Konka Group Co., Ltd. First Quarterly Report 2024
Stock Code: 000016, 200016 Stock Name: Konka Group-A, Konka Group-B Announcement No. 2024-26
Bond Code: 133003, 133040 Bond Name: 21 Konka 02, 21 Konka 03
149987, 133306 22 Konka 01, 22 Konka 03
133333, 133759 22 Konka 05, 24 Konka 01
133782, 133783 24 Konka 02, 24 Konka 03
KONKA GROUP CO., LTD.
FIRST QUARTERLY REPORT 2024
Konka Group Co., Ltd. (hereinafter referred to as the “Company”) and all the members of the
Company’s Board of Directors hereby guarantee that the contents of this Report are true, accurate
and complete and free of any misrepresentations, misleading statements or material omissions.
Important Notes:
1. The Board of Directors (or the “Board”), the Supervisory Committee as well as the directors,
supervisors and senior management of the Company hereby guarantee that the contents of this
Report are true, accurate and complete and free of any misrepresentations, misleading statements
or material omissions, and collectively and individually accept legal responsibility for such
contents.
2. The Company’s legal representative, Chief Financial Officer (CFO), and head of the financial
department (equivalent to financial manager) hereby guarantee that the financial statements
carried in this Report are factual, accurate and complete.
3. Indicate by tick mark whether the financial statements in this Report have been audited by an
independent auditor.
□Yes √ No
I Key Financial Information
(I) Key Accounting Data and Financial Indicators
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
Q1 2024 Q1 2023 YoY change (%)
Operating revenue (RMB) 2,462,543,024.65 4,600,647,851.61 -46.47%
Net profit attributable to the listed
-510,139,620.27 152,513,923.41 -434.49%
company’s shareholders (RMB)
Net profit attributable to the listed
company’s shareholders before -466,504,771.56 -521,453,718.40 10.54%
exceptional gains and losses (RMB)
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Konka Group Co., Ltd. First Quarterly Report 2024
Net cash generated from/used in
-571,044,205.67 -1,182,725,927.02 51.72%
operating activities (RMB)
Basic earnings per share (RMB/share) -0.2119 0.0633 -434.76%
Diluted earnings per share (RMB/share) -0.2119 0.0633 -434.76%
Weighted average return on equity (%) -9.47% 1.98% -11.45%
31 March 2024 31 December 2023 Change (%)
Total assets (RMB) 36,105,995,398.58 35,824,818,212.66 0.78%
Equity attributable to the listed
5,134,506,327.36 5,644,401,184.65 -9.03%
company’s shareholders (RMB)
(II) Exceptional Gains and Losses
√ Applicable □ Not applicable
Unit: RMB
Item Q1 2024 Note
Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) 31,613,841.28
Government grants recognised in profit or loss (exclusive of those that are closely related to the
Company's normal business operations and given in accordance with defined criteria and in 18,800,867.09
compliance with government policies, and have a continuing impact on the Company's profit or loss)
Gain or loss on fair-value changes in financial assets and liabilities held by a non-financial enterprise,
as well as on disposal of financial assets and liabilities (exclusive of the effective portion of hedges -146,270,116.83
that is related to the Company's normal business operations)
Gain/loss on entrustment loans 31,577,430.49
Other non-operating income and expense other than the above 1,718,260.18
Other items that meet the definition of exceptional gain/loss -324,424.08
Less: Income tax effects -21,600,918.48
Non-controlling interests effects (after tax) 2,351,625.32
Total -43,634,848.71 --
Other items that meet the definition of exceptional gain/loss:
√ Applicable □ Not applicable
Item Amount (RMB) Reason
Discounted interest on
-324,424.08 Discounted interest on notes meeting derecognition conditions
derecognized notes
Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in
the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their
Securities to the Public—Exceptional Gain/Loss Items:
√ Applicable □ Not applicable
Item Amount (RMB) Reason
Government grants continuously given in the Company’s
Tax rebates on software 904,168.31 ordinary course of business at fixed quotas or amounts as per the
government’s policies and standards
(III) Changes in Key Financial Statement Line Items and Explanation
√ Applicable □ Not applicable Unit: RMB
Change
Item 31 March 2024 1 January 2024 Explanation of why
(%)
Trading financial Change in fair value of trading financial assets
319,674,803.13 469,636,700.78 -31.93%
assets held by the Company in the Reporting Period
Taxes payable 122,723,241.91 214,417,135.87 -42.76% Payment of taxes in the Reporting Period
During the reporting period, the company newly
Bonds payable 4,752,749,719.12 2,426,992,578.67 95.83%
issued non-public corporate bonds
Change
Item Q1 2024 Q1 2023 Explanation of why
(%)
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Konka Group Co., Ltd. First Quarterly Report 2024
YoY decrease in revenue scale, due to that the
Operating Company adjusted and optimized non-core
2,462,543,024.65 4,600,647,851.61 -46.47%
revenue business with weak synergy with the main
business in the Reporting Period
Increase in exchange gain due to exchange rate
Finance costs 150,671,423.77 246,687,141.44 -38.92%
fluctuation in the Reporting Period
YoY decrease in government grants received in
Other income 19,705,035.40 40,112,945.00 -50.88%
the Reporting Period
In the same period of last year, due to the
change of accounting method of part of the
Return on equity of the company's subordinate
18,497,683.98 816,925,419.92 -97.74%
investment shareholding enterprises, a large amount of
investment income was generated, and there was
no such event in this reporting period
In the same period of last year, due to the
Net profit change of accounting method of part of the
attributable to the equity of the company's subordinate
-510,139,620.27 152,513,923.41 -434.49%
listed company’s shareholding enterprises, a large amount of
shareholders investment income was generated, and there was
no such event in this reporting period
Net profit
attributable to the
listed company’s YoY increase in gross profit due to
improvement of the Company’s main business
shareholders -466,504,771.56 -521,453,718.40 10.54%
operation such as color TV in the Reporting
before Period
exceptional gains
and losses
Net cash
generated YoY decrease in cash paid by the Company for
from/used in -571,044,205.67 -1,182,725,927.02 51.72% purchasing goods and receiving labor services in
operating the Reporting Period
activities
Net cash
generated
YoY decrease in cash from disinvestment and
from/used in -265,479,143.12 -162,066,625.49 -63.81%
other cash received related to investing activities
investing
activities
Net cash
generated
During the reporting period, the company newly
from/used in 1,101,905,265.20 644,111,382.40 71.07%
issued non-public corporate bonds
financing
activities
II Shareholder Information
(I) Numbers of Ordinary Shareholders and Preference Shareholders with Resumed Voting
Rights as well as Holdings of Top 10 Shareholders
Unit: share
Number of ordinary shareholders 86,690 Number of preference shareholders with resumed voting rights (if any) 0
Top 10 shareholders (exclusive of shares lent in refinancing)
Shareholdi Restricted Shares in pledge,
Total shares marked or frozen
Name of shareholder Nature of shareholder ng shares
held
percentage held Status Shares
OVERSEAS CHINESE TOWN
State-owned legal person 21.75% 523,746,932 0.00
HOLDINGS COMPANY
CITIC SECURITIES
BROKERAGE (HONG KONG) Foreign legal person 7.48% 180,001,110 0.00
CO., LTD.
GUOYUAN SECURITIES
Foreign legal person 2.48% 59,606,543 0.00
BROKER (HK) CO., LTD.
HOLY TIME GROUP LIMITED Foreign legal person 2.38% 57,289,100 0.00
WANG JINGFENG Domestic natural person 1.73% 41,700,000 0.00
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Konka Group Co., Ltd. First Quarterly Report 2024
GAOLING FUND,L.P. Foreign legal person 1.39% 33,500,973 0.00
NAM NGAI Foreign natural person 0.96% 23,000,000 0.00
ZHANG SUFEN Domestic natural person 0.95% 22,900,000 0.00
CHINA MERCHANTS
State-owned legal person 0.83% 19,865,520 0.00
SECURITIES (HK) LIMITED
BOCOM INTERNATIONAL
Foreign legal person 0.78% 18,896,037 0.00
SECURITIES LIMITED
Top 10 unrestricted shareholders
Unrestricted ordinary shares Shares by class
Name of shareholder
held Class Shares
OVERSEAS CHINESE TOWN
523,746,932 RMB-denominated ordinary share 523,746,932
HOLDINGS COMPANY
CITIC SECURITIES
BROKERAGE (HONG KONG) 180,001,110 Domestically listed foreign share 180,001,110
CO., LTD.
GUOYUAN SECURITIES
59,606,543 Domestically listed foreign share 59,606,543
BROKER (HK) CO., LTD.
HOLY TIME GROUP LIMITED 57,289,100 Domestically listed foreign share 57,289,100
WANG JINGFENG 41,700,000 RMB-denominated ordinary share 41,700,000
GAOLING FUND,L.P. 33,500,973 Domestically listed foreign share 33,500,973
NAM NGAI 23,000,000 Domestically listed foreign share 23,000,000
ZHANG SUFEN 22,900,000 RMB-denominated ordinary share 22,900,000
CHINA MERCHANTS
19,865,520 Domestically listed foreign share 19,865,520
SECURITIES (HK) LIMITED
BOCOM INTERNATIONAL
18,896,037 Domestically listed foreign share 18,896,037
SECURITIES LIMITED
Happy Bloom Investment Limited, a wholly-owned subsidiary of the Company’s first majority
shareholder Overseas Chinese Town Holdings Company (“OCT Group” for short), holds
180,001,110 and 18,360,000 ordinary shares in the Company respectively through CITIC
Related or acting-in-concert parties
Securities Brokerage (Hong Kong) Co., Ltd. and China Merchants Securities (HK) Limited.
among shareholders above
Happy Bloom Investment Limited and Overseas Chinese Town Holdings Company are parties
acting in concert. Other than that, it is unknown whether the other shareholders are related
parties or acting-in-concert parties or not.
Top 10 shareholders involved in Wang Jingfeng holds 41,700,000 A-shares in the Company through his securities account for
securities margin trading (if any) customer credit trading guarantee in Guotai Junan Securities Co., Ltd.
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Konka Group Co., Ltd. First Quarterly Report 2024
5% or greater shareholders, top 10 shareholders and Top 10 unrestricted shareholders involved in
refinancing shares lending
□Applicable √ Not applicable
Changes in top 10 shareholders and top 10 unrestricted shareholders due to refinancing shares
lending/return compared with the prior period
□Applicable √ Not applicable
(II) Number of Preference Shareholders and Shareholdings of Top 10 of Them
□Applicable √ Not applicable
III Other Significant Events
√ Applicable □ Not applicable
Corporate bond issue: As for the private placement of corporate bonds of RMB2.3 billion by the
Company, RMB1.5 billion and RMB0.8 billion were issued respectively on 29 January 2024 and
18 March 2024.
IV Quarterly Financial Statements
(I) Financial Statements
1. Consolidated Balance Sheet
Prepared by Konka Group Co., Ltd.
31 March 2024
Unit: RMB
Item 31 March 2024 1 January 2024
Current assets:
Monetary assets 6,820,644,045.71 6,506,359,577.02
Settlement reserve
Loans to other banks and financial institutions
Held-for-trading financial assets 319,674,803.13 469,636,700.78
Derivative financial assets
Notes receivable 606,068,655.73 533,171,949.15
Accounts receivable 1,699,616,201.41 1,726,545,973.08
Receivables financing 140,600,503.41 173,396,326.14
Prepayments 135,298,765.75 165,454,311.51
Premiums receivable
Reinsurance receivables
Receivable reinsurance contract reserve
Other receivables 978,368,964.07 989,121,067.51
Including: Interest receivable 7,514,518.74 6,681,258.01
Dividends receivable 941,482.38
Financial assets purchased under resale agreements
Inventories 3,532,976,234.92 3,249,897,700.98
Including: Data resource
Contract assets 2,321,661.43 2,190,385.93
Assets held for sale
Current portion of non-current assets
Other current assets 2,318,548,695.56 2,359,159,468.75
Total current assets 16,554,118,531.12 16,174,933,460.85
Non-current assets:
Loans and advances to customers
Debt investments
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Konka Group Co., Ltd. First Quarterly Report 2024
Other debt investments
Long-term receivables
Long-term equity investments 5,542,281,345.02 5,566,483,863.29
Investments in other equity instruments 23,841,337.16 23,841,337.16
Other non-current financial assets 2,012,668,178.82 2,009,676,398.00
Investment property 1,507,942,882.75 1,470,226,723.87
Fixed assets 5,166,405,622.88 5,218,297,745.16
Construction in progress 801,532,745.91 860,899,498.68
Productive living assets
Oil and gas assets
Right-of-use assets 178,946,935.99 197,054,423.17
Intangible assets 1,068,063,044.96 1,087,386,015.34
Including: Data resource
Development costs
Including: Data resource
Goodwill 22,196,735.11 22,196,735.11
Long-term prepaid expense 505,108,516.65 518,919,223.71
Deferred income tax assets 1,429,778,839.91 1,426,573,982.16
Other non-current assets 1,293,110,682.30 1,248,328,806.16
Total non-current assets 19,551,876,867.46 19,649,884,751.81
Total assets 36,105,995,398.58 35,824,818,212.66
Current liabilities:
Short-term borrowings 6,632,256,478.89 6,390,592,056.27
Borrowings from the central bank
Loans from other banks and financial institutions
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable 1,098,341,710.09 990,482,927.20
Accounts payable 2,504,095,300.96 2,726,831,675.97
Advances from customers
Contract liabilities 515,389,271.82 527,975,160.12
Financial assets sold under repurchase agreements
Customer deposits and deposits from other banks and
financial institutions
Payables for acting trading of securities
Payables for underwriting of securities
Employee benefits payable 215,324,731.84 304,733,103.63
Taxes and levies payable 122,723,241.91 214,417,135.87
Other payables 1,745,202,888.86 1,922,791,905.14
Including: Interest payable
Dividends payable
Fees and commissions payable
Reinsurance payables
Liabilities directly associated with assets held for sale
Current portion of non-current liabilities 4,810,206,203.77 5,314,147,396.36
Other current liabilities 42,298,997.18 54,330,715.75
Total current liabilities 17,685,838,825.32 18,446,302,076.31
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 7,084,826,330.88 7,779,150,079.88
Bonds payable 4,752,749,719.12 2,426,992,578.67
Including: Preference shares
Perpetual bonds
Lease liabilities 153,601,632.01 160,218,818.92
Long-term payables 5,490,154.71 6,135,734.07
Long-term employee benefits payable 4,697,158.27 4,718,466.37
Provisions 315,033,062.96 304,519,839.80
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Konka Group Co., Ltd. First Quarterly Report 2024
Deferred income 424,131,344.78 425,135,237.90
Deferred income tax liabilities 143,885,442.76 185,026,165.27
Other non-current liabilities 176,716,445.59 179,996,351.33
Total non-current liabilities 13,061,131,291.08 11,471,893,272.21
Total liabilities 30,746,970,116.40 29,918,195,348.52
Owners’ equity:
Share capital 2,407,945,408.00 2,407,945,408.00
Other equity instruments
Including: Preference shares
Perpetual bonds
Capital reserves 526,499,506.76 526,499,506.76
Less: Treasury stock
Other comprehensive income -13,198,795.46 -13,443,558.44
Specific reserve 4,657,488.24 4,657,488.24
Surplus reserves 1,244,180,364.24 1,244,180,364.24
General reserve
Retained earnings 964,422,355.58 1,474,561,975.85
Total equity attributable to owners of the Company as the
5,134,506,327.36 5,644,401,184.65
parent
Non-controlling interests 224,518,954.82 262,221,679.49
Total owners’ equity 5,359,025,282.18 5,906,622,864.14
Total liabilities and owners’ equity 36,105,995,398.58 35,824,818,212.66
Legal representative: Zhou Bin CFO: Li Chunlei Head of the financial department: Ping Heng
2. Consolidated Income Statement
Unit: RMB
Item Q1 2024 Q1 2023
1. Revenues 2,462,543,024.65 4,600,647,851.61
Including: Operating revenue 2,462,543,024.65 4,600,647,851.61
Interest revenue
Insurance premium income
Fee and commission income
2. Costs and expenses 2,979,057,163.11 5,278,599,377.48
Including: Cost of sales 2,284,831,875.00 4,451,814,449.75
Interest costs
Fee and commission expense
Surrenders
Net insurance claims paid
Net amount provided as insurance contract reserve
Expenditure on policy dividends
Reinsurance premium expense
Taxes and levies 26,135,722.56 23,526,112.70
Selling expense 248,336,076.88 249,669,243.57
Administrative expense 157,257,013.15 200,548,687.25
R&D expense 111,825,051.75 106,353,742.77
Finance costs 150,671,423.77 246,687,141.44
Including: Interest costs 203,822,796.42 224,916,477.38
Interest revenue 61,269,104.93 59,467,053.77
Add: Other income 19,705,035.40 40,112,945.00
Return on investment (“-” for loss) 18,497,683.98 816,925,419.92
Including: Share of profit or loss of joint ventures and
-16,852,518.27 -16,602,829.69
associates
Income from the derecognition of financial assets
-119,757.38
at amortized cost (“-” for loss)
Exchange gain (“-” for loss)
Net gain on exposure hedges (“-” for loss)
Gain on changes in fair value (“-” for loss) -149,961,897.65
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Konka Group Co., Ltd. First Quarterly Report 2024
Credit impairment loss (“-” for loss) 14,836,754.80 -2,853,517.25
Asset impairment loss (“-” for loss) -6,050,004.45 -706,509.70
Asset disposal income (“-” for loss) 368,011.21 -265,897.79
3. Operating profit (“-” for loss) -619,118,555.17 175,260,914.31
Add: Non-operating income 2,439,964.07 10,265,709.63
Less: Non-operating expense 1,458,719.33 2,437,470.87
4. Gross profit (“-” for loss) -618,137,310.43 183,089,153.07
Less: Income tax expense -39,279,655.99 92,022,318.91
5. Net profit (“-” for net loss) -578,857,654.44 91,066,834.16
5.1 By operating continuity
5.1.1 Net profit from continuing operations (“-” for net loss) -578,857,654.44 91,066,834.16
5.1.2 Net profit from discontinued operations (“-” for net
loss)
5.2 By ownership
5.2.1 Net profit attributable to owners of the Company as
-510,139,620.27 152,513,923.41
the parent
5.2.1 Net profit attributable to non-controlling interests -68,718,034.17 -61,447,089.25
6. Other comprehensive income, net of tax 286,707.16 -305,458.61
Attributable to owners of the Company as the parent 244,762.98 -1,045,825.23
6.1 Items that will not be reclassified to profit or loss
6.1.1 Changes caused by remeasurements on defined
benefit schemes
6.1.2 Other comprehensive income that will not be
reclassified to profit or loss under the equity method
6.1.3 Changes in the fair value of investments in other
equity instruments
6.1.4 Changes in the fair value arising from changes in own
credit risk
6.1.5 Other
6.2 Items that will be reclassified to profit or loss 244,762.98 -1,045,825.23
6.2.1 Other comprehensive income that will be reclassified
to profit or loss under the equity method
6.2.2 Changes in the fair value of other debt investments
6.2.3 Other comprehensive income arising from the
reclassification of financial assets
6.2.4 Credit impairment allowance for other debt
investments
6.2.5 Reserve for cash flow hedges
6.2.6 Differences arising from the translation of foreign
244,762.98 -1,045,825.23
currency-denominated financial statements
6.2.7 Other
Attributable to non-controlling interests 41,944.18 740,366.62
7. Total comprehensive income -578,570,947.28 90,761,375.55
Attributable to owners of the Company as the parent -509,894,857.29 151,468,098.18
Attributable to non-controlling interests -68,676,089.99 -60,706,722.63
8. Earnings per share
8.1 Basic earnings per share -0.2119 0.0633
8.2 Diluted earnings per share -0.2119 0.0633
Legal representative: Zhou Bin CFO: Li Chunlei Head of the financial department: Ping Heng
3. Consolidated Cash Flow Statement
Unit: RMB
Item Q1 2024 Q1 2023
1. Cash flows from operating activities:
Proceeds from sale of commodities and rendering of
1,797,484,722.81 4,577,159,145.45
services
Net increase in customer deposits and deposits from other
banks and financial institutions
Net increase in borrowings from the central bank
Net increase in loans from other financial institutions
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Konka Group Co., Ltd. First Quarterly Report 2024
Premiums received on original insurance contracts
Net proceeds from reinsurance
Net increase in deposits and investments of policy holders
Interest, fees and commissions received
Net increase in loans from other banks and financial
institutions
Net increase in proceeds from repurchase transactions
Net proceeds from acting trading of securities
Tax and levy rebates 115,078,788.77 64,819,428.29
Cash generated from other operating activities 95,525,932.14 121,196,319.41
Subtotal of cash generated from operating activities 2,008,089,443.72 4,763,174,893.15
Payments for commodities and services 1,734,228,523.22 4,794,630,422.89
Net increase in loans and advances to customers
Net increase in deposits in the central bank and other
banks and financial institutions
Payments for claims on original insurance contracts
Net increase in loans to other banks and financial
institutions
Interest, fees and commissions paid
Policy dividends paid
Cash paid to and for employees 476,425,284.19 571,153,686.19
Taxes and levies paid 112,876,803.64 186,102,399.10
Cash used in other operating activities 255,603,038.34 394,014,311.99
Subtotal of cash used in operating activities 2,579,133,649.39 5,945,900,820.17
Net cash generated from/used in operating activities -571,044,205.67 -1,182,725,927.02
2. Cash flows from investing activities:
Proceeds from disinvestment 277,786,299.25
Return on investment 8,900,401.01 39,420,914.22
Net proceeds from the disposal of fixed assets, intangible
5,041.03 1,578,239.32
assets and other long-lived assets
Net proceeds from the disposal of subsidiaries and other
18,818,889.67
business units
Cash generated from other investing activities 9,793,699.45 207,505,754.25
Subtotal of cash generated from investing activities 18,699,141.49 545,110,096.71
Payments for the acquisition of fixed assets, intangible
284,178,284.61 363,745,861.03
assets and other long-lived assets
Payments for investments
Net increase in pledged loans granted
Net payments for the acquisition of subsidiaries and other
business units
Cash used in other investing activities 343,430,861.17
Subtotal of cash used in investing activities 284,178,284.61 707,176,722.20
Net cash generated from/used in investing activities -265,479,143.12 -162,066,625.49
3. Cash flows from financing activities:
Capital contributions received 256,756.76 345,946.00
Including: Capital contributions by non-controlling interests
256,756.76 345,946.00
to subsidiaries
Borrowings received 6,140,193,236.06 3,805,114,522.05
Cash generated from other financing activities 131,547,249.19 54,574,868.72
Subtotal of cash generated from financing activities 6,271,997,242.01 3,860,035,336.77
Repayment of borrowings 4,797,944,997.38 2,923,642,749.55
Interest and dividends paid 151,237,909.05 164,669,602.27
Including: Dividends paid by subsidiaries to non-
controlling interests
Cash used in other financing activities 220,909,070.38 127,611,602.55
Subtotal of cash used in financing activities 5,170,091,976.81 3,215,923,954.37
Net cash generated from/used in financing activities 1,101,905,265.20 644,111,382.40
4. Effect of foreign exchange rates changes on cash and
-2,015,284.90 -7,901,003.24
cash equivalents
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Konka Group Co., Ltd. First Quarterly Report 2024
5. Net increase in cash and cash equivalents 263,366,631.51 -708,582,173.35
Add: Cash and cash equivalents, beginning of the period 5,674,784,349.55 5,461,912,010.90
6. Cash and cash equivalents, end of the period 5,938,150,981.06 4,753,329,837.55
(II) Adjustments to Financial Statement Items at the Beginning of the Year of the First
Implementation of the New Accounting Standards Implemented since 2024
□ Applicable √ Not applicable
(III) Independent Auditor’s Report
Indicate by tick mark whether the financial statements above have been audited by an independent
auditor.
□Yes √ No
These financial statements have not been audited by such an auditor.
The Board of Directors
Konka Group Co., Ltd
26 April 2024
10
