The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
HUBEI SANONDA CO., LTD.
THE REPORT FOR THE FIRST QUARTER OF 2017
April 2017
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Section I Important Statements
The Board of Directors, the Supervisory Committee, directors, supervisors and
senior management staff of Hubei Sanonda 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.
An Liru, company principal, Liu Anping, chief of the accounting work and Tu
Zhiwen, concurrently chief of the accounting organ (chief of accounting), hereby
confirm that the financial statements enclosed 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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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Section II Profile of the Company
I Accounting and financial results
Indicate by tick mark whether the Company performed any retroactive adjustments to or restatement of its accounting data due to
changes of accounting policies or correction of accounting errors
□ Yes √ No
January-March 2017 January-March 2016 +/-%
Operating revenues (RMB) 655,834,605.42 478,019,086.56 37.20%
Net profit attributable to shareholders of
58,716,654.98 8,016,805.81 632.42%
the Company (RMB)
Net profit attributable to shareholders of
the Company before exceptional profit and 58,355,725.25 -1,097,269.16 N/A
loss (RMB)
Net operating cash flow (RMB) 7,108,591.23 -14,737,785.00 148.23%
Basic earnings per share (RMB/share) 0.0989 0.0135 632.59%
Diluted earnings per share (RMB/share) 0.0989 0.0135 632.59%
Weighted average return on equity (%) 2.89% 0.38% 2.51%
31 March 2017 31 December 2016 +/-%
Total assets (RMB) 3,060,171,492.32 2,984,883,798.79 2.52%
Net assets attributable to shareholders of
2,064,439,506.79 2,005,058,006.75 2.96%
the Company (RMB)
Exceptional profit and loss
√ Applicable □ Not applicable
Unit: RMB
Item January-March 2017 Note
Gains/losses on the disposal of non-current assets (including the
-10,064.02
offset part of asset impairment provisions)
Government grants recognized in the current period, except for
those acquired in the ordinary course of business or granted at
1,050,800.22
certain quotas or amounts according to the country’s unified
standards
Other non-operating income and expenses than the above -641,441.00
Less: Income tax effects 38,365.47
Total 360,929.73 --
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,
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
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 at the period-end and shareholdings of top ten shareholders
1. Numbers of common shareholders and preference shareholders with resumed voting rights as well as
shareholdings of top ten shareholders
Unit: share
Total number of preference
Total number of common 61,070 (A-shareholders: 43,6 shareholders with resumed
0
shareholders at the period-end 09) voting rights at the period-end
(if any)
Shareholdings of top ten shareholders
Number of Pledged or frozen shares
Name of Nature of Shareholding Number of shares
restricted shares
shareholder shareholder percentage (%) held Status of shares Status of shares
held
Jingzhou
Sanonda State-owned
20.15% 119,687,202
Holdings Co., corporation
Ltd.
ADAMA Celsius Foreign
10.60% 62,950,659
B.V. corporation
State-Owned
Assets
On behalf of the
Administration 0.70% 4,169,266
government
Bureau of Qichun
County
Domestic
Xie Qingjun 0.64% 3,775,200
individual
Guotai Junan
Foreign
Securities (Hong 0.53% 3,121,599
corporation
Kong) Limited
Domestic
Shi Yun 0.47% 2,800,000
individual
China
Construction
Bank Co., Ltd.－ Other 0.37% 2,200,863
Rongtong
Leading Growth
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Mixed Stock
Fund (LOF)
Domestic
Zhou Qiping 0.35% 2,063,245
individual
Domestic
Hu Chunwan 0.19% 1,103,128
individual
Domestic
Qian Tiaoyuan 0.18% 1,066,600
individual
Shareholdings of top ten non-restricted shareholders
Variety of shares
Name of shareholder Number of non-restricted shares held
Variety Number
Jingzhou Sanonda Holdings Co., RMB common
119,687,202 119,687,202
Ltd. shares
Domestically
ADAMA Celsius B.V. 62,950,659 listed foreign 62,950,659
shares
State-Owned Assets Administration RMB common
4,169,266 4,169,266
Bureau of Qichun County shares
Domestically
Xie Qingjun 3,775,200 listed foreign 3,775,200
shares
Domestically
Guotai Junan Securities (Hong
3,121,599 listed foreign 3,121,599
Kong) Limited
shares
RMB common
Shi Yun 2,800,000 2,800,000
shares
China Construction Bank Co., Ltd.
RMB common
－Rongtong Leading Growth Mixed 2,200,863 2,200,863
shares
Stock Fund (LOF)
RMB common
Zhou Qiping 2,063,245 2,063,245
shares
Domestically
Hu Chunwan 1,103,128 listed foreign 1,103,128
shares
RMB common
Qian Tiaoyuan 1,066,600 1,066,600
shares
Jingzhou Sanonda Holdings Co., Ltd. and Celsius Property B.V. are related parties, and under
Related or acting-in-concert parties
the same control of China National Chemical Agrochemical Corporation, and are
among the above shareholders
acting-in-concert parties as prescribed in the Administrative Methods for Acquisition of
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Listed Companies. It is unknown whether the other shareholders are related parties or
acting-in-concert parties as prescribed in the Administrative Methods for Acquisition of
Listed Companies.
1. The shareholder Shi Yun held 2,800,000 shares of the Company through credit collateral
securities trading account and held 0 shares of the Company through common stock account
that held 2,800,000 shares of the Company in total.
Top ten common shareholders 2. The shareholder Zhou Qiping held 120,100 shares of the Company through credit collateral
conducting securities margin trading securities trading account and held 1,943,145 shares of the Company through common stock
(if any) account that held 2,063,245 shares of the Company in total.
3. The shareholder Qian Tiaoyuan held 1,066,600 shares of the Company through credit
collateral securities trading account and held 0 shares of the Company through common stock
account that held 1,066,600 shares of the Company in total.
Did any of the top ten common shareholders or the top ten non-restricted common shareholders of the Company conduct any
promissory repo during the Reporting Period?
□ Yes √ No
No such cases in the Reporting Period.
2. Total number of preference shareholders and shareholdings of the top ten of them
□ Applicable √ Not applicable
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Section III Significant Events
I Changes in the key financial results of this Reporting Period, as well as the reasons for such
changes
√ Applicable □ Not applicable
December 31,
March 31, 2017
2016
(RMB’0,000)
Item (RMB’0,000) +/-% Main reason for change
(January-March (January-March
2017) 2016)
Notes receivable 6,091 9,178 -33.64% More notes were used to pay for raw materials
Accounts receivable 36,231 20,861 73.68% The sales increased, with a longer credit term
Accounts paid in advance 7,467 4,201 77.74% Prepayments for some raw materials increased
Deferred tax assets 2,480 3,952 -37.25% Decrease in recognized deferred assets of deductible
loss
Short-term borrowings 10,000 0 New borrowings secured
Accounts received in 4,706 3,267 44.07% Increased advances from customers
advance
Notes payable 0 2,600 -100.00% Notes payable became due
Accounts payable 22,274 16,918 31.65% Increased payables for some materials
Payroll payable 1,413 3,017 -53.15% Remuneration for last year was paid in this Reporting
Period
Interest payable 47 0 Interest payable on bank borrowings
Other accounts payable 7,568 16,516 -54.18% Some security deposits were returned
Operating revenues 65,583 47,802 37.20% The sales volumes and prices of main products
increased
Administrative expenses 2,475 3,261 -24.11% Decreased stand-by loss
Finance cost 561 799 -29.78% Decreased interest cost
Non-operating revenues 108 1,215 -91.14% The same period of last year saw earnings from
disposal of land, while there were no such cases in this
Reporting Period
Corporate income tax 1,828 178 928.82% Increased total profit
Net profit attributable to 5,872 802 632.42% Increased sales revenue and gross profit margin
owners of the Company
II Progress of significant events and analysis & explanations on their influence and solutions
√ Applicable □ Not applicable
During the Reporting Period, The 17th Meeting of the 7th Board of Directors of the Company considered and approved the related Bill,
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
the Report About Issuing Shares to Purchase Assets and Raise Matching Funds and Related Party TransactionTransaction(the Draft)
approved by The First Special Meeting of Shareholders in 2017. The Company disclosed that CSRC heard the application of this
significant assets restructuring on April 6, 2017, and this significant assets restructuring still needs to be approved by CSRC.
Disclosure website query index of
Overview of significant event Disclosure date
temporary report
The Announcement About CSRC Heard
the Application Of This Significant Assets 04/06/2017 http://www.cninfo.com.cn
Restructuring
The Announcement About Resolution of
the First Special Meeting of Shareholders 03/28/2017 http://www.cninfo.com.cn
in 2017
III Commitments of the Company’s actual controller, shareholders, related parties and
acquirer, as well as the Company and other commitment makers, unfulfilled in this reporting
period
√ Applicable □ Inapplicable
Time of
Commitment Commitment Period of
Commitment Contents making Fulfillment
maker type commitment
commitment
Commitment on
share reform
I. Commitments on avoiding
horizontal competition: 1. except for
the Company proposed conducting
transaction may lead to competition
in domestic trade with Shenzhen
NOPOSION Agrochemical Co., Ltd.
The
Commitments disclosed in the B Shares Offer
commitments
on the Acquisition Report of Hubei
Commitment in ADAMA were being
horizontal Sanonda CO., Ltd. The Company
the acquisition Celsius carried out
competition, will take effective measures to avoid
report or the B.V.;ADAMA 09/07/2013 2020-09-06 and the
the related the Company and its controlling
report on equity Agricultural commitment
transaction subsidiaries engaged in the same or
changes Solutions Ltd. makers abided
and the capital similar business with Hubei
by the above
occupation Sanonda CO., Ltd. within the
commitments.
territory. 2. If the Company or its
controlling subsidiaries domestically
conduct related business which form
horizontal competition with Hubei
Sanonda CO., Ltd. in future
(including related business of the
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Company proposed conducting
transaction may lead to competition
in domestic trade with Shenzhen
NOPOSION Agrochemical Co., Ltd.
disclosed in the B Shares Offer
Acquisition Report of Hubei
Sanonda CO., Ltd.) The Company
will according to the securities laws
and regulations and industry policy
within 7 years or when the
management think the condition is
ripe to actively take steps, gradually
eliminate the competition, the
concrete measures including but not
limited to the following one or
more: fight for internal assets
reconstruction, (including putting
the business into Hubei Sanonda
CO., Ltd. or operated through Hubei
Sanonda CO., Ltd. ) to adjust the
industrial plan and business
structure, to transform technology
and to upgrade products, to divide
the market so as to make each
corporation differ in the products
and its ultimate users, thus to avoid
and eliminate the current domestic
horizontal competition between the
Company’s controlling subsidiaries
and Sanonda.
II. Commitments on maintaining the
Company’s operation independence
and specify the related transaction:
The
Commitments 1. After the complement of the
commitments
on the tender offer, Sanonda will continue
ADAMA were being
horizontal to maintain complete purchase,
Celsius carried out
competition, production and sales system, and to
B.V.;ADAMA 09/07/2013 9999-12-31 and the
the related gain the independent intellectual
Agricultural commitment
transaction property. The Company and its
Solutions Ltd. makers abided
and the capital direct or indirect controlling
by the above
occupation shareholders and Sanonda of which
commitments.
the personnel, assets, finance,
business and institutions will be
completely separated, and at the
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
same time maintain the operation
ability of Sanonda that
independently face to the China
agrochemical industry market. 2.
The Company will avoid and reduce
the related transactions with
Sanonda according to the
requirements stipulated by the laws,
regulations and other normative
documents; but for those related
transactions that are inevitable or
occur with reasonable cause, will
have to obey the just, fair and open
market principles. And to sign the
agreement according to the law and
to carry out legal program, and to
make sure not to harm the legal
interest of Sanonda and other
shareholders by related transaction
according to the Articles of
Association of Sanonda, the relevant
system about related transaction and
to conduct the duty of information
disclosure as well as the approval
process which stipulated by the
relevant regulations."
I. Commitments on avoiding
horizontal competition: 1. The
business of the Company’s
subsidiaries-- Jiangsu Anpon
Electrochemical Co., Ltd., Anhui
The
Commitments Petroleum Chemical Group Co.,
commitments
on the Ltd., Shangdong Dacheng
were being
China horizontal Agrochemical Co., Ltd. and Jiamusi
carried out
National competition, Heilong Agrochemicals Co., Ltd.,
09/07/2013 2020-09-06 and the
Chemical the related and Hunan Haohua Chemical Co.,
commitment
Corporation transaction Ltd. and its subsidiary had the same
makers abided
and the capital or similar situations with the main
by the above
occupation business of Sanonda, and aimed at
commitments.
the domestic horizontal competition,
the Company committed to
gradually eliminate such kind of
horizontal competition in the future
and to fight for the internal assets
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
reconstruction, to adjust the
industrial plan and business
structure, to transform technology
and to upgrade products, to divide
the market so as to make each
corporation differ in the products
and its ultimate users according to
the securities laws and regulations
and industry policy within 7 years,
thus to eliminate the current
domestic horizontal competition
between the Company’s controlling
subsidiaries and Sanonda. 2.
Excepting the competition situation
disclosed in the offer acquisition
report, the Company take effective
measures to avoid the Company and
its controlling subsidiaries
( excepting Commitments
respectively made in acquisition
report by Celsius Property B.V. and
MAI )’ new increased business
engaged in the same or similar
business with Hubei Sanonda CO.,
Ltd. within the territory in future. 3.
If the Company or its controlling
subsidiaries (excepting
Commitments respectively made in
acquisition report by Celsius
Property B.V. and MAI)
domestically conduct related
business which form horizontal
competition with Hubei Sanonda
CO., Ltd. in future, the Company
will actively take steps, gradually
eliminate the competition, the
concrete measures including but not
limited to fight for internal assets
reconstruction, (including putting
the business into Hubei Sanonda
CO., Ltd. or operated through Hubei
Sanonda CO., Ltd.) to adjust the
industrial plan and business
structure, to transform technology
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
and to upgrade products, to divide
the market so as to make each
corporation differ in the products
and its ultimate users, thus to avoid
and eliminate the current domestic
horizontal competition between the
Company’s controlling subsidiaries
and Sanonda.
II. Commitments on maintaining the
Company’s operation independence
and specify the related transaction:
1. After the complement of the
tender offer, Sanonda will continue
to maintain complete purchase,
production and sales system, and to
gain the independent intellectual
property. The Company and its
direct or indirect controlling
shareholders and Sanonda of which
the personnel, assets, finance,
business and institutions will be
completely separated, and at the
The
Commitments same time maintain the operation
commitments
on the ability of Sanonda that
were being
China horizontal independently face to the China
carried out
National competition, agrochemical industry market. 2.
09/07/2013 9999-12-31 and the
Chemical the related The Company will avoid and reduce
commitment
Corporation transaction the related transactions with
makers abided
and the capital Sanonda according to the
by the above
occupation requirements stipulated by the laws,
commitments.
regulations and other normative
documents; but for those related
transactions that are inevitable or
occur with reasonable cause, will
have to obey the just, fair and open
market principles. And to sign the
agreement according to the law and
to carry out legal program, and to
make sure not to harm the legal
interest of Sanonda and other
shareholders by related transaction
according to the Articles of
Association of Sanonda, the relevant
system about related transaction and
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
to conduct the duty of information
disclosure as well as the approval
process which stipulated by the
relevant regulations.
Commitments
made at the time
of assets
reorganization
Commitments
made in the initial
public offering or
refinancin
Commitment on
equity incentive
Other
commitments
made to minority
shareholders
Executed timely
Yes
or not?
IV Operating result forecast for January-June 2017
Warning of possible loss or considerable YoY change of the accumulated net profit made during the period-beginning to the end of
the next reporting period according to prediction, as well as explanations on the reasons:
□Applicable √ Not applicable
V Securities investments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
VI Investments in derivative financial instruments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
VII Visits paid to the Company in the Reporting Period for purposes of research,
communication, interview, etc.
√ Applicable □ Not applicable
Date of visit Way of visit Type of visitor Index to main inquiry information
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
How to attend site meeting of
02/06/2017 Telephone communication Individual
shareholders?
02/16/2017 Telephone communication Individual Whether approved by SASAC or not?
How to attend site meeting of
03/07/2017 Telephone communication Individual
shareholders?
03/08/2017 Telephone communication Individual Whether approved by SASAC or not?
How to attend site meeting of
03/17/2017 Telephone communication Individual
shareholders?
The related problems of supporting
03/30/2017 Telephone communication Individual
financing issuance and pricing?
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 by the controlling shareholder or its related parties
for non-operating purposes
□ Applicable √ Not applicable
No such cases in the Reporting Period.
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Section IV Financial Statements
I Financial statements
1. Consolidated balance sheet
Prepared by Hubei Sanonda CO., Ltd
March 31, 2017
Unit: RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 495,979,865.41 547,270,064.75
Settlement reserve
Interbank lendings
Financial assets at fair value through
profit/loss
Derivative financial assets
Notes receivable 60,906,692.20 91,784,604.58
Accounts receivable 362,314,105.20 208,608,355.93
Accounts paid in advance 74,672,123.11 42,012,434.98
Premiums receivable
Reinsurance premiums receivable
Receivable reinsurance contract
reserve
Interest receivable
Dividends receivable
Other accounts receivable 10,842,053.65 12,749,493.85
Financial assets purchased under
agreements to resell
Inventories 211,998,467.22 173,640,807.03
Assets held for sale
Non-current assets due within one
year
Other current assets 11,216,632.06 15,518,223.25
Total current assets 1,227,929,938.85 1,091,583,984.37
Non-current assets:
Loans and advances to customers
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Available-for-sale financial assets 8,572,982.63 8,572,982.63
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investments
Investment property 4,643,970.84 4,722,525.78
Fixed assets 1,555,110,219.72 1,604,373,212.55
Construction in progress 24,742,307.20 21,225,256.37
Engineering materials
Disposal of fixed assets
Productive living assets
Oil-gas assets
Intangible assets 206,549,618.17 207,764,086.65
R&D expenses
Goodwill
Long-term deferred expenses
Deferred tax assets 24,799,247.45 39,518,542.98
Other non-current assets 7,823,207.46 7,123,207.46
Total non-current assets 1,832,241,553.47 1,893,299,814.42
Total assets 3,060,171,492.32 2,984,883,798.79
Current liabilities:
Short-term borrowings 100,000,000.00 0.00
Borrowings from the Central Bank
Money deposits accepted and
inter-bank deposits
Interbank borrowings
Financial liabilities at fair value
through profit/loss
Derivative financial liabilities
Notes payable 0.00 26,000,000.00
Accounts payable 222,737,155.86 169,182,510.04
Accounts received in advance 47,061,335.91 32,665,597.65
Financial assets sold for repurchase
Fees and commissions payable
Payroll payable 14,134,776.12 30,169,378.08
Taxes payable 30,969,353.82 18,472,322.61
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Interest payable 473,062.50
Dividends payable 250,000.00 250,000.00
Other accounts payable 75,679,763.81 165,158,645.93
Reinsurance premiums payable
Insurance contract reserve
Payables for acting trading of
securities
Payables for acting underwriting of
securities
Liabilities held for sale
Non-current liabilities due within one
139,090,000.00 147,000,000.00
year
Other current liabilities
Total current liabilities 630,395,448.02 588,898,454.31
Non-current liabilities:
Long-term borrowings 172,000,000.00 196,590,000.00
Bonds payable
Of which: Preference shares
Perpetual bonds
Long-term accounts payable
Long-term payroll payable
Special payables
Provisions
Deferred income 21,566,087.51 22,566,887.73
Deferred tax liabilities
Other non-current liabilities 171,770,450.00 171,770,450.00
Total non-current liabilities 365,336,537.51 390,927,337.73
Total liabilities 995,731,985.53 979,825,792.04
Owners’ equity:
Share capital 593,923,220.00 593,923,220.00
Other equity instruments
Of which: Preference shares
Perpetual bonds
Capital reserve 263,063,461.97 263,063,461.97
Less: Treasury shares
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Other comprehensive income
Special reserve 20,527,308.40 19,862,463.34
Surplus reserve 190,699,248.11 190,699,248.11
Provisions for general risks
Retained earnings 996,226,268.31 937,509,613.33
Equity attributable to owners of the
2,064,439,506.79 2,005,058,006.75
Company
Minority interests
Total owners’ equity 2,064,439,506.79 2,005,058,006.75
Total liabilities and owners’ equity 3,060,171,492.32 2,984,883,798.79
Legal representative: An Liru Accounting head for this Report: Liu Anping Head of the accounting department: Tu Zhiwen
2. Balance sheet of the Company
Unit: RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 68,834,646.00 257,540,892.07
Financial assets at fair value through
profit/loss
Derivative financial assets
Notes receivable 57,406,692.20 88,457,302.58
Accounts receivable 836,852,785.38 611,495,344.80
Accounts paid in advance 66,019,759.88 35,684,527.41
Interest receivable
Dividends receivable
Other accounts receivable 839,790.73 3,082,682.97
Inventories 203,613,905.88 168,497,335.12
Assets held for sale
Non-current assets due within one
year
Other current assets 3,420,194.16 5,738,347.99
Total current assets 1,236,987,774.23 1,170,496,432.94
Non-current assets:
Available-for-sale financial assets 8,572,982.63 8,572,982.63
Held-to-maturity investments
Long-term accounts receivable
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Long-term equity investments 55,526,635.41 55,526,635.41
Investment property 4,643,970.84 4,722,525.78
Fixed assets 1,430,520,239.66 1,475,229,079.55
Construction in progress 24,742,307.20 21,225,256.37
Engineering materials
Disposal of fixed assets
Productive living assets
Oil-gas assets
Intangible assets 195,148,079.95 196,093,173.33
R&D expenses
Goodwill
Long-term deferred expenses
Deferred tax assets 21,013,323.74 36,980,749.19
Other non-current assets 7,823,207.46 7,123,207.46
Total non-current assets 1,747,990,746.89 1,805,473,609.72
Total assets 2,984,978,521.12 2,975,970,042.66
Current liabilities:
Short-term borrowings 50,000,000.00 0.00
Financial liabilities at fair value
through profit/loss
Derivative financial liabilities
Notes payable 0.00 26,000,000.00
Accounts payable 215,153,395.71 162,150,878.66
Accounts received in advance 29,432,640.00 26,358,193.29
Payroll payable 12,046,990.79 26,352,607.70
Taxes payable 22,319,353.49 10,661,550.02
Interest payable
Dividends payable 250,000.00 250,000.00
Other accounts payable 82,476,082.45 172,324,381.38
Liabilities held for sale
Non-current liabilities due within one
139,090,000.00 147,000,000.00
year
Other current liabilities
Total current liabilities 550,768,462.44 571,097,611.05
Non-current liabilities:
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Long-term borrowings 172,000,000.00 196,590,000.00
Bonds payable
Of which: Preference shares
Perpetual bonds
Long-term payables
Long-term payroll payable
Special payables
Provisions
Deferred income 15,911,920.81 16,666,887.70
Deferred tax liabilities
Other non-current liabilities 171,770,450.00 171,770,450.00
Total non-current liabilities 359,682,370.81 385,027,337.70
Total liabilities 910,450,833.25 956,124,948.75
Owners’ equity:
Share capital 593,923,220.00 593,923,220.00
Other equity instruments
Of which: Preference shares
Perpetual bonds
Capital reserve 263,799,837.18 263,799,837.18
Less: Treasury shares
Other comprehensive income
Special reserve 15,558,196.09 14,893,351.03
Surplus reserve 190,699,248.11 190,699,248.11
Retained earnings 1,010,547,186.49 956,529,437.59
Total owners’ equity 2,074,527,687.87 2,019,845,093.91
Total liabilities and owners’ equity 2,984,978,521.12 2,975,970,042.66
3. Consolidated income statement
Unit: RMB
Item January-March 2017 January-March 2016
1. Operating revenues 655,834,605.42 478,019,086.56
Including: Sales income 655,834,605.42 478,019,086.56
Interest income
Premium income
Fee and commission income
20
The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
2. Operating costs 579,241,367.49 480,377,985.57
Including: Cost of sales 514,927,185.59 407,955,838.07
Interest expenses
Fee and commission expenses
Surrenders
Net claims paid
Net amount provided as insurance
contract reserve
Expenditure on policy dividends
Reinsurance premium
Taxes and surtaxes 3,919,421.72 3,827,800.30
Selling expenses 21,024,998.60 18,898,154.60
Administrative expenses 24,748,991.15 32,610,160.74
Finance costs 5,611,869.64 7,992,233.70
Asset impairment loss 9,008,900.79 9,093,798.16
Add: Profit on fair value changes (“-”
means loss)
Investment income (“-” means loss)
Including: Share of profit/loss of
associates and joint ventures
Exchange gains (“-” means loss)
3. Operating profit (“-” means loss) 76,593,237.93 -2,358,899.01
Add: Non-operating income 1,076,700.22 12,152,099.96
Including: Profit on disposal of
10,198,549.74
non-current assets
Less: Non-operating expense 677,405.02
Including: Loss on disposal of
10,064.02
non-current assets
4. Total profit (“-” means loss) 76,992,533.13 9,793,200.95
Less: Corporate income tax 18,275,878.15 1,776,395.14
5. Net profit (“-” means loss) 58,716,654.98 8,016,805.81
Net profit attributable to owners of
58,716,654.98 8,016,805.81
the Company
Minority interests’ income
6. Other comprehensive income net of tax
Other comprehensive income net of
tax attributable to owners of the
21
The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
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
6.2.6 Other
Other comprehensive income net of
tax attributable to minority interests
7. Total comprehensive income 58,716,654.98 8,016,805.81
Attributable to owners of the
58,716,654.98 8,016,805.81
Company
Attributable to minority interests
8. Earnings per share
8.1 Basic earnings per share 0.0989 0.0135
8.2 Diluted earnings per share 0.0989 0.0135
Where business mergers under the same control occurred in this Reporting Period, the net profit achieved by the merged parties
before the business mergers was RMB , with the corresponding amount for the last period being RMB .
22
The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Legal representative: An Liru Accounting head for this Report: Liu Anping Head of the accounting department: Tu Zhiwen
4. Income statement of the Company
Unit: RMB
Item January-March 2017 January-March 2016
1. Operating revenues 644,151,697.56 485,727,795.98
Less: Operating costs 516,459,376.64 418,136,181.91
Taxes and surtaxes 3,769,774.35 3,803,996.78
Selling expenses 20,167,698.93 16,872,467.34
Administrative expenses 23,587,173.92 31,004,921.58
Finance costs 4,257,754.14 7,625,098.99
Asset impairment loss 3,760,053.27 4,759,941.43
Add: profit on fair value changes (“-”
means loss)
Investment income (“-” means
loss)
Including: Share of profit/loss of
associates and joint ventures
2. Operating profit (“-” means loss) 72,149,866.31 3,525,187.95
Add: Non-operating income 830,866.89 1,509,784.98
Including: Profit on disposal of
7,068.09
non-current assets
Less: Non-operating expense 677,405.02
Including: Loss on disposal of
10,064.02
non-current assets
3. Total profit (“-” means loss) 72,303,328.18 5,034,972.93
Less: Corporate income tax 18,285,579.28 1,717,007.60
4. Net profit (“-” means loss) 54,017,748.90 3,317,965.33
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
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
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 54,017,748.90 3,317,965.33
7. Earnings per share
7.1 Basic earnings per share
7.2 Diluted earnings per share
5. Consolidated cash flow statement
Unit: RMB
Item January-March 2017 January-March 2016
1. Cash flows from operating activities:
Cash received from sale of
340,551,773.37 253,177,379.60
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
24
The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
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 9,503,697.27 9,056,211.09
Cash received from other operating
1,153,797.83 4,769,459.30
activities
Subtotal of cash inflows from operating
351,209,268.47 267,003,049.99
activities
Cash paid for goods and services 245,434,309.50 177,887,983.97
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
Cash paid to and for employees 54,168,020.42 58,831,581.22
Taxes paid 9,928,881.41 24,075,079.68
Cash paid for other operating
34,569,465.91 20,946,190.12
activities
Subtotal of cash outflows due to
344,100,677.24 281,740,834.99
operating activities
Net cash flows from operating
7,108,591.23 -14,737,785.00
activities
2. Cash flows from investing activities:
Cash received from retraction of
investments
Cash received as investment income
Net cash received from disposal of
fixed assets, intangible assets and other 4,006,000.00
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 investing 4,006,000.00
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 20,822,151.56 21,547,554.62
assets
Cash paid for investment
Net increase in pledged loans
Net cash paid to acquire subsidiaries
and other business units
Cash paid for other investing
activities
Subtotal of cash outflows due to
20,822,151.56 21,547,554.62
investing activities
Net cash flows from investing activities -20,822,151.56 -17,541,554.62
3. Cash flows from financing activities:
Cash received from capital
contributions
Including: Cash received from
minority shareholder investments by
subsidiaries
Cash received as borrowings 100,000,000.00
Cash received from issuance of
bonds
Cash received from other financing
7,800,000.00 120,000,000.00
activities
Subtotal of cash inflows from financing
107,800,000.00 120,000,000.00
activities
Repayment of borrowings 32,500,000.00 53,500,000.00
Cash paid for interest expenses and
4,223,818.75 7,785,627.02
distribution of dividends or profit
Including: dividends or profit paid
by subsidiaries to minority interests
Cash paid for other financing
100,000,000.00 3,000,000.00
activities
Sub-total of cash outflows due to
136,723,818.75 64,285,627.02
financing activities
Net cash flows from financing
-28,923,818.75 55,714,372.98
activities
4. Effect of foreign exchange rate
-852,820.26 -266,580.85
changes on cash and cash equivalents
5. Net increase in cash and cash
-43,490,199.34 23,168,452.51
equivalents
Add: Opening balance of cash and 539,470,064.75 406,098,208.72
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
cash equivalents
6. Closing balance of cash and cash
495,979,865.41 429,266,661.23
equivalents
6. Cash flow statement of the Company
Unit: RMB
Item January-March 2017 January-March 2016
1. Cash flows from operating activities:
Cash received from sale of
246,068,601.71 203,352,397.42
commodities and rendering of service
Tax refunds received 2,883,660.70 168,260.60
Cash received from other operating
1,061,822.70 5,958,928.42
activities
Subtotal of cash inflows from operating
250,014,085.11 209,479,586.44
activities
Cash paid for goods and services 237,938,443.93 174,517,489.32
Cash paid to and for employees 51,440,828.65 57,326,632.82
Taxes paid 8,768,295.59 20,658,112.94
Cash paid for other operating
33,027,394.56 18,041,796.70
activities
Subtotal of cash outflows due to
331,174,962.73 270,544,031.78
operating activities
Net cash flows from operating
-81,160,877.62 -61,064,445.34
activities
2. Cash flows from investing activities:
Cash received from retraction of
investments
Cash received as investment income
Net cash received from disposal of
fixed assets, intangible assets and other 206,000.00
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 investing
206,000.00
activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 20,822,151.56 20,834,931.62
assets
Cash paid for investment
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The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Net cash paid to acquire subsidiaries
and other business units
Cash paid for other investing
activities
Subtotal of cash outflows due to
20,822,151.56 20,834,931.62
investing activities
Net cash flows from investing activities -20,822,151.56 -20,628,931.62
3. Cash flows from financing activities:
Cash received from capital
contributions
Cash received as borrowings 50,000,000.00 0.00
Cash received from issuance of
bonds
Cash received from other financing
7,800,000.00 120,000,000.00
activities
Subtotal of cash inflows from financing
57,800,000.00 120,000,000.00
activities
Repayment of borrowings 32,500,000.00 53,500,000.00
Cash paid for interest expenses and
4,223,818.75 7,785,627.02
distribution of dividends or profit
Cash paid for other financing
100,000,000.00 3,000,000.00
activities
Sub-total of cash outflows due to
136,723,818.75 64,285,627.02
financing activities
Net cash flows from financing
-78,923,818.75 55,714,372.98
activities
4. Effect of foreign exchange rate
601.86 -2,281.77
changes on cash and cash equivalents
5. Net increase in cash and cash
-180,906,246.07 -25,981,285.75
equivalents
Add: Opening balance of cash and
249,740,892.07 378,450,204.94
cash equivalents
6. Closing balance of cash and cash
68,834,646.00 352,468,919.19
equivalents
II Auditor’s report
Is this Report audited?
□ Yes √ No
This Report is not audited.
28
The Report for the First Quarter of 2017—Hubei Sanonda Co., Ltd.
Hubei Sanonda Co., Ltd.
Legal representative: An Liru
April 25, 2017
29
