VARIABLE INTEREST ENTITIES

12 Months Ended

Jun. 30, 2026

VARIABLE INTEREST ENTITIES

VARIABLE INTEREST ENTITIES

NOTE 29. VARIABLE INTEREST ENTITIES

VIEs are generally entities that lack sufficient equity to finance their activities without additional financial support from other parties or whose equity holders lack adequate decision-making ability. All VIEs and their subsidiaries with which the Company is involved must be evaluated to determine the primary beneficiary of the risks and rewards of the VIE. The primary beneficiary is required to consolidate the VIE for financial reporting purposes.

Summary information regarding consolidated VIEs and their subsidiaries is as follows:


		June 30, 2025			June 30, 2026			June 30, 2026
		RMB			RMB			US Dollars
ASSETS
Current Assets
Cash		¥	8,486,745		¥	10,138,380		$	1,494,212
Restricted cash			8,204			104			15
Short-term investments			—			9,005,007			1,327,174
Notes receivable			—			200,000			29,476
Accounts receivable, net			35,852,484			46,142,449			6,800,555
Inventories, net			1,344,588			1,330,874			196,147
Other receivables, net			4,844,928			4,518,166			665,895
Loans to third parties-short term			21,753,233			24,355,040			3,589,489
Purchase advances, net			130,531			323,029			47,609
Contract costs, net			53,547,408			25,059,648			3,693,335
Prepaid expenses			37,276			430,287			63,415
Prepaid consideration for acquisition of noncontrolling interest			—			1,950,000			287,394
Total current assets			126,005,397			123,452,984			18,194,716

Property and equipment, net			19,961,664			17,099,196			2,520,110
Investment in unconsolidated entity			—			1,824,974			268,968
Loans to third parties-long term			18,500,000			18,500,000			2,726,563
Operating lease right-of-use assets, net - non-current			4,450,450			7,216,333			1,063,556
Total Assets		¥	168,917,511		¥	168,093,487		$	24,773,913

LIABILITIES
Short-term bank loans		¥	11,582,336		¥	11,306,258		$	1,666,336
Accounts payable			12,113,970			17,111,286			2,521,891
Other payables			3,709,852			1,720,077			253,508
Other payable- related parties			2,906,544			649,559			95,733
Contract liabilities			4,719,255			1,669,736			246,089
Contract liabilities- related parties			—			400,000			58,953
Accrued payroll and employees’ welfare			2,129,242			4,003,960			590,111
Intercompany payables*			265,588,956			248,493,705			36,623,440
Taxes payable			795,629			1,422,658			209,674
Short-term borrowings - related parties			10,017,250			20,033,917			2,952,634
Operating lease liabilities - current			1,761,231			2,924,605			431,033
Total current liabilities			315,324,265			309,735,761			45,649,402

Operating lease liabilities - non-current			1,081,827			3,291,220			485,066
Long-term borrowings - related party			10,000,000			—			—
Total Liabilities		¥	326,406,092		¥	313,026,981		$	46,134,468

*	Intercompany payables are eliminated upon consolidation.

The financial performance of VIEs and their subsidiaries reported in the consolidated statement of operations and comprehensive loss for the year ended June 30, 2024 includes revenue of ¥68,854,280, operating expenses of ¥45,301,827, and net loss of ¥19,760,427.

The financial performance of VIEs and their subsidiaries reported in the consolidated statement of operations and comprehensive loss for the year ended June 30, 2025 includes revenue of ¥66,285,032, operating expenses of ¥41,373,992, and net loss of ¥23,845,123.

The financial performance of VIEs and their subsidiaries reported in the consolidated statement of operations and comprehensive loss for the year ended June 30, 2026 includes revenue of ¥120,415,337 ($17,747,025), operating expenses of ¥40,512,998 ($5,970,877), and net income of ¥20,324 ($2,995).