酒鬼酒(000799) - 2021 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section provides essential declarations, a comprehensive report directory, and definitions of key terms for clarity Important Notice The Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, including the financial statements - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[2] - The company's head, chief accountant, and head of the accounting department declare the financial report is true, accurate, and complete[2] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for this semi-annual period[2] Table of Contents This chapter lists the complete directory structure of the report, covering ten main sections from important notices to financial reports Definitions This chapter defines common terms used in the report, including company names, major shareholders, actual controllers, regulatory bodies, and currency units, to ensure clear understanding - "The Company/Company/Jiugui Liquor Company" refers to Jiugui Liquor Co., Ltd[5] - "Zhonghuang Company" is the company's largest shareholder, and "COFCO Group" is the company's actual controller[5] Company Profile and Key Financial Indicators This section presents the company's basic information and key financial performance metrics for the reporting period, highlighting significant growth in revenue and net profit Company Profile This chapter introduces the basic information of Jiugui Liquor Co., Ltd., including its stock abbreviation, code, listing exchange, Chinese name, and legal representative - The company's stock abbreviation is "Jiuguijiu", stock code "000799", listed on the Shenzhen Stock Exchange[7] - The company's legal representative is Wang Hao[7] Contact Person and Information This chapter provides contact details for the company's Board Secretary and Securities Affairs Representative, including names, addresses, phone numbers, fax, and email - The Board Secretary is Tang Zhenyu, and the Securities Affairs Representative is Song Jiaqi[8] - The contact address is Securities Affairs Department, 13th Floor, Jiugui Liquor Building, No. 239 Shawan Road, Yuhua District, Changsha City, Hunan Province[8] Other Information This chapter states that the company's contact information, information disclosure, and document storage locations remained unchanged during the reporting period, referring to the 2020 annual report for details - The company's registered address, office address, website, and email address remained unchanged during the reporting period[9] - Information disclosure newspapers, designated website addresses, and report storage locations remained unchanged during the reporting period[10] Key Accounting Data and Financial Indicators This chapter presents the company's key accounting data and financial indicators for the first half of 2021, showing significant growth in operating revenue and net profit, a substantial increase in net cash flow from operating activities, and steady growth in total assets and net assets 2021 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Reporting Period (CNY) | Prior Year Period (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,713,733,739.76 | 722,162,770.74 | 137.31 | | Net Profit Attributable to Shareholders of Listed Company | 510,322,703.05 | 184,532,067.66 | 176.55 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Items) | 508,357,237.58 | 185,159,855.08 | 174.55 | | Net Cash Flow from Operating Activities | 679,337,445.30 | 233,437,945.23 | 191.01 | | Basic Earnings Per Share (CNY/share) | 1.5706 | 0.5679 | 176.56 | | Diluted Earnings Per Share (CNY/share) | 1.5706 | 0.5679 | 176.56 | | Weighted Average Return on Net Assets | 16.40 | 7.35 | 9.05 | | Indicator | End of Current Reporting Period (CNY) | End of Prior Year (CNY) | Change from Prior Year End (%) | | Total Assets | 5,126,768,767.53 | 4,337,013,154.32 | 18.21 | | Net Assets Attributable to Shareholders of Listed Company | 3,139,999,841.73 | 2,857,127,424.68 | 9.90 | Differences in Accounting Data under Domestic and International Accounting Standards This chapter states that during the reporting period, there were no differences in net profit and net assets between financial reports disclosed under International Accounting Standards or foreign accounting standards and those under Chinese Accounting Standards - During the reporting period, the company had no differences in net profit and net assets between financial reports disclosed under International Accounting Standards and Chinese Accounting Standards[13] - During the reporting period, the company had no differences in net profit and net assets between financial reports disclosed under foreign accounting standards and Chinese Accounting Standards[14] Non-Recurring Gains and Losses Items and Amounts This chapter lists the company's non-recurring gains and losses items and their amounts for the first half of 2021, totaling CNY 1,965,465.47, and clarifies that no non-recurring items were reclassified as recurring 2021 Semi-Annual Non-Recurring Gains and Losses Items and Amounts | Item | Amount (CNY) | | :--- | :--- | | Gains and losses from disposal of non-current assets | 7,182.91 | | Government grants recognized in current profit or loss | 561,484.34 | | Other non-operating income and expenses apart from the above | 2,051,953.38 | | Less: Income tax impact | 655,155.16 | | Total | 1,965,465.47 | - During the reporting period, the company did not reclassify non-recurring gains and losses items as recurring gains and losses[15] Management Discussion and Analysis This section provides an in-depth analysis of the company's business operations, core competencies, financial performance, and risk management strategies during the reporting period Principal Business Activities During the Reporting Period The company primarily engages in the production and sale of baijiu series products, with no changes in its main business or operating model, achieving rapid growth in revenue and net profit in the first half of 2021 through brand leadership, market expansion, increased production, organizational optimization, and park construction - The company primarily engages in the production and sale of baijiu series products, with no changes in its main business or operating model[16] - The first half of 2021 marked the company's "14th Five-Year Plan" opening year and "Innovation Breakthrough Year", achieving high-quality development through multi-faceted innovation[17] - The company actively carried out brand promotion activities, enhancing brand value and awareness by appearing at international forums and increasing mainstream media advertising[18] - Market expansion was strengthened by building an excellent dealer system, cultivating "hundred-million-yuan" model markets, enhancing terminal construction, and deepening channel penetration, alongside product upgrades and cultural and creative product development[19][20] - In the first half of the year, base liquor production reached 7,042 tons, a 5% year-on-year increase, and the national standard for Fuyu-flavor baijiu was officially released[21] - Organizational structure was optimized, promoting younger cadres and strengthening team building, leading to a more professional, vocational, market-oriented, and younger workforce[22] - Construction of the new production area three project was accelerated, which will add 10,800 tons of Qu liquor capacity upon completion[23] - The company's products primarily use a distribution model, with CNY 99 million in online channel sales and CNY 1.62 billion in offline channel sales in the first half of 2021[25] 2021 Semi-Annual Dealer Quantity Changes | Region | Dealer Quantity at End of 2020 | Changes During Reporting Period | Dealer Quantity in H1 2021 | | :--- | :--- | :--- | :--- | | North China | 73 | 37 | 110 | | East China | 183 | 23 | 206 | | South China | 50 | 42 | 92 | | Central China | 319 | 134 | 453 | | Other | 138 | 56 | 194 | | Subtotal | 763 | 292 | 1055 | - During the reporting period, sales revenue from the top five dealer customers was CNY 655 million, accounting for 38% of total annual sales[27] 2021 Semi-Annual Main Product Production and Inventory (tons) | Item | Current Period Production Volume | Current Period Sales Volume | End of Period Inventory Volume | | :--- | :--- | :--- | :--- | | Neican Series | | | 412 | | Jiugui Series | | | 1640 | | Xiangquan Series | | | 725 | | Other Series | | | 389 | | Finished Liquor Inventory | | | 3312 | | Base Liquor Inventory | | | 44302 | Analysis of Core Competencies The company's core competitiveness lies in its unique regional ecological resources, complex brewing process, exclusive natural cave storage, the uniqueness of Fuyu-flavor baijiu, and the perfect combination of its unadorned yet elegant packaging design with its exceptional liquor quality - The company possesses scarce regional ecological resources, with a unique brewing environment in the Xiangxi Wuling Mountains[31] - The brewing process is complex and unique, combining the advantages of large and small qu processes to form the Fuyu-flavor, which is exclusive nationwide[32] - Natural cave storage is utilized, where constant temperature and humidity allow the liquor to age naturally, resulting in a mellow and full-bodied quality[34] - The company pioneered the Fuyu-flavor of Chinese baijiu, integrating strong, light, and sauce aromas, possessing irreplaceable uniqueness[35] - The packaging design, created by art master Huang Yongyu, perfectly combines the unadorned yet elegant bottle with the exquisite liquor body[36] Analysis of Principal Business The company's principal business revenue and costs significantly increased year-on-year, primarily driven by sales growth in the Jiugui and Neican series products, while sales expenses rose sharply due to increased advertising and market service fees, and the gross profit margin for liquor sales remained stable Major Financial Data Year-on-Year Changes (Unit: CNY) | Indicator | Current Reporting Period | Prior Year Period | YoY Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,713,733,739.76 | 722,162,770.74 | 137.31 | Primarily due to increased revenue from Jiugui and Neican series in current period | | Operating Cost | 338,587,645.44 | 143,813,912.99 | 135.43 | Primarily due to increased sales volume in current period | | Selling Expenses | 374,383,371.32 | 176,345,093.63 | 112.30 | Primarily due to increased advertising and market service fees in current period | | Administrative Expenses | 67,327,994.55 | 52,660,413.84 | 27.85 | Primarily due to increased employee compensation in current period | | Financial Expenses | -10,553,158.69 | -7,718,865.01 | -36.72 | Primarily due to increased interest income in current period | | Income Tax Expense | 173,973,462.03 | 59,071,869.48 | 194.51 | Primarily due to increased income tax payable in current period | | R&D Investment | 5,210,252.03 | 630,920.50 | 725.82 | Primarily due to increased outsourced cooperation expenses | | Net Cash Flow from Operating Activities | 679,337,445.30 | 233,437,945.23 | 191.01 | Primarily due to increased cash received from sales of goods | | Net Cash Flow from Investing Activities | -47,167,886.71 | -20,074,988.63 | -134.96 | Primarily due to increased cash paid for asset acquisition in current period | | Net Cash Flow from Financing Activities | -875,900.00 | -64,985,796.00 | 98.65 | Primarily due to dividend payments in prior period, not yet paid in current period | | Net Increase in Cash and Cash Equivalents | 631,293,651.36 | 148,377,172.25 | 325.47 | Primarily due to increased net cash flow from operating activities | Operating Revenue Composition (Unit: CNY) | Category | Current Reporting Period Amount | % of Operating Revenue | Prior Year Period Amount | % of Operating Revenue | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 1,713,733,739.76 | 100 | 722,162,770.74 | 100 | 137.31 | | By Industry | | | | | | | Liquor Sales | 1,709,152,804.72 | 99.73 | 718,945,516.90 | 99.55 | 137.73 | | Other Businesses | 4,580,935.04 | 0.27 | 3,217,253.84 | 0.45 | 42.39 | | By Product | | | | | | | Neican Series | 519,727,931.25 | 30.33 | 279,230,083.09 | 38.67 | 86.13 | | Jiugui Series | 979,998,410.39 | 57.18 | 362,278,498.34 | 50.17 | 170.51 | | Xiangquan Series | 90,930,955.75 | 5.31 | 66,502,948.20 | 9.21 | 36.73 | | Other Series | 118,495,507.33 | 6.91 | 10,933,987.27 | 1.51 | 983.74 | | Other Businesses | 4,580,935.04 | 0.27 | 3,217,253.84 | 0.45 | 42.39 | | By Region | | | | | | | Domestic | 1,704,039,604.72 | 99.43 | 718,945,516.90 | 99.55 | 137.02 | | International | 5,113,200.00 | 0.30 | 0.00 | 0.00 | 0.00 | | Other Businesses | 4,580,935.04 | 0.27 | 3,217,253.84 | 0.45 | 42.39 | Selling Expenses Composition (Unit: CNY) | Item | Current Reporting Period | Prior Year Period | YoY Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Employee Compensation | 57,475,989.64 | 33,125,049.68 | 73.51 | Primarily due to increased personnel and sales revenue leading to higher sales staff wages in current period | | Advertising and Promotion Expenses | 130,471,140.50 | 69,882,757.93 | 86.70 | Primarily due to increased advertising investment in current period | | Promotion Expenses | 168,738,392.16 | 60,024,700.20 | 181.11 | Primarily due to increased promotional activities in current period | | Travel and Office Expenses | 9,715,373.15 | 5,514,037.49 | 76.19 | Primarily due to increased personnel and travel frequency in current period | | Other | 7,982,475.87 | 7,798,548.33 | 2.36 | | | Total | 374,383,371.32 | 176,345,093.63 | 112.30 | | Analysis of Non-Principal Business This chapter states that the company had no non-principal business analysis content during the reporting period Analysis of Assets and Liabilities The company's total assets and net assets attributable to shareholders of the listed company both increased, with a rise in monetary funds and contract liabilities, while the proportion of accounts receivable and inventory to total assets slightly decreased Significant Changes in Asset Composition (Unit: CNY) | Item | Amount at End of Current Reporting Period | % of Total Assets | Amount at End of Prior Year | % of Total Assets | % Change in Proportion | Explanation of Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 2,788,186,812.61 | 54.38 | 2,153,606,526.94 | 49.66 | 4.72 | | | Accounts Receivable | 99,416.92 | 0.00 | 3,350,049.52 | 0.08 | -0.08 | | | Inventories | 1,090,910,484.68 | 21.28 | 1,027,053,099.34 | 23.68 | -2.40 | | | Investment Properties | 60,600,942.57 | 1.18 | 61,666,979.42 | 1.42 | -0.24 | | | Long-term Equity Investments | 42,200,021.47 | 0.82 | 41,802,279.43 | 0.96 | -0.14 | | | Fixed Assets | 391,918,861.07 | 7.64 | 399,940,292.54 | 9.22 | -1.58 | | | Construction in Progress | 61,170,027.86 | 1.19 | 24,318,668.45 | 0.56 | 0.63 | | | Right-of-Use Assets | 6,167,127.15 | 0.12 | | | 0.12 | | | Contract Liabilities | 872,344,655.10 | 17.02 | 719,494,756.32 | 16.59 | 0.43 | | | Lease Liabilities | 6,106,459.94 | 0.12 | | | 0.12 | | - As of the end of the reporting period, there were no restrictions on the company's asset rights[44] Analysis of Investment Status The company did not undertake any significant equity investments, non-equity investments, securities investments, or derivative investments during the reporting period - The company had no securities investments during the reporting period[45] - The company had no derivative investments during the reporting period[45] Significant Asset and Equity Disposals The company did not dispose of any significant assets or equity during the reporting period - The company did not dispose of significant assets during the reporting period[46] - The company did not dispose of significant equity during the reporting period[46] Analysis of Major Holding and Participating Companies This chapter discloses the financial information of the company's major subsidiary, Jiugui Liquor Sales Co., Ltd., whose operating revenue and net profit significantly impact the company's consolidated financial statements Major Subsidiary Financial Data (Unit: CNY) | Company Name | Company Type | Main Business | Registered Capital | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jiugui Liquor Sales Co., Ltd. | Subsidiary | Wholesale and Sales | 100,000,000.00 | 2,224,659,455.12 | 795,281,717.14 | 1,704,952,276.33 | 357,124,368.67 | 268,460,255.76 | - The company did not acquire or dispose of any subsidiaries during the reporting period[47] Information on Structured Entities Controlled by the Company This chapter states that the company had no structured entities under its control during the reporting period - The company had no structured entities under its control during the reporting period[48] Risks Faced by the Company and Countermeasures The company faces risks from macroeconomic structural adjustments, stricter baijiu industry policies, and intense market competition, necessitating continuous enhancement of comprehensive competitiveness and market share expansion - At the macro level, China's economic structural adjustment and transformation, along with rising policy requirements for government consumption, industry standards, food safety, and environmental protection, pose challenges to the baijiu industry[48] - At the industry level, the overall overcapacity in China's baijiu industry and fierce market competition present challenges for the company to expand its national market share[48] Corporate Governance This section details the company's corporate governance practices, including shareholder meetings, changes in key personnel, profit distribution, and incentive plans Information on Annual General Meetings and Extraordinary General Meetings Held During the Reporting Period The company held its 2020 Annual General Meeting during the reporting period, with an investor participation rate of 33.51%, and the resolutions have been disclosed Shareholder Meeting Information During the Reporting Period | Session | Meeting Type | Investor Participation Rate (%) | Date Held | Disclosure Date | Meeting Resolutions | | :--- | :--- | :--- | :--- | :--- | :--- | | 2020 Annual General Meeting | Annual General Meeting | 33.51 | June 17, 2021 | June 18, 2021 | See "Resolutions of Jiugui Liquor Co., Ltd. 2020 Annual General Meeting" disclosed on Juchao Information Network | Changes in Directors, Supervisors, and Senior Management There were no changes in the company's directors, supervisors, and senior management during the reporting period, with details available in the 2020 annual report - There were no changes in the company's directors, supervisors, and senior management during the reporting period[49] Profit Distribution and Capital Reserve Conversion to Share Capital During the Reporting Period The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for this semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[50] Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[50] Environmental and Social Responsibility This section addresses the company's significant environmental issues and its commitment to social responsibility, including pollution control and compliance Significant Environmental Issues The company is listed as a key pollutant-discharging entity by environmental protection authorities, but its pollution control facilities operated effectively during the reporting period, with pollutant emissions meeting national and local standards, and no environmental violations occurred - The company and its subsidiaries are listed as key pollutant-discharging entities by environmental protection authorities[51] Major Pollutant Emission Information | Pollutant | Emission Concentration | Standard Implemented | Total Emissions | Approved Emission Quota | Exceedance Status | | :--- | :--- | :--- | :--- | :--- | :--- | | Sulfur Dioxide | 78.02 mg/m³ | 400 mg/m³ | 7.48 tons | 111 tons | None | | Nitrogen Oxides | 141.63 mg/m³ | 400 mg/m³ | 13.59 tons | 81 tons | None | | Chemical Oxygen Demand | 37.686 mg/L | 400 mg/L | 3.72 tons | 15.5 tons | None | | Ammonia Nitrogen | 1.646 mg/L | 30 mg/L | 0.14 tons | 2.33 tons | None | - The company's pollution control facilities operated well, pollutant emissions met national and local standards, no sudden pollution incidents occurred, and there were no environmental violations[21][53] - Projects such as the new liquor warehouse, renovation of the distiller's grains processing workshop, and expansion of the wastewater treatment plant have all received environmental impact assessment approvals and hold pollutant discharge permits[54] - The company has prepared an emergency response plan for environmental incidents, filed it with environmental authorities, and conducts annual drills[55] - The company has prepared a self-monitoring environmental plan and uploaded it to the National Pollution Source Monitoring Information Management and Sharing Platform[56] Significant Matters This section covers various significant matters, including commitments, related party transactions, and legal proceedings, ensuring transparency in the company's operations Commitments Fulfilled and Overdue Unfulfilled Commitments by the Company's Actual Controller, Shareholders, Related Parties, Acquirers, and the Company During and as of the End of the Reporting Period During the reporting period, the company had no commitments from its actual controller, shareholders, related parties, acquirers, or the company itself that were either fulfilled or overdue and unfulfilled - During the reporting period, the company had no commitments from its actual controller, shareholders, related parties, acquirers, or the company itself that were either fulfilled or overdue and unfulfilled[57] Non-Operating Funds Occupied by Controlling Shareholders and Other Related Parties from the Listed Company During the reporting period, the company had no non-operating funds occupied by controlling shareholders or other related parties from the listed company - During the reporting period, the company had no non-operating funds occupied by controlling shareholders or other related parties from the listed company[57] Irregular External Guarantees The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[57] Appointment and Dismissal of Accounting Firms The company's semi-annual financial report was not audited - The company's semi-annual report was not audited[57] Explanation by the Board of Directors and Supervisory Board on "Non-Standard Audit Reports" for the Current Reporting Period The company had no non-standard audit reports during the reporting period, thus no explanation from the Board of Directors or Supervisory Board is required Explanation by the Board of Directors on "Non-Standard Audit Reports" for the Previous Year The company had no non-standard audit reports for the previous year, thus no explanation from the Board of Directors is required Bankruptcy Reorganization Matters The company had no bankruptcy reorganization matters during the reporting period - The company had no bankruptcy reorganization matters during the reporting period[57] Litigation Matters The company had no significant litigation or arbitration matters during the reporting period - The company had no significant litigation or arbitration matters during the current reporting period[58] Penalties and Rectification The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[58] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller The company did not disclose the integrity status of itself, its controlling shareholder, or its actual controller during the reporting period Significant Related Party Transactions During the reporting period, the company engaged in daily operating-related procurement and sales transactions with related parties under the same actual controller, as well as financial business involving deposits in an affiliated financial company Related Party Transactions Related to Daily Operations (Procurement of Goods/Acceptance of Services) | Related Party | Related Transaction Content | Related Transaction Amount (CNY 10,000) | Approved Transaction Limit (CNY 10,000) | Exceeded Approved Limit | | :--- | :--- | :--- | :--- | :--- | | COFCO Rice Industry (Xiantao) Co., Ltd. | Raw Materials | 580.4 | 2,000 | No | | COFCO Rice Industry (Ningxia) Co., Ltd. | Raw Materials | 681.72 | 600 | Yes | | COFCO Hunan Anhua First Tea Factory Co., Ltd. | Raw Materials | 233.24 | 250 | No | | COFCO Foods Penglai Co., Ltd. | Raw Materials | 55.22 | 200 | No | | COFCO Coca-Cola Central China Beverages Co., Ltd. | Customized Water | 50.97 | 30 | Yes | | COFCO Nutrition and Health Research Institute Co., Ltd. | R&D Services | 409 | 800 | No | Related Party Transactions Related to Daily Operations (Sale of Goods/Provision of Services) | Related Party | Related Transaction Content | Related Transaction Amount (CNY 10,000) | | :--- | :--- | :--- | | COFCO Food Marketing Co., Ltd. | Baijiu Products | 703.03 | | COFCO Feed (Foshan) Co., Ltd. | Baijiu Products | 9 | | COFCO Feed (Maoming) Co., Ltd. | Baijiu Products | 3.99 | | COFCO Hunan Anhua First Tea Factory Co., Ltd. | Lease | 13.21 | | COFCO Foods Penglai Co., Ltd. | Lease | 9.35 | - The company and its subsidiaries had an ending balance of CNY 521,760,978.70 in deposits with COFCO Finance Co., Ltd[63][290] - During the reporting period, the company had no related party transactions involving asset or equity acquisitions or disposals[61] - During the reporting period, the company had no related party transactions involving joint external investments[62] - During the reporting period, the company had no related party creditor-debtor relationships[62] Significant Contracts and Their Performance The company had no significant contracts related to trusteeship, contracting, leasing, major guarantees, wealth management, daily operations, or other significant contracts during the reporting period - The company had no trusteeship situations during the reporting period[64] - The company had no contracting situations during the reporting period[64] - The company had no leasing situations during the reporting period[65] - The company had no significant guarantee situations during the reporting period[65] - The company had no wealth management activities during the reporting period[65] - The company had no significant contracts related to daily operations during the reporting period[65] - The company had no other significant contracts during the reporting period[65] Explanation of Other Significant Matters The company had no other significant matters requiring explanation during the reporting period - The company had no other significant matters requiring explanation during the reporting period[66] Significant Matters of Company Subsidiaries The company did not disclose significant matters concerning its subsidiaries during the reporting period Share Changes and Shareholder Information This section details the company's share capital structure, shareholder composition, and any changes in shareholdings or control during the reporting period Share Change Information The company's total share capital remained unchanged during the reporting period, with the number of unrestricted shares also remaining constant Share Change Information (Unit: shares) | Category | Quantity Before This Change | Proportion (%) | Increase/Decrease in This Change (＋, －) | Quantity After This Change | Proportion (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | II. Unrestricted Shares | 324,928,980 | 100.00 | | 324,928,980 | 100.00 | | 1. RMB Ordinary Shares | 324,928,980 | 100.00 | | 324,928,980 | 100.00 | | III. Total Shares | 324,928,980 | 100.00 | | 324,928,980 | 100.00 | - During the reporting period, there were no reasons, approval status, transfer status, or progress of share repurchase implementation for share changes[68] - During the reporting period, there were no changes in unrestricted shares[69] Securities Issuance and Listing Information The company had no securities issuance and listing information during the reporting period Number of Shareholders and Shareholding Information As of the end of the reporting period, the company had 83,542 ordinary shareholders, with Zhonghuang Co., Ltd. being the largest shareholder, holding 31.00% of the shares - The total number of ordinary shareholders at the end of the reporting period was 83,542[70] Top Ten Ordinary Shareholders' Shareholding Information at End of Reporting Period (Unit: shares) | Shareholder Name | Shareholder Nature | Shareholding Proportion (%) | Number of Ordinary Shares Held at End of Reporting Period | Number of Unrestricted Ordinary Shares Held | | :--- | :--- | :--- | :--- | :--- | | Zhonghuang Co., Ltd. | State-owned Legal Person | 31.00 | 100,727,291 | 100,727,291 | | Bank of China Co., Ltd. - China Merchants CSI Liquor Index Graded Fund | Domestic Non-State-owned Legal Person | 4.79 | 15,576,898 | 15,576,898 | | Hong Kong Securities Clearing Company Limited | Overseas Legal Person | 3.94 | 12,804,146 | 12,804,146 | | China Construction Bank Co., Ltd. - Yinhua Wealthy Theme Mixed Securities Investment Fund | Domestic Non-State-owned Legal Person | 1.79 | 5,800,599 | 5,800,599 | | Bank of Communications Co., Ltd. - Huifutianfu Mid-Cap Value Selection Mixed Securities Investment Fund | Domestic Non-State-owned Legal Person | 1.08 | 3,500,000 | 3,500,000 | | Ji Jing | Domestic Natural Person | 0.93 | 3,034,300 | 3,034,300 | | China Construction Bank Co., Ltd. - Huifutianfu Consumer Industry Mixed Securities Investment Fund | Domestic Non-State-owned Legal Person | 0.83 | 2,700,000 | 2,700,000 | | Zhang Shouqing | Domestic Natural Person | 0.63 | 2,050,000 | 2,050,000 | | Zhao Jianping | Domestic Natural Person | 0.62 | 2,000,000 | 2,000,000 | | Wang Tie | Domestic Natural Person | 0.52 | 1,674,850 | 1,674,850 | - There are no associated relationships between the company's legal person shareholders, and they do not constitute parties acting in concert[71] Changes in Shareholdings of Directors, Supervisors, and Senior Management There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period, with details available in the 2020 annual report - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[74] Changes in Controlling Shareholder or Actual Controller The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder remained unchanged during the reporting period[74] - The company's actual controller remained unchanged during the reporting period[74] Preferred Share Information This section confirms that the company has no preferred shares Preferred Share Information The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[76] Bond Information This section confirms that the company has no bond-related information Bond Information The company had no bond-related information during the reporting period - The company had no bond-related information during the reporting period[77] Financial Report This section presents the company's comprehensive financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in owners' equity, along with detailed notes on accounting policies and specific financial items Audit Report The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[79] Financial Statements This chapter provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for the first half of 2021, comprehensively presenting its financial position and operating results Consolidated Balance Sheet Key Data (Unit: CNY) | Item | June 30, 2021 | December 31, 2020 | | :--- | :--- | :--- | | Monetary Funds | 2,788,186,812.61 | 2,153,606,526.94 | | Notes Receivable | 421,754,781.19 | 387,820,976.64 | | Inventories | 1,090,910,484.68 | 1,027,053,099.34 | | Total Assets | 5,126,768,767.53 | 4,337,013,154.32 | | Contract Liabilities | 872,344,655.10 | 719,494,756.32 | | Total Liabilities | 1,986,768,925.80 | 1,479,885,729.64 | | Total Equity Attributable to Parent Company Owners | 3,139,999,841.73 | 2,857,127,424.68 | Consolidated Income Statement Key Data (Unit: CNY) | Item | 2021 Semi-Annual | 2020 Semi-Annual | | :--- | :--- | :--- | | Total Operating Revenue | 1,713,733,739.76 | 722,162,770.74 | | Total Operating Costs | 1,031,779,033.17 | 478,160,416.88 | | Operating Profit | 682,378,244.65 | 245,062,431.93 | | Total Profit | 684,296,165.08 | 243,603,937.14 | | Net Profit | 510,322,703.05 | 184,532,067.66 | | Basic Earnings Per Share | 1.5706 | 0.5679 | | Diluted Earnings Per Share | 1.5706 | 0.5679 | Consolidated Cash Flow Statement Key Data (Unit: CNY) | Item | 2021 Semi-Annual | 2020 Semi-Annual | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 679,337,445.30 | 233,437,945.23 | | Net Cash Flow from Investing Activities | -47,167,886.71 | -20,074,988.63 | | Net Cash Flow from Financing Activities | -875,900.00 | -64,985,796.00 | | Net Increase in Cash and Cash Equivalents | 631,293,651.36 | 148,377,172.25 | | Cash and Cash Equivalents at End of Period | 2,784,900,178.30 | 1,466,288,925.07 | Company's Basic Information This chapter outlines Jiugui Liquor Co., Ltd.'s establishment background, registered capital, stock listing status, parent company and actual controller, company domicile, industry, and business scope - Jiugui Liquor Co., Ltd. was established on April 28, 1997, with approval from the Hunan Provincial People's Government, and listed on the Shenzhen Stock Exchange on July 18, with stock code 000799[104] - The company's registered capital is CNY 324,928,980.00, and its total shares are 324,928,980.00[104] - The parent company is Zhonghuang Co., Ltd., and the actual controller is COFCO Group Co., Ltd[104] - The company operates in the food processing industry, with its main business scope being the production and sale of baijiu series products and related import and export businesses[104] Basis of Preparation for Financial Statements This chapter explains that the company's financial statements are prepared on a going concern basis, in accordance with relevant provisions of enterprise accounting standards and significant accounting policies and estimates - These financial statements are prepared on a going concern basis, in accordance with relevant provisions of enterprise accounting standards[105] - Management has assessed the company's ability to continue as a going concern for 12 months from the end of the reporting period, with no significant doubts identified[106] Significant Accounting Policies and Estimates This chapter details the company's accounting policies and estimates for revenue recognition, financial instruments, inventories, fixed assets, intangible assets, employee compensation, government grants, deferred income tax, and leases, also disclosing adjustments for the first-time adoption of new lease standards starting in 2021 - The company's revenue primarily includes sales of goods and provision of services, with revenue recognized when customers obtain control of the related goods[106][154][155] - The company's financial assets are classified as measured at amortized cost, fair value through other comprehensive income, and fair value through profit or loss[121][122] - Inventories include raw materials, work-in-progress, self-made semi-finished products, packaging materials, merchandise inventory, and goods in transit, valued at actual cost, and priced using the weighted average method at month-end for consumption and issuance[130] - Fixed assets are recorded at actual cost upon acquisition and depreciated using the straight-line method over their useful lives[140] - Intangible assets include land use rights, trademark use rights, software, and others, initially measured at cost, with finite-lived intangible assets amortized using the straight-line method[146][147] - The company adopted "CAS 21 – Leases" from January 1, 2021, adjusting amounts for right-of-use assets, lease liabilities, and other related items[162] - Upon initial adoption of the lease standard, the consolidated balance sheet as of January 1, 2021, saw an increase of CNY 4,244,031.37 in right-of-use assets and an increase of CNY 4,244,031.37 in lease liabilities[168] Taxation This chapter lists the company's main tax categories and their applicable rates, including Value-Added Tax, Consumption Tax, Urban Maintenance and Construction Tax, Enterprise Income Tax, Education Surcharge, and Local Education Surcharge Major Tax Categories and Rates | Tax Category | Tax Base | Tax Rate (%) | | :--- | :--- | :--- | | Value-Added Tax | Sales of goods or provision of taxable services | 13.00 | | Consumption Tax | Sales amount of taxable consumer goods (ad valorem) | 20.00 | | Urban Maintenance and Construction Tax | Amount of turnover tax payable | 7.00 | | Enterprise Income Tax | Taxable income | 25.00 | | Education Surcharge | Amount of turnover tax payable | 3.00 | | Local Education Surcharge | Amount of turnover tax payable | 2.00 | Notes to Consolidated Financial Statement Items This chapter provides detailed notes on major items in the consolidated financial statements, including monetary funds, notes receivable, accounts receivable, inventories, fixed assets, construction in progress, intangible assets, deferred income tax, accounts payable, contract liabilities, employee compensation payable, taxes payable, other payables, deferred income, share capital, capital reserves, surplus reserves, undistributed profits, operating revenue and costs, selling expenses, administrative expenses, R&D expenses, financial expenses, other income, investment income, credit impairment losses, asset impairment losses, non-operating income and expenses, income tax expenses, cash flow statement items, foreign currency monetary items, and government grants Monetary Funds Ending Balance (Unit: CNY) | Item | Ending Balance | | :--- | :--- | | Bank Deposits | 2,788,186,812.61 | | Total | 2,788,186,812.61 | | Total amount of funds restricted due to mortgage, pledge, or freezing | 3,286,634.31 | Notes Receivable Ending Balance (Unit: CNY) | Item | Ending Balance | | :--- | :--- | | Bank Acceptance Bills | 421,754,781.19 | | Total | 421,754,781.19 | - The amount of notes receivable endorsed or discounted and not yet due at the end of the period was CNY 78,937,666.12[177] Accounts Receivable Ending Balance (Unit: CNY) | Category | Book Balance | Provision for Bad Debts | Book Value | | :--- | :--- | :--- | :--- | | Accounts receivable for which bad debt provisions are accrued by portfolio | 287,995.37 | 188,578.45 | 99,416.92 | | Total | 287,995.37 | 188,578.45 | 99,416.92 | - Accounts receivable actually written off in the current period amounted to CNY 14,664,048.50, primarily due to the bankruptcy of Jiugui Liquor Henan Co., Ltd. and Jiugui Liquor Henan North Base Sales Co., Ltd[182][183] Inventory Classification Ending Balance (Unit: CNY) | Item | Book Balance | Provision for Inventory Impairment | Book Value | | :--- | :--- | :--- | :--- | | Raw Materials | 8,265,668.57 | | 8,265,668.57 | | Work-in-Progress | 24,985,275.37 | | 24,985,275.37 | | Merchandise Inventory | 211,597,052.12 | 8,782,767.35 | 202,814,284.77 | | Goods in Transit | 1,524,917.66 | | 1,524,917.66 | | Self-Made Semi-Finished Products | 810,199,499.38 | | 810,199,499.38 | | Packaging Materials | 43,686,280.68 | 565,441.75 | 43,120,838.93 | | Total | 1,100,258,693.78 | 9,348,209.10 | 1,090,910,484.68 | Fixed Assets Ending Book Value (Unit: CNY) | Item | Buildings and Structures | Machinery and Equipment | Transportation Vehicles | Electronic Equipment | Other | Total | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Ending Book Value | 330,634,869.38 | 45,893,153.80 | 1,329,252.84 | 8,502,287.58 | 5,559,297.47 | 391,918,861.07 | Construction in Progress Ending Book Value (Unit: CNY) | Item | Book Balance | Book Value | | :--- | :--- | :--- | | New Distiller's Grains Processing Workshop Project | 7,692,383.75 | 7,692,383.75 | | 13,000-ton Base Liquor Warehouse Project | 21,747,121.07 | 21,747,121.07 | | 101 Factory Area Base Liquor Warehouse Combustible Gas and Flame Alarm System Project | 1,400,639.05 | 1,400,639.05 | | 303 Production Plant Area | 28,584,585.65 | 28,584,585.65 | | Other Minor Projects | 1,745,298.34 | 1,745,298.34 | | Total | 61,170,027.86 | 61,170,027.86 | Contract Liabilities Ending Balance (Unit: CNY) | Item | Ending Balance | | :--- | :--- | | Advance Receipts for Goods | 872,344,655.10 | | Total | 872,344,655.10 | Employee Compensation Payable Ending Balance (Unit: CNY) | Item | Ending Balance | | :--- | :--- | | I. Short-term Compensation | 79,745,473.42 | | II. Post-employment Benefits - Defined Contribution Plans | | | Total | 79,745,473.42 | Undistributed Profits Ending Balance (Unit: CNY) | Item | Current Period | | :--- | :--- | | Undistributed profits at end of prior period before adjustment | 1,137,075,101.51 | | Add: Net profit attributable to parent company owners for current period | 510,322,703.05 | | Dividends payable on ordinary shares | 227,450,286.00 | | Undistributed profits at end of period | 1,419,947,518.56 | Operating Revenue and Operating Costs (Unit: CNY) | Item | Current Period Revenue | Current Period Cost | Prior Period Revenue | Prior Period Cost | | :--- | :--- | :--- | :--- | :--- | | Principal Business | 1,709,152,804.72 | 336,528,782.47 | 718,945,516.90 | 142,365,257.93 | | Other Businesses | 4,580,935.04 | 2,058,862.97 | 3,217,253.84 | 1,448,655.06 | | Total | 1,713,733,739.76 | 338,587,645.44 | 722,162,770.74 | 143,813,912.99 | - As of the end of the current reporting period, the revenue corresponding to performance obligations from contracts signed but not yet performed or not yet fully performed is CNY 872,344,655.10, expected to be recognized in 2021[244] Selling Expenses (Unit: CNY) | Item | Current Period Amount | Prior Period Amount | | :--- | :--- | :--- | | Employee Compensation | 57,475,989.64 | 33,125,049.68 | | Advertising and Marketing Service Fees | 299,209,532.66 | 129,629,250.58 | | Other | 17,697,849.02 | 13,590,793.37 | | Total | 374,383,371.32 | 176,345,093.63 | R&D Expenses (Unit: CNY) | Item | Current Period Amount | Prior Period Amount | | :--- | :--- | :--- | | Outsourced Cooperation Expenses | 4,090,000.00 | 618,344.84 | | Materials and Other | 1,120,252.03 | 12,575.66 | | Total | 5,210,252.03 | 630,920.50 | Cash Flow Statement Supplementary Information (Unit: CNY) | Supplementary Information | Current Period Amount | Prior Period Amount | | :--- | :--- | :--- | | Net Profit | 510,322,703.05 | 184,532,067.66 | | Net Cash Flow from Operating Activities | 679,337,445.30 | 233,437,945.23 | | Net Increase in Cash and Cash Equivalents | 631,293,651.36 | 148,377,172.25 | Interests in Other Entities This chapter discloses the company's interests in subsidiaries, joint ventures, and associates, including shareholding percentages and key financial information Composition of the Enterprise Group | Subsidiary Name | Principal Place of Business | Registered Place | Nature of Business | Shareholding Proportion (Direct) (%) | Method of Acquisition | | :--- | :--- | :--- | :--- | :--- | :--- | | Jiugui Liquor Sales Co., Ltd. | Jishou Zhenwuying | Jishou Zhenwuying | Wholesale, Sales | 100.00 | 100.00 | | Shenzhen Lixinyuan Technology Investment Co., Ltd. | Luohu District, Shenzhen | Luohu District, Shenzhen | Industrial Investment | 97.00 | 100.00 | Important Joint Ventures or Associates | Joint Venture or Associate Name | Principal Place of Business | Registered Place | Nature of Business | Shareholding Proportion (Direct) (%) | Accounting Method for Investment in Joint Ventures or Associates | | :--- | :--- | :--- | :--- | :--- | :--- | | Jiugui Dongcangjiu Sales Co., Ltd. | Zhuhai, Guangdong | Room 115, No. 121 Baoxing Road, Hengqin New Area, Zhuhai City | Wholesale and Retail | 50.00 | Equity Method | | Jiugui Liquor Hunan Sales Co., Ltd. | Changsha, Hunan | No. 8 Lutian Road, Lugu High-tech Development Zone, Changsha | Wholesale and Retail | 20.94 | Equity Method | Key Financial Information of Important Joint Ventures (Jiugui Dongcangjiu Sales Co., Ltd.) | Item | Ending Balance/Current Period Amount (CNY) | | :--- | :--- | | Current Assets | 60,198,183.77 | | Total Assets | 60,198,183.77 | | Total Liabilities | 1,389,806.11 | | Equity Attributable to Parent Company Shareholders | 58,808,377.66 | | Net Profit | 795,932.22 | Risks Related to Financial Instruments The company's primary financial instrument risks include credit risk, liquidity risk, and market risk (interest rate risk, foreign exchange risk), which are managed through credit reviews, continuous monitoring of accounts receivable, and maintaining sufficient cash and cash equivalents - The company's main financial instruments include monetary funds, notes receivable, accounts receivable, other receivables, etc., with primary risks being credit risk, liquidity risk, and market risk[269] - The company only transacts with recognized and reputable third parties, conducts credit reviews for all credit transaction customers, and continuously monitors accounts receivable balances to mitigate bad debt risk[274] - The company manages liquidity risk by maintaining and monitoring sufficient cash and cash equivalents, and management believes there is no significant liquidity risk[274] - Except for bank deposits, the company has no significant interest-bearing assets, resulting in low interest rate risk; the company has no foreign currency transactions, thus no exchange rate risk due to currency fluctuations[277] Disclosure of Fair Value The company had no assets or liabilities measured at fair value at the end of the reporting period and explains the basis for determining fair value measurement levels - The company had no assets or liabilities measured at fair value at the end of the period[278] - The fair value of Level 1 items is determined by unadjusted quoted prices in active markets[279] - Level 2 inputs are directly or indirectly observable inputs for the relevant assets or liabilities, other than Level 1 inputs[280] - Level 3 inputs are unobservable inputs for the relevant assets or liabilities[281] Related Parties and Related Party Transactions This chapter comprehensively discloses the company's parent company, subsidiaries, joint ventures, associates, and other related parties, and lists related party transactions during the reporting period, including purchases and sales of goods, provision and acceptance of services, key management personnel compensation, and related party receivables and payables - The company's parent company is Zhonghuang Co., Ltd., and the actual controller is COFCO Group Co., Ltd[282] - The company engages in procurement and sales transactions with related parties under the same actual controller, such as COFCO Rice Industry, COFCO Nutrition and Health Research Institute, and COFCO Hunan Anhua First Tea Factory[286][288] - Key management personnel compensation amounted to CNY 4.576 million in the current period, compared to CNY 2.6707 million in the prior period[289] - The company and its subsidiaries had an ending balance of CNY 521,760,978.70 in deposits with COFCO Finance Co., Ltd[290] Related Party Accounts Receivable Ending Balance (Unit: CNY) | Item Name | Related Party | Ending Balance Book Balance | Provision for Bad Debts | | :--- | :--- | :--- | :--- | | Accounts Receivable | COFCO Haiyou (Beijing) Co., Ltd. | 111,704.40 | 12,287.48 | | Total | | 111,704.40 | 12,287.48 | Related Party Payables Ending Balance (Unit: CNY) | Item Name | Related Party | Ending Book Balance | | :--- | :--- | :--- | | Contract Liabilities, Other Current Liabilities | COFCO Food Marketing Co., Ltd. | 1,306,673.30 | | Advance Receipts | COFCO Foods Penglai Co., Ltd. | 23,662.00 | | Other Payables | Jiugui Liquor Hunan Sales Co., Ltd. | 14,814,133.36 | | Accounts Payable | COFCO Rice Industry (Ningxia) Co., Ltd. | 704,289.60 | Commitments and Contingencies As of the end of the reporting period, the company had no significant commitments or contingencies requiring disclosure - As of June 30, 2021, the company had no contingent matters requiring disclosure and no significant commitments that would materially affect its financial statements and operating conditions[293] - The company had no significant contingent matters requiring disclosure[294] Events After the Balance Sheet Date As of the date of approval for issuance of the financial statements, the company had no non-adjusting events after the balance sheet date requiring disclosure - As of the date of approval for issuance of these financial statements, the company had no non-adjusting events after the balance sheet date requiring disclosure[294] Other Significant Matters The company and its subsidiaries do not conduct segment management, thus no separate segment reporting information is disclosed; apart from the already disclosed matters, the company has no other significant matters requiring disclosure - The company and its subsidiaries' baijiu production and operation businesses and evaluation systems are not managed by segment, thus no separate segment reporting information is disclosed[295] - As of June 30, 2021, apart from the aforementioned matters, the company had no other significant matters requiring disclosure[296] Notes to Parent Company Financial Statement Items This chapter provides detailed notes on major items in the parent company's financial statements, including other receivables, long-term equity investments, operating revenue and costs, and investment income Parent Company Other Receivables Ending Balance (Unit: CNY) | Item | Ending Balance | | :--- | :--- | | Other Receivables | 2,550,219.95 | | Total | 2,550,219.95 | Parent Company Long-term Equity Investments Ending Balance (Unit: CNY) | Item | Book Value | | :--- | :--- | | Investments in Subsidiaries | 245,350,000.00 | | Investments in Associates and Joint Ventures | 29,404,188.83 | | Total | 274,754,188.83 | Parent Company Operating Revenue and Operating Costs (Unit: CNY) | Item | Current Period Revenue | Current Period Cost | | :--- | :--- | :--- | | Principal Business | 1,004,864,431.32 | 343,135,203.46 | | Other Businesses | 3,668,263.43 | 1,263,029.47 | | Total | 1,008,532,694.75 | 344,398,232.93 | Parent Company Investment Income (Unit: CNY) | Item | Current Period Amount | | :--- | :--- | | Investment income from long-term equity investments accounted for using the cost method | 200,000,000.00 | | Investment income from long-term equity investments accounted for using the equity method | 397,966.11 | | Total | 200,397,966.11 | Supplementary Information This chapter provides supplementary financial information, including a detailed statement of non-recurring gains and losses, as well as return on net assets and earnings per share Current Period Non-Recurring Gains and Losses Detailed Statement (Unit: CNY) | Item | Amount | | :--- | :--- | | Gains and losses from disposal of non-current assets | 7,182.91 | | Government grants recognized in current profit or loss | 561,484.34 | | Other non-operating income and expenses apart from the above | 2,051,953.38 | | Less: Income tax impact | 655,155.16 | | Total | 1,965,465.47 | Return on Net Assets and Earnings Per Share | Profit for the Reporting Period | Weighted Average Return on Net Assets (%) | Basic Earnings Per Share (CNY/share) | Diluted Earnings Per Share (CNY/share) | | :--- | :--- | :--- | :--- | | Net profit attributable to ordinary shareholders of the company | 16.40 | 1.5706 | 1.5706 | | Net profit attributable to ordinary shareholders of the company after deducting non-recurring gains and losses | 16.33 | 1.5645 | 1.5645 |