Shanghai Broadband Technology Co Ltd

The Shanghai Stock Exchange issued a disciplinary decision on September 24, publicly reprimanding Shanghai Broadband Technology Co., Ltd., known as Delisted Shanghai Broadband Technology before its delisting, stock code 600608, along with five responsible individuals: former vice chairman Liu Wenxin, former chairman Zhang Lu, former vice chairman Yun Feng, former deputy general manager Gao Rui, and former director and general manager Wang Liang. The investigation found that starting in 2023, the company participated in agricultural product trade business led by Hongyun Supply Chain Co., Ltd. Both upstream and downstream parties were affiliated entities of Hongyun Supply Chain or companies introduced and designated by it. The company only fulfilled the obligation of advancing funds and collected fund usage fees at a certain rate. It neither actually controlled the agricultural goods nor was responsible for transportation. This business was in name a trade but in substance a financing arrangement, and the company's recognition of operating revenue using either the gross method or the net method did not comply with regulations. The above business resulted in false records in the company's 2023 and 2024 annual reports. In 2023, operating revenue was inflated by 24.91 million yuan, accounting for 14.56 percent of the operating revenue recorded in that period's report. In 2024, operating revenue was inflated by 3.60 million yuan, accounting for 20.92 percent of the operating revenue recorded in that period's report. On April 30, 2026, the company issued an announcement on the correction of prior accounting errors and retrospective adjustments, retrospectively adjusting the financial statements for the above years. Delisted Shanghai Broadband Technology was formally delisted by the Shanghai Stock Exchange on July 3, 2026, terminating its listing. The reason was that it triggered financial mandatory delisting indicators: the company's 2025 annual report showed that its audited net profit after deducting non-recurring items for 2025 was negative and operating revenue was below 300 million yuan, while the financial accounting report received a qualified audit opinion and internal controls received a disclaimer of opinion audit report.