FIYTA Holdings Ltd. 2016 Semi-Annual Report
FIYTA HOLDINGS LTD.
2016 Semi-Annual Report
August, 2016
FIYTA Holdings Ltd. 2016 Semi-Annual Report
Section 1 Important Notice, Table of Contents and Definitions
The Board of Directors, the Supervisory Committee, directors, supervisors and senior executives hereby
individually and collectively accept responsibility for the correctness, accuracy and completeness of the
contents of this report and confirm that there are neither material omissions nor errors which would
render any statement misleading.
Except the following directors, all the other directors personally attended the board meeting for reviewing
the Annual Report:
Names of the directors Titles of the directors Cause of failure in attending Names of the attorneys
failed in attending the board failed in attending the board the board meeting
meeting personally meeting personally personally
Liu Aiyi Director Business trip Cao Zhen
Zhong Sijun Director Business trip Wang Mingchuan
Wang Yan Independent director Business trip Zhang Shunwen
The Company is not going to conduct interim dividend distribution, bonus share distribution or
conversion of reserve into share capital.
Mr. Xu Dongsheng, the Company leader, Mr. Hu Xinglong, chief financial officer, and Mr. Tian Hui, the
manager of the accounting department (treasurer) hereby confirm the authenticity and completeness of
the financial report enclosed in this Annual Report.
Any perspective description involved in the Report, such as the future plan, development strategy, etc.
shall not compose the Company’s substantial undertaking to the investors. Investors are advised to pay
attention to the risks involved in their investment.
FIYTA Holdings Ltd. 2016 Semi-Annual Report
Table of Contents
2016 Semi-Annual Report
Section 1 Important Notice, Table of Contents and Definitions
Section 2 Company Profile
Section 3 Financial and Business Highlights
Section 4 Report of the Board of Directors
Section 5 Significant Events
Section 6 Change of Shares and Particulars about the Shareholders
Section 7 About Preferred Shares
Chapter 8 Directors, Supervisors and Senior Executives
Section 9 Financial Report
Section 10 List of Documents Available for Inspection
FIYTA Holdings Ltd. 2016 Semi-Annual Report
Definition
Terms to be defined Refers to Definition
This Company, the Company or Fiyta Refers to FIYTA Holdings Ltd.
AVIC International Holdings Refers to AVIC International Holdings Limited
HARMONY Refers to Shenzhen Harmony World Watches Center Co., Ltd.
Rainbow Supermarket Refers to Rainbow Supermarket Co., Ltd.
CATIC Real Estate Refers to CATIC Real Estate Co., Ltd.
CATIC Property Refers to CATIC Property Management Co., Ltd.
FIYTA Holdings Ltd. 2016 Semi-Annual Report
Section 2 Company Profile
I. Company Profile
Abbreviation of the stock FIYTA A, FIYTA B Stock Code 000026 and 200026
Stock Exchange Listed with Shenzhen Stock Exchange
Company Name in Chinese 飞亚达（集团)股份有限公司
Abbreviation of company
飞亚达（集团)股份有限公司
name in Chinese (if any)
Company Name in English
(if any) FIYTA
Abbreviation of Company
FIYTA HOLDINGS LTD.
Name in English (if any)
Legal Representative of the
Xu Dongsheng
Company
II. Liaison Persons and Way of Communication
Secretary of the Board Securities Affairs Representative
Names Lu Wanjun Zhang Yong
20th Floor, FIYTA Technology Building, 20th Floor, FIYTA Technology Building,
Liaison Address Gaoxin S. Road One, Nanshan District, Gaoxin S. Road One, Nanshan District,
Shenzhen Shenzhen
Tel. 0755－86013198 0755－86013669
Fax 0755－83348369 0755－83348369
E-mail investor@fiyta.com.cn investor@fiyta.com.cn
III. Other Information
1. Way of Communication with the Company
Is there any change in the Company’s registered address, office address, postal code, website, e-mail
address in the reporting period?
Inapplicable
2. Information Disclosure and Place of Regular Reports Prepared for Inquiry
There is no change in the name of the newspapers designated for disclosing the information, internet web site designated
by China Securities Regulatory Commission for publishing the company’s semi-annual report: and place of the company’s
semi-annual report prepared for inquiry. For the detail, please refer to 2015 Annual Report
FIYTA Holdings Ltd. 2016 Semi-Annual Report
3. Changes of the Registration Data
No change took place with the Company’s registration date, registration number of the business licence, tax registration
number, organization code, etc. during the reporting period. For more detailed information, please refer to 2015 Annual
Report.
FIYTA Holdings Ltd. 2016 Semi-Annual Report
Section 3 Financial Highlights
I. Summary of Accounting and Financial Data
May the Company make retroactive adjustment or restatement of the accounting data of the previous years due to change
of the accounting policies and correction of accounting errors?
No
Same period of the Year-on-year
Reporting period
previous year increase/decrease
Turnover in RMB 1,479,527,783.18 1,683,793,247.59 -12.13%
Net profit attributable to the Company’s
60,513,019.44 73,109,419.73 -17.23%
shareholders, in RMB
Net profit attributable to the Company’s
shareholders less the non-recurring 59,792,409.84 71,958,085.27 -16.91%
items, in RMB
Net cash flows arising from operating
217,609,732.54 172,253,778.56 26.33%
activities, in RMB
Basic earning per share (RMB/share) 0.1379 0.1861 -25.90%
Diluted earning per share (RMB/share) 0.1379 0.1861 -25.90%
Return on equity, weighted average (%) 2.59% 4.36% -1.77%
Increase/decrease at the
end of the reporting
End of reporting period End of previous year
period over the end of the
previous year
Total assets, in RMB 4,012,803,246.93 4,246,670,045.02 -5.51%
Net assets attributable to the
Company’s shareholders (owner’s
2,325,432,058.26 2,299,215,650.21 1.14%
equity attributable to the Company’s
shareholders, in RMB)
II. Difference in the Accounting Data based respectively on the Chinese Accounting Standards
(CAS) and International Accounting Standards (IAS)
1. Differences in the net profit disclosed in the financial report & the net assets attributable to the Company’s shareholders
respectively according to the IAS and the CAS.
Inapplicable
2. Didfferences in the net profit disclosed in the financial report & the net assets attributable to the Company’s
shareholders according to both the IAS and the CAS
Inapplicable
FIYTA Holdings Ltd. 2016 Semi-Annual Report
III. Non-recurring gain/loss items and the amount involved
In RMB
Items Amount Notes
It refers to the gain/loss from
Gaub/loss from disposal of non-current assets, including the
-83,873.03 disposal of the office fixed
part written-off with the provision for impairment of assets
assets in the current period
Government subsidy recognized in current gains and losses For the detail, refer to Note VII
(excluding those closely related to the Company’s business and XVIII Government
815,000.00
and granted under the state’s policies according to certain Subsidy Counted To The
quota of amount or volume) Current Profit And Loss.
Income and expenses from the business other than the Other various non-operating
142,264.29
above items revenue and expenditure
Less: Amount affected by the income tax 152,781.66
Total 720,609.60 --
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No. 1 on Information
Disclosure for Companies Offering their Securities to the Public – Non-recurring Gains and Losses and its non-recurring
gain/loss items as illustrated in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering
their Securities to the Public – Non-recurring Gains and Losses which have been defined as recurring gains and losses, it
is necessary to explain the reason.
Inapplicable
Section 4 Report of the Board of Directors
I. Overview
During the reporting period, the environment of the macroeconomy and the retail consumption industry were still
confronted with bigger pressure of growth. The situation of the domestic watch retail market was still not optimistic. Under
such background, the Company faced the environment pressure with the attitudes of innovation and progressiveness,
working hard for prosperity, and facing challenges, continued to stick to its own philosophy and brand development
strategy, constantly improved the business operation in the Chinese market with “deep ploughing, fusion, innovation and
improving efficiency” as its strategic theme of the year, constantly improved the business in the Chinese market and kept
a close watch on the Chinese people’s market; with customers’ demand as the original point, carefully studied the trend of
the industry, accurately identified the customers’ demands, kept creating excellent own brand ethnic group and high
efficiency famous watch retail comprehensive service supplier, focused on brand construction, customer study, business
model innovation and new business exploration, etc. and tried every means to realized good performance result. In the
reporting period, the Company realized operating revenue amounting to RMB 1,479,527,783.18, a 12.13% year-on-year
drop; realized net profit amounting to RMB 60,513,019.44, a 17.23% year-on-year drop. In the second quarter, the
comprehensive growth on moving base of the net profit realized by the Company was 22.06% over the first quarter.
During the reporting period, HARMONY carried out the operation work in series in in a deep-going way with all the work
centering the customers, strove to improve output of individual shops, continuously optimized the inventory structure,
FIYTA Holdings Ltd. 2016 Semi-Annual Report
shop-front structure, vitalized the low efficiency assets, energetically developed repairing services, kept carrying forward
rapid development of e-commerce. During the reporting period, HARMONY continued to enhance transformation and
upgrading of the business model, realized operating revenue amouting to RMB 929,986,317.85, a 17.76% year-on-year
drop but the operating profit got improved mildly.
During the reporting period, the Company implemented the customer study in full operation for the own brand business
with FIYTA as the core, looked into and grasped the trend of demand of different consumer groups, further refined and
enriched the DNA of the own brand, optimized the progress of launching new products, reinforced the cost control ability;
accelerated increase of investment in accurate marketing through the Internet, enhanced the exposure of the brand and
improved the brand influence and reputation; enhanced the construction of shopping guide ability, improved the capability
of channel operation. In the reporting period, the Company kept carrying forward newly-developng businesses, and
realized good development in smart watches, e-commerce, ONAS&VERUS and overseas business
During the reporting period, the Company kept steady growth in income from properties and realized revenue amounting
to RMB 49,145,205.51, a 3.70% year-on-year growth.
II. Analysis on Principal Business
Year-on-year change of the principal financial data
In RMB
Same period of the Year-on-year
Reporting period Causes of Movements
previous year increase/decrease
Operating revenue 1,479,527,783.18 1,683,793,247.59 -12.13%
Operating cost 881,663,280.51 1,037,981,721.35 -15.06%
Sales expenses 378,007,640.11 386,297,227.92 -2.15%
Administrative
94,847,009.60 100,131,176.65 -5.28%
expenses
The Company failed in
raising proceeds by
non-public issuing of A
shares at the end of
2015. As a result, the
operational cash stock
Financial expenses 35,230,653.98 50,889,786.79 -30.77%
was quite abundant
during the reporting
period and partial
interest bearing
liabilities have been
repaid.
During the reporting
Income tax expenses 15,779,713.54 22,261,660.23 -29.12% period, the Company’s
total profit dropped by
FIYTA Holdings Ltd. 2016 Semi-Annual Report
20.49% over the same
period of the previous
year. The manufacture
company, one of the
Company’s
subsidiaries, as a
hi-tech enterprise
enjoying key support
from the central
government with
preferential enterprise
income tax rate,
completed the
re-valuation of the
fourth quarter of 2015.
During the reporting
period, the enterprise
income tax was
