Stock Code: 000019, 200019 Public Notice No.: 2018- 70
Short Form of the Stock: Shenshenbao-A, Shenshenbao-B
Shenzhen Shenbao Industrial Co., Ltd.
Summary of Semi-Annual Report 2018
I. Important NoticeThe summary is abstract from full-text of annual report, for more details of operating results,
financial condition and future development plan of the Company; investors should found in thefull-text of annual report that published on media appointed by CSRC.Prompt of non-standard audit opinion
□ Applicable √ Not applicable
Profit distribution pre-plan of common stock or capitalizing of common reserves pre-plandeliberated by the Board in the reporting period
□ Applicable √ Not applicable
The Company has no plans of cash dividend distributed, no bonus shares and has no shareconverted from capital reserve.Profit distribution pre-plan of preferred stock deliberated and approved by the Board in thereporting period
□ Applicable √ Not applicable
II. Basic information of the company1. Company profile
| Short form of the stock | SHENSHENBAO-A, SHENSHENBAO-B | Stock code | 000019, 200019 | |
| Stock exchange for listing | Shenzhen Stock Exchange | |||
| Person/Way to contact | Secretary of the Board | Rep. of security affairs | ||
| Name | Li Yiyan | Huang Bingxia | ||
| Office add. | 8/F, Tower-B, Building 4, Technology | 8/F, Tower-B, Building 4, Technology | ||
| Park Nanshan Software Base, Nanshan District, Shenzhen | Park Nanshan Software Base, Nanshan District, Shenzhen | |
| Tel. | 0755-82027522 | 0755-82027522 |
| lyy@sbsy.com.cn | huangbx@sbsy.com.cn |
2. Main financial data and indexWhether it has retroactive adjustment or re-statement on previous accounting data or not
□Yes √ No
| Current period | Same period of last year | Changes over last year | |
| Operating revenue (RMB) | 136,721,215.40 | 138,158,382.95 | -1.04% |
| Net profit attributable to shareholders of the listed Company (RMB) | -18,246,639.07 | -17,759,776.83 | -2.74% |
| Net profit attributable to shareholders of the listed Company after deducting non-recurring gains and losses (RMB) | -18,884,920.69 | -19,357,560.01 | 2.44% |
| Net cash flow arising from operating activities (RMB) | 9,795,470.07 | -50,432,648.15 | 119.42% |
| Basic earnings per share (RMB/Share) | -0.0367 | -0.0357 | -2.80% |
| Diluted earnings per share (RMB/Share) | -0.0367 | -0.0357 | -2.80% |
| Weighted average ROE | -1.95% | -1.74% | -0.21% |
| End of current period | End of last year | Changes over end of last year | |
| Total assets (RMB) | 1,040,484,135.20 | 1,070,386,220.55 | -2.79% |
| Net assets attributable to shareholder of listed Company(RMB) | 928,673,938.26 | 946,920,577.33 | -1.93% |
3. Amount of shareholders and particulars about shares holding
In Share
| Total common stock | 71,459 | Total preference | 0 |
| shareholders in reporting period-end | shareholders with voting rights recovered at end of reporting period (if applicable) | ||||||||
| Particulars about shares held top 10 shareholders | |||||||||
| Full name of Shareholders | Nature of shareholder | Proportion of shares held | Total shares hold | Amount of restricted shares held | Number of share pledged/frozen | ||||
| State of share | Amount | ||||||||
| Shenzhen Agricultural Products Co., Ltd | Other | 19.09% | 94,832,294 | 15,384,832 | |||||
| Shenzhen Fude State-Owned Capital Operation Co., Ltd. | Other | 16.00% | 79,484,302 | 13,431,784 | |||||
| Sun Huiming | Domestic nature person | 0.69% | 3,403,262 | 0 | |||||
| Hu Xiangzhu | Domestic nature person | 0.45% | 2,238,400 | 0 | |||||
| Zhou Jun | Domestic nature person | 0.33% | 1,636,790 | 0 | |||||
| Central Huijin Asset Management Co., Ltd. | State-owned legal person | 0.30% | 1,472,625 | 0 | |||||
| Li Qian | Domestic nature person | 0.26% | 1,278,311 | 0 | |||||
| Ye Xiuxia | Domestic nature person | 0.20% | 1,000,230 | 0 | |||||
| Chen Xianping | Domestic nature person | 0.20% | 990,000 | 0 | |||||
| Gu Fengyuan | Domestic nature person | 0.19% | 950,300 | 0 | |||||
| Explanation on associated relationship among the aforesaid shareholders | Shenzhen SASAC directly holds 100% equity of Fude Capital, and holds 34% of Agricultural Products indirectly through Fude Capital; the Company was not aware of any related relationship between other shareholders above, and whether they belonged to parties acting in concert as defined by the Acquisition Management Method of Listed Company. | ||||||||
| Explanation on shareholders involving margin business (if applicable) | N/A | ||||||||
4. Change of controlling shareholder or actual controllerChanges of controlling shareholders in reporting period
√ Applicable □ Not applicable
| New controlling shareholder | Shenzhen Fude State-Owned Capital Operation Co., Ltd. |
| Date of change | 2018-04-03 |
| Query index in appointed website | ”Notice of State-owned Shares Transfer for Free”(Notice No.:2018-27) released on Juchao Website |
| Disclosure date in appointed website | 2018-04-04 |
Changes of actual controller in reporting period
□ Applicable √ Not applicable
The Company had no changes of actual controller in reporting period5. Total preferred stock shareholders of the Company and shares held by top ten shareholders
with preferred stock held
□ Applicable √ Not applicable
No preferred stock in reporting period.6. Corporate BondsWhether the Company has a corporation bonds that issuance publicly and listed on stock exchange
and without due on the date when semi-annual report approved for released or fail to cash in full ondue
□ Yes √ No
III. Discussion and analysis of the operation1. Brief of the operation in PeriodDose the Company need to comply with disclosure requirements of the special industry
□Yes √ No
In first half of 2018, the Company continued to promote scientific and technological innovation byfocusing on the existing industrial layout and market development trends, fully implementedvarious operational measures to consolidate the industrial foundation and enhance the industrialvalue, vigorously expand the main business, and enhance the profitability and core competitiveness
of the enterprise. At the same time, in line with the overall strategic deployment of state-ownedgrain and agricultural enterprises in Shenzhen, it was planned to acquire 100% equity of ShenzhenCereals Group Co., Ltd. by issuing shares to purchase assets. During this period, the Companyadhered to grasping two objects at the same time, in the case of steadily implementing variousintrinsic management measures, ensured the stable development of various business segments,actively promoted the progress of major assets restructuring projects, adjusted and optimized theindustrial layout, and achieved resource integration by superior resource complementary of all
parties, which ultimately promoted the Company’s sustainable operation ability and profitability
and improved the quality and efficiency of enterprise development.During the reporting period, the Company continuously promoted the project research anddevelopment and technical support, promoted the industrial development by product breakthroughsand technological innovations, steadily improved the advantages of traditional business segments,and strived to improve quality and reduce losses and increase revenue. In the first half of the year,the Technology Center completed a number of government application projects, including
“Shenzhen High-tech Enterprise Cultivation and Storage” and “Shenzhen R&D Expenses Funding”,
and reached cooperation with many brand customers, which provided integrative solutions withmultiple dimensions and aspects for related enterprises from concept to product realization; thedeep processing business module somewhat increased the product gross margin through a series ofstrict cost control measures such as optimizing supply chain, reducing consumption and increasingefficiency; Huizhou Shenbao Technology continued to improve the production process and formulaof the beverage and condiments business, and completed various production tasks by guaranteeingboth quality and quantity; the overall sales of specialty tea business of Hangzhou Ju Fang Yong did
not meet the expectations, but the fast drink business of its subordinate “iTealife” has gradually
opened up the franchise market through the third party cooperation, and the performance has beenimproved to some extent; under the premise of the existing business model, Shenbao tea culturecontinued to promote the internal rectification, sorted out the product system, and achievedexpectations in new product development, cost control, and operation procedure improvement, andreduced losses.During the reporting period, the Company actively promoted the major assets restructuring projectsand fulfilled the relevant internal decision-making procedures and information disclosureobligations.In the first half of 2018, the Company achieved a total operating income of 136,721,215.40 Yuan, adecline of 1.04% over the same period of last year; operating profit of -18,090,617.03 Yuan, adecrease of 15.97% over the same period of last year; net profit attributable to shareholders of listed
companies was -18,246,639.07 Yuan, a decline of 2.74% compared with the same period of last year.
The main reason for the change was that the Company’s profit from tea deep processing business
increased compared with the same period of the previous year by optimizing the product structure.At the same time, the Company added new assets restructuring related expenses in the current
period, which caused the Company’s overall losses were basically the same as that of the same
period of last year.2. Relevant items involving financial report(1) Particulars about the changes in aspect of accounting policy, estimates and calculation
method compared with the financial report of last fiscal period
□Applicable √Not applicable
There are no particulars of changes in aspect of accounting policy, estimates and calculation methodin the period
(2) Major accounting errors within reporting period that needs retrospective restatement
□ Applicable √ Not applicable
No major accounting errors within reporting period that needs retrospective restatement for theCompany
(3) Particulars about the change of consolidation range compared with the financial report oflast fiscal period
□ Applicable √ Not applicable
The Company had no change of consolidation range in reporting period.
Shenzhen Shenbao Industrial Co., Ltd.
Chairman: Zheng Yuxi
28 August 2018