China Vanke Co., Ltd.
2009 First Quarterly Report
§1 Important Notice
1.1 The Board, the Supervisory Committee, Directors, members of the Supervisory Committee and senior management of the Company
warrant that in respect of the information contained in this Quarterly Report, there are no misrepresentations or misleading statements, or
material omission, and individually and collectively accept full responsibility for the authenticity, accuracy and completeness of the information
contained in this Quarterly Report.
1.2 None of the Director, member of the Supervisory Committee and senior management fails to assure or dispute with the authenticity,
accuracy and completeness of the contents of this Quarterly Report.
1.3 Deputy Chairman Song Lin, Director Wang Yin and Director Jiang Wei were not able to attend the board meeting in person due to their
business engagements and had authorised Director Yu Liang to represent them and vote on behalf of them. Director Sun Jianyi was not able
to attend the board meeting in person due to his health condition and had authorised Director Shirley L. Xiao to represent him and vote on
behalf of him. Independent Director Qi Daqing was not able to attend the board meeting in person due to his business engagements and had
authorised Director Charles Li to represent him and vote on behalf of him.
1.4 This quarterly financial and accounting reports of the Company have not been audited.
1.5 The Company’s Chairman Wang Shi, Director and President Yu Liang, and Executive Vice President and
Supervisor of Finance Wang Wenjin declare that the financial report contained in this Quarterly Report is
warranted to be true and complete.
1§2 Basic Corporate Information
2.1 Major accounting data and financial indicators
(Unit: RMB)
As at the end of the Reporting Period
As at the end of the previous year
Changes (%)
Total assets
126,489,255,135
120,586,410,234
4.90%
Shareholders’ equity
32,690,950,450
31,891,925,262
2.51%
Net assets per share
2.97
2.90
2.41%
Reporting Period
Corresponding period of previous year
Changes (%)
Net profit
768,764,019
718,133,262
7.05%
Net cash flow from operating activities
3,684,640,137
(1,419,962,635)
359.49%
Net cash flow from operating activities per share
0.34
(0.13)
361.54%
Basic earnings per share
0.070
0.065
7.69%
Diluted earnings per share
0.070
0.065
7.69%
Return on equity
2.35%
2.38%
Down by 0.03 percentage point
Note: 1. The net assets and net profit presented in the table above refer to equity attributable to equity
shareholders of the Company and net profit attributable to equity shareholders of the Company respectively.
2. In June 2008, the Company implemented the proposal on the transfer of capital surplus reserve to share
capital for the year 2007, pursuant to which six shares were transferred to shareholders for every 10 shares
held. As a result, the Company’s total number of shares increased by 60 per cent, while the earnings per share
and net cash flow from operating activities per share for the first quarter of 2008 were adjusted accordingly.
2.2 Total number of shareholders and shareholding of the top 10 shareholders of non-restricted tradable
shares as at the end of the Reporting Period
As at the end of 31 March 2009, the total number of shareholders of the Company was 1,019,359 (including
988,519 holders of A shares and 30,840 holders of B shares).
Total number of shareholders as at the end of the Reporting Period
1,019,359
Shareholdings of the top 10 shareholders of non-restricted tradable shares
Name of shareholders (Full)
Total number of non-restricted tradable shares held as at the end of the Reporting Period
Type
China Resources Co., Limited
1,355,094,766
A Share
Liu Yuansheng
133,791,208
A Share
ICBC－Bosera Services Sector Growth Stock Securities Investment Fund
101,090,270
A Share
Bank of Communications-Bosera Emerging Growth Stock Securities Investment Fund
99,999,800
A Share
2ICBC－Bosera Select Stock Securities Investment Fund
99,806,568
A Share
TOYO Securities Asia Limited-A/C Client
97,979,271
B Share
China Construction Bank－Bosera Theme Industry Stock Securities Investment Fund
95,000,000
A Share
China Life Insurance Company Limited– Dividend Distribution–Individual Dividend- 005L-FH002 Shen
94,392,341
A Share
ICBC－Rongtong Shenzhen Stock Exchange 100 Index Securities Investment Fund
92,068,057
A Share
Bosera Value Growth Securities Investment Fund
75,668,153
A Share
As at the end of 31 March 2009, the total number of shares of the Company was 10,995,210,218 including
9,680,254,750 A shares and 1,314,955,468 B shares.
2.3 Bond holdings of the Company’s top 10 bondholders as at the end of Reporting Period
(1) Name of the top 10 bondholders of 08 Vanke G1 bonds and their bondholdings
Serial No.
Bondholder
No. of bonds held
1
New China Life Insurance Company–Dividend Distribution–Individual Dividend-018L-FH002 Shen
5,548,262
2
China Pacific Life Insurance Company Limited
3,433,312
3
China Ping An Life Insurance Company Limited –Traditional –General Insurance Products
2,218,727
4
China Life Property and Casualty Insurance Company Limited–Traditional–General Insurance Products
1,820,000
5
China Life Insurance Company Limited
1,770,000
6
China Life Pension Company Limited–Internal Resources
1,000,000
7
Ping An Property and Casualty Insurance Company of China–Investment-oriented Insurance Products
999,995
8
203 Portfolio of National Social Security Fund, PRC
751,541
9
Shanghai’s Corporate Annuities Transition Plan by Changjiang Pension Insurance Company Limited–Bank of
Communications
708,336
10
China Reinsurance (Group) Corporation
690,604
（2）Name of the top 10 bondholders of 08 Vanke G2 bonds and their bondholdings
Serial No.
Bondholder
No. of bonds held
1
ICBC/Credit Suisse Tianli Bond Securities Investment Fund
2,346,450
2
Guangfa Wealth Stock Securities Investment Fund
2,083,451
3
CCB Sustaining Profit Increase Bond Securities Investment Fund
1,982,176
4
Fullgoal Tianfeng Surging Income Bond Securities Investment Fund
1,400,000
5
Bank of Communications Schroder Principal-Protected Mixed Securities Investment Fund
958,261
6
801 Portfolio of National Social Security Fund, PRC
809,778
7
Bosera Stable Value Bond Investment Fund
800,000
8
CITIC Securities Ltd
790,000
9
ChinaAMC Stable Growth Mixed Securities Investment Fund
733,834
10
ICBC Credit Suisse Asset Management Co., Ltd – ICBC –Specific client assets
727,373
3§3 Management Discussion and Analysis
Since end of 2008, the transaction volume of residential properties in certain cities has been rising on previous periods, with significant
increase recorded in the Pearl River Delta region. This trend sustained through the first quarter of 2009, and gradually became a general
nation-wide trend, as evidenced by the increase in the sales area and sales amount of commodity housing in the country when compared with
those of the same period previous year. Transaction volume rebounded significantly in those major cities that saw greater market adjustment
earlier. In the 14 cities where China Vanke has been closely monitoring, the transaction volume in the first quarter, in general, rose
substantially when compared with that of the same period of 2008. Among the 14 cities, some of them even saw their transaction volume rise
over that of the same period of 2007. In line with the active primary market, the recent transaction volume in the secondary market also
showed signs of significant rebound.
The Company’s management believes that a number of factors have contributed to the increase in the
transaction volume during the Reporting Period. In order to clear inventory, property developers have used
various strategies to boost sales. Preferential credit and tax policies have enabled people to lower the cost
of purchasing house for self-use, thereby restoring confidence in the property market. The relatively long
market adjustment period has provided sufficient time for the build-up of pent-up demand before it unleashes.
In the Pearl River Delta region, it made sense to see a rebound in the transaction volume as prices in the area
had previously undergone considerable adjustments.
How this trend will move requires further observation. Given the various uncertainties in the macro
environment, it is too early to conclude that the adjustment of the residential property market has come to an
end. The Company will continue to adhere to the principle of “being responsive is more important than being
able to make predictions” in operation management, and will continue to adopt market pricing strategy and
actively promote sales.
During the Reporting Period, the Company realised sales area and sales amount of 1,525,000 sq m and
RMB12.22 billion respectively, representing increases of 33.2% and 21.0% from those of the same period of 2008
respectively. The Company’s booked area and booked revenue reached 1,061,000 sq m and RMB7.59 billion,
representing increases of 32.1% and 27.0% from those of the same period last year respectively. The Company’s
revenue and net profit reached RMB7.73 billion and RMB769 million respectively, representing increases of 27.7%
and 7.1% from those of the same period last year respectively.
As at the end of the Reporting Period, the Company, according to the latest market conditions and sales
performance, made an assessment of the projects for which provision for diminution in value had been at the end
of 2008. As the sales performance of Jinyu Tixiang Project in Nanjing is better than expectation, in accordance
with the assessment results, the provision for diminution in value was adjusted from RMB63.59 million to
RMB49.57 million, thereby increasing the net profit attributable to equity shareholders of the Company by
RMB10.51 million. The results of the assessment of the other 12 projects made at the end of 2008 remained
unchanged.
4The Group’s Shenzhen King Metropolis, Shanghai Jade Villa, Dalian Glamorous City, and Chengdu Golden
Hairong, which were launched during the period, reported satisfactory sales. During the Reporting Period,
Foshan King Metropolis, Shanghai Everest Town, and Wuhan Golf project also recorded outstanding sales results.
Geographically, the Company realised a sales area of 491,000 sq m and a sales revenue of RMB4.48 billion in
the Pearl River Delta region, representing increases of 44.5% and 34.1% from those of the same period previous
year respectively. In the Yangtze River Delta region, the Company realised a sales area of 405,000 sq m and a
sales revenue of RMB3.60 billion, representing an increase of 15.5% and a decrease of 6.1% from those of the
same period previous year respectively. The Company realised a sales area of 451,000 sq m and a sales revenue
of RMB2.92 billion in the Bohai-Rim region, representing increases of 88.1% and 73.0% from those of the same
period previous year respectively. In other markets, the Company achieved a sales area of 178,000 sq m and a
sales revenue of RMB1.22 billion, representing decreases of 17.0% and 1.1% from those of the same period
previous year respectively.
As at the end of Reporting Period, the Company had an area of 3,799,000 sq m sold but not yet completed and
booked. The area involved a total contract amount of RMB30.71 billion, thereby laying a solid foundation for
achieving 2009 results target.
The Company insists on “building inventory based on sales”, to ensure that the pace of development is
matched with its sales progress. The Company will consider to adjust its project development plan according to
the market conditions, and such will be disclosed in the interim report.
Benefiting from satisfactory sales results, the Company further improved its inventory mix. As at the end
of the Reporting Period, of the various types of inventory of the Company, completed properties amounted to
RMB6.67 billion, representing a 15.5% decrease from that of the end of 2008 and accounting for 7.9%; planned
development products (corresponding to the Company’s projects under planning) amounted to RMB32.24 billion,
accounting for 38.0%; and products under development amounted to RMB45.78 billion (including an area of
3,799,000 sq m sold but not yet booked, which had a contract amount of RMB30.71 billion), accounting for 54.0%.
As at the end of Reporting Period, the Company’s cash and cash equivalents amounted to RMB26.92 billion,
net debt ratio decreased to 24.5%, and short-term borrowings and long-term borrowings due within one year
totaled RMB18.73 billion. The Company’s financial position remained sound. Sufficient liquidity has put the
Company in an advantageous position to utilise the market adjustment to acquire projects.
On the front of project development, the Company adheres to the principle of “careful selection and
capturing opportunities”, with a focus on project resources that can add strategic value to the Company’s
development. In order to enhance project quality, the Company has strengthened risk 5control. During the
Reporting Period, the Company had further optimised its investment management system, and set stricter
benchmarks for acquiring new projects.
The Company believes that the key to cope with industry restructuring is to return to market and customer
origins, and practically augment products’ market competitiveness. To catapult product quality, the Company
continues to raise product quality awareness and step up efforts to improve construction management by
enhancing communication and cooperation with construction units. With respect to product design, the Company
has proceeded with a specific product benchmarking study, namely “Rose in the wind”. While promoting its
excellent traditions, the Company emphasises learning from success examples in the industry. To boost sales
efficiency, the Company will keep on improving the database containing relevant information, fortifying its
sales team development and fine-tuning the sales resources allocation. On the aspect of cost management, the
Company has carried out cost benchmarking activities. To tighten cost control, the Company will include the
relevant benchmarks in the performance-linked remuneration appraisal system of the Group’s headquarters for
the current year.
§4 Significant Events
4.1 Significant changes and reasons for such changes in major items of the accounting statements and financial indicators of the Company
√Applicable □Not applicable
Financial indicators
3/31/2009
(RMB ’000)
12/31/2008
(RMB ’000)
Change
Reasons for changes
Cash and cash equivalents
26,921,922
19,978,286
34.76%
Receipt from sales of properties and increase in borrowings
Interest-bearing borrowings (Long term)
17,943,290
14,942,136
20.09%
Increase in borrowings for further development and land acquisition
Financial indicators
Jan-Mar 2009
Jan-Mar 2008
Change
Reasons for changes
Revenue
7,733,123
6,056,755
27.68%
Growth in sales from property development
Cost of sales
5,386,237
3,925,913
37.20%
Growth in property development business
Distribution costs
238,578
278,414
-14.31%
Cost control measures
Administrative expenses
287,992
387,101
-25.60%
The incentive plan did not incur any administrative expenses
Net financial cost
167,177
124,835
33.92%
Increase in interest which could not be capitalised
Minority interests
119,779
23,597
407.61%
The booking of jointly developed projects led to increase in profit attributable to minority interest
4.2 Progress of significant events and analysis of their impact and solutions
√Applicable □Not applicable
6Since the Company’s net profit after extraordinary gains or losses in 2008 decreased by 15.61% from that
of 2007, it failed to meet the performance target of “achieving a growth rate of over 15% in net profit after
extraordinary gains or losses” as stipulated by Provision No. 12 of Phase One Restricted Stock Incentive Plan,
the Company issued an announcement regarding the termination of the implementation of the restricted stock
incentive plan for year 2008 on 14 April 2009. The implementation of the incentive plan for year 2008 under
Phase One Restricted Stock Incentive Plan was terminated.
The 60,925,820 Vanke A shares held by the incentive plan for year 2008 will be sold within 20 trading days
(during the window period) from the date on which the above mentioned announcement was issued, and the proceeds
from the sale of the shares will be transferred to the Company within three working days after the sale.
4.3 Implementation of the undertakings given by the Company, shareholders and beneficial controllers
√ Applicable □Not applicable
Undertaking
Details
Implementation
Share reform
Under the Company’s share reform, CRC had undertaken not to trade or transfer its non-tradable shares
within the 12-month period from the date on which such non-tradable shares were granted the right to list on
the stock exchange. After the expiry of the 12-month period, the original non-tradable shares could be sold
through trading on the stock exchange. The amount of shares to be sold shall not exceed five per cent and 10
per cent of the Company’s total issued shares during the respective periods of 12 months and 24 months. In
addition, the selling price shall not be less than 120 per cent of the exercise price of the put warrant (the
selling price will be adjusted during the statutory share disposal restriction period and according to the
adjustment methods for the exercise price of the put warrant).
Undertaking strictly abided
Undertakings given in acquisition report or report on change in equity interests
No
Undertakings given in major asset restructuring
No
Undertakings given at the time of the issue
For the private placing of A shares in 2006, CRC undertook to be subject to a lock-up period of 36 months
for the subscribed shares of its own accord. CRC holds 264,000,000 restricted tradable shares of the Company
issued from the 2006 private placing, and that amount represents 2.4% of the Company’s total number of shares.
The lock-up period of these shares will expire on 26 December 2009.
Undertaking strictly abided
Other undertakings given to non major shareholders
China Resources National Corporation (“CRNC”) – the parent company of CRC, being the Company’s original
single largest shareholder and the present single largest shareholder, gave a significant undertaking to the
Company in 2001: CRNC would provide as much support to the Company as it did in the past, as long as such
support was beneficial to the Company’s development, and that it would remain impartial in the event of any
competition between the investment projects of the Company and that of CRNC and its subsidiaries, and in the
event of any disagreements or disputes arising from horizontal competition.
CRNC has fulfilled its undertaking.
4.4 Warning of and explanation for the accumulated net profit from the beginning of the year to the end of
the next reporting period forecast to be a probable loss or to be significantly differed from that of the
corresponding period of the previous year 7□Applicable √Not applicable
4.5 Other major events and their explanations
4.5.1 Securities investments
□Applicable √Not applicable
4.5.2 Equity interests held in other listed companies
√Applicable □Not applicable
(Unit: RMB)
Stock code
Stock abbreviation
Initial investment amount
Percentage of shareholdings
Booked value as at the end of the Reporting Period
Gains/(losses) during the Reporting Period
Changes in equity attributable to equity shareholders during the Reporting Period
000001
Shenzhen Development Bank Co., Ltd – A
11,582,347.80
0.10%
48,041,884.80
-
19,530,201.60
600697
Changchun Eurasia Group Co., Ltd
5,070,000.00
1.18%
29,781,294.10
-
2,630,524.40
600680
Shanghai Potevio Co., Ltd
8,722,080.97
1.11%
40,378,451.68
-
16,244,692.22
600751
S*ST Tianjin Marine Shipping Co., Ltd.
143,600.00
0.04%
143,600.00
-
-
Total
25,518,028.77
118,345,230.58
-
38,405,418.22
Note: 1. The above-mentioned equity interests are legal person shares held by the Company over the years.
Up till now, the S*ST Tianjin Marine Shipping Co., Ltd has not undergone share reform, and Changchun Eurasia
Group Co., Ltd is still subject to a lock-up period;
2. The change in fair value of equity interests at the end of the Reporting Period led to an increase in
the “available-for-sale financial assets”, and a corresponding increase in “capital reserve”.
4.5.3 Investor relations activities such as meetings, communications and handling of inquiries during the
Reporting Period
Type of Activities
Time
Location
Approach
Classification of visitors
Issues discussed and information provided
Goldman Sachs Meeting
2009.1
Hong Kong
Face to face meeting
Securities companies and funds investors
UBS Meeting
2009.1
Shanghai
Face to face meeting
Securities companies and funds investors
Deutsche Bank Meeting
2009.1
Beijing
Face to face meeting
Securities companies and funds investors
Ping An Securities Meeting
2009.1
Shenzhen
Face to face meeting
Securities companies and funds investors
Lianhe Securities Meeting
2009.1
Shenzhen
Face to face meeting
Securities companies and funds investors
(I) Major issues
discussed:
1) The Company’s daily operations;
2) The Company’s development strategies;
3) The Company’s opinions on the
8Merrill Lynch Meeting
2009.1
Hong Kong
Face to face meeting
Securities companies and funds investors
Daiwa Securities Meeting
2009.2
Tokyo
Face to face meeting
Securities companies and funds investors
CLSA Meeting
2009.2
Hong Kong
Face to face meeting
Securities companies and funds investors
CITIC Securities Meeting
2009.2
Shenzhen
Face to face meeting
Securities companies and funds investors
China Merchants Securities Meeting
2009.2
Shenzhen
Face to face meeting
Securities companies and funds investors
Annual results presentation
2009.3
Hong Kong, Shenzhen (Shanghai, Beijing)
Face to face meeting
Securities companies and funds, and individual investors
CLSA Meeting
2009.3
Hong Kong
Face to face meeting
Securities companies and funds investors
Credit Suisse Securities Meeting
2009.3
Hong Kong
Face to face meeting
Securities companies and funds investors
UBS Meeting
2009.3
Shenzhen
Face to face meeting
Securities companies and funds investors
Note: The above-mentioned meetings were either one-on-one meetings, or small group meetings or large group
presentation. The Company received or met with investors from over 50 companies.
Securities
Companies
During the Reporting Period
Shenzhen, Dongguan, Guangzhou, Suzhou, Shanghai, Hangzhou, Nanjing, Wuxi, Tianjin, Shenyang, Beijing,
Wuhan, Chengdu, Chongqing, Changsha, etc.
Small group or one-on-one
Goldman Sachs, Shenyin & Wanguo, CLSA, UBS, Macquarie, First Shanghai Securities, JP Morgan, Morgan
Stanley, Everbright Securities, Citi, Goldman Sachs Gaohua, Citic Securities, Deutsche Bank, Credit Suisse,
Nomura Securities, Changjiang Securities, CICC, BOCI, Hongta Securities, Donghai Securities, Guodu Securities,
China Merchants Securities, ABN AMRO, Mitsubishi UFJ, Essence Securities, Lianhe Securities, Ping An
Securities, Royal Bank of Scotland, BNP, DBS Vickers, and Research-works, etc.
changes in the industry
(II) Major information provided:
Public information such as the Company’s regular reports
9Fund and
other
investment
companies
and
individual
investors
During the Reporting Period
Shenzhen, Dongguan, Guangzhou, Suzhou, Shanghai, Hangzhou, Nanjing, Wuxi, Tianjin, Shenyang, Beijing,
Wuhan, Chengdu, Chongqing, Changsha, etc.
Small group or one-on-one
China Galaxy Investment, Dalian Chenxi Investment, China Life, E Funds, China AMC, Greenwoods Asset
Management, Harvest Fund, Fortis Haitong Investment Management, Bosera Funds, Fullgoal Fund, China Southern
Fund, China Universal Asset Management, China Life Franklin Asset Management, Mirae Asset, Zhonghai Fund,
Taikang Life, Cephei Investment, Bank of Communications Schroder Fund, Dacheng Fund, , Lion Fund, Invesco Great
Wall, GF Fund, Hua An Funds, Rongtong Fund, Fuh Hwa Investment trust,Ignis Investment Services Limited,
Emerging Markets Mgmt LLC, Fortress Investment Group, ING Real Estate, Cohen & Steers, Galleon Asia, JPMorgan
Asset Management, Fidelity, Bain Capital, Portman Holdings, UBS AG, UBS Global Asset management, Rexiter,
American Century Investment, CM Asia Pacific, Hamon Asset Management Limited, Blackstone Group Asia Limited,
Fox-Pitt, Sansar, Oppenheimer Fund, Acru Asset Management, HT Capital, MFC Global Investment Management, Broad
Peak Investment, Sloane Robinson, Alliance Bernstein, Lansdowne, Templeton, Marshall Wace, T Rowe Price,
Robeco, Kingdon Capital, TPG－Axon, Tiger Asia, Montpelier Asset Management, Joho Partner, Newton Investment
Management, BEA Union Investment, JF Asset Management, Farallon, Hellman& Friedman, Capital, PMA, Capital, PMA,
Soros Capital Management, Partner Fund, Keywise Capital, Blue Ridge, Norges Bank, APG Investments, Janus
Capital, MICH Investments, Highbridge, Sumitomo Trust & Banking, TY Advisor, Piper Jaffray & Co., Triskele
Capital Management Limited, Marverick Capital, Bennelong, Dragon Back, Union Investment privatfords GMBH, AMP
Capital, Henderson Global Marvin & Palmer, Harding Loevner LLC, UOB Kay Hian, GLG Partners LP, DIAM Asset
Management, Nomura Securities, TIAA CREF, and GMO, etc. 104.5.4 Other major events and their explanations
√ Applicable □Not applicable
(1) The Company did not provide any funds for use by its controlling shareholder and other related parties,
nor did the Company provide any guarantee to third parties in violation of regulations and procedures;
(2) Information on the Company’s corporate bonds
During the Reporting Period, the Company’s credit standing was stable. China Chengxin Credit Management
Co., Ltd. conducted tracking rating of the Company’s “08 Vanke G1” (Bond code: 112005) and “08 Vanke G2”
(Bond code: 112006), and kept the ratings of AAA and AA+ for secured bonds 08 Vanke G1 and unsecured bonds 08
Vanke G2 respectively, and a rating of AA+ for the Company. The rating company assigned a “stable” outlook to
the future ratings of the Company.
The Company will distribute the first-year interest due to the corporate bonds on 7 September 2009, and the
interest payment will be funded by the Company’s internal resources.
11Consolidated income statement for the three months ended 31 March 2009
(Expressed in Renminbi Yuan)
Jan-Mar 2009
Jan-Mar 2008
Revenue
7,733,122,762
6,056,755,249
Cost of sales
(5,386,236,972)
(3,925,912,602)
Gross profit
2,346,885,790
2,130,842,647
Other income
20,721,291
6,422,988
Distribution costs
(238,578,263)
(278,414,498)
Administrative expenses
(287,992,162)
(387,100,843)
Other expenses
(22,931,072)
(27,060,809)
Results from operating activities
1,818,105,584
1,444,689,485
Financial income
75,160,324
152,437,906
Financial expenses
(242,337,537)
(277,272,645)
Net finance costs
(167,177,213)
(124,834,739)
Share of profits less losses of associates
30,843,113
665,692
Share of profits less losses of jointly controlled entities
(11,871,665)
6,307,467
Profit before taxation
1,669,899,819
1,326,827,905
Income tax
(781,357,267)
(585,098,109)
Profit for the period
888,542,552
741,729,796
Attributable to:
Profit attributable to equity shareholders of the Company
768,764,019
718,133,262
Minority interests
119,778,533
23,596,534
Profit for the period
888,542,552
741,729,796
Earnings per share
-
Basic
0.070
0.065
Diluted
0.070
0.065
12Consolidated balance sheet at 31 March 2009
(Expressed in Renminbi Yuan)
31 Mar. 2009
31 Dec. 2008
Non-current assets
Property, plant and equipment
1,254,221,471
1,290,600,931
Investment properties
169,092,420
198,394,767
Construction in progress
235,640,267
188,587,023
Interest in associates
434,265,026
508,175,188
Interest in jointly controlled entities
1,876,937,495
1,888,809,160
Other financial assets
211,912,651
256,158,816
Deferred tax assets
1,547,750,724
1,449,480,633
Total non-current assets
5,729,820,054
5,780,206,518
Current assets
Inventories
61,657,902
48,111,356
Properties held for development
32,237,251,686
34,131,859,032
Properties under development
45,783,364,094
44,340,453,697
Completed properties for sale
6,667,975,817
7,890,962,140
Trade and other receivables
9,087,263,702
8,416,531,561
Cash and cash equivalents
26,921,921,880
19,978,285,930
Total current assets
120,759,435,081
114,806,203,716
TOTAL ASSETS
126,489,255,135
120,586,410,234
CAPITAL AND RESERVES
Share capital
10,995,210,218
10,995,210,218
Reserves
22,945,781,166
22,146,755,978
Awarded Shares purchased for the
Employees’ Share Award Scheme
(1,250,040,934)
(1,250,040,934)
Total equity attributable to equity
shareholders of the Company
32,690,950,450
31,891,925,262
Minority interests
7,041,402,748
6,926,624,219
TOTAL EQUITY
39,732,353,198
38,818,549,481
13Consolidated balance sheet at 31 March 2009 （continued）
(Expressed in Renminbi Yuan)
31 Mar. 2009
31 Dec. 2008
Non-current liabilities
Interest-bearing borrowings(Long term)
17,943,289,500
14,942,136,092
Deferred tax liabilities
1,340,104,781
1,380,487,627
Other long term liabilities
15,224,376
12,644,850
Provisions
33,938,233
41,729,468
Total non-current liabilities
19,332,556,890
16,376,998,037
Current liabilities
Interest-bearing borrowings(Short term)
18,730,699,434
17,866,342,910
Financial derivatives
3,841,200
1,694,880
Trade and other payables
44,870,515,869
43,979,207,733
Current taxation
3,819,288,544
3,543,617,193
Total current liabilities
67,424,345,047
65,390,862,716
TOTAL LIABILITIES
86,756,901,937
81,767,860,753
TOTAL EQUITY AND LIABILITIES
126,489,255,135
120,586,410,234
)
)
) Directors
)
）
14Consolidated cash flow statement for the three months ended 31 March 2009
(Expressed in Renminbi Yuan)
Jan-Mar 2009
Jan-Mar 2008
Cash received from sales of products
11,389,454,211
8,987,690,884
Other cash received from business operating activities
602,877,516
1,311,820,013
Cash generated from operating activities
11,992,331,727
10,299,510,897
Cash paid for purchasing of merchandise and services
4,914,160,199
8,048,702,606
Cash paid to employees or paid for employees
384,843,889
627,672,979
Tax paid for tax
1,536,684,664
1,937,898,706
Other cash paid for business operating activities
1,472,002,838
1,105,199,241
Cash used in operating activities
8,307,691,590
11,719,473,532
Net cash used in operating activities
3,684,640,137
(1,419,962,635)
Proceeds from disposal of interest in other long term investments
80,000,000
-
Proceeds from investment income
62,210,241
-
Proceeds from disposal fixed assets
364,892
99,184
Other cash received relating to investing activities
53,697,588
44,591,784
Cash generated from investing activities
196,272,721
44,690,968
Acquisition of fixed assets
14,017,126
36,772,073
Cash paid for acquisition of investments
13,706,499
550,484,973
Cash paid for acquisition of subsidiaries
152,911,830
1,081,999,763
Cash used in investing activities
180,635,455
1,669,256,809
Net cash used in investing activities
15,637,266
(1,624,565,841)
Capital injection from minority interests of subsidiaries
-
336,507,408
Proceeds from loans and borrowings
6,946,354,133
3,480,171,049
Cash generated from financing activities
6,946,354,133
3,816,678,457
Repayment of loans and borrowings
3,100,394,756
1,743,718,049
Dividend paid to equity shareholders of the Company and Interest paid
606,567,512
442,167,673
Cash used in financing activities
3,706,962,268
2,185,885,722
Net cash generated from financing activities
3,239,391,865
1,630,792,735
Effect of foreign exchange rates
3,966,682
(6,681,523)
Net increase/(decrease) in cash and cash equivalents
6,943,635,950
(1,420,417,264)
Cash and cash equivalents at 1 January
19,978,285,930
17,046,504,584
Cash and cash equivalents at 31 March
26,921,921,880
15,626,087,320
15
