CSG HOLDING CO., LTD.
THE THIRD QUARTER REPORT 2017
Chairman of the Board:
CHEN LIN
October 2017
CSG HOLDING CO., LTD. The Third Quarter Report 2017
Section I. Important Notice
Board of Directors and the Supervisory Committee of CSG Holding Co., Ltd. (hereinafter referred
to as the Company) and its directors, supervisors and senior executives hereby confirm that there
are no any fictitious statements, misleading statements, or important omissions carried in this report,
and shall take all responsibilities, individual and/or joint, for the facticity, accuracy and
completeness of the whole contents.
All directors were present the meeting of the Board for deliberating the Third Quarter Report of
2017 of the Company in person.
Ms. Chen Lin, Chairman of the Board, Mr. Pan Yonghong, responsible person in charge of
accounting and Ms.Wang Wenxin, principal of the financial department (accounting officer)
confirm that the Financial Report enclosed in the Third Quarter Report of 2017 of the Company is
true, accurate and complete.
This report is prepared both in Chinese and English. Should there be any inconsistency between the
Chinese and English versions, the Chinese version shall prevail.
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Section II. The Basic Information of the Company
I. Main accounting data and financial indices
Whether retrospective adjustment has been carried out on financial reports of previous periods or not
□Yes √ No
Increase/decrease in
The end of current period The end of last year comparison with the end of
last year
Total assets (RMB ) 18,913,831,052.00 16,979,235,630.00 11.39%
Net assets attributable to
shareholders of the Company 8,345,605,690.00 7,812,335,004.00 6.83%
(RMB )
Increase/decrease in
Increase/decrease in
comparison with the From 1 January to 30
Current period comparison with the
same period of last September 2017
same period of 2016
year
Operating revenues (RMB ) 2,846,570,536.00 24.09% 7,790,908,397.00 19.45%
Net profit attributable to
shareholders of the Company 318,019,208.00 28.23% 711,011,371.00 -0.54%
(RMB )
Net profit attributable to
shareholders of the Company after
278,181,102.00 25.57% 639,126,346.00 -0.92%
deducting extraordinary gains and
losses (RMB )
Net cash flows from operating
-- -- 1,788,098,692.00 12.30%
activities (RMB )
Basic earnings per share
0.15 25.00% 0.33 -2.94%
(RMB/Share)
Diluted earnings per share
0.15 25.00% 0.33 -2.94%
(RMB/Share)
Weighted average ROE (%) 3.91% 0.79% 8.74% -0.25%
Items and amounts of extraordinary profit (gains)/loss
√Applicable □ Not applicable
Unit: RMB
Amount from the beginning of year to
Item Note
the end of the report period
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Gains/losses from the disposal of non-current asset (including the
243,956.00
write-off that accrued for impairment of assets)
Governmental subsidy reckoned into current gains/losses (not
including the subsidy enjoyed in quota or ration according to
53,962,640.00
national standards, which are closely relevant to enterprise’s
business)
Gains on disposal of available-for-sale financial assets, gains and
losses from change of fair values of held-for-transaction financial
assets and financial liabilities except for the effective hedge
427,636.00
business related to normal business of the Company, and
investment income from disposal of transactional financial assets
and liabilities and financial assets available for sale
Other non-operating income and expenditure except for the
31,651,965.00
aforementioned items
Less: Impact on income tax 12,997,490.00
Impact on minority shareholders’ equity (post-tax) 1,403,682.00
Total 71,885,025.00 --
Explain reasons for 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,
√Applicable □ Not applicable
Item Amount involved (RMB)
Gains on disposal of available-for-sale financial assets 427,636.00
II. Total of shareholders at the end of the report period and particulars about shareholdings
of the top ten shareholders
1. Particulars about the total number of common shareholders and preference shareholders with voting
rights recovered as well as the shareholdings of the top ten shareholders
Unit: Share
Total number of common shareholders Total number of preference shareholders with voting rights
160,427 0
at the end of the report period recovered at end of report period (if applicable)
Particulars about the shareholdings of the top ten shareholders
Number of share
Proportion Amount of
Nature of Amount of pledged/frozen
Name of shareholder of shares restricted
shareholder shares held Share
held (%) shares held Amount
status
Domestic non
Foresea Life Insurance Co., Ltd. – Haili Niannian 15.45% 368,685,276 0
state-owned legal
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
person
Domestic non
Foresea Life Insurance Co., Ltd. – Universal
state-owned legal 3.92% 93,616,606 0
Insurance Products
person
Domestic non
Shenzhen Jushenghua Co., Ltd. state-owned legal 2.87% 68,484,938 0 Pledged 68,484,915
person
Domestic non
Foresea Life Insurance Co., Ltd. – Own Fund state-owned legal 2.15% 51,197,756 0
person
State-owned legal
Central Huijin Asset Management Ltd. 1.92% 45,782,995 0
person
China Galaxy International Securities (Hong Foreign legal
1.35% 32,176,044 0
Kong) Co., Limited person
State-owned legal
China Merchants Securities (HK) Co., Limited 1.09% 26,108,208 0
person
State-owned legal
China North Industries Corporation 0.99% 23,600,000 0
person
Domestic non
Shenzhen International Holdings (SZ) Limited state-owned legal 0.96% 23,000,000 0
person
BBH A/C VANGUARD EMERGING Foreign legal
0.64% 15,272,911 0
MARKETS STOCK INDEX FUND person
Particulars about top ten shareholders with unrestricted shares held
Type of shares
Name of shareholder Amount of unrestricted shares held
Type Amount
Foresea Life Insurance Co., Ltd. – Haili Niannian 368,685,276 RMB ordinary shares 368,685,276
Foresea Life Insurance Co., Ltd. – Universal
93,616,606 RMB ordinary shares 93,616,606
Insurance Products
Shenzhen Jushenghua Co., Ltd. 68,484,938 RMB ordinary shares 68,484,938
Foresea Life Insurance Co., Ltd. – Own Fund 51,197,756 RMB ordinary shares 51,197,756
Central Huijin Asset Management Ltd. 45,782,995 RMB ordinary shares 45,782,995
China Galaxy International Securities (Hong Domestically listed
32,176,044 32,176,044
Kong) Co., Limited foreign shares
Domestically listed
China Merchants Securities (HK) Co., Limited 26,108,208 26,108,208
foreign shares
China North Industries Corporation 23,600,000 RMB ordinary shares 23,600,000
Shenzhen International Holdings (SZ) Limited 23,000,000 RMB ordinary shares 23,000,000
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
BBH A/C VANGUARD EMERGING Domestically listed
15,272,911 15,272,911
MARKETS STOCK INDEX FUND foreign shares
Among shareholders as listed above, Foresea Life Insurance Co., Ltd.-Haili
Niannian, Foresea Life Insurance Co., Ltd.-Universal Insurance Products,
Foresea Life Insurance Co., Ltd.-Own Fund are all held by Foresea Life
Insurance Co., Ltd. Shenzhen Jushenghua Co., Ltd. is a related legal person of
Foresea Life Insurance Co., Ltd. and Chengtai Group Co., Ltd., another related
Statement on associated relationship or consistent
legal person of Foresea Life Insurance Co., Ltd, which held 31,769,094 shares
action among the above shareholders:
via China Galaxy International Securities (Hong Kong) Co., Limited.
Except for the above-mentioned shareholders, It is unknown whether other
shareholders belong to related party or have associated relationship regulated by
the Management Regulation of Information Disclosure on Change of
Shareholding for Listed Companies.
Whether the top ten shareholders or top ten shareholders with unrestricted shares carried out buy back deals in the report period
□Yes √ No
There were no buy back deals carried out by the top ten shareholders or top ten shareholders with unrestricted shares held in the
report period.
2. Total number of preference shareholders and particulars about the shareholdings of the top ten
preference shareholders
□Applicable √ Not applicable
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Section III. Important events
I. Particulars and explanations about significant changes in main accounting statements and
financial indices
√Applicable □Not applicable
Unit: RMB
Increased/Decreased
Item of balance sheet Note 30 September 2017 31 December 2016 Rate
amount
Monetary capital (1) 1,813,992,086 586,803,505 1,227,188,581 209%
Prepayments (2) 136,813,682 95,733,132 41,080,550 43%
Other receivables (3) 44,597,554 33,229,149 11,368,405 34%
Inventories (4) 699,223,499 477,780,925 221,442,574 46%
Long-term deferred
(5) 11,385,720 975,660 10,410,060 1067%
expenses
Notes payable (6) 177,701,622 20,000,000 157,701,622 789%
Advance payment (7) 237,939,772 142,330,979 95,608,793 67%
Other payables (8) 477,515,523 188,321,450 289,194,073 154%
Long-term payables (9) 1,272,296,270 - 1,272,296,270 -
Special reserve (10) 3,206,127 5,843,473 (2,637,346) -45%
Other comprehensive
(11) 2,707,049 4,653,971 (1,946,922) -42%
income
Item of income From January to From January to Increased/Decreased
Note Rate
statement September 2017 September 2016 amount
Taxes and surcharges (12) (93,649,001) (39,641,644) (54,007,357) 136%
Assets impairment loss (13) (2,971,645) (2,012,347) (959,298) 48%
Investment income (14) 427,638 (14,264,359) 14,691,997 -
Other income (15) 24,459,278 - 24,459,278 -
Non-operating expenses (16) (1,877,014) (778,905) (1,098,109) 141%
Minority interests (17) 10,810,974 3,760,892 7,050,082 187%
Note:
(1) The increase in monetary capital was mainly due to increasing monetary capital for repayment of debts.
(2) The increase in prepayments was mainly due to the increase in prepaid materials.
(3) The increase in other receivables was mainly attributable to the increase in margin receivable.
(4)Inventories increased mainly because Hebei CSG was transferred to commercial operation and the stocking increased.
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
(5) The increase in long-term deferred expenses was mainly due to the increase in financial leasing fee to be amortized for the current
period and the lower balance of the previous period.
(6) The increase in notes payable was mainly due to the increase in the newly opened bills and the lower balance of the previous
period.
(7) The increase in advance payment was mainly due to the increase in advances from customers.
(8) The increase in other payables was mainly attributable to the increase in interestless borrowings from shareholders.
(9)The increase in long-term payables was mainly due to the increase in the amount of financial lease payments.
(10)The decrease of special reserve was mainly due to the increase of input in safety production.
(11) The decrease in other comprehensive income was mainly due to the decrease in the translation of foreign currency statements.
(12) Taxes and surcharges increased mainly because the "management fee - tax" subject was reclassified to the "tax and surcharges"
subject in the current period.
(13) The increase in assets impairment loss was mainly due to the increase in accounts receivable.
(14)The increase in investment income was mainly attributable to the use of cost method by Shenzhen Display, a subsidiary of the
Company, which was accounted for using equity method in the previous period.
(15) The increase in other income was mainly attributable to the reclassification of non-operating income by accounting standards.
(16) The increase in non-operating expenses was mainly due to the slight increase in the current period and the lower balance of the
previous period.
(17) The increase in minority interests was mainly due to the increase in net profit for the current period.
II. The progress of material events and the impact as well as the analysis of solutions
√Applicable □Not applicable
1. Public Issuance of Corporate Bonds to Qualified Investors
On Feb. 13, 2017, the interim meeting of the 7th session of the board of directors of the Company deliberated and approved the
Proposal on Public Issuance of Corporate Bonds to Qualified Investors. The Company proposed to issue corporate bonds to
qualified investors with the total face value no more than RMB 2 billion (including RMB 2 billion), and the valid period no more
than 10 years (including 10 years).This proposal was deliberated and approved by the Second Extraordinary Shareholders’ General
Meeting held on Mar. 2, 2017.
For details, please refer to the Announcement on Public Issuance of Corporate Bonds disclosed on Feb. 14, 2016 (Announcement
No.: 2017-011).
2. Short-term Financing Bills
On Dec.14, 2016, the second extraordinary shareholders’ general meeting of 2016 of CSG deliberated and approved the proposal of
the offering and registration of short-term financing bills, and agreed the Company’s registration and issuance of short-term financing
bills with a total amount of RMB 2.7 billion, which could be issued by stages within period of validity of the registration according to
the Company’s actual demands for funds and the status of inter-bank funds. However, the term of each issue shall not be longer than
one year and the registered quota shall not exceed 40 percent of the Company’s net assets.
For details, please refer to www.chinabond.com.cn and www.chinamoney.com.cn.
3. Medium-term notes
On 10 December 2014, the First Extraordinary Shareholders’ General Meeting 2014 of CSG Holding Co., Ltd deliberated and
approved the proposal of application for registeration and issuance of medium term notes with total amount of RMB 1.2 billion at
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
most. On 21 May 2015, National Association of Financial Market Institutional Investors (NAFMII) held the 32nd registration meeting
of 2015, in which NAFMII decided to accept the registration of the Company’s medium term notes, amounting to RMB 1.2 billion
and valid for two years. China Merchants Bank Co., Ltd. and Shanghai Pudong Development Bank Co., Ltd. were joint lead
underwriters of these medium term notes which could be issued by stages within period of validity of the registration.On 10 July
2015, the Company issued the first batch of medium term notes with total amount of RMB 1.2 billion and valid term of 5 years at the
issuance rate of 4.94%, which will be redeemed on 14 July 2020.
On April 15, 2016, the Shareholders’ General Meeting of 2015 of CSG deliberated and approved the proposal of application for
registration and issuance of medium term notes with total amount of RMB 0.8 billion, which could be issued by stages within period
of validity of the registration according to the Company’s actual demands for funds and the status of inter-bank funds.
On May 22, 2017, the Shareholders’ General Meeting of 2016 of CSG deliberated and approved the proposal of application for
registration and issuance of medium term notes with total amount of RMB 1 billion, which could be issued by stages within period of
validity of the registration according to the Company’s actual demands for funds and the status of inter-bank funds.
For details, please refer to www.chinabond.com.cn and www.chinamoney.com.cn.
III. Commitments made by the actual controller, the shareholders, the related parties, the
purchasers and the Company which failed to be fulfilled in time during the report period
□ Applicable √Not applicable
There were no commitments made by the actual controller, the shareholders, the related parties, the purchasers or the Company
which failed to be fulfilled in time during the report period.
IV. Prediction of business performance of 2017
Alert of loss or significant change in accumulative net profit from the beginning of year to the end of the next report period or
compared with the same period of last year, and statement of causations.
□ Applicable √Not applicable
V. Securities investment
□ Applicable √Not applicable
The Company had no securities investment in the report period.
VI. Derivatives investment
□ Applicable √Not applicable
The Company had no derivatives investment in the report period.
VII. Reception of research, communication and interview in the report period
□ Applicable √Not applicable
The Company had no reception of research, communication or interview in the report period.
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
VIII. Particulars about illegal external guarantee
□ Applicable √Not applicable
The Company had no illegal external guarantee in the report period.
IX. Particulars about non-operating fund of listed company which is occupied by controlling
shareholder and its affiliated enterprises
□ Applicable √ Not applicable
In the report period, it did not exist that non-operating fund of listed company was occupied by controlling shareholder or its
affiliated enterprises.
X. Performance of social responsibility for targeted poverty alleviation
There was no targeted poverty alleviation carried out in the third quarter of the year.
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Section IV. Financial Report
(I) Financial Statements
1. Consolidated Balance Sheet
Prepared by CSG Holding Co., Ltd.
Unit: RMB
Item Ending balance Beginning balance
Current asset:
Monetary capital 1,813,992,086.00 586,803,505.00
Settlement provision
Outgoing call loan
Financial assets measured at fair value
with variations accounted into current
income account
Derivative financial assets
Notes receivable 451,639,877.00 456,347,237.00
Account receivable 758,405,366.00 627,985,983.00
Prepayment 136,813,682.00 95,733,132.00
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts
receivable
Interest receivable
Dividend receivable
Other receivables 44,597,554.00 33,229,149.00
Repurchasing of financial assets
Inventories 699,223,499.00 477,780,925.00
Assets held for sales
Non-current asset due in 1 year
Other current asset 252,885,021.00 199,905,577.00
Total of current asset 4,157,557,085.00 2,477,785,508.00
Non-current assets
Loans and payment on other’s behalf
disbursed
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Available-for-sale financial asset
Expired investment in possess
Long-term receivables
Long-term equity investment
Investment real estates
Fixed assets 11,780,940,567.00 11,457,972,991.00
Construction in process 1,308,381,089.00 1,362,096,377.00
Engineering goods
Fixed asset disposal
Production physical assets
Gas & petrol
Intangible assets 1,041,511,092.00 1,032,458,977.00
Development expenditure 54,651,376.00 66,927,714.00
Goodwill 397,392,156.00 397,392,156.00
Long-term prepaid expenses 11,385,720.00 975,660.00
Differed income tax asset 81,175,884.00 96,451,854.00
Other non-current asset 80,836,083.00 87,174,393.00
Total of non-current assets 14,756,273,967.00 14,501,450,122.00
Total of assets 18,913,831,052.00 16,979,235,630.00
Current liabilities
Short-term loans 2,923,324,500.00 4,017,869,662.00
Loan from Central Bank
Deposit received and hold for others
Call loan received
Financial liabilities measured at fair value
with variations accounted into
Derivative financial liabilities
Notes payable 177,701,622.00 20,000,000.00
Accounts payable 1,366,106,933.00 1,169,869,370.00
Prepayment received 237,939,772.00 142,330,979.00
Selling of repurchased financial assets
Fees and commissions receivable
Employees’ wage payable 194,979,060.00 193,372,239.00
Tax payable 118,978,726.00 115,592,616.00
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Interest payable 68,055,118.00 78,225,904.00
Dividend payable
Other payables 477,515,523.00 188,321,450.00
Reinsurance fee payable
Insurance contract provision
Entrusted trading of securities
Entrusted selling of securities
Liabilities held for sales
Non-current liabilities due within one year 1,246,512,613.00 1,029,340,000.00
Other current liability 300,000.00 300,000.00
Total of current liability 6,811,413,867.00 6,955,222,220.00
Non-current liabilities
Long-term borrowings 1,734,120,000.00 1,438,660,000.00
Bond payable
Including：preferred stock
Sustainable debt
Long-term payable 1,272,296,270.00
Long-term payable employees’
remuneration
Special payable
Anticipated liabilities
Differed income 398,223,071.00 422,993,254.00
Differed income tax liability 23,502,507.00 29,749,137.00
Other non-recurring liabilities
Total of non-current liabilities 3,428,141,848.00 1,891,402,391.00
Total of liability 10,239,555,715.00 8,846,624,611.00
Owners’ equity
Share capital 2,386,635,893.00 2,075,335,560.00
Other equity instruments
Including：preferred stock
Sustainable debt
Capital reserves 983,779,003.00 1,260,702,197.00
Less: Shares in stock
Other comprehensive income 2,707,049.00 4,653,971.00
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Special reserves 3,206,127.00 5,843,473.00
Surplus reserves 888,850,230.00 888,850,230.00
Common risk provision
Undistributed profit 4,080,427,388.00 3,576,949,573.00
Total of owner’s equity belong to the
8,345,605,690.00 7,812,335,004.00
parent company
Minor shareholders’ equity 328,669,647.00 320,276,015.00
Total of owners’ equity 8,674,275,337.00 8,132,611,019.00
Total of liability and owners’ equity 18,913,831,052.00 16,979,235,630.00
Legal representative: Chen Lin Principal in charge of accounting: Pan Yonghong Head of accounting department: Wang
Wenxin
2. Balance Sheet of the Parent Company
Unit: RMB
Item Ending balance Beginning balance
Current asset:
Monetary capital 1,148,643,424.00 302,841,481.00
Financial assets measured at fair value with
variations accounted into current income
account
Derivative financial assets
Notes receivable
Account receivable
Prepayment 118,166.00 16,880.00
Interest receivable
Dividend receivable
Other receivables 2,692,358,457.00 3,863,121,029.00
Inventories
Assets held for sales
Non-current asset due in 1 year
Other current asset
Total of current asset 3,841,120,047.00 4,165,979,390.00
Non-current assets
Available-for-sale financial asset
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Expired investment in possess
Long-term receivables 2,003,645,000.00 2,003,645,000.00
Long-term equity investment 4,790,440,632.00 4,790,440,632.00
Investment real estates
Fixed assets 23,269,424.00 26,073,848.00
Construction in process
Engineering goods
Fixed asset disposal
Production physical assets
Gas & petrol
Intangible assets 1,054,769.00 1,393,454.00
Development expenditure
Goodwill
Long-term prepaid expenses
Differed income tax asset
Other non-current asset 1,023,096.00
Total of non-current assets 6,819,432,921.00 6,821,552,934.00
Total of assets 10,660,552,968.00 10,987,532,324.00
Current liabilities
Short-term loans 1,900,000,000.00 3,495,163,044.00
Financial liabilities measured at fair value
with variations accounted into
Derivative financial liabilities
Notes payable
Accounts payable 34,528.00 317,874.00
Prepayment received
Employees’ wage payable 42,549,933.00 18,380,010.00
Tax payable 1,917,636.00 1,804,568.00
Interest payable 11,481,863.00 3,794,646.00
Dividend payable
Other account payable 1,740,089,791.00 240,593,894.00
Liabilities held for sales
Non-current liabilities due within one year 1,000,000,000.00 1,000,000,000.00
Other current liability
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Total of current liability 4,696,073,751.00 4,760,054,036.00
Non-current liabilities
Long-term borrowings 1,380,000,000.00 1,380,000,000.00
Bond payable
Including：preferred stock
Sustainable debt
Long-term payable
Long-term payable employees’
remuneration
Special payable
Anticipated liabilities
Differed income 15,903,470.00 12,035,040.00
Differed income tax liability
Other non-recurring liabilities
Total of non-current liabilities 1,395,903,470.00 1,392,035,040.00
Total of liability 6,091,977,221.00 6,152,089,076.00
Owners’ equity
Share capital 2,386,635,893.00 2,075,335,560.00
Other equity instruments
Including：preferred stock
Sustainable debt
Capital reserves 1,128,495,950.00 1,405,529,511.00
Less: Shares in stock
Other comprehensive income
Special reserves
Surplus reserves 903,395,590.00 903,395,590.00
Undistributed profit 150,048,314.00 451,182,587.00
Total of owners’ equity 4,568,575,747.00 4,835,443,248.00
Total of liability and owners’ equity 10,660,552,968.00 10,987,532,324.00
3. Consolidated Income Statement
Unit: RMB
Item Balance of this period Balance of last period
I. Total revenue 2,846,570,536.00 2,293,975,948.00
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
Incl. Business income 2,846,570,536.00 2,293,975,948.00
Interest income
Insurance fee earned
Fee and commission received
II. Total business cost 2,513,603,071.00 2,028,376,616.00
Incl. Business cost 2,091,578,265.00 1,653,218,094.00
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Net insurance policy reserves provided
Insurance policy dividend paid
Reinsurance expenses
Tax and surcharges 31,903,226.00 16,256,972.00
Sales expense 87,244,775.00 75,980,642.00
Administrative expense 210,018,993.00 205,673,948.00
Financial expenses 90,994,862.00 74,309,241.00
Asset impairment loss 1,862,950.00 2,937,719.00
Plus: gains from change of fair value (“-
“for loss)
Investment gains (“-“ for loss) 427,638.00
Incl. Investment gains from affiliates
Exchange gains (“-“ for loss)
Other gains 785,044.00
III. Operating profit (“-“ for loss) 334,180,147.00 265,599,332.00
Plus: non-operating income 48,031,745.00 32,054,790.00
Incl. Income from disposal of non-
325,119.00 1,168,444.00
current assets
Less: non-operating expenses 1,144,422.00 117,277.00
Incl. Loss from disposal of non-current
9,407.00 52,978.00
assets
IV. Gross profit (“-“ for loss) 381,067,470.00 297,536,845.00
Less: Income tax expenses 59,459,173.00 44,177,962.00
V. Net profit (“-“ for net loss) 321,608,297.00 253,358,883.00
Net profit attributable to the owners of 318,019,208.00 248,016,059.00
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CSG HOLDING CO., LTD. The Third Quarter Report 2017
parent company
Minor shareholders’ equity 3,589,089.00 5,342,824.00
VI. Net amount of other gains after tax -870,658.00 197,502.00
Net amount of other gains after tax
attributable to owners of parent -870,658.00 197,502.00
company
(I) Other comprehensive income that
will not be reclassified into gains/losses
afterward
1. Change of net liability or asset of
beneficiary plan from recalculating
2. The share of comprehensive
income in invested entities under equity
method which can not be reclassified
into profit or loss
(II) Other comprehensive income items
that will be reclassified into gains/losses -870,658.00 197,502.00
in the subsequent accounting period
1. The share of comprehensive
income in invested entities under equity
method which can be reclassified into
profit or loss afterward
2.Gains and losses from changes in fair
value available for sale financial assets
3.Held-to-maturity investments
reclassified to gains and losses of
available for sale financial assets
4.The effective portion of cash flow
hedges and losses
5.Translation differences in currency
-870,658.00 197,502.00
financial statements
6.Other
Net of profit of other comprehensive
income attributable to Minority
shareholders’ equity
VII. Total of misc. incomes 320,737,639.00 253,556,385.00
Total of misc. incomes attributable to
317,148,550.00 248,213,561.00
the owners of the parent company
Total misc gains attributable to the 3,589,089.00 5,342,824.00
17
CSG HOLDING CO., LTD. The Third Quarter Report 2017
minor shareholders
VIII. Earnings per share:
(I) Basic earnings per share 0.15 0.12
(II) Diluted earnings per share 0.15 0.12
Legal representative: Chen Lin Principal in charge of accounting: Pan Yonghong Head of accounting department: Wang
Wenxin
4. Income Statement of the Parent Company
Unit: RMB
Item Balance of this period Balance of last period
I. Revenue 15,038,839.00 8,473,838.00
Less: business cost
Tax and surcharges 131,076.00
Sales expense
Administrative expense 22,633,169.00 33,376,309.00
Financial expenses 20,017,263.00 4,164,111.00
Asset impairment loss 78,215.00 1,429.00
Plus: gains from change of fair value (“-
“for loss)
Investment gains (“-“ for loss) 2,011,500.00 5,806,369.00
Incl. Investment gains from affiliates
Other gains
II. Operating profit (“-“ for loss) -25,809,384.00 -23,261,642.00
Plus: non-operating income 402,190.00 433,427.00
Incl. Income from disposal of non-
720.00
current assets
Less: non-operating expenses 816,000.00
Incl. Loss from disposal of non-current
assets
III. Gross profit (“-“ for loss) -26,223,194.00 -22,828,215.00
Less: Income tax expenses
IV. Net profit (“-“ for net loss) -26,223,194.00 -22,828,215.00
V. Net amount of other gains after tax
(I) Other comprehensive income that
will not be reclassified into gains/losses
18
CSG HOLDING CO., LTD. The Third Quarter Report 2017
afterward
1. Change of net liability or asset of
beneficiary plan from recalculating
2. The share of comprehensive
income in invested entities under equity
method which can not be reclassified
into profit or loss
(II) Other comprehensive income items
that will be reclassified into gains/losses
in the subsequent accounting period
1. The share of comprehensive
income in invested entities under equity
method which can be reclassified into
profit or loss afterward
2.Gains and losses from changes in fair
value available for sale financial assets
3.Held-to-maturity investments
reclassified to gains and losses of
available for sale financial assets
4.The effective portion of cash flow
hedges and losses
5.Translation differences in currency
financial statements
6.Other
VI. Total of comprehensive income -26,223,194.00 -22,828,215.00
VII. Earnings per share:
(I) Basic earnings per share
(II) Diluted earnings per share
5. Consolidated income statement for Jan.-Sept. 2017
Unit: RMB
Item Balance of this period Balance of last period
I. Total revenue 7,790,908,397.00 6,522,141,590.00
Incl. Business income 7,790,908,397.00 6,522,141,590.00
Interest income
Insurance fee earned
Fee and commission received
19
CSG HOLDING CO., LTD. The Third Quarter Report 2017
II. Total business cost 7,016,245,101.00 5,748,510,149.00
Incl. Business cost 5,829,092,727.00 4,730,036,597.00
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Net insurance policy reserves provided
Insurance policy dividend paid
Reinsurance expenses
Tax and surcharges 93,649,001.00 39,641,644.00
Sales expense 243,589,506.00 204,545,473.00
Administrative expense 612,573,333.00 564,611,454.00
Financial expenses 234,368,889.00 207,662,634.00
Asset impairment loss 2,971,645.00 2,012,347.00
Plus: gains from change of fair value (“-
“for loss)
Investment gains (“-“ for loss) 427,638.00 -14,264,359.00
Incl. Investment gains from affiliates -14,264,359.00
Exchange gains (“-“ for loss)
Other gains 24,459,278.00
III. Operating profit (“-“ for loss) 799,550,212.00 759,367,082.00
Plus: non-operating income 64,061,341.00 82,093,154.00
Incl. Income from disposal of non-
382,853.00 1,417,086.00
current assets
Less: non-operating expenses 1,877,014.00 778,905.00
Incl. Loss from disposal of non-current
138,897.00 72,962.00
assets
IV. Gross profit (“-“ for loss) 861,734,539.00 840,681,331.00
Less: Income tax expenses 139,912,194.00 122,021,126.00
V. Net profit (“-“ for net loss) 721,822,345.00 718,660,205.00
Net profit attributable to the owners of
711,011,371.00 714,899,313.00
parent company
Minor shareholders’ equity 10,810,974.00 3,760,892.00
VI. Net amount of other comprehensive
-1,946,922.00 705,555.00
income after tax
20
CSG HOLDING CO., LTD. The Third Quarter Report 2017
Net amount of other gains after tax
attributable to owners of parent -1,946,922.00 705,555.00
company
(I) Other comprehensive income that
will not be reclassified into gains/losses
afterward
1. Change of net liability or asset of
beneficiary plan from recalculating
2. The share of comprehensive
income in invested entities under equity
method which can not be reclassified
into profit or loss
(II) Other comprehensive income items
that will be reclassified into gains/losses -1,946,922.00 705,555.00
in the subsequent accounting period
1. The share of comprehensive
income in invested entities under equity
method which can be reclassified into
profit or loss afterward
2.Gains and losses from changes in fair
value available for sale financial assets
3.Held-to-maturity investments
reclassified to gains and losses of
available for sale financial assets
4.The effective portion of cash flow
hedges and losses
5.Translation differences in currency
-1,946,922.00 705,555.00
financial statements
6.Other
Net of profit of other comprehensive
income attributable to Minority
shareholders’ equity
VII. Total of comprehensive income 719,875,423.00 719,365,760.00
Total of misc. incomes attributable to
709,064,449.00 715,604,868.00
the owners of the parent company
Total misc gains attributable to the
10,810,974.00 3,760,892.00
minor shareholders
VIII. Earnings per share:
(I) Basic earnings per share 0.33 0.34
21
CSG HOLDING CO., LTD. The Third Quarter Report 2017
(II) Diluted earnings per share 0.33 0.34
6. Income statement of the Parent Company for Jan.-Sept. 2017
Unit: RMB
Item Balance of this period Balance of last period
I. Revenue 42,334,105.00 9,551,232.00
Less: business cost 0.00 60,334.00
Tax and surcharges 5,268,020.00
Sales expense
Administrative expense 93,173,393.00 95,283,586.00
Financial expenses 39,817,558.00 15,427,933.00
Asset impairment loss 85,921.00 -1,768,813.00
Plus: gains from change of fair value (“-
“for loss)
Investment gains (“-“ for loss) 2,011,500.00 405,086,976.00
Incl. Investment gains from affiliates
Other gains 18,000.00
II. Operating profit (“-“ for loss) -93,981,287.00 305,635,168.00
Plus: non-operating income 1,196,570.00 1,199,607.00
Incl. Income from disposal of non-
2,520.00
current assets
Less: non-operating expenses 816,000.00
Incl. Loss from disposal of non-current
assets
III. Gross profit (“-“ for loss) -93,600,717.00 306,834,775.00
Less: Income tax expenses -45,852.00
IV. Net profit (“-“ for net loss) -93,600,717.00 306,880,627.00
V. Net amount of other comprehensive
income after tax
(I) Other comprehensive income that
will not be reclassified into gains/losses
afterward
1. Change of net liability or asset of
beneficiary plan from recalculating
2. The share of comprehensive
income in invested entities under equity
22
CSG HOLDING CO., LTD. The Third Quarter Report 2017
method which can not be reclassified
into profit or loss
(II) Other comprehensive income items
that will be reclassified into gains/losses
in the subsequent accounting period
1. The share of comprehensive
income in invested entities under equity
method which can be reclassified into
profit or loss afterward
2.Gains and losses from changes in fair
value available for sale financial assets
3.Held-to-maturity investments
reclassified to gains and losses of
available for sale financial assets
4.The effective portion of cash flow
hedges and losses
5.Translation differences in currency
financial statements
6.Other
VI. Total of comprehensive income -93,600,717.00 306,880,627.00
VII. Earnings per share:
(I) Basic earnings per share
(II) Diluted earnings per share
7. Consolidated Cash Flow Statement for Jan.-Sept. 2017
Unit: RMB
Item Balance of this period Balance of last period
I. Net cash flow from business
operation
Cash received from sales of products
8,716,345,821.00 7,467,528,727.00
and providing of services
Net increase of customer deposits and
capital kept for brother company
Net increase of loans from central bank
Net increase of inter-bank loans from
other financial bodies
Cash received against original insurance
contract
23
CSG HOLDING CO., LTD. The Third Quarter Report 2017
Net cash received from reinsurance
business
Net increase of client deposit and
investment
Net increase of disposal of the financial
assets measured by fair value with the
changes included in the current gains
and losses
Cash received as interest, processing
fee, and commission
Net increase of inter-bank fund received
Net increase of repurchasing business
Tax returned 13,944,024.00 40,275,710.00
Other cash received from business
104,334,381.00 68,764,580.00
operation
Sub-total of cash inflow from business
8,834,624,226.00 7,576,569,017.00
activities
Cash paid for purchasing of
5,170,500,238.00 4,361,925,084.00
merchandise and services
Net increase of client trade and advance
Net increase of savings in central bank
and brother company
Cash paid for original contract claim
Cash paid for interest, processing fee
and commission
Cash paid for policy dividend
Cash paid to staffs or paid for staffs 903,582,623.00 798,870,174.00
Taxes paid 560,097,169.00 480,049,004.00
Other cash paid for business activities 412,345,504.00 343,525,795.00
Sub-total of cash outflow from business
7,046,525,534.00 5,984,370,057.00
activities
Net cash flow generated by business
1,788,098,692.00 1,592,198,960.00
operation
II. Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment profit
24
CSG HOLDING CO., LTD. The Third Quarter Report 2017
Net cash retrieved from disposal of
fixed assets, intangible assets, and other 1,524,109.00 2,390,680.00
long-term assets
Net cash received from disposal of
150,000,000.00
subsidiaries or other operational units
Other investment-related cash received 25,793,594.00 40,170,833.00
Sub-total of cash inflow due to
27,317,703.00 192,561,513.00
investment activities
Cash paid for construction of fixed
assets, intangible assets and other long- 1,059,799,002.00 804,655,768.00
term assets
Cash paid as investment 4,250,000.00
Net increase of loan against pledge
Net cash received from subsidiaries and
507,974,099.00
other operational units
Other cash paid for investment
36,752,523.00 24,021,775.00
activities
Sub-total of cash outflow due to
1,096,551,525.00 1,340,901,642.00
investment activities
Net cash flow generated by investment -1,069,233,822.00 -1,148,340,129.00
III. Cash flow generated by financing
Cash received as investment 14,500,000.00
Incl. Cash received as investment from
14,500,000.00
minor shareholders
Cash received as loans 3,013,919,750.00 7,959,211,141.00
Cash received from bond placing
Other financing-related cash received 3,179,276,494.00 118,403,662.00
Subtotal of cash inflow from financing
6,193,196,244.00 8,092,114,803.00
activities
Cash to repay debts 3,824,757,768.00 7,874,819,707.00
Cash paid as dividend, profit, or
468,236,090.00 816,685,415.00
interests
Incl. Dividend and profit paid by
subsidiaries to minor shareholders
Other cash paid for financing activities 1,390,858,313.00 120,833,724.00
Subtotal of cash outflow due to
5,683,852,171.00 8,812,338,846.00
financing activities
25
CSG HOLDING CO., LTD. The Third Quarter Report 2017
Net cash flow generated by financing 509,344,073.00 -720,224,043.00
IV. Influence of exchange rate
-1,130,269.00 2,793,736.00
alternation on cash and cash equivalents
V. Net increase of cash and cash
1,227,078,674.00 -273,571,476.00
equivalents
Plus: Balance of cash and cash
584,566,990.00 574,744,877.00
equivalents at the beginning of term
VI. Balance of cash and cash
1,811,645,664.00 301,173,401.00
equivalents at the end of term
8. Cash Flow Statement of the Parent Company for Jan.-Sept. 2017
Unit: RMB
Item Balance of this period Balance of last period
I. Net cash flow from business
operation
Cash received from sales of products
and providing of services
Tax returned
Other cash received from business
7,093,227.00 3,384,187.00
operation
Sub-total of cash inflow from business
7,093,227.00 3,384,187.00
activities
Cash paid for purchasing of
merchandise and services
Cash paid to staffs or paid for staffs 46,944,641.00 85,566,148.00
Taxes paid 6,646,035.00 39,724,582.00
Other cash paid for business activities 21,006,751.00 8,827,849.00
Sub-total of cash outflow from business
74,597,427.00 134,118,579.00
activities
Net cash flow generated by business
-67,504,200.00 -130,734,392.00
operation
II. Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment profit 2,011,500.00 395,236,932.00
Net cash retrieved from disposal of
1,808.00 2,520.00
fixed assets, intangible assets, and other
26
CSG HOLDING CO., LTD. The Third Quarter Report 2017
long-term assets
Net cash received from disposal of
subsidiaries or other operational units
Other investment-related cash received 5,954,000.00 3,000,000.00
Sub-total of cash inflow due to
7,967,308.00 398,239,452.00
investment activities
Cash paid for construction of fixed
assets, intangible assets and other long- 1,680,804.00 280,145.00
term assets
Cash paid as investment 196,755,000.00
Net cash received from subsidiaries and
464,345,956.00
other operational units
Other cash paid for investment
activities
Sub-total of cash outflow due to
1,680,804.00 661,381,101.00
investment activities
Net cash flow generated by investment 6,286,504.00 -263,141,649.00
III. Cash flow generated by financing
Cash received as investment
Cash received as loans 2,100,693,638.00 7,375,164,309.00
Cash received from bond placing
Other financing-related cash received 2,411,868,907.00 663,060,790.00
Subtotal of cash inflow from financing
4,512,562,545.00 8,038,225,099.00
activities
Cash to repay debts 3,396,723,365.00 7,168,164,309.00
Cash paid as dividend, profit, or
209,502,162.00 705,743,777.00
interests
Other cash paid for financing activities
Subtotal of cash outflow due to
3,606,225,527.00 7,873,908,086.00
financing activities
Net cash flow generated by financing 906,337,018.00 164,317,013.00
IV. Influence of exchange rate
681,240.00 -2,565,241.00
alternation on cash and cash equivalents
V. Net increase of cash and cash
845,800,562.00 -232,124,269.00
equivalents
Plus: Balance of cash and cash
301,637,933.00 394,606,753.00
equivalents at the beginning of term
27
CSG HOLDING CO., LTD. The Third Quarter Report 2017
VI. Balance of cash and cash
1,147,438,495.00 162,482,484.00
equivalents at the end of term
II .Auditor’s Report
Whether the third quarter report has been audited or not
□Yes √No
The third quarter report of the Company has not been audited.
Board of Directors of
CSG Holding Co., Ltd.
27 October 2017
28
