JCET(SH:600584)2016-10-28 16:00Financial Performance - Operating revenue for the first nine months reached CNY 13.28 billion, a 102.76% increase year-on-year[6] - Net profit attributable to shareholders decreased by 61.17% to CNY 59.71 million compared to the same period last year[6] - The company's operating revenue for the first nine months reached RMB 1,328,295.07 million, a 102.76% increase compared to the same period last year, primarily due to the acquisition of StarTech and the scale production of JSCK in South Korea[18] - The company reported a net profit attributable to shareholders of RMB 5,971.36 million, a decrease of 61.17% compared to the previous year, primarily due to losses from StarTech[18] - Net profit for the first nine months of 2016 was ¥13,282,950,673.51, up from ¥6,551,035,095.05 in the same period last year, reflecting a growth of approximately 102.6%[33] - Total profit for the first nine months of 2016 was CNY 159,346,795.53, a decrease from CNY 58,711,986.87 in the same period last year[39] Assets and Liabilities - Total assets increased by 17.96% to CNY 30.15 billion compared to the end of the previous year[6] - The total liabilities increased by 81.11% to RMB 453,246.66 million, mainly due to the expansion of the company's scale and the production of equipment and materials by JSCK[17] - The total current liabilities reached CNY 13,367,821,913.80, up from CNY 10,311,501,897.73, indicating an increase of approximately 29.9%[26] - Non-current assets totaled CNY 21,339,794,049.03, compared to CNY 18,749,474,868.77 at the beginning of the year, showing an increase of about 13.5%[26] - The company's total assets as of September 30, 2016, amounted to ¥12,411,724,714.05, compared to ¥10,178,150,106.86 at the beginning of the year, marking an increase of about 22.0%[30] - Total liabilities increased to ¥8,303,020,658.93 as of September 30, 2016, from ¥6,201,788,014.22 at the beginning of the year, representing a growth of approximately 33.9%[30] Cash Flow - The net cash flow from operating activities increased by 53.49% to CNY 1.49 billion year-to-date[6] - Cash received from operating activities decreased by 59.28% to 5,769.53 thousand, primarily due to the recovery of note guarantee deposits in the same period last year[19] - The cash inflow from operating activities for the first nine months reached ¥12.93 billion, a significant increase of 79.5% compared to ¥7.22 billion in the same period last year[43] - The net cash flow from operating activities was ¥1.49 billion, up 53.4% from ¥968.4 million year-on-year[43] - The cash inflow from financing activities was ¥7.74 billion, an increase of 12.9% from ¥6.85 billion in the previous year[44] - The net cash flow from financing activities was ¥1.58 billion, down 57.4% from ¥3.70 billion year-on-year[44] Shareholder Information - The total number of shareholders reached 75,350 by the end of the reporting period[13] - Jiangsu Xinchao Technology Group holds 18.37% of the shares, with 51.34 million shares under lock-up and 133.93 million shares pledged[13] Operational Highlights - The company consolidated the revenue of Xinke Jinpeng following its acquisition, which contributed to the revenue growth[8] - The company’s Korean subsidiary, JSCK, achieved revenue of USD 195 million in the third quarter after starting large-scale production[7] - The operating costs for the same period were RMB 1,177,811.17 million, reflecting a 125.24% increase, attributed to the consolidation of StarTech's operating costs and the scale production of JSCK[18] - Accounts receivable increased by 54.46% to RMB 284,051.14 million, mainly due to the scale production of JSCK[17] - Inventory rose by 43.05% to RMB 185,114.13 million, driven by the scale production of JSCK and increased revenue[17] Financial Strategy and Plans - The company plans to acquire 29.41% of Changdian Xinke and 22.73% of Changdian Xinpeng through a share issuance, with total fundraising not exceeding 100% of the asset purchase price[20] - The company received a notice from the China Securities Regulatory Commission (CSRC) regarding the acceptance of its application for the issuance of shares to purchase assets[20] - The company applied to suspend the review of the major asset restructuring due to unclear related policies[20] - The company submitted an application to resume the review of the asset purchase and fundraising plan, which was accepted by the CSRC[21] - The company has committed not to transfer shares held by New Tide Group for 12 months post-transaction completion[21] Other Financial Metrics - The basic earnings per share dropped by 61.59% to CNY 0.06 due to a significant decrease in net profit attributable to shareholders[7] - The company's cash and cash equivalents reached CNY 2,771,103,337.24, up from CNY 2,579,220,055.12 at the beginning of the year, indicating a growth of approximately 7.4%[25] - The company reported a significant increase in fixed assets, which rose to CNY 14,516,788,418.34 from CNY 13,305,447,524.51, a growth of approximately 9.1%[26] - The company recorded other income of CNY 4,141,350.07 in Q3 2016, down from CNY 7,212,215.38 in Q3 2015[39] - The financial expenses for Q3 2016 were CNY 77,040,232.23, compared to CNY 85,025,387.87 in Q3 2015, indicating a decrease of 9.3%[39]