Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) Shenzhen Zhongheng Huafa Co., Ltd.
First Quarterly Report 2015
(Full-Text)
April 2015
Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) Section I. Important Notes
Board of Directors and the Supervisory Committee of Shenzhen Zhongheng Huafa Co., 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 attended the board meeting on deliberating the quarterly report except for the following directors:
|||||
|-|-|-|-|
|Name of absent director|Position of absent director|Reason for absence|Attorney|
|Li Xiaodong|Independent Director|On a business trip|Zhang Zhaoguo|

 Li Zhongqiu, person in charge of the Company, Cao Li, person in charger of accounting works and WuAi’jie, person in charger of accounting organ (accounting officer) hereby confirm that the Financial Statement of this Quarterly Report is authentic, accurate and complete.
Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) Section II. Main financial data and changes of shareholders I. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed and accounting error correction or not
□ Yes√No
|||||
|-|-|-|-|
|||At the same period|Changes of this period over same|
||Current period|||
|||of last year|period of last year (%)|
|Operating income (RMB)|117,513,081.51|162,659,610.67|-27.76%|
|Net profit attributable to shareholders of|511,851.85|694,997.40||
||||-26.35%|
|the listed company(RMB)||||
|Net profit attributable to shareholders of||||
|the listed company after deducting|174,494.55|600,977.11|-70.96%|
|non-recurring gains and losses(RMB)||||
|Net cash flow arising from operating|-2,165,279.32|-26,273,204.65||
||||91.76%|
|activities(RMB)||||
|Basic earnings per share (RMB/Share)|0.0018|0.0025|-28.00%|
|Diluted earnings per share (RMB/Share)|0.0018|0.0025|-28.00%|
|Weighted average ROE (%)|0.18%|0.25%|0.07 percentage points declined|
||At the end||Changes of this period-end over|
|||At the end of last year||
||of the reporting period||same period-end of last year (%)|
|Total assets (RMB)|1,142,171,857.60|1,162,740,984.93|-1.77%|
|Net assets attributable to shareholder of|281,863,121.59|281,351,269.74||
||||0.18%|
|listed company (RMB)||||

Items and amount of non-recurring gains and losses
√ Applicable□ Not applicable
In RMB
||||
|-|-|-|
||Amount from year-begin to||
|Item||Note|
||period-end||
|Other non-operating income and expenditure except for the|||
||449,809.74||
|aforementioned items|||
|Less: impact on income tax|112,452.44||
|Total|337,357.30|--|

Concerning the extraordinary profit (gain)/loss defined byQ&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 inQ&A Announcement No.1 on Information Disclosure for Companies Offering Their
Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) 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 inQ&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|||||||
|||26,260|||||
|at the end of report period|||||||
|Top ten common shareholders|||||||
|||||Amount of|Number of share pledged/frozen||
||||Amount of shares||||
|Shareholder’s name|Nature of shareholder|Proportion of||restricted shares|||
|||shares held|held||State of share|Amount|
|||||held|||
|Wuhan ZhonghengNew Science &Technology IndustrialGroup Co., Ltd.|Domesticnon-state-ownedlegal person|41.14%|116,489,894|116,489,894|Pledged|116,489,894|
||||||Frozen|116,489,894|
|SEG (HONG KONG)CO., LTD.|Foreign legalpersons|5.58%|16,569,560|0|Pledged|0|
||||||Frozen|0|
|GOOD HOPECORNERINVESTMENTS LTD|Foreign legal persons|4.91%|13,900,000|0|Pledged|0|
||||||Frozen|0|
|BINGHUA LIU|Domestic natureperson|0.31%|876,213|0|Pledged|0|
||||||Frozen|0|
|Jiang Jiayuan|Domestic natureperson|0.27%|777,930|0|Pledged|0|
||||||Frozen|0|
|Shenzhen Jiamo AssetsManagement Co., Ltd.– Jiamo MomentumStock Investment Fund|Domesticnon-state-owned legalperson|0.24%|691,723|0|Pledged|0|
||||||Frozen|0|
|Wang Jianguang|Domestic natureperson|0.23%|651,849|0|Pledged|0|
||||||Frozen|0|
|Li Jianfeng|Domestic natureperson|0.23%|637,600|0|Pledged|0|
||||||Frozen|0|
|Zhu Ming|Domestic natureperson|0.22%|611,348|0|Pledged|0|
||||||Frozen|0|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||||||
|-|-|-|-|-|-|-|
|Shi Feng|Domestic natureperson|0.21%|600,000|0|Pledged|0|
||||||Frozen|0|
|Top ten common shareholders with unrestricted shares held|||||||
||||||Type of shares||
|Shareholder’s name||Amount of unrestricted shares held|||||
||||||Type|Amount|
|SEG (HONG KONG) CO., LTD.||16,569,560|||Domestically||
||||||listed foreign|16,569,560|
||||||shares||
|GOOD HOPE CORNER INVESTMENTS LTD||13,900,000|||Domestically||
||||||listed foreign|13,900,000|
||||||shares||
|BINGHUA LIU||876,213|||Domestically||
||||||listed foreign|876,213|
||||||shares||
|Jiang Jiayuan||777,930|||RMB common||
|||||||777,930|
||||||share||
|Shenzhen Jiamo Assets Management Co., Ltd. –Jiamo Momentum Stock Investment Fund||691,723|||RMB common||
|||||||691,723|
||||||share||
|Wang Jianguang||651,849|||Domestically||
||||||listed foreign|651,849|
||||||shares||
|Li Jianfeng||637,600|||Domestically||
||||||listed foreign|637,600|
||||||shares||
|Zhu Ming||611,348|||Domestically||
||||||listed foreign|611,348|
||||||shares||
|Shi Feng||600,000|||RMB common||
|||||||600,000|
||||||share||
|Xie Deqing||541,100|||Domestically||
||||||listed foreign|541,100|
||||||shares||
|||Among the top ten shareholders, Wuhan Zhongheng New Science & Technology Industrial|||||
|||Group Co., Ltd. neither bears associated relationship with other shareholders, nor belongs|||||
|||to the consistent actor that are prescribed in Measures for the Administration of Disclosure|||||
|Explanation on associated relationship among|||||||
|||of Shareholder Equity Changes of Listed Companies. The Company neither knew whether|||||
|the aforesaid shareholders|||||||
|||there exists associated relationship among the other tradable shareholders, nor they belong|||||
|||to consistent actors that are prescribed in Measures for the Administration of Disclosure of|||||
|||Shareholder Equity Changes of Listed Companies.|||||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
|||
|-|-|
||Among the top 10 shareholders, Jiang Jiayuan holds 428,381 shares of the Company via|
||guaranteed security account of the customer credit transactions under the name of GF|
|Explanation on top 10 common shareholders|Securities Co., Ltd., representing 55.07% of the total shares possess; Shi Feng holds|
|involving margin business (if applicable)|600,000 shares of the Company via guaranteed security account of the customer credit|
||transactions under the name of China Merchants Securities Co., Ltd, representing 100% of|
||the total shares possess.|

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.
Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) 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
||||||
|-|-|-|-|-|
|Item|2015-3-31|2015-1-1|Ratio|Reasons of changes|
||||-33.52%|Endorsement occurred in thePeriod|
|Notes receivable|67,025,422.10|100,821,063.85|||
||||58.28%|Account paid in advance forgoods increased in the period|
|Account paid in advance|8,973,252.38|5,669,119.87|||
||||222.87%|Utilities from lessee receivedin advance in the Period|
|Account received in advance|2,348,311.66|727,331.06|||
||||-42.93%|Accrued annual compensation|
|Wage payable|3,543,564.07|6,208 ,793.90|||
|Item|Jan.-March of 2015|Jan.-March of 2014|Ratio|Reasons of changes|
||||-51.67%|Operation revenue in the|
|Business tax and surcharges|1,029,949.88|2,130,920.06|||
|||||Period declined|
||||204.43%|Interest cost for long-term|
|Financial expenses|15,996,684.73|5,254,611.07|||
|||||loans increased in the Period|
||||－|Obtained earnings from|
|Investment income|14,166,666.65|0||financial products in the|
|||||Period|
||||101.97%|Part of the account payable|
|Non-operation income|449,809.74|222,711.90||switch-back in the Period for|
|||||unpaid necessary|
||||-100.00%|There was a losses of assets|
|Non-operation expenditure|－|97,351.51||disposal occurred in last|
|||||period|
|Cash received with other operation activity|||-31.57%|Intercourse funds of the units|
||4,770,785.70|6,971,494.02|||
|concerned||||received in the Period declined|
|Cash paid for purchasing goods and receiving|||-48.46%|Account paid for goods in the|
||50,131,294.35|97,272,596.71|||
|labor service||||Period declined|
||||116.25%|A supplementary payment for|
|Taxes paid|6,143,111.85|2,840,807.00|||
|||||previous tax in the Period|
|Cash paid with other operation activity|||-48.54%|Intercourse funds of the unitspaid in the Period declined|
||8,724,980.79|16,953,622.01|||
|concerned|||||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||||
|-|-|-|-|-|
|Subtotal of cash out-flow from operation|||-37.90%|Account paid for goods in thePeriod declined|
||80,776,775.43|130,084,038.31|||
|activity|||||
||||-91.76%|Account paid for goods in thePeriod declined|
|Net cash flow from operation activity|-2,165,279.32|-26,273,204.65|||
||||－|Obtained earnings fromfinancial products in thePeriod|
|Cash received with other investment activity|||||
||14,166,666.65|－|||
|concerned|||||
||||3225.73%|Obtained earnings fromfinancial products in thePeriod|
|Net cash flow from investment activities|13,737,159.54|-439,487.00|||
|Cash paid for liquidating dividend, profit or|||213.33%|Interest cost for long-termloans increased in the Period|
||12,980,056.04|4,142,595.68|||
|interest payment|||||
||||-3051.78%|Interest cost for long-termloans increased in the Period|
|Net cash flow from financing activities|-16,978,699.15|-538,702.44|||
|Influence on cash and cash equivalent due to||16,686.09|-123.48%|Exchange rate fluctuation|
||37,290.33||||
|fluctuation in exchange rate|||||

II. Analysis and explanation of significant events and their influence and solutions
√Applicable□Not applicable
With purpose of further optimize the capital structure, improve financial status of the Company and providing necessary caital condition and liquidity for the upgrade of industry business transformation, specialization of the property operation and development of large-scale, the Company plans to private offering A-share. Controlling shareholder - Wuhan Zhongheng New Technology Industry Group Co., Ltd. subscribe 87.6 million shares at most in cash, fund raised no more than 599.184 million Yuan (issuance cost included) in total, the fund are raised for debt payment and supplement current capital in order to laying a solid foundation of the sustainable development of the Company. Relevant private placment of A-share has been deliberated and approved by third extraordinary meeting fo 2015 of the Board, and shall submite for approval by general meeting and implemente after verify by CSRC, found more in notice released on 20 March 2015.
III. Commitments from the Company or shareholders (with over5% shares held) in or occurred in the previous period but continued to reporting period
√Applicable□Not applicable
|||||||
|-|-|-|-|-|-|
||||||Implementati|
||||Date|Term||
|Item of Commitments|Promisee|Content of commitments||||
||||||on|
|Commitments for Share Merger Reform||||||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
|||||||
|-|-|-|-|-|-|
|||Within one year after||||
|||ownership transfer for equity||||
||Wuhan|purchased:||From 12 April||
||Zhongheng|1. Related assets of injection||2007 to 11 April||
||New|business in-put to the||2008;||
||||2007-03-29||Implementing|
||Technology|Company;||from 13 May||
||Industry Group|2. 70 percent equity of Wuhan||2014 to 12 May||
||Co., Ltd.|Hengsheng Photoelectricity||2015||
|||Industry Co., Ltd. held in-put||||
|||to the Company.||||
|||The enterprise and its||||
|||subsidiaries will not||||
|||participate directly or||||
|||indirectly in operation of||||
||Wuhan|||||
|||the business with competitive||||
||Zhongheng|||Implement since||
|||of Shen Huafa and its||||
||New|||12 April 2007||
|||controlling subsidiary|2007-03-29||Implementing|
||Technology|||throughout the||
|||concerned, and not to damage||||
||Industry Group|||year||
|||the interest of the Shen Huafa||||
||Co., Ltd.|||||
|||and its controlling subsidiary||||
|||by making use of the||||
|Commitments made in acquisition report or||||||
|||potential controlling-ship of||||
|equity change report||||||
|||the Shen Huafa either||||
|||The enterprise and its||||
|||subordinate enterprise shall||||
|||avoid a related transaction as||||
|||far as possible with Shen||||
|||Huafa and its controlling||||
|||subsidiary, as for the related||||
|||dealings occurred inevitable||||
||Wuhan|or have reasonable cause, the||||
||Zhongheng|enterprise promise to follow||Implement since||
||New|the principle of fair-ness,||12 April 2007||
||||2007-03-29||Implementing|
||Technology|justice and open-ness, signed||throughout the||
||Industry Group|the agreement in line with the||year||
||Co., Ltd.|laws, perform legal program,||||
|||fulfill information disclosure||||
|||obligation and relevant||||
|||approval procedures||||
|||according to the relevant||||
|||laws, regulations and “Listing||||
|||Rules” of the Shenzhen Stock||||
|||Exchange, guarantee not to||||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
|||||||
|-|-|-|-|-|-|
|||damage the legal interest of||||
|||Shen Huafa and its||||
|||shareholders through related||||
|||transactions||||
|||After acquisition and assets||||
||Wuhan|restructuring, guarantee to||||
||Zhongheng|have an independent staff,||Implement since||
||New|owns independent and||12 April 2007||
||||2007-03-29||Implementing|
||Technology|completed assets, and||throughout the||
||Industry Group|independent in aspect of||year||
||Co., Ltd.|business, financial and||||
|||institution from Shen Huafa||||
|Commitments in assets reorganization||||||
|Commitments in initial public offering or||||||
|refinancing||||||
|Other commitments to minority shareholders||||||
|of the Company||||||
|Completed on time or not|N|||||
||1. On Jun. 5, 2008, with examination and approval from the 3rd temporary meeting of the Board|||||
||for 2008, the Company took cash RMB 27 million buying relevant assets concerning production|||||
||of injection products from Wuhan Zhongheng New Technology Industry Group Co., Ltd., and|||||
||thus the commitment had been finished.|||||
||2. In early of May, 2008, the Company officially started off the significant asset restructures work|||||
||of purchasing the 70% equities of Wuhan Hengsheng Photoelectricity Industry Co., Ltd.; engaged|||||
||financial consultant and law consultant to carry out earnest investigation on the restructure assets|||||
||that may be involved, and negotiated with relevant departments which were in charge of this.|||||
||However, due to the large current payment between the Wuhan Zhongheng New Technology|||||
||Industry Group Co., Ltd. and Wuhan Hengsheng Photoelectricity Industry Co., Ltd. is hard to|||||
||clear off in a short period, the major assets restructuring suspend for significant barriers.|||||
|Detail reasons for un-complement and|In April 2014, in light of the undesirability business condition of Wuhan Hengsheng|||||
|further plan (if applicable)|Photoelectricity Industry Co., Ltd. in recent years, to avoid the losses of the listed company from|||||
||specific performance, putting long-term interest of the listed company earnestly protection first,|||||
||the controlling shareholder- Wuhan Zhongheng New Technology Industry Group Co., Ltd.|||||
||propose the solution as change the commitments, changed the capital investment commitment|||||
||from Wuhan Hengsheng Photoelectricity Industry Co., Ltd as: within one year since the date of|||||
||deliberation and approved by general meeting, the underlying shops along the street of the Phase|||||
||I “Yutian • Xingfuhai” real estate project under the name of Wuhan Zhongheng New|||||
||Technology Industry Group Co., Ltd. sale to the Company in cash. The commitment changed has|||||
||been deliberated and approved by the Annual General Meeting 2013 dated 13 May 2014.|||||
||The 2nd extraordinary meeting of 2015 of the Board was held on 17 March 2015, agreed to|||||
||purchase the underlying shops along the street of the Phase I “Yutian • Xingfuhai” real estate|||||
||project developed and constructed by Wuhan Xindongfang Real Estate Development Co., Ltd.|||||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||
|-|
|(the wholly-owned subsidiary of Wuhan Zhongheng New Technology Industry Group Co., Ltd.,controlling shareholder of the Company) with 25 million Yuan in cash, found more in the noticereleased on 19 March 2015 and 17 April 2015.|

IV. Registration form for receiving research, communication and interview in the report period
√Applicable□Not applicable
|||||||
|-|-|-|-|-|-|
||||||Contents discussed and materials|
||||Type|Reception object||
|Date|Place|Method||||
||||||supplied|
||||||Operation condition and assets|
||Headquarters of|Telephone||Individual|status of the Company, progress of|
|Jan. –March of 2015|||Individual|||
||the Company|communication||investor|urban renewal projects and private|
||||||placement etc.|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) Section IV. Financial Statement
I. Financial statement
1. Consolidate balance sheet
Prepared by Shenzhen Zhongheng Huafa Co., Ltd
2015-03-31
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Current assets:|||
|Monetary funds|22,471,898.10|28,819,357.68|
|Settlement provisions|||
|Capital lent|||
|Financial liability measured by fair value and with|||
|variation reckoned into current gains/losses|||
|Derivative financial liability|||
||67,025,422.10|100,821,063.85|
|Notes receivable|||
||136,923,064.04|112,425,468.57|
|Accounts receivable|||
|Accounts paid in advance|8,973,252.38|5,669,119.87|
|Insurance receivable|||
|Reinsurance receivables|||
|Contract reserve of reinsurance receivable|||
|Interest receivable|||
|Dividend receivable|||
|Other receivables|113,572,752.84|109,094,812.29|
|Purchase restituted finance asset|||
|Inventories|22,120,084.49|30,880,050.55|
|Divided into assets held for sale|||
|Non-current asset due within one year|||
|Other current assets|500,000,000.00|500,000,000.00|
|Total current assets|871,086,473.95|887,709,872.81|
|Non-current assets:|||
|Loans and payments on behalf|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||
|-|-|-|
|Finance asset available for sales|||
|Held-to-maturity investment|||
|Long-term account receivable|||
|Long-term equity investment|||
|Investment property|30,960,974.47|31,274,663.74|
|Fixed assets|183,234,337.27|186,438,814.34|
|Construction in progress|2,853,356.00|2,853,356.00|
|Engineering material|||
|Disposal of fixed asset|||
|Productive biological asset|||
|Oil and gas asset|||
|Intangible assets|47,456,848.10|47,866,685.21|
|Expense on Research and Development|||
|Goodwill|||
|Long-term expenses to be apportioned|327,933.22|345,658.24|
|Deferred income tax asset|6,251,934.59|6,251,934.59|
|Other non-current asset|||
|Total non-current asset|271,085,383.65|275,031,112.12|
|Total assets|1,142,171,857.60|1,162,740,984.93|
|Current liabilities:|||
|Short-term loans|142,241,585.81|138,114,376.32|
|Loan from central bank|||
|Absorbing deposit and interbank deposit|||
|Capital borrowed|||
|Financial liability measured by fair value and with|||
|variation reckoned into current gains/losses|||
|Derivative financial liability|||
|Notes payable|31,297,257.74|39,994,397.62|
|Accounts payable|53,022,389.32|65,547,836.32|
|Accounts received in advance|2,348,311.66|727,331.06|
|Selling financial asset of repurchase|||
|Commission charge and commission payable|||
|Wage payable|3,543,564.07|6,208,793.90|
|Taxes payable|18,036,985.68|18,552,046.85|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||
|-|-|-|
|Interest payable|||
|Dividend payable|||
|Other accounts payable|29,253,057.92|24,179,349.31|
|Reinsurance payables|||
|Insurance contract reserve|||
|Security trading of agency|||
|Security sales of agency|||
|Divided into liability held for sale|||
|Non-current liabilities due within 1 year|||
|Other current liabilities|||
|Total current liabilities|279,743,152.20|293,324,131.38|
|Non-current liabilities:|||
|Long-term loans|577,800,000.00|585,300,000.00|
|Bonds payable|||
|Including: preferred stock|||
|Perpetual capital securities|||
|Long-term account payable|||
|Long-term wages payable|||
|Special accounts payable|||
|Projected liabilities|2,765,583.81|2,765,583.81|
|Deferred income|||
|Deferred income tax liabilities|||
|Other non-current liabilities|||
|Total non-current liabilities|580,565,583.81|588,065,583.81|
|Total liabilities|860,308,736.01|881,389,715.19|
|Owner’s equity:|||
|Share capital|283,161,227.00|283,161,227.00|
|Other equity instrument|||
|Including: preferred stock|||
|Perpetual capital securities|||
|Capital public reserve|109,496,837.33|109,496,837.33|
|Less: Inventory shares|||
|Other comprehensive income|||
|Reasonable reserve|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||
|-|-|-|
|Surplus public reserve|77,391,593.25|77,391,593.25|
|Provision of general risk|||
|Retained profit|-188,186,535.99|-188,698,387.84|
|Total owner’s equity attributable to parent company|281,863,121.59|281,351,269.74|
|Minority interests|||
|Total owner’s equity|281,863,121.59|281,351,269.74|
|Total liabilities and owner’s equity|1,142,171,857.60|1,162,740,984.93|

 Legal representative: Li Zhongqiu
Person in charger of accounting works: Cao Li
Person in charge of accounting organ: WuAi’jie
2. Balance Sheet of Parent Company
In RMB
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Current assets:|||
||14,319,790.01|14,802,258.59|
|Monetary funds|||
|Financial liability measured by fair value and with|||
|variation reckoned into current gains/losses|||
|Derivative financial liability|||
|Notes receivable|||
|Accounts receivable|1,857,222.07|1,857,222.07|
|Account paid in advance||1,005,472.83|
|Interest receivable|||
|Dividends receivable|||
|Other receivables|109,077,749.78|106,214,702.41|
|Inventories|14,806.50|14,806.50|
|Divided into assets held for sale|||
|Non-current assets maturing within one year|||
|Other current assets|500,000,000.00|500,000,000.00|
|Total current assets|625,269,568.36|623,894,462.40|
|Non-current assets:|||
|Available-for-sale financial assets|||
|Held-to-maturity investments|||
|Long-term receivables|||
|Long-term equity investments|187,608,900.00|187,608,900.00|
|Investment property|30,960,974.47|31,274,663.74|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||
|-|-|-|
|Fixed assets|98,962,103.77|100,029,320.14|
|Construction in progress|2,853,356.00|2,853,356.00|
|Project materials|||
|Disposal of fixed assets|||
|Productive biological assets|||
|Oil and natural gas assets|||
|Intangible assets|5,205,937.98|5,278,437.84|
|Research and development costs|||
|Goodwill|||
|Long-term deferred expenses|279,166.66|291,666.67|
|Deferred income tax assets|7,056,901.94|7,056,901.94|
|Other non-current assets|||
|Total non-current assets|332,927,340.82|334,393,246.33|
|Total assets|958,196,909.18|958,287,708.73|
|Current liabilities:|||
|Short-term borrowings|20,000,000.00|20,000,000.00|
|Financial liability measured by fair value and with|||
|variation reckoned into current gains/losses|||
|Derivative financial liability|||
|Notes payable|||
|Accounts payable|9,740,367.33|10,745,840.16|
|Accounts received in advance|853,921.84|420,611.24|
|Wage payable|741,708.34|724,418.36|
|Taxes payable|11,131,400.25|11,286,781.44|
|Interest payable|||
|Dividend payable|||
|Other accounts payable|62,181,808.64|56,873,489.93|
|Divided into liability held for sale|||
|Non-current liabilities due within 1 year|||
|Other current liabilities|||
|Total current liabilities|104,649,206.40|100,051,141.13|
|Non-current liabilities:|||
|Long-term loans|577,800,000.00|585,300,000.00|
|Bonds payable|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|Including: preferred stock|||
|Perpetual capital securities|||
|Long-term account payable|||
|Long-term wages payable|||
|Special accounts payable|||
|Projected liabilities|2,765,583.81|2,765,583.81|
|Deferred income|||
|Deferred income tax liabilities|||
|Other non-current liabilities|||
|Total non-current liabilities|580,565,583.81|588,065,583.81|
|Total liabilities|685,214,790.21|688,116,724.94|
|Owners’ equity:|||
|Share capita|283,161,227.00|283,161,227.00|
|Other equity instrument|||
|Including: preferred stock|||
|Perpetual capital securities|||
|Capital public reserve|109,496,837.33|109,496,837.33|
|Less: Inventory shares|||
|Other comprehensive income|||
|Reasonable reserve|||
|Surplus reserve|77,391,593.25|77,391,593.25|
|Retained profit|-197,067,538.61|-199,878,673.79|
|Total owner’s equity|272,982,118.97|270,170,983.79|
|Total liabilities and owner’s equity|958,196,909.18|958,287,708.73|

 3. Consolidated Profit Statement
In RMB
||||
|-|-|-|
|Item|Current Period|Last Period|
|I. Total operating income|117,513,081.51|162,659,610.67|
|Including: Operating income|117,513,081.51|162,659,610.67|
|Interest income|||
|Insurance gained|||
|Commission charge and commission income|||
|II. Total operating cost|131,536,886.19|161,989,734.18|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
||||
|-|-|-|
|Including: Operating cost|100,468,187.06|141,788,368.98|
|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|||
|Operating tax and extras|1,029,949.88|2,130,920.06|
|Sales expenses|2,669,100.41|2,600,832.06|
|Administration expenses|11,372,964.11|10,215,002.01|
|Financial expenses|15,996,684.73|5,254,611.07|
|Losses of devaluation of asset|||
|Add: Changing income of fair value(Loss is listed with “-”)|||
|Investment income (Loss is listed with “-”)|14,166,666.65||
|Including: Investment income on affiliated company and joint venture|||
|Exchange income (Loss is listed with “-”)|||
|III. Operating profit (Loss is listed with “-”)|142,861.97|669,876.49|
|Add: Non-operating income|449,809.74|222,711.90|
|Including: Disposal gains of non-current asset||219,398.90|
|Less: Non-operating expense||97,351.51|
|Including: Disposal loss of non-current asset||97,351.51|
|IV. Total Profit (Loss is listed with “-”)|592,671.71|795,236.88|
|Less: Income tax expense|80,819.86|100,239.48|
|V. Net profit (Net loss is listed with “-”)|511,851.85|694,997.40|
|Net profit attributable to owner’s of parent company|511,851.85|694,997.40|
|Minority shareholders’ gains and losses|||
|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 profit of loss|||
|1. Changes as a result of re-measurement of net defined benefit plan|||
|liability or asset|||
|2. Share of the other comprehensive income of the investee accounted|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|for using equity method which will not be reclassified subsequently to profit and|||
|loss|||
|(II) Other comprehensive income items which will be reclassified subsequently|||
|to profit or loss|||
|1. Share of the other comprehensive income of the investee accounted|||
|for using equity method which will be reclassified subsequently to profit or loss|||
|2. Gains or losses arising from changes in fair value of|||
|available-for-sale financial assets|||
|3. Gains or losses arising from reclassification of held-to-maturity|||
|investment as available-for-sale financial assets|||
|4. The effect hedging portion of gains or losses arising from cash flow|||
|hedging instruments|||
|5. Translation differences arising on translation of foreign currency|||
|financial statements|||
|6. Other|||
|Net after-tax of other comprehensive income attributable to minority shareholders|||
|VII. Total comprehensive income|511,851.85|694,997.40|
|Total comprehensive income attributable to owners of parent Company|511,851.85|694,997.40|
|Total comprehensive income attributable to minority shareholders|||
|VIII. Earnings per share:|||
|(i) Basic earnings per share|0.0018|0.0025|
|(ii) Diluted earnings per share|0.0018|0.0025|

 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: Li Zhongqiu
Person in charger of accounting works: Cao Li
Person in charge of accounting organ: WuAi’jie
4. Profit Statement of Parent Company
In RMB
||||
|-|-|-|
|Item|Current Period|Last Period|
|I. Operating income|10,749,061.73|9,041,086.23|
|Less: Operating cost|1,512,747.73|422,389.30|
|Operating tax and extras|709,522.10|635,526.16|
|Sales expenses|||
|Administration expenses|6,635,968.21|5,111,382.37|
|Financial expenses|13,284,567.16|2,367,743.27|
|Losses of devaluation of asset|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|Add: Changing income of fair value(Loss is listed with “-”)|||
|Investment income (Loss is listed with “-”)|14,166,666.65||
|Including: Investment income on affiliated company and joint venture|||
|II. Operating profit (Loss is listed with “-”)|2,772,923.18|504,045.13|
|Add: Non-operating income|38,212.00|3,313.00|
|Including: Disposal gains of non-current asset|||
|Less: Non-operating expense|||
|Including: Disposal loss of non-current asset|||
|III. Total Profit (Loss is listed with “-”)|2,811,135.18|507,358.13|
|Less: Income tax expense|||
|IV. Net profit (Net loss is listed with “-”)|2,811,135.18|507,358.13|
|V. Net after-tax of other comprehensive income|||
|(I) Other comprehensive income items which will not be reclassified|||
|subsequently to profit of loss|||
|1. Changes as a result of re-measurement of net defined benefit|||
|plan liability or asset|||
|2. Share of the other comprehensive income of the investee|||
|accounted for using equity method which will not be reclassified subsequently|||
|to profit and loss|||
|(II) Other comprehensive income items which will be reclassified|||
|subsequently to profit or loss|||
|1. Share of the other comprehensive income of the investee|||
|accounted for using equity method which will be reclassified subsequently to|||
|profit or loss|||
|2. Gains or losses arising from changes in fair value of|||
|available-for-sale financial assets|||
|3. Gains or losses arising from reclassification of held-to-maturity|||
|investment as available-for-sale financial assets|||
|4. The effect hedging portion of gains or losses arising from cash|||
|flow hedging instruments|||
|5. Translation differences arising on translation of foreign currency|||
|financial statements|||
|6. Other|||
|VI. Total comprehensive income|2,811,135.18|507,358.13|
|VII. Earnings per share:|||
|(i) Basic earnings per share|||
|(ii) Diluted earnings per share|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text) 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|73,840,710.41|96,839,339.64|
|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|||
|Write-back of tax received|||
|Other cash received concerning operating activities|4,770,785.70|6,971,494.02|
|Subtotal of cash inflow arising from operating activities|78,611,496.11|103,810,833.66|
|Cash paid for purchasing commodities and receiving labor service|50,131,294.35|97,272,596.71|
|Net increase of customer loans and advances|||
|Net increase of deposits in central bank and interbank|||
|Cash paid for original insurance contract compensation|||
|Cash paid for interest, commission charge and commission|||
|Cash paid for bonus of guarantee slip|||
|Cash paid to/for staff and workers|15,777,388.48|13,017,012.59|
|Taxes paid|6,143,111.81|2,840,807.00|
|Other cash paid concerning operating activities|8,724,980.79|16,953,622.01|
|Subtotal of cash outflow arising from operating activities|80,776,775.43|130,084,038.31|
|Net cash flows arising from operating activities|-2,165,279.32|-26,273,204.65|
|II. Cash flows arising from investing activities:|||
|Cash received from recovering investment|||
|Cash received from investment income|14,166,666.65||
|Net cash received from disposal of fixed, intangible and other long-term assets|||

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|Net cash received from disposal of subsidiaries and other units|||
|Other cash received concerning investing activities|||
|Subtotal of cash inflow from investing activities|14,166,666.65||
|Cash paid for purchasing fixed, intangible and other long-term assets|429,507.11|439,487.00|
|Cash paid for investment|||
|Net increase of mortgaged loans|||
|Net cash received from subsidiaries and other units obtained|||
|Other cash paid concerning investing activities|||
|Subtotal of cash outflow from investing activities|429,507.11|439,487.00|
|Net cash flows arising from investing activities|13,737,159.54|-439,487.00|
|III. Cash flows arising from financing activities|||
|Cash received from absorbing investment|||
|Including: Cash received from absorbing minority shareholders’ investment by subsidiaries|||
|Cash received from loans|71,722,818.99|95,347,021.18|
|Cash received from issuing bonds|||
|Other cash received concerning financing activities|||
|Subtotal of cash inflow from financing activities|71,722,818.99|95,347,021.18|
|Cash paid for settling debts|75,721,462.10|91,743,127.94|
|Cash paid for dividend and profit distributing or interest paying|12,980,056.04|4,142,595.68|
|Including: Dividend and profit of minority shareholder paid by subsidiaries|||
|Other cash paid concerning financing activities|||
|Subtotal of cash outflow from financing activities|88,701,518.14|95,885,723.62|
|Net cash flows arising from financing activities|-16,978,699.15|-538,702.44|
|IV. Influence on cash and cash equivalents due to fluctuation in exchange rate|37,290.33|16,686.09|
|V. Net increase of cash and cash equivalents|-5,369,528.60|-27,234,708.00|
|Add: Balance of cash and cash equivalents at the period -begin|22,392,147.12|50,704,319.86|
|VI. Balance of cash and cash equivalents at the period -end|17,022,618.52|23,469,611.86|

 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|8,961,743.03|8,070,034.70|
|Write-back of tax received||0.00|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|Other cash received concerning operating activities|5,671,807.46|10,070,502.54|
|Subtotal of cash inflow arising from operating activities|14,633,550.49|18,140,537.24|
|Cash paid for purchasing commodities and receiving labor service|||
|Cash paid to/for staff and workers|1,645,849.64|1,512,825.33|
|Taxes paid|1,372,890.91|1,224,110.28|
|Other cash paid concerning operating activities|6,452,958.23|5,968,157.59|
|Subtotal of cash outflow arising from operating activities|9,471,698.78|8,705,093.20|
|Net cash flows arising from operating activities|5,161,851.71|9,435,444.04|
|II. Cash flows arising from investing activities:|||
|Cash received from recovering investment|||
|Cash received from investment income|14,166,666.65||
|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|||
|Subtotal of cash inflow from investing activities|14,166,666.65||
|Cash paid for purchasing fixed, intangible and other long-term assets|||
|Cash paid for investment|||
|Net cash received from subsidiaries and other units|||
|Other cash paid concerning investing activities|||
|Subtotal of cash outflow from investing activities|||
|Net cash flows arising from investing activities|14,166,666.65||
|III. Cash flows arising from financing activities|||
|Cash received from absorbing investment|||
|Cash received from loans||4,400,000.00|
|Cash received from issuing bonds|||
|Other cash received concerning financing activities|||
|Subtotal of cash inflow from financing activities||4,400,000.00|
|Cash paid for settling debts|7,500,000.00|14,877,000.00|
|Cash paid for dividend and profit distributing or interest paying|12,315,530.37|3,280,090.98|
|Other cash paid concerning financing activities|||
|Subtotal of cash outflow from financing activities|19,815,530.37|18,157,090.98|
|Net cash flows arising from financing activities|-19,815,530.37|-13,757,090.98|
|IV. Influence on cash and cash equivalents due to fluctuation in exchange rate|4,543.43|-3,307.22|
|V. Net increase of cash and cash equivalents|-482,468.58|-4,324,954.16|

Shenzhen Zhongheng Huafa Co., Ltd. First Quarterly Report 2015(Full-Text)
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|-|-|-|
|Add: Balance of cash and cash equivalents at the period -begin|14,802,258.59|18,575,925.94|
|VI. Balance of cash and cash equivalents at the period -end|14,319,790.01|14,250,971.78|

 II. 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.
Board of Directors of Shenzhen Zhongheng Huafa Co., Ltd. 28 April 2015