Document And Entity Information
Document And Entity Information - shares | 12 Months Ended | |
Sep. 30, 2022 | Feb. 14, 2023 | |
Document Information | ||
Document Type | 20-F | |
Document Registration Statement | false | |
Document Annual Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Document Shell Company Report | false | |
Entity File Number | 000-51576 | |
Entity Registrant Name | Origin Agritech Limited | |
Entity Incorporation, State or Country Code | D8 | |
Entity Address, Address Line One | No. 21 Sheng Ming Yuan Road | |
Entity Address, Address Line Two | Changping District | |
Entity Address, City or Town | Beijing | |
Entity Address, Postal Zip Code | 102206 | |
Entity Address, Country | CN | |
Title of 12(b) Security | Ordinary Shares | |
Trading Symbol | SEED | |
Security Exchange Name | NASDAQ | |
Entity Common Stock, Shares Outstanding | 6,296,056 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Emerging Growth Company | false | |
Document Accounting Standard | U.S. GAAP | |
Entity Shell Company | false | |
Entity Central Index Key | 0001321851 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | FY | |
Current Fiscal Year End Date | --09-30 | |
Auditor Name | B F Borgers CPA PC | |
Auditor Firm ID | 5041 | |
Auditor Location | Lakewood, Colorado | |
Business Contact | ||
Document Information | ||
Contact Personnel Name | Dr. Han Gengchen | |
Entity Address, Address Line One | No. 21 Sheng Ming Yuan Road | |
Entity Address, Address Line Two | Changping District | |
Entity Address, City or Town | Beijing | |
Entity Address, Postal Zip Code | 102206 | |
Entity Address, Country | CN | |
City Area Code | 86-10 | |
Local Phone Number | 5890-7588 | |
Contact Personnel Fax Number | 5890-7577 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
Current assets: | |||
Cash and cash equivalents | ¥ 17,669 | $ 2,489 | ¥ 15,351 |
Restricted cash | 14 | ||
Accounts receivable, net | 619 | 87 | 260 |
Due from related parties, net of bad debt allowance | 28,127 | 3,962 | 29,179 |
Advances to suppliers | 20,022 | 2,820 | 5,799 |
Inventories | 2,106 | 297 | 4,178 |
Other current assets | 12,997 | 1,831 | 3,362 |
Total current assets | 81,540 | 11,485 | 58,143 |
Land use rights, net | 1,792 | 252 | 1,854 |
Plant and equipment, net | 46,389 | 6,534 | 48,684 |
Long-term investment | 1,690 | 238 | 4,596 |
Acquired intangible assets, net | 2,989 | 421 | 3,774 |
Operating lease right-of-use assets | 1,555 | 219 | 1,904 |
Other assets | 0 | 0 | 83 |
Total assets (including amounts of the consolidated VIEs without recourse to the Company of RMB52,894 and RMB52,894 as of September 30, 2021 and 2022 respectively) | 135,955 | 19,149 | 119,038 |
Current liabilities: | |||
Borrowings | 137,660 | 19,389 | 137,660 |
Accounts payable | 10,161 | 1,431 | 9,170 |
Due to growers | 404 | 57 | 6,673 |
Due to related parties | 18,629 | 2,624 | 30,269 |
Advances from customers | 60,551 | 8,529 | 45,754 |
Income tax payable | 773 | 109 | 908 |
Lease Liability - current | 119 | 17 | 559 |
Other payables and accrued expenses | 64,568 | 9,094 | 55,374 |
Total current liabilities | 292,865 | 41,250 | 286,367 |
Lease Liability - noncurrent | 1,501 | 211 | 2,552 |
Other long-term liability | 14,231 | 2,004 | 15,717 |
Total liabilities (including amounts of the consolidated VIEs without recourse to the Company of RMB274,114 and RMB53,706 as of September 30, 2021 and 2022, respectively) | 308,597 | 43,465 | 304,636 |
Commitments and contingencies | |||
Shareholders' equity (deficit): | |||
Preferred stock(no par value; 1,000,000 shares authorized, none issued) | |||
Common stock (no par value; 60,000,000 shares authorized, 6,011,127 and 5,708,003 shares issued as of September 30, 2022 and 2021; 5,431,724 and 4,801,724 shares outstanding as of September 30, 2020 and 2019 respectively) | 0 | 0 | 0 |
Additional paid-in capital | 551,933 | 77,739 | 539,315 |
Accumulated deficit | (656,900) | (92,523) | (650,633) |
Treasury stock at cost 20,523 and 20,523 shares as of September 30, 2022 and 2021, respectively) | (6,133) | (864) | (6,133) |
Accumulated other comprehensive loss | (22,774) | (3,208) | (23,221) |
Total Origin Agritech Limited shareholders' equity (deficit) | (133,872) | (18,856) | (140,672) |
Non-controlling interests | (38,770) | (5,461) | (44,926) |
Total equity (deficit) | (172,642) | (24,317) | (185,598) |
Total liabilities and deficit | ¥ 135,955 | $ 19,148 | ¥ 119,038 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) ¥ / shares shares | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 CNY (¥) ¥ / shares shares |
Total assets | ¥ 135,955 | $ 19,149 | ¥ 119,038 |
Total liabilities | ¥ 308,597 | $ 43,465 | ¥ 304,636 |
Preferred stock, par value (in dollars per share) | ¥ / shares | ¥ 0 | ¥ 0 | |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 | 0 |
Common stock, par value (in dollars per share) | ¥ / shares | ¥ 0 | ¥ 0 | |
Common stock, shares authorized | 60,000,000 | 60,000,000 | 60,000,000 |
Common stock, shares issued | 6,011,127 | 6,011,127 | 5,708,003 |
Common stock, shares outstanding | 5,431,724 | 5,431,724 | 4,801,724 |
Treasury stock, shares | 20,523 | 20,523 | 20,523 |
VIEs | |||
Total assets | ¥ | ¥ 52,894 | ¥ 52,894 | |
Total liabilities | ¥ | ¥ 53,706 | ¥ 274,114 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) ¥ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Sep. 30, 2021 CNY (¥) ¥ / shares shares | Sep. 30, 2020 CNY (¥) ¥ / shares shares | |
CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) | ||||
Revenues | ¥ 52,580 | $ 7,406 | ¥ 46,425 | ¥ 52,513 |
Cost of revenues | (36,386) | (5,125) | (33,611) | (49,000) |
Gross profit | 16,194 | 2,281 | 12,814 | 3,513 |
Operating expenses | ||||
Selling and marketing | (7,335) | (1,033) | (5,564) | (4,820) |
General and administrative | (14,321) | (2,017) | (73,315) | (58,069) |
Research and development | (7,434) | (1,047) | (1,979) | (4,116) |
Impairment of assets | ¥ | (69,870) | (28,091) | ||
Total operating expenses, net | (29,090) | (4,097) | (150,728) | (95,096) |
Loss from operations | (12,896) | (1,816) | (137,914) | (91,583) |
Interest expense, net | (8,228) | (1,159) | (8,558) | (5,796) |
Impairment of long-term investment | (2,906) | (409) | (5,958) | (5,994) |
Rental income | 10,603 | 1,493 | 10,603 | 7,643 |
Other non-operating income (expense),net | 15,738 | 2,217 | 14,924 | (6,687) |
Income (loss) before income taxes | 2,311 | 326 | (126,903) | (102,417) |
Income tax (expense) benefits | 14 | 2 | (178) | (425) |
Net Income (loss) | 2,300 | 328 | (127,081) | (102,842) |
Less: Net (loss) income attributable to non-controlling interests | 8,590 | 1,210 | (35,552) | (17,581) |
Net loss attributable to Origin Agritech Limited | (6,265) | (882) | (91,529) | (85,261) |
Other comprehensive loss | ||||
Net Income (loss) | 2,300 | 328 | (127,081) | (102,842) |
Foreign currency translation difference | 447 | 63 | (816) | 1,371 |
Comprehensive Income (loss) | 2,772 | 391 | (127,897) | (101,471) |
Less: Comprehensive income (loss) income attributable to non-controlling interests | 8,590 | 1,210 | (35,552) | (17,581) |
Comprehensive loss attributable to Origin Agritech Limited | ¥ (5,818) | $ (819) | ¥ (92,345) | ¥ (83,890) |
Basic net loss per share attributable to Origin Agritech Limited | (per share) | ¥ (1.09) | $ (0.15) | ¥ (16.29) | ¥ (16.95) |
Diluted net loss per share attributable to Origin Agritech Limited | (per share) | ¥ (1.09) | $ (0.15) | ¥ (16.29) | ¥ (16.95) |
Shares used in computing earnings per share: | ||||
Shares used in calculating basic net income (loss) per share | 5,773,094 | 5,773,094 | 5,617,424 | 5,029,017 |
Shares used in calculating diluted net income (loss) per share | 5,773,094 | 5,773,094 | 5,617,424 | 5,029,017 |
CONSOLIDATED STATEMENTS OF EQUI
CONSOLIDATED STATEMENTS OF EQUITY $ in Thousands | Common stock CNY (¥) shares | Additional Paid-in Capital CNY (¥) | Additional Paid-in Capital USD ($) | Accumulated Deficit Unrestricted CNY (¥) | Accumulated Deficit Unrestricted USD ($) | Accumulated Other Comprehensive Loss CNY (¥) | Accumulated Other Comprehensive Loss USD ($) | Treasury Stock CNY (¥) | Treasury Stock USD ($) | Non-controlling Interests CNY (¥) | Non-controlling Interests USD ($) | CNY (¥) | USD ($) |
Beginning balance at Sep. 30, 2019 | ¥ 494,098,000 | ¥ (473,843,000) | ¥ (23,776,000) | ¥ (19,163,000) | ¥ 7,209,000 | ¥ (15,475,000) | |||||||
Beginning balance (in shares) at Sep. 30, 2019 | shares | 4,801,724 | ||||||||||||
Net loss for the year | (85,261,000) | (17,581,000) | (102,842,000) | ||||||||||
Capital contribution | 2,100,000 | 2,100,000 | |||||||||||
Share-based compensation expense | ¥ 350,000 | 4,354,000 | 8,807,000 | 13,161,000 | |||||||||
Issuance of common shares | 16,223,000 | 16,223,000 | |||||||||||
Issuance of common shares (in shares) | shares | 280,000 | ||||||||||||
Translation adjustments | 1,371,000 | 1,371,000 | |||||||||||
Ending balance at Sep. 30, 2020 | 514,675,000 | (559,104,000) | (22,405,000) | (10,356,000) | (8,272,000) | (85,462,000) | |||||||
Ending balance (in shares) at Sep. 30, 2020 | shares | 5,431,724 | ||||||||||||
Net loss for the year | (91,529,000) | (35,552,000) | (127,081,000) | ||||||||||
Exercise of share option | 745,000 | 745,000 | |||||||||||
Exercise of share option (in shares) | shares | 21,930 | ||||||||||||
Share-based compensation expense | 6,729,000 | 4,223,000 | 10,952,000 | ||||||||||
Business disposal | (1,102,000) | (1,102,000) | |||||||||||
Issuance of common shares | 17,166,000 | 17,166,000 | |||||||||||
Issuance of common shares (in shares) | shares | 319,440 | ||||||||||||
Translation adjustments | (816,000) | (816,000) | |||||||||||
Ending balance at Sep. 30, 2021 | 539,315,000 | (650,633,000) | (23,221,000) | (6,133,000) | (44,926,000) | (185,598,000) | |||||||
Ending balance (in shares) at Sep. 30, 2021 | shares | 5,773,094 | ||||||||||||
Net loss for the year | 2,300,000 | $ 328 | |||||||||||
Exercise of share option | 566,000 | 566,000 | |||||||||||
Exercise of share option (in shares) | shares | 16,510 | ||||||||||||
Share-based compensation expense | 1,038,000 | 1,038,000 | |||||||||||
Business disposal | (2,434,000) | (2,434,000) | |||||||||||
Issuance of common shares | 11,014,000 | 11,014,000 | |||||||||||
Issuance of common shares (in shares) | shares | 201,000 | ||||||||||||
Translation adjustments | 447,000 | 447,000 | 63 | ||||||||||
Ending balance at Sep. 30, 2022 | ¥ 551,933,000 | $ 77,739 | ¥ (656,898,000) | $ (92,523) | ¥ (22,774,000) | $ (3,208) | ¥ (6,133,000) | $ (864) | ¥ (38,770,000) | $ (5,461) | ¥ (172,642,000) | $ (24,317) | |
Ending balance (in shares) at Sep. 30, 2022 | shares | 5,843,094 |
CONSOLIDATED STATEMENTS OF EQ_2
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - Sep. 30, 2022 | Total | $ / ¥ |
CONSOLIDATED STATEMENTS OF EQUITY | ||
Foreign Currency Exchange Rate, Translation | 7.0998 | 7.0998 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | |
Operating activities: | ||||
Net Income (loss) | ¥ 2,300 | $ 328 | ¥ (127,081) | ¥ (102,842) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||
Depreciation and amortization | 3,901 | 549 | 8,279 | 10,612 |
Loss/(gain) on disposal of plant and equipment | 212 | 30 | (3,642) | 418 |
Gain on disposal of land use right | (6,426) | |||
Loss on termination of business disposal | (106) | (178) | ||
Allowance for doubtful account | 0 | 401 | 189 | |
Allowance for due from related parties | 3,789 | 28,340 | ||
Allowance for due from related party-noncurrent | 40,540 | |||
Recovery on receivables | (189) | |||
Recovery on Due from related parties | (2,131) | (300) | ||
Impairment on intangible assets | 87 | |||
Impairment on long-term equity investment | 2,906 | 409 | 5,957 | 5,994 |
Impairment on land use rights | 0 | 7,600 | 2,704 | |
Impairment on plant and equipment | 60,652 | 24,012 | ||
Impairment on lease assets | 1,375 | |||
Inventory write off | 7,976 | 8,104 | ||
Share-based compensation expense | 1,038 | 145 | 10,952 | 13,161 |
Changes in operating assets and liabilities: | ||||
Accounts receivable | (359) | (51) | 3,040 | (1,828) |
Due from related parties | 3,183 | 448 | (10,663) | (16,755) |
Advances to suppliers | (14,223) | (2,003) | (4,616) | (1,935) |
Inventories | 2,072 | 292 | 1,414 | 6,855 |
Other current assets | (8,929) | (1,258) | (2,178) | 1,276 |
Operating lease right-of-use assets, net | (3,879) | |||
Other assets | 83 | 12 | 14 | 2,296 |
Accounts payable | 991 | 140 | (427) | (87) |
Due to growers | (6,269) | (883) | (566) | |
Due to related parties | (2,388) | (336) | 1,588 | (4,698) |
Advances from customers | 14,797 | 2,084 | (18,847) | 12,446 |
Income tax payable | (135) | (19) | (28) | 280 |
Lease liabilities | (1,491) | (210) | (119) | 3,230 |
Other long-term liabilities | (1,486) | (209) | (7,357) | (5,711) |
Other payables and accrued expenses | 9,194 | 1,297 | 4,313 | 11,572 |
Net cash provided by (used in) operating activities | 3,291 | 465 | (25,077) | (5,615) |
Investing activities: | ||||
Proceeds from disposal of plant and equipment and land use right | (1,000) | 3 | ||
Proceeds from other investment | 1,520 | 214 | ||
Purchase of plant and equipment | (622) | (88) | (715) | |
Due from related party-noncurrent | 1,706 | (42,246) | ||
Purchase of other investment | (2,000) | (282) | (1,200) | |
Cash from termination of second closing of disposal of commercial seed business | 0 | 0 | 0 | 0 |
Net cash (used in) provided by investing activities | (1,102) | (156) | (1,209) | (42,243) |
Financing activities: | ||||
Proceeds from long-term borrowings | 137,660 | |||
Proceeds from exercise of stock options | 340 | 48 | 472 | |
Proceeds from issuance of common stock | 11,014 | 1,551 | 17,166 | 16,223 |
Proceeds from due to related parties | 2,200 | |||
Repayment of due to related parties | (9,252) | (1,303) | (11,454) | |
Dividends paid to minority shareholders | (2,434) | (343) | ||
Proceeds from capital contribution | 2,100 | |||
Repayment of long-term borrowings | (78,611) | |||
Net cash provided by (used in) financing activities | (332) | (47) | 19,838 | 65,918 |
Net (decrease) increase in cash and cash equivalents | 1,857 | 262 | (6,448) | 18,060 |
Cash and cash equivalents, beginning of year | 15,351 | 2,162 | 22,482 | 3,198 |
Effect of exchange rate changes on cash and cash equivalents | 447 | 63 | (816) | 1,371 |
Restricted cash | 14 | 133 | 147 | |
Cash and cash equivalents, end of the year | 17,669 | 2,489 | 15,351 | 22,482 |
Supplemental disclosures of cash flow information: | ||||
Income taxes paid | 0 | 0 | 0 | 0 |
Interest paid, net of interest capitalized | ¥ 0 | $ 0 | ¥ 0 | ¥ 366 |
ORGANIZATION AND PRINCIPAL ACTI
ORGANIZATION AND PRINCIPAL ACTIVITIES | 12 Months Ended |
Sep. 30, 2022 | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | 1. ORGANIZATION AND PRINCIPAL ACTIVITIES Origin Agritech Limited (“Agritech”), incorporated under the laws of the British Virgin Islands, and its subsidiaries and variable interest entities are referred to in this report as “we”, “us”, “our”, or “the Company”. We are principally engaged in hybrid crop seed development, production and distribution business. As of September 30, 2022, the Company’s subsidiaries and variable interest entities included in continuing operations consisted of the following: Date of Place of Percentage Incorporation Incorporation of Principal Name or Establishment or Establishment Ownership Activity Subsidiaries: State Harvest Holdings Limited(“State Harvest”) October 6, 2004 British Virgin Islands 100 % Investment Holding OAL SMY Limited July 28, 2021 USA 100 % Investment Holding Beijing Origin State Harvest Biotechnology Limited (“BioTech”) December 1, 2004 People’s Republic of China (“PRC”) 100 % Hybrid seed technology development Variable interest entity: Beijing Origin Seed Limited (note (i)) (“Beijing Origin”) December 26, 1997 PRC Note (i) Hybrid crop seed development, production and distribution Subsidiaries held by Beijing Origin: Xinjiang Originbo Seed Company Limited (note (i)) (“Xinjiang Origin”) July 13, 2011 PRC 51 % Hybrid crop seed development, production and distribution Hainan Aoyu Biotechnology Limited(Hainan Aoyu) March 2, 2022 PRC 100 % Hybrid crop seed development, production and distribution Subsidiaries held by State Harvest: Shandong Aoruixinong Agricultural Technology Limited (Shandong Aoruixinong) September 27, 2019 PRC 51 % Agricultural seed products distribution through e-commune network Hubei Aoyu Zhongye Limited (Hubei Aoyu) October 22, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Anhui Aoyu Zhongye Limited (Anhui Aoyu) July 25, 2018 PRC 50 % Agricultural seed products distribution through e-commerce network Xuzhou Aoyu Zhongye Limited (Xuzhou Aoyu) September 25, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Henan Aoyu Zhongye Limited (note (i)) (“Henan Aoyu”) July 16, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Note (i): Beijing Origin Seed Limited, Xinjiang Originbo Seed Company Limited, and Zhengzhou Branch of Beijing Origin Seed Limited are collectively referred to as “Beijing Origin”. Reorganization of State Harvest prior to the share exchange transaction with Chardan China Acquisition Corp. (“Chardan”) On December 1, 2004, State Harvest established BioTech, a wholly-owned foreign enterprise (“WOFE”) under the laws of the PRC with an operating period of 20 years. Under PRC law, foreign entities are not currently permitted to own more than 49% of a seed production company. In order to address those restrictions, State Harvest conducts substantially all of its business through contractual agreements with its variable interest entity (“VIE”), Beijing Origin. These agreements are summarized in the following paragraphs. Stock Consignment Agreements Under Chinese law, foreign ownership of businesses engaged in the breeding of new varieties, development, production, marketing, distribution and sale of hybrid food crop seeds is limited to 49% pursuant to the Regulation on the Approval and Registration of Foreign Investment Enterprises in Agricultural Seed Industry and The Foreign Investment Industrial Guidance Catalogue. State Harvest, as a non-Chinese corporation, may not directly own more than 49% of any of the PRC Operating Companies. However, Chinese law does not forbid the owner of stock to consign rights associated with the stock, as long as the owner does not transfer title to the stock. To gain control over the PRC Operating Companies, State Harvest entered into a series of stock consignment agreements with shareholders of those companies. State Harvest has been assigned 98.58% voting rights by the shareholders of Beijing Origin through a consignment agreement which includes the following terms: (1) The shares of Beijing Origin cannot be transferred without the approval of State Harvest; (2) State Harvest has the right to appoint all directors and senior management personnel of Beijing Origin and (3) The shareholder rights including voting rights require the transfer of the shares of Beijing Origin to State Harvest or any party designated by State Harvest within three years upon the removal of the PRC legal restriction. Technical Service Agreements Beijing Origin entered into Technical Service Agreements with BioTech dated December 25, 2004. Under these agreements, BioTech shall provide, with its own technical research resource and team, technical services for the production and distribution of agricultural seeds during the period of the agreements. In return, Beijing Origin is required to pay BioTech a service fee calculated according to the weight of corn, rice and cotton seeds sold by the Beijing Origin. Through the contractual agreements described above, State Harvest is deemed the sole beneficiary of Beijing Origin resulting in Beijing Origin being deemed a subsidiary of State Harvest under the requirements of Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) 810-10-05. The agreements described above provided for effective control of Beijing Origin to be transferred to State Harvest at December 25, 2004. Neither State Harvest nor BioTech had any operating activity prior to entering into the consignment agreements with Beijing Origin. In substance, State Harvest has substantially all the same shareholders of Beijing Origin. This transaction has been accounted for on a basis similar to reorganization between entities under common control. Accordingly, State Harvest’s consolidated financial statements are prepared by including the consolidated financial statements of Beijing Origin through December 24, 2004, and subsequently the Company’s consolidated financial statements include the financial statements of State Harvest, its majority owned subsidiary and Beijing Origin through the date of the Share Exchange Transaction. Risks in relation to the VIE structure Two of our PRC operating subsidiaries are controlled subsidiaries through stock consignment agreements rather than by direct ownership of shares, the terms of which may have to be enforced, which would require us to incur extra costs, create uncertainty as to ownership of the operating businesses involved and risk the possible loss of rights. There is the risk, however, that a consigning shareholder will not fulfill its obligations under the stock consignment agreement. In that event, we may need to resort to the PRC courts to have our rights under the applicable agreement enforced. Such enforcement will cause us to incur legal expenses. In addition, while a case is pending there will be uncertainty regarding our rights as to the three PRC operating subsidiaries involved. In addition, a PRC court may decide not to enforce the agreements in whole or in part. To the extent these agreements are neither observed nor enforced as intended, the PRC operating subsidiaries will not be controlled by us as intended, which will affect our enterprise value and restrict our ability to obtain the income and other rights of ownership associated with the consigned stock. It may also prevent the consolidation of our financial statements with the PRC operating subsidiaries, which would reduce the reported earnings of the consolidated companies. The uncertainty of ownership may also adversely affect the market value of our ordinary shares. Whether or not a stock consignment agreement is terminated depends on the consensus of our Board and the consignees. Any such termination could result in a possible loss of certain rights or assets held by us without receiving fair value in return. The stock consignment agreements relating to our control of the stock of our PRC operating subsidiaries may be terminated after three years upon mutual agreement between us and the consignees. Holding this amount of stock will allow these officers to control or greatly influence the selection of directors and matters submitted to a vote of our shareholders, including voting to terminate the stock consignment agreements. There are corporate protections in place designed to protect our interests, such as an independent Board of Directors, an audit committee comprised of independent directors that must approve insider transactions, a code of conduct requiring fair dealing with the Company, and the British Virgin Islands statutory provision that a disposition of more than 50% of the assets of a company must be approved by a majority of the shareholders. Moreover, if consigned stock is transferred to us as provided in the stock consignment agreements when the restrictions under PRC law are lifted, that stock will no longer be subject to the stock consignment agreements, and the termination of the stock consignment agreements would then have no effect on the ownership of that stock. However, if the stock consignment agreements are terminated, then we would lose our rights with respect to the consigned stock and the profits from the issuing corporation. Such a loss would impair the value of the Company and would reduce our ability to generate revenues. The Company has aggregated the financial information of Beijing Origin and its subsidiaries in the table below. The aggregated carrying amount of assets and liabilities of Beijing Origin and its subsidiaries after elimination of intercompany transactions and balances consolidated in the Company’s consolidated balance sheets as of September 30, 2021 and 2022 are as follows: Risks in relation to the VIE structure (Beijing Origin Consolidated Balance Sheet) September 30, 2021 2022 2022 RMB RMB US$ ASSETS Current Assets Cash and cash equivalents 305 950 134 Restricted cash — — — Due from related party — — — Accounts receivable 11 304 43 Advances to suppliers 260 8,456 1,191 Inventories 1,052 — — Other current assets 730 7,698 1,084 Total current assets 2,358 17,408 2,452 Land use rights, net 1,854 1,792 252 Plant and equipment, net 48,599 32,952 4,641 Equity investments — — — Acquired intangible assets, net — — — Other assets 83 1,554 219 Total assets 52,894 53,706 7,564 LIABILITIES Current liabilities Short-term borrowings — — — Current portion of long-term borrowings 137,660 137,660 19,389 Accounts payable 9,107 10,064 1,418 Due to growers 6,673 404 57 Due to related parties 30,665 24,136 3,400 Advances from customers 22,772 29,420 4,144 Other payables and accrued expenses 51,520 58,954 8,304 Total current liabilities 258,397 260,638 36,712 Long-term borrowings — — — Other long-term liability 15,717 15,732 2,216 Total liabilities 274,114 276,370 38,928 As of September 30, 2021 and 2022, consolidated assets of RMB 52.9 million and RMB 53.7 million, respectively, are collateral for the VIE’s obligations and may not be used to settle the liabilities of the Parent Company. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of consolidation The consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”); include the assets, liabilities, revenues, expenses and cash flows of all subsidiaries and variable interest entities. Intercompany balances, transactions and cash flows are eliminated on consolidation. Liquidity and Going Concern The Company incurred net income of RMB2.3 million in the year ended September 30, 2022. Working capital deficit was RMB211.3 million as of September 30, 2022. Accumulated deficit was RMB656.9 million as of September 30, 2022. These factors raise substantial doubts about the Company’s ability to continue as a going concern. On May 17, 2019, the Company entered into a Cooperation Framework Agreement with Beijing Changping Technology Innodevelop Group (BC-TID), an entity owned by the government of Changping District of Beijing City. Under this agreement, BC-TID and the Company planned to have a joint venture entity, which is 51% and 49% owned by BC-TID and the Company, respectively. Both parties decided to use Beijing Origin as the joint venture entity. Based on the agreement, Beijing Origin would contribute the headquarters building in Beijing and certain of its seed technology assets related to genetically modified seeds to the joint venture entity. The Company would transfer out all of Beijing Origin’s other assets. BC-TID would fund the joint venture by injecting into Beijing Origin a total of RMB204 million in cash. Also agreed under this agreement, Beijing Origin would pay off the bank loan of RMB78 million, which is collateralized by the Company’s headquarters building in Beijing, upon receiving the RMB204 million investment from BC-TID. Since the Cooperation Framework Agreement was signed, both parties have been actively involved to complete the formation of joint venture. However, the process has taken longer than originally expected mainly due to the complicated tax related issues with Beijing Origin’s headquarters building and the government approval process. As of January 16, 2022, BC-TID has injected into Beijing Origin a total of RMB137.7 million ($20.2 million) as a loan to Beijing Origin based on the agreement. Currently, the agreement is being finally approved the government officials. The cash amount received by Beijing Origin was used to repay the bank loan collateralized by the headquarters building and provide working capital. According to the agreement, RMB137.7 million cash currently booked as current portion of long-term debt, due in Feb, 2024, is an loan and will be converted to the equity for the joint venture when the JV is formed. Also according to the agreement, the Company leases the headquarters building to BC-TID. There are new hybrids completed variety trails and will be in the market this season. Furthermore nutrition enhanced corn will be produced for animal feed which will greatly increase the revenue. Besides the aforementioned cash inflows, the Company is also seeking funds from other resources including but not limited to licensing its core seed traits to its customers, applying for more government grants for research and development activities, pursuing other capital investment from investors and selling certain company assets. The Company consistently reviews its working capital requirements. Despite the Company’s effort to obtain additional funding and reduce operating costs, there is no assurance that the Company’s plans and actions will be successful. In addition, there can be no assurance that in the event additional sources of funds are needed they will be available on acceptable terms, if at all. The accompanying financial statements do not include any adjustments that might be necessary should we be unable to continue as a going concern. Convenience translation into United States dollars The consolidated financial statements are reported in Renminbi. The translation of Renminbi amounts into United States dollar amounts has been made for the convenience of the reader and has been made at the exchange rate quoted by the middle rate by the State Administration of Foreign Exchange in China on September 30, 2022 of RMB 7.0998 to US $1.00. Such translation amounts should not be construed as representations that the Renminbi amounts could be readily converted into United States dollar amounts at that rate or any other rate. Use of estimates The preparation of the consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates are adjusted to reflect actual experience when necessary. Significant accounting estimates reflected in the Company’s consolidated financial statements include inventory valuation, collectability evaluation of accounts receivables and due from related parties, useful lives of plant and equipment and acquired intangible assets, the valuation allowance for deferred income tax assets, valuation of long-lived assets and share-based compensation expense. Actual results could differ from those estimates. Cash and cash equivalents Cash and cash equivalents consist of cash on hand, cash accounts, interest bearing savings accounts, time certificates of deposit and debt securities with a maturities of three months or less when purchased. Inventories Inventories are stated at the lower of cost, determined by weighted-average method, or net realizable value. Work-in-progress and finished goods inventories consist of raw materials, direct labor and overhead associated with the manufacturing process. Parent seed represents the seeds that are used for research and development activities. The Company periodically performs an analysis of inventory to determine obsolete or slow-moving inventory and determine if its cost exceeds the estimated market value. Write down of potentially obsolete or slow-moving inventory are recorded based on management’s analysis of inventory levels. Land use rights, net Land use rights are recorded at cost less accumulated amortization. Amortization is provided over the term of the land use right agreements on a straight-line basis for the beneficial period, which is 50 years. Plant and equipment, net Plant and equipment are recorded at cost less accumulated depreciation and amortization. Maintenance and repairs are charged to expense as incurred. Depreciation is calculated on a straight-line basis over the following estimated useful lives: Plant and building 20 Machinery and equipment 10 Furniture and office equipment 5 Motor vehicles 5 Leasehold improvements Shorter of the useful lives or the lease term The Company constructs certain of its facilities. In addition to costs under construction contracts, external costs directly related to the construction of such facilities, including duty and tariff, and equipment installation and shipping costs, are capitalized. Depreciation is recorded at the time assets are placed in service. Acquired intangible assets, net Acquired intangible assets primarily consist of purchased technology rights and distribution network and are stated at cost less accumulated amortization. Amortization is calculated on a straight-line basis over the estimated useful lives of these assets and recorded in operating expenses. Amortization is calculated on a straight-line basis over the following estimated useful lives for the main acquired intangible assets: Technology rights for licensed seeds 3-20 years Distribution network 6-14 years Trademark Indefinite Trademarks, which have indefinite lives are not amortized but are reviewed for impairment at least annually, at year end date, or earlier upon the occurrence of certain triggering events. The Company has performed an impairment analysis on the acquired intangible assets in Beijing Origin and recorded no impairment provision during the year ended September 30, 2022. Leases The Company leases certain office space and equipment from third-parties. Leases with an initial term of 12 months or less are not recorded on the balance sheet and lease expense is recognized on a straight-line basis over the lease term. For leases beginning in 2019 and later, at the inception of a contract management assesses whether the contract is, or contains, a lease. The assessment is based on: (1) whether the contract involves the use of a distinct identified asset, (2) whether the right to substantially all the economic benefit from the use of the asset throughout the period is obtained, and (3) whether the Company has the right to direct the use of the asset. At the inception of a lease, management allocates the consideration in the contract to each lease component based on its relative stand-alone price to determine the lease payments. The Company accounts for lease components (e.g., fixed payments including rent, real estate taxes and insurance costs) separately from the nonlease components (e.g., common-area maintenance costs). Most leases include one or more options to renew, with renewal terms that can extend the lease term from one year or more. The exercise of lease renewal options is at the Company’s sole discretion. Renewal periods are included in the lease term only when renewal is reasonably certain, which is a high threshold and requires management to apply judgment to determine the appropriate lease term. The Company’s leases do not include options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term. Certain lease agreements include rental payments adjusted periodically for inflation. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. All of the Company’s leases are classified as operating leases. The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a term of 12 months or less. The effect of short-term leases and initial direct costs on our right-of-use asset and lease liability was not material. ASC 842 requires the Company to make certain assumptions and judgments in applying the guidance, including determining whether an arrangement includes a lease, determining the term of a lease when the contract has renewal or cancellation provisions, and determining the discount rate. As the rate implicit in the lease is not usually available, the Company used an incremental borrowing rate based on the information available at the adoption date of ASC 842 in determining the present value of lease payments for existing leases. The Company will use information available at the lease commencement date to determine the discount rate for any new leases. The Company leases certain office space to third-parties. An operating lease is neither a sale nor financing of an asset. The Company keeps the asset underlying the lease on its balance sheet and continue to depreciate the asset based on its estimated useful life. Rental revenue should be recognized on a straight-line basis (or another systematic basis if that basis is more representative of the pattern in which income is earned from the underlying asset over the term of the respective lease). A lessor should record an unbilled rent receivable, which is the amount by which straight-line rental revenue exceeds rents currently billed in accordance with the lease. Long-term investments We utilize the measurement alternative for equity investments that do not have readily determinable fair values and measure these investments at cost less impairment plus or minus observable price changes in orderly transactions for an identical or similar investment of the same issuer. We classify our investments as non-current assets on the consolidated balance sheets as those investments do not have stated contractual maturity dates. We periodically review our equity investments for impairment. We consider impairment indicators such as negative changes in industry and market conditions, financial performance, business prospects, and other relevant events and factors. If indicators exist and the fair value of the security is below the carrying amount, we write down the security to fair value. Valuation of long-lived asset The Company reviews the carrying value of long-lived assets to be held and used, including other intangible assets subject to amortization, when events and circumstances warrants such a review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such asset is separately identifiable and is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair market value of the long-lived asset and intangible assets. Fair market value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risk involved. Losses on long-lived assets and intangible assets to be disposed are determined in a similar manner, except that fair market values are reduced for the cost to dispose. Revenue recognition The Company derives most of its revenue from hybrid corn seed. The Company adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” and the associated ASUs (collectively, “Topic 606”). The Company recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for the arrangements that the Company determines are within the scope of Topic 606, the Company performs the following five steps: (1) identify the contract(s) with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract and (5) recognize revenue when (or as) the entity satisfies a performance obligation. The majority of the Company’s customer contracts, which may be in the form of purchase orders, contracts or purchase agreements, contain performance obligations for delivery of agreed upon goods. Delivery of all performance obligations contained within a contract with a customer typically occurs at the same time. The Company also makes accounting policy elections to 1) treat shipping and handling activities that occur after the customer obtains control of the goods as fulfillment costs and 2) exclude sales (and similar) taxes from the measurement of the transaction price. Government subsidies A government subsidy is not recognized until there is reasonable assurance that: (a) the enterprise will comply with the conditions attached to the grant; and (b) the grant will be received. When the Company received the government subsidies but the conditions attached to the grants have not been fulfilled, such government subsidies are deferred and recorded under other payables and accrued expenses, and other long-term liability. The reclassification of short-term or long-term liabilities is depended on the management’s expectation of when the conditions attached to the grant can be fulfilled. Cost of revenues Cost of revenues consists of expenses directly related to sales, including the purchase prices and development costs for seeds and, agricultural chemical products, depreciation and amortization, impairment of inventory, shipping and handling costs, salary and compensation, supplies, and license fees. Research and development costs Research and development costs relating to the development of new products and processes, including significant improvements and refinements to existing products, are expensed as incurred. Advertising costs Advertising costs are expensed when incurred and included in selling and marketing expenses. For the years ended September 30, 2020, 2021 and 2022, advertising costs were RMB-nil-, RMB-nil- and RMB-nil-, respectively. Borrowing cost Borrowing costs attributable directly to the acquisition, construction or production of qualifying assets which require a substantial period of time to be ready for their intended use or sale, are capitalized as part of the cost of those assets. Income earned on temporary investments of specific borrowings pending their expenditure on those assets is deducted from borrowing costs capitalized. All other borrowing costs are recognized in interest expenses in the statement of income and comprehensive income in the period in which they are incurred. Allowance for doubtful account The Company regularly monitors and assesses the risk of not collecting amounts owed to the Company by customers. This evaluation is based upon a variety of factors including: an analysis of amounts current and past due along with relevant history and facts particular to the customer. Based on the result of this analysis, the Company records an allowance for doubtful accounts of RMB189, RMB 401 and RMB- nil-,for the years ended September 30, 2020, 2021, and 2022, respectively. Income taxes Deferred income taxes are recognized for the future tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts in the consolidated financial statements, net of operating loss carry forwards and credits. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant tax authorities. The Company adopted FASB ASC 740-10. The Company’s policy on classification of all interest and penalties related to unrecognized tax benefits, if any, as a component of income tax provisions. Foreign currency translation The functional currency of the Company excluding Agritech (Parent) and State Harvest is Renminbi. Monetary assets and liabilities denominated in currencies other than Renminbi are translated into Renminbi at the rates of exchange ruling at the balance sheet date. Transactions in currencies other than Renminbi are converted into Renminbi at the applicable rates of exchange prevailing the transactions occurred. Transaction gains and losses are recognized in the consolidated statements of income (loss) and comprehensive income (loss). The functional currency of Agritech (Parent) and State Harvest are maintained in United State dollars. Assets and liabilities are translated at the exchange rates at the balance sheet date, equity accounts are translated at historical exchange rates and revenues, expenses, gains and losses are translated using the average rate for the period. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of other comprehensive (loss)/income. The Company has chosen Renminbi as its reporting currency. Comprehensive income (loss) Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. Comprehensive income (loss) for the years has been disclosed within the consolidated statements of income and comprehensive income for presentational purpose of the disclosure of comprehensive income (loss) attributable to Agritech and the non-controlling interests respectively. Earnings (loss) per share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the years. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding during the years. The weighted average number of common shares outstanding is adjusted to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. In computing the dilutive effect of potential common shares, the average stock price for the period is used in determining the number of treasury shares assumed to be purchased with the proceeds from the exercise of options. Share-based compensation ASC 718-10 requires that share-based payment transactions with employees and nonemployees, such as share options, be measured based on the grant-date fair value of the equity instrument issued and recognized as compensation expense over the requisite service period, with a corresponding addition to equity. Under this method, compensation cost related to employee share options or similar equity instruments is measured at the grant date based on the fair value of the award and is recognized over the period during which an employee is required to provide service in exchange for the award, which generally is the vesting period. Fair value measurement The Company adopted FASB ASC 820-10, and which defines fair value, establishes a framework for measuring fair value in GAAP, and expands disclosures about fair value measurements. ASC 820-10 does not require any new fair value measurements, but provides guidance on how to measure fair value by providing a fair value hierarchy used to classify the source of the information. ASC 820-10 establishes a three-level valuation hierarchy of valuation techniques based on observable and unobservable inputs, which may be used to measure fair value and include the following: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Classification within the hierarchy is determined based on the lowest level of input that is significant to the fair value measurement. Recently issued accounting pronouncements ● In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Financial Instruments—Credit Losses (Topic 326) amends guideline on reporting credit losses for assets held at amortized cost basis and available-for-sale debt securities. For assets held at amortized cost basis, Topic 326 eliminates the probable initial recognition threshold in current GAAP and, instead, requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available-for-sale debt securities, credit losses should be measured in a manner similar to current GAAP, however Topic 326 will require that credit losses be presented as an allowance rather than as a write-down. ASU No. 2016-13 affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this ASU will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of ASU No. 2016-13 on its consolidated financial statements. The Company believes that other recent accounting pronouncement updates will not have a material effect on the Company’s consolidated financial statements. |
RELATED PARTY BALANCES AND TRAN
RELATED PARTY BALANCES AND TRANSACTIONS | 12 Months Ended |
Sep. 30, 2022 | |
RELATED PARTY BALANCES AND TRANSACTIONS | |
RELATED PARTY BALANCES AND TRANSACTIONS | 3. RELATED PARTY BALANCES AND TRANSACTIONS (1) Related party relationships Name of related parties Relationship Beijing Shihui(i) Being owned by close family members of the Company’s Chairman Henan Agricultural University Being the non-controlling interest of Beijing Origin Linze Origin Seeds Ltd.(i) Being owned by close family members of the Company’s Chairman De Nong Zheng Cheng Seed Limited Being owned by close family members of the Company’s Chairman Henan Yingde Agricultural Ltd. Being owned by close family members of the Company’s Chairman Beijing Liantaide Biotechnology Co., Ltd. Being owned by close family members of the Company’s Chairman Beijing Agrite Co., Ltd. Being owned by close family members of the Company’s Chairman Fifth Division State-owned Assets Management and Operation Co., Ltd Being the non-controlling interest of Xinjiang Origin Non-controlling shareholders (“NCI”) Non- controlling shareholders of Hubei Aoyu, Anhui Aoyu, Xuzhou Aoyu, Shandong Aoyu, Henan Aoyu, Shandong Aoruixinong (i) (1) Due from related parties, net of bad debt allowance September 30, 2021 2022 RMB RMB Denong 1 — Linze Origin Seeds Ltd 45 45 Beijing Shihui 32,128 29,998 NCI 15,848 9,165 Henan Yingde Agricultural Ltd. 8,684 11,529 Beijing Liantaide 4,600 7,466 The Close family of the Company’s Chairman 1 6 Total 61,307 58,125 Allowance for doubtful account 32,128 29,998 Due from related parties, net 29,179 28,127 (2) Due from related party-noncurrent As of September 30, 2022, the balance of due from related party-noncurrent of RMB 42,246 represents the receivable from Linze Origin Seeds Ltd. This balance is presented as noncurrent according to the Restructuring Agreement disclosed in Note 3(1). The Company incurred allowance of due from related party-noncurrent of RMB–nil- for both the year ended September 30, 2021 and 2022, respectively. (3) Due to related parties September 30, 2021 2022 RMB RMB Linze Origin Seeds Limited 300 300 Henan Agriculture University 1,000 1,000 Xinjiang Ginbo Seeds Center (i) (ii) 54 54 Xinjiang Production And Construction Corps 5th Division State-owned Assets Management Co.,Ltd. (ii) 10,000 — Companies controlled by the Company’s directors (ii) 1,556 1,702 NCI 11,348 10,123 The Company’s Chairman (ii) 1,020 970 Close family of the Company’s Chairman (ii) 3,641 187 YingDe 1,350 4,293 30,269 18,629 Note (i): In the ordinary course of business, the Company purchases raw materials from and sells product to related parties, and related parties also provide cash to fund the Company’s operations. (3) Transactions with related parties (a) Sales to Year ended September 30, 2020 2021 2022 RMB RMB RMB YingDe 5,315 3,134 1,818 NCI 10,612 4,701 3,574 Henan Agriculture University — — 5 The close family of the Company’s Chairman — — 2,618 15,927 7,835 8,015 (b) Purchase from Year ended September 30, 2020 2021 2022 RMB RMB RMB Denong 166 — — YingDe 10,975 11,700 14,012 Linze Origin Seeds Limited 3,416 4,706 — Beijing Shihui — 360 — Liantaide — — 9,708 Close family of the Company’s Chairman 32 333 29 NCI 2,861 2,227 — 17,450 19,326 23,749 |
INVENTORIES
INVENTORIES | 12 Months Ended |
Sep. 30, 2022 | |
INVENTORIES | |
INVENTORIES | 5. INVENTORIES As of September 30, 2021 and 2022, inventories are comprised of work in progress of RMB13.6 million and RMB 2.1 million, respectively. No inventories have been pledged as collateral for bank loans as of September 30, 2021 and 2022. Inventory write-offs for the years ended September 30, 2020, 2021 and 2022 were RMB8.1 million, RMB 7.98 million and RMB -nil-, respectively. |
ASSETS HELD FOR SALE
ASSETS HELD FOR SALE | 12 Months Ended |
Sep. 30, 2022 | |
ASSETS HELD FOR SALE | |
ASSETS HELD FOR SALE | 6. ASSETS HELD FOR SALE As of September 30, 2022, no balance of assets held for sale. |
LAND USE RIGHTS, NET
LAND USE RIGHTS, NET | 12 Months Ended |
Sep. 30, 2022 | |
LAND USE RIGHTS, NET | |
LAND USE RIGHTS, NET | 7. LAND USE RIGHTS, NET Land use rights, net consist of the following: September 30, 2021 2022 RMB RMB Land use rights 6,260 6,260 Accumulated amortization (4,406) (4,468) Land use rights, net 1,854 1,792 Land use rights have been pledged as collateral for loans from Beijing Changping Technology Development Co. Ltd. as of September 30, 2021 were RMB1,992 and from Beijing Changping Technology Development Co. Ltd. as of September 30, 2022 were RMB1,930, Amortization expenses for the years ended September 30, 2020, 2021 and 2022 were RMB0.4 million, RMB0.3million and RMB0.06 million, respectively. The Company incurred impairment of land use rights for the year ended September 30, 2021 and 2022 were RMB7.6 million and RMB–nil-. |
PLANT AND EQUIPMENT, NET
PLANT AND EQUIPMENT, NET | 12 Months Ended |
Sep. 30, 2022 | |
PLANT AND EQUIPMENT, NET | |
PLANT AND EQUIPMENT, NET | 8. PLANT AND EQUIPMENT, NET Plant and equipment, net consist of the following: September 30, 2021 2022 RMB RMB Plant and building 70,179 70,179 Machinery and equipment 57,203 36,473 Furniture and office equipment 12,353 12,353 Motor vehicles 3,580 3,580 Total 143,315 122,585 Accumulated depreciation (94,631) (76,196) Plant and equipment, net 48,684 46,389 The depreciation expenses for the years ended September 30, 2020, 2021 and 2022 were RMB9.1 million, RMB6.8 million and RMB2.7 million respectively. |
LONG TERM INVESTMENTS
LONG TERM INVESTMENTS | 12 Months Ended |
Sep. 30, 2022 | |
LONG TERM INVESTMENTS | |
LONG TERM INVESTMENTS | 9. LONG TERM INVESTMENTS The Company owns 17.94% equity interest in Jilin Jinong Hi-tech Development Shares Co. Ltd. (“Jinong”) and accounted for the equity investment without readily determinable fair value (previously known as cost method investment) as of September 30, 2021 and 2022. The Company recorded an impairment loss of RMB5.99 million, RMB5.96 million and RMB 2.9 million on its equity investment without readily determinable fair value for the years ended September 30, 2020, 2021 and 2022, respectively. |
ACQUIRED INTANGIBLE ASSETS, NET
ACQUIRED INTANGIBLE ASSETS, NET | 12 Months Ended |
Sep. 30, 2022 | |
ACQUIRED INTANGIBLE ASSETS, NET | |
ACQUIRED INTANGIBLE ASSETS, NET | 10. ACQUIRED INTANGIBLE ASSETS, NET Acquired intangible assets, net consist of the following: September 30, September 30, 2022 2021 RMB RMB Gross Gross Carrying Accumulated Impairment Net Carrying Accumulated Impairment Net Amount Amortization Loss Balance Amount Amortization Loss Balance Technology rights for licensed seeds 71,429 (68,440) — 2,989 71,429 (67,655) — 3,774 Others 4,739 (4,652) (87) — 4,739 (4,652) (87) — Total 76,168 (73,092) (87) 2,989 76,168 (72,307) (87) 3,774 Amortization expenses for the years ended September 30, 2020, 2021 and 2022 were RMB0.82 million, RMB0.79 million and RMB 0.79 million respectively. RMB–nil-, RMB87,000, and RMB87,000 were charged for impairment for the years ended September 30, 2020, 2021 and 2022, respectively. Amortization expense on these intangible assets for each of the next five years is as follows: Year ending September 30, RMB 2023 532 2024 520 2025 521 2026 521 2027 521 Thereafter 374 Total 2,989 The Company enters into technology transfer and usage agreements with strategic partners and pays up-front fees for the exclusive rights to certain seed technologies. Technology rights are amortized over an average usage period of 3 to 20 years and are charged to general and administrative expenses. |
LEASES
LEASES | 12 Months Ended |
Sep. 30, 2022 | |
LEASES | |
LEASES | 11. LEASES As of September 30, 2022, the Company’s operating lease right of use assets and operating lease liability are RMB1,555 and RMB1,620, respectively. The Company made the impairment of right of use assets of RMB-nil- and RMB-nil- for the years ended September 30, 2021 and 2022, respectively.. The weighted-average remaining lease term is 2.6 years and the weighted-average discount rate is 4.9%. The following table summarizes the components of lease expense: Year ending September 30, RMB Operating lease cost 120 Short-term lease cost — Total 120 The following table summarizes supplemental information related to leases: Year ended September 30, Cash paid for amounts included in the measurement of lease liabilities: RMB Operating cash flows from operating leases — As of September 30, 2022, the Company was obligated under the maturity of operating lease liabilities as follows: Year ending September 30, RMB 2023 132 2024 132 2025 132 2026 145 2027 145 Thereafter 934 1,620 |
BORROWINGS
BORROWINGS | 12 Months Ended |
Sep. 30, 2022 | |
BORROWINGS | |
BORROWINGS | 12. BORROWINGS Borrowings consisted of the following: September 30, 2021 2022 RMB RMB Borrowing from Beijing Changping Technology Development Co. Ltd.(“BC-TID”) 137,660 137,660 Long-term borrowings 137,660 137,660 Current portion of long-term borrowings — — Non-current portion of long-term borrowings 137,660 137,660 Interest expense related to borrowings amounted to RMB5.7 million, RMB8.3 million and RMB8.3 million for the years ended September 30, 2020, 2021 and 2022, respectively. |
OTHER PAYABLES AND ACCRUED EXPE
OTHER PAYABLES AND ACCRUED EXPENSES | 12 Months Ended |
Sep. 30, 2022 | |
OTHER PAYABLES AND ACCRUED EXPENSES | |
OTHER PAYABLES AND ACCRUED EXPENSES | 13. OTHER PAYABLES AND ACCRUED EXPENSES Other payables and accrued expenses consist of: September 30, 2021 2022 RMB RMB Payable for purchase of plant and equipment 9,169 5,789 Salaries and bonus payable 4,724 4,908 Accrued interest 12,102 20,388 Other taxes payable 2,407 4,159 Deposits from others 2,434 4,689 Deferred government subsidies 1,039 887 Payable for penalty 12,812 12,734 Others 10,683 11,378 55,374 64,932 |
OTHER LONG-TERM LIABILITY
OTHER LONG-TERM LIABILITY | 12 Months Ended |
Sep. 30, 2022 | |
OTHER LONG-TERM LIABILITY | |
OTHER LONG-TERM LIABILITY | 14. OTHER LONG-TERM LIABILITY In fiscal year 2022, the Company didn’t receive government subsidies from the local PRC government for equipment projects. The non-current portion of such government subsidies are recorded as long-term liability, which will be amortized over the estimated useful lives related to the plant and equipment and land use right. The increase in deferred government subsidies was due to reclassification from other payable account. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended |
Sep. 30, 2022 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 15. STOCK-BASED COMPENSATION On January 2, 2020 the Company granted its employees options to purchase 38,000 ordinary shares at the price of US$5.3 (“Tranche 21”), on April 14, 2021 the Company granted its employees options to purchase 160,000 ordinary shares at the price of US$13.99 (“Tranche 21”). On Jan 3, 2022 the Company granted its employees options to purchase 40,000 ordinary shares at the price of US$7.23. All the options have an expiration date that is 5 All the option awards have an exercise price of US$5.19 to US$20.7 and expire 5 For the options outstanding at September 30, 2021 and 2022, the weighted average remaining contractual lives are 0.26 and– nil The Company recorded share-based compensation expense for share options of RMB0.66 million and RMB 10.95 million and RMB1.04 million for the years ended September 30, 2020, 2021 and 2022 respectively. As of September 30, 2021 and 2022, there were RMB-nil- and RMB 0.17 million of total unrecognized compensation expense related to non-vested share-based compensation arrangement under the 2014 Plan. Under the term of the 2014 Plan, on March 1, 2018, June 1, 2018 and September 1, 2018 the Company granted total of 22,500 restricted shares to its management at an aggregate value of US$167,925, based on the stock closing price of US$8.6, US$7.2 and US$6.6 at March 1, 2018, June 1, 2018 and September 1, 2018, respectively. The vesting period of these shares was 1 year from the grant date, which is March 1, 2019, June 1, 2019 and September 1, 2019, respectively. The Company issued a total of 320,000 restricted shares to its management and employees during the year ended September 30, 2020. The Company recorded share-based compensation expense for restricted shares of RMB11.6 million, RMB -nil- and RMB -nil- for the years ended September 30, 2020, 2021 and 2022, respectively. During the fiscal year ended September 30, 2020, we awarded an aggregate of 30,000 treasury stock shares to its employees and recorded share-based compensation expense of RMB1,595, and resulted in decrease RMB7,212 cost of treasury stocks. During the fiscal year ended September 30, 2021, we awarded an aggregate of 14,386 treasury stock shares to its employees, and resulted in decrease RMB4,223 cost of treasury stocks. We didn’t award any treasury stock shares in the fiscal year ended September 30, 2022. A summary of the stock option activity under the 2009 and 2014 Plans is as follows: Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche 11 12 13 14 15 16 17 18 19 20 21 22 23 January 4, April 19, May 16, August 3, January 3, October 2, December 22, January 2, March 1, January 2, January 2, April 14, January 3, Grant date 2016 2016 2016 2016 2017 2017 2017 2018 2018 2019 2020 2021 2022 Outstanding as of September 30, 2019 13,500 60,000 20,000 20,000 18,000 2,500 8,800 29,000 20,000 36,000 38,000 — — Number of options granted — — — — — — — — — — — — — Options exercised — — — — — — — — — — — — — Options cancelled/expired — — — — — — — — — — — — — Outstanding as of September 30, 2020 13,500 60,000 20,000 20,000 18,000 2,500 8,800 29,000 20,000 36,000 38,000 — — Number of options granted — — — — — — — — — — — 160,000 — Options exercised — — — — — — (1,000) — — — — (20,930) — Options cancelled/expired — (60,000) (20,000) (20,000) — (2,500) (6,000) (10,000) — — — — — Outstanding as of September 30, 2021 13,500 — — — 18,000 — 1,800 19,000 — — — 139,070 — Number of options granted (1,000) 40,000 Options exercised (1,000) (4,000) (1,000) (15,510) Options cancelled/expired (1,000) (4,000) (800) Outstanding as of September 30, 2022 12,500 — — — 4,000 — — 19,000 — — — 123,560 — Options vested and exercisable At September 30, 2021 13,500 — — — 18,000 — 1,800 19,000 — — — 139,070 — At September 30, 2022 12,500 — — — 14,000 — — 19,000 — — — 123,560 40,000 Weighted average fair value at the grant date (US$) 9.0 15.4 12.4 14.4 4.0 7.7 4.4 5.1 5.1 4.0 2.5 12.5 5.4 The fair value of each option granted is estimated on the date of grant using the Black-Scholes Option Pricing Model: Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche 11 12 13 14 15 16 17 18 19 20 21 22 23 Exercise price (US$) 13.8 20.5 16.5 20 20.7 16.5 8 9.1 8.2 5.19 5.3 15.85 7.23 Average risk-free interest rate 1.73 % 1.79 % 1.75 % 1.55 % 1.94 % 1.94 % 2.26 % 2.25 % 2.58 % 2.49 % 1.67 % 0.87 % 1.37 % Expected option life (year) 5 10 10 10 5 5 5 5 5 5 5 5 5 Volatility rate 80.72 % 69.27 % 69.92 % 65.37 % 63.87 % 52.40 % 63.20 % 64.60 % 68.20 % 103 % 52.60 % 109.90 % 100.95 % Dividend yield — — — — — — — — — — — — — The aggregate intrinsic value as of September 30, 2022 and 2021 is US$319 and US$219, respectively. |
SHARE CAPITAL
SHARE CAPITAL | 12 Months Ended |
Sep. 30, 2022 | |
SHARE CAPITAL | |
SHARE CAPITAL | 16. SHARE CAPITAL During the fiscal year ended September 30, 2020, we sold an aggregate of 280,000 shares of the Company’s common stock under an “at the market” arrangement, for gross proceeds of $2.36 million (RMB16.2 million). During the fiscal year ended September 30, 2020, third parties contributed RMB2.1 million to our consolidating entities without a corresponding reduction in our ownership percentage, resulting in an increase in cash and non-controlling interests. During the fiscal year ended September 30, 2021, we sold an aggregate of 219,440 shares of the Company’s common stock under an “at the market” arrangement, for gross proceeds of $2.62 million (RMB17.2 million). During the fiscal year ended September 30, 2021, the employees exercised an aggregate of 21,930 shares of stock options. Cash received from options exercised for the years ended September 30, 2021 and 2020 was–nil- and $73 (RMB472). During the fiscal year ended September 30, 2022, we sold an aggregate of 201,000 shares of the Company’s common stock under an “at the market” arrangement, for gross proceeds of $1.65 million (RMB11 million). During the fiscal year ended September 30, 2022, the employees exercised an aggregate of 16,510 shares of stock options. Cash received from options exercised for the years ended September 30, 2022 and 2021 was US$53,580 (RMB340,454) and –nil-. |
RENTAL INCOME
RENTAL INCOME | 12 Months Ended |
Sep. 30, 2022 | |
RENTAL INCOME | |
RENTAL INCOME | 17. RENTAL INCOME The Company has been renting its headquarters building and manage the property over the years. In May 2020, the Company entered into lease agreements with BC-TID. and leased the whole building of Beijing Origin located in Changping District, Beijing 102206, China. Rental income amounted toRMB7.6 million, RMB10.6 million and RMB10.6 million for the years ended September 30, 2020, 2021 and 2022, respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Sep. 30, 2022 | |
INCOME TAXES | |
INCOME TAXES | 18. INCOME TAXES Agritech and its subsidiary, State Harvest are incorporated in the British Virgin Islands and are exempted from the income tax under the laws of the British Virgin Islands. State Harvest’s subsidiaries and State Harvest’s variable interest entity, Beijing Origin and its majority owned subsidiaries (together, the “PRC entities”) were incorporated in the PRC and governed by the PRC laws. The applicable tax rate of the PRC Enterprise Income Tax (“EIT”) was changed from 33% to 25% on January 1, 2008, according to the Corporate Income Tax Law. The preferential tax rate previously enjoyed by the PRC entities is gradually transitioned to the new standard rate of 25% over a five-year transitional period. In addition, article 28 of the new tax law stated that the income tax rate of a “high technology” company (high-tech status) is to remain at 15%. Preferential tax treatment of Beijing Origin as “high technology” company (High-tech Status) from October 28, 2018 to October 27, 2021 has been granted by the relevant tax authorities. Beijing Origin is entitled to a preferential tax rate of 15% which is subject to annual review. As a result of these preferential tax treatments, the reduced tax rates applicable to Beijing Origin Seed Limited for 2020, 2021 and 2022 are 15%. The Company’s liability for income taxes includes the liability for unrecognized tax benefits, interest and penalties which relate to tax years still subject to review by taxing authorities. Audit periods remain open for review until the statute of limitations has passed. The completion of review or the expiration of the statute of limitations for a given audit period could result in an adjustment to the Company’s liability for income taxes. Any such adjustment could be material to the Company’s results of operations for any given quarterly or annual period based, in part, upon the results of operations for the given period. Until September 30, 2022, the management considered that the Company had no uncertain tax positions affected its consolidated financial position. The Company’s uncertain tax positions are related to tax years that remain subject to examination by the relevant tax authorities and the major one is the China tax authority. The open tax years for examinations in China are 5 years. The principal components of the deferred income tax assets are as follows: September 30, 2021 2022 RMB RMB Non-current deferred tax assets: Net operating loss carry forward 119,617 118,410 Impairment loss 35,840 36,567 Others 22,959 22,859 Non-current deferred income tax assets 178,416 177,835 Valuation allowances (178,416) (177,835) Net non-current deferred income tax assets — — The Company did not have any significant temporary differences relating to deferred tax liabilities as of September 30, 2021 and 2022. A significant portion of the deferred tax assets recognized relates to net operating loss and credit carry forwards. The Company operates through the PRC entities and the valuation allowance is considered on each individual basis. Reconciliation between total income tax expenses and the amount computed by applying the statutory income tax rate to income before taxes is as follows: Year ended September 30, 2020 2021 2022 % % % Statutory rate 25 25 25 Effect of preferential tax treatment — — — Change in valuation allowance (24) (25) (25) Over provision in prior year — — (1) Effective income tax rate 1 — (1) |
INCOME_(LOSS) PER SHARE
INCOME/(LOSS) PER SHARE | 12 Months Ended |
Sep. 30, 2022 | |
INCOME/(LOSS) PER SHARE | |
INCOME/(LOSS) PER SHARE | 19. INCOME/(LOSS) PER SHARE The following table sets forth the computation of basic and diluted loss per share for the years indicated: Year ended September 30, 2020 2021 2022 RMB RMB RMB Numerator: Net loss attributable to Origin Agritech Limited (85,261) (91,529) (6,265) Denominator: Average common stock outstanding - basic and Diluted 5,029,017 5,617,424 5,773,094 Basic and Diluted Per Share Data: Basic and diluted loss per share attributable to Origin Agritech Limited: (16.95) (16.29) (1.09) For the years ended September 30, 2020, 2021 and 2022, the effect of the outstanding options was anti-dilutive. |
EMPLOYEE BENEFIT PLAN AND PROFI
EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION | 12 Months Ended |
Sep. 30, 2022 | |
EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION | |
EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION | 20. EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION Full time employees of the PRC entities participate in a government mandated multi-employer defined contribution plan pursuant to which certain pension benefits, medical care, unemployment insurance, employee housing fund and other welfare benefits are provided to employees. Chinese labor regulations require the Company to accrue for these benefits based on certain percentages of the employees’ salaries. The total provisions for such employee benefits were RMB1.69 million, RMB1.28 million and RMB 1.7 million for the years ended September 30, 2020, 2021 and 2022, respectively. Pursuant to the laws applicable to the PRC, domestic PRC entities must make appropriations from after-tax profit to non-distributable reserves funds including: (i) the statutory surplus reserve and; (ii) the statutory public welfare fund. Subject to the limits of 50% of the entity’s registered capital, the statutory surplus reserve fund requires annual appropriations of 10% of after-tax profit (as determined under accounting principles generally accepted in the PRC (“PRC GAAP”) at each year-end). The Company’s wholly foreign owned subsidiary, BioTech, however subject to the law applicable to foreign invested enterprises in the PRC, was required annual appropriation of the general reserve fund, no less than 10% of after-tax profit (as determined under PRC GAAP at each year-end). These reserve funds can only be used for specific purposes of enterprise expansion and staff welfare and are not distributable as cash dividends. No appropriation has been made for the years ended September 30, 2021, 2022. On the other hand, the amount set aside as of September 30, 2021 and 2022 were RMB15,133 and RMB15,133. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Sep. 30, 2022 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | 21. COMMITMENTS AND CONTINGENCIES Legal proceeding There are legal proceedings against Linze Origin Seed Limited and Beijing Origin involving unsettled purchase orders to suppliers of Linze Origin Seed Limited. Pursuant to a court order and mediation directives, the total compensation of these proceedings amounted to RMB961, plus interest, that shall be settled by Linze Origin Seed Limited and Beijing Origin, which shall be jointly and severally liable for these claims. At present, the legal proceedings have been withdrawn and the Company still has the security obligations and is unable to estimate a reasonable possible range of loss, if any, that may result from such litigation, since it is uncertain how much Linze Origin Seed Limited will pay. If an unfavorable outcome were to occur as a result of the litigation described above, the impact could be no material to the Company’s business, financial condition, or results of operations. We may from time to time be subject to various legal or administrative proceedings, either as plaintiff or defendant, arising in the ordinary course of our business. Except otherwise disclosed in this report, we are not currently a party to, nor are we aware of, any legal proceeding, investigation or claim that, in the view of our management, is likely to materially and adversely affect our business, financial position or results of operations. |
OPERATING RISK
OPERATING RISK | 12 Months Ended |
Sep. 30, 2022 | |
OPERATING RISK | |
OPERATING RISK | 22. OPERATING RISK Concentrations of customers and risk During the fiscal year 2022, our largest and second largest customers represented approximately 8% and 4% of total consolidated revenues. Interest risk The interest rate and term of repayment of other borrowing is 6.0%, which are fixed at the inception of the borrowing. Other financial assets and liabilities do not have material interest rate risk. Liquidity risk We believe our working capital is sufficient to meet our present requirements. We may, however, require additional cash due to changing business conditions or other future developments, including any investments or acquisitions we may decide to pursue. In the long-term, we intend to rely primarily on cash flow from operations and additional borrowings from banks to meet our anticipated cash needs. If our anticipated cash flow is insufficient to meet our requirements, we may also seek to sell additional equity, debt or equity-linked securities. Country risk The Company has significant investments in the PRC. The operating results of the Company may be adversely affected by changes in the political and social conditions in the PRC and by changes in Chinese government policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods taxation, among other things. There can be no assurance; however, those changes in political and other conditions will not result in any adverse impact. Coronavirus risk The effect of the Coronavirus on our company cannot fully be determined at this time; however, as China has been largely successful in controlling the spread of the virus, currently it is not expected to have a major impact on either the overall Chinese economy or on the Company. At this time, because of the Chinese government steps taken during 2021, the impact of the Coronavirus on the Company and on our ability to produce and distribute products has been insignificant. Although there was a strict lock-down in China in the middle of our fiscal year, we have largely overcome the adverse impact of that period. Currently, we do not expect any long term adverse impact of the Coronavirus on our business, due to the fact that we operate in China and our products are distributed in China. At this time, because the Chinese economy has not been so disrupted by the Coronavirus and government response, we do not expect the pandemic situation to have any significant adverse results on our overall financial condition. Notwithstanding the above, if the medical situation should change as the world-wide pandemic continues, we could face adverse consequences to our ability to perform research, generate products and effect distribution of products and otherwise pursue our business. Therefore, investors should monitor aspects of the pandemic and its overall effect on the Chinese economy and trade as well as the world economic situation. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Sep. 30, 2022 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | 23. SUBSEQUENT EVENTS There are no significant subsequent events. |
CONDENSED FINANCIAL INFORMATION
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY | 12 Months Ended |
Sep. 30, 2022 | |
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY | |
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY | 24. CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY The condensed financial statements of Origin Agritech Limited (the “parent company”) have been prepared in accordance with accounting principles generally accepted in the United States of America. Under the PRC laws and regulations, the Company’s PRC subsidiaries are restricted in their ability to transfer certain of their net assets to the parent company in the form of dividend payments, loans or advances. The amounts restricted include paid-in capital, capital surplus and statutory reserves, as determined pursuant to PRC generally accepted accounting principles, totaling RMB45,457 and RMB45,457 as of September 30, 2021 and 2022, respectively. The following represents condensed unconsolidated financial information of the parent company only: CONDENSED BALANCE SHEET September 30 2021 2022 2022 RMB RMB US$ ASSETS (LIABILITIES) Current assets (liabilities) Cash and cash equivalents 8,900 6,394 901 Other receivables 273 235 33 Due from inter-companies 187,777 216,571 30,504 Due to related parties 717 696 98 Total current assets (liabilities) 197,667 223,896 31,536 Investment in unconsolidated subsidiaries (338,339) (356,347) (50,191) Total assets (liabilities) (140,672) (132,451) (18,655) AND EQUITY Total stockholders’ equity (deficit) (140,672) (133,872) (18,856) CONDENSED STATEMENT OF INCOME AND COMPREHENSIVE INCOME Year ended September 30, 2020 2021 2022 2022 RMB RMB RMB US$ Revenues — — — — Operating expenses General and administrative (14,852) (19,302) (5,246) (739) Loss from operations (14,852) (19,302) (5,246) (739) Equity method loss (70,407) (72,213) (1,004) (141) Interest expense (2) (14) (15) (2) Loss before income taxes (85,261) (91,529) (6,265) (882) Income tax expense — — — — Net loss (85,261) (91,529) (6,265) (882) Other comprehensive loss Foreign currency translation difference 1,371 (816) 447 63 Total comprehensive loss (83,890) (92,345) (5,818) (819) CONDENSED STATEMENT OF CASH FLOWS Year ended September 30, 2020 2021 2022 2022 RMB RMB RMB US$ Net cash provided by operating activities — — (4,567) (644) Net cash provided by financing activities 16,730 (8,637) 1,614 227 Net increase in cash and cash equivalents 16,730 (8,637) (2,953) (417) Cash and cash equivalents, beginning of year 252 18,353 8,900 1,254 Effect of exchange rate changes on cash and cash equivalents 1,371 (816) 447 63 Cash and cash equivalents, end of year 18,353 8,900 6,394 900 BASIS OF PRESENTATION The condensed financial information has been prepared using the same accounting policies as set out in the Company’s consolidated financial statements except that the parent company has used equity method to account for its investments in subsidiaries. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Principles of consolidation | Principles of consolidation The consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”); include the assets, liabilities, revenues, expenses and cash flows of all subsidiaries and variable interest entities. Intercompany balances, transactions and cash flows are eliminated on consolidation. |
Liquidity and Going Concern | Liquidity and Going Concern The Company incurred net income of RMB2.3 million in the year ended September 30, 2022. Working capital deficit was RMB211.3 million as of September 30, 2022. Accumulated deficit was RMB656.9 million as of September 30, 2022. These factors raise substantial doubts about the Company’s ability to continue as a going concern. On May 17, 2019, the Company entered into a Cooperation Framework Agreement with Beijing Changping Technology Innodevelop Group (BC-TID), an entity owned by the government of Changping District of Beijing City. Under this agreement, BC-TID and the Company planned to have a joint venture entity, which is 51% and 49% owned by BC-TID and the Company, respectively. Both parties decided to use Beijing Origin as the joint venture entity. Based on the agreement, Beijing Origin would contribute the headquarters building in Beijing and certain of its seed technology assets related to genetically modified seeds to the joint venture entity. The Company would transfer out all of Beijing Origin’s other assets. BC-TID would fund the joint venture by injecting into Beijing Origin a total of RMB204 million in cash. Also agreed under this agreement, Beijing Origin would pay off the bank loan of RMB78 million, which is collateralized by the Company’s headquarters building in Beijing, upon receiving the RMB204 million investment from BC-TID. Since the Cooperation Framework Agreement was signed, both parties have been actively involved to complete the formation of joint venture. However, the process has taken longer than originally expected mainly due to the complicated tax related issues with Beijing Origin’s headquarters building and the government approval process. As of January 16, 2022, BC-TID has injected into Beijing Origin a total of RMB137.7 million ($20.2 million) as a loan to Beijing Origin based on the agreement. Currently, the agreement is being finally approved the government officials. The cash amount received by Beijing Origin was used to repay the bank loan collateralized by the headquarters building and provide working capital. According to the agreement, RMB137.7 million cash currently booked as current portion of long-term debt, due in Feb, 2024, is an loan and will be converted to the equity for the joint venture when the JV is formed. Also according to the agreement, the Company leases the headquarters building to BC-TID. There are new hybrids completed variety trails and will be in the market this season. Furthermore nutrition enhanced corn will be produced for animal feed which will greatly increase the revenue. Besides the aforementioned cash inflows, the Company is also seeking funds from other resources including but not limited to licensing its core seed traits to its customers, applying for more government grants for research and development activities, pursuing other capital investment from investors and selling certain company assets. The Company consistently reviews its working capital requirements. Despite the Company’s effort to obtain additional funding and reduce operating costs, there is no assurance that the Company’s plans and actions will be successful. In addition, there can be no assurance that in the event additional sources of funds are needed they will be available on acceptable terms, if at all. The accompanying financial statements do not include any adjustments that might be necessary should we be unable to continue as a going concern. |
Convenience translation into United States dollars | Convenience translation into United States dollars The consolidated financial statements are reported in Renminbi. The translation of Renminbi amounts into United States dollar amounts has been made for the convenience of the reader and has been made at the exchange rate quoted by the middle rate by the State Administration of Foreign Exchange in China on September 30, 2022 of RMB 7.0998 to US $1.00. Such translation amounts should not be construed as representations that the Renminbi amounts could be readily converted into United States dollar amounts at that rate or any other rate. |
Use of estimates | Use of estimates The preparation of the consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates are adjusted to reflect actual experience when necessary. Significant accounting estimates reflected in the Company’s consolidated financial statements include inventory valuation, collectability evaluation of accounts receivables and due from related parties, useful lives of plant and equipment and acquired intangible assets, the valuation allowance for deferred income tax assets, valuation of long-lived assets and share-based compensation expense. Actual results could differ from those estimates. |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents consist of cash on hand, cash accounts, interest bearing savings accounts, time certificates of deposit and debt securities with a maturities of three months or less when purchased. |
Inventories | Inventories Inventories are stated at the lower of cost, determined by weighted-average method, or net realizable value. Work-in-progress and finished goods inventories consist of raw materials, direct labor and overhead associated with the manufacturing process. Parent seed represents the seeds that are used for research and development activities. The Company periodically performs an analysis of inventory to determine obsolete or slow-moving inventory and determine if its cost exceeds the estimated market value. Write down of potentially obsolete or slow-moving inventory are recorded based on management’s analysis of inventory levels. |
Land use rights, net | Land use rights, net Land use rights are recorded at cost less accumulated amortization. Amortization is provided over the term of the land use right agreements on a straight-line basis for the beneficial period, which is 50 years. |
Plant and equipment, net | Plant and equipment, net Plant and equipment are recorded at cost less accumulated depreciation and amortization. Maintenance and repairs are charged to expense as incurred. Depreciation is calculated on a straight-line basis over the following estimated useful lives: Plant and building 20 Machinery and equipment 10 Furniture and office equipment 5 Motor vehicles 5 Leasehold improvements Shorter of the useful lives or the lease term The Company constructs certain of its facilities. In addition to costs under construction contracts, external costs directly related to the construction of such facilities, including duty and tariff, and equipment installation and shipping costs, are capitalized. Depreciation is recorded at the time assets are placed in service. |
Acquired intangible assets, net | Acquired intangible assets, net Acquired intangible assets primarily consist of purchased technology rights and distribution network and are stated at cost less accumulated amortization. Amortization is calculated on a straight-line basis over the estimated useful lives of these assets and recorded in operating expenses. Amortization is calculated on a straight-line basis over the following estimated useful lives for the main acquired intangible assets: Technology rights for licensed seeds 3-20 years Distribution network 6-14 years Trademark Indefinite Trademarks, which have indefinite lives are not amortized but are reviewed for impairment at least annually, at year end date, or earlier upon the occurrence of certain triggering events. The Company has performed an impairment analysis on the acquired intangible assets in Beijing Origin and recorded no impairment provision during the year ended September 30, 2022. |
Leases | Leases The Company leases certain office space and equipment from third-parties. Leases with an initial term of 12 months or less are not recorded on the balance sheet and lease expense is recognized on a straight-line basis over the lease term. For leases beginning in 2019 and later, at the inception of a contract management assesses whether the contract is, or contains, a lease. The assessment is based on: (1) whether the contract involves the use of a distinct identified asset, (2) whether the right to substantially all the economic benefit from the use of the asset throughout the period is obtained, and (3) whether the Company has the right to direct the use of the asset. At the inception of a lease, management allocates the consideration in the contract to each lease component based on its relative stand-alone price to determine the lease payments. The Company accounts for lease components (e.g., fixed payments including rent, real estate taxes and insurance costs) separately from the nonlease components (e.g., common-area maintenance costs). Most leases include one or more options to renew, with renewal terms that can extend the lease term from one year or more. The exercise of lease renewal options is at the Company’s sole discretion. Renewal periods are included in the lease term only when renewal is reasonably certain, which is a high threshold and requires management to apply judgment to determine the appropriate lease term. The Company’s leases do not include options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term. Certain lease agreements include rental payments adjusted periodically for inflation. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. All of the Company’s leases are classified as operating leases. The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a term of 12 months or less. The effect of short-term leases and initial direct costs on our right-of-use asset and lease liability was not material. ASC 842 requires the Company to make certain assumptions and judgments in applying the guidance, including determining whether an arrangement includes a lease, determining the term of a lease when the contract has renewal or cancellation provisions, and determining the discount rate. As the rate implicit in the lease is not usually available, the Company used an incremental borrowing rate based on the information available at the adoption date of ASC 842 in determining the present value of lease payments for existing leases. The Company will use information available at the lease commencement date to determine the discount rate for any new leases. The Company leases certain office space to third-parties. An operating lease is neither a sale nor financing of an asset. The Company keeps the asset underlying the lease on its balance sheet and continue to depreciate the asset based on its estimated useful life. Rental revenue should be recognized on a straight-line basis (or another systematic basis if that basis is more representative of the pattern in which income is earned from the underlying asset over the term of the respective lease). A lessor should record an unbilled rent receivable, which is the amount by which straight-line rental revenue exceeds rents currently billed in accordance with the lease. |
Long-term investments | Long-term investments We utilize the measurement alternative for equity investments that do not have readily determinable fair values and measure these investments at cost less impairment plus or minus observable price changes in orderly transactions for an identical or similar investment of the same issuer. We classify our investments as non-current assets on the consolidated balance sheets as those investments do not have stated contractual maturity dates. We periodically review our equity investments for impairment. We consider impairment indicators such as negative changes in industry and market conditions, financial performance, business prospects, and other relevant events and factors. If indicators exist and the fair value of the security is below the carrying amount, we write down the security to fair value. |
Valuation of long-lived asset | Valuation of long-lived asset The Company reviews the carrying value of long-lived assets to be held and used, including other intangible assets subject to amortization, when events and circumstances warrants such a review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such asset is separately identifiable and is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair market value of the long-lived asset and intangible assets. Fair market value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risk involved. Losses on long-lived assets and intangible assets to be disposed are determined in a similar manner, except that fair market values are reduced for the cost to dispose. |
Revenue recognition | Revenue recognition The Company derives most of its revenue from hybrid corn seed. The Company adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” and the associated ASUs (collectively, “Topic 606”). The Company recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for the arrangements that the Company determines are within the scope of Topic 606, the Company performs the following five steps: (1) identify the contract(s) with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract and (5) recognize revenue when (or as) the entity satisfies a performance obligation. The majority of the Company’s customer contracts, which may be in the form of purchase orders, contracts or purchase agreements, contain performance obligations for delivery of agreed upon goods. Delivery of all performance obligations contained within a contract with a customer typically occurs at the same time. The Company also makes accounting policy elections to 1) treat shipping and handling activities that occur after the customer obtains control of the goods as fulfillment costs and 2) exclude sales (and similar) taxes from the measurement of the transaction price. |
Government subsidies | Government subsidies A government subsidy is not recognized until there is reasonable assurance that: (a) the enterprise will comply with the conditions attached to the grant; and (b) the grant will be received. When the Company received the government subsidies but the conditions attached to the grants have not been fulfilled, such government subsidies are deferred and recorded under other payables and accrued expenses, and other long-term liability. The reclassification of short-term or long-term liabilities is depended on the management’s expectation of when the conditions attached to the grant can be fulfilled. |
Cost of revenues | Cost of revenues Cost of revenues consists of expenses directly related to sales, including the purchase prices and development costs for seeds and, agricultural chemical products, depreciation and amortization, impairment of inventory, shipping and handling costs, salary and compensation, supplies, and license fees. |
Research and development costs | Research and development costs Research and development costs relating to the development of new products and processes, including significant improvements and refinements to existing products, are expensed as incurred. |
Advertising costs | Advertising costs Advertising costs are expensed when incurred and included in selling and marketing expenses. For the years ended September 30, 2020, 2021 and 2022, advertising costs were RMB-nil-, RMB-nil- and RMB-nil-, respectively. |
Borrowing cost | Borrowing cost Borrowing costs attributable directly to the acquisition, construction or production of qualifying assets which require a substantial period of time to be ready for their intended use or sale, are capitalized as part of the cost of those assets. Income earned on temporary investments of specific borrowings pending their expenditure on those assets is deducted from borrowing costs capitalized. All other borrowing costs are recognized in interest expenses in the statement of income and comprehensive income in the period in which they are incurred. |
Allowance for doubtful account | Allowance for doubtful account The Company regularly monitors and assesses the risk of not collecting amounts owed to the Company by customers. This evaluation is based upon a variety of factors including: an analysis of amounts current and past due along with relevant history and facts particular to the customer. Based on the result of this analysis, the Company records an allowance for doubtful accounts of RMB189, RMB 401 and RMB- nil-,for the years ended September 30, 2020, 2021, and 2022, respectively. |
Income taxes | Income taxes Deferred income taxes are recognized for the future tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts in the consolidated financial statements, net of operating loss carry forwards and credits. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant tax authorities. The Company adopted FASB ASC 740-10. The Company’s policy on classification of all interest and penalties related to unrecognized tax benefits, if any, as a component of income tax provisions. |
Foreign currency translation | Foreign currency translation The functional currency of the Company excluding Agritech (Parent) and State Harvest is Renminbi. Monetary assets and liabilities denominated in currencies other than Renminbi are translated into Renminbi at the rates of exchange ruling at the balance sheet date. Transactions in currencies other than Renminbi are converted into Renminbi at the applicable rates of exchange prevailing the transactions occurred. Transaction gains and losses are recognized in the consolidated statements of income (loss) and comprehensive income (loss). The functional currency of Agritech (Parent) and State Harvest are maintained in United State dollars. Assets and liabilities are translated at the exchange rates at the balance sheet date, equity accounts are translated at historical exchange rates and revenues, expenses, gains and losses are translated using the average rate for the period. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of other comprehensive (loss)/income. The Company has chosen Renminbi as its reporting currency. |
Comprehensive income (loss) | Comprehensive income (loss) Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. Comprehensive income (loss) for the years has been disclosed within the consolidated statements of income and comprehensive income for presentational purpose of the disclosure of comprehensive income (loss) attributable to Agritech and the non-controlling interests respectively. |
Earnings (loss) per share | Earnings (loss) per share Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the years. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding during the years. The weighted average number of common shares outstanding is adjusted to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. In computing the dilutive effect of potential common shares, the average stock price for the period is used in determining the number of treasury shares assumed to be purchased with the proceeds from the exercise of options. |
Share-based compensation | Share-based compensation ASC 718-10 requires that share-based payment transactions with employees and nonemployees, such as share options, be measured based on the grant-date fair value of the equity instrument issued and recognized as compensation expense over the requisite service period, with a corresponding addition to equity. Under this method, compensation cost related to employee share options or similar equity instruments is measured at the grant date based on the fair value of the award and is recognized over the period during which an employee is required to provide service in exchange for the award, which generally is the vesting period. |
Fair value measurement | Fair value measurement The Company adopted FASB ASC 820-10, and which defines fair value, establishes a framework for measuring fair value in GAAP, and expands disclosures about fair value measurements. ASC 820-10 does not require any new fair value measurements, but provides guidance on how to measure fair value by providing a fair value hierarchy used to classify the source of the information. ASC 820-10 establishes a three-level valuation hierarchy of valuation techniques based on observable and unobservable inputs, which may be used to measure fair value and include the following: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Classification within the hierarchy is determined based on the lowest level of input that is significant to the fair value measurement. |
Recently issued accounting pronouncements | Recently issued accounting pronouncements ● In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Financial Instruments—Credit Losses (Topic 326) amends guideline on reporting credit losses for assets held at amortized cost basis and available-for-sale debt securities. For assets held at amortized cost basis, Topic 326 eliminates the probable initial recognition threshold in current GAAP and, instead, requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available-for-sale debt securities, credit losses should be measured in a manner similar to current GAAP, however Topic 326 will require that credit losses be presented as an allowance rather than as a write-down. ASU No. 2016-13 affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this ASU will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of ASU No. 2016-13 on its consolidated financial statements. The Company believes that other recent accounting pronouncement updates will not have a material effect on the Company’s consolidated financial statements. |
ORGANIZATION AND PRINCIPAL AC_2
ORGANIZATION AND PRINCIPAL ACTIVITIES (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Schedule of company's subsidiaries and variable interest entities included in continuing operations | As of September 30, 2022, the Company’s subsidiaries and variable interest entities included in continuing operations consisted of the following: Date of Place of Percentage Incorporation Incorporation of Principal Name or Establishment or Establishment Ownership Activity Subsidiaries: State Harvest Holdings Limited(“State Harvest”) October 6, 2004 British Virgin Islands 100 % Investment Holding OAL SMY Limited July 28, 2021 USA 100 % Investment Holding Beijing Origin State Harvest Biotechnology Limited (“BioTech”) December 1, 2004 People’s Republic of China (“PRC”) 100 % Hybrid seed technology development Variable interest entity: Beijing Origin Seed Limited (note (i)) (“Beijing Origin”) December 26, 1997 PRC Note (i) Hybrid crop seed development, production and distribution Subsidiaries held by Beijing Origin: Xinjiang Originbo Seed Company Limited (note (i)) (“Xinjiang Origin”) July 13, 2011 PRC 51 % Hybrid crop seed development, production and distribution Hainan Aoyu Biotechnology Limited(Hainan Aoyu) March 2, 2022 PRC 100 % Hybrid crop seed development, production and distribution Subsidiaries held by State Harvest: Shandong Aoruixinong Agricultural Technology Limited (Shandong Aoruixinong) September 27, 2019 PRC 51 % Agricultural seed products distribution through e-commune network Hubei Aoyu Zhongye Limited (Hubei Aoyu) October 22, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Anhui Aoyu Zhongye Limited (Anhui Aoyu) July 25, 2018 PRC 50 % Agricultural seed products distribution through e-commerce network Xuzhou Aoyu Zhongye Limited (Xuzhou Aoyu) September 25, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Henan Aoyu Zhongye Limited (note (i)) (“Henan Aoyu”) July 16, 2018 PRC 51 % Agricultural seed products distribution through e-commerce network Note (i): Beijing Origin Seed Limited, Xinjiang Originbo Seed Company Limited, and Zhengzhou Branch of Beijing Origin Seed Limited are collectively referred to as “Beijing Origin”. |
Schedule of variable interest entities | September 30, 2021 2022 2022 RMB RMB US$ ASSETS Current Assets Cash and cash equivalents 305 950 134 Restricted cash — — — Due from related party — — — Accounts receivable 11 304 43 Advances to suppliers 260 8,456 1,191 Inventories 1,052 — — Other current assets 730 7,698 1,084 Total current assets 2,358 17,408 2,452 Land use rights, net 1,854 1,792 252 Plant and equipment, net 48,599 32,952 4,641 Equity investments — — — Acquired intangible assets, net — — — Other assets 83 1,554 219 Total assets 52,894 53,706 7,564 LIABILITIES Current liabilities Short-term borrowings — — — Current portion of long-term borrowings 137,660 137,660 19,389 Accounts payable 9,107 10,064 1,418 Due to growers 6,673 404 57 Due to related parties 30,665 24,136 3,400 Advances from customers 22,772 29,420 4,144 Other payables and accrued expenses 51,520 58,954 8,304 Total current liabilities 258,397 260,638 36,712 Long-term borrowings — — — Other long-term liability 15,717 15,732 2,216 Total liabilities 274,114 276,370 38,928 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of estimated useful lives of assets | Plant and building 20 Machinery and equipment 10 Furniture and office equipment 5 Motor vehicles 5 Leasehold improvements Shorter of the useful lives or the lease term |
Schedule of estimated useful lives of intangible assets | Technology rights for licensed seeds 3-20 years Distribution network 6-14 years Trademark Indefinite |
RELATED PARTY BALANCES AND TR_2
RELATED PARTY BALANCES AND TRANSACTIONS (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
RELATED PARTY BALANCES AND TRANSACTIONS | |
Schedule of related party relationships | Name of related parties Relationship Beijing Shihui(i) Being owned by close family members of the Company’s Chairman Henan Agricultural University Being the non-controlling interest of Beijing Origin Linze Origin Seeds Ltd.(i) Being owned by close family members of the Company’s Chairman De Nong Zheng Cheng Seed Limited Being owned by close family members of the Company’s Chairman Henan Yingde Agricultural Ltd. Being owned by close family members of the Company’s Chairman Beijing Liantaide Biotechnology Co., Ltd. Being owned by close family members of the Company’s Chairman Beijing Agrite Co., Ltd. Being owned by close family members of the Company’s Chairman Fifth Division State-owned Assets Management and Operation Co., Ltd Being the non-controlling interest of Xinjiang Origin Non-controlling shareholders (“NCI”) Non- controlling shareholders of Hubei Aoyu, Anhui Aoyu, Xuzhou Aoyu, Shandong Aoyu, Henan Aoyu, Shandong Aoruixinong (i) (1) Due from related parties, net of bad debt allowance |
Schedule of due from related parties, net of bad debt allowance | September 30, 2021 2022 RMB RMB Denong 1 — Linze Origin Seeds Ltd 45 45 Beijing Shihui 32,128 29,998 NCI 15,848 9,165 Henan Yingde Agricultural Ltd. 8,684 11,529 Beijing Liantaide 4,600 7,466 The Close family of the Company’s Chairman 1 6 Total 61,307 58,125 Allowance for doubtful account 32,128 29,998 Due from related parties, net 29,179 28,127 (2) Due from related party-noncurrent |
Schedule of due to related parties | September 30, 2021 2022 RMB RMB Linze Origin Seeds Limited 300 300 Henan Agriculture University 1,000 1,000 Xinjiang Ginbo Seeds Center (i) (ii) 54 54 Xinjiang Production And Construction Corps 5th Division State-owned Assets Management Co.,Ltd. (ii) 10,000 — Companies controlled by the Company’s directors (ii) 1,556 1,702 NCI 11,348 10,123 The Company’s Chairman (ii) 1,020 970 Close family of the Company’s Chairman (ii) 3,641 187 YingDe 1,350 4,293 30,269 18,629 Note (i): In the ordinary course of business, the Company purchases raw materials from and sells product to related parties, and related parties also provide cash to fund the Company’s operations. |
Schedule of related party transactions | Year ended September 30, 2020 2021 2022 RMB RMB RMB YingDe 5,315 3,134 1,818 NCI 10,612 4,701 3,574 Henan Agriculture University — — 5 The close family of the Company’s Chairman — — 2,618 15,927 7,835 8,015 Year ended September 30, 2020 2021 2022 RMB RMB RMB Denong 166 — — YingDe 10,975 11,700 14,012 Linze Origin Seeds Limited 3,416 4,706 — Beijing Shihui — 360 — Liantaide — — 9,708 Close family of the Company’s Chairman 32 333 29 NCI 2,861 2,227 — 17,450 19,326 23,749 |
LAND USE RIGHTS, NET (Tables)
LAND USE RIGHTS, NET (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
LAND USE RIGHTS, NET | |
Schedule of land use rights, net | September 30, 2021 2022 RMB RMB Land use rights 6,260 6,260 Accumulated amortization (4,406) (4,468) Land use rights, net 1,854 1,792 |
PLANT AND EQUIPMENT, NET (Table
PLANT AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
PLANT AND EQUIPMENT, NET | |
Schedule of plant and equipment, net | September 30, 2021 2022 RMB RMB Plant and building 70,179 70,179 Machinery and equipment 57,203 36,473 Furniture and office equipment 12,353 12,353 Motor vehicles 3,580 3,580 Total 143,315 122,585 Accumulated depreciation (94,631) (76,196) Plant and equipment, net 48,684 46,389 |
ACQUIRED INTANGIBLE ASSETS, N_2
ACQUIRED INTANGIBLE ASSETS, NET (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
ACQUIRED INTANGIBLE ASSETS, NET | |
Schedule of acquired finite-lived intangible assets net consist | September 30, September 30, 2022 2021 RMB RMB Gross Gross Carrying Accumulated Impairment Net Carrying Accumulated Impairment Net Amount Amortization Loss Balance Amount Amortization Loss Balance Technology rights for licensed seeds 71,429 (68,440) — 2,989 71,429 (67,655) — 3,774 Others 4,739 (4,652) (87) — 4,739 (4,652) (87) — Total 76,168 (73,092) (87) 2,989 76,168 (72,307) (87) 3,774 |
Schedule of amortization expense on these intangible assets | Year ending September 30, RMB 2023 532 2024 520 2025 521 2026 521 2027 521 Thereafter 374 Total 2,989 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
LEASES | |
Summary of components of leases | Year ending September 30, RMB Operating lease cost 120 Short-term lease cost — Total 120 Year ended September 30, Cash paid for amounts included in the measurement of lease liabilities: RMB Operating cash flows from operating leases — |
Schedule of maturities of operating lease liabilities | Year ending September 30, RMB 2023 132 2024 132 2025 132 2026 145 2027 145 Thereafter 934 1,620 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
BORROWINGS | |
Schedule of borrowing | September 30, 2021 2022 RMB RMB Borrowing from Beijing Changping Technology Development Co. Ltd.(“BC-TID”) 137,660 137,660 Long-term borrowings 137,660 137,660 Current portion of long-term borrowings — — Non-current portion of long-term borrowings 137,660 137,660 |
OTHER PAYABLES AND ACCRUED EX_2
OTHER PAYABLES AND ACCRUED EXPENSES (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
OTHER PAYABLES AND ACCRUED EXPENSES | |
Schedule of other payables and accrued expenses | September 30, 2021 2022 RMB RMB Payable for purchase of plant and equipment 9,169 5,789 Salaries and bonus payable 4,724 4,908 Accrued interest 12,102 20,388 Other taxes payable 2,407 4,159 Deposits from others 2,434 4,689 Deferred government subsidies 1,039 887 Payable for penalty 12,812 12,734 Others 10,683 11,378 55,374 64,932 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
STOCK-BASED COMPENSATION | |
Schedule of share-based compensation stock options activity | Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche 11 12 13 14 15 16 17 18 19 20 21 22 23 January 4, April 19, May 16, August 3, January 3, October 2, December 22, January 2, March 1, January 2, January 2, April 14, January 3, Grant date 2016 2016 2016 2016 2017 2017 2017 2018 2018 2019 2020 2021 2022 Outstanding as of September 30, 2019 13,500 60,000 20,000 20,000 18,000 2,500 8,800 29,000 20,000 36,000 38,000 — — Number of options granted — — — — — — — — — — — — — Options exercised — — — — — — — — — — — — — Options cancelled/expired — — — — — — — — — — — — — Outstanding as of September 30, 2020 13,500 60,000 20,000 20,000 18,000 2,500 8,800 29,000 20,000 36,000 38,000 — — Number of options granted — — — — — — — — — — — 160,000 — Options exercised — — — — — — (1,000) — — — — (20,930) — Options cancelled/expired — (60,000) (20,000) (20,000) — (2,500) (6,000) (10,000) — — — — — Outstanding as of September 30, 2021 13,500 — — — 18,000 — 1,800 19,000 — — — 139,070 — Number of options granted (1,000) 40,000 Options exercised (1,000) (4,000) (1,000) (15,510) Options cancelled/expired (1,000) (4,000) (800) Outstanding as of September 30, 2022 12,500 — — — 4,000 — — 19,000 — — — 123,560 — Options vested and exercisable At September 30, 2021 13,500 — — — 18,000 — 1,800 19,000 — — — 139,070 — At September 30, 2022 12,500 — — — 14,000 — — 19,000 — — — 123,560 40,000 Weighted average fair value at the grant date (US$) 9.0 15.4 12.4 14.4 4.0 7.7 4.4 5.1 5.1 4.0 2.5 12.5 5.4 |
Schedule of share-based payment award stock options valuation assumptions | Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche Tranche 11 12 13 14 15 16 17 18 19 20 21 22 23 Exercise price (US$) 13.8 20.5 16.5 20 20.7 16.5 8 9.1 8.2 5.19 5.3 15.85 7.23 Average risk-free interest rate 1.73 % 1.79 % 1.75 % 1.55 % 1.94 % 1.94 % 2.26 % 2.25 % 2.58 % 2.49 % 1.67 % 0.87 % 1.37 % Expected option life (year) 5 10 10 10 5 5 5 5 5 5 5 5 5 Volatility rate 80.72 % 69.27 % 69.92 % 65.37 % 63.87 % 52.40 % 63.20 % 64.60 % 68.20 % 103 % 52.60 % 109.90 % 100.95 % Dividend yield — — — — — — — — — — — — — |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
INCOME TAXES | |
Schedule of deferred income tax assets | September 30, 2021 2022 RMB RMB Non-current deferred tax assets: Net operating loss carry forward 119,617 118,410 Impairment loss 35,840 36,567 Others 22,959 22,859 Non-current deferred income tax assets 178,416 177,835 Valuation allowances (178,416) (177,835) Net non-current deferred income tax assets — — |
Schedule of effective income tax rate reconciliation | Year ended September 30, 2020 2021 2022 % % % Statutory rate 25 25 25 Effect of preferential tax treatment — — — Change in valuation allowance (24) (25) (25) Over provision in prior year — — (1) Effective income tax rate 1 — (1) |
INCOME_(LOSS) PER SHARE (Tables
INCOME/(LOSS) PER SHARE (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
INCOME/(LOSS) PER SHARE | |
Schedule of computation of basic and diluted loss per share | Year ended September 30, 2020 2021 2022 RMB RMB RMB Numerator: Net loss attributable to Origin Agritech Limited (85,261) (91,529) (6,265) Denominator: Average common stock outstanding - basic and Diluted 5,029,017 5,617,424 5,773,094 Basic and Diluted Per Share Data: Basic and diluted loss per share attributable to Origin Agritech Limited: (16.95) (16.29) (1.09) |
CONDENSED FINANCIAL INFORMATI_2
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY | |
Schedule of Condensed Balance Sheet | CONDENSED BALANCE SHEET September 30 2021 2022 2022 RMB RMB US$ ASSETS (LIABILITIES) Current assets (liabilities) Cash and cash equivalents 8,900 6,394 901 Other receivables 273 235 33 Due from inter-companies 187,777 216,571 30,504 Due to related parties 717 696 98 Total current assets (liabilities) 197,667 223,896 31,536 Investment in unconsolidated subsidiaries (338,339) (356,347) (50,191) Total assets (liabilities) (140,672) (132,451) (18,655) AND EQUITY Total stockholders’ equity (deficit) (140,672) (133,872) (18,856) |
Schedule of Condensed Statement of Income and Comprehensive Income | CONDENSED STATEMENT OF INCOME AND COMPREHENSIVE INCOME Year ended September 30, 2020 2021 2022 2022 RMB RMB RMB US$ Revenues — — — — Operating expenses General and administrative (14,852) (19,302) (5,246) (739) Loss from operations (14,852) (19,302) (5,246) (739) Equity method loss (70,407) (72,213) (1,004) (141) Interest expense (2) (14) (15) (2) Loss before income taxes (85,261) (91,529) (6,265) (882) Income tax expense — — — — Net loss (85,261) (91,529) (6,265) (882) Other comprehensive loss Foreign currency translation difference 1,371 (816) 447 63 Total comprehensive loss (83,890) (92,345) (5,818) (819) |
Schedule of Condensed Statement of Cash Flows | CONDENSED STATEMENT OF CASH FLOWS Year ended September 30, 2020 2021 2022 2022 RMB RMB RMB US$ Net cash provided by operating activities — — (4,567) (644) Net cash provided by financing activities 16,730 (8,637) 1,614 227 Net increase in cash and cash equivalents 16,730 (8,637) (2,953) (417) Cash and cash equivalents, beginning of year 252 18,353 8,900 1,254 Effect of exchange rate changes on cash and cash equivalents 1,371 (816) 447 63 Cash and cash equivalents, end of year 18,353 8,900 6,394 900 |
ORGANIZATION AND PRINCIPAL AC_3
ORGANIZATION AND PRINCIPAL ACTIVITIES (Details) | 12 Months Ended |
Sep. 30, 2022 | |
State Harvest Holdings Limited("State Harvest") | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Oct. 06, 2004 |
Entity Incorporation, Place of Incorporation or Establishment | British Virgin Islands |
Percentage of Ownership | 100% |
Principal Activity | Investment Holding |
OAL SMY Limited | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Jul. 28, 2021 |
Entity Incorporation, Place of Incorporation or Establishment | USA |
Percentage of Ownership | 100% |
Principal Activity | Investment Holding |
Beijing Origin State Harvest Biotechnology Limited ("BioTech") | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Dec. 01, 2004 |
Entity Incorporation, Place of Incorporation or Establishment | People’s Republic of China (“PRC”) |
Percentage of Ownership | 100% |
Principal Activity | Hybrid seed technology development |
Beijing Origin Seed Limited [Member] | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Dec. 26, 1997 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 100% |
Principal Activity | Hybrid crop seed development, production and distribution |
Xinjiang Originbo Seed Company Limited (note (i)) ("Xinjiang Origin") | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Jul. 13, 2011 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 51% |
Principal Activity | Hybrid crop seed development, production and distribution |
Hainan Aoyu Biotechnology Limited(Hainan Aoyu) | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Mar. 02, 2022 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 100% |
Principal Activity | Hybrid crop seed development, production and distribution |
Shandong Aoruixinong Agricultural Technology Limited (Shandong Aoruixinong) | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Sep. 27, 2019 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 51% |
Principal Activity | Agricultural seed products distribution through e-commune network |
Hubei Aoyu Zhongye Limited (Hubei Aoyu) | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Oct. 22, 2018 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 51% |
Principal Activity | Agricultural seed products distribution through e-commerce network |
Anhui Aoyu Zhongye Limited (Anhui Aoyu) | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Jul. 25, 2018 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 50% |
Principal Activity | Agricultural seed products distribution through e-commerce network |
Xuzhou Aoyu Zhongye Limited (Xuzhou Aoyu) | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Sep. 25, 2018 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 51% |
Principal Activity | Agricultural seed products distribution through e-commerce network |
Henan Aoyu Zhongye Limited (note (i)) ("Henan Aoyu") | |
ORGANIZATION AND PRINCIPAL ACTIVITIES | |
Entity Incorporation, Date of Incorporation or Establishment | Jul. 16, 2018 |
Entity Incorporation, Place of Incorporation or Establishment | PRC |
Percentage of Ownership | 51% |
Principal Activity | Agricultural seed products distribution through e-commerce network |
ORGANIZATION AND PRINCIPAL AC_4
ORGANIZATION AND PRINCIPAL ACTIVITIES - Risks in relation to the VIE structure (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
Current assets: | |||
Cash and cash equivalents | ¥ 17,669 | $ 2,489 | ¥ 15,351 |
Restricted cash | 14 | ||
Due from inter-companies | 28,127 | 3,962 | 29,179 |
Accounts receivable | 619 | 87 | 260 |
Advances to suppliers | 20,022 | 2,820 | 5,799 |
Inventories | 2,106 | 297 | 4,178 |
Other current assets | 12,997 | 1,831 | 3,362 |
Total current assets (liabilities) | 81,540 | 11,485 | 58,143 |
Land use rights, net | 1,792 | 252 | 1,854 |
Plant and equipment, net | 46,389 | 6,534 | 48,684 |
Acquired intangible assets, net | 2,989 | 421 | 3,774 |
Other assets | 0 | 0 | 83 |
Total assets | 135,955 | 19,149 | 119,038 |
Current liabilities | |||
Current portion of long-term borrowings | 137,660 | 19,389 | 137,660 |
Accounts payable | 10,161 | 1,431 | 9,170 |
Due to growers | 404 | 57 | 6,673 |
Due to related parties | 18,629 | 2,624 | 30,269 |
Advances from customers | 60,551 | 8,529 | 45,754 |
Other payables and accrued expenses | 64,568 | 9,094 | 55,374 |
Total current liabilities | 292,865 | 41,250 | 286,367 |
Long-term borrowings | 14,231 | 2,004 | 15,717 |
Total liabilities | 308,597 | 43,465 | 304,636 |
VIE | |||
Current assets: | |||
Cash and cash equivalents | 950 | 134 | 305 |
Accounts receivable | 304 | 43 | 11 |
Advances to suppliers | 8,456 | 1,191 | 260 |
Inventories | 1,052 | ||
Other current assets | 7,698 | 1,084 | 730 |
Total current assets (liabilities) | 17,408 | 2,452 | 2,358 |
Land use rights, net | 1,792 | 252 | 1,854 |
Plant and equipment, net | 32,952 | 4,641 | 48,599 |
Other assets | 1,554 | 219 | 83 |
Total assets | 53,706 | 7,564 | 52,894 |
Current liabilities | |||
Current portion of long-term borrowings | 137,660 | 19,389 | 137,660 |
Accounts payable | 10,064 | 1,418 | 9,107 |
Due to growers | 404 | 57 | 6,673 |
Due to related parties | 24,136 | 3,400 | 30,665 |
Advances from customers | 29,420 | 4,144 | 22,772 |
Other payables and accrued expenses | 58,954 | 8,304 | 51,520 |
Total current liabilities | 260,638 | 36,712 | 258,397 |
Other long-term liability | 15,732 | 2,216 | 15,717 |
Total liabilities | ¥ 276,370 | $ 38,928 | ¥ 274,114 |
ORGANIZATION AND PRINCIPAL AC_5
ORGANIZATION AND PRINCIPAL ACTIVITIES - Additional information (Details) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Dec. 01, 2004 | Sep. 30, 2022 | Sep. 30, 2021 | |
Foreign investment | |||
ORGANIZATION AND PRINCIPAL ACTIVITIES | |||
Equity method investment ownership percentage | 49% | ||
VIEs | |||
ORGANIZATION AND PRINCIPAL ACTIVITIES | |||
Assets | ¥ 53.7 | ¥ 52.9 | |
Criteria One | State Harvest Holdings Limited("State Harvest") | |||
ORGANIZATION AND PRINCIPAL ACTIVITIES | |||
Equity method investment ownership percentage | 49% | ||
Criteria Two | State Harvest Holdings Limited("State Harvest") | |||
ORGANIZATION AND PRINCIPAL ACTIVITIES | |||
Equity method investment ownership percentage | 49% | ||
State Harvest Holdings Limited("State Harvest") | |||
ORGANIZATION AND PRINCIPAL ACTIVITIES | |||
Share exchange transaction variable interest entity voting rights assigned | 98.58% | ||
Period of operations | 20 years | ||
Disposition of assets | 50% |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) | 12 Months Ended |
Sep. 30, 2022 | |
Leasehold improvements | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment estimated useful lives | Shorter of the useful lives or the lease term |
Maximum | Plant and building | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 40 years |
Maximum | Machinery and equipment | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 15 years |
Maximum | Furniture and office equipment | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 8 years |
Maximum | Motor vehicles | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 10 years |
Minimum | Plant and building | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 20 years |
Minimum | Machinery and equipment | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 10 years |
Minimum | Furniture and office equipment | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 5 years |
Minimum | Motor vehicles | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Property, plant and equipment useful life | 5 years |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Acquired intangible assets net (Details) | 12 Months Ended |
Sep. 30, 2022 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Finite-lived intangible asset useful life | 50 years |
Maximum | Technology rights for licensed seeds | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Finite-lived intangible asset useful life | 20 years |
Maximum | Distribution network | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Finite-lived intangible asset useful life | 14 years |
Minimum | Technology rights for licensed seeds | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Finite-lived intangible asset useful life | 3 years |
Minimum | Distribution network | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Finite-lived intangible asset useful life | 6 years |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional information (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||||||||
May 17, 2019 CNY (¥) | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2022 | Sep. 30, 2022 $ / ¥ | Jan. 16, 2022 CNY (¥) | Jan. 16, 2022 USD ($) | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
Net Income (loss) | ¥ 2,300 | $ 328 | ¥ (127,081) | ¥ (102,842) | ||||||
Accumulated deficit | (656,900) | (650,633) | $ (92,523) | |||||||
Working capital deficit | (211,300) | |||||||||
Foreign currency exchange rate translation | 7.0998 | 7.0998 | ||||||||
Proceeds from (repayments of) debt | ¥ 78,000 | |||||||||
Allowance for doubtful account | ¥ 0 | 401 | ¥ 189 | |||||||
Land use right agreements term (in years) | 50 years | 50 years | ||||||||
Long-term borrowings | ¥ 137,660 | 137,660 | ||||||||
Beijing Changping Technology Development Co. Ltd.("BC-TID") | ||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
Equity method investment ownership percentage | 51% | |||||||||
Beijing Origin Seed Limited (note (i)) ("Beijing Origin") | ||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
Equity method investment ownership percentage | 49% | |||||||||
Beijing Changping Technology Development Co. Ltd.("BC-TID") | ||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
Funding by coventurer | ¥ 204,000 | |||||||||
Long-term borrowings | ¥ 137,700 | $ 20,200 | ||||||||
Advertising costs | ||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||
Advertising expense | ¥ 0 | ¥ 0 |
RELATED PARTY BALANCES AND TR_3
RELATED PARTY BALANCES AND TRANSACTIONS - Related party relationships (Details) | 12 Months Ended |
Sep. 30, 2022 | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Beijing Shihui | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Henan Agriculture University | |
Related Party Transaction | |
Related party nature of relationship | Being the non-controlling interest of Beijing Origin |
Linze Origin Seeds Ltd | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Denong Zhengcheng Seed Limited | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Henan Yingde Agricultural Ltd | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Beijing Liantaide Biotechnology Co., Ltd. | |
Related Party Transaction | |
Related party nature of relationship | Being owned by close family members of the Company’s Chairman |
Fifth Division State-owned Assets Management and Operation Co., Ltd | |
Related Party Transaction | |
Related party nature of relationship | Being the non-controlling interest of Xinjiang Origin |
NCI | |
Related Party Transaction | |
Related party nature of relationship | Non- controlling shareholders of Hubei Aoyu, Anhui Aoyu, Xuzhou Aoyu, Shandong Aoyu, Henan Aoyu, Shandong Aoruixinong |
RELATED PARTY BALANCES AND TR_4
RELATED PARTY BALANCES AND TRANSACTIONS - Due from related parties, net (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 |
Related Party Transaction | ||
Total | ¥ 58,125 | ¥ 61,307 |
Allowance for doubtful account | 29,998 | 32,128 |
Due from related parties, net | 28,127 | 29,179 |
Denong | ||
Related Party Transaction | ||
Total | 1 | |
Linze Origin Seeds Ltd | ||
Related Party Transaction | ||
Total | 45 | 45 |
Beijing Shihui | ||
Related Party Transaction | ||
Total | 29,998 | 32,128 |
NCI | ||
Related Party Transaction | ||
Total | 9,165 | 15,848 |
Henan Yingde Agricultural Ltd. | ||
Related Party Transaction | ||
Total | 11,529 | 8,684 |
Beijing Liantaide | ||
Related Party Transaction | ||
Total | 7,466 | 4,600 |
The Close family of the Company's Chairman | ||
Related Party Transaction | ||
Total | ¥ 6 | ¥ 1 |
RELATED PARTY BALANCES AND TR_5
RELATED PARTY BALANCES AND TRANSACTIONS - Due from related party - noncurrent (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 |
Related Party Transaction | ||
Due from related party-noncurrent | ¥ 0 | ¥ 0 |
Linze Origin Seed Limited | ||
Related Party Transaction | ||
Due from related party-noncurrent | ¥ 42,246 |
RELATED PARTY BALANCES AND TR_6
RELATED PARTY BALANCES AND TRANSACTIONS - Due to related parties (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
Related Party Transaction | |||
Due to related parties | ¥ 18,629 | $ 2,624 | ¥ 30,269 |
Linze Origin Seeds Ltd | |||
Related Party Transaction | |||
Due to related parties | 300 | 300 | |
Henan Agriculture University | |||
Related Party Transaction | |||
Due to related parties | 1,000 | 1,000 | |
Xinjiang Ginbo Seeds Center | |||
Related Party Transaction | |||
Due to related parties | 54 | 54 | |
Xinjiang Production And Construction Corps | |||
Related Party Transaction | |||
Due to related parties | 0 | 10,000 | |
Companies controlled by the Company's directors | |||
Related Party Transaction | |||
Due to related parties | 1,702 | 1,556 | |
NCI | |||
Related Party Transaction | |||
Due to related parties | 10,123 | 11,348 | |
Board of Directors Chairman | |||
Related Party Transaction | |||
Due to related parties | 970 | 1,020 | |
Close family of the Company's Chairman | |||
Related Party Transaction | |||
Due to related parties | 187 | 3,641 | |
Ying De | |||
Related Party Transaction | |||
Due to related parties | ¥ 4,293 | ¥ 1,350 |
RELATED PARTY BALANCES AND TR_7
RELATED PARTY BALANCES AND TRANSACTIONS - Transactions with related parties (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Sales | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | ¥ 8,015 | ¥ 7,835 | ¥ 15,927 |
Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 23,749 | 19,326 | 17,450 |
Linze Origin Seeds Ltd | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 4,706 | 3,416 | |
Beijing Shihui | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 360 | ||
Ying De | Sales | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 1,818 | 3,134 | 5,315 |
Ying De | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 14,012 | 11,700 | 10,975 |
The Close family of the Company's Chairman | Sales | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 2,618 | ||
The Close family of the Company's Chairman | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 29 | 333 | 32 |
NCI | Sales | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 3,574 | 4,701 | 10,612 |
NCI | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | ¥ 2,227 | 2,861 | |
Henan Agriculture University | Sales | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | 5 | ||
Denong | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | ¥ 166 | ||
Liantaide | Purchases | |||
Related Party Transaction | |||
Related party transaction amounts of transaction | ¥ 9,708 |
RELATED PARTY BALANCES AND TR_8
RELATED PARTY BALANCES AND TRANSACTIONS - Additional information (Details) ¥ in Thousands, $ in Thousands | 1 Months Ended | |||
Apr. 30, 2020 CNY (¥) | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | |
Related Party Transaction [Line Items] | ||||
Due from inter-companies | ¥ 28,127 | $ 3,962 | ¥ 29,179 | |
Linze Origin Seeds Ltd [Member] | ||||
Related Party Transaction [Line Items] | ||||
Equity method investment ownership percentage | 49% | 49% | ||
Linze Origin Seeds Ltd [Member] | ||||
Related Party Transaction [Line Items] | ||||
Borrowing | ¥ 27,000 | |||
Loan offered | ¥ 20,000 | |||
Linze Fumin [Member] | Linze Fumin [Member] | ||||
Related Party Transaction [Line Items] | ||||
Equity method investment ownership percentage | 51% | 51% |
INVENTORIES (Details)
INVENTORIES (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) |
INVENTORIES | ||||
Work in progress | ¥ 2,100 | ¥ 13,600 | ||
Inventories | 2,106 | $ 297 | 4,178 | |
Written-off of provision for inventories | 0 | 7,980 | ¥ 8,100 | |
Asset pledged as collateral | ||||
INVENTORIES | ||||
Inventories | ¥ 0 | ¥ 0 |
ASSETS HELD FOR SALE (Details)
ASSETS HELD FOR SALE (Details) ¥ in Thousands | Sep. 30, 2022 CNY (¥) |
ASSETS HELD FOR SALE | |
Balance of assets held for sale | ¥ 0 |
LAND USE RIGHTS, NET - Land use
LAND USE RIGHTS, NET - Land use rights, net (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
LAND USE RIGHTS, NET | |||
Land use rights | ¥ 6,260 | ¥ 6,260 | |
Accumulated amortization | (4,468) | (4,406) | |
Land use rights, net | ¥ 1,792 | $ 252 | ¥ 1,854 |
LAND USE RIGHTS, NET - Addition
LAND USE RIGHTS, NET - Additional information (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | Sep. 30, 2022 USD ($) | |
LAND USE RIGHTS, NET | ||||
Land use rights | ¥ 1,792 | ¥ 1,854 | $ 252 | |
Amortization expenses | 790 | 790 | ¥ 820 | |
Impairment on land use rights | 0 | 7,600 | 2,704 | |
Use rights | ||||
LAND USE RIGHTS, NET | ||||
Amortization expenses | 60 | 300 | ¥ 400 | |
Asset pledged as collateral | ||||
LAND USE RIGHTS, NET | ||||
Land use rights | ¥ 1,930 | ¥ 1,992 |
PLANT AND EQUIPMENT, NET - Plan
PLANT AND EQUIPMENT, NET - Plant and equipment, net (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
PLANT AND EQUIPMENT, NET | |||
Plant and building | ¥ 70,179 | ¥ 70,179 | |
Machinery and equipment | 36,473 | 57,203 | |
Furniture and office equipment | 12,353 | 12,353 | |
Motor vehicles | 3,580 | 3,580 | |
Total | 122,585 | 143,315 | |
Accumulated depreciation | (76,196) | (94,631) | |
Plant and equipment, net | ¥ 46,389 | $ 6,534 | ¥ 48,684 |
PLANT AND EQUIPMENT, NET - Addi
PLANT AND EQUIPMENT, NET - Additional information (Details) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
PLANT AND EQUIPMENT, NET | |||
Depreciation expenses | ¥ 2.7 | ¥ 6.8 | ¥ 9.1 |
LONG TERM INVESTMENTS (Details)
LONG TERM INVESTMENTS (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 |
LONG TERM INVESTMENTS | |||
Impairment on equity investment without readily determinable fair value | ¥ 2,900 | ¥ 5,960 | ¥ 5,990 |
Jinong | |||
LONG TERM INVESTMENTS | |||
Equity method investment ownership percentage | 17.94% | 17.94% |
ACQUIRED INTANGIBLE ASSETS, N_3
ACQUIRED INTANGIBLE ASSETS, NET (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | Sep. 30, 2022 USD ($) | |
ACQUIRED INTANGIBLE ASSETS, NET | ||||
Gross Carrying Amount | ¥ 76,168 | ¥ 76,168 | ||
Accumulated Amortization | (73,092) | (72,307) | ||
Impairment Loss | (87) | (87) | ||
Net Balance | 2,989 | 3,774 | $ 421 | |
Impairment on intangible assets | 87,000 | 87,000 | ¥ 0 | |
Technology Rights | ||||
ACQUIRED INTANGIBLE ASSETS, NET | ||||
Gross Carrying Amount | 71,429 | 71,429 | ||
Accumulated Amortization | (68,440) | (67,655) | ||
Net Balance | 2,989 | 3,774 | ||
Others | ||||
ACQUIRED INTANGIBLE ASSETS, NET | ||||
Gross Carrying Amount | 4,739 | 4,739 | ||
Accumulated Amortization | (4,652) | (4,652) | ||
Impairment Loss | ¥ (87) | ¥ (87) |
ACQUIRED INTANGIBLE ASSETS, N_4
ACQUIRED INTANGIBLE ASSETS, NET - Amortization expense on intangible assets (Details) ¥ in Thousands | Sep. 30, 2022 CNY (¥) |
ACQUIRED INTANGIBLE ASSETS, NET | |
2023 | ¥ 532 |
2024 | 520 |
2025 | 521 |
2026 | 521 |
2027 | 521 |
Thereafter | 374 |
Total | ¥ 2,989 |
ACQUIRED INTANGIBLE ASSETS, N_5
ACQUIRED INTANGIBLE ASSETS, NET - Additional information (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
ACQUIRED INTANGIBLE ASSETS, NET | |||
Amortization of intangible assets | ¥ 790 | ¥ 790 | ¥ 820 |
Minimum | Technology rights for licensed seeds | |||
ACQUIRED INTANGIBLE ASSETS, NET | |||
Average usage period | 3 years | ||
Maximum | Technology rights for licensed seeds | |||
ACQUIRED INTANGIBLE ASSETS, NET | |||
Average usage period | 20 years |
LEASES (Details)
LEASES (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2022 USD ($) | |
LEASES | |||
Operating lease right-of-use assets | ¥ 1,555 | ¥ 1,904 | $ 219 |
Operating lease liability | 1,620 | ||
Impairment of operating lease right of use asset | ¥ 0 | ¥ 0 | |
Weighted-average remaining lease term | 2 years 7 months 6 days | 2 years 7 months 6 days | |
Weighted-average discount rate | 4.90% | 4.90% | |
Operating lease cost | ¥ 120 | ||
Total | ¥ 120 |
LEASES - Operating lease maturi
LEASES - Operating lease maturities (Details) ¥ in Thousands | Sep. 30, 2022 CNY (¥) |
Maturities of lease liabilities | |
2023 | ¥ 132 |
2024 | 132 |
2025 | 132 |
2026 | 145 |
2027 | 145 |
Thereafter | 934 |
Total | ¥ 1,620 |
BORROWINGS (Details)
BORROWINGS (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) |
Short-term Debt | |||
Long-term borrowings | ¥ 137,660 | ¥ 137,660 | |
Current portion of long-term borrowings | 137,660 | $ 19,389 | 137,660 |
Non-current portion of long-term borrowings | 137,660 | 137,660 | |
Beijing Changping Technology Development Co. Ltd.("BC-TID") | |||
Short-term Debt | |||
Long-term borrowings | ¥ 137,660 | ¥ 137,660 |
BORROWINGS - Additional Informa
BORROWINGS - Additional Information (Details) - CNY (¥) ¥ in Millions | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
BORROWINGS | |||
Interest expense debt | ¥ 8.3 | ¥ 8.3 | ¥ 5.7 |
OTHER PAYABLES AND ACCRUED EX_3
OTHER PAYABLES AND ACCRUED EXPENSES (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 |
OTHER PAYABLES AND ACCRUED EXPENSES | ||
Payable for purchase of plant and equipment | ¥ 5,789 | ¥ 9,169 |
Salaries and bonus payable | 4,908 | 4,724 |
Accrued interest | 20,388 | 12,102 |
Other taxes payable | 4,159 | 2,407 |
Deposits from others | 4,689 | 2,434 |
Deferred government subsidies | 887 | 1,039 |
Payable for penalty | 12,734 | 12,812 |
Others | 11,378 | 10,683 |
Other payables and accrued expenses | ¥ 64,932 | ¥ 55,374 |
STOCK-BASED COMPENSATION - Stoc
STOCK-BASED COMPENSATION - Stock option activity (Details) - ¥ / shares | 12 Months Ended | |||||
Jan. 03, 2022 | Apr. 14, 2021 | Jan. 02, 2020 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
STOCK-BASED COMPENSATION | ||||||
Number of options granted | 40,000 | |||||
Tranche 11 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 04, 2016 | |||||
Options outstanding | 13,500 | 13,500 | 13,500 | |||
Number of options granted | (1,000) | 0 | 0 | |||
Options exercised | (1,000) | 0 | 0 | |||
Options cancelled/expired | (1,000) | 0 | 0 | |||
Options outstanding | 12,500 | 13,500 | 13,500 | |||
Options vested and exercisable | 12,500 | 13,500 | ||||
Weighted average fair value at the grant date (USD) | ¥ 9 | |||||
Tranche 12 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Apr. 19, 2016 | |||||
Options outstanding | 0 | 60,000 | 60,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | (60,000) | 0 | ||||
Options outstanding | 0 | 0 | 60,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 15.4 | |||||
Tranche 13 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | May 16, 2016 | |||||
Options outstanding | 0 | 20,000 | 20,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | (20,000) | 0 | ||||
Options outstanding | 0 | 0 | 20,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 12.4 | |||||
Tranche 14 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Aug. 03, 2016 | |||||
Options outstanding | 0 | 20,000 | 20,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | (20,000) | 0 | ||||
Options outstanding | 0 | 0 | 20,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 14.4 | |||||
Tranche Fifteen [Member] | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 03, 2017 | |||||
Options outstanding | 18,000 | 18,000 | 18,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | (4,000) | 0 | 0 | |||
Options cancelled/expired | (4,000) | 0 | 0 | |||
Options outstanding | 4,000 | 18,000 | 18,000 | |||
Options vested and exercisable | 14,000 | 18,000 | ||||
Weighted average fair value at the grant date (USD) | ¥ 4 | |||||
Tranche 16 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Oct. 02, 2017 | |||||
Options outstanding | 0 | 2,500 | 2,500 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | (2,500) | 0 | ||||
Options outstanding | 0 | 0 | 2,500 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 7.7 | |||||
Tranche 17 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Dec. 22, 2017 | |||||
Options outstanding | 1,800 | 8,800 | 8,800 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | (1,000) | (1,000) | 0 | |||
Options cancelled/expired | (800) | (6,000) | 0 | |||
Options outstanding | 0 | 1,800 | 8,800 | |||
Options vested and exercisable | 0 | 1,800 | ||||
Weighted average fair value at the grant date (USD) | ¥ 4.4 | |||||
Tranche 18 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 02, 2018 | |||||
Options outstanding | 19,000 | 29,000 | 29,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | (10,000) | 0 | ||||
Options outstanding | 19,000 | 19,000 | 29,000 | |||
Options vested and exercisable | 19,000 | 19,000 | ||||
Weighted average fair value at the grant date (USD) | ¥ 5.1 | |||||
Tranche 19 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Mar. 01, 2018 | |||||
Options outstanding | 0 | 20,000 | 20,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | 0 | 0 | ||||
Options outstanding | 0 | 0 | 20,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 5.1 | |||||
Tranche 20 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 02, 2019 | |||||
Options outstanding | 0 | 36,000 | 36,000 | |||
Number of options granted | 0 | 0 | ||||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | 0 | 0 | ||||
Options outstanding | 0 | 0 | 36,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 4 | |||||
Tranche 21 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 02, 2020 | |||||
Options outstanding | 0 | 38,000 | 38,000 | |||
Number of options granted | 160,000 | 38,000 | 0 | 0 | ||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | 0 | 0 | ||||
Options outstanding | 0 | 0 | 38,000 | |||
Options vested and exercisable | 0 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 2.5 | |||||
Tranche 22 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Apr. 14, 201 | |||||
Options outstanding | 139,070 | 0 | 0 | |||
Number of options granted | 160,000 | 0 | ||||
Options exercised | (15,510) | (20,930) | 0 | |||
Options cancelled/expired | 0 | 0 | ||||
Options outstanding | 123,560 | 139,070 | 0 | |||
Options vested and exercisable | 123,560 | 139,070 | ||||
Weighted average fair value at the grant date (USD) | ¥ 12.5 | |||||
Tranche 23 | ||||||
STOCK-BASED COMPENSATION | ||||||
Grant date | Jan. 03, 2022 | |||||
Options outstanding | 0 | 0 | 0 | |||
Number of options granted | 40,000 | 0 | 0 | |||
Options exercised | 0 | 0 | ||||
Options cancelled/expired | 0 | 0 | ||||
Options outstanding | 0 | 0 | 0 | |||
Options vested and exercisable | 40,000 | 0 | ||||
Weighted average fair value at the grant date (USD) | ¥ 5.4 |
STOCK-BASED COMPENSATION - Blac
STOCK-BASED COMPENSATION - Black-Scholes Option Pricing (Details) - $ / shares | 12 Months Ended | |||
Jan. 03, 2022 | Apr. 14, 2021 | Jan. 02, 2020 | Sep. 30, 2022 | |
Exercise price (US$) | $ 7.23 | |||
Tranche 11 | ||||
Exercise price (US$) | $ 13.8 | |||
Average risk-free interest rate | 1.73% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 80.72% | |||
Dividend yield | 0% | |||
Tranche 12 | ||||
Exercise price (US$) | $ 20.5 | |||
Average risk-free interest rate | 1.79% | |||
Expected option life (year) | 10 years | |||
Volatility rate | 69.27% | |||
Dividend yield | 0% | |||
Tranche 13 | ||||
Exercise price (US$) | $ 16.5 | |||
Average risk-free interest rate | 1.75% | |||
Expected option life (year) | 10 years | |||
Volatility rate | 69.92% | |||
Dividend yield | 0% | |||
Tranche 14 | ||||
Exercise price (US$) | $ 20 | |||
Average risk-free interest rate | 1.55% | |||
Expected option life (year) | 10 years | |||
Volatility rate | 65.37% | |||
Dividend yield | 0% | |||
Tranche 15 | ||||
Exercise price (US$) | $ 20.7 | |||
Average risk-free interest rate | 1.94% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 63.87% | |||
Dividend yield | 0% | |||
Tranche 16 | ||||
Exercise price (US$) | $ 16.5 | |||
Average risk-free interest rate | 1.94% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 52.40% | |||
Dividend yield | 0% | |||
Tranche 17 | ||||
Exercise price (US$) | $ 8 | |||
Average risk-free interest rate | 2.26% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 63.20% | |||
Dividend yield | 0% | |||
Tranche 18 | ||||
Exercise price (US$) | $ 9.1 | |||
Average risk-free interest rate | 2.25% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 64.60% | |||
Dividend yield | 0% | |||
Tranche 19 | ||||
Exercise price (US$) | $ 8.2 | |||
Average risk-free interest rate | 2.58% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 68.20% | |||
Dividend yield | 0% | |||
Tranche 20 | ||||
Exercise price (US$) | $ 5.19 | |||
Average risk-free interest rate | 2.49% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 103% | |||
Dividend yield | 0% | |||
Tranche 21 | ||||
Exercise price (US$) | $ 13.99 | $ 5.3 | $ 5.3 | |
Average risk-free interest rate | 1.67% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 52.60% | |||
Dividend yield | 0% | |||
Tranche 22 | ||||
Exercise price (US$) | $ 15.85 | |||
Average risk-free interest rate | 0.87% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 109.90% | |||
Dividend yield | 0% | |||
Tranche 23 | ||||
Exercise price (US$) | $ 7.23 | |||
Average risk-free interest rate | 1.37% | |||
Expected option life (year) | 5 years | |||
Volatility rate | 100.95% | |||
Dividend yield | 0% |
STOCK-BASED COMPENSATION - Addi
STOCK-BASED COMPENSATION - Additional information (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands | 7 Months Ended | 12 Months Ended | |||||||||||
Jan. 03, 2022 $ / shares shares | Apr. 14, 2021 $ / shares shares | Jan. 02, 2020 $ / shares shares | Sep. 01, 2018 $ / shares | Jun. 01, 2018 $ / shares | Mar. 01, 2018 $ / shares | Sep. 30, 2018 USD ($) shares | Sep. 30, 2022 CNY (¥) shares | Sep. 30, 2022 USD ($) $ / shares shares | Sep. 30, 2021 CNY (¥) shares | Sep. 30, 2020 CNY (¥) shares | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 USD ($) shares | |
Number of options granted | 40,000 | ||||||||||||
Exercise price (USD) | $ / shares | $ 7.23 | ||||||||||||
Share-based compensation arrangement by share-based payment award, options, outstanding, weighted average remaining contractual term | 0 years | 0 years | 3 months 3 days | ||||||||||
Share-based compensation expense | ¥ 1,038 | $ 145 | ¥ 10,952 | ¥ 13,161 | |||||||||
Aggregate intrinsic value | $ | $ 319 | $ 219 | |||||||||||
Treasury stock | 14,386 | 14,386 | |||||||||||
Employees | |||||||||||||
Sale of treasury stock (in shares) | 30,000 | 30,000 | |||||||||||
Share-based compensation expense | ¥ | ¥ 1,595 | ||||||||||||
Decrease in treasury stock value | ¥ | 7,212 | ||||||||||||
Cost of treasury stocks | ¥ | ¥ 4,223 | ||||||||||||
Tranche 11 | |||||||||||||
Number of options granted | (1,000) | (1,000) | 0 | 0 | |||||||||
Exercise price (USD) | $ / shares | $ 13.8 | ||||||||||||
Tranche 12 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 20.5 | ||||||||||||
Tranche 13 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 16.5 | ||||||||||||
Tranche 14 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 20 | ||||||||||||
Tranche 15 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 20.7 | ||||||||||||
Tranche 16 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 16.5 | ||||||||||||
Tranche 17 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 8 | ||||||||||||
Tranche 18 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 9.1 | ||||||||||||
Tranche 19 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 8.2 | ||||||||||||
Tranche 20 | |||||||||||||
Number of options granted | 0 | 0 | |||||||||||
Exercise price (USD) | $ / shares | 5.19 | ||||||||||||
Tranche 21 | |||||||||||||
Number of options granted | 160,000 | 38,000 | 0 | 0 | |||||||||
Exercise price (USD) | $ / shares | $ 13.99 | $ 5.3 | 5.3 | ||||||||||
2005 Performance Equity Plan | Tranche 5 | After Adjustment Awards | |||||||||||||
Exercise price (USD) | $ / shares | 20.7 | ||||||||||||
2005 Performance Equity Plan | Tranche 9 | After Adjustment Awards | |||||||||||||
Exercise price (USD) | $ / shares | $ 5.19 | ||||||||||||
2009 Performance Equity Plan | |||||||||||||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 0 | 33,000 | 0 | 33,000 | |||||||||
Restricted Stock | |||||||||||||
Number of options granted | 320,000 | ||||||||||||
Share-based compensation expense | ¥ | ¥ 0 | ¥ 0 | ¥ 11,600 | ||||||||||
Restricted Stock | Board of Directors Chairman | |||||||||||||
Number of options granted | 22,500 | ||||||||||||
Exercise price (USD) | $ / shares | $ 6.6 | $ 7.2 | |||||||||||
Share-based compensation arrangement by share-based payment award, plan modification, incremental compensation cost | $ | $ 167,925 | ||||||||||||
Restricted Stock | Board of Directors Chairman | After Adjustment Awards | |||||||||||||
Exercise price (USD) | $ / shares | $ 8.6 | ||||||||||||
2014 Performance Equity Plan [Member] | |||||||||||||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 303,060 | 284,370 | 303,060 | 284,370 | |||||||||
Employee service share-based compensation, nonvested awards, total compensation cost not yet recognized, stock options | ¥ | ¥ 170 | ¥ 0 | |||||||||||
Share-based Payment Arrangement, Option | Employees | |||||||||||||
Share-based compensation expense | ¥ | ¥ 1,040 | ¥ 10,950 | ¥ 660 | ||||||||||
Minimum | |||||||||||||
Share based compensation arrangement by share based payment award expiration period | 5 years | 5 years | |||||||||||
Share-based compensation arrangement by share-based payment award, award vesting period | 1 year | 1 year | |||||||||||
Minimum | After Adjustment Awards | |||||||||||||
Share based compensation arrangement by share based payment award expiration period | 5 years | 5 years | |||||||||||
Share-based compensation arrangement by share-based payment award, award vesting period | 1 year | 1 year | |||||||||||
Maximum | |||||||||||||
Share based compensation arrangement by share based payment award expiration period | 10 years | 10 years | |||||||||||
Share-based compensation arrangement by share-based payment award, award vesting period | 5 years | 5 years | |||||||||||
Maximum | After Adjustment Awards | |||||||||||||
Share based compensation arrangement by share based payment award expiration period | 10 years | 10 years | |||||||||||
Share-based compensation arrangement by share-based payment award, award vesting period | 10 years | 10 years |
SHARE CAPITAL (Details)
SHARE CAPITAL (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||||
Sep. 30, 2022 CNY (¥) shares | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 CNY (¥) shares | Sep. 30, 2021 USD ($) shares | Sep. 30, 2020 CNY (¥) shares | Sep. 30, 2020 USD ($) shares | |
SHARE CAPITAL | ||||||
Proceeds from issuance of common stock | ¥ 11,014 | $ 1,551 | ¥ 17,166 | ¥ 16,223 | ||
Increased share capital resulted from contribution from non-controlling interests | ¥ 2,100 | |||||
Exercise of share option | ¥ 566 | ¥ 745 | ||||
At-the-Market Arrangement | ||||||
SHARE CAPITAL | ||||||
Issuance of common shares (in shares) | shares | 201,000 | 201,000 | 219,440 | 219,440 | 280,000 | 280,000 |
Proceeds from issuance of common stock | ¥ 11,000 | $ 1,650 | ¥ 17,200 | $ 2,620 | ¥ 16,200 | $ 2,360 |
Increased share capital resulted from contribution from non-controlling interests | 2,100 | |||||
Exercise of share option (in shares) | shares | 16,510 | 16,510 | 21,930 | 21,930 | ||
Exercise of share option | ¥ 340,454 | $ 53,580 | $ 0 | ¥ 472 | $ 73 |
RENTAL INCOME (Details)
RENTAL INCOME (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | |
RENTAL INCOME | ||||
Rental income | ¥ 10,603 | $ 1,493 | ¥ 10,603 | ¥ 7,643 |
INCOME TAXES - Deferred income
INCOME TAXES - Deferred income tax (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 |
Non-current deferred tax assets: | ||
Net operating loss carry forward | ¥ 118,410 | ¥ 119,617 |
Impairment loss | 36,567 | 35,840 |
Others | 22,859 | 22,959 |
Non-current deferred income tax assets | 177,835 | 178,416 |
Valuation allowances | (177,835) | (178,416) |
Net non-current deferred income tax assets | ¥ 0 | ¥ 0 |
INCOME TAXES - Reconciliation (
INCOME TAXES - Reconciliation (Details) | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
INCOME TAXES | |||
Statutory rate | 25% | 25% | 25% |
Change in valuation allowance | (25.00%) | (25.00%) | (24.00%) |
Over provision in prior year | (1.00%) | ||
Effective income tax rate | (1.00%) | 1% |
INCOME TAXES- Additional inform
INCOME TAXES- Additional information (Details) | 1 Months Ended | 12 Months Ended | ||
Jan. 30, 2008 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
INCOME TAXES | ||||
Tax rate of the PRC Enterprise Income Tax (EIT) | 25% | 25% | 25% | |
Preferential tax rate | 15% | |||
China tax authority | The open tax years for examinations in China are 5 years. | |||
Maximum | ||||
INCOME TAXES | ||||
Tax rate of the PRC Enterprise Income Tax (EIT) | 33% | |||
Minimum | ||||
INCOME TAXES | ||||
Tax rate of the PRC Enterprise Income Tax (EIT) | 25% | |||
Beijing Origin Seed Limited (note (i)) ("Beijing Origin") | ||||
INCOME TAXES | ||||
Preferential tax rate | 15% | 15% | 15% |
INCOME_(LOSS) PER SHARE (Detail
INCOME/(LOSS) PER SHARE (Details) ¥ / shares in Units, ¥ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 $ / shares | Sep. 30, 2022 CNY (¥) ¥ / shares shares | Sep. 30, 2021 CNY (¥) ¥ / shares shares | Sep. 30, 2020 CNY (¥) ¥ / shares shares | |
Denominator: | ||||
Average common stock outstanding - basic | 5,773,094 | 5,617,424 | 5,029,017 | |
Average common stock outstanding - diluted | 5,773,094 | 5,617,424 | 5,029,017 | |
Basic and Diluted Per Share Data: | ||||
Basic loss per share attributable to Origin Agritech Limited | (per share) | $ (0.15) | ¥ (1.09) | ¥ (16.29) | ¥ (16.95) |
Diluted loss per share attributable to Origin Agritech Limited | (per share) | $ (0.15) | ¥ (1.09) | ¥ (16.29) | ¥ (16.95) |
Origin Agritech Limited | ||||
Numerator: | ||||
Net loss attributable to Origin Agritech Limited | ¥ | ¥ (6,265) | ¥ (91,529) | ¥ (85,261) | |
Denominator: | ||||
Average common stock outstanding - basic | 5,773,094 | 5,617,424 | 5,029,017 | |
Average common stock outstanding - diluted | 5,773,094 | 5,617,424 | 5,029,017 | |
Basic and Diluted Per Share Data: | ||||
Basic loss per share attributable to Origin Agritech Limited | ¥ / shares | ¥ (1.09) | ¥ (16.29) | ¥ (16.95) | |
Diluted loss per share attributable to Origin Agritech Limited | ¥ / shares | ¥ (1.09) | ¥ (16.29) | ¥ (16.95) |
EMPLOYEE BENEFIT PLAN AND PRO_2
EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
EMPLOYEE BENEFIT PLAN AND PROFIT APPROPRIATION | |||
Defined contribution plan, cost recognized | ¥ 1,700 | ¥ 1,280 | ¥ 1,690 |
Percentage of entity registered capital | 50% | ||
Statutory surplus reserve fund annual appropriation percentage | 10% | ||
Statutory surplus reserve fund appropriations | ¥ 15,133 | ¥ 15,133 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) ¥ in Thousands | Sep. 30, 2022 CNY (¥) |
Beijing Origin Seed Limited (note (i)) ("Beijing Origin") | |
Total compensation on legal proceedings | ¥ 961 |
OPERATING RISK (Details)
OPERATING RISK (Details) | 12 Months Ended |
Sep. 30, 2022 | |
OPERATING RISK | |
Borrowing interest rate | 6% |
Customer concentration risk | Revenue | First largest customer | |
OPERATING RISK | |
Concentration risk percentage | 8% |
Customer concentration risk | Revenue | Second largest customer | |
OPERATING RISK | |
Concentration risk percentage | 4% |
CONDENSED FINANCIAL INFORMATI_3
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY- CONDENSED BALANCE SHEET (Details) ¥ in Thousands, $ in Thousands | Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | Sep. 30, 2019 CNY (¥) |
Current assets (liabilities) | |||||
Cash and cash equivalents | ¥ 17,669 | $ 2,489 | ¥ 15,351 | ||
Due from inter-companies | 28,127 | 3,962 | 29,179 | ||
Due to related parties | 18,629 | 2,624 | 30,269 | ||
Total current assets (liabilities) | 81,540 | 11,485 | 58,143 | ||
Total assets (liabilities) | 135,955 | 19,149 | 119,038 | ||
AND EQUITY | |||||
Total stockholders' equity (deficit) | (172,642) | (24,317) | (185,598) | ¥ (85,462) | ¥ (15,475) |
Parent Company | |||||
Current assets (liabilities) | |||||
Cash and cash equivalents | 6,394 | 901 | 8,900 | ||
Other receivables | 235 | 33 | 273 | ||
Due from inter-companies | 216,571 | 30,504 | 187,777 | ||
Due to related parties | 696 | 98 | 717 | ||
Total current assets (liabilities) | 223,896 | 31,536 | 197,667 | ||
Investment in unconsolidated subsidiaries | (356,347) | (50,191) | (338,339) | ||
Total assets (liabilities) | (132,451) | (18,655) | (140,672) | ||
AND EQUITY | |||||
Total stockholders' equity (deficit) | ¥ (133,872) | $ (18,856) | ¥ (140,672) |
CONDENSED FINANCIAL INFORMATI_4
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY- CONDENSED STATEMENT OF INCOME AND COMPREHENSIVE INCOME (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | |
Revenues | ¥ 52,580 | $ 7,406 | ¥ 46,425 | ¥ 52,513 |
Operating expenses | ||||
General and administrative | 14,321 | 2,017 | 73,315 | 58,069 |
Interest expense | (8,228) | (1,159) | (8,558) | (5,796) |
Loss before income taxes | 2,311 | 326 | (126,903) | (102,417) |
Income tax expense | (14) | (2) | 178 | 425 |
Net Income (loss) | 2,300 | 328 | (127,081) | (102,842) |
Other comprehensive loss | ||||
Foreign currency translation difference | 447 | 63 | (816) | 1,371 |
Total comprehensive loss | (5,818) | (819) | (92,345) | (83,890) |
Parent Company | ||||
Operating expenses | ||||
General and administrative | (5,246) | (739) | (19,302) | (14,852) |
Loss from operations | (5,246) | (739) | (19,302) | (14,852) |
Equity method loss | (1,004) | (141) | (72,213) | (70,407) |
Interest expense | (15) | (2) | (14) | (2) |
Loss before income taxes | (6,265) | (882) | (91,529) | (85,261) |
Net Income (loss) | (6,265) | (882) | (91,529) | (85,261) |
Other comprehensive loss | ||||
Foreign currency translation difference | 447 | 63 | (816) | 1,371 |
Total comprehensive loss | ¥ (5,818) | $ (819) | ¥ (92,345) | ¥ (83,890) |
CONDENSED FINANCIAL INFORMATI_5
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY - CONDENSED STATEMENT OF CASH FLOWS (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Sep. 30, 2022 CNY (¥) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 CNY (¥) | Sep. 30, 2020 CNY (¥) | |
Net cash provided by operating activities | ¥ 3,291 | $ 465 | ¥ (25,077) | ¥ (5,615) |
Net cash provided by financing activities | (332) | (47) | 19,838 | 65,918 |
Net increase in cash and cash equivalents | (1,857) | (262) | 6,448 | (18,060) |
Cash and cash equivalents, beginning of year | 15,351 | 2,162 | 22,482 | 3,198 |
Effect of exchange rate changes on cash and cash equivalents | 447 | 63 | (816) | 1,371 |
Cash and cash equivalents, end of the year | 17,669 | 2,489 | 15,351 | 22,482 |
Parent Company | ||||
Net cash provided by operating activities | (4,567) | (644) | ||
Net cash provided by financing activities | 1,614 | 227 | (8,637) | 16,730 |
Net increase in cash and cash equivalents | (2,953) | (417) | (8,637) | 16,730 |
Cash and cash equivalents, beginning of year | 8,900 | 1,254 | 18,353 | 252 |
Effect of exchange rate changes on cash and cash equivalents | 447 | 63 | (816) | 1,371 |
Cash and cash equivalents, end of the year | ¥ 6,394 | $ 900 | ¥ 8,900 | ¥ 18,353 |
CONDENSED FINANCIAL INFORMATI_6
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY - Additional information (Details) - CNY (¥) ¥ in Thousands | Sep. 30, 2022 | Sep. 30, 2021 |
CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY | ||
Amounts restricted include paid-in capital, capital surplus and statutory reserves | ¥ 45,457 | ¥ 45,457 |
Uncategorized Items - seed-2022
Label | Element | Value |
Restricted Cash and Cash Equivalents, Current | us-gaap_RestrictedCashAndCashEquivalentsAtCarryingValue | $ 2,000 |