China National Accord Medicines Corporation Ltd.
First Quarterly Report 2019
April 2019
Section I. Important Notes
Board of Directors and the Supervisory Committee of China National Accord
Medicines Corporation Ltd. (hereinafter referred to as the Company) and its
directors supervisors and senior executives should guarantee the reality
accuracy and completion of the quarterly report there are no any fictitious
statements misleading statements or important omissions carried in this report
and shall take legal responsibilities individual and/or joint.Other directors attending the Meeting for Quarterly Report deliberation except
for the followed
Name of director absent Title for absent director Reasons for absent Attorney
Li Zhiming director Official business Liu Yong
Jiang Xiuchang director Official business Liu Yong
Lin Zhaoxiong person in charge of the Company Wei Pingxiao person in
charger of accounting works and Wang Ying person in charger of accounting
organ (accounting officer) hereby confirm that the Financial Report of this
Quarterly Report is authentic accurate and complete.Section II. Company profile
I. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data
□ Yes √No
Current Period Same period of last year
Changes of this period over
same period of last year
Operating income (RMB) 11879309078.82 10256566731.51 15.82%
Net profit attributable to shareholders of
the listed company (RMB) 300149012.08 292731685.33 2.53%
Net profit attributable to shareholders of
the listed company after deducting
non-recurring gains and losses (RMB)
297420355.99 284982162.39 4.36%
Net cash flow arising from operating
activities (RMB) -759367352.29 -864716289.96 12.18%
Basic earnings per share (RMB/Share) 0.70 0.68 2.94%
Diluted earnings per share (RMB/Share) 0.70 0.68 2.94%
Weighted average ROE 2.55% 3.07% -0.52%
At the end of the reporting
period
At the end of last year Changes of this period-end
over same period-end of last
year
Total assets (RMB) 30855284546.74 28930300519.97 6.65%
Net assets attributable to shareholder of
listed company (RMB)
11918581615.36 11618432603.28 2.58%
Items of non-recurring gains and losses
√ Applicable □ Not applicable
In RMB
Item
Amount from year-begin to
period-end
Note
Gains/losses from the disposal of non-current asset (including the
write-off that accrued for impairment of assets)
-24914.66
Fixed assets disposal from
subsidiary Guoda Drugstore and
Sinopharm Holding Guangxi
Company.
Governmental subsidy reckoned into current gains/losses (not
including the subsidy enjoyed in quota or ration according to
national standards which are closely relevant to enterprise’s
business)
1897634.72
Mainly due to the various special
grants received in the current
period.Reversal of impairment reserve for account receivable with
separate impairment testing
479568.94
The impairment of account
receivable separately accrual in
previous years have been taken
back in the current period.Gains and losses on foreign entrusted loans 875924.93
The gains obtained from offering
entrust loans to China National
Zhijun (Suzhou).Other non-operating income and expenditure except for the
aforementioned items
770827.15
Less: impact on income tax 887466.28
Impact on minority shareholders’ equity (post-tax) 382918.71
Total 2728656.09 --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for Companies
Offering Their Securities to the Public --- Extraordinary Profit/loss and the items defined as recurring profit (gain)/loss according to
the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their
Securities to the Public --- Extraordinary Profit/loss explain reasons
□ Applicable √ Not applicable
In reporting period the Company has no particular about items defined as recurring profit (gain)/loss according to the lists of
extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to
the Public --- Extraordinary Profit/loss
II. Total number of shareholders at the end of this report period and top ten shareholders
1. Total number of common shareholders at the end of this report period and top ten common shareholders
In shares
Total common shareholders
at the end of report period
17550
Total preference shareholders
with voting rights recovered at
end of reporting period (if
applicable)
0
Top ten shareholders
Shareholder’s
name
Nature of
shareholder
Proportion of
shares held
Amount of shares
held
Amount of
restricted shares
held
Number of share pledged/frozen
State of share Amount
Sinopharm Group
Co. Ltd.
State-owned legal
person
56.06% 239999991 55057700
Hong Kong
Securities
Clearing
Company Ltd
Foreign
Corporation
3.39% 14512583 0
HTHK/CMG Foreign 2.68% 11469644 0
FSGUFP-CMG
FIRST STATE
CHINA
GROWTH FD
Corporation
China United
Property
Insurance
Company
Limited -
Traditional
insurance
products
Domestic non
state-owned legal
person
1.73% 7400422 0
China National
Pharmaceutical
Foreign Trade
Corporation
State-owned legal
person
1.24% 5323043 5323043
# Beijing
Haoqing Fortune
Investment
Management Co.Ltd. – Haoqing
Value Stable No.8
Investment Fund
Domestic non
state-owned legal
person
0.96% 4118716
GUOTAI
JUNAN
SECURITIES(H
ONGKONG)
LIMITED
Foreign
Corporation
0.90% 3835608
Central Huijin
Investment Ltd.State-owned legal
person
0.89% 3804400
Fidelity (Hong
Kong) Co. Ltd. -
customer capital
Foreign
Corporation
0.87% 3743017
Bank of China-
Harvest
Shanghai-H.K.-S
henzhen Selected
Securities
Investment Fund
Domestic non
state-owned legal
person
0.83% 3554700
Top ten shareholders with unrestricted shares held
Shareholder’s name Amount of unrestricted shares held Type of shares
Type Amount
Sinopharm Group Co. Ltd. 184942291 RMB ordinaryshares 184942291
Hong Kong Securities Clearing
Company Ltd
14512583 RMB ordinaryshares 14512583
HTHK/CMG FSGUFP-CMG FIRST
STATE CHINAGROWTH FD
11469644 Domestic listedforeign shares 11469644
China United Property Insurance
Company Limited - Traditional
insurance products
7400422 RMB ordinaryshares 7400422
# Beijing Haoqing Fortune
Investment Management Co. Ltd. –
Haoqing Value Stable No.8
Investment Fund
4118716 RMB ordinaryshares 4118716
GUOTAI JUNAN
SECURITIES(HONGKONG)
LIMITED
3835608 Domestic listedforeign shares 3835608
Central Huijin Investment Ltd. 3804400 RMB ordinaryshares 3804400
Fidelity (Hong Kong) Co. Ltd. -
customer capital
3743017 RMB ordinaryshares 3743017
Bank of China-Harvest
Shanghai-H.K.-Shenzhen Selected
Securities Investment Fund
3554700 RMB ordinaryshares 3554700
Basic endowment insurance fund-
1003 group
3359356 RMB ordinaryshares 3359356
Explanation on associated
relationship among the aforesaid
shareholders
It is unknown that there exists no associated relationship or belongs to the consistent person
acting in concert among the other tradable shareholders regulated by the Management
Measure of Information Disclosure on Change of Shareholding for Listed Companies.
Explanation on shareholders
involving margin business about top
ten common stock shareholders (if
applicable)
Beijing Haoqing Fortune Investment Management Co. Ltd. – Haoqing Value Stable No.8
Investment Fund holds shares of the Company through margin trading and negotiable
securities account that is 4118716 shares in total.Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a buy-back agreement
dealing in reporting period
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company have no buy-back
agreement dealing in reporting period.
2. Total shareholders with preferred stock held at Period-end and shares held by top ten shareholders with
preferred stock held
□Applicable √ Not applicable
Section III. Significant Events
I. Particulars about material changes in items of main accounting statement and financial
index and explanations of reasons
√Applicable □Not applicable
1. Interest receivable: an increase of 2.5509 million Yuan compared with the beginning of the period with a growth rate of 31.02%
mainly because the accrual for deposit interest increased;
2. Construction in progress: a decrease of 13.2163 million Yuan compared with the beginning of the period with a growth rate of
-36.30% mainly because the ERP project completed for acceptance and transfer out;
3. Wages payable: a decrease of 70.1103 million Yuan compared with the beginning of the period with a growth rate of -30.24%
mainly because employee’s wages accrual last year are provided in the Period;
4. Other current liabilities: an increase of 145300 Yuan compared with the beginning of the period with a growth rate of 49.66%
mainly because the output tax ready for transfer increased over that of amount at beginning of the year;
5. Financial expenses : an increase of 8.7817 million Yuan on a year-on-year basis with a growth rate of 39.43% mainly because
financing cost of the supply chain in this period has increased compared with the same period of last year;
6. Assets impairment loss: an increase of 1.0471 million Yuan on a year-on-year basis with a growth rate of 197.37% mainly
because inventory falling price reserves reversed in the period declined from a year earlier;
7. Credit impairment loss: an increase of 5.2393 million Yuan on a year-on-year basis with a growth rate of 624.12% mainly
because account receivable at period-end has increased over same period of last year thus the impairment for bad debts accrual
increased on a y-o-y basis;
8. Income from assets disposal: a decrease of 3.8445 million Yuan on a year-on-year basis with a growth rate of -100.37% mainly
because in same period of last year government collected property payments are received while no such amounted occurred in the
period;
9. Non-operating income: an increase of 480200 Yuan on a year-on-year basis with a growth rate of 35.31% mainly because written
off for the account payable that no need to be paid increased from a year earlier in the period;
10. Non-operating expense: a decrease of 264900 Yuan on a year-on-year basis with a growth rate of -42.40% mainly because fine
for delaying in the period declined on a y-o-y basis;
11. Minority shareholders’ gains and losses: an increase of 24.3643 million Yuan on a year-on-year basis with a growth rate of
121.17% mainly because at second half of 2018 subsidiary Guoda Drugstore introduce strategic investors then the minority’s
interest declined on a y-o-y basis;
12. Total comprehensive income attributable to minority shareholders: an increase of 24.3643 million Yuan on a year-on-year basis
with a growth rate of 121.17% mainly because at second half of 2018 subsidiary Guoda Drugstore introduce strategic investors thus
the total comprehensive income attributable to minority shareholders are increased correspondingly;
13. Refunds of taxes: a decrease of 400 Yuan on a year-on-year basis with a growth rate of -100.00% mainly because refunds of
taxes received in same period of last year while no such amount occurred in the period;
14. Cash received from investment income: an increase of 296000 Yuan on a year-on-year basis with a growth rate of 39.10%
mainly because received cash bonus from joint venture in the period while no such amount occurred in same period of last year;
15. Net cash received from disposal of fixed assets intangible assets and other long-term assets: a decrease of 5.613 million Yuan on
a year-on-year basis with a growth rate of -98.73% mainly because revenue from intangible assets disposal in the period decline
from a year earlier;
16. Other cash received relating to investment activities: a decrease of 44 million Yuan on a year-on-year basis with a growth rate of
-100% mainly because loan by mandate received from Sinopharm Holding Zhijun (Suzhou) Company at same period last year while
no such amount occurred in the period;
17. Sub-total of cash inflows from investment activities: a decrease of 49.3170 million Yuan on a year-on-year basis with a growth
rate of -97.77% mainly because loan by mandate received from Sinopharm Holding Zhijun (Suzhou) Company at same period last
year while no such amount occurred in the period;
18. Cash paid for investment: an increase of 20.1221 million Yuan on a year-on-year basis with a growth rate of 100% mainly
because stores transfer amount for retail store acquisition from subsidiary Guoda Drugstore are paid in the period while no such
amount occurred at same period last year;
19. Other cash paid relating to investment activities: a decrease of 43.9970 million Yuan on a year-on-year basis with a growth rate
of -99.99% mainly because loan by mandate of Sinopharm Holding Zhijun (Suzhou) Company are paid at same period last year
while no such amount occurred in the period;
20. Net cash flow from investment activities: a decrease of 27.0534 million Yuan on a year-on-year basis with a growth rate of
-61.00% mainly because stores transfer amount for retail store acquisition from subsidiary Guoda Drugstore are paid in the period
while no such amount occurred at same period last year;
21. Cash received by absorbing investments: a decrease of 7.1012 million Yuan on a year-on-year basis with a growth rate of
-61.79% mainly because investment from minority shareholders are declined from a year earlier;
22. Other cash received relating to financing activities: an increase of 69.0575 million Yuan on a year-on-year basis with a growth
rate of 67.82% mainly because supply chain financing increased from a year earlier;
23. Sub-total of cash inflows from financing activities: an increase of 58.2847 million Yuan on a year-on-year basis with a growth
rate of 45.90% mainly because supply chain financing increased from a year earlier;
24. Cash paid for distribution of dividend profit or interest payment: an increase of 53.2311 million Yuan on a year-on-year basis
with a growth rate of 172.70% mainly because interest of the supply chain financing increased from a year earlier;
25. Sub-total of cash outflows from financing activities: an increase of 60.6417 million Yuan on a year-on-year basis with a growth
rate of 64.55% mainly because interest of the supply chain financing increased from a year earlier;
26. Balance of cash and cash equivalents at the period -end: an increase of 4044 million Yuan on a year-on-year basis with a growth
rate of 144.57% mainly because endowment money from strategic investors was received by subsidiary Guoda Drugstore at second
half of last year while no such amount occurred at same period last year
II. Analysis and explanation of significant events and their influence and solutions
□Applicable √Not applicable
Progress of shares buy-back
□Applicable √Not applicable
Implementation progress of the reduction of repurchases shares by centralized bidding
□Applicable √Not applicable
III. Commitments completed in Period and those without completed till end of the Period
from actual controller shareholders related parties purchaser and companies
√Applicable □ Not applicable
Commitments Promise Type of
commit
Content of commitments Commit
ment
Commitm
ent term
Impleme
ntation
ments date
Commitments
for
share merger
reform
Commitments
in report of
acquisition or
equity change
Sinopharm
Holding
Commit
ment of
sharehol
ders
"As a large pharmaceutical commercial enterprise whose
business involves pharmaceutical wholesale and retail
Sinopharm Holding may overlap with the Company in
geographical segmentation during its future business
development. To avoid the potential peer competition brought
by such geographical overlap Sinopharm Holding undertakes
that upon the transfer of shares of Sinopharm HoldingGuangzhou it held to Sinopharm Accord “1. it will notnewly-establish or broaden within Guangdong any business
operation that actually compete with that of Sinopharm
Accord or set up any new subsidiaries or subordinate
enterprises who engage in such business. 2. It will enter into
business delineation with Sinopharm Accord and Sinopharm
Holding Guangzhou thereby giving the three parties clear
geographical areas to carry out pharmaceutical wholesale and
retail businesses so as to avoid potential peer competition.
Apart from above Sinopharm Holding will no longer
newly-establish any enterprise that may compete with
Sinopharm Accord in the production and R&D ofpharmaceutical products.”
21 June
2005
Long-term
effective
Normally
implemen
ting
Commitments
in assets
reorganization
Sinopharm
Group
Co.
Ltd;China
National
Pharmace
utical
Foreign
Trade
Corporatio
n
Commit
ment on
restricte
d shares“Sinopharm Holding and Sinopharm Foreign Trade madecommitments in the Report about China National Accord
Medicines Corporation Ltd. Purchasing Assets and Raising
Supporting Funds and Related Transactions by Asset Sale
Stock Issuance and Cash Payment that the non-public
offering of shares of Sinopharm Accord obtained from this
transaction shall not be transferred within 36 months since the
finish date of issuance and shall be unlocked after 36 months
since the date of listing. Within 6 months after the completion
of this transaction if the closing price of the stock of
Sinopharm Accord is less than the issue price in continuous
20 trading days or the closing price at the end of 6 months
after the completion of this transaction is less than the issue
price the lockup period of the stock of Sinopharm Group and
Sinopharm Foreign Trade obtained from Sinopharm Accord
by this transaction will automatically prolong at least 6
months. The shares derived from stock dividends allocation
and capital reserve increase transferring of Sinopharm Accord
based on the non-public offering of shares of Sinopharm
Accord obtained by this transaction should also abide by the
31 May
2016
36 months
Normally
implemen
tingabove stock restricted arrangements.”
Ping’an
Assets
Managem
ent Co.Ltd.
Commit
ment on
restricte
d shares
"Ping An Asset Management Co. Ltd. made commitments in
the Report about China National Accord Medicines
Corporation Ltd. Purchasing Assets and Raising Supporting
Funds and Related Transactions by Asset Sale Stock Issuance
and Cash Payment that the non-public offering of shares of
Sinopharm Accord obtained from this transaction shall not be
transferred within 36 months since the finish date of issuance
and shall be unlocked after 36 months since the date of
listing. After placement completed the shares of the listed
company increased due to bonus shares and turning to
increase capital should pursuit to the restriction arrangement
the above mentioned.
31 May
2016
36 months
Normally
implemen
ting
China
National
Accord
Medicines
Corporatio
n Ltd.;
Sinopharm
Group
Co. Ltd;
SINOPHA
RM
Other
commit
ments“The listed company controlling shareholders the actualcontrollers made commitments in the Report about China
National Accord Medicines Corporation Ltd. Purchasing
Assets and Raising Supporting Funds and Related
Transactions by Asset Sale Stock Issuance and Cash Payment
that the Company shall not violate the relevant regulations of
Article 16 in Securities Issuance and Underwriting
Management Approach and directly or indirectly providing
financial assistance or compensation for the subscription
objects and its shareholders / partners / clients (if any) of this
non-public offering does not exist and will not occur in thefuture.”
31 May
2016
Long-term
effective
Normally
implemen
ting
Ping’an
Assets
Managem
ent Co.Ltd.Other
commit
ments“Ping An Asset Management Co. Ltd. Promises that the unitintends to utilize Ping An Asset Xinxiang No.3 asset
management product and Ping An Asset Xinxiang No.7 asset
management product to fund and subscribe some non-public
offering of shares of Sinopharm Accord in this major asset
restructuring process and has the ability to subscribe the
shares the relevant capital sources are legitimate there is no
hierarchical income and other structured arrangements and
there is no use of leveraged funds. The unit does not receive
financial assistance or compensation from Sinopharm Accord
and its controlling shareholders or the actual controllers. The
investors’ structure of above - mentioned products do not
change from the issue date of the commitment letter to the
end date of the lockup period of the stock that the unitsubscribes from SinopharmAccord.”
24
March
2016
Long-term
effective
Normally
implemen
ting
SINOPHA
RM
Increase
holding
commit“Sinopharm made commitments in the Report about ChinaNational Accord Medicines Corporation Ltd. Purchasing
Assets and Raising Supporting Funds and Related
6 Jan.
2017
Three
years from
the end of
There is
no need
for actual
ment Transactions by Asset Sale Stock Issuance and Cash Payment
that 1. if the stock intraday price of Sinopharm Accord on any
trading day of the 30 trading days after the listing of newly
increased shares in this transaction is less than the issue price
of newly increased shares in this transaction Sinopharm will
accumulatively invest no more than RMB 150 million in
these 30 trading days to increase the holding by the stock
trading system of the Shenzhen Stock Exchange (this increase
of holding) until the earlier one of below two situations
occurs: (1) the above-mentioned funds are use up; (2) the
intraday price of Sinopharm Accord is no less than the issue
price of newly increased shares in this transaction. 2.Sinopharm shall not sell the shares obtained from this
increase of holding within 3 years after the end of thisincrease of holding.”
increase
holding (if
applicable
)
controller
s to
increase
holdings
Sinopharm
Group
Co. Ltd
Commit
ments
on
horizont
al
competit
ion
relation
transacti
on and
capital
occupati
on“Sinopharm Holding made commitments in the Report about
China National Accord Medicines Corporation Ltd.
Purchasing Assets and Raising Supporting Funds and Related
Transactions by Asset Sale Stock Issuance and Cash Payment
that the Company shall be the controlling shareholder of
China National Accord Medicines Corporation Ltd.
(hereinafter referred to as Sinopharm Accord) up to the issue
date of this commitment letter after the completion of thismajor assets reorganization (hereinafter referred to as “thisreorganization”) Sinopharm Accord shall no longer hold
shares or operate relevant businesses of pharmaceutical
industry the main business will become the national
pharmaceutical retail and pharmaceutical distribution
business in Guangdong and Guangxi. In order to support the
business development of Sinopharm Accord and avoid
horizontal competition with Sinopharm Accord and its
controlling enterprises the Company made following
irrevocable commitments and promises:1 after the
completion of this reorganization as for the social retail
drugstore assets except for Sinopharm Holding Guoda
Drugstore Co. Ltd. and its subsidiaries and branches owned
or controlled by the Company the Company promised to take
appropriate measures to solve the horizontal competition
problem in the pharmaceutical retail business between the
Company and Sinopharm Accord within 5 years since the
completion date of this reorganization. 2. The Company's way
of resolving horizontal competition problems includes and is
not limited to purchasing the social retail drugstore assets
subordinated to the Company by Sinopharm Accord taking
28 Dec.
2016
Long-term
effective
Normally
implemen
ting
the entrusted operation leasing or contracting operation by
Sinopharm Accord and its controlling enterprises in
accordance with the methods permitted to national laws to
hold or control the social retail drugstore assets or
transferring the controlling stake of the social retail drugstore
assets by the Company. 3. If the shareholders of the social
retail drugstore assets (hereinafter referred to as "the third
party") of the Company or the enterprises controlled by the
Company have or are going to perform the preemptive rights
under the same conditions in accordance with relevant laws
and corresponding Articles of Association then the above
commitment will not be applicable but in this case the
Company should try its utmost to urge the third party to
waive its preemptive rights. If the Company is unable to urge
the third party to give up the preemptive rights the Company
will urge the enterprises controlled by the Company to
transfer the social retail drugstore assets to the third party to
solve the horizontal competition problem. 4. The
pharmaceutical distribution assets currently owned or
controlled by the Company are distributed outside
Guangdong and Guangxi regions there is no horizontal
competition with Sinopharm Accord the Company will not
engage in the same or similar operation businesses to
Sinopharm Accord in Guangdong and Guangxi in the future
if the Company and its holding enterprises obtain the new
business opportunities constituting substantial horizontal
competition (hereinafter referred to as competitive new
business) within the pharmaceutical distribution business
scope of Sinopharm Accord in Guangdong and Guangxi the
Company will send written notice to Sinopharm Accord and
try its utmost to firstly provide the new business opportunities
to Sinopharm Accord or its holding enterprises according to
the reasonable and fair terms and conditions so as to avoid the
horizontal competition with Sinopharm Accord and its
holding enterprises. 5. Since the issue date of this
commitment letter the Company promises to indemnify
Sinopharm Accord for all actual losses damages and
expenses caused by the Company in violation of any
commitments under this commitment letter. 6. This
commitment letter terminates when following circumstances
occur (subject to the earlier one): (1) the Company is no
longer the controlling shareholder of Sinopharm Accord; or
(2) the shares of Sinopharm Accord terminate the listing atthe stock exchange.”
SINOPHA
RM
Commit
ments
on
horizont
al
competit
ion
relation
transacti
on and
capital
occupati
on“SINOPHARM made commitments in the Report about
China National Accord Medicines Corporation Ltd.
Purchasing Assets and Raising Supporting Funds and Related
Transactions by Asset Sale Stock Issuance and Cash Payment
that the Company shall be the actual controller of China
National Accord Medicines Corporation Ltd. (hereinafter
referred to as Sinopharm Accord) up to the issue date of this
commitment letter after the completion of this major assetsreorganization (hereinafter referred to as “thisreorganization”) Sinopharm Accord shall no longer hold
shares or operate relevant businesses of pharmaceutical
industry the main business will become the national
pharmaceutical retail and pharmaceutical distribution
business in Guangdong and Guangxi. In order to support the
business development of Sinopharm Accord and avoid
horizontal competition with Sinopharm Accord and its
controlling enterprises the Company made following
irrevocable commitments and promises:1 after the
completion of this reorganization as for the social retail
drugstore assets except for Sinopharm Group Guoda
Drugstore Co. Ltd. and its subsidiaries and branches owned
or controlled by the Company the Company promised to take
appropriate measures to solve the horizontal competition
problem in the pharmaceutical retail business between the
Company and Sinopharm Accord within 5 years since the
completion date of this reorganization. 2. The Company's way
of resolving horizontal competition problems includes and is
not limited to purchasing the social retail drugstore assets
subordinated to the Company by Sinopharm Accord taking
the entrusted operation leasing or contracting operation by
Sinopharm Accord and its controlling enterprises in
accordance with the methods permitted to national laws to
hold or control the social retail drugstore assets or
transferring the controlling stake of the social retail drugstore
assets by the Company. 3. If the shareholders of the social
retail drugstore assets (hereinafter referred to as "the third
party") of the Company or the enterprises controlled by the
Company have or are going to perform the preemptive rights
under the same conditions in accordance with relevant laws
and corresponding Articles of Association then the above
commitment will not be applicable but in this case the
Company should try its utmost to urge the third party to
waive its preemptive rights. If the Company is unable to urge
the third party to give up the preemptive rights the Company
28 Dec.
2016
Long-term
effective
Normally
implemen
ting
will urge the enterprises controlled by the Company to
transfer the social retail drugstore assets to the third party to
solve the horizontal competition problem. 4. The
pharmaceutical distribution assets currently owned or
controlled by the Company are distributed outside
Guangdong and Guangxi regions there is no horizontal
competition with Sinopharm Accord the Company will not
engage in the same or similar operation businesses to
Sinopharm Accord in Guangdong and Guangxi in the future
if the Company and its holding enterprises obtain the new
business opportunities constituting substantial horizontal
competition (hereinafter referred to as competitive new
business) within the pharmaceutical distribution business
scope of Sinopharm Accord in Guangdong and Guangxi the
Company will send written notice to Sinopharm Accord and
try its utmost to firstly provide the new business opportunities
to Sinopharm Accord or its holding enterprises according to
the reasonable and fair terms and conditions so as to avoid the
horizontal competition with Sinopharm Accord and its
holding enterprises. 5. This commitment letter terminates
when following circumstances occur (subject to the earlier
one): (1) the Company is no longer the actual controller of
Sinopharm Accord; or (2) the shares of Sinopharm Accordterminate the listing at the stock exchange.”
Commitments
make in initial
public offering
or re-financing
Sinopharm
Holding
Commit
ment of
sharehol
ders
Sinopharm Holding made commitments in the Commitment
Letter About Sinopharm Group Co. Ltd. to Avoid Horizontal
Competition: “First the Company and the Company’swholly-owned controlling or other enterprises with actual
control (in addition to Sinopharm Accord and its controlling
enterprises hereinafter the same) don’t have businesses and
operations constituting the substantial horizontal competition
to Sinopharm Accord and its controlling enterprises. Second
the Company and the Company’s wholly-owned controlling
or other enterprises with actual control shall not engage
participate in or do businesses and activities in Guangdong
and Guangxi which constitute substantial competition to
Sinopharm Accord and pharmaceutical business services.Third the Company and the Company’s wholly-owned
controlling or other enterprises with actual control shall not
engage participate in or do businesses and activities which
constitute substantial competition to Sinopharm Accord and
pharmaceutical industry businesses. Fourth the Company
shall not take advantage of the control to Sinopharm Accord
to damage the legitimate rights and interests of Sinopharm
5 Sept.
2013
Long-term
effective
Controlli
ng
sharehold
er is
implemen
t in real
earnest
Sinophar
m Accord
will
actively
urged the
controllin
g
sharehold
er and
actual
controller
to fulfill
commitm
Accord and other shareholders (especially medium and small
shareholders). This commitment letter takes effect from the
issue date and remains in effect for the entire period when
the Company acts as the controlling shareholder or its related
party of Sinopharm Accord. Within the effective period of the
commitment if the Company violates this commitment and
causes a loss to Sinopharm Accord the Company will timelymake full compensation for Sinopharm Accord.”
ents
Sinopharm
Holding
Commit
ment of
sharehol
ders
Sinopharm Holding made commitments in the Commitment
Letter About Sinopharm Group Co. Ltd. to Regulate the
Related Transactions with China National Accord Medicines
Corporation Ltd.: “First when the Company is controllingSinopharm Accord the Company and the companies and
enterprises directly and indirectly controlled by the Company
(“related party” for short) will strictly regulate the related
transactions with Sinopharm Accord and its controlling
enterprises. Second for the related transactions that can not
be avoided nor have reasonable reasons to occur the
Company and related party shall sign normative related
transaction agreement in accordance with relevant laws with
Sinopharm Accord. Sinopharm Accord implements the
approval procedures and fulfills the information disclosure
obligations of the related transactions according to relevant
laws regulations rules other normative documents and the
constitutions of Sinopharm Accord. Third for the related
transactions that can not be avoided or have reasonable
reasons to occur the Company and related party shall abide
by the open fair and just market principles and confirm the
price of related transactions in accordance with the price that
the independent third party without association sets for the
same and similar transactions and ensure the fairness of the
price of the related transactions. Fourth when the board of
directors and the general meeting of stockholders of
Sinopharm Accord vote on the related transactions involving
the Company and other enterprises controlled by the
Company the Company shall fulfill the necessary obligations
that the associated directors and associated shareholders
abstain from voting in accordance with the relevant
provisions and abide by the legal procedures for approving
related transactions and the information disclosure
obligations. Fifth the Company guarantees to participate in
the shareholders' general meeting equally exercise the
corresponding rights and take the corresponding obligations
in accordance with the constitutions of Sinopharm Accord
5 Sept.
2013
Long-term
effective
Controlli
ng
sharehold
er is
implemen
t in real
earnest
Sinophar
m Accord
will
actively
urged the
controllin
g
sharehold
er and
actual
controller
to fulfill
commitm
ents
not to take advantage of controlling shareholder status to seek
improper benefits or utilize related transactions to illegally
transfer the funds and profits of Sinopharm Accord and not
to damage the legitimate rights and interests of other
shareholders (especially the medium and small shareholders)
of Sinopharm Accord. Sixth this commitment letter comes
into force from the issue date and remains in effect for the
entire period when the Company acts as the controlling
shareholder or its related party of Sinopharm Accord. Within
the effective period of the commitment if the Company
violates this commitment and causes a loss to Sinopharm
Accord the Company will timely make full compensation forSinopharmAccord.”
SINOPHA
RM
Commit
ment of
actual
controlle
r
"SINOPHARM made commitments in the Commitment
Letter About China National Pharmaceutical Group
Corporation to Avoid Horizontal Competition with ChinaNational Accord Medicines Corporation Ltd.: “First in thenext five years Sinopharm plans to take appropriate measures
(including assets replacement or acquisition equity
reorganization etc.) to resolve the horizontal competition
between Sinopharm Weiqida and Sinopharm Accord. Second
in addition to the past matters and matters disclosed in this
commitment letter the Company and the Company’s
wholly-owned controlling or other enterprises with actual
control rights (except for Sinopharm Accord and its
controlling enterprises the same as below) shall not directly
engaged in participate in or do the businesses an activities
constituting actual competition to the production and
operation of Sinopharm Accord in China. The relevant
commitments about avoiding horizontal competition that the
Company made in the past still remain in effect. Third the
Company shall not take advantage of the control relationship
to Sinopharm Accord to damage the legitimate rights and
interests of Sinopharm Accord and its shareholders
(especially the medium and small shareholders). Fourth this
commitment letter comes into force from the issue date and
remains in effect for the entire period when the Company acts
as the controlling shareholder or its related party ofSinopharmAccord.”
16 Oct.
2013
Long-term
effective
Actual
Controlle
r is
implemen
t in real
earnest
Sinophar
m Accord
will
actively
urged the
controllin
g
sharehold
er and
actual
controller
to fulfill
commitm
ents
SINOPHA
RM
Commit
ment of
actual
controlle
"SINOPHARM made commitments in the Commitment
Letter About Sinopharm Group Co. Ltd. to Regulate the
Related Transactions with China National Accord Medicines
Corporation Ltd.: “First when the Company is controllingSinopharm Accord the Company and the companies and
22 Sept.
2013
Long-term
effective
Actual
Controlle
r is
implemen
t in real
r enterprises directly and indirectly controlled by the Company
(“related party” for short) will strictly regulate the related
transactions with Sinopharm Accord and its controlling
enterprises. Second for the related transactions that can not
be avoided or have reasonable reasons to occur the Company
and related party shall sign normative related transaction
agreement in accordance with relevant laws with Sinopharm
Accord. Sinopharm Accord implements the approval
procedures and fulfills the information disclosure obligations
of the related transactions according to relevant laws
regulations rules other normative documents and the
constitutions of Sinopharm Accord. Third for the related
transactions that can not be avoided or have reasonable
reasons to occur the Company and related party shall abide
by the open fair and just market principles and confirm the
price of related transactions in accordance with the price that
the independent third party without association sets for the
same and similar transactions and ensure the fairness of the
price of the related transactions. Fourth when the board of
directors and the general meeting of stockholders of
Sinopharm Accord vote on the related transactions involving
the Company and other enterprises controlled by the
Company the Company shall fulfill the necessary obligations
that the associated directors and associated shareholders
abstain from voting in accordance with the relevant
provisions and abide by the legal procedures for approving
related transactions and the information disclosure
obligations. Fifth the Company guarantees not to take
advantage of actual controller status to seek improper benefits
or utilize related transactions to illegally transfer the funds
and profits of Sinopharm Accord and not to damage the
legitimate rights and interests of other shareholders
(especially the medium and small shareholders) of Sinopharm
Accord. Sixth this commitment letter comes into force from
the issue date and remains in effect for the entire period when
the Company acts as the actual controller or its related party
of Sinopharm Accord.earnest
Sinophar
m Accord
will
actively
urged the
controllin
g
sharehold
er and
actual
controller
to fulfill
commitm
ents
Equity
incentive
commitment
Other
commitments
for medium
and small
shareholders
Completed on
time (Y/N) Y
IV. Predict of the business performance from January to June 2019
Warnings and reasons of the predict that the cumulative net profit from the begin of the year to the end of next report period may be
loss or have great changes comparing with the same period of last year
□Applicable √Not applicable
V. Securities Investment
□Applicable √ Not applicable
No security investment in the Period.VI. Derivative investment
□Applicable √ Not applicable
No derivative investment in the Period.VII. Registration form for receiving research communication and interview in the report
period
□Applicable √Not applicable
The Company had no receiving research communication or interview in the report period.VIII. Guarantee outside against the regulation
□Applicable √Not applicable
The Company had no guarantee outside against the regulation in the period.IX. Non-operational fund occupation from controlling shareholders and its related party
□Applicable √ Not applicable
The Company had no non-operational fund occupation form controlling shareholders and its related party in the period.Section IV. Financial Statement
I. Financial statement
1. Consolidate balance sheet
Prepared by China National Accord Medicines Corporation Ltd.In RMB
Item 2019-3-31 2018-12-31
Current assets:
Monetary funds 7227934452.95 8089781304.56
Settlement provisions
Capital lent
Transactional financial assets
Financial assets measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial assets
Note receivable and account
receivable
12883896343.83 10694173577.55
Including: Note receivable 1291769217.58 1357311929.63
Account receivable 11592127126.25 9336861647.92
Accounts paid in advance 469305072.68 583484515.95
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance
receivable
Other account receivable 669828115.37 643493359.32
Including: Interest receivable 10774272.10 8223327.64
Dividend receivable
Buying back the sale of financial
assets
Inventories 5021180614.11 4389335942.19
Contractual assets
Assets held for sale
Non-current asset due within one year 216449.81 0.00
Other current assets 78322158.95 95347629.18
Total current assets 26350683207.70 24495616328.75
Non-current assets:
Loans and payments on behalf
Creditor's rights investment
Finance asset available for sales
Other creditor's rights investment
Held-to-maturity investment
Long-term account receivable
Long-term equity investment 1965032173.28 1880393786.10
Other Equity Instrument Investment 13685760.00 13685760.00
Other non-current financial assets 140000000.00 140000000.00
Investment Real Estate 142440522.94 144894495.97
Fixed assets 599595334.28 607933827.67
Construction in progress 23196302.61 36412614.61
Productive biological asset
Oil and gas asset
Right-of-use assets
Intangible assets 325672972.38 319207126.15
Expense on Research and
Development
Goodwill 833547800.60 833547800.60
Long-term expenses to be apportioned 307485030.89 311328706.46
Deferred income tax asset 79583749.57 74914209.95
Other non-current asset 74361692.49 72365863.71
Total non-current asset 4504601339.04 4434684191.22
Total assets 30855284546.74 28930300519.97
Current liabilities:
Short-term loans 2966927256.65 2597652702.43
Loan from central bank
Capital borrowed
Transactional financial liabilities
Financial liability measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Note payable and account payable 11051700299.25 9885291642.97
Accounts received in advance
Selling financial asset of repurchase
Absorbing deposit and interbank
deposit
Security trading of agency
Security sales of agency
Wage payable 161756066.12 231866407.40
Taxes payable 206747491.44 241980412.72
Other account payable 1697350774.81 1539436971.93
Including: Interest payable 23450973.62 21906660.63
Dividend payable 6389320.96 6389320.96
Commission charge and commission
payable
Reinsurance payable
Contractual liability 237075149.10 255590612.37
Liability held for sale
Non-current liabilities due within one
year
5810749.03 5861324.37
Other current liabilities 437717.78 292465.75
Total current liabilities 16327805504.18 14757972539.94
Non-current liabilities:
Insurance contract reserve
Long-term loans 31600000.00 31600000.00
Bonds payable
Including: preferred stock
Perpetual capital securities
Lease liabilities
Long-term account payable 3249184.86 4563978.52
Long-term wages payable 2050000.00 2050000.00
Accrual liability
Deferred income 93363910.59 91491170.40
Deferred income tax liabilities 73707747.31 67605161.88
Other non-current liabilities 68719380.11 69241176.18
Total non-current liabilities 272690222.87 266551486.98
Total liabilities 16600495727.05 15024524026.92
Owner’s equity:
Share capital 428126983.00 428126983.00
Other equity instrument
Including: preferred stock
Perpetual capital
securities
Capital public reserve 4320984981.51 4320984981.51
Less: Inventory shares
Other comprehensive income
Special reserves
Surplus public reserve 214063491.50 214063491.50
Provision of general risk
Retained profit 6955406159.35 6655257147.27
Total owner’s equity attributable to parent
company
11918581615.36 11618432603.28
Minority interests 2336207204.33 2287343889.77
Total owner’s equity 14254788819.69 13905776493.05
Total liabilities and owner’s equity 30855284546.74 28930300519.97
Legal Representative: Lin Zhaoxiong
Person in charge of accounting works: Wei Pingxiao
Person in charge of accounting institute: Wang Ying
2. Company Balance Sheet
In RMB
Item 2019-3-31 2018-12-31
Current assets:
Monetary funds 1610546696.63 1817654598.01
Transactional financial assets
Financial assets measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial assets
Note receivable and account
receivable
778182144.17 695107574.33
Including: Note receivable 61801525.19 63870980.39
Account receivable 716380618.98 631236593.94
Accounts paid in advance 2866786.21 4760182.00
Other account receivable 1738408183.81 1541980883.50
Including: Interest receivable 10239458.70 7550877.07
Dividend receivable
Inventories 248756233.39 158166185.65
Contractual assets
Assets held for sale
Non-current asset due within one year
Other current assets 39482.38 39482.38
Total current assets 4378799526.59 4217708905.87
Non-current assets:
Creditor's right investment
Finance asset available for sales
Other Creditor's right investment
Held-to-maturity investment
Long-term account receivable
Long-term equity investment 7520772179.63 7432906692.24
Other Equity Instrument Investment
Other non-current financial assets 140000000.00 140000000.00
Investment real estate 1753860.08 1955854.46
Fixed assets 20366256.30 21362422.03
Construction in progress
Productive biological asset
Oil and gas asset
Right-of-use assets
Intangible assets 2510842.98 2452222.51
Expense on Research and
Development
Goodwill
Long-term expenses to be apportioned 7393587.02 7481809.53
Deferred income tax asset
Other non-current asset 7000000.00 7000000.00
Total non-current asset 7699796726.01 7613159000.77
Total assets 12078596252.60 11830867906.64
Current liabilities:
Short-term loans 589000000.00 539000000.00
Transactional financial liabilities
Financial liability measured by fair
value and with variation reckoned into
current gains/losses
Derivative financial liability
Note payable and account payable 869660213.37 694367042.00
Accounts received in advance
Contractual liability 5410556.58 4182083.40
Wage payable 24216942.71 36233563.12
Taxes payable 9550478.10 13426601.90
Other account payable 1414671051.06 1481817856.56
Including: Interest payable 3170194.80 1354592.35
Dividend payable
Liability held for sale
Non-current liabilities due within 1
year
Other current liabilities 286774.36 226427.99
Total current liabilities 2912796016.18 2769253574.97
Non-current liabilities:
Long-term loans 31600000.00 31600000.00
Bonds payable
Including: preferred stock
Perpetual capital securities
Lease liabilities
Long-term account payable 800000.00 800000.00
Long-term wages payable 118000.00 118000.00
Accrual liability
Deferred income 1598343.17 1687899.50
Deferred income tax liabilities 2264238.33 2298426.39
Other non-current liabilities
Total non-current liabilities 36380581.50 36504325.89
Total liabilities 2949176597.68 2805757900.86
Owner’s equity:
Share capital 428126983.00 428126983.00
Other equity instrument
Including: preferred stock
Perpetual capital securities
Capital public reserve 4426362777.26 4426362777.26
Less: Inventory shares
Other comprehensive income
Special reserves
Surplus public reserve 214063491.50 214063491.50
Retained profit 4060866403.16 3956556754.02
Total owner’s equity 9129419654.92 9025110005.78
Total liabilities and owner’s equity 12078596252.60 11830867906.64
3. Consolidated Income Statement
In RMB
Item Current period Last period
I. Total operating income 11879309078.82 10256566731.51
Including: Operating income 11879309078.82 10256566731.51
Interest income
Insurance gained
Commission charge and commission
income
II. Total operating cost 11537438016.52 9962364535.96
Including: Operating cost 10577400754.11 9138308909.43
Interest expense
Commission charge and commission
expense
Cash surrender value
Net amount of expense of compensation
Net amount of withdrawal of insurance contract
reserve
Bonus expense of guarantee slip
Reinsurance expense
Tax and extras 30332457.09 26770236.12
Sales expense 715774974.40 606866589.59
Administrative expense 177959158.93 169516240.49
R&D expense
Financial expense 31054269.89 22272552.43
Including: Interest expenses 58290745.18 36406979.15
Interest income 29668524.26 10935569.52
Losses of devaluation of asset 516563.77 -530515.38
Losses of devaluation of credit 4399838.33 -839476.72
Add: other income 1089732.58 1419763.88
Investment income (Loss is listed with “-”) 81891387.17 82615372.00
Including: Investment income on affiliated
company and joint venture
81891387.17 82615372.00
Exchange income (Loss is listed with “-”)
Net income of exposure hedging (Loss is
listed with “-”)
Income from change of fair value (Loss is
listed with “-”)
Income from assets disposal (Loss is listed
with “-”)
-14209.30 3830300.39
III. Operating profit (Loss is listed with “-”) 424837972.75 382067631.82
Add: Non-operating income 1840284.73 1360096.85
Less: Non-operating expense 359824.55 624679.96
IV. Total Profit (Loss is listed with “-”) 426318432.93 382803048.71
Less: Income tax expense 81698106.29 69964333.16
V. Net profit (Net loss is listed with “-”) 344620326.64 312838715.55
(i) Classify by business continuity
1. Net profit from continuous operation (Net loss
is listed with “-”)
344620326.64 312838715.55
2. Net profit from discontinued operation (Net
loss is listed with “-”)
(ii) Classify by ownership
1. Net profit attributable to owners of parent
company
300149012.08 292731685.33
2. Minority shareholders’ gains and losses 44471314.56 20107030.22
VI. Net after-tax of other comprehensive income
Net after-tax of other comprehensive income
attributable to owners of parent company
(i) Other comprehensive income items which
will not be reclassified subsequently to gain/loss
1.Re-measurement of the change of
defined benefit plan
2.Other comprehensive income unable
transfer to gain/loss under equity method
3. Change of fair value of investment in
other equity instrument
4.Fair value change of enterprise's credit
risk
5. Other
(ii) Other comprehensive income items which
will be reclassified subsequently to profit or loss
1.Other comprehensive income able to
transfer to gain/loss under equity method
2.Change of fair value of other debt
investment
3.Gains or losses arising from changes in
fair value of available-for-sale financial assets
4.Amount of financial assets re-classify
to other comprehensive income
5.Gains or losses arising from
reclassification of held-to-maturity investment as
available-for-sale financial assets
6.Credit impairment provision for other
debt investment
7.Cash flow hedging reserve
8.Translation differences arising on
translation of foreign currency financial statements
9. Other
Net after-tax of other comprehensive income
attributable to minority shareholders
VII. Total comprehensive income 344620326.64 312838715.55
Total comprehensive income attributable to
owners of parent Company
300149012.08 292731685.33
Total comprehensive income attributable to
minority shareholders
44471314.56 20107030.22
VIII. Earnings per share:
(i) Basic earnings per share 0.70 0.68
(ii) Diluted earnings per share 0.70 0.68
Enterprise combine under the same control in the Period the combined party realized net profit of 0 Yuan before combination and
realized 0 Yuan at last period for combined party
Legal Representative: Lin Zhaoxiong
Person in charge of accounting works: Wei Pingxiao
Person in charge of accounting institute: Wang Ying
4. Company Income Statement
In RMB
Item Current period Last period
I. Operation income 980473288.29 838120017.53
Less: Operating cost 941804760.61 799779364.60
Tax and extras 1316238.98 835459.34
Sales expense 14925549.11 12616898.48
Administrative expense 14279164.82 17050142.14
R&D expense
Financial expense -13902193.26 -8050984.45
Including: Interest expenses 10213129.26 10790064.92
Interest income 24381516.96 19000031.39
Losses of devaluation of asset 361970.94 615777.60
Losses of devaluation of credit
Add: other income 193207.80 326108.76
Investment income (Loss is listed with“-”) 87865487.39 86415508.07
Including: Investment income on affiliated
company and joint venture
87865487.39 86415508.07
Net income of exposure hedging (Loss is
listed with “-”)
Income from change of fair value (Loss is
listed with “-”)
Income from assets disposal (Loss is listed
with “-”)
II. Operating profit (Loss is listed with “-”) 109746492.28 102014976.65
Add: Non-operating income 45736.26 1.36
Less: Non-operating expense 127688.63
III. Total Profit (Loss is listed with “-”) 109792228.54 101887289.38
Less: Income tax expense 5482579.40 3887522.50
IV. Net profit (Net loss is listed with “-”) 104309649.14 97999766.88
(i) net profit from continuous operation (Net loss
is listed with “-”)
104309649.14 97999766.88
(ii) net profit from discontinued operation (Net
loss is listed with “-”)
V. Net after-tax of other comprehensive income
(i) Other comprehensive income items which
will not be reclassified subsequently to gain/loss
1.Re-measurement of the change of
defined benefit plan
2.Other comprehensive income unable
transfer to gain/loss under equity method
3.Change of fair value of investment in
other equity instrument
4.Fair value change of enterprise's credit
risk
5.Other
(ii) Other comprehensive income items which
will be reclassified subsequently to profit or
loss
1.Other comprehensive income able to
transfer to gain/loss under equity method
2.Change of fair value of other debt
investment
3.Gains or losses arising from changes in
fair value of available-for-sale financial assets
4.Amount of financial assets re-classify
to other comprehensive income
5.Gains or losses arising from
reclassification of held-to-maturity investment as
available-for-sale financial assets
6.Credit impairment provision for other
debt investment
7.Cash flow hedging reserve
8.Translation differences arising on
translation of foreign currency financial statements
9. Other
VI. Total comprehensive income 104309649.14 97999766.88
VII. Earnings per share:
(i) Basic earnings per share
(ii) Diluted earnings per share
5. Consolidated Cash Flow Statement
In RMB
Item Current period Last period
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor
services
11235250201.33 9559665373.83
Net increase of customer deposit
and interbank deposit
Net increase of loan from central
bank
Net increase of capital borrowed
from other financial institution
Cash received from original
insurance contract fee
Net cash received from reinsurance
business
Net increase of insured savings and
investment
Net increase of amount from
disposal financial assets that measured
by fair value and with variation
reckoned into current gains/losses
Cash received from interest
commission charge and commission
Net increase of capital borrowed
Net increase of returned business
capital
Net cash received by agents in
sale and purchase of securities
Write-back of tax received 389.03
Other cash received concerning
operating activities
132553315.42 148125927.35
Subtotal of cash inflow arising from
operating activities
11367803516.75 9707791690.21
Cash paid for purchasing
commodities and receiving labor
service
10889119533.11 9484567939.67
Net increase of customer loans
and advances
Net increase of deposits in central
bank and interbank
Cash paid for original insurance
contract compensation
Net increase of financial assets
held for transaction purposes
Net increase of capital lent
Cash paid for interest commission
charge and commission
Cash paid for bonus of guarantee
slip
Cash paid to/for staff and workers 565281263.79 506267191.33
Taxes paid 319123756.29 263785194.50
Other cash paid concerning
operating activities
353646315.85 317887654.67
Subtotal of cash outflow arising from
operating activities
12127170869.04 10572507980.17
Net cash flows arising from operating
activities
-759367352.29 -864716289.96
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
1053000.00 757007.78
Net cash received from disposal of
fixed intangible and other long-term
assets
72078.73 5685052.04
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
44000000.00
Subtotal of cash inflow from investing
activities
1125078.73 50442059.82
Cash paid for purchasing fixed
intangible and other long-term assets
52402499.52 50791078.84
Cash paid for investment 20122074.00
Net increase of mortgaged loans
Net cash received from
subsidiaries and other units obtained
Other cash paid concerning
investing activities
2761.38 43999800.00
Subtotal of cash outflow from investing
activities
72527334.90 94790878.84
Net cash flows arising from investing
activities
-71402256.17 -44348819.02
III. Cash flows arising from financing
activities
Cash received from absorbing
investment
4392000.00 11493200.00
Including: Cash received from
absorbing minority shareholders’
investment by subsidiaries
4392000.00 11493200.00
Cash received from loans 10000000.00 13671657.79
Cash received from issuing bonds
Other cash received concerning
financing activities
170881105.78 101823564.80
Subtotal of cash inflow from financing
activities
185273105.78 126988422.59
Cash paid for settling debts 66561634.53 60000000.00
Cash paid for dividend and profit
distributing or interest paying
84053395.41 30822293.85
Including: Dividend and profit of
minority shareholder paid by
subsidiaries
2581864.12
Other cash paid concerning
financing activities
3976889.98 3127895.57
Subtotal of cash outflow from
financing activities
154591919.92 93950189.42
Net cash flows arising from financing
activities
30681185.86 33038233.17
IV. Influence on cash and cash
equivalents due to fluctuation in
exchange rate
605.19
V. Net increase of cash and cash
equivalents
-800087817.41 -876026875.81
Add: Balance of cash and cash
equivalents at the period -begin
7641958558.92 3673498691.48
VI. Balance of cash and cash
equivalents at the period -end
6841870741.51 2797471815.67
6. Cash Flow Statement of Parent Company
In RMB
Item Current period Last period
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor
services
979117418.50 762534474.46
Write-back of tax received
Other cash received concerning
operating activities
8959448.01 35545170.43
Subtotal of cash inflow arising from
operating activities
988076866.51 798079644.89
Cash paid for purchasing
commodities and receiving labor
service
893485571.99 809539295.55
Cash paid to/for staff and workers 31401584.94 28353128.47
Taxes paid 16046448.54 9359247.21
Other cash paid concerning
operating activities
9310459.60 5064967.04
Subtotal of cash outflow arising from
operating activities
950244065.07 852316638.27
Net cash flows arising from operating
activities
37832801.44 -54236993.38
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
16895775.01 15164809.14
Net cash received from disposal of
fixed intangible and other long-term
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
442400000.00 567200000.00
Subtotal of cash inflow from investing
activities
459295775.01 582364809.14
Cash paid for purchasing fixed
intangible and other long-term assets
1462422.93 3475188.15
Cash paid for investment
Net cash received from
subsidiaries and other units obtained
Other cash paid concerning
investing activities
629400000.00 564900000.00
Subtotal of cash outflow from investing
activities
630862422.93 568375188.15
Net cash flows arising from investing
activities
-171566647.92 13989620.99
III. Cash flows arising from financing
activities
Cash received from absorbing
investment
Cash received from loans 10000000.00 10000000.00
Cash received from issuing bonds
Other cash received concerning
financing activities
4517196050.81 3631131894.36
Subtotal of cash inflow from financing
activities
4527196050.81 3641131894.36
Cash paid for settling debts 10000000.00 10000000.00
Cash paid for dividend and profit
distributing or interest paying
6245437.77 9054055.96
Other cash paid concerning
financing activities
4584325273.13 4194238186.87
Subtotal of cash outflow from
financing activities
4600570710.90 4213292242.83
Net cash flows arising from financing
activities
-73374660.09 -572160348.47
IV. Influence on cash and cash
equivalents due to fluctuation in
exchange rate
605.19
V. Net increase of cash and cash
equivalents
-207107901.38 -612407720.86
Add: Balance of cash and cash
equivalents at the period -begin
1817654598.01 1776696342.87
VI. Balance of cash and cash
equivalents at the period -end
1610546696.63 1164288622.01
II. Explanation on financial statement adjustment
1. Financial statement adjustment at the beginning of the first year when implementation of new financial
instrument rules new revenue rules and new leasing rules
□Applicable √Not applicable
2. Retrospective adjustment of the comparative data for initial implementation of new financial instrument
rules and new leasing rules
□Applicable √Not applicable
III. Audit report
Whether the first quarterly report had been audited or not
□ Yes √ No
The first quarterly report of the Company had not been audited.
China National Accord Medicines Corporation Ltd.
Legal representative: Lin Zhaoxiong
25 April 2019
沪公网安备31011802005267号
