SMEG(SH:600689)2018-10-30 16:00Financial Performance - Operating revenue increased by 12.86% to CNY 1,008,000,543.45 year-to-date[8] - Net profit attributable to shareholders decreased by 93.28% to CNY 2,381,080.37 year-to-date[8] - Basic and diluted earnings per share decreased by 93.18% to CNY 0.012[8] - Total operating revenue for Q3 2018 reached ¥358,274,270.07, an increase of 11.6% compared to ¥320,920,227.88 in Q3 2017[30] - Net profit for Q3 2018 was ¥845,405.10, compared to ¥643,194.92 in Q3 2017, representing a growth of 31.4%[31] - The company reported a total profit of ¥1,523,211.44 for Q3 2018, an increase of 118.5% from ¥698,007.27 in Q3 2017[31] - Operating profit for the first nine months of 2018 was ¥3,539,332.30, a decrease of 93.2% from ¥52,192,875.11 in the previous year[31] - The company’s total comprehensive income for Q3 2018 was ¥1,296,428.10, compared to ¥4,852,839.17 in Q3 2017, indicating a decline of 73.3%[32] Asset and Liability Management - Total assets decreased by 3.70% to CNY 724,608,737.42 compared to the end of the previous year[8] - Total current assets decreased from CNY 436,170,450.05 at the beginning of the year to CNY 414,613,798.31, a decline of approximately 4.0%[23] - Total liabilities decreased from CNY 283,504,353.66 to CNY 253,713,238.09, a reduction of about 10.5%[25] - The company's total assets decreased from CNY 752,458,122.27 to CNY 724,608,737.42, a decline of approximately 3.7%[25] - Non-current assets totaled CNY 309,994,939.11, down from CNY 316,287,672.22, indicating a decrease of about 2.1%[24] - The total equity attributable to shareholders increased from CNY 458,916,748.32 to CNY 460,798,271.04, a growth of about 0.4%[25] - The company's total liabilities to equity ratio improved from 0.61 to 0.54, indicating a stronger financial position[25] Cash Flow Analysis - Net cash flow from operating activities improved to CNY -27,280,676.42 from CNY -36,449,050.50 year-on-year[8] - The net cash flow from operating activities for the first nine months was CNY -27,280,676.42, an improvement compared to CNY -36,449,050.50 in the previous year[36] - The company reported a net cash flow from investment activities of CNY -153,627,456.39, worsening from CNY -65,703,293.43 year-over-year[36] - The net cash flow from financing activities was CNY -3,019,566.68, compared to CNY -13,173,425.65 in the same period last year, indicating a reduction in cash outflow[37] - Cash inflows from operating activities totaled CNY 1,144,050,310.48, compared to CNY 1,065,399,130.31 in the previous year, indicating a positive trend[36] - Cash outflows from operating activities of CNY 1,171,330,986.90, which is higher than CNY 1,101,848,180.81 in the previous year, reflecting increased operational costs[36] Inventory and Receivables - Inventory increased by 50.38% year-on-year, rising from ¥11,734,217.25 to ¥17,645,969.78, attributed to goods dispatched but not yet invoiced[15] - Accounts receivable slightly increased from CNY 50,178,187.62 to CNY 50,789,323.20, reflecting a growth of about 1.2%[23] - Inventory rose significantly from CNY 11,734,217.25 to CNY 17,645,969.78, marking an increase of approximately 50.5%[23] Government Support and Other Income - The company received government subsidies amounting to CNY 1,673,455.95 year-to-date[9] - Other income increased by 63.97% year-on-year, from ¥2,613,574.84 to ¥1,673,455.95, due to an increase in government subsidies closely related to business operations[16] - The company reported a non-operating income of CNY 5,095,018.64 year-to-date[10] Strategic Initiatives - The company plans to sell five residential properties located in Chongqing and Shenzhen to enhance asset operation efficiency and reduce management costs[19] - The company has three properties still pending sale and is actively engaging in public listing for these assets[19] - The company has not disclosed any new product developments or market expansion strategies in this report[5] - The company has not identified any significant changes in net profit expectations compared to the previous year[20] Financial Ratios and Returns - The weighted average return on net assets decreased by 7.34 percentage points to 0.52%[8] - Financial expenses rose by 138.39% year-on-year, from a negative amount to ¥947,580.98, mainly due to changes in foreign exchange gains and losses[16] - Investment income decreased by 92.39% year-on-year, from ¥23,595,472.97 to ¥1,794,760.22, primarily due to the previous year's transfer of equity in Ancheng Insurance[16]