TigerResearch/tigerbot-earning-plugin huggingface dataset:
Fixed assets|4(14)|43,657,404|36,925,990
 Construction in progress|4(15)|11,149,860|8,571,203
 Right-of-use assets|4(16)|15,429,775|17,297,085
 Intangible assets|4(17)|19,176,684|18,324,188
 Capitalised development expenditures|4(18)|311,757|343,236
 Goodwill|4(19)|9,345,744|7,371,830
 Long-term prepaid expenses|4(20)|3,097,621|2,911,094
Deferred tax assets|4(35)|1,632,964|1,566,714
 Other non-current assets|4(21)|624,868|1,801,041
 Total non-current assets||126,169,214|115,787,858
 TOTAL ASSETS||216,842,707|209,899,982
CONSOLIDATED BALANCE SHEET (CONT’D)
AS AT 31 DECEMBER 2022
||31 December 2022|31 December 2021
 LIABILITIES AND EQUITY| Note||
|| Consolidated| Consolidated
 Current liabilities Short-term borrowings|4(23)|12,837,870|18,397,204
 Deposits from customers||20,670|13,723
 Financial liabilities held for trading||96,647|7,658
 Notes payable||32,699|–
Accounts payable|4(24)|24,715,352|23,467,675
 Advances from customers||49,035|27,385
 Contract liabilities|4(25)|1,244,418|1,675,836
 Employee benefits payable|4(26)|6,276,551|5,575,463
 Taxes payable|4(27)|2,761,146|2,873,551
 Other payables|4(28)|13,346,595|11,520,282
 Current portion of non-current liabilities|4(29)|11,173,650|8,335,803
Other current liabilities|4(30)|5,122,276|4,127,049
 Total current liabilities||77,676,909|76,021,629
 Non-current liabilities Long-term borrowings|4(31)|7,472,010|3,510,829
 Debentures payable|4(32)|18,927,508|15,656,370
 Lease liabilities|4(33)|8,582,372|10,941,938
 Long-term payables||209,675|361,983
 Long-term employee benefits payable||114,024|351,754
Deferred income|4(34)|860,791|690,242
 Deferred tax liabilities|4(35)|4,657,954|4,402,160
 Provisions||55,415|47,830
 Total non-current liabilities||40,879,749|35,963,106
 Total liabilities||118,556,658|111,984,735
 Equity Share capital|4(36)|4,895,202|4,906,213
 Capital reserve|4(37)|43,996,237|46,200,598
Less: Treasury stock|4(38)|(2,040,377)|(394,993)
 Other comprehensive income|4(55)|4,538,027|2,617,231
 General risk reserve||493,048|420,638
 Surplus reserve|4(40)|1,010,253|947,775
 Retained earnings|4(41)|33,371,351|28,245,764
 Total equity attributable to shareholders of the Company||86,263,741|82,943,226
 Minority interests||12,022,308|14,972,021
Total equity||98,286,049|97,915,247
TOTAL LIABILITIES AND EQUITY 216,842,707 209,899,982
The accompanying notes form an integral part of these financial statements.
Legal representative: Wang Wei Chief Financial Officer (financial officer): Ho Chit Accounting Manager: Hu Xiaofei
COMPANY BALANCE SHEET AS AT 31 DECEMBER 2022
||31 December 2022|31 December 2021
 ASSETS| Note||
|| Company| Company
 Current assets Cash at bank and on hand|18(1)|812,181|226,112
 Financial assets held for trading|18(2)|2,335,319|9,200,219
 Advances to suppliers||121|1,248
 Other receivables|18(3)|15,191,464|18,275,492
Other current assets||–|5,827
 Total current assets||18,339,085|27,708,898
 Non-current assets Long-term equity investments|18(4)|58,217,914|50,997,088
 Fixed assets||–|9
 Construction in progress||144,726|24,392
 Right-of-use assets||–|2,064
 Intangible assets||368,381|382,331
Long-term prepaid expenses||–|779
 Other non-current assets||459|111
 Total non-current assets||58,731,480|51,406,774
 TOTAL ASSETS||77,070,565|79,115,672
COMPANY BALANCE SHEET (CONT’D) AS AT 31 DECEMBER 2022
LIABILITIES AND EQUITY
Current liabilities
Employee benefits payable Other payables
Taxes payable
Current portion of non-current liabilities
Total current liabilities
Non-current liabilities
Deferred tax liabilities Lease liabilities
Total non-current liabilities
Total liabilities
Share capital Capital reserve
Less: Treasury stock Surplus reserve
Retained earnings
Total equity
TOTAL LIABILITIES AND EQUITY
Legal representative: Wang Wei
CONSOLIDATED AND COMPANY INCOME STATEMENTS
(All amounts in RMB’000 Yuan unless otherwise stated)[English translation for reference only]|||||(All amounts in RMB’000 Yuan unless otherwise stated)[English translation for reference only]||||||||
31 December 2022|||31 December 2021|||||2022|2021||2022||2021
 Note|||| Item|| Note|||||||
|| Company| Company||||| Consolidated| Consolidated|| Company|| Company
||||1. Revenue||4(42)||267,490,414|207,186,647|–||–|
|227||227| Less: Cost of revenue||4(42)||(234,072,360)|(181,548,507)|–||–|
|29,191||6,884| Taxes and surcharges||4(43)||(476,706)|(478,726)|(52)||(5,373)|
|10,804||704| Selling and distribution expenses||4(44)||(2,784,114)|(2,837,899)|–||–|
|–||519| General and administrative expenses||4(45)||(17,574,490)|(15,029,663)|(15,823)||(23,939)|
|40,222||8,334| Research and development expenses||4(46)||(2,222,865)|(2,154,839)|–||(21)|
|||| Financial (costs)/income||4(47)||(1,711,613)|(1,563,359)|21,081||8,731|
|1,253||7,290| Including: Interest expenses||||(2,054,360)|(1,562,008)|(62)||(98)|
|–||1,673|| Interest income|||345,662|187,794|21,163||8,852|
|1,253||8,963| Add: Other income||4(49)||2,249,361|1,768,139|–||8|
|41,475||17,297| Investment income||4(50)|18(5)|1,025,385|2,406,535|686,398||2,022,132|
|||| Including:| Investment income/ from associates and joint ventures|||7,549|42,660|–||–|
4(36)|4,895,202||4,906,213||||||||||
||||(Losses)/Gains arising from changes in fair value||||(27,938)|98,949|(24,899)||29,843|
|71,743,948||71,907,104||||||||||
|||| Credit impairment losses||4(51)||(821,100)|(578,951)|(7)||(1)|
4(38)|(2,040,377)||(394,993)||||||||||
|||| Asset impairment losses||||(131,756)|(60,390)|–||–|
|857,208||794,730||||||||||
|||| Gains on disposal of assets||||91,689|40,461|198||–|
|1,573,109||1,885,321||||||||||
||||2. Operating profit||||11,033,907|7,248,397|666,896||2,031,380|
|77,029,090||79,098,375||||||||||
|77,070,565||79,115,672| Add: Non-operating income||4(52)(a)||231,487|289,542|51||–|
|||| Less: Non-operating expenses||4(52)(b)||(298,616)|(404,258)|(497)||–|
||||3. Total profit||||10,966,778|7,133,681|666,450||2,031,380|
|||| Less: Income tax expenses||4(53)||(3,963,158)|(3,214,468)|(41,666)||(4,059)|
||||4. Net profit||||7,003,620|3,919,213|624,784||2,027,321|
 Chief Financial Officer (financial officer): Ho Chit| Accounting Manager: Hu Xiaofei||||||||||||
|||| Classified by continuity of operations: Net profit from continuing operations||||7,003,620|3,919,213|624,784||2,027,321|
|||| Net profit from discontinued operations||||–|–|–||–|
|||| Classified by ownership of the equity: Attributable to shareholders of the Company||||6,173,764|4,269,098|624,784||2,027,321|
|||| Minority interests||||829,856|(349,885)|–||–|
CONSOLIDATED AND COMPANY INCOME STATEMENTS (CONT’D)
FOR THE YEAR ENDED 31 DECEMBER 2022
[English translation for reference only]||
 Item| Note|2022 Consolidated
5. Other comprehensive income, net of tax|4(55)|
 Attributable to shareholders of the Company, net of tax Other comprehensive income items which will not be reclassified subsequently to profit or loss Including: Changes in fair value of investments in other equity instruments Other comprehensive income items which will not be transferred to profit or loss under the equity method Other comprehensive income items which will be reclassified subsequently to profit or loss Including: Cash flow hedge reserve Other comprehensive income items which will be transferred subsequently to profit or loss under the equity method Exchange differences on translation of foreign currency financial statements Attributable to minority interests, net of tax6. Total comprehensive income Attributable to shareholders of the Company Attributable to minority interests7. Earnings per share||
 Basic earnings per share (RMB Yuan)|4(54)|
 Diluted earnings per share (RMB Yuan)|4(54)|
CONSOLIDATED AND COMPANY CASH FLOW STATEMENTS
||||||[English translation for reference only]|||||||
|2021||2022||2021|||2022|2021||2022||2021
|||||| Item| Note||||||
| Consolidated|| Company|| Company||| Consolidated| Consolidated|| Company|| Company
1,273,054|1,742,921|–||–||1. Cash flows from/(used in) operating activities Cash received from sales of goods or rendering of services|||||||
1,882,025|1,585,918|–||–||||282,453,563|212,073,004|–||–|
(49,083)|1,873,868|–||–|| Net increase in deposits from customers and other financial institutions||6,945|10,068|–||–|
|||||| Net decrease in loans to customers||–|84,635|–||–|
(47,597)|1,873,959|–||–|| Net decrease in balances with central bank and other banks||–|461,038|–||–|
|||||| Refund of taxes and levies||5,649,323|161,859|10,265||–|
|||||| Cash received relating to other operating activities|4(56)(a)|81,078,659|90,470,800|26,936||9,791|
(1,486)|(91)|–||–|||||||||
|||||| Sub-total of operating cash inflows||369,188,490|303,261,404|37,201||9,791|
|||||| Cash paid for goods and services||(202,633,677)|(156,611,845)|–||–|
1,931,108|(287,950)|–||–|||||||||
|||||| Net increase in loans to customers||(34,105)|–|–||–|
15,392|(4,536)|–||–|| Net increase in balances with central bank and other banks||(296,941)|–|–||–|
|||||| Cash paid to and on behalf of employees||(31,255,839)|(28,341,837)|(8,095)||(3,882)|
(18,740)|–|–||–|| Payments of taxes and levies||(8,039,647)|(5,461,724)|(45,171)||(21,619)|
|||||| Cash paid relating to other operating activities|4(56)(b)|(94,225,334)|(97,488,393)|(8,629)||(14,796)|
|||||| Sub-total of operating cash outflows||(336,485,543)|(287,903,799)|(61,895)||(40,297)|
1,934,456|(283,414)|–||–|||||||||
|||||| Net cash flows from/(used in) operating activities|4(57)(a)|32,702,947|15,357,605|(24,694)||(30,506)|
(608,971)|157,003|–||–||2. Cash flows (used in)/from investing activities Cash received from disposal of investments||2,559,624|1,238,705|–||–|
8,276,674|5,662,134|624,784||2,027,321|||||||||
|||||| Cash received from returns on investments||913,099|490,403|2,197,582||1,523,460|
8,055,789|5,855,016|624,784||2,027,321|||||||||
220,885|(192,882)|–||–|| Cash received from disposal of fixed assets and other long-term assets||176,331|147,398|7||–|
|||||| Net cash received from disposal of subsidiaries|4(56)(c)|313,719|2,337,552|–||–|
|||||| Cash received relating to other investing activities|4(56)(e)|153,839,102|125,485,123|44,200,010||8,272,497|
1.27|0.93| Not applicable|| Not applicable|||||||||
|||||| Sub-total of investing cash inflows||157,801,875|129,699,181|46,397,599||9,795,957|
1.27|0.93| Not applicable|| Not applicable|||||||||
|||||| Cash paid to acquire fixed assets and other long-term assets||(14,183,777)|(19,195,560)|(97,014)||(31,554)|
|||||| Cash paid to acquire investments||(2,073,948)|(656,070)|(7,000,000)||–|
|||||| Net cash paid to acquire subsidiaries|4(56)(d)|(2,217,481)|(9,043,578)|–||–|
|||||| Cash paid relating to other investing activities|4(56)(e)|(151,418,127)|(117,935,200)|(35,774,516)||(27,974,434)|
|||||| Sub-total of investing cash outflows||(169,893,333)|(146,830,408)|(42,871,530)||(28,005,988)|
Net cash flows (used in)/from investing activities (12,091,458) (17,131,227) 3,526,069 (18,210,031)
CONSOLIDATED AND COMPANY CASH FLOW STATEMENTS (CONT’D)
|||2022|2021||2022|2021
 Item|| Note|||||
||| Consolidated| Consolidated|| Company| Company
3. Cash flows (used in)/from financing activities Cash received from capital contributions|||162,673|23,794,887|–||19,910,000
 Including:| Cash received from capital contributions by minority interests of subsidiaries||162,673|3,884,887|–||–
 Cash received from borrowings and issue of debentures|||39,568,089|44,468,053|–||–
 Cash received relating to other financing activities|||5,187|7,577|–||–
Sub-total of financing cash inflows|||39,735,949|68,270,517|–||19,910,000
 Cash repayments on borrowings and debentures|||(37,421,220)|(27,248,269)|–||–
 Cash payments for interest expenses and distribution of dividends or profits|||(3,688,182)|(2,379,578)|(874,518)||(1,499,992)
 Cash paid relating to other financing activities||4(56)(f)|(14,643,497)|(17,422,744)|(2,040,787)||(1,457)
 Sub-total of financing cash outflows|||(55,752,899)|(47,050,591)|(2,915,305)||(1,501,449)
 Net cash flows (used in)/from financing activities|||(16,016,950)|21,219,926|(2,915,305)||18,408,551
4. Effect of foreign exchange rate changes on cash and cash equivalents|||871,640|(99,020)|(1)||–
5. Net increase in cash and cash equivalents|||5,466,179|19,347,284|586,069||168,014
 Add: Cash and cash equivalents at the beginning of the year|||34,813,768|15,466,484|226,112||58,098
6. Cash and cash equivalents at the end of the year||4(57) (b)|40,279,947|34,813,768|812,181||226,112
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2022
|||| Equity attributable to shareholders of the Company||||||||
| Note| Share capital| Capital reserve| Less: Treasury stock| Other comprehensive income| General risk reserve|| Special reserve| Surplus reserve| Retained earnings| Minority interests| Total equity
 Balance at 1 January 2021||4,556,440|24,405,217|(394,993)|1,143,969|279,142|–||745,043|25,708,230|316,651|56,759,699
 Movements for the year ended 31 December 2021 Total comprehensive income Net profit||–|–|–|–|–|–||–|4,269,098|(349,885)|3,919,213
 Other comprehensive income||–|–|–|1,585,918|–|–||–|–|157,003|1,742,921
 Total comprehensive income for the year||–|–|–|1,585,918|–|–||–|4,269,098|(192,882)|5,662,134
 Capital contribution and withdrawal by shareholders Capital contribution by shareholders||349,773|21,592,292|–|–|–|–||–|–|1,849,237|23,791,302
Share-based payments included in equity|9(1)|–|287,553|–|–|–|–||–|–|61,755|349,308
 Others||–|(75,317)|–|–|–|–||–|–|(142,626)|(217,943)
 Business combinations involving enterprises not under common control||–|–|–|–|–|–||–|–|13,126,493|13,126,493
 Profit distribution Appropriation to general risk reserve|4(41)|–|–|–|–|141,496|–||–|(141,496)|–|–
 Appropriation to surplus reserve|4(40)|–|–|–|–|–|–||202,732|(202,732)|–|–
 Distribution to shareholders|4(41)|–|–|–|–|–|–||–|(1,499,992)|(46,607)|(1,546,599)
 Transfer within equity Transfer from other comprehensive income to retained earnings||–|–|–|(112,656)|–|–||–|112,656|–|–
Movements in other capital reserve||–|(9,147)|–|–|–|–||–|–|–|(9,147)
 Safety reserve Appropriation|4(39)|–|–|–|–|–|28,370||–|–|–|28,370
 Utilisation|4(39)|–|–|–|–|–|(28,370)||–|–|–|(28,370)
 Balance at 31 December 2021||4,906,213|46,200,598|(394,993)|2,617,231|420,638|–||947,775|28,245,764|14,972,021|97,915,247
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (CONT’D)
||||||||| Equity attributable to shareholders of the Company||||||||
|||||| Note| Share capital| Capital reserve| Less: Treasury stock| Other comprehensive income| General risk reserve|| Special reserve| Surplus reserve| Retained earnings| Minority interests| Total equity
 Balance at 1 January 2022|||||||4,906,213|46,200,598|(394,993)|2,617,231|420,638|–||947,775|28,245,764|14,972,021|97,915,247
 Movements for the year ended 31 December 2022 Total comprehensive income Net profit|||||||–|–|–|–|–|–||–|6,173,764|829,856|7,003,620
 Other comprehensive income|||||||–|–|–|1,882,025|–|–||–|–|(608,971)|1,273,054
 Total comprehensive income for the year|||||||–|–|–|1,882,025|–|–||–|6,173,764|220,885|8,276,674
 Capital contribution and withdrawal by shareholders Capital contribution by shareholders|||||||–|825|–|–|–|–||–|–|161,848|162,673
Share repurchase||||||4(38)|–|–|(2,040,377)|–|–|–||–|–|–|(2,040,377)
 Treasury stock cancellation||||||4(38)|(11,011)|(383,982)|394,993|–|–|–||–|–|–|–
 Share-based payments included in equity||||||9(1)|–|122,999|–|–|–|–||–|–|(13,426)|109,573
 Others||||||4(37)|–|(2,055,007)|–|–|–|–||–|–|(1,856,492)|(3,911,499)
 Business|combinations|involving|enterprises|not|under||||||||||||
|||||||–|–|–|–|–|–||–|–|57,555|57,555
common control|||||||||||||||||
Profit distribution Appropriation to general risk reserve||||||4(41)|–|–|–|–|72,410|–||–|(72,410)|–|–
 Appropriation to surplus reserve||||||4(40)|–|–|–|–|–|–||62,478|(62,478)|–|–
 Distribution to shareholders||||||4(41)|–|–|–|–|–|–||–|(874,518)|(1,524,826)|(2,399,344)
 Transfer within equity Transfer from other comprehensive income to retained earnings|||||||–|–|–|38,771|–|–||–|(38,771)|–|–
 Movements in other capital reserve|||||||–|110,804|–|–|–|–||–|–|4,743|115,547
 Safety reserve Appropriation||||||4(39)|–|–|–|–|–|32,214||–|–|–|32,214
 Utilisation||||||4(39)|–|–|–|–|–|(32,214)||–|–|–|(32,214)
Balance at 31 December 2022|||||||4,895,202|43,996,237|(2,040,377)|4,538,027|493,048|–||1,010,253|33,371,351|12,022,308|98,286,049
COMPANY STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2022
| Note| Share capital| Capital reserve| Less: Treasury stock| Surplus reserve| Retained earnings| Total equity
 Balance at 1 January 2021||4,556,440|52,344,321|(394,993)|591,998|1,560,724|58,658,490
 Movements for the year ended 31 December 2021 Total comprehensive income Net profit||–|–|–|–|2,027,321|2,027,321
 Capital contribution and withdrawal by shareholders Capital contribution by shareholders|4(36)|349,773|19,562,789|–|–|–|19,912,562
 Share-based payments included in equity||–|(6)|–|–||(6)
 Profit distribution Appropriation to surplus reserve|4(40)|–|–|–|202,732|(202,732)|–
 Distribution to shareholders|4(41)|–|–|–|–|(1,499,992)|(1,499,992)
Balance at 31 December 2021||4,906,213|71,907,104|(394,993)|794,730|1,885,321|79,098,375
 Balance at 1 January 2022||4,906,213|71,907,104|(394,993)|794,730|1,885,321|79,098,375
 Movements for the year ended 31 December 2022 Total comprehensive income Net profit||–|–|–|–|624,784|624,784
 Capital contribution and withdrawal by shareholders Treasury stock cancellation|4(38)|(11,011)|(383,982)|394,993|–|–|–
 Share repurchase|4(38)|–|–|(2,040,377)|–|–|(2,040,377)
 Share-based payments included in equity||–|220,852|–|–|–|220,852
 Others||–|(26)|–|–|–|(26)
Profit distribution Appropriation to surplus reserve|4(40)|–|–|–|62,478|(62,478)|–
 Distribution to shareholders|4(41)|–|–|–|–|(874,518)|(874,518)
 Balance at 31 December 2022||4,895,202|71,743,948|(2,040,377)|857,208|1,573,109|77,029,090
S.F. Holding Co., Ltd. (formerly “Ma’anshan Dingtai Rare Earth and New Materials Co., Ltd.”, hereinafter “S.F. Holding”or “the Company”), formerly known as Ma’anshan Dingtai Science & Technology Co., Ltd., was established by 11 natural persons including Liu Jilu and the Labour Union of Ma’anshan Dingtai Metallic Products Co., Ltd. by cash contribution on 13 May 2003. On 22 October2007, The officially changed to Ma’anshan Dingtai Rare Earth and New Materials Co., Ltd., and the Ma’anshan Dingtai Rare Earth and New Materials Co., Ltd. shares were listed on the Shenzhen Stock Exchange on 5 February 2010.
In December 2016, approved by the China Securities Regulatory Commission, Ma’anshan Dingtai Rare Earth and New Materials Co., Ltd conducted a series of major assets restructuring, including major assets swap, issuing shares to purchase assets and raising matching fund. Upon the completion of major asset restructuring, Shenzhen Mingde Holdings Development Co., Ltd. (“Mingde Holdings”) became the parent company and ultimate controlling company of the Company, and Wang Wei was the ultimate controlling person of the Company. The place of registration and headquarters of the Company were changed to Shenzhen, Guangdong Province.
As at 31 December 2022, the total share capital of the Company is RMB4,895,202,373 with a par value of RMB1 per share.
The approved business scope of the Company and its subsidiaries(“the Group”) includes: domestic and international express services(except for postal enterprises’franchise business); general freight services; large-scale goods transportation services; refrigerated truck transportation services; third-party pharmaceutical modern logistics business services; urban distribution services; supply chain solution consulting services; domestic and international freight agency business services; air cargo transportation services; warehousing services; property leasing services and industrial investment.
Hangzhou SF Intra-city Industrial Co., Ltd., a subsidiary of the Company, is a company listed on the main board of the Stock Exchange of Hong Kong Limited (“HKEX”), primarily providing intra- city instant delivery services.
Kerry Logistics Network Co., Ltd. (“Kerry Logistics”), a subsidiary of the Company, is a company listed on the main board of the HKEX, providing services such as comprehensive logistics, e-commerce, express delivery and international freight.
First-tier and second-tier subsidiaries included in the consolidation scope of the financial statements are detailed in Note 6(1). The changes in the scope of consolidation for the current reporting period are set out in Note 5.
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
[English translation for reference only]
2. Summary of significant accounting policies and accounting estimates
The Group determines the specific accounting policies and estimates based on its features of production and operation, primarily comprising the methods of provision for expected credit losses on receivables and contract assets (Note 2(9)), valuation of inventories(Note 2(10)), measurement model of investment properties (Note2(12)), depreciation of fixed assets and amortisation of intangible assets and right-of-use assets (Note 2(13), (16), (27)), criteria for capitalisation of capitalised development expenditures (Note 2(17)), recognition and measurement of revenue (Note 2(25)), etc.
Details of the Group’s critical judgements, critical accounting estimates and key assumptions used in determining significant accounting policies are set forth in Note 2(29).
(1) Basis of preparation
The financial statements are prepared in accordance with the Accounting Standards for Business Enterprises –Basic Standard, the specific accounting standards and other relevant regulations issued by the Ministry of Finance on 15 February 2006 and in subsequent periods (hereafter, referred to as “the Accounting Standards for Business Enterprises”or “CASs”) and the disclosure requirements in the Preparation Convention of Information Disclosure by Companies Offering Securities to the Public No. 15 –General Rules on Financial Reporting issued by the China Securities Regulatory Commission.
The financial statements are prepared on a going concern basis.
(2) Statement of compliance with the
Accounting Standards for Business Enterprises
The financial statements of the Company for the year ended 31 December 2022 are in compliance with the Accounting Standards for Business Enterprises, and truly and completely present the consolidated and company financial position of the Company as at31 December 2022 and their financial performance, cash flows and other information for the year then ended.
(3) Accounting year
The Company’s accounting year starts on 1 January and ends on31 December.
(4) Recording currency
The Company’s recording currency is Renminbi (RMB). The Company’s subsidiaries decide their recording currencies in line with the economic environments in which they operate, while the subsidiaries in Hong Kong SAR and abroad mainly adopt currencies including HKD and USD as their recording currencies. The financial statements are presented in RMB.
(5) Business combinations
(a) Business combinations involving enterprises under common control
The consideration paid and net assets obtained by the Group in a business combination are measured at the carrying amount. If the acquiree is acquired from a third party by the ultimate controlling party in a prior year, the consideration paid and net assets obtained by the Group are measured based on the carrying amounts of the acquiree’s assets and liabilities (including the goodwill arising from the acquisition of the acquiree by the ultimate controlling party) presented in the consolidated financial statements of the ultimate controlling party. The difference between the carrying amount of the net assets obtained from the combination and the carrying amount of the consideration paid for the combination is treated as an adjustment to capital reserve (share premium). If the capital reserve (share premium) is not sufficient to absorb the difference, the remaining balance is adjusted against retained earnings. Costs directly attributable to the business combinations are included in profit or loss in the period in which they are incurred. Transaction costs associated with the issue of equity or debt securities for the business combinations are included in the initially recognised amounts of the equity or debt securities.
(b) Business combinations involving enterprises not under common control