Financial Performance - The company reported a profit of RMB 3,180,488,000 for the six months ending June 30, 2022, instead of the previously stated RMB 830,007,000[4] - The adjusted basic and diluted earnings per share are RMB 0.63039, rather than RMB 0.16449 as previously reported[4] - The adjustment related to the termination of consolidating a subsidiary resulted in a change from a loss of RMB 1,728,963,000 to a gain of RMB 621,518,000[4] Financial Adjustments - The adjustments do not affect the company's unaudited consolidated financial position as of June 30, 2022[6] - The adjustments are deemed to align with the company's actual business and financial situation[6]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本公佈全部或任何部份內容而產生或因倚賴該等內 容而引致的任何損失承擔任何責任。 BRILLIANCE CHINA AUTOMOTIVE HOLDINGS LIMITED （ 華 晨 中 國 汽 車 控 股 有 限 公 司）* （於百慕達註冊成立之有限公司） （股份代號：1114） 截至二零二二年十二月三十一日止年度之 業績公佈 及 建議修訂現行公司細則及 建議採納新公司細則 華晨中國汽車控股有限公司（「本公司」）董事會（「董事會」）公佈本公司及其附屬公司（統稱為「本 集團」）截至二零二二年十二月三十一日止年度之綜合財務業績如下： 綜合損益表 截至十二月三十一日止年度 （以人民幣千元列示，惟每股盈利金額除外） 二零二二年 二零二一年 附註 人民幣千元 人民幣千元 收益 3 1,130,725 2,141,946 銷售成本 (895,153) (1,961,217) ...

Financial Performance - Revenue for the six months ended June 30, 2022, was RMB 557,527,000, a decrease of 63.5% compared to RMB 1,525,644,000 in the same period of 2021[3] - Gross profit for the same period was RMB 99,605,000, down 13.7% from RMB 115,439,000 year-on-year[3] - Net profit for the period was RMB 830,007,000, a significant decline of 88.9% from RMB 7,469,521,000 in the previous year[5] - Basic and diluted earnings per share were RMB 0.16449, compared to RMB 1.50777 in the prior year, reflecting a decrease of 89.1%[3] - Total comprehensive income for the period was RMB 821,616,000, down 87.4% from RMB 6,511,168,000 in the same period last year[5] - The profit before tax for the period was RMB 826,195,000, showing a significant increase compared to the previous year's profit of RMB 7,475,583,000[29] - The unaudited profit attributable to equity holders of the company was RMB 829,900,000 in the first half of 2022, down from RMB 7,607,100,000 in the same period of 2021[104] Assets and Liabilities - Non-current assets totaled RMB 27,460,032,000, a decrease from RMB 44,993,801,000 as of December 31, 2021[7] - Current assets increased significantly to RMB 23,652,859,000 from RMB 4,957,194,000 at the end of 2021, indicating improved liquidity[8] - Current liabilities decreased to RMB 4,028,533,000 from RMB 8,613,068,000, reflecting a reduction in short-term obligations[8] - The company's total equity increased to RMB 46,976,786,000 from RMB 41,174,339,000, indicating a strengthening of the financial position[8] - The company's total assets as of June 30, 2022, were RMB 51,112,891,000, reflecting an increase from RMB 49,950,995,000 as of December 31, 2021[30] - The total liabilities for the automotive parts segment were RMB 3,008,241,000, and for BMW vehicle sales, it was RMB 82,752,172,000[30] Cash Flow - For the six months ended June 30, 2022, the net cash generated from operating activities was RMB 850,172,000, a decrease from RMB 1,628,076,000 in the same period of 2021[17] - The net cash generated from investing activities was RMB 17,252,758,000, compared to a cash outflow of RMB 583,769,000 in the previous year[17] - The net cash used in financing activities was RMB 1,212,075,000, down from RMB 1,918,808,000 in the prior year[17] - The total cash and cash equivalents increased to RMB 17,940,107,000 as of June 30, 2022, from RMB 1,049,252,000 at the beginning of the period[17] Segment Performance - Revenue from the sale of automotive parts for the six months ended June 30, 2022, was RMB 420,045,000, significantly lower than RMB 1,309,463,000 in the same period of 2021[25] - Total revenue for the automotive parts manufacturing and sales segment was RMB 420,045,000, while BMW vehicle sales generated RMB 109,113,173,000 in revenue[29] - The company recognized revenue of RMB 29,193,591,000 from Brilliance BMW during the period, with a profit of RMB 4,759,564,000[47] Credit and Provisions - The expected credit loss provisions for receivables amounted to RMB 10,675,000 for loans and RMB 38,049,000 for other receivables, compared to RMB 4,400,000 and RMB 146,000 respectively in the prior year, indicating a substantial increase in provisions[35] - The expected credit loss allowance for loans and receivables was RMB 420.6 million in the first half of 2022, a decrease of 6.5% from RMB 449.9 million in the same period of 2021[101] - The expected credit loss provision for accounts receivable was RMB 110,265,000, significantly impacting the net receivable balance[82] Employee and Operational Costs - Employee costs, including directors' remuneration, totaled RMB 163,191,000 for the six months ended June 30, 2022, down 39.7% from RMB 270,542,000 in the previous year[37] - General and administrative expenses decreased by 13.6% to RMB 226.8 million in the first half of 2022, compared to RMB 262.4 million in the same period of 2021, but the percentage of these expenses to revenue increased from 17.2% to 40.7%[99] - Selling expenses decreased by 83.0% to RMB 15.8 million in the first half of 2022, compared to RMB 92.7 million in the same period of 2021, leading to a reduction in the percentage of selling expenses to revenue from 6.1% to 2.8%[99] Legal and Compliance Issues - The company has ceased consolidating the financial statements of its joint venture, Huachen Renault, since January 2022 due to its restructuring[25] - The company is under the control of the Chinese government, which is considered a related party for disclosure purposes[77] - The company has complied with all provisions of the Corporate Governance Code, except for the delay in publishing the annual results for 2021[148] - The independent investigation into unauthorized financial support since 2019 has been completed, with a report issued on August 18, 2022[157] Future Outlook and Strategy - The company plans to enhance its production capacity with the completion of the expansion of the Dandong plant and the new Lydia plant, supporting the launch of new models in 2022 and beyond[106] - The company aims to become a leading supplier of luxury electric vehicles in China and is exploring new technologies with BMW to accelerate the sustainable development of the entire value chain of electric vehicles[108] - BMW will continue to launch new internal combustion and pure electric vehicle models in the Chinese market over the next few years, with the first domestically produced X5 model and the first electric 3 Series long-wheelbase model launched in Q3 2022[120]

Financial Performance - For the year ended December 31, 2021, the total revenue was RMB 2,141,946,000, a decrease from RMB 3,123,210,000 in 2020, representing a decline of approximately 31.5%[6] - The net profit for the year was RMB 10,440,794,000, compared to a loss of RMB 957,546,000 in 2020, indicating a significant turnaround[6] - The basic earnings per share for the year was RMB 2.37064, a substantial increase from RMB 0.00222 in the previous year[6] - The group’s total revenue for the year ended December 31, 2021, was RMB 2,141,900,000, a decrease of 31.4% from RMB 3,123,200,000 in the previous year[20] - The group's profit before tax for 2021 was RMB 10,459,600,000, compared to a loss of RMB 828,600,000 in 2020[24] - The return on invested capital (ROIC) for 2021 was 29.2%, a substantial improvement from -0.7% in 2020[24] - The group's gross profit margin improved to 8.4% in 2021 from 0.6% in 2020, despite a decrease in sales costs from RMB 3,104,600,000 to RMB 1,961,200,000[20] - The net profit contribution from Huachen BMW increased by 43.8% to RMB 14,514,800,000 in 2021 from RMB 10,091,900,000 in 2020[22] Market Performance - The total sales volume of new energy vehicles (NEVs) in China surged by 157.5% to 3,500,000 units in 2021[8] - The company maintained a strong performance in the luxury vehicle segment, with sales growth of about 7.3%[8] - The overall automotive market in China saw a total sales increase of 3.8% to 26,300,000 vehicles in 2021[8] - The total sales volume of BMW vehicles reached 652,000 units in 2021, an increase of 7.8% from 605,050 units in 2020[23] Production and Expansion Plans - The company plans to expand production capacity, including the construction of a third production plant and the expansion of existing facilities[8] - As of December 31, 2021, the company had 605 full-service 4S/5S dealerships nationwide, enhancing its market presence[8] Challenges and Restructuring - The light commercial vehicle (LCV) business faced significant challenges due to the pandemic, with sales continuing to decline, leading to a restructuring application on December 30, 2021[9] - As of December 31, 2021, Brilliance Renault applied for restructuring, with a creditors' meeting held on May 20, 2022, approving the restructuring plan, which is currently being formulated[15] - The restructuring process of Huachen Dongya is ongoing, influenced by the overall restructuring of Huachen Automotive Group[10] Financial Services and Liquidity - The financial subsidiary, Huachen Dongya, improved liquidity and strengthened retail joint loan solutions despite challenges in early 2021[10] - The liquidity coverage ratio improved significantly to 144% in the second half of 2021, up from 103% in the second half of 2020[33] - The company has shifted its business focus solely to retail, concentrating on NEV financing, which is expected to enhance profitability through sustainable practices[34] Risk Management - The company has established a legal and compliance team independent of other business units to ensure the integrity of the internal regulatory system[31] - The overall market risk level is assessed as stable and controllable, with ongoing monitoring to ensure profitability[27] - The company has implemented effective measures to improve the overall risk environment, including updating risk guidelines and policies[25] Corporate Governance - The company has established a governance structure that includes various committees to ensure compliance with relevant laws and regulations, maintaining a stable compliance risk level[51] - The board of directors is collectively responsible for formulating strategic policies and overseeing company affairs[119] - The company has a commitment to achieving and maintaining the highest standards of corporate governance[118] Environmental Responsibility - The company emphasizes its commitment to environmental responsibility, adhering to various Chinese environmental laws and implementing energy-saving measures to reduce greenhouse gas emissions[49] - In 2021, the company reported no violations of environmental regulations and received no public complaints regarding environmental pollution[49] - The company has established an environmental protection management system focused on pollution prevention and continuous improvement[177] Employee Engagement and Welfare - Employee health and safety are prioritized, with efforts to create an attractive work environment to retain talent[55] - The company has a comprehensive performance management system to promote talent development and ensure fair opportunities for all employees, including those with disabilities[192] - Employee engagement scores have remained high, with 88% in 2021 and 2020, and 84.2% in 2019, indicating strong employee morale and commitment[196] Shareholder Relations - The company emphasizes effective communication with shareholders, encouraging attendance at annual general meetings[157] - The company has a dedicated investor relations team to address shareholder inquiries[161] - The company plans to hold its annual general meeting on November 11, 2022, to address matters related to the fiscal year ending December 31, 2021[57] Financial Health - As of December 31, 2021, the group had cash and cash equivalents of RMB 1,049,300,000, down from RMB 2,021,800,000 a year earlier[94] - The group reported short-term bank borrowings of RMB 2,167,300,000 as of December 31, 2021, a decrease from RMB 4,528,700,000 the previous year[94] - The company has no contingent liabilities as of December 31, 2021, reflecting a strong financial position[106]

Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 1,525,644, an increase from RMB 1,450,056 in 2020, representing a growth of approximately 5.2%[5] - Gross profit for the same period was RMB 115,439, compared to RMB 77,343 in 2020, indicating a significant increase of approximately 49.2%[5] - The company reported a net profit of RMB 7,469,521 for the six months ended June 30, 2021, compared to a net loss of RMB 2,788,920 in 2020, marking a turnaround in profitability[5] - Basic and diluted earnings per share for the period were RMB 1.50777, a substantial improvement from a loss of RMB 0.49422 per share in the previous year[5] - Total comprehensive income for the period was RMB 6,511,168, compared to a loss of RMB 2,051,189 in 2020, reflecting a strong recovery[6] - The company reported a profit before tax of approximately RMB 7,607,111 for the six months ended June 30, 2021, compared to a loss of RMB 2,493,489 for the same period in 2020[34] - The unaudited profit attributable to equity holders rose from a loss of RMB 2.49 billion in the first half of 2020 to a profit of RMB 7.61 billion in the same period of 2021, with basic earnings per share increasing from a loss of RMB 0.49422 to RMB 1.50777[100] Assets and Liabilities - Non-current assets increased to RMB 43,204,253 as of June 30, 2021, up from RMB 36,627,367 at the end of 2020, showing growth in asset base[7] - Total assets amounted to RMB 50,559,324,000, with total liabilities of RMB 10,397,026,000 as of June 30, 2021[26] - Current liabilities decreased to RMB 10,247,957 from RMB 14,079,401 at the end of 2020, indicating improved liquidity management[8] - Total current liabilities decreased from RMB 4,158,142 thousand as of December 31, 2020, to RMB 1,697,236 thousand as of June 30, 2021, representing a reduction of approximately 59%[59] - The company reported total equity amounted to RMB 33,357,130 thousand, reflecting an increase of 7,469,521 thousand compared to the previous period[10] Cash Flow and Liquidity - The company's cash and cash equivalents were RMB 1,147,270 as of June 30, 2021, down from RMB 2,021,771 at the end of 2020, suggesting a need for cash flow monitoring[7] - Cash flow from operating activities generated a net cash inflow of RMB 1,628,076 thousand, compared to a cash outflow of 1,047,076 thousand in the previous year[12] - Cash and cash equivalents decreased to RMB 1,147,270 thousand from RMB 1,813,640 thousand year-over-year[12] - The total cash used in investing activities was RMB 583,769 thousand, an improvement from the previous year's outflow of 1,091,394 thousand[12] Credit Quality and Provisions - The company reported a significant reduction in expected credit loss provisions, from RMB 4,740,125 in 2020 to RMB 449,865 in 2021, indicating improved credit quality[5] - The expected credit loss provision for accounts receivable was RMB 70,407,000 as of June 30, 2021, compared to RMB 78,221,000 as of December 31, 2020, indicating improved credit quality[50] - The expected credit loss provisions for loans and receivables fell by 90.5% from RMB 4.74 billion in the first half of 2020 to RMB 449.9 million in the same period of 2021[98] Shareholder Equity - The equity attributable to the owners of the company increased to RMB 39,934,664 from RMB 33,285,781 at the end of 2020, reflecting enhanced shareholder value[8] - The company’s issued share capital remained stable at RMB 397,176 thousand[10] - The company has a stock option plan that allows for the issuance of up to 504,526,938 shares, which is approximately 10% of the total shares issued as of the report date[126] Operational Highlights - Revenue from the sale of light passenger vehicles, MPVs, and auto parts for the six months ended June 30, 2021, was RMB 1,309,463,000, up from RMB 1,152,822,000 in 2020, representing a growth of approximately 13.6%[20] - Sales of light passenger vehicles and MPVs increased by 13.2% to 13,279 units in the first half of 2021, up from 11,733 units in the same period of 2020[96] - The new model "Jinbei Hai Si Wang" contributed 6,578 units to the sales in the first half of 2021[96] Market and Economic Context - China's GDP grew by 12.7% in the first half of 2021, with total vehicle sales increasing by 25.6% to 12.9 million units, and luxury vehicle sales up by approximately 41.0%[101] - BMW Brilliance expanded its dealership network to 585 full-service 4S/5S stores by June 30, 2021[101] Legal and Regulatory Issues - The company is monitoring the restructuring of its major shareholder, Huachen, which involves a proposed transfer of a 49% equity interest in Huachen Power[133] - An independent investigation was commissioned regarding unauthorized financial guarantees amounting to RMB 5.898 billion[134] - China Everbright Bank has filed a claim against Jinbei Automotive for approximately RMB 1,818,000,000, which includes interest and legal fees[137] Employee and Operational Costs - Employee costs decreased to RMB 270,542,000 in the first half of 2021, down from RMB 319,975,000 in the same period of 2020, reflecting a reduction of approximately 15.4%[32] - The group employed approximately 4,584 employees, a decrease from 5,390 employees as of June 30, 2020[111]

Financial Performance - For the year ended December 31, 2020, the company reported revenue of RMB 3,123,210,000, a decrease of 19.1% compared to RMB 3,861,949,000 in 2019[6] - The company recorded a net loss of RMB 957,546,000 for the year, compared to a profit of RMB 5,981,535,000 in 2019, marking a significant decline[6] - The company’s basic earnings per share for 2020 were RMB 0.00222, a significant drop from RMB 1.32148 in 2019[6] - The group's total revenue for the year ended December 31, 2020, was RMB 3,123,200,000, a decrease of 19.1% compared to RMB 3,861,900,000 for the year ended December 31, 2019[19] - The group's attributable net profit for 2020 was RMB 11,200,000, a decline of 99.8% from RMB 6,667,200,000 in 2019[23] - The group's gross profit margin fell from 1.9% in 2019 to 0.6% in 2020, attributed to a lower percentage of higher-margin automotive financing revenue[19] - Interest income rose by 82.5% to RMB 185,100,000 in 2020 from RMB 101,400,000 in 2019, driven by additional paid-in capital from non-controlling interests[20] - General and administrative expenses increased by 90.8% to RMB 2,201,100,000 in 2020, primarily due to impairment losses on intangible assets and property, plant, and equipment[20] - The return on invested capital (ROIC) for 2020 was -0.7%, compared to 20.2% in 2019[23] - The group's financial costs increased by 41.9% to RMB 135,500,000 in 2020, attributed to rising average bank borrowing rates[20] Market and Sales Performance - The luxury vehicle segment saw a sales increase of approximately 12% in 2020, despite an overall market decline[8] - Sales of vehicles by Huachen Renault decreased by 34.9% to 26,184 units in 2020 from 40,197 units in 2019, with the sales of the Sea Lion light passenger vehicle dropping by 32.4%[19] - In 2020, China's automotive market sales reached 25.311 million units, a year-on-year decline of 1.9%[27] - The Chinese automotive market is projected to grow, with a GDP increase of 8.1% and a 3.8% rise in total vehicle sales in 2021[8] Strategic Initiatives and Future Plans - The company plans to expand its production capacity, including the construction of a third factory and the expansion of existing facilities, to support future model launches[8] - The company aims to stabilize its supply chain and sales network in response to market challenges faced during the pandemic[8] - The company is focusing on diversifying its brand partnerships to mitigate risks associated with declining automotive sales[31] - The company aims to develop competitive products that meet customer needs in response to the changing automotive market environment[33] Environmental and Sustainability Efforts - In 2020, Huachen Renault achieved zero environmental pollution incidents and met all pollutant discharge standards[48] - The company has established an environmental management system in compliance with national laws and standards, maintaining certification since 2020[47] - The company emphasizes its commitment to environmental protection and sustainable development, aligning with global trends towards energy conservation and emission reduction[185] - The company has implemented advanced VOC treatment technologies, including a zeolite wheel concentration system with an adsorption efficiency of ≥95%[197] - The company reported a total wastewater pollutant density of 0.0014 tons per vehicle in 2020, based on a production volume of 24,733 vehicles[200] Corporate Governance and Leadership - The company has maintained a commitment to corporate governance, with independent non-executive directors overseeing key committees such as audit and remuneration[118] - The board consists of seven members, including four executive directors and three independent non-executive directors[134] - The company has a structured process for nominating and appointing new directors based on qualifications and experience[143] - The company has established a nomination committee with specific terms of reference, which was modified in line with the corporate governance code effective from March 27, 2013[144] - The company has implemented corporate governance practices to align with the Corporate Governance Code[125] Financial Position and Liabilities - The company’s total liabilities decreased from RMB 14,805,123,000 in 2019 to RMB 14,079,401,000 in 2020, a reduction of 4.9%[6] - The company has a relatively high asset-liability ratio, which may affect its financing capabilities in the banking market[26] - The group has cash and cash equivalents of RMB 2,021,800,000 as of December 31, 2020, down from RMB 2,763,500,000 as of December 31, 2019, representing a decrease of approximately 26.7%[102] - The group has short-term bank borrowings of RMB 4,528,700,000 as of December 31, 2020, reduced from RMB 6,292,000,000 as of December 31, 2019, indicating a decrease of about 28.1%[102] Risk Management - The company established a comprehensive risk management system led by the Legal and Compliance Department, with risk managers appointed in various operational departments[157] - Brilliance Renault identified 112 major risk points during the year, with 4 classified as significant risks, and has developed solutions and implementation plans to monitor these risks[158] - The internal audit team conducts regular audits and requires responsible departments to improve upon identified issues to prevent recurrence[159] Shareholder Engagement and Dividends - The company declared a special dividend of HKD 0.30 per share and a regular dividend of HKD 0.11 per share for the fiscal year 2020, compared to a special dividend of HKD 0.74 and a regular dividend of HKD 0.11 in 2019[53] - The company has adopted a dividend policy, considering overall performance, capital needs, and financial conditions when deciding on dividend payments[180] - The company has a dedicated investor relations team to address shareholder inquiries and ensure transparency[179] Legal and Compliance Issues - The company’s shares have been suspended from trading on the Hong Kong Stock Exchange since March 31, 2021, due to ongoing investigations and compliance issues[38] - The company has provisions for indemnification for its directors and executives as permitted by regulations[68] - The company has established a working group to oversee the disclosure process and ensure compliance with listing rules[163]

Financial Performance - Revenue for the six months ended June 30, 2020, was RMB 1,450,056 thousand, a decrease of 23.7% compared to RMB 1,904,274 thousand for the same period in 2019[3] - Gross profit for the same period was RMB 77,343 thousand, down 23.6% from RMB 101,323 thousand in 2019[3] - Net profit for the period was RMB 3,749,772 thousand, an increase of 22.5% from RMB 3,061,600 thousand in 2019[4] - Basic and diluted earnings per share increased to RMB 0.80178 from RMB 0.64020, representing a growth of 25.2%[3] - Total comprehensive income for the period was RMB 4,487,503 thousand, compared to RMB 2,894,152 thousand in 2019, reflecting a growth of 55.1%[4] - The company reported a significant increase in interest income to RMB 96,528 thousand from RMB 30,131 thousand, marking a growth of 220.5%[3] - The company reported a pre-tax profit of RMB 3,762,720 thousand for the six months ended June 30, 2020, compared to RMB 3,267,576 thousand for the same period in 2019[21] - The group’s unaudited profit attributable to equity holders increased by 25.2% to RMB 4,045,200,000 in the first half of 2020, compared to RMB 3,230,000,000 in the same period of 2019[91] Assets and Liabilities - Non-current assets totaled RMB 35,247,227 thousand as of June 30, 2020, an increase from RMB 30,355,523 thousand at the end of 2019[5] - Current assets decreased to RMB 18,314,027 thousand from RMB 19,114,481 thousand, a decline of 4.2%[5] - Total liabilities decreased to RMB 14,805,123 thousand from RMB 13,423,663 thousand, indicating a reduction in current liabilities[5] - The company's equity attributable to shareholders increased to RMB 38,709,028 thousand from RMB 33,925,533 thousand, a growth of 14.5%[5] - The total assets as of June 30, 2020, amounted to RMB 53,561,254 thousand, with total liabilities of RMB 14,108,299 thousand[18] - The total accounts payable was RMB 1,388,176,000 as of June 30, 2020, down from RMB 1,540,224,000 as of December 31, 2019, reflecting a reduction in outstanding liabilities[49] Cash Flow and Financing - The net cash used in operating activities for the six months ended June 30, 2020, was RMB (3,211,171), compared to RMB (1,670,489) in the same period of 2019, indicating a significant increase in cash outflow[8] - The net cash generated from financing activities was RMB 1,188,577, up from RMB 679,055 in the previous year, reflecting improved financing conditions[8] - Cash and cash equivalents as of June 30, 2020, amounted to RMB 3,454,500,000, down from RMB 6,828,500,000 on December 31, 2019[95] - The total bank borrowings increased from RMB 6,292,000 thousand as of December 31, 2019, to RMB 7,313,000 thousand as of June 30, 2020, marking an increase of about 16.2%[59][60] Revenue Sources - Revenue from the sale of light passenger vehicles, MPVs, and automotive parts was RMB 1,152,822, down 31.6% from RMB 1,687,009 in the previous year[14] - Interest and service fee income from automotive financial services was RMB 297,234, an increase of 36.8% from RMB 217,265 in the previous year[14] - The contribution from the joint venture, BMW Brilliance Automotive, increased by 23.4% to RMB 4,383,300,000 in the first half of 2020, compared to RMB 3,552,400,000 in the same period of 2019[89] Operational Efficiency - Employee costs, including directors' remuneration, totaled RMB 319,975 thousand for the six months ended June 30, 2020, a decrease from RMB 405,667 thousand in 2019[22] - The company reported a decrease in employee benefits costs to RMB 50,561 thousand from RMB 58,222 thousand in the previous year[22] - The aging analysis of accounts receivable shows that RMB 364,517,000 was less than six months old as of June 30, 2020, compared to RMB 333,196,000 as of December 31, 2019, indicating improved collection efficiency[42] Dividends and Shareholder Information - The total dividend declared on July 13, 2020, was HKD 554,980,000, consistent with the previous year, while a special dividend of HKD 1,513,581,000 was declared, down from HKD 3,733,499,000 in 2019[25] - The company declared a special dividend of HKD 0.30 per ordinary share and a regular dividend of HKD 0.11 per ordinary share for the fiscal year 2020, with the special dividend being lower than the previous year's HKD 0.74[108] - As of June 30, 2020, the largest shareholder, Huachen, held 1,935,074,988 ordinary shares, representing 38.35% of the total shares[111] Corporate Governance - The company appointed three new executive directors effective July 29, 2020, following the resignation of one director[109] - The board consists of five executive directors and three independent non-executive directors, with at least one independent director possessing accounting expertise[122] - All directors confirmed compliance with the standard code of conduct for securities transactions during the six months ended June 30, 2020[123]

Financial Performance - For the year ended December 31, 2019, the company reported revenue of RMB 3,861,949,000, a decrease of 11.7% compared to RMB 4,377,263,000 in 2018[7] - The company's profit before tax increased to RMB 6,292,456,000, up 17.4% from RMB 5,359,046,000 in the previous year[7] - The net profit attributable to shareholders was RMB 6,762,707,000, representing an increase of 16.2% from RMB 5,820,909,000 in 2018[7] - The group's total revenue for the year ended December 31, 2019, was RMB 3,861,900,000, a decrease of 11.8% compared to RMB 4,377,300,000 for the year ended December 31, 2018[22] - The group's profit attributable to equity holders rose by 16.2% to RMB 6,762,700,000 in 2019, compared to RMB 5,820,900,000 in 2018[25] - The basic earnings per share increased from RMB 1.15374 in 2018 to RMB 1.34041 in 2019, reflecting a growth of 16.2%[25] - The EBITDA return on invested capital improved to 20.6% in 2019 from 19.7% in 2018[25] Sales and Market Performance - The company sold 545,919 BMW vehicles in 2019, an increase of approximately 17.1% compared to the previous year[9] - The luxury vehicle segment saw a sales increase of about 8.9%, despite an overall market decline of 8.2% in China's automotive sales[9] - Sales of light passenger vehicles and MPVs by Huachen Renault in 2019 totaled 40,197 units, down 6.5% from 43,000 units sold in 2018[23] - The total vehicle sales for the group increased by 17.1% from 466,182 units in 2018 to 545,919 units in 2019[25] Production and Capacity Expansion - The company is expanding its production capacity and has launched new models, including the new X3 and 3 Series, contributing to sales growth[9] - The construction of the third production plant for Brilliance BMW is progressing well, along with the expansion of existing facilities[9] - The company aims to enhance its product lineup and market presence through new product launches and facility expansions[9] Financial Position and Liabilities - The company's total assets amounted to RMB 49,470,004,000, with non-current assets at RMB 30,355,523,000[7] - Current liabilities increased to RMB 14,805,123,000, reflecting a rise in operational scale[7] - The group’s total liabilities amounted to RMB 14,994,600,000 as of December 31, 2019, compared to RMB 10,275,000,000 in 2018, reflecting an increase in financial obligations[97] - The company's debt-to-equity ratio increased to approximately 0.44 as of December 31, 2019, compared to 0.33 the previous year, primarily due to increased short-term bank borrowings[105] Risk Management and Compliance - The company identified significant risks including high asset-liability ratio and market risks due to a 8.2% decline in China's automotive market sales in 2019[29] - The company is focused on optimizing and digitizing processes while emphasizing risk management to ensure continued growth[11] - The company has implemented a risk management system aimed at managing risks rather than eliminating them[147] - The company conducted an annual review of its major risk management and internal control systems in 2019, finding them generally effective and sufficient[155] Environmental and Social Responsibility - The company achieved zero environmental pollution incidents in 2019, meeting all national and local pollutant discharge standards[40] - The company has implemented an environmental management system and passed the certification supervision audit in 2019[40] - The company emphasizes the importance of environmental awareness among employees, organizing training on environmental factors and hazardous waste management[175] - The company has established a target responsibility system for environmental protection, ensuring accountability at all management levels[181] Corporate Governance - The company is committed to maintaining high standards of financial reporting and compliance, as evidenced by the qualifications of its independent directors[113] - The board of directors is responsible for formulating strategic policies and overseeing the company's affairs to enhance shareholder value[118] - The company has implemented corporate governance practices to ensure transparency and accountability to all shareholders[117] - The board meets regularly, typically four times a year, to discuss company performance and strategic direction[118] Shareholder Engagement and Dividends - The company declared a special dividend of HKD 0.74 per share on July 25, 2019, and a regular dividend of HKD 0.11 per share on August 23, 2019, both of which were distributed to shareholders[46] - The company aims to create value for investors by enhancing operational performance and providing reasonable, sustainable, and stable investment returns[44] - The company maintains a strong focus on effective communication with shareholders, encouraging attendance at annual general meetings for dialogue with management[164] Employee and Management Practices - The company emphasizes employee health and safety, aiming to create an attractive work environment to motivate and retain talent[44] - The company has established a comprehensive training program to enhance employee skills and professional standards[102] - Employee count decreased to approximately 5,610 as of December 31, 2019, down from 6,540 in the previous year, with employee costs amounting to RMB 761 million[102]

Financial Performance - Revenue for the six months ended June 30, 2019, was RMB 1,904,274, a decrease of 16.7% compared to RMB 2,287,134 for the same period in 2018[3] - Gross profit for the period was RMB 101,323, down 35.4% from RMB 156,906 in the previous year[3] - The net profit attributable to equity holders of the company was RMB 3,229,996, a decrease of 9.4% from RMB 3,566,130 in 2018[3] - Basic and diluted earnings per share were RMB 0.64020, compared to RMB 0.70683 in the same period last year, reflecting a decline of 9.4%[3] - Total comprehensive income for the period was RMB 2,894,152, an increase of 3.7% from RMB 2,791,684 in 2018[4] - The company reported a significant increase in other income to RMB 93,944, up 82.8% from RMB 51,485 in the previous year[3] - The company reported a pre-tax profit of RMB 3,267,576 thousand for the six months ended June 30, 2019[23] - The unaudited profit attributable to shareholders decreased by 9.4% to RMB 3,230,000,000 in the first half of 2019, down from RMB 3,566,100,000 in the same period of 2018[92] Assets and Liabilities - Non-current assets totaled RMB 30,397,690, a decrease from RMB 32,818,148 as of December 31, 2018[5] - Total assets for the automotive parts division were RMB 15,472,161 thousand, while the BMW vehicle division had total assets of RMB 103,398,769 thousand[25] - The total value of assets as of June 30, 2019, was RMB 45,358,822 thousand[27] - Total equity amounted to RMB 31,824,822 thousand, with a decrease of RMB 166,173 thousand compared to the previous period[8] - The company's equity attributable to equity holders increased to RMB 34,141,736 from RMB 31,079,744, showing a growth of 9.9%[5] - Current liabilities increased to RMB 10,432,907 from RMB 10,131,964, reflecting a rise of 3.0%[5] - The total liabilities for the automotive parts division were RMB 6,623,514 thousand, and for the BMW vehicle division, it was RMB 58,477,895 thousand[27] Cash Flow - Cash and cash equivalents decreased to RMB 1,472,774 from RMB 2,310,459 at the end of 2018, indicating a decline of 36.3%[5] - Net cash used in operating activities was RMB (1,670,489) thousand, an improvement from RMB (2,045,411) thousand in the previous year[9] - Net cash generated from investing activities was RMB 153,749 thousand, a significant decrease from RMB 1,374,398 thousand in the previous year[9] - Net cash generated from financing activities was RMB 679,055 thousand, down from RMB 838,108 thousand in the previous year[9] - Cash and cash equivalents decreased by RMB 837,685 thousand, compared to an increase of RMB 167,095 thousand in the previous year[9] Segment Performance - The division performance for non-BMW vehicle manufacturing and sales showed a loss of RMB 296,957 thousand, while the BMW vehicle division reported a profit of RMB 9,487,612 thousand[23] - Sales of non-BMW vehicles and auto parts for the six months ended June 30, 2019, were RMB 1,687,009 thousand, a decrease of 20% compared to RMB 2,112,854 thousand in the same period of 2018[21] - Revenue from automotive financial services, net of other indirect taxes, increased to RMB 217,265 thousand, up 24.6% from RMB 174,280 thousand in the previous year[21] - The company identified three reportable segments: manufacturing and sales of non-BMW vehicles and auto parts, manufacturing and sales of BMW vehicles, and providing automotive financial services[21] Expenses - Employee costs, including directors' remuneration, increased to RMB 405,667,000 for the six months ended June 30, 2019, up from RMB 387,114,000 in 2018, representing a growth of 4.0%[33] - Research and development expenses rose significantly to RMB 52,631,000 in 2019 from RMB 27,839,000 in 2018, indicating an increase of 89.0%[32] - The company’s sales expenses increased by 18.9% to RMB 212,000,000 in the first half of 2019, with the percentage of sales expenses to revenue rising from 7.8% to 11.1%[88] Dividends - The company declared a special dividend of HKD 0.74 per ordinary share on July 25, 2019, totaling approximately HKD 3,733,499,000 or about RMB 3,280,290,000[36] - A special dividend of HKD 0.74 per ordinary share was declared on July 25, 2019, with a record date of September 6, 2019[111] Corporate Governance - The company maintained compliance with the corporate governance code as outlined in the listing rules during the reporting period[123] - The company’s audit committee reviewed the unaudited consolidated interim financial statements for the six months ended June 30, 2019[126] - There were no significant changes to the corporate governance practices since the 2018 annual report[124] - The board consists of four executive directors and three independent non-executive directors, with independent directors making up at least one-third of the board[129] Market Trends - The Chinese automotive market saw a decline of 12.4% in total sales to 12,300,000 vehicles in the first half of 2019, with luxury vehicle sales growing by approximately 9%[94] - New models, including the X3 and the upcoming 3 Series, are expected to drive sales growth in the second half of 2019[96] - The company is actively developing its new energy vehicle (NEV) strategy, with plans for the production of electric models like the X3 BEV starting post-2020[96] Investments and Financing - The group has a total available bank financing of RMB 2,293,300,000 for daily operations as of June 30, 2019, up from RMB 1,819,700,000 as of December 31, 2018[101] - The group incurred capital expenditures of RMB 518,900,000 in the first half of 2019, significantly higher than RMB 107,800,000 in the same period of 2018[102] - The company has not approved any significant investments or capital asset acquisitions as of June 30, 2019[108] Shareholder Information - Major shareholders include Baillie Gifford & Co. with 5.38% and Citigroup Inc. with 8.93% of ordinary shares as of June 30, 2019[115] - As of June 30, 2019, the company had issued and fully paid 5,045,269 thousand shares, valued at RMB 397,176 thousand[64] - The company has no unexercised share options as of June 30, 2019[64]