Wafangdian Bearing Company Limited The Q1 Report for 2011
Wafangdian Bearing Company limited
2011 First quarter report
(Report period：Jan.1, 2011－Mar. 31, 2011)
Chairman（Signature）：Mr. Wang Lushun
April 21, 2011
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Wafangdian Bearing Company Limited The Q1 Report for 2011
Wafangdian Bearing Company Limited
The Q1 Report for 2011
§1 Important Notes
1.1 The Board of Directors, Board of Supervisors, directors, supervisors, and top management of the Company hereby
guaranteed that there are no false records, misleading statements, and major omits in this report, and assumed the individual
and associated responsibilities for the truth, accuracy and completeness of the contents.
1.2 No director, supervisor and top management has objections on the report.
1.3 All directors attend the meeting.
1.4The first quarterly financial report of 2011 has not been audited by a CPA firm.
1.5 Chairman of the Board Mr. Wang Lushun, Financial manager Ms.Sun Najuan, Accounting charger Ms. Yao Chunjuan
hereby confirms that the Financial Report of the quarterly report is ture and complete.
§2 Company Profile
2.1 Major accounting data and financial indexes
Unit: RMB
Increased/decreased scope
Items By the end of reprot period By the end of last year
(%)
Total assets (RMB) 3,408,824,121.53 3,119,127,425.10 9.29%
Oweners’ equities attributable to the shareholders of
1,475,215,837.20 1,445,337,309.72 2.07%
listed company (RMB)
Share capital (Share) 402,600,000.00 402,600,000.00 0.00%
Net assets per share attributable to the shareholders
3.66 3.59 1.95%
of listed company (RMB/Share)
Increased/decreased scope
The report period The same period of last year
(%)
Total operating income (RMB) 864,068,390.44 783,744,182.15 10.25%
Net profit attributable to the shareholders of listed
29,878,527.48 26,335,790.32 13.45%
company (RMB)
Net cash flow arising from operating activities (RMB) 59,414,581.04 19,079,273.63 211.41%
Net cash flow arising from the operating activities per
0.15 0.05 200.00%
share (RMB/Share)
Basic earnings per share (RMB/Share) 0.07 0.07 0.00%
Diluted earnings per share (RMB/Share) 0.07 0.07 0.00%
Weighted average return on equity (%) 2.06% 1.93% 0.13%
Weighted average return on equity after deducting
1.99% 1.90% 0.09%
non-recurring gains/losses (%)
Items of non-recurring gains and losses
√ Applicable □ Inapplicable
Unit: RMB
Items of non-recurring gains and losses Amount Note（if applicable）
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Wafangdian Bearing Company Limited The Q1 Report for 2011
Non-operating income and expenses 998,168.52
Total 998,168.52 -
2.2 Total number of shareholders at the end of the report period and shares held by the top ten
shareholders with unrestricted conditions
Unit: Share
Total number of shareholders at the end of report
9,037
period
Particulars about the shares held by the top ten shareholders with unrestricted conditions
Full name of shareholder Unrestricted shares held Types of share
AKTIEBOLAGET SKF 79,300,000 Domestically listed foreign share
GAOLING FUND,L.P. 5,520,433 Domestically listed foreign share
Huang Junyue 3,230,000 Domestically listed foreign share
MERCHANT SECURITIES (HONG KONG) Co., Ltd 982,738 Domestically listed foreign share
KGI ASIA LIMITED 785,510 Domestically listed foreign share
MAN,KWAI WING Wen Guirong 713,101 Domestically listed foreign share
Ma yuancheng 594,225 Domestically listed foreign share
GUOTAI JUNAN SECURITIES(HONGKONG)
546,000 Domestically listed foreign share
LIMITED
Chen Zhongwu 532,700 Domestically listed foreign share
Hei Youxin 507,359 Domestically listed foreign share
§3 Significant items
3.1 Particulars about material changes in items of main accounting statement and financial index, and explanations
of reasons
√Applicable □Inapplicable
1. Monetary funds increased by 77% compared with the beginnings, mainly because of strengthening the management of sales settlement mode. In
principle, the company receives currency only, for who receives according to bank acceptance will be charged of 6% discount. For key and strategic
customers, the currency withdraw ratio no less than 60%, which increased the total ratio. Meanwhile, external payment is strictly carried out as per
accounting period.
2. Notes receivable increased by 156% compared with the beginnings, mainly because of enhancing the efficiency of sales payment. The first quarter
sales payment is RMB 864,990,000.
3. Construction in progress increased by 31% compared with the beginnings, mainly the restructure of steel material stock and finished parts stock for
logistic department, the facilities restructuring for automobile bearing subsidiary, the civilwork investment of west suburb industrial park etc.
4. Tax payable increased by 411% compared with the beginnings, mainly because VAT increased by RMB 3,990,000, income tax increased by RMB
6,950,000.
5. Other operating revenue increased by 31.33% within the same period, mainly because scrap sales income increased by RMB 15,530,000, material
sales income increased by RMB 25,670,000.
6. Sales expense increased by 47.69% within the same period, mainly caused by: a) brand expense increased by RMB 7,000,000; b) meeting
expense increased by RMB 780,000; c) freight charge increased by RMB 4,330,000, where truck freight increased by RMB 2,380,000, railway freight
increased by RMB 750,000, service fee increased by RMB 100,000, sales branch delivery increased by RMB 1,150,000, ocean freight decreased by
RMB 50,000; d) lease rental increased by RMB 770,000; e) operational activity expense increased by RMB 1,330,000; f) business travel fee
increased by RMB 1,720,000; g) market development expense increased by RMB 930,000.
7. Non-operating income increased by 43.66%, mainly because of the disposal of fixed assets.
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Wafangdian Bearing Company Limited The Q1 Report for 2011
3.2 Progress of significant events, their influence, and analysis and explanation of their solutions
3.2.1 Qualified opinion
□Applicable √Inapplicable
3.2.2 Particular about fund offers to controlling shareholders or associated parties and external guarantee that
againsts the regulation
□Applicable √Inapplicable
3.2.3 Particular about signing and implementation on significant contracts of ordinary management
□Applicable √Inapplicable
3.2.4 Other
□Applicable √Inapplicable
3.3 Implementations of commitments by the Company, shareholders and actual controllers
□Applicable √Inapplicable
3.4 Estimation of accumulative net profit from the beginning of the year to the end of next report period to be loss
probably or the warning of its material change compared with the corresponding period of the last year and
explanation of reason
□Applicable √Inapplicable
3.5 Particulars about the other significant events that needed explanations
3.5.1 Particular about security investment
□Applicable √Inapplicable
3.5.2 Activities on receiving research, communication and interview in the report period
In the report period, there were no receiving spot research, communication and written inquiry from the investors.
3.6 Particulars about derivatives investment
□Applicable √Inapplicable
3.6.1 Particulars about the positions of derivatives investment at the end of report period
□Applicable √Inapplicable
§4 Appendix
4.1 Balance sheet
Prepared by Wafangdian Bearing Company Limited Mar. 31st, 2011 Unit: RMB
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Wafangdian Bearing Company Limited The Q1 Report for 2011
Balance at period-end Balance at year-begin
Items
Consolidation Parent Company Consolidation Parent Company
Current assets:
Monetary funds 84,485,899.48 78,237,991.93 52,507,009.69 44,206,831.34
Settlement provisions
Capital lent
Transaction finance asset
Notes receivable 123,749,120.93 121,096,120.93 48,119,537.52 47,226,537.52
Accounts receivable 967,002,567.20 964,865,437.03 856,207,264.50 846,898,630.11
Accounts paid in advance 27,997,540.41 24,947,318.55 47,849,548.92 35,148,332.06
Insurance receivable
Reinsurance receivable
Contract reserve of reinsurance
receivable
Interest receivable
Dividend receivable
Other receivables 14,729,139.10 11,321,210.83 17,572,715.37 15,023,534.07
Purchase restituted finance asset
Inventories 1,213,142,058.50 1,146,882,717.24 1,160,554,511.93 1,123,540,714.88
Non-current asset due within one
year
Other current assets 292,580.36 292,580.36 238,439.89 238,439.89
Total current assets 2,431,398,905.98 2,347,643,376.87 2,183,049,027.82 2,112,283,019.87
Non-current assets:
Granted loans and advances
Finance asset available for sales
Held-to-maturity investment
Long-term account receivable
Long-term equity investment 92,697,245.11 113,033,518.79 90,196,224.04 110,053,541.35
Investment real estate
Fixed assets 598,304,276.48 510,034,691.55 591,960,635.98 572,245,505.81
Construction in progress 134,149,750.70 121,213,183.90 100,665,047.38 92,344,979.56
Engineering material
Disposal of fixed asset
Productive biological asset
Oil and gas asset
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Wafangdian Bearing Company Limited The Q1 Report for 2011
Intangible assets 135,208,688.90 135,208,688.90 136,135,471.67 136,135,471.67
Expense on Research and
Development
Goodwill
Long-term expenses to be
1,054,547.07 1,054,547.07 1,110,310.92 1,110,310.92
apportioned
Deferred income tax asset 16,010,707.29 16,010,707.29 16,010,707.29 16,010,707.29
Other non-current asset
Total non-current asset 977,425,215.55 896,555,337.50 936,078,397.28 927,900,516.60
Total assets 3,408,824,121.53 3,244,198,714.37 3,119,127,425.10 3,040,183,536.47
Current liabilities:
Short-term loans 503,780,235.14 490,000,000.00 503,780,235.14 490,000,000.00
Loan from central bank
Absorbing deposit and interbank
deposit
Capital borrowed
Transaction financial liabilities
Notes payable 169,050,000.00 169,050,000.00 140,290,000.00 140,290,000.00
Accounts payable 889,794,647.76 818,351,209.85 698,418,246.19 660,043,446.89
Accounts received in advance 57,824,211.39 41,667,947.86 45,759,336.61 43,296,551.60
Selling financial asset of
repurchase
Commission charge and
commission payable
Wage payable 28,630,148.29 19,381,768.17 27,467,879.22 18,225,087.48
Taxes payable 17,586,715.07 13,126,870.23 5,413,791.70 2,568,380.40
Interest payable
Dividend payable
Other accounts payable 103,461,627.70 76,336,240.66 89,179,927.54 62,254,424.75
Reinsurance payables
Insurance contract reserve
Security trading of agency
Security sales of agency
Non-current liabilities due within
20,000,000.00 20,000,000.00 20,000,000.00 20,000,000.00
one year
Other current liabilities
Total current liabilities 1,790,127,585.35 1,647,914,036.77 1,530,309,416.40 1,436,677,891.12
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Wafangdian Bearing Company Limited The Q1 Report for 2011
Non-current liabilities:
Long-term loans 138,000,000.00 138,000,000.00 138,000,000.00 138,000,000.00
Bonds payable
Long-term account payable 100,000.00 100,000.00
Special account payable 221,698.98 221,698.98 221,698.98 221,698.98
Projected liabilities
Deferred income tax liabilities
Other non-current liabilities 5,159,000.00 5,159,000.00 5,159,000.00 5,159,000.00
Total non-current liabilities 143,480,698.98 143,380,698.98 143,480,698.98 143,380,698.98
Total liabilities 1,933,608,284.33 1,791,294,735.75 1,673,790,115.38 1,580,058,590.10
Owner’s equity (or shareholers’
equity):
Paid-in capital (or share capital) 402,600,000.00 402,600,000.00 402,600,000.00 402,600,000.00
Capital public reserve 485,691,050.47 447,563,945.37 485,691,050.47 482,563,945.37
Less: Inventory shares
Reasonable reserve
Surplus public reserve 116,726,055.56 116,726,055.56 116,726,055.56 116,726,055.56
Provision of general risk
Retained profit 470,198,731.17 486,013,977.69 440,320,203.69 458,234,945.44
Balance difference of foreign
currency translation
Total owner’s equity attributable to
1,475,215,837.20 1,452,903,978.62 1,445,337,309.72 1,460,124,946.37
parent company
Minority interests
Total owner’s equity 1,475,215,837.20 1,452,903,978.62 1,445,337,309.72 1,460,124,946.37
Total liabilities and owner’s equity 3,408,824,121.53 3,244,198,714.37 3,119,127,425.10 3,040,183,536.47
4.2 Profit statement from year-begin to the end of report period
Prepared by Wafangdian Bearing Company Limited Jan-Mar, 2011 Uint: RMB
Amount in this period Amount in last period
Items
Consolidation Parent Company Consolidation Parent Company
Ⅰ. Total operating income 864,068,390.44 862,217,201.73 783,744,182.15 778,294,940.15
Including: operating income 864,068,390.44 862,217,201.73 783,744,182.15 778,294,940.15
Interest income
Insurance gained
Commission charge and commission
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Wafangdian Bearing Company Limited The Q1 Report for 2011
income
Ⅱ. Total operating cost 831,221,788.60 831,338,718.53 755,975,769.23 751,665,014.75
Including: operating cost 756,641,082.86 760,513,413.90 694,084,513.68 693,200,949.13
Interest expense
Commission charge and commissioin
expense
Cash surrender value
Net amount of expense of
compensation
Net amount of withdrawal of
insurance contract reserve
Bonus expense of guarantee slip
Reinsurance expenses
Operating tax and extras 2,998,515.16 2,911,517.03 2,617,559.76
Sales expenses 49,057,849.93 48,371,145.76 33,245,085.44 32,753,663.57
Administration expenses 16,044,855.43 13,139,991.73 19,793,035.11 17,229,778.37
Financial expenses 6,479,485.22 6,402,650.11 6,235,575.24 5,992,751.87
Losses of devaluation of asset
Add: Changing income of fair value
(Loss is listed with “-”)
Investment income (Loss is listed with
2,979,977.44 2,979,977.44 3,639,660.50 3,639,660.50
“-”)
Including: Investment income on
2,979,977.44 2,979,977.44 3,639,660.50 3,639,660.50
affiliated company and joint venture
Exchange income (Loss is listed with
“-”)
Ⅲ. Operating profit (Loss is listed
35,826,579.28 33,858,460.64 31,408,073.42 30,269,585.90
with “-”)
Add: Non-operating income 1,345,102.05 1,017,942.75 713,717.97 710,777.97
Less: Non-operating expense 346,933.53 151,150.82 322,873.94 125,243.72
Including: Disposal loss of
non-current asset
Ⅳ. Total profit (Loss is listed with “-”) 36,824,747.80 34,725,252.57 31,798,917.45 30,855,120.15
Less: Income tax expense 6,946,220.32 6,946,220.32 5,488,746.73 5,488,746.73
Ⅴ. Net profit (Net loss is listed with
29,878,527.48 27,779,032.25 26,310,170.72 25,366,373.42
“-”)
Net profit attritutable to owners of
29,878,527.48 27,779,032.25 26,335,790.32 25,366,373.42
parent company
Minority shareholders’ gains and
-25,619.60
losses
Ⅵ. Earnings per share
ⅰ. Basic earnings per share 0.07 0.07 0.07 0.06
ⅱ. Diluted earnings per share 0.07 0.07 0.07 0.06
Ⅶ. Other consolidated income
Ⅷ. Total consolidated income 29,878,527.48 27,779,032.25 26,310,170.72 25,366,373.42
Total consolidated income attributable
29,878,527.48 27,779,032.25 26,335,790.32 25,366,373.42
to owners of parent company
Total consolidated income attributable
-25,619.60
to minority shareholers
The net profit of the business combinations under the same administration in this period before combination is RMB 0.00
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Wafangdian Bearing Company Limited The Q1 Report for 2011
4.3 Cash flow statement from year-begin to the end of report period
Prepared by Wafangdian Bearing Company Limited Jan-Mar, 2011 Uint: RMB
Amount in this period Amount in last period
Items
Consolidation Parent Company Consolidation
Ⅰ. Cash flows arising from operating
activities
Cash received from selling
commodities and providing labor 363,982,279.32 355,115,636.01 302,939,356.54 289,002,503.94
services
Net increase of customer deposit and
interbank deposit
Net increase of loan from central
bank
Net increase of capital borrowed from
other financial institution
Cash received from original
insurance contract fee
Net cash received from
reinsurance business
Net increase of insured savings and
investment
Net increase of disposal of
transaction finacial asset
Cash received from interest,
commission charge and commission
Net increase of capital borrowed
Net increase of returned business
capital
Write-back of tax received
Other cash received concerning
511,626.88 511,626.88 3,608,649.39 3,608,394.80
operating activities
Subtotal of cash inflow arising from
364,493,906.20 355,627,262.89 306,548,005.93 292,610,898.74
operating activities
Cash paid for purchasing
commodities and receiving labor 191,623,005.74 190,458,579.19 165,307,115.68 159,629,380.98
sevice
Net increase of customer loans and
advances
Net increase of deposits in central
bank and interbank
Cash paid for original insurance
contract compensation
Cash paid for interest, commission
charge and commssion
Cash paid for bonus of guarantee slip
Cash paid to/for staff and workers 56,953,689.66 49,178,499.30 67,661,723.81 63,024,810.11
Taxes paid 20,476,061.46 19,028,414.02 27,869,109.26 26,375,063.69
Other cash paid concerning operating
36,026,568.30 32,145,940.45 26,630,783.55 25,001,834.45
activities
Subtotal of cash outflowarising from 305,079,325.16 290,811,432.96 287,468,732.30 274,031,089.23
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Wafangdian Bearing Company Limited The Q1 Report for 2011
operating activities
Net cash flows arisingfrom operating
59,414,581.04 64,815,829.93 19,079,273.63 18,579,809.51
activities
Ⅱ. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
Net cash received from disposal of
fixed, intangible and other long-term 66,201.92 66,201.92
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activitites
Subtotal of cash flow from investing
66,201.92 66,201.92
activities
Cash paid for purchasing fixed,
24,041,743.80 22,297,733.80 4,663,863.39 3,862,663.39
intangible and other long-term assets
Cash paid for investment
Net increase of mortgaged loans
Net cash received from subsidiaries
and other units
Other cash paid concerning investing
activities
Subtotal of cash outflowfrom investing
24,041,743.80 22,297,733.80 4,663,863.39 3,862,663.39
activities
Net cash flows arising from investing
-23,975,541.88 -22,231,531.88 -4,663,863.39 -3,862,663.39
activities
Ⅲ.Cash flows arising from financing
activities
Cash received from absorbing
investment
Including: cash received from
absorbing minority shareholers’
investment by subsidiaries
Cash received from loans 158,180,000.00 153,000,000.00 184,915,000.00 183,000,000.00
Cash received from issuing bonds
Other cash received concerning
457,014.69 457,014.69
finnancing activities
Subtotal of cash inflow from financing
158,180,000.00 153,000,000.00 185,372,014.69 183,457,014.69
activities
Cash paid for settling debts 153,000,000.00 153,000,000.00 183,000,000.00 183,000,000.00
Cash paid for dividend andprofit
8,165,393.06 8,078,381.15 7,802,239.64 7,600,117.84
distributing or invest paying
Including: Dividend and profit of
minority shareholder paid by
subsidiaries
Other cash paid concerningfinnancing
71,423.85 71,423.85
activities
Subtotal of cash outflowfrom
161,165,393.06 161,078,381.15 190,873,663.49 190,671,541.69
financing activities
Net cash flows arisingfrom financing -2,985,393.06 -8,078,381.15 -5,501,648.80 -7,214,527.00
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Wafangdian Bearing Company Limited The Q1 Report for 2011
activities
Ⅳ . Influence on cash and
cashequivalents due to fluctuation in -24,756.31 -24,756.31 35,195.89 35,195.89
exchange rate
Ⅴ. Net increase of cash and cash
32,428,889.79 34,481,160.59 8,948,957.33 7,537,815.01
euqivalents
Add: Balance of cash and cash
52,057,009.69 43,756,831.34 61,708,406.71 61,161,745.51
equivalents at the period-begin
Ⅵ . Balance of cash and cash
84,485,899.48 78,237,991.93 70,657,364.04 68,699,560.52
equivalents at the period-end
The above financial statements have been approved by the board meeting held on April 21, 2011
Charger: Sun Najuan Charger: Su Shaoli
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