Pan-China Certified Public Accountants (LLP) Explanation on Financial Matters in the Audit Inquiry Letter Regarding the Issuance of Shares to Specific Targets by Sanhe Tongfei Refrigeration Co., Ltd.

✨ AI Summary

This document provides the response from Pan-China Certified Public Accountants to the Shenzhen Stock Exchange regarding an audit inquiry for Sanhe Tongfei Refrigeration Co., Ltd.'s private placement. It addresses concerns over 2024 profit declines, fluctuations in gross profit margins, and the management of accounts receivable and long-term assets. The report details the impact of market competition in the energy storage sector on the company's financial performance and product profitability.

Summary generated by AI · Always verify with source document

Full Translation

AI Translation· gemini_document

Regarding Operating Performance, Accounts Receivable, and Long-term Assets (Pages 1–27)
Regarding Fund-raising Investment Projects (Pages 27–57)

Explanation on Financial Matters in the Audit Inquiry Letter Regarding the Issuance of Shares to Specific Targets by Sanhe Tongfei Refrigeration Co., Ltd.

Tian Jian Han [2026] No. 549

Shenzhen Stock Exchange:

We have received the "Audit Inquiry Letter Regarding the Application of Sanhe Tongfei Refrigeration Co., Ltd. for Issuance of Shares to Specific Targets" (Audit Letter [2026] No. 020037, hereinafter referred to as the "Audit Inquiry Letter") forwarded by CITIC Securities Co., Ltd. We have prudently reviewed the financial matters of Sanhe Tongfei Refrigeration Co., Ltd. (hereinafter referred to as "Tongfei" or the "Company") mentioned in the Audit Inquiry Letter and report as follows:

I. Regarding Operating Performance, Accounts Receivable, and Long-term Assets

According to the application materials, from 2023 to 2025, the Company's operating income was 1,845.1336 million yuan, 2,160.0744 million yuan, and 2,867.4833 million yuan, respectively. The net profit attributable to shareholders of the parent company after deducting non-recurring gains and losses was 169.589 million yuan, 145.7197 million yuan, and 247.8493 million yuan, respectively. The Company's comprehensive gross profit margins were 26.33%, 22.06%, and 22.31%. At the end of the last three years, the book value of the issuer's accounts receivable was 737.4153 million yuan, 846.5751 million yuan, and 873.1634 million yuan, accounting for 52.54%, 44.99%, and 44.90% of current assets at the end of each period. At the end of the last three years, the issuer's financing amount for accounts receivable was 26.8016 million yuan, 111.2371 million yuan, and 258.4588 million yuan, accounting for 1.91%, 6.57%, and 13.29% of current assets at the end of each period. According to the application materials, at the end of 2025, the issuer mainly used "Di Lian" and "Rong Dan" as supplier payment tools. At the end of the last three years, the book value of the issuer's fixed assets was 391.9791 million yuan, 630.7474 million yuan, and 604.6885 million yuan.

Free accounts get 10 full releases per month. Pro subscribers get unlimited access.