Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Hefei Meiling Co., Ltd.
The First Quarterly Report of 2016
April 2016
1
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Section I. Important Notes
Board of Directors and the Supervisory Committee of Hefei Meiling Co., Ltd. (hereinafter referred to as the
Company) and its directors, supervisors and senior executives should guarantee the reality, accuracy and
completion of the quarterly report, there are no any fictitious statements, misleading statements or important
omissions carried in this report, and shall take legal responsibilities, individual and/or joint.
Mr. Liu Tibin, person in charge of the Company, Mr. Zhang Xiaolong, person in charger of accounting works and
Mr. Luo Bo, person in charger of accounting organ (accounting officer) hereby confirm that the Financial Report
of this Quarterly Report is authentic, accurate and complete.
Prompt of non-standard audit opinion
□ Applicable √ Not applicable
The First Quarterly Report of 2016 has not been audited.
All Directors are attended the Board Meeting for Quarterly Report deliberation.
2
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Section II. Main financial data and changes of shareholders
I. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed
and accounting error correction or not
√Yes □ No
Changes of this
Same period of last year period over same
This Period period of last year
Before
After adjustment After adjustment
adjustment
Operating income (RMB) 2,926,400,488.89 2,690,420,998.10 2,752,501,149.32 6.32%
Net profit attributable to shareholders of
the listed company(RMB) 53,709,680.24 54,960,953.89 53,995,097.74 -0.53%
Net profit attributable to shareholders of
the listed company after deducting 41,338,292.32 54,838,638.93 54,838,638.93 -24.62%
non-recurring gains and losses(RMB)
Net cash flow arising from operating
activities(RMB) 139,597,747.12 -126,760,952.62 -117,793,266.60 218.51%
Basic earnings per share (RMB/Share) 0.0703 0.0720 0.0707 -0.53%
Diluted earnings per share (RMB/Share) 0.0703 0.0720 0.0707 -0.53%
Weighted average ROE 1.53% 1.59% 1.53% --
Changes of this
period-end over
End of last period
same period-end of
End of this period
last year
Before
After adjustment After adjustment
adjustment
Total assets (RMB) 9,896,368,387.89 9,066,223,601.14 9,237,288,359.74 7.13%
Net assets attributable to shareholder of
listed company (RMB) 3,428,845,753.98 3,384,574,993.19 3,475,377,586.34 -1.34%
Note: the Company successfully acquired 98.856% equity interests of Guangdong Changhong Ridian Science &
Technology Company Limited (“Changhong Ridian”) in relevant bidding at the end of 2015, and completed
business and commercial registration procedures in respect of this acquisition in early February 2016. Upon
completion of the registration, the Company will hold 98.856% equity interests of Changhong Ridian. According
to relevant provisions under No.33 of the Enterprise Accounting Standards-consolidated financial statement, with
respect to subsidiaries and businesses acquired by the parent company due to business combination under the
3
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
same control during the reporting period, adjustments shall be made to the beginning figures in the consolidated
statement, and relevant items in comparative statements shall be also adjusted, as if the consolidated reporting
entity had been existing since the time when the ultimate controller begins to exercise control. Accordingly,
beginning figures for the period and figures of the corresponding period of last year are restated.
Total share capital of the Company up to a trading day before disclosure:
Total share capital of the Company up to a
763,739,205
trading day before disclosure (Share)
Fully diluted earnings per share calculated with
0.0703
the latest share capital (RMB/Share)
Items of non-recurring gains and losses
√ Applicable □ Not applicable
In RMB
Balance from year-begin to
Item Note
period-end
Gains/losses from the disposal of non-current asset (including the Found in “Non-operating income
-186,783.63
write-off that accrued for impairment of assets) and expenditure”
Governmental subsidy reckoned into current gains/losses (not
including the subsidy enjoyed in quota or ration according to Found in “Non-operating income
8,327,386.64
national standards, which are closely relevant to enterprise’s and expenditure”
business)
Held transaction financial asset, gains/losses of changes of fair
values from transaction financial liabilities, and investment gains
from disposal of transaction financial asset, transaction financial
4,986,301.37 Found in “Investment income”
liabilities and financial asset available for sales, exclude the
effective hedging business relevant with normal operations of the
Company
Other non-operating income and expenditure except for the Found in “Non-operating income
845,109.54
aforementioned items and expenditure”
Less : impact on income tax 1,643,975.59 --
Impact on minority shareholders’ equity (post-tax) -43,349.59 --
Total 12,371,387.92 --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure
for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss, and the items defined as
recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on
Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss,
explain reasons
√ Applicable □Not applicable
Item Involved amount (RMB) Reason
4
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
During the reporting period, the wholly owned subsidiary - Mianyang
Meiling Software Technology Co., Ltd. has received VAT refunds of
software products according to "Notice about VAT policy of software
products by Ministry of Finance & State Administration of Taxation"
CS No. [2011] 100 document, and adequately disclosed the company's
business situation, in accordance with relevant provisions in the third
Non-operation income 550,355.96 article of the second item of CSRC "No. 1 explanatory announcement
about information disclosure of the company publicly issues securities
- non-recurring profit and loss (2008)", the public subsidies which are
closely related to the company's business, conform to the national
policies and regulations and continue to be enjoyed according to a
certain standard rating or quantity should be included in the company's
recurring gains and losses.
II. Total number of shareholders at the end of this report period and top ten shareholders
1. Number of common shareholders and preference shareholders with voting rights recovered and top ten common shareholders
In shares
Total preference shareholders
Total number of common with voting rights recovered at
shareholders at the end of report 72,326 N/A
period end of reporting period (if
applicable)
Top ten shareholders
Number of share
Amount of
Amount of shares pledged/frozen
Nature of Proportion of
Shareholder’s name restricted shares
shareholder shares held held State of
held Amount
share
Sichuan Changhong Electric State-owned
21.58% 164,828,330 0 —— ——
Co., Ltd. legal person
Hefei Industrial Investment State-owned
6.26% 47,823,401 0 —— ——
Holding (Group) Co., Ltd. legal person
Changhong (Hong Kong) Trade Foreign legal
3.30% 25,165,823 0 —— ——
Co., Ltd. person
Foreign natural
CAO SHENGCHUN 1.75% 13,360,415 0 —— ——
person
Domestic
China Securities Finance
general legal 0.58% 4,399,500 0 —— ——
Corporation Limited
person
Foreign legal
NORGES BANK 0.55% 4,216,432 0 —— ——
person
DEUTSCHE BANK Foreign legal
0.48% 3,699,287 0 —— ——
AKTIENGESELLSCHAFT person
5
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
CMB - China Classic Domestic
Configuration Hybrid Securities non-state-owned 0.46% 3,505,304 0 —— ——
Investment Fund legal person
ICBC- South Longyuan Domestic
Industry Theme Stock non-state-owned 0.46% 3,488,500 0 —— ——
Securities Investment Fund legal person
Foreign natural
Long Qinfang 0.42% 3,239,297 0 —— ——
person
Top ten shareholders with unrestricted shares held
Type of shares
Shareholder’s name Amount of unrestricted shares held
Type Amount
RMB ordinary
Sichuan Changhong Electric Co., Ltd. 164,828,330 164,828,330
shares
Hefei Industrial Investment Holding RMB ordinary
47,823,401 47,823,401
(Group) Co., Ltd. shares
Domestically listed
Changhong (Hong Kong) Trade Co., Ltd. 25,165,823 25,165,823
foreign shares
Domestically listed
CAO SHENGCHUN 13,360,415 13,360,415
foreign shares
China Securities Finance Corporation RMB ordinary
4,399,500 4,399,500
Limited shares
Domestically listed
NORGES BANK 4,216,432 4,216,432
foreign shares
DEUTSCHE BANK RMB ordinary
3,699,287 3,699,287
AKTIENGESELLSCHAFT shares
CMB - China Classic Configuration RMB ordinary
3,505,304 3,505,304
Hybrid Securities Investment Fund shares
ICBC- South Longyuan Industry Theme RMB ordinary
3,488,500 3,488,500
Stock Securities Investment Fund shares
Domestically listed
Long Qinfang 3,239,297 3,239,297
foreign shares
Among the above shareholders, Changhong (Hong Kong) Trade Co., Ltd. is the
wholly-owned subsidiary of Sichuan Changhong Electronic Co., Ltd.; there existed no
associated relationship or belong to the concerted actors as specified in the Measures for
Explanation on associated relationship the Administration of Information Disclosure of Shareholder Equity Changes of Listed
among the aforesaid shareholders Companies among Sichuan Changhong Electronic Co., Ltd., Changhong (Hong Kong)
Trade Co., Ltd. and other top 8 shareholders; as the Company has not known whether
there exists any business relationship among the other shareholders with unrestricted
subscription or they belong to the concerted actors as specified in the Measures for the
6
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Administration of Information Disclosure of Shareholder Equity Changes of Listed
Companies.
Explanation on top ten common
shareholders involving margin business Not applicable
(if applicable)
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a
buy-back agreement dealing in reporting period
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy-back agreement dealing in reporting period.
2. Total shareholders with preferred stock held and shares held by top ten shareholders with preferred
stock held
□ Applicable √ Not applicable
7
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Section III. Significant Events
I. Particulars about material changes in items of main accounting statement and financial
index and explanations of reasons
√ Applicable □Not applicable
1. Changes and reasons of items in balance sheet
In RMB
Balance at Balance at Changes
Item Reasons of changes
period-end year-begin ratio
Mainly due to recovery of
entrusted financing principals by
Monetary Fund 3,007,374,476.31 2,135,189,879.15 40.85%
the Company and increase of bank
borrowings.
Mainly due to receipt of export tax
Other receivable 26,686,197.96 39,494,835.30 -32.43%
refund by parent company.
Mainly due to recovery of
Other current entrusted financing principals by
18,395,389.20 539,101,578.44 -96.59%
assets parent company as the same
expired in the period.
Mainly due to increase of research
Development and development investment by the
70,080,324.34 53,344,827.72 31.37%
expenditure subsidiary Sichuan Air Conditioner
in the period.
Mainly due to increase of short
Short-term loans 339,440,767.02 58,680,093.19 478.46% term borrowings of the parent
company in the period.
Salary Mainly due to grant of salary and
employees 77,390,262.12 115,297,429.40 -32.88% year-end bonus as provided for in
payable previous year in the period.
Mainly due to expansion of sales of
Taxes payable 101,877,955.85 70,530,483.54 44.45%
the Company in the period.
Mainly due to materialization of
capital increase by minority
Minority equity 55,809,062.90 36,290,904.66 53.78%
shareholders to subsidiaries in the
period.
2. Changes and reasons of items in profit statement
In RMB
Amount at this Amount at same Changes
Item Reasons of changes
period period of last year ratio
8
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Mainly due to increase of sales of
Business taxes the Company and credit of VAT of
27,786,160.01 18,119,401.70 53.35%
and additional the subsidiary Sichuan Air
Conditioner in the period.
Mainly due to decrease of interest
Financial income of parent company and
-5,371,504.22 -19,080,895.94 -71.85%
expenses decrease of exchange gains of the
Company in the period.
Mainly due to provision of bad
Assets debts for trade receivables which
18,384,472.57 9,428,760.49 94.98%
impairment loss are increased due to growth of sales
of the Company in the period.
Mainly due to movement of fair
Changing income
value of forward exchange contract
of fair value
-- 81,770.00 -100.00% in the corresponding period of last
(Loss is listed
year, and there is no such
with “-”)
movement in this period.
Mainly due to collection of
Investment entrusted financing income by the
income (loss is 358,659.99 171,415.10 109.23% Company in this period, while
listed with “-“) there is no such income in the
corresponding period of last year
Income from
Mainly due to year-on-year
investment for
increase of losses recorded by
associated -4,627,641.38 171,415.10 -2799.67%
associated corporations in this
enterprise and
period.
joint venture
Mainly due to increase of
Non-operation
10,126,101.23 6,077,129.21 66.63% government grant received by the
income
Company in the period.
Including:
Mainly due to increase of gains
income from
137,329.94 14,784.00 828.91% from disposal of fixed assets by
disposal of
parent company in the period.
non-current assets
Mainly due to decrease of losses
Non-operating
590,032.72 6,178,693.98 -90.45% from disposal of long term assets
expenses
by parent company in the period.
Including: loss
Same reason as “non-operating
from disposal of 324,113.57 5,689,480.81 -94.30%
expenses” above.
non-current assets
Income tax 6,528,778.06 9,522,918.59 -31.44% Mainly due to that profit before tax
9
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
expenses of certain subsidiaries makes up
losses recorded in previous year.
Mainly due to that certain
non-wholly owned subsidiaries
Minority interest -1,050,229.32 -4,326,016.18 -75.72%
turned to make profit in this period
instead of losses.
3. Changes and reasons of items in cash flow statement
In RMB
Amount at this Amount at same Changes
Item Reasons of changes
period period of last year ratio
Cash received
from selling Mainly due to increase of sales
commodities and 2,763,169,371.62 1,885,020,797.44 46.59% amount received by the Company
providing labor in the period.
services
Mainly due to increase of export
Tax refunds
73,998,123.72 54,031,690.80 36.95% tax refund received by the
received
Company in the period.
Cash received
Mainly due to increase of
related with other
10,898,715.23 6,487,030.96 68.01% government grant received by the
operating
Company in the period.
activities
Cash paid for
Mainly due to increase of
purchasing
procurement of raw materials and
commodities and 2,164,889,172.42 1,523,411,470.90 42.11%
increase of note payables due for
receiving labor
payment.
service
Mainly due to recovery of the due
Cash received entrusted financing principals by
from recovering 500,000,000.00 - 100.00% the Company in this period, while
investment there is no such recovery in the
corresponding period of last year.
Mainly due to receipt of entrusted
Cash received financing income by the Company
from investment 4,986,301.37 - 100.00% in this period, while there is no
income such income in the corresponding
period of last year.
Net cash received
from disposal of Mainly due to decrease of disposal
fixed assets, 216,587.52 1,234,432.00 -82.45% of long term assets by the
intangible assets Company in the period.
and other
10
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
long-term assets
Cash received
Mainly due to decrease of interest
related with other
11,813,596.67 17,362,060.65 -31.96% income of parent company in the
investment
period.
activities
Mainly due to acquisition of equity
Cash paid for interests of business under the
95,983,860.00 36,149,974.00 165.52%
investment same control by parent company in
the period.
Mainly due to absorption of capital
contribution from minority
Cash received
shareholders by subsidiaries in the
from absorbing 16,661,794.74 - 100.00%
period, while there is no such
investment
capital contribution in the
corresponding period of last year.
Mainly due to increase of short
Cash received
384,191,670.80 686,048,061.59 -44.00% term borrowings of parent
from loans
company in the period.
Mainly due to receipt of odd lots
Cash received
dividends by parent company in the
related with other
3,451.80 - 100.00% period, while there is no such
financing
dividend in the corresponding
activities
period of last year.
Mainly due to decrease of
Cash paid for repayment of short term
48,119,369.00 391,572,057.56 -87.71%
debt settlement borrowings by parent company in
the period.
Cash paid for
Mainly due to decrease of
dividend/profit
2,013,571.61 4,053,158.20 -50.32% borrowing interest repaid by parent
distribution or
company in the period.
interest expenses
Impact on cash
Mainly due to change of exchange
from exchange -5,770,988.16 7,205,021.10 -180.10%
rate in the period.
rate movement
II. Analysis and explanation of significant events and their influence and solutions
√ Applicable □Not applicable
(I) Particular about process of the fund raised and investment of fund raised in the report period
All projects invested with raised funds of non-public offering by the company in 2010 have been completed and
reached the production index, accumulative invest capital for investment projects is 1,222,530,875 yuan. Up to
March 31, 2016, account balance of raise funds is 20,499,015 yuan (of which the amount the company has not
withdrawn for permanently supplementing the working funds is 244,084 yuan, and the total amount to pay the
11
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
contract and retention money is 20,254,931yuan).
(II) Non-public issuance of share of the Company
The non-public issuance of the Company has been considered and approved at the12th meeting of the 8th session
of board of directors and the 2nd special general meeting of 2015 held on 18 November 2015 and 22 December
2015, respectively. Details are disclosed in the announcements (Nos. 2015-053, 2015-054, 2015-057, 2015-063,
2015-064, 2015-065, 2015-070, 2016-007, 2016-014, 2016-015, 2016-016, 2016-017 and 2016-018) of the
Company dated 19 November, 23 December, 30 December 2015 and 25 March 2016 on the designated
information disclosure media including Securities Times, China Securities, Hong Kong Commercial Daily and
Juchao website(www.cninfo.com.cn) and the 2015 annual report of the Company.
Pursuant to the requirements under the Response Notice on Review of Administration Permit Projects of the
CSRC (No. 153769) issued by the CSRC, the Company and relevant intermediate institutions made specific
explanation on the issues listed on the Response Notice on 29 January 2016, and performed its obligation of
information disclosure. Details are disclosed in the announcements (Nos. 2016-006 and 2016-012) of the
Company dated 30 January and 24 February 2016 on the designated information disclosure media including
Securities Times, China Securities, Hong Kong Commercial Daily and Juchao website(www.cninfo.com.cn) .
Taking into account the change of domestic securities market and the actual condition of the Company, in order to
ensure smooth proceeding of this non-public issuance, it is agreed for the Company to make adjustments to the
issue price, pricing principles and issuance quantity of this non-public issuance plan, and to extend the “term of
this issuance resolution” as set out in such plan with others remained unchanged, subject to approval at the 17th
meeting of the 8th board of directors and the 1st special general meeting of 2016. The adjusted non-public issuance
plan has obtained consent from the relevant state-owned assets supervision and management authorities, pending
for approval from the CSRC. Besides, according to the Guideline Opinions on Initial Offering, Refinancing and
Immediate Dilution of Return arising from Material Assets Reorganization (Announcement of the CSRC
No.2015-31), the Company established relevant measures relating to immediate dilution of return and
compensation in respect of non-public issuance, and the directors and senior management of the Company made
relevant undertakings. For details, please refer to the Company’s announcements (Nos. 2016-009, 2016-010,
2016-011, 2016-014, 2016-015, 2016-016, 2016-017, 2016-018, 2016-019, 2016-024, 2016-036 and 2016-037 )
dated 24 February, 7 March, 19 March, 2 April and 6 April 2016 published on the designated information
disclosure media including Securities Times, China Securities, Hong Kong Commercial Daily and Juchao
website(www.cninfo.com.cn) .
(III) Implementation for annual performance incentive fund
On August 9, 2012 and August 28, 2012, the Company considers the adoption of "Hefei Meiling annual
performance incentive fund implementation plan" (hereinafter referred to as "" stimulus "") on the 16th meeting of
the 7th board of directors and the 2012-second provisional shareholders meeting. Details were disclosed on
information disclosure media appointed by the Company as "Securities Times", "Chinese Securities Daily",
"Hong Kong Commercial Daily" and the Juchao network (www.cninfo.com.cn) on August 10, 2012 and August
29th in the form of announcement (No.: 2012-028, No.:2012-035).
1. Implementation about 2012, 2013 and 2014 performance incentive fund provision and distribution plan
Please see the details in "The implementation of the company's annual incentive funds "of "XV-Implementation of
the company’s stock incentive plan, employee stock ownership plan or other employee incentives " at "Section
Five-Important matters" in "2015 Annual Report" of the company disclosed on Mar. 25, 2016.
12
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
As at the end of this reporting period, stocks of the Company purchased by certain performance incentive grantees
of 2012 (other than directors, supervisors and senior management) with the 2012 performance incentive funds
granted to them and their own capital can be totally released, and stocks of the Company purchased by certain
performance incentive grantees of 2013 (other than directors, supervisors and senior management) with the 2013
performance incentive funds granted to them and their own capital can be half released. The overall shareholding
by these grantees is set out below. Stocks of the Company purchased by the performance incentive grantees of
2014 with the 2014 performance incentive funds granted to them and their own capital are held less than one year,
so all the stocks purchased by these grantees are locked for sale. The existing directors, supervisors and senior
management among the performance incentive grantees who purchase stocks of the Company under the 2012,
2013 and 2014 performance incentive plans have not reduced their shareholding.
2. Shareholding and reducing of performance incentive objects of the Company
Up to March 31, 2016, the total number of the company’s stock held by incentive objects is 11,341,853 shares,
accounting for 1.49% of the company’s total share capital, of which A stock is 10,008,721 shares, accounting for
about 1.31% of the company’s total share capital, B stock is 1,333,132 shares, accounting for about 0.17% of the
company’s total share capital. Up to March 31, 2016, some 2012 & 2013 annual performance incentive objects
(non directors, supervisors or senior management) have cumulatively reduced holding of 2,137,603 shares from
September 2014 to the end of this reporting period, accounting for 0.28% of the company’s total share capital.
(IV) Transaction with Sichuan Changhong Group Finance Co., Ltd
Subject to approval from the board of directors and general meeting of the Company, it is agreed for the Company
to enter into Financial Service Agreement with Sichuan Changhong Group Finance Co., Ltd. (“Changhong
Finance Company”) for a term of three years. Pursuant to the agreement, Changhong Finance Company will
provide a series of financial services including savings and loans within its operating scope according to
requirements of the Company and its subsidiaries. From the beginning of this year to the end of reporting period,
the connected transactions occurred between the Company and Changhong Finance Company are set out below:
Interest,
Increased during Decreased during handling
Item Opening balance Ending balance
the Year the Year charge paid or
received
I. Savings in Changhong
1,260,081,706.55 5,498,866,761.79 5,459,131,140.83 1,299,817,327.51 7,168,953.41
Group Finance Company
II. Borrowings from
Changhong Group Finance - - -- -
Company
1.Short-term loans - - -- -
2.Long-term loans - - -- -
III. Other financial business - - -- -
1.notes drawing 733,001,248.18 434,503,140.90 418,344,202.64 749,160,186.44 -
2.notes discounted 236,410,328.55 342,705,572.67 314,595,135.43 264,520,765.79 4,092,272.35
Note: the Company acquired Guangdong Changhong Ridian Technology Co., Ltd. (hereinafter referred to as
13
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
"Changhong Ridian") in early 2016, the above table already contains Changhong Ridian and Changhong Finance
related transactions deposits, loans and other financial services.
(IV) Overview of other significant events
Information index for temporary report
Overview Date for disclosure
disclosure
As approved by resolution on the 14th meeting of the 8th board of directors,
the Company is approved to acquire 98.856% equity interests of Guangdong 2015-12-19; Juchao Website:
Changhong Ridian Science & Technology Company Limited (“Changhong 2015-12-24; http://www.cninfo.com.cn
Ridian”) in relevant bidding at the end of 2015, at the consideration of 2016-1-5; ( No.: 2015-061, 2015-062, 2015-066,
RMB95.65 million. During the reporting period, the business and commercial 2016-2-4; 2015-067, 2016-001, 2016-008 )
registration has been completed in respect of this equity transfer.
In order to ensure orderly proceeding of smart living project, as approved by Juchao Website:
th th
resolution on the 15 meeting of the 8 board of directors, the Company is 2016-1-8 http://www.cninfo.com.cn
approved to invest in incorporation of Changmei Technology Company. ( No.: 2016-002)
Commitment Letter on No Reduction of Shareholding in Meiling Appliances Juchao Website:
within a half year issued by the first largest shareholder of the 2016-1-19 http://www.cninfo.com.cn
Company-Sichuan Changhong Appliances Company Limited. ( No.: 2016-003)
Due to change of personal job, Mr. Li Jin, the former vice chairman of the
Juchao Website:
Board, applied to resign as the director and vice chairman of the 8 th board of
2016-1-21 http://www.cninfo.com.cn
directors and member of the strategic committee and remuneration and
( No.: 2016-004)
examination committee.
Zhongke Meiling Low Temperature Technology Company Limited
(“Zhongke Meiling”), a controlling subsidiary of the Company, is officially Juchao Website:
2016-1-30;
listed on the national middle and small enterprise stock transfer system on 24 http://www.cninfo.com.cn
2016-2-24;
February 2016, in way of agreement transfer, with the securities abbreviation ( No.: 2016-005, 2016-013)
and stock code being Zhongke Meiling and 835892 respectively.
As approved by the board of directors and general meeting, it is agreed for
the Company and its subsidiaries to carry out forward exchange capital Juchao Website:
2016-3-19;
transactions during the period from 1 July 2016 to 30 June 2017, the http://www.cninfo.com.cn
2016-4-7;
transaction balance shall not exceed USD500 million and settlement period ( No.: 2016-020, 2016-022, 2016-037)
for a single transaction shall not last for over 2 years.
As approved by the board of directors and general meeting, it is agreed for
Juchao Website:
the Company to continue financial service cooperation with Sichuan Finance
2016-3-19; http://www.cninfo.com.cn
Company, and to enter into Financial Service Agreement with a term of three
2016-4-7; ( No.: 2016-020, 2016-021, 2016-023,
years, in respect of which, the independent directors issued prior consent and
2016-024, 2016-037)
approval opinions.
The former second largest shareholder of the Company-Hefei Xingtai
Financial Holdings (Group) Company Limited transferred 49,477,513 stated Juchao Website:
owned shares of the Company held by it to Hefei Industrial Investment 2016-3-25 http://www.cninfo.com.cn
Holdings (Group) Company Limited at nil consideration. As of the end of the ( No.: 2016-026)
reporting period, transfer registration procedures for this equity transfer has
14
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
been completed.
The board of directors agreed to appoint Mr. Xu Bangjun as a candidate of
Juchao Website:
non-independent director of the 8th board of directors, with a term same as the
2016-3-25 http://www.cninfo.com.cn
8th board of directors, which is subject to approval from the 2015 annual
( No.: 2016-027)
general meeting of the Company.
The board of directors agreed the subsidiary Zhongshan Changhong
Appliances Company (“Zhongshan Changhong”) to jointly, with the partner
RUBA GENERAL TRADING FZE (a company based in The United Arab
Juchao Website:
Emirates), increase capital injection into Changhong Ruba Trading
2016-3-25 http://www.cninfo.com.cn
Company(Private) Limited in cash according to the existing shareholding
( No.: 2016-027, 2016-032)
proportion. Changhong Ruba Trading Company (Private) Limited is a joint
venture sales company established by the two parties in Pakistan, the total
amount of the increased capital is USD6.40 million.
The board of directors agreed the subsidiaries Zhongshan Changhong and
Juchao Website:
Sichuan Changhong Air Conditioner Company to jointly establish
2016-3-25 http://www.cninfo.com.cn
PT.CHANGHONG MEILING ELECTRIC INDONESIA in Indonesia, with
( No.: 2016-027, 2016-033)
registered capital of USD6.0 million.
As approved by resolution at the 19th meeting of the 8th board of directors, it
is agreed for the Company to apply from Hefei Branch of China Merchants Juchao Website:
Bank a special credit facility with the maximum amount of RMB300 million 2016-3-25 http://www.cninfo.com.cn
involving notes related businesses. The term of credit facility is one year, and ( No.: 2016-027, 2016-034)
the facility is mainly used on note related business by way of note pledge.
15
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
III. Commitments that the company, shareholders, actual controller, offeror, directors, supervisors, senior management or other related parties have
fulfilled during the reporting period and have not yet fulfilled by the end of reporting period
√Applicable □ Not applicable
Implemen
Commitment Acceptor Content Date Term
tation
1. The acquirer shall not engage in refrigerator business
or activity which competes or will compete with
Strictly
business of Meiling Electrical Appliances Co., Ltd. Valid for long
implemen
(hereinafter referred to as the “Meiling Electrical term
ted
Appliances”),or that which has interest conflict with
Meiling Electrical Appliances.
2. The acquirer promises to apply shareholders’ right on
Sichuan About committed and Strictly
a legal and reasonable manner and shall not take any Valid for long
Commitments Changhong promised in order to implemen
action to limit or affect the normal operation of Meiling term
made in Electric Co., prevent horizontal ted
Electrical Appliances.
acquisition LTD competition in the
2007-6-12
report or (hereinafter Acquisition Report of 3. For any opportunity to engage in competing business,
equity change referred to as Hefei Meiling Co., the acquirer will advise Meiling Electrical Appliances in
report the “Sichuan Ltd. written for engaging such business or not. If Meiling
Changhong”) Electrical Appliances gives no clear written reply as to
whether engaging the competing business or not within Strictly
Valid for long
20 days after receipt of the aforesaid letter, it shall be implemen
term
deemed that it will not engage in such business. The ted
acquirer will only engage in non-competing business
provided that Meiling Electrical Appliances confirms
not to or is deemed to not engage in such
non-competing business.
Commitment Commitment 1. It will not engage in such business or activity that
Sichuan Valid for long Strictly
made during regarding to reducing competes with or has interest conflict with that of 2010-6-24
Changhong term implemen
the and preventing Meiling Electrical Appliances except for the action
16
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
non-public competition with taken for sake of Meiling Electrical Appliances as ted
offer Meiling Electrical required by Meiling Electrical Appliances.
Appliances 2. The Company promises to apply shareholders’ right
on a legal and reasonable manner and shall not take any
action to limit or affect the normal operation of Meiling
Electrical Appliances.
3. In case that Meiling Electrical Appliances expects, on
the basis of its existing business, to expand its operation
scope into the business which the Company has already
operated, the Company agrees to grant pre emptive right
to Meiling Electrical Appliances regarding such
business if the same conditions are met, provided that
the Company is still the controlling shareholder or
actual controller of Meiling Electrical Appliances.
1. Measures will be adopted to prevent continued related
transaction with Meiling Electrical Appliances: as to the
related transaction that can not be prevented, it will sign
related transaction agreement with Meiling Electrical
Appliances under the market principles of “equally paid
Commitment and mutual benefit”, and fairly determined the
regarding to reducing transaction price according to the market prevailing
Strictly
and standardizing standards. Valid for long
2010-6-24 implemen
related transaction term
2. Perform the necessary obligations to make related ted
with Meiling
directors and related shareholder abstain from voting
Electrical Appliances
according to relevant regulation, and observe legal
procedure for approving related transaction and
information disclosure obligations.
3. Promise not to hurt legal interests of Meiling
Electrical Appliances and other shareholders through
17
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
related transaction.
Commit to authorized Changhong Air Conditioning and Zhongshan Air Strictly
Valid for long
Conditioning Co., Ltd. (hereinafter referred to as the “Zhongshan Air 2010-11-6 implemen
term
Conditioning”) to use “Changhong” trademark and relevant patents for free. ted
1. Commit to disclose periodic reports on a truthful, accurate, complete, fair and
prompt manner, to disclose all the information that have important influences
over investors, to accept supervision under the CSRC and Shenzhen Stock
Exchange.
2. Commit to make public clarification in respect of such information that is
released from any public media and may result in misleading influences on
Strictly
stock price once the Company is aware of such information. Valid for long
The Company 2011-1-7 implemen
3. The directors, supervisors, senior management and core technicians of the term
ted
Company will accept opinions and criticism from the social publics, and they
will not trade the Company’s securities, directly or indirectly, with any inside
information and other illegal methods. The Company promises that the
documents submitted to Shenzhen Stock Exchange exist no false statement or
material omission, and no relevant information will be disclosed during the
application for listing without prior content from Shenzhen Stock Exchange.
1. Since the property transfer didn’t involve the buildings and land currently
Commitment Strictly
used by Changhong Air Conditioning, Sichuan Changhong commits, upon the Valid for long
made in implemen
completion of equity transfer, to continue to lease such assets to Changhong Air term
transfer of ted
Sichuan Conditioning at market price.
air 2009-12-10
Changhong 2. After completion of this property transfer, Sichuan Changhong commits to
conditioning Strictly
manage to prevent new related transaction with Meiling Electrical Appliances. Valid for long
assets implemen
For those which can not be prevented, Sichuan Changhong commits to term
property ted
determine the transaction price based on market accepted methods, so as to
18
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
ensure fairness of related transaction and protection of the interest of Meiling
Electrical Appliances.
3. Sichuan Changhong commits that it will not engage in air conditioning and
refrigerator business or activity which competes or will compete with business
of Meiling Electrical Appliances, or that which has interest conflict with
Meiling Electrical Appliances.
1. Make promise not to reduce the shares of Meiling bought in every year
Commitments
during implementation of the performance incentive fund via any market ways 2013-8-15; Three years after
by Annual Implemen
in the later first year, which was allowed to be reduced by 50% according to the 2014-7-3; current shares
performance ting
laws and regulations in the second year, and the remaining 50% was allowed to 2015-7-21 purchased
incentive Some of the
be reduced in the third year in accordance with the laws and regulations.
fund, Directors,
From the date
incentive supervisors and 2. The directors, supervisors and senior management promised to manage in
when annual
objects while senior accordance with the relevant management approaches in accordance with the
incentive fund
purchasing executives of "Company Law", "Securities Law" and "The Company’s shares held by the
plan deliberated
stock of the the Company as directors, supervisors and senior management of the listed company and its
2013-8-15; and approved by
Company well as other change management rules", as objects of annual performance incentive fund of Implemen
2014-7-3; general meeting
with incentive Meiling, including but not limited to: during his tenure, the shares transferred ting
2015-7-21 to 6 moths after
performance objects each year shall not exceed 25% of the total number of shares held of the
director,
incentive Company; shall not sell the shares of the Company within six months after
supervisor and
funds and bought it or purchase again six months after sold it; shall not transfer the shares
senior executives
owned fund held within six months after Dismission.
resigned
Sichuan 1. Based on market conditions and as allowed by laws and rules, multiple
Changhong measures were adopted adequately to increase shareholding of Meiling
Commitments
Electric Co., Appliances, so as to demonstrate its firm confidence on the PRC economy and Strictly
of not to Valid for long
LTD and Meiling Appliances with its actual actions, maintain sound development of 2015-7-9 implemen
reducing the term
persons acting capital market and promote recovery of healthy market; ted
shares
in concert 2. The Company continued to support operation and development of listed
Changhong company. It is committed to bringing steady and real return to investors.
19
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
(Hong Kong) 3. Sichuan Changhong has committed that Sichuan Changhong and its persons
Trading acting in concert - Changhong (Hong Kong) Trading Co., Ltd. shall not reduce
Company holdings of "Meiling" and "Anhui Meiling B" within six months since January
Implemen
Limited 18, 2016, if the holdings of "Meiling" and "Anhui Meiling B" increase due to 2016-1-18 2016-7-18
ting
Meiling bonus issue or share capital increased by transferring, the company will
still abide by the above commitment. To violate the above commitment, all
gains by reducing holdings will belong to Meiling.
1. I hereby undertake not to deliver interests to other
entities or individuals without consideration or at unfair
conditions, nor to prejudice the Company’s interests by
other means.
2. I hereby undertake to restrain my role related
consumption behaviors.
3. I hereby undertake not to conduct any investment and
Till the
consumption which is not related to performance of
Commitment on completion of
Commitment duties with utilization of any company assets.
Directors and compensation of projects invested
made during
senior immediate dilution of 4. I hereby undertake that the remuneration system with the proceeds Implemen
the 2016-2-23
executives of return arising from determined by the board of directors or the remuneration from this ting
non-public
the Company non-public issuance of and examination committee be linked to implementation non-public
offer of the compensation of return measures.
shares issuance of
5. In case that the Company adopts share based shares
incentive plan in future, I hereby undertake that the
exercise conditions of the incentive plan to be
announced by the Company be linked to implementation
of the compensation of return measures.
6. For the period from the date of this commitment to
the date of completion of this non-public issuance of
shares, if the CSRC makes other new regulatory
20
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
requirements on compensation of return measures and
the commitment thereof, and in case that the above
commitments cannot satisfy these new requirements
from the CSRC, I hereby undertake to issue
supplementary commitment in compliance with the
latest CSRC requirements.
As one of the principals responsible for compensation of
return measures, I, in case of break of the above
commitments or refuse to perform the above
commitments, agree to receive relevant punishment or
to adopt relevant administration measures according to
the systems, rules and regulations of the CSRC and
Shenzhen Stock Exchange.
Perform the commitment promptly or
√Yes □No
not
If the commitments is not fulfilled on
time, shall explain the specify reason Not applicable
and the next work plan
21
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
IV. Forecast of operation performance from Jan. – June of 2016
Estimation on 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 on reason
□ Applicable √ Not applicable
V. Securities Investment
□ Applicable √ Not applicable
No security investment in Period.
VI. Derivative investment
□ Applicable √ Not applicable
No derivative investment in Period.
VII. Trust financing
√Applicable □Not applicable
In 10 thousand Yuan
Amount
of
reserve
for Actual
Whethe Trust Criteria Principal
devalua Anticip Actual collected
r related financin for actually
Name Type Start date End date tion of ated gains/losses gains/loss
trade or g fixing collected in
withdra income in period es in
not amount reward the Period
wing period
(if
applica
ble)
Anhui
Floating
Province
procee 3.9%
branch of
No ds 50,000 2015-10-20 2016-1-19 annual 50,000 - 486.16 498.63 498.63
Bank of
produc yield
Communicatio
ts
ns
Total 50,000 -- -- -- 50,000 - 486.16 498.63 498.63
Capital resource Self-owned temporary idle capital
22
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Principal uncollected for overdue
0
and accumulated earnings
Lawsuit involved (if applicable) -
Disclosure date for approval from
the Board for trust financing (if 2015-3-26
applicable)
Disclosure date for approval from
board of shareholders for trust 2015-4-18
financing (if applicable)
Whether has trust financing plan
No
in future
VIII. Registration form for receiving research, communication and interview in the report period
√ Applicable □Not applicable
Time Way Type Basic situation index of investigation
http://irm.cninfo.com.cn/ircs/ssgs/companyIrmForSzse.do
2016-1-7 Field research Institute
?stockcode=000521
http://irm.cninfo.com.cn/ircs/ssgs/companyIrmForSzse.do
2016-1-15 Field research Institute
?stockcode=000521
http://irm.cninfo.com.cn/ircs/ssgs/companyIrmForSzse.do
2016-1-22 Field research Institute
?stockcode=000521
http://irm.cninfo.com.cn/ircs/ssgs/companyIrmForSzse.do
2016-1-26 Field research Institute
?stockcode=000521
IX. Guarantee outside against the regulation
□Applicable √Not applicable
The Company had no guarantee outside against the regulation in the reporting period.
X. Non-operational fund occupation from controlling shareholders and its related party
□ Applicable √ Not applicable
23
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Section IV. Financial Statement
I. Financial statement
1. Consolidate balance sheet
Prepared by Hefei Meiling Co., Ltd.
In RMB
Item Balance at period-end Balance at period-begin
Current assets:
Monetary funds 3,007,374,476.31 2,135,189,879.15
Settlement provisions - -
Capital lent - -
Financial liability measured by fair
value and with variation reckoned into
current gains/losses - -
Derivative financial liability - -
Notes receivable 1,469,342,400.75 1,286,332,682.74
Accounts receivable 1,473,335,295.44 1,338,396,321.83
Accounts paid in advance 77,871,853.12 68,041,820.73
Insurance receivable - -
Reinsurance receivables - -
Contract reserve of reinsurance
receivable - -
Interest receivable 1,540,027.02 1,238,199.65
Dividend receivable - -
Other receivables 26,686,197.96 39,494,835.30
Purchase restituted finance asset - -
Inventories 1,532,773,157.93 1,554,946,209.51
Divided into assets held for sale - -
Non-current asset due within one
year - -
Other current assets 18,395,389.20 539,101,578.44
Total current assets 7,607,318,797.73 6,962,741,527.35
Non-current assets:
Loans and payments on behalf
24
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Finance asset available for sales 17,000,000.00 17,000,000.00
Held-to-maturity investment - -
Long-term account receivable - -
Long-term equity investment 70,425,919.51 74,239,547.01
Investment property 13,882,067.97 14,084,213.51
Fixed assets 1,279,981,725.75 1,267,493,931.98
Construction in progress 51,949,453.28 56,504,880.99
Engineering material - -
Disposal of fixed asset 75,773,138.47 75,773,138.47
Productive biological asset - -
Oil and gas asset - -
Intangible assets 586,352,801.14 593,449,698.85
Expense on Research and
Development 70,080,324.34 53,344,827.72
Goodwill - -
Long-term expenses to be
apportioned - -
Deferred income tax asset 79,603,387.70 78,435,177.86
Other non-current asset 44,000,772.00 44,221,416.00
Total non-current asset 2,289,049,590.16 2,274,546,832.39
Total assets 9,896,368,387.89 9,237,288,359.74
Current liabilities:
Short-term loans 339,440,767.02 58,680,093.19
Loan from central bank - -
Absorbing deposit and interbank
deposit - -
Capital borrowed - -
Financial liability measured by fair
value and with variation reckoned into
current gains/losses - -
Derivative financial liability - -
Notes payable 1,961,170,250.32 2,172,064,923.79
Accounts payable 2,037,352,117.03 1,604,075,191.50
Accounts received in advance 348,432,938.56 295,604,800.16
Selling financial asset of
repurchase - -
Commission charge and
commission payable - -
25
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Wage payable 77,390,262.12 115,297,429.40
Taxes payable 101,877,955.85 70,530,483.54
Interest payable 173,468.38 214,328.89
Dividend payable 2,200,499.91 2,200,499.91
Other accounts payable 730,256,218.70 643,567,087.33
Reinsurance payables - -
Insurance contract reserve - -
Security trading of agency - -
Security sales of agency - -
Divided into liability held for sale - -
Non-current liabilities due within 1
year 11,147,235.60 11,153,067.68
Other current liabilities - -
Total current liabilities 5,609,441,713.49 4,973,387,905.39
Non-current liabilities:
Long-term loans 299,787,008.80 243,004,866.40
Bonds payable - -
Including: preferred stock - -
Perpetual capital
securities - -
Long-term account payable - -
Long-term wages payable 35,988,442.98 38,211,463.86
Special accounts payable - -
Projected liabilities 335,990,014.55 338,125,014.55
Deferred income 130,506,391.19 132,890,618.54
Deferred income tax liabilities - -
Other non-current liabilities - -
Total non-current liabilities 802,271,857.52 752,231,963.35
Total liabilities 6,411,713,571.01 5,725,619,868.74
Owner’s equity:
Share capital 763,739,205.00 763,739,205.00
Other equity instrument - -
Including: preferred stock - -
Perpetual capital
securities - -
Capital public reserve 1,429,225,754.29 1,529,184,356.13
26
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Less: Inventory shares - -
Other comprehensive income -2,563,411.37 -2,280,500.61
Reasonable reserve - -
Surplus public reserve 367,066,994.18 367,066,994.18
Provision of general risk - -
Retained profit 871,377,211.88 817,667,531.64
Total owner’s equity attributable to
parent company 3,428,845,753.98 3,475,377,586.34
Minority interests 55,809,062.90 36,290,904.66
Total owner’s equity 3,484,654,816.88 3,511,668,491.00
Total liabilities and owner’s equity 9,896,368,387.89 9,237,288,359.74
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
2. Balance Sheet of Parent Company
In RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 2,490,663,083.80 1,654,499,494.28
Financial liability measured by fair
value and with variation reckoned into
current gains/losses - -
Derivative financial liability - -
Notes receivable 1,016,945,850.78 828,061,004.44
Accounts receivable 730,388,140.83 943,328,995.97
Account paid in advance 206,065,050.88 302,567,578.88
Interest receivable - -
Dividends receivable - -
Other receivables 40,179,659.93 53,255,891.89
Inventories 849,605,142.79 869,593,027.59
Divided into assets held for sale - -
Non-current assets maturing within
one year - -
Other current assets 14,360,164.83 522,617,641.34
Total current assets 5,348,207,093.84 5,173,923,634.39
Non-current assets:
27
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Available-for-sale financial assets 17,000,000.00 17,000,000.00
Held-to-maturity investments - -
Long-term receivables - -
Long-term equity investments 932,211,020.76 840,634,581.05
Investment property 11,687,431.81 11,805,903.99
Fixed assets 891,449,408.47 890,217,780.00
Construction in progress 20,172,314.13 20,365,686.01
Project materials - -
Disposal of fixed assets 43,479,954.71 43,479,954.71
Productive biological assets - -
Oil and natural gas assets - -
Intangible assets 436,337,289.64 438,227,183.15
Research and development costs 1,136,027.62 2,162,829.06
Goodwill - -
Long-term deferred expenses - -
Deferred income tax assets 68,430,968.96 70,170,515.47
Other non-current assets - -
Total non-current assets 2,421,904,416.10 2,334,064,433.44
Total assets 7,770,111,509.94 7,507,988,067.83
Current liabilities:
Short-term borrowings 324,424,335.02 34,411,720.00
Financial liability measured by fair
value and with variation reckoned into
current gains/losses - -
Derivative financial liability - -
Notes payable 1,206,325,161.85 1,395,443,530.25
Accounts payable 1,161,785,139.05 1,114,807,199.47
Accounts received in advance 166,487,785.67 145,333,375.62
Wage payable 15,085,453.81 42,847,802.62
Taxes payable 39,601,854.80 20,425,867.86
Interest payable 173,468.38 214,328.89
Dividend payable 2,200,499.91 2,200,499.91
Other accounts payable 704,820,937.63 686,009,980.82
Divided into liability held for sale - -
28
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Non-current liabilities due within 1
year 7,481,483.68 7,487,315.76
Other current liabilities - -
Total current liabilities 3,628,386,119.80 3,449,181,621.20
Non-current liabilities:
Long-term loans 256,341,900.00 199,341,900.00
Bonds payable - -
Including: preferred stock - -
Perpetual capital
securities - -
Long-term account payable - -
Long-term wages payable 35,988,442.98 38,211,463.86
Special accounts payable - -
Projected liabilities 335,990,014.55 338,125,014.55
Deferred income 66,186,338.39 68,050,877.23
Deferred income tax liabilities - -
Other non-current liabilities - -
Total non-current liabilities 694,506,695.92 643,729,255.64
Total liabilities 4,322,892,815.72 4,092,910,876.84
Owners’ equity:
Share capita 763,739,205.00 763,739,205.00
Other equity instrument - -
Including: preferred stock - -
Perpetual capital
securities - -
Capital public reserve 1,493,143,491.54 1,497,987,446.59
Less: Inventory shares - -
Other comprehensive income - -
Reasonable reserve - -
Surplus reserve 366,848,828.50 366,848,828.50
Retained profit 823,487,169.18 786,501,710.90
Total owner’s equity 3,447,218,694.22 3,415,077,190.99
Total liabilities and owner’s equity 7,770,111,509.94 7,507,988,067.83
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
29
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
3. Consolidated Profit Statement
In RMB
Item Current Period Last Period
I. Total operating income 2,926,400,488.89 2,752,501,149.32
Including: Operating income 2,926,400,488.89 2,752,501,149.32
Interest income - -
Insurance gained - -
Commission charge and commission
- -
income
2,693,460,769.50
II. Total operating cost 2,877,106,988.41
Including: Operating cost 2,286,732,134.67 2,152,651,043.15
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 27,786,160.01 18,119,401.70
Sales expenses 451,951,041.92 432,609,102.60
Administration expenses 97,624,683.46 99,733,357.50
Financial expenses -5,371,504.22 -19,080,895.94
Losses of devaluation of asset 18,384,472.57 9,428,760.49
Add: Changing income of fair
- 81,770.00
value(Loss is listed with “-”)
Investment income (Loss is listed
358,659.99 171,415.10
with “-”)
Including: Investment income on
-4,627,641.38 171,415.10
affiliated company and joint venture
Exchange income (Loss is listed
- -
with “-”)
III. Operating profit (Loss is listed with 49,652,160.47 59,293,564.92
30
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
“-”)
Add: Non-operating income 10,126,101.23 6,077,129.21
Including: Disposal gains of
137,329.94 14,784.00
non-current asset
Less: Non-operating expense 590,032.72 6,178,693.98
Including: Disposal loss of
324,113.57 5,689,480.81
non-current asset
IV. Total Profit (Loss is listed with “-”) 59,188,228.98 59,192,000.15
Less: Income tax expense 6,528,778.06 9,522,918.59
V. Net profit (Net loss is listed with “-”) 52,659,450.92 49,669,081.56
Net profit attributable to owner’s of
53,709,680.24 53,995,097.74
parent company
Minority shareholders’ gains and
-1,050,229.32 -4,326,016.18
losses
VI. Net after-tax of other comprehensive
-401,296.49 -309,624.32
income
Net after-tax of other comprehensive
income attributable to owners of parent -282,910.76 -243,495.58
company
(I) Other comprehensive income
items which will not be reclassified - -
subsequently to profit of loss
1. Changes as a result of
re-measurement of net defined benefit - -
plan liability or asset
2. Share of the other
comprehensive income of the investee
accounted for using equity method which - -
will not be reclassified subsequently to
profit and loss
(II) Other comprehensive income
items which will be reclassified -282,910.76 -243,495.58
subsequently to profit or loss
1. Share of the other
comprehensive income of the investee
accounted for using equity method which - -
will be reclassified subsequently to profit
or loss
2. Gains or losses arising
- -
from changes in fair value of
31
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
available-for-sale financial assets
3. Gains or losses arising
from reclassification of held-to-maturity
- -
investment as available-for-sale financial
assets
4. The effect hedging portion
of gains or losses arising from cash flow - -
hedging instruments
5. Translation differences
arising on translation of foreign currency -282,910.76 -243,495.58
financial statements
6. Other - -
Net after-tax of other comprehensive
income attributable to minority -118,385.73 -66,128.74
shareholders
VII. Total comprehensive income 52,258,154.43 49,359,457.24
Total comprehensive income
53,426,769.48 53,751,602.16
attributable to owners of parent Company
Total comprehensive income
-1,168,615.05 -4,392,144.92
attributable to minority shareholders
VIII. Earnings per share:
(i) Basic earnings per share 0.0703 0.0707
(ii) Diluted earnings per share 0.0703 0.0707
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
4. Profit Statement of Parent Company
In RMB
Item Current Period Last Period
I. Operating income 1,550,458,365.77 1,501,709,121.95
Less: Operating cost 1,305,236,415.06 1,253,513,363.69
Operating tax and extras 12,227,268.52 10,329,956.47
Sales expenses 163,483,635.62 144,475,730.93
Administration expenses 46,061,487.37 50,319,095.61
Financial expenses -7,456,125.90 -14,222,182.00
Losses of devaluation of asset -140,138.17 2,036,087.98
Add: Changing income of fair
value(Loss is listed with “-”) - 81,770.00
32
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Investment income (Loss is
listed with “-”) 5,760,147.93 85,130.93
Including: Investment income
on affiliated company and joint venture 773,846.56 85,130.93
II. Operating profit (Loss is listed
with “-”) 36,805,971.20 55,423,970.20
Add: Non-operating income 7,031,366.56 2,608,543.71
Including: Disposal gains of
non-current asset 92,759.42 -
Less: Non-operating expense 310,277.05 6,042,964.39
Including: Disposal loss of
non-current asset 244,077.48 5,668,797.10
III. Total Profit (Loss is listed with
“-”) 43,527,060.71 51,989,549.52
Less: Income tax expense 6,541,602.43 7,598,058.95
IV. Net profit (Net loss is listed with
“-”) 36,985,458.28 44,391,490.57
V. Net after-tax of other comprehensive
income - -
(I) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss - -
1. Changes as a result of
re-measurement of net defined benefit
plan liability or asset - -
2. Share of the other
comprehensive income of the investee
accounted for using equity method
which will not be reclassified
subsequently to profit and loss - -
(II) Other comprehensive income
items which will be reclassified
subsequently to profit or loss - -
1. Share of the other
comprehensive income of the investee
accounted for using equity method
which will be reclassified subsequently
to profit or loss - -
2. Gains or losses arising
from changes in fair value of - -
33
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
available-for-sale financial assets
3. Gains or losses arising
from reclassification of held-to-maturity
investment as available-for-sale
financial assets - -
4. The effect hedging
portion of gains or losses arising from
cash flow hedging instruments - -
5. Translation differences
arising on translation of foreign
currency financial statements - -
6. Other - -
VI. Total comprehensive income 36,985,458.28 44,391,490.57
VII. Earnings per share:
(i) Basic earnings per share 0.0484 0.0581
(ii) Diluted earnings per share 0.0484 0.0581
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
5. Consolidated Cash Flow Statement
In RMB
Item Current Period Last Period
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor 2,763,169,371.62 1,885,020,797.44
services
Net increase of customer deposit
- -
and interbank deposit
Net increase of loan from central
- -
bank
Net increase of capital borrowed
- -
from other financial institution
Cash received from original
- -
insurance contract fee
Net cash received from reinsurance
- -
business
Net increase of insured savings and - -
34
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
investment
Net increase of amount from
disposal financial assets that measured
- -
by fair value and with variation
reckoned into current gains/losses
Cash received from interest,
- -
commission charge and commission
Net increase of capital borrowed - -
Net increase of returned business
- -
capital
Write-back of tax received 73,998,123.72 54,031,690.80
Other cash received concerning
10,898,715.23 6,487,030.96
operating activities
Subtotal of cash inflow arising from
2,848,066,210.57 1,945,539,519.20
operating activities
Cash paid for purchasing
commodities and receiving labor 2,164,889,172.42 1,523,411,470.90
service
Net increase of customer loans
- -
and advances
Net increase of deposits in central
- -
bank and interbank
Cash paid for original insurance
- -
contract compensation
Cash paid for interest, commission
- -
charge and commission
Cash paid for bonus of guarantee
- -
slip
Cash paid to/for staff and workers 329,027,920.11 268,577,049.07
Taxes paid 79,046,193.58 80,040,160.08
Other cash paid concerning
135,505,177.34 191,304,105.75
operating activities
Subtotal of cash outflow arising from
2,708,468,463.45 2,063,332,785.80
operating activities
Net cash flows arising from operating
139,597,747.12 -117,793,266.60
activities
II. Cash flows arising from investing
activities:
Cash received from recovering 500,000,000.00 -
35
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
investment
Cash received from investment
4,986,301.37 -
income
Net cash received from disposal of
fixed, intangible and other long-term 216,587.52 1,234,432.00
assets
Net cash received from disposal of
- -
subsidiaries and other units
Other cash received concerning
11,813,596.67 17,362,060.65
investing activities
Subtotal of cash inflow from investing
517,016,485.56 18,596,492.65
activities
Cash paid for purchasing fixed,
36,348,248.79 36,883,835.95
intangible and other long-term assets
Cash paid for investment 95,983,860.00 36,149,974.00
Net increase of mortgaged loans - -
Net cash received from
- -
subsidiaries and other units obtained
Other cash paid concerning
- -
investing activities
Subtotal of cash outflow from investing
132,332,108.79 73,033,809.95
activities
Net cash flows arising from investing
384,684,376.77 -54,437,317.30
activities
III. Cash flows arising from financing
activities
Cash received from absorbing
16,661,794.74 -
investment
Including: Cash received from
absorbing minority shareholders’ - -
investment by subsidiaries
Cash received from loans 384,191,670.80 686,048,061.59
Cash received from issuing bonds - -
Other cash received concerning
3,451.80 -
financing activities
Subtotal of cash inflow from financing
400,856,917.34 686,048,061.59
activities
Cash paid for settling debts 48,119,369.00 391,572,057.56
36
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
Cash paid for dividend and profit
2,013,571.61 4,053,158.20
distributing or interest paying
Including: Dividend and profit of
minority shareholder paid by - -
subsidiaries
Other cash paid concerning
- -
financing activities
Subtotal of cash outflow from
50,132,940.61 395,625,215.76
financing activities
Net cash flows arising from financing
350,723,976.73 290,422,845.83
activities
IV. Influence on cash and cash
equivalents due to fluctuation in -5,770,988.16 7,205,021.10
exchange rate
V. Net increase of cash and cash
869,235,112.46 125,397,283.03
equivalents
Add: Balance of cash and cash
2,121,161,238.01 2,709,097,193.11
equivalents at the period -begin
VI. Balance of cash and cash
2,990,396,350.47 2,834,494,476.14
equivalents at the period -end
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
6. Cash Flow Statement of Parent Company
In RMB
Item Current Period Last Period
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor 1,459,425,734.39 919,267,902.33
services
Write-back of tax received 42,807,549.95 35,315,414.37
Other cash received concerning
5,404,054.78 1,969,905.92
operating activities
Subtotal of cash inflow arising from
1,507,637,339.12 956,553,222.62
operating activities
Cash paid for purchasing
1,197,030,174.41 973,813,926.55
commodities and receiving labor
37
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
service
Cash paid to/for staff and workers 134,305,529.47 90,288,074.11
Taxes paid 21,297,508.43 25,736,819.33
Other cash paid concerning
60,265,931.74 66,618,277.52
operating activities
Subtotal of cash outflow arising from
1,412,899,144.05 1,156,457,097.51
operating activities
Net cash flows arising from operating
94,738,195.07 -199,903,874.89
activities
II. Cash flows arising from investing
activities:
Cash received from recovering
500,000,000.00 -
investment
Cash received from investment
4,986,301.37 -
income
Net cash received from disposal of
fixed, intangible and other long-term 205,587.52 965,112.00
assets
Net cash received from disposal of
- -
subsidiaries and other units
Other cash received concerning
7,772,259.09 14,255,616.51
investing activities
Subtotal of cash inflow from investing
512,964,147.98 15,220,728.51
activities
Cash paid for purchasing fixed,
24,183,155.13 15,521,939.44
intangible and other long-term assets
Cash paid for investment 95,650,000.00 6,000,000.00
Net cash received from
- -
subsidiaries and other units
Other cash paid concerning
- -
investing activities
Subtotal of cash outflow from investing
119,833,155.13 21,521,939.44
activities
Net cash flows arising from investing
393,130,992.85 -6,301,210.93
activities
III. Cash flows arising from financing
activities
Cash received from absorbing - -
38
Hefei Meiling Co., Ltd.The First Quarterly Report of 2016
investment
Cash received from loans 380,831,650.44 619,816,005.59
Cash received from issuing bonds - -
Other cash received concerning
9,427,786.43 4,801,561.18
financing activities
Subtotal of cash inflow from financing
390,259,436.87 624,617,566.77
activities
Cash paid for settling debts 35,028,969.00 347,191,657.56
Cash paid for dividend and profit
1,601,868.57 3,496,983.19
distributing or interest paying
Other cash paid concerning
96,569.57 19,697,344.21
financing activities
Subtotal of cash outflow from
36,727,407.14 370,385,984.96
financing activities
Net cash flows arising from financing
353,532,029.73 254,231,581.81
activities
IV. Influence on cash and cash
equivalents due to fluctuation in -5,237,628.13 6,512,404.39
exchange rate
V. Net increase of cash and cash
836,163,589.52 54,538,900.38
equivalents
Add: Balance of cash and cash
1,654,499,494.28 2,390,446,316.58
equivalents at the period -begin
VI. Balance of cash and cash
2,490,663,083.80 2,444,985,216.96
equivalents at the period -end
Legal Representative: Liu Tibin
Person in charge of accounting works: Zhang Xiaolong
Person in charge of accounting institute: Luo Bo
II. Audit report
Whether the 1st quarterly report has been audited or not
□Yes √ No
The 1st quarterly report of the Company has not been audited
Hefei Meiling Co., Ltd.
Chairman: Liu Tibin
28 April 2016
39