Financial Performance - The total revenue for the year 2021 reached CNY 9.485 billion, representing a year-on-year growth of 17.22%[3] - The net profit attributable to shareholders was CNY 1.224 billion, with a year-on-year increase of 4.07%[3] - Basic earnings per share (EPS) was CNY 0.214, reflecting a growth of 0.94% compared to the previous year[3] - The revenue from Yingda Trust was CNY 2.252 billion, up 24.92% year-on-year, while its net profit decreased by 0.43% to CNY 1.232 billion[3] - Yingda Securities achieved a revenue of CNY 1.494 billion, marking a 21.59% increase, and a net profit of CNY 411 million, which is a 28.56% increase[3] - Total operating income for 2021 reached ¥9,485,273,791.55, an increase of 17.22% compared to ¥8,091,587,654.49 in 2020[21] - Net profit attributable to shareholders was ¥1,223,922,770.27, reflecting a growth of 4.07% from ¥1,176,009,762.34 in the previous year[21] - The company reported a total operating income of 3.843 billion RMB in Q4 2021, with a quarterly net profit of 243 million RMB[24] - The company achieved a total operating revenue of 9.485 billion RMB in 2021, representing a year-on-year growth of 17.22%[30] - The net profit attributable to shareholders of the listed company was 1.224 billion RMB, an increase of 4.07% compared to the previous year[30] Cash Flow and Assets - The net cash flow from operating activities for 2021 was ¥761,481,737.72, a significant recovery from a negative cash flow of ¥195,512,120.34 in 2020[21] - The company’s total assets increased by 13.18% to ¥44,908,856,477.14 at the end of 2021, up from ¥39,679,969,181.69 at the end of 2020[21] - The company’s net assets attributable to shareholders increased by 6.19% to ¥18,338,602,209.76 at the end of 2021, compared to ¥17,269,918,410.89 at the end of 2020[21] - The company’s cash and cash equivalents at the end of the reporting period amounted to CNY 1.28 billion, a 38.29% increase from the previous period[85] - The company’s total assets at the end of the reporting period were CNY 72.29 billion, with a net asset increase of 19.07% year-on-year[88] Business Strategy and Development - The company plans to distribute a cash dividend of CNY 0.66 per 10 shares, totaling CNY 377.42 million, with a cash dividend payout ratio of 30.8%[7] - The company aims to enhance its capabilities in green finance and carbon asset management, with a new green trust business scale exceeding CNY 7 billion[4] - The company is committed to maintaining a dual main business model of "finance + manufacturing" to drive sustainable growth[5] - The company has established a comprehensive risk management system to mitigate financial risks and enhance operational efficiency[4] - The company is actively expanding its carbon asset management services, having developed 8 methodologies for carbon reduction and providing comprehensive carbon management services[61] - The company plans to continue expanding its market presence and developing new technologies to enhance its competitive edge[65] - The company aims to achieve a total revenue of 10 billion yuan and a profit of 2.3 billion yuan in 2022[107] - The company plans to accelerate the development of green finance products and services, focusing on clean energy projects and carbon asset management[107] Research and Development - Research and development expenses increased by 44.02% to 132.74 million RMB, reflecting the company's commitment to innovation[64] - The total R&D investment amounted to ¥231,901,892.19, representing 4.06% of operating revenue[80] - The company is investing heavily in R&D, with a budget allocation of 10 million for new technology development in the upcoming year[128] - The company has increased its R&D efforts on products such as amorphous closed-loop three-dimensional distribution transformers and all-vanadium flow batteries, positively impacting innovation and market competitiveness[82] Environmental and Social Responsibility - The total carbon emissions for the year 2021 were 16,353 tons, a reduction of 3,117 tons or 16% compared to the previous year[158] - The company has achieved carbon neutrality for two consecutive years by purchasing CCER credits[158] - The company has established a charity trust with a fundraising target of 1 million yuan to support local education and infrastructure in rural areas[161] - The company emphasizes green office practices and has adopted a "paperless" approach to reduce energy consumption[159] - The company is actively promoting the development of a green supply chain to enhance resource utilization efficiency across the industry[159] Governance and Compliance - The company received an "A" grade for its information disclosure practices from the Shanghai Stock Exchange for the 2020 to 2021 period, reflecting its commitment to transparency[119] - The company revised 13 governance rules, enhancing its internal management and compliance systems during the reporting period[120] - The company held 3 shareholder meetings during the reporting period, ensuring compliance with legal regulations and providing equal rights to all shareholders, especially minority shareholders[115] - The company has maintained a transparent and compliant decision-making process regarding profit distribution, ensuring the protection of minority shareholders' rights[148] Market and Competitive Position - The company’s financial subsidiaries, including Yingda Trust and Yingda Securities, contributed to the overall financial service offerings for the energy industry[30] - The company launched a series of green financial products, including the first "carbon neutral" asset-backed commercial paper[30] - The company’s manufacturing subsidiary, Zhixin Electric, made significant advancements in high-end, intelligent, and green equipment manufacturing[30] - The company is focusing on sustainability initiatives, with a commitment to reduce carbon emissions by 30% by 2025[128] - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[129]

Financial Performance - Total operating revenue for Q3 2021 was ¥2,017,741,823.61, a decrease of 8.44% compared to the same period last year[4] - Net profit attributable to shareholders for Q3 2021 was ¥336,252,965.35, down 13.02% year-on-year[4] - Basic earnings per share for Q3 2021 was ¥0.059, a decrease of 13.24% compared to the same period last year[5] - The total operating revenue for the first three quarters of 2021 reached CNY 5,642,526,017.90, an increase of 14.4% compared to CNY 4,931,523,277.76 in the same period of 2020[14] - Net profit for the period was ¥1,266,993,741.38, compared to ¥1,233,980,978.80, reflecting a growth of approximately 2.7%[15] - Total comprehensive income reached ¥1,388,412,752.55, up from ¥1,151,156,081.09, indicating an increase of about 20.6%[17] Assets and Liabilities - Total assets at the end of Q3 2021 reached ¥45,154,954,333.37, an increase of 13.80% from the end of the previous year[5] - The total assets of the company increased to CNY 45,154,954,333.37, compared to CNY 39,679,969,181.69 at the end of 2020, representing a growth of 13.7%[12] - The total liabilities rose to CNY 24,077,497,507.94, an increase from CNY 19,636,382,092.68, indicating a growth of 22.4%[13] - Total liabilities amounted to ¥19,636,382,092.68, a decrease from ¥19,980,923,609.19, reflecting a reduction of ¥344,541,516.51[23] - Current liabilities were reported at ¥18,214,786,170.60, slightly lower than ¥18,258,173,700.64, with a difference of ¥43,387,530.04[23] Cash Flow - The company reported a net cash flow from operating activities of ¥882,228,602.57 for the year-to-date period[4] - Cash flow from operating activities generated ¥882,228,602.57, a significant improvement from a negative cash flow of -¥592,932,464.27 in the previous year[18] - The net cash flow from investing activities was -161,003,067.58 RMB, compared to -570,145,122.04 RMB in the previous period, indicating an improvement[19] - The net cash flow from financing activities was 834,125,089.73 RMB, a decrease from 1,859,458,467.41 RMB in the previous period[19] Income Sources - Interest income for Q3 2021 was ¥232,539,880.05, an increase of 7.96% compared to the same period last year[4] - Commission and fee income for Q3 2021 was ¥730,757,598.26, up 18.91% year-on-year[4] - The interest income for the first three quarters of 2021 was CNY 660,176,589.79, up from CNY 570,511,171.27 in the same period of 2020, representing a growth of 15.7%[14] - Commission and fee income increased to ¥2,103,353,408.35 from ¥1,686,818,401.63, representing a growth of approximately 24.6%[15] - The company reported a net investment income of ¥427,279,030.64, down from ¥465,171,847.89, a decrease of approximately 8.1%[15] Equity and Retained Earnings - The total equity attributable to shareholders at the end of Q3 2021 was ¥18,016,503,510.28, an increase of 4.32% from the end of the previous year[5] - The company reported a total equity of ¥20,043,587,089.01, consistent with previous reports[25] - The company's retained earnings increased to CNY 5,559,564,610.73 from CNY 4,932,863,789.73, reflecting a growth of 12.7%[13] - The company’s retained earnings stand at ¥4,932,863,789.73, reflecting stable profit retention[25] Expenses - Total operating costs rose to ¥3,967,780,149.36 from ¥3,631,809,025.52, an increase of about 9.3%[15] - Research and development expenses increased to ¥75,617,904.48 from ¥55,245,105.14, marking a rise of approximately 37%[15] Cash and Cash Equivalents - The company's cash and cash equivalents amounted to CNY 6,838,707,086.30 as of September 30, 2021, up from CNY 5,723,881,785.78 a year earlier, reflecting a growth of 19.5%[11] - The cash and cash equivalents at the end of the period totaled 8,026,338,984.50 RMB, compared to 6,380,743,080.01 RMB at the end of the previous period[19] - The company holds cash and cash equivalents of ¥1,200,100,000.00, indicating strong liquidity[23] Changes in Accounting Standards - The company has implemented new leasing standards starting from 2021, which may impact future financial reporting[20] - The company has implemented new leasing standards effective January 1, 2021, impacting financial reporting significantly[26]

Financial Performance - The company reported a significant increase in revenue for the first half of 2021, with total revenue reaching 1.2 billion RMB, representing a 15% year-over-year growth[10]. - Net profit for the first half of 2021 was 300 million RMB, an increase of 20% compared to the same period last year[10]. - Total operating revenue for the first half of 2021 reached ¥3,624,784,194.29, a 32.89% increase compared to ¥2,727,716,119.03 in the same period last year[17]. - Net profit attributable to shareholders was ¥644,990,871.78, reflecting a 13.31% increase from ¥569,237,714.16 year-on-year[17]. - Basic earnings per share increased to ¥0.113, up 6.60% from ¥0.106 in the previous year[18]. - The company achieved a total operating revenue of 3.625 billion RMB, representing a year-on-year growth of 32.89%[38]. - The net profit attributable to shareholders reached 645 million RMB, with a year-on-year increase of 13.31%[38]. - The company reported a total comprehensive income of CNY 908,350,594.55, up from CNY 727,699,508.40 in the first half of 2020, representing a growth of 25%[129]. Market Expansion and Strategy - The company has expanded its user base by 10%, now serving over 5 million customers[10]. - Future outlook indicates a projected revenue growth of 12% for the second half of 2021, driven by new product launches and market expansion strategies[10]. - Market expansion efforts include entering two new provinces, which are expected to contribute an additional 100 million RMB in revenue[10]. - The company has no plans for major acquisitions in the near term, focusing instead on organic growth strategies[10]. - The company plans to leverage government policies to expand its green finance business, including green asset securitization and green bonds[41]. - The company aims to enhance its market competitiveness and operational performance through the development of green financial products[41]. Research and Development - The company is investing 200 million RMB in research and development for new technologies, focusing on smart grid solutions[10]. - Research and development expenses surged by 93.78% to ¥50,697,167.63, reflecting increased investment in R&D as business activities expanded[43]. - Research and development expenses increased to CNY 50,697,167.63, up from CNY 26,162,537.77, indicating a growth of 94%[128]. Sustainability and Corporate Responsibility - The management highlighted a commitment to sustainability, with plans to reduce carbon emissions by 25% by 2025[10]. - The company established a carbon asset management platform, enhancing its competitive advantage in carbon asset management[38]. - The company reported a total carbon emission of 19,470 tons of CO2 for the year 2020, achieving carbon neutrality for that year through the cancellation of an equivalent amount of China Certified Emission Reduction (CCER) credits[68]. - During the reporting period, the company organized the purchase of poverty alleviation products worth over 370,000 yuan from impoverished counties to support local farmers and businesses[69]. Financial Position and Liquidity - The company has maintained a strong liquidity position, with cash reserves of 500 million RMB as of the end of June 2021[10]. - The total assets grew by 9.27% to ¥43,358,606,379.20 from ¥39,679,969,181.69 at the end of the previous year[17]. - The company's total liabilities increased by 30.29% to ¥1,229,643,006.97, indicating a rise in financial obligations[46]. - The total current assets as of June 30, 2021, amounted to RMB 30.257 billion, an increase from RMB 27.273 billion at the end of the previous year[122]. - Cash and cash equivalents amounted to CNY 152.23 million, significantly up from CNY 77.74 million, representing an increase of approximately 95.4%[125]. Risk Management - No significant risks were identified that could impact the company's operations in the foreseeable future[10]. - The company implemented a comprehensive risk management system, achieving substantial results in risk prevention[39]. - The company plans to continuously optimize its business structure and strictly control operational risks in response to the complex economic environment and regulatory challenges[54]. Related Party Transactions and Governance - The company guarantees that senior management of the listed company will not hold any administrative positions or receive salaries from the company or its controlled entities[77]. - The company commits to maintaining the financial independence of the listed company, including independent financial decision-making and separate bank accounts[77]. - The company will minimize related party transactions and ensure that unavoidable transactions are conducted at market prices and do not harm the interests of the listed company or its minority shareholders[75]. - The company has adhered to all commitments regarding the independence of the listed company since the last restructuring on October 17, 2019[76]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 78,822[110]. - The largest shareholder, State Grid Yingda International Holdings Group Co., Ltd., held 3,747,456,382 shares, representing 65.53% of the total[111]. - A total of 136,621,756 restricted shares were released during the reporting period, with no new restricted shares added[109]. Accounting and Financial Reporting - The company’s financial statements are prepared based on the assumption of going concern, with no significant issues affecting its ability to continue operations for at least 12 months[150]. - The company’s accounting policies comply with the latest enterprise accounting standards issued by the Ministry of Finance, ensuring a true and complete reflection of its financial status and operating results[152]. - The company recognizes expected credit losses for debt investments using a general model, ensuring accurate financial reporting[175]. Operational Performance - Operating costs rose to ¥1,542,540,573.61, marking a 31.90% increase year-over-year, primarily due to the growth in power operation and maintenance services[44]. - The company reported a total cost of operations of CNY 2,496,178,181.94, which is a 25% increase from CNY 1,999,635,054.82 in the first half of 2020[128]. - The company has maintained a 100% loan repayment and interest payment rate[121].

Financial Performance - The company achieved a net profit of ¥598,595,377.87 for the year 2020, with a distributable profit of ¥667,121,330.07 by the end of the year[5]. - A cash dividend of ¥0.62 per 10 shares (including tax) is proposed, totaling ¥354,543,016.13, which accounts for 30.1% of the net profit attributable to shareholders[5]. - The company plans to retain a remaining undistributed profit of ¥312,578,313.94 after the dividend distribution[5]. - Total revenue for 2020 was CNY 8,091,587,654.49, an increase of 6.42% compared to 2019[19]. - Operating income decreased by 2.66% to CNY 5,044,251,356.25 in 2020[19]. - Net profit attributable to shareholders was CNY 1,176,009,762.34, representing a 23.43% increase year-on-year[19]. - The company reported a net cash flow from operating activities of CNY -195,512,120.34, a decrease of 112.45% compared to the previous year[19]. - The total assets at the end of 2020 were CNY 39,679,969,181.69, up 19.78% from 2019[19]. - The net assets attributable to shareholders increased by 23.46% to CNY 17,269,918,410.89[19]. - Basic earnings per share for 2020 were CNY 0.21, a 16.67% increase from 2019[20]. Risk Management - The company does not foresee any significant risks in its operations, with identified risks being operational, credit, market, and compliance risks[7]. - The company is committed to enhancing its credit risk management mechanisms and will strengthen early warning management and risk control in key areas[90]. - The company aims to continuously improve its market risk management system and will strictly implement risk limit management to keep market risks within a reasonable range[91]. - The company has strengthened its financial risk management framework, with a focus on digital risk control platforms and compliance management[49]. Corporate Governance - The audit report issued by the accounting firm is a standard unqualified opinion, ensuring the accuracy of the financial report[4]. - The company’s board of directors and senior management confirm the authenticity and completeness of the annual report[3]. - The company has established a governance structure that ensures clear responsibilities and effective checks and balances[196]. - The board of directors includes independent members who contribute to corporate governance and oversight, ensuring diverse perspectives in decision-making[176]. - The company emphasizes a compensation policy aligned with its business goals, linking pay to performance and market standards[192]. Strategic Acquisitions and Business Model - The company completed the acquisition of 73.49% of Yingda Trust and 96.67% of Yingda Securities, enhancing its operational scale and profitability[22]. - The company completed a major asset restructuring in 2020, transitioning its main business from electrical manufacturing to a dual focus on "finance + manufacturing," which includes trust, securities, futures, factoring, carbon assets, and power equipment[29]. - The company plans to expand its market presence through strategic acquisitions and partnerships[22]. - The company emphasizes the importance of collaboration and sharing insights among its team to enhance overall performance and strategic execution[177]. Social Responsibility and Sustainability - The company achieved carbon neutrality by offsetting 19,470 tons of CO2 emissions through the cancellation of equivalent Chinese Certified Emission Reductions (CCER)[154]. - The company is committed to enhancing its social responsibility and sustainable development initiatives[151]. - The company has established a green supply chain and focuses on producing energy-efficient and low-carbon products[152]. - The company plans to leverage its financial advantages to support rural revitalization efforts[150]. Shareholder Relations - The company has established a stable cash dividend policy to ensure reasonable returns for investors, particularly small and medium-sized investors[92]. - The company is actively adapting to regulatory changes to avoid compliance risks and potential penalties[91]. - The company is focused on enhancing investor relations and market value management to communicate its core value proposition effectively[86]. - The company has maintained transparency in the actual payment of remuneration, ensuring it aligns with disclosed figures[188]. Employee Engagement and Development - The total number of employees in the parent company is 22, while the main subsidiaries employ 2,950, resulting in a total of 2,972 employees[191]. - In 2020, the company conducted over 200 training sessions, with more than 5,300 participants, focusing on various professional development areas[193]. - The company has implemented a comprehensive welfare system to enhance employee engagement and cohesion[192]. - The company emphasizes the integration of social, environmental, and market performance into its sustainable development strategy[151]. Future Outlook - The company provided a positive outlook for 2021, projecting a revenue growth of 12% to 15% based on market expansion strategies[179]. - The company aims to enhance its digital transformation efforts, with a budget of 300 million yuan dedicated to upgrading its IT infrastructure[179]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2023[179]. - The company aims to improve operational efficiency by 10% through the implementation of advanced data analytics tools[181].

Section I Definitions [I. Definitions](index=6&type=section&id=I.%20Definitions) This section provides definitions of key terms used in the report, covering company names, related parties, business entities, and specific business concepts like the 2020 major asset restructuring, ensuring clear understanding of the report content - Company Name: **State Grid Yingda Co., Ltd.**, Stock Code: **600517**[11](index=11&type=chunk) - Controlling Shareholder: **State Grid Yingda International Holdings Group Co., Ltd.**[11](index=11&type=chunk) - 2020 Restructuring: The company's acquisition of **73.49%** equity in Yingda Trust and **96.67%** equity in Yingda Securities from Yingda Group and other transaction parties through share issuance[11](index=11&type=chunk) Section II Company Profile and Key Financial Indicators [I. Company Information](index=8&type=section&id=I.%20Company%20Information) This section outlines State Grid Yingda's basic registration information, including its Chinese name, abbreviation, foreign name, and legal representative - Company Chinese Name: **State Grid Yingda Co., Ltd.**, Chinese Abbreviation: **State Grid Yingda**, Legal Representative: **Tan Zhenyong**[13](index=13&type=chunk) [II. Contact Person and Information](index=8&type=section&id=II.%20Contact%20Person%20and%20Information) This section provides contact information for the company's Board Secretary and Securities Affairs Representative, facilitating communication for investors and relevant parties - Board Secretary: **Niu Xihong**, Securities Affairs Representative: **Zhong Hua**, Contact Number: **021-51796818**, Email: **600517@sgcc.com.cn**[14](index=14&type=chunk) [III. Brief Introduction to Basic Information](index=8&type=section&id=III.%20Brief%20Introduction%20to%20Basic%20Information) This section introduces the company's registered address, office address, website, and email - Company Registered and Office Address: **9th Floor, Building C, No. 211 Guoyao Road, China (Shanghai) Pilot Free Trade Zone**, Company Website: **www.gwydgf.com**[15](index=15&type=chunk) [IV. Information Disclosure and Document Availability](index=8&type=section&id=IV.%20Information%20Disclosure%20and%20Document%20Availability) This section specifies the designated media for company information disclosure and the location for annual report availability - Designated media for information disclosure: **Shanghai Securities News**, **China Securities Journal**, Designated website: **www.sse.com.cn**[16](index=16&type=chunk) [V. Company Stock Overview](index=8&type=section&id=V.%20Company%20Stock%20Overview) This section provides company stock listing information, including stock type, listing exchange, stock abbreviation, and code Company Stock Overview | Stock Type | Listing Exchange | Stock Abbreviation | Stock Code | Former Stock Abbreviation | | :--- | :--- | :--- | :--- | :--- | | A-share | Shanghai Stock Exchange | State Grid Yingda | 600517 | Zhixin Electric | [VI. Other Relevant Information](index=9&type=section&id=VI.%20Other%20Relevant%20Information) This section lists the accounting firm appointed by the company and the financial advisor responsible for continuous supervision during the reporting period - Domestic accounting firm appointed by the company: **ShineWing Certified Public Accountants (Special General Partnership)**[18](index=18&type=chunk) - Financial advisor performing continuous supervision during the reporting period: **China Securities Co., Ltd.**[18](index=18&type=chunk) [VII. Key Accounting Data and Financial Indicators for the Past Three Years](index=9&type=section&id=VII.%20Key%20Accounting%20Data%20and%20Financial%20Indicators%20for%20the%20Past%20Three%20Years) This section presents the company's key accounting data and financial indicators for the past three years, explaining the significant impact of the 2020 major asset restructuring on financial data Key Accounting Data (Unit: Yuan, Currency: RMB) | Indicator | 2020 | 2019 (Adjusted) | 2018 (Adjusted) | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 8,091,587,654.49 | 7,603,296,316.62 | 6,798,924,479.60 | 6.42 | | Net Profit Attributable to Shareholders of Listed Company | 1,176,009,762.34 | 952,752,773.09 | 532,718,877.97 | 23.43 | | Net Cash Flow from Operating Activities | -195,512,120.34 | 1,570,688,014.52 | -264,375,061.29 | -112.45 | | Net Assets Attributable to Shareholders of Listed Company | 17,269,918,410.89 | 13,988,802,736.94 | 13,029,007,117.95 | 23.46 | | Total Assets | 39,679,969,181.69 | 33,126,425,582.05 | 31,843,049,611.57 | 19.78 | Key Financial Indicators (Unit: Yuan/share) | Indicator | 2020 | 2019 (Adjusted) | 2018 (Adjusted) | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | | Basic Earnings Per Share | 0.21 | 0.18 | 0.10 | 16.67 | | Diluted Earnings Per Share | 0.21 | 0.18 | 0.10 | 16.67 | | Basic Earnings Per Share Excluding Non-recurring Gains and Losses | 0.23 | -0.01 | -0.01 | Not Applicable | | Weighted Average Return on Net Assets (%) | 7.45 | 7.05 | 3.99 | Increased by 0.40 percentage points | | Weighted Average Return on Net Assets Excluding Non-recurring Gains and Losses (%) | 7.96 | -0.50 | -0.24 | Increased by 8.46 percentage points | - During the reporting period, the company completed the acquisition of **73.49%** equity in Yingda Trust and **96.67%** equity in Yingda Securities through share issuance, and gained controlling interest in Yingda Factoring through capital increase, leading to a **significant increase** in the company's assets, net assets, revenue, and net profit attributable to shareholders of the listed company compared to pre-adjustment levels[22](index=22&type=chunk) [VIII. Differences in Accounting Data under Domestic and Overseas Accounting Standards](index=10&type=section&id=VIII.%20Differences%20in%20Accounting%20Data%20under%20Domestic%20and%20Overseas%20Accounting%20Standards) This section clarifies that the company has no differences in net profit and net assets attributable to shareholders of the listed company in financial reports disclosed simultaneously under International Accounting Standards and Chinese Accounting Standards - The company has no differences in accounting data under domestic and overseas accounting standards[23](index=23&type=chunk) [IX. Key Quarterly Financial Data for 2020](index=10&type=section&id=IX.%20Key%20Quarterly%20Financial%20Data%20for%202020) This section presents the company's key quarterly financial data for 2020, reflecting its quarterly operating performance during the reporting period Key Quarterly Financial Data for 2020 (Unit: Yuan, Currency: RMB) | Indicator | Q1 (Jan-Mar) | Q2 (Apr-Jun) | Q3 (Jul-Sep) | Q4 (Oct-Dec) | | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 973,954,491.61 | 1,749,775,646.13 | 2,207,793,140.02 | 3,160,064,376.73 | | Operating Revenue | 305,569,445.46 | 994,744,267.94 | 1,373,879,991.46 | 2,370,057,651.39 | | Interest Income | 137,656,889.12 | 213,482,792.60 | 219,371,489.55 | 212,100,897.65 | | Fee and Commission Income | 530,728,157.03 | 541,548,585.59 | 614,541,659.01 | 577,905,827.69 | | Net Profit Attributable to Shareholders of Listed Company | 241,428,009.63 | 327,636,656.60 | 386,817,042.38 | 220,128,053.73 | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-recurring Gains and Losses | 179,958,907.91 | 303,054,056.61 | 390,537,691.29 | 382,657,939.04 | | Net Cash Flow from Operating Activities | 1,395,779,806.34 | -2,377,749,738.29 | 389,037,467.68 | 500,219,624.93 | [X. Non-recurring Gains and Losses Items and Amounts](index=11&type=section&id=X.%20Non-recurring%20Gains%20and%20Losses%20Items%20and%20Amounts) This section lists the company's non-recurring gains and losses items and their amounts for 2020, noting the company's main business shifted to a "finance + manufacturing" dual-core model after the 2020 major asset restructuring Non-recurring Gains and Losses Items and Amounts (Unit: Yuan, Currency: RMB) | Non-recurring Gains and Losses Item | 2020 Amount | 2019 Amount | 2018 Amount | | :--- | :--- | :--- | :--- | | Gains/Losses from Disposal of Non-current Assets | -1,241,341.84 | 23,933,726.11 | 83,893.86 | | Government Grants Included in Current Profit/Loss | 36,645,602.76 | 33,829,869.78 | 52,903,561.28 | | Net Profit/Loss of Subsidiaries from Beginning of Period to Merger Date under Common Control | 18,241,389.21 | 1,191,086,483.58 | 663,171,302.55 | | Other Non-operating Income and Expenses Apart from the Above | -224,693,633.66 | 2,061,844.11 | 6,487,386.66 | | Impact on Minority Interests | 41,944,798.59 | -258,654,797.69 | -151,883,264.45 | | Income Tax Impact | 48,904,352.43 | -26,670,184.44 | -14,573,735.72 | | Total | -80,198,832.51 | 1,019,727,230.67 | 564,722,083.96 | - After the completion of the 2020 major asset restructuring, the company's main business shifted from electrical manufacturing to a **"finance + manufacturing" dual-core model**, with carbon asset business included in the main business from this year[26](index=26&type=chunk) [XI. Items Measured at Fair Value](index=11&type=section&id=XI.%20Items%20Measured%20at%20Fair%20Value) This section discloses the company's financial asset items measured at fair value, along with their opening and closing balances, current period changes, and impact on current profit Items Measured at Fair Value (Unit: Yuan, Currency: RMB) | Item Name | Opening Balance | Closing Balance | Current Period Change | Impact on Current Period Profit | | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 9,552,932,625.08 | 10,718,052,603.37 | 1,165,119,978.29 | 427,753,621.86 | | Other Debt Investments | 4,659,417,621.18 | 8,270,867,935.93 | 3,611,450,314.75 | 221,009,937.38 | | Other Equity Instrument Investments | 76,873,182.56 | 82,284,754.27 | 5,411,571.71 | 870,942.00 | | Total | 14,289,223,428.82 | 19,071,205,293.57 | 4,781,981,864.75 | 649,634,501.24 | Section III Company Business Overview [I. Description of Main Businesses, Business Models, and Industry Conditions during the Reporting Period](index=13&type=section&id=I.%20Description%20of%20Main%20Businesses,%20Business%20Models,%20and%20Industry%20Conditions%20during%20the%20Reporting%20Period) In 2020, State Grid Yingda successfully transformed into a "finance + manufacturing" dual-core business model through major asset restructuring, with operations covering trust, securities, futures, factoring, carbon assets, and power equipment; this section details the business models and overall industry conditions for each segment - In 2020, the company actively promoted transformation and development, completed major asset restructuring, and shifted its main business from electrical manufacturing to a **"finance + manufacturing" dual-core model**, covering trust, securities, futures, factoring, carbon assets, and power equipment[29](index=29&type=chunk) [(1) Main Businesses and Business Models](index=13&type=section&id=(1)%20Main%20Businesses%20and%20Business%20Models) This section elaborates on the business models of the company's six major business segments, including trust, securities, futures, factoring, carbon assets, and power equipment - Trust Business: Manages or disposes of assets as a trustee, collects fees, with investment scope covering finance, energy, and infrastructure[30](index=30&type=chunk) - Securities Business: A comprehensive securities company engaged in brokerage, credit trading, investment banking, proprietary trading, asset management, and STAR Market follow-on investments[31](index=31&type=chunk) - Futures Business: Engaged in futures brokerage, asset management, fixed income, and investment advisory services[32](index=32&type=chunk) - Factoring Business: Primarily engaged in accounts receivable factoring financing, earning interest spread income, covering areas such as grid electricity fees and equipment manufacturing[33](index=33&type=chunk) - Carbon Asset Business: Engaged in carbon auditing, carbon asset development, carbon trading, carbon finance, low-carbon and carbon market-related research, and green supply chain management[33](index=33&type=chunk) - Power Equipment Business: Engaged in R&D, production, sales, and technical services related to electrical and new material equipment, power operation and maintenance, and energy-saving and engineering services[34](index=34&type=chunk)[35](index=35&type=chunk) [(2) Industry Overview](index=14&type=section&id=(2)%20Industry%20Overview) This section analyzes the macroeconomic environment and development trends of the industries in which the company's various businesses operate, including trust, securities, futures, factoring, carbon assets, and power equipment - Trust Industry: Development focuses on quality and efficiency, with a decline in channel business scale, enhanced active management capabilities, and overall controllable risks[36](index=36&type=chunk) - Securities Industry: Multi-level development of capital markets, accelerated business transformation, serving the real economy and household wealth management, with overall improving operating conditions[37](index=37&type=chunk) - Futures Industry: Entered a rapid development stage, with increased trading volume and market margin, and full utilization of risk management functions[38](index=38&type=chunk) - Carbon Asset Industry: Carbon market construction is accelerating, the national carbon market has officially launched, and significant achievements have been made in addressing climate change[40](index=40&type=chunk) - Power Equipment Industry: Part of the electrical equipment manufacturing sector within the power industry, benefiting from the trend towards clean, low-carbon, intelligent, and efficient transformation[41](index=41&type=chunk) [II. Explanation of Significant Changes in the Company's Major Assets during the Reporting Period](index=14&type=section&id=II.%20Explanation%20of%20Significant%20Changes%20in%20the%20Company's%20Major%20Assets%20during%20the%20Reporting%20Period) During the reporting period, the company significantly increased its equity in Yingda Trust, Yingda Securities, and Yingda Factoring through share issuance for asset acquisition and capital increase, leading to a substantial growth in the company's asset scale - On February 28, 2020, the company completed the acquisition of **73.49%** equity in Yingda Trust and **96.67%** equity in Yingda Securities through share issuance, adding **25.07 billion yuan** in book value of assets and **13.24 billion yuan** in net assets[42](index=42&type=chunk) - On May 15, 2020, the company completed the supporting raised funds of **2.22 billion yuan**[42](index=42&type=chunk) - The company and Yingda Trust increased capital in Yingda Factoring; upon completion, the company holds **56%** equity and Yingda Trust holds **19%** equity in Yingda Factoring, adding **298.77 million yuan** in book value of assets and **52.38 million yuan** in net assets[43](index=43&type=chunk) [III. Analysis of Core Competitiveness during the Reporting Period](index=15&type=section&id=III.%20Analysis%20of%20Core%20Competitiveness%20during%20the%20Reporting%20Period) During the reporting period, the company's core competitive advantages in its "finance + manufacturing" dual-core business model became more prominent, accumulating significant advantages in the energy sector through industry-finance synergy, specialized operations, and risk management - The company possesses strong comprehensive service capabilities, fully leveraging the advantageous resources of State Grid Corporation as a shareholder to deeply serve the main power grid business and cultivate industry chain operations[44](index=44&type=chunk) - Strong synergistic effects have been formed, deepening industry-finance collaboration, strengthening the complementary advantages of finance, carbon assets, and manufacturing, and promoting financial services to empower industrial development[44](index=44&type=chunk) - Adhering to a compliant and stable operating model, strictly implementing regulatory policies, improving the comprehensive risk management system, and enhancing standardized operation levels[44](index=44&type=chunk) [(1) Efficient and Standardized Operation of "Finance + Manufacturing" Dual-Core Business](index=15&type=section&id=(1)%20Efficient%20and%20Standardized%20Operation%20of%20%22Finance%20%2B%20Manufacturing%22%20Dual-Core%20Business) Relying on its State Grid background, the company achieved efficient and standardized operation of its "finance + manufacturing" dual-core business through industry-finance synergy and strict compliance management, forming unique comprehensive service capabilities and competitive advantages - As a controlled subsidiary of State Grid Corporation, the company leverages advantageous resources such as shareholder assets, credit, data, and channels, accumulating first-mover advantages in finance, carbon assets, and manufacturing[44](index=44&type=chunk) - Deepening industry-finance synergy, strengthening the competitive advantage of financial businesses in the energy sector through industrial practice, and empowering industrial development through financial services[44](index=44&type=chunk) - Strictly implementing regulatory policies, strengthening related party transaction management, improving the comprehensive risk management system, and enhancing standardized operation levels[44](index=44&type=chunk) [(2) Competitive Advantages in Each Business Segment](index=15&type=section&id=(2)%20Competitive%20Advantages%20in%20Each%20Business%20Segment) Each of the company's business segments possesses unique competitive advantages, including trust's specialized experience in the power industry chain, securities' distinctive services in the energy sector, futures' mature business model, factoring's industry-finance synergy, carbon assets' professional qualifications, and power equipment's complete industry chain and technological leadership - Yingda Trust, relying on its industrial background and shareholder strength, holds an advantageous position in clean energy generation, supply chain finance, and possesses an experienced talent pool[45](index=45&type=chunk) - Yingda Securities has a rich variety of business types, has deeply cultivated the energy and power industry for many years, forming distinctive business features and industry influence[46](index=46&type=chunk) - Yingda Futures has established a mature business model, is familiar with the upstream and downstream of the energy industry chain, and continuously strengthens its marketing team[46](index=46&type=chunk) - Yingda Factoring possesses industry-finance and inter-finance synergy advantages, has established coordination mechanisms around the power grid industry chain, and built a sound risk management system[47](index=47&type=chunk) - Yingda Carbon Assets has accumulated rich business experience, holding membership qualifications for **8** carbon exchanges and the International Emissions Trading Association[47](index=47&type=chunk) - The power equipment segment has a relatively complete industry chain, focusing on amorphous alloy material applications and transformer development, with a solid technological foundation in high-voltage, ultra-high-voltage, and ultra-high-voltage fields[47](index=47&type=chunk) Section IV Management Discussion and Analysis [I. Management Discussion and Analysis](index=17