Shenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
1
Shenzhen Textile (Holdings) Co., Ltd.
Quarterly Report for the Third Quarter of 2010 (Full text)
§1 Important notes
1.1 The Board of Directors of the Company hereby guarantees that 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.
1.2 The Third Quarterly Report is not audited by CPA.
1.3 Chairman of the Board of Directors Wang Bin, General Manager Zhu Jun and Manager of
Financial Dept Liu Yi represent and warrant the financial and accounting report in the quarterly is
true and complete.
§2 Basic Information
2.1 Highlights of Accounting Data and Financial Indicators
Unit：RMB
2010.9.30 2009.12.31 Increase /decrease（％）
Total assets（RMB） 1,564,409,596.91 802,562,856.93 94.93%
Owner’s equity attributable to
shareholders of the listed company
（RMB）
1,353,545,991.29 493,246,297.27 174.42%
Stock capital（shares） 336,521,849.00 245,124,000.00 37.29%
Net assets per share attributable to
shareholders of the listed company
（yuan/shares）
4.02 2.01 100.00%
July-September 2010
Increase/decrease in
the report period
compared with the
same period of the
last year(%)
January-September
2010
Increase/decrease in
the report period
compared with the
same period of the
last year(%)
Total turnover(RMB) 144,558,621.91 11.95% 466,927,758.65 48.64%
Net profit attributable to
shareholders of the listed company
（RMB）
12,018,191.92 -23.41% 36,876,694.62 -3.72%
Net cash flow arising from operating
activities（RMB）
- - -18,662,526.80 -155.91%
Net cash flow per share arising from
operating activities（yuan/shares）
- - -0.06 -273.50%
Basic earnings per share
（yuan/shares） 0.04 -33.33% 0.14 -12.50%
Diluted earnings per share
（yuan/shares） 0.04 -33.33% 0.14 -12.50%
Weighted average return on equity
（%）
1.14% Decreased by 2.16% 5.30% Decreased by 2.75%Shenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
2
Weighted average Return on net
assets after deducting non-recurring
gains and losses（%）
0.30% Decreased by 1.69% 3.28% Decreased by 0.91%
Items of non-current gains and losses Year begin to end
of report period Notes
Gains and losses from the disposal of
non-current assets 52,256.00
The government subsidy recognized into current
profit and loss, except those government
subsidies that closely related to the Company ’ s
business, according to national policies, and
according to standard unified quota or ration.
8,850,689.14
The amortizations of governmental subsidies recorded
through loss or profit in this accounting period are
RMB 900,000.00 of the “Special Fund for New Types
of Flat Panel Display”, RMB 7,660,289.12 of the
“Special National Fund for New Hi-tech Research and
Development Program (Program 863)”, RMB
74,400.02 of the loan interest discount received from
Shenzhen Finance Bureau and RMB 216,000.00 of the
allowance from Futian Commercial Chamber in this
accounting period for attending Canton Fair.
Except for effective hedging operations that
relevant to the Company ’ s normal business,
the profits and losses from fair value changes
from held for trading financial assets and held
for trading financial liabilities, as well as the
investment gains from disposal held for trading
financial assets 、held for trading financial
liabilities and available-for-sale financial assets.
9,009,386.30 Mainly is from the sale of the shares of Shenzhen
Victor Onward Textile Industrial Co., Ltd.
Other non operating income and expenses
except from above mentioned items 69,175.49
Amount of influence of the above items on
income tax. -3,955,931.52
Total 14,025,575.41
2.2 Total number of shareholders in the end of the report period and shares held by the top ten shareholders with
unrestricted conditions
Unit：Shares
Total number of shareholders at the end of report
period 14,299
Share held by the top ten shareholders with unrestricted conditions
Name of the shareholder Number of Unconditional shares
held at the period-end Type of shares
Shenzhen Investment Holdings Co., Ltd. 144,977,052 RMB common shares
Agricultural Bank of China－China post Flexible
configuration Mixed Securities investment fund 4,792,254 RMB common shares
Bank of Communications－Huaxia blue chips Mixed
Securities investment fund (LOF) 1,524,399 RMB common shares
Beijing Fringstan Investment Consultation Co., Ltd. 1,160,017 RMB common shares
Shenzhen Zhongnan Liankang Technology Co., Ltd. 1,072,604 RMB common shares
Qian Xuegang 892,921 RMB common shares
Huang Xiaomin 808,724 RMB common shares
Liu Hong 760,000 Foreign shares placed in domestic
exchangeShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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Zheng Chuangjian 674,600 Foreign shares placed in domestic
exchange
CNPC enterprise annuities projects－ICBC 647,900 RMB common shares
§3 Significant Events
3.1 Particular about large-margin change of main accounting statement item and financial index and its reason.
√ applicable □ not applicable
1. The balance of monetary capital is RMB 773,494,550.20, which increased by 663.26% over the
year-beginning balance mainly because the Company received the proceeds raised after completion
of private placement;
2. The balance of accounts receivable is RMB 61,609,724.96, which increased by 57.08% over
year-beginning balance mainly due to great growth of sales of Shenzhen Shengbo Optoelectronic
Technology Co., Ltd. (hereinafter referred to as "Shengbo Optoelectronic") and increase of credit
sales in the credit period;
3. The balance of payment in advance is RMB 9,149,349.82, which decreased by 69.72% over
year-beginning balance mainly due to transfer of orders for export trade;
4. The balance of inventory is RMB 68,473,785.40, which increased by 61.86% over year-beginning
balance mainly due to increase of production and sales of Shengbo Optoelectronic and sharp increase
of raw material purchase;
5. The balance of construction in progress is RMB 135,828,968.71, which increased by 8462.36%
over year-beginning balance mainly due to increase of expenditure for the first phase of the project of
polarizer sheet for TFT-LCD;
6. The balance of intangible assets is RMB 5,211,562.26, which decreased by 89.48% over
year-beginning balance mainly because the land for industrial use purchased for the first phase of the
project of polarizer sheet for TFT-LCD was transferred from intangible assets into construction in
progress for accounting due to official commencement of construction;
7. The balance of short-term loan is RMB 5,000,000.00, which decreased by 95.06% over
year-beginning balance mainly due to repayment of short-term loans of banks;
8. The balance of accounts payable is RMB 36,215,375.32, which decreased by 30.31% over
year-beginning balance mainly due to payment to suppliers for goods;
9. The balance of taxes and levies payable is RMB -3,328,209.46, which decreased by 172.06% over
year-beginning balance and was mainly formed by tax retained at the end of period;
10. The balance of long-term loan is RMB 52,784,468.30, which increased by 111.14% over
year-beginning balance mainly because Shengbo Optoelectronic borrowed entrusted loans from
Shenzhen Shenchao Technology Investment Co., Ltd., a related enterprise, through Shenzhen
Development Bank;
11. The balance of other non-current liabilities is RMB 13,484,453.72, which decreased by 31.96%
over year-beginning balance mainly because Shengbo Optoelectronic carried forward the special
subsidy for 863 Program according to condition of use;
12. The balance of paid-up capital and capital surplus respectively increased by 37.29% and 614.21%
over year-beginning balance mainly due to completion of private placement and acceptance of
investors' investment;
13. The gross operating income is RMB 466,927,758.65, which increased by 48.64% year on year
mainly due to sharp increase of sales of Shengbo Optoelectronic and change of consolidation scope;
14. The operating cost is RMB 378,177,830.17, which increased by 48.14% year on year mainly dueShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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to sharp increase of sales and Shengbo Optoelectronic and corresponding increase of operating cost;
15．The Management e expenses is RMB 47,217,145.51，which increased by 63.60% year on year
mainly due to change of consolidation scope and sharp increase of R & D and Shengbo
Optoelectronic and corresponding increase；
16．The amount of financial expenses is RMB 2,109,622.55, which increased by 34.97% year on year
mainly because the Company increased short-term bank loans to provide funds for the construction
of phase-I project of polarizer sheet for TFT-LCD before raised proceeds were available for use;
17．The amount of asset impairment loss is RMB 1,617,036.79, which increased by 230.97% year on
year mainly due to increase of provision for bad debts with the increase of accounts receivable;
18．. The non-current income is RMB 8,974,549.43, which increased by 939.13% over
year-beginning balance mainly because Shengbo Optoelectronic carried forward the special subsidy
for 863 Program according to condition of use;
19．Other composite income is RMB -5,345,003.64, which decreased by 113.24% year on year
mainly due to the change of fair value of financial assets available for sale;
20．The amount of cash received from sales of goods and rendering of services is RMB
463,867,256.46, which increased by 50.54% year on year mainly due to sharp increase of sales of
Shengbo Optoelectronic and change of consolidation scope;
21．The amount of cash paid to and on behalf of employees is RMB 40,256,543.51, which increased
by 45.09% year on year mainly due to the change of consolidation scope;
22．The amount of other cash paid relating to operating activities is RMB 38,115,960.51, which
increased by 112.9% year on year mainly due to change of consolidation scope and sharp increase of
R&D expenses of Shengbo Optoelectronic;
23．The net amount of cash flows from operating activities is RMB -18,662,526.80, which decreased
by 155.91% year on year mainly due to growth of production and sales of Shengbo Optoelectronic,
sharp increase of cash paid for production organization and material purchase as well as increase of
credit sales and R&D expenditure;
24．The amount of cash received from disposal of investments is RMB 10,586,541.05, which
decreased by 61.62% year on year mainly due to year-on-year decrease of sales of financial assets
available for sale;
25．The amount of cash received from returns on investment is RMB 3,319,741.29, which decreased
by 73.25% year on year mainly due to year-on-year decrease of income from land assignment by
Shenzhen East China Electronic Co., Ltd. in equity proportion;
26．The amount of cash paid to acquire or construct fixed assets, intangible assets and other
long-term assets is RMB 97,386,929.29, which increased by 1148.95% year on year mainly due to
increase of expenditure for the first phase of the project of polarizer sheet for TFT-LCD;
27．The Net cash flow generated by investment is RMB -83,445,416.60，which decreased by
420.93% year on year mainly due to increase of expenditure for the first phase of the project of
polarizer sheet for TFT-LCD;
28．The net amount of cash flows from financing activities is RMB 774,233,426.30, which increased
by 28451.71% year on year mainly due to completion of private placement and receipt of investors'
investment;
29．The amount of cash received from borrowings is RMB 174,784,468.30, which increased by
118.48% year on year mainly due to increase of short-term bank loans and shareholder loans to meet
the fund demand of the construction of phase-I project of polarizer sheet for TFT-LCD;
30．The amount of cash paid for repayment of debts is RMB 228,000,000.00, which increased byShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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221.13% year on year mainly due to repayment of short-term bank loans and shareholder loans.
31．The Balance of cash and cash equivalents at the end of term is RMB 773,494,550.20，Which
increased by 682.47% year on year mainly due to completion of private placement and receipt of
investors' investment.
3.2 The progress of significant events and influence, as well as the analysis and explanation on resolving proposal.
□applicable √ not applicable
3.2.1 Non-standard Opinion
□applicable √ not applicable
3.2.2 The Company provided funds to its controlling shareholder or related parties and provided guarantees in
violation of established procedures.
□applicable √ not applicable
3.2.3 Signing and performance of significant contracts for daily operation
□applicable √ not applicable
3.2.4 Other
√□applicable □not applicable
1. On June 30, 2010, the Company received the Approval of Private Placement of Shares by
Shenzhen Textile (Holding) Co., Ltd. issued by China Securities Regulatory Commission ((2010) No.
882 CSRC Permit) (Refer to No. 2010-27 and 2010-28 announcement of the Company for details).
CSRC approved the Company to issue not more than 110 million new shares through private
placement. Through this private placement the Company, the Company actually issued 91,397,849
new shares. The registration and trust procedure for the new shares was settled at Shenzhen Branch
of China Securities Registration & Settlement Co., Ltd. on July 29, 2010 and the new shares were
listed for trading on August 9, 2010 (Refer to No. 2010-32 announcement of the Company for
details).
2. On August 19, 2010, the Company repaid the principal and interests of the loan of RMB 60 million
to Shenzhen Investment Holding Co., Ltd., the controlling shareholder (Refer to No. 2009-42 and
2009-49 announcement and 2010 semiannual report of the Company for the details of borrowing).
3. According to the Entrusted Loan Contract signed by Shengbo Optoelectronic and Shenchao
Technology (Refer to No. 2009-55，2009-57 and 2010-26 announcement of the Company for details),
As of September 30, 2010, Shengbo Optoelectronic borrowed RMB 30.7845 million from Shenchao
Technology.
3.3 The fulfillment of the commitment made by the Company , shareholders and the actual controller
√ applicable □ not applicable
Items of commitments Promisee Content of commitments Implementati
onShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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Promise in share holding
structure reform N/A N/A N/A
Commitments made in
Acquisition Report or
Reports on Change in
interests
N/A N/A N/A
Commitments made in
Material assets
Reorganization
N/A N/A N/A
Commitments made in
issuing
Shenzhen Investment
Holdings Co., Ltd.
Shenzhen Investment Holdings Co., Ltd. and its wholly
owned subsidiary, subsidiaries under control or any
other companies that have actual control of it shall not
be involved in the business the same as or similar to
those Shenzhen Textile currently or will run in the
future, or any businesses or activities that may
constitute direct or indirect competition with Shenzhen
Textile; if the operations of Shenzhen Investment
Holdings Co., Ltd. and its wholly owned subsidiaries,
subsidiaries under control or other companies that have
actual control of it compete with Shenzhen Textile in
the same industry or contradict the interest of the issuer
in the future, Shenzhen Investment Holdings Co., Ltd.
shall urge such companies to sell the equity, assets or
business to Shenzhen Textile or a third party; when the
horizontal competition may occur due to the business
expansion concurrently necessary for Shenzhen
Investment Holdings Co., Ltd. and its wholly owned
subsidiaries, subsidiaries under control or other
companies that have actual control of it and Shenzhen
Textile, Shenzhen Textile shall have priority.
Under
fulfillment.
Other commitments
（Including: supplementary
commitments）
Shenzhen Investment
Holdings Co., Ltd.
1. If the company planned to sell shares through
securities trading system and the quantity of shares to be
sold within sixth month from the first sale reaches 5%
of total share capital, the company would publicly
disclose prompting announcement of sale through the
Company within two trading days before the first sale;
II. The company would strictly abide by Guiding
Opinions on Assignment of Unfrozen Existing Shares of
Listed Companies and relevant provisions of relevant
transaction rules of Shenzhen Stock Exchange.
Under
fulfillment.
3.4 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 applicableShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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3.5 Other significant events need to be explained
3.5.1 Stock investment
□applicable √ not applicable
3.5.2 Reception of investigations, communications ,or interviews company held in the report period.
Date Place Mode Visitor
Content of discussion and materials
provided
July 1,
2010-September
30,2010
The Company
Telephone Individual
Investor
Operating status and
development prospect of the
Company, the controlling
shareholder's support to the
Company's business
development, and Polarizer
sheet for LCD project etc.
August 26, 2010
Onsite investigation
Changjiang Securities
Operating status of the
Company and Company
intends to issue stock to raise
private capital investment
August 26, 2010 China southern fund projects.
3.6 Particulars about derivatives investment
□applicable √ not applicable
3.6.1 Particulars about the positions of derivatives investment at the end of report period.
□applicable √ not applicable
§4 Appendix
4.1 Balance sheet
Prepared by: Shenzhen Textile (Holdings) Co., Ltd. September 30, 2010 Unit：RMB
Items
Year-end balance
Year-beginning balance
Consolidated Parent company Consolidated Parent company
Current asset：
Monetary fund 773,494,550.20 456,321,281.80 101,340,314.95 19,539,632.30
Settlement provision
Outgoing call loan
Trading financial assets
Bill receivable 1,734,495.00
Account receivable 61,609,724.96 39,220,977.43
Prepayments 9,149,349.82 14,435.00 30,220,380.81 1,282,835.00
Insurance receivable
Reinsurance receivableShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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Provisions of Reinsurance
contracts receivable
Interest receivable
Dividend receivable
Other account receivable 18,797,771.97 43,652,468.86 22,511,461.20 69,484,161.49
Repurchasing of financial
assets
Inventories 68,473,785.40 42,304,486.48
Non-current asset due in 1
year
Other current asset
Total of current assets 931,525,182.35 499,988,185.66 237,332,115.87 90,306,628.79
Non-current assets：
Loans and payment on
other’s behalf disbursed
Disposable financial asset 88,998,493.56 88,998,493.56 97,228,693.20 97,228,693.20
Expired investment in
possess
Long-term receivable
Long term share equity
investment 45,730,385.00 574,207,432.77 45,918,671.87 224,395,719.64
Property investment 130,032,024.21 119,530,668.21 134,424,401.74 123,564,938.19
Fixed assets 210,031,602.58 75,298,129.93 220,135,667.48 78,212,675.45
Construction in progress 135,828,968.71 1,586,349.75
Engineering material
Fixed asset disposal
Production physical assets
Gas & petrol
Intangible assets 5,211,562.26 1,860,862.26 49,561,412.72 2,153,312.72
R & D petrol
Goodwill 9,614,758.55 9,614,758.55
Long-germ expenses to be
amortized 675,342.90 586,980.59
Differed income tax asset 6,761,276.79 4,016,498.28 6,173,805.16 4,361,844.93
Other non-current asset
Total of non-current assets 632,884,414.56 863,912,085.01 565,230,741.06 529,917,184.13
Total of assets 1,564,409,596.91 1,363,900,270.67 802,562,856.93 620,223,812.92
Current liabilities
Short-term loans 5,000,000.00 101,234,495.00 90,000,000.00
Loan from Central Bank
Deposit received and hold
for others
Call loan received
Trade off financial liabilitiesShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
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Bill payable
Account payable 36,215,375.32 1,993,485.87 51,968,320.22 7,441,753.57
Advance payment 26,424,019.68 639,024.58 27,483,029.17 639,024.58
Selling of repurchased
financial assets
Fees and commissions
receivable
Employees’ wage payable 11,763,602.91 2,479,510.82 13,379,439.90 4,961,087.87
Tax payable -3,328,209.46 1,255,590.36 4,618,939.41 872,772.47
Interest payable 254,039.81 93,488.75
Dividend payable
Other account payable 51,352,068.41 61,526,258.56 47,289,214.16 60,211,348.00
Reinsurance fee payable
Insurance contract provision
Entrusted trading of
securities
Entrusted selling of
securities
Non-current liability due in
1 year
Other current liability
Total of current liability 127,680,896.67 67,893,870.19 246,066,926.61 164,125,986.49
Non-current liabilities：
Long-term loan 52,784,468.30 25,000,000.00
Bond payable
Long-term payable
Special payable
Expected liabilities
Differed income tax
liability 16,913,786.93 16,913,786.93 18,430,490.19 18,430,490.19
Other non-current liabilities 13,484,453.72 19,819,142.86
Total of non-current
liabilities 83,182,708.95 16,913,786.93 63,249,633.05 18,430,490.19
Total of liability 210,863,605.62 84,807,657.12 309,316,559.66 182,556,476.68
Owners’ equity
Share capital 336,521,849.00 336,521,849.00 245,124,000.00 245,124,000.00
Capital reserves 851,206,458.05 842,623,476.26 119,181,307.65 110,598,325.86
Less：Shares in stock
Special reserve
Surplus reserves 31,832,178.67 31,832,178.67 31,832,178.67 31,832,178.67
Common risk provision
Undistributed profit 133,985,505.57 68,115,109.62 97,108,810.95 50,112,831.71
Different of foreign currency
translationShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
10
Total of owner’s equity belong to
the parent company 1,353,545,991.29 1,279,092,613.55 493,246,297.27 437,667,336.24
Minor shareholders’ equity
Total of owners’ equity 1,353,545,991.29 1,279,092,613.55 493,246,297.27 437,667,336.24
Total of liabilities and owners’
equity 1,564,409,596.91 1,363,900,270.67 802,562,856.93 620,223,812.92
4.2 Profit statement of the report period
Prepared by: Shenzhen Textile (Holdings) Co., Ltd. July-September 2010 Unit：RMB
Items
Report period Same period of the previous year
Consolidated Parent company Consolidated Parent company
I. Total operating income 144,558,621.91 12,417,566.44 129,131,248.69 13,332,806.85
Including：Operating income 144,558,621.91 12,417,566.44 129,131,248.69 13,332,806.85
Interest income
Insurance gained
Commission charge and
commission income
II. Total operating cost 135,267,546.00 6,263,410.85 119,745,822.38 10,269,863.62
Including：operating cost 109,844,553.76 3,918,343.85 112,676,591.06 7,120,856.21
Interest expense
Commission charge and
commission expense
Cash surrender value
Net amount of expense of
compensation
Net amount of withdrawal of
insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expense
Operating tax and extras 980,661.70 553,736.29 892,695.04 611,309.78
Sales expenses 4,747,910.99 7,670,657.55 -4,222,067.73 -881,363.17
Administration expenses 19,671,200.98 -1,021,864.75 10,337,534.76 3,336,099.73
Financial expenses -65,966.64 -4,857,462.09 327,643.66 363,834.72
Losses of devaluation of assets 89,185.21 -266,574.41 -280,873.65
Add：changing income of fair
value
Investment income 1,188,136.11 1,188,136.11 8,264,571.56 -4,509,428.44
Including：Investment income on
affiliated company and joint
venture
232,636.12 232,636.12 2,734,212.43 2,272,381.48
Exchange income
III.Operating profit 10,479,212.02 7,342,291.70 17,649,997.87 -1,446,485.21
Add：non-operating income 3,991,982.27 46,204.29 10,209.40 7,000.00
less：non-operating expense 1,321.12 -200.00 37.51
Including：disposal loss of
non-current assets
IV. Total profit 14,469,873.17 7,388,695.99 17,660,169.76 -1,439,485.21
Less：expense of income tax 2,451,681.25 1,364,123.17 1,968,402.41 402,642.86Shenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
11
V. Net profit 12,018,191.92 6,024,572.82 15,691,767.35 -1,842,128.07
Net profit attributable to owner’s
equity of parent company 12,018,191.92 6,024,572.82 15,691,767.35 -1,842,128.07
Minority shareholders’ gains
and losses
VI. Earnings per share
（i）basic earnings per share 0.04 0.02 0.06 -0.01
（ii）Diluted earnings per share 0.04 0.02 0.06 -0.01
VII. Other composite income 17,791,552.40 17,791,552.40 -4,059,785.71 -4,059,785.71
VIII. Total composite income 29,809,744.32 23,816,125.22 11,631,981.64 -5,901,913.78
Total comprehensive income
attributable to owners of parent
Company
29,809,744.32 23,816,125.22 11,631,981.64 -5,901,913.78
Total comprehensive income
attributable to minority
shareholders
4.3 Profit statement from Year-begin to period-end
Prepared by: Shenzhen Textile (Holdings) Co., Ltd. July-September 2010 Unit：RMB
Items
Report period Same period of the previous year
Consolidated Parent company Consolidated Parent company
I. Total operating income 466,927,758.65 38,602,651.82 314,130,345.51 38,559,013.07
Including：Operating income 466,927,758.65 38,602,651.82 314,130,345.51 38,559,013.07
Interest income
Insurance gained
Commission charge and
commission income
II. Total operating cost 443,476,385.07 29,076,805.03 296,130,742.09 26,250,030.08
Including：operating cost 378,177,830.17 9,128,106.96 255,286,253.02 8,807,536.71
Interest expense
Commission charge and
commission expense
Cash surrender value
Net amount of expense of
compensation
Net amount of withdrawal of
insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expense
Operating tax and extras 3,120,763.05 1,811,730.35 2,720,701.14 1,846,297.93
Sales expenses 11,233,987.00 8,934,702.53
Administration expenses 47,217,145.51 19,603,034.61 28,860,718.23 15,684,592.97
Financial expenses 2,109,622.55 103,690.62 1,562,995.83 1,160,530.37
Losses of devaluation of assets 1,617,036.79 -1,569,757.51 -1,234,628.66 -1,248,927.90
Add：changing income of fair
value
Investment income 13,072,002.73 12,579,408.36 26,048,598.65 12,812,767.70
Including：Investment income on
affiliated company and joint
1,211,713.13 1,211,713.13 1,295,789.16 1,151,332.85Shenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
12
venture
Exchange income
III.Operating profit 36,523,376.31 22,105,255.15 44,048,202.07 25,121,750.69
Add：non-operating income 8,974,549.43 46,204.29 863,662.10 762,455.70
less：non-operating expense 2,428.80 27,952.16
Including：disposal loss of
non-current assets
IV. Total profit 45,495,496.94 22,151,459.44 44,883,912.01 25,884,206.39
Less：expense of income tax 8,618,802.32 4,149,181.53 6,580,776.11 4,308,943.52
V. Net profit 36,876,694.62 18,002,277.91 38,303,135.90 21,575,262.87
Net profit attributable to owner’s
equity of parent company 36,876,694.62 18,002,277.91 38,303,135.90 21,575,262.87
Minority shareholders’ gains
and losses 0.00
VI. Earnings per share
（i）basic earnings per share 0.14 0.07 0.16 0.09
（ii）Diluted earnings per share 0.14 0.07 0.16 0.09
VII. Other composite income -5,345,003.64 -5,345,003.64 40,364,693.81 40,364,693.81
VIII. Total composite income 31,531,690.98 12,657,274.27 78,667,829.71 61,939,956.68
Total comprehensive income
attributable to owners of parent
Company
31,531,690.98 12,657,274.27 78,667,829.71 61,939,956.68
Total comprehensive income
attributable to minority
shareholders
4.4 Cash flow statement from Year-begin to period-end
Prepared by: Shenzhen Textile (Holdings) Co., Ltd. July-September 2010 Unit：RMB
Items
Report period Same period of the previous year
Consolidated Parent company Consolidated Parent company
I.Cash flows from operating
activities
Cash received from sales of
goods or rending of services 463,867,256.46 35,210,302.50 308,139,907.17 34,569,835.17
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 investmentShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
13
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 35,121,279.69 23,585,558.83
Other cash received from
business operation 2,865,007.18 109,659,050.22 9,681,156.57 10,653,303.39
Sub-total of cash inflow 501,853,543.33 144,869,352.72 341,406,622.57 45,223,138.56
Cash paid for purchasing
of merchandise and services 415,815,568.84 3,912,698.89 249,773,835.71 3,812,887.71
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 40,256,543.51 10,224,473.52 27,746,195.03 9,929,469.38
Taxes paid 26,327,997.27 5,303,436.08 12,603,154.87 4,427,757.67
Other cash paid for business
activities 38,115,960.51 83,441,128.94 17,903,333.24 9,186,341.42
Sub-total of cash outflow
from business activities 520,516,070.13 102,881,737.43 308,026,518.85 27,356,456.18
Cash flow generated by
business operation, net -18,662,526.80 41,987,615.29 33,380,103.72 17,866,682.38
II.Cash flow generated by
investing
Cash received from
investment retrieving 10,586,541.05 10,586,541.05 27,581,313.94 27,581,313.94
Cash received as investment
gains 3,319,741.29 2,827,146.92 12,412,120.23 11,950,289.28
Net cash retrieved from
disposal of fixed assets,
intangible assets, and other
long-term assets
70,685.24 45,949.24 9,533,170.00 9,529,170.00
Net cash received from
disposal of subsidiaries or
other operational unitsShenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
14
Other investment-related
cash received 867,065.63 867,065.63
Sub-total of cash inflow due
to investment activities 13,976,967.58 13,459,637.21 50,393,669.80 49,927,838.85
Cash paid for construction
of fixed assets, intangible
assets and other long-term
assets
97,386,929.29 5,936,042.75 7,797,488.70 4,130,153.54
Cash paid as investment
Net increase of loan
against pledge
Net cash received from
subsidiaries and other
operational units
350,000,000.00 58,614,846.67 78,000,000.00
Other cash paid for
investment activities 35,454.89 35,454.89
Sub-total of cash outflow
due to investment activities 97,422,384.18 355,971,497.64 66,412,335.37 82,130,153.54
Net cash flow generated by
investment -83,445,416.60 -342,511,860.43 -16,018,665.57 -32,202,314.69
III.Cash flow generated by
financing
Cash received as investment 831,099,995.70 831,099,995.70
Including: Cash received as
investment from minor
shareholders
Cash received as loans 174,784,468.30 130,000,000.00 80,000,000.00 70,000,000.00
Cash received from bond
placing
Other financing –related
ash received 1,500,000.00
Sub-total of cash inflow
from financing activities 1,007,384,464.00 961,099,995.70 80,000,000.00 70,000,000.00
Cash to repay debts 228,000,000.00 220,000,000.00 71,000,000.00 59,000,000.00
Cash paid as dividend,
profit, or interests 4,472,782.50 3,113,580.00 11,730,817.52 10,926,328.54
Including: Dividend and
profit paid by subsidiaries to
minor shareholders
Other cash paid for
financing activities 678,255.20 678,255.20
Sub-total of cash outflow
due to financing activities 233,151,037.70 223,791,835.20 82,730,817.52 69,926,328.54
Net cash flow generated by
financing 774,233,426.30 737,308,160.50 -2,730,817.52 73,671.46
IV.Influence of exchange rate
alternation on cash and cash
equivalents
28,752.35 -2,265.86 199,739.43 4,481.29Shenzhen Textile (Holdings) Co., Ltd. Quarterly Report for the Third Quarter of 2010 (Full text)
15
V.Net increase of cash and
cash equivalents 672,154,235.25 436,781,649.50 14,830,360.06 -14,257,479.56
Add: balance of cash and
cash equivalents at the
beginning of term
101,340,314.95 19,539,632.30 84,022,925.18 35,807,908.88
VI. Balance of cash and cash
equivalents at the end of term 773,494,550.20 456,321,281.80 98,853,285.24 21,550,429.32
4.5 Auditor’ report
Auditor’s opinions: Not audited
This Report has been prepared in both Chinese and English. In case of any discrepancy, the Chinese version
shall prevail.
The Board of Directors of Shenzhen Textile (Holdings) Co., Ltd.
October 29,2010
