C&S Paper Co., Ltd.Report for the First Quarter o f 2021
April 2021
Section I Important NoticeThe Board of Directors and the Board of Supervisors of the Company and itsdirectors, supervisors and senior management warrant that the informationcontained in the quarterly report is truthful, accurate and complete and thereare no false presentations or misleading statements contained in, or materialomissions from, this report, and that they assume severally and jointly legalliability.All directors attended the meeting of the Board of Directors where this quarterlyreport was reviewed.Declaration by Deng Yingzhong, legal representative, Dong Ye, the person incharge of accounting, and Xu Xianjing, the person in charge of AccountingDepartment of the Company, warrant that the financial statements contained inthis report are truthful, accurate, and complete.
Section II Basic Information
I. Main Accounting Data and Financial IndicatorsWhether the Company needs to perform retrospective adjustment or restatement of accounting data for previousyears
□ Yes √ No
| Current reporting period | The same period of the previous year | YoY change | |
| Operating income (RMB) | 2,102,126,213.63 | 1,670,909,073.75 | 25.81% |
| Net profit attributable to shareholders of the listed company (RMB) | 271,122,802.99 | 183,429,517.35 | 47.81% |
| Net profit attributable to shareholders of the listed company less non-recurring profit and loss (RMB) | 267,298,568.37 | 186,893,864.62 | 43.02% |
| Net cash flow from operating activities (RMB) | 334,905,166.23 | 330,547,734.57 | 1.32% |
| Basic earnings per share (RMB/share) | 0.2091 | 0.1426 | 46.63% |
| Diluted earnings per share (RMB/share) | 0.2058 | 0.1395 | 47.53% |
| Weighted average return on net assets | 5.34% | 4.41% | 0.93% |
| End of the current reporting period | End of the previous year | Changes at the end of the current reporting period compared with the end of the previous year | |
| Total assets (RMB) | 7,327,573,419.58 | 7,478,439,747.77 | -2.02% |
| Net asset attributable to shareholders of the listed company (RMB) | 5,108,051,020.43 | 5,042,146,076.42 | 1.31% |
Items and amounts of non-recurring profit and loss
√ Applicable □ Inapplicable
Unit: RMB
| Item | Amount from the beginning of the year to the end of the reporting period | Remarks |
| Profit and loss from disposal of non-current assets (including the offset portion with provisions for asset impairment already set aside) | -20,876.50 | |
| Government grants measured at fair value through profit and loss of the current period (except for the government grants that are closely related to the Company's business and distributed in a fixed quota or amount in accordance with unified national standards) | 3,998,966.50 | |
| Profit and loss from assets entrusted to others for investment or management | 307,027.09 | |
| Other non-operating income and expenses excluding the above items | 355,425.97 | |
| Less: Influence of income tax | 816,308.44 | |
| Total | 3,824,234.62 | -- |
The reasons why the Company defined certain items as non-recurring profit and loss in line with the No. 1Explanatory Announcement on Information Disclosure of Companies Offering Securities to thePublic—Non-recurring Profit and Loss and some items listed in the above announcement as recurring profit andloss shall be specified.
□ Applicable √ Inapplicable
The Company did not define any non-recurring profit and loss defined or listed in the No. 1 ExplanatoryAnnouncement on Information Disclosure of Companies Offering Securities to the Public—Non-recurring Profitand Loss as recurring profit and loss.
II. Table of the Total Number of Shareholders and Holdings of the Top Ten Shareholders atthe End of the Reporting Period
1. Table of the total number of common shareholders, the number of preferred shareholders withvoting right resumption, and holding of the top ten shareholders
Unit: Share
| Total number of common shareholders at the end of the reporting period | 63,824 | Total number of preferred shareholders with voting rights restored at the end of the reporting period (if any) | 0 | |||
| Particulars of shareholding of the top ten shareholders | ||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage | Number of shares held | Number of shares held subject to restrictions on sales | Pledged or locked-up shares | |
| Share status | Number of shares | |||||
| Guangdong Zhongshun Paper Group Co., Ltd. | Domestic non-state-owned legal person | 28.63% | 375,655,958 | |||
| Chung Shun Co. | Foreign legal person | 20.31% | 266,504,789 | |||
| Hong Kong Securities Clearing Co., Ltd. | Foreign legal person | 6.72% | 88,174,456 | |||
| National Social Security Fund Portfolio 406 | Others | 1.00% | 13,112,327 | |||
| Yue Yong | Domestic natural person | 0.74% | 9,665,241 | 7,939,243 | ||
| China Construction Bank Co., Ltd. – Fullgoal Value Creation Hybrid Securities Investment Fund | Others | 0.69% | 9,096,907 | |||
| Industrial and Commercial Bank of China Limited – Caitong Asset Management Equilibrium Value One-Year Hybrid Securities Investment Fund | Others | 0.69% | 9,085,652 | |||
| National Social Security Fund Portfolio 101 | Others | 0.63% | 8,226,778 | |||
| Deng Yingzhong | Domestic natural person | 0.51% | 6,752,811 | 5,064,608 | ||
| Industrial and Commercial | Others | 0.51% | 6,729,000 | |||
| Bank of China Limited – Fullgoal Consumption Selection 30-share Equity Securities Investment Fund | ||||
| Particulars of shareholding of the top ten shareholders not subject to restrictions on sales | ||||
| Name of shareholder | Number of shares held not subject to restrictions on sales | Type of shares | ||
| Type of shares | Number of shares | |||
| Guangdong Zhongshun Paper Group Co., Ltd. | 375,655,958 | RMB-denominated ordinary shares | 375,655,958 | |
| Chung Shun Co. | 266,504,789 | RMB-denominated ordinary shares | 266,504,789 | |
| Hong Kong Securities Clearing Co., Ltd. | 88,174,456 | RMB-denominated ordinary shares | 88,174,456 | |
| National Social Security Fund Portfolio 406 | 13,112,327 | RMB-denominated ordinary shares | 13,112,327 | |
| China Construction Bank Co., Ltd. – Fullgoal Value Creation Hybrid Securities Investment Fund | 9,096,907 | RMB-denominated ordinary shares | 9,096,907 | |
| Industrial and Commercial Bank of China Limited – Caitong Asset Management Equilibrium Value One-Year Hybrid Securities Investment Fund | 9,085,652 | RMB-denominated ordinary shares | 9,085,652 | |
| National Social Security Fund Portfolio 101 | 8,226,778 | RMB-denominated ordinary shares | 8,226,778 | |
| Industrial and Commercial Bank of China Limited – Fullgoal Consumption Selection 30-share Equity Securities Investment Fund | 6,729,000 | RMB-denominated ordinary shares | 6,729,000 | |
| Investec Asset Management Co., Ltd. – Investec Global Fund Strategy – China Stock Fund (Exchange) | 6,196,738 | RMB-denominated ordinary shares | 6,196,738 | |
| Zhongshan Xinda Investment Management Co., Ltd. | 6,083,636 | RMB-denominated ordinary shares | 6,083,636 | |
| Whether the above-mentioned shareholders have a related party relationship or are persons acting in concert | 1. Among the top ten shareholders mentioned above, Guangdong Zhongshun Paper Group Co., Ltd. and Chung Shun Co. are the enterprises controlled by Deng Yingzhong, Deng Guanbiao and Deng Guanjie, de facto controllers of the Company. That is, Guangdong Zhongshun Paper Group Co., Ltd. and Chung Shun Co. are related parties. Yue Yong is now an officer of the Company. Deng Yingzhong is one of the current directors and de facto | |||
| controllers of the Company. 2. The Company does not figure out whether there is a related party relationship between other shareholders, and whether there is a person acting in concert as stipulated in the Administrative Measures for the Disclosure of Information on Changes in Shareholders' Shareholding of Listed Companies. | |
| Description of top ten shareholders engaging in margin trading and short-selling (if any) | None |
Whether the top ten common shareholders and the top ten shareholders not subject to restrictions on salesconducted the agreed repurchase transaction during the reporting period
□ Yes √ No
The Company's top ten common shareholders and top ten common shareholders not subject to restrictions on salesdid not conduct any agreed repurchase transaction during the reporting period.
2. Table of the total number of preferred shareholders and holdings of the top ten preferred shareholders
□ Applicable √ Inapplicable
Section III Important Events
I. Changes in the Main Financial Data and Financial Indicators during the Reporting Periodand Reasons for Such Changes
√ Applicable □ Inapplicable
i. Balance sheetOther current assets: Other current assets decreased by RMB46,285,103.42 or 45.56% at the end of the currentreporting period from the end of 2020, mainly due to the decrease in the principal of wealth management products inthe current reporting period.Construction work in progress: Construction work in progress decreased by RMB131,714,825.65 or 47.74% at theend of the current reporting period from the end of 2020, mainly due to the carry-forward of ready-for-useconstruction work in progress to fixed assets in the current reporting period.Right-of-use assets: Right-of-use assets increased by RMB9,531,693.59 or 100.00% at the end of the currentreporting period from the end of 2020, mainly due to the recognition of lease assets as right-for-use assets after theimplementation of new leasing standards during the current reporting period.Short-term loans: Short-term loans decreased by RMB52,896,691.34 or 37.01% at the end of the current reportingfrom the end of 2020, mainly due to the reduction of short-term loans from banks in the current reporting period.Lease liabilities: Lease liabilities increased by RMB 9,905,754.18 or 100.00% at the end of the current reportingperiod from the end of 2020, mainly due to the recognition of lease liabilities after the implementation of newleasing standards during the current reporting period.Treasury shares: Treasury shares increased RMB216,125,181.28 or 224.01% at the end of the current reportingperiod from the end of 2020, mainly due to the increase of repurchased shares of the Company in the currentreporting period.ii. Income statementOperating costs: Operating costs increased by 334,673,338.95 or 36.50% on a year-on-year basis, mainly due to (1)the increase in the operating income and (2) the transfer of transportation cost from selling expenses to operatingcosts in line with new income standards in the current reporting period.Finance expenses: Finance expenses decreased by RMB5,478,761.02 or 265.17% on a year-on-year basis, mainly
due to the increase in bank interest income and the decrease in exchange gain or loss in the current reporting period.Other income: Other income increased by RMB1,594,937.84 or 45.32% on a year-on-year basis, mainly due to theincrease in government grants in the current reporting period.Return on investment: Return on investment decreased by RMB415,773.01 or 57.52% on a year-on-year basis,mainly due to the increase in the wealth management income in the current reporting period.Credit impairment losses: Credit impairment losses decreased by RMB3,316,135.69 or 237.45% on a year-on-yearbasis, mainly due to the decrease in allowance for credit impairment losses on receivables in the current reportingperiod.Asset impairment losses: Asset impairment losses increased by RMB1,198,081.41 or 129.89% on a year-on-yearbasis, mainly due to the increase in the allowance for impairment losses on fixed assets in the current reportingperiod.Return on disposal of assets: Return on disposal of assets increased by RMB332,618.33 or 117.37% on ayear-on-year basis, mainly due to the increase in the gains from disposal of fixed assets in the current reportingperiod.Non-operating income: Non-operating income decreased by RMB1,588,555.61 or 68.33% on a year-on-year basis,mainly due to the decrease in government grants in the current reporting period.Non-operating expenditure: Non-operating expenditure decreased by RMB9,824,829.50 or 86.25% on ayear-on-year basis, mainly due to the reduction of donations in the current reporting period.Income tax expense: Income tax expense increased by RMB19,081,102.77 or 49.10% on a year-on-year basis,mainly due to the increase in total profit in the current reporting period.iii. Items in the cash flow statementNet cash flow from financing activities: Net cash flow from financing activities decreased by RMB193,879,421.36or 262.15% on a year-on-year basis, mainly due to the decreased cash payment of loan proceeds received andincreased payment for repurchased shares of the Company in the current reporting period.II. An Analysis of the Progress and Impact of Important Issues and Solutions
√ Applicable □ Inapplicable
1. The election for the 5
thBoard of Directors and the Board of Supervisors: In January 2021, the Companycompleted the election for a new Board of Directors and Board of Supervisors, elected Chairman and Vice
Chairman of the 5
thBoard of Directors, members of special committees, and Chairman of the Board of Supervisors,and appointed President, Vice President, Secretary of the Board of Directors, Financial Director, Head of AuditDepartment, and Representative of Securities Affairs.
2. Second Employee Stock Ownership Plan: As of January 5, 2021, the 11,709,583 shares held under the secondEmployee Stock Ownership Plan had been sold completely, with the termination of this Employee Stock OwnershipPlan.
3. The Company's share repurchase matters: In January 2021, the Company launched a Share Repurchase Plan. Asof March 24, 2021, a total of 8,983,877 shares (0.6848% of total share capital) of the Company had beenrepurchased with the maximum transaction price of RMB25.8/share, the minimum transaction price ofRMB23.27/share, and a total transaction amount of RMB216,125,181.33 (excluding transaction costs).
4. New 400,000-ton high-end tissue paper production project: In order to further expand its production capacity,meet the requirement for further sales growth in the East China market, and increase its profit growth points, theCompany launched a new 400,000-ton high-end tissue paper production project with a total investment of aroundRMB 2.55 billion. With a total planned production capacity of 400,000 tons, the project will be implemented inphases. For phase I of the project, around RMB 600 million will be invested and an annual production capacity ofhigh-end tissue paper will reach around 100,000 tons.
5. Other matters of the Company and its subsidiary: C&S (Sichuan) Co., Ltd., a wholly-owned subsidiary of theCompany, may enjoy a preferential policy of reduced corporate income tax rate of 15% after re-identification,recertification and filing upon expiration of the valid period of its High-Tech Enterprise Certificate. The businessscopes of 6 subsidiaries of the Company have been expanded. The registered capital of the Company decreased dueto the repurchase and deregistration of restricted stocks under the Stock Incentive Plan. C&S (Yunfu) Trading Co.,Ltd., a wholly-owned subsidiary of the Company, was renamed "Yunfu Hengtai Commerce and Trade Co., Ltd."
6. Personnel change matters: In March 2021, the President of the Company was changed from Deng Guanbiao toLiu Peng. In March 2021, Yue Yong, a director of the Company, resigned. In April 2021, Liu Peng was elected as adirector of the Company. In April 2021, the Chairman of the Company was changed from Deng Yingzhong to LiuPeng, and Li Zhaojin was appointed as Vice President of the Company.
| Description of important matters | Date of disclosure | Inquiry and index of temporary report disclosure websites |
| Election of the 5th Board of Directors and Board of | January 6, 2021 | Announcement on the Election of a New Board of Directors, the Announcement on Election of a New Board |
| Supervisors | of Supervisors, the Announcement on Resolutions of the 30th Meeting of the Fourth Board of Directors, and the Announcement on Resolutions of the 24th Meeting of the Fourth Board of Directors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| January 14, 2021 | Announcement on Election of New Employees' Representatives and Supervisors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| January 22, 2021 | Announcement on Resolutions of the First Extraordinary General Meeting in 2021, the Announcement on Resolutions of the 1st Meeting of the Fifth Board of Directors, the Announcement on Resolutions of the 1st Meeting of the Fifth Board of Supervisors, the Announcement of Appointment of Officers, and the Announcement on Appointment of the Head of Audit Department and the Representative of Securities Affairs disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| Second Employee Stock Ownership Plan | January 6, 2021 | Announcement on Completion of Sale of Shares under and Termination of the Second Employee Stock Ownership Plan disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
| The Company's share repurchase matters | January 6, 2021 | Plan for Repurchase of Partial Social Public Shares and the Announcement on Resolutions of the 30th Meeting of the Fourth Board of Directors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
| January 28, 2021 | Announcement on the First Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| January 29, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| January 30, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, |
| Securities Daily as well as Cninf. | ||
| February 3, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| February 5, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| March 3, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| March 24, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| March 25, 2021 | Announcement on Progress Made in Repurchase of Shares disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| New 400,000-tone high-end tissue paper production project | January 14, 2021 | Announcement on Launch of a New 400,000-ton High-End Tissue Paper Production Project and the Announcement on the 31st Meeting of the Fourth Board of Directors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
| February 27, 2021 | Announcement on Investment in Establishment of a Wholly-owned Subsidiary and Completion of Its Industrial and Commercial Registration disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| March 16, 2021 | Announcement on Progress Made in the New 400,000-ton High-End Tissue Paper Production Project disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| Other matters of the Company and its subsidiary | January 15, 2021 | Announcement on the Acquisition of High-Tech Enterprise Certificate (Renewal) by a Wholly-owned Subsidiary disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
| January 22, 2021 | Announcement on Completion of Industrial and Commercial Registration Amendment for Subsidiaries |
| disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | ||
| March 4, 2021 | Announcement on Completion of Industrial and Commercial Registration Amendment for the Company disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| March 10, 2021 | Announcement on Change of Company Name and Business Scope and Completion of Industrial and Commercial Registration for a Wholly-owned Subsidiary disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| Personnel change matters | March 19, 2021 | Announcement on Resignation of a Director disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
| March 23, 2021 | Announcement on Change of President, the Announcement on By-election of Non-independent Director for the Fifth Board of Directors, and the Announcement on Resolutions of the 2nd Meeting of the Fifth Board of Directors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| April 8, 2021 | Announcement on Resolutions of the Third Extraordinary General Meeting in 2021 disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. | |
| April 13, 2021 | Announcement on Change of Chairman, the Announcement on Appointment of Vice President and the Announcement on Resolutions of the 3rd Meeting of the Fifth Board of Directors disclosed in the China Securities Journal, Securities Times, Securities Daily as well as Cninf. |
Implementation of share repurchase
√ Applicable □ Inapplicable
On January 6, 2021, the Company disclosed the Plan for Repurchase of Partial Social Public Shares. The Companyplanned to repurchase a part of social public shares with its own funds of RMB180 million – RMB360 million bymeans of centralized bidding, and use all of them for the Stock Incentive Plan or the Employee Stock OwnershipPlan.As of March 24, 2021, a total of 8,983,877 shares (0.6848% of total share capital) of the Company had beenrepurchased with the maximum transaction price of RMB25.8/share, the minimum transaction price ofRMB23.27/share, and a total transaction amount of RMB216,125,181.33 (excluding transaction costs).Implementation of share repurchase by centralized bidding
□ Applicable √ Inapplicable
III. Commitments not Fulfilled by the De Facto Controllers, Shareholders, Related Parties,and Acquirers of the Company as at the End of the Reporting Period
□ Applicable √ Inapplicable
During the reporting period of the Company, there were no commitments not fulfilled by the de facto controllers,shareholders, related parties, and acquirers of the Company as at the end of the reporting period.IV. Financial Asset Investment
1. Security investment
□ Applicable √ Inapplicable
The Company did not invest in securities during the reporting period.
2. Derivative investment
□ Applicable √ Inapplicable
The Company did not invest in derivatives during the reporting period.
V. Progress of Investment Projects of the Raised Funds
□ Applicable √ Inapplicable
VI. Prediction of Operating Results in January to June 2021Warning and explanation of the predication that the accumulated net profit from the beginning of the year to theend of the next reporting period may be negative or there will be significant changes compared to thecorresponding period of the previous year
□ Applicable √ Inapplicable
VII. Major Routine Operation Contracts
□ Applicable √ Inapplicable
VIII. Entrusted WM
√ Applicable □ Inapplicable
Unit: RMB10,000
| Specific types | Sources of entrusted WM funds | Incurred amount of entrusted WM | Undue balance | The amount overdue but not recovered |
| Broker's WM product | Self-owned fund | 9,500 | 1,002.9 | 0 |
| Total | 9,500 | 1,002.9 | 0 | |
Specific situations of high-risk entrusted WM with individually significant amounts or low safety, poor liquidityand no principal guarantee
□ Applicable √ Inapplicable
Entrusted WM is expected to fail to recover the principal or there are other circumstances that may lead toimpairment
□ Applicable √ Inapplicable
IX. Illegal External Guarantee
□ Applicable √ Inapplicable
The Company had no illegal external guarantee during the reporting period.X. Misappropriation of Funds of the Listed Company for Non-operating Purposes by theControlling Shareholder and its Related Parties
□ Applicable √ Inapplicable
During the reporting period, there was no misappropriation of funds of the listed company for non-operatingpurposes by the controlling shareholder and its related parties.XI. Registration Table for Survey, Communication, Interview and Other Activities during theReporting Period
□ Applicable √ Inapplicable
No survey, communication, interview or other activities took place during the Company's reporting period.
Section IV Financial StatementsI. Financial Statements
1. Consolidated balance sheet
Prepared by: C&S Paper Co., Ltd.
March 31, 2021
Unit: RMB
| Item | March 31, 2021 | December 31, 2020 |
| Current assets: | ||
| Monetary funds | 1,074,302,670.76 | 1,125,196,199.56 |
| Settlement reserve | ||
| Loans to banks and other financial institutions | ||
| Tradable financial assets | ||
| Derivative financial assets | ||
| Notes receivable | 852,371.48 | 724,419.74 |
| Accounts receivable | 861,090,570.25 | 1,051,423,939.59 |
| Accounts receivable financing | ||
| Prepayments | 30,556,867.88 | 26,819,108.57 |
| Premium receivable | ||
| Reinsurance receivable | ||
| Reinsurance contract reserves receivable | ||
| Other receivables | 12,126,867.60 | 15,824,945.56 |
| Including: Interest receivable | ||
| Dividends receivable | ||
| Financial assets purchased under resale agreements | ||
| Inventory | 1,618,161,465.94 | 1,661,274,495.32 |
| Contract assets | ||
| Assets held for sale | 57,073,059.69 | 57,073,059.69 |
| Non-current assets due within one year |
| Other current assets | 55,299,465.88 | 101,584,569.30 |
| Total current assets | 3,709,463,339.48 | 4,039,920,737.33 |
| Non-current assets: | ||
| Loans and advances to customers | ||
| Creditor's right investment | ||
| Investment in other creditor's rights | ||
| Long-term receivable | ||
| Long-term equity investment | ||
| Investment in other equity instruments | ||
| Other non-current financial assets | ||
| Investment property | 34,216,144.89 | 34,575,365.94 |
| Fixed assets | 3,098,206,634.67 | 2,792,587,302.21 |
| Construction work in progress | 144,189,792.30 | 275,904,617.95 |
| Productive biological assets | ||
| Oil & gas assets | ||
| Right-of-use assets | 9,531,693.59 | |
| Intangible assets | 168,456,445.28 | 169,355,772.24 |
| Development expenses | ||
| Goodwill | 64,654.15 | 64,654.15 |
| Long-term deferred expenses | 23,795,488.94 | 26,635,983.14 |
| Deferred income tax assets | 109,418,740.72 | 111,367,362.66 |
| Other non-current assets | 30,230,485.56 | 28,027,952.15 |
| Total non-current assets | 3,618,110,080.10 | 3,438,519,010.44 |
| Total assets | 7,327,573,419.58 | 7,478,439,747.77 |
| Current liabilities: | ||
| Short-term loans | 90,046,250.00 | 142,942,941.34 |
| Borrowings from the central bank | ||
| Placements from banks and other financial institutions | ||
| Tradable financial liabilities | ||
| Derivate financial liabilities | ||
| Notes payable | 288,365,856.81 | 234,887,563.22 |
| Accounts payable | 658,657,497.15 | 761,519,389.26 |
| Payments received in advance | ||
| Contract liabilities | 100,530,640.58 | 137,333,617.40 |
| Proceeds from financial assets sold under repo | ||
| Deposits from customers, banks and non-bank financial institutions | ||
| Funds from securities trading agency | ||
| Funds from securities underwriting agency | ||
| Employee remuneration payable | 88,290,203.42 | 123,524,627.11 |
| Tax and fees payable | 105,276,092.24 | 112,608,054.87 |
| Other payables | 709,845,336.29 | 754,844,580.09 |
| Including: Interests payable | ||
| Dividends payable | 1,437,466.77 | 1,437,466.77 |
| Service charge and commission payable | ||
| Reinsurance payable | ||
| Liabilities held for sale | ||
| Non-current liabilities due within one year | ||
| Other non-current liabilities | 13,009,427.34 | 17,628,086.63 |
| Total current liabilities | 2,054,021,303.83 | 2,285,288,859.92 |
| Non-current liabilities: | ||
| Insurance contract reserves | ||
| Long-term loans | ||
| Bonds payable | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Lease liabilities | 9,905,754.18 | |
| Long-term payable | ||
| Long-term employee remuneration payable | ||
| Estimated liabilities | ||
| Deferred income | 111,659,391.63 | 115,101,158.13 |
| Deferred income tax liabilities | 43,935,949.51 | 35,903,653.30 |
| Other non-current liabilities | ||
| Total non-current liabilities | 165,501,095.32 | 151,004,811.43 |
| Total liabilities | 2,219,522,399.15 | 2,436,293,671.35 |
| Owner's equity: | ||
| Share capital | 1,311,948,555.00 | 1,311,487,077.00 |
| Other equity instruments | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Capital reserve | 917,452,349.35 | 907,006,505.05 |
| Less: Treasury shares | 312,606,092.57 | 96,480,911.29 |
| Other comprehensive income | ||
| Special reserves | ||
| Surplus reserves | 61,469,258.27 | 61,469,258.27 |
| Generic risk reserves | ||
| Undistributed profits | 3,129,786,950.38 | 2,858,664,147.39 |
| Total owner's equity attributable to the parent company | 5,108,051,020.43 | 5,042,146,076.42 |
| Equity of minority shareholders | ||
| Total of owner's equity | 5,108,051,020.43 | 5,042,146,076.42 |
| Total liabilities and owner's equity | 7,327,573,419.58 | 7,478,439,747.77 |
Legal representative: Deng Yingzhong Person in charge of accounting: Dong YePerson in charge of Accounting Department: Xu Xianjing
2. The parent company's balance sheet
Unit: RMB
| Item | March 31, 2021 | December 31, 2020 |
| Current assets: | ||
| Monetary funds | 58,660,362.44 | 170,229,178.13 |
| Tradable financial assets | ||
| Derivative financial assets | ||
| Notes receivable | ||
| Accounts receivable | 114,890,880.36 | 92,647,372.33 |
| Accounts receivable financing |
| Prepayments | 6,613,323.00 | 7,940,396.34 |
| Other receivables | 112,236,377.44 | 136,987,584.64 |
| Including: Interest receivable | ||
| Dividends receivable | ||
| Inventory | 174,988,033.51 | 156,605,546.36 |
| Contract assets | ||
| Assets held for sale | ||
| Non-current assets due within one year | ||
| Other current assets | 11,603,291.93 | 52,517,725.87 |
| Total current assets | 478,992,268.68 | 616,927,803.67 |
| Non-current assets: | ||
| Creditor's right investment | ||
| Investment in other creditor's rights | ||
| Long-term receivable | ||
| Long-term equity investment | 1,932,117,712.39 | 1,928,113,219.50 |
| Investment in other equity instruments | ||
| Other non-current financial assets | ||
| Investment property | 17,744,646.64 | 17,939,329.51 |
| Fixed assets | 253,093,649.92 | 257,354,688.59 |
| Construction work in progress | 558,114.82 | |
| Productive biological assets | ||
| Oil & gas assets | ||
| Right-of-use assets | 2,259,589.13 | |
| Intangible assets | 25,067,112.23 | 25,205,232.21 |
| Development expenses | ||
| Goodwill | ||
| Long-term deferred expenses | ||
| Deferred income tax assets | 47,647,963.99 | 46,811,106.77 |
| Other non-current assets | 6,293,364.06 | 2,619,959.27 |
| Total non-current assets | 2,284,782,153.18 | 2,278,043,535.85 |
| Total assets | 2,763,774,421.86 | 2,894,971,339.52 |
| Current liabilities: |
| Short-term loans | ||
| Tradable financial liabilities | ||
| Derivate financial liabilities | ||
| Notes payable | ||
| Accounts payable | 492,306,632.72 | 420,061,168.44 |
| Payments received in advance | ||
| Contract liabilities | 43,022,494.24 | 17,388,431.01 |
| Employee remuneration payable | 26,229,673.50 | 44,678,713.21 |
| Tax and fees payable | 3,234,718.11 | 5,995,417.05 |
| Other payables | 120,618,793.28 | 126,072,040.24 |
| Including: Interests payable | ||
| Dividends payable | 1,437,466.77 | 1,437,466.77 |
| Liabilities held for sale | ||
| Non-current liabilities due within one year | ||
| Other non-current liabilities | 5,592,924.25 | 2,260,496.03 |
| Total current liabilities | 691,005,236.10 | 616,456,265.98 |
| Non-current liabilities: | ||
| Long-term loans | ||
| Bonds payable | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Lease liabilities | 2,346,314.95 | |
| Long-term payable | ||
| Long-term employee remuneration payable | ||
| Estimated liabilities | ||
| Deferred income | 5,553,629.39 | 5,855,467.25 |
| Deferred income tax liabilities | 7,333,819.50 | 7,202,336.33 |
| Other non-current liabilities | ||
| Total non-current liabilities | 15,233,763.84 | 13,057,803.58 |
| Total liabilities | 706,238,999.94 | 629,514,069.56 |
| Owner's equity: | ||
| Share capital | 1,311,948,555.00 | 1,311,487,077.00 |
| Other equity instruments |
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Capital reserve | 842,139,050.52 | 831,693,206.19 |
| Less: Treasury shares | 312,606,092.57 | 96,480,911.29 |
| Other comprehensive income | ||
| Special reserves | ||
| Surplus reserves | 61,347,923.99 | 61,347,923.99 |
| Undistributed profits | 154,705,984.98 | 157,409,974.07 |
| Total of owner's equity | 2,057,535,421.92 | 2,265,457,269.96 |
| Total liabilities and owner's equity | 2,763,774,421.86 | 2,894,971,339.52 |
3. Consolidated income statement
Unit: RMB
| Item | Incurred in the current period | Incurred in the previous period |
| I. Total Operating Income | 2,102,126,213.63 | 1,670,909,073.75 |
| Including: Operating income | 2,102,126,213.63 | 1,670,909,073.75 |
| Interest income | ||
| Earned premium | ||
| Service charge and commission income | ||
| II. Total Operating Costs | 1,780,296,793.30 | 1,443,987,930.50 |
| Including: Operating costs | 1,251,617,377.48 | 916,944,038.53 |
| Interest expenses | ||
| Service charge and commission expenses | ||
| Surrender value | ||
| Net compensation expenses | ||
| Net appropriation of reserves for insurance liability contracts | ||
| Policy dividend payment | ||
| Reinsurance costs | ||
| Tax and surcharges | 14,137,632.18 | 12,952,751.31 |
| Selling expenses | 390,859,318.46 | 377,690,524.15 |
| Administrative expenses | 80,160,355.50 | 93,755,794.93 |
| R&D expenses | 46,934,742.68 | 40,578,693.56 |
| Finance expenses | -3,412,633.00 | 2,066,128.02 |
| Including: Interest expenses | 560,643.01 | 886,702.91 |
| Interest income | 3,557,538.70 | 2,142,682.61 |
| Plus: Other income | 5,114,016.80 | 3,519,078.96 |
| Return on investment ("-" indicates loss) | 307,027.09 | 722,800.10 |
| Including: Return on investment in associates and joint ventures | ||
| Profit from derecognition of financial assets measured at amortized cost | ||
| Exchange gains ("-" indicates loss) | ||
| Gains from net exposure hedging ("-" indicates loss) | ||
| Gains from changes in fair value ("-" indicates loss) | ||
| Credit impairment losses ("-" indicates loss) | 4,712,725.04 | 1,396,589.35 |
| Asset impairment losses ("-" indicates loss) | -2,120,452.13 | -922,370.72 |
| Return on disposal of assets ("-" indicates loss) | 49,228.12 | -283,390.21 |
| III. Operating Profit ("-" indicates loss) | 329,891,965.25 | 231,353,850.73 |
| Plus: Non-operating income | 736,192.94 | 2,324,748.55 |
| Less: Non-operating expenditure | 1,565,921.89 | 11,390,751.39 |
| IV. Total Profit ("-" indicates total loss) | 329,062,236.30 | 222,287,847.89 |
| Less: Income tax expense | 57,939,433.31 | 38,858,330.54 |
| V. Net Profit ("-" indicates net loss) | 271,122,802.99 | 183,429,517.35 |
| i. Classified by business continuity | ||
| 1. Net profit from continued operation ("-" indicates net loss) | 271,122,802.99 | 183,429,517.35 |
| 2. Net profit from discontinued operation ("-" indicates net loss) | ||
| ii. Classified by attribution of ownership |
| 1. Net profit attributable to shareholders of the parent company | 271,122,802.99 | 183,429,517.35 |
| 2. Minority shareholders' profits and losses | ||
| VI. Net Amount of Other Comprehensive Income after Tax | ||
| Total other comprehensive after-tax net income attributable to the owner of parent company | ||
| i. Other comprehensive income not to be reclassified into the profit or loss | ||
| 1. Changes of re-measurement of the defined benefit plan | ||
| 2. Other comprehensive income not to be transferred into the profit or loss under equity method | ||
| 3. Changes in fair value of investment in other equity instruments | ||
| 4. Changes in fair value of the credit risk of the Company | ||
| 5. Others | ||
| ii. Other comprehensive income to be reclassified to profit or loss | ||
| 1. Other comprehensive income to be transferred into the profit or loss under equity method | ||
| 2. Changes in fair value of investment in other creditor's rights | ||
| 3. Amount of financial assets reclassified into other comprehensive income | ||
| 4. Impairment provision for credit of investment in other creditor's rights | ||
| 5. Reserve of cash flow hedge | ||
| 6. Converted difference in foreign currency financial statements |
| 7. Others | ||
| Total other comprehensive after-tax net income attributable to minority shareholders | ||
| VII. Total Comprehensive Income | 271,122,802.99 | 183,429,517.35 |
| Total comprehensive income attributable to the owner of parent company | 271,122,802.99 | 183,429,517.35 |
| Total comprehensive income attributable to minority shareholders | ||
| VIII. Earnings per Share: | ||
| i. Basic earnings per share | 0.2091 | 0.1426 |
| ii. Diluted earnings per share | 0.2058 | 0.1395 |
As for business combination under the same control in the current period, the net profit realized by the combinedparty before the combination was RMB0.00, while the net profit realized by the combined party in the previousperiod was RMB0.00.Legal representative: Deng Yingzhong Person in charge of accounting: Dong Ye Person in charge ofAccounting Department: Xu Xianjing
4. Income statement of the parent company
Unit: RMB
| Item | Incurred in the current period | Incurred in the previous period |
| I. Operating Income | 447,300,982.24 | 406,109,605.13 |
| Less: Operating costs | 378,378,693.16 | 342,563,310.35 |
| Tax and surcharges | 949,663.71 | 1,091,678.03 |
| Selling expenses | 39,983,979.55 | 30,589,489.96 |
| Administrative expenses | 32,359,337.10 | 44,514,047.60 |
| R&D expenses | ||
| Finance expenses | -154,557.38 | 1,151,308.04 |
| Including: Interest expenses | 28,512.79 | |
| Interest income | 509,578.08 | 1,342,703.24 |
| Plus: Other income | 1,192,120.03 | 323,587.86 |
| Return on investment ("-" indicates loss) | 307,027.09 | 80,722,800.10 |
| Including: Return on investment in associates and joint ventures | ||
| Profit from derecognition of financial assets measured at amortized cost ("-" indicates loss) | ||
| Gains from net exposure hedging ("-" indicates loss) | ||
| Gains from changes in fair value ("-" indicates loss) | ||
| Credit impairment losses ("-" indicates loss) | 502,372.51 | -75,947.35 |
| Asset impairment losses ("-" indicates loss) | 91,838.17 | -460,974.81 |
| Return on disposal of assets ("-" indicates loss) | ||
| II. Operating Profit ("-" indicates loss) | -2,122,776.10 | 66,709,236.95 |
| Plus: Non-operating income | 84,455.65 | 297,750.25 |
| Less: Non-operating expenditure | 1,371,042.69 | 11,021,394.65 |
| III. Total Profit ("-" indicates total loss) | -3,409,363.14 | 55,985,592.55 |
| Less: Income tax expense | -705,374.05 | -3,797,825.55 |
| IV. Net Profit ("-" indicates net loss) | -2,703,989.09 | 59,783,418.10 |
| i. Net profit from continued operation ("-" indicates net loss) | -2,703,989.09 | 59,783,418.10 |
| ii. Net profit from discontinued operation ("-" indicates net loss) | ||
| V. Net Amount of Other Comprehensive Income after Tax | ||
| i. Other comprehensive income not to be reclassified into the profit or loss | ||
| 1. Changes of re-measurement of the defined benefit plan | ||
| 2. Other comprehensive income not to be transferred into the profit or loss under equity method |
| 3. Changes in fair value of investment in other equity instruments | ||
| 4. Changes in fair value of the credit risk of the Company | ||
| 5. Others | ||
| ii. Other comprehensive income to be reclassified to profit or loss | ||
| 1. Other comprehensive income to be transferred into the profit or loss under equity method | ||
| 2. Changes in fair value of investment in other creditor's rights | ||
| 3. Amount of financial assets reclassified into other comprehensive income | ||
| 4. Impairment provision for credit of investment in other creditor's rights | ||
| 5. Reserve of cash flow hedge | ||
| 6. Converted difference in foreign currency financial statements | ||
| 7. Others | ||
| VI. Total Comprehensive Income | -2,703,989.09 | 59,783,418.10 |
| VII. Earnings per Share: | ||
| i. Basic earnings per share | ||
| ii. Diluted earnings per share |
5. Consolidated cash flow statement
Unit: RMB
| Item | Incurred in the current period | Incurred in the previous period |
| I. Cash Flow from Operating Activities: | ||
| Cash received from sale of goods or rendering of services | 2,255,658,189.93 | 1,672,054,264.73 |
| Net increase in deposits from customers, banks and non-bank |
| financial institutions | ||
| Net increase in borrowings from the central bank | ||
| Net increase in placements from other financial institutions | ||
| Cash received from the premium of direct insurance contracts | ||
| Net cash from reinsurance business | ||
| Net increase in deposits and investment of the insured | ||
| Cash received from interest, service charge and commission | ||
| Net increase in placements from banks and other financial institutions | ||
| Net increase in repo service fund | ||
| Net cash received from securities trading agency | ||
| Tax rebates | 120,214.00 | |
| Cash received from other operating activities | 36,911,315.21 | 21,403,763.99 |
| Sub-total of cash inflow from operating activities | 2,292,569,505.14 | 1,693,578,242.72 |
| Cash paid for goods purchased and services rendered | 1,359,556,274.91 | 888,779,545.70 |
| Net increase in loans and advances to customers | ||
| Net increase in deposits with the central bank, banks and non-bank financial institutions | ||
| Cash paid for claims of direct insurance contracts | ||
| Net increase in loans to banks and other financial institutions | ||
| Cash paid for interest, service charge, and commission | ||
| Cash paid for policy dividends |
| Cash paid to and on behalf of employees | 246,734,126.07 | 184,701,622.03 |
| Tax payments | 142,572,370.03 | 108,544,799.85 |
| Cash paid for other operating activities | 208,801,567.90 | 181,004,540.57 |
| Sub-total of cash outflow from operating activities | 1,957,664,338.91 | 1,363,030,508.15 |
| Net cash flow from operating activities | 334,905,166.23 | 330,547,734.57 |
| II. Cash Flow from Investing Activities: | ||
| Cash from realization of investment | ||
| Cash received from the return on investment | 307,027.09 | 722,800.10 |
| Net cash received from the disposal of fixed assets, intangible assets and other long-term assets | 9,758,000.00 | 10,050,008.00 |
| Net cash received from the disposal of subsidiaries and other business units | ||
| Cash received from other investing activities | 50,000,000.00 | 127,105,000.00 |
| Sub-total of cash inflow from investing activities | 60,065,027.09 | 137,877,808.10 |
| Cash paid for the acquisition and construction of fixed assets, intangible assets, and other long-term assets | 177,953,975.15 | 117,260,806.49 |
| Cash paid for investments | ||
| Net increase in pledged loans | ||
| Net cash paid for acquisition of subsidiaries and other business units | ||
| Cash paid for other investing activities | 10,029,000.00 | 170,000,000.00 |
| Sub-total of cash outflow from investing activities | 187,982,975.15 | 287,260,806.49 |
| Net cash flow from investing | -127,917,948.06 | -149,382,998.39 |
| activities | ||
| III. Cash Flow from Financing Activities: | ||
| Cash received from capital contribution | 10,255,276.29 | |
| Including: Cash received by subsidiaries from minority shareholders' investments | ||
| Cash received from borrowings | 95,151,546.69 | |
| Cash received from other financing activities | ||
| Sub-total of cash inflow from financing activities | 10,255,276.29 | 95,151,546.69 |
| Cash paid for repayment of debts | 52,896,691.35 | 134,717,045.18 |
| Cash paid for distribution of dividends or profits or payment of interests | 440,172.97 | 965,643.55 |
| Including: Dividend and profit paid by subsidiaries to minority shareholders | ||
| Cash paid for other financing activities | 224,755,027.30 | 33,426,051.93 |
| Sub-total of cash outflow from financing activities | 278,091,891.62 | 169,108,740.66 |
| Net cash flow from financing activities | -267,836,615.33 | -73,957,193.97 |
| IV. Effect of Exchange Rate Changes on Cash and Cash Equivalents | 1,326,022.34 | 2,286,932.39 |
| V. Net Increase in Cash and Cash Equivalents | -59,523,374.82 | 109,494,474.60 |
| Plus: Opening balance of cash and cash equivalents | 1,050,034,135.72 | 675,996,852.97 |
| VI. Closing Balance of Cash and Cash Equivalents | 990,510,760.90 | 785,491,327.57 |
6. Parent company's cash flow statement
Unit: RMB
| Item | Incurred in the current period | Incurred in the previous period |
| I. Cash Flow from Operating Activities: | ||
| Cash received from sale of goods or rendering of services | 459,279,877.09 | 274,221,947.20 |
| Tax rebates | 120,214.00 | |
| Cash received from other operating activities | 206,478,306.23 | 720,300,142.13 |
| Sub-total of cash inflow from operating activities | 665,758,183.32 | 994,642,303.33 |
| Cash paid for goods purchased and services rendered | 321,637,813.09 | 231,873,371.92 |
| Cash paid to and on behalf of employees | 68,751,954.65 | 40,229,895.53 |
| Tax payments | 8,870,082.75 | 8,477,664.12 |
| Cash paid for other operating activities | 204,169,046.71 | 95,603,845.89 |
| Sub-total of cash outflow from operating activities | 603,428,897.20 | 376,184,777.46 |
| Net cash flow from operating activities | 62,329,286.12 | 618,457,525.87 |
| II. Cash Flow from Investing Activities: | ||
| Cash from realization of investment | ||
| Cash received from the return on investment | 307,027.09 | 80,722,800.10 |
| Net cash received from the disposal of fixed assets, intangible assets and other long-term assets | ||
| Net cash received from the disposal of subsidiaries and other business units | ||
| Cash received from other investing activities | 50,000,000.00 | 127,105,000.00 |
| Sub-total of cash inflow from investing activities | 50,307,027.09 | 207,827,800.10 |
| Cash paid for the acquisition and construction of fixed assets, intangible assets, and other long-term assets | 7,306,397.30 | 9,180,427.34 |
| Cash paid for investments | 1,000,000.00 | 665,600,000.00 |
| Net cash paid for acquisition of subsidiaries and other business units | ||
| Cash paid for other investing activities | 10,029,000.00 | 150,000,000.00 |
| Sub-total of cash outflow from investing activities | 18,335,397.30 | 824,780,427.34 |
| Net cash flow from investing activities | 31,971,629.79 | -616,952,627.24 |
| III. Cash Flow from Financing Activities: | ||
| Cash received from capital contribution | 10,255,276.29 | |
| Cash received from borrowings | ||
| Cash received from other financing activities | ||
| Sub-total of cash inflow from financing activities | 10,255,276.29 | |
| Cash paid for repayment of debts | ||
| Cash paid for distribution of dividends or profits or payment of interests | ||
| Cash paid for other financing activities | 220,920,044.17 | 28,006,035.43 |
| Sub-total of cash outflow from financing activities | 220,920,044.17 | 28,006,035.43 |
| Net cash flow from financing activities | -210,664,767.88 | -28,006,035.43 |
| IV. Effect of Exchange Rate Changes on Cash and Cash Equivalents | 173.39 | -2,758.13 |
| V. Net Increase in Cash and Cash Equivalents | -116,363,678.58 | -26,503,894.93 |
| Plus: Opening balance of cash and | 169,851,203.76 | 156,151,560.82 |
| cash equivalents | ||
| VI. Closing Balance of Cash and Cash Equivalents | 53,487,525.18 | 129,647,665.89 |
II. Explanation of the Adjustment in Financial Statements
1. Adjustment of relevant items of financial statements at the beginning of the year for the first timeaccording to the implementation of new leasing standards for the first time since 2021
□ Applicable √ Inapplicable
2. Explanation of retrospective adjustment of previous comparative data according to the implementationof new leasing standards for the first time since 2021
□ Applicable √ Inapplicable
III. Audit ReportWhether the Q1 report has been audited
□ Yes √ No
The Q1 report of the Company has not been audited.