Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
Stock code: 000018 ，200018 Stock ID : Sino Great Wall ，Sino-B Announcement No. 2017-025
Summary of 2016 Annual Report of Sino Great Wall Co., Ltd.
1. Important notes
The summary is abstract from full-text of annual report, for more details information , investors should found in
the full-text of annual report that published on website of Shenzhen Stock Exchange and other website appointed
by CSRC.
Objections of the directors, supervisors and senior management
Non-standard auditor’s opinion
□ Applicable √Not applicable
Preliminary plan for profit distribution to the common shareholders or turning the capital reserve into the share
capital for the reporting period, which has been reviewed and approved at the board meeting
√Applicable □Not applicable
Conversion of capital reserves into share capital
□Yes √No
The profit distribution proposal reviewed and approved by the boarding meeting was summarized as follows:
1,698,245,011 for the base, the Company would distribute cash dividend to all the shareholders at the rate of
CNY0.60 for every 10 shares (with tax inclusive) , 0 bonus shares（including tax）, and not converting capital
reserve into share capital.
Plans for profit distribution on preference shares for the reporting period approved by the Board
□ Applicable □ Not applicable
II. Basic information about the company
1. Company profile
Stock ID Sino Great Wall ，Sino-B Stock code: 000018 200018
Stock Exchange Listed in Shenzhen Stock Exchange
Contact person and contact manner Board secretary Securities affairs Representative
Name Yang Chunling Liu Guofa
Sino Great Wall Building, No.3 Jinxiu Street, Sino Great Wall Building, No.3 Jinxiu Street,
Contact address Economic Technology Development Zone , Economic Technology Development Zone ,
Beijing Beijing
Fax 010-89045856 010-89045856
Tel 010-89045855 010-89045855
Email. 1208806865@qq.com 000018sz@sina.com
2. Brief introduction to the main business or products in the reporting period
3. Major accounting data and financial indicators
（1）Major accounting data and financial indicators for the last three years
Retrospective adjustment to or restatement of the accounting data for prior years by the Company due to change
of accounting policies and correction of accounting errors
□ Yes √ No
In RMB
1
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
Changed over last year
2016 2015 2014
（％）
Operating Gross income（RMB） 4,664,999,117.17 4,010,358,999.58 16.32% 2,754,684,893.91
Net profit attributable to the
shareholders of the listed company 473,661,862.67 346,648,651.48 36.64% 186,857,504.45
（RMB）
Net profit after deducting of
non-recurring gain/loss attributable
470,274,602.37 347,196,614.68 35.45% 183,801,389.95
to the shareholders of listed
company（RMB）
Cash flow generated by business
-1,687,875,813.94 -292,051,257.08 -30.00% 163,847,389.34
operation, net（RMB）
Basic earning per
0.28 0.4 -30.00% 0.74
share(RMB/Share)
Diluted gains per
0.28 0.40 -30.00% 0.74
share(RMB/Share)(RMB/Share)
Net asset earning ratio（%） 31.18% 34.52% -3.34% 24.54%
End of Changed over last year
End of 2016 End of 2014
2015 （％）
Gross assets（RMB） 7,986,178,961.63 4,017,462,824.63 98.79% 2,447,572,750.57
Net assets attributable to
shareholders of the listed company 1,777,948,117.49 1,282,256,738.74 38.66% 761,471,188.44
（RMB）
（2）Main Financial Index by Quarters
In RMB
First quarter Second quarter Third quarter Fourth quarter
Operating income 924,667,155.55 1,028,907,599.96 1,280,022,467.68 1,431,401,893.98
Net profit attributable to the
76,587,282.98 125,712,133.66 100,866,553.43 170,495,892.60
shareholders of the listed company
Net profit after deducting of
non-recurring gain/loss attributable
76,587,282.98 99,349,882.17 100,801,973.68 193,535,463.54
to the shareholders of listed
company
Net Cash flow generated by
-318,972,753.01 -937,643,206.19 -429,722,866.27 -1,536,988.47
business operation
Whether significant variances exist between the above financial index or the index with its sum and the financial
index of the quarterly report as well as semi-annual report index disclosed by the Company.
□ Yes √No
4.Share capital and shareholders
（1）Number of holders of ordinary shares and preference shares with restored voting right and Top 10
shareholders
In shares
Total
Total number Total
of common shareholders at The total number
preferred sharehold
shareholders at the end of the of preferred shar
ers at the end of the
the end of the 59,940 57,374 eholders voting ri 0 0
month from the month from the date
ghts restored at p
reporting of disclosing the
date of disclosing eriod-end
period annual report
the annual report
Shareholdings of Top 10 shareholders
Shareholders Nature of Proportion of Number of Amount of restricted shares held Number or share
2
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
shareholder shares held（%） shares held pledged/frozen
at period
-end State of share Amount
Domestic
Chen Lve Natural 34.33% 582,944,556 582,109,696 Mortgage 434,660,594
person
Domestic
Union Holdings Non-
5.47% 92,970,910 0
Co., Ltd. State-owned
legal person
STYLE-SUCC Foreign
5.18% 87,935,921 0
ESS LIMITED legal person
Shanghai
Domestic
Financial
Non-
Development 3.23% 54,800,458 54,800,458
State-owned
Investment
legal person
Fund(LP)
Domestic
He Feiyan Natural 2.50% 42,479,672 42,479,672
person
Rich Crown
Foreign
Investment Co., 1.37% 23,235,313 0
legal person
Ltd.
Jiangxi Taihao Domestic
Venture Non-
Investment 1.11% 18,791,879 0
State-owned
Centre(LP） legal person
Bank of China
－Fortis Income
Growth
Other 1.07% 18,200,320 0
Securities
Investment
Fund
ICBC－
Huitianfu
private activity
Other 1.02% 17,292,602 0
of hybrid
securities
investment fund
China National
Petroleum
Corporation Other 0.88% 14,982,390 0
Pension Plan－
ICBC
Chen Lve and He Yanfei are consortium officers; Wuxi Hengtai Jiuding Assets Management Centre
Note to the top 10 common
（LP）and Yantai Zhaoxuan Yuantai Jiuding Venture Investment Centre（LP）are consortium officers;
stockholders involved in
margin financing & securities Union Development Group Ltd. is the controlling shareholder of the above-mentioned shareholder
Shenzhen Union Holdings Ltd. and third shareholder Rich Crown Investment Co., Ltd. The other
lending (If any)
tradable shareholders neither knew whether there exists associated relationship between them.
(2)Total preference shareholders and the shares held by the Top 10 Preference shareholders
□ Applicable □ Not applicable
3
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
(3)Block diagram of the ownership and control relations between the Company and the actual controller
5. Corporation bonds
Whether the company has corporate bonds that have been publicly issued and listed on the stock exchange, and
not yet due or due butnot folly cashed on the approval date of annual report
No
III. Discussion and Analysis of the Management
1. Business Operation summary in the reporting period
Whether the company needs to comply with the disclosure requirements of the particular industry
No
1. Overall overview of business condition
The year of 2016 is the beginning year of China's "13th Five-Year" plan, and it also is the crucial year for the
supply-side structural reform. Although the world economic growth is still slow, the China’s economy has shown
signs of stabilized recovery after the bottoming under the impact of positive fiscal policy, adaptive monetary
policy and the real-estate policy. Under the background of the new economical normal, the company firmly
adheres to the development concept of “International development” and closely follows up the national
strategy of “One Belt, One Road”, seizing the opportunity and actively going abroad for development. The
company continuously increases the efforts of business development in the countries and regions along “One Belt,
One Road”. Meanwhile, the company actively seeks the cooperation with domestic and foreign well-known
companies, tapping into each other’s advantage to continuously expand the cooperative fields. In 2016, the
amount of the overseas bids won by the company and the new signing orders exceeded RMB 27 billion, so the
plenteous orders will provide a solid safeguard for the company’s operating performance in the next few years.
In 2016, China continued to strongly promote the PPP project. Based on the “Guidance on the Promotion of
cooperation model between government and social capital in the field of public service” released in 2015, the
government further released other official documents such as “Notice on promoting asset securitization related to
government and social capital cooperation (PPP) project in traditional infrastructure field”. Under China’s strong
promotion of PPP project construction, the domestic PPP project business continues to heat up and the investment
in infrastructure has been picking up. The company precisely judged the timing and timely seized the
opportunities, so the company carried out merger and acquisition of enterprises in the same industry and perfected
the construction qualifications. Therefore, the company’s domestic business has been effectively extended and
developed, and the company has made the successful transformation and upgrading from the previous main
business of decoration, thus becoming a comprehensive construction & building service provider with general
contracting ability of construction, which greatly improved the company’s s core competitiveness and the
comprehensive strength.
In 2016, for the investment in the medical field, the company completed the purchase of Wuhan Commercial
and Vocational Hospital Co.,Ltd (hereinafter referred to as the "Wuhan Commercial and Vocational Hospital").
The hospital PPP business achieved a good start, and then the company won the bids of Relocation of Henan Luyi
hospital, Guizhou Zhongshan Hongqiao City Hospital Project, the PPP project of Overall Relocation of Huichang
4
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
County People's Hospital and the PPP construction project of Lingbao First People's Hospital etc. The signing and
implementation of the above projects will provide a strong support for the company's future operating
performance.
Based on the analysis and judgment of the status quo and the future prospects of the domestic and
international construction market and the medical & health industry, the company will continue to enhance the
project contracting and investment along “One Belt, One Road”, increase the investment in the domestic medical
& health industry and PPP business, constantly improve the company’s management level, perfect and upgrade
the existing qualifications, strongly expand overseas markets, actively participate in the domestic infrastructure
PPP projects and promote the sound implementation of more projects, thus to keep a stable, harmonious
development for the company’s domestic and international business and continuously improve the company’s
profitability.
In 2016, the company realized operation income of RMB 4.665 billion, an increase of 16.32% from the last
year; realized the operating profits of RMB 556million, an increase of 28.99% from the last year; and the net
profit attributable to the parent company was RMB 474 million, an increase of 36.64% from the last year.
In 2016, the main work carried out by the company is as follows:
1) Improved the construction qualifications for domestic building & engineering construction, extended the
industry chain.
In 2016, the main income of the domestic business was still from the traditional decoration business. In order
to better expand the domestic business and extend the industrial chain, the company bought out Sichuan Ding Hui
Construction Engineering Co., Ltd (the current name is Sino Great Wall Southwest Construction Engineering Co.,
Ltd), and the company obtained the share-control of Sichuan Hao Yao Construction Engineering Co., Ltd (Now is
Sino Great Wall Jianye Construction Engineering Co., Ltd) by the way of capital increase and becoming a
shareholder, so the company has improved the construction qualifications for domestic building & engineering
construction, and has expanded the qualification field from the previous decoration for constructions to a number
of new fields such as housing &building construction, municipal public facility, highway, water conservancy and
hydropower, petrochemical and power engineering. Therefore, the company has greatly expanded the company’s
business scope and enhanced the company’s market competitiveness and influence, thus laid a solid foundation for
the further improvement on the company’s business performance and profitability.
2) Achieved good results in the overseas business development
In 2016, benefiting from the strong promotion of “One Belt, One Road” policy, relying on the company’s good
reputation in the overseas construction and the company’s rich construction experience and upon the company’s
hard-working, the company’s overseas business achieved a rapid growth. In 2016, the company has won the bids
and/or large orders in a number of countries and regions such as Indonesia, Algeria, Burma, Congo, Laos,
Kampuchea, and the total amount of those orders exceeds RMB 27 billion. After several years of unremitting
efforts and careful cultivation, the company's overseas business development has entered into the fast lane, and the
above orders will provide a strong guarantee for the company's business performance in the next few years.
(3) Made a good start in the medical & health industry
In 2016, the company achieved a good start in the medical & health industry, and then the company won the
bids of a number of hospital PPP projects including Relocation project of Henan Luyi hospital, Guizhou
Zhongshan Hongqiao City Hospital Project, the PPP project of Overall Relocation of Huichang County People's
Hospital and the PPP construction project of Lingbao First People's Hospital. The company has trained and
cultivated the professional medical management and marketing team.
(4) Fully respecting talents and giving opportunities to talented people, and continuously drawing in talents
The enterprise competition is ultimately the talents competition, so the company always adheres to the value of
“people-oriented, giving full respect and opportunities to talents”. The company highly values the human
resources and talents cultivation. According to the company’s business development plan, the company
continuously draws in exterior talents and cultivates the inner talents. The company has continuously improved
the quality and level of the technical team and management team of the company, as well as provided a good
development platform for various types of talents. By perfecting the personnel training mechanism and the
performance evaluation and incentive evaluation mechanism etc, the company would attract more talents and
retain the talents, thus to provide a good talent reserve for the company‘s healthy, sustainable development.
（5）Standardize company instruction and enhance management
In 2016, based on reality, the company revises and improves a series of instructions including Articles of
Association and Rule of Procedure of Shareholders' Meeting to further improve the corporate governance and to
build a management system and internal control system in a more scientific and rigorous way and to manage and
5
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
standardize the company, its subsidiaries and detailed businesses in more layers for improving Enterprise
operation management level. Provide a solid system guarantee for the development of all business and effectively
improve the management of the company and reduce the risk of company’s operation.
The company, a fast developing construction one, issues shares to Sino Great Wall (Beijing) Investment Co.,
Ltd. and Beijing Anben Medicare investment Co., Ltd. and Mr. Zheng Jihua and gets fund of 2.5 billion Yuan for
the company’s high demand of circulating funds and assets in the development and operation and for reducing the
company’s debt asset ratio, optimize capital structure and for enhancing the company’s capital strength. On
February 16, 2017, the company held Board of Directors and reviewed Resolution on Adjusting Private Equity
Placement Scheme of The Company and adjusted the total capital to be 900 million Yuan. Currently private
equity placement A share of the company gets the approval of Issuance Examination of China Securities
Regulatory Commission. The fund of private equity placement is used for supplying circulating fund and repaying
bank loan, which lays a solid foundation of company’s business and improves the comprehensive competence of
the company further.
2. Material change in principal activities during the reporting period
□ Yes □No
3. Products accounting for over 10% of revenue or profit from principal activities of the Company
□ Applicable □Not applicable
4. Seasonal or cyclical operations requiring special attention
□ Yes □No
5. Material difference of revenue, operating costs or net profit attributable to holders of ordinary shares of the
Company for the reporting period from the last reporting period
□ Applicable □Not applicable
6. Suspension in trading or delisting
□ Applicable √Not applicable
7. Events relating to the financial report
(1) Reason for changes in accounting policies, accounting estimates and accounting methods as compared to the
financial report for the prior year
□ Applicable √ Not applicable
Nil
(2) Reason for retrospective restatement to correct major accounting errors during the reporting period
□ Applicable √ Not applicable
Nil
(3) Reason for changes in scope of the consolidated financial statements as compared to the financial report for
the prior year
√ Applicable □Not applicable
In 2016, the company founded Sino Great Wall Medicare investment Co., Ltd., Sino Great Wall
Infrastructure Investment Co., Ltd. and Wuhan Vocational Hospital Co., Ltd. wholly owned by the company by
cash offer, Sino Great wall Xinan Construction Co., Ltd. (Original name: Sichuan Dinghui Construction Co., Ltd.)
which is wholly bought by subsidiary Sino International, Sino Great Wall Construction Co., Ltd. (Original name:
Sichuan Haoyao Construction Co., Ltd.) is 60% bought by share issue by the company. Meanwhile, Sino
International founded newly subsidiaries called Sino Great wall Property (Hubei) Co., Ltd. and Sino Great wall
Development (Hengqin) Co., Ltd. Then the above newly founded companies and newly bought companies began
to be into the merger range of the company since 2016.
2. Companies not into merger account range in this stage
6
Sino Great Wall Co., Ltd. Summary of 2016 Annual Report
In 2016, Sino International cancelled holding companies called Sino Heji Recycled Material Co., Ltd., which
was not in the merger range.
7
