Jialong(SZ:002495)2022-10-28 16:00Key Financial Data In Q3 2022, the company's performance diverged: single-quarter operating revenue grew by 12.94% and net profit attributable to parent company shareholders surged by 617.68%; however, year-to-date cumulative data showed operating revenue decreased by 20.14%, turning from profit to a net loss of RMB 1.85 million attributable to parent company shareholders, indicating significant overall operational pressure despite Q3 improvement Key Accounting Data and Financial Indicators | Indicator | Current Period (Q3) (RMB) | YoY Change (Current Period) | Year-to-Date (YTD) (RMB) | YoY Change (YTD) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 66,332,629.77 | 12.94% | 168,107,497.77 | -20.14% | | Net Profit Attributable to Parent Company Shareholders | 3,233,544.82 | 617.68% | -1,849,671.35 | -109.91% | | Net Profit Attributable to Parent Company Shareholders (Excluding Non-recurring Items) | 3,036,079.47 | 1,191.44% | -3,545,253.39 | -120.07% | | Net Cash Flow from Operating Activities | — | — | -17,707,245.37 | 86.24% | | Basic Earnings Per Share (RMB/share) | 0.0035 | 600.00% | -0.0020 | -110.00% | | Total Assets | 1,281,466,955.86 | -1.59% (vs. end of prior year) | 1,281,466,955.86 | -1.59% (vs. end of prior year) | | Total Equity Attributable to Parent Company Shareholders | 1,216,577,030.88 | -0.15% (vs. end of prior year) | 1,216,577,030.88 | -0.15% (vs. end of prior year) | Year-to-Date Non-recurring Gains and Losses Items | Item | YTD Amount (RMB) | Description | | :--- | :--- | :--- | | Gains/Losses from Disposal of Non-current Assets | -267,212.17 | Loss from disposal of non-current assets | | Government Grants | 915,480.10 | Various government grants received | | Gains/Losses from Entrusted Investments or Asset Management | 953,594.07 | Cash dividends from Qianhai Equity Exchange Investment Holding (Shenzhen) Co., Ltd | | Total | 1,695,582.04 | -- | Changes and Reasons for Key Accounting Data and Financial Indicators During the reporting period, the company experienced significant fluctuations in multiple financial indicators, with accounts receivable surging by 1322.82% due to sales collection policies, and year-to-date operating revenue declining by 20.14% due to weak downstream markets, while cash flow from operating activities deteriorated and investing cash flow turned significantly negative due to prior year's asset disposal income Reasons for Balance Sheet Item Changes The balance sheet shows accounts receivable surged by 1322.82% due to sales collection policies, construction in progress significantly decreased by 72.71% as projects were completed and capitalized, and contract liabilities and other current liabilities declined by 69.30% and 81.94% respectively due to reduced advance receipts Key Balance Sheet Item Changes | Item | Change Percentage | Reason for Change | | :--- | :--- | :--- | | Accounts Receivable | 1322.82% | Due to sales collection policy in the current period | | Other Receivables | 316.99% | Due to unreceived cash dividends of RMB 953,600 from Qianhai Holding at period end | | Construction in Progress | -72.71% | Unfinished construction in progress at the end of the prior period has been successively completed and capitalized in the current period | | Contract Liabilities | -69.30% | Decrease in advance receipts related to sales of goods and provision of services at the end of the current period | | Other Current Liabilities | -81.94% | Decrease in advance receipts related to sales of goods and provision of services at the end of the current period | Reasons for Income Statement Item Changes Year-to-date, operating revenue decreased by 20.14% due to weak downstream consumption affected by the pandemic, selling expenses decreased by 41.62% due to reduced market promotion, and income tax expense decreased by 79.71% corresponding to lower total profit Key Income Statement Item Changes (Year-to-Date) | Item | Change Percentage | Reason for Change | | :--- | :--- | :--- | | Operating Revenue | -20.14% | Affected by the resurgence of the pandemic, downstream market consumption was weak, terminal demand was insufficient, and orders declined | | Selling Expenses | -41.62% | Market promotion investment decreased year-on-year in the current period | | Non-operating Income | 2544.26% | Trademark infringement compensation received in the current period | | Income Tax Expense | -79.71% | Total profit realized in the current period decreased year-on-year, and corresponding income tax expense decreased | Reasons for Cash Flow Statement Item Changes Year-to-date, net cash flow from operating activities deteriorated by 86.24% due to decreased sales, net cash flow from investing activities turned significantly negative by 205.17% primarily due to large asset disposal income in the prior year, and net cash flow from financing activities improved by 98.32% due to lower cash dividends paid in the current period Key Cash Flow Statement Item Changes (Year-to-Date) | Item | Change Percentage | Reason for Change | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -86.24% | Sales decreased year-on-year, and cash received from sales of goods and provision of services decreased year-on-year | | Net Cash Flow from Investing Activities | -205.17% | Funds received from the sale of Chiwei land and factory in the prior period | | Net Cash Flow from Financing Activities | 98.32% | The 2020 cash dividend plan was implemented in the prior period, leading to an increase in cash payments | Shareholder Information As of the end of the reporting period, the company had 48,485 common shareholders, with the controlling shareholder and actual controller, the Lin Pingtao family, collectively holding 38.28% of the shares, indicating a stable and highly concentrated ownership structure - At the end of the reporting period, the company had 48,485 common shareholders13 - The controlling shareholders and actual controllers are Lin Pingtao, Xu Qiaochuan, Lin Changhao, Lin Changqing, and Lin Changchun, who collectively hold 38.28% of the company's total share capital, with Lin Pingtao and Xu Qiaochuan being a married couple and the other three being their sons14 Top Five Shareholders' Shareholding | Shareholder Name | Shareholding Percentage | Number of Shares Held | | :--- | :--- | :--- | | Lin Pingtao | 17.15% | 160,454,761 | | Lin Changhao | 8.36% | 78,194,308 | | Xu Qiaochuan | 6.09% | 56,938,527 | | Lin Changqing | 4.82% | 45,052,485 | | Lin Changchun | 1.88% | 17,548,528 | Quarterly Financial Statements This section presents the unaudited consolidated financial statements for Q3 2022, including the balance sheet, year-to-date income statement, and cash flow statement, providing a detailed overview of the company's financial position at the end of the reporting period and its operating results and cash flows for the first three quarters Consolidated Balance Sheet As of September 30, 2022, total assets were RMB 1.28 billion, a 1.59% decrease from the beginning of the year, total liabilities were RMB 64.89 million, a 22.55% decrease, indicating a low debt-to-asset ratio, and total equity attributable to the parent company was RMB 1.22 billion, remaining largely stable Consolidated Balance Sheet Key Data (September 30, 2022) | Item | September 30, 2022 (RMB) | January 1, 2022 (RMB) | | :--- | :--- | :--- | | Total Assets | 1,281,466,955.86 | 1,302,208,755.06 | | Total Liabilities | 64,889,924.98 | 83,782,052.83 | | Total Equity Attributable to Parent Company | 1,216,577,030.88 | 1,218,426,702.23 | Consolidated Income Statement (Year-to-Date) For the first three quarters of 2022, total operating revenue was RMB 168.11 million, a 20.14% decrease year-on-year, with total operating costs of RMB 168.88 million, resulting in a net loss of RMB 1.85 million compared to a net profit of RMB 18.67 million in the prior year, indicating a significant decline in profitability Consolidated Income Statement Key Data (Year-to-Date) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 168,107,497.77 | 210,508,066.89 | | Total Operating Costs | 168,878,206.33 | 185,786,366.24 | | Operating Profit | -898,010.61 | 24,041,615.35 | | Net Profit | -1,849,671.35 | 18,670,545.50 | | Net Profit Attributable to Parent Company Shareholders | -1,849,671.35 | 18,670,545.50 | Consolidated Cash Flow Statement (Year-to-Date) For the first three quarters of 2022, net cash flow from operating activities was RMB -17.71 million, further deteriorating from RMB -9.51 million in the prior year, with net cash outflow from investing activities of RMB 16.28 million and from financing activities of RMB 0.13 million, resulting in cash and cash equivalents of RMB 288.07 million at period end, a decrease of RMB 34.11 million from the beginning of the period Consolidated Cash Flow Statement Key Data (Year-to-Date) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -17,707,245.37 | -9,507,811.11 | | Net Cash Flow from Investing Activities | -16,276,715.29 | 15,476,214.06 | | Net Cash Flow from Financing Activities | -125,600.00 | -7,484,998.79 | | Net Increase in Cash and Cash Equivalents | -34,109,560.66 | -1,516,595.84 | | Cash and Cash Equivalents at Period End | 288,074,797.16 | 229,904,097.22 |