounts recovered or reversed from the current provision for bad debts:
□ applicable√ n/a
(4).     accounts receivable actually canceled in the current period
√ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                           item                                        cancellation amount
accounts receivable actually canceled                                                              2,050.00
in which significant amounts canceled are described as below:
□ applicable√ n/a
description of accounts receivable cancellation:
□ applicable√ n/a
(5).     top five closing balances of accounts receivable categorized by debtors
√ applicable□ n/a
       entity          carrying            proportion to the balance of     provision for    percentage of
                        amount               accounts receivable (%)          bad debts      provision (%)
       top 1          74,247,921.96                                30.81     3,712,396.10               5.00
       top 2          27,415,195.69                                11.38     1,377,935.38               5.03
       top 3          16,875,766.52                                  7.00   16,875,766.52            100.00
       top 4          15,719,222.85                                  6.52    2,374,725.82             15.11
       top 5          12,880,063.84                                  5.35      644,003.19               5.00
       total         147,138,170.86                                61.06    24,984,827.02             16.98
(6).     accounts receivable derecognized due to transfer of financial assets
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
         item                 amount            gains or losses associated with          method of
                            derecognized                derecognition               transferring financial
                                                                                            assets
         ccb e
       infocomm
       sub-total            3,000,000.00
(7). assets and liabilities arising from transfer of accounts receivable and continued involvement
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                   item                            closing balance                  opening balance
bank acceptance bills                                       15,223,418.33                      4,279,041.00
                   total                                    15,223,418.33                      4,279,041.00
changes in amount and fair value of receivables financing:
□ applicable√ n/a
if the bad debt provision is made according to the general model of ecl, please refer to the disclosure of
other receivables:
□ applicable√ n/a
other information:
□ applicable√ n/a
(1). disclosure of prepayments by aging
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                closing balance                           opening balance
      aging
                           amount          percentage (%)           amount              percentage (%)
within 1 year              16,262,610.13                46.78        37,333,767.05                    77.06
over 3 years                 696,186.62                  2.00
       total               34,764,381.68               100.00        48,445,976.86                  100.00
reasons for overdue settlement of prepayments with significant amounts aged more than 1 year:
                 item                             balance                   reasons for no settlement
                                                                          not delivered due to ongoing
               company c                       6,503,220.00               efforts for solving a technical
                                                                                     difficulty
(2). top five closing balances of prepayments categorized by receivers
√ applicable□ n/a
      entity                 closing balance              proportion to the total closing balance of
                                                                     prepayments (%)
      top 1                             6,503,220.00                                             18.71
      top 2                             6,135,245.74                                             17.65
      top 3                             3,048,575.71                                              8.77
      top 4                             2,014,000.00                                              5.79
      top 5                             1,438,253.83                                              4.14
     sub-total                         19,139,295.28                                             55.05
other information
□ applicable√ n/a
presented by item
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                  item                         closing balance                  opening balance
interest receivable
dividend receivable                                      14,307,084.00                       13,789,908.00
other receivables                                        12,666,138.84                       12,541,813.55
                  total                                  26,973,222.84                       26,331,721.55
other information:
□ applicable√ n/a
interest receivable
(1).   categories of interest receivable
□ applicable√ n/a
(2).   significant interests overdue
□ applicable√ n/a
(3).   provision for bad debts
□ applicable√ n/a
other information:
□ applicable√ n/a
(1).   dividends receivable
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
                project (or investee)                   closing balance        opening balance
dividend distribution from gdc technology limited
(bvi)
                        total                               14,307,084.00             13,789,908.00
(2).   dividends receivable with significant amounts aged more than 1 year
√ applicable□ n/a
                                                                      unit: yuan currency: rmb
                                                                                    whether
                                                                                  impairment
                              closing                                             has occurred
   project (or investee)                 aging    reason for non-recovery
                              balance                                            and the basis
                                                                                     for its
                                                                                   judgment
dividend distribution from                     there are matters not reached an
gdc technology limited 14,307,084.00                                                   no
                                         years and the payment has not yet
(bvi)                                          been made
          total            14,307,084.00    -                  -                        -
(3).   provision for bad debts
□ applicable√ n/a
other information:
□ applicable√ n/a
other receivables
(4).   disclosure by aging
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
                      aging                              closing balance of carrying amount
within 1 year
including: subitems within 1 year
within 1 year                                                                                      4,814,935.60
sub-total of items within 1 year                                                                   4,814,935.60
over 3 years                                                                                       5,412,560.59
                         total                                                                    13,365,417.52
(5).   categories by the nature of other receivables
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                                           closing balance of carrying       opening balance of carrying
       nature of receivables
                                                    amount                            amount
deposits/margins/petty cash                               11,046,676.68                           11,162,127.62
withholding                                                     770,800.89                           818,004.80
temporary receivables                                      1,547,939.95                            1,133,717.92
compensation receivable                                                                               65,819.64
                total                                     13,365,417.52                           13,179,669.98
(6).   provision for bad debts
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                                 stage i             stage ii                 stage iii
  provision for bad                                lifetime ecl
        debts                                     (without credit
                           in the future                                 credit impairment)
                                                    impairment)
balance as at january
balance as at january
period
--transferred to stage
ii
--transferred to stage
iii
--reversed to stage ii
--reversed to stage i
provision                         83,606.33              -22,184.08                                   61,422.25
reversal
write-off
cancellation
other changes
balance as at june 30,           696,746.27                2,532.41                                  699,278.68
description of significant changes in the balance of other receivables with changed provisions for losses
in the current period:
□ applicable√ n/a
basis for recognizing the amount of provision for bad debts and evaluating whether the credit risk of
financial instruments has been increased significantly in the current period:
□ applicable√ n/a
(7).    provision for bad debts
√ applicable□ n/a
                                                                                    unit: yuan currency: rmb
                                                 changes for the current period
                     opening                                                                        closing
   category                                        recovery or       write off or         other
                     balance        provision                                                       balance
                                                    reversal         cancellation       changes
provision for
bad debts           637,856.43       61,422.25                                                     699,278.68
made by group
       total        637,856.43       61,422.25                                                     699,278.68
including significant amounts recovered or reversed from the current provision for bad debts:
□ applicable√ n/a
(8).    other receivables actually canceled in the current period
□ applicable√ n/a
(9).    top five closing balances of other receivables categorized by debtors
√ applicable□ n/a
                                                                                    unit: yuan currency: rmb
                                                                                proportion to
                                                                                               provision for
                                                                                the balance of
                  nature of other         closing                                               bad debts
  entity                                                      aging                  other
                   receivables            balance                                                closing
                                                                                  receivables
                                                                                                 balance
                                                                                      (%)
               deposits/margins/petty
   top 1                              3,574,618.00 over 3 years                           26.75    178,730.90
                        cash
               deposits/margins/petty
   top 2                              1,310,675.20 over 3 years                            9.81     65,533.76
                        cash
                                                    within 1 year; 1-2
               deposits/margins/petty
   top 3                                 900,000.00 years; 2-3 years;                      6.73     45,000.00
                        cash
                                                    over 3 years
               deposits/margins/petty
   top 4                                 683,180.24 within 1 year                          5.11     34,159.01
                        cash
               deposits/margins/petty                  within 1 year; 2-3
   top 5                                 505,491.60                                        3.78     25,274.58
                        cash                           years
   total                 -              6,973,965.04             -                        52.18    348,698.25
      (10). accounts receivable involving government grants
      □ applicable√ n/a
      (11). other receivables derecognized due to transfer of financial assets
      □ applicable√ n/a
      (12). assets and liabilities arising from transfer of other receivables and continued involvement
      □ applicable√ n/a
      other information:
      □ applicable√ n/a
      (1). categories of inventories
      √ applicable□ n/a
                                                                                               unit: yuan currency: rmb
                                  closing balance                                             opening balance
                                provision for decline                                        provision for decline
                                     in value of                                                  in value of
   item         carrying                                                     carrying
                               inventories/impairment book value                            inventories/impairment book value
                amount                                                       amount
                                     of contract                                                  of contract
                                  performance cost                                             performance cost
raw
materials
work in
progress
goods on
hand
goods upon 15,058,879.28                    3,310,312.17 11,748,567.11 31,157,150.48                   1,901,108.14 29,256,042.34
delivery
materials       4,168,659.09                 183,081.13    3,985,577.96      9,397,672.25                 246,897.56   9,150,774.69
for
consigned
processing
contract
performance     3,200,650.71                 705,862.34    2,494,788.37      2,740,313.16                              2,740,313.16
cost
   total      831,569,317.92               73,850,313.50 757,719,004.42 924,291,920.80                58,651,959.01 865,639,961.79
      (2). provision for decline in value of inventories and impairment of contract performance cost
      √ applicable□ n/a
                                                                                               unit: yuan currency: rmb
                                                       increase                       decrease
                               opening
             item                                                              reversal or                 closing balance
                               balance         provision          others                         others
                                                                                write-off
      raw materials        29,152,044.36       2,294,599.08       3,349.33      1,621,025.80                  29,828,966.97
 work in
 progress
 goods on hand        24,770,894.74   21,960,705.51     34,089.15     7,907,013.34                38,858,676.06
 goods upon
 delivery
 materials for
 consigned              246,897.56       -52,231.78                      11,584.65                  183,081.13
 processing
 contract
 performance                             705,862.34                                                 705,862.34
 cost
      total           58,651,959.01   27,277,407.28     37,438.48    12,116,491.27                73,850,313.50
 (3). description of capitalized amount of borrowing costs included in the closing balance of
      inventories
 □ applicable√ n/a
 (4). description of amortization of contract performance cost during the period
 □ applicable√ n/a
 other information:
 □ applicable√ n/a
 (1). description of contract assets
 √ applicable□ n/a
                                                                                    unit: yuan currency: rmb
                                 closing balance                                  opening balance
  item            carrying      provision for                       carrying      provision for
                                                book value                                       book value
                  amount         impairment                         amount         impairment
warranty
 security        1,668,534.88     187,601.32      1,480,933.56     1,031,362.02      153,332.67     878,029.35
receivable
 goods
payment
  total          2,871,382.20   1,263,080.64      1,608,301.56     2,234,209.34   1,172,627.99    1,061,581.35
 (2). amount and reasons of major changes in the book value during the reporting period
 □ applicable√ n/a
 (3). description of provision for impairment made on contract assets during the period
 √ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                                                        reversal              write-
             item                 provision                                                       reason
                                                                         off/cancellation
 provision made by                    90,452.65
 group
         total                      90,452.65                                                   /
 if the bad debt provision is made according to the general model of ecl, please refer to the disclosure
 of other receivables:
 □ applicable√ n/a
 other information:
 □ applicable√ n/a
 □ applicable√ n/a
 √ applicable□ n/a
                                                                           unit: yuan currency: rmb
                 item                           closing balance                  opening balance
 debt investments due within 1 year
 other debt investments due within 1
 year
long-term receivables due within 1
year
               total                                     28,306,652.31                     13,431,554.82
 debt investments and other debt investments with significant amounts at the end of the period:
 □ applicable√ n/a
 other information:
 none
 √ applicable□ n/a
                                                                             unit: yuan currency: rmb
                 item                           closing balance                  opening balance
input vat to be deducted                                 90,522,705.12                   96,670,912.86
prepaid enterprise income tax                             4,367,773.15                    6,101,724.28
cost of returned goods receivable                         1,065,708.83                    3,729,974.65
                total                                    95,956,187.10                  106,502,611.79
 other information:
 none
 (1). description of debt investments
 □ applicable√ n/a
 (2). debt investments with significant amounts at the end of the period
 □ applicable√ n/a
 (3). description of provision for impairment
 □ applicable√ n/a
     (1). description of other debt investments
     □ applicable√ n/a
     (2). other debt investments with significant amounts at the end of the period
     □ applicable√ n/a
     (3). description of provision for impairment
     □ applicable√ n/a
     other information:
     □ applicable√ n/a
     (1) description of long-term receivables
     √ applicable□ n/a
                                                                                         unit: yuan currency: rmb
                            closing balance                               opening balance                        range
                                                                                                                   of
   item        carrying       provision for                    carrying        provision for
                                            book value                                       book value         discount
               amount           bad debts                      amount           bad debts
                                                                                                                  rate
installment                                                                                                     4.30%-
payment                                                                                                         4.65%
including:
financing                                                                                                       4.30%-
                -730,427.69                      -730,427.69     -415,458.66                      -415,458.66
income not                                                                                                      4.65%
realized
   total      23,718,028.67    1,519,399.48    22,198,629.19   14,358,245.82    2,834,052.02    11,524,193.80       /
     (2) provision for bad debts
     √ applicable□ n/a
                                                                                       unit: yuan currency: rmb
                                     stage i               stage ii                 stage iii
        provision for bad                               lifetime ecl
              debts                                     (without credit
                                   the future                                  credit impairment)
                                                         impairment)
     balance as at january
     balance as at january
     period
     --transferred to stage
     ii
     --transferred to stage
     iii
     --reversed to stage ii
--reversed to stage i
provision                        723,105.21                                                     723,105.21
reversal
write-off
cancellation
other changes                 -2,037,757.75
balance as at june
description of significant changes in the balance of long-term receivables with changed provisions for
losses in the current period:
√ applicable□ n/a
“other changes” indicate the amount of the provision for bad debts that was transferred to long-term
receivables due within 1 year.
basis for recognizing the amount of provision for bad debts and evaluating whether the credit risk of
financial instruments has been increased significantly in the current period:
□ applicable√ n/a
(3) long-term receivables derecognized due to transfer of financial assets
□ applicable√ n/a
(4) assets and liabilities arising from transfer of long-term receivables and continued
    involvement
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                                       changes for the current period
                                                                                                     closi
                                                adju
                                      invest                                                           ng
                                                stme
                              decr     ment                      declar                              balan
            openi                                nt in   other             provis           closin
                     additi    ease   profit                       ed                                 ce of
investe      ng                                 other    equit              ion               g
                      onal      d     or loss                     cash              other            provis
   e        balan                               comp       y                 for            balanc
                     invest   inves   under                      divide               s                ion
             ce                                 rehen    chan              impair             e
                      ment    tmen    equity                     nds or                                for
                                                 sive     ges               ment
                                 t    metho                      profits                             impai
                                                 inco
                                         d                                                           rment
                                                  me
i. joint
ventur
e
sub-
total
ii.
associ
ates
gdc
techn                                  -        -
ology                             8,071,   4,176
limite                             814.7    ,328.
d                                      5      87
(bvi)
sub-                                   -        -
total                             8,071,   4,176
                                       -        -
 total    94,91                                                                  372.1      23,14
other information
“others” under “changes for the current period” was the amount from the change in foreign currency
exchange gain or loss.
(1). description of other equity instrument investments
√ applicable□ n/a
                                                                           unit: yuan currency: rmb
                  item                          closing balance                   opening balance
shen zhen timewaying technology                            7,075,419.38                      7,075,419.38
co., ltd.
shenzhen bevix technology co., ltd.
                  total                                    7,075,419.38                      7,075,419.38
(2). description of equity investments not held for trading
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                                                           reasons for
                                                                                             reasons for
             dividends                                    amounts to       designating
                                                                                             transferring
              income                                        retained       as financial
                                                                                              to retained
             recognize    accumulate    accumulate       earnings from     assets at fair
   item                                                                                     earnings from
              d for the     d gains      d losses             other       value through
                                                                                                 other
               current                                   comprehensiv          other
                                                                                            comprehensiv
               period                                      e income       comprehensiv
                                                                                               e income
                                                                             e income
shen zhen                                                                 subject to the
timewayin                                                                 management’
g                                                                        s intention of
technolog                                                                holding
y co., ltd.
shenzhen                                                                 subject to the
bevix                                                                    management’
technolog                                                                s intention of
y co., ltd.                                                              holding
other information:
√ applicable□ n/a
the company’s equity investments in shen zhen timewaying technology co., ltd., and shenzhen
bevix technology co., ltd. are mainly for promoting future business cooperation rather than making
transactions, hence they are designated as investments in equity instruments at fair value through other
comprehensive income.
the cost of shenzhen bevix technology co., ltd. is rmb 4,900,000.00, and the fair value change is -
rmb 4,900,000.00.
□ applicable√ n/a
measurement mode of investment properties
n/a
presented by item
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
                   item                       closing balance                  opening balance
fixed assets                                          379,962,412.96                  427,539,718.53
disposal of fixed assets
                total                                 379,962,412.96                      427,539,718.53
other information:
none
fixed assets
(1). description of fixed assets
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
                                                    electronic
                    machinery and transportatio                     operating leased
     item                                         equipment and                              total
                     equipment    n equipment                         equipment
                                                      others
i. original book
value:
balance
       (1)
purchase
       (2)
transfer from
construction in
progress
       (3)
transfer from        334,565.82                         72,569.90                         407,135.72
inventories
      (4)
exchange rate        183,060.38                    114,355.64                             297,416.02
changes
decrease
       (1)
disposal or         2,851,486.44                   454,730.00          269,230.77       3,575,447.21
retirement
       (2)
transfer to                                        257,899.67        16,220,870.35     16,478,770.02
inventories
balance
ii. accumulated
depreciation
balance
       (1)
provision
      (2)             98,547.49                         77,943.83                         176,491.32
exchange rate
changes
decrease
       (1)
disposal or         2,621,874.58                   409,719.07          217,229.08       3,248,822.73
retirement
       (2)                                              95,610.30    10,321,749.75     10,417,360.05
transfer to
inventories
balance
iii. provision
for impairment
balance
       (1)
provision
decrease
       (1)
disposal or                                                                  8,795.77           8,795.77
retirement
       (2)                                                                  64,313.34          64,313.34
transfer to
inventories
balance
iv. book value
book value
book value
(2). temporarily idle fixed assets
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                  original book    accumulated         provision for
    item                                                                     book value       remark
                      value        depreciation         impairment
operating
leased            45,485,926.77    28,123,113.06          2,516,133.64      14,846,680.07
equipment
(3). fixed assets acquired under finance lease
□ applicable√ n/a
(4). fixed assets leased out under operating lease
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                     item                                    closing balance of book value
operating leased equipment                                                                258,235,787.35
(5). fixed assets of which certificates of title have not been obtained
□ applicable√ n/a
other information:
□ applicable√ n/a
disposal of fixed assets
□ applicable√ n/a
presented by item
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
              item                              closing balance                    opening balance
     construction in progress                          314,382,210.87                         278,978,057.73
    materials for construction
                total                                  314,382,210.87                         278,978,057.73
other information:
none
construction in progress
(1). description of construction in progress
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                              closing balance                               opening balance
                                  provision                                       provision
    item          carrying                                        carrying
                                     for        book value                           for       book value
                     amount                                          amount
                                 impairment                                      impairment
headquarter
buildings
assets to be
leased
decoration
construction
   total       314,382,210.87                 314,382,210.87 278,978,057.73                   278,978,057.73
(2). changes in significant constructions in progress for the current period
√ applicable□ n/a
                                                                                                                                                 unit: yuan currency: rmb
                                                                                                                                                              interest
                                                                                                    amount
                                                       amount                                                                     amount of    including: capitaliza
                                                                                                  injected as a
           budget       opening                       transferred     other        closing                        construction accumulated capitalized tion rate source
 item                                    increase                                                 proportion of
           amount        balance                        to fixed     decreases     balance                         progress       capitalized interest for    for the     of funds
                                                                                                     budget
                                                         assets                                                                    interest    the period     period
                                                                                                  amount (%)
                                                                                                                                                                (%)
headqu                                                                                                                                                                    self-
arter     534,635,200   270,837,599. 38,540,252.                                                                                                                          owned
buildin           .00              21          98                                                                                                                         capital
gs
assets                                                                                                                                                                    self-
to be                   6,266,605.31     5,710,569.43 6,972,816.06                 5,004,358.68                                                                           owned
leased                                                                                                                                                                    capital
 total                                  44,250,822.41 6,972,816.06               314,382,210.87               -               -   8,011,931.43 3,015,800.64           -      -
                  .00              52
(3). provision for impairment losses for construction in progress in the current period
□ applicable√ n/a
other information
□ applicable√ n/a
materials for construction
□ applicable√ n/a
(1). productive biological assets measured at cost
□ applicable√ n/a
(2). productive biological assets measured at fair value
□ applicable√ n/a
other information
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                        unit: yuan currency: rmb
                  item                    houses and buildings                   total
i. original book value
       (1) rents                                         9,013,018.21                    9,013,018.21
       (2) other changes                                    39,925.01                      39,925.01
       (1) disposal                                        763,530.71                     763,530.71
ii. accumulated depreciation
       (1) provision                                 14,899,916.76                    14,899,916.76
       (2) other changes                                    20,317.97                      20,317.97
       (1) disposal                                        179,705.50                     179,705.50
iii. provision for impairment
       (1) provision
        (1) disposal
iv. book value
other information:
none
(1). description of intangible assets
√ applicable□ n/a
                                                                           unit: yuan currency: rmb
          item               land use rights       patents            software            total
i. original book value
        (1) purchase                                                   2,875,894.25      2,875,894.25
        (2) exchange
rate changes
        (1) disposal
ii. accumulated
amortization
        (1) provision           5,510,500.02                           2,121,924.37      7,632,424.39
        (2) exchange
rate changes
        (1) disposal
iii. provision for
impairment
        (1) provision
        (1) disposal
iv. book value
value
value
the proportion of intangible assets generated by the company’s internal research and development to
the balance of intangible assets at the end of the period is 0%.
(2). land use rights of which certificates of title have not been obtained
□ applicable√ n/a
other information:
□ applicable√ n/a
□ applicable√ n/a
(1). gross carrying amount of goodwill
□ applicable√ n/a
(2). impairment provision of goodwill
□ applicable√ n/a
(3). relevant information of groups of assets or combinations of groups of assets where the
     goodwill is recognized
□ applicable√ n/a
(4).    specify test procedure, key parameters of impairment of goodwill (such as increase rate at
        the projection period, increase rate at the steady period, profit rate, discount rate, and
        projection period upon the estimates of the presented value of future cash flow) as well as
        recognition method for impairment loss
□ applicable√ n/a
(5).    impacts on test of goodwill impairment
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                     opening                                                                closing
       item                         increase         amortization      other decreases
                     balance                                                                balance
decoration
construction
rto gas for
the screen                                                 16,513.74                         38,532.20
project
       total      5,990,984.03      3,232,521.81       1,956,826.99          -18,799.02   7,285,477.87
other information:
none
(1). deferred tax assets that are not offset
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                      closing balance                            opening balance
                               deductible             deferred tax         deductible           deferred tax
          item
                               temporary                 assets            temporary               assets
                               differences                                 differences
provision for impairment
of assets
unrealized profits for
insider transactions
provisions                     33,155,919.65           4,973,387.95        33,861,061.30          5,079,159.20
share-based payment
expenses
deferred income                  2,657,700.76            398,655.11         5,651,422.25            847,713.34
leases                             894,583.85            135,455.56           848,471.94            128,229.81
losses from changes in
fair values
deductible losses             133,936,891.98          20,090,533.80       145,752,332.17         21,862,849.83
          total             544,905,395.31          81,740,639.73       613,192,273.02        91,985,632.38
(2). deferred tax liabilities that are not offset
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                                       closing balance                           opening balance
                                taxable              deferred tax          taxable              deferred tax
          item
                               temporary              liabilities         temporary              liabilities
                               differences                                differences
long-term receivables          24,429,108.67           3,664,366.30       15,031,309.08           2,254,696.36
other current assets -
cost of returned goods             46,685.41                7,002.81
receivable
          total                24,475,794.08           3,671,369.11       15,031,309.08           2,254,696.36
(3). deferred tax assets and deferred tax liabilities that are presented at the net amount after
     offset
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                             closing set-off        closing balance     opening set-off       opening balance
                              amounts of            of deferred tax       amount of            of deferred tax
          item
                              deferred tax             assets or         deferred tax             assets or
                               assets and           liabilities after     assets and           liabilities after
                                   liabilities           set-off                liabilities                set-off
deferred tax assets                 3,671,369.11      78,069,270.62             2,254,696.36          89,730,936.02
deferred tax liabilities            3,671,369.11                                2,254,696.36
(4). details of unrecognized deferred tax assets
√ applicable□ n/a
                                                                                      unit: yuan currency: rmb
                 item                              closing balance                        opening balance
provision for impairment of assets                          55,225,838.14                             47,406,755.88
unrealized profits for insider                                                                        33,624,043.48
transactions
provisions                                                  20,307,631.71                             18,872,846.92
deferred income                                                 2,454,545.47                           3,000,000.01
share-based payment expenses                                       724,391.43                          3,180,261.29
leases                                                          1,992,084.01                           1,557,490.63
profit distribution from partnership                                                                        15,991.72
enterprises
changes in fair value of                                                                               4,900,000.00
investments in other equity                                     4,900,000.00
instruments
deductible losses                                          541,984,302.47                           322,268,687.11
                 total                                   664,206,603.59                          434,826,077.04
(5). deductible losses, for which no deferred tax assets are recognized, will expire in the following
     years
√ applicable□ n/a
                                                                                     unit: yuan currency: rmb
         year                    closing balance            opening balance                        remark
   no expiry date                    134,922,677.52                 105,965,004.73
         total                       541,984,302.47                 322,268,687.11                     /
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                   unit: yuan currency: rmb
                              closing balance                                opening balance
                                 provision                                         provision
   item          carrying                                         carrying
                                    for          book value                           for        book value
                 amount                                           amount
                                impairment                                        impairment
prepayment
for
purchase of   18,633,790.53                     18,633,790.53   12,569,088.37                  12,569,088.37
long-term
assets
   total      18,633,790.53                     18,633,790.53   12,569,088.37                  12,569,088.37
other information:
none
(1). categories of short-term borrowings
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
              item                          closing balance                     opening balance
notes discount within the group                                                         30,000,000.00
guaranteed loans                                     69,500,000.00                      39,500,000.00
credit loans                                         60,000,000.00                      60,000,000.00
interest payable                                        104,426.40                          89,634.03
              total                                129,604,426.40                      129,589,634.03
description for categories of short-term borrowings:
none
(2). short-term borrowings overdue but not yet repaid
□ applicable√ n/a
other information:
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
       category                        closing balance                       opening balance
 commercial acceptance
          bills
  bank acceptance bills                              80,254,013.57                        201,299,388.57
           total                                  80,254,013.57                           201,299,388.57
total notes payable matured but not paid yet is rmb 0 at the end of the period.
(1). presented by accounts payable
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
             item                          closing balance                   opening balance
amounts payable for purchase                      275,507,953.57                           276,845,321.28
            total                                 275,507,953.57                           276,845,321.28
(2). accounts payable with significant amounts aged more than 1 year
□ applicable√ n/a
other information:
□ applicable√ n/a
(1). presented by receipts in advance
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
              item                            closing balance                  opening balance
 advance payments of recharge
            fees
              total                                    99,404,605.97                       113,834,728.10
(2). receipts in advance with significant amounts aged more than 1 year
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
                                                                       reasons for not repaid or carried-
            item                            closing balance
                                                                                   forward
                                                                          lease payments received in
         company d                                      8,291,234.83
                                                                                   advance
            total                                       8,291,234.83                   /
other information:
□ applicable√ n/a
(1). description of contract liabilities
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
             item                           closing balance                    opening balance
        goods payment                                 39,465,849.54                         37,285,920.43
             total                                    39,465,849.54                         37,285,920.43
(2). amount and reasons of major changes in the book value during the reporting period
□ applicable√ n/a
other information:
□ applicable√ n/a
(1). presented by employee benefits payable
√ applicable□ n/a
                                                                      unit: yuan currency: rmb
       item             opening balance        increase         decrease        closing balance
i. short-term
benefits
ii. post-
employment
benefits-defined
contribution plan
iii. dismissal
benefits
iv. other benefits
due within 1 year
       total               58,470,960.55    194,688,672.70     223,414,916.80      29,744,716.45
(2). presented by short-term employee benefits
√ applicable□ n/a
                                                                    unit: yuan currency: rmb
         item            opening balance        increase        decrease        closing balance
i. wages or salaries,
bonuses, allowances         57,630,572.03     161,249,944.24   189,946,770.35      28,933,745.92
and subsidies
ii. staff welfare                               2,396,777.44     2,396,777.44
iii. social security
contributions
including: medical
insurance
       work injury
insurance
       maternity
insurance
iv. housing funds                              10,780,341.66    10,780,341.66
v. union running
costs and employee              22,220.40        472,380.90        429,476.04            65,125.26
education costs
vi. short-term paid
leaves
vii. short-term
profit sharing plan
         total               57,760,642.14     180,487,550.87             209,126,826.77       29,121,366.24
(3). presented by defined contribution plan
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                                   opening
             item                                      increase             decrease         closing balance
                                   balance
insurance
contribution
            total                   170,231.90        8,970,833.40          8,975,331.91          165,733.39
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                 item                        closing balance                      opening balance
value-added tax (vat)                                        415,633.50                           283,831.65
enterprise income tax                                   3,423,409.78                            1,329,891.54
individual income tax                                   1,503,794.91                            5,330,584.62
city maintenance and
construction tax
education surcharges                                         181,807.01                           200,014.57
local education surcharges                                   118,333.33                           133,343.03
stamp duty                                                   368,555.48                           521,340.60
annual franchise right tax                                    12,381.41                            11,933.84
urban land use tax                                             8,914.32                                 49.67
others                                                            39.95
                 total                                  6,453,066.16                            8,272,768.90
other information:
none
presented by item
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                 item                        closing balance                       opening balance
interest payable
dividend payable                                           797,774.22
other payables                                         119,109,874.30                   56,662,357.08
              total                                    119,907,648.52                   56,662,357.08
other information:
none
interest payable
□ applicable√ n/a
dividends payable
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
              item                        closing balance                   opening balance
dividends on ordinary shares                            797,774.22
             total                                      797,774.22
other description, including significant dividend payable with aging of over 1 year, and the reason of
non-payment shall be disclosed:
none
other payables
(1). other payables presented by nature
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
              item                        closing balance                   opening balance
withholding                                             118,512.62                         264,611.23
deposits/margins                                     11,630,428.35                       9,538,090.44
withdrawals in advance                               36,325,990.61                      38,870,669.59
temporary receipts payable                           12,531,383.72                       7,988,985.82
amount of equity transfer
payable
subscription payment for
restricted stocks
              total                              119,109,874.30                      56,662,357.08
(2). other payables with significant amounts aged more than 1 year
□ applicable√ n/a
other information:
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
              item                        closing balance                    opening balance
long-term borrowings due                                                          147,500,008.00
within 1 year
lease liabilities due within 1                                                      30,342,348.86
year
long-term payables due within
interest payable                                         146,727.76                    189,460.51
               total                                  178,360,640.39              178,031,817.37
other information:
none
√ applicable□ n/a
                                                                       unit: yuan currency: rmb
           item                          closing balance                opening balance
rebates payable                                      6,375,935.11                  25,168,744.15
taxes to be written off                                3,423,594.29                  3,013,395.69
refund                                                                                 201,468.53
               total                             9,799,529.40                    28,383,608.37
changes in short-term bonds payable:
□ applicable√ n/a
other information:
□ applicable√ n/a
(1). categories of long-term borrowings
√ applicable□ n/a
                                                                       unit: yuan currency: rmb
                 item                       closing balance              opening balance
guaranteed loans and loans
against collateral
guaranteed loans                                      281,980,000.00              255,299,986.00
credit loans                                          109,000,000.00
interest payable                                          524,648.75                   514,779.75
                total                                 531,486,901.70              403,720,542.45
description for categories of long-term borrowings:
none
other description, including interest rate range:
□ applicable√ n/a
(1). bonds payable
□ applicable√ n/a
(2). changes in bonds payable (excluding other financial instruments such as preference shares,
     perpetual bonds and others classified as financial liabilities)
□ applicable√ n/a
(3). description of converting terms and period of convertible corporate bonds
□ applicable√ n/a
(4). description of other financial instruments classified as financial liabilities
basic information of other financial instruments including outstanding preferred shares and perpetual
bonds at the end of the period
□ applicable√ n/a
changes in financial instruments including outstanding preferred shares and perpetual bonds at the end
of the period
□ applicable√ n/a
description of other financial instruments classified as financial liabilities
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                 item                           closing balance                    opening balance
unpaid lease payments                                      28,324,784.45                     37,874,912.40
less: financing charges not
recognized
                 total                                     27,260,832.49                     34,319,284.23
other information:
none
presented by item
□ applicable√ n/a
long-term payables
□ applicable√ n/a
special payables
□ applicable√ n/a
□ applicable√ n/a
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
          item                  opening balance               closing balance             reason
   product quality                                                                         expenses for “three
   warranty                                                                                guarantees” services
   amounts payable for
   goods returned
   pending litigation                                                        14,356.13
              total                          56,463,882.87                53,463,551.36                 /
   other description, including significant assumptions and estimates relative to material provisions:
   none
   description of deferred income
   √ applicable□ n/a
                                                                                        unit: yuan currency: rmb
                             opening
           item                               increase          decrease          closing balance       reason
                             balance
   government                                                                                     the relevant
   grants related to         5,905,986.57                       1,078,195.80         4,827,790.77 asset is within its
   assets                                                                                         service life
                                                                                                 used for
                                                                                                 compensation of
   government                                                                                    relevant costs,
   grants related to         2,745,435.69    1,500,000.00       3,960,980.23          284,455.46 expenses, or
   income                                                                                        losses in
                                                                                                 subsequent
                                                                                                 periods
           total             8,651,422.26    1,500,000.00       5,039,176.03         5,112,246.23           /
   other information:
   √ applicable□ n/a
   breakdown of government grants
                                               increased
                                                                   amount
                                              government
                               opening                          recognized in          closing         related to
           item                                grants for
                               balance                          current profit         balance       assets/income
                                              the current
                                                                   or loss
                                                 period
definition     laser
                                                                                                     related      to
display technology            2,905,986.56                           532,741.26      2,373,245.30
                                                                                                     assets
engineering research
center
industry           support                                                                           related      to
funds                                                                                                assets
r&d         of        key                    1,000,000.00        1,000,000.00                        related      to
technologies for ultra                                                                         income
high-definition micro
laser projector optical
engine based on light-
emitting       ceramic
devices
trichromatic laser
display     complete
                                                                                               related     to
equipment                 2,412,101.15      500,000.00       2,912,101.15
                                                                                               income
production
demonstration line
research           of
trichromatic    laser                                                                          related     to
light sources and                                                                              income
lcos optical engine
sub-total                 8,651,422.26    1,500,000.00       5,039,176.03      5,112,246.23
   government grants included in the current profit or loss are disclosed in vii.84 of section x in details.
   □ applicable√ n/a
   √ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                                                         changes ( , -)
                                     issuance             capitalization
                 opening balance                bonus                                sub-     closing balance
                                      of new                of capital      others
                                                shares                               total
                                      shares                 reserve
     total
     shares
   other information:
   none
   (1) basic information of other financial instruments including outstanding preferred shares and
       perpetual bonds at the end of the period
   □ applicable√ n/a
   (2) changes in financial instruments including outstanding preferred shares and perpetual bonds
       at the end of the period
   □ applicable√ n/a
   changes of other equity instruments in the current period, reasons for such change and basis for related
   accounting treatments:
   □ applicable√ n/a
   other information:
   □ applicable√ n/a
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
            item              opening balance        increase          decrease      closing balance
capital premium (share
premium)
other capital reserve           166,872,312.73        20,442,747.19                      187,315,059.92
            total            1,530,752,116.04         20,714,249.08                    1,551,466,365.12
other description, including changes in the current period and reasons for changes:
(1) the total expense of equity-settled share-based payments amounted to rmb 24,996,374.80, in which
rmb 21,649,969.88 was recognized in the capital reserve (other capital reserve) and rmb 3,346,404.92
was charged to the amount attributable to minority interests.
(2) with respect to the temporary difference by which the fair value at the end of period of restricted
shares granted by the company in the current period is greater than the fair value at the grant date, the
company recognized the decrease in deferred tax assets by rmb 1,349,420.12, the decrease in the
capital reserve (other capital reserve) by rmb 1,207,222.69, and the decrease in the minority interests
by rmb 142,197.43.
(3) the company acquired minority interests by paying the consideration of rmb 19,734,000.00 for the
shares, and acquired shares in the fair value of the identifiable net assets in the amount of rmb
premium).
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
       item           opening balance          increase             decrease          closing balance
treasury shares           19,377,297.59                                                   19,377,297.59
      total               19,377,297.59                                                   19,377,297.59
other description, including changes in the current period and reasons for changes:
none
√ applicable□ n/a
                                                                                                                                     unit: yuan currency: rmb
                                                                               amount for the current period
                                                                             less: amount
                                                          less: amount
                                                                                previously
                                                             previously
                                                                                included in
                                                             included in                                  attributable to
                                            amount                                  other        less:                       attributable to
                          opening                               other                                     owners of the                              closing
        item                              incurred for                       comprehensive      income                          minority
                          balance                         comprehensive                                       parent                                 balance
                                         current period                        income and         tax                       shareholders after
                                                            income and                                    company after
                                           before tax                         transferred to   expenses                            tax
                                                           transferred to                                       tax
                                                                                  retained
                                                            profit or loss
                                                                               earnings for
                                                           for the period
                                                                                 the period
i. other
comprehensive
income that cannot be
                         -4,900,000.00                                                                                                             -4,900,000.00
reclassified
subsequently to profit
or loss
including: changes
from remeasurement
of defined benefit
plans
  other
comprehensive
income that cannot be
reclassified to profit
or loss under the
equity method
   changes in fair
value of investments
                          -4,900,000.00                                                                -4,900,000.00
in other equity
instruments
  changes in fair
value of enterprises’
own credit risks
ii. other
comprehensive
income that will be      10,636,897.41    5,158,805.71                6,714,283.50    -1,555,477.79    17,351,180.91
reclassified to profit
or loss
including: other
comprehensive
income that will be
                         -13,180,600.06   -4,176,328.87               -4,176,328.87                   -17,356,928.93
reclassified to profit
or loss under the
equity method
  changes in fair
value of other debt
investments
   amount of
financial assets
reclassified to other
comprehensive
income
  provision for credit
impairment of other
debt investments
   reserve for cash
flow hedges
   exchange
differences on
translation of
financial statements
denominated in
foreign currencies
total other
comprehensive              5,736,897.41      5,158,805.71                                                     6,714,283.50           -1,555,477.79      12,451,180.91
income
other description, including adjustments on transferring effective portion of cash flow hedges to amount upon initial recognition of the hedged item:
□ applicable√ n/a
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
        item          opening balance            increase             decrease        closing balance
statutory surplus
reserve
       total            75,519,782.06                                                      75,519,782.06
surplus reserve description, including changes in the current period and reasons for changes:
none
√ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                           item                                  current period             prior year
retained profits at the end of prior period before
adjustment
total adjusted undistributed profits at the beginning of the
period (add:  ; less: -)
retained profits at the beginning of the period after
adjustment
add: net profit attributable to owners of the parent
company for the period
less: appropriation to statutory surplus reserve                                              19,253,913.75
     appropriation to discretionary surplus reserve
     appropriation to general risk reserve
     declaration of dividends on ordinary shares                      24,635,207.05           47,539,596.43
     conversion of ordinary shares’ dividends into share
capital
retained profits at the end of the period                           648,203,885.57          597,924,451.67
details of adjustments to undistributed profits at the beginning of the period:
related new regulations, undistributed profits at the beginning of the period were affected by rmb 0.00.
accounting policies.
significant accounting errors.
scope of consolidation resulting from business combination involving entities under common control.
adjustments.
(1). description of operating income and operating costs
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                         amount for the current period                 amount for the prior period
     item
                         income                 cost                   income                 cost
main business        1,073,249,037.75       668,659,467.49       1,269,322,202.11         884,560,607.88
other business
     total           1,073,249,037.75       668,659,467.49       1,269,322,202.11         884,560,607.88
(2). description of incomes from contracts
□ applicable√ n/a
(3). description of performance obligations
□ applicable√ n/a
(4). description of allocation to remaining performance obligations
□ applicable√ n/a
other information:
breakdown of revenue from contracts with customers by category:
  item                               amount for the current period        amount for the prior period
main business areas:
  domestic                                         704,902,664.35                         982,431,749.79
  overseas                                         188,845,868.39                         151,675,564.56
  sub-total                                        893,748,532.74                       1,134,107,314.35
by product:
  laser optical engine                             269,264,171.31                         227,366,190.32
  complete laser projector                         529,660,750.51                         797,685,682.96
  others                                               94,823,610.92                      109,055,441.07
sub-total                                          893,748,532.74                       1,134,107,314.35
revenue recognition time:
  goods (transferred at a time
point)
  services (provided during a
specific period of time)
  sub-total                                        893,748,532.74                       1,134,107,314.35
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
              item                  amount for the current period         amount for the prior period
city maintenance and                                  1,849,757.98                           1,854,709.81
construction tax
stamp duty                                           718,782.33                      1,328,656.61
education surcharges                                 810,475.02                        837,797.56
local education surcharges                           540,316.68                        596,844.97
others                                                86,419.52                         18,392.15
               total                            4,005,751.53                         4,636,401.10
other information:
none
√ applicable□ n/a
                                                                        unit: yuan currency: rmb
                                           amount for the current          amount for the prior
                       item
                                                 period                         period
marketing fees                                          67,103,262.08               56,105,203.98
employee benefits                                       44,813,421.97               38,321,847.96
after-sale repair expenses                               8,783,249.44                7,794,363.57
travel expenses                                          3,323,826.10                1,140,208.55
advertising and business promotion
expenses
business entertainment expenses                            891,056.45                  874,145.73
other expenses                                          15,877,978.49               13,913,957.29
                       total                           143,399,660.02             120,302,361.36
other information:
none
√ applicable□ n/a
                                                                        unit: yuan currency: rmb
                       item                amount for the current          amount for the prior
                                                 period                         period
employee benefits                                       34,743,913.52               36,480,928.08
share-based payment expenses                            25,008,586.26               44,301,483.42
service fees                                            13,261,395.13               11,634,987.32
depreciation and amortization expenses                   6,559,184.36                7,367,554.34
rent expense                                             2,699,984.57                2,149,163.28
other expenses                                           4,423,159.98                4,081,725.92
                       total                            86,696,223.82             106,015,842.36
other information:
none
√ applicable□ n/a
                                                                        unit: yuan currency: rmb
                     item                        amount for the current         amount for the prior
                                                       period                        period
employee benefits                                           86,643,213.03                76,416,118.90
material consumption expenses                               11,968,242.66                13,749,893.95
rent expense                                                 2,027,319.05                 2,724,452.14
service fees                                                 6,014,448.00                 4,297,638.31
depreciation and amortization expenses                       7,408,217.43                 4,958,080.99
testing expenses                                             2,233,677.17                 4,511,335.54
patent fees                                                  1,909,173.76                   836,908.48
other expenses                                               8,201,851.02                 7,465,358.06
                     total                                 126,406,142.12               114,959,786.37
other information:
none
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                     item                        amount for the current         amount for the prior
                                                       period                        period
interest expenses                                            7,061,642.05                12,510,421.43
less: interest income                                      -15,604,073.30                -6,740,942.87
exchange profit or loss                                      -9,807,901.42              -10,026,339.12
bank service charges                                         1,328,926.10                   902,979.64
                     total                                 -17,021,406.56                -3,353,880.91
other information:
none
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                     item                        amount for the current         amount for the prior
                                                       period                        period
government grants related to assets                           1,078,195.80                  940,282.23
government grants related to income                         21,467,825.51                18,812,831.21
refund of transaction fees for withholding
individual income taxes
additional deduction of input vat                              620,900.93                 1,448,552.63
                     total                                  23,608,983.31                21,565,810.43
other information:
government grants recognized in other income in the current period are disclosed in vii.84 of section x
in details.
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                                amount for the current
                      item                                                   amount for the prior period
                                                      period
long-term equity investment accounted for
                                                           -8,071,814.75                   -5,951,760.87
using the equity method
investment income from disposal of long-
                                                                                           -4,611,079.66
term equity investments
investment income from held-for-trading
financial assets during the holding period
investment income from disposal of held-
for-trading financial assets
                      total                                -2,806,106.20                   -4,567,473.71
other information:
none
□ applicable√ n/a
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
source of gains from changes in fair
                                         amount for the current period     amount for the prior period
              values
held-for-trading financial assets                                                          -1,634,000.00
                  total                                                                    -1,634,000.00
other information:
none
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                              amount for the current
                     item                                                    amount for the prior period
                                                    period
bad debt losses                                            -3,513,083.07                    1,393,164.79
                     total                                 -3,513,083.07                    1,393,164.79
other information:
none
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                                    amount for the current        amount for the prior
                        item
                                                          period                       period
i. bad debt losses                                                -90,452.65                  -38,217.98
ii. decline in value of inventories                           -26,383,931.20              -19,378,228.52
iii. impairment losses of long-term equity
investments
iv. impairment losses of investment properties
v. impairment losses of fixed assets                              -1,833,685.55                -405,917.49
vi. losses of contract performance cost                             -705,862.34
                       total                                     -29,013,931.74             -19,822,363.99
other information:
none
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
               item                    amount for the current period         amount for the prior period
gains from disposal of fixed
assets
gains from disposal of right-of-
                                                              -3,133.47                          17,106.28
use assets
               total                                          15,262.15                          17,213.16
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
                                                                                      amount included in
                                        amount for the           amount for the
                item                                                                 non-recurring profit or
                                        current period            prior period
                                                                                       loss for the period
total gains from disposal of non-
current assets
including: gains from disposal
of fixed assets
government grants                             9,000,000.00                                    9,000,000.00
amounts not required for
payment
others                                         179,559.37              159,923.71               179,559.37
               total                          9,424,347.83             167,888.31             9,424,347.83
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
                                                                                      amount included in
                                    amount for the           amount for the prior
              item                                                                   non-recurring profit or
                                    current period                period
                                                                                       loss for the period
total losses from disposal of
non-current assets
including: losses from
disposal of fixed assets
external donations                                                    1,011,354.98
penalties and overdue fines                    27,463.52                141,821.94                   27,463.52
others                                       370,921.08                    5,197.11                 370,921.08
               total                         641,261.92               1,511,909.47                  641,261.92
other information:
none
(1) statement of income tax expense
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                  item                   amount for the current period           amount for the prior period
income tax expense in the current
period
deferred income tax expenses                                10,312,245.27                         3,580,694.17
                  total                                     18,649,943.64                        19,269,471.17
(2) reconciliation of income tax expenses to the accounting profit
√ applicable□ n/a
                                                                                 unit: yuan currency: rmb
                                     item                                            amount for the current
                                                                                           period
total profit                                                                                     58,177,409.69
income tax expense calculated based on statutory/applicable tax rate                              8,726,611.46
effect of different tax rates of subsidiaries operating in other jurisdictions                   -8,719,094.86
effect of income tax for the period before adjustment                                              -536,497.80
effect of non-taxable income                                                                        -42,425.30
effect of non-deductible cost, expense and loss                                                     237,744.26
effect of utilizing deductible loss not recognized for deferred tax assets for
                                                                                                   -351,326.89
prior period
effect of deductible temporary difference or deductible loss not recognized
for deferred tax assets for the current period
change in the balance of opening deferred tax assets caused by tax rate
adjustment
effect of additional deduction of r&d expenses                                                  -10,821,251.40
others                                                                                            5,028,010.02
income tax expenses                                                                              18,649,943.64
other information:
□ applicable√ n/a
√ applicable□ n/a
refer to vii. 57 of section x for details.
(1). other cash receipts relating to operating activities
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                  item                       amount for the current period     amount for the prior period
interest income                                              15,203,804.27                     6,586,011.83
government grants                                              31,156,389.47                  14,967,754.76
recovery of security deposits                                  38,485,289.61                   9,021,162.77
non-operating income                                             167,768.72                       78,226.30
other transaction accounts                                      5,824,075.57                   3,742,646.71
                  total                                        90,837,327.64                  34,395,802.37
description of other cash receipts relating to operating activities:
none
(2). other cash payments relating to operating activities
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                item                         amount for the current period     amount for the prior period
administrative expenses, selling
expenses, and r&d expenses paid in                         133,812,521.03                   135,601,238.70
cash
non-operating expenses                                           369,426.97                      138,934.57
payment of security deposits                                   14,513,684.21                  67,068,694.27
service charges                                                  777,510.79                      757,068.27
other transaction accounts                                      3,961,686.89                   2,730,798.00
                  total                                    153,434,829.89                   206,296,733.81
description of other cash payments relating to operating activities:
none
(3). other cash receipts relating to investing activities
□ applicable√ n/a
(4). other cash payments relating to operating activities
□ applicable√ n/a
(5). other cash receipts relating to financing activities
□ applicable√ n/a
(6). other cash payments relating to financing activities
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
               item                          amount for the current period amount for the prior period
dividend payments                                                23,814.21
actual lease payment                                            17,383,232.80                  14,493,029.54
share repurchase payment                                                                        3,211,260.13
                  total                                         17,407,047.01                  17,704,289.67
description of other cash payments relating to financing activities:
none
(1) supplementary information to the cash flow statement
√ applicable□ n/a
                                                                                   unit: yuan currency: rmb
                                                                amount for the         amount for the prior
              supplemental information
                                                                current period              period
operating activities:
net profit                                                         39,527,466.05               18,539,942.30
add: provision for impairment of assets                            29,013,931.74               19,822,363.99
impairment losses of credit                                         3,513,083.07               -1,393,164.79
depreciation of fixed assets, depletion of oil and gas
assets, depreciation of productive biological assets
amortization of right-of-use assets                                14,899,916.76               13,511,079.53
amortization of intangible assets                                   2,121,924.37                1,599,345.03
amortization of long-term prepaid expenses                          1,956,826.99                3,680,782.65
losses on disposal of fixed assets, intangible assets
and other long-term assets (gains are indicated by “-                 -15,262.15                  -17,213.16
”)
losses on disposal of fixed assets (gains are
indicated by “-”)
losses on changes in fair values (gains are indicated
by “-”)
financial expenses (income is indicated by “-”)                     3,338,040.63                2,484,082.32
investment losses (income is indicated by “-”)                      2,806,106.20                4,567,473.71
decrease in deferred tax assets (increase is indicated
by “-”)
increase in deferred tax liabilities (decrease is
indicated by “-”)
decrease in inventories (increase is indicated by “-”)            104,726,621.15              -33,033,292.19
decrease in receivables from operating activities
(increase is indicated by “-”)
increase in payables from operating activities
                                                                 -200,944,159.73             -255,297,259.11
(decrease is indicated by “-”)
others                                                             25,090,249.13               44,160,417.64
net cash flow from operating activities                           114,738,832.13              -78,553,359.67
that do not involve cash receipts and payments:
conversion of debt into capital
convertible corporate bonds due within 1 year
fixed assets acquired under finance leases
closing balance of cash                                         1,228,232,134.57             951,480,989.53
less: opening balance of cash                                   1,254,582,403.12             891,195,166.73
add: closing balance of cash equivalents
less: opening balance of cash equivalents
net increase in cash and cash equivalents                         -26,350,268.55               60,285,822.80
(2) net cash paid to acquire subsidiaries for the current period
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
                                                                                           amount
cash or cash equivalents paid in the period for business combination
occurring in the period
shenzhen qianhai taishi investment partnership (lp)                                            11,840,400.00
less: cash and cash equivalents held by subsidiaries at the acquisition date                        9,034.84
shenzhen qianhai taishi investment partnership (lp)                                                 9,034.84
add: cash or cash equivalents paid in the prior period for business
combination occurring in the period
net cash paid for acquiring subsidiaries                                                       11,831,365.16
other information:
none
(3) net cash receipts from disposal of subsidiaries for the current period
□ applicable√ n/a
(4) composition of cash and cash equivalents
√ applicable□ n/a
                                                                                   unit: yuan currency: rmb
                          item                                   closing balance          opening balance
i. cash                                                            1,228,232,134.57        1,254,582,403.12
including: cash on hand                                                    3,346.05                 5,479.42
       bank deposits that can be paid at any time                  1,217,428,374.02        1,241,921,379.19
       other monetary funds that can be paid at any
time
    deposits in the central bank that can be used for
payments
       deposits made with other banks
       placements with banks
ii. cash equivalents
including: investments in debt securities due within
three months
iii. closing balance of cash and cash equivalents               1,228,232,134.57         1,254,582,403.12
including: restricted cash and cash equivalents of the
parent company or subsidiaries within the group
other information:
□ applicable√ n/a
describe matters such as the names and the adjusted amounts of the items included in “others” in respect
of adjustments to the closing balances of the prior year:
□ applicable√ n/a
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                 item                   closing balance of book value                  reason
           bank deposits                        40,000,000.00                       term deposits
                                                                            accounts not handling for a
           bank deposits                             5.49
                                                                                    long time
       other monetary funds                     10,961,787.42                      security deposits
          intangible assets                    275,524,999.80                   mortgage collateral
                 total                         326,486,792.71                              /
other information:
none
(1). foreign currency monetary items
√ applicable□ n/a
                                                                                                 unit: yuan
                                  closing balance of                            closing balance of rmb
            item                                            exchange rate
                                   foreign currency                                    equivalent
monetary funds                                                                             297,486,092.24
including: usd                           41,026,579.84               7.2258                296,449,860.61
           gbp                                15,782.11              9.1432                      144,298.99
           hkd                              297,205.06               0.9220                      274,017.12
           euro                               74,738.72              7.8771                      588,724.37
           others                                                                                 29,191.15
accounts receivable                                                                            83,635,231.71
including: usd                           11,394,715.89               7.2258                    82,335,938.08
           euro                             161,644.37               7.8771                     1,273,288.87
           others                                                                                 26,004.76
accounts payable                                                                               44,736,752.22
including: usd                             6,182,542.60              7.2258                    44,673,816.31
           jpy                             1,256,356.25              0.0501                       62,935.91
other information:
none
(2). description of overseas operating entities, including significant overseas operating entities, of
     which the major operation place, functional currency and choosing basis as well as the reason
     for change of functional currency should be disclosed
√ applicable□ n/a
                                                  major overseas          functional        basis of
                     item
                                                  operation place          currency          choice
                                                                                          common
appotronics hong kong limited                        hong kong               usd
                                                                                          currency
                                                                                             local
appotronics usa, inc.                                     usa                usd
                                                                                            currency
joveai limited                                                                             common
                                                   cayman islands            usd
                                                                                            currency
                                                                                             local
joveai innovation, inc.                                   usa                usd
                                                                                            currency
                                                                                             local
formovie technology inc.                                  usa                usd
                                                                                            currency
                                                                                           common
formovie limited                                     hong kong               usd
                                                                                            currency
                                                                                             local
joveai asia company limited                           vietnam                vnd
                                                                                            currency
                                                                                             local
wemax llc                                                 usa                usd
                                                                                            currency
hongkong orange juice energy technology                                                    common
                                                     hong kong               usd
co., limited                                                                                currency
                                                                                             local
wemax inc.                                                usa                usd
                                                                                            currency
                                                                                           common
appotronics international limited                    hong kong               usd
                                                                                            currency
□ applicable√ n/a
(1). basic information of government grants
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                                                                     amount recognized in
                category                       amount           item presented
                                                                                      current profit or loss
government grants related to assets                             other income                  1,078,195.80
government grants related to income
and used for compensation of the
company’s relevant costs or losses in
subsequent periods
government grants related to income
                                                                other income,
and used for compensation of the
company’s relevant costs or losses that
                                                                   income
have been incurred
                                                                  financial
interest subsidies                            6,084,300.00                                    6,084,300.00
                                                                  expenses
(2). refund of government grants
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
               item                            amount                                  reason
trichromatic display complete
equipment production                                      992,951.47       refund of remaining funds
demonstration line
sub-total                                                 992,951.47
other information
（1） government grants related to assets
                                                                                           amortization
                           opening                                        closing            of items
        item               deferred     increase   amortization           deferred         presented in
                           income                                         income            the current
                                                                                              period
definition    laser
display technology     2,905,986.56                532,741.26          2,373,245.30       other income
engineering
research center
industry     support
funds
sub-total                5,905,986.57                   1,078,195.80        4,827,790.77
（2） government grants related to income and used for compensation of the company’s relevant
    costs or losses in subsequent periods
                                                                                               amortization
                       opening                                                 closing           of items
     item              deferred          increase        amortization          deferred        presented in
                       income                                                  income           the current
                                                                                                  period
r&d of key
technologies
for ultra high-
definition
micro      laser
projector                               1,000,000.00      1,000,000.00                         other income
optical engine
based on light-
emitting
ceramic
devices
trichromatic
laser display
complete
equipment           2,412,101.15         500,000.00       2,912,101.15                         other income
production
demonstration
line
research      of
trichromatic
laser      light
sources      and
lcos optical
engine
sub-total           2,745,435.69        1,500,000.00      3,960,980.23         284,455.46
（3） government grants related to income and used for compensation of the company’s relevant
    costs or losses that have been incurred
                                                          item
             item                       amount                                      description
                                                        presented
refunds of value-added taxes        4,431,505.74       other income
rewards for employment
stability and subsidy for new
employees
refund of service charges for
“three withholdings”
shenzhen one-off subsidy for
job expansion in 2022 (10th              3,000.00   other income
batch)
                                                                   provisions of guangdong for
maternity     grants   from
                                                                   maternity      insurance      of
shenzhen     social security           12,459.49    other income
                                                                   employees, shenzhen social
bureau
                                                                   insurance fund administration
rents     for talents of              370,000.00    other income
                                                                   agreement of nanshan district
enterprises
                                                                   announcement       of    shenzhen
                                                                   administration      for    market
                                                                   regulation on 2022 candidate
for intellectual property rights                                   intellectual property rights (for
                                                                   protection),             shenzhen
                                                                   administration      for    market
                                                                   regulation
                                                                   disclosure of shenzhen science
                                                                   and     technology    innovation
key       enterprise     research                                  commission on the candidate
institute for laser display                                        subsidy    projects   for     key
                                                                   enterprise research institutes for
                                                                   notice on starting the application
                                                                   (third batch) of projects for sub-
subsidy      for      j9九游app copyright                                    special funds under the special
registration                                                       fund for independent innovation
                                                                   industry development in nanshan
                                                                   district (2022)
contribution
                                                                   notice          of       shenzhen
                                                                   administration      for     market
subsidy      for    trademark                                      administration on handling the
registration    under    2022                                      subsidy collection procedures for
shenzhen intellectual property                                     verified projects on shenzhen
special fund                                                       intellectual property special fund
                                                                   in 2022, shenzhen administration
                                                                   for market regulation
subsidy for daily management                                     entities qualified for subsidy for
expenditures of post-doctor                                      daily management expenditures
stations                                                         in shenzhen (second batch in
                                                                 website of shenzhen human
                                                                 resources and social security
                                                                 bureau
                                                                 notice on the reward scheme of
                                                                 special funds for standard field
in the standard field
                                                                 administration    for    market
                                                                 regulation
subsidy for social security
and post for employment of           62,731.52    other income
the poor population
special    funds      for    the                                 projects for the special fund for
development      of     cultural                                 the development of the cultural
industry (original research and                                  industry, shenzhen city bureau of
development projects)                                            culture,     radio,    television,
                                                                 tourism and sports
                                                                 notice of shenzhen bureau of
reward      for    production                                    industry     and     information
expansion and efficiency                                         technology on the disclosure for
improvement of industrial           310,000.00    other income   the first half of 2022 proposed
enterprises for the first half                                   subsidy scheme for enterprises’
of 2022                                                          production     expansion    and
                                                                 efficiency improvement
subsidy for employment of
the poor population
                                                         non-
payment of industry support
funds
                                                       income
subsidy under the 2023
                                                                 notice on filing for projects under
nanshan district scientific
reward and support plan
                                                                 technology breakthrough in 2023
(first batch)
                                                                 announcement of chongqing
                                                                 liangjiang new area operation
rewards      for   enterprises
                                                                 bureau on candidate enterprises
qualified as enterprises above      250,000.00    other income
                                                                 qualified for rewards under
designated size
                                                                 policies for stabilizing the macro
                                                                 economy (second batch)
special funds for service           127,000.00    other income   letter of chongqing commission
trading                                                             of commerce on communication
                                                                    about review of international
                                                                    service trading projects under the
                                                                    special development fund
sub-total                         27,941,857.82
（4） interest subsidies
           opening                                                closing       amortization of items
item       deferred increase                    amortization      deferred      presented     in   the
           income                                                 income        current period
interest
subsidies
sub-total                  6,084,300.00         6,084,300.00
□ applicable√ n/a
viii.       changes in scope of consolidation
√ applicable□ n/a
(1).   business combinations not involving enterprises under common control in the current
period
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                                                                                      net
                                                                                       incomes
                                                                                                   profit of
                                       ratio                                             of the
                                                                                                      the
                                         of                                            acquiree
              time                                                       basis for                 acquiree
                                      acquir     method                                from the
             point of     cost of                                        determini                 from the
name of                                  ed        of        acquisiti                 acquisiti
             obtaini      equity                                           ng the                  acquisiti
acquiree                              equity    obtaining     on date                   on date
                ng      acquisition                                      acquisitio                 on date
                                      interes    equity                                  to the
              equity                                                       n date                    to the
                                         ts                                             end of
                                                                                                    end of
                                        (%)                                               the
                                                                                                      the
                                                                                        period
                                                                                                    period
shenzhe
n
qianhai                                                                  share
             may
taishi                  19,734,000.             acquisiti    may 15,     transfer
investme                        00              on           2023        agreeme
nt                                                                       nt
partnersh
ip (lp)
other information:
none
(2).      combination costs and goodwill
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
combination costs                                          shenzhen qianhai taishi investment partnership
                                                           (lp)
-- cash                                                                                         19,734,000.00
-- fair value of non-cash assets
-- fair value of debts issued or undertaken
-- fair value of equity securities issued
-- fair value of contingent consideration
-- fair value at the acquisition date of the equity
interests held prior to the acquisition date
--others
total combination costs                                                                         19,734,000.00
less: acquired shares in the fair value of the
identifiable net assets
differences between amounts of
goodwill/combination costs and the acquired shares                                                -271,501.89
in the fair value of the identifiable net assets
description of the method for determining the fair value of combination costs, and the contingent
considerations and changes thereof:
n/a
main reasons of large-amount goodwill:
n/a
other information:
during the reporting period, the company acquired shenzhen qianhai taishi investment partnership
(lp) through business combination not involving enterprises under common control. in essence, this
transaction is acquiring the minority interests held by the subsidiary cineappo laser cinema
technology (beijing) co., ltd. the difference above is recognized in capital reserve - share premium.
(3).      identifiable assets and liabilities of the acquiree at the acquisition date
√ applicable□ n/a
                                                                                unit: yuan currency: rmb
                                       shenzhen qianhai taishi investment partnership (lp)
                            fair value at the acquisition date         carrying amount at the acquisition
assets:                                            20,005,501.89                    date      4,759,034.84
monetary funds                                             9,034.84                                  9,034.84
long-term equity
investment
net assets                                            20,005,501.89                              4,759,034.84
acquired net assets                             20,005,501.89                              4,759,034.84
method for determining the fair value of identifiable assets and liabilities:
long-term equity investments are determined according to the net assets and shareholding ratio of the
investee, and other assets and liabilities are determined according to the book values.
contingent liabilities of the acquiree that are taken in the business combination:
none
other information:
none
(4).  gains or losses from the equity interests held prior to the acquisition date that are
remeasured at fair value
whether there are transactions for the purpose of implementing business combination via multiple
transactions and obtaining the control during the reporting period
□ applicable√ n/a
(5).    description about the failure in reasonably determining the combination considerations or
the fair values of the identifiable assets and liabilities of the acquiree at the acquisition date or at
the end of the combination period
□ applicable√ n/a
(6).     other information
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
single disposal of investments in subsidiaries, i.e. the loss of control
□ applicable√ n/a
other information:
□ applicable√ n/a
description of changes in the scope of consolidation for other reasons (e.g., new subsidiary
establishment, subsidiary liquidation, etc.) and the relevant information:
□ applicable√ n/a
□ applicable√ n/a
    ix. equity in other entities
    (1). composition of enterprise group
    √ applicable□ n/a
                                             principal                                                              shareholding
                                                         registration                                                 ratio (%)
             subsidiary name                 operation                              business nature                                       acquisition method
                                                            place
                                               place                                                               direct indirect
                                                                                                                                     business combination
shenzhen appotronics laser display
                                             shenzhen     shenzhen      r&d and sales of laser display products    100.00            involving enterprises under
technology co., ltd.
                                                                                                                                     common control
                                                                        technical research and development of
appotronics technology (changzhou) co.,
                                             changzhou   changzhou      projection equipment, screen and           100.00            establishment
ltd.
                                                                        electronic computer
shenzhen appotronics software technology                                technology development and sales of
                                             shenzhen     shenzhen                                                 100.00            establishment
co., ltd.                                                               computer software and hardware
                                                                        technical development, sales, and
shenzhen appotronics display device co.,
                                             shenzhen     shenzhen      technical services for display products;   100.00            establishment
ltd.
                                                                        import and export business
wemax llc                                      usa          usa         sales of laser equipment                            100.00   establishment
shenzhen appotronics xiaoming                                           development, consultation and transfer
                                             shenzhen     shenzhen                                                 100.00            establishment
technology co., ltd.                                                    of laser display technology
shenzhen appotronics home line                                          software development related to
                                             shenzhen     shenzhen                                                 100.00            establishment
technology co., ltd.                                                    semiconductor optoelectronic products
shenzhen appotronics laser technology                                   software development for
                                             shenzhen     shenzhen                                                 100.00            establishment
co., ltd.                                                               semiconductor optoelectronic devices
                                                                                                                                     business combination not
tianjin bonian film partnership (lp)          tianjin      tianjin      no specific business conducted              99.00     1.00   involving enterprises under
                                                                                                                                     common control
beijing orient appotronics technology co.,                              technology promotion; computer
                                              beijing      beijing                                                  59.00            establishment
ltd.                                                                    systems, application software services
qingda appotronics (xiamen) technology                                  information technology consulting
                                             shenzhen      xiamen                                                   51.00            establishment
co., ltd.                                                               services
formovie (chongqing) innovative              chongqing   chongqing      technology and software development         39.19            establishment
technology co., ltd.
fengmi (beijing) technology co., ltd.      beijing     beijing    technology and software development                39.19   establishment
chongqing guangbo ecommerce co., ltd.     chongqing   chongqing   no specific business conducted                     39.19   establishment
chongqing ewei ecommerce co., ltd.        chongqing   chongqing   no specific business conducted                     39.19   establishment
shenzhen orange juice energy technology
                                          shenzhen    shenzhen    technology and software development                33.31   establishment
co., ltd.
hongkong orange juice energy technology     hong
                                                      hong kong   engaged in import and export business              33.31   establishment
co., limited                                kong
wemax inc.                                  usa         usa       engaged in import and export business              33.31   establishment
                                                                                                                             business combination not
shenzhen weiwoqi trading co., ltd.        chongqing   shenzhen    no specific business conducted                     33.31   involving enterprises under
                                                                                                                             common control
yaoyouguang (chongqing) technology co.,
                                          chongqing   chongqing   no specific business conducted                     39.19   establishment
ltd.
                                            hong
formovie limited                                      hong kong   no specific business conducted                     39.19   establishment
                                            kong
formovie technology inc.                    usa         usa       no specific business conducted                     39.19   establishment
                                                                  research and development, production,                      business        combination
cineappo laser cinema technology
                                           beijing     beijing    technical services, sales and lease of    24.84    42.96   involving enterprises under
(beijing) co., ltd.
                                                                  laser cinema projection equipment                          common control
                                                                  production, research, and development
                                                                  of semiconductor optoelectronic
                                            hong
appotronics hong kong limited                         hong kong   products, sales and consulting,          100.00            establishment
                                            kong
                                                                  investment and video content value-
                                                                  added services
                                                                                                                             business        combination
                                                                  r&d, manufacture and sales of
appotronics usa, inc.                       usa         usa                                                         100.00   involving enterprises under
                                                                  semiconductor optoelectronic products
                                                                                                                             common control
                                           cayman      cayman
joveai limited                                                    no specific business conducted                     64.29   establishment
                                           islands     islands
joveai innovation, inc.                     usa         usa       r&d of laser display software system               64.29   establishment
                                                                  technical research and development of
joveai asia company limited                vietnam     vietnam    projection equipment, screen and                   64.29   establishment
                                                                  electronic computer
appotronics international limited           hong      hong kong   no specific business conducted           100.00            establishment
                                                 kong
appotronics intelligent manufacturing
                                               shenzhen      shenzhen      no specific business conducted              100.00               establishment
(shenzhen) co., ltd.
                                                                                                                                            business combination not
shenzhen qianhai taishi investment
                                               shenzhen      shenzhen      no specific business conducted               70.00      30.00    involving enterprises under
partnership (lp)
                                                                                                                                            common control
    description of the difference between the proportion of shareholding and the proportion of voting rights in a subsidiary:
    none
    basis for holding half of the voting rights or below but still controlling the investee, and holding over half voting rights but having no control over the investee:
      fengmi (beijing) technology co., ltd., formovie technology inc., formovie limited, chongqing ewei ecommerce co., ltd., chongqing guangbo ecommerce
    co., ltd., and yaoyouguang (chongqing) technology co., ltd. are wholly-owned subsidiaries of formovie (chongqing) innovative technology co., ltd.;
    hongkong orange juice energy technology co., limited, wemax inc., and weiwoqi trading co., ltd. are wholly-owned subsidiaries of shenzhen orange juice
    energy technology co., ltd.; shenzhen orange juice energy technology co., ltd. is a controlled subsidiary of formovie (chongqing) innovative technology co.,
    ltd.
      the company and shenzhen fengye investment consulting limited partnership (limited partnership), a party acting in concert with the company, hold a total of
    company. since the voting rights are sufficient to exercise significant influence on the resolution of the general meeting of formovie (chongqing) innovative
    technology co., ltd., the company becomes the controlling shareholder of formovie (chongqing) innovative technology co., ltd.
    basis for controls over significant structured entities included in consolidation scope:
    none
    basis to determine the company acts as the agent or the principal:
    none
    other information:
    none
    (2).   significant non-wholly subsidiaries
    √ applicable□ n/a
                                                                                                                                            unit: yuan currency: rmb
                                                                                               profit or loss
                                                                            minority           attributable to   dividends declared for
                                                                       shareholdings ratio        minority       distribution to minority    closing balance of minority
                           subsidiary name
                                                                              (%)            shareholders for      shareholders in the                interests
                                                                                                 the current          current period
                                                                                                    period
    formovie (chongqing) innovative technology co., ltd.                     60.81            -49,013,347.97                                       -98,871,403.61
cineappo laser cinema technology (beijing) co., ltd.                       32.20           16,806,569.59           11,040,000.00                 143,846,043.06
description of the difference between the proportion of shareholding by minority shareholders and their proportion of voting rights in a subsidiary:
□ applicable√ n/a
other information:
□ applicable√ n/a
(3).    significant financial information of significant non-wholly subsidiaries
√ applicable□ n/a
                                                                                                                                     unit: 0’000 yuan currency: rmb
                                            closing balance                                                               opening balance
 subsidiary                   non-                                  non-                                  non-                                     non-
                current                   total       current                     total     current                     total      current                     total
     name                    current                               current                               current                                  current
                 assets                   assets     liabilities               liabilities   assets                     assets    liabilities               liabilities
                              assets                             liabilities                              assets                                liabilities
formovie
(chongqing)
innovative      72,686.24     7,066.60   79,752.84    64,264.26   31,062.34      95,326.60  87,088.07     7,121.89     94,209.96    78,428.22    23,708.90   102,137.12
technology
co., ltd.
cineappo
laser
cinema
technology
(beijing)
co., ltd.
                                              amount for the current period                                           amount for the prior period
                                                                total       cash flow from                                             total          cash flow from
    subsidiary name           operating                                                             operating
                                              net profit   comprehensive      operating                              net profit   comprehensive         operating
                               income                                                                income
                                                               income          activities                                             income             activities
formovie (chongqing)
innovative technology           37,600.18       -7,921.68         -8,124.01           -5,369.48        60,958.84       -4,658.22         -4,666.57          -11,314.58
co., ltd.
cineappo laser                  24,187.64        4,716.46          4,716.46           11,989.67        16,109.94          636.46            636.46            3,727.18
cinema technology
(beijing) co., ltd.
other information:
none
(4).    significant limitations on use of the group assets and payment of the group debts:
□ applicable√ n/a
(5).    financial or other support provided to structured entities included in consolidated financial statements:
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
(1). description of changes in the share in the owner’s equity of subsidiaries
√ applicable□ n/a
                                                                                             shareholding ratio prior
                    subsidiary name                                 date of change                                      shareholding ratio after change
                                                                                                   to change
cineappo laser cinema technology (beijing) co.,
                                                                    may 15, 2023                     63.20%                        67.80%
ltd.
(2). effect of the transaction on the minority interests and the equity attributable to owners of the parent company
√ applicable□ n/a
                                                                                                                               unit: yuan currency: rmb
                                                                                   cineappo laser cinema technology (beijing) co., ltd.
acquisition cost/disposal consideration
-- cash                                                                                                                                        19,734,000.00
-- fair value of non-cash assets
total acquisition cost/disposal consideration                                                                                                  19,734,000.00
less: share in net assets of subsidiaries calculated based on the
acquired/disposed shareholding ratio
difference                                                                                                                                       -271,501.89
including: adjustment to capital reserves                                                                                                        -271,501.89
       adjustment to surplus reserves
       adjustment to retained profits
other information
□ applicable√ n/a
√ applicable□ n/a
(1).  significant associates or joint ventures
√ applicable□ n/a
                                                                                                                                  unit: yuan currency: rmb
                                                                                                                 shareholding ratio     accounting treatment
                                         principal
                                                       registration                                                     (%)            method for investments
     associates or joint ventures        operation                                business nature
                                                          place                                                                          in joint ventures or
                                           place                                                                 direct   indirect
                                                                                                                                              associates
                                        asia       and british         r&d, production, and sales of digital
                                                                                                                                           accounting for under
gdc technology limited (bvi)            north             virgin       cinema servers and cinema management                          44.00
                                                                                                                                           equity method
                                        america           islands      system
description of the difference between the proportion of shareholding and the proportion of voting rights in joint ventures or associates:
none
basis that the company owns less than 20% voting rights but may exercise major impact, or that the company owns 20% or over voting rights but does not have
major impact:
none
(2).    major financial information of significant joint ventures
□ applicable√ n/a
(3).    major financial information of significant associates
√ applicable□ n/a
                                                                                                                                  unit: yuan currency: rmb
                                                                        closing balance/amount for the current        opening balance/amount for the prior
                                                                                        period                                      period
                                                                           gdc technology limited (bvi)                 gdc technology limited (bvi)
current assets                                                                                  506,702,638.76                               552,730,874.23
non-current assets                                                                               36,851,993.25                                52,568,431.68
total assets                                                                                    543,554,632.01                               605,299,305.91
current liabilities                                                                             202,634,110.90                               240,966,036.37
non-current liabilities                                                                           170,431,610.33                         172,710,379.48
total liabilities                                                                                 373,065,721.23                         413,676,415.85
minority interests
interests attributable to shareholders of the parent company                                      170,488,910.78                         191,622,890.06
share of net assets calculated by ownership percentage                                             75,015,120.74                          84,314,071.63
adjustment
--goodwill                                                                                          77,772,341.43                          77,772,341.43
--unrealized profits for insider transactions                                                         -517,974.63                            -797,530.34
--others
book value of investment of associates                                                            156,523,146.05                         162,394,917.57
fair values of equity investments in associates having publicly quoted
prices
operating income                                                                                  121,512,899.31                         113,618,609.56
net profit                                                                                        -18,317,067.87                         -19,899,972.82
net profit of discontinued operations
other comprehensive income                                                                          -9,491,656.52                          -2,383,768.26
total comprehensive income                                                                         -27,808,724.38                         -22,283,741.07
dividends received from associates in the current year
other information
none
(4).   summary financial information of insignificant joint ventures and associates
□ applicable√ n/a
(5).   descriptions of significant limitations over the ability of joint ventures or associates to transfer funds to the company
□ applicable√ n/a
(6).   excessive loss of joint venture or associates
□ applicable√ n/a
(7).   unrecognized commitment relating to investments in joint ventures
□ applicable√ n/a
(8).   contingent liabilities relating to investments in joint ventures or associates
□ applicable√ n/a
□ applicable√ n/a
description of structured entities that are not included in consolidated financial statements:
□ applicable√ n/a
□ applicable√ n/a
x. risks associated with financial instruments
√ applicable□ n/a
      the company’s risk management objectives are to achieve a proper balance between risks and yield, minimize the adverse impacts of risks on the company’s
operation performance, and maximize the benefits of the shareholders and other stakeholders. based on these risk management objectives, the company’s basic risk
management strategy is to identify and analyze its exposure to various risks, establish an appropriate minimum tolerance to risk, implement risk management, and
monitor regularly and effectively these exposures to ensure the risks are monitored at a certain level.
      the company is exposed to various risks associated with financial instruments in its daily routines, primarily including credit risk, liquidity risk and market
risk. the management has reviewed and approved policies to manage these risks, summarized as below.
      (i) credit risk
      credit risk refers to the risk that a party of the financial instrument will default on its obligations resulting in financial loss to the counter-party.
      (1) evaluation of credit risk
      the company assesses at each balance sheet date whether the credit risk of the underlying financial instruments has increased significantly since initial
recognition. in determining whether the credit risk has increased significantly since initial recognition, the company considers reasonable and supportable
information that is available without undue additional cost or effort, including quantitative and qualitative analysis based on historical data, ranking of external
credit risks and forward-looking information. the company compares the risk of a default occurring on a financial instrument as at the balance sheet date with the
risk of a default occurring on the financial instrument as at the date of initial recognition based on individual financial instrument or a group of financial instruments
with similar credit risk characteristic, to determine the change of the risk of a default occurring on a financial instrument over the expected life.
      the company considers the credit risk of financial instruments has increased significantly when one or more of the following quantitative and qualitative
criteria are met:
as of the balance sheet date when comparing with that at initial recognition of the financial instruments;
the debtor’s ability to meet its debt obligations, and an actual or expected significant adverse change in the technological, market, economic, or legal environment of
the debtor that results in a significant decrease in the debtor’s ability to meet its debt obligations.
      (2) definition of defaulted or credit-impaired assets
      a financial asset is defined as defaulted when the financial instrument meets one or more conditions stated as below, and the criterion of defining defaulted
asset is consistent with that of defining credit-impaired asset:
creditor would not otherwise consider.
      key parameters to measure ecl include the probability of default, loss given default and the exposure at default. the company established models of the
probability of default, loss given default and the exposure at default on the basis of qualitative analysis on historical statistical data (such as counterparty ranking,
guarantee methods, collateral category, and repayment way) and forward-looking information.
vii 4, 5, 6, 8, 10 and 16 of section x.
      the company’s credit risk is primarily from monetary funds and receivables. in order to control the risks associated with aforementioned items, the company
has taken the following measures.
      (1) monetary funds
      the credit risk of the company is limited because the company has deposited bank deposits and other monetary funds in banks with high credit ratings.
      (2) receivables
      the company regularly evaluates the creditworthiness of its customers with deals on credit, and selects to deal with approved and creditworthy customers
subject to the results of the credit assessment with monitoring the balance of its receivables, so as to ensure that the company is not exposed to significant risk of
bad debt.
      no collateral is required since the company only deals with third parties that are approved and creditworthy. the concentrated credit risks are managed by
customers. as of june 30, 2023, the company is exposed to certain concentration of credit risks, as the company’s accounts receivable from top 5 customers have
accounted for 61.06% of the total balance of accounts receivable (december 31, 2022: 56.87%). the company held no collateral or other credit ranking measures
for the balance of accounts receivable.
      the maximum exposure to the company is the book value of each financial asset in the balance sheet.
      (ii) liquidity risk
      liquidity risk refers to the risk that the company is in shortage of funds in performing obligations that are settled by delivering cash or another financial asset.
liquidity risk may arise from an inability to sell a financial asset at fair value as soon as possible, a counterparty’s inability to pay its contractual liabilities, the
accelerated maturity of liabilities, or an inability to generate expected cash flows.
      in order to control this risk, the company balances the continuity and flexibility of financing by using various financing measures such as notes settlement and
bank loans comprehensively and adopting both long-term and short-term financing methods to optimize the financing structure. the company has received credit
facilities from a number of commercial banks to satisfy its working capital requirements and capital expenditures.
      financial liabilities classified by remaining maturity dates
                                                                                             closing balance
   item                                                        undiscounted contract
                                       book value                                                 within 1 year                   1-3 years               over 3 years
                                                                     amount
 bank borrowings                          808,021,579.61                876,783,006.60                318,094,678.07                452,061,512.96         106,626,815.57
 notes payable                              80,254,013.57                 80,254,013.57                80,254,013.57
 accounts payable                         275,507,953.57                275,507,953.57                275,507,953.57
 other payables                           119,907,648.52                119,907,648.52                119,907,648.52
 lease liabilities                          58,691,221.37                 61,690,587.34                33,365,802.29                 25,515,052.58           2,809,732.47
   sub-total                            1,342,382,416.64              1,414,143,209.60                827,130,096.02                477,576,565.54         109,436,548.04
(continued to above table)
                                                                                 closing balance of the prior year
   item                                                       undiscounted contract
                                       book value                                          within 1 year                      1-3 years                 over 3 years
                                                                    amount
 bank borrowings                          680,999,644.99              741,583,550.58               294,187,405.68               302,318,773.93             145,077,370.97
 notes payable                            201,299,388.57              201,299,388.57               201,299,388.57
 accounts payable                         276,845,321.28              276,845,321.28               276,845,321.28
 other payables                            56,662,357.08                56,662,357.08               56,662,357.08
                                                                                closing balance of the prior year
   item                                                      undiscounted contract
                                      book value                                          within 1 year                     1-3 years                over 3 years
                                                                   amount
 lease liabilities                         64,661,633.09              68,598,988.87               30,342,348.86                38,256,640.01
   sub-total                           1,280,468,345.01            1,344,989,606.38              859,336,821.47              340,575,413.94             145,077,370.97
      (iii) market risk
      market risk refers to the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. market risk
mainly includes interest rate risk and currency risk.
      interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. the
company is exposed to the risk of fair value interest rate due to financial instruments with a fixed interest rate and to the risk of cash value interest rate due to
financial instruments with a floating interest rate. the company determines the proportion between the fixed-rate financial instruments and the floating-rate
financial instruments based on market conditions, and maintains appropriate portfolios of financial instruments through regular review and monitoring. the cash
flow interest rate risk exposed to the company relates primarily to the company’s floating-rate interest-bearing bank borrowings.
      as at june 30, 2023, the principal of the company’s floating-rate interest-bearing bank borrowings amounted to rmb 507 495,776.70 (december 31, 2022:
rmb 650,205,770.70). on the basis of the assumption that the interest rate has changed 10 basic points, where all other variables are held constant, it will bring no
material impacts on the company’s total profits and shareholders’ equity.
      currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. the
company’s exposure to the currency risk is primarily associated with the company’s monetary assets and liabilities dominated in foreign currencies. if the monetary
assets and liabilities dominated in foreign currencies are imbalanced in a short time, the company will purchase and sell foreign currencies at the market exchange
rate to keep the net risk exposure acceptable.
      the closing balance of the company’s monetary assets and liabilities dominated in foreign currencies are disclosed in vii.82 of section x in details.
xi. disclosure of fair value
√ applicable□ n/a
                                                                                                                                       unit: yuan currency: rmb
                                                                                                      closing balance of fair value
                               item
                                                                            level 1                     level 2                     level 3            total
i. continuous fair value measurement
(i) held-for-trading financial assets                                             534,877,200.00   30,000,000.00 564,877,200.00
(1) investment in debt instrument
(2) investment in equity instrument                                                12,880,000.00   30,000,000.00 42,880,000.00
(3) structural deposits                                                           521,997,200.00                521,997,200.00
loss
(1) investment in debt instrument
(2) investment in equity instrument
(ii) other debt investments
(iii) other equity instrument investments                                                           7,075,419.38   7,075,419.38
(iv) investment properties
appreciation
(v) biological assets
receivables financing                                                                              15,223,418.33 15,223,418.33
total assets continuously measured at fair value                                  534,877,200.00   52,298,837.71 587,176,037.71
(vi) held-for-trading financial liabilities
including: held-for-trading bonds issued
        derivative financial liabilities
        others
or loss
total liabilities continuously measured at fair value
ii. non-continuous fair value measurement
(i) held-for-sale assets
total assets that are not continuously measured at fair value
total liabilities that are not continuously measured at fair
value
□ applicable√ n/a
     measurement items
√ applicable□ n/a
the equity instrument investment presented stocks subscribed on the new third board; considering the factors including the level of activity for trading of stocks
on the new third board, the company classified stocks on the new third board as level 2 for the measurement of fair value, where the fair value is determined
according to the average closing price of the previous 20 trading days.
structured deposits are valued using observable returns, with the sum of expected returns and principal determined as fair value when the expected yield is
observable, and the principal amount as fair value in other cases.
     measurement items
√ applicable□ n/a
the company uses specific valuation techniques to determine fair value, and important parameters used include the net assets of the investee unit at the end of the
period.
     measurement items
□ applicable√ n/a
     measurement items
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
xii. related-party relationships and transactions
√ applicable□ n/a
                                                                                                                                      unit: 0’000 yuan currency: rmb
                                                                                              proportion of the company’s             proportion of the company’s
                                registration                                  registered
     parent company                                  business nature                            shares held by the parent            voting right held by the parent
                                   place                                       capital
                                                                                                     company (%)                              company (%)
   shenzhen appotronics                                r&d and sales of
                                   shenzhen                                       1,000.00                    17.45                                   17.45
      holdings limited                             semiconductor products
description of the parent company of the company
none
the ultimate controlling party of the company is li yi.
other information:
none
refer to the note for details about the subsidiaries of the company
√ applicable□ n/a
subsidiaries of the company are disclosed in descriptions in ix.1 of section xi in details.
refer to the note for details about the significant joint ventures or associates of the company.
√ applicable□ n/a
refer to the description in note ix.3 of section x for details about the associates of the company.
details of other joint ventures or associates having related-party transactions and balances with the company in the period or in prior periods:
□ applicable√ n/a
√ applicable□ n/a
                       name of other related party                                            relationship between other related party and the company
beijing donview education technology co., ltd. and its affiliates             minority shareholders holding more than 10% shares in the subsidiary and their affiliates
shenzhen ylx technology development co., ltd.                                 controlled by the same de facto controller
xiaomi communications co., ltd. and its affiliates                            minority shareholders holding more than 10% shares in the subsidiary and their affiliates
china film equipment co., ltd. and its affiliates                             minority shareholders holding more than 10% shares in the subsidiary and their affiliates
wecast and its affiliates                                                     the de facto controller resigned as a director of wecast for less than one year
cinionic and its affiliates                                                   as of april 30 in the current period, the de facto controller resigned as a director of
                                                                        cinionic for less than one year
other information
from may 1 in the current period, cinionic and its affiliates are no longer related parties because it has been one year after the de facto controller resigned as a
director of cinionic.
(1). sales and purchase of goods, rendering and receipt of services
purchase of goods/receipt of services
√ applicable□ n/a
                                                                                                                                        unit: yuan currency: rmb
                                                           during the                                              whether the transaction
                                                                                 transaction amounts
           related party              subject matter        reporting                                              amounts are exceeded (if          prior period
                                                                                approved (if applicable)
                                                              period                                                      applicable)
xiaomi communications co.,          electronic
ltd. and its affiliates             components and         38,793,268.73                      101,000,000.00                                  no 102,666,791.40
                                    service
china film equipment co., ltd. power,           water
and its affiliates                  cooling       and      11,255,989.49                       35,000,000.00                                  no      10,702,327.46
                                    services
gdc and its affiliates              electronic
                                    components
beijing donview education
                                    maintenance
technology co., ltd. and its                                     4,198.11                                0.00                                 yes           8,962.26
                                    services
affiliates
shenzhen ylx technology             electronic
development co., ltd.               components
sales of goods/rendering of services
√ applicable□ n/a
                                                                                                                                       unit: yuan currency: rmb
                                                                                                                            amount for the amount for the prior
                      related party                                                subject matter
                                                                                                                            current period          period
xiaomi communications co., ltd. and its affiliates        laser tv, smart mini projector                                      80,163,085.66       302,360,399.65
china film equipment co., ltd. and its affiliates         laser light source and cinema projection services                   11,606,671.69        16,119,369.88
cinionic and its affiliates                               cinema light source                                                 30,228,389.84        50,666,582.80
beijing donview education technology co., ltd. and its
                                                              education projector                    2,573.26         1,533,749.83
affiliates
gdc and its affiliates                                        cinema projectors                     294,140.46        7,493,997.70
wecast and its affiliates                                     laser tv, smart mini projector              0.00       -7,681,578.96
shenzhen ylx technology development co., ltd.                 electronic components               3,685,678.75          950,681.50
description of sales and purchase of goods, rendering and receipt of services
□ applicable√ n/a
(2). details of trust with related parties/subcontracting and trust management/contract-issuing
details of trust/contracting where a group entity is the trustor/main contractor:
□ applicable√ n/a
description of trust/subcontracting with related parties
□ applicable√ n/a
details of trust/contracting where a group entity is the trustor/main contractor:
□ applicable√ n/a
description of management/contract-issuing with related parties
□ applicable√ n/a
(3). leases with related parties
the company as the lessor:
□ applicable√ n/a
the company as the lessee:
√ applicable□ n/a
                                                                                                                                           unit: yuan currency: rmb
                                                             variable lease
                                   simplified handling
                                                              payments not
                                    of rental costs for                                                             assumed interest
                                                             included in the
                                  short-term leases and                                        paid rent            expenses of lease      added right-of-use assets
                                                            measurement of
                                 low-value asset leases                                                                liabilities
               type of leased                              lease liabilities (if
   lessor                             (if applicable)
                  assets                                       applicable)
                                  amount      amount      amount amount                                amount     amount      amount
                                                                                      amount for                                          amount for     amount for
                                  for the     for the     for the       for the                        for the    for the     for the
                                                                                      the current                                         the current     the prior
                                  current       prior     current        prior                           prior    current       prior
                                                                                        period                                              period         period
                                   period      period      period       period                          period     period      period
china film
equipment
co., ltd.      property lease    14,231.64   63,083.33                               1,540,920.50    379,304.00   58,659.73   27,641.32   3,223,361.75
and its
affiliates
description of leases with related parties
□ applicable√ n/a
(4). guarantees with related parties
the company as a guarantor
□ applicable√ n/a
the company as a guaranteed party
□ applicable√ n/a
description of guarantees with related parties
□ applicable√ n/a
(5). borrowings/loans with related parties
□ applicable√ n/a
(6). assets transfer/debt restructuring with related parties
□ applicable√ n/a
(7). compensation for key management personnel
√ applicable□ n/a
                                                                     unit: 0’000 yuan currency: rmb
                                                                                 amount for the prior
                item                       amount for the current period
                                                                                      period
compensation for key management
           personnel
(8). other related-party transactions
□ applicable√ n/a
(1). amounts due from related parties
√ applicable□ n/a
                                                                           unit: yuan currency: rmb
                                                closing balance                 opening balance
    item            related party           carrying     provision for      carrying     provision for
                                            amount         bad debts        amount        bad debts
            cinionic and its
            affiliates
            gdc technology
            limited (bvi) and its            796,680.58        39,834.03    1,739,949.64        86,997.48
            affiliates
            wecast and its affiliates      16,875,766.52 16,875,766.52 16,265,737.14 16,265,737.14
accounts
            xiaomi communications
receivable                                 12,880,063.84      644,003.19 22,671,178.87     1,133,558.94
            co., ltd. and its affiliates
            shenzhen ylx
            technology development          2,313,052.34      115,652.62
            co., ltd.
            china film equipment
            co., ltd. and its affiliates
            sub-total                      37,668,159.18 17,986,182.23 72,543,886.95 19,085,471.85
            china film equipment
            co., ltd. and its affiliates
prepayments
            xiaomi communications
            co., ltd. and its affiliates
            sub-total                       3,342,477.07                    5,451,984.90
            china film equipment
            co., ltd. and its affiliates
other
            gdc technology
receivables
            limited (bvi) and its          14,307,084.00                   13,789,908.00
            affiliates
               xiaomi communications
               co., ltd. and its affiliates
               sub-total                      14,696,328.20       19,462.21 14,263,262.20         23,667.71
(2). amounts due to related parties
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
        item                     related party                 closing balance of    opening balance of
                                                               carrying amount        carrying amount
                 shenzhen ylx technology
                 development co., ltd.
                 xiaomi communications co., ltd.
accounts payable                                                                              12,521,840.23
                 and its affiliates
                 china film equipment co., ltd. and
                 its affiliates
                 sub-total                                          13,549,141.02             16,988,863.34
                 china film equipment co., ltd. and
notes payable                                                       18,842,525.54             22,554,693.11
                 its affiliates
                 sub-total                                          18,842,525.54             22,554,693.11
                 china film equipment co., ltd. and
advance from     its affiliates
customers        gdc technology limited (bvi) and
                 its affiliates
                 sub-total                                           7,743,812.68              9,347,516.60
                 gdc technology limited (bvi) and
contract         its affiliates
liabilities      china film equipment co., ltd. and
                 its affiliates
                 sub-total                                           1,535,329.22              2,762,553.28
                 beijing donview education
                 technology co., ltd. and its affiliates
                 cinionic and its affiliates                                                     507,874.72
other payables gdc technology limited (bvi) and
                 its affiliates
                 china film equipment co., ltd. and
                 its affiliates
                 sub-total                                               117,020.00              596,520.48
                 xiaomi communications co., ltd.
other current    and its affiliates
liabilities      china film equipment co., ltd. and
                 its affiliates
                 sub-total                                               362,076.59            3,380,614.01
□ applicable√ n/a
□ applicable√ n/a
xiii.     share-based payments
√ applicable□ n/a
                                                                               unit: share currency: rmb
                   item                                        company                     chongqing
                                                                                          formovie
total number of the company’s equity
instruments granted during the period
total number of the company’s equity
instruments executed during the period
total number of the company’s equity
instruments lapsed during the period
                                          grant date: april 22, 2021; grant
                                          price: rmb 20.786/share; 9 months
                                          grant date: april 22, 2021; grant
                                          price: rmb 18.286/share; 9 months
                                          grant date: april 22, 2021; grant
                                          price: rmb 17.286/share; 9 months        grant date:
                                          grant date: december 7, 2021; grant      december 31, 2021;
                                          price: rmb 19.841/share; 17 months       grant price: rmb
                                          grant date: december 7, 2021; grant      1/share; 36 months
range of exercise prices and remaining    price: rmb 22.841/share; 17 months       grant date: july 6,
contractual life of the company’s share   grant date: march 11, 2022; grant        2022; grant price:
options outstanding at the end of the     price: rmb 19.841/share; 17 months       rmb 1/share; 36
period                                    grant date: march 11, 2022; grant        months
                                          price: rmb 22.841/share; 17 months       grant date: july 7,
                                          grant date: march 11, 2022; grant        2022; grant price:
                                          price: rmb 18.286/share; 9 months        rmb 3.42/share; 36
                                          grant date: may 25, 2022; grant          months
                                          price: rmb 15.341/share; 11 months
                                          grant date: july 22, 2022; grant
                                          price: rmb 4.30/share; 25 months
                                          grant date: december 27, 2022; grant
                                          price: rmb 15.341/share; 18 months
range of exercise prices and remaining
contractual life of the company’s other
                                        none                                       none
equity instruments outstanding at the
end of the period
other information
none
√ applicable□ n/a
                                                                         unit: yuan currency: rmb
                                                                                     chongqing
                          item                                  company
                                                                                      formovie
                                                                                   evaluation of all
the method of determining the fair value of equity            option pricing
                                                                                 shareholder’s equity
instruments at the grant date                                     model
                                                                                       interests
the basis of determining the number of equity
                                                            actual grant amount actual grant amount
instruments expected to be executed
reasons for the significant difference between the
                                                                    none                  none
estimate in the current period and that in the prior period
amounts of equity-settled share-based payments
accumulated in capital reserve
total expenses recognized arising from equity-settled
share-based payments
other information
all restricted shares granted by the company are type ii restricted shares, while the registered capital
granted by foremovie was treated with reference to type i restricted shares.
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
xiv.    commitments and contingencies
□ applicable√ n/a
(1). significant contingencies as of the balance sheet date
√ applicable□ n/a
pending litigation
as of june 30, 2023, there are 10 major civil litigation and arbitration cases where the company acted as a plaintiff, specifically including:
                       cause of                                                                        patents          amount involved
     case no.                        plaintiff/claimant                defendant/respondent                                                            progress
                        action                                                                        involved
                                                                                                                                                 (1) compensation
                                                               defendant 1: delta electronics
(2019) yue 03                                                                                                                                    amount decided in
                      infringem                                (shanghai) co., ltd.;
min chu no. 2943                                                                                                                                 the trial of the first
                      ent     on    appotronics                defendant 2: delta video display        20081006
(2021) zui gao fa                                                                                                   rmb 8.00 million             instance:       rmb
                      patent for    corporation limited        system (wujiang) limited;               5225.x
zhi min zhong                                                                                                                                    271,399.40;       (2)
                      invention                                defendant 3: shenzhen super
no. 1582                                                                                                                                         under trial of the
                                                               network technology co., ltd.
                                                                                                                                                 second instance
                                                                                                                                                 (1) compensation
                                                               defendant 1: delta electronics
(2019) yue 03                                                                                                                                    amount decided in
                      infringem                                (shanghai) co., ltd.;
min chu no. 2944                                                                                                                                 the trial of the first
                      ent     on    appotronics                defendant 2: delta video display        20081006
(2021) zui gao fa                                                                                                   rmb 8.00 million             instance:       rmb
                      patent for    corporation limited        system (wujiang) limited;               5225.x
zhi min zhong                                                                                                                                    501,399.40;       (2)
                      invention                                defendant 3: shenzhen super
no. 1718                                                                                                                                         under trial of the
                                                               network technology co., ltd.
                                                                                                                                                 second instance
                                                                                                                                                 (1) compensation
                                                               defendant 1: delta electronics
(2019) yue 03                                                                                                                                    amount decided in
                      infringem                                (shanghai) co., ltd.;
min chu no. 2946                                                                                                                                 the trial of the first
                      ent     on    appotronics                defendant 2: delta video display        20081006
(2022) zui gao fa                                                                                                   rmb 4.00 million             instance:       rmb
                      patent for    corporation limited        system (wujiang) limited;               5225.x
zhi min zhong                                                                                                                                    151,399.40;       (2)
                      invention                                defendant 3: shenzhen super
no. 161                                                                                                                                          under trial of the
                                                               network technology co., ltd.
                                                                                                                                                 second instance
                                                                                                                              (1) compensation
                                                         defendant 1: delta electronics
(2019) yue 03                                                                                                                 amount decided in
                    infringem                            (shanghai) co., ltd.;
min chu no. 2948                                                                                                              the trial of the first
                    ent     on     appotronics           defendant 2: delta video display     20081006
(2021) zui gao fa                                                                                        rmb 4.00 million     instance:       rmb
                    patent for     corporation limited   system (wujiang) limited;            5225.x
zhi min zhong                                                                                                                 146,399.40;       (2)
                    invention                            defendant 3: shenzhen super
no. 1548                                                                                                                      under trial of the
                                                         network technology co., ltd.
                                                                                                                              second instance
                                                                                                                              (1) compensation
                                                         defendant 1: delta electronics
(2019) yue 03                                                                                                                 amount decided in
                    infringem                            (shanghai) co., ltd.;
min chu no. 2951                                                                                                              the trial of the first
                    ent     on     appotronics           defendant 2: delta video display     20081006
(2021) zui gao fa                                                                                        rmb 4.00 million     instance:       rmb
                    patent for     corporation limited   system (wujiang) limited;            5225.x
zhi min zhong                                                                                                                 581,399.40;       (2)
                    invention                            defendant 3: shenzhen super
no. 1550                                                                                                                      under trial of the
                                                         network technology co., ltd.
                                                                                                                              second instance
                    dispute
                    over
                    damages
                    caused by
(2021) yue 73       maliciousl     appotronics                                                                                under trial of the
                                                         defendant: delta electronics, inc.   -          rmb 10.00 million
min chu no. 1860    y initiating   corporation limited                                                                        first instance
                    an
                    intellectua
                    l property
                    litigation
                                                                                                                              although          an
                                                                                                                              application      for
                                                                                                                              execution had been
                    dispute                                                                                                   submitted to the
(2023) yue 0305     over the       appotronics           huaxia      jingrui       lighting                                   court, the execution
                                                                                              -          rmb 0.7867 million
zhi no. 4099        sales          corporation limited   technology (beijing) co., ltd.                                       was suspended at
                    contract                                                                                                  present because the
                                                                                                                              court found no
                                                                                                                              property         for
                                                                                                                              execution.
                     arbitratio
                     n
                     countercla
                                                               gdc technology limited (cayman
                     im       of
                                   appotronics       hong      islands)
                     dispute
                                   kong limited                gdc technology limited (british
                                   appotronics                 virgin islands)
                     implement
                                   corporation limited         de facto controller zhang
                     ation    of
                                                               wanneng and his management team
                     the
                     settlement
                     agreement
                     dispute
                                   cineappo            laser
                     over      a                               foshan jiafu cinema management                     return 7 laser      light   the award has been
dsc20212921                        cinema      technology                                            -
                     commerci                                  co., ltd.                                          source devices              made and is pending
                                   (beijing) co., ltd.
                     al contract
                                                                                                                  return 10 sets of laser
                     dispute                                                                                      digital cinema projection   open              trial
                                   cineappo            laser   hubei mango qin han cultural
(2022) jing zhong    over      a                                                                                  equipment            and    completed; pending
                                   cinema      technology      tourism industry development          -
an no. 7825          commerci                                                                                     compensate          rmb     decision by the
                                   (beijing) co., ltd.         co., ltd.
                     al contract                                                                                  15,312.5 for liquidated     arbitration tribunal
                                                                                                                  damages
as of june 30, 2023, there were 2 major civil litigation and arbitration cases where the company was a defendant, specifically including:
                     cause of                                                                               patents          amount
   case no.                            plaintiff/claimant                 defendant/respondent                                                       progress
                      action                                                                               involved          involved
                    cause of                                                                            patents        amount
   case no.                           plaintiff/claimant            defendant/respondent                                                     progress
                     action                                                                            involved        involved
(2019) jing 73                                                                                                    loss
                                                                                                                                     the judgment of the first
min        chu                                                                                                    compensation
                                                                                                                                     instance in january 2022
no.1275          infringement                                fengmi (beijing) technology co.,                     of rmb 15.00
                                                                                                   zl20161038                        held         that      no
(2022) zui gao   on patent for    delta electronics, inc.    ltd.;   appotronics   corporation                    million      and
fa zhi min       invention                                   limited                                              litigation costs
                                                                                                                                     constituted;      pending
zhong      no.                                                                                                    of rmb 1.01
                                                                                                                                     second trial
                 arbitration
                 of    dispute
                                  gdc technology limited
                 over       the
                 implementati                                                                      -                                 accepted
                 on of the
                                  (british virgin islands)
                 settlement
                 agreement
(2). description shall also be provided even if the company has no significant contingencies to be disclosed:
□ applicable√ n/a
□ applicable√ n/a
xv. events after the balance sheet date
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                                              effects on the        reasons for not being
  item                      content                      financial position and     able to estimate such
                                                            operating results               effects
                                                        from the end of the
                                                        reporting period to the
            the company registered the vesting of
                                                        disclosure date of this
            a total of 3,299,000 qualified shares for
                                                        semiannual         report,
            the first vesting period in the initial
issuance                                                changes        in     the
            grant of the restricted share incentive
of stocks                                               company’s          shares
            plan 2022. these shares became
and                                                     increased the diluted
            available for trading on july 7, 2023,
bonds                                                   earnings per shares and
            increasing the company’s total shares
                                                        net assets per share
            from       457,107,538      shares     to
                                                        attributable to ordinary
                                                        shareholders of the
                                                        company.
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
xvi.     other significant events
(1). retrospective application
□ applicable√ n/a
(2). prospective application
□ applicable√ n/a
√ applicable□ n/a
the company as the creditor:
                                                                               unit: yuan currency: rmb
method of debt restructuring        book value of creditor’s right       profit or loss related to debt
                                                                         restructuring
asset for debt payment                                      791,852.00                               0.00
(1). exchange of non-monetary assets
□ applicable√ n/a
(2). other asset swap
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
(1). determination basis and accounting policies of reporting segments
□ applicable√ n/a
(2). financial information of reporting segments
□ applicable√ n/a
(3). if the company has no reporting segments, or cannot disclose the total assets and liabilities of
     reporting segments, specify the reasons
□ applicable√ n/a
(4). other information
□ applicable√ n/a
□ applicable√ n/a
□ applicable√ n/a
xvii.     notes to key items in the parent company’s financial statements
(1).    disclosure by aging
√ applicable□ n/a
                                                                        unit: yuan currency: rmb
                        aging                              closing balance of carrying amount
within 1 year
including: subitems within 1 year
within 1 year                                                                        353,665,610.93
sub-total of items within 1 year                                                     353,665,610.93
over 3 years                                                                            6,985,373.06
                         total                                                       649,603,473.71
(2).    disclosure by categories of provision for bad debts
√ applicable□ n/a
                                                                                                                                   unit: yuan currency: rmb
                                                 closing balance                                                     opening balance
                         carrying amount           provision for bad debts                       carrying amount       provision for bad debts
       category                                                 percentage                                                          percentage
                                      percentage                              book value                   percentage                            book value
                        amount                      amount of provision                         amount                 amount of provision
                                         (%)                                                                  (%)
                                                                   (%)                                                                 (%)
provision for bad
debts made              786,700.00          0.12   786,700.00      100.00                0.00
individually
including:
provision for bad
debts made              786,700.00          0.12   786,700.00      100.00                0.00
individually
provision for bad
debts made by        648,816,773.71        99.88 8,628,554.06         1.33 640,188,219.65 694,612,393.91       100.00 6,607,565.62        0.95 688,004,828.29
group
including:
group of aging        85,068,080.08        13.10 8,628,554.06        10.14 76,439,526.02 91,536,981.15          13.18 6,607,565.62        7.22 84,929,415.53
group of
receivables from
related parties in   563,748,693.63        86.78         0.00         0.00 563,748,693.63 603,075,412.76        86.82          0.00       0.00 603,075,412.76
the scope of
consolidation
        total        649,603,473.71       100.00 9,415,254.06         1.45 640,188,219.65 694,612,393.91     100.00     6,607,565.62   0.95    688,004,828.29
provision for bad debts made individually:
√ applicable□ n/a
                                                                           unit: yuan currency: rmb
                                                          closing balance
         name                                 provision for bad     percentage of         reason for
                           carrying amount
                                                    debts           provision (%)          provision
                                                                                      expected to be
                                                                                      unrecoverable
      company b              786,700.00          786,700.00            100.00         because          the
                                                                                      customer is in
                                                                                      hardship
         total               786,700.00          786,700.00            100.00                   /
explanation about provision for bad debts made individually:
□ applicable√ n/a
provision for bad debts made by group:
√ applicable□ n/a
item by group: group of aging
                                                                           unit: yuan currency: rmb
                                                             closing balance
            name                     accounts                                     percentage of provision
                                                      provision for bad debts
                                    receivable                                             (%)
group of aging                       85,068,080.08               8,628,554.06                       10.14
group of receivables from          563,748,693.63
related parties in the scope
of consolidation
            total                  648,816,773.71                8,628,554.06                        1.33
recognition criterion to make the provision for bad debts by group and explanation:
□ applicable√ n/a
if the bad debt provision is made according to the general model of ecl, please refer to the disclosure of
other receivables:
□ applicable√ n/a
(3).    provision for bad debts
√ applicable□ n/a
                                                                            unit: yuan currency: rmb
                                             changes for the current period
                   opening                         recovery                                  closing
    category                                                   write off or      other
                    balance         provision          or                                    balance
                                                               cancellation changes
                                                    reversal
  provision
  for bad
  debts made
  by group
      total       6,607,565.62     2,809,738.44                   2,050.00                 9,415,254.06
including significant amounts recovered or reversed from the current provision for bad debts:
□ applicable√ n/a
(4).   accounts receivable actually canceled in the current period
√ applicable□ n/a
                                                                          unit: yuan currency: rmb
                       item                                       cancellation amount
 accounts receivable actually canceled                                                        2,050.00
in which significant amounts canceled are described as below:
□ applicable√ n/a
description of accounts receivable cancellation:
□ applicable√ n/a
(5).   top five closing balances of accounts receivable categorized by debtors
√ applicable□ n/a
                                                            proportion to the total    closing balance
          entity                  closing balance             closing balance of       of provision for
                                                           accounts receivable (%)        bad debts
          top 1                        273,620,354.09                          42.12
          top 2                        154,115,537.28                          23.72
          top 3                         70,566,103.74                          10.86
          top 4                         31,356,518.89                           4.83
          top 5                         28,954,019.94                           4.46
          total                        558,612,533.94                          85.99
(6).     accounts receivable derecognized due to transfer of financial assets
√ applicable□ n/a
                                                                           unit: yuan       currency:
rmb
                                                                                    method of
                         amount           gains or losses associated with
        item                                                                   transferring financial
                       derecognized                derecognition
                                                                                       assets
       ccb e
     infocomm
     sub-total         3,000,000.00
(7).    assets and liabilities arising from transfer of accounts receivable and continued
involvement
□ applicable√ n/a
other information:
□ applicable√ n/a
presented by item
√ applicable□ n/a
                                                                  unit: yuan currency: rmb
                 item                     closing balance             opening balance
interest receivable
dividend receivable
other receivables                                   14,803,374.55                7,556,623.71
                total                               14,803,374.55                7,556,623.71
other information:
□ applicable√ n/a
interest receivable
(1). categories of interest receivable
□ applicable√ n/a
(2). significant interests overdue
□ applicable√ n/a
(3). provision for bad debts
□ applicable√ n/a
other information:
□ applicable√ n/a
(4). dividends receivable
□ applicable√ n/a
(5). dividends receivable with significant amounts aged more than 1 year
□ applicable√ n/a
(6). provision for bad debts
□ applicable√ n/a
other information:
□ applicable√ n/a
other receivables
(7). disclosure by aging
√ applicable□ n/a
                                                                     unit: yuan currency: rmb
                            aging                            closing balance of carrying amount
within 1 year
including: subitems within 1 year
within 1 year                                                                         9,312,740.42
sub-total of items within 1 year                                                      9,312,740.42
over 3 years                                                                          4,954,293.20
                             total                                                   15,160,646.94
(8). categories by the nature
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                                        closing balance of carrying         opening balance of carrying
      nature of receivables
                                                 amount                               amount
deposits/margins/petty cash                             6,628,870.41                        6,539,089.13
receivables from related parties                        8,015,199.08                        1,153,906.23
in the scope of consolidation
temporary receivables                                       516,577.45                        134,793.84
compensation receivable                                                                        65,819.64
               total                                   15,160,646.94                        7,893,608.84
(9). provision for bad debts
√ applicable□ n/a
                                                                             unit: yuan currency: rmb
                              stage i          stage ii                  stage iii
provision for bad debts                                          lifetime ecl (with
                          ecl in the        (without credit
                                                                 credit impairment)
                            future           impairment)
balance as at january
balance as at january
period
--transferred to stage
ii
--transferred to stage
iii
--reversed to stage ii
--reversed to stage i
provision                       20,287.26                                                        20,287.26
reversal
write-off
cancellation
other changes
balance as at june 30,
description of significant changes in the balance of other receivables with changed provisions for losses
in the current period:
□ applicable√ n/a
basis for recognizing the amount of provision for bad debts and evaluating whether the credit risk of
financial instruments has been increased significantly in the current period:
□ applicable√ n/a
(10). provision for bad debts
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                                changes for the current period
                    opening                                                                      closing
   category                                        recovery     write off or       other
                     balance         provision                                                   balance
                                                  or reversal cancellation       changes
provision for
bad debts
made by
group
     total          336,985.13        20,287.26                                                 357,272.39
including significant amounts recovered or reversed from the current provision for bad debts:
□ applicable√ n/a
(11). other receivables actually canceled in the current period
□ applicable√ n/a
description of other receivables cancellation:
□ applicable√ n/a
(12). top five closing balances of other receivables categorized by debtors
√ applicable□ n/a
                                                                              unit: yuan currency: rmb
                                                                                                provision
               nature of other           closing                    proportion to the balance for bad debts
 entity                                                 aging
                 receivables             balance                    of other receivables (%)     closing
                                                                                                 balance
           receivables from
                                                       within 1
top 1      related parties in the     4,191,508.17                                      27.65
                                                         year
           scope of consolidation
           receivables from
                                                       within 1
top 2      related parties in the     3,627,144.88                                      23.92
                                                         year
           scope of consolidation
           deposits/margins/petty
top 3                                 3,574,618.00 over 3 years                         23.58 178,730.90
           cash
           deposits/margins/petty
top 4                                 1,257,075.20 over 3 years                          8.29    62,853.76
           cash
           deposits/margins/petty                      within 1
top 5                                  500,000.00                                        3.30    25,000.00
           cash                                          year
  total                -             13,150,346.25         -                            86.74 266,584.66
(13). accounts receivable involving government grants
□ applicable√ n/a
(14). other receivables derecognized due to transfer of financial assets
□ applicable√ n/a
(15). assets and liabilities arising from transfer of other receivables and continued involvement
□ applicable√ n/a
other information:
□ applicable√ n/a
√ applicable□ n/a
                                                                                                                             unit: yuan currency: rmb
                                                         closing balance                                             opening balance
                  item                                    provision for                                               provision for
                                        carrying amount                              book value     carrying amount                     book value
                                                           impairment                                                  impairment
investments in subsidiaries               478,862,913.65    12,827,792.79            466,035,120.86   463,067,140.24    12,827,792.79   450,239,347.45
investments in associates and joint
ventures
                  total                      478,862,913.65      12,827,792.79       466,035,120.86    463,067,140.24    12,827,792.79     450,239,347.45
(1) investments in subsidiaries
√ applicable□ n/a
                                                                                                                               unit: yuan currency: rmb
                                                                                                                                       closing balance of
                                                   opening                                                         provision for
                   investee                                        increase      decrease      closing balance                           provision for
                                                   balance                                                          impairment
                                                                                                                                          impairment
cineappo laser cinema technology
(beijing) co., ltd.
shenzhen appotronics software technology
co., ltd.
beijing orient appotronics technology co.,
ltd.
shenzhen appotronics xiaoming technology
co., ltd.
fengmi (beijing) technology co., ltd.             3,469,000.91         798.47                     3,469,799.38
qingda appotronics (xiamen) technology
co., ltd.
shenzhen appotronics laser display
technology co., ltd.
appotronics hong kong limited                   305,476,042.87     571,280.54                   306,047,323.41
joveai innovation, inc.                             800,010.03                                      800,010.03
appotronics technology (changzhou) co.,           2,000,000.00                                    2,000,000.00
                                                                                                                                closing balance of
                                                   opening                                                     provision for
                  investee                                          increase      decrease   closing balance                      provision for
                                                   balance                                                      impairment
                                                                                                                                   impairment
ltd.
shenzhen appotronics display device co.,
ltd.
tianjin bonian film partnership (lp)           26,954,120.20                                   26,954,120.20
formovie (chongqing) innovative technology
co., ltd.
shenzhen orange juice energy technology
co., ltd.
shenzhen qianhai taishi investment
partnership (lp)
                    total                     463,067,140.24      15,795,773.41               478,862,913.65                           12,827,792.79
(2) investments in associates and joint ventures
□ applicable√ n/a
other information:
□ applicable√ n/a
(1). description of operating income and operating costs
√ applicable□ n/a
                                                                               unit: yuan currency: rmb
                                     amount for the current period            amount for the prior period
             item
                                       income             cost                 income             cost
main business                       542,956,800.34 368,571,473.83           649,645,354.34 432,684,792.22
other business
            total                  542,956,800.34      368,571,473.83       649,645,354.34    432,684,792.22
(2). description of incomes from contracts
□ applicable√ n/a
(3). description of performance obligations
□ applicable√ n/a
(4). description of allocation to remaining performance obligations
□ applicable√ n/a
other information:
none
√ applicable□ n/a
                                                                                  unit: yuan currency: rmb
                                                          amount for the
                       item                                                       amount for the prior period
                                                          current period
gains from long-term equity investment
accounted for using the cost method
investment income from held-for-trading
financial assets during the holding period
investment income from disposal of held-for-
trading financial assets
                       total                                   12,717,708.55                       5,884,922.38
other information:
none
□ applicable√ n/a
xviii.    supplementary information
√ applicable□ n/a
                                                                                   unit: yuan currency: rmb
                                     item                                            amount       description
gain or loss on disposal of non-current assets                                      -216,132.87
government grants recognized in profit or loss for the current period
(excluding government grants that are closely related to the business of
the company and are provided in fixed amount or quantity continuously
according to the applicable polices and standards of the country)
profit or loss on entrusted investments or assets management                        5,198,708.55
net profit or loss of subsidiaries from the beginning of the period up to
the business combination date recognized as a result of business                   14,923,989.20
combination of enterprises involving enterprises under common control
profit or loss on changes in the fair value of held-for-trading financial
assets, derivative financial assets, held-for-trading financial liabilities and
derivative financial liabilities and investment income on disposal of held-
for-trading financial assets, derivative financial assets, held-for-trading
financial liabilities, derivative financial liabilities and other debt
investments, other than those used in the effective hedging activities
relating to normal operating business
reversal of impairment loss on accounts receivable and contract assets
tested for impairment individually
other non-operating income and expenses                                            14,480.93
other gains or losses meeting the definition of non-recurring profit or
loss
less: effect of income taxes                                                   3,469,096.89
      effects attributable to minority interests (net of tax)                  9,543,875.27
                                      total                                   40,685,801.33
it is required to specify the reason for defining items as non-recurring profit or loss items according to
information disclosure and presentation rules for companies making public offering of securities no.
information disclosure and presentation rules for companies making public offering of securities no.
□ applicable√ n/a
√ applicable□ n/a
                                              weighted average               earnings per share
        profit for the reporting period          return on net      basic earnings        diluted earnings
                                                  assets (%)           per share             per share
net profit attributable to ordinary
shareholders of the company
net profit after deduction of non-
recurring profits or losses attributable to                  1.27                0.07                   0.07
ordinary shareholders of the company
    standards
□ applicable√ n/a
□ applicable√ n/a
                                                                                        chairman: li yi
                                     approval for submission by the board of directors: august 16, 2023
revision information
□ applicable√ n/a