格隆汇8月28日丨春兴精工(002547.SZ)公布2025年半年度报告，上半年公司实现营业收入9.77亿元，同 比下降3.00%；归属于上市公司股东的净利润-1.29亿元；归属于上市公司股东的扣除非经常性损益的净 利润-1.25亿元；基本每股收益-0.1143元。 ...

苏州春兴精工股份有限公司 董事、高级管理人员所持本公司股份 及其变动管理制度 第一章 总则 第一条 为加强苏州春兴精工股份有限公司（以下简称"公司"或"本公司"） 董事、高级管理人员所持本公司股份及其变动的管理，根据《中华人民共和国公 司法》（以下简称"《公司法》"）、《中华人民共和国证券法》（以下简称"《证 券法》"）、《上市公司董事和高级管理人员所持本公司股份及其变动管理规则》 《深圳证券交易所上市公司自律监管指引第10号——股份变动管理》《深圳证券 交易所上市公司自律监管指引第18号——股东及董事、高级管理人员减持股份》 等法律法规以及《公司章程》的相关规定，特制定本制度。 第二条 本公司董事和高级管理人员应当遵守本制度，其所持本公司股份是 指登记在其名下的所有本公司股份；从事融资融券交易的，还包括记载在其信用 账户内的本公司股份，但公司的董事和高级管理人员不得从事以本公司股票为标 的证券的融资融券交易。 第三条 本公司董事和高级管理人员在买卖本公司股票及其衍生品种前，应 当知悉《公司法》《证券法》等法律、法规关于内幕交易、操纵市场等禁止行为 的规定，不得进行违法违规交易。 第二章 信息申报与披露 第四 ...

第一章 总则 第一条 为加强苏州春兴精工股份有限公司（以下简称"公司"）对外担保管理、 规范公司对外担保行为，有效防范和控制公司资产运营风险，根据《中华人民共和国民法 典》（以下简称"《民法典》"）、《中华人民共和国公司法》《上市公司监管指引第 8号——上市公司资金往来、对外担保的监管要求》《深圳证券交易所股票上市规则》 （以下简称"《上市规则》"）、《深圳证券交易所上市公司自律监管指引第1 号—主板上市公司规范运作》等法律、法规、规范性文件及《公司章程》的有关规 定，特制定本制度。 第二条 本制度所述的对外担保系指公司以第三人的身份为债务人对于债权人 所负的债务提供担保，当债务人不履行债务时，由公司按照约定履行债务或者承担 责任的行为。担保形式包括保证、抵押、质押及法律法规规定的其他形式。 苏州春兴精工股份有限公司 对外担保管理制度 第三条 本制度适用于公司及纳入公司合并会计报表范围的控股子公司（以下简 称"控股子公司"）。 第四条 公司为控股子公司提供的担保视同对外担保，适用本制度。公司及控股 子公司的对外担保总额，是指包括公司对控股子公司担保在内的公司对外担保总额 与公司控股子公司对外担保总额之和。 控 ...

第二章 关联人和关联关系 第四条 公司关联人包括关联法人（或者其他组织）和关联自然人。 苏州春兴精工股份有限公司 关联交易制度 第一章 总则 第一条 为保证苏州春兴精工股份有限公司（以下简称"公司"）与关联方 之间的关联交易符合公平、公正、公开的原则，确保公司的关联交易行为不损害 公司和股东的利益，特别是中小股东的合法权益，根据《中华人民共和国公司法》 《中华人民共和国证券法》《深圳证券交易所股票上市规则》（以下简称"《上 市规则》"）、《深圳证券交易所上市公司自律监管指引第7号——交易与关联 交易》等有关法律、法规、规范性文件及《公司章程》的有关规定，制定本制度。 第二条 本制度适用于公司及纳入公司合并会计报表范围的子公司；公司的 参股公司发生的关联交易，以其交易标的乘以参股比例或协议分红比例后的数额， 比照本制度的有关规定执行。 第三条 公司与关联方之间的关联交易行为除遵守有关法律、法规、规范性 文件和《公司章程》的规定外，还需遵守本制度的有关规定。 具有下列情形之一的法人或者其他组织，为公司的关联法人（或者其他组织）： （一）直接或者间接地控制公司的法人（或者其他组织）； （二）由前项所述法人（或者其他 ...

第一章 总则 第一条 为规范苏州春兴精工股份有限公司（以下简称"公司"）的期货套期保 值业务，有效防范和化解风险，根据《深圳证券交易所股票上市规则》《深圳证券 交易所上市公司自律监管指引第1号—主板上市公司规范运作》《深圳证券交易所上 市公司自律监管指引第7号—交易与关联交易》及《公司章程》等有关规定，制定本 管理制度。 第二条 本制度适用于公司及公司之全资子公司、控股子公司的期货套期保值业 务的操作及其管理。 第三条 公司进行期货套期保值业务以规避经营中的商品价格波动风险为目的， 不得进行投机和套利交易。原则上，公司只能从事与公司生产经营相关的产品、原 材料的期货套期保值业务，品种主要为标准铝、铜、银，因公司生产经营范围变动 导致原材料有所变动的，以公司实际所需原材料为准。 第四条 期货套期保值业务的管理原则： （一）公司进行期货套期保值业务，只能在场内市场进行，不得在场外市场进 行； （二）公司进行期货套期保值业务，在期货市场建立的头寸数量及期货持仓时 间原则上应当与实际现货交易的数量及时间段相匹配，期货持仓量不得超过套期保 值的现货量，相应的期货头寸持有时间原则上不得超出现货合同规定的时间或者该 合同实 ...

苏州春兴精工股份有限公司 董事会审计委员会工作细则 第一章 总则 第一条 为强化苏州春兴精工股份有限公司（以下简称"公司"）董事会决 策功能，做到事前审计、专业审计，确保董事会对经理层的有效监督，完善公司 内部控制，根据《中华人民共和国公司法》《上市公司治理准则》《上市公司独 立董事管理办法》《公司章程》及其他有关规定，公司特设立董事会审计委员会 （以下简称"审计委员会"），并制订本工作细则。 第二条 审计委员会是董事会依据相应法律法规设立的专门工作机构，审计 委员会成员应当勤勉尽责，切实有效地监督公司财务信息、内部控制、内外部审 计等工作，促进公司建立有效的内部控制并提供真实、准确、完整的财务报告。 第二章 人员组成 第三条 审计委员会成员由三名董事组成，且应当为不在公司担任高级管理 人员的董事，其中独立董事两名，至少有一名独立董事为专业会计人士。 第四条 审计委员会委员由董事会选举产生，设主任委员（召集人）一名， 由独立董事中的会计专业人员担任，负责主持委员会工作。 第五条 审计委员会任期与董事会任期一致，委员任期届满，连选可以连任， 但独立董事成员连续任职不得超过六年。期间如有委员不再担任公司董事职务， ...

苏州春兴精工股份有限公司 对外提供财务资助管理制度 第一章 总则 第一条 为进一步规范苏州春兴精工股份有限公司（以下简称"公司"）对 外提供财务资助行为，防范财务风险，确保公司经营稳健，根据《中华人民共和 国公司法》（以下简称"《公司法》"）、《深圳证券交易所股票上市规则》《深 圳证券交易所上市公司自律监管指引第1号—主板上市公司规范运作》等法律、 法规、规范性文件及《公司章程》的有关规定，并结合公司实际，特制定本制度。 第二条 本制度所称的"对外提供财务资助"是指公司及合并会计报表范围 内子公司（以下简称"子公司"）有偿或者无偿提供资金、委托贷款等行为，但 下列情况除外： （一）公司以对外提供借款、贷款等融资业务为主营业务； （二）资助对象为公司合并报表范围内且持股比例超过50%的控股子公司， 且该控股子公司其他股东中不包含公司的控股股东、实际控制人及其关联人； （三）中国证监会或者深圳证券交易所认定的其他情形。 第三条 公司存在下列情形之一的，应当参照本制度的规定执行： （一）在主营业务范围外以实物资产、无形资产等方式对外提供资助； （二）为他人承担费用； （三）无偿提供资产使用权或者收取资产使用权的费用 ...

苏州春兴精工股份有限公司 投资理财管理制度 第一章 总则 第一条 为规范苏州春兴精工股份有限公司（以下简称"公司"）的委托理 财业务管理及相关信息披露行为，防范投资风险，强化风险控制，最大限度地保 障投资者的合法权益，根据《中华人民共和国公司法》《中华人民共和国证券法》 《深圳证券交易所股票上市规则》（以下简称"《上市规则》"）、《深圳证券 交易所上市公司自律监管指引第 1 号—主板上市公司规范运作》《深圳证券交 易所上市公司自律监管指引第 7 号—交易与关联交易》等法律法规和规范性文 件及《公司章程》的规定，结合公司实际情况，特制定本制度。 第二条 本制度适用于公司及纳入公司合并会计报表范围的子公司。 第三条 本制度所称委托理财业务是指公司在控制投资风险的前提下，以提 高资金使用效率、增加公司收益为原则，委托银行、信托、证券、基金、期货、 保险资产管理机构、金融资产投资公司、私募基金管理人等专业理财机构对其 财产进行投资和管理或者购买相关理财产品的行为。 第四条 公司从事理财交易的原则为： （一）理财交易资金为公司闲置资金（包括闲置自有资金和募集资金）， 其使用不影响公司正常生产经营活动及投资需求； （二） ...

苏州春兴精工股份有限公司 内部审计制度 第一章 总则 第一条 为规范苏州春兴精工股份有限公司（以下简称"股份公司"）内部审计 工作，完善自我约束机制，严肃国家财经纪律，维护股东的合法权益，不断改善 经营管理，提高经济效益，根据《中华人民共和国审计法》《审计署关于内部审 计工作的规定》《深圳证券交易所上市公司自律监管指引第 1 号——主板上市公 司规范运作》等有关法律、行政法规、部门规章、规范性文件以及《苏州春兴精 工股份有限公司章程》，结合本公司实际，制定本制度。 第二条 本制度所称内部审计，是指公司内部审计部门或内部审计人员对公司 内部控制和风险管理的有效性、财务信息的真实性和完整性以及经营活动的效率 和效果等实施独立、客观的监督、评价和建议，以促进公司完善治理、实现经营 目标的活动。 第三条 审计部依照国家有关法律、法规、政策以及本公司的有关内部控制制 度，对公司各内部机构或者职能部门、控股子公司以及对公司具有重大影响的参 股公司的财务收支及其经济效益和真实合法性进行内部审计，独立行使内部监督 权，对董事会负责并报告工作。前述主体应当配合内部审计机构依法履行职责， 不得妨碍内部审计机构的工作。 第四条 本 ...

Section I Important Notice, Table of Contents, and Definitions [Important Notice](index=2&type=section&id=%E9%87%8D%E8%A6%81%E6%8F%90%E7%A4%BA) The company's board, senior management, and accounting officer declare the semi-annual report's truthfulness, accuracy, and completeness, noting future plans are not commitments and no dividends or capital increases are planned - The company's board of directors and senior management guarantee the report's truthfulness, accuracy, and completeness[4](index=4&type=chunk) - Company head Yuan Jing, chief accounting officer Wu Yongzhong, and head of accounting department Wu Yongzhong declare the financial report is true, accurate, and complete[4](index=4&type=chunk) - The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital[5](index=5&type=chunk) [Table of Contents](index=3&type=section&id=%E7%9B%AE%E5%BD%95) This section lists the report's nine main chapters and their starting page numbers, covering company operations, finance, governance, and significant matters - The report contains nine main chapters, covering comprehensive information on company operations, finance, governance, and significant matters[7](index=7&type=chunk) [Definitions](index=5&type=section&id=%E9%87%8A%E4%B9%89) This section defines common terms used in the report, including company abbreviations, reporting period, prior year period, and names of major subsidiaries - The reporting period refers to January 1, 2025, to June 30, 2025, and the prior year period refers to January 1, 2024, to June 30, 2024[12](index=12&type=chunk) - Major subsidiary abbreviations are listed, including Jinhai Chunxing, Yuansheng Zhihui, and Suzhou Kahn Lian Te[12](index=12&type=chunk) Section II Company Profile and Key Financial Indicators [I. Company Profile](index=6&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B) The company, Chunxing Precision Manufacturing, stock code 002547, is listed on the Shenzhen Stock Exchange, with Yuan Jing as legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Chunxing Precision Manufacturing | | Stock Code | 002547 | | Listing Exchange | Shenzhen Stock Exchange | | Chinese Name | Suzhou Chunxing Precision Manufacturing Co., Ltd. | | Legal Representative | Yuan Jing | [II. Contact Person and Information](index=6&type=section&id=%E4%BA%8C%E3%80%81%E8%81%94%E7%B3%BB%E4%BA%BA%E5%92%8C%E8%81%94%E7%B3%BB%E6%96%B9%E5%BC%8F) The company's Board Secretary is Wu Yongzhong, with contact address, phone, and email disclosed in Suzhou Industrial Park Contact Information | Position | Name | Contact Address | Phone | Email | | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Wu Yongzhong | No. 120 Jinling East Road, Weiting Town, Suzhou Industrial Park, Jiangsu Province | 0512-62625328 | cxjg@chunxing-group.com | [III. Other Information](index=6&type=section&id=%E4%B8%89%E3%80%81%E5%85%B6%E4%BB%96%E6%83%85%E5%86%B5) No changes in the company's registered address, office address, website, email, or information disclosure locations during the reporting period - The company's contact information and information disclosure locations remained unchanged during the reporting period[16](index=16&type=chunk)[17](index=17&type=chunk) [IV. Key Accounting Data and Financial Indicators](index=7&type=section&id=%E5%9B%9B%E3%80%81%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) The company's H1 2025 operating revenue同比下降3.00%，net profit attributable to shareholders was negative, down 1.42%，and net cash flow from operating activities significantly decreased by 144.53%. Total assets slightly decreased, and net assets attributable to shareholders turned negative, down 267.69% Key Accounting Data and Financial Indicators (Consolidated Statements) | Indicator | Current Reporting Period (yuan) | Prior Year Period (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 977,350,623.16 | 1,007,542,093.57 | -3.00% | | Net Profit Attributable to Shareholders of Listed Company | -128,978,326.26 | -127,178,355.50 | -1.42% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains/Losses) | -125,344,614.13 | -152,959,613.20 | 18.05% | | Net Cash Flow from Operating Activities | -34,108,469.87 | 76,595,209.54 | -144.53% | | Basic Earnings Per Share (yuan/share) | -0.1143 | -0.1127 | -1.42% | | **Indicator** | **Period-End (yuan)** | **Prior Year-End (yuan)** | **Period-End vs. Prior Year-End Change** | | Total Assets | 4,892,695,095.41 | 4,900,336,833.07 | -0.16% | | Net Assets Attributable to Shareholders of Listed Company | -81,554,256.52 | 48,634,906.69 | -267.69% | - Due to losses during the reporting period and negative weighted average net assets, the weighted average return on net assets is not applicable[19](index=19&type=chunk)[20](index=20&type=chunk) [V. Differences in Accounting Data under Domestic and Overseas Accounting Standards](index=7&type=section&id=%E4%BA%94%E3%80%81%E5%A2%83%E5%86%85%E5%A4%96%E4%BC%9A%E8%AE%A1%E5%87%86%E5%88%99%E4%B8%8B%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%B7%AE%E5%BC%82) The company reported no differences in net profit and net assets between international/overseas accounting standards and Chinese accounting standards during the reporting period - The company reported no differences in accounting data under domestic and overseas accounting standards during the reporting period[21](index=21&type=chunk)[22](index=22&type=chunk) [VI. Non-Recurring Gains and Losses and Amounts](index=7&type=section&id=%E5%85%AD%E3%80%81%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%8F%8A%E9%87%91%E9%A2%9D) The company's non-recurring gains and losses totaled -3,633,712.13 yuan, primarily from non-current asset disposal, government grants, fair value changes, reversal of impairment provisions, and provisions for pending litigation Non-Recurring Gains and Losses and Amounts | Item | Amount (yuan) | Explanation | | :--- | :--- | :--- | | Gains or losses from disposal of non-current assets | 800,557.56 | | | Government grants recognized in current profit or loss | 8,514,410.34 | | | Gains or losses from changes in fair value of financial assets and liabilities, and disposal gains or losses | 780,872.64 | | | Reversal of impairment provisions for accounts receivable subject to separate impairment testing | 15,198,160.54 | | | Gains or losses from contingent events unrelated to normal operating activities | -24,435,609.56 | Provision for pending litigation | | Other non-operating income and expenses apart from the above | -2,151,575.45 | | | Less: Income tax impact | 2,900,260.47 | | | Minority interest impact (after tax) | -559,732.27 | | | **Total** | **-3,633,712.13** | | - The company has no other profit or loss items that meet the definition of non-recurring gains and losses, nor has it classified non-recurring gains and losses as recurring items[25](index=25&type=chunk) Section III Management Discussion and Analysis [I. Principal Businesses During the Reporting Period](index=9&type=section&id=%E4%B8%80%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%85%AC%E5%8F%B8%E4%BB%8E%E4%BA%8B%E7%9A%84%E4%B8%BB%E8%A6%81%E4%B8%9A%E5%8A%A1) The company's main businesses are mobile communication (RF components, precision light metal structures) and automotive parts (precision aluminum alloy structures, sheet metal parts), with stable operating models - Global 5G base station deployment reached **6.579 million units** by the end of Q2 2025, a **14% YoY increase**, with China accounting for **4.549 million units**[27](index=27&type=chunk) - The company's mobile communication business provides a full range of RF components, structural parts, and solutions for wireless RF base stations, including antennas, filters, and duplexers[28](index=28&type=chunk) - In H1 2025, China's new energy vehicle production and sales reached **6.968 million** and **6.937 million units** respectively, growing **41.4%** and **40.3% YoY**, with NEVs accounting for **44.3%** of new car sales[28](index=28&type=chunk) - The company's automotive parts business includes exhaust gas recirculation system housings, engine side covers, and engine filter bases, and has entered the supply chain of several mainstream domestic new energy vehicle clients, with steady growth in orders and sales revenue[29](index=29&type=chunk) - The company's primary operating model is direct sales, with procurement based on production plans; mobile communication business operates on a make-to-order basis, while automotive parts business organizes development and production according to customer demand[30](index=30&type=chunk) [II. Analysis of Core Competencies](index=10&type=section&id=%E4%BA%8C%E3%80%81%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) The company's core competencies include industry-leading scale, vertical integration, advanced technology with multiple patents and engineering centers, and long-term relationships with key domestic and international clients - The company's communication structural parts and RF device business holds a leading position in the industry, with a vertically integrated, one-stop full business process layout covering die-casting/stamping, CNC precision machining, electroplating, assembly, and debugging[31](index=31&type=chunk) - The company and several subsidiaries are recognized as high-tech enterprises, possessing provincial engineering technology centers and enterprise technology centers, with multiple patented technologies in mold design, casting processes, and CNC precision machining[32](index=32&type=chunk) - The company maintains long-term stable cooperative relationships with many leading domestic and international clients, which helps sustain revenue and expand market share[33](index=33&type=chunk) [III. Analysis of Principal Business](index=10&type=section&id=%E4%B8%89%E3%80%81%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Operating revenue decreased by 3.00% YoY, but principal business revenue increased by 4.21%, driven by growth in automotive parts and precision aluminum alloy structural parts, while mobile communication RF devices slightly declined. Net cash flow from operating activities significantly decreased due to increased cash payments for goods Key Financial Data YoY Changes | Indicator | Current Reporting Period (yuan) | Prior Year Period (yuan) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 977,350,623.16 | 1,007,542,093.57 | -3.00% | | | Operating Cost | 908,066,318.02 | 928,627,615.76 | -2.21% | | | Selling Expenses | 12,484,476.08 | 15,725,488.06 | -20.61% | | | Administrative Expenses | 99,316,053.12 | 105,764,965.96 | -6.10% | | | Financial Expenses | 35,295,656.86 | 34,684,120.84 | 1.76% | | | Income Tax Expense | -17,981,271.00 | -21,243,065.19 | 15.35% | | | R&D Investment | 63,798,520.91 | 59,033,185.15 | 8.07% | | | Net Cash Flow from Operating Activities | -34,108,469.87 | 76,595,209.54 | -144.53% | Primarily due to increased cash payments for goods in the current period | | Net Cash Flow from Investing Activities | -75,538,798.97 | -157,312,901.20 | 51.98% | Primarily due to decreased payments for fixed asset construction and acquisition of subsidiary equity in the current period | | Net Cash Flow from Financing Activities | 94,424,859.33 | 18,605,471.36 | 407.51% | Primarily due to decreased cash payments for debt repayment in the current period | | Net Increase in Cash and Cash Equivalents | -13,619,189.23 | -58,497,749.77 | 76.72% | Primarily due to increased net cash flow from financing activities in the current period | Operating Revenue Composition | Category | Current Reporting Period Amount (yuan) | Proportion of Operating Revenue | Prior Year Period Amount (yuan) | Proportion of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 977,350,623.16 | 100% | 1,007,542,093.57 | 100% | -3.00% | | Principal Business | 899,907,787.63 | 92.08% | 863,519,928.22 | 85.71% | 4.21% | | Other Businesses | 77,442,835.53 | 7.92% | 144,022,165.35 | 14.29% | -46.23% | | Precision Aluminum Alloy Structural Parts | 246,318,737.04 | 25.20% | 218,421,398.19 | 21.68% | 12.77% | | Mobile Communication RF Devices | 213,787,385.06 | 21.87% | 223,644,683.94 | 22.20% | -4.41% | | Automotive Parts | 437,716,630.87 | 44.79% | 407,702,562.12 | 40.47% | 7.36% | | Domestic Revenue | 585,075,483.04 | 59.86% | 638,986,839.54 | 63.42% | -8.44% | | International Revenue | 392,275,140.12 | 40.14% | 368,555,254.03 | 36.58% | 6.44% | Gross Profit Margin by Product/Region | Category | Operating Revenue (yuan) | Operating Cost (yuan) | Gross Profit Margin | YoY Change in Operating Revenue | YoY Change in Operating Cost | YoY Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Precision Aluminum Alloy Structural Parts | 246,318,737.04 | 225,099,689.63 | 8.61% | 12.77% | 18.56% | -4.46% | | Mobile Communication RF Devices | 213,787,385.06 | 169,564,372.81 | 20.69% | -4.41% | -1.22% | -2.56% | | Automotive Parts | 437,716,630.87 | 441,851,828.20 | -0.94% | 7.36% | 5.69% | 1.59% | | Domestic | 585,075,483.04 | 564,224,814.60 | 3.56% | -8.44% | -8.32% | -0.12% | | International | 392,275,140.12 | 343,841,503.42 | 12.35% | 6.44% | 9.80% | -2.68% | [IV. Analysis of Non-Principal Business](index=12&type=section&id=%E5%9B%9B%E3%80%81%E9%9D%9E%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Non-principal businesses negatively impacted total profit, mainly due to asset impairment losses and non-operating expenses (litigation provisions), partially offset by government grants and credit impairment reversals, with these items being non-recurring Impact of Non-Principal Business on Total Profit | Item | Amount (yuan) | Proportion of Total Profit | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | -929,281.72 | -0.60% | Primarily long-term equity investment income in the current period | No | | Gains or Losses from Fair Value Changes | 697,250.00 | 0.45% | Primarily fair value change gains from futures in the current period | No | | Asset Impairment | -10,963,522.89 | -7.04% | Primarily provision for inventory depreciation in the current period | No | | Non-Operating Income | 817,399.83 | 0.52% | Primarily from clearing unpayable amounts in the current period | No | | Non-Operating Expenses | 29,806,318.65 | 19.13% | Primarily provision for pending litigation by a subsidiary in the current period | No | | Other Income | 19,083,908.17 | 12.25% | Primarily government grants recognized in the current period | No | | Credit Impairment Losses | 11,996,607.16 | 7.70% | Primarily due to reversal of bad debt provision upon receipt of repayment from Suzhou Kahn Lian Te in the current period | No | [V. Analysis of Assets and Liabilities](index=12&type=section&id=%E4%BA%94%E3%80%81%E8%B5%84%E4%BA%A7%E5%8F%8A%E8%B4%9F%E5%80%BA%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) Total assets slightly decreased, and net assets attributable to shareholders turned negative. Significant changes include increases in prepayments, other non-current assets, construction in progress, and long-term borrowings, while notes receivable, financing receivables, and long-term receivables decreased. Liabilities saw increases in contract liabilities, taxes payable, other payables, long-term borrowings, and provisions for litigation Significant Changes in Asset Composition | Item | Period-End Amount (yuan) | Proportion of Total Assets | Prior Year-End Amount (yuan) | Proportion of Total Assets | Change in Proportion | Explanation of Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 375,204,809.34 | 7.67% | 381,121,364.88 | 7.78% | -0.11% | | | Accounts Receivable | 595,799,850.68 | 12.18% | 660,313,627.23 | 13.47% | -1.29% | | | Inventories | 461,832,855.41 | 9.44% | 448,855,560.23 | 9.16% | 0.28% | | | Prepayments | 95,043,173.57 | 1.94% | 24,175,976.64 | 0.49% | 1.45% | Primarily due to increased prepayments for goods in the current period | | Long-Term Receivables | 6,666,666.67 | 0.14% | 57,058,166.67 | 1.16% | -1.02% | Primarily due to reclassification of long-term receivables to non-current assets due within one year | | Other Non-Current Assets | 112,728,557.98 | 2.30% | 61,858,979.69 | 1.26% | 1.04% | Primarily due to increased prepayments for engineering equipment in the current period | | Construction in Progress | 315,745,858.47 | 6.45% | 294,503,649.77 | 6.01% | 0.44% | | | Short-Term Borrowings | 1,687,065,194.95 | 34.48% | 1,763,352,900.05 | 35.98% | -1.50% | | | Contract Liabilities | 16,182,866.10 | 0.33% | 5,249,274.35 | 0.11% | 0.22% | Primarily due to increased prepayments for goods in the current period | | Taxes Payable | 26,328,237.81 | 0.54% | 18,670,831.29 | 0.38% | 0.16% | Primarily due to increased property and land use taxes payable but not yet paid in the current period | | Other Payables | 226,528,892.34 | 4.63% | 116,730,920.09 | 2.38% | 2.25% | Primarily due to increased non-related party payables in the current period | | Long-Term Borrowings | 310,201,459.73 | 6.34% | 176,621,105.46 | 3.60% | 2.74% | Primarily due to two new long-term borrowings in the current period | | Provisions | 31,048,412.96 | 0.63% | 6,117,884.42 | 0.12% | 0.51% | Primarily due to increased provisions for litigation by a subsidiary in the current period | Assets and Liabilities Measured at Fair Value | Item | Beginning Balance (yuan) | Fair Value Change Gains/Losses in Current Period (yuan) | Purchases in Current Period (yuan) | Sales in Current Period (yuan) | Ending Balance (yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 0 | 0 | 8,000,000.00 | 2,000,000.00 | 6,000,000.00 | | Derivative Financial Assets | 3,611,061.12 | 697,250.00 | 2,000,000.00 | 6,116,868.94 | 191,442.18 | | Other Equity Instrument Investments | 50,000,093.20 | 0 | 0 | 0 | 50,000,093.20 | | **Total** | **53,611,154.32** | **697,250.00** | **10,000,000.00** | **8,116,868.94** | **56,191,535.38** | Restricted Asset Status | Item | Period-End Book Value (yuan) | Type of Restriction | Restriction Details | | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 349,725,996.19 | Pledge, Guarantee | Pledged time deposits, bank acceptance bill deposits, letter of credit deposits, frozen funds, long-dormant accounts | | Fixed Assets | 807,332,554.45 | Mortgage | Mortgaged for borrowings | | Intangible Assets | 110,766,803.28 | Mortgage | Mortgaged for borrowings | | Accounts Receivable | 98,421,422.97 | Pledge | Pledged accounts receivable | | Non-Current Assets Due Within One Year | 399,686,202.66 | Guarantee | Sale-leaseback guarantee deposit | [VI. Analysis of Investment Status](index=14&type=section&id=%E5%85%AD%E3%80%81%E6%8A%95%E8%B5%84%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) Total investment decreased by 15.27% YoY. The company's main financial asset investments include futures hedging to mitigate raw material price volatility, with a small profit from futures delivery this period. No significant equity, non-equity, securities, or speculative derivative investments, nor use of raised funds Investment Amount During the Reporting Period | Indicator | Amount (yuan) | | :--- | :--- | | Investment Amount in Current Period | 157,064,109.88 | | Investment Amount in Prior Year Period | 185,371,172.79 | | Change Rate | -15.27% | - The company had no securities investments, significant equity investments, significant non-equity investments, or speculative derivative investments during the reporting period[50](index=50&type=chunk)[53](index=53&type=chunk) - The company conducted futures hedging to mitigate raw material price fluctuations, generating a profit of **83,600 yuan** from futures delivery in the current period, effectively reducing the impact of raw material price volatility on product costs[51](index=51&type=chunk) [VII. Disposal of Significant Assets and Equity](index=16&type=section&id=%E4%B8%83%E3%80%81%E9%87%8D%E5%A4%A7%E8%B5%84%E4%BA%A7%E5%92%8C%E8%82%A1%E6%9D%83%E5%87%BA%E5%94%AE) The company did not dispose of any significant assets or equity during the reporting period - The company did not dispose of significant assets during the reporting period[55](index=55&type=chunk) - The company did not dispose of significant equity during the reporting period[56](index=56&type=chunk) [VIII. Analysis of Major Holding and Participating Companies](index=17&type=section&id=%E5%85%AB%E3%80%81%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) Major subsidiaries Jinhai Chunxing Precision Manufacturing Co., Ltd. and Xianyou Yuansheng Zhihui Technology Co., Ltd. both reported losses. Jinhai Chunxing's loss was due to high initial investment and capacity ramp-up in NEV parts, while Yuansheng Zhihui's continued losses were due to intense competition in consumer electronics and stalled new business, with its bank accounts frozen Financial Status of Major Subsidiaries | Company Name | Company Type | Registered Capital (RMB 10,000) | Total Assets (RMB 10,000) | Net Assets (RMB 10,000) | Operating Revenue (RMB 10,000) | Operating Profit (RMB 10,000) | Net Profit (RMB 10,000) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jinhai Chunxing Precision Manufacturing Co., Ltd. | Subsidiary | 25,000 | 160,517.37 | 6,962.51 | 68,582.60 | -6,097.62 | -4,993.81 | | Xianyou Yuansheng Zhihui Technology Co., Ltd. | Subsidiary | 25,000 | 131,749.76 | 34,847.11 | 231.29 | -3,611.91 | -4,100.99 | | Huizhou Chunxing Precision Manufacturing Co., Ltd. | Subsidiary | 60,000 | 11,025.94 | 36,406.67 | 0.00 | 490.28 | -1,610.60 | - Jinhai Chunxing's new energy vehicle parts business is in the capacity ramp-up phase, with significant initial investment and unachieved economies of scale, leading to losses[58](index=58&type=chunk) - Yuansheng Zhihui continues to incur losses due to intense competition and low product profit margins in the consumer electronics industry, coupled with the failure to successfully launch new businesses, resulting in **6.0307 million yuan** of its bank accounts being judicially frozen[59](index=59&type=chunk) - The company deregistered its wholly-owned subsidiary Wuxi Xingdi Technology Co., Ltd. during the reporting period, which had no significant impact on overall production, operations, or performance[58](index=58&type=chunk) [IX. Structured Entities Controlled by the Company](index=18&type=section&id=%E4%B9%9D%E3%80%81%E5%85%AC%E5%8F%B8%E6%8E%A7%E5%88%B6%E7%9A%84%E7%BB%93%E6%9E%84%E5%8C%96%E4%B8%BB%E4%BD%93%E6%83%85%E5%86%B5) The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[60](index=60&type=chunk) [X. Risks Faced by the Company and Countermeasures](index=18&type=section&id=%E5%8D%81%E3%80%81%E5%85%AC%E5%8F%B8%E9%9D%A2%E4%B8%B4%E7%9A%84%E9%A3%8E%E9%99%A9%E5%92%8C%E5%BA%94%E5%AF%B9%E6%8E%AA%E6%96%BD) The company faces nine major risks: intensified industry competition, customer concentration, stricter environmental policies, exchange rate fluctuations, internal management issues, negative net assets, liquidity risks, Yuansheng Zhihui's sale-leaseback and repurchase issues, and control stability. The company has implemented various countermeasures, including R&D investment, customer expansion, environmental management, forward foreign exchange, internal management optimization, profitability improvement, accounts receivable management, asset disposal, and litigation task forces - The company faces risks including intensified industry competition, rapid technological updates, high customer concentration, stricter environmental policies, exchange rate fluctuations, internal management, negative net assets, liquidity, Yuansheng Zhihui's sale-leaseback and repurchase issues, and control stability[60](index=60&type=chunk)[61](index=61&type=chunk)[62](index=62&type=chunk)[63](index=63&type=chunk)[64](index=64&type=chunk)[66](index=66&type=chunk) - As of June 30, 2025, the company's net assets attributable to the parent company were **-81.5543 million yuan**, posing a risk of being subject to delisting risk warnings[62](index=62&type=chunk) - The company's asset-liability ratio is **101.36%**, with current liabilities accounting for **89.41%** of total liabilities, indicating liquidity risk, and **8.2923 million yuan** of its bank accounts are judicially frozen[63](index=63&type=chunk) - Controlling subsidiary Yuansheng Zhihui failed to repurchase land use rights and buildings as agreed and faces arbitration, which may trigger the company's counter-guarantee liability and significantly impact performance[64](index=64&type=chunk)[65](index=65&type=chunk)[66](index=66&type=chunk) - The controlling shareholder Mr. Sun Jiexiao's partial shares were judicially auctioned and failed to sell, with subsequent judicial procedures uncertain, potentially affecting the company's control stability[66](index=66&type=chunk) [XI. Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan](index=20&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E5%B8%82%E5%80%BC%E7%AE%A1%E7%90%86%E5%88%B6%E5%BA%A6%E5%92%8C%E4%BC%B0%E5%80%BC%E6%8F%90%E5%8D%87%E8%AE%A1%E5%88%92%E7%9A%84%E5%88%B6%E5%AE%9A%E8%90%BD%E5%AE%9E%E6%83%85%E5%86%B5) The company has not formulated a market value management system or disclosed a valuation enhancement plan - The company has not formulated a market value management system, nor has it disclosed a valuation enhancement plan[68](index=68&type=chunk) [XII. Implementation of "Quality and Return Dual Improvement" Action Plan](index=20&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E2%80%9C%E8%B4%A8%E9%87%8F%E5%9B%9E%E6%8A%A5%E5%8F%8C%E6%8F%90%E5%8D%87%E2%80%9D%E8%A1%8C%E5%8A%A8%E6%96%B9%E6%A1%88%E8%B4%AF%E5%BD%BB%E8%90%BD%E5%AE%9E%E6%83%85%E5%86%B5) The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan[68](index=68&type=chunk) Section IV Corporate Governance, Environment, and Society [I. Changes in Directors and Senior Management](index=20&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E8%91%A3%E4%BA%8B%E3%80%81%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) During the reporting period, Director, Deputy General Manager, and CFO Dong Zuotian resigned for personal reasons, Li Fang was elected as an employee representative director, and Zhang Weimin was appointed Board Secretary Changes in Directors and Senior Management | Name | Position Held | Type | Date | Reason | | :--- | :--- | :--- | :--- | :--- | | Dong Zuotian | Director, Deputy General Manager, CFO | Resignation | May 30, 2025 | Personal reasons | | Li Fang | Employee Representative Director | Election | June 06, 2025 | Job transfer | | Zhang Weimin | Board Secretary | Appointment | March 18, 2025 | Job transfer | [II. Profit Distribution and Capital Reserve Conversion to Share Capital During the Reporting Period](index=20&type=section&id=%E4%BA%8C%E3%80%81%E6%9C%AC%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E5%8F%8A%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E8%82%A1%E6%9C%AC%E6%83%85%E5%86%B5) The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital for the semi-annual period - The company plans no profit distribution or capital reserve conversion to share capital for the semi-annual period[70](index=70&type=chunk) [III. Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=21&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E6%9D%83%E6%BF%80%E5%8A%B1%E8%AE%A1%E5%88%92%E3%80%81%E5%91%98%E5%B7%A5%E6%8C%81%E8%82%A1%E8%AE%A1%E5%88%92%E6%88%96%E5%85%B6%E4%BB%96%E5%91%98%E5%B7%A5%E6%BF%80%E5%8A%B1%E6%8E%AA%E6%96%BD%E7%9A%84%E5%AE%9E%E6%96%BD%E6%83%85%E5%86%B5) The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period[71](index=71&type=chunk) [IV. Environmental Information Disclosure](index=21&type=section&id=%E5%9B%9B%E3%80%81%E7%8E%AF%E5%A2%83%E4%BF%A1%E6%81%AF%E6%8A%AB%E9%9C%B2%E6%83%85%E5%86%B5) The company and its major subsidiary, Jinhai Chunxing Precision Manufacturing Co., Ltd., are included in the list of enterprises required to disclose environmental information, with reports available on the Anhui Provincial Department of Ecology and Environment website - The company and its subsidiary Jinhai Chunxing Precision Manufacturing Co., Ltd. are included in the list of enterprises required to disclose environmental information by law[72](index=72&type=chunk) - Jinhai Chunxing Precision Manufacturing Co., Ltd.'s environmental information disclosure report can be found on the website of the Anhui Provincial Department of Ecology and Environment[72](index=72&type=chunk) [V. Social Responsibility](index=21&type=section&id=%E4%BA%94%E3%80%81%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E6%83%85%E5%86%B5) The company protects shareholder rights through governance and disclosure, prioritizes employee welfare with training and development, fosters win-win supplier relationships, and implements ISO14001 environmental management through innovation and pollution control - The company effectively protects the rights and interests of all shareholders by optimizing governance, improving systems, and fulfilling information disclosure obligations[73](index=73&type=chunk) - The company adheres to a "people-oriented" approach, complies with labor laws and regulations, provides training and development opportunities, and enhances cohesion through employee activities[73](index=73&type=chunk) - The company aims for win-win cooperation, improves procurement processes, strictly fulfills contracts, and protects the legitimate rights and interests of suppliers[74](index=74&type=chunk) - The company carries out environmental protection work through technological innovation, lean management, and the construction of pollution control facilities, in accordance with ISO14001 environmental management system standards[74](index=74&type=chunk) Section V Significant Matters [I. Commitments Fulfilled and Overdue Unfulfilled by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During and as of the End of the Reporting Period](index=22&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E3%80%81%E8%82%A1%E4%B8%9C%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E3%80%81%E6%94%B6%E8%B4%AD%E4%BA%BA%E4%BB%A5%E5%8F%8A%E5%85%AC%E5%8F%B8%E7%AD%89%E6%89%BF%E8%AF%BA%E7%9B%B8%E5%85%B3%E6%96%B9%E5%9C%A8%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E5%8F%8A%E6%88%AA%E8%87%B3%E6%8A%A5%E5%91%8A%E6%9C%9F%E6%9C%AB%E8%B6%85%E6%9C%9F%E6%9C%AA%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E7%9A%84%E6%89%BF%E8%AF%BA%E4%BA%8B%E9%A1%B9) The company's controlling shareholder Sun Jiexiao and related party Suzhou Kahn Lian Te's commitments regarding equity transfer payments and intercompany receivables remain unfulfilled as of the reporting period end Overdue Unfulfilled Commitments | Commitment Reason | Promisor | Commitment Type | Commitment Content | Commitment Date | Commitment Period | Fulfillment Status | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Other Commitments | Suzhou Kahn Lian Te, Sun Jiexiao | Other Commitments | Mr. Sun Jiexiao and the debtor to complete payment of remaining equity transfer funds and related intercompany receivables by December 31, 2023 | April 25, 2023 | December 31, 2023 | Not yet fulfilled | - The equity transfer payments and intercompany receivables owed to the company by Suzhou Kahn Lian Te and Sun Jiexiao have not yet been fulfilled; specific reasons and next steps are detailed in "XIII. Explanation of Other Significant Matters" in this report[76](index=76&type=chunk) [II. Non-Operating Funds Occupied by Controlling Shareholder and Other Related Parties](index=22&type=section&id=%E4%BA%8C%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%B3%E8%81%94%E6%96%B9%E5%AF%B9%E4%B8%8A%E5%B8%82%E5%85%AC%E5%8F%B8%E7%9A%84%E9%9D%9E%E7%BB%8F%E8%90%A5%E6%80%A7%E5%8D%A0%E7%94%A8%E8%B5%84%E9%87%91%E6%83%85%E5%86%B5) The company reported no non-operating funds occupied by controlling shareholders or other related parties during the reporting period - The company reported no non-operating funds occupied by controlling shareholders or other related parties during the reporting period[78](index=78&type=chunk) [III. Irregular External Guarantees](index=23&type=section&id=%E4%B8%89%E3%80%81%E8%BF%9D%E8%A7%84%E5%AF%B9%E5%A4%96%E6%8B%85%E4%BF%9D%E6%83%85%E5%86%B5) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[79](index=79&type=chunk) [IV. Appointment and Dismissal of Accounting Firms](index=23&type=section&id=%E5%9B%9B%E3%80%81%E8%81%98%E4%BB%BB%E3%80%81%E8%A7%A3%E8%81%98%E4%BC%9A%E8%AE%A1%E5%B8%88%E4%BA%8B%E5%8A%A1%E6%89%80%E6%83%85%E5%86%B5) The company's semi-annual financial report was not audited - The company's semi-annual financial report was unaudited[80](index=80&type=chunk) [V. Board of Directors' and Supervisory Board's Explanation on "Non-Standard Audit Report" for the Current Period](index=23&type=section&id=%E4%BA%94%E3%80%81%E8%91%A3%E4%BA%8B%E4%BC%9A%E3%80%81%E7%9B%91%E4%BA%8B%E4%BC%9A%E5%AF%B9%E4%BC%9A%E8%AE%A1%E5%B8%88%E4%BA%8B%E5%8A%A1%E6%89%80%E6%9C%AC%E6%8A%A5%E5%91%8A%E6%9C%9F%22%E9%9D%9E%E6%A0%87%E5%87%86%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A%22%E7%9A%84%E8%AF%B4%E6%98%8E) The company reported no "non-standard audit report" issued by the accounting firm during the reporting period - The company reported no "non-standard audit report" issued by the accounting firm during the reporting period[81](index=81&type=chunk) [VI. Board of Directors' Explanation on "Non-Standard Audit Report" for the Previous Year](index=23&type=section&id=%E5%85%AD%E3%80%81%E8%91%A3%E4%BA%8B%E4%BC%9A%E5%AF%B9%E4%B8%8A%E5%B9%B4%E5%BA%A6%22%E9%9D%9E%E6%A0%87%E5%87%86%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A%22%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5%E7%9A%84%E8%AF%B4%E6%98%8E) Zhongxinghua Certified Public Accountants issued an unqualified audit opinion with an emphasis of matter paragraph for the company's 2024 annual financial statements, which the Board and Supervisory Board have specifically addressed - Zhongxinghua Certified Public Accountants issued an unqualified audit opinion with an emphasis of matter paragraph for the company's 2024 annual financial statements[81](index=81&type=chunk) - The company's Board of Directors and Supervisory Board have provided a specific explanation regarding the emphasis of matter paragraph[81](index=81&type=chunk) [VII. Bankruptcy Reorganization Matters](index=23&type=section&id=%E4%B8%83%E3%80%81%E7%A0%B4%E4%BA%A7%E9%87%8D%E6%95%B4%E7%9B%B8%E5%85%B3%E4%BA%8B%E9%A1%B9) The company had no bankruptcy reorganization matters during the reporting period - The company had no bankruptcy reorganization matters during the reporting period[82](index=82&type=chunk) [VIII. Litigation Matters](index=23&type=section&id=%E5%85%AB%E3%80%81%E8%AF%89%E8%AE%BC%E4%BA%8B%E9%A1%B9) The company is involved in multiple significant litigations and arbitrations, including a completed property rights dispute, a first-instance victory in an equity transfer payment lawsuit against Suzhou Kahn Lian Te (with execution uncertainty), ongoing contract disputes with Chongqing Xinrunxing (provision of 21 million yuan), ongoing arbitration with Xianyou Dingsheng Investment regarding rent/taxes (provision of 3.42 million yuan), ongoing equity transfer dispute with Fuzhou Oriental Equipment Technology, and ongoing arbitration with Xianyou Dingsheng Investment regarding Yuansheng Zhihui's industrial park repurchase. Other minor litigations are also ongoing or concluded Significant Litigation and Arbitration Matters | Basic Information of Litigation (Arbitration) | Amount Involved (RMB 10,000) | Provision for Contingent Liability | Litigation (Arbitration) Progress | Outcome and Impact of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | :--- | | Huizhou Andong Hardware Plastic Electronics Co., Ltd. vs. Suzhou Chunxing Precision Manufacturing Co., Ltd. and Huizhou Chunxing Precision Manufacturing Co., Ltd. for property rights protection dispute | 6,182.79 | No | Concluded | Fully executed | | Company vs. Suzhou Industrial Park Kahn Lian Te Technology Co., Ltd. and Mr. Sun Jiexiao for outstanding equity transfer payments | 11,553.93 | No | First-instance judgment, subsequent progress and execution status are uncertain | First-instance judgment ordered defendant Suzhou Kahn Lian Te to pay equity transfer funds of 108 million yuan plus interest, with Sun Jiexiao bearing joint and several liability | | Chongqing Xinrunxing Technology Co., Ltd. vs. Huizhou Chunxing Precision Manufacturing Co., Ltd. for sales contract dispute | 3,800 | Yes (2,100.88 million yuan) | Ongoing | | | Xianyou Dingsheng Investment Co., Ltd. applied for arbitration against Yuansheng Zhihui regarding rent, land use tax, and property tax to Fuzhou Arbitration Commission | 4,589.05 | Yes (342.68 million yuan) | Ongoing | | | Company vs. Fuzhou Oriental Equipment Technology Co., Ltd. for equity transfer dispute | 5,607.13 | No | Ongoing | | | Xianyou Dingsheng Investment Co., Ltd. applied for arbitration against Yuansheng Zhihui regarding the repurchase of Yuansheng Zhihui Industrial Park to Fuzhou Arbitration Commission | 80,600 | No | Ongoing | | Other Litigation Matters | Basic Information of Litigation (Arbitration) | Amount Involved (RMB 10,000) | Provision for Contingent Liability | Litigation (Arbitration) Progress | Outcome and Impact of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | :--- | | Litigations initiated by the company as plaintiff before the reporting period, not yet concluded | 14,018.27 | No | 2 cases ongoing | No significant impact on the company | | Litigations initiated against the company as defendant before the reporting period, not yet concluded | 3,685.58 | Yes (2.58 million yuan provided in current period) | 2 cases ongoing | No significant impact on the company | | New litigations initiated by the company as plaintiff during the reporting period | 2,910.55 | No | 6 cases ongoing | No significant impact on the company | | New litigations initiated against the company as defendant during the reporting period | 775.03 | No | 4 cases ongoing | No significant impact on the company | [IX. Penalties and Rectification](index=27&type=section&id=%E4%B9%9D%E3%80%81%E5%A4%84%E7%BD%9A%E5%8F%8A%E6%95%B4%E6%94%B9%E6%83%85%E5%86%B5) The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[88](index=88&type=chunk) [X. Integrity Status of the Company, its Controlling Shareholder, and Actual Controller](index=27&type=section&id=%E5%8D%81%E3%80%81%E5%85%AC%E5%8F%B8%E5%8F%8A%E5%85%B6%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E3%80%81%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E7%9A%84%E8%AF%9A%E4%BF%A1%E7%8A%B6%E5%86%B5) As of the reporting period end, Suzhou Kahn Lian Te and Huizhou Zehong Technology owe the company a total of 397.3755 million yuan, with controlling shareholder Sun Jiexiao providing joint liability guarantee. Sun Jiexiao is involved in multiple lawsuits for contract and equity transfer disputes, leading to judicial freezing and rotation freezing of his shares, with some shares failing judicial auction. The company is unaware of other significant overdue debts or defaults by Sun Jiexiao - As of the end of the reporting period, Suzhou Kahn Lian Te still owes the company **316.45 million yuan** in equity transfer payments, and Huizhou Zehong Technology owes **80.9255 million yuan** in business intercompany receivables, totaling **397.3755 million yuan**, with cumulative bad debt provisions of **343.3084 million yuan**[89](index=89&type=chunk)[179](index=179&type=chunk)[721](index=721&type=chunk) - Mr. Sun Jiexiao is involved in multiple lawsuits concerning contract disputes and equity transfer disputes, with significant amounts involved, leading to judicial freezing and rotation freezing of his shares in the company[90](index=90&type=chunk)[91](index=91&type=chunk) - Mr. Sun Jiexiao's partial shares (**154,199,995 shares** and **15,535,008 shares**) failed judicial auction in July 2025, and subsequent judicial procedures remain uncertain[92](index=92&type=chunk) [XI. Significant Related Party Transactions](index=28&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E9%87%8D%E5%A4%A7%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company had no related party transactions concerning daily operations, asset/equity acquisition/disposal, joint investments, related party debt, or financial services with related finance companies. The company accepted gratuitous guarantees from controlling shareholder Sun Jiexiao and his concerted action party Yuan Jing, with an estimated guarantee limit of 2.3 billion yuan - The company had no related party transactions related to daily operations, asset or equity acquisition/disposal, joint external investments, related party debt, or transactions with related finance companies during the reporting period[93](index=93&type=chunk)[94](index=94&type=chunk)[95](index=95&type=chunk)[96](index=96&type=chunk)[97](index=97&type=chunk)[98](index=98&type=chunk) - The company accepted gratuitous guarantees from controlling shareholder and actual controller Mr. Sun Jiexiao and his concerted action party Ms. Yuan Jing for the company's and its subsidiaries' financing, with an estimated guarantee limit not exceeding **2.3 billion yuan** for 2025[99](index=99&type=chunk) [XII. Significant Contracts and Their Performance](index=29&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E9%87%8D%E5%A4%A7%E5%90%88%E5%90%8C%E5%8F%8A%E5%85%B6%E5%B1%A5%E8%A1%8C%E6%83%85%E5%86%B5) The company had no entrustment, contracting, leasing, or other significant contracts. It has multiple external and subsidiary guarantees, with a total external guarantee balance of 1,305.6146 million yuan and subsidiary guarantee balance of 923.5179 million yuan, representing -2,938.27% of the company's net assets (due to negative net assets). Guarantees for entities with an asset-liability ratio exceeding 70% totaled 1,103.2025 million yuan - The company had no entrustment, contracting, leasing, or other significant contracts during the reporting period[100](index=100&type=chunk)[101](index=101&type=chunk)[102](index=102&type=chunk)[116](index=116&type=chunk) External Guarantees by the Company and its Subsidiaries | Guarantor Name | Guarantee Limit (RMB 10,000) | Actual Guarantee Amount (RMB 10,000) | Guarantee Type | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | | Xianyou Xiancai State-owned Assets Investment and Operation Co., Ltd. | 80,000 | 40,000 | Joint and several liability guarantee | No | No | | Xianyou Xiancai State-owned Assets Investment and Operation Co., Ltd. | 89,600 | 84,126 | Joint and several liability guarantee | No | No | | Anhui Jinyuan Asset Operation Management Co., Ltd. | 1,000 | 1,000 | Joint and several liability guarantee | Yes | No | | Anhui Jinyuan Asset Operation Management Co., Ltd. | 2,300 | 2,300 | Joint and several liability guarantee | No | No | | Anhui Jinyuan Asset Operation Management Co., Ltd. | 1,000 | 600 | Joint and several liability guarantee | No | No | | Wuhu Jinfan Financing Guarantee Co., Ltd. | 2,000 | 1,000 | Joint and several liability guarantee | Yes | No | | Xuancheng Kaisheng Financing Guarantee Co., Ltd. | 500 | 500 | Joint and several liability guarantee | Yes | No | | Xuancheng Kaisheng Financing Guarantee Co., Ltd. | 1,000 | 1,000 | Joint and several liability guarantee | No | No | | **Total** | **195,900** | **130,561.46** | | | | Guarantees Provided by the Company for its Subsidiaries | Guarantor Name | Guarantee Limit (RMB 10,000) | Actual Guarantee Amount (RMB 10,000) | Guarantee Type | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | | Mait Communication Equipment (Suzhou) Co., Ltd. | 90,000 | 2,900 | Joint and several liability guarantee | No | No | | Jinhai Chunxing Precision Manufacturing Co., Ltd. | 20,000 | 1,336.86 | Joint and several liability guarantee | No | No | | Chunxing Precision Manufacturing (Wuhu Fanchang) Co., Ltd. | 3,000 | 1,000 | Joint and several liability guarantee | No | No | | Shenzhen Fuchang Electronic Technology Co., Ltd. | 16,000 | 10,000 | Pledge | No | No | | **Total** | **218,460.44** | **92,351.79** | | | | - As of the end of the reporting period, the company's net assets were negative, and the actual total guarantee amount accounted for **-2,938.27%** of the company's net assets[113](index=113&type=chunk)[114](index=114&type=chunk) - The balance of guarantees provided for shareholders, actual controllers, and their related parties was **15.3546 million yuan**[114](index=114&type=chunk) - The balance of debt guarantees provided directly or indirectly for guaranteed entities with an asset-liability ratio exceeding **70%** was **1,103.2025 million yuan**[114](index=114&type=chunk) [XIII. Explanation of Other Significant Matters](index=40&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%B6%E4%BB%96%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9%E7%9A%84%E8%AF%B4%E6%98%8E) The company's controlling shareholder and related parties have outstanding equity transfer payments and intercompany receivables totaling 397.3755 million yuan, with a 108 million yuan equity transfer lawsuit won in the first instance, but execution remains uncertain. Controlling subsidiary Yuansheng Zhihui is involved in real estate sale-leaseback, repurchase, and guarantee matters, failing to repurchase land/buildings as agreed and facing arbitration, potentially triggering the company's counter-guarantee liability and significantly impacting performance - As of June 30, 2025, Suzhou Kahn Lian Te still owes the company **316.45 million yuan** in equity transfer payments, and Huizhou Zehong Technology owes **80.9255 million yuan** in business intercompany receivables, totaling **397.3755 million yuan**, with cumulative bad debt provisions of **343.3084 million yuan**[179](index=179&type=chunk)[721](index=721&type=chunk) - The company filed a lawsuit for **108 million yuan** in equity transfer payments and won in the first instance in August 2025, with the judgment ordering defendant Suzhou Kahn Lian Te to pay the amount plus interest, and Sun Jiexiao to bear joint and several liability, but subsequent execution remains uncertain[122](index=122&type=chunk)[179](index=179&type=chunk)[722](index=722&type=chunk) - Controlling subsidiary Yuansheng Zhihui failed to repurchase the industrial park's land use rights and buildings by the agreed date of July 13, 2025, and faces arbitration from Dingsheng Investment, which may trigger the company's counter-guarantee liability, involving repurchase funds of **806 million yuan** and rent/taxes[124](index=124&type=chunk)[125](index=125&type=chunk)[126](index=126&type=chunk)[175](index=175&type=chunk)[694](index=694&type=chunk)[695](index=695&type=chunk) - Yuansheng Zhihui has made provisions for the corresponding repurchase funds, rent, land use tax, and property tax in its financial statements, but has not yet received the **399 million yuan** deposit[125](index=125&type=chunk)[695](index=695&type=chunk) [XIV. Significant Matters of Company Subsidiaries](index=42&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E5%85%AC%E5%8F%B8%E5%AD%90%E5%85%AC%E5%8F%B8%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9) The company had no other significant subsidiary matters during the reporting period - The company had no other significant subsidiary matters during the reporting period[127](index=127&type=chunk) Section VI Share Changes and Shareholder Information [I. Share Change Status](index=43&type=section&id=%E4%B8%80%E3%80%81%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) During the reporting period, the company's total share capital, restricted shares, and unrestricted shares remained unchanged. No reasons for changes, approvals, transfers, share repurchases, or progress on repurchase implementation Share Change Status | Share Type | Number Before Change (shares) | Proportion Before Change | Increase/Decrease in Current Change (＋,－) | Number After Change (shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 23,250,002 | 2.06% | 0 | 23,250,002 | 2.06% | | II. Unrestricted Shares | 1,104,807,166 | 97.94% | 0 | 1,104,807,166 | 97.94% | | III. Total Shares | 1,128,057,168 | 100.00% | 0 | 1,128,057,168 | 100.00% | - The company's total share capital, restricted shares, and unrestricted shares remained unchanged during the reporting period[130](index=130&type=chunk)[131](index=131&type=chunk) [II. Securities Issuance and Listing](index=44&type=section&id=%E4%BA%8C%E3%80%81%E8%AF%81%E5%88%B8%E5%8F%91%E8%A1%8C%E4%B8%8E%E4%B8%8A%E5%B8%82%E6%83%85%E5%86%B5) The company had no securities issuance or listing during the reporting period - The company had no securities issuance or listing during the reporting period[131](index=131&type=chunk) [III. Number of Shareholders and Shareholding Status](index=44&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E4%B8%9C%E6%95%B0%E9%87%8F%E5%8F%8A%E6%8C%81%E8%82%A1%E6%83%85%E5%86%B5) As of the reporting period end, the company had 155,893 common shareholders. Controlling shareholder Sun Jiexiao holds 26.91%, with most shares pledged, marked, or frozen. Chairman Yuan Jing holds 2.75%, with some shares pledged. Sun Jiexiao and Yuan Jing are a married couple and concerted action parties - The total number of common shareholders at the end of the reporting period was **155,893**[132](index=132&type=chunk) Shareholding Status of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Proportion | Number of Shares Held (shares) | Number of Restricted Shares Held (shares) | Number of Unrestricted Shares Held (shares) | Share Status | Number (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Sun Jiexiao | Domestic Natural Person | 26.91% | 303,560,000 | 0 | 303,560,000 | Pledged | 288,024,992 | | | | | | | | Marked | 288,024,992 | | | | | | | | Frozen | 15,535,008 | | Yuan Jing | Domestic Natural Person | 2.75% | 31,000,003 | 23,250,002 | 7,750,001 | Pledged | 31,000,000 | | Jing Jie | Domestic Natural Person | 0.39% | 4,403,100 | 0 | 4,403,100 | Not Applicable | 0 | | Hong Kong Securities Clearing Company Limited | Overseas Legal Person | 0.37% | 4,229,940 | 0 | 4,229,940 | Not Applicable | 0 | | BARCLAYS BANK PLC | Overseas Legal Person | 0.32% | 3,562,400 | 0 | 3,562,400 | Not Applicable | 0 | - Mr. Sun Jiexiao is the actual controller of the company, and Ms. Yuan Jing is the company's chairman; they are a married couple, indicating an associated relationship or concerted action[133](index=133&type=chunk) - **303,090,400 shares** held by Mr. Sun Jiexiao are subject to rotation freezing[134](index=134&type=chunk) [IV. Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=46&type=section&id=%E5%9B%9B%E3%80%81%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E5%92%8C%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E6%8C%81%E8%82%A1%E5%8F%98%E5%8A%A8) The shareholdings of the company's directors, supervisors, and senior management remained unchanged during the reporting period - The shareholdings of the company's directors, supervisors, and senior management remained unchanged during the reporting period[135](index=135&type=chunk) [V. Changes in Controlling Shareholder or Actual Controller](index=46&type=section&id=%E4%BA%94%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E6%88%96%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E5%8F%98%E6%9B%B4%E6%83%85%E5%86%B5) The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder remained unchanged during the reporting period[136](index=136&type=chunk) - The company's actual controller remained unchanged during the reporting period[136](index=136&type=chunk) [VI. Preferred Share Information](index=47&type=section&id=%E5%85%AD%E3%80%81%E4%BC%98%E5%85%88%E8%82%A1%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[137](index=137&type=chunk) Section VII Bond Information [Bond Information](index=48&type=section&id=%E5%80%BA%E5%88%B8%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) The company had no bond-related matters during the reporting period - The company had no bond-related matters during the reporting period[139](index=139&type=chunk) Section VIII Financial Report [I. Audit Report](index=49&type=section&id=%E4%B8%80%E3%80%81%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) The company's semi-annual financial report was unaudited - The company's semi-annual financial report was unaudited[141](index=141&type=chunk) [II. Financial Statements](index=49&type=section&id=%E4%BA%8C%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section presents the company's H1 2025 consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity. Consolidated statements show negative net assets, increased current liabilities and long-term borrowings, and negative net cash flow from operating activities. Parent company statements show positive net profit but large amounts of other receivables and long-term equity investments Consolidated Balance Sheet Key Data | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 4,892,695,095.41 | 4,900,336,833.07 | | Total Liabilities | 4,959,158,190.17 | 4,827,743,075.56 | | Total Owners' Equity Attributable to Parent Company | -81,554,256.52 | 48,634,906.69 | | Total Owners' Equity | -66,463,094.76 | 72,593,757.51 | | Short-Term Borrowings | 1,687,065,194.95 | 1,763,352,900.05 | | Long-Term Borrowings | 310,201,459.73 | 176,621,105.46 | Consolidated Income Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 977,350,623.16 | 1,007,542,093.57 | | Operating Profit | -126,838,367.50 | -151,386,543.38 | | Total Profit | -155,827,286.32 | -154,084,286.97 | | Net Profit | -137,846,015.32 | -132,841,221.78 | | Net Profit Attributable to Parent Company Shareholders | -128,978,326.26 | -127,178,355.50 | | Basic Earnings Per Share | -0.1143 | -0.1127 | Consolidated Cash Flow Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -34,108,469.87 | 76,595,209.54 | | Net Cash Flow from Investing Activities | -75,538,798.97 | -157,312,901.20 | | Net Cash Flow from Financing Activities | 94,424,859.33 | 18,605,471.36 | | Net Increase in Cash and Cash Equivalents | -13,619,189.23 | -58,497,749.77 | [III. Company Basic Information](index=67&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) Suzhou Chunxing Precision Manufacturing Co., Ltd. was established on December 19, 2008, with a registered capital of 1,128.057168 million yuan, and Yuan Jing as its legal representative. Its business includes R&D, manufacturing, sales, and import/export of communication system equipment, automotive precision aluminum alloy components, and other precision parts, as well as property leasing - The company's registered capital is **RMB 1,128.057168 million**, and its legal representative is Yuan Jing[171](index=171&type=chunk) - The company's business scope includes R&D, manufacturing, sales, and services for communication system equipment, automotive precision aluminum alloy components, and various precision parts, as well as import/export business and self-owned property leasing[171](index=171&type=chunk) [IV. Basis of Financial Statement Preparation](index=67&type=section&id=%E5%9B%9B%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) The company's financial statements are prepared on a going concern basis, in accordance with the Accounting Standards for Business Enterprises issued by the Ministry of Finance, using the accrual basis of accounting and historical cost measurement, except for specific financial instruments - The company's financial statements are prepared on a going concern basis, in accordance with the Accounting Standards for Business Enterprises and relevant regulations[172](index=172&type=chunk) - Accounting is performed on an accrual basis, and all items are measured at historical cost, except for certain financial instruments[172](index=172&type=chunk) - The company's management believes the company has the ability to continue as a going concern for at least **12 months** from the end of the reporting period[173](index=173&type=chunk) [V. Significant Accounting Policies and Accounting Estimates](index=68&type=section&id=%E4%BA%94%E3%80%81%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) This section details the company's declarations of compliance with accounting standards, accounting period, operating cycle, functional currency, materiality, business combinations, consolidated financial statements, joint arrangements, cash and cash equivalents, foreign currency transactions, financial instruments, various receivables, inventories, long-term equity investments, investment properties, fixed assets, construction in progress, borrowing costs, intangible assets, impairment of long-term assets, long-term deferred expenses, contract liabilities, employee benefits, provisions, revenue recognition, contract costs, government grants, deferred tax assets/liabilities, and leases. No significant changes in accounting policies or estimates during the reporting period - The company's financial statements comply with the requirements of the Accounting Standards for Business Enterprises, accurately and completely reflecting its financial position and operating results[175](index=175&type=chunk) - The company's accounting year adopts the calendar year, with **12 months** as an operating cycle[176](index=176&type=chunk)[177](index=177&type=chunk) - The company and its domestic subsidiaries use RMB as their functional currency, while overseas subsidiaries determine their functional currency based on their operating environment[178](index=178&type=chunk) - The company classifies, recognizes, and measures financial assets and financial liabilities, and recognizes loss provisions based on expected credit losses[205](index=205&type=chunk)[207](index=207&type=chunk)[215](index=215&type=chunk) - The company recognizes revenue when performance obligations are fulfilled, meaning the customer obtains control of the related goods, using different recognition methods for domestic and export sales[281](index=281&type=chunk)[282](index=282&type=chunk) - The company applies simplified treatment for short-term leases and leases of low-value assets, not recognizing right-of-use assets and lease liabilities[305](index=305&type=chunk) - There were no significant changes in the company's accounting policies and accounting estimates during the reporting period[311](index=311&type=chunk) [VI. Taxation](index=92&type=section&id=%E5%85%AD%E3%80%81%E7%A8%8E%E9%A1%B9) This section discloses the company's main tax categories and rates, including VAT, urban maintenance and construction tax, corporate income tax, and education surcharge. The company and several subsidiaries enjoy high-tech enterprise tax incentives at a 15% income tax rate. Some subsidiaries also benefit from small and micro-enterprise income tax preferential policies or VAT immediate refund policies Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Output tax - deductible input tax | 13%, 9%, 6%, 23%, 5%/2% | | Urban Maintenance and Construction Tax | Amount of turnover tax paid | 7% | | Corporate Income Tax | Taxable income | 25%, 20%, 15% | | Education Surcharge | Amount of turnover tax paid | 5% | Taxpayers with Different Corporate Income Tax Rates | Taxpayer Name | Income Tax Rate | | :--- | :--- | | Suzhou Chunxing Precision Manufacturing Co., Ltd. | 15% | | Mait Communication Equipment (Suzhou) Co., Ltd. | 15% | | Jinhai Chunxing Precision Manufacturing Co., Ltd. | 15% | | Nanjing Chunrui Precision Machinery Co., Ltd. | 15% | | Chunxing Casting (Suzhou Industrial Park) Co., Ltd. | 15% | | Chunxing Precision Manufacturing (Macheng) Co., Ltd. | 15% | | Anhui Chunxing Light Alloy Technology Co., Ltd. | 15% | | Vietnam Mait Communication Equipment Co., Ltd. | 20% | | Suzhou Industrial Park Yongda Technology Co., Ltd. | 20% | | Shanghai Wei Wu Communication Technology Co., Ltd. | 20% | | Chunxing Precision Manufacturing (India) Co., Ltd. | 33% | | HK WEISHUN INTL CO,LIMITED | 16.50% | | HK Weixing International Limited | 16.50% | | HK Weide International Limited | 16.50% | - The company and several subsidiaries (e.g., Mait Communication Equipment, Jinhai Chunxing, Nanjing Chunrui) enjoy a **15%** corporate income tax preferential rate due to their high-tech enterprise qualifications[313](index=313&type=chunk)[314](index=314&type=chunk) - Subsidiary Chunxing Financial Leasing Co., Ltd. enjoys a VAT immediate refund policy[314](index=314&type=chunk) - Some small and micro-enterprise subsidiaries enjoy preferential income tax policies, where the portion of annual taxable income not exceeding **1 million yuan** is subject to a **25%** reduction in taxable income and a **20%** tax rate[315](index=315&type=chunk) [VII. Notes to Consolidated Financial Statement Items](index=94&type=section&id=%E4%B8%83%E3%80%81%E5%90%88%E5%B9%B6%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) This section detailed the consolidated financial statement items' period-end and period-beginning balances and changes. Key highlights include a high proportion of restricted cash, decreased accounts and notes receivable (with significant bad debt provisions), increased prepayments and long-term borrowings, a substantial increase in provisions for litigation, and negative net assets attributable to the parent company. Operating revenue and cost structures remained stable, but operating cash outflow increased. Foreign currency monetary items involve USD, EUR, INR, etc Cash and Bank Balances Composition | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Cash on Hand | 3.93 | 3.93 | | Bank Deposits | 210,968,550.57 | 198,617,255.32 | | Other Cash and Bank Balances | 164,236,254.84 | 182,504,105.63 | | **Total** | **375,204,809.34** | **381,121,364.88** | | Of which: Total Funds Deposited Overseas | 28,561,934.32 | 25,328,323.08 | Restricted Cash and Bank Balances | Item | Period-End Balance (yuan) | | :--- | :--- | | Bank Acceptance Bill Deposits | 166,223,062.18 | | Pledged Time Deposits | 163,388,813.86 | | Other Deposits | 1,784,588.45 | | Frozen Funds | 8,292,300.17 | | Long-Dormant Funds | 124,474.39 | | **Total** | **339,813,239.05** | - Accounts receivable period-end balance was **1,001,634,670.36 yuan**, with bad debt provisions of **405,834,819.68 yuan**, resulting in a book value of **595,799,850.68 yuan**[337](index=337&type=chunk) - Other receivables period-end balance was **398,797,956.07 yuan**, with bad debt provisions of **339,361,761.83 yuan**, resulting in a book value of **59,436,194.24 yuan**, including **317,227,500.00 yuan** in equity transfer payments[378](index=378&type=chunk)[382](index=382&type=chunk) - Inventory period-end book value was **461,832,855.41 yuan**, with inventory depreciation provisions of **28,987,695.26 yuan**[396](index=396&type=chunk)[400](index=400&type=chunk) - Fixed assets period