Anhui Gujing Distillery Co., Ltd.
The Third Quarterly Report 2011
§1 Important Notice
1.1 The Board of Directors, the Supervisory Committee, directors, supervisors and
other senior management personnel of Anhui Gujing Distillery Co., Ltd. (hereinafter
referred to as “the Company”) hereby guarantee that this report carries no false
information, misleading statements or major omissions, and accept, individually and
collectively, the responsibility for the factuality, accuracy and completeness of the
information set forth herein.
1.2 The Financial Report of the third quarterly report has not been audited.
1.3 Mr. Yu Lin, Person-in-charge of the Company, Mr. Ye Changqing,
Person-in-charge of the accounting work, and Ms. Xia Xueyun, Person-in-charge of
the accounting organ (chief accountant) hereby confirm the factuality and
completeness of the Financial Report in this quarterly report.
§2. Company Profile
2.1 Main accounting data and financial indicators
Unit: RMB Yuan
As at 30 Sept. 2011 As at 31 Dec. 2010 Increase/decrease (%)
Total assets (Yuan) 3,768,846,880.51 1,857,931,814.00 102.85
Owners’ equity attributable to
2,545,224,526.00 1,049,475,547.82 142.52
shareholders of listed company (Yuan)
Share capital (Share) 251,800,000.00 235,000,000.00 7.15
Net assets per share attributable to
shareholders of listed company (Yuan 10.11 4.47 126.17
/share)
Increase/decrease Increase/decrease
Jul.-Sept. 2011 Jan.-Sept. 2011
year-on-year (%) year-on-year (%)
2,236,809,095.2
Total operation income (Yuan) 653,511,425.46 67.92 79.59
8
Net profit attributable to shareholders of
62,552,049.05 76.50 350,499,527.91 145.40
listed company (Yuan)
Net cash flows generated from operating
- - 294,058,900.29 0.83
activities (Yuan)
Net cash flows per share generated from
- - 1.17 -5.65
operating activities (Yuan /share)
Basic earnings per share (Yuan /share) 0.25 66.67 1.48 142.62
Diluted earnings per share (Yuan /share) 0.25 66.67 1.48 142.62
Weighted average return on net assets (%) 3.30 -0.78 19.50 2.46
Weighted average return on net assets after
deducting extraordinary gains and losses 3.09 0.39 19.11 3.54
(%)
Items of non-recurring gains and losses
√Applicable □Inapplicable
Unit: RMB Yuan
Items of non-recurring gains and losses Amount Notes (If applicable)
Net non-operating incomes and expenses 9,434,213.88
Effect on income tax -2,358,553.47
Total 7,075,660.41 -
2.2 Total number of shareholders and shareholding of top ten shareholders holding
tradable shares
Unit: share
Total number of shareholders 11,493
Shareholding of top ten shareholders holding tradable shares
Full name of shareholder Number of tradable shares held Type of share
1
at period-end
Anhui Gujing Group Co., Ltd. 135,702,011 RMB ordinary shares
Puning High Gain Industrial Limited 7,500,000 RMB ordinary shares
GUOTAI JUNAN SECURITIES(HONGKONG)
5,184,152 Domestically listed foreign shares
LIMITED
KGI ASIA LIMITED 5,033,258 Domestically listed foreign shares
China Merchants Securities (HK) Co., Ltd. 4,219,846 Domestically listed foreign shares
UBS (LUXEMBOURG) S.A. 3,686,917 Domestically listed foreign shares
TRIVEST CHINA FOCUS MASTER FUND 3,275,143 Domestically listed foreign shares
Industrial and Commercial Bank of
2,881,253 RMB ordinary shares
China-Galaxy Yintai Financing Dividend Fund
Industrial and Commercial Bank of
China-Soochow Jiahe Advanced Mixed Type 2,597,668 RMB ordinary shares
Open-Ended Fund
Agricultural Bank of China-Soochow Value
2,563,442 RMB ordinary shares
Growth Double Power Stock Fund
§3. Significant events
3.1 Particular about large-margin change in main item of accounting statement and
financial indicator and reason for change
√Applicable □Inapplicable
A. Indicators in the balance sheet
a. Monetary funds at the period-end increased 194.29% over the year-begin, which was
mainly due to the arrival of the raised funds.
b. Notes receivable at the period-end increased 347.43% over the year-begin, which was
mainly because income increased and more transactions were settled with notes.
c. Accounts receivable at the period-end increased 215.15% over the year-begin, which was
mainly because the sales income increased.
d. Prepayments at the period-end increased 1998.54% over the year-begin, which was
mainly because the Company prepaid for advertising and materials and the cost incurred by
the seasonal production halt was recorded into the to-be-deferred expenses.
e. Intangible assets at the period-end increased 61.17% over the year-begin, which was
mainly due to the land purchased for the projects.
f. Accounts received in advance at the period-end increased 304.00% over the year-begin,
which was mainly because operating revenues increased and advances from customers for
products sold to them increased accordingly.
g. Other payables at the period-end increased 57.25% over the year-begin, which was mainly
because guarantee deposits received increased along with the growth of the sales volume and
the extensive repair fee during the seasonal production halt was not yet paid.
B. Indicators in the income statement
a. Operating revenues for the reporting period increased 79.59% over the same period of last
year, which was mainly because the sales volume of distilled spirit increased.
b. Operating costs for the reporting period increased 54.57% over the same period of last
year, which was mainly due to the sales growth.
c. Business tax and surtaxes for the reporting period increased 88.85% over the same period
of last year, which was mainly due to the sales growth.
d. Selling expense for the reporting period increased 67.56% over the same period of last
year, which was mainly because the Company increased its input to advertising and market
expansion.
e. Financial expense for the reporting period decreased 289.09% over the same period of last
year, which was mainly due to the increase of the service fees charged by the Company for
notes and the interest on savings.
f. Income tax expense for the reporting period increased 188.50% over the same period of
2
last year, which was mainly due to the growth of the total profit.
3.2 Progress and influence of significant events, as well as the analysis on solutions
3.2.1 Concerning non-standard audit opinions
□Applicable √Inapplicable
3.2.2 Whether the Company provided funds for the controlling shareholder or its
related parties or provided guarantees for external parties in violation of prescribed
procedures
□Applicable √Inapplicable
3.2.3 Signing and execution of significant contracts concerning the routine operation
□Applicable √Inapplicable
3.2.4 Others (The project progress of investment by raised capital)
√Applicable □Inapplicable
Unit: RMB Ten Thousand
Accumulative The progress of
Estimated investment investment during investment up to the Whether the project
Project name
(1) the reporting period period-end changes or not
(2) (%)(3)=(2)/(1)
1. Technological Transform on
the Brewage of High-quality Base 12,194.42 2,344.71 19.23 No
Spirits
2. Construction of Base Spirit
Blending & Filling Centre and 65,921.06 2,044.82 3.10 No
Ancillary Facilities
3. Construction of Marketing
27,500.00 6,634.60 24.13 No
Network
4. Brand Promotion 17,000.00 600 3.53 No
Total 122,615.48 11,624.13 9.48 No
3.3 Fulfillment of commitments made by the Company, shareholders and the actual
controller
Commitments made by the Company, its directors, supervisors, senior executives,
shareholders with an over 5% shareholding, actual controller and other stakeholders
during the reporting period, or such commitments carried down into the reporting
period:
√Applicable □Inapplicable
Commitment Promisor Contents of commitment Implementation
The Board of Directors of the Company will strictly abide by the Company Law,
Securities Law, the Administration on Securities Issuance of Listed Company and
other laws, regulations and rules, as well as the stipulations from CSRC. Besides,
it makes the following commitment since the offering day of the new adding
stocks from the private issuance:
(1) It commits to publish its periodical report and disclose all information with
significant influence on the investors truly, accurately, completely, fairly and
timely, as well as accept the supervision and administration from CSRC and
Shenzhen Stock Exchange.
Commitment
The (2) It commits to declare publicly on any information appears in the public
made in the Fulfilled
Company medias with possible misleading influence on the Company’s stock price after its
issuance
awareness.
(3) It commits that the Company’s directors, supervisors and other senior
management personnel will sincerely heard of the opinions and criticism from
the public, and won’t directly or indirectly engage in the activities of trading the
Company’s stocks by using the inside information and other illegal ways. The
Company hereby guarantees that there is no false information or major omissions
in the documents submitted to the Shenzhen Stock Exchange, and it won’t
disclose any relevant information without the approval from Shenzhen Stock
Exchange during the period of application for listing.
3.4 Warnings of possible losses or major changes of the accumulative net profit
achieved during the period from year-begin to the end of the next reporting period
compared with the same period of last year, as well as explanation on reasons
3
□Applicable √Inapplicable
3.5 Other significant events that need to be explained
3.5.1 Investments into securities
□Applicable √Inapplicable
3.5.2 Researches, interviews and visits received in the reporting period
Main discussion and materials
Time Place Way of reception Visitor
provided by the Company
The Company’s overall operation
5 Jul. 2011 The Company Field research Bosera Funds
status
Research Institute of The Company’s overall operation
5 Jul. 2011 The Company Field research
Sinolink Securities status
The Company’s overall operation
5 Jul. 2011 The Company Field research Sinolink Securities Co., Ltd.
status
Fortune SG Fund The Company’s overall operation
5 Jul. 2011 The Company Field research
Management Co., Ltd. status
Bank of Communications
The Company’s overall operation
5 Jul. 2011 The Company Field research Schroders Fund
status
Management Co., Ltd.
ABC-CA Fund Management The Company’s overall operation
5 Jul. 2011 The Company Field research
Co., Ltd. status
3.6 Investment on derivative products
□Applicable √Inapplicable
3.6.1 Number of derivative products held at the end of the reporting period
□Applicable √Inapplicable
§4 Attachments
4.1 Balance Sheet
Prepared by Anhui Gujing Distillery Company Limited 30 Sept. 2011 Unit: (RMB) Yuan
Balance as at 30 Sept. 2011 Balance as at 31 Dec. 2010
Items
Consolidation The Company Consolidation The Company
Current assets:
Monetary capital 1,892,968,677.42 1,794,596,176.91 643,231,404.42 480,737,398.56
Settlement funds
Outgoing call loans
Transaction financial assets
Notes receivable 429,674,875.08 429,374,875.08 96,030,755.37 95,501,941.37
Accounts receivables 40,397,641.16 102,887.50 12,818,732.56 141,180.50
Prepayments 38,393,022.13 17,591,753.80 1,829,510.94 1,204,384.85
Premium receivables
Receivables from reinsures
Reinsurance contract reserve
receivables
Interest receivables
Dividend receivables
Other receivables 55,761,590.84 242,314,763.94 77,890,785.60 267,012,565.97
Financial assets purchased
under agreements to resell
Inventories 562,037,815.91 511,148,730.04 452,879,486.68 415,921,177.10
Non-current assets due within 1
year
Other current assets
Total current assets 3,019,233,622.54 2,995,129,187.27 1,284,680,675.57 1,260,518,648.35
4
Non-current assets:
Loan and payment on other’s
behalf disbursed
Available-for-sale financial
assets
Investments held to maturity
Long-term receivables
Long-term equity investments 217,991,408.32 227,891,408.32
Investment properties 41,414,747.89 41,414,747.89 45,302,486.98 45,302,486.98
Fixed assets 337,865,724.20 133,067,610.93 340,073,469.76 124,128,116.13
Construction in progress 98,266,435.29 89,405,060.58 9,044,377.55 6,563,500.47
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 248,927,104.06 124,232,162.62 154,446,392.29 27,308,645.11
R & D expense
Goodwill
Long-term deferred expenses 1,106,735.13 1,106,735.13 1,770,776.25 1,770,776.25
Deferred income tax assets 22,032,511.40 21,216,726.81 22,613,635.60 21,187,756.69
Other non-current assets
Total non-current assets 749,613,257.97 628,434,452.28 573,251,138.43 454,152,689.95
Non-current assets: 3,768,846,880.51 3,623,563,639.55 1,857,931,814.00 1,714,671,338.30
Current liabilities:
Short-term borrowings
Borrowings from central bank
Deposits received and held for
others
Call loan received
Trading financial liabilities
Notes payable
Accounts payable 159,324,365.26 122,169,664.25 125,477,892.08 114,914,319.09
Advances from customers 369,625,273.03 877,988,090.48 91,491,403.51 300,050,355.69
Financial assets sold under
agreements to repurchase
Handling charges and
commissions payable
Payroll payables 121,765,114.26 61,896,417.44 125,967,749.54 74,580,660.62
Taxes payable 371,260,946.07 263,995,043.17 334,701,132.86 226,903,366.29
Interest payables
Dividend payables
Other payables 196,582,095.01 84,059,966.21 125,010,186.17 55,588,232.84
Accounts due to reinsurance
Insurance contract reserves
Trusted trading of securities
Trusted selling of securities
Non-current liabilities due
within 1 year
5
Other current liabilities 314,447.05 215,750.00 1,257,788.19 863,000.00
Total current liabilities 1,218,872,240.68 1,410,324,931.55 803,906,152.35 772,899,934.53
Non-current liabilities:
Long-term borrowings
Bonds payable
Long-term payables
Special payables
Estimated liabilities
Deferred tax liabilities
Other non-current liabilities 4,750,113.83 4,351,000.00 4,550,113.83 4,151,000.00
Total non-current liabilities 4,750,113.83 4,351,000.00 4,550,113.83 4,151,000.00
Total liabilities 1,223,622,354.51 1,414,675,931.55 808,456,266.18 777,050,934.53
Owners’ equity (or shareholders’
equity)
Paid-in capital (or share capital) 251,800,000.00 251,800,000.00 235,000,000.00 235,000,000.00
Capital surplus 1,546,738,493.19 1,498,962,107.35 336,039,042.92 288,262,657.08
Less: treasury stock
Specific reserves
Surplus reserves 97,283,190.70 92,180,930.43 97,283,190.70 92,180,930.43
General risk provision
Retained earnings 649,402,842.11 365,944,670.22 381,153,314.20 322,176,816.26
Foreign exchange difference
Total owners’ equity
2,545,224,526.00 2,208,887,708.00 1,049,475,547.82 937,620,403.77
attributable to the Company
Minority interest
Total owner’s equity 2,545,224,526.00 2,208,887,708.00 1,049,475,547.82 937,620,403.77
Total liabilities & owner’s equity 3,768,846,880.51 3,623,563,639.55 1,857,931,814.00 1,714,671,338.30
4.2 Income statement for Jul.-Sept. 2011
Prepared by Anhui Gujing Distillery Company Limited Jul.-Sept. 2011 Unit: (RMB) Yuan
Jul.-Sept. 2011 Jul.-Sept. 2010
Items
Consolidation The Company Consolidation The Company
I. Total operation revenue 653,511,425.46 382,667,301.19 389,188,006.94 225,109,797.74
Including: sales revenue 653,511,425.46 382,667,301.19 389,188,006.94 225,109,797.74
Interest income
Premium income
Handling charges and
commission income
II. Total operation cost 550,419,056.58 329,617,960.13 343,995,427.67 201,266,953.84
Including: cost of sales 157,533,930.40 156,939,025.33 122,252,811.86 118,303,337.16
Interest expenses
Handling charges and
commission expenses
Insurance discharge
payment
Claim expenses-net
Provision for insurance
contract reserve-net
6
Insurance policy dividends
paid
Reinsurance expenses
Business taxes and
106,827,863.03 101,684,353.13 53,873,396.73 50,530,109.52
surcharges
Sales expenses 188,942,135.49 114,336,215.69
Administrative expenses 107,476,445.72 76,852,821.47 70,453,023.28 48,870,891.01
Financial expenses -10,196,867.10 -5,459,072.86 -1,670,692.75 -1,188,056.71
Impairment loss -164,450.96 -399,166.94 -15,249,327.14 -15,249,327.14
Add: gain/loss from changes in
fair value (“-” for loss)
Gain/loss from investment
103,305.94 8,078,441.21
(“-” for loss)
Including: investment
gain from associates and joint
ventures
Gain/loss from foreign
exchange difference (“-” for
loss)
III. Operation profit (“-” for
103,092,368.88 53,049,341.06 45,295,885.21 31,921,285.11
loss)
Add: non-operating incomes 4,319,567.16 2,075,780.55 6,537,271.36 2,947,545.70
Less: non-operating expenses 515,954.65 468,674.95 2,174,140.59
Including: loss from disposal
110,112.01
of non-current assets
IV. Total profit (“-” for total
106,895,981.39 54,656,446.66 49,659,015.98 34,868,830.81
loss)
Less: income tax expenses 44,343,932.34 32,024,572.57 14,218,114.70 7,643,307.70
V. Net profit (“-” for total loss) 62,552,049.05 22,631,874.09 35,440,901.28 27,225,523.11
Attributable to owners of the
62,552,049.05 22,631,874.09 35,440,901.28 27,225,523.11
Company
Minority interest
VI. Earnings per share
(I) Basic EPS 0.25 0.09 0.15 0.12
(II) Diluted EPS 0.25 0.09 0.15 0.12
Ⅶ. Other composite income
Ⅷ. Total composite income 62,552,049.05 22,631,874.09 35,440,901.28 27,225,523.11
Attributable to owners of the
62,552,049.05 22,631,874.09 35,440,901.28 27,225,523.11
Company
Attributable to minority
shareholders
4.3 Income statement for Jan.-Sept. 2011
Prepared by Anhui Gujing Distillery Company Limited Jan.-Sept. 2011 Unit: (RMB) Yuan
Jan.-Sept. 2011 Jan.-Sept. 2010
Items
Consolidation The Company Consolidation The Company
I. Total operation revenue 2,236,809,095.28 1,308,864,788.23 1,245,535,379.90 719,893,735.46
Including: sales revenue 2,236,809,095.28 1,308,864,788.23 1,245,535,379.90 719,893,735.46
Interest income
Premium income
Handing charges and
7
commission income
II. Total operation cost 1,745,007,927.66 1,104,779,620.71 1,063,457,729.79 639,521,711.43
Including: cost of sales 562,689,535.70 550,526,074.94 364,041,229.40 330,335,551.83
Interest expenses
Handling charges and
commission expenses
Insurance discharge
payment
Claim expenses-net
Provision for insurance
contract reserve-net
Insurance policy dividends
paid
Reinsurance expenses
Business taxes and
346,301,935.24 327,956,330.16 183,377,061.73 172,431,855.54
surcharges
Sales expenses 525,946,515.09 313,876,643.31
Administrative expenses 330,451,416.95 237,261,748.53 222,376,112.51 154,873,703.69
Financial expenses -20,692,448.82 -10,681,246.45 -5,318,203.52 -3,224,285.99
Impairment loss 310,973.50 -283,286.47 -14,895,113.64 -14,895,113.64
Add: gain/loss from changes in
fair value (“-” for loss)
Gain/loss from investment
299,516.89 982,590.49 8,724,094.86
(“-” for loss)
Including: investment
gain from associates and joint
ventures
Gain/loss from foreign
exchange difference (“-” for
loss)
III. Operation profit (“-” for
491,801,167.62 204,384,684.41 183,060,240.60 89,096,118.89
loss)
Add: non-operating incomes 10,236,356.89 3,977,137.62 15,714,385.62 10,750,103.46
Less: non-operating expenses 802,143.01 597,798.00 3,699,162.48 1,466,135.05
Including: loss from disposal
232,869.20 1,394,204.42 27,794.00
of non-current assets
IV. Total profit (“-” for total
501,235,381.50 207,764,024.03 195,075,463.74 98,380,087.30
loss)
Less: income tax expenses 150,735,853.59 81,746,170.07 52,247,572.42 24,290,776.50
V. Net profit (“-” for total loss) 350,499,527.91 126,017,853.96 142,827,891.32 74,089,310.80
Attributable to owners of the
350,499,527.91 126,017,853.96 142,827,891.32 74,089,310.80
Company
Minority interest
VI. Earnings per share
(I) Basic EPS 1.48 0.53 0.61 0.32
(II) Diluted EPS 1.48 0.53 0.61 0.32
Ⅶ. Other composite income
Ⅷ. Total composite income 350,499,527.91 126,017,853.96 142,827,891.32 74,089,310.80
Attributable to owners of the
350,499,527.91 126,017,853.96 142,827,891.32 74,089,310.80
Company
Attributable to minority
shareholders
8
4.4 Cash flow statement for Jan.-Sept. 2011
Prepared by Anhui Gujing Distillery Company Limited Jan.-Sept. 2011 Unit: (RMB) Yuan
Jan.-Sept. 2011 Jan.-Sept. 2010
Items
Consolidation The Company Consolidation The Company
I. Cash flows from operating
activities
Cash received from sales of
1,954,017,295.85 1,478,644,259.14 1,278,479,212.13 837,242,664.86
goods or rendering of services
Net increase of deposits
received from and held for
customers
Net increase of borrowings
from central bank
Net increase of inter-bank
loans from other financial
institutions
Cash received against
original insurance contract
Net Cash received from
reinsurance
Net increase of client
deposits and investments
Net increase in disposal of
transaction financial assets
Interests, handling charges
and commission received
Net increase of call loan
Net increase of cash received
under repurchasing
Tax and fare refunded 485,555.14 1,341,681.06
Other cash received from
65,271,170.03 42,274,744.45 55,659,503.36 20,227,943.12
operating activities
Sub-total of cash inflow
2,019,774,021.02 1,520,919,003.59 1,335,480,396.55 857,470,607.98
from operating activities
Cash paid for goods and
400,849,470.37 434,035,249.69 395,665,651.63 256,462,222.02
services
Net increase of loans and
advances from customers
Net increase of deposits in
central bank, banks and other
financial institutions
Cash paid for original
contract claim
Cash paid for interests,
handling charges and
commissions
Cash paid for policy
dividends
Cash paid to and for
259,835,430.08 143,108,474.54 138,994,805.20 83,288,877.29
employees
Taxes and fares paid 796,294,161.70 552,809,703.78 412,992,928.99 271,978,152.74
Other cash paid relating to
268,736,058.58 51,986,772.18 96,194,803.56 17,967,888.45
operating activities
Sub-total of cash outflows 1,725,715,120.73 1,181,940,200.19 1,043,848,189.38 629,697,140.50
9
from operating activities
Net cash flow from
294,058,900.29 338,978,803.40 291,632,207.17 227,773,467.48
operating activities
II. Cash Flows from investing
activities
Cash received from
9,900,000.00
investment retractions
Cash received from
982,590.49 8,724,094.86
investment income
Net cash received from
disposal of fixed assets, intangible 1,122,546.24 242,235.55 14,215,842.23 14,207,842.23
assets and other long-term assets
Net cash received from
disposal of subsidiaries and other
operating units
Other cash received relating
to investing activities
Sub-total of cash inflows
1,122,546.24 10,142,235.55 15,198,432.72 22,931,937.09
of investing activities
Cash paid for acquiring fixed
assets, intangible assets and other 190,647,040.30 180,465,127.37 27,777,939.79 13,579,607.44
long-term assets
Cash paid for acquiring
investments
Net increase of pledge loans
Net cash paid for acquisition
of subsidiaries and other operating
units
Other cash paid relating to
investing activities
Sub-total of cash outflows
190,647,040.30 180,465,127.37 27,777,939.79 13,579,607.44
of investing activities
Net cash flow from
-189,524,494.06 -170,322,891.82 -12,579,507.07 9,352,329.65
investing activities
III. Cash Flows from financing
activities:
Cash received from
1,227,499,450.27 1,227,499,450.27
absorbing investments
Including: Cash received
from minority shareholders of
subsidiaries
Cash received from
borrowings
Cash received from bonds
issuing
Other cash received relating
to financing activities
Sub-total of cash inflows
1,227,499,450.27 1,227,499,450.27
of financing activities
Cash paid for settling debts 5,000,000.00 5,000,000.00
Cash paid for distribution of
dividends or profits or 82,296,583.50 82,296,583.50 82,608,627.58 82,608,627.58
reimbursing interest
Including: dividends or
profits paid to minority
shareholders by subsidiaries
Other cash paid relating to
10
financing activities
Sub-total of cash outflows
82,296,583.50 82,296,583.50 87,608,627.58 87,608,627.58
of financing activities
Net cash flows of
1,145,202,866.77 1,145,202,866.77 -87,608,627.58 -87,608,627.58
financing activities
IV. Effect of foreign exchange
rate on cash and cash equivalents
V. Net decrease in cash and cash
1,249,737,273.00 1,313,858,778.35 191,444,072.52 149,517,169.55
equivalents
Add : Opening amount of
643,231,404.42 480,737,398.56 361,051,750.67 279,382,070.44
cash and cash equivalents
VI. Closing balance of cash and
1,892,968,677.42 1,794,596,176.91 552,495,823.19 428,899,239.99
cash equivalents
4.5 Auditor’s report
Audit opinion: Unaudited
11
