| Share’s code： | 000550 200550 | Share’s Name： | Jiangling Motors Jiangling B | No.： | 2019-044 |
Jiangling Motors Corporation, Ltd.Extracts From 2019 Half-year Report
1. Important note
These extracts are extracted from the original of JMC half-year report. To fullyunderstand the Company’s operating results, financial status and futuredevelopment plan, investors should carefully read the original for details in thewebsite designated by CSRC for publication of JMC’s Half-year Report.
Abnormal opinions from directors, supervisors and senior managers
□Applicable √Not Applicable
Director David Johnston did not attend this meeting, and he authorized ViceChairman Anning Chen to represent him at this meeting, and all the otherDirectors were present at the Board meeting in person.
Abnormal opinions from accounting firm for the reporting period
□Applicable √Not Applicable
Proposal on profit distribution and converting capital reserve to share capital
□Applicable √Not Applicable
JMC will not pay dividend in cash or stock, or convert capital reserve to sharecapital.
Proposal on profit distribution of preferred shares
□Applicable √Not Applicable
2. Brief introductions
2.1 Company’s information
| Share’s name | Jiangling Motor, Jiangling B | Share’s code | 000550, 200550 |
| Place of listing | Shenzhen Stock Exchange | ||
| Contact persons and contact details | Board Secretary | Securities Affair Representative | |
| Name | Wan Hong | Quan Shi | |
| Contact address | No. 509, Northern Yingbin Avenue, Nanchang City, Jiangxi Province, P.R.C | ||
| Telephone | 86-791-85266178 | ||
| Fax | 86-791-85232839 | ||
| relations@jmc.com.cn | |||
2.2 Main accounting data and financial ratios
Whether the previous accounting data should be retroactive adjusted?
□Yes √No
Unit: RMB ‘000
| Reporting period (2019 first half) | Same period last year | Change (%) | |
| Revenue | 13,721,954 | 14,287,497 | -3.96 |
| Profit Attributable to the Equity Holders of the Company | 58,862 | 318,951 | -81.55 |
| Net Cash Generated From Operating Activities | 1,435,202 | -906,818 | 258.27 |
| Basic Earnings Per Share (RMB) | 0.07 | 0.37 | -81.55 |
| Diluted Earnings Per Share (RMB) | 0.07 | 0.37 | -81.55 |
| Weighted Average Return on Equity Ratio | 0.57% | 2.72% | Down 2.15 percentage points |
| At the end of reporting period | At the end of the previous year | Change (%) | |
| Total Assets | 23,668,970 | 23,396,529 | 1.16 |
| Shareholders’ Equity Attributable to the Equity Holders of the Company | 10,408,831 | 10,384,498 | 0.23 |
2.3 Shareholders and shareholding status
| Total shareholders (as of June 30, 2018) | JMC had 20,943 shareholders, including 15,772 A-share holders, and 5,171 B-share holders. | |||||
| Top ten shareholders | ||||||
| Shareholder Name | Shareholder Type | Shareholding Percentage (%) | Shares at the End of Year | Change (+,-) | Shares with Trading Restriction | Shares due to mortgage or frozen |
| Jiangling Motor Holdings Co., Ltd. | State-owned legal person | 41.03 | 354,176,000 | 0 | 0 | 0 |
| Ford Motor Company | Foreign legal person | 32.00 | 276,228,394 | 0 | 0 | 0 |
| China Securities Corporation Limited | Other | 2.72 | 23,458,066 | 0 | 0 | 0 |
| Shanghai Automotive Co., Ltd. | State-owned Legal person | 1.51 | 13,019,610 | 0 | 0 | 0 |
| Harvest Environmental Protection Low Carbon Stock Investment Fund | Other | 0.98 | 8,465,988 | 277,005 | 0 | 0 |
| Central Huijin Investment Ltd. | State-owned legal person | 0.83 | 7,186,600 | 0 | 0 | 0 |
| JPMBLSA RE FTIF TEMPLETON CHINA FUND GTI 5497 | Foreign legal person | 0.68 | 5,848,450 | 0 | 0 | 0 |
| GAOLING FUND,L.P. | Foreign legal person | 0.63 | 5,453,086 | 0 | 0 | 0 |
| National Social Security Fund 504 Portfolio | Other | 0.61 | 5,250,455 | 5,250,455 | 0 | 0 |
| INVESCO FUNDS SICAV | Foreign legal person | 0.58 | 5,035,746 | 0 | 0 | 0 |
| Notes on association among above-mentioned shareholders | None. | |||||
2.4 Change of controlling shareholders or actual controlling partiesChange of controlling shareholders
□Applicable √Not Applicable
There was no change of controlling shareholders during the reporting period.
Change of actual controlling parties
□Applicable √Not Applicable
There was no change of actual controlling parties during the reporting period.
Subsequent eventsJiangling Motor Holdings Co., Ltd. (hereinafter referred to as “JHC”), acontrolling shareholder of Jiangling Motors Co., Ltd. (hereinafter referred to as“JMC” or “the Company”), has been divided and separated into the newcompany, Nanchang Jiangling Investment Co., Ltd. (hereinafter referred to as“JIC”) and Jiangling Motor Holdings Co., Ltd. (as an existing company). Afterthe separation, JHC intends to divide its hold 41.03% equity of JMC into thenew company, JIC, and therefore, the controlling shareholder of JMC will bechanged from JHC to JIC, but the actual controller of JMC remainsunchanged.
As of July 26, 2019, the 354,176,000 JMC shares, accounting for about 41.03%of the total share capital of the Company, held by JHC, the former controllingshareholder of the Company, have been transferred to JIC, and JHC no longerheld the shares of the Company. JIC holds 354,176.000 shares of theCompany, accounting for about 41.03% of the total share capital of theCompany, and becomes a controlling shareholder of the Company.
Shareholding relationship with JMC and the shareholders of JHC before andafter the separation are shown as follows:
（1）Before the separation
（2）After the separation
2.5 Total shareholders and top ten shareholders holding preferredshares
□Applicable √Not Applicable
There was no shareholder holding preferred shares during the reportingperiod.
2.6 Company Bond
Whether the Company owns the corporate bond that is lists in the securitiesexchange and undue or is not paid in full although it’s due?
□Yes √No
3. Management Discussions and Analysis
3.1 Summary
In 2019, China's economy has maintained a trend of overall stable andprogressive development. The main macroeconomic indicators reflected theoperation in a reasonable range, and the economic structure is constantlybeing optimized and adjusted. Total sales volume was 12.32 million units,decreased 12.40% compared with last year.
During the reporting period, to cope with more severe competition, morestringent regulatory requirement and intensifying cost pressures, the Companyfocused on quality improvement, new product development, operating costcontrol and production efficiency enhancement. Simultaneously, the Companyintroduced series of sales policy to respond the market risk. In the first half of2019, JMC achieved sales volume of 136,643 units, decreased 7.27%compared with last year, achieved revenue of RMB 13.72 billion, decreased
3.96% compared with last year, achieved net profit of RMB 59 million,decreased 81.55% compared with last year. It mainly reflects: I. the volumedecrease of passenger vehicle in the interim period and the change of overall
| Chongqing Changan Automobile Co., Ltd. | JMCG |
| 50% | 50% |
JHC
41.03%
41.03%
JMC
JMCChongqing Changan Automobile Co., Ltd.
| Chongqing Changan Automobile Co., Ltd. | JMCG |
| 50% | 50% |
Nanchang Jiangling Investment Co., Ltd.
41.03%
41.03%
JMC
sales structure; II. Marketing expense increased to compete in the verychallenging market. III. Continued spending on new product and technology.
3.2 Matters related to financial statements
1 Explanation on the changes of accounting policy, accounting estimates,estimation method compared with that of the last accounting period
□Applicable √Not Applicable
2 Cause and impacts of major accounting errors, and correction result
□Applicable √Not Applicable
3 Explanation on consolidated scope change compared with that of the lastaccounting period
□Applicable √Not Applicable
Board of DirectorsJiangling Motors Corporation, Ltd.August 29, 2019