CXJG(SZ:002547) Shang Hai Zheng Quan Bao·2025-11-21 19:54Core Viewpoint - Suzhou Chunxing Precision Industry Co., Ltd. has received a government subsidy of 40 million yuan, which will be converted from a loan related to employee layoffs due to relocation, significantly impacting the company's financials by increasing net profit in 2025 by an estimated 34 million yuan [2][6]. Group 1: Basic Information on the Subsidy - The company signed an investment agreement with the Jinzhai County People's Government in June 2019, which included a provision for a 40 million yuan subsidy for employee layoffs due to relocation [2]. - The full subsidiary, Jinzhai Chunxing Precision Industry Co., Ltd., received a loan of 40 million yuan in January 2022, designated as "layoff subsidy loan" [2]. - The loan has now been confirmed to meet the conditions for conversion into a subsidy, representing 20.10% of the company's audited net profit for the most recent fiscal year [2]. Group 2: Type of Subsidy and Impact on the Company - The received subsidy is classified as a relocation layoff subsidy, which is related to income [4]. - According to accounting standards, government subsidies can be categorized as either asset-related or income-related; this subsidy falls under the latter category [3][5]. - The subsidy will be recorded as other income, with an expected increase in net profit of 34 million yuan for the fiscal year 2025 [6].