HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
HAINAN PEARL RIVER HOLDINGS CO., LTD.
THIRD QUARTER REPORT 2016
October 2016
1
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Section I Important Statements
The Board of Directors, the Supervisory Committee, directors, supervisors and
senior management staff of HaiNan Pearl River Holdings Co., Ltd. (hereinafter
referred to as “the Company”) warrant that the information carried in 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 have attended the board session for reviewing this report.
Wang Chunli, company principal, Guan Ying, chief of the accounting work and
Wu Xiukun, chief of the accounting organ (chief of accounting), hereby confirm
that the Financial Report enclosed in this report is 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
HaiNan Pearl River Holdings 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) 1,905,501,859.63 1,714,444,000.65 11.14%
Net assets attributable to
shareholders of the Company -307,928,239.56 -217,136,869.15 -41.81%
(RMB)
July-September January-September
YoY +/- (%) YoY +/- (%)
2016 2016
Operating revenues (RMB) 68,143,078.33 30.86% 217,175,606.73 15.40%
Net profit attributable to
shareholders of the Company -43,420,775.53 22.02% -90,791,370.41 -165.57%
(RMB)
Net profit attributable to
shareholders of the Company
-44,205,595.65 24.80% -129,970,101.32 20.06%
excluding exceptional profit and
loss (RMB)
Net cash flows from operating
-- -- 173,185,063.30 16.08%
activities (RMB)
Basic earnings per share
-0.10 23.08% -0.21 -162.50%
(RMB/share)
Diluted earnings per share
-0.10 23.08% -0.21 -162.50%
(RMB/share)
Weighted average return on
0.00% 0.00% 0.00% 0.00%
equity (%)
Unit: RMB
Item January-September 2016 Note
Profit/loss on disposal of non-current assets (including offset
284,912.66
amount of asset impairment provisions)
Capital occupation charges on non-financial enterprises that are
4,368,243.68
charged to the profit/loss for the Reporting Period
Non-operating income and expense other than the above -3,682,689.74
Other profit/loss that meet the definition of exceptional 38,155,550.74
3
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
profit/loss
Less: Corporate income tax -27,926.79
Minority interests (after tax) -24,786.78
Total 39,178,730.91 --
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 preference
Total number of ordinary shareholders who had
shareholders at the end of the 35,607 resumed their voting right 0
Reporting Period at the end of the Reporting
Period (if any)
Shareholdings of top 10 shareholders
Number of Pledged or frozen shares
Name of Nature of Shareholding Number of
restricted
shareholder shareholder percentage shares held Status Number
shares held
Domestic
BGG non-state-owne 26.36% 112,479,478
d corporation
LI LEON Foreign
2.63% 11,215,043
ZHAN WEI individual
YAO XIU Foreign
2.31% 9,850,128
GUANG individual
Chongqing
International
Trust Co.,
Domestic
Ltd.—Yuxin
non-state-owne 1.83% 7,827,463
Innovation
d corporation
Advantage No.
11 Assembled
Funds Trust
4
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Domestic
Chen Huanan 0.66% 2,802,117
individual
Domestic
Xu Zhen 0.58% 2,462,300
individual
Beijing Shen
Zhou Mu
Investment
Domestic
Fund
non-state-owne 0.55% 2,343,818
Management
d corporation
Co., Ltd. –
Hongyan Shen
Zhou Mu Fund
Foreign
Yao Liyuan 0.47% 2,005,600
individual
Domestic
Zhang Xiaoxia 0.46% 1,949,250
individual
Beijing Shen
Zhou Mu
Investment
Fund
Management
Domestic
Co., Ltd.
non-state-owne 0.42% 1,795,300
–Shangshan
d corporation
Shen Zhou Mu
No. 5
Securities
Investment
Fund
Shareholdings of top 10 non-restricted shareholders
Number of non-restricted shares held at the Type of shares
Name of shareholder
period-end Type Number
RMB ordinary
BGG 112,479,478 112,479,478
share
Domestically
LI LEON ZHAN WEI 11,215,043 listed foreign 11,215,043
share
Domestically
YAO XIU GUANG 9,850,128 listed foreign 9,850,128
share
Chongqing International Trust
7,827,463 RMB ordinary 7,827,463
Co., Ltd.—Yuxin Innovation
5
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Advantage No. 11 Assembled share
Funds Trust
RMB ordinary
Chen Huanan 2,802,117 2,802,117
share
RMB ordinary
Xu Zhen 2,462,300 2,462,300
share
Beijing Shen Zhou Mu Investment
RMB ordinary
Fund Management Co., Ltd. – 2,343,818 2,343,818
share
Hongyan Shen Zhou Mu Fund
Domestically
Yao Liyuan 2,005,600 listed foreign 2,005,600
share
Domestically
Zhang Xiaoxia 1,949,250 listed foreign 1,949,250
share
Beijing Shen Zhou Mu Investment
Fund Management Co., Ltd. RMB ordinary
1,795,300 1,795,300
–Shangshan Shen Zhou Mu No. 5 share
Securities Investment Fund
Among shareholders above, there exists no related-party relationship between the principal
shareholder and other shareholders of the Company. Nor they are parties with concerted
Related or act-in-concert parties action as prescribed in the Information Disclosure Administrative Methods for Changes in
among the shareholders above Shareholding of Shareholders of Listed Companies. And it is unknown whether there is
related-party relationship among other shareholders and whether they are prescribed parties
with concerted action.
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
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
6
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
(I) Balance sheet items
Unit: RMB
30 September 31 December Change
Item Main reason for change
2016 2015 (%)
Increase in the property management fees receivable by the
Accounts property & hotel management subsidiary and the account
receivable 26,338,352.39 17,161,981.62 53.47% receivable by the Company for grain trading
Accounts paid in
advance 208,170,541.47 108,236,943.90 92.33% Increase in the prepayment in grain trading
Increased development costs of the Meilin Phase III project of
Inventories 693,760,735.17 531,145,489.05 30.62% subsidiary Hubei Pearl River
Available-for-sal Investment in Chongqing Longkin Network Technology Co.,
e financial assets 31,411,309.90 11,411,309.90 175.26% Ltd. in the current period
Long-term
deferred Heilongjiang Longshi Pearl River Media Co., Ltd. was
expenses 2,754,324.21 8,029,043.26 -65.70% deconsolidated for the current period
Short-term
borrowings 20,000,000.00 - 100.00% Borrowing from Chongqing Trust
Increase in the account payable by sub-subsidiary Hubei Pearl
Accounts River Real Estate Development Co., Ltd. for construction
payable 77,846,691.18 24,313,483.40 220.18% service
Accounts
received in House pre-sale revenue received by subsidiary Hubei Pearl
advance 873,746,833.94 428,054,670.19 104.12% River
Increase in the prepaid taxes on the advances from house
buyers of sub-subsidiary Hubei Pearl River Real Estate
Taxes payable -51,822,202.70 -5,255,663.63 -886.03% Development Co., Ltd.
Other accounts Increase in borrowings from Beijing Wanfa Real Estate
payable 964,376,656.93 561,278,959.68 71.82% Development Co., Ltd.
Non-current
liabilities due
within one year 66,456,595.19 353,287,364.69 -81.19% Repayment of borrowings from Chongqing Trust
Long-term
borrowings 131,000,000.00 390,333,333.34 -66.44% Some borrowings were repaid
(II) Items in the income statement and the cash flow statement
Unit: RMB
January-Sept January-Sept Change
Item Main reason for change
ember 2016 ember 2015 (%)
Selling Increase in the sales commission expenses of sub-subsidiary Hubei Pearl
expenses 13,640,847.59 8,424,409.14 61.92% River Real Estate Development Co., Ltd.
Finance costs 59,470,769.90 98,672,199.56 -39.73% Some borrowings were repaid
Return on -69.47% An income was generated from the sale of the Southwest Securities shares
7
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
investment 37,851,133.96 123,966,408.1 in the same period of last year, while there were no such events in the
8 current period
Non-operatin 2353.11 Some fixed assets were discarded and the overdue fine in relation to the
g expense 6,280,006.34 256,002.30 % Southwest Securities shares held by the Company was paid
Corporate Recognized deferred tax assets were reversed in the same period of last
income tax 186,308.86 15,833,774.84 -98.82% year, while there were no such events in the current period
Other Other comprehensive income shifted to return on investment due to the
comprehensi -125,127,595. sale of the Southwest Securities shares held by the Company in the same
ve income - 63 100.00% period of last year, while there were no such events in the current period
Net cash
flows from The sale of the Southwest Securities shares held by the Company
investing -22,680,197.1 generated bulk cash in the same period of last year, while there were no
activities 5 99,519,007.70 -122.79% such events in the current period
Net cash
flows from
financing -209,839,890. -100,576,038.
activities 23 32 -108.64% Decrease in financings secured and increase in borrowings repaid
II Progress on significant events, as well as the influence and solutions
√ Applicable □ Not applicable
Content Disclosure date Index
On 19 July 2016, Beijing Wanfa Real
Estate Development Co., Ltd. and BGG
had signed Equity Transfer Agreement,
which Beijing Wanfa Real Estate
Development Co., Ltd. transferred
112,479,478 share, all its holding share
of the Company , 26.36% of the total to
BGG, the transfer event had been www cninfo com cn
2016-09-07
approved by the State-owned Assets Announcement No. 2016-069
Supervision and Administration
Commission and completed the transfer
on 5 September 2016, BGG now is the
first majority shareholder of the
Company bu the actual controller still is
Beijing State-owned Assets Supervision
and Administration Commission.
On 8 August 2016, the Company
received Permission Recombination
Inquiry Letter [2016] No. 52 of www cninfo com cn
2016-10-25
Recombination Inquiry Letter to HaiNan Announcement No. 2016-091
Pearl River Holdings Co., Ltd.
(hereinafter referred to as Inquiry Letter)
8
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
issued by SZSE . SZSE had proposed
several opinions to the significant
recombination, and the Company will
actively reply the Inquiry Letter and
relevant content, and will conduct audit,
evaluation with each trading party and
promote the evaluation report to the
State-owned assets for the record. So far,
the reply to the Inquiry Letter and the
revision of recombination preplan in line
with Management Method of Significant
Asset Recombination of Listing
Company (New) had been Completed,
the relevant signature of the documents
was under processing.
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 for purposes of research, communication, interview, etc.
during the Reporting Period
√ Applicable □ Not applicable
9
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Date of visit Way of visit Type of visitor About
Known about the operation situation
2016-01-08 By phone Individual
of the Company
2016-01-09 By phone Individual Query name lists of shareholders
Known about the operation situation
2016-01-22 By phone Individual
of the Company
2016-02-28 By phone Individual isclosure time of annual report
Known about the sale progress of the
2016-03-24 By phone Individual
assets of the Company
Known about recombination progress
2016-06-22 Other Individual
of the Company
2016-07-13 Other Individual Query name lists of shareholders
Known about resumption time of
2016-09-09 Other Individual
Company stock
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
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Section IV Financial Statements
I Financial statements
1. Consolidated balance sheet
Prepared by HaiNan Pearl River Holdings Co., Ltd.
30 September 2016
Unit: RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 146,427,107.46 205,762,131.54
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
Accounts receivable 26,338,352.39 17,161,981.62
Accounts paid in advance 208,170,541.47 108,236,943.90
Premiums receivable
Reinsurance premiums receivable
Receivable reinsurance contract
reserves
Interest receivable 2,710,880.79
Dividends receivable 260,015.00 260,015.00
Other accounts receivable 237,259,111.84 256,036,391.03
Financial assets purchased under
agreement to resell
Inventories 693,760,735.17 531,145,489.05
Assets held for sale
Non-current assets due within one
year
Other current assets 4,000,000.00
11
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Total current assets 1,318,926,744.12 1,118,602,952.14
Non-current assets:
Loans and advances to customers
Available-for-sale financial assets 31,411,309.90 11,411,309.90
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investments 34,972,073.04 35,284,761.64
Investment property 19,515,054.22 20,890,800.30
Fixed assets 385,081,224.85 409,326,778.05
Construction in progress 82,534,594.71 79,403,655.02
Engineering materials 393,706.60 393,706.60
Disposal of fixed assets
Productive living assets
Oil-gas assets
Intangible assets 28,330,987.98 29,519,153.74
R&D expense
Goodwill
Long-term deferred expenses 2,754,324.21 8,029,043.26
Deferred income tax assets
Other non-current assets 1,581,840.00 1,581,840.00
Total non-current assets 586,575,115.51 595,841,048.51
Total assets 1,905,501,859.63 1,714,444,000.65
Current liabilities:
Short-term borrowings 20,000,000.00
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 77,846,691.18 24,313,483.40
12
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Accounts received in advance 873,746,833.94 428,054,670.19
Financial assets sold for repurchase
Handling charges and commissions
payable
Payroll payable 13,399,482.87 13,353,268.66
Taxes and fares payable -51,822,202.70 -5,255,663.63
Interest payable 128,332,952.43 178,429,980.05
Dividends payable 3,213,302.88 3,213,302.88
Other accounts payable 964,376,656.93 561,278,959.68
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
66,456,595.19 353,287,364.69
year
Other current liabilities
Total current liabilities 2,095,550,312.72 1,556,675,365.92
Non-current liabilities:
Long-term borrowings 131,000,000.00 390,333,333.34
Bonds payable
Of which: Preference shares
Perpetual bonds
Long-term accounts payable
Long-term payroll payable
Special payables
Estimated liabilities
Deferred income
Deferred income tax liabilities 616,173.27 629,227.79
Other non-current liabilities
Total non-current liabilities 131,616,173.27 390,962,561.13
Total liabilities 2,227,166,485.99 1,947,637,927.05
Owners’ equity:
Share capital 426,745,404.00 426,745,404.00
13
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Other equity instruments
Of which: Preference shares
Perpetual bonds
Capital reserves 334,690,837.45 334,690,837.45
Less: Treasury stock
Other composite income
Special reserves
Surplus reserves 109,487,064.39 109,487,064.39
Provisions for general risks
Retained profit -1,178,851,545.40 -1,088,060,174.99
Total equity attributable to owners of the
-307,928,239.56 -217,136,869.15
Company
Minority interests -13,736,386.80 -16,057,057.25
Total owners’ equity -321,664,626.36 -233,193,926.40
Total liabilities and owners’ equity 1,905,501,859.63 1,714,444,000.65
Legal representative: Wang Lichun Chief of the accounting work: Guan Ying
Chief of the accounting organ: Wu Xiukun
2. Balance sheet of the Company
Unit: RMB
Item Closing balance Opening balance
Current Assets:
Monetary funds 3,335,714.78 479,720.71
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
Accounts receivable 14,098,968.46 1,701,828.46
Accounts paid in advance 184,610,000.00 50,277,830.00
Interest receivable
Dividends receivable 260,015.00 260,015.00
Other accounts receivable 656,019,908.65 684,683,017.06
Inventories 4,824,035.45 4,824,035.45
14
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Assets held for sale
Non-current assets due within one year
Other current assets
Total current assets 863,148,642.34 742,226,446.68
Non-current assets:
Available-for-sale financial assets 31,411,309.90 11,411,309.90
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investments 222,928,332.64 293,231,762.82
Investment property 6,459,276.68 6,686,104.13
Fixed assets 11,066,195.53 13,311,762.29
Construction in progress
Engineering materials
Disposal of fixed assets
Productive living assets
Oil-gas assets
Intangible assets 1,374,301.95 1,410,049.68
R&D expense
Goodwill
Long-term deferred expenses 325,131.33 604,524.68
Deferred income tax assets
Other non-current assets
Total non-current assets 273,564,548.03 326,655,513.50
Total assets 1,136,713,190.37 1,068,881,960.18
Current liabilities:
Short-term borrowings 20,000,000.00
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 2,482,949.70 2,482,949.70
Accounts received in advance 14,178,896.41 38,896.41
Payroll payable 915,313.12 1,050,861.22
15
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Taxes and fares payable 2,012,360.44 7,576,662.32
Interest payable 77,761,124.39 126,077,364.57
Dividends payable 3,213,302.88 3,213,302.88
Other accounts payable 1,014,075,047.25 430,555,824.81
Liabilities held for sale
Non-current liabilities due within one
272,856,962.92
year
Other current liabilities
Total current liabilities 1,134,638,994.19 843,852,824.83
Non-current liabilities:
Long-term borrowings
Bonds payable
Of which: Preference shares
Perpetual bonds
Long-term payables
Long-term payroll payables
Special payables
Estimated liabilities
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities
Total liabilities 1,134,638,994.19 843,852,824.83
Owners’ equity:
Share capital 426,745,404.00 426,745,404.00
Other equity instruments
Of which: Preference shares
Perpetual bonds
Capital reserves 337,276,496.52 337,276,496.52
Less: Treasury stock
Other composite income
Special reserves
Surplus reserves 109,487,064.39 109,487,064.39
Retained profit -871,434,768.73 -648,479,829.56
Total owners’ equity 2,074,196.18 225,029,135.35
16
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Total liabilities and owners’ equity 1,136,713,190.37 1,068,881,960.18
3. Consolidated income statement for the Reporting Period
Unit: RMB
Item July-September 2016 July-September 2015
1. Operating revenues 68,143,078.33 52,075,049.26
Including: Sales income 68,143,078.33 52,075,049.26
Interest income
Premium income
Fee and commission income
2. Operating costs 110,374,221.36 112,793,079.31
Including: Cost of sales 69,001,265.64 48,194,923.75
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 520,647.64 3,144,973.46
Selling expenses 4,769,846.57 5,618,287.17
Administrative expenses 26,484,051.41 22,470,370.76
Finance costs 10,678,955.18 33,121,297.45
Asset impairment loss -1,080,545.08 243,226.72
Add: Profit on fair value changes (“-”
means loss)
Return on investment (“-” means
-77,764.34 -170,958.57
loss)
Including: Share of profit/loss of
31,494.08 -45,893.21
associates and joint ventures
Exchange gains (“-” means loss)
3. Operating profit (“-” means loss) -42,308,907.37 -60,888,988.62
Add: Non-operating revenue 230,736.92 2,858,976.66
Including: Profit on disposal
2,798,012.46
of non-current assets
17
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Less: Non-operating expense 3,001,627.57 61,166.68
Including: Loss on disposal of
2,138,878.43 24,864.21
non-current assets
4. Total profit (“-” means loss) -45,079,798.02 -58,091,178.64
Less: Corporate income tax 2,610.90 -20,335.42
5. Net profit (“-” means loss) -45,082,408.92 -58,070,843.22
Net profit attributable to owners
-43,420,775.53 -55,679,400.37
of the Company
Minority interests’ income -1,661,633.39 -2,391,442.85
6. Other comprehensive income net
of tax
Other comprehensive income net
of tax attributable to owners of the
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 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
differences
18
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
6.2.6 Other
Other comprehensive income net
of tax attributable to minority
interests
7. Total comprehensive income -45,082,408.92 -58,070,843.22
Attributable to owners of the
-43,420,775.53 -55,679,400.37
Company
Attributable to minority interests -1,661,633.39 -2,391,442.85
8. Earnings per share
8.1 Basic earnings per share -0.10 -0.13
8.2 Diluted earnings per share -0.10 -0.13
Where business mergers under the same control occurred in the Reporting Period, net profit achieved by the merged parties before
the business mergers was RMB0.00, with the corresponding amount for the same period of last year being RMB0.00.
Legal representative: Wang Lichun Chief of the accounting work: Guan Ying
Chief of the accounting organ: Wu Xiukun
4. Income statement of the Company for the Reporting Period
Unit: RMB
Item July-September 2016 July-September 2015
1. Operating revenues 268,164.10 213,100.69
Less: Operating costs 75,609.15 88,898.40
Business tax and surtaxes 1,923.11 7,524.92
Selling expenses
Administrative expenses 9,051,260.88 3,156,663.57
Finance costs 6,925,259.20 24,073,303.54
Asset impairment loss 165,475,341.33 410,596.03
Add: profit on fair value changes
(“-” means loss)
Return on investment (“-” means
-44,174.66 -125,867.27
loss)
Including: Share of profit/loss of
-44,174.66 -125,867.27
associates and joint ventures
2. Operating profit (“-” means loss) -181,305,404.23 -27,649,753.04
Add: Non-operating revenue 11,405,419.77
Including: Profit on disposal of
non-current assets
19
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Less: Non-operating expense 2,868,139.65 24,864.21
Including: Loss on disposal of
1,296,383.08 24,864.21
non-current assets
3. Total profit (“-” means loss) -172,768,124.11 -27,674,617.25
Less: Corporate income tax
4. Net profit (“-” means loss) -172,768,124.11 -27,674,617.25
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
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 -172,768,124.11 -27,674,617.25
7. Earnings per share
7.1 Basic earnings per share
7.2 Diluted earnings per share
20
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
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 217,175,606.73 188,192,878.45
Including: Sales income 217,175,606.73 188,192,878.45
Interest income
Premium income
Fee and commission income
2. Operating costs 347,694,305.02 338,866,589.17
Including: Cost of sales 191,031,191.63 148,932,265.62
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 10,926,571.21 10,776,972.93
Selling expenses 13,640,847.59 8,424,409.14
Administrative expenses 71,710,193.11 70,997,749.28
Finance costs 59,470,769.90 98,672,199.56
Asset impairment loss 914,731.58 1,062,992.64
Add: Profit on fair value changes (“-”
means loss)
Return on investment (“-” means
37,851,133.96 123,966,408.18
loss)
Including: Share of profit/loss of
-203,430.18 -251,281.51
associates and joint ventures
Exchange gains (“-” means loss)
3. Operating profit (“-” means loss) -92,667,564.33 -26,707,302.54
Add: Non-operating revenue 2,882,229.26 3,367,510.52
Including: Profit on disposal
2,555,707.19 2,810,086.41
of non-current assets
Less: Non-operating expense 6,280,006.34 256,002.30
21
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Including: Loss on disposal of
2,270,794.53 24,864.21
non-current assets
4. Total profit (“-” means loss) -96,065,341.41 -23,595,794.32
Less: Corporate income tax 186,308.86 15,833,774.84
5. Net profit (“-” means loss) -96,251,650.27 -39,429,569.16
Net profit attributable to owners
-90,791,370.41 -34,186,775.34
of the Company
Minority interests’ income -5,460,279.86 -5,242,793.82
6. Other comprehensive income net
-125,127,595.63
of tax
Other comprehensive income net
of tax attributable to owners of the -125,127,595.63
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 -125,127,595.63
reclassified 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 -125,127,595.63
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
differences
6.2.6 Other
22
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Other comprehensive income net
of tax attributable to minority
interests
7. Total comprehensive income -96,251,650.27 -164,557,164.79
Attributable to owners of the
-90,791,370.41 -159,314,370.97
Company
Attributable to minority interests -5,460,279.86 -5,242,793.82
8. Earnings per share
8.1 Basic earnings per share -0.21 -0.08
8.2 Diluted earnings per share -0.21 -0.08
Where business mergers under the same control occurred in the current period, the net profit achieved by the merged parties before
the business mergers was RMB0.00, with the corresponding amount for the same period of last year 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 889,099.69 725,171.95
Less: Operating costs 248,976.20 266,695.20
Business tax and surtaxes 4,205,152.57 29,480.94
Selling expenses
Administrative expenses 17,301,260.86 11,214,452.02
Finance costs 45,574,350.57 71,787,389.46
Asset impairment loss 165,502,220.51 421,521.53
Add: profit on fair value changes
(“-” means loss)
Return on investment (“-” means
-203,430.18 124,091,473.54
loss)
Including: Share of profit/loss of
-203,430.18 -251,281.51
associates and joint ventures
2. Operating profit (“-” means loss) -232,146,291.20 41,097,106.34
Add: Non-operating revenue 13,861,534.38
Including: Profit on disposal of
2,456,114.61
non-current assets
Less: Non-operating expense 4,670,182.35 25,441.43
Including: Loss on disposal of
1,296,383.08 24,864.21
non-current assets
3. Total profit (“-” means loss) -222,954,939.17 41,071,664.91
23
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Less: Corporate income tax 15,210,270.77
4. Net profit (“-” means loss) -222,954,939.17 25,861,394.14
5. Other comprehensive income net
-125,127,595.63
of 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 -125,127,595.63
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 -125,127,595.63
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 -222,954,939.17 -99,266,201.49
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
24
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Item January-September 2016 January-September 2015
1. Cash flows from operating
activities:
Cash received from sale of
664,761,771.45 464,057,196.56
commodities and rendering of service
Net increase in money deposits
from customers and interbank
placements
Net increase in loans from the
Central Bank
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
69,628,906.66 57,297,066.58
activities
Subtotal of cash inflows from
734,390,678.11 521,354,263.14
operating activities
Cash paid for goods and services 292,630,786.82 151,010,951.28
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
25
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Cash paid to and for employees 153,543,333.67 125,685,631.00
Taxes and fares paid 72,672,060.79 28,830,818.66
Cash paid for other operating
42,359,433.53 66,632,034.42
activities
Subtotal of cash outflows from
561,205,614.81 372,159,435.36
operating activities
Net cash flows from operating
173,185,063.30 149,194,827.78
activities
2. Cash flows from investing
activities:
Cash received from retraction of
4,000,000.00 143,040,794.42
investments
Cash received as return on
8,271.82
investments
Net cash received from disposal of
fixed assets, intangible assets and 4,849,613.03 2,776,032.92
other 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
8,857,884.85 145,816,827.34
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 1,220,619.51 18,128,819.64
assets
Cash paid for investment 28,000,000.00 28,169,000.00
Net increase in pledged loans
Net cash paid to acquire
subsidiaries and other business units
Cash paid for other investing
2,317,462.49
activities
Subtotal of cash outflows from
31,538,082.00 46,297,819.64
investing activities
Net cash flows from investing
-22,680,197.15 99,519,007.70
activities
3. Cash flows from financing
activities:
Cash received from capital
contributions
Including: Cash received from
minority shareholder investments by
26
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
subsidiaries
Cash received as borrowings 149,535,877.45 366,470,000.00
Cash received from issuance of
bonds
Cash received from other
25,472,361.37 37,177,853.73
financing activities
Subtotal of cash inflows from
175,008,238.82 403,647,853.73
financing activities
Repayment of borrowings 361,024,666.61 419,096,522.50
Cash paid for interest expenses
19,109,597.80 62,543,953.15
and distribution of dividends or profit
Including: dividends or profit
paid by subsidiaries to minority
interests
Cash paid for other financing
4,713,864.64 22,583,416.40
activities
Sub-total of cash outflows from
384,848,129.05 504,223,892.05
financing activities
Net cash flows from financing
-209,839,890.23 -100,576,038.32
activities
4. Effect of foreign exchange rate
changes on cash and cash equivalents
5. Net increase in cash and cash
-59,335,024.08 148,137,797.16
equivalents
Add: Opening balance of cash
205,762,131.54 97,404,192.62
and cash equivalents
6. Closing balance of cash and cash
146,427,107.46 245,541,989.78
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
14,040,000.00 1,369,936.85
commodities and rendering of service
Tax refunds received
Cash received from other operating
177,503,106.64 242,033,473.56
activities
Subtotal of cash inflows from 191,543,106.64 243,403,410.41
27
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
operating activities
Cash paid for goods and services 130,565,200.00
Cash paid to and for employees 6,081,680.56 4,235,688.39
Taxes and fares paid 13,640,381.33 345,917.48
Cash paid for other operating
20,724,434.92 58,308,985.30
activities
Subtotal of cash outflows from
171,011,696.81 62,890,591.17
operating activities
Net cash flows from operating
20,531,409.83 180,512,819.24
activities
2. Cash flows from investing
activities:
Cash received from retraction of
8,000,000.00 139,371,794.42
investments
Cash received as return on
investments
Net cash received from disposal of
fixed assets, intangible assets and 3,060,360.00
other 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
11,060,360.00 139,371,794.42
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 26,549.00 6,199.00
assets
Cash paid for investment 39,196,600.00 57,788,000.00
Net cash paid to acquire
subsidiaries and other business units
Cash paid for other investing
activities
Subtotal of cash outflows from
39,223,149.00 57,794,199.00
investing activities
Net cash flows from investing
-28,162,789.00 81,577,595.42
activities
3. Cash flows from financing
activities:
Cash received from capital
contributions
Cash received as borrowings 103,215,780.73 95,978,000.00
28
HaiNan Pearl River Holdings Co., Ltd. Third Quarter Report 2016
Cash received from issuance of
bonds
Cash received from other
financing activities
Subtotal of cash inflows from
103,215,780.73 95,978,000.00
financing activities
Repayment of borrowings 84,282,856.00 283,305,910.83
Cash paid for interest expenses
7,857,686.85 31,719,616.22
and distribution of dividends or profit
Cash paid for other financing
587,864.64 9,247,716.40
activities
Sub-total of cash outflows from
92,728,407.49 324,273,243.45
financing activities
Net cash flows from financing
10,487,373.24 -228,295,243.45
activities
4. Effect of foreign exchange rate
changes on cash and cash equivalents
5. Net increase in cash and cash
2,855,994.07 33,795,171.21
equivalents
Add: Opening balance of cash
479,720.71 2,034,649.76
and cash equivalents
6. Closing balance of cash and cash
3,335,714.78 35,829,820.97
equivalents
II Auditor’s report
Is this Report audited?
□ Yes √ No
This Report is unaudited.
29
