Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
Shenzhen Accord Pharmaceutical Co., Ltd.
The Third Quarterly Report for 2010
(Full Text)
§1. Important Notes
1.1 Board of Directors and the Supervisory Committee of Shenzhen Accord Pharmaceutical Co., Ltd. (hereinafter referred to as the Company) and its directors, supervisors and senior executives hereby confirm that there are no any fictitious statements, misleading statements, or important omissions carried in this report, and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completion of the whole contents.
1.2 The Third Quarterly Financial Report of 2010 has not been audited by CPAs.
1.3 Chairman of the Board Mr. Shi Jinming, General Manager Mr. Yan Zhigang, CFO Mr. Wei Pingxiao and Financial Manager Mr. Chi Guoguang hereby confirm that the Financial Report of the Third Quarterly Report is true and complete.
§2. Company Profile
2.1 Main accounting highlights and financial indexes:
Unit: RMB
2010.9.30
2009.12.31
Increase/decrease scope (%)
Total assets (RMB)
6,105,679,741.88
5,233,489,407.09
16.67%
Owners’ equities attributable to the shareholders of listed company (RMB)
977,655,738.52
822,666,137.68
18.84%
Share capital (Share)
288,149,400.00
288,149,400.00
0.00%
Net assets per share attributable to the shareholders of listed company (RMB/Share)
3.393
2.855
18.84%
July-Sep.2010
Increase/decrease over the same period of the last year (%)
Jan.-Sep. 2010
Increase/decrease over the same period of the last year (%)
Total operating income (RMB)
3,440,952,411.56
16.95%
9,657,076,546.79
20.87%
Net profit attributable to the shareholders of listed company (RMB)
62,183,552.48
31.15%
183,804,540.84
25.82%
Net cash flow arising from operating activities (RMB)
-
-
286,512,131.91
47.77%
Net cash flow arising from operating activities per share (RMB/Share)
-
-
0.994
47.77%
Basic earnings per share (RMB/Share)
0.216
31.15%
0.638
25.82%
Diluted earnings per share (RMB/Share)
0.216
31.15%
0.638
25.82%
Weighted average return on equity (%)
6.78%
0.07%
20.31%
0.11%
Weighted average return on equity after deducting non-recurring gains/losses (%)
6.48%
1.59%
19.20%
1.07%
1Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
Items of non-recurring gains and losses
Amount from year begin to the end of report period
Remarks
Gains and losses from the disposal of non-current asset
4,957,950.02
Governmental subsidy calculated into current gains and losses, while closely related with the business of the Company, excluding the fixed-amount or fixed-proportion governmental subsidy according to the unified national standard
6,290,788.73
Switched back of impairment provision of account receivable that performed impairment testing independently.
4,199,921.45
Other non-operating income and expense excluded the aforementioned business
-2,204,070.10
Influenced amount of minority shareholders’ gains/losses
19,771.95
Impact on income tax
-2,142,913.06
Total
11,121,448.99
-
2.2 Total number of shareholders at the end of the report period and shares held by the top ten shareholders with unrestricted conditions
Unit: Share
Total number of shareholders
at the end of report period
9,473
Particulars about the shares held by the top ten shareholders with unrestricted conditions
Full name of shareholder
Unrestricted shares held
Type of shares
SINOPHARM GROUP CO., LTD.
110,459,748
RMB common share
HTHK/CMG FSGUFP-CMG FIRST STATE CHINA GROWTH FD
7,032,720
Domestically listed foreign share
AGRICULTURAL BANK OF CHINA－GREATWALL ANXIN RETURN MIXED FUND
7,000,000
RMB common share
ICBC－GUANGFA JUFENG STOCK FUND
6,481,267
RMB common share
ICBC— ZHONGYIN GROWTH STOCK FUND
5,911,810
RMB common share
BANK OF CHINA—JINSHUN GREATWALL DINGYI OPEN STOCK FUND
5,258,073
RMB common share
ICBC—BOSHI SELECTED STOCK FUND
4,963,365
RMB common share
ICBC— JIASHI STRATEGY GROWTH MIX STOCK FUND
4,534,968
RMB common share
ICBC—GUANGFA STRATEGY SELECTED MIX STOCK FUND
4,207,399
RMB common share
BANK OF CHINA—JIASHI GROWTH OPEN STOCK FUND
3,848,238
RMB common share
§3. Significant events
3.1 Particulars about material changes in items of main accounting statement and financial index, and explanations of reasons
√Applicable □Inapplicable
1. Account paid in advance at period-end increased RMB 40.29 million compared with that of period-begin with increase rate of 47.04%. Mainly caused by: (1) with the purpose of satisfying sales requirement, the subordinate
2Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
subsidiary of the Company—Shenzhen Zhijun Pharmaceutical Co., Ltd. improving the sales volume by purchasing new-type equipments on one hand, made increase of the account paid in advance by purchasing more raw materials on the other hand; (2) the enlarged sales scale of SINOPHARM GROUP Guangzhou Co., Ltd. – subordinate subsidiary of the Company increased the account paid in advance.
2. Dividend receivable at period-end decreased RMB 8.27 million compared with that of period-begin with growth rate of -100%. Mainly caused by: the Company’s subordinate subsidiary --Shenzhen Zhijun Pharmaceutical Co., Ltd. received the dividend from Shenzhen Main Luck Pharmaceuticals Inc. in the beginning of this report period.
3. Construction in process at period-end increased RMB 16.25 million compared with that of period-begin with increase rate of 35.21%. Mainly caused by: newly-built drug workshop of raw material of cephalosporin asepsis and construction of sewage reform, power distribution reform and cable restructure in plant zone that contribute to the productivity of Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd.
4. Fixed assets disposal increased RMB 1.13 million compared with that of period-begin. Mainly caused by: the disposal of discard fixed assets from Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd.—subordinate subsidiary of the Company increased RMB 1.13 million in this period.
5. Goodwill at period-end increased RMB 18.48 million compared with that of period-begin with increase rate of 54.11%. Mainly caused by: premium acquisition of Shenzhen Yanfeng Pharmaceutical Co., Ltd. generated goodwill of RMB 16.87 million and goodwill of RMB 1.61 million generated by acquisition of Meizhou Xinte Medical Co., Ltd.
6. Long-term deferred expenses at period-end increased RMB 3.11 million compared with that of period-begin with increase rate of 46.26%. Mainly caused by: the subordinate subsidiary—Guangdong Hengchang Logistic Co., Ltd. increased the expenses of reform on cold storage rental.
7. Account payable at period-end increased RMB 570.54 million compared with that of period-begin with increase rate of 33.53%. Mainly caused by: the Company increased the order volume of inventory with purpose of increasing the sales income.
8. Dividend payable at period-end decreased RMB 0.313 million compared with that of period-begin with increase rate of -53.14%. Mainly caused by: RMB 0.36 million interest payable in last period-end have been paid by the parent company—Shenzhen Accord Pharmaceutical Co., Ltd. while there is no interest payable paid in this period.
9. Dividend payable at period-end increased RMB 1.65 million compared with that of period-begin. Main reason: in this period, subordinate subsidiary—Shenzhen Yanfeng Pharmaceutical Co., Ltd. increased payable profit of RMB 1.65 million owned to the original shareholders from January- April.
10. Long-term loans at period-end decreased RMB 20 million compared with that of period-begin with increase rate of -66.67%. Mainly caused by: subordinate subsidiary—Shenzhen Zhijun Pharmaceutical Co., Ltd. transferred the long-term loans of RMB 30 million that due within one year to non-current liabilities that due within one year. And the subordinate subsidiary—Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd. increased a long-term loans of RMB 10 million.
11. Retained profit at period-end increased RMB 154.99 million compared with that of period-begin with increase rate of 30.28%. Mainly caused by: the Company perfected the product structure, enlarged the room for gross profit continually, controlling the expenses reasonably for gaining more profit.
12. Minor shareholders’ equity at period-end increased RMB 23.23 million compared with that of period-begin with increase rate of 41.88%. Mainly caused by: the 51% equity acquisition of Shenzhen Yanfeng Pharmaceutical Co., Ltd. increased RMB 20.50 million to minor shareholders’ equity.
13. Operating tax in this period increased RMB 3.53 million compared with that of same period of last year with increase rate of 34.62%. Mainly caused by: the enlargement business scale forced the income increased that correspondingly increased the taxes payables.
14. Financial expense in this period increased RMB 25.77 million compared with that of same period of last year with increase rate of 78.22%. Mainly caused by: (1) the borrowing interest influenced by the adjustment of tight-money policy; (2) for supporting the business, the discount of bank loans and notes increased.
15. The assets impairment losses in this period increased RMB 14.5 million compared with that of same period of last year with increase rate of 308.63%. Mainly caused by: (1) subordinate subsidiary of the Company – SINOPHARM GROUP Guangzhou Co., Ltd. accrual the bad debt of account receivable as RMB 15.69 million from Guangdong Liyuan Medical Co., Ltd. (2) subordinate subsidiary of the Company – SINOPHARM GROUP Nanning Co., Ltd. accrual the bad debt of account receivable as RMB 2.8 million. (3) The bad debt of other account receivable—RMB 3.49 million, accrual last year by the Company from Shenzhen Medicines and Health Products Import &Export Co., Ltd. has been totally received.
16. Investment income in this period decreased RMB14.48 million compared with that of same period of last year
3Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
with increase rate of -50.47%. Mainly caused by: the income gained from transferring the equity of Guangdong Accord Drug Store Co., Ltd. and Guangxi Accord Chain Co., Ltd. in same period of last year, there is no equity transfer in this period.
17. Non-operating income in this period increased RMB 2.27 million compared with that of same period of last year with increase rate of 32.18%. Mainly caused by: (1) subordinate subsidiary of the Company –Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd. received the government subsidy of RMB 3.95 million this period, received more RMB 2.4 million over same period of last year. (2) subordinate subsidiary of the Company – SINOPHARM GROUP Nanning Co., Ltd. received RMB 0.1 million tax bounty of 2008 from Xixiangtang Street Office in 2009 while received no tax bounty in 2010.
18. Non-operating expense in this period increased RMB 1.99 million compared with the same period of last year with increase rate of 229.05%, mainly due to the Company spent more on disaster relief donation expense and the gains and losses from disposal of fixed assets in this period higher than the same period of last year.
19. Loss and gains of minority shareholders in this period decreased RMB1.74 million comparing with the same period of last year with decrease rate of 39.02%, mainly due to: (1) subordinate subsidiary—SINOPHARM GROUP Liuzhou Co., Ltd. benefit less profit than same period of last year with RMB 5.29 million down which caused RMB 2.59 million down in the losses/gains of minority shareholders. (2) Subordinate subsidiary—Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd benefit more profit that same period of last year with RMB 1.32 million up which made RMB 0.33 million increased in the losses/gains of minority shareholders. (3) Net profit of RMB 1.06 million in the period from purchasing the Shenzhen Yanfeng Pharmaceutical Co., Ltd. made RMB 0.52 millionincreased in the losses/gains of minority shareholders.
20. Tax rebate received in this period increased RMB 0.37 million comparing with the same period of last year with increase rate of 78.12%, mainly due to that the subordinate subsidiary of the Company Suzhou Zhijun Wanqing Pharmaceutical Co., Ltd received tax refund of annual income tax declaration of last year as of RMB 0.37 million.
21. Various tax fees paid in this period increased RMB 54.57 million comparing with the same period of last year with increase rate of 33.64%, mainly due to: (1) Sales scale of the Company expanded thus profitability ascended which made various tax fees increase comparing with the same period of last year. (2) Income tax rate in this period of company in Shenzhen region was higher than that of last period influenced by tax rate in transition period.
22. Cash received from investment income in this period increased RMB 8.27 million comparing with the same period of last year, mainly due to that subsidiary of the Company Shenzhen Zhijun Pharmaceutical Co., Ltd received RMB 8.27 million dividend that attributable to period from July of 2008 to April of 2009, distributed from Shenzhen Main Luck Pharmaceuticals Inc.
23. Net cash received from disposal of subsidiaries and other operating units in this period decreased RMB60.13 million comparing with the same period of last year with increase rate of -99.46%, mainly due to that the Company received equity transfer fees from transferring Guangdong Accord pharmacy and Guangxi Accord Chain Co., Ltd at the same period of last year.
24. Cash paid on construction of fixed assets, intangible assets and other long-term assets increased RMB63.77 million comparing with the same period of last year with increase rate of 92.02%, mainly due to: newly-built drug workshop of raw material of cephalosporin asepsis and construction of sewage reform, power distribution reform and cable restructure in plant zone etc projects cost RMB 70.51 million, RMB 44.52 million more than same period of last year. (2) Subordinate subsidiary Guangxi SINOPHARM Logistic Co., Ltd. spent RMB16.02 million on purchase of land use right for the project of Nanning Logistics Park.
25. Net cash paid to subsidiaries and other operating units of the Company in this period decreased RMB 94.65 million comparing with the same period of last year with decrease rate of 89.61%, mainly due to that net cash amount paid for purchasing Shenzhen Yanfeng Pharmaceutical Co., Ltd and Meihzou Xinte Pharmaceutical Co., Ltd in this period was lower than the one paid for purchasing Suhzou Zhijun Wanqing Pharmaceutical Co., Ltd and Dongguan Accord Pharmaceutical Co., Ltd in the same period of last year.
26. Cash paid for other activities that related to investment in this period increased RMB 64.02 million comparing with the same period of last year with increase rate of 3096.64%, mainly due to the medicine business of Naning Pharmaceutical Co., Ltd. purchased by SINOPHARM GROUP Nanning Co., Ltd. paid in this period.
27. Cash received from loan in this period increased RMB 697.19 million comparing with the same period of last year with increase rate of 115.92%, mainly due to increased bank loan for supporting the business of the Company.
28. Other cash received from financing activity in this period decreased RMB 20.93 million comparing with the same period of last year with increase rate of -94.03%, mainly due to that in the same period of last year SINOPHARM GROUP Guangzhou Co., Ltd received loan from SINOPHARM GROUP Co., Ltd while in this period SINOPHARM GROUP Co., Ltd offered funds to SINOPHARM GROUP Guangzhou Co., Ltd in forms of 4Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
interbank entrust loans which was reflected in the cash received from loans.
29. Cash paid for debts paying in this period increased RMB 83.81 million comparing with the same period of last year with increase rate of 210.90%, mainly due to the bank loans were due partially, the debt paying increased over the same rate.
30. Dividend and profit paid to minority shareholders in this period decreased RMB 4.9 million comparing with the same period of last year with increase rate of -100%, mainly due to that in the same period of last year subordinate subsidiary of the Company SINOPHARM GROUP Liuzhou Co., Ltd paid RMB 4.9 million dividend to minority shareholders while in this period, companies with minority equity didn’t make distribution.
31. Other cash paid for financing activities in this period decreased RMB 341.11 million comparing with the same period of last year with increase rate of -93.34%, mainly due to that in the same period of last year subordinate subsidiary of the Company SINOPHARM Group Guangzhou Co., Ltd. returned RMB180 million loans to SINOPHARM GROUP Co., Ltd; parent company returned RMB 60 million loans to SINOPHARM GROUP Co., Ltd; subsidiary SINOPHARM Group Nanning Co., Ltd returned RMB 57.14 million to SINOPHARM GROUP Co., Ltd.
3.2 Progress of significant events, their influences, and analysis and explanation of their solutions
3.2.1 Qualified opinion
□Applicable √Inapplicable
3.2.2 Particular about fund offers to controlling shareholders or associated parties and external guarantee that against the regulation.
□Applicable √Inapplicable
3.2.3 Particular about signing and implementation on significant contracts of ordinary management.
□Applicable √Inapplicable
3.2.4 Other
√Applicable □Inapplicable
In December of 2009, the Company purchased Guangxi Huiqing Investment Co., Ltd—an enterprise under the same control. According to relevant regulations of Accounting Standard for Business Enterprises No. 20 - Business Combinations, the Company made adjustments on comparative statement as of September of 2009 and consolidated Guangxi Huiqing Investment Co., Ltd and its subsidiary Guangxi Guoda Pharmacy Chain Co., Ltd with the incomes from January- September of 2009 increased RMB 9.53 million, RMB 40 thousand net profit, the net cash flow arising from operating activities was RMB -0.37 million.
3.3 Implementations of commitments by the Company, shareholders and actual controller
□Applicable √Inapplicable
3.4 Estimation of accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the warning of its material change compared with the corresponding period of the last year and explanation of reason
□Applicable √Inapplicable
3.5 Particulars about the other significant events which needed explanations
3.5.1 Particular about security investment
□Applicable √Inapplicable
5Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
3.5.2 Activities on receiving research, communication and interview in the report period
In the report period, there were no receiving spot research, communication and written inquiry from the investors.
3.6 Particulars about derivatives investment
□Applicable √Inapplicable
3.6.1 Particulars about the positions of derivatives investment at the end of report period
□Applicable √Inapplicable
§4. Appendix
4.1 Balance sheet
Prepared by Shenzhen Accord Pharmaceutical Co., Ltd. Sep. 30, 2010 Unit: RMB
Balance at period-end
Balance at year-begin
Items
Consolidation
Parent Company
Consolidation
Parent Company
Current assets:
Monetary funds
638,079,727.83
94,963,183.26
579,471,913.48
125,541,203.80
Settlement provisions
Capital lent
Transaction finance asset
Notes receivable
293,932,440.28
8,019,285.66
359,419,752.39
1,758,275.85
Accounts receivable
3,050,583,415.15
349,539,082.17
2,438,526,944.67
301,349,886.88
Accounts paid in advance
125,933,337.80
731,657.87
85,646,539.08
1,042,226.64
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance receivable
Interest receivable
Dividend receivable
8,271,829.94
Other receivables
55,942,669.75
451,399,793.50
48,175,405.78
379,622,614.20
Purchase restituted finance asset
Inventories
1,011,049,422.73
117,386,740.06
903,934,387.58
96,332,120.70
Non-current asset due within one year
Other current assets
Total current assets
5,175,521,013.54
1,022,039,742.52
4,423,446,772.92
905,646,328.07
Non-current assets:
Granted loans and advances
Finance asset available for sales
Held-to-maturity
6Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
investment
Long-term account receivable
Long-term equity investment
94,282,482.56
1,237,914,866.27
80,399,471.97
642,597,981.98
Investment real estate
72,597,128.22
6,909,986.60
57,973,532.97
7,572,670.36
Fixed assets
457,053,940.94
25,975,673.32
418,780,207.51
28,578,457.35
Construction in progress
62,395,567.92
253,886.24
46,146,183.50
253,886.24
Engineering material
Disposal of fixed asset
1,126,227.29
Productive biological asset
Oil and gas asset
Intangible assets
121,110,222.39
28,790,026.94
116,232,435.65
29,653,420.36
Expense on Research and Development
246,745.01
235,375.01
Goodwill
52,632,492.42
34,153,027.89
Long-term expenses to be apportioned
9,825,306.73
72,583.43
6,717,663.30
184,277.86
Deferred income tax asset
15,588,930.45
12,871,196.24
Other non-current asset
43,299,684.41
36,533,540.13
Total non-current asset
930,158,728.34
1,299,917,022.80
810,042,634.17
708,840,694.15
Total assets
6,105,679,741.88
2,321,956,765.32
5,233,489,407.09
1,614,487,022.22
Current liabilities:
Short-term loans
1,160,660,193.87
354,030,440.45
944,189,604.46
347,023,220.37
Loan from central bank
Absorbing deposit and interbank deposit
Capital borrowed
Transaction financial liabilities
Notes payable
1,019,985,066.64
165,620,379.28
1,104,950,330.28
167,985,468.09
Accounts payable
2,272,087,623.40
322,592,698.47
1,701,543,860.48
246,909,317.09
Accounts received in advance
62,177,486.79
30,779.38
81,860,595.37
7,015,577.03
Selling financial asset of repurchase
Commission charge and commission payable
Wage payable
99,319,518.51
24,801,642.05
107,396,041.96
21,952,780.15
Taxes payable
45,888,315.98
2,747,005.82
36,327,948.81
122,667.32
Interest payable
276,023.25
589,050.00
361,845.00
Dividend payable
1,651,617.12
Other accounts payable
273,557,040.38
709,635,895.67
244,895,882.94
263,570,295.56
Reinsurance payables
Insurance contract reserve
7Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
Security trading of agency
Security sales of agency
Non-current liabilities due within one year
30,000,000.00
30,000,000.00
Other current liabilities
Total current liabilities
4,965,602,885.94
1,579,458,841.12
4,251,753,314.30
1,054,941,170.61
Non-current liabilities:
Long-term loans
10,000,000.00
30,000,000.00
Bonds payable
Long-term account payable
42,088.20
46,019.40
Special accounts payable
2,555,000.00
1,320,000.00
2,555,000.00
1,320,000.00
Projected liabilities
Deferred income tax liabilities
23,421,068.93
3,773,319.00
25,525,421.76
3,773,319.00
Other non-current liabilities
47,711,145.13
45,478,550.21
Total non-current liabilities
83,729,302.26
5,093,319.00
103,604,991.37
5,093,319.00
Total liabilities
5,049,332,188.20
1,584,552,160.12
4,355,358,305.67
1,060,034,489.61
Owner’s equity (or shareholders’ equity):
Paid-in capital (or share capital)
288,149,400.00
288,149,400.00
288,149,400.00
288,149,400.00
Capital public reserve
5,030,338.57
13,828,726.93
5,030,338.57
13,828,726.93
Less: Inventory shares
Reasonable reserve
Surplus public reserve
17,573,057.11
17,573,057.11
17,573,057.11
17,573,057.11
Provision of general risk
Retained profit
666,902,942.84
417,853,421.16
511,913,342.00
234,901,348.57
Balance difference of foreign currency translation
Total owner’s equity attributable to parent company
977,655,738.52
737,404,605.20
822,666,137.68
554,452,532.61
Minority interests
78,691,815.16
55,464,963.74
Total owner’s equity
1,056,347,553.68
737,404,605.20
878,131,101.42
554,452,532.61
Total liabilities and owner’s equity
6,105,679,741.88
2,321,956,765.32
5,233,489,407.09
1,614,487,022.22
4.2 Profit statement in the report period
Prepared by Shenzhen Accord Pharmaceutical Co., Ltd. July-Sep.2010 Unit: RMB
Amount in this period
Amount in last period
Items
Consolidation
Parent Company
Consolidation
Parent Company
I. Total operating income
3,440,952,411.56
475,039,013.02
2,942,231,645.10
467,728,309.42
Including: Operating income
3,440,952,411.56
475,039,013.02
2,942,231,645.10
467,728,309.42
Interest income
8Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
Insurance gained
Commission charge and commission income
II. Total operating cost
3,363,498,229.79
480,283,148.59
2,890,837,278.05
477,006,769.22
Including: Operating cost
3,157,291,736.63
450,682,693.73
2,712,354,268.70
446,402,131.77
Interest expense
Commission charge and commission expense
Cash surrender value
Net amount of expense of compensation
Net amount of withdrawal of insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expense
Operating tax and extras
5,081,758.52
688,756.01
4,093,736.44
190,521.36
Sales expenses
104,527,334.87
15,209,431.95
89,974,563.91
13,589,463.90
Administration expenses
71,669,017.27
6,978,798.06
74,049,475.15
17,109,719.55
Financial expenses
21,047,191.14
7,565,774.18
11,971,134.94
529,192.74
Losses of devaluation of asset
3,881,191.36
-842,305.34
-1,605,901.09
-814,260.10
Add: Changing income of fair value(Loss is listed with “-”)
Investment income (Loss is listed with “-”)
4,915,955.21
4,915,955.21
5,429,118.58
5,519,440.86
Including: Investment income on affiliated company and joint venture
4,915,955.21
4,915,955.21
5,401,918.58
6,054,926.30
Exchange income (Loss is listed with “-”)
III. Operating profit (Loss is listed with “-”)
82,370,136.98
-328,180.36
56,823,485.63
-3,759,018.94
Add: Non-operating income
1,034,347.08
201,318.79
4,772,528.27
36,285.78
Less: Non-operating expense
2,013,110.42
304,222.56
620,984.43
127,521.33
Including: Disposal loss of non-current asset
43,976.25
10,332.02
298,873.13
IV. Total Profit (Loss is listed with “-”)
81,391,373.64
-431,084.13
60,975,029.47
-3,850,254.49
Less: Income tax expense
20,060,652.38
251,620.26
13,695,178.54
V. Net profit (Net loss is listed with “-”)
61,330,721.26
-682,704.39
47,279,850.93
-3,850,254.49
Net profit attributable to owner’s of parent company
62,183,552.48
-682,704.39
47,415,415.52
-3,850,254.49
Minority shareholders’ gains and losses
-852,831.22
-135,564.59
VI. Earnings per share:
9Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
i. Basic earnings per share
0.216
0.165
ii. Diluted earnings per share
0.216
0.165
VII. Other consolidated income
VIII. Total consolidated income
61,330,721.26
-682,704.39
47,279,850.93
-3,850,254.49
Total consolidated income attributable to owners of parent company
62,183,552.48
-682,704.39
47,415,415.52
-3,850,254.49
Total consolidated income attributable to minority shareholders
-852,831.22
-135,564.59
4.3 Profit statement from year-begin to the end of report period
Prepared by Shenzhen Accord Pharmaceutical Co., Ltd. Jan.-Sep. 2010 Unit: RMB
Amount in this period
Amount in last period
Items
Consolidation
Parent Company
Consolidation
Parent Company
I. Total operating income
9,657,076,546.79
1,353,859,049.12
7,989,576,619.75
1,225,195,086.08
Including: Operating income
9,657,076,546.79
1,353,859,049.12
7,989,576,619.75
1,225,195,086.08
Interest income
Insurance gained
Commission charge and commission income
II. Total operating cost
9,429,850,662.24
1,373,346,648.57
7,826,188,445.07
1,239,315,003.21
Including: Operating cost
8,824,332,470.15
1,288,553,523.09
7,321,908,635.78
1,165,229,619.38
Interest expense
Commission charge and commission expense
Cash surrender value
Net amount of expense of compensation
Net amount of withdrawal of insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expense
Operating tax and extras
13,715,940.10
1,199,539.38
10,188,642.98
625,947.30
Sales expenses
301,592,686.39
39,476,480.54
270,640,204.13
36,018,165.82
Administration expenses
212,300,705.33
30,214,858.66
185,808,218.77
36,337,439.66
Financial expenses
58,716,037.35
16,830,524.35
32,945,869.27
1,145,166.39
Losses of devaluation of asset
19,192,822.92
-2,928,277.45
4,696,874.14
-41,335.34
Add: Changing income of fair value(Loss is listed with “-”)
Investment income (Loss is listed with “-”)
14,208,425.59
232,345,086.43
28,684,938.50
201,354,432.16
Including: Investment income on affiliated
14,167,184.29
14,167,184.29
13,962,258.08
8,988,411.39
10Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
company and joint venture
Exchange income (Loss is listed with “-”)
III. Operating profit (Loss is listed with “-”)
241,434,310.14
212,857,486.98
192,073,113.18
187,234,515.03
Add: Non-operating income
9,336,859.08
1,105,951.89
7,063,871.60
61,658.77
Less: Non-operating expense
2,860,653.04
306,022.56
869,359.76
144,218.18
Including: Disposal loss of non-current asset
515,586.66
10,332.02
478,352.10
6,568.35
IV. Total Profit (Loss is listed with “-”)
247,910,516.18
213,657,416.31
198,267,625.02
187,151,955.62
Less: Income tax expense
61,381,449.43
1,890,403.72
47,720,185.28
V. Net profit (Net loss is listed with “-”)
186,529,066.75
211,767,012.59
150,547,439.74
187,151,955.62
Net profit attributable to owner’s of parent company
183,804,540.84
211,767,012.59
146,079,711.67
187,151,955.62
Minority shareholders’ gains and losses
2,724,525.91
4,467,728.07
VI. Earnings per share:
i. Basic earnings per share
0.638
0.507
ii. Diluted earnings per share
0.638
0.507
VII. Other consolidated income
VIII. Total consolidated income
186,529,066.75
211,767,012.59
150,547,439.74
187,151,955.62
Total consolidated income attributable to owners of parent company
183,804,540.84
211,767,012.59
146,079,711.67
187,151,955.62
Total consolidated income attributable to minority shareholders
2,724,525.91
4,467,728.07
4.4 Cash flow statement from year-begin to the end of report period
Prepared by Shenzhen Accord Pharmaceutical Co., Ltd. Jan.-Sep. 2010 Unit: RMB
Amount in this period
Amount in last period
Items
Consolidation
Parent Company
Consolidation
Parent Company
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor services
9,733,271,603.20
1,453,119,356.08
7,985,551,789.31
1,360,053,725.45
Net increase of customer deposit and interbank deposit
Net increase of loan from central bank
Net increase of capital borrowed from other financial institution
Cash received from original insurance contract fee
Net cash received from
11Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
reinsurance business
Net increase of insured savings and investment
Net increase of disposal of transaction financial asset
Cash received from interest, commission charge and commission
Net increase of capital borrowed
Net increase of returned business capital
Write-back of tax received
844,711.99
41,418.25
474,228.60
Other cash received concerning operating activities
148,254,313.85
37,025,200.44
145,470,771.42
15,311,811.92
Subtotal of cash inflow arising from operating activities
9,882,370,629.04
1,490,185,974.77
8,131,496,789.33
1,375,365,537.37
Cash paid for purchasing commodities and receiving labor service
8,802,814,136.90
1,378,094,218.87
7,188,251,900.35
1,168,997,713.26
Net increase of customer loans and advances
Net increase of deposits in central bank and interbank
Cash paid for original insurance contract compensation
Cash paid for interest, commission charge and commission
Cash paid for bonus of guarantee slip
Cash paid to/for staff and workers
271,421,983.31
23,015,277.02
247,572,063.03
24,910,442.20
Taxes paid
216,795,788.25
20,057,438.40
162,221,236.28
15,967,727.50
Other cash paid concerning operating activities
304,826,588.67
69,869,275.34
339,566,205.17
35,501,413.54
Subtotal of cash outflow arising from operating activities
9,595,858,497.13
1,491,036,209.63
7,937,611,404.83
1,245,377,296.50
Net cash flows arising from operating activities
286,512,131.91
-850,234.86
193,885,384.50
129,988,240.87
II. Cash flows arising from investing activities:
Cash received from recovering investment
45,000,000.00
Cash received from investment income
8,271,829.94
32,048,822.01
3,618.16
77,532,274.50
Net cash received from disposal of fixed, intangible and other long-term assets
5,574,171.08
3,400.00
5,495,695.98
5,243,565.12
Net cash received from
325,415.00
60,457,664.50
65,613,100.00
12Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
disposal of subsidiaries and other units
Other cash received concerning investing activities
1,611,038.60
Subtotal of cash inflow from investing activities
14,171,416.02
78,663,260.61
65,956,978.64
148,388,939.62
Cash paid for purchasing fixed, intangible and other long-term assets
133,067,434.39
1,104,146.37
69,298,720.44
2,598,675.87
Cash paid for investment
13,337,330.00
596,797,330.00
Net increase of mortgaged loans
Net cash received from subsidiaries and other units
10,976,615.51
36,186,250.63
105,629,510.42
171,581,650.00
Other cash paid concerning investing activities
66,085,417.90
2,236,560.24
2,067,342.50
17,877,392.31
Subtotal of cash outflow from investing activities
223,466,797.80
636,324,287.24
176,995,573.36
192,057,718.18
Net cash flows arising from investing activities
-209,295,381.78
-557,661,026.63
-111,038,594.72
-43,668,778.56
III. Cash flows arising from financing activities:
Cash received from absorbing investment
Including: Cash received from absorbing minority shareholders’ investment by subsidiaries
Cash received from loans
1,298,635,652.93
790,000,000.00
601,449,691.57
310,000,000.00
Cash received from issuing bonds
Other cash received concerning financing activities
13,294,996.81
1,325,952,632.75
222,557,942.67
798,282,567.20
Subtotal of cash inflow from financing activities
1,311,930,649.74
2,115,952,632.75
824,007,634.24
1,108,282,567.20
Cash paid for settling debts
1,235,465,730.35
800,000,000.00
397,381,770.26
90,000,000.00
Cash paid for dividend and profit distributing or interest paying
70,737,430.86
56,361,505.91
66,214,037.21
33,664,641.61
Including: Dividend and profit of minority shareholder paid by subsidiaries
4,900,000.00
Other cash paid concerning financing activities
24,333,723.30
731,655,502.04
365,440,872.21
1,024,703,784.94
Subtotal of cash outflow from financing activities
1,330,536,884.51
1,588,017,007.95
829,036,679.68
1,148,368,426.55
Net cash flows arising from financing activities
-18,606,234.77
527,935,624.80
-5,029,045.44
-40,085,859.35
13Shenzhen Accord Pharmaceutical Co., Ltd. The Third Quarterly Report For 2010 (Full Text)
IV. Influence on cash and cash equivalents due to fluctuation in exchange rate
-2,701.01
-2,383.85
-46.86
V. Net increase of cash and cash equivalents
58,607,814.35
-30,578,020.54
77,817,697.48
46,233,602.96
Add: Balance of cash and cash equivalents at the period -begin
579,471,913.48
125,541,203.80
381,683,124.24
62,369,583.65
VI. Balance of cash and cash equivalents at the period -end
638,079,727.83
94,963,183.26
459,500,821.72
108,603,186.61
4.5 Auditor’s report
Auditor’s opinions: Un-audited
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