Share’s name: Jiangling Motors Share’s code: 000550 No.: 2019-055
Jiangling B 200550
Jiangling Motors Corporation, Ltd.
2019 Third Quarter Report
§1 Important Note
1.1 The Board of Directors and its members, the Supervisory Board and its
members, and the senior executives are jointly and severally liable for the
truthfulness, accuracy and completeness of the information disclosed in
the Report, and confirm that the information disclosed herein does not
contain any false statement, misrepresentation or major omission.
1.2 All Directors were present at the Board meeting in person.
1.3 Chairman Qiu Tiangao, CFO Li Weihua and Chief of Finance Department,
Xie Wanzhao, confirm that the financial statements in this Quarterly Report
are truthful, accurate and complete.
1.4 All financial data in this Quarterly Report are prepared under International
Financial Reporting Standards (‘IFRS’) unless otherwise specified.
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§2 Brief Introduction
2.1 Main accounting data and financial indicators
Unit: RMB’000
At the end of At the end of the Change (%)
reporting period previous year
Total Assets 22,840,343 23,396,529 -2.38%
Shareholder’s equity
Attributable to the Equity 10,507,642 10,384,498 1.19%
Holders of the Company
Beginning of
Reporting
YoY Change year to YoY Change
period end of
(2019 third (%) (%)
reporting
quarter) period
Revenue 6,686,321 13.28% 20,408,275 1.08%
Profit Attributable to the
Equity Holders of the 98,811 198.65% 157,673 -27.93%
Company
Net Cash Generated From
- - 1,283,215 156.06%
Operating Activities
Basic Earnings Per Share
0.11 198.65% 0.18 -27.93%
(RMB)
Diluted Earnings Per Share
0.11 198.65% 0.18 -27.93%
(RMB)
Increase 1.84 Down 0.43
Weighted Average Return on
0.95% percentage 1.51% percentage
Net Asset Ratio (%)
point points
2.2 Total number of shareholders and top ten shareholders at the end of
reporting period
2.2.1 Total number of shareholders and top ten shareholders
JMC had 23,713 shareholders as of September 30, 2019, including 18,476 A-share
Total shareholders
holders and 5,237 B-share holders.
Top ten shareholders
Shares
Shareholding Shares as of Shares with
Shareholder due to
Shareholder Name Percentage September 30, Trading
Type mortgage
(%) 2017 Restriction
or frozen
Nanchang Jiangling
State-owned
Investment Co., 41.03 354,176,000 0 0
legal person
Ltd.
Ford Motor Foreign legal
32.00 276,228,394 0 0
Company person
China Securities Domestic
Corporation Limited non-state-owned 2.72 23,458,066 0 0
legal person
Shanghai
State-owned
Automotive Co., 1.51 13,019,610 0 0
Legal person
Ltd.
2
Harvest
Environmental
Protection Low Other 0.98 8,465,988 0 0
Carbon Stock
Investment Fund
National Social
Security Fund 602 Other 0.91 7,851,964 0 0
Portfolio
Central Huijin State-owned
0.83 7,186,600 0 0
Investment Ltd. Legal person
GAOLING FUND, Foreign legal
0.63 5,453,086 0 0
L.P. person
National Social
Security Fund 504 Other 0.61 5,250,455 0 0
Portfolio
JPMBLSA RE FTIF
TEMPLETON Foreign legal
0.61 5,239,550 0 0
CHINA FUND GTI person
5497
Top ten shareholders holding unlimited tradable shares
Shareholder Name Shares without Trading Share Type
Restriction
Nanchang Jiangling Investment Co.,
354,176,000 A share
Ltd.
Ford Motor Company 276,228,394 B share
China Securities Corporation Limited 23,458,066 A share
Shanghai Automotive Co., Ltd. 13,019,610 A share
Harvest Environmental Protection Low
8,465,988 A share
Carbon Stock Investment Fund
National Social Security Fund 602
7,851,964 A share
Portfolio
Central Huijin Investment Ltd. 7,186,600 B share
GAOLING FUND, L.P. 5,453,086 B share
National Social Security Fund 504
5,250,455 B share
Portfolio
JPMBLSA RE FTIF TEMPLETON
5,239,550 B share
CHINA FUND GTI 5497
Notes on association among
None.
above-mentioned shareholders
Stock buy-back of top ten shareholders or top ten shareholders holding
unlimited tradable shares in the reporting period
□Yes □√No
There was no Stock buy-back of top ten shareholders or top ten shareholders
holding unlimited tradable shares in the reporting period.
2.2.2 Total number of shareholders holding preferred shares and top ten
shareholders holding preferred shares
□Applicable □√Not Applicable
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§3 Major Events
3.1 Causes and explanations of major changes of financial indicators
compared with those of previous reporting period
□√Applicable □Not Applicable
In the first three quarters of 2019, JMC sold 202,201 vehicles in total, down
0.89%, compared with the same period last year; including 67,371 trucks,
40,391 pickups, 38,697 SUVs, 50,971 light buses and 4,771 CKDs. Revenue
and net profit during the reporting period were RMB 20,408 million and RMB
158 million, increase 1.08% and decrease 27.93% respectively compared with
the same period last year.
Distribution costs in the first three quarters of 2019 increased by RMB 362
million, up 49.11% from the same period last year, primarily reflecting the
expense increase for Territory launch.
Other income in the first three quarters of 2019 increased by RMB 56 million,
up 30.02% from the same period last year, primarily reflecting the increase of
government subsidy.
Profit before income tax in the first three quarters of 2019 decreased by RMB
89 million, down 47.37% from the same period last year, primarily reflecting
the change of sales structure and investment on new product, technology and
regulation.
Net cash inflow from operating activities in the first three quarters of 2019
increased by RMB 3,572 million, up 156.06% from the same period last year,
primarily reflecting the payment to suppliers decrease.
Net cash outflow from investing activities in the first three quarters of 2019
increased by RMB 341 million, up 47.50% from the same period last year,
primarily reflecting the investment increase of Fushan Plant.
Net cash outflow from financing activities in the first three quarters of 2019
decreased by RMB 2,245 million, down 98.48% from the same period last
year, primarily reflecting payment of special dividend for the middle of 2017
paid in 2018.
Net increase in cash and cash equivalents at end of the first three quarters of
2019 increased by RMB 5,476 million, up 103.58% from the same period last
year, primarily reflecting the net cash inflow from operating activities increase
and payment of special dividend for the middle of 2017 paid in 2018.
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3.2 Analysis of major events, their impacts and resolutions
□Applicable □√Not Applicable
Progress of Share Repurchase
□Applicable □√Not Applicable
Progress of the implementation of the centralized bidding method to reduce
the share repurchases
□Applicable □√Not Applicable
3.3 Commitments of the Company actual controlling party, the shareholders,
the related parties, the acquirer, or the Company
□Applicable □√Not Applicable
3.4 Forecast on 2019 operating performance
Warning and explanations as to the situation that accumulated net profit during
the period from year beginning to the end of next reporting period may be
negative or, compared with the same period last year, may have a substantial
change
□Applicable □√Not Applicable
3.5 Securities investment
□Applicable □√Not Applicable
There was no securities investment during the reporting period.
3.6 Entrust asset management
□Applicable □√Not Applicable
There was no entrust asset management during the reporting period.
3.7 Securities derivates investment
□Applicable □√Not Applicable
There was no securities derivates investment during the reporting period.
3.8 External research and media interviews with the Company during the
reporting period
□√Applicable □Not Applicable
Date Communication Type of Object Information Discussed and
Method Materials offered
July 11,2019 On-the-spot research Other JMC Operating highlights
July 17,2019 On-the-spot research Institution JMC Operating highlights
3.8. Outside guarantee in breach of laws & regulations
□Applicable □√Not Applicable
There was no outside guarantee in breach of laws & regulations during the
reporting period.
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3.9 Non-operating funding in the Company occupied by controlling shareholder
and its affiliates
□Applicable □√Not Applicable
There was no non-operating funding in the Company occupied by controlling
shareholder and its affiliates.
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§4 Financial Statements
Jiangling Motors Corporation, Ltd.
Consolidated Balance Sheet
(All amounts in RMB thousands unless otherwise stated)
30 September 2019* 31 December 2018
Assets
Non-current assets
Property, plant and equipment 7,138,526 6,941,292
Lease prepayment 589,580 601,260
Intangible assets 309,278 246,026
Deferred income tax assets 800,631 743,096
Investments accounted for using the
39,838 40,112
equity method
Total non-current assets 8,877,853 8,571,786
Current assets
Inventories 2,096,766 2,522,354
Trade and other receivables and
3,886,791 4,678,284
prepayments
Derivative financial instruments - 979
Financial assets at fair value through
155,087 6,246
other comprehensive income
Cash and cash equivalents 7,806,246 7,616,880
Restricted cash 17,600 -
Total current assets 13,962,490 14,824,743
Total assets 22,840,343 23,396,529
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Jiangling Motors Corporation, Ltd.
Consolidated Balance Sheet（continued）
(All amounts in RMB thousands unless otherwise stated)
30 September 2019* 31 December 2018
Equity
Share capital 863,214 863,214
Share premium 816,609 816,609
Other reserves 447,472 447,472
Retained earnings 8,380,347 8,257,203
Total equity 10,507,642 10,384,498
Liabilities
Non-current liabilities
Contract liabilities 59,948 38,382
Borrowings 3,474 3,595
Deferred income tax liabilities 25,506 26,024
Retirement benefit obligations 59,829 63,425
Provisions for statutory warranty 182,163 151,492
Other non-current liabilities 93,280 60,160
Total non-current liabilities 424,200 343,078
Current liabilities
Trade and other payables 11,468,341 12,195,966
Contract liabilities 220,358 266,702
Current income tax liabilities - 179
Borrowings 463 449
Derivative financial instruments 553 -
Retirement benefit obligations 4,595 4,595
Provisions for statutory warranty 214,191 201,062
Total current liabilities 11,908,501 12,668,953
Total liabilities 12,332,701 13,012,031
Total equity and liabilities 22,840,343 23,396,529
* Unaudited financial indexes
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Jiangling Motors Corporation, Ltd.
Consolidated Income Statement
(All amounts in RMB thousands unless otherwise stated)
2019.7.1-2019.9.30* 2018.7.1-2018.9.30* 2019.1.1-2019.9.30* 2018.1.1-2018.9.30*
Revenue from contracts with
customers 6,686,321 5,902,627 20,408,275 20,190,124
Taxes and surcharges (173,476) (151,333) (542,451) (520,125)
Cost of sales (5,498,651) (5,043,969) (17,182,620) (17,321,693)
Gross profit 1,014,194 707,325 2,683,204 2,348,306
Distribution costs (393,404) (284,296) (1,099,279) (737,230)
Administrative expenses (594,892) (619,009) (1,869,477) (1,757,539)
Net expected credit losses on
(725) 1,581 331 663
financial assets
Net impairment losses on
property,plant and equipment - - (3,126) (3,607)
Other income 8,152 (7,877) 243,757 187,483
Operating profit/(loss) 33,325 (202,276) (44,590) 38,076
Finance income 55,591 45,499 148,356 152,153
Finance costs (1,464) (1,349) (4,088) (4,611)
Finance income -net 54,127 44,150 144,268 147,542
Share of profit of investments
accounted for using the equity
method (608) 650 (274) 3,261
Profit before income tax 86,844 (157,476) 99,404 188,879
Income tax credit 11,967 57,312 58,269 29,908
Profit for the period 98,811 (100,164) 157,673 218,787
Profit attributable to:
Shareholders of the Company 98,811 (100,164) 157,673 218,787
Total comprehensive income
for the period 98,811 (100,164) 157,673 218,787
Total comprehensive income
attributable to:
Shareholders of the Company 98,811 (100,164) 157,673 218,787
Earnings per share for profit
attributable to the
shareholders of the Company
for the period
(expressed in RMB per share)
- Basic and diluted 0.11 (0.12) 0.18 0.25
* Unaudited financial indexes
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Jiangling Motors Corporation, Ltd.
Consolidated cash flow statement
(All amounts in RMB thousands unless otherwise stated)
2019.1.1-2019.9.30* 2018.1.1-2018.9.30*
Cash flows from operating activities
Cash generated from operations 1,283,538 (2,191,311)
Interest paid (150) (151)
Income tax paid (173) (97,410)
Net cash inflow/(outflow) from operating activities 1,283,215 (2,288,872)
Cash flows from investing activities
Payment for property, plant and equipment ("PPE") (1,242,287) (869,822)
Purchase of financial assets at fair value through profit or loss (6,500,000) (6,703,000)
Other cash paid relating to investing activities (10,205) (15,447)
Proceeds from disposal of PPE 3,000 2,179
Proceeds from disposal of financial assets at fair value
through profit or loss 6,500,000 6,703,000
Investment income from financial assets at fair value through
profit or loss 31,185 14,195
Interest received 155,742 146,676
Other cash received from investing activities 3,463 4,169
Net cash outflow from investing activities (1,059,102) (718,050)
Cash flows from financing activities
Repayments of borrowings (220) (207)
Dividends paid to shareholders of the Company (34,508) (2,278,417)
Other cash paid relating to financing activities (19) (1,260)
Net cash outflow from financing activities (34,747) (2,279,884)
Net increase/(decrease) in cash and cash equivalents 189,366 (5,286,806)
Cash and cash equivalents at beginning of year 7,616,880 11,137,723
Effects of exchange rate changes - -
Cash and cash equivalents at end of period 7,806,246 5,850,917
* Unaudited financial indexes
Board of Directors
Jiangling Motors Corporation, Ltd.
October 23, 2019
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