Kweichow Moutai Co.Ltd(600519) audit report Tian Zhi Ye Zi [2022] No. 19201
catalogue
Audit report 142021 annual financial statements 5162021 annual financial statements notes 17-75 audit report
Tian Zhi Ye Zi [2022] No. 19201 Kweichow Moutai Co.Ltd(600519) all shareholders:
1、 Audit opinion
We have audited the financial statements of Kweichow Moutai Co.Ltd(600519) (hereinafter referred to as " Kweichow Moutai Co.Ltd(600519) "), including the consolidated and parent company's balance sheet as of December 31, 2021, the consolidated and parent company's income statement, consolidated and parent company's cash flow statement, consolidated and parent company's statement of changes in shareholders' equity and notes to relevant financial statements in 2021.
In our opinion, the attached financial statements are prepared in accordance with the provisions of the accounting standards for business enterprises in all material aspects, and fairly reflect the financial position of Kweichow Moutai Co.Ltd(600519) the consolidated and parent company as of December 31, 2021 and the operating results and cash flow of the consolidated and parent company in 2021.
2、 Basis for forming audit opinions
We conducted our audit in accordance with the auditing standards for Chinese certified public accountants. The "responsibilities of certified public accountants for the audit of financial statements" in the audit report further expounds our responsibilities under these standards. In accordance with the code of professional ethics for Chinese certified public accountants, we are independent of Kweichow Moutai Co.Ltd(600519) , and have fulfilled other responsibilities in terms of professional ethics. We believe that the audit evidence we have obtained is sufficient and appropriate, which provides a basis for our audit opinion.
3、 Key audit matters
The key audit matters are the most important matters that we consider to audit the current financial statements according to our professional judgment. The response to these matters is based on the overall audit of the financial statements and the formation of audit opinions. We will not express separate opinions on these matters. The key audit matters identified in our audit are summarized as follows:
（1） Recognition of operating income
（2） Disclosure of related party relationships and transactions
Audit report (Continued) Tian Zhi Ye Zi [2022] No. 19201
Key audit matters how to deal with them in the audit
(I) the information disclosure related to the recognition of operating income is detailed in the notes to the financial statements "III (XVIII) audit of financial statements in 2021, the audit procedures we implemented mainly include: income", "VI (XXXV) operating income and operating cost".
1. Understand and evaluate the design and operation effectiveness of key internal controls related to revenue recognition of the management;
In 2021, the amount of operating income shown in the financial statements was RMB 106190154800 Kweichow Moutai Co.Ltd(600519) 2. Select samples to check the sales contracts, identify the contract terms and conditions related to the transfer of commodity control, and evaluate whether the revenue generated from the sales of Maotai liquor and series liquor meets the requirements of the accounting standards for business enterprises at the recognition time point; If the control of the goods has been transferred to the customer, it shall be confirmed according to the sales 3 Analyze the income and gross profit in combination with the product type to judge whether there is abnormal fluctuation in the amount of income in the current period. According to the sales contract, the sales is usually confirmed by the customer's receipt; The recognition time of income.
4. Select samples of revenue transactions recorded in this year and check the original vouchers at the time of revenue recognition, including invoices and sales contracts
Since the operating revenue is the key performance of Kweichow Moutai Co.Ltd(600519) the same as the delivery order, evaluate whether the relevant revenue recognition conforms to the accounting policy of the company for revenue recognition; For the first target, we recognize Kweichow Moutai Co.Ltd(600519) operating revenue
For key audit matters. 5. Select a sample of sales transactions close to the end of the year and check the sample of relevant supporting documents (including the delivery note or the document confirmed by the customer) to assess whether the revenue is recognized within the appropriate accounting period.
(II) disclosure of related party relationships and transactions
In the audit of financial statements in 2021, the audit procedures we implemented mainly include:
1. Understand the procedures of Kweichow Moutai Co.Ltd(600519) identifying related parties, evaluate and test the internal control of Kweichow Moutai Co.Ltd(600519) identifying and disclosing the relationship between related parties and their transactions.
2. Obtain information from the management and governance to identify the names of all known related parties and disclose relevant information about the integrity of the information. See note Xi to the financial statements for details. The following audit procedures are followed:
Joint party relationships and transactions ". (1) Check the relationship between it and the related parties exported from the financial system and the information obtained from other public channels in Kweichow Moutai Co.Ltd(600519) 2021; And related party transactions with different transaction categories and significant amounts, (2) review major sales, procurement and other contracts to identify whether there is an undisclosed related party relationship; Deposits, loans and services received from related parties include the purchase of goods and the provision of raw materials. (3) Review legal records such as shareholders' records, register of shareholders, minutes of meetings of shareholders or management, and identify whether there are related parties not informed by the management.
The identification of related party relationship and the integrity of related party transaction disclosure are the focus of audit. So we will close 3 (1) check the completeness of the transaction records and the implementation procedures of the related party with the management; Identified as key audit matters.
(2) Sample check the reconciliation results of the amount and balance of related party transactions;
(3) Sample letters to confirm the amount and balance of related party transactions.
4. Check whether the relationship and transactions of related parties have been fully disclosed in accordance with the requirements of the accounting standards for business enterprises.
5. Compare the price of related party transactions with that of non related parties to verify the fairness of related party transactions.
Audit report (Continued) Tian Zhi Ye Zi [2022] No. 19201
4、 Other information
Kweichow Moutai Co.Ltd(600519) Management (hereinafter referred to as management) is responsible for other information. Other information includes the information covered in Kweichow Moutai Co.Ltd(600519) 2021 annual report, but does not include the financial statements and our audit report.
Our audit opinion on the financial statements does not cover other information, and we will not issue any form of assurance conclusion on other information.
In combination with our audit of the financial statements, our responsibility is to read other information and consider whether other information is materially inconsistent with the financial statements or the information we have learned in the audit process, or there seems to be material misstatement.
Based on the work we have performed, if we determine that there is a material misstatement in other information, we should report that fact. In this regard, we have nothing to report.
5、 Responsibilities of management and governance for financial statements
The management is responsible for preparing the financial statements in accordance with the provisions of the accounting standards for business enterprises to achieve a fair reflection, and designing, implementing and maintaining necessary internal control so that the financial statements are free from material misstatement caused by fraud or error.
When preparing the financial statements, the management is responsible for assessing Kweichow Moutai Co.Ltd(600519) 's ability to continue as a going concern, disclosing matters related to going concern (if applicable), and applying the assumption of going concern, unless liquidation is planned, operation is terminated or there is no other realistic choice. The management is responsible for supervising the financial reporting process of Kweichow Moutai Co.Ltd(600519) .
6、 Responsibilities of certified public accountants for the audit of financial statements
Our goal is to obtain reasonable assurance on whether the financial statements as a whole are free from material misstatement due to fraud or error, and issue an audit report containing audit opinions. Reasonable assurance is a high-level assurance, but it does not guarantee that the audit performed in accordance with the audit standards will always be found when a major misstatement exists. Misstatement may be caused by fraud or error. If it is reasonably expected that the misstatement alone or in summary may affect the economic decisions made by the users of the financial statements based on the financial statements, the misstatement is generally considered to be significant.
In the process of carrying out the audit work in accordance with the audit standards, we use professional judgment and maintain professional doubt. At the same time, we also carry out the following work:
(1) Identify and assess the risks of material misstatement of financial statements due to fraud or error, design and implement audit procedures to deal with these risks, and obtain sufficient and appropriate audit evidence as the basis for issuing audit opinions. Since fraud may involve collusion, forgery, intentional omission, misrepresentation or override of internal control, the risk of failing to find major misstatement caused by fraud is higher than that caused by error.
(2) Understand the internal control related to audit to design appropriate audit procedures.
Consolidated balance sheet
Prepared by: Kweichow Moutai Co.Ltd(600519) December 31, 2021 amount unit: Yuan
Note no. of the project from December 31, 2021 to December 31, 2020
current assets
Monetary capital 51810243607113609109006090 VI. (I)
△ provision for settlement
△ lending funds 1350672877780311819958654106 VI. (II)
Trading financial assets
Financial derivative assets
Notes receivable 153272897967 VI. (III)
Accounts receivable VI. (IV)
Receivables financing
Prepayment 3891098412889843625915 VI. (V)
△ premiums receivable △ reinsurance accounts receivable △ reinsurance contract reserves receivable
Other receivables 33158974323448858219 VI. (VI)
Including: interest receivable
Dividends receivable
△ financial assets purchased for resale
Inventory 33394365084832886908767806 VI. (VII)
Contract assets
Assets held for sale
Non current assets due within one year
Other current assets 71527560742673685591
