Lu Thai Textile Co., Ltd. Interim Report 2018 (Summary)
Stock Code: 000726, 200726 Stock Name: LTTC, LTTC-B Announcement No. 2018-034
LU THAI TEXTILE CO., LTD.
INTERIM REPORT 2018 (SUMMARY)
Part I Important Notes
This Summary is based on the full text of the 2018 Interim Report of Lu Thai Textile Co., Ltd. (together with its consolidated
subsidiaries, the “Company”, except where the context otherwise requires). In order for a full understanding of the Company’s
operating results, financial condition and future development plans, investors should carefully read the aforesaid full text, which has
been disclosed together with this Summary on the media designated by the China Securities Regulatory Commission (the “CSRC”).
Statement
Except for the following directors, all the other directors attended in person the Board meeting for the review of this Report and its
summary.
Reason for not attending in Proxy entrusted to attend the
Name Office title
person meeting
Xu Zhinan Director For reason of work Liu Zibin
Zeng Facheng Director For reason of work Qin Guiling
Bi Xiuli Independent Director For reason of work Xu Jianjun
Zhao Yao Independent Director For reason of work Wang Xinyu
Independent auditor’s modified opinion:
□ Applicable √ Not applicable
Board-approved interim cash and/or stock dividend plan for ordinary shareholders:
□ Applicable √ Not applicable
The Company has no interim dividend plan, either in the form of cash or stock.
Board-approved interim cash and/or stock dividend plan for preferred shareholders:
□ Applicable √ Not applicable
This Report and its summary have been prepared in both Chinese and English. Should there be any discrepancies or
misunderstandings between the two versions, the Chinese versions shall prevail.
Part II Key Corporate Information
1. Stock Profile
Stock name LTTC, LTTC-B Stock code 000726, 200726
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Lu Thai Textile Co., Ltd. Interim Report 2018 (Summary)
Stock exchange for stock listing Shenzhen Stock Exchange
Contact information Board Secretary Securities Representative
Name Qin Guiling Zheng Weiyin and Li Kun
No. 81, Songling East Road, Zichuan No. 81, Songling East Road, Zichuan
Office address
District, Zibo, Shandong, P.R.China District, Zibo, Shandong, P.R.China
Tel. 0533-5266188 0533-5285166
E-mail address qinguiling@lttc.com.cn wyzheng@lttc.com.cn，likun@lttc.com.cn
2. Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
√ Yes □ No
Business combination under common control resulted in the retrospective restatements in the following table.
H1 2017 Change (%)
H1 2018
Before Restated Restated
Operating revenue (RMB) 3,281,014,155.43 2,990,459,696.43 2,997,093,395.84 9.47%
Net profit attributable to the listed
377,355,959.02 393,069,981.55 395,130,296.26 -4.50%
company’s shareholders (RMB)
Net profit attributable to the listed
company’s shareholders before 366,948,339.88 385,081,158.45 387,141,210.63 -5.22%
exceptional items (RMB)
Net cash generated from/used in operating
697,784,710.77 342,919,758.30 343,246,750.57 103.29%
activities (RMB)
Basic earnings per share (RMB/share) 0.41 0.43 0.43 -4.65%
Diluted earnings per share (RMB/share) 0.41 0.43 0.43 -4.65%
Weighted average return on equity (%) 5.13% 5.58% 5.58% -0.45%
31 December 2017 Change (%)
30 June 2018
Before Restated Restated
Total assets (RMB) 10,233,390,492.09 10,170,624,027.75 10,170,624,027.75 0.62%
Equity attributable to the listed company’s
7,060,561,399.27 7,230,942,770.16 7,230,942,770.16 -2.36%
shareholders (RMB)
3. Shareholders and Their Holdings at Period-End
Unit: share
Number of preferred shareholders with resumed voting
Number of ordinary shareholders 57,783 0
rights (if any)
Top 10 shareholders
Sharehol Pledged or frozen
Nature of ding Number of Restricted shares
Name of shareholder
shareholder percenta shares shares Share
ge Status
s
Domestic
Zibo Lucheng Textile Investment Co., Ltd. non-state-owned 15.21% 140,353,583 0
legal person
Foreign legal
Tailun (Thailand) Textile Co., Ltd. 12.82% 118,232,400 118,232,400
person
Foreign legal
Hong Kong Securities Clearing Co. Ltd 3.32% 30,593,555 0
person
State-owned legal
Central Huijin Assets Management Co., Ltd. 2.20% 20,315,300 0
person
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Lu Thai Textile Co., Ltd. Interim Report 2018 (Summary)
Foreign legal
T.Rowe Price Intl Discovery Fund 2.16% 19,948,219 0
person
Domestic
China Securities Finance Corporation Limited non-state-owned 1.70% 15,679,091 0
legal person
Foreign legal
Hong Kong Monetary Authority-self-owned funds 1.25% 11,540,893 0
person
National Social Security Fund Portfolio 103 Other 0.87% 7,999,947 0
Hua’an New Silk Road Theme Equity Securities
Other 0.83% 7,650,000 0
Investment Fund
Bosera Selected Mixed Securities Investment
Other 0.81% 7,500,000 0
Fund
Zibo Lucheng Textile Investment Co., Ltd. is the largest
shareholder and the actual controller of the Company.
Tailun (Thailand) Textile Co., Ltd. is the second largest
Connected or acting-in-concert parties among shareholders above shareholder and the foreign sponsor of the Company. All
the other shareholders are holding tradable A-shares or
B-shares. And it is unknown whether there is any related
party or acting-in-concert party among them.
Shareholders conducting margin trading (if any) N/A
4. Change of Controlling Shareholder or Actual Controller in Reporting Period
Change of the controlling shareholder in the Reporting Period:
□ Applicable √ Not applicable
The controlling shareholder remained the same in the Reporting Period.
Change of the actual controller in the Reporting Period:
□ Applicable √ Not applicable
The actual controller remained the same in the Reporting Period.
5. Number of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
No preferred shareholders in the Reporting Period.
6. Corporate bonds
Does the Company have any corporate bonds publicly offered on the stock exchange, which were undue before the date of this
Report’s approval or were due but could not be redeemed in full?
No.
Part III Operating Performance Discussion and Analysis
1. Business Overview of Reporting Period
Is the Company subject to any disclosure requirements for special industries?
No.
For the Reporting Period, the Company recorded operating revenue of RMB3,281 million, an operating profit of RMB452 million, a
net profit attributable to the listed company’s shareholders of RMB377 million and a net profit before exceptional items of RMB367
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Lu Thai Textile Co., Ltd. Interim Report 2018 (Summary)
million, up 9.47%, -7.99%, -4.50% and -5.22% respectively from the same period of last year. No changes have occurred to the core
businesses, the main profit sources and structure of the Company in this period.
During the Reporting Period, the Company continued to steadily promote “Improving Quality and Efficiency” and “Comprehensive
Internationalization”, maintaining the sound, stable and sustained development trend; made smooth progress in overseas projects and
basically achieved the design expectation; initiated the establishment of the new retail platform Luthai1987 based on the S2B2C
mode and opened up online and offline OMO mode, enabling Luthai to better serve end customers together with its partners. The
Company deepened its relationship with customers through proactive measures such as adjustment of product structure, integration
of supply chains, design and development connection, brand cooperation, overseas expansion and e-commerce platforms and facing
new characteristics and new demands of the market, kept improving product design concept and innovating service mode to satisfy
customers’ demands and market trend. During the Reporting Period, the Company was named as “2018 Top Twenty Enterprise of
China Dyeing and Printing Industry” by CDPA, won the title of “China Quality Award for Textile Industry” granted by CNTAC,
was ranked among the top 50 in the field of textile, garments, shoes and hats by China Council for Brand Development, was named
as “2017 Top Ten Enterprise for Key Business Revenue in Yarn-Dyed Fabric Industry” and “2017 Top 100 Enterprise for Key
Business Revenue in Cotton Textile Industry” by China Cotton Textile Association and as “Demonstration Enterprise of Social
Responsibilities in Shandong”.
During the Reporting Period, the Company intensified the building and training of its team of design talents and kept deepening the
early-stage communication and cooperation with strategic customers in the design of fabrics and shirts, gaining favorable market
response. The Company won the Award of Best Market Application for its works Modest Luxury Distinctive Flowers in 2018
China International Fabrics Design Competition and appraising of 2019 Spring-Summer China Fashionable Fabrics. Luthai Textile
won the title of “Fifth China Advanced Unit for Development of Textile Fabric Designers”.
During the Reporting Period, the Company continued to persist in R&D investments, making new achievements in two national key
R&D projects of the 13th Five-Year Plan as well as in the application of new materials, research of new fabrics, key technologies of
new product development and research of equipment upgrading. As of the reporting period, the Company had been granted a total of
301 licensing patents, and 1 software copyright; and hosted or participated in the formulation of 40 national and industrial standards.
At the current stage, Lu Thai, with natural fabric as its flagship, multi-component functional fiber fabric as its spearhead,
wash-and-wear non-ironing technology as its core competency, the latest consumption trend as its guidance and internationalized
industrial manufacturing as its basis, is sparing every effort to attain a global integrated development, so as to ensure its leading
position in the yarn-dyed shirt fabric sector.
2. Matters Related to Financial Reporting
(1) Changes in Accounting Policies, Accounting Estimates or Measurement Methods Compared to Last
Accounting Period
□ Applicable √ Not applicable
No such changes.
(2) Retrospective Restatements due to Correction of Material Accounting Errors in Reporting Period
□ Applicable √ Not applicable
No such cases.
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Lu Thai Textile Co., Ltd. Interim Report 2018 (Summary)
(3) Changes in Scope of Consolidated Financial Statements Compared to Last Accounting Period
□ Applicable √ Not applicable
No such changes.
Chairman of the Board: Liu Zibin
Lu Thai Textile Co., Ltd.
22 August 2018
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