润丰股份：2022年第三季度报告（英文版）.PDF

1 2022 Q3 Report To be a Global Leading Crop Protection Company Stock code:301035 Stock abbreviation:Rainbow Agro Announcement No.:2022-052 SHANDONG WEIFANG RAINBOW CHEMICAL CO.,LTD The Third Quarter Report of 2022 The Company and all members of the Board of Directors warrant that the contents of the Semi-annual Report are true,accurate and complete,without false records,misleading statements or major omissions.Important notes:1.The Board of Directors,Board of Supervisors,directors,supervisors and senior management warrant that the contents of the Quarterly Report are true,accurate and complete,without false records,misleading statements or major omissions,and shall bear individual and collective legal liabilities.2.The legal representative of the Company,the chief accountant in charge,and the chief of the accounting institution(accounting supervisor),stated that the financial report in the Quarterly Report is true,accurate and complete.3.Whether the Third Quarter Report is audited Yes No 2 2022 Q3 Report To be a Global Leading Crop Protection Company I.Key Financial Data(I)Key Accounting Data and Financial Indicators Whether the Company needs to retroactively adjust or restate the accounting data of previous years Yes No Q3 2022 Year-on-year increase or decrease From the start of 2022 to the end of Q3 2022 Year-on-year increase or decrease Operating income(RMB)4,137,087,681.52 50.75%11,915,662,694.56 76.31%Net profit attributable to shareholders of the Company(RMB)418,239,540.16 138.62%1,305,889,184.58 190.17%Net profit attributable to shareholders of the Company excluding non-recurring gains and losses(RMB)419,545,222.57 136.58%1,312,684,739.39 195.91%Net cash flow from operating activities(RMB)-2,115,819,098.24 601.80%Basic earnings per share(RMB/Share)1.51 118.84%4.73 134.16%Diluted earnings per share(RMB/Share)1.52 120.29%4.75 135.15%Weighted average return on net assets 7.19%2.93%23.93%10.46%End of Q3 2022 End of 2021 Increase or decrease of the current reporting period compared with the end of the last year Total assets(RMB)13,809,941,168.30 10,311,655,543.89 33.93%Equity attributable to shareholders of the Company(RMB)6,032,937,128.56 4,908,724,302.71 22.90%(II)Items and Amounts of Non-recurring Gains and Losses Applicable Not applicable Unit:RMB Item Amount of Q3 2022 From the start of 2022 to the end of Q3 2022 Notes Gain and loss on disposal of non-current assets(including the write-off portion of asset impairment provision)-6,201,328.30-21,939,780.20 Government subsidies included in current gains and losses(closely related to normal operational business of the Company,excluding the continuous government subsidies of certain amount or quota complying with national policies)2,175,550.64 9,852,312.17 Other non-operating revenue 2,799,749.64 4,168,200.78 3 2022 Q3 Report To be a Global Leading Crop Protection Company and expenditure other than those mentioned above Less:affected amount of income tax 104,720.89-1,116,414.65 Affected amount of minority shareholders equity(after tax)-25,066.50-7,297.79 Total-1,305,682.41-6,795,554.81-Other gains and losses items that meet the definition of non-recurring gains and loss:Applicable Not applicable There are no other gains and losses items of the Company that meet the definition of non-recurring gains and loss.Reasons for the non-recurring profit and loss items listed in Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1-Non-recurring Gains and Losses recognized as recurring gains and losses items Applicable Not applicable There is no circumstance where the non-recurring profit and loss items listed in Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1-Non-recurring Gains and Losses are recognized as recurring gains and losses items.(III)Changes to Key Accounting Data and Financial Indicators and Reasons Applicable Not applicable 1.Balance Sheet Unit:RMB Item Friday,September 30,2022 Saturday,January 1,2022 Change Reason for change Monetary funds 5,475,298,834.68 3,724,744,059.71 47.00%Mainly caused by increase in collected payments during the reporting period Financial assets held for trading 6,000,000.00 200,000,000.00-97.00%Mainly caused by repurchase of financial products during the reporting period Notes receivable 58,147,122.76 35,385,609.76 64.32%Mainly caused by increase of notes endorsed and not due during the reporting period Accounts receivable 3,823,556,208.16 2,328,358,879.35 64.22%Mainly caused by increase in accounts receivable due to revenue growth during the reporting period Pre-payments 118,737,234.62 77,313,374.04 53.58%Mainly caused by prepayments for materials during the reporting period Other receivables 27,862,788.27 11,576,269.72 140.69%Mainly caused by increase in advanced borrowing for covering domestic and overseas travel expenses during the reporting period Other current assets 352,479,320.96 264,431,341.13 33.30%Mainly caused by increase in VAT to be deducted and taxes to be paid in advance during the reporting period Fixed assets 1,611,461,003.66 1,218,635,770.03 32.23%Mainly caused by transfer in completion projects of construction in progress during the reporting period Goodwill 49,941,550.10 26,949,350.10 85.32%Mainly caused by acquisition of new businesses during the reporting period Long-term deferred expenses 2,927,013.76 1,972,932.08 48.36%Mainly caused by increase in renovation costs?of rented offices during the reporting period Deferred income tax assets 127,977,537.40 46,893,086.34 172.91%Mainly caused by increase in unrealized profits from internal transactions during the reporting period 4 2022 Q3 Report To be a Global Leading Crop Protection Company Notes payable 5,234,477,673.42 3,369,427,627.30 55.35%Mainly caused by increase in payments for materials by notes during the reporting period Contract liability 147,446,162.49 45,096,633.96 226.96%Mainly caused by increase in advances on sales during the reporting period Taxes payable 167,180,279.48 83,154,482.55 101.05%Mainly caused by increase in income tax payable during the reporting period Other payables 38,728,107.86 29,657,941.65 30.58%Mainly caused by increase in payments on behalf of others for customs clearance during the reporting period Long-term loan 14,867,073.83 25,555,537.87-41.82%Mainly caused by repayments of bank loans during the reporting period 2.Income Statement Unit:RMB Item January-September 2022 January-September 2021 Change Reason for change Operating income 11,915,662,694.56 6,758,348,369.76 76.31%Mainly caused by business growth during the reporting period Operating cost 9,425,611,062.95 5,685,663,432.41 65.78%Mainly caused by cost growth due to revenue growth during the reporting period Taxes and surcharges 32,485,279.48 9,204,000.72 252.95%Mainly caused by increase in taxes during the reporting period Management expenses 308,254,477.92 174,121,224.24 77.03%Mainly caused by increase in equity incentive expenses during the reporting period R&D expenditures 303,778,314.48 174,498,528.02 74.09%Mainly caused by increase in R&D investment during the reporting period Financial expenses-436,359,035.46 55,680,075.74-883.69%Mainly caused by increase in exchange gains during the reporting period Other income 4,853,353.35 13,271,917.32-63.43%Mainly caused by the reduction in government subsidies included in other incomes during the reporting period Investment returns-60,492,810.75 179,803,594.64-133.64%Mainly caused by more loss in forward exchange settlement business during the reporting period Income from changes in fair value-399,356,767.11-102,478,722.75-289.70%Mainly caused by more changes in fair value of forward exchange settlement business during the reporting period Credit impairment losses-80,290,630.61-14,655,973.32-447.84%Mainly caused by increase in bad debts of accounts receivable during the reporting period Asset impairment losses 1,738,356.82-1,028,721.46 268.98%Mainly caused by the reversal of reserve for inventory depreciation during the reporting period Gains from asset disposal 126,624.97-6,576.44 2025.43%Mainly caused by proceeds from disposal of non-current assets during the reporting period Non-operating income 10,303,761.73 5,118,584.23 101.30%Mainly caused by the increase in government subsidies included in non-operating income during the reporting period Non-operating expenses 23,203,007.30 10,830,252.10 114.24%Mainly caused by increase in non-current assets scrap loss during the reporting period 3.Consolidated cash flow statement Unit:RMB Item January-September 2022 January-September 2021 Change Reason for change Net cash flow from operating activities 2,115,819,098.24 301,483,993.55 601.80%Mainly caused by increase in collected payments due to year-on-year revenue growth during the reporting period Net cash flow from financing activities-1,278,718,840.25 1,155,389,538.13-210.67%Mainly caused by increase in payment of financing deposit during the reporting period 5 2022 Q3 Report To be a Global Leading Crop Protection Company II.Shareholder Information (I)The number of common shareholders,the number of preferred shareholders whose voting rights have been restored and the shareholdings of the top ten shareholders Unit:Share Number of common shareholders as of the end of Q3 2022 8,120 Number of preferred shareholders whose voting rights have been restored as of the end of Q3 2022(if any)0 Shareholding of the top ten shareholders Name of shareholder Shareholder nature Shareholding ratio Shareholding quantity Quantity of restricted shares held Pledge,mark or freeze Share status Quantity Shandong Rainbow Investment Co.,Ltd Domestic non-state-owned legal person 41.61%114,911,237 114,911,237 Pledge 23,301,837 KONKIA INC Overseas legal person 22.16%61,191,800 61,191,800 Shandong Rainbow Agriculture Investment Co.,Ltd.Domestic non-state-owned legal person 4.75%13,105,690 13,105,690 Shenzhen Xingdafa Technology Co.,Ltd.Domestic non-state-owned legal person 2.99%8,264,487 0 Jinan Xinbo Investment Co.,Ltd.Domestic non-state-owned legal person 2.84%7,856,786 0 Pledge 7,856,786 Industrial and Commercial Bank of China Co.,Ltd.-BOCOM Schroder Trend Priority Hybrid Securities Investment Fund Other 2.21%6,110,168 0 Guotai Fund-Bank of Communications-Guotai Fund Boyuan No.20 Collective Assets Management Plan Other 1.31%3,607,415 0 China Construction Bank Corporation-Guotai Great Health Equity Securities Investment Fund Other 1.21%3,339,452 0 China Merchants Bank Co.,Ltd.-BOCOM Schroder Qicheng Hybrid Securities Investment Fund Other 0.73%2,009,964 0 6 2022 Q3 Report To be a Global Leading Crop Protection Company Bank of Communications Co.,Ltd.-Guotai Jinying Growth and Flexibly Allocated Hybrid Securities Investment Fund Other 0.69%1,891,928 0 Shareholding of top ten shareholders of unrestricted shares Name of shareholder Quantity of unrestricted shares held Type of shares Type of shares Quantity Shenzhen Xingdafa Technology Co.,Ltd.8,264,487 RMB-denominated common shares 8,264,487 Jinan Xinbo Investment Co.,Ltd.7,856,786 RMB-denominated common shares 7,856,786 Industrial and Commercial Bank of China Co.,Ltd.-BOCOM Schroder Trend Priority Hybrid Securities Investment Fund 6,110,168 RMB-denominated common shares 6,110,168 Guotai Fund-Bank of Communications-Guotai Fund Boyuan No.20 Collective Assets Management Plan 3,607,415 RMB-denominated common shares 3,607,415 China Construction Bank Corporation-Guotai Great Health Equity Securities Investment Fund 3,339,452 RMB-denominated common shares 3,339,452 China Merchants Bank Co.,Ltd.-BOCOM Schroder Qicheng Hybrid Securities Investment Fund 2,009,964 RMB-denominated common shares 2,009,964 Bank of Communications Co.,Ltd.-Guotai Jinying Growth and Flexibly Allocated Hybrid Securities Investment Fund 1,891,928 RMB-denominated common shares 1,891,928 Hong Kong Securities Clearing Company Ltd.1,751,501 RMB-denominated common shares 1,751,501 Yuanxin(Zhuhai)Private Equity Fund Management Co.,Ltd.-Citic Capital China Value Growth No.1 Private Securities Investment Fund 1,403,930 RMB-denominated common shares 1,403,930 Guotai Fund-Bank of Shanghai-Guotai Fund Gewu No.2 Collective Assets Management Plan 1,327,038 RMB-denominated common shares 1,327,038 Explanation of the above-mentioned shareholder relationship or concerted action Shandong Rainbow Investment Co.,Ltd.,KONKIA INC and Shandong Runnong Investment Co.,Ltd.are enterprises controlled by Wencai Wang,Guoqing Sun and Hongbing Qiu,the actual controllers of the Company Apart from that,the Company does not know whether the above-mentioned other shareholders are associated or are persons acting in concert.Engagement of the top 10 shareholders in securities Not applicable 7 2022 Q3 Report To be a Global Leading Crop Protection Company margin trading business(if any)(II)The number of preferred shareholders of the Company and the shareholdings of the top ten preferred shareholders Applicable Not applicable(III)Changes in restricted shares Applicable Not applicable Unit:Share Name of shareholder Number of restricted shares held at the beginning of the reporting period Number of restricted shares lifted during the reporting period Number of restricted shares increased during the reporting period Number of restricted shares held at the end of the reporting period Reason of the restrictions Date from which the restrictions will be lifted Shandong Rainbow Investment Co.,Ltd 114,911,237 0 0 114,911,237 Number of restricted shares held before the initial offering Sunday,July 28,2024 KONKIAINC 61,191,800 0 0 61,191,800 Number of restricted shares held before the initial offering Sunday,July 28,2024 Shandong Rainbow Agriculture Investment Co.,Ltd.13,105,690 0 0 13,105,690 Number of restricted shares held before the initial offering Sunday,July 28,2024 Shenzhen Xingdafa Technology Co.,Ltd.8,264,487 8,264,487 0 0 Number of restricted shares held before the initial offering Thursday,July 28,2022 Jinan Xinbo Investment Co.,Ltd.7,856,786 7,856,786 0 0 Number of restricted shares held before the initial offering Thursday,July 28,2022 Shandong Agricultural University Education Development Foundation 1,800,000 1,800,000 0 0 Number of restricted shares held before the initial offering Thursday,July 28,2022 Total 207,130,000 17,921,273 0 189,208,727 III.Other important matters Applicable Not applicable 8 2022 Q3 Report To be a Global Leading Crop Protection Company IV.Quarterly Financial Statements(I)Financial Statements 1.Consolidated balance sheet Prepared by:Shandong Weifang Rainbow Chemical Co.,Ltd.Unit:RMB Item Friday,September 30,2022 Saturday,January 1,2022 Current assets:Monetary funds 5,475,298,834.68 3,724,744,059.71 Deposit reservation for balance Lending to banks and other financial institutions Financial assets held for trading 6,000,000.00 200,000,000.00 Derivative financial assets 48,922,283.50 Notes receivable 58,147,122.76 35,385,609.76 Accounts