千里科技(601777) - 2025 Q2 - 季度财报

Section I Definitions This section provides definitions of common terms used in the report, including company names, controlling shareholders, actual controllers, and major related parties, ensuring accurate interpretation of the report Definitions of Common Terms This section defines key terms such as the company's full name, controlling shareholder, and reporting period to ensure clarity - The company's full name is Chongqing Qianli Technology Co., Ltd., formerly known as Lifan Technology (Group) Co., Ltd[14] - The controlling shareholder is Chongqing Manjianghong Private Equity Investment Partnership (Limited Partnership), and the actual controller is Chongqing Manjianghong Enterprise Management Co., Ltd[14] - The reporting period refers to January 1, 2025, to June 30, 2025[14] Section II Company Profile and Key Financial Indicators This section outlines the company's basic information, contact details, changes in registration, stock overview, and key financial performance metrics for the reporting period 1. Company Information This section discloses the company's basic registration information, including its Chinese name, abbreviation, foreign name, and legal representative - The company's Chinese name is Chongqing Qianli Technology Co., Ltd., abbreviated as Qianli Technology[12] - The legal representative is Yin Qi[12] 2. Contact Person and Information This section provides contact information for the company's Board Secretary and Securities Affairs Representative for investor communication - The Board Secretary is Xia Yuyang, and the Securities Affairs Representative is Li Xinxin[13] - The contact number is 023-61663050, and the email address is tzzqb@qianli-ai.com[13] 3. Overview of Basic Information Changes This section details changes in the company's registered and office addresses, as well as its website and email address - The company's registered address changed to No. 2 Huanghuan North Road, Jinshan Avenue, Liangjiang New Area, Chongqing on January 24, 2019[15] - The company's office address is No. 16 Fengqi Road, Caijiagang Town, Beibei District, Chongqing, and its website is www.qianli-ai.com[15](index=15&type=chunk) 4. Overview of Information Disclosure and Document Storage Location Changes This section specifies the company's designated newspapers and website for information disclosure, along with the location for storing semi-annual reports - The company's designated newspapers for information disclosure include "Shanghai Securities News," "China Securities Journal," "Securities Times," and "Securities Daily"[16] - The website address for publishing the semi-annual report is www.sse.com.cn[16](index=16&type=chunk) 5. Company Stock Overview This section provides the company's stock listing information, including stock type, exchange, ticker symbol, and previous ticker symbol - The company's A-shares are listed on the Shanghai Stock Exchange, with the ticker symbol "Qianli Technology" and stock code "601777"; the previous ticker symbol was "Lifan Technology"[17] 7. Key Accounting Data and Financial Indicators During the reporting period, the company's operating revenue increased by 40.04% year-on-year, total profit turned from loss to gain, and net cash flow from operating activities surged by 396.29%; however, net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 903.91% due to increased R&D investment and asset impairment losses Key Accounting Data (Jan-Jun 2025 vs Jan-Jun 2024) | Indicator | Current Reporting Period (CNY) | Prior Year Period (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 4,184,038,792.26 | 2,987,814,509.50 | 40.04 | | Total Profit | 57,295,416.36 | -130,148,167.86 | Not Applicable | | Net Profit Attributable to Shareholders | 31,170,783.19 | 26,193,818.95 | 19.00 | | Net Profit Attributable to Shareholders After Non-Recurring Items | -133,503,319.49 | 16,606,837.69 | -903.91 | | Net Cash Flow from Operating Activities | 1,314,967,285.61 | 264,962,015.94 | 396.29 | | Net Assets Attributable to Shareholders (Period-end) | 10,553,937,457.06 | 10,511,329,437.11 | 0.41 | | Total Assets (Period-end) | 22,396,283,301.07 | 21,713,662,266.54 | 3.14 | Key Financial Indicators (Jan-Jun 2025 vs Jan-Jun 2024) | Indicator | Current Reporting Period | Prior Year Period | YoY Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (CNY/share) | 0.0069 | 0.0057 | 21.05 | | Diluted Earnings Per Share (CNY/share) | 0.0069 | 0.0057 | 21.05 | | Basic EPS After Non-Recurring Items (CNY/share) | -0.0295 | 0.0036 | -919.44 | | Weighted Average Return on Net Assets (%) | 0.30 | 0.25 | Increased by 0.05 percentage points | | Weighted Average RONAE After Non-Recurring Items (%) | -1.27 | 0.16 | Decreased by 1.43 percentage points | - Operating revenue increased by 40.04%, primarily due to increased sales in the automotive and motorcycle businesses[21] - Total profit increased mainly due to an increase in government grants received during the period[21] - Net profit after deducting non-recurring gains and losses decreased by 903.91%, primarily due to increased R&D investment in smart car cockpit operating systems, increased asset impairment losses, and increased deferred income tax expenses[21] - Net cash flow from operating activities increased by 396.29%, mainly due to revenue growth, increased collection of payments, and increased government grants received[21] 9. Non-Recurring Gains and Losses Items and Amounts This section details the non-recurring gains and losses items and their amounts for the reporting period, totaling 164.67 million CNY, with government grants being the main contributor Non-Recurring Gains and Losses Items and Amounts | Non-Recurring Gains and Losses Item | Amount (CNY) | | :--- | :--- | | Gains and losses from disposal of non-current assets | 5,344,347.52 | | Government grants recognized in current profit or loss | 169,760,786.48 | | Reversal of impairment provisions for receivables subject to separate impairment testing | 2,873,286.22 | | Gains and losses from debt restructuring | -873.48 | | Gains and losses from changes in fair value of investment properties | -23,416,700.00 | | Other non-operating income and expenses | -6,972,790.57 | | Gains and losses from disposal of long-term equity investments | 32,122,321.06 | | Less: Income tax impact | 7,676,090.87 | | Impact on minority interests (after tax) | 7,360,183.68 | | Total | 164,674,102.68 | Section III Management Discussion and Analysis This section provides an overview of the company's industry, main business, operational performance, core competitiveness, and other significant disclosures during the reporting period 1. Industry and Main Business Overview for the Reporting Period The company focuses on its "AI+Vehicle" core strategy, establishing an industrial structure with stable terminal business development and technology-driven growth, while both the automotive and motorcycle industries maintain growth, especially in new energy vehicles and motorcycle exports - The company's core strategy is "AI+Vehicle," aiming to build a smart mobility technology brand for the global market[26] - The industrial structure is "stable development of terminal business as foundation, technology business driving growth," with technology business focusing on intelligent assisted driving and smart cockpit technologies, and terminal business deeply cultivating R&D, production, and sales of passenger vehicles (including new energy vehicles) and motorcycles[26] 2025 H1 Automotive Industry Data | Indicator | Sales (10k units) | YoY Growth (%) | Market Penetration Rate (%) | | :--- | :--- | :--- | :--- | | National Automobile Sales | 1,565.3 | 11.4 | - | | New Energy Vehicle Sales | 693.7 | 40.3 | 44+ | | Automobile Export Volume | 308.3 | 10.4 | - | | New Energy Vehicle Exports | 106 | 75.2 | - | - The installation rate of L2 and above intelligent assisted driving functions has reached 77.8% and is expanding to mainstream price segments[27] 2025 H1 Motorcycle Industry Data | Indicator | Sales (10k units) | YoY Growth (%) | | :--- | :--- | :--- | | Total Motorcycle Sales | 1,061.46 | 11.54 | | Domestic Market Sales | 395.35 | - | | Export Sales | 666.11 | 25.44 | - The terminal business's automotive segment focuses on "integrated charging and swapping," while the motorcycle segment prioritizes international expansion as a strategic focus[28] - The technology business launched the "Qianli Smart Drive 1.0" solution, enabling multi-scenario autonomous decision-making and complex interaction functions; it also partnered with ecosystem partners to release a preview version of the Smart Cockpit Agent OS system[28][29] 2. Discussion and Analysis of Operations During the reporting period, the company steadily improved its operational quality by deepening core technologies, expanding global markets, strengthening supply chain collaboration, and enhancing management efficiency, aiming to become a technology, product, and ecosystem leader in the "AI+Vehicle" era - The technology business launched the "Qianli Smart Drive 1.0" intelligent assisted driving solution for L2+, with a minimum standard computing power of 100TOPS and a flagship version equipped with a 700TOPS computing platform[31] - The joint venture Qianli Smart Drive was established and, in collaboration with Geely Auto, launched the "Qianli Haohan" intelligent assisted driving system, which has been integrated into multiple mass-produced vehicle models[31] - A preview version of the Smart Cockpit Agent OS system, natively built on AI Agent, was launched in collaboration with ecosystem partners[31] - The number of first-tier channels for the domestic automotive business significantly increased, and the motorcycle business added multiple new channels in key regions such as Heilongjiang and Hebei[32] - In the international market, the automotive business exceeded targets in European markets like Italy and Spain, and the Ruilan 8 project was launched in Indonesia; the motorcycle business covers 87 countries globally, with new emerging markets added including Brazil, Egypt, Chad, and South Africa[32] - Supply chain localization rate steadily improved, and multiple cost reductions were achieved through company-wide lean improvement activities[33] - Digital transformation was deepened, with the implementation of group-level systems and system iterations, enhancing work efficiency and decision-making scientificity[34] - The company's strategic goal is to become a technology, product, and ecosystem leader in the "AI+Vehicle" era within the technology business sector and expand its smart mobility business[35][36] 3. Analysis of Core Competitiveness During the Reporting Period The company's core competitiveness lies in building a talent stronghold, aggregating industry resources to create an open ecosystem, and deeply integrating its technology and terminal businesses to form a differentiated competitive advantage - The company focuses on key strategic areas such as artificial intelligence, global operations, and advanced manufacturing, attracting experienced management talent and core technical backbone, and increasing independent cultivation of high-end talent[37] - The company adheres to an open and collaborative philosophy, building a multi-win industrial ecosystem and actively forming industry ecosystem alliances to enhance its influence and collaborative value within the industrial ecosystem[38] - The company operates with "dual-wheel drive" of technology and terminal businesses, focusing on core intelligent assisted driving and smart cockpit technologies, building a large model-driven full-stack solution to achieve a closed-loop "perception-decision-execution" process[39] 4. Key Operating Performance During the Reporting Period During the reporting period, the company's operating revenue increased by 40.04% primarily due to higher sales in its automotive and motorcycle businesses, while sales expenses decreased, and management and R&D expenses increased; net cash flow from operating activities significantly grew, investment cash flow decreased, and financing cash flow increased, with notable changes in asset and liability structure, particularly in accounts receivable financing, other non-current assets, and deferred income Financial Statement Related Item Fluctuation Analysis (Jan-Jun 2025 vs Jan-Jun 2024) | Item | Current Period Amount (CNY) | Prior Year Period Amount (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 4,184,038,792.26 | 2,987,814,509.50 | 40.04 | | Operating Cost | 3,837,376,150.61 | 2,734,258,924.75 | 40.34 | | Selling Expenses | 142,897,270.39 | 181,315,496.73 | -21.19 | | Administrative Expenses | 167,163,110.50 | 141,540,509.22 | 18.10 | | Financial Expenses | -100,748,752.96 | -23,767,882.39 | Not Applicable | | R&D Expenses | 287,588,035.92 | 180,113,516.39 | 59.67 | | Net Cash Flow from Operating Activities | 1,314,967,285.61 | 264,962,015.94 | 396.29 | | Net Cash Flow from Investing Activities | -1,245,380,053.38 | 404,796,233.20 | -407.66 | | Net Cash Flow from Financing Activities | 471,799,522.67 | -411,823,249.55 | Not Applicable | | Other Income | 179,289,993.59 | 7,134,225.00 | 2,413.10 | | Investment Income | 273,318,430.55 | 184,846,507.41 | 47.86 | | Fair Value Changes | -23,416,700.00 | - | - | | Credit Impairment Losses | -23,456,718.87 | -7,267,859.15 | Not Applicable | | Asset Impairment Losses | -144,845,609.50 | -39,300,312.69 | Not Applicable | | Asset Disposal Gains | 5,356,611.40 | 723,625.33 | 640.25 | | Non-Operating Income | 2,020,004.21 | 1,540,814.92 | 31.10 | | Non-Operating Expenses | 9,005,058.66 | 3,877,237.35 | 132.25 | | Income Tax Expense | 173,266,464.08 | -21,666,987.75 | Not Applicable | - R&D expenses increased by 59.67%, primarily due to increased R&D investment in new smart car cockpit operating systems[41] - Financial expenses decreased mainly due to increased exchange gains from foreign currency appreciation and reduced interest expenses from lower loan balances[41] - Net cash flow from investing activities decreased primarily because some demand deposits were converted to time deposits to improve fund yields[41] Asset and Liability Status Changes (Period-end vs Prior Year-end) | Item Name | Current Period-end Amount (CNY) | Current Period-end % of Total Assets | Prior Year-end Amount (CNY) | Prior Year-end % of Total Assets | Current Period-end Change vs Prior Year-end (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable Financing | 248,761,333.31 | 1.11 | 24,235,235.08 | 0.11 | 926.44 | | Other Receivables | 184,651,601.17 | 0.82 | 297,068,762.66 | 1.37 | -37.84 | | Other Current Assets | 466,969,207.95 | 2.09 | 312,221,517.80 | 1.44 | 49.56 | | Construction in Progress | 68,330,725.93 | 0.31 | 32,939,674.43 | 0.15 | 107.44 | | Right-of-Use Assets | 369,620.39 | 0.00 | 943,341.64 | 0.00 | -60.82 | | Other Non-Current Assets | 1,232,419,264.31 | 5.50 | 5,647,530.22 | 0.03 | 21,722.27 | | Contract Liabilities | 490,837,211.31 | 2.19 | 243,780,257.36 | 1.12 | 101.34 | | Employee Benefits Payable | 111,678,669.82 | 0.50 | 76,105,904.00 | 0.35 | 46.74 | | Taxes Payable | 27,750,507.75 | 0.12 | 83,760,312.35 | 0.39 | -66.87 | | Lease Liabilities | - | - | 90,596.77 | 0.00 | -100.00 | | Deferred Income | 336,273,523.78 | 1.50 | 11,361,475.85 | 0.05 | 2,859.77 | - Other non-current assets at period-end increased by 21,722.27% compared to the beginning of the year, mainly due to an increase in time deposits[47] - Deferred income at period-end increased by 2,859.77% compared to the beginning of the year, mainly due to an increase in asset-related government grants received during the period[47] Major Asset Restrictions (Period-end) | Item | Amount (CNY) | Reason for Restriction | | :--- | :--- | :--- | | Monetary Funds | 1,337,418,935.01 | Frozen, margin deposits | | Notes Receivable | 37,799,162.67 | Pledged as collateral for bank acceptance bills | | Accounts Receivable Financing | 234,968,596.32 | Pledged as collateral for bank acceptance bills | | Fixed Assets | 403,993,813.22 | Mortgage for loans | | Intangible Assets | 444,102,687.67 | Mortgage for loans | | Long-term Equity Investments | 2,049,922,645.87 | Pledged for loans | | Investment Properties | 2,608,517,076.28 | Mortgage for loans | | Total | 7,116,722,917.04 | | Financial Assets Measured at Fair Value (Period-end) | Asset Category | Beginning Balance (CNY) | Period-end Balance (CNY) | | :--- | :--- | :--- | | Other Equity Instrument Investments | 6,727,715.07 | 6,755,605.27 | | Accounts Receivable Financing | 24,235,235.08 | 248,761,333.31 | | Total | 30,962,950.15 | 255,516,938.58 | 5. Other Disclosure Matters The company faces multiple risks including macroeconomic and geopolitical factors, industry competition, technological iteration, and changing standards; to address these, it continues to deepen its "AI+Vehicle" strategy, promote a "terminal + technology" dual-business ecosystem, strengthen AI empowerment, and actively implement actions to enhance quality, efficiency, and investor returns - The company faces macroeconomic and geopolitical risks, including international trade environment uncertainties, escalating trade frictions, strengthening tariff barriers, and regional sanctions[56] - The automotive industry has high technological barriers and diverse competition; if the company fails to maintain the iteration speed of core technologies such as intelligent assisted driving algorithms and smart cockpit interaction systems, product competitiveness may weaken[57][58] - The policy and regulatory framework for intelligent connected vehicles continues to improve, and policy adjustments may increase R&D investment and operating costs, affecting product launch timelines[59] - The company disclosed its "2025 Action Plan for Quality Improvement, Efficiency Enhancement, and Investor Returns" on March 11, 2025, and actively implemented it during the reporting period[60] - The company deepens its "AI+Vehicle" strategic main line, building a "terminal + technology" dual-business ecosystem, with the technology business focusing on overall automotive intelligent solutions and the terminal business consolidating its market position[60] - The technology business launched the "Qianli Smart Drive 1.0" intelligent assisted driving solution, offering basic, professional, and flagship product matrices; it also partnered with ecosystem partners to release a preview version of the Smart Cockpit Agent OS system[63] - Given that the distributable profit at the end of 2024 and mid-2025 was negative, the company currently does not meet the prerequisites for cash dividends[64] - The company strictly adheres to laws and regulations in fulfilling its information disclosure obligations, having disclosed 50 announcements during the reporting period and strengthening communication with investors through various channels[65] - The company organized compliance training for all directors, supervisors, and senior management, held 10 board meetings, 2 supervisory board meetings, 4 audit committee meetings, and 3 independent director special meetings, strengthening supervision and control[68] Section IV Corporate Governance, Environment, and Society This section details changes in the company's directors and senior management, its profit distribution plan, and environmental information disclosure for its major subsidiaries 1. Changes in Directors and Senior Management During the reporting period, the company's board of directors and senior management underwent several changes, including the election of Bao Yi, Xu Honghu, and Li Chuanhai as Vice Chairmen, the appointment of Hao Guangli as Vice President, Xia Yuyang as Vice President and Board Secretary, and Wang Jun as Co-President, while former director Wang Menglin and former Board Secretary Wu Dingjun resigned - On February 21, 2025, Bao Yi was elected as Vice Chairman of the company's Sixth Board of Directors, Hao Guangli was appointed Vice President, and Xia Yuyang was appointed Vice President and Board Secretary[72] - On May 30, 2025, Wang Menglin ceased to serve as a company director, and Xu Honghu was nominated as a director candidate and elected as a director on June 16[73] - On June 20, 2025, Xu Honghu and Li Chuanhai were elected as Vice Chairmen of the company's Sixth Board of Directors, and Wang Jun was appointed as the company's Co-President[74] 2. Profit Distribution or Capital Reserve Conversion Plan The company's proposed semi-annual profit distribution or capital reserve conversion plan is "none," meaning no profit distribution or capital reserve conversion will be carried out - The company's proposed semi-annual profit distribution or capital reserve conversion plan is "No," with 0 bonus shares, cash dividends, and capital reserve conversions per 10 shares[76] 4. Environmental Information of Listed Companies and Their Major Subsidiaries Included in the List of Enterprises Required to Disclose Environmental Information by Law One of the company's subsidiaries, Chongqing Ruilan Automobile Manufacturing Co., Ltd., is included in the list of enterprises required to disclose environmental information by law, and its environmental information disclosure report can be found on the Chongqing Enterprise Environmental Information Disclosure System - Chongqing Ruilan Automobile Manufacturing Co., Ltd. is included in the list of enterprises required to disclose environmental information by law[78] - Its environmental information disclosure report can be found on the Chongqing Enterprise Environmental Information Disclosure System[78] Section V Significant Matters This section covers major litigation and arbitration matters, the integrity status of the company and its controlling parties, significant related party transactions, and the performance of major contracts 7. Major Litigation and Arbitration Matters During the reporting period, the company was involved in multiple major litigation and arbitration cases concerning equity repurchase, construction project payment recovery, subrogation claims, and service contract disputes, with some cases reaching settlement or entering the enforcement stage Major Litigation and Arbitration Matters Overview | Plaintiff (Applicant) | Defendant (Respondent) | Type of Litigation (Arbitration) | Amount Involved (CNY 10k) | Litigation (Arbitration) Progress | Litigation (Arbitration) Outcome and Impact | | :--- | :--- | :--- | :--- | :--- | :--- | | Chongqing Ruilan Automobile Manufacturing Co., Ltd. | Haiborui De (Beijing) Automotive Technology Co., Ltd., Yuan Tao | Litigation | 5,111.00 | Judgment effective, execution settlement agreement signed, court has ruled to terminate execution. | Respondent repurchased 93.97% equity of Haiborui De (Chongqing) Automotive Power Control System Co., Ltd. held by plaintiff, and paid plaintiff 51.10 million CNY equity repurchase price plus interest; guarantor bears joint and several liability. | | Henan Wujian Third Construction and Installation Co., Ltd. | Henan Lifan Shumin Vehicle Co., Ltd. | Litigation | 5,867.75 | New settlement agreement reached, currently being performed. | Retrial judgment ordered respondent to pay 58.68 million CNY for engineering costs and 1.43 million CNY in interest. | | Chongqing Qianli Technology Co., Ltd. | Chongqing New Energy Vehicle Financial Leasing Co., Ltd. | Litigation | 2,856.12 | Judgment effective, compulsory enforcement applied, 7.87 million CNY cash recovered, enforcement proceeding continues. | Respondent to repay plaintiff 28.14 million CNY plus interest. | | Chongqing Lifan Hongxing Commercial Management Co., Ltd. | Chongqing Runtian Real Estate Development Co., Ltd. | Arbitration | 4,560.00 | Arbitration award received on December 2, 2024. Plaintiff applying for enforcement. | Respondent to pay plaintiff 21.53 million CNY for advanced expenses and interest; 1.50 million CNY for advertising space usage fees and interest; 1.00 million CNY for legal fees, 0.033 million CNY for preservation guarantee fees, 0.005 million CNY for preservation fees; 2.75 million CNY for severance pay; 17.28 million CNY for expected profits. | | Chongqing Runkai Commercial Co., Ltd. | Chongqing Runtian Real Estate Development Co., Ltd. | Litigation | 1,725.57 | First instance judgment rendered, in execution settlement. | Respondent to repay plaintiff principal loan of 12.47 million CNY, interest of 3.02 million CNY, and capital interest within 10 days of this judgment becoming effective. | | Chongqing Runtian Real Estate Development Co., Ltd. | Shanghai Hongxing Pacific Film Investment Co., Ltd., Chongqing Lifan Hongxing Commercial Management Co., Ltd., Shanghai Aegean Commercial Group Co., Ltd. | Litigation | 1,670.07 | Judgment effective, awaiting application for enforcement. | Chongqing Hongxing Pacific Cinema Management Co., Ltd. and Shanghai Hongxing Pacific Film Investment Co., Ltd. jointly and severally liable for 16.70 million CNY in rent and interest. | | Chongqing Runtian Real Estate Development Co., Ltd. | Chongqing Lifan Hongxing Commercial Management Co., Ltd., Shanghai Aegean Commercial Group Co., Ltd. | Arbitration | 2,337.85 | Case filed, awaiting hearing. | / | - The equity repurchase dispute between Chongqing Ruilan Automobile Manufacturing Co., Ltd. and Haiborui De (Beijing) Automotive Technology Co., Ltd. was resolved through an execution settlement agreement, resulting in Ruilan Manufacturing no longer holding equity in Haiborui De (Chongqing) Automotive Power Control System Co., Ltd. and an increase of 32.12 million CNY in net profit attributable to listed company shareholders for 2025[55][85][86] 9. Explanation of the Integrity Status of the Company, its Controlling Shareholder, and Actual Controller During the Reporting Period During the reporting period, the company, its controlling shareholder, and actual controller did not have any unfulfilled obligations determined by effective court legal documents or large overdue debts, maintaining a good integrity status - During the reporting period, the company, its controlling shareholder, and actual controller had no unfulfilled obligations determined by effective court legal documents or large overdue debts[87] 10. Major Related Party Transactions During the reporting period, the company adjusted its estimated annual daily related party transaction limits for 2025 and jointly invested with related parties to establish a partnership and a joint venture to promote the development of intelligent driving technology - The company's board of directors convened on July 31, 2025, and approved the "Proposal on Adjusting the Estimated Annual Daily Related Party Transaction Limits for 2025"[89][90] - The company, along with Liangjiang Industrial Fund, Chongqing Industrial Mother Fund, Jianghehui, Geely, Chongqing Maichi, and Lotus, signed an investment agreement, designating a wholly-owned subsidiary to invest 200 million CNY to establish a limited partnership[91] - After its establishment, the partnership plans to invest 1.5 billion CNY in cash to increase the capital of a joint venture established by Geely or its designated entity, Chongqing Maichi, Lotus or its designated entity, and an employee incentive platform[91] - Chongqing Zhiqixinwang Enterprise Management Co., Ltd., a wholly-owned subsidiary of the company, has jointly established Chongqing Jianghe Qixing Enterprise Management Partnership (Limited Partnership) with relevant parties and completed its industrial and commercial registration[93] - Chongqing Qianli Smart Drive Technology Co., Ltd., a joint venture established by Chongqing Maichi, Geely, Lotus, and the employee shareholding platform, has also completed its industrial and commercial registration[93] - The capital increase by Chongqing Jianghe Qixing Enterprise Management Partnership (Limited Partnership) in Chongqing Qianli Smart Drive Technology Co., Ltd. has completed its industrial and commercial change registration[94] 11. Major Contracts and Their Performance During the reporting period, the company's external guarantees primarily involved guarantees for its subsidiaries, totaling 379.31 million CNY, representing 3.59% of the company's net assets; among these, debt guarantees provided for guaranteed entities with an asset-liability ratio exceeding 70% amounted to 50.00 million CNY, which is considered controllable risk Company Guarantee Total Amount (Including Guarantees for Subsidiaries) | Indicator | Amount (CNY 10k) | | :--- | :--- | | Total guarantees for subsidiaries incurred during the reporting period | 33,000.00 | | Total outstanding guarantees for subsidiaries at period-end (B) | 37,930.96 | | Total guarantees (A+B) | 37,930.96 | | Total guarantees as % of company's net assets | 3.59 | | Amount of guarantees provided for shareholders, actual controllers, and their related parties (C) | 0 | | Amount of debt guarantees directly or indirectly provided for guaranteed entities with asset-liability ratio exceeding 70% (D) | 5,000.00 | | Amount of total guarantees exceeding 50% of net assets (E) | 0 | | Total of the above three guarantee amounts (C+D+E) | 5,000.00 | - The company providing debt guarantees directly or indirectly for guaranteed entities with an asset-liability ratio exceeding 70% is a controlling subsidiary of the company, and the risk is controllable[98] Section VI Share Changes and Shareholder Information This section details any changes in the company's share capital and provides an overview of its shareholder structure during the reporting period 1. Share Capital Changes During the reporting period, there were no changes in the company's total share capital or share structure - During the reporting period, there were no changes in the company's total share capital or share structure[100] 2. Shareholder Information As of the end of the reporting period, the company had 58,429 common shareholders, with the top two shareholders, Chongqing Manjianghong Private Equity Investment Partnership (Limited Partnership) and Chongqing Jianghehui Enterprise Management Co., Ltd., holding a combined 49.76% of the shares - As of the end of the reporting period, the total number of common shareholders was 58,429[101] Top Ten Shareholders' Shareholding as of Reporting Period End | Shareholder Name | Shares Held at Period-end (shares) | Percentage (%) | Pledged, Marked, or Frozen Status (shares) | | :--- | :--- | :--- | :--- | | Chongqing Manjianghong Private Equity Investment Partnership (Limited Partnership) | 1,349,550,000 | 29.85 | 0 | | Chongqing Jianghehui Enterprise Management Co., Ltd. | 900,000,000 | 19.91 | 483,762,431 | | Chongqing Lifan Holding Co., Ltd. | 618,559,784 | 13.68 | 593,270,848 | | Lifan Industry (Group) Co., Ltd. Bankruptcy Enterprise Property Disposal Special Account | 180,363,519 | 3.99 | 0 | | Agricultural Bank of China Chongqing Branch | 71,094,499 | 1.57 | 0 | | HKSCC Nominees Limited | 47,689,458 | 1.05 | 0 | | Wang Jianyun | 33,987,000 | 0.75 | 0 | | Zhangjiagang City Heyu Investment Development Co., Ltd. | 25,021,800 | 0.55 | 0 | | Sichuan Tianfu Bank Co., Ltd. Chengdu Jinjiang Branch | 24,265,105 | 0.54 | 0 | | Ningbo Free Trade Zone Xinda International Trade Co., Ltd. | 22,770,100 | 0.50 | 0 | - Chongqing Jianghehui Enterprise Management Co., Ltd. pledged 483,762,431 shares, and Chongqing Lifan Holding Co., Ltd. pledged 593,270,848 shares[103][104] Section VII Bond-Related Information This section confirms that the company had no corporate bonds, enterprise bonds, non-financial enterprise debt financing instruments, or convertible corporate bonds during the reporting period 1. Corporate Bonds (Including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments 2. Convertible Corporate Bonds During the reporting period, the company had no convertible corporate bonds Section VIII Financial Report This section presents the company's financial statements, basic information, accounting policies, taxation, detailed notes to consolidated and parent company financial statements, R&D expenditures, changes in consolidation scope, interests in other entities, government grants, financial instrument risks, fair value disclosures, related party transactions, commitments, and supplementary information 2. Financial Statements This section provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for the first half of 2025, comprehensively reflecting its financial position, operating results, and cash flow 3. Company Basic Information The company, formerly Lifan Technology (Group) Co., Ltd., was listed in 2010 with a registered capital of 4.52 billion CNY; its main business involves manufacturing and selling automobiles, motorcycles, engines, and general machinery, with AI empowering mobility and life, and its ultimate controlling party is Chongqing Manjianghong Enterprise Management Co., Ltd - The company's registered capital is 4,521,100,071.00 CNY[137] - Its main products are automobiles, motorcycles, motorcycle engines, and general machinery[138] - The parent company is Chongqing Manjianghong Private Equity Investment Partnership (Limited Partnership), and the ultimate controlling party is Chongqing Manjianghong Enterprise Management Co., Ltd[139] 4. Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, adhering to enterprise accounting standards and significant accounting policies and estimates, with no significant doubts about its ability to continue as a going concern for the next 12 months from the reporting period end - The company's financial statements are prepared on a going concern basis, in compliance with enterprise accounting standards[141] - The company evaluated its ability to continue as a going concern for the 12 months from the end of the reporting period and found no significant doubts[142] 5. Significant Accounting Policies and Estimates This section details the significant accounting policies and estimates followed by the company in preparing its financial statements, covering financial instruments, inventories, long-term equity investments, fixed assets, intangible assets, revenue recognition, and government grants, ensuring the truthfulness and completeness of the financial report - The company classifies financial assets into three categories: measured at amortized cost, measured at fair value with changes recognized in other comprehensive income, and measured at fair value with changes recognized in profit or loss[165] - Inventories are valued using the weighted average method at month-end when issued, and impairment provisions are made at period-end for the difference between cost and net realizable value for individual inventories[192][195] - The company's core strategy is "AI+Vehicle," and R&D expenditures are divided into research and development phases, with development phase expenditures capitalized if specific conditions are met[26][237] - Revenue is recognized when the customer obtains control of the related goods or services, at the transaction price allocated to that performance obligation[258] - Government grants are classified as asset-related or income-related; asset-related grants are recognized as deferred income and amortized into profit or loss over the asset's useful life[265][266] 6. Taxation The company's main taxes include VAT, consumption tax, urban maintenance and construction tax, property tax, and corporate income tax, and it benefits from Western Development corporate income tax incentives, small and micro enterprise income tax incentives, R&D expense super deduction policies, and advanced manufacturing enterprise VAT super deduction policies Major Tax Categories and Rates | Tax Category | Tax Rate | | :--- | :--- | | Value-Added Tax (VAT) | 3%, 5%, 6%, 9%, 13% | | Consumption Tax | 3%, 5%, 10% | | Urban Maintenance and Construction Tax | 5%, 7% | | Property Tax | 1.2%, 12% | | Corporate Income Tax | 15%, 20%, 25%, 30% | | Education Surcharge | 3% | | Local Education Surcharge | 2% | - The company and several subsidiaries qualify for Western Development corporate income tax incentives, subject to a 15% corporate income tax rate[283] - Some subsidiaries are small and micro enterprises, enjoying income tax preferential policies where the taxable income portion not exceeding 1 million CNY is subject to a 25% reduction in taxable income and a 20% tax rate; the portion exceeding 1 million CNY but not exceeding 3 million CNY is subject to a 25% reduction in taxable income and a 20% tax rate[284] - Chongqing Ruilan Automobile Manufacturing Co., Ltd. and several other subsidiaries enjoy R&D expense super deduction policies, where R&D expenses not forming intangible assets are 100% super deducted, and those forming intangible assets are amortized at 200% of cost before tax[285] - Chongqing Ruilan Automobile Manufacturing Co., Ltd. and Chongqing Lifan Ruichi Motorcycle Co., Ltd., as advanced manufacturing enterprises, enjoy VAT super deduction policies, allowing an additional 5% deduction from current deductible input VAT to offset payable VAT[285] 7. Notes to Consolidated Financial Statement Items This section details the period-end balances, beginning balances, and current period changes for each item in the consolidated financial statements, including monetary funds, notes receivable, accounts receivable, inventories, long-term equity investments, fixed assets, intangible assets, goodwill, short-term borrowings, accounts payable, employee benefits payable, deferred income, operating revenue and costs, various expenses, investment income, and asset impairment losses, with explanations for significant changes Monetary Funds (Period-end vs Beginning of Period) | Item | Period-end Balance (CNY) | Beginning Balance (CNY) | | :--- | :--- | :--- | | Cash on Hand | 193,980.83 | 432,216.29 | | Bank Deposits | 1,938,524,312.73 | 1,519,542,518.20 | | Other Monetary Funds | 1,294,298,690.76 | 2,149,295,097.17 | | Accrued Interest Receivable | 4,091,049.91 | 10,134,964.41 | | Total | 3,237,108,034.23 | 3,679,404,796.07 | Restricted Monetary Funds (Period-end vs Beginning of Period) | Item | Period-end Balance (CNY) | Beginning Balance (CNY) | | :--- | :--- | :--- | | Bill Deposits | 1,273,922,085.50 | 2,080,477,068.46 | | Frozen Demand Deposits | 45,356,935.10 | 49,037,385.79 | | Letter of Guarantee Deposits | 18,089,249.24 | 18,006,942.00 | | Total | 1,337,418,935.01 | 2,347,593,380.64 | Accounts Receivable Impairment Provision Changes (Period-end vs Beginning of Period) | Category | Beginning Balance (CNY) | Provision Made This Period (CNY) | Recovered or Reversed This Period (CNY) | Written Off or Derecognized This Period (CNY) | Period-end Balance (CNY) | | :--- | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable with Individual Impairment Provision | 721,936,171.76 | -34,403.67 | - | 103,002,068.70 | 618,899,699.39 | | Accounts Receivable with Group Impairment Provision | 51,351,535.25 | 1,732,476.54 | 2,873,286.22 | 956,095.22 | 54,526,067.64 | | Total | 773,287,707.01 | 1,698,072.87 | 2,873,286.22 | 103,958,163.92 | 673,425,767.03 | Inventory Classification (Period-end Book Value vs Beginning Book Value) | Item | Period-end Book Value (CNY) | Beginning Book Value (CNY) | | :--- | :--- | :--- | | Raw Materials | 195,419,119.21 | 131,722,547.72 | | Work in Progress | 17,956,130.47 | 34,926,000.53 | | Finished Goods | 665,842,833.33 | 817,450,272.53 | | Development Costs and Developed Products | 1,254,728,134.97 | 1,250,867,456.97 | | Total | 2,271,331,984.42 | 2,266,953,664.64 | Long-term Equity Investments (Period-end Book Value vs Beginning Book Value) | Item | Period-end Book Value (CNY) | Beginning Book Value (CNY) | | :--- | :--- | :--- | | Associates | 5,259,709,887.48 | 5,187,772,019.22 | | Total | 5,259,709,887.48 | 5,187,772,019.22 | Fixed Assets Book Value (Period-end vs Beginning of Period) | Item | Period-end Book Value (CNY) | Beginning Book Value (CNY) | | :--- | :--- | :--- | | Buildings and Structures | 1,350,670,028.79 | 1,396,342,671.62 | | Machinery and Equipment | 419,037,872.96 | 477,734,508.99 | | Transportation Vehicles | 20,205,193.53 | 20,987,817.40 | | Office Equipment and Others | 14,152,342.96 | 14,829,634.82 | | Total | 1,804,065,438.24 | 1,909,894,632.83 | Goodwill Original Book Value (Period-end vs Beginning of Period) | Investee Name or Goodwill-Generating Event | Period-end Balance (CNY) | Beginning Balance (CNY) | | :--- | :--- | :--- | | Lifan-Vietnam Motorcycle Manufacturing Joint Venture | 2,000,000.00 | 2,000,000.00 | | Uruguayan Automobile Company BESINEY S.A | 29,178,454.15 | 29,178,454.15 | | Chongqing Wireless Oasis Communication Technology Co., Ltd. | 304,436,913.82 | 304,436,913.82 | | Chongqing Runtian Real Estate Development Co., Ltd. | 319,273,772.27 | 319,273,772.27 | | Total | 666,794,402.03 | 666,794,402.03 | Goodwill Impairment Provision (Period-end vs Beginning of Period) | Investee Name or Goodwill-Generating Event | Period-end Balance (CNY) | Beginning Balance (CNY) | | :--- | :--- | :--- | | Lifan-Vietnam Motorcycle Manufacturing Joint Venture | 2,000,000.00 | 2,000,000.00 | | Uruguayan Automobile Company BESINEY S.A | 29,178,454.15 | 29,178,454.15 | | Chongqing Wireless Oasis Communication Technology Co., Ltd. | 304,436,913.82 | 304,436,913.82 | | Chongqing Runtian Real Estate Development Co., Ltd. | 151,707,839.76 | 117,177,300.75 | | Total | 499,228,469.52 | 464,697,930.51 | Operating Revenue and Operating Cost (Current Period vs Prior Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Operating Revenue | 4,184,038,792.26 | 2,987,814,509.50 | | Operating Cost | 3,837,376,150.61 | 2,734,258,924.75 | Financial Expenses (Current Period vs Prior Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Interest Expense | 41,181,873.33 | 48,857,582.48 | | Less: Interest Income | 30,301,137.77 | 29,414,532.49 | | Add: Exchange Gains/Losses | -114,610,772.35 | -44,594,354.23 | | Add: Other | 2,981,283.83 | 1,383,421.85 | | Total | -100,748,752.96 | -23,767,882.39 | Other Income (Current Period vs Prior Period) | Classified by Nature | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Input Tax Deduction | 9,061,103.26 | 5,851,819.80 | | Government Grants | 169,760,786.48 | 757,689.00 | | Other | 468,103.85 | 524,716.20 | | Total | 179,289,993.59 | 7,134,225.00 | Investment Income (Current Period vs Prior Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Investment Income from Long-term Equity Investments Accounted for by Equity Method | 251,937,163.70 | 189,698,936.31 | | Investment Income from Disposal of Long-term Equity Investments | 32,122,321.06 | 460,297.46 | | Debt Restructuring Gains | -873.48 | 172,681.10 | | Discount and Handling Fees | -10,740,180.73 | -5,485,407.46 | | Total | 273,318,430.55 | 184,846,507.41 | Asset Impairment Losses (Current Period vs Prior Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Inventory Impairment Losses and Contract Performance Cost Impairment Losses | -86,863,473.55 | -39,300,312.69 | | Fixed Asset Impairment Losses | -23,451,596.94 | - | | Goodwill Impairment Losses | -34,530,539.01 | - | | Total | -144,845,609.50 | -39,300,312.69 | 8. Research and Development Expenses During the reporting period, the company's total R&D expenditure was 394.03 million CNY, a 22.35% year-on-year increase, comprising 287.59 million CNY in expensed R&D and 106.44 million CNY in capitalized R&D, with capitalized projects mainly including vehicle design and development and the P658 model welding production line modification project R&D Expenses by Nature (Current Period vs Prior Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Employee Compensation and Benefits | 112,582,492.88 | 111,019,266.40 | | External Development Fees | 61,582,773.06 | 8,397,781.96 | | Depreciation and Amortization | 156,678,611.50 | 154,010,264.79 | | Material Costs | 18,818,850.53 | 7,173,024.52 | | Service Fees | 9,720,207.23 | 7,502,622.44 | | Testing and Inspection Fees | 23,343,857.83 | 12,094,072.49 | | Development and Design Fees | 479,386.79 | 83,336.52 | | Labor Costs | 1,341,079.66 | 1,009,277.20 | | Other | 9,479,646.48 | 20,734,771.33 | | Total | 394,026,905.96 | 322,024,417.65 | | Of which: Expensed R&D | 287,588,035.92 | 180,113,516.39 | | Capitalized R&D | 106,438,870.04 | 141,910,901.26 | Development Expenditures for Capitalized R&D Projects (Period-end) | Project | Period-end Balance (CNY) | | :--- | :--- | | Vehicle Design and Development | 601,576,469.69 | | Other | 2,384,607.58 | | Total | 603,961,077.27 | - The E661 project is expected to be completed by May 31, 2026, and the P658 model welding production line modification project by July 30, 2025, both realizing economic benefits through product sales[487] 9. Changes in Consolidation Scope During the reporting period, the company disposed of its equity in Haiborui De (Chongqing) Automotive Power Control System Co., Ltd., losing control, and established a new wholly-owned subsidiary, Chongqing Zhiqixinwang Enterprise Management Co., Ltd - In April 2025, the company lost control over Haiborui De (Chongqing) Automotive Power Control System Co., Ltd., with a disposal price of 16.00 million CNY and a disposal ratio of 93.97%[489] - The difference in the share of net assets of the disposed subsidiary at the consolidated financial statement level was 32.12 million CNY[489] - This year, the company newly established a wholly-owned subsidiary, Chongqing Zhiqixinwang Enterprise Management Co., Ltd., with a registered capital of 200.00 million CNY, effective June 3, 2025[490] 10. Interests in Other Entities The company holds interests in various subsidiaries across manufacturing, sales, services, and R&D, with Chongqing Ruilan Automobile Manufacturing Co., Ltd., Chongqing Ruilan Automobile Technology Co., Ltd., and Chongqing Runtian Real Estate Development Co., Ltd. being significant non-wholly-owned subsidiaries, and also holds equity in associates such as Chongqing Bank Co., Ltd. and Lifan Financial Leasing (Shanghai) Co., Ltd - The company owns multiple wholly-owned and controlled subsidiaries, with business natures covering services, manufacturing, sales, and R&D[491][492][493] - Chongqing Runtian Real Estate Development Co., Ltd. and Chongqing Ruilan Automobile Technology Co., Ltd. are significant non-wholly-owned subsidiaries, with minority shareholder stakes of 50% and 45%, respectively[494][497] Key Financial Information of Significant Non-Wholly-Owned Subsidiaries (Period-end Balance, unit: CNY 10k) | Subsidiary Name | Total Assets | Total Liabilities | Minority Shareholding (%) | Current Period Profit/Loss Attributable to Minority Shareholders | | :--- | :--- | :--- | :--- | :--- | | Henan Lifan Shumin Vehicle Co., Ltd. | 27,178.49 | 17,203.14 | 20 | -189.98 | | Chongqing Runtian Real Estate Development Co., Ltd. | 434,738.21 | 227,805.69 | 50 | -1,248.30 | | Chongqing Ruilan Automobile Technology Co., Ltd. | 536,350.34 | 544,846.64 | 45 | -13,381.75 | - The company holds an 8.49% stake in Chongqing Bank Co., Ltd. and has appointed directors, indicating significant influence[499] Key Financial Information of Significant Associates (Period-end Balance, unit: CNY 10k) | Item | Chongqing Bank Co., Ltd. | Lifan Financial Leasing (Shanghai) Co., Ltd. | | :--- | :--- | :--- | | Total Assets | 98,336,533.80 | 27,927.81 | | Total Liabilities | 91,787,310.70 | 7,686.19 | | Equity Attributable to Parent Company Shareholders | 6,271,588.10 | 20,241.62 | | Carrying Amount of Equity Investment in Associates | 493,241.04 | 9,918.39 | | Operating Revenue | 765,940.70 | 10.04 | | Net Profit | 318,950.30 | -1,847.07 | | Total Comprehensive Income | 271,102.20 | -1,847.07 | | Dividends Received from Associates This Year | 12,205.50 | - | 11. Government Grants As of the end of the reporting period, the company recognized 383.51 million CNY in government grants receivable, primarily for new energy vehicle promotion and application fiscal subsidies, with 291.72 million CNY in credit impairment losses already provided; new asset-related government grants of 335.86 million CNY were received this period, and total government grants recognized in current profit or loss amounted to 169.76 million CNY - As of June 30, 2025, the company recognized government grants receivable totaling 383,512,209.25 CNY, with credit impairment losses of 291,715,814.40 CNY already provided[505] - These subsidies are primarily for new energy vehicle promotion and application fiscal subsidies[505] Liability Items Involving Government Grants (Period-end Balance) | Financial Statement Item | Beginning Balance (CNY) | New Grants Received This Period (CNY) | Recognized in Other Income This Period (CNY) | Period-end Balance (CNY) | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | :--- | | Deferred Income | 1,296,666.54 | 335,860,000.00 | 6,837,292.26 | 330,319,374.28 | Asset-related | | Deferred Income | 10,064,809.31 | - | 816,784.27 | 9,248,025.04 | Income-related | | Total | 11,361,475.85 | 335,860,000.00 | 7,654,076.53 | 339,567,399.32 | | Government Grants Recognized in Current Profit or Loss (Current Period vs Prior Period) | Type | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Asset-related | 6,837,292.26 | 151,666.28 | | Income-related | 162,923,494.22 | 6,426,022.72 | | Total | 169,760,786.48 | 6,577,689.00 | 12. Risks Related to Financial Instruments The company primarily faces credit risk, liquidity risk, and market risk (exchange rate risk and interest rate risk), which management mitigates through credit policies, monitoring credit exposure, depositing monetary funds with highly reputable financial institutions, and assessing impairment losses on receivables based on aging; the company's foreign exchange risk is not significant, and interest rate risk has a limited impact on net profit - The company's main financial instruments include monetary funds, equity investments, borrowings, receivables, and payables, with primary risks being credit risk, liquidity risk, and market risk[511] - The company's foreign exchange risk is mainly related to its USD-denominated accounts, but management believes the foreign exchange risk is not significant[517] - If the interest rate on floating-rate borrowings increases or decreases by 50 basis points, the company's net profit would decrease or increase by approximately 6.27 million CNY[519] - The company manages credit risk by evaluating customer creditworthiness, setting credit terms, and reviewing the recovery status of financial assets[520] Credit Risk Asset Book Balance and Impairment Provision (Period-end, unit: CNY 10k) | Item | Book Balance | Impairment Provision | | :--- | :--- | :--- | | Notes Receivable | 17,283.78 | - | | Accounts Receivable Financing | 24,876.13 | - | | Accounts Receivable | 193,697.33 | 67,342.58 | | Other Receivables | 52,073.09 | 33,607.93 | | Total | 287,930.34 | 100,950.51 | Undiscounted Contractual Cash Flows of Financial Liabilities and Off-Balance Sheet Guarantees (Period-end, unit: CNY 10k) | Item | Within 1 Year | 1-2 Years | 2-3 Years | Over 3 Years | Total | | :--- | :--- | :--- | :--- | :--- | :--- | | Short-term Borrowings | 52,032.51 | - | - | - | 52,032.51 | | Notes Payable | 287,468.78 | - | - | - | 287,468.78 | | Accounts Payable | 326,285.77 | - | - | - | 326,285.77 | | Other Payables | 105,783.01 | - | - | - | 105,783.01 | | Other Current Liabilities | 15,545.44 | - | - | - | 15,545.44 | | Lease Liabilities (including current portion) | 75.52 | - | - | - | 75.52 | | Long-term Borrowings and Non-current Liabilities Due Within One Year | 53,354.08 | 70,594.75 | 2,201.59 | - | 126,150.42 | | Total | 840,545.11 | 70,594.75 | 2,201.59 | - | 913,341.45 | 13. Disclosure of Fair Value The company's total assets measured at fair value at period-end amounted to 3.39 billion CNY, primarily comprising investment properties and accounts receivable financing; investment properties are valued using market and income approaches, while accounts receivable financing is measured at Level 2 fair value Period-end Fair Value of Assets and Liabilities Measured at Fair Value | Item | Level 2 Fair Value Measurement (CNY) | Level 3 Fair Value Measurement (CNY) | Total (CNY) | | :--- | :--- | :--- | :--- | | Other Equity Instrument Investments | - | 6,755,605.27 | 6,755,605.27 | | Investment Properties | - | 3,137,253,000.00 | 3,137,253,000.00 | | Accounts Receivable Financing | 248,761,333.31 | - | 248,761,333.31 | | Total Assets Continuously Measured at Fair Value | 248,761,333.31 | 3,144,008,605.27 | 3,392,769,938.58 | - Investment properties are measured at fair value using market and income approaches, referencing current market prices of similar properties in active markets or the present value of estimated future rental income and cash flows[533] 14. Related Parties and Related Party Transactions The company's parent company is Chongqing Manjianghong Private Equity Investment Partnership, with Chongqing Manjianghong Enterprise Management Co., Ltd. as the ultimate controlling party; the company engages in extensive daily related party transactions with Geely Automobile Group Co., Ltd. and its affiliates, including purchasing and selling goods, providing and receiving services, and related party leasing, in addition to related party guarantees and financial services - The company's parent company is Chongqing Manjianghong Private Equity Investment Partnership (Limited Partnership), holding a 29.85% stake[536] - The company's ultimate controlling party is Chongqing Manjianghong Enterprise Management Co., Ltd[536] - The company has significant related party transactions with Geely Automobile Group Co., Ltd. and its affiliates for purchasing goods/receiving services and selling goods/providing services[541][542][543][544] Related Party Leasing (Company as Lessor) | Lessee Name | Type of Leased Asset | Lease Income Recognized This Period (CNY) | Lease Income Recognized Prior Period (CNY) | | :--- | :--- | :--- | :--- | | Suzhou Geely Youxing Electronic Technology Co., Ltd. | Power Equipment | 4,955,580.00 | 8,301,849.72 | | Yuanli Shunneng (Chongqing) Technology Co., Ltd. | Property Lease | 215,028.00 | - | | Zhejiang Meikeda Motorcycle Co., Ltd. | Property Lease | 74,454.40 | - | | Zhejiang Qianjiang Motorcycle Co., Ltd. | Property Lease | 140,508.82 | - | | Total | | 5,385,571.22 | 8,301,849.72 | Company as Guarantor | Guarantor | Guaranteed Amount (CNY) | Guarantee Start Date | Guarantee End Date | Guarantee Fulfilled | | :--- | :--- | :--- | :--- | :--- | | Chongqing Lifan Real Estate Co., Ltd. | 610,762,500.00 | 2017-6-19 | 2027-6-18 | No | - The company receives financial services from Chongqing Bank Co., Ltd., including deposits, loans, and settlements[552] - The company's subsidiary, Chongqing Ruilan Automobile Sales Co., Ltd., signed "Financial Cooperation Agreements" with Geely Auto Finance Co., Ltd. and Zhejiang Zhihui Puhua Financial Leasing Co., Ltd., providing auto loan and financial leasing services, and bearing interest subsidy support and repurchase responsibilities[553] Receivables from Related Parties (Period-end Book Balance) | Item Name | Related Party | Period-end Book Balance (CNY) | | :--- | :--- | :--- | | Dividends Receivable | New Energy Vehicle Industry Development (Chongqing) Co., Ltd. | 1,000,000.00 | | Accounts Receivable | Zhejiang Geely Automobile International Trade Co., Ltd. | 192,871,075.23 | | Prepayments | Zhejiang Meikeda Motorcycle Co., Ltd. | 1,161,104.86 | | Other Receivables | Chongqing Lifan Industrial Group Sales Co., Ltd. | 2,555,934,343.81 | Payables to Related Parties (Period-end Book Balance) | Item Name | Related Party | Period-end Book Balance (CNY) | | :--- | :--- | :--- | | Accounts Payable | Zhejiang Zhizhi New Energy Automobile Technology Co., Ltd. | 426,183,116.41 | | Other Payables | Chongqing Lifan Hongxing Commercial Management Co., Ltd. | 69,891,222.08 | | Long-term Borrowings | Chongqing Bank Co., Ltd. | 589,622.63 | | Contract Liabilities | Anhui Jifeng Circular Technology Industry Co., Ltd. | 40,262.49 | 16. Commitments and Contingencies As of the end of the reporting period, the company had no significant commitments requiring disclosure; contingencies primarily include major outstanding litigations or arbitrations, external debt guarantees, issued letters of guarantee/credit, product quality warranty clauses, and repurchase liabilities for automotive finance business, with the latter amounting to 90.66 million CNY - As of June 30, 2025, the company had no significant commitments requiring disclosure[563] - The company had no major outstanding litigations as a defendant during this period (excluding bankruptcy reorganization debt litigations)[564] - The company did not provide guarantees for non-related parties[566] - The company's subsidiary bears repurchase liabilities for automotive finance business totaling 90.66 million CNY[570] - Henan Lifan Shumin Vehicle Co., Ltd. and Henan Wujian Third Construction and Installation Co., Ltd. have an outstanding payment of 36.38 million CNY due to a construction project contract dispute[571] [17. Events After the Balance Sheet Date](index=175&type=section&id=17.%20