Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
LUTHAI TEXTILE CO., LTD.
Report for the Third Quarter of 2014
October 2014
1
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Section I. Important Reminders
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and senior management
staff of Luthai Textile Co., Ltd. (hereinafter referred to as “the Company”) warrant that this report is factual,
accurate and complete without any false record, misleading statement or material omission. And they shall be
jointly and severally liable for that.
Liu Shizhen, company principal, Zhang Hongmei, chief of the accounting work, and Zhang Keming, chief of the
accounting organ (chief of accounting), hereby confirm that the Financial Report enclosed in this report is factual,
accurate and complete.
This report is prepared in both Chinese and English. Should there be any discrepancy between the two versions,
the Chinese version shall prevail.
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Section II. Financial Highlights & Change of Shareholders
I. Major accounting data and financial indexes
Does the Company adjust retrospectively or restate accounting data of previous years due to change of the accounting policy or
correction of any accounting error?
□ Yes √ No
30 Sept. 2014 31 Dec. 2013 Increase/decrease (%)
Total assets (RMB Yuan) 8,256,492,624.12 8,411,948,561.49 -1.85%
Net assets attributable to shareholders
6,341,390,577.09 5,988,054,133.73 5.90%
of the Company (RMB Yuan)
YoY increase/decrease YoY
Jul.-Sept. 2014 Jan.-Sept. 2014
(%) increase/decrease (%)
Operating revenues (RMB Yuan) 1,459,299,125.04 -7.53% 4,573,525,706.66 -1.40%
Net profit attributable to shareholders of
233,259,629.65 -10.27% 710,139,886.58 5.03%
the Company (RMB Yuan)
Net profit attributable to shareholders of
the Company after extraordinary gains 195,503,531.60 -14.71% 671,500,090.12 7.58%
and losses (RMB Yuan)
Net cash flows from operating activities
-- -- 842,580,637.31 -6.18%
(RMB Yuan)
Basic EPS (RMB Yuan/share) 0.24 -14.29% 0.74 4.23%
Diluted EPS (RMB Yuan/share) 0.24 -14.29% 0.74 4.23%
Weighted average ROE (%) 3.47% -1.23% 11.26% -1.12%
Items and amounts of extraordinary gains and losses
√Applicable □Inapplicable
Unit: RMB Yuan
Amount as of Jan.-Sept.
Item Note
2014
Gains/losses on the disposal of non-current assets (including the offset part of asset
-169,682.02
impairment provisions)
Government grants recognized in the current period, except for those acquired in the
ordinary course of business or granted at certain quotas or amounts according to the 52,325,487.57
country’s unified standards
Gains and losses on change in fair value from tradable financial assets and tradable
financial liabilities, as well as investment income from disposal of tradable financial
-3,193,498.27
assets and tradable financial liabilities and financial assets available for sales, except for
effective hedging related with normal businesses of the Company
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Non-operating incomes and expenses other than the above 2,256,212.58
Less: Income tax effects 12,152,676.48
Minority interests effects (after tax) 426,046.92
Total 38,639,796.46 --
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Extraordinary Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item
□ Applicable √ Inapplicable
There was no such situation of the Company during the reporting period.
II. Total number of shareholders and shareholdings of the top ten shareholders at the
period-end
1. Total number of common shareholders and shareholdings of the top ten common shareholders at the
period-end
Unit: share
Total number of common
85,803
shareholders at the period-end
Shareholdings of the top ten common shareholders
Shareholdi Pledged or frozen
Number of Number of
Nature of ng shares
Name of shareholder the shares restricted shares
shareholder percentage Status of Number of
held held
(%) shares shares
Domestic
Zibo Lucheng Textile Investment Co., Ltd. non-state-owned 14.69% 140,353,583 Pledged 22,727,200
corporation
Foreign
Tailun Textile Co., Ltd. 12.37% 118,232,400 118,232,400
corporation
DBS VICKERS (HONG KONG) LTDA/C Foreign
3.47% 33,158,567
CLIENTS corporation
Foreign
LYNAS ASIA FUND 1.82% 17,364,475
corporation
VALUE PARTNERS HIGH-DIVIDEND Foreign
1.72% 16,411,865
STOCKS FUNDS corporation
Domestic
Zibo Lucheng Textile Investment Co., Ltd. non-state-owned 0.85% 8,156,383
corporation
GUOTAI JUNAN Foreign 0.80% 7,621,346
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
SECURITIES(HONGKONG) LIMITED corporation
Foreign
First State China A share fund 0.79% 7,563,611
corporation
HTHK-MANULIFE CHINA VALUE Foreign
0.72% 6,858,138
FUND corporation
BILL & MELINDA GATES Foreign
0.60% 5,732,809
FOUNDATION TRUST corporation
Shareholdings of the top ten non-restricted common shareholders
Number of Type of shares
non-restricted
Name of shareholder common shares
Type Number
held at the
period-end
RMB ordinary
Zibo Lucheng Textile Investment Co., Ltd. 140,353,583 140,353,583
share
Domestically
DBS VICKERS (HONG KONG) LTD A/C CLIENTS 33,158,567 listed foreign 33,158,567
share
Domestically
LYNAS ASIA FUND 17,364,475 listed foreign 17,364,475
share
Domestically
VALUE PARTNERS HIGH-DIVIDEND STOCKS FUNDS 16,411,865 listed foreign 16,411,865
share
Domestically
VALUE PARTNERS CLASSIC FUND 8,156,383 listed foreign 8,156,383
share
Domestically
GUOTAI JUNAN SECURITIES(HONGKONG) LIMITED 7,621,346 listed foreign 7,621,346
share
RMB ordinary
First State China A Share Fund 7,563,611 7,563,611
share
Domestically
HTHK-MANULIFE CHINA VALUE FUND 6,858,138 listed foreign 6,858,138
share
RMB ordinary
BILL & MELINDA GATES FOUNDATION TRUST 5,732,809 5,732,809
share
RMB ordinary
Pichon China A Share Investment Fund 5,586,151 5,586,151
share
Explanations about associated relationship or concerted action among the Zibo Lucheng Textile Investment Co., Ltd. is the
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
above shareholders largest shareholder of the Company and the actual
controller. Tailun (Thailand) Textile Co., Ltd. is the
second largest shareholder as well as sponsor of
foreign capital of the Company. All of other
shareholders are people holding circulating A share
or circulating B share and the Company is not able to
confirm whether there is associated relationship or
concerted action among other shareholders.
Top ten non-restricted common shareholders taking part in margin financing
Naught
and securities lending (if any)
Did any of the top 10 common shareholders or the top 10 non-restricted common shareholders of the Company carry out any agreed
buy-back in the reporting period?
□ Yes √ No
No shareholder of the Company carried out any agreed buy-back in the reporting period.
2. Total number of preferred share holders and shareholdings of the top ten preferred share holders at the
period-end
□ Applicable √ Inapplicable
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Section III. Significant Events
I. Major changes of main accounting statement items and financial indicators in the reporting
period, as well as reasons for the changes
√ Applicable □ Inapplicable
1. Monetary funds as at 30 Sept. 2014 stood at RMB 537,907,586.72, down 38.35% from the
year-beginning amount, mainly because raw materials were paid for.
2. Transactional financial assets as at 30 Sept. 2014 stood at RMB 1,973,800.00, down 93.41%
from the year-beginning amount, mainly because due transactional financial assets were delivered
and their fair value changed.
3. Notes receivable as at 30 Sept. 2014 stood at RMB 85,053,825.44, down 32.55% from the
year-beginning amount, mainly because accounts receivable were collected.
4. Other non-current assets as at 30 Sept. 2014 stood at RMB 8,485,764.14, down 75.06% from the
year-beginning amount, mainly because the VAT input tax to be deducted decreased.
5. Engineering materials as at 30 Sept. 2014 stood at RMB 234,437,779.64, up 1127.78% from the
year-beginning amount, mainly because the equipment to be installed increased.
6. Taxes and fares payable as at 30 Sept. 2014 stood at RMB 39,039,228.56, down 66.13% from the
year-beginning amount, mainly because the city maintenance and construction tax payable, the
educational surtax payable, etc. decreased.
7. Interest payable as at 30 Sept. 2014 stood at RMB 2,543,214.96, up 69.61% from the
year-beginning amount, mainly because the interest provision increased as the borrowings of the
Company (without subsidiaries) increased.
8. Non-current liabilities due within 1 year as at 30 Sept. 2014 stood at RMB 27,455,391.71, down
67.83% from the year-beginning amount, mainly because the long-term borrowings due within 1
year decreased.
9. Deferred income tax liabilities as at 30 Sept. 2014 stood at RMB 2,370,204.96, down 63.81%
from the year-beginning amount, mainly because the taxable temporary difference arising from fair
value changes of transactional financial assets decreased.
10. Financial expenses for Jan.-Sept. 2014 stood at RMB 10,500,242.50, down 72.18% year on year,
mainly because the exchange gains increased.
11. Asset impairment loss for Jan.-Sept. 2014 stood at RMB -5,584,318.73, down 115.00% year on
year, mainly because bad-debt provisions decreased as accounts receivable decreased.
12. Gains on fair value changes for Jan.-Sept. 2014 stood at RMB -27,975,320.00, down 528.76%
year on year, mainly because due transactional financial assets were disposed and the corresponding
gains and losses on fair value changes formerly recognized were carried over, and the fair value of
transactional financial assets changed.
13. Non-business expenses for Jan.-Sept. 2014 stood at RMB 4,098,753.25, up 95.89% year on year,
mainly because the loss on disposal of fixed assets increased.
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
II. Progress and influence of significant events, as well as the analysis and explanation on
solutions
√ Applicable □ Inapplicable
1. From 12 Dec. 2013 to 31 Dec. 2013, through Securities Exchange System of Shenzhen Stock Exchange, Zibo
Lucheng Textile Investment Co., Ltd. increased the current A share (000726) of the Company by centralized
competitive trading method, which was of 6,913,189 shares, which were of 0.72% of the total share capital of the
Company. From 1 Jan. 2014 to 17 Jan. 2014, through Securities Exchange System of Shenzhen Stock Exchange,
Zibo Lucheng Textile Investment Co., Ltd. increased the current A share (000726) of the Company by centralized
competitive trading method, which was of 4,386,036 shares. Up to 17 Jan. 2014, through Securities Exchange
System of Shenzhen Stock Exchange, Zibo Lucheng Textile Investment Co., Ltd. accumulatively increased the
current A share (000726) of the Company by centralized competitive trading method, which was of 11,299,225
shares and were of 1.18% of the total share capital of the Company. After this time of shareholding increase, the
company holds totally 134,613,925 shares of the company accounting for 14.03% of totally 955,800,496 shares of
the company. For more details, please refer to the related announcements published on Security Times, Shanghai
Security News, Ta Kung Pao and www.cninfo.com.cn dated Jan. 18, 2014.
2. On 4 Jun. 2014 and 27 Jun. 2014, through Securities Exchange System of Shenzhen Stock Exchange, Zibo
Lucheng Textile Investment Co., Ltd. accumulatively increased the current A share (000726) of the Company by
centralized competitive trading method, which was of 5,739,658 shares that was of 0.60% of the total share capital
of the Company. After the increase, the total stocks of the Company were of 140,353,583 shares that covered
14.68% of the total share capital of 955,800,496 shares. For the specific situation of the event, please refer to the
relevant announcements disclosed on Securities Times, Shanghai Securities News, Ta Kung Pao and
www.cninfo.com.cn on 1 Jul. 2014.
3. On 11 Jun. 2014, the 11th Session of the 7th Board of Directors of the Company reviewed and approved the
“Proposal on Restricted Stock Granted to Previous Incentive Objects Who Fall through Incentive Requirements”
and “Proposal on the Third Unlocking Period of 2011 Plan on Restricted Stock Incentive of Lu Thai Textile Co.,
Ltd.”. The original incentive targets Gao Hong failed in the 2013 performance assessment, of whom the third
unlocking restricted shares of 18,000 shares should not be locked and would be repurchased and written off by the
Company; The original incentive targets Yang Jun, Wang Fuye, Yang Zezhi, Zhai Shenbo and Yang Jian had left
their position during Aug. 2013 to May 2014, which had not met with the incentive plan of “No. 20 Unlocking
Arrangement and Inspection Conditions of Restricted Stocks”. Those 5 people had been granted the whole
unlocking stocks which was amounted to 24,000 shares and had be repurchased and written off by the Company.
The Company had completed the written off through Shenzhen Branch of CSDC on 26 Aug. 2014 with the total
share capital changed into 955,758,496 shares. For the specific situation of the event, please refer to the relevant
announcement disclosed on Securities Times, Shanghai Securities News, Ta Kung Pao and www.cninfo.com.cn on
28 Aug. 2014. There were 332 people of the Company met with the conditions of the third period of the incentive
plan, which amounted to 4,119,000 shares and had unlocked as well as listed and circulated on 10 Sep. 2014. Please
refer to the relevant announcement disclosed on Securities Times, Shanghai Securities News, Ta Kung Pao and
www.cninfo.com.cn on 5 Sep. 2014.
Index to the relevant announcement
Overview of the significant event Date of disclosure
disclosed on the website
Through Securities Exchange System of 18 Jan.2014 www.cninfo.com.cn
Shenzhen Stock Exchange, the actual
1 Jul. 2014 www.cninfo.com.cn
controlling shareholders accumulatively
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
increased the current Luthai A share of the
Company by centralized competitive trading
method
Purchasing and written off of the equity
28 Aug. 2014 www.cninfo.com.cn
incentive restricted shares
Unlocking and listing as well as circulating
5 Sep. 2014 www.cninfo.com.cn
of the equity incentive restricted shares
III. Commitments made by the Company or any shareholder holding over 5% of the
Company’s shares in the reporting period or such commitments carried down into the
reporting period
√ Applicable □ Inapplicable
Commitment Contents of Date of Period of
Commitment Execution
maker commitment commitment commitment
Commitments made in a
N/A N/A N/A N/A
share reform
Commitments made in N/A N/A
acquisition reports or
report on changes in
equity
N/A
Commitments made at
the time of assets
reorganization
Commitments at the
time of initial public N/A N/A N/A
issuance or re-financing
Investment projects of raised funds
including project on 150 thousand ingots
of high-end combed yarn, project on
production line of 50 thousand ingots of
two-for-one twisting, project on
complementing circulating funds of the
Other commitments
Lu Thai Investment company, project on production line of
made for medium and
Textile Co., project of 19 Dec. 2008 10 million meters of high-end jacquard
small shareholders of
Ltd. raised funds for female garments have already been
the Company
fulfilled. On 18 Oct. 2011, the 3rd
temporary shareholders’ general meeting
approved that RMB 140 million raised
funds of this project were transferred into
project on increasing 40 million meters
of high-end yarn-dyed fabric production
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
line. Till the end of the reporting period,
this project has already been finished.
And project on network construction of
brand and marketing is under the
implementation.
Whether commitments
N/A N/A N/A N/A
were fulfilled in time
Specific reasons of
unfinished fulfillment Yes
and further plan
Commitments made in a
N/A
share reform
IV. Predict the 2014 annual operating results
Warnings of possible loss or large-margin change of the accumulated net profit made during the period from the beginning of the
year to the end of the next reporting period compared with the same period of the last year according to prediction, as well as
explanations on the reasons
□Applicable √Inapplicable
V. Securities investment
□Applicable √Inapplicable
The Company was not involved in any securities investment of the reporting period.
Shareholdings in other listed companies
□Applicable √Inapplicable
The Company did not have any shareholding in any other listed company in the reporting period.
VI. Investments in derivatives
√Applicable □Inapplicable
Unit: RMB Ten Thousand Yuan
Proportio
n of the
Relate closing
Actual
d-part Impairme investmen
Type of Initial Opening Closing gain/loss
Relatio y Beginning Ending nt t amount
Operator derivative investment investmen investmen in
n transac date date provision in the
investment amount t amount t amount reporting
tion or (if any) Company
period
not ’s closing
net assets
(%)
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Forward
Commerc Non-rel settlement 28 Mar. 15 Dec.
No 185,198.4 98,449.79 14,386.63 2.13% 2,457.67
ial bank ated of 2013 2014
exchange
Foreign
Commerc Non-rel 22 Dec.
No exchange 26,232.18 6 Jan. 2014 0 1,552.67 0.23% 20.51
ial bank ated 2014
trading
Commerc Non-rel Share 31 Jun. 31 Dec.
No 4,922 4,922 0.73%
ial bank ated option 2014 2014
Total 216,352.58 -- -- 98,449.79 20,861.3 3.09% 2,478.18
Capital source for derivative
Self-owned funds of the Company
investment
Cases involving lawsuit (if
N/A
applicable)
Disclosure date of the board
announcement approving the 27 Mar. 2014
derivative investment (if any)
Disclosure date of the general meeting
announcement approving the
derivative investment (if any)
The Company conducted derivatives products transaction in order for hedging. And the
forward settlement hedging was operated by installments, with the relevant amount not
more than the planned derivatives products transactions. And all derivatives products
transaction was zero-deposit. Meanwhile, the Company had a complete risk control system
for sufficient analysis and prevention of possible risks such as risk of laws and regulations,
credit risk, operation risk and market risk.
1. Risk of laws and regulations: The Company conducted derivatives products transaction in
strict accordance with relevant laws and rules as well as regulatory policies from
Analysis on risks and control government securities regulatory authorities, if there were no standard operation procedures
measures of derivative products held and strict approval procedures, it was easy to cause compliant and regulatory risks existing
in the reporting period (including but in the validity and feasibility of contract, commitments and other legal documents signed.
not limited to market risk, liquidity Precautionary measures: The Company carefully studied and mastered laws, regulations and
risk, credit risk, operation risk, law policies relevant to derivative products transaction, formulated internal control rules for the
risk, etc.) forward settlement hedging business, standardized the operation procedures. And
strengthened the compliant examination on derivative products investment business, and
strictly abided by relevant laws, regulations and the Company’s internal management rules.
2. Credit risk and liquidity risk: When the contract matures, the Company couldn’t deliver
as scheduled due to insufficient liquidity, and the counterparty or the Company couldn’t
fulfill the contract due to other aspects except the liquidity, which would cause credit risk
and further economic losses for the Company. Precaution measure: the Company chose the
powerful financial institutions with good reputation as the counterparty, and signed standard
derivative products transaction contract, as well as strictly controlled the credit risk of
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
counterparty. The Company conducted derivative investment transactions according to the
relevant approval procedure, which was in line with relevant laws, regulations, the
Company’s Articles of Association, the Management Rules for Derivative Investment of Lu
Thai Textile Co., Ltd. and the Proposal on the Plan of Lu Thai Textile Co., Ltd. for
Derivative Transactions in 2013 approved at the 7th Session of the 7th Board of Directors on
25 Mar. 2014, and performed relevant information disclosure responsibilities. The Company
decided the up limit for the amount of derivative products transaction according to the
production and operation scale and the progress of foreign exchange income for the
Company, and delivered by phases. It was also possible to use extension of term and other
ways to ensure the fulfillment of contract as schedules upon the mature of contract, and
wouldn’t cause any loss of credit risk for the Company due to insufficient liquidity or other
reasons.
3. Operation risk: The derivative financial transactions had high specialty and complexity,
so imperfect internal operation procedures, staffs and external events would make the
Company to undertake risks during the transaction. Precaution measure: The Company
promulgated strict authorization and approval system and perfect regulatory mechanism,
fixed the departments, operation procedures and approval procedures system to conduct
derivative products transaction, established special risk control positions, implemented strict
authorization and post checks and balances system, meanwhile, it improved the overall
quality of relevant personnel through strengthening the business training and professional
ethics education for them. Besides, it established the System of Reporting the Abnormal
Situation Timely, formed an efficient risk management procedures, so as to ensure to lower
the operation risks to the maximum.
4. Market risk: The forward settlement of exchange is an important derivative products
transaction, which was significantly affected by the exchange rate fluctuation due to its large
amount. The Central Bank decided to expand the inter-bank spot RMB-dollar trading band
from 1% to 2% since 17 Mar. 2014, which would increase the difficulty in the operation of
forward settlement of exchange. Besides, if the RMB is devalued by a large margin on the
basis of the current situation before the contract is due, so then, the larger losses shall incur
in the contract on forward settlement of exchange signed by the Company. Risk analysis and
precaution measure: Renminbi appreciated significantly compared with that before the
exchange rate reform, but Renminbi internationalization would be a long-term goal, which
decided that Renminbi would not depreciated significantly. Although the increased
fluctuation range added the operation difficulty, it provided a certain opportunity, which
required relevant personnel of the Company actively master the market trend, carefully
operate and hold positive opportunity, so as to try the best to reduce the market risks under
the condition of increased market difficulty.
Changes of market prices or fair 1. Up to 30 Sep. 2014, the Company held 8 undue financial derivative product contracts,
values in the reporting period of the totaling US$ 33,523,600, of which the forward settlement of exchange was of US$ 23
invested derivatives. And the analysis million, the foreign exchange option of US$ 8 million and the forward foreign trading of
on the fair value of the derivatives US$ 2,523,600 (the latest expiration before Dec. 2014). The above financial derivative
should include the specific use products accounted for 3.09% of the closing net assets.
methods and the relevant assumptions 2. From Jan. 2014 to Sep. 2014, the due financial derivative products of the Company
and parameters. totally equaled to US$ 314,951,000, all of which were delivered on time and generated a
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Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
gain of RMB 24,781,800. The due forward settlement was US$ 274.6 million, all of which
were delivered on time and generated a gain of RMB 24,576,700. The due forward foreign
exchange trading amount equaled to US$ 40,351,000 million, all of which were delivered on
time and generated a gain of RMB 205,100.
Whether significant changes occurred
to the Company’s accounting policy
and specific accounting principles of
No significant change
derivatives in the reporting period
compared to the previous reporting
period
The Company’s independent directors Zhou Zhiji, Zhang Chengzhu, Wang Lei, Xu Jianjun
and Zhao Yao concerning conducting derivatives business, have issued the following
professional advice: we were of the opinion that it would strengthen the Company’s
Specific opinion from independent
competitiveness to use derivative transactions with focus on forward settlement and
directors on the Company’s
purchase as an effective tool to avoid foreign exchange risks, to strengthen the relevant
derivatives investment and risk
internal control and to carry out the loss and risk prevention measures so as to improve the
control
operation and management. It was considered feasible for the Company to conduct
derivative transactions with focus on forward settlement and purchase, and no harm was
done to interests of the Company’s shareholders.
VII. Researches, visits and interviews received in the reporting period
√Applicable □Inapplicable
Main discussion
Way of Visitor and materials
Time Place Visitor
reception type provided by the
Company
Everbright Securities Co. , Ltd. Li Jie, Tang The Company’s
13 Aug. 2014 By phone Institution
Shuangshuang current situation
The Company’s
13 Aug. 2014 By phone Institution Morgan Stanley Huaxin Fund Liu Hong
current situation
The Company’s
13 Aug. 2014 By phone Institution Industrial Securities Huang Wei
current situation
The Company’s
13 Aug. 2014 By phone Institution Rui Gu, Lu Jie
current situation
The Company’s
13 Aug. 2014 By phone Institution Shanghai Chengshi Assets Dong Tao
current situation
The Company’s
13 Aug. 2014 By phone Institution Centrum Capital Hu Binghan
current situation
The Company’s
13 Aug. 2014 By phone Institution CCB International Zhan Jia
current situation
13
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
The Company’s
13 Aug. 2014 By phone Institution Milestone Asset Weng Di
current situation
The Company’s
13 Aug. 2014 By phone Institution Dan Shuiquan Liu Xiaoyu
current situation
The Company’s
13 Aug. 2014 By phone Institution Taikang Asset Jin Ge
current situation
The Company’s
13 Aug. 2014 By phone Institution Shenzhen Qing Shui Yuan Dai Qiubin
current situation
The Company’s
13 Aug. 2014 By phone Institution Congrong Investment Cheng Chunyan
current situation
The Company’s
13 Aug. 2014 By phone Institution UBS SDIC Li Yanrong
current situation
The Company’s
13 Aug. 2014 By phone Institution China Post Fund Liu Xiaohan
current situation
The Company’s
13 Aug. 2014 By phone Institution ChinaAMC Wang Zhipeng
current situation
The Company’s
13 Aug. 2014 By phone Institution Yong An Insurance Wang Shuting
current situation
The Company’s
13 Aug. 2014 By phone Institution China Universal Fund Xu Lijun
current situation
The Company’s
13 Aug. 2014 By phone Institution SSGA-Fund Zhang Zhidong
current situation
The Company’s
13 Aug. 2014 By phone Institution Shanghai Xiangming Investment Co.,Ltd. Li Dan
current situation
Conference
Field The Company’s
3 Sep. 2014 room of the Institution Changjiang Securities Company Limited Leiyu
research current situation
Company
Conference
Field The Company’s
3 Sep. 2014 room of the Institution Northeast Securities Co.,Ltd. Zhou Yubin
research current situation
Company
VIII. Influence of the newly promulgated or amended accounting standards on our
consolidated financial statements
√ Applicable □ Inapplicable
1. According to the amended , we recorded
long-term equity investments where we did not have control or joint control over or significant influence on and of which the fair
value could not be measured reliably under the “available-for-sale financial assets” item as per the < Accounting Standard No. 22 for
Business Enterprises—Recognition and Measurement of Financial Instruments>. As such, our investments in Yantai Rongchang
Pharmacy Co., Ltd., Gaoqing Hongqiao Thermoelectric Co., Ltd. and Zibo Chengshun Heating Power Co., Ltd. were restated as
available-for-sale financial assets, and the year-beginning consolidated data were also restated adopting the retrospective adjustment
method. The said restatement affected only the two statement items of available-for-sale financial assets and long-term equity
14
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
investments, not our total assets, net assets and current gains and losses.
2. According to the amended , we restated
the foreign-currency statement translation difference under the “other comprehensive incomes” item, and the year-beginning
consolidated amount was also restated. The said restatement affected only the two statement items of other comprehensive incomes
and foreign-currency statement translation difference, not our total assets, net assets and current gains and losses.
3. According to the amended in 2014, we
divided the payroll payable into short-term emoluments, welfare after resignation, dismissal welfare and other long-term employees’
welfare. The amendment involved only division, but not affected the amount of the payroll payable. And particulars about the
employees’ compensation were to be disclosed in the coming annual report.
Apart from the above-mentioned, the amended accounting standards had no other influence on our financial situation, operating
results and consolidated financial statements.
Section IV. Financial Statements
I. Financial statements
1. Consolidated balance sheet
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 537,907,586.72 872,461,415.00
Financial assets measured at fair value and of which changes are
1,973,800.00 29,949,120.00
recorded into current gains and losses
Notes receivable 85,053,825.44 126,106,380.23
Accounts receivable 213,015,969.10 280,434,879.62
Accounts paid in advance 127,381,076.65 137,003,771.58
Dividend receivable
Other accounts receivable 53,793,212.57 68,608,410.00
Financial assets purchased under agreements to resell
Inventories 1,633,917,125.62 1,645,070,671.31
Assets held for sale
Non-current assets due within 1 year
Other current assets 8,485,764.14 34,030,201.42
Total current assets 2,661,528,360.24 3,193,664,849.16
Non-current assets:
15
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Loans by mandate and advances granted
Available-for-sale financial assets 67,442,600.00 67,442,600.00
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment
Fixed assets 4,569,302,505.99 4,454,201,264.50
Construction in progress 277,728,941.52 227,959,833.59
Engineering materials 234,437,779.64 19,094,482.53
Disposal of fixed assets
Production biological assets 356,652,171.25 352,846,664.24
Oil-gas assets
Goodwill 20,613,803.29 20,613,803.29
Long-term deferred expenses 2,075,000.60 1,711,304.99
Deferred income tax assets 53,930,178.59 58,158,023.19
Other non-current assets 12,781,283.00 16,255,736.00
Total of non-current assets 5,594,964,263.88 5,218,283,712.33
Total assets 8,256,492,624.12 8,411,948,561.49
Current liabilities:
Short-term borrowings 511,596,083.12 648,664,954.85
Financial liabilities measured at fair value and of which changes are
recorded into current gains and losses
Notes payable 10,818,380.91 10,213,263.69
Accounts payable 292,422,027.79 400,053,679.69
Accounts received in advance 83,307,566.32 100,793,054.81
Employee’s compensation payable 290,034,331.70 372,062,834.99
Tax payable 39,039,228.56 115,248,378.73
Interest payable 2,543,214.96 1,499,475.06
Dividend payable 441,966.54 441,966.54
Other accounts payable 68,965,568.44 84,445,300.34
Non-current liabilities due within 1 year 27,455,391.71 85,356,600.00
Other current liabilities
Total current liabilities 1,326,623,760.05 1,818,779,508.70
Non-current liabilities:
Long-term borrowings 97,516,566.91 97,550,400.00
16
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Bonds payable
Long-term payables 9,735,560.00 9,735,560.00
Specific payables
Estimated liabilities
Deferred income tax liabilities 2,370,204.96 6,550,014.57
Other non-current liabilities 65,917,411.93 64,733,100.81
Total non-current liabilities 175,539,743.80 178,569,075.38
Total liabilities 1,502,163,503.85 1,997,348,584.08
Owners’ equity (or shareholders’ equity)
Paid-up capital (or share capital) 955,758,496.00 955,800,496.00
Capital reserves 1,006,826,760.08 1,000,854,805.66
Less: Treasury stock
Specific reserves
Other Comprehensive income -7,023,529.52 -7,494,320.36
Surplus reserves 659,538,411.25 659,538,411.25
Provisions for general risks
Retained profits 3,726,290,439.28 3,379,354,741.18
Total equity attributable to owners of the Company 6,341,390,577.09 5,988,054,133.73
Minority interests 412,938,543.18 426,545,843.68
Total owners’ (or shareholders’) equity 6,754,329,120.27 6,414,599,977.41
Total liabilities and owners’ (or shareholders’) equity 8,256,492,624.12 8,411,948,561.49
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
2. Balance sheet of the Company
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 361,218,914.48 505,709,597.03
Financial assets measured at fair value and of which changes are
1,973,800.00 25,057,200.00
recorded into current gains and losses
Notes receivable 67,436,001.66 93,356,553.66
Accounts receivable 234,036,121.98 265,740,714.49
Accounts paid in advance 213,150,510.56 198,115,786.71
17
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Dividend receivable
Other accounts receivable
Financial assets purchased under agreements to resell 30,482,279.03 33,075,155.68
Inventories 1,111,203,355.56 940,892,345.31
Assets held for sale
Non-current assets due within 1 year
Other current assets 3,711,653.08
Total current assets 2,019,500,983.27 2,065,659,005.96
Non-current assets:
Loans by mandate and advances granted 55,282,600.00 55,282,600.00
Available-for-sale financial assets
Held-to-maturity investments
Long-term accounts receivable 1,163,788,591.84 1,046,654,204.88
Long-term equity investment
Fixed assets 2,776,855,389.03 2,652,488,993.89
Construction in progress 178,500,335.18 186,973,570.92
Engineering materials 232,711,044.31 9,040,050.06
Disposal of fixed assets
Intangible assets 224,230,709.50 229,829,628.31
R&D expense
Goodwill
Long-term deferred expenses
Deferred income tax assets 32,725,760.24 35,041,084.44
Other non-current assets 5,406,401.00 5,406,401.00
Total of non-current assets 4,669,500,831.10 4,220,716,533.50
Total assets 6,689,001,814.37 6,286,375,539.46
Current liabilities:
Short-term borrowings 297,019,714.00 88,638,765.21
Financial liabilities measured at fair value and of which changes are
recorded into current gains and losses
Notes payable 5,257,207.88 5,474,558.65
Accounts payable 276,249,075.79 211,146,523.67
Accounts received in advance 43,704,747.09 38,413,307.22
Employee’s compensation payable 234,194,342.50 303,548,400.40
18
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Tax payable 24,610,513.61 80,282,862.55
Interest payable 2,406,610.76 681,692.31
Dividend payable 441,966.54 441,966.54
Other accounts payable 18,245,158.82 21,956,228.99
Liabilities held for sale
Non-current liabilities due within 1 year 27,455,391.71 85,356,600.00
Other current liabilities
Total current liabilities 929,584,728.70 835,940,905.54
Non-current liabilities:
Long-term borrowings 97,516,566.91 97,550,400.00
Bonds payable
Long-term payables
Specific payables
Estimated liabilities
Deferred income tax liabilities 296,070.00 3,758,580.00
Other non-current liabilities 30,638,266.48 31,144,621.51
Total non-current liabilities 128,450,903.39 132,453,601.51
Total liabilities 1,058,035,632.09 968,394,507.05
Owners’ equity (or shareholders’ equity)
Paid-up capital (or share capital) 955,758,496.00 955,800,496.00
Capital reserves 1,013,179,441.17 1,007,207,486.75
Less: Treasury stock
Specific reserves
Other comprehensive income
Surplus reserves 659,538,411.25 659,538,411.25
Provisions for general risks
Retained profits 3,002,489,833.86 2,695,434,638.41
Total owners’ (or shareholders’) equity 5,630,966,182.28 5,317,981,032.41
Total liabilities and owners’ (or shareholders’) equity 6,689,001,814.37 6,286,375,539.46
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
3. Consolidated income statement for the reporting period
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
19
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Item Jul.-Sept. 2014 Jul.-Sept. 2013
I. Total operating revenues 1,459,299,125.04 1,578,162,869.91
Including: Sales income 1,459,299,125.04 1,578,162,869.91
II. Total operating cost 1,229,616,946.53 1,294,078,195.58
Including: Cost of sales 1,016,099,059.98 1,093,479,412.12
Interest expenses
Handling charge and commission expenses
Surrenders
Net claims paid
Net amount withdrawn for the insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 11,637,382.05 8,711,151.07
Selling and distribution expenses 38,911,228.21 37,667,349.75
Administrative expenses 160,259,173.42 140,495,171.44
Financial expenses 3,058,935.04 13,400,319.66
Asset impairment loss -348,832.17 324,791.54
Add: Gain/(loss) from change in fair value (“-” means loss) 3,023,830.00 8,243,230.00
Gain/(loss) from investment (“-” means loss) 3,622,872.65 2,590,756.57
Including: share of profits in associates and joint ventures
Foreign exchange gains (“-” means loss)
III. Business profit (“-” means loss) 236,328,881.16 294,918,660.90
Add: non-operating income 38,684,003.14 26,983,588.18
Less: non-operating expense 1,003,631.25 1,208,581.24
Including: loss from non-current asset disposal 823,879.58 1,067,557.93
IV. Total profit (“-” means loss) 274,009,253.05 320,693,667.84
Less: Income tax expense 39,474,507.51 52,436,575.64
V. Net profit (“-” means loss) 234,534,745.54 268,257,092.20
Including: Net profit achieved by combined parties before the combinations
Attributable to owners of the Company 233,259,629.65 259,965,918.94
Minority shareholders’ income 1,275,115.89 8,291,173.26
VI. Earnings per share -- --
(I) Basic earnings per share 0.24 0.28
(II) Diluted earnings per share 0.24 0.28
20
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
VII. Other comprehensive incomes 474,152.61 -233,359.31
Including: Other comprehensive incomes items that cannot be reclassified as gains
and losses in the subsequent accounting periods
Other comprehensive incomes items that will be reclassified as gains and losses
474,152.61 -233,359.31
in the subsequent accounting periods as relevant requirements are met
VIII. Total comprehensive incomes 235,008,898.15 268,023,732.89
Attributable to owners of the Company 233,733,782.26 259,732,559.63
Attributable to minority shareholders 1,275,115.89 8,291,173.26
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
4. Income statement of the Company for the reporting period
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Jul.-Sept. 2014 Jul.-Sept. 2013
I. Total sales 1,146,630,743.95 1,233,216,982.68
Less: cost of sales 806,314,524.45 871,674,675.26
Business taxes and surcharges 7,586,122.90 7,470,100.16
Distribution expenses 17,703,097.47 15,945,415.10
Administrative expenses 114,683,553.89 100,905,286.06
Financial costs 31,161.80 4,077,675.62
Impairment loss 1,537,244.61 3,395,097.23
Add: gain/(loss) from change in fair value (“-” means loss) 2,722,930.00 7,168,300.00
Gain/(loss) from investment (“-” means loss) 63,208,307.08 937,236.57
Including: income form investment on associates and joint ventures
II. Business profit (“-” means loss) 264,706,275.91 237,854,269.82
Add: non-business income 37,341,244.12 23,123,558.29
Less: non-business expense 388,059.63 1,137,244.73
Including: loss from non-current asset disposal 301,200.85 1,059,514.25
III. Total profit (“-” means loss) 301,659,460.40 259,840,583.38
Less: income tax expense 29,849,705.15 40,737,019.49
IV. Net profit (“-” means loss) 271,809,755.25 219,103,563.89
V. Earnings per share -- --
(I) Basic earnings per share 0.28 0.23
(II) Diluted earnings per share 0.28 0.23
21
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
VI. Other comprehensive income
Including: Other comprehensive incomes items that cannot be reclassified as
gains and losses in the subsequent accounting periods
Other comprehensive incomes items that will be reclassified as gains and
losses in the subsequent accounting periods as relevant requirements are met
VII. Total comprehensive income 271,809,755.25 219,103,563.89
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
5. Consolidated income statement for Jan.-Sept. 2014
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Total operating revenues 4,573,525,706.66 4,638,658,125.08
Including: Sales income 4,573,525,706.66 4,638,658,125.08
Interest income
Premium income
Handling charge and commission income
II. Total operating cost 3,781,257,471.20 3,874,437,740.20
Including: Cost of sales 3,153,949,353.35 3,278,054,350.02
Interest expenses
Handling charge and commission expenses
Surrenders
Net claims paid
Net amount withdrawn for the insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 35,180,972.00 40,446,798.89
Selling and distribution expenses 132,019,374.03 119,479,189.90
Administrative expenses 455,191,848.05 401,317,500.83
Financial expenses 10,500,242.50 37,737,259.94
Asset impairment loss -5,584,318.73 -2,597,359.38
Add: Gain/(loss) from change in fair value (“-” means loss) -27,975,320.00 6,524,749.00
Gain/(loss) from investment (“-” means loss) 24,901,821.73 20,240,433.99
Including: share of profits in associates and joint ventures
22
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Foreign exchange gains (“-” means loss)
III. Business profit (“-” means loss) 789,194,737.19 790,985,567.87
Add: non-operating income 58,510,771.38 45,053,343.38
Less: non-operating expense 4,098,753.25 2,092,337.53
Including: loss from non-current asset disposal 2,878,470.70 1,189,964.78
IV. Total profit (“-” means loss) 843,606,755.32 833,946,573.72
Less: Income tax expense 127,534,886.46 136,129,483.74
V. Net profit (“-” means loss) 716,071,868.86 697,817,089.98
Including: Net profit achieved by combined parties before the
combinations
Attributable to owners of the Company 710,139,886.58 676,141,809.32
Minority shareholders’ income 5,931,982.28 21,675,280.66
VI. Earnings per share -- --
(I) Basic earnings per share 0.74 0.71
(II) Diluted earnings per share 0.74 0.71
VII. Other comprehensive incomes 470,790.84 -1,046,286.12
Including: Other comprehensive incomes items that cannot be reclassified
as gains and losses in the subsequent accounting periods
Other comprehensive incomes items that will be reclassified as gains and
losses in the subsequent accounting periods as relevant requirements are 470,790.84 -1,046,286.12
met
VIII. Total comprehensive incomes 716,542,659.70 696,770,803.86
Attributable to owners of the Company 710,610,677.42 675,095,523.20
Attributable to minority shareholders 5,931,982.28 21,675,280.66
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
6. Income statement of the Company for Jan.-Sept. 2014
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Total sales 3,464,830,268.05 3,459,398,413.78
Less: cost of sales 2,403,442,311.30 2,464,801,509.96
Business taxes and surcharges 25,674,053.53 30,666,602.50
Distribution expenses 59,880,409.40 48,967,979.51
Administrative expenses 322,513,995.73 283,102,825.24
23
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Financial costs -4,693,539.59 10,691,014.45
Impairment loss 387,972.56 2,890,515.38
Add: gain/(loss) from change in fair value (“-” means loss) -23,083,400.00 1,108,759.00
Gain/(loss) from investment (“-” means loss) 81,329,816.12 18,672,363.99
Including: income form investment on associates and joint ventures
II. Business profit (“-” means loss) 715,871,481.24 638,059,089.73
Add: non-business income 53,629,451.00 30,634,667.64
Less: non-business expense 3,083,309.92 1,766,598.55
Including: loss from non-current asset disposal 2,354,115.36 1,147,493.63
III. Total profit (“-” means loss) 766,417,622.32 666,927,158.82
Less: income tax expense 96,158,238.39 102,713,999.87
IV. Net profit (“-” means loss) 670,259,383.93 564,213,158.95
V. Earnings per share -- --
(I) Basic earnings per share 0.70 0.59
(II) Diluted earnings per share 0.70 0.59
VI. Other comprehensive income
Including: Other comprehensive incomes items that cannot be reclassified
as gains and losses in the subsequent accounting periods
Other comprehensive incomes items that will be reclassified as gains
and losses in the subsequent accounting periods as relevant requirements
are met
VII. Total comprehensive income 670,259,383.93 564,213,158.95
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
7. Consolidated cash flow statement for Jan.-Sept. 2014
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 4,739,038,472.26 4,677,517,728.61
Net increase of deposits from customers and dues from banks
Net increase of loans from the central bank
Net increase of funds borrowed from other financial institutions
Cash received from premium of original insurance contracts
24
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Net cash received from reinsurance business
Net increase of deposits of policy holders and investment fund
Net increase of disposal of tradable financial assets
Cash received from interest, handling charges and commissions
Net increase of intra-group borrowings
Net increase of funds in repurchase business
Tax refunds received 147,836,635.52 130,470,701.76
Other cash received relating to operating activities 77,348,657.08 68,886,871.62
Subtotal of cash inflows from operating activities 4,964,223,764.86 4,876,875,301.99
Cash paid for goods and services 2,615,548,578.31 2,733,786,778.93
Net increase of customer lendings and advances
Net increase of funds deposited in the central bank and amount due from
banks
Cash for paying claims of the original insurance contracts
Cash for paying interest, handling charges and commissions
Cash for paying policy dividends
Cash paid to and for employees 1,019,650,627.92 901,798,075.13
Various taxes paid 285,300,761.33 199,727,477.04
Other cash payment relating to operating activities 201,143,159.99 143,493,359.83
Subtotal of cash outflows from operating activities 4,121,643,127.55 3,978,805,690.93
Net cash flows from operating activities 842,580,637.31 898,069,611.06
II. Cash flows from investing activities:
Cash received from withdrawal of investments
Cash received from return on investments 120,000.00
Net cash received from disposal of fixed assets, intangible assets and
10,003,767.30 4,597,037.91
other long-term assets
Net cash received from disposal of subsidiaries or other business units
Other cash received relating to investing activities 30,237,990.10 22,643,185.14
Subtotal of cash inflows from investing activities 40,361,757.40 27,240,223.05
Cash paid to acquire fixed assets, intangible assets and other long-term
617,521,092.48 452,765,553.34
assets
Cash paid for investment
Net increase of pledged loans
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities
25
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Subtotal of cash outflows from investing activities 617,521,092.48 452,765,553.34
Net cash flows from investing activities -577,159,335.08 -425,525,330.29
III. Cash Flows from Financing Activities:
Cash received from capital contributions 500,000.00
Including: Cash received from minority shareholder investments by
subsidiaries
Cash received from borrowings 875,003,762.86 895,692,472.84
Cash received from issuance of bonds
Other cash received relating to financing activities 12,000,000.00 128,760,586.78
Subtotal of cash inflows from financing activities 887,503,762.86 1,024,453,059.62
Repayment of borrowings 1,071,424,640.49 1,319,051,629.30
Cash paid for interest expenses and distribution of dividends or profit 408,680,695.24 292,114,539.61
Including: dividends or profit paid by subsidiaries to minority
shareholders
Other cash payments relating to financing activities 37,633,916.36 308,785,842.17
Sub-total of cash outflows from financing activities 1,517,739,252.09 1,919,952,011.08
Net cash flows from financing activities -630,235,489.23 -895,498,951.46
IV. Effect of foreign exchange rate changes on cash and cash equivalents 4,837,492.36 -1,999,550.60
V. Net increase in cash and cash equivalents -359,976,694.64 -424,954,221.29
Add: Opening balance of cash and cash equivalents 869,909,505.89 900,182,215.72
VI. Closing balance of cash and cash equivalents 509,932,811.25 475,227,994.43
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
8. Cash flow statement of the Company for Jan.-Sept. 2014
Prepared by Luthai Textile Co., Ltd.
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 3,510,456,395.45 3,425,325,312.28
Tax refunds received 116,413,226.57 81,499,131.48
Other cash received relating to operating activities 51,225,907.26 33,637,487.63
Subtotal of cash inflows from operating activities 3,678,095,529.28 3,540,461,931.39
Cash paid for goods and services 2,009,520,631.31 2,191,814,367.76
Cash paid to and for employees 770,902,054.08 689,156,047.52
26
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Various taxes paid 175,084,074.85 109,159,564.76
Other cash payment relating to operating activities 114,263,823.31 98,287,684.60
Subtotal of cash outflows from operating activities 3,069,770,583.55 3,088,417,664.64
Net cash flows from operating activities 608,324,945.73 452,044,266.75
II. Cash flows from investing activities:
Cash received from retraction of investments
Cash received from return on investments
Net cash received from disposal of fixed assets, intangible assets and
9,663,804.30 4,504,961.91
other long-term assets
Net cash received from disposal of subsidiaries or other business units
Other cash received relating to investing activities 25,833,632.06 20,077,197.85
Subtotal of cash inflows from investing activities 35,497,436.36 24,582,159.76
Cash paid to acquire fixed assets, intangible assets and other long-term
477,924,701.00 262,433,258.71
assets
Cash paid for investment 87,406,362.39
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities 1,100,000.00
Subtotal of cash outflows from investing activities 565,331,063.39 263,533,258.71
Net cash flows from investing activities -529,833,627.03 -238,951,098.95
III. Cash Flows from Financing Activities:
Cash received from capital contributions
Cash received from borrowings 308,716,019.09 504,371,831.37
Cash received from issuance of bonds
Other cash received relating to financing activities 35,410,586.78
Subtotal of cash inflows from financing activities 308,716,019.09 539,782,418.15
Repayment of borrowings 158,232,764.78 572,748,867.72
Cash paid for interest expenses and distribution of dividends or profit 378,078,667.88 269,785,130.01
Other cash payments relating to financing activities 25,633,916.36 200,985,842.17
Sub-total of cash outflows from financing activities 561,945,349.02 1,043,519,839.90
Net cash flows from financing activities -253,229,329.93 -503,737,421.75
IV. Effect of foreign exchange rate changes on cash and cash equivalents 4,824,462.32 -669,747.39
V. Net increase in cash and cash equivalents -169,913,548.91 -291,314,001.34
Add: Opening balance of cash and cash equivalents 503,157,687.92 559,095,505.76
VI. Closing balance of cash and cash equivalents 333,244,139.01 267,781,504.42
27
Report for the Third Quarter of 2014 of Luthai Textile Co., Ltd.
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
II. Audit report
Is this report audited?
□ Yes √ No
This report is not audited.
Chairman of the Board: Liu Shizhen
Luthai Textile Co., Ltd.
30 Oct. 2014
28
