Stock Code: 002242 Stock Abbreviation: Joyoung Report No.2019-065
Joyoung Co., Ltd
Abstract of Third Quarterly Report of 2019
Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Section I Important Statements
This is an abstract of Third Quarterly Report of 2019 (hereinafter referred to as the
“Report”). Investors are kindly reminded to read the complete version of the Report on
the website which is designated by the China Securities Regulatory Commission to get
complete information about operational results, financial statements and future plans of
the company.
In the event of any discrepancy between the abstract and the full document of the
Report, the full document version shall prevail.
The Board of Directors, the Supervisory Committee as well as all the directors,
supervisors and senior management staff of Joyoung Co., Ltd. (hereinafter referred to
as the “Company”) have warranted that this Report contains no false record, misleading
statement or material omission. And they shall be jointly and severally liable for the
factuality, accuracy and completeness of the information given in this Report.
All directors attended the board meeting that reviewed this Report.
Xuning WANG, Legal Representative of the Company; Jiantiao QIU, CFO of the
Company, and Miao Miao, Chief Accountant of Accounting Institution, declared that the
quarterly financial statements should be true, accurate and complete.
1
Section II Company Profile
1. Key Accounting Data and Financial Indicators
Whether the Company performed a retroactive adjustment to or re statement of accounting data
□ Yes √ No
30 September 2019 31 December 2018 Flux (% )
Total assets (RMB Yuan) 6,228,140,934.50 6,660,086,381.54 -6.49%
Net assets attributable to shareholders of the Company
3,530,015,847.75 3,810,291,395.62 -7.36%
(RMB Yuan)
From 1 January
From 1 July 2019 to 30
Flux (% ) 2019 to 30 Flux (% )
September 2019
September 2019
Operating revenues (RMB Yuan) 2,068,019,945.39 14.98% 6,254,990,267.26 15.02%
Net profits attributable to shareholders of the Company
211,822,515.10 6.35% 617, 827,914.32 8.54%
(RMB Yuan)
Net profits attributable to shareholders of the Company
205, 099,809.10 18.68% 582, 586,867.39 25.20%
before non-recurring gains and losses (RMB Yuan)
Net cash flow from operating activities (RMB Yuan) 745, 207,988.94 282. 40% 922, 017,459.40 120. 33%
Basic earnings per share (RMB Yuan /share) 0.28 7.69% 0.81 9.46%
Diluted earnings per share (RMB Yuan /share) 0.28 7.69% 0.81 9.46%
Weighted average ROE 5.49% 0.33% 16.01% 1.26%
Non-recurring gains and losses item and amount
Unit: RMB yuan
From 1 January 2019 to 30
Item Note
September 2019
Profit or loss from disposal of non-current assets (including the write off of the provision for impairment
5,499,793.46
of assets)
Government Grant included in the current profit and loss (closely related to the business of the
26,734,353.98
company, exclusive of the quota and quantitative grant according to the national uniform standards)
Except for effectively hedging business related to normal business operati ons of the Company, profit or
loss arising from the change in the fair value of held-for-trading financial assets and liabilities, as well as
13,522, 115.34
investment profit or loss produced from the disposal of held-for-trading financial assets and liabilities
and available-for-sale financial assets
Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Other Non-Operating income and expenses besides those mentioned above -1,784,214.94
Less: Corporate income tax 8,584,653.27
Minority interests (after tax) 146, 347.64
Total 35,241,046.93 --
There were no such non-recurring items that should be reclassified to the recurring items, according to the
2. Total number of shareholders and shareholdings of the top ten shareholders at the period-end
2.1 Total number of common shareholders, total number of preferred shareholders with resumed voting rights at the
end of the Reporting Period and shareholdings of the top ten common shareholders at the period-end
Unit: share
Total number of common shareholders at Total number of preferred shareholders with resumed voting
27,044 0
the end of the Reporting Period rights at the end of the Reporting Period (if any)
Top 10 common shareholders
Total shares Number of Pledged or frozen shares
Shareholding
Name of shareholder Nature of shareholder held at the restricted shares
percentage Status Number
period-end held
Domestic
Shanghai Lihong Enterprise Management
non-state-owned 50.11% 384, 523,746 Pledged 339, 272,626
Limited
corporation
Bilting Developments Limited Foreign corporation 16.93% 129, 924,090
State-owned
Central Huijin Investment Ltd. 4.99% 38,310,500
corporation
Hong Kong Securities Clearing Co., Ltd. Foreign corporation 2.50% 19,218,928
E Fund Management Co., Ltd. - Social
Others 1.55% 11,930, 073
Insurance Fund Portfolio No. 1104
Basic Pension Insurance Fund Portfolio No.
Others 0.54% 4,136,381
1206
AEGON INDUSTRIAL Fund Management
Co., Ltd. - Industrial Bank Co., Ltd. -
AEGON INDUSTRIAL - Stock Dividend Others 0.52% 3,979,442
Specific Multi-Client Asset Management
Plan
National Social Security Fund Portfolio No.
Others 0.46% 3,508,647
502
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Agricultural Bank of China Co., Ltd. - CSI
Others 0.43% 3,299,581
500 Exchange Trade Fund
Basic Pension Insurance Fund Portfolio No.
Others 0.40% 3,041,324
1205
Top 10 non-restricted common shareholders
Number of non-restricted Type of shares
Name of shareholder
shares held Type of shares Number
Shanghai Lihong Enterprise Management Limited 384, 523,746 RMB common stock 384, 523,746
Bilting Developments Limited 129, 924,090 RMB common stock 129, 924,090
Central Huijin Investment Ltd. 38,310,500 RMB common stock 38,310,500
Hong Kong Securities Clearing Co., Ltd. 19,218,928 RMB common stock 19,218,928
E Fund Management Co., Ltd. - Social Insurance Fund
11,930, 073 RMB common stock 11,930, 073
Portfolio No. 1104
Basic Pension Insurance Fund Portfolio No. 1206 4,136,381 RMB common stock 4,136,381
AEGON INDUSTRIAL Fund Management Co., Ltd. -
Industrial Bank Co., Ltd. - AEGON INDUSTRIAL - Stock 3,979,442 RMB common stock 3,979,442
Dividend Specific Multi-Client Asset Management Plan
National Social Security Fund Portfolio No. 502 3,508,647 RMB common stock 3,508,647
Agricultural Bank of China Co., Ltd. - CSI 500 Exchange
3,299,581 RMB common stock 3,299,581
Trade Fund
Basic Pension Insurance Fund Portfolio No. 1205 3,041,324 RMB common stock 3,041,324
Shanghai Lihong Enterprise Management Co., Ltd. and Builting Developments
Limited, both controlled by Mr. Xuning WANG, are defined as acting-in-concert
Related or acting-in-concert parties among shareholders parties by the Administrative Measures for the Takeover of Listed Companies. Other
above than the aforementioned related and acting-in-concert parties, the Company is
uncertain about whether there are related or acting-in-concert parties among
shareholders above.
Explanation on the top 10 common shareholders
participating in securities N/A
margin trading (if any)
The company's top 10 common shareholders and the top 10 common shareholders with unrestricted in terms of sale hadn’t engage in
the agreed repurchase transactions during the reporting period.
2.2 Total Number of Preferred Shareholders and TOP 10 Preferred Shareholders and Their Shareholdings
□ Applicable √ Not applicable
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Section III Significant Events
1. Major Changes of Main Items in Financial Statements and Financial Indicators Within the Report
Period, as well as the Reasons for the Changes
Unit: RMB yuan
From 1 January From 1 January
Item 2019 to 30 2018 to 30 Flux (%) Notes
September 2019 September 2018
Mainly due to the increase on wages and business travel
General and administrative expenses 254, 647,689.31 179, 761,212.35 41.66% expenses of administrative staff and amortization of stock
incentive expenses
Financial expenses -6,979,286.19 -16,077, 864.78 -56.59% Mainly due to less foreign exchange gains
Mainly due to the disposal of subsidiary and the dividends
Investment income 52,824,492.32 131, 355,402.02 -59.79%
from associated companies
Including: income from associated
3,453,253.98 39,720,292.24 -91.31% Mainly due to the dividends from associated companies
companies and joint ventures
Credit impairment losses -8,577,774.25 100. 00% Mainly due to the changes of accounting policy that
receivables and other receivables are included in credit
Asset impairment losses -7,617,071.36 -12,166, 788.52 -37.39%
impairment losses
Mainly due to the changes of foreign exchange rate during
Add: Gains on changes in fair value 1,587,949.57 100. 00% the reporting period, which resulted in the changes in other
non-current financial assets fair value
Gains on disposal of assets 6,298,909.35 12,719,572. 17 -50.48% Mainly due to less disposal of assets in the reporting period
Non-operating expenses 12,184,310.83 6,374,674.57 91.14% Mainly due to the increase on donation expenditures
Mainly due to that the Company ’s subsidiary was still at a
Minority interests -10,247, 044.56 -3,853,695.47 -165.90%
loss
Mainly due to the fluctuation in exchange rate in the
Other comprehensive income 7,424,903.36 -2,274,842.44 426. 39%
reporting period
Total comprehensive income attributable to Mainly due to that the Company ’s subsidiary was still at a
-10,247, 044.56 -3,853,695.47 -165.90%
minority interests loss
From 1 January From 1 January
Item 2019 to 30 2018 to 30 Flux (%) Notes
September 2019 September 2018
Mainly due to the increase on income, resulting in an
Net cash flow from operating activities 922, 017,459.40 418, 462,966.54 120. 33%
increase on cash inflows
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Net cash received from disposal of fixed Mainly due to the government's compensation to the land
assets, intangible assets and other 579, 500.00 47,390,251.34 -98.78% and building on ground in Zhangqiu, Shandong during 1
long-term assets January 2018 to 30 September 2018
Net cash received from disposal of Mainly due to the disposal of Joyoung Suzhou company
103, 683,299.35 -100.00%
subsidiaries and other business units during 1 January 2018 to 30 September 2018
Cash paid to acquire fixed assets,
Mainly due to the reduction of the purchasing of fixed
intangible assets and other long-term 35,473,059.50 128, 722,563.33 -72.44%
assets in the reporting period
assets
Mainly due to the reduction of investing activities in the
Cash paid to acquire investments 20,748,877.88 50,493,008.25 -58.91%
reporting period
Cash paid relating to other investing Mainly due to the increase on financial products purchases
1,393,000,000.00 955, 000,000.00 45.86%
activities during the reporting period
Mainly due to the increase on financial products purchases
Net cash flow from investing activities -551,880,575.39 186, 253,647.00 -396.31%
during the reporting period
Mainly due to the acquisition 51% shareholders of
SharkNinja (China), resulting in an increase in minority
Cash received from capital contributions 24,500,000.00 -100.00%
shareholder input during 1 January 2018 to 30 September
2018
Cash received relating to other financing
210, 000,000.00 4,800,000.00 4275.00% Mainly due to bills discounting this reporting period
activities
Cash paid relating to other financing Mainly due to the increase of security deposit paid for bill
219, 566,986.11 164, 092,818.96 33.81%
activities pledge
Effect of foreign exchange rate changes on
6,219,240.13 13,698,259.12 -54.60% Mainly due to less exchange gains in the reporting period
cash and cash equivalents
30 September
Item 1 January 2019 Flux (%) Notes
2019
Mainly due to the honouring of notes receivable in the
Notes receivable 1,254,860,625.68 2,401,908,241.50 -47.76%
reporting period
Accounts receivable 481, 165,200.39 170, 334,201.29 182. 48% Mainly due to the increase on income
Mainly due to advance payments to suppliers to secure the
Advances to suppliers 95,056,320.75 50,140,039.04 89.58%
price of materials
Mainly due to the increase of financial products in the
Including: interest receivable 8,772,130.27 1,087,939.73 706. 31% reporting period, resulting in the increase of interest
receivable
Mainly due to the increase of financial products in the
Other current assets 721, 819,911.36 212, 098,049.34 240. 32%
reporting period
Available-for-sale financial assets 453, 798,187.73 -100.00% Mainly due to the change of accounting policy that equity
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
Other equity instrument investments 250, 667,645.89 100. 00% investments are included in “other equity instrument
Other non-current financial assets 289, 111,242. 71 100. 00% investments” and “other non-current financial assets”
Mainly due to the increase of a small number of
Construction in progress 15,062,768.93 9,525,015.95 58.14%
construction projects in the reporting period
Mainly due to paying the expenses recognized by the end
Deferred tax assets 51,231,924.10 98,823,262. 64 -48.16%
of the last reporting period in the reporting period
Mainly due to the increase of notes payable issued through
Notes payable 749, 962,721.17 398, 577,915.90 88.16%
the Supply Chain Finance in the reporting period
Mainly due to the transfer from advances from customers to
Advances from customers 272, 182,091.82 539, 246,286.69 -49.53%
payments
Mainly due to paying the yearly bonus recognized by the
Employee benefits payable 19,588,204.65 199, 388,479.30 -90.18%
end of 2018 in the reporting period
Taxes payable 57,892,277.64 139, 042,561.43 -58.36% Mainly due to tax payment in the reporting period
Other payables 478, 960,492.21 186, 129,378.79 157. 33% Mainly due to the recognition of the semi-annual dividends
Including: dividends payable 383, 656,000.00 100. 00% Mainly due to the recognition of the semi-annual dividends
Mainly due to the reclassification of patent royalties
Other current liabilities 34,285.69 100. 00%
resulted from the finish of its amortization within one year
Mainly due to the changes of accounting policies during the
reporting period, which resulted in the increase in
Deferred tax liabilities 15,308,571.84 349, 699.95 4277.63%
FVTPL&FVOCI fair value as well as tax liabilities on future
disposal
Mainly due to the reclassification of patent royalties into
Other non-current liabilities 2,279,999.98 -100.00% other current liabilities resulted from the finish of its
amortization within one year
Because the company has exercised the circulation of its
Less: treasury stock 3,402,960.00 4,999,960.00 -31.94%
incentive restricted stock in the reporting period
Mainly due to the changes of accounting policies during the
Other comprehensive income 24,734,354.69 -1,179,916.24 2196.28% reporting period, which resulted in the change in FVOCI fair
value.
Mainly due to that the Company ’s subsidiary was still at a
Minority interests 9,321,593.20 19,568,637. 77 -52.36%
loss
2. Analysis of the Progress of Important Matters and Their Impact and Solutions
The 20th meeting of the 4th Board of Directors held on August 13, 2019 and the 2nd Extraordinary Shareholders'
M eeting of 2019 held on September 11, 2019 reviewed and approved the Proposal on the Distribution of Profits of the
Semi-annual 2019. The Company intends to deduct the 59,000 repurchased and then cancelled shares from the Company's
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
total share capital of 767,371,000 by the end of June 2019. That is, based on 767,312,000 shares, the Company intends to
distribute cash dividends of 5 yuan (tax inclusive) per 10 shares to all shareholders with a total of RM B 383,656,000 yuan cash
dividends, with no stock dividend and no capital reserves converted into share capital.
Overview of important matters Date of disclosure Website index for disclosed reports
2019 semi-annual distribution of
15 August 2019 Please refer to Report No. 2019-054 on Cninfo website (http://www.cninfo.com.cn).
profits
The implementation of share-buyback
The Company's 14th meeting of the 4th Board of Directors held in October 2018 and the first Extraordinary Shareholders
M eeting of 2018 held in November 2018 reviewed and approved the Preparation of Some Public Shares Buyback. The
Company intended to use no less than RM B 40 million yuan and no more than (including) RM B 80 million yuan self-owned
funds to buy back some of the Company's shares in centralized competitive biddings. The buy-back price will not exceed RM B
20 yuan/share (adjusted to RM B 18.70 yuan/share after the 2018 annual and the 2019 semi-annual distributions of profits).
The share buyback time limit is no more than 12 months from its date of approval by the shareholder meeting. By the end of
the reporting period, the Company had not bought back any shares.
The implementation of reducing buy-back shares through centralized competitive bidding
□ Applicable √ Not applicable
3. Commitments Made by the Actual Controller, Shareholders, Related Parties, Purchasers and Other
Relevant Parties That Have not been Fulfilled the Correspondent Promise Within the Reporting Period
□ Applicable √ Not applicable
4. Financial Assets Measured at Fair Value
Unit: RMB yuan
Amount Amount by the
Classes Accumulated changes in Amount disposed Accumulated
Initial Capital Gains on changes in purchased in end of the Source of
of fair value recognized in in the reporting investment
Investment fair value the reporting reporting fund
assets equity period income
period period
Self-owned
Funds 232, 420,187.73 1,587,949.57 61,506,044.80 0.00 -7,741,551.59 90,391,983.01 289, 111,242. 71
capital
Self-owned
Others 221, 378,000.00 6,038,296.19 29,289,645.89 250, 667,645.89
capital
Total 453, 798,187.73 7,626,245.76 90,795,690.69 0.00 -7,741,551.59 90,391,983.01 539, 778,888.60 --
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Joyoung Co., Ltd Abstract of Third Quarterly Report of 2019
5. Illegal external guarantee
□ Applicable √ Not applicable
6. The Non-operating Funds Occupation of the Controlling Shareholders and Its Related Parties
□ Applicable √ Not applicable
7. Trust Investment
Unit: 10,000 RMB yuan
Source of fund for trust Amount of recorded trust
Type Premature balance Overdue balance
investment investment
Bank financial products Self-owned capital 87,300 35,074.76 0
Trust financial products Self-owned capital 52,000 32,000 0
Total 139, 300 67,074.76 0
The specific situation of high-risk, low security, poor liquidity or non-guarantee trust investment of significant amount
□ Applicable √ Not applicable
Trust investment is expected to be unable to recover the principal or other circumstances that may result in impairment
□ Applicable √ Not applicable
8. Registration Forms for Research, Communication and Interviews During the Reporting Period.
Reception object
Date Reception method Basic information index
type
02 July 2019 On site Institution Please refer to the company’s activity record for investor relationships on 2 and
05 July 2019 On site Institution 5 July 2019 on Cninfo website.
15 August 2019 Call Institution Please refer to the company’s activity record for investor relationships
16 August 2019 On site Institution on 15 and 16 August 2019 on Cninfo website.
Please refer to the company’s activity record for investor relationships
16 September 2019 On site Institution
on 16 September 2019 on Cninfo website.
Please refer to the company’s activity record for investor relationships
18 September 2019 On site Institution
on 18 September 2019 on Cninfo website.
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