HAINAN JINGLIANG HOLDINGS CO., LTD.
FIRST QUARTERLY REPORT 2021
April 2021
Part I Important NotesThe Board of Directors (or the “Board”), the Supervisory Committee as well as the directors,supervisors and senior management of Hainan Jingliang Holdings Co., Ltd. (hereinafterreferred to as the “Company”) hereby guarantee the factuality, accuracy and completeness ofthe contents of this Report and its summary, and shall be jointly and severally liable for anymisrepresentations, misleading statements or material omissions therein.All the Company’s directors have attended the Board meeting for the review of this Reportand its summary.Li Shaoling, the Company’s legal representative, Guan Ying, the Company’s head forfinancial affairs, and Liu Quanli, head of the Company’s financial department (equivalent tofinancial manager) hereby guarantee that the Financial Statements carried in this Report arefactual, accurate and complete.This Report and its summary have been prepared in both Chinese and English. Should therebe any discrepancies or misunderstandings between the two versions, the Chinese versionsshall prevail.
Part II Key Corporate InformationI Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
| Q1 2021 | Q1 2020 | Change (%) | |
| Operating revenue (RMB) | 2,338,783,061.35 | 1,719,261,111.71 | 36.03% |
| Net profit attributable to the listed company’s shareholders (RMB) | 36,585,077.36 | 27,655,045.32 | 32.29% |
| Net profit attributable to the listed company’s shareholders before exceptional items (RMB) | 32,694,567.66 | 23,730,342.72 | 37.78% |
| Net cash generated from/used in operating activities (RMB) | 274,757,224.16 | 328,948,834.32 | -16.47% |
| Basic earnings per share (RMB/share) | 0.05 | 0.04 | 25.00% |
| Diluted earnings per share (RMB/share) | 0.05 | 0.04 | 25.00% |
| Weighted average return on equity (%) | 1.34% | 1.14% | 0.20% |
| 31 March 2021 | 31 December 2020 | Change (%) | |
| Total assets (RMB) | 5,684,487,935.29 | 5,695,504,493.73 | -0.19% |
| Equity attributable to the listed company’s shareholders (RMB) | 2,747,216,903.27 | 2,710,571,543.53 | 1.35% |
Exceptional gains and losses:
√ Applicable □ Not applicable
Unit: RMB
| Item | Q1 2021 | Note |
| Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) | 123,210.12 | |
| Government grants through profit or loss (exclusive of government grants given in the Company’s ordinary course of business at fixed quotas or amounts as per the government’s uniform standards) | 406,977.39 | |
| Gain or loss on fair-value changes on held-for-trading and derivative financial assets and liabilities & income from disposal of held-for-trading and derivative financial assets and liabilities and other debt investments (exclusive of the effective portion of hedges | 4,619,547.66 |
| that arise in the Company’s ordinary course of business) | ||
| Non-operating income and expense other than the above | 97,845.34 | |
| Project confirmed with the definition of non-recurring gains and losses | 28,548.78 | |
| Less: Income tax effects | 1,319,032.32 | |
| Non-controlling interests effects (net of tax) | 66,587.27 | |
| Total | 3,890,509.70 | -- |
Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item defined or listed in theExplanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to thePublic—Exceptional Gain/Loss Items:
□ Applicable √ Not applicable
No such cases for the Reporting Period.
II Total Number of Shareholders and Holdings of Top 10 Shareholders at 31 March 2021
1. Numbers of Ordinary Shareholders and Preferred Shareholders with Resumed Voting Rights as well asHoldings of Top 10 Shareholders
Unit: share
| Number of ordinary shareholders at the period-end | 68,418 | Number of preferred shareholders with resumed voting rights at the period-end (if any) | 0 | |||
| Top 10 shareholders | ||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage | Total shares held | Restricted shares held | Shares in pledge or frozen | |
| 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 | 0 | ||
| WANG YUECHENG | Domestic natural person | 5.66% | 41,159,887 | 41,159,887 | ||
| LI SHERYN ZHAN MING | Foreign natural person | 1.23% | 8,930,000 | 0 | ||
| GOLD BUFFALO RUNYING (TIANJIN) EQUITY INVESTMENT FUND MANAGEMENT CO., LTD.—GOLD BUFFALO | Other | 0.40% | 2,889,803 | 0 | ||
| RUNYING (TIANJIN) EQUITY INVESTMENT FUND (L.P.) | ||||||
| MEI JIANYING | Domestic natural person | 0.36% | 2,604,203 | 0 | ||
| ZHANG XIAOXIA | Domestic natural person | 0.27% | 1,949,250 | 0 | ||
| WANG XIAOXING | Domestic natural person | 0.23% | 1,691,200 | 0 | ||
| TAN WENQIONG | Domestic natural person | 0.20% | 1,474,700 | 0 | ||
| ORIENT SECURITIES （HONG KONG） LIMITED | Foreign corporation | 0.18% | 1,330,400 | 0 | ||
| Top 10 unrestricted shareholders | ||||||
| Name of shareholder | Unrestricted shares held | Shares by type | ||||
| Type | Shares | |||||
| BEIJING GRAIN GROUP CO., LTD. | 123,561,963 | RMB-denominated ordinary stock | 123,561,963 | |||
| BEIJING STATE-OWNED CAPITAL OPERATION AND MANAGEMENT CENTER | 48,510,460 | RMB-denominated ordinary stock | 48,510,460 | |||
| LI SHERYN ZHAN MING | 8,930,000 | Domestically listed foreign stock | 8,930,000 | |||
| GOLD BUFFALO RUNYING (TIANJIN) EQUITY INVESTMENT FUND MANAGEMENT CO., LTD.—GOLD BUFFALO RUNYING (TIANJIN) EQUITY INVESTMENT FUND (L.P.) | 2,889,803 | RMB-denominated ordinary stock | 2,889,803 | |||
| MEI JIANYING | 2,604,203 | RMB-denominated ordinary stock | 2,604,203 | |||
| ZHANG XIAOXIA | 1,949,250 | Domestically listed foreign stock | 1,949,250 | |||
| WANG XIAOXING | 1,691,200 | RMB-denominated ordinary stock | 1,691,200 | |||
| TAN WENQIONG | 1,474,700 | RMB-denominated ordinary stock | 1,474,700 | |||
| ORIENT SECURITIES （HONG KONG） LIMITED | 1,330,400 | Domestically listed foreign stock | 1,330,400 | |||
| YANG SHULING | 1,122,900 | RMB-denominated ordinary stock | 1,122,900 | |||
| Related or acting-in-concert parties among the | ① Beijing State-Owned Capital Operation and Management Center owns | |||||
| shareholders above | 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 the aforesaid, the Company does not know whether there are any other related parties or acting-in-concert parties among the top 10 shareholders. |
| Top 10 shareholders engaged in securities margin trading (if any) | Shareholder Wang Xiaoxing held 1,691,200 shares in the Company through his account of collateral securities for margin trading in Soochow Securities Co., Ltd. |
Indicate by tick mark whether any of the top 10 ordinary shareholders or the top 10 unrestricted ordinaryshareholders of the Company conducted any promissory repo during the Reporting Period.
□ Yes √ No
No such cases in the Reporting Period.
2. Number of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
Part III Significant EventsI Changes in Key Financial Statement Line Items and Explanation of why
√ Applicable □ Not applicable
1. Monetary assets increased primarily driven by an increase in sales revenue received in the oils business in thecurrent period.
2. Held-for-trading financial assets increased primarily driven by the purchase of wealth management productswith part of the amount arising from the redemption of investments in cash management products upon maturityin the current period.
3. Derivative financial liabilities decreased primarily driven by changes in the fair value of hedge instruments inthe Current Period.
4. Total revenues increased primarily driven by rising product prices and unit sales in the Current Period.
5. R&D expense increased primarily driven the cost rising by more new product development projects in theCurrent Period.
6. Finance costs decreased primarily driven by decreases in exchange losses and interest expense in the CurrentPeriod.
7. Other income increased primarily driven by an increase in VAT rebates in the Current Period.
8. Gain on fair value changes increased primarily driven by changes in the value of futures contracts in the currentperiod.
9. Net cash generated from investing activities decreased primarily driven by an increase in investments in wealthmanagement products.
10. Net cash generated from financing activities decreased primarily driven by a decrease in new borrowings inthe current period.II Progress, Influence and Solutions with regard to Significant Events
√ Applicable □ Not applicable
| Summary of the significant event | Disclosure date | Index to the related announcement |
| The Company signed the Joint Venture and Cooperation Agreement on Yueyang Oil Processing Project and the Articles of | 5 January 2021 | Announcement No. 2021-004 of Hainan Jingliang Holdings Co., Ltd. on Progress |
| Association of Jingliang (Yueyang) Grains & Oils Industries Co., Ltd. with Sinograin Oils Co., Ltd. on 31 December 2020. This external investment has been approved by Beijing Capital Agribusiness & Foods Group Co., Ltd. During the Reporting Period, Sinograin Oils Co., Ltd., upon internal decisions, obtained the approval of China Grain Reserves Group Ltd. Company. Subsequently, both parties will actively go through the paper work for the establishment of the joint venture. | of Yueyang Oil Base Project disclosed on www.cninfo.com.cn. | |
| On 6 April 2021, the Company signed the Cooperation Framework Agreement with SDIC Traffic Holding Co., Ltd. and China Grain Reserves Group Ltd. Guangzhou Branch in Beijing, reaching an agreement on cooperation in grain storage, logistics and processing at SDIC Yangpu Port, Yangpu Economic Development Zone, Hainan Province. | 8 April 2021 | Announcement No. 2021-020 of Hainan Jingliang Holdings Co., Ltd. on Signing the Cooperation Framework Agreement disclosed on www.cninfo.com.cn. |
Progress of any share repurchases:
□ Applicable √ Not applicable
Progress of any reduction of the repurchased shares through centralized bidding:
□ Applicable √ Not applicable
III Commitments that the Company’s Actual Controller, Shareholders, Related Parties,Acquirers, the Company Itself or Other Parties, Failed to Fulfill on Time during theReporting Period
□ Applicable √ Not applicable
No such cases in the Reporting Period.
IV Financial Investments
1. Securities Investments
√ Applicable □ Not applicable
Unit: RMB
| Type of securities | Code of securities | Name of securities | Initial investment cost | Accounting measurement model | Beginning carrying value | Gain/loss on fair-value changes in the current period | Cumulative fair-value changes through equity | Purchased in the current period | Sold in the current period | Gain/loss in the current period | Ending carrying value | Accounting title | Funding source |
| Other | 204001 | GC001 | Cost method | 1,980,700,000.00 | 1,980,700,000.00 | 275,836.11 | 0.00 | Other | Self-raised | ||||
| Total | 0.00 | -- | 0.00 | 0.00 | 0.00 | 1,980,700,000.00 | 1,980,700,000.00 | 275,836.11 | 0.00 | -- | -- | ||
| Disclosure date of announcement on Board’s consent for securities investment | 27 March 2021 | ||||||||||||
| Disclosure date of announcement on shareholders’ meeting’s consent for securities investment (if any) | N/A | ||||||||||||
2. Investments in Derivative Financial Instruments
√ Applicable □ Not applicable
Unit: RMB’0,000
| Type of derivative financial instrument | Start date | End date | Beginning investment | Ending investment | Ending investment as % of the Company’s ending net assets | Actual gain/loss in Reporting Period |
| Agricultural product future contract | 1 January 2021 | 31 March 2021 | 25,014.36 | 23,798.9 | 8.66% | -20,727.38 |
| Foreign exchange forwards | 1 January 2021 | 31 March 2021 | 13,336.81 | 40,543.15 | 14.76% | -18.51 |
| Total | -- | -- | 38,351.17 | 64,342.05 | 23.42% | -20,745.89 |
| Funding source | The Company's own funds are used in commodity derivatives transactions; in foreign exchange derivatives transactions, the Company's comprehensive bank credit line or margin for trading is mainly used. Principal delivery or differential delivery is adopted at maturity. | |||||
| Legal matters involved (if applicable) | N/A | |||||
| Disclosure date of the announcement about the board’s consent for the securities investment (if any) | 27 March 2021 | |||||
| Disclosure date of the announcement about the general meeting’s consent for the securities | 17 April 2021 | |||||
| investment (if any) | |
| Risk analysis and control measures in respect of derivative investments held in the Reporting Period (including but not limited to market risk, liquidity risk, credit risk, operational risk, legal risk, etc.) | The Company's main purpose of conducting commodity derivatives transactions and foreign exchange derivatives transactions is to hedge and lock in exchange rates, other than for speculation purposes. Existing risks include but are not limited to market risk, liquidity risk, price fluctuation risk and internal control risk. In this regard, the Company has adopted the following risk control measures: 1) The development of derivatives trading business is based on normal production and operation; 2) the Company has formulated the Management Policy of Hainan Jingliang Holdings Co., Ltd. on Commodity Derivatives Transactions and the Management Policy of Hainan Jingliang Holdings Co., Ltd. on Financial Derivatives Transactions to control transaction risks; 3) own funds are reasonably allocated for hedging business. In principle, the Company purchases options contracts only. The asset scale of futures and options is strictly controlled. The margin is planned and used reasonably; 4) the Company is only allowed to conduct foreign exchange derivatives trading business with banks and financial institutions that are approved by regulatory authorities and eligible for foreign exchange derivatives trading business, other than with other organizations or individuals, so as to prevent customer default risks. During the Reporting Period, gains and losses of commodity derivatives transactions offset the gains and losses of hedged items (spot agricultural products). |
| Changes in market prices or fair value of derivative investments in the Reporting Period (fair value analysis should include measurement method and related assumptions and parameters) | The value of the Company’s future contracts changed according to the contract prices declared by the future exchange, which were broadly representative. And the fair value of the Company’s future contracts was executed in strict compliance with the future exchange’s settlement methods. |
| Significant changes in accounting policies and specific accounting principles adopted for derivative investments in the Reporting Period compared to the last reporting period | N/A |
| Opinion of independent directors on derivative investments and risk control | Opinion of independent directors on commodity derivatives transactions: the Company has formulated the Management Policy of Hainan Jingliang Holdings Co., Ltd. on Commodity Derivatives Transactions, which can effectively normalize commodity derivatives transaction behaviors and control transaction risks. Based on normal production and operation, the Company properly uses derivative financial instruments to effectively offset operation risks. It is agreed that the Company will conduct commodity derivatives transactions in 2021. Opinion of independent directors on foreign exchange derivatives trading business: after check, the relevant decision-making procedures for the Company and its majority-owned subsidiaries to conduct foreign exchange derivatives trading business are in compliance with relevant national laws, regulations and the governing provisions of the Articles of Association after verification. Based on normal production |
V Progress of Projects Financed with Raised Funds
□ Applicable √ Not applicable
VI Operating Performance Forecast for January-June 2021Warning of a forecast loss on or a forecast significant year-on-year change in the accumulative net profit from thebeginning of the year to the end of the next reporting period, as well as explanation of why:
□ Applicable √ Not applicable
VII Significant Contracts Arising from the Company’s Ordinary Course of Business
□ Applicable √ Not applicable
VIII Cash Entrusted for Wealth Management
√ Applicable □ Not applicable
Unit: RMB’0,000
and operation, the Company uses foreign exchange derivatives instruments to reduce exchange rate risksand help to enhance financial soundness. There is no harm to the interests of the Company and all othershareholders, especially minority shareholders. The Company has established the Management Policy ofHainan Jingliang Holdings Co., Ltd. on Financial Derivatives Transactions, which helps to enhance thetrading risks control. It is agreed that the Company and its majority-owned subsidiaries will conductforeign exchange derivative trading business within the consideration amount.Type
| Type | Funding source | Amount | Undue amount | Unrecovered overdue amount |
| Bank’s wealth management product | Self-funded | 2,300 | 1,000 | 0 |
| Broker’s wealth management product | Idle raised funds | 28,000 | 0 | 0 |
| Total | 30,300 | 1,000 | 0 | |
High-risk wealth management transactions with a significant single amount, or with low security, low liquidity orno principal protection:
□ Applicable √ Not applicable
Wealth management transactions with possible impairments including an expectedly unrecoverable principal:
□ Applicable √ Not applicable
IX Irregularities in the Provision of Guarantees
□ Applicable √ Not applicable
No such cases in the Reporting Period.
X Occupation of the Company’s Capital by the Controlling Shareholder or any of Its RelatedParties for Non-Operating Purposes
□ Applicable √ Not applicable
No such cases in the Reporting Period.
XI Communications with the Investment Community such as Researches, Inquiries andInterviews Received during the Reporting Period
□ Applicable √ Not applicable
No such cases in the Reporting Period.
Part IV Financial Statements
I Financial Statements
1. Consolidated Balance Sheet
Prepared by Hainan Jingliang Holdings Co., Ltd.
31 March 2021
Unit: RMB
| Item | 31 March 2021 | 31 December 2020 |
| Current assets: | ||
| Monetary assets | 638,272,610.63 | 335,466,169.61 |
| Settlement reserve | ||
| Interbank loans granted | ||
| Held-for-trading financial assets | 180,350,671.73 | 63,478,071.73 |
| Derivative financial assets | ||
| Notes receivable | 348,845.25 | 456,565.85 |
| Accounts receivable | 79,755,021.15 | 92,245,667.60 |
| Accounts receivable financing | ||
| Prepayments | 352,445,575.71 | 282,343,218.05 |
| Premiums receivable | ||
| Reinsurance receivables | ||
| Receivable reinsurance contract reserve | ||
| Other receivables | 363,447,586.33 | 541,905,656.97 |
| Including: Interest receivable | ||
| Dividends receivable | ||
| Financial assets purchased under resale agreements | ||
| Inventories | 1,149,368,193.12 | 1,225,083,742.26 |
| Contract assets | ||
| Assets held for sale | ||
| Current portion of non-current assets | ||
| Other current assets | 623,586,751.17 | 845,450,678.36 |
| Total current assets | 3,387,575,255.09 | 3,386,429,770.43 |
| Non-current assets: | ||
| Loans and advances to customers | ||
| Investments in debt obligations | ||
| Investments in other debt obligations | ||
| Long-term receivables | ||
| Long-term equity investments | 217,762,487.79 | 217,762,487.79 |
| Investments in other equity instruments | 20,000,000.00 | 20,000,000.00 |
| Other non-current financial assets | ||
| Investment property | 22,148,688.37 | 22,560,212.50 |
| Fixed assets | 1,109,204,988.73 | 1,131,143,854.07 |
| Construction in progress | 22,405,581.50 | 28,458,413.67 |
| Productive living assets | ||
| Oil and gas assets | ||
| Right-of-use assets | 2,484,266.44 | |
| Intangible assets | 350,415,434.47 | 354,139,335.32 |
| Development costs | ||
| Goodwill | 191,394,422.51 | 191,394,422.51 |
| Long-term prepaid expense | 20,543,516.72 | 20,529,601.50 |
| Deferred income tax assets | 3,330,952.00 | 3,346,814.27 |
| Other non-current assets | 337,222,341.67 | 319,739,581.67 |
| Total non-current assets | 2,296,912,680.20 | 2,309,074,723.30 |
| Total assets | 5,684,487,935.29 | 5,695,504,493.73 |
| Current liabilities: | ||
| Short-term borrowings | 1,509,813,010.95 | 1,497,414,079.05 |
| Borrowings from the central bank | ||
| Interbank loans obtained | ||
| Held-for-trading financial liabilities | ||
| Derivative financial liabilities | 204,172,909.98 | 371,219,136.84 |
| Notes payable | ||
| Accounts payable | 64,823,024.76 | 75,384,075.39 |
| Advances from customers | 1,402,363.91 | 1,087,874.02 |
| Contract liabilities | 439,986,754.33 | 346,874,260.90 |
| Financial assets sold under repurchase agreements | ||
| Customer deposits and interbank deposits | ||
| Payables for acting trading of securities | ||
| Payables for underwriting of securities | ||
| Employee benefits payable | 13,838,869.45 | 33,345,136.94 |
| Taxes payable | 27,631,015.04 | 50,884,214.64 |
| Other payables | 111,293,858.63 | 72,292,881.24 |
| Including: Interest payable | 21,082,795.47 | 21,082,795.47 |
| Dividends payable | 11,013,302.88 | 11,013,302.88 |
| Handling charges and commissions payable | ||
| Reinsurance payables | ||
| Liabilities directly associated with assets held for sale | ||
| Current portion of non-current liabilities | ||
| Other current liabilities | 4,956,685.90 | 8,319,696.79 |
| Total current liabilities | 2,377,918,492.95 | 2,456,821,355.81 |
| Non-current liabilities: | ||
| Insurance contract reserve | ||
| Long-term borrowings | ||
| Bonds payable | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Lease liabilities | 2,479,427.07 | |
| Long-term payables | ||
| Long-term employee benefits payable | 5,677,134.00 | 5,677,134.00 |
| Provisions | ||
| Deferred income | 68,243,587.67 | 68,716,699.34 |
| Deferred income tax liabilities | 88,830,153.02 | 65,115,801.22 |
| Other non-current liabilities |
| Total non-current liabilities | 165,230,301.76 | 139,509,634.56 |
| Total liabilities | 2,543,148,794.71 | 2,596,330,990.37 |
| Owners’ equity: | ||
| Share capital | 726,950,251.00 | 726,950,251.00 |
| Other equity instruments | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Capital reserves | 1,674,828,350.95 | 1,674,828,350.95 |
| Less: Treasury stock | ||
| Other comprehensive income | -302,976.28 | -363,258.66 |
| Specific reserve | ||
| Surplus reserves | 122,122,436.98 | 122,122,436.98 |
| General reserve | ||
| Retained earnings | 223,618,840.62 | 187,033,763.26 |
| Total equity attributable to owners of the Company as the parent | 2,747,216,903.27 | 2,710,571,543.53 |
| Non-controlling interests | 394,122,237.31 | 388,601,959.83 |
| Total owners’ equity | 3,141,339,140.58 | 3,099,173,503.36 |
| Total liabilities and owners’ equity | 5,684,487,935.29 | 5,695,504,493.73 |
Legal representative: Li Shaoling Head for financial affairs: Guan YingHead of the financial department: Liu Quanli
2. Balance Sheet of the Company as the Parent
Unit: RMB
| Item | 31 March 2021 | 31 December 2020 |
| Current assets: | ||
| Monetary assets | 971,206.16 | 1,523,322.79 |
| Held-for-trading financial assets | ||
| Derivative financial assets | ||
| Notes receivable | ||
| Accounts receivable | 11,784.00 | 11,784.00 |
| Accounts receivable financing | ||
| Prepayments | 423,679.12 | 423,679.12 |
| Other receivables | 100,008.26 | 103,341.26 |
| Including: Interest receivable | ||
| Dividends receivable | ||
| Inventories | 3,775,954.85 | 3,775,954.85 |
| Contract assets | ||
| Assets held for sale | ||
| Current portion of non-current assets | ||
| Other current assets | 2,472,089.46 | 2,445,772.47 |
| Total current assets | 7,754,721.85 | 8,283,854.49 |
| Non-current assets: | ||
| Investments in debt obligations | ||
| Investments in other debt obligations | ||
| Long-term receivables | ||
| Long-term equity investments | 2,626,437,846.24 | 2,626,437,846.24 |
| Investments in other equity instruments | 20,000,000.00 | 20,000,000.00 |
| Other non-current financial assets | ||
| Investment property | 6,136,711.10 | 6,222,001.73 |
| Fixed assets | 2,643,065.57 | 2,809,083.51 |
| Construction in progress | ||
| Productive living assets | ||
| Oil and gas assets | ||
| Right-of-use assets | ||
| Intangible assets | 182,183.72 | 209,185.10 |
| Development costs | ||
| Goodwill | ||
| Long-term prepaid expense | ||
| Deferred income tax assets | ||
| Other non-current assets | ||
| Total non-current assets | 2,655,399,806.63 | 2,655,678,116.58 |
| Total assets | 2,663,154,528.48 | 2,663,961,971.07 |
| Current liabilities: | ||
| Short-term borrowings | ||
| Held-for-trading financial liabilities |
| Derivative financial liabilities | ||
| Notes payable | ||
| Accounts payable | ||
| Advances from customers | 38,896.41 | 38,896.41 |
| Contract liabilities | ||
| Employee benefits payable | 188,025.74 | 341,902.14 |
| Taxes payable | 960,020.24 | 1,037,881.62 |
| Other payables | 310,401,556.88 | 309,067,618.99 |
| Including: Interest payable | 21,082,795.47 | 21,082,795.47 |
| Dividends payable | 3,213,302.88 | 3,213,302.88 |
| Liabilities directly associated with assets held for sale | ||
| Current portion of non-current liabilities | ||
| Other current liabilities | ||
| Total current liabilities | 311,588,499.27 | 310,486,299.16 |
| Non-current liabilities: | ||
| Long-term borrowings | ||
| Bonds payable | ||
| Including: Preferred shares | ||
| Perpetual bonds | ||
| Lease liabilities | ||
| Long-term payables | ||
| Long-term employee benefits payable | ||
| Provisions | ||
| Deferred income | ||
| Deferred income tax liabilities | ||
| Other non-current liabilities | ||
| Total non-current liabilities | ||
| Total liabilities | 311,588,499.27 | 310,486,299.16 |
| Owners’ equity: | ||
| Share capital | 726,950,251.00 | 726,950,251.00 |
| Other equity instruments | ||
| Including: Preferred shares |
| Perpetual bonds | ||
| Capital reserves | 2,379,144,900.84 | 2,379,144,900.84 |
| Less: Treasury stock | ||
| Other comprehensive income | ||
| Specific reserve | ||
| Surplus reserves | 109,487,064.39 | 109,487,064.39 |
| Retained earnings | -864,016,187.02 | -862,106,544.32 |
| Total owners’ equity | 2,351,566,029.21 | 2,353,475,671.91 |
| Total liabilities and owners’ equity | 2,663,154,528.48 | 2,663,961,971.07 |
3. Consolidated Income Statement
Unit: RMB
| Item | Q1 2021 | Q1 2020 |
| 1. Revenue | 2,338,783,061.35 | 1,719,261,111.71 |
| Including: Operating revenue | 2,338,783,061.35 | 1,719,261,111.71 |
| Interest income | ||
| Insurance premium income | ||
| Handling charge and commission income | ||
| 2. Costs and expenses | 2,333,218,041.73 | 1,658,412,402.25 |
| Including: Cost of sales | 2,226,013,163.78 | 1,544,129,698.32 |
| Interest expense | ||
| Handling charge and commission expense | ||
| Surrenders | ||
| Net insurance claims paid | ||
| Net amount provided as insurance contract reserve | ||
| Expenditure on policy dividends | ||
| Reinsurance premium expense | ||
| Taxes and surcharges | 5,955,781.15 | 4,029,610.82 |
| Selling expense | 48,411,864.19 | 52,228,754.23 |
| Administrative expense | 44,040,201.27 | 41,898,096.16 |
| R&D expense | 2,417,187.46 | 526,336.27 |
| Finance costs | 6,379,843.88 | 15,599,906.45 |
| Including: Interest expense | 8,671,148.55 | 9,935,743.28 |
| Interest income | 2,685,086.53 | 2,406,568.62 |
| Add: Other income | 3,012,534.83 | 1,879,509.69 |
| Return on investment (“-” for loss) | 4,619,547.66 | 4,768,109.67 |
| Including: Share of profit or loss of joint ventures and associates | ||
| Income from the derecognition of financial assets at amortized cost (“-” for loss) | ||
| Exchange gain (“-” for loss) | ||
| Net gain on exposure hedges (“-” for loss) | ||
| Gain on changes in fair value (“-” for loss) | 47,688,252.08 | -14,186,448.05 |
| Credit impairment loss (“-” for loss) | ||
| Asset impairment loss (“-” for loss) | ||
| Asset disposal income (“-” for loss) | -24,042.07 | |
| 3. Operating profit (“-” for loss) | 60,861,312.12 | 53,309,880.77 |
| Add: Non-operating income | 489,618.17 | 512,126.89 |
| Less: Non-operating expense | 151,256.17 | 1,181,483.76 |
| 4. Profit before tax (“-” for loss) | 61,199,674.12 | 52,640,523.90 |
| Less: Income tax expense | 19,094,319.28 | 12,926,062.26 |
| 5. Net profit (“-” for net loss) | 42,105,354.84 | 39,714,461.64 |
| 5.1 By operating continuity | ||
| 5.1.1 Net profit from continuing operations (“-” for net loss) | 42,105,354.84 | 39,714,461.64 |
| 5.1.2 Net profit from discontinued operations (“-” for net loss) | ||
| 5.2 By ownership | ||
| 5.2.1 Net profit attributable to shareholders of the Company as the | 36,585,077.36 | 27,655,045.32 |
| parent | ||
| 5.2.2 Net profit attributable to non-controlling interests | 5,520,277.48 | 12,059,416.32 |
| 6. Other comprehensive income, net of tax | 60,282.38 | 112,438.44 |
| Attributable to owners of the Company as the parent | 60,282.38 | 112,438.44 |
| 6.1 Items that will not be reclassified to profit or loss | ||
| 6.1.1 Changes caused by remeasurements on defined benefit schemes | ||
| 6.1.2 Other comprehensive income that will not be reclassified to profit or loss under the equity method | ||
| 6.1.3 Changes in the fair value of investments in other equity instruments | ||
| 6.1.4 Changes in the fair value arising from changes in own credit risk | ||
| 6.1.5 Other | ||
| 6.2 Items that will be reclassified to profit or loss | 60,282.38 | 112,438.44 |
| 6.2.1 Other comprehensive income that will be reclassified to profit or loss under the equity method | ||
| 6.2.2 Changes in the fair value of investments in other debt obligations | ||
| 6.2.3 Other comprehensive income arising from the reclassification of financial assets | ||
| 6.2.4 Credit impairment allowance for investments in other debt obligations | ||
| 6.2.5 Reserve for cash flow hedges | ||
| 6.2.6 Differences arising from the translation of foreign currency-denominated financial statements | 60,282.38 | 112,438.44 |
| 6.2.7 Other | ||
| Attributable to non-controlling |
| interests | ||
| 7. Total comprehensive income | 42,165,637.22 | 39,826,900.08 |
| Attributable to owners of the Company as the parent | 36,645,359.74 | 27,767,483.76 |
| Attributable to non-controlling interests | 5,520,277.48 | 12,059,416.32 |
| 8. Earnings per share | ||
| 8.1 Basic earnings per share | 0.05 | 0.04 |
| 8.2 Diluted earnings per share | 0.05 | 0.04 |
Where business combinations under common control occurred in the current period, the net profit achieved by the acquirees beforethe combinations was RMBXXX, with the amount for the same period of last year being RMBXXX.Legal representative: Li Shaoling Head for financial affairs: Guan YingHead of the financial department: Liu Quanli
4. Income Statement of the Company as the Parent
Unit: RMB
| Item | Q1 2021 | Q1 2020 |
| 1. Operating revenue | 147,765.14 | 0.00 |
| Less: Cost of sales | 85,290.63 | 0.00 |
| Taxes and surcharges | 50,806.93 | 2,700.00 |
| Selling expense | ||
| Administrative expense | 1,926,595.42 | 6,328,612.55 |
| R&D expense | ||
| Finance costs | 1,022.57 | -3,113.45 |
| Including: Interest expense | ||
| Interest income | 771.43 | 3,963.45 |
| Add: Other income | ||
| Return on investment (“-” for loss) | ||
| Including: Share of profit or loss of joint ventures and associates | ||
| Income from the derecognition of financial assets at amortized cost (“-” for loss) | ||
| Net gain on exposure hedges (“-” |
| for loss) | ||
| Gain on changes in fair value (“-” for loss) | ||
| Credit impairment loss (“-” for loss) | ||
| Asset impairment loss (“-” for loss) | ||
| Asset disposal income (“-” for loss) | -24,042.07 | |
| 2. Operating profit (“-” for loss) | -1,939,992.48 | -6,328,199.10 |
| Add: Non-operating income | 30,349.78 | |
| Less: Non-operating expense | 1,000,000.00 | |
| 3. Profit before tax (“-” for loss) | -1,909,642.70 | -7,328,199.10 |
| Less: Income tax expense | ||
| 4. Net profit (“-” for net loss) | -1,909,642.70 | -7,328,199.10 |
| 4.1 Net profit from continuing operations (“-” for net loss) | -1,909,642.70 | -7,328,199.10 |
| 4.2 Net profit from discontinued operations (“-” for net loss) | ||
| 5. Other comprehensive income, net of tax | ||
| 5.1 Items that will not be reclassified to profit or loss | ||
| 5.1.1 Changes caused by remeasurements on defined benefit pension schemes | ||
| 5.1.2 Other comprehensive income that will not be reclassified to profit or loss under the equity method | ||
| 5.1.3 Changes in the fair value of investments in other equity instruments | ||
| 5.1.4 Changes in the fair value of the company’s credit risks | ||
| 5.1.5 Other | ||
| 5.2 Items that will be reclassified to profit or loss | ||
| 5.2.1 Other comprehensive income that will be reclassified to profit or loss under the equity method | ||
| 5.2.2 Changes in the fair value of investments in other debt obligations |
| 5.2.3 Other comprehensive income arising from the reclassification of financial assets | ||
| 5.2.4 Allowance for credit impairments in investments in other debt obligations | ||
| 5.2.5 Reserve for cash flow hedges | ||
| 5.2.6 Differences arising from the translation of foreign currency-denominated financial statements | ||
| 5.2.7 Other | ||
| 6. Total comprehensive income | -1,909,642.70 | -7,328,199.10 |
| 7. Earnings per share | ||
| 7.1 Basic earnings per share | ||
| 7.2 Diluted earnings per share |
5. Consolidated Cash Flow Statement
Unit: RMB
| Item | Q1 2021 | Q1 2020 |
| 1. Cash flows from operating activities: | ||
| Proceeds from sale of commodities and rendering of services | 2,723,222,764.35 | 1,881,294,907.03 |
| Net increase in customer deposits and interbank deposits | ||
| Net increase in borrowings from the central bank | ||
| Net increase in loans from other financial institutions | ||
| Premiums received on original insurance contracts | ||
| Net proceeds from reinsurance | ||
| Net increase in deposits and investments of policy holders | ||
| Interest, handling charges and commissions received | ||
| Net increase in interbank loans obtained | ||
| Net increase in proceeds from repurchase transactions |
| Net proceeds from acting trading of securities | ||
| Tax rebates | 2,397,841.07 | 3,888,658.17 |
| Cash generated from other operating activities | 500,143,601.78 | 322,173,357.74 |
| Subtotal of cash generated from operating activities | 3,225,764,207.20 | 2,207,356,922.94 |
| Payments for commodities and services | 2,302,395,084.62 | 1,512,095,916.20 |
| Net increase in loans and advances to customers | ||
| Net increase in deposits in the central bank and in interbank loans granted | ||
| Payments for claims on original insurance contracts | ||
| Net increase in interbank loans granted | ||
| Interest, handling charges and commissions paid | ||
| Policy dividends paid | ||
| Cash paid to and for employees | 92,696,571.12 | 90,315,621.12 |
| Taxes paid | 68,496,499.66 | 48,656,100.30 |
| Cash used in other operating activities | 487,418,827.64 | 227,340,451.00 |
| Subtotal of cash used in operating activities | 2,951,006,983.04 | 1,878,408,088.62 |
| Net cash generated from/used in operating activities | 274,757,224.16 | 328,948,834.32 |
| 2. Cash flows from investing activities: | ||
| Proceeds from disinvestment | 553,344,218.29 | 430,158,276.12 |
| Return on investment | 4,786,581.45 | 4,513,448.35 |
| Net proceeds from the disposal of fixed assets, intangible assets and other long-lived assets | 85,994.78 | 2,500.00 |
| Net proceeds from the disposal of subsidiaries and other business units | 5,000,000.00 | |
| Cash generated from other investing activities | ||
| Subtotal of cash generated from investing activities | 558,216,794.52 | 439,674,224.47 |
| Payments for the acquisition of fixed | 16,999,069.25 | 4,848,818.22 |
| assets, intangible assets and other long-lived assets | ||
| Payments for investments | 510,000,000.00 | 238,280,000.00 |
| Net increase in pledged loans granted | ||
| Net payments for the acquisition of subsidiaries and other business units | ||
| Cash used in other investing activities | ||
| Subtotal of cash used in investing activities | 526,999,069.25 | 243,128,818.22 |
| Net cash generated from/used in investing activities | 31,217,725.27 | 196,545,406.25 |
| 3. Cash flows from financing activities: | ||
| Capital contributions received | ||
| Including: Capital contributions by non-controlling interests to subsidiaries | ||
| Borrowings obtained | 921,639,571.50 | 1,223,077,644.38 |
| Cash generated from other financing activities | ||
| Subtotal of cash generated from financing activities | 921,639,571.50 | 1,223,077,644.38 |
| Repayments of borrowings | 908,547,195.60 | 1,174,444,005.01 |
| Payments for interest and dividends | 16,299,326.30 | 16,033,923.34 |
| Including: Dividends paid by subsidiaries to non-controlling interests | ||
| Cash used in other financing activities | ||
| Subtotal of cash used in financing activities | 924,846,521.90 | 1,190,477,928.35 |
| Net cash generated from/used in financing activities | -3,206,950.40 | 32,599,716.03 |
| 4. Effect of foreign exchange rate changes on cash and cash equivalents | 38,441.99 | -7,811,914.24 |
| 5. Net increase in cash and cash equivalents | 302,806,441.02 | 550,282,042.36 |
| Add: Cash and cash equivalents, beginning of the period | 334,389,017.41 | 555,097,777.21 |
| 6. Cash and cash equivalents, end of the period | 637,195,458.43 | 1,105,379,819.57 |
6. Cash Flow Statement of the Company as the Parent
Unit: RMB
| Item | Q1 2021 | Q1 2020 |
| 1. Cash flows from operating activities: | ||
| Proceeds from sale of commodities and rendering of services | 1,930.25 | |
| Tax rebates | 200.00 | |
| Cash generated from other operating activities | 1,657,348.13 | 4,596,500.27 |
| Subtotal of cash generated from operating activities | 1,659,278.38 | 4,596,700.27 |
| Payments for commodities and services | 9,688.23 | 6,089.61 |
| Cash paid to and for employees | 1,131,342.20 | 4,536,346.77 |
| Taxes paid | 45,031.71 | 296,186.19 |
| Cash used in other operating activities | 1,069,757.65 | 4,678,032.18 |
| Subtotal of cash used in operating activities | 2,255,819.79 | 9,516,654.75 |
| Net cash generated from/used in operating activities | -596,541.41 | -4,919,954.48 |
| 2. Cash flows from investing activities: | ||
| Proceeds from disinvestment | ||
| Return on investment | ||
| Net proceeds from the disposal of fixed assets, intangible assets and other long-lived assets | 44,424.78 | |
| Net proceeds from the disposal of subsidiaries and other business units | ||
| Cash generated from other investing activities | ||
| Subtotal of cash generated from investing activities | 44,424.78 | |
| Payments for the acquisition of fixed assets, intangible assets and other long-lived assets | ||
| Payments for investments | ||
| Net payments for the acquisition of subsidiaries and other business units | ||
| Cash used in other investing |
| activities | ||
| Subtotal of cash used in investing activities | ||
| Net cash generated from/used in investing activities | 44,424.78 | |
| 3. Cash flows from financing activities: | ||
| Capital contributions received | ||
| Borrowings obtained | 4,000,000.00 | |
| Cash generated from other financing activities | ||
| Subtotal of cash generated from financing activities | 4,000,000.00 | |
| Repayments of borrowings | ||
| Payments for interest and dividends | ||
| Cash used in other financing activities | ||
| Subtotal of cash used in financing activities | ||
| Net cash generated from/used in financing activities | 4,000,000.00 | |
| 4. Effect of foreign exchange rate changes on cash and cash equivalents | ||
| 5. Net increase in cash and cash equivalents | -552,116.63 | -919,954.48 |
| Add: Cash and cash equivalents, beginning of the period | 1,523,322.79 | 3,536,102.19 |
| 6. Cash and cash equivalents, end of the period | 971,206.16 | 2,616,147.71 |
II Adjustments to the Financial Statements
1. Adjustments to the Financial Statements at the Beginning of the First Execution Year of the NewStandards Governing Leases from 2021
√ Applicable □ Not applicable
Whether the Company needs to adjust items in balance sheets at the beginning of the year
√ Yes □ No
Consolidated Balance Sheet
Unit: RMB
| Item | 31 December 2020 | 1 January 2021 | Adjusted |
| Current assets: | |||
| Monetary assets | 335,466,169.61 | 335,466,169.61 | |
| Held-for-trading financial assets | 63,478,071.73 | 63,478,071.73 | |
| Notes receivable | 456,565.85 | 456,565.85 | |
| Accounts receivable | 92,245,667.60 | 92,245,667.60 | |
| Prepayments | 282,343,218.05 | 282,234,970.05 | -108,248.00 |
| Other receivables | 541,905,656.97 | 541,905,656.97 | |
| Inventories | 1,225,083,742.26 | 1,225,083,742.26 | |
| Other current assets | 845,450,678.36 | 845,450,678.36 | |
| Total current assets | 3,386,429,770.43 | 3,386,321,522.43 | -108,248.00 |
| Non-current assets: | |||
| Long-term equity investments | 217,762,487.79 | 217,762,487.79 | |
| Investments in other equity instruments | 20,000,000.00 | 20,000,000.00 | |
| Investment property | 22,560,212.50 | 22,560,212.50 | |
| Fixed assets | 1,131,143,854.07 | 1,131,143,854.07 | |
| Construction in progress | 28,458,413.67 | 28,458,413.67 | |
| Use rights assets | 2,722,789.09 | 2,722,789.09 | |
| Intangible assets | 354,139,335.32 | 354,139,335.32 | |
| Goodwill | 191,394,422.51 | 191,394,422.51 | |
| Long-term prepaid expense | 20,529,601.50 | 20,529,601.50 | |
| Deferred income tax assets | 3,346,814.27 | 3,346,814.27 | |
| Other non-current assets | 319,739,581.67 | 319,739,581.67 | |
| Total non-current assets | 2,309,074,723.30 | 2,311,797,512.39 | 2,722,789.09 |
| Total assets | 5,695,504,493.73 | 5,698,119,034.82 | 2,614,541.09 |
| Current liabilities: | |||
| Short-term borrowings | 1,497,414,079.05 | 1,497,414,079.05 | |
| Held-for-trading financial liabilities | 371,219,136.84 | 371,219,136.84 | |
| Accounts payable | 75,384,075.39 | 75,384,075.39 | |
| Advances from customers | 1,087,874.02 | 1,087,874.02 | |
| Contractual liabilities | 346,874,260.90 | 346,874,260.90 | |
| Payroll payable | 33,345,136.94 | 33,345,136.94 |
| Taxes payable | 50,884,214.64 | 50,884,214.64 | |
| Other payables | 72,292,881.24 | 72,292,881.24 | |
| Including: Interest payable | 21,082,795.47 | 21,082,795.47 | |
| Dividends payable | 11,013,302.88 | 11,013,302.88 | |
| Other current liabilities | 8,319,696.79 | 8,319,696.79 | |
| Total current liabilities | 2,456,821,355.81 | 2,456,821,355.81 | |
| Non-current liabilities: | |||
| Lease liabilities | 2,614,541.09 | 2,614,541.09 | |
| Long-term payroll payable | 5,677,134.00 | 5,677,134.00 | |
| Deferred income | 68,716,699.34 | 68,716,699.34 | |
| Deferred income tax liabilities | 65,115,801.22 | 65,115,801.22 | |
| Total non-current liabilities | 139,509,634.56 | 142,124,175.65 | 2,614,541.09 |
| Total liabilities | 2,596,330,990.37 | 2,598,945,531.46 | 2,614,541.09 |
| Owners’ equity: | |||
| Share capital | 726,950,251.00 | 726,950,251.00 | |
| Capital reserves | 1,674,828,350.95 | 1,674,828,350.95 | |
| Other comprehensive income | -363,258.66 | -363,258.66 | |
| Surplus reserves | 122,122,436.98 | 122,122,436.98 | |
| Retained earnings | 187,033,763.26 | 187,033,763.26 | |
| Total equity attributable to owners of the Company as the parent | 2,710,571,543.53 | 2,710,571,543.53 | |
| Non-controlling interests | 388,601,959.83 | 388,601,959.83 | |
| Total owners’ equity | 3,099,173,503.36 | 3,099,173,503.36 | |
| Total liabilities and owners’ equity | 5,695,504,493.73 | 5,698,119,034.82 | 2,614,541.09 |
Balance sheet of the company as the parent
Unit: RMB
| Item | 31 December 2020 | 1 January 2021 | Adjusted |
| Current assets: | |||
| Monetary assets | 1,523,322.79 | 1,523,322.79 | |
| Accounts receivable | 11,784.00 | 11,784.00 |
| Prepayments | 423,679.12 | 423,679.12 | |
| Other receivables | 103,341.26 | 103,341.26 | |
| Inventories | 3,775,954.85 | 3,775,954.85 | |
| Other current assets | 2,445,772.47 | 2,445,772.47 | |
| Total current assets | 8,283,854.49 | 8,283,854.49 | |
| Non-current assets: | |||
| Long-term equity investments | 2,626,437,846.24 | 2,626,437,846.24 | |
| Investments in other equity instruments | 20,000,000.00 | 20,000,000.00 | |
| Investment property | 6,222,001.73 | 6,222,001.73 | |
| Fixed assets | 2,809,083.51 | 2,809,083.51 | |
| Intangible assets | 209,185.10 | 209,185.10 | |
| Total non-current assets | 2,655,678,116.58 | 2,655,678,116.58 | |
| Total assets | 2,663,961,971.07 | 2,663,961,971.07 | |
| Current liabilities: | |||
| Advances from customers | 38,896.41 | 38,896.41 | |
| Payroll payable | 341,902.14 | 341,902.14 | |
| Taxes payable | 1,037,881.62 | 1,037,881.62 | |
| Other payables | 309,067,618.99 | 309,067,618.99 | |
| Including: Interest payable | 21,082,795.47 | 21,082,795.47 | |
| Dividends payable | 3,213,302.88 | 3,213,302.88 | |
| Total current liabilities | 310,486,299.16 | 310,486,299.16 | |
| Non-current liabilities: | |||
| Total liabilities | 310,486,299.16 | 310,486,299.16 | |
| Owners’ equity: | |||
| Share capital | 726,950,251.00 | 726,950,251.00 | |
| Capital reserves | 2,379,144,900.84 | 2,379,144,900.84 | |
| Surplus reserves | 109,487,064.39 | 109,487,064.39 | |
| Retained earnings | -862,106,544.32 | -862,106,544.32 | |
| Total owners’ equity | 2,353,475,671.91 | 2,353,475,671.91 | |
| Total liabilities and owners’ equity | 2,663,961,971.07 | 2,663,961,971.07 |
2. Retrospective Restatement of Previous Comparative Data due to the First Execution of the NewStandards Governing Leases from 2021
□ Applicable √ Not applicable
III Independent Auditor’s ReportIndicate by tick mark whether the financial statements above have been audited by an independent auditor.
□ Yes √ No
These financial statements have not been audited by such an auditor.
Hainan Jingliang Holdings Co., Ltd.
28 April 2021