Hainan Jingliang Holdings Co., Ltd. Semi-annual Report 2018(Summary)
Stock Code: 000505, 200505 Stock Name: JLKG, JL-B Announcement No. 2018- 049
HAINAN JINGLIANG HOLDINGS CO., LTD.
SEMI-ANNUAL REPORT 2018 (SUMMARY)
Part I Important Notes
This Summary is based on the full text of the 2018 Semi-annual Report of Hainan Jingliang Holdings Co., Ltd.
(together with its consolidated subsidiaries, the “Company”, except where the context otherwise requires). In
order for a full understanding of the Company’s operating results, financial condition and future development
plans, investors should carefully read the aforesaid full text, which has been disclosed together with this Summary
on the media designated by the China Securities Regulatory Commission (the “CSRC”).
All the Company’s Directors have attended the Board meeting for the review of this Report and its summary.
Independent auditor’s modified opinion:
□ Applicable √ Not applicable
Board-approved interim cash and/or stock dividend plan for ordinary shareholders:
□ Applicable √ Not applicable
The Company has no interim dividend plan, either in the form of cash or stock.
Board-approved interim cash and/or stock dividend plan for preferred shareholders:
□ Applicable √ Not applicable
This Summary has been prepared in both Chinese and English. Should there be any discrepancies or
misunderstandings between the two versions, the Chinese version shall prevail.
Part II Key Corporate Information
1. Stock Profile
Stock name JLKG, JL-B Stock code 000505, 200505
Stock exchange for stock listing Shenzhen Stock Exchange
Contact information Board Secretary Securities Representative
Name Zhao Yinhu
Jing Liang Building, 16 East Third Ring
Office address
Middle Road, Chaoyang District, Beijing
Tel. 010-51672029
E-mail address 593374748@qq.com
2. Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
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Hainan Jingliang Holdings Co., Ltd. Semi-annual Report 2018(Summary)
√ Yes □ No
Reasons for retrospective restatements:
Business merger under the same control.
H1 2017 Change (%)
H1 2018
Before Restated Restated
Operating revenue (RMB) 3,639,625,979.41 393,836,785.57 3,282,562,276.93 10.88%
Net profit attributable to the listed
59,918,995.68 17,226,146.52 59,669,131.85 0.42%
company’s shareholders (RMB)
Net profit attributable to the listed
company’s shareholders before 57,359,036.51 18,603,896.70 18,603,896.70 208.32%
exceptional items (RMB)
Net cash generated from/used in operating
45,694,542.88 -69,730,210.02 -689,492,578.81 106.63%
activities (RMB)
Basic earnings per share (RMB/share) 0.09 0.04 0.09 0.00%
Diluted earnings per share (RMB/share) 0.09 0.04 0.09 0.00%
Weighted average return on net assets (%) 2.73% 23.37% 4.22% -1.49%
31 December 2017 Change (%)
30 June 2018
Before Restated Restated
Total assets (RMB) 6,334,431,733.31 6,082,383,851.23 6,082,383,851.23 4.14%
Net assets attributable to the listed
2,161,447,086.80 2,101,342,683.37 2,101,342,683.37 2.86%
company’s shareholders (RMB)
3. Shareholders and Their Shares at Period-End
Unit: share
Number of preferred
Number of ordinary shareholders 37,499 shareholders with resumed 0
voting rights (if any)
Top 10 shareholders
Pledged or frozen
Nature of Shareholding shares
Name of shareholder Number of shares Restricted shares
shareholder percentage
Status Shares
BEIJING GRAIN GROUP CO., State-owned legal
42.06% 288,439,561 164,877,598
LTD. person
BEIJING STATE-OWNED
State-owned legal
CAPITAL OPERATION AND 7.07% 48,510,460 48,510,460
person
MANAGEMENT CENTER
CHINA DEVELOPMENT State-owned legal
3.33% 22,828,451 22,828,451
BANK CAPITAL CO., LTD. person
GOLD BUFFALO RUNYING
(TIANJIN) EQUITY
INVESTMENT FUND
MANAGEMENT CO.,
Other 3.33% 22,828,451 22,828,451
LTD.—GOLD BUFFALO
RUNYING (TIANJIN)
EQUITY INVESTMENT
FUND (L.P.)
Foreign natural
LI SHERYN ZHAN MING 3.14% 21,539,400 0
person
Domestic natural
MEI JIANYING 0.38% 2,604,203 0
person
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Hainan Jingliang Holdings Co., Ltd. Semi-annual Report 2018(Summary)
Domestic
DONGYANG HENGDIAN
non-state-owned 0.32% 2,204,976 0
GUARANTY CO., LTD.
legal person
Domestic natural
ZHANG XIAOXIA 0.28% 1,949,250 0
person
Domestic natural
WANG XIAOXING 0.26% 1,808,000 0
person
Domestic natural
ZHONG YI 0.25% 1,728,283 0
person
Beijing State-Owned Capital Operation And Management Center owns 100%
holdings of Beijing Grain Group Co., Ltd., and Beijing Grain Group Co., Ltd.
Connected or acting-in-concert parties among
is a shareholder of the Company (a 42.06% holding). Apart from that, the
shareholders above
Company does not know whether there are any other related parties or
acting-in-concert parties among the top 10 shareholders.
1. Shareholder Wang Xiaoxing holds 1,808,000 shares in the Company
through his account of collateral securities for margin trading in Soochow
Securities Co., Ltd.
2. Shareholder Zhong Yi holds 1,728,283 shares in the Company through his
account of collateral securities for margin trading in Fortune Securities Co.,
Shareholders conducting margin trading (if any)
Ltd.
3. Shareholder Hu Tiangao holds 338,000 shares in the Company through his
account of collateral securities for margin trading and holds 1,192,252 shares
in the Company through his ordinary stock account in Zheshang Securities
Co., Ltd.
4. Change of Controlling Shareholder or Actual Controller in Reporting Period
Change of the controlling shareholder in the Reporting Period:
□ Applicable √ Not applicable
The controlling shareholder remained the same in the Reporting Period.
Change of the actual controller in the Reporting Period:
□ Applicable √ Not applicable
The actual controller remained the same in the Reporting Period.
5. Numbers of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
No preferred shareholders in the Reporting Period.
6. Corporate bonds
Does the Company have any corporate bonds publicly offered and listed on the stock exchange, which were undue
before the date of this Report’s approval or were due but could not be redeemed in full?
No.
Part III Operating Performance Discussion and Analysis
1. Business Overview of Reporting Period
Is the Company subject to any disclosure requirements for special industries?
No.
(I) Overall Performance
In face of a complicated and harsh market environment, as well as increasing competition in the first half of 2018,
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Hainan Jingliang Holdings Co., Ltd. Semi-annual Report 2018(Summary)
the Company adhered to the strategy of pursuing progress amid stability. For this period, the Company recorded
operating revenue of RMB3,640 million, up 10.88% year-on-year; and profits of RMB109 million and net profit
attributable to the Company as the parent of RMB59.92 million, representing a 0.5% rise from a year ago. By
operating division, the Oil and Oilseed division generated operating revenue of RMB3,203 million (a 28.28%
year-on-year increase) and profits of RMB68.57 million (a 39.84% year-on-year increase); and the food
production division reported operating revenue of RMB419 million (a year-on-year growth of 10.66%) and profits
of RMB67.48 million (a 10.84% year-on-year expansion). Beijing Jingliang Food Co., Ltd., a swapped-in asset of
the Company, registered operating revenue of RMB3,640 million, expanding 22.99% year-on-year; profits of
RMB123 million, a 14.17% rise from a year ago; and net profits attributable to the company as the parent of
RMB73.54 million, rising 19.46% compared to the same period of last year.
(II) Performance of Oil and Oilseeds Division
Since this year, the United States has been keeping a tense relationship with the global trade. On March 22,
Donald Trump, the President of the United States signed a presidential memorandum on “The Intellectual
Property Infringement” of China (including increasing imported tariff which is worth of US$60 billion from
China), so in the early April, China announced a plan to impose tariffs on the soybeans and other products from
the United States. The trade disputes between China and the U.S is growing tenser. Jingliang Tianjin which is
affiliated Company is mainly responsible for oil pressing, and the purchase of the raw soybeans from Brazil. In
order to confront the impact of the Sino-US trade war, the oil and oilseeds division relying on five platforms takes
full advantages of the industrial chain. In the case of declining of the oil making industry, this division generated
RMB68.57 million, increasing 39.84% year-on-year. With the structure of small packaged oil products
continuously optimizing, the Company’s small package oil marketing enterprise Gu Chuan Oils has realized the
profits of RMB12.13 million in the Reporting Period, increasing 65.03% year-on-year, and the comprehensive
gross profit margin has reached 15.62%, which is a new high for the company. The oil and oilseed trading
business responded to the impact of the Sino-US trade war flexibly and effectively for the carefully studying and
evaluating of the market. In the Reporting Period, the profit of this business was RMB31.26 million, increasing
140.73% year-on-year.
(III) Performance of Food Production Division
In the first half of 2018, the food production division achieved a profit of RMB67.48 million, increasing 10.84%
year-on-year in the case of continuous influx of strategic competitors and the increased competition in the
terminal market, maintaining a steady development momentum. The snack business takes “one major two wings”
(one major: potato products, two wings: puffed food and cakes) as the strategic direction, adheres “differentiated
asymmetric competition strategy”, deepens the model of “professional manufacturing+ cultural creativity +
Internet”, and makes great efforts to the strategy of the quality goods and the upgrading products. During the
Reporting Period, this business realized operating revenue of RMB386 million, increasing 8.17%, and the profit
was RMB65.92 million, increasing 9.56%. While consolidating the KFC channel, the baking business actively
expanded retail channels, increased the layout of foreign companies and developed new products. During the
Reporting Period, this business achieved operating revenue of RMB34.55 million, increasing 18.2% year-on-year
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Hainan Jingliang Holdings Co., Ltd. Semi-annual Report 2018(Summary)
and the profit realized was RMB1.56 million, up 119.72%.
(IV) Performance of Land Restoration Division
The 22nd and 24th meetings of the 8th Board of Directors reviewed and approved the Jiangsu Xinyi Yaowan
Town Project and the Tangshan Caofeidian Project. On January 10, the Company established Jingliang Rural
Complex Construction and Operation (Xinyi) Co., Ltd. together with Xinyi Yaowan Tourism Industrial Park
Development Co., Ltd., Shizhu Tujia Autonomous County Yujinzhu Agricultural Partnership (General
Partnership), BGG Gold Buffalo Runying Equity Investment Fund (Limited Partnership). Jingliang Rural
Complex Construction and Operation (Xinyi) Co., Ltd., where the Company holds a stake of 45%, started the
Jiangsu Xinyi Yaowan Town project. On April 16th, the Company completed the capital increase in Jingliang
(Caofeidian) Agricultural Development Co., Ltd., holding a 51% stake. The Tangshan Caofeidian project was
launched by Jingliang (Caofeidian) Agricultural Development Co., Ltd. and the design bidding has been
completed. The design proposal passed the assessment of Tangshan Land Experts and will follow up. Promote
project construction, government acceptance and declaration of sales of farmland indicators.
2. Matters Related to Financial Reporting
(1) Changes in Accounting Policies, Accounting Estimates or Measurement Methods Compared to Last
Accounting Period
□ Applicable √ Not applicable
No such changes.
(2) Retrospective Restatements due to Correction of Material Accounting Errors in Reporting Period
□ Applicable √ Not applicable
No such cases.
(3) Changes in Scope of Consolidated Financial Statements Compared to Last Accounting Period
√ Applicable □ Not applicable
Two new subsidiaries, Jingliang Rural Complex Construction and Operation (Xinyi) Co., Ltd. and Jingliang
(Caofeidian) Agricultural Development Co., Ltd., have been added to the consolidation scope of the Reporting
Period.
Hainan Jingliang Holdings Co., Ltd.
17 August 2018
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