Securities code: Berry Genomics Co.Ltd(000710) securities abbreviation: Berry Genomics Co.Ltd(000710) Announcement No.: 2022020 Berry Genomics Co.Ltd(000710)
Announcement on the provision for asset impairment 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.
Berry Genomics Co.Ltd(000710) (hereinafter referred to as "the company") held the 16th meeting of the 9th board of directors and the 11th meeting of the 9th board of supervisors on April 14, 2022, and deliberated and adopted the proposal on withdrawing the provision for asset impairment in 2021. Now, in accordance with the relevant provisions of the stock Listing Rules of Shenzhen Stock Exchange and the self regulatory guide for listed companies of Shenzhen Stock Exchange No. 1 - business handling, The details are announced as follows:
1、 Provision for impairment of assets
In order to truly and accurately reflect the financial situation and operating results of the company in 2021, the company comprehensively combed and checked the notes receivable, accounts receivable, other receivables, contract assets (including other non current assets), inventories, fixed assets, investment real estate, goodwill and other assets in accordance with the accounting standards for business enterprises and relevant accounting policies of the company, The total provision for impairment in 2021 is 6148272290 yuan. The provision for asset impairment has been audited and confirmed by Shanghai accounting firm (special general partnership).
2、 Description of provision for asset impairment
Unit: RMB
Project opening balance current increase closing balance
Bad debt provision for accounts receivable 10611703357535685080315968554160
Bad debt provision for other receivables 6522527103992646791051517389
Inventory falling price reserves - 392156808
Total 11263956067614827229017412228357
3、 Provision for asset impairment in 2021
(I) credit impairment loss
1. Accounts receivable
The balance of bad debt provision of accounts receivable at the beginning of the year was 10611703357 yuan. In the reporting period, the bad debt provision was 5356850803 yuan based on expected credit loss. In the current period, the reversal was 0 yuan, the write off amount was 0 yuan, other changes were 0 yuan, and the year-end balance was 15968554160 yuan.
2. Other receivables
The balance of bad debt provision for other receivables at the beginning of the year is 652252710 yuan. In the reporting period, the bad debt provision is 399264679 yuan based on expected credit loss. In the current period, the reversal is 0 yuan, the write off amount is 0 yuan, other changes are 0 yuan, and the year-end balance of bad debt provision is 1051517389 yuan.
(II) asset impairment loss
1. Inventory falling price reserves
The balance of inventory falling price reserves at the beginning of the year is 0 yuan. The provision for falling price reserves in the reporting period is 392156808 yuan. In the current period, 0 yuan is reversed and 0 yuan is written off. The year-end balance of inventory falling price reserves is 392156808 yuan.
4、 Description of individual impairment provision
The ending balance of the above asset impairment reserves includes the impairment reserves withdrawn individually, with a total of 8725560817 yuan, which is mainly due to the company's comprehensive analysis of the customer's accounts receivable held, which believes that there may be impairment risk and is expected to be difficult to recover. Among them, the company has withdrawn bad debt reserves for the accounts receivable of Hunan Jiahui Biotechnology Co., Ltd, Bad debt reserves are fully accrued for other customer accounts receivable, as follows:
Proportion of provision for impairment of project book balance
Bad debt provision for accounts receivable 26748819908872556081718023259091 33%
Of which:
Hunan Jiahui Biotechnology Co., Ltd. 23549663677552640458618023259091 23%
Bad debt reserves of the company
Bad debt provision for other customers 3199156231 - 100%
5、 Impact on the company's financial position
The total provision for assets and credit impairment of the company is 6148272290 yuan, which will correspondingly reduce the net profit of the company in 2021 and the amount of owner's equity attributable to the parent company at the end of the reporting period to 6151577364 yuan respectively (after considering the impact of the translation difference of foreign currency statements).
6、 Explanation of the board of directors on the reasonableness of the provision for asset impairment this time
The board of Directors believes that the provision for impairment this time is in line with the actual situation of the company's assets and relevant policies and regulations. After the company has made provision for asset impairment, it can more fairly reflect the company's asset status, make the company's accounting information about asset value more authentic, reliable and rational, and there is no damage to the interests of the company and all shareholders. The board of directors agrees with the proposal of the company to make provision for asset impairment in 2021.
7、 Independent opinions expressed by independent directors
The independent directors believe that the provision for asset impairment this time complies with the accounting standards and relevant regulations of the company, the actual situation of the company's assets, and the approval procedures for the provision for asset impairment are legal and compliant. After the provision for asset impairment is made, the 2021 annual financial statements can more fairly reflect the company's annual financial status, asset value and operating results as of December 31, 2021, which is conducive to providing investors with more authentic and reliable accounting information, and there is no damage to the interests of the company and shareholders, especially minority shareholders. The independent directors agreed to the proposal of the company's provision for asset impairment in 2021.
8、 Review opinions of the board of supervisors
According to the provisions of the accounting standards for business enterprises and the company's internal control system for various asset impairment reserves and loss treatment, the board of supervisors believes that the evidence of the company's provision for asset impairment reserves is sufficient and reasonable, which can fairly reflect the company's asset status and operation, and make the accounting information of the company's asset value more authentic and reliable. The board of supervisors agrees with the company's proposal for the provision for asset impairment in 2021.
It is hereby announced.
Berry Genomics Co.Ltd(000710) board of directors April 14, 2022
