CHALCO(SH:601600)2018-10-25 16:00Financial Performance - The net profit attributable to shareholders for the first nine months of 2018 was approximately RMB 1.5 billion, an increase of 11.02% compared to the same period in 2017[5]. - The operating revenue for the first nine months of 2018 was RMB 125.72 billion, a decrease of 10.25% year-on-year[5]. - The net profit for Q3 2018 was CNY 969,856, slightly down from CNY 971,257 in Q3 2017, representing a decrease of 0.1%[38]. - The company reported a total profit of CNY 1,207,168 for Q3 2018, an increase of 10.2% compared to CNY 1,095,638 in Q3 2017[37]. - The company reported a total operating revenue of CNY 125,716,924 for the first nine months of 2018, down 10.3% from CNY 140,078,509 in the same period of 2017[37]. - The net profit from continuing operations for Q3 2018 was a loss of RMB 329,034 thousand, compared to a profit of RMB 204,913 thousand in the same period last year[42]. - Total comprehensive income for Q3 2018 was RMB -330,907 thousand, down from RMB 205,687 thousand year-over-year[42]. Cash Flow and Liquidity - The net cash flow from operating activities for the first nine months of 2018 was RMB 8.98 billion, an increase of 6.24% compared to the same period last year[5]. - Cash inflow from operating activities for the first nine months of 2018 was RMB 113,709,523 thousand, a decrease of 10.0% from RMB 126,973,752 thousand in the previous year[45]. - Net cash flow from operating activities for the first nine months of 2018 was RMB 8,981,045 thousand, an increase of 6.2% compared to RMB 8,453,754 thousand last year[45]. - Cash outflow from investing activities for the first nine months of 2018 was RMB 4,987,745 thousand, down 53.7% from RMB 10,723,739 thousand in the previous year[46]. - Net cash flow from financing activities for the first nine months of 2018 was RMB -12,361,675 thousand, worsening from RMB -8,933,782 thousand year-over-year[46]. - The cash and cash equivalents at the end of Q3 2018 stood at RMB 23,025,920 thousand, compared to RMB 16,247,149 thousand at the end of the same period last year[46]. Assets and Liabilities - The total assets at the end of the reporting period were RMB 202.93 billion, an increase of 1.25% from the end of the previous year[5]. - The total assets as of September 30, 2018, amounted to 202.93 billion RMB, compared to 200.41 billion RMB at the beginning of the year[31]. - Total liabilities increased to 136.28 billion RMB from 134.90 billion RMB at the beginning of the year[32]. - The total liabilities decreased to CNY 70,597,796 in Q3 2018 from CNY 78,751,285 in Q3 2017, a reduction of 10.5%[35]. - The total equity increased to CNY 36,481,912 in Q3 2018 from CNY 36,184,830 in Q3 2017, reflecting a growth of 0.8%[35]. Investments and Expenditures - The cash and cash equivalents decreased by 17%, primarily due to the repayment of maturing debts[11]. - The prepayments increased by 210%, mainly due to procurement prepayments not yet settled[12]. - The construction in progress increased by 38%, attributed to increased expenditures on key projects[14]. - Research and development expenses rose by 224%, indicating a significant increase in investment in R&D[21]. - Research and development expenses increased to CNY 119,080 in Q3 2018, up from CNY 49,674 in Q3 2017, marking a significant increase of 139.5%[37]. Financing Activities - Short-term borrowings increased by 24%, mainly due to new bank loans[15]. - Long-term borrowings increased by 31%, as the company optimized its debt structure with new medium to long-term bank loans[19]. - The company's bonds payable increased by 119%, primarily due to the optimization of the debt structure and the issuance of new medium to long-term bonds[20]. - The company received RMB 53,931,559 thousand in borrowings during the first nine months of 2018, an increase of 4.0% from RMB 51,366,655 thousand in the previous year[46]. - The company issued bonds worth RMB 7,240,000 thousand in the first nine months of 2018, compared to RMB 3,500,000 thousand in the same period last year[46]. - The total cash inflow from financing activities for the first nine months of 2018 was RMB 61,888,939 thousand, an increase of 11.0% from RMB 55,607,268 thousand in the previous year[46]. Future Plans - The company plans to issue A-shares to acquire stakes in several companies, including a 30.7954% stake in Chalco Shandong and a 36.8990% stake in Chalco Zhongzhou[25]. - The total valuation of the assets to be acquired is approximately 12.71 billion RMB, with the issuance of about 2.12 billion shares at a price of 6.00 RMB per share[26]. - The company has received preliminary approval from the State-owned Assets Supervision and Administration Commission for the asset restructuring plan[26].