002383SZSE

Announcement on Changes to Accounting Policies

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Beijing Huarui Intelligent Technology Co., Ltd. announces a change in accounting policies effective January 1, 2026, in accordance with new regulations from the Ministry of Finance. This change, specifically regarding the accounting treatment of capital reserves from business combinations under common control, is considered a reasonable adjustment and is not expected to materially impact the company's financial position or performance. The decision has been reviewed and approved by the Audit Committee and the Board of Directors.

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Securities Code: 002383 Securities Abbreviation: Huarui Intelligent Announcement No.: 2026-019

Beijing Huarui Intelligent Technology Co., Ltd. Announcement on Changes to Accounting Policies

The Company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or major omissions.

Special Notice: This change in accounting policies is a reasonable adjustment made in accordance with the regulations issued by the Ministry of Finance, complies with relevant regulatory requirements and the Company's actual situation, and will not affect the Company's financial position, operating results, or cash flows.

Beijing Huarui Intelligent Technology Co., Ltd. (hereinafter referred to as the "Company") held its 20th meeting of the Sixth Board of Directors on April 22, 2026, and reviewed and approved the "Proposal on Changes to Accounting Policies." The relevant matters are hereby announced as follows:

I. Overview of Changes to Accounting Policies

  1. Reason for Change On December 19, 2025, the Ministry of Finance issued "Enterprise Accounting Standards Interpretation No. 19" (Cai Kuai [2025] No. 32), which stipulates the accounting treatment for "compensating assets in business combinations not under common control," "accounting for capital reserves related to the disposal of subsidiaries acquired through business combinations under common control," "derecognition of financial liabilities settled by electronic payment systems," "assessment of contractual cash flow characteristics of financial assets and related disclosures," and "disclosure of equity instruments designated at fair value through other comprehensive income." In accordance with the revised requirements of the above accounting standards interpretation, the Company has changed its accounting policies.

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