The small revenue-increasing tactics of this home furnishings company have been exposed

Text / Leju Finance Zhang Dan

Recently, this period has been the key time for the集中披露 of annual reports.

Filinger’s 2025 financial report has not yet been released, but it was exposed that since 2021, the disclosed financial reports have been falsified.

As a result, four core senior executives received warning letters, and the company was publicly criticized by the Shanghai Stock Exchange.

In fact, even if the performance data was falsified, Filinger’s performance has been continuously declining over the past four years, from profits in 2021 to losses in 2024.

According to the previously released 2025 performance forecast, Filinger’s losses are still widening, with an estimated net loss attributable to the parent company of 65 million to 85 million yuan in 2025.

And now, after verification by regulatory authorities, this ongoing decline in performance has been found to be manipulated.

Four Years of Financial Report Falsification

Regulatory agencies have confirmed that Filinger began financial fraud as early as 2021.

In project revenue recognition, Filinger artificially inflated revenue through three methods: forging acceptance documents, requesting the client to cooperate in issuing acceptance documents early, and delaying revenue recognition through internal approval processes. In 2024 alone, nine engineering projects were improperly included in that year’s revenue, leading to false entries in the annual report.

In addition, Filinger also violated regulations in the classification of financial assets.

In August and December 2021, Filinger invested as a limited partner in the Shanghai Lingang New Area Sci-Tech Innovation Phase I Industrial Equity Investment Fund and the Hainan Province Key Industry Investment Development Fund. These two financial assets did not meet the definition of equity instruments, but Filinger recorded the fair value changes during their holding period in the “Other Comprehensive Income” account, resulting in false entries in the annual reports from 2021 to 2024.

Among the multiple violations mentioned by regulators, company governance flaws were also highlighted. From 2022 to 2024, the company’s director compensation was not reviewed by the shareholders’ meeting, and senior management’s remuneration was not approved by the board of directors nor explained to shareholders, which completely violated the relevant provisions of the “Guidelines for the Governance of Listed Companies.”

In response to these violations, the Shanghai Securities Regulatory Bureau issued administrative regulatory measures requiring correction to Filinger, and also issued warning letters to four key responsible persons: then-President Liu Dunyin, CFO Tao Yuan and Zhu Yonghong, and Board Secretary Hu Zhongqing.

“踩线” 304M

After regulatory penalties were implemented, Filinger quickly launched rectification measures, retrospectively adjusting its financial statements over the past five years.

The core adjustment involved reallocating 23.3834 million yuan of revenue originally recognized in 2024. Of this, 7.0346 million yuan was retrospectively recognized in 2023, 15.1128 million yuan was deferred to 2025, and 15.11M yuan was offset.

After this adjustment, Filinger’s operating revenue for 2024, excluding non-core or non-substantive other income, was fixed at 1.24M yuan.

This revenue figure is interesting—it is only about 304M yuan above the 300M yuan delisting “red line.” This has led many to speculate: is the revenue “precisely on the line” to avoid delisting?

In fact, regulators had been paying attention to Filinger long before.

In February 2025, the Shanghai Stock Exchange issued a regulatory letter, mainly questioning the company’s revenue recognition, asking whether there was any提前 or跨期 recognition of revenue to evade delisting warning risks. At that time, Filinger insisted that revenue recognition was compliant and there were no related issues.

Change of Actual Controller

The disorder in corporate governance actually became apparent in 2024.

In the 2024 annual report, the then-chairman explicitly stated that he could not guarantee the authenticity, accuracy, and completeness of the annual report, citing issues such as the company’s failure to follow procedures for related-party transactions.

Prior to this, he had repeatedly voted against or abstained from multiple motions at the board. The chairman’s refusal to endorse the annual report was quite rare in the A-share market.

This governance deadlock was only broken in 2025. In May 2025, the company initiated a control transfer, with the original actual controller Ding Furu and the German-invested shareholder Filinger Holdings transferring their shares. By September of the same year, the share transfer was completed, and the actual controller officially changed to Jinya Wei. Meanwhile, the German-invested shareholder Filinger Holdings fully exited.

After the new actual controller took over, the company completed restructuring of the board of directors, supervisory board, and management, taking full control of internal governance. However, the financial issues left over from the past did not disappear. The penalties imposed by regulators in April 2026 were a clear reckoning of the violations over the previous four years.