ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
Stock Code: 000029, 200029 Stock Name: SPG, SPG-B Announcement No.: 2023-023
SHENZHEN SPECIAL ECONOMIC ZONE REAL ESTATE
& PROPERTIES (GROUP) CO., LTD.
FIRST QUARTERLY REPORT 2023
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. (hereinafter referred to as the “Company”) and all
the members of the Company’s Board of Directors hereby guarantee that the contents of this Report are true, accurate and
complete and free of any misrepresentations, misleading statements or material omissions.
Important Notes:
1. The Board of Directors, the Supervisory Committee as well as the directors, supervisors and senior management of the
Company hereby guarantee that the contents of this Report are true, accurate and complete and free of any misrepresentations,
misleading statements or material omissions, and collectively and individually accept legal responsibility for such contents.
2. The Company’s legal representative, Chief Financial Officer, and head of the Company’s financial department (equivalent to
financial manager) hereby guarantee that the financial statements carried in this Report are true, accurate and complete.
3. Indicate whether the financial statements in this Report have been audited by an independent auditor.
□Yes No
This Report has been prepared in both Chinese and English. Should there be any discrepancies or misunderstandings between the
two versions, the Chinese version shall prevail.
1
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
I Key Financial Information
(I) Key Accounting Data and Financial Indicators
Indicate whether there is any retrospectively restated datum in the table below.
□Yes No
Q1 2023 Q1 2022 YoY change (%)
Operating revenue (RMB) 109,155,515.74 272,594,952.10 -59.96%
Net profit attributable to the listed
-35,653,798.52 162,278,083.59 -121.97%
company’s shareholders (RMB)
Net profit attributable to the listed
company’s shareholders before -37,833,791.48 37,225,465.61 -201.63%
exceptional gains and losses (RMB)
Net cash generated from/used in
-183,238,769.33 -461,062,516.92 60.26%
operating activities (RMB)
Basic earnings per share (RMB/share) -0.0352 0.1604 -121.95%
Diluted earnings per share (RMB/share) -0.0352 0.1604 -121.95%
Weighted average return on equity (%) -0.89% 4.04% -4.93%
31 March 2023 31 December 2022 Change (%)
Total assets (RMB) 5,507,814,502.77 5,689,769,802.18 -3.20%
Equity attributable to the listed
3,970,486,346.38 4,004,240,547.70 -0.84%
company’s shareholders (RMB)
(II) Exceptional Gains and Losses
Applicable □ Not applicable
Unit: RMB
Item Q1 2023 Note
Government grants through profit or loss (exclusive of government grants
Government grants
continuously given in the Company’s ordinary course of business at fixed 118,084.21
received
quotas or amounts as per the government’s policies and standards)
Gain/Loss on changes in fair value arising from holding of trading Gains on changes in fair
financial assets and liabilities and investment income from disposal of
value and investment
trading financial assets, trading financial liabilities and available-for-sale 2,105,531.76
financial assets other than effective hedge business related to the income arising from
Company’s normal operating businesses investing monetary funds
Non-operating income and expense other than the above -17,894.07
Less: Income tax effects 25,047.54
Non-controlling interests effects (net of tax) 681.40
Total 2,179,992.96
Other items that meet the definition of exceptional gain/loss:
□Applicable Not applicable
No such cases in the Reporting Period.
Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in the Explanatory Announcement
No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Gain/Loss Items:
□Applicable Not applicable
No such cases in the Reporting Period.
(III) Changes in Key Financial Statement Line Items and Explanation of why
Applicable □ Not applicable
Operating revenue of Q1 2023 declined 59.96% compared to that of Q1 2022 and the net profit attributable to the listed company’s
shareholders before exceptional gains and losses of Q1 2023 declined 201.63% compared to that of Q1 2022, primarily driven by
the YoY decrease in carryforward of real estate sales in Q1 2023;
2
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
The net profit attributable to the listed company’s shareholders of Q1 2023 declined 121.97% compared to that of Q1 2022,
primarily driven by the transfer of 100% equity of Shenzhen Property Management Co., Ltd. occurring in Q1 2022 and increase in
sales carryforward in Q1 2023;
As for the net cash generated from/used in operating activities of Q1 2023, the outflow was 60.26% lower than that of Q1 2022,
primarily driven by the payment of land tax increment clearance in Q1 2022.
II Shareholder Information
(I) Numbers of Ordinary Shareholders and Preference Shareholders with Resumed Voting Rights as well
as Holdings of Top 10 Shareholders
Unit: share
Number of preference shareholders with resumed
Number of ordinary shareholders 45,531 0
voting rights (if any)
Top 10 shareholders
Shareho Shares in pledge, marked or frozen
Restricted
Nature of lding
Name of shareholder Total shares held shares
shareholder percenta Status Shares
held
ge
Shenzhen Investment State-owned
55.78% 564,353,838.00 0.00
Holdings Co., Ltd. corporation
Domestic
Shenzhen State-Owned
non-state-
Equity Operation and 6.35% 64,288,426.00 0.00
owned legal
Management Co., Ltd.
person
Domestic
Yang Jianmin natural 1.08% 10,898,877.00 0.00
person
Domestic
Pan Jun natural 0.49% 5,001,500.00 0.00
person
Domestic
Zhang Xiujuan natural 0.47% 4,785,600.00 0.00
person
Domestic
Wang Yulan natural 0.41% 4,185,291.00 0.00
person
Domestic
He Qiao natural 0.40% 4,041,686.00 0.00
person
Hong Kong Securities Foreign
0.35% 3,522,955.00 0.00
Clearing Company Ltd. legal person
Domestic
Cao Benming natural 0.33% 3,356,800.00 0.00
person
Domestic
Zhang Chengyu natural 0.26% 2,600,800.00 0.00
person
Top 10 unrestricted shareholders
Shares by type
Name of shareholder Unrestricted shares held
Type Shares
RMB-denominated
Shenzhen Investment Holdings Co., Ltd. 564,353,838.00 564,353,838.00
ordinary stock
Shenzhen State-Owned Equity Operation RMB-denominated
and Management Co., Ltd. 64,288,426.00 ordinary stock 64,288,426.00
RMB-denominated
Yang Jianmin 10,898,877.00 10,898,877.00
ordinary stock
RMB-denominated
Pan Jun 5,001,500.00 5,001,500.00
ordinary stock
3
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
RMB-denominated
Zhang Xiujuan 4,785,600.00 4,785,600.00
ordinary stock
RMB-denominated
Wang Yulan 4,185,291.00 4,185,291.00
ordinary stock
RMB-denominated
3,889,000.00
ordinary stock
He Qiao 4,041,686.00
Domestically
152,686.00
listed foreign stock
Hong Kong Securities Clearing Company RMB-denominated
3,522,955.00 3,522,955.00
Ltd. ordinary stock
RMB-denominated
Cao Benming 3,356,800.00 ordinary stock 3,356,800.00
RMB-denominated
Zhang Chengyu 2,600,800.00 ordinary stock 2,600,800.00
Among the top 10 unrestricted ordinary shareholders of the Company,
Shenzhen State-Owned Equity Operation and Management Co., Ltd. is the
wholly-owned subsidiary of Shenzhen Investment Holdings Co., Ltd. The
Related or acting-in-concert parties among the
shareholders above Company does not know whether there exists related-party relationship
among the other shareholders, or whether they are persons acting in
concert as prescribed in the Administrative Measures for the Acquisition of
Listed Companies.
Among the top 10 shareholders, the third shareholder holds 9,432,200
shares of the Company in his credit security account; the fifth shareholder
holds 4,785,600 shares of the Company in his credit security account; the
Top 10 shareholders engaged in securities margin
seventh shareholder holds 3,702,300 shares of the Company in her credit
trading (if any)
security account; the ninth shareholder holds 3,351,800 shares of the
Company in its credit security account; the tenth shareholder holds
2,366,000 shares of the Company in its credit security account.
(II) Number of Preference Shareholders and Shareholdings of Top 10 of Them
□Applicable Not applicable
III Other Significant Events
Applicable □ Not applicable
(I) On 30 March 2023, the Company convened the 1 st Extraordinary General Meeting of 2023, at which the non-independent
directors and independent directors of the 8th Board of Directors and non-employee supervisors of the 8th Supervisory Committee
were elected who formed the new Board of Directors and Supervisory Committee together with the employee supervisors elected
by the Company’s congress of workers and staff. For more details, please refer to the Announcement on Completion of the Election
of the Board of Directors and the Supervisory Committee (Announcement No.: 2023-017) disclosed on 31 March 2023;
(II) In accordance with the regulation of the Articles of Association that the Company’s legal representative shall be its chairman
of the Board, the Company has completed the industrial and commercial registration changing procedures on 17 April 2023 and
the legal representative of the Company was changed to Mr. Tang Xiaoping from Mr. Liu Zhengyu.
IV Quarterly Financial Statements
(I) Financial Statements
1. Consolidated Balance Sheet
Prepared by ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd.
31 March 2023
4
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
Unit: RMB
Item 31 March 2023 1 January 2023
Current assets:
Monetary assets 173,441,137.89 197,663,949.74
Settlement reserve
Loans to other banks and financial
institutions
Held-for-trading financial assets 273,459,893.18 408,154,361.42
Derivative financial assets
Notes receivable 1,536,150.00
Accounts receivable 54,287,010.07 63,580,422.16
Receivables financing
Prepayments 5,743,693.11 1,163,612.24
Premiums receivable
Reinsurance receivables
Receivable reinsurance contract reserve
Other receivables 24,573,840.41 42,105,050.33
Including: Interest receivable
Dividends receivable
Financial assets purchased under resale
agreements
Inventories 4,282,125,304.63 4,257,109,614.31
Contract assets
Assets held for sale
Current portion of non-current assets
Other current assets 37,486,541.23 36,778,641.42
Total current assets 4,851,117,420.52 5,008,091,801.62
Non-current assets:
Loans and advances to customers
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 93,927.64 93,927.64
Investments in other equity
14,011,987.54 13,839,235.57
instruments
Other non-current financial assets
Investment property 560,216,601.35 566,873,915.07
Fixed assets 20,812,148.77 21,425,475.05
Construction in progress
Productive living assets
Oil and gas assets
Right-of-use assets 199,282.91 232,496.72
Intangible assets
Development costs
Goodwill
Long-term prepaid expense 1,992,877.19 2,176,221.53
Deferred income tax assets 59,370,256.85 77,036,728.98
Other non-current assets
Total non-current assets 656,697,082.25 681,678,000.56
Total assets 5,507,814,502.77 5,689,769,802.18
Current liabilities:
Short-term borrowings 46,682,302.88 51,138,077.62
Borrowings from the central bank
Loans from other banks and financial
institutions
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable
5
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
Accounts payable 420,510,933.32 434,601,559.67
Advances from customers 5,428,233.81 5,465,343.96
Contract liabilities 38,096,046.55 43,533,467.29
Financial assets sold under repurchase
agreements
Customer deposits and deposits from
other banks and financial institutions
Payables for acting trading of securities
Payables for underwriting of securities
Employee benefits payable 31,583,350.13 35,724,203.78
Taxes and levies payable 61,205,538.67 190,951,185.99
Other payables 561,998,000.05 574,331,340.84
Including: Interest payable 16,535,277.94 16,535,277.94
Dividends payable
Fees and commissions payable
Reinsurance payables
Liabilities directly associated with
assets held for sale
Current portion of non-current
liabilities 8,412,023.44 6,188,794.43
Other current liabilities 3,078,103.61 3,882,817.68
Total current liabilities 1,176,994,532.46 1,345,816,791.26
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 74,961,000.00 54,261,000.00
Bonds payable
Including: Preference shares
Perpetual bonds
Lease liabilities 33,272.19 53,885.23
Long-term payables
Long-term employee benefits payable
Provisions
Deferred income
Deferred income tax liabilities 3,096,348.02 3,096,348.02
Other non-current liabilities
Total non-current liabilities 78,090,620.21 57,411,233.25
Total liabilities 1,255,085,152.67 1,403,228,024.51
Owners’ equity:
Share capital 1,011,660,000.00 1,011,660,000.00
Other equity instruments
Including: Preference shares
Perpetual bonds
Capital reserves 978,244,910.11 978,244,910.11
Less: Treasury stock
Other comprehensive income 27,826,318.05 25,926,720.85
Specific reserve
Surplus reserves 275,253,729.26 275,253,729.26
General reserve
Retained earnings 1,677,501,388.96 1,713,155,187.48
Total equity attributable to owners of the
3,970,486,346.38 4,004,240,547.70
Company as the parent
Non-controlling interests 282,243,003.72 282,301,229.97
Total owners’ equity 4,252,729,350.10 4,286,541,777.67
Total liabilities and owners’ equity 5,507,814,502.77 5,689,769,802.18
Legal representative: Tang Xiaoping Chief Financial Officer: Wang Jianfei Head of the financial department: Qiao Yanjun
6
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
2. Consolidated Income Statement
Unit: RMB
Item Q1 2023 Q1 2022
1. Revenues 109,155,515.74 272,594,952.10
Including: Operating revenue 109,155,515.74 272,594,952.10
Interest revenue
Insurance premium income
Fee and commission
income
2. Costs and expenses 151,818,346.49 218,394,023.67
Including: Cost of sales 101,079,794.15 152,460,417.85
Interest costs
Fee and commission
expense
Surrenders
Net insurance claims paid
Net amount provided as
insurance contract reserve
Expenditure on policy
dividends
Reinsurance premium
expense
Taxes and levies 33,875,290.78 48,242,285.55
Selling expense 3,955,020.34 4,783,896.07
Administrative expense 13,032,486.78 14,926,706.67
R&D expense
Finance costs -124,245.56 -2,019,282.47
Including: Interest costs
Interest revenue 384,410.44 2,135,908.57
Add: Other income 118,084.21 330,714.74
Return on investment (“-” for loss) 161,491.79 165,739,875.11
Including: Share of profit or loss
of joint ventures and associates
Income from the derecognition
of financial assets at amortized cost (“-”
for loss)
Exchange gain (“-” for loss)
Net gain on exposure hedges (“-”
for loss)
Gain on changes in fair value (“-”
1,944,039.97 2,986,182.85
for loss)
Credit impairment loss (“-” for
loss) 81,350.00 53,211.01
Asset impairment loss (“-” for
-268,941.60
loss)
Asset disposal income (“-” for
loss)
3. Operating profit (“-” for loss) -40,357,864.78 223,041,970.54
Add: Non-operating income 3,000.01 400,002.42
Less: Non-operating expense 20,894.08 1,423.06
4. Gross profit (“-” for loss) -40,375,758.85 223,440,549.90
Less: Income tax expense -3,923,657.55 61,821,128.60
5. Net profit (“-” for net loss) -36,452,101.30 161,619,421.30
5.1 By operating continuity
5.1.1 Net profit from continuing
operations (“-” for net loss) -36,452,101.30 161,619,421.30
5.1.2 Net profit from discontinued
operations (“-” for net loss)
5.2 By ownership
7
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
5.2.1 Net profit attributable to
owners of the Company as the parent -35,653,798.52 162,278,083.59
5.2.1 Net profit attributable to non-
controlling interests -798,302.78 -658,662.29
6. Other comprehensive income, net of
2,639,673.73 -1,625,109.66
tax
Attributable to owners of the
Company as the parent 1,899,597.20 -1,698,538.22
6.1 Items that will not be
reclassified to profit or loss 1,899,597.20 -1,869,871.54
6.1.1 Changes caused by
remeasurements on defined benefit
schemes
6.1.2 Other comprehensive
income that will not be reclassified to
profit or loss under the equity method
6.1.3 Changes in the fair value of
1,899,597.20 -1,869,871.54
investments in other equity instruments
6.1.4 Changes in the fair value
arising from changes in own credit risk
6.1.5 Other
6.2 Items that will be reclassified to
profit or loss 171,333.32
6.2.1 Other comprehensive
income that will be reclassified to profit
or loss under the equity method
6.2.2 Changes in the fair value of
other debt investments
6.2.3 Other comprehensive
income arising from the reclassification
of financial assets
6.2.4 Credit impairment
allowance for other debt investments
6.2.5 Reserve for cash flow
hedges
6.2.6 Differences arising from the
translation of foreign currency- 171,333.32
denominated financial statements
6.2.7 Other
Attributable to non-controlling
740,076.53 73,428.56
interests
7. Total comprehensive income -33,812,427.57 159,994,311.64
Attributable to owners of the
Company as the parent -33,754,221.89 160,579,545.37
Attributable to non-controlling
interests -58,205.68 -585,233.73
8. Earnings per share
8.1 Basic earnings per share -0.0352 0.1604
8.2 Diluted earnings per share -0.0352 0.1604
Where business combinations under common control occurred in the current period, the net profit achieved by the acquirees before
the combinations was RMB0.00, with the amount for the same period of last year being RMB0.00.
Legal representative: Tang Xiaoping Chief Financial Officer: Wang Jianfei Head of the financial department: Qiao Yanjun
3. Consolidated Cash Flow Statement
Unit: RMB
Item Q1 2023 Q1 2022
1. Cash flows from operating activities:
Proceeds from sale of commodities
81,910,853.47 135,938,494.95
and rendering of services
Net increase in customer deposits and
deposits from other banks and financial
institutions
8
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
Net increase in borrowings from the
central bank
Net increase in loans from other
financial institutions
Premiums received on original
insurance contracts
Net proceeds from reinsurance
Net increase in deposits and
investments of policy holders
Interest, fees and commissions received
Net increase in loans from other banks
and financial institutions
Net increase in proceeds from
repurchase transactions
Net proceeds from acting trading of
securities
Tax and levy rebates 1,186,861.59 79,547.26
Cash generated from other operating
activities 12,468,006.72 165,092,287.40
Subtotal of cash generated from
95,565,721.78 301,110,329.61
operating activities
Payments for commodities and services 42,338,057.79 118,807,563.04
Net increase in loans and advances to
customers
Net increase in deposits in the central
bank and other banks and financial
institutions
Payments for claims on original
insurance contracts
Net increase in loans to other banks and
financial institutions
Interest, fees and commissions paid
Policy dividends paid
Cash paid to and for employees 21,566,505.36 30,832,704.29
Taxes and levies paid 162,889,235.25 481,133,071.14
Cash used in other operating activities 52,010,692.71 131,399,508.06
Subtotal of cash used in operating
278,804,491.11 762,172,846.53
activities
Net cash generated from/used in
-183,238,769.33 -461,062,516.92
operating activities
2. Cash flows from investing activities:
Proceeds from disinvestment
Return on investment 813,960.00
Net proceeds from the disposal of fixed
assets, intangible assets and other long- 3,000.00 18,186,211.00
lived assets
Net proceeds from the disposal of
subsidiaries and other business units 121,650,555.74
Cash generated from other investing
activities 136,800,000.00 16,000,000.00
Subtotal of cash generated from
136,803,000.00 156,650,726.74
investing activities
Payments for the acquisition of fixed
assets, intangible assets and other long- 57,988.92 59,420.24
lived assets
Payments for investments
Net increase in pledged loans granted
Net payments for the acquisition of
subsidiaries and other business units
Cash used in other investing activities
Subtotal of cash used in investing
activities 57,988.92 59,420.24
Net cash generated from/used in
136,745,011.08 156,591,306.50
investing activities
9
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. First Quarterly Report 2023
3. Cash flows from financing activities:
Capital contributions received
Including: Capital contributions by
non-controlling interests to subsidiaries
Borrowings received 23,000,000.00 0.00
Cash generated from other financing
activities
Subtotal of cash generated from
23,000,000.00 0.00
financing activities
Repayment of borrowings
Interest and dividends paid 754,516.80 0.00
Including: Dividends paid by
subsidiaries to non-controlling interests
Cash used in other financing activities
Subtotal of cash used in financing
activities 754,516.80 0.00
Net cash generated from/used in
22,245,483.20 0.00
financing activities
4. Effect of foreign exchange rates
-113,540.16 -508,619.70
changes on cash and cash equivalents
5. Net increase in cash and cash
-24,361,815.21 -304,979,830.12
equivalents
Add: Cash and cash equivalents,
beginning of the period 190,365,069.48 612,293,635.15
6. Cash and cash equivalents, end of the
166,003,254.27 307,313,805.03
period
(II) Independent Auditor’s Report
Indicate by tick mark whether the financial statements above have been audited by an independent auditor.
□Yes No
These financial statements have not been audited by such an auditor.
Board of Directors
ShenZhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd.
29 April 2023
10
