Datang Power(SH:601991)2016-10-27 16:00Financial Performance - Operating revenue for the first nine months decreased by 3.43% to CNY 44,502,535,000 compared to the same period last year[7]. - Net profit attributable to shareholders was a loss of CNY 3,145,374,000, a decrease of 187.69% compared to the same period last year[7]. - Basic earnings per share were CNY -0.2363, a decrease of 187.68% compared to the same period last year[8]. - The company's total profit decreased by approximately 93.54% compared to the previous period, primarily due to the transfer of coal chemical and related project equity[13]. - The net profit attributable to the parent company decreased by approximately 187.69% compared to the previous period, largely due to the same transfer of equity[13]. - Net profit for the first nine months of 2016 was a loss of CNY 10,301,597, compared to a profit of CNY 5,039,346 in the same period last year[38]. - The company reported a significant drop in inventory, with current inventory at RMB 1.88 billion compared to RMB 3.86 billion at the beginning of the year, indicating a reduction in stock levels[25]. - The company reported a significant increase in financial expenses, which reached CNY 1,657,710 in Q3 2016, compared to CNY 1,926,897 in Q3 2015[33]. - The company recorded an investment loss of CNY 13,260,811 for the first nine months of 2016, compared to a profit of CNY 5,404,828 in the same period last year[37]. Assets and Liabilities - Total assets decreased by 24.86% to CNY 227,954,998,000 compared to the end of the previous year[7]. - The total liabilities decreased by approximately RMB 713.27 billion following the equity transfer, leading to a reduction in the asset-liability ratio by approximately 4.87%[16]. - Current liabilities totaled RMB 53.29 billion, a decrease from RMB 70.92 billion at the beginning of the year, reflecting improved short-term financial management[27]. - Non-current liabilities decreased to RMB 117.17 billion from RMB 169.10 billion, indicating a reduction in long-term debt obligations[27]. - The total assets decreased to CNY 76,153,365 in Q3 2016 from CNY 89,464,697 in Q3 2015, indicating a reduction of approximately 15%[31]. - The total liabilities decreased slightly to CNY 41,824,223 in Q3 2016 from CNY 42,487,309 in Q3 2015, reflecting a decrease of about 1.6%[31]. - The company's total equity decreased to RMB 57.49 billion from RMB 63.35 billion, reflecting a decline in shareholder value[27]. - The company's total equity decreased to CNY 34,329,142 in Q3 2016 from CNY 46,977,388 in Q3 2015, a decline of approximately 26.9%[31]. Cash Flow - Cash flow from operating activities for the first nine months decreased by 9.54% to CNY 19,123,418,000 compared to the same period last year[7]. - Investment activities generated a net cash outflow of CNY 9,093,319 for the first nine months of 2016, compared to a net outflow of CNY 8,415,328 in the same period last year[42]. - Financing activities resulted in a net cash outflow of CNY 10,935,627 for the first nine months of 2016, compared to a net outflow of CNY 12,304,025 in the previous year[42]. - The ending cash and cash equivalents balance was $393,762, down from $923,632 at the end of the previous year[44]. - Cash paid for investments was $7,031,728, compared to $8,529,964 in the same period last year[43]. - Cash paid for purchasing goods and services was $4,575,793, slightly up from $4,523,306 year-on-year[43]. - Cash paid for employee compensation was $843,403, an increase from $809,723 in the previous year[43]. Shareholder Information - The total number of shareholders at the end of the reporting period was 225,509[10]. - The largest shareholder, China Datang Corporation, holds 31.10% of the shares, totaling 4,138,977,414 shares[10]. - As of September 30, 2016, the total shares held by Datang Group and its subsidiaries accounted for approximately 34.77% of the company's total issued shares[11]. Strategic Initiatives - The company has committed to injecting profitable thermal power assets from Datang Group, with a deadline for the Hebei assets set for October 2015 and for other non-listed thermal power assets by October 2018[20]. - The company is focused on improving asset quality and enhancing sustainable profitability through strategic asset injections from Datang Group[20]. - The company’s earnings per share or return on equity must show an increasing trend post-asset injection to enhance financial stability[20].