Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
TSANN KUEN (CHINA) ENTERPRISE CO., LTD.
Report for the Third Quarter of 2015
October 2015
1
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Section I. Important Reminders
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and
senior management staff of Tsann Kuen (China) Enterprise 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.
Other Directors attended the board meeting that reviewed the quarterly report personally
except the following Directors
Name of the entrusted
Name Position Reason
person
Bai Shaoxiang Independent Directors On a business trip Tang Jinmu
Mr. Pan Zhirong, company principal, and Mr. Wu Yanru, head of the accounting work & the
accounting division (head of accounting) jointly declare that the financial statements carried
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.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Section II. Financial Highlights & Change of Shareholders
I. Financial highlights
Does the Company adjust retrospectively or restate financial data of previous periods?
□ Yes √ No
Unit: RMB Yuan
Item 30 Sept. 2015 31 Dec. 2014 Increase/decrease (%)
Total assets 1,826,569,790.69 1,651,024,619.41 10.63
Net assets attributable to shareholders of the Company 549,589,276.40 546,574,409.55 0.55
YoY YoY
Item Jul.-Sept. 2015 increase/decrease Jan.-Sept. 2015 increase/decrease
(%) (%)
Operating revenues 579,140,206.32 6.40 1,474,334,364.39 2.77
Net profit attributable to shareholders of the Company 12,960,350.00 -45.79 28,071,375.18 -27.58
Net profit attributable to shareholders of the Company
19,466,416.78 30.84 23,132,923.92 -27.54
after extraordinary gains and losses
Net cash flows from operating activities -53,558,201.77 102.37 -104,121,841.58 74.86
Basic EPS 0.07 -46.15 0.15 -28.57
Diluted EPS 0.07 -46.15 0.15 -28.57
Weighted average ROE (%) 2.36 -2.12 5.09 -2.21
Total share capital of the Company up to the former exchange date before the disclosure:
Total share capital of the Company up to the former exchange date before the disclosure (share) 185,391,680
Whether there were changes caused from the Company issuing the new shares, additional issuance, allotment, equity incentive
exercise and repurchase that influenced the amount of the owners’ equities
□ Yes √ No
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Items and amounts of extraordinary gains and losses
√Applicable □Inapplicable
Unit: RMB Yuan
Amount as of Jan.-Sept.
Item 2015 Note
Gains/losses on the disposal of non-current assets (including the offset part of asset
impairment provisions) 1,391,390.00
Tax rebates, reductions or exemptions due to approval beyond authority or the lack of
official approval documents
Government grants recognized in the current period, except for those acquired in the
ordinary course of business or granted at certain quotas or amounts according to the 1,774,449.00
country’s unified standards
Capital occupation charges on non-financial enterprises that recorded into current gains
and losses
Gains due to that the investment costs for the Company to obtain subsidiaries,
associates and joint ventures are lower than the enjoyable fair value of the identifiable
net assets of the investees when making the investments
Gain/loss on non-monetary asset swap
Gain/loss on entrusting others with investments or asset management
Asset impairment provisions due to acts of God such as natural disasters
Gain/loss on debt restructuring
Expenses for business reorganization, such as expenses for staffing, reorganization etc.
Gain/loss on the part over the fair value due to transactions with distinctly unfair prices
Current gains and losses of subsidies acquired from business combination under the
same control as from period-begin to combination date
Gain/loss on contingent events irrelevant to the Company’s normal business
Gains on sale of forward
Gains and losses on change in fair value from tradable financial assets and tradable exchange contracts, fair
financial liabilities, as well as investment income from disposal of tradable financial
assets and tradable financial liabilities and financial assets available for sales, except 3,012,812.34 value changes, wealth
for effective hedging related with normal businesses of the Company management products
and other current assets
Reversal of impairment provisions for the accounts receivable on which impairment
tests were carried out separately
Gain/loss on external entrustment loans
Gain/loss on change of the fair value of investing real estate of which the subsequent
measurement is carried out adopting the fair value method
Effect on current gains/losses when a one-off adjustment is made to current
gains/losses according to requirements of taxation, accounting and other relevant laws
and regulations
Custody fee income when entrusted with operation
Non-operating incomes and expenses other than the above 1,554,104.77
Other gain/loss items that meet the definition of an extraordinary gain/loss
Less: Income tax effects 1,158,481.06
Minority interests effects (after tax) 1,635,823.79
Total 4,938,451.26
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public —Extraordinary Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item
□ Applicable √ Inapplicable
In the reporting period, the Company did not classify any extraordinary gain/loss item as defined or particularized in the
as a recurrent gain/loss item.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
II. Total number of shareholders and shareholdings of the top ten shareholders at the
period-end
1. Total number of common shareholders and shareholdings of the top ten common shareholders at the
period-end
Unit: share
Total number of common shareholders at the
period-end 18,231
Shareholdings of top 10 common shareholders
Number of Pledged or frozen shares
Nature of Shareholding Number of
Name of shareholder restricted
shareholder percentage (%) shares held Status of shares Number of shares
shares held
FORDCHEE DEVELOPMENT Foreign
LIMITED 29.10% 53,940,530 N/A N/A
corporation
EUPA INDUSTRY Foreign
CORPORATION LIMITED 13.04% 24,172,340 N/A N/A
corporation
GUOTAI JUNAN Foreign
SECURITIES(HONGKONG) 5.89% 10,920,091 N/A N/A
LIMITED corporation
FILLMAN INVESTMENTS Foreign 2.49%
LIMITED corporation 4,621,596 N/A N/A
Foreign natural
WU CHI LI person 1.46% 2,715,200 N/A N/A
Chen Yongquan Domestic 1.02%
natural person 1,888,819 N/A N/A
Foreign natural
Chen Yongqing person 0.77% 1,436,149 N/A N/A
Foreign natural
Chen Lijuan person 0.69% 1,287,817 N/A N/A
Domestic
Xie Qingjun natural person 0.60% 1,112,276 N/A N/A
Shanghai Hong Kong Wanguo Foreign
0.59% 1,093,356 N/A N/A
Securities corporation
Shareholdings of top 10 non-restricted common shareholders
Number of non-restricted Variety of shares
Name of shareholder
common shares held Variety Number
FORDCHEE DEVELOPMENT LIMITED 53,940,530 Domestically listed foreign shares 53,940,530
EUPA INDUSTRY CORPORATION LIMITED 24,172,340 Domestically listed foreign shares 24,172,340
GUOTAI JUNAN SECURITIES(HONGKONG)
LIMITED 10,920,091 Domestically listed foreign shares 10,920,091
FILLMAN INVESTMENTS LIMITED 4,621,596 Domestically listed foreign shares 4,621,596
WU CHI LI 2,715,200 Domestically listed foreign shares 2,715,200
Chen Yongquan 1,888,819 Domestically listed foreign shares 1,888,819
Chen Yongqing 1,436,149 Domestically listed foreign shares 1,436,149
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Chen Lijuan 1,287,817 Domestically listed foreign shares 1,287,817
Xie Qingjun 1,112,276 Domestically listed foreign shares 1,112,276
Shanghai Hong Kong Wanguo Securities 1,093,356 Domestically listed foreign shares 1,093,356
Explanation on associated relationship or persons The first, the second and the fourth largest shareholders are the Company’s corporate
controlling shareholders. It is unknown to the Company whether there exists associated
acting in concert among the above-mentioned relationship among the shareholders above or they are acting-in-concert entities as
stipulated in the Administrative Measures on Information Disclosure of Changes in
shareholders Shareholding of Listed Companies.
Did any of the top 10 common shareholders or the top 10 non-restricted common shareholders of the Company conduct any
promissory repo during the reporting period?
□ Yea √ No
None of the top 10 common shareholders or the top 10 non-restricted common shareholders of the Company carried out any agreed
buy-back in the reporting period.
2. Total number of preferred shareholders at the period-end and shareholdings of top 10 preferred
shareholders
□ Applicable √ Inapplicable
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Section III. Significant Events
I. Major changes in main accounting statement items and financial indicators in the reporting
period, as well as reasons for the changes
√ Applicable □ Inapplicable
Unit: RMB Yuan
Increase/decrease
Item 30 Sept. 2015 31 Dec. 2014 Main reason for the change
(%)
Financial assets measured
at fair value and of which The value of the unconcluded forward exchange
473,250.00 2,610,000.00 -81.87
changes are recorded into contracts decreased.
current gains and losses
Notes receivable 1,211,475.00 2,004,498.59 -39.56 Due notes receivable were honored.
Accounts receivable 390,473,324.52 247,336,334.86 57.87 The shipment in September increased.
The raw materials prepaid for were put in storage
Prepayments 6,398,747.99 12,758,696.10 -49.85
upon check.
Interest receivable 5,628,024.99 3,590,399.84 56.75 Undue term deposits
Other receivables 94,406,041.33 34,873,104.97 170.71 The unreceived export tax rebate receivable
Other current assets 234,879,972.20 13,087,495.75 1,694.69 RMB 230 million was invested in financial products.
The expense on land certificate alteration and land
Construction in progress 542,189.69 233,968.67 131.74
preparation increased.
The leases on some premises expired and the
Intangible assets 17,252,210.16 12,145,423.16 42.05 premises have been adjusted for the Company’s
own use. Meanwhile, some software was purchased.
The molds prepaid for and the multifunctional test
Other non-current assets 4,567,247.22 1,929,374.75 136.72 equipment that have not yet been checked and
accepted
Short-term borrowings 222,645,500.00 61,190,000.00 263.86 Short-term borrowings from banks increased.
Interest payable 1,210,088.58 68,275.80 1,672.35 The undue short-term borrowings from banks
Deferred income tax The value of the unconcluded forward exchange
307,459.59 618,966.78 -50.33
liabilities contracts decreased.
Other comprehensive The translation difference of foreign-currency
1,852,863.47 -899,380.20 -306.02
incomes statements increased.
Same period of Increase/decrease
Item Current period Main reason for the change
last year (%)
Business tax and surtaxes 4,272,747.17 8,249,924.72 -48.21 The exempted and deducted taxes decreased.
The appraised gain on exchange rates due to the
Financial expenses -24,906,680.93 -14,125,625.27 76.32
depreciation of the RMB
The appraised losses on forward exchange contracts
Gains on fair value changes -3,029,390.15 -21,610,150.00 85.98
decreased.
The decreased gains on unconcluded forward exchange
Investment gains 6,042,202.49 20,446,066.98 -70.45
contracts and the undue gains on financial products
Non-business incomes 4,854,787.57 11,558,038.21 -58.00 Subsidy incomes decreased.
Some idle equipment were scrapped in the same period
Non-business expense 134,843.80 870,000.91 -84.50
of last year.
Net cash flows from
-104,121,841.57 -59,545,501.43 74.86 The export tax rebate decreased.
operating activities
Net cash flows from
-239,918,515.37 -841,214,480.14 71.48 The alterations in two restricted term deposits
investing activities
Net cash flows from Export financings and the borrowings from the
111,687,491.87 329,318,253.75 -66.09
financing activities controlling shareholder decreased.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
II. Progress of significant events and analysis & explanations on their influence and solutions
√ Applicable □ Inapplicable
(I) Contingent events
Tsann Kuen Zhangzhou, one of the Company’s subsidiaries, and Xinda Motor Co., Ltd. (hereinafter refer to as “Xinda Motor”)
signed a product supply contract on 20 Jul. 2009, with the valid period for the contract being from 1 Jul. 2009 to 30 Jun. 2012. Both
parties also signed the 2011 ED Procurement Contract of Tsann Kuen Zhangzhou Enterprises Co., Ltd., the Special Agreement and
other agreements, according to which Tsann Kuen Zhangzhou would purchase products from Xinda Motor. Later, Tsann Kuen
Zhangzhou refused to pay for the products and chose to terminate the contract due to quality problems found in Xinda Motor ’s
products. On 2 Nov. 2011, Xinda Motor filed a civil action against Tsann Kuen Zhangzhou to Zhangzhou Intermediate People’s
Court, asking the court to order Tsann Kuen Zhangzhou to pay USD 479,089.06 (RMB 3,071,535.78) to it for the part of the contract
that had been executed but not yet paid for, to bear the damages for overdue payment, and to continue to execute the unexecuted
contractual obligation (equivalent to a payment of USD 189,423.25 for goods).
Tsann Kuen Zhangzhou filed a cross action on 8 Jan. 2012. Xinda Motor had caused serious economic loss and reputation damage on
Tsann Kuen Zhangzhou for the products it provided for Tsann Kuen Zhangzhou did not go with the contract, due to which Tsann
Kuen Zhangzhou produced products of ill quality, goods were returned and orders were canceled. On that basis, Tsann Kuen
Zhangzhou asked Zhangzhou Intermediate People’s Court to terminate the contract between both parties and order Xinda Motor to
pay to Tsann Kuen Zhangzhou a damage of RMB 1,000,000.00, and a compensation of RMB 7,621,576.00.
On 15 Aug. 2013, Zhangzhou Intermediate People’s Court issued the judgment of the first trial, with its contents as follows: 1.
Defendant Tsann Kuen Zhangzhou Enterprise Co., Ltd. shall pay a product payment of USD 479,089.06 (RMB 3,071,535.78) to
plaintiff Xinda Motor Co., Ltd. within 15 days from the date of entry into force of this Judgment; 2. Plaintiff Xinda Motor Co., Ltd.
and third party Boluo County Lian Yuan Industry Technology Co., Ltd. shall jointly pay liquidated damages of RMB 1,233,399.70 to
defendant Tsann Kuen Zhangzhou Enterprise Co., Ltd. within 15 days from the date of entry into force of this Judgment; 3. The 10
orders that have not been executed between plaintiff Xinda Motor Co., Ltd. & third party Boluo County Lian Yuan Industry
Technology Co., Ltd. and defendant Tsann Kuen Zhangzhou Enterprise Co., Ltd. shall be cancelled; 4. The other claims of plaintiff
Xinda Motor Co., Ltd. shall be overruled; and 5. The other claims of defendant Tsann Kuen Zhangzhou Enterprise Co., Ltd. shall be
overruled. Both parties were not satisfied with the judgment of the first trial and filed appeals. Fujian Province Higher People's Court
had held a hearing on 26 Mar. 2014.
Up to the date of this report, the outstanding carrying amount due from Tsann Kuen Zhangzhou to Xinda Motor was USD
479,089.06. Since the case is currently in the second trial, Tsann Kuen Zhangzhou has not yet recognized the contingent asset of
RMB 1,233,399.70 on Xinda Motor.
Meanwhile, the defective motor products provided by Xinda Motor were 104,691 units and only 23,035 units of them were handled
in this case, leaving 81,656 units un-handled. Therefore, Tsann Kuen Zhangzhou filed another suit in Zhangzhou Intermediate
People’s Court on 24 Dec. 2013, with the involved amount being RMB 3,770,430.64 and Zhangzhou Intermediate People's Court had
accepted and heard the case. Zhangzhou Tsann Kuen had submitted the nol-pros application on 9 Sep. 2015 to the Zhangzhou
Intermediate People’s Court , Zhangzhou Intermediate People’s Court made an order granting that Zhangzhou Tsann Kuen could
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
withdraw the prosecute.
Significant lawsuits and arbitrations
√ Applicable □ Inapplicable
Unit: RMB Ten Thousand Yuan
Whether
Results and Execution
Basic information of formed into Disclosure Disclosure
Amount Progress influences of information of
lawsuit (arbitration) estimated date index
the hearing the judgment
liabilities
Events of the appeal
progress of the controlling
Fujian Province Higher www.cninfo.c
subsidiary of the
430.49 No People's Court had held a Pending N/A 22 Feb. 2014
Company, Zhangzhou om.cn
hearing on 26 Mar. 2014.
Tsann Kuen sued Xinda
Motor Co., Ltd.
Zhangzhou Tsann Kuen had
submitted the nol-pros
application on 9 Sep. 2015
Events of another
to the Zhangzhou
prosecution of the
Intermediate People’s www.cninfo.c
controlling subsidiary of
377.04 No Court, Zhangzhou Withdrawn N/A 23 Sep. 2015
the Company, Zhangzhou om.cn
Intermediate People’s
Tsann Kuen sued Xinda
Court made an order
Motor Co., Ltd.
granting that Zhangzhou
Tsann Kuen could withdraw
the prosecute.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
(II) Sale of assets
Due to operating needs, the following assets were sold in the reporting period:
Unit: RMB Ten Thousand Yuan
Net profit Proportion of the net Whether Related Whether the
relationship
contributed by the profit contributed by was involving Whether the
Transaction Selling Selling sold asset to the Influence on the sold asset to the Pricing related with the property involving claims Disclosu Disclosure
party Asset sold date price listed companies the Company listed companies of principle party counterparty right had and debts had re date index
from period-begin the total amount of transacti (applied for wholly wholly transferred
the related transferred
to date of sale the net profit (%) on
transaction)
Xinwang Machinery 2015.1.31 2.50 2.45 2.45 0.09 The Non-rela Inapplicable Yes Yes 2015.08. www.cninfo
devices transaction ted party 08 .com.cn
Nanyanghuan Other devices 2015.1.31 1.51 1.29 1.29 0.05 prices
Machinery were
Jinyuan devices 2015.1.31 8.00 3.09 3.09 0.11 decided
Machinery based on
Li Qinghua 2015.1.31 9.00 3.20 3.20 0.11 the market
devices
price and
Ruicheng Mould devices 2015.1.31 3.40 3.26 3.26 0.12 settled
Liao Sezhong Machinery 2015.1.31 12.80 2.04 2.04 0.07 according
devices to the
Zheng Wenhui Machinery 2015.1.31 1.30 0.54 0.54 0.02 signed
devices contract of
SHANGHAI both
EXCELLENCE Mould devices 2015.1.31 115.00 22.72 22.72 0.81
parties
Li Yiming Machinery 2015.3.31 10.50 3.72 3.72 0.13
devices
Xinwang Machinery 2015.3.31 0.25 0.25 0.25 0.01
devices
Haichengxing Electronic 2015.3.31 0.80 0.78 0.78 0.03
devices
Baoxing Mould devices 2015.3.31 0.40 0.39 0.39 0.01
Hongyuan Mould devices 2015.3.31 13.93 13.34 13.34 0.48
Transportation
Gusong 2015.3.31 6.50 6.36 6.36 0.23
devices
Yongkun Transportation 2015.4.30 3.00 2.94 2.94 0.10
devices
Kunsheng Mould devices 2015.4.30 1.25 1.23 1.23 0.04
Hu Songchun Machinery 2015.4.30 23.60 -8.54 -8.54 -0.30
devices
Yixin Mould devices 2015.4.30 3.00 2.92 2.92 0.10
Liao Sezhong Other devices 2015.4.30 1.10 0.94 0.94 0.03
Hongyuan Mould devices 2015.4.30 2.62 2.54 2.54 0.09
Haicheng Electronic
Xingxin devices 2015.5.31 0.80 0.78 0.78 0.03
Hufeng Machinery 2015.5.31 0.50 0.48 0.48 0.02
Industrial devices
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Net profit Related
Proportion of the net Whether relationship Whether the
contributed by the profit contributed by was involving Whether the
Transaction Selling Selling sold asset to the Influence on with the
Asset sold the sold asset to the Pricing related counterparty property involving claims Disclosu Disclosure
party date price listed companies the Company listed companies of principle party right had and debts had re date index
from period-begin the total amount of transacti (applied for wholly
the related transferred wholly transferred
to date of sale the net profit (%) on
transaction)
Jingjing Machinery 2015.5.31 0.08 0.08 0.08 0.00
devices
Jingjing Other devices 2015.5.31 0.08 0.08 0.08 0.00
Yixin Mould devices 2015.5.31 1.50 1.45 1.45 0.05
Haikun Mould devices 2015.5.31 3.70 3.50 3.50 0.12
Xiamen
Nanyang Mould devices 2015.5.31 1.28 1.24 1.24 0.04
University
Hongyuan Mould devices 2015.5.31 3.06 3.00 3.00 0.11
Hongyuan Other devices 2015.5.31 0.19 0.16 0.16 0.01
Dakun Mould devices 2015.6.30 6.35 6.20 6.20 0.22
Suyuan Machinery 2015.6.30 5.10 -1.78 -1.78 -0.06
devices
Hongyuan Mould devices 2015.7.31 14.90 14.61 14.61 0.52
INDIA-HAVEL Mould devices 2015.8.31 59.92 26.41 26.41 0.94
LS
Lianming Mould devices 2015.8.31 0.54 0.53 0.53 0.02
Liu Chengjiang Electronic
devices 2015.8.31 0.50 0.49 0.49 0.02
Hongyuan Mould devices 2015.8.31 3.37 3.30 3.30 0.12
Yixin Mould devices 2015.9.30 0.85 0.83 0.83 0.03
Inapplic
Inapplicable
Hecheng Mould devices 2015.9.30 1.50 1.37 1.37 0.05 able
Hongyuan Mould devices 2015.9.30 8.00 7.82 7.82 0.28
Xin Jiafeng Machinery 2015.9.30 3.05 2.99 2.99 0.11
devices
Leasehold
Xin Jiafeng 2015.9.30 0.75 0.39 0.39 0.01
improvement
Transportation
Wang Chunzhi 2015.9.30 3.25 -1.30 -1.30 -0.05
devices
Shui Guohai Transportation 2015.9.30 2.40 2.35 2.35 0.08
devices
Total 342.13 140.44 140.44 5.00
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
III. Commitments made by the Company or shareholders holding over 5% of the Company’s shares in the reporting period or such
commitments carried down into the reporting period
√ Applicable □ Inapplicable
Time of making Period of
Commitment Commitment maker Contents Fulfillment
commitment commitment
Commitments made in a share reform
Commitments made in an acquisition report or a
report on equity changes
Commitments made in asset reorganization
Commitments made in the first public offering
or refinancing.
Based on the confidence on the continuous and stable
development of the Company, it committed to increase the The Company’s stocks
shareholding if the Company’s stock price was lower than resumed trading on 31 Dec.
HKD2.40 per share after the implementation of the shares 2012, but the Company’s
FILLMAN contraction and trading resumption, and it would increase no stock price hasn’t met the
INVESTMENTS more than 2% shares (i.e. 3,707,800 shares ) of the total shares Long-term condition for shareholding
LIMITED 28 Dec. 2012 effective increase since the date of
issued by the Company within one year since the date of initial trading resumption,
shareholding increase. If the plan on increasing holding 2% FILLMAN Investment
shares of the total shares is completed, if the stock price hasn’t Limited hasn’t
reached the target price, it will perform relevant approval implemented the
Other commitments made to minority shareholding increase plan.
shareholders procedures, and propose to CSRC on continuous implementation
Executed in time or not? of shareholding increase by exemption of offering.
The Company had received the Notices from the controlling
shareholder EUPA INDUSTRY CORPORATION LIMITED on
10 Jul. 2015 (Chinese name: 优柏工业有限公司, which was Since the announcement
called “EUPA INDUSTRY” for short): based on responding the date on 10 Jul. 2015 up to
EUPA INDUSTRY appeal of the CSRC about maintaining the stabilization of the now, EUPA INDUSTRY
CORPORATION capital market, maintaining the legitimate interest of the investors 10 Jul. 2015 9 Jan. 2016 had not carried out the
LIMITED and the confidence of the sustainable and stable development of decrease or increase of the
the future of the Company, EUPA INDUSTRY committed to no shareholding of the stocks
more decrease the shareholding of the stocks of the Company of the Company.
within 6 months (10 Jul. 2015-9 Jan. 2016), and to increase the
shareholding in appropriate time within 6 months.
Detailed reason for failing to execute and the Yes
plan for the next step (If any)
The Company’s stocks resumed trading on 31 Dec. 2012, but the Company’s stock price hasn’t met the condition for shareholding increase since the
Commitments made in a share reform
date of trading resumption, FILLMAN Investment Limited hasn ’t implemented the shareholding increase plan.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
IV. Predict the 2015 annual operating results
Warnings of possible loss or large-margin change of the accumulated net profit made during the period from the beginning of the
year to the end of the next reporting period compared with the same period of the last year according to prediction, as well as
explanations on the reasons
□Applicable √Inapplicable
V. Securities investment
□Applicable √Inapplicable
The Company was not involved in any securities investment of the reporting period.
VI. Shareholdings in other listed companies
□Applicable √ Inapplicable
The Company was not involved in any shareholding in other listed companies.
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
VII. Investments in derivatives
√ Applicable □ Inapplicable
Unit: RMB Ten thousand Yuan
Proportion of
the closing
Actual
Related-party Type of Initial Opening Closing investment
Impairment gain/loss in
Operator Relation transaction or derivative investment Beginning date Ending date investment investment amount in the
provision reporting
not investment amount amount amount Company’s
period
closing net
assets (%)
Forward
Bank No No 90,143.64 1 Jan. 2015 30 Sep. 2015 61,298.55 42,920.43 78.10 166.95
exchange
Total 90,143.64 -- -- 61,298.55 42,920.43 78.10 166.95
Capital source for derivative investment Self-owned funds
Litigation cases situation N/A
Disclosure date of the board announcement approving the
2013/3/12
wealth management entrustment
Disclosure date of the general meeting announcement
2013/5/18
approving the wealth management entrustment
Analysis on risks and control measures of derivative 1. Analysis on risks from holding of derivative products: gains or losses from difference between contracted exchange rate and
products held in the reporting period (including but not market exchange rate on value date.
limited to market risk, liquidity risk, credit risk, operation
risk, law risk, etc.) 2. Control measures
(1) Principle: The purpose of the financial derivative operation is to avoid risks. The Company shall not conduct transactional
operation for other purposes than risk avoidance. The Company shall not conduct complex derivative trading above the actual
operation needs and shall not speculate in derivative trading with hedging as an excuse. The overall contractual amount for risk
avoidance of the Company shall not exceed the summation of the net risk exposure of the existing assets and liabilities and the net
risk exposure of assets and liabilities arising from the operation of the Company in the coming year.
(2) Staff requirements: Personnel taking part in the investment shall all fully understand the risks of derivative investment and strictly
execute the business operation and risk management mechanisms for derivative investment.
(3) Operation standardization: Before making a derivative investment, the Company shall rationally equip itself with professional
personnel for investment decision-making, business operation, risk control, et c. It shall also inquire and compare among various
markets and products. Besides, it shall strictly control the variety and size of derivative investment and try to choose derivative
trading on exchange as much as possible.
(4) Periodic evaluation: Derivative investments shall be evaluated at least twice for a month and the evaluation report shall be sent to
a high-ranking executive authorized by the Board of Directors. And a derivative investment report shall be sent to the Board of
Directors annually.
(5) Loss limit: The investment loss on a single derivative and all the investment loss shall not exceed 20% of the total investment
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
amount.
(6) Audit system: The audit department audits derivative product trading periodically and submits audit reports to relevant units.
(1) In the reporting period, the gain and loss effect of the delivered derivative contracts was RMB 4.6989 million; the appraised
losses on the undelivered contracts were RMB 3.0294 million, including a reversed appraised loss of RMB 1.3463 million on
Changes of market prices or fair values in the reporting
undelivered forward exchange contracts of last year;
period of the invested derivatives. And the analysis on the
(2) The former contracted bank provided monthly sheets of estimated exchange rates for the undue contracted forward exchanges on
fair value of the derivatives should include the specific use
the last trading day of the month;
methods and the relevant assumptions and parameters.
(3) The profit and loss from fair value changes of the derivative was confirmed according to the difference between the contracted
amount undue by the month*the estimated exchange rate and the currency amount when bought in.
Whether significant changes occurred to the Company’s
accounting policy and specific accounting principles of There were no significant changes between the Company’s accounting policy and specific accounting principles of derivatives in the
derivatives in the reporting period compared to the previous reporting period and those in the last reporting period.
reporting period
Special opinion from independent directors, sponsor or The Company has carried out a strict internal assessment for the financial d erivative business and has established a corresponding
financial consultant on the Company’s derivatives supervision mechanism. We are of the opinion that the financial derivative business conducted by the Company is fairly necessary in
investment and risk control its routine operation and is in compliance with relevant laws and regulations, with the risks controllable.
15
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
VIII. Researches, visits and interviews received in the reporting period
√ Applicable □ Inapplicable
Main discussion and materials
Time of reception Place of reception Way of reception Visitor type Visitor
provided by the Company
Inquired of the reform situation of the
Telephone Share B and the basic information of
23 Sep. 2015 Individual Mr. Zhang
Communication the Company as well as the intelligent
R&D situation of the Company.
16
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Section IV. Financial Statements
I. Financial statements
1. Consolidated balance sheet
Prepared by TSANN KUEN (CHINA) ENTERPRISE CO., LTD.
Unit: (RMB) Yuan
Item Closing balance Opening balance
Current assets:
Monetary funds 639,606,104.56 886,464,448.01
Settlement reserves
Intra-group lendings
Financial assets measured at fair value of which changes
473,250.00 2,610,000.00
are recorded in current profits and losses
Derivative financial assets
Notes receivable 1,211,475.00 2,004,498.59
Accounts receivable 390,473,324.52 247,336,334.86
Accounts paid in advance 6,398,747.99 12,758,696.10
Premiums receivable
Reinsurance premiums receivable
Receivable reinsurance contract reserves
Interest receivable 5,628,024.99 3,590,399.84
Dividend receivable
Other accounts receivable 94,406,041.33 34,873,104.97
Financial assets purchased under agreements to resell
Inventories 198,300,800.67 193,150,144.07
Assets held for sale
Non-current assets due within 1 year
Other current assets 234,879,972.20 13,087,495.75
Total current assets 1,571,377,741.26 1,395,875,122.19
Non-current assets:
Loans by mandate and advances granted
Available-for-sale financial assets 40,000.00 40,000.00
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment
Investing real estate 38,661,224.79 51,731,414.90
Fixed assets 171,931,761.47 165,560,208.64
Construction in progress 542,189.69 233,968.67
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 17,252,210.16 12,145,423.16
R&D expense
Goodwill
Long-term deferred expenses 5,069,513.99 4,797,144.17
Deferred income tax assets 17,127,902.11 18,711,962.93
Other non-current assets 4,567,247.22 1,929,374.75
Total of non-current assets 255,192,049.43 255,149,497.22
Total assets 1,826,569,790.69 1,651,024,619.41
Current liabilities:
Short-term borrowings 222,645,500.00 61,190,000.00
Borrowings from the Central Bank
Customer bank deposits and due to banks and other
financial institutions
Intra-group borrowings
Financial liabilities measured at fair value of which
4,848,900.00 3,956,259.85
changes are recorded in current profits and losses
17
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Item Closing balance Opening balance
Derivative financial liabilities
Notes payable 34,106,530.95 29,749,982.77
Accounts payable 532,650,997.68 533,071,295.43
Accounts received in advance 13,725,729.67 14,769,179.12
Financial assets sold and repurchased
Handling charges and commissions payable
Payroll payable 46,333,697.97 45,910,725.14
Tax payable 5,395,584.18 6,521,778.61
Interest payable 1,210,088.58 68,275.80
Dividend payable
Other accounts payable 60,073,681.15 53,159,623.33
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 1 year
Other current liabilities
Total current liabilities 920,990,710.18 748,397,120.05
Non-current liabilities:
Long-term borrowings
Bonds payable
Of which: preference shares
Perpetual bonds
Long-term payables
Long-term payroll payables
Specific payables
Estimated liabilities
Deferred income
Deferred income tax liabilities 307,459.59 618,966.78
Other non-current liabilities
Total non-current liabilities 307,459.59 618,966.78
Total liabilities 921,298,169.77 749,016,086.83
Owners’ equity:
Share capital 185,391,680.00 185,391,680.00
Other equity instruments
Of which: preference shares
Perpetual bonds
Capital reserves 278,458,862.55 278,458,862.55
Less: Treasury stock
Other comprehensive income 1,852,863.47 -899,380.20
Specific reserves
Surplus reserves 16,400,043.27 16,400,043.27
Provisions for general risks
Retained profits 67,485,827.11 67,223,203.93
Total equity attributable to owners of the Company 549,589,276.40 546,574,409.55
Minority interests 355,682,344.52 355,434,123.03
Total owners’ equity 905,271,620.92 902,008,532.58
Total liabilities and owners’ equity 1,826,569,790.69 1,651,024,619.41
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
18
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
2. Balance sheet of the Company
Unit: (RMB) Yuan
Item Closing balance Opening balance
Current assets:
Monetary funds 6,784,115.28 3,236,270.65
Financial assets measured at fair value of which changes are
recorded in current profits and losses
Derivative financial assets
Notes receivable 1,211,475.00 2,004,498.59
Accounts receivable 11,565,334.01 28,535,190.86
Accounts paid in advance 905,923.07 159,129.74
Interest receivable
Dividend receivable
Other accounts receivable 598,921.70 618,435.08
Inventories 12,491,009.36 9,123,446.86
Assets held for sale
Non-current assets due within 1 year
Other current assets 248,982.79 259,083.99
Total current assets 33,805,761.21 43,936,055.77
Non-current assets:
Available-for-sale financial assets 40,000.00 40,000.00
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment 985,814,030.83 985,814,030.83
Investing real estate 31,365,907.78 43,650,654.94
Fixed assets 7,752,529.74 573,821.18
Construction in progress 200,000.00
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 3,347,903.31
R&D expense
Goodwill
Long-term deferred expenses 1,021,498.52 758,014.49
Deferred income tax assets 1,480,913.40 1,902,042.53
Other non-current assets 28,385.00 4,000.00
Total of non-current assets 1,031,051,168.58 1,032,742,563.97
Total assets 1,064,856,929.79 1,076,678,619.74
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 44,272,389.52 52,496,435.80
19
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Item Closing balance Opening balance
Accounts received in advance 2,202,141.94 5,652,792.49
Payroll payable 2,152,788.11 2,347,177.91
Tax payable 432,473.87 898,026.25
Interest payable
Dividend payable
Other accounts payable 474,953,978.71 475,204,952.74
Liabilities held for sale
Non-current liabilities due within 1 year
Other current liabilities
Total current liabilities 524,013,772.15 536,599,385.19
Non-current liabilities:
Long-term borrowings
Bonds payable
Of which: preference 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
Total liabilities 524,013,772.15 536,599,385.19
Owners’ equity:
Share capital 185,391,680.00 185,391,680.00
Other equity instruments
Of which: preference shares
Perpetual bonds
Capital reserves 271,489,596.88 271,489,596.88
Less: Treasury stock
Other comprehensive income
Specific reserves
Surplus reserves 16,400,043.27 16,400,043.27
Retained profits 67,561,837.49 66,797,914.40
Total owners’ equity 540,843,157.64 540,079,234.55
Total liabilities and owners’ equity 1,064,856,929.79 1,076,678,619.74
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
20
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
3. Consolidated income statement for the reporting period
Unit: (RMB) Yuan
Item Jul.-Sept. 2015 Jul.-Sept. 2014
I. Operating revenues 579,140,206.32 544,321,965.08
Including: Sales income 579,140,206.32 544,321,965.08
Interest income
Premium income
Handling charge and commission income
II. Operating costs 548,892,463.28 525,887,541.49
Including: Cost of sales 496,371,056.95 460,219,102.58
Interest expenses
Handling charge and commission expenses
Surrenders
Net claims paid
Net amount withdrawn for the insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 1,188,384.99 3,319,615.53
Selling and distribution expenses 22,069,831.45 19,897,087.88
Administrative expenses 41,664,771.57 42,240,352.84
Financial expenses -15,708,735.27 -2,908,650.92
Asset impairment loss 3,307,153.59 3,120,033.58
Add: Gain/(loss) from change in fair value (“-” means loss) -11,830,300.00 5,158,021.00
Gain/(loss) from investment (“-” means loss) 11,533.67 6,445,948.48
Including: share of profits in associates and joint ventures
Foreign exchange gains (“-” means loss)
III. Business profit (“-” means loss) 18,428,976.71 30,038,393.07
Add: non-operating income 1,625,298.40 2,737,189.92
Including: Gains on disposal of non-current assets 611,012.33 707,991.80
Less: non-operating expense 16,648.18 128,227.96
Including: Losses on disposal of non-current assets 12,219.06 66,177.57
IV. Total profit (“-” means loss) 20,037,626.93 32,647,355.03
Less: Income tax expense 2,435,769.58 1,711,949.34
V. Net profit (“-” means loss) 17,601,857.35 30,935,405.69
Net profit attributable to owners of the Company 12,960,350.00 23,906,043.41
Minority shareholders’ income 4,641,507.35 7,029,362.28
VI. After-tax net amount of other comprehensive incomes 3,747,922.14 5,510.99
After-tax net amount of other comprehensive incomes attributable
2,810,941.60 4,133.24
to owners of the Company
(I) Other comprehensive incomes that will not be reclassified
into gains and losses
1. Changes in net liabilities or assets with a defined benefit
plan upon re-measurement
2. Enjoyable shares in other comprehensive incomes in
investees that cannot be reclassified into gains and losses under the
equity method
(II) Other comprehensive incomes that will be reclassified into 2,810,941.60 4,133.24
21
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Item Jul.-Sept. 2015 Jul.-Sept. 2014
gains and losses
1. Enjoyable shares in other comprehensive incomes in
investees that will be reclassified into gains and losses under the equity
method
2. Gains and losses on fair value changes of
available-for-sale financial assets
3. Gains and losses on reclassifying held-to- maturity
investments into available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation difference 2,810,941.60 4,133.24
6. Other
After-tax net amount of other comprehensive incomes attributable
936,980.54 1,377.75
to minority shareholders
VII. Total comprehensive incomes 21,349,779.49 30,940,916.68
Attributable to owners of the Company 15,771,291.60 23,910,176.65
Attributable to minority shareholders 5,578,487.89 7,030,740.03
VIII. Earnings per share
(I) Basic earnings per share 0.07 0.13
(II) Diluted earnings per share 0.07 0.13
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 RMB 0.00, with the corresponding amount for the same period of last year being RMB 0.00.
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
22
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
4. Income statement of the Company for the reporting period
Unit: (RMB) Yuan
Item Jul.-Sept. 2015 Jul.-Sept. 2014
I. Total sales 13,495,092.82 58,442,043.78
Less: cost of sales 9,569,195.18 48,755,369.75
Business taxes and surcharges 237,633.66 485,845.98
Distribution expenses 1,260,115.65 2,041,280.17
Administrative expenses 3,823,193.17 2,695,990.94
Financial costs -34,646.87 -35,304.63
Impairment loss 310,192.06 899,716.50
Add: gain/(loss) from change in fair value (“-” means loss)
Gain/(loss) from investment (“-” means loss)
Including: income form investment on associates and joint ventures
II. Business profit (“-” means loss) -1,670,590.03 3,599,145.07
Add: non-operating income 36,918.98 107,652.70
Including: Gains on disposal of non-current assets 23,533.98 79,148.08
Less: non-operating expense 12,952.66
Including: Losses on disposal of non-current assets 12,952.66
III. Total profit (“-” means loss) -1,646,623.71 3,706,797.77
Less: Income tax expense -90,906.24 1,346,073.08
IV. Net profit (“-” means loss) -1,555,717.47 2,360,724.69
V. After-tax net amount of other comprehensive incomes
(I) Other comprehensive incomes that will not be reclassified into gains
and losses
1. Changes in net liabilities or assets with a defined benefit plan upon
re-measurement
2. Enjoyable shares in other comprehensive incomes in investees that
cannot be reclassified into gains and losses under the equity method
(II) Other comprehensive incomes that will be reclassified into gains and
losses
1. Enjoyable shares in other comprehensive incomes in investees that
will be reclassified into gains and losses under the equity method
2. Gains and losses on fair value changes of available-for-sale financial
assets
3. Gains and losses on reclassifying held-to-maturity investments into
available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation difference
6. Other
VI. Total comprehensive incomes -1,555,717.47 2,360,724.69
VII. Earnings per share
(I) Basic earnings per share
(II) Diluted earnings per share
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
23
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
5. Consolidated income statement for Jan.-Sept. 2015
Unit: (RMB) Yuan
Item Jan.-Sept. 2015 Jan.-Sept. 2014
I. Operating revenues 1,474,334,364.39 1,434,538,264.59
Including: Sales income 1,474,334,364.39 1,434,538,264.59
Interest income
Premium income
Handling charge and commission income
II. Operating costs 1,439,488,730.13 1,389,310,291.72
Including: Cost of sales 1,267,854,353.96 1,222,193,517.04
Interest expenses
Handling charge and commission expenses
Surrenders
Net claims paid
Net amount withdrawn for the insurance contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and associate charges 4,272,747.17 8,249,924.72
Selling and distribution expenses 63,193,960.77 54,280,542.64
Administrative expenses 124,663,461.78 115,152,940.25
Financial expenses -24,906,680.93 -14,125,625.27
Asset impairment loss 4,410,887.38 3,558,992.34
Add: Gain/(loss) from change in fair value (“-” means loss) -3,029,390.15 -21,610,150.00
Gain/(loss) from investment (“-” means loss) 6,042,202.49 20,446,066.98
Including: share of profits in associates and joint ventures
Foreign exchange gains (“-” means loss)
III. Business profit (“-” means loss) 37,858,446.60 44,063,889.85
Add: non-operating income 4,854,787.57 11,558,038.21
Including: Gains on disposal of non-current assets 1,520,804.68 2,241,842.00
Less: non-operating expense 134,843.80 870,000.91
Including: Losses on disposal of non-current assets 129,414.68 615,040.69
IV. Total profit (“-” means loss) 42,578,390.37 54,751,927.15
Less: Income tax expense 5,736,527.36 4,669,389.24
V. Net profit (“-” means loss) 36,841,863.01 50,082,537.91
Net profit attributable to owners of the Company 28,071,375.18 38,764,033.17
Minority shareholders’ income 8,770,487.83 11,318,504.74
VI. After-tax net amount of other comprehensive incomes 3,669,658.23 373,684.95
After-tax net amount of other comprehensive incomes
2,752,243.67 280,263.71
attributable to owners of the Company
(I) Other comprehensive incomes that will not be reclassified
into gains and losses
1. Changes in net liabilities or assets with a defined benefit
plan upon re-measurement
2. Enjoyable shares in other comprehensive incomes in
investees that cannot be reclassified into gains and losses under the
equity method
24
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Item Jan.-Sept. 2015 Jan.-Sept. 2014
(II) Other comprehensive incomes that will be reclassified
2,752,243.67 280,263.71
into gains and losses
1. Enjoyable shares in other comprehensive incomes in
investees that will be reclassified into gains and losses under the
equity method
2. Gains and losses on fair value changes of
available-for-sale financial assets
3. Gains and losses on reclassifying held-to- maturity
investments into available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation
2,752,243.67 280,263.71
difference
6. Other
After-tax net amount of other comprehensive incomes
917,414.56 93,421.24
attributable to minority shareholders
VII. Total comprehensive incomes 40,511,521.24 50,456,222.86
Attributable to owners of the Company 30,823,618.85 39,044,296.88
Attributable to minority shareholders 9,687,902.39 11,411,925.98
VIII. Earnings per share
(I) Basic earnings per share 0.15 0.21
(II) Diluted earnings per share 0.15 0.21
Where business mergers under the same control occurred in this period, the net profit achieved by the merged parties before the
business mergers was RMB 0.00, with the corresponding amount for the same period of last year being RMB 0.00.
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
25
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
6. Income statement of the Company for Jan.-Sept. 2015
Unit: (RMB) Yuan
Item Jan.-Sept. 2015 Jan.-Sept. 2014
I. Total sales 92,169,899.28 101,050,036.42
Less: cost of sales 73,644,929.63 77,835,613.62
Business taxes and surcharges 765,552.24 1,152,004.18
Distribution expenses 5,460,113.47 5,040,950.06
Administrative expenses 11,147,771.28 8,274,173.54
Financial costs 451,509.01 236,803.63
Impairment loss 37,341.13 -598,460.81
Add: gain/(loss) from change in fair value (“-” means loss)
Gain/(loss) from investment (“-” means loss) 28,286,287.22 38,189,978.21
Including: income form investment on associates and joint
ventures
II. Business profit (“-” means loss) 28,948,969.74 47,298,930.41
Add: non-operating income 96,763.54 128,575.86
Including: Gains on disposal of non-current assets 23,533.98 83,894.34
Less: non-operating expense 12,952.66 35,791.72
Including: Losses on disposal of non-current assets 12,952.66
III. Total profit (“-” means loss) 29,032,780.62 47,391,714.55
Less: Income tax expense 460,105.53 2,742,335.10
IV. Net profit (“-” means loss) 28,572,675.09 44,649,379.45
V. After-tax net amount of other comprehensive incomes
(I) Other comprehensive incomes that will not be reclassified into
gains and losses
1. Changes in net liabilities or assets with a defined benefit plan
upon re-measurement
2. Enjoyable shares in other comprehensive incomes in investees
that cannot be reclassified into gains and losses under the equity
method
(II) Other comprehensive incomes that will be reclassified into
gains and losses
1. Enjoyable shares in other comprehensive incomes in investees
that will be reclassified into gains and losses under the equity method
2. Gains and losses on fair value changes of available-for-sale
financial assets
3. Gains and losses on reclassifying held-to-maturity
investments into available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation difference
6. Other
VI. Total comprehensive incomes 28,572,675.09 44,649,379.45
VII. Earnings per share
(I) Basic earnings per share
(II) Diluted earnings per share
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
26
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
7. Consolidated cash flow statement for Jan.-Sept. 2015
Unit: (RMB) Yuan
Item Jan.-Sept. 2015 Jan.-Sept. 2014
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 1,314,183,043.25 1,360,412,327.85
Net increase of deposits from customers and dues from banks
Net increase of loans from the central bank
Net increase of funds borrowed from other financial institutions
Cash received from premium of original insurance contracts
Net cash received from reinsurance business
Net increase of deposits of policy holders and investment fund
Net increase of disposal of financial assets measured at fair value of which
changes are recorded into current gains and losses
Cash received from interest, handling charges and commissions
Net increase of intra-group borrowings
Net increase of funds in repurchase business
Tax refunds received 102,311,292.95 154,669,374.04
Other cash received relating to operating activities 46,920,557.30 73,864,346.39
Subtotal of cash inflows from operating activities 1,463,414,893.50 1,588,946,048.28
Cash paid for goods and services 1,181,254,376.36 1,257,184,026.76
Net increase of customer lendings and advances
Net increase of funds deposited in the central bank and amount due from banks
Cash for paying claims of the original insurance contracts
Cash for paying interest, handling charges and commissions
Cash for paying policy dividends
Cash paid to and for employees 200,883,474.33 184,072,607.32
Various taxes paid 18,022,371.12 22,474,160.98
Other cash payment relating to operating activities 167,376,513.27 184,760,754.65
Subtotal of cash outflows from operating activities 1,567,536,735.08 1,648,491,549.71
Net cash flows from operating activities -104,121,841.58 -59,545,501.43
II. Cash flows from investing activities:
Cash received from withdrawal of investments 104,698,869.16 231,422,984.72
Cash received from return on investments 1,343,333.33 8,692,082.35
Net cash received from disposal of fixed assets, intangible assets and other
3,340,201.65 3,330,778.97
long-term assets
Net cash received from disposal of subsidiaries or other business units
Other cash received relating to investing activities 834,157,694.00
Subtotal of cash inflows from investing activities 943,540,098.14 243,445,846.04
27
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
Item Jan.-Sept. 2015 Jan.-Sept. 2014
Cash paid to acquire fixed assets, intangible assets and other long-term assets 51,555,680.88 33,255,449.23
Cash paid for investment 330,000,000.00 440,000,000.00
Net increase of pledged loans
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities 801,902,932.63 611,404,876.95
Subtotal of cash outflows from investing activities 1,183,458,613.51 1,084,660,326.18
Net cash flows from investing activities -239,918,515.37 -841,214,480.14
III. Cash Flows from Financing Activities:
Cash received from capital contributions
Including: Cash received from minority shareholder investments by
subsidiaries
Cash received from borrowings 583,727,183.61 672,464,728.00
Cash received from issuance of bonds
Other cash received relating to financing activities 143,957,350.00
Subtotal of cash inflows from financing activities 583,727,183.61 816,422,078.00
Repayment of borrowings 434,082,752.61 410,050,948.00
Cash paid for interest expenses and distribution of dividends or profit 37,956,939.13 43,214,926.25
Including: dividends or profit paid by subsidiaries to minority shareholders 8,485,886.15 12,877,215.94
Other cash payments relating to financing activities 33,837,950.00
Sub-total of cash outflows from financing activities 472,039,691.74 487,103,824.25
Net cash flows from financing activities 111,687,491.87 329,318,253.75
IV. Effect of foreign exchange rate changes on cash and cash equivalents 17,749,283.00 2,644,547.11
V. Net increase in cash and cash equivalents -214,603,582.08 -568,797,180.71
Add: Opening balance of cash and cash equivalents 469,965,448.01 834,088,959.68
VI. Closing balance of cash and cash equivalents 255,361,865.93 265,291,778.97
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
28
Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
8. Cash flow statement of the Company for Jan.-Sept. 2015
Unit: (RMB) Yuan
Item Jan.-Sept. 2015 Jan.-Sept. 2014
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 108,538,211.67 94,631,963.05
Tax refunds received
Other cash received relating to operating activities 33,426,268.98 37,492,388.45
Subtotal of cash inflows from operating activities 141,964,480.65 132,124,351.50
Cash paid for goods and services 95,873,694.77 115,910,450.05
Cash paid to and for employees 9,089,806.07 5,402,684.19
Various taxes paid 5,331,450.02 5,504,014.56
Other cash payment relating to operating activities 25,969,329.55 19,623,261.39
Subtotal of cash outflows from operating activities 136,264,280.41 146,440,410.19
Net cash flows from operating activities 5,700,200.24 -14,316,058.69
II. Cash flows from investing activities:
Cash received from withdrawal of investments
Cash received from return on investments 28,286,287.22 38,189,978.21
Net cash received from disposal of fixed assets, intangible assets and
85,700.00
other long-term assets
Net cash received from disposal of subsidiaries or other business units
Other cash received relating to investing activities
Subtotal of cash inflows from investing activities 28,286,287.22 38,275,678.21
Cash paid to acquire fixed assets, intangible assets and other long-term
2,565,567.30 400,135.90
assets
Cash paid for investment
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities
Subtotal of cash outflows from investing activities 2,565,567.30 400,135.90
Net cash flows from investing activities 25,720,719.92 37,875,542.31
III. Cash Flows from Financing Activities:
Cash received from capital contributions
Cash received from borrowings
Cash received from issuance of bonds
Other cash received relating to financing activities
Subtotal of cash inflows from financing activities
Repayment of borrowings
Cash paid for interest expenses and distribution of dividends or profit 27,883,693.93 25,337,391.98
Other cash payments relating to financing activities
Sub-total of cash outflows from financing activities 27,883,693.93 25,337,391.98
Net cash flows from financing activities -27,883,693.93 -25,337,391.98
IV. Effect of foreign exchange rate changes on cash and cash equivalents 10,618.40 -13,623.73
V. Net increase in cash and cash equivalents 3,547,844.63 -1,791,532.09
Add: Opening balance of cash and cash equivalents 3,236,270.65 11,811,615.43
VI. Closing balance of cash and cash equivalents 6,784,115.28 10,020,083.34
Legal representative: Pan Zhirong Chief of the accounting work: Wu Yanru Chief of the accounting organ: Wu Yanru
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Report for the Third Quarter of 2015 of Tsann Kuen (China) Enterprise Co., Ltd.
II. Auditor’s report
Is this report audited?
□ Yes √ No
This report is not audited.
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