Financial Performance - Total revenue for the year ended December 31, 2024, reached RMB 2,693,468,867.27, representing a 48.04% increase compared to RMB 1,819,442,221.52 in 2023[2] - Net profit attributable to shareholders increased by 93.15% to RMB 149,123,766.76 from RMB 77,204,342.79 in the previous year[2] - The net profit excluding non-recurring gains and losses rose by 112.56% to RMB 136,834,644.64, up from RMB 64,374,816.28 in 2023[2] - Basic and diluted earnings per share improved by 87.22% to RMB 0.1831, compared to RMB 0.0978 in the prior year[2] - The company reported a total profit of RMB 152,268,408.84 for the year, up from RMB 84,003,146.19 in 2023[7] - The gross profit margin for the main business improved to 19.82% in 2024, compared to 17.09% in the previous year[36] - The company’s overall gross profit margin for 2024 was 20.94%, up from 19.33% in the previous year, indicating improved cost management[36] Assets and Liabilities - Total assets increased by 23.16% to RMB 3,264,667,069.57 from RMB 2,650,678,847.84 in 2023[2] - Net assets attributable to shareholders grew by 32.19% to RMB 1,943,079,732.36, up from RMB 1,469,865,219.48[2] - The total short-term borrowings decreased from RMB 147,820,497.81 in 2023 to RMB 81,109,472.22 in 2024, reflecting a reduction of about 45%[22] - The long-term borrowings remained unchanged at RMB 34,836,594.99 as of December 31, 2024, compared to the previous year[24] - The total assets minus current liabilities as of December 31, 2024, is RMB 1,987,568,329.69, compared to RMB 1,527,444,754.65 in 2023[33] Cash Flow - Cash flow from operating activities decreased by 63.51% to RMB 1,166,381.31, down from RMB 3,196,715.47 in the previous year[2] - Operating cash flow net amount decreased by 63.51% to RMB 1,166,381.31, primarily due to increased cash payments for employee compensation and bank guarantees[45] - Total cash and cash equivalents increased by 360.07% to RMB 93,137,145.34, compared to a decrease of RMB 35,812,236.20 in 2023[45] Expenses - Total operating costs for 2024 were RMB 2,492,270,418.86, compared to RMB 1,753,706,339.00 in 2023[7] - Research and development expenses increased to RMB 159,714,979.19 from RMB 118,196,951.05, indicating a focus on innovation[7] - Financial expenses for 2024 amounted to RMB 1,132,390.28, a decrease from RMB 6,072,232.49 in 2023, showing a reduction of about 81%[26] - The company reported a decrease in financial expenses by 81.35% to RMB 1,132,390.28, due to repayment of bank loans and increased interest income[37] Taxation and Incentives - The company and its subsidiaries have been recognized as high-tech enterprises, allowing them to pay corporate income tax at a reduced rate of 15% for the period 2023-2025[18] - The corporate income tax rate for the company and several subsidiaries is set at 15%, while other entities face a rate of 25%[17] - The company benefits from a VAT policy allowing advanced manufacturing enterprises to deduct an additional 5% from their payable VAT from January 1, 2023, to December 31, 2027[18] - The company benefited from tax incentives for employing self-employed veterans and poverty alleviation personnel, which will apply until December 31, 2027[7] Shareholder Information - The company plans to distribute a cash dividend of RMB 0.60 per share, totaling RMB 49,357,943.04, based on a total share capital of 822,632,384 shares as of December 31, 2024[28] - The profit distribution plan for 2024 is pending approval at the annual general meeting, with the final cash dividend expected to be paid to H shareholders on August 30, 2025[54] Operational Insights - The automotive parts and accessories manufacturing segment contributed RMB 2,609,786,667.29, accounting for 96.89% of total revenue, with a year-on-year growth of 50.04%[42] - Sales volume of automotive parts reached 4,458,978 units, representing a significant increase of 58.04% compared to 2,821,409 units in 2023[43] - The self-developed Rack Electric Power Steering System (R-EPS) has achieved mass production, supporting the company's ongoing development[55] - The company anticipates an increase in the production and sales of electric and intelligent vehicle steering systems in 2024, which will drive operational performance[55] - The company is focusing on new technology research and commercialization, including steer-by-wire and rear-wheel steering, to assist in advanced autonomous driving and localization of automotive components[55] Employee and Talent Management - The company has 2,224 full-time employees as of December 31, 2024, and emphasizes employee training and talent retention strategies[57] - The company has established a flexible talent introduction and incentive policy to attract external talent[57] Accounting Policies - The company will implement changes to accounting policies starting January 1, 2024, including the classification of current and non-current liabilities, which will not impact the financial statements[14] - The company has implemented several new accounting standards effective January 1, 2024, which include disclosures related to supplier financing arrangements and accounting for sale-leaseback transactions[14] Other Information - The company reported no significant asset or equity acquisitions or disposals during the reporting period[50] - As of December 31, 2024, the company has no significant contingent liabilities[53] - There are no significant other matters that require explanation during the reporting period[56] - The company has not purchased, sold, or redeemed any of its listed securities as of December 31, 2024[62]

Financial Performance - The company's operating revenue for Q3 2024 reached RMB 691,206,782.78, representing a year-on-year increase of 54.09%[3] - Net profit attributable to shareholders for Q3 2024 was RMB 45,094,915.16, a significant increase of 115.88% compared to the same period last year[3] - The net profit attributable to shareholders after deducting non-recurring gains and losses was RMB 40,801,103.34, reflecting a year-on-year growth of 172.09%[3] - Total operating revenue for the first nine months of 2024 reached RMB 1,817,567,758.66, a 54.5% increase from RMB 1,176,522,433.74 in the same period of 2023[13] - Net profit for the first nine months of 2024 was RMB 127,340,842.49, compared to RMB 42,457,184.81 in 2023, representing a 199.5% increase[14] - Basic and diluted earnings per share for the first nine months of 2024 were both RMB 0.1380, up from RMB 0.0516 in 2023[14] - Total comprehensive income attributable to the parent company for the first nine months of 2024 was RMB 111,982,671.15, compared to RMB 40,726,450.14 in 2023, marking a 174.5% increase[14] Assets and Liabilities - The total assets as of September 30, 2024, amounted to RMB 2,974,816,731.55, an increase of 12.23% from December 31, 2023[3] - The net assets attributable to shareholders reached RMB 1,905,938,636.75, showing a growth of 29.67% compared to the end of the previous year[3] - Current assets reached RMB 1,995,979,325.46, up from RMB 1,682,158,653.02 in the previous year[11] - Total liabilities decreased to RMB 1,065,421,539.21 from RMB 1,192,715,244.11, reflecting improved financial health[12] - The equity attributable to shareholders increased to RMB 1,905,938,636.75 from RMB 1,469,865,219.48, showing a strong growth in shareholder value[12] Cash Flow - The company reported a net cash flow from operating activities of RMB -4,820,372.51 for the first nine months of 2024, improving by 76.62% year-on-year[6] - Cash flow from operating activities showed a net outflow of RMB 4,820,372.51 in 2024, an improvement from a net outflow of RMB 20,619,730.80 in 2023[15] - Cash and cash equivalents at the end of September 2024 amounted to RMB 221,269,967.57, significantly up from RMB 92,079,020.74 at the end of September 2023[15] - The company received cash from financing activities totaling RMB 488,487,745.02 in 2024, compared to RMB 158,000,000.00 in 2023[15] Operational Highlights - The company attributed revenue growth to the acceleration of trends in automotive electrification, intelligence, and globalization, as well as an increase in market share of Chinese passenger vehicles[6] - Research and development expenses increased to RMB 100,595,342.38 in 2024 from RMB 79,309,832.33 in 2023, reflecting a 26.8% rise[13] - The company reported a total operating cost of RMB 1,701,232,030.19 for the first nine months of 2024, up from RMB 1,146,106,492.73 in 2023, which is a 48.4% increase[13] Shareholder Information - Zhejiang Shibao Holding Group Co., Ltd. remains the largest shareholder, holding 295,336,898 shares, representing 35.90% of the total share capital[9] Inventory and Receivables - The company reported a significant increase in inventory, which rose to RMB 511,567,895.23 from RMB 478,208,228.06[11] - Accounts receivable rose to RMB 963,215,179.74 compared to RMB 717,577,606.43 at the end of 2023, indicating a significant growth in receivables[11] Debt Management - Short-term borrowings decreased to RMB 61,109,342.47 from RMB 147,820,497.81, indicating a reduction in debt levels[12]

Financial Performance - Operating revenue for the first half of 2024 reached CNY 1,126,360,975.88, a 54.73% increase compared to CNY 727,947,938.24 in the same period of 2023[9] - Net profit attributable to shareholders of the listed company was CNY 66,887,755.99, representing a significant increase of 237.18% from CNY 19,837,169.51 in the first half of 2023[9] - Net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 63,997,448.86, up 652.24% from CNY 8,507,594.78 in the previous year[9] - Basic and diluted earnings per share increased to CNY 0.0830, up 230.68% from CNY 0.0251 in the same period last year[9] - Operating profit for the first half of 2024 was RMB 73,770,308.63, up from RMB 20,762,286.27 in the first half of 2023, representing a growth of 255%[20] - The company achieved a total profit of RMB 73,016,236.07 in the first half of 2024, compared to RMB 20,441,696.41 in the same period of 2023, representing an increase of 257%[20] Cash Flow and Liquidity - Net cash flow from operating activities improved to CNY 15,607,460.23, a turnaround from a negative cash flow of CNY -61,917,321.13 in the first half of 2023, marking a 125.21% increase[9] - Total cash inflow from operating activities increased to RMB 586,695,208.19 in H1 2024, up from RMB 460,607,704.96 in H1 2023, representing a growth of approximately 27.3%[25] - The net cash flow from financing activities was RMB 143,659,737.82 in H1 2024, compared to RMB 20,420,275.69 in H1 2023, indicating a substantial increase[25] - The ending cash and cash equivalents balance as of June 30, 2024, was RMB 211,911,549.12, up from RMB 143,451,383.11 at the end of June 2023[25] Assets and Liabilities - Total assets increased by 4.38% to RMB 2,766,828,436.06 as of June 30, 2024, compared to RMB 2,650,678,847.84 at the end of 2023[10] - Total liabilities decreased by 25.49% to RMB 888,674,365.25 from RMB 1,192,715,244.11[12] - Short-term borrowings significantly reduced to RMB 11,009,342.47 from RMB 147,820,497.81, a decrease of 92.56%[11] - The company's equity attributable to shareholders increased by 27.96% to RMB 1,880,840,720.49, indicating strong financial health[12] Research and Development - Research and development expenses increased to RMB 64,477,581.03 in the first half of 2024, up from RMB 50,292,023.37 in the first half of 2023, reflecting a growth of 28%[20] - Direct input costs for R&D activities include expenses for materials, fuel, power, and costs for molds and equipment development, totaling RMB X million[97] - Design costs for new products and processes incurred during development reached RMB A million, focusing on innovative and breakthrough designs[100] Taxation and Incentives - The company and its subsidiaries benefit from a reduced corporate income tax rate of 15% due to high-tech enterprise certification, valid from 2023 to 2025[136] - The company enjoys a VAT deduction policy allowing a 5% additional deduction on payable VAT for advanced manufacturing enterprises from 2023 to 2027[136] - The company reported a VAT exemption of RMB 58,500 for hiring self-employed veterans under specific tax policies[136] Inventory and Receivables - Accounts receivable grew by 18.69% to RMB 851,874,375.47 from RMB 717,577,606.43[11] - The provision for bad debts was RMB 32,171,934.35, which is 3.64% of total accounts receivable[145] - The total inventory at the end of the period is RMB 522,032,542.75 million, with a provision for inventory depreciation of RMB 37,912,868.24 million[162] Employee Compensation and Benefits - Total salary, bonuses, allowances, and subsidies increased to CNY 118,805,041.01 during the period, resulting in a year-end total of CNY 27,815,668.39[197] - The company contributed CNY 8,429,394.04 to the basic pension insurance during the period, leading to a year-end balance of CNY 839,226.16[198] - The total employee benefits expenses, including social insurance, amounted to CNY 29,208,178.70 at the end of the period[197] Compliance and Governance - The company’s financial statements have been approved by the board on August 23, 2024, ensuring compliance with regulatory requirements[36] - The company has no significant doubts regarding its ability to continue as a going concern for the next 12 months[38] - The company adheres to accounting standards, ensuring that financial statements accurately reflect its financial position, operating results, and cash flows[40]

[Main Accounting Data and Financial Indicators](index=1&type=section&id=%E4%B8%BB%E8%A6%81%E6%9C%83%E8%A8%88%E6%95%B8%E6%93%9A%E5%92%8C%E8%B2%A1%E5%8B%99%E6%8C%87%E6%A8%99) Zhejiang Shibao Co., Ltd. announced its interim results for the six months ended June 30, 2024, showing significant growth in revenue, net profit, total assets, and net assets attributable to shareholders Key Accounting Data and Financial Indicators for January-June 2024 | Indicator | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,126,360,975.88 | 727,947,938.24 | 54.73% | | Net Profit Attributable to Shareholders of the Listed Company | 66,887,755.99 | 19,837,169.51 | 237.18% | | Net Profit Attributable to Shareholders of the Listed Company (Excluding Non-recurring Gains and Losses) | 63,997,448.86 | 8,507,594.78 | 652.24% | | Net Cash Flow from Operating Activities | 15,607,460.23 | -61,917,321.13 | 125.21% | | Basic Earnings Per Share (RMB/share) | 0.0830 | 0.0251 | 230.68% | | Diluted Earnings Per Share (RMB/share) | 0.0830 | 0.0251 | 230.68% | | Weighted Average Return on Net Assets | 3.99% | 1.41% | 2.58% | | Indicator | June 30, 2024 (RMB) | December 31, 2023 (RMB) | YoY Change | | :--- | :--- | :--- | :--- | | Total Assets | 2,766,828,436.06 | 2,650,678,847.84 | 4.38% | | Net Assets Attributable to Shareholders of the Listed Company | 1,880,840,720.49 | 1,469,865,219.48 | 27.96% | [I. Financial Statements](index=2&type=section&id=I%E3%80%81%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) This section presents Zhejiang Shibao's unaudited consolidated balance sheet and income statement as of June 30, 2024, reflecting the company's financial position and operating results with increased assets, equity, revenue, and net profit [Consolidated Balance Sheet](index=2&type=section&id=%E5%90%88%E4%BD%B5%E8%B3%87%E7%94%A2%E8%B2%A0%E5%82%B5%E8%A1%A8) As of June 30, 2024, the company's total assets increased by 4.38% from 2023-end, total equity attributable to parent company owners grew by 27.96%, and total liabilities decreased, indicating a more stable financial structure Key Data from Consolidated Balance Sheet | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Total Assets | 2,766,828,436.06 | 2,650,678,847.84 | | Total Current Assets | 1,804,918,771.43 | 1,682,158,653.02 | | Total Non-current Assets | 961,909,664.63 | 968,520,194.82 | | Total Liabilities | 888,674,365.25 | 1,192,715,244.11 | | Total Equity Attributable to Parent Company Owners | 1,880,840,720.49 | 1,469,865,219.48 | - Total current liabilities decreased from RMB 1,123,234,093.19 at the end of 2023 to **RMB 856,003,234.30** as of June 30, 2024, primarily due to a reduction in short-term borrowings and notes payable[4](index=4&type=chunk) [Consolidated Income Statement](index=4&type=section&id=%E5%90%88%E4%BD%B5%E5%88%A9%E6%BD%A4%E8%A1%A8) During the reporting period, the company's total operating revenue increased by 54.73% year-on-year, and net profit attributable to parent company owners significantly increased by 237.18% year-on-year, demonstrating strong profitability and improved operating efficiency Key Data from Consolidated Income Statement | Item | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 1,126,360,975.88 | 727,947,938.24 | | Total Operating Costs | 1,059,156,834.66 | 711,656,154.19 | | Operating Profit | 73,770,308.63 | 20,762,286.27 | | Net Profit | 76,102,722.06 | 21,225,695.47 | | Net Profit Attributable to Parent Company Owners | 66,887,755.99 | 19,837,169.51 | | Basic Earnings Per Share (RMB/share) | 0.0830 | 0.0251 | - Financial expenses significantly decreased by **79.96%** year-on-year, primarily due to reduced interest expenses and increased interest income[5](index=5&type=chunk) - Income tax expense was negative, mainly due to no current income tax expense in the current period and an increase in deductible temporary differences leading to a corresponding increase in deferred tax assets[5](index=5&type=chunk) [II. Notes to Financial Statements](index=5&type=section&id=II%E3%80%81%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) This section outlines the basis of preparation, accounting standards, accounting period, and functional currency for the company's financial statements, ensuring transparency and compliance of financial information [Basis of Preparation](index=5&type=section&id=%E7%B7%A8%E5%88%B6%E5%9F%BA%E7%A4%8E) These interim financial statements are prepared in accordance with Accounting Standard for Business Enterprises No. 32 — Interim Financial Reporting issued by the Ministry of Finance, and on a going concern basis - Financial statements are prepared in accordance with Accounting Standard for Business Enterprises No. 32 — Interim Financial Reporting[6](index=6&type=chunk) - The company's financial statements are prepared on a going concern basis[6](index=6&type=chunk) [Significant Accounting Policies and Accounting Estimates](index=5&type=section&id=%E9%87%8D%E8%A6%81%E6%9C%83%E8%A8%88%E6%94%BF%E7%AD%96%E5%8F%8A%E6%9C%83%E8%A8%88%E4%BC%B0%E8%A8%88) The company declares that its financial statements comply with enterprise accounting standards, accurately and completely reflecting its financial position. The accounting year runs from January 1 to December 31 of the Gregorian calendar, and RMB is used as the functional currency [Statement of Compliance with Enterprise Accounting Standards](index=5&type=section&id=%E9%81%B5%E5%BE%AA%E4%BC%81%E6%A5%AD%E6%9C%83%E8%A8%88%E6%BA%96%E5%89%87%E7%9A%84%E8%81%B2%E6%98%8E) - The company's financial statements comply with enterprise accounting standards, accurately and completely reflecting its financial position, operating results, and cash flows[7](index=7&type=chunk) [Accounting Period](index=5&type=section&id=%E6%9C%83%E8%A8%88%E6%9C%9F%E9%96%93) - The accounting year runs from January 1 to December 31 of the Gregorian calendar[8](index=8&type=chunk) [Functional Currency](index=5&type=section&id=%E8%A8%98%E8%B3%AC%E6%9C%AC%E4%BD%8D%E5%B9%A3) - RMB is adopted as the functional currency[9](index=9&type=chunk) [III. Taxation](index=5&type=section&id=III%E3%80%81%E7%A8%85%E9%A0%85) This section details the main tax categories and applicable rates for the company and its subsidiaries, disclosing various tax incentives enjoyed during the reporting period that positively impacted the company's tax burden [Main Tax Categories and Rates](index=5&type=section&id=%E4%B8%BB%E8%A6%81%E7%A8%85%E7%A8%AE%E5%8F%8A%E7%A8%85%E7%8E%87) The company and its subsidiaries' main tax categories include Value-Added Tax, Property Tax, Urban Maintenance and Construction Tax, Education Surcharge, Local Education Surcharge, and Enterprise Income Tax, with applicable rates varying based on business type and entity qualification Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Sale of goods or provision of taxable services | 13%、9%、6%、5% | | Property Tax | Ad valorem/Based on rental income | 1.2%、12% | | Urban Maintenance and Construction Tax | Amount of turnover tax payable | 7%、5% | | Education Surcharge | Amount of turnover tax payable | 3% | | Local Education Surcharge | Amount of turnover tax payable | 2% | | Enterprise Income Tax | Taxable income | 15%、25% | Explanation of Enterprise Income Tax Rates for Taxable Entities with Different Rates | Taxable Entity Name | Income Tax Rate | | :--- | :--- | | The Company | 15% | | Hangzhou Shibao Auto Steering Gear Co., Ltd. | 15% | | Hangzhou New Shibao Electric Steering System Co., Ltd. | 15% | | Beijing Autonic Technology Co., Ltd. | 15% | | Wuhu Sterry Steering System Co., Ltd. | 15% | | Other Taxable Entities (excluding the above) | 25% | [Tax Incentives](index=6&type=section&id=%E7%A8%85%E6%94%B6%E5%84%AA%E6%83%A0) The company and several subsidiaries enjoy high-tech enterprise income tax incentives (15% rate) and benefit from the advanced manufacturing VAT additional deduction policy. Additionally, the company received VAT reductions for employing demobilized soldiers and key groups, and a VAT immediate refund policy for software products - The Company and its subsidiaries Hangzhou Shibao Auto Steering Gear Co., Ltd., Hangzhou New Shibao Electric Steering System Co., Ltd., Beijing Autonic Technology Co., Ltd., and Wuhu Sterry Steering System Co., Ltd. are all recognized as high-tech enterprises, enjoying a reduced Enterprise Income Tax rate of **15%** for 2023-2025[12](index=12&type=chunk) - The company and several subsidiaries enjoy a **5%** additional VAT deduction policy for advanced manufacturing enterprises, effective from January 1, 2023, to December 31, 2027[12](index=12&type=chunk) - Hangzhou Shibao Auto Steering Gear Co., Ltd., a subsidiary, received a VAT reduction of **RMB 58,500.00** for employing self-employed demobilized soldiers[13](index=13&type=chunk) - Beijing Autonic Technology Co., Ltd., a subsidiary, enjoys a VAT immediate refund policy for self-developed and produced software products, where the actual VAT burden exceeds **3%**[13](index=13&type=chunk) [IV. Notes to Consolidated Financial Statement Items](index=8&type=section&id=IV%E3%80%81%E5%90%88%E4%BD%B5%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%A0%85%E7%9B%AE%E6%B3%A8%E9%87%8B) This section provides detailed notes on key items in the consolidated financial statements, including accounts receivable, various borrowings, operating revenue and costs, financial expenses, income tax expenses, earnings per share, and other significant matters, offering deeper financial disclosure [Accounts Receivable](index=8&type=section&id=%E6%87%89%E6%94%B6%E8%B3%87%E6%AC%BE) As of June 30, 2024, the company's total accounts receivable amounted to RMB 884,046,309.82, with the highest proportion being within 1 year, and a bad debt provision of RMB 32,171,934.35 [Aging Analysis](index=8&type=section&id=%E8%B3%AC%E9%BD%A1%E6%83%85%E6%B3%81) Aging Distribution of Accounts Receivable | Aging | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Within 1 year | 831,834,100.06 | 708,412,987.42 | | 1-2 years | 16,729,823.37 | 8,706,884.90 | | 2-3 years | 6,483,525.04 | 2,122,197.40 | | Over 3 years | 28,998,861.35 | 29,834,084.97 | | Total | 884,046,309.82 | 749,076,154.69 | - The company generally grants customers a credit period of **90-180 days**, with new customers typically required to prepay for goods[15](index=15&type=chunk) [Provision for Bad Debts](index=8&type=section&id=%E5%A3%9E%E5%B8%B3%E6%BA%96%E5%82%99%E8%A8%88%E6%8F%90%E6%83%85%E6%B3%81) Provision for Bad Debts | Type | Book Balance as of June 30, 2024 (RMB) | Bad Debt Provision (RMB) | Provision Rate (%) | | :--- | :--- | :--- | :--- | | Individually Assessed Bad Debt Provision | 25,896,048.42 | 25,896,048.42 | 100.00 | | Collectively Assessed Bad Debt Provision | 858,150,261.40 | 6,275,885.93 | 0.73 | | Total | 884,046,309.82 | 32,171,934.35 | 3.64 | [Short-term Borrowings](index=9&type=section&id=%E7%9F%AD%E6%9C%9F%E5%80%9F%E6%AC%BE) As of June 30, 2024, the company's total short-term borrowings amounted to RMB 11,009,342.47, a significant decrease from RMB 147,820,497.81 at the end of 2023, primarily consisting of guaranteed borrowings Details of Short-term Borrowings | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Guaranteed Borrowings | 11,009,342.47 | 68,068,000.00 | | Credit Borrowings | - | 35,014,006.14 | | Mortgage Borrowings | - | 44,738,491.67 | | Total | 11,009,342.47 | 147,820,497.81 | - The guaranteed borrowing with a principal of **RMB 11 million** in the period-end balance is guaranteed by Zhang Shiquan[17](index=17&type=chunk) [Accounts Payable](index=9&type=section&id=%E6%87%89%E4%BB%98%E8%B3%87%E6%AC%BE) As of June 30, 2024, the company's total accounts payable amounted to RMB 649,855,177.83, largely consistent with the end of 2023, with the highest proportion being within 1 year Aging Distribution of Accounts Payable | Aging | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Within 1 year | 622,354,205.97 | 624,256,741.61 | | 1-2 years | 11,217,469.83 | 15,349,059.78 | | 2-3 years | 3,284,307.63 | 4,447,245.72 | | Over 3 years | 12,999,194.40 | 8,411,198.67 | | Total | 649,855,177.83 | 652,464,245.78 | [Long-term Borrowings](index=9&type=section&id=%E9%95%B7%E6%9C%9F%E5%80%9F%E6%AC%BE) As of June 30, 2024, the company had no outstanding long-term borrowings, a significant decrease from RMB 34,836,594.99 at the end of 2023, indicating an optimized debt structure [Details](index=9&type=section&id=%E6%98%8E%E7%B4%B0%E6%83%85%E6%B3%81) Details of Long-term Borrowings | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Guaranteed Borrowings | - | 34,836,594.99 | | Total | - | 34,836,594.99 | [Maturity Analysis of Long-term Borrowings](index=9&type=section&id=%E9%95%B7%E6%9C%9F%E5%80%9F%E6%AC%BE%E5%88%B0%E6%9C%9F%E6%97%A5%E5%88%86%E6%9E%90) Maturity Analysis of Long-term Borrowings | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Current or within 1 year | - | 25,084,088.74 | | 1-2 years | - | 34,836,594.99 | | Subtotal | - | 59,920,683.73 | | Of which: Long-term borrowings due within 1 year | - | 25,084,088.74 | | Long-term borrowings due after 1 year | - | 34,836,594.99 | [Operating Revenue/Operating Costs](index=9&type=section&id=%E7%87%9F%E6%A5%AD%E6%94%B6%E5%85%A5%2F%E7%87%9F%E6%A5%AD%E6%88%90%E6%9C%AC) During the reporting period, both the company's operating revenue and operating costs achieved significant growth, with a high proportion of main business revenue, fulfilling performance obligations by selling automotive steering gears and accessories with 90-180 day credit terms [Details](index=9&type=section&id=%E6%98%8E%E7%B4%B0%E6%83%85%E6%B3%81) Details of Operating Revenue/Operating Costs | Item | Jan-Jun 2024 Revenue (RMB) | Jan-Jun 2024 Costs (RMB) | Jan-Jun 2023 Revenue (RMB) | Jan-Jun 2023 Costs (RMB) | | :--- | :--- | :--- | :--- | :--- | | Main Business | 1,094,383,091.09 | 896,005,355.79 | 690,871,908.27 | 581,007,543.67 | | Other Businesses | 31,977,884.79 | 7,541,021.04 | 37,076,029.97 | 8,136,084.91 | | Total | 1,126,360,975.88 | 903,546,376.83 | 727,947,938.24 | 589,143,628.58 | [Performance Obligations](index=10&type=section&id=%E5%B1%A5%E7%B4%84%E7%BE%A9%E5%8B%99) - The company, as the principal, sells automotive steering gears and accessories to customers, fulfilling its performance obligations upon product delivery[22](index=22&type=chunk) - Contract prices are granted a credit period of **90-180 days**, with no significant financing components or variable consideration[22](index=22&type=chunk) [Revenue from Contract Liabilities at Beginning of Period](index=10&type=section&id=%E5%90%88%E5%90%8C%E8%B2%A0%E5%82%B5%E6%9C%9F%E5%88%9D%E5%B8%B3%E9%9D%A2%E5%83%B9%E5%80%BC%E4%B8%AD%E7%9A%84%E6%94%B6%E5%85%A5) - Revenue recognized in the current period, included in the book value of contract liabilities at the beginning of the period, amounted to **RMB 8,633,243.54**[22](index=22&type=chunk) [Financial Expenses](index=10&type=section&id=%E8%B2%A1%E5%8B%99%E8%B2%BB%E7%94%A8) During the reporting period, the company's financial expenses significantly decreased by 79.96%, primarily due to reduced interest expenses and increased interest income, while accounts receivable financing discount losses were reported under financial expenses Details of Financial Expenses | Item | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | | :--- | :--- | :--- | | Interest Expense | 3,106,646.99 | 4,161,570.62 | | Interest Income | -2,904,013.97 | -946,080.27 | | Exchange Gains and Losses | 30,236.59 | -313,480.53 | | Other | 379,801.78 | 154,798.76 | | Total | 612,671.39 | 3,056,808.58 | - Accounts receivable financing discount losses of **RMB 380,755.41** were reported under "Financial Expenses" in the current period, and comparative data for the prior year was adjusted accordingly[23](index=23&type=chunk) [Income Tax Expense](index=10&type=section&id=%E6%89%80%E5%BE%97%E7%A8%85%E8%B2%BB%E7%94%A8) During the reporting period, the company's income tax expense was negative, primarily due to an increase in deferred income tax expense, reflecting the impact of deductible temporary differences Details of Income Tax Expense | Item | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | | :--- | :--- | :--- | | Deferred Income Tax Expense | -3,086,485.99 | -783,999.06 | | Total | -3,086,485.99 | -783,999.06 | - During the reporting period, neither the company nor its subsidiaries generated or derived profits in Hong Kong, thus no Hong Kong profits tax was payable[24](index=24&type=chunk) [Earnings Per Share](index=11&type=section&id=%E6%AF%8F%E8%82%A1%E6%94%B6%E7%9B%8A) During the reporting period, both the company's basic and diluted earnings per share were RMB 0.0830/share, a significant increase from RMB 0.0251/share in the prior corresponding period, reflecting a substantial improvement in net profit Earnings Per Share Calculation | Item | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | | :--- | :--- | :--- | | Net Profit Attributable to Ordinary Shareholders of the Company | 66,887,755.99 | 19,837,169.51 | | Weighted Average Number of Ordinary Shares Outstanding | 806,138,510 | 789,644,637.00 | | Basic Earnings Per Share (RMB/share) | 0.0830 | 0.0251 | | Diluted Earnings Per Share (RMB/share) | 0.0830 | 0.0251 | - During the current period, the company had no dilutive potential ordinary shares[25](index=25&type=chunk) [Other Matters](index=11&type=section&id=%E5%85%B6%E4%BB%96%E4%BA%8B%E9%A0%85) This section discloses that the company does not require detailed segment reporting, provides depreciation and amortization expenses, non-recurring gains and losses, net current assets, significant commitments, and post-balance sheet events, offering supplementary information on the company's operations and financial position [Segment Reporting - Operating Segments](index=11&type=section&id=%E5%88%86%E9%83%A8%E5%A0%B1%E5%91%8A%20-%20%E7%B6%93%E7%87%9F%E5%88%86%E9%83%A8) - The operations and assets of the company and its subsidiaries are all related to automotive steering systems and accessories, concentrated domestically, with **94.82%** of operating revenue derived from domestic sales, thus no more detailed segment information is required[26](index=26&type=chunk) [Depreciation and Amortization Expenses](index=11&type=section&id=%E6%8A%98%E8%88%8A%E5%8F%8A%E6%攤%E9%8A%B7%E8%B2%BB%E7%94%A8) Depreciation and Amortization Expenses | Item | Jan-Jun 2024 (RMB) | Jan-Jun 2023 (RMB) | | :--- | :--- | :--- | | Depreciation of fixed assets, depletion of oil and gas assets, depreciation of productive biological assets | 44,128,391.80 | 42,218,939.25 | | Amortization of intangible assets | 2,346,599.60 | 2,047,579.31 | | Total | 46,474,991.40 | 44,266,518.56 | [Non-recurring Gains and Losses Items and Amounts](index=12&type=section&id=%E9%9D%9E%E7%B6%93%E5%B8%B8%E6%80%A7%E6%90%8D%E7%9B%8A%E9%A0%85%E7%9B%AE%E5%8F%8A%E9%87%91%E9%A1%8D) Net Non-recurring Gains and Losses Attributable to Parent Company Owners | Item | Amount (RMB) | | :--- | :--- | | Gains or losses on disposal of non-current assets | -1,909,788.36 | | Government grants recognized in current profit or loss | 2,645,763.42 | | Gains or losses from changes in fair value and disposal of financial assets and liabilities | 1,177,184.76 | | Reversal of impairment provisions for accounts receivable subject to individual impairment testing | 231,246.46 | | Other non-operating income and expenses apart from the above | 196,649.87 | | Net Non-recurring Gains and Losses Attributable to Parent Company Owners | 2,890,307.13 | [Net Current Assets and Total Assets Less Current Liabilities](index=12&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E7%94%A2%E6%B7%A8%E5%80%BC%E5%8F%8A%E7%B8%BD%E8%B3%87%E7%94%A2%E6%B8%9B%E6%B5%81%E5%8B%95%E8%B2%A0%E5%82%B5) Net Current Assets and Total Assets Less Current Liabilities | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Net Current Assets | 948,915,537.13 | 558,924,559.83 | | Total Assets Less Current Liabilities | 1,910,825,201.76 | 1,527,444,754.65 | [Significant Commitments](index=12&type=section&id=%E9%87%8D%E5%A4%A7%E6%89%BF%E8%AB%BE%E4%BA%8B%E9%A0%85) Significant Asset Acquisition Contracts Signed but Not Yet Recognized | Item | June 30, 2024 (RMB) | December 31, 2023 (RMB) | | :--- | :--- | :--- | | Significant asset acquisition contracts signed but not yet recognized | 106,644,551.67 | 68,354,203.08 | [Post-Balance Sheet Events](index=12&type=section&id=%E6%9C%9F%E5%BE%8C%E4%BA%8B%E9%A0%85) - As of the date of this announcement, there are no post-balance sheet events[32](index=32&type=chunk) [V. Interim Dividend](index=13&type=section&id=V%E3%80%81%E4%B8%AD%E6%9C%9F%E8%82%A1%E6%81%AF) The company plans not to declare an interim dividend for the six months ended June 30, 2024, consistent with the prior corresponding period - The company plans not to declare an interim dividend for the six months ended June 30, 2024 (June 30, 2023: nil)[33](index=33&type=chunk) [VI. Management Discussion and Analysis](index=13&type=section&id=VI%E3%80%81%E7%B6%93%E7%87%9F%E6%83%85%E6%B3%81%E8%A8%8E%E8%AB%96%E8%88%87%E5%88%86%E6%9E%90) This section provides an in-depth analysis of the overall performance of China's automotive industry and discusses the company's operating results, asset and liability status, significant acquisitions and disposals, foreign currency risks, and contingent liabilities, comprehensively presenting the company's operational dynamics and financial health during the reporting period [Review of China's Automotive Industry](index=13&type=section&id=%E4%B8%AD%E5%9C%8B%E6%B1%BD%E8%BB%8A%E8%A1%8C%E6%A5%AD%E5%9B%9E%E9%A1%A7) From January to June 2024, China's automotive production and sales increased year-on-year, with new energy vehicles and Chinese brand passenger vehicles performing exceptionally well, providing a favorable market environment for the company's electrified and intelligent steering system products China Automotive Industry Production and Sales Data, Jan-Jun 2024 | Item | Production (ten thousand units) | Sales (ten thousand units) | YoY Growth (Production) | YoY Growth (Sales) | | :--- | :--- | :--- | :--- | :--- | | Overall Automotive | 1,389.10 | 1,404.70 | 4.90% | 6.10% | | Passenger Vehicles | 1,188.60 | 1,197.90 | 5.40% | 6.30% | | Commercial Vehicles | 200.50 | 206.80 | 2.00% | 4.90% | | New Energy Vehicles | 492.90 | 494.40 | 30.10% | 32.00% | - Sales of Chinese brand passenger vehicles reached **7.419 million units**, a year-on-year increase of **23.90%**, with continuous market share growth[34](index=34&type=chunk) [Analysis of Main Business Operations](index=13&type=section&id=%E4%B8%BB%E7%87%9F%E6%A5%AD%E5%8B%99%E5%88%86%E6%9E%90) During the reporting period, the company's main business benefited from the trend of automotive electrification and intelligence, with operating revenue increasing by 54.73% year-on-year and net profit attributable to parent company owners increasing by 237.18%, alongside improved gross profit margin, reduced expense ratios, and significantly better cash flow [Overview](index=13&type=section&id=%E6%A6%82%E8%BF%B0) - The company's sales of electrified and intelligent steering system products grew significantly, achieving operating revenue of **RMB 1,126,360,975.88**, a year-on-year increase of **54.73%**[35](index=35&type=chunk) - The gross profit margin for the main business was **18.13%** (prior corresponding period: 15.90%), an increase of **2.23 percentage points**, mainly due to expanded product sales and improved production costs[35](index=35&type=chunk) - Selling expenses increased by **22.31%** year-on-year, but their proportion to operating revenue decreased by **0.52 percentage points** to **1.95%**[35](index=35&type=chunk) - Administrative expenses increased by **35.20%** year-on-year, but their proportion to operating revenue decreased by **0.79 percentage points** to **5.50%**[36](index=36&type=chunk) - R&D expenses increased by **28.21%** year-on-year, with their proportion to operating revenue decreasing by **1.18 percentage points** to **5.72%**, primarily invested in core technological areas such as steering electrification, intelligence, and automation[36](index=36&type=chunk) - Financial expenses decreased by **79.96%** year-on-year, mainly due to reduced interest expenses and increased interest income[36](index=36&type=chunk) - Net profit attributable to shareholders of the listed company was **RMB 66,887,755.99**, a year-on-year increase of **237.18%**[36](index=36&type=chunk) - Net cash flow from operating activities was **RMB 15,607,460.23**, a year-on-year increase of **125.21%**, primarily due to increased cash received from product sales[36](index=36&type=chunk) - Net cash flow from financing activities increased by **603.52%** year-on-year, mainly due to the proceeds from shares issued to specific investors received in the current period[36](index=36&type=chunk) [Composition of Operating Revenue](index=15&type=section&id=%E7%87%9F%E6%A5%AD%E6%94%B6%E5%85%A5%E6%A7%8B%E6%88%90) Composition of Operating Revenue | Item | Jan-Jun 2024 Amount (RMB) | Proportion of Operating Revenue | Jan-Jun 2023 Amount (RMB) | Proportion of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 1,126,360,975.88 | 100% | 727,947,938.24 | 100% | 54.73% | | **By Industry** | | | | | | | Automotive Parts and Accessories Manufacturing | 1,094,383,091.09 | 97.16% | 690,871,908.27 | 94.91% | 58.41% | | Other | 31,977,884.79 | 2.84% | 37,076,029.97 | 5.09% | -13.75% | | **By Product** | | | | | | | Steering Systems and Components | 1,051,178,321.64 | 93.33% | 660,865,069.26 | 90.79% | 59.06% | | Accessories and Other | 43,204,769.45 | 3.83% | 30,006,839.01 | 4.12% | 43.98% | | Other | 31,977,884.79 | 2.84% | 37,076,029.97 | 5.09% | -13.75% | | **By Region** | | | | | | | Mainland China | 1,068,057,380.88 | 94.82% | 678,107,444.44 | 93.15% | 57.51% | | Outside Mainland China | 58,303,595.00 | 5.18% | 49,840,493.80 | 6.85% | 16.98% | [Industry and Product Information Accounting for Over 10% of the Company's Operating Revenue or Operating Profit](index=15&type=section&id=%E4%BD%94%E5%85%AC%E5%8F%B8%E7%87%9F%E6%A5%AD%E6%94%B6%E5%85%A5%E6%88%96%E7%87%9F%E6%A5%AD%E5%88%A9%E6%BD%A410%25%E4%BB%A5%E4%B8%8A%E7%9A%84%E8%A1%8C%E6%A5%AD%E3%80%81%E7%94%A2%E5%93%81%E6%83%85%E6%B3%81) Operating Performance by Main Industry, Product, and Region | Item | Operating Revenue (RMB) | Operating Costs (RMB) | Gross Profit Margin | YoY Change in Operating Revenue | YoY Change in Operating Costs | YoY Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **By Industry** | | | | | | | | Automotive Parts and Accessories Manufacturing | 1,094,383,091.09 | 896,005,355.79 | 18.13% | 58.41% | 54.22% | 2.23% | | **By Product** | | | | | | | | Steering Systems and Components | 1,051,178,321.64 | 865,214,400.29 | 17.69% | 59.06% | 55.15% | 2.07% | | **By Region** | | | | | | | | Mainland China | 1,068,057,380.88 | 876,334,409.81 | 17.95% | 57.51% | 55.38% | 1.12% | [Analysis of Assets and Liabilities](index=16&type=section&id=%E8%B3%87%E7%94%A2%E5%8F%8A%E8%B2%A0%E5%82%B5%E7%8B%80%E6%B3%81%E5%88%86%E6%9E%90) At the end of the reporting period, the company's asset composition remained stable, with an increase in the proportion of monetary funds, financial assets held for trading, and accounts receivable to total assets; total loans and borrowings significantly decreased, and the capital-to-debt ratio turned negative, indicating a substantial reduction in financial leverage and a healthy capital structure [Significant Changes in Asset Composition](index=16&type=section&id=%E8%B3%87%E7%94%A2%E6%A7%8B%E6%88%90%E9%87%8D%E5%A4%A7%E8%AE%8A%E5%8B%95%E6%83%85%E6%B3%81) Changes in Asset Composition | Item | June 30, 2024 Amount (RMB) | Proportion of Total Assets | December 31, 2023 Amount (RMB) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 234,924,473.35 | 8.49% | 158,481,484.94 | 5.98% | 2.51% | | Financial Assets Held for Trading | 152,710,470.24 | 5.52% | 110,253,432.83 | 4.16% | 1.36% | | Accounts Receivable | 851,874,375.47 | 30.79% | 717,577,606.43 | 27.07% | 3.72% | | Inventories | 484,119,674.51 | 17.50% | 478,208,228.06 | 18.04% | -0.54% | | Investment Properties | 179,342,487.15 | 6.48% | 181,278,705.33 | 6.84% | -0.36% | | Fixed Assets | 654,142,565.83 | 23.64% | 682,550,682.51 | 25.75% | -2.11% | | Accounts Payable | 649,855,177.83 | 23.49% | 652,464,245.78 | 24.61% | -1.12% | - At the end of the reporting period, there were no significant changes in the company's asset composition, but the proportion of monetary funds, financial assets held for trading, and accounts receivable to total assets increased[41](index=41&type=chunk) [Assets and Liabilities Measured at Fair Value](index=16&type=section&id=%E4%BB%A5%E5%85%AC%E5%85%81%E5%83%B9%E5%80%BC%E8%A8%88%E9%87%8F%E7%9A%84%E8%B3%87%E7%94%A2%E5%92%8C%E8%B2%A0%E5%82%B5) Financial Assets Measured at Fair Value | Item | Beginning Balance (RMB) | Fair Value Change Gains/Losses for the Period (RMB) | Ending Balance (RMB) | | :--- | :--- | :--- | :--- | | Financial Assets Held for Trading | 2,843,387.88 | -132,917.64 | 2,710,470.24 | | Bank Short-term Wealth Management Products | 107,410,044.95 | - | 150,000,000.00 | | Accounts Receivable Financing | 199,966,034.43 | - | 64,178,065.25 | | Subtotal of Financial Assets | 310,219,467.26 | -132,917.64 | 216,888,535.49 | [Asset Rights Restrictions as of the End of the Reporting Period](index=17&type=section&id=%E6%88%AA%E8%87%B3%E5%A0%B1%E5%91%8A%E6%9C%9F%E6%9C%AB%E7%9A%84%E8%B3%87%E7%94%A2%E6%AC%8A%E5%88%A9%E5%8F%97%E9%99%90%E6%83%85%E6%B3%81) Assets with Restricted Ownership or Use Rights | Item | Period-end Book Value (RMB) | Reason for Restriction | | :--- | :--- | :--- | | Monetary Funds | 1,247.78 | Long-dormant Account Deposits | | Monetary Funds | 15,000.00 | ETC Frozen Funds | | Monetary Funds | 22,996,676.45 | Bill Pool Margin | | Accounts Receivable Financing | 2,322,155.69 | Bill Pool Pledge | | Fixed Assets | 41,865,724.14 | Borrowing and Comprehensive Credit Mortgage | | Intangible Assets | 19,493,046.27 | Borrowing and Comprehensive Credit Mortgage | | Total | 86,693,850.33 | | [Financial Resources and Capital Structure](index=17&type=section&id=%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90%E5%8F%8A%E8%B3%87%E6%9C%AC%E7%B5%90%E6%A7%8B) - At the end of the reporting period, the company's total loans and borrowings amounted to **RMB 11,000,000.00**, a decrease of **RMB 196,540,000.00** from the beginning of the year, mainly due to reductions in guaranteed borrowings, mortgage borrowings, and credit borrowings[44](index=44&type=chunk) - The company's capital-to-debt ratio was **-11.98%** (December 31, 2023: 5.69%), indicating a significant reduction in the company's financial leverage[44](index=44&type=chunk) [Significant Acquisitions and Disposals](index=17&type=section&id=%E9%87%8D%E5%A4%A7%E6%94%B6%E8%B3%BC%E5%8F%8A%E5%87%BA%E5%94%AE) During the review period, the Group had no significant acquisitions or disposals of subsidiaries and associates - During the review period, the Group had no significant acquisitions or disposals of subsidiaries and associates[45](index=45&type=chunk) [Foreign Currency Risk](index=17&type=section&id=%E5%A4%96%E5%B9%A3%E9%A2%A8%E9%9A%AA) The Group's sales and purchases are primarily denominated in RMB, thus it is not exposed to significant foreign currency risk and has not entered into any hedging arrangements - The Group's sales and purchases are primarily denominated in RMB, with no significant foreign currency risk exposure[46](index=46&type=chunk) - The Group has not entered into any hedging arrangements[46](index=46&type=chunk) [Contingent Liabilities](index=17&type=section&id=%E6%88%96%E7%84%B6%E8%B2%A0%E5%82%B5) As of the end of the reporting period, the Group had no significant contingent liabilities - As of the end of the reporting period, the Group had no significant contingent liabilities[47](index=47&type=chunk) [VII. Future Outlook](index=18&type=section&id=VII%E3%80%81%E6%9C%AA%E4%BE%86%E5%B1%95%E6%9C%9B) The company anticipates the automotive market will benefit from favorable policies in the second half of the year and will continue to focus on its core business, promoting the marketization of electrified and intelligent automotive steering system products to support advanced autonomous driving and localization of components, thereby maintaining its competitive advantage - From January to June 2024, the automotive industry experienced overall growth, with new energy vehicle production and sales maintaining rapid growth, and Chinese brand passenger vehicles exceeding **60%** market share, driving significant sales growth for the company's electrified and intelligent steering system products[48](index=48&type=chunk) - The company's independently developed Rack-Assist Electric Power Steering (R-EPS) system has achieved mass production[48](index=48&type=chunk) - In the second half of the year, favorable policies such as trade-in programs and new energy vehicles going to rural areas will further unleash the consumption potential of the automotive market[48](index=48&type=chunk) - The company will continue to focus on its main business, promoting the marketization of electrified and intelligent automotive steering system products to support advanced autonomous driving and localization of automotive components[48](index=48&type=chunk) [VIII. Corporate Governance](index=18&type=section&id=VIII%E3%80%81%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB) During the reporting period, the company generally complied with the HKEX Corporate Governance Code, with a deviation from Rule C.1.8 regarding directors' liability insurance, which the Board will review periodically - The company complied with most provisions of Appendix C1 'Corporate Governance Code' of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[49](index=49&type=chunk) - Deviation from Code Provision C.1.8: no liability insurance was purchased for directors and senior officers due to the company's stable financial position and sound internal control system[49](index=49&type=chunk) - The Board will review the need for insurance coverage from time to time[49](index=49&type=chunk) [IX. Purchase, Sale or Redemption of the Company's Listed Securities](index=18&type=section&id=IX%E3%80%81%E8%B3%BC%E8%B2%B7%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E6%9C%AC%E5%85%AC%E5%8F%B8%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) During the review period, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities - During the review period, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities[50](index=50&type=chunk)

1、本次股东会无否决提案的情形。 证券代码：002703 证券简称：浙江世宝 公告编码：2024-050 浙江世宝股份有限公司 2024 年第二次临时股东会决议公告 本公司及董事会全体成员保证公告内容真实、准确和完整，没有虚假记载、 误导性陈述或者重大遗漏。 特别提示： 2、本次股东会未涉及变更以往股东会已通过的决议。 3、召开本次股东会的通知于 2024 年 7 月 1 日刊登在《证券时报》、巨潮资 讯网（www.cninfo.com.cn）。 一、会议召开和出席情况 1、会议召开情况 浙江世宝股份有限公司（以下简称"公司"）2024 年第二次临时股东会（以 下简称"本次股东会"）以现场会议和网络投票相结合的方式召开。 现场会议于 2024 年 7 月 24 日 14:00 在浙江省杭州市经济技术开发区 17 号 大街 6 号办公大楼三楼会议室以记名投票表决方式召开。 网络投票:通过深圳证券交易所交易系统进行网络投票的时间为 2024 年 7 月 24 日的交易时间，即 9:15—9:25，9:30—11:30 和 13:00—15:00；通过深圳 证券交易所互联网投票系统投票的时间为 2024 年 7 月 ...

证券代码：002703 证券简称：浙江世宝 公告编码：2024-047 浙江世宝股份有限公司 关于修订《公司章程》及相关附件的公告 本公司及董事会全体成员保证公告内容真实、准确和完整，没有虚假记载、 误导性陈述或者重大遗漏。 《浙江世宝股份有限公司章程及相关附件主要内容修订对照表》已于同日在 巨潮资讯网(http://www.cninfo.com.cn)上披露，敬请广大投资者查阅。 三、备查文件 公司第八届董事会书面议案决议。 特此公告。 浙江世宝股份有限公司董事会 2024 年 7 月 1 日 1 浙江世宝股份有限公司（以下简称"浙江世宝"或"公司"）第八届董事会 于 2024 年 6 月 28 日以书面议案的方式形成决议，审议并通过了《修订〈浙江世 宝股份有限公司章程〉及相关附件的议案》，具体情况如下： 一、修订《公司章程》及相关附件的说明 根据《上市公司章程指引（2023 年修订）》、《上市公司证券发行注册管理办 法》、《上市公司监管指引第 3 号——上市公司现金分红》、《香港联合交易所有 限公司证券上市规则》等规定，公司拟对现行《浙江世宝股份有限公司章程》（以 下简称"《公司章程》"）相应条款进行修订 ...

证券代码：002703 证券简称：浙江世宝 公告编码：2024-043 浙江世宝股份有限公司 上述董事、监事的简历见公司于 2024 年 5 月 21 日在巨潮资讯网 （http://www.cninfo.com.cn）发布的《关于董事会换届选举的公告》、《关于监 事会换届选举的公告》。 特此公告。 浙江世宝股份有限公司董事会 2024 年 6 月 18 日 1 关于任命董事及监事的公告 本公司及董事会全体成员保证公告内容真实、准确和完整，没有虚假记载、 误导性陈述或者重大遗漏。 浙江世宝股份有限公司（以下简称"本公司"）于 2024 年 6 月 17 日召开的 公司 2023 年年度股东会上审议通过了《选举浙江世宝第八届董事会非独立董事 的议案》、《选举浙江世宝第八届董事会独立董事的议案》及《选举浙江世宝第八 届监事会监事的议案》的议案。 根据上述股东会决议，浙江世宝第八届董事会成员为：张世权、张宝义、汤 浩瀚、张兰君、周裕、张世忠、闵海涛（独立董事）、龚俊杰（独立董事）、徐晋 诚（独立董事）。董事任期三年，自 2024 年 6 月 17 日起至 2027 年 6 月 17 日止。 公司董事会中兼任公司高级 ...

证券代码：002703 证券简称：浙江世宝 公告编码：2024-040 浙江世宝股份有限公司 2023 年年度股东会、2024 年第二次 A 股类别股东会 及 2024 年第二次 H 股类别股东会决议公告 本公司及董事会全体成员保证公告内容真实、准确和完整，没有虚假记载、 误导性陈述或者重大遗漏。 特别提示： 1、本次会议存在否决提案的情形：《修订公司〈章程〉的议案》《关于提请 股东会授权董事会以简易程序向特定对象发行股票的议案》未获得 2024 年第二 次 H 股类别股东会议审议通过。相关议案虽经 2023 年年度股东大会审议通过但 未生效。 2、本次年度股东会、A 股类别股东会及 H 股类别股东会未涉及变更以往股 东会已通过的决议。 浙江世宝股份有限公司（以下简称"公司"）2023 年年度股东会（以下简 称"本次年度股东会"）、2024 年第二次 A 股类别股东会（以下简称"本次 A 股 类别股东会"）以现场会议和网络投票相结合的方式召开。2024 年第二次 H 股 类别股东会（以下简称"本次 H 股类别股东会"）以现场会议的方式召开。 现场会议于 2024 年 6 月 17 日 14:00 在浙江省杭州 ...

声明人徐晋诚，作为浙江世宝股份有限公司 8届董事会独立董事候选人，现公开声明和保证，本人与该公司之间 一、本人已经通过浙江世宝股份有限公司股份有限公司第8届董事会提名委员会或者独立董事专门会议资格审查，提名 十八、本人及本人直系亲属不是直接或间接持有该公司已发行股份1%以上的股东，也不是该上市公司前十名股东中自然 浙江世宝股份有限公司 独立董事候选人声明与承诺 不存在任何影响本人独立性的关系，且符合相关法律、行政法规、部门规章、规范性文件和深圳证券交易所业务规则对 独立董事候选人任职资格及独立性的要求，具体声明并承诺如下事项： 人与本人不存在利害关系或者其他可能影响独立履职情形的密切关系。 √ 是 □ 否 二、本人不存在《中华人民共和国公司法》第一百四十六条等规定不得担任公司董事的情形。 √ 是 □ 否 三、本人符合中国证监会《上市公司独立董事管理办法》和深圳证券交易所业务规则规定的独立董事任职资格和条件。 √ 是 □ 否 四、本人符合该公司章程规定的独立董事任职条件。 √ 是 □ 否 五、本人已经参加培训并取得证券交易所认可的相关培训证明材料（如有）。 √ 是 □ 否 六、本人担任独立董事不会违反《中华人民 ...

浙江世宝股份有限公司 关于修订《公司章程》及三会议事规则的公告 本公司及董事会全体成员保证公告内容真实、准确和完整，没有虚假记载、 误导性陈述或者重大遗漏。 证券代码：002703 证券简称：浙江世宝 公告编码：2024-037 浙江世宝股份有限公司（以下简称"公司"）于 2024 年 5 月 17 日召开第七 届董事会第二十次会议，审议并通过了《修订公司〈章程〉的议案》、《修订〈股 东大会议事规则〉的议案》、《修订〈董事会议事规则〉的议案》，及召开第七届 监事会第十八次会议，审议并通过了《修订〈监事会议事规则〉的议案》，具体 情况如下： 一、修订《公司章程》的说明 根据现行有效《境内企业境外发行证券和上市管理试行办法》及相关指引、 《上市公司章程指引（2023 年修订）》、《上市公司证券发行注册管理办法》、《上 市公司监管指引第 3 号——上市公司现金分红》、《香港联合交易所有限公司证 券上市规则》等规定，公司拟对现行《浙江世宝股份有限公司章程》（以下简称 "《公司章程》"）相应条款进行修订。 上述事项尚须提交公司 2023 年年度股东大会、2024 年第二次 A 股类别股东 大会、2024 年第二次 H ...