捷顺科技(002609) - 2020 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions Important Notice, Table of Contents, and Definitions This section includes the company's semi-annual report important notice, the board of directors, supervisory board, and senior management's assurance of report accuracy, a non-dividend distribution plan, and key term definitions - The company's board of directors, supervisory board, and senior management guarantee the semi-annual report's truthfulness, accuracy, and completeness, assuming individual and joint legal responsibility[5] - Company head Tang Jian, chief accountant Liu Cuiying, and accounting supervisor Zhang Jian declare the financial report's truthfulness, accuracy, and completeness[5] - The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital[7] Definitions for the Reporting Period | Term | Refers to | Definition | | :--- | :--- | :--- | | Company / The Company / Jieshun Technology | Refers to | Shenzhen Jieshun Technology Industry Co., Ltd. | | Shunyitong / Jietingche | Refers to | Shenzhen Shunyitong Information Technology Co., Ltd., a controlled subsidiary | | Jieshun Zhicheng / Zhicheng Technology | Refers to | Jieshun Zhicheng Technology (Shenzhen) Co., Ltd., a controlled subsidiary | | Reporting Period | Refers to | January 1, 2020 to June 30, 2020 | Company Profile and Key Financial Indicators Company Profile and Key Financial Indicators This section provides the company's basic information, contact details, key accounting data, financial indicators, and non-recurring gains and losses for the reporting period Company Profile Discloses the company's stock abbreviation, code, listing exchange, names, and legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Jieshun Technology | | Stock Code | 002609 | | Stock Exchange | Shenzhen Stock Exchange | | Company Chinese Name | Shenzhen Jieshun Technology Industry Co., Ltd. | | Legal Representative | Tang Jian | Contact Person and Information Provides contact details for the company's board secretary and securities affairs representative Company Contact Information | | Board Secretary | Securities Affairs Representative | | :--- | :--- | :--- | | Name | Wang Hengbo | Tang Kun | | Contact Address | Jieshun Technology, No. 10 Longwei Road, Meilin Street, Futian District, Shenzhen | Jieshun Technology, No. 10 Longwei Road, Meilin Street, Futian District, Shenzhen | | Phone | 0755-83112288-8958 | 0755-83112288-8829 | | Fax | 0755-83112306 | 0755-83112306 | | Email | whb@jieshun.cn | stock@jieshun.cn | Key Accounting Data and Financial Indicators Operating revenue and net profit attributable to shareholders decreased year-on-year, while operating cash flow improved, and total assets and net assets saw slight growth Key Accounting Data and Financial Indicators (Current Period vs. Prior Year) | Indicator | Current Period (CNY) | Prior Year (CNY) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 399,153,406.10 | 425,449,065.84 | -6.18% | | Net Profit Attributable to Shareholders | 27,346,624.35 | 51,326,509.09 | -46.72% | | Net Profit Attributable to Shareholders (Excluding Non-Recurring Items) | 15,934,889.32 | 44,663,614.82 | -64.32% | | Net Cash Flow from Operating Activities | -101,836,741.24 | -144,671,321.72 | 29.61% | | Basic Earnings Per Share (CNY/share) | 0.0427 | 0.0779 | -45.19% | | Diluted Earnings Per Share (CNY/share) | 0.0424 | 0.0771 | -45.01% | | Weighted Average Return on Net Assets | 1.32% | 2.56% | -1.24% | Key Accounting Data and Financial Indicators (Period End vs. Prior Year End) | Indicator | Current Period End (CNY) | Prior Year End (CNY) | Change from Prior Year End | | :--- | :--- | :--- | :--- | | Total Assets | 2,804,169,854.20 | 2,755,004,369.93 | 1.78% | | Net Assets Attributable to Shareholders | 2,074,402,881.53 | 2,054,254,719.41 | 0.98% | Non-Recurring Gains and Losses and Amounts Total non-recurring gains and losses for the period were CNY 11.41 million, primarily from government subsidies Non-Recurring Gains and Losses | Item | Amount (CNY) | | :--- | :--- | | Gains/Losses on Disposal of Non-Current Assets (including reversal of impairment provisions) | 86,349.60 | | Government Subsidies Recognized in Current Profit/Loss (excluding those closely related to business and enjoyed at fixed/quantitative national standards) | 12,925,028.44 | | Other Non-Operating Income and Expenses | 517,170.28 | | Less: Income Tax Impact | 2,029,803.62 | | Minority Interest Impact (after tax) | 87,009.67 | | Total | 11,411,735.03 | Business Overview Business Overview This section details the company's five core smart parking business segments and analyzes its core competitiveness Main Businesses During the Reporting Period The company's main business focuses on smart parking, covering five segments for full ecosystem coverage Intelligent Hardware Business The traditional intelligent hardware business covers vehicle and pedestrian access control, integrating AI and temperature measurement for diverse applications - The intelligent hardware business primarily consists of two product lines: intelligent parking management systems (vehicle access) and intelligent access control systems (pedestrian access)[38] - The company adheres to independent R&D based on a "smart hardware + ecological platform" system construction philosophy, focusing on device IP, standardized interfaces, self-organizing network technology, and AI technology (intelligent video recognition)[38] - To address temperature measurement demands from COVID-19, the company seamlessly integrated temperature measurement functions into existing products, fully applying facial recognition technology to various access control scenarios[38] Smart Parking Operations Business The 'Jietingche' brand drives internet operations through B2B empowerment and B2C expansion, forming four business lines to build a parking service ecosystem - The smart parking operations business, primarily led by Shunyitong Company under the "Jietingche" brand, expands internet operations centered on smart parking[39] - B2B empowerment helps parking lots "plug loopholes, reduce costs, and increase revenue," while B2C fission is achieved through "quick parking, discounted parking, and lifestyle services" for a superior user experience[39] - Currently, the smart parking operations business has formed four main business lines: channel services, advertising operations, parking fee transaction services, and parking space operations[40][43][44][45] Cloud-Managed Parking Operations Business Offers a one-stop 'hardware + platform + service' cloud-managed parking solution, enabling centralized multi-project control and unattended operations via a SaaS model - The cloud-managed parking business provides a one-stop smart parking scene construction and托管 service to parking operators, adopting a "hardware + platform + service" model[46] - Cloud-managed services operate on a SaaS model, typically with contract terms of 3 or 5 years[46] - The business utilizes the Jieshun Tianqi platform to achieve centralized, multi-project, cross-regional management, building unattended full scenarios and empowering parking lot operations through Jietingche services[46] Industry Solutions Business Provides intelligent hardware, IoT platforms, and customized solutions for smart communities, parks, and scenic spots based on access scenarios - The industry solutions business offers comprehensive smart management solutions for a wide range of industry clients, based on human and vehicle access scenarios[47] - This relies on the company's strengths in vehicle/pedestrian intelligent hardware products, the Tianqi Smart IoT Management Platform, and the Jinke Yizhangtong Platform[47] - Solutions have been developed for various industries, including smart communities, smart parks, and smart scenic spots[47] City-Level Smart Parking Business Provides integrated on-street and off-street smart parking solutions for government and state-owned enterprises, enhancing urban static traffic management - The city-level smart parking platform business primarily offers integrated on-street and off-street smart parking solutions to city-level government entities and state-owned enterprises[50] - It integrates Jieshun Technology's advanced license plate recognition technology, products, and cloud platform to create on-street parking management and parking guidance systems[51] - The platform features open integration capabilities, dynamic and static traffic fusion, and sustainable self-operation, enhancing overall city management[51] Significant Changes in Major Assets Investment in construction in progress significantly increased, primarily for the Jieshun Technology Headquarters Base project - The Jieshun Technology Headquarters Base project saw a CNY 57.7 million investment this period, with a cumulative investment of CNY 291.58 million and 51.1% project progress[52] Core Competitiveness Analysis Core competitiveness stems from first-mover advantage, ecological product system, smart parking scale, BCG strategic synergy, major client service capability, and financial strength - The company has focused on this industry for over 20 years, boasting over 100,000 existing projects and adding tens of thousands annually, establishing a clear industry leadership position[53] - Sustained high R&D investment has created a full range of products and applications, from front-end hardware and AI video technology to software platforms, payment settlement, cloud services, and mobile applications, building a comprehensive "smart hardware + platform + operations" ecosystem[54] - The "Jietingche" business has cumulatively signed over 12,500 smart parking lots, involving over 4.7 million parking spaces, reaching over 17 million online users, and exceeding 1.55 million daily online transactions, forming a significant scale advantage[55] - The company's business spans ToB, ToC, and ToG segments, with these three areas interconnected, mutually reinforcing, and forming an overall BCG strategic synergy advantage[58] - The company consistently serves numerous strategic major clients, including Vanke and Evergrande, developing a prominent capability in effectively serving large clients within the industry[59] - The company is currently the only A-share listed company primarily focused on smart parking, possessing ample capital reserves and a low overall debt ratio, which effectively supports more aggressive market strategies[60] Management Discussion and Analysis Management Discussion and Analysis This section discusses operating policies, epidemic impact, key business progress, financial performance, asset and liability status, investments, raised funds, and risk management Overview The company maintained its 'focus, deepen, enhance' policy, achieving 20% growth in new orders despite a 6.18% revenue and 46.72% net profit decline due to the epidemic, while advancing key businesses - The company's annual operating policy, "focus, deepen, enhance," was established at the beginning of the year, emphasizing strategic focus, business development, and organizational capability improvement[64] - The COVID-19 pandemic had a short-term direct impact on the company's operations, slowing order delivery; however, in the long run, it is expected to accelerate the intelligent and unmanned development trends in the vehicle and pedestrian access industries, benefiting the company's long-term business growth[65] - In the first half of the year, new contract orders totaled CNY 606.75 million, a 20% increase compared to the same period last year[65] Report Period Key Financial Performance | Indicator | Amount (CNY) | YoY Change | | :--- | :--- | :--- | | Revenue | 399,153,406.10 | -6.18% | | Net Profit Attributable to Shareholders | 27,346,624.35 | -46.72% | - The cloud-managed parking business was elevated to a strategic priority, designated as the number one project for 2020, resulting in hundreds of new cloud-managed projects involving over 2,000 cloud-managed lanes[66][67] - The smart pedestrian access business was designated as the number two project for 2020, securing CNY 160 million in new contract orders, a 20% year-on-year increase, and rapidly launched access products with mask-wearing facial recognition and temperature measurement functions[68] - The industry solutions business secured new contracts exceeding CNY 94 million, primarily focusing on smart communities, scenic spots, and industrial parks[71] - The smart parking operations business (Jietingche) cumulatively signed over 12,500 smart parking lots, covering over 4.7 million parking spaces, reaching over 17 million online users, with weekly average daily online transactions exceeding 1.55 million; total online transaction volume reached CNY 1.481 billion, a 53% year-on-year increase, and new orders totaled CNY 26 million, a 70% year-on-year increase[72] - The city parking business established Jieshun Zhicheng Technology as an independent entity, winning over 10 new city parking projects with a cumulative winning bid amount of CNY 154.8 million[72] Main Business Analysis Operating revenue and cost decreased, selling and financial expenses rose, investing cash outflow increased, and financing cash inflow grew significantly, with security revenue remaining high and smart parking operations showing strong growth Key Financial Data Year-on-Year Changes | Indicator | Current Period (CNY) | Prior Year (CNY) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 399,153,406.10 | 425,449,065.84 | -6.18% | | | Operating Costs | 216,878,592.06 | 229,504,259.51 | -5.50% | | | Selling Expenses | 91,186,026.92 | 76,348,622.30 | 19.43% | | | Administrative Expenses | 43,875,742.73 | 52,871,468.10 | -17.01% | | | Financial Expenses | -11,589,399.31 | -8,763,810.34 | 32.24% | Primarily due to short-term bank loan interest payments in the prior year | | Income Tax Expense | 6,785,690.98 | 8,908,249.31 | -23.83% | | | Net Cash Flow from Operating Activities | -101,836,741.24 | -144,671,321.72 | 29.61% | | | Net Cash Flow from Investing Activities | -78,533,241.84 | -49,375,152.33 | -59.05% | Primarily due to increased investment in the Jieshun Technology Headquarters Base project | | Net Cash Flow from Financing Activities | 137,688,885.16 | 50,524,709.87 | 172.52% | Primarily due to a CNY 77.35 million year-on-year decrease in shareholder dividends | | Net Increase in Cash and Cash Equivalents | -42,553,121.96 | -143,521,764.18 | 70.35% | Primarily due to a 21.67% year-on-year increase in cash received from goods sold and a 79.9% year-on-year decrease in shareholder dividends | Operating Revenue Composition (by Industry, Product, Region) | Category | Item | Current Period Amount (CNY) | % of Operating Revenue | Prior Year Amount (CNY) | % of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | By Industry | Security | 346,661,709.12 | 86.85% | 374,385,426.12 | 88.00% | -7.41% | | | Other | 52,491,696.98 | 13.15% | 51,063,639.72 | 12.00% | 2.80% | | By Product | Intelligent Parking Management System | 253,824,951.55 | 63.59% | 270,444,457.65 | 63.57% | -6.15% | | | Intelligent Access Control System | 91,531,742.59 | 22.93% | 104,493,852.99 | 24.56% | -12.40% | | | Smart Parking Operations | 24,187,458.31 | 6.06% | 15,992,739.77 | 3.76% | 51.24% | | | Software and Platform Services | 27,681,898.34 | 6.94% | 30,446,229.07 | 7.16% | -9.08% | | | Other | 1,927,355.31 | 0.48% | 4,071,786.36 | 0.96% | -52.67% | | By Region | Domestic | 397,481,512.79 | 99.58% | 423,662,646.98 | 99.58% | -6.18% | | | International | 1,671,893.31 | 0.42% | 1,786,418.86 | 0.42% | -6.14% | Gross Profit Margin Year-on-Year Changes by Product | By Product | YoY Change in Operating Revenue | YoY Change in Operating Costs | YoY Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | | Security | -7.41% | -7.20% | -0.12% | | Intelligent Parking Management System | -6.15% | -7.14% | 0.58% | | Intelligent Access Control System | -12.40% | -1.24% | -6.09% | Analysis of Assets and Liabilities Total assets and net assets attributable to shareholders increased, with significant rises in construction in progress and long-term borrowings, while monetary funds and short-term borrowings decreased Significant Changes in Asset Composition | Major Asset | Current Period End Amount (CNY) | % of Total Assets | Prior Year End Amount (CNY) | % of Total Assets | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 922,368,212.42 | 32.89% | 1,098,370,026.06 | 42.60% | -9.71% | | Accounts Receivable | 557,432,473.71 | 19.88% | 473,057,596.27 | 18.35% | 1.53% | | Inventories | 185,331,400.83 | 6.61% | 128,877,315.56 | 5.00% | 1.61% | | Construction in Progress | 291,579,281.49 | 10.40% | 140,827,843.09 | 5.46% | 4.94% | | Short-Term Borrowings | 144,000,000.00 | 5.14% | 247,217,671.02 | 9.59% | -4.45% | | Long-Term Borrowings | 174,577,916.68 | 6.23% | 0.00 | 0.00% | 6.23% | - Other monetary funds at period-end include restricted letter of guarantee deposits of CNY 5.39 million[87] Investment Analysis Total investment decreased significantly, but a new subsidiary, Jieshun Zhicheng Technology, was established for city parking, while raised funds were allocated to the 'Smart Parking and Smart Community Operation Service Platform Project' and working capital, with some project extensions Overall Situation The company's investment amount significantly decreased year-on-year - The investment amount for the reporting period was CNY 1.88 million, compared to CNY 6.7 million in the prior year, representing a -72.01% change[88] Significant Equity Investments Acquired During the Reporting Period A new controlling subsidiary, Jieshun Zhicheng Technology, was established to focus on city parking business New Controlling Subsidiary Information | Investee Company Name | Main Business | Investment Method | Investment Amount (CNY) | Shareholding Ratio | Source of Funds | Expected Return (CNY) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jieshun Zhicheng Technology (Shenzhen) Co., Ltd. | City Parking Business | New Establishment | 44,000,000.00 | 88.00% | Own Funds | 2,000,000.00 | Use of Raised Funds Total raised funds were CNY 980.58 million, with CNY 682.15 million cumulatively invested, primarily for the 'Smart Parking and Smart Community Operation Service Platform Project' and working capital, with project extension and fund reallocation Overall Use of Raised Funds | Indicator | Amount (CNY 10k) | | :--- | :--- | | Total Raised Funds | 98,058 | | Raised Funds Invested in Current Period | 597.55 | | Cumulative Raised Funds Invested | 68,215.02 | | Cumulative Amount of Raised Funds with Changed Use | 35,000 | | Percentage of Cumulative Raised Funds with Changed Use | 35.69% | Committed Projects for Raised Funds | Committed Investment Project | Committed Investment Amount (CNY 10k) | Amount Invested in Current Period (CNY 10k) | Cumulative Investment at Period End (CNY 10k) | Investment Progress | Scheduled Date for Usable Status | Benefits Achieved in Current Period (CNY 10k) | Achieved Expected Benefits | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Smart Parking and Smart Community Operation Service Platform Project | 59,000 | 597.55 | 27,215.02 | 46.13% | October 31, 2020 | 652.06 | Yes | | Replenishment of Working Capital | 6,000 | 0 | 6,000 | 100.00% | Not Applicable | | No | | Permanent Replenishment of Working Capital | 35,000 | 0 | 35,000 | 100.00% | Not Applicable | | No | - The construction period for the "Smart Parking and Smart Community Operation Service Platform Project" was extended by one year to October 31, 2020, due to changes in external operating and market competition environments, leading the company to adopt a phased payment business model to reduce investment intensity, resulting in slower-than-expected use of raised funds[104][121] - On April 24, 2019, the company changed the use of part of the raised funds, reallocating CNY 350 million (including interest income generated from the raised funds account) for permanent replenishment of working capital[109][120] Risks Faced by the Company and Countermeasures The company faces risks from macroeconomic uncertainties, increasing accounts receivable, new business management, and slower-than-expected new business development, with countermeasures implemented - Uncertainty risks from macroeconomic changes: such as escalating Sino-US trade friction and the global spread of the COVID-19 pandemic, which may impact customer demand, production, and operations for the company and its upstream and downstream industries[131] - Financial risk of increasing accounts receivable: the company's introduction of a phased payment sales business model and increased efforts in developing major client business may lead to an increase in accounts receivable[132] - Management risks from new businesses: the company's transformation towards ToC internet operations and ToG city-level parking businesses may pose risks where organizational models and management systems lag behind company development[133] - Risk of slower-than-expected new business development: new businesses such as smart parking operations, city parking, and cloud-managed parking may not develop as anticipated[134] Significant Matters Significant Matters This section discloses general meetings, profit distribution, shareholder commitments, equity incentives, significant guarantees, controlling shareholder share freeze, and subsidiary matters during the reporting period Information on Annual and Extraordinary General Meetings Held During the Reporting Period The company held its 2020 first extraordinary general meeting and 2019 annual general meeting, approving relevant proposals Report Period Shareholder Meeting Information | Meeting Session | Meeting Type | Investor Participation Ratio | Date Held | Disclosure Date | | :--- | :--- | :--- | :--- | :--- | | 2020 First Extraordinary General Meeting | Extraordinary General Meeting | 56.15% | March 02, 2020 | March 03, 2020 | | 2019 Annual General Meeting | Annual General Meeting | 62.33% | May 20, 2020 | May 21, 2020 | Profit Distribution and Capital Reserve Conversion to Share Capital in the Current Reporting Period The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital for the semi-annual period - The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital for the semi-annual period[138] Commitments Fulfilled and Overdue Unfulfilled by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During and as of the End of the Reporting Period Share reduction commitments by shareholders Li Min, Xiong Xianghua, Zhao Yong, and He Jun were fulfilled on time, with Mr. Zhao Yong's plan terminated early due to an accidental short-swing trade - Mr. Li Min completed the reduction of 150,000 shares of company stock through centralized bidding transactions, fulfilling his reduction plan[141] - Mr. Xiong Xianghua completed the reduction of 40,000 shares of company stock through centralized bidding transactions, fulfilling his reduction plan[141] - Mr. Zhao Yong cumulatively reduced 278,600 shares of company stock through centralized bidding transactions and prematurely terminated his reduction plan due to personal funding needs; during this period, apart from an erroneous purchase of 10,000 shares resulting in a short-swing trade, there were no other violations of commitments[141][144] - Mr. He Jun completed the reduction of 300,000 shares of company stock through centralized bidding transactions, fulfilling his reduction plan[144] - All commitments were fulfilled on time[144] Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The first unlocking period for the fourth phase restricted stock incentive plan was met, unlocking 3.5451 million shares for 492 recipients, while 209,000 shares for 9 ineligible recipients were repurchased and cancelled - The first unlocking period conditions for the company's fourth phase restricted stock incentive plan's initially granted shares have been met, and the company approved the unlocking of 3.5451 million shares for 492 eligible incentive recipients[151] - Given that 9 incentive recipients, including Ma Lanying, no longer meet the incentive conditions, a total of 209,000 shares of their unvested restricted stock were repurchased and cancelled[153] Significant Contracts and Their Performance The company had external guarantees, with a CNY 120 million limit for Huizhou Jiaotong Huitingche, but zero actual guarantee, while the Jieshun Technology Center construction contract is performing normally Significant Guarantees Approved external guarantee limit totaled CNY 120 million, with zero actual guarantee and no irregular external guarantees Company and Subsidiary External Guarantee Information | Guaranteed Party Name | Guarantee Limit (CNY 10k) | Actual Guaranteed Amount (CNY 10k) | Guarantee Type | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | | Huizhou Jiaotong Huitingche Management Co., Ltd. | 12,000 | 0 | Joint and Several Liability Guarantee | No | Yes | - The total approved external guarantee limit at the end of the reporting period was CNY 120 million, with a total actual external guarantee balance of CNY 0 at the end of the reporting period[165] - The company had no irregular external guarantees during the reporting period[170] Other Significant Contracts The Jieshun Technology Center construction contract with China Huaxi Enterprise Co., Ltd. is performing normally Significant Construction Project Contracts | Company Party to Contract | Counterparty Name | Contract Subject | Contract Signing Date | Transaction Price (CNY 10k) | Performance Status at Period End | | :--- | :--- | :--- | :--- | :--- | :--- | | Shenzhen Jieshun Technology Industry Co., Ltd. | China Huaxi Enterprise Co., Ltd. | Jieshun Technology Center Construction and Installation General Contracting Project | January 19, 2018 | 26,188 | Normal performance | Explanation of Other Significant Matters Controlling shareholder Ms. Liu Cuiying's shares were partially frozen, the company won multiple city-level parking projects, and subsidiaries obtained high-tech certificates, changed business scope, and underwent equity and capital changes - Ms. Liu Cuiying, one of the company's actual controllers and controlling shareholders, had 9,832,841 shares of her company stock judicially frozen due to a personal loan contract dispute with another natural person[175] - As of June 10, 2020, the total number of company shares pledged (including frozen shares) by the company's actual controllers and controlling shareholders, Tang Jian and Liu Cuiying, was 61.582841 million shares, accounting for 9.55% of the company's total share capital[177] - The company consecutively won multiple city-level parking projects in Chongqing Bishan, Urumqi Xinjiang, and Qianjiang Hubei, with winning bids exceeding CNY 150 million[177] Significant Matters of Company Subsidiaries Shunyitong, Jieshun Jinke, and Komanda obtained high-tech certificates; Shunyitong expanded business scope; Jieshun Jinke transferred equity and reduced capital; Jieshun Zhicheng Technology was jointly established; and Shunyitong introduced new investors through capital increase - Controlled subsidiaries Shenzhen Shunyitong Information Technology Co., Ltd., Jieshun Jinchuang Technology (Shenzhen) Co., Ltd., and Shenzhen Komanda Intelligent Management Technology Co., Ltd. obtained high-tech enterprise certificates, allowing them to enjoy a 15% corporate income tax preferential policy for three years[178] - Controlled subsidiary Shunyitong added new business scopes, including equipment operating lease, parking lot management, advertising, wholesale, retail, and leasing of new energy charging equipment, automobile repair, maintenance, beauty, and cleaning, and pre-packaged food sales[178] - The company acquired 100% equity of Shenzhen Jieshuntong Network Technology Co., Ltd. from its wholly-owned subsidiary Jieshun Jinke for CNY 100 million; the company reduced the registered capital of Jieshun Jinke by CNY 60 million[178] - The company and its controlled subsidiary Shanghai Jieyi Software System Co., Ltd. jointly established Jieshun Zhicheng Technology (Shenzhen) Co., Ltd., a city parking joint venture, with the company investing CNY 44 million for an 88% stake[178] - Controlled subsidiary Shunyitong introduced Shenzhen Yidao Investment Consulting Partnership (Limited Partnership) and Shenzhen Wanhe Investment Consulting Partnership (Limited Partnership) through capital increase, which collectively hold 7.2308% of Shunyitong's equity; Jieshun Technology's shareholding decreased to 74.2154% but remains within the scope of consolidated financial statements[178] Share Changes and Shareholder Information Share Changes and Shareholder Information This section details changes in total, restricted, and unrestricted shares due to equity incentive grants, unlocking, and repurchases, and lists period-end shareholder numbers and holdings Share Change Status Total shares slightly decreased, restricted shares decreased, and unrestricted shares increased, primarily due to equity incentive grants, unlocking, and repurchase cancellations Share Change Information | | Number Before Change (shares) | Percentage | Change (+, -) | Number After Change (shares) | Percentage | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 277,845,218 | 43.05% | -65,525,743 | 212,319,475 | 32.92% | | II. Unrestricted Shares | 367,554,523 | 56.95% | 65,127,743 | 432,682,266 | 67.08% | | III. Total Shares | 645,399,741 | 100.00% | -398,000 | 645,001,741 | 100.00% | - Share changes are attributed to: the grant of 1.17 million restricted shares to 89 incentive recipients; the unlocking of 3.5451 million restricted shares for 492 incentive recipients; the repurchase and cancellation of 398,000 restricted shares for 14 incentive recipients due to resignation; and the increase and release of locked-up shares for directors, supervisors, and senior management[184][185] Restricted Share Change Information (Selected Directors, Supervisors, and Senior Management) | Shareholder Name | Beginning Restricted Shares (shares) | Shares Unrestricted This Period (shares) | Shares Restricted This Period (shares) | Ending Restricted Shares (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | :--- | | Tang Jian | 176,904,000 | 41,579,442 | | 135,324,558 | Regulations for Directors, Supervisors, and Senior Management Shares | | Liu Cuiying | 85,577,283 | 21,394,321 | | 64,182,962 | Regulations for Directors, Supervisors, and Senior Management Shares | | He Jun | 925,000 | 25,000 | | 900,000 | Regulations for Directors, Supervisors, and Senior Management Shares | | Zhao Yong | 855,410 | 12,500 | 7,500 | 850,410 | Regulations for Directors, Supervisors, and Senior Management Shares, increased due to erroneous purchase | | Zhou Yu | 771,325 | 23,500 | | 747,825 | Regulations for Directors, Supervisors, and Senior Management Shares | Number of Shareholders and Shareholding At period-end, there were 26,461 common shareholders, with the top ten's holdings, including restricted, unrestricted, pledged, or frozen shares, disclosed - The total number of common shareholders at the end of the reporting period was 26,461[201] Top 10 Common Shareholders' Shareholding Information | Shareholder Name | Shareholder Nature | Shareholding Percentage | Number of Common Shares Held at Period End (shares) | Number of Restricted Common Shares Held (shares) | Number of Unrestricted Common Shares Held (shares) | Pledge or Freeze Status (Share Status/Quantity) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Tang Jian | Domestic Natural Person | 27.97% | 180,432,744 | 135,324,558 | 45,108,186 | Pledged: 51,750,000 | | Shenzhen Special Zone Construction and Development Smart Transportation Investment Partnership (Limited Partnership) | Domestic Non-State-Owned Legal Person | 13.02% | 83,965,017 | | 83,965,017 | | | Liu Cuiying | Domestic Natural Person | 11.79% | 76,077,283 | 64,182,962 | 11,894,321 | Frozen: 9,832,841 | | Shenzhen Yuanzhifuhai Investment Management Co., Ltd. - Shenzhen Yuanzhifuhai M&A Equity Investment Fund Partnership (Limited Partnership) | Other | 2.06% | 13,290,247 | | 13,290,247 | | | Yunnan International Trust Co., Ltd. - Yunnan Trust · Great Western Silk Road No. 2 Collective Fund Trust Plan | Other | 1.38% | 8,920,455 | | 8,920,455 | | | Huaxia Life Insurance Co., Ltd. - Dividend - Individual Dividend | Other | 1.07% | 6,890,600 | | 6,890,600 | | | Zhang Tianxu | Domestic Natural Person | 0.88% | 5,649,964 | | 5,649,964 | | | Hong Kong Securities Clearing Company Limited | Overseas Legal Person | 0.77% | 4,934,907 | | 4,934,907 | | | Basic Pension Insurance Fund 1204 Portfolio | Other | 0.76% | 4,876,750 | | 4,876,750 | | | China Construction Bank Co., Ltd. - Harvest Frontier Technology Shanghai-Hong Kong-Shenzhen Stock Investment Fund | Other | 0.75% | 4,813,956 | | 4,813,956 | | - The company's controlling shareholders, Mr. Tang Jian and Ms. Liu Cuiying, are a married couple and have no associated relationship with other top 10 shareholders[208] Preferred Share Information Preferred Share Information The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[216] Convertible Corporate Bonds Information Convertible Corporate Bonds Information The company had no convertible corporate bonds during the reporting period - The company had no publicly issued and listed corporate bonds on a stock exchange during the reporting period that were unexpired or not fully redeemed as of the approval date of the semi-annual report[220] Directors, Supervisors, and Senior Management Information Directors, Supervisors, and Senior Management Information This section discloses shareholding changes for directors, supervisors, and senior management, with decreases for executives including Liu Cuiying, Zhao Yong, He Jun, Li Min, and Xiong Xianghua Shareholding Changes of Directors, Supervisors, and Senior Management Shareholdings of some directors, supervisors, and senior management changed, with decreases for executives including Liu Cuiying, Zhao Yong, He Jun, Li Min, and Xiong Xianghua Shareholding Changes of Directors, Supervisors, and Senior Management | Name | Position | Employment Status | Beginning Shareholding (shares) | Shares Increased This Period (shares) | Shares Decreased This Period (shares) | Ending Shareholding (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Tang Jian | Chairman | Current | 180,432,744 | | | 180,432,744 | | Liu Cuiying | Director, Deputy General Manager, CFO | Current | 85,577,283 | | 9,500,000 | 76,077,283 | | Zhao Yong | Director, General Manager | Current | 1,123,880 | 10,000 | 153,600 | 980,280 | | Zhou Yu | Director, Executive Deputy General Manager | Current | 997,100 | | | 997,100 | | He Jun | Deputy General Manager | Current | 1,200,000 | | 300,000 | 900,000 | | Li Min | Deputy General Manager | Current | 611,200 | | 150,000 | 461,200 | | Xiong Xianghua | Assistant General Manager | Current | 259,600 | | 40,000 | 219,600 | Changes in Company Directors, Supervisors, and Senior Management No changes occurred in the company's directors, supervisors, and senior management during the reporting period - No changes occurred in the company's directors, supervisors, and senior management during the reporting period[229] Corporate Bonds Information Corporate Bonds Information The company had no publicly issued and listed corporate bonds on a stock exchange during the reporting period - The company had no publicly issued and listed corporate bonds on a stock exchange that were unexpired or not fully redeemed as of the approval date of the semi-annual report[232] Financial Report Financial Report This section presents the company's unaudited consolidated and parent financial statements, including balance sheets, income statements, cash flow statements, and detailed notes on accounting policies and estimates Audit Report The company's semi-annual financial report is unaudited - The company's semi-annual financial report is unaudited[235] Financial Statements Presents the company's consolidated and parent balance sheets, income statements, and cash flow statements for H1 2020, detailing financial position and operating results Consolidated Balance Sheet Consolidated total assets were CNY 2.80 billion, with current assets at CNY 1.76 billion and non-current assets at CNY 1.05 billion; total liabilities were CNY 654.98 million, and total owners' equity was CNY 2.15 billion Consolidated Balance Sheet Key Data (June 30, 2020) | Item | Amount (CNY) | | :--- | :--- | | Total Assets | 2,804,169,854.20 | | Total Current Assets | 1,758,850,087.71 | | Total Non-Current Assets | 1,045,319,766.49 | | Total Liabilities | 654,978,308.25 | | Total Owners' Equity | 2,149,191,545.95 | | Monetary Funds | 922,368,212.42 | | Accounts Receivable | 557,432,473.71 | | Inventories | 185,331,400.83 | | Construction in Progress | 291,579,281.49 | | Short-Term Borrowings | 144,000,000.00 | | Long-Term Borrowings | 174,577,916.68 | Consolidated Income Statement Total operating revenue was CNY 399.15 million, a 6.18% YoY decrease; net profit was CNY 29.33 million, down 42.66% YoY; and net profit attributable to parent company owners was CNY 27.35 million, down 46.72% YoY Consolidated Income Statement Key Data (H1 2020) | Item | Amount (CNY) | Prior Half-Year (CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 399,153,406.10 | 425,449,065.84 | | Total Operating Costs | 382,095,746.87 | 379,366,590.21 | | Net Profit | 29,327,994.09 | 51,145,585.15 | | Net Profit Attributable to Owners of the Parent Company | 27,346,624.35 | 51,326,509.09 | | Minority Interest Income/Loss | 1,981,369.74 | -180,923.94 | | Basic Earnings Per Share (CNY/share) | 0.0427 | 0.0779 | | Diluted Earnings Per Share (CNY/share) | 0.0424 | 0.0771 | Consolidated Cash Flow Statement Net cash flow from operating activities was -CNY 101.84 million, a 29.61% YoY improvement; investing activities saw -CNY 78.53 million outflow; and financing activities had CNY 137.69 million inflow Consolidated Cash Flow Statement Key Data (H1 2020) | Item | Amount (CNY) | Prior Half-Year (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -101,836,741.24 | -144,671,321.72 | | Net Cash Flow from Investing Activities | -78,533,241.84 | -49,375,152.33 | | Net Cash Flow from Financing Activities | 137,688,885.16 | 50,524,709.87 | | Net Increase in Cash and Cash Equivalents | -42,553,121.96 | -143,521,764.18 | | Cash and Cash Equivalents at Period End | 916,974,316.25 | 1,094,455,681.16 | Company Basic Information Shenzhen Jieshun Technology, established in 1992 and listed in 2011, focuses on software and IT services, particularly smart parking, and consolidated two newly established subsidiaries during the period - Shenzhen Jieshun Technology Industry Co., Ltd. was registered with the Shenzhen Administration for Industry and Commerce on June 17, 1992, and listed on the Shenzhen Stock Exchange on August 15, 2011[308] - The company operates in the software and information technology services industry, with its main business being the sales and services of intelligent parking management systems, intelligent access gate management systems, and intelligent access control systems[308] - In May 2020, newly established subsidiary Ningbo Shenjie Information Technology Co., Ltd. (with a 60% stake) was included in the company's consolidated financial statements[309] - In June 2020, newly established subsidiary Jieshun Zhicheng Technology (Shenzhen) Co., Ltd. (with an 88% direct stake and a total stake of 94.708%) was included in the company's consolidated financial statements[309] Significant Accounting Policies and Estimates This section details significant accounting policies and estimates, including accounting standards, financial instruments, revenue recognition, and a change in building depreciation period from 30 years to 30-50 years Changes in Significant Accounting Policies and Estimates The company prospectively changed building depreciation from 30 years to 30-50 years to better reflect actual useful life - The content and reason for the accounting estimate change: based on current design and construction technology, building materials and construction standards are continuously improving, and the Jieshun Technology Center project is actually designed for a 50-year useful life; the company changed the depreciation period for buildings from 30 years to 30-50 years[400] - This change was approved by the company's Fifth Board of Directors at its third meeting and became effective on January 1, 2020[400] - The company applied this accounting estimate change prospectively, which will not impact the financial position and operating results for 2019, and the future impact cannot be determined[400] Taxation Discloses main tax categories and rates, including VAT and corporate income tax, with the company and several subsidiaries enjoying a 15% preferential corporate income tax rate as high-tech enterprises Main Tax Categories and Rates | Tax Type | Tax Base | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Sale of goods or provision of taxable services | 16%, 13%, 6% | | Urban Maintenance and Construction Tax | Amount of turnover tax payable | 7% | | Corporate Income Tax | Taxable income | 15%, 25% | | Property Tax | Levied ad valorem, calculated at 1.2% of the original value of the property after a one-time deduction of 30% | 1.2% | | Education Surcharge | Amount of turnover tax payable | 3% | | Local Education Surcharge | Amount of turnover tax payable | 2% | - The company, Shanghai Jieyi, Jinchuang Technology, Shunyitong, and Komanda have all obtained high-tech enterprise certificates, valid for 3 years, and enjoy a 15% preferential corporate income tax rate[405] Notes to Consolidated Financial Statement Items Details period-end and beginning balances, and current period changes for consolidated financial statement items including assets, liabilities, equity, income, costs, and expenses Monetary Funds Total monetary funds were CNY 922.37 million, including CNY 5.39 million in restricted letter of guarantee deposits Monetary Funds Information | Item | Period-End Balance (CNY) | Beginning Balance (CNY) | | :--- | :--- | :--- | | Cash on Hand | 390,298.79 | 409,681.82 | | Bank Deposits | 899,542,365.50 | 943,942,378.85 | | Other Monetary Funds | 22,435,548.13 | 20,504,700.01 | | Total | 922,368,212.42 | 964,856,760.68 | - Other monetary funds at period-end include restricted letter of guarantee deposits of CNY 5.39 million[406] Share Capital Total shares decreased to 645.00 million at period-end, primarily due to repurchase and cancellation of restricted shares for ineligible incentive recipients Share Capital Change Information | Item | Beginning Balance (CNY) | Change This Period (+, -) | Period-End Balance (CNY) | | :--- | :--- | :--- | | Total Shares | 645,399,741.00 | -398,000.00 | 645,001,741.00 | - The decrease in share capital is primarily due to the repurchase and cancellation of 398,000 restricted shares granted to 14 incentive recipients who no longer met the incentive conditions[563] Treasury Stock Treasury stock decreased to CNY 36.41 million at period-end, primarily due to equity incentive unlocking and repurchase cancellations, alongside new reserved restricted stock Treasury Stock Change Information | Item | Beginning Balance (CNY) | Increase This Period (CNY) | Decrease This Period (CNY) | Period-End Balance (CNY) | | :--- | :--- | :--- | :--- | :--- | | Restricted Shares | 41,650,000.00 | 7,324,200.00 | 13,442,240.00 | 35,531,960.00 | | Secondary Market Repurchased Shares | 11,641,828.78 | | 10,767,541.24 | 874,287.54 | | Total | 53,291,828.78 | 7,324,200.00 | 24,209,781.24 | 36,406,247.54 | - The decrease in treasury stock is primarily due to the unlocking of 3.5451 million shares under the fourth phase restricted stock incentive plan's initial grant, and the repurchase and cancellation of 398,000 restricted shares for ineligible incentive recipients[569] - New reserved restricted stock treasury stock amounted to CNY 7.32 million[570] Operating Revenue and Operating Costs Operating revenue was CNY 399.15 million and operating costs were CNY 216.88 million, with domestic business and non-dealer channels dominating revenue Operating Revenue and Operating Costs Information | Item | Current Period Revenue (CNY) | Current Period Cost (CNY) | Prior Period Revenue (CNY) | Prior Period Cost (CNY) | | :--- | :--- | :--- | :--- | :--- | | Main Business | 367,744,143.62 | 207,224,756.64 | 391,921,408.35 | 219,192,985.35 | | Other Business | 31,409,262.48 | 9,653,835.42 | 33,527,657.49 | 10,311,274.16 | | Total | 399,153,406.10 | 216,878,592.06 | 425,449,065.84 | 229,504,259.51 | Revenue by Operating Region | Item | Revenue (CNY) | | :--- | :--- | | Domestic | 397,481,512.79 | | International | 1,671,893.31 | Revenue by Sales Channel | Item | Revenue (CNY) | | :--- | :--- | | Dealer Channel | 52,908,120.67 | | Non-Dealer Channel | 346,245,285.43 | Cash Flow Statement Items Cash from other operating activities included intercompany balances, bank interest, and government grants; cash paid for other operating activities included period expenses and guarantee deposits; investing activities had no other cash inflows, and financing activities included share repurchase outflows Other Cash Received Related to Operating Activities | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Intercompany Balances | 5,460,044.14 | 9,732,380.43 | | Bank Interest Income | 10,782,944.88 | 14,195,584.85 | | Government Grants | 9,953,394.73 | 5,056,473.22 | | Other | 814,297.10 | 1,013,168.70 | | Total | 27,010,680.85 | 32,047,781.20 | Other Cash Paid Related to Operating Activities | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Cash Outflow for Period Expenses | 21,970,730.96 | 28,255,785.19 | | Fees and Other Expenses | 2,130,379.60 | 721,937.66 | | Donations and Fines | 12,880.82 | 1,266.56 | | Payment of Letter of Guarantee Deposits | 748,920.61 | 8,405,638.82 | | Total | 24,862,911.99 | 37,384,628.23 | Other Cash Received Related to Investing Activities | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Recovery of Investment Earnest Money | | 20,000,000.00 | | Total | | 20,000,000.00 | Other Cash Paid Related to Financing Activities | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Cash Paid for Share Repurchase | 1,293,500.00 | | | Total | 1,293,500.00 | 0.00 | Changes in Consolidation Scope The company added two newly established subsidiaries, Ningbo Shenjie Information Technology and Jieshun Zhicheng Technology, to its consolidation scope - In May 2020, Jieshun Yingsheng invested CNY 3 million to establish "Ningbo Shenjie Information Technology Co., Ltd." with a 60% stake, which was included in the company's consolidated financial statements for this period[644] - In June 2020, Jieshun Technology invested CNY 10 million to establish "Jieshun Zhicheng Technology (Shenzhen) Co., Ltd." with an 88% direct stake and an indirect stake of 6.708% held by Shanghai Jieyi, totaling 94.708%, which was included in the company's consolidated financial statements for this period[644] Interests in Other Entities Discloses the company's interests in subsidiaries, joint ventures, and associates, including shareholding, business nature, and key financial data for significant non-wholly-owned subsidiaries Interests in Subsidiaries The company holds interests in multiple subsidiaries, with Shunyitong, Shanghai Jieyi, and Shanghai Yafeng identified as significant non-wholly-owned entities Composition of the Enterprise Group (Selected Subsidiaries) | Subsidiary Name | Main Operating Location | Business Nature | Shareholding Percentage (Direct) | Acquisition Method | | :--- | :--- | :--- | :--- | :--- | | Shunyitong | Shenzhen | Commercial | 80.00% | Establishment | | Jieshuntong | Shenzhen | Commercial | 100.00% | Establishment | | Komanda | Shenzhen | Software Industry | 100.00% | Establishment | | Jieyifu | Shenzhen | Commercial | 100.00% | Business Combination Not Under Common Control | | Shanghai Jieyi | Shanghai | Software Industry | 55.90% | Business Combination Not Under Common Control | | Shanghai Yafeng | Shanghai | Software Industry | 75.00% | Business Combination Not Under Common Control | | Jinchuang Technology | Shenzhen | Software Industry | 100.00% | Establishment | | Aoshun Smart | Shenzhen | Software Industry | 100.00% | Establishment | | Fuzhou Jieshun | Fuzhou | Commercial | 100.00% | Business Combination Not Under Common Control | | Jieshun Yingsheng | Shenzhen | Commercial | 100.00% | Establishment | | Jieshun Zhicheng | Shenzhen | Commercial | 88.00% | Establishment | Significant Non-Wholly-Owned Subsidiaries | Subsidiary Name | Minority Shareholding Percentage | Profit/Loss Attributable to Minority Shareholders This Period (CNY) | Minority Interest Balance at Period End (CNY) | | :--- | :--- | :--- | :--- | | Shunyitong | 20.00% | 1,150,383.73 | 59,716,314.56 | | Shanghai Jieyi | 44.10% | 982,610.56 | 12,264,728.35 | | Shanghai Yafeng | 25.00% | -119,107.31 | 669,392.72 | | Nanning Jieshun | 25.00% | 19,151.81 | 315,388.69 | | Wuxi Jieshun | 25.00% | 34,028.44 | 528,484.13 | | Ningbo Jieshun | 25.00% | -24,779.33 | 975,220.67 | Interests in Joint Arrangements or Associates The company holds interests in associates including Nanjing Mobo, Jiangsu Jieshun, and Qingdao Jieshun, with their key financial information disclosed Key Financial Information of Significant Associates (Current Period Amounts) | Item | Nanjing Mobo (CNY) | Jiangsu Jieshun (CNY) | Qingdao Jieshun (CNY) | | :--- | :--- | :--- | :--- | | Total Assets | 8,744,774.85 | 5,890,923.25 | 9,712,160.67 | | Total Liabilities | 506,017.84 | 2,972,156.76 | 6,302,302.74 | | Equity Attributable to Parent Company Shareholders | 8,238,757.01 | 2,918,766.49 | 3,409,857.93 | | Operating Revenue | 3,688,741.63 | 1,619,210.44 | 6,120,782.17 | | Net Profit | 995,799.24 | -1,874,907.26 | 324,585.89 | | Total Comprehensive Income | 995,799.24 | -1,874,907.26 | 324,585.89 | Risks Related to Financial Instruments The company faces credit, liquidity, and market risks (interest rate and foreign exchange), managed through credit assessment, diversified financing, and exchange rate management - The company faces credit risk, liquidity risk, and market risk (including interest rate risk and foreign exchange risk)[666][671] - Credit risk primarily arises from monetary funds and receivables, managed by depositing monetary funds with highly-rated financial institutions and continuously assessing customer credit[668] - Liquidity risk is managed by utilizing financing methods such as bank borrowings and adopting a combination of long-term and short-term financing to optimize the financing structure[671] - Market risk, specifically interest rate risk, is managed by determining the proportion of fixed-rate and floating-rate financial instruments; foreign exchange risk is managed by buying and selling foreign currencies when necessary to maintain net exposure at an acceptable level[671] Related Parties and Related Party Transactions Discloses related party information, including parent company, ultimate controlling parties, subsidiaries, joint ventures, and associates, along with related party transactions like sales of goods and services - The ultimate controlling parties of the enterprise are Tang Jian and Liu Cuiying[675] Related Party Transactions for Sales of Goods/Provision of Services | Related Party | Related Party Transaction Content | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | :--- | | Jiangsu Jieshun | Sales of Goods | 1,356,014.38 | 72,712.16 | | Qingdao Jieshun | Sales of Goods | 1,946,013.78 | 1,722,600.97 | | Shijiazhuang Jieshun | Sales of Goods | 1,167,282.56 | 505,670.53 | | Zhengzhou Jieshun | Sales of Goods | 1,748,307.31 | 4,372,509.79 | | Changsha Jieshun | Sales of Goods | 1,753,491.56 | 1,990,165.49 | | Guiyang Jieshun | Sales of Goods | 1,069,557.69 | 2,713,747.23 | | Heyuan Jieshun | Sales of Goods | 853,870.83 | | | Huizhou Jiaotong | Sales of Goods | 14,337,085.64 | | | Jiaxing Jieshun | Sales of Goods | 512,828.07 | | | Changde Tianfang | Sales of Goods | 168,526.55 | | Related Party Receivables (Accounts Receivable) | Item Name | Related Party | Period-End Book Balance (CNY) | Bad Debt Provision (CNY) | | :--- | :--- | :--- | :--- | | Accounts Receivable | Jiangsu Jieshun | 1,642,673.96 | 88,774.23 | | | Qingdao Jieshun | 2,241,483.04 | 67,244.49 | | | Shijiazhuang Jieshun | 534,071.90 | 16,022.16 | | |