瓦轴B：2021年半年度报告（英文版）.PDF

Wafangdian Bearing Company Limited2021 Midyear Report1Wafangdian Bearing Company Limited2021 Midyear Report2021-24August ,2020Wafangdian Bearing Company Limited2021 Midyear Report2Chapter I.Important Prompts, Table of Contents, and DefinitionsThe Board of Directors, board of supervisors, directors, supervisors, and top management of theCompany hereby guarantee that there are no false record, misleading statements and important omission ofthe material in this report, and assume the individual and associated responsibilities for the truth, accuracy andcompleteness of the contents.Chairman Mr.Liu Jun , General Accountant Ms. Sun Najuan and accounting charger Ms. Zhang Yajingdeclare: guarantee the truth and completeness of the financial report in the annual report.All directors attended the Board meeting and discussed the report.This semi-annual report involves forward-looking statements such as future prospects and plans, whichdo not constitute a substantial commitment to the companys investors. Investors are advised to pay attentionto investment risks.The Company has described in detail the relevant risks in this report, which does not constitute amaterial commitment of the Company to investors. Investors are requested to maintain sufficient riskawareness and understand the differences between plans, forecasts and commitments.In the third section ofthis report, Management Discussion and Analysis and X. Risks faced by the Company andCountermeasures, the company describes in detail the possible risks and countermeasures in the companysoperation. Investors are invited to pay attention to the relevant contents.The company plans to distribute no cash dividend, no bonus, no accumulation fund to increase capital.Wafangdian Bearing Company Limited2021 Midyear Report3Table of ContentsC Chapter I. Important Prompts, Table of Contents, and Definitions.2Chapter II. Company Profile.6Chapter III Business Summary. 9Chapter IVCorporate governance.15ChapterV. Environmental and social responsibility.16ChapterVI. Significant Events.17ChapterVII. Change of Shares and Particulars about Shareholders.25ChapterVIII. Relevant Information about preferred Shares. 29ChapterIX. Related Situation of bonds.29ChapterX. Financial Report. 30Relevant Information about preferred SharesRelated Situation of bondsWafangdian Bearing Company Limited2021 Midyear Report4File directory for reference1. Semi-annual financial statements for 2021 with the signature and seal of the person in charge of thecompany, the person in charge of the accounting work and the person in charge of the accountinginstitution (the person in charge of the accounting);2. Originals of all company documents and original announcements publicly disclosed in newspapersdesignated by CSRC during the reporting period.Wafangdian Bearing Company Limited2021 Midyear Report5GlossaryTermsDefined asDescriptionCompany,the CompanyDefined asWafangdian Bearing Company LimitedWazhou GroupDefined asWafangdian Bearing Group Companythe report period, the currentperiodDefined asJanuary 1,2020June 30,2020Liaozhou Co.,LtdDefined asWazhou Liaoyang Bearing Manufacture Co.,LtdDalian motorDefined asDalian motor Bearing Co.,LtdSRB companyDefined asWazhou spherial roller bearing company limitedThe Board of DirectorsDefined asWafangdian Bearing Company Limited The Board ofDirectorsThe Supervisory CommitteeDefined asWafangdian Bearing Company Limited TheSupervisory CommitteeThe ShareholdersMeetingDefined asWafangdian Bearing Company Limited TheShareholdersMeetingShen Jiao SuoDefined asShen Zhen Stock ExchangeSRCDefined asChina Securities Regulatory CommissionWafangdian Bearing Company Limited2021 Midyear Report6Chapter II.Company ProfileI. Company InformationAbbreviated name of the stockWazhou BStock code:200706Listing location of the Companys stock:Shenzhen Stock ExchangeChinese name of the Company瓦房店轴承股份有限公司Abbreviation of Chinese name瓦轴股份公司English name of the CompanyWafangdian Bearing Company LimitedAbbreviation of English nameWBCLegal representative of theCompanyLiu JunII.ContactsSecretary of the BoardRepresentative of StockAffairsNameSun NajuanKe XinCorrespondence addressNo.1 BeigongjiStreet,WafangdianCity,Liaoning Province, China.No.1 BeigongjiStreet,WafangdianCity,Liaoning Province, China.Consulting telephone0411-621980080411-62198236Fax0411-621983330411-62198333E-III.Other information1. Company contact informationThe companys registered address, office address and its postal code, the companys website address, E-mail box during the reportingperiod whether changes Applicable InapplicableThe companys registered address, office address and its postal code, companys website address and E-mail address will not changeduring the reporting period. Please refer to the 2020Annual Report for details.2. Information disclosure and storage locationWhether the location of information disclosure and storage changes during the reporting period Applicable InapplicableThe name of the information disclosure newspaper selected by the company, and the website designated by China SecuritiesRegulatory Commission to publish the semi-annual report. The reporting period of the preparation place of the semi-annual report ofthe company remains unchanged, for details, please refer to the 2020 annual report.IV. Main accounting data and financial indicatorsWhether the company needs to retroactively adjust or restate the previous years accounting data Yes NoWafangdian Bearing Company Limited2021 Midyear Report7In RMB Yuancurrent periodprevious period+/-comparing withthe previous periodBefore adjustmentAfter adjustmentAfter adjustmentOperating income1,081,064,853.66999,645,101.91896,732,234.8620.56%Net profit available for shareholders of listingcompany4,192,143.243,647,082.193,647,082.1914.95%Net profit available for shareholders of listingcompany with abnormal incomes deducted1,248,469.67-4,526,512.88-4,526,512.88127.58%Net cash flows from operation activities31,402,343.4972,521,427.0572,521,427.05-56.70%Basic gains on per share0.010.0090.00911.11%Diluted gains on per share0.010.0090.00911.11%Net returns on assets0.51%0.30%0.30%0.21%2021.06.302020.12.31+/-comparing withthe previous periodBefore adjustmentAfter adjustmentAfter adjustmentTotal assets3,348,155,218.453,133,942,842.943,133,942,842.946.84%Owners equity (shareholdersequity)818,197,111.13814,004,967.89814,004,967.890.52%V. Differences in accounting information under IAS and domestic accounting standard1. At the same time, differences in net profit and net assets in financial reports disclosed in accordance with international accounting standards andChinese accounting standards. Applicable InapplicableDuring the reporting period, there is no difference between the net profit and net assets in the financial reports disclosed in accordance withinternational accounting standards and Chinese accounting standards.2. At the same time, the differences of net profit and net assets in financial reports disclosed in accordance with overseas accountingstandards and Chinese accounting standards. Applicable InapplicableDuring the reporting period, there is no difference between the net profit and net assets in the financial reports disclosed in accordance withoverseas accounting standards and Chinese accounting standards.VI. Non-recurring gain/loss items and amounts Applicable InapplicableIn RMB YuanItemsAmountRemarksNon-current asset disposal gains and losses (including the write-off portionof the asset impairment provision)-820,370.34Government subsidies included in the current profits and losses (closelyrelated to the business of the enterprise, except the government subsidiesenjoyed in accordance with the national unified standard quota or3,063,661.27Wafangdian Bearing Company Limited2021 Midyear Report8quantitative)Debt restructuring gains and losses312,267.65In addition to the normal business of the company effective hedging relatedbusiness, tradable financial assets, derivative financial assets, tradablefinancial liabilities, changes in the fair value of the derivative financialliabilities to generate profits and losses, as well as the disposal of tradablefinancial assets, derivative financial assets, tradable financial liabilities,derivative financial liabilities and other creditors rights investment returns183,361.31Non-operating income and expenses other than those mentioned above701,102.45Less: income tax impact496,348.77Acombined2,943,673.57-For the company according to the company information disclosure of securities for public issuance explanatory announcement no. 1 - non-recurringprofit and loss define non-recurring gains and losses as defined in the project, and put the company information disclosure of securities for publicissuance explanatory announcement no. 1 - non-recurring profit and loss of non-recurring profit and loss items defined as listed in the current profitsand losses of the project, it is necessary to explain the reason. Applicable InapplicableDuring the reporting period, the company does not define the listed non-recurring profit and loss items as recurring profit and loss items accordingto explanatory Notice no. 1 - Non-recurring Profit and loss ofACompany that publicly issues Securities.Chapter IIIBusiness SummaryI. Principal Businesses in the Reporting PeriodThe companys business scope is: bearing, bearing spare parts, mechanical equipment, auto parts and related products manufacturing and sales;Bearing repair, maintenance and technical services; Lease of machinery and equipment and housing; Bearing and related mechanical equipmentand measurement instruments, instrument testing.The company has a strong manufacturing capacity and quality assurance ability, extensive services in railway, automobile, metallurgy, mining, andother industries and fields.II.Analysis of core competitivenessAs the largest bearing technology and product r&d and manufacturing base in China, the company has accumulated many years of practicalexperience in bearing and related fields, established a sound bearing technology innovation system, and maintained close cooperation withdomestic research institutes and universities. As the main draftsman of several standards in the bearing industry, he grasps the latest technicaltrend of the development of the industry. It has established significant advantages in technology research and development, product manufacturing,marketing and user services.The companys customized design and manufacturing process can take into account the cost, delivery time and customer needs,improving the ability to respond to the market and customer personalized needs.The company has a complete product service system, with 24/7 dynamic service capability for product operation site. And to tenvalue-added services a good image by the majority of customers praise. The company has a strong production and manufacturingcapacity and quality assurance capabilities, extensive services in railway, automobile, metallurgy, mining and other industries andfields.Wafangdian Bearing Company Limited2021 Midyear Report9At present, the company has established strategic cooperative relations with key customers in the field of domestic equipmentapplication. By intervening in customer value project to carry out in-depth marketing, the company has firmly established its brandand influence in the domestic bearing market. In the international market, the company has obtained important target marketcertification qualifications, international visibility initially established.IIIAnalysis on Principal BusinessesRefer to the relevant content of I. Main Business of the Company during the reporting Period.Major financial data year - on - year changesIn RMB Yuanthecurrent reportingperiodSame period lastyear(+/-） Compared with thesame period last yearCause of changeOperating income1,081,064,853.66896,732,234.8620.56%Operating cost831,304,584.25674,721,170.7423.21%Cost of sales78,899,762.5675,613,172.334.35%Management fees45,845,225.3139,172,811.5317.03%Finance charges21,315,656.4817,025,231.1225.20%R&D spending98,277,786.2688,374,018.6111.21%Net cash flow fromoperating activities31,402,343.4972,521,427.05-56.70%The increase in operating cashreceived was less than theincrease in expensesNet cash flowgenerated frominvesting activities1,123,037.70-875,861.59-228.22%Increased cash received fromthe disposal of non-currentassetsNet cash flowgenerated fromfinancing activities1,642,489.7440,350,135.07-95.93%Cash inflows from financingactivities declined whileexpenditures increasedNet increase in cashand cash equivalents33,151,074.54112,950,609.87-70.65%All three of these declinesresulted inThe composition or source of profits of the company during the reporting period changes significantly Applicable InapplicableThere is no significant change in the composition or source of profits during the reporting period.Composition of operating incomeIn RMB Yuanthe current reporting periodSame period last year(+/-）Compared withthe same period lastyearAmountProportion ofoperating incomeAmountProportion ofoperating incomeTotal operatingRevenue1,081,064,853.66100%896,732,234.86100%20.56%Wafangdian Bearing Company Limited2021 Midyear Report10Industry-classifiedexit84,996,299.577.90%76,501,214.178.50%-0.70%Traffic bearing222,058,260.1420.50%152,104,515.0217.00%3.60%Special bearings174,002,173.0016.10%228,283,545.8025.50%-9.40%General bearing472,073,371.2643.70%275,107,503.1030.70%13.00%Industrialoperation26,193,575.142.40%34,444,509.723.80%-1.40%Other businessincome101,741,174.559.40%130,290,947.0514.50%-5.10%Products-classifiedbearing953,130,103.9688.20%731,996,778.0981.60%6.50%Industrialoperation26,193,575.152.40%34,444,509.723.80%-1.40%Other businessincome101,741,174.559.40%130,290,947.0514.50%-5.10%Region-classifieddomestic996,068,554.0992.10%820,231,020.6991.50%0.60%foreign84,996,299.577.90%76,501,214.178.50%-0.60%Industry, product or region accounting for more than 10% of the companys operating revenue or operating profit Applicable InapplicableReasons for the change of more than 30% in related data Applicable InapplicableIV.Non-main business analysis Applicable InapplicableIn RMB YuanAmountAs a percentage oftotal profitCause statementSustainability or notReturn on investment870,263.4220.76%Debt restructuringNOFair value changeprofit or loss183,361.314.37%Shares of traded financialassets roseNONon-operatingincome817,656.0019.50%Fine income, etc.NONon-operatingexpenses936,923.8922.35%Scrap non-current assetsNOV. Situation of assets and liabilities1. Significant changes in asset compositionIn RMB YuanWafangdian Bearing Company Limited2021 Midyear Report11End of 2021.06.30End of 2020.06.30Percentage ofchange(%)Statement on majorchangeAmountPercent intotal assetAmountPercent intotal assetMonetary fund213,848,619.856.39%194,152,280.086.20%0.19%Accounts receivable944,368,834.2328.21%975,628,091.1231.13%-2.92%inventory761,125,814.9822.73%615,656,946.3019.64%3.09%Investment real estate115,459,279.723.45%117,516,482.393.75%-0