Dalian Refrigeration Co., Ltd.
QUARTERLY REPORT FOR FIRST QUARTER,
DALIAN REFRIGERATION CO., LTD.
QUARTERLY REPORT FOR FIRST QUARTER, 2018
§1 Important Notes
1.1 The directors and the Board of Directors, the supervisors and the Supervisory Board, and Senior staff
members of Dalian Refrigeration Co., Ltd. (hereinafter referred to as the Company) hereby confirm that there are
no any important omissions, fictitious statements or serious misleading carried in this report, and shall take all
responsibilities, individual and/or joint, for the reality, accuracy and completeness of the whole contents.
1.2 All the directors have attended this Board meeting of the Company.
1.3 Chairman of the Board of Directors of the Company Mr. Ji Zhijian, Financial Majordomo Mr. Ma Yun, and the
head of Accounting Department Mrs. Mao Chunhua hereby confirm that the financial report of the quarterly
report is true and complete.
1.4 This report is written respectively in Chinese and in English. In the event of any discrepancy between the two
above-mentioned versions, the Chinese version shall prevail.
§2 Company Profile
2.1 Major accounting data and financial indexes
Increase/decrease compared with
January-March, 2017
January-March, 2018 previous year
Before adjustment After adjustment After adjustment
Operating revenue 515,183,744.97 474,819,352.69 504,654,807.75 2.09%
Net profit attributable to shareholders of
25,593,358.53 33,297,454.56 34,979,790.84 -26.83%
listed companies
Net profit belonging to the shareholders of
listed companies after the deduction of 24,307,838.37 32,797,617.05 34,254,953.33 -29.04%
non-recurring profit and loss
Net cash flow from operating activities -117,217,303.00 -137,117,775.57 -157,927,050.15 25.78%
Basic earnings per share 0.03 0.05 0.04 -25.00%
Diluted earnings per share 0.03 0.05 0.04 -25.00%
Weighted average return on net asset yield 0.75% 1.02% 1.05% Decrease 0.30 percentage points
Increase/decrease compared with
December 31, 2017
March 31, 2018 previous year
Before adjustment After adjustment After adjustment
Total assets 5,430,876,897.88 4,994,298,464.88 5,619,621,500.67 -3.36%
Owner's equity attributable to shareholders
3,409,943,829.36 3,275,951,495.82 3,416,531,064.91 -0.19%
of listed companies
Note 1: Net profit attributable to parent company decreased significantly y-o-y, mainly due to the cash dividend
11.15 million from Guotai Junan last period. After deducting the cash dividend effect from Guotai Junan, the net
profit attributable to parent company increased 7.39% y-o-y.
Note 2: Guotai Junan disclosed 2017 Profit Distribution Preplan on March 30, 2018. The dividend of RMB 4.0 in
cash (including tax) will be distributed for every 10 shares. If the above mentioned 2017 Profit Distribution Preplan
approved by 2017 shareholders’ general meeting of Guotai Junan, the Company would share a cash dividend of
10.84 million according to the 27,098,895 shares of Guotai Junan currently held by the Company.
non-recurring gains and losses
√ Applicable □ Inapplicable
Item of non-recurring gains and losses Amount from beginning of year to the end of report period
Disposal gains and losses of non-current asset 15,166.64
Government subsidies included in current profit or loss 500,600.00
The cost of investment that the Company acruring
subsidiary,the associated and the joint venture are less 1,068,246.27
than the book net assets of the invested entity
Other operating revenue or expense -3,853.64
Income tax effect 266,873.53
Minority shareholders’ gains and losses 27,765.58
Total 1,285,520.16
2.2 Total number and particulars of the shareholders by the end of the report period
Total shareholders at the end of report period 51,354
Shareholding of top ten shareholders
Number of
Number of
Total shares with
Name Nature Proportion pledged shares
number sale
or shares frozen
restriction
Domestic
Dalian Bingshan Group Co., Ltd. non-state-owned legal 19.97% 170,916,934
person
SANYO ELECTRIC CO LTD Foreign legal person 8.59% 73,503,150
Domestic
Huatai securities Co. LTD. non-state-owned legal 0.89% 7,630,001
person
Lin Zhenming Foreign natural person 0.73% 6,280,000
JOHCM INTERNATIONAL
Overseas legal person 0.63% 5,432,942
SMALL CAP EQUITY FUND
Wu An Domestic natural person 0.61% 5,187,230
Industrial Securities Gold Kylin 2
Others 0.60% 5,101,286
Aggregate asset management plan
Sun Huiming Domestic natural person 0.51% 4,384,079
Caitong Capital Kunze No. 2
Others 0.48% 4,114,534
Securities Investment Fund
National Social Security Funds 104
Others 0.48% 4,105,157
Portfolio
Particulars about shares held by the top ten negotiable shareholders not subject to conditional sales
Name of shareholder EORP (shares) Type
Dalian Bingshan Group Co., Ltd. 170,916,934 A
SANYO ELECTRIC CO LTD 73,503,150 B
Huatai securities Co. LTD. 7,630,001 A
Lin Zhenming 6,280,000 B
JOHCM INTERNATIONAL
5,432,942 B
SMALL CAP EQUITY FUND
Wu An 5,187,230 B
Industrial Securities Gold Kylin 2 Aggregate asset management plan 5,101,286 A
Sun Huiming 4,384,079 B
Caitong Capital Kunze No. 2 Securities Investment Fund 4,114,534 A
National Social Security Funds 104 Portfolio 4,105,157 A
Dalian Bingshan Group Co., Ltd. had the
association relationship with Sanyo
Notes to the associated relationship and uniform actions of the above Electric Co., Ltd. among the above
shareholders shareholders. Sanyo Electric Co., Ltd.
holds 26.6% of Dalian Bingshan Group
Co., Ltd.'s equity.
§3 Important Matters
3.1 Major changes in main financial items and indexes, and description of the cause
√ Applicable □ Inapplicable
1. Monetary fund decreased significantly compared with the year-beginning, mainly due to fund-raise capital
from privately offering of A-share decreased after payment for fund-raised projects.
2. Interest receivable decreased significantly compared with the year-beginning, mainly due to the accrual of
interest on CDs expired partly.
3. Other current assets decreased significantly compared with the year-beginning, mainly due to the bank
financial product investment of 76 million expired and took back.
4. Payment in advance decreased significantly compared with the year-beginning, mainly due to the advance
payment transferring income.
5. Employee compensation payable decreased significantly compared with the year-beginning, mainly due to
the payment of provision employee compensation of last period-end during the reporting period.
6. Tax payable decreased significantly compared with the year-beginning, mainly due to the decrease of
VAT payable and income tax payable.
7. Taxes and surcharge increased significantly y-o-y, mainly due to the increase of paying VAT attached.
8. Financial expense increased significantly y-o-y, mainly due to the credit loan increase, and increase in
interest income accordingly during the reporting period.
9. Investment income decreased significantly y-o-y, mainly due to the cash dividend 11.15 million from
Guotai Junan last period.
10.Net cash flow from investing activities increased significantly y-o-y, mainly due to the bank financial
product investment of 76 million expired and took back, and the investment in cash 39.20 million to the
Dalian Bingshan Group Management Consulting Co., Ltd. during last period.
11. Net cash flow from financing activities decreased significantly y-o-y, mainly due to the Company
receiving less bank loan during the reporting period.
3.2 Important Progress and the analysis of the influence and solution
□Applicable√Inapplicable
3.3 Commitments of the Company or its shareholders , actual controller and other related parties in the reporting
period or carried to the reporting period
□ Applicable √ Inapplicable
3.4 Precautions on forecasting that by the beginning of year till the end of the next report period, the accumulated
net profit may be turned into loss or change greatly compared with that in the same period of the last year, and
description of the cause
□ Applicable √ Inapplicable
3.5 The securities investment
√Applicable □Inapplicable
Gain/(lo
Short Proporti Financial
Initial cost Number of Number of Proportion ss)
Type of Stock Form on of Final Book Stock
of initial final of final during accounting subject
securities Code of the initial value sources
investment holdings holdings holdings reportin
Stock holdings
g period
Guotai Finance asset held legal persons
Stock 601211 27,098,895.00 27,098,895 0.31% 27,098,895 0.31% 462,307,148.70 0.00
Junan available for sales investment
Total 27,098,895.00 27,098,895 -- 27,098,895 -- 462,307,148.70 0.00 -- --
3.6 Derivative investment
□ Applicable √ Inapplicable
3.7 Table of investigation, communication, interview received
Receiving time Way of receiving Received object type Basic situation index
Jan. 10, 2018 Field investigation Institution http://irm.cninfo.com.cn/ssessgs/S000530
Jan.19, 2018 Field investigation Institution http://irm.cninfo.com.cn/ssessgs/S000530
Jan. 25, 2018 Field investigation Institution http://irm.cninfo.com.cn/ssessgs/S000530
3.8 Violation of external guaranty
□ Applicable √ Inapplicable
3.9 Non-operation capital occupation by holding shareholders and their related parties in the listed company
□ Applicable √ Inapplicable
§4 Financial Report (attached)
Not audited.
Board of Directors of Dalian Refrigeration Co., Ltd.
April 20, 2018
BALANCE SHEET
Prepared by Dalian Refrigeration Co., Ltd. March 31, 2018 Unit: RMB Yuan
31-Mar-2018 31-Dec-2017
Assets
Consolidation Parent Company Consolidation Parent Company
Current assets:
Monetary funds 257,172,342.88 166,665,706.29 394,809,694.11 234,655,092.14
Financial assets which are measured by fair value and
which changes are recorded in current profit and loss
Derivative financial assets
Notes receivable 144,227,877.24 50,566,832.08 172,818,176.20 57,455,446.82
Accounts receivable 1,034,078,842.91 385,438,437.78 1,036,255,895.79 356,557,956.93
Accounts in advance 180,433,896.83 62,078,894.99 140,808,375.21 33,125,666.30
Interest receivables 950,000.00 950,000.00 1,871,783.33 1,871,783.33
Dividend receivable 33,450.00
Other receivables 62,117,615.34 2,894,936.01 52,049,009.83 2,822,798.03
Inventories 394,353,577.03 148,445,182.43 352,279,664.64 149,549,915.80
Assets held for sale
Non-current asset due within one year
Other current assets 29,129,086.07 17,015,411.27 114,907,269.33 102,402,409.84
Total current assets 2,102,463,238.30 834,055,400.85 2,265,833,318.44 938,441,069.19
Non-current assets:
Finance asset held available for sales 476,318,807.29 474,903,664.79 515,783,193.99 514,468,051.49
Held-to-maturity investment
Long-term account receivable
Long-term equity investment 1,583,455,140.69 2,065,724,740.44 1,568,255,738.12 2,044,438,551.88
Investment property 103,467,573.19 114,441,301.36 103,861,275.27 114,812,363.92
Fixed assets 882,325,113.17 650,437,056.88 890,874,647.40 658,637,271.68
Construction in progress 83,555,824.15 80,307,439.72 82,999,382.90 80,314,961.09
Engineering material
Disposal of fixed asset
Productive biological asset
Oil and gas asset
Intangible assets 151,328,375.26 71,050,325.15 143,918,516.87 71,715,598.15
Expense on Research and Development
Goodwill 1,750,799.49 1,750,799.49
Long-term expenses to be apportioned 14,123,859.38 12,364,360.62 14,431,131.01 12,737,555.16
Deferred income tax asset 32,088,166.96 5,375,507.65 31,913,497.18 5,815,160.93
Other non-current asset
Total non-current asset 3,328,413,659.58 3,474,604,396.61 3,353,788,182.23 3,502,939,514.30
Total assets 5,430,876,897.88 4,308,659,797.46 5,619,621,500.67 4,441,380,583.49
Legal Representative: Ji Zhijian Chief Financial Official: Ma Yun Person in Charge of Accounting Organization: Mao Chunhua
BALANCE SHEET (CONTINUED)
Prepared by Dalian Refrigeration Co., Ltd. March 31, 2018 Unit: RMB Yuan
31-Mar-2018 31-Dec-2017
Liabilities and shareholders’ equity
Consolidation Parent Company Consolidation Parent Company
Current liabilities:
Short-term loans 340,000,000.00 260,000,000.00 349,801,300.00 260,000,000.00
Derivative financial liabilities
Notes payable 238,017,851.35 117,676,094.60 260,443,167.67 119,034,784.44
Accounts payable 852,903,152.80 337,843,695.85 889,964,317.63 385,076,569.09
Accounts received in advance 82,488,841.84 10,012,680.37 147,172,195.05 61,450,463.91
Wage payable 17,626,155.71 1,414,295.52 46,751,562.36 11,445,665.15
Taxes payable 13,819,148.03 1,200,505.01 29,992,558.62 1,274,710.89
Interest payable 379,085.53 379,085.53
Dividend payable 863,516.60 533,156.00 863,516.60 533,156.00
Other accounts payable 62,967,964.22 28,163,158.62 67,674,829.07 30,346,173.96
Liabilities held for sale
Non-current liabilities due within one year
Other current liabilities
Total current liabilities 1,608,686,630.55 756,843,585.97 1,793,042,532.53 869,540,608.97
Non-current liabilities:
Long-term loans 160,000,000.00 160,000,000.00 160,000,000.00 160,000,000.00
Bonds payable
Long-term account payable
Long-term wage payable
Deferred income 99,108,953.55 55,941,452.55 100,336,504.07 56,890,504.07
Deferred income tax liabilities 65,494,908.31 65,494,908.31 71,429,566.31 71,429,566.31
Other non-current liabilities
Total non-current liabilities 324,603,861.86 281,436,360.86 331,766,070.38 288,320,070.38
Total liabilities 1,933,290,492.41 1,038,279,946.83 2,124,808,602.91 1,157,860,679.35
Shareholders’ equity
Share capital 855,908,981.00 855,908,981.00 856,487,181.00 856,487,181.00
Other equity instruments
Capital public reserve 757,280,151.56 801,782,246.39 757,532,081.34 802,034,176.17
Less:Treasury stock 21,026,106.00 21,026,106.00 23,305,370.40 23,305,370.40
Other comprehensive income 373,639,273.41 372,677,172.74 407,269,002.11 406,306,901.44
Special preparation
Surplus public reserve 668,150,375.30 668,150,375.30 668,150,375.30 668,150,375.30
Retained profit 775,991,154.09 592,887,181.20 750,397,795.56 573,846,640.63
Translation of foreign currency capital
Total owner’s equity attributable to parent company 3,409,943,829.36 3,270,379,850.63 3,416,531,064.91 3,283,519,904.14
Minority interests 87,642,576.11 78,281,832.85
Total owner’s equity 3,497,586,405.47 3,270,379,850.63 3,494,812,897.76 3,283,519,904.14
Total liabilities and shareholder’s equity 5,430,876,897.88 4,308,659,797.46 5,619,621,500.67 4,441,380,583.49
Legal Representative: Ji Zhijian Chief Financial Official: Ma Yun Person in Charge of Accounting Organization: Mao Chunhua
INCOME STATEMENT
Prepared by Dalian Refrigeration Co., Ltd. January-March, 2018 Unit: RMB Yuan
January-March, 2018 January-March, 2017
Items
Consolidation Parent Company Consolidation Parent Company
I. Total sales 515,183,744.97 180,020,669.02 504,654,807.75 191,248,157.66
Including: Operating income 515,183,744.97 180,020,669.02 504,654,807.75 191,248,157.66
II. Total operating cost 509,898,926.11 182,066,309.20 499,031,473.17 190,640,540.70
Including: Operating cost 423,905,884.12 159,122,415.64 423,056,262.70 166,603,901.44
Taxes and associate charges 4,569,447.66 2,298,420.18 3,075,268.64 1,649,780.92
Selling and distribution expenses 23,648,268.09 226,199.11 20,316,993.53 652,777.41
Administrative expenses 53,442,807.95 23,204,575.05 53,404,451.03 23,933,429.36
Financial expense 5,199,059.85 1,594,855.68 879,115.61 124,728.04
Impairment loss -866,541.56 -4,380,156.46 -1,700,618.34 -2,324,076.47
Add: Gain/(loss) from change in fair value
Gain/(loss) from investment 21,067,648.84 21,586,188.56 31,503,380.46 48,868,481.05
Including: income from investment on affiliated
20,767,648.84 21,286,188.56 20,086,145.33 20,086,145.33
enterprise and jointly enterprise
Gain/(loss) from asset disposal 15,166.64 19,145.40 72,310.71 72,310.71
Other income 328,499.15
III. Operating profit 26,696,133.49 19,559,693.78 37,199,025.75 49,548,408.72
Add: non-business income 1,685,340.09 500.07 1,265,489.18 138,418.00
Less: non-business expense 120,347.46 80,000.00 19,842.24
IV. Total profit 28,261,126.12 19,480,193.85 38,444,672.69 49,686,826.72
Less: Income tax 2,589,476.69 439,653.28 3,010,696.66 348,611.47
V. Net profit 25,671,649.43 19,040,540.57 35,433,976.03 49,338,215.25
(I) Classification by continuous operation
1. Net profit from continuous operation 25,671,649.43 19,040,540.57 35,433,976.03 49,338,215.25
2. Net profit from discontinuing operation
(II)Classification by ownership
1.Net profit attributable to parent company 25,593,358.53 19,040,540.57 34,979,790.84 49,338,215.25
2.Minority shareholders’ gains and losses 78,290.90 454,185.19
VI. After-tax net amount of other comprehensive
-33,629,728.70 -33,629,728.70 -8,528,746.74 -8,265,080.66
incomes
After-tax net amount of other comprehensive
-33,629,728.70 -33,629,728.70 -8,528,746.74 -8,265,080.66
incomes attributable to owners of the Company
(I) Other comprehensive incomes that will not be
reclassified into gains and losses
1. Changes in net liabilities or assets with a
defined benefit plan upon re-measurement
2. Enjoyable shares in other comprehensive
incomes in investees that cannot be reclassified
into gains and losses under the equity method
(II) Other comprehensive incomes that will be
-33,629,728.70 -33,629,728.70 -8,528,746.74 -8,265,080.66
reclassified into gains and losses
1. Enjoyable shares in other comprehensive
incomes in investees that will be reclassified into -263,666.08
gains and losses under the equity method
2. Gains and losses on fair value changes of
-33,629,728.70 -33,629,728.70 -8,265,080.66 -8,265,080.66
available-for-sale financial assets
3. Gains and losses on reclassifying
held-to-maturity investments into
available-for-sale financial assets
4. Effective hedging gains and losses on cash
flows
5. Foreign-currency financial statement
translation difference
6. Other
After-tax net amount of other comprehensive
incomes attributable to minority shareholders
VII Total comprehensive income -7,958,079.27 -14,589,188.13 26,905,229.29 41,073,134.59
Total comprehensive income attributable to
-8,036,370.17 -14,589,188.13 26,451,044.10 41,073,134.59
parent company
Total comprehensive income attributable to
78,290.90 454,185.19
minority shareholders
VIII. Earnings per share
(I) basic earnings per share 0.03 0.04
(II) diluted earnings per share 0.03 0.04
Legal Representative: Ji Zhijian Chief Financial Official: Ma Yun Person in Charge of Accounting Organization: Mao Chunhua
CASH FLOW STATEMENT
Prepared by Dalian Refrigeration Co., Ltd. January -March, 2018 Unit: RMB Yuan
January -March, 2018 January -March, 2017
Items
Consolidation Parent Company Consolidation Parent Company
I. Cash flows arising from operating
activities:
Cash received from selling commodities and
234,680,891.94 87,595,028.58 301,122,870.03 76,710,267.43
providing labor services
Write-back of tax received 3,340,686.50 5,056,014.38
Other cash received concerning operating
14,176,990.93 3,619,053.46 8,339,100.88 1,574,756.48
activities
Subtotal of cash inflow arising from
252,198,569.37 91,214,082.04 314,517,985.29 78,285,023.91
operating activities
Cash paid for purchasing commodities and
186,514,869.99 111,441,564.06 313,953,489.13 115,453,705.91
receiving labor service
Cash paid to/for staff and workers 112,992,030.52 41,872,999.01 106,761,004.77 40,953,327.52
Taxes paid 32,738,439.61 2,527,993.35 19,238,059.23 2,164,084.70
Other cash paid concerning operating
37,170,532.25 3,716,271.65 32,492,482.31 2,660,805.51
activities
Subtotal of cash outflow arising from
369,415,872.37 159,558,828.07 472,445,035.44 161,231,923.64
operating activities
Net cash flows arising from operating
-117,217,303.00 -68,344,746.03 -157,927,050.15 -82,946,899.73
activities
II. Cash flows arising from investing
activities:
Cash received from recovering investment
Cash received from investment income 333,450.00 300,000.00 11,192,594.05 21,153,569.05
Net cash received from disposal of fixed,
1,892,374.11 120,520.00
intangible and other long-term assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning investing
76,000,000.00 76,000,000.00
activities
Subtotal of cash inflow from investing
78,225,824.11 76,300,000.00 11,313,114.05 21,153,569.05
activities
Cash paid for purchasing fixed, intangible
77,208,918.11 70,448,645.50 27,831,200.35 21,105,516.46
and other long-term assets
Cash paid for investment 4,327,733.43 39,200,000.00 39,200,000.00
Net cash paid for achievement of subsidiaries
and other business units
Other cash paid concerning investing
activities
Subtotal of cash outflow from investing
81,536,651.54 70,448,645.50 67,031,200.35 60,305,516.46
activities
Net cash flows arising from investing
-3,310,827.43 5,851,354.50 -55,718,086.30 -39,151,947.41
activities
III. Cash flows arising from financing
activities
Cash received from absorbing investment
Including: Cash received from absorbing
minority shareholders' equity investment by
subsidiaries
Cash received from loans 9,040,000.00 35,819,700.00 3,000,000.00
Other cash received concerning financing
30,116,287.80 21,576,815.56
activities
Subtotal of cash inflow from financing
39,156,287.80 57,396,515.56 3,000,000.00
activities
Cash paid for settling debts 17,810,100.00 24,000,000.00
Cash paid for dividend and profit distributing
4,431,888.96 3,216,043.81 1,123,770.83 480,000.00
or interest paying
Including: dividends or profit paid by
subsidiaries to minority shareholders
Other cash paid concerning financing
10,774,088.89 2,279,264.40 11,632,035.91
activities
Subtotal of cash outflow from financing
33,016,077.85 5,495,308.21 36,755,806.74 480,000.00
activities
Net cash flows arising from financing
6,140,209.95 -5,495,308.21 20,640,708.82 2,520,000.00
activities
IV. Influence on cash due to fluctuation in
-1,411,497.70 -686.11 -315,714.24 -320.32
exchange rate
V. Net increase of cash and cash equivalents -115,799,418.18 -67,989,385.85 -193,320,141.87 -119,579,167.46
Add: Balance of cash and cash equivalents at
364,693,406.31 234,655,092.14 691,238,822.98 495,217,106.54
the period -begin
VI. Balance of cash and cash equivalents at
248,893,988.13 166,665,706.29 497,918,681.11 375,637,939.08
the period–end
Legal Representative: Ji Zhijian Chief Financial Official: Ma Yun Person in Charge of Accounting Organization: Mao Chunhua
