Guangdong Provincial Expressway Development Co.，Ltd.
The First Quarterly Report 2012(Full text)
§I Important Statement
1.1 The Board of Directors , Supervisory Committee ,Directors , Supervisors, Senior Executives
of the Company guarantee that there are no significant omissions, fictitious or misleading
statements carried in the Report and we will accept individual and joint responsibilities for the
truthfulness, accuracy and completeness of the Report.
1.1 1.2 The First quarterly financial report of the Company is not audited .
1.3 Chairman of board of directors Mr.Zhou Yuming, General Manager of the Company Mr. Li Xiyuan and Chief
Accountant of the Company Mr.Xiao Laijiu State: we guarantee the authenticity and completeness of the
Financial Report in this quarterly report.
§2 Basic Information
2.1 Main accounting Highlights and financial indexes
Unit: RMB
At the period-end of last
At the period-end of this Increase /decrease（％）
year
Total assets（RMB） 12,472,713,217.76 11,802,427,175.92 5.68%
Owner’s equity attributable to the shareholders of
4,167,585,213.87 4,115,126,105.45 1.27%
the listed company （RMB）
Stock capital（Shares） 1,257,117,748.00 1,257,117,748.00 0.00%
Net assets per share attributable to the
shareholders of the listed company 3.32 3.27 1.53%
（RMB/shares）
Amount of the same period
Amount of current period Increase /decrease（％）
in last year
Total turnover(RMB) 268,377,836.84 248,954,619.04 7.80%
Net profit attributable to owners of parent
59,659,108.43 66,164,194.62 -9.83%
company(RMB)
Net cash flow arising from operating
163,716,399.47 148,498,597.12 10.25%
activities(RMB)
Net cash flow per share arising from
0.13 0.12 8.33%
operating activities(RMB/share)
Basic earnings per share(RMB/share) 0.05 0.05 0.00%
Diluted earnings per share(RMB/share) 0.05 0.05 0.00%
1
Weighted average return on equity（%） 1.44% 1.53% -0.09%
Weighted average return on equity after
1.43% 1.94% -0.51%
deducting non-recurring gains and losses（%）
Items of non-current gains and losses
√ applicable □ not applicable
Unit：RMB
Amount (Year-beginning to the
Non-recurring gain and loss items Notes（If applicable）
end of the report period.)
Other non-operating income and expense other than above-mentioned 388,150.75
Amount of influence of income tax -97,037.68
Total 291,113.07 -
2.2 Top 10 shareholders and top 10 holders of unconditional shares
Unit：Shares
Total number of shareholders at the end of report
97,571
period
Particulars about the shares held by the top ten tradable shareholders with unrestricted conditions
Amount of tradable shares with
Full name of shareholder unrestricted conditions held at the end of Type of shares
report period
Guangdong Communication Group Co., Ltd. 103,379,742 RMB
Foreign shares placed in domestic
Xinyue Co., Ltd. 13,201,086
exchange
Guangdong Yuecai Trust Investment Co., Ltd. 12,174,345 RMB common shares
China Merchants Securities. Customer Credit
11,364,490 RMB common shares
Guarantee securities account
Shanxi Huiteng International Freight Forwarding
3,696,200 RMB common shares
Co., Ltd.
Foreign shares placed in domestic
STICHTING PGGM DEPOSITARY 3,599,861
exchange
Haerbin Daoli District, Treasury Services Dept. 2,981,482 RMB common shares
Foreign shares placed in domestic
Lu Weiqiang 2,888,848
exchange
Foreign shares placed in domestic
Chen Shukai 2,803,000
exchange
Foreign shares placed in domestic
Lin Mingtan 2,575,508
exchange
§3 Significant Events
3.1 Particular about large-margin change of main accounting statement item and financial index and its reason.
√ Applicable □ Not applicable
（I）Items of balance sheet as compared with the beginning of this year.
1.Monetary capital
The ending balance of monetary capital increased mainly due to net cash inflow from financing activities.
2. Accounts receivable increased by RMB 25.19 million and 142.12% over the beginning of the year mainly due to increase of toll
2
income receivable from United Electronic Toll Center by Guangfo Expressway Co., Ltd. and Guangdong Fokai Expressway Co., Ltd.
3. Prepayments increased by RMB 116 million and 79.73% over the beginning of the year mainly due to increased by RMB 117
million of prepayment for materials and works for expansion project of Guangdong Fokai Expressway Co., Ltd.
4. Dividends receivable decreased by RMB 68 million and 75.01% over the beginning of the year due to recovery of partial dividends
for previous years by the parent company.
5. The wages and benefits payable to staff and workers increased by 0.84 million and 42.18% over the beginning of the year mainly
due to increase of ending balance.
6. Taxes and levies payable increased by RMB 13.54 million and 103.61% over the beginning of the year mainly due to increase of
balance of income tax payable.
7. Interest payable increased by RMB 27 million and 72.66% over the beginning of the year mainly due to provision for corporate bond
interest of RMB 10.20 million and medium term note interest of RMB 16.95 million in the current season.
(II) Items of profit statement as compared with the same period of the previous year
Financial expenses increased by RMB 32.91 million and 70.37% year on year mainly due to (1) increase of loan principal; (2) The
interest rate of partial original loans rose from the beginning of the report year and the new interest rate that came into effect on July 7,
2011 applied.
2. Non-operating expenses decreased by RMB 32.07 million and 99.99% year on year mainly for the following reason: Guangdong
Fokai Expressway Co., Ltd. suffered loss of RMB 31.84 million from disposal of fixed assets as a result of dismantling an
intercommunication fly-over bridge along the line for the purpose of expansion in the same period of previous year while there was no
such loss in current period.
3.Income tax expenses increased by RMB 6.58 million and 71.57% year on year mainly due to year-on-year increase of total profit
made by Guangdong Fokai Expressway Co., Ltd. for current period.
(III) Notes of main items of cash flow statement
1. Other cash received from business operation
This item mainly calculates the toll income received and paid through liquidation accounts of Guangfo Expressway Co., Ltd. and
Guangdong Fokai Expressway Co., Ltd., and other cash receipt including project quality security (bid security / performance bond),
income from fines, rental income from real estates for investment and other income from governmental subsidy except tax refund.
The transaction amount of this item decreased by RMB 186 million year on year mainly due to change of accounting method. Reason:
Guangfo Expressway Co., Ltd. and Guangdong Fokai Expressway Co., Ltd. are in networking toll collection area in west Guangdong.
Except the toll income from the main section, the toll income received through toll liquidation account includes the toll income of other
sections in the collection area. 2Before the second quarter of 2011, it will be accounted for under this item at the time of receipt, which
is shown as cash inflow. After receipt of account splitting instruction from the United Electronic Toll Collection Center, the income
from other sections shall be transferred out, which is accounted for under the time "other cash payment related to operating activities"
and shown as cash outflow. From the second quarter of 2011, the net balance of all to-be-split toll income received through liquidation
account minus the income transferred to other sections is shown under this item.
2. Cash paid for goods and services is mainly the payment for special works, maintenance costs and networking paid service fees. The
year-on-year decrease by RMB 12.34 million is mainly due to year-on-year decrease of payment for project made by Guangdong Fokai
Expressway Co., Ltd. in current period by RMB 18.48 million.
3. The item of "the cash paid to and for staff and workers" mainly calculates the wages, bonuses, miscellaneous allowances and
subsidies actually paid to staff and workers in current period. The year-on-year increase by RMB 12.11 million is mainly due to the
change of expenditure from labor cost.
4. The item of "other cash payment related to operating activities" mainly calculates the project quality security (bid
security/performance bond) paid by the Company, expenses from engaging intermediaries, office expenditure, etc. The amount for
current period decreased by RMB 198 million year on year mainly due to the above point 1.
5. The item of "cash received from returns on investment" mainly calculates the cash dividends received by the Company for equity
investment. In current period, the Company received the remaining unpaid dividends of RMB 38 million for 2010 distributed by
Jingzhu Expressway Guangzhu Section Co., Ltd. and cash dividends of RMB 30 million for the third quarter of 2011 distributed by
Guangdong Guanghui Expressway Co., Ltd. The year-on-year decrease by RMB 48.90 million is due to the decrease of dividends
received from subsidiaries in current period.
In current period, Guangdong Fokai Expressway Co., Ltd. paid RMB 180 million for expansion project of Xiebian-Sanbao Section
according to its progress. Guangfo Expressway Co., Ltd. paid about RMB 27 million for Yayao-Xiebian expansion project and other
works. The year-on-year increase by RMB 42.78 million is due to the increase of investment in the above-mentioned projects in current
period.
6. Cash paid for construction of fixed assets, intangible assets and other long-term assets
In current period, Guangdong Fokai Expressway Co., Ltd. paid RMB 180 million for expansion project of Xiebian-Sanbao Section
according to its progress. Guangfo Expressway Co., Ltd. paid about RMB 27 million for Yayao-Xiebian expansion project and other
works. The year-on-year increase by RMB 42.78 million is due to the increase of investment in the above-mentioned projects in current
period.
7. Cash paid as investment
In current period, the Company did not pay cash for external investment, In the same period of previous year, the parent company
contributed capital of RMB 70 million to Guangdong Guangle Expressway Co., Ltd. Therefore, the amount of this item decreased by
3
RMB 70 million year on year.
8. Cash received as investment
In current period, Guangdong Fokai Expressway Co., Ltd. received capital payment of RMB 67.94 million from minority shareholders,
which increased by RMB 37.94 million year on year due to increase of capital payment by minority shareholders.
9. Cash received from obtaining loans
It mainly includes: (1) In the current period, the parent company renewed the borrowing of entrusted loan with principal of RMB 105
million from Guangdong Guanghui Expressway Co., Ltd. and obtained short-term loans of RMB 161 million from banks. (2) Guangfo
Expressway Co., Ltd. borrowed RMB 240 million from banks in current period. (3) Guangdong Fokai Expressway Co., Ltd. borrowed
RMB 433 million from banks in current period. The year-on-year increase by RMB 603 million is due to increase of principal of bank
loans borrowed by the parent company and controlled subsidiaries in current period.
10. Cash paid for debt repayment
It mainly includes: (1) In current period, the parent company repaid entrusted loan principal of RMB 105 million to Guangdong
Guanghui Expressway Co., Ltd. and bank loans of RMB 111 million. (2) Guangdong Fokai Expressway Co., Ltd. repaid bank loans of
RMB 218 million in current period. The amount of principal repayment increased by RMB 220 million year on year due to increase of
principal of due loans.
11. Cash paid for distribution of dividends or profits or interest reimbursement
It mainly includes payment of RMB 77.77 million by the parent company, Guangdong Fokai Expressway Co., Ltd. and Guangfo
Expressway Co., Ltd. including bank loan interests. The year-on-year increase by RMB 24.68 million is mainly due to increase of loan
principal and rise in interest rate.
3.2 The progress of significant events and influence, as well as the analysis and explanation on resolving proposal
reason.
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
3.3 The fulfillment of the commitment made by the Company , shareholders and the actual controller
Commitments made by the listed company and its directors, supervisors, senior executives, the shareholders with
holding above 5% shares and its actual controller in the report period, or lasting until the report period.
□applicable √ not applicable
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 applicable
4
3.5 Other significant events need to be explained
3.5.1 Securities investment
□applicable √ not applicable
3.5.2 Reception of investigations, communications ,or interviews company held in the report period.
In the report period, the company did not accept investigations, communications ,or interviews .
3.6 Derivative Investment
□applicable √ not applicable
3.6.1 Particulars about derivatives investment held at the end of report period
□applicable √ not applicable
§4 Appendix
4.1 Balance sheet
Prepared by：Guangdong Provincial Expressway Development Co.，Ltd. March 31,2012 Unit：RMB
Year-end balance
Year-beginning balance
Items
Consolidated Parent company Consolidated Parent company
Current asset：
Monetary fund 1,524,662,038.69 640,117,619.83 1,018,999,531.05 701,899,352.28
Settlement provision
Outgoing call loan
Trading financial assets
Bill receivable
Account receivable 42,918,016.07 17,726,118.11
Prepayments 260,584,983.03 144,982,896.65
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance
contracts receivable
Interest receivable 335,866.66 316,891.66
Dividend receivable 22,658,881.05 95,942,637.72 90,658,881.05 139,574,457.39
Other account receivable 35,884,049.92 76,895,561.35 37,983,304.82 3,657,454.90
Repurchasing of
financial assets
Inventories
Non-current asset due in 1
year
Other current asset 170,000,000.00 160,000,000.00
5
Total of current assets 1,886,707,968.76 983,291,685.56 1,310,350,731.68 1,005,448,156.23
Non-current assets：
Loans and payment on
other’s behalf disbursed
Disposable financial asset 684,000,000.00 684,000,000.00 691,200,000.00 691,200,000.00
Expired investment in
possess
Long-term receivable
Long term share equity
2,999,324,583.08 4,994,083,152.60 2,918,288,171.88 4,763,046,741.40
investment
Property investment 5,424,984.73 5,172,846.48 5,541,038.08 5,288,899.83
Fixed assets 3,975,311,693.64 5,981,940.81 4,063,417,803.17 5,837,841.17
Construction in progress 2,870,548,911.84 2,760,092,723.87
Engineering material
Fixed asset disposal 65,598.13
Production physical assets
Gas & petrol
Intangible assets 50,974,064.89 53,166,163.90
R & D petrol
Goodwill
Long-germ expenses to be
355,412.69 335,238.40 370,543.34 335,238.40
amortized
Differed income tax asset
Other non-current asset
Total of non-current assets 10,586,005,249.00 5,689,573,178.29 10,492,076,444.24 5,465,708,720.80
Total of assets 12,472,713,217.76 6,672,864,863.85 11,802,427,175.92 6,471,156,877.03
Current liabilities
Short-term loans 1,051,470,000.00 531,470,000.00 891,470,000.00 481,470,000.00
Loan from Central Bank
Deposit received and hold
for others
Call loan received
Trade off financial liabilities
Bill payable
Account payable 120,834,219.00 135,228,709.74
Advance payment 5,263,678.04 5,392,391.20
Selling of repurchased
financial assets
Fees and commissions
receivable
Employees’ wage payable 2,846,779.97 251,195.36 2,002,220.57 88,015.62
Tax payable 26,612,190.34 -269,128.26 13,070,029.12 1,912,304.18
Interest payable 64,164,542.00 55,448,895.11 37,161,794.55 29,720,154.33
Dividend payable 37,262,731.65 12,834,812.75 29,154,211.10 12,849,018.98
6
Other account payable 327,623,803.20 107,329,254.86 319,750,258.89 109,125,634.87
Reinsurance fee payable
Insurance contract provision
Entrusted trading of
securities
Entrusted selling of
securities
Non-current liability due in
460,345,000.00 384,200,000.00
1 year
Other current liability 152,888,846.74 65,542,566.45
Total of current liability 2,096,422,944.20 859,953,876.56 1,817,429,615.17 700,707,694.43
Non-current liabilities：
Long-term loan 3,578,119,803.54 3,309,764,803.54
Bond payable 1,791,378,507.39 1,791,378,507.39 1,790,792,109.05 1,790,792,109.05
Long-term payable 2,022,210.11 2,022,210.11 2,022,210.11 2,022,210.11
Special payable
Expected liabilities
Differed income tax
124,347,660.70 126,663,710.47
liability
Other non-current liabilities
Total of non-current
5,495,868,181.74 1,793,400,717.50 5,229,242,833.17 1,792,814,319.16
liabilities
Total of liability 7,592,291,125.94 2,653,354,594.06 7,046,672,448.34 2,493,522,013.59
Owners’ equity
Share capital 1,257,117,748.00 1,257,117,748.00 1,257,117,748.00 1,257,117,748.00
Capital reserves 1,690,758,715.57 1,690,906,856.32 1,697,958,715.57 1,698,106,856.32
Less：Shares in stock
Special Reserve
Surplus reserves 191,496,386.02 191,496,386.02 191,496,386.02 191,496,386.02
Common risk provision
Undistributed profit 1,028,212,364.28 879,989,279.45 968,553,255.86 830,913,873.10
Different of foreign currency
translation
Total of owner’s equity belong to
4,167,585,213.87 4,019,510,269.79 4,115,126,105.45 3,977,634,863.44
the parent company
Minor shareholders’ equity 712,836,877.95 640,628,622.13
Total of owners’ equity 4,880,422,091.82 4,019,510,269.79 4,755,754,727.58 3,977,634,863.44
Total of liabilities and owners’
12,472,713,217.76 6,672,864,863.85 11,802,427,175.92 6,471,156,877.03
equity
4.2 Profit statement
Prepared by：Guangdong Provincial Expressway Development Co.，Ltd. January-March 2012 Unit：RMB
Report period Same period of the previous year
Items
Consolidated Parent company Consolidated Parent company
7
I.Total operating income 268,377,836.84 2,643,608.33 248,954,619.04 879,378.75
Including：Operating income 268,377,836.84 2,643,608.33 248,954,619.04 879,378.75
Interest income
Insurance gained
Commission charge and
commission income
II.Total operating cost 262,109,520.50 58,972,793.51 205,189,011.16 29,871,484.46
Including：Operating cost 134,547,987.47 116,053.35 118,063,576.08 116,053.35
Interest expense
Commission chare 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 9,810,430.31 150,391.22 8,787,976.79 44,760.38
Sales expenses
Administration expenses 38,075,321.73 19,881,476.80 31,571,144.29 16,670,075.95
Financial expenses 79,675,780.99 38,824,872.14 46,766,314.00 13,040,594.78
Losses of devaluation of assets
Add ：Changing income of fair
value
Investment income 81,036,411.20 105,404,591.53 71,630,647.29 71,630,647.29
Including：Investment income on
affiliate company and joint 81,036,411.20 81,036,411.20 71,630,647.29 71,630,647.29
venture
Exchange income
III. Operating profit 87,304,727.54 49,075,406.35 115,396,255.17 42,638,541.58
Add ：Non-operating income 519,966.33 540,108.50
Less：Non-operating expense 2,432.00 32,071,314.21
Including :Disposal loss of
31,844,018.89
non-current assets
IV. Total profit 87,822,261.87 49,075,406.35 83,865,049.46 42,638,541.58
Less：Income tax 15,767,170.85 9,189,841.59
V. Net profit 72,055,091.02 49,075,406.35 74,675,207.87 42,638,541.58
Net profit attributable to owner’s
59,659,108.43 49,075,406.35 66,164,194.62 42,638,541.58
equity of parent company
Minority shareholders’ gains
12,395,982.59 8,511,013.25
and losses
VI. Earnings per share
（i）Basic earnings per share 0.05 0.04 0.05 0.03
（ii）Diluted earnings per share 0.05 0.04 0.05 0.03
VII. Other comprehensive income -7,200,000.00 -7,200,000.00 -31,200,000.00 -31,200,000.00
VIII. Total comprehensive income 64,855,091.02 41,875,406.35 43,475,207.87 11,438,541.58
Total comprehensive income 52,459,108.43 41,875,406.35 34,964,194.62 11,438,541.58
8
attributable to the owner of the
parent company
Total comprehensive income
12,395,982.59 8,511,013.25
attributable minority shareholders
For the enterprises under the same control consolidated in the report period, the net profit realized by the consolidate before the
consolidation is RMB 0.00.
4.3 Cash flow statement
Prepared by：Guangdong Provincial Expressway Development Co.，Ltd. January-March 2012 Unit：RMB
Report period Same period of the previous year
Items
Consolidated Parent company Consolidated Parent company
I.Cash flows from operating
activities
Cash received from sales of goods
241,545,905.78 237,195,811.55
or rending of services
Net increase of customer
deposits and capital kept for
brother company
Net increase of loans
from central bank
Net increase of
inter-bank loans from other
financial bodies
Cash received against
original insurance contract
Net cash received from
reinsurance business
Net increase of client
deposit and investment
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
Other cash received from
19,725,884.39 88,872,435.18 205,574,585.28 155,448,905.01
business operation
Sub-total of cash inflow 261,271,790.17 88,872,435.18 442,770,396.83 155,448,905.01
Cash paid for purchasing of
23,979,687.23 36,320,260.23
merchandise and services
Net increase of client trade
and advance
Net increase of savings n
central bank and brother
company
9
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
50,633,847.85 18,409,487.58 38,522,118.69 11,202,518.27
for staffs
Taxes paid 12,504,484.47 144,993.02 10,765,823.43 6,564.21
Other cash paid for
10,437,371.15 76,157,816.07 208,663,597.36 179,150,225.57
business activities
Sub-total of cash outflow
97,555,390.70 94,712,296.67 294,271,799.71 190,359,308.05
from business activities
Cash flow generated by
163,716,399.47 -5,839,861.49 148,498,597.12 -34,910,403.04
business operation, net
II.Cash flow generated by
investing
Cash received from
investment retrieving
Cash received as investment
68,000,000.00 68,000,000.00 116,896,689.22 116,896,689.22
gains
Net cash retrieved from
disposal of fixed assets,
intangible assets, and other
long-term assets
Net cash received from
disposal of subsidiaries or
other operational units
Other investment-related
2,623,283.33 698,622.50
cash received
Sub-total of cash inflow due
68,000,000.00 70,623,283.33 116,896,689.22 117,595,311.72
to investment activities
Cash paid for construction of
fixed assets, intangible assets 215,249,849.41 370,950.00 172,470,994.79 447,836.00
and other long-term assets
Cash paid as investment 150,000,000.00 70,000,000.00 160,000,000.00
Net increase of loan against
pledge
Net cash received from
subsidiaries and other
operational units
Other cash paid for
10,000,000.00 115,000,000.00
investment activities
Sub-total of cash outflow
215,249,849.41 160,370,950.00 242,470,994.79 275,447,836.00
due to investment activities
Net cash flow generated by
-147,249,849.41 -89,747,666.67 -125,574,305.57 -157,852,524.28
investment
III.Cash flow generated by
10
financing
Cash received as
67,935,000.00 30,000,000.00
investment
Incl: Cash received as
investment from minor
shareholders
Cash received as loans 938,690,000.00 265,990,000.00 336,000,000.00 286,000,000.00
Cash received from
bond placing
Other financing –related
ash received
Sub-total of cash inflow
1,006,625,000.00 265,990,000.00 366,000,000.00 286,000,000.00
from financing activities
Cash to repay debts 434,190,000.00 215,990,000.00 214,643,020.55 2,643,020.55
Cash paid as dividend,
77,769,008.56 10,724,170.42 53,089,829.49
profit, or interests
Incl: Dividend and
profit paid by subsidiaries to
minor shareholders
Other cash paid for financing
5,470,000.00 5,470,000.00
activities
Sub-total of cash outflow
517,429,008.56 232,184,170.42 267,732,850.04 2,643,020.55
due to financing activities
Net cash flow generated by
489,195,991.44 33,805,829.58 98,267,149.96 283,356,979.45
financing
IV. Influence of exchange
rate alternation on cash and -33.87 -33.87 -4,197.99 -4,197.99
cash equivalents
V.Net increase of cash and
505,662,507.63 -61,781,732.45 121,187,243.52 90,589,854.14
cash equivalents
Add: balance of cash and
cash equivalents at the 1,018,999,531.05 701,899,352.28 258,881,333.75 179,597,767.35
beginning of term
VI ..Balance of cash and cash
1,524,662,038.68 640,117,619.83 380,068,577.27 270,187,621.49
equivalents at the end of term
4.4 Auditor’ report
Auditor’s opinions: Not audited
11
