2014 Quarterly Three Report of Wuhan Boiler Company Limited
WUHAN BOILER COMPANY LIMITED
2014 QUARTERLY THREE REPORT
2014-085
October 2014
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Section I Important Notes
The Board of Directors, the Board of Supervisors as well as all Board Directors, Supervisors and Senior
Management of Wuhan Boiler Company Limited (hereinafter referred to as “the Company”) hereby warrant that
this Report is authentic, accurate and complete without any misstatement, misleading statement or material
omission and will take individual and joint and several liabilities for that.
All Board Directors attended the Board Meeting for reviewing this Report.
Mr. Yeung Kwok Wei Richard, the Company Principal, Mr. Chin Wee Hua, the Accounting Principal, and Mr. Li
Yihao, the Accounting Division’s Principal (Accounting Manager), hereby ensure that the Financial Statements
enclosed in this Report are authentic, accurate and complete.
1. Because the audited net profits and closing net assets for three consecutive accounting years of 2011, 2012 and
2013 are negative, Shenzhen Stock Exchange has decided to suspend the listing of the Company’s stock starting
from May 16, 2014 according to Article 14.1.1 and 14.1.2 of the Stock Listing Rules of Shenzhen Stock Exchange
(revised version 2012). The announcement of listing suspension decision was disclosed on Securities Times and
Ta Kung Pao on May 14, 2014 with No. 2014-049.
2. The Board of Directors has taken positive actions to improve operation, and has explored all possibilities to
prevent delisting risk. Three Shareholders’ Meetings were convened to approve the Debt-to-equity Conversion
Plan on November 23, 2012, December 17, 2012 and May 23, 2014 respectively. However, the Plan was not
approved by the Shareholders’ Meeting for 3 times.
3. The Company disclosed 2014 Interim Report on August 29, 2014. In the first half year of 2014, net profit
attributable to shareholders of the Company was RMB 8,214,639.10, net profit attributable to shareholders of the
Company after deducting non-recurring gains and losses was RMB 7,868,973.11 and net asset attributable to
shareholders of the Company was RMB -1,355,276,203.03.
4. From the year beginning to the end of the report period, net profit attributable to shareholders of the Company
was RMB -79,948,213.21, net profit attributable to shareholders of the Company after deducting non-recurring
gains and losses was -81,180,499.79 and net asset attributable to shareholders of the Company was RMB
-1,443,439,055.34.
5. In order to satisfy the criteria for resuming the listing of the Company’s stocks, pursuant to the Stocks Listing
Rules of Shenzhen Stock Exchange (revised version 2012), the Company’s financial data in the year of 2014 shall
satisfy, at least both of the below criteria: (i) net asset value as of the end of fiscal period shall be positive; and (ii)
net profit shall be positive before and after deducting non-recurring profit and loss. If the Company fails to meet
the requirements for listing resumption, the stock of the Company will be delisted according to Article 14.3.1 of
the Stock Listing Rules of Shenzhen Stock Exchange (revised version 2012). The Board of Directors hereby
reminds investors of investment risks.
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Section II Major Financial Data & Change of Shareholders
I. Major accounting data and financial indexes
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
Sep. 30, 2014 Dec. 31, 2013 Increase/decrease (%)
Total assets (RMB Yuan) 1,187,541,068.40 1,339,647,873.78 -11.35%
Owners’ equity attributable to
shareholders of the Company -1,443,439,055.34 -1,363,490,842.13 -5.86%
(RMB Yuan)
Increase/decrease (%) as Increase/decrease (%) as
Jul. – Sep. 2014 compared to same Jan. – Sep. 2014 compared to same
period last year period last year
Gross operating revenues (RMB
184,927,280.14 0.64% 681,825,439.66 5.54%
Yuan)
Net profit attributable to
shareholders of the Company -88,162,852.31 -237.86% -79,948,213.21 -27.85%
(RMB Yuan)
Net profit attributable to
shareholders of the Company
-89,049,472.90 -239.50% -81,180,499.79 -23.92%
after deducting non-recurring
gains and losses (RMB Yuan)
Net cash flow from operating
-- -- 423,450,466.89 2237.87%
activities (RMB Yuan)
Basic EPS (RMB Yuan/share) -0.30 -237.86% -0.27 -27.85%
Diluted EPS (RMB Yuan/share) -0.30 -237.86% -0.27 -27.85%
The weighted average ROE -6.37% -4.34% -5.79% -0.64%
Items and amounts of non-recurring gains and losses
√Applicable Inapplicable
Unit: RMB Yuan
Item Jan.-Sep. 2014 Explanation
Gains/losses on the disposal of non-current assets (including Gain/loss on disposal of fixed
126,944.11
the offset part of asset impairment provisions) assets
Government grants recognized in the current period, except 1,108,332.00 DHDZ Finance Bureau’s Industrial
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
for those acquired in the ordinary course of business or Rapid Growth contribution award;
granted at certain quotas or amounts according to the municipality finance bureau’s
country’s unified standards foreign trade award; Talents Plan
Capital in 2013 and deferred
revenue related to new factory land
use right
Other non-operating income and expenses other than the
-2,989.53 Others
above
Total 1,232,286.58 --
Explain the reasons if the Company classifies an item as a non-recurring gain/loss according to the definition in
the Explanatory Announcement No. 1 on Information Disclosure for Public Listed Companies – Non-recurring
Gains and Losses, or classifies any non-recurring gain/loss item mentioned in the said explanatory announcement
as a recurrent gain/loss item
Applicable √Inapplicable
In the report period, the Company didn’t classify any non-recurring gain/loss item defined or mentioned in the
Explanatory Announcement No. 1 on Information Disclosure for Public Listed Companies – Non-recurring Gains
and Losses as a recurrent gain/loss item.
II. Total number of shareholders at the period-end and shareholdings of the top ten
shareholders
1. Total number of shareholders with common shares and shareholdings of the top ten shareholders with
common shares at the period-end
Unit: share
Total number of shareholders with common shares at the period-end 7,688
Shareholdings of the top ten shareholders with common shares
Number of the Pledged or frozen shares
Shareholding Number of the
Name of shareholder Nature of shareholder non-tradable Status of Number of
percentage shares held
shares held shares shares
ALSTOM (CHINA) Domestic non-state-owned
51.00% 151,470,000 151,470,000
INVESTMENT CO., LTD corporation
WUHAN BOILER GROUP
State-owned corporation 6.91% 20,530,000 20,530,000
CO., LTD
WANG XIAO Domestic natural person 0.90% 2,672,800 0
CHEN PENG Domestic natural person 0.79% 2,331,545 0
HU ZHIHONG Domestic natural person 0.47% 1,390,397 0
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
CHINA MERCHANTS
SECURITIES (HK) CO., State-owned corporation 0.46% 1,380,236 0
LTD.
CHEN CHUYUN Domestic natural person 0.46% 1,372,450 0
HSBC BROKING
SECURITIES (ASIA) Foreign corporation 0.40% 1,195,114 0
LIMITED-CLIENTS A/C
ZHUANG CHANGXIONG Domestic natural person 0.35% 1,045,000 0
SUN WEIWEI Domestic natural person 0.33% 966,567 0
Shareholdings of the top ten shareholders with tradable shares
Number of tradable Type of shares
Name of shareholder
shares held Type Number
WANG XIAO 2,672,800 Domestically listed foreign shares 2,672,800
CHEN PENG 2,331,545 Domestically listed foreign shares 2,331,545
HU ZHIHONG 1,390,397 Domestically listed foreign shares 1,390,397
CHINA MERCHANTS
1,380,236 Domestically listed foreign shares 1,380,236
SECURITIES (HK) CO., LTD.
CHEN CHUYUN 1,372,450 Domestically listed foreign shares 1,372,450
HSBC BROKING SECURITIES
1,195,114 Domestically listed foreign shares 1,195,114
(ASIA) LIMITED-CLIENTS A/C
ZHUANG CHANGXIONG 1,045,000 Domestically listed foreign shares 1,045,000
SUN WEIWEI 966,567 Domestically listed foreign shares 966,567
GUOTAI JUNAN SECURITIES
926,997 Domestically listed foreign shares 926,997
(HONGKONG) LIMITED
QIN HUI 909,286 Domestically listed foreign shares 909,286
The top ten shareholders of the Company are public shareholders with tradable B shares.
Explanation on affiliated relationship The Company is not aware of whether there is any affiliated relationship among the top ten
or persons acting in concert among shareholders with tradable shares and whether there are persons acting in concert among
the above-mentioned shareholders them. The Company is not aware of whether there is any affiliated relationship among the
top ten shareholders and the top ten shareholders with tradable share.
Explanation on the top ten
shareholders with tradable shares
Inapplicable
participating in the margin trading
business (if any)
Whether the top 10 shareholders with common shares and the top 10 shareholders with tradable common shares of
the Company reach agreement of buy-back trading in the report period?
Yes √ No
No top 10 shareholders with common shares and top 10 shareholders with tradable common shares of the
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Company carried out any agreed buy-back trading in the report period.
2. Total number of shareholders with preferred shares and shareholdings of the top ten shareholders with
preferred shares at the period-end
Applicable √Inapplicable
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Section III Significant Events
I. Major changes of main accounting statement items and financial indicators in the report
period, as well as reasons for the changes
√Applicable Inapplicable
1. Cash and cash equivalent increased by 788.28%, mainly due to increase on down-payment collection from
Opole, Karabiga projects this period;
2. Notes receivable increased by 48.30%, mainly due to increase of bank notes collection this period;
3. Account receivables decreased by 84.40%, mainly due to collection of accounts receivables which were
booked in prior period;
4. Inventories decreased by 40.74%, it’s mainly due to increase on progress billing of construction contract, and
the inventories on construction contracts decreased accordingly;
5. Construction in progress increased by 155.31%, mainly due to construction of new workshop;
6. Deferred income tax assets increased by 43.85%, mainly due to the increase of the temporary deductible
differences resulted from contract loss provision and bad debt provision;
7. Other non-current assets decreased by 100%, mainly due to decrease of hedging loss for un-expired forward
contracts in this period;
8. Notes payable increased by 100%, mainly due to increase of payment with bank notes this period;
9. Accounts payable increased by 47.06%, mainly due to the increase of raw material purchasing for Yanbu and
Tai'an project this period;
10. Tax payable increased by 64.67%, mainly due to refunding of export tax rebate;
11. Interest payable decreased by 82.44%, mainly due to payment of interest which was booked in prior year;
12. Business tax and surcharges increased by 100%, mainly due to no taxable service took place in prior period;
13. Assets impairment loss increased by 518.39%, mainly due to the increase of bad-debt provision and project
loss provision this period;
14. Changes in fair value of net income increased by 58.15%, mainly due to decrease of the loss of the hedging
instruments and hedged items;
15. Non-operating income decreased by 59.56%, mainly due to the reduce of indemnity from vendors in the
report period;
16. Non-operating cost decreased by 94.24%, mainly due to the reduce of asset disposal in the report period;
17. Income tax expense decreased by 687.75%, mainly due to the increase of the temporary deductible
differences resulted from contract loss provision and bad debt provision;
18. Net cash flow generated from operating activities increased by 2237.87%, mainly due to increase of
down-payment collection on Opole, Karabiga projects this period;
19. Net cash flow generated from investment activities increased by 67.79%, mainly due to the decrease of cash
out paid for fixed assets this period;
20. Net cash flow generated from financing activities decreased by 420.65%, mainly due to the increase in
repayment of entrusted loans this period;
21. The influence of the changes of rate on cash increased by 83.41%, mainly due to the influences of the FX rate
changes this period.
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
II. Progress and influence of significant events, as well as the analysis and explanation on
solutions
√Applicable Inapplicable
1. Because the audited net profits and closing net assets for three consecutive accounting years of 2011, 2012 and
2013 are negative, Shenzhen Stock Exchange has decided to suspend the listing of the Company’s stock starting
from May 16, 2014 according to Article 14.1.1 and 14.1.2 of the Stock Listing Rules of Shenzhen Stock Exchange
(revised version 2012). The announcement of listing suspension decision was disclosed on Securities Times and
Ta Kung Pao on May 14, 2014 with No. 2014-049.
2. The Board of Directors has taken positive actions to improve operation, and has explored all possibilities to
prevent delisting risk. Three Shareholders’ Meetings were convened to approve the Debt-to-equity Conversion
Plan on November 23, 2012, December 17, 2012 and May 23, 2014 respectively. However, the Plan was not
approved by the Shareholders’ Meeting for 3 times.
3. The Company disclosed 2014 Interim Report on August 29, 2014. In the first half year of 2014, net profit
attributable to shareholders of the Company was RMB 8,214,639.10, net profit attributable to shareholders of the
Company after deducting non-recurring gains and losses was RMB 7,868,973.11 and net asset attributable to
shareholders of the Company was RMB -1,355,276,203.03.
4. From the year beginning to the end of the report period, net profit attributable to shareholders of the Company
was RMB -79,948,213.21, net profit attributable to shareholders of the Company after deducting non-recurring
gains and losses was -81,180,499.79 and net asset attributable to shareholders of the Company was RMB
-1,443,439,055.34.
5. In order to satisfy the criteria for resuming the listing of the Company’s stocks, pursuant to the Stocks Listing
Rules of Shenzhen Stock Exchange (revised version 2012), the Company’s financial data in the year of 2014 shall
satisfy, at least both of the below criteria: (i) net asset value as of the end of fiscal period shall be positive; and (ii)
net profit shall be positive before and after deducting non-recurring profit and loss. If the Company fails to meet
the requirements for listing resumption, the stock of the Company will be delisted according to Article 14.3.1 of
the Stock Listing Rules of Shenzhen Stock Exchange (revised version 2012). The Board of Directors hereby
reminds investors of investment risks.
6. Up till now, the Board of Directors estimate that it is very difficult for the Company to make profit in 2014
based on current financial situation and normal daily operation. The Board of Directors will make forecast of 2014
annual result and disclose it as early as possible, so as to remind investors of investment risks.
7. The Company continued to engage Ernst & Young (China) Advisory Limited, an independent third party, in
2014 to issue an analysis report on transfer pricing between the Company and its related parties in 2013. Since the
sales with related parties are mainly overseas orders (99.97% of the total sales with related parties in 2013), Ernst
& Young (China) believed that it was the best to adopt the transactional net margin method in checking the
transactions between WBC and its related parties and to adopt the full cost markup percentage in evaluating the
rational profit extent that WBC should have achieved from the sale to its related parties in 2013. The analysis
report concluded that: “From the perspective of transfer pricing in China, we are of the opinion that WBC’s sales
to its related parties in 2013 did not violate the arm’s length principle.”
8. On April 25, 2014, the 5th Meeting of the 6th Board of Directors approved the Investment Plan of United Building
3. On April 29, 2014, the Resolutions of the 5th Meeting of the 6th Board of Directors (No. 2014-036) and the
Investment Announcement of the Company (No. 2014-047) were published on Securities Times, Ta Kung Pao and
http://www.cninfo.com.cn. Up till now, the Company is going through formalities for United Building 3 project.
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
9. On August 29, 2014, WBC received a written notice from majority shareholder Alstom (China) Investment Co.,
Ltd. (“ACL”) that Alstom (a French listed company and WBC’s actual controller) recently announced that its Board
of Directors has unanimously decided to issue a positive recommendation of the offer from GE to acquire the
Thermal Power, Renewable Power and Grid Sectors and to enter into Energy alliances. Should this offer be
approved and completed, Alstom would focus on its fully owned Transport activities and on its Energy alliances
with GE. According to the latest information, the 51% WBC shares owned by ACL belong to assets of the Alstom
Thermal Power. Alstom expects the deal to be closed in the first half of calendar year 2015. Alstom and GE will
continue to operate as separate companies until the transaction is finalized. If the transaction can be approved by
Alstom shareholders and necessary anti-trust and other regulatory authorities, and can be completed within the
first half year of 2015, the actual controller of the Company may be changed. However, there is still uncertainty: if
the transaction cannot be approved by Alstom shareholders and necessary anti-trust and other regulatory
authorities, the actual controller of the Company will not be changed. Until now, no substantial progress regarding
this issue.
10. On Jun. 28, 2013, the Amendment of Articles of Association of Wuhan Boiler Company Limited (the “AOA
Amendment”) was reviewed and approved on 2012 Annual Shareholders’ Meeting of the Company. Main revision
is: Article 74 Shareholders shall issue separate and individual proxy for each shareholders’ meeting, and shall not
issue long-term proxy. A proxy shall not sub-authorize other person to attend the shareholders’ meeting or to
exercise the voting right. If a proxy, who is a shareholder of the Company, is entrusted by five or more than five
shareholders, he shall collect the voting rights openly and complete relevant procedures according to the
regulations related to voting rights collection of the Company. A proxy, who is not a shareholder of the Company,
shall not be entrusted by five or more than five shareholders of the Company. However, the Collector stipulated in
Article 88 shall be excluded. Article 88 The following organization or person is entitled to collect the voting rights
from shareholders of the Company to vote at shareholders’ meetings:(i) The Board of Directors;(ii) Independent
directors;(iii) Shareholders individually or jointly holding more than 1% shares of the Company. The Collector
shall engage lawyers or state notary authorities to provide legal opinions with respect to the qualification of the
Collector, collection plan, the form of power of attorney, validity and effectiveness of performance of the voting
rights collected and other related matters. The legal opinion or notarization shall be published together with the
report and the power of attorney in respect of the voting right collection in the media designated by the Company
to disclose information. Upon the requirement of Shenzhen Stock Exchange, AllBright Law Offices issued the
Legal Opinion on the AOA Amendment. In their opinion, the AOA Amendment did not violate any compulsory
provision of the existing laws and regulations, nor there was any legal basis to prove that the AOA Amendment
imposed improper restrictions on the legal rights and interests of minority shareholders. The full text of the Legal
Opinion was disclosed on http://www.cninfo.com.cn on Jun. 8, 2013. Minority shareholder Mr. Tan Zhenbiao
believed otherwise that the AOA Amendment restricted public shareholders from properly executing their civil
rights, infringed their legal rights and interests and therefore should be considered as an illegal resolution. On that
ground, he sued the Company before the Court of Wuhan East Lake New Technology Development Zone. In order
to further enhance the shareholder voting system of the Company and protect the lawful interests of shareholders,
Article 74 and 88 of the AOA have been amended according to the Opinions of the General Office of the State
Council on Further Protecting Lawful Rights and Interests of Medium and Small Investors in Capital Market
(Guobanfa [2013] No. 110). The AOA Amendment has been approved by the First Extraordinary Shareholders’
Meeting. The amended AOA was disclosed on the Securities Times, Ta Kung Pao and http://www.cninfo.com.cn
on May 22, 2014. In July 2014, the Court of Wuhan East Lake New Technology Development Zone made the
judgment that the claim of the Plaintiff Tan Zhenbiao was rejected after the trial.
11. In Sep. 2003, Dongfang Xiwang Baotou Xitu Aluminium Co., Ltd (“Baotou”) signed the Contract of
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
2×350MW Boilers with the Company. During executing the Contract, the Company fully implemented delivery
obligations according to the Contract, but Baotou defaulted on the payment. The Company required Baotou to pay
the overdue many times through various ways (including phone, fax and EMS), but Baotou claimed quality issues
against the Company and refused to pay. It also refused to solve the pending problems through amicable
negotiation with the Company. In May 2014, the Company sued Baotou before Inner Mongolia High Court,
requesting judgment against Baotou for paying overdue and undertaking liquidated damages and bank interests.
Relevant evidences were submitted to the Court. Until now, the Court has conducted conciliation and the case has
not been heard yet.
12. In Nov. 2001, Shenzhen Wangda Color Printing Packaging Co., LTD. signed a boiler supply contract with the
Company (Contract No. 2001D011). In Sep. 2003, both parties signed a supplementary agreement that Jiangsu
Wangda Paper Co., LTD. (“Jiangsu Wangda”) would perform rights and obligations of the Contract. In Feb. 2004,
after receiving the deposit RMB 4.61 million of the Contract, the Company organized design, manufacturing and
purchasing. In Nov. 2004, Jiangsu Wangda requested the Company to postpone delivery and stopped paying the
rest payments, which caused the project suspension till now. In Apr. 2011, Jiangsu Wangda sent a letter to the
Company, asking to cancel the Contract and return the deposit of RMB 4.61 million. However, some costs and
expenses were incurred during design, manufacturing and purchasing of the Company. The Company agreed to
terminate the Contract on the basis of no deposit return and sufficient compensation of losses. But Jiangsu
Wangda didn't agree. Because no consensus was achieved on contract termination, Jiangsu Wangda sued the
Company before Wuhan Intermediate Court, requesting to terminate the Contract and the Company to return
RMB 4.61 million and undertake interests since May 25, 2011. On Jun. 25, 2014, the Company was informed
during the hearing that Jiangsu Wangda has been in the bankruptcy process, decided by Changzhou Xinbei
District Court on Nov. 29, 2013, and an administrator was designated by the Court. The administrator requested to
terminate the Contract according to the Enterprise Bankruptcy Law. After the trial, Wuhan Intermediate Court
made the judgement as following: (1) the Contract is confirmed terminated; (2) the Company shall return the
deposit RMB 4.61 million to Jiangsu Wangda within 10 days since the rulings coming into effect; (3) reject other
claims of Jiangsu Wangda. Either party can submit the appeal petition to the Court to file an appeal within 15 days
after receipt of the judgment. This judgment is the result of first instance. The Company will file an appeal in time
and make information disclosure according to litigation progress.
Index to the relevant announcement disclosed on
Overview of the significant event Date of disclosure
the website
Offer from GE to acquire the Thermal Power, Renewable
Sep. 1, 2014 http://www.cninfo.com.cn (No. 2014-076)
Power and Grid Sectors of Alstom
Litigation raised by minority shareholder Tan Zhenbiao
Jul. 15, 2014 http://www.cninfo.com.cn (No. 2014-071)
against the Company to invalidate the AOA Amendment
Litigation raised by the Company against Baotou for
Aug. 6, 2014 http://www.cninfo.com.cn (No. 2014-073)
contract disputes
Litigation raised by Jiangsu Wangda against the Company
Oct. 21, 2014 http://www.cninfo.com.cn (No. 2014-082)
for contract disputes
III. Commitments made by the Company or shareholders holding over 5% shares of the
Company in the report period or such commitments carried down into the report period
√Applicable Inapplicable
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Commitment Time of making Period of
Commitment Contents Fulfillment
maker commitment commitment
Commitment on share reform － － － － －
Alstom (China) Strictly fulfill
Commitment in the acquisition report or Avoid horizontal Long-term
Investment Co., April 14, 2006 the commitment
the report on equity changes competition effective
Ltd and no breaches
Commitments made in assets
reorganization
－ － － － －
Commitments made in IPO or refinancing － － － － －
Other commitments made to minority
shareholders
－ － － － －
The commitment has been fulfilled in time
Yes
or not
IV. Forecast for 2014 annual operating results
Warnings of possible loss or considerable year-on-year change of the accumulated net profit made during the
period from the beginning of the year to the end of the next report period according to forecast, as well as
explanations on the reasons
√ Applicable Not applicable
Operation results warning: Loss
Amount from beginning of the year The amount of the same
changes
to the end of next report period period last year
Forecast accumulated net
-14,000.00 -- -7,000.00 -12,027.13 --
profit (in Ten thousand RMB)
Basic EPS (RMB Yuan/share) -0.47 -- -0.24 -0.40 --
Amount as of the end of next report The amount of the same
changes
period period last year
Owners’ equity attributable to
shareholders of the Company -150,349.00 -- -143,349.00 -136,349.08 --
(in Ten thousand RMB)
Loss of the annual operating result forecast is mainly due to less domestic order intake than
Reasons of the forecast expectation, financial expenses from shareholder entrusted loan, and bad-debt provision and project
loss provision.
V. Securities investment
Applicable √ Inapplicable
The Company did not invest in any securities in the report period.
Shareholdings in other listed companies
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
Applicable √ Inapplicable
The Company did not hold any shares in other listed companies in the report period.
VI. Derivatives investment
√Applicable Inapplicable
Unit: RMB Ten thousand
Proportion
of the
closing
Related Actual
Type of Initial Opening Impairment Closing investment
party Beginning Ending gain/loss
Operator Relation derivatives investment investment provision investment amount in
transaction date date in report
investment amount amount (if any) amount the
or not period
Company’s
closing net
assets (%)
Forward
Non- 2013-08- 2015-12
HSBC No FX 3,098.2 3,098.2 21,995.95 15.24% -8.25
Relation 27 -30
contract
Forward
Non- 2014-03- 2014-12
SCB No FX 2,997.54 2,997.54 8,056.42 5.58% 26.94
Relation 27 -26
contract
Total 6,095.74 -- -- 6,095.74 0 30,052.37 20.82% 18.69
Capital source for derivatives investment Self-funded
Any litigation involved None
Disclosure date of the board
announcement approving the derivative April 29, 2014
investment (if any)
Disclosure date of the Shareholders’
Meeting announcement approving the NA
derivative investment (if any)
In order to satisfy needs arising from business development and avoid risk concerning
exchange rates, the Company signed forward FX contracts with HSBC, SCB, etc.
respectively.
Analysis on risks and control measures of For exchange rate fluctuations risk, the company and banks do collaborative exchange
derivative products held in the report rate trend forecasts, closely track changes in exchange rates, changes in market conditions
period (including but not limited to to implement dynamic management; For liquidity risk, foreign exchange hedging
market risk, liquidity risk, credit risk, operations carried out by the company are based on the Company's estimated foreign
operation risk, law risk, etc.) exchange payments and collection of trade, because the foreign exchange hedging
operations match with the actual foreign exchange trade, so this can ensure sufficient fund
for settlement at delivery time, there is less affected on the liquidation of the company’s
current assets; For operational risk, the Company developed a standardized operational
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2014 Quarterly Three Report of Wuhan Boiler Company Limited
processes and authorization management systems, equipped with full-time staff and
strictly control their authority to conduct foreign exchange hedging operations; while
strengthening business related personnel training and professional ethics , and improving
quality of personnel, and the establishing anomalies timely reporting system to avoid the
occurrence of operational risk at the maximum; For credit risk, the Company's
counterparties of foreign exchange hedging are reputable business and the company has
established long-term business relationship with large commercial banks and foreign
banks, so, basically there is no performance risk; For legal risk, the Company conducted
foreign exchange hedging operations legally in accordance with relevant laws and
regulations and relevant transaction management practices, and signed a legal agreement
with the counterparties for clear and accurate terms to avoid possible legal disputes at the
maximum.
Changes of market prices or fair values in
The company recognized the gain and loss of fair values of the invested derivatives, the
the report period of the invested
fair values gain of the invested derivatives this period was 0.19MRMB, the calculation of
derivatives. And the analysis on the fair
fair values was based on the contract values and forward rate quote of end of this
value of the derivatives should include the
accounting period provided by the related business partners which was accordance with
specific use methods and the relevant
the expiry date of each forward contracts.
assumptions and parameters.
Whether significant changes occurred to
the Company’s accounting policy and
specific accounting principles of No major change
derivatives in the report period compared
to the previous report period
Independent Directors expressed independent opinions on 2014 Hedging Derivative
Investments Estimation as below: The foreign exchange trading for hedging purpose made
by the Company in order to prevent exchange rate risk is based on reasonable estimation
and current need for foreign exchange payment and collection. The business process is
Independent Directors’ opinions on compliant with laws and regulations. There is almost no market risk, no performance risk
derivatives investment and risk control and no impact on liquidity of the Company. The Company has established organization,
business procedures, approval process and Internal Control Rules on Derivatives
Investment for foreign exchange trading. We think the Company can improve foreign
exchange risk management and prevent exchange rate risk through derivatives investment
business.
VII. Researches, visits and interviews received in this report period
√Applicable Inapplicable
Main discussion and materials
Time of reception Place of reception Way of reception Visitor type Visitor
provided by the Company
Would the Company organize
Shareholder with another debt-to-equity voting? Would
Jul. 16, 2014 Wuhan By phone Individual
tradable shares the stock trading be resumed
successfully?
13
2014 Quarterly Three Report of Wuhan Boiler Company Limited
The Company made profit in the first
half of the year. Would the operating
Shareholder with
Sep. 23, 2014 Wuhan By phone Individual results for the whole year turn out
tradable shares
good? Would the stock trading be
resumed successfully?
VIII. Impact on company consolidation financial statement from new or revised accounting
standards
Applicable √ Inapplicable
IX. The confirmative opinion of all the Board Directors and Senior Management on
recognition of 2014 Quarterly Three Report
According to Article 68 of the Securities Law, all the Board Director and Senior Management of the Company
hereby confirm that 2014 Quarterly Three Report of the Company is authentic, accurate and complete without any
misstatement, misleading statement or material omission.
X. The opinion of the Board of Supervisors on 2014 Quarterly Three Report
After review, the Board of Supervisors is of the opinion that the procedure for the Board of Directors to prepare
and approve 2014 Quarterly Three Report is in accordance with laws, regulations and rules of China Securities
Regulatory Commission. The contents of 2014 Quarterly Three Report, truly, accurately and completely, reflect
real situation of the Company and there are no misstatements, misleading statements or material omissions.
14
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Section IV. Financial Statements
I. Financial statements
1. Consolidated balance sheet
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Closing balance Opening balance
Current assets:
Monetary funds 89,848,819.35 10,114,897.11
Deposit reservation for balance
Outgoing call loans
Financial assets measured at fair
value and of which the changes are
recorded into the current gains and
losses
Notes receivable 22,245,380.00 15,000,000.00
Accounts receivable 34,541,537.41 221,376,068.36
Prepayment 68,451,597.05 66,353,048.93
Insurance receivables
Reinsurance receivables
Provision of reinsurance contract
reserve receivable
Interest receivable
Dividend receivable
Other receivables 59,936,523.01 58,418,447.82
Financial assets purchased under
agreement to resell
Inventories 79,655,967.75 134,413,065.46
Assets held for sale
Non-current assets due within 1-year
Other current assets
Total current assets 354,679,824.57 505,675,527.68
Non-current assets ：
15
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Loan and payment on other’s behalf
disbursed
Available-for-sale financial assets
Investment held to maturity
Long-term receivables
Long-term equity investment
Investment property
Fixed assets 681,526,740.08 705,316,090.85
Construction in progress 5,731,869.18 2,245,077.87
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 70,035,063.83 73,865,912.61
R&D expenses
Goodwill
Long-term deferred expenses
Deferred income tax assets 75,567,570.74 52,533,127.61
Other non-current assets 12,137.16
Total non-current assets 832,861,243.83 833,972,346.10
Total assets 1,187,541,068.40 1,339,647,873.78
Current liabilities:
Short-term loans 1,370,000,000.00 1,629,200,000.00
Loans from central bank
Deposits received and held for others
Call loans received
Financial liabilities measured at fair
value and of which the changes are
recorded into the current gains and
losses
Notes payable 64,900,000.00
Accounts payable 284,999,816.14 193,795,670.01
Advance from customers 835,228,720.46 803,079,341.99
Financial assets sold under
agreements to repurchase
16
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Fees and commissions payable
Payroll payable 42,689,201.63 47,064,533.78
Taxes payable -10,600,718.11 -30,001,780.39
Interest payable 2,156,100.00 12,276,456.15
Dividend payable 562,000.00 562,000.00
Other payables 35,891,415.11 41,329,411.60
Amount due to reinsurance
Insurance contract provision
Entrusted trading of securities
Amount payable under security
underwriting
Liabilities held for sale
Non-current liabilities due within
1-year
Other current liabilities
Total current liabilities: 2,625,826,535.23 2,697,305,633.14
Non-current liabilities:
Long-term loans
Bonds payable
Long-term payables
Specific payables
Provision for liabilities
Deferred income tax liabilities
Other non-current liabilities 4,931,509.05 5,051,752.88
Total non-current liabilities : 4,931,509.05 5,051,752.88
Total liabilities 2,630,758,044.28 2,702,357,386.02
Owners’ equity (or shareholders’
equity)
Paid-in capital (or share capital) 297,000,000.00 297,000,000.00
Capital reserve 174,659,407.46 174,659,407.46
Less ： Treasury Stock
Specific reserve
Surplus reserve 39,418,356.83 39,418,356.83
General risk provision
Retained earnings -1,954,516,819.63 -1,874,568,606.42
17
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Total owners’ equity attributable to
-1,443,439,055.34 -1,363,490,842.13
the Company
Minority interests 222,079.46 781,329.89
Total owners’ (or shareholders’) equity -1,443,216,975.88 -1,362,709,512.24
Total liabilities & owners’ (or
1,187,541,068.40 1,339,647,873.78
shareholders’) equity
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
2. Balance sheet of the Company
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Closing balance Opening balance
Current assets:
Monetary funds 88,157,686.14 8,554,186.69
Financial assets measured at fair
value and of which the changes are
recorded into the current gains and
losses
Notes receivable 22,245,380.00 15,000,000.00
Accounts receivable 34,541,537.41 220,742,468.36
Prepayment 68,451,597.05 66,353,048.93
Interest receivable
Dividend receivable
Other receivables 60,410,062.60 58,771,441.37
Inventories 79,655,967.75 134,413,065.46
Assets held for sale
Non-current assets due within 1-year
Other current assets
Total current assets 353,462,230.95 503,834,210.81
Non-current assets ：
Available-for-sale financial assets
Investment held to maturity
Long-term receivables
18
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Long-term equity investment 24,984,500.00 24,984,500.00
Investment property
Fixed assets 681,683,717.07 705,473,067.84
Construction in progress 5,731,869.18 2,245,077.87
Engineering materials
Disposal of fixed assets
Production biological assets
Oil-gas assets
Intangible assets 70,035,063.83 73,865,912.61
R&D expenses
Goodwill
Long-term deferred expenses
Deferred income tax assets 75,567,570.74 52,533,127.61
Other non-current assets 12,137.16
Total non-current assets 858,002,720.82 859,113,823.09
Total assets 1,211,464,951.77 1,362,948,033.90
Current liabilities:
Short-term loans 1,370,000,000.00 1,629,200,000.00
Financial liabilities measured at fair
value and of which the changes are
recorded into the current gains and
losses
Notes payable 64,900,000.00
Accounts payable 285,435,816.14 194,231,670.01
Advance from customers 835,228,720.46 803,079,341.99
Payroll payable 42,519,605.65 46,894,937.80
Taxes payable -10,600,718.11 -30,001,780.39
Interest payable 2,156,100.00 12,276,456.15
dividend payable
Other payables 73,769,073.53 79,014,270.02
Liabilities held for sale
Non-current liabilities due within
1-year
Other current liabilities
Total current liabilities: 2,663,408,597.67 2,734,694,895.58
19
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Non-current liabilities:
Long-term loans
Bonds payable
Long-term payables
Specific payables
Provision for liabilities
Deferred income tax liabilities
Other non-current liabilities 4,931,509.05 5,051,752.88
Total non-current liabilities : 4,931,509.05 5,051,752.88
Total liabilities 2,668,340,106.72 2,739,746,648.46
Owners’ equity (or shareholders’
equity)
Paid-in capital (or share capital) 297,000,000.00 297,000,000.00
Capital reserve 174,854,304.12 174,854,304.12
Less ： Treasury Stock
Specific reserve
Surplus reserve 39,418,356.83 39,418,356.83
Preparation for ordinary risks
Retained earnings -1,968,147,815.90 -1,888,071,275.51
Total owners’ (or shareholders’) equity -1,456,875,154.95 -1,376,798,614.56
Total liabilities & owners’ (or
1,211,464,951.77 1,362,948,033.90
shareholders’) equity
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
3. Consolidated income statement for the report period
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Jul.-Sept. 2014 Jul.-Sept. 2013
I. Total sales 184,927,280.14 183,758,384.36
Including: Sales 184,927,280.14 183,758,384.36
Interest income
Earned Premium
Commissions and fees
20
2014 Quarterly Three Report of Wuhan Boiler Company Limited
income
II. Total cost of sales 298,006,960.95 209,619,512.78
Including: Cost of sales 174,253,719.87 175,851,418.41
Interest expense
Commissions and fees
Cash surrender value
Claim expenses-net
Provision for insurance
contract reserves-net
Insurance policy dividend paid
Reinsurance expense
Business taxes and surcharges
Distribution expenses 4,704,653.52 3,661,096.90
Administrative expenses 7,307,431.61 7,908,532.97
Financial costs 24,662,171.49 26,914,163.56
Impairment loss 87,078,984.46 -4,715,699.06
Add: gain/(loss) from change in fair
284,232.63 455,805.09
value (“-” means loss)
Gain/(loss) from investment
(“-” means loss)
Including: income from
investment on associates and joint
ventures
Foreign exchange difference
(“-” means loss)
III. Business profit (“-” means loss) -112,795,448.18 -25,405,323.33
Add: non-business income 886,620.59 145,022.03
Less: non-business expense 10,175.34
Including: loss from non-current
asset disposal
IV. Total profit (“-” means loss) -111,908,827.59 -25,270,476.64
Less: income tax expense -23,209,404.96 815,726.56
V. Net profit (“-” means loss) -88,699,422.63 -26,086,203.20
Including: net profit achieved by the
merged parties before business mergers
Attributable to owners of the -88,162,852.31 -26,094,844.19
21
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Company
Minority shareholders’ income -536,570.32 8,640.99
VI. Earnings per share -- --
(I) Basic earnings per share -0.30 -0.09
(II) Diluted earnings per share -0.30 -0.09
VII. Other comprehensive income
Including: Other comprehensive income
items that cannot be reclassified as
gains or losses in the subsequent
accounting periods
Other comprehensive income items
that will be reclassified as gains or
losses in the subsequent accounting
periods as relevant requirements are
met
VIII. Total comprehensive income -88,699,422.63 -26,086,203.20
Attributable to owners of the
-88,162,852.31 -26,094,844.19
Company
Attributable to minority
-536,570.32 8,640.99
shareholders
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
4. Income statement of the Company for the report period
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Jul.-Sept. 2014 Jul.-Sept. 2013
I. Total sales 184,927,280.14 183,758,384.36
Less: Cost of sales 174,253,719.87 175,851,418.41
Business taxes and surcharges
Distribution expenses 4,704,653.52 3,661,096.90
Administrative expenses 7,251,185.12 7,878,944.85
Financial costs 24,663,761.36 26,915,666.14
Impairment loss 87,153,843.41 -4,509,699.06
Add: gain/(loss) from change in fair 284,232.63 455,805.09
22
2014 Quarterly Three Report of Wuhan Boiler Company Limited
value (“-” means loss)
Gain/(loss) from investment (“-”
means loss)
Including: income from investment
on associates and joint ventures
Ⅱ . Business profit (“-” means loss) -112,815,650.51 -25,583,237.79
Add: non-business income 886,620.59 145,022.03
Less: non-business expense 5,081.00
Including: loss from non-current
asset disposal
Ⅲ . Total profit (“-” means loss) -111,929,029.92 -25,443,296.76
Less: income tax expense -23,209,404.96 815,726.56
Ⅳ . Net profit (“-” means loss) -88,719,624.96 -26,259,023.32
Ⅴ . Earnings per share -- --
(I) Basic earnings per share -0.30 -0.09
(II) Diluted earnings per share -0.30 -0.09
VI. Other comprehensive income
Including: Other comprehensive income
items that cannot be reclassified as
gains or losses in the subsequent
accounting periods
Other comprehensive income items
that will be reclassified as gains or
losses in the subsequent accounting
periods as relevant requirements are
met
VII. Total comprehensive income -88,719,624.96 -26,259,023.32
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
5. Consolidated income statement for Jan.-Sept. 2014
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Total sales 681,825,439.66 646,039,491.11
23
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Including: Sales 681,825,439.66 646,039,491.11
Interest income
Earned Premium
Commissions and fees
income
II. Total cost of sales 785,724,303.54 705,541,287.04
Including: Cost of sales 607,082,371.24 625,391,472.31
Interest expense
Commissions and fees
Cash surrender value
Claim expenses-net
Provision for insurance
contract reserves-net
Insurance policy dividend paid
Reinsurance expense
Business taxes and surcharges 6,820.58
Distribution expenses 12,366,623.58 10,121,944.10
Administrative expenses 20,533,081.15 20,968,024.67
Financial costs 70,196,285.14 67,114,356.66
Impairment loss 75,539,121.85 -18,054,510.70
Add: gain/(loss) from change in fair
-875,329.47 -2,091,490.37
value (“-” means loss)
Gain/(loss) from investment
(“-” means loss)
Including: income from
investment on associates and joint
ventures
Foreign exchange difference
(“-” means loss)
III. Business profit (“-” means loss) -104,774,193.35 -61,593,286.30
Add: non-business income 1,236,830.69 3,058,188.78
Less: non-business expense 4,544.11 78,909.55
Including: loss from non-current
67,734.21
asset disposal
IV. Total profit (“-” means loss) -103,541,906.77 -58,614,007.07
Less: income tax expense -23,034,443.13 3,919,100.95
24
2014 Quarterly Three Report of Wuhan Boiler Company Limited
V. Net profit (“-” means loss) -80,507,463.64 -62,533,108.02
Including: net profit achieved by the
merged parties before business mergers
Attributable to owners of the
-79,948,213.21 -62,533,731.21
Company
Minority shareholders’ income -559,250.43 623.19
VI. Earnings per share -- --
(I) Basic earnings per share -0.27 -0.21
(II) Diluted earnings per share -0.27 -0.21
VII. Other comprehensive income
Including: Other comprehensive income
items that cannot be reclassified as
gains or losses in the subsequent
accounting periods
Other comprehensive income items
that will be reclassified as gains or
losses in the subsequent accounting
periods as relevant requirements are
met
VIII. Total comprehensive income -80,507,463.64 -62,533,108.02
Attributable to owners of the
-79,948,213.21 -62,533,731.21
Company
Attributable to minority
-559,250.43 623.19
shareholders
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
6. Income statement of the Company for Jan.-Sept. 2014
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
I. Total sales 681,825,439.66 646,039,491.11
Less: Cost of sales 607,082,371.24 625,391,472.31
Business taxes and surcharges 6,820.58
Distribution expenses 12,366,623.58 10,121,944.10
Administrative expenses 20,410,282.48 20,931,721.74
25
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Financial costs 70,200,624.74 67,118,553.69
Impairment loss 75,226,657.67 -18,004,846.36
Add: gain/(loss) from change in fair
-875,329.47 -2,091,490.37
value (“-” means loss)
Gain/(loss) from investment (“-”
means loss)
Including: income from investment
on associates and joint ventures
Ⅱ . Business profit (“-” means loss) -104,343,270.10 -61,610,844.74
Add: non-business income 1,236,830.69 3,058,188.78
Less: non-business expense 4,544.11 73,815.21
Including: loss from non-current
67,734.21
asset disposal
Ⅲ . Total profit (“-” means loss) -103,110,983.52 -58,626,471.17
Less: income tax expense -23,034,443.13 3,919,100.95
Ⅳ . Net profit (“-” means loss) -80,076,540.39 -62,545,572.12
Ⅴ . Earnings per share -- --
(I) Basic earnings per share -0.27 -0.21
(II) Diluted earnings per share -0.27 -0.21
VI. Other comprehensive income
Including: Other comprehensive income
items that cannot be reclassified as
gains or losses in the subsequent
accounting periods
Other comprehensive income items
that will be reclassified as gains or
losses in the subsequent accounting
periods as relevant requirements are
met
VII. Total comprehensive income -80,076,540.39 -62,545,572.12
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
7. Consolidated cash flow statement for Jan.-Sept. 2014
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
26
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Item Jan.-Sept. 2014 Jan.-Sept. 2013
1. Cash flows from operating activities
Cash received from sales of goods
828,025,249.47 450,824,601.80
or rending of services
Net increase of deposits received
and held for others
Net increase of loans from central
bank
Net increase of inter-bank loans
from other financial institutions
Cash received against original
insurance contracts
Cash received from reinsurance
Net increase of client deposit and
investment
Net increase of disposal of
held-for-trading financial assets
Cash received as interest, fees and
commissions
Net increase of inter-bank fund
received
Net increase of cash received
under repurchasing
Tax returned 26,186,725.95 83,030,580.43
Other cash received from operating
2,380,073.90 2,080,000.00
activities
Sub-total of cash inflow from operating
856,592,049.32 535,935,182.23
activities
Cash paid for goods and services 254,614,312.86 372,087,519.59
Net increase of loans and advances
Net increase of deposit in central
bank, banks and other financial
institutions
Cash paid for original contract
claim
Cash paid for interest, fees and
commissions
Cash paid for policy dividend
27
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Cash paid to and for employees 130,195,276.80 126,584,746.39
Cash paid for all types of taxes 9,525,944.55 6,245,378.10
Other cash paid relating to
38,806,048.22 50,824,661.14
operating activities
Sub-total of cash outflows from 433,141,582.43
555,742,305.22
operating activities
Net cash flows from operating activities 423,450,466.89 -19,807,122.99
2. Cash flows from investing activities
Cash received from retraction of
investment
Cash received from investment
income
Net cash received from disposal of
fixed assets, intangible assets and other 251,437.31 564,650.00
long-term assets
Net cash received from disposal of
subsidiaries and other operating units
Other cash received relating to
1,417,606.10 192,335.43
investing activities
Sub-total of cash inflows of investing
1,669,043.41 756,985.43
activities
Cash paid for acquisition of fixed
assets, intangible assets and other 5,385,015.97 16,855,476.65
long-term assets
Cash paid for acquisition of
investments
Net increase of pledge loans
Net cash paid for acquisition of
subsidiaries and other operating units
Other cash paid relating to
1,615,047.74 451,467.95
investing activities
Sub-total of cash outflows of investing
7,000,063.71 17,306,944.60
activities
Net cash flow from investing activities -5,331,020.30 -16,549,959.17
3. Cash flows from financing activities
Cash received from investment
Including: cash received from
minority shareholders of subsidiaries
28
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Cash received from borrowings 1,044,800,000.00 862,000,000.00
Cash received from bonds issuing
Other cash received relating to
financing activities
Sub-total of cash inflows of financing
1,044,800,000.00 862,000,000.00
activities
Cash paid for repayment of
1,304,000,000.00 862,600,000.00
borrowings
Cash paid for dividends, profit
78,906,216.93 64,339,050.00
distribution or interest
Including: dividends or profits paid
to minority shareholders by subsidiaries
Other cash paid relating to
financing activities
Sub-total of cash outflows of financing
1,382,906,216.93 926,939,050.00
activities
Net cash flow from financing activities -338,106,216.93 -64,939,050.00
4. Effect of foreign exchange rate
-279,515.67 -1,684,965.68
changes on cash and cash equivalents
5. Net increase in cash and cash
79,733,713.99 -102,981,097.84
equivalents
Add: cash and cash equivalents at
8,283,224.28 131,071,052.35
the beginning of this period
6. Cash and cash equivalents at the end
88,016,938.27 28,089,954.51
of this period
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
8. Cash flow statement of the Company for Jan.-Sept. 2014
Prepared by Wuhan Boiler Company Limited
Unit: RMB Yuan
Item Jan.-Sept. 2014 Jan.-Sept. 2013
1. Cash flows from operating activities
Cash received from sales of goods
827,898,889.04 450,804,601.80
or rending of services
Tax returned 26,186,725.95 83,030,580.43
Other cash received from operating 2,380,073.90 2,080,000.00
29
2014 Quarterly Three Report of Wuhan Boiler Company Limited
activities
Sub-total of cash inflow from operating
856,465,688.89 535,915,182.23
activities
Cash paid for goods and services 254,614,312.86 372,087,519.59
Cash paid to and for employees 130,195,276.80 126,584,746.39
Cash paid for all types of taxes 9,525,944.55 6,245,378.10
Other cash paid relating to
38,805,556.98 50,824,661.14
operating activities
Sub-total of cash outflows from 433,141,091.19
555,742,305.22
operating activities
Net cash flows from operating activities 423,324,597.70 -19,827,122.99
2. Cash flows from investing activities
Cash received from retraction of
investment
Cash received from investment
income
Net cash received from disposal of
fixed assets, intangible assets and other 251,437.31 564,650.00
long-term assets
Net cash received from disposal of
subsidiaries and other operating units
Other cash received relating to
1,413,022.50 187,804.40
investing activities
Sub-total of cash inflows of investing
1,664,459.81 752,454.40
activities
Cash paid for acquisition of fixed
assets, intangible assets and other 5,385,015.97 16,855,476.65
long-term assets
Cash paid for acquisition of
investments
Net cash paid for acquisition of
subsidiaries and other operating units
Other cash paid relating to
1,615,017.74 451,133.95
investing activities
Sub-total of cash outflows of investing
7,000,033.71 17,306,610.60
activities
Net cash flow from investing activities -5,335,573.90 -16,554,156.20
3. Cash flows from financing activities
30
2014 Quarterly Three Report of Wuhan Boiler Company Limited
Cash received from investment
Cash received from borrowings 1,044,800,000.00 862,000,000.00
Cash received from issuing bonds
Other cash received relating to
financing activities
Sub-total of cash inflows of financing
1,044,800,000.00 862,000,000.00
activities
Cash paid for repayment of
1,304,000,000.00 862,600,000.00
borrowings
Cash paid for dividends, profit
78,906,216.93 64,339,050.00
distribution or interest
Other cash paid relating to
financing activities
Sub-total of cash outflows of financing
1,382,906,216.93 926,939,050.00
activities
Net cash flow from financing activities -338,106,216.93 -64,939,050.00
4. Effect of foreign exchange rate
-279,515.67 -1,684,965.68
changes on cash and cash equivalents
5. Net increase in cash and cash
79,603,291.20 -103,005,294.87
equivalents
Add: cash and cash equivalents at
6,722,513.86 129,536,056.34
the beginning of this period
6. Cash and cash equivalents at the end
86,325,805.06 26,530,761.47
of this period
Legal representative: YEUNG Kwok Wei Richard Person-in-charge of the accounting work: CHIN Wee Hua
Chief of the accounting division: LI Yihao
II. Audit report
Is this report audited?
□ Yes √ No
This report is not audited.
31
