Wafangdian Bearing Company Limited 2019Annual Report Abstract
Stock code：200706 Stock ID:Wazhou B Announcement No.2020-03
Wafangdian Bearing Company Limited
2019Annual Report Abstract
1. Important Notes
This abstract was derived from the annual report, the annual report issued on the Shenzhen Stock Exchange web or other web appointed
by and CSRC; details please refer to the whole annual report.
The board of directors, board of supervisors, directors, supervisors and the top management guarantee there is no false record,
misleading statement or major omission in the report, and take responsibilities for the truth, accuracy and completeness of the contents.
All directors attended the Board meeting and discussed the report.
Reminder of the qualified auditor’s opinions
Inapplicable
Preplan of Profit Distribution for Common Stock or Preplan for Capitalization of the Reserves in theReporting Period Reviewed by the
Board Meeting
The Company’s profit distribution preplan upon review and approval of this board meeting: Based on the total 402,600,000 shares, a cash dividend
of RMB 0.8 (tax included) will be distributed for every 10 shares held by shareholders.
Preplan of Profit Distribution for Preferred Shares in the Reporting Period Approved by the Resolution of the Board Meeting
Inapplicable
(2) Brief Information of the listed company
(i) Brief Information of the company
Secretary of the Board Representative of StockA ffairs
Name Sun Najuan Ke Xin
No. 1 Beigongji Street, Wafangdian City, No. 1 Beigongji Street, Wafangdian City,
Correspondence address
Liaoning Province, China. Liaoning Province, China.
Consulting telephone 0411-39116369 0411-39116732
Fax 0411-39116738 0411-39116738
E-mail zwz2308＠126.com zwz2308＠126.com
(ii). Principal Businesses in the Reporting Period
The scope of operation is: manufacture and sales of bearings, bearing components mechanical equipment, bearing maintenance and technology
service, automobile parts and fittings and other related products, lease of mechanical equipment and buildings, and inspection of bearings and
other related mechanical equipment and measure instruments.
Company has strong manufacturing capability and quality assurance capabilities, extensive services in railway, automobile, metallurgy, mining and
other industries and fields.
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Wafangdian Bearing Company Limited 2019Annual Report Abstract
(iii).Main accounting date
(1) Main accounting date in the near three years
Are there any retrospective adjustments or restatement of financial information of previous year due to change of accounting policies or correcting
of accounting errors?
[V]Yes [ ] No
In RMB Yuan
2018 % 2017
2019
Before adjustment After adjustment After adjustment Before adjustment After adjustment
Turnover(RMB) 1,855,489,141.65 2,168,398,656.83 -14.43% 2,190,412,052.05 1,855,489,141.65 2,168,398,656.83
Net profit attributable to
shareholders of the listed -123,201,977.73 10,632,169.84 -1,258.77% 10,182,949.16 -123,201,977.73 10,632,169.84
company(Yuan)
Net profit attributable to the
shareholders of the
listed company after -135,336,054.17 -8,737,823.23 1,448.85% -13,502,647.08 -135,336,054.17 -8,737,823.23
deducting ofnon-recurring
gain/loss(RMB)
Net Cash flow generated by
business operation 157,914,340.86 228,603,893.98 -30.92% -2,124,819.67 157,914,340.86 228,603,893.98
(RMB)
Basic earnings per
-0.31 0.03 -1,133.33% 0.03 -0.31 0.03
share(Yuan/share)
Diluted earnings per
-0.31 0.03 -1,133.33% 0.03 -0.31 0.03
share(Yuan/share)
Net return on equity(%) -9.45% 0.77% -10.22% 0.73% -9.45% 0.77%
2018 % 2017
2019
Before adjustment After adjustment After adjustment Before adjustment
Total Assets (RMB) 2,961,477,469.55 3,298,167,332.49 -10.21% 3,213,772,171.61 2,961,477,469.55 3,298,167,332.49
Owner’s Equity Attributed to
Shareholders of Listed 1,226,441,398.45 1,380,023,044.55 -11.13% 1,385,494,874.71 1,226,441,398.45 1,380,023,044.55
Company(RMB)
“The Notice of amendment to the standard enterprise’s financial statements format” (Caikuai[2018]No.15 File) was announced by the Ministry
of Finance on June 15, 2018(hereinafter referred to as Caikuai No.15File). Due to the No.15 File, some of asset items and liability items have been
merged and some of income statements items have been separated, and “interpretation of financial statement format for the company in 2018” was
announced on September 7, 2018. Handling charge of personal income tax shall be clearly presented under “other income”, the actual government
received shall be presented under operating cashflow column when preparing the cashflow statement regardless of asset related or income related.
The Company has prepared the financial statements in accordance with new statements format and retrospectively made adjustment to the
changes mentioned and respectively adjusted the comparing figures in accordance with financial statements presentation, No 30, accounting
standards applicable in China.
(2)Financial Data Summary based on Quarters
In RMB Yuan
1s Quarter 2nd Quarter 3rd Quarter 4th Quarter
Operating revenue 475,596,504.32 481,942,896.10 439,006,040.14 458,943,701.09
Net profit attributable to the
3,072,545.00 4,698,522.43 -18,609,107.09 -112,363,938.07
Company’s shareholders
Net profit attributable to the
Company’s shareholders less 53,267.40 6,140,303.38 -21,897,768.34 -119,631,856.61
the non-recurring profit and loss
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Wafangdian Bearing Company Limited 2019Annual Report Abstract
Net cash flows arising from
-40,453,537.22 5,717,418.08 138,166,380.02 54,484,079.98
operating activities
Whether the financial indicators or the total number of company has disclose quarterly reports, semi-annual report related financial indicators exist
significant differences
no
(iv) Shareholders and shares
(1) Information on the top 10 shareholders
Total preference Total preferenceshareholders
Total common Total common shareholders
shareholders iththe withthe voting power
shareholders in atthe end of themonth
6,337 6,249 voting owerre covered at 0 not recovered at the end of the 0
the reporting beforebefore the date of
theend of the reporting month before the day of
period disclosing the annual report
period (if any) disclosingthe annual report
Shares held by the shareholders holding over 5% shares or the top ten shareholders
Sharesheld by Number of the Pledging or freezing
Shares held by the Quantity at the end of
thetop non-restricted Status of
Shareholder names top ten thereporting
tensharehold shares the Quantity
shareholders period
ers(%) held shares
Wafangdian Bearing Group
State-owned shareholder 60.61% 244,000,000 244,000,000
Corporation
AKTIEBOLAGET SKF Foreign shareholder 19.70% 79,300,000
China merchants securities
State-owned shareholder 1.86% 7,493,592
Hong Kong limited
Huang Junyue Domestic shareholder 1.62% 6,528,768
Hu Xiaofeng Domestic shareholder 0.47% 1,879,277
GUOTAI JUNAN
SECURITIES(HONGKONG) Foreign shareholder 0.37% 1,477,206
LIMITED
Jin Yunhua Domestic shareholder 0.25% 1,021,256
Chen Haitao Domestic shareholder 0.19% 750,996
MAN,KWAI WING 文贵荣 Domestic shareholder 0.18% 713,101
Meng Qingliang Domestic shareholder 0.17% 694,948
About the fact that a strategic investor or There was no relationship and consistent activities between the first big shareholder and other
ordinary corporate became one of the top shareholders or the top ten common stock holders; The relationship among other shareholders,
ten shareholders due to placement of new top ten circulation shareholders, top ten circulation shareholders and other shareholders was not
shares (if any) (Refer to Note 3) clear.
Explanation on associated relationship or
consistent action of the above shareholders
（2） Total Preference Shareholders and the Shares Held by the Top 10 Preference Shareholders
Inapplicable
(3)Relationship of the property right and controlling between the Company and actual controller:
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Wafangdian Bearing Company Limited 2019Annual Report Abstract
3.Discussion and analysis
(1)general information in the report peiord
In 2019 the board of directors to supervise and support the development of the company management to carry out high quality basic
requirement, firmly grasp the opportunity of global market supply and demand change, the domestic macroeconomic uncertainty increased, the
market competition is more intense and other adverse factors, adhere to improve operation quality and product quality as the center, to the users of
the products with higher cost performance and high quality products, in order to "six issues" and "four rules" for the principle, efforts to bring the
company into the most competitive quality and adaptive organization, staff, partners, enterprises grow together.Constantly strengthen the
management of the company, seize every rare market and various development opportunities, timely adjust the business strategy, adhere to the
"quality first" strategy, enhance the competitiveness of the company, to achieve the ideal economic benefits and the development of the company
to do a good job of support.
During the reporting period, the company also faced new development challenges. The high-end bearings in the bearing industry were in
short supply and the low-end bearings were in serious surplus. The cost of raw materials and auxiliary materials was on the rise, which brought
pressure to bearing enterprises. Enterprise competition environment is more hot; More diversified customer demands have brought great difficulty
to the production organization, and the company's operation quality is not high in 2019.
During the reporting period, the company realized the operating income of RMB 1855.49 million, 14.43% less than that of the previous year;
Net profit loss of RMB 123.2 million. By the end of 2019, the company's total assets were 2.961 billion yuan, down 10.21% from the end of the
previous year. The net assets attributable to the shareholders of the listed company were 1.226 billion yuan, down 11.13% from the end of the
previous year.
(2) Did there exist any significant change in the principal business in the reporting period
No
(3) Products taking over 10% of the Operating Revenue or Operating Profit
Year-on-year
Year-on-year year-on-year
increase/decrease of
Operating Gross profit increase/decrease of increase/decrease of
Operating profit gross profit rate over
revenue rate operating revenue over operating profit over the
the previous
the previous year previous year
year
General
1,569,225,523.86 353,581,773.47 22.53% -13.64% -21.56% 7.82%
bearing
(4)Did there exist seasonal or periodic characteristics necessary to pay special attention to
No.
(5)Note to operating revenue, operation cost or total profit attributable to the Company’s common shareholders in the reporting period or
composition of significant change in the previous reporting period
Inapplicable
(6)Potential suspension and delisting
Inapplicable
(7). Matters concerning the Financial Report
(i) Note to the change in the accounting policy, accounting estimate and accounting method in comparison with the financial report of
the previous year
Important accounting policy changes
（1）Updated non-monetary asset exchange standard and updated debt restructuring standard
The Ministry of Finance announced amendment to “Accounting Standards for Business Enterprises No.7-non monetary asset exchange” and
“Accounting Standards for Business Enterprises No.12-debt restructuring” and updated standards respectively took effect since June 10th 2019 and
June 17th, 2019. Any non-monetary exchange and debt restructuring incurred prior to January 1st,2019, there is no retrospective adjustment
requested. In 2019, there are no such transactions, so there is no significant effect on the company due to the updated standards.
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Wafangdian Bearing Company Limited 2019Annual Report Abstract
（2）Financial statements format
On April 30th, 2019, the Ministry of Finance announced the “Notice of amending and issuing financial statements format” (No.6 Caikuai[2019]). On
September 19th, 2019, the Ministry of Finance announced the “Notice of amending and issuing consolidated financial statements format” (No.16
Caikuai[2019]) The company has prepared the financial statements for the year ended as of December 31st, 2019 in accordance with the notice
mentioned above. No.6 Caikuai[2019] and No.16 Caikuai[2019] amended the presentation of balance sheet, profit or loss, cash flow statement and
Statement of Changes in Shareholder’s Equity. “right-of-use asset” and “lease liability” items are added into the statements. Under “investment
income” on the consolidated income statement, “gain on derecognition of financial assets measured at amortized cost” is added to the statement.
“Notes receivable and account receivable” are split into 3 items: “accounts receivable”, “notes receivable” and “receivable financing”. “Notes
payable and account payable” are split into 2 items: “accounts payable”, “notes payable”. Previously listed as “asset impairment loss”, “credit
impairment loss” in an income statement is adjusted. “Net increase of gain on holding tradable financial asset” and “cash receipt on issuing bond” is
deleted. “Chartered reserve” is added into previous consolidated balance sheet and statement of change in shareholders.
（3）Effect of updated financial instrument standard adoption
In March, 2017, the Ministry of Finance announced amendment to “Accounting Standards for Business Enterprises No.22-financial instrument
recognition and measurement " and No 23-financial asset transfer” and No 24-hedging” and “No 37-fiancial instrument presentation” (hereinafter
referred to as “updated financial instrument standard”). The company adopted the updated financial instrument standards since January 1, 2019.
The company shall classify and measure the financial instruments in accordance with updated standards since the effective date. Any inconsistency
with prior period’s comparing figures; no adjustment is made for comparing figures. The difference between the previous book value of financial
instrument and new book value of it shall be recorded into retained earnings and other items in the statements as of January 1, 2019.
For details of the adjustment, please refer to section XII, section V, important accounting policies and accounting estimates of the annual report.
(ii) Note to the situation that it is necessary to make retrospective restatement to order to correct the serious accounting errors in the
reporting period
Inapplicable
(iii) Note to the change of the scope of the consolidated statements in comparison with the previous year.
Inapplicable
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