华建集团(600629) - 2019 Q1 - 季度财报

Important Notice This section includes statements from the Board of Directors, Supervisory Board, and senior management affirming the quarterly report's accuracy, and confirms the report remains unaudited Statement by Board of Directors, Supervisory Board, and Senior Management The Board of Directors, Supervisory Board, and senior management affirm the quarterly report's truthfulness, accuracy, and completeness, with all directors participating in the review - The Board of Directors, Supervisory Board, and senior management guarantee the quarterly report's truthfulness, accuracy, and completeness, free from false statements, misleading representations, or material omissions, assuming individual and joint legal responsibility[4] - All company directors attended the Board of Directors meeting to review the quarterly report[4] - Company head Qin Baohua, chief accountant Wu Fengyu, and head of accounting He Jing guarantee the truthfulness, accuracy, and completeness of the financial statements in the quarterly report[6] Unaudited Quarterly Report Statement This company's first quarterly report is unaudited - This company's first quarterly report is unaudited[6] Company Profile This section provides an overview of the company's key financial performance, including asset and profit growth, cash flow, and detailed shareholder information as of the reporting period end Key Financial Data As of the reporting period end, total assets slightly decreased, while net assets attributable to shareholders increased; operating revenue and net profit attributable to shareholders both grew by double digits, though net cash flow from operating activities remained negative and slightly declined year-on-year Key Financial Data Overview (As of March 31, 2019) | Indicator | Current Period End/Year-to-Date (RMB) | Prior Year End/Prior Year-to-Date (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Balance Sheet Data: | | | | | Total Assets | 8,356,981,839.72 | 8,484,849,666.81 | -1.51 | | Net Assets Attributable to Shareholders of Listed Company | 2,782,955,188.64 | 2,697,690,239.18 | 3.16 | | Income Statement Data: | | | | | Operating Revenue | 1,557,729,828.28 | 1,291,947,639.57 | 20.57 | | Net Profit Attributable to Shareholders of Listed Company | 81,815,629.80 | 71,138,198.99 | 15.01 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains/Losses) | 59,183,254.53 | 47,924,634.81 | 23.49 | | Weighted Average Return on Net Assets (%) | 2.987 | 2.833 | Increased by 0.15 percentage points | | Basic Earnings Per Share (RMB/share) | 0.1893 | 0.1646 | 15.01 | | Diluted Earnings Per Share (RMB/share) | 0.1893 | 0.1646 | 15.01 | | Cash Flow Statement Data: | | | | | Net Cash Flow from Operating Activities | -468,875,660.30 | -446,888,951.73 | -4.92 | Non-Recurring Gains and Losses During the reporting period, the company's total non-recurring gains and losses amounted to RMB 22,632,375.27, primarily from government subsidies recognized in current profit or loss Non-Recurring Gains and Losses Items and Amounts (Current Period) | Item | Current Period Amount (RMB) | | :--- | :--- | | Government subsidies recognized in current profit or loss | 26,081,100.00 | | Other non-operating income and expenses | 545,222.89 | | Impact on minority interests (after tax) | -7,000.00 | | Income tax impact | -3,986,947.62 | | Total | 22,632,375.27 | Shareholder Information As of the reporting period end, the company had 17,100 shareholders; the top two state-owned corporate shareholders, Shanghai Xian Dai Architectural Design (Group) Co., Ltd. and Shanghai Guosheng (Group) Co., Ltd., collectively held over 69% of shares, with the former holding a significant portion of restricted shares - As of the reporting period end, the total number of shareholders was 17,100[8] Top Ten Shareholders' Holdings (As of March 31, 2019) | Shareholder Name | Shares Held at Period End (shares) | Proportion (%) | Number of Restricted Shares Held (shares) | Shareholder Nature | | :--- | :--- | :--- | :--- | :--- | | Shanghai Xian Dai Architectural Design (Group) Co., Ltd. | 242,455,352 | 54.47 | 59,334,425 | State-owned Legal Person | | Shanghai Guosheng (Group) Co., Ltd. | 66,083,468 | 14.85 | 0 | State | | Everbright Pramerica Fund - Bank of Ningbo - Jvzhou Asset Management (Shanghai) Co., Ltd. | 4,933,399 | 1.11 | 0 | Other | | Zhang Xiaopeng | 2,240,000 | 0.50 | 0 | Domestic Natural Person | | Shi Qian | 2,040,000 | 0.46 | 0 | Domestic Natural Person | | Caitong Fund - ICBC - Shaanxi International Trust - Shanguotou · Steady No. 5 Targeted Investment Collective Fund Trust Plan | 1,933,892 | 0.43 | 0 | Other | | Industrial and Commercial Bank of China Ltd. - CSI Shanghai State-Owned Enterprise ETF | 1,507,723 | 0.34 | 0 | Other | | Shanghai Electric Science Chengding Smart Industry Investment Partnership (Limited Partnership) | 1,480,019 | 0.33 | 0 | Other | | Shanghai Shibei Hi-Tech Co., Ltd. | 1,381,351 | 0.31 | 0 | Other | | Yang Qiming | 1,230,000 | 0.28 | 0 | Domestic Natural Person | - Shanghai Xian Dai Architectural Design (Group) Co., Ltd. and Shanghai Guosheng (Group) Co., Ltd. are both state-owned enterprises supervised by the Shanghai State-owned Assets Supervision and Administration Commission, indicating an associated relationship[10] Significant Events This section details significant changes in key financial statement items and indicators, providing analysis for variations in income statement and cash flow items, and confirms no outstanding commitments or predicted losses Significant Changes and Reasons for Key Financial Statement Items and Indicators During the reporting period, several key items in the company's income statement and cash flow statement underwent significant changes, including substantial increases in selling and R&D expenses, a significant rise in investment income, increased net cash outflow from investing activities, and a substantial increase in net cash inflow from financing activities Analysis of Income Statement Item Changes Selling expenses increased by 34.26% due to market expansion, R&D expenses rose by 58.71% from increased innovation investment, credit impairment losses grew by 50.88% due to older receivables, and investment income surged by 151.66% from cash dividends and equity method accounting Major Income Statement Item Changes and Reasons (Q1 2019 vs Q1 2018) | Account | Current Period Amount (RMB) | Prior Year Same Period Amount (RMB) | Change (%) | Primary Reason | | :--- | :--- | :--- | :--- | :--- | | Selling Expenses | 17,420,938.30 | 12,975,755.85 | 34.26 | Mainly due to increased expenses from establishing and expanding regional markets | | R&D Expenses | 37,542,946.26 | 23,655,179.14 | 58.71 | This period saw vigorous implementation of technological innovation, enhancing technological innovation competitiveness, and increasing R&D investment | | Credit Impairment Losses | 12,173,779.88 | 8,068,549.58 | 50.88 | Mainly due to an increase in the aging of receivables for some projects compared to the same period last year | | Investment Income | 14,725,429.58 | 5,851,285.69 | 151.66 | Mainly due to new cash dividends from associate Shanghai Shentong Jinpu Phase I New Industry Equity Investment Fund Partnership and increased investment income from equity method accounting for associates | Analysis of Cash Flow Statement Item Changes Net cash flow from operating activities remained negative and slightly decreased year-on-year; net cash outflow from investing activities significantly increased by 126.26% due to higher external investments, while net cash inflow from financing activities surged by 113.16% primarily from increased cash received from restricted share issuance Major Cash Flow Statement Item Changes and Reasons (Q1 2019 vs Q1 2018) | Account | Current Period Amount (RMB) | Prior Year Same Period Amount (RMB) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -468,875,660.30 | -446,888,951.73 | -4.92 | | | Net Cash Flow from Investing Activities | -167,362,306.72 | -73,967,866.75 | -126.26 | The main reason for the increase in net cash outflow from investing activities compared to the same period last year is the increase in cash paid for external investments in the current period | | Net Cash Flow from Financing Activities | 161,624,900.99 | 75,822,935.32 | 113.16 | The main reason for the increase in net cash inflow from financing activities compared to the same period last year is the increase in cash received from investments due to the non-public issuance of restricted shares in the current period | Other Significant Matters During the reporting period, the company had no overdue unfulfilled commitments and did not anticipate cumulative net profit loss or significant changes from the beginning of the year to the end of the next reporting period - Analysis of progress, impact, and solutions for significant matters: Not applicable[13] - Overdue unfulfilled commitments during the reporting period: Not applicable[13] - Warning and explanation of reasons for cumulative net profit from the beginning of the year to the end of the next reporting period possibly being a loss or undergoing significant changes compared to the same period last year: Not applicable[13] Appendix This section provides the full set of unaudited consolidated and parent company financial statements for Q1 2019, along with details on adjustments made due to the initial adoption of new financial instrument standards Financial Statements This section presents the company's unaudited consolidated and parent company financial statements for Q1 2019, including the balance sheet, income statement, and cash flow statement, detailing financial position, operating results, and cash flows for the period Consolidated Balance Sheet As of March 31, 2019, consolidated total assets were RMB 8.357 billion, a slight decrease from year-end; total current assets were RMB 5.836 billion, non-current assets RMB 2.521 billion; total liabilities RMB 5.389 billion, and total owners' equity RMB 2.968 billion Consolidated Balance Sheet Key Data (As of March 31, 2019) | Item | March 31, 2019 (RMB) | December 31, 2018 (RMB) | | :--- | :--- | :--- | | Total Assets | 8,356,981,839.72 | 8,484,849,666.81 | | Total Current Assets | 5,836,125,188.06 | 6,086,890,667.35 | | Total Non-Current Assets | 2,520,856,651.66 | 2,397,958,999.46 | | Total Liabilities | 5,389,450,868.17 | 5,611,246,919.56 | | Total Owners' Equity | 2,967,530,971.55 | 2,873,602,747.25 | | Total Owners' Equity Attributable to Parent Company | 2,782,955,188.64 | 2,697,690,239.18 | Parent Company Balance Sheet As of March 31, 2019, parent company total assets were RMB 4.450 billion, a decrease from year-end; total current assets were RMB 1.562 billion, non-current assets RMB 2.888 billion; total liabilities RMB 1.623 billion, and total owners' equity RMB 2.827 billion Parent Company Balance Sheet Key Data (As of March 31, 2019) | Item | March 31, 2019 (RMB) | December 31, 2018 (RMB) | | :--- | :--- | :--- | | Total Assets | 4,450,426,354.79 | 4,758,416,076.98 | | Total Current Assets | 1,562,302,147.85 | 2,003,940,714.83 | | Total Non-Current Assets | 2,888,124,206.94 | 2,754,475,362.15 | | Total Liabilities | 1,623,207,344.42 | 1,932,985,996.83 | | Total Owners' Equity | 2,827,219,010.37 | 2,825,430,080.15 | Consolidated Income Statement In Q1 2019, consolidated total operating revenue was RMB 1.558 billion, up 20.57%; operating profit was RMB 80.18 million, net profit RMB 90.48 million, and net profit attributable to parent company shareholders RMB 81.82 million, up 15.01%; basic earnings per share was RMB 0.1893 Consolidated Income Statement Key Data (Q1 2019 vs Q1 2018) | Item | Q1 2019 (RMB) | Q1 2018 (RMB) | Year-on-Year Growth (%) | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 1,557,729,828.28 | 1,291,947,639.57 | 20.57 | | Operating Profit | 80,176,945.03 | 70,454,758.62 | 13.80 | | Total Profit | 106,803,267.92 | 97,777,560.70 | 9.23 | | Net Profit | 90,478,904.66 | 79,968,195.86 | 13.14 | | Net Profit Attributable to Parent Company Shareholders | 81,815,629.80 | 71,138,198.99 | 15.01 | | Basic Earnings Per Share (RMB/share) | 0.1893 | 0.1646 | 15.01 | Parent Company Income Statement In Q1 2019, parent company operating revenue was RMB 12.17 million, up 14.27%; operating profit and net profit were both RMB 1.79 million, reversing the loss from the same period last year Parent Company Income Statement Key Data (Q1 2019 vs Q1 2018) | Item | Q1 2019 (RMB) | Q1 2018 (RMB) | Year-on-Year Growth (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 12,166,407.19 | 10,647,361.31 | 14.27 | | Operating Profit | 1,788,257.22 | -559,525.16 | Turned loss into profit | | Total Profit | 1,788,257.22 | -558,025.16 | Turned loss into profit | | Net Profit | 1,788,257.22 | -558,025.16 | Turned loss into profit | Consolidated Cash Flow Statement In Q1 2019, consolidated net cash flow from operating activities was -RMB 469 million, a slight year-on-year decrease; net cash outflow from investing activities was -RMB 167 million, a significant increase; net cash inflow from financing activities was RMB 162 million, a substantial increase Consolidated Cash Flow Statement Key Data (Q1 2019 vs Q1 2018) | Item | Q1 2019 (RMB) | Q1 2018 (RMB) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -468,875,660.30 | -446,888,951.73 | -4.92 | | Net Cash Flow from Investing Activities | -167,362,306.72 | -73,967,866.75 | -126.26 | | Net Cash Flow from Financing Activities | 161,624,900.99 | 75,822,935.32 | 113.16 | | Net Increase in Cash and Cash Equivalents | -474,316,150.08 | -446,257,646.46 | -6.29 | | Cash and Cash Equivalents at Period End | 1,159,187,531.75 | 1,137,334,140.13 | 1.92 | Parent Company Cash Flow Statement In Q1 2019, parent company net cash flow from operating activities was RMB 3.32 million, a significant year-on-year decrease; net cash outflow from investing activities was -RMB 0.54 million, a substantial reduction; net cash outflow from financing activities was -RMB 410 million, an increase year-on-year Parent Company Cash Flow Statement Key Data (Q1 2019 vs Q1 2018) | Item | Q1 2019 (RMB) | Q1 2018 (RMB) | Year-on-Year Change (%) | | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 3,321,947.31 | 13,778,904.53 | -75.90 | | Net Cash Flow from Investing Activities | -539,978.00 | 232,023,166.67 | Shifted from net inflow to net outflow, a significant decrease | | Net Cash Flow from Financing Activities | -410,153,256.73 | -302,950,731.53 | -35.39 | | Net Increase in Cash and Cash Equivalents | -407,371,287.42 | -57,148,660.33 | -612.84 | | Cash and Cash Equivalents at Period End | 865,104,366.05 | 810,999,729.91 | 6.67 | Adjustments for Initial Adoption of New Financial Instruments Standards The company adopted new financial instrument standards, retrospectively adjusting relevant financial statement items as of January 1, 2019, primarily reclassifying 'available-for-sale financial assets' to 'investments in other equity instruments' and 'other non-current financial assets', with corresponding adjustments to 'other comprehensive income' and 'undistributed profits' - In accordance with the new financial instrument standards, the company reclassified financial assets, designating non-trading equity instruments held as 'measured at fair value with changes recognized in other comprehensive income'[39] Consolidated Balance Sheet Adjustments Upon initial adoption of new financial instrument standards, the consolidated balance sheet adjusted available-for-sale financial assets from RMB 470,744,993.41 to RMB 0, while adding RMB 8,207,700.00 in other equity instrument investments and RMB 462,537,293.41 in other non-current financial assets; other comprehensive income decreased by RMB 6,058,199.40, and undistributed profits increased by the same amount Consolidated Balance Sheet Adjustments for New Financial Instruments Standards (December 31, 2018 vs January 1, 2019) | Item | December 31, 2018 (RMB) | January 1, 2019 (RMB) | Adjustment Amount (RMB) | | :--- | :--- | :--- | :--- | | Available-for-sale financial assets | 470,744,993.41 | 0 | -470,744,993.41 | | Investments in other equity instruments | 0 | 8,207,700.00 | 8,207,700.00 | | Other non-current financial assets | 0 | 462,537,293.41 | 462,537,293.41 | | Other comprehensive income | 41,892,823.93 | 35,834,624.53 | -6,058,199.40 | | Undistributed profits | 1,077,182,305.48 | 1,083,240,504.88 | 6,058,199.40 | Parent Company Balance Sheet Adjustments The parent company balance sheet did not undergo significant adjustments upon initial adoption of new financial instrument standards, with all account balances remaining consistent between December 31, 2018, and January 1, 2019 - Upon initial adoption of new financial instrument standards, the parent company balance sheet showed consistent data for all accounts between December 31, 2018, and January 1, 2019, with no adjustments made[41][42][43]