301622SZSE

Announcement on Provision for Credit and Asset Impairment for the First Quarter of 2026

✨ AI Summary

This announcement details the provision for credit and asset impairment totaling CNY 19,201,966.82 for the first quarter of 2026. The provision is based on a comprehensive assessment of assets as of March 31, 2026, in accordance with relevant accounting standards. The decision reflects the company's prudent approach to accurately represent its financial condition and asset values.

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Full Translation

AI Translation· azure_openai

Baotou Yingsite Rare Magnetic New Materials Co., Ltd. (hereinafter referred to as "the Company") and all members of the Board of Directors guarantee that the content of this information disclosure is true, accurate, and complete, without false records, misleading statements, or significant omissions.

According to the "Shenzhen Stock Exchange GEM Stock Listing Rules," "Enterprise Accounting Standards," and other relevant regulations, the Company has conducted a comprehensive review of various assets within the scope of the consolidated financial statements as of March 31, 2026, based on the principle of prudence. The Company has made sufficient analysis and assessment and has provided for impairment losses on assets that may incur losses, totaling CNY 19,201,966.82. The specific matters are announced as follows:

1. Overview of the Impairment Provision

  1. Reasons for the Impairment Provision
    In accordance with the "Enterprise Accounting Standards," "Shenzhen Stock Exchange GEM Stock Listing Rules," and other relevant regulations, to accurately reflect the Company's financial condition, asset values, and operating results, the Company has conducted a comprehensive inspection and impairment testing of various assets within the scope of the consolidated financial statements as of March 31, 2026. Based on the principle of prudence, the Company has made corresponding impairment provisions for assets that may incur impairment losses.

  2. Scope, Total Amount, and Reporting Period of the Impairment Provision
    After a comprehensive review and impairment testing of assets that show signs of potential impairment as of March 31, 2026, the Company has made impairment provisions totaling CNY 19,201,966.82, which will be included in the reporting period from January 1, 2026, to March 31, 2026. The details are as follows:

ItemProvision Amount (CNY)
1. Credit Impairment Loss3,264,080.51
- Bad debt loss on notes receivable-19,445.92
- Bad debt loss on accounts receivable3,350,922.60
- Bad debt loss on other receivables-67,396.17
2. Asset Impairment Loss-22,466,047.33
- Inventory write-down loss-22,466,047.33
Total-19,201,966.82

2. Confirmation Standards and Methods for Credit and Asset Impairment Provisions

(a) Credit Impairment Provision
For receivables that show objective evidence of impairment, as well as other receivables suitable for individual assessment, the Company conducts impairment testing to confirm expected credit losses and makes individual impairment provisions. For receivables without objective evidence of impairment, the Company classifies them into several groups based on credit risk characteristics and calculates expected credit losses on a group basis.

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