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.
濰柴動力股份有限公司
WEICHAI POWER CO., LTD.
(a joint stock limited company incorporated in the People's Republic of China with limited liability)
(Stock Code: 2338)
OVERSEAS REGULATORY ANNOUNCEMENT
This announcement is made pursuant to Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Stock Exchange").
Reference is made to an announcement made by Weichai Power Co., Ltd. (the "Company") on the website of Shenzhen Stock Exchange dated 30 October 2019, which is for information only. The full text of the announcement in Chinese is published on the websites of the Stock Exchange and the Company.
By order of the Board of Directors
Tan Xuguang
Chairman and CEO
Weifang, Shandong, PRC
30 October 2019
As at the date of this announcement, the executive Directors of the Company are Mr. Tan Xuguang, Mr. Zhang Quan, Mr. Xu Xinyu, Mr. Sun Shaojun, Mr. Yuan Hongming and Mr. Yan Jianbo; the non-executive Directors of the Company are Mr. Wang Yuepu, Mr. Jiang Kui, Mr. Gordon Riske and Mr. Michael Martin Macht; and the independent non-executive Directors of the Company are Mr. Zhang Zhong, Mr. Wang Gongyong, Mr. Ning Xiangdong, Mr. Li Hongwu and Mr. Wen Daocai.
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
WEICHAI POWER CO., LTD.
THIRD QUARTERLY REPORT FOR 2019
October 2019
1
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
SECTION 1 IMPORTANT NOTICE
The board of directors, the Supervisory Committee and the directors, supervisors and senior management of the Company warrant that no false presentations or misleading statements are contained herein, nor with any material omissions, and severally and jointly accept responsibilities for the authenticity, accuracy and completeness of the contents of this quarterly report.
All directors have attended the Board meeting in respect of reviewing this quarterly report.
Tan Xuguang, principal of the Company, Kwong Kwan Tong, principal in‐charge of accounting and Li Xia, head of accounting department (in charge person of accounting), warrant that the financial statements contained in the quarterly report are true, accurate and complete.
2
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
SECTION 2 BASIC INFORMATION OF THE COMPANY
2.1 Major accounting data and financial indicators
Whether the Company has made retrospective adjustment or restatement of accounting data of the prior years
□ Yes √No
Unit: RMB
As at the end of the | As at the end of | Change for the end | ||
of reporting | ||||
reporting period | last year | |||
period as | ||||
compared to end | ||||
of last year | ||||
Total assets (RMB) | 223,726,604,498.05 | 205,276,365,174.18 | 8.99% | |
Net assets attributable to | ||||
shareholders of listed company | 42,877,114,285.21 | 39,313,734,834.02 | 9.06% | |
(RMB) | ||||
Reporting period | Change for the | From the beginning | Change for the period from | |
reporting period | the beginning of the year | |||
over the | of the year to the | |||
to the end of the reporting | ||||
corresponding | end of the reporting | period over the | ||
period of last year | ||||
corresponding period of | ||||
period | ||||
last year | ||||
Revenue (RMB) | 35,845,761,369.43 | -0.20% | 126,708,257,889.91 | 7.21% |
Net profit attributable to | ||||
shareholders of listed company | 1,770,753,119.83 | 10.07% | 7,058,241,497.72 | 17.61% |
(RMB) | ||||
Net profit attributable to | ||||
shareholders of listed company after | 1,494,633,694.65 | -0.93% | 6,447,076,829.66 | 13.35% |
extraordinary gain/loss (RMB) | ||||
Net cash flows from operating | ||||
-- | -- | 4,014,711,229.81 | -38.15% | |
activities (RMB) | ||||
Basic earnings per share | 0.22 | 10.95% | 0.89 | 18.55% |
(RMB/share) | ||||
Diluted earnings per share | 0.22 | 10.95% | 0.89 | 18.55% |
(RMB/share) | ||||
Weighted average return on net | 4.15% | -0.18% | 17.20% | 0.73% |
assets | ||||
Extraordinary gain/loss items and amounts | ||||
√ Applicable □ N/A |
3
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report) | ||||
Unit: RMB | ||||
Item | Amount from the beginning of | Description | ||
the year to the end of the | ||||
reporting period | ||||
Gains or losses from disposal of non-current assets (including the | ||||
part of assets impairment provision already made and written | 103,406,089.71 | |||
off) | ||||
Government subsidy accounted into profit and loss for the | ||||
current period, excluding those closely associated with the | 140,420,761.47 | |||
business of the Company which were given in a fixed amount or | ||||
volume in compliance with state standard | ||||
Profit and loss from debt restructuring | 8,891,743.08 | |||
Profit and loss on the changes in fair value generated from | ||||
financial assets held for trading, derivative financial assets, | ||||
financial liabilities held for trading and derivative financial | ||||
liabilities and investment income received from disposal | ||||
of financial assets held for trading, derivative financial | 436,033,421.23 | |||
assets, financial liabilities held for trading, derivative | ||||
financial liabilities and other debt investments, other than | ||||
effective hedging business relating to ordinary operating | ||||
business of the Company | ||||
Reversal of impairment provision in respect of receivables and | ||||
contract assets for which impairment test is conducted | 6,768,474.42 | |||
separately | ||||
Other non-operating income and expenses other than the above | 126,652,586.90 | |||
items | ||||
Less: Effects of income tax | 106,732,364.94 | |||
Effects of minority interests (after tax) | 104,276,043.81 | |||
Total | 611,164,668.06 | -- |
Notes for the Company's extraordinary gain or loss items as defined in the Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1 - Extraordinary Gains or Losses and the extraordinary gain or loss items as illustrated in the Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1 - Extraordinary Gains or Losses defined as its recurring gain or loss items
□ Applicable √ N/A
During the reporting period, the Company did not define any extraordinary gain or loss items as defined and illustrated in the Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1 - Extraordinary Gains or Losses as its recurring gain or loss items.
2.2 Total number of shareholders and information on shareholdings of the top ten shareholders as at the end of the reporting period
1. Number of shareholders of ordinary shares and shareholders of preference shares with resumed voting rights and information on shareholdings of the top ten shareholders
4
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Unit: Share | ||||||||||||
Total number of shareholders of | Total number of shareholders of | |||||||||||
preference shares with resumed | ||||||||||||
ordinary shares as at the end of the | 180,939 | 0 | ||||||||||
voting rights as at the end of the | ||||||||||||
reporting period | ||||||||||||
reporting period, if any | ||||||||||||
Information on shareholdings of the top ten shareholders | ||||||||||||
f | ||||||||||||
Nature of | Number of | Pledged or frozen | ||||||||||
Shareholding | Number of | |||||||||||
Name of shareholder | ratio | restricted | ||||||||||
shareholder | shares held | Status of | Quantity | |||||||||
shares held | ||||||||||||
shares | ||||||||||||
HKSCC Nominees Limited | Foreign | 24.43% | 1,938,406,116 | |||||||||
shareholder | ||||||||||||
Weichai Group Holdings | State-owned legal | 17.72% | 1,406,100,000 | 1,345,905,600 | ||||||||
Limited | person | |||||||||||
Hong Kong Securities | Overseas legal | |||||||||||
Clearing Company | person | 5.13% | 407,084,690 | |||||||||
Limited | ||||||||||||
Weifang Investment | State-owned legal | |||||||||||
Group Company | person | 3.74% | 296,625,408 | 296,625,408 | ||||||||
Limited | ||||||||||||
China Securities Finance | Domestic non- | |||||||||||
Corporation Limited | state-owned legal | 2.06% | 163,608,906 | |||||||||
person | ||||||||||||
IVM Technical | Overseas | |||||||||||
Consultants Wien | 1.58% | 125,265,203 | ||||||||||
legal person | ||||||||||||
Gesellschaft m.b.H | ||||||||||||
Central Huijin Assets | State-owned | |||||||||||
Management Company | legal person | 1.37% | 108,492,800 | |||||||||
Limited | ||||||||||||
Shandong Enterprise | Domestic | |||||||||||
Trust Operation | non-state- owned | 0.83% | 66,180,960 | |||||||||
Company Limited | legal person | |||||||||||
Tan Xuguang | Domestic natural | 0.74% | 58,842,596 | 44,131,947 | ||||||||
person | ||||||||||||
Hu Zhongxiang | Domestic | |||||||||||
natural | 0.63% | 50,264,177 | ||||||||||
person | ||||||||||||
5
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Information on shareholdings of the top ten non-restricted shareholders
Name of shareholder | Number of non-restricted | Types of shares | ||
shares held | ||||
Types of shares | Quantity | |||
HKSCC Nominees Limited | 1,938,406,116 | Overseas listed | 1,938,406,116 | |
foreign shares | ||||
Hong Kong Securities Clearing Company | 407,084,690 | RMB | ordinary | 407,084,690 |
Limited | shares | |||
China Securities Finance Corporation | 163,608,906 | RMB | ordinary | 163,608,906 |
Limited | shares | |||
IVM Technical Consultants Wien | 125,265,203 | RMB | ordinary | 125,265,203 |
Gesellschaft m.b.H | shares | |||
Central Huijin Assets Management | 108,492,800 | RMB | ordinary | |
Company Limited | shares | 108,492,800 | ||
Shandong Enterprise Trust Operation | 66,180,960 | RMB | ordinary | 66,180,960 |
Company Limited | shares | |||
Weichai Group Holdings Limited | 60,194,400 | RMB | ordinary | 60,194,400 |
shares | ||||
Hu Zhongxiang | 50,264,177 | RMB | ordinary | 50,264,177 |
shares | ||||
China Merchants Bank Co., Ltd. - Orient | 43,424,254 | RMB | ordinary | |
Hong Rui Feng Flexible Allocation Mixed | shares | |||
Securities Investment Fund (LOF) (招商银 | ||||
43,424,254 | ||||
行股份有限公司-东方红睿丰灵活配置 | ||||
混合型证券投资基金(LOF)) | ||||
Abu Dhabi Investment Authority | 37,241,939 | RMB | ordinary | 37,241,939 |
shares | ||||
Statement on the connected relationship | Among the aforesaid shareholders, Mr. Tan Xuguang is the chairman of Weichai Group | |||
or acting in concert relationship among | ||||
Holdings Limited. The Company is not aware whether there is any connected | ||||
the aforementioned shareholders | ||||
relationship among the aforementioned shareholders, or whether there is any acting in | ||||
concert relationship among them. | ||||
Description of top 10 shareholders' | Among the top 10 shareholders of the Company, Hu Zhongxiang held 49,369,177 shares | |||
involvement in financing and securities | ||||
through a client credit trading guarantee securities account of China Galaxy Securities | ||||
lending businesses | ||||
Co., Ltd.. | ||||
Whether any of the top ten shareholders of ordinary shares and the top ten non-restricted shareholders of ordinary shares of the Company conducted any transactions on agreed repurchases during the reporting period
□ Yes √ No
None of the top ten shareholders of ordinary shares or the top ten non-restricted shareholders of ordinary shares of the Company conducted any transactions on agreed repurchases during the reporting period.
2. Total number of shareholders of preference shares and information on shareholdings of the top ten shareholders of preference shares as at the end of the reportingperiod
□ Applicable √ N/A
6
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
SECTION 3 IMPORTANT EVENTS
3.1 Information on and reasons for the changes of financial statistics and financial indicators during the reporting period
√ Applicable □ N/A
Unit: RMB
Item on Statements | As at the end of | As at the end of | Percentage | Reason | ||||
the reporting | last year | change | ||||||
period | ||||||||
Financial assets held for trading | It is mainly attributable to the | |||||||
increase in structured deposits | ||||||||
in the current period. | ||||||||
5,915,503,031.17 | 4,115,199,600.23 | 43.75% | ||||||
Construction in progress | It is mainly attributable to the | |||||||
5,523,692,606.42 | 2,848,101,239.62 | 93.94% | increase | in | investments | in | ||
some construction projects of | ||||||||
the Company in the current | ||||||||
year. | ||||||||
Short-term loans | It is mainly attributable to the | |||||||
8,037,340,704.45 | 5,472,765,901.24 | 46.86% | general | working | capital | |||
requirements. | ||||||||
Long-term payables | It is mainly attributable to the | |||||||
3,520,442,033.45 | 9,895,419,535.20 | -64.42% | effect of implementation of | |||||
new lease standards. | ||||||||
Item on Statements | From the beginning | Corresponding | Percentage | Reason | ||||
of year to the end of | period of last year | |||||||
change | ||||||||
the reporting period | ||||||||
Research & development expenses | ||||||||
3,585,775,633.45 | 2,684,165,691.90 | 33.59% | It is mainly attributable to the | |||||
increase in research and | ||||||||
development expenditure | ||||||||
during the period. | ||||||||
Finance expenses | It is mainly attributable to the | |||||||
increase | in | structured | ||||||
141,092,090.41 | 99,589,936.90 | 41.67% | deposits in the current period | |||||
and the | recognition | of | ||||||
interest income in investment | ||||||||
income. | ||||||||
Investment income | It is mainly attributable to the | |||||||
490,916,366.16 | 336,382,718.03 | 45.94% | increase | in | income | of | ||
structured | deposits | in | the | |||||
current period. | ||||||||
7 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Gain on change of fair value | 127,437,168.43 | 27,992,650.96 | 355.25% | It is mainly attributable to the | |
increase in gain on cross | |||||
currency swap instruments. | |||||
Impairment loss of assets | It is mainly attributable to the | ||||
-389,707,627.13 | -266,412,361.68 | -46.28% | increase in provision for decline in | ||
value of inventories. | |||||
Net cash flows from operating | It is mainly attributable to the | ||||
activities | 4,014,711,229.81 | 6,491,451,894.12 | -38.15% | impact caused by the time | |
point of cash collection from | |||||
sales of merchandises. | |||||
Net cash flows from investing | It is mainly attributable to the | ||||
activities | -6,687,742,942.65 | -4,566,690,774.44 | -46.45% | increase in structured deposits | |
and acquisition of fixed assets | |||||
in the current period. | |||||
3.2 Analysis and description on the progress of important events, their impacts and solutions | |||||
□ Applicable | √ N/A | ||||
Progress of implementation of share repurchase | |||||
□ Applicable | √ N/A | ||||
Progress of implementation of the disposal of repurchased shares by way of centralized bidding | |||||
□ Applicable | √ N/A |
3.3 Commitments made by the Company's de facto controllers, shareholders, connected parties, acquirers entities and other related committing parties not yet implemented during the reporting period
√ Applicable | □ N/A | |||||
The | Commitments | Type of | Contents of commitments | Time of | Period of | Implementation |
commitment | by | commitment | commitments | commitments | situation | |
Other commitments | Shaanxi | Other | I. Issues relating to the qualification of | 9 April 2007 | Before 30 June | Implementation |
to medium and | Automotive | commitments | Shaanxi Zhongqi: 1. The business scope | 2007 | of commitments | |
minority | of Shaanxi Zhongqi covers the | |||||
Group Co., | production and sale of full-set | was not yet | ||||
shareholders of the | ||||||
Ltd., Shaanxi | automobiles ("Sale and export trade | completed. | ||||
Company | ||||||
(licensed operation) of automobiles | ||||||
Heavy-duty | ||||||
(excluding sedans), auto parts and | ||||||
Motor | components and engines produced by | |||||
the company" as stated in its Business | ||||||
Company | ||||||
License of Corporate Legal | ||||||
Limited | ||||||
8
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Person). According to the announcement "Vehicle Manufacturers and Products" made by the State Development and Reform Commission (the "SDRC"), Shaanxi Automotive, the other shareholder of Shaanxi Zhongqi, remained as the manufacturer of the "Shaan-qi" branded automobiles. 2. In establishing Shaanxi Zhongqi jointly with TAGC, the contribution from Shaanxi Automotive was represented by the operating assets relating to the operation of heavy-duty automobile production, whereas the corresponding undertakings and human resources were taken over by Shaanxi Zhongqi. Whilst the qualification of Shaanxi Automotive for producing and selling heavy-dutyfull-set automobile products shall be succeeded by Shaanxi Zhongqi, the formalities for the change of qualification have not been completed under the influence of the "Delong-league" crisis and other factors. Shaanxi Automotive has committed to cooperate in procuring the change of qualification as mentioned above according to the law.
II. Issues relating to land lease:
1. Shaanxi Zhongqi leased from Shaanxi Automotive land parcels and buildings located in No. 39 and No. 71 of Xingfu Bei Road in Xincheng District, Xi'an City and Caojia Town in Qishan County. 2. Shaanxi Automotive failed to provide the relevant title documents including property ownership certificates, land use certificates or leasing registration certificates, etc. 3. Shaanxi Automotive and Shaanxi Zhongqi undertook that they shall fully negotiate and communicate with local governments to seek elimination of the irregularities existing in the leased land and properties, within the shortest possible timeframe. Where losses are suffered by Shaanxi Zhongqi in this regard, Shaanxi Automotive shall be responsible for its full compensation.
Shaanxi Fast | Other | 1.Shaanxi Fast Gear Co., Ltd., a | 1 December | One year | Implementation |
subsidiary controlled by the Company | of commitments | ||||
commitments | 2006 | ||||
Gear Co., Ltd. | leased from Shaanxi Auto Gear General | was not yet | |||
Works (currently named Shaanxi Fast | |||||
completed. | |||||
Gear Automotive Transmission Co., | |||||
Ltd., and hereinafter "Fast | |||||
Transmission") two parcels of land | |||||
located in Daqing Road, Lianhu District, | |||||
Xi'an City and Wu Zhang |
9
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Yuan Town in Qishan County and | ||||||
Shucang Village in Baoji County, both in | ||||||
Shaanxi Province. The aforesaid two | ||||||
parcels of land were acquired by Fast | ||||||
Transmission by way of allocation, but | ||||||
Fast Transmission failed to provide | ||||||
competent government authorities | ||||||
with documents testifying agreed | ||||||
leasing of the land use rights | ||||||
concerning such allocated land. | ||||||
2. SFGC leased from Fast | ||||||
Transmission buildings located in the | ||||||
west section of Daqing Road, Lianhu | ||||||
District, Xi'an City and Wu Zhang Yuan | ||||||
Town in Qishan Country and Shucang | ||||||
Village in Baoji County. For some of the | ||||||
buildings, title documents including | ||||||
property ownership certificates, | ||||||
corresponding land use right certificates | ||||||
and leasing registration etc. have not | ||||||
yet been obtained. 3. Fast Transmission | ||||||
and SFGC | ||||||
undertook to fully negotiate | ||||||
and communicate with the local | ||||||
governments to seek lawful and | ||||||
effective regulations or adjustments to | ||||||
the leasing of land and properties | ||||||
within one year and seek elimination of | ||||||
the existing circumstances of | ||||||
irregularities in respect of the leasing of | ||||||
land parcels and properties. | ||||||
During the merger by absorption with | ||||||
TAGC, Weichai Power built some | ||||||
Other | properties on a parcel of land acquired | One year | Implementation | |||
Weichai | by way of land grant, allocation and | 1 December | ||||
commitments | leasing which is to the west of Weizhou | 2006 | of commitments | |||
Power Co., | was not yet | |||||
Road and to the south of Min Sheng | completed. | |||||
Ltd. | ||||||
Road East Street by Weifang Diesel | ||||||
Engine Factory (currently named | ||||||
Weichai Group Holdings Limited, and | ||||||
hereinafter "Weichai Group"). | ||||||
Application has been made by Weichai | ||||||
Power for the grant (transfer) of six | ||||||
parcels of land under Weichai Group | ||||||
where the aforesaid buildings are | ||||||
located, to obtain the land use rights by | ||||||
way of land grant to the aforesaid land | ||||||
parcels. | ||||||
Whether the | No | |||||
commitments have | ||||||
been implemented | ||||||
timely | ||||||
10
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
If implementation of commitments is not yet completed, state detailed reasons for not completing implementation of commitments and next plan
- Regarding the commitments made by Shaanxi Automotive Group Co., Ltd. and Shaanxi Heavy‐duty Motor Company Limited According to the Decision Concerning the Administrative and Regulatory Measures under No. (2014) 9 issued by Shandong Regulatory Bureau of China Securities Regulatory Commission (《中国证券监督管理委员会山东监管局(2014)9 号 行政监管措施决定书》), Shaanxi Automotive Group, through Weichai Power Co., Ltd., issued announcements in designated media on 13 August 2014, stating the reasons for not implementing the commitments, updates on progress, next solutions and relevant risk factors as follows: "I. Since 2007, Shaanxi Automotive has striven to transfer the qualification for producing full-set heavy-dutyvehicles to Shaanxi Heavy-dutyMotor Company Limited, a controlling subsidiary of Weichai Power. However, in actual practice, due to the change of austerity measures and industry policies of the state, competent authorities including the State Development and Reform Commission and the Ministry of Industry and Information Technology do not permit the segregation and partial transfer of qualification with respect to full-setautomobile. As such, the "change of holder of sale and production qualification in respect of full- set heavy-dutyvehicle products to Shaanxi Heavy-dutyMotor Company Limited, a controlling subsidiary of Weichai Power Co., Ltd." as stated in the Decision Concerning the Administrative and Regulatory Measures under No. (2014) 92 issued by Shandong Regulatory Bureau of China Securities Regulatory Commission 《( 中国证券监督管理委员会山东监管局(2014)92 号行政监管措施决定书》) has not been completed due to the aforesaid policy ground albeit efforts made by various parties. Going forward, the Company will actively trace the changes of state policies applicable to the automobile industry. Once permitted under policies, we commit that transfer of sale and production qualification in respect of full-set heavy-dutyvehicles will be completed within half a year. II. Since its establishment in 2002, Shaanxi Heavy-dutyMotor Company Limited has undergone rapid and healthy development and fully safeguarded the interests of investors. The qualification issue has never had any impact on the normal operation and development of the company. This management approach has also won recognition from competent state authorities. Shareholders from both sides and relevant regulatory bodies have been satisfied with the operation, development and result of performance of the company. III. The land and buildings located at No. 39 and No. 71 of Xingfu Bei Road in Xincheng District, Xi'an City, Shaanxi Province are listed under the "Comprehensive Renovation Work Plan for the Neighborhood at Xingfu Road (《幸福路地区综合改造工作方案》)" in accordance with the Notice Concerning the Issuance of Comprehensive Renovation Work Plan for the Neighborhood at Xingfu Road (《关于印发幸福路地区综合改造工作方案的通 知》) under Shi Zheng Bang Fa No. (2013) 89 issued by the General Office of Xi'an People's Government, requiring enterprises to complete removal by the due date, and the relevant matters shall be implemented according to the government's arrangements. Shaanxi Heavy-dutyMotor Company Limited moved to its registered address namely Jingwei Industrial Park, Economic and Technological Development Zone, Xi'an in 2006 and obtained state-ownedland use right in respect of land parcels occupying approximately 2,700 mu, satisfying its operation and development needs. Regarding the aforesaid matters, the company will lawfully issue announcement in a timely manner through Weichai Power Co., Ltd."
- Regarding the commitments made by Shaanxi Fast Gear Co. Ltd. According to the Decision Concerning the Administrative and Regulatory Measures under No. (2014) 10 issued by Shandong Regulatory Bureau of China Securities Regulatory Commission (《中国证券监督管理委员会山东监管局(2014)10 号行政监管措施决定书》), Fast Transmission, through Weichai Power Co., Ltd., stated the reasons for not implementing the commitments, updates on progress, next solutions and relevant risk factors as follows: " I. Regarding the regulations on the land and parcels and buildings located in Daqing Road, Lianhu District, Xi'an City and Wu Zhang Yuan Town in Qishan County and Shucang Village in Baoji County, both in Shaanxi Province, which were originally committed by the group for leasing to Shaanxi Fast Gear Co., Ltd., a controlling subsidiary of Weichai Power Co., Ltd., to date, the land use right certificates and property ownership certificates for the buildings located in Wu Zhang Yuan Town in Qishan County and Shucang Village in Baoji County, both in Shaanxi Province have been completed. The land use right certificate for the land parcels in Daqing Road, Lianhu District, Xi'an City has been completed, but the property ownership certificate is on hold as suggested by the government because Lianhu District is located in the zone that has been designated as part of the government's removal area. The factories located in Lianhu District, Xi'an City, Shaanxi Province has been, in accordance with the Notice by Xi'an People's Government Concerning the Administration of the Construction Projects in the Comprehensive Renovation Zone in Tumen Area(《西安市人民政府关于加强土门地区综合改造 区域建设项目管理的通告》) under Shi Zheng Gao No. [2013] 4 issued by Xi'an People's Government, the land parcel has been included under the Working Plan of the Comprehensive Renovation of Tumen Area, requiring enterprises to complete removal by the due date, and the relevant matters shall be implemented according to the government's arrangements. The company shall remove on a planned and step-by-step basis and this will not affect the production operation and development of Shaanxi Fast Gear Co. Ltd. II. The group is a wholly state-owned enterprise and its reform and development has been strongly supported by Shaanxi Government and the local government for its region. Its land and properties have been endorsed by the local government and are not subject to risks. The group commits, once again, that it shall bear all losses to be incurred as a result of any failure to normally use/ failure to use those land parcels and buildings by Shaanxi Fast Gear Co. Ltd. which is in turn due to any claim of rights over those land parcels and buildings made by any third parties or imposition of any penalty by the relevant government bodies during the leasing period. Regarding the aforesaid matters, the group will lawfully issue announcement in a timely manner through Weichai Power Co., Ltd. "
11
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
3. Regarding the commitments made by Weichai Power The 6 parcels of land proposed to be granted have been listed by Weifang People's Government as part of the overall planning for land use under the government's "From City to Industrial Park" initiative, and legal procedures for granting land to Weichai Power will no longer proceed. During the transitional period under the staged implementation of the overall planning of the "From City to Industrial Park" initiative, Weichai Power shall continue to lease those land parcels in the original manner. According to the further communication between the Company and the government, the Company shall implement, by stages, the overall planning of the government's "From City to Industrial Park" initiative.
12
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
3.4. Investments in securities | |||||||||||||
√ Applicable | □ N/A | ||||||||||||
Unit: RMB | |||||||||||||
Gain or | |||||||||||||
loss on fair | Accumulated fair | Purchase | Sale | ||||||||||
Carrying value at | value | value changes | Gain/loss | ||||||||||
Type of | Stock | Short | Initial Investment | Accounting | amount | amount | Carrying value at | Accounted | |||||
securities | code | cost | method | the beginning of | changes | included in | for the | for the | the end of period | for under | Source | ||
name | for the | ||||||||||||
period | arising | equity during | period | ||||||||||
period | period | ||||||||||||
during the | the period | ||||||||||||
period | |||||||||||||
Domestic | 600166 | Foton | 194,000,000.00 | Fair value | Investment | ||||||||
and | in other | ||||||||||||
overseas | Motor | measurement | equity | Internal | |||||||||
instruments | |||||||||||||
equity | 145,600,000.00 | 12,800,000.00 | 158,400,000.00 | ||||||||||
funding | |||||||||||||
Domestic | 000425 | XCMG | 1,199,540,273.14 | Fair value | Investment | ||||||||
and | measurement | Internal | |||||||||||
1,006,304,269.98 | 411,690,684.76 | 1,417,994,954.74 | in other | ||||||||||
overseas | funding | ||||||||||||
equity | |||||||||||||
equity | |||||||||||||
instruments | |||||||||||||
Total | 1,393,540,273.14 | -- | 1,151,904,269.98 | 424,490,684.76 | 1,576,394,954.74 | -- | -- | ||||||
3.5. Entrusted wealth management | |||||||||||||
□Applicable | √ N/A |
The Company had no entrusted wealth management in the reporting period.
13
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
3.6. Investments in derivatives
✓Applicable | □ N/A |
Unit: in ten thousand RMB
Name of | Proportion of | |||||||||||||||||
Whether or | Type of | Initial | Investment | Amount | Amount | Amount of | investment | to | Actual amount of | |||||||||
operators | Connection | not a | acquired | disposed of | Investment | the net asset of | profit and loss | |||||||||||
Derivatives | provision for | |||||||||||||||||
of derivatives | connected | Investment | Effective Date | Expiry Date | at | the | during the | during the | at the end of | the Company at | during the | |||||||
investment | transaction | investment | amount of | beginning | of | reporting | reporting | impairment | the Period | the end of the | reporting period | |||||||
derivatives | the Period | period | period | (if any) | reporting period | |||||||||||||
investment | ||||||||||||||||||
The Hong Kong | ||||||||||||||||||
and | Shanghai | |||||||||||||||||
Banking | 30 | 30 | ||||||||||||||||
Corporation | ||||||||||||||||||
Limited, | the | No | No | Cross | Currency | 0.00 September | September | -16,132.92 | 2,478.12 | 0.04% | 18,415.50 | |||||||
Bank of China, | Swap Business | 2015 | 2020 | |||||||||||||||
Barclays |
The Hong Kong | 14 | 14 | ||||||||||||||
and Shanghai | ||||||||||||||||
Banking | September | September | ||||||||||||||
Corporation | ||||||||||||||||
Limited, | 2017 | 2022 | ||||||||||||||
Australia and | ||||||||||||||||
No | No | 0.00 | 8,523.64 | 44,679.25 | 0.67% | 36,024.30 | ||||||||||
New Zealand | Cross Currency | |||||||||||||||
Banking Group | ||||||||||||||||
Swap Business | ||||||||||||||||
Limited, BNP | ||||||||||||||||
Paribas, JP | ||||||||||||||||
Morgan | ||||||||||||||||
Overseas | Cash flow | |||||||||||||||
hedge in | ||||||||||||||||
non- | ||||||||||||||||
connecting | No | No | respect of | 0.00 | 1 January | 2019-2020 | 1,923.37 | -2,496.72 | -0.04% | -19,230.62 | ||||||
financial | forward | |||||||||||||||
institutions | 2017 | |||||||||||||||
etc. | exchange | |||||||||||||||
contracts | ||||||||||||||||
Overseas | 21 February | 2020-2024 | ||||||||||||||
non- | ||||||||||||||||
connecting | No | No | Interest | rate | 0.00 | 2017 | -6,169.55 | -11,962.56 | -0.18% | -12,359.60 | ||||||
financial | swaps hedging | |||||||||||||||
institutions | ||||||||||||||||
etc. | ||||||||||||||||
Overseas | 22 June 2018 | 1 June 2025 | ||||||||||||||
non- | ||||||||||||||||
connecting | No | No | Fair | value | 0.00 | 823.38 | 2,137.72 | 0.03% | 6,809.83 | |||||||
financial | ||||||||||||||||
hedging | ||||||||||||||||
institutions | ||||||||||||||||
etc. | ||||||||||||||||
Domestic | Structured | 27 April 2018 | 27 March 2020 | |||||||||||||
connecting | No | No | 1,643,700.00 | 361,500.00 | 1,282,200.00 | 1,123,200.00 | 517,000.00 | 7.75% | 16,592.73 | |||||||
financial | deposit | |||||||||||||||
institution | ||||||||||||||||
Total | 1,643,700.00 | -- | -- | 350,467.92 | 1,282,200.00 | 1,123,200.00 | 551,835.81 | 8.27% | 46,252.16 | |||||||
Source of derivatives investment | Internal | funding | ||||||||||||||
funding | ||||||||||||||||
Litigation involved (if applicable) | Not applicable | |||||||||||||||
Date of the announcement disclosing | 23 September 2015 | |||||||||||||||
31 August 2017 | ||||||||||||||||
the approval by the board of directors of | ||||||||||||||||
derivatives investment by the Board (if | 22 August 2018 | |||||||||||||||
11 January 2019 | ||||||||||||||||
any) | ||||||||||||||||
Risk analysis of positions in derivatives | ||||||||||||||||
during the reporting period and | There is appropriate internal control system for the management of the Company to control the relevant | |||||||||||||||
explanations of risk control measures | ||||||||||||||||
risks. At the end of reporting period, there was no significant exposure for the positions in derivatives of the | ||||||||||||||||
(including but not limited to market risk, | ||||||||||||||||
liquidity risk, credit risk, operation risk, | Company. | |||||||||||||||
legal risk etc.) | ||||||||||||||||
14
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
In the course of valuation, the Company adopted valuation techniques which were appropriate | in the | |||||||
circumstances and for which sufficient data and other information were available for measurement, | ||||||||
selecting inputs which were consistent with the characteristics of the assets and liabilities contemplated by | ||||||||
market participants under the relevant assets or liabilities transactions. Priorities should be given to the | ||||||||
use of relevant observable inputs. Where the relevant observable inputs could not be obtained in a | ||||||||
practicable manner or at all, unobservable inputs would be used instead. | ||||||||
(1) On 1 July 2016, Weichai International Hong Kong Energy Group Co., Limited ("Hong Kong Energy") , a | ||||||||
subsidiary of the Company, used the 2015 bond cross currency swaps as hedging instrument, and | ||||||||
conducted cash flow hedging on the foreign currency bond amounting to USD400 million against the cash | ||||||||
flow fluctuation incurred by change in exchange rates. From January to September 2019, the gain on the | ||||||||
changes in fair value of the hedging instruments recognized in other comprehensive income amounted to | ||||||||
RMB184,155,042.15 (EUR23,754,565.89). The amount included in the statement of profit and loss for the | ||||||||
current period was RMB116,624,473.45 (EUR15,034,648.58). There was no material invalid hedge for the | ||||||||
period. Key parameters of assumption included interest payment ratio, interest receipt ratio, frequency of | ||||||||
interest receipt, frequency of interest payment, USD interest rate curve, EUR interest rate curve, USD/EUR | ||||||||
exchange rate curve etc. | ||||||||
(2) The effective date of 2017 bond cross currency swaps contract of Weichai International Hong Kong | ||||||||
Energy Group Co., Limited ("Hong Kong Energy"), a subsidiary of the Company, was 14 September 2017. | ||||||||
The gain on the changes of fair value from January to September 2019 amounted to RMB360,243,027.80 | ||||||||
(EUR46,760,517.62). Key parameters of assumption included interest payment ratio, interest receipt ratio, | ||||||||
frequency of interest receipt, frequency of interest payment, USD interest rate curve, EUR interest rate | ||||||||
Changes in market price or product fair | curve, USD/EUR exchange rate curve etc. | |||||||
value of invested derivatives during the | (3) At the inception of hedging, KION Group AG, a subsidiary of the Company, conducted cash flow hedging | |||||||
reporting period, where specific methods | ||||||||
on forward currency contracts designated to the exchange rate risk of forecast sale, forecast purchase and | ||||||||
and | relevant | assumptions | and | firm commitment. From January to September 2019, the post-tax loss on the changes in fair value of the | ||||
parameters used shall be disclosed in the | ||||||||
hedging instruments recognized in other comprehensive income amounted to RMB30,425,911.20 | ||||||||
analysis of derivatives' fair value | (EUR3,924,000.00). The post-tax included in the profit or loss for the current period was | |||||||
RMB25,657,324.20 (EUR3,309,000.00). There was no material invalid hedge for the period. Key parameters | ||||||||
of assumption included contracted exchange rate, prevailing forward exchange rate, discount rate etc. | ||||||||
(4) KION Group AG, a subsidiary of the Company, conducted cash flow hedging on interest rate swap | ||||||||
contracts designated to the interest rate risk of the floating-rate borrowings for acquiring Dematic Group, | ||||||||
a subsidiary of the Company. From January to September 2019, the amount after tax loss on the changes | ||||||||
in fair value of the hedging instruments recognized in other comprehensive income amounted to | ||||||||
RMB50,841,666.60 (EUR6,557,000.00). No amount was taken to profit or loss during the current period. | ||||||||
There was no material invalid hedge for the period. Key parameters of assumption included contracted | ||||||||
sum of payment, forward interest rate, discount rate etc. | ||||||||
(5) On 22 June 2018, KION Group AG, a subsidiary of the Company, entered into interest rate swap | ||||||||
contracts to conduct fair value hedging designated on the interest rate risk of the fixed-ratemedium-term | ||||||||
notes with a face value of EUR100,000,000.00 issued this period. On 30 September 2019, the aforesaid | ||||||||
hedged items of the Group were presented as bonds payable in the financial statements of the Group with | ||||||||
a carrying value of RMB615,333,814.20 (EUR79,359,000.00). The carrying value of the adjustment of | ||||||||
changes in fair value of the hedged items taken to the hedged items was RMB121,277,185.80 | ||||||||
(EUR15,641,000.00). There was no material invalid hedge for the current period. Key parameters of | ||||||||
assumption included contracted sum of payment, forward interest rate, discount rate etc. | ||||||||
There was a high degree of transparency of the market changes of the subject linked to the structured | ||||||||
deposit business conducted by the Company with active transactions, whose fair values could be | ||||||||
determined based on the prices provided or obtained by intermediary financial institutions such as banks. | ||||||||
Explanations of any significant changes | ||||||||
in the Company's accounting policies | ||||||||
and specific accounting and auditing | No change | |||||||
principles on derivatives between the | ||||||||
reporting period and the last reporting |
period
For details, please refer to the "Independent opinion on the Company's relevant matters by independent | ||
Specific | opinions of independent | directors of Weichai Power Co., Ltd." disclosed by the Company on 31 August 2017 and the "independent |
Directors | on the derivatives investment | opinion on the launch of derivative trading business by a controlling subsidiary of the Company by |
and risk control of the Company | independent directors of Weichai Power Co., Ltd." disclosed by the Company on 22 August 2018 and 11 | |
January 2019. | ||
15 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
3.7. Meetings with researchers, public relations and interviews during the reportingperiod
✓Applicable | □ N/A | |||
Time | Way of reception | Type of guests | Basic information of research | |
3 July 2019 | On-site research | Corporation | For details, please refer to the Logbook | |
of Investor Relations Activities as of 3 July 2019 | ||||
disclosed by the Company on CNINFO website | ||||
9 July 2019 | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
Relations Activities as of 9 July 2019 | ||||
(I) disclosed by the Company on CNINFO website | ||||
9 July 2019 | On-site research | Corporation | For details, please refer to the Logbook | |
of Investor Relations Activities as of 9 July 2019 (II) | ||||
disclosed by the Company on CNINFO website | ||||
15 July 2019 | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
Relations Activities as of 15 July 2019 disclosed by | ||||
the Company on CNINFO website | ||||
2 September 2019 | On-site research | Corporation | For details, please refer to the Logbook | |
of Investor Relations Activities as of 2 September | ||||
2019 disclosed by the Company on CNINFO | ||||
website | ||||
3 September 2019 | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
Relations Activities as of 3 September 2019 | ||||
disclosed by the Company on CNINFO website | ||||
11 September | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
2019 | Relations Activities as of 11 September 2019 | |||
disclosed by the Company on CNINFO website | ||||
17 September | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
2019 | Relations Activities as of 17 September 2019 (I) | |||
disclosed by the Company on CNINFO website | ||||
17 September 2019 | On-site research | Corporation | For details, please refer to the Logbook | |
of Investor Relations Activities as of 17 September | ||||
2019 (II) disclosed by the Company on CNINFO | ||||
website | ||||
17 September 2019 | On-site research | Corporation | For details, please refer to the Logbook of Investor | |
Relations Activities as of 17 September 2019 (III) | ||||
disclosed by the Company on CNINFO | ||||
website |
3.8. External guarantees in violation ofregulations
- Applicable ✓N/A
The Company did not have external guarantees in violation of regulations during the reporting period.
3.9. Non‐operating funds of the listed company occupied by its controlling shareholders and their associates
- Applicable ✓N/A
There were no non-operating funds of the listed company occupied by its controlling shareholders and their associates during the reporting period.
16
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
SECTION 4 FINANCIAL STATEMENTS
4.1 Financial Statements 4.1.1 Consolidated balance sheet Prepared by: WEICHAI POWER CO., LTD.
30 September 2019
Unit: RMB | |||
Item | 30 September 2019 | 31 December 2018 | |
Current assets: | |||
Cash and cash equivalents | 35,656,958,528.19 | 38,209,952,558.31 | |
Settlement provisions | |||
Capital lent to other financial institutions | |||
Financial assets held for trading | 5,915,503,031.17 | 4,115,199,600.23 | |
Derivative financial assets | |||
Notes receivable | 24,848,850,968.78 | 18,056,440,277.52 | |
Accounts receivable | 19,295,903,607.45 | 13,155,363,494.20 | |
Receivable financing | 2,299,143,910.96 | 6,936,224,398.10 | |
Prepayments | 1,159,734,063.57 | 1,109,227,313.17 | |
Insurance receivables | |||
Reinsurance receivables | |||
Contract reserve of reinsurance receivables | |||
Other receivables | 1,022,970,240.33 | 1,087,148,524.03 | |
Incl.: Interests receivable | 133,708,638.09 | 23,747,780.97 | |
Dividends receivable | 16,081,381.20 | 1,608,696.50 | |
Purchase restituted financial assets | |||
Inventories | 21,186,964,785.77 | 20,674,287,133.47 | |
17
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Contract assets | 1,415,293,360.20 | 935,892,539.90 | |
Held-for-sale assets | 24,237,289.50 | 5,525,306.60 | |
Non-current assets due within one year | 2,603,842,347.00 | 2,127,858,173.40 | |
Other current assets | 1,599,308,448.41 | 1,692,343,618.45 | |
Total current assets | 117,028,710,581.33 | 108,105,462,937.38 | |
Non-current assets: | |||
Granted loans and advances | |||
Debt investments | |||
Available-for-sale financial assets | |||
Other debt investments | |||
Held-to-maturity investments | |||
Long-term receivables | 7,824,444,871.80 | 6,483,298,008.60 | |
Long-term equity investments | 4,686,360,335.24 | 4,463,591,313.13 | |
Investments in other equity instruments | 1,775,509,890.12 | 1,315,633,672.96 | |
Other non-current financial assets | 238,413,842.40 | 192,949,412.40 | |
Investment property | 566,170,937.52 | 593,459,307.58 | |
Fixed assets | 23,678,864,995.18 | 29,454,072,247.73 | |
Construction in progress | 5,523,692,606.42 | 2,848,101,239.62 | |
Productive biological assets | |||
Oil and gas assets | |||
Right-of-use assets | 9,190,483,078.33 | ||
Intangible assets | 22,799,609,031.32 | 23,299,455,749.37 | |
Development expenditure | 443,197,596.11 | 440,148,223.16 | |
Goodwill | 23,407,800,301.60 | 23,037,386,296.04 | |
Long-term prepaid expenses | 221,610,611.13 | 228,459,134.85 | |
Deferred tax assets | 5,829,503,167.00 | 4,458,451,001.33 | |
Other non-current assets | 512,232,652.55 | 355,896,630.03 | |
Total non-current assets | 106,697,893,916.72 | 97,170,902,236.80 | |
Total assets | 223,726,604,498.05 | 205,276,365,174.18 | |
Current liabilities: | |||
Short-term loans | 8,037,340,704.45 | 5,472,765,901.24 | |
Loans from central bank | |||
Capital borrowed from other financial | |||
institutions | |||
18 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Financial liabilities held for trading | 108,336,617.04 | 213,435,765.47 |
Derivative financial liabilities | ||
Notes payable | 22,117,720,837.24 | 15,925,016,265.08 |
Accounts payable | 28,872,740,086.94 | 30,869,354,934.85 |
Advance from customers | ||
Contract liabilities | 7,296,850,543.43 | 8,722,443,043.80 |
Selling financial assets of repurchase | ||
Absorbing deposit and interbank deposit | ||
Security trading commission | ||
Security underwriting fees | ||
Payroll payables | 5,074,653,405.17 | 5,184,666,613.19 |
Taxes payable | 2,378,597,714.24 | 2,506,794,642.37 |
Other payables | 6,938,507,825.18 | 6,502,173,092.72 |
Incl.: Interests payable | 66,804,543.21 | 101,293,322.06 |
Dividends payable | 1,199,786,998.30 | 295,006,756.48 |
Handling fees and commission payable | ||
Reinsurance payables | ||
Held-for-sale liabilities | ||
Non-current liabilities due within one year | 8,922,348,495.17 | 6,898,699,368.61 |
Other current liabilities | 6,133,084,348.48 | 6,121,799,350.16 |
Total current liabilities | 95,880,180,577.34 | 88,417,148,977.49 |
Non-current liabilities: | ||
Insurance contract reserve | ||
Long-term borrowings | 9,379,550,281.45 | 10,908,512,233.85 |
Bonds payable | 13,085,248,978.50 | 12,265,020,075.27 |
Incl: Preference shares | ||
Perpetual bonds | ||
Lease liabilities | 9,288,616,477.23 | |
Long-term payables | 3,520,442,033.45 | 9,895,419,535.20 |
Long-term payroll payable | 11,982,082,005.15 | 9,580,057,732.13 |
19
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Provisions | 335,972,154.00 | 364,979,471.20 | ||
Deferred income | 4,388,447,620.29 | 3,256,007,618.70 | ||
Deferred tax liabilities | 5,749,330,198.00 | 5,772,705,450.50 | ||
Other non-current liabilities | 3,353,562,696.96 | 2,557,186,306.15 | ||
Total non-current liabilities | 61,083,252,445.03 | 54,599,888,423.00 | ||
Total liabilities | 156,963,433,022.37 | 143,017,037,400.49 | ||
Equity holders' interest: | ||||
Share capital | 7,933,873,895.00 | 7,997,238,556.00 | ||
Other equity instruments | ||||
Incl: Preference shares | ||||
Perpetual bonds | ||||
Capital reserves | 107,758,719.83 | 113,699,432.76 | ||
Less: Treasury stock | 499,911,217.21 | |||
Other comprehensive income | -1,559,474,019.25 | -1,570,594,557.01 | ||
Special reserves | 185,567,940.07 | 155,056,854.10 | ||
Surplus reserves | 237,736,834.40 | 674,283,390.61 | ||
General risk provision | ||||
Retained earnings | 35,971,650,915.16 | 32,443,962,374.77 | ||
Total equity attributable to equity holders of parent | 42,877,114,285.21 | 39,313,734,834.02 | ||
company | ||||
Minority interests | 23,886,057,190.47 | 22,945,592,939.67 | ||
Total equity holders' interests | 66,763,171,475.68 | 62,259,327,773.69 | ||
Total liabilities and equity holders' interests | 223,726,604,498.05 | 205,276,365,174.18 | ||
Legal representative: Tan Xuguang | Principal in charge of accounting: Kwong Kwan Tong | Head of accounting department: Li Xia |
4.1.2 Balance sheet of the parent company
Unit: RMB | |||
Item | 30 September 2019 | 31 December 2018 | |
Current assets: | |||
Cash and cash equivalents | 16,263,709,387.37 | 19,192,409,975.78 | |
Financial assets held for trading | |||
Derivative financial assets | |||
Notes receivable | 22,059,588,642.72 | 21,026,407,121.15 | |
20 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Accounts receivable | 5,986,384,175.01 | 1,069,759,568.00 | |
Receivable financing | |||
Prepayments | 269,546,338.88 | 385,395,385.93 | |
Other receivables | 339,932,292.38 | 501,826,716.43 | |
Incl.: Interests receivable | 120,399,175.58 | 10,662,718.08 | |
Dividends receivable | 292,560,465.75 | ||
Inventories | 1,765,734,236.74 | 1,971,178,990.99 | |
Contract assets | |||
Held-for-sale assets | |||
Non-current assets due within one | |||
year | |||
Other current assets | 164,194,933.94 | ||
Total current assets | 46,684,895,073.10 | 44,311,172,692.22 | |
Non-current assets: | |||
Debt investments | |||
Available-for-sale financial assets | |||
Other debt investments | |||
Held-to-maturity investments | |||
Long-term receivables | |||
Long-term equity investments | 15,029,178,616.64 | 14,531,123,322.77 | |
Investments in other equity | 182,882,200.00 | 170,082,200.00 | |
instruments | |||
Other non-current financial assets | |||
Investment property | 1,115,733,669.95 | 1,372,826,553.46 | |
Fixed assets | 2,717,878,702.02 | 2,561,908,781.20 | |
Construction in progress | 2,150,731,689.53 | 922,996,632.68 | |
Productive biological assets | |||
Oil and gas assets | |||
Right-of-use assets | |||
Intangible assets | 514,695,628.81 | 447,349,640.19 | |
Development expenditure | |||
Goodwill | 341,073,643.76 | 341,073,643.76 | |
Long-term prepaid expenses | |||
Deferred tax assets | 1,100,763,670.02 | 949,075,808.16 | |
Other non-current assets | 2,266,184,774.12 | 2,266,184,774.12 | |
21 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Total non-current assets | 25,419,122,594.85 | 23,562,621,356.34 | |
Total assets | 72,104,017,667.95 | 67,873,794,048.56 | |
Current liabilities: | |||
Short-term loans | |||
Financial liabilities held for trading | |||
Derivative financial liabilities | |||
Notes payable | 12,289,762,938.36 | 11,756,416,668.11 | |
Accounts payable | 9,963,841,226.66 | 9,543,570,906.39 | |
Advance from customers | |||
Contract liabilities | 1,254,007,887.89 | 1,481,303,661.91 | |
Payroll payables | 907,340,147.47 | 916,685,488.49 | |
Taxes payable | 464,776,335.00 | 569,997,419.03 | |
Other payables | 3,014,960,849.93 | 1,783,055,862.95 | |
Incl.: Interests payable | |||
Dividends payable | 1,190,081,084.25 | ||
Held-for-sale liabilities | |||
Non-current liabilities due within | |||
one year | |||
Other current liabilities | 1,688,459,561.00 | 1,681,702,830.61 | |
Total current liabilities | 29,583,148,946.31 | 27,732,732,837.49 | |
Non-current liabilities: | |||
Long-term borrowings | |||
Bonds payable | |||
Incl: Preference shares | |||
Perpetual bonds | |||
Lease liabilities | |||
Long-term payables | 5,515,822.60 | 5,515,822.60 | |
Long-term payroll payable | 23,114,750.75 | 13,444,746.89 | |
Provisions | |||
Deferred income | 865,961,026.91 | 803,454,411.80 | |
Deferred tax liabilities | |||
Other non-current liabilities | |||
Total non-current liabilities | 894,591,600.26 | 822,414,981.29 | |
Total liabilities | 30,477,740,546.57 | 28,555,147,818.78 | |
22 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Equity holders' interest: | ||
Share capital | 7,933,873,895.00 | 7,997,238,556.00 |
Other equity instruments | ||
Incl: Preference shares | ||
Perpetual bonds | ||
Capital reserves | 695,679,231.81 | 1,084,612,950.62 |
Less: Treasury stock | 499,911,217.21 | |
Other comprehensive income | -78,324,424.61 | -47,258,130.00 |
Special reserves | 88,990,939.63 | 74,867,864.57 |
Surplus reserves | 2,871,365,767.98 | 2,811,115,722.19 |
Retained earnings | 30,114,691,711.57 | 27,897,980,483.61 |
Total equity holders' interests | 41,626,277,121.38 | 39,318,646,229.78 |
Total liabilities and equity holders' | 72,104,017,667.95 | 67,873,794,048.56 |
interests | ||
4.1.3 Consolidated income statement for the period
Unit: RMB | |||
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Total revenue | 35,845,761,369.43 | 35,918,554,341.41 | |
Including: Revenue | 35,845,761,369.43 | 35,918,554,341.41 | |
Interest income | |||
Premium income earned | |||
Handling fees and | |||
commission income | |||
2. Total cost of sales | 33,122,408,568.27 | 33,174,694,137.96 | |
Including: Cost of sales | 27,652,679,995.15 | 28,271,747,409.19 | |
Interest expenses | |||
Handling fees and | |||
commission expenses | |||
Payments on surrenders | |||
Claim expenses-net | |||
Provision for insurance | |||
liability reserve-net | |||
Policyholder dividends | |||
23 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Expenses for reinsurance | |||
Taxes and surcharges | 94,584,195.57 | 107,133,183.00 | |
Distribution and selling | 2,575,151,869.30 | 2,406,362,808.94 | |
expenses | |||
General and administrative | 1,612,209,191.87 | 1,413,473,075.20 | |
expenses | |||
Research & development | 1,188,033,797.19 | 933,033,239.02 | |
expenses | |||
Finance expenses | -250,480.80 | 42,944,422.61 | |
Incl.: Interest expenses | 326,993,576.74 | 312,109,006.81 | |
Interest income | 261,694,899.19 | 259,934,641.98 | |
Add: Other income | 50,300,268.90 | 50,232,431.23 | |
Investment income (losses are | 118,217,864.82 | 115,206,712.19 | |
indicated with "-" ) | |||
Including: Share of profit of | |||
associates and jointly- controlled | 18,793,734.03 | 22,724,984.03 | |
enterprises | |||
Income from | |||
derecognition of financial assets at | |||
amortised cost | |||
Foreign exchange gains (losses | |||
are indicated with "-" ) | |||
Gains on net exposure hedging | |||
(losses are indicated with "-" ) | |||
Gains on fair value changes | 101,930,133.65 | 1,118,814.71 | |
(losses are indicated with "-" ) | |||
Credit impairment losses | 45,038,064.85 | -57,120,636.32 | |
(losses are indicated with "-" ) | |||
Asset impairment losses (losses | -122,454,416.47 | -87,086,144.06 | |
are indicated with "-" ) | |||
Gain on disposal of assets | -11,303,114.10 | 3,319,788.02 | |
(losses are indicated with "-") | |||
3. Operating profit (losses are indicated | 2,905,081,602.81 | 2,769,531,169.22 | |
with "-") | |||
Add: Non-operating income | 83,742,907.07 | 47,220,342.61 | |
Less: Non-operating expenses | 21,788,428.13 | 49,560,954.89 | |
4. Total profits (total losses are indicated | 2,967,036,081.75 | 2,767,190,556.94 | |
with "-") | |||
24 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Less: Income tax expenses | 530,671,332.87 | 602,032,872.18 | ||
5. Net profits (net losses are indicated | 2,436,364,748.88 | 2,165,157,684.76 | ||
with "-") | ||||
(1) Breakdown by continuity of | ||||
operations | ||||
1. Net profit from continuing | 2,436,364,748.88 | 2,165,157,684.76 | ||
operations (net losses are with "-") | ||||
2. Net profit from discontinued | ||||
operations (net losses are indicated with | ||||
"-") | ||||
(2) Breakdown by attributable | ||||
interests | ||||
1. | Net profit attributable to | 1,770,753,119.83 | 1,608,704,023.13 | |
owners of the parent | ||||
2. | Minority interests | 665,611,629.05 | 556,453,661.63 | |
6. Net other comprehensive income after | -301,215,455.50 | 714,688,474.38 | ||
tax | ||||
Net other comprehensive income | ||||
attributable to shareholders of the | -113,756,305.74 | 226,066,827.42 | ||
parent after tax | ||||
(1) Those other comprehensive | ||||
income not to be reclassified into profit | -390,400,579.93 | 24,344,118.99 | ||
or loss | ||||
1. Changes arising from | -331,888,293.00 | 56,822,008.09 | ||
re- measurement of defined benefit plan | ||||
2. Other comprehensive | ||||
income not to be reclassified into profit | ||||
or loss using the equity method | ||||
3. Change in fair value of | -58,512,286.93 | -32,477,889.10 | ||
investment in other equity instruments | ||||
4.Change in fair value of | ||||
credit risk of enterprise | ||||
5. Others | ||||
(2) Those other comprehensive | ||||
income to be reclassified into profit or | 276,644,274.19 | 201,722,708.43 | ||
loss | ||||
1. Other comprehensive | ||||
income to be reclassified into profit or | -10,543.50 | 700,051.59 | ||
loss using the equity method | ||||
25 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
2. Change in fair value of
other debt investments
3. | Change in fair value of | ||||||
available- for-sale financial assets | |||||||
4. | Amount of financial assets | ||||||
to be reclassified and taken to other | |||||||
comprehensive income | |||||||
5. | Gains or losses on | ||||||
reclassification of held-to-maturity | |||||||
investments to available-for-sale | |||||||
financial assets | |||||||
6. | Provision for impairment | ||||||
of credit in respect of other debt | |||||||
investments | |||||||
7. | Cashflow hedging reserve | 6,581,873.94 | 47,606,056.57 | ||||
8. | Exchange differences on | 270,072,943.75 | 153,416,600.27 | ||||
foreign currency translation | |||||||
9. | Others | ||||||
Net other comprehensive income | -187,459,149.76 | 488,621,646.96 | |||||
attributable to minority interest after tax | |||||||
7. Total comprehensive income | 2,135,149,293.38 | 2,879,846,159.14 | |||||
Total comprehensive income | 1,656,996,814.09 | 1,834,770,850.55 | |||||
attributable to owners of the parent | |||||||
Total comprehensive income | 478,152,479.29 | 1,045,075,308.59 | |||||
attributable to minority interest | |||||||
8. Earnings per share: | |||||||
(1) Basic earnings per share | 0.22 | 0.20 | |||||
(2) Diluted earnings per share | 0.22 | 0.20 | |||||
Legal representative: Tan Xuguang | Principal in charge of accounting: Kwong Kwan Tong | Head of accounting department: Li Xia |
26
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
4.1.4 Income statement of the parent company for the period
Unit: RMB | |||
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Revenue | 7,837,054,703.48 | 7,891,905,166.94 | |
Less: Cost of sales | 5,911,395,396.07 | 6,103,819,546.13 | |
Taxes and surcharges | 31,067,942.67 | 34,830,776.94 | |
Distribution and selling | 105,839,466.28 | 212,608,174.26 | |
expenses | |||
General and administrative | 211,007,950.44 | 229,475,875.28 | |
expenses | |||
Research & development | 488,741,720.07 | 430,587,613.77 | |
expenses | |||
Finance expenses | -78,181,409.85 | -27,541,068.69 | |
Incl.: Interest expenses | |||
Interest income | 81,027,384.85 | 49,457,340.97 | |
Add: Other income | 4,420,759.78 | 23,759,729.17 | |
Investment income (losses | 22,832,149.38 | 26,029,385.01 | |
are indicated with "-" ) | |||
Including: Share of profit of | |||
associates and jointly- controlled | 22,832,129.93 | 25,621,385.01 | |
enterprises | |||
Income from | |||
derecognition of financial assets at | |||
amortised cost | |||
Gains on net exposure | |||
hedging (losses are indicated with "-" ) | |||
Gains on fair value changes | |||
(losses are indicated with "-" ) | |||
Credit impairment losses | -42,454,899.86 | -78,574,142.96 | |
(losses are indicated with "-" ) | |||
Asset impairment losses | 1,551,724.14 | ||
(losses are indicated with "-" ) | |||
Gain on disposal of assets | 3,425.85 | 55,802.62 | |
(losses are indicated with "-") | |||
27 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
2. Operating profit (losses are indicated | 1,151,985,072.95 | 880,946,747.23 | |
with "-" ) | |||
Add: Non-operating income | 7,164,489.37 | 1,455,474.63 | |
Less: Non-operating expenses | 10,045,469.94 | 1,845,343.17 | |
3. Total profits (total losses are | 1,149,104,092.38 | 880,556,878.69 | |
indicated with "-" ) | |||
Less: Income tax expenses | 120,519,652.67 | 123,254,334.21 | |
4. Net profits (net losses are indicated | 1,028,584,439.71 | 757,302,544.48 | |
with "-" ) | |||
(1) Net profit from continuing | |||
operations (net losses are indicated | 1,028,584,439.71 | 757,302,544.48 | |
with "-" ) | |||
(2) Net profit from discontinued | |||
operations (net losses are indicated | |||
with "-" ) | |||
5. Net other comprehensive income | -37,607,679.53 | -10,880,000.00 | |
after tax | |||
(1) Those other comprehensive | |||
income not to be reclassified into profit | -37,607,679.53 | -10,880,000.00 | |
or loss | |||
1. Changes arising from | |||
re- measurement of defined benefit | |||
plan | |||
2. Other comprehensive | |||
income not to be reclassified into profit | |||
or loss using the equity method | |||
3. Change in fair value of | -37,607,679.53 | -10,880,000.00 | |
investment in other equity instruments | |||
4.Change in fair value of | |||
credit risk of enterprise | |||
5. Others | |||
(2) Those other comprehensive | |||
income to be reclassified into profit or | |||
loss | |||
1. Other comprehensive | |||
income to be reclassified into profit or | |||
loss using the equity method | |||
2. Change in fair value of | |||
other debt investments | |||
28 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
3. | Change in fair value of | ||
available- for-sale financial assets | |||
4. | Amount of financial | ||
assets to be reclassified and taken to | |||
other comprehensive income | |||
5. | Gains or losses on | ||
reclassification of held-to-maturity | |||
investments to available-for-sale | |||
financial assets | |||
6. | Provision for impairment | ||
of credit in respect of other debt | |||
investments | |||
7. | Cashflow hedging | ||
reserve | |||
8. | Exchange differences on | ||
foreign currency translation | |||
9. | Others | ||
6.Total comprehensive income | 990,976,760.18 | 746,422,544.48 | |
7. Earnings per share: | |||
(1) Basic earnings per share | 0.13 | 0.09 | |
(2) Diluted earnings per share | 0.13 | 0.09 | |
4.1.5 Consolidated income statement from the beginning of the year to the end of the period
Unit: RMB | |||
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Total revenue | 126,708,257,889.91 | 118,182,461,250.29 | |
Including: Revenue | 126,708,257,889.91 | 118,182,461,250.29 | |
Interest income | |||
Premium income earned | |||
Handling fees and | |||
commission income | |||
2. Total cost of sales | 115,788,547,925.66 | 108,387,390,247.29 | |
Including: Cost of sales | 98,753,822,448.28 | 92,607,596,623.70 | |
Interest expenses | |||
Handling fees and | |||
commission expenses | |||
29 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Payments on surrenders | |||
Claim expenses-net | |||
Provision for insurance | |||
liability reserve-net | |||
Policyholder dividends | |||
Expenses for reinsurance | |||
Taxes and surcharges | 469,604,608.84 | 506,427,540.54 | |
Distribution and selling | 7,944,888,246.92 | 7,879,958,285.22 | |
expenses | |||
General and administrative | 4,893,364,897.77 | 4,609,652,169.03 | |
expenses | |||
Research & development | 3,585,775,633.45 | 2,684,165,691.90 | |
expenses | |||
Finance expenses | 141,092,090.41 | 99,589,936.90 | |
Incl.: Interest expenses | 923,866,580.60 | 924,256,520.80 | |
Interest income | 741,359,528.23 | 823,002,533.27 | |
Add: Other income | 140,420,761.47 | 108,571,869.00 | |
Investment income (losses are | 490,916,366.16 | 336,382,718.03 | |
indicated with "-" ) | |||
Including: Share of profit of | |||
associates and jointly- controlled | 142,518,491.95 | 158,958,028.09 | |
enterprises | |||
Income from | |||
derecognition of financial assets at | |||
amortised cost | |||
Foreign exchange gains (losses | |||
are indicated with "-" ) | |||
Gains on net exposure hedging | |||
(losses are indicated with "-" ) | |||
Gains on fair value changes | 127,437,168.43 | 27,992,650.96 | |
(losses are indicated with "-" ) | |||
Credit impairment losses | -139,139,191.29 | -162,367,911.14 | |
(losses are indicated with "-" ) | |||
Asset impairment losses (losses | -389,707,627.13 | -266,412,361.68 | |
are indicated with "-" ) | |||
Gain on disposal of assets | 32,668,579.14 | 7,505,947.50 | |
(losses are indicated with "-") | |||
3. Operating profit (losses are indicated | 11,182,306,021.03 | 9,846,743,915.67 | |
30 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
with "-") | ||||
Add: Non-operating income | 187,552,741.54 | 189,411,314.42 | ||
Less: Non-operating expenses | 52,180,254.24 | 102,087,051.70 | ||
4. Total profits (total losses are indicated | 11,317,678,508.33 | 9,934,068,178.39 | ||
with "-") | ||||
Less: Income tax expenses | 1,988,493,453.31 | 1,886,681,408.73 | ||
5. Net profits (net losses are indicated | 9,329,185,055.02 | 8,047,386,769.66 | ||
with "-") | ||||
(1) Breakdown by continuity of | ||||
operations | ||||
1. Net profit from continuing | 9,329,185,055.02 | 8,047,386,769.66 | ||
operations (net losses are with "-") | ||||
2. Net profit from discontinued | ||||
operations (net losses are indicated with | ||||
"-") | ||||
(2) Breakdown by attributable | ||||
interests | ||||
1. | Net profit attributable to | 7,058,241,497.72 | 6,001,291,382.62 | |
owners of the parent | ||||
2. | Minority interests | 2,270,943,557.30 | 2,046,095,387.04 | |
6. Net other comprehensive income after | -521,033,271.70 | 549,913,645.06 | ||
tax | ||||
Net other comprehensive income | ||||
attributable to shareholders of the | 24,532,358.19 | 184,711,938.33 | ||
parent after tax | ||||
(1) Those other comprehensive | ||||
income not to be reclassified into profit | -346,138,875.91 | -25,331,243.37 | ||
or loss | ||||
1. Changes arising from | -691,718,277.29 | 74,184,061.94 | ||
re- measurement of defined benefit plan | ||||
2. Other comprehensive | ||||
income not to be reclassified into profit | -104,627.70 | -1,135,343.38 | ||
or loss using the equity method | ||||
3. Change in fair value of | 345,684,029.08 | -98,379,961.93 | ||
investment in other equity instruments | ||||
4.Change in fair value of | ||||
credit risk of enterprise | ||||
5. Others | ||||
31 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
(2) Those other comprehensive | |||
income to be reclassified into profit or | 370,671,234.10 | 210,043,181.70 | |
loss | |||
1. Other comprehensive | |||
income to be reclassified into profit or | -4,372,006.89 | 1,702,993.41 | |
loss using the equity method | |||
2. | Change in fair value of | ||
other debt investments | |||
3. | Change in fair value of | ||
available- for-sale financial assets | |||
4. | Amount of financial assets | ||
to be reclassified and taken to other | |||
comprehensive income | |||
5. | Gains or losses on | ||
reclassification of held-to-maturity | |||
investments to available-for-sale | |||
financial assets | |||
6. | Provision for impairment | ||
of credit in respect of other debt | |||
investments | |||
7. | Cashflow hedging reserve | 42,048,757.57 | 18,474,636.46 |
8. | Exchange differences on | 332,994,483.42 | 189,865,551.83 |
foreign currency translation | |||
9. | Others | ||
Net other comprehensive income | -545,565,629.89 | 365,201,706.73 | |
attributable to minority interest after tax | |||
7. Total comprehensive income | 8,808,151,783.32 | 8,597,300,414.72 | |
Total comprehensive income | 7,082,773,855.91 | 6,186,003,320.95 | |
attributable to owners of the parent | |||
Total comprehensive income | 1,725,377,927.41 | 2,411,297,093.77 | |
attributable to minority interest | |||
8. Earnings per share: | |||
(1) Basic earnings per share | 0.89 | 0.75 | |
(2) Diluted earnings per share | 0.89 | 0.75 | |
Legal representative: Tan Xuguang | Principal in charge of accounting: Kwong Kwan Tong | Head of accounting department: Li Xia |
32
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
4.1.6 Income statement of the parent company from the beginning of the year to the end of the period
Unit: RMB | |||
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Revenue | 32,245,617,914.49 | 28,697,270,964.24 | |
Less: Cost of sales | 23,510,534,234.28 | 20,883,118,302.29 | |
Taxes and surcharges | 184,122,428.73 | 220,199,143.72 | |
Distribution and selling | 793,823,881.21 | 1,014,123,085.41 | |
expenses | |||
General and administrative | 756,452,928.69 | 905,084,497.07 | |
expenses | |||
Research & development | 1,552,070,300.52 | 1,098,968,591.90 | |
expenses | |||
Finance expenses | -189,143,912.49 | -121,672,615.15 | |
Incl.: Interest expenses | |||
Interest income | 198,336,573.48 | 151,438,159.31 | |
Add: Other income | 43,907,987.73 | 49,905,181.93 | |
Investment income (losses | 633,717,968.81 | 600,920,771.09 | |
are indicated with "-" ) | |||
Including: Share of profit of | |||
associates and jointly- controlled | 82,969,721.41 | 78,915,922.00 | |
enterprises | |||
Income from | |||
derecognition of financial assets at | |||
amortised cost | |||
Gains on net exposure | |||
hedging (losses are indicated with "-" ) | |||
Gains on fair value changes | |||
(losses are indicated with "-" ) | |||
Credit impairment losses | -76,959,977.28 | -83,582,542.57 | |
(losses are indicated with "-" ) | |||
Asset impairment losses | -5,423,751.68 | 70,865.72 | |
(losses are indicated with "-" ) | |||
Gain on disposal of assets | -3,497,073.62 | 1,496,613.13 | |
(losses are indicated with "-") | |||
2. Operating profit (losses are indicated | 6,229,503,207.51 | 5,266,260,848.30 | |
with "-" ) | |||
33 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Add: Non-operating income | 13,152,720.65 | 4,681,581.29 | |
Less: Non-operating expenses | 10,278,518.52 | 4,436,871.14 | |
3. Total profits (total losses are | 6,232,377,409.64 | 5,266,505,558.45 | |
indicated with "-" ) | |||
Less: Income tax expenses | 737,221,035.08 | 723,050,560.26 | |
4. Net profits (net losses are indicated | 5,495,156,374.56 | 4,543,454,998.19 | |
with "-" ) | |||
(1) Net profit from continuing | |||
operations (net losses are indicated | 5,495,156,374.56 | 4,543,454,998.19 | |
with "-" ) | |||
(2) Net profit from discontinued | |||
operations (net losses are indicated | |||
with "-" ) | |||
5. Net other comprehensive income | -31,066,294.61 | -63,920,000.00 | |
after tax | |||
(1) Those other comprehensive | |||
income not to be reclassified into profit | -31,066,294.61 | -63,920,000.00 | |
or loss | |||
1. Changes arising from | |||
re- measurement of defined benefit | |||
plan | |||
2. Other comprehensive | |||
income not to be reclassified into profit | |||
or loss using the equity method | |||
3. Change in fair value of | -31,066,294.61 | -63,920,000.00 | |
investment in other equity instruments | |||
4.Change in fair value of | |||
credit risk of enterprise | |||
5. Others | |||
(2) Those other comprehensive | |||
income to be reclassified into profit or | |||
loss | |||
1. Other comprehensive | |||
income to be reclassified into profit or | |||
loss using the equity method | |||
2. Change in fair value of | |||
other debt investments | |||
3. Change in fair value of | |||
available- for-sale financial assets | |||
34 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
4. | Amount of financial | ||
assets to be reclassified and taken to | |||
other comprehensive income | |||
5. | Gains or losses on | ||
reclassification of held-to-maturity | |||
investments to available-for-sale | |||
financial assets | |||
6. | Provision for impairment | ||
of credit in respect of other debt | |||
investments | |||
7. | Cashflow hedging | ||
reserve | |||
8. | Exchange differences on | ||
foreign currency translation | |||
9. | Others | ||
6.Total comprehensive income | 5,464,090,079.95 | 4,479,534,998.19 | |
7. Earnings per share: | |||
(1) Basic earnings per share | 0.69 | 0.56 | |
(2) Diluted earnings per share | 0.69 | 0.56 | |
4.1.7 Consolidated cash flow statement from the beginning of the year to the end of the period
Unit: RMB
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Cash flows from operating activities: | |||
Cash received from sale of goods | 103,365,771,888.76 | 98,478,414,768.41 | |
and provision of services | |||
Net increase in customers' | |||
deposit and interbank deposit | |||
Net increase in loans from central | |||
bank | |||
Net increase in capital borrowed | |||
from other financial institutions | |||
Cash received from premiums of | |||
original insurance contract | |||
Net cash received from | |||
reinsurance | |||
Net increase in policyholder | |||
35 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
deposit and investment | |||
Cash received from interests, | |||
handling fees and commission | |||
Net increase in capital borrowed | |||
Net increase in cash received | |||
under repurchasing | |||
Net cash received from entrusted | |||
sale and purchase of securities | |||
Refund of taxes | 431,071,227.98 | 336,021,747.26 | |
Other cash received relating to | 1,359,316,270.01 | 1,198,645,909.29 | |
operating activities | |||
Subtotal of cash inflows from operating | 105,156,159,386.75 | 100,013,082,424.96 | |
activities | |||
Cash paid for purchase of goods | 68,887,947,414.05 | 59,955,375,413.50 | |
and receiving of services | |||
Net increase in customers' loans | |||
and advances | |||
Net increase in fund deposited in | |||
central bank and interbank | |||
Cash paid for claims under original | |||
insurance contract | |||
Net increase in capital lent to | |||
other financial institutions | |||
Cash paid for interests, handling | |||
fees and commission | |||
Cash paid for dividends to | |||
policyholders | |||
Cash paid to and for staff | 19,336,878,827.95 | 17,710,869,690.45 | |
Cash paid for all types of taxes | 5,405,841,153.49 | 5,962,371,644.12 | |
Other cash paid relating to | 7,510,780,761.45 | 9,893,013,782.77 | |
operating activities | |||
Subtotal of cash outflows from | 101,141,448,156.94 | 93,521,630,530.84 | |
operating activities | |||
Net cash flows from operating activities | 4,014,711,229.81 | 6,491,451,894.12 | |
2. Cash flows from investing activities: | |||
Cash received from disposal of | 12,067,876,585.00 | 6,751,417,095.00 | |
investments | |||
Cash from return on investments | 260,730,539.00 | 241,223,844.71 | |
36 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Net cash received from disposal of | |||
fixed assets, intangible assets and other | 37,066,997.04 | 28,952,426.34 | |
long-term assets | |||
Net cash received from disposal of | 108,601,950.68 | ||
subsidiaries and other business units | |||
Other cash received relating to | 6,977,595.59 | ||
investing activities | |||
Subtotal of cash inflows from investing | 12,372,651,716.63 | 7,130,195,316.73 | |
activities | |||
Cash paid for acquisition and | |||
construction of fixed assets, intangible | 3,821,141,210.56 | 2,468,949,254.91 | |
assets and other long-term assets | |||
Cash paid for investment | 15,229,731,304.72 | 9,191,693,958.66 | |
Net increase in pledged loans | |||
Net cash paid for acquisition of | 12,895,827.70 | ||
subsidiaries and other business units | |||
Other cash paid relating to | 9,522,144.00 | 23,347,049.90 | |
investing activities | |||
Subtotal of cash outflows from | 19,060,394,659.28 | 11,696,886,091.17 | |
investing activities | |||
Net cash flows from investing activities | -6,687,742,942.65 | -4,566,690,774.44 | |
3. Cash flows from financing activities: | |||
Cash received from capital | 102,611,586.97 | 11,439,720.00 | |
contribution | |||
Including: Cash received by | |||
subsidiaries from capital contribution | 102,611,586.97 | 11,439,720.00 | |
of minority shareholders | |||
Cash received from borrowings | 18,047,332,528.00 | 13,122,384,736.04 | |
Other cash received relating to | 59,075,529.00 | 78,147,926.70 | |
financing activities | |||
Subtotal of cash inflows from financing | 18,209,019,643.97 | 13,211,972,382.74 | |
activities | |||
Cash paid for repayment of | 16,354,093,409.26 | 11,610,709,580.69 | |
borrowings | |||
Cash paid for distribution of | 3,777,215,336.00 | 3,454,644,094.53 | |
dividends, profit or for interest | |||
Including: Dividends and profit | 1,032,472,200.75 | 844,579,713.84 | |
distributed to minority shareholders by | |||
37 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report) | ||||
subsidiaries | ||||
Other cash paid relating to | 790,570,645.13 | 1,248,776,985.82 | ||
financing activities | ||||
Subtotal of cash outflows from | 20,921,879,390.39 | 16,314,130,661.04 | ||
financing activities | ||||
Net cash flows from financing activities | -2,712,859,746.42 | -3,102,158,278.30 | ||
4. Effects of changes in exchange rates | 15,957,498.05 | 74,603,219.31 | ||
on cash and cash equivalents | ||||
5. Net increase in cash and cash | -5,369,933,961.21 | -1,102,793,939.31 | ||
equivalents | ||||
Add: balances of cash and cash | ||||
equivalents as at the beginning of the | 34,379,938,275.41 | 26,254,590,256.11 | ||
period | ||||
6. Balances of cash and cash | 29,010,004,314.20 | 25,151,796,316.80 | ||
equivalents as at the end of the period | ||||
4.1.8 Cash flow statement of the parent company from the beginning of the year to the end of the period
Unit: RMB
Item | Amount for current Period | Amount for corresponding period of last | |
year | |||
1. Cash flows from operating activities: | |||
Cash received from sale of goods | 29,482,934,239.44 | 30,102,537,478.93 | |
and provision of services | |||
Refund of taxes | |||
Other cash received relating to | 678,703,846.34 | 592,721,607.97 | |
operating activities | |||
Subtotal of cash inflows from operating | 30,161,638,085.78 | 30,695,259,086.90 | |
activities | |||
Cash paid for purchase of goods | 25,156,703,731.77 | 22,336,341,263.50 | |
and receiving of services | |||
Cash paid to and for staff | 1,479,339,704.86 | 1,244,789,691.89 | |
Cash paid for all types of taxes | 2,334,820,936.94 | 2,633,368,276.89 | |
Other cash paid relating to | 882,242,843.59 | 763,183,367.03 | |
operating activities | |||
Subtotal of cash outflows from | 29,853,107,217.16 | 26,977,682,599.31 | |
operating activities | |||
Net cash flows from operating | 308,530,868.62 | 3,717,576,487.59 | |
38 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
activities | |||
2. Cash flows from investing activities: | |||
Cash received from disposal of | 876,585.00 | 251,615,695.00 | |
investments | |||
Cash from return on investments | 703,710,355.37 | 609,243,568.84 | |
Net cash received from disposal of | |||
fixed assets, intangible assets and other | 8,655,114.00 | 96,245.71 | |
long-term assets | |||
Net cash received from disposal of | |||
subsidiaries and other business units | |||
Other cash received relating to | 241,783,376.18 | 180,422.79 | |
investing activities | |||
Subtotal of cash inflows from investing | 955,025,430.55 | 861,135,932.34 | |
activities | |||
Cash paid for acquisition and | |||
construction of fixed assets, intangible | 1,564,837,260.58 | 547,979,797.33 | |
assets and other long-term assets | |||
Cash paid for investment | 446,269,523.56 | 1,714,044,580.00 | |
Net cash paid for acquisition of | |||
subsidiaries and other business units | |||
Other cash paid relating to | 992,479,092.93 | ||
investing activities | |||
Subtotal of cash outflows from | 2,011,106,784.14 | 3,254,503,470.26 | |
investing activities | |||
Net cash flows from investing activities | -1,056,081,353.59 | -2,393,367,537.92 | |
3. Cash flows from financing activities: | |||
Cash received from capital | |||
contribution | |||
Cash received from borrowings | |||
Other cash received relating to | |||
financing activities | |||
Subtotal of cash inflows from financing | |||
activities | |||
Cash paid for repayment of | |||
borrowings | |||
Cash paid for distribution of | 2,222,957,768.28 | 2,061,263,942.36 | |
dividends, profit or for interest | |||
Other cash paid relating to | |||
39 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
financing activities | ||
Subtotal of cash outflows from | 2,222,957,768.28 | 2,061,263,942.36 |
financing activities | ||
Net cash flows from financing activities | -2,222,957,768.28 | -2,061,263,942.36 |
4. Effects of changes in exchange rates | -9,550.02 | 54,160.02 |
on cash and cash equivalents | ||
5. Net increase in cash and cash | -2,970,517,803.27 | -737,000,832.67 |
equivalents | ||
Add: balances of cash and cash | ||
equivalents as at the beginning of the | 19,074,554,698.78 | 14,138,495,877.47 |
period | ||
6. Balances of cash and cash | 16,104,036,895.51 | 13,401,495,044.80 |
equivalents as at the end of the period | ||
4.2 Descriptions of adjustment of financial statements
4.2.1 Adjustment to the opening financial statements for the year of implementation of the New Standard on Financial Instruments, New Standard on Income and New Standard on Lease in 2019
- Applicable □ Not applicable Consolidated balance sheet
Unit: RMB
Item | 31 December 2018 | 1 January 2019 | Adjustment |
Current assets: | |||
Cash and cash | 38,209,952,558.31 | 38,209,952,558.31 | |
equivalents | |||
Settlement provisions | |||
Capital lent to other | |||
financial institutions | |||
Financial assets held for | 4,115,199,600.23 | 4,115,199,600.23 | |
trading | |||
Financial assets at fair | |||
value through profit or loss | |||
Derivative financial | |||
assets | |||
Notes receivable | 18,056,440,277.52 | 18,056,440,277.52 | |
Accounts receivable | 13,155,363,494.20 | 13,155,363,494.20 | |
Receivable financing | 6,936,224,398.10 | 6,936,224,398.10 | |
Prepayments | 1,109,227,313.17 | 1,109,227,313.17 | |
40
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Insurance receivables | ||||
Reinsurance receivables | ||||
Contract reserve of | ||||
reinsurance receivables | ||||
Other receivables | 1,087,148,524.03 | 1,087,148,524.03 | ||
Incl.: Interests | 23,747,780.97 | 23,747,780.97 | ||
receivable | ||||
Dividends | 1,608,696.50 | 1,608,696.50 | ||
receivable | ||||
Purchase restituted | ||||
financial assets | ||||
Inventories | 20,674,287,133.47 | 20,674,287,133.47 | ||
Contract assets | 935,892,539.90 | 935,892,539.90 | ||
Held-for-sale assets | 5,525,306.60 | 5,525,306.60 | ||
Non-current assets due | 2,127,858,173.40 | 2,127,858,173.40 | ||
within one year | ||||
Other current assets | 1,692,343,618.45 | 1,692,343,618.45 | ||
Total current assets | 108,105,462,937.38 | 108,105,462,937.38 | ||
Non-current assets: | ||||
Granted loans and | ||||
advances | ||||
Debt investments | ||||
Available-for-sale | ||||
financial assets | ||||
Other debt investments | ||||
Held-to-maturity | ||||
investments | ||||
Long-term receivables | 6,483,298,008.60 | 6,483,298,008.60 | ||
Long-term equity | 4,463,591,313.13 | 4,463,591,313.13 | ||
investments | ||||
Investments in other | 1,315,633,672.96 | 1,315,633,672.96 | ||
equity instruments | ||||
Other non-current | 192,949,412.40 | 192,949,412.40 | ||
financial assets | ||||
Investment property | 593,459,307.58 | 593,459,307.58 | ||
Fixed assets | 29,454,072,247.73 | 21,284,886,674.72 | -8,169,185,573.01 | |
Construction in progress | 2,848,101,239.62 | 2,848,101,239.62 | ||
41 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Productive biological | ||||
assets | ||||
Oil and gas assets | ||||
Right-of-use assets | 10,847,665,335.76 | 10,847,665,335.76 | ||
Intangible assets | 23,299,455,749.37 | 23,299,455,749.37 | ||
Development | 440,148,223.16 | 440,148,223.16 | ||
expenditure | ||||
Goodwill | 23,037,386,296.04 | 23,037,386,296.04 | ||
Long-term prepaid | 228,459,134.85 | 228,459,134.85 | ||
expenses | ||||
Deferred tax assets | 4,458,451,001.33 | 4,628,227,385.60 | 169,776,384.27 | |
Other non-current | 355,896,630.03 | 355,896,630.03 | ||
assets | ||||
Total non-current assets | 97,170,902,236.80 | 100,019,158,383.82 | 2,848,256,147.02 | |
Total assets | 205,276,365,174.18 | 208,124,621,321.20 | 2,848,256,147.02 | |
Current liabilities: | ||||
Short-term loans | 5,472,765,901.24 | 5,472,765,901.24 | ||
Loans from central bank | ||||
Capital borrowed from | ||||
other financial institutions | ||||
Financial liabilities held | 213,435,765.47 | 213,435,765.47 | ||
for trading | ||||
Financial liabilities at fair | ||||
value through profit or loss | ||||
Derivative financial | ||||
liabilities | ||||
Notes payable | 15,925,016,265.08 | 15,925,016,265.08 | ||
Accounts payable | 30,869,354,934.85 | 30,869,354,934.85 | ||
Advance from | ||||
customers | ||||
Contract liabilities | 8,722,443,043.80 | 8,722,443,043.80 | ||
Selling financial assets | ||||
of repurchase | ||||
Absorbing deposit and | ||||
interbank deposit | ||||
Security trading | ||||
commission | ||||
42 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Security underwriting | ||||
fees | ||||
Payroll payables | 5,184,666,613.19 | 5,184,666,613.19 | ||
Taxes payable | 2,506,794,642.37 | 2,506,794,642.37 | ||
Other payables | 6,502,173,092.72 | 6,502,173,092.72 | ||
Incl.: Interests | 101,293,322.06 | 101,293,322.06 | ||
payable | ||||
Dividends | 295,006,756.48 | 295,006,756.48 | ||
payable | ||||
Handling fees and | ||||
commission payable | ||||
Reinsurance payables | ||||
Held-for-sale liabilities | ||||
Non-current liabilities | 6,898,699,368.61 | 7,565,337,793.50 | 666,638,424.89 | |
due within one year | ||||
Other current liabilities | 6,121,799,350.16 | 6,121,799,350.16 | ||
Total current liabilities | 88,417,148,977.49 | 89,083,787,402.38 | 666,638,424.89 | |
Non-current liabilities: | ||||
Insurance contract | ||||
reserve | ||||
Long-term borrowings | 10,908,512,233.85 | 10,908,512,233.85 | ||
Bonds payable | 12,265,020,075.27 | 12,265,020,075.27 | ||
Incl: Preference | ||||
shares | ||||
Perpetual | ||||
bonds | ||||
Lease liabilities | 11,889,548,623.68 | 11,889,548,623.68 | ||
Long-term payables | 9,895,419,535.20 | 360,915,002.28 | -9,534,504,532.92 | |
Long-term payroll | 9,580,057,732.13 | 9,580,057,732.13 | ||
payable | ||||
Provisions | 364,979,471.20 | 364,979,471.20 | ||
Deferred income | 3,256,007,618.70 | 3,256,007,618.70 | ||
Deferred tax liabilities | 5,772,705,450.50 | 5,893,450,286.14 | 120,744,835.64 | |
Other non-current | 2,557,186,306.15 | 2,557,186,306.15 | ||
liabilities | ||||
Total non-current liabilities | 54,599,888,423.00 | 57,075,677,349.40 | 2,475,788,926.40 | |
43 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Total liabilities | 143,017,037,400.49 | 146,159,464,751.78 | 3,142,427,351.29 |
Equity holders' interest: | |||
Share capital | 7,997,238,556.00 | 7,997,238,556.00 | |
Other equity | |||
instruments | |||
Incl: Preference | |||
shares | |||
Perpetual | |||
bonds | |||
Capital reserves | 113,699,432.76 | 113,699,432.76 | |
Less: Treasury stock | 499,911,217.21 | 499,911,217.21 | |
Other comprehensive | -1,570,594,557.01 | -1,584,006,377.44 | -13,411,820.43 |
income | |||
Special reserves | 155,056,854.10 | 155,056,854.10 | |
Surplus reserves | 674,283,390.61 | 674,283,390.61 | |
General risk provision | |||
Retained earnings | 32,443,962,374.77 | 32,324,975,192.29 | -118,987,182.48 |
Total equity attributable to | |||
equity holders of parent | 39,313,734,834.02 | 39,181,335,831.11 | -132,399,002.91 |
company | |||
Minority interests | 22,945,592,939.67 | 22,783,820,738.31 | -161,772,201.36 |
Total equity holders' | 62,259,327,773.69 | 61,965,156,569.42 | -294,171,204.27 |
interests | |||
Total liabilities and equity | 205,276,365,174.18 | 208,124,621,321.20 | 2,848,256,147.02 |
holders' interests | |||
Descriptions of adjustments made:
With effect from 1 January 2019 (the "date of first adoption"), the Group has adopted the Accounting Standards for Business Enterprises No. 21 - Lease (the "New Standard on Lease"; the standard on lease before amendment is referred as the "Original Standard on Lease") amended by MOF in 2018.
For the contracts already existed before the date of first adoption, the Group chose not to re-assess whether they were of lease or included lease on the date of first adoption.
For the contracts signed or changed after the date of first adoption, the Group has assessed whether the contracts were of lease or included lease according to the definitions stated in the New Standard on Lease. The definitions stated in the New Standard on Lease do not have major impacts on the scope of the Group's contracts fulfilling the definitions of lease.
The Group as lessee
The Group adjusted the beginning amount of the retained earnings and other relevant items on financial statements on the first date of adoption when the New Standard on Lease was first adopted based on the cumulative impact of first adoption of the New Standard on Lease without adjusting the information for the comparable period.
For the operating leases before the first date of adoption, the Group adopted one or more than one simplified treatments as follows
44
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
based on each lease option:
- Leases to be completed within 12 months of the first date of adoption shall be treated as short-term leases;
- When measuring the lease liabilities, a single discount rate is adopted for leases with similar characteristics;
- The measurement of right-of-use assets does not include initial direct cost;
- For the leases with extension option or termination option, the Group determines the lease term based on the exercise of options in practice prior to the first date of adoption and other latest developments;
-
The Group assesses whether the contracts with leases are onerous before the first date of adoption according to "Accounting Standard for Business Enterprises No.13 - Contingencies" and adjusts the right-of-use assets based on the provision for loss made in the
balance sheet before the first date of adoption as an alternative to performing an impairment review on the right-of-use assets; - For the change of the lease before the first date of adoption, accounting treatments shall be in accordance with the final arrangements of the change of the lease.
For the operating leases before the first date of adoption, the Group assumed that the New Standard on Lease is adopted to measure right-of-use assets once the lease term commenced, with the carrying amount discounted using the incremental borrowing rate at the first date of adoption.
For the finance leases before the first date of adoption, the Group measured the right-of-use assets and lease liabilities at the original carrying amounts of the assets under finance lease and the finance lease payable respectively on the first date of adoption.
On the first date of adoption, the Group made the adjustments as follows in connection with the adoption of the New Standard on Lease:
The Group recognized lease liabilities of RMB17,418,755,002.55 and right-of-use assets of RMB10,847,665,335.76 on 1 January 2019. For the operating leases before the first date of adoption, the Group measures the lease liabilities according to the present value discounted at the incremental borrowing rate on the first date of adoption, where the range of discount rate of the incremental borrowing is between 0%-15%. Based on each lease option, the Group measured right-of-use assets according to the assumption that the carrying amount under this standard was adopted once the lease term commenced.
The reconciliation information of the lease liabilities recognized by the Group on 1 January 2019 and the major operating lease commitments disclosed in the 2018 annual financial statements is as follows:
Unit: RMB | ||
Item | 1 January 2019 | |
1. Operating lease commitments as at 31 December 2018 | 3,595,922,598.51 | |
Lease liabilities according to the present value discounted at the incremental | 3,120,052,462.73 | |
borrowing rate on the first date of adoption | ||
Less: Recognized exemption - short-term lease | 98,369,947.08 | |
Lease liabilities recognized for adopting the New Standard on Lease and relevant | 3,021,682,515.65 | |
to the original operating leases | ||
Add: Finance lease payable as at 31 December 2018 | 14,397,072,486.90 | |
2. Lease liabilities as at 1 January 2019 | 17,418,755,002.55 | |
Presented as: | ||
Non-current liabilities due within one year | 5,529,206,378.87 | |
Lease liabilities | 11,889,548,623.68 | |
45
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
The composition of the carrying amount of the right-of-use assets as at 1 January 2019 is as follows:
Unit: RMB | ||
Item | 1 January 2019 | |
Right-of-use assets: | ||
Right-of-use assets in respect of the operating leases recognized before the first | 2,678,479,762.75 | |
date of adoption | ||
Assets under financial lease recognized under the Original Standard on Lease | 8,169,185,573.01 | |
Total: | 10,847,665,335.76 | |
The Group as lessor
The Group did not make any transitional adjustment for leases in which the Group is a lessor and such leases were accounted for according to the New Standard on Lease since the first date of adoption.
On the first date of adoption, for the renewed leases for the existing leased properties which the Group has signed but whose lease period has not commenced, they will be deemed as a change with respect to the existing lease contracts on the first date of adoption. Such change had no impact on the balance sheet as of 1 January 2019. However, since 1 January 2019, the lease receivables after the change in the lease terms after the change will be recognized as rental income on a straight-line basis.
Since the first date of adoption, the Group allocates the consideration in respect of the contract in accordance with the principles of transaction price allocation described in Accounting Standard for Business Enterprises No. 14 - Revenue. The change had no material impact on the financial statements of the period.
Sales and leaseback transactions
For the sales and leaseback transactions which existed before the first date of adoption, the Group did not reassess, on the first date of adoption, whether the transfer of assets complies with the requirements on accounting treatment for sales pursuant to the Accounting Standard for Business Enterprises No. 14 - Revenue.
For the transactions after the first date of adoption, the Group, as a seller and lessee, applied the requirements under Accounting Standard for Business Enterprises No. 14 - Revenue to assess and determine whether asset transfer in a sales and leaseback transaction constitute sales. If the transfer of assets in the sales and leaseback transaction does not constitute a sale, the Group would determine the proceeds as financial liabilities.
Balance sheet of the parent company
Unit: RMB
Item | 31 December 2018 | 1 January 2019 | Adjustment |
Current assets:
Cash and cash
equivalents
19,192,409,975.7819,192,409,975.78
Financial assets held for trading
Financial assets at fair value through profit or loss
46
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Derivative financial | ||||
assets | ||||
Notes receivable | 21,026,407,121.15 | 21,026,407,121.15 | ||
Accounts receivable | 1,069,759,568.00 | 1,069,759,568.00 | ||
Receivable financing | ||||
Prepayments | 385,395,385.93 | 385,395,385.93 | ||
Other receivables | 501,826,716.43 | 501,826,716.43 | ||
Incl.: Interests | 10,662,718.08 | 10,662,718.08 | ||
receivable | ||||
Dividends | 292,560,465.75 | 292,560,465.75 | ||
receivable | ||||
Inventories | 1,971,178,990.99 | 1,971,178,990.99 | ||
Contract assets | ||||
Held-for-sale assets | ||||
Non-current assets due | ||||
within one year | ||||
Other current assets | 164,194,933.94 | 164,194,933.94 | ||
Total current assets | 44,311,172,692.22 | 44,311,172,692.22 | ||
Non-current assets: | ||||
Debt investments | ||||
Available-for-sale | ||||
financial assets | ||||
Other debt investments | ||||
Held-to-maturity | ||||
investments | ||||
Long-term receivables | ||||
Long-term equity | 14,531,123,322.77 | 14,531,123,322.77 | ||
investments | ||||
Investments in other | 170,082,200.00 | 170,082,200.00 | ||
equity instruments | ||||
Other non-current | ||||
financial assets | ||||
Investment property | 1,372,826,553.46 | 1,372,826,553.46 | ||
Fixed assets | 2,561,908,781.20 | 2,561,908,781.20 | ||
Construction in progress | 922,996,632.68 | 922,996,632.68 | ||
Productive biological | ||||
47 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
assets | |||
Oil and gas assets | |||
Right-of-use assets | |||
Intangible assets | 447,349,640.19 | 447,349,640.19 | |
Development | |||
expenditure | |||
Goodwill | 341,073,643.76 | 341,073,643.76 | |
Long-term prepaid | |||
expenses | |||
Deferred tax assets | 949,075,808.16 | 949,075,808.16 | |
Other non-current | 2,266,184,774.12 | 2,266,184,774.12 | |
assets | |||
Total non-current assets | 23,562,621,356.34 | 23,562,621,356.34 | |
Total assets | 67,873,794,048.56 | 67,873,794,048.56 | |
48
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Current liabilities: | ||||
Short-term loans | ||||
Financial liabilities held | ||||
for trading | ||||
Financial liabilities at | ||||
fair value through profit or | ||||
loss | ||||
Derivative financial | ||||
liabilities | ||||
Notes payable | 11,756,416,668.11 | 11,756,416,668.11 | ||
Accounts payable | 9,543,570,906.39 | 9,543,570,906.39 | ||
Advance from | ||||
customers | ||||
Contract liabilities | 1,481,303,661.91 | 1,481,303,661.91 | ||
Payroll payables | 916,685,488.49 | 916,685,488.49 | ||
Taxes payable | 569,997,419.03 | 569,997,419.03 | ||
Other payables | 1,783,055,862.95 | 1,783,055,862.95 | ||
Incl.: Interests | ||||
payable | ||||
Dividends | ||||
payable | ||||
Held-for-sale liabilities | ||||
Non-current liabilities | ||||
due within one year | ||||
Other current liabilities | 1,681,702,830.61 | 1,681,702,830.61 | ||
Total current liabilities | 27,732,732,837.49 | 27,732,732,837.49 | ||
Non-current liabilities: | ||||
Long-term borrowings | ||||
Bonds payable | ||||
Incl: Preference | ||||
shares | ||||
Perpetual | ||||
bonds | ||||
Lease liabilities | ||||
Long-term payables | 5,515,822.60 | 5,515,822.60 | ||
Long-term payroll | 13,444,746.89 | 13,444,746.89 | ||
payable | ||||
49 |
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
Provisions | |||
Deferred income | 803,454,411.80 | 803,454,411.80 | |
Deferred tax liabilities | |||
Other non-current | |||
liabilities | |||
Total non-current liabilities | 822,414,981.29 | 822,414,981.29 | |
Total liabilities | 28,555,147,818.78 | 28,555,147,818.78 | |
Equity holders' interest: | |||
Share capital | 7,997,238,556.00 | 7,997,238,556.00 | |
Other equity | |||
instruments | |||
Incl: Preference | |||
shares | |||
Perpetual | |||
bonds | |||
Capital reserves | 1,084,612,950.62 | 1,084,612,950.62 | |
Less: Treasury stock | 499,911,217.21 | 499,911,217.21 | |
Other comprehensive | -47,258,130.00 | -47,258,130.00 | |
income | |||
Special reserves | 74,867,864.57 | 74,867,864.57 | |
Surplus reserves | 2,811,115,722.19 | 2,811,115,722.19 | |
Retained earnings | 27,897,980,483.61 | 27,897,980,483.61 | |
Total equity holders' | 39,318,646,229.78 | 39,318,646,229.78 | |
interests | |||
Total liabilities and equity | 67,873,794,048.56 | 67,873,794,048.56 | |
holders' interests | |||
The New Standard on Lease has no impact on the financial statements of the parent company as at 1 January 2019.
4.2.2 Descriptions of retrospective adjustment to comparative data in previous period following the implementation of the New Standard on Financial Instruments or New Standard on Lease in 2019
□ Applicable √ Not applicable
50
WEICHAI POWER CO., LTD. THIRD QUARTERLY REPORT FOR 2019 (Full Report)
4.3 Auditors' report
Whether the third quarterly report is audited or not
- Yes √ No
The third quarterly report of the Company is not audited.
WEICHAI POWER CO., LTD.
Tan Xuguang, Chairman
30 October 2019
51
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Weichai Power Company Limited published this content on 30 October 2019 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 October 2019 13:11:04 UTC