Sino Great Wall Co., Ltd.
The Third Quarterly Report 2018
October 2018
1 Important Notice
The Board of Directors ,Supervisory Committee, all directors, supervisors and senior executives of the Companyhereby guarantees that there are no misstatement, misleading representation or important omissions in this reportand shall assume joint and several liability for the authenticity, accuracy and completeness of the contents hereof.
All the directors attended the board meeting for reviewing the Quarterly Report.
Mr.Chen Lue, Person in charge of the Company, Mr.Tang Xianyong, Chief financial officer and the Mr. Tang
Xianyong, the person in charge of the accounting department (the person in charge of the accounting )herebyconfirm the authenticity and completeness of the financial report enclosed in this Quarterly Report.
II. Basic information about the company
I.Main financial data and financial indexIndicate by tick mark whether the Company needs to retroactively restate any of its accounting data.
□ Yes √ No
| As at the end of the reporting period | As at the end of last year | Changed （%）over end of prev. year | ||||
| Gross assets（Yuan） | 10,995,887,423.35 | 11,667,845,186.30 | -5.76% | |||
| Net assets attributable to the shareholders of the listed company（Yuan） | 2,085,798,371.28 | 2,151,482,467.52 | -3.05% | |||
| Reporting period | Increase/decrease over the same period of last year（%） | Between beginning of the year to the end of the report period | Changed （%）over end of prev. year | |||
| Operating income（Yuan） | 672,083,613.81 | -59.52% | 2,259,055,189.05 | -51.78% | ||
| Net profit attributable to the shareholders of the listed company（Yuan） | -118,516,821.76 | -183.55% | 25,482,633.97 | -93.79% | ||
| Net profit after deducting of non-recurring gain/loss attributable to the shareholders of listed company（Yuan） | -144,157,168.16 | -201.54% | -178,741,907.03 | -143.93% | ||
| Cash flow generated by business operation, net（Yuan） | -- | -- | 1,287,313,317.95 | 263.90% | ||
| Basic earning per share(Yuan/Share) | -0.0698 | -183.59% | 0.0150 | -93.75% | ||
| Diluted gains per share(Yuan/Share) | -0.0698 | -183.59% | 0.0150 | -93.75% | ||
| Weighted average income/asset ratio（%） | -5.52% | -12.61% | 1.20% | -20.29% | ||
Items and amount of non-current gains and losses
√ Applicable □ Not applicable
In RMB yuan
| Items | Amount (Year-beginning to the end of the report period.) | Notes |
| Non-current asset disposal gain/loss(including the write-off part for which assets impairment provision is made) | -641,051.32 | |
| Income from the exceeding part between investment cost of the Company paid for obtaining subsidiaries, associates and joint-ventures and recognizable net assets fair value attributable to the Company when acquiring the investment | 70,486,755.72 | Mainly due to the acquisition of Baden-Baden Hospital evaluation value-added |
| Net amount of non-operating income and expense except the | 134,378,836.60 | Mainly due to the Land |
| aforesaid items | compensation paid by Union Holdings | |
| Total | 204,224,541.00 | -- |
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition inthe Explanatory Announcement No.1 on Information Disclosure for Companies Offering Their Securities to thePublic-Extraordinary Gains and Losses, or classifies any extraordinary gain/loss item mentioned in the saidexplanatory announcement as a recurrent gain/loss item.
□ Applicable √Not applicable
None of Non-recurring gain /loss items recognized as recurring gain /loss/items as defined by the information
disclosure explanatory Announcement No.1- Non –recurring gain/loss in the report period.
II.Total Shareholders and Shares Held by Top Ten Shareholders at the End of the Reporting Period1. About Total Common Shareholders, Total Preference Shareholders with the Voting Power Recoveredand the Shares Held by Top Ten Common Shareholders
In shares
| Total number of common shareholders at the period-end | 71,164 | Total preference shareholders with the voting power recovered at the end of the reporting period(if any) | 0 | |||||
| Shares held by the top 10 shareholders | ||||||||
| Shareholder name | Properties of shareholder | Share proportion % | Quantity | Amount of tradable shares with Conditional held | Pledging or freezing | |||
| Status of the shares | Quantity | |||||||
| Chen Lue | Domestic Natural person | 34.36% | 583,454,556 | 581,340,196 | freeze | 583,454,556 | ||
| STYLE-SUCCESS LIMITED | Foreign legal person | 5.47% | 92,970,910 | |||||
| Union Holdings Co., Ltd. | Domestic Non- State-owned legal person | 5.18% | 87,935,921 | |||||
| He Feiyan | Domestic Natural person | 3.23% | 54,800,458 | 54,800,458 | freeze | 54,800,458 | ||
| Jiutai Fund－Bank of Communications－Jiutai Huitong No.2 specific customer asset management | Other | 2.50% | 42,479,672 | 42,479,672 | ||||
| plan | ||||||
| Rich Crown Investment Co., Ltd. | Foreign legal person | 1.37% | 23,235,313 | |||
| Qinghai Heyi Industry Development Co.,Ltd/ | Domestic Non- State-owned legal person | 0.79% | 13,357,084 | Pledge | 13,357,000 | |
| Huang Huaian | Domestic Natural person | 0.72% | 12,288,800 | |||
| Li Guanping | Domestic Natural person | 0.49% | 8,236,700 | |||
| Zheng Qianghui | Domestic Natural person | 0.35% | 6,000,026 | |||
| Shares held by the Top 10 Shareholders of Non-restricted shares | ||||||
| Name of the shareholder | Quantity of unrestricted shares held at the end of the reporting period | Share type | ||||
| Share type | Quantity | |||||
| STYLE-SUCCESS LIMITED | 92,970,910 | Foreign shares placed in domestic exchange | 92,970,910 | |||
| Union Holdings Co., Ltd. | 87,935,921 | RMB Common shares | 87,935,921 | |||
| Rich Crown Investment Co., Ltd. | 23,235,313 | Foreign shares placed in domestic exchange | 23,235,313 | |||
| Qinghai Heyi Industry Development Co.,Ltd/ | 13,357,084 | RMB Common shares | 13,357,084 | |||
| Huang Huaian | 12,288,800 | RMB Common shares | 12,288,800 | |||
| Li Guanping | 8,236,700 | RMB Common shares | 8,236,700 | |||
| Zheng Qianghui | 6,000,026 | RMB Common shares | 6,000,026 | |||
| Chen Cheng | 6,000,000 | RMB Common shares | 6,000,000 | |||
| Jiangxi Kangfu Real Estate Co., Ltd. | 5,700,000 | RMB Common shares | 5,700,000 | |||
| Chen Lihong | 4,775,760 | Foreign shares placed in domestic exchange | 4,775,760 | |||
| Explanation on associated relationship or concerted action of the above shareholders | The above shareholder Mr. Chen Lu and the shareholder Ms. He Feiyan are acting in concert; the shareholder “Union Holdings Co., Ltd.”and the shareholder “Rich Crown Investment Co., Ltd.”, whose controlling shareholder is “Union Development Group Co.,Ltd.”. whether the other shareholders have associated relations are unknown. |
| Note to the top 10 common stockholders involved in margin financing & securities lending (If any) | Nil |
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have abuy-back agreement dealing in reporting period.
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy –back agreement dealing in reporting period.
2.Total number of preferred shareholders and shareholding of top 10 preferred shareholders by the end ofthe report period
□ Applicable √Not applicable
III. Significant EventsI. Major changes of main accounting statement items and financial indicators in the reporting period, aswell as reasons for the changes
√ Applicable □ Not applicable
| Items | This period/Year-end balance | Same period of the previous year/Year-beginning balance | Changes % | Remarks on the change |
| Notes receivable | 447,177,239.41 | 288,201,562.88 | 55.16% | Mainly due to the increase of company bill collection. |
| Fixed assets | 327,340,997.07 | 174,537,150.56 | 87.55% | Mainly due to the merger of Acura Kliniken Baden-Baden GmbH |
| Construction in progress | 437,000.00 | 4,968,590.96 | -91.20% | Mainly due to installation of overseas equipment |
| Other account payable | 1,395,803,754.30 | 537,070,684.98 | 159.89% | Mainly due to the increase in short-term capital borrowing. |
| Non-current liability due in 1 year | 1,192,851,267.22 | 820,422,471.45 | 45.39% | Mainly due to the maturity of the loan in the coming year. |
| Long-term Borrowing | 150,000,000.00 | 843,092,471.02 | -82.21% | Mainly due to the maturity of the loan in the coming year. |
| Deferred tax liability | 51,894,878.61 | 26,088,961.71 | 98.92% | Mainly due to the merger of Acura Kliniken Baden-Baden GmbH |
| Business income | 2,259,055,189.05 | 4,685,207,526.32 | -51.78% | Mainly for the national credit tightening, the tight capital led to the company's business contraction, the project progressed slowly. |
| Business cost | 1,970,673,537.82 | 3,657,257,165.36 | -46.12% | Due to reduced operating income. |
| Financial expenses | 400,405,629.14 | 132,272,854.08 | 202.71% | Due to the increased Long-term and short-term borrowing. |
| Income tax expenses | 7,699,247.03 | 81,101,852.86 | -90.51% | Due to reduced profits. |
| Net cash flow generated by operation activities | 1,287,313,317.95 | -785,444,322.16 | -263.90% | Mainly because the current payment is better. |
| Net cash flow generated by investment activities | -351,491,732.24 | -606,720,595.95 | -42.07% | Mainly due to reduced investment. |
| Net cash flow generated by financing activities | -1,424,770,406.23 | 1,616,558,862.59 | -188.14% | Mainly due to the repayment of loans in the current period. |
II. The progress of significant events and influence, as well as the analysis and explanation on resolvingproposal.
□ Applicable √ Not applicable
III. Commitments finished in implementation by the Company, shareholders, actual controller, acquirer,directors, supervisors, senior executives or other related parties in the reporting period and commitmentsunfinished in implementation at the end of the reporting period
□ Applicable √ Not applicable
The company has no commitments completed in period and those without completed till lend of the period fromactual controller, shareholders, related parties, purchaser and companies.IV. Anticipation of Business Performance of 2018Alert of loss or significant change in net profit from the beginning of year to the end of next report period orcomparing with the same period of last year, and statement of causations.
□ Applicable √ Not applicable
V. Investment in securities
□ Applicable √ Not applicable
No securities investment in period.VI. Entrusted Financial Management
□ Applicable √ Not applicable
No securities investment in period.VII. Investment in derivatives
□ Applicable √Not applicable
There is no derivative investment during the report period.VIII. The registration form of acceptance of investigation, communication and interview in the reportperiod for future reference
□ Applicable √ Not applicable
The Period has no research, communication and written inquiry from the investors in the report period.IX. External guarantee get out of line
□ Applicable √Not applicable
The Company has no external guarantee get out of the line in the PeriodX. Controlling shareholder and its related parties occupying non-business capital of the listed company
□ Applicable √Not applicable
There are no controlling shareholder and its related parties occupying non-business capital of the listed companyin Period
IV. Financial StatementI. Financial statement1. Consolidated balance sheet
Prepared by：Sino Great Wall Co., Ltd.
September 30,2018
In RMB yuan
| Items | At the end of term | Beginning of term |
| Current asset： | ||
| Monetary fund | 1,222,691,983.34 | 1,604,973,916.12 |
| Settlement provision | ||
| Outgoing call loan | ||
| Financial assets measured at fair value with variations accounted into current income account | ||
| Derivative financial assets | ||
| Notes receivable and account receivable | 5,668,909,779.12 | 5,994,876,806.96 |
| Including： Notes receivable | 447,177,239.41 | 288,201,562.88 |
| Account receivable | 5,221,732,539.71 | 5,706,675,244.08 |
| Advance payment | 246,095,408.35 | 225,208,527.88 |
| Insurance receivable | ||
| Reinsurance receivable | ||
| Provisions of Reinsurance contracts receivable | ||
| Other account receivable | 1,180,185,927.08 | 1,674,675,360.28 |
| Repurchasing of financial assets | ||
| Inventories | 748,555,829.35 | 556,839,325.50 |
| Assets held for sales | ||
| Non-current asset due in 1 year | ||
| Other current asset | 15,868,715.23 | 17,126,911.05 |
| Total of current assets | 9,082,307,642.47 | 10,073,700,847.79 |
| Non-current assets： | ||
| Loans and payment on other’s behalf disbursed | ||
| Available for sale of financial assets | 10,338,500.00 | 10,338,500.00 |
| Expired investment in possess | ||
| Long-term receivable | 16,780,123.46 | 14,328,557.82 |
| Long term share equity investment | ||
| Property investment | ||
| Fixed assets | 327,340,997.07 | 174,537,150.56 |
| Construction in progress | 437,000.00 | 4,968,590.96 |
| Production physical assets | ||
| Gas & petrol | ||
| Intangible assets | 146,102,050.94 | 127,524,445.00 |
| development expenses | ||
| Goodwill | 57,769,954.64 | 64,494,271.55 |
| Long-germ expenses to be amortized | 9,183,168.42 | 10,124,913.15 |
| Deferred income tax asset | 116,582,099.44 | 118,233,337.36 |
| Other non-current asset | 1,229,045,886.91 | 1,069,594,572.11 |
| Total of non-current assets | 1,913,579,780.88 | 1,594,144,338.51 |
| Total of assets | 10,995,887,423.35 | 11,667,845,186.30 |
| Current liabilities |
| Short-term loans | 2,409,540,278.76 | 3,477,200,420.55 |
| Loan from Central Bank | ||
| Deposit received and hold for others | ||
| Call loan received | ||
| Financial liabilities measured at fair value with variations accounted into current income account | ||
| Derivative financial liabilities | ||
| Notes payable and account payable | 2,517,689,190.38 | 2,626,177,075.77 |
| Advance receipts | 125,579,343.25 | 146,379,852.67 |
| Selling of repurchased financial assets | ||
| Fees and commissions receivable | ||
| Employees’ wage payable | 60,753,902.81 | 21,911,542.07 |
| Tax payable | 475,002,266.80 | 357,445,477.71 |
| Other account payable | 1,395,803,754.30 | 537,070,684.98 |
| Reinsurance fee payable | ||
| Insurance contract provision | ||
| Entrusted trading of securities | ||
| Entrusted selling of securities | ||
| Liabilities held for sales | ||
| Non-current liability due in 1 year | 1,192,851,267.22 | 820,422,471.45 |
| Other current liability | 121,529,600.95 | |
| Total of current liability | 8,177,220,003.52 | 8,108,137,126.15 |
| Non-current liabilities： | ||
| Long-term loan | 150,000,000.00 | 843,092,471.02 |
| Bond payable | 345,000,000.00 | 345,000,000.00 |
| Including：preferred stock | ||
| Sustainable debt | ||
| Long-term payable | 62,606,067.75 | 81,945,567.86 |
| Long-term payable employee’s remuneration | ||
| Expected liabilities | 2,958,723.15 | 3,414,189.15 |
| Deferred income | 5,890,413.95 | |
| Deferred income tax liability | 51,894,878.61 | 26,088,961.71 |
| Other non-current liabilities | ||
| Total non-current liabilities | 618,350,083.46 | 1,299,541,189.74 |
| Total of liability | 8,795,570,086.98 | 9,407,678,315.89 |
| Owners’ equity | ||
| Share capital | 1,698,245,011.00 | 1,698,245,011.00 |
| Other equity instrument | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Capital reserves | -1,299,349,701.74 | -1,299,349,701.74 |
| Less：Shares in stock | ||
| Other comprehensive income | 595,233.77 | 858,242.13 |
| Special reserves | 137,193,764.46 | 164,231,078.18 |
| Surplus reserves | 84,394,441.23 | 84,394,441.23 |
| Common risk provision | ||
| Retained profit | 1,464,719,622.56 | 1,503,103,396.72 |
| Total of owner’s equity belong to the parent company | 2,085,798,371.28 | 2,151,482,467.52 |
| Minority shareholders’ equity | 114,518,965.09 | 108,684,402.89 |
| Total of owners’ equity | 2,200,317,336.37 | 2,260,166,870.41 |
| Total of liabilities and owners’ equity | 10,995,887,423.35 | 11,667,845,186.30 |
Legal Representative: Chen Lue Person in charge of accounting：Tang Xianyong Accounting Dept Leader: Tang Xianyong
2.Parent Company Balance Sheet
In RMB yuan
| Items | At the end of term | Beginning of term |
| Current asset： | ||
| Monetary fund | 243,505,951.54 | 407,959,304.60 |
| Financial assets measured at fair value with variations accounted into current income account | ||
| Derivative financial assets | ||
| Notes receivable and account receivable | ||
| Including：Notes receivable | ||
| Account receivable | ||
| Advance payment | 3,865,500.01 | |
| Other account receivable | 2,806,035,781.56 | 3,690,967,483.22 |
| Inventories | ||
| Assets held for sales | ||
| Non-current asset due in 1 year | ||
| Other current asset | 2,175,646.45 | |
| Total of current assets | 3,049,541,733.10 | 4,104,967,934.28 |
| Non-current assets： | ||
| Available for sale of financial assets | ||
| Expired investment in possess | ||
| Long-term receivable | ||
| Long term share equity investment | 3,311,211,536.66 | 3,311,211,536.66 |
| Property investment | ||
| Fixed assets | 44,308.72 | 52,246.48 |
| Construction in progress | ||
| Production physical assets | ||
| Gas & petrol |
| Intangible assets | ||
| Development expenses | ||
| Goodwill | ||
| Long-germ expenses to be amortized | 2,216,225.79 | 168,284.84 |
| Deferred income tax asset | ||
| Other non-current asset | 787,328,020.00 | 550,524,570.00 |
| Total of non-current assets | 4,100,800,091.17 | 3,861,956,637.98 |
| Total of assets | 7,150,341,824.27 | 7,966,924,572.26 |
| Current liabilities | ||
| Short-term loans | 1,541,182,123.93 | 2,287,870,000.00 |
| Financial liabilities measured at fair value with variations accounted into current income account | ||
| Derivative financial liabilities | ||
| Notes payable and account payable | 388,227,578.11 | 537,227,578.11 |
| Advance receipts | ||
| Employees’ wage payable | 4,533,410.16 | 1,580,335.12 |
| Tax payable | 94,478,087.53 | 97,124,633.81 |
| Other account payable | 990,089,993.91 | 392,422,663.75 |
| Classified as held for sale debt | ||
| Non-current liability due in 1 year | 1,176,250,000.00 | 700,000,000.00 |
| Other current liability | ||
| Total of current liability | 4,194,761,193.64 | 4,016,225,210.79 |
| Non-current liabilities： | ||
| Long-term loan | 800,000,000.00 | |
| Bond payable | 100,000,000.00 | 100,000,000.00 |
| Including：preferred stock | ||
| Sustainable debt | ||
| Long-term payable | ||
| Long-term payable to employees | ||
| Expected liabilities | ||
| Deferred income | ||
| Deferred income tax liability | ||
| Other non-current liabilities | ||
| Total of Non-current liabilities | 100,000,000.00 | 900,000,000.00 |
| Total of liability | 4,294,761,193.64 | 4,916,225,210.79 |
| Owners’ equity | ||
| Share capital | 1,698,245,011.00 | 1,698,245,011.00 |
| Other equity instrument | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Capital reserves | 1,237,956,472.37 | 1,237,956,472.37 |
| Less：Shares in stock | ||
| Other comprehensive income | ||
| Special reserves | ||
| Surplus reserves | 26,309,287.00 | 26,309,287.00 |
| Retained profit | -106,930,139.74 | 88,188,591.10 |
| Total of owners’ equity | 2,855,580,630.63 | 3,050,699,361.47 |
| Total of liabilities and owners’ equity | 7,150,341,824.27 | 7,966,924,572.26 |
3.Consolidated Income statement of the Report period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I. Total revenue | 672,083,613.81 | 1,660,125,169.52 |
| Incl：Business income | 672,083,613.81 | 1,660,125,169.52 |
| Interest income | ||
| Insurance fee earned | ||
| Fee and commission received | ||
| II. Total business cost | 942,438,139.46 | 1,477,429,530.55 |
| Incl：Business cost | 658,461,435.36 | 1,337,658,549.60 |
| Interest expenses | ||
| Fee and commission paid | ||
| Insurance discharge payment | ||
| Net claim amount paid | ||
| Net amount provided as insurance contract reserves | ||
| Insurance policy dividend paid | ||
| Reinsurance expenses | ||
| Business tax and surcharge | 745,870.79 | 444,136.65 |
| Sales expense | 1,941,491.70 | 5,186,848.41 |
| Administrative expense | 57,216,694.51 | 81,317,075.77 |
| R & D expenses | ||
| Financial expenses | 222,017,931.24 | 21,120,082.82 |
| Including：Interest cost | 215,522,929.15 | 20,689,788.99 |
| Interest income | 3,343,599.29 | 1,807,822.57 |
| Asset impairment loss | 2,054,715.86 | 31,702,837.30 |
| Add： Other gains | ||
| Investment gain（“-”for loss） | ||
| Incl: Investment gains from affiliates | ||
| Fair value change income | ||
| Gains from currency exchange（“-”for loss） | 113,926,608.10 | -13,227,051.60 |
| Assets disposal income | ||
| III. Operational profit（“-”for loss） | -156,427,917.55 | 169,468,587.37 |
| Add ：Non-operational income | 25,845,524.88 | 263,830.31 |
| Less：Non-operational expenses | 205,178.47 | 415,828.12 |
| IV .Gross profit(“-”for loss) | -130,787,571.14 | 169,316,589.56 |
| Less：Income tax expenses | -11,090,989.76 | 24,874,714.61 |
| V. Net profit | -119,696,581.38 | 144,441,874.95 |
| (1) Categorized by going concern | ||
| (2) Termination of operating net profit | ||
| Net profit attributable to the owners of parent company | -118,516,821.76 | 141,854,355.89 |
| Minority shareholders’ equity | -1,179,759.62 | 2,587,519.06 |
| VI. After tax net amount of comprehensive income | ||
| Net of profit of other comprehensive income attributable to owners of the parent company | ||
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | ||
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| （II） Other comprehensive income that will be reclassified into profit or loss. | ||
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | ||
| 2.Gains and losses from changes in fair value available for sale financial assets | ||
| 3.Held-to-maturity investments reclassified to gains and losses of available for sale financial assets | ||
| 4.The effective portion of cash flow hedges and losses | ||
| 5.Translation differences in currency financial statements | ||
| 6.Other | ||
| Net after-tax of other comprehensive income attributable to Minority |
| shareholders’ equity | ||
| VII. Total comprehensive income | -119,696,581.38 | 144,441,874.95 |
| Total comprehensive income attributable to the owner of the parent company | -118,516,821.76 | 141,854,355.89 |
| Total comprehensive income attributable minority shareholders | -1,179,759.62 | 2,587,519.06 |
| VIII. Earnings per share | ||
| （I）Basic earnings per share | -0.0698 | 0.0835 |
| (II)Diluted earnings per share | -0.0698 | 0.0835 |
The current business combination under common control, the net profits of the combined party before achieved net profit of RMB 0.00, last period the combined party realized RMB0.00.
Legal Representative: Chen Lue Person in charge of accounting：Tang Xianyong Accounting Dept Leader: Tang Xianyong
4.Income statement of the Parent Company of the Report period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I. Turnover | 54,418.18 | 61,297.29 |
| Less：Operation cost | 0.00 | 0.00 |
| Taxes and surcharge | 34,225.74 | |
| Sales expenses | 371,946.50 | |
| Administrative expenses | 2,387,007.15 | 10,651,768.00 |
| R & D cost | ||
| Financial expenses | 117,586,989.99 | 15,358,373.68 |
| Including：Interest cost | 121,102,703.51 | |
| Interest income | 3,518,795.43 | |
| Impairment loss on assets | -1,355,806.96 | |
| Add：Other gains | ||
| Investment gains(“-“for loss) | ||
| Including: investment income from associates and joint ventures | ||
| Fair value change income | ||
| Assets disposal income | ||
| II. Operational profit（“-”for loss） | -118,563,772.00 | -26,355,016.63 |
| Add ：Non-operational income | ||
| Less：Non -operational expenses | ||
| III.Gross profit(“-”for loss) | -118,563,772.00 | -26,355,016.63 |
| Less：Income tax expenses | ||
| IV. Net profit | -118,563,772.00 | -26,355,016.63 |
| (1) Categorized by going concern | ||
| (2) Termination of operating net profit | ||
| V.After tax net amount of comprehensive income |
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | ||
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| （II）Other comprehensive income that will be reclassified into profit or loss. | ||
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | ||
| 2.Gains and losses from changes in fair value available for sale financial assets | ||
| 3.Held-to-maturity investments reclassified to gains and losses of available for sale financial assets | ||
| 4.The effective portion of cash flow hedges and losses | ||
| 5.Translation differences in currency financial statements | ||
| 6.Other | ||
| VI. Total comprehensive income | -118,563,772.00 | -26,355,016.63 |
| VII. Earnings per share： | ||
| （I）Basic earnings per share | ||
| (II)Diluted earnings per share |
5. Consolidated Income statement between the beginning of the year and end of the report period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I. Total revenue | 2,259,055,189.05 | 4,685,207,526.32 |
| Including：Business income | 2,259,055,189.05 | 4,685,207,526.32 |
| Interest income | ||
| Insurance fee earned | ||
| Commission charge and commission income | ||
| II. Total Business cost | 2,583,757,816.17 | 4,142,505,782.67 |
| Including：Business cost | 1,970,673,537.82 | 3,657,257,165.36 |
| Interest expense |
| Commission chare and commission expense | ||
| Insurance discharge payment | ||
| Net claim amount paid | ||
| Insurance policy dividend paid | ||
| Insurance policy dividend paid | ||
| Reinsurance expenses | ||
| Business tax and surcharge | 2,852,388.84 | 2,386,723.94 |
| Sales expenses | 18,463,113.78 | 23,281,434.80 |
| Administrative expense | 185,124,556.07 | 206,493,833.92 |
| R & D cost | ||
| Financial expenses | 400,405,629.14 | 132,272,854.08 |
| Including：Interest cost | 390,129,337.03 | 117,091,144.72 |
| Interest income | 9,833,816.40 | 6,316,332.71 |
| Asset impairment loss | 6,238,590.52 | 120,813,770.57 |
| Add：Other gains | ||
| Investment gain（“-”for loss） | 5,171,892.51 | |
| Including: investment income from associates and joint ventures | ||
| Fair value change income | ||
| Gains from currency exchange（“-”for loss） | 146,374,380.81 | -41,886,089.93 |
| Assets disposal income | ||
| III. Operational profit（“-”for loss） | -173,156,353.80 | 500,815,653.72 |
| Add ：Non-operational income | 205,066,020.08 | 4,708,455.09 |
| Less：Non-operational expenses | 841,479.08 | 508,950.45 |
| IV. Gross profit(“-”for loss) | 31,068,187.20 | 505,015,158.36 |
| Less：Income tax expenses | 7,699,247.03 | 81,101,852.86 |
| V. Net profit | 23,368,940.17 | 423,913,305.50 |
| (1) Categorized by going concern | ||
| (2) Termination of operating net profit | ||
| Net profit attributable to the owners of parent company | 25,482,633.97 | 410,460,805.92 |
| Minority shareholders’ equity | -2,113,693.80 | 13,452,499.58 |
| VI.After tax net amount of comprehensive income | -263,008.36 | |
| Net of profit of other comprehensive income attributable to owners of the parent company | -263,008.36 | |
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period |
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| （II） Other comprehensive income that will be reclassified into profit or loss. | -263,008.36 | |
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | ||
| 2.Gains and losses from changes in fair value available for sale financial assets | ||
| 3.Held-to-maturity investments reclassified to gains and losses of available for sale financial assets | ||
| 4.The effective portion of cash flow hedges and losses | ||
| 5.Translation differences in currency financial statements | -263,008.36 | |
| 6.Other | ||
| Net after-tax of other comprehensive income attributable to Minority shareholders’ equity | ||
| VII. Total comprehensive income | 23,105,931.81 | 423,913,305.50 |
| Total comprehensive income attributable to the owner of the parent company | 25,219,625.61 | 410,460,805.92 |
| Total comprehensive income attributable minority shareholders | -2,113,693.80 | 13,452,499.58 |
| VIII. Earnings per share | ||
| （I）Basic earnings per share | 0.0150 | 0.24 |
| (II)Diluted earnings per share | 0.0150 | 0.24 |
The current business combination under common control, the net profits of the combined party before achieved net profit of RMB 0.00, last period the combined party realized RMB0.00.6.Income Statement of the Parent Between the Beginning of the Year and End of the Report Period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I. Turnover | 171,780.25 | 172,315.30 |
| Less：Business cost | 0.00 | 1,482.50 |
| Taxes and surcharge | 278,916.40 | |
| Sales expenses | 994,445.50 | 371,946.50 |
| Administrative expense | 20,291,125.45 | 21,228,860.07 |
| R & D cost | ||
| Financial expenses | 198,992,446.79 | 52,725,808.24 |
| Including：Interest cost | 200,617,859.56 | |
| Interest income | 3,944,055.45 | |
| Asset impairment loss | 7,082,692.91 | -57,423.85 |
| Add：Other gains | ||
| Investment gain（“-”for loss） | ||
| Including: investment income from associates and joint ventures | ||
| Fair value change income | ||
| Assets disposal income | ||
| II. Operational profit（“-”for loss） | -227,188,930.40 | -74,377,274.56 |
| Add ：Non-operational income | 100,000,000.00 | |
| Less：Non-operational expenses | ||
| III.Gross profit(“-”for loss) | -127,188,930.40 | -74,377,274.56 |
| Less：Income tax expenses | ||
| IV. Net profit | -127,188,930.40 | -74,377,274.56 |
| (1) Categorized by going concern | ||
| (2) Termination of operating net profit | ||
| V.After tax net amount of comprehensive income | ||
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | ||
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| （II）Other comprehensive income that will be reclassified into profit or loss. | ||
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | ||
| 2.Gains and losses from changes in fair value available for sale financial assets | ||
| 3.Held-to-maturity investments reclas |
| sified to gains and losses of available for sale financial assets | ||
| 4.The effective portion of cash flow hedges and losses | ||
| 5.Translation differences in currency financial statements | ||
| 6.Other | ||
| VI. Total comprehensive income | -127,188,930.40 | -74,377,274.56 |
| VII. Earnings per share： | ||
| （I）Basic earnings per share | ||
| (II)Diluted earnings per share |
7. Consolidated Cash Flow Statement Between the Beginning of the Year and End of the Report Period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I.Cash flows from operating activities | ||
| Cash received from sales of goods or rending of services | 2,813,614,672.80 | 3,177,253,209.09 |
| Net increase of customer deposits and capital kept for brother company | ||
| Net increase of loans from central bank | ||
| Net increase of inter-bank loans from other financial bodies | ||
| Cash received against original insurance contract | ||
| Net cash received from reinsurance business | ||
| Net increase of client deposit and investment | ||
| Net increase of the financial assets that are measured at fair value and whose movement is counted to the current gain and loss | ||
| Cash received as interest, processing fee and commission | ||
| Net increase of inter-bank fund received | ||
| Net increase of repurchasing business | ||
| Tax returned | 3,488,505.37 | 12,758,357.03 |
| Other cash received from business operation | 3,926,123,995.63 | 3,245,486,770.66 |
| Sub-total of cash inflow | 6,743,227,173.80 | 6,435,498,336.78 |
| Cash paid for purchasing of | 2,518,844,052.72 | 2,823,791,162.98 |
| merchandise and services | ||
| Net increase of client trade and advance | ||
| Net increase of savings n central bank and brother company | ||
| Cash paid for original contract claim | ||
| Cash paid for interest, processing fee and commission | ||
| Cash paid for policy dividend | ||
| Cash paid to staffs or paid for staffs | 179,518,278.57 | 284,756,611.90 |
| Taxes paid | 77,150,857.45 | 175,356,391.05 |
| Other cash paid for business activities | 2,680,400,667.11 | 3,937,038,493.01 |
| Sub-total of cash outflow from business activities | 5,455,913,855.85 | 7,220,942,658.94 |
| Cash flow generated by business operation, net | 1,287,313,317.95 | -785,444,322.16 |
| II.Cash flow generated by investing | ||
| Cash received from investment retrieving | ||
| Cash received as investment gains | ||
| Net cash retrieved from disposal of fixed assets, intangible assets, and other long-term assets | 432,865.55 | |
| Net cash received from disposal of subsidiaries or other operational units | 1,062,398.45 | |
| Other investment-related cash received | ||
| Sub-total of cash inflow due to investment activities | 1,495,264.00 | |
| Cash paid for construction of fixed assets, intangible assets and other long-term assets | 12,179,377.50 | 45,779,721.11 |
| Cash paid as investment | 376,429,730.78 | 517,381,774.84 |
| Net increase of loan against pledge | ||
| Net cash received from subsidiaries and other operational units | -35,622,112.04 | 43,559,100.00 |
| Other cash paid for investment activities | ||
| Sub-total of cash outflow due to investment activities | 352,986,996.24 | 606,720,595.95 |
| Net cash flow generated by investment | -351,491,732.24 | -606,720,595.95 |
| III.Cash flow generated by financing |
| Cash received as investment | 490,000.00 | |
| Incl: Cash received as investment from minor shareholders | ||
| Cash received as loans | 1,255,509,245.00 | 4,026,537,500.00 |
| Cash received from bond placing | ||
| Other financing –related ash received | ||
| Sub-total of cash inflow from financing activities | 1,255,999,245.00 | 4,026,537,500.00 |
| Cash to repay debts | 2,425,799,391.05 | 1,758,114,122.78 |
| Cash paid as dividend, profit, or interests | 254,970,260.18 | 242,393,681.30 |
| Incl: Dividend and profit paid by subsidiaries to minor shareholders | ||
| Other cash paid for financing activities | 409,470,833.33 | |
| Sub-total of cash outflow due to financing activities | 2,680,769,651.23 | 2,409,978,637.41 |
| Net cash flow generated by financing | -1,424,770,406.23 | 1,616,558,862.59 |
| IV. Influence of exchange rate alternation on cash and cash equivalents | -4,433,209.17 | -8,154,660.05 |
| V.Net increase of cash and cash equivalents | -493,382,029.69 | 216,239,284.43 |
| Add: balance of cash and cash equivalents at the beginning of term | 647,222,590.49 | 943,705,322.41 |
| VI ..Balance of cash and cash equivalents at the end of term | 153,840,560.80 | 1,159,944,606.84 |
8. Cash Flow Statement of the Parent Between the Beginning of the Year and End of the Report Period
In RMB yuan
| Items | Amount in this period | Amount in last period |
| I.Cash flows from operating activities | ||
| Cash received from sales of goods or rending of services | 54,418.18 | 128,210.00 |
| Tax returned | ||
| Other cash received from business operation | 3,768,971,880.81 | 2,603,508,330.39 |
| Sub-total of cash inflow | 3,769,026,298.99 | 2,603,636,540.39 |
| Cash paid for purchasing of merchandise and services | ||
| Cash paid to staffs or paid for staffs | 1,087,705.66 | 380,672.60 |
| Taxes paid | 1,012,663.31 | 366,621.64 |
| Other cash paid for business activities | 2,421,993,707.71 | 4,060,602,342.91 |
| Sub-total of cash outflow from business activities | 2,424,094,076.68 | 4,061,349,637.15 |
| Cash flow generated by business operation, net | 1,344,932,222.31 | -1,457,713,096.76 |
| II.Cash flow generated by investing | ||
| Cash received from investment retrieving | ||
| Cash received as investment gains | ||
| Net cash retrieved from disposal of fixed assets, intangible assets, and other long-term assets | ||
| Net cash received from disposal of subsidiaries or other operational units | ||
| Other investment-related cash received | ||
| Sub-total of cash inflow due to investment activities | ||
| Cash paid for construction of fixed assets, intangible assets and other long-term assets | 65,440.00 | |
| Cash paid as investment | 163,000,000.00 | 398,535,100.00 |
| Net cash received from subsidiaries and other operational units | 5,000,000.00 | |
| Other cash paid for investment activities | ||
| Sub-total of cash outflow due to investment activities | 163,000,000.00 | 403,600,540.00 |
| Net cash flow generated by investment | -163,000,000.00 | -403,600,540.00 |
| III.Cash flow generated by financing | ||
| Cash received as investment | ||
| Cash received as loans | 840,650,000.00 | 3,131,370,000.00 |
| Cash received from bond placing | ||
| Other financing –related ash received | ||
| Sub-total of cash inflow from financing activities | 840,650,000.00 | 3,131,370,000.00 |
| Cash to repay debts | 1,909,087,876.07 | 980,000,000.00 |
| Cash paid as dividend, profit, or interests | 170,194,670.62 | 204,306,306.50 |
| Other cash paid for financing activities | 60,833.33 | |
| Sub-total of cash outflow due to | 2,079,282,546.69 | 1,184,367,139.83 |
| financing activities | ||
| Net cash flow generated by financing | -1,238,632,546.69 | 1,947,002,860.17 |
| IV. Influence of exchange rate alternation on cash and cash equivalents | ||
| V.Net increase of cash and cash equivalents | -56,700,324.38 | 85,689,223.41 |
| Add: balance of cash and cash equivalents at the beginning of term | 99,547,899.86 | 168,691,344.34 |
| VI ..Balance of cash and cash equivalents at the end of term | 42,847,575.48 | 254,380,567.75 |
II. Auditor‘s report
Whether the Q3 report is audited
□ Yes √ No
The Q3 Report is not audited.
Legal representative ：Chen Lue
Sino Great Wall Co., Ltd.October 31,2018