山东省中鲁远洋渔业股份有限公司
2018 年半年度财务报告
SHANDONG ZHONGLU OCEANIC FISHERIES CO.,LTD
二○一八年八月二十八日
1
I. Audit reports
Whether the semi-annual report was audited or not
□ Yes √ No
The financial report of this semi-annual report was unaudited
II. Financial statements
Units in Notes of Financial Statements is RMB
1. Consolidated balance sheet
Prepared by: Shandong Zhonglu Oceanic Fisheries Co., Ltd
2018-06-30
In RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 151,753,165.99 147,489,843.54
Settlement provisions
Capital lent
Financial assets measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Notes receivable
Accounts receivable 44,730,567.95 38,792,912.89
Accounts paid in advance 13,370,603.36 18,573,111.58
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance
receivable
Interest receivable
Dividend receivable
Other receivables 1,691,389.44 11,305,713.11
Purchase restituted finance asset
Inventories 303,811,883.27 243,744,590.07
Divided into assets held for sale
Non-current asset due within one
2
year
Other current assets 28,802,602.21 30,081,962.56
Total current assets 544,160,212.22 489,988,133.75
Non-current assets:
Loans and payments on behalf
Finance asset available for sales
Held-to-maturity investment
Long-term account receivable
Long-term equity investment
Investment property 31,079,447.01 31,694,375.13
Fixed assets 509,463,246.79 525,975,263.88
Construction in progress 15,213.68
Engineering material
Disposal of fixed asset
Productive biological asset
Oil and gas asset
Intangible assets 13,219,178.90 13,495,947.76
Expense on Research and
Development
Goodwill
Long-term expenses to be
409,385.15 516,181.25
apportioned
Deferred income tax asset 1,986,696.05 286,696.05
Other non-current asset 3,601,885.77 3,527,165.98
Total non-current asset 559,775,053.35 575,495,630.05
Total assets 1,103,935,265.57 1,065,483,763.80
Current liabilities:
Short-term loans 63,607,615.40 176,394,931.62
Loan from central bank
Absorbing deposit and interbank
deposit
Capital borrowed
Financial liability measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Notes payable
3
Accounts payable 92,718,294.72 65,204,257.98
Accounts received in advance 28,598,670.52 19,875,122.76
Selling financial asset of
repurchase
Commission charge and
commission payable
Wage payable 36,781,555.83 42,854,174.79
Taxes payable 2,570,366.58 3,378,698.19
Interest payable 190,417.41 360,208.32
Dividend payable
Other accounts payable 7,713,318.18 6,175,352.76
Reinsurance payables
Insurance contract reserve
Security trading of agency
Security sales of agency
Liability held for sale
Non-current liabilities due within 1
433,292.75 866,585.48
year
Other current liabilities
Total current liabilities 232,613,531.39 315,109,331.90
Non-current liabilities:
Long-term loans
Bonds payable
Including: preferred stock
Perpetual capital
securities
Long-term account payable
Long-term wages payable 1,577,667.63 1,577,667.63
Special accounts payable
Projected liabilities
Deferred income 9,705,869.14 9,705,869.14
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 11,283,536.77 11,283,536.77
Total liabilities 243,897,068.16 326,392,868.67
Owner’s equity:
Share capital 266,071,320.00 266,071,320.00
4
Other equity instrument
Including: preferred stock
Perpetual capital
securities
Capital public reserve 287,352,616.86 279,998,206.82
Less: Inventory shares
Other comprehensive income -6,089,149.66 -6,075,014.12
Reasonable reserve
Surplus public reserve 21,908,064.19 21,908,064.19
Provision of general risk
Retained profit 164,469,116.27 141,867,217.06
Total owner’s equity attributable to
733,711,967.66 703,769,793.95
parent company
Minority interests 126,326,229.75 35,321,101.18
Total owner’s equity 860,038,197.41 739,090,895.13
Total liabilities and owner’s equity 1,103,935,265.57 1,065,483,763.80
Legal Representative: Lu Lianxing
Person in Charge of Accounting: Zhao Minkun
Person in Charge of Accounting Department: Lei Lixin
2. Balance Sheet of Parent Company
In RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 13,879,519.37 48,034,853.41
Financial assets measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Notes receivable
Accounts receivable 13,680,543.82 8,484,060.27
Account paid in advance 2,197,182.11 2,760,665.71
Interest receivable
Dividends receivable
5
Other receivables 72,151,233.87 64,689,774.99
Inventories 59,227,080.92 49,373,616.72
Assets held for sale
Non-current assets maturing within
one year
Other current assets 1,687,543.79 1,016,912.35
Total current assets 162,823,103.88 174,359,883.45
Non-current assets:
Available-for-sale financial assets
Held-to-maturity investments
Long-term receivables 5,837,328.77 5,397,947.02
Long-term equity investments 232,189,455.23 204,189,455.23
Investment property 31,079,447.01 31,694,375.13
Fixed assets 71,223,598.62 76,550,539.61
Construction in progress
Project materials
Disposal of fixed assets
Productive biological assets
Oil and natural gas assets
Intangible assets 454,539.09 525,800.21
Research and development costs
Goodwill
Long-term deferred expenses 409,385.15 516,181.25
Deferred income tax assets
Other non-current assets 285,524.92 196,581.20
Total non-current assets 341,479,278.79 319,070,879.65
Total assets 504,302,382.67 493,430,763.10
Current liabilities:
Short-term borrowings
Financial liability measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Notes payable
Accounts payable 7,937,084.69 14,290,700.38
6
Accounts received in advance 15,268,393.44 3,883,689.36
Wage payable 22,464,476.38 22,130,930.92
Taxes payable 286,038.57 278,991.52
Interest payable
Dividend payable
Other accounts payable 70,324,768.37 67,530,200.11
Liability held for sale
Non-current liabilities due within 1
year
Other current liabilities
Total current liabilities 116,280,761.45 108,114,512.29
Non-current liabilities:
Long-term loans
Bonds payable
Including: preferred stock
Perpetual capital
securities
Long-term account payable
Long-term wages payable 1,127,604.68 1,127,604.68
Special accounts payable
Projected liabilities
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 1,127,604.68 1,127,604.68
Total liabilities 117,408,366.13 109,242,116.97
Owners’ equity:
Share capita 266,071,320.00 266,071,320.00
Other equity instrument
Including: preferred stock
Perpetual capital
securities
Capital public reserve 279,115,900.17 279,115,900.17
Less: Inventory shares
Other comprehensive income
7
Reasonable reserve
Surplus reserve 19,184,672.34 19,184,672.34
Retained profit -177,477,875.97 -180,183,246.38
Total owner’s equity 386,894,016.54 384,188,646.13
Total liabilities and owner’s equity 504,302,382.67 493,430,763.10
3. Consolidated Profit Statement
In RMB
Item Current Period Last Period
I. Total operating income 440,322,776.97 440,178,091.75
Including: Operating income 440,322,776.97 440,178,091.75
Interest income
Insurance gained
Commission charge and commission
income
II. Total operating cost 417,258,997.84 406,876,087.35
Including: Operating cost 374,498,048.55 378,367,434.21
Interest expense
Commission charge and commission
expense
Cash surrender value
Net amount of expense of
compensation
Net amount of withdrawal of
insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expense
Operating tax and extras 1,333,504.23 1,705,436.85
Sales expenses 14,843,224.40 4,081,303.48
Administration expenses 23,045,619.66 16,193,699.81
Financial expenses 3,689,988.56 6,517,713.00
Losses of devaluation of asset -151,387.56 10,500.00
Add: Changing income of fair
value(Loss is listed with “-”)
Investment income (Loss is listed
8
with “-”)
Including: Investment income on
affiliated company and joint venture
Exchange income (Loss is listed
with “-”)
Income from assets disposal (Loss is
-18,990.79 262,776.33
listed with “-”)
Other income 433,292.74
III. Operating profit (Loss is listed with
23,478,081.08 33,564,780.73
“-”)
Add: Non-operating income 0.00 648,201.59
Less: Non-operating expense 427,108.38 300,402.16
IV. Total Profit (Loss is listed with “-”) 23,050,972.70 33,912,580.16
Less: Income tax expense 1,922,681.98 453,724.36
V. Net profit (Net loss is listed with “-”) 21,128,290.72 33,458,855.80
(i) Net profit of continuing
21,128,290.72 33,458,855.80
operation(Net loss is listed with “-”)
(ii) Net profit of discontinuing
0.00
operation (Net loss is listed with “-”
Net profit attributable to owner’s of
22,601,899.21 32,001,590.86
parent company
Minority shareholders’ gains and
-1,473,608.49 1,457,264.94
losses
VI. Net after-tax of other comprehensive
-23,938.25 354,732.98
income
Net after-tax of other comprehensive
income attributable to owners of parent -14,135.54 354,732.98
company
(I) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
1. Changes as a result of
re-measurement of net defined benefit
plan liability or asset
2. Share of the other
comprehensive income of the investee
accounted for using equity method which
will not be reclassified subsequently to
profit and loss
9
(II) Other comprehensive income
items which will be reclassified -14,135.54 354,732.98
subsequently to profit or loss
1. Share of the other
comprehensive income of the investee
accounted for using equity method which
will be reclassified subsequently to profit
or loss
2. Gains or losses arising
from changes in fair value of
available-for-sale financial assets
3. Gains or losses arising
from reclassification of held-to-maturity
investment as available-for-sale financial
assets
4. The effect hedging portion
of gains or losses arising from cash flow
hedging instruments
5. Translation differences
arising on translation of foreign currency -14,135.54 354,732.98
financial statements
6. Other
Net after-tax of other comprehensive
income attributable to minority -9,802.71
shareholders
VII. Total comprehensive income 21,104,352.47 33,813,588.78
Total comprehensive income
22,587,763.67 32,356,323.84
attributable to owners of parent Company
Total comprehensive income
-1,483,411.20 1,457,264.94
attributable to minority shareholders
VIII. Earnings per share:
(i) Basic earnings per share 0.08 0.12
(ii) Diluted earnings per share 0.08 0.12
Enterprise combine under the same control in the Period, the combined party realized net profit of 0 Yuan before
combination, and realized 0 Yuan at last period for combined party
Legal Representative: Lu Lianxing
Person in Charge of Accounting: Zhao Minkun
Person in Charge of Accounting Department: Lei Lixin
10
4. Profit Statement of Parent Company
In RMB
Item Current Period Last Period
I. Operating income 79,888,714.36 59,539,271.88
Less: Operating cost 60,951,172.97 43,838,067.27
Operating tax and extras 342,224.63 452,021.58
Sales expenses 6,582,490.13 2,225,689.69
Administration expenses 10,276,464.69 8,254,821.34
Financial expenses -1,041,062.37 -262,508.81
Losses of devaluation of asset 2,053.90 10,500.00
Add: Changing income of fair
value(Loss is listed with “-”)
Investment income (Loss is
listed with “-”)
Including: Investment income
on affiliated company and joint venture
Income from assets disposal
(Loss is listed with “-”)
Other income
II. Operating profit (Loss is listed
2,775,370.41 5,020,680.81
with “-”)
Add: Non-operating income 0.00 266,306.33
Less: Non-operating expense 70,000.00 260,672.26
III. Total Profit (Loss is listed with
2,705,370.41 5,026,314.88
“-”)
Less: Income tax expense
IV. Net profit (Net loss is listed with
2,705,370.41 5,026,314.88
“-”)
(i) Net profit of continuing
2,705,370.41 5,026,314.88
operation(Net loss is listed with “-”)
(ii) Net profit of discontinuing
operation (Net loss is listed with “-”
V. Net after-tax of other comprehensive
income
(I) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
11
1. Changes as a result of
re-measurement of net defined benefit
plan liability or asset
2. Share of the other
comprehensive income of the investee
accounted for using equity method
which will not be reclassified
subsequently to profit and loss
(II) Other comprehensive income
items which will be reclassified
subsequently to profit or loss
1. Share of the other
comprehensive income of the investee
accounted for using equity method
which will be reclassified subsequently
to profit or loss
2. Gains or losses arising
from changes in fair value of
available-for-sale financial assets
3. Gains or losses arising
from reclassification of held-to-maturity
investment as available-for-sale
financial assets
4. The effect hedging
portion of gains or losses arising from
cash flow hedging instruments
5. Translation differences
arising on translation of foreign
currency financial statements
6. Other
VI. Total comprehensive income 2,705,370.41 5,026,314.88
VII. Earnings per share:
(i) Basic earnings per share
(ii) Diluted earnings per share
5. Consolidated Cash Flow Statement
In RMB
Item Current Period Last Period
I. Cash flows arising from operating
activities:
12
Cash received from selling
commodities and providing labor 394,303,101.04 405,702,926.35
services
Net increase of customer deposit
and interbank deposit
Net increase of loan from central
bank
Net increase of capital borrowed
from other financial institution
Cash received from original
insurance contract fee
Net cash received from reinsurance
business
Net increase of insured savings and
investment
Net increase of amount from
disposal financial assets that measured
by fair value and with variation
reckoned into current gains/losses
Cash received from interest,
commission charge and commission
Net increase of capital borrowed
Net increase of returned business
capital
Write-back of tax received 29,094,665.73 34,892,340.04
Other cash received concerning
87,228,597.67 43,104,120.67
operating activities
Subtotal of cash inflow arising from
510,626,364.44 483,699,387.06
operating activities
Cash paid for purchasing
commodities and receiving labor 292,810,614.62 350,844,053.24
service
Net increase of customer loans and
advances
Net increase of deposits in central
bank and interbank
Cash paid for original insurance
contract compensation
Cash paid for interest, commission
13
charge and commission
Cash paid for bonus of guarantee
slip
Cash paid to/for staff and workers 59,531,961.28 56,040,388.83
Taxes paid 9,030,860.47 4,539,217.08
Other cash paid concerning
127,438,315.76 54,399,571.37
operating activities
Subtotal of cash outflow arising from
488,811,752.13 465,823,230.52
operating activities
Net cash flows arising from operating
21,814,612.31 17,876,156.54
activities
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
Net cash received from disposal of
fixed, intangible and other long-term 15,477.00 312,482.88
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
Subtotal of cash inflow from investing
15,477.00 312,482.88
activities
Cash paid for purchasing fixed,
2,816,140.63 153,930,421.99
intangible and other long-term assets
Cash paid for investment
Net increase of mortgaged loans
Net cash received from
subsidiaries and other units obtained
Other cash paid concerning
investing activities
Subtotal of cash outflow from investing
2,816,140.63 153,930,421.99
activities
Net cash flows arising from investing
-2,800,663.63 -153,617,939.11
activities
14
III. Cash flows arising from financing
activities
Cash received from absorbing
100,000,000.00
investment
Including: Cash received from
absorbing minority shareholders’ 100,000,000.00
investment by subsidiaries
Cash received from loans 44,481,427.05 157,501,563.84
Cash received from issuing bonds
Other cash received concerning
financing activities
Subtotal of cash inflow from financing
144,481,427.05 157,501,563.84
activities
Cash paid for settling debts 157,275,541.94 44,521,400.44
Cash paid for dividend and profit
3,139,235.51 2,542,753.91
distributing or interest paying
Including: Dividend and profit of
minority shareholder paid by
subsidiaries
Other cash paid concerning
financing activities
Subtotal of cash outflow from financing
160,414,777.45 47,064,154.35
activities
Net cash flows arising from financing
-15,933,350.40 110,437,409.49
activities
IV. Influence on cash and cash
equivalents due to fluctuation in 426,229.11 -1,332,336.74
exchange rate
V. Net increase of cash and cash
3,506,827.39 -26,636,709.82
equivalents
Add: Balance of cash and cash
147,067,351.82 128,737,661.78
equivalents at the period -begin
VI. Balance of cash and cash
150,574,179.21 102,100,951.96
equivalents at the period -end
6. Cash Flow Statement of Parent Company
In RMB
Item Current Period Last Period
15
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor 37,086,232.35 16,987,592.08
services
Write-back of tax received
Other cash received concerning
13,622,760.58 25,919,003.74
operating activities
Subtotal of cash inflow arising from
50,708,992.93 42,906,595.82
operating activities
Cash paid for purchasing
commodities and receiving labor 26,382,364.57 15,123,541.05
service
Cash paid to/for staff and workers 15,488,408.20 14,657,227.96
Taxes paid 1,324,993.47 315,684.06
Other cash paid concerning
12,830,808.80 44,713,882.83
operating activities
Subtotal of cash outflow arising from
56,026,575.04 74,810,335.90
operating activities
Net cash flows arising from operating
-5,317,582.11 -31,903,740.08
activities
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
Net cash received from disposal of
fixed, intangible and other long-term 0.00 287,282.88
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
Subtotal of cash inflow from investing
0.00 287,282.88
activities
Cash paid for purchasing fixed,
839,043.14 543,090.00
intangible and other long-term assets
16
Cash paid for investment 28,000,000.00 0.00
Net cash received from
subsidiaries and other units
Other cash paid concerning
investing activities
Subtotal of cash outflow from investing
28,839,043.14 543,090.00
activities
Net cash flows arising from investing
-28,839,043.14 -255,807.12
activities
III. Cash flows arising from financing
activities
Cash received from absorbing
investment
Cash received from loans
Cash received from issuing bonds
Other cash received concerning
financing activities
Subtotal of cash inflow from financing
activities
Cash paid for settling debts
Cash paid for dividend and profit
distributing or interest paying
Other cash paid concerning
financing activities
Subtotal of cash outflow from financing
activities
Net cash flows arising from financing
activities
IV. Influence on cash and cash
equivalents due to fluctuation in 1,291.21 -22,076.10
exchange rate
V. Net increase of cash and cash
-34,155,334.04 -32,181,623.30
equivalents
Add: Balance of cash and cash
48,034,853.41 43,007,956.89
equivalents at the period -begin
VI. Balance of cash and cash
13,879,519.37 10,826,333.59
equivalents at the period -end
17
7. Statement of Changes in Owners’ Equity (Consolidated)
Current period
In RMB
Current period
Owners’ equity attributable to parent company
Other
equity instrument
Item Less: Other Provisio Minorit Total
Perpet Reason
Capital Invento compre Surplus n of Retaine y owners’
Share Prefer ual able
capita reserve ry hensive reserve general d profit interests equity
red Other reserve
l shares income risk
stock
securi
ties
266,07
I. Balance at the 279,998 -6,075,0 21,908, 141,867 35,321, 739,090
1,320.
end of the last year ,206.82 14.12 064.19 ,217.06 101.18 ,895.13
00
Add:
Changes of
accounting policy
Error
correction of the
last period
Enterprise
combine under
the same control
Other
II. Balance at the 266,07 279,998 -6,075,0 21,908, 141,867 35,321, 739,090
beginning of this 1,320.
,206.82 14.12 064.19 ,217.06 101.18 ,895.13
year 00
III. Increase/
Decrease in this 7,354,4 -14,135. 22,601, 91,005, 120,947
year (Decrease is 10.04 54 899.21 128.57 ,302.28
listed with “-”)
(i) Total -14,135. 22,601, -1,473,6 21,114,
comprehensive
54 899.21 08.49 155.18
income
(ii) Owners’ 7,354,4 92,478, 99,833,
devoted and
10.04 737.06 147.10
decreased capital
1.Common shares 7,354,4 92,478, 99,833,
invested by
10.04 737.06 147.10
shareholders
2. Capital invested
by holders of other
equity instruments
18
3. Amount
reckoned into
owners equity with
share-based
payment
4. Other
(III) Profit
distribution
1. Withdrawal of
surplus reserves
2. Withdrawal of
general risk
provisions
3. Distribution for
owners (or
shareholders)
4. Other
(IV) Carrying
forward internal
owners’ equity
1. Capital reserves
conversed to
capital (share
capital)
2. Surplus reserves
conversed to
capital (share
capital)
3. Remedying loss
with surplus
reserve
4. Other
(V) Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,07 287,352 -6,089,1 21,908, 164,469 126,326 860,038
end of the report 1,320.
,616.86 49.66 064.19 ,116.27 ,229.75 ,197.41
period 00
Last Year
In RMB
Last period
Item
Owners’ equity attributable to the parent Company Minorit Total
19
Other y owners’
equity instrument interest equity
Less: Other Provisio s
Perpet Reason
Share Capital Invento compre Surplus n of Retaine
ual able
capital Prefer capita reserve ry hensive reserve general d profit
red Other reserve
l shares income risk
stock
securi
ties
266,07
I. Balance at the 279,998 -665,05 21,908, 50,349, 33,097, 650,759
1,320.
end of the last year ,206.82 9.07 064.19 731.78 484.30 ,748.02
00
Add:
Changes of
accounting policy
Error
correction of the
last period
Enterprise
combine under the
same control
Other
II. Balance at the 266,07 279,998 -665,05 21,908, 50,349, 33,097, 650,759
beginning of this 1,320.
,206.82 9.07 064.19 731.78 484.30 ,748.02
year 00
III. Increase/
Decrease in this 354,732 32,001, 1,457,2 33,813,
year (Decrease is .98 590.86 64.94 588.78
listed with “-”)
(i) Total 354,732 32,001, 1,457,2 33,813,
comprehensive
.98 590.86 64.94 588.78
income
(ii) Owners’
devoted and
decreased capital
1.Common shares
invested by
shareholders
2. Capital invested
by holders of other
equity instruments
3. Amount
reckoned into
owners equity with
share-based
payment
4 Other
(III) Profit
distribution
20
1. Withdrawal of
surplus reserves
2. Withdrawal of
general risk
provisions
3. Distribution for
owners (or
shareholders)
4. Other
(IV) Carrying
forward internal
owners’ equity
1. Capital reserves
conversed to
capital (share
capital)
2. Surplus reserves
conversed to
capital (share
capital)
3. Remedying loss
with surplus
reserve
4. Other
(V) Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,07 279,998 -310,32 21,908, 82,351, 34,554, 684,573
end of the report 1,320.
,206.82 6.09 064.19 322.64 749.24 ,336.80
period 00
8. Statement of Changes in Owners’ Equity (Parent Company)
Current period
In RMB
Current period
Other
equity instrument Other Total
Item Share Less: Retaine
Perpetu Capital comprehe Reasonab Surplus
Inventory owners’
capital Preferre al reserve nsive le reserve reserve d profit
Other shares equity
d stock capital income
securiti
21
es
-180,18
I. Balance at the 266,071, 279,115,9 19,184,67 384,188,6
3,246.3
end of the last year 320.00 00.17 2.34 46.13
8
Add: Changes
of accounting
policy
Error
correction of the
last period
Other
II. Balance at the 266,071, -180,18
279,115,9 19,184,67 384,188,6
beginning of this 3,246.3
320.00 00.17 2.34 46.13
year 8
III. Increase/
Decrease in this 2,705,3 2,705,370
year (Decrease is 70.41 .41
listed with “-”)
(i) Total 2,705,3 2,705,370
comprehensive
70.41 .41
income
(ii) Owners’
devoted and
decreased capital
1.Common shares
invested by
shareholders
2. Capital invested
by holders of other
equity instruments
3. Amount
reckoned into
owners equity with
share-based
payment
4. Other
(III) Profit
distribution
1. Withdrawal of
surplus reserves
2. Distribution for
owners (or
shareholders)
3. Other
(IV) Carrying
forward internal
owners’ equity
22
1. Capital reserves
conversed to
capital (share
capital)
2. Surplus reserves
conversed to
capital (share
capital)
3. Remedying loss
with surplus
reserve
4. Other
(V) Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,071, -177,47
279,115,9 19,184,67 386,894,0
end of the report 7,875.9
320.00 00.17 2.34 16.54
period 7
Last Year
In RMB
Last period
Other
equity instrument
Other Total
Item Perpetu Less:
Share Capital comprehe Reasonab Surplus Retaine
al Inventory owners’
capital Preferre reserve nsive le reserve reserve d profit
capital Other shares equity
d stock income
securiti
es
-209,86
I. Balance at the 266,071, 279,115,9 19,184,67 354,503,6
8,217.7
end of the last year 320.00 00.17 2.34 74.81
0
Add: Changes
of accounting
policy
Error
correction of the
last period
Other
II. Balance at the 266,071, 279,115,9 19,184,67 -209,86 354,503,6
beginning of this
320.00 00.17 2.34 8,217.7 74.81
year
23
0
III. Increase/
Decrease in this 5,026,3 5,026,314
year (Decrease is 14.88 .88
listed with “-”)
(i) Total 5,026,3 5,026,314
comprehensive
14.88 .88
income
(ii) Owners’
devoted and
decreased capital
1.Common shares
invested by
shareholders
2. Capital invested
by holders of other
equity instruments
3. Amount
reckoned into
owners equity with
share-based
payment
4. Other
(III) Profit
distribution
1. Withdrawal of
surplus reserves
2. Distribution for
owners (or
shareholders)
3. Other
(IV) Carrying
forward internal
owners’ equity
1. Capital reserves
conversed to
capital (share
capital)
2. Surplus reserves
conversed to
capital (share
capital)
3. Remedying loss
with surplus
reserve
4. Other
(V) Reasonable
reserve
1. Withdrawal in
24
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,071, -204,84
279,115,9 19,184,67 359,529,9
end of the report 1,902.8
320.00 00.17 2.34 89.69
period 2
III. Company profile
(I) Enterprise registration place, Organization form and Headquarters address
Shandong Zhonglu Oceanic Fisheries Co., Ltd. (the “Company”), registration address: No. 29
Miaoling Road, Laoshan District, Qingdao Shangdong, headquarter locates at No. 65 Haier Road,
Qingdao Shangdong, was incorporated as a joint stock limited company in the People’s Republic
of China on 30 July 1999 according to the documentation of Lu Ti Gai Zi [1999] No.85 issued by
Shandong Development and Reform Commission, and the holding company of the Company is
Shandong Fisheries Enterprise Group General Corporation, the main sponsor. On 26 June 2000,
being approved by the documentation of Zheng Jian Fa Xing Zi [2000] No.82 issued by the China
Securities Regulatory Commission, the Company’s B-share, stock ID ”Zhonglu B”, stock code”
200992” are listing for trading on Shenzhen Stock Exchange dated 24 July 2000.
Basic organization structure of the Company: Party Committee, board of shareholders, board of
directors, supervisory committee, office, office of the board, departments of human resources,
financing plan department, enterprise development department, auditing section and discipline
inspection & supervision department
(II) Business nature and main business activities of Enterprise
Corporate industry: sea-going fisheries
Corporate major products: tuna and its products
Operating scope: general management projects: sales and processing of aquatic products;
merchandise import and export business within approved scope; ice machine manufacture and sale;
refrigeration equipment manufacturing, installation, maintenance; refrigeration; load and unload
services; housing lease.
Pre-licensing projects: offshore fishing and distant fishing.
(III) Person approves the financial report for disclosed and date for report
The financial report has been approved for report by the Board dated 28 August 2018.
(IV) Scope and changes of consolidated statements during the reporting period
Ended as 30 June 2018, consolidation scope of the Company is as:
25
four subsidiaries, that is Shandong Zhonglu Fishery Shipping Co., Ltd., Shandong Zhonglu
Oceanic (Yantai) Foods Co., Ltd., HABITAT INTERNATIONAL CORPORATION and
Shandong Zhonglu Haiyan Deep-sea Fishery Co., Ltd; four sub-subsidiary: AFRICA STAR
FISHERIES LIMITED, LAIFFISHERIES COMPANY LIMITED, ZHONG GHA FOODS
COMPANY LIMITED and Shandong Zhonglu Ocean Refrigerated Co., Ltd.; and one operation
entity with controlling rights obtained through operating lease: YAW ADDO FISHERIES
COMPANY LIMITED. Found more in Note VIII. Change of Consolidation Rage and Note IX.
Equity in Other entity
IV. Preparation basis of Financial Statements
1. Preparation basis
Base on the running continuously and actual transactions and events, in line with the Accounting
Standards for Business Enterprise – Basic Standards and specific principle of accounting standards
issued by the Ministry of Finance, the Company prepared and formulate the financial statement
lies on the followed important accounting policy and estimation.
2. Going concern
The Company have the ability to continue as a going concern within 12 months at least since end
of the reporting period, there are no major events that impact the ability to continue as a going
concern
V. Important accounting policy and estimation
Notes on specific accounting policies and accounting estimation:
The Company and subsidiaries determine specific accounting policies and accounting estimation
based on their production and operation, which mainly differ in accrual method for bad debt
provision of the account receivable, evaluation of inventory, depreciation of fixed assets and
intangible assets amortization and recognization time of the revenue etc.
1. Declaration of obedience to Accounting Standards for Business Enterprise
The Financial Statements of the Company are up to requirements of Accounting Standards for
Business Enterprise and also a true and thorough reflection to the relevant information as the
Company’s financial position dated 30th June 2018 and the operation results as well as cash flow
from January to June in 2018.
26
2. Accounting period
The Company’s accounting year is Gregorian calendar year, namely from 1st January to 31st
December of every year.
3. Business cycle
The Company’s business cycle is one year (12 months) as a normal cycle, and the business cycle
is the determining criterion for the liquidity of assets and liabilities of the Company.
4. Bookkeeping standard currency
The Renminbi (RMB) is taken as the book-keeping standard currency
5. Accounting methods for consolidation of enterprises under the same control or otherwise
(1) Consolidation of enterprises under the same control
Where the Company for long term equity investment arising from business combination under
common control satisfies the combination consideration by payment of cash, transfer of non-cash
assets or assumption of debt, the carrying value of the net assets of the acquire in combined
financial statement of the ultimate controller shared by the Company as at the combination date
shall be deemed as the initial investment cost of such long term equity investment. If the equity
instrument issued by combining party are consider as the combination consideration, than the total
value of the issuing shares are consider as the share capital. The difference between the initial cost
of long-term equity investment and book value of consideration (or total face value of the shares
issued) paid, capital surplus adjusted; if the capital surplus not enough to written down, than
retained earning adjusted.
(2) Business combination not under common control
As for business combination not under common control, combination costs refer to the sum of the
fair value of the assets paid, liabilities occurred or assumed as well as equity securities issued by
the acquirer to obtain control over the acquire as at the acquisition date. As for acquiree that
obtained by consolidation not under the same control, the qualified confirmation of identified
assets, liability and contingency liabilities should calculated by fair value on day of purchased. If
the consolidation cost larger than the fair value amount of indentified net assts from acquiree’s,
the differences should be recognized as goodwill. If the consolidation cost less than the fair value
amount of indentified net assts from acquiree’s, the differences should reckoned into current
gains/losses after re-examination.
6. Preparation methods for consolidated financial statements
(1) Consolidation financial statement range
27
The Company includes all the subsidiaries (including the separate entities controlled by the
Company) into consolidated financial statement, including companies controlled by the Company,
non-integral part of the investees and structural main body.
(2) Centralize accounting policies, balance sheet dates and accounting periods of parent and
subsidiaries.
As for the inconsistency between the subsidiaries and the Company in the accounting policies and
periods, the necessary adjustment is made on the subsidiaries’ financial statements in the
preparation of the consolidated financial statements according to the Company’s accounting
policies and periods.
(3) Setoff of consolidated financial statement
The consolidated financial statements shall be prepared on the basis of the balance sheet of the
parent company and subsidiaries, which offset the internal transactions incurred between the
parent company and subsidiaries and within subsidiaries. The owner’s equity of the subsidiaries
not attributable to the parent company shall be presented as minority equity under the owner’s
equity item in the consolidated balance sheet. The long term equity investment of the parent
company held by the subsidiaries, deemed as treasury stock of the corporate group as well as the
reduction of owners’ equity, shall be presented as “Less: treasury stock” under the owners’ equity
item in the consolidated balance sheet.
(4) Accounting for acquisition of subsidiary through combination
For subsidiaries acquired under enterprise merger involving enterprises under
common control, the assets, liabilities, operating results and cash flows of the subsidiaries are
included in the consolidated financial statements from the beginning of the financial year
in which the combination took place. When preparing the consolidated financial
statements, for the subsidiaries acquired from business combination not involving
entities under common control, the identifiable net assets of the subsidiaries are adjusted on the
basis of their fair values on the date of acquisition.
7. Classification of joint arrangements and accounting treatment of joint operation
(1) Classification of joint arrangements
Joint arrangements are divided into joint operations and joint ventures. Joint arrangements
achieved not through separate entities are classified as joint operations. Separate entities refer to
the entities with separate identifiable financial architecture including separate legal entities and
legally recognized entities without the qualification of legal entity. Joint arrangements achieved
through separate entities are generally classified as joint ventures. In case of changes in rights
entitled to and obligations undertaken by the parties of joint venture under a joint arrangement due
to the changes in relevant facts and circumstances, the parties of joint venture will re-assess the
classification of joint arrangements.
(2) Accounting treatment for joint operations
The parties of joint operation should recognize the following items in relation to their share of
interest in joint operation, and proceed with accounting in accordance with the relevant provisions
under the Accounting Standards for Business Enterprises: to recognize their separate assets or
liabilities held, and recognize the assets or liabilities jointly held according to their respective
shares; to recognize the income from the disposal of their output share under joint operation; to
28
recognize the income from the disposal of output under joint operation according to their
respective shares; to recognize the expenses incurred separately, and recognize the expenses
incurred under joint operation according to their respective shares.
For the parties of a joint operation not under common control, if they are entitled to relevant assets
and undertake relevant liabilities of the joint operation, accounting will be carried out with
reference to the provisions of the parties of joint operation; otherwise, it should be subject to
relevant Accounting Standards for Business Enterprises.
(3) Accounting treatment for joint ventures
The parties of a joint venture should perform accounting for investments by the joint venture in
accordance with the Accounting Standards for Business Enterprises No. 2 – Long-term Equity
Investments. The parties not under common control should carry out accounting depending on
their influence on the joint venture.
8. Determination criteria of cash and cash equivalent
The cash recognized in the preparation of the cash flow statements, is the Company’s storage cash
and deposits available for payment anytime. The cash equivalents recognized in the preparation of
the cash flow statements refers to the investment held by the Company with characteristic of
short-term, strong mobility, easy transfer to known sum cash and has slim risk from value
changes.
9. Foreign currency exchange and the conversion of foreign currency statements
(1) Foreign currency exchange
The foreign currency exchange is booked on the current exchange rate on the transaction day and
converted in the bookkeeping standard currency. On the balance sheet day, the monetary items are
converted on the current rate on the balance sheet day, concerning the exchange differences
between teh spot exchange rate on that date and initial confirmation or the sport exchange rate on
previously balance sheet date, should reckoned in to current gains/losses except the capitalizing on
exchange differences for foreign specific loans, which was reckoned into cost for capitalizing.
The non-monetary items measured on the historic cost are still measured by the original
bookkeeping rate with the sum of the bookkeeping standard currency unchanged. Items of
non-monetary foreign currency which was calculated by fair value, should converted by spot
exchange rate on the confirmation day of fair value, difference between the converted amount of
bookkeeping currency and original amount of bookkeeping currency, was treated as changes of
fair value (including exchange rate changed) reckoned into current gains/losses or recognized as
other consolidated income.
(2) Conversion of foreign currency financial statements
Upon the conversion of the foreign currency financial statements of the controlling subsidiaries,
joint enterprises, and the affiliated enterprises on the bookkeeping standard currency different
from the Company’s, the accounting check and preparation of the consolidated financial
29
statements are made. Assets and liabilities items in the balance sheet, are converted on the current
rate on the balance sheet day; owners’ equity items besides the “retained profit” item, the other
items are converted on the actual rate. Incomes and expenses items in the profit statement are
converted on the current rate. The conversion difference of the foreign currency financial
statements is listed specifically in the owners’ equity in the balance sheet. The foreign currency
cash flow is converted on the current rate on the cash flow actual day. The cash influenced by the
rate fluctuation is listed specifically in the cash flow statement. As for the foreign operation, the
conversion difference of the foreign currency statement related to the foreign operation is
transferred in proportion into the disposal of the current loss/gain.
10. Financial instruments
(1) Categories and recognition of financial instruments
The financial instruments are classified as the financial assets or liabilities and equity instruments.
As the Company becomes one party of the financial instrument contract, the instrument is
recognized as one financial asset or liability or equity instruments.
In the initial recognition, the financial assets are classified as, the financial assets measured on fair
value and with its changes reckoned into the current loss/gain, long-term invest-bonds, account
receivables, and financial assets available for sale. Categories of the financial assets besides
account receivables are dependent on the holding intention and purpose of the Company and its
subsidiaries for the financial assets. In the initial recognition, the financial liabilities are classified
as the financial liabilities measured on the fair value and with its changes reckoned into the current
loss/gain, other financial liabilities.
Financial assets measure by fair value and of which the changes are included in the current profits
and losses include the trading financial assets with holding purpose of selling in the short run and
the financial assets designated to be measure by fair value in the initial recognition and of which
the changes are included in the current profits and losses; receivables are non-derivative financial
assets with fixed or determinable payments that are not quoted in an active market;
available-for-sale financial assets are non-derivative financial assets that are either designated in
this category or not classified in any of the other categories at initial recognition; held-to-maturity
investments are non-derivative financial assets with fixed maturity and fixed or determinable
payments that management has the positive intention and ability to hold to maturity.
(2) Measurement of financial instruments
In the initial recognition, the financial instruments are measured on fair value; and the follow-up
measurements are: financial assets and financial assets available for sale that measured by fair
value and with alteration reckoned into current gains/losses together with the financial liabilities
that measured by fair value with alteration reckoned into current gains/losses should measured by
fair value; the held-to-maturity securities, loans, account receivable and other financial liability are
measured by amortized cost; as for the equity instrument investment without quote in an active
market and with its fair value cannot be reliably measured, and those derivative financial assets or
30
liability that paid with equity instrument, which have hook with such instrument, should measured
by cost. The loss/gain from the fair value changes in the follow-up measurement of the
financial assets and liabilities, besides one related to the hedge, is dealt with in the following
methods: ① The financial assets or liabilities measured on the fair value and with its changes
reckoned into the current loss/gain, are reckoned into the fair value loss/gain; ② The fair value
change of the financial assets available for sale, is reckoned into the other comprehensive income.
(3) Recognition of the fair value for the financial assets and liabilities
For those financial instruments existing in active markets, market quotation in the active market is
used to confirm their fair values; fair value of the financial instruments which have no active
market is confirmed by adoption of estimation technology. The estimation technology mainly
including market approach, income approach and cost method
(4) Recognition basis and measurement method for the transfer of financial assets/liabilities
As for the financial assets with all risks and compensations on their patent transferred, or all risks
and compensations neither maintained nor transferred but the control over the assets given up, the
recognition of the financial asset may terminate. For the financial assets are qualified for the
recognition of termination conditions, the measurement may be taken on the financial assets
transfer, namely the difference is reckoned into the current loss/gain, between the book value of
the transferred financial assets and, the total of the consideration value received from the transfer
and the fair value change accumulative sum originally booked into the capital reserve. If the
partial transfer satisfies the criteria for derecognition, the entire carrying value of the transferred
financial asset shall proportionally allocated between the derecognized portion and the retained
portion according to their respective relative fair value.
When all or part of the current obligation to a financial liability has been terminated, the entire or
part of such financial liability shall be derecognized.
(5) Impairment loss on financial assets
When an impairment loss on a financial asset carried at amortized cost has occurred, the amount
of loss is provided for at the difference between the asset’s carrying amount and the present value
of its estimated future cash flows (excluding future credit losses that have not been incurred). If
there is objective evidence that the value of the financial asset recovered and the recovery is
related objectively to an event occurring after the impairment was recognized, the previously
recognized impairment loss is reversed and the amount of reversal is recognized in profit or loss.
When an impairment loss on a financial asset measured at cost has occurred, the amount of loss is
provided for at the difference between the asset’s carrying amount and the present value of its
estimated future cash flows. The impairment loss on such financial asset is not reversed once it is
recognized.
Where there is objective evidence that an impairment loss on available-for-sale financial assets
occurs, the cumulative loss arising from the decline in fair value that had been recognized directly
in equity is removed from equity and recognized in impairment loss. For en investment in debt
instrument classified as available-for-sale on which impairment losses have been recognized, if, in
a subsequent period, its fair value increases and the increase can be objectively related to an even
occurring after the impairment loss was recognized in profit or loss, the previously recognized
impairment loss is reversed and recognized in profit or loss for the current period. For an
31
investment in an equity instrument classified as available-for-sale on which impairment losses
have been recognized, the increase in its fair value in a subsequent period is recognized in equity
directly.
For investments in equity instruments, the specific quantitative criteria for the Company to
determine “serious” or “not temporary” decrease in their fair value, cost computing method,
method for determining closing fair value, and basis for determining the continuous decrease
period are set out below:
Specific quantitative criterion on “serious” decrease Decrease in closing fair value relative to the cost has reached
in their fair value or exceeded 50%
Specific quantitative criterion on “not temporary”
Fall for 12 consecutive months
decrease in their fair value
Consideration of payment at acquisition (net of cash
dividends declared but not yet paid or due but unpaid interest
Cost computing method
on bonds) and the relevant transaction cost are recognized as
the investment cost.
As for a financial instrument for which there is an active
market, the quoted prices in the active market shall be used
to recognize the fair values thereof. Where there is no active
Method for determining closing fair value
market for a financial instrument, the enterprise concerned
shall adopt value appraisal techniques to determine its fair
value.
The rebound in the continuous fall or the period with the
Basis for determining the tread of fall is less than 20% margin. Rebound duration not
continuous decrease period more than six months is treated as continuous decrease
period.
11. Account receivable
(1) Account receivables with single major amount and withdrawal bad debt provision
independently
Book balance of the account receivable with over one million
Criterion or amount standards of major single amount
Yuan (one million yean inclusive)
Withdrawal method for individual bad debt provision accrual Recognized on the difference between the book value and the
with major single amount concerned current value of the estimative future cash flow
(2) Account receivable with bad debt provision accrual by portfolio
Portfolio Accrued method for bad
Age portfolio Aging of accounts
Withdrawing bad bed provision by aging method in portfolio:
√ Applicable □ Not applicable
32
Accrued proportion of other accounts
Account ages Accrued proportion of accounts receivable
receivable
Within six months 5.00% 5.00%
6 months – 1 year (including 1 year) 10.00% 10.00%
1－2 years 30.00% 30.00%
2－3 years 50.00% 50.00%
Over three years 100.00% 100.00%
Withdrawing bad bed provision by percentage of total accounts receivable outstanding in portfolio:
□ Applicable √ Not applicable
Withdrawing bad bed provision by other methods in portfolio :
□ Applicable √ Not applicable
(3) Account receivable with minor single amount but has individual bad debt provision
accrual
Account receivable with over three years in account age and has
Reasons for individual bad debt prevision accrual
objective evidence of impairment appears
Recognized on the difference between the book value and the
Accrued method for bad debt provision
current value of the estimative future cash flow
12. Inventory
Whether the company needs to comply with the disclosure requirements of the particular industry
No
(1)Classification of inventory
Inventory means finished goods and merchandise that are ready for sale, work-in-progress, or
material used in the process of production or provision of service in the ordinary course of
business. Inventory includes raw materials, low value consumables, merchandise in warehouse,
supplementary materials and packing materials.
(2)Measurement
Inventories, when delivered, would be determined the actual cost under moving weighted average
method.
(3)Provision for impairment of inventory
At the balance sheet date, inventory is recorded at the lower of cost and net realizable value on an
individual basis. For items with significant quantity and low values, provision is made based on
their categories.
Net realizable value of inventories is determined as follows: 1) net realizable value of finished
33
goods is the estimated selling price less relevant tax and selling expenses. The inventories of the
Company mainly refer to longline fishing tuna. The ending net realizable value is determined at
the quotation of Qingshui Fishery Ground of Japan on the date which is the most close to the
balance sheet date less the relevant expenses that would occur to realize product sales; 2) for
materials held for production, net realizable value equals the cost if the net realizable value of the
finished goods produced from the materials exceeds the cost; when the price of raw materials
decreases indicating that the net realizable value of the relevant finished goods would be lower
than cost, the net realizable value is the estimated selling price less costs to completion, selling
expenses and relevant tax; and 3) net realizable value of materials held for sale is the market price.
(4)Inventory stocking system
The Company adopts perpetual inventory system for stocking.
(5)Amortization of low value consumables and packing materials
The Company adopts fifty amortization method for low value consumables and packing materials.
13. Classify to assets available for sale
14. Long term equity investment
(1) Recognition of initial investment cost
Initial investment cost of long term equity investment obtained by corporate consolidation: in the
case of the consolidation of enterprises under the same control, recognized as the initial cost is the
book value of the owners’ equity obtained from the consolidated party; in the case of the
consolidation of enterprises not under the same control, recognized as the initial cost is the
recognized consolidation cost on the purchase day. As for the long term equity investment
obtained by cash payment, the initial investment cost is the actual purchase payment. As for the
long term equity investment obtained by the equity securities offering, the initial investment cost
is the fair value of the equity securities. As for the long-term equity investment obtained by debt
reorganization, initial investment cost of such investment should determine by relevant regulation
of the “Accounting Standards for Business Enterprise No.12- Debt Reorganization”; As for the
long term equity investment obtained by the exchange of the non-monetary assets and the debts
restructuring, the initial investment cost is recognized on the relevant rules in the Principles.
(2) Subsequent measurement and profit or loss recognition
Where the investor has a control over the investee, long-term equity investments are measured
using cost method. Long-term equity investments in associates and joint ventures are measured
using equity method. Where part of the equity investments of an investor in its associates are held
indirectly through venture investment institutions, common fund, trust companies or other similar
entities including investment linked insurance funds, such part of equity investments indirectly
held by the investor shall be measured at fair value through profit or loss according to according to
relevant requirements of Accounting Standards for Business Enterprises No.22—Recognization
and measurement of Financial Instruments regardless whether the above entities have significant
34
influence on such part of equity investments, while the remaining part shall be measured using
equity method.
(3) Basis of conclusion for common control and significant influence over the investee
Joint control over an investee refers to where the activities which have a significant influence on
return on certain arrangement could be decided only by mutual consent of the investing parties
sharing the control, which includes the sales and purchase of goods or services, management of
financial assets, acquisition and disposal of assets, research and development activities and
financing activities, etc.; Significant influence on the investee refers to that: significant influence
over the investee exists when holding more than 20% but less than 50% of the shares with voting
rights or even if the holding is below 20%, there is still significant influence if any of the
following conditions is met: there is representative in the board of directors or similar governing
body of the investee; participation in the investee’s policy setting process; assign key management
to the investee; the investee relies on the technology or technical information of the investing
company; or major transactions with the investee.
15. Investment real estate
Measurement for investment real estate
Cost method
Depreciation or amortization method
Category of the Company’s investment real estate: rented land use rights, rented buildings and
land use rights held for transfer after appreciation. Investment real estate of the Company is
initially measured by cost and conducting follow-up measures by cost mode.
Accrued on the year averaging is the depreciation of the lease buildings in the Company’s
investment property. The detailed check principle is same as that of the fixed assets. The rented
land use rights and land use rights held for transfer after appreciation owned by the Company was
adopted line amortization method. Detail calculation policy was similar to intangible assets.
16. Fixed assets
(1) Recognition
The fixed assets are tangible assets held for the goods production, labor supply, lease or operation
& management, and with above one-accounting-year service life; meanwhile as up to the
following conditions, they are recognized: The economic interest related to the fixed assets
probably flow into the Company; The cost of the fixed assets can be measured reliably.
(2) Depreciation method
Category Depreciation method Depreciation life (year) Salvage rate Annual depreciation rate
House and building Straight-line depreciation 20-40 0-10% 2.00%-5.00%
35
Vessel and netting gear Straight-line depreciation 5-30 3%-5% 3.17%-19.40%
Machine equipment Straight-line depreciation 8-20 0-10% 5.00%-12.00%
Transportation
Straight-line depreciation 5 0-10% 19.00%-19.40%
equipment
Furniture and office
Straight-line depreciation 5 0-10% 19.00%-19.40%
equipment
The Company's fixed assets mainly include housing and buildings, vessels and netting, machinery and equipment,
transportation equipment, furniture and office equipment; and the depreciation method adopts the straight-line
depreciation. The useful life and estimated net residual value of fixed assets are determined by the nature and use
condition of various types of fixed assets. The useful life, estimated net residual value, and depreciation method of
fixed assets are rechecked at the end of the year, if there is difference with the former estimated number,
corresponding adjustments should be made. In addition to the fixed assets that have been accrued depreciation and
still continue to use and the land that has been separately valued and recorded, the Company counts and draws the
depreciation of all fixed assets.
(3) Recognition, evaluation and depreciation of the fixed assets under finance lease
Recognition of fixed assets under finance lease: the nature of this kind of lease is a transfer of all
risk and rewards related to the ownership of assets. Measurement of fixed assets under finance
lease: the initial amount of a fixed asset under finance lease should be recorded as the lower of fair
value of the leased asset at the beginning date of lease term and the present value of minimum
lease payment. Subsequent measurement of fixed assets under finance lease should be in
accordance with the accounting policies adopted for self-owned fixed assets in respect of
provision of depreciation and impairment.
17. Project in progress
Project in progress of the Company divided as self-run construction and out-bag construction. The
project in progress of the Company carried forward as fixed assets while the construction is ready
for the intended use. Criteria of the expected condition for use should apply one of the follow
conditions: The substance construction (installation included) of the fixed assets has completed all
or basically; As the projects have been in test production or operation, and the results show that
the assets can operate properly and produce the qualified products stably, or the test operation
result shows the assets can operate or open properly. The expenditure of the fixed assets on the
construction, is a little or little. The fixed assets of the project constructed have been up to the
requirements of the design or contract, or basically up to.
18. Borrowing expenses
(1) Recognition principle on capitalization of borrowing expenses
As for the Company’s actual borrowing expenses directly attributable to the assets construction or
production, it is capitalized and reckoned into the relevant assets cost; as for other borrowing
expenses, it is recognized on the actual sum and reckoned into the current loss/gain. The assets up
36
to the capitalization are assets as the capital assets, investment real estate, and inventory reaching
the expectant availability or sale ability.
(2) Calculation of the capitalization
Capitalization term: the period from the time starts to capitalization to the time the capitalization
ends. The period of capitalization suspended is not included. The capitalization of borrowing
expenses should be suspended while the abnormal interrupt, which surpass three months
continuously, in the middle of acquisition or construction or production.
As for the borrowing of the specific borrowing, the capitalization sum is recognized on the
current actual interest expenses less the interest income of the borrowing capital not utilized but
deposited in the bank or the return of the temporary investment; As for the appropriation of the
general borrowing, the capitalization sum is recognized on the weighted average of, the
accumulative assets expenditure above the specific borrowing, and times the capitalization rate of
the appropriation; As for the discount or premium of the borrowing, the discount or premium to be
diluted in every accounting period is recognized in the actual rate method.
The effective interest method is the method for the measurement of the diluted discount or
premium or interest expenses on the actual interest rate; and the actual interest rate is the interest
rate used in the discount of the future cash flow in the expectant duration period as the current
book value of the borrowing.
19. Biological assets
20. Oil-and-gas assets
21. Intangible assets
(1) Accounting method, service life and impairment test
1) Accounting method for intangible assets
The Company’s intangible assets are measured initially on cost. The intangible assets purchased in
are taken as the actual cost on the actual payment and relevant expenditure. As for the intangible
assets invested in by the investors, the actual cost is recognized on the value stipulated in the
contract or agreement; however, if what is stipulated in the contract or agreement is not fair value,
the actual cost is recognized on fair value. As for the self-developed intangible assets, their cost is
the actual total expenditure before reaching the expectant purpose.
The follow-up measurements of the Company’s intangible assets respectively are: the line
amortization method is taken on the intangible assets of finite service life, and at the yea-end, the
check is taken on the service life and dilution of the intangible assets, and the corresponding
adjustment is made if there is inconsistency with the previous estimative ones. As for the
intangible assets of uncertain service life, it is not diluted, however, the service life is checked at
year-end; If there is solid evidence to its finite service life, its service life is estimated and diluted
37
in straight line method.
2) Recognition principle of intangible assets with uncertain service life
Recognized as the intangible assets of uncertain service life is refers to those intangible assets of
un-expectable period of economic benefits brought into the Company, or of the uncertain service
period. Recognition principle of uncertain service life: from contract right or other legal rights, the
uncertain service period is stipulated in the contract or law; after the integration of the situations
and relevant expertise argumentation in the same trade, the period of the economic interest
brought into the Company by the intangible assets still cannot be recognized.
At every year-end, the check is taken on the intangible assets of uncertain service life, mainly in
bottom-up way, namely the basic check is taken by the department relevant to the assets utilization,
to assess whether there is change in the recognition principle of the uncertain service life.
(2) Accounting policy of the internal R&D expenditure
22. Long-term investment impairment
Long-term equity investments, investment properties measured at cost and long-term assets such
as fixed assets, construction in progress, productive biological assets at cost method, oil and gas
assets, intangible assets and goodwill are tested for impairment if there is any indication that an
asset may be impaired at the balance date. If the result of the impairment test indicates that the
recoverable amount of the asset is less than its carrying amount, a provision for impairment and an
impairment loss are recognized for the amount by which the asset’s carrying amount exceeds its
recoverable amount.
The recoverable amount is the higher of an asset’s fair value less costs to sell and the present value
of the future cash flows expected to be derived from the asset. Provision for asset impairment is
determined and recognized on the individual asset basis. If it is not possible to estimate the
recoverable amount of an individual asset, the recoverable amount of a group of assets to which
the asset belongs is determined. A group of assets is the smallest group of assets that is able to
generate independent cash inflows.
Goodwill arising from a business combination is tested for impairment at least at each year end,
irrespective of whether there is any indication that the asset may be impaired. For the purpose of
impairment testing, the carrying amount of goodwill acquired in a business combination is
allocated from the acquisition date on a reasonable basis to each of the related asset groups; if it is
impossible to allocate to the related asset groups, it is allocated to each of the related set of asset
groups. If the carrying amount of the asset group or set of asset groups is higher than its
recoverable amount, the amount of the impairment loss first reduced by the carrying amount of the
goodwill allocated to the asset group or set of asset groups, and then the carrying amount of other
assets (other than the goodwill) within the asset group or set of asset groups, pro rata based on the
carrying amount of each asset.
Once the impairment loss of such assets is recognized, it is not be reversed in any subsequent
period.
38
23. Long-term deferred expenditure
The Company’s long-term deferred expenditure are expenses paid out and with one year above
(1-year included) benefit period. The long-term unamortized expenses are diluted by periods
according to the benefit period. As the long-term unamortized expenses cannot enable the
accounting period’s beneficiary, all dilution values of the project undiluted yet, are transferred into
the current loss/gain.
24. Employees benefits
(1) Accounting for short-term benefits
In the period of employee services, short-term benefits are actually recognized as liabilities and
charged to profit or loss, or if otherwise required or allowed by other accounting standards, to the
related costs of assets for the current period. At the time of actual occurrence, The Company’s
employee benefits are recorded into the profits and losses of the current year or assets associated
costs according to the actual amount. The non-monetary employee benefits are measured at fair
value. Regarding to the medical and health insurance, industrial injury insurance, maternity
insurance and other social insurances, housing fund and labor union expenditure and personnel
education that the Company paid for employees, the Company should recognize corresponding
employees benefits payable according to the appropriation basis and proportion as stipulated by
relevant requirements and recognize the corresponding liabilities and include these expenses in the
profits or losses of the current period or recognized as respective assets costs.
(2) Accounting for post-employment benefits
During the accounting period in which an employee provides service, the amount payable
calculated under defined contribution scheme shall be recognized as a liability and recorded in
profit and loss of the current period or in assets. In respect of the defined benefit scheme, the
Company shall use the projected unit credit method and attribute the welfare obligations
calculated using the formula stipulated by the defined benefit scheme to the service period of the
employee, and record the obligation in the current profit and loss or related assets cost.
(3) Accounting for termination benefits
The Company recognizes a liability and expenses in the current profit or loss for termination
benefits at the earlier of the following dates: when the Company can no longer withdraw the offer
of those benefits; and when the Company recognizes costs for restructuring involving the payment
of termination costs.
(4) Accounting for other long-term employee benefits.
The Company provides other long-term employee benefits to its employees. For those falling
within the scope of defined contribution scheme, the Company shall account for them according to
39
relevant requirements of the defined contribution scheme. In addition, the Company recognizes
and measures the net liabilities or net assets of the other long-term employee benefits according to
relevant requirements of the defined contribution scheme.
25. Accrual liability
26. Share-based payment
27. Other financial instrument of preferred stock and perpetual capital securities
28. Revenue
Whether the company needs to comply with the disclosure requirements of the particular industry
No
29. Government subsidy
(1) Determination basis and accounting treatment for government grants related to assets
Government grant obtained by the Company for the purpose of constructing or otherwise forming
long term assets is recognized as government grant related to assets which will be recognized as
deferred income. Deferred income is averagely allocated against the estimated service life of asset
since the asset is available for use, and recorded in profit or loss for the current period.
(2) Determination basis and accounting treatment for government grants related to income
The government grants other than the government grants related to assets are recognized as
government grants related to income. Government grants related to income shall be treated as
follows: those used to compensate relevant expenses or losses to be incurred by the enterprise in
subsequent periods are recognized as deferred income and recorded in profit and loss for the
current period when such expenses are recognized; and those used to compensate relevant
expenses or losses that have been incurred by the enterprise are recorded directly in profit or loss
for the current period.
30. Deferred income tax asset and deferred income tax liability
(1) Where there is difference between the carrying amount of the assets or liabilities and its tax
base, (as for an item that has not been recognized as an asset or liability, if its tax base can be
determined in light of the tax law, the tax base shall recognized as the difference) the deferred
income tax and deferred income tax liabilities shall be determined according to the applicable tax
rate in period of assets expected to recover or liability expected to pay off.
(2) The deferred income tax assets shall be recognized to the extent of the amount of the taxable
income which it is most likely to obtain and which can be deducted from the deductible temporary
difference. On balance sheet date, if there have concrete evidence of obtaining, in future period,
40
enough taxable amounts to deduct the deductible temporary difference, the un-confirmed deferred
income tax assts in previous accounting period shall be recognized. If there has no enough taxable
amounts, obtained in future period, to deducted the deferred income tax assets, book value of the
deferred income tax assets shall be kept in decreased.
(3) The taxable temporary differences related to the investments of subsidiary companies and
associated enterprises shall recognized as deferred income tax liability, unless the Company can
control the time of the reverse of temporary differences and the temporary differences are unlikely
to be reversed in the expected future. As for the deductible temporary difference related to the
investment of the subsidiary companies and associated enterprises, deferred income tax assets
shall be recognized while the temporary differences are likely to be reversed in the expected future
and it is likely to acquire any amount of taxable income tax that may be used for making up the
deductible temporary differences.
31. Leasing
(1) Accounting treatment for operating lease
Operating lease payments are recognized on a straight-line basis over the term of the relevant
lease, and are either included in the cost of related asset or charged to profit or loss for the period.
(2) Accounting treatment for finance lease
At the commencement of the lease term, the Group records the leased asset at an amount equal to
the lower of the fair value of the leased asset and the present value of the minimum lease
payments. The difference between the recorded amounts is accounted for as unrecognized finance
charge, using the effective interest method amortization during the lease term. Minimum lease
payments deducting unrecognized financing charges are listed as long-term payables.
32. Other important accounting policy and estimation
Nil
33. Changes in important accounting policies and estimates
(1) Changes in important accounting policies
□ Applicable √ Not applicable
(2) Changes in important accounting estimates
□ Applicable √ Not applicable
41
34. Other
Nil
VI. Taxes
1. Major tax and tax rate
Taxes Taxation basis Tax rate
VAT Output tax minor the deductible input tax 6%, 10%, 16%
Urban maintenance and construction tax Turnover taxes payable 7%
Corporate income ax Taxable amount Exemption, 8%, 25%
Explain the different taxation entity of the enterprise income tax
Taxation entity Income tax rate
Shandong Zhonglu Oceanic Fisheries Company Limited Imposing no tax on distant fishing, and 25% for the house leasing
Shandong Zhonglu Haiyan Oceanic Co., Ltd. Exemption
AFRICA STAR FISHERIES LIMITED 8% for export parts, 25% for domestic sales
HABITAT INTERNATIONAL CORPORATION Exemption
Shandong Zhonglu Fishery Shipping Co., Ltd. 25%
Imposing no tax on aquatic product processing, and 25% for
Shandong Zhonglu Oceanic (Yantai) Foods Co., Ltd.
refrigeration service
2. Preferential tax
(1) VAT tax preference:
According to the relevant provisions of the Circular About the Provisional Management Method of Not Levying the
Tax on the Aquatic Products Directly Caught by Ocean Fishery Enterprises (SS No. [2000] 260), China's ocean
fishery enterprises stipulate on the high seas or in accordance with the relevant agreements that the aquatic products
caught in foreign sea areas and sent back for domestic sales should be regarded as the domestic products and
should not be levied the import duties and import VAT. If the corresponding domestic sales business is the primary
agricultural products sales, exempt from the VAT according to the provisions of VAT rules. The Company's sales
revenue from ocean-going fishing operations is exempt from VAT.
(2) Income tax preference:
According to the Circular of the Preferential Policies Concerning Corporate Income Tax (CSZ No.[1994]001), the
Letter About Relevant Issue About Accelerating the Development of China's Ocean Fisheries (CN No. [2000] 104)
of the Ministry of Finance, the Enterprise Income Tax Law of the People's Republic of China (PRC Presidential
Decree No. [2007] 63), the Enforcement Regulations of Enterprise Income Tax Law of the People's Republic of
China (PRC State Council Decree No. 512), Notice About Issuing the Preliminary Processing Scope (Trial) of
Agricultural Products that Enjoy the Preferential Policy of Enterprise Income Tax of Ministry of Finance and State
Administration of Taxation (CS No. [2008]149), and the Supplement Notice About the Preliminary Processing
Scope of Agricultural Products that Enjoy the Preferential Policy of Enterprise Income Tax of Ministry of Finance
42
and State Administration of Taxation (CS No. [2011] 26), the processing charges for the preliminary processing of
agricultural products can be handled by the tax-exempt items of preliminary processing of agricultural products.
The Company's income obtained from the ocean-going fishing business and the preliminary processing of
agricultural products is exempted from corporate income tax. The Company's income obtained from the business
except for the ocean-going fishing and the preliminary processing of agricultural products should pay the enterprise
income tax at 25%.
3. Other
VII. Notes to main items in consolidated financial statement
1. Monetary fund
In RMB
Item Closing balance Opening balance
Cash on hand 2,763,209.95 1,252,378.69
Bank deposit 147,370,969.26 145,374,964.71
Other monetary fund 1,618,986.78 862,500.14
Total 151,753,165.99 147,489,843.54
Including: Total amount save aboard 23,098,072.20 8,621,445.18
Other explanation
2. Financial assets measured by fair value and with its variation reckoned into current
gains/losses
In RMB
Item Closing balance Opening balance
Other explanation:
3. Derivative financial assets
□ Applicable √ Not applicable
4. Note receivable
(1) Category
In RMB
Item Closing balance Opening balance
43
(2) Note receivable pledged at period-end
In RMB
Item Amount pledged
(3) Note receivable which have endorsed and discount at period-end and has not expired on
balance sheet date
In RMB
Item De-reorganization amount at period-end Un de-reorganization amount at period-end
(4) Note transferred to account receivable due to the drawer failure to perform at
period-end
In RMB
Item Amount transferred to account receivable at period-end
Other explanation
5. Account receivable
(1) Category of account receivable
In RMB
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book
Proportio Accrual Proportio Accrual Book value
Amount Amount value Amount Amount
n ratio n ratio
Account receivable
with bad debt 52,768,8 8,038,23 44,730,56 46,984, 8,191,680 38,792,912.
100.00% 15.23% 100.00% 17.43%
provision accrual by 06.60 8.65 7.95 593.00 .11 89
portfolio
52,768,8 8,038,23 44,730,56 46,984, 8,191,680 38,792,912.
Total 100.00% 15.23% 100.00% 17.43%
06.60 8.65 7.95 593.00 .11 89
Account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable √ Not applicable
Account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable □ Not applicable
In RMB
Closing balance
Account age
Account receivable Bad debt provision Accrual ratio
44
Sub-item of within one year
1-6 months 45,950,442.81 2,203,386.98 4.80%
7-12 months 1,092,090.28 108,578.16 9.94%
Subtotal of within one year 47,042,533.09 2,311,965.14 4.91%
Over three years 5,726,273.51 5,726,273.51 100.00%
Total 52,768,806.60 8,038,238.65
Explanation on portfolio basis:
Withdrawing bad bed provision by percentage of total accounts receivable outstanding in portfolio:
□ Applicable √ Not applicable
Withdrawing bad bed provision by other methods in portfolio:
(2) Bad debt provision accrual, switch-back or taken back in the period
Amount RMB 0 accrual in the Period; amount RMB 153,441.46 switch-back or taken back in the Period
Including major amount of bad debt provision that switch-back or taken back in the Period:
In RMB
Company Amount switch back or taken back Way
Liye International 76,934.15 Receivables collected
Taiwan Taiyouli Enterprise Co., Ltd. 76,507.31 Receivables collected
Total 153,441.46 --
(3) Account receivables actually written-off during the reporting period
In RMB
Item Amount verified
Including major account receivables written-off:
In RMB
Occurred due to
Company Nature Amount verified Reasons Verified procedures related transaction
(Y/N)
Explanation on account receivable written-off
(4) Top five receivables collected by arrears party at ending balance
Company Ending balance Ratio in total other account receivable
(%)
TAI UNION ENTERPRISE
CO.,LTD 6,682,668.47 12.66%
45
Hong Kong Luen Thai Seafood 6,577,538.62 12.46%
Beishui Japan 3,989,380.88 7.56%
PANDA 3,600,962.12 6.82%
Ameican H&T SEAFOOD INC 3,118,421.99 5.91%
Total 23,968,972.08 45.42%
(5) Account receivables derecognized due to financial assets transfer
(6) Transfer the account receivable and assets & liabilities arising from further involvement
Other explanation:
6. Prepayments
(1) Prepayments listed by account age
In RMB
Closing balance Opening balance
Account age
Amount Proportion Amount Proportion
Within one year 13,370,603.36 100.00% 18,410,772.78 99.13%
1-2 years 0.00 0.00% 162,338.80 0.87%
2-3 years 0.00 0.00%
Over 3 years 0.00 0.00%
Total 13,370,603.36 -- 18,573,111.58 --
Explanation on prepayments with over one year in age and reasons of un-settle:
(2) Top 5 prepayments collected by objects at ending balance
Company Ending balance Ratio in total prepayment %
CARENA SHIP REPAIR 6,254,807.98 46.78%
BOSHUN LOGISTICS LIMITED 734084.77 5.49%
Dongyi Sea Transporation Personal 713,176.32 5.33%
Company
Inspur 501,056.28 3.75%
Servotek motor S.L 499,422.77 3.74%
Total 8,702,548.12 65.09%
Other explanation:
46
7. Interest receivable
(1) Category
In RMB
Item Closing balance Opening balance
(2) Major overdue interest
Whether has impairment
Borrower Closing balance Overdue time Causes occurred and
determination basis
Other explanation:
8. Dividend receivable
(1) Dividend receivable
In RMB
Item (or invested company) Closing balance Opening balance
(2) Major dividend receivable with over one year aged
In RMB
Whether has impairment
Item (or invested
Closing balance Age Causes occurred and
company)
determination basis
Other explanation:
9. Other account receivable
(1) Category of other account receivable
In RMB
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book
Proportio Accrual Proportio Accrual Book value
Amount Amount value Amount Amount
n ratio n ratio
Other account
6,605,38 4,913,99 1,691,389 16,219, 4,913,990 11,305,713.
receivable with bad 100.00% 74.39% 100.00% 30.30%
0.34 0.90 .44 704.01 .90 11
debt provision
47
accrual by portfolio
6,605,38 4,913,99 1,691,389 16,219, 4,913,990 11,305,713.
Total 100.00% 74.39% 100.00% 30.30%
0.34 0.90 .44 704.01 .90 11
Other account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable √ Not applicable
Other account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable □ Not applicable
In RMB
Closing balance
Account age
Other account receivable Bad debt provision Accrual ratio
Sub-item of within one year
1-6 months 1,583,794.30 402,787.73 25.43%
6-12 months 68,276.61 6,812.66 9.98%
Subtotal of within one year 1,652,070.91 409,600.39 24.79%
1-2 years 585,429.52 177,919.07 30.39%
2-3 years 81,430.73 40,022.26 49.15%
Over three years 4,286,449.18 4,286,449.18 100.00%
Total 6,605,380.34 4,913,990.90 74.39%
Explanation on portfolio basis:
Withdrawing bad bed provision by percentage of total other accounts receivable outstanding in portfolio
□ Applicable √ Not applicable
Withdrawing bad bed provision by other methods in portfolio:
□ Applicable √ Not applicable
(2) Bad debt provision accrual, switch-back or taken back in reporting period
Amount RMB 0 accrual in the Period; amount RMB 0 switch-back or taken back in the Period.
Including major amount of bad debt provision that switch-back or taken back in the Period:
In RMB
Company Amount switch-back or taken back Way
(3) Other receivables actually written-off during the reporting period
In RMB
Item Amount verified
Including major other account receivables written-off:
In RMB
Company Nature Amount verified Reasons Verified procedures Occurred due to
48
related transaction
(Y/N)
Explanation on write-off of other receivables:
(4) Classify according to nature
In RMB
Nature Ending book balance Opening book balance
Receivable export refund tax 0.00 5,540,557.64
Margin 148,048.68 421,456.37
Insurance claims payment receivable 77,764.04 244,407.54
Transactions and others 6,379,567.62 10,013,282.46
Total 6,605,380.34 16,219,704.01
(5) Top 5 other receivables collected by arrears party at ending balance
In RMB
Proportion in total
Ending balance of
Company Nature Ending balance Account age other receivables at
bad debt provision
period-end
Transactions and
Tai Lulun 809,272.83 Over three years 12.25% 809,272.83
others
Li Henglai Personal loan 793,341.79 Over one years 12.01% 44,612.35
Gao Longxi Personal loan 432,624.41 Over one years 6.55% 24,327.97
Daihatsu Intercourse funds 288,896.39 Over five years 4.37% 288,896.39
DIVING-SEAGULL Intercourse funds 207,072.50 Over five years 3.13% 207,072.50
Total -- 2,531,207.92 -- 38.32% 1,374,182.04
(6)Account receivable involved government subsidies
In RMB
Time, amount and basis
Company Government subsidies Ending balance Ending account age
estimated to received
(7) Other account receivables derecognized due to financial assets transfer
(8) Transfer the other account receivable and assets & liabilities arising from further
involvement
Other explanation:
49
10. Inventory
Whether the company needs to comply with the disclosure requirements of the particular industry
No
(1) Category of inventory
In RMB
Closing balance Opening balance
Item Provision for Provision for
Book balance Book value Book balance Book value
price fall-down price fall-down
Raw materials 155,255,459.29 45,543.42 155,209,915.87 125,849,777.03 45,543.42 125,804,233.61
Goods in process 0.00 0.00 0.00 0.00 0.00 0.00
Inventory 147,869,434.15 888,594.38 146,980,839.77 98,514,789.13 1,349,243.78 97,165,545.35
Revolving
1,388,402.18 0.00 1,388,402.18 1,038,881.75 0.00 1,038,881.75
material
Consumptive
0.00 0.00 0.00 0.00 0.00
biological assets
Assets completed
without
settlement
0.00 0.00 0.00 0.00 0.00
resulted from
construction
contract
Low value
232,725.45 0.00 232,725.45 688,367.24 688,367.24
consumables
Goods in transit 19,047,562.12 19,047,562.12
Total 304,746,021.07 934,137.80 303,811,883.27 245,139,377.27 1,394,787.20 243,744,590.07
Does the Company comply with the disclosure requirement of “Information Disclosure Guidelines of Shenzhen
Stock Exchange No.4 – Listed Companies Engaged in Seed Industry and Planting Business” or not
No
(2) Provision for price fall-down
In RMB
Current increased Current decreased
Items Opening balance Switch back or Closing balance
Accrual Other Other
Written-off
Raw materials 45,543.42 45,543.42
Goods in process 0.00 0.00
50
Inventory 1,349,243.78 2,053.90 462,703.30 888,594.38
Revolving
0.00 0.00
material
Consumptive
0.00 0.00
biological assets
Assets completed
without
settlement
0.00 0.00
resulted from
construction
contract
Total 1,394,787.20 2,053.90 462,703.30 934,137.80
(3) Explanation on capitalization of borrowing costs in ending balance of inventory
(4) Assets completed without settle resulted by construction contract at period-end
In RMB
Items Amount
Other explanation:
11. Classified as assets held for sale
In RMB
Expected disposal
Item Ending book value Fair value Expected disposal time
expenses
Other explanation:
12. Non-current assets due within one year
In RMB
Item Closing balance Opening balance
Other explanation:
13. Other current assets
In RMB
Items Closing balance Opening balance
Input VAT 28,802,602.21 29,993,482.01
Income tax prepaid 88,480.55
51
Total 28,802,602.21 30,081,962.56
Other explanation:
14. Finance asset available for sales
(1) Finance asset available for sales
In RMB
Closing balance Opening balance
Items Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Equity instrument available
33,000,000.00 33,000,000.00 0.00 33,000,000.00 33,000,000.00 0.00
for sales:
Measured by cost 33,000,000.00 33,000,000.00 0.00 33,000,000.00 33,000,000.00 0.00
Total 33,000,000.00 33,000,000.00 33,000,000.00 33,000,000.00
(2) Finance asset available for sales measured by fair value at period-end
In RMB
Equity instrument Debt instrument
Category Total
available for sale available for sale
(3) Finance asset available for sales measured by cost at period-end
In RMB
Book balance Impairment provision Cash
Invested Holding dividend
Period-beg Increase in Decrease Period-beg Increase in Decrease proportion in
Unit in the Period-end in the Period-end invested unit for the
in the period in the period
period period period
South
33,000,000 33,000,000 33,000,000 33,000,000
Securities 0.87%
.00 .00 .00 .00
Co., Ltd.
33,000,000 33,000,000 33,000,000 33,000,000
Total --
.00 .00 .00 .00
(4) Impairment reserve of finance asset available for sales
In RMB
Equity instrument Debt instrument
Category Total
available for sale available for sale
52
(5) Explanation on closing fair value of equity instrument available for sale which was down
sharply or other-than-temporary drop without accrual the impairment provision
In RMB
Decline changes
Time to drop Accrual
Equity instrument of fair value Reasons without
Investment cost Ending fair value continuously impairment
available for sale comparing with accrual
(month) amount
its costs
Other explanation
15. Held-to-maturity investment
(1) Held-to-maturity investment
In RMB
Closing balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
(2) Major held-to-maturity investment at Period-end
In RMB
Bond Face value Coupon rate Real interest rates Maturity date
(3) Re-classified as held-to-maturity investment in the period
Other explanation
16. Long-term account receivable
(1) Long-term account receivable
In RMB
Closing balance Opening balance
Discount rate
Item Bad debt Bad debt
Book balance Book value Book balance Book value interval
provision provision
53
(2) Long-term account receivable derecognition due to financial assets transfer
(3) Assets and liabilities resulted by long-term account receivable transfer and continues
involvement
Other explanation
17. Long-term equity investment
In RMB
+,-
Ending
Other Cash
Investme balance
The Additiona comprehe dividend
Opening nt gains Other Closing of
invested l Capital nsive or profit Impairme
balance recognize equity Other balance impairme
entity investmen reduction income announce nt accrual
d under change nt
t adjustmen d to
equity provision
t issued
I. Joint venture
II. Associated enterprise
Other explanation
18. Investment real estate
(1) Investment real estate measured at cost
√ Applicable □ Not applicable
In RMB
Item House and building Land use right Construction in process Total
I. Original book value
1.Opening balance 47,701,971.19 0.00 0.00 47,701,971.19
2.Current increased 0.00 0.00 0.00 0.00
(1) Outsourcing 0.00 0.00 0.00 0.00
(2) Inventory\fixed
assets\construction in 0.00 0.00 0.00 0.00
process transfer-in
(3) Increased by
0.00 0.00 0.00 0.00
combination
3.Current decreased 0.00 0.00 0.00 0.00
(1) Disposal 0.00 0.00 0.00 0.00
54
(2) Other
0.00 0.00 0.00 0.00
transfer-out
4.Closing balance 47,701,971.19 0.00 0.00 47,701,971.19
II. Accumulated
depreciation and
accumulated
amortization
1.Opening balance 15,121,084.00 0.00 0.00 15,121,084.00
2.Current increased 614,928.12 0.00 0.00 614,928.12
(1) Accrual or
614,928.12 0.00 0.00 614,928.12
amortization
3.Current decreased 0.00 0.00 0.00 0.00
(1) Disposal 0.00 0.00 0.00 0.00
(2) Other
0.00 0.00 0.00 0.00
transfer-out
4.Closing balance 15,736,012.12 0.00 0.00 15,736,012.12
III. Depreciation reserves
1.Opening balance 886,512.06 0.00 0.00 886,512.06
2.Current increased 0.00 0.00 0.00 0.00
(1) Accrual 0.00 0.00 0.00 0.00
3. Current decreased 0.00 0.00 0.00 0.00
(1) Disposal 0.00 0.00 0.00 0.00
(2) Other
0.00 0.00 0.00 0.00
transfer-out
4.Closing balance 886,512.06 0.00 0.00 886,512.06
IV. Book value 0.00 0.00 0.00 0.00
1. Ending Book
31,079,447.01 0.00 0.00 31,079,447.01
value
2. Opening Book
31,694,375.13 0.00 0.00 31,694,375.13
value
55
(2) Investment real estate measure on fair value
□ Applicable √ Not applicable
(3) Investment real estate without property certificate completed
In RMB
Items Book value Reasons
Other explanation
19. Fixed assets
(1) Fixed assets
In RMB
House and Vessel and netting Machine Transportation Furniture and
Items Total
building gear equipment equipment office equipment
I. Original book
value:
1.Opening
116,743,454.93 602,839,486.21 42,657,969.71 5,906,394.19 11,416,499.53 779,563,804.57
balance
2.Current
0.00 2,884,492.16 530,347.43 517,953.68 586,381.26 4,519,174.53
increased
(1)
0.00 2,780,727.63 530,347.43 514,970.73 584,490.08 4,410,535.87
Purchasing
(2)
Construction in
0.00 0.00 0.00 0.00 0.00 0.00
progress
transfer-in
(3) Increased
0.00 0.00 0.00 0.00 0.00 0.00
by combination
(4)
Fluctuations in 0.00 103,764.53 0.00 2,982.95 1,891.18 108,638.66
exchange
3.Current
0.00 1,380,624.37 53,177.78 100,000.00 74,043.21 1,607,845.36
decreased
(1) Disposal
0.00 0.00 53,177.78 100,000.00 73,808.80 226,986.58
or scrapping
(2)
Fluctuations in 0.00 1,380,624.37 0.00 0.00 234.41 1,380,858.78
exchange
56
4.Closing
116,743,454.93 604,343,354.00 43,135,139.36 6,324,347.87 11,928,837.58 782,475,133.74
balance
II. Accumulative
0.00 0.00 0.00 0.00 0.00 0.00
depreciation
1.Opening
25,874,051.83 197,594,542.87 17,917,512.15 4,204,646.87 7,840,213.47 253,430,967.19
balance
2.Current
1,330,615.14 16,170,758.67 1,525,732.61 274,720.11 313,177.59 19,615,004.12
increased
(1) Accrual 1,330,615.14 16,170,758.67 1,525,732.61 274,720.11 313,177.59 19,615,004.12
0.00 0.00 0.00 0.00 0.00
3.Current
0.00 0.00 31,963.39 90,000.00 69,694.47 191,657.86
decreased
(1) Disposal
0.00 0.00 31,963.39 90,000.00 69,694.47 191,657.86
or scrapping
0.00 0.00 0.00 0.00 0.00 0.00
4.Closing
27,204,666.97 213,765,301.54 19,411,281.37 4,389,366.98 8,083,696.59 272,854,313.45
balance
III. Depreciation
0.00 0.00 0.00 0.00 0.00 0.00
reserves
1.Opening
0.00 157,573.50 0.00 0.00 0.00 157,573.50
balance
2.Current
0.00 0.00 0.00 0.00 0.00 0.00
increased
(1) Accrual 0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00
3.Current
0.00 0.00 0.00 0.00 0.00 0.00
decreased
(1) Disposal
0.00 0.00 0.00 0.00 0.00 0.00
or scrapping
0.00 0.00 0.00 0.00 0.00 0.00
4.Closing
0.00 157,573.50 0.00 0.00 0.00 157,573.50
balance
IV. Book value 0.00 0.00 0.00 0.00 0.00 0.00
1. Ending
89,538,787.96 390,420,478.96 23,723,857.99 1,934,980.89 3,845,140.99 509,463,246.79
Book value
2. Opening
90,869,403.10 405,087,369.84 24,740,457.56 1,701,747.32 3,576,286.06 525,975,263.88
Book value
57
(2) Temporary idle fixed assets
In RMB
Depreciation Impairment
Items Original book value Book value Note
accumulative provision
(3) Fixed assets leasing-in by financing lease
In RMB
Depreciation
Items Original book value Impairment provision Book value
accumulative
(4) Fixed assets leasing-out by operational lease
In RMB
Items Ending book value
(5) Fixed assets without property certificate obtained
In RMB
Items Book value Reasons for certificate un-settled
Other explanation
Pursuant to the Debt Compensation Opinion entered into between the Company and Shandong Aquatic Products
Group in April 2006 and the civil verdict issued by People Court of Lixia district of Jinan city (2005 LZZDi-1299),
the comprehensive office building owned by Shandong Aquatic Products Group at No.43, Heping road, Lixia
District, Jinan with original value of RMB54,221,197.05 (among which, RMB9,592,434.61 was recorded as fixed
assets and others were recorded as investment property) was ruled to be vested to the Company, so as to
compensate the relevant debts. Building ownership transfer has not been registered yet; management of the
Company is in the process of making active coordination among various parties seeking for early completion of
such registration.
20. Construction in progress
(1) Construction in progress
In RMB
Closing balance Opening balance
Items Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Renovation of the
15,213.68 0.00 15,213.68
sewage treatment
58
Atlantic fencing 4,077,658.55 4,077,658.55 0.00 4,077,658.55 4,077,658.55 0.00
Total 4,092,872.23 4,077,658.55 15,213.68 4,077,658.55 4,077,658.55
(2) Changes of major project in progress
In RMB
Accumul
Proporti Includin
ative
on of g:
Transfer Other amount
Opening Current Ending project Work interest Capitaliz Capital
Item Budget to fixed decreasin of
balance increased balance investme progress capitaliz ing rate resources
assets g interest
nt in ation in
capitaliz
budget Period
ation
(3) Impairment provision of construction in process accrual in the Period
In RMB
Items Accrual amount Reasons
Other explanation
21. Engineering material
In RMB
Items Closing balance Opening balance
Other explanation:
22. Disposal of fixed assets
In RMB
Items Closing balance Opening balance
Other explanation:
23. Productive biological assets
(1) Measured by cost
□ Applicable √ Not applicable
(2) Measured by fair value
□ Applicable √ Not applicable
59
24. Oil/gas assets
□ Applicable √ Not applicable
25. Intangible assets
(1) Intangible assets
In RMB
Non-patented
Items Land use right Patent right Computer software Total
technology
I. Original book
value
1.Opening
17,154,729.00 1,031,396.71 18,186,125.71
balance
2.Current
increased
(1) Purchasing
(2) Internal
R&D
(3) Increased by
combination
3.Current
decreased
(1) Disposal
4.Closing
17,154,729.00 1,031,396.71 18,186,125.71
balance
II. Accumulated
amortization
1.Opening
4,453,772.33 236,405.62 4,690,177.95
balance
2.Current
191,935.08 84,833.78 276,768.86
increased
(1) Accrual 191,935.08 84,833.78 276,768.86
3.Current
decreased
60
(1) Disposal
4.Closing
4,645,707.41 321,239.40 4,966,946.81
balance
III. Depreciation
reserves
1.Opening
balance
2.Current
increased
(1) Accrual
3.Current
decreased
(1) disposal
4.Closing
balance
IV. Book value
1. Ending Book
12,509,021.59 710,157.31 13,219,178.90
value
2. Opening
12,700,956.67 794,991.09 13,495,947.76
Book value
The proportion of intangible assets form by internal R&D in total book value of intangible assets at period-end.
(2) Land use right without property certificate completed
In RMB
Items Book value Reasons
Other explanation:
26. Development expenses
In RMB
Opening Closing
Items Current increased Current decreased
balance balance
Other explanation
61
27. Goodwill
(1) Original book value of goodwill
In RMB
The invested
entity of events
Opening balance Increase during the period Decrease during this period Closing balance
with goodwill
resulted
(2) Impairment provision of goodwill
In RMB
The invested
entity of events
Opening balance Increase during the period Decrease during this period Closing balance
with goodwill
resulted
Explain the impairment testing, parameter and recognition method of the impairment losses of goodwill:
Other explanation
28. Long-term deferred expenditure
In RMB
Items Opening balance Current increased Amortized in Period Other decreased Closing balance
Amortization of
516,181.25 106,796.10 409,385.15
decoration in HQ
Total 516,181.25 106,796.10 409,385.15
Other explanation
29. Deferred income tax asset /deferred income tax liability
(1) Deferred income tax assets un-offset
In RMB
Closing balance Opening balance
Items Deductible temporary Deferred income tax Deductible temporary Deferred income tax
differences asset differences asset
Asset impairment
7,946,784.20 1,986,696.05 1,146,784.18 286,696.05
provision
Total 7,946,784.20 1,986,696.05 1,146,784.18 286,696.05
62
(2) Deferred income tax liabilities un-offset
In RMB
Closing balance Opening balance
Items Taxable temporary Deferred income tax Taxable temporary Deferred income tax
differences liability differences liability
(3) Amount of deferred income tax asset and deferred income tax liability after trade-off
In RMB
Ending balance of Trade-off between the Opening balance of
Trade-off between the
deferred income tax deferred income tax deferred income tax
Items deferred income tax
assets or liabilities after assets and liabilities at assets or liabilities after
assets and liabilities
off-set period-begin off-set
Deferred tax assets 1,986,696.05 286,696.05
(4) Deferred income tax asset without confirmed
In RMB
Items Closing balance Opening balance
(5) Deductible losses of deferred income tax asset without confirmed will expired in later
year
In RMB
Year Closing amount Opening amount Note
Other explanation:
30. Other non-current assets
In RMB
Items Closing balance Opening balance
Account for lands paid in advance 2,000,000.00 2,000,000.00
Account for equipment paid in advance 1,316,360.85 1,527,165.98
Software 285,524.92
Total 3,601,885.77 3,527,165.98
Other explanation:
63
31. Short-term borrowing
(1) Category of short-term borrowing
In RMB
Items Closing balance Opening balance
Mortgage loan 36,000,000.00 36,000,000.00
Guaranteed loan 27,607,615.40 100,000,000.00
Credit loan 0.00 40,394,931.62
Total 63,607,615.40 176,394,931.62
Explanation on category of short-term borrowing:
(2) Short-term loans un-paid by expired
Total short-term loans un-paid by expired at end of the Period was 0 Yuan, including important short-term loans
are as:
In RMB
Unit Ending balance Loans rate Overdue time Overdue interest rate
Other explanation:
32. Financial liability measured by fair value and with its variation reckoned into current
gains/losses
In RMB
Item Closing balance Opening balance
Other explanation:
33. Derivative financial liabilities
□ Applicable √ Not applicable
34. Note payable
In RMB
Category Closing balance Opening balance
Totally Yuan due note payable are paid at period-end.
35. Account payable
(1) Account payable
In RMB
64
Items Closing balance Opening balance
Within one year (one year included) 87,901,649.88 57,101,822.73
Over one year 4,816,644.84 8,102,435.25
Total 92,718,294.72 65,204,257.98
(2) Major account payable over one year
In RMB
Items Closing balance Reasons of un-paid or carry-over
Other explanation:
36. Account received in advance
(1) Account received in advance
In RMB
Items Closing balance Opening balance
Within one year (one year included) 28,248,806.80 19,187,510.18
Over one year 349,863.72 687,612.58
Total 28,598,670.52 19,875,122.76
(2) Major account received in advance with over one year age
In RMB
Items Closing balance Reasons of un-paid or carry-over
(3) Projects un-completed but settled from construction contract at end of the Period
In RMB
Items Amount
Other explanation:
37. Salary payable
(1) Salary payable
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
I. Short-term compensation 42,768,314.83 55,311,014.53 61,335,587.04 36,743,742.32
65
II. Post-employment
welfare- defined 37.70 2,946,596.06 2,946,595.58 38.18
contribution plans
III. Dismissal welfare 85,822.26 867,333.21 915,380.14 37,775.33
Total 42,854,174.79 59,124,943.80 65,197,562.76 36,781,555.83
(2) Short-term compensation
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
1. Wages, bonuses,allowances
41,301,145.50 49,377,454.08 55,416,422.02 35,262,177.56
andsubsidies
2. Welfare for workers
2,330,704.08 2,330,704.08
and staff
3. Social insurance 2,033,086.45 2,033,086.45
Including: Medical
1,637,792.47 1,637,792.47
insurance
Work injury
129,303.32 129,303.32
insurance
Maternity
265,990.66 265,990.66
insurance
4. Housing accumulation
1,404,582.58 1,404,582.58
fund
5. Labor union
expenditure and
1,467,169.33 165,187.34 150,791.91 1,481,564.76
personnel education
expense
Total 42,768,314.83 55,311,014.53 61,335,587.04 36,743,742.32
(3) Defined contribution plans
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
1. Basic endowment
37.70 2,716,797.18 2,716,796.70 38.18
insurance
2. Unemployment
136,182.58 136,182.58
insurance
66
4. Other 93,616.30 93,616.30
Total 37.70 2,946,596.06 2,946,595.58 38.18
Other explanation:
38. Tax payable
In RMB
Items Closing balance Opening balance
Value-added tax 208,070.33 298,473.86
Enterprise income tax 1,313,801.17 2,271,827.08
Individual income tax 93,776.47 119,102.33
Urban maintenance and construction tax 3,875.86 32,054.49
House property tax 260,204.69 273,051.86
Land use tax 60,465.18 158,804.18
Educational additional 1,288.92 22,896.07
Other tax 628,883.96 202,488.32
Total 2,570,366.58 3,378,698.19
Other explanation:
39. Interest payable
In RMB
Items Closing balance Opening balance
Interest payable for short-term loans 190,417.41 360,208.32
Total 190,417.41 360,208.32
Interest overdue without paid:
In RMB
Borrower Amount overdue Reasons
Other explanation:
40. Dividend payable
In RMB
Items Closing balance Opening balance
Other explanation, including dividend payable unpaid over one year, and explain the reasons:
67
41. Other payable
(1) Classification of other payable according to nature of account
In RMB
Items Closing balance Opening balance
Cash deposit 1,008,496.75 633,984.87
Employee cost 3,206,073.36 1,259,769.66
Other 3,498,748.07 4,281,598.23
Total 7,713,318.18 6,175,352.76
(2) Significant other payable with over one year age
In RMB
Items Closing balance Reasons of un-paid or carry-over
Other explanation
42. Classified as liabilities held for sale
In RMB
Items Closing balance Opening balance
Other explanation:
43. Non-current liabilities due within one year
In RMB
Items Closing balance Opening balance
Deferred income due within one year 433,292.75 866,585.48
Total 433,292.75 866,585.48
Other explanation:
44. Other current liability
In RMB
Items Closing balance Opening balance
Changes of short-term payable bonds:
In RMB
Interest Amortizat
Face Issuing Bond Issue Opening Issued in Paid in Closing
Bond accrual ion of
value date period amount balance the Period the Period balance
by face premium
68
value price and
conversio
n
Other explanation:
45. Long-term loans
(1) Classification of long-term loans
In RMB
Items Closing balance Opening balance
Explanation on category of long-term loans:
Other explanation, including interest rate section:
46. Bonds payable
(1) Bonds payable
In RMB
Item Closing balance Opening balance
(2) Changes of bond payable (excluding other financial instrument of preferred stock and
perpetual capital securities that classified as financial liability)
In RMB
(3) Condition of convertible bonds and time of transferring
(4) Other financial instrument classified as financial liabilities
Outstanding preferred stock and perpetual capital securities at period-end
Changes of the outstanding preferred stock and perpetual capital securities at period-end
In RMB
Outstanding Period-begin Increase during the period Decrease during this period Period-end
financial
Amount Book value Amount Book value Amount Book value Amount Book value
instrument
Explanations on basis of other financial instrument classified into financial liabilities
Other explanation
47. Long-term account payable
(1) Listed by nature
In RMB
69
Items Closing balance Opening balance
Other explanation:
48. Long-term employee payable
(1) Long-term employee payable
In RMB
Items Closing balance Opening balance
II. Dismiss welfare 312,742.86 312,742.86
III. Other long-term welfare 1,264,924.77 1,264,924.77
Total 1,577,667.63 1,577,667.63
(2) Change of defined benefit plan
Present value of the obligation of defined benefit plan:
In RMB
Items Current Period Last Period
Scheme assets:
In RMB
Items Current Period Last Period
Net liability(assets) of the defined benefit plan
In RMB
Items Current Period Last Period
Contents of defined benefit plan and the risks associate thereof, influences upon the Company’s future cash flow,
timing and uncertainty:
The material actuary assumption and sensitive analysis relating to defined benefit plan is explained as follows:
Other explanation:
49. Special payable
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance Causes
period period
Other explanation:
50. Accrued liabilities
In RMB
70
Items Closing balance Opening balance Causes
Other explanation, including relevant important hypothesis and estimation:
51. Deferred income
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance Causes
period period
Government
Government grants 9,705,869.14 9,705,869.14 subsidies related to
assets
Total 9,705,869.14 9,705,869.14 --
Item with government subsidy concerned:
In RMB
Amount Amount
Subsidy Assets-relate
reckoned into reckoned into Cost
Opening increase Other Closing d/
Item non-operatio non-operatio reduction in
balance during this changes balance Income-relate
n revenue in n revenue in the period
period d
the Period the period
Construction Assets-relate
9,029,572.50 9,029,572.50
special fund d
Financial
Assets-relate
ship-building 676,296.64 676,296.64
d
discount
Total 9,705,869.14 9,705,869.14 --
Other explanation:
52. Other non-current liability
In RMB
Items Closing balance Opening balance
Other explanation:
53. Share capital
In RMB
Changes in the Period (+,-)
Opening Shares transfer Closing
Issuing new
balance Bonus shares from public Other Subtotal balance
shares
reserves
71
Total shares 266,071,320.00 266,071,320.00
Other explanation:
54. Other equity instrument
(1) Other financial instrument of outstanding preferred stock and perpetual capital
securities at period-end
(2) Changes of financial instrument of outstanding preferred stock and perpetual capital
securities at period-end
In RMB
Outstanding Period-begin Increase during the period Decrease during this period Period-end
financial
Amount Book value Amount Book value Amount Book value Amount Book value
instrument
Changes of other equity instrument, explanation on changes and basis of relevant accounting treatment:
Other explanation:
55. Capital surplus
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
Capital premium (equity
185,036,701.86 7,354,410.04 192,391,111.90
premium)
Other Capital surplus 94,961,504.96 94,961,504.96
Total 279,998,206.82 7,354,410.04 287,352,616.86
Other explanation, including changes and reasons of changes:
A premium resutled by additional investment to Haiyan Company from the Company and other shareholdres
56. Treasury stock
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
Other explanation, including changes and reasons for changes:
57. Other consolidated income
In RMB
Items Opening Current Period Closing
72
balance Less: written in balance
other
comprehensive
Account Belong to Belong to
income in
before Less : income parent minority
previous period
income tax in tax expense company after shareholders
and carried
the period tax after tax
forward to gains
and losses in
current period
(II) Other comprehensive income
-6,089,14
items which will be reclassified -6,075,014.12 -23,938.25 -14,135.54 -9,802.71
9.66
subsequently to profit or loss
Translation differences of foreign -6,089,14
-6,075,014.12 -14,135.54 -9,802.71
financial sheet 9.66
-6,089,14
Total of other consolidated income -6,075,014.12 -23,938.25 -14,135.54 -9,802.71
9.66
Other explanation, including the active part of the hedging gains/losses of cash flow transfer to initial
reorganization adjustment for the arbitraged items:
58. Reasonable reserve
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
Other explanation, including changes and reasons for changes:
59. Surplus reserves
In RMB
Increase during the Decrease during this
Items Opening balance Closing balance
period period
Statutory surplus
21,908,064.19 21,908,064.19
reserves
Total 21,908,064.19 21,908,064.19
Other explanation, including changes and reasons for changes:
60. Retained profit
In RMB
Items This period Last period
73
Retained profits at the end of last year before
141,867,217.06 50,349,731.78
adjustment
Retained profits at the beginning of the period
141,867,217.06 50,349,731.78
after adjustment
Add: net profit attributable to owners of parent
22,601,899.21 91,517,485.28
company
Retained profit at period-end 164,469,116.27 141,867,217.06
Details about adjusting the retained profits at the beginning of the period:
1) The retroactive adjustments to Accounting Standards for Business Enterprises and its relevant new regulations
affect the retained profits at the beginning of the period amounting to 0 Yuan.
2) The changes in accounting policies affect the retained profits at the beginning of the period amounting to 0
Yuan.
3) The major accounting error correction affects the retained profits at the beginning of the period amounting to 0
Yuan
4) Merge scope changes caused by the same control affect the retained profits at the beginning of the period
amounting to 0 Yuan.
5) Other adjustments affect the retained profits at the beginning of the period amounting to 0 Yuan
61. Operating income and cost
In RMB
Current Period Last Period
Items
Income Cost Income Cost
Main operating 437,116,744.01 373,729,371.53 435,825,365.50 377,649,192.30
Other operating 3,206,032.96 768,677.02 4,352,726.25 718,241.91
Total 440,322,776.97 374,498,048.55 440,178,091.75 378,367,434.21
62. Tax and surcharges
In RMB
Items Current Period Last Period
City maintenance and construction tax 139,594.98 305,392.09
Educational surtax 61,569.29 218,131.38
House property tax 607,009.39 740,050.43
Land use tax 218,430.35 315,805.99
Vehicle and vessel tax 27,829.36 27,664.36
Stamp tax 231,386.95 54,922.03
Local education surcharge 38,141.42 5.83
74
Local water conservancy construction fund 9,542.49 43,464.74
Total 1,333,504.23 1,705,436.85
Other explanation:
63. Sales expenses
In RMB
Items Current Period Last Period
Payroll payable 852,719.42 734,426.40
Port surcharge 2,928,162.72 355,592.64
Freight and miscellaneous charges 8,957,747.30 2,851,332.58
Agency fee 255,376.76 14,224.60
Travelling charge 153,803.20 11,898.35
Business publicity expenses 105,953.82 86,618.05
Other 1,589,461.18 27,210.86
Total 14,843,224.40 4,081,303.48
Other explanation:
64. Administrative expenses
In RMB
Items Current Period Last Period
Payroll payable 11,111,601.32 9,212,316.46
Depreciation 2,405,402.31 556,028.52
Travelling charge 1,309,331.01 1,054,696.16
Business entertainment expenses 556,056.12 555,868.54
Cost tax 2,735.00
Vehicles charge 265,734.24 125,250.73
Attorney charge 1,236,913.74 813,954.48
Office allowance 204,880.72 212,314.01
Property water and electricity 476,256.21 153,112.13
Amortization of intangible assets 276,317.60 195,735.06
Other 5,200,391.39 3,314,423.72
Total 23,045,619.66 16,193,699.81
Other explanation:
75
65. Financial expenses
In RMB
Items Current Period Last Period
Interest costs 3,082,690.15 2,891,553.08
Less: interest income 174,711.83 352,460.61
Exchange loss 15,660,397.91 4,141,704.98
Less: exchange gains 15,348,305.26 562,848.61
Handing expense 403,277.17 330,949.94
Other expense 66,640.42 68,814.21
Total 3,689,988.56 6,517,713.00
Other explanation:
66. Losses on assets impairment
In RMB
Item Current Period Last Period
I. Bad debt losses -153,441.46 10,500.00
II. Provision for falling price of inventory 2,053.90
Total -151,387.56 10,500.00
Other explanation:
67. Gains from changes of fair value
In RMB
Source of gains from changes of fair value Current Period Last Period
Other explanation:
68. Gains on investment
In RMB
Item Current Period Last Period
Other explanation:
69. Income from assets disposal
In RMB
Item Current Period Last Period
Income from assets disposal -18,990.79 262,776.33
76
Total -18,990.79 262,776.33
70. Other income
In RMB
Sources Current Period Last Period
Financial ship-building discount 14,188.00
Government grants 419,104.74
Total 433,292.74
71. Non-operating expenditure
In RMB
Amount reckoned in current
Items Current Period Last Period
non-recurring gains/losses
Government subsidy 433,292.74
Indemnity from insurance
205,791.69
company
Other 9,117.16
Total 0.00 648,201.59
Government subsidy reckoned into current gains/losses:
In RMB
Subsidy
impact The special Assets-relate
Issuing Offering Amount in Amount in
Item Nature current subsidy d/income-rela
subject causes the Period last period
gains/losses (Y/N) ted
(Y/N)
Financial
Assets-relate
ship-building Subsidy Y N 14,188.00
d
discount
Special
Assets-relate
construction Subsidy Y N 419,104.74
d
fund
Total -- -- -- -- -- 433,292.74 --
Other explanation:
72. Non-operating expenses
In RMB
77
Amount included in current
Item Current Period Last Period
non-recurring profits or losses
Loss of non-current assets
3,772.45 399.90 3,772.45
scrape
Additional overdue find of state
4,282.38
taxes
Other expense 423,335.93 295,719.88 423,335.93
Total 427,108.38 300,402.16 427,108.38
Other explanation:
73. Income tax expenses
(1) Statement of income tax expense
In RMB
Items Current Period Last Period
Current income tax expense 1,922,681.98 453,724.36
Total 1,922,681.98 453,724.36
(2) Adjustment on accounting profit and income tax expenses
In RMB
Items Current Period
Total profit 23,050,972.70
Income tax based on statutory/applicable rate 1,922,681.98
Income tax expense 1,922,681.98
Other explanation
74. Other comprehensive income
See Note 57.
75. Items of statement of cash flow
(1) Other cash received in relation to operation activities
In RMB
Items Current Period Last Period
Intercourse funds and others 87,228,597.67 43,104,120.67
Total 87,228,597.67 43,104,120.67
78
Explanation on other cash received in relation to operation activities:
(2) Other cash paid in relation to operation activities
In RMB
Items Current Period Last Period
Expenses of management cash paid 3,704,943.53 4,119,883.15
Sales expenses paid in cash 8,960,979.71 1,234,748.50
Intercourse funds and others 114,772,392.52 49,044,939.72
Total 127,438,315.76 54,399,571.37
Explanation on other cash paid in relation to operation activities:
(3) Cash received from other investment activities
In RMB
Items Current Period Last Period
Explanation on cash received from other investment activities
(4) Cash paid related with investment activities
In RMB
Items Current Period Last Period
Explanation on Cash paid related with investment activities:
(5) Other cash received in relation to financing activities
In RMB
Items Current Period Last Period
Explanation on other cash received in relation to financing activities:
(6) Cash paid related with financing activities
In RMB
Items Current Period Last Period
Explanation on cash paid related with financing activities:
76. Supplementary information to statement of cash flow
(1) Supplementary information to statement of cash flow
In RMB
79
Supplementary information This Period Last Period
1. Net profit adjusted to cash flow of
-- --
operation activities:
Net profit 21,128,290.72 33,458,855.80
Add: Assets impairment provision -151,602.06 -1,943,630.88
Depreciation of fixed assets, consumption of
oil assets and depreciation of productive 18,855,673.47 15,751,219.98
biology assets
Amortization of intangible assets 276,768.86 195,735.06
Amortization of long-term retained expense 106,796.10
Loss from disposal of fixed assets, intangible
assets and other long-term assets(gain is 18,990.79 -247,813.32
listed with “-”)
Financial expenses (gain is listed with “-”) 3,689,988.56 2,891,561.26
Decrease of deferred income tax assets
-1,700,000.00
(increase is listed with “-”)
Decrease of inventory (increase is listed with
-60,067,293.20 -55,276,389.67
“-”)
Decrease of operating receivable accounts
8,879,176.83 -1,486,025.93
(increase is listed with “-”)
Increase of operating payable accounts
30,777,822.24 24,532,644.24
(decrease is listed with “-”)
Net cash flow arising from operating
21,814,612.31 17,876,156.54
activities
2. Material investment and financing not
-- --
involved in cash flow
3. Net change of cash and cash equivalents: -- --
Balance of cash at period end 150,574,179.21 102,884,493.47
Less: Balance of cash equivalent at
147,067,351.82 129,521,203.29
year-begin
Net increasing of cash and cash equivalents 3,506,827.39 -26,636,709.82
(2) Net cash paid for obtaining subsidiary in the Period
In RMB
Amount
Including: --
Including: --
80
Including: --
Other explanation:
(3) Net cash received by disposing subsidiary in the Period
In RMB
Amount
Including: --
Including: --
Including: --
Other explanation:
(4) Constitution of cash and cash equivalent:
In RMB
Item Closing balance Opening balance
Ⅰ. Cash 150,574,179.21 147,067,351.82
Including: Cash on hand 2,763,209.95 1,252,378.69
Bank deposit available for payment
146,411,982.48 145,374,973.13
at any time
Other monetary fund available for
1,398,986.78 440,000.00
payment at any time
Ⅲ. Balance of cash and cash equivalent at
150,574,179.21 147,067,351.82
period-end
Other explanation:
77. Notes of changes of owners’ equity
Explain the name and adjusted amount in “Other” at end of last period:
78. Assets with ownership or use right restricted
In RMB
Item Ending book value Restriction reasons
Other monetary fund, L/C Guarantee
Monetary fund 1,178,986.78
deposits
Fixed assets 69,106,984.16 Real estate, mortgage bank
Intangible assets 12,764,639.81 Lands, mortgage bank
Total 83,050,610.75 --
81
Other explanation:
79. Item of foreign currency
(1) Item of foreign currency
In RMB
Closing balance of foreign
Items Rate of conversion Ending RMB balance converted
currency
Monetary funds -- --
Including: USD 10,237,220.64 67,735,594.09
6.6166
EUR 30,637.79 234,425.05
7.6515
HKD
JPY 10,419,926.00 624,299.45
0.059914
XOF 135,000.00 1,761.48
0.013048
CEDI 8,080,363.33 11,828,843.88
1.4639
Accounts receivable -- --
Including: USD 3,636,860.28 24,063,649.73
6.6166
EUR
HKD
JPY 158,587,384.00 9,501,604.52
0.059914
Long term borrowing -- --
Including: USD
EUR
HKD
JPY
Other explanation:
82
(2) Explanation on foreign operational entity, including as for the major foreign
operational entity, disclosed main operation place, book-keeping currency and basis for
selection; if the book-keeping currency changed, explain reasons
√Applicable □ Not applicable
Foreign main operation Book-keping
Major foreign operation entity Basis
place currency
HABITAT INTERNATIONAL The economic environm
CORPORATION Panama CNY ent in the operation site
s
LAIF FISHERIES COMPANY LIMITED The economic environm
Garner USD ent in the operation site
s
YAW ADDO FISHERIES COMPANY The economic environm
LIMITED Garner USD ent in the operation site
s
ZHONG GHA FOODS COMPANY The economic environm
LIMITED Garner USD ent in the operation site
s
AFRICA STAR FISHERIES LIMITED The economic environm
Garner USD ent in the operation site
s
80. Hedging
Disclosed hedging items and relevant hedging instrument based on hedging’s category, disclosed qualitative and
quantitative information for the arbitrage risks:
81. Other
VIII. Changes of consolidation scope
1. Enterprise consolidation not under the same control
(1) Enterprise consolidation not under the same control
In RMB
Income of Net profit of
Standard to
Time point Cost of Ratio of Acquired acquiree from acquiree from
Purchasing determine the
Acquiree for equity equity equity way Equity purchasing purchasing
date purchasing
obtained obtained obtained obtained way date to date to
date
period-end period-end
Other explanation:
83
(2) Combination cost and goodwill
In RMB
Combination cost
Determination method for fair value of the combination cost and contingent consideration and changes:
Main reasons for large goodwill resulted:
Other explanation:
(3) Identifiable assets and liability on purchasing date under the acquiree
In RMB
Fair value on purchasing date Book value on purchasing date
Determination method for fair value of the identifiable assets and liabilities:
Contingent liability of the acquiree bear during combination:
Other explanation:
(4) Gains or losses arising from re-measured by fair value for the equity held before
purchasing date
Whether it is a business combination realized by two or more transactions of exchange and a transaction of
obtained control rights in the Period or not
□Y √N
(5) On purchasing date or period-end of the combination, combination consideration or fair
value of identifiable assets and liability for the acquiree are un-able to confirm rationally
(6) Other explanation
2. Enterprise combined under the same control
(1) Enterprise combined under the same control in the Period
In RMB
Income of the Net profit of
combined the combined Income of the Net profit of
Basis of Standard to party from party from combined the combined
Equity ratio
combined Combination determine the period-begin period-begin party during party during
Acquiree obtained in
under the date combination of of the the
combination
same control date combination combination comparison comparison
to the to the period period
combination combination
84
date date
Other explanation:
(2) Combination cost
In RMB
Combination cost
Explanation on contingent consideration and its changes:
Other explanation:
(3) Assets and liability of the combined party on combination date
In RMB
Combination date Ending period of last year
Contingent liability of the combined party bear during combination
Other explanation:
3. Counter purchase
Basic information of transactions, basis of transactions constituting counter purchase, whether assets and liabilities
reserved by listed companies constituting business and their basis, confirmation of combined cost, the amount
occurred when adjusting rights and interests in accordance with equity transaction and its calculation:
4. Disposal of subsidiaries
Losing controlling rights while dispose subsidiary on one-time
□Yes √No
Dispose subsidiary step by step through multi-dealings and losing controlling rights in the Period
□Yes √No
5. Changes of combination scope
Other reasons contributed the changes for combination scope (e.g. new subsidiary established, liquidate subsidiary
etc.):
85
6. Other
IX. Equity in other entity
1. Equity in subsidiary
(1) Constitute of enterprise group
Main operation Share-holding ratio
Subsidiary Registered place Business nature Acquired way
place Directly Indirectly
Shandong
Zhonglu Fishery Qingdao Qingdao Refrigerated
100.00% Investment
Shipping Co., Shandong Shandong transport
Ltd.
Shandong
Zhonglu Oceanic
Yantai Shandong Yantai Shandong Food processing 100.00% Investment
(Yantai) Food
Co., Ltd.
Shandong
Zhonglu Haiyan Qingdao Qingdao
Pelagic fishing 59.05% Investment
Oceanic Fishery Shandong Shandong
Co., Ltd.
HABITAT
INTERNATION Refrigerated
Panama Panama 100.00% Investment
AL transport
CORPORATION
YAW ADDO
FISHERIES
Garner Garner Pelagic fishing Operating lease
COMPANY
LIMITED
Explanation on share-holding ratio in subsidiary different from ratio of voting right:
Basis for controlling the invested entity with half or below voting rights held and without controlling invested
entity but with over half and over voting rights:
Controlling basis for the structuring entity included in consolidated range:
Basis on determining to be an agent or consignor:
Other explanation:
(2) Important non-wholly-owned subsidiary
In RMB
Subsidiary Share-holding ratio of Gains/losses attributable Dividend announced to Ending equity of
86
minority to minority in the Period distribute for minority in minority
the Period
Shandong Zhonglu
Haiyan Oceanic Fishery 40.95% -1,473,608.49 126,326,229.75
Co., Ltd.
Explanation on share-holding ratio of minority different from ratio of voting right:
Other explanation:
(3) Main finance of the important non-wholly-owned subsidiary
In RMB
Closing balance Opening balance
Subsidia Non-curr Non-curr Non-curr Non-curr
Current Total Current Total Current Total Current Total
ry ent ent ent ent
assets assets liability liability assets assets liability liability
assets liability assets liability
Shandon
g
Zhonglu
177,301, 221,758, 399,060, 85,570,8 676,296. 86,247,1 137,172, 226,220, 363,393, 174,281, 676,296. 174,957,
Haiyan
266.90 913.03 179.93 98.63 64 95.27 698.60 585.87 284.47 509.38 64 806.02
Oceanic
Fishery
Co., Ltd.
In RMB
Current Period Last Period
Cash flow Cash flow
Total Total
Subsidiary Operation from Operation from
Net profit comprehensi Net profit comprehensi
Income operation Income operation
ve income ve income
activity activity
Shandong
Zhonglu
Haiyan 73,754,521.8 46,126,136.8 34,584,084.0
-3,598,555.54 -3,622,493.79 -2,244,328.09 7,776,226.98 7,850,678.66
Oceanic 2 7 5
Fishery Co.,
Ltd.
Other explanation:
(4) Use of the corporate funds and major limitation of debt liquidation of the group
(5) Financial supporting or other supports offer to the structured body, which included in
consolidation statement scope
Other explanation:
87
2. Transaction that has owners equity shares changed in subsidiary but still with controlling
rights
(1) Owners equity shares changed in subsidiary
(2) Impact on minority’s interest and owners’ equity attributable to parent company
In RMB
Other explanation
3. Equity in joint venture and cooperative enterprise
(1) Important joint venture and cooperative enterprise
Share-holding ratio Accounting
treatment on
Main operation investment for
Name Registered place Business nature
place Directly Indirectly joint venture and
cooperative
enterprise
Share-holding ratio or shares enjoyed different from voting right ratio:
Basis of the voting rights with 20% below but with major influence, or without major influence but with over 20%
(20% included) voting rights hold:
(2) Main financial information of the important joint venture
In RMB
Closing balance /Current Period Opening balance /Last Period
Other explanation
(3) Main financial information of the important cooperative enterprise
In RMB
Closing balance /Current Period Opening balance /Last Period
Other explanation
(4) Summary of the financial information for those minor joint venture and affiliates
In RMB
88
Closing balance /Current Period Opening balance /Last Period
Joint venture: -- --
Total of the items counted by share-holding
-- --
ratio
Cooperative enterprise: -- --
Total of the items counted by share-holding
-- --
ratio
Other explanation
(5) Major limitation of the capital transfer to the Company from joint venture or affiliates
(6) Excess deficit arising from joint venture or affiliates
In RMB
Loss un-confirmed in the Period
Accumulative loss Accumulative loss confirmed at
Joint venture or affiliates (or net profit shared in the
un-confirmed previous period-end
Period)
Other explanation
(7) Un-confirmed commitment with joint venture investment concerned
(8) Contingency with investment of joint venture investment concerned
4. Major co-management
Share-holding ratio /shares enjoyed
Name Main operation place Registered place Business nature
Directly Indirectly
Explanation on difference of the voting rights over share-holding or share enjoyed in co-management:
As for the independent entity, basis of co-management classification:
Other explanation
5. Equity in structured entities not included in the consolidated financial statements
Note of structured entities not included in the consolidated financial statements:
6. Other
X. Risks related to financial instruments
The financial assets of the Company include accounts receivable and other receivables. The financial liabilities of
the Company include accounts payable, other payables and short-term loans. For details of each financial instrument,
please refer to the relevant items in Note 5. The Company is faced with the risks of various financial instruments in
89
its daily activities, mainly including credit risk, liquidity risk and market risk. The board of directors is responsible
for establishing and supervising the risk management structure of the Company and developing and monitoring the
Company's risk management policies.
Risk management objectives and policies: the Company's goal of risk management is to strike a proper balance
between risks and profits, minimize the negative impacts of the risks on the Company's operating results and
maximize the benefits of shareholders and other equity investors.
1. Credit risk
If the customer or the other party involving in the financial instruments cannot fulfill the obligations under the
contract and cause financial losses to the Company, that is credit risk. Credit risk is mainly from the customer
receivables. The book value of account receivables and notes receivable and other receivables is the maximum credit
risk of the Company for financial assets.
2. Liquidity risk
Liquidity risk is the risk of the shortage of funds when the Company is fulfilling its obligations related to financial
liabilities. In the case of normal and tense funds, the Company needs to ensure that there is sufficient liquidity to
meet its due debts and negotiate with financial institutions for financing so as to maintain a certain level of reserve
credit line to reduce the liquidity risk.
3. Market risk
(1) Foreign exchange risk
Foreign exchange risk refers to the risk that the fair value of financial instruments or the future cash flows fluctuate
due to changes in foreign exchange rates. The foreign exchange risk faced by the Company mainly comes from the
financial assets valued in US dollars, and the amount of foreign currency financial assets converted into RMB is
listed as described in VII. 79 foreign currency monetary items.
(2) Interest rate risk
Interest rate risk refers to the risk that the fair value of financial instruments or future cash flows fluctuate due to
changes in market interest rates. The interest rate risk faced by the Company mainly comes from the long-term bank
loans, the Company’s loans are floating interest rate, and there is risk of RMB benchmark interest rate change.
XI. Disclosure of fair value
1. Ending fair value of the assets and liabilities measured by fair value
In RMB
Ending fair value
Item
First-order Second-order Third-order Total
I. Sustaining measured by
-- -- -- --
fair value
II. Non-persistent measure -- -- -- --
90
2. Basis for determining the market price of the sustained and non-sustained first-level fair
value measurement projects
3. The qualitative and quantitative information of the valuation techniques and important
parameters adopted for the sustained and non-sustained second-level fair value
measurement projects
4. The qualitative and quantitative information of the valuation techniques and important
parameters adopted for the sustained and non-sustained third-level fair value measurement
projects
5. The adjustment information about book value between the beginning and the end of the
period and the unobservable parameter sensitivity analysis of the sustained third-level fair
value measurement projects
6. The sustained third-level fair value measurement projects that conversion has occurred
among various levels in the current period, the reasons for change and the policy
determining the conversion point
7. Valuation techniques change occurred during the current period and the reasons for
change
8. The fair value situations of the financial assets and financial liabilities not measured by
the fair value
9. Other
XII. Related party and related transactions
1. Parent company of the enterprise
Share-holding ratio
Voting right ratio on
Parent company Registration place Business nature Registered capital on the enterprise for
the enterprise
parent company
Investment and
Shandong management,
State-owned Assets management and
Jinan Shandong RMB 4,500,000,000 33.07% 33.07%
Investment Holding operation of assets,
Company Limited managed operations,
investment advisory
Explanation on parent company of the enterprise
Ultimate controller of the Company is Shandong State-owned Assets Investment Holdings Co., Ltd.
Other explanation:
91
2. Subsidiary of the Enterprise
Found more in Note IX.” Equity in subsidiary”
3. Cooperative enterprise and joint venture
Found more in Note.
Other cooperative enterprise and joint venture that have related transaction with the Company in the Period or
occurred in previous period
Name Relationship
Other explanation
4. Other related party
Other related party Relationship with the Enterprise
Shandong Luxin Investment Holding Company Limited Shareholders with over 5% shares held
Other explanation
5. Related transaction
(1) Goods purchasing, labor service providing and receiving
Goods purchasing/labor service receiving
In RMB
Whether over the
Amount of this Trading limit
Related party Content approved limited or Amount of last period
period approved
not
Goods sold/labor service providing
In RMB
Related party Content Amount of this period Amount of last period
Explanation on goods purchasing, labor service providing and receiving
In RMB
(2) Related trusteeship management/contracts and entrusted management/outsourcing
Statement of trusteeship management/contract:
In RMB
Managed Managed
Client/Contract-o Entrusting Trustee/assts earnings /pricing earnings
Trustee /start Trustee /ends
ut party party/Contractor contract of the contract confirmed in the
earnings period / contract
92
earnings
Related managed/contract:
Entrusted management/outsourcing:
In RMB
Entrusted
Trustee fee / earnings
Client/Contract-o Entrusting Entrust /assets
Entrust /start Entrust /ends pricing of the confirmed in the
ut party party/Contractor outsourcing
outsourcing period /
outsourcing costs
Related management/ outsourcing:
(3) Related lease
As a lessor for the Company:
In RMB
Lease income in recognized in Lease income in recognized last
Lessee Assets type
the Period the Period
As a lessee for the Company:
In RMB
Lease income in recognized in Lease income in recognized last
Lessor Assets type
the Period the Period
Explanation on related lease
(4) Related guarantee
As the guarantor
In RMB
Secured party Amount guarantee Start End Completed or not (Y/N)
As the secured party
In RMB
Guarantor Amount guarantee Start End Completed or not (Y/N)
Shandong State-owned
Assets Investment
100,000,000.00 2017-04-28 2018-02-28 Y
Holding Company
Limited
Explanation on related guarantee
(5) Related party’s fund loan
In RMB
93
Related party Fund loan Start End Note
Borrowing
Lending
(6) Related party’s assets transfer and debt reorganization
In RMB
Related party Content Current Period Last Period
(7) Remuneration of key manager
In RMB
Items Current Period Last Period
Total remuneration 1,078,527.06
(8) Other related transactions
6. Receivable/payable items of related parties
(1) Receivable item
In RMB
Closing balance Opening balance
Item Related party
Book balance Bad debt reserves Book balance Bad debt reserves
(2) Payable item
In RMB
Item Related party Ending book balance Opening book balance
7. Commitments of related party
8. Other
XIII. Share-based payment
1. Share-based payment
□ Applicable √ Not applicable
94
2. Share-based payment settled by equity
□ Applicable √ Not applicable
3. Share-based payment settled by cash
□ Applicable √ Not applicable
4. Amendment and termination of the share-based payment
5. Other
XIV. Commitment or contingency
1. Important commitment
Important commitment on balance sheet date
Nil
2. Contingency
(1) Contingency on balance sheet date
Nil
(2) If the Company has no contingency need to disclosed, explain reasons
The Company has no important contingency that need to disclosed
3. Other
XV. Event occurring after balance sheet date
1. Important non-adjusting events
In RMB
Impact on financial status and Reasons of unable to estimated
Item Content
operation results the impact
2. Profit distribution
In RMB
95
3. Sales return
4. Other explanation on events after balance sheet date
XVI. Other important event
1. Error correction for previous period
(1) Retrospective restatement
In RMB
Item with impact in statement
Correction content Treatment procedure Cumulative impact
in every comparative period
(2) Prospective application
Correction content Approval procedure Cause of prospective application adoption
2. Debt reorganization
3. Assets replacement
(1) Exchange of non-monetary assets
(2) Other assets replacement
4. Pension plan
5. Discontinuing operation
In RMB
Profit of
discontinuing
Income tax operation
Item Revenue Expenses Total profit Net profit
expenses attributable to
owners of parent
company
Other explanation
96
6. Segment information
(1) Determination basis and accounting policy for segment
(2) Financial information of the segment
In RMB
Item Offset between segment Total
(3) If the Company has no segment reporting, or unable to disclosed the total assets and
liabilities of the segment, explain reasons
(4) Other explanation
7. Other important transactions and events shows impact on investor decision-making
8. Other
XVII. Principle notes of financial statements of parent company
1. Accounts receivable
(1) Category of account receivable
In RMB
Closing balance Opening balance
Book balance Bad debt reserves Book balance Bad debt reserves
Category Book
Accrual Accrual Book value
Amount Ratio Amount value Amount Ratio Amount
ratio ratio
Account receivable
with bad debt 19,618,0 5,937,50 13,680,54 14,421, 5,937,507 8,484,060.2
100.00% 30.27% 100.00% 41.17%
provision accrual by 51.48 7.66 3.82 567.93 .66 7
portfolio
19,618,0 5,937,50 13,680,54 14,421, 5,937,507 8,484,060.2
Total 100.00% 30.27% 100.00% 41.17%
51.48 7.66 3.82 567.93 .66 7
Account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable √ Not applicable
Account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable □ Not applicable
In RMB
A/C age Closing balance
97
Account receivable Bad debt reserves Accrual ratio
Sub-item of within one year
Within 6 months 13,922,433.47 248,275.15 5.00%
6-12 months 6,600.00 214.50 10.00%
Subtotal of within one year 13,929,033.47 248,489.65
Over three years 5,689,018.01 5,689,018.01 100.00%
Total 19,618,051.48 5,937,507.66
Explanation on portfolio basis:
In combination, withdrawal proportion of bad debt provision based on balance proportion for account receivable:
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for account receivable:
(2)Bad debt provision accrual, switch-back or taken back in reporting period
Amount RMB 0 accrual in the Period; amount 0 Yuan switch-back or taken back in the Period 。
Including major amount of bad debt provision that switch-back or taken back in the Period:
In RMB
Company Amount switch back or taken back Way
(3) Account receivables actually written-off during the reporting period
In RMB
Items Amount verified
Including major account receivables written-off:
In RMB
Occurred due to
Company Nature Amount verified Reasons Verified procedures related transaction
(Y/N)
Explanation on account receivable written-off :
(4)Top five receivables collected by arrears party at ending balance
In RMB
Company Ending balance Ratio in total receivable Balance of bad debt provision
Shandong Zhonglu Oceanic (Yantai) Food Co., 7,239,765.00 36.90%
Ltd.
TAI UNION ENTERPRISE CO.,LTD 6,682,668.47 34.06% 248,275.15
98
PACIFIC PANDA,INC 3,600,962.12 18.36% 3,600,962.12
Qingdao Haifeng Gorup Limited 430,625.10 2.20% 430,625.10
Han Xue 293,209.20 1.49% 293,209.20
Total 18,247,229.89 93.01% 4,573,071.57
(5) Account receivables derecognized due to financial assets transfer
(6) Transfer the account receivable and assets & liabilities arising from further involvement
Other explanation:
2. Other accounts receivable
(1) Category of other account receivable
In RMB
Closing balance Opening balance
Book balance Bad debt reserves Book balance Bad debt reserves
Category Book
Accrual Accrual Book value
Amount Ratio Amount value Amount Ratio Amount
ratio ratio
Other account
receivable with bad 75,824,8 3,673,65 72,151,23 68,363, 3,673,656 64,689,774.
100.00% 4.84% 100.00% 5.37%
debt provision 90.78 6.91 3.87 431.90 .91 99
accrual by portfolio
75,824,8 3,673,65 72,151,23 68,363, 3,673,656 64,689,774.
Total 100.00% 4.84% 100.00% 5.37%
90.78 6.91 3.87 431.90 .91 99
Other account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable √ Not applicable
Other account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable □ Not applicable
In RMB
Closing balance
A/C age
Other receivable Bad debt reserves Accrual ratio
Sub-item of within one year
Within 6 months 19,046,085.57 139,823.36 5.00%
6-12 months 71,766.00 15.00 10.00%
Subtotal of within one year 19,117,851.57 139,838.36
1-2 years 21,124,765.99 259,746.18 30.00%
99
Over three years 35,582,273.22 3,274,072.37 100.00%
Total 75,824,890.78 3,673,656.91
Explanation on portfolio basis:
In combination, withdrawal proportion of bad debt provision based on balance proportion for other account
receivable
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for other account receivable
□Applicable √ Not applicable
(2) Bad debt provision accrual, switch-back or taken back in reporting period
Amount RMB 0 accrual in the Period; amount 0 Yuan switch-back or taken back in the Period
Including major amount of bad debt provision that switch-back or taken back in the Period:
In RMB
Company Amount switch-back or taken back Way
(3) Other receivables actually written-off during the reporting period
In RMB
Items Amount verified
Including major other account receivables written-off
In RMB
Occurred due to
Nature of other
Company Amount verified Reasons Verified procedures related transaction
receivables
(Y/N)
Explanation on write-off of other receivables:
(4) Other receivables by nature
In RMB
Nature Ending book balance Opening book balance
Intercourse funds in the Company 75,434,742.96 63,318,089.06
Reserve fund and others 390,147.82 5,045,342.84
Total 75,824,890.78 68,363,431.90
(5) Top 5 other receivables collected by arrears party at ending balance
In RMB
Proportion in total Ending balance of
Company Nature Ending balance Account age
other receivables at bad debt provision
100
year-end
LAIF Company in Within 1 year, 1-2
Intercourse funds 21,613,238.86 28.50%
Ghana years, 2-3 years
Shandong Zhonglu
Haiyan Oceanic Intercourse funds 20,720,825.26 Over 3 years 27.33%
Fishery Co., Ltd.
YAW ADDO
Intercourse funds 11,446,927.59 Over 3 years 15.10%
Company
ZHONG GHA FOOD
Intercourse funds 8,069,246.53 Within 1 year 10.64%
COMPAY LIMITED
AFRICA STAR
FISHERIS Intercourse funds 7,215,697.10 Within 1 year 9.52%
LIMITED
Total -- 69,065,935.34 -- 91.09%
(6) Account receivable involved government subsidies
In RMB
Time, amount and basis
Company Name Ending balance Ending account age
estimated to received
(7) Other account receivables derecognized due to financial assets transfer
(8) Transfer the other account receivable and assets & liabilities arising from further
involvement
Other explanation:
3. Long-term equity investment
In RMB
Closing balance Opening balance
Items Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Investment for
232,189,455.23 232,189,455.23 204,189,455.23 204,189,455.23
subsidiary
Total 232,189,455.23 232,189,455.23 204,189,455.23 204,189,455.23
(1) Investment for subsidiary
In RMB
101
Ending balance of
Increase during Decrease during Impairment
The invested entity Opening balance Closing balance impairment
the period this period accrual
provision
HABITAT
INTERNATIONA 12,476,145.60 12,476,145.60
L CORP.
Shandong Zhonglu
Fishery Shipping 22,869,513.38 22,869,513.38
Co., Ltd.
Shandong Zhonglu
Oceanic (Yantai) 55,448,185.24 55,448,185.24
Food Co., Ltd.
Shandong Zhonglu
Haiyan Oceanic 113,395,611.01 28,000,000.00 141,395,611.01
Fishery Co., Ltd.
Total 204,189,455.23 28,000,000.00 232,189,455.23
(2) Investment for associates and joint venture
In RMB
+,-
Ending
Other Cash
Investme balance
Additiona comprehe dividend
Opening nt gains Other Closing of
Company l Capital nsive or profit Impairme
balance recognize equity Other balance impairme
investmen reduction income announce nt accrual
d under change nt
t adjustmen d to
equity provision
t issued
I. Joint venture
II. Associated enterprise
(3) Other explanation
4. Operating income and cost
In RMB
Current Period Last Period
Items
Income Cost Income Cost
Main business 77,834,059.12 60,182,495.95 57,174,319.09 43,119,825.36
Other business 2,054,655.24 768,677.02 2,364,952.79 718,241.91
Total 79,888,714.36 60,951,172.97 59,539,271.88 43,838,067.27
102
Other explanation:
5. Investment gains
In RMB
Items Current Period Last Period
6. Other
XVIII. Supplementary Information
1. Current non-recurring gains/losses
√ Applicable □ Not applicable
In RMB
Item Amount Note
Gains/losses from the disposal of
-18,990.79
non-current asset
Governmental subsidy reckoned into current
gains/losses (not including the subsidy
enjoyed in quota or ration according to 433,292.74
national standards, which are closely
relevant to enterprise’s business)
Other non-operating income and expenditure
-427,108.38
except for the aforementioned items
Total -12,806.43 --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for
Companies Offering Their Securities to the Public --- Extraordinary Profit/loss, and the items defined as recurring
profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on
Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss, explain
reasons
□ Applicable √ Not applicable
2. REO and earnings per share
Earnings per share
Profits during report period Weighted average ROE
Basic EPS (RMB/Share) Diluted EPS (RMB/Share)
Net profits belong to common stock
3.14% 0.08 0.08
stockholders of the Company
Net profits belong to common stock
3.15% 0.08 0.08
stockholders of the Company after
103
deducting nonrecurring gains and
losses
3. Difference of the accounting data under accounting rules in and out of China
(1) Difference of the net profit and net assets disclosed in financial report, under both IAS
(International Accounting Standards) and Chinese GAAP (Generally Accepted Accounting
Principles)
□ Applicable √ Not applicable
(2) Difference of the net profit and net assets disclosed in financial report, under both
foreign accounting rules and Chinese GAAP (Generally Accepted Accounting Principles)
□ Applicable √ Not applicable
(3) Explain accounting difference over the accounting rules in and out of China; as for the
difference adjustment for data audited by foreign auditing organ, noted the name of such
foreign organ
4. Other
104
