Stock Code: 000505, 200505 Stock Name: JLKG, JL-B Announcement No. 2020-054
HAINAN JINGLIANG HOLDINGS CO., LTD.SEMI-ANNUAL REPORT 2020 (SUMMARY)
Part I Important Notes
This Summary is based on the full text of the Semi-annual Report of Hainan Jingliang Holdings Co., Ltd.(together with its consolidated subsidiaries, the “Company”, except where the context otherwise requires). Inorder for a full understanding of the Company’s operating results, financial condition and future developmentplans, investors should carefully read the aforesaid full text, which has been disclosed together with this Summaryon the media designated by the China Securities Regulatory Commission (the “CSRC”).All the Company’s Directors have attended the Board meeting for the review of this Report and its summary.This Summary has been prepared in both Chinese and English. Should there be any discrepancies ormisunderstandings between the two versions, the Chinese version shall prevail.Independent auditor’s modified opinion:
□ Applicable √ Not applicable
Board-approved interim cash and/or stock dividend plan for ordinary shareholders:
□ Applicable √ Not applicable
The Company has no interim dividend plan, either in the form of cash or stock.Board-approved interim cash and/or stock dividend plan for preferred shareholders:
□ Applicable √ Not applicable
Part II Key Corporate Information
1. Stock Profile
| Stock name | JLKG, JL-B | Stock code | 000505, 200505 | |
| Stock exchange for stock listing | Shenzhen Stock Exchange | |||
| Contact information | Board Secretary | Securities Representative | ||
| Name | Guan Ying | Gao Deqiu | ||
| Office address | 15/F, Jing Liang Building, NO. 16 East Third Ring Middle Road, Chaoyang District, Beijing | 15/F, Jing Liang Building, NO. 16 East Third Ring Middle Road, Chaoyang District, Beijing | ||
| Tel. | 010-51672130 | 010-51672029 | ||
| E-mail address | 1124387865@qq.com | gaodeqiu_jl@163.com | ||
2. Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
| H1 2020 | H1 2019 | Change (%) | |
| Operating revenue (RMB) | 3,750,773,067.63 | 3,283,277,725.39 | 14.24% |
| Net profit attributable to the listed company’s shareholders (RMB) | 73,762,895.19 | 51,510,904.41 | 43.20% |
| Net profit attributable to the listed company’s shareholders before exceptional gains and losses (RMB) | 67,995,189.95 | 41,194,473.59 | 65.06% |
| Net cash generated from/used in operating activities (RMB) | 187,095,820.76 | 220,592,294.21 | -15.18% |
| Basic earnings per share (RMB/share) | 0.11 | 0.08 | 37.50% |
| Diluted earnings per share (RMB/share) | 0.11 | 0.08 | 37.50% |
| Weighted average return on equity (%) | 3.02% | 2.24% | 0.78% |
| 30 June 2020 | 31 December 2019 | Change (%) | |
| Total assets (RMB) | 5,334,498,957.68 | 5,231,266,600.19 | 1.97% |
| Equity attributable to the listed company’s shareholders (RMB) | 2,605,230,169.38 | 2,406,039,283.87 | 8.28% |
3. Shareholders and Their Shares at Period-End
Unit: share
| Number of ordinary shareholders | 59,539 | Number of preferred shareholders with resumed voting rights (if any) | 0 | ||||
| Top 10 shareholders | |||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage | Number of shares | Restricted shares | Pledged or frozen shares | ||
| Status | Shares | ||||||
| BEIJING GRAIN GROUP CO., LTD. | State-owned legal person | 39.68% | 288,439,561 | 164,877,598 | |||
| BEIJING STATE-OWNED CAPITAL OPERATION AND MANAGEMENT CENTER | State-owned legal person | 6.67% | 48,510,460 | 48,510,460 | |||
| WANG YUECHENG | Domestic natural person | 5.66% | 41,159,887 | 41,159,887 | |||
| LI SHERYN ZHAN MING | Foreign natural person | 1.88% | 13,689,800 | ||||
| CHINA DEVELOPMENT BANK CAPITAL CO., LTD. | State-owned legal person | 1.34% | 9,707,366 | ||||
| GOLD BUFFALO RUNYING (TIANJIN) EQUITY INVESTMENT FUND MANAGEMENT CO., LTD.—GOLD BUFFALO RUNYING (TIANJIN) EQUITY INVESTMENT FUND (L.P.) | Other | 0.87% | 6,307,736 | ||||
| MEI JIANYING | Domestic natural person | 0.36% | 2,604,203 | ||||
| WANG XIAOXING | Domestic natural person | 0.27% | 1,984,600 | ||||
| ZHANG XIAOXIA | Domestic natural | 0.27% | 1,949,250 | ||||
| person | ||||||
| CHEN OUQIN | Domestic natural person | 0.23% | 1,652,679 | |||
| Connected or acting-in-concert parties among shareholders above | ① Beijing State-Owned Capital Operation and Management Center owns 100% of Beijing Grain Group Co., Ltd., and Beijing Grain Group Co., Ltd. is the controlling shareholder of the Company (a 39.68% holding). ② Wang Yuecheng is a Deputy General Manager of the Company. Apart from that, the Company does not know whether there are any other related parties or acting-in-concert parties among the top 10 shareholders. | |||||
| Shareholders conducting margin trading (if any) | Shareholder Wang Xiaoxing holds 1,984,600 shares in the Company through his account of collateral securities for margin trading in Soochow Securities Co., Ltd. | |||||
4. Change of Controlling Shareholder or Actual Controller in Reporting PeriodChange of the controlling shareholder in the Reporting Period:
□ Applicable √ Not applicable
The controlling shareholder remained the same in the Reporting Period.Change of the actual controller in the Reporting Period:
□ Applicable √ Not applicable
The actual controller remained the same in the Reporting Period.
5. Numbers of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
No preferred shareholders in the Reporting Period.
6. Corporate bonds
Does the Company have any corporate bonds publicly offered and listed on the stock exchange, which were unduebefore the date of this Report’s approval or were due but could not be redeemed in full?No.Part III Operating Performance Discussion and Analysis
1. Business Overview of Reporting Period
Is the Company subject to any industry-specific disclosure requirements?No.In face of the constant hits by unfavorable factors such as the COVID-19 pandemic, the China-U.S. trade war andthe African swine fever in the first half of 2020, the Company proactively adjusted operating strategies, took theinitiative to seize opportunities, forged ahead against headwinds, and responded to new changes with newthinking. As a result, the Company achieved solid growth in operating results, as well as progress in innovationand development amid stability. For the Reporting Period, the Company recorded operating revenue ofRMB3,751 million, up 14.24% year-on-year; and net profits of RMB95 million, representing a 46.08% increasefrom a year ago. By operating division, the oils and oilseeds division generated operating revenue of RMB3,289million (a 17.19% year-on-year growth) and net profits of RMB48.38 million (a 95% year-on-year increase); andthe food division reported operating revenue of RMB450 million (a year-on-year decline of 0.55%) and net profits
of RMB60.97 million (a 0.64% year-on-year expansion).
1. Performance of the Oils and Oilseeds Division
The oils and oilseeds division of the Company is committed to building six major operational platforms—“RiskControl and R&D, Operation of Stocks, Import & Export and Oils & Oilseeds Trading, Procurement of Raw andAuxiliary Materials, Production Management, and Product Marketing”, and building a competitive industrialchain featuring resource integration, information sharing and mutual support based on those platforms. Thisadvantage came into play especially during the COVID-19 pandemic. Given a considerable decrease in demandfor oils in small package of certain channels such as restaurants, canteens and food companies in the first half ofthe year, the Company proactively promoted integrated marketing and online sales, emphasized initiative invarious work, and refreshed the operation and management system under the new circumstances. The oilspressing business enhanced market judgment and seized raw material procurement opportunities. Apart from anadvance order of soybean placed in late last year, procurement was scheduled reasonably to ensure the supply ofraw materials. Jingliang Tianjin achieved, in the first half of the year, an operation rate of as high as 82.35% and asignificant year-on-year growth in net profits. The oils and oilseeds trading business adhered to the hedging modeland placed importance on development of futures, especially on product varieties that were less impacted in thepandemic such as homegrown soybean, sunflower seed oil and non-GMO rapeseed oil, which has helped cushionthe impact of the pandemic. The oil storage business refreshed the service model, actively explored cooperationmodels, and continued to build the brand in storage and management service.
2. Performance of the Food Production Division
With a decline in business in the first quarter of the year due to the pandemic, the food production divisionadjusted marketing strategies in a timely manner, and continued to carry out product innovation. The snack foodbusiness beefed up production and achieved a monthly output that is higher than the pre-pandemic average whilegiving full play to e-commerce channels and strengthening marketing through short videos and live streaming toturn the crisis to opportunities, in addition to maintaining and promoting the existing distribution channels. Thebaking business strengthened development of new products, completed the development and launch of newproducts in cooperation with other relevant entities, beefed up online sales and improved the sales model.
2. Matters Related to Financial Reporting
(1) Changes in Accounting Policies, Accounting Estimates or Measurement Methods Compared to LastAccounting Period
□ Applicable √ Not applicable
No such cases.
(2) Retrospective Restatements due to Correction of Material Accounting Errors in Reporting Period
□ Applicable √ Not applicable
No such cases.
(3) Changes in Scope of Consolidated Financial Statements Compared to Last Accounting Period
□ Applicable √ Not applicable
No such cases.
Hainan Jingliang Holdings Co., Ltd.
22 August 2020