冰山B：2023年第三季度报告(英文)

Stock Code: 000530; 200530 Short Form of the Stock: Bingshan; Bingshan B No:2023-027

Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.QUARTERLY REPORT FOR THIRD QUARTER, 2023

The directors and the Board of Directors of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.hereby confirm that there are no any important omissions, fictitious statements or serious misleading carried inthis report.

Important Notes

1. The directors and the Board of Directors, the supervisors and the Supervisory Board, and Senior staff members

of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. (hereinafter referred to as the Company)hereby confirm that there are no any important omissions, fictitious statements or serious misleading carried inthis report, and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completenessof the whole contents.

2. Chairman of the Board of Directors of the Company Mr. Ji Zhijian, Financial Majordomo Mrs. Wang Jinxiuand the head of Accounting Department Mr. Li Sheng hereby confirm that the financial report of the quarterlyreport is true and complete.

3. The Company’s quarterly financial report has not been audited.

§1 Major accounting data and changes of shareholders

1.1 Major accounting data and financial indexes

Is there any traceable adjustment to the financial statements for the previous report period?

□ Yes √ No

In the first three quarters of 2023, he Company's net profit increased significantly year-on-year, mainly due to theCompany's focus on hot and cold business, deep cultivation of market segments, solid improvement of corecompetitiveness, increased revenue and profit from increased orders, and the Company completed major assetrestructuring in November 2022, resulting in more profit contributions from new subsidiaries.

1.3 Major changes in main financial items and indexes, and description of the cause

√ Applicable □ Inapplicable

(1). Receivables financing increased 345.04% compared with the beginning of the year, mainly due to the highcredit bank has not expired acceptance, Sonyo compressor and Sonyo refrigeration included in the scope of themerger.

(2). Other receivables decreased 40.98% compared with the beginning of the year, mainly due to recover bid securityand imprest

(3). Contract assets increased 35.58% compared with the beginning of the year, mainly due the increase andconsolidation of Sonyo refrigeration, as well as the increase in operating income, the increase in outstanding qualityguarantees and the increase in revenue to be settled according to the time period method.

(4). Other current assets increased 106.86% compared with the beginning of the year, mainly due to the increase inthe pre-paid VAT of Sonyo refrigeration and the increase in the input tax to be deducted from the VAT of thecombined unit.

(5). Notes payable increased 34.62% compared with the beginning of the year, mainly due to affected by SonyoCompressor and Sonyo refrigeration.

(6). Non-current liabilities due within one year increased 62.16% compared with the beginning of the year, mainlydue to an increase in long-term borrowing due within a year.

(7). Other current liabilities increased 66.66% compared with the beginning of the year, mainly due to the increasein endorsed bills and sales orders, pending the impact of the resale tax increase.

(8). Lease liability increased 54.86% compared with the beginning of the year, mainly due to Sonyo Compressorand Sonyo refrigeration and other subsidiaries merged into the impact, as well as the impact of financial leasing.

(9). Long-term account payable decreased 45.28% compared with the beginning of the year, mainly due to thereduced impact of factoring commitments.

(10). Anticipation liabilities decreased 65.32% compared with the beginning of the year, mainly due to Sonyocompressor a project of first instance judgment loss reduction.

(11). Operating income increased 76.22% on a year-on-year basis, mainly due to the increase in orders, and theincrease in Sonyo compressor, Sonyo refrigeration system, and Sonyo refrigeration included in the consolidationscope.

(12). Selling and distribution expenses increased 82.87% on a year-on-year basis, mainly due to an increase in salesorders, a decrease in business t rips during the same period, and an increase in Sonyo Compressor, Sonyorefrigeration system, and Sonyo refrigeration.

(13). Administrative expenses increased 58.77% on a year-on-year basis, mainly due to an increase in SonyoCompressors, Sonyo refrigeration system, and Sonyo refrigeration.

(14). R&D expenses increased 119.80% on a year-on-year basis, Mainly due to the increase in research anddevelopment investment and Sonyo compressor, Sonyo refrigeration system, and Sonyo refrigeration into the scopeof the merger increased.

(15). Financial expense increased 199.49% on a year-on-year basis, Mainly due to Sonyo compressor, Sonyorefrigeration system, and Sonyo refrigeration included in the scope of the merger increased and merger loan interestincreased.

(16). Gain from change in fair value increased significantly on a year-on-year basis, mainly due to positive changesin Guotai Junan stock price.

(17). Credit impairment loss increased203.16% on a year-on-year basis, mainly because Sonyo compressor, Sonyorefrigeration system, and Sonyo refrigeration into the scope of consolidation.

(18). Non-business income increased significantly on a year-on-year basis, mainly due to the influence of Sonyocompressor.

(19). Net cash flows arising from operating activities increased 128.63 million yuan on a year-on-year basis, mainlydue to the increase in sales orders and the improvement in payment collection.

(20). Net cash flows arising from investing activities decreased 269.97 million yuan on a year-on-year basis, mainlydue to the investment income received in the same period last year more cash and the current period Sonyocompressor transferred to the subsidiary fixed assets investment impact.

(21).Net cash flows arising from financing activities increased 19.56 million yuan on a year-on-year basis, mainlydue to an increase in M&A loans..

2. Shareholders' information

2.1 Total number and particulars of the shareholders by the end of the report period

At the end of the report period, the total number of shareholders of the Company was 50,299, including 43,121 A-share shareholders and 7,178 B-share shareholders.

2.2 Information on the total number of preferred shareholders and the shares held by top ten preferredshareholders as of the end of the reporting period

□ Yes √ No

§3 Other important Matters

□ Yes √ No

§4 Financial Statements

CONSOLIDATION BALANCE SHEET

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. September 30, 2023 Unit: RMB Yuan

Monetary funds

Financial assets which are measured by fair value and which changes arerecorded in current profit and loss

Transaction financial assets

Notes receivable

Receivables financing

Other receivables

Interest receivables

Inventories

Assets held for sale

Non-current asset due within one year

Total current assets

Finance asset held available for sales

Held-to-maturity investment

Long-term equity investment

Investment property

Fixed assets

Right of use assets

Disposal of fixed asset

Productive biological asset

Intangible assets

Goodwill

Long-term expenses to be apportioned

Other non-current asset

Total assets

Current liabilities:

Financial liabilities which are measured by fair value and which changes arerecorded in current profit and loss

Transaction financial liabilities

Accounts payable

Accounts received in advance

Wage payable

Other accounts payable

Interest payable

Liabilities held for sale

Non-current liabilities due within one year

Total current liabilities

Long-term loans

Bonds payable

Perpetual bond

Long-term account payable

Long-term wage payable

Anticipation liabilities

Deferred income tax liabilities

Other non-current liabilities

Total liabilities

Share capital

Other equity instruments

Perpetual bond

Less: Treasury stock

Other comprehensive income

Surplus public reserve

Retained profit

Total owner’s equity attributable to parent company

Total owner’s equity

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng

CONSOLIDATION INCOME STATEMENT

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. January - September, 2023 Unit: RMB Yuan

II. Total operating cost

Including: Operating cost

Selling and distribution expenses

R&D expenses

Financial expense

interest income

Gain/(loss) from investment

Including: income from investment onaffiliated enterprise and jointly enterprise

Credit impairment loss (loss as “-“)

Gain/(loss) from asset disposal (loss as “-“)

III. Operating profit

Less: non-business expense

Less: Income tax

V. Net profit

(II)Net profit from discontinuing operation

Minority shareholders’gains and losses

VI. After-tax net amount of other comprehensiveincomes

After-tax net amount of other comprehensive incomesattributable to owners of the Company

1. Changes in net liabilities or assets with a defined

benefit plan upon re-measurement

(II) Other comprehensive incomes that will bereclassified into gains and losses

3. Gains and losses on reclassifying held-to-maturity

investments into available-for-sale financial assets

4. Effective hedging gains and losses on cash flows

、Others

After-tax net amount of other comprehensive incomesattributable to minority shareholders

VII Total comprehensive income

Total comprehensive income attributable to minorityshareholders

VIII. Earnings per share

(II) diluted earnings per share

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng

CONSOLIDATION CASH FLOW STATEMENT

Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. January - September, 2023 Unit: RMB Yuan

Cash received from selling commodities and providinglabor services

Write-back of tax received

Subtotal of cash inflow arising from operating activities

Cash paid to/for staff and workers

Taxes paid

Subtotal of cash outflow arising from operating

activities

Net cash flows arising from operating activities

Cash received from recovering investment

Net cash received from disposal of fixed, intangible andother long-term assets

Net cash received from disposal of subsidiaries andother units

Subtotal of cash inflow from investing activities

Cash paid for purchasing fixed, intangible and otherlong-term assets

Net cash paid for achievement of subsidiaries and otherbusiness units

Other cash paid concerning investing activities

Net cash flows arising from investing activities

Cash received from absorbing investment

Including: Cash received from absorbing minorityshareholders' equity investment by subsidiaries

Cash received from issuing bonds

Other cash received concerning financing activities

Cash paid for settling debts

Including: dividends or profit paid by subsidiaries tominority shareholders

Other cash paid concerning financing activities

Net cash flows arising from financing activities

IV. Influence on cash due to fluctuation in exchange rate

Add: Balance of cash and cash equivalents at the period-begin

Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng

Board of Directors of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.October 27, 2023