Anhui Conch Cement : 2019 THIRD QUARTERLY REPORT

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

安徽	公司
Anhui	Limited

(a joint stock limited company incorporated in the People's Republic of China)

(Stock code: 00914)

2019 THIRD QUARTERLY REPORT

In accordance with the applicable rules of the Shanghai Stock Exchange of the People's Republic of China (the "PRC"), the quarterly report (the "Quarterly Report") of Anhui Conch Cement Company Limited (the "Company") and its subsidiaries (together with the Company, the "Group") for the period between 1 July 2019 and 30 September 2019 (i.e. the third quarter) (the "Reporting Period") will be published in newspapers circulating in the PRC on 23 October 2019. The full text of the Quarterly Report is set out below pursuant to Rule 13.10(B) of The Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

• 1 IMPORTANT NOTICE

1. The board of directors (the "Board"), the supervisory committee, the directors (the
   "Directors"), the supervisors and the senior management of the Company warrant that the information in this Quarterly Report, for which they jointly and severally accept legal liability, is truthful, accurate and complete, and does not contain any misrepresentation, misleading statements or material omission.
2. The financial report contained in this Quarterly Report has not been audited.
3. Mr Gao Dengbang, the Company's Chairman, Mr Wu Bin, the officer-in-charge of the accounting functions, and Ms Liu Yan, the head of the accounting department, declare and warrant that the financial report contained in this Quarterly Report is true, accurate and complete.
4. In this Quarterly Report, unless stated otherwise, the currency unit refers to Renminbi
   ("RMB"), the lawful currency of the PRC. Unless stated otherwise, all financial information was prepared under the generally accepted accounting principles of the PRC.

1

§2 MAJOR CORPORATE FINANCIAL INFORMATION AND CHANGES OF SHAREHOLDERS OF THE COMPANY

2.1 Major financial information

Unit: RMB

Changes as at

the end of the

As at the end of

Reporting

As at the end of

Period

the Reporting

2018

compared with

Period

that as at the

end of 2018

(%)

Total assets

166,268,220,573

149,547,352,039

11.18

Net assets attributable to equity shareholders of the

127,609,387,722

112,688,915,670

13.24

Company

From the

Changes as

From the

beginning of 2018

compared with

beginning of 2019

to the end of the

that of the

to the end of the

reporting period

corresponding

Reporting Period

for the third

period of 2018

quarter of 2018

(%)

Net cash flow generated from operating activities

26,015,474,400

20,638,241,562

26.05

From the

Changes as

From the

beginning of 2018

compared with

beginning of 2019

to the end of the

that of the

to the end of the

reporting period

corresponding

Reporting Period

for the third

period of 2018

quarter of 2018

(%)

Revenue

110,756,382,807

77,792,051,806

42.37

Net profit attributable to equity shareholders of the

23,815,647,804

20,716,125,528

14.96

Company

Net profit attributable to equity shareholders of the

23,192,754,593

20,281,434,051

14.35

Company after extraordinary items

Decreased by

Weighted average return on net assets (%)

19.82

21.46

1.64 percentage

points

Basic earnings per share (RMB/share)

4.4941

3.9092

14.96

Diluted earnings per share (RMB/share)

4.4941

3.9092

14.96

Amount for the period from the

Amount for the Reporting

beginning of 2019 to the end of

Period

the

(July to September)

Reporting Period

(January to September)

Gain/(Loss) from disposal of non-current assets

-4,845,789

-44,591,958

Government

subsidy

(excluding

constant

government subsidy closely associated with the

enterprise's

normal

business, granted

in

fixed

152,870,812

363,171,918

amount or quantity in accordance with the State's

policy and based on certain standards) included in

the current income statement

Charges on

share

of

funds received

from

non-financial enterprises included in the current

404,453

6,200,170

income statement

Gain/(Loss)

on entrusted

investment

or

asset

166,776,477

415,174,951

management

2

	Gain/(Loss) on changes in the fair value of
	financial assets held for trading, derivative
	financial assets, financial liabilities held for trading
	and derivative financial liabilities, and investment
	gain from disposal of financial assets held for	1,565,092	-9,670,645
	trading, derivative financial assets, financial
	liabilities held for trading and derivative financial
	liabilities, and other debt investments excluding
	effective hedging business associated with the
	Company's normal business
	Income from entrusted operations	742,039		2,029,000
	Other non-operating income and expenses other	48,677,841		82,095,309
	than the abovementioned items
	Effect on minority interests (after tax)	-1,120,245		-2,776,138
	Effect on income tax	-78,395,450		-188,739,396
	Total	286,675,230		622,893,211

2.2 Total number of shareholders of the Company (the "Shareholders") and the shareholdings of the top 10 Shareholders and the top 10 floating Shareholders （or Shareholders without restrictions on trading ） respectively as at the end of the Reporting Period

Total number of Shareholders						85,445
	Shareholding of the top 10 Shareholders
	Number of			Number of	Pledge or moratorium
Name of Shareholder	shares held at	Percentage	shares			Nature of
the end of the	subject to	Share	Number
(Full name)	(%)	Shareholders
Reporting	trading	status	of shares
	Period			restrictions
Anhui Conch Holdings Co.,	1,928,870,014	36.40	0	Nil		State-owned
Ltd.		legal person
HKSCC Nominees Limited	1,298,376,612	24.50	0	Unknown		Foreign legal
	person
Hong Kong Securities Clearing	500,800,779	9.45	0	Unknown		Foreign legal
Company Limited		person
China Securities Finance	158,706,413	2.99	0	Unknown		State-owned
Corporation Limited		legal person
Anhui Conch Venture							Domestic
92,347,596	1.74	0	Nil		non-state-owned
Investment Co., Ltd.
						legal person
Central Huijin Asset	70,249,600	1.33	0	Unknown		State-owned
Management Ltd.		legal person
Hillhouse Capital Management	37,322,610	0.70	0	Unknown		Others
Co., Ltd. - HCM China Fund
Bank Negara Malaysia	33,053,641	0.62	0	Unknown		Others
		3

The National Social Security		18,934,548	0.36		0		Unknown		Others
Fund 106 Composition
China Universal Asset
Management Co., Ltd. - Social		17,999,923	0.34		0		Unknown		Others
Security Fund 1103
Composition
Shareholding of the top 10 Shareholders without restrictions on trading
Name of Shareholder		Total number of shares			Class and number of shares
	not subject to trading
(Full name)			Class		Number
	restrictions
Anhui Conch Holdings Co., Ltd.			1,928,870,014	RMB-denominated		1,928,870,014
		ordinary shares
HKSCC Nominees Limited			1,298,376,612	Overseas listed		1,298,376,612
		foreign shares
Hong Kong Securities Clearing			500,800,779	RMB-denominated		500,800,779
Company Limited			ordinary shares
China Securities Finance Corporation			158,706,413	RMB-denominated		158,706,413
Limited			ordinary shares
Anhui Conch Venture Investment Co.,			92,347,596	RMB-denominated		92,347,596
Ltd.			ordinary shares
Central Huijin Asset Management Ltd.		70,249,600	RMB-denominated		70,249,600
	ordinary shares
Hillhouse Capital Management Co.,			37,322,610	RMB-denominated		37,322,610
Ltd. - HCM China Fund			ordinary shares
Bank Negara Malaysia			33,053,641	RMB-denominated		33,053,641
		ordinary shares
The National Social Security Fund 106		18,934,548	RMB-denominated		18,934,548
Composition			ordinary shares
China Universal Asset Management					RMB-denominated
Co., Ltd. - Social Security Fund 1103			17,999,923		17,999,923
		ordinary shares
Composition
Explanation of the connected
relationship or acting in concert		As far as the Board is aware, there was no connected relationship or acting in
relationship among the		concert relationship among the abovementioned Shareholders..
abovementioned Shareholders
Explanations on preference
shareholders with voting rights		Not Applicable
restored and the number of shares held

§3 MAJOR EVENTS

3.1 Significant changes and reasons for such changes in major items of the accounting statements and financial guidance of the Company

During the Reporting Period, according to the Ministry of Finance's "Accounting Standards for Business Enterprises No.21 - Leases" (the "New Standards on Leases") which was revised in 2018, "Accounting Standards for Business Enterprises No.7 - Exchange of

4

Non-Monetary Assets", and "Accounting Standards for Business Enterprises No.12 - Debt Restructurings", both revised in 2019, the Company is required to adopt the aforementioned accounting standards for enterprises in its preparation of financial reports for the year 2019 and subsequent periods. In addition, the Ministry of Finance released the Notice on Revising and Issuing the Format of Financial Statements of General Enterprises for 2019 (Cai Kuai (2019) No.16) on 19 September 2019, which required enterprises that had adopted the new financial standards, the new revenue standards and the New Standards on Leases to prepare the financial statements in accordance with the new format.

The explanations and major reasons for the increases or decreases of over 30% for major accounting items and financial indicators in the consolidated financial statements during the Reporting Period as compared with those at the end of last year or the same period of last year are as follows:

1. As at the end of the Reporting Period, the closing balance of the Group's financial assets held for trading decreased by 38% from that at the beginning of the year, mainly due to changes in the fair value of swaps held during the Reporting Period.
2. As at the end of the Reporting Period, the closing balance of prepayments of the Group increased by 37% from that at the beginning of the year, and the closing balance of contract liabilities increased by 48% when compared with that at the beginning of the year, mainly due to the increase in product sales and trading business during the Reporting Period.
3. As at the end of the Reporting Period, the closing balance of other receivables of the Group increased by 62% from that at the beginning of the year, which was mainly due to the increase in the amount of wealth management products subscribed for by the Group which have not yet matured.
4. As at the end of the Reporting Period, the closing balance of the Group's assets held-for-sale decreased by 84% from that at the beginning of the year, mainly due to the completion of disposal of assets held-for-sale by certain subsidiaries during the Reporting Period.
5. As at the end of the Reporting period, the net amount of investment properties of the Group increased by 34% from that at the beginning of the year, mainly due to the leasing of idle buildings of some subsidiaries during the Reporting Period.
6. As at the end of the Reporting Period, the closing balance of construction in progress of the Group increased by 63% from that at the beginning of the year, mainly due to the increase in investment in technology modification and improvement projects in respect of energy conservation and environmental protection during the Reporting Period.
7. As at the end of the Reporting Period, the closing balance of the Group's right-of-use assets increased by RMB 47.4553 million from that at the beginning of the year, while the closing balance of lease liabilities increased by RMB18.4769 million from that at the beginning of the year, mainly due to the implementation of "Accounting Standards for Business Enterprises No.21 - Leases" which cancelled the classification of lessee's operating leases and financing leases, and required the recognition of the right-of-use assets and lease liabilities for all leases (except for short-term leases and low-value asset leases).
8. As at the end of the Reporting Period, the closing balance of the Group's other non-current financial assets increased by RMB71.776 million from that at the beginning of

5

the year, mainly due to the addition of one invested company of the Group during the Reporting Period.

1. As at the end of the Reporting Period, the closing balance of the Group's short-term borrowings increased by 98% from that at the beginning of the year, and long-term borrowings increased by 50% from that at the beginning of the year, mainly due to the increase in borrowings of some overseas subsidiaries of the Group.
2. As at the end of the Reporting Period, the closing balance of the Group's non-current liabilities due within one year decreased by 75% from that at the beginning of the year, mainly due to the repayment of bank loans due during the Reporting Period.
3. As at the end of the Reporting Period, the closing balance of the Group's tax payable decreased by 38% from that at the beginning of the year, mainly due to the increase in tax payments during the Reporting Period.
4. As at the end of the Reporting period, the closing balance of the Group's interest payable increased by 317% from that at the beginning of the year, mainly because the payment of the accrued interest on corporate bonds was not yet due during the Reporting Period.

13. During the Reporting Period, the Group's operating costs increased by 32% from that of the corresponding period last year, mainly due to the increase in product sales and trading business during the Reporting Period.

14. During the Reporting Period, the Group's financial expenses decreased by 148% from that of the corresponding period last year, which was mainly due to the year-on-year increase in interest income of the Group's deposits during the Reporting Period.

15. During the Reporting Period, the Group's investment income increased by 186% from that of the corresponding period last year, mainly due to the increase in income from the Group's wealth management products and the increase in investment income from associates and joint ventures recognized by the Group by equity method.

16. During the Reporting Period, the Group's assets disposal income increased by 1,073% from that of the corresponding period last year, mainly because of the completion of land assets disposal of some subsidiaries due to government demolition during the Reporting Period.

1. During the Reporting Period, the Group's non-operating expenses increased by 351% from that of the corresponding period last year, which was mainly due to the increase in scrapped assets of subsidiaries during the Reporting Period.
2. From the beginning of the year to the end of the Reporting Period, the net cash outflow from the Group's investing activities increased by 288% from that of the corresponding period last year, mainly due to the year-on-year increase in the Group's purchase of time deposits with maturities of over 3 months and wealth management products during the Reporting Period.
   3.2 Progress of significant events and analysis of their effects and solutions

□Applicable

√Not applicable

6

3.3 Failure to fulfil undertakings within a specified period during the Reporting Period

□Applicable

√Not applicable

3.4 Warning of and explanation for the accumulated net profit from the beginning of the year to the end of the next reporting period forecast to be a probable loss or to have significant changes from that of the corresponding period of the previous year

□Applicable

√Not applicable

7

§ 4 Appendix

4.1 Financial Statements

Consolidated Balance Sheet

30 September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
	Item		30 September 2019	31 December 2018
Current Assets:
Monetary capital			44,549,439,662	37,619,107,062
Balance with clearing companies
Placements	with other	financial
institutions
Held-for-trading financial assets		15,469,549	25,140,194
Financial assets at fair value
through profit/(losses)
Derivative financial assets
Bills receivable			11,629,515,431	13,134,237,037
Accounts receivable			996,037,212	1,232,637,935
Receivables financing
Prepayments			2,881,463,768	2,108,931,491
Premiums receivable
Reinsurance accounts receivable
Deposits	receivable	from
reinsurance contract
Other receivables			18,482,922,424	11,427,975,928
Including: Interests receivable		633,027,658	294,016,648
Dividend receivable
Purchases	of resold	financial
assets
Inventories				6,391,074,956	6,022,717,523
Contract Assets
Held-for-sale assets			9,810,993	62,640,063
Non-current assets due within one
year
Other current assets			446,030,471	419,572,589
Total current assets			85,401,764,466	72,052,959,822
Non-current assets:
Loans and advances granted
Debt investments
Available-for-sale financial assets
Other debt investments
Held-to-maturity investments
Long-term receivables
Long-term equity investment		3,591,893,294	3,181,990,116
Other equity instrument			269,942,302	258,679,568
investment
Other non-current financial assets		71,776,000
Investment properties			87,001,985	64,949,854
Fixed assets				59,194,196,159	60,320,463,517
Construction in progress			5,650,592,635	3,458,400,315
Biological assets for production
			8

Oil and gas assets
Right-of-use assets	47,455,343	0
Intangible assets	10,046,501,756	8,371,835,258
Development expenses
Goodwill	514,398,098	514,398,098
Long-term deferred expenditures
Deferred income tax assets	977,564,178	953,856,240
Other non-current assets	415,134,357	369,819,251
Total non-current assets	80,866,456,107	77,494,392,217
Total assets	166,268,220,573	149,547,352,039
Current liabilities:
Short-term borrowings	2,721,876,519	1,376,933,268
Borrowings from central bank
Capital borrowed
Held-for-trading financial
liabilities
Financial liabilities at fair value
through profit/(losses)
Derivative financial liabilities
Bills payable
Accounts payable	6,846,404,778	6,395,728,639
Receipts in advance
Funds from disposal of
repurchased financial assets
Deposit received and inter-bank
deposit
Customer deposit for trading in
securities
Customer deposits for securities
underwriting
Wages payable	1,081,269,490	1,246,100,404
Tax payable	4,511,376,828	7,247,657,201
Other payables	4,905,417,693	3,821,201,414
Including: Interests payable	186,425,747	44,660,322
Dividend payable
Handling charges and
commissions payable
Reinsurance account payable
Contract liabilities	4,911,188,633	3,313,102,709
Held-for-sale liabilities
Non-current liabilities due within	696,680,650	2,751,237,021
one year
Other current liabilities
Total current liabilities	25,674,214,591	26,151,960,656
Non-current liabilities:
Provision for insurance contract
Long-term borrowings	3,910,151,217	2,606,582,305
Bonds payable	3,498,976,021	3,498,750,180
Including: Preference shares
Perpetual bonds
Lease liability	18,476,937
Long-term payables
Long-term wages payable
Accrued liabilities
	9

Deferred income			430,558,981	405,888,810
Deferred income tax liabilities		595,292,115	466,296,761
Other non-current liabilities
Total non-current liabilities		8,453,455,271	6,977,518,056
	Total liabilities			34,127,669,862	33,129,478,712
Owners' equity (or shareholders'
equity)
Paid in capital (or share capital)		5,299,302,579	5,299,302,579
Other equity instruments
Including: Preference shares
	Perpetual bonds
Capital reserve				10,596,560,555	10,584,747,968
Less: Treasury shares
Other comprehensive income		159,082,710	110,249,690
Special reserve
Surplus reserve				2,649,651,290	2,649,651,290
General risk provisions
Undistributed profits			108,904,790,588	94,044,964,143
Total	equity	attributable	to	127,609,387,722	112,688,915,670
shareholders of the Company
Minority interests			4,531,162,989	3,728,957,657
Total	owners'	(or	shareholders')	132,140,550,711	116,417,873,327
equity
	Total liabilities	and owners'	166,268,220,573	149,547,352,039
(or shareholders') equity
Legal representative: Gao Dengbang
Officer-in-charge of the accounting functions: Wu Bin
Officer-in-charge of the accounting department: Liu Yan

Balance Sheet of the Company

30 September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
Item	30 September 2019	31 December 2018
Current Assets:
Monetary capital		38,918,998,753	33,328,259,360
Held-for-trading financial assets
Financial assets at fair value
through profit/(losses)
Derivative financial assets
Bills receivable		143,321,512	235,308,404
Accounts receivable		64,534,392	59,580,001
Receivables financing
Prepayments		80,594,681	116,464,797
Other receivables		30,370,360,288	33,830,400,699
Including: Interests receivable		625,146,690	308,900,510
Dividends receivable
Inventories		247,364,080	211,664,207
Contract assets
Held-for-sale assets
Non-current assets due within
one year
Other current assets		4,952,238	633,186
	10

Total current assets		69,830,125,944	67,782,310,654
Non-current assets:
Debt investments
Available-for-sale financial
assets
Other debt investments
Held-to-maturity investments
Long-term receivables		6,160,166,396	5,118,293,360
Long-term equity investment	43,241,690,037	42,245,139,662
Other equity instruments	269,942,302	258,679,568
investment
Other	non-current	financial	71,776,000
assets
Investment properties		58,929,963	21,024,878
Fixed assets		913,361,453	999,701,731
Construction in progress	316,751,156	167,131,611
Biological assets for production
Oil and gas assets
Right-of-use assets
Intangible assets		217,393,040	229,959,892
Development expenses
Goodwill
Long-term deferred expenditures
Deferred income tax assets
Other non-current assets
Total non-current assets	51,250,010,347	49,039,930,702
Total assets		121,080,136,291	116,822,241,356
Current liabilities:
Short-term borrowings
Held-for-trading financial
liabilities
Financial liabilities at fair value
through profit/(losses)
Derivative financial liabilities
Bills payable
Accounts payable		171,824,503	139,577,891
Receipts in advance
Contract liabilities		80,713,324	37,760,324
Wages payable		91,856,508	126,540,990
Tax payable		121,290,492	324,906,061
Other payables		12,939,086,253	9,874,754,195
Including: Interests payable	160,473,519	26,607,128
	Dividends payable
Liabilities classified as
held-for-sale
Non-current liabilities due		97,500,000
within one year
Other current liabilities
Total current liabilities	13,404,771,080	10,601,039,461
Non-current liabilities:
Long-term borrowings		100,000,000
Bonds payable		3,498,976,021	3,498,750,180
Including: Preference shares
	Perpetual bonds
			11

Lease liability
Long-term payables
Long-term wages payable
Accrued liabilities
Deferred income		7,243,454	6,400,272
Deferred income tax liabilities		65,190,354	59,534,798
Other non-current liabilities
Total non-current liabilities		3,671,409,829	3,564,685,250
Total liabilities		17,076,180,909	14,165,724,711
Owners' equity (or shareholders'
equity)
Paid in capital (or share capital)		5,299,302,579	5,299,302,579
Other equity instruments
Including: Preference shares
Perpetual bonds
Capital reserve		16,805,481,971	16,803,659,305
Less: Treasury shares
Other comprehensive income		179,127,851	167,530,441
Special reserve
Surplus reserve		2,649,651,290	2,649,651,290
Undistributed profits		79,070,391,691	77,736,373,030
Total owners' (or shareholders')		104,003,955,382	102,656,516,645
equity
Total liabilities and owners'		121,080,136,291	116,822,241,356
(or shareholders') equity
Legal representative: Gao Dengbang
Officer-in-charge of the accounting functions: Wu Bin
Officer-in-charge of the accounting department: Liu Yan

Consolidated Income Statement

January - September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
							The first three	The first three
				2019 Third	2018 Third	quarters of 2019	quarters of
Item				Quarter	Quarter		(January to	2018
				(July-September)	(July-September)		September)	(January to
									September)
I. Total operating income		39,112,557,005	32,049,804,652	110,756,382,807	77,792,051,806
Including: Operating			39,112,557,005	32,049,804,652	110,756,382,807	77,792,051,806
income
Interest income
Premium received
Handling	fee	and
commission income
II. Total operation costs			28,793,624,210	22,400,555,057	81,403,431,537	51,823,670,779
Including: Operation cost		26,451,257,561	20,084,350,548	74,849,767,356	45,596,066,139
Interest expenses
Handling	fee	and
commission expenses
Payment			on
					12

surrenders
	Net	compensation
expenses
	Net provision drawn
for insurance liability
	Policy	dividend
expenses
	Reinsurance
expenses
	Taxes		and	324,404,881	337,215,346	993,956,524	1,025,818,333
surcharges
	Selling expenses		1,154,032,774	990,049,685	3,137,157,395	2,659,319,836
	Administrative			1,174,806,494	1,104,032,870	3,339,818,897	2,694,763,541
expenses
	R&D expenses			16,824,699	17,130,720	40,156,330	45,474,335
	Financial expenses		-327,702,199	-132,224,112	-957,424,965	-197,771,405
	Including: Interests	128,466,612	111,470,390	363,275,437	363,953,454
			expenses
			Interests	-382,560,924	-277,749,728	-1,168,843,163	-767,866,389
			income
Add: Other gains			255,356,237	220,124,364	685,085,475	612,544,668
	Income		from
investment	("-"	refers	to	385,468,000	134,958,487	1,068,291,965	404,859,019
loss)
	Including:
Investment	income	from	194,839,592	97,412,533	629,265,083	307,631,358
associates and joint venture
companies
	De-recognition gains
on	financial		assets
measured at amortised cost
	Exchange gains ("-"
refers to loss)
	Net	open	hedge
income ("-" refers to loss)
	Gains from changes
of fair value ("-" refers	to	1,565,092	-2,077,496	-9,670,645	27,907,384
loss)
	Credit	impairment	748,741		-2,459,770
loss ("-" refers to loss)
	Asset	impairment
loss ("-" refers to loss)
	Gains on disposal of	14,467,500	1,233,824	18,358,390	1,233,824
assets("-" refers to loss)
III. Operating profits ("-"		10,976,538,365	10,003,488,774	31,112,556,685	27,014,925,922
refers to loss)
Add: Non-operating		230,090,432	292,735,877	481,265,193	526,920,225
profits
Less: Non-operating		51,745,487	11,469,488	102,937,926	71,433,788
expenses
IV. Total profits	("-"	refers	11,154,883,310	10,284,755,163	31,490,883,952	27,470,412,359
to loss)
Less:	Income	tax	2,380,757,665	2,291,410,701	7,098,279,360	6,167,185,834
expenses
V. Net profits ("-" refers to	8,774,125,645	7,993,344,462	24,392,604,592	21,303,226,525
loss)
(I) Classified according to
							13

the	continuity		of	the
business
	1.Net	profits	of
continuing		operations	("-"	8,774,125,645	7,993,344,462	24,392,604,592	21,303,226,525
refers to loss)
	2.Net	profits	of
discontinued operations ("-"
refers to loss)
(II)	Classified		according
to the equity holdings
	1.		Net		profits
attributable to owners of the	8,555,945,431	7,774,036,180	23,815,647,804	20,716,125,528
Company ("-" refers to loss)
	2.		Net		profits
attributable	to		minority	218,180,214	219,308,282	576,956,788	587,100,997
interests ("-" refers to loss)
VI. Net amount of other
comprehensive income after	19,478,084	-58,876,498	42,094,213	-131,168,102
tax
Net	amount		of	other
comprehensive income after
tax attributable to owners of	27,272,470	-51,583,880	48,833,020	-125,925,256
the parent company
(I)					Other
comprehensive income	not	-1,089,942	-29,973,405	8,447,051	-75,205,998
to be reclassified into profit
or loss subsequently
	1.	Changes	of	net
liabilities	or	net	assets
arising		from			the
re-measurement of defined
benefit plans
	2.	Share	of	other
comprehensive	income	of
the investees which cannot
be reclassified into profit or
loss under equity method
	3.	Changes	in	fair
value	of		other	equity	-1,089,942	-29,973,405	8,447,051	-75,205,998
investments instruments
	4.	Changes	in	the
fair value of the company's
own credit risk
(II)					Other
comprehensive	income	to	28,362,412	-21,610,475	40,385,969	-50,719,258
be reclassified into profit or
loss subsequently
	1.	Share	of	other
comprehensive		income
which	can	be	reclassified		-5,415,906	3,150,360	-10,682,658
into profit or loss under
equity method subsequently
	2.	Changes	in	fair
value	of	other	debt
investments

3. Profit or loss from the change of fair value of available-for-sale financial

14

assets
	4.	The	amount	of
financial assets	reclassified
into	other	comprehensive
income
	5. Held-to-maturity
investments are reclassified
as gains and losses on
available-for-sale financial
assets
	6.	Other	debt
investment				credit
impairment provisions
	7. Cash flow hedge
reserve (Effective portion of
profit or loss from cash
flows hedges)
	8. Foreign	currency
financial			statement	28,362,412	-16,194,569	37,235,609	-40,036,600
translation difference
	9. Other
Net amount	of other
comprehensive income after	-7,794,386	-7,292,618	-6,738,807	-5,242,846
tax attributable	to	minority
shareholders
VII.	Total	comprehensive	8,793,603,729	7,934,467,964	24,434,698,805	21,172,058,423
income
Total	comprehensive
income	attributable	to	8,583,217,901	7,722,452,300	23,864,480,824	20,590,200,272
owners of the Company
Total	comprehensive
income	attributable	to	210,385,828	212,015,664	570,217,981	581,858,151
minority shareholders
VIII. Earnings per share:
(1)	Basic	earnings	per	1.61	1.47	4.49	3.91
share (RMB/Share)
(2)	Diluted	earnings	per	1.61	1.47	4.49	3.91
share (RMB/Share)

The net profit of the acquiree before the acquisition is RMB0 under the business combination under common control during the Reporting Period. The net profit of the acquiree for the previous period is RMB0.

Legal representative: Gao Dengbang

Officer-in-charge of the accounting functions: Wu Bin

Officer-in-charge of the accounting department: Liu Yan

15

Income Statement of the Company

January - September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
								The first three	The first three
Item		2019 Third	2018 Third	quarters of 2019	quarters of
	Quarter		Quarter		(January to	2018
				(July-September)	(July-September)		September)	(January to
									September)
I. Operating income		1,008,320,080		797,398,213		2,688,030,695	2,121,461,650
Less: Operating cost	552,438,055		407,588,735		1,457,716,802	1,101,711,296
Taxes		and	13,269,460		12,256,667		38,588,851	39,296,696
surcharges
Selling expenses	25,902,815		29,755,012		73,510,528	71,716,042
Administrative	89,360,383		99,121,750		256,576,184	204,352,762
expenses
R&D expenses			135,730			3,505,993
Financial expenses	-517,373,833		-314,161,562		-1,431,618,232	-759,345,009
Including: Interests	45,792,781		34,794,965		137,354,273	177,894,546
		expenses
		Interests	-542,382,167		-319,158,770		-1,555,635,617	-912,613,524
		income
Add: Other gains		1,079,025		941,772		2,886,242	1,993,357
Income	from
investment ("-" refers to	3,635,876,495		3,281,621,094		8,619,230,834	13,285,745,504
loss)
Including:
Investment	income	from	108,328,431		33,570,846		365,645,738	126,715,610
associates		and	joint
venture companies
De-recognition
gains on	financial	assets
measured at amortised cost
Net		open	hedge
income ("-" refers to loss)
Gains		from
changes of fair value ("-"
refers to loss)
Credit	impairment
loss ("-" refers to loss)
Asset	impairment
loss ("-" refers to loss)
Gains	on disposal
of assets("-" refers to loss)
II. Operating	profits ("-"	4,481,678,720		3,845,264,747		10,915,373,638	14,747,962,731
refers to loss)
Add:	Non-operating	44,909,719		102,012,545		53,474,576	149,061,020
profits
Less:	Non-operating	2,178,475		1,944,915		2,197,162	41,437,715
expenses
III. Total profits ("-" refers	4,524,409,964		3,945,332,377		10,966,651,052	14,855,586,036
to total loss)
Less:	Income	tax	268,822,298		176,404,997		676,811,032	408,080,616
expense
IV. Net profits ("-"	refers	4,255,587,666		3,768,927,380		10,289,840,020	14,447,505,420
					16

to net loss)
	1.Net	profits	of
continuing operations ("-"	4,255,587,666	3,768,927,380	10,289,840,020	14,447,505,420
refers to loss)
	2.Net	profits	of
discontinued	operations
("-" refers to loss)
V. Net amount of other
comprehensive			income	-1,089,942	-35,389,311	11,597,411	-85,888,656
after tax
(I) Other comprehensive
income		not		to	be	-1,089,942	-29,973,405	8,447,051	-75,205,998
reclassified	into	profit	or
loss subsequently
	1.	Changes		of	net
liabilities	or	net	assets
from the re-measurement
of defined benefit plans
	2.	Share	of	other
comprehensive	income	of
the investees which cannot
be reclassified into profit or
loss under equity method
	3.	Changes	in	fair
value	of	other	equity	-1,089,942	-29,973,405	8,447,051	-75,205,998
instruments investments
	4. Changes in the fair
value	of	the	company's
own credit risk
(II)					Other
comprehensive	income	to		-5,415,906	3,150,360	-10,682,658
be	reclassified	into profit
or loss subsequently
	1.	Share	of	other
comprehensive	income	of
the	investees		company
which	can	be	reclassified		-5,415,906	3,150,360	-10,682,658
into profit or loss under
equity					method
subsequently
	2.	Changes		in	fair
value	of	other	debt
investments
	3. Profit or loss from
the change of fair value of
available-for-sale financial
assets
	4.	The	amount	of
financial assets reclassified
into other	comprehensive
income
	5. Profit or loss from
held-to-maturity
investment	reclassified	as
available-for-sale financial
assets
	6.		Other		debt
investment				credit
impairment provisions
									17

7.	Cash flow	hedge
reserve	(Effective	portion
of profit or loss from cash
flows hedges)
8.	Foreign	currency
financial	statement
translation difference
9. Other
VI. Total comprehensive	4,254,497,725	3,733,538,069	10,301,437,431	14,361,616,764
income
VII. Earnings per share:
(1) Basic earnings per
share (RMB/Share)
(2)	Diluted	earnings
per share (RMB/Share)

Legal representative: Gao Dengbang

Officer-in-charge of the accounting functions: Wu Bin

Officer-in-charge of the accounting department: Liu Yan

Consolidated Cash Flow Statement

January - September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
		Item				The first three quarters		The first three
							of 2019		quarters of 2018
						(January - September)		(January - September)
I. Cash flow from operating activities:
Cash	received	from	selling goods and		140,933,287,616	99,473,954,265
providing services
Net increase in customer bank deposits and
due to banks and other financial institutions
Net increase in borrowings from central bank
Net increase in placements from other
financial institutions
Cash received from original insurance
contract premiums
Net cash received from reinsurance business
Net increase in policy holder deposits and
investments funds
Cash received from interest, fees and
commissions
Net increase in capital borrowed
Net increase in income from repurchase
business
Net cash received from trading securities
Refunds of taxes received				699,772,703	659,958,783
Cash	received	relating	to	other	operating		544,942,219	514,467,118
activities
Sub-total of	cash inflow	from	operating		142,178,002,538	100,648,380,166
activities
Cash paid for purchasing goods and receiving		91,911,988,330	60,096,358,502
services
Net increase in customer loans and advances
						18

to customers
Net increase in deposit in central bank and due
to banks and other financial institutions
Cash paid for original insurance contract
claimed
Net increase in placements with other
financial institutions
Cash paid for interest, fees and commissions
Cash paid for policy holder dividend
Cash paid to and for employees			5,338,556,125	4,365,570,672
Cash paid for taxes and surcharges			16,424,696,559	14,423,934,642
Cash paid relating to other operating activities	2,487,287,124	1,124,274,788
Sub-total	of	cash outflow	from	operating	116,162,528,138	80,010,138,604
activities
Net cash flow from operating activities	26,015,474,400	20,638,241,562
II. Cash flow from investing activities:
Cash received from disposal of investments	37,578,648,823	26,000,000,000
Cash received from returns on investments		433,519,287	149,848,216
Net cash received from disposal of fixed
assets, intangible assets and other long-term	103,792,820	20,852,031
assets
Net cash received from disposal of
subsidiaries and other operating business units
Cash	received	relating	to	other	investing	762,123,382	469,951,435
activities
Sub-total	of	cash	inflow	from	investing	38,878,084,312	26,640,651,682
activities
Cash paid for acquisition and construction of
fixed	assets,	intangible	assets and other	6,025,726,797	2,613,036,870
long-term assets
Cash paid for investment					42,500,000,000	26,000,000,000
Net increase in pledge loans
Net cash received from subsidiaries and other	149,218,846	532,912,483
operating business units
Cash paid relating to other investing activities	126,170,000	50,399,347
Sub-total	of cash	outflow	investing	48,801,115,643	29,196,348,700
activities
Net cash flow from investing activities	-9,923,031,331	-2,555,697,018
III. Cash flow generated from financing
activities:
Cash received from investment			505,479,499	346,598,097
Including: Cash received by subsidiaries from	505,479,499	346,598,097
the investment of minority shareholders
Cash received from borrowings			3,892,483,891	674,748,099
Cash received related to other financing
activities
Sub-total	of	cash	inflow	from	financing	4,397,963,390	1,021,346,196
activities
Cash paid for repaying debts				3,328,443,932	4,094,574,998
Cash	paid	for	distributing	dividends	and	9,319,285,512	7,040,527,570
profits and interest repayment
Including:	Dividends	and profits	paid	by	273,492,148	351,342,306
subsidiaries to minority shareholders
Cash paid related to other financing activities	13,176,207	32,125,585
Sub-total	of	cash outflow	from	financing	12,660,905,651	11,167,228,153
activities
Net cash flow generated from financing	-8,262,942,261	-10,145,881,957
									19

activities
IV. Effect of foreign exchange rate changes to	10,701,009	20,992,890
cash and cash equivalents
V. Net increase in cash and cash equivalents	7,840,201,817	7,957,655,477
Add: Balance of cash and cash equivalents at	9,857,671,783	10,428,931,906
beginning of period
VI. Balance of cash and cash equivalents at	17,697,873, 600	18,386,587,383
end of period

Legal representative: Gao Dengbang

Officer-in-charge of the accounting functions: Wu Bin

Officer-in-charge of the accounting department: Liu Yan

Cash Flow Statement of the Company

January - September 2019

Prepared by: Anhui Conch Cement Company Limited	Unit: RMB	Type of audit: Unaudited
									The first three quarters	The first three quarters
				Item					of 2019	of 2018
									(January - September)	(January - September)
I. Cash flow from operating activities:
Cash	received	from	selling	goods	and		3,168,850,746	3,306,560,785
providing services
Refunds of taxes received				10,162,393	49,407,472
Cash received relating to other operating		20,645,617,891	2,764,255,253
activities
Sub-total	of	cash	inflow	from		23,824,631,030	6,120,223,510
operating activities
Cash	paid	for		purchasing	goods	and		1,565,933,879	1,301,991,514
receiving services
Cash paid to and for employees			244,951,459	236,862,491
Cash paid for taxes and surcharges			1,107,625,933	914,178,176
Cash	paid	relating	to	other operating		7,199,295,680	1,441,129,116
activities
Sub-total	of	cash	outflow	from		10,117,806,951	3,894,161,297
operating activities
Net cash flow from operating activities		13,706,824,079	2,226,062,213
II. Cash flow from investing activities:
Cash	received	from	disposal	of		37,531,542,241	26,000,000,000
investments
Cash	received	from	returns	on		8,214,451,939	12,569,705,149
investments
Net cash received from disposal of fixed
assets, intangible assets and other long-term		59,552,963	55,196
assets
Net cash received from disposal of
subsidiaries and other operating business
units
Cash received relating to other investing		1,964,237,054	2,963,328,002
activities
Sub-total	of	cash	inflow	from		47,769,784,197	41,533,088,347
investing activities
Cash	paid	for	acquisition	and		239,491,907	146,669,538
construction	of	fixed	assets,	intangible
								20

assets and other long-term assets
Cash paid for investment			42,500,000,000	25,500,000,000
Net cash paid for acquisition of
subsidiaries and other operating business	993,748,689	793,321,828
units
Cash	paid relating	to	other investing	2,301,422,111	2,372,597,171
activities
Sub-total	of	cash	outflow	from	46,034,662,707	28,812,588,537
investing activities
Net	cash	flow	from	investing	1,735,121,490	12,720,499,810
activities
III. Cash flow generated from financing
activities:
Cash received from investment
Cash received from borrowings		100,000,000
Cash received related to other financing
activities
Subtotal of cash inflow from financing	100,000,000
activities
Cash paid for repaying debts			97,500,000	2,500,500,000
Cash paid for distributing dividends and	8,852,748,791	6,462,854,361
profits and interest repayment
Cash paid related to other financing
activities
Sub-total	of	cash	outflow	from	8,950,248,791	8,963,354,361
financing activities
Net	cash	flow	generated	from	-8,850,248,791	-8,963,354,361
financing activities
IV. Effect	of	foreign	exchange	rate	-957,383	12,628,971
changes to cash and cash equivalents
V. Net	increase	in	cash	and	cash	6,590,739,395	5,995,836,633
equivalents
Add:	Balance	of	cash	and	cash	5,828,259,360	7,527,298,040
equivalents at the beginning of period
VI. Balance of cash and cash equivalents	12,418,998,755	13,523,134,673
at the end of period

Legal representative: Gao Dengbang

Officer-in-charge of the accounting functions: Wu Bin

Officer-in-charge of the accounting department: Liu Yan

4.2 Adjustments to financial statements of the current year at its beginning for the initial application of the new financial instrument standards, new income standards and new lease standards are shown as below

□Applicable

√Not applicable

4.3 Explanation to retroactively adjusted comparative information with respect to initial application of new financial instrument standards and new lease standards

□Applicable	√Not applicable
4.4 Audit Report
□Applicable	√Not applicable

21

By order of the Board

Anhui Conch Cement Company Limited

Yu Shui

Joint Company Secretary

Wuhu City, Anhui Province, the PRC

22 October 2019

As at the date of this announcement, the Board comprises (i) Mr Gao Dengbang, Mr Wang Jianchao, Mr Wu Bin and Mr Li Qunfeng as executive Directors; (ii) Mr Ding Feng as non-executive Director; (iii) Mr Yang Mianzhi, Mr Leung Tat Kwong Simon and Ms Zhang Yunyan as independent non-executive Directors.

22