China Fangda Group Co., Ltd
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2017 Annual Report of China Fangda Group Co., Ltd. China Fangda Group Co., Ltd. 2017 Annual Report April 2018 1 2017 Annual Report of China Fangda Group Co., Ltd. Chapter 1 Important Statement, Table of Contents and Definitions The members of the Board and the Company guarantee that the announcement is free from any false information, misleading statement or material omission and are jointly and severally liable for the information’s truthfulness, accuracy and integrity. Mr. Xiong Jianming, the Chairman of Board, Mr. Lin Kebin, the Chief Financial Officer, and Mr. Wu Bohua, the manager of accounting department declare: the Financial Report carried in this report is authentic and completed. All the Directors have attended the meeting of the board meeting at which this report was examined. Forward-looking statements involved in this report including future plans do not make any material promise to investors. Investors should pay attention to investment risks. The Company needs to comply with disclosure requirements of the Shenzhen Stock Exchange Industry Information Disclosure Guideline No.6 – Listed Companies Engaged in Decoration Business and disclosure requirements of the Shenzhen Stock Exchange Industry Information Disclosure Guideline No.3 – Listed Companies Engaged in Property Development. The Company has specified market, management and production and operation risks in this report. Please review the potential risks and measures 2 2017 Annual Report of China Fangda Group Co., Ltd. mentioned in the discussion and analysis of future development in IV. Operation Discussion and Analysis. The Board meeting reviewed and approved the profit distribution preplan: distributing cash dividend of RMB1.50 (tax included) for each ten shares to all shareholders on the basis of 1,183,642,254 shares of the Company and no dividend share is issued to shareholders. No reserve is capitalized. 3 2017 Annual Report of China Fangda Group Co., Ltd. Table of Contents Chapter 1 Important Statement, Table of Contents and Definitions .......................................................................................................... 2 Chapter 2 About the Company and Financial Highlights .......................................................................................................................... 7 Chapter 3 Business Introduction.............................................................................................................................................................. 12 Chapter 4 Operation Discussion and Analysis......................................................................................................................................... 18 Chapter 5 Significant Events ................................................................................................................................................................... 43 Chapter 6 Changes in Share Capital and Shareholders ........................................................................................................................... 56 Chapter 7 Preferred Shares ...................................................................................................................................................................... 65 Chapter 8 Particulars about the Directors, Supervisors, Senior Management and Employees ............................................................... 66 Chapter 9 Corporation Governance ......................................................................................................................................................... 73 X. Information about the Company’s Securities...................................................................................................................................... 81 Chapter 11 Financial Statements ............................................................................................................................................................. 82 Chapter 12 Documents for Reference.................................................................................................................................................... 210 4 2017 Annual Report of China Fangda Group Co., Ltd. Refers Terms Description to Refers Fangda Group, company, the Company China Fangda Group Co., Ltd. to Refers Articles of Association Articles of Association of China Fangda Group Co., Ltd. to Refers Meeting of shareholders Meetings of shareholders of China Fangda Group Co., Ltd. to Refers Board of Directors Board of Directors of China Fangda Group Co., Ltd. to Refers Supervisory Committee Supervisory Committee of China Fangda Group Co., Ltd. to Refers Banglin Co. Shenzhen Banglin Technologies Development Co., Ltd. to Refers Shilihe Co. Shenzhen Shilihe Investment Co., Ltd. to Refers Shengjiu Co. Shengjiu Investment Ltd. to Refers Fangda Jianke Shenzhen Fangda Jianke Group Co., Ltd. to Refers Fangda Automatic Shenzhen Fangda Automation System Co., Ltd. to Refers Fangda New Material Fangda New Materials (Jiangxi) Co., Ltd. to Refers Fangda New Resource Shenzhen Fangda New Energy Co., Ltd. to Refers Fangda Property Shenzhen Fangda Property Development Co., Ltd. to Refers Chengdu Fangda Jianke Chengda Fangda Construction Technology Co., Ltd. to Refers Dongguan Fangda New Material Dongguan Fangda New Material Co., Ltd. to Refers Kechuangyuan Software Shenzhen Qianhai Kechuangyuan Software Co., Ltd. to Kexunda Co. Refers Shenzhen Kexunda Software Co., Ltd. 5 2017 Annual Report of China Fangda Group Co., Ltd. to Refers Fangda Property Shenzhen Fangda Property Management Co., Ltd. to Refers Jiangxi Property Fangda (Jiangxi) Property Development Co., Ltd. to Refers Hongjun Investment Company Shenzhen Hongjun Investment Co., Ltd. to Refers Jianke Australia Fangda Australia Pty Ltd to Refers Automatic Hong Kong Fangda Automation (Hong Kong) Co., Ltd. to Refers Shihui International Shihui International Holding Co., Ltd. to Refers Fangda SOZN Guangdong Fangda SOZN Lighting Co., Ltd. to Refers Shenyang Decoration Fangda Decoration Engineering (Shenyang) Co., Ltd. to Refers Shenyang Fangda Shenyang Fangda Semi-conductor Lighting Co., Ltd. to Refers Shenzhen Woke Shenzhen Woke Semi-conductor Lighting Co., Ltd. to Refers Fangda Aluminum Jiangxi Fangda New Type Aluminum Co., Ltd. to Refers CSRC China Securities Regulatory Commission to Refers SZSE Shenzhen Stock Exchange to Definitions 6 2017 Annual Report of China Fangda Group Co., Ltd. Chapter 2 About the Company and Financial Highlights 1. Company profiles Stock ID Fangda Group, Fangda B Stock code 000055, 200055 Modified stock ID (if any) None Stock Exchange Shenzhen Stock Exchange Chinese name China Fangda Group Co., Ltd. Chinese abbreviation Fangda Group English name (if any) CHINA FANGDA GROUP CO., LTD. English abbreviation (if any) CFGC Legal representative Xiong Jianming Fangda Technology Building, Kejinan 12th Avenue, High-tech Zone, Hi-tech Park South Zone, Registered address Shenzhen, PR China. Zip code 518057 20F, Fangda Technology Building, Kejinan 12 th Avenue, High-tech Zone, Hi-tech Park South Zone, Office address Shenzhen, PR China. Zip code 518057 Website http://www.fangda.com Email [email protected] 2. Contacts and liaisons Secretary of the Board Representative of Stock Affairs Name Zhou Zhigang Guo Linchen 20F, Fangda Technology Building, Kejinan 20F, Fangda Technology Building, Kejinan Address 12th Avenue, High-tech Zone, Hi-tech Park 12th Avenue, High-tech Zone, Hi-tech Park South Zone, Shenzhen, PR China. South Zone, Shenzhen, PR China. Tel. 86(755) 26788571 ext. 6622 86(755) 26788571 ext. 6622 Fax 86(755)26788353 86(755)26788353 Email [email protected] [email protected] 3. Information disclosure and inquiring China Securities Journal, Security Times, Shanghai Securities Daily, Hong Press medias of information disclosure Kong Commercial Daily 7 2017 Annual Report of China Fangda Group Co., Ltd. Website assigned by CSRC to release the online http://www.cninfo.com.cn reports Place for information inquiry Secretarial Office of the Board 4. Registration changes Organization code None Changes in main businesses since the None listing of the Company Changes in the controlling shareholders (if None any) 5. Other information Public accountants employed by the Company Public accountants Grant Thornton (limited liability partnership) Address 5th Floor, Scitech Place, 22 Jianguomen Wai Avenue, Chaoyang District, Beijing, China Signing accountant names Chen Zhaoxin, Hu Gaosheng Sponsor engaged by the Company to perform continued supervision and guide during the reporting period √ Applicable □ Inapplicable Sponsor name Office address Representatives Period of supervision and guide China Merchants Securities Co. 38-45F, Jiangsu Building, Yitian August 1, 2016 – December 31, Liang Zhanguo, Ding Yi Ltd. Road, Futian District, Shenzhen 2017 Financial advisor engaged by the Company to perform continued supervision and guide during the reporting period □ Applicable √ Inapplicable 6. Financial Highlight Whether the Company needs to make retroactive adjustment or restatement of financial data of previous years □ Yes √ No 2017 2016 Increase/decrease 2015 Turnover (yuan) 2,947,470,813.58 4,203,866,173.72 -29.89% 2,550,467,494.78 Net profit attributable to shareholders of the listed company 1,144,404,441.03 697,956,378.23 63.97% 107,272,369.77 (yuan) Net profit attributable to the shareholders of the listed company 366,212,412.32 623,075,474.92 -41.23% 29,070,293.64 and after deducting of non-recurring gain/loss (RMB) 8 2017 Annual Report