恒信东方(300081) - 2022 Q3 - 季度财报

Key Financial Data This section provides an overview of the company's key financial performance, non-recurring gains and losses, and detailed analysis of changes in balance sheet, income statement, and cash flow items Key Accounting Data and Financial Indicators The company experienced significant declines in operating revenue and net profit attributable to shareholders, with deteriorating net cash flow from operating activities and slight decreases in total assets and owner's equity during Q3 and YTD 2022 Overview of Key Accounting Data and Financial Indicators | Indicator | Current Period (Q3 2022) | YoY Change (Q3) | Year-to-Date (YTD 2022) | YoY Change (YTD) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue (CNY) | 64,629,652.40 | -51.95% | 205,859,527.64 | -47.37% | | Net Profit Attributable to Shareholders of Listed Company (CNY) | -39,799,685.86 | -421.21% | -125,119,791.26 | -645.36% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains/Losses) (CNY) | -41,759,798.14 | -15,355.64% | -132,732,456.59 | -194.06% | | Net Cash Flow from Operating Activities (CNY) | -- | -- | -59,287,305.59 | -102.20% | | Basic Earnings Per Share (CNY/share) | -0.066 | -375.00% | -0.2069 | -571.30% | | Diluted Earnings Per Share (CNY/share) | -0.066 | -375.00% | -0.2069 | -571.30% | | Weighted Average Return on Net Assets | -1.89% | -2.50% | -5.90% | -7.03% | | Indicator | End of Current Period (Sep 30, 2022) | End of Prior Year (Dec 31, 2021) | Change from Prior Year-End | | :--- | :--- | :--- | :--- | | Total Assets (CNY) | 2,343,521,051.90 | 2,564,861,338.07 | -8.63% | | Total Equity Attributable to Shareholders of Listed Company (CNY) | 2,161,429,658.42 | 2,168,887,410.73 | -0.34% |[5] Non-Recurring Gains and Losses Items and Amounts During the reporting period, non-recurring gains primarily stemmed from wealth management income and government subsidies, partially offset by non-current asset disposal losses and litigation expenses, resulting in a positive year-to-date total Non-Recurring Gains and Losses Items and Amounts (Year-to-Date) | Item | Amount (CNY) | Description | | :--- | :--- | :--- | | Gains/Losses on Disposal of Non-Current Assets | -1,130,448.19 | Mainly losses from scrapped fixed assets | | Government Grants Recognized in Current Profit/Loss | 3,189,636.81 | Mainly tax refunds and deferred income received | | Gains/Losses from Entrusted Investments or Asset Management | 4,398,833.51 | Entirely wealth management income | | Gains/Losses from Debt Restructuring | 765,211.05 | | | Other Non-Operating Income and Expenses Apart from the Above | -776,428.55 | Mainly litigation losses | | Other Income/Loss Items Meeting Definition of Non-Recurring Gains/Losses | 1,304,305.68 | Mainly additional VAT deductions | | Less: Income Tax Impact | 161,364.98 | | | Impact on Minority Interests (After Tax) | -22,920.00 | | | Total | 7,612,665.33 | -- |[6] - The company has no other income or loss items meeting the definition of non-recurring gains and losses, nor has it classified non-recurring items listed in explanatory announcements as recurring gains and losses[7] Changes and Reasons for Key Accounting Data and Financial Indicators This section details significant changes and their specific reasons for major balance sheet, income statement, and cash flow statement items during the reporting period, reflecting notable shifts in the company's operating, investing, and financing activities Significant Changes and Reasons for Balance Sheet Items This section analyzes the significant changes in key balance sheet items and their underlying causes, providing insights into the company's financial position shifts Changes in Major Balance Sheet Items | Balance Sheet Item | Period-End Balance (CNY) | Dec 31, 2021 (CNY) | Change Rate | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 261,719,770.42 | 693,179,537.79 | -62.24% | Funds used for operating payments, wealth management product purchases, and external investments | | Financial Assets Held for Trading | 251,834,000.00 | 181,834,000.00 | 38.50% | Idle funds used to purchase wealth management products | | Accounts Receivable | 76,848,294.30 | 130,706,290.14 | -41.21% | Collection of some customer payments from the beginning of the period | | Prepayments | 68,504,264.31 | 28,633,800.42 | 139.24% | Prepayments made for external payments not yet settled | | Investments in Other Equity Instruments | 213,017,435.76 | 116,267,435.76 | 83.21% | Increase in external investments | | Right-of-Use Assets | 19,730,379.29 | 3,832,920.64 | 414.76% | Increase in leases exceeding one year | | Development Expenditures | 17,992,642.12 | 6,020,087.83 | 198.88% | Increase in capital expenditure for R&D projects | | Short-Term Borrowings | 155,474,686.94 | 229,249,274.79 | -32.18% | Repayment of bank loans | | Taxes Payable | 2,496,893.41 | 9,578,239.52 | -73.93% | Payment of taxes accrued at the end of the previous year | | Non-Current Liabilities Due Within One Year | 8,410,296.79 | 3,652,744.00 | 130.25% | Increase in lease liabilities due within one year | | Lease Liabilities | 13,135,841.07 | 2,382,845.63 | 451.27% | Recognition of increased leases exceeding one year | | Provisions | 4,338,981.65 | 20,608,200.00 | -78.95% | Part of the provisions at the beginning of the period has been paid | | Treasury Shares | 21,040,477.90 | 48,728,977.90 | -56.82% | Cancellation of repurchased treasury shares due to expired equity incentives | | Minority Interests | -117,456,374.00 | 4,631,978.34 | -2635.77% | Transfer of partial equity in a subsidiary |[9][10] Significant Changes and Reasons for Income Statement Items This section details the significant changes in key income statement items and their underlying causes, reflecting shifts in the company's profitability and operational efficiency Changes in Major Income Statement Items (Year-to-Date) | Income Statement Item | Jan-Sep 2022 (CNY) | Jan-Sep 2021 (CNY) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 205,859,527.64 | 391,141,971.92 | -47.37% | Decrease in revenue from digital creative products and internet video application services | | Operating Cost | 150,939,674.67 | 264,291,786.62 | -42.89% | Decreased proportionally with operating revenue | | Selling Expenses | 73,069,741.32 | 55,646,156.05 | 31.31% | Increase in labor costs and intangible asset amortization | | Administrative Expenses | 57,933,422.52 | 42,355,084.91 | 36.78% | Increase in labor costs, intangible asset amortization, and lease expenses | | Financial Expenses | 1,115,491.18 | 6,520,201.68 | -82.89% | Decrease in interest expense, increase in interest income | | Investment Income | 2,406,471.00 | 9,788,230.03 | -75.41% | Significant increase in investment income from disposal of financial assets held for trading in the prior period | | Gains from Changes in Fair Value | - | 50,881,689.37 | -100.00% | Fair value changes of financial assets held for trading in the prior period | | Asset Impairment Losses | -1,064,193.39 | -599,516.73 | 77.51% | Higher provision for inventory impairment losses | | Non-Operating Expenses | 2,052,228.48 | 332,934.99 | 516.41% | Increase in estimated litigation losses and fixed asset disposal losses | | Income Tax Expense | 1,309,694.24 | -1,137,150.53 | 215.17% | Decrease in taxable temporary differences due to disposal of financial assets held for trading in the prior period | | Minority Interest Income/Loss | -7,299,188.18 | 3,026,406.63 | -341.18% | Change in minority shareholder equity proportion | | Net Other Comprehensive Income After Tax | 2,240,335.28 | -689,520.80 | 424.91% | Exchange rate fluctuations increased foreign currency translation differences |[11][12] Significant Changes and Reasons for Cash Flow Statement Items This section outlines the significant changes in key cash flow statement items and their underlying causes, illustrating shifts in the company's liquidity and cash generation capabilities Changes in Major Cash Flow Statement Items (Year-to-Date) | Cash Flow Statement Item | Jan-Sep 2022 (CNY) | Jan-Sep 2021 (CNY) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Tax Refunds Received | 15,987,087.98 | 1,664,257.02 | 860.61% | Higher VAT input tax credit refunds | | Other Cash Received Related to Operating Activities | 19,407,524.02 | 50,279,822.67 | -61.40% | More intercompany receivables received in the prior period | | Net Cash Flow from Operating Activities | -59,287,305.59 | -29,321,304.29 | -102.20% | Decrease in cash received from sales of goods and services, increase in taxes paid and labor costs | | Cash Received from Disposal of Investments | 62,469,252.00 | 244,539,693.53 | -74.45% | More cash recovered from disposal of financial assets held for trading in the prior period | | Net Cash Received from Disposal of Fixed Assets, Intangible Assets, and Other Long-Term Assets | 321,424.48 | 17,855.00 | 1700.19% | Higher amount recovered from disposal of fixed assets | | Cash Paid for Investments | 201,550,000.00 | 3,850,000.00 | 5135.06% | Increase in external investments and wealth management expenditures | | Net Cash Flow from Investing Activities | -236,937,840.09 | 178,913,371.49 | -232.43% | Decrease in cash recovered from disposal of financial assets held for trading and increase in external investment expenditures | | Cash Received from Borrowings | 202,331,488.84 | 389,721,556.25 | -48.08% | Decrease in bank loans received | | Cash Paid for Debt Repayment | 277,454,241.92 | 541,580,000.00 | -48.77% | Proactive reduction in bank loans, leading to a corresponding decrease in repayments | | Net Cash Flow from Financing Activities | -81,420,050.18 | -162,849,076.19 | 50.00% | Significant decrease in cash paid for debt repayment compared to the prior period | | Net Increase in Cash and Cash Equivalents | -377,767,932.87 | -13,250,830.75 | -2750.90% | Decrease in net cash flow from operating and investing activities |[13][14] Shareholder Information This section details the company's shareholder structure, including common and preferred shareholders, and changes in restricted shareholdings Total Number of Common Shareholders and Top Ten Shareholders' Shareholding As of the reporting period end, the company had 54,141 common shareholders, with Meng Xianmin as the largest shareholder whose holdings are largely pledged and frozen - Total number of common shareholders at the end of the reporting period: 54,141 households[15] Top 10 Shareholders' Shareholding | Shareholder Name | Shareholder Type | Shareholding Percentage | Number of Shares Held (shares) | Number of Restricted Shares Held (shares) | Pledged, Marked, or Frozen Status | | :--- | :--- | :--- | :--- | :--- | :--- | | Meng Xianmin | Domestic Natural Person | 15.84% | 96,161,704 | 79,747,174 | Pledged: 85,682,562 shares; Frozen: 96,161,704 shares | | Wang Bing | Domestic Natural Person | 3.36% | 20,411,166 | 20,411,166 | Pledged: 20,000,000 shares |[15] - Among the top 10 unrestricted shareholders, Meng Xianmin holds 16,414,530 unrestricted tradable shares[16] - There are no related party relationships or concerted action relationships among the top 10 shareholders[16] Preferred Shareholder Information The company has no preferred shareholders - The company has no preferred shareholders[17] Changes in Restricted Shares During the reporting period, the company's total restricted shares slightly decreased, with executive Wang Bing's restricted shares increasing due to executive lock-up rules and Fu Wei's decreasing due to partial release Changes in Restricted Shares | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Restricted Shares Released This Period (shares) | Restricted Shares Increased This Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | :--- | | Wang Bing | 20,408,374 | 0 | 2,792 | 20,411,166 | Executive Restricted Shares | | Fu Wei | 121,875 | 30,469 | 0 | 91,406 | Executive Restricted Shares | | Total | 20,530,249 | 30,469 | 2,792 | 20,502,572 | |[18] Other Significant Matters This section covers significant corporate events, including changes in leadership and adjustments to share repurchase plans Resignation and Re-election of Chairman On July 11, 2022, the company's board of directors and supervisory board approved the proposal for the re-election of the Seventh Board of Directors' Chairman - On July 11, 2022, the company's board of directors and supervisory board approved the "Proposal on the Re-election of the Chairman of the Seventh Board of Directors"[20] Change in Purpose and Cancellation of Repurchased Shares Given the impending expiration of repurchased but unused shares, the company decided to change the purpose from equity incentives to cancellation to reduce registered capital, with the cancellation completed on October 11, 2022 - On July 11, 2022, the company's board of directors approved the "Proposal on Changing the Purpose and Cancellation of Repurchased Shares," changing the purpose from "entirely for future equity incentive plans" to "entirely for cancellation to reduce registered capital"[20] - On August 12, 2022, the company's general meeting of shareholders approved the proposal[20] - The share cancellation procedures were completed on October 11, 2022, at the Shenzhen Branch of China Securities Depository and Clearing Corporation Limited[20] Quarterly Financial Statements This section presents the company's unaudited consolidated quarterly financial statements, including the balance sheet, income statement, and cash flow statement Financial Statements This section presents the company's consolidated balance sheet as of September 30, 2022, and consolidated income and cash flow statements for the year-to-date period, comprehensively detailing its financial position, operating results, and cash flows Consolidated Balance Sheet This section presents the company's consolidated balance sheet, offering a snapshot of its assets, liabilities, and equity as of the reporting date Consolidated Balance Sheet (Summary) | Item | Sep 30, 2022 (CNY) | Jan 1, 2022 (CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 261,719,770.42 | 693,179,537.79 | | Financial Assets Held for Trading | 251,834,000.00 | 181,834,000.00 | | Accounts Receivable | 76,848,294.30 | 130,706,290.14 | | Prepayments | 68,504,264.31 | 28,633,800.42 | | Inventories | 405,917,004.51 | 382,873,924.45 | | Total Current Assets | 1,149,669,571.76 | 1,501,250,001.30 | | Long-Term Equity Investments | 244,804,996.76 | 214,547,607.23 | | Investments in Other Equity Instruments | 213,017,435.76 | 116,267,435.76 | | Right-of-Use Assets | 19,730,379.29 | 3,832,920.64 | | Intangible Assets | 142,110,766.80 | 177,347,018.76 | | Development Expenditures | 17,992,642.12 | 6,020,087.83 | | Total Non-Current Assets | 1,193,851,480.14 | 1,063,611,336.77 | | Total Assets | 2,343,521,051.90 | 2,564,861,338.07 | | Short-Term Borrowings | 155,474,686.94 | 229,249,274.79 | | Contract Liabilities | 13,281,969.61 | 11,468,408.70 | | Taxes Payable | 2,496,893.41 | 9,578,239.52 | | Total Current Liabilities | 262,912,743.92 | 346,565,702.53 | | Lease Liabilities | 13,135,841.07 | 2,382,845.63 | | Provisions | 4,338,981.65 | 20,608,200.00 | | Total Non-Current Liabilities | 36,635,023.56 | 44,776,246.47 | | Total Liabilities | 299,547,767.48 | 391,341,949.00 | | Share Capital | 607,115,817.00 | 611,510,817.00 | | Capital Reserve | 2,224,302,999.51 | 2,132,129,334.53 | | Less: Treasury Shares | 21,040,477.90 | 48,728,977.90 | | Retained Earnings | -626,893,276.66 | -501,773,485.40 | | Total Equity Attributable to Parent Company Shareholders | 2,161,429,658.42 | 2,168,887,410.73 | | Minority Interests | -117,456,374.00 | 4,631,978.34 | | Total Equity | 2,043,973,284.42 | 2,173,519,389.07 | | Total Liabilities and Equity | 2,343,521,051.90 | 2,564,861,338.07 |[22][23][24] Consolidated Income Statement (Year-to-Date) This section provides the company's consolidated income statement, detailing revenues, expenses, and net profit for the year-to-date period Major Consolidated Income Statement Data (Year-to-Date) | Item | Amount for Current Period (Jan-Sep 2022, CNY) | Amount for Prior Period (Jan-Sep 2021, CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 205,859,527.64 | 391,141,971.92 | | Operating Cost | 150,939,674.67 | 264,291,786.62 | | Selling Expenses | 73,069,741.32 | 55,646,156.05 | | Administrative Expenses | 57,933,422.52 | 42,355,084.91 | | Research and Development Expenses | 37,672,179.24 | 45,062,215.96 | | Financial Expenses | 1,115,491.18 | 6,520,201.68 | | Investment Income | 2,406,471.00 | 9,788,230.03 | | Gains from Changes in Fair Value | 0 | 50,881,689.37 | | Credit Impairment Losses | -20,206,486.83 | -15,931,683.78 | | Asset Impairment Losses | -1,064,193.39 | -599,516.73 | | Operating Profit (Loss indicated by "-") | -129,111,229.30 | 25,131,983.97 | | Total Profit (Total Loss indicated by "-") | -131,109,285.20 | 24,831,662.03 | | Net Profit (Net Loss indicated by "-") | -132,418,979.44 | 25,968,812.56 | | Net Profit Attributable to Parent Company Shareholders | -125,119,791.26 | 22,942,405.93 | | Minority Interest Income/Loss | -7,299,188.18 | 3,026,406.63 | | Basic Earnings Per Share (CNY/share) | -0.2069 | 0.0439 |[25][26][27] Consolidated Cash Flow Statement (Year-to-Date) This section presents the company's consolidated cash flow statement, outlining cash inflows and outflows from operating, investing, and financing activities for the year-to-date period Major Consolidated Cash Flow Statement Data (Year-to-Date) | Item | Amount for Current Period (Jan-Sep 2022, CNY) | Amount for Prior Period (Jan-Sep 2021, CNY) | | :--- | :--- | :--- | | Subtotal of Cash Inflows from Operating Activities | 294,687,100.35 | 410,447,890.35 | | Subtotal of Cash Outflows from Operating Activities | 353,974,405.94 | 439,769,194.64 | | Net Cash Flow from Operating Activities | -59,287,305.59 | -29,321,304.29 | | Subtotal of Cash Inflows from Investing Activities | 66,321,176.66 | 247,291,041.53 | | Subtotal of Cash Outflows from Investing Activities | 303,259,016.75 | 68,377,670.04 | | Net Cash Flow from Investing Activities | -236,937,840.09 | 178,913,371.49 | | Subtotal of Cash Inflows from Financing Activities | 202,331,488.84 | 389,721,556.25 | | Subtotal of Cash Outflows from Financing Activities | 283,751,539.02 | 552,570,632.44 | | Net Cash Flow from Financing Activities | -81,420,050.18 | -162,849,076.19 | | Effect of Exchange Rate Changes on Cash and Cash Equivalents | -122,737.02 | 6,178.24 | | Net Increase in Cash and Cash Equivalents | -377,767,932.88 | -13,250,830.75 | | Cash and Cash Equivalents at Period-End | 223,100,381.52 | 57,155,943.86 |[27][28] Audit Report The company's Q3 2022 report is unaudited - The company's third-quarter report is unaudited[28]