Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
Stock code: 200054 Stock Abbreviation: Jianshe Vehicle B Announcement No.: 2019-033
Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
1. Important notes
The summary is abstract from full-text of annual report, for more details information , investors should found in
the full-text of annual report that published on website of Shenzhen Stock Exchange and other website appointed
by CSRC.
Objections of the directors, supervisors and senior management
Name Office title Objection & reason
Statement
Other directors attending the Meeting for annual report deliberation except for the followed:
Name of director absent Title for absent director Reasons for absent Attorney
Except the following directors, all the directors attended the board meeting for reviewing the annual Report.
The name of the directors absent Positions Reasons for the absence Name of the consignee
Yan Xuechuan Director Business trip Lv Hongxian
Hao Lin Director Business trip Li Dingqing
Liu Zhiqiang Independent Director Business trip Peng Jue
Non-standard auditor’s opinion
□ Applicable √Not applicable
Preliminary plan for profit distribution to the common shareholders or turning the capital reserve into the share
capital for the reporting period, which has been reviewed and approved at the board meeting
□ Applicable √Not applicable
The Company will not distribute cash dividend or bonus shares, neither capitalizing of common reserves for the
report period.
Plans for profit distribution on preference shares for the reporting period approved by the Board
□ Applicable √Not applicable
II.Company Information
1.Company Profile
Stock ID Jianshe Vehicle B Stock Code 200054
Stock Exchange Listed Shenzhen Stock Exchange
Contact person and contact manner Board secretary Securities affairs Representative
Name Zhang Hushan Li Wenling
No.1 Jianshe Road, Huaxi Industrial Zone, No.1 Jianshe Road, Huaxi Industrial Zone,
Address
Ba’nan District, Chongqing Ba’nan District, Chongqing
Tel. 023-66295333 023-66295333
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
Fax. 023-66295333 023-66295333
Email. cqjsmc@jianshe.com.cn cqjsmc@jianshe.com.cn
2. Brief introduction to the main business or products in the reporting period
The company engages mainly in production and sales of the vehicle air compressor including the vane iron
and aluminous compressor, piston swash-plate fixed discharge rate compressor, piston swash-plate variable
discharge rate compressor and motor compressor (with the discharge rate from 32cc to 480cc), has been awarded
“China Famous Brand”, “High-quality Product of French Technological Quality Surveillance Evaluation
Commission” and “China Recommended Product for Entry into WTO”, etc. for products and has the strategical
cooperative partners including the leading production and sales volume in terms of finished automobile such as
PEUGEOT, Great Wall Motors，Chanan Auto and Dongfeng Nissan , etc.
3. Accounting and financial highlights
1.Accounting and financial highlights for the past three years
Indicate by tick mark whether the Company needs to retroactively restate any of its accounting data.
□Yes √No
In RMB
Changed over last year
2018 2017 2016
（％）
Operation revenue（Yuan） 971,804,000.23 1,009,531,078.68 -3.74% 873,286,486.75
Net profit attributable to the
shareholders of the listed company 10,543,247.05 14,375,111.84 -26.66% 12,267,006.14
（Yuan）
Net profit after deducting of
non-recurring gain/loss attributable
9,074,662.19 13,866,734.69 -34.56% 12,908,428.98
to the shareholders of listed
company（Yuan）
Net Cash flow generated by
162,824,513.55 62,980,107.16 158.53% 108,619,119.02
business operation（Yuan）
Basic earning per
0.088 0.120 -26.67% 0.103
share(Yuan/Share)
Diluted gains per
0.088 0.120 -26.67% 0.103
share(Yuan/Share)(Yuan/Share)
Net asset earning ratio（%） 3.66% 5.22% -1.56% 4.68%
End of Changed over last year
End of 2018 End of 2016
2017 （％）
Gross assets（Yuan） 1,461,770,573.54 1,302,238,427.15 12.25% 1,559,334,881.03
Net assets attributable to
shareholders of the listed company 293,301,450.54 282,758,203.49 3.73% 268,383,091.65
（Yuan）
2.Main Financial Index by Quarters
In RMB
First quarter Second quarter Third quarter Fourth quarter
Operation revenue 266,811,269.51 244,885,461.90 215,629,758.62 244,477,510.20
Net profit attributable to the
55,789.60 66,020,738.88 -1,585,147.13 -53,948,134.3
shareholders of the listed company
Net profit after deducting of
non-recurring gain/loss attributable
-275,476.62 66,071,417.34 -3,124,094.71 -53,597,183.82
to the shareholders of listed
company
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
Net Cash flow generated by
18,706,058.10 9,779,972.15 56,259,518.62 78,078,964.68
business operation
Whether significant variances exist between the above financial index or the index with its sum and the financial
index of the quarterly report as well as semi-annual report index disclosed by the Company.
□ Yes √No
4. Share capital and shareholders
1. Numbers of the common shareholders and the preference shareholders with resumed voting rights as well as the
shareholdings of the top 10 shareholders
In shares
The total
Total number o
number of f preferre Total
common Total shareholders at d shareho preferred sharehold
shareholder the end of the month lders voti ers at the end of the
s at the end 8,191 from the date of 8,126 ng rights r 0 month from the date 0
of the disclosing the annual estored at of disclosing the
report period-en annual report(if
reporting
d(if any)(See Notes 8)
period
any)(See
Notes 8)
Shareholdings of top 10 shareholders
Number of Number of share
Nature of Proportion of shares held pledged/frozen
Shareholders Amount of restricted shares held
shareholder shares held(%) at period
-end State of share Amount
China Military
State-owned
Equipment 71.13% 84,906,250 84,906,250
legal person
Group Co., Ltd.
Domestic
Gu Zuocheng 1.89% 2,261,000 2,218,750
natural person
Domestic
Hengsheng Sun
non-state-owne 1.47% 1,750,000 1,750,000 Freeze 1,750,000
Group Co., Ltd.
d legal person
Domestic
Liu Dan 0.86% 1,032,201 0
natural person
Domestic
Xu Yuanhui 0.56% 666,789 0
natural person
Overseas
Yu Lingfeng 0.51% 612,921 0
natural person
Domestic
Chen Xinqiang 0.51% 612,400 0
natural person
Domestic
Zhang Meilan 0.43% 513,560 0
natural person
Domestic
Feng Yonghui 0.42% 500,000 500,000
natural person
Domestic
Li Jianping 0.38% 455,569 0
natural person
There isn’t any associated relationship between the sponsoring shareholder and the other
Explanation on associated shareholders among the top-10 list. None of them are regarded as ‘Acting in concert’ in
relationship among the aforesaid accordance with ‘The rules of information disclosure on change of shareholding.’ Foreign
shareholders shareholders are unknown for their condition of ‘Associated relationship’ and ‘Acting in
concert’.
2.Number of the preference shareholders and the shareholdings of the top 10 of them
□ Applicable √Not applicable
No preference shareholders in the reporting period
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
3.Relationship between the Company and its actual controller in the form of diagram
5.Corporate bonds
Whether the company has corporate bonds that have been publicly issued and listed on the stock exchange, and
not yet due or due but not fully cashed on the approval date of annual report
No
III. Management’s Discussion and Analysis
1.Business review for the reporting period
Whether the company needs to comply with the disclosure requirements of the particular industry
No
In 2018, facing the unstable international environment, Sino-US trade friction, more intense market
competition and adjustment of national policies, we made great efforts to promote the transformation and
upgrading of enterprises, improve quality and increase efficiency. the auto air-conditioning industry continued to
maintain steady development, with sales volume of 2.3532 million units, operating income of 970 million yuan
and profit of 10.54 million yuan, accounting for 98% of the annual sales budget and 105% of the revenue budget.
1. Main business income and cost
During the reporting period, the sales volume of automobile air-conditioning compressors reached 2.3532
million units, with a year-on-year increase of 1.61%. Influenced by factors such as the price reduction of the
automobile main engine factory and the price increase of manufacturing factors, the company's main business
income decreased by 6.87% year on year, the main business cost decreased by 4.77% year on year, and the gross
profit margin decreased by 1.87% year on year.
2. Charges
During the reporting period, the company incurred a total of 154 million yuan in expenses, up 17 million
yuan from the previous year, with a year-on-year increase of 12.65%. This is mainly due to the corresponding
increase in staff salaries, depreciation, repair and other expenses after the new auto parts processing business was
added, resulting in a 29.96% year-on-year increase in management expenses.
3. Research and development investment
This year, the company has invested 23.85 million yuan in research and development on projects such as
"electric compressor project", "aluminum machine project" and "key customer project of rotary blade iron
machine", accounting for 2.45% of operating income, with a year-on-year decrease of 32%.
2.Significant changes in the main business in the reporting period
□ Yes √No
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
3.Products contributing over 10% of the main business revenue or profit
√Applicable □ Not applicable
In RMB
Increase/decrease Increase/decrease Increase/decrease
of revenue in the of business cost of gross profit
Gross profit
Name Turnover Operation cost same period of over the same rate over the same
rate(%)
the previous period of period of the
year(%) previous year (%) previous year (%)
Compressor 911,621,983.96 138,998,964.91 15.25% -7.16% -16.69% -1.75%
4.Seasonal or periodic characteristics in the operating performance that need special attention
□ Yes √ No
5. Significant YoY changes in the operating revenues, operating costs and net profits attributable to the common
shareholders or their composition
√Applicable □ Not applicable
Operating income: due to the price reduction of the main engine factory during the year, the operating income
decreased by 3.74% from the last period under that there was an increase in product sales.
Investment income: In the current year, the Company transferred the 51% equity of Shanghai Construction, and
obtained investment income of 53.04 million yuan. The investment income increased by 1587.57% compared with
the last period.
Impairment loss of assets: The provision for impairment of fixed assets and bad debts for the period was RMB
34.7137 million, an increase of 140.34% over the last period.
6. Suspension in trading or delisting
□ Applicable √ Not applicable
7. Events relating to the financial report
(1) Reason for changes in accounting policies, accounting estimates and accounting methods as compared to the
financial report for the prior year
√ Applicable □Not applicable
1. Changes in accounting policies
(1) Reason for Change
On June 15, 2018, the Ministry of Finance issued the "Notice on the Revision and Issuance of the Format of
Financial Statements for General Enterprises in 2018" (No. 15-[2018] Accounting) (hereinafter referred to as the "
Notice"). According to the requirement of the “Notice”, the Company will prepare the 2018 financial statements in
accordance with the general corporate financial statement format (applicable to enterprises that have not yet
implemented the new financial standards and new revenue standards).
(2) Date of change: The above-mentioned enterprise accounting standard shall be implemented in accordance
with the starting date stipulated in the above document.
(3) The Accounting Policy adopted before the change
Prior to this change, the Company implemented the "Enterprise Accounting Standards-Basic Standards" and
various specific accounting standards, subsequently enacted and revised corporate accounting standards,
application guidelines for business accounting standards, corporate accounting standards interpretation
announcements and other related provisions promulgated by the Ministry of Finance.
(4) The Accounting Policy adopted after the change
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
After this change, the company will implement the provisions of the "Notice on the Revision and Issuance of
the Format of Financial Statements for General Enterprises in 2018" (No. 15-[2018] Accounting), and the other
unchanged contents are implemented in accordance with the current documents of the Ministry of Finance.
II. The impact of this accounting policy change on the Company
(I) According to the requirements of the “Notice”, the company adjusts the presentation of the following in
the financial statements:
1. The original “notes receivable” and “accounts receivable” items are combined into the newly added
“notes receivable and accounts receivable” item;
2. The original “interest receivable”, “dividends receivable” and “other receivables” items are combined into
the “other receivables” item;
3. The original “fixed assets disposal” and “fixed assets” items are combined into the “fixed assets” item;
4. The original “engineering materials” item is merged into the “construction in progress” item;
5. The original “notes payable” and “accounts payable” items are combined into the newly added “notes
payable and accounts payable” item;
6. The original “interest payable”, “dividend payable” and “other payables” items are combined into the “other
payables” item;
7. The original “special payables” item is merged into the “long-term payables” item;
8. The “R&D Expenses” item will be added. The R&D expenses originally included in the “Management
Expenses” item will be separately listed as “R&D Expenses” item;
9. The “Interest expense” and “interest income” details items are shown below the “Financial Expenses” item.
(II) The impact on the presentation of the items and amounts of the previous financial statements is as follows:
No Name of affected item in the statements Affected amount of December 31, 2017 / 2017
Increase + / decrease - (yuan)
1 Notes receivable -17,800,808.72
Account receivable -280,383,810.21
Notes receivable & account receivable +298,184,618.93
2 Interest receivable
Dividend receivable
Other receivable
3 Fixed assets
Liquidation of fixed assets
4 Construction in progress
Engineering Material
5 Notes payable -411,410,000.00
Account payable -179,749,230.79
Notes payable & account payable +591,159,230.79
6 Interest payable
Dividend payable
Other account payable
7 Special payable
Long-term payable
8 Administrative expenses -11,848,985.86
R & D enpenses +11,848,985.86
Except for the above items’ adjustments, this accounting policy change does not involve the retrospective
adjustment for the Company's previous annual statements. Changes in the Company's accounting policy will not
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Summary of 2018 Annual Report of Chongqing Jianshe Vehicle System Co., Ltd
affect the Company's current profit and loss and will not have a significant impact on the Company's financial
statements.
(2) Reason for retrospective restatement to correct major accounting errors during the reporting period
□ Applicable √ Not applicable
Nil
(3) Reason for changes in scope of the consolidated financial statements as compared to the financial report for
the prior year
□ Applicable √ Not applicable
√ Applicable □Not applicable
Dispose branch company
(1) Loss of control upon a single disposal of investment in a subsidiary
Subsidiary Disposition of Proportion Basis to The difference
equity of equity Share Loss of control determine the between the disposal
- PRICES disposition disposal Timing time of losing the price and the share of
(%) way control power the subsidiary's net
assets at the
consolidated statement
level corresponding to
the disposal
investment
Shanghai 61,200,000.00 51.00 Transfer by June 15,2018 After signing the 59,095,066.65
Jianshe listing property right
Motorcycle agreement transaction
Co., Ltd. contract,
receiving the
transfer money,
the company has
gone through the
procedures for the
transfer of equity
rights and lost
control of
financial
management
activities
Note: In January 2019, Shanghai Jianshe Motorcycle Co., Ltd. completed the equity change procedures
and received the updated Business License for Enterprise Legal Person.
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