Company Overview - The company is the first listed financial leasing company in China, with a market capitalization of approximately 64.40% held by the National Development Bank[2]. - The company has a strong international credit rating, with Moody's at A1, S&P at A, and Fitch at A+[2]. - The company operates in over 40 countries and regions, providing comprehensive leasing services in sectors such as aviation, infrastructure, and renewable energy[2]. Market Trends and Opportunities - The leasing industry in China is experiencing increased marketization and internationalization, presenting significant opportunities for growth[3]. - The company aims to enhance its professional service capabilities and upgrade its business model to maintain its industry-leading position[3]. - The company is focused on serving high-quality clients in various sectors, including high-end equipment manufacturing and inclusive finance[2]. Financial Performance - In 2019, the total revenue of the company reached RMB 16,524,152 thousand, an increase from RMB 13,621,120 thousand in 2018, representing a growth of 14.0%[14]. - The company's net profit for the year was RMB 2,938,125 thousand, up from RMB 2,506,984 thousand in 2018, marking a growth of 17.1%[14]. - As of December 31, 2019, total assets amounted to RMB 261,300,668 thousand, an increase from RMB 238,066,986 thousand in 2018[22]. - The company's total equity increased to RMB 25,669,242 thousand, up from RMB 24,203,030 thousand in 2018[22]. - The basic and diluted earnings per share for 2019 were RMB 0.23, compared to RMB 0.20 in 2018[14]. Revenue Breakdown - The financing lease income accounted for 45.2% of total revenue, while operating lease income accounted for 44.9%, showing a year-on-year increase of 2.5 percentage points[16]. - The financing lease income reached RMB 8,287.4 million, up 17.8% from RMB 7,036.3 million in 2018[77]. - Operating lease income increased by 25.1% to RMB 8,236.7 million, compared to RMB 6,584.8 million in 2018[77]. Asset Management - The proportion of receivables from financing leases in total assets was 54.2%, up by 1.6 percentage points compared to 2018[24]. - The company's total liabilities reached RMB 235,631,426 thousand, with borrowings accounting for 73.9% of total liabilities, an increase of 0.4 percentage points from 2018[27]. - The total amount of social financing increased by RMB 25.58 trillion, with a year-on-year increase of RMB 3.08 trillion, indicating a continuous optimization of the financing structure[69]. Risk Management - The company maintained a robust risk management framework, focusing on credit, market, liquidity, operational, information technology, and reputational risks[188]. - The company emphasized the importance of credit risk management and has implemented a two-dimensional rating system covering all corporate clients to enhance risk pricing capabilities[195]. - The non-performing asset ratio remained stable at 0.89% for both 2019 and 2018, indicating consistent asset quality management[199][200]. Strategic Initiatives - The company is dedicated to becoming a world-class leasing company through continuous improvement and strategic exploration[3]. - The strategic focus includes market-oriented, professional, diversified, and international development to enhance service quality[65]. - The company plans to deepen cooperation with key clients and innovate business models to adapt to market changes[65]. Investment and Growth - New business investments amounted to RMB 93.2 billion, reflecting a year-on-year growth of 12.7%[55]. - Over RMB 28 billion was invested in the Yangtze River Economic Belt, and over RMB 14 billion in the Guangdong-Hong Kong-Macao Greater Bay Area[62]. - The company achieved significant progress in aircraft, shipping, and inclusive finance business models and product innovations[55]. Inclusive Finance and Social Impact - Supported over 25,000 small and micro enterprises, with a cumulative total exceeding 91,000 clients, and leasing assets exceeding RMB 22 billion[62]. - The group's inclusive finance segment generated revenue of RMB 1.255 billion in 2019, representing a year-on-year increase of RMB 265.1 million, or 26.8%[168]. - The company is committed to addressing financing challenges for small and micro enterprises and individuals, enhancing its inclusive finance system[176]. Future Outlook - The aviation industry is expected to grow at an annual rate of 4.5%-5% over the next 20 years, driven by economic growth and increasing consumer spending[124]. - The company plans to continue expanding its aircraft leasing and infrastructure leasing segments, which are its core businesses, while cautiously exploring other leasing opportunities[118]. - The engineering machinery sector is expected to maintain optimistic sales growth in 2020, driven by stable investment demand and equipment renewal needs[178].

Financial Performance - The total revenue for the first half of 2019 was RMB 7,939,397,000, an increase of 28.7% compared to RMB 6,169,832,000 in the same period of 2018[8]. - The net profit for the reporting period was RMB 1,361,203,000, representing a 22% increase from RMB 1,118,395,000 in the first half of 2018[8]. - In the first half of 2019, the company achieved total revenue and other income of RMB 8,738.6 million, an increase of 27.1% compared to RMB 6,872.8 million in the same period last year[47]. - The net profit for the first half of 2019 was RMB 1,361.2 million, up 21.7% from RMB 1,118.4 million in the previous year, primarily due to increased leasing asset investments and improved financing lease business yield[47]. - The company achieved new business investments of RMB 42.207 billion in the first half of 2019, a year-on-year increase of 22.3%, marking the best performance for the same period in history[35]. Revenue Breakdown - Financing lease income accounted for 45.6% of total revenue, while operating lease income accounted for 45.3%, showing a year-on-year increase of 1.7 percentage points[10]. - The financing lease income for the first half of 2019 was RMB 3,985.2 million, a 25.7% increase from RMB 3,171.0 million in the previous year[50]. - Operating lease income reached RMB 3,954.2 million, reflecting a 31.9% increase from RMB 2,998.8 million in the same period last year[50]. - Revenue from aircraft leasing for the first half of 2019 was RMB 4,207.7 million, accounting for 48.2% of total revenue, compared to RMB 3,411.5 million and 49.6% in the same period of 2018[106]. - The infrastructure leasing segment generated revenue and other income of RMB 2,757.0 million in the first half of 2019, an increase of RMB 495.5 million or 21.9% year-on-year[129]. Asset and Liability Overview - Total assets as of June 30, 2019, were RMB 240,195,636,000, a slight increase from RMB 238,066,986,000 at the end of 2018[15]. - The company's total liabilities were RMB 216,216,496,000, with borrowings amounting to RMB 149,517,841,000[15]. - The total liabilities increased by 1.1% to RMB 216,216.5 million as of June 30, 2019, compared to RMB 213,864.0 million at the end of 2018[83]. - The total equity decreased slightly by 0.9% to RMB 23,979.1 million as of June 30, 2019, from RMB 24,203.0 million at the end of 2018[83]. - The net receivables from finance leases reached RMB 130,426.0 million as of June 30, 2019, reflecting a 4.2% growth from RMB 125,141.6 million at the end of 2018, due to strong financing lease investments[86]. Risk Management and Asset Quality - The company's non-performing asset ratio stood at 0.88%, with a provision coverage ratio of 284.67%[35]. - The non-performing asset ratio remained stable at 0.88% as of June 30, 2019, slightly down from 0.89% in 2018[182]. - The group maintained a stable asset quality with a focus on credit risk management, adhering to a prudent risk preference strategy[184]. - The financing lease-related non-performing asset amount was RMB 2,085.6 million, a decrease of RMB 21.8 million from the end of the previous year, with a non-performing asset ratio of 1.50%, down 0.06 percentage points[184]. - The group actively monitors credit concentration risk and has a diversified industry distribution for receivable financing lease payments, mitigating significant concentration risks[189]. Strategic Initiatives and Future Plans - The company aims to enhance its professional service capabilities and maintain its leading position in the rapidly developing leasing industry in China[3]. - The company is focusing on product innovation and business improvement to achieve its vision of becoming a world-class leasing company[3]. - The company plans to enhance its leasing business competitiveness and risk management capabilities in the second half of 2019[46]. - The company aims to deepen its understanding of domestic and international economic conditions and trade uncertainties to maintain stable development[46]. - The company plans to fund capital expenditures through cash generated from operations, bank loans, and net proceeds from global offerings[172]. Operational Efficiency - The average return on total assets for the first half of 2019 was 1.14%, slightly down from 1.18% in 2018[23]. - The average return on equity increased to 11.30% in the first half of 2019, up from 10.73% in 2018[23]. - The financing lease business net interest yield improved to 2.46% in the first half of 2019, compared to 1.59% in 2018[23]. - The company reported a pre-tax profit of RMB 1,821.5 million, a 26.4% increase from RMB 1,441.3 million year-on-year, driven by growth in leasing business income and reduced financing costs[73]. - The company emphasized a balanced approach to "scale, efficiency, and risk" in its operations, focusing on aircraft and infrastructure leasing as core businesses[176]. Funding and Capital Management - The company issued a total of USD 700 million in public bonds and USD 484 million in private bonds in the first half of 2019, and formed a syndicate to raise USD 500 million[44]. - The group issued USD bonds and private placement bonds totaling USD 1.18 billion in the first half of 2019, an increase of USD 1.08 billion compared to the same period last year[103]. - The company is actively promoting external capital replenishment to strengthen its capital base and enhance its ability to serve the real economy[170]. - The company has established diversified funding sources to enhance its financing and liquidity management capabilities[197]. - The company maintained a three-tier liquidity reserve system to mitigate liquidity risks[197].

Financial Performance - The company reported a strong performance with total leasing assets reaching approximately RMB 100 billion, marking a year-on-year growth of 15%[5]. - The total revenue for 2018 was RMB 15,541,310, an increase of 26.5% from RMB 12,314,722 in 2017[18]. - The net profit attributable to the owners of the company for 2018 was RMB 2,506,984, reflecting a 17.6% increase from RMB 2,130,963 in 2017[18]. - The basic and diluted earnings per share for 2018 were RMB 0.20, compared to RMB 0.17 in 2017[18]. - The annual profit for 2018 was RMB 2,507.0 million, an increase of RMB 376.0 million, reflecting a growth of 17.6% year-on-year[79]. - The pre-tax profit for the group increased to RMB 3,274.2 million in 2018, up from RMB 2,807.9 million in 2017, reflecting a growth of 16.6%[137]. Revenue Breakdown - Financing lease income reached RMB 7,036,316, representing a 21.6% increase from RMB 5,784,289 in 2017[18]. - Operating lease income was RMB 6,584,804, up 9.4% from RMB 6,016,001 in 2017[18]. - The total revenue and other income for the year ended December 31, 2018, was RMB 13,621.1 million, an increase of RMB 1,820.8 million or 15.4% compared to the previous year[84]. - Other income and gains reached RMB 1,708.5 million, a significant increase of 405.0% year-on-year, primarily due to increased aircraft asset disposal income[93]. Asset and Liability Growth - The total assets as of December 31, 2018, amounted to RMB 238,066,986, a growth of 27.2% compared to RMB 187,099,272 in 2017[26]. - Total liabilities were RMB 213,863,956, increasing by 30.7% from RMB 163,590,303 in 2017[26]. - The company's total equity was RMB 24,203,030, slightly up from RMB 23,508,969 in 2017[26]. - The group's borrowings increased to RMB 157,186.9 million, marking a 35.2% rise from RMB 116,245.1 million in the previous year[128]. Risk Management and Asset Quality - The company aims to maintain a non-performing asset ratio below 1.5%, reflecting its commitment to risk control and asset quality[6]. - The non-performing asset ratio was 0.89% as of December 31, 2018, up from 0.78% in 2017, indicating a slight deterioration in asset quality[34]. - The company has allocated RMB 1 billion for technology upgrades to improve risk management and operational efficiency in the upcoming year[6]. - The company plans to strengthen risk management and ensure asset quality stability by enhancing multi-dimensional monitoring of project risks[65]. Market Expansion and Strategic Initiatives - The company is actively pursuing market expansion, targeting Southeast Asia and Europe, with plans to establish partnerships in at least 5 new countries by the end of 2019[6]. - A strategic acquisition of a regional leasing firm is under consideration, which could enhance market share by 8%[6]. - The company plans to leverage financing leasing to support stable growth and address structural weaknesses in the economy[56]. - The company aims to optimize its asset structure and expand financing channels, focusing on factoring and insurance funding[65]. Innovation and Product Development - New product development includes the introduction of customized leasing solutions, which are expected to contribute an additional RMB 5 billion in revenue[6]. - The company is committed to innovation and transformation, targeting key regions such as the Guangdong-Hong Kong-Macao Greater Bay Area and the Yangtze River Economic Belt[66]. Awards and Recognition - The company received multiple awards in 2018, including the "Best Listed Leasing Company Award" at the Global Leasing Industry Competitiveness Forum[46]. Industry Trends and Market Outlook - The global aircraft leasing market is expected to continue growing, with a projected demand for over 42,000 new aircraft by 2037[140]. - The company aims to leverage its aircraft leasing platform to address rising fuel prices by providing newer, more fuel-efficient aircraft[144].