SZSE Releases Quarterly Report Announcement Format

Date: 2021-09-29

To be effectively aligned with the Securities Law and the Administrative Measures on Information Disclosure by Listed Companies and fully guarantee investors' right to know, under the guidance of China Securities Regulatory Commission (CSRC), SZSE revised the Guidelines for Handling Business Affairs Related to Listed Companies No. 11 – Information Disclosure Announcement Format and the Guidelines for Handling Business Affairs Related to ChiNext Listed Companies No.6 – Information Disclosure Announcement Format, and released them on September 28. Most importantly, No.47the quarterly report announcement format for listed companies (hereinafter the “quarterly report format”) was added, which further improves the institutional arrangement for quarterly reports from the aspect of business rules.  


As the interim summary of the operating results and financial conditions of a listed company, quarterly reports help investors obtain sufficient information they need when making investment decisions, and narrow the information gap between different investor groups in the market. So, they are of positive significance to stock pricing of companies and decision-making of investors. The revision focuses on the disclosure contents and formats of quarterly reports, and clearly specified that the time for disclosing quarterly reports, disclosure appointment, deliberation and approval procedures, results forecast and trading in the sensitive period are still subject to relevant provisions in the Rules Governing the Listing of Shares on SZSE and the Guidelines for the Standard Operation of Listed Companies. The directors, supervisors and senior management members of a listed company shall vote on quarterly reports according to laws and regulations and issued written confirmation opinions in compliance with the Securities Law and the Administrative Measures on Information Disclosure by Listed Companies to perform their duties.   


Being investor-oriented and focusing on the important information, the newly released quarterly report format optimizes and streamlines the former disclosure requirements for quarterly reports and integrates the main body with the full text. According to the format, a quarterly report will have five parts. The first part is about important tips, where a company's board of directors, the supervisory committee as well as directors, supervisors and senior management members ensure the authenticity, accuracy and completeness of the quarterly report and the objections raised by directors, supervisors or senior management members shall be fully disclosed; the second part is about main financial data, where main accounting data, financial indicators and non-recurring profit and loss items and amounts will be listed, and the reasons behind significant changes (for a change of over 30%) will be explained; the third part is shareholder information, where the total number of shareholders, information about the top 10 common shareholders and the top 10 holders of preferred stocks will be disclosed; the fourth part is about quarterly financial statements, where comparable financial statements and audit information will be released; the fifth party is about other important matters, with other important information that will help investors learn about operating performance being prudently evaluated and specified.  


The revised quarterly report format came into force upon the day of release. The preparation and disclosure of the third quarterly reports in 2021 shall be subject to it. Next, with information disclosure at the core and based on investor demand, SZSE will earnestly perform its duty as a front-line regulator in accordance with the uniform deployment of CSRC. It will do a good job in the technical preparations for the disclosure of quarterly reports in an orderly manner, fully ensure the smooth progress of the disclosure of quarterly reports by listed companies, improve the quality information disclosure and regulated operation of listed companies, and strive to cultivate a group of high quality listed companies.