ANHUI GUJING DISTILLERY COMPANY LIMITED THIRD QUARTER REPORT 2018 October 2018 Part I Important Notes The Board of Directors (or the “Board”), the Supervisory Committee as well as the directors, supervisors and senior management of Anhui Gujing Distillery Company Limited (together with its consolidated subsidiaries, the “Company”, except where the context otherwise requires) hereby guarantee the factuality, accuracy and completeness of the contents of thisReport and its summary, and shall be jointly and severally liable for any misrepresentations,misleading statements or material omissions therein. All the Company’s directors have attended the Board meeting for the review of this Report and its summary. Liang Jinhui, the Company’s legal representative, Ye Changqing, the Company’s ChiefAccountant, and Zhu Jiafeng, head of the Company’s financial department (equivalent to financial 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 Information I Key Consolidated Financial Information Indicate by tick mark whether there is any retrospectively restated datum in the table below. □ Yes √ No | 30 September 2018 | 31 December 2017 | Change (%) | Total assets (RMB) | 12,498,719,843.68 | 10,152,862,119.05 | 23.11% | Equity attributable to the listed company’s shareholders (RMB) | 7,162,683,158.57 | 6,459,078,378.38 | 10.89% | | Q3 2018 | YoY change (%) | Q1-Q3 2018 | YoY change (%) | Operating revenue (RMB) | 1,979,015,719.48 | 18.25% | 6,762,099,614.81 | 26.54% | Net profit attributable to the listed company’s shareholders (RMB) | 363,302,909.34 | 46.14% | 1,255,725,246.98 | 57.46% | Net profit attributable to the listed company’s shareholders before exceptional items (RMB) | 347,165,716.83 | 41.53% | 1,219,514,190.95 | 67.23% | Net cash generated from/used in operating activities (RMB) | -- | -- | 2,537,458,914.99 | 116.47% | Basic earnings per share (RMB/share) | 0.72 | 46.94% | 2.49 | 57.59% | Diluted earnings per share (RMB/share) | 0.72 | 46.94% | 2.49 | 57.59% | Weighted average return on equity (%) | 5.92% | 1.74% | 18.15% | 4.62% |
Item | Q1-Q3 2018 | Note | Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) | -4,383,973.75 | | Government subsidies charged to current profit or loss (exclusive of government subsidies given in the Company’s ordinary course of business at fixed quotas or amounts as per government’s uniform standards) | 12,056,901.76 | | Gain or loss on fair-value changes in trading financial assets and liabilities & investment income from disposal of trading financial assets and liabilities and available-for-sale financial assets (exclusive of effective portion of hedges that arise in the | 18,403,630.98 | |
Company’s ordinary course of business) | | | Non-operating income and expense other than above | 23,258,875.51 | | Less: Income tax effects | 12,250,086.58 | | Non-controlling interests effects (net of tax) | 874,291.89 | | Total | 36,211,056.03 | -- |
Number of ordinary shareholders | 21,908 | 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 | Shares in pledge or frozen | Status | Shares | ANHUI GUJING GROUP COMPANY LIMITED | State-owned legal person | 53.89% | 271,404,022 | | Pledged | 114,000,000 | NORGES BANK | Foreign legal person | 2.59% | 13,026,335 | | | | GAOLING FUND,L.P. | Foreign legal person | 2.47% | 12,446,408 | | | | CHINA INT'L CAPITAL CORP HONG KONG SECURITIES LTD | Foreign legal person | 1.56% | 7,854,569 | | | | AGRICULTURAL BANK OF | Other | 1.49% | 7,485,278 | | | |
CHINA- E FUND CONSUMPTION SECTOR STOCK SECURITIES INVESTMENT FUND | | | | | | | UBS (LUX) EQUITY FUND - CHINA OPPORTUNITY (USD) | Foreign legal person | 1.41% | 7,096,361 | | | | CENTRAL HUIJIN ASSET MANAGEMENT CO., LTD. | State-owned legal person | 1.30% | 6,543,600 | | | | GREENWOODS CHINA ALPHA MASTER FUND | Foreign legal person | 1.12% | 5,657,150 | | | | UBS (LUX) EQUITY FUND - GREATER CHINA (USD) | Foreign legal person | 0.84% | 4,214,618 | | | | 3W GREATER CHINA FOCUS FUND | Foreign legal person | 0.70% | 3,529,479 | | | | Top 10 un restricted shareholders | Name of shareholder | Unrestricted shares | Shares by type | Type | Shares | ANHUI GUJING GROUP COMPANY LIMITED | 271,404,022 | RMB-denominated ordinary stock | 271,404,022 | NORGES BANK | 13,026,335 | Domestically listed foreign stock | 13,026,335 | GAOLING FUND,L.P. | 12,446,408 | Domestically listed foreign stock | 12,446,408 | CHINA INT'L CAPITAL CORP HONG KONG SECURITIES LTD | 7,854,569 | Domestically listed foreign stock | 7,854,569 |
AGRICULTURAL BANK OF CHINA- E FUND CONSUMPTION SECTOR STOCK SECURITIES INVESTMENT FUND | 7,485,278 | RMB-denominated ordinary stock | 7,485,278 | UBS (LUX) EQUITY FUND - CHINA OPPORTUNITY (USD) | 7,096,361 | Domestically listed foreign stock | 7,096,361 | CENTRAL HUIJIN ASSET MANAGEMENT CO., LTD. | 6,543,600 | RMB-denominated ordinary stock | 6,543,600 | GREENWOODS CHINA ALPHA MASTER FUND | 5,657,150 | Domestically listed foreign stock | 5,657,150 | UBS (LUX) EQUITY FUND - GREATER CHINA (USD) | 4,214,618 | Domestically listed foreign stock | 4,214,618 | 3W GREATER CHINA FOCUS FUND | 3,529,479 | Domestically listed foreign stock | 3,529,479 | Related or acting-in-concert parties among shareholders above | Among the shareholders above, the Company’s controlling shareholder—Anhui Gujing Group Company Limited—is not a connected party of other shareholders; nor are they parties acting in concert as defined in the Administrative Measures on Information Disclosure of Changes in Shareholding of Listed Companies. As for the other shareholders, the Company does not know whether they are connected parties or whether they belong to parties acting in concert as defined in the Administrative Measures on Information Disclosure of Changes in Shareholding of Listed Companies. | Top 10 ordinary shareholders involved in securities margin trading (if any) | N/A |
Part III Significant Events I Changes in Selected Consolidated Financial Statement Line Items and Explanation of why √ Applicable □ Not applicable Balance sheet item | 30 September 2018 | 31 December 2017 | Change (%) | Explanation of why | Monetary capital | 2,290,543,688.54 | 1,484,088,626.40 | 54.34% | The main reason is the increase in sales refund. | Financial assets at fair value through profit or loss | 765,314.56 | 99,800.76 | 666.84% | Rise in financial assets held | Notes receivable | 1,357,500,867.13 | 720,611,126.78 | 88.38% | Rise in notes receivable from customers | Prepayments | 91,512,392.86 | 41,729,637.34 | 119.30% | Rise in advertising prepayments | Other current assets | 2,638,022,457.37 | 1,772,310,946.58 | 48.85% | The main reason is the increase in purchase financing. | Advances from customers | 1,113,873,850.71 | 503,083,108.13 | 121.41% | More orders from customers | Other current liabilities | 912,548,901.99 | 182,846,942.10 | 399.08% | Rise in unrecognized expense | Deferred income | 76,794,419.56 | 43,706,503.22 | 75.70% | The main reason is the increase in government subsidies received from assets. | Other comprehensive income | 5,000,360.65 | 53,520,827.44 | -90.66% | Disposal of available-for-sale financial assets | Income statement item | Q1~Q3 2018 | Q1~Q3 2017 | Change (%) | Explanation of why | Other income | 11,725,901.76 | 29,208,717.30 | -59.85% | The main reason is the decrease in revenue related government subsidies received. | Net profit | 1,255,725,246.98 | 797,483,310.43 | 57.46% | Higher operating revenue and strong sales of high-class products | Cash flow statement item | Q1~Q3 2018 | Q1~Q3 2017 | Change (%) | Explanation of why | Net cash generated from operating activities | 2,537,458,914.99 | 1,172,185,422.15 | 116.47% | More cash inflows generated from sales | Net cash generated from financing | -503,600,00 | -302,160,00 | -66.67 | Distribution of more dividends |
V Securities Investments √ Applicable □ Not applicable Unit: RMB Security type | Security code | Security name | Initial investment cost | Measurement method | Beginning carrying amount | Gain/Loss on fair-value changes in Reporting Period | Accumulated fair-value changes charged to equity | Purchased in Reporting Period | Sold in Reporting Period | Gain/loss in Reporting Period | Ending carrying amount | Accounting title | Funding source | Domestically/Overseas listed stock | 000001 | PAYH | 70,317,243.98 | Fair value method | 106,943,823.70 | | -25,087,573.68 | | 81,856,250.02 | 11,586,297.23 | 0.00 | Available-for-sale financial assets | Self-funded | Domestically/Overseas listed stock | 601988 | ZGYH | 44,385,674.20 | Fair value method | 71,313,507.00 | | -6,466,716.00 | | 64,846,791.00 | 6,017,812.54 | 0.00 | Available-for-sale financial assets | Self-funded | Funds | | GFNSTYR 1st E Securities Investment Funds | 150,000,000.00 | Fair value method | 127,154,958.08 | | -564,052.40 | | 126,590,905.68 | 8,841,868.22 | 0.00 | Available-for-sale financial assets | Self-funded | Funds | | ZXYSDP 1st Assets Management Plan | 200,000,000.00 | Fair value method | 211,674,059.13 | | -5,006,911.63 | | 0.00 | 10,883,000.00 | 206,667,147.50 | Available-for-sale financial assets | Self-funded | Total | 464,702,918.18 | -- | 517,086,347.91 | | -37,125,253.71 | | 273,293,946.70 | 37,328,977.99 | 206,667,147.50 | -- | -- |
Disclosure date of announcement on Board’s consent for securities investments | Naught | Disclosure date of announcement on general meeting’s consent for securities investments (if any) | Naught |
Type of wealth management | Funding source | Principal | Outstanding amount before maturity | Overdue amount | Wealth management product purchased from bank | Self-funded | 119,000 | 119,000 | 0.00 | Wealth management product purchased from broker | Self-funded | 40,000 | 17,600 | 0.00 | Wealth management product purchased from entrustment | Self-funded | 125,000 | 105,000 | 0.00 | Others | Self-funded | 40,646.71 | 40,646.71 | 0.00 | Total | 324,646.71 | 282,246.71 | 0.00 |
Trustee | Type of trustee | Type of wealth management product | Principal (Unit: RMB’0,000) | Funding source | Start date | End date | Investment with principal | Way of payback | Reference annualized return (%) | Expected return (if any) | Actual gain/loss in Reporting Period(Unit | Collection/payment of gain/loss in Reporting Period | Impairment allowance (if any) | Through prescribed procedure | Any plan for further entrustment | Overview and index to more informatio |
| | | | | | | | | | | : RMB’0,000) | | | or not | | n (if any) | CITIC Wings Asset Management Company Limited | Company Limited | Funds | 20,000 | Self-funded | | | Purchasing new shares offline, fixed income instruments, and Reverse repurchase of national debt, etc | 1.2% of the net value of product and 20% of excess earnings | 6.00% | | 1,088.30 | Collected | 0.00 | Yes | Yes | | Total | 20,000 | -- | -- | -- | -- | -- | -- | | 1,088.30 | -- | 0.00 | -- | -- | -- |
Counterparty | Relationship with the Company | Related-party transaction or not | Type of derivative | Initial investment amount | Start date | End date | Beginning investment | Purchased in Reporting Period | Sold in Reporting Period | Impairment allowance (if any) | Ending investment | Ending investment as % of the | Actual gain/loss in Reporting |
| | | | | | | | | | | | Company’s ending net assets | Period | Reverse repurchase of national debt | Naught | No | Reverse repurchase of national debt | 0.00 | 29 March 2018 | 9 October 2018 | 5,000 | 31,980 | 17,000 | 0.00 | 19,980 | 2.79% | 21.44 | Total | 0.00 | -- | -- | 5,000 | 31,980 | 17,000 | 0.00 | 19,980 | 2.79% | 21.44 | Funding source | Self-funded | Legal matters involved (if applicable) | N/A | Disclosure date of board announcement approving derivative investment (if any) | 30 August 2013 | Disclosure date of general meeting announcement approving derivative investment (if any) | | Analysis of risks and control measures associated with derivative investments held in Reporting Period (including but not limited to market risk, liquidity risk, credit risk, operational risk, legal risk, etc.) | The Company had controlled the relevant risks strictly according to the Derivatives Investment Management System. | Changes in market prices or fair value of derivative investments in Reporting Period (fair value analysis should include measurement method and related assumptions and parameters) | Naught | Major changes in accounting policies and specific accounting principles adopted for derivative investments in Reporting Period compared to last reporting period | Naught | Opinion of independent directors on derivative | Based on the sustainable development of the main business and the sufficient free idle money, the Company increased the profits |
investments and risk control | through investing in the reasonable financial derivative instruments, which was in favor of improving the service efficiency of the idle funds; in order to reduce the investment risks of the financial derivative instruments, the Company had set up corresponding supervision mechanism for the financial derivative instrument business and formulated reasonable accounting policy as well as specific principles of financial accounting; the derivative Investment business developed separately took national debts as mortgage object, which was met with the cautious and steady risks management principle and the interest of the Company and shareholders. Therefore, agreed the Company to develop the derivative Investment business of reverse repurchase of national debt not more than the limit of RMB0.3 billion. |
Part IV Financial Statements I Financial Statements 1. Consolidated Balance Sheet Prepared by Anhui Gujing Distillery Company Limited 30 September 2018 Unit: RMB Item | 30 September 2018 | 31 December 2017 | Current assets: | | | Monetary capital | 2,290,543,688.54 | 1,484,088,626.40 | Settlement reserve | | | Interbank loans granted | | | Financial assets at fair value through profit or loss | 765,314.56 | 99,800.76 | Derivative financial assets | | | Notes and accounts receivable | 1,380,839,127.04 | 743,077,269.84 | Including: Notes receivable | 1,357,500,867.13 | 720,611,126.78 | Accounts receivable | 23,338,259.91 | 22,466,143.06 | Prepayments | 91,512,392.86 | 41,729,637.34 | Premiums receivable | | | Reinsurance receivables | | | Receivable reinsurance contract reserve | | | Other receivables | 36,689,323.69 | 29,273,284.22 | Financial assets purchased under resale agreements | | | Inventories | 2,204,200,968.64 | 2,064,130,297.51 | Assets classified as held for sale | | | Current portion of non-current assets | | | Other current assets | 2,638,022,457.37 | 1,772,310,946.58 | Total current assets | 8,642,573,272.70 | 6,134,709,862.65 | Non-current assets: | | | Loans and advances to customers | | | Available-for-sale financial assets | 206,667,147.50 | 517,086,347.91 |
Held-to-maturity investments | | | Long-term receivables | | | Long-term equity investments | 4,900,000.00 | 0.00 | Investment property | 5,085,658.35 | 5,343,777.33 | Fixed assets | 1,708,627,796.64 | 1,792,254,178.56 | Construction in progress | 101,842,936.10 | 54,496,798.56 | Productive living assets | | | Oil and gas assets | | | Intangible assets | 744,755,466.09 | 691,381,442.67 | R&D expense | | | Goodwill | 478,283,495.29 | 478,283,495.29 | Long-term prepaid expense | 70,151,864.55 | 69,238,523.78 | Deferred income tax assets | 223,358,180.46 | 92,157,477.74 | Other non-current assets | 312,474,026.00 | 317,910,214.56 | Total non-current assets | 3,856,146,570.98 | 4,018,152,256.40 | Total assets | 12,498,719,843.68 | 10,152,862,119.05 | Current liabilities: | | | Short-term borrowings | | | Borrowings from central bank | | | Customer deposits and interbank deposits | | | Interbank loans obtained | | | Financial liabilities at fair value through profit or loss | | | Derivative financial liabilities | | | Notes and accounts payable | 838,200,488.62 | 636,365,039.83 | Advances from customers | 1,113,873,850.71 | 503,083,108.13 | Financial assets sold under repurchase agreements | | | Handling charges and commissions payable | | | Payroll payable | 277,999,223.05 | 372,374,014.37 | Taxes payable | 544,643,479.77 | 420,984,845.45 | Other payables | 1,053,169,955.68 | 1,032,543,553.34 | Reinsurance payables | | | Insurance contract reserve | | |
Payables for acting trading of securities | | | Payables for underwriting of securities | | | Liabilities directly associated with assets classified as held for sale | | | Current portion of non-current liabilities | | | Other current liabilities | 912,548,901.99 | 182,846,942.10 | Total current liabilities | 4,740,435,899.82 | 3,148,197,503.22 | Non-current liabilities: | | | Long-term borrowings | | | Bonds payable | | | Including: Preferred shares | | | Perpetual bonds | | | Long-term payables | | | Long-term payroll payable | | | Provisions | | | Deferred income | 76,794,419.56 | 43,706,503.22 | Deferred income tax liabilities | 103,498,908.42 | 119,779,105.90 | Other non-current liabilities | | | Total non-current liabilities | 180,293,327.98 | 163,485,609.12 | Total liabilities | 4,920,729,227.80 | 3,311,683,112.34 | Owners’ equity: | | | Share capital | 503,600,000.00 | 503,600,000.00 | Other equity instruments | | | Including: Preferred shares | | | Perpetual bonds | | | Capital reserves | 1,295,405,592.25 | 1,295,405,592.25 | Less: Treasury stock | | | Other comprehensive income | 5,000,360.65 | 53,520,827.44 | Specific reserve | | | Surplus reserves | 256,902,260.27 | 256,902,260.27 | General reserve | | | Retained earnings | 5,101,774,945.40 | 4,349,649,698.42 | Total equity attributable to owners of the Company as the parent | 7,162,683,158.57 | 6,459,078,378.38 | Non-controlling interests | 415,307,457.31 | 382,100,628.33 |
Total owners’ equity | 7,577,990,615.88 | 6,841,179,006.71 | Total liabilities and owners’ equity | 12,498,719,843.68 | 10,152,862,119.05 |
Item | 30 September 2018 | 31 December 2017 | Current assets: | | | Monetary capital | 1,439,928,284.26 | 1,276,262,109.02 | Financial assets at fair value through profit or loss | 765,314.56 | 99,800.76 | Derivative financial assets | | | Notes and accounts receivable | 1,197,375,721.44 | 683,031,572.43 | Including: Notes receivable | 1,185,344,522.86 | 674,521,654.40 | Accounts receivable | 12,031,198.58 | 8,509,918.03 | Prepayments | 35,785,234.66 | 8,534,600.82 | Other receivables | 101,027,526.08 | 130,357,778.75 | Inventories | 1,924,877,954.01 | 1,818,358,884.18 | Assets classified as held for sale | | | Current portion of non-current assets | | | Other current assets | 1,577,294,840.67 | 1,554,870,774.98 | Total current assets | 6,277,054,875.68 | 5,471,515,520.94 | Non-current assets: | | | Available-for-sale financial assets | 206,667,147.50 | 516,530,547.91 | Held-to-maturity investments | | | Long-term receivables | | | Long-term equity investments | 1,155,089,408.32 | 1,155,089,408.32 | Investment property | 25,292,098.90 | 26,409,050.95 | Fixed assets | 1,247,404,694.51 | 1,303,119,011.66 | Construction in progress | 85,415,107.29 | 44,673,219.38 | Productive living assets | | | Oil and gas assets | | | Intangible assets | 191,004,601.22 | 185,868,178.71 |
R&D expense | | | Goodwill | | | Long-term prepaid expense | 48,110,017.62 | 58,563,409.89 | Deferred income tax assets | 45,663,561.76 | 37,996,747.93 | Other non-current assets | 12,474,026.00 | 12,474,026.00 | Total non-current assets | 3,017,120,663.12 | 3,340,723,600.75 | Total assets | 9,294,175,538.80 | 8,812,239,121.69 | Current liabilities: | | | Short-term borrowings | | | Financial liabilities at fair value through profit or loss | | | Derivative financial liabilities | | | Notes and accounts payable | 295,762,231.06 | 347,757,180.53 | Advances from customers | 2,088,955,645.55 | 1,680,678,175.37 | Payroll payable | 102,636,717.08 | 110,435,403.45 | Taxes payable | 232,319,730.60 | 262,884,211.13 | Other payables | 240,560,823.32 | 173,250,790.29 | Liabilities directly associated with assets classified as held for sale | | | Current portion of non-current liabilities | | | Other current liabilities | 88,890,468.06 | 18,296,415.85 | Total current liabilities | 3,049,125,615.67 | 2,593,302,176.62 | Non-current liabilities: | | | Long-term borrowings | | | Bonds payable | | | Including: Preferred shares | | | Perpetual bonds | | | Long-term payables | | | Long-term payroll payable | | | Provisions | | | Deferred income | 37,449,628.26 | 39,976,048.28 | Deferred income tax liabilities | 4,966,533.42 | 19,792,209.68 | Other non-current liabilities | | | Total non-current liabilities | 42,416,161.68 | 59,768,257.96 | Total liabilities | 3,091,541,777.35 | 2,653,070,434.58 |
Owners’ equity: | | | Share capital | 503,600,000.00 | 503,600,000.00 | Other equity instruments | | | Including: Preferred shares | | | Perpetual bonds | | | Capital reserves | 1,247,162,107.35 | 1,247,162,107.35 | Less: Treasury stock | | | Other comprehensive income | 5,000,360.65 | 53,454,736.38 | Specific reserve | | | Surplus reserves | 251,800,000.00 | 251,800,000.00 | Retained earnings | 4,195,071,293.45 | 4,103,151,843.38 | Total owners’ equity | 6,202,633,761.45 | 6,159,168,687.11 | Total liabilities and owners’ equity | 9,294,175,538.80 | 8,812,239,121.69 |
Item | Q3 2018 | Q3 2017 | 1. Revenue | 1,979,015,719.48 | 1,673,566,893.29 | Including: Operating revenue | 1,979,015,719.48 | 1,673,566,893.29 | Interest income | | | Premium income | | | Handling charge and commission income | | | 2. Operating costs and expenses | 1,533,950,578.93 | 1,358,235,844.48 | Including: Cost of sales | 449,656,771.27 | 403,027,066.48 | Interest expense | | | Handling charge and commission expense | | | Surrenders | | | Net claims paid | | | Net amount provided as insurance contract reserve | | | Expenditure on policy dividends | | | Reinsurance premium expense | | |
Taxes and surcharges | 262,259,812.95 | 270,572,799.66 | Selling expense | 655,345,557.85 | 567,852,892.46 | Administrative expense | 159,034,927.22 | 117,373,152.52 | R&D expense | 3,965,869.26 | 4,092,574.82 | Finance costs | 3,693,411.04 | -4,682,311.30 | Including: Interest expense | | | Interest income | 10,808,466.78 | 5,555,951.51 | Asset impairment loss | -5,770.66 | -330.16 | Add: Other income | 7,238,865.71 | 5,491,790.81 | Investment income (“-” for loss) | 36,500,416.69 | 16,781,846.20 | Including: Share of profit or loss of joint ventures and associates | | | Gain on changes in fair value (“-” for loss) | -255,827.36 | 66,574.90 | Foreign exchange gain (“-” for loss) | | | Asset disposal income (“-” for loss) | -43,358.78 | -2,592.60 | 3. Operating profit (“-” for loss) | 488,505,236.81 | 337,668,668.12 | Add: Non-operating income | 11,046,979.09 | 3,114,093.89 | Less: Non-operating expense | 2,375,421.09 | 4,710,036.11 | 4. Profit before tax (“-” for loss) | 497,176,794.81 | 336,072,725.90 | Less: Income tax expense | 123,682,385.77 | 80,888,483.00 | 5. Net profit (“-” for net loss) | 373,494,409.04 | 255,184,242.90 | 5.1 Net profit from continuing operations (“-” for net loss) | 373,494,409.04 | 255,184,242.90 | 5.2 Net profit from discontinued operations (“-” for net loss) | | | Net profit attributable to owners of the Company as the parent | 363,302,909.34 | 248,593,418.78 | Net profit attributable to non-controlling interests | 10,191,499.70 | 6,590,824.12 | 6. Other comprehensive income, net of tax | -3,418,191.21 | 22,009,443.57 | Attributable to owners of the Company as the parent | -3,418,191.21 | 22,009,443.57 |
6.1 Items that will not be reclassified to profit or loss | | | 6.1.1 Changes in net liabilities or assets caused by remeasurements on defined benefit pension schemes | | | 6.1.2 Share of other comprehensive income of investees that will not be reclassified to profit or loss under equity method | | | 6.2 Items that may subsequently be reclassified to profit or loss | -3,418,191.21 | 22,009,443.57 | 6.2.1 Share of other comprehensive income of investees that will be reclassified to profit or loss under equity method | | | 6.2.2 Gain/Loss on changes in fair value of available-for-sale financial assets | -3,418,191.21 | 22,009,443.57 | 6.2.3 Gain/Loss arising from reclassification of held-to-maturity investments to available-for-sale financial assets | | | 6.2.4 Effective gain/loss on cash flow hedges | | | 6.2.5 Differences arising from translation of foreign currency-denominated financial statements | | | 6.2.6 Other | | | Attributable to non-controlling interests | | | 7. Total comprehensive income | 370,076,217.83 | 277,193,686.47 | Attributable to owners of the Company as the parent | 359,884,718.13 | 270,602,862.35 | Attributable to non-controlling interests | 10,191,499.70 | 6,590,824.12 | 8. Earnings per share | | | 8.1 Basic earnings per share | 0.72 | 0.49 | 8.2 Diluted earnings per share | 0.72 | 0.49 |
4. Income Statement of the Company as the Parent for Q3 Unit: RMB Item | Q3 2018 | Q3 2017 | 1. Operating revenue | 966,230,506.66 | 921,576,158.99 | Less: Cost of sales | 407,544,411.06 | 369,286,185.89 | Taxes and surcharges | 224,111,296.49 | 239,185,115.80 | Selling expense | 56,667,185.18 | 49,208,966.68 | Administrative expense | 110,294,343.82 | 82,935,471.05 | R&D expense | 3,045,462.80 | 2,973,517.28 | Finance costs | 4,498,704.12 | -4,231,951.79 | Including: Interest expense | | | Interest income | 7,601,319.39 | 5,010,330.12 | Asset impairment loss | | | Add: Other income | 6,035,419.81 | 1,413,247.38 | Investment income (“-” for loss) | 30,902,683.31 | 13,166,277.13 | Including: Share of profit or loss of joint ventures and associates | | | Gain on changes in fair value (“-” for loss) | -255,827.36 | 66,574.90 | Asset disposal income (“-” for loss) | 0.00 | 0.00 | 2. Operating profit (“-” for loss) | 196,751,378.95 | 196,864,953.49 | Add: Non-operating income | 8,922,115.32 | 4,078,123.06 | Less: Non-operating expense | 2,344,326.21 | 4,415,042.93 | 3. Profit before tax (“-” for loss) | 203,329,168.06 | 196,528,033.62 | Less: Income tax expense | 51,037,972.71 | 48,553,805.46 | 4. Net profit (“-” for net loss) | 152,291,195.35 | 147,974,228.16 | 4.1 Net profit from continuing operations (“-” for net loss) | 152,291,195.35 | 147,974,228.16 | 4.2 Net profit from discontinued operations (“-” for net loss) | | | 5. Other comprehensive income, net of tax | -3,389,900.15 | 22,106,418.63 | 5.1 Items that will not be reclassified to profit or loss | | | 5.1.1 Changes in net liabilities or assets caused by remeasurements on | | |
defined benefit pension schemes | | | 5.1.2 Share of other comprehensive income of investees that will not be reclassified to profit or loss under equity method | | | 5.2 Items that may subsequently be reclassified to profit or loss | -3,389,900.15 | 22,106,418.63 | 5.2.1 Share of other comprehensive income of investees that will be reclassified to profit or loss under equity method | | | 5.2.2 Gain/Loss on changes in fair value of available-for-sale financial assets | -3,389,900.15 | 22,106,418.63 | 5.2.3 Gain/Loss arising from reclassification of held-to-maturity investments to available-for-sale financial assets | | | 5.2.4 Effective gain/loss on cash flow hedges | | | 5.2.5 Differences arising from translation of foreign currency-denominated financial statements | | | 5.2.6 Other | | | 6. Total comprehensive income | 148,901,295.20 | 170,080,646.79 | 7. Earnings per share | | | 7.1 Basic earnings per share | 0.30 | 0.30 | 7.2 Diluted earnings per share | 0.30 | 0.30 |
Item | Q1~Q3 2018 | Q1~Q3 2017 | 1. Revenue | 6,762,099,614.81 | 5,343,694,657.88 | Including: Operating revenue | 6,762,099,614.81 | 5,343,694,657.88 | Interest income | | | Premium income | | | Handling charge and commission income | | | 2. Operating costs and expenses | 5,164,780,878.40 | 4,371,107,557.95 |
Including: Cost of sales | 1,492,332,239.51 | 1,316,206,265.39 | Interest expense | | | Handling charge and commission expense | | | Surrenders | | | Net claims paid | | | Net amount provided as insurance contract reserve | | | Expenditure on policy dividends | | | Reinsurance premium expense | | | Taxes and surcharges | 991,726,986.48 | 876,704,154.17 | Selling expense | 2,252,645,873.02 | 1,817,541,653.59 | Administrative expense | 431,508,130.58 | 376,683,136.96 | R&D expense | 11,993,003.62 | 8,204,285.81 | Finance costs | -16,591,495.51 | -21,946,953.95 | Including: Interest expense | | | Interest income | 32,453,350.26 | 23,510,763.14 | Asset impairment loss | 1,166,140.70 | -2,284,984.02 | Add: Other income | 11,725,901.76 | 29,208,717.30 | Investment income (“-” for loss) | 105,275,436.64 | 97,799,330.67 | Including: Share of profit or loss of joint ventures and associates | | | Gain on changes in fair value (“-” for loss) | -19,119.59 | -53,081.45 | Foreign exchange gain (“-” for loss) | | | Asset disposal income (“-” for loss) | 111,079.03 | 485,294.07 | 3. Operating profit (“-” for loss) | 1,714,412,034.25 | 1,100,027,360.52 | Add: Non-operating income | 25,805,776.85 | 18,075,883.56 | Less: Non-operating expense | 6,813,434.13 | 6,899,058.12 | 4. Profit before tax (“-” for loss) | 1,733,404,376.97 | 1,111,204,185.96 | Less: Income tax expense | 444,472,301.01 | 283,905,016.12 | 5. Net profit (“-” for net loss) | 1,288,932,075.96 | 827,299,169.84 |
5.1 Net profit from continuing operations (“-” for net loss) | 1,288,932,075.96 | 827,299,169.84 | 5.2 Net profit from discontinued operations (“-” for net loss) | | | Net profit attributable to owners of the Company as the parent | 1,255,725,246.98 | 797,483,310.43 | Net profit attributable to non-controlling interests | 33,206,828.98 | 29,815,859.41 | 6. Other comprehensive income, net of tax | -48,520,466.79 | 2,112,971.49 | Attributable to owners of the Company as the parent | -48,520,466.79 | 2,112,971.49 | 6.1 Items that will not be reclassified to profit or loss | | | 6.1.1 Changes in net liabilities or assets caused by remeasurements on defined benefit pension schemes | | | 6.1.2 Share of other comprehensive income of investees that will not be reclassified to profit or loss under equity method | | | 6.2 Items that may subsequently be reclassified to profit or loss | -48,520,466.79 | 2,112,971.49 | 6.2.1 Share of other comprehensive income of investees that will be reclassified to profit or loss under equity method | | | 6.2.2 Gain/Loss on changes in fair value of available-for-sale financial assets | -48,520,466.79 | 2,112,971.49 | 6.2.3 Gain/Loss arising from reclassification of held-to-maturity investments to available-for-sale financial assets | | | 6.2.4 Effective gain/loss on cash flow hedges | | | 6.2.5 Differences arising from translation of foreign currency-denominated financial statements | | | 6.2.6 Other | | | Attributable to non-controlling interests | | |
7. Total comprehensive income | 1,240,411,609.17 | 829,412,141.33 | Attributable to owners of the Company as the parent | 1,207,204,780.19 | 799,596,281.92 | Attributable to non-controlling interests | 33,206,828.98 | 29,815,859.41 | 8. Earnings per share | | | 8.1 Basic earnings per share | 2.49 | 1.58 | 8.2 Diluted earnings per share | 2.49 | 1.58 |
Item | Q1~Q3 2018 | Q1~Q3 2017 | 1. Operating revenue | 3,339,740,226.62 | 2,953,626,991.47 | Less: Cost of sales | 1,369,991,138.38 | 1,177,443,742.79 | Taxes and surcharges | 836,991,302.87 | 760,338,385.91 | Selling expense | 146,852,888.17 | 168,810,396.78 | Administrative expense | 293,729,948.49 | 259,920,181.40 | R&D expense | 10,431,247.70 | 6,093,224.72 | Finance costs | -12,706,830.00 | -12,590,308.28 | Including: Interest expense | | | Interest income | 27,845,600.69 | 13,837,334.84 | Asset impairment loss | 1,440,847.72 | -1,943,865.48 | Add: Other income | 8,398,899.82 | 21,964,845.00 | Investment income (“-” for loss) | 92,204,951.64 | 88,106,430.10 | Including: Share of profit or loss of joint ventures and associates | | | Gain on changes in fair value (“-” for loss) | -19,119.59 | -53,081.45 | Asset disposal income (“-” for loss) | 0.00 | 117,524.82 | 2. Operating profit (“-” for loss) | 793,594,415.16 | 705,690,952.10 | Add: Non-operating income | 21,200,416.41 | 6,524,601.89 | Less: Non-operating expense | 5,660,670.73 | 5,213,277.86 | 3. Profit before tax (“-” for loss) | 809,134,160.84 | 707,002,276.13 | Less: Income tax expense | 213,614,710.77 | 185,489,310.37 | 4. Net profit (“-” for net loss) | 595,519,450.07 | 521,512,965.76 |
4.1 Net profit from continuing operations (“-” for net loss) | 595,519,450.07 | 521,512,965.76 | 4.2 Net profit from discontinued operations (“-” for net loss) | | | 5. Other comprehensive income, net of tax | -48,454,375.73 | 2,182,646.55 | 5.1 Items that will not be reclassified to profit or loss | | | 5.1.1 Changes in net liabilities or assets caused by remeasurements on defined benefit pension schemes | | | 5.1.2 Share of other comprehensive income of investees that will not be reclassified to profit or loss under equity method | | | 5.2 Items that may subsequently be reclassified to profit or loss | -48,454,375.73 | 2,182,646.55 | 5.2.1 Share of other comprehensive income of investees that will be reclassified to profit or loss under equity method | | | 5.2.2 Gain/Loss on changes in fair value of available-for-sale financial assets | -48,454,375.73 | 2,182,646.55 | 5.2.3 Gain/Loss arising from reclassification of held-to-maturity investments to available-for-sale financial assets | | | 5.2.4 Effective gain/loss on cash flow hedges | | | 5.2.5 Differences arising from translation of foreign currency-denominated financial statements | | | 5.2.6 Other | | | 6. Total comprehensive income | 547,065,074.34 | 523,695,612.31 | 7. Earnings per share | | | 7.1 Basic earnings per share | 1.18 | 1.04 | 7.2 Diluted earnings per share | 1.18 | 1.04 |
7. Consolidated Cash Flow Statement for Q1~Q3 Unit: RMB Item | Q1~Q3 2018 | Q1~Q3 2017 | 1. Cash flows from operating activities: | | | Proceeds from sale of commodities and rendering of services | 7,234,393,863.39 | 5,433,189,005.14 | Net increase in customer deposits and interbank deposits | | | Net increase in borrowings from 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 | | | Net increase in proceeds from disposal of financial assets at fair value through profit or loss | | | Interest, handling charges and commissions received | | | Net increase in interbank loans obtained | | | Net increase in proceeds from repurchase transactions | | | Tax rebates | 5,652,636.00 | 14,260,319.10 | Cash generated from other operating activities | 752,962,249.94 | 203,473,532.73 | Subtotal of cash generated from operating activities | 7,993,008,749.33 | 5,650,922,856.97 | Payments for commodities and services | 1,161,445,122.31 | 701,247,390.39 | Net increase in loans and advances to customers | | | Net increase in deposits in central bank and in interbank loans granted | | | Payments for claims on original insurance contracts | | | Interest, handling charges and commissions paid | | |
Policy dividends paid | | | Cash paid to and for employees | 1,096,353,967.34 | 962,585,070.51 | Taxes paid | 2,355,225,927.92 | 2,164,760,737.13 | Cash used in other operating activities | 842,524,816.77 | 650,144,236.79 | Subtotal of cash used in operating activities | 5,455,549,834.34 | 4,478,737,434.82 | Net cash generated from/used in operating activities | 2,537,458,914.99 | 1,172,185,422.15 | 2. Cash flows from investing activities: | | | Proceeds from disinvestment | 1,947,182,948.35 | 3,027,776,929.29 | Investment income | 98,688,294.81 | 93,509,806.38 | Net proceeds from disposal of fixed assets, intangible assets and other long-lived assets | 190,780.00 | 413,563.04 | Net proceeds from disposal of subsidiaries or other business units | | | Cash generated from other investing activities | 0.00 | 1,646,000.00 | Subtotal of cash generated from investing activities | 2,046,062,023.16 | 3,123,346,298.71 | Payments for acquisition of fixed assets, intangible assets and other long-lived assets | 236,113,190.57 | 111,377,061.93 | Payments for investments | 2,577,352,685.44 | 3,699,390,190.62 | Net increase in pledged loans granted | | | Net payments for acquisition of subsidiaries and other business units | | | Cash used in other investing activities | | | Subtotal of cash used in investing activities | 2,813,465,876.01 | 3,810,767,252.55 | Net cash generated from/used in investing activities | -767,403,852.85 | -687,420,953.84 | 3. Cash flows from financing activities: | | | Capital contributions received | | | Including: Capital contributions by non-controlling interests to subsidiaries | | | Increase in borrowings obtained | | | Net proceeds from issuance of bonds | | | Cash generated from other financing activities | | |
Subtotal of cash generated from financing activities | | | Repayment of borrowings | | | Payments for interest and dividends | 503,600,000.00 | 302,160,000.00 | Including: Dividends paid by subsidiaries to non-controlling interests | | | Cash used in other financing activities | | | Subtotal of cash used in financing activities | 503,600,000.00 | 302,160,000.00 | Net cash generated from/used in financing activities | -503,600,000.00 | -302,160,000.00 | 4. Effect of foreign exchange rate changes on cash and cash equivalents | | | 5. Net increase in cash and cash equivalents | 1,266,455,062.14 | 182,604,468.31 | Add: Cash and cash equivalents, beginning of the period | 1,024,088,626.40 | 527,849,026.07 | 6. Cash and cash equivalents, end of the period | 2,290,543,688.54 | 710,453,494.38 |
Item | Q1~Q3 2018 | Q1~Q3 2017 | 1. Cash flows from operating activities: | | | Proceeds from sale of commodities and rendering of services | 3,141,049,319.18 | 3,652,910,092.77 | Tax rebates | 4,523,679.80 | 13,013,817.25 | Cash generated from other operating activities | 710,469,125.62 | 191,916,993.96 | Subtotal of cash generated from operating activities | 3,856,042,124.60 | 3,857,840,903.98 | Payments for commodities and services | 860,712,047.84 | 675,142,223.73 | Cash paid to and for employees | 415,612,241.11 | 376,675,264.85 | Taxes paid | 1,443,242,295.51 | 1,463,992,035.18 | Cash used in other operating activities | 183,422,505.37 | 174,480,145.44 | Subtotal of cash used in operating activities | 2,902,989,089.83 | 2,690,289,669.20 | Net cash generated from/used in operating activities | 953,053,034.77 | 1,167,551,234.78 |
2. Cash flows from investing activities: | | | Proceeds from disinvestment | 1,616,531,449.45 | 2,910,776,929.29 | Investment income | 94,048,416.72 | 92,096,692.18 | Net proceeds from disposal of fixed assets, intangible assets and other long-lived assets | | | Net proceeds from disposal of subsidiaries or other business units | | | Cash generated from other investing activities | 0.00 | 1,646,000.00 | Subtotal of cash generated from investing activities | 1,710,579,866.17 | 3,004,519,621.47 | Payments for acquisition of fixed assets, intangible assets and other long-lived assets | 149,014,040.26 | 89,445,216.89 | Payments for investments | 1,397,352,685.44 | 3,492,390,190.62 | Net payments for acquisition of subsidiaries and other business units | | | Cash used in other investing activities | | | Subtotal of cash used in investing activities | 1,546,366,725.70 | 3,581,835,407.51 | Net cash generated from/used in investing activities | 164,213,140.47 | -577,315,786.04 | 3. Cash flows from financing activities: | | | Capital contributions received | | | Increase in borrowings obtained | | | Net proceeds from issuance of bonds | | | Cash generated from other financing activities | | | Subtotal of cash generated from financing activities | | | Repayment of borrowings | | | Payments for interest and dividends | 503,600,000.00 | 302,160,000.00 | Cash used in other financing activities | | | Sub-total of cash used in financing activities | 503,600,000.00 | 302,160,000.00 | Net cash generated from/used in financing activities | -503,600,000.00 | -302,160,000.00 | 4. Effect of foreign exchange rate changes on cash and cash equivalents | | |
5. Net increase in cash and cash equivalents | 613,666,175.24 | 288,075,448.74 | Add: Cash and cash equivalents, beginning of the period | 826,262,109.02 | 225,792,686.26 | 6. Cash and cash equivalents, end of the period | 1,439,928,284.26 | 513,868,135.00 |
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