# – Right-of-use assets

Our right-of-use assets comprise the initial measurement of the corresponding lease liability in relation to our retail stores and roboshops, lease payments made at or before the commencement date and any initial direct costs. Our right-of-use assets are depreciated starting at the commencement date over the shorter period of useful life of the underlying asset and lease term. Our right-of-use assets increased from RMB178.9 million as of 31 December 2019 to RMB287.8 million as of 31 December 2020, due to the expansion in our retail store and roboshop network.

# – Bank borrowings

We did not have any bank borrowings as of 31 December 2020.

# Pledge of Assets

We did not have any pledged assets as of 31 December 2020.

# Gearing Ratio

As at 31 December 2020, our gearing ratio was 12.1% as compared with the gearing ratio of 44.4% as at 31 December 2019. The gearing ratio is calculated by dividing total liabilities by total assets and then multiplying by 100%.

# Contingency

We are not currently involved in any material legal proceedings, nor are we aware of any pending or potential material legal proceedings involving us. If we are involved in such material legal proceedings, we would record any loss or contingency when, based on information then available, it is likely that a loss has been incurred and the amount of the loss can be reasonably estimated.

－ 使用權資產

使用權資產包括與我們的零售店及機器人商店有關的相應租賃負債於開始日期或之前做出的租賃付款及任何初步直接成本的初步計量。使用權資產子開始日期起按相關資產可使用年期與短期的較短期間予以折舊。我們的使用權資產由截至2019年12月31日的人民幣178.9百萬元增加至截至2020年12月31日的人民幣287.8百萬元，原因是零售店及機器人商店網絡的擴張。

－ 銀行借款

截至2020年12月31日我們並無任何銀行借款。

資產抵押

截至2020年12月31日我們並無任何資產抵押。

資產負債率

於 2020 年 1 2 月 3 1 日，我們的資產負債率為12.1%，而於2019年12月31日的資產負債率則為44.4%。資產負債率乃總負債除以總資產並乘以100%。

或有事件

我們目前並無涉及任何重大法律訴訟，亦不知悉我們涉及任何待決或潛在重大法律訴訟。倘我們涉及有關重大法律訴訟，則我們會於產生虧損且有關虧損金額可合理估計時，按當時所得資料記錄任何虧損或或有負債。

On 28 August 2020, we received a court summons dated 19 August 2020 in relation to a claim brought by Golden Eagle International Retail Group (China) Co., Ltd. (金鷹國際商貿集團(中國)有限公司) as a shareholder on behalf of Nanjing Golden Eagle Pop Mart at the Jiangsu Nanjing Intermediate People’s Court (江蘇省南京市中級人民法院) against Beijing Pop Mart Culture & Creative Co., Ltd. As we have been advised by our PRC legal adviser that the claim brought by Golden Eagle International is groundless, the likelihood that the claim will be decided in favor of Golden Eagle International is very low, the risk exposure of the Company from the claim is minimal and the claim will not have a material adverse impact on our operations and financial performance, as such, no provision in relation to this claim has been recognized in the consolidated financial statements.

# Foreign Exchange Risk Management

We operate mainly in the PRC with most of the transactions settled in Renminbi. Our management considers that the business is not exposed to any significant foreign exchange risk as there are no significant financial assets or liabilities of our Group denominated in currencies other than the respective functional currencies of our operating entities. We did not hedge against any fluctuation in foreign currency during the year ended 31 December 2020.

# Capital Expenditures

Our capital expenditures consist of (1) purchases of property, plant and equipment and (2) purchases of intangible assets.

於2020年8月28日，我們收到日期為2020年8月19日的法院傳票，內容有關金鷹國際商貿集團（中國）有限公司（作為股東）代表南京金鷹泡泡瑪特在江蘇省南京市中級人民法院向北京泡泡瑪特文化創意有限公司提起的申索。據中國法律顧問告知，金鷹國際提起的申索並無依據，申索判決金鷹國際勝訴的可能性極低，本公司面臨的來自該申索的風險微乎其微，且該申索將不會對我們的營運及財務表現產生重大不利影響，故概無就該申索於綜合財務報表確認撥備。

外匯風險管理

我們主要於中國經營業務，交易主要以人民幣結算。由於本集團並無以我們經營實體各自功能貨幣以外貨幣計值的重大金融資產或負債，故管理層認為業務並無任何重大外匯風險敞口。於截至2020年12月31日止年度期間，我們並無對沖任何外幣波動。

資本開支

我們的資本開支包括(1)購置物業、廠房及設備的款項及(2)購置無形資產的款項。

<table><tr><td rowspan="2"></td><td colspan="2">For the year ended December 31,
截至12月31日止年度</td></tr><tr><td>2020 
2020年 
(RMB’ 000) 
（人民幣千元）</td><td>2019
2019年
(RMB’ 000)
（人民幣千元）</td></tr><tr><td>Purchases of property, plant and equipment      購置物業、廠房和設備</td><td>175,984</td><td>104,951</td></tr><tr><td>Purchases of intangible assets             購置無形資產</td><td>47,608</td><td>12,551</td></tr><tr><td>Total                     合計</td><td>223,592</td><td>117,502</td></tr></table>