SHENZHEN CHIWAN PETROLEUM SUPPLY BASE CO., LTD.
THE FIRST QUARTERLY REPORT OF 2010
PART ⅠImportant Notice
1.1 The directors, supervisors and senior management guarantee that there are no omissions,
misstatement, or misleading information in this annual report. They are responsible,
individually and jointly, for the authenticity, accuracy and integrity of the information herein.
1.2 The first quarterly financial report has not been audited.
1.3 Mr. Han Guimao, Chairman of the Board, and Mdm. Yu Zhongxia, Deputy Financial
Controller, guarantee the authenticity and integrity of the financial result of this quarterly
report.
PART Ⅱ Profile of the Company
2.1 Main accounting data and financial indicators
Unit: RMB
March 31, 2010 December 31, 2009 Percentage of change
（％）
Total assets 2,568,888,132.74 2,612,490,947.33 -1.67%
Total shareholders’ equity
attributed to shareholders of the
Company
997,189,466.02 964,579,642.28 3.38%
Shares capital 230,600,000.00 230,600,000.00 0.00%
Net assets per share attributed to
shareholders of the Company
4.32 4.18 3.35%
First quarter of 2010 First quarter of 2009 Percentage of change
（％）
Total revenue 96,044,916.33 74,557,821.99 28.82
Net profit attributed to
shareholders of the Company
32,609,823.74 25,576,260.03 27.50
Net cash flow from operating
activities
31,989,769.85 30,803,457.40 3.85
Net cash flow from operating
activities per share
0.14 0.13 7.69
Basic EPS 0.14 0.11 27.27
Diluted EPS 0.14 0.11 27.272
Weighted average ROE 3.32% 2.85% 0.47
Weighted average ROE after
deducting non-recurring gains &
losses
3.33% 2.84% 0.47
Items of the non-recurring gains & losses
The amount from the
beginning to the end of report
period
Disposal of non-current assets -21,843.18
Government subsidies calculated into the profit, excluding
those government subsidies closely related to the Company’s
operation and conformed the government policies.
72,000.00
Other non-operating revenue and expenditure excluding the
above-mentioned items
39,245.00
Other items of gains & losses which conform to the
definition of non-recurring gains & losses
-47,800.00
Influence on income tax -14,251.10
Gains and losses on minority shareholders’ equity 18,950.00
Total 46,300.72
Explanation for important items of non-recurring gains & losses
None.
2.2 Total number of shareholders and the top ten tradable shareholders at the end of the period
Unit: Share
Total number of shareholders 8,473
The top ten tradable shareholders
Name of shareholders Share Type
OFFSHORE JOINT SERVICES (BASES) CO. OF SGP.
PTE LTD
51,180,000 B
CHINA MECHANTS SECURITIES (HONGKONG) LTD 1,657,793 B
GUOTAI JUNAN SECURITIES(HONGKONG)
LIMITED
1,190,696 B
SUN LIFENG 684,870 B
WU CHI LI 606,800 B
MORGAN STANLEY & CO. INTERNATIONAL PLC 450,100 B
PAN BO 368,400 B
LI SHIJIE 315,700 B
CHEN WEN 282,800 B
LI YIJUN 275,110 B3
PART Ⅲ Significant Events
3.1 Reasons for the big range change of main accounting data and financial indicators.
E Applicable F Inapplicable
(1) Due to the increase of revenue and the influence of clients’ payment cycle, the balance of
accounts receivable at the end of report period is RMB 73,188,091.06, with an increase of 46%
compared with the beginning of report period.
(2) Due to the transforming of construction cost of Longquan Baowan( RMB 13.23
million)to the items of construction in process, the balance of prepayment at the end of report
period is RMB1,264,387.02, with a decrease of 91% compared with the beginning of report
period.
(3) Due to the refund of land payment of Shenyang Baowan with the amount of RMB 13
million, the balance of other receivables at the end of report period is RMB 13,305,838.53, with a
decrease of 45% compared with the beginning of report period.
(4) Due to the disposal of material on hand, the inventories at the end of report period is
RMB 274,342.40, with a decrease of 77% compared with the beginning of report period.
(5) Due to the pay-off of bank notes, the notes payable are RMB 0, decreased by 100%
compared with the balance at the beginning of report period.
(6) Due to the withholding of income tax in the first quarter and the increase of income tax
ratio in Shenzhen, tax payable at the end of report period is RMB 19,443,842.16, with an increase
of 39% compared with the balance at the beginning of report period.
(7) Tianjin Baowan and Xindu Baowan were not in operation in the same period of last year.
They are in operation in this period, which results in the increase of cost. Therefore, business cost
in the report period is RMB 34,385,401.47, with an increase of 35% over the same period.
(8) Due to the increase of loans and interest rate, financial expense in the report period is
RMB 11,957,854.87, with an increase of 38% over the same period.
(9) Due to the better performance of Shenzhen Chiwan Sembawang Engineering Co., Ltd.,
investment income in the report period is RMB 5,716,950.85, with an increase of 63% over the
same period.
(10) Due to the increase of profit and income tax ratio, income tax expenses in the report
period are RMB 6,539,535.93, with an increase of 60% over the same period.
(11) Newly operational subsidiaries and non-operational subsidiaries do not make profit.
Minor shareholders’ equity is RMB -2,128,806.07, with an increase of 114% over the same period.
(12) Due to the changes of warehouse rental deposit, other cash received from business
activities is RMB 739,179.29, with a decrease of 72% over the same period.
(13) Due to the increase of cost caused by business increase, cash paid for purchasing of
merchandise and services in the report period is RMB 11,479,321.32, with an increase of 51%
over the same period.
(14) Due to the changes of construction prepayment, other cash paid for business activities is
RMB 9,089,959.84, with an increase of 91% over the same period.4
(15) Due to the dividends from Shenzhen Chiwan Offshore Petroleum Equipment Repair &
Manufacture Co., Ltd in the last year’s same period, the cash of investment income in the report
period is RMB 0, decreased by 100% over the same period.
(16) Due to the refund of land payment of Shenyang Baowan, other cash received for
investment activities is RMB 13,000,000.00, with an increase of 550% over the same period.
(17) Due to the decrease of project construction and asset purchasing, cash paid for
construction of fixed assets, intangible assets and other long-term assets in the report period is
RMB 73,691,868.22, with a decrease of 41% over the same period.
(18) Due to the decrease of financing, cash received from loans is RMB 19,184,000.00, with
a decrease of 73% over the same period.
3.2 Significant event and its impact
□
Applicable
√
Inapplicable
3.3 Fulfillment of commitment by the Company, shareholders and actual controllers
□
Applicable
√
Inapplicable
3.4 Prediction and explanation on important changes of profit of next reporting period
□
Applicable
√
Inapplicable
3.5 Other significant events
3.5.1 Stock investment
□
Applicable
√
Inapplicable
3.5.2 Reception for the investors
According to relative regulations of listed company information disclosures guide issued by
Shenzhen Stock Exchange and working system in management of investor relationship of the
Company, the Company carried out the principles of fairness, justice and publicity when
receiving interview and investigation and developing activities, guaranteed all investors
enjoying right to learn the truth, other lawful rights and interests, introduced practical
situation of the Company and prevented the Company from leaking information and related
insider dealing. The Company has ensured the communication ways successfully for the
investors and received many enquires by telephone. But there are no investors asking for
visiting on the spot or submitting written questionnaires.
3.5.3 Other significant events
□
Applicable
√
Inapplicable
(1) There was no share additional purchase plan submitted by the shareholders with more than
30% shares.
(2) In the report period, the Company did not offer funds to the controlling shareholder or its
related parties or provide external guarantees in violation of the prescribed procedure.5
3.6 Investment of financial derivatives
□
Applicable
√
Inapplicable
3.6.1 Holding position of investment of financial derivatives at the end of report period.
□
Applicable
√
Inapplicable
PART Ⅳ First Quarterly Financial Reports of 2010
Balance Sheet
Unit: RMB
Mar 31,2010 Jan 1 ,2010
Items
Consolidated Parent company Consolidated Parent company
Current assets:
Cash and cash equivalents 169,646,355.90 154,459,478.33 210,859,810.46 197,492,010.29
Notes receivable
Accounts receivable 73,188,091.06 64,011,975.48 50,105,653.75 41,038,826.85
Prepayments in advance 1,264,387.02 839,015.83 13,814,520.93 554,842.36
Interest receivable
Dividend receivable 37,040,332.44
Other receivable 13,305,838.53 519,665,217.40 24,365,238.23 434,559,141.43
Inventories 274,342.40 91,765.61 1,213,196.89 1,016,124.94
Non-current asset due in 1 year
Other current assets 704,438.14 704,438.14
Total current assets 258,383,453.05 739,771,890.79 300,358,420.26 711,701,278.31
Non-current assets:
Long-term accounts receivable
Long-term share equity
investment 321,752,588.40 845,906,360.53 316,035,637.55 840,189,409.68
Investment Property 738,287,965.09 113,900,584.76 738,992,579.71 115,470,280.42
Fixed assets 341,825,691.74 53,870,802.99 344,463,368.24 55,336,648.49
Construction in progress 46,489,442.76 4,340,437.79 43,978,356.57 961,963.79
Construction material
Disposal of fixed assets 40,824.12 40,824.12
Intangible assets 817,898,980.76 388,479,869.07 824,420,396.83 392,684,881.71
Development expenditures
Goodwill
Long-term expenses to be
amortized
Deferred income tax assets 6,599,983.87 93,012.54 6,669,983.87 93,012.54
Other non-current assets: 37,609,202.95 37,572,204.30
Total non-current assets: 2,310,504,679.69 1,406,631,891.80 2,312,132,527.07 1,404,736,196.63
Total assets: 2,568,888,132.74 2,146,403,782.59 2,612,490,947.33 2,116,437,474.94
Current liabilities:
Short-term loans 124,184,000.00 124,184,000.00 124,184,000.00 124,184,000.00
Notes payable 5,961,130.38 5,961,130.38
Account payable 4,648,251.36 4,499,101.96 4,967,497.04 4,737,331.25
Received in advance 716,627.28 538,896.09
Employees’ wage payable 15,426,973.27 14,228,937.91 18,352,474.25 15,631,679.30
Tax payable 19,443,842.16 14,498,058.11 13,959,807.60 9,049,340.78
Interest payable 1,531,052.35 1,531,052.35 1,499,493.84 1,499,493.84
Others payables 201,432,636.55 134,504,183.23 271,666,578.24 128,103,252.71
Non-current liability due in 1
year
Other current liabilities6
Total current liabilities 367,383,382.97 293,445,333.56 441,129,877.44 289,166,228.26
Non-current liabilities:
Long-term loans 910,000,000.00 910,000,000.00 910,000,000.00 910,000,000.00
Long-term account payable 147,941,708.72 147,941,708.72
Special payable 15,940,000.00 15,940,000.00
Deferred income tax liability
Other non-current liabilities 25,475,678.67 25,475,678.67 25,813,016.46 25,813,016.46
Total non-current liabilities 1,099,357,387.39 935,475,678.67 1,099,694,725.18 935,813,016.46
Total liabilities 1,466,740,770.36 1,228,921,012.23 1,540,824,602.62 1,224,979,244.72
Shareholders’ equity
Share capital 230,600,000.00 230,600,000.00 230,600,000.00 230,600,000.00
Capital reserves 220,640,584.58 208,453,861.91 220,640,584.58 208,453,861.91
Less : Treasury Stock
Surplus reserves 196,502,748.39 196,502,748.39 196,502,748.39 196,502,748.39
undistributed profits 349,446,133.05 281,926,160.06 316,836,309.31 255,901,619.92
Difference for foreign currency
translation
Total shareholders’ equity
attributable to the parent company 997,189,466.02 917,482,770.36 964,579,642.28 891,458,230.22
Minority 104,957,896.36 107,086,702.43
Total shareholders’ equity 1,102,147,362.38 917,482,770.36 1,071,666,344.71 891,458,230.22
Total Liabilities and Equities 2,568,888,132.74 2,146,403,782.59 2,612,490,947.33 2,116,437,474.94
Legal Representative: Chief financial officer
：
Financial manager
：
Income Statements (from Jan 1 to Mar 31)
Unit: RMB
Jan 1-Mar 31,2010 Jan 1-Mar 31,2009
Items
Consolidated Parent company Consolidated Parent company
I. Total business revenue 96,044,916.33 59,894,344.17 74,557,821.99 45,904,723.84
Incl. Business revenue 96,044,916.33 59,894,344.17 74,557,821.99 45,904,723.84
Interest income
II. Total business cost 64,782,915.40 34,015,121.30 49,336,836.45 29,171,774.72
Incl. Business cost 34,385,401.47 16,032,061.65 25,494,612.29 14,050,842.13
Interest cost
Business tax and surcharge 4,429,333.50 2,486,821.55 3,444,723.17 1,900,840.60
Sales expense 183,489.01 62,300.01
Administrative expense 13,826,836.55 8,052,603.16 11,757,217.58 7,665,305.85
Financial expense 11,957,854.87 7,381,334.93 8,640,283.41 5,554,786.14
Impairment loss of assets
Plus: Gains from change of fair
value (“-” for loss)
Investment income (“-” for loss) 5,716,950.85 5,716,950.85 3,506,003.37 3,506,003.37
Incl. Investment income from
affiliates 5,716,950.85 5,716,950.85 3,506,003.37 3,506,003.37
Exchange gains(“-” for loss)
III. Operational profit (“-” for loss 36,978,951.78 31,596,173.72 28,726,988.91 20,238,952.49
Plus: Non-operating income 119,245.00 91,905.00 50,373.00
Less: Non-operating expenditure 77,643.18 13,067.00 102,548.77 91,130.00
Incl. Loss from disposal of
non-current assets 21,843.18 5,067
IV. Gross profit (“-” for loss) 37,020,553.60 31,675,011.72 28,674,813.14 20,147,822.49
Less: Income tax expenses 6,539,535.93 5,650,471.58 4,094,662.47 3,328,363.83
V. Net profit (“-” for net loss) 30,481,017.67 26,024,540.14 24,580,150.67 16,819,458.66
Net profit attributable to the owners
of parent company 32,609,823.74 26,024,540.14 25,576,260.03 16,819,458.66
Minor shareholders’ equity -2,128,806.07 -996,109.36
VI. Earnings per share:
：7
(I) Basic earnings per share 0.14 0.11 0.11 0.07
(II) Diluted earnings per
share 0.14 0.11 0.11 0.07
VII. Other comprehensive income 0 0 0 0
VIII. Accumulated other
comprehensive income 30,481,017.67 26,024,540.14 24,580,150.67 16,819,458.66
(I) Accumulated other comprehensive
income to the owners of parent
company
32,609,823.74 26,024,540.14 25,576,260.03 16,819,458.66
(II) Accumulated other
comprehensive income to Minor
shareholders
-2,128,806.07 -996,109.36
Legal Representative: Chief financial officer
：
Financial manager
：
Cash Flow Statements
Unit: RMB
Jan 1-Mar 31,2010 Jan 1-Mar 31,2009
Items
Consolidated Parent company Consolidated Parent company
I. Net cash flow from business
operation
Cash received from sales of
products & providing of services
73,281,386.54
7,419,803.24
62,969,067.50
35,277,174.41
Received tax return
Other cash received for
business activities 739,179.29 861,496.92 2,666,177.32 565,771.46
Sub-total of cash inflow from
business activities 74,020,565.83 38,281,300.16 65,635,244.82 35,842,945.87
Cash paid for purchasing of
merchandise and services 11,479,321.32 8,498,098.70 7,608,219.73 5,715,419.78
Cash paid to or for staffs 12,738,551.55 7,936,014.57 15,643,935.14 11,926,364.38
Taxes paid 8,722,963.27 3,863,767.12 6,814,485.07 3,640,274.15
Other cash paid for business
activities 9,089,959.84 4,314,042.80 4,765,147.48 1,990,794.02
Sub-total of cash outflow
from business activities 42,030,795.98 24,611,923.19 34,831,787.42 23,272,852.33
Net cash flow from business
operation 31,989,769.85 13,669,376.97 30,803,457.40 12,570,093.54
II. Cash flow from investing
Cash received from
investments
Cash received from
investment 700,000.00 700,000.00
Net cash received from
disposal of fixed assets, intangible
assets, and other long-term assets
2,227.82 2,227.82
Net cash received from
disposal of subsidiaries and other
operational units
Other cash received for
investment activities 13,000,000.00 29,588,344.34 2,000,000.00 19,291,243.57
Sub-total of cash inflow due
to investment activities 13,000,000.00 29,588,344.34 2,702,227.82 19,993,471.39
Cash paid for construction of
fixed assets, intangible assets and
other long-term assets
73,691,868.22 72,586,792.15 124,962,392.09 123,869,806.64
Cash paid for investment
Net cash paid for getting
subsidiaries and other operational
units
Other cash paid for investment
activities 3,034,672.52 3,325,699.09
Sub-total of cash outflow from
investment activities 73,691,868.22 75,621,464.67 124,962,392.09 127,195,505.738
Net cash flow from investment -60,691,868.22 -46,033,120.33 -122,260,164.27 -107,202,034.34
III. Cash flow from financing
Cash received from
investment
Incl. Cash received from
minor shareholders
Cash received from loans 19,184,000.00 21,027,456.90 70,000,000.00 110,000,000.00
Other cash received fro m
financing activities
Sub-total of cash inflow from
financing activities 19,184,000.00 21,027,456.90 70,000,000.00 110,000,000.00
Repayment for debts 19,184,000.00 19,184,000.00 25,000,000.00 25,000,000.00
Cash paid for dividend or
interests 12,512,069.20 12,512,069.20 11,777,858.61 11,777,858.61
Incl. Dividend and profit
paid by subsidiaries to minor
shareholders
Other cash paid for financing
activities
Sub-total of cash outflow
from financing activities 31,696,069.20 31,696,069.20 36,777,858.61 36,777,858.61
Net cash flow from
financing -12,512,069.20 -10,668,612.30 33,222,141.39 73,222,141.39
IV. Influence of exchange rate
alternation on cash and cash
equivalents
713.01 -176.30 134.79
V. Net increase of cash and cash
equivalents -41,213,454.56 -43,032,531.96 -58,234,430.69 -21,409,799.41
Plus: Balance of cash and
cash equivalents at the beginning
of term
210,749,810.46 197,382,010.29 131,277,928.04 80,130,914.36
VI. Balance of cash and cash
equivalents at the end of term 169,536,355.90 154,349,478.33 73,043,497.35 58,721,114.95
Legal Representative: Chief financial officer
：
Financial manager
：
4.4 Audit Report
Audit opinion: Unaudited.
Board of Directors of
Shenzhen Chiwan Petroleum Supply Base Co., Ltd.
Date: April 30, 2010
