Share’s name:
Jiangling Motors
Share’s code:
000550
No.:
2009-009
Jiangling B
200550
Jiangling Motors Corporation, Ltd.
2009 First 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 undertake that the information disclosed
herein does not contain false statements, misrepresentations or major omissions.
1.2 The Directors, Supervisors, and Senior Management undertake and have no objection to the truthfulness, accuracy and completeness
of the contents of the First Quarter Report.
1.3 Approval of this report was obtained by a paper meeting. Director Mei Wei Cheng authorized Vice Chairman Robert J. Graziano to
represent him and approve on his behalf. All other directors signed the resolution of this meeting.
1.4 The financial statements in this Quarterly Report are not audited.
1.5 Chairman Wang Xigao, President Yuan-Ching Chen, CFO Joseph Verga and Chief of Finance Department, Wu Jiehong, confirm that
the financial statements in this Quarterly Report are truthful and complete.
1.6 All financial data in this Quarterly Report are prepared under International Financial Reporting Standards (“IFRS”) unless
otherwise specified.
1§2 Brief Introduction
2.1 Main accounting data and financial indicators
Unit: RMB’000
At the end of reporting period
At the end of the previous year
Change (%)
Total assets
6,544,926
5,963,778
9.74
Shareholder’s equity
4,232,146
4,050,382
4.49
Share Capital
863,214
863,214
0
Net Assets Per Share Attributable to the Equity Holders of the Company (RMB)
4.90
4.69
4.49
Reporting period
Same period last year
Change (%)
Revenue
2,157,827
2,111,094
2.21
Profit Attributable to the Equity Holders of the Company (RMB)
181,764
192,885
-5.77
Net cash generated from operating activities
1,105,647
-3,406
32561.74
Net cash per share generated from operating activities (RMB)
1.28
-0.004
32561.74
Basic earnings per share (RMB)
0.21
0.22
-5.77
Diluted earnings per share (RMB)
0.21
0.22
-5.77
Return on Net Asset Ratio (%)
4.29
5.19
Down 0.90 percentage points
22.2 Total number of shareholders and top ten shareholders holding unlimited tradable shares at the end of
reporting period
Total shareholders at the end of reporting period
JMC had 30,663 shareholders, including 20,548 A-share holders and 10,115 B-share holders, as of March 31,
2009.
Top ten shareholders holding unlimited tradable shares
Name
Shares as of March 31, 2009
Type of share
Ford Motor Company
258,964,200
B share
Jiangling Motor Holding Co., Ltd. (“JMH”)
86,321,400
A share
Shanghai Automotive Co., Ltd.
17,692,500
A share
Bosera Thematic Sector Equity Securities Investment Fund
14,000,000
A share
ChinaAMC Dividend Securities Investment Fund
13,891,504
A share
Bosera Emerging Growth Securities Investment Fund
10,045,151
A share
Dragon Billion China Master Fund
9,775,590
B share
National Social Security Fund- Portfolio 102
4,476,400
A share
Lion Wealth Increase Stock Investment Fund
4,455,000
A share
Penghua Value Advantage Securities Investment Fund
4,099,690
A share
§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 quarter of 2009, JMC sold 24,251 vehicles, including 9,309 JMC-brand trucks, 7,965 JMC-brand
pickups and SUVs, and 6,977 Ford-brand commercial vehicles. Total sales volume was up 2% from the same period
last year. Under IFRS, revenue and net profit in the reporting period was RMB 2,157 million and RMB 182
million, up 2.21% and down 5.77% respectively from the same period last year.
In the first quarter of 2009, JMC achieved 22% gross profit margin, down 3.7 percentage points from the
same period last year. This profit margin decrease is primarily explained by higher raw material cost compared
with the same period last year and price reduction for Euro II Pickup in the Fourth Quarter of 2008.
Cash and cash equivalents at the end of the reporting period were increased by RMB 1.01 billion, up 67%
from the end of 2008, and net cash generated from operating activities in the reporting period increased by RMB
1.1 billion compared with the same period last year, primarily reflecting record sales in March 2009, reduction
of receivables and inventories, and increases in account & bills payables to suppliers and tax payable to tax
authorities.
33.2 Analysis of major events, their impacts and resolutions
□Applicable □√Not Applicable
3.3 Implementation of commitments made by the Company, shareholders or actual controlling parties
Item
Commitments’ Content
Implementation of commitments
Share reform
*
In the reporting period, JMH exercised its commitments sincerely and did not breach the promise.
Shares trading restriction
None
N/A
Acquisition report or Statement of changes in equity
None
N/A
Major asset restructuring
None
N/A
Initial Public Offering
None
N/A
Other commitments (including additional commitments)
None
N/A
*JMH, which holds 41.03% of JMC total shares, issued letters of commitment, and declared and promised the
following:
(1)
according to the requirements of Rules on Implementing the Full Tradable Share Reform of the Listed
Companies, legal commitments will be fulfilled in accordance with provisions of the stock exchange rules,
regulations and laws;
(2)
the promisor ensures that it will compensate losses resulting from partial or complete non-fulfillment of
its promises to other shareholders; and
(3)
the promisor will fulfill its commitments faithfully and accept relevant legal responsibility, and it will
not transfer its shares unless the transferee agrees and accepts liability to undertake the responsibility of
the promise.
JMH promises specifically to pay the consideration on behalf of the unlisted-share holders who opposed the
Share Reform or did not express their opinions. The above-mentioned unlisted-share holders should repay the
consideration paid by JMH and the interest, or obtain written consent from JMH, if they want to list their
shares.
3.4 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
43.5 Explanations on other major events
3.5.1 Securities Investments
□Applicable □√Not Applicable
3.5.2 External research and media interview to the Company in the reporting period
Date
Place
Communication Method
Object
Information discussed and sources offered
February 27, 2009
In the Company
Oral Communication
Three analysts from China Asset Management Co., Ltd., Haitong Securities Company Limited, China Universal
Asset Management Co., Ltd.
JMC Operating highlights
March 5, 2009
In the Company
Oral Communication
An analyst from Orient Securities Company Limited
JMC Operating highlights
March 11, 2009
In the Company
Oral Communication
Three analysts from China Asset Management Co., Ltd., Everbright Securities Co., Ltd.
JMC Operating highlights
March 13, 2009
In the Company
Oral Communication
An analyst from China International Capital Corporation Limited.
JMC Operating highlights
March 19, 2009
In the Company
Oral Communication
Five analysts from E Fund Management Co., Ltd., China Post & Capital Fund Management Co., Ltd., GF
Securities Co., Ltd., Fullgoal Fund Management Co., Ltd., Donghai Securities Co., Ltd.
JMC Operating highlights
3.5.3 Explanations on other major events
□Applicable □√Not Applicable
Board of Directors
Jiangling Motors Corporation, Ltd.
April 24, 2009
5Appendix
Jiangling Motors Corporation, Ltd.
Consolidated Balance Sheet
March 31, 2009
(Prepared under International Financial Reporting Standards)
31 March 2009*
31 December 2008
RMB’000
RMB’000
ASSETS
Non-current assets
Property, plant and equipment
2,365,479
2,362,871
Lease prepayment
289,285
290,916
Intangible assets
33,694
35,680
Investments in associates
17,467
16,136
Other non-current assets
267
300
Deferred income tax assets
96,273
105,233
2,802,465
2,811,136
Current assets
Inventories
870,983
1,057,873
Trade and other receivables
352,496
583,161
Cash and cash equivalents
2,518,982
1,511,608
3,742,461
3,152,642
Total assets
6,544,926
5,963,778
EQUITY
Capital and reserves attributable the Company’s equity holders
Share capital
863,214
863,214
Share premium
816,609
816,609
Other reserves
457,650
457,650
Retained earnings
2,094,673
1,912,909
4,232,146
4,050,382
Minority interests in equity
106,949
100,708
Total equity
4,339,095
4,151,090
LIABILITIES
Non-current liabilities
Borrowings
8,058
8,056
Retirement benefits obligations
68,848
72,602
Warranty provisions
104,440
99,079
181,346
179,737
Current liabilities
Trade and other payables
1,969,441
1,580,530
Current income tax liabilities
6,292
-
Borrowings
35,448
39,117
Retirement benefits obligations
13,304
13,304
2,024,485
1,632,951
Total liabilities
2,205,831
1,812,688
Total equity and liabilities
6,544,926
5,963,778
*: Unaudited financial indexes 6Jiangling Motors Corporation, Ltd.
Consolidated Income Statement
2009 First quarter
(Prepared under International Financial Reporting Standards)
2009 first quarter*
2008 first quarter*
RMB’000
RMB’000
Revenue
2,157,827
2,111,094
Sales tax
(37,199)
(37,042)
Cost of sales
(1,682,166)
(1,568,485)
Gross profit
438,462
505,567
Distribution costs
(126,145)
(181,072)
Administrative expenses
(93,970)
(101,324)
Other income/(loss)
(205)
1,910
Operating profit
218,142
225,081
Finance income
12,600
12,556
Finance costs
(1,007)
(700)
Finance income-net
11,593
11,856
Share of profit of associates
1,331
1,940
Profit before income tax
231,066
238,877
Income tax expense
(43,061)
(42,882)
Profit for the period
188,005
195,995
Attributable to:
Equity holders of the Company
181,764
192,885
Minority interest
6,241
3,110
188,005
195,995
Earnings per share for profit attributable to the equity holders of the Company
(expressed in RMB per share)
- Basic and diluted
0.21
0.22
*: Unaudited financial indexes
78
Jiangling Motors Corporation, Ltd.
Consolidated cash flow statement
2009 First Quarter
(Prepared under International Financial Reporting Standards)
2009 first quarter*
2008 first quarter*
RMB’000
RMB’000
Cash flows from operating activities
Cash generated from operations
1,106,154
17,455
Interest paid
(507)
(587)
Income tax paid
-
(20,274)
Net cash generated from operating activities
1,105,647
(3,406)
Cash flows from investing activities
Purchase of property, plant and equipment (“PPE”)
(115,118)
(135,676)
Proceeds from disposal of PPE
79
1,083
Interest received
13,714
13,709
Dividends received
6,944
-
Net cash used in investing activities
(94,381)
(120,884)
Cash flows from financing activities
Proceeds from borrowings
35,000
7,106
Repayments of borrowings
(38,678)
(12,106)
Dividends paid to Company’s shareholders
-
(43)
Other cash paid relating to financing activities
(95)
(87)
Net cash used in financing activities
(3,773)
(5,130)
Net increase/ (decrease) in cash and cash equivalents
1,007,493
(129,420)
Cash and cash equivalents at beginning of year
1,511,608
2,106,912
Effects of exchange rate changes
(119)
(82)
Cash and cash equivalents at end of period
2,518,982
1,977,410
*: Unaudited financial indexes
