2018 Third Quarter Report of China Fangda Group Co., Ltd.
China Fangda Group Co., Ltd.
2018 Third Quarter Report
October 2018
1
2018 Third Quarter Report of China Fangda Group Co., Ltd.
I Important Statement
The members of the Board and the Company guarantee that the quarterly
report is free from any false information, misleading statement or material
omission and are jointly and severally liable for the information’s truthfulness,
accuracy and integrity.
All the Directors have attended the meeting of the board meeting at which
this report was examined.
Mr. Xiong Jianming, the Chairman of Board, Mr. Lin Kebin, the Chief
Financial Officer, and Mr. Wu Bohua, the manager of accounting department
declare: the Financial Report carried in this report is authentic and completed.
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
II. General Information
1. Financial Highlight
Whether the Company needs to make retroactive adjustment or restatement of financial data of previous years
□ Yes √ No
End of the report period End of last year Year-on-year change
Total asset (RMB) 7,654,060,898.26 7,625,422,688.63 0.38%
Net profit attributable to the
shareholders of the listed company 3,281,935,462.95 3,238,939,202.18 1.33%
(RMB)
Between beginning of
Year-on-year change Change from the same
This report period the year to the end of
(%) period last year
the report period
Turnover (yuan) 793,250,321.93 21.47% 2,235,301,218.46 8.89%
Net profit attributable to
shareholders of the listed company 91,338,344.89 -31.44% 321,470,008.08 -11.00%
(yuan)
Net profit attributable to the
shareholders of the listed company
85,861,046.88 -32.65% 295,566,165.22 -14.57%
and after deducting of
non-recurring gain/loss (RMB)
Net cash flow generated by
-- -- 112,612,558.74 -71.44%
business operation (RMB)
Basic earnings per share
0.08 -27.27% 0.28 -9.68%
(yuan/share)
Diluted Earnings per share
0.08 -27.27% 0.28 -9.68%
(yuan/share)
Weighted average net income/asset
2.77% -50.54% 9.77% -34.47%
ratio
Accidental gain/loss item and amount
√ Applicable □ Inapplicable
In RMB
Amount from beginning of
Item the year to the end of the Notes
report period
Non-current asset disposal gain/loss (including the write-off part -3,552,086.89
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
for which assets impairment provision is made)
Subsidies accounted into the current income account (except the
government subsidy closely related to the enterprise’s business 3,985,078.03
and based on unified national standard quota)
Capital using expense charged to non-financial enterprises and
204,402.52
accounted into the current income account
Gain from entrusted investment or assets management 58,741,769.45
Gain/loss from change of fair value of transactional financial
asset and liabilities, and investment gains from disposal of
transactional financial assets and liabilities and sellable financial -34,002,548.25
assets, other than valid period value instruments related to the
Company’s common businesses
Influence of one-off adjustment of the current gain/loss according
to requirement of tax and accounting laws and regulation on the -323,794.00
current gain/loss.
Other non-business income and expenditures other than the above 6,888,844.70
Less: Influenced amount of income tax 6,037,822.70
Total 25,903,842.86 --
Explanation statement should be made for accidental gain/loss items defined and accidental
gain/loss items defined as regular gain/loss items according to the Explanation Announcement of
Information Disclosure No. 1 - Non-recurring gain/loss mentioned.
□ Applicable √ Inapplicable
No circumstance that should be defined as recurrent profit and loss according to Explanation Announcement of Information
Disclosure No. 1 - Non-recurring gain/loss occurs in the report period.
2. Total number of shareholders and shareholding of top 10 shareholders by the end of the
report period
1. Ordinary shareholders, preference shareholders with resumed voting rights and top 10 shareholders
In share
Number of shareholders of
Number of shareholders of common preferred stocks of which
62,786 0
shares at the end of the report period voting rights recovered in the
report period (if any)
Top 10 Shareholders
Nature of Shareholding Conditional Pledging or freezing
Shareholder Number of shares
shareholder percentage shares Share status Amount
Shenzhen Domestic
9.80% 113,202,154 0 Pledged 31,540,000
Banglin non-state legal
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Technologies person
Development
Co., Ltd.
Shengjiu Foreign legal
8.07% 93,202,238 0
Investment Ltd. person
GUOTAI
JUNAN
Foreign legal
SECURITIES(H 2.62% 30,331,243 0
person
ONGKONG)
LIMITED
Gong Qing
Cheng Shi Li He
Investment Domestic
Management non-state legal 2.32% 26,791,488 0
Partnership person
Enterprise
(limited partner)
Domestic natural
Fang Wei 1.77% 20,446,537 0
person
Shenwan
Hongyuan Foreign legal
1.61% 18,641,097 0
Securities (Hong person
Kong) Co., Ltd.
China Resource
SZITIC Trust –
China Resource
Others 0.90% 10,361,804 0
Trust No.13
Collective Trust
Program
VANGUARD
EMERGING
Foreign legal
MARKETS 0.69% 7,946,483 0
person
STOCK INDEX
FUND
Yunnan
International
Trust CO., Ltd. –
Others 0.63% 7,270,314 0
Yunxia No.3
Collective Fund
Trust Program
SUN HUNG KAI
Foreign legal 0.63% 7,269,002 0
INVESTMENT
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
SERVICES LTD person
Top 10 holders of unconditional shares
Category of shares
Shareholder Amount of shares without sales restriction Category of
Amount
shares
Shenzhen Banglin Technologies RMB common
113,202,154 113,202,154
Development Co., Ltd. shares
Foreign shares
Shengjiu Investment Ltd. 93,202,238 listed in domestic 93,202,238
exchanges
GUOTAI JUNAN Foreign shares
SECURITIES(HONGKONG) 30,331,243 listed in domestic 30,331,243
LIMITED exchanges
Gong Qing Cheng Shi Li He
RMB common
Investment Management Partnership 26,791,488 26,791,488
shares
Enterprise (limited partner)
RMB common
Fang Wei 20,446,537 20,446,537
shares
Foreign shares
Shenwan Hongyuan Securities
18,641,097 listed in domestic 18,641,097
(Hong Kong) Co., Ltd.
exchanges
China Resource SZITIC Trust –
RMB common
China Resource Trust No.13 10,361,804 10,361,804
shares
Collective Trust Program
Foreign shares
VANGUARD EMERGING
7,946,483 listed in domestic 7,946,483
MARKETS STOCK INDEX FUND
exchanges
Yunnan International Trust CO., Ltd.
RMB common
– Yunxia No.3 Collective Fund Trust 7,270,314 7,270,314
shares
Program
Foreign shares
SUN HUNG KAI INVESTMENT
7,269,002 listed in domestic 7,269,002
SERVICES LTD
exchanges
Among the shareholders, Shenzhen Banglin Technology Development Co., Ltd. and Shengjiu
Investment Co., Ltd. are parties action-in-concert. Shenzhen Banglin Technology
Notes to top ten shareholder
Development Co., Ltd. and Gong Qing Cheng Shi Li He Investment Management Partnership
relationship or "action in concert"
Enterprise are related parties. The Company is not notified of other action-in-concert or
related parties among the other holders of current shares.
Top-10 common share shareholders
None
participating in margin trade (if any)
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Agreed re-purchasing by the Company’s top 10 shareholders of common shares and top 10 shareholders of unconditional common
shares in the report period
□ Yes √ No
No agreed re-purchasing by the Company’s top 10 shareholders of common shares and top 10 shareholders of unconditional common
shares in the report period
2. Total number of preferred shareholders and shareholding of top 10 preferred shareholders by the end of
the report period
□ Applicable √ Inapplicable
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
III Significant Events
1. Major changes in accounting items and financial data in the report period and reasons
√ Applicable □ Inapplicable
Closing balance Opening balance YOY
Item Cause of change
(RMB) (RMB) change (% )
Other current
190,251,766.31 439,890,493.06 -56.75% Decrease in bank financial products
assets
Long-term share Increase in investment in joint
69,871,054.85 34,142,055.62 104.65%
equity investment ventures
Transfer of real estate property that
Other non-current
6,374,713.00 31,130,198.46 -79.52% have gone through the transfer
assets
procedure into fixed assets
Short-term loans 224,000,000.00 616,000,000.00 -63.64% Decrease in bank borrowings
Account Attributable to prepaid engineering
243,886,289.04 175,351,686.45 39.08%
receivable payment of new projects
Increase in two-year bank
Long-term loans 1,213,400,854.96 893,978,153.39 35.73%
borrowings
Capital reserves 1,454,191.59 72,829,484.96 -98.00% Attributable to repurchase of shares
Between
beginning of the
Same period last year YOY
Item year to the end of Cause of change
(RMB) change (% )
the report period
(RMB)
Financial
51,121,831.76 41,975,850.30 21.79% Increase in loans in H1
expenses
Asset impairment Change in the accounting estimate
13,572,017.23 -48,121,560.56 -128.20%
loss of bad debt provision in last year
Gain caused by
Adjustment of fair value of
changes in fair -34,326,342.25 2,973,747.00 -1254.31%
transaction financial assets
value
Investment Mainly attributable to financial
57,877,044.56 10,861,727.87 432.85%
income products purchased
Mainly attributable to provision of
Net profit 321,470,008.08 360,491,680.00 -10.82%
bad debt
Other cash paid
Mainly due to the increase in
for business 480,094,332.49 268,199,654.52 79.01%
various operating margins
activities
Cash received as Mainly attributable to investment
64,596,027.07 13,773,697.27 368.98%
investment profit gains received from financial
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
products
Net cash retrieved
from disposal of
fixed assets,
16,523,904.33 3,540,531.00 366.71% Proposal of real estate property
intangible assets,
and other
long-term assets
Cash paid for
construction of
fixed assets,
49,609,863.23 33,608,087.17 47.61% Increase in land use rights
intangible assets
and other
long-term assets
Cash paid to repay
780,577,298.43 391,000,000.00 99.64% Increase in mature band borrowings
debts
2. Progress of key issues and its impacts and solutions
√ Applicable □ Inapplicable
(1) Report on Repurchase of B-Shares
1. First repurchase in 2018: The Company reviewed and approved the Resolution on the Repurchase of Domestically Listed
Foreign Shares (B Shares) of the Company at the 8th meeting of the 8th Board of Directors and the 2017 Annual General Meeting of
Shareholders on April 24 2018 and May 15 2018 respectively.From August 13, 2018 to August 16, 2018, the Company spent
HKD114,478,923.89 to repurchase 28,160,568 shares of B shares through centralized bidding, and completed the above at China
Securities Depository and Clearing Co., Ltd. Shenzhen Branch on August 29, 2018. share repurchase and cancellation procedures.
After the cancellation, the Company's total share capital decreased to 1,183,642,254 shares from 1,155,481,686 shares.
2. Second repurchase in 2018: The Company reviewed and approved the Resolution on the Repurchase of Domestically
Listed Foreign Shares (B Shares) of the Company at the 10th meeting of the 8th Board of Directors and the first Extraordinary
Shareholder Meeting on September 10, 2018 and September 27, 2018 respectively. The Company will use no more than RMB100
million (the actual amount in Hong Kong Dollar will be determined based on the exchange rate of the exchanging date, including
exchanging and transaction costs) to repurchase the B shares at the price of no more than HKD4.5/share. Due to the Company's
repurchase of B shares, it is necessary to open a special foreign exchange account and make foreign exchange funds to obtain the
consent of the relevant departments of the State Administration of Foreign Exchange.
(2) Property Project Development Progress
1. Fangda Town: In the first three quarters of 2018, the Fangda Town project achieved a sales area of 11,462.10 square meters,
with a cumulative sales area of 82,023.18 square meters; the commercial investment signing rate reached 86.5%, and plans to start
trial operation at the end of October 2018; the second phase of the 1# building has been completed and accepted. It is expected that
the planning acceptance will be completed by the end of November.In addition to the Company's own use, the 1# floor has an area of
about 70,000 square meters to earn rentals and capital appreciation. Currently, part of the area has been leased and it is expected that
there will be rental income starting next year.
2. Nanchang Fenghuangzhou Fangda Center project: The project started construction in May this year. The project covers
an area of about 17,000 square meters with a total construction area of about 93,000 square meters. The total construction area is
66,000 square meters. The commercial complex of hotels, apartments and office buildings is planned to be completed and pre-sold at
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
the end of 2019.The project has been constructed as planned currently.
3. Fangda Bangshen Industrial Park project: The project is located in Fuyong, Bao'an District, Shenzhen. It covers an area
of 20,714.9 square meters. The current status is industrial plant. According to the current policy of urban renewal in Bao'an District
of Shenzhen, it is planned to serve the (M0+M1) function, which is subject to government approval.The project renewal report for
the project is in progress.
4. Shenzhen Henggang Dakanghe renewal project: At the end of September 2018, Shenzhen Zhongrong Litai Investment
Co., Ltd., a holding subsidiary of Fangda Real Estate Co., Ltd., a wholly-owned subsidiary of the Company, and Shenzhen Henggang
Dakang Co., Ltd. and Shangzhong branch of the Shenzhen Henggang Dakang Co., Ltd. signed a letter of intent for the cooperation of
the Dakanghe urban renewal project.The project is located in Dakang Village, Yuanshan Sub-district, Longgang District, Shenzhen,
north to Yanhe Road, south to Shanzixia Road, west to Xiaokang Road, and east to Yuying Street. The area to be demolished is about
80,000 square meters. The project is mainly for residential functions and is subject to government approval.
In addition, the Company is also in the process of launching several other key renovation projects in Shenzhen. It is expected
that the Company's real estate sales and property leasing will continue to contribute profits to the Company.
Key issue Date of disclosure Information source
Announcement on the resolutions of the 8th
China Securities Journal, Shanghai
meeting of the 8th Board of Directors and
26.04.18 Securities Daily, Securities Times, HKCD
the plan for repurchasing domestically
(English) and www.cninfo.com.cn
listed foreign shares (B shares)
China Securities Journal, Shanghai
Announcement on Resolutions of the
16.05.18 Securities Daily, Securities Times, HKCD
General Shareholders’ Meeting 2017
(English) and www.cninfo.com.cn
China Securities Journal, Shanghai
Notice on Canceling Repurchased Shares 31.08.18 Securities Daily, Securities Times, HKCD
(English) and www.cninfo.com.cn
Announcement on the resolutions of the
China Securities Journal, Shanghai
10th meeting of the 8th Board of Directors
11.09.18 Securities Daily, Securities Times, HKCD
and the plan for repurchasing domestically
(English) and www.cninfo.com.cn
listed foreign shares (B shares)
China Securities Journal, Shanghai
Resolution of the 1st Extraordinary
28.09.18 Securities Daily, Securities Times, HKCD
Shareholders’ Meeting 2018
(English) and www.cninfo.com.cn
Voluntary Disclosure of Information on the
China Securities Journal, Shanghai
Letter of Intent for the Signing of the City
12.10.18 Securities Daily, Securities Times, HKCD
Renewal Project by The Company's
(English) and www.cninfo.com.cn
Subsidiary
3. Commitments that have not been fulfilled by actual controller, shareholders, related parties,
acquirers of the Company
□ Applicable √ Inapplicable
There is no commitment that has not been fulfilled by actual controller, shareholders, related parties, acquirers of the Company
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
4. Forecast of operating performance in 2018
Warning and reasons of possible net loss or substantial change from the last period between the beginning of the year and the end of
the next report period
□ Applicable √ Inapplicable
5. Securities investment
√ Applicable □ Inapplicable
Accumu
lative
Gain/los changes
s caused in fair Amount Amount
Initial Account Opening Closing
Securiti Abbrev by value purchas sold in Gain/los Account Capital
Code investme ing book book
es iation changes accounti ed in the the s ing item source
nt cost method value value
in fair ng into period period
value the
income
account
Jinxind
uo
Strateg
y Measure Transact
Selecte 200,000, ment at 199,998 -34,002, 199,998 35,707, 165,995 ional Self-ow
Fund 004223 0.00 0.00
d 000.00 fair ,000.00 548.25 ,000.00 239.85 ,451.75 financia ned fund
Flexibl value l assets
e
Portfoli
o
200,000, 199,998 -34,002, 199,998 35,707, 165,995
Total -- 0.00 0.00 -- --
000.00 ,000.00 548.25 ,000.00 239.85 ,451.75
Disclosure date of
approval by the Board of
07.09.18
Directors of securities
investment
Disclosure date of
securities investment
approval by the None
Shareholders’ Meeting (if
any)
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
6. Entrusted wealth management
√ Applicable □ Inapplicable
In RMB10,000
Due balance to be
Type Source of fund Amount Undue balance
recovered
Bank financial products Self-owned fund 581,810 11,352 0
Total 581,810 11,352 0
Specific circumstances of high-risk entrusted financing with large individual amount or low security, poor liquidity, and no cost
protection
□ Applicable √ Inapplicable
Entrusted financial management expected to fail to recover the principal or likely result in impairment
□ Applicable √ Inapplicable
7. Derivative investment
√ Applicable □ Inapplicable
In RMB10,000
Proporti
on of
closing
investm
Derivati Impairm ent Actual
Initial Amount Closing
ve Related Amount ent amount gain/los
Relation Initial Start End investm sold in investm
investm transacti Type in this provisio in the s in the
ship amount date date ent this ent
ent on period n (if closing report
amount period amount
operator any) net period
assets in
the
report
period
Shangha
Shangha
i
i 26.10.1 31.07.1 13,741. 12,842. 1,050.5
Futures None No 151.25 151.25 0.32% -99.51
aluminu 7 9 62 32 5
Exchan
m
ge
13,741. 12,842. 1,050.5
Total 151.25 -- -- 151.25 0.32% -99.51
62 32 5
Capital source Self-owned fund
Lawsuit (if any) None
Disclosure date of derivative 31.10.17
12
2018 Third Quarter Report of China Fangda Group Co., Ltd.
investment approval by the Board of
Directors (if any)
Disclosure date of derivative
investment approval by the None
Shareholders’ Meeting (if any)
Risk analysis and control measures
To prevent the risk of fluctuation of raw material prices, the Company adopted the aluminum
for the derivative holding in the
futures exchanged at the domestic futures exchange to provide hedging for aluminum as a
report period (including without
raw material for the Company. The Company has set up and implemented the Provincial
limitation market, liquidity, credit,
Regulations on China Fangda Group Domestic Futures Hedging to prevent risks.
operation and legal risks)
Changes in the market price or fair
value of the derivative in the report
period, the analysis of the
Fair value of derivatives are measured at open prices in the futures market
derivative’s fair value should
disclose the method used and related
assumptions and parameters.
Material changes in the accounting
policies and rules related to the
None
derivative in the report period
compared to last period
Opinions of independent directors on
the Company’s derivative investment None
and risk controlling
8. Reception of investigations, communications, or interviews in the reporting period
√ Applicable □ Inapplicable
Time/date Way Visitor Disclosure of information
Inquiry about approval progress of the B
18.07.18 Telephone communication Individual
share repurchase
Inquiry about the Company's operation
24.07.18 Telephone communication Individual
condition
Inquiry about the progress of the Fangda
06.08.18 Telephone communication Individual
Town project
17.08.18 Telephone communication Individual Inquiry about the B share repurchase
Inquiry about the Company's future
24.08.18 Telephone communication Individual
development strategy
Inquiry about the Company's operation
04.09.18 Telephone communication Individual
condition
12.09.18 Telephone communication Individual Inquiry about project bidding
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Inquiry about the second repurchase of B
18.09.18 Telephone communication Individual
shares
Inquiry about the Company's operation
26.09.18 Telephone communication Individual
condition in Q3
9. Incompliant external guarantee
□ Applicable √ Inapplicable
The Company made no incompliant external guarantee in the report period.
10. Non-operating capital use by the controlling shareholder or related parties in the
reporting term
□ Applicable √ Inapplicable
The controlling shareholder and its affiliates occupied no capital for non-operating purpose of the Company during the report period.
11. Performance of poverty relieving responsibilities
(1) As of the disclosure date of this report, the Company has donated RMB680,000 for the precision poverty alleviation
project in 2018, as follows:
1. In order to help the Lianhua County of Pingxiang City, Jiangxi Province to achieve poverty alleviation, the Company donated
500,000 yuan to Pingxiang City Charity Association of Jiangxi Province for the development of lily industry in Shanbei Village,
Liushi Township, Lianhua County, and Tianyu Village, Fanglou Town, Lianhua County.
2. The Company donated a photovoltaic poverty alleviation power station to the Dongshui Villagers Committee of Xishan Town
Lianping County Guangdong Province with a value of about RMB150,000.
3. Donated RMB30,000 to two students at Jiangxi Ganzhou Zhanggong district Shahe Longcun village.
(2) In addition to the above donation, the Company's follow-up plan for accurate poverty alleviation is RMB2.7 million as
follows:
1. In order to improve the education level in poverty-stricken areas, the Company will expand and repair the existing school buildings
(originally donated by the company) of Fangda Hope Primary School in Lianbu Town, Nanchang New District. The total donation is
about RMB1.2 million.
2. Donate RMB1 million to Shenzhen Nanshan District Charity Association.
3. In the fourth quarter of 2019, the Company will donate RMB500,000 to Pingxiang City Charity Association of Jiangxi Province
for the development of lily industry in Shanbei Village, Liushi Township, Lianhua County, and Tianyu Village, Fanglou Town,
Lianhua County.
The Company will continue to fulfill its social responsibility for precision poverty alleviation, and make donations from time to
time based on business development.
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
IV Financial Statements
1. Financial statements
1. Consolidated Balance Sheet
Prepared by: China Fangda Group Co., Ltd.
30.09.18
In RMB
Item Closing balance Opening balance
Current asset:
Monetary capital 1,008,372,077.31 1,180,398,479.51
Settlement provision
Outgoing call loan
Financial assets measured at fair value
with variations accounted into current 165,995,451.75
income account
Derivative financial assets
Receivable notes and accounts
2,142,020,148.72 1,960,008,863.36
receivable
Including: receivable notes 59,191,445.40 39,636,437.20
Account receivable 2,082,828,703.32 1,920,372,426.16
Prepayment 55,338,220.09 54,680,269.84
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts
receivable
Other receivables 89,535,473.67 60,904,672.69
Repurchasing of financial assets
Inventory 722,087,035.00 819,610,960.67
Assets held for sales
Non-current assets due in 1 year
Other current assets 190,251,766.31 439,890,493.06
Total current assets 4,373,600,172.85 4,515,493,739.13
Non-current assets:
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Loan and advancement provided
Sellable financial assets 28,562,575.67 28,562,575.67
Investment held until mature
Long-term receivable
Long-term share equity investment 69,871,054.85 34,142,055.62
Investment real estate 2,366,568,070.17 2,253,794,404.55
Fixed assets 460,150,040.28 468,118,279.18
Construction in process 3,995,443.70 2,668,198.62
Productive biological assets
Gas & petrol
Intangible assets 80,953,867.78 58,869,444.53
R&D expense
Goodwill
Long-term amortizable expenses 10,551,623.36 2,046,202.29
Deferred income tax assets 253,433,336.60 230,597,590.58
Other non-current assets 6,374,713.00 31,130,198.46
Total of non-current assets 3,280,460,725.41 3,109,928,949.50
Total of assets 7,654,060,898.26 7,625,422,688.63
Current liabilities
Short-term loans 224,000,000.00 616,000,000.00
Loans from Central Bank
Deposit received and held for others
Call loan received
Financial liabilities measured at fair
value with variations accounted into
current income account
Derivative financial liabilities 873,025.00 159,000.00
Payable notes and accounts 1,395,368,228.45 1,479,313,284.40
Prepayment received 243,886,289.04 175,351,686.45
Selling of repurchased financial assets
Fees and commissions payable
Employees’ wage payable 22,039,905.86 40,399,130.75
Taxes payable 115,007,477.94 136,955,516.44
Other payables 619,017,843.11 503,614,822.66
Reinsurance fee payable
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Insurance contract provision
Entrusted trading of securities
Entrusted selling of securities
Liabilities held for sales
Non-current liabilities due in 1 year 200,000,000.00 200,000,000.00
Other current liabilities 9,070,899.28 9,531,014.81
Total current liabilities 2,829,263,668.68 3,161,324,455.51
Non-current liabilities:
Long-term loans 1,213,400,854.96 893,978,153.39
Bond payable
Including: preferred stock
Perpetual bond
Long-term payable
Long-term employees’ wage payable
Anticipated liabilities 6,153,757.80 6,368,353.05
Deferred earning 10,493,331.29 10,489,483.94
Deferred income tax liabilities 312,813,822.58 314,323,040.56
Other non-current liabilities
Total of non-current liabilities 1,542,861,766.63 1,225,159,030.94
Total liabilities 4,372,125,435.31 4,386,483,486.45
Owner’s equity:
Share capital 1,155,481,686.00 1,183,642,254.00
Other equity tools
Including: preferred stock
Perpetual bond
Capital reserves 1,454,191.59 72,829,484.96
Less: Shares in stock
Other miscellaneous income 7,993,054.60 8,585,847.99
Special reserves
Surplus reserves 109,891,642.20 110,690,396.65
Common risk provisions
Retained profit 2,007,114,888.56 1,863,191,218.58
Total of owner’s equity belong to the
3,281,935,462.95 3,238,939,202.18
parent company
17
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Minor shareholders’ equity
Total of owners’ equity 3,281,935,462.95 3,238,939,202.18
Total of liabilities and owner’s interest 7,654,060,898.26 7,625,422,688.63
Legal representative: Xiong Jianming CFO: Lin Kebing Accounting Manager: Wu Bohua
2. Balance Sheet of the Parent Company
In RMB
Item Closing balance Opening balance
Current asset:
Monetary capital 290,288,470.86 310,299,329.68
Financial assets measured at fair value
with variations accounted into current 66,398,014.70
income account
Derivative financial assets
Receivable note and accounts
200,000,000.00 408,154.54
receivable
Including: receivable notes 200,000,000.00
Account receivable 408,154.54
Prepayment 105,517.23 349,740.31
Other receivables 1,142,808,005.45 823,793,780.45
Inventory
Assets held for sales
Non-current assets due in 1 year
Other current assets 10,448,688.38 100,176,058.36
Total current assets 1,710,048,696.62 1,235,027,063.34
Non-current assets:
Sellable financial assets 28,562,575.67 28,562,575.67
Investment held until mature
Long-term receivable
Long-term share equity investment 983,339,494.35 925,349,494.35
Investment real estate 307,321,568.00 307,321,568.00
Fixed assets 54,334,157.41 55,816,611.77
Construction in process
Productive biological assets
18
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Gas & petrol
Intangible assets 2,195,142.36 2,293,133.59
R&D expense
Goodwill
Long-term amortizable expenses 9,321,312.20 460,000.00
Deferred income tax assets 23,429,841.64 23,409,576.18
Other non-current assets
Total of non-current assets 1,408,504,091.63 1,343,212,959.56
Total of assets 3,118,552,788.25 2,578,240,022.90
Current liabilities
Short-term loans 200,000,000.00 250,000,000.00
Financial liabilities measured at fair
value with variations accounted into current
income account
Derivative financial liabilities
Payable notes and accounts 673,941.85 606,941.85
Prepayment received 693,045.60 721,888.86
Employees’ wage payable 966,155.33 2,151,237.91
Taxes payable 1,151,777.67 11,721,681.36
Other payables 675,206,700.81 287,972,808.37
Liabilities held for sales
Non-current liabilities due in 1 year
Other current liabilities
Total current liabilities 878,691,621.26 553,174,558.35
Non-current liabilities:
Long-term loans 500,000,000.00
Bond payable
Including: preferred stock
Perpetual bond
Long-term payable
Long-term employees’ wage payable
Anticipated liabilities
Deferred earning
Deferred income tax liabilities 63,713,846.42 63,864,007.22
Other non-current liabilities
19
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Total of non-current liabilities 563,713,846.42 63,864,007.22
Total liabilities 1,442,405,467.68 617,038,565.57
Owner’s equity:
Share capital 1,155,481,686.00 1,183,642,254.00
Other equity tools
Including: preferred stock
Perpetual bond
Capital reserves 360,835.52 71,736,128.89
Less: Shares in stock
Other miscellaneous income 8,756,553.46 8,756,553.46
Special reserves
Surplus reserves 109,891,642.20 110,690,396.65
Retained profit 401,656,603.39 586,376,124.33
Total of owners’ equity 1,676,147,320.57 1,961,201,457.33
Total of liabilities and owner’s interest 3,118,552,788.25 2,578,240,022.90
3. Consolidated Income Statement of the Report Period
In RMB
Item Amount occurred in the current period Occurred in previous period
1. Total revenue 793,250,321.93 653,038,212.34
Incl. Business income 793,250,321.93 653,038,212.34
Interest income
Insurance fee earned
Fee and commission
received
2. Total business cost 686,317,916.32 527,570,947.26
Incl. Business cost 568,150,146.71 469,496,033.48
Interest expense
Fee and commission paid
Insurance discharge
payment
Net claim amount paid
Net insurance policy
reserves provided
Insurance policy dividend
20
2018 Third Quarter Report of China Fangda Group Co., Ltd.
paid
Reinsurance expenses
Taxes and surcharges 37,823,332.32 27,720,396.62
Sales expense 10,702,477.61 16,873,111.63
Administrative expense 37,002,879.24 35,616,297.32
R&D cost 3,572,516.18 5,291,541.42
Financial expenses 17,349,510.08 16,078,535.41
Including: interest cost 25,702,800.18 15,564,921.17
Interest income -3,207,162.41 -1,380,729.08
Asset impairment loss 11,717,054.18 -38,213,427.20
Add: other gains 1,058,639.79 3,104,151.04
Investment gains (“-“ for loss) 31,632,282.15 3,981,131.60
Incl. Investment gains from
-647,094.54
affiliates and joint ventures
Gains from change of fair
-25,429,705.00 2,274,935.37
value (“-“ for loss)
Exchange gains (“-“ for loss)
Investment gains ("-" for loss) -1,981,867.64 -6,928.66
3. Operational profit (“-“ for loss) 112,211,754.91 134,820,554.43
Plus: non-operational income 464,154.45 -554,556.29
Less: non-operational expenditure 167,066.97 1,036,077.29
4. Gross profit (“-“ for loss) 112,508,842.39 133,229,920.85
Less: Income tax expenses 21,170,497.50 256,484.21
5. Net profit (“-“ for net loss) 91,338,344.89 132,973,436.64
(1) Net profit from continuous
91,338,344.89 132,973,436.64
operation ("-" for net loss)
(2) Net profit from discontinuous
operation ("-" for net loss)
Net profit attributable to the
91,338,344.89 133,216,451.43
owners of parent company
Minor shareholders’ equity -243,014.79
6. After-tax net amount of other misc.
1,286,962.78 8,481,869.86
incomes
After-tax net amount of other misc.
1,286,962.78 8,481,869.86
incomes attributed to parent's owner
(1) Other misc. incomes that
21
2018 Third Quarter Report of China Fangda Group Co., Ltd.
cannot be re-classified into gain and
loss
1. Re-measure the change
in the defined benefit plan
2. Other comprehensive
income that cannot be transferred to
profit or loss under the equity method
(2) Other misc. incomes that will
1,286,962.78 8,481,869.86
be re-classified into gain and loss
1. Other comprehensive
income that can be transferred to profit
or loss under the equity method
2．Change in the fair value
of financial asset for sale
3 Held-to-mature
investment reclassified as gain and loss
in the financial assets for sales
4. Effective part in the gain
1,232,080.00 96,269.40
and loss of arbitrage of cash flow
5. Translation difference of
54,882.78 -279,121.37
foreign exchange statement
6. Others 8,664,721.83
After-tax net of other misc. income
attributed to minority shareholders
7. Total of misc. incomes 92,625,307.67 141,455,306.50
Total of misc. incomes attributable
92,625,307.67 141,698,321.29
to the owners of the parent company
Total misc gains attributable to the
-243,014.79
minor shareholders
8. Earnings per share:
(1) Basic earnings per share 0.08 0.11
(2) Diluted earnings per share 0.08 0.11
Net profit contributed by entities merged under common control in the report period was RMB0.00, net profit realized by parties
merged during the previous period is RMB0.00.
Legal representative: Xiong Jianming CFO: Lin Kebing Accounting Manager: Wu Bohua
4. Consolidated Income Statement of the Report Period
In RMB
22
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Item Amount occurred in the current period Occurred in previous period
1. Turnover 7,795,537.50 7,143,696.79
Less: Operation cost 559,020.48 863,777.60
Taxes and surcharges 324,914.12 333,780.40
Sales expense 0.00
Administrative expense 5,790,565.51 5,766,693.63
R&D cost
Financial expenses 9,138,885.73 -1,173,575.45
Including: interest cost 9,896,208.34 1,146,635.83
Interest income -408,881.16 -2,340,011.51
Asset impairment loss -17,615.04 56,567.43
加：Other gains
Investment gains (“-“ for loss) 11,500,427.84 1,479,735.59
Incl. Investment gains from
876,182.79
affiliates and joint ventures
Gains from change of fair
-10,171,856.57 1,820,847.37
value (“-“ for loss)
Investment gains ("-" for loss) -55,328.84
2. Operational profit (“-“ for loss) -6,726,990.87 4,597,036.14
Plus: non-operational income 2,500.00 4,105.20
Less: non-operational expenditure 5,494.62 121,000.00
3. Gross profit (“-“ for loss) -6,729,985.49 4,480,141.34
Less: Income tax expenses -10,035,082.23
4. Net profit (“-“ for net loss) -6,729,985.49 14,515,223.57
(1) Net profit from continuous
-6,729,985.49 14,515,223.57
operation ("-" for net loss)
(2) Net profit from discontinuous
operation ("-" for net loss)
5. After-tax net amount of other misc.
8,664,721.83
incomes
(1) Other misc. incomes that
cannot be re-classified into gain and
loss
1. Re-measure the change
in the defined benefit plan
2. Other comprehensive
23
2018 Third Quarter Report of China Fangda Group Co., Ltd.
income that cannot be transferred to
profit or loss under the equity method
(2) Other misc. incomes that will
8,664,721.83
be re-classified into gain and loss
1. Other comprehensive
income that can be transferred to profit
or loss under the equity method
2．Change in the fair value
of financial asset for sale
3 Held-to-mature
investment reclassified as gain and loss
in the financial assets for sales
4. Effective part in the gain
and loss of arbitrage of cash flow
5. Translation difference of
foreign exchange statement
6. Others 8,664,721.83
6. Total of misc. incomes -6,729,985.49 23,179,945.40
7. Earnings per share:
(1) Basic earnings per share
(2) Diluted earnings per share
5. Consolidated Income Statement Between the Beginning of the Year and End of the Report Period
In RMB
Item Amount occurred in the current period Occurred in previous period
1. Total revenue 2,235,301,218.46 2,052,749,153.63
Incl. Business income 2,235,301,218.46 2,052,749,153.63
Interest income
Insurance fee earned
Fee and commission
received
2. Total business cost 1,860,230,298.85 1,645,174,343.12
Incl. Business cost 1,503,636,322.43 1,372,893,960.45
Interest expense
Fee and commission paid
Insurance discharge
payment
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2018 Third Quarter Report of China Fangda Group Co., Ltd.
Net claim amount paid
Net insurance policy
reserves provided
Insurance policy dividend
paid
Reinsurance expenses
Taxes and surcharges 139,027,527.35 131,792,673.42
Sales expense 37,762,618.85 40,010,393.40
Administrative expense 103,542,065.13 97,403,916.43
R&D cost 11,567,916.09 9,219,109.68
Financial expenses 51,121,831.76 41,975,850.30
Including: interest cost 56,940,394.38 49,152,652.50
Interest income -6,869,263.66 -11,242,432.46
Asset impairment loss 13,572,017.23 -48,121,560.56
Add: other gains 3,757,831.37 4,512,602.04
Investment gains (“-“ for loss) 57,877,044.56 10,861,727.87
Incl. Investment gains from
0.00 -1,273,726.16
affiliates and joint ventures
Gains from change of fair
-34,326,342.25 2,973,747.00
value (“-“ for loss)
Exchange gains (“-“ for loss)
Investment gains ("-" for loss) -3,533,733.22 -94,172.98
3. Operational profit (“-“ for loss) 398,845,720.07 425,828,714.44
Plus: non-operational income 7,530,192.86 3,952,958.80
Less: non-operational expenditure 689,227.40 1,265,404.51
4. Gross profit (“-“ for loss) 405,686,685.53 428,516,268.73
Less: Income tax expenses 84,216,677.45 68,024,588.73
5. Net profit (“-“ for net loss) 321,470,008.08 360,491,680.00
(1) Net profit from continuous
321,470,008.08 360,491,680.00
operation ("-" for net loss)
(2) Net profit from discontinuous
operation ("-" for net loss)
Net profit attributable to the
321,470,008.08 361,219,770.86
owners of parent company
Minor shareholders’ equity -728,090.86
6. After-tax net amount of other misc. -592,793.39 6,699,639.71
25
2018 Third Quarter Report of China Fangda Group Co., Ltd.
incomes
After-tax net amount of other misc.
-592,793.39 6,699,639.71
incomes attributed to parent's owner
(1) Other misc. incomes that
cannot be re-classified into gain and
loss
1. Re-measure the change
in the defined benefit plan
2. Other comprehensive
income that cannot be transferred to
profit or loss under the equity method
(2) Other misc. incomes that will
-592,793.39 6,699,639.71
be re-classified into gain and loss
1. Other comprehensive
income that can be transferred to profit
or loss under the equity method
2．Change in the fair value
of financial asset for sale
3 Held-to-mature
investment reclassified as gain and loss
in the financial assets for sales
4. Effective part in the gain
-606,921.25 -1,685,960.75
and loss of arbitrage of cash flow
5. Translation difference of
14,127.86 -279,121.37
foreign exchange statement
6. Others 8,664,721.83
After-tax net of other misc. income
attributed to minority shareholders
7. Total of misc. incomes 320,877,214.69 367,191,319.71
Total of misc. incomes attributable
320,877,214.69 367,919,410.57
to the owners of the parent company
Total misc gains attributable to the
-728,090.86
minor shareholders
8. Earnings per share:
(1) Basic earnings per share 0.28 0.31
(2) Diluted earnings per share 0.28 0.31
Net profit contributed by entities merged under common control in the report period was RMB0.00, net profit realized by parties
merged during the previous period is RMB0.00.
26
2018 Third Quarter Report of China Fangda Group Co., Ltd.
6. Income Statement of the Parent Between the Beginning of the Year and End of the Report Period
In RMB
Item Amount occurred in the current period Occurred in previous period
1. Turnover 22,907,827.70 20,997,817.08
Less: Operation cost 1,232,598.73 1,667,373.48
Taxes and surcharges 975,716.94 987,119.06
Sales expense
Administrative expense 15,924,036.36 18,323,645.88
R&D cost
Financial expenses 16,687,577.76 -2,618,598.83
Including: interest cost 18,446,237.53 3,913,018.33
Interest income -1,990,291.21 -6,846,472.61
Asset impairment loss 81,061.84 94,478.76
Add: other gains 114,556.59
Investment gains (“-“ for loss) 19,638,911.06 2,494,407.02
Incl. Investment gains from
249,551.17
affiliates and joint ventures
Gains from change of fair
-13,600,985.30 1,820,847.37
value (“-“ for loss)
Investment gains ("-" for loss) -55,902.90
2. Operational profit (“-“ for loss) -5,896,584.48 6,859,053.12
Plus: non-operational income 261,144.66 3,618,258.71
Less: non-operational expenditure 6,232.62 152,271.82
3. Gross profit (“-“ for loss) -5,641,672.44 10,325,040.01
Less: Income tax expenses 1,531,510.40 -8,734,034.85
4. Net profit (“-“ for net loss) -7,173,182.84 19,059,074.86
(1) Net profit from continuous
-7,173,182.84 19,059,074.86
operation ("-" for net loss)
(2) Net profit from discontinuous
operation ("-" for net loss)
5. After-tax net amount of other misc.
8,664,721.83
incomes
(1) Other misc. incomes that
cannot be re-classified into gain and
loss
27
2018 Third Quarter Report of China Fangda Group Co., Ltd.
1. Re-measure the change
in the defined benefit plan
2. Other comprehensive
income that cannot be transferred to
profit or loss under the equity method
(2) Other misc. incomes that will
8,664,721.83
be re-classified into gain and loss
1. Other comprehensive
income that can be transferred to profit
or loss under the equity method
2．Change in the fair value
of financial asset for sale
3 Held-to-mature
investment reclassified as gain and loss
in the financial assets for sales
4. Effective part in the gain
and loss of arbitrage of cash flow
5. Translation difference of
foreign exchange statement
6. Others 8,664,721.83
6. Total of misc. incomes -7,173,182.84 27,723,796.69
7. Earnings per share:
(1) Basic earnings per share
(2) Diluted earnings per share
7. Consolidated Cash Flow Statement Between the Beginning of the Year and End of the Report Period
In RMB
Item Amount occurred in the current period Occurred in previous period
1. Net cash flow from business
operations:
Cash received from sales of
2,207,987,021.72 2,554,904,276.07
products and providing 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
28
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Cash received against original
insurance contract
Net cash received from reinsurance
business
Net increase of client deposit and
investment
Increase in proposal of financial
assets measured at fair value with
variations accounted into current
income account
Cash received as interest,
processing fee, and commission
Net increase of inter-bank fund
received
Net increase of repurchasing
business
Tax refunded 4,988,463.29 1,805,886.66
Other cash received from business
292,273,568.66 213,901,169.92
operation
Sub-total of cash inflow from business
2,505,249,053.67 2,770,611,332.65
operations
Cash paid for purchasing products
1,429,144,992.91 1,558,159,130.54
and services
Net increase of client trade and
advance
Net increase of savings in 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 and for the staff 210,878,995.88 191,709,076.81
Taxes paid 272,518,173.65 358,300,385.82
Other cash paid for business
480,094,332.49 268,199,654.52
activities
Sub-total of cash outflow from business
2,392,636,494.93 2,376,368,247.69
operations
29
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Cash flow generated by business
112,612,558.74 394,243,084.96
operations, net
2. Cash flow generated by investment:
Cash received from investment
6,215,580,000.00 8,092,089,184.54
recovery
Cash received as investment profit 64,596,027.07 13,773,697.27
Net cash retrieved from disposal of
fixed assets, intangible assets, and other 16,523,904.33 3,540,531.00
long-term assets
Net cash received from disposal of
subsidiaries or other operational units
Other investment-related cash
received
Sub-total of cash inflow generated from
6,296,699,931.40 8,109,403,412.81
investment
Cash paid for construction of fixed
assets, intangible assets and other 49,609,863.23 33,608,087.17
long-term assets
Cash paid as investment 6,155,986,395.83 8,146,400,000.00
Net increase of loan against pledge
Net cash paid for acquiring
subsidiaries and other operational units
Other cash paid for investment
Subtotal of cash outflows 6,205,596,259.06 8,180,008,087.17
Cash flow generated by investment
91,103,672.34 -70,604,674.36
activities, net
3. Cash flow generated by financing
activities:
Cash received from investment
Incl. Cash received from
investment attracted by subsidiaries
from minority shareholders
Cash received from borrowed
708,000,000.00 962,503,029.59
loans
Cash received from bond placing
Other cash received from financing
activities
Subtotal of cash inflow from financing 708,000,000.00 962,503,029.59
30
2018 Third Quarter Report of China Fangda Group Co., Ltd.
activities
Cash paid to repay debts 780,577,298.43 391,000,000.00
Cash paid as dividend, profit, or
258,660,130.40 337,538,336.38
interests
Incl. Dividend and profit paid by
subsidiaries to minority shareholders
Other cash paid for financing
99,804,777.52
activities
Subtotal of cash outflow from financing
1,139,042,206.35 728,538,336.38
activities
Net cash flow generated by financing
-431,042,206.35 233,964,693.21
activities
4. Influence of exchange rate changes
3,084,851.98 -1,950,710.61
on cash and cash equivalents
5. Net increase in cash and cash
-224,241,123.29 555,652,393.20
equivalents
Plus: Balance of cash and cash
931,285,535.55 935,824,575.40
equivalents at the beginning of term
6. Balance of cash and cash equivalents
707,044,412.26 1,491,476,968.60
at the end of the period
8. Cash Flow Statement of the Parent Between the Beginning of the Year and End of the Report Period
In RMB
Item Amount occurred in the current period Occurred in previous period
1. Net cash flow from business
operations:
Cash received from sales of
153,999,350.74 19,187,607.97
products and providing of services
Tax refunded
Other cash received from business
1,409,325,820.93 1,056,523,500.53
operation
Sub-total of cash inflow from business
1,563,325,171.67 1,075,711,108.50
operations
Cash paid for purchasing products
1,250,558.30 28,685,143.30
and services
Cash paid to and for the staff 10,320,094.96 12,913,713.04
Taxes paid 19,134,230.81 2,790,810.71
Other cash paid for business
1,684,835,834.03 940,326,714.58
activities
31
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Sub-total of cash outflow from business
1,715,540,718.10 984,716,381.63
operations
Cash flow generated by business
-152,215,546.43 90,994,726.87
operations, net
2. Cash flow generated by investment:
Cash received from investment
2,273,880,000.00 2,206,344,592.27
recovery
Cash received as investment profit 20,659,911.06 438,481,932.96
Net cash retrieved from disposal of
fixed assets, intangible assets, and other 5,000.00
long-term assets
Net cash received from disposal of
10,000,000.00 10,000,000.00
subsidiaries or other operational units
Other investment-related cash
received
Sub-total of cash inflow generated from
2,304,544,911.06 2,654,826,525.23
investment
Cash paid for construction of fixed
assets, intangible assets and other 576,678.00 1,573,560.35
long-term assets
Cash paid as investment 2,321,870,000.00 2,222,010,000.00
Net cash paid for acquiring
subsidiaries and other operational units
Other cash paid for investment
Subtotal of cash outflows 2,322,446,678.00 2,223,583,560.35
Cash flow generated by investment
-17,901,766.94 431,242,964.88
activities, net
3. Cash flow generated by financing
activities:
Cash received from investment
Cash received from borrowed
700,000,000.00 250,000,000.00
loans
Cash received from bond placing
Other cash received from financing
activities
Subtotal of cash inflow from financing
700,000,000.00 250,000,000.00
activities
Cash paid to repay debts 250,000,000.00 100,000,000.00
32
2018 Third Quarter Report of China Fangda Group Co., Ltd.
Cash paid as dividend, profit, or
199,919,295.82 280,390,322.29
interests
Other cash paid for financing
99,804,777.52
activities
Subtotal of cash outflow from financing
549,724,073.34 380,390,322.29
activities
Net cash flow generated by financing
150,275,926.66 -130,390,322.29
activities
4. Influence of exchange rate changes
-169,472.11 -22,970.66
on cash and cash equivalents
5. Net increase in cash and cash
-20,010,858.82 391,824,398.80
equivalents
Plus: Balance of cash and cash
310,049,329.68 74,159,732.87
equivalents at the beginning of term
6. Balance of cash and cash equivalents
290,038,470.86 465,984,131.67
at the end of the period
2. Auditor‘s report
Whether the Q3 report is audited
□ Yes √ No
The Q3 Report is not audited.
China Fangda Group Co., Ltd.
Legal representative: Xiong Jianming
18.10.18
33
