Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Stock Code: 000505 200505 Stock Name: JLKG JL-B Announcement No. 2022-043

HAINAN JINGLIANG HOLDINGS CO. LTD.FIRST QUARTERLY REPORT 2022

Hainan Jingliang Holdings Co. Ltd. (hereinafter referred to as the “Company”) and all the

members of the Company’s 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 Notes:

1. The Board of Directors the Supervisory Committee as well as the directors supervisors and senior

management of the Company hereby guarantee that the contents of this Report are true accurate and complete and

free of any misrepresentations misleading statements or material omissions and collectively and individually

accept legal responsibility for such contents.

2. The Company’s legal representative head for financial affairs and head of the financial department (equivalent

to financial manager) hereby guarantee that the financial statements carried in this Report are true accurate and

complete.

3. Indicate whether the financial statements in this Report have been audited by an independent auditor.

□Yes √ No

I Key Financial Information

(I) Key Accounting Data and Financial Indicators

Indicate whether there is any retrospectively restated datum in the table below.□ Yes √ No

Q1 2022 Q1 2021 YoY change (%)

Operating revenue (RMB) 3024441143.44 2338783061.35 29.32%

Net profit attributable to the listed

36992676.2536585077.361.11%

company’s shareholders (RMB)

Net profit attributable to the listed

company’s shareholders before exceptional 36436748.65 32694567.66 11.45%

gains and losses (RMB)

Net cash generated from/used in operating

-193652734.08274757224.16-170.48%

activities (RMB)

Basic earnings per share (RMB/share) 0.05 0.05 0.00%

Diluted earnings per share (RMB/share) 0.05 0.05 0.00%

Weighted average return on equity (%) 1.26% 1.34% -0.08%

31 March 2022 31 December 2021 Change (%)

1Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Total assets (RMB) 6224379657.33 6046600058.90 2.94%

Equity attributable to the listed company’s

2952775710.842915802291.051.27%

shareholders (RMB)

(II) Exceptional Gains and Losses

√ Applicable □ Not applicable

Unit: RMB

Item Q1 2022 Note

Government grants through profit or loss (exclusive of government grants

continuously given in the Company’s ordinary course of business at fixed 393224.15

quotas or amounts as per the government’s policies and standards)

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

227979.72

liabilities and available-for-sale financial assets (exclusive of the effective

portion of hedges that arise in the Company’s ordinary course of business)

Non-operating income and expense other than the above 147654.85

Less: Income tax effects 192214.68

Non-controlling interests effects (net of tax) 20716.44

Total 555927.60 --

Other items that meet the definition of exceptional gain/loss:

□ Applicable √ Not applicable

No such cases in the Reporting Period.Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item listed in the Explanatory

Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the

Public—Exceptional Gain/Loss Items:

□ Applicable √ Not applicable

No such cases in the Reporting Period.(III) Changes in Key Financial Statement Line Items and Explanation of why

√ Applicable □ Not applicable

1. Monetary assets increased primarily driven by the maturity of some investments in wealth management

products and the increased advances from customers in the current period.

2. Prepayments increased primarily driven by the increased prepayments to suppliers as a result the purchases of

oils and oilseeds at the end of the current period.

3. Construction in progress increased primarily driven by the production line automation project of subsidiary in

the current period.

4. Derivative financial liabilities increased primarily driven by the changes in the fair value of hedging

instruments in the current period.

5. Cost of sales increased primarily driven by the increased costs of raw materials as a result of market changes in

the current period.

2Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

6. Net cash generated from operating activities decreased primarily driven by the increased purchase amount of

oils and oilseeds such as soybean in the current period.

7. Net cash generated from investing activities increased primarily driven by the maturity of some investments in

wealth management products in the current period.

8. Net cash generated from financing activities decreased primarily driven by higher repayments of bank loans in

the current period.II Shareholder Information

(I) Numbers of Ordinary Shareholders and Preference Shareholders with Resumed Voting Rights as well

as Holdings of Top 10 Shareholders

Unit: share

Number of preferred

shareholders with resumed

Number of ordinary shareholders at the period-end 94397 0

voting rights at the period-end

(if any)

Top 10 shareholders

Shareholdi Shares in pledge marked or

Nature of Total shares Restricted

Name of shareholder ng frozen

shareholder held shares held

percentage Status Shares

State-owned

BEIJING GRAIN GROUP CO. LTD. 39.68% 288439561

legal person

BEIJING STATE-OWNED CAPITAL

State-owned

OPERATION AND MANAGEMENT 6.67% 48510460

legal person

COMPANY LIMITED

Domestic

WANG YUECHENG natural 5.66% 41159887 41159887

person

Foreign

LISHERYNZHANMING natural 0.60% 4341900

person

BEIJING XIHE ELITE

INVESTMENT CO. LTD.-XIHE AI

Other 0.39% 2861318

STRATEGY NO.1 PRIVATE

SECURITIES INVESTMENT FUND

Domestic

MEI JIANYING natural 0.36% 2604203

person

AGRICULTURAL BANK OF

CHINA LIMITED-SWS MU

Other 0.34% 2472800

INTELLIGENT DRIVING STOCK

SECURITIES INVESTMENT FUND

Domestic

ZHANG XIAOXIA natural 0.27% 1949250

person

Domestic

WANG XIAOXING natural 0.23% 1679200

person

CITIC SECURITIES COMPANY

LIMITED-TIANHONG CHINA Other 0.19% 1416800

SECURITIES FOOD AND

BEVERAGE EXCHANGE TRADED

3Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

FUND

Top 10 unrestricted shareholders

Shares by type

Name of shareholder Unrestricted shares held

Type Shares

RMB-denominate

BEIJING GRAIN GROUP CO. LTD. 288439561 288439561

d ordinary stock

BEIJING STATE-OWNED CAPITAL

RMB-denominate

OPERATION AND MANAGEMENT COMPANY 48510460 48510460

d ordinary stock

LIMITED

Domestically

LISHERYNZHANMING 4341900 listed foreign 4341900

stock

BEIJING XIHE ELITE INVESTMENT CO.RMB-denominate

LTD.-XIHE AI STRATEGY NO.1 PRIVATE 2861318 2861318

d ordinary stock

SECURITIES INVESTMENT FUND

RMB-denominate

MEI JIANYING 2604203 2604203

d ordinary stock

AGRICULTURAL BANK OF CHINA

RMB-denominate

LIMITED-SWS MU INTELLIGENT DRIVING 2472800 2472800

d ordinary stock

STOCK SECURITIES INVESTMENT FUND

Domestically

ZHANG XIAOXIA 1949250 listed foreign 1949250

stock

RMB-denominate

WANG XIAOXING 1679200 1679200

d ordinary stock

CITIC SECURITIES COMPANY

LIMITED-TIANHONG CHINA SECURITIES RMB-denominate

14168001416800

FOOD AND BEVERAGE EXCHANGE TRADED d ordinary stock

FUND

SHANGHAI RED WALL TAIHE FUND

MANAGEMENT CO. LTD. –JINHU RMB-denominate

12336001233600

INCREASING INDEX PHASE IV PRIVATE d ordinary stock

INVESTMENT FUND

* Beijing State-Owned Capital Operation and Management Company

Limited owns 100% of Beijing Grain Group Co. Ltd. and Beijing Grain

Group Co. Ltd. is the controlling shareholder of the Company (a 39.68%

Related or acting-in-concert parties among the

holding). * Wang Yuecheng is a Deputy General Manager of the Company.shareholders above

Apart from the aforesaid the Company does not know whether there are any

other related parties or acting-in-concert parties among the top 10

shareholders.Shareholder Wang Xiaoxing held 1679200 shares in the Company through

Top 10 shareholders engaged in securities margin

his account of collateral securities for margin trading in Soochow Securities

trading (if any)

Co. Ltd.(II) Number of Preference Shareholders and Shareholdings of Top 10 of Them

□ Applicable √ Not applicable

III Other Significant Events

√ Applicable □ Not applicable

1. On 14 January 2022 the Company received the CSRC’s Notice on the First Feedback for Review of

Administrative Permission Projects (No. 213494) issued by China Securities Regulatory Commission (hereinafter

4Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

referred to as “CSRC”). The Company actively and carefully checked the problems stipulated in the feedback and

implemented them one by one with the relevant intermediary. On 12 February 2022 the Company disclosed the

Reply on the Feedback for the Application of Private Placement of Stocks by Hainan Jingliang Holdings Co. Ltd.

2. In order to implement relevant work requirements of governing enterprises based on laws and further improve

the Company’s legal construction level the Company revised the relevant contents of the Articles of Association

based on the actual legal work and the Company’s compliance management requirements. For more details please

refer to the Announcement on Revising the Articles of Association by Hainan Jingliang Holdings Co. Ltd. (No.:

2022-009) disclosed by the Company on 24 February 2022.

3. On 22 March 2022 the Company and Beijing Capital Agribusiness & Foods Group Co. Ltd. signed the

Supplementary Agreement of the Conditional Subscription Agreement. Agreed by both parties the number of this

private placement of stocks was changed from not exceeding 105633802 shares to not exceeding 92195422

shares (inclusive) and the intended total raised fund through this private placement of stocks (including issuance

expenses) was changed from RMB600 million to not exceeding RMB523.67 million (inclusive). The Company

revised documents related to this private placement of stocks in accordance with the adjusted total amount of

funds raised the number of issues and other content. The private placement of stocks and related-party

transactions are still subject to the approval of CSRC.

4. In order to build and improve the Company’s long-term incentive mechanism attract and retain outstanding

talents and fully mobilize the enthusiasm of core backbones the Company disclosed the Restricted Stock Incentive

Plan in 2022 (Draft) and its Abstract by Hainan Jingliang Holdings Co. Ltd. on 23 March 2022. The number of

incentive objects to be granted for the first time is not more than 45 and the number of restricted shares to be

granted is 7.21 million shares accounting for about 0.99% of the Company’s total share capital. The plan still

needs to be approved by the Company’s general meeting of shareholders. For more details please refer to relevant

announcements disclosed by the Company on 23 March 2022.IV Quarterly Financial Statements

(I) Financial Statements

1. Consolidated Balance Sheet

Prepared by Hainan Jingliang Holdings Co. Ltd.

31 March 2022

Unit: RMB

Item 31 March 2022 31 December 2021

Current assets:

Monetary assets 721400323.02 507144668.45

Settlement reserve

Loans to other banks and financial institutions

Held-for-trading financial assets 20000000.00 40377048.08

Derivative financial assets

Notes receivable

5Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Accounts receivable 70691097.80 82694094.62

Receivables financing

Prepayments 287678238.76 87803762.15

Premiums receivable

Reinsurance receivables

Receivable reinsurance contract reserve

Other receivables 291315569.58 284756636.27

Including: Interest receivable

Dividends receivable

Financial assets purchased under resale agreements

Inventories 1745367023.26 1903372572.18

Contract assets

Assets held for sale

Current portion of non-current assets 156139100.00 156139100.00

Other current assets 800188506.14 820500621.47

Total current assets 4092779858.56 3882788503.22

Non-current assets:

Loans and advances to customers

Debt investments

Other debt investments

Long-term receivables

Long-term equity investments 235595387.41 230799437.53

Investments in other equity instruments 20000000.00 20000000.00

Other non-current financial assets

Investment property 20911592.77 20925683.56

Fixed assets 1094746606.76 1120758409.49

Construction in progress 15075786.27 11220840.10

Productive living assets

Oil and gas assets

Right-of-use assets 7651044.48 8045406.28

Intangible assets 336733564.12 339970477.87

Development costs

Goodwill 191394422.51 191394422.51

Long-term prepaid expense 17487016.89 17383818.41

Deferred income tax assets 2262380.82 13571063.19

Other non-current assets 189741996.74 189741996.74

Total non-current assets 2131599798.77 2163811555.68

Total assets 6224379657.33 6046600058.90

Current liabilities:

Short-term borrowings 1009268752.12 1521669601.35

Borrowings from the central bank

Loans from other banks and financial institutions

Held-for-trading financial liabilities

Derivative financial liabilities 115457898.63 70305871.37

Notes payable 487228166.27 0.00

Accounts payable 147990738.95 186748746.42

6Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Advances from customers 1376416.48 996173.41

Contract liabilities 615316089.75 520816995.93

Financial assets sold under repurchase agreements

Customer deposits and deposits from other banks and

financial institutions

Payables for acting trading of securities

Payables for underwriting of securities

Employee benefits payable 18724912.42 42130650.49

Taxes and levies payable 48218431.20 104347852.69

Other payables 99739929.37 73985586.39

Including: Interest payable 21082795.47 21082795.47

Dividends payable 3213302.88 3213302.88

Fees and commissions payable

Reinsurance payables

Liabilities directly associated with assets held for sale

Current portion of non-current liabilities 1242398.95 1582978.69

Other current liabilities 66507093.43 22994553.60

Total current liabilities 2611070827.57 2545579010.34

Non-current liabilities:

Insurance contract reserve

Long-term borrowings 71000000.00 71000000.00

Bonds payable

Including: Preference shares

Perpetual bonds

Lease liabilities 1756141.24 1694702.62

Long-term payables

Long-term employee benefits payable 5677134.00 5677134.00

Provisions

Deferred income 64785936.58 65244499.48

Deferred income tax liabilities 115371757.01 45250919.91

Other non-current liabilities

Total non-current liabilities 258590968.83 188867256.01

Total liabilities 2869661796.40 2734446266.35

Owners’ equity:

Share capital 726950251.00 726950251.00

Other equity instruments

Including: Preference shares

Perpetual bonds

Capital reserves 1675918350.95 1675918350.95

Less: Treasury stock

Other comprehensive income -701538.68 -682282.22

Specific reserve

Surplus reserves 122122436.98 122122436.98

General reserve

Retained earnings 428486210.59 391493534.34

Total equity attributable to owners of the Company as the

2952775710.842915802291.05

parent

Non-controlling interests 401942150.09 396351501.50

7Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Total owners’ equity 3354717860.93 3312153792.55

Total liabilities and owners’ equity 6224379657.33 6046600058.90

Legal representative: Wang Chunli Head for financial affairs: Guan Ying

Head of the financial department: Liu Quanli

2. Consolidated Income Statement

Unit: RMB

Item Q1 2022 Q1 2021

1. Revenues 3024441143.44 2338783061.35

Including: Operating revenue 3024441143.44 2338783061.35

Interest income

Insurance premium income

Fee and commission income

2. Costs and expenses 3012615529.48 2333218041.73

Including: Cost of sales 2914408603.03 2226013163.78

Interest expense

Fee and commission expense

Surrenders

Net insurance claims paid

Net amount provided as insurance contract

reserve

Expenditure on policy dividends

Reinsurance premium expense

Taxes and levies 6413981.99 5955781.15

Selling expense 37678412.70 48411864.19

Administrative expense 44323382.26 44040201.27

R&D expense 2267459.83 2417187.46

Finance costs 7523689.67 6379843.88

Including: Interest expense 8818262.01 8671148.55

Interest income 3429892.14 2685086.53

Add: Other income 2423270.98 3012534.83

Return on investment (“-” for loss) 5018549.94 4619547.66

Including: Share of profit or loss of joint ventures

4795949.880.00

and associates

Income from the derecognition of financial assets

at amortized cost (“-” for loss)

Exchange gain (“-” for loss)

Net gain on exposure hedges (“-” for loss)

Gain on changes in fair value (“-” for loss) 41070955.32 47688252.08

Credit impairment loss (“-” for loss) -600.00 0.00

Asset impairment loss (“-” for loss)

Asset disposal income (“-” for loss) 0.00 -24042.07

3. Operating profit (“-” for loss) 60337790.20 60861312.12

Add: Non-operating income 332367.28 489618.17

Less: Non-operating expense 184982.43 151256.17

4. Gross profit (“-” for loss) 60485175.05 61199674.12

8Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Less: Income tax expense 17901850.21 19094319.28

5. Net profit (“-” for net loss) 42583324.84 42105354.84

5.1 By operating continuity

5.1.1 Net profit from continuing operations (“-” for net

42583324.8442105354.84

loss)

5.1.2 Net profit from discontinued operations (“-” for net

loss)

5.2 By ownership

5.2.1 Net profit attributable to owners of the Company

36992676.2536585077.36

as the parent

5.2.1 Net profit attributable to non-controlling interests 5590648.59 5520277.48

6. Other comprehensive income net of tax -19256.46 60282.38

Attributable to owners of the Company as the parent -19256.46 60282.38

6.1 Items that will not be reclassified to profit or loss

6.1.1 Changes caused by remeasurements on defined

benefit schemes

6.1.2 Other comprehensive income that will not be

reclassified to profit or loss under the equity method

6.1.3 Changes in the fair value of investments in other

equity instruments

6.1.4 Changes in the fair value arising from changes

in own credit risk

6.1.5 Other

6.2 Items that will be reclassified to profit or loss -19256.46 60282.38

6.2.1 Other comprehensive income that will be

reclassified to profit or loss under the equity method

6.2.2 Changes in the fair value of other debt

investments

6.2.3 Other comprehensive income arising from the

reclassification of financial assets

6.2.4 Credit impairment allowance for other debt

investments

6.2.5 Reserve for cash flow hedges

6.2.6 Differences arising from the translation of

-19256.4660282.38

foreign currency-denominated financial statements

6.2.7 Other

Attributable to non-controlling interests

7. Total comprehensive income 42564068.38 42165637.22

Attributable to owners of the Company as the parent 36973419.79 36645359.74

Attributable to non-controlling interests 5590648.59 5520277.48

8. Earnings per share

8.1 Basic earnings per share 0.05 0.05

8.2 Diluted earnings per share 0.05 0.05

Where business combinations under common control occurred in the current period the net profit achieved by the acquirees before

the combinations was RMBXXX with the amount for the same period of last year being RMBXXX.Legal representative: Wang Chunli Head for financial affairs: Guan Ying

Head of the financial department: Liu Quanli

3. Consolidated Cash Flow Statement

Unit: RMB

Item Q1 2022 Q1 2021

9Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

1. Cash flows from operating activities:

Proceeds from sale of commodities and rendering of

3490873470.892723222764.35

services

Net increase in customer deposits and deposits from other

banks and financial institutions

Net increase in borrowings from the central bank

Net increase in loans from other financial institutions

Premiums received on original insurance contracts

Net proceeds from reinsurance

Net increase in deposits and investments of policy holders

Interest fees and commissions received

Net increase in loans from other banks and financial

institutions

Net increase in proceeds from repurchase transactions

Net proceeds from acting trading of securities

Tax and levy rebates 1867024.15 2397841.07

Cash generated from other operating activities 469056216.14 500143601.78

Subtotal of cash generated from operating activities 3961796711.18 3225764207.20

Payments for commodities and services 3086121372.97 2302395084.62

Net increase in loans and advances to customers

Net increase in deposits in the central bank and other banks

and financial institutions

Payments for claims on original insurance contracts

Net increase in loans to other banks and financial

institutions

Interest fees and commissions paid

Policy dividends paid

Cash paid to and for employees 98831197.02 92696571.12

Taxes and levies paid 75217482.59 68496499.66

Cash used in other operating activities 895279392.68 487418827.64

Subtotal of cash used in operating activities 4155449445.26 2951006983.04

Net cash generated from/used in operating activities -193652734.08 274757224.16

2. Cash flows from investing activities:

Proceeds from disinvestment 788813406.52 553344218.29

Return on investment 287632.12 4786581.45

Net proceeds from the disposal of fixed assets intangible

85920.0085994.78

assets and other long-lived assets

Net proceeds from the disposal of subsidiaries and other

business units

Cash generated from other investing activities

Subtotal of cash generated from investing activities 789186958.64 558216794.52

Payments for the acquisition of fixed assets intangible

7527581.7516999069.25

assets and other long-lived assets

Payments for investments 325100000.00 510000000.00

Net increase in pledged loans granted

Net payments for the acquisition of subsidiaries and other

business units

Cash used in other investing activities

Subtotal of cash used in investing activities 332627581.75 526999069.25

Net cash generated from/used in investing activities 456559376.89 31217725.27

3. Cash flows from financing activities:

10Hainan Jingliang Holdings Co. Ltd. First Quarterly Report 2022

Capital contributions received

Including: Capital contributions by non-controlling

interests to subsidiaries

Borrowings raised 1703236552.54 921639571.50

Cash generated from other financing activities

Subtotal of cash generated from financing activities 1703236552.54 921639571.50

Repayment of borrowings 1736260054.46 908547195.60

Interest and dividends paid 15417654.47 16299326.30

Including: Dividends paid by subsidiaries to

non-controlling interests

Cash used in other financing activities

Subtotal of cash used in financing activities 1751677708.93 924846521.90

Net cash generated from/used in financing activities -48441156.39 -3206950.40

4. Effect of foreign exchange rates changes on cash and cash

-41138.7938441.99

equivalents

5. Net increase in cash and cash equivalents 214424347.63 302806441.02

Add: Cash and cash equivalents beginning of the period 506928810.69 334389017.41

6. Cash and cash equivalents end of the period 721353158.32 637195458.43

(II) Independent Auditor’s Report

Indicate by tick mark whether the financial statements above have been audited by an independent auditor.□ Yes √ No

These financial statements have not been audited by such an auditor.Hainan Jingliang Holdings Co. Ltd.

27 April 2022

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