Securities code: 002542 securities abbreviation: China Zhonghua Geotechnical Engineering Group Co.Ltd(002542) Announcement No.: 2022-005 China Zhonghua Geotechnical Engineering Group Co.Ltd(002542)
2021 annual performance forecast
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
1、 Expected performance of the current period
1. Performance forecast period: January 1, 2021 to December 31, 2021
2. Expected operating performance: √ loss \uf0f0 turning loss into profit \uf0f0 rising in the same direction \uf0f0 falling in the same direction
The current reporting period of the project is the same period of last year
Loss attributable to shares of listed companies: 210 million yuan – 290 million yuan
East’s net profit: 184949200 yuan, down 213.54% – 256.80% over the same period last year
Deducting non recurring profit and loss: 22 million yuan – 300 million yuan
Net profit after: 186618700 yuan, down 217.89% – 260.76% over the same period last year
Basic earnings per share loss: 0.12 yuan / share – 0.16 yuan / share earnings: 0.10 yuan / share
Operating income (if applicable) n / a n / A
Operating income after deduction not applicable not applicable
(if applicable)
2、 Communication with accounting firms
The company has made pre communication with the annual audit accounting firm on the performance forecast of the current period, and there is no difference between the company and the annual audit accounting firm on the performance forecast of the current period.
The financial data related to this performance forecast has not been audited by certified public accountants.
3、 Explanation of performance change reasons
1. Under the influence of covid-19 pneumonia epidemic, macro-economy and market competition, the construction delay of the project and the increase of the use cost of materials, labor and equipment caused the decline of the company’s income and project gross profit margin, resulting in the decline of the company’s profit.
2. Provision for impairment of receivables and contract assets of individual customers shall be made. The company has received the commercial acceptance bills issued by individual customers, which have been in default one after another, and the bills presented to the drawer for payment have been refused. As of December 31, 2021, the company held a total of 162 million yuan of notes receivable issued by individual customers, including 114 million yuan of overdue notes and 48 million yuan of undue notes; Accounts receivable: 80 million yuan; The contract assets are 137 million yuan. Notes receivable, accounts receivable and contract assets totaled 379 million yuan. According to the accounting standards for Business Enterprises No. 22 – recognition and measurement of financial instruments, the company has analyzed and evaluated the recoverability of individual customer receivables and contract assets as of December 31, 2021. It is considered that there are obvious signs of impairment, and the provision for impairment has been withdrawn, resulting in the decline of the company’s profit.
3. Provision for impairment of goodwill. Affected by covid-19 pneumonia, macro-economy and market competition, the performance of subsidiaries acquired by the company in the early stage declined. According to the relevant requirements of accounting standards for Business Enterprises No. 8 – asset impairment and accounting supervision risk tips No. 8 – goodwill impairment, the company conducted a preliminary impairment test on the goodwill formed by the acquisition of subsidiaries in the early stage. It is estimated that the goodwill impairment withdrawn in the current period is 120 million yuan – 160 million yuan, resulting in the decline of the company’s profit. The final amount of goodwill impairment shall be determined after being audited and evaluated by the audit institution and evaluation institution engaged by the company and qualified to engage in Securities and futures related businesses.
4、 Risk tips
The performance forecast is based on the current debt default and risk situation of the customer. If the debt repayment situation of the customer changes before the disclosure of the 2021 annual report, the accuracy of the performance forecast will be affected. The company has communicated with the annual auditor on this matter. Please pay attention to investment risks. 5、 Other relevant instructions
This performance forecast is the preliminary calculation result of the company’s financial department, which has not been audited by an accounting firm. The specific data will be disclosed in detail in the company’s 2021 annual report.
It is hereby announced.
China Zhonghua Geotechnical Engineering Group Co.Ltd(002542) board of directors
January 28, 2022
