Stock Code: 000530; 200530 Short Form of the Stock: Daleng Gufen; Daleng B; No: 2018-035
Dalian Refrigeration Co., Ltd.
2018 Semiannual Report Summary
§1 Important Notes
This summary is extracted from the original of the semiannual report. For more information, the
investors are recommended to refer to the original.
Company Profile
Short form of the stock DALENG GUFEN; DALENG-B
Stock code 000530; 200530
Listed stock exchange Shenzhen Stock Exchange
Contact persons Secretary of the Board of Directors Authorized representative in charge of securities affairs
Name Song Wenbao Du Yu
DALENG GUFEN Securities﹠Legal
DALENG GUFEN Securities﹠Legal AffairsNo.106,
Affairs No.106, Liaohe East Road,
Contact address Liaohe East Road, Dalian Economic and Technological
Dalian Economic and Technological
Development Zone
Development Zone
Telephone 0411-87968130 0411-87968822
Fax 0411-87968125 0411-87968125
E-mail 000530@bingshan.com 000530@bingshan.com
§2 Summary of Accounting Data and Financial Indexes
2.1 Main accounting data (Unit: RMB Yuan)
Did the Company retroactively adjust or restate the accounting data of previous years due to
change in the accounting policy and correction of accounting mistakes?
□ Yes √ No
Increase/decrease compared with the same
2018.1-6 2017.1-6
period of last year
Operating revenue 1,029,078,536.79 1,002,378,717.50 2.66%
Net profit attributable to shareholders of listed companies 59,017,542.28 98,260,163.09 -39.94%
Net profit belonging to the shareholders of listed
companies after the deduction of non-recurring profit and 57,185,177.31 69,960,863.49 -18.26%
loss
Net cash flow from operating activities -115,328,757.17 -148,577,541.90 28.83%
Basic earnings per share 0.069 0.115 -40.00%
Diluted earnings per share 0.069 0.115 -40.00%
Weighted average return on net asset yield 1.67% 2.95% Decrease 1.28 percentage points
2018.6.30 2017.12.31 Increase/decrease compared with 2017.12.31
Total assets 5,577,520,750.60 5,619,621,500.67 -0.75%
Owner's equity attributable to shareholders of listed
3,346,184,485.59 3,416,531,064.91 -2.06%
companies
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The Net profit attributable to shareholders of listed companies Significantly decreased with the
same period last year, mainly because the intensified market competition and the tight budget
during the reporting period led to a significant decrease in the income from complete sets of
projects, and the increase in bank borrowings led to a significant increase in financial expenses,
and also the Company sold 1.5 million shares of Guotai Junan stock in the same period last year
and obtained investment income of about RMB 27,460 thousand Yuan.
§3 Statement of shares held by the top ten common shareholders
Total number of shareholders in the reporting period 49,814
Shareholding of top ten shareholders
Number of
Number of
shares with
Name Nature Proportion Total number pledged shares
sale
or shares frozen
restriction
Domestic non-state-owned legal
Dalian Bingshan Group Co., Ltd. 19.98% 170,916,934 0 0
person
Sanyo Electric Co., Ltd. Overseas legal person 8.59% 73,503,150 0 0
Lin Zhenming Overseas natural person 0.74% 6,349,740 0 0
Haitong securities co. LTD State-owned legal person 0.70% 6,000,000 0 0
JOHCM INTERNATIONAL
Overseas legal person 0.64% 5,432,942 0 0
SMALL CAP EQUITY FUND
Sun Huiming Domestic natural person 0.51% 4,384,079 0 0
Wu An Domestic natural person 0.51% 4,359,900 0 0
Caitong Capital Kunze No. 2 Securities
Others 0.48% 4,114,534 0 0
Investment Fund
National Social Security Funds 104 Portfolio Others 0.48% 4,105,157 0 0
BOCI SECURITIES LIMITED Overseas legal person 0.41% 3,471,602 0 0
Shareholding of top ten shareholders without sale restriction
Name Number of shares without sale restriction Type of shares
Dalian Bingshan Group Co., Ltd. had the association relationship with Sanyo Electric Co., Ltd.
Notes to the associated relationship and uniform
among the above shareholders. Sanyo Electric Co., Ltd. holds 26.6% of Dalian Bingshan Group
actions of the above shareholders
Co., Ltd.'s equity.
§4 Variation in controlling shareholders or actual controllers
Variation in controlling shareholders in the report period
□ Applicable √ Not applicable
Variation in actual controllers in the report period
□ Applicable √ Not applicable
§5 Information on Preferred Stock
□ Applicable √ Not applicable
In the reporting period, the Company didn’t own preferred stock.
§6 Corporate Bonds
The Company’s non-public issuance of exchangeable corporate bonds was listed at the Shanghai
Stock Exchange on August 6, 2018. Until June 30, 2018., the Company did not use bonds to raise
funds. As of August 1, 2018, according to the using plan disclosed in the prospectus, the raised
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funds of the Company’s non-public issuance of exchangeable corporate bonds have been used to
repay bank loans.
§7 Business discussion and analysis
In the first half of 2018, the Company adhered to the theme of “Committing to Innovation,
Focusing on Transformation, and Sharing”, insisted on developing industry-leading new products
and technologies that meet market demand, innovated and developed new markets, and cultivated
market segments, took the development and utilization of energy, especially the secondary energy,
as the continuous development point of transformation and upgrading strategy. By leveraging the
dual-creation platform, we made concerted efforts, assumed and shared together, and endeavored
to achieve the key business indicators. In the first half of 2018, the Company achieved operating
income of 1,029,078 thousand Yuan, with a year-on-year growth of 2.66%; achieved a total profit
of 61,712 thousand Yuan, with a year-on-year decrease of 41.17%, mainly due to the reduction in
the total project income because of intensified market competition and tight financial position, and
the increase in financial costs because of increase in bank loans during the reporting period, and
the Company sold 1,500,000 shares of Guotai Junan stock and gained about 27,460 thousand yuan
of investment income during the same period of last year.
During the reporting period, the Company’s subsidiary Wuxin Refrigeration accelerated the
strategic transformation, the natural gas pipeline network pressure energy generation and cold
energy recovery system, mine return air waste heat direct utilization system and other landmark
new products realized commercial use in multiple projects in many places. Among the enterprises
funded by the Company, Wuxin Refrigeration took the lead in launching the pilot project of
dual-creation incentives to further stimulate the internal motivation of strategic transformation.
During the reporting period, the Company’s subsidiary Bingshan Engineering Company continued
to deepen the hot and cold market segment by virtue of its high value-added deep enthalpy energy
solutions. Bingshan Engineering Company achieved new breakthroughs in the ice and snow
industry and won the bid for the toboggan run simulation test section project in the Olympic
Winter Games, and was awarded the Grade A Qualification for the general contracting of
electromechanical engineering.
During the reporting period, Bingshan Service Company, the Company’s subsidiary, quickly
expanded its producer services by virtue of the first service model in the industry, and its
operating income increased by approximately 30% on a year-on-year basis. Bingshan Service
Company united high quality customers through the generator room hosting and related services,
established strategic cooperation with Mengniu Dairy, Anheuser-Busch InBev, and others, and
signed an agreement about accessory repair and group-buying. With the support of Liaoning
Provincial Government, the 4S service model of ammonia-related refrigeration enterprises began
to be promoted to cities in the province except Dalian. Bingshan sharing service platform was
built orderly, and began to provide services for Bingshan-funded enterprises such as Fuji Bingshan,
Spindle, and so on.. Bingshan Service Company won the A rating certificate of refrigeration and
air conditioning for China equipment maintenance and installation enterprise competence.
During the reporting period, Panasonic Compressor, the Company’s associated company, actively
promoted the transformation and focused on developing high-margin customers and markets. The
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sales volume of horizontal scroll compressors for electric buses has recovered significantly. The
horizontal scroll compressor for rail transit air conditioning has achieved good results in the
expansion in subway, light rail and other fields. The sales volume of dedicated compressor for
refrigeration increased significantly on a year-on-year basis. The horizontal DC inverter fully
enclosed electric scroll compressor was selected into the “2018 Energy Conservation and
Environmental Protection Product Catalogue of Chinese Association of Refrigeration”.
During the reporting period, Panasonic Cold Chain, an associated company of the Company,
conformed to the new trend of consumption and further expanded and subdivided the blue ocean
market. For the convenience store business, it made effective cooperation with key customers such
as Hema Fresh, Jingdong, OurHours, Lawson, and so on, and the income achieved a year-on-year
growth of about 30%. For commercial kitchen business, Panasonic Cold Chain won the bid for the
Great Hall of the People project. And it was awarded the First Batch of Green Factories in
Liaoning Province.
During the reporting period, Panasonic Refrigeration System, the Company’s associated company,
successfully applied the CO2 refrigeration compressor to the cold chain system of Beijing CFS
Market, which realized the first commercial use of the CO2 transcritical piston refrigeration
compressor unit in the domestic supermarket retail field. It also won the bid for Jingdong Beijing
Daxing Pharmaceutical Storage Project and Wuhan Cold Storage Project, and the total contract
amount is over 60 million Yuan.
During the reporting period, the Company’s associated company, Fuji Bingshan, further promoted
the development of product intelligence, modularization, and diversification, and newly added
platform machine product line based on the six product lines of beverage machine, food machine,
liquor machine, dairy machine, coffee machine, and lunch box machine so as to quickly respond
to the demand of new retail platform, actively deployed in the international market, and has
covered Hong Kong, Macao and Taiwan regions, Australia, and Southeast Asian countries. It is
the first in the industry to introduce R1234yf new refrigerant production line, leading the industry
safety and green environmental development trend.
During the reporting period, the Company actively promoted the cultivation and incubation of new
businesses while the original business was undergoing transformation and upgrading. Kelvin, an
indirect joint venture company, focused on the unmanned retail field, strengthened the unmanned
retail smart terminals and Internet platforms, and strived to open up the online and offline
consumption scenarios; Bingshan Huahuida, the Company’s indirect joint venture, effectively
expanded the financial leasing business around high-quality customers in Bingshan cold and hot
business, boosted the sales of all investment enterprises in Bingshan, speeded up the withdrawal of
funds and improved the cash flow of business activities; Bingshan Wisdom Company, the
Company’s indirect joint venture company, cooperated in the comprehensive utilization of the old
factory area and has achieved remarkable results in the investment promotion at present, and the
remoulding work is proceeding orderly.
§8 Matters related to financial report
8.1 Change in accounting policies, accounting estimates and accounting methods compared with
the financial statements of the previous year
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□Applicable√A Inapplicable
8.2 Correction of major accounting mistakes in the reporting period, which should be retroactively
restated
□Applicable√A Inapplicable
8.3 Explanation on change of consolidation scope in the report period compared with the latest
annual report
√Applicable □Inapplicable
The board of directors of the Company’s subsidiary Wuxin Refrigeration decided to acquire
27.27% equity of Wuhan Lanning Energy Technology Co., Ltd., an original associated Company
of Wuxin Refrigeration. After the transfer, Wuhan Lanning Energy Technology Co., Ltd. became a
subsidiary of Wuxin Refrigeration. As of June 30, 2018, the above equity transaction has been
completed.
Board of Directors of Dalian Refrigeration Co., Ltd.
August 25, 2018
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