本钢板Ｂ：2016年年度报告（英文版）.PDF
Bengang Steel Plates Co.,Ltd.Annual Report 2016 1 Bengang Steel Plates Co.,Ltd.Annual Report 2016 March,2017 Bengang Steel Plates Co.,Ltd.Annual Report 2016 2 I.Important Notice,Table of Contents,and Definitions The Board of Directors,the Supervisory Committee and the Directors,members of the Supervisory Committee and senior management of the Company guarantee that there are no misrepresentations or misleading statements,or material omission in this report,and individually and collectively accept full responsibility for the authenticity,accuracy and integrity of the information contained in this report.Wang Shu,Chairman of the Company,Han Ge,the principal in charge of the accounting,and Wang Shaoyu,Chief of Accounting Affairs,make the pledge for the authenticity,accuracy and integrity of the attached financial statements.All the members of the Board of Directors attended the board meeting on which this report was examined.The prospective statements contained in this annual report do not constitute any substantial commitment to the investors.Investors should pay attention to the risks attached to investment decisions.The fourth chapter of this report“The Management Discussion and Analysis-Prospect for future development of the Company”describes the risks faced by the Company in its future operation,so its advised that all investors should pay attention to it.This report is prepared in both of Chinese and English.The Chinese version shall prevail when there are any controversial statements in the two versions.The Company planed not to distribute cash dividend or bonus shares,and not to convert capital reserve into share capital.Bengang Steel Plates Co.,Ltd.Annual Report 2016 3 Table of Contents I.Important Notice,Table of Contents,and Definitions.2 II.Company Profile and Main Financial Index.5 III.Summary of Company Business.11 IV.Management Discussion and Analysis.15 V.Important Events.33 VI.Status of Share Capital Changes and Shareholders.52 VII.Status of Preferred Shares.60 VIII.Status of Directors,Supervisors,Senior Executives and Employees.61 IX.Corporate Governance.71 X.Relevant Information about Corporate Bonds.79 XI.Financial Report.86 XII.Documents available for inspection.191 Bengang Steel Plates Co.,Ltd.Annual Report 2016 4 Definition Terms to be defined Refers to Definition Bengang Bancai,Bengang Steel,the Company,the Listed Company Refers to Bengang Steel Plates Co.,Ltd.Bengang Group Refers to Bengang Group Co.,Ltd.Bengang Co.Refers to Benxi Steel&Iron(Group)Co.,Ltd.Liaoning Provincial State-asset Administration Refers to Liaoning State-owned Asset Supervisory and Management Committee SSE Refers to Shenzhen Stock Exchange Bengang Puxiang Refers to Bengang Puxiang Cool Rolling Steel Sheet Co.,Ltd.Bengang Steel Plates Co.,Ltd.Annual Report 2016 5 II.Company Profile and Main Financial Index I.Company Information Stock abbreviation Bengang Bancai,Bengangban B Stock Code 000761,200761 Stock exchange for listing Shenzhen Stock Exchange Company name in Chinese 本钢板材股份有限公司 Abbreviation of Company name in Chinese 本钢板材 Company name in English(If any)BENGANG STEEL PLATES CO.,LTD.Abbreviation of Company name in English(If any)BSP Legal representative Wang Shu Registration Address No.16,Renmin Road,Pingshan District,Benxi City,Liaoning Province Post Code of registration Address 117000 Office address No.16,Renmin Road,Pingshan District,Benxi City,Liaoning Province Post Code of office address 117000 Web Address None Email II.Contact Information Secretary of Board of Directors Representative of Securities Affairs Name Sun Yanbin Tong Weigang Address No.16,Renmin Road,Pingshan District,Benxi City,Liaoning Province No.16,Renmin Road,Pingshan District,Benxi City,Liaoning Province Tel 024-47828860 024-47827003 Bengang Steel Plates Co.,Ltd.Annual Report 2016 6 Fax 024-47827004 024-47827004 Email III.Information Disclosure and Place for Consulting Press media for information disclosure China Securities Journal,Securities Times,Hong Kong Commercial Daily Web address for the annual report as assigned by CSRC http:/ Place for inquiry of the annual report Secretary Office of the Board,Bengang Steel Plate Co.,Ltd.IV.Change of Business Registration Organization Code 91210000242690243E Changes of principal business activities since listing(if any)No change Changes of the controlling shareholder in the past(is any)No change V.Other Information Accountants firm engaged by the Company:Name of the accountants firm BDO China Shu Lun Pan Certified Public Accountants LLP Address of the accountants firm Address:4/F 61 Nanjing Rd.East,Huangpu,Shanghai Signing name of accountants Wu Xue,Zhang Huice Sponsor engaged by the Company to conduct sustained supervision during the reporting period Applicable Not applicable Financial consultancy institution engaged by the Company to conduct sustained supervision during the reporting period Applicable Not applicable Bengang Steel Plates Co.,Ltd.Annual Report 2016 7 VI.Main Accounting Data and Financial Index Whether the Company makes retroactive adjustment or restatement of the accounting data of the last years due to change of the accounting policy and correction of accounting errors Yes No 2016 2015 Change over last year 2014 Operating income 29,526,012,651.08 29,253,638,605.80 0.93%41,422,088,025.70 Net profit attributable to the shareholders of the listed company 781,274,829.32-3,293,624,545.17 123.72%232,804,820.19 Net profit after deducting non-recurring gain/loss attributable to the shareholders of listed company 736,095,375.87-3,452,130,239.63 121.32%187,126,217.32 Net cash flows generated by operating activities 9,557,353,906.52-2,305,005,968.10 514.63%2,868,140,094.86 Basic earnings per share 0.249-1.050 123.72%0.074 Diluted earnings per share 0.249-1.050 123.72%0.074 ROE 6.34%-24.11%30.45%1.52%End of 2016 End of 2015 Change over last year End of 2014 Total assets 54,155,710,718.91 44,461,643,345.33 21.80%49,170,603,030.67 Net assets attributable to shareholders of the listed company 12,715,354,551.15 11,934,100,372.02 6.55%15,384,562,323.08 Bengang Steel Plates Co.,Ltd.Annual Report 2016 8 VII.Differences between Domestic and Foreign Accounting Standards 1.Differences of net profit and net assets disclosed in financial reports prepared under IFRS and Chinese accounting standards.Applicable Not applicable Unit:Yuan Net profit attributable to the shareholders of the listed company Net assets attributable to the shareholders of the listed company 2016 2015 Ending balance Beginning balance According to Chinese accounting standards 781,274,829.32-3,293,624,545.17 12,715,354,551.15 11,934,100,372.02 Items and amounts adjusted according to IFRS 2.Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards.Applicable Not applicable There are no differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards during the reporting period.3.Reasons of differences between domestic and foreign accounting standards Applicable Not applicable VIII.Main Financial Index by Quarters Unit:Yuan First quarter Second quarter Third quarter Fourth quarter Operation income 6,163,797,202.21 6,465,787,367.14 7,352,413,667.74 9,544,014,413.99 Net profit attributable to the shareholders of the listed company 41,106,090.36 141,432,085.96 392,077,397.20 206,659,255.80 Net profit after deducting 36,347,865.03 128,168,341.56 380,239,871.89 191,339,297.39 Bengang Steel Plates Co.,Ltd.Annual Report 2016 9 non-recurring gain/loss attributable to the shareholders of listed company Net cash flows generated by operating activities 2,598,490,197.76-207,712,834.24 1,255,846,065.24 6,639,351,966.86 Whether significant variances exist between the above financial index or the index with its sum and the financial index of the quarterly report as well as semi-annual report index disclosed by the Company Yes No IX.Items and Amount of Non-Current Gains and Losses Applicable Not applicable Unit:Yuan Item 2016 2015 2014 Notes Gains and losses on disposal of non-current assets(including the write off part of the provision for impairment)-1,854,918.03-2,918,523.73-3,000,928.56 Government subsidy attributable to profit and loss of current period(except such government subsidy closely related to the companys normal business operation,meeting the regulation of national policy and enjoyed constantly in certain quota or quantity according to a certain standard)36,089,000.00 136,992,233.61 18,722,224.00 Profit or loss from investment or assets entrusted to others 1,715,742.47 7,226,589.08 20,845,473.00 Bengang Steel Plates Co.,Ltd.Annual Report 2016 10 Gains and losses of debt restructuring 8,631,844.34 12,200,032.42 5,940,400.95 Other non-operating income and expenses other than above 663,844.36 5,644,831.10 5,156,149.77 Less:impact of income tax 66,059.69 639,468.02 710,902.39 impact of minority equity(after tax)1,273,813.90 Total 45,179,453.45 158,505,694.46 45,678,602.87-Explanation for defining non-recurring gains and losses items according to the Public Offering of Securities Information Disclosure Explanatory Notice No.1 Non-Recurring Gains and Losses,and reasons for defining non-recurring gains and losses items listed in the document as recurring items.Applicable Not applicable There exists no situation of defining non-recurring gains and losses items listed in the document as recurring items.Bengang Steel Plates Co.,Ltd.Annual Report 2016 11 III.Summary of Company Business I.the Companys main business during the reporting period Whether the Company needs to comply with the disclosure requirement for special industry No During the reporting period,the main businesses of the company involves iron and steel smelting,rolling processing,electricity generation,coal chemical industry,special steel profile,railway,import and export trade,research and development,product sales,etc.By introducing the world-advanced equipment technology,the company upgrades the equipment for main steel business and has basically built up a high-quality steel product base.Major products include hot-rolled plates,cold-rolled plates,zinc steel plates,special steel,silicon steel,etc.that are widely applied in fields including automobile,household appliances,petrochemical engineering,aerospace,machine manufacturing,energy transportation,architectural decoration,metal parts,etc.The Company can stably manufacture productions which represent the highest level of steel and iron industry,including high-end automobile steel sheet,pipe line,and etc.in large volume and the quality of these productions can reach the internationally advanced quality level.Increasing efficiency is the oriented objective of the reporting period.The Company applied different methods to different departments to accomplish the objective.Manufacturing system reinforced production organization.Sales system emphasizes development of direct supplied end customers and high-grade steel to increase profits.Technology research and development system and quality supervisor system prompted product certification,key technology breakthrough and quality control.Besides,the Company applied the following methods.Implement comprehensively expenses elimination to strictly control three types of expenses and deeply apply standard cost.Reduce inventory to reduce occupation of funds.Reduce processing cost by prompting key technology breakthrough focused on reducing coal distribution and mine distribution cost.Apply comprehensively dynamic budget management through alternative varieties replacement and structural adjustment,as well as procurement choose and other methods to reduce purchase cost and purchase fund spending.The Company deems optimizing corporation management as the core process,intensifies each fundamental process,and ensures that management Bengang Steel Plates Co.,Ltd.Annual Report 2016 12 level employees fully take their responsibilities.The Company improves rules and regulations,and enhances supervisor and assessment process of special project to let each process get improvement.During the reporting period,the main performance-driving factors were:stimulating vitality through revolution,creating motivation through innovation,boosting management innovation and increasing productivity level and management through implement institutional reform.The Company built innovation system,established cooperation platform that regards continuously improving techniques in manufacturing system as the core process and the improvement in research and development,sales,and quality department as the supplementary process,and strengthened independent innovation capability.The Company highlighted scientific and technological innovation,improved the overall innovation and independently innovation capability through adjustment and development of varieties,implementation of key scientific and technological special projects,and strengthening of exchange and cooperation of technology with foreign companies.And the Company actively adjusted sales strategy and optimized regional distribution to realize the profits increasing generated from varieties.The reporting period is the crucial period for steel and iron industry regarding industrial structure adjustment,transformation and upgrading.Because of the continuous policy of reducing excessive capacity,the whole market structure is expected to be further improved and the relationship between domestic steel supply and demand will be improved.Since domestic steel market presented stable relief rebound and market price increased,the Companys profits increased.However,the steel market upturns lead to companys large amount of restoring production and production increasing which made it more difficult for the Company to resolve the excess manufacturing capacity.Meanwhile,steel and iron industry still faced grim situation.During the reporting period,the Company increased profits through a serious of activities as following,formulated operation and management policy,intensified scientific and technological innovation and variety development,stabilized sales channel and reduced cost and the overall strength of the company maintains above the middle level in the whole industry.II.Major Changes in Main Assets 1.Major Changes in Main Assets Main assets Notes to major changes Monetary fund As at 31 December 2016,balance of monetary fund is RMB 12,931,912 Bengang Steel Plates Co.,Ltd.Annual Report 2016 13 thousand,increased by 151.57%compared with beginning balance,mainly due to increase of net cash flow from operating activities and increase in reserve funds.Accounts receivable As at 31 December 2016,balance of accounts receivable is RMB 623,865.4 thousand,increased by 27.69%compared with beginning balance,mainly due to increase in receivables for direct end users and container customers.Construction materials As at 31 December 2016,balance of construction materials
