Fullshare : 2022 interim report

Fullshare Holdings Limited Interim Report 2022

Contents

Page

Independent review report	2
Interim condensed consolidated statement of profit or loss
and other comprehensive income	5
Interim condensed consolidated statement of financial position	9
Interim condensed consolidated statement of changes in equity	12
Interim condensed consolidated statement of cash flows	14
Notes to the interim condensed consolidated financial statements	17
Additional information required by the Listing Rules	85

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Fullshare Holdings Limited Interim Report 2022

Independent Review Report

Independent review report to the board of directors of

Fullshare Holdings Limited 豐盛控股有限公司

(Incorporated in the Cayman Islands with limited liability)

INTRODUCTION

We have reviewed the interim condensed consolidated financial statements of Fullshare Holdings Limited (the "Company") and its subsidiaries (together the "Group") set out on pages 5 to 84, which comprises the interim condensed consolidated statement of financial position as at 30 June 2022, and the interim condensed consolidated statement of profit or loss and other comprehensive income, the interim condensed consolidated statement of changes in equity and the interim condensed consolidated statement of cash flows for the six months then ended and notes to the interim condensed consolidated financial statements. The Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited require the preparation of a report on the interim condensed consolidated financial statements to be in compliance with the relevant provisions thereof and Hong Kong Accounting Standard 34, Interim Financial Reporting , issued by the Hong Kong Institute of Certified Public Accountants. The directors of the Company are responsible for the preparation and presentation of the interim condensed consolidated financial statements in accordance with Hong Kong Accounting Standard 34.

Our responsibility is to form a conclusion, based on our review, on the interim condensed consolidated financial statements and to report our conclusion solely to you, as a body, in accordance with our agreed terms of engagement, and for no other purpose. We do not assume responsibility towards or accept liability to any other person for the contents of this report.

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Fullshare Holdings Limited Interim Report 2022

Independent Review Report

SCOPE OF REVIEW

Except as explained in the following paragraphs, we conducted our review in accordance with Hong Kong Standard on Review Engagements 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity, issued by the Hong Kong Institute of Certified Public Accountants. A review of the interim condensed consolidated financial statements consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Hong Kong Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

BASIS OF QUALIFIED CONCLUSION

As detailed in Note 16 to the interim condensed consolidated financial statements, the Group holds certain equity interests in two associates, namely Changzhou Jiangheng Real Estate Development Co. Ltd. and Yangzhou Hengfu Real Estate Development Co. Ltd. (collectively the "China Evergrande Group Companies"). The investments in associates are recognised under equity method in the Group's consolidated financial statements. During the year ended 31 December 2021, the Group has fully impaired the investments in China Evergrande Group Companies based on management's best estimates on the recoverable amounts of the relevant equity interests.

The directors of the Company have represented to us that, management of the China Evergrande Group Companies refused to grant access to books and records and the supporting documents and financial information relating to the carrying amount of the investments in China Evergrande Group Companies to the Group since August 2021. As set out in our auditor's report dated 31 March 2022 on the Group's consolidated financial statements for the year ended 31 December 2021, we qualified our opinion due to the scope limitation of audit in relation to the carrying amount of the Group's investments in associates and the corresponding share of results of the associates and impairment losses on investments in associates as we were unable to obtain sufficient appropriate audit evidence on whether any adjustments were necessary to be made on these amounts which would have a consequential impact on the Group's net assets as at 31 December 2021 and the Group's loss for the year then ended. This matter has not been resolved during the six months ended 30 June 2022 and up to the date to this review report, and the directors of the Company continue to be unable to obtain access to the above information. Based on limited information made available to the management, the Group did not recognise any share of results from these associates or reversal of impairment losses on investments in associates for the six months ended 30 June 2022.

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Fullshare Holdings Limited Interim Report 2022

Independent Review Report

BASIS OF QUALIFIED CONCLUSION (continued)

Due to lack of available information, we were unable to complete our review procedures on the carrying amount of the investments in China Evergrande Group Companies and the share of results of these associates included in these interim condensed consolidated financial statements. Had we been able to complete these review procedures, matters might have come to our attention indicating adjustments might be necessary to these interim condensed consolidated financial statements. Any adjustments found to be necessary in respect of the above amounts would have a consequential impact on the Group's net assets as at 30 June 2022 and 31 December 2021 and the Group's profit for the six months ended 30 June 2022.

QUALIFIED CONCLUSION

Based on our review, except for the possible effects of the matters described in the "Basis of qualified conclusion" section of our report, nothing has come to our attention that causes us to believe that the interim condensed consolidated financial statements for the six months ended 30 June 2022 is not prepared, in all material respects, in accordance with Hong Kong Accounting Standard 34, Interim Financial Reporting .

Baker Tilly Hong Kong Limited

Certified Public Accountants

Hong Kong, 31 August 2022

Gao Yajun

Practising certificate number P06391

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