Securities code: Zhejiang Windey Co.Ltd(300772) securities abbreviation: Zhejiang Windey Co.Ltd(300772) Announcement No.: 2022011 Zhejiang Windey Co.Ltd(300772)
Announcement on changes in accounting policies and accounting estimates
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.
Zhejiang Windey Co.Ltd(300772) (hereinafter referred to as "the company") changes the corresponding accounting policies in accordance with the accounting standards for business enterprises issued by the Ministry of finance of the people's Republic of China (hereinafter referred to as "the Ministry of finance"). According to the guidelines for the standardized operation of companies listed on the gem of Shenzhen Stock Exchange and other relevant provisions, the change of accounting policies of the company is in accordance with laws For the change of accounting policies required by administrative regulations or the national unified accounting system, the matter does not need to be submitted to the board of directors, the board of supervisors and the general meeting of shareholders for deliberation.
The company held the 29th meeting of the Fourth Board of directors on March 7, 2022, and deliberated and passed the proposal on accounting estimate change. It is proposed to change the accounting estimate of withdrawing bad debt provision for accounts receivable, and the withdrawing of bad debt provision for commercial acceptance bills receivable shall refer to the changed accounting estimate. This accounting estimate change does not need to be submitted to the general meeting of shareholders for deliberation.
The specific changes of the above accounting policies and accounting estimates are hereby announced as follows:
1、 Changes in accounting policies
(I) reasons and contents of this accounting policy change
On December 30, 2021, the Ministry of Finance issued the notice on printing and distributing the interpretation of accounting standards for Business Enterprises No. 15 (CAI Kuai [2021] No. 35), which clarified the accounting treatment of the external sales of products or by-products produced before the fixed assets reach the expected usable state or in the process of research and development.
The change of accounting policies will come into effect on January 1, 2022.
(II) accounting policies adopted before change
Before the change of accounting policy, the company implemented the accounting standards for business enterprises - basic standards, various specific accounting standards, application guidelines of accounting standards for business enterprises, interpretation announcement of accounting standards for business enterprises and other relevant regulations issued by the Ministry of finance.
(III) accounting policies adopted after change
After the change of accounting policy, the company changed the accounting policy for the external sales of products or by-products produced before the fixed assets reach the expected usable state or during the research and development process into the relevant provisions of the interpretation of accounting standards for Business Enterprises No. 15 (CAI Hui [2021] No. 35) issued by the Ministry of Finance in 2021. The interpretation stipulates that if an enterprise sells the products or by-products produced before the fixed assets reach the expected serviceable state or in the process of R & D, such as the samples produced when testing whether the fixed assets are in normal operation, or sells the products or by-products produced in the process of R & D (hereinafter referred to as trial operation sales), it shall be in accordance with the accounting standards for Business Enterprises No. 14 - revenue After deducting the relevant costs of the trial operation of the Accounting Standards No. 1, the net sales costs of the relevant fixed assets that should not be offset by the relevant costs of the trial operation of the Accounting Standards No. 1 shall be included in the current period.
The above provisions shall come into force as of January 1, 2022. The enterprise shall make retroactive adjustment in accordance with the provisions of this interpretation for the trial operation sales that occur between the beginning of the earliest period for the presentation of the financial statements for the first time to the implementation date of this interpretation (January 1, 2022).
(IV) impact of this accounting policy change on the company
This accounting policy change will be implemented from January 1, 2022. For the trial operation sales between the beginning of the earliest period for the presentation of the financial statements for the first time to the implementation date of this interpretation, the company will make retroactive adjustment in accordance with the provisions of this interpretation.
The retroactive adjustment of this accounting policy change will affect the fixed assets of RMB 1196424 million and the undistributed profit of RMB 1196424 million.
2、 Changes in accounting estimates
(I) reasons and contents of this accounting estimate change
With the rapid expansion of the company's business scale, the company's customer structure is further diversified. According to the relevant provisions of the accounting standards for Business Enterprises No. 28 - changes in accounting policies, accounting estimates and error correction and the actual situation of the company, in order to measure the accounts receivable more accurately and reflect the company's financial status and operating results more objectively and fairly, the company changes the accounting estimate of the provision for bad debts of accounts receivable, The provision for bad debts of commercial acceptance bills receivable shall be made with reference to the changed accounting estimates.
(II) accounting estimate before change
Before the change of accounting estimate, the company prepares the comparison table between the overdue aging of accounts receivable and the expected credit loss rate for the whole duration according to the overdue aging combination, referring to the experience of historical credit loss, combined with the current situation and the prediction of future economic conditions, and calculates the expected credit loss. On this basis, the provision for loss of receivables is measured as follows:
Aging expected credit loss rate (%)
Not overdue 0.00
0-6 months overdue (including, the same below) 0.50
Overdue for 7-12 months (including, the same below) 4.00
Overdue for 1-2 years 10.00
2-3 years overdue 25.00
Aging expected credit loss rate (%)
Overdue for 3-4 years 50.00
4.00-80.5 years overdue
Overdue for more than 5 years 100.00
(III) accounting estimate after change
After the accounting estimate is changed, the company calculates the expected credit loss through the default risk exposure and the expected credit loss rate for the whole duration on the basis of establishing the overdue aging portfolio, referring to the experience of historical credit loss, combined with the current situation and the prediction of future economic conditions, and withdraws the bad debt provision of accounts receivable on this basis.
(IV) change time
This accounting estimate change is due to the rapid expansion of the company's business scale and the further diversification of the company's customer structure. The company's original method of withdrawing bad debt reserves for accounts receivable can not respond to the changes of customer groups in time, so it needs to be changed. According to the relevant answer to the handling of accounting estimate change in the case analysis of listed companies implementing accounting standards for business enterprises (2020) of the CSRC: "in order to facilitate practical operation, the new accounting estimate can be used as early as the latest unpublished periodic report (such as quarterly report and semi annual report), and can not be traced back to earlier accounting periods in principle".
Therefore, this accounting estimate change will be applicable from October 1, 2021.
(V) impact on the company
According to the relevant provisions of the accounting standards for Business Enterprises No. 28 - changes in accounting policies, accounting estimates and error correction and the relevant answers of the case analysis of listed companies implementing the accounting standards for business enterprises (2020), this change in accounting estimates will be used from the annual report of 2021 and will not be retroactively adjusted for earlier accounting periods, so it will not have an impact on the disclosed financial reports of the company.
Compared with the accounting estimate before the change, the pre tax impact of this change on the profit and loss of 2021 is
-6.3454 million yuan.
(VI) opinions of independent directors
The change of accounting estimate conforms to the actual business situation and relevant regulations, and can more truly and completely reflect the company's financial situation and operating results. The change of accounting estimate conforms to the accounting standards for business enterprises issued by the Ministry of Finance and its subsequent regulations. The decision-making procedure for the change of accounting estimates complies with the relevant laws and regulations and the articles of association, and there is no damage to the interests of the company and shareholders.
(VII) opinions of the board of supervisors
The change of accounting estimates conforms to the actual operation of the company and the relevant provisions of relevant laws and regulations, and can more objectively and fairly reflect the financial status and operating results of the company. The deliberation and voting procedures of this change in accounting estimates comply with the provisions of relevant laws and regulations, and there is no damage to the interests of the company and all shareholders. We agree to this change in accounting estimates.
3、 Documents for future reference
1. Resolution of the 29th meeting of the 4th board of directors;
2. Resolution of the 24th Meeting of the 4th board of supervisors;
3. Independent opinions of independent directors on matters related to the 29th meeting of the Fourth Board of directors. It is hereby announced.
Zhejiang Windey Co.Ltd(300772) board of directors March 7, 2022
