Share’s name: Jiangling Motors Share’s code: 000550 No.: 2018-019
Jiangling B
Jiangling Motors Corporation, Ltd.
2018 First Quarter Report
§1 Important Note
1.1 The Board of Directors and its members, the Supervisory Board and its
members, and the senior executives undertake that the information disclosed
in the Quarterly Report is truthful, accurate and complete and does not contain
any false statement, misrepresentation or major omission, and are jointly and
severally liable for the legal liability.
1.2 All the Directors were present at the Board meeting in person.
1.3 Chairman Qiu Tiangao, CFO Gong Yuanyuan and Chief of Finance
Department, Xie Wanzhao, confirm that the financial statements in this
Quarterly Report are truthful, accurate and complete.
1.4 All financial data in this Quarterly Report are prepared under International
Financial Reporting Standards (“IFRS”) unless otherwise specified.
§2 Brief Introduction
2.1 Main accounting data and financial indicators
Unit: RMB’000
2018
Change (%)
First Quarter First Quarter
Revenue 6,481,073 8,155,676 -20.53
Profit Attributable to the
Equity Holders of the 153,606 228,608 -32.81
Company
Net Cash Generated
-1,397,337 -879,487 -58.88
From Operating Activities
Basic Earnings Per Share
0.18 0.26 -32.81
(RMB)
Diluted Earnings Per
0.18 0.26 -32.81
Share (RMB)
Weighted Average Return Down 0.62
1.21% 1.83%
on Net Asset Ratio (%) percentage point
March 31, December 31,
Change (%)
2018
Total Assets 22,731,954 26,383,761 -13.84
Shareholders’ Equity
Attributable to the Equity 10,725,941 12,572,402 -14.69
Holders of the Company
2.2 Total number of shareholders and top ten shareholders at the end of
reporting period
2.2.1 Total number of shareholders and top ten shareholders
Total shareholders as JMC had 36,414 shareholders, including 30,833 A-share holders, and 5,581
of the end of the B-share holders, as of March 31, 2018.
reporting period
Top ten shareholders
Shares due
Shareholding Shares at the Shares with
Shareholder to
Shareholder Name Percentage End of 2018 Trading
Type mortgage
(%) First Quarter Restriction
or frozen
Jiangling Motor State-owned
41.03 354,176,000 0
Holding Co., Ltd. legal person
Ford Motor Company Foreign legal
32 276,228,394 0
person
China Securities
Other 2.63 22,743,584 0
Corporation Limited
Shanghai Automotive State-owned
1.51 13,019,610 0
Co., Ltd. legal person
Central Huijin State-owned
0.83 7,186,600 0
Investment Ltd. legal person
JPMBLSA RE FTIF
Foreign legal
TEMPLETON CHINA 0.68 5,848,450 0
person
FUND GTI 5497
Foreign legal
GAOLING FUND, L.P. 0.63 5,439,086 0
person
INVESCO FUNDS Foreign legal
0.58 5,035,746 0
SICAV person
TEMPLETON
Foreign legal
DRAGON FUND, 0.56 4,836,708 0
person
INC.
TEMPLETON GBL
INVSTMT
Foreign legal
TRST-TMPLTN 0.46 3,948,718 0
person
EMGNG MKTS
SMALL CAP FD
Top ten shareholders holding unlimited tradable shares
Shareholder Name Shares without Trading Share Type
Restriction
Jiangling Motor Holding Co., Ltd. 354,176,000 A share
Ford Motor Company 276,228,394 B share
China Securities Corporation Limited 22,743,584 A share
Shanghai Automotive Co., Ltd. 13,019,610 A share
Central Huijin Investment Ltd. 7,186,600 A share
JPMBLSA RE FTIF TEMPLETON CHINA
5,848,450 B share
FUND GTI 5497
GAOLING FUND,L.P. 5,439,086 B share
INVESCO FUNDS SICAV 5,035,746 B share
TEMPLETON DRAGON FUND,INC. 4,836,708 A share
TEMPLETON GBL INVSTMT
TRST-TMPLTN EMGNG MKTS SMALL 3,948,718 B share
CAP FD
Notes on association among
None
above-mentioned shareholders
Notes on the participation of the top ten
common shareholders in margin trading (if None
any)
Stock buy-back of top ten shareholders or top ten shareholders holding
unlimited tradable shares in the reporting period
□Yes □√No
There was no Stock buy-back of top ten shareholders or top ten shareholders
holding unlimited tradable shares in the reporting period.
2.2.2 Total number of shareholders holding preferred shares and top ten
shareholders holding preferred shares at the end of reporting period
□Applicable □√Not Applicable
§3 Major Events
3.1 Causes and explanations of major changes of financial indicators
compared with those of previous reporting period
□√Applicable □Not Applicable
In the first quarter of 2018, JMC sold 66,441 vehicles in total, including 22,387
JMC-brand light trucks, 9,342 JMC-brand light buses, 18,035 JMC-brand
pickups, 5,122 SUVs, 10,019 Ford-brand commercial vehicles, 116 heavy
trucks and 1,420 CKDs. Total sales volume decreased by 16% compared with
the same period last year. Due to the sales volume decrease of passenger
vehicle which is in the interim period and sales structure change, revenue and
net profit during the reporting period were RMB 6,481 million and RMB 154
million, decreased 21% and 33% respectively compared with the same period
last year. In the first quarter, the Company continues to consolidate its
leadership position in light commercial vehicle market, and both JMC and Ford
brand light bus and Yuhu Pickup hit the record high in March for single month
volume.
In the first quarter of 2018, compared with the same period last year, taxes and
surcharges decreased by RMB 109 million, down 37%, mainly reflecting the
decrease of consumption tax which is caused by passenger vehicle sales
volume reduction.
In the first quarter of 2018, compared with the same period last year, other
income increase RMB 57 million, up 122%, primarily reflecting assets disposal
revenue and the increase of government subsidies. The assets disposal is the
land use right and the aboveground buildings of Transit Plant which has been
moved to Xiaolan Site based on the urban planning and the company's
development strategy.
In the first quarter of 2018, compared with the same period last year,
distribution expenses decreased RMB 517 million, down 73%, mainly
reflecting the effect of implementing IFRS 15 -- Revenue from Contracts with
Customers since January 1, 2018, and this affects the presentation between
income statement accounts and does not actually affect the net profit.
In the first quarter of 2018, compared with the same period last year, operating
profit decreased by RMB 84 million, down 43%, profit before income tax
decreased by RMB 88 million, down 34%, primarily reflecting the change of
sales structure and the volume decrease of passenger vehicle in the interim
period.
In the first quarter of 2018, compared with the same period last year, net cash
generated from operating activities decreased by RMB 518 million, down 59%,
mainly due to cash received from selling goods decreased.
In the first quarter of 2018, compared with the same period last year, cash
outflows from financing activities increased by RMB 1,584 million, up 26882%,
mainly due to payment of 2017 interim special dividend.
3.2 Analysis of major events, their impacts and resolutions
□Applicable □√Not Applicable
3.3 Overdue commitment of the Company, the shareholder, the actual
controlling party, the acquirer, the Director, the Supervisor, the senior executive
or other related party of the Company
□Applicable □√Not Applicable
There was no overdue commitment of the Company, the shareholder, the
actual controlling party, the acquirer, the Director, the Supervisor, the senior
executive or other related party of the Company in the reporting period.
3.4 Forecast on 2018 first half-year operating performance
Warning and explanations as to the situation that accumulated net profit during
the period from year beginning to the end of next reporting period may be
negative or, compared with the same period last year, may have a substantial
change
□Applicable □√Not Applicable
3.5 Securities investment
□√Applicable □Not Applicable
Type of Securities Monetary Fund Other Total
Code of Securities 370011 securities
Name of Securities CIFM investment
monetary fund held at the end
B of the term
Initial investment amount (RMB 50,000 0 50,000
thousand)
Stock number at the starting of the 0 0 0
period (share)
Shareholding ratio at the starting of 0.00% - -
the period
Stock number at the end of the 0 0 0
period (share)
Shareholding ratio at the end of the 0.00% - -
period
Book value at the end of the period 0 0 0
(RMB thousand)
Profit & loss during the reporting 1,562 0 1,562
period (RMB thousand)
Accounting subjects Transactional - -
financial
assets
Source of stock China - -
Construction
Bank agency
marketing
Disclosure date of Board of Directors -
approving the securities investment
Disclosure date of shareholders’ meeting -
approving the securities investment (if any)
3.6 Derivative investment
□Applicable □√Not Applicable
There was no derivative investment in the reporting period.
3.7 External research and media interview to the Company in the reporting
period
□Applicable □√Not Applicable
3.8 Outside guarantee in breach of laws & regulations
□Applicable □√Not Applicable
There was no outside guarantee in breach of laws & regulations in the
reporting period.
3.9 Non-operating funding in the Company occupied by controlling
shareholder and its affiliates
□Applicable □√Not Applicable
There was no non-operating funding in the Company occupied by controlling
shareholder and its affiliates in the reporting period.
Jiangling Motors Corporation, Ltd.
Consolidated Balance Sheet
March 31, 2018
(All amounts in RMB thousands unless otherwise stated)
31 March 2018* 31 December 2017
ASSETS
Non-current assets
Property, plant and equipment 6,586,017 6,714,088
Lease prepayment 612,941 616,834
Intangible assets 193,650 197,860
Investments accounted for using the equity method 38,557 37,874
Other non-current assets -
Deferred income tax assets 671,857 690,253
Total non-current assets 8,103,022 8,257,387
Current assets
Inventories 2,345,643 2,339,304
Trade, other receivables and prepayments 4,317,289 4,555,934
Cash and cash equivalents 7,966,000 11,137,723
Assets classified as held for sale - 93,413
Total current assets 14,628,932 18,126,374
Total assets 22,731,954 26,383,761
EQUITY
Equity attributable to shareholders
of the Company
Share capital 863,214 863,214
Share premium 816,609 816,609
Other reserves 450,914 450,914
Retained earnings 8,595,204 10,441,665
Total equity 10,725,941 12,572,402
LIABILITIES
Non-current liabilities
Borrowings 3,706 3,851
Deferred income tax liabilities 26,568 26,736
Retirement benefit obligations 53,169 54,764
Provisions for warranty and other liabilities 174,589 184,688
Other non-current liabilities 220
Total non-current liabilities 258,252 270,279
Current liabilities
Financial liabilities at fair value through profit or loss 16,162 8,493
Trade and other payables 11,553,666 13,222,540
Current income tax liabilities - 114,906
Borrowings 412
Retirement benefits obligations 4,420 4,420
Provisions for warranty and other liabilities 173,101 190,293
Total current liabilities 11,747,761 13,541,080
Total liabilities 12,006,013 13,811,359
Total equity and liabilities 22,731,954 26,383,761
*: Unaudited financial indexes
Jiangling Motors Corporation, Ltd.
Consolidated Income Statement
2018 First quarter
(All amounts in RMB thousands unless otherwise stated)
2018 first quarter* 2017 first quarter*
Revenue 6,481,073 8,155,676
Taxes and surcharges (183,607) (292,971)
Cost of sales (5,603,281) (6,465,003)
Gross profit 694,185 1,397,702
Distribution expenses (187,621) (704,191)
Administrative expenses (496,998) (542,735)
Other income 103,349 46,501
Operating profit 112,915 197,277
Finance income 60,534 62,173
Finance expenses (2,178) (979)
Finance income -net 58,356 61,194
Share of profit of investments accounted for using the
equity method 683 1,695
Profit before income tax 171,954 260,166
Income tax expense (18,348) (31,558)
Profit for the period 153,606 228,608
Profit attribute to:
Owners of the Company 153,606 228,608
Total comprehensive income for the period 153,606 228,608
Total comprehensive income attributable to:
Owners of the Company 153,606 228,608
Earnings per share for profit attributable to the
shareholders of the Company for the period
(expressed in RMB per share)
- Basic and diluted 0.18 0.26
*: Unaudited financial indexes
Jiangling Motors Corporation, Ltd.
Consolidated cash flow statement
2018 First Quarter
(All amounts in RMB thousands unless otherwise stated)
2018 first quarter* 2017 first quarter*
Cash flows from operating activities
Cash generated from operations (1,282,311) (780,507)
Interest paid (120) (120)
Income Tax paid (114,906) (98,860)
Net cash generated from operating activities (1,397,337) (879,487)
Cash flows from investing activities
Purchase of financial assets at fair value through profit
or loss (1,170,000) -
Purchase of property, plant and equipment (“PPE”) (224,007) (205,503)
Other cash paid relating to investment activities (5,829) (2,479)
Proceeds from disposal of PPE 65
Proceeds from repayment of financial assets at fair
value through profit or loss 1,170,000 -
Investment income received 1,562 -
Interest received 43,119 36,735
Other cash received from investing activities 733 2,729
Net cash used in investing activities (184,357) (168,516)
Cash flows from financing activities
Repayments of borrowings - (5,000)
Dividends paid to shareholders of the Company (1,588,924) (893)
Other cash paid relating to financing activities (1,105) -
Net cash used in financing activities (1,590,029) (5,893)
Net decrease in cash and cash equivalents (3,171,723) (1,053,896)
Cash and cash equivalents at beginning of year 11,137,723 11,666,222
Effects of exchange rate changes - -
Cash and cash equivalents at end of period 7,966,000 10,612,326
*: Unaudited financial indexes
Board of Directors
Jiangling Motors Corporation, Ltd.
April 26, 2018
