Sales and Revenue Performance - For the year ended December 31, 2024, the Company sold 33,178 vehicles, an increase of 6.72% from 31,089 vehicles sold last year[9]. - Revenue for the year was approximately RMB4,124 million, representing a 14.66% increase from approximately RMB3,597 million recorded last year[12]. - New energy vehicle sales surged by 168%, while export sales increased by 42.56%[10]. - Revenue from export sales of parts and components increased, with a higher proportion of export sales contributing to market expansion[14]. - Gross profit for the year was RMB270,852,000, an increase of 21.27% compared to last year, with a gross profit margin of 6.57%[74]. - Other income for the year totaled RMB307,907,000, reflecting a 4.11% increase from last year, mainly from government grants, interest income, and rental income[77]. - The revenue from light-duty trucks and chassis and medium and heavy-duty trucks and chassis was RMB2,210,778,000 and RMB938,910,000, respectively, accounting for 76.38% of total revenue[99]. Financial Performance and Losses - The Company recorded a loss after tax of approximately RMB48 million for the year, compared to a loss of approximately RMB45 million the previous year[12]. - The Group reported a loss after tax of RMB47,772,000, which is an increase in loss of 5.21% compared to the previous year[76]. - The Group's expenses increased by 5.27% compared to last year, primarily due to higher selling expenses[77]. - The retained profit available for distribution to shareholders as of December 31, 2024, was approximately RMB1,110,104,000, down from RMB1,171,767,000 in 2023[104]. Strategic Initiatives and Collaborations - The Company has completed the R&D of electric VANs, small trucks, and high-capacity rechargeable heavy-duty trucks, filling product gaps[14]. - The Company initiated collaboration with Huawei to expedite ultra-fast charging network construction and develop heavy-duty electric vehicles[14]. - The Company plans to accelerate cooperation with Huawei to build a super charging ecosystem and with Ningde Times to launch the next generation of pure electric light trucks[17]. - The Company aims to accelerate the diversification of overseas markets and consolidate core markets while initiating new market entries[16]. - Key priorities include deepening reforms, strengthening core businesses, and improving efficiency to better fulfill the strategic mission[17]. Leadership and Governance - Xu Song has been an executive director since June 15, 2016, and has extensive experience in various roles within the company, including deputy general manager[26]. - Li Juxing has served as an executive director since May 28, 2015, and has held multiple senior positions, including deputy general manager and chairman of Chongqing Qingling Forging Co., Ltd.[29]. - The company has a strong leadership team with members having extensive industry experience and educational backgrounds in engineering and business administration[27][28]. - The company is focused on enhancing its operational efficiency and expanding its market presence through strategic leadership appointments[24][25]. - The company is committed to leveraging its experienced management to drive innovation and improve product offerings in the automotive sector[26]. Corporate Governance and Compliance - The company has a strong governance structure with independent directors serving on key committees such as the audit, remuneration, and nomination committees[33][34][35][38]. - The board includes members with diverse backgrounds in law, finance, and corporate governance, enhancing decision-making capabilities[34][35][38]. - The company is focused on maintaining high standards of corporate governance and compliance with regulatory requirements[33][34]. - The independent directors bring valuable insights from their extensive experience in various industries, contributing to strategic planning[33][34][35][38]. - The Company has confirmed the independence of all independent non-executive directors[118]. Connected Transactions - The Group entered into a New Chassis Supply Agreement with Qingling Group for the supply of modified vehicle chassis and related components, effective from January 1, 2023, to December 31, 2025, with a transaction amount of approximately RMB204,269,000 during the year[141]. - The Group established New Parts Supply Agreements with Qingling Group and its subsidiaries, with total amounts for automobile parts purchases as follows: RMB112,256,000 from Qingling Group, RMB14,771,000 from Chongqing Qingling Aluminium Casting, and RMB9,091,000 from Chongqing Qingling Casting[144][145]. - The pricing for automobile parts provided to the Company is based on actual or reasonable costs plus a profit margin not exceeding 8% or market price, whichever is lower[143]. - The total amount for continuing connected transactions with Qingling Group and its subsidiaries reflects the Group's reliance on these relationships for parts and services[141]. - The agreements highlight the strategic partnerships that the Group has developed within the automotive industry, particularly with key players like Qingling Group and Isuzu[140]. Assets and Liabilities - As of 31 December 2024, total assets amounted to RMB10,183,928,000, while total liabilities were RMB2,663,823,000[79]. - Non-current assets were valued at RMB4,568,427,000, primarily consisting of property, plant, and equipment[79]. - Current assets totaled RMB5,615,501,000, mainly including inventories and trade receivables[80]. - Current liabilities were RMB2,657,623,000, primarily comprising trade payables and tax liabilities[80]. - The gearing ratio increased to 35.42% as of December 31, 2024, up from 29.04% in 2023, indicating a higher proportion of total liabilities to total equity[86]. Environmental and Quality Management - The Group is committed to environmental protection, energy conservation, and emission reduction, integrating these principles into production activities[59]. - The Company has implemented strict quality management practices to ensure the quality of automotive products and parts, prohibiting substandard products from assembly[62]. - The Group has made significant investments in environmental protection facilities and pollution prevention measures[61]. - The Company has adhered to relevant laws and regulations regarding intellectual property protection and consumer rights[62].

Financial Performance - Revenue for the year ended December 31, 2024, increased to RMB 4,123,733 thousand, representing a growth of 14.6% compared to RMB 3,596,535 thousand in 2023[3] - Gross profit for the same period was RMB 270,852 thousand, up 21.2% from RMB 223,354 thousand in 2023[3] - The company reported a net loss of RMB 47,772 thousand for 2024, slightly higher than the loss of RMB 45,407 thousand in 2023[3] - The pre-tax loss for the group was RMB 35,213,000 for the year ending December 31, 2024, compared to a loss of RMB 47,252,000 in the previous year, showing an improvement of approximately 25.5%[15][16] - The company reported a post-tax loss of approximately RMB 48 million for the fiscal year, compared to a post-tax loss of about RMB 45 million in the previous year[33] - The gross profit for the year was RMB 270,852,000, up 21.27% year-on-year, resulting in a gross margin of 6.57%, compared to 6.21% last year[38] Assets and Liabilities - Total assets as of December 31, 2024, were RMB 7,526,305 thousand, a decrease from RMB 7,760,948 thousand in 2023[6] - The company’s equity attributable to owners decreased to RMB 7,342,706 thousand in 2024 from RMB 7,397,803 thousand in 2023[6] - The total assets of the group as of December 31, 2024, were RMB 10,183,928,000, an increase from RMB 9,984,490,000 in the previous year, reflecting a growth of about 2%[17][18] - The total liabilities of the group as of December 31, 2024, were RMB 2,663,823,000, compared to RMB 2,247,229,000 in the previous year, indicating an increase of approximately 18.5%[17][18] - The group’s current assets net value was RMB 2,957,878,000, a decrease of 6.19% compared to RMB 3,152,901,000 in 2023[42] Revenue Breakdown - Revenue from the sale of light commercial vehicles reached RMB 1,758,008,000, up 14.9% from RMB 1,529,085,000 in the previous year[8] - Sales of medium and heavy vehicles increased significantly to RMB 926,377,000, a rise of 31.7% from RMB 703,503,000 in 2023[8] - Revenue from automotive parts and other components surged to RMB 392,676,000, representing a 45.3% increase from RMB 270,346,000 in the prior year[8] - Revenue contributions from light commercial vehicles and medium and heavy-duty vehicles were RMB 2,210,778,000 and RMB 938,910,000, respectively, accounting for 76.38% of total revenue[47] Research and Development - Research expenses rose to RMB 185,774 thousand in 2024, compared to RMB 177,802 thousand in 2023, indicating a focus on innovation[3] - Research expenses for the group amounted to RMB 185,774,000 for the year ending December 31, 2024, compared to RMB 177,802,000 in the previous year, indicating a slight increase in investment in R&D[15][16] Cash Flow and Equivalents - Cash and cash equivalents decreased to RMB 688,304 thousand in 2024 from RMB 1,027,775 thousand in 2023[5] - The group held cash and cash equivalents of RMB 2,956,373,000, an increase of 17.59% from the previous year's balance[43] Shareholder Information - The company has a total of 1,243,616,403 domestic shares, accounting for approximately 50.10% of the issued share capital[59] - Foreign shares (H-shares) total 1,238,651,865, representing about 49.90% of the issued share capital[59] - The major shareholder, Qingling Motors (Group) Co., Ltd., holds 100% of the domestic shares, which is 50.10% of the total issued capital[59] Corporate Governance - The company emphasizes high standards of corporate governance to enhance investor confidence and protect shareholder interests[62] - The board of directors consists of 11 members, including 7 executive directors and 4 independent non-executive directors[65] - The company has adopted the standard code for securities transactions by directors and supervisors, confirming compliance for the year ended December 31, 2024[63] Market Strategy - The company continues to focus on expanding its market presence and enhancing product offerings through ongoing research and development initiatives[8] - The company plans to accelerate the diversification of overseas markets and strengthen core markets in 2025[36] - The company aims to increase the export of components and finished products, with a focus on expanding its market share[36] Other Financial Metrics - Total employee costs, including directors' and supervisors' remuneration, increased to RMB 340,976,000 in 2024 from RMB 326,811,000 in 2023, reflecting a growth of about 4.3%[20] - The company did not declare or recommend any dividends for the years ending December 31, 2024, and 2023[24] - The company has no holdings of any treasury shares as of December 31, 2024[61]

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 2,112,181 thousand, representing an increase of 9.2% compared to RMB 1,933,895 thousand for the same period in 2023[6] - Gross profit decreased to RMB 147,340 thousand, down 12.0% from RMB 167,617 thousand in the previous year[7] - The company reported a net loss of RMB 8,142 thousand for the period, compared to a profit of RMB 12,024 thousand in the same period last year[6] - The company’s basic loss per share was RMB (0.50), compared to earnings of RMB 0.28 per share in the previous year[8] - The overall gross profit for the group was reported as a loss of RMB 11,571 thousand, compared to a loss of RMB 79,517 thousand in the previous period, showing an improvement[31] - The company reported a loss attributable to equity holders of RMB 12.29 million, compared to a profit of RMB 6.92 million in the same period last year, indicating a shift from profit to loss[93] Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 7,744,311 thousand, slightly down from RMB 7,760,948 thousand at the end of 2023[11] - Current liabilities increased to RMB 2,639,489 thousand from RMB 2,223,542 thousand at the end of 2023, indicating a significant rise in short-term obligations[11] - The company’s total liabilities as of June 30, 2024, amount to RMB 7,744,311, compared to RMB 7,760,948 as of December 31, 2023[12] - The company’s total liabilities increased to RMB 2,432,921 thousand from RMB 1,775,320 thousand, marking a 37% increase[61] - The company’s debt-to-equity ratio increased to 34.35% as of June 30, 2024, compared to 29.04% at the end of 2023[95] Cash Flow and Investments - The net cash used in operating activities for the six months ended June 30, 2024, is RMB (49,577), compared to RMB (599,636) for the same period in 2023[15] - The company reported a decrease in cash and cash equivalents of RMB (8,477) for the six months ended June 30, 2024, compared to a decrease of RMB (217,673) in the same period of 2023[18] - The net cash generated from investing activities for the six months ended June 30, 2024, is RMB 49,572, a significant decrease from RMB 388,254 in the previous year[17] - The company has confirmed compliance with conditions for subsidies related to hydrogen fuel cell vehicle projects as of June 30, 2024[54] Sales and Revenue Breakdown - Revenue from customer contracts, excluding exports to foreign countries, is RMB 181,712,000 for the six months ended June 30, 2024, compared to RMB 51,974,000 for the same period in 2023[21] - Sales of light commercial vehicles amounted to RMB 902,670 thousand, up from RMB 807,520 thousand, reflecting a growth of about 11.8%[22] - Sales of medium and heavy vehicles increased significantly to RMB 511,302 thousand from RMB 381,095 thousand, marking a growth of approximately 34.2%[22] - Sales of automotive parts and components rose to RMB 171,825 thousand, compared to RMB 129,720 thousand, indicating a growth of around 32.4%[22] - Sales of pickup trucks decreased to RMB 227,963 thousand from RMB 368,470 thousand, a decline of approximately 38.1%[22] Research and Development - The company is focusing on enhancing its research and development efforts, with research expenses reported at RMB 79,517 thousand, slightly down from RMB 83,632 thousand[7] - Research and development (R&D) expenditure intensity reached 3.76% in the first half of 2024, with ongoing development of key new products in the new energy vehicle sector[91] Employee and Management Costs - The total employee costs, including directors' remuneration, for the six months ended June 30, 2024, were RMB 156,909,000, compared to RMB 154,924,000 for the same period in 2023, reflecting an increase of approximately 1.3%[42] - The total remuneration for directors, supervisors, and key management personnel was RMB 2,576,000, a decrease of 12.5% from RMB 2,944,000 in the previous year[87] Corporate Governance and Compliance - The company has adhered to the corporate governance code as per the listing rules during the reporting period[107] - The interim results for the six months ending June 30, 2024, were not audited but reviewed by the company's auditors[110] - The company will issue its 2024 interim report containing all financial data as required by listing rules[113] Market Presence and Future Outlook - The company continues to focus on enhancing its product offerings and expanding its market presence in the automotive sector[29] - The company aims to enhance marketing capabilities and accelerate the launch of new energy products in the second half of 2024[92]

Financial Performance - For the six months ended June 30, 2024, the company reported revenue of RMB 2,112,181 thousand, an increase of 9.2% compared to RMB 1,933,895 thousand in the same period of 2023[1]. - Gross profit for the same period was RMB 147,340 thousand, down 12.1% from RMB 167,617 thousand year-over-year[1]. - The company recorded a net loss attributable to equity holders of RMB 12,290 thousand, compared to a profit of RMB 6,915 thousand in the prior year[2]. - Basic loss per share was RMB 0.50, compared to earnings per share of RMB 0.28 in the previous year[2]. - Other income for the six months ended June 30, 2024, was RMB 136,709,000, contributing positively to the overall financial performance[14]. - The company reported a basic loss per share of RMB (12,290) for 2024, compared to a profit of RMB 6,915 for 2023, indicating a significant decline in profitability[28]. - The company's gross profit for the period was RMB 147.34 million, a decrease of 12.10% compared to the same period last year, resulting in a gross margin of 6.98%, down from 8.67%[39]. Revenue Breakdown - Total revenue for the six months ended June 30, 2024, reached RMB 2,112,181,000, an increase from RMB 1,933,895,000 for the same period in 2023, representing a growth of approximately 9.2%[9]. - Sales of light commercial vehicles amounted to RMB 902,670,000, up from RMB 807,520,000, reflecting a growth of about 11.8% year-over-year[9]. - Sales of medium and heavy vehicles increased significantly to RMB 511,302,000 from RMB 381,095,000, marking a growth of approximately 34.2%[9]. - The sales of pickup trucks decreased to RMB 227,963,000 from RMB 368,470,000, indicating a decline of about 38.1%[9]. - Revenue from automotive parts and components rose to RMB 171,825,000, compared to RMB 129,720,000, showing an increase of approximately 32.4%[9]. - The group's revenue contributions from light commercial vehicles and chassis, and medium and heavy vehicles and chassis were RMB 1,193,907,000 and RMB 518,486,000, respectively, accounting for 81.07% of total revenue[43]. Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 7,744,311 thousand, slightly down from RMB 7,760,948 thousand as of December 31, 2023[4]. - Non-current assets increased to RMB 4,769,134 thousand from RMB 4,608,047 thousand year-over-year[3]. - Current liabilities rose to RMB 2,639,489 thousand from RMB 2,223,542 thousand as of December 31, 2023[4]. - The company’s cash and cash equivalents were RMB 1,011,837 thousand, a slight decrease from RMB 1,027,775 thousand at the end of 2023[3]. - The total assets of the company as of June 30, 2024, were RMB 10.384 billion, with total liabilities amounting to RMB 2.655 billion[40]. - The company's equity attributable to shareholders was RMB 7,385,513,000, with a net asset value per share of RMB 2.98[41]. Research and Development - The company plans to continue focusing on research and development to enhance product offerings and market expansion strategies[1]. - Research expenses totaled RMB 79,517,000, reflecting the company's investment in innovation and development[14]. - The company’s R&D investment intensity reached 3.76% in the first half of the year, focusing on the development of new energy vehicles and traditional fuel vehicle core products[37]. Market and Sales Strategy - The group anticipates continued growth in the light commercial vehicle segment, driven by market expansion strategies and new product developments[14]. - The company aims to ensure the completion of its annual sales target and enhance marketing capabilities in the second half of the year[38]. - The company plans to strengthen product quality assurance and enhance supervision and inspection to ensure stable quality control of components and vehicles[38]. Employee and Governance - The company employed 2,747 staff, with total labor costs amounting to RMB 156,909,000 for the six months ended June 30, 2024[47]. - The board of directors consists of eleven members, including seven executive directors and four independent non-executive directors[56]. - The company emphasizes high standards of corporate governance to enhance investor confidence and protect shareholder rights[52]. - As of June 30, 2024, the company has complied with the corporate governance code as per the listing rules[52]. Dividends and Share Capital - The company did not declare any interim dividends for the current period, consistent with the previous period where no dividends were declared[27]. - The company did not declare an interim dividend for the six months ended June 30, 2024[46]. - The company's total issued share capital was 2,482,268,268 shares, with domestic shares accounting for approximately 50.10% and H shares for approximately 49.90%[48]. Other Financial Information - The company recognized government grants related to innovation development projects amounting to RMB 10,870,000 for the six months ended June 30, 2024[23]. - The company’s current tax expense for 2024 is RMB 3,441,000, compared to RMB 3,273,000 for 2023, reflecting an increase of approximately 5.1%[24]. - The deferred tax expense for 2024 is RMB 557,000, a significant recovery from a deferred tax expense of RMB (10,360,000) in 2023[24]. - The group had no significant acquisitions or disposals during the six months ended June 30, 2024[42]. - The group had no assets pledged for financing as of June 30, 2024[44]. - The company had no purchases, redemptions, or sales of its listed securities during the six months ended June 30, 2024[51]. - The interim financial results for the six months ending June 30, 2024, have been reviewed by the company's auditors according to the relevant standards[54]. - The company will distribute its interim report containing all financial information as required by the listing rules to shareholders and publish it on its website[55].

Financial Performance - Revenue for 2023 was approximately RMB3,597 million, a 10.73% increase from RMB3,248 million in 2022[17][20] - The company recorded a loss after tax of approximately RMB45.41 million in 2023, compared to a loss of RMB4.98 million in 2022[17][20] - Revenue for the year ended December 31, 2023, was RMB 3,596,535,000, an increase of 10.73% compared to the previous year, primarily due to increased sales volume[93] - Gross profit for the year was RMB 223,354,000, a significant increase of 93.96% compared to the previous year, with a gross profit margin of 6.21%[93] - Loss after tax for the year was RMB 45,407,000, an increase of 811.24% compared to the previous year[93] - Other income, including government grants, interest income, and rental income, totaled RMB 295,743,000, a decrease of 23.26% compared to the previous year[93] - The Group's expenses, including distribution, selling, administrative, and research expenses, increased by 7.08% compared to the previous year[93] - The Group's share of results from joint ventures was RMB 2,504,000, a decrease of 75.28% compared to the previous year, mainly due to reduced profits from Isuzu (China) Engine Co., Ltd[93] - As of December 31, 2023, the Group's cash and cash equivalents, including time deposits and bank deposits, were RMB 2,514,070,000, a decrease of 35.35% compared to the previous year[95] - The Group's capital-to-debt ratio as of December 31, 2023, was 29.04%, down from 32.92% the previous year[95] - The Group's profit available for distribution to shareholders as of December 31, 2023, was retained profit of approximately RMB 1,171,767,000[99] - Total assets of the Group as of 31 December 2023 were RMB9,984,490,000, while total liabilities were RMB2,247,229,000[108] - Net current assets decreased by 27.47% to RMB3,152,901,000 in 2023, primarily due to the liquidity classification of time deposits[108] - The Group's gearing ratio as of 31 December 2023 was 29.04%, down from 32.92% in 2022[114] - Total equity attributable to owners of the Company as of 31 December 2023 was RMB7,397,803,000, with a net asset value per share of RMB2.98[112][115] - Time deposits, bank deposits, and cash equivalents due within one year decreased by 35.35% to RMB2,514,070,000 in 2023[114] - The Group's interests in joint ventures and associates were RMB481,423,000 and RMB44,362,000 respectively as of 31 December 2023[116] - Non-current assets amounted to RMB4,608,047,000, primarily consisting of property, plant, and equipment, right-of-use assets, and investment properties[108] - Current liabilities totaled RMB2,223,542,000, mainly comprising trade payables, tax liabilities, and contract liabilities[108] - Non-current liabilities were RMB23,687,000, including lease liabilities and deferred income from government grants[108] - The Group's working capital requirements were financed by its own cash flow, with no shares issued during the year[114] Sales and Production - The company sold 31,089 vehicles in 2023, a 7.75% increase from 28,853 vehicles sold in 2022[17][20] - Overseas sales accounted for approximately 2.59% of the company's total turnover in 2023[8] - The company achieved stable mass production of electric vehicles, pick-up trucks, and light trucks, and upgraded fuel vehicle technology to meet China VI-B Emission Standard four years ahead of schedule[1][2] - The company completed the development of 8.9T and 18T environmental sanitation chassis and pre-research of 4K hybrid engines[14][15] - The company's overseas export sales accounted for approximately 2.59% of the total annual revenue[37] - The company entered into a hydrogen-powered modules supply agreement with Bosch, with a transaction amount of approximately RMB112,921,000 in 2023[24] - The company entered into a new sales joint venture supply agreement with Qingling Isuzu Sales, with a transaction amount of approximately RMB 82,337,000 for the year[28] - The company signed a new hydrogen power module supply agreement with Bosch, with a transaction amount of approximately RMB112,921,000 for the year[187] - The company entered into agreements with Isuzu for the production and sales of 600P, 100P, and TF/UC series vehicles, with license fees of JPY2,000 per 600P vehicle, JPY1,500 per 100P vehicle, and JPY1,500 per TF/UC vehicle, totaling approximately RMB1,828,000 for the year[194] - The company's 3XCAB agreement with Isuzu involves a royalty fee of 3% of the on-site added value per vehicle and a trademark usage fee of JPY2,000 per vehicle, with total transactions amounting to approximately RMB18,000 for the year[194] Strategic Initiatives - The company implemented a "5+5" system to support and ensure the daily operation of its marketing and export capabilities[3] - The company plans to focus on cost reduction and product value enhancement, targeting both traditional fuel vehicles and new energy vehicles, while optimizing after-sales services[31] - The company aims to strengthen product innovation through platformization, modularization, and standardization, focusing on competitive advantages in the post-subsidy era and localizing product specifications for the domestic heavy-duty vehicle market[32] - The company's 2024 strategy includes leveraging domestic economic recovery, accelerating new energy transformation, and expanding into overseas markets, with a focus on new technologies and high cost-performance products[46] - Enhanced production system with a focus on business sense, issue resolution, and progress through improved delivery, inventory reduction, cost reduction, quality improvement, and efficiency enhancement[69] - Strengthened procurement system with refined control over components and suppliers, aiming to reduce inventory, lower costs, improve quality, and increase efficiency[69] - Continuous review and improvement of product quality and customer satisfaction from the customer's perspective[69] Environmental and Sustainability - The Group is committed to environmental protection, energy-saving, emission reduction, and the integrated use of resources, adopting these principles in its production and operating activities[62] - The Group emphasizes environmental protection, implementing measures such as resource recycling, energy-saving, and emission reduction to produce environmentally-friendly products[83] - The Group faces challenges from the global economic and political landscape, domestic economic transformation, and the automotive industry's green and low-carbon transition[89] Corporate Governance - The Supervisory Committee reviewed the Company's financial statements and found no issues, confirming compliance with relevant rules and regulations[57] - The Supervisory Committee is satisfied with the Company's performance and economic results, expressing confidence in its future development[57] - The Company's financial statements and Directors' Report were carefully examined by the Supervisory Committee, with no evidence of malpractice by the chairman, directors, managers, or senior management[57] - All executive and independent non-executive directors will renew or enter into three-year service contracts or appointment letters at the 2024 annual general meeting[145] - The Company has received annual confirmation of independence from each independent non-executive director[147] - No directors, supervisors, or chief executives had any interests or short positions in shares or debentures of the Company or its associated corporations as of 31 December 2023[148] - The Company has adopted a dividend policy that considers financial performance, overall business conditions, and regulatory restrictions[155] - The Remuneration Committee, composed of one executive director and four independent non-executive directors, sets the emolument policy based on merit, qualifications, and competence[156] - No significant transactions, arrangements, or contracts involving directors or supervisors with material interests were entered into during the year[150] - The Company has no arrangements for directors or supervisors to purchase shares or debentures that would benefit them[144] Connected Transactions - The Group had continuing connected transactions with Qingling Group and its subsidiaries, including Chongqing Qingling Casting Company Limited, Chongqing Qingling Forging Co. Ltd., and others, with Qingling Group holding 50.10% and Isuzu holding 20.00% of the issued share capital as of 31 December 2023[160] - The New Chassis Supply Agreement with Qingling Group for the supply of automobile chassis and related components amounted to RMB105,832,000 during the year[160] - New parts supply agreements were established with Qingling Group and its subsidiaries, with prices based on actual or reasonable costs plus a profit margin not exceeding 8% or market prices, whichever is lower[161] - Purchase of automobile parts from Qingling Group amounted to approximately RMB149,741,000[163] - Purchase of automobile parts from CQACL amounted to approximately RMB8,861,000[163] - Purchase of automobile parts from CQCC amounted to approximately RMB9,948,000[163] - Purchase of automobile parts from CQFC amounted to approximately RMB17,743,000[163] - Purchase of automobile parts from CQAC amounted to approximately RMB260,976,000[163] - Purchase of automobile parts from CQNHK amounted to approximately RMB39,239,000[163] - Purchase of automobile parts from CQPC amounted to approximately RMB45,524,000[163] - Provision of consolidated services to CQFC amounted to approximately RMB1,585,000[163] - Leasing of machineries to CQAC amounted to approximately RMB383,000[163] - New Qingling Group Moulds Supply Agreement established with a profit margin not exceeding 8%[164][165] - The company entered into a new autoparts and materials agreement with Qingling Autoparts Companies, with a transaction amount of approximately RMB29,936,000 for the year[185] - The company entered into a new supply agreement with Qingling Moulds, with purchase amounts of approximately RMB52,186,000, sales amounts of approximately RMB867,000, and consolidated service revenue of approximately RMB1,364,000 for the year[188] - The company signed a new supply agreement with Isuzu, with a transaction amount of approximately RMB2,896,000 for the year[191] - The company signed a new supply agreement with IEC for engine parts and raw materials, with purchase amounts of approximately RMB603,786,000 and sales amounts of approximately RMB256,567,000 for the year[197] - The company leased equipment to IEC, generating approximately RMB21,720,000 in rental income for the year[197] - The company leased land and factory premises to IEC, resulting in rental income of approximately RMB4,210,000 for the year[198] Shareholder Information - Number of shareholders recorded as of 31 December 2023 is 162[135] - Qingling Motors (Group) Company Limited holds 1,243,616,403 domestic shares, representing 50.10% of the total share capital[154] - Isuzu Motors Limited holds 496,453,654 H shares, representing 20.00% of the total share capital[154] Investments and Expansion - The Group incurred approximately RMB117,347,000 on acquisition of property, plant and equipment for expansion of its production facilities[88] - The Group invested approximately RMB 117,347,000 in property, plant, and equipment to expand production facilities during the year[106] Industry and Market Conditions - The global economic and political situation is complex and volatile, with China's automotive industry entering a new stage of development characterized by slower growth, a shift from volume to quality, and increased competition in sales, profits, and technology[64]

Financial Performance - The company's revenue for the year ended December 31, 2023, was RMB 3,596,535 thousand, representing a 10.7% increase from RMB 3,248,080 thousand in 2022[19] - The gross profit for the year was RMB 223,354 thousand, compared to RMB 115,157 thousand in the previous year, indicating a significant improvement in profitability[2] - The basic loss per share for the year was RMB 7 (0.02) compared to RMB 0.01 in 2022, reflecting a deterioration in earnings performance[2] - The company incurred a loss before tax of RMB 47,252 thousand, compared to a loss of RMB 39,619 thousand in 2022, highlighting ongoing financial challenges[4] - The company reported a pre-tax loss of RMB 47,252,000, with significant losses in the light commercial vehicle segment amounting to RMB 26,024,000[54] - The company reported a net loss of approximately RMB 450 million for the year, compared to a net loss of approximately RMB 50 million in the previous year[147] - The group's after-tax loss was RMB 45,407,000, an increase of 811.24% compared to last year[182] Asset and Equity Position - Total assets decreased to RMB 7,760,948 thousand from RMB 7,818,483 thousand in 2022, indicating a slight contraction in the asset base[8] - The net current assets decreased to RMB 3,152,901 thousand from RMB 4,346,882 thousand, showing a decline in liquidity[7] - The company reported a total equity of RMB 7,737,261 thousand, down from RMB 7,785,997 thousand in the previous year, reflecting a decrease in shareholder value[12] - Total assets amounted to RMB 9,984,490,000, while total liabilities were reported at RMB 2,247,229,000[65] - The group's equity attributable to shareholders as of December 31, 2023, was RMB 7,397,803,000, with a net asset value per share of RMB 2.98[190] Revenue Breakdown - Total revenue for the year ended December 31, 2023, was RMB 3,596,535,000, with significant contributions from light commercial vehicles (RMB 1,975,295,000), pickup trucks (RMB 628,739,000), and medium and heavy trucks (RMB 722,155,000) [30] - Sales of light commercial vehicles increased to RMB 1,529,085 thousand from RMB 1,344,581 thousand, showing strong demand in this segment[19] - Sales of pickup trucks rose to RMB 625,600 thousand from RMB 478,749 thousand, indicating growth in this category[19] - The total revenue recognized from inventory costs amounted to RMB 3,373,181,000 in 2023, compared to RMB 3,132,923,000 in 2022[108] Operational Segments - The company’s operational segments include light commercial vehicles, pickup trucks, medium and heavy trucks, and auto parts, with performance evaluated based on these categories [52] - The company reported a significant increase in non-current assets located in China, valued at RMB 1,978,965,000, compared to RMB 1,918,804,000 in the previous year[107] - The company has invested RMB 80,699,000 in property, plant, and equipment, demonstrating ongoing capital expenditures[79] Research and Development - Research expenses totaled RMB 177,802,000, indicating a focus on innovation and development[54] - The company successfully launched three new products: EV vehicles, pickups, and light trucks, achieving stable production and timely market entry[148] - The company upgraded its fuel vehicle technology to meet the National VI B emission standards four years ahead of schedule, with R&D on fuel consumption for light, heavy, and pickup trucks substantially completed[148] - The company aims to enhance product innovation through platformization and standardization, focusing on the domestic heavy-duty vehicle market[180] Financial Management - The company plans to continue focusing on product development and market expansion to improve future performance[17] - The company will continue to monitor financial and liquidity conditions to formulate suitable financing strategies[160] - The company has structured installment payment contracts with customers, with a fixed term of 5 years, determining revenue based on fair value or agreed prices[116] Market Performance - The total sales volume in the domestic automobile market reached approximately 30.09 million vehicles in 2023, setting a historical record[124] - The company achieved a total vehicle sales volume of 31,089 units for the year ending December 31, 2023, representing a 7.75% increase from 28,853 units in the previous year[147] Other Financial Metrics - Other income reported was RMB 295,405,000, with net other gains and losses of RMB 13,705,000 [37][38] - The company incurred financial costs of RMB 4,717,000 during the reporting period [39] - The company recorded a deferred tax benefit of RMB 20.623 million for the year, down from RMB 28.540 million in the previous year[137] - The company's accounts receivable, net of credit loss provisions, increased to RMB 271,184,000 in 2023 from RMB 116,900,000 in 2022[114] - The company did not declare or pay any dividends for the year 2023, maintaining the same stance as in 2022[112]

Revenue and Profitability - Revenue for the six months ended June 30, 2023, was RMB 1,933,895 thousand, a slight increase from RMB 1,917,823 thousand in the same period of 2022, representing a growth of 0.84%[8] - Gross profit decreased to RMB 167,617 thousand from RMB 175,187 thousand, reflecting a decline of 4.3% year-over-year[8] - Profit before tax significantly dropped to RMB 4,933 thousand compared to RMB 27,369 thousand in the previous year, marking an 81.9% decrease[8] - Net profit attributable to equity holders was RMB 6,915 thousand, down from RMB 28,947 thousand, indicating a decline of 76.1%[8] - Basic earnings per share fell to RMB 0.28 from RMB 1.17, a decrease of 76.1%[8] - The total revenue for the six months ended June 30, 2023, was RMB 7,739,697 thousand, compared to RMB 7,798,021 thousand for the same period in 2022, indicating a slight decline of 0.8%[44] - The net profit for the period was RMB 28,947 thousand, compared to a loss of RMB 273,050 thousand in the previous period, showing a significant turnaround[44] Assets and Liabilities - Total assets as of June 30, 2023, were RMB 7,826,213 thousand, slightly up from RMB 7,818,483 thousand at the end of 2022[11] - Current assets decreased to RMB 5,093,162 thousand from RMB 3,471,601 thousand, reflecting a significant increase[21] - Total liabilities decreased to RMB 7,826,213 thousand from RMB 7,818,483 thousand, indicating a marginal reduction[42] - Current liabilities decreased to RMB 1,813,305 thousand from RMB 1,973,545 thousand, a reduction of about 8.1%[41] - Total liabilities were RMB 2,563,179,000, with segment liabilities for light commercial vehicles at RMB 451,127,000[98] Cash Flow and Investments - Cash and cash equivalents were RMB 750,112 thousand, down from RMB 972,924 thousand, a decrease of 22.8%[21] - The company reported a net cash inflow from investing activities of RMB 388,254 thousand, compared to a net outflow of RMB 552,270 thousand in the previous period[28] - The company reported a significant increase in cash flow from operating activities, reflecting improved operational efficiency[52] - Cash and cash equivalents decreased to RMB 750,112 thousand from RMB 1,294,668 thousand, a decline of approximately 42%[47] Sales Performance - Sales of light commercial vehicles were RMB 807,520,000, slightly down from RMB 807,647,000 in the previous year, indicating a marginal decline of 0.02%[67] - Sales of pickup trucks increased significantly to RMB 368,470,000, up from RMB 257,992,000, reflecting a growth of approximately 42.9%[67] - Sales of medium and heavy trucks rose to RMB 381,095,000 from RMB 274,339,000, marking an increase of about 38.8%[67] - Sales of chassis decreased to RMB 247,090,000 from RMB 449,542,000, showing a decline of approximately 45.0%[67] - Sales of automotive parts and components were RMB 129,720,000, a slight increase from RMB 128,303,000, representing a growth of about 1.1%[67] Research and Development - Research and development expenses for the period were RMB 83,632,000, indicating a focus on innovation[93] Corporate Governance and Taxation - The company continues to enjoy a preferential corporate income tax rate of 15% due to its operations in encouraged industries in the western region of China, with over 60% of its revenue coming from these industries[106] - The company reported a corporate income tax rate of 25% for the six months ended June 30, 2023, consistent with the same period in 2022[143] Dividends and Shareholder Returns - The company has decided not to declare an interim dividend for the six months ended June 30, 2023, consistent with the previous year[125] - The company did not declare or propose any dividends for the six months ended June 30, 2023, compared to RMB 273,050,000 or RMB 0.11 per share for the same period in 2022[145] Related Party Transactions - The company engaged in transactions with related parties, selling chassis to Chongqing Qingling Special Vehicle Co., Ltd. for RMB 58,656,000, down from RMB 119,171,000 in the previous year[166] - The total amount due from related parties, including the Qiangling Group and its subsidiaries, was RMB 105,452 thousand, down 74.2% from RMB 408,420 thousand[185] Employee Costs - Employee benefits expenses totaled RMB 134,988,000, slightly down from RMB 138,854,000 in the previous period[101] - The company’s employee costs, including directors and supervisors' remuneration, were RMB 154,924,000 for the six months ended June 30, 2023[119]

Financial Performance - The company's gross profit for the first half of 2023 was RMB 167,617,000, a decrease from RMB 175,187,000 in the same period of 2022, representing a decline of approximately 3.3%[3]. - Total revenue for the first half of 2023 was RMB 1,933,895,000, compared to RMB 1,917,823,000 in the same period of 2022, indicating a slight increase of about 0.8%[22]. - The net profit for the first half of 2023 was RMB 12,024,000, significantly down from RMB 34,584,000 in the same period of 2022, reflecting a decrease of approximately 65.3%[4]. - Basic earnings per share for the first half of 2023 were RMB 0.08, compared to RMB 1.17 in the same period of 2022, marking a decline of about 93.2%[6]. - The group's profit and total comprehensive income for the period was RMB 12 million, a decrease of 65.23% year-on-year[129]. Assets and Liabilities - The company's total non-current assets as of June 30, 2023, were RMB 5,093,162,000, an increase from RMB 3,471,601,000 as of December 31, 2022, representing a growth of approximately 46.7%[26]. - The company's total liabilities as of June 30, 2023, were RMB 1,813,305,000, a decrease from RMB 1,973,545,000 as of December 31, 2022, indicating a reduction of approximately 8.1%[9]. - Total assets as of June 30, 2023, were RMB 9,924.15 million, while total liabilities were RMB 2,126.13 million[134]. - The group reported total payables of RMB 1,813,305,000 as of June 30, 2023, down from RMB 1,973,545,000 at the end of December 2022[127]. Revenue Breakdown - Revenue from light commercial vehicles was RMB 807,520 thousand, slightly down from RMB 807,647 thousand[38]. - Revenue from pickup trucks increased significantly to RMB 368,470 thousand from RMB 257,992 thousand, representing a growth of approximately 42.9%[38]. - Revenue from medium and heavy trucks rose to RMB 381,095 thousand from RMB 274,339 thousand, marking an increase of about 38.8%[38]. - The contribution of light commercial vehicles and chassis to revenue was RMB 1,043.38 million, accounting for 74.08% of total revenue[157]. Cash Flow and Expenses - Cash and cash equivalents decreased to RMB 750,112,000 as of June 30, 2023, down from RMB 972,924,000 at the end of 2022, a decline of about 22.8%[26]. - The company reported a net cash outflow from operating activities of RMB 40,551,000 for the year 2022, compared to a net inflow of RMB 526,746,000 in the previous year[21]. - Research expenses for the first half of 2023 were RMB 83,632,000, down from RMB 99,457,000 in the same period of 2022, reflecting a decrease of about 15.9%[3]. - Employee costs for the first half of 2023 amounted to RMB 154.92 million, with a total workforce of 2,856 employees[141]. Strategic Initiatives - The company plans to focus on expanding its market presence and investing in new product development to drive future growth[7]. - The company plans to accelerate the development of new pickup truck models and two new light truck models, as well as expand into overseas markets[105]. - The company is committed to adhering to the conditions of hydrogen fuel cell vehicle subsidies and innovation development project funding as of June 30, 2023[193]. - The company is accelerating the advancement of 152 major projects[195]. Compliance and Governance - The group continues to comply with the Hong Kong Financial Reporting Standards, ensuring accurate financial reporting[32]. - The company confirmed compliance with the corporate governance code and has not deviated from the standards set for securities trading by its directors and supervisors[167]. Market Performance - In the first half of 2023, commercial vehicle sales reached 1.97 million units, a year-on-year increase of 15.8%[130]. - The group exported approximately RMB 51,974,000 worth of products to countries outside of China, compared to RMB 31,080,000 for the six months ended June 30, 2022[55]. - The group sold 17,762 vehicles in the six months ended June 30, 2023, representing a year-on-year increase of 1.06%[129].

Financial Performance - For the year ended December 31, 2022, the Company sold 28,853 vehicles, representing a decrease of 34.24% compared to 43,876 vehicles sold in the previous year[25]. - Revenue for the year was RMB3,248 million, a decrease of 32.73% from RMB4,828 million recorded in the previous year[25]. - The Company recorded a loss after tax of RMB5 million for the year, a significant decline from a profit after tax of RMB331 million in 2021, representing a decrease of 101.51%[25]. - Gross profit for the year was RMB115,157,000, representing a decrease of 79.23%, with a gross profit margin of 3.55% compared to 11.48% last year[1]. - The Group recorded a loss after tax of RMB4,983,000 for the year, a decrease of 101.51% compared to the profit after tax for the year ended December 31, 2021[1]. - Other income totaled RMB385,405,000, a decrease of 16.82% compared to the previous year[1]. - The Group's expenses decreased by 28.38% compared to last year, including distribution and selling costs, administrative expenses, and research expenses[1]. Market and Economic Outlook - The 2022 Central Economic Work Conference indicated that while challenges remain, China's economy is expected to rebound in 2023, presenting both challenges and opportunities for the automotive industry[31]. - The government work report in 2023 emphasizes stabilizing mass consumption and promoting recovery in life service consumption, signaling support for the automobile industry's high-quality development[35]. - The Company faced multiple challenges in 2022, including pandemic-related disruptions and supply chain issues, but managed to maintain stable marketing channels and teams[12][10]. - The domestic commercial vehicle market is experiencing a decline in sales due to overall demand reduction, impacting the Group's sales and profitability[81]. - The competition in the domestic commercial vehicle market may worsen due to the prolonged economic downturn, further affecting the Group's sales[81]. Strategic Initiatives and Innovations - The Company independently completed the R&D of a 2.5L high-performance engine and compliant blue-brand light truck, and made advancements in four-stage fuel consumption technology[26]. - The introduction of automatic transmission across all series of models and comprehensive product upgrades were achieved, enhancing the cost performance ratio of independent products[26]. - The Company is rapidly advancing in the pure electric vehicle sector and developing in the hydrogen fuel cell vehicle industry, showcasing improvements in technical capabilities of key assemblies[26]. - The Company aims to enhance internal management and integrate support for marketing, ensuring production capability, quality stability, and delivery assurance[34]. - The Company is focused on innovation-driven strategies, improving EV technology, performance, and cost competitiveness, while also accelerating the development of hydrogen-powered vehicles[33]. - The Company plans to improve EV technology, performance, and cost competitiveness while launching hydrogen-powered vehicles and developing strategically new industries[57]. Operational Efficiency and Management - The Company aims to enhance market awareness among all employees and improve efficiency through marketing organization reforms, focusing on new energy vehicles and heavy vehicles sales[36]. - In the new year, the company plans to strengthen key products, improve performance, reduce costs, and ensure delivery with clear objectives and responsibilities[37]. - The Group has adopted stringent quality control measures in the production of automobile products to ensure compliance with national quality laws[78]. - The Group's commitment to environmental policies includes compliance with relevant laws and regulations, enhancing its relationship with stakeholders[79]. - The Group's environmental initiatives include the installation of new facilities to meet local environmental standards and improve employee awareness[76]. Financial Position and Investments - As of 31 December 2022, cash and cash equivalents amounted to RMB3,888,811,000, an increase of 71.08% compared to the previous year[3]. - The Group's debt-to-equity ratio was 32.92% as of 31 December 2022, down from 35.19% the previous year[3]. - The net asset value per share as of 31 December 2022 was RMB3.00[3]. - The retained profit available for distribution to shareholders as of 31 December 2022 was approximately RMB1,227,821,000, down from RMB1,518,696,000 in 2021[135]. - The Group's interests in joint ventures and associates were RMB486,526,000 and RMB43,792,000, respectively, as of 31 December 2022[114]. - Recent acquisitions are anticipated to enhance operational efficiency, with expected cost savings of $G million annually[41]. Governance and Leadership - Xu Song has been an executive director since June 15, 2016, with extensive experience in engineering and management within the company[64]. - Li Xiaodong has served as an executive director since May 30, 2019, and has held various leadership roles in the company since 1986[65]. - Long Tao has been an independent non-executive director since April 28, 1994, with significant expertise in corporate finance and accounting[65]. - Song Xiaojiang has also been an independent non-executive director since April 28, 1994, and serves as the chairman of the audit committee[65]. Connected Transactions and Compliance - The Group had continuing connected transactions with Qingling Group and its subsidiaries, with Qingling Group holding 50.10% and Isuzu holding 20.00% of the issued share capital as of December 31, 2022[150]. - The Group's connected transactions include dealings with Chongqing Qingling Foundry and other related entities, indicating significant inter-company relationships[186]. - The Company entered into a New Autoparts and Materials Agreement with various subsidiaries, ensuring that scrap metal prices will not be lower than market prices, and semi-finished auto parts will be sold with a profit margin not exceeding 8%[169]. - The total amount for continuing connected transactions for the year includes approximately RMB 9,058,000 from Chongqing Qingling Casting[170].

Financial Performance - The company reported a loss of RMB 4,983,000 for the year, compared to a profit of RMB 330,886,000 in the previous year[15]. - Basic loss per share was RMB (0.01), compared to earnings of RMB 0.13 per share in 2021[17]. - The total revenue for the year ended December 31, 2022, was RMB 3,248,080,000, a decrease from RMB 4,828,237,000 in 2021, representing a decline of approximately 32.7%[40]. - The group reported a gross profit of RMB 115,157,000, down from RMB 554,344,000 in the previous year[13]. - The group's gross profit for the year was RMB 115,157,000, a decrease of 79.23% compared to the previous year, resulting in a gross margin of 3.55% down from 11.48%[142]. - The company recorded a net loss of RMB 5 million for the year, a decline of 101.51% compared to a net profit of RMB 331 million in 2021[125]. - Other income decreased to RMB 385,405,000 from RMB 463,350,000 in the previous year[13]. - Other income, including government subsidies, interest income, and rental income, totaled RMB 385.4 million, a decrease of 16.82% year-over-year[135]. - Total expenses for the year decreased by 28.38% due to a reduction in sales volume compared to the previous year[143]. Revenue Breakdown - Revenue from light commercial vehicles, medium, and heavy-duty vehicles contributed RMB 1,934,617,000 and RMB 550,992,000 respectively, accounting for 76.53% of total revenue[3]. - Total revenue for the year ended December 31, 2022, was RMB 3,248,080 thousand, with segment revenues from light commercial vehicles, pickup trucks, medium and heavy vehicles, and auto parts being RMB 1,934,617 thousand, RMB 481,210 thousand, RMB 550,992 thousand, and RMB 281,261 thousand respectively[44]. - Sales of light commercial vehicles amounted to RMB 1,344,581,000 in 2022, up from RMB 1,097,316,000 in 2021, reflecting an increase of about 22.5%[40]. - Sales of pickup trucks decreased to RMB 478,749,000 in 2022 from RMB 796,354,000 in 2021, a decline of approximately 40%[40]. - The sales of medium and heavy trucks dropped to RMB 509,977,000 in 2022 from RMB 1,003,879,000 in 2021, indicating a decrease of around 49.1%[40]. - The sales of chassis fell significantly from RMB 1,630,864,000 in 2021 to RMB 633,512,000 in 2022, a decline of approximately 61.1%[40]. Assets and Liabilities - As of December 31, 2022, the group's net current assets amounted to RMB 4,346,882,000, an increase of 40.78% compared to RMB 3,087,791,000 in 2021[1]. - Total assets as of December 31, 2022, amounted to RMB 10,349,176 thousand, with cash and cash equivalents and time deposits contributing RMB 5,387,829 thousand[58]. - Total liabilities as of December 31, 2022, were RMB 2,563,179 thousand, with accounts payable and other liabilities being significant components[74]. - The total liabilities decreased from RMB 2,119,936 thousand in 2021 to RMB 1,973,545 thousand in 2022, a decrease of approximately 7%[117]. - The group's current liabilities stood at RMB 2,530,693,000, primarily comprising payables and tax liabilities[146]. - The carrying amounts of right-of-use assets and lease liabilities as of December 31, 2022, were RMB 42,117,000 and RMB 42,173,000, respectively[39]. Employee and Operational Metrics - The number of employees decreased to 2,846 from 2,934 in the previous year, with total employee costs amounting to RMB 338,851,000[158]. - Total employee costs, including directors' remuneration, were RMB 338,851,000, down from RMB 358,903,000 year-on-year[103]. - Research expenses for the year were RMB 243,132 thousand, reflecting the company's investment in innovation and development[44]. Corporate Governance and Compliance - The company emphasizes high standards of corporate governance to enhance investor confidence and protect shareholder interests[164]. - The board of directors consists of eleven members, including seven executive directors and four independent non-executive directors[168]. - The company has adopted the standard code for securities transactions by directors and supervisors, confirming compliance for the fiscal year ending December 31, 2022[165]. - The audit committee reviewed the accounting principles and practices adopted by the group, discussing audit, risk management, and internal control matters[167]. Future Outlook and Strategic Focus - The company plans to focus on regulatory changes and enhance the competitiveness of its main products, particularly in EV technology and hydrogen-powered vehicles[131]. - The company aims to strengthen market awareness and improve sales through enhanced marketing organization and mechanisms[133]. - The company is committed to improving internal management and ensuring quality control in production systems[133]. - The outlook for 2023 indicates potential recovery in the automotive industry, supported by government policies aimed at stabilizing consumption and promoting green transformation[130]. Accounting and Financial Reporting - The company confirmed that the application of new accounting standards will not have a significant impact on the consolidated financial statements in the foreseeable future[37]. - The company plans to continue monitoring the impact of new accounting standards and adjust its financial reporting accordingly[38].