CHINA WUYI(SZ:000797)2018-08-31 16:00Financial Performance - The company's operating revenue for the first half of 2018 was CNY 1,031,483,440.74, representing a 9.84% increase compared to CNY 939,108,122.28 in the same period last year[17]. - The net profit attributable to shareholders for the first half of 2018 was CNY 79,558,304.85, a significant increase of 46.92% from CNY 54,149,499.59 in the previous year[17]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 80,608,760.08, up 53.41% from CNY 52,544,687.54 year-on-year[17]. - The basic earnings per share for the first half of 2018 was CNY 0.079, an increase of 46.30% compared to CNY 0.054 in the same period last year[17]. - The total operating revenue for the current period reached ¥694,676,584.78, a significant increase of 39% compared to ¥499,678,231.34 in the previous period[135]. - The net profit for the current period was ¥88,403,687.90, recovering from a net loss of ¥10,772,102.13 in the previous period[135]. - The total profit amounted to ¥116,091,279.81, compared to ¥8,872,385.73 in the previous period, indicating a substantial improvement[135]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 15,165,560,610.33, a decrease of 0.83% from CNY 15,292,449,705.16 at the end of the previous year[17]. - The total liabilities decreased to approximately 9.67 billion RMB from 9.79 billion RMB year-on-year[129]. - Cash and cash equivalents decreased by 38.41% due to payments for land acquisition in Australia and other projects[27]. - Accounts receivable increased by 39.98% to CNY 807,524,750.75, primarily due to an increase in receivables from international engineering projects and real estate sales[48]. - Inventory grew by 35.07% to CNY 9,952,399,672.30, representing 65.63% of total assets, attributed to new land development[48]. - Fixed assets increased by 58.25% to CNY 435,804,618.79, mainly due to new machinery and the completion of the Congo base[48]. - The total equity attributable to shareholders increased slightly to CNY 5,042,728,963.24 from CNY 5,030,953,935.61, showing a marginal growth of 0.2%[132]. Cash Flow - The net cash flow from operating activities was negative CNY 1,180,677,435.48, a drastic decline of 1,433.48% compared to CNY 88,541,139.32 in the same period last year[17]. - The operating cash flow for the current period was negative at -¥1,180,677,435.48, a decline from a positive cash flow of ¥88,541,139.32 in the previous period[137]. - Cash outflow from operating activities increased to 1,938,949,588.56, compared to 1,205,226,508.89, marking an increase of about 60.9%[139]. - The company reported a cash and cash equivalents balance of ¥2,269,966,520.27 at the end of the period, down from ¥2,604,558,083.03 in the previous period[137]. Investments and Projects - The company has 28 ongoing construction projects with a total contract value of approximately 6.6 billion RMB (66 million) as of the first half of 2018[25]. - The company has a total of 16 real estate projects under construction, covering an area of approximately 1.49 million square meters[26]. - The company plans to invest CNY 602 million in the construction of the China-Mombasa Wuyi Industrial Park in Kenya, currently in the planning and investment attraction phase[40]. - The company has invested 635 million RMB in establishing a construction industrialization research and production base in Kenya[30]. - The company secured five new international engineering projects with a total contract value of CNY 1.744 billion, completing 43.6% of the annual plan[40]. Shareholder and Equity Information - The company plans not to distribute cash dividends or bonus shares for this reporting period[5]. - The major shareholders, Fujian Construction Group and Fujian Energy Group, had a total of 143,184,236 shares (14.2% of total shares) released from restrictions on January 5, 2018[95]. - Fujian Construction Group holds 32.42% of the total shares, amounting to 326,706,400 shares[100]. - The total number of ordinary shareholders at the end of the reporting period was 28,414[100]. - The company has initiated a stock repurchase plan for 200,000 restricted stocks from two former employees, adjusting the total number of unvested restricted stocks to 7,867,500 shares[70]. Risk Management and Compliance - The company anticipates facing risks related to the global economic environment, including slow recovery and trade tensions, which may impact international business and investments[60]. - The company is committed to enhancing risk management capabilities and improving product quality and services to mitigate potential risks[60]. - The company reported a litigation case involving China Construction Bank, with a disputed amount of RMB 25 million and a judgment requiring the company to bear joint liability for the loan repayment[67]. - The company is involved in another litigation with a total disputed amount of RMB 2,988,000, with ongoing proceedings and a counterclaim filed against it[68]. Corporate Social Responsibility - The company has conducted over 90 public welfare projects in Africa, addressing issues such as access to clean water and education for thousands of people[86]. - The company has employed and trained over 6,000 local employees in Africa, enhancing local employment and skills[86]. - In the first half of the year, the company donated materials worth CNY 70,500 in Papua New Guinea and CNY 14,400 in Kenya[87]. - The total material discount for poverty alleviation efforts amounted to CNY 84,900[88]. Financial Management - The company maintained a credit rating of AA with a stable outlook as per the tracking report issued by China Chengxin Securities Rating Co., Ltd.[115]. - The company has issued corporate bonds with a total balance of 490 million RMB and an interest rate of 5.58%, maturing in December 2022[112]. - The company strictly adhered to the commitments outlined in the bond issuance prospectus during the reporting period[121]. - The company reported a significant increase in inventory, which rose to approximately 9.95 billion RMB from 6.92 billion RMB[128]. Accounting Policies - The company recognizes the fair value of remaining equity interests when control is lost over a subsidiary, with any differences recorded as investment income[164]. - The company applies an aging analysis method for bad debt provision, with rates ranging from 1.00% for receivables within 1 year to 100% for those over 5 years[178]. - The company uses a perpetual inventory system for tracking inventory[183]. - The company recognizes impairment losses on available-for-sale financial assets due to a non-temporary decline in value[176].