Abstract of the 2015 Semi-annual Report of Konka Group Co., Ltd.
Stock code: 000016, 200016 Stock abbreviation: SKJA, SKJB Announcement No.: 2015-61
Konka Group Co., Ltd.
Abstract of the 2015 Semi-annual Report
1. Important reminders
This abstract is based on the full text of the semi-annual report. For more details, investors are
suggested to read the full text disclosed at the same time with this abstract on
http://www.cninfo.com.cn, the website of Shenzhen Stock Exchange or any other website
designated by CSRC.
This report is prepared in both Chinese and English. Should there be any discrepancy between the
two versions, the Chinese version shall prevail.
Company profile
Stock abbreviation SKJA, SKJB Stock code 000016, 200016
Stock abbreviation after change (if
Naught
any)
Stock exchange listed with Shenzhen Stock Exchange
Contact information Company Secretary
Name Wu Yongjun
Tel. 0755-26608866
Fax 0755-26600082
E-mail szkonka@konka.com
2. Financial highlights and change of shareholders
（1）Financial highlights
Does the Company adjust retrospectively or restate accounting data of previous years due to change
of the accounting policy or correction of any accounting error?
□ Yes √ No
Reporting period Same period of last year YoY +/-（％）
Operating revenues (RMB Yuan) 8,944,558,920.96 8,390,067,695.48 6.61%
Net profit attributable to shareholders of
-296,953,507.39 44,394,585.84 -768.90%
the Company (RMB Yuan)
Net profit attributable to shareholders of
the Company after extraordinary gains and -333,938,231.98 -172,899,104.31 -93.14%
losses (RMB Yuan)
Net cash flows from operating activities
70,042,909.63 1,207,928,081.12 -94.20%
(RMB Yuan)
Basic EPS (RMB Yuan/share) -0.25 0.04 -725.00%
Diluted EPS (RMB Yuan/share) -0.25 0.04 -725.00%
Weighted average ROE (%) -7.52% 1.11% -8.63%
As at the end of the
As at the end of last year +/-（％）
reporting period
Total assets (RMB Yuan) 16,132,799,097.22 16,779,359,276.65 -3.85%
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Abstract of the 2015 Semi-annual Report of Konka Group Co., Ltd.
Net assets attributable to shareholders of
3,797,724,449.84 4,103,478,971.07 -7.45%
the Company (RMB Yuan)
（2） Shareholdings of the top 10 common shareholders
Unit: share
Total number of common
shareholders at the end of the 51,744
reporting period
Shareholdings of the top 10 common shareholders
Sharehol Pledged or frozen shares
Total common Number of
Nature of ding
Name of shareholder shares held at restricted common Number of
shareholder percenta Status of shares
the period-end shares held shares
ge (%)
State-owned Pledged 0
OCT Enterprises Co. 21.75% 261,873,466 198,381,940
corporation Frozen 0
CITIC Securities Brokerage Foreign Pledged 0
7.48% 90,000,555 0
(Hong Kong) Co., Ltd. corporation Frozen 0
Guoyuan Securities Broker (HK) Foreign Pledged 0
2.81% 33,860,309 0
Co., Ltd. corporation Frozen 0
China Resources SCP Trust Co., Domestic Pledged 0
non-state-o
Ltd. － Extraordinary No. 18 2.48% 29,878,723 0
wned Frozen 0
Capital Trust corporation
Foreign Frozen 0
Gaoling Fund, L.P. 2.19% 26,400,625 0
corporation Pledged 0
Foreign Pledged 0
Holy Time Group Limited 2.18% 26,290,177 0
corporation Frozen 0
China Resources SCP Trust Co., Domestic Pledged 0
non-state-o
Ltd. － Extraordinary No. 17 2.00% 24,083,850 0
wned Frozen 0
Capital Trust corporation
Domestic Pledged 0
Sun Zhenxiang 1.40% 16,878,116 0
individual Frozen 0
National Social Security Fund 118 Pledged 0
Others 1.14% 13,702,689 0
Group Frozen 0
Foreign Pledged 0
Nam Ngai 0.97% 11,690,520 0
individual Frozen 0
Jialong Investment Limited, a wholly-funded subsidiary of the Company’s first
majority shareholder OCT Enterprises Co., holds 90,000,555 common shares in
Explanation on associated relationship or
the Company through CITIC Securities Brokerage (Hong Kong) Co., Ltd.
persons acting in concert among the
Therefore, Jialong Investment Limited and OCT Enterprises Co. are parties acting
above-mentioned shareholders
in concert. The Company does not know whether the other shareholders are
related parties and whether they are acting-in-concert parties.
Shareholders taking part in securities margin Sun Zhenxiang holds 11,386,300 A-shares through a client credit trading
trading (if any) guarantee securities account of GF Securities Co., Ltd.
（3）Shareholdings of the top 10 preference shareholders
□ Applicable √ Inapplicable
No preference shares in the reporting period.
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Abstract of the 2015 Semi-annual Report of Konka Group Co., Ltd.
（4）Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable √ Inapplicable
The controlling shareholder did not change in the reporting period.
Change of the actual controller in the reporting period
□ Applicable √ Inapplicable
The actual controller did not change in the reporting period.
3. Discussion and analysis by the management
In the reporting period, we carried on with our Internet strategy and our product mix improved with
a larger proportion of smart TVs in our total sales.
(I) In the reporting period, the proportions of smart TVs and large-screen TVs in our total sales rose
steadily, and the activated smart TV rate also increased considerably.
In the reporting period, we launched a series of smart TVs. Joining hands with Tencent, Youku and
Aliyun.com, we launched three major series—T60 Tencent Super TV, 2600 Youku TV and Aliyun
TV for online sales. In addition, we also introduced to the market quality series including X80U
Moon Goddess 4K Curved-Surface TV and 8900 TV. In the meantime, we started to cooperate with
GITV and Tencent Video, marking the increase of our Internet TV partners to a number of three.
(II) In terms of our consumer appliance business, we adjusted our sales structure by promoting the
sales of three-door, multi-door and side-by-side combination refrigerators and achieved a fast
development with e-commerce channels by making the development of e-commerce a priority. As a
result, both the sales volume and profitability of our consumer appliance business improved.
(III) As for export, we successfully attracted new customers in Latin America, the Asia-Pacific
region, etc., which boosted our overseas sales.
However, due to the fierce price competition of our main products, the profitability in our main
business saw a drop in the reporting period. In addition, our gains and losses on disposal of
non-current assets were RMB 259 million in the first half of 2014, which were mainly the
investment gain on transferring Shenzhen Konka Video & Communication Systems Engineering
Co., Ltd., while the first half of 2015 did not see such large-amount non-recurring gains. All these
caused a large drop in the net profits attributable to the shareholders of the Company for the first
half of 2015.
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Abstract of the 2015 Semi-annual Report of Konka Group Co., Ltd.
4. Matters related to financial reporting
(1) Explain any changes in the accounting policies, accounting estimates and measurement
methods as compared with the financial reporting of last year
□ Applicable √ Inapplicable
No such cases in the reporting period.
(2) Explain any retrospective restatement due to correction of significant accounting errors in
the reporting period
□ Applicable √ Inapplicable
No such cases in the reporting period.
(3) Explain any changes in the consolidation scope as compared with the financial reporting of
last year
√ Applicable □ Inapplicable
(1) Shenzhen Konka Precision Mold Manufacturing Co., Ltd and Mansfield Technology (Taiwan)
Co., Ltd, our subsidiaries contributed capital jointly and founded Anhui Jiasen Precision
Technology Co., Ltd on December 22, 2014. Its registered capital was RMB 20 million, and it was
paid in full amount by all the stockholders by September 30, 2015. In it, Shenzhen Konka Precision
Mold Manufacturing Co., Ltd subscribed to RMB1.02 million, which occupied 51% of the
registered capital by means of contribution in currency, Mansfield Technology (Taiwan) Co., Ltd
subscribed to RMB9.80 million, which occupied 49% of the registered capital by means of
contribution in RMB. By the date of the balance sheet, Shenzhen Konka Precision Mold
Manufacturing Co., Ltd contributed RMB7.65 million, which occupied 38.25% of the registered
capital, and Mansfield Technology (Taiwan) Co., Ltd contributed RMB4.8998million, which
occupied 24.50% of the registered capital. The Company has right of control over it, and included it
into its merger scope from January 1, 2015.
(2)The Company contributed capital with Shenzhen Kaikai Shijie Investment Partnership Enterprise
(limited partnership) jointly and founded Anhui Kakai Shijie E-Commerce Co., Ltd on December
29, 2014, with a registered capital of RMB20 million. In it, the Company contributed RMB16
million, which occupied 80% of the registered capital. Shenzhen Kaikai Shijie Investment
Partnership Enterprise (limited partnership) contributed RMB 4.0 million, which occupied 20% of
the registered capital. The Company has right of control over it, and included it into its merger
scope from January 1, 2015.
(3) The Company contributed capital with Shenzhen Yizhonghui Technology Co., Ltd and
Shenzhen Yizhonghe Technology Co., Ltd jointly and founded Shenzhen Yipingfang Network
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Abstract of the 2015 Semi-annual Report of Konka Group Co., Ltd.
Technology Co., Ltd, with a registered capital of RMB20 million on January 9, 2015. In it, the
Company contributed RMB19.20million, which occupied 96% of the registered capital, the other
stockholders contributed RMB800, 000, which occupied 4% of the registered capital, but the capital
had not been contributed by the date of the balance sheet. The Company has right of control over it,
and included it into its merger scope from January 9, 2015.
(4) The Company contributed capital with OCT Group jointly and founded Shenzhen
Kangqiaojiacheng Property Investment Co., Ltd, with a registered capital of RMB10 billion on
January 9, 2015, which will be paid in full amount by all the stockholders by December 31, 2019. In
it, the Company subscribed to RMB700 million by means of contribution in RMB, which occupied
70% of the registered capital, OCT Group contributed to RMB300 million by means of contribution
in RMB, which occupied 30% of the registered capital. By the date of the balance sheet, the
Company contributed RMB112 million, which occupied 11.20% of the registered capital; OCT
Group contributed RMB48 million, which occupied 4.8% of the registered capital. The Company
has right of control over it, and included it into its merger scope from January 19, 2015.
(5) Kangdian Investment Development Co., Ltd, a subsidiary of the Company, contributed capital
jointly with KK Orient Limited and founded Konka Smarttech Limited on January 21, 2015, with a
registered capital of HK$10million. In it, Kangdian Investment Development Co., Ltd contributed
HK$6.10 million, which occupied 61% of the registered capital and Konka Smarttech Limited
contributed HK$3.90 million, which occupied 39% of the registered capital. The Company has right
of control over it, and included it into its merger scope from January 21, 2015.
(6) Shenzhen Konka Yishijie Commercial Display Co., Ltd, a subsidiary of the Company
contributed capital and founded Shenzhen Konka Yishijie Commercial Display Service Co., Ltd, a
wholly-funded subsidiary under it on May 7, 2015, with a registered capital of RMB2.00 million.
The Company has right of control over it, and included it into its merger scope from May 7, 2015.
(7) The cancellation procedure for Konka (Nanhai) Development Center, a subsidiary of the
Company, has been completed on February 9, 2015. As such, the subsidiary has been
deconsolidated since that day.
(4) Explanation of the Board of Directors and the Supervisory Committee concerning the
“non-standard audit report” issued by the CPAs firm for the reporting period
□ Applicable √ Inapplicable
The Board of Directors
Konka Group Co., Ltd.
28 August 2015
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