Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 Part X Financial Statements
I IndependentAuditor’s Report
Is this interim financial report audited by an independent auditor?
□Yes√ No
This interim financial report is unaudited by such an auditor.
II Financial Statements
Currency unit for the financial statements and the notes thereto: RMB
1. Consolidated Balance Sheet
Guangdong Jadiete Holdings Group Company Limited
30 June 2018
Unit: RMB
||||
|-|-|-|
|Item|30 June 2018|31 December 2017|
|Current assets:|||
|Monetary assets|1,192,159.64|2,956,199.38|
|Settlement reserve|||
|Interbank loans granted|||
|Financial assets at fair value through|||
|||6,316.00|
|profit or loss|||
|Derivative financial assets|||
|Notes receivable|||
|Accounts receivable|23,890,210.76|153,954,425.28|
|Prepayments|2,520,536.01|2,436,902.27|
|Premiums receivable|||
|Reinsurance receivables|||
|Receivable reinsurance contract|||
|reserve|||
|Interest receivable|||
|Dividends receivable|||
|Other receivables|2,055,749.16|51,173,077.48|
|Financial assets purchased under|||
|resale agreements|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Inventories|162,187,727.56|161,350,742.00|
|Assets classified as held for sale|||
|Current portion of non-current assets|||
|Other current assets|24,258,479.69|23,930,553.25|
|Total current assets|216,104,862.82|395,808,215.66|
|Non-current assets:|||
|Loans and advances to customers|||
|Available-for-sale financial assets|||
|Held-to-maturity investments|||
|Long-term receivables|||
|Long-term equity investments|269,998,221.71|269,998,221.71|
|Investment property||15,057,817.47|
|Fixed assets|40,543,929.42|29,961,223.62|
|Construction in progress|||
|Engineering materials|||
|Proceeds from disposal of fixed|||
|assets|||
|Productive living assets|||
|Oil and gas assets|||
|Intangible assets|8,939,525.00|5,742,427.70|
|R&D expense|||
|Goodwill|2,395,820.87|2,395,820.87|
|Long-term prepaid expense|443,216.29|298,544.88|
|Deferred income tax assets|3,571,893.62|4,325,725.13|
|Other non-current assets|||
|Total non-current assets|325,892,606.91|327,779,781.38|
|Total assets|541,997,469.73|723,587,997.04|
|Current liabilities:|||
|Short-term borrowings|||
|Borrowings from central bank|||
|Customer deposits and deposits from|||
|banks and other financial institutions|||
|Interbank loans obtained|||
|Financial liabilities at fair value|||
|through profit or loss|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Derivative financial liabilities|||
|Notes payable|||
|Accounts payable|76,046,059.98|206,507,636.62|
|Advances from customers|11,209,141.53|11,433,013.53|
|Financial assets sold under|||
|repurchase agreements|||
|Handling charges and commissions|||
|payable|||
|Payroll payable|1,337,530.57|788,844.58|
|Taxes payable|23,617,067.14|23,317,798.05|
|Interest payable|||
|Dividends payable|||
|Other payables|41,177,516.07|88,422,479.70|
|Reinsurance payables|||
|Insurance contract reserve|||
|Payables for acting trading of|||
|securities|||
|Payables for underwriting of|||
|securities|||
|Liabilities directly associated with|||
|assets classified as held for sale|||
|Current portion of non-current|||
|liabilities|||
|Other current liabilities|||
|Total current liabilities|153,387,315.29|330,469,772.48|
|Non-current liabilities:|||
|Long-term borrowings|||
|Bonds payable|||
|Including: Preferred shares|||
|Perpetual bonds|||
|Long-term payables|||
|Long-term payroll payable|||
|Specific payables|||
|Provisions|||
|Deferred income|||
|Deferred income tax liabilities|||
|Other non-current liabilities|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Total non-current liabilities|||
|Total liabilities|153,387,315.29|330,469,772.48|
|Owners’ equity:|||
|Share capital|318,600,000.00|318,600,000.00|
|Other equity instruments|||
|Including: Preferred shares|||
|Perpetual bonds|||
|Capital reserves|52,303,274.80|52,303,274.80|
|Less: Treasury shares|||
|Other comprehensive income|||
|Specific reserve|||
|Surplus reserves|86,036,260.20|86,036,260.20|
|General reserve|||
|Retained earnings|-109,452,077.11|-104,447,877.20|
|Total equity attributable to owners of|||
||347,487,457.89|352,491,657.80|
|the Company as the parent|||
|Non-controlling interests|41,122,696.55|40,626,566.76|
|Total owners’ equity|388,610,154.44|393,118,224.56|
|Total liabilities and owners’ equity|541,997,469.73|723,587,997.04|

 Legal representative: Ding Lihong Chief of the accounting work: Chen Jincai Chief of the accounting organ: Zeng Zhihua 2. Balance Sheet of the Company as the Parent
Unit: RMB
||||
|-|-|-|
|Item|30 June 2018|31 December 2017|
|Current assets:|||
|Monetary assets|224,627.82|166,675.93|
|Financial assets at fair value through|||
|profit or loss|||
|Derivative financial assets|||
|Notes receivable|||
|Accounts receivable|||
|Prepayments|||
|Interest receivable|||
|Dividends receivable|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Other receivables|20,206,834.33|66,228,472.94|
|Inventories|||
|Assets classified as held for sale|||
|Current portion of non-current assets|||
|Other current assets|||
|Total current assets|20,431,462.15|66,395,148.87|
|Non-current assets:|||
|Available-for-sale financial assets|||
|Held-to-maturity investments|||
|Long-term receivables|||
|Long-term equity investments|349,998,229.97|349,998,229.97|
|Investment property||15,057,817.47|
|Fixed assets|38,787,104.93|28,175,564.88|
|Construction in progress|||
|Engineering materials|||
|Proceeds from disposal of fixed|||
|assets|||
|Productive living assets|||
|Oil and gas assets|||
|Intangible assets|8,939,525.00|5,742,427.70|
|R&D expense|||
|Goodwill|||
|Long-term prepaid expense|||
|Deferred income tax assets|2,591,594.52|2,683,594.52|
|Other non-current assets|||
|Total non-current assets|400,316,454.42|401,657,634.54|
|Total assets|420,747,916.57|468,052,783.41|
|Current liabilities:|||
|Short-term borrowings|||
|Financial liabilities at fair value|||
|through profit or loss|||
|Derivative financial liabilities|||
|Notes payable|||
|Accounts payable|19,442.64|19,442.64|
|Advances from customers|171,253.66|171,253.66|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|Payroll payable|925,842.49|459,301.04|
|Taxes payable|16,239,432.61|15,857,461.62|
|Interest payable|||
|Dividends payable|||
|Other payables|13,340,743.41|56,827,110.62|
|Liabilities directly associated with|||
|assets classified as held for sale|||
|Current portion of non-current|||
|liabilities|||
|Other current liabilities|||
|Total current liabilities|30,696,714.81|73,334,569.58|
|Non-current liabilities:|||
|Long-term borrowings|||
|Bonds payable|||
|Including: Preferred shares|||
|Perpetual bonds|||
|Long-term payables|||
|Long-term payroll payable|||
|Specific payables|||
|Provisions|||
|Deferred income|||
|Deferred income tax liabilities|||
|Other non-current liabilities|||
|Total non-current liabilities|||
|Total liabilities|30,696,714.81|73,334,569.58|
|Owners’ equity:|||
|Share capital|318,600,000.00|318,600,000.00|
|Other equity instruments|||
|Including: Preferred shares|||
|Perpetual bonds|||
|Capital reserves|52,129,496.58|52,129,496.58|
|Less: Treasury shares|||
|Other comprehensive income|||
|Specific reserve|||
|Surplus reserves|86,036,260.20|86,036,260.20|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Retained earnings|-66,714,555.02|-62,047,542.95|
|Total owners’ equity|390,051,201.76|394,718,213.83|
|Total liabilities and owners’ equity|420,747,916.57|468,052,783.41|

 3. Consolidated Income Statement
Unit: RMB
||||
|-|-|-|
|Item|H1 2018|H1 2017|
|1. Revenue|94,049,651.75|190,460,084.85|
|Including: Operating revenue|94,049,651.75|190,460,084.85|
|Interest income|||
|Premium income|||
|Handling charge and commission|||
|income|||
|2. Operating costs and expenses|98,200,509.30|187,846,722.05|
|Including: Cost of sales|93,356,686.67|178,534,654.04|
|Interest expense|||
|Handling charge and commission|||
|expense|||
|Surrenders|||
|Net claims paid|||
|Net amount provided as insurance|||
|contract reserve|||
|Expenditure on policy dividends|||
|Reinsurance premium expense|||
|Taxes and surtaxes|496,613.91|654,183.56|
|Selling expense|1,129,119.53|1,434,407.39|
|Administrative expense|6,096,595.06|7,324,503.57|
|Finance costs|63,714.32|310,534.11|
|Asset impairment loss|-2,942,220.19|-411,560.62|
|Add: Gain on changes in fair value (“-”|||
||0.00|-5,539,925.21|
|for loss)|||
|Investment income (“-” for loss)|536.00|33,294.77|
|Including: Share of profit or loss of|||
|joint ventures and associates|||
|Foreign exchange gain (“-” for loss)|||
|Asset disposal income (“-” for loss)|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Other income|||
|3. Operating profit (“-” for loss)|-4,150,321.55|-2,893,267.64|
|Add: Non-operating income|600,000.00|0.33|
|Less: Non-operating expense|189,007.15|2,404.16|
|4. Profit before taxation (“-” for loss)|-3,739,328.70|-2,895,671.47|
|Less: Income tax expense|768,741.42|2,307,032.61|
|5. Net profit (“-” for net loss)|-4,508,070.12|-5,202,704.08|
|5.1 Net profit from continuing|||
|operations (“-” for net loss)|||
|5.2 Net profit from discontinued|||
|operations (“-” for net loss)|||
|Net profit attributable to owners of the|||
||-5,004,199.91|-7,997,104.78|
|Company as the parent|||
|Net profit attributable to|||
||496,129.79|2,794,400.70|
|non-controlling interests|||
|6. Other comprehensive income, net of|||
|tax|||
|Attributable to owners of the Company|||
|as the parent|||
|6.1 Items that will not be|||
|reclassified to profit or loss|||
|6.1.1 Changes in net liabilities or|||
|assets caused by remeasurements on|||
|defined benefit pension schemes|||
|6.1.2 Share of other|||
|comprehensive income of investees that|||
|will not be reclassified to profit or loss|||
|under equity method|||
|6.2 Items that may subsequently be|||
|reclassified to profit or loss|||
|6.2.1 Share of other|||
|comprehensive income of investees that|||
|will be reclassified to profit or loss under|||
|equity method|||
|6.2.2 Gain/Loss on changes in fair|||
|value of available-for-sale financial|||
|assets|||
|6.2.3 Gain/Loss arising from|||
|reclassification of held-to-maturity|||
|investments to available-for-sale financial|||
|assets|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|6.2.4 Effective gain/loss on cash|||
|flow hedges|||
|6.2.5 Differences arising from|l||
|translation of foreign|||
|currency-denominated financia|||
|statements|||
|6.2.6 Other|||
|Attributable to non-controlling|||
|interests|||
|7. Total comprehensive income|-4,508,070.12|-5,202,704.08|
|Attributable to owners of the Company|-5,004,199.91||
|||-7,997,104.78|
|as the parent|||
|Attributable to non-controlling|496,129.79||
|||2,794,400.70|
|interests|||
|8. Earnings per share|||
|8.1 Basic earnings per share|-0.016|-0.025|
|8.2 Diluted earnings per share|-0.016|-0.025|

 Where business combinations under common control occurred in the Current Period, the net profit achieved by the acquirees before the combinations was RMBXXX, with the amount for the same period of last year being RMBXXX.
Legal representative: Ding Lihong Chief of the accounting work: Chen Jincai Chief of the accounting organ: Zeng Zhihua 4. Income Statement of the Company as the Parent
Unit: RMB
||||
|-|-|-|
|Item|H1 2018|H1 2017|
|1. Operating revenue|0.00|637,064.14|
|Less: Cost of sales|0.00|166,356.27|
|Taxes and surtaxes|414,000.00|418,155.62|
|Selling expense|||
|Administrative expense|4,495,612.33|5,868,665.93|
|Finance costs|33,208.37|536,679.17|
|Asset impairment loss|-368,000.00|0.00|
|Add: Gain on changes in fair value(“-” for loss)|||
|Investment income (“-” for loss)||17,054.22|
|Including: Share of profit or lossof joint ventures and associates|||
|Asset disposal income (“-” forloss)|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Other income|||
|2. Operating profit (“-” for loss)|-4,574,820.70|-6,335,738.63|
|Add: Non-operating income|0.00|0.00|
|Less: Non-operating expense|191.37||
|3. Profit before taxation (“-” for loss)|-4,575,012.07|-6,335,738.63|
|Less: Income tax expense|92,000.00|0.00|
|4. Net profit (“-” for net loss)|-4,667,012.07|-6,335,738.63|
|4.1 Net profit from continuing|||
|operations (“-” for net loss)|||
|4.2 Net profit from discontinued|||
|operations (“-” for net loss)|||
|5. Other comprehensive income, net of|||
|tax|||
|5.1 Items that will not be reclassified|||
|to profit or loss|||
|5.1.1 Changes in net liabilities or|||
|assets caused by remeasurements on|||
|defined benefit pension schemes|||
|5.1.2 Share of other|||
|comprehensive income of investees that|||
|will not be reclassified into profit or|||
|loss under equity method|||
|5.2 Items that may subsequently be|||
|reclassified to profit or loss|||
|5.2.1 Share of other|||
|comprehensive income of investees that|||
|will be reclassified into profit or loss|||
|under equity method|||
|5.2.2 Gain/Loss on changes in fair|||
|value of available-for-sale financial|||
|assets|||
|5.2.3 Gain/Loss arising from|||
|reclassification of held-to-maturity|||
|investments to available-for-sale|||
|financial assets|||
|5.2.4 Effective gain/loss on cash|||
|flow hedges|||
|5.2.5 Differences arising from|||
|translation of foreign|||
|currency-denominated financial|||
|statements|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|5.2.6 Other|||
|6. Total comprehensive income|-4,667,012.07|-6,335,738.63|
|7. Earnings per share|||
|7.1 Basic earnings per share|-0.015|-0.020|
|7.2 Diluted earnings per share|-0.015|-0.020|

 5. Consolidated Cash Flow Statement
Unit: RMB
||||
|-|-|-|
|Item|H1 2018|H1 2017|
|1. Cash flows from operating activities:|||
|Proceeds from sale of commodities|||
||242,538,551.98|279,104,141.77|
|and rendering of services|||
|Net increase in customer deposits and|||
|deposits from banks and other financial|||
|institutions|||
|Net increase in loans from central|||
|bank|||
|Net increase in loans from other|||
|financial institutions|||
|Premiums received on original|||
|insurance contracts|||
|Net proceeds from reinsurance|||
|Net increase in deposits and|||
|investments of policy holders|||
|Net increase in proceeds from|||
|disposal of financial assets at fair value|||
|through profit or loss|||
|Interest, handling charges and|||
|commissions received|||
|Net increase in interbank loans|||
|obtained|||
|Net increase in proceeds from|||
|repurchase transactions|||
|Tax rebates|2,173.89||
|Cash generated from other operating|||
||32,140,506.72|35,298,621.21|
|activities|||
|Subtotal of cash generated from|||
||274,681,232.59|314,402,762.98|
|operating activities|||
|Payments for commodities and|||
||239,773,853.88|280,323,737.91|
|services|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|Net increase in loans and advances to|||
|customers|||
|Net increase in deposits in central|||
|bank and in interbank loans granted|||
|Payments for claims on original|||
|insurance contracts|||
|Interest, handling charges and|||
|commissions paid|||
|Policy dividends paid|||
|Cash paid to and for employees|3,430,108.55|2,049,087.43|
|Taxes paid|520,780.47|3,962,251.90|
|Cash used in other operating|||
||32,162,181.12|24,934,811.29|
|activities|||
|Subtotal of cash used in operating|||
||275,886,924.02|311,269,888.53|
|activities|||
|Net cash generated from/used in|||
||-1,205,691.43|3,132,874.45|
|operating activities|||
|2. Cash flows from investing activities:|||
|Proceeds from disinvestment|6,852.00|1,326,057.76|
|Investment income||50,187.43|
|Net proceeds from disposal of fixed|||
|assets, intangible assets and other|||
|long-lived assets|||
|Net proceeds from disposal of|||
|subsidiaries or other business units|||
|Cash generated from other investing|||
|activities|||
|Subtotal of cash generated from|||
||6,852.00|1,376,245.19|
|investing activities|||
|Payments for acquisition of fixed|||
|assets, intangible assets and other|565,214.37||
|long-lived assets|||
|Payments for investments||121,377,497.91|
|Net increase in pledged loans granted|||
|Net payments for acquisition of|||
|subsidiaries and other business units|||
|Cash used in other investing|||
|activities|||
|Subtotal of cash used in investing|||
||565,214.37|121,377,497.91|
|activities|||
|Net cash generated from/used in|-558,362.37|-120,001,252.72|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|investing activities|||
|3. Cash flows from financing activities:|||
|Capital contributions received|||
|Including: Capital contributions by|||
|non-controlling interests to subsidiaries|||
|Increase in borrowings obtained|||
|Net proceeds from issuance of bonds|||
|Cash generated from other financing|||
|activities|||
|Subtotal of cash generated from|||
|financing activities|||
|Repayment of borrowings|||
|Payments for interest and dividends|||
|Including: Dividends paid by|||
|subsidiaries to non-controlling interests|||
|Cash used in other financing|||
|activities|||
|Subtotal of cash used in financing|||
|activities|||
|Net cash generated from/used in|||
|financing activities|||
|4. Effect of foreign exchange rate|||
||14.06|-390.67|
|changes on cash and cash equivalents|||
|5. Net increase in cash and cash|||
||-1,764,039.74|-116,868,768.94|
|equivalents|||
|Add: Cash and cash equivalents,|||
||2,956,199.38|123,886,976.82|
|beginning of the period|||
|6. Cash and cash equivalents, end of the|||
||1,192,159.64|7,018,207.88|
|period|||

6. Cash Flow Statement of the Company as the Parent
Unit: RMB
||||
|-|-|-|
|Item|H1 2018|H1 2017|
|1. Cash flows from operating activities:|||
|Proceeds from sale of commodities|||
|and rendering of services|||
|Tax rebates|||
|Cash generated from other operating|||
||29,815,585.86|36,632,375.31|
|activities|||
|Subtotal of cash generated from|29,815,585.86|36,632,375.31|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|operating activities|||
|Payments for commodities and|||
|services|||
|Cash paid to and for employees|487,587.87|846,506.12|
|Taxes paid|39,194.45|27,707.62|
|Cash used in other operating|||
||29,230,851.65|28,198,951.18|
|activities|||
|Subtotal of cash used in operating|||
||29,757,633.97|29,073,164.92|
|activities|||
|Net cash generated from/used in|||
||57,951.89|7,559,210.39|
|operating activities|||
|2. Cash flows from investing activities:|||
|Proceeds from disinvestment|||
|Investment income|||
|Net proceeds from disposal of fixed|||
|assets, intangible assets and other|||
|long-lived assets|||
|Net proceeds from disposal of|||
|subsidiaries or other business units|||
|Cash generated from other investing|||
|activities|||
|Subtotal of cash generated from|||
|investing activities|||
|Payments for acquisition of fixed|||
|assets, intangible assets and other|||
|long-lived assets|||
|Payments for investments||120,000,000.00|
|Net payments for acquisition of|||
|||5,000,000.00|
|subsidiaries and other business units|||
|Cash used in other investing|||
|activities|||
|Subtotal of cash used in investing|||
|||125,000,000.00|
|activities|||
|Net cash generated from/used in|||
||0.00|-125,000,000.00|
|investing activities|||
|3. Cash flows from financing activities:|||
|Capital contributions received|||
|Increase in borrowings obtained|||
|Net proceeds from issuance of bonds|||
|Cash generated from other financing|||
|activities|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
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|-|-|-|
|Subtotal of cash generated fromfinancing activities|||
|Repayment of borrowings|||
|Payments for interest and dividends|||
|Cash used in other financingactivities|||
|Sub-total of cash used in financingactivities|||
|Net cash generated from/used infinancing activities|||
|4. Effect of foreign exchange ratechanges on cash and cash equivalents|||
|5. Net increase in cash and cashequivalents|||
||57,951.89|-117,440,789.61|
|Add: Cash and cash equivalents,beginning of the period|||
||166,675.93|119,117,878.02|
|6. Cash and cash equivalents, end of theperiod|||
||224,627.82|1,677,088.41|

7. Consolidated Statements of Changes inOwners’ Equity
H1 2018
Unit: RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||H1 2018|||||||||||||
||Equity attributable to owners of the Company as the parent|||||||||||||
|||Other equity||||||||||Non-co||
|Item|||||||Other||||Retaine||Total|
|||instruments||||Less:||||||ntrollin||
||Share||||Capital||compre|Specific|Surplus|General|d||owners’|
|||Prefer|Perpe|t||Treasur||||||g||
||capital||||reserves||hensive|reserve|reserves|reserve|earning||equity|
|||red|ual|Other||y shares||||||interests||
||||||||income||||s|||
|||shares|bonds|||||||||||
||318,60||||||||||-104,44|||
|1. Balances as of|||||52,303,||||86,036,|||40,626,|393,118|
||0,000.||||||||||7,877.2|||
|end of prior year|||||274.80||||260.20|||566.76|,224.56|
||00||||||||||0|||
|Add: Adjustments||||||||||||||
|for changed||||||||||||||
|accounting||||||||||||||
|policies||||||||||||||
|Adjustments for||||||||||||||
|corrections of||||||||||||||
|previous errors||||||||||||||
|Adjustments for||||||||||||||
|business||||||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||
|-|-|-|-|-|-|-|
|combinations|||||||
|under common|||||||
|control|||||||
|Other|||||||
|adjustments|||||||
|2. Balances as of|318,60|||-104,44|||
|||52,303,|86,036,||40,626,|393,118|
|beginning of the|0,000.|||7,877.2|||
|||274.80|260.20||566.76|,224.56|
|year|00|||0|||
|3. Increase/|||||||
|decrease in the||||-5,004,1|496,129|-4,508,0|
|period (“-” for||||99.91|.79|70.12|
|decrease)|||||||
|3.1 Total|||||||
|||||-5,004,1|496,129|-4,508,0|
|comprehensive|||||||
|||||99.91|.79|70.12|
|income|||||||
|3.2 Capital|||||||
|increased and|||||||
|reduced by owners|||||||
|3.2.1|||||||
|Ordinary shares|||||||
|increased by|||||||
|shareholders|||||||
|3.2.2 Capital|||||||
|increased by|||||||
|holders of other|||||||
|equity instruments|||||||
|3.2.3|||||||
|Share-based|||||||
|payments included|||||||
|in owners’ equity|||||||
|3.2.4 Other|||||||
|3.3 Profit|||||||
|distribution|||||||
|3.3.1|||||||
|Appropriation to|||||||
|surplus reserves|||||||
|3.3.2|||||||
|Appropriation to|||||||
|general reserve|||||||
|3.3.3|||||||
|Appropriation to|||||||
|owners (or|||||||
|shareholders)|||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||
|-|-|-|-|-|-|-|
|3.3.4 Other|||||||
|3.4|||||||
|Carryforwards|||||||
|within owners’|||||||
|equity|||||||
|3.4.1 Increase|||||||
|in capital (or share|||||||
|capital) from|||||||
|capital reserves|||||||
|3.4.2 Increase|||||||
|in capital (or share|||||||
|capital) from|||||||
|surplus reserves|||||||
|3.4.3 Surplus|||||||
|reserves used to|||||||
|make up losses|||||||
|3.4.4 Other|||||||
|3.5 Specific|||||||
|reserve|||||||
|3.5.1|||||||
|Withdrawn for the|||||||
|period|||||||
|3.5.2 Used|||||||
|during the period|||||||
|3.6 Other|||||||
||318,60|||-109,45||388,610,154.44|
|4. Balances as of||52,303,|86,036,||41,122,||
||0,000.|||2,077.1|||
|end of the period||274.80|260.20||696.55||
||00|||1|||

H1 2017
Unit: RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||H1 2017|||||||||||||
||Equity attributable to owners of the Company as the parent|||||||||||||
|||||||||||||Non-co||
|||Other equity||||||||||||
|Item|||||||Other|||||ntrollin|Total|
|||instruments||||Less:|||||Retaine|||
||Share||||Capital||compre|Specific|Surplus|General||g|owners’|
|||Prefer|Perpet|||Treasur|||||d|||
||capital||||reserves||hensive|reserve|reserves|reserve||interest|equity|
|||red|ual|Other||y shares|||||earnings|||
||||||||income|||||s||
|||shares|bonds|||||||||||
||318,60|||||||||||||
|1. Balances as of|||||52,129,||||86,036,||-90,095,|37,940,|404,610|
||0,000.|||||||||||||
|end of prior year|||||496.58||||260.20||403.00|417.64|,771.42|
||00|||||||||||||
|Add: Adjustments||||||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||
|-|-|-|-|-|-|-|
|for changed|||||||
|accounting|||||||
|policies|||||||
|Adjustments for|||||||
|corrections of|||||||
|previous errors|||||||
|Adjustments for|||||||
|business|||||||
|combinations|||||||
|under common|||||||
|control|||||||
|Other|||||||
|adjustments|||||||
|2. Balances as of|318,60||||||
|||52,129,|86,036,|-90,095,|37,940,|404,610|
|beginning of the|0,000.||||||
|||496.58|260.20|403.00|417.64|,771.42|
|year|00||||||
|3. Increase/|||||||
|decrease in the||173,778||-14,352,|2,686,1|-11,492,|
|period (“-” for||.22||474.20|49.12|546.86|
|decrease)|||||||
|3.1 Total|||||||
|||||-14,352,|2,519,1|-11,833,|
|comprehensive|||||||
|||||474.20|85.74|288.46|
|income|||||||
|3.2 Capital|||||||
|||173,778|||166,963|340,741|
|increased and|||||||
|||.22|||.38|.60|
|reduced by owners|||||||
|3.2.1|||||||
|Ordinary shares|||||||
|increased by|||||||
|shareholders|||||||
|3.2.2 Capital|||||||
|increased by|||||||
|holders of other|||||||
|equity instruments|||||||
|3.2.3|||||||
|Share-based|||||||
|payments included|||||||
|in owners’ equity|||||||
|||173,778|||166,963||
|3.2.4 Other|||||||
|||.22|||.38||
|3.3 Profit|||||||
|distribution|||||||
|3.3.1|||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||
|-|-|-|-|-|-|-|
|Appropriation to|||||||
|surplus reserves|||||||
|3.3.2|||||||
|Appropriation to|||||||
|general reserve|||||||
|3.3.3|||||||
|Appropriation to|||||||
|owners (or|||||||
|shareholders)|||||||
|3.3.4 Other|||||||
|3.4|||||||
|Carryforwards|||||||
|within owners’|||||||
|equity|||||||
|3.4.1 Increase|||||||
|in capital (or share|||||||
|capital) from|||||||
|capital reserves|||||||
|3.4.2 Increase|||||||
|in capital (or share|||||||
|capital) from|||||||
|surplus reserves|||||||
|3.4.3 Surplus|||||||
|reserves used to|||||||
|make up losses|||||||
|3.4.4 Other|||||||
|3.5 Specific|||||||
|reserve|||||||
|3.5.1|||||||
|Withdrawn for the|||||||
|period|||||||
|3.5.2 Used|||||||
|during the period|||||||
|3.6 Other|||||||
||318,60|||-104,44|||
|4. Balances as of||52,303,|86,036,||40,626,|393,118|
||0,000.|||7,877.2|||
|end of the period||274.80|260.20||566.76|,224.56|
||00|||0|||

8. Statements of Changes inOwners’ Equity of the Company as the Parent
H1 2018
Unit: RMB
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||H1 2018|||||||||||
|||Other equity instruments|||||Other|||||
|||||||Less:||||Retaine|Total|
|Item|Share||||Capital||comprehe|Specific|Surplus|||
|||Preferre|Perpetu|||Treasury||||d|owners’|
||capital|||Other|reserves||nsive|reserve|reserves|||
|||d shares|a l bonds|||shares||||earnings|equity|
||||||||income|||||
|1. Balances as of|318,600,||||52,129,49||||86,036,26|-62,047,|394,718,2|
|end of prior year|000.00||||6.58||||0.20|542.95|13.83|
|Add: Adjustments||||||||||||
|for changed||||||||||||
|accounting||||||||||||
|policies||||||||||||
|Adjustments for||||||||||||
|corrections of||||||||||||
|previous errors||||||||||||
|Other||||||||||||
|adjustments||||||||||||
|2. Balances as of||||||||||||
||318,600,||||52,129,49||||86,036,26|-62,047,|394,718,2|
|beginning of the||||||||||||
||000.00||||6.58||||0.20|542.95|13.83|
|year||||||||||||
|3. Increase/||||||||||||
|decrease in the||||||||||-4,667,0|-4,667,01|
|period (“-” for||||||||||12.07|2.07|
|decrease)||||||||||||
|3.1 Total||||||||||||
|||||||||||-4,667,0|-4,667,01|
|comprehensive||||||||||||
|||||||||||12.07|2.07|
|income||||||||||||
|3.2 Capital||||||||||||
|increased and||||||||||||
|reduced by owners||||||||||||
|3.2.1||||||||||||
|Ordinary shares||||||||||||
|increased by||||||||||||
|shareholders||||||||||||
|3.2.2 Capital||||||||||||
|increased by||||||||||||
|holders of other||||||||||||
|equity instruments||||||||||||
|3.2.3||||||||||||
|Share-based||||||||||||
|payments included||||||||||||
|in owners’ equity||||||||||||
|3.2.4 Other||||||||||||
|3.3 Profit||||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||||
|-|-|-|-|-|-|
|distribution||||||
|3.3.1||||||
|Appropriation to||||||
|surplus reserves||||||
|3.3.2||||||
|Appropriation to||||||
|owners (or||||||
|shareholders)||||||
|3.3.3 Other||||||
|3.4||||||
|Carryforwards||||||
|within owners’||||||
|equity||||||
|3.4.1 Increase||||||
|in capital (or share||||||
|capital) from||||||
|capital reserves||||||
|3.4.2 Increase||||||
|in capital (or share||||||
|capital) from||||||
|surplus reserves||||||
|3.4.3 Surplus||||||
|reserves used to||||||
|make up losses||||||
|3.4.4 Other||||||
|3.5 Specific||||||
|reserve||||||
|3.5.1||||||
|Withdrawn for the||||||
|period||||||
|3.5.2 Used||||||
|during the period||||||
|3.6 Other||||||
|4. Balances as of|318,600,|52,129,49|86,036,26|-66,714,|390,051,201.76|
|end of the period|000.00|6.58|0.20|555.02||

 H1 2017
Unit: RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||H1 2017|||||||||||
|||Other equity instruments|||||Other|||||
|||||||Less:||||Retaine|Total|
|Item|Share||||Capital||comprehe|Specific|Surplus|||
|||Preferre|Perpetu|||Treasury||||d|owners’|
||capital|||Other|reserves||nsive|reserve|reserves|||
|||d shares|a l bonds|||shares||||earnings|equity|
||||||||income|||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||||
|-|-|-|-|-|-|
|1. Balances as of|318,600,|52,129,49|86,036,26|-51,833,|404,932,2|
|end of prior year|000.00|6.58|0.20|550.50|06.28|
|Add: Adjustments||||||
|for changed||||||
|accounting||||||
|policies||||||
|Adjustments for||||||
|corrections of||||||
|previous errors||||||
|Other||||||
|adjustments||||||
|2. Balances as of||||||
||318,600,|52,129,49|86,036,26|-51,833,|404,932,2|
|beginning of the||||||
||000.00|6.58|0.20|550.50|06.28|
|year||||||
|3. Increase/||||||
|decrease in the||||-10,213,|-10,213,9|
|period (“-” for||||992.45|92.45|
|decrease)||||||
|3.1 Total||||||
|||||-10,213,|-10,213,9|
|comprehensive||||||
|||||992.45|92.45|
|income||||||
|3.2 Capital||||||
|increased and||||||
|reduced by owners||||||
|3.2.1||||||
|Ordinary shares||||||
|increased by||||||
|shareholders||||||
|3.2.2 Capital||||||
|increased by||||||
|holders of other||||||
|equity instruments||||||
|3.2.3||||||
|Share-based||||||
|payments included||||||
|in owners’ equity||||||
|3.2.4 Other||||||
|3.3 Profit||||||
|distribution||||||
|3.3.1||||||
|Appropriation to||||||
|surplus reserves||||||
|3.3.2||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||||
|-|-|-|-|-|-|
|Appropriation to||||||
|owners (or||||||
|shareholders)||||||
|3.3.3 Other||||||
|3.4||||||
|Carryforwards||||||
|within owners’||||||
|equity||||||
|3.4.1 Increase||||||
|in capital (or share||||||
|capital) from||||||
|capital reserves||||||
|3.4.2 Increase||||||
|in capital (or share||||||
|capital) from||||||
|surplus reserves||||||
|3.4.3 Surplus||||||
|reserves used to||||||
|make up losses||||||
|3.4.4 Other||||||
|3.5 Specific||||||
|reserve||||||
|3.5.1||||||
|Withdrawn for the||||||
|period||||||
|3.5.2 Used||||||
|during the period||||||
|3.6 Other||||||
|4. Balances as of|318,600,|52,129,49|86,036,26|-62,047,|394,718,2|
|end of the period|000.00|6.58|0.20|542.95|13.83|

 III. Company Profile
1. The registration place, the organization method and the headquarters address of the Company Guangdong Jadiete Holdings Group Company Limited (original name: Guangdong Rieys Group Company Ltd, hereinafter referred to as‘theCompany’) was a limited liability company registered in Guangdong Province and had been approved by the Y-H-B[1997] No. 580 document ofPeople’s Government of Guangdong Province on 17 November 1997, which established by five enterprises including Puning Haicheng Industrial Co., Ltd. (this company changed its name to Shenzhen Shenghengchang Industrial Co., Ltd. after relocating in Shenzhen; in 2007 this company was
renamed as Guangzhou Shenghengchang Investment Co., Ltd.; in 2008 this company was renamed
as Guangzhou Shenghengchang Trade and Development Co., Ltd.; on 28 January 2010 this
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 company was renamed as Puning Shenghengchang Trade Development Co., Ltd.; on 26 July 2013, this company was renamed as Shenzhen Shenghengchang Huifu Industrial Co., Ltd. as relocation), an original Sino-foreign cooperated enterprise of Hongxing Weaving Garment Co., Ltd. Under approval of Guangdong Province Administration for Industry and Commerce, the Company registered with the registration number of the license of the business corporation of: 914452002311318335. The Share B, which was the HK common stock as well as the domestically listed foreign share issued by the Company, had listed on the SZSE. The registration place of the Company: Meixin Industrial Park, Junbu Town, Puning, Guangdong Province, of which the Company as the parent was the Shenzhen Shenghengchang Huifu Industrial Co., Ltd. and the ultimate actual controller of the Group was Chen Hongcheng.
The Company used to be the Puning Hongxing Weaving Garment Co., Ltd., which had reorganized as a limited liability company based on the former company on 17 November 1997.
The original registration capital of the Company was of RMB80,000,000.00 with the total amount of the share capital of 80,000,000 shares. And the face value of the shares of the Company was of RMB1 per share. In March 1999, with the approval of theShareholders’ General Meeting, the Company declared a Bonus Issue of 3.5 shares per 10 shares based on the total number of shares accrued in the register as at 31 December 1998 (80 million shares), making the registered capital increased to 108,000,000 shares. The Company issued 60,000,000 shares of foreign invested stock domestically listed (“Stock B”) for foreign investors on 17 October 2000, and issued 9,000,000 shares of Stock B for exercise of over-allotment options during the period from 27 October 2000 to 22 November 2000 in accordance with approval of ZJFXZ (2000) No. 133 issued by China Securities Regulatory Commission on 29 September 2000. The registered capital of the Company increased to RMB177,000,000 after issuance of Stock B, which was divided into 177,000,000 shares of RMB1.00 each. The registered capital of the Company increased to 318,600,000 after years of bonus distribution and transfer increase in paid-in capital, which was divided into 318,600,000 shares of RMB1.00 each.
As at 30 June 2018, theCompany’s total share capital was 318,600,000 shares, including 164,025,000 non-tradable legal shares (representing51.48% of total shares and 154,575,000 domestic listed foreign shares (stock B) (representing48.52% of total shares).
2. Operating scope
The operating scope of the Company: executes the self-management and agent of the import and export business of other goods and techniques except for the national organization unified joint venture export commodities and the national approved corporation operation export commodities; executes the processing imported materials operation, “three-processing and one compensation”, counter trade and entrepot trade (operates according to the[98] WZMZSHZ No. 1225 document); the production, processing and sales of the clothing, needle and textiles. Sales of the industrial capital goods (excluding the gold, car, dangerous chemicals), department stores, furniture, arts and crafts (excluding the gold jewelry) and the domestic commerce (except for those forbidden by the laws, administrative regulations and the State Council; and as for the projects limited by the laws, administrative regulations and the State Council should acquire the permission before operating).Crops planting. Storage. Various investments. Real Estate development (three-level with
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 the period of validity to 31 December 2015.) Commercial residential buildings developed owning to renting out the Company. Hotel management. Engages in the technique development, design and sales of the gold, silver, platinum, diamond, jade, jewelry, hardstone article and so on.
3. Information of the special enterprises with limited business allotted time
Naught
4. Business nature and major operating activities of the Company
The Company is the gold jewelry vendor; mainly engages in the technique development, design and sales of the gold jewelry.
5. Approval of the presentation of the financial statements
The financial statements and the notes to the financial statements were approved by the 19th Meeting of the
7th
Board of Directors of the Company on 27 August 2018.
There were 4 main bodies included in the consolidated financial statement scope at the period-end of the Reporting Period, which specifically including:
Name of the subsidiaries Type of the Shareholding Voting proportion subsidiaries proportion(%) (%)
Shenzhen Rieys Industrial Co., Limited liability 90.00 90.00
Ltd. company
Tianrui (Hong Kong) Trading Limited liability 100.00 100.00
Co., Ltd. company
Shenzhen Chinese Gold Nobility Limited liability 51.00 51.00
Jewelry Co., Ltd. company
Shanghai Yunpeng Internet 60.00 60.00
Limited company
Technology Co., Ltd
IV. Basis for the Preparation of the Financial Statement
1. Basis for the Preparation
The Company and its subsidiaries are prepared based on assumption of theCompany’s continuing operations, according to transactions and events actually occurred, and based on “Basic Accounting Standard for Business Enterprises” and specific accounting standards as well as the application guide, explanation and other relevant regulations (generally referred to as “ASBE”) issued by Ministry of Finance. In addition, theCompany’s financial statements also comply with the relevant financial information in “Compilation Rules for Information Disclosures by Companies that Offer Securities to the Public No.15 - General Provisions for Financial Reports” (hereinafter referred to as “the No. 15”) issued by CSRC (revised in 2014).
The accounting measurement of the Company based on the accrual basis. Except for certain financial instruments, the financial statements were all based on the historical cost for measurement.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 If there was impairment of the assets, should withdraw the impairment provision according to the relevant regulations.
2. Continuing Operations
The financial statement presented based on the continuing operations. There was no any event or situation caused major concerns on the continuing operation ability of the Company within 12 months from the period-end.
V. Significant Accounting Policies and Estimates
Specific accounting policies and accounting estimates indicators:
Not applicable
1. Statement of Compliance with the Accounting Standards for Business Enterprises
The financial statements prepared by the Company are in compliance with in compliance with the Accounting Standards for Business Enterprises, which factually and completely present theCompany’s, and the relevant information of theCompany’s merger and financial positions as at 30 June 2018, as well as the merger, business results and the merger and cash flows for the first half year of 2018.
2. Fiscal Period
TheCompany’s fiscal year starts on January 1 and ends on December 31 of every year according to the Gregorian calendar.
3. Operating Cycle
Normal operating cycle refers to the period from the Group purchases the assets for processing to realize the cash or cash equivalents. The Group regards 12 months as an operating cycle and regards which as the partition criterion of the mobility of the assets and liabilities.
4. Recording Currency
Recording currency is RMB.
5. Accounting Treatment for Business Combinations under the Common Control and Not under the Common Control
(1) Judgment standard of the package deal
If the terms, conditions and the economic influences of each transaction in the process of the enterprise merger realized by multiple steps met with one or various situation of the followings, should execute the accounting treatment by considering the multiple transactions as the package
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 deal:
① these transactions are considered simultaneously, or in the case of mutual influence made;② these transactions as a whole in order to achieve a complete business results;
③ the occurrence of a transaction depends on occurs at least one other transaction ;
④ a transaction look alone is not economical, but when considered together with other transaction is economical.
(2) Business combination under the same control
For the business combination under the same control, the assets and liabilities that the combining party obtains in a business combination, except for the adjustment executed owning to the differences between the accounting policies, shall be measured on the basis of their originally carrying amount in the combined party on the combining date. As for the balance between the carrying amount of the net assets obtained by the combining party and the carrying amount of the consideration paid by it (or the total par value of the shares issued), the additional paid-in capital (share/capital premium) shall be adjusted. If the additional paid-in capital (share/capital premium) is not sufficient to be offset, the retained earnings shall be adjusted.
The direct relevant expenses occurred for executing the enterprise merger should be recorded in the current gains and losses when occurred.
(3) Business combination not under the same control
Business combination not under the common control refers to that parties involved in the merger are not subject to the ultimate control of the same party or same multi-parties before& after the merger.
For a business combination not under the same control, the combination costs shall include the fair values, on the acquisition date, of the assets paid, the liabilities incurred or assumed and the equity securities issued by the acquirer in exchange for the control on the acquiree. On the purchase date, the merger cost occurred in the Company and the assets, liabilities and the contingent liabilities of the acquirees should be recognized according to the fair value.
As for the expenses for audit, legal services and assessment, and other administrative expenses, should be recorded into the profits and losses in the current period. The trading expenses for the equity securities or debt securities issued by the acquirer as the combination consideration shall be recorded into the amount of initial measurement of the equity securities or debt securities.
The Company shall recognize the positive balance between the combination costs and the fair value of the identifiable net assets it obtains from the acquiree as business reputation and shall execute the follow-up measurement according to the cost which deducted the accumulative impairment provision; the Company shall record which in the current gains and losses after the reexamination to treat the balance between the combination costs and the fair value of the identifiable net assets it obtains from the acquiree.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 As for the deductible temporary differences the acquirer obtains from the acquiree which are not recognized into deferred income tax liabilities due to their not meeting the recognition standards, if new or further information shows that the relevant situation has existed on the acquiring date and the economic benefits brought by the deductible temporary differences the acquirer obtains from the acquiree on the acquiring date can be realized, they shall be recognized into deferred income tax assets and the relevant goodwill shall be reduced. Where the goodwill is not sufficient to be offset, the difference shall be recognized into the profits and losses in the current period. In other circumstances than the above, where the deductible temporary differences are recognized into deferred income tax assets on the acquiring date, they shall be recorded into the profits and losses in the current period.
In a business combination not under same control realized by two or more transactions of exchange, according to about the
5th
Notice about the Treasury Issuing the Accounting Standards for Enterprises (Finance accounting)[2012] No. 19 and Article 51 of Accounting Standards for Enterprises No.33—Consolidated Financial Statements of Criterion about the “package deal”, whether the deals are “package deal” or not, belong to the “package deal”, see the previous paragraphs described in this section and note IV, 12 “long term equity investment transaction” and conduct accounting treatment, those not belong to the “package deal” distinguish between the individual financial statements and the consolidated financial statements and conduct relevant accounting treatment.
In the individual financial statements, the sum of the book value and new investment cost of the Company holds in the acquiree before the acquiring date shall be considered as initial cost of the investment. Other related comprehensive gains in relation to the equity interests that the Company holds in the acquiree before the acquiring date, except for the corresponding share in the changes in the net liabilities or assets with a defined benefit plan measured at the equity method arising from theacquiree’s re-measurement, the others shall be transferred into current investment gains.
In theCompany’s consolidated financial statements, the merger cost is the sum of the consideration pays on the purchase date and the fair value on the purchase date of the equity of the acquirees hold before the purchase date. As for the equity interests that the Company holds in the acquiree before the acquiring date, they shall be re-measured according to their fair values at the acquiring date; the positive difference between their fair values and carrying amounts shall be recorded into the investment gains for the period including the acquiring date. Other related comprehensive gains in relation to the equity interests that the Company holds in the acquiree before the acquiring date, except for the corresponding share in the changes in the net liabilities or assets with a defined benefit plan measured at the equity method arising from theacquiree’s re-measurement, the others shall be transferred into current investment gains.
6. Preparation of the Consolidated Financial Statements
The consolidation scope for financial statements is determined on the basis of control and all the subsidiaries (including the individual main body controlled by the Company) are all included in the consolidated financial statement.
The consolidated financial statement bases on the financial statement of the Company and the
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 subsidiaries and prepares according to the other relevant materials by the Company. When preparing the consolidated financial statement, the accounting policies and the accounting period of the Company and the subsidiaries were required to maintain unanimous while the intercompany significant contracts and the come-and-go balance should be offset.
For the subsidiaries increased owning to the enterprise merger under the same control during the Reporting Period, the Company includes their income, expenses and profits from the period-begin of the merger to the end of the Reporting Period in the consolidated statement of income and includes the cash flow in the consolidated statement of cash flow, as well as adjust the opening balance and the comparison amount of the consolidated financial statement; as for the subsidiaries increased owning to the enterprise merger not under the same control during the Reporting Period, the Company includes their income, expenses and profits from the purchase date to the end of the Reporting Period in the consolidated statement of income and includes the cash flow in the consolidated statement of cash flow, while not to as adjust the opening balance and the comparison amount of the consolidated financial statement; during the Reporting Period, as for the disposed subsidiaries, the Company includes their income, expenses and profits from the period-begin of the merger to the disposal date in the consolidated statement of income and includes the cash flow in the consolidated statement of cash flow, and not to adjust the opening balance of the consolidated balance sheet.
The portion of asubsidiary’sshareholders’ equity and the portion of asubsidiary’s net profits and losses for the period not held by the Company are recognized as minority interests and minority shareholder profits and losses respectively and presented separately undershareholders’ equity and net profits in the consolidation financial statements. The portion of asubsidiary’s net profits and losses for the period that belong to minority interests is presented as the item of “minority shareholder profits and losses” under the bigger item of net profits in the consolidated financial statements. Where the loss of a subsidiary shared by minority shareholders exceeds the portion enjoyed by minority shareholders in thesubsidiary’s openingowners’ equity, minority interests are offset.
As for the transactions purchasing minority equities of the subsidiaries or the transitions not losing the control right of the subsidiaries owning to disposing the equity investment on them, should be measured as the equity transactions and adjust the book value that attributes to the equities of the shareholders of the Company and the equities of the minority shareholders for reflecting the changes in the relevant equities of the subsidiaries. The Company adjusts the capital surplus of the difference between the adjusted amount of the equities of the minority shareholders and the fair value of the paid/received consideration, if the capital surplus is insufficient to write down, the retained income should be adjusted.
Where the Company losses control on its original subsidiaries due to disposal of some equity investments or other reasons, the residual equity interests are re-measured according to the fair value on the date when such control ceases. The summation of the consideration obtained from the disposal of equity interests and the fair value of the residual equity interests, minus the portion in the originalsubsidiary’s net assets measured on a continuous basis from the acquisition date that is enjoyable by the Company according to the original shareholding percentage in the subsidiary, is recorded in investment gains for the period when theCompany’s control on the subsidiary ceases.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 Other comprehensive incomes in relation to the equity investment in the original subsidiary are treated on the same accounting basis as the acquiree directly disposes the relevant assets or liabilities (that is, except for the changes in the net liabilities or assets with a defined benefit plan resulted from re-measurement of the original subsidiary, the rest shall all be transferred into current investment gains) when such control ceases. And subsequent measurement is conducted on the residual equity interests according to the No. 2 Accounting Standard for Business Enterprises-Long-term Equity Investments or the No. 22 Accounting Standard for Business Enterprises-Recognition and Measurement of Financial Instruments.
Where the Company losses control on its original subsidiaries due to step by step disposal of equity investments through multiple transactions, it need to distinguish the Company losses control on its subsidiaries due to disposal of equity investments whether belongs to a package deal. If each transaction of disposing the equity investment of the subsidiaries until losing the control right belongs to the package deal, should be regarded as a transaction of disposing the subsidiaries and losing the control right for accounting treatment. Those not belong to a package deal, each of them a deal depends on circumstances respectively conduct accounting treatment in accordance with the applicable principles of “part disposal of subsidiaries of a long-term equity investment under the condition of not losing control on its subsidiaries” (see details to the first two paragraphs)and “Where the Group losses control on its original subsidiaries due to disposal of some equity investments or other reasons” (see the details to the first paragraph).However, before losing control, every disposal cost and corresponding net assets balance of subsidiary of disposal investment are confirmed as other comprehensive income in consolidated financial statements, which together transferred into the current profits and losses in the loss of control , when the Company losing control on its subsidiary.
7. Classification of Joint Arrangements and Accounting Treatment of Joint Operations
Not applicable
8. Confirmation Standard for Cash and Cash Equivalent
In preparing the cash flow statement, the cash equivalents of the Company include the investments with short period (it usually expires within three months from the purchase date), characteristics of high liquidity, easy conversion to certain amount of cash and little risk of value change.
9. Transactions of Foreign Currencies and Conversion of Financial Statements in Foreign Currencies (1) Adjustments are made to foreign currency accounts in accordance with the exchange rate prevailing on the balance sheet date
Value of non currency item accrued at fair value by foreign currency is adjusted in accordance with the exchange rate prevailing on fair value confirm date. Conversion differences arising from those specific borrowings are to be capitalized as part of the cost of the construction in progress in the period before the fixed assets being acquired and constructed has not yet reached working condition for its intended use. Conversion differences arising from other accounts are charged to financial
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 expenses.
(2) In balance sheet, assets and liabilities items are converted into RMB at the exchange rate prevailing on the consolidated balance sheet date.Owner’s equity items (excluding undistributed profit item) are converted into RMB at the exchange rate when the transaction occurs. In income statement, revenue and expenses items are accrued by the proper method and the approximate rate when the transaction occurs. Translation difference occurred for above reason is disclosed in the consolidated balance sheet as a separate item.
10. Financial Instruments
The term “financial instruments” refers to the contracts under which the financial assets of an enterprise are formed and the financial liability or right instruments of any other entity are formed. Financial instruments include the financial assets, financial liabilities and equity instruments. (1) Recognition and derecognition of the financial instruments
When the Company becomes a party to a financial instrument, it shall recognize a financial asset or financial liability.
Where a financial asset satisfies any of the following requirements, the recognition of it shall be terminated:
① Where the contractual rights for collecting the cash flow of the said financial asset are terminated;
② Where the said financial asset has been transferred and meets the conditions for recognizing the termination of financial assets as follows.
Only when the prevailing obligations of a financial liability are relieved in all or in part may the recognition of the financial liability be terminated in all or partly. Where the Company (debtor) enters into an agreement with a creditor so as to substitute the existing financial liabilities by way of any new financial liability, and if the contractual stipulations regarding the new financial liability is substantially different from that regarding the existing financial liability, it shall terminate the recognition of the existing financial liability, and shall at the same time recognize the new financial liability.
Buying and selling the financial assets by conventional methods and executing the accounting recognition and derecognition according to the transaction date.
(2) Category and measurement of the financial assets
The Company classifies the financial assets into the following four kinds when initially recognizing according to the contract terms of the issued financial instruments and the economic nature reflected by which but not by the law methods as well as combines with the aims of acquiring and holding the financial assets and undertaking the financial liabilities: financial assets measured by fair value with the changes be recorded in the current gains and losses, held-to-maturity investment, loans and
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 accounts receivable as well as the available-for-sale financial assets. The financial assets should be measured by fair value when initially recognizing. As for the financial assets measured by fair value with the changes be recorded in the current gains and losses, the relevant transactions expenses should be directly recorded in the current gains and losses while the relevant transactions expenses of the financial assets of other categories should be recorded in the initially recognized amount. Financial assets measured by fair value with the changes be included in the current gains and losses As for the financial assets measured by fair value with the changes are included in the current gains and losses which include the tradable financial assets and the financial assets be appointed as the one be measured by fair value with the changes are included in the current gains and losses when initially recognized. For this kind of the financial assets, should be executed the follow-up measurement by adopting the fair value, and the profits or losses form from the changes of the fair value as well as the dividends and the interest income related to the financial assets should be recorded in the current gains and losses.
Held-to-maturity investment
The term “held-to-maturity investment “refers to a non-derivative financial asset with a fixed date of maturity, a fixed or determinable amount of repo price and which the enterprise holds for a definite purpose or the enterprise is able to hold until its maturity. The following non-derivative financial assets shall not be classified as investments held to their maturity. As for the held-to-maturity investment, shall make subsequent measurement on its financial liabilities on the basis of the post-amortization costs by adopting the actual interest rate method, while the gains or losses of the derecognition, impairment or amortization should be recorded in the current gains and losses.
Accounts receivable
Accounts receivable refers to the non-derivative financial assets without any quotation in the active market but with fixed or recognizable recovery amount, which include the accounts receivable and other accounts receivable etc. As for the accounts receivable, shall make subsequent measurement on its financial liabilities on the basis of the post-amortization costs by adopting the actual interest rate method, while the gains or losses of the derecognition, impairment or amortization should be recorded in the current gains and losses.
Available-for-sale financial assets
Available-for-sale financial assets refers to the non-derivative financial assets be appointed as available-for-sale and the financial assets except for the above category of the financial assets. The available-for-sale financial assets should adopt the follow-up measurement and the premium should adopt the actual interest rate for amortization and be recognized as the interest income. Except for the impairment losses and the exchange differences of the foreign currency financial assets which be regarded as the current gains and losses, the changes of the fair value of the available-for-sale financial assets should be recognized as other comprehensive income, and when the financial assets being derecognizing, the portion of the accumulative amount of changes in the fair value originally recorded in the other comprehensive income which corresponds to the portion whose recognition
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 has been disposed, shall be transferred and recorded in the current gains and losses. And the dividends or the interest income related to the available-for-sale financial assets should be recorded in the current gains and losses.
(3) Category and measurement of financial liabilities
The financial liabilities of the Company are classified as the follows when initially recognized: financial liabilities measured by fair value with the changes are recorded in the current gains and losses and other financial liabilities. As for those had not be divided as the financial liabilities measured by fair value with the changes be recorded in the current gains and losses, the relevant transaction expenses should be recorded in the initial recognized amount.
Financial liabilities measured by fair value with the changes be recorded in the current gains and losses
The financial liabilities measured by fair value with the changes be recorded in the current gains and losses, which include the tradable financial liabilities and the financial liabilities be appointed as measured by fair value with the changes be recorded in the current gains and losses when initially recognized. For this kind of financial liabilities should be executed the follow-up measurement according to the fair value, while the profits or losses form from the changes of the fair value and the dividends and the interest expenses related to the financial liabilities should be recorded in the current gains and losses.
Other financial liabilities
For the derivative financial liabilities, which are connected to the equity instrument for which there is no quotation in the active market and whose fair value cannot be reliably measured, and which must be settled by delivering the equity instrument, they shall be executed follow-up measurement on the basis of their costs. As for the other financial liabilities, should adopt the effective interest method and be executed the follow-up measurement according to the amortized cost with the profits or losses form from derecognition or amortization be recorded in the current gains and losses. (4) Fair value of the financial instruments
As for the financial assets or financial liabilities for which there is an active market, the current offer or current price in the active market shall be used to determine the fair values thereof.
Where there is no active market for a financial instrument, the Company concerned shall adopt value appraisal techniques to determine its fair value. The result obtained by adopting value appraisal techniques shall be able to reflect the transaction prices that may be adopted in fair dealings on the value appraisal day. The value appraisal techniques mainly include the prices adopted by the parties, who are familiar with the condition, in the latest market transaction upon their own free will, the current fair value obtained by referring to other financial instruments of the same essential nature, the cash flow capitalization method and the option pricing model, etc.
To determine the fair value of a financial asset, the Company chooses those value appraisal techniques which are generally acknowledged by market participants and have been proved as
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 reliable by past actual transaction prices of the market. To determine the fair value of a financial asset by adopting value appraisal techniques, the Company shall adopt, if possible, all the market parameters that are taken into account by market participants in pricing financial instruments and the observable transaction price of the current market with the same financial instruments for testing the validity of the valuation technique.
(5) Impairment of financial assets
The Company shall carry out an inspection, on the balance sheet day, on the carrying amount of the financial assets and where there is any objective evidence proving that such financial asset has been impaired, an impairment provision shall be made. The expression “objective evidence proving that the financial asset has been impaired” refers to the actually incurred events which, after the financial asset is initially recognized, have an impact on the predicted future cash flow of the said financial asset that can be reliably measured by the Company.
Financial assets measured by amortized cost
If there are objective evidences indicate that the financial assets occur impairment, the carrying amount of the said financial asset shall be written down to the current value of the predicted future cash flow (excluding the loss of future credits not yet occurred), and the amount as written down shall be recorded in the current gains and losses. The current value of the predicted future cash flow shall be determined according to the capitalization of the original actual interest rate of the said financial asset, taking into account the value of the relevant guarantee.
An impairment test shall be made on the financial assets with significant single amounts. If any objective evidence shows that it has been impaired, the impairment-related losses shall be recognized and shall be recorded into the profits and losses of the current period. With regard to the financial assets with insignificant single amounts, an independent impairment test may be carried out, or they may be included in a combination of financial assets with similar credit risk features so as to carry out an impairment-related test. Where, upon independent test, the financial asset (including those financial assets with significant single amounts and those with insignificant amounts) has not been impaired, it shall be included in a combination of financial assets with similar risk features so as to conduct another impairment test. The financial assets which have suffered from an impairment loss in any single amount shall not be included in any combination of financial assets with similar risk features for any impairment test.
Where any financial asset measured on the basis of post-amortization costs is recognized as having suffered from any impairment loss, if there is any objective evidence proving that the value of the said financial asset has been restored, and it is objectively related to the events that occur after such loss is recognized, the impairment-related losses as originally recognized shall be reversed and be recorded into the profits and losses of the current period. However, the reversed carrying amount shall not be any more than the post-amortization costs of the said financial asset on the day of reverse under the assumption that no provision is made for the impairment.
Available-for-sale financial assets
Where there are objective evidences indicate that the available-for-sale financial assets are impaired,
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 the accumulative losses arising from the decrease of the fair value of theowner’s equity which was directly included shall be transferred out and recorded into the profits and losses of the current period. The accumulative losses that are transferred out shall be the balance obtained from the initially obtained costs of the sold financial asset after deducting the principals as taken back, the current fair value and the impairment-related losses as was recorded into the profits and losses of the current period.
As for the sellable debt instruments whose impairment-related losses have been recognized, if, within the accounting period thereafter, the fair value has risen and are objectively related to the subsequent events that occur after the originally impairment-related losses were recognized, the originally recognized impairment-related losses shall be reversed and be recorded into the profits and losses of the current period. The impairment-related losses incurred to a sellable equity instrument investment shall not be reversed through profits and losses.
Financial assets measured by cost
When the equity instrument investments for which there is no quotation in the active market and whose fair value cannot be measured reliably, or the derivative financial assets which are connected with the said equity instrument and must be settled by delivering the said equity instrument are impaired, should recognize the book value of the financial assets and the differences between the current value recognized from the discounting according to the current market earnings rate of the similar financial assets to the future cash flow as the impairment losses and record which in the current gains and losses. And the occurred impairment losses once being recognized should not be reversed.
(7) Transformation of the financial assets
The term “"transfer of a financial asset” refers to transferring or delivering a financial asset to a party other than the issuer of the financial asset (the transferee).
Where the Company has transferred nearly all of the risks and rewards related to the ownership of the financial asset to the transferee, it shall stop recognizing the financial asset. If it retained nearly all of the risks and rewards related to the ownership of the financial asset, it shall not stop recognizing the financial asset.
Where the Company does not transfer or retain nearly all of the risks and rewards related to the ownership of a financial asset, it shall deal with it according to the circumstances as follows, respectively: if it gives up its control over the financial asset, it shall stop recognizing the financial asset; if it does not give up its control over the financial asset, it shall, according to the extent of its continuous involvement in the transferred financial asset, recognize the related financial asset and recognize the relevant liability accordingly.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 11. Receivables
(1) Accounts Receivable with Significant Single Amount for Which the Bad Debt Provision is Made Individually
|||
|-|-|
||Individual material receivables are the top five largest receivables|
|Standard of significant single amounts|or sum of receivables which account for 10% of ending balance of|
||accounts receivable.|
||As for the accounts receivable with significant single amount at|
||the period-end, could execute the impairment test individually. If|
||there was objective evidence to shows that it has been impaired,|
|Withdrawing method of provision for bad debts of significant||
||the impairment-related losses shall be recognized and shall be|
|single amounts||
||made bed debt provision according to the difference that the|
||current value of the future cash flow lowers than its book value|
||of the accounts receivable.|

(2) Accounts Receivable Which the Bad Debt Provision is Withdrawn by Credit Risk Characteristics
|||
|-|-|
|Name of portfolios|Bad debt provision method|

In the groups, adopting aging analysis method to withdraw bad debt provision:
√ Applicable□ Not applicable
||||
|-|-|-|
||Withdrawal proportion for accounts|Withdrawal proportion for other accounts|
|Age|||
||receivable|receivable|
|Within 1 year (including 1 year)|2.00%|2.00%|
|1-2 years|10.00%|10.00%|
|2-3 years|50.00%|50.00%|
|3 to 4 years|80.00%|80.00%|
|4 to 5 years|80.00%|80.00%|
|Over 5 years|100.00%|100.00%|

 In the groups, adopting balance percentage method to withdraw bad debt provision:
□ Applicable√ Not applicable
In the groups, adopting other methods to withdraw bad debt provision:
□ Applicable√ Not applicable
(3) Accounts Receivable with an Insignificant Single Amount but for Which the Bad Debt Provision is Made Individually
|||
|-|-|
||As for the accounts receivable with insignificant single amount at|
|Reason of individually withdrawing bad debt provision||
||the period-end, could execute the impairment test individually.|
|Withdrawal method for bad debt provision|The impairment-related losses shall be calculated and recognized|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||
|-|
|and shall be made bed debt provision according to the proportion|
|of the accounts receivable portfolios that are accounts receivable|
|that didn’t incur impairment in test (including accounts|
|receivable with significant single amount and accounts|
|receivable with insignificant single amount ) and the accounts|
|receivable portfolios with similar credit risk characteristics to|
|closing balance.|

12. Inventory
Whether the Company needs to comply with the disclosure requirements of special industry?
Yes
Related industry of jewelry
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure Guidelines No. 11 - Listed Companies Engaged in Related Jewelry Business
(1) Inventory classification
The inventory of the Company classified as:
A. Real estate development products: developed products, development cost.
B. Non-real estate products: raw materials, products in production, stock merchandise, delivery commodity, commission processing materials, etc.
(2) Method for inventory valuation
Inventories are valued at the lower of cost and net realizable value.
Real estate development product costs include land cost, construction costs and other costs. Borrowing costs meet the capitalization conditions are also included in real estate development product costs. Non-real estate development product costs include purchase cost, process cost and other costs.
The raw materials acquired by the Company are measured according to the actual cost and the raw materials, outside processing materials, goods in process and self-made semi-manufactured goods adopt weighted average valuation when issued or received (winding wheel setting and jade accessories adopt individual pricing).
(3) Confirmation of net realizable value of inventory and Recording method of provision for inventory devaluation
At the end of the period, after overall check of the inventory, draw or adjust provision for inventory devaluation according to the lower of the cost of inventory and net realizable values of inventory.
In normal operation process, net realizable values of commodities inventories for direct sales
including finished goods, commodities and materials for sales are determined by the estimated
selling prices minus the estimated selling expenses and relevant taxes and fees; In normal operation
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 process, net realizable values of materials that need further processing are determined by the estimated selling prices of the finished goods minus estimated cost to completion, estimated selling expenses and relevant taxes. For the inventory held to implement sales contract or work contract, its net realizable value is calculated on the basis of contract price. For the balance of inventory beyond the amount of the sales contract, its net realizable value is calculated on the basis of general selling price.
Provision for inventory devaluation is provided for based on individual inventory item at end of the period. For inventory that has large quantity and low unit price, the provision for inventory devaluation is provided for based on categories of the inventory. For inventory related to the products manufactured and sold in the same district, with same or similar use or purpose, and difficult to account for separately from other items, the provision for inventory devaluation is provided for on a consolidated basis.
When the factors that influence the decreased bookkeeping of inventory value have disappeared, switch back from the provision for inventory devaluation amount that previously appropriated and the amount that switched back is charged to profit or loss of current period.
(4) System of stock inventories
Perpetual inventory system is applied.
(5) Amortization for low cost and short lived articles and package materials
When consuming the low cost and short lived articles, the Company adopts the one-time amortization method for amortization.
The turnover package materials should be recorded in the cost expenses according to the one-time amortization method.
13. Assets Held for Sale
When a company relies mainly on selling (including the exchanges of non-monetary assets with commercial substance) instead of continuing to use a non-current asset or disposal group to recover its book value, the non-current asset or disposal group is classified as asset held for sale. Both of the following conditions shall be met when non-current assets or disposal group is classified as asset held for sale:
(1) Assets or disposal groups can be sold immediately under current conditions based on the practice of selling such assets or disposal groups in similar transactions;
(2) Sales are highly likely to occur, that is, the enterprise has already made a resolution on a sale plan and obtained a certain purchase commitment, and the sale is expected to will be completed within one year, and the sale shall have been approved if relevant regulations require relevant authority or regulatory authority of the enterprise to approve it.
The recognized purchase commitment refers to the purchase agreement signed by enterprise with
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 other parities with legal binding, which includes important terms, such as transaction price, time, and severe punishment. It is highly unlikely that the agreement will be significantly adjusted or withdrawn.
14. Long-term Equity Investment
The long-term equity investments of this part refer to the long-term equity investments that the Group has control, joint control or significant influence over the investees. The long-term equity investment that the Group does not have control, joint control or significant influence over the investees, should be recognized as available-for-sale financial assets or be measured by fair value with the changes should be included in the financial assets accounting of the current gains and losses.
(1) Recognition of investment costs
As for long-term equity investments acquired by enterprise merger, if the merger is under the same control, the share of the book value of theowner’s equity of the merged enterprise, on the date of merger, is regarded as the initial cost of the long-term equity investment. The difference between the initial cost of the long-term equity investment and the payment in cash, non-cash assets transferred as well as the book value of the debts borne by the merging party shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted (If the consideration of the merging enterprise is that it issues equity securities, it shall, on the date of merger, regard the share of the book value of the shareholder's equity of the merged enterprise on the consolidated financial statement of the ultimate control party as the initial cost of the long-term equity investment. The total face value of the stocks issued shall be regarded as the capital stock, while the difference between the initial cost of the long-term equity investment and total face value of the shares issued shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. The equities of the combined party which respectively acquired through multiple transaction under the same control that ultimately form into the combination of the enterprises under the same control, should be disposed according whether belongs to package deal; if belongs to package deal, each transaction would be executed accounting treatment by the Company as a transaction of acquiring the control right. If not belongs to package deal, it shall, on the date of merger, regard the enjoyed share of the book value of the shareholder's equity of the merged enterprise on the consolidated financial statement of the ultimate control party as the initial cost of the long-term equity investment, and as for the difference between the initial investment cost of the long-term equity investment and sum of the book value of the long-term equity investment before the combination and the book value of the consideration of the new payment that further required on the combination date, should adjust the capital reserve; if the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. The equity investment held before the combination date which adopted the equity method for accounting, or the other comprehensive income confirmed for the available-for-sale financial assets, should not have any accounting disposal for the moment).
For the long-term investment required from the business combination under different control, the initial investment cost regarded as long-term equity investment on the purchasing date according to
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 the combination cost, the combination costs shall be the sum of the fair values of the assets paid, the liabilities incurred or assumed and the equity securities issued by the Company (The equities of the acquirees which respectively acquired through multiple transaction that ultimately form into the combination of the enterprises under the different control, should be disposed according whether belongs to package deal; if belongs to package deal, each transaction would be executed accounting treatment by the Company as a transaction of acquiring the control right. If not belongs to package deal, the sum of the book value of the original held equity investment of the acquirees and the newly added investment cost should be regarded as the initial investment cost of the long-term equity investment that changed to be accounted by cost method. If the original held equity is calculated by cost method, the other relevant comprehensive income would not have any accounting disposal for the moment. If the original held equity investment is the financial assets available for sale, its difference between the fair value and the book value as well as the accumulative changes of the fair value that include in the other comprehensive income, should transfer into the current gains and losses).
The commission fees for audit, law services, assessment and consultancy services and other relevant expenses occurred in the business combination by the combining party or the purchase party, shall be recorded into current profits and losses upon their occurrence; the transaction expense from the issuance of equity securities or bonds securities which are as consideration for combination by the combining party, should be recorded as the initial amount of equity securities and bonds securities.
Besides the long-term equity investments formed by business combination, the other long-term equity investments shall be initially measured by cost, the cost is fixed in accordance with the ways of gaining, such as actual cash payment paid by the Group, the fair value of equity securities issued by the Group, the agreed value of the investment contract or agreement, the fair value or original carrying amount of exchanged assets from non-monetary assets exchange transaction, the fair value of the long-term equity investments, etc. The expenses, taxes and other necessary expenditures directly related with gaining the long-term equity investments shall also be recorded into investment cost. The long-term equity investment cost for those could execute significant influences on the investees because of appending the investment or could execute joint control but not form as control, should be as the sum of the fair value of the original held equity investment and the newly added investment cost recognized according to the No. 22 of Accounting Standards for BusinessEnterprises—Recognition and Measurement of Financial Instrument.
(2) Subsequent measurement and recognition of gains or losses
Long-term equity investment measured by cost method
The long-term equity investment which the Company could execute the control on the investees, should be measured by cost method and shall be included at its initial investment cost and append as well as withdraw the cost of investing and adjusting the long-term equity investment.
As for the long-term equity investment measured by cost method, the return on investment at current period shall be recognized in accordance with the cash dividend or profit announced to distribute by the invested entity, except the announced but not distributed cash dividend or profit
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 included in the actual payment or consideration upon gaining the investment.
Long-term equity investment measured by equity method
As for the long-term equity investment of the joint ventures and the associated enterprises, the Company adopts the equity method for measurement; as for the one part of the equity investment that indirectly held by the joint ventures through the similar main bodies such as the venture capital Institutions, mutual fund, trust company or the unit-linked Insurance funds, should be measured by adopting fair value with the changes be recorded in the gains and losses.
If the initial cost of a long-term equity investment is more than theCompany’s attributable share of the fair value of the investedentity’s identifiable net assets for investment, the initial cost of the long-term equity investment may not be adjusted. If the initial cost of a long-term equity investment is less than theCompany’s attributable share of the fair value of the investedentity’s identifiable net assets for investment, the difference shall be included in the current profits and losses.
After the Company acquires the long-term equity investment, respectively recognize investment income and other comprehensive income according to the net gains and losses as well as the portion of other comprehensive income which should be enjoyed or be shared, and at the same time adjust the book value of the long-term equity investment; corresponding reduce the book value of the long-term equity investment according to profits which be declared to distribute by the investees or the portion of the calculation of cash dividends which should be enjoyed; for the other changes except for the net gains and losses, other comprehensive income and theowners’ equity except for the profits distribution of the investees, should adjust the book value of the long-term equity investment as well as include in theowners’ equities.
When executes the measurement on the long-term equity investment by the equity method, the Company should adjust the net profits of the investees in the aspects such as the fair value, accounting policies and accounting period of each identifiable asset of the investees when acquiring firstly and secondly recognize the current investment gains and losses according to the net gains and losses which should enjoyed or undertook of the investees.
For the unrealized profits or losses of internal transactions occurred among the Company and joint ventures, the proportion attributable to the Company will be recognized based on the offset as the investment gains and losses.
Recognition of share of losses of the invested companies under the equity method is treated in the following steps: First, reduce the book value of the long-term equity investment. Second, when the book value is insufficient to cover the share of losses, investment losses are recognized up to a limit of book values of other long-term equity which form net investment in substance by reducing the book value of long term receivables, etc. Finally, after all the above treatments, if the Company is still responsible for any additional liabilities in accordance with the provisions stipulated in the investment contracts or agreements, estimated liabilities are recognized and charged into current investment loss according to the liabilities estimated. If the invested company achieve profit in subsequent periods, the treatment is in the reversed steps described above after deduction of any unrecognized investment losses, i.e., reduce book value of estimated liabilities recognized, restore
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 book values of other long-term equity which form net investment in substance, and in long-term equity investment, and recognize investment income at the same time.
Disposal of the long-term equity investment
When disposing of a long-term equity investment, the difference between its book value and the actual purchase price shall be included in the current profits and losses. As for the long-term equity investment measured by adopting the equity method, when disposing the investment, should adopt the same basis as the investees when directly disposing the relevant assets or liabilities and execute the accounting treatment on the part which originally be recorded in the other comprehensive income according to the corresponding proportion. As for theowners’ equities recognized owning to the changes of the otherowners’ equities except for the net gains and losses, other comprehensive income and the profits distribution of the investees, should be carried down in the current gains and losses according to the proportion. If lost the jointly control or the significant influences on the investees owning to the reasons such as disposing part of the equity investment, the retained equities after the disposal should change to be recognized according to the financial instruments and be measured by the measure criterion, with the difference between the fair value on the date losing the jointly control or the significant influences and the book value, should be recorded in the current gains and losses. As for the other comprehensive income recognized owning to the original equity investment which be measured by adopting the equity method, should be executed the accounting treatment bases on the same basis as directly disposing the relevant assets or liabilities by the investees when terminating the measurement by adopting the equity method. And theowners’ equities recognized owning to the changes of the otherowners’ equities except for the net gains and losses, other comprehensive income and the profits distribution, should be totally transferred in the current gains and losses when terminating the measurement by adopting the equity method.
As for those lost the control right on the investees owning to the reasons such as disposing part of the equity investment, when preparing the individual financial statement, if the retained equities after the disposal could execute the jointly control or significant influences on the investees, should change to be measured by equity method and execute the adjustment of the retained equity by regarding which as adopting the equity method for measurement the time when acquires; and if the retained equities after the disposal could not execute the jointly control or significant influences on the investees, should change to be recognized according to the financial instruments and be executed the accounting treatment according to the relevant regulations of the measure criterion with the difference between the fair value on the date lost the control and the book value, should be recorded in the current gains and losses.
If the disposed equity is acquired by the enterprise merger owning to the reasons such as the additional investment, when preparing the individual financial statement, as for the disposed retained equities be measured by adopting the cost method or the equity method, the other comprehensive income and the otherowners’ equities recognized owning to the equity investment which adopts the equity method for measurement before the purchase date should be carried forward according to the proportion; as for the disposed retained equities change to be recognized according to the financial instruments and be executed the accounting treatment according to the measure criterion, the other comprehensive income and otherowners’ equities should be totally carried forward.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (3) Judgment criterion of the jointly control and significant influences
If the Company jointly control certain arrangement according to the relevant agreement with the other participants and owns the activity decision-making with significant influences on the return of the arrangement, which only exists through the consensus of the participants with enjoy and control right, should regard the Company and other participants jointly control certain arrangement and the arrangement is the joint venture arrangement.
As for the joint venture arrangement reaches through the individual main body, when judging the Company enjoying the right on the net assets of the individual main body according to the relevant agreement, should regard the individual main body as the joint venture and should measure which by adopting the equity method. If the Company not enjoys the right on the net assets of the individual main body according to the relevant agreement after the judgment, the individual main body should be regarded as the jointly operation and the Company should recognize the projects related to the interest shares of the joint operation and execute the accounting treatment according to the regulations of the relevant ASBE.
The term “significant influence” means having the power to participate in the formulation of financial and operating policies of an enterprise, but not the power to control or jointly control the formulation of these policies together with other parties. The Company judges whether there are significant influences on the investees through one or various situations of the following and comprehensively considers all the facts and situations. (1) there are representatives assigned in the Board of Directors or the similar capability mechanisms in the investees; (2) participates in the decision-making process of the financial and operating policies of the investees; (3) there are significant transactions with the investees; (4) sends the administrative staffs to the investees; (5) provides the key technical materials to the investees.
(4) Impairment testing and impairment provision methods
On the balance sheet date, if there are similar situations such as the book value of the long-term equity investment larger than the shares of the book value of theowners’ equities of the investees, the Company should execute the impairment test of the long-term equity investment according to the No. 8 of ASBE– Assets Impairment and as for the recoverable amount less than book value of the long-term equity investment, should be withdrawn the impairment provision. As for the specific methods for withdrawing the assets impairment, please refer to Notes IV. 19.
15. Investment Real Estates
Measurement mode of investment real estates
Measurement of cost method
Depreciation or amortization method
Investment real estates refer to the real estate held for gaining the rental or the capital appreciation or for both causes mentioned above, which includes the leased land use right, held-to-transferred land use right after appreciation and the leased buildings.
The Company adopts cost mode measurement on the current investment real estates. For investment
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 properties and rental assets measured at the cost model, they will be implemented the same depreciation policy similar to fixed assets, land use right for rental will be implemented the same amortization policy to intangible assets; for those with the indication of impairment, the recoverable amount can only be estimated, and if recoverable amount is lower than its book value, the corresponding impairment loss should be confirmed.
16. Fixed Assets
(1) Conditions for Recognition
Fixed assets are tangible assets that are held for use in the production or supply of services, for rental to others, or for administrative purposes; they have useful lives over one fiscal year. And they shall be recognized only when both of the following conditions are satisfied: A. It is probable that economic benefits associated with the assets will flow to the enterprise; B. The cost of the fixed assets can be measured reliably.
(2) Depreciation Methods
||||||
|-|-|-|-|-|
||||Expected net salvage||
|Category of fixed assets|Method|Useful life||Annual deprecation|
||||value||
||Average method of||||
|Buildings and||35 years|5%|2.71%|
|constructions|useful life||||
||Average method of||||
|||10 years|5%|9.50%|
|Machinery equipment|||||
||useful life||||
|Transportation|||||
||Average method of||||
|||8 years|5%|11.88%|
|equipment|useful life||||
|Office equipment and|||||
||Average method of||||
|||5 years|5%|19.00%|
|others|useful life||||

(3) Recognition Basis, Pricing and Depreciation Method of Fixed Assets by Finance Lease
The fixed assets gained from financing leasing, if could ensure reasonable to gain the ownership of the leasing assets when the term expired, should withdraw the depreciation during the service period of the leasing assets; if could not ensure reasonable to gain the ownership of the leasing assets when the term expired, should withdraw the depreciation during the shorter period between the leasing period and the service period of the leasing assets. If the fixed assets gained from the financing leasing method met with the capitalization condition of the remodeling expense, should
average amortized according to the shortest period among the period between the two decorations,
the rest leasing period and the service period of the fixed assets.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 17. Construction in Progress
(1) Classification of construction in progress
The Construction in progress will be calculated based on the classification of proposed projects. (2) Transfer time of construction in progress to fixed assets
For the construction in progress, all expenses occurring before they are ready for the use will be the book values as the fixed assets. In case the construction in progress has been ready for use but the final accounts for completion have not been handled, from the date when such projects has been ready for use, the Company will evaluate the values and determine the costs based on the project budgets, prices or actual costs of projects, etc and the depreciation amount will also be withdrawn; when the final accounts for completion are handled, the Company will adjust the originally evaluated values subject to the actual costs, but will not adjust the withdrawn depreciation amount. 18. Borrowing Expenses
(1) Confirmation principle of capitalization of borrowing expenses
In case the borrowing expenses occurring in the Company may directly be attributable to the construction and productions of assets complying with the capitalization conditions, they will be capitalized and accrued to the relevant capital costs; other borrowing expenses will be confirmed as the expenses based on the actual amount at the time of occurrence and accrued to the current profit or loss.
The assets complying with the capitalization conditions mean the assets such as fixed assets, investment real estates and inventory, etc that need a long time of construction and production activities before they are ready for use or for sales.
The borrowing expenses begin to be capitalized under the following circumstances:
A. The asset payment have been made which include the payment such as the paid cashes, transferred non-currency assets or borne liabilities with the interests to construct or produce the assets complying with the capitalization conditions;
B. The borrowing expenses have occurred;
C. The necessary construction or production activities to make the assets ready for use or sales have been launched.
In case during the construction or production period the assets complying with the capitalization conditions are abnormally suspended and the suspension period exceeds 3 months continuously, the capitalization of borrowing expenses will also be suspended.
The capitalization of borrowing expenses for the assets that have been constructed or produced and are ready for use or sales will be stopped.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 When parts of the purchased assets or assets whose production satisfies the capitalization conditions are completed respectively and can be used individually, the capitalization of the borrowing expenses of these parts will be stopped.
(2) Capitalization period of borrowing expenses
The capitalization period means the period from the moment that the borrowing expenses start to be capitalized to the moment that the capitalization is stopped, which does not include the period that the capitalization of borrowing expenses is suspended.
(3) Calculation method about capitalization amount of borrowing expenses
The interest expenses for special loans (after the deduction of interest income generated by the unused loan capitals or the investment return obtained from the temporary investments) and auxiliary expenses will be capitalized before the assets complying with the capitalization conditions are ready for the expected use or sales.
The interest amount of general loans to be capitalized will be determined by multiplying the weighted average amount of the asset payment by which the accumulated assets exceed the special loans with the capitalization rate of general loans. The capitalization rate will be determined based on the weighted average interest rate of general loans.
In case the loans have the discounts or premiums, the Company will adjust the interest amount in each period based on the amortized discount and premium amount in each accounting period in accordance with the actual interest rate method.
19. Biological Assets
Not applicable
20. Oil-gas Assets
Not applicable
21. Intangible Assets
(1) Pricing Method, Service Life and Impairment Test
Pricing method of the intangible assets
When acquiring, the intangible assets are generally recorded according to actual cost;
A. For those the price of intangible assets deferred paid exceed normal credit condition so substantively has financing character, the cost of intangible assets is confirmed on the basis of present value of purchasing price.
B. For fixed assets formed through obtaining them by the debtor paying for debt in debt restructure,
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 recognize its recording value as fair value of the fixed assets, and record the difference between the carrying amounts of debt restructure and the fixed assets used for paying debt into current profit or loss; in the circumstance of the non monetary assets exchange has commercial nature and fair value of surrendered or received assets can be measured reliably, recording value of received assets should be recognized as fair value of surrendered assets unless there is clear evidence to indicate that fair value of received assets is more reliable; for non monetary assets exchange whichdoesn’t meet the requirement of premise mentioned above, cost of received assets should be recognized as carrying amount and related tax expenses payable of surrendered assets and should not be recognized as profit or loss.
C. Recording value of fixed assets obtained by absorbing and consolidated by enterprise under the common control should be recognized as carrying amount of the consolidated party; recording value of fixed assets obtained by absorbing and consolidated by enterprise under different control should be recognized as fair value.
Service life and amortization of the intangible assets
A. Estimation of useful life for intangible assets with finite useful life
At end of each year, the Company will recheck the useful life of intangible assets with the definite useful life and amortization method will be rechecked.
According to the re-check, the useful life and amortization method of the intangible assets at the end of the year are not different from those estimated before.
B. Amortization of the intangible assets:
In case their useful life is limited, the intangible assets are amortized evenly over the period in which they produce economic profit for the Company; in case it is impossible to evaluate the useful life when the intangible assets bring the benefits to enterprises, it will be deemed that the useful life of such intangible assets is uncertain and amortization is not applicable and not execute the amortization.
(2) Accounting Policy for Internal Research and Development Expenditures
Not applicable
22. Long-term Assets Impairment
For the long-term non-current financial assets of the fixed assets, projects under construction and intangible assets, the Company would judge whether decrease in value exists on the date of balance sheet at every period-end. No matter whether there is any sign of possible assets impairment, the business reputation formed by the merger of enterprises and intangible assets with uncertain service lives shall be subject to impairment test every year.
If there is the sign of possible impairment of the assets, should estimate the recoverable amount:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (1) Where there is any evidence indicating a possible impairment of assets, the enterprise shall, on the basis of single item assets, estimate the recoverable amount.
(2) Where it is difficult to do so, it shall determine the recoverable amount of the group assets on the basis of the asset group to which the asset belongs.
(3) The recoverable amount shall be determined on the basis of the higher one of the net amount of the fair value of the asset minus the disposal expenses and the current value of the expected future cash flow of the asset
Where the recoverable amount of the assets is lower than its carrying value, the book value of the assets should be written down to the recoverable amount with the written-down amount be recognized as the impairment losses of the assets and record which in the current gains and losses as well as at the same time withdraw the corresponding impairment provision of the assets.
After the recognition of the impairment losses of the assets, the depreciation or the amortization expenses of the impairment assets should be corresponding adjusted in the future period to lead the assets in the retained service life so that to systematically sharing the book value of the assets after the adjustment (deducted the expected net salvage).
The impairment losses of the long-term non-current financial assets of the fixed assets, projects under construction and intangible assets once being recognized should no longer be reversed in the accounting period afterwards.
23. Long-term Expenses to be Amortized
Long-term expenses to be amortized will be averagely amortized in the benefit period, including: (1) Prepaid rentals for operating leased fixed assets will be averagely amortized according to the term stipulated in the lease contract.
(2) Fixed assets improvement expenses for operating leased fixed assets will be averagely amortized according to the remaining lease period and the useful life of leased assets, whichever is shorter.
24. Payroll
(1) Accounting Treatment of Short-term Compensation
Payroll refers to all kinds of remuneration or compensation given by the Company to acquire the service from employees or to sever labor relation. Payroll includes short-term compensation, welfare after demission, demission welfare, and welfare of other long-term staffs.
Short-term compensation refers to the Company needs to pay all of the payroll for the employees within 12 months after the end of the annual Reporting Period during which the employees provide the relevant service and exclude the welfare after demission and the demission welfare. The short-term compensation actually happened during the accounting period when the active staff
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 offering the service for the Company should be recognized as liabilities and is included in the current gains and losses or relevant assets cost. During the accounting period the service workers providing the service, the social insurance charges such as the medical treatment, industrial injury, birth insurance and the housing fund paid for the employees by the Company as well as the labor union expenditure and the personnel education fund withdrawn according to the regulations, should be calculated the corresponding amount of the payroll according to the stipulated withdraw basis and withdraw proportion
If the employee services and benefits is the non-monetary welfare, should be measured by fair value.
(2) Accounting Treatment of the Welfare After Demission
Welfare after demission refers to various forms of the compensation and benefits provided by the Company which receive the service from the employees after the retirement or the relief of the labor relation with the enterprise of the service workers, except for the short-term compensation and demission welfare. Welfare plan after demission is classified into defined contribution plans and defined benefit plans.
A. Defined contribution plans
During the accounting period the service workers providing the service for the Company, the Company should pay the basic endowment insurance and unemployment insurance for the employees according to the relevant regulations of the local government and the payable amount calculated according to the cardinal number of the payment as well as the proportion stipulated by the local, should be recognized as the liabilities and record which in the current gains and losses or the relevant assets cost.
The Company pays the fees for the local social insurance agencies according to the certain proportion of the total amount of the staff salaries and the corresponding expenses should be recorded in the current gains and losses or the relevant assets cost.
B. Defined benefit plans
The Company attributes the benefits obligations from the defined benefit plans according to the formula recognized by the expected accumulative benefit units to the period the employees providing the service and records which in the current gains and losses or the relevant assets cost. The deficits or surplus formed from the current value of the defined benefit plans obligations minuses the fair value of the defined benefit plans assets should be recognized as a net liability or net assets of the defined benefit plans. If there is surplus of the defined benefit plans, the Company should measure the net assets of the defined benefit plans according to the lower one between the surplus and the assets of the defined benefit plans.
All the obligations of the defined benefit plans, including the obligations paid within 12 months after the end of the expected annual Reporting Period the service workers providing the service, should be discounted according to the national debt matched with the obligatory term of the defined
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 benefit plans and the currency on the balance sheet date or the market returns of the high-quality company bonds on the active market.
The service cost from the defined benefit plans and the net liabilities or the net amount of the interests of the net assets from the defined benefit plans should be recorded in the current gains and losses or the relevant assets cost; the net liabilities of the defined benefit plans be remeasured or the changes from the net assets should be recorded in the other comprehensive income and should not be reversed to the gains and losses in the follow-up accounting period.
When settling the defined benefit plans, should recognize the settled gains or losses according to the difference between the current value of the defined benefit plans recognized on the settlement date and the settlement price.
(3) Accounting Treatment of the Demission Welfare
When the Company cannot unilaterally withdraw the earlier one between the demission welfare provided owning to the relieve of the labor relation plans or the reduction advices and the recognition of the cost or expenses related to the reorganization involved with the payment of the demission welfare, the liabilities of the employee compensation from the demission welfare should be recognized and be recorded in the current gains and losses.
(4) Accounting Treatment of the Welfare of Other Long-term Staffs
Not applicable
25. Estimated Liabilities
(1) Recognition principles:
Only if the obligation pertinent to a contingencies such as external guarantee, unsettled lawsuits or arbitrations, quality guarantee of the products, losses contracts, restructuring obligations, retirement obligations of fixed assets shall be recognized as an estimated debts when the following conditions are satisfied simultaneously:
A. That obligation is a current obligation of the Company;
B. It is likely to cause any economic benefit to flow out of the Company as a result of performance of the obligation; and
C. The amount of the obligation can be measured in a reliable way.
(2) Measurement methods:
The Company shall measure the estimated debts in accordance with the best estimate of the necessary expenses for the performance of the current obligation.
When recognizing the current best estimate, the Company should comprehensive consider the
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 elements such as the risks, uncertainty and currency time and value of the contingencies.
The best estimate should be respectively disposed according to the following situations:
A. If there is a sequent range (or section) for the necessary expenses and if all the outcomes within this range are equally likely to occur, the best estimate shall be determined in accordance with the middle estimate which is equaled to the average amount of the bound amount within the range. B. When there is not a sequent range (or section) for the necessary expenses, or there is a sequent range but the possibility of various kinds of results happed would be different within the range, so if the contingencies concern a single item, the best estimate shall be determined in the light of the most likely outcome; and if the contingencies concern two or more items, the best estimate should be calculated and determined in accordance with all possible outcomes and the relevant probabilities.
When all or some of the expenses necessary for the liquidation of an estimated debts of an enterprise is expected to be compensated by a third party, the compensation should be separately recognized as an asset when it is virtually certain that the reimbursement will be obtained and the amount recognized for the reimbursement should not exceed the book value of the estimated debts. 26. Share-based Payment
Not applicable
27. Other Financial Instruments Such as Preferred Shares and Perpetual Capital Securities
Not applicable
28. Revenue
Whether the Company needs to comply with the disclosure requirements of special industry?
Yes
Related industry of jewelry
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure Guidelines No. 11 - Listed Companies Engaged in Related Jewelry Business
29. Government Subsidies
(1) Judgment Basis and Accounting Treatment of Government Subsidies Related to Assets
Government grants related to assets are recognized as deferred income after offsetting the carrying value of related assets. Government grants related to assets recognized as deferred income are recorded into gains and losses by stage through reasonable and systematic methods during relatedassets’ useful life. Government grants measured at nominal amount are directly recorded into the current gains and losses.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 If related assets were sold, transferred, scrapped or damaged before useful life ended, balance of undistributed deferred income shall be shifted to current gains and losses.
(2) Judgment Basis and Accounting Treatment of Government Subsidies Related to Income
If such grants are used to compensate for relevant costs and losses of the company during later periods, they will be recognized as deferred income and recorded to current profit or loss or offset the relevant costs upon recognizing related costs or losses;
If such grants are used to compensate for relevant costs and losses occurred of the company, they will be directly through current profit or loss or offset the relevant costs.
30. Deferred Income Tax Assets/Deferred Income Tax Liabilities
Corporate income tax will be calculated by liability method of the balance sheet.
Thecompany’s tax base will be determined upon the company obtains the assets or liabilities; on the balance sheet date, take the balance sheet as the basis, and if the book value of related assets or liabilities are different to the tax bases provided by tax laws, it will calculate and confirm the deferred income tax assets or deferred income tax liabilities occurred in accordance with the provisions of tax laws, which effect will be included in current income tax expense.
The company is subject to the limit of the amount of taxable income likely to be used to offset temporary difference, thus confirms the deferred income tax asset produced by the deductible temporary difference.
In addition to the cases specified under income guidelines that no need to confirm the deferred income tax liabilities, the company should recognize related deferred income tax liabilities for all taxable temporary differences.
31. Lease
(1) Accounting Treatment of Operating Lease
If the terms of the lease will be transferred to the lessee substantially together with all the risks and rewards related to the ownership of leased assets, then the lease is a finance lease, and other lease is operating lease.
The Company as the leaser: As for the rent expenses from operating leases, the Company recognizes the current gains and losses by using the straight-line method over each period of the lease term. The initial direct costs shall be recognized as the profits and losses of the current period The Company as the lease: The Company uses depreciation policy consistent with its own fixed assets to make provision for depreciation of leased assets.
For rent in operating leases, the Company will use the straight-line method to record it into the cost of relevant assets or current profit or loss in each period during the lease term; and initial direct
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 costs occurred will be through current profit or loss.
Rent in operating leases will be recorded into the cost of relevant assets or current profit or loss in each period during the lease term.
(2) Accounting Treatments of Finance Lease
The Company as the leaser
In finance lease, at the lease beginning date, the Company takes the minimum lease receipt and the initial direct costs as the entry value of finance lease receivable, and records the unguaranteed residual value; and the difference between the sum of minimum lease receipt, initial direct costs and unguaranteed residual value and its present value is recognized as unrealized finance income. For unrealized finance income each period during the lease term, it will use the effective interest method to confirm the current financing income.
The Company as the leasee
In finance lease, at the lease beginning date, the Company will take the lower of the fair value of the leased assets and the present value of minimum lease payment as the entry value of leased assets, and take the minimum lease payment as the entry value of long-term payables, and their difference will be as unrecognized finance cost. Initial direct costs are included in the value of leased assets. For unrecognized finance income each period during the lease term, it will use the effective interest method to confirm the current financing cost.
32. Other Significant Accounting Policies and Estimates
Not applicable
33. Changes in Main Accounting Policies and Estimates
(1) Change of Accounting Policies
□ Applicable√ Not applicable
(2) Significant Changes in Accounting Estimates
□ Applicable√ Not applicable
34. Other
Naught
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 VI. Taxation
1. Main Taxes and Tax Rate
||||
|-|-|-|
|Category of taxes|Tax basis|Tax rate|
|VAT|Revenue of product|17|
|Consumption tax|Revenue of sale of taxable product|5|
|Corporate income tax|Income tax payable|25|
||Revenue of sales of real estate (after 1 May||
|VAT||5|
||2016, apply a simplified method)||
||Revenue of sales of real estate (before 30||
|Business tax||5|
||April 2016)||

Notes of the disclosure situation of the taxpaying bodies with different enterprises income tax rate
|||
|-|-|
|Name|Income tax rate|

2. Tax Preference
3. Other
1. The Company implements the uniform tax rebate policy of export, i.e. the export is exempt from VAT and the input-VAT of goods is refunded with refund rate according to relevant rules before export in accordance with the requirements of tax law.
2. Since 1 January 2008, other subsidiaries of the Company has adopted the applicable income tax rate of25%, except for those company established in the below-mentioned districts.
Companies established in Hong Kong SAR are entitled to a profits tax rate of16.5%.
VII. Notes on Major Items in Consolidated Financial Statements of the Company
1. Monetary Funds
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Cash on hand|91,659.42|45,033.57|
|Bank deposits|617,310.41|2,468,303.12|
|Other monetary funds|483,189.81|442,862.69|
|Total|1,192,159.64|2,956,199.38|

Other notes:
There was no any account pledged, frozen or with potential recovery risks of the Company at the
period-end.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 2. Financial Assets at Fair Value through Profit or Loss
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Trading financial assets||6,316.00|
|Equity tool investment||6,316.00|
|Total||6,316.00|

 Other notes:
3. Derivative Financial Assets
□ Applicable√ Not applicable
4. Notes Receivable
(1) Notes Receivable Listed by Category
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

(2) Notes Receivable Pledged by the Company at the Period-end
Unit: RMB
|||
|-|-|
|Item|Pledged amount at the period-end|

(3) Notes Receivable which had Endorsed by the Company or had Discounted and had not Due on the Balance Sheet Date at the Period-end
Unit: RMB
||||
|-|-|-|
||Amount of recognition termination at the|Amount of not terminated recognition at|
|Item|||
||period-end|the period-end|

(4) Notes Transferred to Accounts Receivable Because Drawer of the Notes Fails to Executed the Contract or Agreement
Unit: RMB
|||
|-|-|
|Item|Transferred accounts receivable amount at the period-end|

 Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 5. Accounts Receivable
(1) Accounts Receivable Disclosed by Category
Unit: RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Ending balance|||||Beginning balance|||||
||Carrying amount||Bad debt provision|||Carrying amount||Bad debt provision|||
|||||Withdra|||||||
|Category|||||Carrying|||||Carrying|
|||Proportio||wal|||Proportio||Withdrawal||
||Amount||Amount||value|Amount||Amount||value|
|||n||proportio|||n||proportion||
|||||n|||||||
|Accounts receivable|||||||||||
|with significant|||||||||||
|single amount for|9,935,92||9,935,92|||9,864,7||9,864,799|||
|||28.02%||100.00%|0.00||5.87%||100.00%|0.00|
|which bad debt|8.89||8.89|||99.03||.03|||
|provision separately|||||||||||
|accrued|||||||||||
|Accounts receivable|||||||||||
|withdrawal of bad|||||||||||
||25,108,8||1,218,59||23,890,21|157,818||3,863,947||153,954,42|
|debt provision of by||70.81%||4.85%|||93.88%||2.45%||
||07.83||7.07||0.76|,372.40||.12||5.28|
|credit risks|||||||||||
|characteristics:|||||||||||
|Accounts receivable|||||||||||
|with insignificant|||||||||||
|single amount for|414,548.||414,548.|||414,548||414,548.5|||
|||1.17%||100.00%|0.00||0.25%||100.00%|0.00|
|which bad debt|51||51|||.51||1|||
|provision separately|||||||||||
|accrued|||||||||||
||35,459,2||11,569,0||23,890,210.76|168,097||14,143,29||153,954,425.28|
|Total||100.00%||32.63%|||100.00%||8.41%||
||85.23||74.47|||,719.94||4.66|||

 Accounts receivable with single significant amount and withdrawal bad debt provision separately at end of period
√ Applicable□ Not applicable
Unit: RMB
||||||
|-|-|-|-|-|
|Accounts receivable|Ending balance||||
|(classified by units)|Account receivable|Bad debt provision|Withdrawal proportion|Withdrawal reason|
|||||Long-term credit, the|
|Victoria|||||
||5,711,624.26|5,711,624.26|100.00%|Company believe it|
|International(USA) INC|||||
|||||irrecoverable|
|Hong Kong Jinhua Trade||||Long-term credit, the|
||4,224,304.63|4,224,304.63|100.00%||
|Limited||||Company believe it|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||
|-|-|-|-|-|
|||||irrecoverable|
|Total|9,935,928.89|9,935,928.89|--|--|

In the groups, accounts receivable adopting aging analysis method to withdraw bad debt provision:
√ Applicable□ Not applicable
Unit: RMB
|||||
|-|-|-|-|
||Ending balance|||
|Aging||||
||Account receivable|Bad debt provision|Withdrawal proportion|
|Sub-item within 1 year||||
|Subtotal within 1 year|24,342,493.21|495,852.32|2.04%|
|1 to 2 years|39,012.61|3,095.17|7.93%|
|2 to 3 years|14,442.76|7,221.38|50.00%|
|Over 3 years|712,859.25|712,428.20|99.94%|
|Total|25,108,807.83|1,218,597.07|4.85%|

 Notes of confirming the basis of the groups:
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision
□ Applicable√ Not applicable
In the groups, accounts receivable adopting other methods to withdraw bad debt provision:
(2) Accounts Receivable Withdraw, Reversed or Collected during the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMB-2,574,220.19; the amount of the reversed or collected part during the Reporting Period was of RMBXXX.
Significant amount of reversed or recovered bad debt provision:
Unit: RMB
||||
|-|-|-|
|Name of the entity|Amount|Method|

(3) The Actual Write-off Accounts Receivable
Unit: RMB
|||
|-|-|
|Item|Amount|

Of which the significant write-off accounts receivable:
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||||Whether produced|
|Name|Nature|Amount|Reason|Procedure|by related|
||||||transaction|

 Notes of accounts receivable write-off:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (4) Top 5 of the Ending Balance of the Accounts Receivable Collected According to the Arrears Party
||||
|-|-|-|
|Name|Amount|Bad debt provision|
|Shanghai Zhaoke Trading Co.,Ltd|24,214,993.65|484,299.87|
|Victoria International(USA) INC|5,711,624.26|5,711,624.26|
|Hong Kong Jinhua Trade Limited|4,224,304.63|4,224,304.63|
|Hong Kong Heyi Co., Ltd|452,499.70|452,499.70|
|Guangzhou Chen Shunqin|335,904.80|335,904.80|
|Total|34,939,327.04|11,208,633.26|

 (5) Account Receivable which Terminate the Recognition Owning to the Transfer of the Financial Assets Not applicable
(6) The Amount of the Assets and Liabilities Formed by the Transfer and the Continues Involvement of Accounts Receivable
Not applicable
Other notes:
Not applicable
6. Prepayment
(1) List by Aging Analysis
Unit: RMB
||||||
|-|-|-|-|-|
||Ending balance||Beginning balance||
|Aging|||||
||Amount|Proportion|Amount|Proportion|
|Within 1 year|2,520,536.01|100.00%|2,436,902.27|100.00%|
|Total|2,520,536.01|--|2,436,902.27|--|

Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled in time:
(2) Top 5 of the Ending Balance of the Prepayment Collected According to the Prepayment Target
|||||
|-|-|-|-|
|Name of the entity|Ending amount|Proportion (%)|Time|
|Shenzhen Minglong TradeCo.,Ltd|1,575,035.30|62.49|Y2017|
|Shenzhen Zhaokang InvestmentCo., Ltd|313,656.70|12.44|Y2017|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|Shanghai Jiancheng Trading Co.,Ltd|216,323.59|8.58|Y2017|
|Alipay (China) InternetTechnology Co., Ltd|120,000.00|4.76|Y2017|
|Mcs Outfitters (Shanghai) Limited|114,644.64|4.55|Y2017|
|Total|2,339,660.23|92.82|-|

 Other notes:
7. Interest Receivable
(1) Category of Interest Receivable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

(2) Significant Overdue Interest
||||||
|-|-|-|-|-|
|||||Impairment or not and its|
|Borrowing unit|Ending balance|Time|Reason||
|||||judgment basis|

 Other notes:
8. Dividend Receivable
(1) Dividend Receivable
Unit: RMB
||||
|-|-|-|
|Item (or investee unit)|Ending balance|Beginning balance|

(2) Significant Dividend Receivable with Aging over 1 Year
Unit: RMB
||||||
|-|-|-|-|-|
|||||Impairment or not and its|
|Item (or investee unit)|Ending balance|Aging|Reason||
|||||judgment basis|

 Other notes:
9. Other Accounts Receivable
(1) Other Accounts Receivable Disclosed by Category
Unit: RMB
||||
|-|-|-|
|Category|Ending balance|Beginning balance|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Carrying amount||Bad debt provision|||Carrying amount||Bad debt provision|||
|||||Withdra|||||||
||||||Carrying|||||Carrying|
|||Proportio||wal|||Proportio||Withdrawal||
||Amount||Amount||value|Amount||Amount||value|
|||n||proportio|||n||proportion||
|||||n|||||||
|Other accounts|||||||||||
|receivable with|||||||||||
|significant single|2,331,60||2,331,60|||40,333,||2,331,608||38,002,013.|
|||22.10%||100.00%|0.00||67.18%||5.78%||
|amount for which|8.20||8.20|||622.03||.20||83|
|bad debt provision|||||||||||
|separately accrued|||||||||||
|Other accounts|||||||||||
|receivable withdrawn|||||||||||
||6,366,80||4,684,17||1,682,626|17,620,||4,870,739||12,749,579.|
|bad debt provision||60.34%||73.57%|||29.35%||27.64%||
||6.33||9.74||.59|318.99||.74||25|
|according to credit|||||||||||
|risks characteristics|||||||||||
|Other accounts|||||||||||
|receivable with|||||||||||
|insignificant single|1,853,28||1,480,16||373,122.5|2,083,0||1,661,600|||
|||17.56%||79.87%|||3.47%||79.77%|421,484.40|
|amount for which|3.38||0.81||7|85.21||.81|||
|bad debt provision|||||||||||
|separately accrued|||||||||||
||10,551,6||8,495,94||2,055,749.16|60,037,||8,863,948||51,173,077.48|
|Total||100.00%||80.52%|||100.00%||14.76%||
||97.91||8.75|||026.23||.75|||

 Other accounts receivable with single significant amount and withdrawal bad debt provision separately at end ofperiod：
√ Applicable□ Not applicable
Unit: RMB
||||||
|-|-|-|-|-|
||Ending balance||||
|Other accounts|||||
||Other accountsreceivable||||
|receivable (unit)||Bad debt provision|Withdrawal proportion|Withdrawal reason|
|||||Long-term credit, the|
|Refund of tax for export|||||
||2,331,608.20|2,331,608.20|100.00%|Company believe it|
|receivable|||||
|||||irrecoverable|
|Total|2,331,608.20|2,331,608.20|--|--|

In the groups, other accounts receivable adopting aging analysis method to withdraw bad debt provision:
√ Applicable□ Not applicable
Unit: RMB
|||||
|-|-|-|-|
||Ending balance|||
|Aging||||
||Other accounts receivable|Bad debt provision|Withdrawal proportion|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|Sub-item within 1 year||||
|Subtotal within 1 year|1,825,491.30|253,380.08|13.88%|
|1 to 2 years|90,941.50|9,094.15|10.00%|
|2 to 3 years|137,060.11|68,530.07|50.00%|
|Over 3 years|4,313,313.42|4,353,175.44|100.92%|
|Total|6,366,806.33|4,684,179.74|73.57%|

 Notes:
In the groups, other accounts receivable adopting balance percentage method to withdraw bad debt provision:
□ Applicable√ Not applicable
In the groups, other accounts receivable adopting other methods to withdraw bad debt provision:
□ Applicable√ Not applicable
(2) Bad Debt Provision Withdrawal, Reversed or Collected during the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMB-368,000.00; the amount of the reversed or collected part during the Reporting Period was of RMBXXX.
Of which the significant amount of the reversed or collected part during the Reporting Period:
Unit: RMB
||||
|-|-|-|
|Name of the entity|Reversed or collected amount|Method|

(3) The Actual Write-off Other Accounts Receivable
Unit: RMB
|||
|-|-|
|Item|Amount|

Of which the significant write-off other accounts receivable:
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||||Whether produced|
|Name|Nature|Amount|Reason|Procedure|by related|
||||||transaction|

 Notes of other accounts receivable write-off:
(4) Other Account Receivable Classified by Account Nature
Unit: RMB
||||
|-|-|-|
|Nature|Ending carrying amount|Beginning carrying amount|
|Petty cash|22,169.00|99,183.33|
|The cash pledge and guarantee|130,538.75|261,372.20|
|Payment on behalf|50,610.63|2,280,091.58|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Intercourse funds|8,016,640.85|17,062,626.61|
|Bonus|0.00|38,002,013.83|
|Tax|2,331,738.68|2,331,738.68|
|Total|10,551,697.91|60,037,026.23|

 (5) Top 5 of the Ending Balance of the Other Accounts Receivable Collected According to the Arrears Party
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||||Ending balance of|
|Name of the entity|Nature|Ending balance|Aging|Proportion%||
||||||bad debt provision|
|Refund of tax for||||||
|export|Tax|2,331,608.20|Over 5 years|22.10%|2,331,608.20|
|receivable-VAT||||||
|Yu Liqun|Intercourse funds|1,082,920.16|Within 1 year|10.26%|150,654.10|
|Suning Banhe||||||
|Chemical Fiber||||||
||Intercourse funds|800,000.00|Over 5 years|7.58%|800,000.00|
|Fabric Simulation||||||
|Co., Ltd.||||||
|Guangzhou Panyu||||||
|Tanzhou Zhenyu||||||
||Intercourse funds|800,000.00|Over 5 years|7.58%|800,000.00|
|Textile Printing and||||||
|Dyeing Co., Ltd||||||
|Guangdong||||||
|Yuanfeng Trade||||||
||Intercourse funds|700,000.00|Over 5 years|6.63%|700,000.00|
|Development Co.,||||||
|Ltd||||||
|Total|--|5,714,528.36|--|54.16%|4,782,262.30|

 (6) Accounts Receivable Involved with Government Subsidies
Unit: RMB
||||||
|-|-|-|-|-|
|||||Estimated time, amount|
|Name of the units|Projects name|Ending balance|Ending aging||
|||||and basis|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (7) Other Account Receivable which Terminate the Recognition Owning to the Transfer of the Financial Assets
(8) The Amount of the Assets and Liabilities Formed by the Transfer and the Continues Involvement of Other Accounts Receivable
Other notes:
10. Inventory
(1) Category of Inventory
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance|||
|Item||Falling price|||Falling price||
||Carrying amount||Carrying value|Carrying amount||Carrying value|
|||reserves|||reserves||
|Raw materials|7,020,602.31||7,020,602.31|7,535,249.08||7,535,249.08|
|Inventory goods|155,167,125.25||155,167,125.25|152,530,909.16||152,530,909.16|
|Delivery|||||||
|||||1,284,583.76||1,284,583.76|
|commodity|||||||
|Total|162,187,727.56||162,187,727.56|161,350,742.00||161,350,742.00|

 Whether the Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure Guidelines No. 4 - Listed companies engaged in seed industry and planting business
No
(2) Falling Price Reserves of Inventory
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
|||Increase||Decrease|||
||Beginning||||||
|Item||||Reserve or||Ending balance|
||balance|Withdrawal|Other||Other||
|||||write-off|||

Not applicable
(3) Notes to Inventories with Capitalized Borrowing Expense in Ending Balance
Not applicable
(4) Complete but Unsettled Assets Generated from Construction Contract at the Period-end
Unit: RMB
|||
|-|-|
|Item|Amount|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 Other notes:
Not applicable
11. Assets Classified as Held-for-sale
Unit: RMB
||||||
|-|-|-|-|-|
||||Estimated disposal||
|Item|Ending carrying value|Fair value||Estimated disposal time|
||||expense||

Other notes:
12. Current Portion of Non-current Assets
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
13. Other Current Assets
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Input tax to be verified|24,258,479.69|23,930,553.25|
|Total|24,258,479.69|23,930,553.25|

 Other notes:
Ministry of Finance issued Regulations of VAT Accounting Treatment (CK[2016] No. 22) on 3 December 2016, which specifically required that debit balance at the period-end of classification item, such as “VAT payable”, “unpaid VAT”, “input tax to be deducted”, and “input tax to be verified” in the course of “tax payable” should be listed in the item of “other current assets” or “other non-current assets” of balance sheet according to the situations. Credit balance at the period-end of course, like “taxpayable—tax to be written-off” should be listed in the item of “other current liabilities” or “other non-current liabilities” of balance sheet according to the situations. 14. Available-for-sale Financial Assets
(1) List of Available-for-sale Financial Assets
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance|||
|Item|Carrying|Bad debt||Carrying|Bad debt||
||||Carrying value|||Carrying value|
||amount|provision||amount|provision||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Available-for-sale Financial Assets Measured by Fair Value at the Period-end
Unit: RMB
|||||
|-|-|-|-|
|Category of the||||
||Available-for-sale equity|Available-for-sale debt||
|available-for-sale|||Total|
||instruments|instruments||
|financial assets||||

(3) Available-for-sale Financial Assets Measured by Cost at the Period-end
Unit: RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Carrying amount||||Depreciation reserve||||Shareholdi|Cash|
||||||||||ng|bonus of|
|Investee|Period-beg||||Period-beg||||proportion|the|
|||Increase|Decrease|Period-end||Increase|Decrease|Period-end|||
||inning||||inning||||in the|Reporting|
||||||||||investee|Period|

 (4) Changes in Depreciation of Available-for-sale Financial Assets during the Reporting Period
Unit: RMB
|||||
|-|-|-|-|
|Category of the||||
||Available-for-sale equity|Available-for-sale debt||
|available-for-sale|||Total|
||instruments|instruments||
|financial assets||||

(5) Notes to the Available-for-sale Equity Instrument with Serious Fall or Non-transient Fall in Ending Fair Value but without Provisions for Impairment
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
|Item of|||||||
||||Falling scope of||Withdrawn|Reason for not|
|available-for-sale||||Duration offalling (month)|||
||Investment cost|Ending fair value|fair value against||impairment|withdrawing the|
|equity|||||||
||||the cost||amount|impairment|
|instruments|||||||

Other notes
15. Held-to-maturity Investment
(1) List of Held-to-maturity Investment
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance|||
|Item||Depreciation|||Depreciation||
||Carrying amount||Carrying value|Carrying amount||Carrying value|
|||reserves|||reserves||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Significant Held-to-maturity Investment at the End of the Period
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Par value|Coupon rate|Actual interest rate|Due date|

 (3) Re-classified Held-to-maturity Investment in the Current Period
Other notes
16. Long-term Receivables
(1) List of Long-term Receivables
Unit: RMB
|||||||||
|-|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance||||
||||||||Interval of|
|Item|Carrying|Bad debtprovision||Carrying|Bad debt|||
||||Carrying value|||Carrying value|discount rate|
||amount|||amount|provision|||

(2) Long-term Receivables Derecognized Due to the Transfer of Financial Assets
(3) Amount of Assets and Liabilities Generated from the Transfer and Continuous Involvement of Long-term Receivables
Other notes
17. Long-term Equity Investment
Unit: RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||Increase/decrease||||||||||
||||||||||||Ending|
|||||Gains and|Adjustme|||||||
||||||||Cash|Withdraw|||balance|
|||Additiona||losses|nt of|||||||
||Beginnin||Reduced|||Changes|bonus or|al of||Ending|of|
|Investees||||||||||||
|||l||recognize|other|||||||
||g balance||investmen|||of other|profits|depreciati|Other|balance|depreciati|
|||investmen||d under|comprehe|||||||
||||t|||equity|announce|on|||on|
|||t||the equity|nsive|||||||
||||||||d to issue|reserves|||reserves|
|||||method|income|||||||
|I. Joint ventures||||||||||||
|II. Associated enterprises||||||||||||
|Shenzhen||||||||||||
|Shenguor||||||||||||
||149,998,2|||||||||149,998,2||
|ong||||||||||||
||21.71|||||||||21.71||
|Financing||||||||||||
|Guarantee||||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Co., Ltd.|||
|Shenzhen|||
|Future|||
|Growing|||
|Business|120,000,0|120,000,0|
|Fund|00.00|00.00|
|(Limited|||
|Partnershi|||
|p)|||
||269,998,2|269,998,2|
|Subtotal|||
||21.71|21.71|
||269,998,2|269,998,2|
|Total|||
||21.71|21.71|

Other notes
18. Investment Property
(1) Investment Property Adopting the Cost Measurement Mode
√ Applicable□ not applicable
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Houses and buildings|Land use right|Construction in progress|Total|
|I. Original carrying value|||||
|1. Beginning balance|12,054,800.79|3,403,805.28||15,458,606.07|
|2. Increased amount of|||||
|the period|||||
|(1) Outsourcing|||||
|(2) Transfer from|||||
|inventory\fixed|||||
|assets\construction in|||||
|progress|||||
|(3) Enterprise|||||
|combination increase|||||
|3. Decreased amount of|||||
||12,054,800.79|3,403,805.28||15,458,606.07|
|the period|||||
|(1) Disposal|||||
|(2) Other transfer|12,054,800.79|3,403,805.28||15,458,606.07|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|4. Ending balance||||
|II. Accumulative||||
|depreciation and||||
|accumulative||||
|amortization||||
|1. Beginning balance|332,712.54|68,076.06|400,788.60|
|2. Increased amount of||||
|the period||||
|(1) Withdrawal or||||
|amortization||||
|3. Decreased amount of||||
||332,712.54|68,076.06|400,788.60|
|the period||||
|(1) Disposal||||
|(2) Other transfer|332,712.54|68,076.06|400,788.60|
|4. Ending balance||||
|III. Depreciation reserves||||
|1. Beginning balance||||
|2. Increased amount of||||
|the period||||
|(1) Withdrawal||||
|3. Decreased amount of||||
|the period||||
|(1) Disposal||||
|(2) Other transfer||||
|4. Ending balance||||
|IV. Carrying value||||
|1. Ending carrying value||||
|2. Beginning carrying|||15,057,817.47|
||11,722,088.25|3,335,729.22||
|value||||

(2) Investment Property Adopting Fair Value Measurement Mode
□ Applicable√ not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (3) Investment Property Failed to Accomplish Certification of Property
Unit: RMB
||||
|-|-|-|
|Item|Carrying value|Reason|

Other notes
Part of properties for lease in former plant area has been recovered by the Company since 1 January 2018. From the recovery date on, houses and land accounted under investment property has been transferred to fixed assets and intangible assets to account.
19. Fixed Assets
(1) List of Fixed Assets
Unit: RMB
||||||
|-|-|-|-|-|
||||Electronic equipment and||
|Item|Houses and buildings|Transportation||Total|
||||others||
|I. Original carrying value|||||
|1. Beginning balance|63,369,239.17|3,638,278.11|1,824,047.93|68,831,565.21|
|2. Increased amount of|||||
|||210,034.19||210,034.19|
|the period|||||
|(1) Purchase||210,034.19||210,034.19|
|(2) Transfer from|||||
|construction in progress|||||
|(3) Enterprise|||||
|combination increase|||||
|Other transfer|12,054,800.79|||12,054,800.79|
|3. Decreased amount of|||||
|the period|||||
|(1) Disposal or Scrap|||||
|4. Ending balance|75,424,039.96|3,848,312.30|1,824,047.93|81,096,400.19|
|II. Accumulative|||||
|depreciation|||||
|1. Beginning balance|36,007,872.49|2,233,248.34|629,220.76|38,870,341.59|
|2. Increased amount of|||||
||1,331,245.44|183,316.30|167,567.44|1,682,129.18|
|the period|||||
|(1) Withdrawal|998,532.90|183,316.30|167,567.44|1,349,416.64|
|Other transfer|332,712.54|||332,712.54|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||
|-|-|-|-|-|
|3. Decreased amount of|||||
|the period|||||
|(1) Disposal or Scrap|||||
|4. Ending balance|37,339,117.93|2,416,564.64|796,788.20|40,552,470.77|
|III. Depreciation reserves|||||
|1. Beginning balance|||||
|2. Increased amount of|||||
|the period|||||
|(1) Withdrawal|||||
|3. Decreased amount of|||||
|the period|||||
|(1) Disposal or Scrap|||||
|4. Ending balance|||||
|IV. Carrying value|||||
|1. Ending carrying value|38,084,922.03|1,431,747.66|1,027,259.73|40,543,929.42|
|2. Beginning carrying|||||
||27,361,366.68|1,405,029.77|1,194,827.17|29,961,223.62|
|value|||||

(2) List of Temporarily Idle Fixed Assets
Unit: RMB
|||||||
|-|-|-|-|-|-|
||Original carrying|Accumulative|Impairment|||
|Item||||Carrying value|Note|
||value|depreciation|provision|||
|Houses and||||||
||75,424,039.96|37,339,117.93||38,084,922.03|-|
|buildings||||||

(3) Fixed Assets Leased in by Financing Lease
Unit: RMB
||||||
|-|-|-|-|-|
|||Accumulative|||
|Item|Original carrying value||Impairment provision|Carrying value|
|||depreciation|||

(4) Fixed Assets Leased out by Operation Lease
Unit: RMB
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||
|-|-|
|Item|Ending carrying value|

(5) Fixed Assets Failed to Accomplish Certification of Property
Unit: RMB
||||
|-|-|-|
|Item|Carrying value|Reason|

Other notes
①Depreciation of the Reporting Period was RMB1,349,416.64.
②Original price of fixed assets transferred from construction in progress in the Reporting Period was RMB0.00.
③In Current Period, the particulars of fixed assets used as guaranties: on 30 June 2018, houses and buildings with a carrying value of RMB19,270,301.23 (original value: RMB40,281,405.99) are used to provide the pledge guarantee for Jieyang Rongcheng Branch of ICBC and Jieyang Branch of ICBC. Please refer to Note XI-2-(1) for details.
20. Construction in Progress
(1) List of Construction in Progress
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance|||
|Item||Depreciation|||Depreciation|Carrying value|
||Carrying amount||Carrying value|Carrying amount|||
|||reserves|||reserves||

(2) Changes in Significant Construction in Progress during the Reporting Period
Unit: RMB
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||||Of|||
||||||||Proporti||||||
|||||||||||which:|||
||||||||on of||Accumul||Capitaliz||
|||||||||||amount|||
||||||||accumul||ated||ation rate||
|||||Transferr||||||of|||
|||Beginnin|||Other||ated||amount||of||
||||Increase|ed in||Ending||Job||capitaliz||Capital|
|Item|Budget|g|||decrease||investme||of||interests||
||||d amount|fixed||balance||schedule||ed||resources|
|||balance|||d amount||nt in||interest||for the||
|||||assets||||||interests|||
||||||||construct||capitaliz||Reportin||
|||||||||||for the|||
||||||||ions to||ation||g Period||
|||||||||||Reportin|||
||||||||budget||||||
|||||||||||g Period|||

(3) List of the Withdrawal of the Impairment Provision for Construction in Progress
Unit: RMB
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Item|Amount withdrawn|Reason for withdrawal|

Other notes:
21. Engineering Materials
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
22. Proceeds from Disposal of Fixed Assets
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
23. Productive Living Assets
(1) Productive Living Assets Adopting Cost Measurement Mode
□ Applicable√ Not applicable
(2) Productive Living Assets Adopting Fair Value Measurement Mode
□ Applicable√ Not applicable
24. Oil and Gas Assets
□ Applicable√ Not applicable
25. Intangible Assets
(1) List of Intangible Assets
Unit: RMB
|||||||
|-|-|-|-|-|-|
|Item|Land use right|Patent right|Non-patent right|Computer software|Total|
|I. Original carrying||||||
|value||||||
|1. Beginning balance|10,459,394.72|||373,115.00|10,832,509.72|
|2. Increased amount||||||
||3,403,805.28||||3,403,805.28|
|of the period||||||
|(1) Purchase||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|(2) Internal R&D||||
|(3) Business||||
|combination increase||||
|(4) Other transfer|3,403,805.28||3,403,805.28|
|3. Decreased amount||||
|of the period||||
|(1) Disposal||||
|4. Ending balance|13,863,200.00|373,115.00|14,236,315.00|
|II. Accumulated||||
|amortization||||
|1. Beginning balance|4,716,967.02|373,115.00|5,090,082.02|
|2. Increased amount||||
||206,707.98||206,707.98|
|of the period||||
|(1) Withdrawal|138,631.92||138,631.92|
|(2) Other transfer|68,076.06||68,076.06|
|3. Decreased amount||||
|of the period||||
|(1) Disposal||||
|4. Ending balance|4,923,675.00|373,115.00|5,296,790.00|
|III. Depreciation||||
|reserves||||
|1. Beginning balance||||
|2. Increased amount||||
|of the period||||
|(1) Withdrawal||||
|3. Decreased amount||||
|of the period||||
|(1) Disposal||||
|4. Ending balance||||
|IV. Carrying value||||
|1. Ending carrying||||
||8,939,525.00||8,939,525.00|
|value||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|2. Beginning|||
||5,742,427.70|5,742,427.70|
|carrying value|||

The proportion of intangible assets formed from the internalR&D of the Company at the Period-end to the ending balance of intangible assets was XXX.
(2) Land Use Right with Certificate of Title Uncompleted
Unit: RMB
||||
|-|-|-|
|Item|Carrying value|Reason|

Other notes:
①The amount of amortization of the Reporting Period was RMB138,631.92.
②The particulars of intangible assets used as guaranties: on 30 June 2018, a carrying value of RMB 8,939,525.00 (original value: RMB13,863,200.00) is used to provide a mortgage guarantee for Jieyang Branch of ICBC. Please refer to Note XI-2-(1) for details.
(2) There Was No Land Use Right with Certificate of Title Uncompleted during the Reporting Period
26.R&D Expense
Unit: RMB
||||||
|-|-|-|-|-|
||Beginning|||Ending|
|Item||Increase|Decrease||
||balance|||balance|

 Other notes
27. Goodwill
(1) Original Carrying Value of Goodwill
Unit: RMB
||||||
|-|-|-|-|-|
|Name of the|||||
|invested units or|Beginning||||
|||Increase|Decrease|Ending balance|
|events generating|balance||||
|goodwill|||||
|SHENZHEN|||||
|CHINESE GOLD|||||
|NOBILITY|2,395,820.87|||2,395,820.87|
|JEWELRY CO.,|||||
|LTD.|||||
|Total|2,395,820.87|||2,395,820.87|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Impairment Provision for Goodwill
Unit: RMB
||||||
|-|-|-|-|-|
|Name of the|||||
|invested units or|Beginning||||
|||Increase|Decrease|Ending balance|
|events generating|balance||||
|goodwill|||||

Notes of the testing process of goodwill impairment, parameters and the recognition method of goodwill impairment losses: After test, the recoverable goodwill was not less than RMB2,395,820.87, thus, the impairment provision for goodwill would not been withdrawn in Reporting Period.
Other notes:
28. Long-term Prepaid Expense
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||Amortization|Other decreased||
|Item|Beginning balance|Increased amount|||Ending balance|
||||amount of the period|amount||
|Decoration expense|298,544.88|355,180.18|210,508.77||443,216.29|
|Total|298,544.88|355,180.18|210,508.77||443,216.29|

 Other notes:
29. Deferred Income Tax Assets/Deferred Income Tax Liabilities
(1) Deferred Income Tax Assets that Had not Been Set-off
Unit: RMB
||||||
|-|-|-|-|-|
||Ending balance||Beginning balance||
|Item|Deductible temporary|Deferred income tax|Deductible temporary|Deferred income tax|
||difference|assets|difference|assets|
|Provision for impairment|||||
||14,287,574.48|3,571,893.62|17,300,924.52|4,325,231.13|
|of assets|||||
|Trading financial assets|||1,976.00|494.00|
|Total|14,287,574.48|3,571,893.62|17,302,900.52|4,325,725.13|

 (2) Deferred Income Tax Liabilities Had Not Been Off-set
Unit: RMB
||||||
|-|-|-|-|-|
||Ending balance||Beginning balance||
|Item|||||
||Deductible temporary|Deferred income tax|Deductible temporary|Deferred income tax|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|difference|liabilities|difference|liabilities|

 (3) Deferred Income Tax Assets or Liabilities Listed by Net Amount after Off-set
Unit: RMB
||||||
|-|-|-|-|-|
||Mutual set-off amount of|Ending balance of|Mutual set-off amount of|Beginning balance of|
||deferred income tax|deferred income tax|deferred income tax|deferred income tax|
|Item|||||
||assets and liabilities at|assets or liabilities after|assets and liabilities at|assets or liabilities after|
||the period-end|off-set|the period-begin|off-set|
|Deferred income tax||3,571,893.62||4,325,725.13|
|assets|||||

(4) List of Unrecognized Deferred Income Tax Assets
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Deductible losses|40,742,265.03||
|Total|40,742,265.03||

(5) Deductible Losses of Unrecognized Deferred Income Tax Assets Will Be Due in the Following Years Unit: RMB
|||||
|-|-|-|-|
|Years|Ending amount|Beginning amount|Notes|
|Y2017||||
|Y2018|19,429,361.72|19,429,361.72||
|Y2019|14,209,131.72|14,209,131.72||
|Y2020|2,439,938.30|2,439,938.30||
|Y2021||||
|Y2022|4,663,833.29|5,418,164.79||
|Total|40,742,265.03|41,496,596.53|--|

Other notes:
30. Other Non-current Assets
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 31. Short-term Borrowings
(1) Category of Short-term Borrowings
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Notes of short-term borrowings category
(2) List of the Short-term Borrowings Overdue but Not Returned
The amount of the overdue unpaid short-term borrowings at the period-end was of RMBXXX, of which the significant overdue unpaid short-term borrowings are as follows:
Unit: RMB
||||||
|-|-|-|-|-|
|Borrower|Ending balance|Interest rate|Overdue time|Overdue charge rate|

 Other notes:
32. Financial Liabilities at Fair Value through Profit or Loss
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
33. Derivative Financial Liabilities
□ Applicable√ Not applicable
34. Notes Payable
Unit: RMB
||||
|-|-|-|
|Category|Ending balance|Beginning balance|

The total amount of the due but not paid notes payable at the end of the period was of RMBXXX.
35. Accounts Payable
(1) List of Accounts Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Payment for goods|76,046,059.98|206,439,280.91|
|Rent||68,355.71|
|Total|76,046,059.98|206,507,636.62|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Significant Accounts Payable Aging over One Year
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Unpaid/ Un-carry-over reason|

 Other notes:
36. Advances from Customers
(1) List of Advances from Customers
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Payment for goods|11,209,141.53|11,433,013.53|
|Total|11,209,141.53|11,433,013.53|

 (2) Significant Advances from Customers Aging over One Year
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Unpaid/ Un-carry-over reason|

 (3) Settled but Uncompleted Projects Formed by Construction Contracts at the Period-end
Unit: RMB
|||
|-|-|
|Item|Amount|

Other notes:
37. Payroll Payable
(1) List of Payroll Payable
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|
|I. Short-term salary|780,689.58|2,203,626.56|1,656,746.81|1,327,569.33|
|II. Post-employment|||||
|benefit-defined|8,155.00|117,801.54|115,995.30|9,961.24|
|contribution plans|||||
|Total|788,844.58|2,321,428.10|1,772,742.11|1,337,530.57|

(2) List of Short-term Salary
Unit: RMB
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|
|1. Salary, bonus,|||||
||776,758.58|1,980,342.54|1,435,451.01|1,321,650.11|
|allowance, subsidy|||||
|2. Employee welfare||125,365.70|125,365.70||
|3. Social insurance|3,931.00|56,794.32|55,516.10|5,209.22|
|Of which: 1. Medical|||||
||3,303.00|51,076.62|49,873.82|4,505.80|
|insurance premiums|||||
|Work-related injury|||||
||293.00|2,401.24|2,383.36|310.88|
|insurance|||||
|Maternity insurance|335.00|3,316.46|3,258.92|392.54|
|4. Housing fund||41,124.00|40,414.00|710.00|
|Total|780,689.58|2,203,626.56|1,656,746.81|1,327,569.33|

 (3) List of Defined Contribution Plans
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|
|1. Basic pension benefits|7,946.00|113,578.78|111,874.78|9,650.00|
|2. Unemployment|||||
||209.00|4,222.76|4,120.52|311.24|
|insurance|||||
|Total|8,155.00|117,801.54|115,995.30|9,961.24|

 Other notes:
38. Taxes Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|VAT|566,139.95|678,297.88|
|Corporate income tax|18,061,917.66|18,070,536.48|
|Business tax|781,313.74|781,313.74|
|Property tax|1,625,139.92|1,625,139.92|
|Land use tax|442,980.00|442,980.00|
|Other|2,139,575.87|1,719,530.03|
|Total|23,617,067.14|23,317,798.05|

 Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 39. Interest Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

List of the significant overdue unpaid interest:
Unit: RMB
||||
|-|-|-|
|Borrower|Overdue amount|Overdue reasons|

Other notes:
40. Dividends Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes, including significant dividends payable unpaid for over one year, the unpaid reason shall be disclosed:
41. Other Payables
(1) Other Payables Listed by Nature of Account
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|Intercourse funds|39,122,861.74|49,006,606.49|
|Bonus margin|0.00|38,002,013.82|
|Payment on behalf|283,357.35|106,938.08|
|Rental bond|580,000.00|380,000.00|
|Other|1,191,296.98|926,921.31|
|Total|41,177,516.07|88,422,479.70|

 (2) Significant Other Payables Aging over One Year
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Unpaid/Un-carry-over reason|

 Other notes
42. Liabilities Directly Associated with Assets Classified As Held-for-sale
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 Not applicable
43. Current Portion of Non-current Liabilities
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
Not applicable
44. Other Current Liabilities
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Increase/decrease of the short-term bonds payable:
Unit: RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Amortizat|||
||||||||Withdraw||||
|||||||||ion of|Repayme||
|||||||The|al of||||
|Bonds||Issuing||Issuing|Beginnin|||premium|nt in the|Ending|
||Par value||Duration|||current|interest||||
|name||date||amount|g balance|||and|Reporting|balance|
|||||||issue|by par||||
|||||||||depreciati|Period||
||||||||value||||
|||||||||on|||

Other notes:
Not applicable
45. Long-term Borrowings
(1) Category of Long-term Borrowings
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Notes to the category of long-term borrowings:
Not applicable
Other notes, including the interval of interest rate:
Not applicable
46. Bonds Payable
(1) List of Bonds Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Increase/Decrease of Bonds Payable (Excluding Other Financial Instrument Classified as Financial Liabilities such as Preferred Shares and Perpetual Bonds)
Unit: RMB (3) Notes to the Conditions and Time of the Shares Transfer of the Convertible Corporate Bonds
(4) Notes to Other Financial Instrument Classified as Financial Liabilities
Basic situation of other financial instrument such as preferred shares and perpetual bonds outstanding at the period-end
Changes in financial instrument such as preferred shares and perpetual bonds outstanding at the period-end
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|Outstanding|Period-beginning||Increase||Decrease||Period-end||
|financial||Carrying||Carrying||Carrying||Carrying|
||Amount||Amount||Amount||Amount||
|instrument||value||value||value||value|

 Notes to basis for the classification of other financial instrument as financial liabilities
Other notes
47. Long-term Payables
(1) Long-term Payables Listed by Nature of Account
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
48. Long-term Payroll Payable
(1) List of Long-term Payroll Payable
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

(2) Changes in Defined Benefit Pension Schemes
Obligation present value of defined benefit pension schemes:
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same period of last year|

Plan assets:
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same period of last year|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 Net liabilities (net assets) of defined benefit pension schemes:
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same period of last year|

Notes of influence of content of defined benefit pension schemes and its relevant risks to the future cash flow, time and uncertainty of the Company:
Notes to the significant actuarial assumptions and result of sensitivity analysis of defined benefit pension schemes:
Other notes:
49. Specific Payables
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||||Reason for|
|Item|Beginning balance|Increase|Decrease|Ending balance||
||||||formation|

 Other notes:
50. Provisions
Unit: RMB
|||||
|-|-|-|-|
|Item|Ending balance|Beginning balance|Reason for formation|

 Other notes, including notes to related significant assumptions and evaluation of significant provisions:
51. Deferred Income
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||||Reason for|
|Item|Beginning balance|Increase|Decrease|Ending balance||
||||||formation|

 Items related to government subsidies:
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||Amount|Amount|||||
||||recorded into|recorded into|Amount||||
|||Amount of||||||Related to|
||Beginning||non-operatin|other income|offset cost in|Other|Ending||
|Item||newly||||||assets/related|
||balance||g income in|in the|the Reporting|changes|balance||
|||subsidy||||||income|
||||the Reporting|Reporting|Period||||
||||Period|Period|||||

Other notes:
52. Other Non-current Liabilities
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|

Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 53. Share Capital
Unit: RMB
|||||||||
|-|-|-|-|-|-|-|-|
|||Increase/decrease (+/-)||||||
||Beginning|||||||
|||New shares||Bonus issue|||Ending balance|
||balance||Bonus shares||Other|Subtotal||
|||issued||from profit||||
|The sum of|318,600,000.00||||||318,600,000.00|
|shares||||||||

Other notes:
54. Other Equity Instrument
(1) The Basic Information of Other Financial Instruments such as Preferred Stock and Perpetual Bond Outstanding at the End of the Period
(2) Changes in Financial Instruments such as Preferred Stock and Perpetual Bond Outstanding at the End of the Period
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|Outstanding|Period-beginning||Increase||Decrease||Period-end||
|financial||Carrying||Carrying||Carrying||Carrying|
||Amount||Amount||Amount||Amount||
|instruments||value||value||value||value|

 The current changes in other equity instrument and the corresponding reasons and the basis of the relevant accounting treatment: Other notes:
55. Capital Reserves
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|
|Capital premium|||||
||52,129,496.58|||52,129,496.58|
|(premium on stock)|||||
|Other capital reserves|173,778.22|||173,778.22|
|Total|52,303,274.80|||52,303,274.80|

 Other notes, including changes and reason of change:
56. Treasury Shares
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|

Other notes, including changes and reason of change:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 57. Other Comprehensive Income
Unit: RMB
|||||||||
|-|-|-|-|-|-|-|-|
|||Reporting PeriodLess: recordedin otherAttributablecomprehensive AttributableIncome to ownersincome in tobefore Less: of theprior period non-controltaxation in Income tax Companyand transferred lingthe Current expense as thein profit or interestsPeriod parent afterloss in the after taxtaxCurrentPeriod||||||
||||Less: recorded|||||
||||in other|||||
||||||Attributable|||
||||comprehensive|||Attributable||
||||||to owners|||
||||income in|||to||
||Beginning|before||Less:|of the||Ending|
|Item||||||||
||||prior period|||non-control||
||balance|taxation in||Income tax|Company||balance|
||||and transferred|||ling||
|||the CurrentPeriod||expense|as the|||
||||in profit or|||interests||
||||||parent after|||
||||loss in the|||after tax||
||||||tax|||
||||Current|||||
||||Period|||||

Other notes, including the adjustment of the effective gain/loss on cash flow hedges to the initial recognized amount:
58. Specific Reserve
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|

 Other notes, including changes and reason of change:
59. Surplus Reserves
Unit: RMB
||||||
|-|-|-|-|-|
|Item|Beginning balance|Increase|Decrease|Ending balance|
|Statutory surplus|||||
||49,036,260.20|||49,036,260.20|
|reserves|||||
|Discretionary surplus|||||
||37,000,000.00|||37,000,000.00|
|reserves|||||
|Total|86,036,260.20|||86,036,260.20|

 Notes, including changes and reason of change:
60. Retained Earnings
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same period of last year|
|Beginning balance of retained earnings beforeadjustments|||
||-104,447,877.20|-90,095,403.00|
|Beginning balance of retained earnings afteradjustments|-104,447,877.20||
|||-90,095,403.00|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Add: Net profit attributable to owners of theCompany as the parent|||
||-5,004,199.91|-14,352,474.20|
|Dividend of ordinary shares payable|-109,452,077.11|-104,447,877.20|

 List of adjustment of beginning retained earnings:
(1) RMBXXX beginning retained earnings was affected by retrospective adjustment conducted according to the Accounting Standards for Business Enterprises and relevant new regulations.
(2) RMBXXX beginning retained earnings was affected by changes in accounting policies.
(3) RMBXXX beginning retained earnings was affected by correction of significant accounting errors.
(4) RMBXXX beginning retained earnings was affected by changes in combination scope arising from same control.
(5) RMBXXX beginning retained earnings was affected totally by other adjustments.
61. Operating Revenue and Cost of Sales
Unit: RMB
||||||
|-|-|-|-|-|
||Reporting Period||Same Period of last year||
|Item|||||
||Operating revenue|Cost of sales|Operating revenue|Cost of sales|
|Main operations|94,049,651.75|93,356,686.67|189,823,020.71|178,368,297.77|
|Other operations|||637,064.14|166,356.27|
|Total|94,049,651.75|93,356,686.67|190,460,084.85|178,534,654.04|

 62. Taxes and Surtaxes
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Consumption tax|268.68|4,062.05|
|Urban maintenance and construction tax|15,163.41|58,068.04|
|Education Surcharge|10,831.00|42,204.68|
|Property tax|55,745.82|294,029.30|
|Land use tax|90,045.00|120,060.00|
|Vehicle and vessel use tax|605.00||
|Stamp duty|323,955.00|135,759.49|
|Total|496,613.91|654,183.56|

 Other notes:
According to relevant provisions in “Provisions Concerning the Accounting Treatments on
Value-Added Tax” (Caikuai No.[2016] 22) published by Ministry of Finance, item “Business Tax
and Surcharges” in the income statement is adjusted to “Taxes and Surtaxes”. Property tax, land use
tax, vehicle and vessel use tax, stamp duty and relevant taxes, which were recorded into
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 administrative expense before, are now adjusted into the item “Taxes and Surtaxes” since 1 May 2016.
63. Selling Expense
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Salary|449,769.85|669,390.73|
|Rent|225,225.21|270,270.29|
|Software charge|31,162.92|216,912.77|
|Service charge|286,282.84||
|Social security premiums|33,122.20|44,068.52|
|Office expenses|24,066.51|28,406.15|
|Depreciation|12,936.11|16,854.16|
|Business travel charges|20,404.46|10,830.60|
|Business entertainment fees|49.50|14,088.40|
|Testing fees|0.00|1,810.00|
|Other|46,099.93|161,775.77|
|Total|1,129,119.53|1,434,407.39|

 Other notes:
64. Administrative Expense
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Salary|1,365,644.18|1,262,796.56|
|Depreciation|1,336,480.53|1,126,680.42|
|Rental|343,057.27|578,986.10|
|Audit fee|405,000.00|411,527.23|
|Expense on securities affairs|312,000.00|110,800.00|
|Automobile expenses|101,306.53|335,203.77|
|Business travel charges|164,975.51|240,386.63|
|Water & electricity fees|119,384.11|140,232.92|
|Expense on financial consultant|800,000.00|325,000.00|
|Membership fees for the Board of|||
||197,500.00|197,500.00|
|Directors and Supervisory Committee|||
|Office expenses|87,482.30|222,043.08|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Entertainment expenses|68,099.86|243,390.31|
|Welfare fees|122,010.60|130,867.38|
|Social security premiums|150,289.59|134,483.43|
|Expense on evaluation|0.00|350,000.00|
|Amortization of intangible assets|138,631.92|138,631.92|
|Other|384,732.66|1,375,973.82|
|Total|6,096,595.06|7,324,503.57|

 Other notes:
65. Finance Costs
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Interest expense|30,666.37|605,207.50|
|Less: Interest income|4,716.00|88,059.03|
|Foreign exchange profit or loss|30,810.86|-224,258.95|
|Handling charge and other|6,953.09|17,644.59|
|Total|63,714.32|310,534.11|

 Other notes:
66. Asset Impairment Loss
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|I. Bad debt loss|-2,942,220.19|-411,560.62|
|Total|-2,942,220.19|-411,560.62|

 Other notes:
67. Gain on Changes in Fair Value
Unit: RMB
||||
|-|-|-|
|Sources|Reporting Period|Same period of last year|
|Financial assets at fair value through profit|||
||0.00|-5,539,925.21|
|or loss|||
|Total|0.00|-5,539,925.21|

Other note:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 68. Investment Income
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Long-term equity investment income|||
|||17,054.22|
|accounted by equity method|||
|Investment income from disposal of long-term|||
||536.00|16,240.55|
|equity investment|||
|Total|536.00|33,294.77|

 Other notes:
69. Asset Disposal Income
Unit: RMB
||||
|-|-|-|
|Sources|Reporting Period|Same period of last year|

70. Other Income
Unit: RMB
||||
|-|-|-|
|Sources|Reporting Period|Same period of last year|

71. Non-operating Income
Unit: RMB
|||||
|-|-|-|-|
||||Amount recorded in the current|
|Item|Reporting Period|Same Period of last year||
||||non-recurring profit or loss|
|Other|600,000.00|0.33|600,000.00|
|Total|600,000.00|0.33||

Government subsidies recorded into current profit or loss
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||Whether|||||
|||||influence the|Specific|||Related to|
||Distribution|Distribution||||Reporting|Same period||
|Item|||Nature|profits or|subsidy or|||assets/related|
||entity|reason||||Period|of last year||
|||||losses of the|not|||income|
|||||year or not|||||

Other notes:
“Other” was mainly compensation income for default.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 72. Non-operating Expense
Unit: RMB
|||||
|-|-|-|-|
||||Amount recorded in the current|
|Item|Reporting Period|Same Period of last year||
||||non-recurring profit or loss|
|Penalty and fine for delaying||||
||189,007.15|-2,404.16|189,007.15|
|payment||||
|Total|189,007.15|2,404.16||

Other notes:
“Other” was mainly expense on compensation for default.
73. Income Tax Expense
(1) List of Income Tax Expense
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Current income tax expense|14,909.91|2,269,232.61|
|Deferred income tax expense|753,831.51|37,800.00|
|Total|768,741.42|2,307,032.61|

 (2) Adjustment Process of Accounting Profit and Income Tax Expense
Unit: RMB
|||
|-|-|
|Item|Reporting Period|
|Profit before taxation|-3,739,328.70|
|Current income tax expense accounted at statutory/applicable tax||
||-934,832.18|
|rate||
|Influence of deductable loss of unrecognized deferred income tax||
||-3,013,350.05|
|assets in prior period||
|Influence of deductable temporary difference or deductable||
|losses of unrecognized deferred income tax in the Reporting|4,664,333.29|
|Period||
|Income tax expense|768,741.42|

 Other notes
It is unnecessary for Tianrui (HK) Trading Co., Ltd. to pay the corporate income tax since it is an overseas company. Therefore, other event refers to the adjustment of current income tax expense by
Tianrui (HK) Trading Co., Ltd.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 74. Other Comprehensive Income
Refer to Note for details.
75. Cash Flow Statement
(1) Cash Generated from Other Operating Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Other intercourse funds received|31,982,807.35|30,187,830.43|
|Accounts generated from operating|||
||157,699.37|5,110,790.78|
|activities|||
|Total|32,140,506.72|35,298,621.21|

 Notes:
(2) Cash Used in Other Operating Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|
|Other intercourse funds paid|27,851,000.00|19,500,000.00|
|Commission paid such as audit fee|2,205,000.00|356,000.00|
|Expense used in operating activities|2,106,181.12|5,078,811.29|
|Total|32,162,181.12|24,934,811.29|

 Notes:
(3) Cash Generated from Other Investing Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|

Notes:
Not applicable
(4) Cash Used in Other Investing Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|

Notes:
Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (5) Cash Generated from Other Financing Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|

Notes:
Not applicable
(6) Cash Used in Other Financing Activities
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same Period of last year|

Notes:
Not applicable
76. Supplemental Information for Cash Flow Statement
(1) Supplemental Information for Cash Flow Statement
Unit: RMB
||||
|-|-|-|
|Supplemental information|Reporting Period|Same period of last year|
|1. Reconciliation of net profit to net cash|||
||--|--|
|flows generated from operating activities|||
|Net profit|-4,508,070.12|-5,202,704.08|
|Add: Provision for impairment of assets|-2,942,220.19||
|Depreciation of fixed assets, oil-gas assets,|||
||1,349,416.64|1,309,890.85|
|and productive living assets|||
|Amortization of intangible assets|138,631.92|138,631.92|
|Amortization of long-term prepaid expenses|210,508.77||
|Losses on changes in fair value (gains:|||
|||5,539,925.21|
|negative)|||
|Investment loss (gains: negative)|-536.00|-33,294.77|
|Decrease in deferred income tax assets|||
||753,831.51|37,800.00|
|(gains: negative)|||
|Decrease in inventories (gains: negative)|-836,985.56|-39,615,980.25|
|Decrease in accounts receivable generated|||
||227,104,771.45|65,800,489.84|
|from operating activities (gains: negative)|||
|Increase in accounts payable used in|||
||-222,475,025.79|-25,183,016.54|
|operating activities (decrease: negative)|||
|Other|-14.06|341,132.27|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Net cash generated from/used in operating|-1,205,691.43|3,132,874.45|
|activities|||
|2. Significant investing and financing|||
|activities without involvement of cash|--|--|
|receipts and payments|||
|3. Net increase/decrease of cash and cash|||
||--|--|
|equivalent:|||
|Ending balance of cash|1,192,159.64|7,018,207.88|
|Less: beginning balance of cash|2,956,199.38|123,886,976.82|
|Net increase in cash and cash equivalents|-1,764,039.74|-116,868,768.94|

 (2) Net Cash Paid For Acquisition of Subsidiaries
Unit: RMB
|||
|-|-|
||Amount|
|Of which:|--|
|Of which:|--|
|Of which:|--|

Other notes:
(3) Net Cash Receive from Disposal of the Subsidiaries
Unit: RMB
|||
|-|-|
||Amount|
|Of which:|--|
|Of which:|--|
|Of which:|--|

Other notes:
(4) Cash and Cash Equivalent
Unit: RMB
||||
|-|-|-|
|Item|Ending balance|Beginning balance|
|I. Cash|1,192,159.64|2,956,199.38|
|Including: Cash on hand|91,659.42|525,024.48|
|Bank deposit on demand|617,310.41|6,491,008.82|
|Other monetary assets on demand|483,189.81|2,174.58|
|III. Ending balance of cash and cash|1,192,159.64|2,956,199.38|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||
|-|
|equivalents|

Other notes:
77. Notes to Items of the Statements of Changes inOwners’ Equity
Notes to the name of “Other” of ending balance of the same period of last year adjusted and the amount adjusted:
78. Assets with Restricted Ownership or Right to Use
Unit: RMB
||||
|-|-|-|
|Item|Ending carrying value|Reason for restriction|
|Fixed assets|19,270,301.23|External guaranty|
|Intangible assets|8,939,525.00|External guaranty|
|Total|28,209,826.23|--|

Other notes:
79. Foreign Currency Monetary Items
(1) Foreign Currency Monetary Items
Unit: RMB
|||||
|-|-|-|-|
||Ending foreign currency||Ending balance converted to|
|Item||Exchange rate||
||balance||RMB|
|Monetary assets|--|--||
|Including: USD|64.28|6.6166|425.32|
|EUR||||
|HKD|851.75|0.8431|718.11|
|Accounts receivable|--|--||
|Including: USD|901,781.63|6.6166|5,966,728.33|
|EUR||||
|HKD||||
|Long-term borrowings|--|--||
|Including: USD||||
|EUR||||
|HKD||||
|Other receivables||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|Including: USD|20,000.00|6.6166|132,332.00|
|EUR||||
|HKD|55,780.00|0.8431|47,028.12|

 Other notes:
(2) Notes to Overseas Entities Including: for Significant Oversea Entities, Main Operating Place, Recording Currency and Selection Basis Shall Be Disclosed; if there Are Changes in Recording Currency, Relevant Reasons Shall Be Disclosed.
□ Applicable√ Not applicable
80. Arbitrage
Qualitative and quantitative information of relevant arbitrage instruments, hedged risk in line with the type of arbitrage to disclose: 81. Other
VIII. Changes of Consolidation Scope
1. Business Combination Not under the Same Control
(1) Business Combination Not under the Same Control during the Reporting Period
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||||||Income of|Net profits of|
||Time and||||||||
|||Cost of||||Recognition|acquiree from|acquiree from|
|Name of|place of||Proportion of|Way to gain|||||
|||gaining the|||Purchase date|basis of|the purchase|the purchase|
|acquiree|gaining the||equity|the equity|||||
|||equity||||purchase date|date to|date to|
||equity||||||||
||||||||period-end|period-end|

 Other notes:
Not applicable
(2) Combination Cost and Goodwill
Unit: RMB
||
|-|
|Combination cost|

Note to determination method of the fair value of the combination cost, consideration and changes:
Not applicable
The main formation reason for the large goodwill:
Not applicable
Other notes:
Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (3) The Identifiable Assets and Liabilities of Acquiree on Purchase Date
Unit: RMB
|||
|-|-|
|Fair value on purchase date|Carrying value on purchase date|

 The determination method of the fair value of identifiable assets and liabilities
Not applicable
Contingent liability of acquiree undertaken in the business combination
Not applicable
Other notes:
Not applicable
(4) Gains or losses from Re-measurement of Equity Held before the Purchase Date at Fair Value
Whether there is a transaction that through multiple transaction step by step to realize business combination and gaining the control during the Reporting Period
□ Yes√ No
(5) Notes to Reasonable Consideration or Fair Value of Identifiable Assets and Liabilities of the Acquiree that Cannot Be Determined on the Acquisition Date or during the Period-end of the Merger
Not applicable
(6) Other Notes
Not applicable
2. Business Combination under the Same Control
(1) Business Combination under the Same Control during the Reporting Period
Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||||Income from|Net profits|||
||||||the|from the|Income of the|Net profits of|
|||||Recognition|||||
||||||period-begin|period-begin|acquiree|the acquiree|
|Combined|Proportion of||Combination|basis of|||||
|||Basis|||ning to the|ning to the|during the|during the|
|party|the equity||date|combination|||||
||||||combination|combination|period of|period of|
|||||date|||||
||||||date of the|date of the|comparison|comparison|
||||||acquiree|acquiree|||

Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (2) Combination Cost
Unit: RMB
||
|-|
|Combination cost|

Note to contingent consideration and other changes:
Other notes:
(3) The Carrying Value of Assets and Liabilities of the Combined Party on the Combination Date
Unit: RMB
|||
|-|-|
|Combination date|Period-end of the last period|

 Contingent liabilities of the combined party undertaken in the business combination
Other notes:
3. Counter Purchase
Basic information of trading, the basis of transactions constitute counter purchase, the retain assets , liabilities of the listed companies whether constituted a business and its basis, the determination of the combination costs, the amount and calculation of adjusted rights and interests in accordance with the equity transaction process:
4. The Disposal of Subsidiary
Whether there is a single disposal of the investment to the subsidiary and lost control?
□ Yes√ No
Whether there are several disposals of the investment to the subsidiary and lost controls?
□ Yes√ No
5. Changes in Combination Scope for Other Reasons
Note to changes in combination scope for other reasons (such as newly establishment or liquidation of subsidiaries, etc.) and relevant information:
6. Other
IX. Equity in Other Entities
1. Equity in Subsidiary
(1) Subsidiaries
|||||||
|-|-|-|-|-|-|
|Name|Main operating|Registration place|Nature of|Holding percentage (%)|Way of gaining|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||
|-|-|-|-|-|-|-|
||place||business|Directly|Indirectly||
|Shenzhen Rieys|||||||
|Industrial Co.,|Shenzhen|Shenzhen|Trading|90.00%||Set-up|
|Ltd.|||||||
|TIANRUI (HK)|||||||
|TRADING|||||||
||Hong Kong|Hong Kong|Trading|100.00%||Merger|
|COMPANY|||||||
|LIMITED|||||||
|Shenzhen|||||||
|Chinese Gold|||Sales of gold||||
||Shenzhen|Shenzhen||51.00%||Merger|
|Nobility Jewelry|||jewelry||||
|Co., Ltd.|||||||
||||Technical service,||||
|Shanghai|||development,||||
|Yunpeng Network|||consulting,||||
||Shanghai|Shanghai||60.00%||Set-up|
|Technology Co.,|||transfer of||||
|Ltd.|||network||||
||||technology etc.||||
||||Business||||
||||management||||
||||service, R&D,||||
||||technical service,||||
|Wuxi Yunpeng|||||||
||||consulting and||||
|Business|||||||
||Wuxi|Wuxi|transfer of||60.00%|Set-up|
|Management Co.,|||||||
||||network||||
|Ltd.|||||||
||||technology, ICT,||||
||||and computer||||
||||software &||||
||||hardware||||

Notes: holding proportion in subsidiary different from voting proportion:
Basis of holding half or less voting rights but still been controlled investee and holding more than half of the voting rights not been controlled investee:
Basis for control over significant structured entities included into the combination scope:
Basis of determining whether the Company is the agent or the principal:
Other notes:
(2) Significant Non-wholly-owned Subsidiary
Unit: RMB
||||||
|-|-|-|-|-|
||Shareholding proportion|The profit or loss|Declaring dividends|Balance of|
|Name|||||
||of non-controlling|attributable to the|distributed to|non-controlling interests|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||
|-|-|-|-|-|
||interests|non-controlling interests|non-controlling interests|at the period-end|
|Shenzhen Rieys|||||
||10.00%|10.00|-341.29||
|Industrial Co., Ltd.|||||
|Shenzhen Chinese Gold|||||
|Nobility Jewelry Co.,|49.00%|49.00|496,471.07||
|Ltd.|||||

Holding proportion in subsidiary different from voting proportion:
Other notes:
(3) The Main Financial Information of Significant Non-wholly-owned Subsidiary
Unit: RMB
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Ending balance||||||Beginning balance||||||
|||Non-curr|||Non-curr|||Non-curr|||Non-curr||
|Name|Current||Totalassets|Current||Total|Current||Total|Current||Total|
|||ent|||ent|||ent|||ent||
||assets|||liabilities||liabilities|assets||assets|liabilities||liabilities|
|||assets|||liability|||assets|||liability||
|Shenzhe|||||||||||||
|n Rieys|||||||||||||
||29,051,7|1,721,13|30,772,8|1,024,64||1,024,64|37,993,6|37,993,6|39,852,5|10,100,8||10,100,8|
|Industria|||||||||||||
||47.52|4.57|82.09|2.85||2.85|75.26|75.26|34.33|82.25||82.25|
|l Co.,|||||||||||||
|Ltd.|||||||||||||
|Shenzhe|||||||||||||
|n|||||||||||||
|Chinese|||||||||||||
||182,570,|108,781.|182,678,|104,826,||104,826,|315,002,|784,465.|315,787,|238,947,||238,947,|
|Gold|||||||||||||
||093.91|02|874.93|073.66||073.66|707.66|20|172.86|577.86||577.86|
|Nobility|||||||||||||
|Jewelry|||||||||||||
|Co., Ltd.|||||||||||||

Unit: RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||Reporting Period||||Same period of last year||||
|||||Cash flows||||Cash flows|
||||Total||||Total||
|Name|Operatingrevenue|||from|Operating|||from|
|||Net profit|comprehensi|||Net profit|comprehensi||
|||||operating|revenue|||operating|
||||ve income||||ve income||
|||||activities||||activities|
|Shenzhen|||||||||
|Rieys|||||89,128,220.1|||-12,980,220.1|
||5,003.08|-3,412.84|-3,412.84|-110,146.16||-8,833,285.83|-8,833,285.83||
|Industrial|||||2|||9|
|Co., Ltd.|||||||||
|Shenzhen|||||||||
||92,842,690.95||||471,002,217.||||
|Chinese Gold||1,013,206.27|1,013,206.27|-86,327.48||6,943,906.77|6,943,906.77|67,927.52|
||||||43||||
|Nobility|||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||
|-|
|Jewelry Co.,|
|Ltd.|

Other notes:
(4) Significant Restrictions on Using the Assets and Liquidating the Liabilities of the Company
(5) Financial Support or Other Supports Provided to Structural Entities Incorporated into the Scope of Consolidated Financial Statements
Other notes:
2. The Transaction of the Company with ItsOwner’s Equity Share Changed but Still Controlling the Subsidiary
(1) Note to theOwner’s Equity Share Changed in Subsidiary
(2) TheTransaction’s Influence on the Equity of Non-controlling Interests and the Owner's Equity Attributable to the Company as the Parent
Unit: RMB
 Other notes
3. Equity in Joint Ventures or Associated Enterprises
(1) Significant Joint Ventures or Associated Enterprises
||||||||
|-|-|-|-|-|-|-|
|||||Holding percentage (%)||Accounting|
|||||||treatment of the|
||Main operating||Nature of|||investment to|
|Name||Registration place|||||
||place||business|Directly|Indirectly|joint venture or|
|||||||associated|
|||||||enterprise|

 Notes to holding proportion of joint venture or associated enterprise different from voting proportion:
Basis of holding less than20% of the voting rights but has a significant impact or holding20% or more voting rights but does not have a significant impact:
(2) Main Financial Information of Significant Joint Ventures
Unit: RMB
|||
|-|-|
||Beginning balance/The same period of last|
|Ending balance/Reporting Period||
||year|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
 Other notes
(3) Main Financial Information of Significant Associated Enterprise
Unit: RMB
|||
|-|-|
||Beginning balance/The same period of last|
|Ending balance/Reporting Period||
||year|

Other notes
(4) Summary Financial Information of Insignificant Joint Ventures or Associated Enterprises
Unit: RMB
||||
|-|-|-|
|||Beginning balance/The same period of last|
||Ending balance/Reporting Period||
|||year|
|Joint venture:|--|--|
|The total of following items according to the|||
||--|--|
|shareholding proportions|||
|Associated enterprise:|--|--|
|The total of following items according to the|||
||--|--|
|shareholding proportions|||

Other notes
(5) Note to the Significant Restrictions on the Ability of Joint Ventures or Associated Enterprises to Transfer Funds to the Company
(6) The Excess Loss of Joint Ventures or Associated Enterprises
Unit: RMB
|||||
|-|-|-|-|
||The cumulative recognized|The derecognized losses (or the||
||||The accumulative unrecognized|
|Name|losses in previous|share of net profit) in Reporting||
||||losses in Reporting Period|
||accumulatively derecognized|Period||

Other notes
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (7) The Unrecognized Commitment Related to Investment to Joint Ventures
(8) Contingent Liabilities Related to Investment to Joint Ventures or Associated Enterprises
4. Significant Common Operation
|||||||
|-|-|-|-|-|-|
|||||Proportion /share portion||
|Name|Main operating place|Registration place|Nature of business|||
|||||Directly|Indirectly|

 Notes to holding proportion or share portion in common operation different from voting proportion:
For common operation as a single entity, basis of being classified as common operation:
Other notes
5. Equity in the Structured Entity Excluded in the Scope of Consolidated Financial Statements
Notes to the structured entity excluded in the scope of consolidated financial statements:
6. Other
X. The Risk Related to Financial Instruments
XI. The Disclosure of Fair Value
1. Ending Fair Value of Assets and Liabilities at Fair Value
Unit: RMB
||||||
|-|-|-|-|-|
||Ending fair value||||
|Item|Fair value measurement|Fair value measurement|Fair value measurement||
|||||Total|
||items at level 1|items at level 2|items at level 3||
|I. Consistent fair value|||||
||--|--|--|--|
|measurement|||||
|II. Inconsistent fair value|||||
||--|--|--|--|
|measurement|||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 2. Market Price Recognition Basis for Consistent and Inconsistent Fair Value Measurement Items at Level 1
3. Valuation Technique Adopted and Nature and Amount Determination of Important Parameters for Consistent and Inconsistent Fair Value Measurement Items at Level 2
4. Valuation Technique Adopted and Nature and Amount Determination of Important Parameters for Consistent and Inconsistent Fair Value Measurement Items at Level 3
5. Sensitiveness Analysis on Unobservable Parameters and Adjustment Information between Beginning and Ending Carrying Value of Consistent Fair Value Measurement Items at Level 3
6. Explain the Reason for Conversion and the Governing Policy when the Conversion Happens if Conversion Happens among Consistent Fair Value Measurement Items at Different Levels
7. Changes in the Valuation Technique in the Current Period and the Reason for Such Changes
8. Fair Value of Financial Assets and Liabilities Not Measured at Fair Value
9. Other
XII. Connected Party and Connected Transaction
1. Information Related to the Company as the Parent of the Company
|||||||
|-|-|-|-|-|-|
|||||Proportion of share|Proportion of voting|
|||||held by the|rights owned by the|
|Name|Registration place|Nature of business|Registered capital|Company as the|Company as the|
|||||parent against the|parent against the|
|||||Company (%)|Company (%)|
||Room 1611-A, E|||||
||Building, West Sea|||||
|Shenzhen||||||
||Pearl Garden,|||||
|Shenghengchang||||||
||Taoyuan Road,|Trading|9800|36.99%|36.99%|
|Huifu Industrial Co.,||||||
||Taoyuan Street,|||||
|Ltd.||||||
||Nanshan District,|||||
||Shenzhen|||||

Notes to information on the Company as the parent of the Company:
There was no change in the registered capital of the Company as the parent during the Reporting Period.
The final controller of the Company was Chen Hongcheng.
Other notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 2. Subsidiaries of the Company
Refer to Note VIII. 1-Equity in Subsidiaries for details.
3. Information on the Joint Ventures and Associated Enterprises of the Company
Refer to Note for details of significant joint ventures or associated enterprises of the Company.
Information on other joint venture or associated enterprise occurring connected transactions with the Company in Reporting Period, or forming balance due to connected transactions made in previous period:
|||
|-|-|
|Name|Relationship with the Company|

Other notes:
4. Information on Other Connected Parties
|||
|-|-|
|Name|Relationship with the Company|
||The shareholder holding 10.68% shares of the Company and the|
|Shenzhen Risheng Chuangyuan Asset Management Co., Ltd.||
||affiliated enterprise controlled by Chen Hongcheng|
||The shareholder holding 3.81% shares of the Company and the|
|Shenzhen Lianhua Huiren Industrial Co., Ltd.||
||affiliated enterprise controlled by Chen Hongcheng’s relatives|
|Chen Xuewen|Direct relative of Chen Hongcheng|
||Board Chairman of the Company and relative of Chen|
|Ding Lihong||
||Hongcheng|
||Key management personnel of the Company and shareholder of|
|Yu Liqun||
||subsidiary|
||Actually controlled by the key management personnel of the|
|Wuxi Hengye Technology Co., Ltd.||
||Company|
|Shenzhen Chinese Gold Nobility Jewelry Co., Ltd.|Shareholder of subsidiary|

Other notes
5. List of Connected Transactions
(1) Information on Acquisition of Goods and Reception of Labor Service
Information on acquisition of goods and reception of labor service
Unit: RMB
|||||||
|-|-|-|-|-|-|
||||The approval trade|Whether exceed trade|Same period of last|
|Connected party|Content|Reporting Period||||
||||credit|credit or not|year|

 Information of sales of goods and provision of labor service
Unit: RMB
|||||
|-|-|-|-|
|Connected party|Content|Reporting Period|Same period of last year|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||
|-|-|-|-|
|Wuxi Hengye Technology Co.,||||
||Operation service|432,737.28|441,967.71|
|Ltd.||||

Notes
(2) Information on Connected Trusteeship/Contract
Lists of related trusteeship/contract:
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
|Name of the|Name of the|||||Income|
|entruster/contract|entrustee/|Type|Start date|Due date|Pricing basis|recognized in this|
|ee|contractor|||||Reporting Period|

 Notes
Lists of entrust/contractee:
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
|Name of the|Name of the|||||Charge|
|entruster/contract|entrustee/|Type|Start date|Due date|Pricing basis|recognized in this|
|ee|contractor|||||Reporting Period|

 Notes
(3) Information on Connected Lease
The Company was lessor:
Unit: RMB
|||||
|-|-|-|-|
|||The lease income confirmed in|The lease income confirmed in|
|Name of lessee|Category of leased assets|||
|||the Reporting Period|the same period of last year|

 The Company was lessee:
Unit: RMB
|||||
|-|-|-|-|
|||The lease fee confirmed in the|The lease fee confirmed in the|
|Name of lessor|Category of leased assets|||
|||Reporting Period|same period of last year|

 Notes
(4) Information on Connected Guarantee
The Company was guarantor:
Unit: RMB
||||||
|-|-|-|-|-|
|||||Execution accomplished|
|Secured party|Guarantee amount|Start date|End date||
|||||or not|

The Company was secured party
Unit: RMB
||||||
|-|-|-|-|-|
|Guarantor:|Guarantee amount|Start date|End date|Execution accomplished|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||
|-|
|or not|

Notes
(5) Information on Inter-bank Lending of Capital of Connected Parties
Unit: RMB
||||||
|-|-|-|-|-|
|Connected party|Amount|Start date|End date|Note|
|Borrowing|||||
|Lending|||||

(6) Information on Assets Transfer and Debt Restructuring by Connected Party
Unit: RMB
|||||
|-|-|-|-|
|Connected party|Content|Reporting period|Same period of last year|

 (7) Information on Remuneration for Key Management Personnel
Unit: RMB
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Remuneration for key management|||
||360,000.00|337,000.00|
|personnel|||

(8) Other Connected Transactions
6. Accounts Receivable and Payable of Connected Party
(1) Accounts Receivable
Unit: RMB
|||||||
|-|-|-|-|-|-|
|||Ending balance||Beginning balance||
|Item|Connected party|||||
|||Carrying amount|Bad debt provision|Carrying amount|Bad debt provision|
||Wuxi Hengye|||||
|Accounts receivable||76,783.68||380,036.66||
||Technology Co., Ltd.|||||
|Other receivables|Yu Liqun|1,082,920.16||150,654.10||

(2) Accounts Payable
Unit: RMB
|||||
|-|-|-|-|
|Item|Connected party|Ending carrying amount|Beginning carrying amount|
|Other payables||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Ding Lihong|193,771.70|68,455.00|
|Yu Liqun|82,652.04|82,652.04|
|Chen Xuewen|387,699.54|251,608.91|
|Wuxi Hengye Technology Co.,|||
||100,000.00|100,000.00|
|Ltd.|||
|Shenzhen Risheng Chuangyuan|||
||20,960.00|3,630,960.00|
|Asset Management Co., Ltd.|||
|Shenzhen Chinese Gold|||
|Nobility Jewelry Co., Ltd.|17,699,000.00|17,500,000.00|
|Jewelry Co., Ltd.|||

7. Commitments of Connected Party
No such cases in the Reporting Period.
8. Other
XIII. Stock Payment
1. The Overall Situation of Stock Payment
□ Applicable√ Not applicable
2. The Stock Payment Settled in Equity
□ Applicable√ Not applicable
3. The Stock Payment Settled in Cash
□ Applicable√ Not applicable
4. Modification and Termination of the Stock Payment
Nil
5. Other
Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 XIV. Commitments and Contingency
1. Significant Commitments
Significant commitments on the balance sheet date
As of 30 June 2018, there was no significant commitment for the Company to disclose.
2. Contingency
(1) Significant Contingency on Balance Sheet Date
A. Contingent Liabilities Generated from Providing Debt Guarantee for Other Entities and their Financial Impacts
①The Company provided the mortgage guarantee for the loan contract of maximum amount (RCZH2014GDZNo.3632, duration: 11 Nov. 2014-11 Nov. 2019) signed by Puning Huafengqiang Trading Co., Ltd. with Jieyang Rongcheng Branch of ICBC pledged by the real estate (with evaluation of RMB36.32 million). On 17 November 2016, Puning Huafengqiang Trading Co., Ltd. signed with Jieyang Rongcheng Branch of ICBC the renewal loan contract of RMB15 million with the duration of six months. When the said loan expired, RMB17 million was renewed on 22 May 2017 with a loan contract of 12 months. Puning Huafengqiang Trading Co., Ltd. provided a counter guarantee with this borrowing for the Company. As of 20 May 2018, Puning Huafengqiang Trading Co., Ltd. has paid off the aforesaid borrowing of RMB17 million.
②The Company provided the mortgage guarantee for the loan contract of maximum amount(0201900134-2017XQ[D]ZNo.0042; duration: 8 Sep. 2017-8 Sep. 2022) signed by Puning Lailisheng Trading Co., Ltd. with Jieyang Branch of ICBC pledged by the real estate (with evaluation of RMB47,704,862). On 8 September 2017, Puning Lailisheng Trading Co., Ltd. signed the small-business loan contract of RMB24 million with Jieyang Branch of ICBC with the duration of 12 months. Puning Lailisheng Trading Co., Ltd. provided a counter guarantee with this borrowing for the Company.
As of 30 June 2018, the guarantees provided by the Company for loans by non-connected parties were listed as follows:
|||||
|-|-|-|-|
|Secured party|Event|Amount (RMB’0,000)|Duration|
|Puning Lailisheng Trading Co.,Ltd.|Pledge for bankborrowings|2,400.00|8 Sep. 2017 to 8 Sep.2018|
|Total|-|2,400.00|-|

B. As of 30 June 2018, there was no contingency such as pending action or guarantee etc. for the Company to disclose.
As of 30 June 2018, there was no other contingency for the Company to disclose other than the above-mentioned contingencies. (2) In Despite of no Significant Contingency to Disclose, the Company Shall Also Make Relevant Statements
There was no significant contingency for the Company to disclose.
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 3. Other
XV. Events after Balance Sheet Date
1. Significant Non-adjusted Events
Unit: RMB
|||||
|-|-|-|-|
|||Influence number to the||
||||Reason of inability to estimate|
|Item|Content|financial position and operating||
||||influence number|
|||results||

2. Profit Distribution
Unit: RMB 3. Sales Return
4. Notes to Other Events after Balance Sheet Date
As of 27 August 2018 (Approval date of the Interim Report by the Board), there was no other event after balance sheet date for the Company to disclose.
XVI. Other Significant Events
1. The Accounting Errors Correction in Previous Period
(1) Retrospective Restatement
Unit: RMB
|||||
|-|-|-|-|
|||Name of the influenced report||
|Content|Processing program||accumulative impact|
|||items during comparison period||

(2) Prospective Application
||||
|-|-|-|
|||Reason for adopting prospective|
|Content|Processing program||
|||application|

2. Debt Restructuring
Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 3. Assets Replacement
(1) Non-monetary Assets Exchange
Not applicable
(2) Other Assets Replacement
Not applicable
4. Pension Plan
Not applicable
5. Discontinued Operations
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
|||||||Profit from|
|||||||discontinued|
|||||||operations|
||||Profit before|Income tax|||
|Item|Income|Expense|||Net profit|attributable to|
||||taxation|expense|||
|||||||owners of the|
|||||||Company as the|
|||||||parent|

 Other notes
Not applicable
6. Segment Information
(1) Determination Basis and Accounting Policies of Reportable Segment
Not applicable
(2) The Financial Information of Reportable Segment
Unit: RMB
||||
|-|-|-|
|Item|Offset among segment|Total|

(3) If there Was no Reportable Segment, or the Total Amount of Assets and Liabilities of Each Reportable Segment Could not Be Reported, Relevant Reasons Shall Be Clearly Stated
Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (4) Other Notes
Not applicable
7. Other Significant Transactions and Events with Influence onInvestors’ Decision-making
Not applicable
8. Other
In accordance with the Note XI-2-(1), the Company provided a mortgage guarantee for the borrowing by Puning Lailisheng Trading Co., Ltd. from Jieyang Branch of ICBC pledge by real estate. In line with the counter guarantee agreement signed by the Company with Puning Lailisheng Trading Co., Ltd., the latter shall provide a counter guarantee for the Company with the borrowing. As of 30 June 2018, RMB750,000.00 of counter guarantee has been received from Puning Lailisheng Trading Co., Ltd.
As of 0 June 2018, there was no other significant event for the Company to disclose.
XVII. Notes of Main Items in the Financial Statements of the Company as the Parent
1. Accounts Receivable
(1) Accounts Receivable Disclosed by Category
Unit: RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Ending balance|||||Beginning balance|||||
||Carrying amount||Bad debt provision|||Carrying amount||Bad debt provision|||
|||||Withdra|||||||
|Category|||||Carrying|||||Carrying|
|||Proportio||wal|||Proportio||Withdrawal||
||Amount||Amount||value|Amount||Amount||value|
|||n||proportio|||n||proportion||
|||||n|||||||
|Accounts receivable|||||||||||
|with significant|||||||||||
|single amount for|4,608,27||4,608,27|||4,608,2||4,608,276|||
|||100.00%||100.00%|0.00||100.00%||100.00%|0.00|
|which bad debt|6.88||6.88|||76.88||.88|||
|provision separately|||||||||||
|accrued|||||||||||
||4,608,27||4,608,27|||4,608,2||4,608,276|||
|Total||100.00%||100.00%|||100.00%||100.00%||
||6.88||6.88|||76.88||.88|||

Accounts receivable with significant single amount for which bad debt provision separately accrued at the period-end:
√ Applicable□ Not applicable
Unit: RMB
||||||
|-|-|-|-|-|
|Accounts receivable（by|Ending balance||||
|unit）|Accounts receivable|Bad debt provision|Withdrawal proportion|Withdrawal reason|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||
|-|-|-|-|-|
|||||Long-term credit, the|
|Capital airport|21,713.00|21,713.00|100.00%|Company believe it|
|||||irrecoverable|
|||||Long-term credit, the|
|Ningbo Industrial and|||||
||26,354.45|26,354.45|100.00%|Company believe it|
|Commercial Bureau|||||
|||||irrecoverable|
|||||Long-term credit, the|
|Chen Shunqin|335,904.80|335,904.80|100.00%|Company believe it|
|||||irrecoverable|
|||||Long-term credit, the|
|Hong Kong Jinhua|||||
||4,224,304.63|4,224,304.63|100.00%|Company believe it|
|Trading Company|||||
|||||irrecoverable|
|Total|4,608,276.88|4,608,276.88|--|--|

In the groups, accounts receivable adopting aging analysis method to withdraw bad debt provision:
□ Applicable√ Not applicable
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision:
□ Applicable√ Not applicable
In the groups, accounts receivable adopting other methods to withdraw bad debt provision:
(2) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMBXXX; the amount of the reversed or collected part during the Reporting Period was of RMBXXX.
Of which the bad debt provision reversed or recovered with significant amount in the Reporting Period:
Unit: RMB
||||
|-|-|-|
|Name of the entity|Amount|Way of recovery|

(3) Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
|||
|-|-|
|Item|Amount verified|

Of which the verification of significant accounts receivable:
Unit: RMB
|||||||
|-|-|-|-|-|-|
|||||Verification|Whether generated|
||||Reason for|||
|Name|Nature|Amount verified||procedures|from connected|
||||verification|||
|||||performed|transactions|

 Notes:
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (4) Top 5 Accounts Receivable in Ending Balance Collected according to the Arrears Party
||||
|-|-|-|
|Name|Ending balance|Bad debt provision withdrawn|
|Capital airport|21,713.00|21,713.00|
|Ningbo Industrial andCommercial Bureau|26,354.45|26,354.45|
|Chen Shunqin|335,904.80|335,904.80|
|Hong Kong Jinhua TradingCompany|4,224,304.63|4,224,304.63|
|Total|4,608,276.88|4,608,276.88|

 (5) Accounts Receivable Derecognized due to the Transfer of Financial Assets
(6) The Amount of Assets and Liabilities Generated from the Transfer and the Continued Involvement of Accounts Receivable
Other notes:
2. Other Receivables
(1) Other Receivables Disclosed by Category
Unit: RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Ending balance|||||Beginning balance|||||
||Carrying amount||Bad debt provision|||Carrying amount||Bad debt provision|||
|||||Withdra|||||||
|Category|||||Carrying|||||Carrying|
|||Proportio||wal|||Proportio||Withdrawal||
||Amount||Amount||value|Amount||Amount||value|
|||n||proportio|||n||proportion||
|||||n|||||||
|Other receivables|||||||||||
|with significant|||||||||||
|single amount for|22,636,6||2,931,60||19,705,07|68,645,||2,931,608||65,714,027.|
|||87.36%||12.95%|||94.95%||4.27%||
|which bad debt|87.23||8.20||9.03|635.74||.20||54|
|provision separately|||||||||||
|accrued|||||||||||
|Other receivables|||||||||||
|withdrawn bad debt|1,795,49||1,293,73||501,755.3|2,176,1||1,661,739|||
|||6.93%||72.05%|||3.01%||76.36%|514,445.40|
|provision according|4.94||9.64||0|85.04||.64|||
|to credit risks|||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|characteristics|||||||||||
|Other receivables|1,478,227.36|||100.00%|||||||
|with insignificant|||||||||||
|single amount for|||1,478,22|||1,478,2||1,478,227|||
|||5.71%|||0.00||2.04%||100.00%||
|which bad debt|||7.36|||27.36||.36|||
|provision separately|||||||||||
|accrued|||||||||||
||25,910,409.53||5,703,57|22.01%|20,206,834.33|72,300,||6,071,575||66,228,472.94|
|Total||100.00%|||||100.00%||8.40%||
||||5.20|||048.14||.20|||

 Other receivables with significant single amount for which bad debt provision separately accrued at the period-end
√ Applicable□ Not applicable
Unit: RMB
||||||
|-|-|-|-|-|
||Ending balance||||
|Other receivables (unit)|||||
||Other receivables|Bad debt provision|Withdrawal proportion|Withdrawal reason|
|||||Included in consolidated|
|Tianrui (HK) Trading Co.,||||connected party and did|
||19,705,079.03||||
|Ltd.||||not withdraw bad debt|
|||||provision|
|||||Long-term credit, the|
|Refund of tax for export|||||
||2,331,608.20|2,331,608.20|100.00%|Company believe it|
|receivable|||||
|||||irrecoverable|
|||||Long-term credit, the|
|Shenzhen Zhao Tong|||||
||600,000.00|600,000.00|100.00%|Company believe it|
|Investment Co., Ltd.|||||
|||||irrecoverable|
|Total|22,636,687.23|2,931,608.20|--|--|

In the groups, other receivables adopting aging analysis method to withdraw bad debt provision:
√ Applicable□ Not applicable
Unit: RMB
|||||
|-|-|-|-|
||Ending balance|||
|Aging||||
||Other receivables|Bad debt provision|Withdrawal proportion|
|Subentry within 1 year||||
|Subtotal of within 1 year|369,328.88|6,800.38|2.00%|
|1 to 2 years|11,257.92|1,125.79|10.00%|
|2 to 3 years|40,201.83|20,100.92|50.00%|
|Over 3 years|1,374,706.31|1,265,712.55|92.07%|
|Total|1,795,494.94|1,293,739.64|72.05%|

Notes to the determination basis for the Group:
In the groups, other receivables adopting balance percentage method to withdraw bad debt provision
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018□ Applicable√ Not applicable
In the groups, other receivables adopting other methods to withdraw bad debt provision:
□ Applicable√ Not applicable
(2) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMB-368,000.00; the amount of the reversed or collected part during the Reporting Period was of RMB0.00.
Of which the bad debt provision reversed or recovered with significant amount during the Reporting Period:
Unit: RMB
||||
|-|-|-|
|Name of entity|Amount reversed or recovered|Way of recovery|

(3) Other Receivables with Actual Verification during the Reporting Period
Unit: RMB
|||
|-|-|
|Item|Amount verified|

Of which the verification of significant other accounts receivable:
Unit: RMB
|||||||
|-|-|-|-|-|-|
|||||Verification|Whether generated|
||||Reason for|||
|Name of entity|Nature|Amount verified||procedures|from connected|
||||verification|||
|||||performed|transactions|

 Notes:
(4) Other Receivables Classified by Account Nature
Unit: RMB
||||
|-|-|-|
|Nature|Ending carrying amount|Beginning carrying amount|
|Fund of connected party|19,705,079.03|65,714,027.54|
|Intercourse funds|3,835,312.59|4,236,451.07|
|Tax|2,331,608.20|2,331,608.20|
|Payment on behalf|33,240.71|12,792.33|
|Guarantee deposit and cash deposit|3,000.00|3,000.00|
|Petty cash|2,169.00|2,169.00|
|Total|25,910,409.53|72,300,048.14|

 (5) Top 5 Other Receivables in Ending Balance Collected according to the Arrears Party
Unit: RMB
|||||||
|-|-|-|-|-|-|
|Name of the entity|Nature|Ending balance|Aging|Proportion to total|Ending balance of|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
|||||||
|-|-|-|-|-|-|
|||||ending balance of|bad debt provision|
|||||other receivables||
|Tianrui (HK) Trading|Intercourse fund of|||||
|||19,705,079.03|Over 5 years|76.05%||
|Co., Ltd.|connected party|||||
|Refund of tax for||||||
||Tax|2,331,608.20|Over 5 years|9.00%|2,331,608.20|
|export receivable||||||
|Guangdong Yuanfeng||||||
||Intercourse fund|700,000.00|Over 5 years|2.70%|700,000.00|
|Trade Co., Ltd.||||||
|Shenzhen Zhao Tong||||||
||Intercourse fund|600,000.00|Over 5 years|2.32%|600,000.00|
|Investment Co., Ltd.||||||
|Guangzhou Nanxiang||||||
|Construction|Intercourse fund|500,000.00|Over 5 years|1.93%|500,000.00|
|Engineering Company||||||
|Total|--|23,836,687.23|--|92.00%|4,131,608.20|

 (6) Accounts Receivable Related to Government Subsidies
Unit: RMB
||||||
|-|-|-|-|-|
||Project of government|||Estimated recovering|
|Name of the entity||Ending balance|Ending aging||
||subsidies|||time, amount and basis|

 (7) Other Receivables Derecognized due to the Transfer of Financial Assets
(8) Amount of Assets and Liabilities Generated from the Transfer and Continuous Involvement of Other Receivables
Other notes:
3. Long-term Equity Investment
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||Ending balance|||Beginning balance|||
|Item||Depreciation|||Depreciation||
||Carrying amount||Carrying value|Carrying amount||Carrying value|
|||reserve|||reserve||
|Investment to|||||||
||80,000,008.26||80,000,008.26|80,000,008.26||80,000,008.26|
|subsidiaries|||||||
|Investment to|||||||
|joint ventures and|||||||
||269,998,221.71||269,998,221.71|269,998,221.71||269,998,221.71|
|associated|||||||
|enterprises|||||||
|Total|349,998,229.97||349,998,229.97|349,998,229.97||349,998,229.97|

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (1) Investment to the Subsidiaries
Unit: RMB
||||||||
|-|-|-|-|-|-|-|
||||||Depreciation|Ending balance of|
||Beginning||||||
|Investee||Increase|Decrease|Ending balance|reserve|depreciation|
||balance||||||
||||||withdrawn|reserve|
|Shenzhen Rieys|||||||
||45,000,000.00|||45,000,000.00|||
|Industrial Co., Ltd.|||||||
|Tianrui (HK)|||||||
||8.26|||8.26|||
|Trading Co., Ltd.|||||||
|Shenzhen Chinese|||||||
|Gold Nobility|30,000,000.00|||30,000,000.00|||
|Jewelry Co., Ltd.|||||||
|Shanghai Yunpeng|||||||
|Network|||||||
||5,000,000.00|||5,000,000.00|||
|Technology Co.,|||||||
|Ltd.|||||||
|Total|80,000,008.26|||80,000,008.26|||

(2) Investment to Joint Ventures and Associated Enterprises
Unit: RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||Increase/decrease||||||||||
||||||||||||Ending|
|||||Gains and|Adjustme|||||||
||||||||Cash|Withdraw|||balance|
|||Additiona||losses|nt of|||||||
||Beginnin||Reduced|||Changes|bonus or|al of||Ending|of|
|Investee||||||||||||
|||l||recognize|other|||||||
||g balance||investmen|||of other|profits|impairme|Other|balance|depreciati|
|||investmen||d under|comprehe|||||||
||||t|||equity|announce|nt|||on|
|||t||the equity|nsive|||||||
||||||||d to issue|provision|||reserve|
|||||method|income|||||||
|I. Joint ventures||||||||||||
|II. Associated enterprises||||||||||||
|Shenzhen||||||||||||
|Shenguor||||||||||||
|ong|149,998,2|||||||||149,998,2||
|Financing|21.71|||||||||21.71||
|Guarantee||||||||||||
|Co., Ltd.||||||||||||
|Shenzhen||||||||||||
|Future|120,000,0|||||||||120,000,0||
|Growing|00.00|||||||||00.00||
|Business||||||||||||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|Fund|||
|(Limited|||
|Partnershi|||
|p)|||
||269,998,2|269,998,2|
|Subtotal|||
||21.71|21.71|
||269,998,221.71|269,998,221.71|
|Total|||

(3)Other Notes
4. Operating Revenue and Cost of Sales
Unit: RMB
||||||
|-|-|-|-|-|
||Reporting Period||Same period of last year||
|Item|||||
||Operating revenue|Cost of sales|Operating revenue|Cost of sales|
|Other operations|||1,280,401.28|400,788.60|
|Total|||1,280,401.28|400,788.60|

 Other notes:
5. Investment Income
Unit: RMB
||||
|-|-|-|
|Item|Reporting Period|Same period of last year|
|Long-term equity investment income|||
|||17,054.22|
|accounted by equity method|||
|Total||17,054.22|

 6. Other
XVIII. Supplementary Materials
1. Items and Amounts of Non-recurring Profit or Loss
√ Applicable□ Not applicable
Unit: RMB
||||
|-|-|-|
|Item|Amount|Note|
|Gain/Loss on changes in fair value arising|||
|||Investment income from disposal of|
|from holding of trading financial assets and|||
||536.00|trading financial assets|
|liabilities and investment income from|||
|disposal of trading financial assets, financial|||

Guangdong Jadiete Holdings Group Company Limited Interim Report 2018
||||
|-|-|-|
|liabilities and available-for-sale financial|||
|assets other than effective hedge business|||
|related to the Company’s normal operating|||
|businesses|||
|Reverse of bad debt provision of accounts|||
|receivable individually conducting|2,942,220.19||
|impairment test|||
|Other non-operating income and expense|||
||410,992.85||
|other than the above|||
|Less: Income tax effects|764,267.57||
|Non-controlling interests effects (after tax)|1,002,022.54||
|Total|1,587,458.93|--|

Explain the reasons if the Company classifies an item as an non-recurring profit or loss according to the definition in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to thePublic—Non-recurring Profit or Loss, or classifies any extraordinary profit or loss item mentioned in the said explanatory announcement as a recurrent profit or loss item
□ Applicable√ Not applicable
2. Return on Equity and Earnings Per Share
|||||
|-|-|-|-|
|||EPS (Yuan/share)||
|Profit as of Reporting Period|Weighted average ROE (%)|||
|||EPS-basic|EPS-diluted|
|Net profit attributable to ordinary||-0.016|-0.016|
||-1.29%|||
|shareholders of the Company||||
|Net profit attributable to ordinary||||
|shareholders of the Company after||||
||-1.74%|-0.0191|-0.0191|
|deduction of non-recurring profit or||||
|loss||||

3. Differences between Accounting Data under Domestic and Overseas Accounting Standards
(1) Differences of Net Profit and Net Assets Disclosed in Financial Reports Prepared under International and Chinese Accounting Standards
□ Applicable√ Not applicable
(2) Differences of Net profit and Net assets Disclosed in Financial Reports Prepared under Overseas and
Chinese Accounting Standards
□ Applicable√ Not applicable
Guangdong Jadiete Holdings Group Company Limited Interim Report 2018 (3) Explain Reasons for the Differences between Accounting Data under Domestic and Overseas Accounting Standards; for any Adjustment Made to the Difference Existing in the Data Audited by the Foreign Auditing Agent, Such Foreign AuditingAgent’s Name Shall Be Clearly Stated
Not applicable
4. Other
Not applicable