SMEG(SH:600689)2015-10-30 16:00Financial Performance - Total assets decreased by 9.50% to CNY 747,723,551.48 compared to the previous year-end[8] - Net assets attributable to shareholders decreased by 14.89% to CNY 345,624,579.99[8] - Operating revenue for the first nine months decreased by 15.08% to CNY 817,784,118.01 compared to the same period last year[8] - Net profit attributable to shareholders was a loss of CNY 20,103,884.47, a decrease of 127.24% compared to the previous year[8] - Basic earnings per share decreased by 127.25% to -CNY 0.100[8] - Total operating revenue for Q3 2015 was ¥247,702,773.08, a decrease of 25% compared to ¥329,594,716.98 in Q3 2014[37] - Net profit for Q3 2015 was a loss of ¥8,826,091.06, compared to a profit of ¥88,566,803.15 in Q3 2014[38] - Total comprehensive income for Q3 2015 was CNY -8,867,380.69, compared to CNY 105,912,785.70 in Q3 2014[42] Cash Flow - Cash flow from operating activities for the first nine months was -CNY 5,014,057.44, showing an improvement from -CNY 43,445,634.71 in the previous year[8] - The net cash flow from operating activities improved by 88.46%, reaching -¥5,014,057.44, primarily due to tax refunds received[14] - Cash flow from operating activities for the first nine months included 126,321,823.29 RMB received from other operating activities, down from 272,168,602.29 RMB last year[48] - The total cash inflow from operating activities for the first nine months of 2015 was 185,492,436.76 RMB, compared to 368,343,577.80 RMB in the same period last year, reflecting a decrease[48] Assets and Liabilities - The company reported a significant decrease in financial assets measured at fair value, down 93.55% to CNY 547,610.00[11] - Accounts receivable increased by 123.03% to CNY 58,478,503.45, indicating a rise in trade business income yet to be settled[11] - Long-term equity investments increased by 296.78% to ¥3,727,218.28, attributed to new long-term equity investments made during the period[12] - Total liabilities were CNY 388,122,070.26, down from CNY 405,499,806.88 at the beginning of the year[31] - The company's equity attributable to shareholders decreased to CNY 345,624,579.99 from CNY 406,069,919.50 at the beginning of the year[31] Investment Activities - The company announced a major asset restructuring involving the acquisition of 100% equity in Wanyuantong, with ongoing negotiations and uncertainties[15] - The company terminated its major asset restructuring plan due to disagreements on transaction terms with the counterparty, leading to a suspension of its stock[17] - The company sold 1.4 million shares of Shangong Shenbei and 2.366 million shares of Pudong Development Bank, generating a total revenue of RMB 55.65 million, with a net gain of RMB 52.57 million after costs[23] - The company transferred its 200,000 shares in Tianjin Dawi Group for RMB 2 million due to the company's declining performance and inability to achieve its IPO plans[23] Shareholder Information - The number of shareholders reached 29,912, with the largest shareholder holding 25.95% of the shares[9] - Shareholder Cai Lin and her concerted actors reduced their holdings by 4,028,201 B shares at an average price between $0.8042 and $0.9396 from January 30 to March 18, 2015, retaining 9,971,123 B shares, which is 4.96% of the total share capital[28] Government and Legal Matters - The company received government subsidies amounting to CNY 739,444.39 during the reporting period[9] - The company has a maximum liability of RMB 60 million as a guarantor for Sanmao Import and Export's loan from CITIC Bank, as per the final court ruling[21] - The company paid RMB 60 million as a guarantee in March 2015 and subsequently filed for a retrial, which was rejected by the court[22] Operational Changes - The company decided to cease operations at Shanghai Yimaotiao Textile Co., Ltd. and transfer production capacity to its subsidiary, Taicang Sanmao Textile Co., Ltd.[24] - The company increased its investment in Shanghai Kunaka Garment Co., Ltd. from RMB 16 million to RMB 26 million, maintaining its shareholding ratio[24] - The company established a joint venture for elderly care investment with a total registered capital of RMB 1 million, with the company contributing RMB 510,000[25] - The company is developing a co-working space through a joint venture with Shanghai Wantou Investment Development Co., Ltd., investing RMB 1.71 million for a 32% stake[25] - The company is in the process of establishing a joint venture called "Ant Nest" for an "Internet + Education" project, with an investment of RMB 100,000 from the company[27]