Securities code: Lingyi Itech (Guangdong) Company(002600) securities abbreviation: Lingyi Itech (Guangdong) Company(002600) Announcement No.: 2022051 Lingyi Itech (Guangdong) Company(002600)
Announcement on the provision for asset impairment and write off of assets in 2021
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.
Lingyi Itech (Guangdong) Company(002600) (hereinafter referred to as "the company") in accordance with the accounting standards for business enterprises, the Listing Rules of Shenzhen Stock Exchange and the relevant provisions of the company's accounting policies, announced the company's provision for asset impairment and write off of assets in 2021 as follows:
1、 Provision for asset impairment in 2021
(I) overview of provision for asset impairment
According to the requirements of the accounting standards for business enterprises, the Listing Rules of Shenzhen Stock Exchange and the relevant provisions of the company's accounting policies, in order to more truly and accurately reflect the asset status and financial status of the company as of December 31, 2021, the company and its subsidiaries have conducted a comprehensive and sufficient inventory of bills, accounts receivable, other accounts receivable, inventory, fixed assets, intangible assets, construction in progress and goodwill Analyze and evaluate, and withdraw impairment reserves for assets that may have impairment losses.
(II) asset scope, total amount and reporting period to be included in the provision for impairment this time
After the company and its subsidiaries have conducted a comprehensive inventory and asset impairment test on the assets with possible signs of impairment at the end of 2021, including notes receivable, accounts receivable, other receivables, inventory, fixed assets, intangible assets, construction in progress and goodwill, the total provision for asset impairment in 2021 is 5743211 million yuan, which is detailed as follows:
Asset Name: assets withdrawn in 2021 less the proportion of assets in 2021, which are audited to belong to the previous year
Value reserve amount (10000 yuan) proportion of net profit of shareholders of the municipal company
Accounts receivable 753214 6.38%
Inventory 3663154 31.04%
Goodwill 821622 6.96%
Asset Name: assets withdrawn in 2021 less the proportion of assets in 2021, which are audited to belong to the previous year
Value reserve amount (10000 yuan) proportion of net profit of shareholders of the municipal company
Fixed assets 379656 3.22%
Others 125565 1.06%
Total 5743211 48.66%
The reporting period for the provision for asset impairment is from January 1, 2021 to December 31, 2021.
(III) reasons for withdrawing impairment provision this time
1. Provision for bad debts of accounts receivable
According to the policy of withdrawing bad debt provision for accounts receivable, the company has withdrawn 753214 million yuan of bad debt provision for accounts receivable.
The provision method for bad debt reserves of the company's accounts receivable is as follows: for accounts receivable, regardless of whether it contains major financing components or not, the company always measures its loss reserves according to the amount equivalent to the expected credit loss in the whole duration, and the increase or reversal amount of the loss reserves thus formed is included in the current profits and losses as impairment losses or gains. For accounts receivable with credit risk assessed individually, bad debt reserves shall be withdrawn individually; In addition to the individual assessment of credit risk, the bad debt reserves of receivables based on the characteristics of common credit risk shall be withdrawn according to the aging analysis method.
2. Description of inventory falling price reserves
During the reporting period, according to the ending inventory balance, the company accrued inventory falling price reserves for the difference between the net realizable value and the inventory cost, and accrued inventory falling price reserves of 366315400 yuan.
The basis for determining the net realizable value of inventory and the valuation method of inventory falling price reserves: after a comprehensive inventory of inventory at the end of the period, the inventory falling price reserves shall be withdrawn or adjusted according to the lower of inventory cost and net realizable value. The net realizable value of finished products, goods in stock, materials for sale and other goods inventories directly for sale shall be determined by the amount of the estimated selling price of the inventory minus the estimated selling expenses and relevant taxes in the normal process of production and operation; For the inventory of materials that need to be processed, in the normal production and operation process, the net realizable value is determined by the estimated selling price of the finished products minus the estimated cost to be incurred at the time of completion, estimated selling expenses and relevant taxes; The net realizable value of inventories held for the execution of sales contracts or labor contracts is calculated based on the contract price. If the quantity of inventories held is more than the quantity ordered in the sales contract, the net realizable value of excess inventories is calculated based on the general sales price.
At the end of the period, the inventory falling price reserves are accrued according to a single inventory item; However, for the inventory with large quantity and low unit price, the inventory falling price reserves shall be withdrawn according to the inventory category; If the inventories are related to the product series produced and sold in the same region, have the same or similar end use or purpose, and are difficult to be measured separately from other items, the inventory falling price reserves shall be accrued jointly.
If the factors affecting the previous write down of inventory value have disappeared, the amount of write down shall be restored and reversed within the amount of inventory falling price reserve originally withdrawn, and the reversed amount shall be included in the current profit and loss.
3. Description of goodwill impairment
During the reporting period, the company conducted impairment test on relevant asset groups (portfolios) containing goodwill and accrued 821622 million yuan of goodwill impairment.
Goodwill impairment test method: when conducting impairment test on goodwill, the book value of goodwill shall be allocated to the asset group or combination of asset groups expected to benefit from the synergy of business combination. When conducting the impairment test on the relevant asset group or combination of asset groups containing goodwill, if there are signs of impairment in the asset group or combination of asset groups related to goodwill, first conduct the impairment test on the asset group or combination of asset groups not containing goodwill, calculate the recoverable amount, and compare it with the relevant book value to confirm the corresponding impairment loss.
Then carry out impairment test on the asset group or combination of asset groups containing goodwill, and compare the book value of these relevant asset groups or combination of asset groups (including the book value of the apportioned goodwill) with their recoverable amount. If the recoverable amount of relevant asset groups or combination of asset groups is lower than its book value, the impairment loss of goodwill shall be recognized.
4. Description of impairment of fixed assets
During the reporting period, according to the situation of fixed assets at the end of the period, the company made provision for the impairment of fixed assets for the difference between the recoverable amount and the book value, and made provision for the impairment of fixed assets of 379656 million yuan.
The basis for determining the recoverable amount of fixed assets and the method for withdrawing the provision for impairment of fixed assets: judge whether there is any sign of possible impairment of fixed assets on the balance sheet date. If there are signs of impairment of fixed assets, the recoverable amount shall be estimated on the basis of single assets; If it is difficult to estimate the recoverable amount of a single asset, the recoverable amount of the asset group shall be determined based on the asset group to which the asset belongs.
The estimation of the recoverable amount of an asset is determined according to the higher one between the net amount of its fair value minus the disposal expenses and the present value of the expected future cash flow of the asset. If the measurement result of recoverable amount shows that the recoverable amount of fixed assets is lower than its book value, the book value of fixed assets shall be written down to the recoverable amount, and the written down amount shall be recognized as asset impairment loss and included in the current profit and loss, and the corresponding asset impairment provision shall be withdrawn at the same time. Once the asset impairment loss is recognized, it shall not be reversed in subsequent accounting periods.
2、 Assets written off in 2021
In accordance with the accounting standards for business enterprises, the Listing Rules of Shenzhen Stock Exchange and the relevant provisions of the company's accounting policies, in order to truly reflect the company's financial situation, the company decided to write off the uncollectible receivables, with a total write off amount of 2119815 million yuan, including 2104247 million yuan of accounts receivable and 1.5568 million yuan of other receivables.
The accounts receivable written off in this year are mainly accounts receivable from Dongguan Jinming Electronics Co., Ltd. (hereinafter referred to as "Dongguan Jinming"), with an aging of 3-5 years and a total write off amount of 1963219 million yuan. As of December 31, 2021, the bad debt provision of 1963219 million yuan has been accrued for the accounts receivable in previous years. The assets written off this time have no impact on the profit and loss in the reporting period. The accounts receivable have been recovered by the company by means of collection and litigation. However, the company has been unable to recover the above amounts because the reorganization plan of Dongguan Jinming has been implemented, so the above amounts are written off.
The reporting period of the assets written off this time is from January 1, 2021 to December 31, 2021. 3、 Approval procedures for the withdrawal of asset impairment reserves and the performance of write off assets this time
According to the stock listing rules of Shenzhen Stock Exchange and the relevant systems and regulations of the company, the company needs to perform the obligation of information disclosure for the provision for asset impairment and write off of assets this time, which does not need to be submitted to the board of directors and the general meeting of shareholders for deliberation. The provision for asset impairment and write off of assets do not involve related party transactions.
4、 The impact of the provision for asset impairment and write off of assets on the company
The total amount of the company's provision for asset impairment in 2021 is 5743211 million yuan, which is included in the reporting period from January 1, 2021 to December 31, 2021. Considering the income tax, the provision for asset impairment this time reduces the company's net profit attributable to the owners of listed companies by 5003052 million yuan in 2021. The total assets written off by the company in 2021 were RMB 2119815 million, and the bad debt provision was RMB 2119815 million. The assets written off this time had no impact on the profit and loss during the reporting period. The provision for asset impairment and write off of assets in this year have been audited by an accounting firm.
The write off of receivables in this year meets the requirements of accounting standards and relevant policies, conforms to the actual situation of the company, and does not harm the interests of the company and shareholders. Some write off of receivables in this year do not involve related parties of the company. There is no profit manipulation in the provision for asset impairment and write off of assets this time.
5、 Statement of the audit committee of the board of directors on the rationality of the provision for asset impairment and write off of assets
The company's provision for asset impairment and write off of assets this time comply with and comply with the provisions of the accounting standards for business enterprises and relevant accounting policies of the company. The basis for the provision for asset impairment and write off of assets is sufficient, reflecting the principle of prudence in accounting treatment, which is conducive to objectively and fairly reflect the company's asset value and financial situation, and make the company's accounting information about asset value more true, reliable and reasonable. Therefore, we unanimously agree that the company's provision for asset impairment and write off of assets this time.
It is hereby announced.
Lingyi Itech (Guangdong) Company(002600) board of directors
April 7, 2002
