Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
SHENZHEN SPECIAL ECONOMIC ZONE REAL ESTATE
& PROPERTIES (GROUP) CO., LTD.
THIRD QUARTER REPORT 2016
2016-034
October 2016
1
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Section I Important Reminders
The Board of Directors, the Supervisory Committee as well as all directors,
supervisors and senior management staff of Shenzhen Special Economic Zone
Real Estate & Properties (Group) 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.
All directors attended the board session for reviewing this report.
Zhou Jianguo, Board Chairman, Chen Maozheng, General Manager, Tang
Xiaoping, chief of the accounting work, and Qiao Yanjun, chief of the accounting
organ (chief of accounting), hereby confirm that the financial statements
enclosed in this report are 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.
2
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Section II Financial Highlights & Shareholder Changes
I Highlights of accounting data and financial indicators
Whether the Company performs any retroactive adjustments to or restatements of its accounting data of last year due to change in
accounting policies or correction of accounting errors
□ Yes √ No
30 September 2016 31 December 2015 +/- (%)
Total assets (RMB) 4,090,379,307.23 4,179,937,120.75 -2.14%
Net assets attributable to
shareholders of the Company 2,566,676,887.20 2,331,704,116.07 10.08%
(RMB)
January-September
July-September 2016 YoY +/- (%) YoY +/- (%)
2016
Operating revenues (RMB) 646,575,128.32 40.36% 1,744,462,098.00 8.47%
Net profit attributable to
shareholders of the Company 102,114,004.00 114.60% 236,875,125.51 1.23%
(RMB)
Net profit attributable to
shareholders of the Company
101,810,300.34 112.10% 229,131,886.44 -2.13%
excluding exceptional profit and
loss (RMB)
Net cash flows from operating
-- -- 551,101,766.41 -31.43%
activities (RMB)
Basic earnings per share
0.1009 114.68% 0.2341 1.21%
(RMB/share)
Diluted earnings per share
0.1009 114.68% 0.2341 1.21%
(RMB/share)
Weighted average return on equity
4.06% 1.91% 9.67% 2.10%
(%)
Unit: RMB
Item January-September 2016 Note
Profit/loss on disposal of non-current assets (including offset
-5,022.45
amount of asset impairment provisions)
The lawsuit amount of the
Company with Luofu Mountain
Impairment provision reversal for accounts receivable on which
4,800,000.00 Travel Corp. had withdrawn, thus
the impairment test is carried out separately
the withdrawn bad debt provision
reserves had been took back.
3
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Mainly were the lawsuit
compensation received from the
Non-operating income and expense other than the above 5,529,341.20
case between the Company and
Luofu Mountain Travel Corp..
Less: Income tax effects 2,581,079.68
Total 7,743,239.07 --
Explanation of why the Company classified an item as exceptional profit/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Profit and Loss,
or reclassified any exceptional profit/loss item given as an example in the said explanatory announcement to recurrent profit/loss
□ Applicable √ Not applicable
No such cases in the Reporting Period.
II Total number of shareholders and shareholdings of top 10 shareholders at the period-end
1. Total number of ordinary shareholders and preference shareholders who had resumed their voting right
& shareholdings of top 10 shareholders at the period-end
Unit: share
Total number of ordinary Total number of preference shareholders who
shareholders at the end of the 74,719 had resumed their voting right at the end of the 0
Reporting Period Reporting Period (if any)
Shareholdings of top 10 shareholders
Number of Pledged or frozen shares
Name of Nature of Shareholding Number of shares
restricted shares
shareholder shareholder percentage held Status Number
held
Shenzhen
State-owned
Investment 63.55% 642,884,262 0
corporation
Holdings Ltd.
Shanjin Jinkong
Capital
Domestic
Management Co.,
non-state-owned 1.09% 11,000,050 0
Ltd. － Shanjin
corporation
Jinkong Wenjian
No. 1 Fund
Domestic
Lu Zhigao 0.39% 3,999,862 0
individual
Domestic
Tan Shiqing 0.39% 3,891,700 0
individual
Domestic
Yang Shuilian 0.37% 3,736,949 0
individual
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Domestic
Yang Jianxiong 0.13% 1,356,200 0
individual
Central Huijin
Asset State-owned
0.13% 1,312,600 0
Management Co., corporation
Ltd.
Domestic
Peng Wei 0.13% 1,266,000 0
individual
Overseas
Wu Haoyuan 0.12% 1,165,500 0
individual
GUOTAI
JUNAN
Overseas
SECURITIES 0.11% 1,115,750 0
corporation
(HONGKONG)
LIMITED
Shareholdings of top 10 non-restricted shareholders
Type of shares
Name of shareholder Number of non-restricted shares held at the period-end
Type Number
RMB ordinary
Shenzhen Investment Holdings Ltd. 642,884,262 642,884,262
share
Shanjin Jinkong Capital
RMB ordinary
Management Co., Ltd. － Shanjin 10,300,000 10,300,000
share
Jinkong Wenjian No. 1 Fund
RMB ordinary
Lu Zhigao 3,246,949 3,246,949
share
RMB ordinary
Tan Shiqing 1,286,701 1,286,701
share
RMB ordinary
Yang Shuilian 1,273,700 1,273,700
share
Domestically
Yang Jianxiong 1,255,750 listed foreign 1,255,750
share
Central Huijin Asset Management RMB ordinary
1,165,500 1,165,500
Co., Ltd. share
RMB ordinary
Peng Wei 1,129,082 1,129,082
share
Domestically
Wu Haoyuan 1,109,300 listed foreign 1,109,300
share
5
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Domestically
GUOTAI JUNAN SECURITIES
1,015,683 listed foreign 1,015,683
(HONGKONG) LIMITED
share
It is unknown whether the tradable share holders above are related parties or whether they are
Related or act-in-concert parties
parties acting in concert as stipulated in the Administrative Measures on Information
among the shareholders above
Disclosure of Changes in Shareholding of Listed Companies.
Top 10 ordinary shareholders
Shareholders ranked in No. 3 and No. 5 among the top 10 shareholders had participated in the
conducting securities margin trading
securities margin trading.
(if any)
Did any of the top 10 ordinary shareholders or the top 10 non-restricted ordinary shareholders of the Company conduct any
promissory repo during the Reporting Period?
□ Yea √ No
No such cases in the Reporting Period.
2. Total number of preference shareholders and shareholdings of the top 10 of them at the period-end
□ Applicable √ Not applicable
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Section III Significant Events
I Changes in main accounting statement items and financial indicators in the Reporting
Period, as well as reasons for the changes
√ Applicable □ Not applicable
For January-September 2016, the Company achieved operating revenues of RMB1,744.46 million,
up 8.47% when compared with the same period of last year; total profits of RMB317.90 million,
representing a year-on-year rise of 0.45%; and net profits attributable to shareholders of the
Company of RMB236.88 million, up 1.23% year on year. These were mainly because the real estate
revenue increased.
YoY changes in major financial data
Unit: RMB
January-September January-September
Item +/- (%) Main reason for change
2016 2015
1,266,493,613.92 1,031,161,819.97 22.82% Decrease in the gross profit
Operating costs
margin
8,844,726.66 27,783,991.06 -68.17% Decrease in sales agent fees and
Selling expenses
commissions
-11,918,313.56 28,827,032.23 -141.34% Capitalization of interest due to
Finance costs the start of construction of new
real estate projects
Asset impairment loss -4,800,000.00 159,351.00 -3112.22% Reversal of bad-debt provisions
5,639,605.16 721,429.25 681.73% Compensation from the lawsuit
Non-operating revenue case against Luofu Mountain
Travel Corp.
Net cash flows from 551,101,766.41 803,676,523.78 -31.43% Decrease in cash received from
operating activities sale of goods
-141,856.79 -2,062,238.27 93.12% Increase in cash received as
return on investment and
Net cash flows from
decrease in cash paid to acquire
investing activities
fixed assets, intangible assets and
other long-term assets
Net cash flows from -397,151,521.05 -300,031,379.19 -32.37% Decrease in bank loans
financing activities
Item 30 September 2016 31 December 2015 +/- (%) Main reason for change
184,309,552.51 112,543,908.66 63.77% Increase in receivables for
Accounts receivable
construction
Long-term deferred 844,626.02 397,608.64 112.43% Increase in office decoration
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
expenses expenses
161,757,150.67 290,453,110.50 -44.31% The remaining payments for the
Accounts payable
finished products were made
669,504,429.76 475,620,347.35 40.76% Increase in revenue from house
Accounts received in
presale and construction services
advance
provided
28,170,306.11 38,750,019.72 -27.30% Payment of annual salaries for
Payroll payable
last year
Non-current liabilities due 29,145,556.45 168,727,608.54 -82.73% Repayment of bank loans
within one year
Long-term borrowings 152,634,942.30 382,233,324.88 -60.07% Repayment of bank loans
II Progress on significant events, as well as the influence and solutions
√ Applicable □ Not applicable
Owning to the planning of the controlling shareholder Shenzhen Investment Holding Co., Ltd. of
the Company(referred to as “Shenzhen Investment Holding” for short) involved with the significant
events of the Company, the stocks of the Company (Share A: abbr. of the securties: SSFA and the
code of the securties: 000029; Share B: abbr. of the securties: SSFB and the code of the securties:
200029) had suspended since the open of the market on 14 September 2016 through the application
for SZSE. On 29 September 2016, Shenzhen Investment Holding confirmed the foresaid planned
significant events constituted the reorganization of the significant assets and the stocks of the
Company transferred into the significant assets reorganization process for continued delisting since
the open of the market on 30 September 2016.
On 10 October 2016, the Company disclosed the announcement on the Cooperation Agreement
about the Reorganization and Listing (No. 2016-027) . The Company orginally planned to disclose
the preplan on the reorganization of the significant assets or the report before 14 October 2016,
while owning to the rather large workload involved with the significant assets reorganization, the
reorganization proposal still needed to be further negotiated, confirmed as well as improved and
through the application for SZSE, the stocks of the Company continued to delist since the open of
the market on 14 October 2016 with the details on the Announcement on the Progress of the
Significant Assets Reorganization and the Postponed Resumption (No. 2016-028).
Index of the interim report disclosure
Summary of the significant events Disclosure date
website
Announcement on Planning the Delisting
Planning the delisting of the significant
14 September 2016 of the Significant Events (2016-022)
events
(http://www.cninfo.com.cn/)
Announcement on Planning the Delisting
Planning the delisting of the significant
30 September 2016 of the Significant Assets Reorganization
assets reorganization
(2016-025) (http://www.cninfo.com.cn/)
Announcement on Signing the Cooperation
Signing the cooperation agreement about
10 October 2016 Agreement about the Reorganization and
the reorganization and listing
Listing (2016-027)
8
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
(http://www.cninfo.com.cn/)
Announcement on Significant Assets
Disclosure of the significant assets
Reorganization Progress and the Postponed
reorganization progress and the postponed 14 October 2016
Resumption (2016-028)
resumption
(http://www.cninfo.com.cn/)
III Commitments of the Company, its shareholders, actual controller, acquirer, directors,
supervisors, senior management or other related parties fulfilled in the Reporting Period or
ongoing at the period-end
□ Applicable √ Not applicable
No such cases in the Reporting Period.
IV Performance forecast for Y2016
Warning of possible loss or considerable YoY change in the accumulative net profit made during the year-beginning to the end of the
next reporting period, as well as the reasons
□ Applicable √ Not applicable
V Securities investment
□ Applicable √ Not applicable
No such cases in the Reporting Period.
VI Investment in derivative financial instruments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
VII Visits paid to the Company in the Reporting Period for purposes of research,
communication, interview, etc.
√ Applicable □ Not applicable
Date of visit Way of visit Type of visitor About
Inquiry the disclosure estimate time of
the semi-annual report of 2016, situation
2016-07-25 By phone Individual of the project development and the
progress of SOE Reform, had not offer
the written sources.
Inquiry the influence of SOE Reform to
the Company and the operation situation
2016-08-17 By phone Individual
of the Company in the first half, had not
offer the written sources.
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Inquiry the reason of suspension of and
2016-09-14 By phone Individual the resumption time, had not offer the
written sources
Inquiry the reason of the information and
the resumption time and the expected
2016-09-28 By phone Individual
disclosure time of report for the third
quarter of 2016
VIII Illegal provision of guarantees for external parties
□ Applicable √ Not applicable
No such cases in the Reporting Period.
IX Occupation of the Company’s funds for non-operating purposes by the controlling
shareholder and its related parties
□ Applicable √ Not applicable
No such cases in the Reporting Period.
10
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Section IV Financial Statements
I Financial statements
1. Consolidated balance sheet
Prepared by Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd.
Unit: RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 1,329,914,185.18 1,175,756,306.36
Settlement reserves
Lendings to banks and other financial
institutions
Financial assets measured at fair value
with fair value changes included in the
profit and loss for the Reporting Period
Derivative financial assets
Notes receivable 16,762,760.07 18,663,872.02
Accounts receivable 184,309,552.51 112,543,908.66
Accounts paid in advance 21,187,331.17 22,952,379.40
Premiums receivable
Reinsurance premiums receivable
Receivable reinsurance contract reserves
Interest receivable
Dividends receivable 1,052,192.76 1,052,192.76
Other accounts receivable 65,011,964.56 61,673,343.42
Financial assets purchased under
agreement to resell
Inventories 1,849,999,208.64 2,146,223,895.61
Assets held for sale
Non-current assets due within one year
Other current assets 43,050,754.13 40,315,831.06
Total current assets 3,511,287,949.02 3,579,181,729.29
Non-current assets:
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Loans and advances to customers
Available-for-sale financial assets 17,464,240.74 17,464,240.74
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investments 57,705,013.77 57,768,804.36
Investment property 420,245,580.74 435,058,564.20
Fixed assets 47,050,109.58 52,213,985.31
Construction in progress
Engineering materials
Disposal of fixed assets
Productive living assets
Oil-gas assets
Intangible assets 5,273,265.00 5,654,820.00
R&D expense
Goodwill
Long-term deferred expenses 844,626.02 397,608.64
Deferred income tax assets 30,508,522.36 32,197,368.21
Other non-current assets
Total non-current assets 579,091,358.21 600,755,391.46
Total assets 4,090,379,307.23 4,179,937,120.75
Current liabilities:
Short-term borrowings 118,681,931.93 143,418,286.29
Borrowings from the Central Bank
Money deposits accepted and inter-bank
deposits
Loans from banks and other financial
institutions
Financial liabilities measured at fair
value with fair value changes included in
the profit and loss for the Reporting Period
Derivative financial liabilities
Notes payable
Accounts payable 161,757,150.67 290,453,110.50
Accounts received in advance 669,504,429.76 475,620,347.35
Financial assets sold for repurchase
Handling charges and commissions
12
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
payable
Payroll payable 28,170,306.11 38,750,019.72
Taxes and fares payable 65,275,158.74 63,459,415.42
Interest payable 16,535,277.94 17,535,277.94
Dividends payable
Other accounts payable 400,399,947.73 385,811,304.33
Reinsurance premiums payable
Insurance contract reserves
Payables for acting trading of securities
Payables for acting underwriting of
securities
Liabilities held for sale
Non-current liabilities due within one
29,145,556.45 168,727,608.54
year
Other current liabilities
Total current liabilities 1,489,469,759.33 1,583,775,370.09
Non-current liabilities:
Long-term borrowings 152,634,942.30 382,233,324.88
Bonds payable
Of which: Preference shares
Perpetual bonds
Long-term accounts payable 10,681,145.80 10,480,629.35
Long-term payroll payable
Special payables
Estimated liabilities
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 163,316,088.10 392,713,954.23
Total liabilities 1,652,785,847.43 1,976,489,324.32
Owners’ equity:
Share capital 1,011,660,000.00 1,011,660,000.00
Other equity instruments
Of which: Preference shares
Perpetual bonds
13
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Capital reserves 978,244,910.11 978,244,910.11
Less: Treasury stock
Other composite income 8,161,237.23 10,063,591.61
Special reserves
Surplus reserves 40,823,841.35 40,823,841.35
Provisions for general risks
Retained profit 527,786,898.51 290,911,773.00
Total equity attributable to owners of the
2,566,676,887.20 2,331,704,116.07
Company
Minority interests -129,083,427.40 -128,256,319.64
Total owners’ equity 2,437,593,459.80 2,203,447,796.43
Total liabilities and owners’ equity 4,090,379,307.23 4,179,937,120.75
Legal representative: Zhou Jianguo Person-in-charge of the accounting work: Tang Xiaoping
Chief of the accounting division: Qiao Yanjun
2. Balance sheet of the Company
Unit: RMB
Item Closing balance Opening balance
Current Assets:
Monetary funds 923,899,246.96 858,492,165.42
Financial assets measured at fair value of
which changes are recorded in current
profits and losses
Derivative financial assets
Notes receivable
Accounts receivable 5,131,776.41 9,412,675.23
Accounts paid in advance
Interest receivable
Dividend receivable 140,763,284.58
Other accounts receivable 758,227,396.15 682,468,446.16
Inventories 622,150,514.29 892,015,463.86
Assets held for sale
Non-current assets due within 1 year
Other current assets 13,868,244.18 24,782,301.67
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Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Total current assets 2,323,277,177.99 2,607,934,336.92
Non-current assets:
Available-for-sale financial assets 12,000,000.00 12,000,000.00
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment 316,339,969.11 316,403,759.70
Investing real estate 365,378,988.98 379,377,363.53
Fixed assets 26,912,880.47 28,849,484.59
Construction in progress
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 414,000.00 662,400.00
R&D expense
Goodwill
Long-term deferred expenses 666,000.06 377,908.74
Deferred income tax assets 5,717,550.76 5,717,550.76
Other non-current assets
Total of non-current assets 727,429,389.38 743,388,467.32
Total assets 3,050,706,567.37 3,351,322,804.24
Current liabilities:
Short-term borrowings
Financial liabilities measured at fair value
of which changes are recorded in current
profits and losses
Derivative financial liabilities
Notes payable
Accounts payable 35,107,620.20 69,300,670.37
Accounts received in advance 220,410,168.60 243,559,137.60
Payroll payable 11,675,238.29 13,579,802.91
Tax payable 37,239,955.41 37,099,690.34
Interest payable 16,535,277.94 17,535,277.94
Dividend payable
Other accounts payable 283,503,334.65 292,391,556.70
15
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Liabilities held for sale
Non-current liabilities due within 1 year 29,145,556.45 168,727,608.54
Other current liabilities
Total current liabilities 633,617,151.54 842,193,744.40
Non-current liabilities:
Long-term borrowings 152,634,942.30 382,233,324.88
Bonds payable
Of which: preferred shares
Perpetual bonds
Long-term payables
Long-term payroll payables
Specific payables
Estimated liabilities
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 152,634,942.30 382,233,324.88
Total liabilities 786,252,093.84 1,224,427,069.28
Owners’ equity:
Share capital 1,011,660,000.00 1,011,660,000.00
Other equity instruments
Of which: preferred shares
Perpetual bonds
Capital reserves 978,244,910.11 978,244,910.11
Less: Treasury stock
Other comprehensive income
Specific reserves
Surplus reserves 17,694,227.94 17,694,227.94
Retained profits 256,855,335.48 119,296,596.91
Total owners’ equity 2,264,454,473.53 2,126,895,734.96
Total liabilities and owners’ equity 3,050,706,567.37 3,351,322,804.24
3. Consolidated income statement for the Reporting Period
Unit: RMB
16
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Item July-September 2016 July-September 2015
1. Operating revenues 646,575,128.32 460,650,552.32
Including: Sales income 646,575,128.32 460,650,552.32
Interest income
Premium income
Fee and commission income
2. Operating costs 510,103,979.66 393,508,104.90
Including: Cost of sales 450,466,369.81 333,515,943.82
Interest expenses
Fee and commission expenses
Surrenders
Net claims paid
Net amount provided as
insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Business tax and surtaxes 49,029,822.53 33,561,524.58
Selling expenses 3,736,985.23 10,537,814.31
Administrative expenses 11,740,962.01 12,021,721.81
Finance costs -4,870,159.92 3,871,100.38
Asset impairment loss
Add: Profit on fair value changes (“-”
means loss)
Return on investment (“-” means
loss)
Including: Share of profit/loss of
associates and joint ventures
Exchange gains (“-” means loss)
3. Operating profit (“-” means loss) 136,471,148.66 67,142,447.42
Add: Non-operating revenue 426,147.22 259,724.13
Including: Profit on disposal of
non-current assets
Less: Non-operating expense 14,709.01 759,062.41
Including: Loss on disposal of
2,374.95 571.90
non-current assets
4. Total profit (“-” means loss) 136,882,586.87 66,643,109.14
Less: Corporate income tax 34,747,273.16 19,029,906.71
17
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
5. Net profit (“-” means loss) 102,135,313.71 47,613,202.43
Net profit attributable to owners of
102,114,004.00 47,584,448.58
the Company
Minority interests’ income 21,309.71 28,753.85
6. Other comprehensive income net of
-475,668.34 -3,193,591.50
tax
Other comprehensive income net
of tax attributable to owners of the -332,967.84 -2,350,252.46
Company
6.1 Other comprehensive
income that will not be reclassified into
profit/loss
6.1.1 Changes in net liabilities
or assets with a defined benefit plan
upon re-measurement
6.1.2 Share of other
comprehensive income of investees that
cannot be reclassified into profit/loss
under the equity method
6.2 Other comprehensive
income to be subsequently reclassified -332,967.84 -2,350,252.46
into profit/loss
6.2.1 Share of other
comprehensive income of investees that
will be reclassified into profit/loss
under the equity method
6.2.2 Profit/loss on fair value
changes of available-for-sale financial
assets
6.2.3 Profit/loss on
reclassifying held-to-maturity
investments into available-for-sale
financial assets
6.2.4 Effective profit/loss on
cash flow hedges
6.2.5 Currency translation
-332,967.84 -2,350,252.46
differences
6.2.6 Other
Other comprehensive income net
-142,700.50 -843,339.04
of tax attributable to minority interests
7. Total comprehensive income 101,659,645.37 44,419,610.93
Attributable to owners of the
101,781,036.16 45,234,196.12
Company
18
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Attributable to minority interests -121,390.79 -814,585.19
8. Earnings per share
8.1 Basic earnings per share 0.1009 0.0470
8.2 Diluted earnings per share 0.1009 0.0470
Where business mergers under the same control occurred in the Reporting Period, the net profit achieved by the merged parties
before the business mergers was RMB0.00, with the corresponding amount for the last period being RMB0.00.
Legal representative: Zhou Jianguo Person-in-charge of the accounting work: Tang Xiaoping
Chief of the accounting division: Qiao Yanjun
4. Income statement of the Company for the Reporting Period
Unit: RMB
Item July-September 2016 July-September 2015
1. Operating revenues 266,626,675.90 168,709,253.87
Less: Operating costs 155,326,755.18 111,289,278.49
Business tax and surtaxes 29,125,547.39 14,272,249.47
Selling expenses 1,675,287.56 8,294,132.91
Administrative expenses 5,434,083.01 6,075,587.04
Finance costs -6,582,280.28
Asset impairment loss
Add: profit on fair value changes (“-”
means loss)
Return on investment (“-” means
loss)
Including: Share of profit/loss of
associates and joint ventures
2. Operating profit (“-” means loss) 79,724,772.74 35,360,286.24
Add: Non-operating revenue 50,000.00
Including: Profit on disposal of
non-current assets
Less: Non-operating expense 12,234.00 20,158.36
Including: Loss on disposal of
non-current assets
3. Total profit (“-” means loss) 79,712,538.74 35,390,127.88
Less: Corporate income tax 19,931,610.08 8,760,256.56
4. Net profit (“-” means loss) 59,780,928.66 26,629,871.32
5. Other comprehensive income net of
19
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
tax
5.1 Other comprehensive income that
will not be reclassified into profit and
loss
5.1.1 Changes in net liabilities or
assets with a defined benefit plan upon
re-measurement
5.1.2 Share of other
comprehensive income of investees that
cannot be reclassified into profit/loss
under the equity method
5.2 Other comprehensive income to
be subsequently reclassified into
profit/loss
5.2.1 Share of other
comprehensive income of investees that
will be reclassified into profit/loss
under the equity method
5.2.2 Profit/loss on fair value
changes of available-for-sale financial
assets
5.2.3 Profit/loss on reclassifying
held-to-maturity investments into
available-for-sale financial assets
5.2.4 Effective profit/loss on cash
flow hedges
5.2.5 Currency translation
differences
5.2.6 Other
6. Total comprehensive income 59,780,928.66 26,629,871.32
7. Earnings per share
7.1 Basic earnings per share
7.2 Diluted earnings per share
5. Consolidated income statement for the period from the year-beginning to the end of the Reporting
Period
Unit: RMB
Item January-September 2016 January-September 2015
1. Operating revenues 1,744,462,098.00 1,608,203,326.28
Including: Sales income 1,744,462,098.00 1,608,203,326.28
20
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Interest income
Premium income
Fee and commission income
2. Operating costs 1,432,716,353.04 1,291,833,759.19
Including: Cost of sales 1,266,493,613.92 1,031,161,819.97
Interest expenses
Fee and commission expenses
Surrenders
Net claims paid
Net amount provided as
insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Business tax and surtaxes 135,398,032.24 163,173,859.22
Selling expenses 8,844,726.66 27,783,991.06
Administrative expenses 38,698,293.78 40,727,705.71
Finance costs -11,918,313.56 28,827,032.23
Asset impairment loss -4,800,000.00 159,351.00
Add: Profit on fair value changes (“-”
means loss)
Return on investment (“-” means
625,209.41 220,307.27
loss)
Including: Share of profit/loss of
-63,790.59 -129,692.73
associates and joint ventures
Exchange gains (“-” means loss)
3. Operating profit (“-” means loss) 312,370,954.37 316,589,874.36
Add: Non-operating revenue 5,639,605.16 721,429.25
Including: Profit on disposal of
non-current assets
Less: Non-operating expense 115,286.41 837,877.56
Including: Loss on disposal of
5,022.45 10,609.22
non-current assets
4. Total profit (“-” means loss) 317,895,273.12 316,473,426.05
Less: Corporate income tax 81,031,960.64 82,456,198.15
5. Net profit (“-” means loss) 236,863,312.48 234,017,227.90
Net profit attributable to owners of
236,875,125.51 233,992,272.96
the Company
21
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Minority interests’ income -11,813.03 24,954.94
6. Other comprehensive income net of
-2,717,649.11 -3,213,508.09
tax
Other comprehensive income net
of tax attributable to owners of the -1,902,354.38 -2,249,455.66
Company
6.1 Other comprehensive
income that will not be reclassified into
profit/loss
6.1.1 Changes in net liabilities
or assets with a defined benefit plan
upon re-measurement
6.1.2 Share of other
comprehensive income of investees that
cannot be reclassified into profit/loss
under the equity method
6.2 Other comprehensive
income to be subsequently reclassified -1,902,354.38 -2,249,455.66
into profit/loss
6.2.1 Share of other
comprehensive income of investees that
will be reclassified into profit/loss
under the equity method
6.2.2 Profit/loss on fair value
changes of available-for-sale financial
assets
6.2.3 Profit/loss on
reclassifying held-to-maturity
investments into available-for-sale
financial assets
6.2.4 Effective profit/loss on
cash flow hedges
6.2.5 Currency translation
-1,902,354.38 -2,249,455.66
differences
6.2.6 Other
Other comprehensive income net
-815,294.73 -964,052.43
of tax attributable to minority interests
7. Total comprehensive income 234,145,663.37 230,803,719.81
Attributable to owners of the
234,972,771.13 231,742,817.30
Company
Attributable to minority interests -827,107.76 -939,097.49
8. Earnings per share
22
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
8.1 Basic earnings per share 0.2341 0.2313
8.2 Diluted earnings per share 0.2341 0.2313
Where business mergers under the same control occurred in the Reporting Period, the net profit achieved by the merged parties
before the business mergers was RMB0.00, with the corresponding amount for the last period being RMB0.00.
6. Income statement of the Company for the period from the year-beginning to the end of the Reporting
Period
Unit: RMB
Item January-September 2016 January-September 2015
1. Operating revenues 578,764,259.97 697,633,946.33
Less: Operating costs 335,572,846.36 352,028,685.00
Business tax and surtaxes 62,674,556.43 88,853,194.93
Selling expenses 4,064,476.96 16,047,071.09
Administrative expenses 18,760,239.38 20,918,490.04
Finance costs -15,121,347.54 -2,206,221.97
Asset impairment loss -4,800,000.00 159,351.00
Add: profit on fair value changes (“-”
means loss)
Return on investment (“-” means
625,209.41 163,042,176.21
loss)
Including: Share of profit/loss of
associates and joint ventures
2. Operating profit (“-” means loss) 178,238,697.79 384,875,552.45
Add: Non-operating revenue 5,011,250.72 93,669.98
Including: Profit on disposal of
non-current assets
Less: Non-operating expense 31,734.06 50,158.36
Including: Loss on disposal of
non-current assets
3. Total profit (“-” means loss) 183,218,214.45 384,919,064.07
Less: Corporate income tax 45,659,475.88 55,517,646.85
4. Net profit (“-” means loss) 137,558,738.57 329,401,417.22
5. Other comprehensive income net of
tax
5.1 Other comprehensive income that
will not be reclassified into profit and
loss
5.1.1 Changes in net liabilities or
23
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
assets with a defined benefit plan upon
re-measurement
5.1.2 Share of other
comprehensive income of investees that
cannot be reclassified into profit/loss
under the equity method
5.2 Other comprehensive income to
be subsequently reclassified into
profit/loss
5.2.1 Share of other
comprehensive income of investees that
will be reclassified into profit/loss
under the equity method
5.2.2 Profit/loss on fair value
changes of available-for-sale financial
assets
5.2.3 Profit/loss on reclassifying
held-to-maturity investments into
available-for-sale financial assets
5.2.4 Effective profit/loss on cash
flow hedges
5.2.5 Currency translation
differences
5.2.6 Other
6. Total comprehensive income 137,558,738.57 329,401,417.22
7. Earnings per share
7.1 Basic earnings per share
7.2 Diluted earnings per share
7. Consolidated cash flow statement for the period from the year-beginning to the end of the Reporting
Period
Unit: RMB
Item January-September 2016 January-September 2015
1. Cash flows from operating activities:
Cash received from sale of
1,697,750,778.39 2,016,735,096.96
commodities and rendering of service
Net increase in money deposits from
customers and interbank placements
Net increase in loans from the
Central Bank
24
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Net increase in funds borrowed from
other financial institutions
Cash received from premium of
original insurance contracts
Net cash received from reinsurance
business
Net increase in deposits of policy
holders and investment fund
Net increase in disposal of financial
assets at fair value through profit/loss
Interest, fees and commissions
received
Net increase in interbank borrowings
Net increase in funds in repurchase
business
Tax refunds received
Cash received from other operating
141,397,167.24 92,720,982.55
activities
Subtotal of cash inflows from operating
1,839,147,945.63 2,109,456,079.51
activities
Cash paid for goods and services 829,026,819.30 773,834,438.41
Net increase in loans and advances to
customers
Net increase in funds deposited in the
Central Bank and interbank placements
Cash paid for claims of original
insurance contracts
Interest, fees and commissions paid
Cash paid as policy dividends
Cash paid to and for employees 110,555,686.90 102,477,692.19
Taxes and fares paid 212,631,127.12 312,484,510.27
Cash paid for other operating
135,832,545.90 116,982,914.86
activities
Subtotal of cash outflows from
1,288,046,179.22 1,305,779,555.73
operating activities
Net cash flows from operating activities 551,101,766.41 803,676,523.78
2. Cash flows from investing activities:
Cash received from retraction of
investments
Cash received as return on
689,000.00 350,000.00
investments
25
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
Net cash received from disposal of
fixed assets, intangible assets and other 5,900.00 8,250.00
long-term assets
Net cash received from disposal of
subsidiaries or other business units
Cash received from other investing
activities
Subtotal of cash inflows from investing
694,900.00 358,250.00
activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 836,756.79 2,420,488.27
assets
Cash paid for investment
Net increase in pledged loans
Net cash paid to acquire subsidiaries
and other business units
Cash paid for other investing
activities
Subtotal of cash outflows from
836,756.79 2,420,488.27
investing activities
Net cash flows from investing activities -141,856.79 -2,062,238.27
3. Cash flows from financing activities:
Cash received from capital
contributions
Including: Cash received from
minority shareholder investments by
subsidiaries
Cash received as borrowings 18,000,000.00 314,034,573.83
Cash received from issuance of
bonds
Cash received from other financing
2,785,000.00
activities
Subtotal of cash inflows from financing
18,000,000.00 316,819,573.83
activities
Repayment of borrowings 394,180,434.67 574,477,236.26
Cash paid for interest expenses and
20,971,086.38 42,373,716.76
distribution of dividends or profit
Including: dividends or profit paid
by subsidiaries to minority interests
Cash paid for other financing
activities
Sub-total of cash outflows from 415,151,521.05 616,850,953.02
26
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
financing activities
Net cash flows from financing activities -397,151,521.05 -300,031,379.19
4. Effect of foreign exchange rate
275,526.59 377,800.83
changes on cash and cash equivalents
5. Net increase in cash and cash
154,083,915.16 501,960,707.15
equivalents
Add: Opening balance of cash and
1,169,756,306.36 670,119,849.03
cash equivalents
6. Closing balance of cash and cash
1,323,840,221.52 1,172,080,556.18
equivalents
8. Cash flow statement of the Company for the period from the year-beginning to the end of the Reporting
Period
Unit: RMB
Item January-September 2016 January-September 2015
1. Cash flows from operating activities:
Cash received from sale of
564,947,718.21 931,500,682.48
commodities and rendering of service
Tax refunds received
Cash received from other operating
200,849,272.34 19,201,911.52
activities
Subtotal of cash inflows from operating
765,796,990.55 950,702,594.00
activities
Cash paid for goods and services 79,393,857.65 118,857,467.40
Cash paid to and for employees 28,900,972.17 28,797,140.54
Taxes and fares paid 103,944,998.09 182,264,489.08
Cash paid for other operating
99,666,579.67 67,386,424.79
activities
Subtotal of cash outflows from
311,906,407.58 397,305,521.81
operating activities
Net cash flows from operating activities 453,890,582.97 553,397,072.19
2. Cash flows from investing activities:
Cash received from retraction of
investments
Cash received as return on
689,000.00 350,000.00
investments
Net cash received from disposal of
fixed assets, intangible assets and other
long-term assets
Net cash received from disposal of
27
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
subsidiaries or other business units
Cash received from other investing
activities
Subtotal of cash inflows from investing
689,000.00 350,000.00
activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 38,189.00 302,034.00
assets
Cash paid for investment
Net cash paid to acquire subsidiaries
and other business units
Cash paid for other investing
activities
Subtotal of cash outflows from
38,189.00 302,034.00
investing activities
Net cash flows from investing activities 650,811.00 47,966.00
3. Cash flows from financing activities:
Cash received from capital
contributions
Cash received as borrowings 200,000,000.00
Cash received from issuance of
bonds
Cash received from other financing
0.00
activities
Subtotal of cash inflows from financing
200,000,000.00
activities
Repayment of borrowings 369,180,434.67 253,336,204.36
Cash paid for interest expenses and
19,969,650.74 33,088,373.69
distribution of dividends or profit
Cash paid for other financing
activities
Sub-total of cash outflows from
389,150,085.41 286,424,578.05
financing activities
Net cash flows from financing activities -389,150,085.41 -86,424,578.05
4. Effect of foreign exchange rate
15,773.98 961.84
changes on cash and cash equivalents
5. Net increase in cash and cash
65,407,082.54 467,021,421.98
equivalents
Add: Opening balance of cash and
852,492,165.42 326,170,340.34
cash equivalents
6. Closing balance of cash and cash
917,899,247.96 793,191,762.32
equivalents
28
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co., Ltd. Third Quarter Report 2016
II Auditor’s report
Is this Report audited?
□ Yes √ No
This Report is unaudited.
29
