Baoye : Interim Results Announcement for the Six Months Ended 30 June 2019 (in PDF)

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(Stock Code: 2355)

INTERIM RESULTS ANNOUNCEMENT

FOR THE SIX MONTHS ENDED 30 JUNE 2019

The board (the "Board") of directors (the "Directors") of Baoye Group Company Limited* (the "Company") is pleased to announce the unaudited interim results of the Company and its subsidiaries (collectively, the "Group") for the six months ended 30 June 2019, together with comparative figures for the corresponding period in 2018. The interim results had been reviewed by the audit committee of the Board and approved by the Board. The following financial information is extracted from the unaudited interim financial information as set out in the Group's 2019 Interim Report.

• For identification purpose only

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INTERIM CONDENSED CONSOLIDATED INCOME STATEMENT

			Unaudited
			Six months ended 30 June
			2019		2018
	Note	RMB'000	RMB'000
Revenue	5		11,450,605		11,483,063
Cost of sales			(10,604,568)	(10,576,399)
Gross profit			846,037		906,664
Other income			44,249		54,590
Other gains - net	6		81,323		12,336
Selling and marketing costs			(49,228)	(42,003)
Administrative expenses			(349,992)	(239,403)
Net impairment losses on			(26,187)
financial and contract assets			(14,746)
Operating profit			546,202		677,438
Finance income			6,929		-
Finance costs			(30,440)	(9,439)
Finance costs-net			(23,511)	(9,439)
Share of results of joint ventures			(4,807)	(2,527)
Share of results of associates			(8,388)	(3,529)
Profit before income tax			509,496		661,943
Income tax expense	7		(173,927)	(207,370)
Profit for the period			335,569		454,573
Profit attributable to:			331,146
- Owners of the Company				439,202
- Non-controlling interests			4,423		15,371
			335,569		454,573
Earnings per share for profit attributable to the
owners of the Company
- Basic and diluted			0.59
(expressed in RMB yuan per share)	8			0.76

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INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	Unaudited
	Six months ended 30 June
	2019			2018
	RMB'000	RMB'000
Profit for the period	335,569			454,573
Other comprehensive income for the period, net of tax	-	-
Total comprehensive income for the period	335,569		454,573
Total comprehensive income attributable to:
331,146
- Owners of the Company			439,202
- Non-controlling interests	4,423			15,371
	335,569			454,573

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INTERIM CONDENSED CONSOLIDATED BALANCE SHEET
		Unaudited		Audited
		30 June		31 December
		2019	2018
	Note	RMB'000		RMB'000
ASSETS
Non-current assets		-
Land use rights	4(b)	616,765
Property, plant and equipment		2,189,411	2,077,820
Right-of-use assets	4(b)	640,139		-
Investment properties		742,768	742,768
Goodwill		16,534	16,534
Investments in joint ventures	9(a)	258,634	244,322
Loans to joint ventures	9(b)	458,346	325,914
Investments in associates	10(a)	44,991	323,693
Loans to associates	10(b)	228,450	622,549
Financial assets at fair value through other		232,801
comprehensive income		232,801
Financial assets at fair value through profit or loss		9,224	8,727
Deferred income tax assets		263,027	237,224
		5,084,325	5,449,117
Current assets
	262,732
Inventories		243,392
Properties under development		5,607,416	3,685,492
Completed properties held for sale		3,104,954	3,429,544
Contract assets and contract acquisition costs		4,810,407	3,681,687
Trade receivables	11	4,351,783	3,943,479
Other receivables and prepayments		2,138,592	4,126,542
Loans to joint ventures	9(b)	608,914	61,385
Loans to associates	10(b)	11,102	11,102
Financial assets at fair value through profit or loss		535,000	517,820
Restricted bank deposits		716,517	628,485
Term deposits with initial term of over three		198,603
months		85,704
Cash and cash equivalents		4,770,439	3,698,252
		27,116,459	24,112,884
Total assets		32,200,784		29,562,001

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INTERIM CONDENSED CONSOLIDATED BALANCE SHEET (CONTINUED)

		Unaudited	Audited
		30 June	31 December
		2019		2018
	Note	RMB'000	RMB'000
EQUITY
Equity attributable to owners of the Company		562,664
Share capital			562,664
Share premium		481,433		481,433
Reserves		205,263		205,263
Retained earnings		7,418,592		7,087,446
		8,667,952		8,336,806
Non-controlling interests		250,094	230,734
Total equity		8,918,046		8,567,540
LIABILITIES
Non-current liabilities		281,000
Bank borrowings			434,057
Lease liabilities	4(b)	5,843		-
Deferred income tax liabilities		190,286		143,400
		477,129		577,457
Current liabilities
	7,335,907
Contract liabilities			6,522,661
Trade payables	12	6,733,938		6,934,169
Other payables		5,313,118		4,628,528
Lease liabilities	4(b)	7,519		-
Bank borrowings		2,784,537		1,865,430
Current income tax liabilities		330,819		466,216
Corporate bonds	13	299,771		-
		22,805,609		20,417,004
Total liabilities		23,282,738		20,994,461
Total equity and liabilities		32,200,784		29,562,001

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