泸州老窖：2022年第一季度报告全文（英文版）.PDF

Q1 2022 Report of Luzhou Laojiao Co., Ltd. 1 Stock Code: 000568 Stock abbreviation: Luzhou Laojiao Announcement No. 2022-8 Luzhou Laojiao Co., Ltd. Q1 2022 Report Luzhou Laojiao Co., Ltd. (hereinafter referred to as the “Company”) and all the members of the Companys Board of Directors hereby guarantee that the contents of this Report are true, accurate and complete and free of any misrepresentations, misleading statements or material omissions. Important Statements: 1. The Board of Directors, Board of Supervisors, directors, supervisors and senior management guarantee that the information presented in this report is free of any false records, misleading statements or material omissions, and shall individually and together be legally liable for truthfulness, accuracy and completeness of its contents. 2. The responsible person for the Company, the responsible person for accounting work and the responsible person for the Companys financial affairs (Accounting Supervisor) have warranted that the financial statements in this report are true, accurate and complete. 3. Whether the financial statements of this report have been audited by an auditor Yes No This report has been prepared in both Chinese and English. Should there be any discrepancies or misunderstandings between the two versions, the Chinese version shall prevail. 1. Key financial information 1.1 Key accounting data and financial indicators Whether the Company performed a retroactive adjustment to or restatement of accounting data. Yes No Q1 2022 Q1 2021 YoY change Operating revenues (CNY) 6,311,964,675.84 5,003,680,377.12 26.15% Net profits attributable to shareholders of the Company (CNY) 2,875,658,916.19 2,166,766,179.07 32.72% Net profits attributable to shareholders of the Company before non-recurring gains and losses (CNY) 2,864,799,362.69 2,158,046,960.66 32.75% Net cash flows from operating activities (CNY) 1,131,497,885.76 1,310,035,683.78 -13.63% Basic earnings per share (CNY/share) 1.96 1.48 32.43% Diluted earnings per share (CNY/share) 1.96 1.48 32.43% Weighted average ROE 9.76% 8.97% 0.79% Q1 2022 Report of Luzhou Laojiao Co., Ltd. 2 31 March 2022 31 December 2021 Change Total assets (CNY) 43,063,821,253.41 43,211,782,005.68 -0.34% Net assets attributable to shareholders of the Company (CNY) 30,961,725,129.35 28,040,247,005.94 10.42% 1.2 Non-recurring gains and losses Applicable N/A Unit: CNY Item Q1 2022 Note Government grants accounted for, in the profit or loss for the current period (except for the government grants closely related to the business of the Company and continually given at a fixed amount or quantity in accordance with the national policies and standards) 4,418,513.06 Gain or loss on fair-value changes on held-for-trading financial assets and liabilities & income from disposal of held-for-trading financial assets and liabilities and available-for-sale financial assets (exclusive of the effective portion of hedges that arise in the Companys ordinary course of business) 6,196,591.56 Other non-operating income and expenditure except above-mentioned items 3,782,916.82 Less: Corporate income tax 3,428,608.22 Minority interests (after tax) 109,859.72 Total 10,859,553.50 - Other items that meet the definition of non-recurring gain/loss: Applicable N/A No such cases for the reporting period. Explain the reasons if the Company classifies any non-recurring gain/loss item mentioned in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public-Non-Recurring Gains and Losses as a recurring gain/loss item. Applicable N/A No such cases for the reporting period. 1.3 Changes in key financial data and indicators and reasons for the changes Applicable N/A A. The closing balance of accounts receivables financing decreased by CNY 2,115,942,950.09 compared to the opening balance, indicating a decrease of 44.47%. It was mainly due to the discounted notes and the payments for notes that became due in the current period. B. The closing balance of contract liabilities decreased by CNY 1,747,160,118.18 compared to the opening balance, indicating a decrease of 49.78%; and the closing balance of other current liabilities decreased by CNY 227,130,815.38 compared to the opening balance, indicating a decrease of 49.78%. It was mainly due to the decreased advances from customers in the current period. Q1 2022 Report of Luzhou Laojiao Co., Ltd. 3 C. The closing balance of employee benefits payable decreased by CNY 262,938,903.57 compared to the opening balance, indicating a decrease of 40.57%. It was mainly due to the settlement in the current period of performance-based pay for last year. D. The closing balance of taxes payable decreased by CNY 1,176,693,464.03 compared to the opening balance, indicating a decrease of 37.08%. It was mainly due to the payment in the current period of taxes payable as at the end of last year. E. The closing balance of other payable increased by CNY 530,299,889.07 compared to the opening balance, indicating an increase of 81.29%. It was mainly due to the liabilities recognized on repurchase obligations under the restricted share incentive plan. F. General and administrative expenses in the current period increased by CNY 78,644,928.81 compared to the same period of last year, indicating an increase of 39.80%. It was mainly due to the increased costs and expenses on the restricted share incentive plan. G. Research and development expenses in the current period increased by CNY 14,922,603.16 compared to the same period of last year, indicating an increase of 105.75%. It was mainly due to the increased comprehensive research and development investments in the current period. H. Investment income in the current period decreased by CNY 49,707,942.57 compared to the same period of last year, indicating a decrease of 111.03%. It was mainly due to the loss recorded by investee Huaxi Securities in the current period. I. Total profits before tax in the current period increased by CNY 997,244,005.80 compared to the same period of last year, indicating an increase of 34.59%; income tax expenses in the current period increased by CNY 285,860,857.19 compared to the same period of last year, indicating an increase of 40.65%; and net profit in the current period increased by CNY 711,383,148.61 compared to the same period of last year, indicating an increase of 32.63%. It was mainly due to the increased sales revenue from baijiu and the correspondingly increased profit in the current period. J. Net cash flows from financing activities in the current period increased by CNY 628,623,603.28 compared to the same period of last year, indicating an increase of 1348.51%. It was mainly due to the receipt of payments from the awardees under the restricted share incentive plan for subscription for such shares in the current period. 2. Shareholder information 2.1 Total numbers of common shareholders and preference shareholders with resumed voting rights as well as shareholdings of top 10 shareholders Unit: Share Total number of common shareholders at the end of the reporting period 140,711 Total number of preference shareholders with resumed voting rights at the end of the reporting period (if any) 0 Shareholdings of the top 10 shareholders Name of shareholder Nature of shareholder Shareholding percentage Total shares held Number of holding Pledged, marked or frozen shares Q1 2022 Report of Luzhou Laojiao Co., Ltd. 4 restricted shares Status of shares Number of shares Luzhou Laojiao Group Co., Ltd. State-owned corporation 25.90% 381,088,389 0 Luzhou XingLu Investment Group Co., Ltd. State-owned corporation 24.87% 365,971,142 0 Bank of China Co., Ltd. Baijiu index classification securities investment fund by China Merchants Fund Other 3.66% 53,818,210 0 Hong Kong Securities Clearing Company Limited Outbound corporation 2.46% 36,135,009 0 China Securities Finance Corporation Limited Other 2.30% 33,842,059 0 Bank of China Co., Ltd.Blue chip selected hybrid securities investment fund by E Fund Other 1.83% 27,000,000 0 Industrial and Commercial Bank of China Co., Ltd.-Newly growth hybrid securities investment fund by Invesco Great Wall Other 1.30% 19,200,000 0 Central Huijin Asset Management Co., Ltd. State-owned corporation 0.92% 13,539,862 0 Agricultural Bank of China Co., Ltd. - Consumption industry stock - based securities investment fund by E Fund Other 0.72% 10,573,293 0 Bank of China Co., Ltd.Dingyi hybrid securities investment fund by Invesco Great Wall (LOF) Other 0.54% 8,000,000 0 Shareholdings of the top 10 non-restricted shareholders Name of shareholder Number of non-restricted shares held Type of shares Q1 2022 Report of Luzhou Laojiao Co., Ltd. 5 Type Number Luzhou Laojiao Group Co., Ltd. 381,088,389 CNY common shares 381,088,389 Luzhou XingLu Investment Group Co., Ltd. 365,971,142 CNY common shares 365,971,142 Bank of China Co., Ltd. Baijiu index classification securities investment fund by China Merchants Fund 53,818,210 CNY common shares 53,818,210 Hong Kong Securities Clearing Company Limited 36,135,009 CNY common shares 36,135,009 China Securities Finance Corporation Limited 33,842,059 CNY common shares 33,842,059 Bank of China Co., Ltd.Blue chip selected hybrid securities investment fund by E Fund 27,000,000 CNY common shares 27,000,000 Industrial and Commercial Bank of China Co., Ltd.-Newly growth hybrid securities investment fund by Invesco Great Wall 19,200,000 CNY common shares 19,200,000 Central Huijin Asset Management Co., Ltd. 13,539,862 CNY common shares 13,539,862 Agricultural Bank of China Co., Ltd. - Consumption industry stock - based securities investment fund by E Fund 10,573,293 CNY common shares 10,573,293 Bank of China Co., Ltd.Dingyi hybrid securities investment fund by Invesco Great Wall (LOF) 8,000,000 CNY common shares 8,000,000 Related parties or acting-in-concert 1. Luzhou Laojiao Group Co., Ltd. and Luzhou XingLu Investment Group Co., Ltd. are both holding state-owned companies under the jurisdiction of SASAC of Luzhou. The two companies signed the agreement of persons acting in concert on 31 December 2015. For details, please refer to the announcement of the Company on 5 January 2016 - Announcement on the agreement of persons acting in concert signed by shareholders. The announcement number is 2016-1 (http:/ The two companies signed the renewed agreement of persons acting in concert on 27 May 2021. For details, please refer to the announcement of the Company on 29 May 2021 - Announcement on the renewed agreement of persons acting in concert signed by shareholders. The announcement number is 2021-18 (http:/ 2. In addition, whether there is an association between the remaining shareholders or they belong to persons acting in concert is unknown. Top 10 shareholders participating in securities margin trading (if any) N/A 2.2 Total number of preferred shareholders and shareholdings of the top 10 preferred shareholders Applicable N/A 3. Other significant events Applicable N/A A. The Companys three savings deposits of CNY 500 million, including ABC Changsha Yingxin Branch and ICBC Nanyang Zhongzhou Branch are involved in contract disputes. Combined with the assets preservation situation of the public security authorities and professional legal advice issued by lawyers, the Company has made a provision of CNY 200 million for bad debts for the deposit of CNY 500 million Q1 2022 Report of Luzhou Laojiao Co., Ltd. 6 for contract disputes. As of the end of 2021, a total of CNY 368 million involved in the three savings contract disputes had been recovered. Taking into account the current amount of assets preserved by the public security authorities and the professional legal opinion issued by Beijing Weiheng (Chengdu) Law Firm, the Company adjusted the amount of provision for bad debts and reversed the provision for bad debts by CNY 80 million, and made a cumulative provision of CNY 120 million for the saving deposits involved in the contract disputes as of the end of the period. The second trial of the Company over the deposit dispute with the Company and ABC Changsha Yingxin Branch and ICBC Nanyang Zhongzhou Branch has been concluded and is currently under court enforcement. As of the date of disclosure of this report, the Company has recovered a total of CNY 369,640,800 in dispute under three savings contracts. See details in the Companys announcements: Date of announcement No. Catalogue Official website 15 October 2014 2014-35 Announcement of significant litigation http:/ 12 November 2014 2014-41 Announcement of significant litigation progress 6 December 2014 2014-43 Announcement of significant litigation progress part II 10 January 2015 2015-1 Announcement of significant events 4 February 2015 2015-4 Announcement of significant events progress 25 March 2015 2015-11 Announcement of significant litigation progress part III 18 April 2015 2015-20 Announcement of significant litigation progress part IV 22 April 2015 2015-21 Announcement of significant events progress part II 24 April 2015 2015-25 Announcement of significant litigation progress part V 15 July 2015 2015-44 Announcement of significant litigation progress part VI 22 July 2015 2015-45 Announcement of significant litigation progress part VII 6 June 2018 2018-17 Announcement of significant litigation progress part VIII 7 May 2019 2019-11 Announcement of significant litigation progress part IX 17 May 2019 2019-13 Announcement of significant litigation progress part X 24 March 2020 2020-6 Announcement of significant litigation progress part XI 6 May 2020 2020-14 Announcement of significant litigation progress part XII 7 November 2020 2020-34 Announcement of significant litigation progress part XIII 6 July 2021 2021-30 Announcement of significant litigation progress part XIV 15 December 2021 2021-57 Announcement of significant litigation progress part XV 30 December 2021 2021-64 Announcement of significant litigation progress part XVI Q1 2022 Report of Luzhou Laojiao Co., Ltd. 7 B. At the 7th Meeting of the 10th Board of Directors of the Company on 26 September 2021, the Proposal on 2021 Restricted Share Incentive Scheme (Draft) and its Summary of Luzhou Laojiao Co., Ltd., Proposal on the Performance Assessment Measures for 2021 Restricted Share Incentive Scheme of Luzhou Laojiao Co., Ltd. and Proposal on the Management Measures for 2021 Restricted Share Incentive Scheme of Luzhou Laojiao Co., Ltd. were deliberated and approved. On 29 December 2021, the Company held the 1st Extraordinary General Meeting of Shareholders of 2021 to deliberate and approve the above proposals, and on the same day, the Company held the 12th Meeting of the 10th Board of Directors to review and approve the Proposal on the Grant of Restricted Shares to Incentive Targets, which determined to grant 6,928,600 restricted shares to the eligible 441 incentive targets for the first time at CNY 92.71 per share with 29 December 2021 as the grant date.