YANTAI CHANGYU PIONEER WINE COMPANY
LIMITED
The 1st Quarter Report of 2012
1. Important
1.1 The Board of Directors, board of Supervisors, senior managers of the
Company collectively and individually accept full responsibility for the
truthfulness, accuracy and completeness of the information contained in
this report and confirm that to the best of their knowledge and belief there
are no other facts the omission of which would make any statement herein
misleading.
1.2 No directors, supervisors or senior managers have any dissidence.
1.3 All directors personally attended the Board of Directors’ meeting to
deliberate this report.
1.4 The 1st quarter report of 2012 has not been audited.
1.5 The chairman of the Board of Directors Mr. Sun Liqiang, the chief
accountant Mr. Leng Bin and the chief of accounting department Mr. Jiang
Jianxun assure the truth and integrity of the financial and accounting
statement in this report.
2. THE BASIC INFORMATION OF THE COMPANY
2.1 Main accountant data and financial index
Unit: CNY
At end of the At end of last More or
report period year less (%)
Total assets（CNY） 7,562,703,758.00 7,295,944,221.00 3.66%
Owner’s equity attributed to
5,617,927,029.00 5,013,641,661.00 12.05%
shareholders of listing company（CNY）
Total share capital (share) 527,280,000.00 527,280,000.00 0.00%
Net asset per share attributed to shareholders of
10.65 9.51 11.99%
listing company (CNY/share)
During the 1st quarter of More or
report period last year less (%)
Total operation revenue （CNY） 1,912,443,670.00 2,090,018,976.00 -8.50%
Net profit attributed to shareholders of listing
604,285,368.00 562,581,659.00 7.41%
company（CNY）
Net cash flow from operating activities（CNY） 497,140,869.00 1,084,182,965.00 -54.15%
Net cash flow per share from operating
0.94 2.06 -54.37%
activities(CNY/share)
Basic Earnings per Share(CNY/share) 1.15 1.07 7.48%
Diluted Earnings per Share (CNY/share) 1.15 1.07 7.48%
Weighted average rate of net assets return 11.08% 12.01% -0.93%
Weighted average rate of net assets return after
11.14% 12.01% -0.87%
deducting irregular profit and loss
Details of irregular profit and loss
(√) applicable □not applicable
Unit: CNY
From beginning Notes
of year to end
of report period
Gain on disposal of non-current assets -1,171,257.00
Tax refund or exemption that is either non-recurring or without
2,016,365.00
proper approval
Government grants credited in profit and loss (except for those
recurring government grants that are closely related to the entity's
2,417,563.00
operation, in line with related regulations and have proper basis of
calculation)
Other non-operating income and expenses 782,925.00
Corporate income tax -942,304.00
Total 3,103,292.00 -
2.2 The total number of the shareholders and top 10 shareholders
with unrestricted shares at the end of the report period
Unit: share
Total number of shareholders 15,297shareholders, including 10,030
shareholders with A shares, 5,267
shareholders with B shares
The top 10 shareholders with unrestricted shares
Name of Shareholders Number of The Type of shares
unrestricted shares
at end of report
period
YANTAI CHANGYU GROUP CO. LTD. 265,749,120 A shares
GAO-LING FUND, L.P. 18,676,716 B shares
HTHK/CMG FSGUFP-CMG FIRST STATE CHINA B shares
16,482,843
GROWTH FD
BBH BOS S/A FIDELITY FD-CHINA FOCUS FD 10,373,597 B shares
GOVERNMENT OF SINGAPORE INV. CORP. –A/C “C” 7,819,045 B shares
BBH LUX-FIDELITY FUNDS-EMERGING MARKETS B shares
4,528,086
FUND
UBS (LUXEMBOURG) S.A 4,297,636 B shares
NORGES BANK 4,264,083 B shares
CHINA UNIVERSAL GROWTH FOCUS EQUITY A shares
3,739,931
SECURITIES INVESTMENT FUND
HTHK-MANULIFE CHINA VALUE FUND 3,556,383 B shares
3. MAJOR ISSUES
3.1 The Great Change and Reasons on Main Accountant Data and
Financial Index
(√)applicable
At end of report period, the notes receivable increased by 83.32% compared with beginning of report
period, mainly due to the growth on bank acceptances from the clients. The non-current liabilities
due within one year increased by 69.04%, while other non-current liabilities dropped by 51.43%
compared with beginning of report period, mostly because part of other non-current liabilities which
will due within one year was listed in the non-current liabilities due within one year. During report
period, compared with same period of last year, the managerial expenses fell by 39.80% because of
decrease of afforestation expenses, the non-operating income increased by 515.33%, mostly
contributed by growth on governmental subsidy, the non-operating expenditures increased by
176.14% mainly because of retirement of part of fixed assets, and other cash paid related to
operating activities increased by 81.90% mostly due to the growth on advertisement expenditure
and freight paid.
3.2 Analysis and explanation on the progress, impact and solution of
major issues
3.2.1 Non-standard opinions
(√)not applicable
3.2.2 The situation on the company providing funds to the controlling
shareholders or its affiliates and acting against the prescribed
procedures to provide external guarantees
(√)not applicable
3.2.3 The situation on the signature and performance on the major
contracts in the daily operations
(√)not applicable
3.2.4 Others
(√) not applicable
3.3 The Execution of Promised Issues by the Company, Shareholders
and Actual
Controller
The promised issues from the Company, its directors, supervisors and senior
officers, or its shareholders with shares over 5% or its actual controller during
the report period or such promised issues carried out to the report period.
(√) applicable
Commitment Committed Commitment content Performance
items person
situation
Share reform Yantai 1. From the day of being granted the It has already
commitment Changyu right of circulation on stock market as
been fulfilled.
Group March 21st,2006, Changyu Group will
Co. Ltd. not transact or transfer its shareholding
in the Company within 36 months
2.Within 12 months as from the day of the
expiry of the afore-said promising period,
the amount of the former non-circulating
stock that Changyu Group may list for
transaction at Stock Exchange can’t be
over 5% of its total and within 24 months
after that, can’t be over 10% of its total.
3. Changyu Group also promised to
propose over the shareholders’ meetings
2005, 2006 and 2007 to distribute the
Company’s profit in cash no less than 65%
of the distributable profit realized in the
same year and ensure to vote for aye for
this proposal.
Commitments in No. No. No.
the acquisition
report or report
of changes in
equity
Commitments No. No. No.
when making
major assets
restructuring
Issuance Yantai Non-horizontal competition It is still in
Commitments Changyu
performance.
Group
Co. Ltd.
Other Yantai The Company has well noted the Securities Under
commitments Changyu Law, Administration Methods of Takingover
performance.
(including Group Listed Companies, Guidance on Releasing
additional Co. Ltd. the Limited Shares Transfer of the Listed
commitments) Companies and the relative business rules
of Shenzhen Stock Exchange, and will
strictly obey the relevant provisions of
above documents, faithfully carry out the
commitments and bear the corresponding
legal responsibility, when in the future
reducing the holding of the shares with
releasing restrictions on sale price in this
time.
3.4 Warning and explanation for the estimation on the possible loss of
cumulative net profit in the period from the beginning of this year to
the end of the next report period or the great change comparing with
same period of last year.
( √ ) not applicable
3.5 Other major issues
3.5.1 Securities investment
( √ ) not applicable
3.5.2 The Company’s Receptions, Studies and Visits during report
period
Reception date Reception place Reception way Visitor Main topic and
material
provided
Meeting room of Field survey Principal operation,
Jan.10, 2012 Orient Securities
the Company future development
Meeting room of Field survey Principal operation,
Jan.10,2012 Hengtai Securities
the Company future development
Meeting room of Field survey Yuren Chuangxin Principal operation,
Jan. 16, 2012
the Company Investment future development
Meeting room of Field survey Pacific Investment Principal operation,
Feb.9, 2012
the Company Management future development
Meeting room of Field survey Principal operation,
Feb.15, 2012 CITIC Securities
the Company future development
Meeting room of Field survey Zhongzai Assets Principal operation,
Feb.15, 2012 the Company future development
Management
Meeting room of Field survey Principal operation,
Feb.17, 2012 the Company UBS Securities future development
Meeting room of Field survey Principal operation,
Feb.17, 2012 the Company Qilu Securities future development
Meeting room of Field survey CITIC-Prudential Principal operation,
Feb.17, 2012 the Company future development
Fund Management
Meeting room of Field survey Principal operation,
Feb.20, 2012 the Company Qilu Securities future development
Meeting room of Field survey GF Fund Principal operation,
Feb.20, 2012 the Company future development
Management
3.6 Investment on financial derivatives
( √ ) not applicable
3.6.1 Investment on financial derivatives at end of report period
( √ ) not applicable
4. Annex
4.1 Balance Sheet
Yantai Changyu Wine Poineer Co., Ltd. March 31, 2012 Unit: CNY
At 31 March 2012 At 31 December 2011
Parent
Consolidated company Consolidated Parent
Assets amount amount amount company amount
Current assets：
Monetary fund 2,889,593,997 2,200,327,359 2,532,967,197 1,568,184,564
Financial assets for trade
Notes receivable 103,153,851 50,892,391 56,268,482 25,779,768
Account receivable 150,777,482 14,669,261 126,906,526 20,977,065
Advance money 88,821,251 78,144,435 77,252,611 45,090,601
Interest receivable 15,469,150 15,469,150 15,763,431 15,763,431
Dividend receivable 1,827,258,629 1,866,646,179
Other account receivable 80,735,344 2,446,279,519 75,423,614 1,685,950,766
Inventories 1,538,461,221 569,610,073 1,755,964,582 579,452,383
Non-current assets due within
one year
Other current assets
Total current assets 4,867,012,296 7,202,650,817 4,640,546,443 5,807,844,757
Non-current assets：
Financial assets for sale
Investment held to expiration
Long-term account receivable
Long-term equity investment 5,000,000 598,299,363 5,000,000 598,299,363
Real estate for investment
fixed assets 1,596,680,131 351,385,469 1,609,111,868 365,152,521
Construction in progress 483,681,742 64,891,987 406,353,081 42,040,898
Project material
Liquidation of fixed assets
Biological assets for
production 41,996,191 9,537,205 42,355,441 9,683,931
Oil and gas assets
Intangible assets 262,860,386 88,923,822 263,838,087 89,684,756
Development expenditure
Goodwill
Long-term deferred expenses 146,218,964 148,429,436
Assets of deferred income tax 154,609,537 27,179,918 175,528,938 31,337,829
Other non-current assets 4,644,511 3,746,724 4,780,927 3,854,796
Total non-current assets 2,695,691,462 1,143,964,488 2,655,397,778 1,140,054,094
Total assets 7,562,703,758 8,346,615,305 7,295,944,221 6,947,898,851
Yantai Changyu Wine Pioneer Co., Ltd. March 31,2012 Unit: CNY
At 31 March 2012 At 31 December 2011
Parent Parent
Liabilities, rights and interests of Consolidated company Consolidated company
shareholders amount amount amount amount
Current liabilities:
Short-term loan
Financial liabilities for trade
Notes payable
Accounts payable 177,425,120 87,573,323 229,920,729 134,893,846
Advance money 311,307,100 293,655,222
Wage payable 159,862,579 76,029,511 188,274,937 97,418,899
Tax payable 500,683,603 51,261,164 698,459,857 115,489,659
Interest payable
dividend payable
Other accounts payable 459,485,531 3,435,668,735 536,059,000 1,918,592,985
Non-current liabilities due within
one year 137,061,180 81,081,000
Other current liabilities 4,617,301 807,300 4,744,074 828,000
Total current liabilities 1,750,442,414 3,651,340,033 2,032,194,819 2,267,223,389
Non-current liabilities：
Long-term loan
Bond payable
Long-term accounts payable
Special accounts payable
Estimated liabilities
Liabilities of deferred income tax 5,336,115 5,336,115
Other non-current liabilities 52,679,713 13,731,700 108,453,139 13,918,000
Total non-current liabilities 58,015,828 13,731,700 113,789,254 13,918,000
Total liabilities 1,808,458,242 3,665,071,733 2,145,984,073 2,281,141,389
Shareholder rights and interests：
Capital stock 527,280,000 527,280,000 527,280,000 527,280,000
Capital reserve 562,139,042 557,222,454 562,139,042 557,222,454
Less: treasury stock
Surplus reserve 295,942,630 295,942,630 295,942,630 295,942,630
Undistributed profit 4,232,565,357 3,301,098,488 3,628,279,989 3,286,312,378
Total shareholder rights and interests
of parent company 5,617,927,029 4,681,543,572 5,013,641,661 4,666,757,462
Minority shareholder rights and
interests 136,318,487 136,318,487
Total shareholder rights and
interests 5,754,245,516 4,681,543,572 5,149,960,148 4,666,757,462
Liabilities and total shareholders
rights and interests 7,562,703,758 8,346,615,305 7,295,944,221 6,947,898,851
4.2 Profit statement
Yantai Changyu Wine Pioneer Co., Ltd. January 2012 to March 2012 Unit: CNY
Three months ended 31 March Three months ended 31
2012 March 2011
Parent Parent
Consolidated company Consolidated company
Item amount amount amount amount
Business income 1,912,443,670 404,260,334 2,090,018,976 506,563,827
Less: business cost 483,121,287 331,806,568 543,222,709 388,453,744
Business tax and associate
charges 89,023,294 39,229,753 105,983,152 57,861,944
Sales expenses 467,673,517 571,748,034
Management expenses 82,064,961 25,141,469 136,323,637 52,042,387
Financial expenses -12,168,537 -12,559,844 -12,843,351 -10,831,676
Assets depreciation loss
Add: fair value charge profit (loss is listed
with "-")
Investment profit ((loss is listed with
"-") 52,122 52,122
Including: investment profit for
joint-run business and joint venture
Operating profit 802,729,149 20,642,389 745,636,917 19,089,549
Add: Non-operating income 5,465,391 591,179 888,203 421,480
less: non-operating expenditures 1,419,796 1,402,751 514,157 2,050
Including: non-current assets
disposing loss
Total profit 806,774,744 19,830,817 746,010,963 19,508,979
Less: income tax expenses 202,489,376 5,044,707 183,464,223 4,918,150
Net profit 604,285,368 14,786,110 562,546,740 14,590,829
Net profit of parent
company's owners 604,285,368 14,786,110 562,581,659 14,590,829
Minority shareholder
profit and loss -34,918
EPS
Basic EPS 1.15 0.03 1.07 0.03
Diluted EPS 1.15 0.03 1.07 0.03
Other Comprehensive Income
Comprehensive Income 604,285,368 14,786,110 562,546,740 14,590,829
Comprehensive Income of parent
company 604,285,368 14,786,110 562,581,659 14,590,829
Comprehensive Income of minority
shareholders -34,918
4.3 Cash Flow Statement
Yantai Changyu Wine Pioneer Co., Ltd. January 2012 to March 2012 Unit: CNY
Three months ended 31 Three months ended 31
March 2012 March 2011
Item Consolidated Parent Parent
amount company Consolidated company
amount amount amount
1. Cash flows from operating activities:
Cash received from sales of goods and
rending of services 2,146,275,218 473,515,732 2,450,730,868 506,217,511
Tax refund received 5,987,075 1,270,642 4,506,575 1,765,890
Other cash received related to operating
activities 44,629,783 652,498,777 39,581,571 934,283,827
Subtotal of cash flows of operating
activities 2,196,892,076 1,127,285,151 2,494,819,014 1,442,267,229
Cash paid for goods and services 433,187,773 254,307,853 443,608,869 384,955,700
Cash paid to and on behalf of employees 131,779,247 48,627,342 105,863,409 38,684,926
Cash paid for taxes and expenses 751,723,834 137,093,345 650,575,171 98,939,301
Other cash paid related to operating 383,060,353 82,972,445 210,588,599 128,055,339
activities
Sub-total of cash outflows of operating
activities 1,699,751,208 523,000,984 1,410,636,049 650,635,266
Net cash flow from operating activities 497,140,868 604,284,166 1,084,182,965 791,631,963
2. Cash flow from investing activities:
Cash received from return of investment
Fixed deposit with the
term of over 3 months
Cash received from obtaining investment
profit 39,387,550 54,515 7,180,727
Cash received from interest income 12,800,291 12,800,291
Net cash received from disposal of fixed
assets, intangible assets and other long-term
assets 55,100
Net cash received from disposal of
branch and other business unit
Other cash received related to investing
activities
Subtotal of cash flows of investment
activities 12,855,391 52,187,841 54,515 7,180,727
Cash paid to acquire fixed assets,
intangible assets and other long-term assets 148,057,248 24,017,000 98,995,305 10,207,563
Fixed deposit with the term of over 3
months 90,999,893 90,999,893 129,086,026 129,086,026
Cash for investment
Net cash paid to acquire branch and other
business unit
Other cash paid related to investment
activities
Subtotal of cash outflows of investment
activities 239,057,140 115,016,893 228,081,331 139,293,589
Net cash flow from investing activities -226,201,750 -62,829,052 -228,026,816 -132,112,862
3.Cash flow from financing activities
Cash received from acquiring investment
Including: cash received from acquiring
minority shareholders investment by branch
Cash received from acquiring loans
Other cash received related to financing
activities
Subtotal cash flows of financing
activities
Cash paid to pay debts
Cash paid to distribute dividend, profit or
pay interest
Including: dividend and profit paid to
minority shareholders by branch
Other cash paid related to financing
activities
Subtotal of cash outflows of financing
activities
Net cash flow from financing activities
4. Influences of exchange rate
fluctuation on cash and cash equivalents
5. Net Increase in cash and cash
equivalents 270,939,118 541,455,114 856,156,149 659,519,101
Add: balance at the beginning of the
period of cash and cash equivalents 1,256,517,873 296,735,240 2,489,804,162 1,898,488,544
6.Balance at the end of the period of
cash and cash equivalents 1,527,456,991 838,190,354 3,345,960,311 2,558,007,645
4.4 Audit Report
Not audited
