Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
Stock code ：000413,200413 Abbreviation：Dongxu Optoelectronic, Dongxu B Announcement No.：2016-095
Summary of 2016 Semi- Annual Report of Dongxu Optoelectronic
Technology Co., Ltd.
1. Important notes
The summary is abstract from full-text of annual report, for more details information , investors should found in
the full-text of annual report that published on website of Shenzhen Stock Exchange and other website appointed
by CSRC.
Company Profile
Dongxu Optoelectronic,
Stock abbreviation Stock code 000413、200413
Dongxu B
Changed stock abbreviation(If any) Dongxu Optoelectronic, Dongxu B
Stock exchange for listing Shenzhen Stock Exchange
Contact person and contact manner Board secretary Securities affairs Representative
Name Gong Xin Wang Qingfei
Tel 010-68297016 010-68297016
Fax 010-68297016 010-68297016
E-mail gongxin_dx@126.com baoshixzb@126.com
2.Main financial data and changes of shareholders
（1）Main financial data
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed
and accounting error correction or not.
□ Yes √No
Reporting period Same period of last year YoY+/-
Operating income（RMB） 2,882,059,154.41 1,524,242,723.90 89.08%
Net profit attributable to the shareholders
545,963,710.72 400,081,730.63 36.46%
of the listed company（RMB）
Net profit after deducting of non-recurring
gain/loss attributable to the shareholders of 459,894,653.13 182,980,317.37 151.34%
listed company（RMB）
Cash flow generated by business operation,
1,281,108,942.94 54,777,798.87 2,238.74%
net（RMB）
Basic earning per share(RMB/Share) 0.14 0.15 -6.67%
Diluted gains per
0.14 0.15 -6.67%
share(RMB/Share)(RMB/Share)
Weighted average ROE(%) 3.79% 5.14% -1.35%
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
As at the end of the
As at the end of last year YoY+/-
reporting period
Gross assets (RMB) 33,483,031,894.59 28,798,623,253.33 16.27%
Net assets attributable to shareholders of
14,568,550,417.60 14,319,481,941.28 1.74%
the listed Company（RMB）
(2)Statement of shares held by top 10 shareholders
In shares
Total Number of common
218,235（Including 199,516 shareholders holding A shares and 18,719 shareholders holding B
shareholders at the end of the
reporting period shares）
Shareholdings of the top 10 common shareholders
Amount of Frozen or pledged
Name of the Properties of Share Conditional shares held at end of
common Status of
shareholder shareholder proportion % period Amount
shares held shares
Domestic Non
Dongxu Group -State-owned 21.64% 829,975,697 459,882,697 Pledge 780,730,272
legal person
Shijiazhuang
Domestic Non
Baoshi
-State-owned 8.67% 332,382,171 Pledge 329,776,648
Electronic
legal person
Group Co., Ltd.
Minsheng Royal
Fund
Management
Co., Ltd.-Ping
An Bank-Ping
0ther 4.78% 183,284,457 183,284,457
An Trust-Ping
An Wealth*
Huitai No.163
Single Fund
Trust
Bosera
Capital-Ping An
Bank- Ping An
Trust-Ping An Other 4.36% 167,155,426 167,155,426
Wealth* Huitai
No.164 Single
Fund Trust
Guangzhou
Securities-China
Guangfa
Bank-Guangzho
u Securities
No.2 Collective Other 3.44% 131,964,809 131,964,809
Asset
Management
Plan of
Kunpeng
Dingcheng
HuaAn Future
Asset-ICBC-No
.1 Asset
Management Other 2.52% 96,774,193 96,774,193
Plan of Dongxu
Optoelectronic’s
Private
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
Placement
Dongxu
Optoelectronic
Technology Co.,
Other 1.89% 72,639,296 72,639,296
Ltd-Phase 1 for
Employee Stock
Ownership Plan
China Securities
State-owned
Finance Co., 1.80% 69,151,271
legal person
Ltd.
Kunshan
Development
Zone State-owned
1.15% 43,988,269 43,988,269
State-invested legal person
Holding Co.,
Ltd.
Bank of China
－Huaxia New
Economic
Mixed Other 0.95% 36,608,098
Securities
Investment
Funds
Among the top ten shareholders , Dongxu Group and Baoshi Group, Dongxu Optoelectronic – I
Explanation on associated Employee stock ownership plan have relationship and constitute persons taking concerted action.
relationship or concerted action The company does not know whether there is relationship between other 7 shareholders or
whether they are persons taking concerted action defined in Administrative Measures Relating to
of the above shareholders Acquisitions of Listed Companies.
The top 10 tradable common shareholders Wang Wenxue, Zhangqing Jie by CSC Securities Co.,
Explanation on shareholders
Ltd. customer credit-backed securities trading account Securities Co., Ltd. customer
participating in the margin
credit-backed securities trading account were holding 15,300,592 shares, 7,227,822 shares,
trading business(if any )
accounting for 0.4% and 0.19% of the total shares respectively.
(3)The top 10 preference share holders
□ Applicable √ Not applicable
The controlling no preference shareholders of the Company in the report period.
(4)Changing of controlling shareholder and practical controller of the Company.
Change of holding shareholder
□ Applicable √ Not applicable
No change of holding shareholder in the report period.
Change of substantial controller
□ Applicable √ Not applicable
No change of substantial controller in the report period.
III. Discussion and analysis by the management
2016 is an important year for the implementation of Dongxu Optoelectronic strategy, the Company in the
first half of 2016 mainly focuses on the construction of advanced generation substrate production lines, deepens
the market layout of the existing products, and vigorously promotes the lateral extension of the new material filed
and steadily promotes its production and business activities. In the first half of 2016, led by the Board of Directors
and the management, as well as with the tireless efforts of all staff, the Company’s leading position in the liquid
crystal glass substrate filed has been reinforced, with the smooth layout of the optoelectronic display materials and
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
graphene business, forming good industrial collaboration and clustering effects. During the reporting period, the
Company achieves an operating income of RMB 2.882 billion, an increase of 89.08 percent over the same period
in 2015 of RMB 1.524 billion; the net profit attributable to the parent Company of RMB 546 million, an increase
of 36.46 percent over the same period in 2015 of RMB 400 million.
The Company’s business in the first half of 2016 focuses on the following five aspects:
1. Strengthen its leading position in the liquid crystal glass substrate, and fill in the localization
vacancy of generation 8.5
As of the reporting period, the Company has respectively ignited six G6 and seven G5 liquid crystal glass
substrate production lines, and five production lines of each are mass production. In the first half, the liquid
crystal glass substrate market is stabilized and good, the Company achieving sales income of RMB 537 million,
an increase of 22.25 percent, compared with the same period in 2015. With the pre-construction and the
accumulation of the operating experience, the yields of the Company’s G5 and G6 liquid crystal glass substrate
production lines continue to rise, up to over 90%. In the first quarter of 2016, Taiwan earthquake affected some
panel makers’ process, but because the Company has comprehensively covered the of mainstream customers in
mainland China and Taiwan, and it has higher industrial safety and stability, the earthquake didn’t affect the sales
of the glass substrates, and the market in Taiwan went back to normal in the second quarter. In addition, in
response to the upgrade pressure from the future display technology, the Company’s LTPS (low temperature
poly-silicon) glass substrate product development achieves substantive results.
Through years of technical reserves as well as ongoing research and development, drawing on the valuable
experience in the successful operation of G5 and G6 liquid crystal glass substrate production lines, the Company
has mastered the core production technology of generation 8.5 TFT-LCD glass substrates. To grasp the industry
opportunities of the localization of liquid crystal glass substrates, closely follow the industry trend of the panel
display products towards large-size and advanced generation, maintain its leading position in the domestic market,
and strengthen the comprehensive competitiveness of the Company, in February 2016, the Company disclosed the
nonpublic offering plan, intended to invest the generation 8.5 liquid crystal glass substrate production line, and
this project was constructed to support the BOE generation 8.5 panel production line, situated in Rongqiao
Development Zone, Fuzhou, and officially started construction in March of this year.
2. Continue to put forth the strength of high-end equipment business and expand intelligence
manufacturing based on panel display
Glass substrate High-End Equipment and technical service, control system and other special equipment are
mostly customized products, as it involves the core technology, confidentiality of the production process, and
market competition, prior to 2014, the Company mainly provides design, production, manufacture, installation
and technical service of the outfit for its subordinate company TFT-LCD glass substrate production line and
hosting company aluminous cover glass production line. With the basic completion of the construction of its own
production line, based on years of experience in the field of electronic glass equipment manufacturing, its
high-end equipment business began to turn to the in vitro market and the Company develops in depth in the
The Company’s independent research and development (R & D) breaks through the foreign blockade and lays
a solid foundation for the front equipment with the highest-tech among the electronic equipment, against the
background of the equipment replaces the manual labor in the industry manufacture, and high- efficient
production, the Company’s High-End Equipment and technical service business continued to expand, and
gradually supplies products for the domestic high-end customers, but also gets involved in the panel industry
equipment supply. During the reporting period, the Company’s High-End Equipment and technical service
business achieved an operation income of RMB 1.68 billion, and it has developed and reserved a large number of
large group customers in intelligent application filed.
3. Industrial cluster effects begins to show due to the core photoelectric display material layout
For the realization of the strategic objective of being “China’s largest manufacturer of optoelectronic display
materials”, closely follow the world trend of display technology and innovation, the Company, based on
continuously consolidating and enhancing the foundation of the principal industry of liquid crystal glass substrate,
combined with the main industry, continues to extend new business areas, and now it has successfully distributed
three high-end display materials including sapphire, color filter and polaroid. During the reporting period, the
Company carried out a partial sapphire business expansion and its market expansion is smooth, achieving an
operating income of RMB 220 million, an increase of 400% over the same period in 2015, and the current
products include large-size sapphire ingots, 2-6 inch sapphire crystal rods, 2 -6 inch sapphire substrates, optical
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
window materials, and it has the stable customers such as Xuzhou GAPSS OE Technology Co., Ltd., North
Microelectronics, and Sino Nitride Semiconductor Co., Ltd.
The Company’s 5th generation TFT-LCD color filter production line is under construction, and when
achieving the production target it will effectively increase the added value of the existing G5 liquid crystal glass
substrate products, and become a new profit growth point of the Company. In addition, in order to quickly seize
the domestic large-size liquid crystal panel business’ demand for polarizing plates, and effectively fill in the
domestic vacancy of original volume production of polaroid, in February 2016, the Company, cooperating with
the Sumitomo Chemical Company, one of the world’s top three polaroid production companies, jointly march
towards the polaroid industry, proposed to register a joint venture company, Wuxi Xuyou Material and
Technology Co., Ltd., the Company invested about RMB 500 million, holding 51%, and now the antitrust review
on the concentration of operations is conducted by the Commerce Department.
4. Fit the trend of new urbanization construction, and maintain the stability of the construction and
installation services
As the Company’s traditional business, the construction and installation business plays an important role in
helping the production line construction, and contracting external projects, effectively reducing the Company’s
operating costs and enhancing the efficiency of the production line construction. With increasingly clear
development strategy of the Company, the main task of the construction and installation business is to serve the
existing core business, and play a role in production line construction and maintenance of factory buildings, and
on the other hand, against the background of the current new urbanization policies, the construction and
installation business shall use its advantages to maintain steady growth. The Company’s construction and
installation business is mainly done by Hebei Xubao and Sichuan Ruiyi, and achieved total operation income of
RMB 435 million during the reporting period, essentially flat with a year earlier.
5. Parallel the asset acquisition and industrial fund, and complete the multi-point distribution of graphene
business
Based on graphene’s excellent performance in heat conduction and electrical conduction and transparency,
the Company, as a leader in the field of optoelectronic display, is particularly concerned about its development
and application in the field of flexible display, with the continuous progress of graphene business, the Company
began to do a broader strategic layout of the graphene industry. In March 2016, the Company completed the
acquisition of Shanghai Tanyuan Huigu Co., Ltd. through acquisition and capital increase, which is a company
focusing on the mass production and application of grapheme, owing grapheme production technology, grapheme
-based lithium-ion material and battery production technology, and this acquisition is significant for the Company
to promote the industrialization of graphene. Currently, Shanghai Tanyuan Huigu and Beijing Xutan jointly
become the promotion platform for the Company’s industrial development and research and industrialization.
In addition to the development and research and industrialization platform, in March 2016, the Company
incorporated a wholly owned subsidiary, Shenzhen Xuhui Investment, together with the Beijing Dongxu Huaqing,
become the Company’s graphene industry consolidation and investment and financing platform. During the
reporting period, the Company set up the graphene industry development funds of a scale of RMB 100 million
and of a scale of RMB 200 million respectively with the Administrative Committee of the New Energy Industrial
Park in Taizhou and the People’s Government of Jingyang District, Deyang, and the establishment of the industry
funds contributes to accelerating the Company’s layout of graphene industry. In addition, the Company signed the
Strategic Cooperation Agreement respectively with Tianjin Dongli, China Innovation Alliance of the Graphene
Industry (CGIA), Beijing Institute of Collaborative Innovation (BICI) to practice the global development strategy,
and signed Strategic Framework Agreement with the Catalan Institute of Nanoscience and Nano Technology
(ICN2) in Spain to develop the technical exploration, industrial application development, product promotion and
information sharing and cooperation on graphene and other materials.
IV. Matters related to financial reporting
（1）Explain change of the accounting policies, accounting estimates and measurement methods as
compared with the financial reporting of last year.
□ Applicable √ Not applicable
The accounting policies, accounting estimates or measurement methods did not change in the reporting period.
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
（2）Explain retrospective restatement due to correction of significant accounting errors in the reporting
period.
□ Applicable √ Not applicable
No correction of significant accounting errors in the reporting period.
（3）Explain change of the consolidation scope as compared with the financial reporting of last year.
√ Applicable □Not applicable
1.Enterprise consolidation not under the same control
（1）Enterprise consolidation not under the same control in reporting period
In RMB’0000
Income of
Method Net Profit of
Time-poi Ratio of Acquire from
Obtained of Determination Acquire from the
nt of Obtained Purchasin the Purchasing
Name Cost of Obtaine Basis on the Purchasing Date
Obtained Equity g Date Date to the
Equity d Purchasing Date to the End of the
Equity (100%) End of the
Equity Period
Period
Shanghai Tanyuan March 7,345.45 50.50 Purchas March Obtain a business 0.62 -110.63
Huigu New 2016 e and 31,2016 license
Material add
Technology Co., share
Ltd.
(2) Consolidation Cost and Goodwill
In RMB
Items Shanghai Tanyuan Huigu New Material
Technology Co., Ltd.
Consolidation cost
—Cash 73,454,500.00
Total Consolidation cost 73,454,500.00
Less：Reduction: Obtained Definable Net Assets Fair Proportion 39,763,137.22
Goodwill/ The Consolidation Cost is Less Than the Obtained Definable Net Assets 33,691,362.78
Fair Proportion
(3) The identifiable assets and liabilities of acquiree at purchase date
In RMB
Items Shanghai Tanyuan Huigu New Material Technology Co., Ltd.
Fair value on purchase date Book value on purchase date
Assets：
Monetary fund 65,834,772.59 65,834,772.59
Account receivable 1,600.00 1,600.00
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
Prepayments 2,006,750.00 2,006,750.00
Other account receivable 457,262.00 457,262.00
Inventories 1,243,387.97 802,979.59
Other current assets 198,033.10 198,033.10
Fixed assets 1,847,248.70 1,939,350.28
Intangible assets 7,317,795.33 4,444,692.24
Amortization of long-term prepaid 303,253.20 303,253.20
expenses
Liabilities：
Account payable 362,292.10 362,292.10
Employees’ wage payable 37,656.00 37,656.00
Other account payable 71,269.20 71,269.20
Net assets 78,738,885.59 75,517,475.70
Less：Minority equity
Net assets acquired 78,738,885.59 75,517,475.70
2. Due to new subsidiaries set up in the current period
On March 8, 2016, Wuhu Dongxu Optoelectronic Technology Co.,Ltd set up Fuzhou Dongxu Investment
Development Co., Ltd and holds 100% stake of Fuzhou Dongxu Investment Development Co., Ltd, of which the
registered capital was RMB 10 million and the paid-in capital was RMB 0.00.
On March 17, 2016, Beijing Dongxu Huaqing Investment Co., Ltd as a general partner, Dongxu Optoelectronic
Technology Co.,Ltd as a limited partner and Taizhou Golden Sun Energy Co., Ltd as a limited partner together set
up Taizhou Dongxu Graphene Industry Investment Fund Management Center(Limited partnership). Such limited
partnership company was incorporated in May 4, 2016, and the total amount of capital contribution agreed in the
agreement was RMB 101 million, but as of June 30, 2016, the actual received amount of capital contribution was
RMB 0.00. For the capital contribution, Taizhou Golden Sun Energy Co., Ltd subscribed the amount of capital
contribution of RMB 75 million, Dongxu Optoelectronic Technology Co.,Ltd subscribed the amount of capital
contribution of RMB 25 million, Beijing Dongxu Huaqing Investment Co., Ltd subscribed the amount of capital
contribution of RMB 1 million which was agreed in the agreement by using the labor service as capital
contribution, and meanwhile, upon the agreement, the three parties all agreed that they shall complete the capital
contribution before December 30, 2016.
On March 31, 2016, Dongxu Optoelectronic Technology Co.,Ltd set up Shenzhen XuHui Investment Holdings
Co.,Ltd, of which the registered capital was RMB 100 million and the paid-in capital was RMB 0.00.
On June 24, 2016, Fuzhou Dongxu Optoelectronic Technology Co.,Ltd and Dongxu Optoelectronic Technology
Co.,Ltd together set up a new company of Fuzhou Xufu Optoelectronic Technology Co.,Ltd, of which the
registered capital is RMB 65.40 million, among which, Fuzhou Dongxu Optoelectronic Technology Co.,Ltd shall
contribute RMB 54.50 million, Dongxu Optoelectronic Technology Co.,Ltd shall contribute RMB 10.90 million,
and the paid-in capital was RMB 0.00.
(4)Explanation of the Board of Directors and the Supervisor Committee concerning the “Non-standard
audit report ” issued by the CPAs firm for the reporting period
□ Applicable √ Not applicable
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Dongxu Optoelectronic Technology Co., Ltd. Summary of 2016 Semi-annual Report
Dongxu Optoelectronic Technology Co., Ltd.
Chairman of the board: Li Zhaoting
Issue day approved by the Board of Directors：August 29,2016
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