2015 Semi-annual Report
August 2015
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Section I. Important Reminders, Contents & Definitions
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and
senior management staff of BOE Technology Group Co., Ltd. (hereinafter referred to as “the
Company”) warrant that this report is factual, accurate and complete without any false
record, misleading statement or material omission. And they shall be jointly and severally
liable for that.
All directors attended the board meeting for reviewing this report.
The Company’s profit distribution preplan upon review and approval of this board meeting:
Based on the total shares of 35,153,067,743, a cash dividend of RMB 0.10 (tax included) and 0
bonus shares (tax included) will be distributed for every 10 shares held by shareholders, and 0
shares will be increased to all shareholders for every 10 shares held by them with the capital
reserves.
Mr. Wang Dongsheng, Chairman of the Board, Mr. Chen Yanshun, President of the Company,
Ms. Sun Yun, chief of the accounting work, and Ms. Yang Xiaoping, chief of the accounting
organ (chief of accounting), hereby confirm that the Financial Report enclosed in this report
is factual, accurate and complete.
This report is prepared as per China’s Accounting Standards for Business Enterprises and
other relevant regulations.
This report is prepared in both Chinese and English. Should there be any understanding
discrepancy between the two versions, the Chinese version shall prevail.
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Contents
Section I. Important Reminders, Contents & Definitions .............................................................. 1
Section II. Company Profile .............................................................................................................. 4
Section III. Highlights of Accounting Data & Financial Indicators .............................................. 6
Section IV. Report of the Board of Directors ................................................................................... 9
Section V. Significant Events ........................................................................................................... 30
Section VI. Changes in Shares & Particulars about Shareholders.............................................. 40
Section VII. Preference Shares ....................................................................................................... 46
Section VIII. Directors, Supervisors & Senior Management Staff .............................................. 47
Section IX. Financial Report ........................................................................................................... 50
Section X. Documents Available for Reference ........................................................................... 187
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Definitions
Term Refers to Contents
BOE, the Company, Company Refers to BOE Technology Group Co., Ltd.
Stock Listing Rules Refers to Stock Listing Rules of Shenzhen Stock Exchange (Revised in 2014)
SZSE, the Stock Exchange Refers to Shenzhen Stock Exchange
CSRC Refers to China Securities Regulation Commission
CSRC Beijing Refers to China Securities Regulation Commission Beijing Bureau
Articles of Association Refers to Articles of Association of BOE Technology Group Co., Ltd.
The ―Company Law‖ Refers to The ―Company Law of the People’s Republic of China‖
The ―Securities Law‖ Refers to The ―Securities Law of the People’s Republic of China‖
The cninfo website Refers to http://www.cninfo.com.cn/
BOEOST Refers to BOE Optical Science and Technology Co., Ltd.
Chengdu BOE Refers to Chengdu BOE Optoelectronics Technology Co., Ltd.
Hefei BOE Refers to Hefei BOE Optoelectronics Technology Co., Ltd.
BOE Display Refers to Beijing BOE Display Technology Co., Ltd.
Hefei Xinsheng Refers to Hefei Xinsheng Optoelectronics Technology Co., Ltd.
Yuansheng Optoelectronics Refers to Ordos Yuansheng Optoelectronics Co., Ltd.
Chongqing BOE Refers to Chongqing BOE Optoelectronics Technology Co., Ltd.
OASIS Hospital Refers to OASIS International Hospital
SID Refers to SID Display Week
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Section II. Company Profile
I. Basic information of the Company
Stock abbreviation BOE A, BOE B Stock code 000725, 200725
Stock exchange listed with Shenzhen Stock Exchange
Chinese name of the Company 京东方科技集团股份有限公司
Abbr. of the Chinese name of the Company (if any) 京东方
English name of the Company (if any) BOE TECHNOLOGY GROUP CO., LTD.
Abbr. of the English name of the Company (if any) BOE
Legal representative of the Company Wang Dongsheng
II. Contact information
Item Company Secretary Securities Affairs Representative
Name Liu Hongfeng -
Contact address No. 10, Jiuxianqiao Road, Chaoyang District, Beijing, P.R.China -
Tel. 010－64318888 ext. -
Fax 010－64366264 -
E-mail liuhongfeng@boe.com.cn -
III. Other information
1. Ways to contact the Company
Did any change occur to the registered address, office address and their postal codes, website address and email address of the
Company during the reporting period?
□ Applicable √ Inapplicable
The registered address, office address and their postal codes, website address and email address of the Company did not change
during the reporting period. The said information can be found in the 2014 Annual Report.
2. About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?
□ Applicable √ Inapplicable
The newspapers designated by the Company for information disclosure, the website designated by CSRC for disclosing this report
and the location where this report is placed did not change during the reporting period. The said information can be found in the 2014
Annual Report.
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
3. Changes in the registered information
Did any change occur to the registered information during the reporting period?
□ Applicable √ Inapplicable
The registration date and place of the Company, its business license No., taxation registration No. and organizational code did not
change during the reporting period. The said information can be found in the 2014 Annual Report.
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Section III. Highlights of Accounting Data & Financial Indicators
I. Major accounting data and financial indicators
Does the Company adjust retrospectively or restate accounting data of previous years due to change of any accounting policy or
correction of any accounting error?
□ Yes √ No
Item Reporting period Same period of last year YoY +/- (%)
Operating revenues (RMB Yuan) 22,970,848,112.00 16,113,171,584.00 42.56%
Net profit attributable to shareholders of the
1,951,170,852.00 1,041,635,714.00 87.32%
Company (RMB Yuan)
Net profit attributable to shareholders of the
Company after extraordinary gains and 1,576,397,937.00 550,289,218.00 186.47%
losses (RMB Yuan)
Net cash flows from operating activities
5,453,391,488.00 3,253,640,502.00 67.61%
(RMB Yuan)
Basic EPS (RMB Yuan/share) 0.055 0.050 10.00%
Diluted EPS (RMB Yuan/share) 0.055 0.050 10.00%
Weighted average ROE (%) 2.53% 2.38% 0.15%
Item As at the end of the reporting period As at the end of last year +/- (%)
Total assets (RMB Yuan) 140,855,989,366.00 136,240,283,477.00 3.39%
Net assets attributable to shareholders of the
78,096,913,076.00 76,155,071,579.00 2.55%
Company (RMB Yuan)
Did any change occur to the share capital and the owners’ equity was affected during the period from the end of the reporting period
to the disclosure date of this report due to new issue, additional issue, allotment, exercise of equity incentive, buy-back, etc.?
√ Yes □ No
Basic EPS based on the new share capital (RMB Yuan/share) 0.0555
II. Differences between accounting data under domestic and overseas accounting standards
1. Differences of net profit and net assets disclosed in financial reports prepared under international and
Chinese accounting standards
□ Applicable √ Inapplicable
No difference.
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and
Chinese accounting standards
□ Applicable √ Inapplicable
No difference.
III. Items and amounts of extraordinary gains and losses
√Applicable □ Inapplicable
Unit: RMB Yuan
Item Amount Explanation
Gains/losses on the disposal of non-current assets (including the offset part of asset impairment
-7,766,899.00 Naught
provisions)
Tax rebates, reductions or exemptions due to approval beyond authority or the lack of official
0.00 Naught
approval documents
Government grants recognized in the current period, except for those acquired in the ordinary
course of business or granted at certain quotas or amounts according to the country’s unified 406,391,203.00 Naught
standards
Capital occupation charges on non-financial enterprises that were recorded into current gains and
0.00 Naught
losses
Gains due to that the investment costs for the Company to obtain subsidiaries, associates and joint
ventures are lower than the enjoyable fair value of the identifiable net assets of the investees when 0.00 Naught
making the investments
Gain/loss on non-monetary asset swap 0.00 Naught
Gain/loss on entrusting others with investments or asset management 0.00 Naught
Asset impairment provisions due to acts of God such as natural disasters 0.00 Naught
Gain/loss on debt restructuring 0.00 Naught
Expenses for business reorganization, such as expenses for staffing, reorganization etc. 0.00 Naught
Gain/loss on the part over the fair value due to transactions with distinctly unfair prices 0.00 Naught
Current gains and losses of subsidies acquired from business combination under the same control
0.00 Naught
as from period-begin to combination date
Gain/loss on contingent events irrelevant to the Company’s normal business 0.00 Naught
Gains and losses on change in fair value from tradable financial assets and tradable financial
liabilities, as well as investment income from disposal of tradable financial assets and tradable
0.00 Naught
financial liabilities and financial assets available for sales except for effective hedging related with
normal businesses of the Company
Reversal of impairment provisions for the accounts receivable on which the impairment test was
0.00 Naught
carried out separately
Gain/loss on loans obtained by entrusting others 0.00 Naught
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Gain/loss on change of the fair value of investing real estate of which the subsequent measurement
0.00 Naught
is carried out adopting the fair value method
Effect on current gains/losses when a one-off adjustment is made to current gains/losses according
0.00 Naught
to requirements of taxation, accounting and other relevant laws and regulations
Custody fee income when entrusted with operation 0.00 Naught
Non-operating income and expenses other than the above 12,799,743.00 Naught
Other gain/loss items that meet the definition of an extraordinary gain/loss 0.00 Naught
Less: Income tax effects 35,414,794.00 Naught
Minority interests effects (after tax) 1,236,338.00 Naught
Total 374,772,915.00 --
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Extraordinary Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item
□ Applicable √ Inapplicable
No such cases during the reporting period.
2015 Semi-annual Report of BOE Technology Group Co., Ltd.
Section IV. Report of the Board of Directors
I. Overview
In the first half of 2015, the battle field of competition for the semi-conductor display industry moved from
technology, production capacity and prices to customer experience, product application expansion, industrial
eco-chain, business model innovation, etc. The traditional five major fields saw falling product prices because of
low market demands. Meanwhile, along with the hardware and software fusion, the application integration and the
service-oriented transformation, the display industry embraced a fifth application tide with the application of the
Internet of Things as its core. New technology, new markets and new applications arising from the fast growth in
the eight major new application markets brought new opportunities for the display industry. Despite the
complicated economic and market environments, our total assets exceeded RMB 140 billion and our net assets
surpassed RMB 78 billion as at the end of the reporting period. For the first half of 2015, we achieved operating
revenues of RMB 22.971 billion, up 42.56% year on year, and net profit attributable to shareholders of the
Company of RMB 1.951 billion, representing a rise of 87.32% from the same period of last year. And our
aggregate value at the capital market reached RMB 180 billion, up 54% from last year. In the reporting period, we
applied for 3,250 new patents and launched a series of world-leading innovative products, with which we went to
important exhibitions at home and abroad such as CeBIT in Hannover, Germany, FINETECH in Japan, SID and
Cine Gear in the US and CITE in Shenzhen, China. Our global influence kept growing. Operation in specific
business divisions is as follows:
(1) Display business
The marketizing transformation and disruptive innovation were promoted in display business.
For the display business, the Company deepened customer orientation, confirmed the first supplier, promoted the
marketing strategy of ―protection and attack‖, positively exploited new marketing area and new strategic clients,
and enhanced customer satisfaction. As a result, the total share of strategic customers for main products were
raised, the market share of mid-and-small size products kept ranking the first, and the market share of TV
products went up to 11%, ranking up as the fourth in the world. The Company carried forward disruptive product
innovation, and obtained good results in technology R&D, product development, market promotion, and
innovation management for new products and high-end products, such as the 1st 10K UHD display in the world,
the 1st color vision correction display, and the 941PPI4K-level mobile display with the highest resolution ratio in
the world.
