Stock Abbr.: BOE B Stock Code: 200725 Announcement No.: 2012-008
BOE TECHNOLOGY GROUP CO., LTD.
REPORT FOR THE FIRST QUARTER OF 2012
§1 Important Notice
1.1 The Board of Directors, the Supervisory Committee, as well as directors,
supervisors and senior executives of BOE Technology Group Co., Ltd. (hereinafter
referred to as “the Company”) guarantee that this report does not contain any false
information, misleading statement or material omission and will take individual
and/or joint liabilities for the factuality, accuracy and completeness of this report.
1.2 Financial statements for the first quarter of 2012 have not been audited by an
accounting firm.
1.3 Mr. Wang Dongsheng, Chairman of the Board, Mr. Chen Yanshun, President of
the Company, Ms. Sun Yun, Chief Financial Officer of the Company, as well as Ms.
Yang Xiaoping who is in charge of the Planning & Financing Department, hereby
confirm that the financial statements enclosed in the quarterly report are factual and
complete.
[English Translation for Reference Only. Should there be any discrepancy between the
two versions, the Chinese version shall prevail.]
§2 Company Profile
2.1 Main accounting data and financial indices
Unit: RMB Yuan
Increase/decrease
31 Mar. 2012 31 Dec. 2011
(%)
Total assets (Yuan) 66,199,967,494 68,769,415,646.00 -3.74%
Owners’ equity attributable to shareholders of the
25,074,364,454 25,585,892,264.00 -2.00%
Company (Yuan)
Share capital (share) 13,521,542,341 13,521,542,341.00 -
Net assets per share attributable to shareholders
1.89 -2.12%
of the Company (Yuan/share) 1.85
Increase/decrease
Jan.-Mar. 2012 Jan.-Mar. 2011
(%)
Gross revenue (Yuan) 4,147,641,280 1,969,646,222.00 110.58%
Net profit attributable to shareholders of the
-494,562,773 -674,781,964.00 26.71%
Company (Yuan)
Net cash flows from operating activities (Yuan) -44,245,959.00 -366,268,678.00 87.92%
Net cash flows per share from operating
-0.003 -0.033 90.91%
activities (Yuan/share)
Basic EPS (Yuan/share) -0.037 -0.050 26.00%
Diluted EPS (Yuan/share) -0.037 -0.050 26.00%
Weighted average ROE (%) -1.95% -2.74% 0.79%
Weighted average ROE after deducting
-2.13% -2.81% 0.68%
non-recurring gains and losses (%)
Note: Due to the Company implemented the Plan on Capitalization of Capital
Reserves in Jun. 2011, the basic EPS and diluted EPS for the same period of last year
shall be restated with the same range in accordance with relevant regulations.
Items of non-recurring gains and losses
√Applicable □Inapplicable
Unit: RMB Yuan
Items of non-recurring gains and losses Amount from 1 Jan. 2012 Notes (if
1
to 31 Mar. 2012 applicable)
Gains and losses from disposal of non-current assets 136,303.00
Government subsidies recorded into current gains and losses,
excluding those related closely to the routine business of the Company
56,865,424.00
and continuously enjoyed by the Company at fixed amounts or ratios
according to state policies and regulations
Other non-operating incomes and expenses 2,598,853.00
Total 59,600,580 .00 -
2.2 Total number of shareholders and shares held by the top ten shareholders not
subject to trading moratorium at the end of the reporting period
Unit: share
Total number of shareholders at the end of the 486,752, of which 446,254 were A-share holders and 40,498 were
reporting period B-share holders
Shares held by the top ten shareholders not subject to trading moratorium
Shares not subject to trading moratorium
Full name of shareholder Type of share
held at the period-end
Beijing BOE Investment & Development Co.,
860,981,080 RMB ordinary shares
Ltd.
Beijing Economic-Technological Investment &
847,650,000 RMB ordinary shares
Development Corp.
Hefei Rongke Project Investment Co., Ltd. 792,000,000 RMB ordinary shares
Beijing E-TOWN International Investment &
700,000,001 RMB ordinary shares
Development Co., Ltd.
Beijing Jiahui Dexin Investment Center (limited
600,000,000 RMB ordinary shares
partnership)
Beijing Industry Development & Investment
442,016,711 RMB ordinary shares
Management Co., Ltd.
Beijing Electronics Holdings Co.,Ltd. 275,303,883 RMB ordinary shares
Southwest Securities Co., Ltd. 241,012,010 RMB ordinary shares
Sinotrans Air Transportation
120,000,000 RMB ordinary shares
Development Co., Ltd.
Ke Xiping 86,144,458 RMB ordinary shares
§3 Significant Events
3.1 Significant changes in main accounting statement items and financial indicators as
well as reasons for these changes
√Applicable □Non-applicable
1. Notes receivable increased 64% over the end of last year, which was mainly
because some receivables from customers were paid with notes.
2. Interest receivable decreased 35% over the end of last year, which was mainly
because fixed term deposits decreased.
3. Other current assets increased 233% over the end of last year, which was mainly
because the deductible amount of VAT increased.
4. Other current liabilities decreased 40% over the end of last year, which was mainly
because the product quality guarantee deposits pre-withdrawn in previous years were
written off as the products were sold.
5. Operating revenue increased 111% over the same period of last year, which was
mainly because the new project realized phasic mass production and the capacity of
production lines increased.
6. Operating cost increased 88% over the same period of last year, which was mainly
because the operating revenue increased.
7. Selling expense increased 70% over the same period of last year, which was mainly
because the sales increased.
8. Financial expense increased 54% over the same period of last year, which was
mainly because interest expense increased.
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9. Asset impairment loss increased 249% over the same period of last year, which was
mainly because the Company made impairment provisions for inventories and other
assets according to the smaller amount between the cost and the net realizable value.
10. Non-operating income increased 219% over the same period of last year, which
was mainly because deferred income was transferred to non-operating income in
stages according to the progress of projects.
11. Net cash flows from operating activities increased 88% over the same period of
last year, which was mainly because the product structure was adjusted and the
production & sales increased.
12. Net cash flows from investing activities increased 70% over the same period of
last year, which was mainly because the new project proceeded from the construction
stage to the operation stage and the expense on construction and equipment purchase
decreased.
13. Net cash flows from financing activities decreased 87% over the same period of
last year, which was mainly because the new project proceeded from the construction
stage to the operation stage and the financing cash inflows from special borrowings
decreased.
3.2 Progress of significant events as well as their influence and solutions
3.2.1 Non-standard audit opinion
□Applicable √Inapplicable
3.2.2 The Company provides funds for the controlling shareholder or its related
parties or provides external guarantees in violation of the prescribed procedure
□Applicable √Inapplicable
3.2.3 Significant contracts signed and executed concerning routine operation
□Applicable √Inapplicable
3.2.4 Other
□Applicable √Inapplicable
3.3 Fulfillment of commitments made by the Company, its shareholders and actual
controller
Commitments made by the Company, its directors, supervisors, senior executives,
shareholders holding over 5% of the Company’s shares, actual controller and other
related parties in the reporting period, or such commitments carried down into the
reporting period
□Applicable √Inapplicable
3.4 Warnings of possible losses or large-margin year-on-year change of the
accumulative net profit made during the period from the beginning of the year to the
end of the next reporting period according to prediction, as well as explanations on the
reasons
√Applicable □Inapplicable
Business performance forecast Loss
From the year-begin to the end Same period of last
Increase/decrease (%)
of the next reporting period year
Expected accumulative net
-90,000 -- -80,000 -121,548 -- --
profit (RMB Ten thousand)
Basic EPS (RMB Yuan/share) -0.07 -- -0.06 -0.09 -- --
1、The prices of main products has been rebounding a little bit but still low since the
arrival of 2012; The G8.5 TFT-LCD line will cause certain losses as its capacity is still
Explanation about the in the climbing period;
performance forecast 2、the adjustment of products structure and raw materials cost control have shown
positive results, and the marketing competitiveness of products have been
significantly improved. It is estimated that the operation performance of the first half
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year of 2012 will continue ameliorate year-to-year.
3.5 Other significant events that need to be explained
3.5.1 Securities investments
□Applicable √Inapplicable
3.5.2 Researches, interviews and visits received in the reporting period
Main discussion and
information
Time Place Way of reception Type of visitor Visitor
provided by the
Company
Conference Room
9 Jan. 2012 Field research Institution Azentus Capital
of the Company
Longzhong
Conference Room
11 Jan. 2012 Field research Institution Investment, CITIC
of the Company
Securities Co., Ltd.
Daiwa Securities Main discussion:
Co., Ltd., Daiwa 1. Operation of the
18 Jan. 2012 By phone By phone Institution
Securities (H.K.) Company and its
Co., Ltd. future development
BOC International strategy;
7 Feb. 2012 By phone By phone Institution
(China) Limited 2. Current status and
YCT Investment development trends
16 Feb. 2012 By phone By phone Institution Management Co., in the industry;
Ltd. 3. Particulars about
Daiwa Securities the Chengdu 4.5G
Conference Room Co., Ltd., Beijing Production Line,
24 Feb. 2012 Field research Institution
of the Company Office of Daiwa Beijing 5G
Securities Co., Ltd. Production Line,
2 Mar. 2012 By phone By phone Institution Citibank Hongkong Hefei 6G Production
6 Mar. 2012 By phone By phone Institution Huatai Securities Line, Beijing 8.5G
Conference Room Fino wave Production Line and
7 Mar. 2012 Field research Institution
of the Company investments Ordos 5.5G
Conference Room AMOLED
8 Mar. 2012 Field research Institution Dacheng Fund
of the Company Production Line;
Conference Room
9 Mar. 2012 Field research Institution Yinhua Fund Materials provided:
of the Company
Shanghai Office of The 2010 Annual
Merrill Lynch Report, the brochure
Securities Co., Ltd., of the Company and
16 Mar. 2012 Ritz-Carlton Hotel Field research Institution Merrill Lynch (Asia other materials
Pacific) Limited, available for public
Cephei capital、 access
Mitsubishi UFJ
Conference Room Everbright
19 Mar. 2012 Field research Institution
of the Company Securities Co., Ltd.
Sylebra Capital
20 Mar. 2012 By phone By phone Institution
Management
3.6 Derivatives investments
□Applicable √Inapplicable
3.6.1 Derivatives investments held at the end of the reporting period
□Applicable √Inapplicable
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