China Jushi FY2023: Manufacturing bases

The future-factory approach extended to the Egyptian and United States subsidiaries. The report describes wider use of its industrial digital platform across the value chain and a platform linking customers and suppliers for collaboration. This helps explain how the manufacturing network is operated as a group. Claims of globally leading manufacturing efficiency are management's assessment; the cited passage does not give a reproducible numerical cross-company efficiency comparison.

The company disposed of its Zhongfu Lianzhong interest through an equity swap, reporting investment income of RMB 179.4115 million. The investment table lists a 20.01% interest in Sinoma Science & Technology Wind Power Blade, whose business is wind-blade manufacture and sales. This records the change in downstream equity participation, distinct from a new customer supply contract. It does not establish a specific fiber purchase volume by the investee.

The FY2023 parent-and-main-subsidiary workforce table reports 13,819 employees, including 10,928 production personnel and 1,867 technical personnel. These are employment categories, not the same definition as the separately reported research headcount. The training account specifically identifies drawing, winding and maintenance roles and says the company conducted occupational training and assessment for glass-fiber workers and related positions. This explains the skill base around continuous-fiber production; training attendance alone does not establish yield, productivity or injury improvements. The report also says the second payout under its 2021–2023 excess-profit-sharing programme was completed in 2023. That historical payment does not incorporate the later FY2024 reversal of unpaid amounts into FY2023. Outsourced labour is separately reported, without a usable hours measure.

Annual parent/main-subsidiary employees / 2023 / annual parent main subsidiaries

13,819 people

Annual production personnel / 2023 / annual parent main subsidiaries

10,928 people

Annual technical personnel / 2023 / annual parent main subsidiaries

1,867 people

Glass-fiber drawing uses platinum-rhodium alloy bushings. The accounting policy describes periodic cleaning and reprocessing to maintain production quality, with process metal losses charged to production cost and deducted from fixed assets. These bushings are recorded as fixed assets without depreciation. At year-end, the platinum-rhodium fixed-asset category had CNY 11,141,473,839.03 gross and net carrying value. That amount is part of total fixed assets, not an extra cash balance, a precious-metal trading inventory or a value to add again to factory assets. Total fixed assets were CNY 39,868,570,019.19 gross less CNY 8,009,835,521.47 accumulated depreciation, leaving CNY 31,858,734,497.72 net. The precious-metal category’s annual additions were CNY 767,724,917.92 and reductions CNY 652,686,081.85. Those movements include transfers and other changes, so they are not all purchases, disposals for cash or manufacturing losses. Depreciation lives of eight to twelve years for machinery and twenty to forty-five years for buildings are accounting estimates, not guaranteed operating lifetimes.

Reported gross fixed assets / 2023 / annual consolidated fixed assets

RMB 39,868,570,019.19

Reported accumulated fixed-asset depreciation / 2023 / annual consolidated fixed assets

RMB 8,009,835,521.47

Reported net fixed assets / 2023 / annual consolidated fixed assets

RMB 31,858,734,497.72

Reported platinum-rhodium production assets / 2023 / annual consolidated platinum rhodium gross net

RMB 11,141,473,839.03

At 31 December 2023, consolidated intangible assets had CNY 1,064,535,943.98 net carrying value. Land-use rights accounted for CNY 953,572,517.89, software-use rights CNY 61,604,195.71, energy-use rights CNY 36,697,227.64 and pollutant-discharge rights CNY 12,662,002.74. These four net amounts reconcile to the reported total. They describe accounting interests used in operations, rather than additional physical factory capacity or cash available for construction. The energy and discharge categories had annual amortization of CNY 4,648,862.55 and CNY 8,816,573.97 respectively; an amortization charge is not the same as cash paid for energy or a pollution penalty. The table is consolidated and does not allocate these rights to each named project, state a new line’s approved emissions quota or independently confirm that all site permits remain valid. Land-use rights likewise do not replace the separately disclosed processing of Chengdu building-title certificates. Blank net cells for other intangible categories are retained as blanks rather than newly recorded zero-valued facts. The disclosed balances help explain the operating asset base while preserving the separate need for site-specific evidence where a permit claim is made.

Reported consolidated land-use rights net carrying value / 2023 / consolidated land use rights net

RMB 953,572,517.89

Reported consolidated energy-use rights net carrying value / 2023 / consolidated energy use rights net

RMB 36,697,227.64

Reported consolidated pollutant-discharge rights net carrying value / 2023 / consolidated pollutant discharge rights net

RMB 12,662,002.74

Reported consolidated intangible assets net carrying value / 2023 / consolidated intangible assets net

RMB 1,064,535,943.98