China Jushi FY2023: Cash generation and working capital

China Jushi reported FY2023 sales of 2.4814 million tonnes of roving and related products. Roving consists of bundles of continuous glass filaments used as reinforcement. The disclosed quantity measures products sold across the group; it is not furnace capacity, production output or a volume attributed to an individual project. The source reports 248.14 ten-thousand tonnes, so the converted figure retains the precision of that disclosure.

Sales volume / 2023 / group roving and products

2,481,400 tonnes

China Jushi reported FY2023 electronic glass-fiber fabric sales of 836 million metres. This woven material is used in the electronic-materials value chain. The annual report gives a group sales measure of 8.36 hundred-million metres. It does not allocate these sales to a particular production line or identify customer orders and product grades. Metres of fabric and tonnes of roving are separate measures and must not be added together.

Sales volume / 2023 / group electronic fabric

836,000,000 metres

Net cash from operating activities was CNY 867,222,853.35 in FY2023. Management attributed the decrease from the previous year to lower cash received from sales and lower collections on bank acceptance bills reaching maturity. These are consolidated cash flows, rather than cash generated by one product or factory. Net cash from investing activities was positive CNY 98,331,879.87; management said cash recovered from disposals of long-term assets exceeded cash paid to acquire or construct long-term assets. Net cash used in financing activities was CNY 470,272,794.89. These net flows do not establish gross disposal proceeds, total capital expenditure or closing debt balances.

Net cash from operating activities / 2023 / consolidated

RMB 867,222,853.35

Net cash from investing activities / 2023 / consolidated

RMB 98,331,879.87

Net cash from financing activities / 2023 / consolidated

RMB -470,272,794.89

The FY2023 report says the group sold part of its precious-metal holdings after considering member companies’ inventory and usage requirements while introducing new technologies and processes. It reports disposal gains of CNY 997.619 million. Separately, disposal of the Zhongfu Lianzhong equity interest through an equity swap generated investment income of CNY 179.4115 million. These transactions affect the explanation of annual profit but are not glass-fiber sales revenue, recurring manufacturing margin or identified cash receipts. Disposal gains are not gross sale proceeds. The equity swap is a change in downstream investment participation, not a new fiber supply order. This account does not subtract the gains from shareholder-attributable net profit to invent an adjusted earnings measure; tax, attribution and the financial-note reconciliation remain separate.

Reported precious-metal disposal gain / 2023 / reported asset disposal gain

RMB 997,619,000

Reported equity-swap investment income / 2023 / zhongfu lianzhong equity swap

RMB 179,411,500

At the end of FY2023, consolidated fixed assets were CNY 31,858,734,497.72 and construction in progress was CNY 3,085,946,656.88. Management attributes the increase in fixed assets and decline in construction to completed new lines being transferred into fixed assets. This group accounting transfer complements the separately sourced project-stage narratives; it does not establish that every planned project was producing, or give line-specific sales. Short-term borrowings were CNY 6,246,170,212.34, up 43.27%, attributed to additional short-term bank borrowing. Bonds payable fell as amounts due within one year were reclassified, so that decline alone is not evidence of debt repayment. Deferred income rose with asset-related government grants; it is not unrestricted cash or operating sales revenue.

Consolidated fixed assets / 2023 / consolidated

RMB 31,858,734,497.72

Consolidated construction in progress / 2023 / consolidated

RMB 3,085,946,656.88

Reported short-term borrowings / 2023 / consolidated

RMB 6,246,170,212.34

The FY2023 report gives overseas assets of CNY 12,003,062,958.90, or 23.05% of total assets. This measures the disclosed group asset footprint, not overseas sales or a profitability contribution. It does not allocate the amount among the Egyptian and US physical sites. The separate main-restricted-assets table lists fixed assets of CNY 305,101,315.26 and intangible assets of CNY 17,763,936.92 pledged for borrowings, a total of CNY 322,865,252.18. The table does not place all that collateral overseas. Pledged asset carrying values are not loan principal, and these selected management-discussion rows do not complete the financial notes’ full restriction and liquidity review.

Reported overseas assets / 2023 / reported overseas assets

RMB 12,003,062,958.9

Main restricted assets, carrying value / 2023 / management discussion main restricted assets

RMB 322,865,252.18

The FY2023 consolidated monetary-funds note reports CNY 3,126,268,154.16 at year-end, including CNY 502,053,908.11 held overseas. The cash-flow supplement reports the same closing cash total and describes its bank deposits and other monetary funds as available for payment. Its restricted-cash line is blank; that cell is not converted into a new zero-valued fact or a guarantee of unrestricted transfers between countries. The foreign-currency note separately reports CNY 865,969,224.31 of cash denominated in foreign currencies. Currency denomination and where cash is held are different dimensions, so that figure is not interchangeable with overseas cash and they are not added. The opening monetary-funds total is CNY 2,635,927,627.07, while opening cash for the cash-flow statement is CNY 2,629,776,717.00. Different reported bases remain separate rather than forcing opening balances to match or inventing a restriction explanation.

Reported monetary-funds balance / 2023 / annual consolidated monetary funds

RMB 3,126,268,154.16

Reported cash held overseas / 2023 / annual consolidated overseas cash

RMB 502,053,908.11

Reported foreign-currency monetary funds in CNY / 2023 / annual consolidated foreign currency cash

RMB 865,969,224.31

Year-end bills receivable had gross value of CNY 986,653,948.82, an allowance of CNY 56,452.65 and net value of CNY 986,597,496.17. The classification note splits net bills into CNY 958,427,625.05 bank acceptances and CNY 28,169,871.12 commercial acceptances. For endorsed or discounted bills not yet matured at the reporting date, CNY 641,444,866.84 of bank bills remained recognized, while CNY 7,088,506.18 of commercial bills was derecognized. Another balance-sheet category, receivables financing, held CNY 1,407,810,800.78 of bank acceptance bills; its separate transfer table reports CNY 3,098,695,319.93 derecognized before maturity. Derecognition means removal from the reported asset balance under the issuer’s accounting treatment. These transfer amounts are not additional balances to add to closing receivables and do not all represent cash received from product sales: endorsement and discounting are combined. Blank allowance cells are not translated into guaranteed risk-free assets.

Reported gross bills receivable / 2023 / annual consolidated bills

RMB 986,653,948.82

Reported bills-receivable allowance / 2023 / annual consolidated bills

RMB 56,452.65

Reported net bills receivable / 2023 / annual consolidated bills

RMB 986,597,496.17

Reported transferred bills remaining recognized / 2023 / annual bank bills endorsed discounted unmatured

RMB 641,444,866.84

Reported receivables-financing balance / 2023 / annual consolidated receivables financing

RMB 1,407,810,800.78

The FY2023 trade-receivable note shows gross receivables of CNY 1,664,423,831.13, a credit-loss allowance of CNY 187,882,562.24 and net value of CNY 1,476,541,268.89. Individually assessed balances of CNY 101,754,447.58 were fully provided because management expected they could not be recovered. That is a valuation judgment, not proof that the whole amount was written off or a customer identity had been established. Actual write-offs during the year were CNY 3,320,985.89. The five-largest-debtor table totals CNY 183,983,395.65, or 11.06% of reported trade receivables and contract assets, and includes an individually provided customer. Its anonymized customer numbers do not support new named customer relationships, and this receivable concentration is not the same as the top-five annual sales concentration. Allowance movements also include consolidation and currency-translation effects, so the increase is not attributed entirely to new customer defaults.

Reported gross trade receivables / 2023 / annual consolidated trade receivables

RMB 1,664,423,831.13

Reported trade-receivable allowance / 2023 / annual consolidated trade receivables

RMB 187,882,562.24

Reported net trade receivables / 2023 / annual consolidated trade receivables

RMB 1,476,541,268.89

Reported individually fully provided trade receivables / 2023 / annual consolidated individual trade receivables

RMB 101,754,447.58

Other receivables had gross value of CNY 1,430,877,114.18 and a CNY 18,678,669.75 allowance, leaving CNY 1,412,198,444.43 net. The nature table separately identifies CNY 1,239,682,773.00 relocation compensation and CNY 66,835,538.59 charges for use of funds. The largest anonymized debtor held CNY 1,306,518,311.59 for those two categories, or 91.31% of gross other receivables, aged one to four years. These are non-trade receivables rather than additional glass-fiber sales, cash already collected or a new customer order. The two category amounts reconcile to that debtor’s balance, but this passage does not name the debtor or specify an individual project, enforceable collection date or complete payment schedule. Deposits, advances, tax refunds and other amounts remain separate; the concentration is not proof of default or a reason to infer zero collection risk.

Reported gross other receivables / 2023 / annual consolidated other receivables

RMB 1,430,877,114.18

Reported other-receivable allowance / 2023 / annual consolidated other receivables

RMB 18,678,669.75

Reported relocation-compensation receivable / 2023 / annual consolidated relocation compensation

RMB 1,239,682,773

Reported charges for use of funds receivable / 2023 / annual consolidated use of funds charges

RMB 66,835,538.59

Consolidated inventory at 31 December 2023 was CNY 4,581,693,751.73 gross, less CNY 48,578,683.13 of provisions, for CNY 4,533,115,068.60 net. Net raw materials were CNY 1,536,355,969.98; finished goods CNY 2,824,240,034.54; circulating materials CNY 65,442,231.14; and goods dispatched CNY 107,076,832.94. Those four categories reconcile to the reported net total. They are carrying values, not physical output, utilization, a named customer’s delivery or sales already recognized. Compared with the opening net total of CNY 4,128,658,445.26, finished-goods inventory was higher while raw materials were lower, but the note does not divide that value change into volumes, mix and prices. Provisions moved from CNY 54,722,621.17 to CNY 48,578,683.13 after CNY 4,781,411.70 charged, CNY 710,292.42 of other additions and CNY 11,635,642.16 in a combined reversal-or-write-off column. That last column cannot be split into recoveries and write-offs or described entirely as a profit release. Blank provision cells for circulating and dispatched materials are not newly entered zero amounts.

Reported gross inventory / 2023 / annual consolidated inventory

RMB 4,581,693,751.73

Reported inventory provision / 2023 / annual consolidated inventory

RMB 48,578,683.13

Reported net inventory / 2023 / annual consolidated inventory

RMB 4,533,115,068.6

Reported net inventory category / 2023 / annual inventory raw materials

RMB 1,536,355,969.98

Reported net inventory category / 2023 / annual inventory finished goods

RMB 2,824,240,034.54

Reported net inventory category / 2023 / annual inventory circulating materials

RMB 65,442,231.14

Reported net inventory category / 2023 / annual inventory dispatched goods

RMB 107,076,832.94

The FY2023 consolidated reconciliation starts with net profit of CNY 3,157,311,174.05 and ends with operating cash of CNY 867,222,853.35. Its signed working-capital adjustments include CNY -405,609,140.60 for inventory, CNY -589,426,148.02 for operating receivables and CNY -2,649,389,106.80 for operating payables. These indicate cash absorbed on the reported reconciliation basis; they are not three extra expenses or simple differences between every corresponding balance-sheet row. The bridge also removes CNY 935,050,584.53 of long-lived asset-disposal gains and CNY 209,261,376.72 of investment gains from operating cash, alongside depreciation, financial costs and other adjustments. Cash ultimately increased by CNY 496,491,437.16: operating cash plus CNY 98,331,879.87 net investing cash, CNY -470,272,794.89 net financing cash and CNY 1,209,498.83 exchange effects. That reconciles closing cash of CNY 3,126,268,154.16 with opening cash of CNY 2,629,776,717.00. The table explains the reported cash conversion without treating accounting gains as product receipts or computing an unsupported adjusted profit.

Reported signed inventory adjustment in cash bridge / 2023 / annual consolidated operating cash reconciliation

RMB -405,609,140.6

Reported signed operating-receivable adjustment / 2023 / annual consolidated operating cash reconciliation

RMB -589,426,148.02

Reported signed operating-payable adjustment / 2023 / annual consolidated operating cash reconciliation

RMB -2,649,389,106.8

The annual construction table identifies the Jiujiang intelligent manufacturing programme with planned glass-fiber capacity of 400,000 tonnes per year. Its reported budget was CNY 5,075,718,000. During FY2023, CNY 1,337,453,777.12 was added and CNY 2,369,702,274.51 transferred into fixed assets, leaving CNY 662,886,833.95 in construction at year-end. Reported project progress was 80%, separately from the 62.64% cumulative investment-to-budget indicator. Capitalized interest was CNY 26,487,668.10, with a reported 2.84% rate. These are the whole programme’s accounting movements and reported progress, not capacity already operating, one line’s spending, cash disbursements or a measured utilization rate.

Reported construction budget / 2023 / jiujiang programme budget

RMB 5,075,718,000

Reported construction carrying-value additions / 2023 / jiujiang programme additions

RMB 1,337,453,777.12

Issuer-reported construction progress / 2023 / jiujiang programme progress

80%

Issuer-reported investment-to-budget ratio / 2023 / jiujiang programme budget ratio

62.64%

Reported transfer into fixed assets / 2023 / jiujiang programme transfer

RMB 2,369,702,274.51

Reported closing construction carrying value / 2023 / jiujiang programme closing

RMB 662,886,833.95

The annual table separately names construction of an Egyptian 120,000-tonne-per-year tank-furnace drawing line and supporting works. Its budget was CNY 2,167,074,800; FY2023 additions were CNY 207,708,257.21 and transfers into fixed assets CNY 1,978,288,050.30. Progress was reported as 100% and the cumulative investment-to-budget indicator as 81.61%. The closing construction cell is blank, so no new zero-valued balance is recorded. Transfer into fixed assets indicates the issuer’s accounting treatment of readiness, rather than independent confirmation of a production permit, actual output or utilization. The same table has another Egyptian 120,000-tonne upgrade: the two rows remain separate. This passage alone does not establish a match to a differently named phase or a later 180,000-tonne project.

Reported construction budget / 2023 / egypt new programme budget

RMB 2,167,074,800

Reported construction carrying-value additions / 2023 / egypt new programme additions

RMB 207,708,257.21

Issuer-reported construction progress / 2023 / egypt new programme progress

100%

Issuer-reported investment-to-budget ratio / 2023 / egypt new programme budget ratio

81.61%

Reported transfer into fixed assets / 2023 / egypt new programme transfer

RMB 1,978,288,050.3

The Tongxiang electronic-materials cold repair covers planned annual capacity of 50,000 tonnes of electronic yarn and 160 million metres of electronic fabric. Its reported budget was CNY 634,358,600. FY2023 accounting additions were CNY 271,318,268.61; CNY 937,445,360.46 transferred into fixed assets and CNY 3,986,909.25 was recorded as other reductions. The closing construction cell is blank. The table reports 100% progress and a separate 55.82% cumulative investment-to-budget indicator. Those reported measures are preserved even though they cannot be reconstructed simply by dividing the table’s carrying-value movements by its budget. No unsupported explanation is supplied for that difference. This is refurbishment of the existing electronic-materials project, not evidence of an additional identical new line; progress and capitalization do not quantify saleable output or utilization.

Reported construction budget / 2023 / tongxiang programme budget

RMB 634,358,600

Reported construction carrying-value additions / 2023 / tongxiang programme additions

RMB 271,318,268.61

Issuer-reported construction progress / 2023 / tongxiang programme progress

100%

Issuer-reported investment-to-budget ratio / 2023 / tongxiang programme budget ratio

55.82%

Reported transfer into fixed assets / 2023 / tongxiang programme transfer

RMB 937,445,360.46

The Huai'an high-performance glass-fiber programme has planned annual capacity of 400,000 tonnes and a reported budget of CNY 4,672,868,700. FY2023 additions and closing construction carrying value were both CNY 1,539,568,533.97. Reported progress was 40%, while cumulative investment relative to budget was 36.08%. Capitalized interest was CNY 2,337,333.35 at a reported 2.40% rate. The source uses a ‘zero-carbon intelligent manufacturing base’ project name; that label is not independent verification of zero emissions. The programme remains distinct from individual production lines and its supporting wind project. Planned capacity, construction carrying value and reported progress do not establish 400,000 tonnes of actual output, commercial sales or an approved emissions outcome.

Reported construction budget / 2023 / huaian programme budget

RMB 4,672,868,700

Reported construction carrying-value additions / 2023 / huaian programme additions

RMB 1,539,568,533.97

Issuer-reported construction progress / 2023 / huaian programme progress

40%

Issuer-reported investment-to-budget ratio / 2023 / huaian programme budget ratio

36.08%

Reported closing construction carrying value / 2023 / huaian programme closing

RMB 1,539,568,533.97

The Egyptian 120,000-tonne-per-year tank-furnace drawing-line upgrade is a separate row from the new line and supporting works. Its budget was CNY 424,995,900, with opening construction value of CNY 3,921,281.25, FY2023 additions of CNY 462,913,795.20 and other reductions of CNY 11,459,266.77. Closing construction value was CNY 455,375,809.68. The issuer reported 80% progress and a 60.16% cumulative investment-to-budget indicator. These measures are retained without replacing the reported ratio with a calculation from carrying-value movements. Transfer into fixed assets is blank, not a newly stored zero. Shared country and capacity do not justify merging this upgrade with the Egyptian new-build row, a named phase, or a later capacity-expansion project.

Reported construction budget / 2023 / egypt upgrade programme budget

RMB 424,995,900

Reported construction carrying-value additions / 2023 / egypt upgrade programme additions

RMB 462,913,795.2

Issuer-reported construction progress / 2023 / egypt upgrade programme progress

80%

Issuer-reported investment-to-budget ratio / 2023 / egypt upgrade programme budget ratio

60.16%

Reported closing construction carrying value / 2023 / egypt upgrade programme closing

RMB 455,375,809.68

The construction note names a supporting 200 MW wind-power project operated by Jushi New Energy (Huai'an). Its reported budget was CNY 985,586,300. FY2023 additions and closing construction value were both CNY 287,061,000.12, with reported progress of 50% and a cumulative investment-to-budget indicator of 29.13%. This is a supporting energy project rather than additional glass-fiber capacity. The 200 MW scope is preserved separately from later reported connected capacity and other proposed wind projects; this table does not establish electricity already generated, carbon reductions or commercial power revenue.

Reported construction budget / 2023 / wind programme budget

RMB 985,586,300

Reported construction carrying-value additions / 2023 / wind programme additions

RMB 287,061,000.12

Issuer-reported construction progress / 2023 / wind programme progress

50%

Issuer-reported investment-to-budget ratio / 2023 / wind programme budget ratio

29.13%

Reported closing construction carrying value / 2023 / wind programme closing

RMB 287,061,000.12

Gross goodwill was CNY 472,512,501.24, with an existing CNY 2,544,408.27 provision. Following an absorption, CNY 87,534,955.83 moved from the Xinfu asset group into Jushi USA Glass Fiber Co., Ltd.’s group, whose goodwill then totaled CNY 92,585,558.19. The source describes that US business as glass-fiber sales; it is not automatically the same entity as the 70%-owned US manufacturing company or its factory. The impairment test uses 2024–2028 cash-flow projections and a stable period. The US sales asset group had CNY 238,495,936.93 carrying value and CNY 277,419,900 estimated recoverable value, with a 14.63% discount rate and a 2.77% steady-period EBIT margin. Those are valuation-model inputs and asset-group amounts, not goodwill alone or profits subsequently achieved. The five disclosed tested groups each report zero new impairment; that result does not remove the existing provision or guarantee future cash flows.

Reported gross goodwill / 2023 / annual consolidated goodwill

RMB 472,512,501.24

Reported existing goodwill impairment provision / 2023 / annual consolidated goodwill

RMB 2,544,408.27

Asset-related government grants carried forward as deferred income totaled CNY 920,326,328.36 at year-end, compared with CNY 645,510,859.34 opening balance. The detailed grant table reports CNY 337,636,200.00 of new grants, CNY 63,749,205.56 transferred into other income and CNY 928,474.58 of other changes identified as currency translation. Those movements reconcile to closing deferred income. The shorter deferred-income note presents a CNY 62,820,730.98 net reduction: the income transfer less the positive currency movement, rather than a second contradictory income-release amount. Government support recognized in FY2023 profit totaled CNY 322,278,465.20, split into CNY 63,749,205.56 asset-related and CNY 258,529,259.64 income-related amounts. Deferred balances are not all current income or cash collected this year. The project table includes grants for manufacturing, materials, equipment and supporting bases; an award does not prove that a project has achieved its capacity or environmental target. The source explains that asset-related amounts are released over the assets’ depreciation periods. This support affects reported profit and investment funding, but is not customer revenue or an assurance of recurring future awards.

Reported deferred asset-related grant balance / 2023 / annual consolidated asset grant balance

RMB 920,326,328.36

Reported new asset-related grants / 2023 / annual consolidated asset grant additions

RMB 337,636,200

Reported asset-grant transfer into income / 2023 / annual consolidated asset grant profit transfer

RMB 63,749,205.56

Reported currency translation in asset grants / 2023 / annual consolidated asset grant currency

RMB 928,474.58

Reported government support in profit / 2023 / annual consolidated grants profit

RMB 322,278,465.2

Reported income-related government support in profit / 2023 / annual consolidated income related grants

RMB 258,529,259.64

FY2023 management expenses included CNY 38,230,858.83 of stop-work losses, versus CNY 6,482,320.10 in the comparative year. This note does not assign that increase to a named plant, a specific cold repair, environmental enforcement or a particular project. It is a reported operating burden with location and cause unallocated. Research expense was CNY 519,365,367.39, including CNY 159,761,761.75 labor, CNY 271,563,857.11 materials and fuel/power, CNY 60,452,117.67 depreciation and CNY 27,587,630.86 other costs. These categories explain resources used in research; they do not establish successful commercialization or create another research spend on top of the total. Net finance expense was CNY 231,536,047.89: CNY 383,531,878.60 interest expense, less CNY 143,312,392.11 interest income and CNY 21,470,810.28 exchange gains, plus CNY 12,787,371.68 other charges. The negative value under the source heading “exchange losses” represents a net gain. Net finance expense is therefore neither gross borrowing interest nor all cash paid for financing; capitalized interest and cash-flow classifications remain separate.

Reported stop-work losses / 2023 / annual consolidated stop work cost

RMB 38,230,858.83

Reported research expense / 2023 / annual consolidated research expense

RMB 519,365,367.39

Reported net finance expense / 2023 / annual consolidated finance expense

RMB 231,536,047.89

Consolidated income-tax expense was CNY 550,467,489.97, comprising CNY 550,840,649.92 current tax and CNY -373,159.95 deferred tax. The reconciliation begins with CNY 3,707,778,664.02 profit before tax and CNY 926,944,666.01 tax at the statutory/applicable rate, then includes CNY -288,289,385.82 from different subsidiary rates and CNY -34,938,435.19 from additional research-related deductions, alongside prior-period and other adjustments. These explain the group’s reported expense; the reference rate is not a single actual tax rate for every overseas and domestic operation. Tax expense is not identical to cash tax paid, and historical deductions are not a guarantee of permanent future eligibility. The tax reconciliation is retained to interpret operating and investment returns without presenting a tax-planning recommendation.

Reported consolidated income-tax expense / 2023 / annual consolidated income tax

RMB 550,467,489.97

Reported adjustment for differing subsidiary tax rates / 2023 / annual consolidated tax subsidiary rates

RMB -288,289,385.82

The FY2023 grant note reports CNY 139,750,400 received for the Jiujiang one-million-tonne glass-fiber materials base and CNY 169,300,000 for the Huai’an high-performance manufacturing base. Closing deferred balances for those scopes were CNY 137,538,039.17 and CNY 169,300,000 respectively. The Huai’an intelligent production-line project was still under construction at 31 December. The one-million-tonne Jiujiang grant programme is not automatically identical to the 400,000-tonne construction-table programme. Chengdu also received CNY 18,120,000 for the advanced manufacturing base, CNY 4,677,000 under provincial industrial-development support and CNY 1,788,800 for technical renovation. These are separately disclosed programmes, not customer sales or a second set of project construction costs. Tongxiang received CNY 40,000,000 under its materials-base award agreement in FY2023, of which CNY 4,000,000 was the equipment-investment component; the agreement allocates 90% to research and supporting activities and 10% to equipment. Earlier US JS304 grants concerned the 96,000-tonne line and site preparation, infrastructure and land improvements, with receipts in 2018 and 2019. Historical awards and current deferred-income releases must not be presented as new FY2023 US receipts or verified environmental performance.

Reported grant received for named programme / 2023 / annual jiujiang one million tonne base grant

RMB 139,750,400

Reported grant received for named programme / 2023 / annual huaian high performance base grant

RMB 169,300,000

Reported deferred balance for named programme grant / 2023 / annual jiujiang one million tonne base grant

RMB 137,538,039.17

Reported deferred balance for named programme grant / 2023 / annual huaian high performance base grant

RMB 169,300,000

The parent-company note reports CNY 1,101,918,069.89 gross trade receivables, CNY 63,327,918.82 credit-loss allowance and CNY 1,038,590,151.07 net carrying value at year-end. These are the listed parent’s own accounts, not another receivable balance to add to the consolidated group. The five largest parent debtors together account for CNY 412,079,792.05, or 37.40% of the disclosed trade-receivable and contract-asset balance. They include Jushi Egypt at CNY 270,410,424.08 and Jushi Group (Huai’an) at CNY 34,986,072.49, as well as anonymized customers. Accordingly, 37.40% is a parent receivable concentration that includes group companies, not the share of group sales to five outside customers. The individual-assessment note says that the listed related companies are not provided for on that basis. This accounting treatment does not prove that their balances are risk-free or were collected after year-end. Anonymized customers remain anonymized.

Reported parent-only gross trade receivables / 2023 / annual parent trade receivables

RMB 1,101,918,069.89

Reported parent-only trade-receivable allowance / 2023 / annual parent trade receivables

RMB 63,327,918.82

Reported parent-only net trade receivables / 2023 / annual parent trade receivables

RMB 1,038,590,151.07

Reported parent-only top-five debtor balance share including group companies / 2023 / annual parent top five debtor share

37.4%

The parent-company income note reports CNY 14,019,373,100.60 revenue and CNY 13,671,025,235.90 cost of revenue. These parent-only accounts can include activity with group entities and must not replace or be added to consolidated revenue and costs. Parent investment income was CNY 1,809,376,691.61, including CNY 1,600,000,000 income from investments accounted for at cost, CNY 29,767,389.67 equity-method income, CNY 179,453,482.82 gains from disposal of long-term equity investments and CNY 155,819.12 other non-current financial-investment income. The separate dividend-receivable note identifies the CNY 1,600,000,000 balance as due from Jushi Group. Dividend recognition at the parent is not another group product sale or evidence of cash receipt. The detailed associate schedule has CNY 481,806,000 declared dividends/profits, whose parent-only investment perimeter differs from the consolidated associate schedule. Matching labels across those scopes does not establish a data conflict. The wind-blade share exchange contributes an accounting gain already explained in the investment history, rather than a second new operating transaction.

Reported parent-only revenue / 2023 / annual parent revenue

RMB 14,019,373,100.6

Reported parent-only cost of revenue / 2023 / annual parent cost of revenue

RMB 13,671,025,235.9

Reported parent-only investment income / 2023 / annual parent investment income

RMB 1,809,376,691.61

Reported parent-only investment income under cost method / 2023 / annual parent cost method investment income

RMB 1,600,000,000

The issuer’s nonrecurring-profit supplement reports CNY 1,146,509,242.30 after tax and minority-interest effects. Its positive components are CNY 858,299,845.67 non-current asset-disposal gains, CNY 258,529,259.64 government grants classified in this supplement, CNY 828,181.28 financial-asset/liability valuation and disposal gains, CNY 42,238,714.87 charges for use of funds by non-financial enterprises, CNY 8,264,183.49 reversals of individually assessed receivable impairment, CNY 179,411,541.13 non-monetary asset-exchange gains and CNY 16,042,435.46 other non-operating net income. It deducts CNY 205,770,851.83 income-tax effects and CNY 11,334,067.41 after-tax minority-interest effects. The share-exchange gain relates to Jushi’s June 2023 exchange of its 42.64% Zhongfu Lianzhong stake for Sinoma Wind Power Blade shares. This explains why reported profit contains contributions beyond recurring glass-fiber production and sales. The supplement’s grant amount is not every grant recognized in the income statement, and its disposal and exchange gains are accounting classifications, not a new set of cash receipts to add to investment cash flow. These figures complement the existing precious-metal disposal and investment explanations; they do not represent additional separate transactions. The issuer’s nonrecurring classification is preserved without presenting adjusted profit as guaranteed sustainable earnings.

Reported nonrecurring profit net of tax and minority effects / 2023 / annual consolidated nonrecurring profit net

RMB 1,146,509,242.3

Reported non-current asset-disposal gains in nonrecurring supplement / 2023 / annual consolidated nonrecurring asset disposal

RMB 858,299,845.67

Reported non-monetary asset-exchange gain / 2023 / annual consolidated nonmonetary exchange gain

RMB 179,411,541.13

Reported tax deduction in nonrecurring supplement / 2023 / annual consolidated nonrecurring tax deduction

RMB 205,770,851.83

Reported after-tax minority deduction in nonrecurring supplement / 2023 / annual consolidated nonrecurring minority deduction

RMB 11,334,067.41

Jushi presents its consolidated statements in renminbi, while overseas subsidiaries use the currency of their own principal economic environment. For translation of overseas financial statements, assets and liabilities use the closing spot rate, and income and expenses use an approximation of the rate at the transaction date. Resulting statement-translation differences are recorded in other comprehensive income under the disclosed policy. FY2023 foreign-statement translation attributable to parent owners was CNY 84,732,826.27. This differs from the CNY 21,470,810.28 exchange gain reducing net financial expense and from the CNY 1,209,498.83 exchange-rate effect on cash and cash equivalents. These are separate accounting measures; they cannot be summed as one realized currency profit or assigned to a particular overseas line. CNY comparisons of an overseas subsidiary combine underlying activity with the report’s translation rules. The note retains prior-year amounts as previously translated; it does not provide a constant-currency operating comparison.

Reported foreign-statement translation in parent-attributable other comprehensive income / 2023 / annual parent attributable oci foreign statement translation

RMB 84,732,826.27

Under Jushi’s disclosed accounting policy, revenue is recognized when the customer obtains control of the promised goods or services. Its usual business comprises transfer of goods and one-time services, mainly glass-fiber yarn and products. Production, an order, an advance payment and cash collection are not automatically the same event as recognized revenue. Contract liabilities represent consideration received or receivable before the related transfer obligation has been fulfilled. Inventory is measured at the lower of cost and net realizable value, with materials issued using a monthly weighted-average method. Construction cost includes qualifying capitalized borrowing costs; construction is transferred to fixed assets when the relevant project has passed overall acceptance and is ready for its intended use. The policy does not certify that every named project has reached that stage. Research-stage spending is expensed, while development spending requires the stated technical, commercial, resource and measurement conditions to qualify as an intangible asset. Spending that cannot be separated between those stages is expensed. These policies explain why research expenditure, investment, construction carrying value, commissioned capacity, deliveries and profit describe different parts of commercialization rather than interchangeable evidence of success.

The FY2023 tax note gives a 25% corporate-income-tax rate for the listed parent, 22.50% for Jushi Egypt, and 15% for Jushi Group, Jushi Group Chengdu and Jushi Group Jiujiang. These are disclosed rates for named tax entities, not one effective group rate or current tax advice. The report describes high-technology eligibility at Jushi Group and Tongxiang Leishi Micro Powder for FY2023–FY2025, Jiujiang eligibility for FY2022–FY2024, and Chengdu’s reported western-development preference for 2021–2030. This places expiration and eligibility alongside the production and investment history without assuming later renewals. The separate income-tax expense bridge reflects subsidiary rates, prior-period adjustments, deductible research and other factors; tax expense differs from tax paid. Management also identifies uncertainty in some final tax treatments and in recognition of deferred-tax assets. FY2023 adoption of Chinese Accounting Standards Interpretation No.16 changed initial recognition of deferred tax for specified transactions, with the issuer reporting no material impact on the FY2022 statements. The broader government-support note labels CNY 322,278,465.20 as grants recognized in profit, while the other-income schedule separately identifies fiscal awards, deferred-grant release, additional VAT deduction and tax relief. These source classifications are retained; the entire amount is not described as one unrestricted cash award or recurring customer revenue.

Reported historical corporate-income-tax rate by entity / 2023 / annual listed parent income tax rate

25%

Reported historical corporate-income-tax rate by entity / 2023 / annual egypt income tax rate

22.5%

Reported historical corporate-income-tax rate by entity / 2023 / annual jushi group income tax rate

15%

The income-statement note reports CNY 935,050,584.53 gains on disposal of non-current assets, while the non-operating expense note reports CNY 84,127,641.69 non-current asset-disposal losses. Subtracting those two disclosed categories gives CNY 850,922,942.84. The nonrecurring supplement’s disposal category, which explicitly includes reversal of previously recognized asset impairments, is CNY 858,299,845.67. The CNY 7,376,902.83 difference is not itemized as a complete reconciliation in these cited tables, so no new disposal, impairment reversal or profit-sharing allocation is invented to close it. Management separately describes CNY 997.619 million gains from sales of selected precious-metal holdings. That selected transaction narrative and these broader accounting categories have different disclosed scopes; they are not extra gains to sum. The source explains the use of platinum-rhodium bushings in fiber drawing and charges production losses to cost without ordinary depreciation, providing operating context for why precious metals are held. None of these gain amounts is the gross sale proceeds, cash receipts or ongoing glass-fiber margin. The investment share-exchange gain retains its separate investment scope and is not added into a second adjusted-profit measure.

Reported non-current asset-disposal gains in income-statement note / 2023 / annual consolidated income statement asset disposal gains

RMB 935,050,584.53

Reported non-current asset-disposal losses in non-operating expenses / 2023 / annual consolidated nonoperating asset disposal losses

RMB 84,127,641.69

The FY2023 note reports CNY 418,816,232.23 deferred-tax assets and CNY 606,941,713.05 deferred-tax liabilities before offsetting, and marks net-offset presentation as not applicable. They are not combined into a newly reported net balance. Major recognized tax-asset categories include CNY 165,102,946.12 from unrealized intragroup profit, CNY 147,137,792.29 from asset-related government grants already taxed, and CNY 68,264,895.00 from accrued but unpaid employee compensation. These are tax effects of timing differences, not additional grant cash, employee payments or product sales. The liabilities principally reflect accounting/tax differences in fixed-asset depreciation. Separately, CNY 92,502,666.07 of deductible differences and losses did not have deferred-tax assets recognized: CNY 23,824,874.07 temporary differences and CNY 68,677,792.00 deductible losses. Those are underlying deduction bases, not tax-asset balances or guaranteed refunds. The loss-expiry schedule assigns CNY 55,078,226.70 to 2025, with the remainder to 2026–2028; it is the historical FY2023 disclosure and does not show whether deductions were subsequently used. This distinction matters when assessing profit quality and funding: recognized deferred taxes are not freely spendable construction cash, and unrecognized loss bases cannot be added to cash or equity as assured future benefits. The report’s separate current/deferred tax expense and entity-specific historical rates retain their own scope.

Reported deferred-tax assets before offsetting / 2023 / consolidated deferred tax assets before offsetting

RMB 418,816,232.23

Reported deferred-tax liabilities before offsetting / 2023 / consolidated deferred tax liabilities before offsetting

RMB 606,941,713.05

Reported unrecognized deductible differences and losses base / 2023 / unrecognized deductible differences and losses base not tax asset

RMB 92,502,666.07

Reported unrecognized deductible loss base / 2023 / unrecognized deductible loss base not tax asset

RMB 68,677,792

The FY2023 auditor’s report, dated 18 March 2024, states that the consolidated and parent financial statements present fairly, in all material respects, under Chinese Accounting Standards. Its communicated key audit matter is glass-fiber and related-product revenue recognition. The auditor describes contract and shipment sampling, export customs reconciliation and sales cut-off procedures. Identifying a key audit matter is not an adverse opinion on that item; the report says it does not give a separate opinion on each key audit matter. The financial opinion does not cover other information in the annual report or give that information a separate assurance conclusion. Reasonable assurance is high-level assurance, not a guarantee that every material misstatement will be detected. The audit therefore does not independently verify every factory narrative, commercialisation claim or SinoFilings translation, and cannot substitute for independent editorial approval of this research.