FIRST QUARTER REPORT 2018
April 2018
BOE Technology Group Co., Ltd. First Quarter Report 2018
Part I Important Notes
The Board of Directors (or the “Board”), the Supervisory Board as well as the Directors,
Supervisors and senior management of BOE Technology Group Co., Ltd. (inclusive of its
consolidated subsidiaries, the “Company”; exclusive of its subsidiaries, the “Parent
Company”, except where the context otherwise requires) hereby guarantee the factuality,
accuracy and completeness of the contents of this Report, and shall be jointly and severally
liable for any misrepresentations, misleading statements or material omissions in this Report.
All the Company’s Directors have attended the Board meeting for the review of this Report.
Mr. Wang Dongsheng, the Company’s legal representative, Mr. Chen Yanshun, President of
the Execution Committee (Chief Executive Officer) of the Company, Ms. Sun Yun, the
Company’s Chief Financial Officer, and Ms. Yang Xiaoping, head of the Company’s financial
department (equivalent to financial manager) hereby guarantee that the Financial Statements
carried in this Report are factual, accurate and complete.
This Report has been prepared in both Chinese and English. Should there be any
discrepancies or misunderstandings between the two versions, the Chinese version shall
prevail.
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Part II Key Corporate Information
I Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
Item January-March 2018 January-March 2017 Change
Sales revenue (RMB) 21,566,813,037.00 21,854,974,362.00 -1.32%
Net income attributable to shareholders of 2,018,692,554.00 2,413,015,650.00 -16.34%
the listed company (RMB)
Net income attributable to shareholders of 973,191,629.00 2,301,442,129.00 -57.71%
the listed company before nonrecurring
gains and losses (RMB)
Net cash flows from operating activities
7,198,088,816.00 6,216,049,821.00 15.80%
(RMB)
Basic earnings per share (RMB/share) 0.058 0.069 -15.94%
Diluted earnings per share (RMB/share) 0.058 0.069 -15.94%
Weighted average return on equity (%) 2.35% 3.02% -0.67%
Item March 31, 2018 December 31, 2017 Change
Total assets (RMB) 262,729,417,350.00 256,108,741,849.00 2.59%
Equity attributable to shareholders of the
86,611,338,154.00 84,809,816,377.00 2.12%
listed company (RMB)
Nonrecurring gains and losses:
√ Applicable □ Not applicable
Unit: RMB
Item January-March 2018 Note
Gains and losses on disposal of non-current assets (inclusive of offset allowance for
2,268,256.00 N/A
asset impairments)
Tax rebates, reductions and exemptions with ultra vires approval or in lack of duly
0.00 N/A
approved document
Government subsidies charged to current profit and loss (exclusive of government
subsidies given in the Company’s ordinary course of business at fixed quotas or 1,061,024,730.00 N/A
amounts as per government’s uniform standards )
Capital occupation charges on non-financial enterprises that are charged to current
0.00 N/A
gains and losses
Income equal to the amount by which investment costs for the Company to obtain 0.00 N/A
3
BOE Technology Group Co., Ltd. First Quarter Report 2018
subsidiaries, associates and joint ventures are lower than the Company’s enjoyable
fair value of identifiable net assets of investees when making investments
Gains and losses on non-monetary asset swap 0.00 N/A
Gains and losses on investment or asset management entrustments to other entities 0.00 N/A
Allowance for asset impairments due to acts of God such as natural disasters 0.00 N/A
Gains and losses on debt restructuring 0.00 N/A
Restructuring costs in staff arrangement, integration, etc. 0.00 N/A
Gains and losses on over-fair value amount as a result of transactions with
0.00 N/A
distinctly unfair prices
Current gains and losses on subsidiaries acquired through business mergers under
0.00 N/A
same control from period-beginning to merger dates, net
Gains and losses on contingencies that do not arise in the Company’s ordinary
0.00 N/A
course of business
Gains and losses on changes in fair value of trading financial assets and liabilities
& investment income from disposal of trading financial assets and liabilities and
93,646,189.00 N/A
available-for-sale financial assets (exclusive of effective portion of hedges that
arise in the Company’s ordinary course of business)
Reversed portion of impairment allowance for accounts receivable which are tested
67,880.00 N/A
individually for impairment
Gains and losses on loan entrustment 0.00 N/A
Gains and losses on fair value changes in investment property of which subsequent
0.00 N/A
measurement is carried out using fair value method
Effects of all adjustments required by taxation, accounting and other applicable
0.00 N/A
laws and regulations on current gains and losses
Income from charges on entrusted management 0.00 N/A
Non-operating income and expense other than above 7,239,099.00 N/A
Other gains and losses that meet definition of nonrecurring gain/loss 0.00 N/A
Less: Income tax effects 62,318,035.00 N/A
Non-controlling interests effects (net of tax) 49,577,969.00 N/A
Total 1,052,350,150.00 --
Explanation of why the Company classifies an item as a nonrecurring gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Nonrecurring Gains and
Losses, or reclassifies any nonrecurring gain/loss item listed in the said explanatory announcement as a recurring gain/loss:
□ Applicable √ Not applicable
No such cases for the Reporting Period.
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BOE Technology Group Co., Ltd. First Quarter Report 2018
II Total Number of Shareholders and Top 10 Shareholders’ Holdings at Period-End
1. Numbers of Common Shareholders and Preferred Shareholders with Resumed Voting Rights as well as
Holdings of Top 10 Shareholders
Unit: share
Common shareholders at period-end 1,313,406 (including 1,275,197 A-share holders and 38,209 B-share holders)
Top 10 shareholders
Shareholding Pledged or frozen shares
Nature of percentage at Restricted
Name of shareholder Shares
shareholder period-end shares Status Shares
(%)
Beijing State-owned Capital State-owned
Operation and Management juridical 11.68% 4,063,333,333 0 N/A 0
Center person
Chongqing Ezcapital State-owned
Opto-electronics Industry juridical 7.62% 2,653,000,041 0 N/A 0
Investment Co., Ltd. person
State-owned
Hefei Jianxiang Investment
juridical 7.21% 2,510,142,953 0 N/A 0
Co., Ltd.
person
State-owned
Beijing Yizhuang Investment
juridical 3.57% 1,241,423,641 0 N/A 0
Holdings Limited
person
State-owned
Beijing BOE Investment &
juridical 2.36% 822,092,180 0 N/A 0
Development Co., Ltd.
person
National Social Security Fund
Other 1.27% 440,893,536 0 N/A 0
Portfolio 108
Hong Kong Securities Clearing
Other 1.01% 350,950,718 0 N/A 0
Company Ltd.
Beijing Electronics Holding On behalf of
Co., Ltd. the 0.79% 273,735,583 0 N/A 0
government
Central Huijin Asset
Other 0.71% 248,305,300 0 N/A 0
Management Co., Ltd.
National Social Security Fund
Other 0.69% 239,271,500 0 N/A 0
Portfolio 101
Top 10 non-restricted shareholders
Name of shareholder Non-restricted shares held at period-end Type of shares
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Type Shares
Beijing State-owned Capital Operation and RMB common
4,063,333,333 4,063,333,333
Management Center stock
Chongqing Ezcapital Opto-electronics RMB common
2,653,000,041 2,653,000,041
Industry Investment Co., Ltd. stock
RMB common
Hefei Jianxiang Investment Co., Ltd. 2,510,142,953 2,510,142,953
stock
Beijing Yizhuang Investment Holdings RMB common
1,241,423,641 1,241,423,641
Limited stock
Beijing BOE Investment & Development RMB common
822,092,180 822,092,180
Co., Ltd. stock
National Social Security Fund Portfolio 108 RMB common
440,893,536 440,893,536
stock
Hong Kong Securities Clearing Company RMB common
350,950,718 350,950,718
Ltd. stock
Beijing Electronics Holding Co., Ltd. RMB common
273,735,583 273,735,583
stock
RMB common
Central Huijin Asset Management Co., Ltd. 248,305,300 248,305,300
stock
National Social Security Fund Portfolio 101 RMB common
239,271,500 239,271,500
stock
1. Beijing State-owned Capital Operation and Management Center held 100%
equities of Beijing Electronics Holdings Co., Ltd.
2. Beijing Electronics Holdings Co., Ltd. held 66.25% equities of Beijing BOE
Investment & Development Co., Ltd. and was its controlling shareholder.
3. After the non-public issuing of BOE in 2014, Hefei Jianxiang Investment Co., Ltd.
and Chongqing Capital Photoelectricity Investment Co., Ltd., by entering into
Implementation Protocol of Voting Right respectively, agreed to maintain all of the
shares held by them respectively unanimous with Beijing BOE Investment &
Development Co., Ltd. when executing the voting rights of the shareholders.
Related or acting-in-concert parties among
4. After the non-public issuing of the Company in 2014, Beijing State-owned Capital
shareholders above
Operation and Management Center handed over 70% of the shares directly held by it
to Beijing Electronics Holdings Co., Ltd. for management through Stock
Management Protocol, and Beijing Electronics Holdings Co., Ltd. gained the
incidental shareholders’ rights except for disposing right and usufruct of the shares,
of which the rest 30% voting right maintained unanimous with Beijing Electronics
Holdings Co., Ltd. through the agreement according to Implementation Protocol of
Voting Right.
5. Except for relationship among the above shareholders, the Company is not aware
of whether the other top ten shareholders exist associated relationship or not, or they
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BOE Technology Group Co., Ltd. First Quarter Report 2018
are persons acting in concert or not.
Shareholders conducting securities margin
N/A
trading (if any)
Indicate by tick mark whether any of the top 10 common shareholders or the top 10 non-restricted common shareholders of the
Company conducted any promissory repo during the Reporting Period.
□ Yea √ No
No such cases in the Reporting Period.
2. Number of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Part III Significant Events
I Changes in Selected Financial Statement Items and Explanation of why
√ Applicable □ Not applicable
1. Intangible assets as of March 31, 2018 increased 70% compared to December 31, 2017, primarily driven by the business mergers
during the Reporting Period (January-March 2018).
2. Goodwill as of March 31, 2018 increased 268% compared to December 31, 2017, primarily driven by the business mergers during
the Reporting Period.
3. Short-term borrowings as of March 31, 2018 decreased 30% compared to December 31, 2017, primarily driven by the repayment
of certain bank loans in the Reporting Period.
4. Interest payable as of March 31, 2018 decreased 82% compared to December 31, 2017, primarily driven by the payment of interest
on bonds and loans during the Reporting Period.
5. Deferred income as of March 31, 2018 increased 264% compared to December 31, 2017, primarily because the debt forgiveness
received during the Reporting Period was considered governmental subsidies associated with assets and was thus recognized in
deferred income.
6. Deferred income tax liabilities as of March 31, 2018 increased 59% compared to December 31, 2017, primarily driven by the
business mergers during the Reporting Period.
7. Asset impairment losses went down 54% during the Reporting Period (January-March 2018) compared to the same period of last
year (January-March 2017), primarily driven by a decrease in the inventory valuation allowance recorded for the Reporting Period
according to the lower of cost and net realizable value.
8. Investment income went up 1434% during the Reporting Period compared to the same period of last year, primarily driven by the
increase in income from investments in bank’s wealth management products during the Reporting Period.
9. Other income went up 700% during the Reporting Period compared to the same period of last year, primarily driven by the
increase in governmental subsidies during the Reporting Period.
II Progress, Influence and Solutions Associated with Significant Events
√ Applicable □ Not applicable
1. The Company respectively published Pre-announcement on Reducing the Shares Held by Shareholders owning 5% or above Shares
(No. 2017-061) and Pre-announcement on Reducing the Shares Held by Shareholders owning 5% or above Shares (No. 2017-062) on
November 22, 2017 and November 25, 2017. The Company’s shareholder Hefei Jianxiang Investment Co., Ltd. and Chongqing Capital
Optoelectronics Industry Investment Co., Ltd. were expected to reduce their holding shares no more than 1.00% of the company’s
general capital by means of the centralized bidding within 3 months after 15 business days upon the disclosure of such announcements.
Up to January 15, 2018 and January 19, 2018, the above shareholders completed their reducing of holding shares.
2. On June 17, 2017, the Company issued Announcement on Purchasing Shares of SES-imagotag (NO.: 2017-036), the Company
proposed to assign its wholly-owned subsidiary on its behalf to purchase more than 50.01% shares of SES and consolidate SES’s
financial statements together with the joint-venture company SPV established by the Company and the investment platform designated
by the SES management. Up to March 16, 2018, SPV purchased 10,789,186 shares from SES in total by means of block trading and
comprehensive offer, occupying 79.94% of SES’s issued and outstanding shares, paid the total consideration Euros 323,675,580.
Please refer to Announcement on Completing the Purchase of SES-imagotag Shares (NO.: 2018-017) issued on March 17, 2018 for
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BOE Technology Group Co., Ltd. First Quarter Report 2018
detailed information.
3. BOE Technology (HK) Limited, one of the Company’s wholly-owned subsidiaries, filed a lawsuit before the Beijing High People’s
Court over a disputed sales contract against LeTV Mobile Intelligent Information Technology (Beijing) Co., Ltd. (hereinafter referred
to as “LeTV Mobile”), LeTV Holdings (Beijing) Co., Ltd., Le Sai Mobile Technology (Beijing) Co., Ltd. and Mr. JiaYueting for
approximately USD 41.84 million in total. The court issued the Case Acceptance Notice and the Civil Ruling for property preservation
respectively on July 6, 2017 and July 31, 2017. The jurisdiction objection put forward by LeTV Mobile was rejected by the court, and
has instituted an appeal on the ruling of such jurisdiction objection to the Supreme People’s Court. Now, the absolute decree of the
Supreme People’s Court is pending. As for relevant receivables of this lawsuit, the Company has made relevant bad debt provision
according to accounting standard. This case is now waiting for the court’s trial. Therefore, its effects on the Company are uncertain.
4. The public corporate bonds (Phase 1) of BOE Technology Group Co., Ltd. in 2016 issued to qualified investors by BOE from March
21 to March 22, 2016 reach one year on March 21, 2017. The interest shall be settled once a year within interest accrual period based on
the regulations. On March 16, 2018, BOE disclosed “16BOE01” 2017 Announcement of Interest Settlement (No.: 2018-016),
specifying that the interest of 10 bonds is RMB31.5 (tax included).
Summary of significant event Disclosure date Index to related announcement
Announcement on Investment in Construction of Chongqing 6th
Generation AMILED (flexible) Production Line and on Related 03/09/2018 www.cninfo.com.cn
Transactions
Announcement on Investment in Construction of Production Line www.cninfo.com.cn
03/09/2018
for Wuhan Gaoshidai TFT-LCD and Its Matching Projects
Announcement on Investment in BOE (Suzhou) Industrial Park 03/09/2018 www.cninfo.com.cn
III Commitments that the Company’s Actual Controller, Shareholders, Related Parties and
Acquirers, as well as the Company and Other Commitment Makers, Failed to Fulfill on Time
during Reporting Period
□ Applicable √ Not applicable
No such cases in the Reporting Period.
IV Operating Result Forecast for January-June 2018
Warning of a forecast loss on or a forecast significant year-over-year change in net income for January-June 2018, as well as
explanation of why:
□ Applicable √ Not applicable
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BOE Technology Group Co., Ltd. First Quarter Report 2018
V Securities Investments
√ Applicable □ Not applicable
Closing
Initial Opening
Variety of Symbol of Opening holding Closing holding holding Gain/loss in
Closing book
Name of security investment cost holding Reporting Accounting title Source
security security (share) (share) percentag value (RMB)
Period (RMB)
(RMB) percentage
e
TPV Technology Available-for-sale Self-owned
Stock HK00903 134,658,158.00 24,360,191 1.04% 24,360,191 1.04% 18,985,975.00 196,070.00
financial asset funds
Electronic Zone Available-for-sale Self-owned
Stock SH600658 90,160,428.00 9,819,493 1.69% 9,819,493 1.23% 93,285,184.00 0.00
financial asset funds
Available-for-sale Self-owned
Stock HK01963 Bank of Chongqing 120,084,375.00 25,195,000 0.93% 25,195,000 0.81% 123,121,264.00 0.00
financial asset funds
BlackRock Global
Available-for-sale Self-owned
Funds BLK Allocation Fund A2 4,004,297.00 16,989 0.06% 16,989 0.06% 6,019,693.00 0.00
financial asset funds
USD
Available-for-sale Self-owned
Stock HK06066 China Securities 70,041,364.00 11,387,500 0.16% 11,387,500 0.16% 59,570,389.00 0.00
financial asset funds
New Century Available-for-sale Self-owned
Stock HK01518 141,558,280.00 21,550,000 4.49% 21,550,000 4.40% 187,139,483.00 0.00
Healthcare financial asset funds
Domestic/ 145,306 0.02% 145,306 0.02% 266,360.00 0.00
Z-Obee Holdings Available-for-sale Self-owned
overseas HK00948 0.00
Ltd. financial asset funds
stock
Other securities investments held at the
0.00 0 -- 0 -- 0.00 0.00 -- --
period-end
Total 560,506,902.00 92,474,479 -- 92,474,479 -- 488,388,348.00 196,070.00 -- --
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Disclosure date of announcement on
N/A
Board’s consent for securities investment
Disclosure date of announcement on
shareholders’ meeting’s consent for N/A
securities investment (if any)
VI Investments in Derivative Financial Instruments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
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BOE Technology Group Co., Ltd. First Quarter Report 2018
VII Visits Paid to the Company for Purposes of Research, Communication, Interview, etc.
during Reporting Period
√ Applicable □ Not applicable
Date of visit Way of visit Type of visitor About
01/10/2018 By one-on-one meeting Institution
01/15/2018 By one-on-one meeting Institution
01/16/2018 By one-on-one meeting Institution
01/17/2018 By one-on-one meeting Institution
01/19/2018 By phone Institution
01/22/2018 By one-on-one meeting Institution
01/24/2018 By one-on-one meeting Institution
01/25/2018 By one-on-one meeting Institution
Main content discussed:
03/01/2018 By one-on-one meeting Institution
1. Performance of the Company and
03/07/2018 By one-on-one meeting Institution
industrial situation;
03/08/2018 By one-on-one meeting Institution 2. Main operating information of the
03/09/2018 By one-on-one meeting Institution Company;
03/12/2018 By one-on-one meeting Institution 3. Technology and product innovation
4. Future strategic layout.
03/13/2018 By one-on-one meeting Institution
See www.cninfo.com.cn for details.
03/14/2018 By one-on-one meeting Institution
03/15/2018 By one-on-one meeting Institution
03/16/2018 By one-on-one meeting Institution
03/20/2018 By one-on-one meeting Institution
03/21/2018 By one-on-one meeting Institution
03/22/2018 By one-on-one meeting Institution
03/23/2018 By phone Institution
03/26/2018 By phone Institution
03/29/2018 By phone Institution
VIII Irregularities in Provision of Guarantees for External Parties
□ Applicable √ Not applicable
No such cases in the Reporting Period.
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BOE Technology Group Co., Ltd. First Quarter Report 2018
IX Occupation of the Company’s Money by Its Controlling Shareholder or Related Parties
for Non-Operating Purposes
□ Applicable √ Not applicable
No such cases in the Reporting Period.
13
BOE Technology Group Co., Ltd. First Quarter Report 2018
Part IV Financial Statements
I Financial Statements
1. Consolidated Balance Sheet
Prepared by BOE Technology Group Co., Ltd.
March 31, 2018
Unit: RMB
Item March 31, 2018 December 31, 2017
Current assets:
Monetary assets 54,077,391,428.00 57,128,659,576.00
Settlement reserve 0.00 0.00
Interbank loans granted 0.00 0.00
Financial assets at fair value through profit or loss 0.00 0.00
Derivative financial assets 0.00 0.00
Notes receivable 784,406,924.00 833,268,127.00
Accounts receivable 14,069,001,897.00 15,513,763,252.00
Prepayments 593,628,727.00 587,126,751.00
Premiums receivable 0.00 0.00
Reinsurance receivables 0.00 0.00
Receivable reinsurance contract reserve 0.00 0.00
Interest receivable 97,251,941.00 89,628,559.00
Dividends receivable 196,070.00 0.00
Other receivables 722,744,609.00 728,395,573.00
Financial assets purchased under resale agreements 0.00 0.00
Inventories 10,661,929,415.00 8,957,719,381.00
Assets classified as held for sale 0.00 0.00
Current portion of non-current assets 25,416,682.00 17,303,152.00
Other current assets 15,183,231,091.00 15,924,433,978.00
Total current assets 96,215,198,784.00 99,780,298,349.00
Non-current assets:
Loans and advances to customers 0.00 0.00
Available-for-sale financial assets 831,371,804.00 859,899,356.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Held-to-maturity investments 0.00 0.00
Long-term receivables 0.00 0.00
Long-term equity investments 7,644,759,426.00 6,928,854,415.00
Investment property 1,295,109,525.00 1,296,662,205.00
Property, plant and equipment 86,129,707,485.00 88,625,296,761.00
Construction in progress 60,573,097,541.00 50,761,250,426.00
Construction materials 0.00 0.00
Proceeds from disposal of property, plant and equipment 0.00 0.00
Productive living assets 0.00 0.00
Oil and gas assets 0.00 0.00
Intangible assets 5,056,552,295.00 2,982,664,308.00
R&D expense 0.00 0.00
Goodwill 727,692,724.00 197,963,688.00
Long-term prepaid expense 364,417,263.00 379,829,430.00
Deferred income tax assets 170,520,725.00 106,255,657.00
Other non-current assets 3,720,989,778.00 4,189,767,254.00
Total non-current assets 166,514,218,566.00 156,328,443,500.00
Total assets 262,729,417,350.00 256,108,741,849.00
Current liabilities:
Short-term borrowings 2,270,115,119.00 3,249,736,430.00
Borrowings from central bank 0.00 0.00
Customer deposits and deposits from banks and other financial
0.00 0.00
institutions
Interbank loans obtained 0.00 0.00
Financial liabilities at fair value through profit or loss 0.00 0.00
Derivative financial liabilities 0.00 0.00
Notes payable 684,344,606.00 543,798,835.00
Accounts payable 17,314,040,948.00 16,205,788,698.00
Advances from customers 849,194,477.00 781,324,522.00
Financial assets sold under repurchase agreements 0.00 0.00
Handling charges and commissions payable 0.00 0.00
Payroll payable 1,271,559,983.00 2,217,066,944.00
Taxes payable 889,451,222.00 775,621,146.00
Interest payable 149,746,018.00 847,955,186.00
Dividends payable 12,286,948.00 9,651,170.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Other payables 14,153,985,996.00 15,264,806,774.00
Reinsurance payables 0.00 0.00
Insurance contract reserve 0.00 0.00
Payables for trading of securities 0.00 0.00
Payables for underwriting of securities 0.00 0.00
Liabilities directly associated with assets classified as held for sale 0.00 0.00
Current portion of non-current liabilities 10,923,746,679.00 9,109,708,511.00
Other current liabilities 1,045,504,719.00 730,709,590.00
Total current liabilities 49,563,976,715.00 49,736,167,806.00
Non-current liabilities:
Long-term borrowings 78,426,221,039.00 78,973,633,010.00
Bonds payable 9,968,897,303.00 9,966,467,496.00
Including: Preferred shares 0.00 0.00
Perpetual bonds 0.00 0.00
Long-term payables 1,388,617,933.00 1,176,250,982.00
Long-term payroll payable 0.00 0.00
Specific payables 0.00 0.00
Provisions 16,501,552.00 16,457,010.00
Deferred income 8,239,382,253.00 2,261,955,307.00
Deferred income tax liabilities 894,221,715.00 563,302,910.00
Other non-current liabilities 7,829,151,387.00 9,130,244,495.00
Total non-current liabilities 106,762,993,182.00 102,088,311,210.00
Total liabilities 156,326,969,897.00 151,824,479,016.00
Owners’ equity:
Share capital 34,798,398,763.00 34,798,398,763.00
Other equity instruments 0.00 0.00
Including: Preferred shares 0.00 0.00
Perpetual bonds 0.00 0.00
Capital reserves 38,587,939,720.00 38,585,515,122.00
Less: Treasury shares 0.00 0.00
Other comprehensive income 229,889,143.00 150,602,933.00
Specific reserve 0.00 0.00
Surplus reserves 889,640,475.00 889,640,475.00
General reserve 0.00 0.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Retained earnings 12,105,470,053.00 10,385,659,084.00
Total equity attributable to owners of Parent Company 86,611,338,154.00 84,809,816,377.00
Non-controlling interests 19,791,109,299.00 19,474,446,456.00
Total owners’ equity 106,402,447,453.00 104,284,262,833.00
Total liabilities and owners’ equity 262,729,417,350.00 256,108,741,849.00
Legal representative: Wang Dongsheng Chief Financial Officer: Sun Yun
Head of the Company’s Financial Department: Yang Xiaoping
2. Parent Company Balance Sheet
Unit: RMB
Item March 31, 2018 December 31, 2017
Current assets:
Monetary assets 4,414,016,786.00 2,990,801,501.00
Financial assets at fair value through profit or loss 0.00 0.00
Derivative financial assets 0.00 0.00
Notes receivable 400,000,000.00 0.00
Accounts receivable 41,225,284.00 39,897,385.00
Prepayments 16,732,544.00 10,315,083.00
Interest receivable 0.00 0.00
Dividends receivable 10,600,217.00 10,404,147.00
Other receivables 1,512,928,189.00 1,824,727,573.00
Inventories 12,328,932.00 12,751,847.00
Assets classified as held for sale 0.00 0.00
Current portion of non-current assets 3,599,620,000.00 3,648,840,000.00
Other current assets 51,082,184.00 61,082,075.00
Total current assets 10,058,534,136.00 8,598,819,611.00
Non-current assets:
Available-for-sale financial assets 130,959,190.00 149,269,107.00
Held-to-maturity investments 0.00 0.00
Long-term receivables 0.00 0.00
Long-term equity investments 127,111,004,569.00 121,193,680,391.00
Investment property 293,775,956.00 292,544,063.00
Property, plant and equipment 967,010,132.00 982,985,346.00
17
BOE Technology Group Co., Ltd. First Quarter Report 2018
Construction in progress 276,796,169.00 274,400,649.00
Construction materials 0.00 0.00
Proceeds from disposal of property, plant and equipment 0.00 0.00
Productive living assets 0.00 0.00
Oil and gas assets 0.00 0.00
Intangible assets 506,102,389.00 530,490,988.00
R&D expense 0.00 0.00
Goodwill 0.00 0.00
Long-term prepaid expense 104,251,664.00 112,776,691.00
Deferred income tax assets 132,494,546.00 150,206,185.00
Other non-current assets 680,969,226.00 480,909,226.00
Total non-current assets 130,203,363,841.00 124,167,262,646.00
Total assets 140,261,897,977.00 132,766,082,257.00
Current liabilities:
Short-term borrowings 0.00 0.00
Financial liabilities at fair value through profit or loss 0.00 0.00
Derivative financial liabilities 0.00 0.00
Notes payable 0.00 0.00
Accounts payable 20,310,060.00 50,152,503.00
Advances from customers 1,953,317,415.00 1,375,022,585.00
Payroll payable 110,334,751.00 283,000,193.00
Taxes payable 168,411,912.00 119,584,927.00
Interest payable 44,627,220.00 312,029,252.00
Dividends payable 6,451,171.00 6,451,170.00
Other payables 13,354,459,387.00 9,713,912,548.00
Liabilities directly associated with assets classified as held for sale 0.00 0.00
Current portion of non-current liabilities 4,092,620,000.00 4,031,840,000.00
Other current liabilities 0.00 0.00
Total current liabilities 19,750,531,916.00 15,891,993,178.00
Non-current liabilities:
Long-term borrowings 20,660,000,000.00 23,943,000,000.00
Bonds payable 9,968,897,303.00 9,966,467,496.00
Including: Preferred shares 0.00 0.00
Perpetual bonds 0.00 0.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Long-term payables 0.00 0.00
Long-term payroll payable 0.00 0.00
Specific payables 0.00 0.00
Provisions 0.00 0.00
Deferred income 6,197,294,120.00 130,652,127.00
Deferred income tax liabilities 0.00 0.00
Other non-current liabilities 7,600,000,000.00 7,600,000,000.00
Total non-current liabilities 44,426,191,423.00 41,640,119,623.00
Total liabilities 64,176,723,339.00 57,532,112,801.00
Owners’ equity:
Share capital 34,798,398,763.00 34,798,398,763.00
Other equity instruments 0.00 0.00
Including: Preferred shares 0.00 0.00
Perpetual bonds 0.00 0.00
Capital reserves 37,590,966,191.00 37,588,541,593.00
Less: Treasury shares 0.00 0.00
Other comprehensive income 176,534,059.00 192,097,489.00
Specific reserve 0.00 0.00
Surplus reserves 889,640,475.00 889,640,475.00
Retained earnings 2,629,635,150.00 1,765,291,136.00
Total owners’ equity 76,085,174,638.00 75,233,969,456.00
Total liabilities and owners’ equity 140,261,897,977.00 132,766,082,257.00
3. Consolidated Income Statement
Unit: RMB
Item January-March 2018 January-March 2017
1. Operating revenue 21,566,813,037.00 21,854,974,362.00
Including: Sales revenue 21,566,813,037.00 21,854,974,362.00
Interest revenue 0.00 0.00
Premium revenue 0.00 0.00
Handling charge and commission revenue 0.00 0.00
2. Cost of operating revenue 20,263,550,173.00 18,908,353,214.00
Including: Cost of sales 17,087,543,193.00 15,597,540,474.00
Interest expense 0.00 0.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Handling charge and commission expense 0.00 0.00
Surrenders 0.00 0.00
Net claims paid 0.00 0.00
Net amount provided as insurance contract reserve 0.00 0.00
Expenditure on policy dividends 0.00 0.00
Reinsurance premium expense 0.00 0.00
Taxes and surtaxes 126,606,726.00 164,990,714.00
Selling expense 645,056,446.00 692,246,016.00
Administrative expense 1,810,493,873.00 1,502,882,338.00
Finance costs 374,634,713.00 478,912,917.00
Asset impairment losses 219,215,222.00 471,780,755.00
Add: Gains on changes in fair value (“-” for losses) 339,163.00 371,955.00
Investment income (“-” for loss) 83,598,808.00 5,451,144.00
Including: Share of profit or loss of joint ventures and associates 1,295,650.00 1,524,106.00
Foreign exchange gains (“-” for losses) 0.00 0.00
Asset disposal income (“-” for loss) 1,632,178.00 -124,730.00
Other income 969,676,260.00 121,205,532.00
3. Operating income (“-” for loss) 2,358,509,273.00 3,073,525,049.00
Add: Non-operating revenue 36,995,667.00 23,697,437.00
Less: Non-operating expense 6,417,967.00 17,861,453.00
4. Pretax income (“-” for loss) 2,389,086,973.00 3,079,361,033.00
Less: Income tax expense 452,265,009.00 474,494,165.00
5. Net income (“-” for net loss) 1,936,821,964.00 2,604,866,868.00
5.1 Net income from continuing operations (“-” for net loss) 1,936,821,964.00 2,604,866,868.00
5.2 Net income from discontinued operations (“-” for net loss) 0 0.00
Attributable to owners of Parent Company 2,018,692,554.00 2,413,015,650.00
Attributable to non-controlling interests -81,870,590.00 191,851,218.00
6. Other comprehensive income, net of tax 26,569,758.00 22,533,903.00
Attributable to owners of Parent Company 79,286,210.00 29,780,126.00
6.1 Items that will not be reclassified to profit or loss 0.00 0.00
6.1.1 Changes in net liabilities or assets caused by
0.00 0.00
re-measurements on defined benefit pension schemes
6.1.2 Share of other comprehensive income of investees that
0.00 0.00
will not be reclassified to profit or loss under equity method
6.2 Items that may subsequently be reclassified to profit or loss 79,286,210.00 29,780,126.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
6.2.1 Share of other comprehensive income of investees that
0.00 0.00
will be reclassified to profit or loss under equity method
6.2.2 Gains/Losses on changes in fair value of
11,492,337.00 24,733,506.00
available-for-sale financial assets
6.2.3 Gains/Losses arising from reclassification of
0.00 0.00
held-to-maturity investments to available-for-sale financial assets
6.2.4 Effective gains/losses on cash flow hedges 0.00 0.00
6.2.5 Differences arising from translation of foreign
67,793,873.00 5,046,620.00
currency-denominated financial statements
6.2.6 Other 0.00 0.00
Attributable to non-controlling interests -52,716,452.00 -7,246,223.00
7. Total comprehensive income 1,963,391,722.00 2,627,400,771.00
Attributable to owners of Parent Company 2,097,978,764.00 2,442,795,776.00
Attributable to non-controlling interests -134,587,042.00 184,604,995.00
8. Earnings per share
8.1 Basic earnings per share 0.058 0.069
8.2 Diluted earnings per share 0.058 0.069
Where business mergers under the same control occurred in the current period, the net income achieved by the merged parties before
the business mergers was RMB0.00, with the amount for the same period of last year being RMB0.00.
Legal representative: Wang Dongsheng Chief Financial Officer: Sun Yun
Head of the Company’s Financial Department: Yang Xiaoping
4. Parent Company Income Statement
Unit: RMB
Item January-March 2018 January-March 2017
1. Sales revenue 1,357,965,239.00 347,598,307.00
Less: Cost of sales 4,315,232.00 2,883,337.00
Taxes and surtaxes 11,104,418.00 480,962.00
Selling expense 289,489.00 653,041.00
Administrative expense 400,291,220.00 344,053,640.00
Finance costs 158,619,260.00 92,796,398.00
Asset impairment losses 0.00 0.00
Add: Gains on changes in fair value (“-” for losses) 0.00 0.00
Investment income (“-” for loss) 1,295,650.00 1,524,106.00
Including: Share of profit or loss of joint ventures and 1,295,650.00 1,524,106.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
associates
Asset disposal income (“-” for loss) 0.00 -20,681.00
Other income 227,603,341.00 4,507,201.00
2. Operating income (“-” for loss) 1,012,244,611.00 -87,258,445.00
Add: Non-operating revenue 1,217,875.00 627,184.00
Less: Non-operating expense 314,221.00 45,207.00
3. Pretax income (“-” for loss) 1,013,148,265.00 -86,676,468.00
Less: Income tax expense 148,804,250.00 0.00
4. Net income (“-” for net loss) 864,344,015.00 -86,676,468.00
4.1 Net income from continuing operations (“-” for net loss) 864,344,015.00 -86,676,468.00
4.2 Net income from discontinued operations (“-” for net loss) 0.00 1.00
5. Other comprehensive income, net of tax -15,563,430.00 19,844,191.00
5.1 Items that will not be reclassified to profit or loss 0.00 0.00
5.1.1 Changes in net liabilities or assets caused by
0.00 0.00
re-measurements on defined benefit pension schemes
5.1.2 Share of other comprehensive income of investees that will
0.00 0.00
not be reclassified into profit or loss under equity method
5.2 Items that may subsequently be reclassified to profit or loss -15,563,430.00 19,844,191.00
5.2.1 Share of other comprehensive income of investees that will
0.00 0.00
be reclassified into profit or loss under equity method
5.2.2 Gains/Losses on changes in fair value of available-for-sale
-15,563,430.00 19,844,191.00
financial assets
5.2.3 Gains/Losses arising from reclassification of
0.00 0.00
held-to-maturity investments to available-for-sale financial assets
5.2.4 Effective gains/losses on cash flow hedges 0.00 0.00
5.2.5 Differences arising from translation of foreign
0.00 0.00
currency-denominated financial statements
5.2.6 Other 0.00 0.00
6. Total comprehensive income 848,780,585.00 -66,832,277.00
7. Earnings per share
7.1 Basic earnings per share 0.0248 -0.0025
7.2 Diluted earnings per share 0.0248 -0.0025
5. Consolidated Cash Flow Statement
Unit: RMB
Item January-March 2018 January-March 2017
1. Cash generated by or used in operating activities:
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Proceeds from sale of commodities and rendering of services 23,118,428,990.00 22,790,725,860.00
Net increase in customer deposits and deposits from banks and
0.00 0.00
other financial institutions
Net increase in loans from central bank 0.00 0.00
Net increase in loans from other financial institutions 0.00 0.00
Premiums received on original insurance contracts 0.00 0.00
Net proceeds from reinsurance 0.00 0.00
Net increase in deposits and investments of policy holders 0.00 0.00
Net increase in proceeds from disposal of financial assets at fair
0.00 0.00
value through profit or loss
Interest, handling charges and commissions received 0.00 0.00
Net increase in interbank loans obtained 0.00 0.00
Net increase in proceeds from repurchase transactions 0.00 0.00
Tax rebates 1,805,270,382.00 2,002,200,439.00
Cash generated by other operating activities 2,205,347,118.00 242,538,036.00
Subtotal of cash generated by operating activities 27,129,046,490.00 25,035,464,335.00
Payments for commodities and services 13,690,161,934.00 13,472,279,930.00
Net increase in loans and advances to customers 0.00 0.00
Net increase in deposits in central bank and in interbank loans
0.00 0.00
granted
Payments for claims on original insurance contracts 0.00 0.00
Interest, handling charges and commissions paid 0.00 0.00
Policy dividends paid 0.00 0.00
Cash paid to and for employees 2,994,748,596.00 2,215,299,698.00
Taxes paid 753,214,990.00 925,829,731.00
Cash used in other operating activities 2,492,832,154.00 2,206,005,155.00
Subtotal of cash used in operating activities 19,930,957,674.00 18,819,414,514.00
Net cash flows from operating activities 7,198,088,816.00 6,216,049,821.00
2. Cash generated by or used in investing activities:
Proceeds from disinvestments 16,230,696,269.00 1,029,221,840.00
Investment income 130,869,955.00 5,684,907.00
Net proceeds from disposal of property, plant and equipment,
5,615,725.00 57,346,613.00
intangible assets and other long-lived assets
Net proceeds from disposal of subsidiaries or other business units 0.00 0.00
Cash generated by other investing activities 2,311,084,521.00 2,470,307,272.00
Subtotal of cash generated by investing activities 18,678,266,470.00 3,562,560,632.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Payments for acquisition of property, plant and equipment,
11,114,423,433.00 14,048,658,723.00
intangible assets and other long-lived assets
Payments for investments 19,209,443,548.00 4,742,577,876.00
Net increase in pledged loans granted 0.00 0.00
Net payments for acquisition of subsidiaries and other business
0.00 0.00
units
Cash used in other investing activities 1,421,766,786.00 2,001,547,461.00
Subtotal of cash used in investing activities 31,745,633,767.00 20,792,784,060.00
Net cash flows from investing activities -13,067,367,297.00 -17,230,223,428.00
3. Cash generated by or used in financing activities:
Capital contributions received 10,800,000.00 2,003,250,000.00
Including: Capital contributions by non-controlling interests to
10,800,000.00 2,003,250,000.00
subsidiaries
Increase in borrowings obtained 11,080,692,010.00 7,178,610,681.00
Net proceeds from issuance of bonds 0.00 0.00
Cash generated by other financing activities 871,517,387.00 1,427,668,220.00
Subtotal of cash generated by financing activities 11,963,009,397.00 10,609,528,901.00
Repayment of borrowings 4,142,696,634.00 4,591,781,545.00
Payments for interest and dividends 1,613,157,999.00 876,562,888.00
Including: Dividends paid by subsidiaries to non-controlling
0.00 0.00
interests
Cash used in other financing activities 466,162,322.00 445,895,738.00
Subtotal of cash used in financing activities 6,222,016,955.00 5,914,240,171.00
Net cash flows from financing activities 5,740,992,442.00 4,695,288,730.00
4. Effect of foreign exchange rate changes on cash and cash
-597,677,611.00 -153,892,076.00
equivalents
5. Net increase in cash and cash equivalents -725,963,650.00 -6,472,776,953.00
Add: Cash and cash equivalents, beginning of the period 47,913,287,583.00 49,354,810,388.00
6. Cash and cash equivalents, end of the period 47,187,323,933.00 42,882,033,435.00
6. Parent Company Cash Flow Statement
Unit: RMB
Item January-March 2018 January-March 2017
1. Cash generated by or used in operating activities:
Proceeds from sale of commodities and rendering of services 1,294,746,503.00 77,962,032.00
Tax rebates 0.00 0.00
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BOE Technology Group Co., Ltd. First Quarter Report 2018
Cash generated by other operating activities 657,722,589.00 180,589,466.00
Subtotal of cash generated by operating activities 1,952,469,092.00 258,551,498.00
Payments for commodities and services 127,644,428.00 2,334,829,824.00
Cash paid to and for employees 302,566,071.00 163,954,406.00
Taxes paid 161,742,076.00 101,967,995.00
Cash used in other operating activities 187,172,675.00 128,385,741.00
Subtotal of cash used in operating activities 779,125,250.00 2,729,137,966.00
Net cash flows from operating activities 1,173,343,842.00 -2,470,586,468.00
2. Cash generated by or used in investing activities:
Proceeds from disinvestments 142,759,980.00 1,005,147,500.00
Investment income 0.00 278,000,000.00
Net proceeds from disposal of property, plant and equipment,
310.00 0.00
intangible assets and other long-lived assets
Net proceeds from disposal of subsidiaries or other business units 0.00 0.00
Cash generated by other investing activities 506,485,679.00 83,021.00
Subtotal of cash generated by investing activities 649,245,969.00 1,283,230,521.00
Payments for acquisition of property, plant and equipment,
79,067,306.00 30,102,902.00
intangible assets and other long-lived assets
Payments for investments 5,928,800,200.00 5,059,100,000.00
Net payments for acquisition of subsidiaries and other business
0.00 0.00
units
Cash used in other investing activities 0.00 700,009,544.00
Subtotal of cash used in investing activities 6,007,867,506.00 5,789,212,446.00
Net cash flows from investing activities -5,358,621,537.00 -4,505,981,925.00
3. Cash generated by or used in financing activities:
Capital contributions received 0.00 0.00
Increase in borrowings obtained 7,367,000,000.00 4,150,000,000.00
Net proceeds from issuance of bonds 0.00 0.00
Cash generated by other financing activities 0.00 0.00
Subtotal of cash generated by financing activities 7,367,000,000.00 4,150,000,000.00
Repayment of borrowings 1,340,000,000.00 51,270,607.00
Payments for interest and dividends 418,524,483.00 350,573,339.00
Cash used in other financing activities 0.00 147,525,210.00
Sub-total of cash used in financing activities 1,758,524,483.00 549,369,156.00
Net cash flows from financing activities 5,608,475,517.00 3,600,630,844.00
25
BOE Technology Group Co., Ltd. First Quarter Report 2018
4. Effect of foreign exchange rate changes on cash and cash
17,463.00 -519,888.00
equivalents
5. Net increase in cash and cash equivalents 1,423,215,285.00 -3,376,457,437.00
Add: Cash and cash equivalents, beginning of the period 2,990,801,501.00 7,548,700,412.00
6. Cash and cash equivalents, end of the period 4,414,016,786.00 4,172,242,975.00
II Independent Auditor’s Report
Indicate by tick mark whether the Q1 financial statements have been audited by an independent auditor.
□Yes √ No
The Q1 financial statements have not been audited by such an auditor.
Chairman of the Board (signature)：
Wang Dongsheng
Date of the Board’s approval of this Report: April 23, 2018
26