杭汽轮机股份有限公司 2015 年半年度报告 Stock code:200771 Stock ID:Hangqilun B Announcement No.2015-73 Hangzhou Steam Turbine Co., Ltd. The 3rd Quarterly Report 2015(Text) 1 Important notes The Board of Directors,the Supervisory Committee, the directors, the supervisors, and executives of the Company guarantee that there are no significant omissions, fictitious or misleading statements carried in the Quarterly Report and we will accept individual and joint responsibilities for the truthfulness, accuracy and completeness of the Quarterly Report. All of the directors presented the board meeting at which this Quarterly Report was examined. Mr. Zheng Bin, The Company Leader, Mr. Pu Yangshuo, Chief financial officer and the Mr.Zhao Jiamao, the person in charge of the accounting department (the person in charge of the accounting )hereby confirm the authenticity and completeness of the financial report enclosed in the report. II.Main financial data and changes of shareholders (1)Main accounting data and financial Index Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed and accounting error correction or not. No As at the end of the As at the end of last Changed (%)over end of prev. year reporting period year 1 杭汽轮机股份有限公司 2015 年半年度报告 Gross assets(RMB) 7,878,473,837.07 7,552,058,947.02 4.32% Net assets attributable to the shareholders of the listed company 4,285,742,488.14 4,450,598,244.32 -3.70% (RMB) Increase/decrease Between beginning over the same of the year to the Changed (%)over Reporting period period of last year end of the report end of prev. year (%) period Operating income(RMB) 493,672,866.88 -30.13% 1,548,669,193.12 -36.79% Net profit attributable to the shareholders of the listed company -78,993,858.42 -546.97% -89,276,191.74 -148.53% (RMB) Net profit after deducting of non-recurring gain/loss attributable to -88,136,672.99 -457.27% -110,300,713.34 -166.61% the shareholders of listed company (RMB) Cash flow generated by business -- -- 275,609,830.02 30.76% operation, net(RMB) Basic earning per share(RMB/Share) -0.105 -546.97% -0.118 -148.36% Diluted gains per -0.105 -546.97% -0.118 -148.36% share(RMB/Share)(RMB/Share) Weighted average income/asset ratio -1.83% -1.54% -2.04% -6.35% (%) Items and amount of non-current gains and losses In RMB Amount (Year-beginning to the Items Notes end of the report period.) Non-current asset disposal gain/loss(including the write-off part for which assets -321,207.57 impairment provision is made) Govemment subsidy recognized in current gain and loss(excluding those closely 9,525,674.00 related to the Company’s business and granted under the state’s policies) Gain/loss from change of fair value of transactional financial asset and liabilities, and investment gains from disposal of transactional financial assets and liabilities 13,493,718.06 and sellable financial assets other than valid period value instruments related to the Company’s common businesses Other non-business income and expenditures other than the above 6,641,505.10 Less:Amount of influence of income tax 5,396,149.24 Influence on minority shareholders’ equity (after tax) 2,919,018.75 2 杭汽轮机股份有限公司 2015 年半年度报告 Total 21,024,521.60 -- None of non-recurring gain/loss items recognized as recurring gain/loss items as defined by the Information Disclosure Explanatory Announcement No.1 – Non-recurring gain/loss in the report period. (II) Total number of shareholders and shareholding of top 10 shareholders by the end of the report period (1) Total number of common shareholders and shareholding of top 10 common shareholders by the end of the report period In Shares Total number of shareholders at the end of 15,540 report period Particular about shares held by top ten shareholders Amount of Pledging or Share tradable freezing Properties of Shareholder name proport Quantity shares with shareholder Status of Quan ion % Conditional the shares tity held State-owned Hangzhou Steam Turbine Power Group Co., Ltd. 63.64% 479,824,800 479,824,800 legal person Foreign Legal GUOTAI JUNAN SECURITIES(HONGKONG) LIMITED 1.89% 14,284,477 0 person Foreign Legal First Shanghai Securities Co., Ltd. 0.68% 5,095,921 0 person Foreign Legal NORGES BANK 0.57% 4,303,675 0 person CHINA INT'L CAPITAL CORP HONG KONG SECURITIES Foreign Legal 0.41% 3,066,768 0 LTD person Foreign Legal GIC PRIVATE LIMITED 0.35% 2,665,330 0 person VANGUARD TOTAL INTERNATIONAL STOCK INDEX Foreign Legal 0.30% 2,286,336 0 FUND person BOCHK INVESTMENT FUNDS-BOCHK CHINA GOLDEN Foreign Legal 0.30% 2,273,227 0 DRAGON FUND person Foreign Legal AUSTRALIANSUPER PTY LTD 0.28% 2,108,321 0 person Domestic Xia Zulin natural person 0.28% 2,100,000 0 shares Shareholding of top 10 shareholders of unrestricted shares Quantity of Share type Name of the shareholder unrestricted shares Share type Quantity held at the end of 3 杭汽轮机股份有限公司 2015 年半年度报告 the reporting period Foreign shares placed in GUOTAI JUNAN SECURITIES(HONGKONG) LIMITED 14,284,477 14,284,477 domestic exchange Foreign shares placed in First Shanghai Securities Co., Ltd. 5,095,921 5,095,921 domestic exchange Foreign shares placed in NORGES BANK 4,303,675 4,303,675 domestic exchange CHINA INT'L CAPITAL CORP HONG KONG SECURITIES Foreign shares placed in 3,066,768 3,066,768 LTD domestic exchange Foreign shares placed in GIC PRIVATE LIMITED 2,665,330 2,665,330 domestic exchange Foreign shares placed in VANGUARD TOTAL INTERNATIONAL STOCK INDEX FUND 2,286,336 2,286,336 domestic exchange BOCHK INVESTMENT FUNDS-BOCHK CHINA GOLDEN Foreign shares placed in 2,273,227 2,273,227 DRAGON FUND domestic exchange Foreign shares placed in AUSTRALIANSUPER PTY LTD 2,108,321 2,018,321 domestic exchange Foreign shares placed in Xia Zulin 2,100,000 2,100,000 domestic exchange Foreign shares placed in Taifook Securities Company Limited-Account Client 1,753,655 1,753,655 domestic exchange (1) It is unknown whether there is any relationship among the 10 unrestricted current-share holders. (2) None of other Explanation on associated relationship among the aforesaid shareholders shareholders is acting-in-concert as described by Administration Rules of Information Disclosure on Change of Shareholding Position. No agreed repurchasing trade by shareholders in the report period 2. Total of shareholders and top-10 preferential shareholders at end of the report period: Not applicable III Significant Events I. Particulars and causations of material change in major accounting items and indices. Balance sheet items End of term Beginning of term Scale of Remarks on the change change Inventories 2,238,230,893.16 1,594,074,228.69 40.41% Mainly caused by the increase of pause and delay of the headquarters’ delivery unit. Account payables 1,011,671,506.98 763,085,718.92 32.58% Mainly caused by the increase of payables for the headquarters’ major accessories. Tax payable 17,666,778.67 126,091,260.73 -85.99% Mainly caused by the decrease of the current sales, which brought in decrease of related tax expense accordingly Income statement items End of term Same period of last Scale of Remarks on the change term change 4 杭汽轮机股份有限公司 2015 年半年度报告 Operation income 1,548,669,193.12 2,449,907,171.38 -36.79% Mainly caused by the recession in the whole equipment manufacturing industry, which brought in a falling in the company’s sales performance Operation cost 998,351,747.61 1,501,106,574.52 -33.49% Mainly caused by the decrease of sales income, which brought in decrease of sales cost accordingly Financial expenses 3,734,964.80 13,514,406.60 -72.36% Mainly caused by decrease of the current average bank loan balance, which brought in decrease of related interest expense accordingly Income tax expenses 11,535,844.37 41,577,702.02 -72.25% Mainly caused by the falling of the current profit, which brought in decrease of income tax expense accordingly Asset impairment loss 67,120,657.09 107,639,925.91 -37.64% Mainly caused by the accounting estimate of the current changes in the bad-debt provision of receivables Cash Flow statement items End of term Same period of last Scale of Remarks on the change term change Net cash flow generated by -123,207,589.47 -239,012,783.71 -48.45% Mainly caused by the current purchase of investment financial products decreased year on year Net cash flow generated by -129,049,862.51 -406,522,951.44 -68.26% Mainly caused by the repayment to the financing bank loan and the dividend distribution Net increasing of cash and cash 26,366,068.26 -434,376,078.12 -106.07% Mainly caused by the increase of net cash equivalents flow generated by the current investment and financing activity II. The progress of significant events and influence, as well as the analysis and explanation on resolving proposal. For Hangzhou Steam Turbine Group, the holding shareholder of the Company, is according with the unified deployment of Hangzhou State-owned Asset Commission, the Company is arranging Turbine Group Mixed Ownership Reform. This reform may bring in significant adjustments and changes to the holding shareholders and shareholding structure of Turbine Group which closely relates to the Company. During the suspending period, the Company will fulfill the obligation of disclosing information according to the reform progress and relevant provisions. Description of the website for disclosing Overview of material matters Date of disclosing provisional announcements For Hangzhou Steam Turbine Group, http://www.cninfo.com.cn (2015-33)、 the holding shareholder of the May 29,June 5, June 12, June 19, June 26, July 3, July (2015-34)、(2015-36)、(2015-37)、 (2015-38)、 Company, is arranging Turbine Group 10,July 17,July 24, July 31,August 7, August 14,August (2015-39)、(2015-40)、(2015-42)、(2015-43)、 Mixed Ownership Reform, and after 21,August 28,September 8,September 15,September 22 2015-44)、 (2015-45)、(2015-46)、 (2015-47)、 the Company’s application to and September 29. (2015-62)、(2015-63)、(2015-64)、(2015-65)、 Shenzhen Stock Exchange, the (2015-66) 5 杭汽轮机股份有限公司 2015 年半年度报告 Company’s shares suspended trading as of May 29, 2015. III.The commitments of the Company and its shareholders holding over 5% of the Company’s total shares in the report year of extending to the report year from previous year. IV.Prediction of Business performance for 2015. According to the financial condition and production management achievement of the first three quarters and the estimation of the fourth quarter’s operation performance, the net profit attributable to listed company’s shareholders of the Company of 2015 is expected to be loss. Investors please be aware of the investment risks. For annual performance changes of 2015, investors please follow the related announcements of performance projection of 2015 annual reports published by the Company during the period of statutory disclosure. V. The Company did not have any security investments during the reporting period. VI. The Company did not hold any equity interests in other listed companies as at the end of the reporting period VII.The Company did not hold any derivative investments during the reporting period. VIII. Reception of investigation, communication, or visiting in report period. Content of discussion and materials Date Place Mode Type Visitor provided The mid-term and long-term development plan of the company, industry condition, On-site market competitiveness, the delisting of the Hangzhou Steam Turbine Co., research Individual August 7, 2015 Individual company’s shares , the status of mixed Ltd. Investigat shareholder ownership’s reform VII. Reception of ion investigation, communication, or visiting in report period Hangzhou Steam Turbine Co., Ltd. Chairman of the Board: Zheng Bin October 28, 2015 6 杭汽轮机股份有限公司 2015 年半年度报告 7