亚钾国际(000893) - 2021 Q1 - 季度财报

Report Cover This report is the First Quarter Report of Asia Potash International Investment (Guangzhou) Co., Ltd. for 2021, published in April 2021[1] Section I Important Notice The company's board, supervisory board, and senior management guarantee the report's truthfulness, accuracy, and completeness - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the quarterly report content and assume legal responsibility[2] - All directors attended the board meeting to review this quarterly report[2] - Company head Guo Baichun, chief accountant Su Xuejun, and head of accounting department Su Xuejun declare that the financial statements are true, accurate, and complete[2] Section II Company Profile This section presents the company's key financial data, performance indicators, and shareholder structure I. Key Accounting Data and Financial Indicators Key financial indicators showed significant growth, with operating revenue up 54.47% and net profit up 325.23% Key Accounting Data and Financial Indicators (Current Period vs. Prior Year Period) | Indicator | Current Period (Million CNY) | Prior Year Period (Million CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 125.47 | 81.22 | 54.47% | | Net Profit Attributable to Shareholders of Listed Company | 17.53 | 4.12 | 325.23% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains and Losses) | 17.30 | 4.09 | 323.08% | | Net Cash Flow from Operating Activities | 81.62 | 17.56 | 364.81% | | Basic Earnings Per Share (CNY/share) | 0.0232 | 0.0054 | 329.63% | | Diluted Earnings Per Share (CNY/share) | 0.0232 | 0.0054 | 329.63% | | Weighted Average Return on Net Assets | 0.47% | 0.11% | 0.36% | | Period-End Indicators | Current Period-End (Billion CNY) | Prior Year-End (Billion CNY) | Change (%) | | Total Assets | 4.43 | 4.32 | 2.49% | | Net Assets Attributable to Shareholders of Listed Company | 3.73 | 3.71 | 0.47% | Non-Recurring Gains and Losses Items and Amounts | Item | Amount from Year-Beginning to End of Reporting Period (CNY) | Explanation | | :--- | :--- | :--- | | Other Non-Operating Income and Expenses Apart from the Above | 300,685.54 | Primarily due to the sale of scrap materials in the current reporting period | | Less: Income Tax Impact | 59,209.87 | | | Impact on Minority Interests (After Tax) | 10,996.12 | | | Total | 230,479.55 | -- | II. Total Number of Shareholders and Top Ten Shareholders at Period-End At period-end, the company had 16,737 common shareholders; top ten include China Agricultural Materials Group with pledged/frozen shares - At the end of the reporting period, the total number of common shareholders was 16,737, with no preferred shareholders whose voting rights have been restored[7] Top 10 Shareholders' Shareholding Status | Shareholder Name | Shareholder Type | Shareholding Ratio | Number of Shares Held (Million Shares) | Number of Restricted Shares Held (Million Shares) | Pledge or Freeze Status (Share Status) | Quantity (Million Shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | China Agricultural Materials Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 19.15% | 144.91 | 144.91 | Frozen | 56.17 | | | | | | | Pledged | 88.74 | | Guangzhou Dongling Industrial Investment Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 11.05% | 83.65 | 0.00 | Frozen | 20.00 | | Mudanjiang Guofu Investment Center (Limited Partnership) | Other | 11.05% | 83.65 | 0.00 | | | | Xinjiang Jiangzhiyuan Equity Investment Partnership (Limited Partnership) | Domestic Non-State-Owned Legal Person | 7.94% | 60.09 | 60.09 | Frozen | 41.32 | | | | | | | Pledged | 26.14 | | Shanghai Jinbang Jinde Equity Investment Partnership (Limited Partnership) | Domestic Non-State-Owned Legal Person | 7.47% | 56.55 | 56.55 | Frozen | 21.92 | | | | | | | Pledged | 34.63 | | Shanghai Kaili Tianren Asset Management Co., Ltd. | Domestic Non-State-Owned Legal Person | 3.74% | 28.28 | 28.28 | Frozen | 10.96 | | | | | | | Pledged | 17.20 | | National Social Security Fund 503 Portfolio | Other | 2.91% | 22.00 | 0.00 | | | | Shanghai Lianchuang Yongjin Equity Investment Enterprise (Limited Partnership) | Domestic Non-State-Owned Legal Person | 2.57% | 19.44 | 19.44 | Frozen | 7.54 | | Tianjin Saifeng Venture Capital Fund (Limited Partnership) | Domestic Non-State-Owned Legal Person | 2.57% | 19.44 | 19.44 | Frozen | 7.54 | | Zhiwei Zhixin Business Consulting (Beijing) Co., Ltd. | Domestic Non-State-Owned Legal Person | 0.93% | 7.07 | 7.07 | Frozen | 2.74 | | Jin Chengxin Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 0.93% | 7.07 | 7.07 | Frozen | 2.74 | | Chongqing Pharmaceutical Holdings Co., Ltd. | State-Owned Legal Person | 0.93% | 7.07 | 7.07 | Frozen | 2.74 | - Guangzhou Dongling Industrial Investment Group Co., Ltd. and Mudanjiang Guofu Investment Center (Limited Partnership) have formed a concerted action relationship[9] - The company's top 10 common shareholders and top 10 unrestricted common shareholders did not engage in agreed repurchase transactions during the reporting period[10] Section III Significant Events This section details financial data changes, major asset restructuring disputes, and unfulfilled commitments I. Changes and Reasons for Key Financial Data and Indicators During the Reporting Period Key financial metrics changed significantly due to potash project payments, increased revenue, and higher construction in progress Consolidated Balance Sheet Item Changes | Item | Current Period-End (Million CNY) | Prior Year-End (Million CNY) | Change Rate (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 242.32 | 346.29 | -30.02% | Payment for Laos 1 Million Tons/Year Potash Expansion Project | | Accounts Receivable | 48.64 | 23.10 | 110.60% | Increase in Potash Revenue | | Prepayments | 67.63 | 14.99 | 351.02% | Increase in Prepayments to Suppliers | | Construction in Progress | 221.09 | 129.92 | 70.17% | Increase in Construction in Progress for Laos 1 Million Tons/Year Potash Expansion Project | | Contract Liabilities | 42.21 | 9.86 | 328.14% | Increase in Advance Receipts for Goods | Consolidated Income Statement Item Changes | Item | Current Period Amount (Jan-Mar 2021) (Million CNY) | Prior Period Amount (Jan-Mar 2020) (Million CNY) | Change Rate (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 125.47 | 81.22 | 54.47% | Increase in Potash Product Sales | | Operating Cost | 69.55 | 46.71 | 48.90% | Increase in Potash Product Sales | | Taxes and Surcharges | 10.57 | 7.64 | 38.39% | Increase in Potash Revenue and Corresponding Taxes and Fees | | Financial Expenses | -0.49 | -1.37 | 63.91% | Decrease in Interest Income | | Credit Impairment Losses | -0.30 | 1.69 | -117.85% | Increase in Provision for Bad Debts of Accounts Receivable | | Income Tax Expense | 7.03 | 3.28 | 114.44% | Increase in Potash Business Profit | Consolidated Cash Flow Statement Item Changes | Item | Current Period Amount (Jan-Mar 2021) (Million CNY) | Prior Period Amount (Jan-Mar 2020) (Million CNY) | Change Rate (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 81.62 | 17.56 | 364.81% | Cash Paid for Goods and Services Decreased Compared to Prior Year Period | | Net Cash Flow from Investing Activities | -194.71 | -3.87 | -4937.23% | Increase in Acquisition of Fixed Assets | | Net Cash Flow from Financing Activities | 9.37 | 0.12 | 7439.85% | Obtaining Short-Term Loans | | Net Increase in Cash and Cash Equivalents | -103.97 | 15.28 | -780.27% | Change in Net Cash Flow from Investing Activities | II. Progress, Impact, and Solutions for Significant Events This section details long-standing disputes from the Sinochem Potash major asset restructuring, including defaults and ongoing litigation 1. Progress of Issuance of Shares to Acquire Assets and Raise Supporting Funds for Related Party Transaction - Sinochem Potash Matter The Sinochem Potash major asset restructuring led to multiple legal disputes over defaulted fundraising and performance compensation - In September 2015, the company completed the issuance of shares to acquire 100% equity of Sinochem International Potash Development Co., Ltd., increasing its total share capital to 762.90 million shares[17] - Supporting fund subscribers Dongling Industrial, Lai Ningchang, and Li Chaobo defaulted by abandoning their subscriptions, and the company has demanded payment of liquidated damages from them[17][18] - The company engaged intermediaries to conduct a special investigation and evaluation of the Laos 1 million tons/year potash project, identifying defects in the original technical solution and design methods[18][19] - The company filed a lawsuit and applied for asset preservation with the Beijing High People's Court regarding disputes with Sinochem Group and ten other parties in the major asset restructuring[20] - Settlement discussions regarding performance compensation and asset impairment compensation disputes from the restructuring with Sinochem Group and ten other issuing parties are ongoing, with inherent uncertainties[33] - The Supreme People's Court has issued a final judgment on Dongling Industrial's abandonment of subscription for supporting new capital, rejecting the appeal and upholding the original judgment, requiring Dongling Industrial to pay liquidated damages of 102.96 million CNY[33] - The company has applied to the court for compulsory enforcement of Dongling Industrial's liquidated damages and has frozen 20 million shares of the company's stock held by them[34] 2. Explanation Regarding Temporary Non-Application for Listing and Circulation of Restricted Shares Due to unfulfilled performance commitments and ongoing litigation, 353.45 million restricted shares are temporarily not being unblocked - Sinochem International failed to meet its performance commitment for 2017, requiring Sinochem Group and ten other issuing parties to compensate 117.40 million shares and 246.76 million CNY in cash[36] - As of September 28, 2018, Sinochem Group and ten other issuing parties had not fulfilled their compensation obligations on time[36] - The company will temporarily not apply for the lifting of restrictions on a total of 353.45 million restricted shares held by Sinochem Group and ten other issuing parties; the lifting of restrictions will depend on the payment of performance compensation or the outcome of litigation[37] III. Unfulfilled Commitments by Actual Controllers, Shareholders, Related Parties, Acquirers, and Other Concerned Parties Beyond Deadline During the Reporting Period Unfulfilled commitments include Sinochem International's 2017 performance guarantee and key management violating non-compete clauses - Sinochem International failed to meet its performance commitment for 2017, and Sinochem Group and ten other counterparties have not yet fulfilled their compensation obligations[51][53][66] - Five key management personnel, including Meng Dianyong, Huang Lu, Song Ying, Bai Ming, and Kong Lina, resigned without the listed company's consent and subsequently joined Sinochem Mining Resources Exploration Co., Ltd., a subsidiary of Sinochem Group, violating their term of office and non-compete commitments[61][62][66] - The company has filed a lawsuit and applied for asset preservation with the Beijing High People's Court regarding disputes with Sinochem Group and ten other parties in the major asset restructuring; currently, there is no judgment or mediation result[66] IV. Financial Asset Investments The company did not engage in securities or derivative investments during the reporting period - The company had no securities investments during the reporting period[67] - The company had no derivative investments during the reporting period[67] V. Progress of Raised Fund Investment Projects The company had no progress on raised fund investment projects during the reporting period - The company had no progress on raised fund investment projects during the reporting period[68] VI. Forecast of Operating Performance for January-June 2021 The company did not forecast a loss or significant change in cumulative net profit for January-June 2021 - The company did not forecast that the cumulative net profit from the beginning of the year to the end of the next reporting period might be a loss or experience significant changes compared to the prior year period[68] VII. Significant Contracts in Ordinary Course of Business The company had no significant contracts in the ordinary course of business during the reporting period - The company had no significant contracts in the ordinary course of business during the reporting period[69] VIII. Wealth Management The company had no wealth management activities during the reporting period - The company had no wealth management activities during the reporting period[69] IX. 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[69] X. Non-Operating Funds Occupied by Controlling Shareholders and Their Related Parties from the Listed Company No non-operating funds were occupied by controlling shareholders or related parties from the listed company - The company had no non-operating funds occupied by controlling shareholders and their related parties from the listed company during the reporting period[69] XI. Registration Form for Research, Communication, Interview, and Other Activities During the Reporting Period The company engaged with individual investors via phone to discuss the Laos potash project and business development Reception Activities During the Reporting Period | Reception Time | Reception Location | Reception Method | Type of Recipient | Recipient | Main Content Discussed and Materials Provided | | :--- | :--- | :--- | :--- | :--- | :--- | | January 01, 2021 - March 31, 2021 | Guangzhou | Phone Communication | Individual | Individual Investor | Construction Progress of the Company's Laos 1 Million Tons/Year Potash Expansion Project and Company's Business Development | Section IV Financial Statements This section presents the company's consolidated and parent company balance sheets, income statements, and cash flow statements for Q1 2021 I. Financial Statements This section provides the company's consolidated and parent company financial statements for the reporting period 1. Consolidated Balance Sheet As of March 31, 2021, total consolidated assets were 4.43 billion CNY, liabilities 408.00 million CNY, and equity 4.02 billion CNY Consolidated Balance Sheet Key Data (March 31, 2021 vs. December 31, 2020) | Item | March 31, 2021 (Million CNY) | December 31, 2020 (Million CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 242.32 | 346.29 | | Accounts Receivable | 48.64 | 23.10 | | Prepayments | 67.63 | 14.99 | | Inventories | 67.06 | 74.12 | | Fixed Assets | 786.83 | 784.94 | | Construction in Progress | 221.09 | 129.92 | | Intangible Assets | 2751.72 | 2755.33 | | Total Assets | 4425.24 | 4317.70 | | Short-Term Borrowings | 9.86 | 0.00 | | Contract Liabilities | 42.21 | 9.86 | | Total Liabilities | 408.00 | 320.37 | | Total Equity Attributable to Parent Company Shareholders | 3731.50 | 3713.97 | | Total Equity | 4017.24 | 3997.33 | 2. Parent Company Balance Sheet As of March 31, 2021, parent company total assets were 3.64 billion CNY, liabilities 71.67 million CNY, and equity 3.57 billion CNY Parent Company Balance Sheet Key Data (March 31, 2021 vs. December 31, 2020) | Item | March 31, 2021 (Million CNY) | December 31, 2020 (Million CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 12.72 | 4.12 | | Long-Term Equity Investments | 3479.15 | 3479.15 | | Total Assets | 3642.58 | 3626.41 | | Short-Term Borrowings | 9.86 | 0.00 | | Total Liabilities | 71.67 | 49.81 | | Total Equity | 3570.91 | 3576.60 | 3. Consolidated Income Statement In Q1 2021, consolidated total operating revenue was 125.47 million CNY, with net profit attributable to parent company shareholders at 17.53 million CNY Consolidated Income Statement Key Data (Jan-Mar 2021 vs. Jan-Mar 2020) | Item | Current Period Amount (Million CNY) | Prior Period Amount (Million CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 125.47 | 81.22 | | Total Operating Costs | 98.53 | 75.79 | | Operating Profit | 26.66 | 7.14 | | Total Profit | 26.94 | 7.17 | | Net Profit | 19.90 | 3.89 | | Net Profit Attributable to Parent Company Shareholders | 17.53 | 4.12 | | Basic Earnings Per Share (CNY/share) | 0.0232 | 0.0054 | | Diluted Earnings Per Share (CNY/share) | 0.0232 | 0.0054 | 4. Parent Company Income Statement In Q1 2021, the parent company reported zero operating revenue and a net loss of 5.69 million CNY, primarily due to administrative and financial expenses Parent Company Income Statement Key Data (Jan-Mar 2021 vs. Jan-Mar 2020) | Item | Current Period Amount (Million CNY) | Prior Period Amount (Million CNY) | | :--- | :--- | :--- | | Operating Revenue | 0.00 | 0.00 | | Administrative Expenses | 5.72 | 3.13 | | Financial Expenses | 0.09 | -0.97 | | Operating Profit | -5.78 | -2.16 | | Net Profit | -5.69 | -2.16 | | Basic Earnings Per Share (CNY/share) | -0.0075 | -0.0029 | | Diluted Earnings Per Share (CNY/share) | -0.0075 | -0.0029 | 5. Consolidated Cash Flow Statement In Q1 2021, net cash flow from operating activities was 81.62 million CNY, while investing activities saw a net outflow of 194.71 million CNY Consolidated Cash Flow Statement Key Data (Jan-Mar 2021 vs. Jan-Mar 2020) | Item | Current Period Amount (Million CNY) | Prior Period Amount (Million CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 81.62 | 17.56 | | Net Cash Flow from Investing Activities | -194.71 | -3.87 | | Net Cash Flow from Financing Activities | 9.37 | 0.12 | | Net Increase in Cash and Cash Equivalents | -103.97 | 15.28 | | Cash and Cash Equivalents at Period-End | 242.32 | 461.02 | 6. Parent Company Cash Flow Statement In Q1 2021, parent company net cash flow from operating activities was -0.77 million CNY, with financing activities providing 9.37 million CNY Parent Company Cash Flow Statement Key Data (Jan-Mar 2021 vs. Jan-Mar 2020) | Item | Current Period Amount (Million CNY) | Prior Period Amount (Million CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -0.77 | -4.19 | | Net Cash Flow from Investing Activities | 0.00 | -400.00 | | Net Cash Flow from Financing Activities | 9.37 | 0.00 | | Net Increase in Cash and Cash Equivalents | 8.60 | -404.19 | | Cash and Cash Equivalents at Period-End | 12.72 | 15.92 | II. Explanation of Financial Statement Adjustments Financial statements were adjusted at the beginning of 2021 due to the first-time adoption of new lease standards, impacting assets and liabilities 1. Adjustments to Financial Statements at the Beginning of the First Year of Adopting New Lease Standards in 2021 Consolidated and parent company balance sheets were adjusted on January 1, 2021, for the first-time adoption of new lease standards - The company adopted new lease standards for the first time starting in 2021, adjusting its financial statements at the beginning of the year[89][93] Consolidated Balance Sheet Adjustments (January 1, 2021) | Item | December 31, 2020 (Million CNY) | January 1, 2021 (Million CNY) | Adjustment Amount (Million CNY) | | :--- | :--- | :--- | :--- | | Right-of-Use Assets | 0.00 | 16.41 | 16.41 | | Lease Liabilities | 0.00 | 16.41 | 16.41 | | Total Assets | 4317.70 | 4334.11 | 16.41 | | Total Liabilities | 320.37 | 336.78 | 16.41 | Parent Company Balance Sheet Adjustments (January 1, 2021) | Item | December 31, 2020 (Million CNY) | January 1, 2021 (Million CNY) | Adjustment Amount (Million CNY) | | :--- | :--- | :--- | :--- | | Right-of-Use Assets | 0.00 | 8.13 | 8.13 | | Lease Liabilities | 0.00 | 8.13 | 8.13 | | Total Assets | 3626.41 | 3634.55 | 8.13 | | Total Liabilities | 49.81 | 57.95 | 8.13 | 2. Explanation of Retrospective Adjustment of Prior Period Comparative Data Upon First Adoption of New Lease Standards in 2021 Prior period comparative data was not retrospectively adjusted to reflect the impact of the new lease standards - The company did not retrospectively adjust prior period comparative data to reflect the impact of the new lease standards[96] III. Audit Report The company's 2021 first quarter report is unaudited - The company's first quarter report is unaudited[96]