CPEC(SH:600339)2019-10-30 16:00Financial Performance - Net profit attributable to shareholders was CNY 410.37 million, down 21.84% year-on-year [5]. - Operating revenue for the first three quarters reached CNY 35.62 billion, an increase of 2.72% year-on-year [6]. - The gross profit margin improved to 7.40%, an increase of 1.07 percentage points year-on-year [6]. - The main business revenue from oil and gas field surface engineering increased by 14.07% to CNY 16.48 billion, driven by successful project progress in Russia and the Middle East [6]. - Basic earnings per share decreased to CNY 0.0735, down 21.81% compared to the same period last year [5]. - The weighted average return on net assets was 1.73%, a decrease of 0.55 percentage points year-on-year [5]. - Net profit for the first three quarters of 2019 was CNY 915,017,013.27, up from CNY 804,180,816.32 in the same period of 2018, indicating a growth of approximately 13.8% [23]. - The net profit for Q3 2019 was CNY 329,486,568.66, a decrease from CNY 402,160,902.26 in Q3 2018, representing a decline of approximately 18.0% [25]. - The total profit for Q3 2019 was CNY 523,535,097.39, compared to CNY 507,465,198.88 in Q3 2018, showing an increase of about 3.3% [25]. Assets and Liabilities - Total assets at the end of the reporting period were approximately CNY 94.37 billion, a decrease of 0.13% compared to the end of the previous year [5]. - As of the end of the reporting period, cash and cash equivalents decreased by 32.33% to RMB 22.40 billion from RMB 33.10 billion at the end of the previous year [11]. - Accounts receivable decreased by 100% to RMB 0.00, reflecting adjustments in accordance with new financial instrument standards [11]. - Inventory increased by 36.03% to RMB 33.38 billion, primarily due to an increase in completed but unsettled labor items [11]. - Total liabilities reached CNY 70,962,746,329.13, compared to CNY 70,777,664,658.04 in the previous year, showing a slight increase [21]. - The total equity attributable to shareholders decreased to CNY 23,352,915,892.79 from CNY 23,635,645,958.92, a decline of about 1.2% [21]. - The company’s short-term borrowings increased by 724.89% to RMB 1.50 billion, primarily due to new borrowings by subsidiaries [13]. - The company’s total liabilities to subsidiaries amounted to RMB 22.56 billion, with a guarantee balance of RMB 32.39 billion at the end of the reporting period [16]. Cash Flow - Cash flow from operating activities showed a significant decline, with a net cash outflow of CNY 11.44 billion, a decrease of 348.11% year-on-year [5]. - The net cash flow from operating activities was negative RMB 11.44 billion, a decrease of 348.11% compared to RMB 4.61 billion in the previous year [16]. - The total cash outflow from operating activities in the first three quarters of 2019 was CNY 57,908,551,839.21, up from CNY 48,702,801,144.18 in 2018 [32]. - The cash inflow from financing activities was CNY 2,067,802,527.50, an increase from CNY 228,470,035.74 in the same period of 2018 [33]. - The net cash flow from financing activities was CNY 662,884,863.84, compared to -CNY 108,325,432.27 in the previous year [33]. Investments and Acquisitions - The company completed the acquisition of 70% equity in Shanghai Huanqiu Engineering Co., Ltd. and 100% equity in China Petroleum Pipeline Engineering Co., Ltd. [6]. - The company’s investment income decreased by 74.22% to RMB 9.60 million, primarily due to a reduction in interest from Angolan government bonds [14]. - The investment income for the first three quarters of 2019 was CNY 412,193,800.00, an increase from CNY 342,308,900.00 in the same period of 2018, representing a growth of about 20.4% [28]. Expenses - The company reported a 52.73% increase in selling expenses to RMB 72.63 million, mainly due to increased technical service fees and transportation costs [14]. - The company’s management expenses for Q3 2019 were CNY 6,105,789.91, down from CNY 8,738,835.30 in Q3 2018, indicating a decrease of approximately 30.0% [28]. - Research and development expenses for Q3 2019 were CNY 36,431,102.62, compared to CNY 31,090,383.99 in Q3 2018, marking an increase of approximately 17% [24]. Shareholder Information - The company reported a total of 59,348 shareholders at the end of the reporting period [9]. - The company’s undistributed profits amounted to ¥2,844,457,826.08, reflecting a decline of ¥105,929,525.16 from the last reporting period [41].