Chapter I: General Provisions.
Article 1 In order to further strengthen the company's profit distribution management and standardize the company's profit distribution behavior, this system is formulated.
Article 2 In accordance with the provisions of the articles of association of the company, combined with the requirements of the financial final accounts of the group company, formulate specific profit distribution methods.
Chapter 2 Profit Composition.
Article 3 The total profit of the company includes operating profit, net investment income and non-operating net income.
Article 4 Operating profit is the difference between the profit of the main business (the difference between the main business income after deducting the cost of the main business, the tax and the surcharge of the main business) plus other business profits and investment income, minus the difference between management expenses, sales expenses and financial expenses.
Article 5 Net investment income refers to the difference between investment income after deducting investment losses.
Article 6 Net non-operating income refers to the difference between non-operating income and non-operating expenses.
Chapter III Profit Distribution.
Article 7 The company's annual profit distribution plan shall be reviewed and approved by the general meeting of shareholders. The general meeting of shareholders of the company shall, after closing the accounts at the end of each year, propose an annual profit distribution plan based on the profits after paying income tax in the current year.
Article 8 The profits of the company after paying income tax shall be distributed in the following order.
1.Covering losses in previous years.
2.Withdrawal of statutory surplus reserve. The statutory surplus reserve shall be withdrawn according to 10% of the after-tax profit after deducting the preceding item, and the surplus reserve can no longer be withdrawn when the registered capital reaches 50%.
3.Withdrawal of statutory Community Chest. The Community Chest shall be withdrawn at the rate of 5% 10% of the after-tax profits after deducting the first two items.
4.Withdrawal of surplus reserves. The surplus reserve shall be withdrawn according to 70% of the after-tax profit after deducting the first three items.
5.Profit payable. Dividends are distributed to shareholders in accordance with the profit distribution plan.
Article 9 The profits available for distribution to investors shall be undistributed profits (or uncompensated losses) after distribution. The undistributed profits can be left for distribution in one year, and if the enterprise incurs losses, it can be made up by the profits of the next year according to the regulations.
Article 10 If the company's statutory surplus reserve is insufficient to make up for the losses of previous years, it shall use the profits of the current year to make up for the losses before withdrawing the statutory surplus reserves in accordance with the provisions of the preceding paragraph.
Article 11 The statutory surplus reserve and the arbitrary surplus reserve can be used to make up for losses and increase capital, but they must comply with the provisions of relevant laws and regulations. The Community Chest can only be used for collective welfare facilities and may not be diverted for other purposes.
Article 12 This system is interpreted by the Ministry of Finance, and shall be implemented after the approval of the manager's office meeting. Default classification