Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Sino Great Wall Co., Ltd.
The Semi-annual Report 2018
August 2018
1
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
I. Important Notice, Table of Contents and Definitions
The Board of Directors and the directors, Supervisory Committee and supervisors and Senior Executives of the
Company hereby warrant that at the year, there are no misstatement, misleading representation or important
omissions in this report and shall assume joint and several liability for the authenticity, accuracy and completeness
of the contents hereof.
Mr. Chen Lue,The Company leader, Mr.Tang Xianyong, Chief financial officer and the Mr.Tang Xianyong, the
person in charge of the accounting department (the person in charge of the accounting) hereby confirm the
authenticity and completeness of the financial report enclosed in this semi-annual report.
All the directors attended the board meeting for reviewing the Semi-Annual Report.
The Company has no plan of cash dividends carried out, bonus issued and capitalizing of common reserves either.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Table of Contents
Semi-Annual Report 2018
I. Important Notice and Definitions
II. Corporate Profile and Key Financial Indicators
III. Business Profile
IV. Performance Discussion and Analysis
V. Important Events
VI. Change of share capital and shareholding of Principal Shareholders
VII. Situation of the Preferred Shares
VIII.Information about Directors, Supervisors and Senior Executives
IX. Corporate Bonds
X.Financial Report
XI. Documents available for inspection
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Definition
Terms to be defined Refers to Definition
Company Law Refers to Company Law of the People’s Republic of China
Securities Law Refers to Securities Law of the People’s Republic of China
“CSRC” Refers to China Securities Regulatory Commission
Company,The Company, Sino Great Wall Refers to Sino Great Wall Co., Ltd.
Sino International Refers to Sino Great Wall International Engineering Co., Ltd.
SZSE Refers to Shenzhen Stock Exchange
Reporting period Refers to January 1,2018 to June 30,2018
Wuhan Commercial worker Hospital Refers to Wuhan Commercial worker Hospital Co., Ltd.
Union Holdings Refers to Union Holdings Co., Ltd.
Rich Crown Investment Refers to Rich Crown Investment Co., Ltd.
Baden-Baden Hospital Refers to Acura Kliniken Baden-Baden GmbH
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
II. Corporate Profile and Key Financial Indicators
I．Company Information
Stock abbreviation: Sino Great Wall Sino-B Stock code： 000018 200018
Change of stock
Nil
Abbreviation（If any）
Stock exchange for listing Shenzhen Stock Exchange
Name in Chinese 神州长城股份有限公司
Chinese Abbreviation 神州长城 神州 B
English name (If any) Sino Great Wall Co., Ltd.
English Abbreviation (If
Sino Great Wall Sino-B
any)
Legal Representative Chen Lue
II. Contact person and contact manner
Board secretary Securities affairs Representative
Name Yang Chunling
Sino Great Wall Building, No.3 Jinxiu
Contact address Street,EconomicTechnology
Development Zone , Beijing
Tel 010-89045855
Fax 010-89045856
E-mail 1208806865@qq.com
III. Other information
(1)Way to contact the Company
Whether registrations address, offices address and codes as well as website and email of the Company changed in
reporting period or not
□ Applicable □√ Not Applicable
The registered address, office address and their postal codes, website address and email address of the Company
did not change during the reporting period. The said information can be found in the 2017 Annual Report.
（2）About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?
□ Applicable √ Not applicable
The newspapers designated by the Company for information disclosure, the website designated by CSRC for
disclosing this report and the location where this report is placed did not change during the reporting period. The
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
said information can be found in the 2017 Annual Report.
IV. Summary of Accounting Data and Financial Indicators
Indicate by tick mark whether the Company needs to retroactively restate any of its accounting data.
□ Yes √No
Reporting period Same period of last year YoY+/-（%）
Operating income（RMB） 1,586,971,575.24 3,025,082,356.80 -47.54%
Net profit attributable to the shareholders
143,999,455.72 268,606,450.03 -46.39%
of the listed company（RMB）
Net profit after deducting of
non-recurring gain/loss attributable to
-33,506,685.35 264,902,836.16 -112.65%
the shareholders of listed company
（RMB）
Cash flow generated by business
1,098,164,365.63 -535,997,580.19 304.88%
operation, net（RMB）
Basic earning per share(RMB/Share) 0.0848 0.16 -47.00%
Diluted gains per
0.0848 0.16 -47.00%
share(RMB/Share)(RMB/Share)
Weighted average ROE(%) -6.61% 14.39% -7.78%
As at the end of the
As at the end of last year YoY+/-（%）
reporting period
Gross assets (RMB) 11,025,565,646.45 11,667,845,186.30 -5.50%
Shareholders’ equity attributable to
shareholders of the listed company 2,205,590,520.66 2,151,482,467.52 2.51%
（RMB）
V.The differences between domestic and international accounting standards
1．Simultaneously pursuant to both Chinese accounting standards and international accounting standards disclosed
in the financial reports of differences in net income and net assets.
□ Applicable□√ Not applicable
Nil
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese
accounting standards.
□ Applicable √Not applicable
Nil
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VI. Items and amount of non-current gains and losses
√Applicable □Not applicable
In RMB
Items Amount Notes
Non-current asset disposal gain/loss(including the write-off part
-570,793.76
for which assets impairment provision is made)
Income from the exceeding part between investment cost of the
Mainly due to the acquisition
Company paid for obtaining subsidiaries, associates and
70,486,755.72 of Baden-Baden Hospital
joint-ventures and recognizable net assets fair value attributable
evaluation value-added
to the Company when acquiring the investment
Mainly due to the land
Net amount of non-operating income and expense except the
108,668,232.63 compensation paid by Union
aforesaid items
Holdings
Less: .Amount of influence of income tax 1,078,053.52
Total 177,506,141.07 --
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Companies Offering their Securities to the Public-Non-recurring Gains and Losses and
its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure
for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as
recurring gains and losses, it is necessary to explain the reason.
□ Applicable √ Not applicable
None of Non-recurring gain /loss items recorgnized as recurring gain /loss/items as defined by the information
disclosure explanatory Announcement No.1- Non –recurring gain/loss in the report period.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
III. Business Profile
I. Main Business the Company is Engaged in During the Report Period
Whether the company needs to comply with the disclosure requirements of the particular industry
Yes
Civil Engineering Construction
Within the report period, the core business of the company is engineering construction and investment and
management in medical treatment and health industry. The engineering construction mainly includes the
international engineering general contracting (EPC) and domestic PPP business. The investment and management
in medical treatment and health industry mainly comprises the medical treatment operation management for
hospitals in the industry through several ways including acquisition of existing hospitals, construction of new
hospitals, as well as building and investing the PPP projects for hospitals, etc.
At present, the company’s business covers the house building, roads and bridges, power and chemical
industry as well as medical treatment and health, etc., which has extended to many countries and regions in
Southeast Asia, the Middle East, South Asia and Africa, etc. The company mainly engages in the foreign
engineering construction through EPC, namely general contracting or several phases of contracting in design,
purchase, construction and trial operation of construction project through integrating the high-quality resources at
home and abroad. For the domestic engineering construction, the company mainly adopts PPP model, namely the
project operation model through cooperation of the government and social capital. Under such model, the
government will select the social capital with the investment and operation management capacity through
competitive ways, and both parties shall enter into the contract through consultation on the basis of equality, under
which public services will be provided through social capital and the government shall pay the consideration
against the social capital based on the public service performance assessment result.
Currently, the company’s construction qualifications include: first-class qualification as general contractor of
housing & construction engineering project, first-class qualification as specialized contractor of architectural
decoration engineering design and construction, first-class qualification as specialized contractor of building
curtain wall engineering, first-class qualification as specialized contractor of ground foundation engineering,
first-class qualification as specialized contractor of firefighting facilities engineering, first-class qualification as
specialized contractor of waterproof anti-corrosion insulation engineering, second-class qualification as general
contractor of mechanical and electrical engineering construction, second-class qualification as specialized
contractor of bridge construction, second-class qualification as general contractor of petrochemical engineering
construction, second-class qualification as general contractor of municipal public engineering construction,
second-class qualification as specialized contractor of tunnel construction, second-class qualification as
specialized contractor of fabrication and installation of hydraulic metal structure, second-class qualification as
general contractor of water conservancy and hydropower project construction, third-class qualification as general
contractor of railway engineering construction, second-class qualification as general contractor of metallurgical
engineering construction, qualification regardless of grades as specialized contractor of special engineering,
third-class qualification as specialized contractor of highway pavement engineering, third-class qualification as
specialized contractor of highway subgrade engineering, etc. The scope covers the engineering qualifications of
building, highway, railway, municipal utilities, water conservancy and hydropower, petrochemical, electric power
and other types of engineering. Among these qualifications, class A qualification for design of architectural
decoration engineering will expire on December 18, 2018, and the company is preparing for extension application,
as it is qualified for the application.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
In overseas market, after many years of development, the company’s ability to adapt to overseas standards and
localized project management capability has been continuously improved through years of talent cultivation and
technology accumulation. For the domestic business, as the Company PPP project bid-winning quantity and
commencement quantity increase continuously, the Company improves PPP project operation capacity
continuously, accumulates experience in aspects of the project bidding, financing ways and operation management
and forms its unique operation ways.
As of the end of the reporting period, the company has won more than 40 billion yuan of unfilled orders at
home and abroad, with good development prospect, thus providing excellent support for the company’s future
performance in the project.
Ⅱ.Major Changes in Main Assets
1. Major Changes in Main Assets
Main assets Major changes
Equity assets Has not changed much
Fixed assets Mainly due to the merger of Acura Kliniken Baden-Baden GmbH
Intangible assets Mainly due to the merger of Acura Kliniken Baden-Baden GmbH
Construction in process Mainly due to the completion of overseas equipment installation
2. Main Conditions of Overseas Assets
√ Applicable □ Not applicable
The Is there
Control proportion a
Specific
measures of overseas significa
content Cause of Operationa Income
Asset size location to ensure assets to nt risk
of the formation l mode status
asset the of
asset
security company's impairm
net assets ent?
Achieve
Net profit
Total assets actual
for
Baden-B as of June control
january-jun
aden Purchase 30, 2018 is Germany Proprietary through the 2.2% No
e 2018 is
Hospital 51,055,379 hiring of
2,331,129.
.01yuan senior
11yuan
executives
□ Applicable √ Not applicable
Ⅲ.Analysis On core Competitiveness
Whether the company needs to comply with the disclosure requirements of the particular industry
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Yes
Civil Engineering Construction
As a leading construction contractor for comprehensive engineering services, Sino Great Wall Co., Ltd. has
leading integrated contracting capability in EPC, BT, BOT and PPP projects and other large projects. Under the
Belt and Road Initiative, the company has had a good opportunity for overseas business development. With the
continuous promotion of PPP project throughout the country, the company is faced with a good opportunity for its
domestic business development. In addition, the company’s comprehensive strength, overseas influence and
market competitiveness have been improved year by year.
1. Strategic positioning advantage
The “Construction & Engineering contracting” and “Medical & Health Business” will be the company’s two
strategic directions for future development. In 2013, the company set up the development goal “Making bigger
and stronger overseas business, and to become the world's leading international comprehensive construction &
building service provider”. In 2016, the company set up the “Medical & Health business” as another essential
development direction. All of those are to comprehensively cater the needs of the national strategies of “One Belt,
One Road” and “Medical & Health Industry Development”. The good prospects of “One Belt, One Road” projects
and “Medical & Health Industry” will provide a broad market space for the company’s business development. In
terms of engineering contracting, the early-development advantage of overseas business enables the company to
have rich management experiences and high-quality customers and establish talented teams, thus laid a solid
foundation for the company’s overseas business development. In terms of the Medical & Health business, the
company has set up project teams in many domestic places such as Sichuan, Henan ,Hubei and Guizhou, and the
company has purchased Wuhan Commercial and Vocational Hospital Co, Ltd and won the bids of many medical
and health PPP projects. Also, the company has established cooperative relationships with many hospitals and has
recruited many kinds of talents in terms of medical, hospital management, investment and financing etc, thus
provided a strong support for the Medical & Health business development.
2. Standardized and high-efficient management system, fully market-oriented operation mechanism
With the increasingly expanding of the company scale and business scope, the management for the company is
becoming more complex. However, the company timely set up the sound management system and the
authorization system to standardize the approval procedures, reduce the management hierarchy tiers and improve
the work efficiency and execution, thus ensured the efficient operation of the company’s business operation. For
the operation mechanism, the company bravely faces the fierce competition in the market, adheres to the
market-oriented development, respects the objective laws of the market and constantly improves its management
level, thus to timely response to changes in the market and continuously improve the company's market image,
construction quality and profitability.
3. Integrated design and construction advantages
The company has a wide range, high-ranking construction qualifications, and the company has integrated
design and construction experiences and good project management capabilities, so the company is able to provide
integrated design and construction services in terms of civil engineering, decoration, mechanical and electrical
installation and full industry chain of curtain wall, and the company can independently complete the whole
process of construction project. The company can form a comprehensive advantage in the field of building
engineering, so it can reasonably schedule the procurement, labor use and construction plan, as well as the
company can constantly optimize the process to reduce the project costs. The company’s excellent design ability,
sound construction quality, high-efficient construction planning and the comprehensive high-quality service
greatly enhanced the customers’ satisfaction.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
4. Costs advantages and quality-control advantages
The company’s core management personnel have more than ten years of experience in building construction.
With a deep understanding of the industry, the company has established a sound system integrating material
procurement, labor management and quality control. In the procurement, through comprehensive price
comparison, bidding and procurement, the supplier is screened to manage material procurement cost of project
within the controllable range at the early stage of the project. By locking the technical requirements and time
requirements of the project, the company can lock the labor costs. The company has set up strict quality-control
system for the design drawing, raw material procurement and each aspect of the project construction management,
thus to strictly ensue the project construction quality, so the company has won good reputation and got trust and
recognition by a great number of customers.
5. Talent advantage
The company's core management team staff has many years of experience in construction work and has
strong business ability and rich experience, with strong management ability and technological level. The company
always adheres to the talent concept of "Employees are the most valuable wealth of the company", and an active
and positive management team is the cornerstone of the company's stable, healthy and sustainable development.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
IV. Performance Discussion and Analysis
Ⅰ.General
In the first half of 2018, the company has continued to adhere to the values of “integrity, professionalism,
perfection and honor”, paying close attention to the policies and related developments of “the Belt and Road
Initiative”, PPP business and construction medical industry, in order to adapt to the economic development
situation by actively expanding overseas project contracting and investment business brought by “the Belt and
Road Initiative” and increasing the investment and construction of PPP projects in medical industry and
infrastructure, which has achieved good results.
In terms of engineering construction, the company has achieved relatively sound and rapid development at home
and abroad. In terms of overseas business, the company has signed important construction contracts with a
number of countries and regions in Southeast Asia, winning the bids for development project of Dongphosy
Special Economic Zone in Vientiane, Laos and Mekong Villa project in Cambodian, which helps the company
expand the types and scope of domestic and international project contracting business and enhance the company’s
competitive advantage and overall profitability in order to become a “provider for integrated solution in building
construction”. The company’s domestic business covers various fields such as medical treatment, municipal
construction, transportation and infrastructure. For example, the company has won the PPP project of ecological
water system and road network for new district in Yanjin County. As of the end of June 2018, the company has
obtained domestic and international orders exceeding 40 billion yuan, ensuring a steady growth in the company’s
operating performance in the next few years.
In the investment and management in the medical and health industry, the company has acquired 100% of equity
of Acura Kliniken Baden-Baden GmbH, Germany for 14.1 million euros. The Acura Kliniken Baden-Baden GmbH is a
long-established specialized hospital in Germany with a high reputation in medical rehabilitation. The acquired
hospital is used to introduce senior medical talents, technology and management experience owned by Germany,
and integrate Chinese and foreign resources to achieve the company’s development in the field of medical
rehabilitation.
In other respects, in order to actively grasp the important historical opportunity and business chance to build
Xiong’an New District into a city of “green wisdom” and “Xiong’an quality” proposed by the Party Central
Committee, the company’s wholly-owned subsidiary Sino Great Wall International invested RMB 100 million to
establish a wholly-owned subsidiary, Sino Great Wall Hebei Xiong’an Engineering Co., Ltd., in Xiong’an New
District, and Xiong’an Engineering officially obtained a business license on February 24, 2018. In order to carry
out business effectively in Xiong’an New District, the company leased its office in Xiong’an New District and
planned to arrange the subsidiaries with relevant construction qualifications to merge with Xiong’an Company, so
that Xiong’an Company quickly obtained construction qualification to smoothly obtain orders.
In January-June 2018, the company realized operation income of 1,586,971,575.24 yuan , an decrease of
47.54% from the last year; and the net profit attributable to the parent company was 143,999,455.72 yuan, an
decrease of 46.39% from the last year. The decrease in the above data was Mainly due to the country's credit
tightening, the funding is tight and the project is progressing slowly.
Ⅱ.Main business analysis
Refer to relevant contents of “1.Summarization” in “Discussion and Analysis of Management”.
Changes in the financial data
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
In RMB
Same period of last
Reporting period YoY+/-（%） Reason for change
year
Mainly due to the
country's credit
Operating revenues 1,586,971,575.24 3,025,082,356.80 -47.54% tightening, the funding
is tight and the project
is progressing slowly.
Reduced operating
Operating costs 1,312,212,102.46 2,319,598,615.76 -43.43%
income
Selling expense 16,521,622.08 18,094,586.39 -8.69%
Administrative
127,907,861.56 125,176,758.15 2.18%
expense
Due to increase of
Finance costs 145,939,925.19 139,811,809.59 4.38% Long-term and
short-term borrowing
Due to decrease of
Income taxes 18,790,236.79 56,227,138.25 -66.58%
profit
Reduced R&D
R &D investment 48,047,814.77 91,252,470.70 -47.35% investment in this
period
Mainly because the
Net cash generate by
1,098,164,365.63 -535,997,580.19 -304.88% current payback is
operating activities
better.
Net cash generated by
-201,491,732.24 -265,219,280.44 -24.03%
investing activities
Mainly due to the
Net cash generated by
-1,281,374,118.34 1,308,613,716.28 -197.92% repayment of loans in
financing activities
the current period
Mainly due to the
Net increase in cash
-389,203,669.48 502,768,417.94 -177.41% repayment of loans in
and cash equivalents
the current period
Mainly for the increase
Note receivable 392,028,545.46 288,201,562.88 36.03% of company bill
collection
Mainly due to the
merger of Acura
Fixed assets 331,425,276.47 174,537,150.56 89.89%
Kliniken Baden-Baden
GmbH
Construction in 707,700.59 4,968,590.96 -85.76% Mainly due to the
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
process completion of overseas
equipment installation
Mainly due to the
merger of Acura
Intangible assets 170,804,965.85 127,524,445.00 33.94%
Kliniken Baden-Baden
GmbH
Mainly due to the
Interest payable 1,776,077.61 16,105,263.85 -88.97% maturity of loans in the
first half
Mainly due to the
Other account payable 1,322,713,803.81 520,965,421.13 153.90% increase in short-term
accounts payable
Non-current Mainly due to the
liabilitiesdue within 1 487,657,918.14 820,422,471.45 -40.56% gradual expiration of
year Long-term loans
Mainly due to the
Deferred income tax merger of Acura
51,894,878.61 26,088,961.71 98.92%
liabilities Kliniken Baden-Baden
GmbH
Major changes to the profit structure or sources of the Company in the reporting period
□ Applicable √Not applicable
No such cases in the reporting period。
Breakdown of main business
In RMB
Increase/decrea
Increase/decrea
Increase/decrea se of principal
se of gross
se of reverse in business cost
Operating Gross profit profit rate over
operating costs the same period over the same
revenue rate(%) the same period
of the previous period of
of the previous
year(%) previous year
year (%)
(%)
Industry
1,277,090,209. 1,058,787,163.
EPC 17.09% -37.30% -30.28% -8.35%
10 78
Decoration
309,881,366.14 253,424,938.68 18.22% -68.64% -68.36% -0.72%
work
Product
1,277,090,209. 1,058,787,163.
EPC 17.09% -37.30% -30.28% -8.35%
10 78
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Decoration
309,881,366.14 253,424,938.68 18.22% -68.64% -68.36% -0.72%
work
Area
Domestic 911,931,967.87 822,312,618.71 9.83% -42.89% -36.85% -8.63%
Overseas 675,039,607.37 489,899,483.75 27.43% -52.74% -51.85% -1.33%
III. Non-core business analysis
√ Applicable □ Not applicable
Amount Ratio in total profit Note Whether be sustainable
Investment Due to the Disposal of
5,171,892.51 3.20% No
income subsidiaries
Due to Land compensation
Non-operating and acquisition of
179,220,495.20 110.73% No
income subsidiaries assessed value
added
Non-operating Due to Disposal of fixed
636,300.61 0.39% No
expenses assets
IV. Analysis of assets and liabilities
1.Significant changes in asset composition
In RMB
End of same period of last
End of Reporting period
year Change
As a As a in
Reason for significant change
percentage percentage percent
Amount Amount
of total of total age(%)
assets(%) assets(%)
Cash and bank 1,374,597,10 1,720,256,08
12.47% 18.08% -5.61% Has not changed much
balances 9.50 3.77
Account 5,031,464,95 4,828,966,37
45.63% 50.74% -5.11% Has not changed much
receivable 1.12 7.80
745,455,718. 301,728,576.
Inventory 6.76% 3.17% 3.59% Has not changed much
17 28
331,425,276. 127,345,176. Due to Acquisition of Acura
Fixed assets 3.01% 1.34% 1.67%
47 80 Kliniken Baden-Baden GmbH
Construction in 707,700.59 0.01% 3,788,297.42 0.04% -0.03% Has not changed much
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
process
Short-term 2,798,513,48 2,750,186,59
25.38% 28.90% -3.52% Has not changed much
loans 1.24 5.11
Long-term 873,089,164. 444,341,594.
7.92% 4.67% 3.25% Due to increase in loans
loans 49 32
2.Asset and Liabilities Measured by Fair Value
□ Applicable √ Not applicable
3. Restricted asset rights as of end of the reporting period
On January 4, 2017, Wuhan Commercial Worker Hospital received a loan of RMB 100 million from Great
Wall Guoxing Financial Leasing Co., Ltd. for a period of 36 months through finance leasing. Please refer to the
published on January 5,2017 on www.cninfo.com.cn) on the relevant announcement.
By the end of the report, the pledge of receivables amounted to 4,121 million yuan. The land of shenzhou
Great Wall smart housing industry (zhanjiang) co., ltd. was mortgaged to shenzhen branch of bohai bank by the
highest amount of mortgage (the highest amount of debt is 22.28 million yuan). The term is June 11, 2018,
solstice, December 21, 2018.
Ⅴ.Investment situation
1. General
√ Applicable □ Not applicable
Investments made in same period of last
Investments made in the reporting period +/- %
year
16,000,000.00 135,075,100.00 -88.15%
2.Condition of Acquiring Significant Share Right Investment during the Report Period
□ Applicable √ Not applicable
3.Situation of the Significant Non-equity Investment Undergoing in the Report Period
□ Applicable √ Not applicable
4.Investment of Financial Asset
（1）Securities investment
□ Applicable √ Not applicable
The Company had no securities investment in the reporting period.
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
（2）Investment in Derivatives
□ Applicable √ Not applicable
The Company had no investment in derivatives in the reporting period.
VI. Sales of major assets and equity
1. Sales of major assets
□ Applicable √ Not applicable
The Company had no sales of major assets in the reporting period.
2.Sales of major equity
□ Applicable √ Not applicable
Ⅶ.Analysis of the Main Share Holding Companies and Share Participating Companies
√ Applicable □ Not applicable
Situation of Main Subsidiaries and the Joint-stock Company with over 10% net profit influencing to the Company
In RMB
Main
Company Company Registered Total Operatin
business Net assets Turnover Net profit
name type capital assets g profit
scope
Constructi
on general
contracting
, labor
subcontrac
ting;
engineerin
Sino Great g survey
Wall and design;
1,000,000, 10,301,339 2,342,029, 1,481,683, 101,065, 160,005,549.
International Subsidiaries profession
000 ,207.19 908.99 700.81 871.37 15
Engineering al
Co., Ltd. contracting
;
engineerin
g design
for the
constructio
n
decoration;
17
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
building
curtain
wall
design,
Engineerin
g and
technical
research
and
experiment
al
Developm
ent. etc.
Subsidiaries obtained or disposed in the reporting period
□ Applicable √ Not applicable
Notes
Sino international is a construction enterprise mainly engaged in project general contracting (EPC), which
can provide customers with "one-stop" project solutions and services, and is committed to becoming a global
leading international comprehensive construction service provider. The business area covers two major domestic
and foreign markets, with construction projects in 20 foreign countries and 15 overseas branches. The business
scope covers construction, highway, municipal public utilities, energy and chemical engineering and other
engineering construction majors.
Sino international mainly includes overseas general contracting business, domestic PPP construction business,
decoration and mechanical and electrical business. Sino Great Wall hebei xiongan engineering co., LTD.
(hereinafter referred to as xiongan company), a subsidiary of the company, was officially established and obtained
the business license on feb 24, 2018. In order to better conduct business in xiongan new area, the company rented
offices in the new area in 2017 to better serve the construction and development of xiongan new area.
In the first half of 2018, the business revenue was 148,1683,700 yuan. Realized net profit of 16,000.55
million yuan.
VIII．Structured vehicle controlled by the Company
□ Applicable √ Not applicable
IX. Prediction of business performance for January -September 2018
Estimation of accumulative net profit from the beginning of the year to the end of next report period to be loss
probably or the warning of its material change compared with the corresponding period of the last year and
explanation of reason.
□ Applicable √ Not applicable
18
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
X. Risks facing the Company and countermeasures
（1）Influence of Macro Economy and Policy
The construction industry and the health-care industry, in which the Company are engaging, are influenced
greatly by macro economy and policies. The uncertainty in international and domestic economic situation and the
changes of national policy will bring potential risks to the Company’s market development and operating
management.
Solutions: Pay constant attention to the international and domestic economic situation to make reasonable
prejudgment. Make timely adjustment for operating strategy and marketing policy and make pre-arranged
planning which copes with market changes to guarantee the smooth realization for business goals in 2018.
(2)Risks Aggravated by the Market Competition
As to the international market, on the one hand, the combinations among the strong ones of the giant
international contractors in Europe, America, Japan and South Korea are increasingly common, which can
increasingly strength the aspects including the technology, financing and management; on the other hand, more
domestic enterprises have participated in the international market competition of construction & engineering,
intensified the overseas construction market competition. In the domestic market, with the continuous rise of the
attractiveness of PPP projects, many companies have participated in the construction of PPP projects. Thus, the
PPP projects have been more difficult to bid and have fierce competition, which imposes a higher requirement on
the Company's market expansion.
Solutions: Strengthen team construction and take first-mover advantage of the Company’s overseas business.
Draw lessons from the past, improve the capacity of management and control for the Company’s own projects to
constantly heighten the Company’s core competitiveness.
(3)Management Risks Brought by Constant Business Scope Enlargement
The company's main business is in a fully competitive market with low industry barriers and fierce
competition. The company is in a period of rapid development, and the rapid development and expansion of
domestic and foreign businesses raise higher requirements for the company's organizational operations and project
management.
Solutions: Strengthen learning and training, constantly improve the quality of the on-the-job managers and
technicists, introduce high-level personnel and improve the overall management capacity and the technical
capacity of the Company to fully adapt to the pace of the Company’s speedy development
4. Foreign exchange risk
Affected by political factors, international exchange rate fluctuates greatly, which may bring certain losses.
The impact of foreign exchange risk on the company is mainly reflected in the following three aspects: First,
exchange rate fluctuation will affect the project quoted price and cost provided by the company, which will
adversely affect the company’s project margin; Second, the claims and debts of outstanding balance may bring
losses to the company’s foreign exchange exposure due to the different exchange rates between the signing date
and the settlement date. Third, when compiling the consolidated financial statements, the company may result in
book loss when local currency is translated into the accounting currency due to the difference between the
exchange rate for translation and the historical exchange rate, which affects the stability of the company’s
performance.
Solutions:：The settlement currency adopted by the company and the customer shall use US dollar or the
currency pegged with US dollar as much as possible to ensure the relative stability of the exchange rate; the
company purchases construction materials on a global scale to reduce costs and to some extent offset the risk
19
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
brought by exchange rate fluctuation to the company. When the settlement currency including US dollar
depreciates, foreign exchange settlement shall be reduced to lower the actual exchange loss.
V. Important Events
1. Annual General Meeting and Extraordinary Shareholders’ Meetings in the Reporting Period
1.Annual General Meeting
Investor Index to disclosed
Meeting Type Convened date Disclosure date
participation ratio information
The first
provisional
shareholders’
General Meeting
(No.2018-050)
The first
published on
provisional Provisional
Securities
shareholders’ shareholders’ 51.78% March 28,2018 March 29,2018
Times,Hong Kong
General meeting in General Meeting
Commercial Daily
2018
and Juchao
Website
（http://www.cnin
fo.com.cn）on
March 29.2018.
The second
The second provisional
provisional Provisional shareholders’
shareholders’ shareholders’ 38.84% April 9,2018 April 10,2018 General Meeting
General meeting in General Meeting (No.2018-053)
2018 published on
Securities
20
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Times,Hong Kong
Commercial Daily
and Juchao
Website
（http://www.cnin
fo.com.cn）on
April 10,.2018.
2017 Annual
General Meeting
(No.2018-071)
published on
Securities
2017 Annual Annual General Times,Hong Kong
34.50% May 16,2018 May 17,2018
General Meeting Meeting Commercial Daily
and Juchao
Website
（http://www.cnin
fo.com.cn）on May
17,2018.
The third
provisional
shareholders’
General Meeting
(No.2018-081)
The third
published on
provisional Provisional
Securities
shareholders’ shareholders’ 34.50% June 21,2018 June 22,2018
Times,Hong Kong
General meeting in General Meeting
Commercial Daily
2018
and Juchao
Website
（http://www.cnin
fo.com.cn）on June
22,2018.
2. Request for extraordinary general meeting by preferred stockholders whose voting rights restore
□ Applicable √Not applicable
II. Proposal for profit distribution and converting capital Reserve into share actual for the reporting period
□ Applicable √Not applicable
For the reporting period, the Company plans not to distribute cash dividends or bonus shares or convert capital
reserve into share capital.
21
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
III. The fulfilled commitments in the reporting period and under-fulfillment commitments by the end of the
reporting period made by the company, shareholder, actual controller, acquirer, director, supervisor,
senior management personnel and other related parities.
√ Applicable □ Not applicable
Time of
Period of
Commitmen making
Commitment Type Contents commitmen Fulfillment
t maker commitmen
t
t
Commitment on share reform No No No No No
Commitment in the acquisition
report or the report on equity No No No No No
changes
“1. Up to It has been
October fulfilled (on
13th,2014, May 21,
the related 2018, Chen
expenses of Lue paid
the the
litigation company a
and payment of
arbitration RMB
cases, 5,601,460.2
including 1 for the
the actual difference
price, between the
compensati lawsuit and
Cash
Commitments in assets on, penalty, March arbitration
Chen Lue compensati Long-term
reorganization ligation 19,2015 of parent
on
costs, etc. company
which the and
parent-subsi subsidiary
diary of Sino
companies Great Wall
of Sino Co., Ltd..
Great Wall For details
needs to pay information,
caused by please refer
the final to the
results of Announcem
ligation and ent on the
arbitration Payment of
cases, Cash by the
22
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
exceed the Controlling
amount of Shareholder
liabilities and the
which Actual
recognized Controller
in the to the
“Audit Company to
Report” Fulfill the
made for Commitme
Sino Great nt published
Wall by by the
Ruihua CPA company on
(Special the website
Ordinary of Juchao
Partnership) Information
on the basis (cninfo.com
of the audit .cn ) on
base day of May 22,
July 31st, 2018.)
2014, I
promise to
bear the
balance by
cash
uncondition
ally so as to
guarantee
the
parent-subsi
diaries of
Sino Great
Wall won’t
suffer any
loss. 2. This
commitmen
t letter is
irrevocable.
According
to“ Agreem
Performanc
ent of
Chen Lue , e May
Shenzhen Long-term Fulfilled
He Feiyan commitmen 11,2015
Victor
t
Onward
Textile
23
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Industrial
Co., Ltd.,
Chen Lue
and He
Feiyan
Concerning
on
Performanc
e
Compensati
on” and its
supplement
al
agreement ,
Chen Lue’s
promised
Sino Great
Wall that
the net
profit
deducted by
incidental
losses and
attributable
to the parent
companies’
owners after
audition of
2015, 2016
and 2017
shall be
respectively
more than
RMB 345.8
million,
RMB 438.5
million and
RMB 538.2
million. If
the net
profit of
Sino Great
Wall is less
than the
24
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
promised
net profit
mentioned
above ,
Chen Lue
and He
Feiyan will
compensate
for listed
company in
accordance
with
“Performan
ce
Compensati
on
Agreement”
and its
supplement
al
agreement
During the
assets It has been
reorganizati fulfilled (on
on, the March 29,
house 2018, the
property company
and land received
without RMB 100
property million as
certificate in the
Union
the disposed economic
Developme Income March
assets Long-term compensati
nt Group disposal 19,2015
within the on paid by
Co., Ltd.
plant area of Shenzhen
Kuixin Union
Community Developme
of Kuichong nt
Street of Investment
Longgang Co., Ltd.,
District and and
the expected promised to
compensati fulfill it.)
ons, as well
25
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
as the
expected
compensati
ons
concerning
to the
regaining of
plots
planned as
schools
within the
right of land
use of
Nanyou
Industrial
Park of
Nanshan
District
have not
been
recorded in
the
assessment.
Therefore,
Union
Group
promises
that after
the
reorganizati
on, if Union
or a third
party
appointed
by Union
receives
compensati
ons or
incomes
related
toabove-me
ntioned
disposed
assets which
26
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
are house
property
and land
without
property
certificate
as well as
regaining of
plots
planned as
schools,
Union will
return the
benefits to
Victor
Onward
Holdings, in
10 working
days since
the
collection.
The actual
costs and
fees during
the
possession
of the house
property
and land
and the paid
as well as
the unpaid
but
necessary
costs and
fees for the
reception of
the
above-menti
oned
benefits for
Union
Group or its
third party
27
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
will be
deducted
from the
income. The
specific
benefits and
payable
costs and
fees should
be
confirmed
jointly by
Union
Group and
Victor
Onward
Holdings
based on the
actual
situations.
（Notes:On
June 25,
2015,All
shareholder
s of Victor
Onward
Holdings,
Union
Group and
Sino Great
Wall Signed
supplement
ary
agreement,
and
specified
that the land
and houses
without
ownership
certificate
of Victor
Onward
Holdings
28
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
located at
the factory
area of
Kuixin
community
of Kuichong
street office
of
Longgang
district (the
land area is
about
50,000
square
meters, the
built-up
area of
houses is
about
25,000
square
meters,
among them
about
18,000
square
meters of
buildings at
built-up
area are
within the
plan of
removal and
collection of
government
，hereinafter
referred as
“undocume
nted
property)
still belongs
to Victor
Onward
Holdings.
29
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
And the
benefits and
risks of the
real estate
without
certificate
are enjoyed
and
assumed by
Victor
Onward
Holdings.”
Commitments make in initial public
No No No No No
offering or re-financing
Equity incentive commitment No No No No No
Other commitments for medium
No No No No No
and small shareholders
Completed on time(Y/N) Yes
If the commitments is not fulfilled
on time, shall explain the specify Nil
reason and the next work plan
IV. Particulars about engagement and disengagement of CPAs firm
Whether the semi-annual financial report had been audited?
□ Yes √ No
The semi-annual financial report has not been audited.
V. Explanations given by board of directors and supervisory board regarding “ Modified auditor’s” Issued
by CPAs firm for the reporting period
□ Applicable √ Not applicable
VI. Explanations given by Board of Directors regarding “ Modified auditor’s Report” Issuedfor last year
□ Applicable √ Not applicable
VII. Bankruptcy and restructuring
□ Applicable √ Not applicable
No such cases in the reporting period.
30
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VIII. Legal matters
Significant lawsuits or arbitrations
□ Applicable √ Not applicable
No such cases in the reporting period.
Other legal matters
□ Applicable √ Not applicable
IX. Punishments and rectifications
□ Applicable √ Not applicable
No such cases in the reporting period.
X. Credit conditions of the Company as well as its Controlling shareholder and actual Controller
□ Applicable √ Not applicable
XI. Equity incentive plans, employee stock ownership plans or other incentive measures for employees
√ Applicable □Not applicable
The second meeting of the seventh board of directors, the second meeting of the seventh board of supervisors and
the 2015 third extraordinary general shareholder meeting were respectively convened by the company on Nov 5,
2015 and Nov 23, 205, at which the Proposal on the First Phase of Employee Stock Ownership Plan (draft) of
Shenzhen Victor Onward Textile Industrial Co., Ltd was examined and approved.
Please refer to the published on November 7, 2015 and November 24,2015 (www.cninfo.com.cn) on the relevant
announcement.
On December 24, 2015, the company as the asset trustor of the ESOP asset management plan, together with the
asset manager- Xingzheng Securities Asset Management Co.,Ltd and the asset trustee- China Everbright Bank
Co.,Ltd signed the contract of No.57 Xing Zheng Zi Guan Xin Zhong Assets Management Contract of the
Collection Assets Management Plan which concretely explained and stipulated the information included the basic
information of the collection plan, participating in and withdrawal of the collection plan, guarantee, classification
of the collection plan, the management methods and the management rights of the customer assets in the
collection plan, the establishment of the collection plan, the expenses of the collection plan, the proceeds and its
distribution of the collection plan, investment philosophy and investment strategy, investment decision-making
and risk control, restrictions and prohibited behaviors of investment, information disclosure of the collection plan,
transfer of the share of the collection plan, non-transaction transfer ownership and freezing and so on.
Please refer to the published on December 29, 2015 (www.cninfo.com.cn) on the relevant announcement.
As of January 7, 2016, the company’s first phase of the employee stock ownership plan has completed the
share-purchasing by means of buying in the secondary security market, of which the average position price is
RMB44.7578 per share, the total purchase quantity is 833,187 shares which account for 0.1864% of the
company's total share capital, and the total turnover is RMB37,291,630. The lock-up period of the shares
purchased under the plan is 12 months commenced from the date of this announcement. Please refer to the
published on January 8, 2016 (www.cninfo.com.cn) on the relevant announcement.
On November 20, 2017, with the consent of more than two-thirds of the holders presented at the holders’
31
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
meeting, the “Proposal on the one-year extension of the company's first phase ESOP” was passed. On November
21, 2017, the company held the twenty-sixth meeting of the seventh board of directors, which reviewed and
adopted the “Proposal on the one-year extension of the company's first phase ESOP”, and according to the
voting result of the holders’ meeting, the board agreed to extend the duration of the company's first phase ESOP
by one year, meaning that the ESOP can sell shares within the afore-said extension of one year (until November
23, 2018).If the shares are not sold before the expiration of the extended one year, a further meeting of the
holders and the meeting of the board of directors can be convened two months before the expiration to consider
the follow-up matters. .Please refer to the published on November 22, 2017 (www.cninfo.com.cn) on the
relevant announcement.
XII. Material related transactions
1. Related transactions in connection with daily operation
□ Applicable √ Not applicable
No such cases in the reporting period.
2. Related-party transactions arising from asset acquisition or sold
□Applicable √ Not applicable
No such cases in the reporting period.
3. Related-party transitions with joint investments
□Applicable √ Not applicable
No such cases in the reporting period.
4. Credits and liabilities with related parties
□Applicable √ Not applicable
No such cases in the reporting period.
5. Other significant related-party transactions
√ Applicable □ Not applicable
On March 12, 2018, the company and Union Development Group Co., Ltd. and Chen Lue signed an
Agreement on the Economic Compensation for the Events after the Major Asset Restructuring Period of Shenzhen
Victor Onward Textile Industrial Co., Ltd.. On March 17, 2018, the company and Union Development Group and
Mr. Chen Lue signed a Supplementary Agreement on Agreement on the Economic Compensation for the Events
after the Major Asset Restructuring Period of Shenzhen Victor Onward Textile Industrial Co., Ltd.. On March 29,
2018, the company received RMB 100 million as the economic compensation paid by Shenzhen Union
Development Investment Co., Ltd..
32
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Website for temporary disclosure of the connected transaction
Announcement Date of disclosure Website for disclosure
Sino Great Wall ：Announcement on
Signing the Economic Compensation
March 20,2018 （http://www.cninfo.com.cn）
Agreement and Changes in Shareholders'
Commitments and Related Transactions
Sino Great Wall：Announcement on the
Supplemental Agreement for the Signing of March 20,2018 （http://www.cninfo.com.cn）
the Economic Compensation Agreement
XIII. Particulars about the non-operating occupation of funds by the Controlling shareholder and other
related parties of the Company
□Applicable √ Not applicable
The company was not involved in the non-operating occupation of funds by the controlling shareholder and other
related parties during the reporting period.
XIV. Significant contracts and execution
1.Entrustments, contracting and leasing
（1）Entrustment
□Applicable √ Not applicable
No such cases in the reporting period.
（2）Contracting
□Applicable √ Not applicable
No such cases in the reporting period.
（3）Leasing
√Applicable □ Not applicable
Notes
During the reporting period, the company's leasing expenses were mainly the company’s office space and staff
quarters’ capital expenditures.
The company's profit and loss has reached more than 10% of the company's total profit during the reporting
period
□ Applicable √ Not applicable
Nil
33
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
2.Guarantees
√ Applicable □ Not applicable
（1）Guarantees
Ten thousand
External Guarantee (Exclude controlled subsidiaries)
Relevant
Guarante
disclosur
e
e Date of Complet
Amount for
date/No. happening Actual e
Name of the of Guarantee Guarantee associate
of (Date of mount of impleme
Company Guarante type term d
the signing guarantee ntation
e parties
guarantee agreement) or not
(Yes or
d
no)
amount
Total of external guarantee Total of external guarantee
approved in the report term 0 actually occurred in the 0
(A1) report term (A2)
Total of external guarantee Total of external guarantee
approved as of end of report 0 actually occurred as of end 0
term (A3) of report term (A4)
Guarantee of the company for its subsidiaries
Amount
of
Actual date of
guarantee Amount Actual Comple Related
Guarantee occurring Type of
and date of the amount of Term ted or guarant
provided to (signing date guarantee
of guarantee guarantee not ee
of agreements
disclosur
e
The joint
Sino April 15, January
70,000 70,000 liability 1 year No No
International 2016 16,2017
guaranty
The joint
Sino April 28, February
12,000 12,000 liability 1 year No No
International 2017 12,2018
guaranty
The joint
Sino April 28, March
12,000 12,000 liability 1 year No No
International 2017 12,2018
guaranty
The joint
Sino April 15,
20,000 April 11,2017 20,000 liability 1 year No No
International 2016
guaranty
The joint
Sino April 28,
12,000 June 7,2017 12,000 liability 1 year No No
International 2017
guaranty
34
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
The joint
Sino April 28,
40,000 June 25,2017 40,000 liability 1 year No No
International 2017
guaranty
The joint
Sino April 28,
22,000 June 30,2017 22,000 liability 1 year No No
International 2017
guaranty
The joint
Sino April 28, October
20,000 20,000 liability 1 year No No
International 2017 18,2017
guaranty
The joint
Sino April 28, November
10,000 10,000 liability 1 year No No
International 2017 22,2017
guaranty
The joint
Sino April 28, November
10,000 10,000 liability 1 year No No
International 2017 30,2017
guaranty
The joint
Sino April 28, January
20,000 20,000 liability 1 year No No
International 2017 10,2018
guaranty
The joint
Sino April 28, February
8,000 8,000 liability 1 year No No
International 2017 13,2018
guaranty
The joint
Sino April 15, March
8,400 8,400 liability 30 months No No
International 2016 31,2017
guaranty
Wuhan The joint
April 15, 10,889.8 January
Commercial 10,889.81 liability 3 years No No
2016 1 18,2017
Worker Hospital guaranty
The joint
Sino Great Wall April 28, September
5,000 5,000 liability 1 year No No
Jianye 2017 30,2017
guaranty
Total of guarantee for Total of actual guarantee
subsidiaries 1,000,000 for subsidiaries in the 52,000
approved in the Period (B1) Period (B2)
Total of guarantee for Total of actual guarantee
subsidiaries 1,000,000 for subsidiaries at 280,289.81
approved at Period-end (B3) Period-end (B4)
Guarantee of the subsidiaries for the controlling subsidiaries
Relevant Comple Guaran
Name of the Amount Date of Actual Guarantee Guarantee
disclosur te tee
Company of happening mount of type term
e implem for
35
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
guaranteed date/No. guarantee (Date o guarantee entation associat
of signing or ed
the agreement) not parties
guarantee (Yes or
d no)
amount
Total amount of guarantee to
Total guarantee quota to the
the subsidiaries actually
subsidiaries approved in the 0 0
incurred in the reporting
reporting period (C1)
period (C2)
Total guarantee quota to the Total balance of actual
subsidiaries approved at the guarantee to the subsidiaries
0 0
end of the reporting period at the end of the reporting
(C3) period (C4)
Total of Company’s guarantee（namely total of the large three aforementioned）
Total of guarantee in the
Total of actual guarantee in
Period 1,000,000 52,000
the Period（A2+B2+C2）
（A1+B1+C1）
Total of actual guarantee at
Total of guarantee at
1,000,000 Period-end 280,289.81
Period-end（A3+B3+C3）
（A4+B4+C4）
The actual total amount of guarantee (namely A4+B4+C4)
127.08%
accounts for the proportion of the company's net assets
Including：
Balance of security for shareholders, actual controllers and
0
their affiliates (D)
Debt guarantee balance (E) provided directly or indirectly to
the insured object with the asset-liability ratio exceeding 0
70%
Amount secured in excess of 50% of net assets (F) 0
Total amount of the above three guarantees (D+E+F) 0
Explanations on possibly bearing joint and several
None
liquidating responsibilities for undue guarantees ( If any)
Explanations on external guarantee against regulated
None
procedures(If any)
Description of the guarantee with complex method
（2）Illegal providing of external guarantees
□ Applicable √Not applicable
36
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
No illegal providing of external guarantees in the report period.
3. Other significant contracts
√ Applicable □ Not applicable
The
The
asses
book
sed
value
value
of the Nam
The The of the Whet The
The assets e of The
name date assets Barg her perfo
name invol the base The
of the Contr of invol Prici ain conn Incid rman
of the ved evalu date date
contr act signa ved ng price( ected ence ce by
contr in the ation evalu of Index
actin objec ture in the princi ten trans relati the
acted contr organ ation( discl
g t of the contr ples thous actio on end
comp act izatio If osure
comp contr act(te and） n(Y/ of the
any (ten n(If any)
any act n N) term
thous any）
thous
and）
and）
（If
（If
any）
any）
Us Some
$30 desig
milli n
Please
Deve on work
refer to
lopm (RM has
the
ent B been
published
Sino proje 19,02 comp
on
Great ct of 84 leted,
February
Wall the milli the
14,
Inter Jubil on, of const
UPL Febru Febru The Febru 2018(ww
natio ee whic Do ructio
Laos ary ary mark ary w.cninfo.
nal Speci None None None h us No not n
Co., 14,20 14,20 et 14,20 com.cn)
Engi al $10 apply team
Ltd. 18 18 price 18 on the
neeri Econ milli has
relevant
ng omic on in enter
announce
Co., Zone cash ed
ment.(An
Ltd. in and the
nounceme
Vient us site,
nt
iane, $20 and
No.2018-
Laos milli the
025)
on in basic
const temp
ructio orary
37
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
n const
cushi ructio
on) n
facilit
ies
have
been
XV. Social responsibilities
1.Major environmental protection
The Listed Company and its subsidiary whether belongs to the key sewage units released from environmental
protection department
No
1. Fulfilling the Social responsibility of Precision Poverty Alleviation
(1) Precise poverty alleviation plan
The company has no precise social responsibility for poverty alleviation in theperiodand bas no follow-up plan
either.
（2）Half-year poverty relieving summary
（3）Information of the listed company’s annual work in targeted poverty alleviation
（4）Subsequent targeted poverty alleviation program
Nil
XVI. Other material events
√ Applicable □Not applicable
On January 4, 2018, the China Securities Regulatory Commission's approval of the company's non-public
offering of shares expired. Please refer to the published the relevant announcement published on Securities times,
Hongkong Commercial Daily and www.cninfo.com.cn) on January 6, 2018.
XVII. Material events of subsidiaries
□ Applicable √ Not applicable
38
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VI. Change of share capital and shareholding of Principal Shareholders
I. Changes in share capital
1. Changes in share capital
In shares
Before the change Increase/decrease（+，-） After the Change
Amount Proporti Capitali
on zation
Share of
Bonus Quantit Proporti
allotme commo Other Subtotal
shares y on
nt n
reserve
fund
I. Share with conditional 681,305 681,523
40.12% 218,475 218,475 40.13%
subscription ,436 ,911
681,305 681,523
3.Other domestic shares 40.12% 218,475 218,475 40.13%
,436 ,911
Of which：Domestic 42,479, 42,479,
2.50% 0 0 2.50%
legal person shares 672 672
Domestic natural person 638,825 639,044
37.62% 218,475 218,475 37.63%
shares ,764 ,239
II. Shares with
1,016,9 -218,47 -218,47 1,016,7
unconditional 59.88% 59.87%
39,575 5 5 21,100
subscription
1.Common shares in 753,136 -218,47 -218,47 752,917
44.34% 44.34%
RMB ,344 5 5 ,869
.Foreign shares in 263,803 263,803
15.54% 0 0 15.53%
domestic market ,231 ,231
III. Total of capital 1,698,2 100.00 1,698,2 100.00
0 0
shares 45,011 % 45,011 %
Reasons for share changed:
□ Applicable √ Not applicable
Approval of Change of Shares
□ Applicable √ Not applicable
Ownership transfer of share changes
□ Applicable √ Not applicable
39
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to
common shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security
regulators
□ Applicable √ Not applicable
2. Change of shares with limited sales condition
√ Applicable □Not applicable
In shares
Number of
Number of Restricted
Initial Increased Reason for Date of
Shareholder Unrestricted Shares in the
Restricted Restricted Restricted Restriction
Name Shares This End of the
Shares Shares This Shares Removal
Term Term
Term
The major asset
restructuring
and the issue of
October
Chen Lue 525,344,262 0 0 525,344,262 shares to
14,2018
purchase assets
and raise
matching funds
The major asset
restructuring
and the issue of
November
Chen Lue 55,995,934 0 0 55,995,934 shares to
27,2018
purchase assets
and raise
matching funds
Executive
Chen Lue 382,500 382,500 0 0 Not applicable
locking stock
The major asset
restructuring
and the issue of
October
He Feiyan 54,800,458 0 0 54,800,458 shares to
14,2018
purchase assets
and raise
matching funds
The major asset
October
He Sen 1,637,435 0 0 1,637,435 restructuring
14,2018
and the issue of
40
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
shares to
purchase assets
and raise
matching funds
Jiutai Fund－
Bank of The major asset
Communicatio restructuring
ns－Jiutai and the issue of
November
Huitong No.2 42,479,672 0 0 42,479,672 shares to
27,2018
specific purchase assets
customer asset and raise
management matching fund
plan
Executive
Li Erlong 619,050 0 0 619,050 Not applicable
locking stock
Executive
Yang Chunling 46,125 0 0 46,125 Not applicable
locking stock
Executive
Liang Rong 0 0 600,975 600,975 Not applicable
locking stock
Total 681,305,436 382,500 600,975 681,523,911 -- --
II.Issuing and listing
□ Applicable √ Not applicable
III. Shareholders and shareholding
In Shares
Total number of preferred
Total number of common shareholders that had restored
shareholders at the end of the
73,328 0
the voting right at the end of the
reporting period reporting period (if any) (note
8)
Shareholding of shareholders holding more than 5% shares
Number Number of share
Amount Amount
Proportio of Changes pledged/frozen
of of
Nature of n of shares in
Shareholders restricte un-restric
shareholder shares held at reporting State of
d shares ted shares Amount
held（%） period period share
held held
-end
41
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Domestic 583,454 581,340
Chen Lue 34.36% 0 2,114,360 Pledge 583,454,556
Natural person ,556 ,196
STYLE-SUC
Foreign legal 92,970, 92,970,91
CESS 5.47% 0 0
person 910 0
LIMITED
Union Domestic Non-
87,935, 87,935,92
Holdings Co., State-owned 5.18% 0 0
921 1
Ltd. legal person
Domestic 54,800, 54,800,
He Feiyan 3.23% 0 0 Pledge 54,000,000
Natural person 458 458
Jiutai Fund－
Bank of
Communicati
ons － Jiutai
Huitong No.2 42,479, 42,479,
Other 2.50% 0 0
specific 672 672
customer
asset
management
plan
Rich Crown
Foreign legal 23,235, 23,235,31
Investment 1.37% 0 0
person 313 3
Co., Ltd.
Qinghai Heyi
Domestic Non-
Industry 13,357, 13,357,08
State-owned 0.79% 0 0 Pledge 13,357,000
Development 084 4
legal person
Co., Ltd.
Domestic 11,015, 11,015,10
Zhang Xubao 0.65% 3,148,900 0
Natural person 100 0
Huang Domestic 10,000, 10,000,00
0.59% 1,493,000 0
Huaian Natural person 000 0
Song Domestic 8,575,9
0.50% 7,255,981 0 8,575,981
Wenguang Natural person 81
Strategy investors or general legal
person becomes top 10
Nil
shareholders due to rights issued
(if applicable)See Notes 3）
The largest shareholder of Mr. Chen Lue and the Fourth largest shareholder of Ms. He
Explanation on associated
Feiyan aforesaid are persons acting in concern; The controlling shareholder of the
relationship among the aforesaid
above-mentioned third shareholder Shenzhen Union Holdings Co.,Ltd. And Sixth
shareholders
shareholder Rich Crown Investment Co., Ltd.. Is Union Development Group Ltd. whether
42
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
the other shareholders have associated relations are unknown.
Shareholding of top 10 shareholders of unrestricted shares
Quantity of unrestricted shares held at the end of the Share type
Name of the shareholder
reporting period Share type Quantity
Foreign shares
placed in
STYLE-SUCCESS LIMITED 92,970,910 92,970,910
domestic
exchange
RMB Common
Union Holdings Co., Ltd. 87,935,921 87,935,921
shares
Foreign shares
placed in
Rich Crown Investment Co., Ltd. 23,235,313 23,235,313
domestic
exchange
Qinghai Heyi Industry RMB Common
13,357,084 13,357,084
Development Co., Ltd. shares
RMB Common
Zhang Xubao 11,015,100 11,015,100
shares
RMB Common
Huang Huaian 10,000,000 10,000,000
shares
RMB Common
Song Wenguang 8,575,981 8,575,981
shares
RMB Common
Li Guanping 8,132,700 8,132,700
shares
RMB Common
Zheng Qianghui 5,485,820 5,485,820
shares
RMB Common
Chen Lihong 4,683,460 4,683,460
shares
Explanation on associated
relationship or consistent action
among the top 10 shareholders of
non-restricted negotiable shares The controlling shareholder of the above-mentioned shareholder Shenzhen Union Holdings
and that between the top 10 Ltd. and shareholder Rich Crown Investment Co., Ltd.. Is Union Development Group Ltd.
shareholders of non-restricted
negotiable shares and top 10
shareholders
Notes to the shareholders
involved in financing securities Nil
(if any)(See Notes 4)
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a
43
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
buy-back agreement dealing in reporting period.
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy –back agreement dealing in reporting period.
IV. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable √ Not Applicable
There was no any change of the controlling shareholder of the Company in the reporting period.
Change of the actual controller in the reporting period
□ Applicable √ Not applicable
There was no any change of the actual controller of the Company in the reporting period.
44
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VII. Situation of the Preferred Shares
□Applicable √Not applicable
The Company had no preferred shares in the reporting period
45
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VIII. Information about Directors, Supervisors and Senior Executives
I. Change in shares held by directors, supervisors and senior executives
√ Applicable □Not applicable
Amount Amount Number of
Number of
of shares of shares Shares restricted
Shares restricted Number of
increase decrease held at stock
held at stock restricted stock
Office d at the d at the the granted at
Name Position the granted at granted at the
status reportin reportin year-end the
year-beg the year-ending(sh
g g ing reporting
in(share) year-begin are)
period(s period(s （share） period(shar
. share)
hare) hare) e)
Chen Chairma 583,454, 583,454,
In office 0 0 0 0 0
Lue n 556 556
Vice
Chairma
Li
n, In office 825,400 0 0 825,400 0 0 0
Erlong
Deputy
GM
Vice
Chairma
Liang
n, In office 0 801,300 0 801,300 0 0 0
Rong
Deputy
GM
Secretar
Yang
y to the
Chunlin In office 61,500 0 0 61,500 0 0 0
board of
g
directors
584,341, 585,142,
Total 801,300 0 0 0 0
456 756
II. Change in shares held by directors, supervisors and senior executives
√ Applicable □Not applicable
Name Positions Types Date Reason
Elected as a non-independent director in the first
Tian Wei Director Appointment March 28,2018
Provisional shareholders’ general meeting of 2018
Bai Bin Director Dimission January 18,2018 Resigned due to personal reasons
Chairman of
Dong Binggen Dimission June 21,2018 Resigned due to personal reasons
the supervisory
46
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
committee
Elected as shareholder Representative Supervisor in
Chairman of the third Provisional shareholders’ general meeting of
Fang
the supervisory Appointment June 21,2018 2018 , The chairman of the supervisory committee
Xianzhong
committee was elected by the 21st meeting of seventh
supervisory committee .
47
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
IX. Corporate Bond
Whether the company has corporate bonds that have been publicly issued and listed on the stock exchange, and
not yet due or due butnot folly cashed on the approval date of annual report
No
48
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
X. Financial Report
I. Audit report
Has this semi-annual report been audited?
□ Yes √ No
The semi-annual financial report has not been audited.
II. Financial statements
Currency unit for the statements in the notes to these financial statements:RMB
1.Consolidated Balance sheet
Prepared by : Sino Great Wall Co., Ltd.
June 30,2018
Items Year-end balance Year-beginning balance
Current asset：
Cash and bank balances 1,374,597,109.50 1,604,973,916.12
Settlement provision
Outgoing call loan
Financial assets measured at fair
value with variations accounted into
current income account
Derivative financial assets
Note receivable 392,028,545.46 288,201,562.88
Account receivable 5,031,464,951.12 5,706,675,244.08
Prepayments 214,849,286.28 225,208,527.88
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts
receivable
Interest receivable
Dividend receivable
Other account receivable 1,444,685,359.48 1,674,675,360.28
Repurchasing of financial assets
49
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Inventories 745,455,718.17 556,839,325.50
Assets held for sales
Non-current asset due in 1 year
Other current asset 16,047,813.14 17,126,911.05
Total of current assets 9,219,128,783.15 10,073,700,847.79
Non-current assets：
Loans and payment on other’s
behalf disbursed
Disposable financial asset 10,338,500.00 10,338,500.00
Expired investment in possess
Long-term receivable 16,151,975.94 14,328,557.82
Long term share equity investment
Property investment
Fixed assets 331,425,276.47 174,537,150.56
Construction in progress 707,700.59 4,968,590.96
Engineering material
Fixed asset pending for disposal
Productive biological assets
Gas & petrol
Intangible assets 170,804,965.85 127,524,445.00
R & D petrol
Goodwill 57,769,954.64 64,494,271.55
Long-germ expenses to be amortized 11,605,439.50 10,124,913.15
Differed income tax asset 117,065,718.40 118,233,337.36
Other non-current asset 1,090,567,331.91 1,069,594,572.11
Total of non-current assets 1,806,436,863.30 1,594,144,338.51
Total of assets 11,025,565,646.45 11,667,845,186.30
Current liabilities
Short-term loans 2,798,513,481.24 3,477,200,420.55
Loan from Central Bank
Deposit received and hold for others
Call loan received
Financial liabilities measured at fair
value with variations accounted into
current income account
50
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Derivative financial liabilities
Notes payable 882,244,105.35 906,597,988.15
Account payable 1,226,462,217.35 1,719,579,087.62
Advance payment 129,051,847.05 146,379,852.67
Selling of repurchased financial
assets
Fees and commissions receivable
Employees’ wage payable 48,918,732.49 21,911,542.07
Tax payable 464,390,232.27 357,445,477.71
Interest payable 1,776,077.61 16,105,263.85
Dividend payable
Other account payable 1,322,713,803.81 520,965,421.13
Reinsurance fee payable
Insurance contract provision
Entrusted trading of securities
Entrusted selling of securities
Liabilities held for sales
Non-current liability due in 1 year 487,657,918.14 820,422,471.45
Other current liability 121,529,600.95
Total of current liability 7,361,728,415.31 8,108,137,126.15
Non-current liabilities：
Long-term loan 873,089,164.49 843,092,471.02
Bond payable 345,000,000.00 345,000,000.00
Including：preferred stock
Sustainable debt
Long-term payable 63,606,067.75 81,945,567.86
Long-term payable employee’s
remuneration
Special payable
Expected liabilities 2,958,723.15 3,414,189.15
Deferred income 5,999,151.77
Deferred income tax liability 51,894,878.61 26,088,961.71
Other non-current liabilities
Total non-current liabilities 1,342,547,985.77 1,299,541,189.74
Total of liability 8,704,276,401.08 9,407,678,315.89
51
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Owners’ equity
Share capital 1,698,245,011.00 1,698,245,011.00
Other equity instruments
Including：preferred stock
Sustainable debt
Capital reserves -1,299,349,701.74 -1,299,349,701.74
Less：Shares in stock
Other comprehensive income 595,233.77 858,242.13
Special reserves 70,539,291.65 164,231,078.18
Surplus reserves 84,394,441.23 84,394,441.23
Common risk provision
Undistributed profit 1,651,166,244.75 1,503,103,396.72
Total of owner’s equity belong to the
2,205,590,520.66 2,151,482,467.52
parent company
Minority shareholders’ equity 115,698,724.71 108,684,402.89
Total of owners’ equity 2,321,289,245.37 2,260,166,870.41
Total of liabilities and owners’ equity 11,025,565,646.45 11,667,845,186.30
Legal Representative: Chen Lue
Person in charge of accounting：Tang Xianyong
Accounting Dept Leader: Tang Xianyong
2. Balance sheet of Parent Company
In RMB
Items Year-end balance Year-beginning balance
Current asset：
Cash and bank balances 343,246,908.78 407,959,304.60
Financial assets measured at fair
value with variations accounted into
current income account
Derivative financial assets
Note receivable
Account receivable
Prepayments 3,865,500.01
52
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Interest receivable
Dividend receivable 100,000,000.00 100,000,000.00
Other account receivable 2,891,108,093.08 3,590,967,483.22
Inventories
Assets held for sales
Non-current asset due in 1 year
Other current asset 2,175,646.45
Total of current assets 3,334,355,001.86 4,104,967,934.28
Non-current assets：
Disposable financial asset
Expired investment in possess
Long-term receivable
Long term share equity investment 3,311,211,536.66 3,311,211,536.66
Property investment
Fixed assets 44,308.72 52,246.48
Construction in progress
Engineering material
Fixed asset disposal
Production physical assets
Gas & petrol
Intangible assets
R & D petrol
Goodwill
Long-germ expenses to be amortized 2,216,225.79 168,284.84
Deferred income tax asset
Other non-current asset 627,328,020.00 550,524,570.00
Total of non-current assets 3,940,800,091.17 3,861,956,637.98
Total of assets 7,275,155,093.03 7,966,924,572.26
Current liabilities
Short-term loans 1,581,526,356.46 2,287,870,000.00
Financial liabilities measured at fair
value with variations accounted into
current income account
Derivative financial liabilities
Bill payable 542,227,578.11 537,227,578.11
53
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Account payable
Advance payment
Employees’ wage payable 4,549,255.24 1,580,335.12
Tax payable 94,559,237.00 97,124,633.81
Interest payable 13,002,236.21
Dividend payable
Other account payable 733,968,463.15 379,420,427.54
Liabilities held for sales
Non-current liability due in 1 year 410,000,000.00 700,000,000.00
Other current liability
Total of current liability 3,366,830,889.96 4,016,225,210.79
Non-current liabilities：
Long-term loan 766,250,000.00 800,000,000.00
Bond payable 100,000,000.00 100,000,000.00
Including：preferred stock
Sustainable debt
Long-term payable
Employees’ wage payable
Special payable
Expected liabilities
Deferred income
Deferred income tax liability
Other non-current liabilities
Total of Non-current liabilities 866,250,000.00 900,000,000.00
Total of liability 4,233,080,889.96 4,916,225,210.79
Owners’ equity
Share capital 1,698,245,011.00 1,698,245,011.00
Other equity instrument
Including：preferred stock
Sustainable debt
Capital reserves 1,237,956,472.37 1,237,956,472.37
Less：Shares in stock
Other comprehensive income
Special reserves
54
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Surplus reserves 26,309,287.00 26,309,287.00
Undistributed profit 79,563,432.70 88,188,591.10
Total of owners’ equity 3,042,074,203.07 3,050,699,361.47
Total of liabilities and owners’ equity 7,275,155,093.03 7,966,924,572.26
3.Consolidated Income Statement
In RMB
Items Report period Same period of the previous year
I. Income from the key business 1,586,971,575.24 3,025,082,356.80
Incl：Business income 1,586,971,575.24 3,025,082,356.80
Interest income
Insurance fee earned
Fee and commission received
II. Total business cost 1,608,871,904.01 2,693,735,290.45
Incl：Business cost 1,312,212,102.46 2,319,598,615.76
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Insurance policy dividend paid
Insurance policy dividend paid
Reinsurance expenses
Business tax and surcharge 2,106,518.05 1,942,587.29
Sales expense 16,521,622.08 18,094,586.39
Administrative expense 127,907,861.56 125,176,758.15
Financial expenses 145,939,925.19 139,811,809.59
Asset impairment loss 4,183,874.66 89,110,933.27
Add：Gains from change of fir value
（“-”for loss）
Investment gain（“-”for loss） 5,171,892.51
Incl: investment gains from affiliates
Gains from currency exchange
（“-”for loss）
Assets disposal income
55
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other income
III. Operational profit（“-”for loss） -16,728,436.26 331,347,066.35
Add ：Non-operational income 179,220,495.20 4,444,624.78
Less：Non business expenses 636,300.61 93,122.33
IV. Total profit(“-”for loss) 161,855,758.33 335,698,568.80
Less：Income tax expenses 18,790,236.79 56,227,138.25
V. Net profit 143,065,521.54 279,471,430.55
1.Net continuing operating profit
2.Termination of operating net profit
Net profit attributable to the owners of
143,999,455.72 268,606,450.03
parent company
Minority shareholders’ equity -933,934.18 10,864,980.52
VI. Other comprehensive income -263,008.36
Net of profit of other comprehensive in
come attributable to owners of the pare -263,008.36
nt company.
（I）Other comprehensive income
items that will not be reclassified into
gains/losses in the subsequent
accounting period
1.Re-measurement of defined benefit pl
ans of changes in net debt or net assets
2.Other comprehensive income under t
he equity method investee can not be re
classified into profit or loss.
（II）
Other comprehensive income that will -263,008.36
be reclassified into profit or loss.
1.Other comprehensive income under t
he equity method investee can be reclas
sified into profit or loss.
2.Gains and losses from changes in fair
value available for sale financial assets
3.Held-to-maturity investments reclassi
fied to gains and losses of available for
sale financial assets
4.The effective portion of cash flow he
dges and losses
56
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
5.Translation differences in currency fi
-263,008.36
nancial statements
6.Other
Net of profit of other comprehensive in
come attributable to Minority
shareholders’ equity
VII. Total comprehensive income 142,802,513.18 279,471,430.55
Total comprehensive income
attributable to the owner of the parent 143,736,447.36 268,606,450.03
company
Total comprehensive income
-933,934.18 10,864,980.52
attributable minority shareholders
VIII. Earnings per share
（I）Basic earnings per share 0.0848 0.16
(II)Diluted earnings per share 0.0848 0.16
The current business combination under common control, the net profits of the combined party before achieved ne
t profit of RMB 0 last period the combined party realized RMB 0
Legal Representative: Chen Lue
Person in charge of accounting：Tang Xianyong
Accounting Dept Leader: Tang Xianyong
4. Income statement of the Parent Company
In RMB
Items Report period Same period of the previous year
I. Income from the key business 117,362.07 111,018.01
Incl：Business cost 1,482.50
Business tax and surcharge 244,690.66
Sales expense 994,445.50
Administrative expense 17,904,118.30 10,577,092.07
Financial expenses 81,405,456.80 37,367,434.56
Asset impairment loss 8,438,499.87 -57,423.85
57
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Add：Gains from change of fir
value （“-”for loss）
Investment gain（“-”for loss）
Incl: investment gains from
affiliates
Assets disposal income
Other income
II. Operational profit（“-”for loss） -108,625,158.40 -48,022,257.93
Add ：Non-operational income 100,000,000.00
Less：Non business expenses
III.Total profit(“-”for loss) -8,625,158.40 -48,022,257.93
Less：Income tax expenses
IV. Net profit（“-”for net loss） -8,625,158.40 -48,022,257.93
1.Net continuing operating profit
2.Termination of operating net profit
V.Net of profit of other comprehensiv
e income
（I）Other comprehensive income
items that will not be reclassified into
gains/losses in the subsequent
accounting period
1.Re-measurement of defined benefit
plans of changes in net debt or net ass
ets
2.Other comprehensive income under
the equity method investee can not b
e reclassified into profit or loss.
（ II ）
Other comprehensive income that wil
l be reclassified into profit or loss.
1.Other comprehensive income under
the equity method investee can be re
58
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
classified into profit or loss.
2.Gains and losses from changes in fa
ir value available for sale financial as
sets
3.Held-to-maturity investments reclas
sified to gains and losses of available
for sale financial assets
4.The effective portion of cash flow h
edges and losses
5.Translation differences in currency
financial statements
6.Other
VI. Total comprehensive income -8,625,158.40 -48,022,257.93
VII. Earnings per share：
（I）Basic earnings per share
(II)Diluted earnings per share
5. Consolidated Cash flow statement
In RMB
Items Report period Same period of the previous year
I.Cash flows from operating activities
Cash received from sales of goods or
2,448,493,180.76 1,722,890,541.67
rending 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
Net cash received from reinsurance
business
Net increase of client deposit and
investment
59
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Net increase of trade financial asset
disposal
Cash received as interest, processing
fee and commission
Net increase of inter-bank fund
received
Net increase of repurchasing business
Tax returned 3,369,607.31 10,169,861.98
Other cash received from business
3,596,297,555.25 2,967,473,297.47
operation
Sub-total of cash inflow 6,048,160,343.32 4,700,533,701.12
Cash paid for purchasing of
2,123,943,719.36 1,452,656,023.95
merchandise and services
Net increase of client trade and
advance
Net increase of savings n 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 172,389,891.23 181,877,746.19
Taxes paid 75,707,443.61 157,274,185.63
Other cash paid for business activities 2,577,954,923.49 3,444,723,325.54
Sub-total of cash outflow from
4,949,995,977.69 5,236,531,281.31
business activities
Cash flow generated by business
1,098,164,365.63 -535,997,580.19
operation, net
II. Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment gains
Net cash retrieved from disposal of
fixed assets, intangible assets, and 432,865.55
other long-term assets
Net cash received from disposal of
1,062,398.45
subsidiaries or other operational units
60
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other investment-related cash
received
Sub-total of cash inflow due to
1,495,264.00
investment activities
Cash paid for construction of
fixed assets, intangible assets 12,179,377.50 18,675,205.60
and other long-term assets
Cash paid as investment 226,429,730.78 246,074,074.84
Net increase of loan against pledge
Net cash received from subsidiaries
-35,622,112.04 470,000.00
and other operational units
Other cash paid for investment
activities
Sub-total of cash outflow due to
202,986,996.24 265,219,280.44
investment activities
Net cash flow generated by
-201,491,732.24 -265,219,280.44
investment
III.Cash flow generated by financing
Cash received as investment 490,000.00 2,753,197,500.00
Incl: Cash received as investment
from minor shareholders
Cash received as loans 1,170,509,245.00
Cash received from bond placing
Other financing –related ash received
Sub-total of cash inflow from
1,170,999,245.00 2,753,197,500.00
financing activities
Cash to repay debts 2,282,455,158.52 1,349,438,184.19
Cash paid as dividend, profit, or
169,918,204.82 95,084,766.20
interests
Incl: Dividend and profit paid by
subsidiaries to minor shareholders
Other cash paid for financing
60,833.33
activities
Sub-total of cash outflow due to
2,452,373,363.34 1,444,583,783.72
financing activities
Net cash flow generated by financing -1,281,374,118.34 1,308,613,716.28
IV. Influence of exchange rate -4,502,184.53 -4,628,437.71
61
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
alternation on cash and cash
equivalents
V.Net increase of cash and cash
-389,203,669.48 502,768,417.94
equivalents
Add: balance of cash and cash
647,222,590.49 943,705,322.41
equivalents at the beginning of term
VI ..Balance of cash and cash
258,018,921.01 1,446,473,740.35
equivalents at the end of term
6. Cash Flow Statement of the Parent Company
In RMB
Items Amount in this period Amount in last period
I.Cash flows from operating activities
Cash received from sales of goods or
128,210.00
rending of services
Tax returned
Other cash received from business
3,329,634,571.90 2,072,983,202.47
operation
Sub-total of cash inflow 3,329,634,571.90 2,073,111,412.47
Cash paid for purchasing of
merchandise and services
Cash paid to staffs or paid for staffs 626,668.10 219,753.50
Taxes paid 1,012,217.08 147,356.70
Other cash paid for business activities 2,256,119,534.57 2,697,856,678.81
Sub-total of cash outflow from
2,257,758,419.75 2,698,223,789.01
business activities
Cash flow generated by business
1,071,876,152.15 -625,112,376.54
operation, net
II.Cash flow generated by investing
Cash received from investment
retrieving
Cash received as investment gains
Net cash retrieved from disposal of
fixed assets, intangible assets, and
other long-term assets
Net cash received from disposal of
subsidiaries or other operational units
62
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other investment-related cash
received
Sub-total of cash inflow due to
investment activities
Cash paid for construction of
fixed assets, intangible assets 65,440.00
and other long-term assets
Cash paid as investment 13,000,000.00 135,075,100.00
Net cash received from subsidiaries
5,000,000.00
and other operational units
Other cash paid for investment
activities
Sub-total of cash outflow due to
13,000,000.00 140,140,540.00
investment activities
Net cash flow generated by
-13,000,000.00 -140,140,540.00
investment
III.Cash flow generated by financing
Cash received as investment
Cash received as loans 755,650,000.00 1,908,030,000.00
Cash received from bond placing
Other financing –related ash received
Sub-total of cash inflow from
1,690,650,010.00 1,908,030,000.00
financing activities
Cash to repay debts 1,783,743,643.54 820,000,000.00
Cash paid as dividend, profit, or
91,415,896.63 70,346,435.20
interests
Other cash paid for financing
60,833.33
activities
Sub-total of cash outflow due to
1,875,159,540.17 890,407,268.53
financing activities
Net cash flow generated by financing -1,119,509,540.17 1,017,622,731.47
IV. Influence of exchange rate
alternation on cash and cash 0.00
equivalents
V.Net increase of cash and cash
-60,633,388.02 252,369,814.93
equivalents
Add: balance of cash and cash
99,547,899.86 168,691,344.34
equivalents at the beginning of term
63
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
VI ..Balance of cash and cash
38,914,511.84 421,061,159.27
equivalents at the end of term
7. Consolidated Statement on Change in Owners’ Equity
Amount in this period
In RMB
Amount in this period
Owner’s equity Attributable to the Parent Company
Mino
Other Equity Total
Other r
instrument Com of
Shar Capit Less: Comp Speci Surpl Retai share
Items owne
pref mon
e al Share rehen alized us ned holde
risk rs’
erre Sust rs’
Capi Oth reserv s in sive reserv reserv profit
provi equit
d aina equit
tal er es stock Inco e es s
stoc ble sion y
me y
k debt
1,69 -1,29 1,503 2,260
164,2 84,39 108,6
I. Balance at the 8,24 9,349 858,2 ,103, ,166,
31,07 4,441 84,40
end of last year 5,01 ,701. 42.13 396.7 870.4
8.18 .23 2.89
1.00 74 2 1
Add: Change of
accounting
policy
Correcting of
previous errors
Merger of
entities under
common control
Other
1,69 -1,29 1,503 2,260
II.Balance at the 164,2 84,39 108,6
8,24 9,349 858,2 ,103, ,166,
beginning of 31,07 4,441 84,40
5,01 ,701. 42.13 396.7 870.4
current year 8.18 .23 2.89
1.00 74 2 1
-263, -93,6 148,0 7,014 61,12
III.Changed in
008.3 91,78 62,84 ,321. 2,374
the current year
6 6.53 8.03 82 .96
（1）Total -263, 143,9 -933, 142,8
comprehensive 008.3 99,45 934.1 02,51
income 6 5.72 8 3.18
64
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
（II）Investment
4,063 7,948 12,01
or decreasing of
,392. ,256. 1,648
capital by
31 00 .31
owners
1 ． Ordinary Sh
ares invested by
shareholders
2．Holders of ot
her equity instru
ments invested c
apital
3．Amount of
shares paid and
accounted as
owners’ equity
4,063 7,948 12,01
4．Other ,392. ,256. 1,648
31 00 .31
（III）Profit
allotment
1.Providing of
surplus reserves
2.Providing of
common risk
provisions
3．Allotment to
the owners (or
shareholders)
4．Other
(IV) Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
65
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
3．Making up
losses by surplus
reserves.
4. Other
-93,6 -93,6
(V). Special
91,78 91,78
reserves
6.53 6.53
7,271 7,271
1. Provided this
,059. ,059.
year
70 70
-100, -100,
2．Used this
962,8 962,8
term
46.23 46.23
（VI）Other
1,69 -1,29 1,651 2,321
IV. Balance at 70,53 84,39 115,6
8,24 9,349 595,2 ,166, ,289,
the end of this 9,291 4,441 98,72
5,01 ,701. 33.77 244.7 245.3
term .65 .23 4.71
1.00 74 5 7
Amount in last year
In RMB
Amount in last year
Owner’s equity Attributable to the Parent Company
Mino
Other Equity Total
Other r
instrument Com of
Shar Capit Less: Comp Speci Surpl Retai share
Items mon own
pref holde
e al Share rehen alized us ned
erre Sust risk ers’
Capi reserv s in sive reserv reserv profit rs’
Oth equit
d aina provi
tal es stock Inco e es s equit
er y
stoc ble sion
me y
k debt
1,69 -1,29 1,830
65,68 84,39 1,228, 52,53
I.Balance at the 8,24 9,349 ,482,
7,868 4,441 970,4 4,755
end of last year 5,01 ,701. 872.5
.14 .23 98.86 .10
1.00 74 9
Add: Change of
accounting
policy
Correcting of
previous errors
Merger of
entities under
66
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
common control
Other
1,69 -1,29 1,830
II.Balance at the 65,68 84,39 1,228, 52,53
8,24 9,349 ,482,
beginning of 7,868 4,441 970,4 4,755
5,01 ,701. 872.5
current year .14 .23 98.86 .10
1.00 74 9
-4,22 16,14 166,7 13,90 192,5
III.Changed in
2,250 0,019 11,74 8,372 37,89
the current year
.95 .54 9.37 .83 0.79
（1）Total 268,6 10,86 279,4
comprehensive 06,45 4,980 71,43
income 0.03 .52 0.55
（II）Investment
-4,22 3,043 -1,17
or decreasing of
2,250 ,392. 8,858
capital by
.95 31 .64
owners
1 ． Ordinary Sh
ares invested by
shareholders
2．Holders of ot
her equity instru
ments invested c
apital
3．Allotment to
the owners (or
shareholders)
-4,22 3,043 1,178
4．Other 2,250 ,392. ,858.
.95 31 64
(IV) Internal -101, -101,
transferring of 894,7 894,7
owners’ equity 00.66 00.66
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
67
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
3．Making up -101, -101,
losses by surplus 894,7 894,7
reserves. 00.66 00.66
4. Other
(VI )Special
reserves
1. Provided this
year
2．Used this
term
（VII）Other
IV. Balance at
the end of this
term
16,14 16,14
(V) Special
0,019 0,019
reserves
.54 .54
35,59 35,59
1. Provided this
7,306 7,306
year
.04 .04
19,45 19,45
2．Used this
7,286 7,286
term
.50 .50
（VI）Other
1,69 -1,30 2,023
IV. Balance at 81,82 84,39 1,395, 66,44
8,24 3,571 ,020,
the end of this 7,887 4,441 682,2 3,127
5,01 ,952. 763.3
term .68 .23 48.23 .93
1.00 69 8
8.Statement of change in owner’s Equity of the Parent Company
Amount in this period
In RMB
Amount in this period
Other Equity instrument
Other Commo Retai
Share Capital Less: Surplus Total of
Items Compre n risk ned
prefer
Capita Sustai reserve Shares reserve owners
red Other hensive provisi profit
l nable s in stock s ’ equity
stock Income on s
debt
68
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
1,698, 1,237,9 88,18 3,050,6
I.Balance at the 26,309,
245,0 56,472. 8,591. 99,361.
end of last year 287.00
11.00 37 10 47
Add: Change of
accounting
policy
Correcting of
previous errors
Other
II.Balance at the 1,698, 1,237,9 88,18 3,050,6
26,309,
beginning of 245,0 56,472. 8,591. 99,361.
287.00
current year 11.00 37 10 47
-8,62
III.Changed in -8,625,
5,158.
the current year 158.40
40
（I）Total -8,62
-8,625,
comprehensive 5,158.
158.40
income 40
(II) Investment
or decreasing of
capital by
owners
1 ． Ordinary Sh
ares invested by
shareholders
2．Holders of ot
her equity instru
ments invested c
apital
3.Amount of
shares paid and
accounted as
owners’ equity
4．Other
（III）Profit
allotment
1.Providing of
surplus reserves
2．Allotment to
the owners (or
69
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
shareholders)
3．Other
(IV)Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
3．Making up
losses by surplus
reserves.
4. Other
(V) Special
reserves
1. Provided this
year
2．Used this
term
（VI）Other
IV. Balance at 1,698, 1,237,9 79,56 3,042,0
26,309,
the end of this 245,0 56,472. 3,432. 74,203.
287.00
term 11.00 37 70 07
Amount in last year
In RMB
Amount in last year
Other Equity instrument
Other Commo Retai
Share Capital Less: Surplus Total of
Items Compre n risk ned
prefer
Capita Sustai reserve Shares reserve owners
red Other hensive provisi profit
l nable s in stock s ’ equity
stock Income on s
debt
1,698, 1,237,9 242,3 3,204,8
I.Balance at the 26,309,
245,0 56,472. 53,63 64,404.
end of last year 287.00
11.00 37 4.55 92
70
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Add: Change of
accounting
policy
Correcting of
previous errors
Other
II.Balance at the 1,698, 1,237,9 242,3 3,204,8
26,309,
beginning of 245,0 56,472. 53,63 64,404.
287.00
current year 11.00 37 4.55 92
-149, -149,91
III.Changed in
916,9 6,958.5
the current year
58.59 9
（I）Total -48,0
-48,022
comprehensive 22,25
,257.93
income 7.93
(II) Investment
or decreasing of
capital by
owners
1 ． Ordinary Sh
ares invested by
shareholders
2．Holders of ot
her equity instru
ments invested c
apital
3.Amount of
shares paid and
accounted as
owners’ equity
4．Other
-101, -101,89
（III）Profit
894,7 4,700.6
allotment
00.66 6
1.Providing of
surplus reserves
2．Allotment to -101, -101,89
the owners (or 894,7 4,700.6
shareholders) 00.66 6
3．Other
71
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
(IV)Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
3．Making up
losses by surplus
reserves.
4. Other
(V) Special
reserves
1. Provided this
year
2．Used this
term
（VI）Other
IV. Balance at 1,698, 1,237,9 92,43 3,054,9
26,309,
the end of this 245,0 56,472. 6,675. 47,446.
287.00
term 11.00 37 96 33
III. Basic Information of the Company
Sino Great Wall Co., Ltd. (hereinafter referred to as the "Company" or "Sino Great Wall") is formerly known as
Shenzhen Victor Onward Textile Industrial Company Limited which is formerly known as Xinnan Printing and
Dyeing Factory Co., Ltd.. Established in 1980, Xinnan Printing and Dyeing Factory Co., Ltd. is the first wholly
foreign-owned enterprise in Shenzhen. In April 1984, Xinnan Printing and Dyeing Factory Co., Ltd. was changed
into a foreign joint venture and was renamed Shenzhen Victor Onward Printing and Dyeing Co., Ltd.. On
November 19, 1991, approved by the Government of Shenzhen City, Shenzhen Victor Onward Printing and
Dyeing Co., Ltd. was restructured into a joint stock limited company and was renamed Shenzhen Victor Onward
Textile Industrial Company Limited.
Domestic listed RMB ordinary shares ("A" shares; stock code: 000018) and overseas-listed foreign investment
shares ("B" shares; stock code: 200018) issued by the Company were listed for trading on the Shenzhen Stock
Exchange in 1992.
On July 23, 2015, approved by the China Securities Regulatory Commission under the Official Reply to
Approving Shenzhen Victor Onward Textile Industrial Company Limited to Make Major Assets Restructuring and
Issue Shares to Chen Lue and Other Shareholders to Purchase Assets and Raise Supporting Funds (Z.J.X.K. [2015]
No.1774), the Company issued 251,849,593 shares to Chen Lue and other 167shareholders to purchase 100% of
equities of Sino Great Wall International Engineering Co., Ltd. held by them and issued to them 25,914,633
72
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
non-public offering shares, which raised funds of RMB 254,999,988.72.
As at September 24, 2015, equities of the listed company were changed to be registered in the name of the
Company. Both parties fully completed the transfer of equities and the relevant formalities of industrial and
commercial registration of changes, so the Company already owned 100% of equities in the listed company.
Meanwhile, according to the Confirmation on Delivery of Exchange-Out Assets, as at the date of delivery (namely
July 31, 2015), all assets and liabilities of the Company had been exchanged out. On September 24, 2015,
Shenzhen Branch of the China Securities Depository and Clearing Corporation Li mited had completed the
relevant securities registration formalities for the above new shares.
On July 29, 2015, the listed company received the new registered capital of RMB 251,849,593 paid by all the
shareholders of Sino Great Wall. Ruihua Certified Public Accountants issued the Verification Report (R.H.Y.Z.
[2015] No.48250011) on July 30, 2015. Registered capital after the change was RMB 420,991,949 and share
capital RMB 420,991,949. On December 4, 2015, Shenzhen Victor Onward Textile Industrial Company Limited.
was renamed Sino Great Wall Co., Ltd..
At the Company's general meeting of shareholders held on May 6, 2016, the 2015 Plan of Conversion of Capital
Reserves into Share Capital was adopted. The detailed plan was: to increase capital reserves to all the shareholders
with 28 shares for 10 shares based on 446,906,582 shares in total as at December 31, 2015 and to increase
1,251,338,429 shares in total. After the increase, total share capital of the Company was increased to
1,698,245,011 shares.
At the Company's general meeting of shareholders held on May 6, 2016, the 2015 Plan of Conversion of
Capital Reserves into Share Capital was adopted. The detailed plan was: to increase capital reserves to all the
shareholders with 28 shares for 10 shares based on 446,906,582 shares in total as at December 31, 2015 and to
increase 1,251,338,429 shares in total. After the increase, total share capital of the Company was increased to
1,698,245,011 shares.
\As at December 31, 2017, total share capital of the Company was 1,698,245,011 shares, in which there were
1,434,441,780 circulating A shares and 263,803,231 circulating B shares. Chen Lue who holds 582,944,556 A
shares, accounting for 34.33% of the total share capital, is the Company's controlling shareholder and actual
controller.
Registered address of the Company: No.26 Kuipeng Road, Baishi Gang, Kuichong Street, Dapeng New District,
Shenzhen. Legal representative: Chen Lue. The Company falls under textile printing and dyeing industry. The
Company mainly engages in dyeing and printing production, processing and sales of all kinds of pure cotton, pure
linen, polyester cotton, ramie cotton, high-grade blended fabrics and finished garments.
The financial statements have been approved by the Board of Directors on August 31,2018.
As at June 30, 2018, subsidiaries within the scope of the consolidated financial statements of the Company
are as follows:
Invested units
Changzhi Shenzhou Laodingshan Industrial Co., Ltd.
Xiangfen County Taoshan Construction Co., Ltd.
Sino Great Wall (Xihua) Economic Development Zone Investment Co., Ltd.
Liupanshui Central People‘s Hospital Investment Co., Ltd.
Sino Zhigu Industrial (Yueyang) Co., Ltd.
Sino Great Wall Guangxia (Wuhan) Medical Development Co., Ltd.
Sino Great Wall Infrastructure Investment Co., Ltd.
Wuhan Commercial Workers Hospital LLC
73
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Sino Great Wall Medical Investment Management Co., Ltd.
Sino Great Wall International Engineering Co., Ltd.
Fujian Sino Great Wall Mingyihui Medical Investment Co., Ltd.
Sino Great Wall Medical Investment (Hubei) Co., Ltd.
Hubei Yuanyaotong Supply Chain Co., Ltd.
Sino Great Wall Medical Management (Inner Mongolia) Co., Ltd.
Sino Great Wall Health Management (Jiangsu) Co., Ltd.
Sino Great Wall New Energy (Beijing) Co., Ltd.
Wu‘an Juhe Photovoltaic Power Co., Ltd.
Shanghai Lingrui International Trading Co., Ltd.
Shenzhen Hongtulve Industrial Co., Ltd.
Guangzhou Herabenna Interior Design Co., Ltd.
Sino Great Wall Southwest Engineering Co., Ltd.
Sino Great Wall Southwest Science and Technology Co., Ltd.
Sino Great Wall Southwest Commercial and Trading Co., Ltd.
Sino Great Wall Southwest Engineering Designn Co., Ltd.
Shenzhen Yatian Decoration Design Engineering Co., Ltd.
Sino Great Wall Decoration and Design Co., Ltd.
Suzhou Lvbang Wood Industry Technology Co., Ltd.
Huichang County Zhongcheng Construction Engineering Co., Ltd.
Sino Great Wall Zhihui Housing Property (Zhanjiang) Co., Ltd.
Great Wall Biaodian Energy Co., Ltd.
Kunming Sino Forest Industry Development Co., Ltd.
Sino Great Wall Development (Hengqin) Co., Ltd.
Sino Great Wall Construction Construction Co., Ltd.
Sino Great Wall Real Estate (Hubei) Co., Ltd.
SGW America LLC
Sino Great Wall Group Co.,Limited
Far eastern international engineering company,LLC
Sino Great Wall(Philippines) International Corporation
Sino Wai Man International Engineering Limited
Sino Great Wall (HK) Property Co., Limited
SGW HPEngineeringConstructionSDN.BHD（Malaysia）
SGW VENTURES SDN.BHD.
SGW CONSTRUCTION (LANGKAWI) SDN.BHD.
Alor Vista Development Sdn Bhd
SINO GREAT WALL GENERAL TRADING & CONTRACTING CO.LTD(Kuwait Co.)
Shenzhou Changcheng（Lao）Co.,Ltd
Sino Great Wall Group （UK）Co.,Limited
Sino Great Wall International Engineering( MM ) Co.,Ltd
74
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Sino Great Wall International Engineering Co.,Ltd(Maldives Co.)
Inrich Me Engineering Co,.Ltd (HK)
SINO GREAT WALL INTERNATIONAL ENGINEERING(MACAU) CO.,LIMITED
Sino Great WallInternationalEngineering(Thailand) Co.,Ltd.
Sino Great Wall International Engineering(CNMI) Co.,LLC.
SINO GREAT WALL（USA）.INC
PT.SINO GREAT WALL INVESTMENT INDONESIA
PT.SINO GREAT WALL CONSTRUCTION INDONESIA
Acura Kliniken Baden-Baden GmbH
Wuhan Huayue Pharmaceutical Co., Ltd.
IV. Basis for the preparation of financial statements
1.Basis for the preparation
The Company has prepared financial statements based on sustained operation as basis, according to the
transactions and matters having occurred actually, and in accordance with the Accounting Standards for Business
Enterprises – Basic Rules, various detailed accounting rules, Guidelines for Application of Accounting Standards
for Business Enterprises, Interpretation of Accounting Standards for Business Enterprises and other relevant
regulations issued by the Ministry of Finance (hereinafter jointly referred to as ―Accounting Standards for
Business Enterprises‖), as well as the disclosure provisions of the Preparation Rules for Information Disclosure by
Companies Offering Securities to the Public No.15 – General Provisions on Financial Report issued by China
Securities Regulatory Commission.
2. Continuous operation.
The Company since 12 months after the reporting period does not exist on the company's continued viability of si
gnificant concern events or circumstances.
V. Significant accounting policies and accounting estimates
Specific accounting policies and accounting estimates tips:
Nil
1. Statement on the Accounting Standard Followed by the Company
The financial statements prepared by the Company comply with the requirements of corporate accounting
standards. They truly and completely reflect the financial situations, operating results, equity changes and cash
flow, and other relevant information of the company.
2.Fiscal Year
The Company adopts the Gregorian calendar year commencing on January 1 and ending on December 31 as the
fiscal year.
3.Operating cycle
The Company has an operating cycle of 12 months.
75
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
4. Functional currency
The Company adopts RMB as recording currency.
5. Accounting treatment methods of business combinations under common control and not under common
control
Business combinations under common control: The assets and liabilities acquired by the Company in business
combinations are measured at the book value of assets and liabilities of the combinee (including the goodwill
arising from the acquisition of the combinee by the ultimate controller) in the consolidated financial statements of
the ultimate controller on the combination date. The stock premium in the capital reserves should be adjusted at
the difference between the book value of the net assets acquired in combinations and that of consideration paid for
the combination (or total par value of shares issued). If the stock premium in the capital reserves is insufficient to
cover the differences, the retained earnings should be adjusted.
Business combinations not under common control: The Company shall, on the acquisition date, measure the assets
surrendered and liabilities incurred or assumed by the Company for a business combination at their fair values.
The Company shall recognize the difference of the combination costs in excess of the fair value of the identifiable
net assets acquired from the acquiree as goodwill. The Company shall recognize the difference of the combination
costs in short of the fair value of the identifiable net assets acquired from the acquiree in the current profit and loss
after review.
Intermediary service charges such as audit fee, legal service fee, appraisal and consultancy fee paid for business
combinations and other directly relevant expenses are included in the current profit and loss when incurred; the
transaction costs for the issuance of equity securities for business combinations shall be used to offset equities.
6.Preparation method for consolidated financial statements
1.Scope of consolidation
The scope of consolidation of the consolidated financial statements of the Company is recognized based on the
control and all subsidiaries (including the divisible part of the investee controlled by the Company) shall be
included in the consolidated financial statements.
2. Procedures for consolidation
The Company prepares the consolidated financial statements based on its own financial statements and those of its
subsidiaries according to other relevant information. When the Company prepares its consolidated financial
statements, it shall regard the whole enterprise group as an accounting entity to reflect the overall financial
position, operating results and cash flows of the enterprise group according to the requirements for recognition,
measurement and presentation of the relevant accounting standards for business enterprises and the unified
accounting policies.
Accounting policies and accounting periods adopted by all subsidiaries included in the scope of consolidation of
the consolidated financial statements shall be consistent with those of the Company. If accounting policies and
accounting periods adopted by the subsidiaries are inconsistent with those of the Company, in the preparation of
the consolidated financial statements, necessary adjustments shall be made according to the accounting policies
and accounting periods of the Company. For the subsidiaries acquired through business combination not under
common control, adjustments to their financial statements shall be made based on the fair values of net
identifiable assets on the acquisition date. For the subsidiaries acquired through business combination under
common control, adjustments to their financial statements shall be made based on the fair values of their assets
and liabilities (including goodwill from acquisition of the subsidiaries by the ultimate controller) in the financial
statements of the ultimate controller.
The share of owner's equity, net profits and losses in the current year and comprehensive income in the current
year of subsidiaries attributable to minority shareholders should be separately presented under the item "owner's
equity" in the consolidated balance sheet, the item "net profit" and the item "total comprehensive income" in the
consolidated income statement. The difference of the loss in the current year shared by minority shareholders of
the subsidiaries in excess of the share of minority shareholders in the owner's equity at the beginning of the year
of the subsidiaries should be used to offset the minority equity.
（1）Increase in subsidiaries or business
During the reporting period, if the Company increased subsidiaries or business from business combinations under
common control, the beginning balance of the consolidated balance sheet shall be adjusted; the incomes, expenses
and profits from the beginning of the current year of the combinations of the subsidiaries or business to the end of
the reporting period shall be included in the consolidated income statement; cash flows from the beginning of the
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current year of the combinations of the subsidiaries or business to the end of the reporting period shall be included
in the consolidated statement of cash flows. Relevant items in the comparative financial statements of the
subsidiaries shall be adjusted accordingly, as if the reporting entity after the business combination exists when the
ultimate controller starts its control.
Where the Company can control the investee under common control due to additional investments and other
reasons, adjustments shall be made as if parties involved in the combination have existed in the current state when
the ultimate controller start its control. Equity investments held before the Company controls the combinee, and
the relevant profit and loss, other comprehensive income and other changes in net assets that are recognized from
the later of the date when the Company obtains the original equity and the date when the combiner and the
combinee are under common control to the combination date, shall be used to offset the retained earnings at the
beginning of the year or the current profit and loss during the period of the comparative statements.
During the reporting period, if the Company increased subsidiaries or business from business combinations not
under common control, the beginning balance in the consolidated balance sheet shall not be adjusted; the incomes,
expenses and profits of the subsidiaries or business from the acquisition date to the end of the reporting period
shall be included in the consolidated income statement; cash flows of the subsidiaries and business from the
acquisition date to the end of the reporting period shall be included in the consolidated statement of cash flows.
Where the Company can implement control over an investee not under common control due to additional
investment or other reasons, the equity held by the combinee before the purchase date is remeasured at the fair
value on the purchase date of the equity, and the difference between the fair value and the book value shall be
included in the current investment income. In the event that the equity of the acquiree held prior to the acquisition
date involves changes to other comprehensive income under the equity method and other changes to owners'
equity except for net profit and loss, other comprehensive income and profit distribution, other comprehensive
income and other changes in the owner's equity associated therewith are transferred to investment income of the
period to which the acquisition date belong, except for other comprehensive income arising from changes in net
liabilities or net assets due to the re-measurement of defined benefits plan by the investee.
（2）Disposal of subsidiaries or business
A .General method of disposal
During the reporting period, if the Company disposes subsidiaries or business, the incomes, expenses and profits
from the subsidiaries or business from the beginning of the year to the disposal date shall be included in the
consolidated income statement; cash flows of the subsidiaries and business from the beginning of the year to the
disposal date shall be included in the consolidated statement of cash flows.
The difference of total amount of the consideration from disposal of equities plus the fair value of the remaining
equities less the shares calculated at the original shareholding ratio in net assets and goodwill of the original
subsidiary which are continuously calculated as of the acquisition date or combination date is included in the
investment income of the period at the loss of control. Other comprehensive incomes associated with the equity
investments of the original subsidiary, or the changes in owners' equity other than net profit or loss, other
comprehensive income and profit distribution, are transferred into investment income of the period when control
is lost, except for other comprehensive income from the change in net liability or net asset due to the investor's
re-measurement of designated benefit plan.
B .Disposal of subsidiaries by stages
Where the Company disposes the equity investments in subsidiary through multiple transactions and by stages
until it loses the control, if the effect of the disposal on the terms and conditions of all transactions of equity
investments in subsidiary and economic effect meet one or more of the following circumstance, it usually
indicates that the multiple transactions should be accounted for as a package deal:
i. The transactions are concluded at the same time or under the consideration of mutual effect;
ii. The transactions as a whole can reach a complete business result;
iii. The occurrence of a transaction depends on that of at least one other transactions; and/or
iv. A single transaction is uneconomical but it is economical when considered together with other transactions.
Where various transactions of disposal of equity investments in subsidiaries until loss of the control belong
to a package deal, accounting treatment shall be made by the Company on the transactions as a transaction to
dispose subsidiaries and lose the control; however, the difference between each disposal cost and net asset
share in the subsidiaries corresponding to each disposal of investments before loss of the control should be
recognized as other comprehensive income in the consolidated financial statements and should be transferred into
the current profit or loss at the loss of the control.
Where various transactions of disposal of equity investments in subsidiaries until loss of the control do not belong
to a package deal, before the loss of the control, accounting treatment shall be made according to the relevant
policies for partial disposal of equity investments in the subsidiary without losing control; at the loss of the control,
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accounting treatment shall be made according to general treatment methods for disposal of subsidiaries.
（3）Purchase of minority equity of subsidiaries
The difference between long-term equity investments acquired by the Company through purchase of minority
interest and the subsidiary’s identifiable net assets attributable to the Company calculated continuously from the
acquisition date (or the combination date) in accordance with the increased shareholding ratio shall be charged
against stock premium within capital reserves in the consolidated balance sheet; when stock premium within
capital reserves is insufficient to offset, the retained earnings shall be adjusted.
(4) Partial disposal of long-term equity investments in subsidiaries without losing control
The difference between the proceeds from partial disposal of equity investments in the subsidiary and the share of
identifiable net assets of the subsidiary attributable to the Company which are calculated continuously from the
acquisition date (or the combination date) and which are corresponding to the disposal of long-term equity
investments without losing control shall be charged against stock premium within capital reserves in the
consolidated balance sheet; when stock premium within capital reserves is insufficient to offset, the retained
earnings shall be adjusted.
7. Joint venture arrangements classification and Co-operation accounting treatment
8..Recognition Standard of Cash & Cash Equivalents
The company recognizes its cash in vault & the deposits that are ready for payment at any time as cash when
preparing the cash flow statement.which are featured with short term (expire within 3 months since purchased),
high liquidity, easy to convert to know cash, low in risk of value change, could be recognized as cash equivalents.
9. Foreign currency transactions and translation of foreign currency statements
1.Foreign currency transactions
Foreign currency transactions are translated into functional currency at the approximate rate of spot
exchange rate on the day when the transactions occur.
The balance of foreign currency monetary items as at the balance sheet date are translated at the spot
exchange rate on the balance sheet date and the exchange differences arising therefrom shall be included in
the current profit and loss, except those exchange differences arising from the special borrowings of foreign
currency related to the acquired and constructed assets qualified for capitalization that will be capitalized at
the borrowing expenses.
2.Translation of foreign currency statements
Assets and liabilities in the balance sheet are translated at the spot exchange rates on balance sheet date;
owners' equity items, except for the item of “undistributed profits”, are translated at the spot exchange rates
on the dates when the transactions occur. The income and expenses items in income statements are translated
at the approximate rate of spot exchange rate prevailing on the date when transactions occur.
Where the Company disposes of an overseas business, it shall transfer the exchange difference relating to the
overseas business to the current profit and loss.
10. Financial instruments
Financial instruments include financial assets, financial liabilities and equity instruments.
1.Classification of financial instruments
At the initial recognition, financial assets and financial liabilities are classified as: financial assets or financial
liabilities measured at fair value through current profit and loss, including financial assets or financial liabilities
held for trading (and financial assets or financial liabilities directly designated to be measured at fair value
through current profit and loss); held-to-maturity investments; receivables; available-for-sale financial assets; and
other financial liabilities, etc.
2.Recognition basis and measurement method of financial instruments
(1)Financial assets (financial liabilities) measured at fair value through current profit and loss
Financial assets (financial liabilities) measured at fair value through current profit and loss are initially recognized
at the fair value upon acquisition (net of cash dividends declared but not yet paid or bond interest due but not yet
received) and the related transaction costs are included in current profit and loss.
The interest or cash dividends to be received during the holding period is or are recognized as investment income.
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Change in fair values is included in the current profit and loss at the end of the period.
Difference between the fair value and initial book-entry value is recognized as investment income upon disposal;
meanwhile, adjustment is made to gains or losses from changes in fair values.
(2) Held-to-maturity investments
Held-to-maturity investments are initially recognized at the sum of the fair value (net of bond interest due but not
yet received) and related transaction costs upon acquisition.
The interest income will be calculated and determined according to the amortized cost and effective interest rate
during the holding period and included in investment income. The effective interest rates are determined upon
acquisition and remain unchanged during the expected remaining period, or a shorter period if applicable.
Upon disposal, the difference between the purchase price obtained and the book value of the investment is
recognized in investment income.
(3) Receivables
For creditor’s rights receivable arising from external sales of goods or rendering of service by the Company and
other creditor's rights of other enterprises (excluding liability instruments quoted in an active market) held by the
Company, including accounts receivable and other receivables, the initial recognition amount shall be the contract
price or agreement price receivable from purchasing party. Receivables with financing nature are initially
recognized at their present values.
Upon recovery or disposal, the difference between the purchase price obtained and the book value of the
receivables is recognized in current profit and loss.
(4) Available-for-sale financial assets
Financial assets (financial liabilities) measured at fair value through current profit and loss are initially recognized
at the fair value and related transaction expenses upon acquisition (net of cash dividends declared but not yet paid
or bond interest due but not yet received).
The interest or cash dividends to be received during the holding period is or are recognized as investment income.
The interest or cash dividends should be measured at fair value and their changes in fair value should be included
in other comprehensive income. However, for an equity instrument investment that has no quoted price in an
active market and whose fair value cannot be reliably measured, and for derivative financial asset linked to the
said equity instrument investment and settled by delivery of the same equity instrument, they shall be measured at
cost.
Difference between the proceeds and the book value of the financial assets is recognized as investment income
upon disposal; meanwhile, amount of disposal corresponding to the accumulated change in fair value which is
originally and directly included in other comprehensive income shall be transferred out and recognized as the
current profit and loss.
(5) Other financial liabilities
They are initially recognized at the sum of the fair value and the associated transaction costs. Other financial
liabilities are subsequently measured at amortized cost.
3.Recognition and measurement of transfer of financial assets
When a financial assets transfer occurs, the financial assets will be derecognized when substantially all the risks
and rewards on the ownership of the financial assets have been transferred to the transferee; and they will not be
derecognized if substantially all the risks and rewards on the ownership of the financial assets have been retained.
The principle of substance over form is adopted to determine whether a financial asset meets the above
de-recognition conditions for the financial asset. The transfer of a financial asset of the Company is classified into
the entire transfer and the partial transfer of financial asset. Where the entire transfer of the financial asset meets
the de-recognition conditions, the difference of the following two amounts will be included in current profit and
loss:
(1) The book value of the transferred financial asset;
(2) The sum of the consideration received from the transfer and the accumulated amount of the changes in fair
value originally and directly included in owners’ equity (the situation where the financial asset transferred is an
available-for-sale financial asset is involved in).
If the partial transfer of financial asset satisfies the criteria for derecognition, the entire book value of the
transferred financial asset shall be split into the derecognized and recognized part according to their respective fair
value and the difference between the amounts of the following two items shall be included in the current profit
and loss:
(1) The book value of derecognized part;
(2) The sum of the consideration for the derecognized part and the portion of de-recognition corresponding to
the accumulated amount of the changes in fair value originally and directly included in owners' equity (the
situation where the financial asset transferred is an available-for-sale financial asset is involved in).
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If the transfer of a financial asset does not meet the derecognition criteria, the financial asset shall continue to be
recognized, and the consideration received will be recognized as a financial liability.
4 .Derecognition criteria of financial liabilities
Where the present obligations of financial liabilities have been discharged in whole or in part, the financial
liability is derecognized or any part thereof will be derecognized; if the Company signs an agreement with
creditors to replace the existing financial liabilities by undertaking new financial liabilities, and the new financial
liabilities are substantially different from the existing ones in terms of contract terms, the existing financial
liabilities will be derecognized, and at the same time, the new financial liability will be recognized.
Where substantial revisions are made to some or all of the contractual stipulations of the existing financial liability,
the Company shall derecognize the existing financial liability wholly or partly, and at the same time recognize the
financial liability with revised contractual stipulations as a new financial liability.
Upon whole or partial derecognition of financial liabilities, the difference between the book value of the financial
liabilities derecognized and the consideration paid (including non-cash assets surrendered or new financial
liabilities assumed) shall be included in the current profit and loss.
Where the Company repurchases part of a financial liability, the entire book value of the financial liability shall be
split into the derecognized part and continuously-recognized part according to their respective fair value on the
repurchase date. The difference between the book value allocated to the derecognized part and the considerations
paid (including non-cash assets surrendered and the new financial liabilities assumed) shall be included in the
current profit and loss.
5 .Recognition method of fair value of financial assets and financial liabilities
Where there is an active market for financial instruments, the fair values shall be recognized at quoted prices in
the active market. Where there is no active market, the fair values shall be recognized with valuation techniques.
At the time of valuation, the Company adopts the techniques that are applicable in the current situation and
supported by enough available data and other information, selects the input values consistent with the features of
assets or liabilities considered by market participants in relevant asset or liability transactions, and gives priority
to using relevant observable inputs. Unobservable inputs are used only under the circumstance when it is
impossible or unobservable inputs to obtain relevant observable inputs.
6.Test method and accounting treatment of depreciation of financial assets (excluding receivables)
Except for the financial assets measured at fair values through current profit and loss, the book value of financial
assets on the balance sheet date should be checked. If there is objective evidence that a financial asset is impaired,
provision for impairment shall be made.
(1) Provision for impairment of available-for-sale financial assets:
If the fair value of available-for-sale financial assets has significantly declined at the end of the period, or it is
expected that the trend of decrease in value is non-temporary after considering of various relevant factors, the
impairment shall be recognized, and accumulated losses from decreases in fair value originally and directly
included in owners' equity shall be all transferred out and recognized as impairment loss.
For available-for-sale debt instruments whose impairment losses have been recognized, if their fair values rise in
the subsequent accounting period and such rise is objectively related to the matters occurring after the recognition
of impairment loss, the previously recognized impairment loss shall be reversed and recorded into the current
profit and loss.
Impairment losses on available-for-sale equity instruments should not be reversed through profit and loss.
(2) Provision for impairment of held-to-maturity investments:
Measurement of provision for impairment loss on held-to-maturity investments is treated in accordance with the
measurement method of impairment loss on accounts receivable.
11. Accounts receivable
（1）Receivables that are individually significant but with provision for bad debts made on an individual
basis:
The Company recognizes accounts receivable for a single
The judgment basis for significant single-item amount or
project with the balance more than RMB 10 million (inclusive)
standard for significant amount
and other accounts receivable from a single relevant unit with
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the balance more than RMB 2 million (inclusive) as accounts
receivable with significant single amount.
On the date of balance sheet, the Company will carry out
impairment test independently for accounts receivable with
significant single amount. If such accounts receivable are
proved impairing through the test, the Company will determine
the impairment loss and withdraw bad debt reserve according
to the balance that the present value of its future cash flow is
The method of separate provision for bad debts of the accounts lower than its book value. The accounts receivable not
receivable with significant single-item amount impairing as proved in single test, will, together with the
accounts receivable with insignificant single amount, be
divided into many portfolios according to similar credit risk
characteristics. Then according to certain proportion of the
balance on the date of balance sheet of the portfolios of these
accounts receivable, the Company will calculate and determine
impairment loss and withdraw bad debt reserve.
（2）Provision for bad debts of accounts receivable made on credit risk characteristics portfolio basis:
Group name Method
Combination of affiliated parties within the range of
Account age analysis method
consolidation
For those subject to provision for bad debts under aging analysis method:
√Applicable □Not applicable
Age Rate for receivables(%) Rate for other receivables(%)
Within 1 year（Included 1 year） 5.00% 5.00%
1－2 years 10.00% 10.00%
2－3 years 30.00% 30.00%
3－4 years 50.00% 50.00%
4－5 years 80.00% 80.00%
Over 5 years 100.00% 100.00%
Accounts on percentage basis in group：
□ Applicable √Not applicable
Accounts on other basis in group：
□ Applicable √Not applicable
（3）Receivables that are individually insignificant but with provision for bad debts made on an individual
basis:
On the date of balance sheet, for the other accounts receivable
Reason for separate provision for bad debts with insignificant single amount and having obvious sign of
impairment, the Company will determine impairment loss and
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withdraw bad debt reserve according to the balance that the
present value of their future cash flow is lower than their book
value.
On the date of balance sheet, the Company will execute
impairment test of the accounts receivable with insignificant
single amount but having bad debt reserve withdrawn
separately. If such accounts receivable are proved impairing
Method of provision for bad debts
during the test, the Company will determine impairment loss
and withdraw bad debt reserve according to the balance that
the present value of their future cash flow is lower than their
book value.
The Company complies with the disclosure requirements of the No.7 Industry Information Disclosure Guideline
of Shenzhen Stock Exchange-the Listed Company that Engaged in Civil Engineering and Construction Business.
12.Inventories
Is the company subject to any disclosure requirements for special industries?
Yes
Civil Engineering Construction
1.Classification of inventories
Inventories are classified into: raw materials and engineering construction, etc..
2.Valuation method of inventories dispatched
The inventories are measured at weighted average method when dispatched.
3.Recognition basis for net realizable values of inventories of different categories
Net realizable values of merchandise inventories held directly for sale, such as finished goods, stock commodities,
and available-for-sale materials, are measured at the estimated selling prices less estimated sales expenses and
relevant taxes and surcharges in the normal production process. Net realizable values of material inventories
which need further processing are measured at the estimated selling prices less the estimated costs of completion,
estimated sales expenses and relevant taxes and surcharges in the normal production process. Net realizable values
of inventories held for the purpose of fulfillment of sales contracts or service contracts are calculated on the basis
of the contract prices; if the quantity of inventories held exceeds that stated in the contract, the net realizable
values of the excessive part are calculated on the basis of normal selling prices.
The provisions for inventory depreciation reserve are made on an individual basis at the end of the period, for
inventories with large quantities and relatively low unit prices, the provisions for inventory depreciation reserve
are made on a category basis. For inventories related to the product portfolios manufactured and sold in the same
area, and of which the final usage or purpose is identical or similar thereto, and which is difficult to be separated
from other items for measurement purposes, the provisions for inventory depreciation reserve are made on a
portfolio basis.
Except that there is clear evidence that the market price is abnormal on the balance sheet date, the net realizable
value of inventory items shall be recognized at the market price on the balance sheet date.
Net realizable value of inventory items at the end of the year is recognized at the market price on the balance sheet
date.
4. Inventory system
Perpetual inventory system is adopted.
5.Amortization methods for low-cost consumables and packaging materials
(1) One-off amortization method is adopted for low-cost consumables;
(2) One-off amortization method is adopted for packaging materials.
13.Assets held for sale
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The Company classifies the non-current assets or disposal group meeting the following conditions as assets held
for sale:
(1) Based on the practice of selling such assets or disposal groups in similar transactions, they can be sold
immediately under current conditions;
(2) The sale is very likely to happen, that is, the Company has already made a resolution on a sales plan and
obtained an assuring purchase commitment and it is expected that the sale will be completed within one year.
Where regulations require the approval of relevant power organ or regulatory department of the Company before
they can be sold, the approval has been obtained.
14.Long-term equity investment
1.Standards for joint control and significant influence
The term ‘common control’ refers to the joint control, according to the relevant provisions, over an arrangement,
of which the relevant activities should be agreed and decided by the participants that share the control. Where the
Company and other investors exert common joint control over the investee and the Company is entitled to net
assets of the investee, the investee is the joint venture of the Company.
Significant influence refers to the power to participate in making decisions on the financial and operating policies
of an enterprise, but not the power to control, or jointly control, the formulation of such policies with other parties.
Where the Company is able to exert significant influence over the investee, the investee is its associate.
2.Recognition of initial investment costs
(1) Long-term equity investments acquired from business combination
Business combination under the same control: if the Company makes payment in cash, transfers non-cash assets
or bears debts and issues equity securities as the consideration for the business combination, the book value of the
owner's equity of the acquiree in the consolidated financial statements of the ultimate controller is recognized as
the initial cost of the long-term equity investment on the combination date. In case the Company can exercise
control over the investee under common control for additional investment or other reasons, the initial investment
cost of long-term equity investments is recognized at the share of book value of net asset of the acquiree after the
combination in the consolidated financial statements of the ultimate controller on the combination date. The stock
premium should be adjusted at the difference between the initial investment cost of long-term equity investments
on the combination date and the book value of long-term equity investments before the combination plus the book
value of consideration paid for additional shares; if there is no sufficient stock premium for write-downs, the
retained earnings are adjusted.
Business combination not under common control: The Company recognizes the combination cost determined on
the combination date as the initial cost of long-term equity investments. Where the Company can control the
investee not under common control from additional investments, the initial investment cost should be changed to
be accounted for under the cost method and recognized at the sum of the book value of equity investments
originally held and newly increased investment cost.
(2) Long-term equity investment acquired by other means
For a long-term equity investment acquired through making payments in cash, its initial cost is the actually paid
purchase cost.
For a long-term equity investment acquired from issuance of equity securities, its initial cost is the fair value of
the issued equity securities.
If the exchange of non-monetary assets has commercial substance and the fair values of assets traded out and
traded in can be measured reliably, the initial cost of long-term equity investment traded in with non-monetary
assets are determined based on the fair values of the assets traded out and the relevant taxes and surcharges
payable unless there is any conclusive evidence that the fair values of the assets traded in are more reliable; if the
exchange of non-monetary assets does not meet the above criteria, the book value of the assets traded out and the
relevant taxes and surcharges payable are recognized as the initial cost of long-term equity investment traded in.
For a long-term equity investment acquired from debt restructuring, its initial cost is determined based on the fair
value.
3.Subsequent measurement and recognition of gains and losses
(1) Long-term equity investments accounted for under the cost method
Long-term equity investments in subsidiaries are accounted for under the cost method. Except for the actual price
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paid for acquisition of investment or the cash dividends or profits contained in the consideration which have been
declared but not yet distributed, the Company recognizes the investment income in the current year at the cash
dividends or profits declared by the investee.
(2) Long-term equity investments accounted for under the equity method
Long-term equity investments in associates and joint ventures are accounted for under the equity method. If the
cost of initial investment is in excess of the proportion of the fair value of the net identifiable assets in the investee
when the investment is made, the difference will not be adjusted to the initial cost of the long-term equity
investments; if the cost of initial investment is in short of the proportion of the fair value of the net identifiable
assets in the investee when the investment is made, the difference will be included in the current profit and loss.
The Company shall recognize the investment income and other comprehensive income at the shares of net profit
and loss and other comprehensive income realized by the investee which the Company shall enjoy or bear and
adjust the book value of long-term equity investments at the same time; the Company shall calculate the shares
according to profits or cash dividends declared by the investee and correspondingly reduce the book value of
long-term equity investments; the book value of long-term equity investments shall be adjusted according to the
investee's other changes in owner's equity other than net profit and loss, other comprehensive income and profit
distribution, which should be included in owner's equity.
The share of the investee's net profit or loss should be recognized after adjustments are made to net profit of the
investee based on the fair value of identifiable net assets of the investee upon acquisition of investments and
according to accounting policies and accounting period of the Company. When holding the investment, the
investee should prepare the consolidated financial statements, it shall account for the investment income based on
the net profit, other comprehensive income and the changes in other owner's equity attributable to the investee.
The Company shall write off the part of incomes from internal unrealized transactions between the Company and
associates and joint ventures which are attributable to the Company according to the corresponding ratio and
recognize the profit and loss on investments on such basis. Where the losses from internal transactions between
the Company and the investee fall into the scope of assets impairment loss, the full amount of such losses should
be recognized. For transactions on investments or sales of assets between the Company and associates and joint
ventures, where such assets constitute business, they should be accounted for according to the relevant policies
disclosed in this note "Accounting treatment of business combinations under common control and not under
common control" and "Preparation of consolidated financial statements".
When the Company recognizes its share of loss incurred to the investee, treatment shall be done in following
sequence: firstly, the book value of the long-term equity investment shall be reduced. Secondly, where the book
value thereof is insufficient to cover the share of losses, investment losses are recognized to the extent of book
value of other long-term equities which form net investment in the investee in substance and the book value of
long term receivables shall be reduced. Finally, after all the above treatments, if the Company is still responsible
for any additional liability in accordance with the provisions stipulated in the investment contracts or agreements,
provisions are recognized and included into current investment loss according to the obligations estimated to
undertake.
(3) Disposal of long-term equity investments
For disposal of long-term equity investments, the difference between the book value and the actual price shall be
included in the current investment income.
For long-term equity investments accounted for under the equity method, when the Company disposes such
investments, accounting treatment should be made to the part that is originally included in other comprehensive
income according to the corresponding proportion by using the same basis for the investee to directly dispose the
relevant assets or liabilities. Owner's equity recognized at the changes in the investee's other owner's equity other
than net profit or loss, other comprehensive income and profit distribution shall be transferred to the current profit
and loss according to the proportion, except for other comprehensive income from changes arising from
re-measurement of net liabilities or net assets of defined benefit plan.
In case the joint control or significant influence over the investee is lost for disposing part of equity investments or
other reasons, the remaining equity will be changed to be accounted for according to the recognition and
measurement principles of financial instruments. The difference between the fair value and the book value on the
date of the loss of joint control or significant influence should be included in the current profit and loss. For other
comprehensive income recognized from accounting of the original equity investments under the equity method,
accounting treatment should be made by using the same basis for the investee to directly dispose the relevant
assets or liabilities when the equity method is no longer adopted. Owner's equity recognized from the investee's
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changes in other owner's equity other than net profit or loss, other comprehensive income and profit distribution
should all transferred to the current profit and loss when the equity method confirmed is no longer adopted.
Where the Company loses the control over the investee due to disposal of partial equity investments or other
reasons, when it prepares individual financial statements, if the remaining equity after disposal can exercise joint
control or significant influence on the investee, such investments should be changed to be accounted for under the
equity method and the remaining equity should be deemed to have be adjusted on acquisition, namely when the
equity method is adopted for accounting; if the remaining equity after disposal can exercise joint control or
significant influence on the investee, such equity will be changed to be accounted for according to recognition and
measurement standards of financial instruments and the difference between fair value and book value on the date
of loss of the control or significant influence should be included in the current profit and loss.
Where equity after the disposal is acquired from business combinations due to additional investments or other
reasons, when the Company prepares individual financial statements, if the remaining equity after the disposal is
accounted for under the cost method or equity method, other comprehensive income and other owners' equity
recognized from equity investments that are held before the acquisition date and are accounted for under the
equity method should be carried forward in proportion; if the remaining equity after the disposal is changed to be
accounted for according to recognition and measurement standards of financial instruments, other comprehensive
income and other owners' equity should be carried forward at full amount.
15. Investment real estate
The measurement mode of investment property
Cost measurement
Depreciation or amortization method
The investment property refers to the real estate held for earning rentals or/and capital appreciation or both,
including leased land use right, land use right held for transfer upon appreciation, and leased building
(including self-built buildings or buildings developed for renting or buildings under construction or
development for future renting).
The Company measures its existing investment property at cost. For investment properties measured with the
cost model - in terms of buildings for renting, the same depreciation policy as that for fixed assets of the
Company is adopted and land use rights for renting are implemented with the same amortization policy as
that for intangible assets.
16. Fixed assets
1. Fixed asset recognition conditions
Fixed assets indicate the tangible assets held for producing goods, rendering labor services, leasing or operation
management, and having a service life of more than one fiscal year. No fixed asset may be recognized unless it
simultaneously meets the conditions as follows:
(1) The economic benefits pertinent to the fixed asset are likely to flow into the enterprise;
(2) The cost of the fixed asset can be measured reliably.
2.Depreciation method
Expected useful Estimated residual Annual depreciation r
Type Depreciation method
life（Year） value rate ate（%）
House and Building Straight-line method 20 5.00 4.75
Machinery and
Straight-line method 10 5.00 9.50
equipment
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Transportation
Straight-line method 7 5.00 13.57
equipment
Electronic equipment
3-5 5.00 19.00-31.67
and other equipment
Straight-line method
3.Cognizance evidence and pricing method of financial leasing fixed assets
The fixed assets acquired under financing lease are recognized if one of the following conditions is specified by
the Company and the leaser in their lease agreement:
(1) Upon the expiration of the lease term, the ownership of the leased asset has been transferred to the Company;
(2) The Company has the option to purchase the asset and the purchase price is far lower than the asset’s fair
value at the time of the option being exercised;
(3) The lease term covers the most of the useful life of the leased asset;
(4) The present value of the minimum payment by the Company on the lease commencement date is almost equal
to the asset’s fair value.
On the lease commencement date, the book entry value of a fixed asset acquired under financing lease is
measured at the asset’s fair value or the present value of the minimum lease payment, whichever is the lower. The
minimum lease payment is recorded as the book entry value of the long-term payables, and the difference between
them is deemed as the unrecognized financing expenses.
17.Construction in process
Projects under construction are recorded as fixed assets at necessary expenditures incurred before preparing the
asset to reach the condition for its intended use. For construction in progress that has reached working condition
for intended use but for which the completion of settlement has not been handled, it shall be transferred into fixed
assets at the estimated value according to the project budget, construction price or actual cost, etc. from the date
when it reaches the working condition for intended use and the fixed assets shall be depreciated in accordance
with the Company’s policy for fixed asset depreciation; adjustment shall be made to the estimated value based on
the actual cost after the completion of settlement is handled, but depreciation already provided for will not be
adjusted.
`
18.Borrowing costs
1.Recognition principles of capitalization of borrowing costs
Borrowing costs include the interest of borrowings, the amortization of discount or premium, auxiliary expenses,
exchange differences incurred by foreign currency borrowings, etc.
The borrowing costs incurred to the Company and directly attributable to the acquisition and construction or
production of assets eligible for capitalization should be capitalized and recorded into asset costs; other borrowing
costs should be recognized as costs according to the amount incurred and be included into current profit and loss.
Assets eligible for capitalization refer to fixed assets, investment property, inventories and other assets which may
reach their intended use or sale status only after long-time acquisition and construction or production activities.
Borrowing costs may be capitalized only when all the following conditions are met at the same time:
(1) Asset disbursements, which include those incurred by cash payment, the transfer of non-cash assets or the
undertaking of interest-bearing debts for acquiring and constructing or producing assets eligible for capitalization,
have already been incurred;
(2) Borrowing costs have already been incurred;
(3) The acquisition and construction or production activities which are necessary to prepare the assets for their
intended use or sale have already been started.
2.Capitalization period of borrowing costs
Capitalization period refers to the period from commencement of capitalization of borrowing costs to its
cessation; period of suspension for capitalization is excluded.
Capitalization of borrowing costs should cease when the acquired and constructed or produced assets eligible for
capitalization have reached the working condition for their intended use or sale.
When some projects among the acquired and constructed or produced assets eligible for capitalization are
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completed and can be used separately, the capitalization of borrowing costs of such projects should be ceased.
If all parts of the acquired and constructed or produced assets are completed but the assets cannot be used or sold
externally until overall completion, the capitalization of borrowing costs should be ceased at the time of overall
completion of the said assets.
3.Period of capitalization suspension
If the acquisition and construction or production activities of assets eligible for capitalization are abnormally
interrupted and such condition lasts for more than three months, the capitalization of borrowing costs should be
suspended; if the interruption is necessary procedures for the acquired, constructed or produced assets eligible for
capitalization to reach the working conditions for its intended use or sale, the borrowing costs continue to be
capitalized. Borrowing costs incurred during the interruption are recognized as the current profit and loss and
continue to be capitalized until the acquisition, construction or production of the asset restarts.
4.Measurement of capitalization rate and capitalized amounts of borrowing costs
As for special borrowings borrowed for acquiring and constructing or producing assets eligible for capitalization,
borrowing costs of special borrowing actually incurred in the current period less the interest income of the
borrowings unused and deposited in bank or return on temporary investment should be recognized as the
capitalization amount of borrowing costs.
As for general borrowings used for acquiring and constructing or producing assets eligible for capitalization, the
interest of general borrowings to be capitalized should be calculated by multiplying the weighted average of asset
disbursements of the part of accumulated asset disbursements exceeding special borrowings by the capitalization
rate of used general borrowings. The capitalization rate is calculated by weighted average interest rate of general
borrowings.
19.Biological Assets
Nil
20.Oil & gas assets
Nil
21..Intangible assets
(1) Valuation method, service life and impairment test
1.Measurement method of intangible assets
(1) The Company initially measures intangible assets at cost on acquisition;
The cost of an externally acquired intangible asset comprises its purchase price, related taxes and surcharges and
any other directly attributable expenditure of preparing the asset for its intended use. If the deferred payment of
purchase price of intangible assets exceeding normal credit terms is substantially of financial nature, the cost of
intangible assets should be determined at the present value of the purchase price.
The intangible assets acquired and used by the debtor to repay debt in debt restructuring should be recorded at the
fair value of the intangible assets. The difference between the book value of restructured debts and the fair value
of intangible assets used to repay debt should be included in the current profit and loss.
On the premise that non-monetary assets trade is of commercial nature and the fair value of the assets traded in or
out can be measured reliably, the intangible assets traded in with non-monetary assets should be recognized at the
fair value of the assets traded out, unless any unambiguous evidence indicates that the fair value of the assets
traded in is more reliable; as to the non-monetary assets trade not meeting the aforesaid premise, the book value of
the assets traded out and related taxes and surcharges payable should be recognized as the cost of the intangible
assets, with gains or losses not recognized.
(2) Subsequent measurement
The useful lives of intangible assets are analyzed on acquisition.
For intangible assets with definite useful lives, the Company shall adopt the straight-line method for amortization
within the period during which they can bring economic benefits to the Company; where the period during which
they can bring economic benefits to the Company cannot be forecast, those intangible assets shall be deemed as
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assets with indefinite lives and no amortization will be made.
2.Estimate of useful life of intangible assets with limited useful life:
Item Estimated useful lives Basis
Land use right 50 years Land use certificate
software 5 years By reference to the same industry
The useful life and amortization method of intangible assets with limited useful lives should be reviewed.
After review, the useful life of intangible assets and amortization method at the end of the year are not different
from previous estimates.
3.Specific criteria for classification of research phase and development phase
Research phase: the phase for the creative and planned investigation and research to acquire and understand new
scientific or technological knowledge.
Development stage: the phase for the application of research achievements and other knowledge to a certain plan
or design, prior to the commercial production or use, so as to produce any new material, device or product, or
substantially improved material, device and product.
Expenditure of an internal research and development project on the research phase shall be included in current
profit and loss when it occurs.
4.Specific criteria for capitalization of expenditures at the development phase
Expenditure on the development phase of an internal research and development project shall be recognized as
intangible assets only when the following conditions are simultaneously satisfied:
(1) It is feasible technically to finish intangible assets for use or sale;
(2) It is intended to finish and use or sell the intangible asset;
(3) The ways whereby the intangible asset is to generate economic benefits, including those whereby it is able
prove that there is a potential market for the products manufactured by applying this intangible asset or that there
is a potential market for the intangible asset itself; if the intangible asset will be used internally, its usefulness shall
be proved;
(4) It is able to finish the development of the intangible assets, and able to use or sell the intangible assets, with
the support of sufficient technologies, financial resources and other resources; and
(5) The expenditure attributable to the intangible asset during its development phase can be measured reliably.
（2）Internal research and development expenditure accounting policy
Nil
22.Impairment of long-term assets
For the long-term equity investments, investment property, fixed assets, construction in progress, intangible assets,
and other long-term assets measured at cost model, if there are signs of impairment, an impairment test will be
conducted on the balance sheet date. If the recoverable amount of the asset is less than its book value after test,
assets impairment provision will be made at the difference and included into impairment loss. The recoverable
amount is determined at the higher of the net of the fair value less disposal costs and the present value of the
expected future cash flows. The assets impairment provision is calculated and made on an individual basis. If it is
difficult for the Company to estimate the recoverable amount of the individual asset, the recoverable amount of an
asset group to which the said asset belongs to will be determined. Asset group is the smallest asset group that can
independently generate cash inflows.
For goodwill, impairment test shall be conducted at least in the end of each year.
The Company conducts an impairment test for the goodwill. The book value of goodwill arising from business
combinations is amortized to relevant asset groups with a reasonable method from the date of acquisition; or
amortized to relevant combination of asset groups if it is difficult to be amortized to relevant asset groups. When
the book value of goodwill is amortized to the relevant assets group or combination of assets groups, it shall be
evenly amortized according to the proportion of the fair value of each assets group or combination of assets
groups in the total fair value of the relevant assets groups or combinations of assets groups. Where the fair value
cannot be reliably measured, it should be amortized according to the proportion of the book value of each asset
group or combination of assets groups in the total book value of assets groups or combinations of assets groups.
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When making an impairment test on the relevant assets groups or combination of assets groups containing
goodwill, if any indication shows that the assets groups or combinations of assets groups may be impaired, the
Company shall first conduct an impairment test on the assets groups or combinations of assets groups not
containing goodwill, calculate the recoverable amount and compare it with the relevant book value to recognize
the corresponding impairment loss. Then the Company shall conduct an impairment test on the assets groups or
combinations of assets groups containing goodwill, and compare the book value of these assets groups or
combinations of assets groups (including the book value of the goodwill apportioned thereto) with the recoverable
amount. Where the recoverable amount of the relevant assets groups or combinations of assets groups is lower
than the book value thereof, the Company shall recognize the impairment loss of the goodwill.
The above losses from asset impairment shall not be reversed in subsequent accounting periods once recognized.
23.Long-term deferred expenses
Long-term deferred expenses refer to various expenses which have been already incurred but will be born
in this period and in the future with an amortization period of over 1 year.
1.Amortization method
Long-term deferred expenses are amortized evenly over the beneficial period.
2.Amortization years
The amortization period is determined in accordance with the contract or expected beneficial period.
24.Employee compensation
1.Accounting treatment of short-term compensation
During the accounting period of an employee' providing services for the Company, the Company should recognize
the short-term compensation actually incurred as liabilities and include it in the current profit and loss or the
relevant asset costs.
During the accounting period when employees serve the Company, the corresponding amount of employee
compensation is calculated and determined according to the provision basis and provision proportion as stipulated
in the provisions on the social insurance premiums and housing funds paid for employees by the Company, as
well as trade union funds and employee education funds.
If the employee benefits are of non-monetary, they are measured at fair value if they can be reliably measured.
2.Accounting treatment of post-employment benefits
Defined contribution plans
The Company pays basic endowment insurance and unemployment insurance for employees according to the
relevant provisions of the local government, calculate payables according to payment base and proportion
specified by the local government and recognizes them as liabilities, and includes them into the current profit and
loss or the relevant asset costs.
3.Accounting treatment of dismissal benefits
The Company recognizes the employee compensation arising from dismissal benefits as liabilities and include it
in the current profit and loss when the Company cannot unilaterally withdraw dismissal benefits which are
provided for termination of labor relation plan or layoff proposal, or when the Company recognizes costs or
expenses (which is earlier) associated with restructuring of payment of dismissal benefits.
(4) Accounting methods for other long-term employee benefits
Nil
25. Estimated liabilities
1.Recognition criteria for estimated liabilities
Where all the following conditions are met simultaneously for any obligation pertinent to any contingency
including litigation, debt guarantee, onerous contract and reorganization, the Company will recognize such
contingency as estimated liabilities:
(1) The obligation is a present obligation of the Company;
(2) The performance of such obligation is likely to result in outflow of economic benefits from the Company;
and
(3) The amount of the obligation can be measured reliably.
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2.Measurement of estimated liabilities
Estimated liabilities of the Company is initially measured as the best estimate of expenses required for the
performance of the relevant present obligations.
When the Company determines the best estimate, it should have a comprehensive consideration of risks with
respect to contingencies, uncertainties and the time value of money. If the time value of money is significant, the
best estimate shall be determined after discounting the relevant future outflow of cash.
The best estimate shall be accounted as follows in different circumstances:
If there is continuous range (or interval) for the necessary expenses, and probabilities of occurrence of all the
outcomes within this range are equal, the best estimate shall be determined at the average amount of upper and
lower limits within the range.
If there is no continuous range (or interval) for the necessary expenses, or probabilities of occurrence of all the
outcomes within this range are unequal although such a range exists, in case that the contingency involves a single
item, the best estimate shall be determined at the most likely outcome; if the contingency involves two or more
items, the best estimate should be determined according to all the possible outcomes with their relevant
probabilities.
When all or some of the expenses necessary for the liquidation of estimated liabilities of the Company are
expected to be compensated by a third party, the compensation should be separately recognized as an asset only
when it is virtually certain that the reimbursement will be obtained. The amount recognized for the reimbursement
should not exceed the book value of estimated liabilities.
26.Share-based payments
The Company's share-based payments are transactions in which the Company grants equity instruments or
undertakes equity-instrument-based liabilities in return for services from employees [or other parties]. The
share-based payments of the Company consist of equity-settled share-based payments and cash-settled
share-based payments.
Where equity-settled share-based payments are exchanged for providing services by employees, their fair values
are measured at those of employees’ equity instruments. Where the Company makes share-based payments in
restricted stocks and the employee makes capital contributions to subscribe such shares, such shares should not be
circulated or transferred before they reach unlocked conditions and before they are unlocked; if the unlocked
conditions specified in the final equity incentive plan fail to be reached, then the Company should repurchase the
shares at the price agreed in advance. When the Company received the payment of the employee for the
subscription of restricted stocks, it should recognize share capital and capital reserves (share premiums) in
accordance with the payment for subscription received. The Company should fully recognize a liability at the
repurchase obligations and recognize treasury stock at the same time. On each balance sheet date within the
vesting period, the Company will, based on the newly-acquired subsequent information such as the changes in the
number of the vested employees and whether the specified performance is reached, make the best estimate on the
number of the vesting equity instruments. On such basis, the services received in the current period should be
included in the relevant cost or expenses according to fair value on the date of grant and capital reserves should be
accordingly increased. No adjustments should be made to the recognized relevant costs or expenses and total
owners' equity after the vesting date. However, when the right can be exercised immediately after the grant, it
should be included in the relevant costs or expenses at the fair value on the date of grant. The capital reserves
should be increased accordingly.
For share-based payments finally failing to be exercised, costs or expenses should not be recognized, unless the
conditions for vesting are market conditions or non-vesting conditions. At this time, whether market conditions or
non-vesting conditions are met or not, it is deemed to have vesting rights if non-market conditions in all the
vesting conditions are met.
If the terms of the equity-settled share-based payments were modified, the services received should be recognized
at least in accordance with the terms of the unmodified terms. Moreover, the modification of fair value of equity
instruments granted from any increase, or beneficial changes to the employee on the modification date should be
recognized as increases in services obtained.
If the equity-settled share-based payments were cancelled, they should be handled as accelerated exercise of rights
on the date of cancellation and the amount that is not yet recognized should be immediately recognized. Where
employees or other parties could choose to meet non-vesting conditions but failed to meet the conditions in the
vesting period, they should be handed as cancelling the equity-settled share-based payments. But, if new equity
instruments were granted and such new equity instruments granted are recognized to be used to replace the
cancelled equity instruments on the date of grant of new equity instruments, then the alternative equity
instruments for granted should be handled in the way same as the revision to terms and conditions on handling the
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original equity instruments.
27. Preferred shares, perpetual capital securities and other financial instruments
Nil
28.Revenue
Is the company subject to any disclosure requirements for special industries?
Yes
Civil Engineering Construction
The Company complies with the disclosure requirements of the No.7 Industry Information Disclosure Guideline
of Shenzhen Stock Exchange-the Listed Company that Engaged in Civil Engineering and Construction Business.
1. General principles for recognition of revenue from sales of goods:
(1) The significant risk and the rewards of the goods ownership has been transferred to the Buyer by the
Company.
(2) The Company neither reserves the continuous management right which is generally associated with ownership
nor caries out effective control of sold commodities.
(3) Related income amount can be measured in a reliable way;
(4) The relevant economic benefits may flow into the Company;
(5) Relevant costs occurred or to be occurred can be measured in a reliable way.
2. Specific principles
(1) Service revenue
The service revenue provided by the Company mainly refers to the revenue of engineering design. In case that the
results from provision of labor transactions can be estimated reliably, the revenue shall be recognized as per the
important milestones specified by the design contract. Namely, the revenue is recognized as per the percentage of
the workload of important milestones of the completed design in the total design workload and the expected
recoverable contract amount.
If the result of providing service transaction cannot be estimated in a reliable way, the service revenue shall be
determined according to the service costs which has generated and expected to be compensated. The existing
service costs are calculated as the period charges. When it is not probable that the costs incurred will be recovered,
revenue is not recognized.
Provided that sales of commodity and provision of labor can be distinguished and separately measured in the
contract or agreement signed by the Company with other enterprises, sales of commodity and provision of labor
shall be separately disposed. Provided that sales of commodity and provision of labor cannot be distinguished, or
can be distinguished but cannot be separately measured, the entire contract shall be disposed as sales of
commodity.
(2) Income from construction contracts
Under the circumstance that the outcome of a construction contract can be estimated in a reliable way, the contract
revenue and the contract costs shall be recognized in light of the percentage-of- completion method on the date of
the balance sheet. The percentage of completion is determined in the proportion of the accumulated actual
contract costs among the estimated total contract costs.
If the outcome of a contraction contract cannot be estimated in a reliable way, but the contract costs can be
recovered, the contract revenue shall be recognized in accordance with the recoverable actual contract costs and
the contract costs shall be recognized as contract expenses in the current period they are incurred; if the contract
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costs cannot be recovered, they shall be recognized as contract expenses immediately when they are incurred and
no contract revenue shall be recognized. If uncertainties, due to which the outcome of a construction contract
cannot be measured in a reliable way, have passed out of existence, the revenues and expenses pertinent to the
construction contract shall be determined in the percentage-of-completion method.
If the estimated total contract costs exceed the total contract revenue, the estimated loss is recognized as the
expenses for the period.
The cost and the gross profit (loss) accumulatively incurred and recognized of a construction-in-progress contract
and the settled price are presented in the balance sheet with a net amount after offset. The part of the sum of the
cost and the gross profit (loss) accumulatively incurred from a construction-in-progress contract exceeding over
the settled contract price is presented as inventory; and the part of the settled contract price exceeding over the
cost and the gross profit (loss) accumulatively incurred from a construction-in-progress is presented as advance
payment.
(3) Recognized income of hospital business
The income of hospital mainly comes from the outpatient and inpatient departments, and the income recognition
is done at the time of patient‘s settlement.
For the outpatient income, as the patients turning to the outpatient treatment do not need the inpatient treatment
generally, the treatment duration is short, the settlement is made with the hospital at the end of the treatment and
treatment and medicine expense is paid. Financially, such outpatient income shall be recognized at the day of
receipt.
For the inpatient income, as the patient needs to be treated in the hospital for a certain period and a part of the
medical expense shall be prepaid when be admitted to hospital, the inpatient income shall not be recognized at this
moment. When discharging from the hospital, the patient will settle the medical expense for the hospitalization
and the hospital will issue the invoice to the patient. In such case, the income from the inpatient is recognized
financially.
29.Government subsidies
(1)Basis and accounting methods for assets related government subsidies
1.Type
Government subsidies are monetary assets and non-monetary assets freely obtained by the Company from the
government. They are divided into government subsidies related to assets and government subsidies related to
income.
Government subsidies related to assets refer to government subsidies which are acquired by the Company for
construction or form long-term assets in other ways, including the financial allocation for purchasing fixed assets
or intangible assets, the financial discount for special loan of fixed assets and others. Government subsidies
related to income refer to government subsidies other than government subsidies related to assets.
2.Timing of recognition
If a government subsidy is a monetary asset, it shall be measured in the light of the amount received or receivable.
If a government subsidy is a non-monetary asset, it shall be measured at its fair value; and if its fair value cannot
be obtained in a reliable way, it shall be measured at a nominal amount. Government subsidies measured at the
nominal amount are directly included in the current profit or loss.
3.Accounting treatment
Governmental subsidy related to assets will be used to write down the book value of relevant assets or
be confirmed as deferred income. If being confirmed as deferred income, the governmental subsidy will
be recorded in the gain or loss of the current period within the service life of relevant assets with
reasonable and systematic methods (if being related to the Company‘s daily activities, the governmental
subsidy will be recorded in other benefits; if not, they will be recorded in non-operating income).
(2)Basis and accounting methods for income related government subsidies
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The governmental subsidy related to income, if being used to compensate the Company‘s relevant cost expenses
or losses in later period, will be confirmed as deferred income, and be recorded in the gain or loss of the current
period (if beingrelated to the Company‘s daily activities, the governmental subsidy will be recorded in other
benefits; if not, they will be recorded in non-operating income) or be used to write down relevant cost expenses or
losses during the period of confirmation on relevant cost expenses or losses; if being used to compensate the
Company‘s relevant cost expenses or losses already incurred, the governmental subsidy will be directly recorded
in the gain or loss of the current period (if being related to the Company‘s daily activities, the governmental
subsidy will be recorded in other benefits; if not, they will be recorded in non-operating income) or be used to
write down relevant cost expenses or losses.
30. Deferred income tax assets and deferred income tax liabilities
Deferred income tax assets are recognized at deductible temporary differences to the extent that it shall not exceed
the taxable income probably obtained in future period to be against the deductible temporary difference. For
deductible losses and tax credits that can be carried forward to subsequent periods, deferred tax assets arising
therefrom are recognized to the extent that future taxable income will be probable to be available against
deductible losses and tax credits.
Taxable temporary differences are recognized as deferred income tax liabilities except in special circumstances.
Such special circumstances include: the initial recognized of goodwill; other transactions or events that are not a
business combination and affect neither accounting profit nor taxable profit (tax loss).
If the Company has the legal right of netting and intends to settle in net amount or to obtain assets and discharge
liabilities simultaneously, the current income tax assets and current income tax liabilities of the Company shall be
presented based on the net amount after offset.
When the Company has the legal right for netting of current income tax assets and current income tax liabilities
and the income tax assets and income tax liabilities are related to the income tax levied on the same taxpayer by
the same tax administrative department or are related to different taxpayers but, within each future period of
reversal of important income tax assets and income tax liabilities, the taxpayers involved intend to settle current
income tax assets and current income tax liabilities or acquire assets and liquidate liabilities at the same time, the
Company's income tax assets and income tax liabilities shall be presented at the net amount after the offset.
31.Leases
1.Accounting treatment of operating leases
(1) The Company's rental expenses paid for leased assets shall, within the whole lease term excluding the
rent-free period, be amortized with the straight-line method and included in current expenses. Initial direct costs
related to lease transactions paid by the Company shall be included in the current expenses.
When assets lessor bears costs related to the lease borne by the Company, the Company shall deduct the part of
expenses from the total rents and amortize the rents after deduction over the lease term and include them in
current expenses.
(2) The Company's rental expenses collected for leased assets shall, within the whole lease term excluding the
rent-free period, be amortized with the straight-line method and recognized as the relevant rental income. Initial
direct cost associated with leasing transactions paid by the Company should be included in the current cost; the
cost of large amount shall be capitalized and included by stages in the current income according to the same base
recognized at the income related to leasing over the whole leasing period.
When the Company bears costs related to the lease borne by the leasee, the Company shall deduct part of
expenses from the total rents and amortize the rents after deduction over the lease term.
2.Accounting treatment of finance leases
(1) Assets acquired under finance leases: at the inception of the leases, the Company shall recognize the
book-entry value of leased assets at the lower of their fair values or their present values of the minimum lease
payments, and shall recognize the book-entry value of long-term payables at the amounts of the minimum lease
payments, and shall recognize the differences between the above two book-entry values as unrecognized financing
charges. Under the effective interest method, the Company amortizes the unrecognized financing charges over the
lease term and includes them in the financial expenses. The Company records the initial direct expenses in the
values of leased assets.
(2) Assets leased under finance leases: On the lease beginning date, the Company recognizes the difference of
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finance leasing receivables plus unguaranteed residual value and their present value as unrealized financing
income and recognized the unrealized financing income as rental income in each period when the rents will be
received in the future. The initial direct expenses of the Company related to lease are included into the initial
measurement of financing lease payment receivable, and the income recognized in lease period is decreased
accordingly.
32. Other significant accounting policies and estimates
Nil
33.Change of main accounting policies and estimations
(1)Change of main accounting policies
√Applicable □Not applicable
Content and reasons for changes in
Approval procedure Rremark
accounting policies
(2) Change of main accounting estimations
□Applicable √Not applicable
34.Other
VI.Taxation
1.Main categories and rates of taxes
Tax type Tax basis Tax rate(%)
The output tax is calculated based on
taxable income in accordance with tax
laws, and value added tax payable
VAT 0、3、6、11、17
should be the balance of the output tax
after deducting the deductible input tax
for the current year
Paid based on the actual business tax,
Sales tax
VAT and consumption tax paid
Paid as per the turnover tax paid
Urban maintenance and construction tax 1、5、7
actually.
Calculated and paid at turnover tax
Enterprise income tax 15、25
actually paid.
In case there exist any taxpayer paying corporate income tax at different tax rates, disclose the information
Name of taxpayer Income tax rates
Changzhi Shenzhou Laodingshan Industrial Co., Ltd. 25%
Xiangfen County Taoshan Construction Co., Ltd. 25%
Sino Great Wall (Xihua) Economic Development Zone
25%
Investment Co., Ltd.
94
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Liupanshui Central People‘s Hospital Investment Co., Ltd. 25%
Sino Zhigu Industrial (Yueyang) Co., Ltd. 25%
Sino Great Wall Guangxia (Wuhan) Medical Development
25%
Co., Ltd.
Sino Great Wall Infrastructure Investment Co., Ltd. 25%
Wuhan Commercial Workers Hospital LLC 25%
Sino Great Wall Medical Investment Management Co., Ltd. 25%
Sino Great Wall International Engineering Co., Ltd. 15%
Fujian Sino Great Wall Mingyihui Medical Investment Co.,
25%
Ltd.
Sino Great Wall Medical Investment (Hubei) Co., Ltd. 25%
Hubei Yuanyaotong Supply Chain Co., Ltd. 25%
Sino Great Wall Medical Management (Inner Mongolia) Co.,
25%
Ltd.
Sino Great Wall Health Management (Jiangsu) Co., Ltd. 25%
Sino Great Wall New Energy (Beijing) Co., Ltd. 25%
Wu‘an Juhe Photovoltaic Power Co., Ltd. 25%
Shanghai Lingrui International Trading Co., Ltd. 25%
Shenzhen Hongtulve Industrial Co., Ltd. 25%
Guangzhou Herabenna Interior Design Co., Ltd. 25%
Sino Great Wall Southwest Engineering Co., Ltd. 25%
Sino Great Wall Southwest Science and Technology Co., Ltd. 25%
Sino Great Wall Southwest Commercial and Trading Co., Ltd. 25%
Sino Great Wall Southwest Engineering Consultation Co., Ltd. 25%
Sino Great Wall Decoration and Design Co., Ltd. 25%
Suzhou Lvbang Wood Industry Technology Co., Ltd. 25%
Huichang County Zhongcheng Construction Engineering Co.,
25%
Ltd.
Sino Great Wall Zhihui Housing Property (Zhanjiang) Co.,
25%
Ltd.
Great Wall Biaodian Energy Co., Ltd. 25%
Kunming Sino Forest Industry Development Co., Ltd. 25%
Sino Great Wall Development (Hengqin) Co., Ltd. 25%
Sino Great Wall Construction Engineering Co., Ltd. 25%
Sino Great Wall Real Estate (Hubei) Co., Ltd. 25%
95
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
SGW America LLC 21%
Sino Great Wall Group Co.,Limited 17%
Far eastern international engineering company,LLC 20%
Sino Great Wall(Philippines) International Corporation 30%
Sino Wai Man International Engineering Limited 12%
Sino Great Wall (HK) Property Co., Limited 17%
SGW HPEngineeringConstructionSDN.BHD（Malaysia） 24%
SGW VENTURES SDN.BHD.（Venture Company） 24%
SGW CONSTRUCTION (LANGKAWI) SDN.BHD. 24%
Alor Vista Development Sdn Bhd 24%
SINOGREATWALLGENERALTRADING&CONTRACTING
15%
CO.LTD(Kuait)
Shenzhou Changcheng（Lao）Co.,Ltd 25%
Sino Great Wall Group （UK）Co.,Limited 19%
Sino Great Wall International Engineering( MM ) Co.,Ltd 25%
Sino Great Wall International Engineering Co.,Ltd(Maldives) 0%
Inrich Me Engineering Co,.Ltd(HK) 17%
SINO GREAT WALL INTERNATIONAL
12%
ENGINEERING(MACAU) CO.,LIMITED
Sino Great WallInternationalEngineering(Thailand) Co.,Ltd. 20%
Sino Great Wall International Engineering(CNMI) Co.,LLC. 21%
SINO GREAT WALL（USA）.INC 21%
PT.SINO GREAT WALL INVESTMENT INDONESIA 25%
PT.SINO GREAT WALL CONSTRUCTION INDONESIA 25%
Acura Kliniken Baden-Baden GmbH 19%
Wuhan Huaye Pharmaceutical Co., Ltd. 25%
2.Tax preferences
3.Other
VII. Notes to the major items of consolidated financial statement
1. Cash and bank balances
In RMB
Items Year-end balance Year-beginning balance
Cash on hand 5,289,118.55 4,614,087.16
96
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Bank deposit 252,706,397.26 642,608,503.33
Other monetary capital 1,116,601,593.69 957,751,325.63
Total 1,374,597,109.50 1,604,973,916.12
Including: Total amount deposited
77,277,614.52 221,610,258.90
abroad
Other notes
Thereinto, the details of monetary capitals with restrictive use due to mortgage, pledge or freezing etc. and
restrictive monetary capitals depositing in overseas and repatriation are as follows:
Current amount Last amount
Bank acceptance guarantee deposit 278,488,640.49 349,043,551.56
Guarantee bond 537,808,990.13 555,665,432.94
Performance bond
Fixed time deposits or call deposits used for 300,000,000.00 50,000,000.00
guarantee
Overseas funds with limited remittance 22,098.66
Bond for wages of migrant workers 303,963.07 3,020,242.47
Total 1,116,601,593.69 957,751,325.63
2. Financial assets measured at fair value through current profit and loss
In RMB
Items Year-end balance Year-Beginning balance
Other notes：
3.Derivative financial assets
□ Applicable √ Not applicable
4.Note receivables
(1)Classification Note receivable
In RMB
Items Year-end balance Year-beginning balance
Bank acceptance bill 4,710,772.96 15,544,160.00
Commercial acceptance bill 387,317,772.50 272,657,402.88
Total 392,028,545.46 288,201,562.88
97
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
(2) Notes receivable pledged by the Company at the period-end
（3）Notes receivable endorsed or discounted by the Company as at June 30,2018 but not expired on the balance
sheet date
In RMB
Amount underecognized as at June
Items Amount derecognized as at June 30,2018
30,2018
Bank acceptance bill 5,710,000.00
Commercial acceptance bill 260,000,000.00
Total 5,710,000.00 260,000,000.00
（4）There is no notes transferred to accounts receivable because drawer of the notes fails to exited the contract or
agreement
In RMB
Items Amount
Commercial acceptance bill 0.00
Total 0.00
Other notes
5. Account receivable
(1)Classification account receivables.
In RMB
Amount in year-end Amount in year- begin
Bad debt
Book Balance Book Balance Bad debt provision
Category provision Book Book
Amoun Proport Amoun Proport value Amo Proport Amount Proportio value
t ion(%) t ion(%) unt ion(%) n(%)
Receivables
subject to 6,332
5,648,1 616,71 5,031,4
provision for bad 100.00 10.92 ,915, 100.00 626,240 5,706,67
76,303. 1,352.0 64,951. 9.89%
debts on credit risk % % 727.5 % ,483.49 5,244.08
16 4 12
characteristics 7
basis
6,332
5,648,1 616,71 5,031,4
100.00 10.92 ,915, 100.00 626,240 5,706,67
76,303. 1,352.0 64,951. 9.89%
% % 727.5 % ,483.49 5,244.08
16 4 12
Total 7
98
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable √Not applicable
Account receivable on which bad debt provisions are provided on age basis in the group
√ Applicable □Not applicable
In RMB
Balance in year-end
Aging
Account receivable Bad debt provision Proportion(%)
Subitem Within 1 year
Subtotal within 1 year 3,910,816,346.90 195,540,817.35 5.00%
1-2 years 1,103,635,029.32 110,363,502.93 10.00%
2-3 years 309,067,975.44 92,720,392.63 30.00%
3-4 years 161,130,166.66 80,565,083.33 50.00%
4-5 years 130,026,145.20 104,020,916.16 80.00%
Over 5 years 33,500,639.64 33,500,639.64 100.00%
Total 5,648,176,303.16 616,711,352.04
Notes of the basis of recognizing the group:
The Company complies with the disclosure requirements of the No.7 Industry Information Disclosure Guideline
of Shenzhen Stock Exchange-the Listed Company that Engaged in Civil Engineering and Construction Business.
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision：
□ Applicable √ Not applicable
In the groups, other accounts receivable adopting other methods to accrue bad debt provision:
（2）Accrual period, recovery or reversal of bad debts situation
The current amount of provision for bad debts is 121,993,522.74 ; recovery or payback for bad debts Amount is
RMB113,587,478.57.
Significant amount of reversed or recovered bad debt provision：
In RMB
Name Amount Recovery mode
(3) Receivable accounts actually written off in the report period
In RMB
Items Amount
The significant actual write-off accounts receivable:
In RMB
Name Nature of account Amount written Reason for Verification Arising from
99
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
receivable off written-off procedures related
transactions(Y/N)
Notes：
（4）The ending balance of other receivables owed by the imputation of the top five parties
Name Amount in year-end
Account receivable Proportion(%) Bad debt provision
China Harbour Engineering 1,003,444,178.47 17.77% 118,482,837.94
Company Ltd.
POWERCHINA Construction 649,904,063.29 11.51% 56,522,378.64
Group Ltd.
Oxley Diamond (Cambodia) Co., 441,911,888.95 7.82% 22,095,594.45
Ltd
Cambodia petrochemical co. LTD 370,449,132.48 6.56% 18,522,456.62
Henan Henan No.1 Thermal 338,259,078.47 5.99% 44,283,837.21
Power Construction Co., Ltd.
Total 2,803,968,341.66 49.64% 259,907,104.86
（5）Account receivable which terminate the recognition owning to the transfer of the financial assets
Nil
(6)The amount of the assets and liabilities formed by the transfer and the continues involvement of accounts
receivable
Nil
Other notes：
6. Prepayments
（1）Age analysis
In RMB
Balance in year-end Balance in year-begin
Age
Book balance Proportion(%) Book balance Proportion(%)
Within 1 year 201,642,321.00 93.85% 212,854,246.00 94.51%
1-2 years 8,978,204.28 4.18% 11,257,454.64 5.00%
2-3 years 3,425,120.00 1.59% 903,997.25 0.40%
Over 3 years 803,641.00 0.37% 192,829.99 0.09%
Total 214,849,286.28 -- 225,208,527.88 --
Notes：
100
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
(2) Top 5 of the closing balance of the prepayment colleted according to the prepayment target
Name Balance in year-end Proportion
Boer Construction Group Co., Ltd. 25,000,000.00 11.64%
Firstunited General Trading and Contracting Co., Ltd. 23,828,617.02 11.09%
Jiangsu Juye Construction Group Co., Ltd. 23,610,627.75 10.99%
Zhanjiang Construction Engineering Co., Ltd. 22,000,000.00 10.24%
China Harbor Engineering Company Ltd. 9,086,405.77 4.23%
Total 103,525,650.54 48.19%
Other notes
7.Interest receivable
（1）Classification Interest receivable
In RMB
Items Balance in year-end Balance in Year-beginning
（2）Important overdue interest
Is there any
Name Balance in year-end Overdue date Reason impairment and its
judgment basis?
Other notes：
8.Dividend receivable
（1）Dividend receivable
In RMB
Items Amount in year-end Amount in year-beginning
（2）Dividend receivable aging over 1 years
In RMB
Whether the
Items Amount in year-end Age Reason impairment and its
judgment basis
Other notes：
101
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
9. Other accounts receivable
(1) Other accounts receivable disclosed by category
In RMB
Amount in year-end Amount in year- begin
Bad debt
category Book Balance Book Balance Bad debt provision
provision Book Book
Amoun Proport Amoun Proport value Amo Proport Proportio value
Amount
t ion(%) t ion(%) unt ion(%) n(%)
Other accounts
receivable with bad
debt reserve 1,820
1,605,1 160,43 1,444,6
withdrawn as per 100.00 10.57 ,332, 100.00 145,657 1,674,67
20,595. 5,236.3 85,359. 8.07%
the portfolio of % % 846.8 % ,486.56 5,360.28
84 6 48
credit risk 4
characteristics
1,820
1,605,1 160,43 1,444,6
100.00 10.57 ,332, 100.00 145,657 1,674,67
Total 20,595. 5,236.3 85,359. 8.07%
% % 846.8 % ,486.56 5,360.28
84 6 48
4
Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable √Not applicable
Account reveivable on which bad debt proisions are provided on age basis in the group
√ Applicable □ not applicable
In RMB
Amount in year-end
Aging
Account receivable Bad debt provision Rate of alloance(%)
Within item 1 year
Subtotal within 1 year 1,164,638,654.14 58,231,932.71 5.00%
1-2 years 291,252,077.07 29,125,207.71 10.00%
2-3 years 63,835,516.06 19,150,654.82 30.00%
3-4 years 51,431,754.33 25,715,877.17 50.00%
4-5 years 28,755,151.40 23,004,121.12 80.00%
Over 5 years 5,207,442.84 5,207,442.84 100.00%
Total 1,605,120,595.84 160,428,855.19
Notes：
Other receivable account in Group on which bad debt provisions were provided on percentage basis：
□Applicable √Not applicable
102
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other Receivable accounts on which bad debt provisions are provided by other ways in the portfolio：
□Applicable √Not applicable
（2）Bad debt provision accrual collected or switch back
Bad debt provision accrual was 46,811,290.99, the account collected or switches back amounting to RMB
51,033,460.50.
Significant amount of reversed or recovered bad debt provision：
In RMB
Name Amount Recovery mode
(3) Other account receivables actually cancel after write-off
In RMB
Items Amount
Of Which, Other receivable write-off：
In RMB
Whether the
money is
Name Nature Amount Reason program generated by
related party
transactions
Notes：
(4) Other account receivables category by nature of money
In RMB
Nature Ending book balance Beginning book balance
Bidding margins, performance bonds
536,673,592.03 564,988,488.94
and deposits
Petty cash and current accounts between
62,671,091.79 45,065,829.65
individuals
Current accounts between entities 980,808,214.24 1,191,088,012.16
Others 24,967,697.78 19,190,516.09
Total 1,605,120,595.84 1,820,332,846.84
（5）The ending balance of other receivables owed by the imputation of the top five parties
In RMB
Portion in total Bad debt provision
Name Nature Year-end balance Age
other of year-end
103
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
receivables(%) balance
China Electric
Power Current accounts
241,021,370.60 Within 1 year 15.02% 12,051,068.53
Construction between entities
Group Co., Ltd.
Chengdu House payment
Xianglong Real and performance 115,452,000.00 1-2 years 7.19% 10,390,680.00
Estate Co., Ltd. bond
Qingyuan
HefengNew
Current accounts
Energy 75,000,000.00 Within 1 year 4.67% 22,500,000.00
between entities
Technology Co.,
Ltd.
PT.WANXIANG
Current accounts
NICKEL 68,000,000.00 Within 1 year 4.24% 6,800,000.00
between entities
INDONESIA
Hebei Xuxing
Deposit 55,000,000.00 1-2 years 3.43% 5,500,000.00
Industry Co., Ltd.
Total -- 554,473,370.60 -- 34.55% 57,241,748.53
(6) Account receivables with government subsidies involved
In RMB
Estimated time,
Name Project name Amount in year-end At the end of aging
amount and basis
(7) Other account receivables recognition terminated due to transfer of financial assets
(8) Other account receivables transferred and assets & liability formed by its continuous involvement
Other Notes
10.Inventory
（1）Inventory types
In RMB
Year-end balance Year-beginning balance
Items
Provision for Provision for
Book Balance Book value Book Balance Book value
bad debts bad debts
104
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Raw materials 0.00 1,810,694.49 1,810,694.49
Processing
0.00
products
Stock goods 24,579,210.44 24,713.28 24,554,497.16 9,328,819.66 9,328,819.66
Construction co
ntract has been
680,009,952.10 5,051,867.60 674,958,084.50 516,478,683.84 5,051,867.60 511,426,816.24
completed unse
ttled assets
Development
45,943,136.51 45,943,136.51 34,272,995.11 34,272,995.11
cost
Total 750,532,299.05 5,076,580.88 745,455,718.17 561,891,193.10 5,051,867.60 556,839,325.50
Whether the company is required to comply with the "Shenzhen Stock Exchange Industry Information Disclosure
Guidelines No. 4 - listed companies engaged in seed industry, planting business" disclosure requirements
No
(2) Inventory depreciation reserve
In RMB
Year-beginning Increase Decrease
Items
balance Accrual Other Switch back Other
Stock goods 24,713.28 24,713.28
Construction co
ntract has been
5,051,867.60 5,051,867.60
completed unse
ttled assets
Total 5,051,867.60 24,713.28 5,076,580.88
(3) Explanation on inventories with capitalization of borrowing costs included at ending balance
(4) Assets unsettled formed by construction contract which has completed at period-end
In RMB
Items Amount
Accumulated Incurred Cost 20,973,059,511.19
Accumulated Confirmed Gross Profit 5,282,086,405.51
Less: expected loss 5,051,867.60
Settlement Amount 25,575,135,964.60
Unliquidated Completed Assets Formed in the Construction
674,958,084.50
Contract
105
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other notes：
11. Holding assets for sale
In RMB
Estimated disposal
Items End book value Fair value Estimated disposal cost
time
Other notes：
12. Non current assets due within one year
In RMB
Items
Year-end balance Year-beginning balance
Other notes：
13. Other current assets
In RMB
Items
Year-end balance Year-beginning balance
Input VAT 16,047,813.14 15,347,777.42
Expense of prepaid income tax 1,779,133.63
Total 16,047,813.14 17,126,911.05
Other notes：
14. Available-for-sale financial assets
(1) Available-for-sale financial assets
In RMB
Closing balance Opening balance
Items Book Provision of Provision of
Book value Book balance Book value
balance impairment impairment
Available-for-sale 10,338,500.0 10,338,500.0 10,338,500.0
10,338,500.00
equity instruments 0 0 0
10,338,500.0 10,338,500.0 10,338,500.0
Total 10,338,500.00
0 0 0
(2) Available-for-sale financial assets measured at fair value at period-end
In RMB
106
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Available-for-sale
Available-for-sale
Type equity Total
Debt instruments
instruments
(3) Available-for-sale financial assets measured by cost at the period-end
In RMB
Book balance Impairment provision Sharehol
ding
Cash
proporti
bonus of
on
Investee Period-b Period-b the
Decreas Period Decreas Period among
egin Increase egin Increase reportin
e -end e -end the
g period
investee
s
Zhanjian
g
Constru 10,338,5 10,338,5
ction 00.00 00.00
Enginee
ring
10,338,5 10,338,5
Total --
00.00 00.00
(4) Changes of the impairment of the available-for-sale financial assets during the reporting period
In RMB
Available-for-sale Available-for-sale
Type Total
Equity instruments Debt instruments
⑸Relevant description of the end of the fair value of the equity instruments at the end of a serious decline in fair
value or non temporary decline but not related to impairment provision
In RMB
Item of
Reason for not
available-for-sa Falling scope Duration of Withdrawn
Investment cost Ending fair withdrawing
le equity of fair value falling (month) impairment
value the impairment
instruments against the cost amount
Other notes
107
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
15. Held-to-maturity investment
(1) Held-to-maturity investment
In RMB
Year-end balance Year-beginning balance
Items
Provision for Provision for
Book balance Book value Book balance Book value
impairment impairment
(2) Important held-to-maturity investment at period-end
In RMB
Project Face value Interest rate Actual interest rate Expiring date
(3) Reclassify of held-to-maturity investment in the period
Other notes
16. Long-term account receivables
（1）Long-term account receivables
In RMB
End of term Beginning of term
Range of
Items Book Provision for Book Provision for
Book value Book value rate
balance impairment balance impairment
Long-term
16,151,975.9 16,151,975.9 14,328,557.8 14,328,557.8
account
4 4 2 2
receivable
16,151,975.9 16,151,975.9 14,328,557.8 14,328,557.8
Total --
4 4 2 2
(2) Long-term account receivables recognition terminated due to transfer of financial assets
Nil
(3) Long-term account receivables transferred and assets & liability formed by its continuous involvement
Nil
Other notes
17. Long-term equity investment
108
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
In RMB
Increase/decrease Closing
Adjust Declara Withdr balance
Openin Decreas Gain/lo ment of tion of awn of
Investe Add Other Closing
g ed ss of other cash impair impair
es investm equity Other balance
balance investm Investm compre dividen ment ment
ent changes
ent ent hensive ds or provisi provisi
income profit on on
I. Joint ventures
Investm
3,311,2 3,311,2
ent in
11,536. 11,536.
subsidi
66 66
aries
3,311,2 3,311,2
Subtota
11,536. 11,536.
l
66 66
II. Associated enterprises
3,311,2 3,311,2
Total 11,536. 11,536.
66 66
Other notes
18. Investment real estate
(1) Investment real estate by cost measurement
□Applicable √ Not applicable
(2) Investment real estate by fair value
□Applicable √ Not applicable
(3) Investment real estate without certificate of ownership
In RMB
Items Book value Reason
Nil
Other notes
109
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
19. Fixed assets
(1) List of fixed assets
In RMB
Machinery
Items House, building Transportations Other equipment Total
equipment
I. Original price
1. Balance at
103,857,727.50 99,011,854.51 41,578,019.37 14,847,444.63 259,295,046.01
period-beginning
2.Increase in the
356,522,059.87 43,060,321.63 2,521,107.64 15,313,102.76 417,416,591.90
current period
(1) Purchase 45,846.63 7,846,107.26 1,647,091.29 540,002.07 10,079,047.25
（2） Transferred
from construction
in progress
(3)Increased of
Enterprise 356,476,213.24 35,214,214.37 874,016.35 14,773,100.69 407,337,544.65
Combination
3.Decreased
amount of the 1,285,304.99 5,169.60 820,859.82 2,111.28 2,113,445.69
period
（1）Disposal 1,285,304.99 5,169.60 820,859.82 2,111.28 2,113,445.69
4. Balance at
459,094,482.38 142,067,006.54 43,278,267.19 30,158,436.11 674,598,192.22
period-end
II. Accumulated
depreciation
1.Opening balance 19,725,422.54 32,621,369.35 20,803,056.53 11,608,047.03 84,757,895.45
2.Increased
amount of the 204,188,862.41 39,081,555.76 2,193,383.65 13,357,314.31 258,821,116.13
period
(1) Withdrawal 5,102,324.52 5,827,473.63 1,631,901.79 1,015,611.08 13,577,311.02
（2）other 199,086,537.89 33,254,082.13 561,481.86 12,341,703.23 245,243,805.11
3.Decrease in
the reporting 58,155.48 345,934.83 2,005.52 406,095.83
period
（1）Disposal 58,155.48 345,934.83 2,005.52 406,095.83
110
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
4.Closing balance 223,856,129.47 71,702,925.11 22,650,505.35 24,963,355.82 343,172,915.75
III. Impairment
provision
1.Opening balance
2.Increase in the
reporting period
（1）Withdrawal
3.Decrease in
the reporting
period
（1）Disposal
4. Closing balance
IV. Book value
1.Book value of
235,238,352.91 70,364,081.43 20,627,761.84 5,195,080.29 331,425,276.47
the period-end
2.Book value of
84,132,304.96 66,390,485.16 20,774,962.84 3,239,397.60 174,537,150.56
the period-begin
(2) Fixed assets temporarily idled
In RMB
Accumulated Provision for
Items Original book value Book value Remark
depreciation impairment
(3) Fixed assets rented by finance leases
In RMB
Accumulated Accumulated
Items Original book value Book value
depreciation depreciation
House Building 14,392,016.02 12,499,205.18 0.00 1,892,810.84
Machinery equipment 41,794,318.20 29,583,792.38 0.00 12,210,525.82
(4) Fixed assets leased in the operating leases
In RMB
111
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Items End book value
(5) Fixed assets without certificate of title completed
In RMB
Items Book value Reason
International engineering 34,640,848.79 Being processed
Suzhou plant 8,982,474.09 Being processed
Other notes
20. Project under construction
(1)Project under construction
In RMB
Year-end balance Year-beginning balance
Items Book balance Provision for Book value Book balance Provision for Book value
devaluation devaluation
Equipment and
constructions in 707,700.59 707,700.59 4,968,590.96 4,968,590.96
progress
Total 707,700.59 707,700.59 4,968,590.96 4,968,590.96
(2) Changes of significant construction in progress
In RMB
Includi
Capital ng：
ization Curren
Capital
Amou Transf of t
Increas Balanc ization
nt at erred Other Propor Progre interes amoun Source
e at e in of
Name Budget year to decrea tion(% ss of t t of of
this year-e interes
beginn fixed se ) work accum capital funds
period nd t ratio
ing assets ulated ization
（%)
balanc of
e interes
t
Faciliti
es 1,224, 1,224,
0.00
under 800.00 800.00
install
112
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
ation
Liangd
u
Centra
2,630, 6,077, 8,708,
l
910.96 772.97 683.93
Hospit
al
Project
Zhigu 1,112, 3,774, 4,887,
Project 880.00 408.18 288.18
Smart
270,70 270,70
House
0.59 0.59
Project
Comm
ercial 437,00 437,00
hospit 0.00 0.00
al
10,559 14,303
4,968, 1,224,
Total ,881.7 ,672.7 -- -- --
590.96 800.00
4 0
（3）Provision for impairment of construction projects
In RMB
Items Amount Reason
Other notes
21. Engineering Material
In RMB
Items Closing balance Opening balance
Other notes
22. Disposal of fixed assets
In RMB
Items Closing balance Opening balance
Other notes：
113
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
23. Productive biological assets
(1) Measured by cost
□ Applicable √ Not applicable
(2) Measured by fair value
□ Applicable √ Not applicable
24. Oil-and-gas assets
□ Applicable √ Not applicable
25. Intangible assets
（1）Information
In RMB
Non-patent
Items Land use right Patent Software Total
Technology
I. Original price
1.Opening balance 132,460,370.94 4,551,469.92 137,011,840.86
2.Increased
amount of the 44,792,429.91 44,792,429.91
period
(1) Purchase 222,873.47 222,873.47
(2)Internal
Development
(3)Increased of
Enterprise 44,569,556.44 44,569,556.44
Combination
3.Decreased
amount of the 16,360.00 16,360.00
period
（1）Disposal 16,360.00 16,360.00
4. Balance at
177,252,800.85 4,535,109.92 181,787,910.77
period-end
II.Accumulated
amortization
114
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
1. Balance at
6,882,267.85 2,605,128.01 9,487,395.86
period-beginning
2. Increase in the
1,094,384.00 401,165.06 1,495,549.06
current period
(1) Withdrawal 1,094,384.00 401,165.06 1,495,549.06
3.Decreased
amount of the
period
（1）Disposal
4. Balance at
7,976,651.85 3,006,293.07 10,982,944.92
period-end
III. Impairment
provision
1. Balance at
period-beginning
2. Increase in the
current period
(1) Withdrawal
3.Decreased
amount of the
period
（1）Disposal
4. Balance at
period-end
4. Book value
1.Book value at
169,276,149.00 1,528,816.85 170,804,965.85
period -end
2.Book value at
125,578,103.09 1,946,341.91 127,524,445.00
period-beginning
The intangible assets by the end of the formation of the company's internal R & D accounted of the proportion of
the balance of intangible assets
⑵Details of Land use right failed to accomplish certification of property
In RMB
115
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Items Book value Reason
Other notes：
26. Development expenditure
In RMB
Beginning Ending
Items Increase in the period Decrease in period
balance balance
Other notes
27. Goodwill
(1) Original book value of goodwill
In RMB
Name of the
investees or the
Opening balance Increase Decrease Closing balance
events formed
goodwill
（2）Impairment provision of goodwill
In RMB
Name of the
investees or the
Opening balance Increase Decrease Closing balance
events formed
goodwill
Notes of the testing process of goodwill impairment, parameters and the recognition method of goodwill
impairment losses:
Other notes:
28.Long-term amortization expenses
In RMB
Balance in Increase at this Amortization at Balance in
Items Decrease
year-begin period this period year-end
Renovation costs 7,029,913.15 0.00 1,977,938.70 5,051,974.45
Overseas
3,095,000.00 0.00 1,040,913.85 2,054,086.15
guarantee fees
Guarantee fees 0.00 5,424,544.00 925,165.10 4,499,378.90
Less: Long-term 0.00
116
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
deferred expenses
due within one
year
Total 10,124,913.15 5,424,544.00 3,944,017.65 0.00 11,605,439.50
Other notes
29.Deferred income tax assets/deferred income tax liabilities
(1)Details of the un-recognized deferred income tax assets
In RMB
Balance in year-end Balance in year-begin
Items Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference assets difference assets
Provision for asset
777,146,588.40 117,065,718.40 734,228,861.56 133,462,054.67
impairment
Total 777,146,588.40 117,065,718.40 734,228,861.56 133,462,054.67
(2)Details of the un-recognized deferred income tax liabilities
In RMB
Balance in year-end Balance in year-begin
Items Temporarily Temporarily
Deferred Income Tax Deferred Income Tax
Deductible or Taxable Deductible or Taxable
liabilities liabilities
Difference Difference
Appraised increment
of assets for business
278,236,528.90 51,894,878.61 104,355,846.82 26,088,961.71
combination not under
the same control
Total 278,236,528.90 51,894,878.61 104,355,846.82 26,088,961.71
(3) Deferred income tax assets or liabilities listed by net amount after off-set
In RMB
End balance of Trade-off between the Opening balance of
Trade-off between the
deferred income tax deferred income tax deferred income tax
Items deferred income tax
assets or liabilities assets and liabilities at assets or liabilities
assets and liabilities
after off-set period-begin after off-set
Deferred income tax
117,065,718.40 118,233,337.36
assets
117
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Deferred income
51,894,878.61 26,088,961.71
liabilities
(4)Details of income tax assets not recognized
In RMB
Items End of term Beginning of term
Deductible provisional differences 11,552,823.18
Deductible losses 3,133,043.61
Total 14,685,866.79
(5) The un-recognized deductible losses of deferred income tax assets will due in the following years:
In RMB
Year End of term Beginning of term Remark
Other notes：
30 .Other non-current assets
In RMB
Items Closing balance Opening balance
PPP project investment 623,524,570.00 610,524,570.00
Advances for purchase of long-term
278,480,672.79 283,729,420.79
assets
Other investment 188,562,089.12 175,340,581.32
Total 1,090,567,331.91 1,069,594,572.11
Other notes：
31 .Short-term loans
（1）Category of short-term borrowings
In RMB
Items End of term Beginning of term
Pledge borrowings 713,964,614.92 2,137,870,000.00
Mortgage borrowings 43,613,550.00 150,000,000.00
Guaranteed borrowings 1,780,935,316.32 1,189,330,420.55
Commercial acceptance bills endorsed or
discounted but not expired on the 260,000,000.00
balance sheet date
Total 2,798,513,481.24 3,477,200,420.55
Notes to short-term borrowings:
(2) Situation of Overdue Outstanding Short-Term Borrowing
Final overdue outstanding short-term borrowing was zero, and situation of important overdue outstanding
118
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
short-term borrowing was as follows:
In RMB
Unit Closing balance Interest rate Time Overdue interest rate
Other notes：
32. Financial liabilities measured at fair value through current profit and loss
In RMB
Items Closing balance Opening balance
Other notes：
33. Derivative financial liabilities
□ Applicable√ Not applicable
34. Note payable
In RMB
Type Closing balance Opening balance
Commercial acceptance 475,745,011.64 283,190,010.00
Bank acceptance 406,499,093.71 623,407,978.15
Total 882,244,105.35 906,597,988.15
Amount due in next fiscal period is RMB 0.00.
35.Account payable
（1）Account payable
In RMB
Items Closing balance Opening balance
Project engineering Fund 1,212,049,028.27 1,704,130,649.60
Payments for purchase of long-term
assets
Payment for purchase of medicines 14,413,189.08 15,448,438.02
Total 1,226,462,217.35 1,719,579,087.62
（2）Significant accounts payable that aged over one year
In RMB
The reason for not repaid or carried forwar
Items Balance in year-end
d
Other notes：
119
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
36. Accounts received in advance
(1)Accounts received in advance
In RMB
Items End of term Beginning of term
Project engineering Fund 127,873,130.27 145,513,588.44
Accounts received in advance 1,178,716.78 866,264.23
Total 129,051,847.05 146,379,852.67
(2) Accounts payable with major amount and aging of over one year
In RMB
Items Closing balance Reason
（3）Information of unliquidated completed assets formed in the construction contract at the end of the
period
In RMB
Items Amount
Other notes：
37. Employee compensation payable
(1)Classification of employee compensation payable
In RMB
Items Balance in year-begin Increase at this period Decrease at this period Balance in year-end
I.
Short-term remuneratio 20,728,678.96 184,496,842.64 157,373,141.87 47,852,379.73
n
II.
Post-employment bene
1,182,863.11 6,641,104.76 6,757,615.11 1,066,352.76
fits - defined contributi
on plans
Total 21,911,542.07 191,137,947.40 164,130,756.98 48,918,732.49
（2）Short-term remuneration
In RMB
Items Balance in year-begin Increase at this period Decrease at this period Balance in year-end
1.Wages, bonuses, 20,123,644.40 158,998,753.48 132,734,677.09 46,387,720.79
120
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
allowances and
subsidies
2.Employee welfare 13,049,019.18 12,296,647.62 752,371.56
3. Social insurance
596,755.82 8,448,938.02 8,469,807.65 575,886.19
premiums
Including：Medical
501,699.51 8,003,871.21 8,026,724.98 478,845.74
insurance
Work injury insurance 22,668.30 105,889.90 102,612.16 25,946.04
Maternity insurance 72,388.01 339,176.91 340,470.51 71,094.41
4. Public reserves for
8,278.74 3,850,080.17 3,751,822.88 106,536.03
housing
5.Union funds and
150,051.79 120,186.63 29,865.16
staff education fee
Total 20,728,678.96 184,496,842.64 157,373,141.87 47,852,379.73
（3）Defined contribution plans listed
In RMB
Items Balance in year-begin Increase at this period Decrease at this period Balance in year-end
1. Basic old-age
1,153,676.86 6,380,445.34 6,496,828.20 1,037,294.00
insurance premiums
2.Unemployment
29,186.25 260,659.42 260,786.91 29,058.76
insurance
Total 1,182,863.11 6,641,104.76 6,757,615.11 1,066,352.76
Other notes:
38. Taxes payable
In RMB
Items Closing balance Opening balance
VAT 153,383,283.46 32,678,325.28
Enterprise Income tax 229,594,535.61 239,018,994.88
Individual income tax 265,138.45 374,031.94
City Construction tax 3,509,945.52 3,928,587.22
Stamp Tax and other taxes 220,312.15 360,597.97
Educational surtax 2,643,096.05 2,983,381.35
Business tax 74,773,921.03 78,101,559.07
Total 464,390,232.27 357,445,477.71
Other notes：
121
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
39. Interest payable
In RMB
Items Closing balance Opening balance
Long-term loan interest payable 171,538.58 10,819,629.22
Interest payable on short-term
1,604,539.03 5,285,634.63
borrowings
Total 1,776,077.61 16,105,263.85
Particulars of significant overdue unpaid interest:
In RMB
Name Overdue amount Overdue reason
Other notes：
40. Dividends payable
In RMB
Items Closing balance Opening balance
Note: Including significant unpaid dividends payable over one year, the unpaid reason shall be disclosed:
41. Other accounts payable
(1) Other accounts payable listed by nature of the account
In RMB
Items Closing balance Opening balance
Bidding margins, performance bonds
53,631,024.27 48,363,917.10
and deposits
Current accounts between individuals
74,841,390.56 14,453,897.50
and withholding payables
Lendings to shareholders
Current accounts between entities 1,192,725,603.51 450,793,562.35
Other 1,515,785.47 2,854,044.18
Payment for subscription of non-public
0.00 4,500,000.00
offerings
Total 1,322,713,803.81 520,965,421.13
(2) Other payables with large amount and aging of over one year
In RMB
Items Ending balance Reason
Other notes
122
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
42. Divided into liability held for sale
In RMB
Items Closing balance Opening balance
Other notes：
43.Non-current liabilities due within 1 year
In RMB
Items Closing balance Opening balance
Long-term loans due 1 year 487,657,918.14 820,422,471.45
Total 487,657,918.14 820,422,471.45
Other notes：
44.Other current liabilities
In RMB
Items Closing balance Opening balance
Output tax to be carried forward 121,529,600.95
Total 121,529,600.95
Increase or decrease in short-term bonds payable：
In RMB
Premium
Amount This
and Balance
Issuing Issuing in period for
Name Par value Term This issue Interest discount in
date amount year-beg repaymen
amortizati year-end
in t
on
Other notes：
45. Long-term loan
(1) Category of long-term loan
In RMB
Items Balance in year-end Balance in year-begin
Pledged borrowings 400,000,000.00
Mortgage borrowings 16,839,164.49 16,839,164.49
Guarantee loan 456,250,000.00 826,253,306.53
123
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Total 873,089,164.49 843,092,471.02
Notes of short-term loans category:
Other notes including interest rate range:
46.Bond payable
（1）Bond payable
In RMB
Items Closing balance Opening balance
1.Qianhai Wutong Private bond
100,000,000.00 100,000,000.00
No.2016070
2 First period bond financing plan of
Sino Great Wall International 245,000,000.00 245,000,000.00
Engineering Co., Ltd. in 2017
Total 345,000,000.00 345,000,000.00
(2) Changes on bonds payable (not including other financial instrument classified as preferred stock and
perpetual capital securities of financial liabilities)
In RMB
Amorti
Interest
zation
Issue o s Amoun
Openin of Ending
Bond Par val Date of Bond Issued f curre withdra t repaid
g premiu balanc
name ue issue period amount nt peri wn as of
balance m or e
od per par current
discoun
value
t
1.Qianh
ai
Wutong 100,00
2017-1- 2019-1- 99,800, 99,800, 6,200,0
Private 0,000.0
6 6 000.00 000.00 00.00
bond 0
No.201
6070
2 First
period
bond
245,00 245,00 245,00
financi 2017-1 2020-1 2,440,3
0,000.0 0,000.0 0,000.0
ng plan 0-31 0-31 34.25
0 0 0
of Sino
Great
Wall
124
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Internat
ional
Engine
ering
Co.,
Ltd. in
2017
344,80 344,80
8,640,3
Total -- -- -- 0,000.0 0,000.0
34.25
0 0
(3) Note to conditions and time of share transfer of convertible bonds
（4）Other financial instruments that are classified as financial liabilities
The issuance of preferred stock and other financial instruments such as perpetual debt
Table of changes in financial instruments such as preferred stock and perpetual debt
In RMB
External Balance in year-begin Increase at this period Decrease at this period Balance in year-end
financial
Amount Book value Amount Book value Amount Book value Amount Book value
instruments
Notes
47. Long-term payable
(1) Long-term payable listed by nature of the account
In RMB
Items Closing balance Opening balance
Accrued financial lease outlay 63,606,067.75 81,945,567.86
Other notes：
48. Long-term employee salary payable
（1）Long-term employee salary payable
In RMB
Items Closing balance Opening balance
(2) Changes of defined benefit plans
Present worth of defined benefit plans obligation:
In RMB
Items Closing balance Opening balance
125
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Plan assets：
In RMB
Items Closing balance Opening balance
Net liabilities(net assets) of defined benefit plans
In RMB
Items Closing balance Opening balance
Notes to the influence of the content and related risk of defined benefit plans to the future cash flows, time and
uncertainty of the Company:
Notes to analysis results of major actuarial assumptions and sensibility of defined benefit plans
Other notes:
49. Specific payable
In RMB
Balance in Increase at this Decrease at this
Items Balance in year-end Reason
year-begin period period
Other notes：
50. Estimates liabilities
In RMB
Items Balance in year-end Balance in year-begin Reason
Provision for pending
2,958,723.15 3,414,189.15
Pending litigation litigation of the Company
Total 2,958,723.15 3,414,189.15 --
Other notes：
51.Deferred income
In RMB
Balance in Increase at this Decrease at this Balance in
Items Reason
year-begin period period year-end
Germany Hospital 5,999,151.77 5,999,151.77
Total 5,999,151.77 5,999,151.77 --
Details of government subsidies
In RMB
Beginning of New subsidy in Amount Asset-related or
Items Other changes End of term
term current period transferred to income-related
126
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
non-operational
income
Other notes：
52.Other Non-current liabilities
In RMB
Items Closing balance Opening balance
Other notes：
53.Stock capital
In RMB
Increase/decrease this time (+ , - )
Balance
Transferred Balance
Year-beginni Issuing of
Bonus shares from Other Subtotal year-end
ng new share
reserves
Total of 1,698,245,01 1,698,245,01
capital shares 1.00 1.00
Other notes：
54. Other equity instruments
(1) Basic information of preferred stock, perpetual capital securities and other financial instruments
outstanding issued at period-end
(2) Change list of preferred stock, perpetual capital securities and other financial instruments outstanding
issued at period-end
In RMB
Financial Opening period Increase Decrease 少 Closing period
instruments
outstanding Amount Book value Amount Book value Amount Book value Amount Book value
issued
Changes, reason of change and basis of relevant accounting treatment of other equity instruments in reporting
period:
Notes:
55. Capital reserves
In RMB
Year-beginning
Items Increase in current Decrease in current Year-end balance
balance
127
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Share premium -857,285,524.28 -857,285,524.28
Other -442,064,177.46 -442,064,177.46
Total -1,299,349,701.74 -1,299,349,701.74
Other notes, including changes and reason of change:
56.Treasury stock
In RMB
Decrease in the current
Items Year-beginning balance Increase in the current Year-end balance
period
Other notes, including changes and reason of change:
57. Other comprehensive income
In RMB
Amount of current period
Less ： After - ta
Amount Year-e
Year-begin After - tax x attribut
Previously recognize nd
for the p
Items ning Less： attributable able to m
d in profit or loss in o balanc
eriod bef
balance Income tax to the pare inority s
ther comprehensive i e
ore inco
ncome nt company harehold
me tax
ers
2.Other comprehensive
income re-classifiable to -263,008 -263,008.3 595,23
858,242.13
profit or loss in .36 6 3.77
subsequent periods
Balance form the
translation of foreign -263,008 -263,008.3 595,23
858,242.13
currency financial .36 6 3.77
statements
Total of Other -263,008 -263,008.3 595,23
858,242.13
comprehensive income .36 6 3.77
Other notes, including the adjustment of the recognition of initial amount of effective part of the cash flow
hedging gains and losses
58. Special reserves
In RMB
Year-beginning Decrease in the current
Items Increase in the current Year-end balance
balance period
Safety production cost 164,231,078.18 7,271,059.70 100,962,846.23 70,539,291.65
128
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Total 164,231,078.18 7,271,059.70 100,962,846.23 70,539,291.65
Other notes, including changes and reason of change:
59. Surplus reserve
In RMB
Items Year-beginning Increase in the current Decrease in the current Year-end balance
balance period period
Statutory surplus
84,394,441.23 84,394,441.23
reserve
Total 84,394,441.23 84,394,441.23
Other note, including changes and reason of change
60. Retained profits
In RMB
Items
Amount of current period Amount of previous period
After adjustments: Retained profits at the period
1,503,103,396.72 1,228,970,498.86
beginning
Retained profits at the period end 1,651,166,244.75 1,395,682,248.23
As regards the details of adjusted the beginning undistributed profits
(1)As the retroactive adjustment on Enterprise Accounting Standards and its related new regulations, the affected
beginning undistributed profits are RMB 0.00.
(2) As the change of the accounting policy, the affected beginning undistributed profits are RMB 0.00.
(3) As the correction of significant accounting error, the affected beginning undistributed profits are RMB 0.00 .
(4) As the change of consolidation scope caused by the same control, the affected beginning undistributed profits
are RMB 0.00.
(5) Other adjustment of the total affected beginning undistributed profits are RMB 0.00 .
61. Business income, Business cost
In RMB
Items Amount of current period Amount of previous period
129
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Income Cost Income Cost
Main business 1,586,667,973.99 1,312,150,678.84 3,024,948,121.79 2,319,597,133.26
Other business 303,601.25 61,423.62 134,235.01 1,482.50
Total 1,586,971,575.24 1,312,212,102.46 3,025,082,356.80 2,319,598,615.76
62. Business tax and subjoin
In RMB
Items Amount of current period Amount of previous period
Urban construction tax 505,520.08 1,042,829.78
Education surcharg 394,400.96 655,066.85
Property tax 68,451.48
Land use tax 47,718.08
Stamp tax 351.80 128,521.10
Other 1,206,245.21
Total 2,106,518.05 1,942,587.29
Other notes
63.Sales expenses
In RMB
Items Amount of current period Amount of previous period
Wage 2,243,754.49 4,603,916.86
Office fee 132,464.60 4,078,158.29
Travel 99,055.21 393,660.38
Business expenses 308,931.00 128,844.14
Advertising 125,500.00 47,834.95
Advertising 11,051,634.52 7,849,265.92
Other 2,560,282.26 992,905.85
Total 16,521,622.08 18,094,586.39
Other notes：
64. Administrative expenses
In RMB
Items Amount of current period Amount of previous period
Wage 67,710,884.17 68,871,087.57
Office fee 3,693,918.16 8,687,944.68
130
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Rental fees 8,715,549.21 7,347,823.86
Travel expenses 4,994,824.31 5,571,017.05
Entertainment expenses 4,984,925.91 3,996,369.24
Depreciation of fixed assets 8,618,171.30 6,270,469.80
Vehicle costs 1,575,536.62 1,479,810.31
Amortization of long-term prepaid
2,076,778.32 1,939,541.82
expenses
Consulting fees 20,133,330.03 7,555,211.52
Entertainment expenses 821,120.23 823,301.14
Conference expenses 121,178.39 58,389.00
Tax fee 311,342.47
Cultivate fee 37,574.26
Insurance fee 582,826.56
Transportation changes 930,008.46 930,631.36
Other 3,531,636.46 10,713,417.51
Total 127,907,861.57 125,176,758.15
Other notes：
65. Financial expenses
In RMB
Items Amount of this period Amount of last period
Interest expenses 174,606,407.88 96,401,355.73
Less: Interest income 6,490,217.11 4,508,510.14
Gains or losses on exchange -32,447,772.71 28,659,038.33
Discount interest 2,767,616.98
Guarantee expenses 8,617,206.29
Handling charges and others 10,271,507.13 7,875,102.40
Total 145,939,925.19 139,811,809.59
Other notes：
66.Loss of assets impairment
In RMB
Items Amount of this period Amount of last period
Losses on bad debts 4,183,874.66 89,110,933.27
Total 4,183,874.66 89,110,933.27
Other notes：
131
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
67. Gains from changes in fair value
In RMB
Source of the gains from changes in fair
Amount of this period Amount of last period
value
Other notes：
68. Investment income
In RMB
Items Amount of this period Amount of last period
Long-term equity investment income by
5,171,892.51
equity method
Hold the investment income during from
0.00
available-for-sale financial assets
Total 5,171,892.51
Other notes：
69.Assets disposal income
In RMB
Source Amount of this period Amount of last period
Other notes：
70. Other income
In RMB
Source Amount of this period Amount of last period
71. Non-operating income
In RMB
Items Amount of current period Amount of previous period Recorded in the amount of
the non-recurring gains and
losses
Government Subsidy 935,867.42 60,363.52
Other 178,957,486.84 4,384,261.26
Total 179,220,495.20 4,444,624.78
132
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Government subsidy reckoned into current gains/losses
In RMB
Whether the
impact of
Whether Amount of Amount of Assets-relate
Issuing subsidies on
Items Reason Nature special current previous d/income
subject the current
subsidies period period -related
profit and
loss
Other notes：
72. Non-operating expenses
In RMB
The amount of non-operating
Items
Amount of current period Amount of previous period gains & losses
Other 636,300.61 93,122.33
Total 636,300.61 93,122.33
Other notes：
73 .Income tax expenses
(1) Table of income tax expenses
In RMB
Items Amount of current period Amount of previous period
Current income tax expenses 18,832,808.48 68,435,528.34
Deferred income tax expenses -42,571.69 -12,208,390.09
Total 18,790,236.79 56,227,138.25
(2) Adjustment progress of accounting profit and income tax
In RMB
Items Amount of current period
Total profits 161,855,758.33
Expense of income tax calculated with statutory [or applicable]
18,832,808.48
tax rate
Influences of deductible temporary difference or deductible
loss of non-confirmed deferred income tax assets in the current -42,571.69
period
Income tax expense 18,790,236.79
133
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other notes
74 .Other comprehensive income
More details can be seen in Note.
75.Items of Cash flow statement
（1）Other cash received from business operation
In RMB
Items Amount of current period Amount of previous period
Interest income 8,884,622.44 5,594,387.25
Bond, deposit and other intercourse
3,587,412,932.81 2,961,878,910.22
funds
Governmental subsidy 0.00
Total 3,596,297,555.25 2,967,473,297.47
Notes：
(2)Other cash paid related to operating activities
In RMB
Items Amount of current period Amount of previous period
Handling charges 8,436,090.29 9,715,737.69
Margin and deposit expenses 507,914,597.76 390,616,487.26
Selling expenses 2,108,633.03 1,218,208.55
General and administrative expenses 164,665,583.14 103,574,686.71
Current accounts 1,894,830,019.27 2,939,598,205.33
Total 2,577,954,923.49 3,444,723,325.54
Notes：
（3）Other Cash received related to investment activities
In RMB
Items Amount of current period Amount of previous period
Notes：
134
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
（4）Other Cash payable related to investment activities
In RMB
Items Amount of current period Amount of previous period
Notes
（5）Other Cash received related to Financing activities
In RMB
Items Amount of current period Amount of previous period
Notes：
（6）Other Cash payable related to Financing activities
In RMB
Items Amount of current period Amount of previous period
Paid personal or company financing
fund
Paid trust deposit
Paid financing fees 60,833.33
Total 60,833.33
Notes：
76. Supplement Information for cash flow statement
（1）Supplement Information for cash flow statement
In RMB
Supplement Information Amount of current period Amount of previous period
I. Adjusting net profit to cash flow from
-- --
operating activities
Net profit 143,065,521.54 279,471,430.55
Add: Impairment loss provision of assets 4,183,874.66 89,110,933.27
Depreciation of fixed assets, oil and gas
12,300,753.00 6,270,469.80
assets and consumable biological assets
Amortization of intangible assets 804,312.23 1,754,011.80
Amortization of Long-term deferred
6,993,115.98 1,939,541.82
expenses
135
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Loss from fixed asset retirement -570,793.76
Financial expenses 145,939,925.19 139,811,809.59
Investment loss -5,171,892.51
Decrease in deferred income tax assets 1,167,618.96 -14,181,797.35
Increased of deferred income tax liabilities 25,805,916.90 -956,819.50
Decrease of inventories -175,020,420.56 30,297,693.75
Decease of operating receivables 628,339,650.86 -1,224,519,302.24
Increased of operating Payable 310,326,783.14 155,004,448.32
Net cash flows arising from operating
1,098,164,365.63 -535,997,580.19
activities
II. Significant investment and financing
-- --
activities that without cash flows:
III ． Movement of cash and cash
-- --
equivalents：
Ending balance of cash equivalents 258,018,921.01 1,446,473,740.35
Less: Beginning balance of cash
647,222,590.49 943,705,322.41
equivalents
Net increase of cash and cash equivalents -389,203,669.48 502,768,417.94
（2）Net Amount of Cash Paid for Acquisition of Subsidiaries in Current Period
In RMB
Amount
Including --
Including --
Including --
Other notes：
(3) Net Cash receive of disposal of the subsidiary
In RMB
Amount
Including --
Including --
Including --
Other notes：
136
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
（4）Composition of cash and cash equivalents
In RMB
Items Balance in year-end Balance in year-Beginning
I. Cash 258,018,921.01 647,222,590.49
5,400,461.90 1,446,473,740.35
Of which: Cash in stock
Bank savings could be used at any time 252,595,053.91
III. Balance of cash and cash equivalents
258,018,921.01 647,222,590.49
at the period end
Other notes：
77. Note of statement of changes in the owner's equity
Explain "other" project name and adjustment amount of the adjustment of closing balance in previous year, etc.
78. The assets with the ownership or use right restricted
In RMB
Items Book value in year-end Reason
Other notes：
79. Foreign currency monetary items
(1) Foreign currency monetary items
In RMB
Closing foreign currency Closing convert to RMB
Items Exchange rate
balance balance
Monetary fund -- --
Including：USD 5,809,831.62 6.6166 38,441,331.90
Euro 11,513.17 7.6515 88,093.02
HKD 11,055,871.58 0.8431 9,321,205.33
Riyal 11,513.17 7.6515 88,093.02
Rupee（Sri lank） 683,729.38 1.8172 1,242,505.85
MOP 39,853,766.22 0.0418 1,665,801.83
Peso 109,000.18 0.8193 89,302.95
MMK 1,386,804.51 0.1238 171,623.40
RM 49,448,624.06 0.0047 230,572.07
KWD 2,498,160.73 1.6373 4,090,316.38
IDR 186,517.21 21.8767 4,080,376.17
LAK 2,870,713.86 0.0005 1,321.35
137
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Ruble 14,502,000.00 0.0008 11,387.84
DHS 5,090,933.47 0.1054 536,486.34
THB 478,180.27 1.8020 861,679.23
1,643,613.35 0.1998 328,368.03
Account receivable -- --
Including：USD 145,530,006.35 6.6166 962,913,840.04
Euro 338,667.52 7.6515 2,591,314.53
HKD
Rupee（Sri lank） 765,226,004.27 0.0418 31,984,803.41
GBP 1,362,817.67 0.8193 1,116,545.24
KWD 61,330,313.16 21.8767 1,341,703,256.92
Riyal 357,701,359.03 1.8172 650,032,082.44
RM 64,298,948.73 1.6373 105,278,671.68
DZD 19,555,262.81 0.0562 1,098,185.82
Long –term borrowing -- --
Including：USD
Euro
HKD
Advances to suppliers 0.00 0.00
Including：USD 2,271,051.61 6.6166 15,026,640.08
Riyal 158,589.22 1.8172 288,195.94
RM 856,048.89 1.6373 1,401,635.51
Rupee (Sri Lanka) 5,075,716.69 0.0418 212,154.06
Ruble 28,343,100.63 0.1054 2,986,816.94
KWD 4,268,471.62 21.8767 93,379,961.38
Other receivable 0.00 0.00
Including：USD 2,229,411.69 6.6166 14,751,125.39
HKD 7,164.68 0.8431 6,040.54
Rupee (Sri Lanka) 40,133,778.80 0.0418 1,677,505.75
RM 2,100,482.03 1.6373 3,439,184.66
Peso 146,997.00 0.1238 18,191.55
DZD 0.00 0.0562 0.00
MMK 25,039,954.91 0.0047 116,757.83
THB 146,175.05 0.1998 29,203.47
138
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Riyal 136,256,996.76 1.8172 247,612,756.05
Ruble 4,943,825.61 0.1054 520,984.00
DHS 3,277,277.06 1.8020 5,905,642.16
Euro 0.00 7.6515 0.00
KWD 1,460,981.66 21.8767 31,961,419.25
Account payable 0.00 0.00
Including：USD 59,110,187.50 6.6166 391,108,466.61
Riyal 6,064,647.10 1.8172 11,020,967.87
Rupee (Sri Lanka) 405,424,265.53 0.0418 16,945,863.52
Peso 44,130.43 0.1238 5,461.34
RM 28,495,338.26 1.6373 46,656,304.97
MMK 1,121,875.00 0.0047 5,231.15
Ruble 726,164.63 0.1054 76,523.77
THB 4,536.36 0.1998 906.29
KWD 1,529,180.73 21.8767 33,453,388.06
Advance receipts 0.00 0.00
Including：USD 0.00 6.6166 0.00
DZD 393,934,866.66 0.0562 22,122,621.93
Euro 0.00 7.6515 0.00
DHS 5,533,806.27 1.8020 9,971,900.15
THB 0.00 0.1998 0.00
Other payable 0.00 0.00
Including：USD 316,436.18 6.6166 2,093,731.63
Peso 8,447.15 0.1238 1,045.37
Riyal 70,300.00 1.8172 127,752.54
HKD 407.62 0.8431 343.66
KWD 865,313.29 21.8767 18,930,176.61
RM 1,090,569.89 1.6373 1,785,624.05
Rupee (Sri Lanka) 39,528,917.53 0.0418 1,652,223.85
Ruble 14,110.76 0.1054 1,487.00
DHS 1,350.00 1.8020 2,432.70
Other notes：
139
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
(2) Explanation on foreign operational entity, as for major foreign operational entity, disclosed foreign main
operation land, book-keeping currency and basis; and disclosed reasons if the book-keeping currency changed
□ Applicable √Not applicable
80. Hedging
Disclose hedging items by type of hedging as well as relevant arbitrage tool, qualitative and quantitative
information for arbitrage project:
81.Other
VIII. Changes of consolidation scope
1. Enterprise consolidation not under the same control
（1）Business combinations not under common control in the reporting period
In RMB
Revenue of Net profit of
Recognition
Timing of Costs for Proportion of Method of the acquire the acquiree
Acquisition basis of the
Acquiree acquisition of acquisition of equities acquisition of from the from the
date acquisition
equities equities acquired (%) equities acquisition acquisition
date
date date
Other notes：
（2）Combination cost and goodwill
In RMB
Combination cost
Notes to determination method, consideration and changes of fair value of combined cost:
The main formation reason for the large goodwill:
Other notes:
(3) The identifiable assets and liabilities of acquiree at purchase date
In RMB
Fair value on the acquisition date Book value on the acquisition date
Determination method for fair value of the identifiable assets and liabilities:
Contingent liability of the acquiree bear during combination:
Other explanation:
(4) The profit or loss from equity held by the date before acquisition in accordance with the fair value
measured again
Whether there is a transaction that through multiple transaction step by step to realize enterprises merger and
140
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
gaining the controlling the reporting period
□ Yes √ No
(5) Note to merger could not be determined reasonable consideration or Identifiable assets, Fair value of
liabilities of the acquiree at acquisition date or closing period of the merge
(6) Other notes:
2. Business combination under the same control
(1) Business combination under the same control during the reporting period
In RMB
Income from Net profits
the from the
Recognition Income Net profits
period-begin reporting
Combined Proportion of Combination basis of during the during the
Basis to the period to the
party the profits date combination period of period of
combination combination
date comparison comparison
date of the date of the
combination combination
Other notes：
(2) Combination cost
In RMB
Combination cost
Notes to contingent consideration or other changes:
Other notes:
(3) The book value of the assets and liabilities of the combined party at combining date
In RMB
Combination date Last closing period
Notes to contingent consideration or other changes:
Other notes:
3. Counter purchase
Basic information of trading, the basis of transactions constitute counter purchase, the retain assets , liabilities of
the listed companies whether constituted a business and its basis, the determination of the combination costs, the
amount and calculation of adjusted rights and interests in accordance with the equity transaction process.
4. The disposal of subsidiary
Whether there is a single disposal of the investment to subsidiary and lost control
□ Yes √ No
In RMB
Equity Equity Loss of Determi The Proporti The The fair Regainin Determin The
Disposal
Name disposal disposal control ning the differenc on of book value of g gains ation of amount
of equity
price ratio point basis for e remainin value of the or losses the fair of other
141
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
the loss between g stocks the remainin arising value of compreh
of the at the remainin g equity from the ensive
control disposal date of g equity at the re-measu remainin income
price and loss of at the date of rement g equity related to
the share control date of loss of of the at the the
of the loss of control remainin date of atomic
subsidiar control g equity loss of company
y's net at fair control 's equity
assets at value rights investme
the level and its nt
of the main transferr
consolid assumpti ed to
ated ons investme
financial nt profit
statemen and loss
t
correspo
nding to
the
disposal
of the
investme
nt
Other notes：
Whether there are multiple transactions step by step dispose the investment to subsidiary and lost control in
reporting period
□ Yes √ No
5. Other reasons for the changes in combination scope
Notes to reasons for the changes in combination scope (Newly established subsidiary and subsidiary of liquidation)
and relevant information:
142
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
6.Other
IX. Equity in other entity
1. Equity in subsidiary
（1）Constitute of enterprise group
Registered Share-holding ratio
Subsidiary Main operation Business nature Acquired way
place Directly Indirectly
Sino Great Wall
Under
International Decoration
Beijing Beijing 100.00% non-common
Engineering industry
control
Co., Ltd.
Sino Great Wall Investment
Infrastructure management, Establishment
Beijing Beijing 100.00%
Investment Co., import and
Ltd. export
Sino Great Wall
Medical
Medical Establishment
Investment Beijing Beijing 100.00%
investment
Management
Co., Ltd.
Wuhan
Under
Commercial Sanitary &
Wuhan Wuhan 100.00% non-common
Workers medical service
control
Hospital LLC
Medical
technology
Sino Great Wall development,
Guangxia pharmaceutical
(Wuhan) sales, medical Establishment
Wuhan Wuhan 60.00%
Medical device
Development wholesale,
Co., Ltd. medical and
pension
investment
Changzhi Urban
Shenzhou infrastructure
Establishment
Laodingshan Changzhi Changzhi construction 100.00%
Industrial Co., and
Ltd. development,
143
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
construction
engineering
design, R&D,
construction
equipment
leasing,
construction
Xiangfen
Urban
County
infrastructure Establishment
Taoshan Xiangfen Xiangfen 100.00%
construction,
Construction
trade
Co., Ltd.
Infrastructure
Sino Great Wall investment,
(Xihua) road and bridge
Economic construction,
Establishment
Development Xihua Xihua water 100.00%
Zone conservancy
Investment Co., construction,
Ltd. general airport
construction
Hospital
management
service,
Liupanshui
pension
Central
rehabilitation
People‘s Establishment
Liupanshui Liupanshui service, 75.00%
Hospital
investment,
Investment Co.,
trade, aged
Ltd.
articles
wholesale and
retail
Sino Zhigu
Industrial Building Establishment
Yueyang Yueyang 78.30%
(Yueyang) Co., construction
Ltd.
Construction,
Sino Great Wall
design, trade, Establishment
Group Hongkong Hongkong 100.00%
investment
Co.,Limited
consulting
Sino Great Wall Design and
Beijing Beijing 100.00% Establishment
Decoration and consulting
144
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Design Co.,
Ltd.
Sino Great Wall
International
Design and Establishment
Engineering Macao Macao 96.00% 4.00%
construction
(Macao) Co.,
Ltd.
Suzhou Lvbang
Wood Industry Production and Establishment
Suzhou Suzhou 100.00%
Technology sales
Co., Ltd.
Guangzhou
Herabenna Establishment
Guangzhou Guangzhou Design 100.00%
Interior Design
Co., Ltd.
Shenzhen Investment,
Hongtulve R&D and sales, Establishment
Shenzhen Shenzhen 100.00%
Industrial Co., trade, import
Ltd. and export
Mechanical and
electrical
Inrich Me engineering,
Establishment
Engineering Hongkong Hongkong scientific 100.00%
Co., Ltd. research, trade,
investment
consulting
Sino Great Wall
Real Estate Real estate Establishment
Wuhan Wuhan 80.00%
(Hubei) Co., development
Ltd.
Sino Great Wall
Renewable
New Energy Establishment
Beijing Beijing energy 100.00%
(Beijing) Co.,
technology
Ltd.
Shanghai
Trade
Lingrui
Establishment
International Shanghai Shanghai 100.00%
Trading Co.,
Ltd.
Sino Great Wall
Building under
Construction Chengdu Chengdu 60.00%
construction non-common
Engineering
145
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Co., Ltd. control
Sino Great Wall
under
Southwest Building
Chengdu Chengdu 100.00% non-common
Engineering construction
control
Co., Ltd.
Huichang
Medical
County
industry under
Zhongcheng
Huichang Huichang construction, 100.00% non-common
Construction
import and control
Engineering
export
Co., Ltd.
Great Wall
Energy trade,
Biaodian Establishment
Beijing Beijing R&D, import 51.00%
Energy Co.,
and export
Ltd.
Real estate
Sino Great Wall development,
Zhihui Housing interior
Establishment
Property Zhanjiang Zhangjiang decoration 100.00%
(Zhanjiang) works for
Co., Ltd. buildings
and houses
SINO GREAT
WALL
INTERNETIO
Design and Establishment
NAL Saipan Saipan 100.00%
construction
ENGINEERIN
G(CNMI)CO.,
LLC
SINO?GREAT
?WALL?GENE
under
RAL?TRADIN Building
Kuwait Kuwait 49.00% non-common
G?&?CONTR construction
control
ACTING?CO.L
TD
Sino Great Wall
International Design and Establishment
Burma Burma 80.00%
Engineering( M construction
M ) Co.,Ltd
PT.SINO
Building Establishment
GREAT WALL Indonesia Indonesia 67.00%
construction
CONSTRUCTI
146
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
ON
INDONESIA
Shenzhou
Building Establishment
Changcheng Laos Laos 100.00%
construction
（Lao）Co.,Ltd
Engaged in
domestic and
international
construction
contracting,
interior and
exterior
decoration of
buildings,
accepting bids
to obtain
bidding civil
engineering
Sino Great projects of
WallInternation government
Establishment
alEngineering( Thailand Thailand agencies (cities, 49.00%
Thailand) organs, etc.),
Co.,Ltd. individuals and
legal entities;
engaged in
leasing, sales,
export,
purchase of
various
construction
materials and
construction
equipment, and
real estate
development,
etc.
Sino Great Wall
International Design and Establishment
Maldives Maldives 100.00%
Engineering construction
Co.,Ltd
PT.SINO
Real estate or Establishment
GREAT WALL Indonesia Indonesia 99.90%
leasing
INVESTMENT
147
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
INDONESIA
SGW America Construction, Establishment
USA USA 99.00% 1.00%
LLC design
Sino Great Wall
Design and Establishment
Group （UK） Britain Britain 98.00%
construction
Co.,Limited
Development,
Kunming Sino
construction,
Forest Industry Establishment
Kunming Kunming 51.00%
Development
operation and
Co., Ltd.
management of
industrial parks
SINO GREAT
Legal business Establishment
WALL USA USA 100.00%
practices
（USA）.INC
Sino Great Wall
Development Design and Establishment
Zhuhai Hengqin 85.00%
(Hengqin) Co., construction
Ltd.
Investment in
Fujian Sino medical and
Great Wall pension
Mingyihui industry; Establishment
Fuzhou Fuzhou 87.50%
Medical hospital
Investment Co., management;
Ltd. medical device
sales
Investment in
medical
industry
Sino Great Wall projects;
Medical self-operation
Establishment
Investment Wuhan Wuhan and agency of 100.00%
(Hubei) Co., the import and
Ltd. export business
of various
goods and
technology
148
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Sino Great Wall
Pharmaceutical
Medical
development,
Management Establishment
Hohehot Hohehot pharmaceutical 62.00%
(Inner
sales, medical
Mongolia) Co.,
device sales
Ltd.
Health
Sino Great Wall
consulting,
Health
fitness, pension Establishment
Management Jingjiang Jingjiang 51.00%
service and
(Jiangsu) Co.,
medical device
Ltd.
sales
Pharmaceutical
wholesale,
Hubei
self-operation
Yuanyaotong Establishment
Wuhan \Wuhan and agency of 51.00%
Supply Chain
the import and
Co., Ltd.
export of goods
and technology
Wu‘an Juhe
Solar Establishment
Photovoltaic Wuan Wuan 100.00%
photovoltaic
Power Co., Ltd.
Computer
technology
service,
Sino Great Wall
Southwest
software and Establishment
Science and Chengdu Chengdu 100.00%
Technology
hardware
Co., Ltd.
R&D sales,
equipment
installation
Sino Great Wall
Southwest
Wholesale and Establishment
Commercial Chengdu Chengdu 100.00%
sales
and Trading
Co., Ltd.
149
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Sino Great Wall Construction
Southwest engineering
Establishment
Engineering Chengdu Chengdu design, 100.00%
Consultation consulting,
Co., Ltd. survey
Building
Far eastern
construction, under
international
Russia Russia commerce and 95.00% non-common
engineering
trade, transport, control
company,LLC
leasing
Sino Great Building
Wall(Philippine construction, Establishment
Philippines Philippines 100.00%
s) International import and
Corporation export trade
Real estate
development
and
management,
land
Sino Great Wall
investment, Establishment
(HK) Property Hongkong Hongkong 100.00%
property
Co., Limited
management,
investment and
business
consulting,
trade
Building
construction,
engineering
SGW
design,
HPEngineering Establishment
Malaysia Malaysia installation 100.00%
ConstructionS
project,
DN.BHD
mechanical and
electrical
installation, etc.
Purchased, or
otherwise
SGW obtained,
Establishment
VENTURES Malaysia Malaysia attributes, 100.00%
SDN.BHD. stocks, bonds,
reinvested
earnings, etc.
150
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Building
construction,
SGW engineering
CONSTRUCTI design,
Establishment
ON Malaysia Malaysia installation 100.00%
(LANGKAWI) project,
SDN.BHD. mechanical and
electrical
installation, etc.
Real estate
development and
Alor Vista under
management,
Development Malaysia Malaysia 51.00% non-common
land investment,
Sdn Bhd control
building and
construction, etc.
SINO GREAT
WALL
under
GENERAL Building
Kuwait Kuwait 100.00% non-common
TRADING & construction
control
CONTRACTI
NG CO.,LTD
Acura Kliniken Hospital under
Baden-Baden Germany Germany management 100.00% non-common
GmbH service control
Hardware and
electrical
equipment,
Wuhan Huaye decoration and under
Pharmaceutical Wuhan Wuhan building 51.00% non-common
co., Ltd. materials, control
fitness
equipment
wholesale
Sino Wai Man Engineering,
International design, trade,
Macao Macao 60.00% Establishment
Engineering investment,
Limited consulting
Explanation on share-holding ratio in subsidiary different from ratio of voting right：
Basis for controlling the invested entity with half or below voting rights held and without controlling invested
entity but with over half and over voting rights：
Controlling basis for the structuring entity included in consolidated range：
Basis on determinning to be a agent or consignor：
151
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other notes：
（2）Significant not wholly-owned subsidiaries
Holding proportion of minority shareholder in subsidiary different from voting proportion:
Other notes:
(3) The main financial information of significant not wholly owned subsidiary
Other notes:
(4) Significant restrictions of using enterprise group assets and pay off enterprise group debt
(5) Provide financial support or other support for structure entities incorporate into the scope of
Other notes
2. The transaction of the Company with its owner’s equity share changed but still controlling the subsidiary
(1) Note to owner’s equity share changed in subsidiary
(2) The transaction’s influence to equity of minority shareholders and attributable to the owner's equity of
the parent company
In RMB
Other notes
3. Equity in joint venture arrangement or associated enterprise
(1) Significant joint venture arrangement or associated enterprise
Proportion Accounting
treatment of the
Main operating investment of
Name Registration place Business nature
place Directly Indirectly joint venture or
associated
enterprise
Notes to holding proportion of joint venture or associated enterprise different from voting proportion:
Basis of holding less than 20% of the voting rights but has a significant impact or holding 20% or more voting
rights but does not have a significant impact:
（2）Main financial information of Significant joint venture
In RMB
Amount of current period Amount of previous period
Other notes
(3) Main financial information of significant associated enterprise
In RMB
Amount of current period Amount of previous period
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Other notes
(4) Summary financial information of insignificant joint venture or associated enterprise
In RMB
Amount of current period Amount of previous period
Joint venture: -- --
The total number of the following -- --
Associated enterprise： -- --
The total number of the following -- --
Other notes
(5) Note to the significant restrictions of the ability of joint venture or associated enterprise transfer funds
to the Company
(6) The excess loss of joint venture or associated enterprise
In RMB
The cumulative recognized The derecognized losses or the The no cumulative
Name losses in previous share of net profit in reporting unrecognized losses in reporting
accumulatively derecognized period period
Other notes
(7) The unrecognized commitment related to joint venture investment
(8) Contingent liabilities related to joint venture or associated enterprise investment
4. Significant common operation
Main operating place Proportion/share portion
Name Registration place Business nature
Registration place Directly Indirectly
Note to holding proportion or share portion in common operation different from voting proportion:
Basis of common operation as a single entity, classify as common operation
Other notes
5. Equity of structure entity not including in the scope of consolidated financial statements
Related notes to structure entity not including in the scope of consolidated financial statements
6.Other
X. The risk related financial instruments
XI. The disclosure of the fair value
1. Closing fair value of assets and liabilities calculated by fair value
In RMB
Closing fair value
Fir value Fiar value Fiar value
Items
measurement items at measurement items at measurement items at Total
level 1 level 2 level 3
II. Consistent fair value -- -- -- --
153
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
II. Inconsistent fair
-- -- -- --
value measurement
2. Market price recognition basis for consistent and inconsistent fair value measurement items at level 1
3. Valuation technique adopted and nature and amount determination of important parameters for
consistent and inconsistent fair value measurement items at level 2
4. Valuation technique adopted and nature and amount determination of important parameters for
consistent and inconsistent fair value measurement items at level 3
5. Sensitiveness analysis on unobservable parameters and adjustment information between opening and
closing book value of consistent fair value measurement items at level 3
6. Explain the reason for conversion and the policy governing when the conversion happens if conversion
happens among consistent fair value measurement items at different levels
7. Changes in the valuation technique in the current period and the reason for change
8. Fair value of financial assets and liabilities not measured at fair value
9.Other
XII. Related party and related party transactions
1.Parent company information of the enterprise
The parent company The parent company
Name Registered address Nature Registered capital of the Company's of the Company’s
shareholding ratio vote ratio
Notes
The finial control of the company was:
Other notes：
2. Subsidiaries of the Company
Situation of the enterprise subsidiaries refer to the Notes.
3. Information on the joint ventures and associated enterprises of the Company
The details of significant joint venture and associated enterprise of the Company
Information on other joint venture and associated enterprise of occurring related party transactions with the
Company in reporting period, or form balance due to related party transactions in previous period:
Name Relationship
Other notes
4.Other Related parties information of the enterprise
Other Related parties name Relation of other Related parties with the company
The shareholders of the company and the brother-in-law of the
HE SEN
actual controller
The shareholders of the company and the spouse of the actual
HE FEIYAN
controller
LI ERLONG Directors, supervisors and senior management of the company
154
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Qinghai integrated trading co. LTD The company's director wang lei control of the enterprise
Qinghai integrated mining co. LTD The company's director wang lei control of the enterprise
Kunwu jiuding investment management co. LTD and its related More than 5% of the company's shareholders and subject to the
parties same control enterprise
The directors of the company shall be the wholly-owned
Beijing polaroid technology co. LTD
subsidiary of the company
Other notes
5. Related transactions.
（1）Related transactions on purchasing goods and receiving services
Acquisition of goods and reception of labor service
In RMB
Content of related Amount of current Amount of previous Over the trading limit
Related parties Amount of last period
transaction or not?
period period
Related transactions on sale goods and receiving services
In RMB
Related parties Content of related transaction Amount of current period Amount of previous period
Notes
（2）Related trusteeship or contracting
Related trusteeship or contracting in which the Company is the undertake
In RMB
Gains from the
Name of the Name of the Asset situation of
Start date Terminating date Pricing basis deal in report
employer undertaker the undertaker
period
Notes
(3) Information of related lease
The company was lessor:
In RMB
The lease income confirmed in The lease income confirmed in
Name of lessee Category of leased assets
this year last year
The Company was lessee：
In RMB
The lease income confirmed in
Lessor Category of leased assets Category of leased assets
this year
155
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Notes
（4）Related guarantee condition
The Company as a guarantor
In RMB
Guarantor Amount Starting date Stop date If completed or not
The Company was secured party
In RMB
Guarantor Guarantee Amount Starting date Stop date If completed or not
Notes
(5) Inter-bank lending of capital of related parties：
In RMB
Amount borrowed and
Related party Initial date Due date Notes
loaned
Borrowed
Loaned
(6) Related party asset transfer and debt restructuring
In RMB
Related party Amount borrowed and loaned
Amount of current period Amount of previous period
(7) Rewards for the key management personnel
In RMB
Items Amount of current period Amount of previous period
（8）Other related party transactions
6.Payables and receivables of the related party
（1）Receivable
In RMB
Amount at year end Amount at year beginning
Name Related party
Balance of Book Bad debt Provision Balance of Book Bad debt Provision
Kunwu jiuding
Accounts receivable investment 427,613.49 21,380.67 1,227,613.49 61,380.67
management co.
156
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
LTD and its related
parties
Beijing polaroid
160,000.00 16,000.00 160,000.00 16,000.00
technology co. LTD
Shanghai oneness
supply chain
2,469,164.81 123,458.24 2,469,164.81 123,458.24
management co.
LTD
（2）Payables
In RMB
Name Related party Book balance at year end Book balance at year beginning
Accounts payable Qinghai integrated trading co. 3,190,000.00
LTD
7. Related party commitment
8.Other
XIII. Stock payment
1. The Stock payment overall situation
□ Applicable √ Not applicable
2. The Stock payment settled by equity
□ Applicable √ Not applicable
3. The Stock payment settled by cash
□ Applicable √ Not applicable
4. Modification and termination of the stock payment
5.Other
XIV. Commitments
1.Importance commitment events
Important commitments of existence of balance sheet date
157
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
2. Contingency
(1) Significant contingency at balance sheet date
(2) The Company have no significant contingency to disclose, also should be stated
There was no significant contingency in the Company.
3.Other
XV. Events after balance sheet date
1. Significant events had not adjusted
In RMB
Influence number to the
Reason of unable to estimate
Items Content financial position and operating
influence number
results
2. Profit distribution
3. Sales return
4.Notes of other significant events
XVI. Other significant events
1.The accounting errors correction in previous period
（1）Retrospective restatement
In RMB
Name of the influenced report
Content Processing program items during comparison Cumulative impact
period
Nil
（2）Prospective application
Reason of adopting prospective
Content Processing program
application
Nil
158
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
2. Debt restructuring
Nil
3. Replacement of assets
（1）Non-monetary assets exchange
Nil
（2）Other assets replacement
Nil
4. Pension plan
Nil
5.Discontinuing operation
In RMB
Termination of
the business
profits
Items Income Expense Total profits Income tax Net profit attributable of
the parent
company
owner
Nil
Other notes
Nil
6. Segment information
(1) Recognition basis and accounting policies of reportable segment
Accounting Policies of Report Segment:
There is no related business among the domestic construction and decoration section, the overseas construction
and decoration section and the medical section, thus there is no price transfer among the various divisions.
The medical section business is implemented by the company and the independent subsidiary company. The
account sets of the overseas construction and decoration section business are set up according to the construction
areas of the projects under construction for accounting. There are 8 major account sets respectively for Qatar,
Kuwait, Cambodia, Sri Lanka, Malaysia, Burma, Maldives and Saipan for accounting. There is no situation in
which the costs indirectly attributing to the various divisions need to be shared. The business data of the overseas
construction and decoration section is also composed of the financial data of the above 8 major project account
sets.
159
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
(2) The financial information of reportable segment
In RMB
Items Offset during segments Total
(3) There was no reportable segment, or the total amount of assets and liabilities of each part of reportable
segment, shall disclose the reason.
Nil
（4）Other notes
Nil
7. Other important transactions and events have an impact on investors’ decision-making
Nil
8.Other
Nil
XVII. Notes s of main items in financial reports of parent company
1.Account receivable
（1）Classification account receivables.
In RMB
Amount in year-end Amount in year-beginning
Bad debt
Book Balance Book Balance Bad debt provision
Category provision Book Book
Amoun Proport Amoun Proport value Amo Proport Amount Proportio value
t ion(%) t ion(%) unt ion(%) n(%)
Accounts
Receivable with
Significant Single
Amount and
0.00 0.00% 0.00 0.00 0.00 0.00 0.00
Having Bad Debt
Reserve
Withdrawn
Independently
Accounts
receivable with bad
0.00 0.00% 0.00 0.00 0.00
debt reserve
withdrawn as per
160
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
the portfolio of
credit risk
characteristics
Accounts
receivable with
insignificant single
amount, but having 0.00 0.00% 0.00 0.00 0.00
bad debt reserve
withdrawn
separately
Total 0.00 0.00% 0.00
Receivable accounts with large amount individually and bad debt provisions were provided.
□ Applicable √ Not applicable
Account receivable on which bad debt provisions are provided on age basis in the group
√ Applicable □Not applicable
In RMB
Amount in year-end
Aging
Account revisable Provision for bad debts Proportion%
Within item 1 year
Notes：
Receivable accounts on which had debt provisions are provided on percentage analyze basis in a portfolio
□Applicable √Not applicable
Receivable accounts on which had debt provisions are provided by other ways in the portfolio
(2) Accounts receivable withdraw, reversed or collected during the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMB9,315,221.66; the
amount of the reversed or collected part during the Reporting Period was of RMB0.00.
Significant amount of reversed or recovered bad debt provision：
In RMB
Name Amount Method
（3）The current accounts receivable written-offs situation
In RMB
Items Amount
Of which: significant actual written-offs situation：
In RMB
Name Nature Amount Reason Procedure Whether occurred
161
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
because of related
party transaction
Notes：
(4) Top five of account receivable of closing balance collected by arrears party
Nil
(5) Derecogniziton of account receivable due to the transfer of financial assets
Nil
(6) The amount of the assets and liabilities formed by the transfer and the continues involvement of account
receivable.
Nil
Other notes：
Notes
2.Other receivable
（1）.Category of Other receivable
In RMB
Amount in year-end Amount in year-beginning
Bad debt
Book Balance Book Balance Bad debt provision
Category provision Book Book
Amoun Proport Amoun Proport value Amo Proport Amount Proportio value
t ion(%) t ion(%) unt ion(%) n(%)
Other account
3,599
receivables 2,907,7 2,891,1
100.00 16,653, ,182, 100.00 8,215,2 3,590,96
provided bad debt 61,802. 0.57% 08,093. 0.23%
% 708.99 692.3 % 09.12 7,483.22
provision in credit 07 08
4
risk groups
3,599
2,907,7 2,891,1
100.00 16,653, ,182, 100.00 8,215,2 3,590,96
Total 61,802. 0.57% 08,093. 0.23%
% 708.99 692.3 % 09.12 7,483.22
07 08
4
Other Receivable accounts on which bad debt provisions are provided by other ways in the portfolio：
□Applicable √Not applicable
Other receivable of combinational withdrawing bad debt provision by aging analysis method
√Applicable□ Not applicable
In RMB
162
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Amount in year-end
Aging
Other receivable Provision for bad debts Proportion(%)
Within Item 1 year
192,368,959.97 9,618,448.00 5.00%
Subtotal within 1 year 192,368,959.97 9,618,448.00 5.00%
1-2 years 70,352,609.93 7,035,260.99 10.00%
Total 2,907,761,802.07 16,653,708.99 0.57%
Notes：
Other receivable account in Group on which bad debt provisions were provided on percentage basis：
□Applicable √Not applicable
Other Receivable accounts on which bad debt provisions are provided by other ways in the portfolio：
□Applicable √Not applicable
（2）Bad debt provision accrual collected or switch back
Bad debt provision accrual was RMB9,315,221.66， the account collected or switches back amounting to
RMB876,721.79.
Significant amount of reversed or recovered bad debt provision：
In RMB
Name Back or withdraw money Method
（3）The current accounts receivable written-offs situation
Of which: significant actual written-offs situation：
In RMB
Whether occurred
Name Nature Amount Reason Procedure because of related
party transaction
Notes：
（4）Other account receivable classified by account nature
In RMB
Nature Closing book value Opening book value
Bid bond, performance bond and deposit 113,189,709.93 92,152,609.93
Petty cash 919,442.48 142,590.46
Current account 2,793,652,649.66 3,506,887,491.95
Other
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Total 2,907,761,802.07 3,599,182,692.34
(5) The top five other account receivable classified by debtor at period end
In RMB
Closing balance of
Name Nature Closing balance Aging Proportion %
bad debt provision
Sino Great Wall Related party
International dealing 2,495,544,546.06 Within 1 year 85.82%
Engineering Co.,
Ltd.,
Wuhan Commercial Related party
Workers Hospital dealing 99,000,000.00 1-2 years 3.40%
LLC
Fuping hi tech
Industrial
Development Zone Deposit 50,000,000.00 1-2 years 1.72% 5,000,000.00
Management
Committee
Sino Great wall
Related party
Medical Investment
dealing 40,445,288.62 Within 1 year 1.39%
Management Co.,
Ltd.
Yanjin County Sino
Related party
Great Wall
dealing 40,200,000.00 Within 1 year 1.38% 2,010,000.00
Construction Co.,
Ltd.
Total -- 2,725,189,834.68 -- 7,010,000.00
(6) Accounts receivable involved with government subsidies
In RMB
Estimated received time,
Name of units Project of government Closing balance Closing age
amount and basis
Nil
(7) Other account receivable which terminate the recognition owning to the transfer of the financial assets
Nil
(8) The amount of the assets and liabilities formed by the transfer and the continues involvement of other
accounts receivable
Nil
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Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Other Notes：
Nil
3.Long-term equity investment
In RMB
Year-end balance Year-beginning balance
Items Bad debt Bad debt
Book balance Book value Book balance Book value
provision provision
Investment to
3,311,211,536. 3,311,211,536. 3,311,211,536. 3,311,211,536.
the 0.00 0.00
66 66 66 66
subsidiary
3,311,211,536. 3,311,211,536. 3,311,211,536. 3,311,211,536.
Total
66 66 66 66
（1）Investment to the subsidiary
In RMB
Withdrawn
Closing balance
Opening Closing impairment
Name Increase Decrease of impairment
balance balance provision in the
provision
reporting period
Sino Great Wall
3,079,451,536. 3,079,451,536.
International
66 66
Engineering Co.,
Ltd.,
Wuhan
Commercial
97,000,000.00 97,000,000.00
Workers Hospital
LLC
Changzhi
Shenzhou
Laodingshan 10,000,000.00 10,000,000.00
Industrial Co.,
Ltd.
Xiangfen
County Taoshan
10,000,000.00 10,000,000.00
Construction
Co., Ltd.
Sino Great Wall 5,000,000.00 5,000,000.00
165
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Medical
Investment
Management
Co., Ltd.
Sino Zhigu
Industrial 109,760,000.0 109,760,000.0
(Yueyang) Co., 0 0
Ltd.
3,311,211,536. 3,311,211,536.
Total 0.00
66 66
（2）Investment to joint ventures and associated enterprises
In RMB
Increase /decrease in reporting period Closing
Adjust Declara Withdr balance
Openin Decreas Gain/lo ment of tion of awn of
Add Other Closing
Name g ed ss of other cash impair impair
investm equity Other balance
balance investm Investm compre dividen ment ment
ent changes
ent ent hensive ds or provisi provisi
income profit on on
I. Joint ventures
II. Associated enterprises
（3）Other notes
Nil
4.Business income and Business cost
In RMB
Items Amount of current period Amount of previous period
Business income Business cost Business income Business cost
Main operations 117,362.07 108,742,520.47 0.00 111,018.01
Total 117,362.07 108,742,520.47 0.00 111,018.01
Other notes：
166
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
5.Investment income
In RMB
Items Amount of current period Amount of previous period
6.Other
XVIII. Supplementary Information
1.Current non-recurring gains/losses
√ Applicable □Not applicable
In RMB
Items Amount Notes
Gain or loss on disposal of non-current
-570,793.76
assets
Entitled income generated from fair value
of net identifiable assets of invested
company when the investment cost
obtained by the enterprise from 70,486,755.72
subsidiaries, affiliated enterprises and joint
ventures is less than the obtained
investment.
Other non-operating income and
108,668,232.63
expenditure except for the above items
Less: Influenced amount of income tax 1,078,053.52
Total 177,506,141.07 --
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Companies Offering their Securities to the Public-Non-recurring Gains and Losses and
its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure
for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as
recurring gains and losses, it is necessary to explain the reason.
□ Applicable √ Not applicable
2 Return on net assets and earnings per share
Earnings per share
Profit of the report period Return on net assets . Weighted（%） Basic earnings per Diluted gains per share
share
Net profit attributable to the 6.61% 0.0848 0.0848
167
Sino Great Wall Co., Ltd. The Semi-annual Report 2018
Common stock shareholders of
Company.
Net profit attributable to the
Common stock shareholders of
-1.47% -0.0147 -0.0147
Company after deducting of
non-recurring gain/loss.
3. Differences between accounting data under domestic and overseas accounting standards
(1) Differences of net profit and net assets disclosed in financial reports prepared under international and
Chinese accounting standards
□ Applicable √Not applicable
(2) Differences between the net profit and net asset in the financial reports prepared under IAS and Chinese
Accounting Standard
□ Applicable √Not applicable
(3) Explain reasons for the differences between accounting data under domestic and overseas accounting
standards, for audit data adjusting differences had been foreign audited, should indicate the name of the foreign
institutions
4.Other
XI. Documents available for inspection
1. Text of financial statement with signature and seals of legal person, person in charge of accounting works and
person in charge of accounting institution.
2. Original and official copies of all documents which have been disclosed on Securities Times and Hong Kong
Commercial Daily in the report period.
English translation for reference Only Should there be any discrepancy between the two versions, the Chinese
version shall prevail.
Legal representative: Chen Lue
Sino Great Wall Co., Ltd.
August 31, 2018
168
