Medlive Technology Co., Ltd. — Interim / Quarterly Report 2021

Apr 28, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

==> picture [283 x 44] intentionally omitted <==

HISENSE HOME APPLIANCES GROUP CO., LTD. 海信家電集團股份有限公司

(a joint stock limited company incorporated in the People’s Republic of China with limited liability)

(Stock Code: 00921)

2021 FIRST QUARTERLY REPORT

This announcement is made by Hisense Home Appliances Group Co., Ltd. (the “ Company ”) pursuant to Part XIVA of the Securities and Futures Ordinance (Cap.571) and Rules 13.09 and 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

I. IMPORTANT NOTICE

1. The board of directors (the “ Board ”), the supervisory committee, the directors (the “ Directors ”), the supervisors (the “ Supervisors ”) and the senior management (the “ Senior Management ”) of the Company warrant that there are no false representation or misleading statements contained in, or material omissions from, this report; and jointly and severally accept legal responsibility for the truthfulness, accuracy and completeness of the information contained herein.

2. Mr. Tang Ye Guo, the person in charge of the Company and Ms. Liang Hong Tao, the person in charge of the accounting function and Ms. Zhou Min, the person in charge of the accounting department, warrant the truthfulness, accuracy and completeness of the contents of the financial statements in this quarterly report.

3. All Directors attended the Board meeting for considering and approving the 2021 first quarterly report.

4. The financial statements of the Company for the first quarter of 2021 have not been audited by accountants.

5. The full text of the Company’s balance sheet, income statement and cash flow statement are published on the website as designated by the Shenzhen Stock Exchange for release of information: http://www.cninfo.com.cn.

1

II. MAJOR ACCOUNTING DATA AND FINANCIAL INDICATORS

Did the Company make retrospective adjustment to or restatement of the accounting data of prior years due to changes in accounting policies and correction of accounting errors? □ Yes √ No

			Increase or decrease of
			this reporting period as
Items	This reporting period	The period last year	compared to the
			corresponding period
			last year (%)
Operatingrevenue(RMB)	13,934,855,063.93	7,585,620,733.19	83.70
Net profits attributable to shareholders of listed	218,041,374.16	43,550,392.57	400.66
company(RMB)
Net profits attributable to shareholders of listed	133,465,991.53	-37,404,936.92	N/A
company after deducting extraordinary profit
and loss(RMB)
Net cash flow from operatingactivities(RMB)	-52,228,509.71	51,278,516.92	N/A
Basic earningsper share(RMB/share)	0.16	0.03	433.33
Diluted earningsper share(RMB/share)	0.16	0.03	433.33
Weighted average rate of return on net assets	2.21	0.50	Up 1.71 percentage point
(%)
			Increase or decrease at
			the end of this reporting
	End of this reporting	End of last financial
Items			period as compared to
	period	year
			the end of last financial
			year(%)
Total assets(RMB)	44,993,004,324.42	41,811,635,813.53	7.61
Net assets attributable to shareholders of listed	9,988,437,445.53	9,779,115,580.43	2.14
company (RMB)

Extraordinary profit and loss items and amounts

√ Applicable Not applicable

Unit: RMB

	Amounts from the
	beginning of the
Item		Description
	year to the end of the
	reporting period
Profits or losses from disposal of non-current assets (including the part written off
	3,112,210.44
for provision for impairment on assets)
Government subsidy recorded in the profits or losses of the current period (except
government subsidy which is closely related to the Company’s business and is
	69,109,764.53
entitled for fixed amounts or fixed percentage based on unified standards
promulgated by the government)
Gain or loss arisingfrom entrusted investment or entrusted asset management	10,940,410.96
Except for effective hedging operations related to the Company’s normal business
operations, gain or loss from changes in fair values of transactional financial assets,	15,457,972.63
derivative financial assets, transactional financial liabilities and derivative financial

2

liabilities, and investment gain from the disposal of transactional financial assets,
derivative financial assets, transactional financial liabilities, derivative financial
liabilities and other investments in debt
Non-operatingincome and expenses other than the aforementioned items	5,987,842.57
Less: Effect of income tax	13,141,720.13
Effect of minority interests (after tax)	6,891,098.37
	84,575,382.63
Total		--

III. Table showing total number of shareholders and the shareholding of the top ten holders of ordinary shares at the end of the reporting period

Unit: shares

Total number of shareholders of ordinary shares at the	Total number of shareholders of ordinary shares at the
						22,232
end of the reporting period
The shareholding of the top ten holders of ordinary shares
					No. of	Situation of
			Percentage to the
					shares held	pledged or
	Nature of		total issued share	No. of shares
Name of Shareholder					subject to	frozen shares
	Shareholder		capital of the	held
					selling	Share
			Company				Quantity
					restrictions	status
Qingdao Hisense Air-conditioning Company Limited	Non -State-owned legal person		37.92%	516,758,670	0
HKSCC Nominees LimitedNote1	Foreign legal person		33.59%	457,684,069
The Hong Kong Securities Clearing Company ( HKSCC)Note2	Foreign legal person		4.63%	63,128,363	0
Shanghai Gaoyi Asset Management Partnership - Gaoyi Linshan No.1 Long-range Fund* (上海高毅資產管理合 夥企業(有限合夥）－高毅鄰山1號遠望基金)	Other		3.67%	50,000,000	0
Cental Huijin Asset Management Ltd.	State-owned legal person		1.95%	26,588,700	0
National Social Security Fund Portfolio No.102(全國社保基金一零二組合)	Other		0.97%	13,240,636	0
Bank of Ningbo Co., Ltd. - Fullgoal Balanced Strategy Hybrid Securities Investment Fund* (寧波銀行股份有限公司 －富國均衡策略混合型證券投資基金)	Other		0.70%	9,537,457	0
Zhang Shao Wu	Domestic natural person		0.53%	7,200,000	0
Industrial and Commercial Bank of China-Bosera Growth Preferred Two-year Closed-end Flexible allocation of Mixed Securities Investment Fund* (中國工商銀行股份有限公司-博時成長優選 兩年封閉運作靈活配置混合型證券投資基 金)Note3	Other		0.46%	6,218,850	0
Agricultural Bank of China - Bosera Yulon Flexible Allocation of Mixed Securities Investment Fund* (中國農業銀 行股份有限公司－博時裕隆靈活配置混合型 證券投資基金)Note3	Other		0.44%	5,939,244	0

3

The shareholding of the top ten holders of ordinary shares not subject to selling restrictions	The shareholding of the top ten holders of ordinary shares not subject to selling restrictions	The shareholding of the top ten holders of ordinary shares not subject to selling restrictions	The shareholding of the top ten holders of ordinary shares not subject to selling restrictions
	Number of shares held	Class of shares
Name of Shareholder	not subject to selling
		Class of shares	Quantity
	restrictions
Qingdao Hisense Air-conditioningCompanyLimited	516,758,670	RMB ordinaryshares	516,758,670
HKSCC Nominees LimitedNote1	457,684,069	Overseas listed foreign
			457,684,069
		shares
The Hong Kong Securities Clearing Company (HKSCC)Note2	63,128,363
		RMB ordinary shares	63,128,363
Shanghai Gaoyi Asset Management Partnership - Gaoyi Linshan No.1 Long-range Fund* (上海高毅資產 管理合夥企業(有限合夥)－高毅鄰山1號遠望基金)	50,000,000
		RMB ordinary shares	50,000,000
Cental Huijin Asset Management Ltd.	26,588,700	RMB ordinaryshares	26,588,700
National Social Security Fund Portfolio No.102 (全國 社保基金一零二組合)	13,240,636
		RMB ordinary shares	13,240,636
Bank of Ningbo Co., Ltd. - Fullgoal Balanced Strategy Hybrid Securities Investment Fund* (寧波銀行股份有限 公司－富國均衡策略混合型證券投資基金)	9,537,457
		RMB ordinary shares	9,537,457
ZhangShao Wu	7,200,000	RMB ordinaryshares	7,200,000
Industrial and Commercial Bank of China-Bosera Growth Preferred Two-year Closed-end Flexible allocation of Mixed Securities Investment Fund* (中國 工商銀行股份有限公司-博時成長優選兩年封閉運作靈活配 置混合型證券投資基金)Note3	6,218,850
		RMB ordinary shares	6,218,850
Agricultural Bank of China - Bosera Yulon Flexible Allocation of Mixed Securities Investment Fund* (中 國農業銀行股份有限公司－博時裕隆靈活配置混合型證券 投資基金)Note3	5,939,244
		RMB ordinary shares	5,939,244

Note 1: HKSCC Nominees Limited is the nominal shareholder of the Company’s non-registered shareholders in H shares. The shares held by HKSCC Nominees Limited are held on behalf of a number of its account participants, among which, Hisense (Hong Kong) Company Limited, a party acting in concert with the controlling shareholder of the Company. By the end of this reporting period, Hisense (Hong Kong) Company Limited held a total of 124,452,000 H shares of the Company as at representing 9.13% of the total number of shares of the Company.

Note 2: HKSCC Limited is the nominal shareholder of the Company’s non-registered shareholders in A shares through Shenzhen Connect. The shares held by HKSCC Limited are held on behalf of a number of its account participant.

Note 3:The fund managers of Agricultural Bank of China - Bosera Yulon Flexible allocation of Mixed Securities Investment Fund ( 中國農業銀行股份有限公司 - 博時裕隆靈活配置混合型證券投資基金 ) and Industrial and Commercial Bank of China- Bosera Growth Preferred Two-year Closed-end Flexible allocation of Mixed Securities Investment Fund ( 中國工商銀行股份有限公司 - 博 時成長優選兩年封閉運作靈活配置混合型證券投資基金 ) are both Bosera Fund Management Co., Ltd.

Save as disclosed above, the Company is not aware of whether any shareholders is connected with each other or any of them is a party acting in concert with any of the other within the meaning of Administrative Measures for the Takeover of Listed Companies ( 《上市公司收購管理辦法》 ).

IV. SIGNIFICANT MATTERS

1. Details of and reasons for significant changes of the principal accounting items and financial indicators during the reporting period

√ Applicable Not applicable

4

Unit: RMB

Balance Sheet items	Closing balance	Opening balance	Change （%）	Reason for the change
Notes receivable	1,143,683,217.05	548,498,540.36	108.51	Mainly due to the increase of notes recoveryduringthis reporting period
Inventories	6,062,191,820.13	4,295,262,485.11	41.14	Mainly due to the growth of sales scale and the increase in inventories correspondingto the sales scalegrowth
Construction in progress	350,288,212.70	228,887,385.20	53.04	Mainly due to the increase in technical transformation investment
Short-term borrowings	500,599,477.28	22,026,317.50	2,172.73	Mainly due to the increase in short-term borrowings by the Company’s subscribers
Income Statement items			Change （%）	Reason for the change
	Closing balance	Opening balance
Operating revenue	13,934,855,063.93	7,585,620,733.19	83.70	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term, as well as strengthened management and recovered business by the Company
Operating costs	11,046,748,947.92	6,026,946,359.10	83.29	Mainly due to the outbreak of coronavirus disease which resulted in a lowcomparison base in the same term
Taxes and surcharges	81,174,523.17	43,895,861.24	84.93	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Sales expense	1,822,596,328.45	1,087,667,447.83	67.57	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Research and development expenses	379,154,264.86	275,527,711.33	37.61	Mainly due to the increase of investment in research and development
Finance expense	-62,124,364.53	-43,337,159.50	N/A	Mainly due to the increase in interest income
Income tax expenses	169,320,214.24	53,330,896.78	217.49	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Profit and loss of minority interests	268,204,046.41	45,415,753.21	490.55	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Cash Flow Statement items	The balance form		Change （%）	Reason for the change
	the year beginning	The balance of
	to the end of this reporting period	last period
Cash received from sales of goods and rendering of services	10,618,654,036.04	7,742,250,847.74	37.15	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term, as well as strengthened management and recovered business by the Company
Tax rebates received	537,687,693.62	275,134,326.98	95.43	Mainly due to the increase in export tax refund receivable

5

Cash paid for purchases of commodities and receipt of services	7,944,948,963.06	5,747,596,862.32	38.23	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Cash paid to and for employees	1,524,259,017.94	1,163,596,013.44	31.00	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Cash paid for taxes and surcharges	571,519,325.57	354,213,519.68	61.35	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Cash paid for other operating activities	1,385,633,673.24	875,724,224.19	58.23	Mainly due to the outbreak of coronavirus disease which resulted in a low comparison base in the same term
Cash received from investment income	10,940,410.96	20,697,764.37	-47.14	Mainly due to the decrease in maturity wealth managementproducts
Cash paid for acquisition of fixed assets, intangible assets and other long-term assets	245,075,023.54	91,719,408.68	167.20	Mainly due to the increase of long-term asset investment
Cash paid relating to other investing activities	2,430,629,567.00	2,950,000,000.00	-17.61	Mainly due to the decrease of purchase of wealth management products and new time deposits during this reporting period
Cash received from borrowings	500,000,000.00	270,000,000.00	85.19	Mainly due to the increase in short-term borrowings by the Company’s subscribers
Cash paid for distribution of dividends, profit or payment of interest expenses	154,839,766.81	3,206,659.22	4,728.69	Mainly due to the distribution of dividends to the Company’s subscribers during this reporting period

2. Development of significant matters and analysis of their impacts and solutions

√Applicable Not applicable

On 1 March 2021, the Company entered into the Share Purchase Agreement with Sanden Holdings Corporation (“ Sanden ”). On the premise that the Turnaround Plan was approved by the ADR Creditors’ meeting (including waived ADR debts and other contents), the Company has agreed to subscribe for private issue of 83,627,000 shares of common stock of Sanden on the closing date, at the subscription price of JPY256 per subscription share for a total subscription amount of JPY21,408,512,000. The Company will also be required to provide a guarantee in respect of the remaining ADR debts owed to the ADR creditors after the debt forgiveness under the turnaround plan. Details of the Share Purchase Agreement are set out in the announcement of the Company dated 1 March 2021.

The progress in implementation of share repurchase

□ Applicable √ Not applicable

6

The progress in implementation of share repurchase by centralized competitive bidding □ Applicable √ Not applicable

3. Undertakings not yet performed after the due date during the reporting period by the Company, shareholder(s), beneficial controller(s), acquirer(s), Director(s), Supervisor(s), Senior Management or other connected party(ies)

□ Applicable √ Not applicable

During the reporting period, there were no incidents of undertaking not yet performed after the due date by the Company’s actual controller(s), shareholder(s), connected party(ies), acquirer(s) and the Company.

4. Entrusted wealth management

√ Applicable Not applicable

Unit: RMB (in ten thousand)

	Source of funding for	Subscription amount	Amount of undue
Product Type	entrusted wealth	of entrusted wealth	principal and	Overdue balance
	management	management	revenue
Bank’s wealth
	Self-owned funds	328,000.00	278,000.00	0.00
managementproduct
Total		328,000.00	278,000.00	0.00

During the reporting period, the Company did not have high-risk entrusted wealth management with single amount or low security, poor liquidity and no insurance, and there was no expectation that the entrusted wealth management could not recover the principal or other circumstances that might lead to impairment.

5. Derivatives investment

√ Applicable Not applicable

Unit: RMB (in ten thousand)

										Am
Nam										oun		Proportio	Actual
												f
e of										t of		n o	amount
oper		Wheth								pro visi		investme	of
							Investment					nt to the
ators		er or		Initial				Amount of	Amount of		Investmen		profit
of	Conn	not a	Type of	investment			at the					net asset	and
					Effective	Expiry	beginning	purchase	disposal	on	t at the	of the
deriv	ectio	conne	derivatives	of									loss
					Date	Date	of the	during the	during the	for imp	end of the	Company
ative	n	cted	investment	derivatives			reortin	reporting	reporting		reporting	at the end	during
s inves		transa ction		investment			pg period	period	period	air men	period	of the	the i
tmen										t (if any )		reporting period	report ng
t													period
												(%)
			Forward
					1	31
			foreign
Bank	No	No		43,481.43	January	March	43,481.43	25,938.36	18,563.57		50.856.22	5.09	324.55
			exchange
			contracts		2021	2021

7

Total	43,481.43	--	--	43,481.43	25,938.36	18,563.57		50.856.22	5.09	324.55
Source of derivatives
	Export trade payment
investment funding
Litigation involved (if
	N/A
applicable)
Date of the announcement
disclosing the approval of
	31 March 2021
derivatives investment by the
Board (if any)
Date of the announcement
disclosing the approval of
	N/A
derivatives investment during
shareholders’ meetings (if any)
	The derivatives business conducted by the Company mainly are the forward foreign exchange
	contracts entered into for the purpose of avoiding the risk of foreign exchange fluctuations related to
Risk analysis of positions in	the overseas sales receivables. The Company determines a reasonable range of foreign exchange
derivatives and explanations of	rates to achieve the hedging purpose.
risk control measures
(including but not limited to	The Company has formulated the “Management Measures for the Foreign Exchange Capital
market risk, liquidity risk,	Business” and “the Internal Control System for Forward Foreign Exchange Capital Transactions”.
credit risk, operation risk, legal	The measures specifically regulate the basic principles, operation rules, risk control measures and
risk etc.) during the reporting	internal controls that shall be followed when the Company engages in the business of foreign
period	exchange derivatives. In respect of actual business management, the Company manages the
	derivatives business before, during and after the operation based on the management measures for
	the derivatives business.
Changes in market price or
product fair value of invested	The assessment of the fair value of the derivatives carried out by the Company mainly represents
derivatives during the	the outstanding foreign exchange forward contracts entered into by the Company and banks, which
reporting period, where	are recognized as transactional financial assets or liabilities based on the difference between the
specific methods and relevant	quotation of the outstanding foreign exchange forward contracts and the forward exchange rate as at
assumptions and parameters	the end of the period. During the reporting period, the Company recognized a loss on change in fair
used in the analysis of	value of the derivatives of RMB3.1084 million, investment gain amounted to RMB6.3539 million,
derivatives’ fair value shall be	resulting in a total profits or losses of RMB3.2455million.
disclosed
Explanations of any significant
changes in the Company’s
accounting policies and
	During the reporting period, there were no material changes in the accounting policy and specific
specific accounting and
	accounting and auditing principles for the Company’s derivatives business as compared to last
auditing principles on
	reporting period.
derivatives between the
reporting period and the last
reporting period
	Opinion of independent Directors: Commencement of foreign exchange derivatives business by the
Specific opinions of
	Company was beneficial to the Company in the prevention of exchange rate fluctuation risks. The
independent Directors on the
	Company has devised the Internal Control System for Forward Foreign Exchange Capital
derivatives investment and risk
	Transactions to strengthen internal control and enhance the management of foreign exchange risks
control of the Company
	bythe Company, and the targeted risk control measures adopted werepracticable.

6. Illustration on adjustments of financial statements

1) Illustration on financial statements at the beginning of the year when the New Revenue Standard or the New Leasing Standard applied for the first time in the year 2021

8

□ Applicable √ Not applicable

2) Illustration on retrospective prior period adjustment when the New Revenue Standard or the New Leasing Standard applied for the first time in the year 2021

□ Applicable √ Not applicable

This quarterly report is prepared in Chinese and English respectively. In case of inconsistency, the Chinese text of this quarterly report shall prevail over its English text.

By order of the Board of Hisense Home Appliances Group Co., Ltd. Tang Ye Guo Chairman

Foshan City, Guangdong, the PRC, 28 April 2021

As at the date of this announcement, the Company’s executive directors are Mr. Tang Ye Guo, Mr. Jia Shao Qian, Mr. Lin Lan, Mr. Dai Hui Zhong, Mr. Duan Yue Bin and Mr. Fei Li Cheng; and the Company’s independent non-executive directors are Mr. Ma Jin Quan, Mr. Zhong Geng Shen and Mr. Cheung Sai Kit.

9