Guizhou Gas(SH:600903)2018-10-25 16:00Financial Performance - Operating revenue for the first nine months rose by 24.35% to CNY 2,384,955,174.08 year-on-year[5] - Net profit attributable to shareholders increased by 13.93% to CNY 116,613,220.79 for the same period[5] - The company experienced a decrease in basic and diluted earnings per share by 6.67% to CNY 0.14[5] - The net profit for the first nine months of 2018 was -4,950,894.25, a decrease of 154.15% compared to the same period last year, primarily due to increased costs from non-residential gas pricing and higher financing expenses[11] - Net profit for the first nine months of 2018 was CNY 102,972,274.38, a 7.3% increase from CNY 95,809,777.45 in the same period last year[33] - The company reported a net loss of CNY 4,950,894.25 for the third quarter of 2018, compared to a net profit of CNY 9,143,632.41 in the same quarter of the previous year[33] - The cumulative net profit from January to September 2018 showed negative growth, primarily due to increased costs from non-residential gas price hikes and higher financing costs[20] Cash Flow and Liquidity - Cash flow from operating activities decreased by 54.67% to CNY 155,285,347.98 compared to the previous year[5] - The company reported a significant increase in cash and cash equivalents, up 68.32% to CNY 758,799,943.43 due to increased external financing[10] - Cash inflow from operating activities for the parent company was CNY 1,146,659,253.37, down 11.9% from CNY 1,301,014,433.36 year-on-year[41] - The parent company reported a net cash outflow from operating activities of CNY 117,997,426.21, compared to a net inflow of CNY 158,825,355.61 in the previous year[41] - Net cash flow from operating activities decreased to CNY 155,285,347.98, down 54.7% from CNY 342,579,185.22 year-on-year[38] - Total cash and cash equivalents at the end of the period reached CNY 694,120,331.72, up from CNY 237,365,228.54 at the end of the previous year[39] Assets and Liabilities - Total assets increased by 4.56% to CNY 8,026,576,879.12 compared to the end of the previous year[5] - Current liabilities increased to 3.74 billion RMB from 3.15 billion RMB at the start of the year, reflecting a rise in short-term borrowings[26] - Total liabilities as of the end of the third quarter of 2018 amounted to CNY 3,622,634,662.21, an increase from CNY 3,245,406,753.72 at the end of the previous year[32] - The company's total equity decreased to CNY 2,148,418,155.54 from CNY 2,240,665,049.31 in the previous year[32] Investment and Strategic Initiatives - The company invested 80 million in Guizhou Province Natural Gas Co., Ltd. as part of its capital increase strategy[16] - The company established a new subsidiary, Guizhou Zhong'an Cloud Network Technology Co., Ltd., with a registered capital of 30 million, holding a 21% stake[18] - The company participated in the establishment of Yunmatong Data Operation Co., Ltd. with a registered capital of 100 million, holding a 10% stake[18] - The company plans to continue expanding its market presence through strategic investments and partnerships in the gas sector[18] Operational Challenges and Risks - The company faces risks in achieving its annual profit target of 165.77 million RMB due to ongoing operational challenges in Q4 2018[20] - The company emphasizes the need for cautious investment decisions due to the outlined risks and uncertainties in future performance[20] Other Income and Expenses - Non-operating income for the first nine months totaled CNY 14,322,551.02, with government subsidies contributing significantly[7] - The company incurred financial expenses of CNY 121,063,076.94 for the first nine months of 2018, compared to CNY 101,635,834.46 in the previous year[32] - Other income increased to 14,568,265.37, a rise of 266.51% compared to the previous year, mainly due to rewards received during the reporting period[11] - The company incurred financial expenses of ¥23,038,650.93 in Q3 2018, an increase from ¥15,771,250.37 in Q3 2017[35]