ChatDOC/OCRFlux-bench-single huggingface dataset:
Items	Notes	For the six months ended 30 June
2021	2020
Cash paid to aciquire fixed assets, intanblge assets and
other long-term assets	25227473.40,,	49,891,307.59
Cash paid for investments	212000000.00,,	154,000,000.00
Cash paid relating to other investment activities	3207518.74,,	361,187,463.73
Subtotal of cash outflows from investment activities	240434992.14,,	565,078,771.32
Net cash flows generated from investment activities	126237775.23,,	(413,658,888.15)
III. Cash flow generated from financing activities:
Cash received from investments	330000.00,	371,700.00
Including: Cash received by subsidiaries from investment of
non-controlling interests	330000.00,	371,700.00
Cash received from loan granted	1024102431.07,,,	1,274,205,425.00
Cash received relating to other financing activities	–	26,801,199.53
Subtotal of cash inflows from financing activities	1024432431.07,,,	1,301,378,324.53
Cash paid for repayment of borrowings	922715545.00,,	571,212,762.78
Cash paid for dividends, profits or the payment of interest	45612993.92,,	72,996,667.63
Including: dividends and profits paid to non-controlling interests
by subsidiary	5746345.00,,	4,752,225.00
Cash paid relating to financing activities	38932318.64,,	255,927,309.71
Subtotal of cash outflows from financing activities	1007260857.56,,,	900,136,740.12
Net cash flows generated from financing activities	17171573.51,,	401,241,584.41
IV.Effects of changes in exchange rate on cash and cash
equivalents	(1457731.16,,)	(1,943,967.50)
V. Net increase in cash and cash equivalents	13491062.03,,	(168,728,818.18)
Add: opening balance of cash and cash equivalents	1327289120.69,,,	1,537,567,094.59
VI.Balance of cash and cash equivalents at the end of this
period	1340780182.72,,,	1,368,838,276.41
# NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION

For the six months ended 30 June 2021

# I. GENERAL INFORMATION

Chongqing Machinery & Electric Co., Ltd. (the “Company”) was established on 27 July 2007 as a joint share company with limited liability by Chongqing Machinery & Electronics Holding (Group) Co., Ltd. (“CQMEHG”), Chongqing Yufu Capital Operation Group Co., Ltd (“Yufu company”,originally called Chongqing Yufu Assets Management Co., Ltd), China Huarong Asset Management Co., Ltd. (“Huarong Company”), and Chongqing Construction Engineering Group Co. Ltd. (“CCEG”). The address of the Company’s registered office is No. 60, Middle Section of Huangshan Avenue, New North Zone, Chongqing City, the PRC. The Company’s headquarter is located in Chongqing, the PRC. The parent company and the ultimate controlling shareholder is Chongqing Machinery & Electronics Holding (Group) Co. Ltd. The Group was established with a registered capital of RMB2,679.74 million (RMB1 per share).

On 13 June 2008, the Group publicly issued 1,004.90 million H shares to foreign investors with approval of the Circular “Zhengjian Xuke [2008] No. 285” of the China Securities Regulatory Commission, and the shares were listed on The Stock Exchange of Hong Kong Limited (the “Stock Exchange”). After issuing the shares, the total share capital increased to RMB3,684.64 million.

As of 30 June 2021, the registered capital of the Group was RMB3,684,640,154 yuan. The Group and its Subsidiaries (hereinafter collectively referred to as “the Group”) are mainly engaged in the manufacturing, sales and services of clean energy equipment and high-end intelligent equipment.

The consolidated financial statements have been approved for issue by the Board of Directors of the Group on 26 August 2021.

# II. BASIS FOR THE PREPARATION OF FINANCIAL STATEMENTS

# (1) Basis of preparation

The financial statements are prepared in accordance with the Accounting Standard for Business Enterprises – Basic Standard, and the specific accounting standards and other relevant regulations issued by the Ministry of Finance on 15 February 2006 and in subsequent periods (hereafter collectively referred to as “the Accounting Standards for Business Enterprises” or “CAS”) and the disclosure requirements in the Preparation Convention of Information Disclosure by Companies Offering Securities to the Public No.15-General Rules on Financial Reporting issued by the China Securities Regulatory Commission, Hong Kong’s “Companies Ordinance” and based on the accounting policies and accounting estimates set out in “III. SIGNIFICANT ACCOUNTING POLICIES AND ACCOUNTING ESTIMATES” in this note.
# 1. Changes in Accounting Policies and Disclosures (continued)

# Amendments to HKFRS 9, HKAS 39 and HKFRS 7 Interest Rate Benchmark Reform Amendments to HKFRS 9, HKAS 39 and HKFRS 7 address the effects of interbank offered rate reform on issues affecting financial reporting in the period before the replacement of an existing interest rate benchmark with an alternative risk-free rate ("RFR"). The amendments provide temporary reliefs which enable hedge accounting to continue during the period of uncertainty before the replacement of an existing interest rate benchmark introduction of the alternative RFR. In addition, the amendments require companies to provide additional information to investors about their hedging relationships which are directly affected by these uncertainties. The amendments did not have any impact on the financial position and performance of the Group as the Group does not have any interest rate hedge relationships.

# Amendments to HKAS 1 and HKAS 8 Definition of Material

Amendments to HKAS 1 and HKAS 8 provide a new definition of material. The new definition states that information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements. The amendments clarify that materiality will depend on the nature or magnitude of information, or both. The amendments did not have any significant impact on the financial position and performance of the Group.

# Amendment to HKFRS 16 COVID-19-Related Rent Concessions

Amendment to HKFRS 16 provides a practical expedient for lessees to elect not to apply lease modification accounting for rent concessions arising as a direct consequence of the COVID-19 pandemic. The practical expedient applies only to rent concessions occurring as a direct consequence of the pandemic and only if (i) the change in lease payments results in revised consideration for the lease that is substantially the same as, or less than, the consideration for the lease immediately preceding the change; (ii) any reduction in lease payments affects only payments originally due on or before 30th June, 2021; and (iii) there is no substantive change to other terms and conditions of the lease. The amendment is effective for annual periods beginning on or after 1st June, 2020 with earlier application permitted and shall be applied retrospectively. The amendments did not have any impact on the financial position and performance of the Group as the Group does not have any rent concessions.
# 2. Operating Segment Information

# (a) Operating segments

The following tables present revenue, profit and certain asset and liability information for the Group's operating segments.

Insurance	Corporate	Eliminations	Consolidated
2020	2020	2020	2020
HK$'000	HK$'000	HK$'000	HK$'000
Segment revenue:
External customers	1,747,918	-	-	1,747,918
Other revenue, income and
gains, net	109,687	160,833	-	270,520
Intersegment	5,911	-	(5,911)	-
Total	1,863,516	160,833	(5,911)	2,018,438
Segment results	184,914	106,029	-	290,943
Share of profits or losses of:
Joint ventures	(6,313)	33,196	-	26,883
Associates	16,891	37,704	-	54,595
Profit before tax	372,421
Income tax expense	(6,037)	(21,437)	-	(27,474 )
Profit for the year	344,9 47

Insurance
2019	Corporate
2019	Eliminations
2019	Consolidated
2019
HK$'000	HK$'000	HK$'000	HK$'000
Segment revenue:
External customers	1,702,009	-	-	1,702,009
Other revenue, income and
gains, net	131,360	147,016	-	278,376
Intersegment	5,339	-	(5,339)	-
Total	1,838,708	147,016	(5,339)	1,980,385
Segment results	203,613	83,601	-	287,214
Share of profits or losses of:
Joint ventures	12,105	34,696	-	46,801
Associates	(7,184)	107,428	-	100,244
Profit before tax	434,259
Income tax expense	(25,796)	(895)	-	(26,691 )
Profit for the year	407,568
# 16. INVESTMENT IN AN ASSOCIATE (Continued)

Details of the Group’s associate at the end of the reporting period are as follows:

Name of entity	Country of
reigstration	Principal
lpace of
business	Proportion of
ownership interest
held by the Group	Proportion of
voting rihgts
held by the Group	Principal activity
2020	2019	2020	2019
Shanhiiga Duonng
BiotechnoloCgy o.,
Ltd. (“Duonin”g)	PRC	PRC	15.86%	8.13%	20%	20%	Sales of serum-free media and
disposable products, formulation
production and services

In April 2019, the Group acquired 9.32% of the equity interest in Duoning from independent third parties for a total purchase price of US\$5,000,000 (equivalent to RMB33,798,000). In December 2019, other investors further invested in Duoning and the Group’s equity interest was diluted to 8.13%. In December 2020, the Group further acquired 7.73% of the equity interest in Duoning from its shareholders for a purchase price of RMB154,526,000. The Group is able to exercise significant influence over Duoning because it has the power to appoint one out of the five directors of Duoning under the Articles of Association of Duoning.

# 17. DEFERRED TAXATION

For the purpose of presentation in the consolidated statement of financial position, certain deferred tax assets and liabilities have been offset. The following is a summary of the deferred tax balances for financial reporting purposes:

2020	2019
RMB’000	RMB’000
Deferred tax assets	80,136	36,043
Deferred tax liabilities	(180,885)	(24,734)
(100,749)	11,309
# 17. DEFERRED TAXATION (Continued)

The following are the major deferred tax assets and liabilities recognized and movements thereon before offsetting during the reporting periods:

Deferred
income	Allowance
on
inventories
and credit
losses	Accrued
expenses	Accelerated
tax
depreciation	Deferred
rental
under
IFRS 16	Fair value
adjustment
arising
from
acquisition
of
subsidiaries	Unrealized
exchange
gain	Derivative
financial
instruments	Others	Total
RMB’000	RMB’000	RMB’000	RMB’000	RMB’000	RMB’000	RMB’000	RMB’000	RMB’000	RMB’000
At January 1, 2019	13,383	10,780	6,125	(10,487)	2,746	—	—	—	—	22,547
Acquisition of subsidiaries	—	—	—	—	—	(27,401)	—	—	—	(27,401)
Credited to profit or loss	5,795	2,512	1,465	2,390	1,307	2,667	—	—	27	16,163
At December 31, 2019	1917,8	132,92	7,590	(8,097)	4,053	(247,34)	—	—	27	11,309
Credited (charged) to profit or loss	1272,3	2022,8	6,334	2,658	221,9	7,061	(124,375)	—	(68)	(7322,0)
Charged to OCI	—	—	—	—	—	—	(391)	(38447,)	—	(38,838)
At December 31, 2020	31,901	33,520	13,924	(54,39)	6272,	(17,673)	(1247,66)	(38447,)	(41)	(10074,9)

As at December 31, 2020, the Group had unused tax losses of RMB47,182,000 (2019: RMB88,366,000) available to offset against future profits. No deferred tax asset has been recognized in respect of such losses in both 2020 and 2019 due to the unpredictability of future profit streams.

Apart from unused tax losses as mentioned above, at December 31, 2020, the Group had other deductible temporary differences of RMB504,630,000 (2019: RMB218,947,000), available to offset against future profits. As at December 31, 2020 and 2019, all the deductible temporary differences had been recognized in deferred tax assets.
# 2 Summary of significant accounting policies (Continued)

# (b) Investments (Continued)

Investments that are listed or traded on an exchange are fair valued based on last traded market prices.

Transfers between levels of the fair value hierarchy are deemed to have occurred at the beginning of the reporting period.

# (c) Offsetting financial instruments

Financial assets and liabilities are offset and the net amount reported in the Statement of Net Assets where the Fund currently has a legally enforceable right to set-off the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. The legally enforceable right must not be contingent on future events and must be enforceable in the normal course of business and in the event of default, insolvency or bankruptcy of the Fund or the counterparty.

# (d) Income

Dividend income on equity securities is recorded on the ex-dividend date. Dividend income on equity securities where no ex-dividend date is quoted is accounted for when the Fund’s right to receive payment is established.

Interest income on bank deposit and from bank balances is recognized on a time-proportionate basis using the effective interest method.

Other income is accounted for in the Statement of Comprehensive Income on an accrual basis.

# (e) Expenses

Expenses are accounted for in the Statement of Comprehensive Income on an accrual basis.

# (f) Distributions payable to holders of redeemable units

Proposed distributions to holders of redeemable units are recognized in the Statement of Comprehensive Income when they are approved by the Supervisory Committee. The distribution on these redeemable units is recognized in the Statement of Comprehensive Income as finance costs.

# (g) Cash component

Cash component represents the amount included in the issue price or redemption proceeds (as the case may be) of the units issued or redeemed, representing the difference between the net asset value per Creation Unit as calculated by the Manager as of that date and the value of the Index Basket (as defined in the Prospectus of the Fund and based on the nominal closing prices as of that date), including the dividend equivalent amount per Creation Unit.

# (h) Cash and cash equivalents

Cash and cash equivalents include cash in hand, demand deposits, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts.
# NOTES TO THE FINANCIAL STATEMENTS (Continued)

# 2 Summary of significant accounting policies (Continued)

# (i) Translation of foreign currencies

# Functional and presentation currency

Items included in the financial statements are measured using the currency of the primary economic environment in which the Fund operates (the “functional currency”). The performance of the Fund is measured and reported to the holders of redeemable units in Hong Kong dollar. The Manager considers the Hong Kong dollar as the currency that most faithfully represents the economic effects of the underlying transactions, events and conditions. The financial statements are presented in Hong Kong dollar, which is the Fund’s functional and presentation currency.

# Transactions and balances

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign currency assets and liabilities are translated into the functional currency using the exchange rate prevailing at the year end date.

Foreign exchange gains and losses arising from translation are included in the Statement of Comprehensive Income.

Foreign exchange gains and losses relating to cash and cash equivalents are presented in the Statement of Comprehensive Income within “net foreign currency gains/losses on cash and cash equivalents”.

Foreign exchange gains and losses relating to the financial assets carried at fair value through profit or loss are presented in the Statement of Comprehensive Income within “net gain/(loss) on investments”.

# (j) Redeemable units

The Fund issues redeemable units, which are redeemable at the holder’s option and are classified as financial liabilities. Redeemable units can only be redeemed in-kind equal to a proportionate share of the Fund’s net asset value. The redeemable unit is carried at the redemption amount that is payable at the year end date if the holder exercises the right to put the unit back to the Fund. In accordance with the Trust Deed, the minimum redemption units are 1,000,000 units.

Redeemable units are issued and redeemed at the holder’s option at prices based on the Fund’s net asset value per unit at the time of issue or redemption. The Fund’s net asset value per unit is calculated by dividing the net assets attributable to the holders of redeemable units with the total number of outstanding redeemable units. In accordance with the provisions of the Trust Deed, investment positions are valued based on the last traded market price for the purpose of determining the net asset value per unit for creations and redemptions.

# (k) Segmental reporting

Operating segments are reported in a manner consistent with the internal reporting used by the chief operating decision-maker. The Manager, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the chief operating decision-maker that makes strategic decisions.
# Issue of new Shares under the Share Option Scheme will have a dilution effect and may affect the Group’s profitability

The Company has conditionally adopted the Share Option Scheme. Although no options have been granted thereunder as at the Latest Practicable Date, any exercise of the options granted under the Share Option Scheme in the future and issue of the Shares thereunder would result in a reduction in the percentage ownership of the Shareholders in the Company and may result in a dilution in the earnings per Share and net assets value per Share, as a result of the increase in the number of Shares outstanding after the issue.

Under HKFRS, any options granted to the grantees through the Share Option Scheme will be recognised as share based payment and will be charged to the Group’s income statements at fair value at the date of which such options are granted. As such, any grant of options under the Share Option Scheme may increase the expenses of the Group and may thereby affect the Group’s profitability.

# You should not rely on any information contained in press articles or other media regarding the Company and the Share Offer

Prior to the publication of this prospectus, there may be certain press and media coverage regarding the Company and the Share Offer which may include certain financial information, industry comparisons, profit estimates and other information about the Company that does not appear in this prospectus. The Group has not authorised the disclosure of any such information in the press or media and does not accept any responsibility for any such press or media coverage or the accuracy or completeness of any such information. The Group makes no representation as to the appropriateness, accuracy, completeness or reliability of any such information or publication. Prospective investors should not rely on any such information and should only rely on information included in this prospectus in making any decision as to whether to subscribe for the Shares.
This prospectus contains forward-looking statements, including, but without limitation to, the words and expressions such as “aim”, “expect”, “believe”, “plan”, “intend”, “anticipate”, “may”, “seek”, “will”, “would” and “could” and the negative of these words or other similar expressions or statements, in particular, in the sections headed “Business”, “Financial Information” and “Future Plans and Use of Proceeds” in this prospectus in relation to future events, business or other performance and development, the future development of the Group’s industry and the future development of the general economy of the Group’s key markets and globally.

These statements are based on numerous assumptions regarding the Group’s present and future business strategy and the environment in which the Group will operate in the future. These forward-looking statements reflecting the Group’s current views with respect to future events are not a guarantee of future performance and are subject to certain risks, uncertainties and assumptions, including the risk factors described in this prospectus and the following:

• the Group’s business and operating strategies and the Group’s ability to implement such strategies;

• the Group’s capital expenditure and expansion plans;

• the Group’s ability to further develop and manage the Group’s expansion projects as planned;

• the Group’s operations and business prospects;

• various business opportunities that the Group may pursue;

• the Group’s financial position;

• the availability and costs of bank loans and other forms of financing;

• the Group’s dividend policy;

• the regulatory environment of the Group’s industry in general;

• the performance and future developments of the consumer electronics industry;

• the general outlook of the consumer electronics market in the world;

• changes in political, economic, legal and social conditions in the PRC, including the specific policies of the PRC government and the local authorities in the regions where the Group operates;
# 8. SEGMENT INFORMATION (continued)

# Revenue from major products

# Analysis by type of products

8. 分部資料（續）

來自主要產品的收益

按產品類別劃分的分析

2018
2018年	2017
2017年
HK$’000
千港元	HK$’000
千港元
LED backlight LED背光
– Small dimension －小尺寸	302,990	331,363
– Medium dimension －中尺寸	414,713	295,997
– Large dimension －大尺寸	129,853	128,715
Sub-total 小計	847,556	756,075
LED lighting LED照明
– Indoor lighting －室內照明	56,535	19,395
– Outdoor lighting －室外照明	25,460	35,136
Sub-total 小計	81,995	54,531
Sourcing business 採購業務	1,320,235	867,360
Total 合計	2,249,786	1,677,966
# 8. SEGMENT INFORMATION (continued)

# Revenue from major products (continued)

# Analysis by application of products

8. 分部資料（續）

來自主要產品的收益（續）

按產品應用劃分的分析

2018
2018年	2017
2017年
HK$’000
千港元	HK$’000
千港元
LED backlight LED背光
– Automobile displays －車載顯示	489,285	357,110
– Equipment displays －儀器顯示	229,117	270,145
– Televisions －電視機	129,154	128,820
Sub-total 小計	847,556	756,075
LED lighting LED照明
– Public lighting －公用照明	25,755	34,839
– Commercial lighting －商用照明	56,240	19,692
Sub-total 小計	81,995	54,531
Sourcing business 採購業務	1,320,235	867,360
Total 合計	2,249,786	1,677,966
# 5. OUR ENVIRONMENT (Continued)

# 5.1 Emissions (Continued)

Waste generated by the Offices:

Indicators	2021	2020
T1otal hazardous waste (kg)	461	371
H2azardous waste discarded per employee (kg)	1.45	0.77
T3otal non-hazardous waste (kg)	14,839	16,491
Non-hazardous waste di2scarded per employee (kg)	46.52	34.36

Notes：

1. Data is calculated based on the actual weight of hazardous waste.

2. The intensity is calculated based on the total number of employees of the Office, not the Group.

3. Data is calculated based on the actual weight of non-hazardous waste and the “Research on Solutions to Domestic Solid Waste in Cities of China” issued by the Beijing Environmental Sanitation Administration.

# 5.2 Energy and Resources

Energy and resources such as water are precious resources to everyone and are crucial for maintaining the Group’s business operation. Thereby, we set energy and water conservation as one of our major environmental commitments and implement proper and effective management on the use of energy and resources. During the Reporting Period, energy was consumed in the form of electricity usage, stationary combustion and heating in the offices, as well as fuel consumption for our vehicles. Since the Group’s principal business is property development, no packaging materials were consumed during the Reporting Period.

Similarly, the Group has set targets for increasing both energy and water consumption efficiency. The Group endeavours to conserve water and electricity to cater for the environmental protection trend of the industry. In order to achieve the targets, the Group decreases the water consumption from the production and office operation through enhancing rainwater utilisation rate. In addition, the Group continues to implement energy resources management measures in offices for achieving the long-term target of 15% reduction of the previous five-year plan. During the Year, the energy consumption of the Group in offices has been reduced by 27% of that during the previous reporting period.