Kong Sun : Interim Report 2022

INTERIM REPORT

2022

CONTENTS

Corporate Information	2
Chairman's Statement	4
Financial Highlights	6
Management Discussion and Analysis	7
Disclosure of Other Information	19
Condensed Consolidated Statement of Profit or Loss	31
Condensed Consolidated Statement of Other Comprehensive Income	32
Condensed Consolidated Statement of Financial Position	33
Condensed Consolidated Statement of Changes in Equity	35
Condensed Consolidated Statement of Cash Flows	36
Notes to the Condensed Consolidated Interim Financial Statements	38

CORPORATE INFORMATION

EXECUTIVE DIRECTORS	Mr. Jin Yanbing (Chairman)
	Mr. Qin Hongfu
NON-EXECUTIVE DIRECTOR	Mr. Jiang Hengwen
INDEPENDENT NON-EXECUTIVE	Mr. Lang Wangkai
DIRECTORS	Ms. Wu Wennan
	Mr. Xu Xiang
AUDIT COMMITTEE	Ms. Wu Wennan (Chairman)
	Mr. Lang Wangkai
	Mr. Xu Xiang
NOMINATION COMMITTEE	Mr. Lang Wangkai (Chairman)
	Mr. Jin Yanbing
	Ms. Wu Wennan
	Mr. Xu Xiang
REMUNERATION COMMITTEE	Mr. Xu Xiang (Chairman)
	Mr. Jin Yanbing
	Mr. Lang Wangkai
	Ms. Wu Wennan
REGISTERED OFFICE	Unit 803-4, 8/F
	Everbright Centre
	108 Gloucester Road
	Wanchai
	Hong Kong

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CORPORATE INFORMATION (continued)

SHARE REGISTRAR AND	Computershare Hong Kong
TRANSFER OFFICE	Investor Services Limited
	Shops 1712-1716
	17th Floor, Hopewell Center
	183 Queen's Road East
	Hong Kong
COMPANY SECRETARY	Mr. Ching Kin Wai
AUTHORISED REPRESENTATIVES	Mr. Jin Yanbing
	Mr. Ching Kin Wai
AUDITOR	BDO Limited
LEGAL ADVISOR AS TO	Sidley Austin
HONG KONG LAWS
STOCK CODE	295
CONTACT INFORMATION	Tel	:	[phone]
	Fax	:	[phone]
	Website	:	www.kongsun.com
INVESTOR RELATIONS	Email	:	[e-mail]

Kong Sun Holdings Limited Interim Report 2022

3

CHAIRMAN'S STATEMENT

Dear Shareholders,

On behalf of the board of directors (the "Board"), I hereby present the interim results of Kong Sun Holdings Limited (the "Company") and its subsidiaries (collectively referred to as the "Group") for the six months ended 30 June 2022.

In the first half of 2022, under the guidance of the goal of "peaked carbon and carbon neutrality", governments at all levels in China continued to strengthen policy support for the development of solar power industry. Nine departments including the National Development and Reform Commission jointly issued the "Plan for Renewable Energy Development for the 14th Five-Year", setting a target that by 2025, the total consumption of renewable energy will account for approximately 18% of primary energy consumption, the annual power generation of renewable energy will reach approximately 3.3 trillion kilowatt-hour ("kWh"), and the power generation of wind power and solar power will double. The National Development and Reform Commission and the National Energy Administration issued the Opinions on Improving the System, Mechanism and Policy Measures for the Green Energy and Low-Carbon Transformation, which proposed to promote the construction of an energy supply system with clean and low-carbon energy as the main body, and accelerate the construction of large-scale wind power and photovoltaic power bases with focus on desert and Gobi areas.

In the first half of 2022, the Group continued to adopt a steady and pragmatic business strategy in endeavouring to improve the efficiency of the power stations, actively adjusting its asset structure, and focusing on exploring business transformation, to effectively lower its gearing ratio and operating expenses. The Group has 14 grid-connected solar power plants in Shaanxi, Anhui, Zhejiang, Hebei, Inner Mongolia, Hubei and Shanxi in China. As at 30 June 2022, the Group had a total installed capacity of 389.8 megawatt ("MW"), and a total annual power generation capacity of approximately 288,885 megawatt-hour ("MWh") in the first half of 2022. Meanwhile, the Group actively expanded its solar power generation and wind power operation and maintenance services business, and continued to develop its technology finance business such as Internet micro-lending, while persisted to explore other investment opportunities in the clean energy industry. In the first half of 2022, the Group recorded a revenue of approximately RMB285,000,000 and gross profit of approximately RMB131,000,000. As at 30 June 2022, the Group's total liabilities amounted to approximately RMB2,950,000,000, representing a decrease of approximately RMB1,523,000,000 as compared to that of 31 December 2021.

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