Qindao Star Investment Partnership (Limited Partnership)
Audited Transitional Profit and Loss Statement
January 1, 2024 to March 31, 2026
| Item | Amount (RMB) |
|---|---|
| Operating Income | 53,182,895,116.27 |
| Tax and Additional Income | 39,050,053,949.43 |
| Sales Expenses | 155,403,457.65 |
| Administrative Expenses | 1,743,596,841.73 |
| Research Expenses | 1,413,245,406.69 |
| Financial Expenses | 1,120,614,584.44 |
| Total Expenses | 1,345,484,560.58 |
| Other Income | 166,463,686.77 |
| Total | 5,658,984,025.91 |
| Item | Amount (RMB) |
|---|---|
| Operating Profit | 4,444,496,419.46 |
| Net Profit | 4,444,496,419.46 |
Important Accounting Policies and Estimates (Continued)
3. Consolidation of Enterprises
Consolidation of enterprises is classified into controlled and non-controlled enterprises.
Enterprises participating in the consolidation are required to adhere to the relevant control standards, and the consolidation is based on the principle of control. Controlled enterprises are those in which the parent company has the power to govern the financial and operating policies of the enterprise to obtain benefits from its activities. Non-controlled enterprises are those in which the parent company does not have such control.
4. Consolidated Financial Statements (Continued)
For the consolidated financial statements of the enterprises acquired by the group, the financial results and cash flows of the acquired enterprises are included in the consolidated financial statements from the date control is obtained. The consolidated financial statements are prepared based on the financial statements of the parent company and its subsidiaries, and the financial statements of the subsidiaries are adjusted to align with the accounting policies of the parent company.
If there are significant changes in the control situation, the group will reassess the control status of the enterprise.
5. Cash and Cash Equivalents
Cash refers to the cash held by the group and cash equivalents, which are short-term, highly liquid investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of changes in value.
6. Foreign Currency Transactions and Foreign Currency Translation
The group recognizes foreign currency transactions at the exchange rate on the transaction date. Foreign currency monetary items are translated at the exchange rate at the balance sheet date. Exchange differences arising from the translation of foreign currency monetary items are recognized in profit or loss.
7. Financial Instruments
Financial instruments are recognized when the group becomes a party to the contractual provisions of the financial instrument.
(1) Recognition and Derecognition of Financial Instruments
The group recognizes financial instruments when it becomes a party to the contractual provisions of the financial instrument. Financial instruments are derecognized when the rights to receive cash flows from the financial assets have expired or have been transferred and the group has transferred substantially all the risks and rewards of ownership.
(2) Classification and Measurement of Financial Assets
Financial assets are classified at initial recognition based on the business model for managing the financial assets and the contractual cash flow characteristics of the financial asset.
Financial assets are classified into the following categories:
- Amortized cost
- Fair value through other comprehensive income
- Fair value through profit or loss
(3) Financial Liabilities
Financial liabilities are classified at initial recognition based on the contractual obligations to deliver cash or another financial asset to another entity.
(4) Financial Instrument Valuation
The group measures financial instruments at fair value, and the fair value is determined based on market prices or valuation techniques.
8. Inventories
Inventories include raw materials, work in progress, finished goods, and merchandise.
Inventories are initially measured at cost, and the cost includes purchase price, import duties, and other costs directly attributable to bringing the inventories to their current location and condition.