Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Lu Thai Textile Co., Ltd.
Report for the First Quarter of 2015
Apr. 2015
1
Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Section I. Important Reminders
The Board of Directors, the Supervisory Committee, directors, supervisors and
senior management staff of Lu Thai Textile 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.
Liu Shizhen, company principal, Zhang Hongmei, chief of the accounting work,
and Zhang Keming, 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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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Section II. Financial Highlights & Change of Shareholders
I. Main accounting data and financial indicators
Does the Company adjust retrospectively or restate accounting data of previous years due to change of the accounting policy or
correction of any accounting error?
□ Yes √ No
Jan.-Mar. 2015 Jan.-Mar. 2014 +/- (%)
Operating revenues (RMB Yuan) 1,428,557,406.74 1,524,854,012.98 -6.32%
Net profit attributable to shareholders of the Company (RMB
152,714,080.35 213,792,166.20 -28.57%
Yuan)
Net profit attributable to shareholders of the Company after
131,929,166.88 227,859,696.84 -42.10%
extraordinary gains and losses (RMB Yuan)
Net cash flows from operating activities (RMB Yuan) -97,329,127.52 55,775,238.83 -274.50%
Basic EPS (RMB Yuan/share) 0.16 0.22 -27.27%
Diluted EPS (RMB Yuan/share) 0.16 0.22 -27.27%
Weighted average ROE (%) 2.29% 3.51% -1.22%
31 Mar. 2015 31 Dec. 2014 +/- (%)
Total assets (RMB Yuan) 8,698,973,617.97 8,627,671,393.88 0.83%
Net assets attributable to shareholders of the Company (RMB
6,741,743,242.88 6,588,772,245.55 2.32%
Yuan)
Items and amounts of extraordinary gains and losses
√ Applicable □ Inapplicable
Unit: RMB Yuan
Item Jan.-Mar. 2015 Explanation
Gains/losses on the disposal of non-current assets (including the offset part of the asset
357,152.45
impairment provisions)
Government grants recognized in the current period, except for those acquired in the ordinary
course of business or granted at certain quotas or amounts according to the government’s unified 3,086,413.47
standards
Gains and losses on change in fair value from tradable financial assets and tradable financial
liabilities, as well as investment income from disposal of tradable financial assets and tradable
19,330,543.33
financial liabilities and financial assets available for sales except for effective hedging related
with normal businesses of the Company
Non-operating income and expense other than the above 961,226.39
Income tax effects 2,701,309.01
Minority interests effects (after tax) 249,113.16
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Total 20,784,913.47 --
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Extraordinary Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item
□ Applicable √ Inapplicable
No such cases in the reporting period.
II. Total number of shareholders at the period-end and shareholdings of top 10 shareholders
1. Total number of common shareholders at the period-end and shareholdings of top 10 common
shareholders
Unit: share
Total number of shareholders at the
75,039
period-end
Shareholdings of top 10 shareholders
Sharehol Pledged or frozen
Number of
ding Number of shares
Name of shareholder Nature of shareholder restricted
percenta shares held Status of Number of
shares held
ge shares shares
Domestic
Zibo Lucheng Textile Investment Co., Ltd. non-state-owned 14.69% 140,353,583 Pledged 26,000,000
corporation
Tailun (Thailand) Textile Co., Ltd. Foreign corporation 12.37% 118,232,400 118,232,400
DBS VICKERS (HONG KONG) LTD A/C
Foreign corporation 2.74% 26,213,346
CLIENTS
LYNAS ASIA FUND Foreign corporation 1.82% 17,364,475
VALUE PARTNERS HIGH-DIVIDEND
Foreign corporation 1.72% 16,411,865
STOCKS FUNDS
UBS AG Foreign corporation 1.38% 13,173,194
T.ROWE PRICE INTL DISCOVERY FUND Foreign corporation 0.91% 8,704,074
First State Investment Management UK Limited
Foreign corporation 0.90% 8,597,472
－First State China A Share Fund
VALUE PARTNERS CLASSIC FUND Foreign corporation 0.85% 8,156,383
NATIONAL WESTMINSTER BANK PLC AS
DEP OF FS GREATER CHINA GROWTH Foreign corporation 0.82% 7,858,094
FUND
Shareholdings of top 10 non-restricted common shareholders
Name of shareholder Number of Variety of shares
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
non-restricted
common Variety Number
shares held
Zibo Lucheng Textile Investment Co., Ltd. 140,353,583 RMB ordinary shares 140,353,583
DBS VICKERS (HONG KONG) LTD A/C CLIENTS 26,213,346 Domestically listed foreign shares 26,213,346
LYNAS ASIA FUND 17,364,475 Domestically listed foreign shares 17,364,475
VALUE PARTNERS HIGH-DIVIDEND STOCKS FUNDS 16,411,865 Domestically listed foreign shares 16,411,865
UBS AG 13,173,194 RMB ordinary shares 13,173,194
T.ROWE PRICE INTL DISCOVERY FUND 8,704,074 Domestically listed foreign shares 8,704,074
First State Investment Management UK Limited－First State
8,597,472 RMB ordinary shares 8,597,472
China A Share Fund
VALUE PARTNERS CLASSIC FUND 8,156,383 Domestically listed foreign shares 8,156,383
NATIONAL WESTMINSTER BANK PLC AS DEP OF FS
7,858,094 Domestically listed foreign shares 7,858,094
GREATER CHINA GROWTH FUND
Nan Shan Life Insurance Company, Ltd. 6,872,500 RMB ordinary shares 6,872,500
Zibo Lucheng Textile Investment Co., Ltd. is the first largest
shareholder of the Company and also is the actual controlling
shareholder. Tailun (Thailand) Textile Co., Ltd. is the foreign
Explanation on associated relationship or persons acting in sponsor shareholder and is also the second largest shareholder of
concert among the above-mentioned shareholders the Company. All of other shareholders are people holding
circulating A share or circulating B share and the Company is not
able to confirm whether there is associated relationship or
concerted action among other shareholders.
Top 10 common shareholders taking part in securities margin
N/A
trading (if any)
Did any of the top 10 common shareholders or the top 10 non-restricted common shareholders of the Company conduct any
promissory repo during the reporting period?
□ Yea √ No
No such cases in the reporting period.
Section III. Significant Events
I. Significant changes of the major accounting statement items and financial indicators for the
reporting period, as well as the reasons for these changes
√ Applicable □ Inapplicable
1. Financial assets measured at fair value with changes recorded into current gains and losses as at
31 Mar. 2015 stood at RMB 2,399,200.00, up 100% from the opening amount, mainly because of
changes in the fair value of these financial assets.
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
2. Prepayments as at 31 Mar. 2015 stood at RMB 262,841,192.20, up 50.31% from the opening
amount, mainly because prepayments for raw materials increased.
3. Other current assets as at 31 Mar. 2015 stood at RMB 39,572,694.94, up 665.83% from the
opening amount, mainly because the input VAT and the prepaid income tax to be deducted both
increased.
4. Long-term deferred expenses as at 31 Mar. 2015 stood at RMB 42,350,433.78, up 49.55% from
the opening amount, mainly because the land rental expenses by Lu Thai Cambodia increased.
5. Financial liabilities measured at fair value with changes recorded into current gains and losses as
at 31 Mar. 2015 stood at RMB 0.00, down 100% from the opening amount, mainly because the
financial liabilities were settled and transferred into the gains on fair value changes.
6. Payroll payable as at 31 Mar. 2015 stood at RMB 172,099,833.99, down 34.20% from the
opening amount, mainly because the year-end bonuses for employees for 2014 were paid in the
current period.
7. Taxes and fares payable as at 31 Mar. 2015 stood at RMB 48,499,480.61, down 34.51% from the
opening amount, mainly because the taxes and fares payable decreased.
8. Interest payable as at 31 Mar. 2015 stood at RMB 872,891.23, up 70.70% from the opening
amount, mainly because short-term borrowings increased.
9. Long-term payables as at 31 Mar. 2015 stood at RMB 0.00, down 100% from the opening
amount, mainly because of the payments for electricity and bonds.
10. Business tax and surtaxes for Jan.-Mar. 2015 stood at RMB 13,321,763.49, up 64.21% year on
year, mainly because the city construction & maintenance tax, the educational surcharges, etc.
increased.
11. Financial expenses for Jan.-Mar. 2015 stood at RMB 2,905,274.94, down 64.20% year on year,
mainly because the exchange gains increased.
12. Asset impairment losses for Jan.-Mar. 2015 stood at RMB 1,158,851.88, up 123.31% year on
year, mainly because accounts receivable increased.
13. Gains on fair value changes for Jan.-Mar. 2015 stood at RMB 5,705,400.00, up 119.81% year
on year, mainly because due financial assets were delivered, resulting in the carryover of the
previously recognized gain/loss on fair value changes, and the fair value of financial assets changed.
14. Non-operating incomes for Jan.-Mar. 2015 stood at RMB 4,816,916.15, up 71.23% year on year,
mainly because governmental subsidies increased.
15. Non-operating expense for Jan.-Mar. 2015 stood at RMB 412,123.84, down 59.58% year on
year, mainly because the losses on disposal of non-current assets decreased.
16. Net cash flows from operating activities for Jan.-Mar. 2015 stood at RMB -97,329,127.52,
down 274.50% year on year, mainly because the cash received from sale of goods and rendering of
services decreased.
II. Progress of significant events and analysis & explanations on their influence and solutions
□ Applicable √ Inapplicable
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
III. Commitments made by the Company or any shareholder with a shareholding over 5% in
the reporting period or such commitments made in previous period and carried down into the
reporting period
□ Applicable √ Inapplicable
No such cases in the reporting period.
IV. Predict the operating results of Jan.-Jun. 2015
Warning of possible loss or considerable YoY change of the accumulated net profit made during the period-begin to the end of the
next reporting period according to prediction, as well as explanations on the reasons:
□ Applicable √ Inapplicable
V. Securities investments
□ Applicable √ Inapplicable
No such cases in the reporting period.
VI. Shareholdings in other listed companies
□ Applicable √ Inapplicable
No such cases in the reporting period.
VII. Investments in derivatives
√ Applicable □ Inapplicable
Unit: RMB Ten Thousand Yuan
Proportion
Rela
of the
ted-
Impairm closing Actual
part
Type of Initial Opening ent Closing investment gain/loss
Relat y Beginning Ending
Operator derivative investment investment provisio investment amount in in
ion trans date date
investment amount amount n (if amount the reporting
actio
any) Company’ period
n or
s closing
not
net assets
The forward
non-a
commerci foreign 14 Nov. 28 Jan.
ssoci No 94,519.94 21,213.88 28,813.35 4.02% 1,246.64
al bank exchange 2014 2015
ate
settlement
commerci non-a No Foreign 347.96 11 Feb. 30 Mar. 0 0 9.02
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
al bank ssoci exchange 2015 2015
ate trading
non-a
commerci Share optio 26 Mar.
ssoci No 94,930 21 Oct. 2014 31,835 91,747.5 12.80% 106.85
al bank n group 2016
ate
Total 189,797.9 -- -- 53,048.88 120,560.85 16.82% 1,362.51
Capital source for derivative
Self-owned funds
investment
Cases involving lawsuit (if
No
applicable)
Disclosure date of the board
announcement approving the wealth 27 Mar. 2014
management entrustment (if any)
Disclosure date of the general
meeting announcement approving
the wealth management entrustment
(if any)
The Company conducted derivatives products transaction in order for hedging. And the
forward settlement hedging was operated by installments, with the relevant amount not more
than the planned derivatives products transactions. And all derivatives products transaction
was zero-deposit. Meanwhile, the Company had a complete risk control system for sufficient
analysis and prevention of possible risks such as risk of laws and regulations, credit risk,
operation risk and market risk.
1. Risk of laws and regulations:
The Company conducted derivatives products transaction in strict accordance with relevant
laws and rules as well as regulatory policies from government securities regulatory
Analysis on risks and control
authorities, if there were no standard operation procedures and strict approval procedures, it
measures of derivative products
was easy to cause compliant and regulatory risks existing in the validity and feasibility of
held in the reporting period
contract, commitments and other legal documents signed.
(including but not limited to market
Precautionary measures: The Company carefully studied and mastered laws, regulations and
risk, liquidity risk, credit risk,
policies relevant to derivative products transaction, formulated internal control rules for the
operation risk, law risk, etc.)
forward settlement hedging business, standardized the operation procedures. And strengthened
the compliant examination on derivative products investment business, and strictly abided by
relevant laws, regulations and the Company’s internal management rules.
2. Credit risk and liquidity risk:
When the contract matures, the Company couldn’t deliver as scheduled due to insufficient
liquidity, and the counterparty or the Company couldn’t fulfill the contract due to other
aspects except the liquidity, which would cause credit risk and further economic losses for the
Company. Precaution measure: the Company chose the powerful financial institutions with
good reputation as the counterparty, and signed standard derivative products transaction
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
contract, as well as strictly controlled the credit risk of counterparty. The Company conducted
derivative investment transactions according to the relevant approval procedure, which was in
line with relevant laws, regulations, the Company’s Articles of Association, the Management
Rules for Derivative Investment of Lu Thai Textile Co., Ltd. and the Proposal on the Plan of
Lu Thai Textile Co., Ltd. for Derivative Transactions and the relevant regulations of the
Proposal on the 2014 Derivative Transactions Plan of Luthai Textile Co., Ltd. and performed
relevant information disclosure responsibilities. The Company decided the up limit for the
amount of derivative products transaction according to the production and operation scale and
the progress of foreign exchange income for the Company, and delivered by phases. It was
also possible to use extension of term and other ways to ensure the fulfillment of contract as
schedules upon the mature of contract, and wouldn’t cause any loss of credit risk for the
Company due to insufficient liquidity or other reasons.
3. Operation risk:
The derivative financial transactions had high specialty and complexity, so imperfect internal
operation procedures, staffs and external events would make the Company to undertake risks
during the transaction. Precaution measure: The Company promulgated strict authorization
and approval system and perfect regulatory mechanism, fixed the departments, operation
procedures and approval procedures system to conduct derivative products transaction,
established special risk control positions, implemented strict authorization and post checks
and balances system, meanwhile, it improved the overall quality of relevant personnel through
strengthening the business training and professional ethics education for them. Besides, it
established the System of Reporting the Abnormal Situation Timely, formed an efficient risk
management procedures, so as to ensure to lower the operation risks to the maximum.
4. Market risk:
The forward settlement of exchange is an important derivative products transaction, which
was significantly affected by the exchange rate fluctuation due to its large amount. The
Central Bank decided to expand the inter-bank spot RMB-dollar trading band from 1% to 2%
since 17 Mar. 2014, which would increase the difficulty in the operation of forward settlement
of exchange. Besides, if the RMB is devalued by a large margin on the basis of the current
situation before the contract is due, so then, the larger losses shall incur in the contract on
forward settlement of exchange signed by the Company.
Risk analysis and precaution measure: Renminbi appreciated significantly compared with that
before the exchange rate reform, but Renminbi internationalization would be a long-term goal,
which decided that Renminbi would not depreciated significantly. Although the increased
fluctuation range added the operation difficulty, it provided a certain opportunity, which
required relevant personnel of the Company actively master the market trend, carefully
operate and hold positive opportunity, so as to try the best to reduce the market risks under the
condition of increased market difficulty.
Changes of market prices or fair 1. Up to 31 Mar. 2015, the Company held 31 undue financial derivative product contracts,
values in the reporting period of the totaling US$ 203 million, of which there were about 7 forward foreign exchange settlements
invested derivatives. And the with the total amount of US$ 45 million as well as there were about 24 foreign currency
analysis on the fair value of the options with the total amount of US$ 158 million (the latest expiration before Feb. 2016). The
derivatives should include the above financial derivative products accounted for 16.82% of the closing net assets.
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
specific use methods and the 2. From Jan. 2015 to Mar. 2015, the due financial derivative products of the Company totally
relevant assumptions and equaled to US$ 110.5662 million, which generated a gain of RMB 13.6251 million. The due
parameters. forward settlement was US$ 105 million, which generated a gain of RMB 12.4664 million;
the due forward foreign exchange trading amount equaled to US$ 0.5662 million, which
generated a gain of RMB 90,200; the due foreign currency options was US$ 5 million, which
generated a gain of RMB 1.0685 million.
Whether significant changes
occurred to the Company’s
accounting policy and specific
Unchanged
accounting principles of derivatives
in the reporting period compared to
the previous reporting period
The Company’s independent directors Zhou Zhiji, Zhang Chengzhu, Wanglei, Xu Jianjun and
Zhao Yao concerning conducting derivatives business, have issued the following professional
Specific opinion from independent advice: we were of the opinion that it would strengthen the Company’s competitiveness to use
directors on the Company’s derivative transactions with focus on forward settlement and purchase as an effective tool to
derivatives investment and risk avoid foreign exchange risks, to strengthen the relevant internal control and to carry out the
control loss and risk prevention measures so as to improve the operation and management. It was
considered feasible for the Company to conduct derivative transactions with focus on forward
settlement and purchase, and no harm was done to interests of the Company’s shareholders.
VIII. Researches, visits and interviews received in the reporting period
√ Applicable □ Inapplicable
Main discussion and
Time of Place of Way of
Visitor type Visitor materials provided by the
reception reception reception
Company
Telephone EVERBRIGHT SECURITIES Li Jie, The Company's current
31 Mar. 2015 Institution
Communication Tang Shuangshuang situation
Telephone The Company's current
31 Mar. 2015 Institution Qilu Securities Han Liping
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Natural arch assets Hu Xin
Communication situation
Telephone Sheng Wan Spiritual Co., Ltd. Liu The Company's current
31 Mar. 2015 Institution
Communication Zongxun situation
Telephone JiangHai Securities Self-operation The Company's current
31 Mar. 2015 Institution
Communication Liuhua situation
Telephone The Company's current
31 Mar. 2015 Institution Hongdao Investment Ji Wei
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Chang Xin Assets Huang Wei
Communication situation
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Telephone The Company's current
31 Mar. 2015 Institution Hui Jie investment Xie Rui
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution JD Capital Chen Tao
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Jiangsu Xinye Shao Lei
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Yuan Cheng Investment Zeng Shang
Communication situation
Telephone Minsheng Tonghui Assets The Company's current
31 Mar. 2015 Institution
Communication Management Bai Fan situation
Telephone The Company's current
31 Mar. 2015 Institution Yin Tai Securities Zeng Liang
Communication situation
Telephone Shanghai Right Share Xu Wenguang The Company's current
31 Mar. 2015 Institution
Communication Han Ying situation
Telephone The Company's current
31 Mar. 2015 Institution Li Cheng Assets Weng Di
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Zong Yi Run Bang Liang Liang
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Tianfeng Securities Ding Ling Xiao
Communication situation
Telephone The Company's current
31 Mar. 2015 Institution Zhong Ou Fund Zhang Bo
Communication situation
Telephone Bank of China International Information The Company's current
31 Mar. 2015 Institution
Communication Technology Department Yao Yonghua situation
Telephone The Company's current
31 Mar. 2015 Institution Ping An Life Insurance Sui Haiqi
Communication situation
Section IV. Financial Statements
I. Financial statements
1. Consolidated balance sheet
Prepared by Lu Thai Textile Co., Ltd.
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 581,633,140.07 666,293,798.30
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Financial assets measured at fair value of which changes are
2,399,200.00
recorded in current profits and losses
Derivative financial assets
Notes receivable 102,405,366.01 113,804,477.43
Accounts receivable 239,235,352.68 211,970,554.10
Accounts paid in advance 262,841,192.20 174,865,932.88
Dividend receivable
Other accounts receivable 55,533,008.39 63,378,909.28
Financial assets purchased under agreements to resell
Inventories 1,807,120,959.61 1,752,570,382.21
Assets held for sale
Non-current assets due within 1 year
Other current assets 39,572,694.94 5,167,324.98
Total current assets 3,090,740,913.90 2,988,051,379.18
Non-current assets:
Loans by mandate and advances granted
Available-for-sale financial assets 67,442,600.00 67,442,600.00
Held-to-maturity investments
Long-term accounts receivable 6,980,998.00 6,980,998.00
Long-term equity investment
Investing real estate
Fixed assets 4,888,413,338.86 4,930,848,056.04
Construction in progress 135,835,075.46 123,585,226.80
Engineering materials 13,952,157.15 19,885,765.41
Disposal of fixed assets
Production biological assets 1,248,251.26 1,310,500.00
Oil-gas assets
Intangible assets 372,338,014.57 373,760,347.71
R&D expense
Goodwill 20,613,803.29 20,613,803.29
Long-term deferred expenses 42,350,433.78 28,319,033.27
Deferred income tax assets 46,276,748.70 49,963,446.84
Other non-current assets 12,781,283.00 16,910,237.34
Total of non-current assets 5,608,232,704.07 5,639,620,014.70
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Total assets 8,698,973,617.97 8,627,671,393.88
Current liabilities:
Short-term borrowings 598,046,187.34 517,452,946.24
Financial liabilities measured at fair value of which changes are
3,306,200.00
recorded in current profits and losses
Derivative financial liabilities
Notes payable 5,926,012.85 7,421,979.09
Accounts payable 276,717,096.22 344,082,239.16
Accounts received in advance 94,064,453.40 82,176,191.45
Payroll payable 172,099,833.99 261,539,206.93
Tax payable 48,499,480.61 74,052,405.97
Interest payable 872,891.23 511,373.44
Dividend payable 441,456.54 441,456.54
Other accounts payable 71,640,383.15 58,075,873.18
Non-current liabilities due within 1 year 101,115,828.19 100,733,898.72
Other current liabilities
Total current liabilities 1,369,423,623.52 1,449,793,770.72
Non-current liabilities:
Long-term borrowings 9,987,158.75 9,904,645.59
Long-term payables 220,000.00
Long-term payroll payables 80,360,457.97 80,360,457.97
Specific payables
Estimated liabilities
Deferred income 66,237,376.21 67,057,221.40
Deferred income tax liabilities 2,432,968.08 2,064,713.02
Other non-current liabilities 1,840,000.00 1,840,000.00
Total non-current liabilities 160,857,961.01 161,447,037.98
Total liabilities 1,530,281,584.53 1,611,240,808.70
Owners’ equity:
Share capital 955,758,496.00 955,758,496.00
Capital reserves 1,007,079,868.23 1,007,039,561.13
Less: Treasury stock
Other comprehensive income -8,223,568.49 -8,440,178.37
Specific reserves
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Surplus reserves 742,347,832.47 742,347,832.47
Provisions for general risks
Retained profits 4,044,780,614.67 3,892,066,534.32
Total equity attributable to owners of the Company 6,741,743,242.88 6,588,772,245.55
Minority interests 426,948,790.56 427,658,339.63
Total owners’ equity 7,168,692,033.44 7,016,430,585.18
Total liabilities and owners’ equity 8,698,973,617.97 8,627,671,393.88
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
2. Balance sheet of the Company
Unit: RMB Yuan
Item Closing balance Opening balance
Current Assets:
Monetary funds 280,268,937.68 250,409,717.93
Financial assets measured at fair value of which changes are
2,399,200.00
recorded in current profits and losses
Derivative financial assets
Notes receivable 85,889,905.77 87,341,876.69
Accounts receivable 259,155,421.87 321,897,074.61
Accounts paid in advance 328,775,876.60 193,383,406.51
Interest receivable
Dividend receivable
Other accounts receivable 73,350,063.39 28,049,517.79
Inventories 1,239,453,582.16 1,206,795,514.65
Assets held for sale
Non-current assets due within 1 year
Other current assets 12,271,565.13 1,017,648.28
Total current assets 2,281,564,552.60 2,088,894,756.46
Non-current assets:
Available-for-sale financial assets 55,282,600.00 55,282,600.00
Held-to-maturity investments
Long-term accounts receivable
Long-term equity investment 1,208,549,817.36 1,170,861,572.56
Investing real estate
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Fixed assets 3,087,578,503.55 3,115,567,670.72
Construction in progress 91,193,418.73 77,701,863.38
Engineering materials 9,650,599.43 18,626,397.04
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 237,599,548.64 239,561,216.15
R&D expense
Goodwill
Long-term deferred expenses
Deferred income tax assets 30,605,177.48 31,683,250.78
Other non-current assets 5,406,401.00 5,406,401.00
Total of non-current assets 4,725,866,066.19 4,714,690,971.63
Total assets 7,007,430,618.79 6,803,585,728.09
Current liabilities:
Short-term borrowings 268,789,601.05 109,116,402.18
Financial liabilities measured at fair value of which changes are
3,075,000.00
recorded in current profits and losses
Derivative financial liabilities
Notes payable 1,140,002.40 4,126,949.64
Accounts payable 369,395,558.41 370,179,503.31
Accounts received in advance 58,317,071.02 42,230,252.30
Payroll payable 133,671,721.17 201,779,896.86
Tax payable 24,261,331.68 38,755,976.56
Interest payable 628,292.61 401,695.08
Dividend payable 441,456.54 441,456.54
Other accounts payable 28,229,237.15 22,996,300.29
Liabilities held for sale
Non-current liabilities due within 1 year 101,115,828.19 100,733,898.72
Other current liabilities
Total current liabilities 985,990,100.22 893,837,331.48
Non-current liabilities:
Long-term borrowings 9,942,198.75 9,904,645.59
Long-term payables
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Long-term payroll payables 80,360,457.97 80,360,457.97
Specific payables
Estimated liabilities
Deferred income 30,300,696.46
Deferred income tax liabilities 359,880.00
Other non-current liabilities 30,469,481.47
Total non-current liabilities 120,963,233.18 120,734,585.03
Total liabilities 1,106,953,333.40 1,014,571,916.51
Owners’ equity:
Share capital 955,758,496.00 955,758,496.00
Capital reserves 1,013,432,549.32 1,013,392,242.22
Less: Treasury stock
Other comprehensive income
Specific reserves
Surplus reserves 742,347,832.47 742,347,832.47
Retained profits 3,188,938,407.60 3,077,515,240.89
Total owners’ equity 5,900,477,285.39 5,789,013,811.58
Total liabilities and owners’ equity 7,007,430,618.79 6,803,585,728.09
3. Consolidated income statement
Unit: RMB Yuan
Item Jan.-Mar. 2015 Jan.-Mar. 2014
I. Total operating revenues 1,428,557,406.74 1,524,854,012.98
Including: Sales income 1,428,557,406.74 1,524,854,012.98
II. Total operating costs 1,265,704,564.06 1,255,227,267.11
Including: Cost of sales 1,044,182,982.58 1,059,292,161.99
Taxes and associate charges 13,321,763.49 8,112,449.96
Selling and distribution expenses 51,797,009.15 45,674,167.84
Administrative expenses 152,338,682.02 139,004,880.22
Financial expenses 2,905,274.94 8,115,706.19
Asset impairment loss 1,158,851.88 -4,972,099.09
Add: Gain/(loss) from change in fair value (“-” means loss) 5,705,400.00 -28,794,020.00
Gain/(loss) from investment (“-” means loss) 13,625,143.33 15,059,650.31
Including: share of profits in associates and joint ventures
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Foreign exchange gains (“-” means loss)
III. Business profit (“-” means loss) 182,183,386.01 255,892,376.18
Add: non-operating income 4,816,916.15 2,813,117.81
Including: Gains on disposal of non-current assets 367,515.59 50,957.05
Less: non-operating expense 412,123.84 1,019,563.59
Including: Losses on disposal of non-current assets 10,363.14 676,552.87
IV. Total profit (“-” means loss) 186,588,178.32 257,685,930.40
Less: Income tax expense 34,583,647.04 37,984,156.38
V. Net profit (“-” means loss) 152,004,531.28 219,701,774.02
Net profit attributable to owners of the Company 152,714,080.35 213,792,166.20
Minority shareholders’ income -709,549.07 5,909,607.82
VI. After-tax net amount of other comprehensive incomes 215,117.44 502,851.87
After-tax net amount of other comprehensive incomes
215,117.44 502,851.87
attributable to owners of the Company
(I) Other comprehensive incomes that will not be reclassified
into gains and losses
1. Changes in net liabilities or assets with a defined benefit
plan upon re-measurement
2. Enjoyable shares in other comprehensive incomes in
investees that cannot be reclassified into gains and losses under the
equity method
(II) Other comprehensive incomes that will be reclassified
215,117.44 502,851.87
into gains and losses
1. Enjoyable shares in other comprehensive incomes in
investees that will be reclassified into gains and losses under the
equity method
2. Gains and losses on fair value changes of
available-for-sale financial assets
3. Gains and losses on reclassifying held-to-maturity
investments into available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation
215,117.44 502,851.87
difference
6. Other
After-tax net amount of other comprehensive incomes
attributable to minority shareholders
VII. Total comprehensive incomes 152,219,648.72 220,204,625.89
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Attributable to owners of the Company 152,929,197.79 214,295,018.07
Attributable to minority shareholders -709,549.07 5,909,607.82
VIII. Earnings per share
(I) Basic earnings per share 0.16 0.22
(II) Diluted earnings per share 0.16 0.22
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 same period of last year being RMB .
Legal representative: Liu Shizhen Chief of the accounting work: Zhang Hongmei Chief of the accounting organ: Zhang Keming
4. Income statement of the Company
Unit: RMB Yuan
Item Jan.-Mar. 2015 Jan.-Mar. 2014
I. Total sales 1,092,837,005.97 1,027,387,778.45
Less: cost of sales 842,767,486.89 708,449,373.42
Business taxes and surcharges 10,401,216.67 5,172,792.21
Distribution expenses 23,672,458.92 20,428,081.26
Administrative expenses 107,394,185.74 97,433,212.33
Financial costs -582,535.37 -1,286,965.86
Impairment loss -965,962.31 -3,046,160.73
Add: gain/(loss) from change in fair value (“-” means loss) 5,474,200.00 -23,720,300.00
Gain/(loss) from investment (“-” means loss) 12,628,943.33 12,022,210.27
Including: income form investment on associates and joint
ventures
II. Business profit (“-” means loss) 128,253,298.76 188,539,356.09
Add: non-operating income 4,528,078.79 2,090,225.37
Including: Gains on disposal of non-current assets 367,515.59 14336.05
Less: non-operating expense 172,420.29 866,262.37
Including: Losses on disposal of non-current assets 10,363.14 674876.26
III. Total profit (“-” means loss) 132,608,957.26 189,763,319.09
Less: Income tax expense 21,185,790.55 25,553,980.21
IV. Net profit (“-” means loss) 111,423,166.71 164,209,338.88
V. After-tax net amount of other comprehensive incomes
(I) Other comprehensive incomes that will not be reclassified into
gains and losses
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
1. Changes in net liabilities or assets with a defined benefit plan
upon re-measurement
2. Enjoyable shares in other comprehensive incomes in investees
that cannot be reclassified into gains and losses under the equity
method
(II) Other comprehensive incomes that will be reclassified into
gains and losses
1. Enjoyable shares in other comprehensive incomes in investees
that will be reclassified into gains and losses under the equity method
2. Gains and losses on fair value changes of available-for-sale
financial assets
3. Gains and losses on reclassifying held-to-maturity
investments into available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation difference
6. Other
VI. Total comprehensive incomes 111,423,166.71 164,209,338.88
VII. Earnings per share
(I) Basic earnings per share 0.12 0.17
(II) Diluted earnings per share 0.12 0.17
5. Consolidated cash flow statement
Unit: RMB Yuan
Item Jan.-Mar. 2015 Jan.-Mar. 2014
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 1,409,322,323.45 1,687,365,414.77
Tax refunds received 36,086,459.45 44,724,303.43
Other cash received relating to operating activities 12,607,023.84 21,602,693.31
Subtotal of cash inflows from operating activities 1,458,015,806.74 1,753,692,411.51
Cash paid for goods and services 925,879,104.51 1,069,481,319.44
Cash paid to and for employees 434,927,450.28 430,633,920.43
Various taxes paid 119,315,613.30 120,108,409.19
Other cash payment relating to operating activities 75,222,766.17 77,693,523.62
Subtotal of cash outflows from operating activities 1,555,344,934.26 1,697,917,172.68
Net cash flows from operating activities -97,329,127.52 55,775,238.83
II. Cash flows from investing activities:
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Cash received from withdrawal of investments
Cash received from return on investments
Net cash received from disposal of fixed assets, intangible assets and other
1,209,136.18 1,564,743.67
long-term assets
Net cash received from disposal of subsidiaries or other business units
Other cash received relating to investing activities 14,349,088.60 16,628,598.97
Subtotal of cash inflows from investing activities 15,558,224.78 18,193,342.64
Cash paid to acquire fixed assets, intangible assets and other long-term
77,688,786.57 122,361,158.19
assets
Cash paid for investment
Net increase of pledged loans
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities
Subtotal of cash outflows from investing activities 77,688,786.57 122,361,158.19
Net cash flows from investing activities -62,130,561.79 -104,167,815.55
III. Cash Flows from Financing Activities:
Cash received from capital contributions
Including: Cash received from minority shareholder investments by
subsidiaries
Cash received from borrowings 499,500,745.26 178,448,809.09
Cash received from issuance of bonds
Other cash received relating to financing activities 16,000,000.00 12,000,000.00
Subtotal of cash inflows from financing activities 515,500,745.26 190,448,809.09
Repayment of borrowings 420,419,094.09 322,265,867.92
Cash paid for interest expenses and distribution of dividends or profit 6,336,269.66 7,025,184.46
Including: dividends or profit paid by subsidiaries to minority
shareholders
Other cash payments relating to financing activities 61,299,156.00 12,000,000.00
Sub-total of cash outflows from financing activities 488,054,519.75 341,291,052.38
Net cash flows from financing activities 27,446,225.51 -150,842,243.29
IV. Effect of foreign exchange rate changes on cash and cash equivalents 2,953,649.57 -592,871.45
V. Net increase in cash and cash equivalents -129,059,814.23 -199,827,691.46
Add: Opening balance of cash and cash equivalents 649,393,798.30 869,909,505.89
VI. Closing balance of cash and cash equivalents 520,333,984.07 670,081,814.43
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
6. Cash flow statement of the Company
Unit: RMB Yuan
Item Jan.-Mar. 2015 Jan.-Mar. 2014
I. Cash flows from operating activities:
Cash received from sale of commodities and rendering of service 1,157,272,756.12 1,135,988,900.43
Tax refunds received 32,062,208.83 28,058,174.14
Other cash received relating to operating activities 3,218,883.40 1,457,351.16
Subtotal of cash inflows from operating activities 1,192,553,848.35 1,165,504,425.73
Cash paid for goods and services 779,155,896.02 733,603,575.84
Cash paid to and for employees 327,538,401.62 323,138,484.20
Various taxes paid 45,531,121.17 70,900,289.12
Other cash payment relating to operating activities 100,393,923.38 36,859,914.06
Subtotal of cash outflows from operating activities 1,252,619,342.19 1,164,502,263.22
Net cash flows from operating activities -60,065,493.84 1,002,162.51
II. Cash flows from investing activities:
Cash received from retraction of investments
Cash received from return on investments
Net cash received from disposal of fixed assets, intangible assets
1,209,136.18 1,563,943.67
and other long-term assets
Net cash received from disposal of subsidiaries or other business
units
Other cash received relating to investing activities 12,999,351.78 13,772,550.56
Subtotal of cash inflows from investing activities 14,208,487.96 15,336,494.23
Cash paid to acquire fixed assets, intangible assets and other
44,996,274.50 85,844,328.08
long-term assets
Cash paid for investment 36,160,983.67 19,343,283.56
Net cash paid to acquire subsidiaries and other business units
Other cash payments relating to investing activities
Subtotal of cash outflows from investing activities 81,157,258.17 105,187,611.64
Net cash flows from investing activities -66,948,770.21 -89,851,117.41
III. Cash Flows from Financing Activities:
Cash received from capital contributions
Cash received from borrowings 256,245,018.34 26,096,206.39
Cash received from issuance of bonds
Other cash received relating to financing activities
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Report for the First Quarter of 2015 of Lu Thai Textile Co., Ltd.
Subtotal of cash inflows from financing activities 256,245,018.34 26,096,206.39
Repayment of borrowings 98,059,135.07 26,529,242.39
Cash paid for interest expenses and distribution of dividends or
1,369,866.44 1,806,334.37
profit
Other cash payments relating to financing activities 61,299,156.00
Sub-total of cash outflows from financing activities 160,728,157.51 28,335,576.76
Net cash flows from financing activities 95,516,860.83 -2,239,370.37
IV. Effect of foreign exchange rate changes on cash and cash
957,466.97 -168,440.09
equivalents
V. Net increase in cash and cash equivalents -30,539,936.25 -91,256,765.36
Add: Opening balance of cash and cash equivalents 249,509,717.93 503,157,687.92
VI. Closing balance of cash and cash equivalents 218,969,781.68 411,900,922.56
II. Audit report
Is this report audited?
□ Yes √ No
This report is not audited.
Chairman of the Board: Liu Shizhen
Lu Thai Textile Co., Ltd.
25 Apr. 2015
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