Shenyang Yuanda Intellectual Industry Group Co.Ltd(002689)
Year 2021
audit report
CAC Zheng Shen Zi [2022] No. 0040
Table of contents page 1 audit report 1-4 II audited financial statements
1. Consolidated balance sheet 5-62, consolidated income statement 73, consolidated cash flow statement 84, consolidated statement of changes in shareholders' equity 9-105, parent company balance sheet 11-126 Profit statement of parent company 137, cash flow statement of parent company 148, statement of changes in shareholders' equity of parent company 15-16 III, notes to financial statements 17-111 IV. copies of business license and practice license of audit institution
Audit report
CAC Zheng Shen Zi [2022] No. 0040 Shenyang Yuanda Intellectual Industry Group Co.Ltd(002689) all shareholders:
1、 Audit opinion
We have audited the financial statements of Shenyang Yuanda Intellectual Industry Group Co.Ltd(002689) and its subsidiaries (hereinafter referred to as "the group"), 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 owner's equity and notes to 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 the group as of December 31, 2021 and the operating results and cash flows of the group and the 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 your group 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.
(I) income from elevator sales and installation
1. Item description
As described in note 3 (XXIX), the specific method for the recognition of the group's elevator sales and elevator installation Revenue: if the sales contract has no installation obligation, the control of the goods has been transferred to the buyer when the elevator is sent to the customer, and the sales revenue is recognized; If the sales contract has the installation obligation, when the elevator installation and commissioning is completed, the elevator is accepted by the local organization with inspection qualification and the acceptance certificate is obtained, it is considered that the control of the goods (or services) has been transferred to the buyer, and the sales revenue is recognized. In view of the high proportion of elevator sales and elevator installation revenue in the total revenue, which is the main source of the group's profit and the main indicator affecting the business, we determine this matter as a key audit matter.
2. Audit response
(1) Through the internal control cycle test of sales and collection, understand and evaluate the effectiveness of the internal control system related to revenue recognition, and test the effectiveness of the implementation of key controls;
(2) For the elevator sales business with installation obligations, we analyzed and evaluated the time point of control transfer of the goods (or services) related to the recognition of sales revenue through sampling inspection of sales contracts, delivery orders, acceptance certificates issued by qualified institutions and other supporting documents related to revenue recognition, so as to evaluate whether the recognition of sales revenue complies with the accounting standards for business enterprises; (3) For elevators that have no obligation to install and sell, we conduct sampling inspection on sales contracts, delivery orders and payment receipts; If sales and exports are involved, check the supporting documents related to revenue recognition such as special export invoices, customs declarations, letters of credit and bills of lading, analyze and evaluate the time point of control transfer of the commodity related to sales revenue recognition, and then evaluate whether the recognition of sales revenue complies with the accounting standards for business enterprises;
(4) Check the authenticity of the recognized income in combination with the letter of accounts receivable;
(5) Through the cut-off test, check whether the sales revenue of various sales modes is included in the correct period.
（2） Integrity of related party relationship and transaction disclosure
1. Item description
As stated in note 12, the ultimate controller of your group controls a large number of companies and has the risk of related party transactions with your group but not disclosed in the notes to the financial statements. Therefore, we pay attention to the relationship between related parties and the integrity of transaction disclosure as a key audit matter.
2. Audit response
(1) Understand, evaluate and test the effectiveness of the group's internal control over identifying and disclosing related party relationships and transactions;
(2) Obtain the list of related party relationships, the list of related party transactions and the balance details of related parties provided by the management and check with the financial records;
(3) Review major sales, purchase and other contracts and check with the information in the enterprise credit report to identify whether there is an undisclosed relationship with related parties;
(4) Correspondence with related parties.
4、 Other information
The management of your group is responsible for other information. Other information includes the information covered in the 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 understand 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 of your group (hereinafter referred to as 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.
In preparing the financial statements, the management is responsible for assessing the group's ability to continue as a going concern, disclosing matters related to going concern and applying the assumption of going concern, unless the management plans to liquidate the group, terminate the operation or has no other realistic choice.
The management is responsible for supervising the financial reporting process of your group.
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.
3. Evaluate the appropriateness of accounting policies selected by the management and the rationality of accounting estimates and related disclosures.
4. Draw conclusions on the appropriateness of management's use of going concern assumptions. At the same time, based on the audit evidence obtained, draw a conclusion on whether there are major uncertainties in the matters or circumstances that may lead to major doubts about the sustainable operation ability of your group. If we conclude that there is significant uncertainty, the auditing standards require us to draw the attention of statement users to the relevant disclosures in the financial statements in the audit report; If the disclosure is insufficient, we should express a non unqualified opinion. Our conclusions are based on the information available as of the date of the audit report. However, future events or circumstances may result in the group's inability to continue as a going concern.
5. Evaluate the overall presentation, structure and content of the financial statements, and evaluate whether the financial statements fairly reflect relevant transactions and events. 6. Obtain sufficient and appropriate audit evidence on the financial information of entities or business activities in your group to express an audit opinion on the consolidated financial statements. We are responsible for guiding, supervising and implementing the group audit, and take full responsibility for the audit opinions.
We communicated with the management on the planned audit scope, schedule and major audit findings, including the internal control defects that we identified in the audit.
We also provide a statement to the management that we have complied with the professional ethics requirements related to independence, and communicate with the management all relationships and other matters that may reasonably be considered to affect our independence, as well as relevant preventive measures (if applicable).
From the matters communicated with the management, we determine which matters are the most important for the audit of the current financial statements, thus constituting key audit matters. We describe these matters in the audit report, unless laws and regulations prohibit the public disclosure of these matters, or in rare cases, if the negative consequences of communicating a matter in the audit report are reasonably expected to exceed the benefits in the public interest, we determine that we should not communicate the matter in the audit report.
China audit China Certified Public Accountants
(special general partnership) project partner
Chinese certified public accountant
Tianjin, China April 12, 2022
Shenyang Yuanda Intellectual Industry Group Co.Ltd(002689)
Notes to financial statements of 2021
January 1, 2021 to December 31, 2021
1、 Basic information of the company
(I) Company Profile
Company name: Shenyang Yuanda Intellectual Industry Group Co.Ltd(002689) (hereinafter referred to as the group or the company)
Registered address: No. 27, Kaifa Road, Shenyang Economic and Technological Development Zone, Liaoning Province
Business term: September 24, 2001 to long term
Share capital: RMB 104331072500
Legal representative: Kang Baohua
(II) the nature of the industry, business scope, main products or services provided by the company
Industry nature of the company: the company belongs to general equipment manufacturing - hoisting and transportation equipment manufacturing
Business scope of the company: elevator, escalator, moving sidewalk, permanent magnet synchronous motor, traction machine and frequency and voltage regulation traction system, Siasun Robot&Automation Co.Ltd(300024) , automatic revolving door, window cleaning machine, automatic garage, electric control cabinet, construction machinery and equipment processing, manufacturing, design, installation, transformation and maintenance services; Sheet metal, powder electrostatic spraying, fluorocarbon paint, acrylic paint electrostatic spraying, ceramic paint spraying, wood grain transfer processing, elevator supporting and building decoration engineering design of metal sectors; Technical development, manufacturing and processing of elevator automation system and low-voltage electrical appliances, computer software and hardware, industrial process control equipment, motor and drive system; Design, installation, transformation and maintenance of central air conditioner and related spare parts, single air conditioner and related spare parts; Processing and installation of air duct for air conditioning; Design, production and installation of energy-saving and environmental protection equipment and intelligent control system; Development of clean energy technology and intelligent control system, design, production and installation of clean energy equipment and intelligent control system; Design, production and installation of power equipment, design and construction of housing construction projects. Where national restrictions are involved or the approval of the competent department of the industry is required, the production and operation can be carried out only after the approval of the national or competent department of the industry (for the projects that must be approved according to law, the business activities can be carried out only after the approval of the relevant department).
(III) company history
Shenyang bolint Elevator Co., Ltd. (the original name of the company) was approved by the foreign trade and Economic Cooperation Bureau of Shenyang Economic and Technological Development Zone with the reply on the transformation and renaming of Shenyang bolint Elevator Co., Ltd. into a foreign-invested joint stock Co., Ltd. (Shen Kai Wai Jing Mao Fa [2010] No. 38) and was established by Shenyang bolint Elevator Co., Ltd. Registered with Shenyang Administration for Industry and Commerce on November 9, 2010
