The equity structure of Changxin is really problematic, but it seems no one cares.

After listing, public shareholders can actually obtain only a small portion of the net profit attributable to the parent company, with the bulk going to early investors and state-owned capital.

Changxin Technology's core profit source comes from the wafer fabrication segment (entities such as Changxin Xinqiao and Changxin Jidian).

These fabs are the real "engines" generating high profits. According to the prospectus: Changxin Xinqiao: Changxin Technology and its subsidiaries directly hold 30.68% equity (economic interest).

Through long-term unanimous action agreements with Xinyi Hesheng, Hefei Industry Investment, etc., it additionally controls 42.33% of voting rights, totaling 73.01% voting rights, thereby achieving control over Changxin Xinqiao.

Changxin Jidian (Beijing): Similar situation, direct shareholding of approximately 31.72%, and through agreements, controls a total of 75.32% of voting rights.

Accounting treatment result: Because it holds a majority of voting rights (meeting the definition of "control" under the Accounting Standards for Business Enterprises), Changxin Technology must fully consolidate 100% of these fabs' financial statements.

But economically, it only owns about 30%+ of the equity, with the remaining approximately 70% of profits belonging to minority shareholders (mainly early investors such as Hefei state-owned capital platforms and the Big Fund related entities).

Actual consequence: When consolidating, all profits from the fabs are included in the group's figures, but ultimately only a small portion truly belongs to the listed company's shareholders.