Zoomlion Heavy Industry Science and Technology : ANNOUNCEMENT OF UNAUDITED INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2021

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Zoomlion Heavy Industry Science and Technology Co., Ltd.*

中聯重科股份有限公司

(a joint stock limited company incorporated in the People's Republic of China)

(Stock Code: 1157)

ANNOUNCEMENT OF UNAUDITED INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 JUNE 2021

FINANCIAL HIGHLIGHTS

• As at 30 June 2021, total assets of the Group amounted to RMB136,690 million, representing an increase of RMB20,447 million or 17.59% over that of 31 December 2020
• For the six months ended 30 June 2021, revenue of the Group amounted to RMB42,449 million, representing an increase of RMB13,622 million or 47.25 % over the same period of 2020
• For the six months ended 30 June 2021, profit attributable to equity shareholders of the Company amounted to RMB4,876 million, representing an increase of RMB851 million over the same period of 2020
• For the six months ended 30 June 2021, earnings per share amounted to approximately RMB0.60, representing an increase of RMB0.06 over the same period of 2020

The board of directors (the "Board") of Zoomlion Heavy Industry Science and Technology Co., Ltd.* (the "Company") is pleased to announce the unaudited consolidated interim results of the Company and its subsidiaries (collectively, the "Group") for the six months ended 30 June 2021 (the "Reporting Period"). The Group's interim financial report was prepared in accordance with the International Accounting Standard 34, "Interim Financial Reporting" issued by the International Accounting Standards Board ("IAS34") and the disclosure requirements under the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules").

FINANCIAL RESULTS

The financial information set out below in this announcement represents an extract from the unaudited interim financial report for the six months ended 30 June 2021 prepared in accordance with IAS34.

1

Consolidated statement of comprehensive income (Expressed in RMB)

		For the six-month period
		ended 30 June
		2021			2020
	Note	RMB	RMB
		millions	millions
Revenue	2	42,449		28,827
Cost of sales and services		(31,835)		(20,364)
Gross profit		10,614		8,463
Other income		644		662
Sales and marketing expenses		(2,059)		(1,916)
General and adminis trative expenses		(1,048)		(1,021)
Impairment loss on trade and other receivables and
receivables under finance lease		(433)		(443)
Research and development expenses		(2,005)		(1,048)
Profit from operations		5,713		4,697
Net finance income/(costs)		46		(37)
Share of profits less losses of associates		97		66
Profit before taxation	3	5,856			4,726
Income tax	4	(911)		(668)
Profit for the period		4,945		4,058
Profit attributable to:
Equity shareholders of the Company		4,876		4,025
Non-controlling interests		69		33
		4,945		4,058
Profit for the period		4,945		4,058
Earnings per share (cents)	5
Basic	5	59.66			54.10
Diluted	5	58.88			54.02
Profit for the period		4,945		4,058

2

	For the six-month period
	ended 30 June
	2021	2020
Note	RMB	RMB
	millions	millions

Other comprehensive income   for the period (after tax):

Item that will not be reclassified to profit or loss:

• Equity investments at fair value through other
• comprehensive income - net movement in fair

		value reserve (non-recycling)	(2)	94
Items that may be reclassified subsequently to
	profit or loss:
Exchange differences on translation of
	financial statements of subsidiaries
		outside PRC	(60)	(289)
Total other comprehensive income for the period	(62)	(195)
Total comprehensive income for the period	4,883		3,863
Total comprehensive income attributable to:
Equity shareholders of the Company	4,814		3,830
Non-controlling interests	69	33
Total comprehensive income for the period	4,883		3,863

3

Consolidated statement of financial position (Expressed in RMB)

			As at	As at
			30 June	31 December
			2021		2020
		Note	RMB	RMB
			millions	millions
Non-current assets
Property, plant and equipment		8,403		7,342
	Right-of-use assets		3,296		3,068
	Intangible assets		1,869		1,965
	Goodwill		1,993		2,054
	Interests in associates	6	3,989		3,388
	Other financial assets	7	2,703		2,703
	Trade and other receivables	8	15,856		14,131
	Receivables under finance lease	9	7,357		13,008
	Pledged bank deposits		343		175
	Deferred tax assets		1,273		1,453
Total non-current assets		47,082		49,287
Current assets
	Inventories		16,673		14,652
	Other current assets		1,284		1,374
	Financial assets at fair value through profit or loss	10	12,737	4,284
	Trade and other receivables	8	36,835	23,972
	Receivables under finance lease	9	5,416		10,365
	Pledged bank deposits		2,595		2,223
Cash and cash equivalents		14,068		10,086
Total current assets		89,608		66,956
Total assets		136,690		116,243

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			As at	As at
			30 June	31 December
			2021		2020
		Note	RMB	RMB
			millions	millions
Current liabilities
	Loans and borrowings		10,365		2,964
	Trade and other payables	11	48,803		40,387
	Contract liabilities		3,094		2,777
	Lease liabilities		99		90
	Income tax payable		629		710
Total current liabilities		62,990		46,928
Net current assets		26,618		20,028
Total assets less current liabilities		73,700		69,315
Non-current liabilities
	Loans and borrowings		11,708		16,337
	Lease liabilities		384		320
	Deferred tax liabilities		459		490
	Other non-current liabilities		4,617		4,318
Total non-current liabilities		17,168		21,465
NET ASSETS		56,532		47,850
CAPITAL AND RESERVES
	Share capital	12	8,674		7,938
	Reserves		46,664		38,768
Total equity attributable to equity shareholders
	of the Company		55,338		46,706
Non-controlling interests		1,194		1,144
TOTAL EQUITY		56,532		47,850

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