MCST(300355)2018-04-24 16:00Financial Performance - Total operating revenue for Q1 2018 reached CNY 486,476,894.87, an increase of 58.89% compared to CNY 306,176,978.02 in the same period last year[8]. - Net profit attributable to shareholders was CNY 17,003,587.23, up 48.38% from CNY 11,459,725.94 year-on-year[8]. - Net profit excluding non-recurring gains and losses was CNY 12,586,411.64, representing a significant increase of 95.75% from CNY 6,429,902.85 in the previous year[8]. - Operating revenue for the period was RMB 486.48 million, representing a year-on-year increase of 58.89%, mainly due to the smooth progress of PPP projects and steady growth in output[24]. - The net profit attributable to the parent company was RMB 17.00 million, an increase of 48.38% year-on-year, driven by successful business progress and revenue growth[26]. - The company reported a total revenue of RMB 126,911.41 million for the first quarter of 2018, showing an increase of 0.54% compared to RMB 126,232.57 million in the previous period[90]. Cash Flow and Liquidity - The net cash flow from operating activities was negative at CNY -1,045,023,316.02, worsening by 234.52% compared to CNY -312,391,352.93 in the same period last year[8]. - The company's cash and cash equivalents at the end of the period amounted to RMB 2,007.82 million, a decrease of 30.47% compared to the beginning of the period, primarily due to increased payments for seedling procurement and subcontracting project payments[23]. - The cash received from sales of goods and services was RMB 464.21 million, a decrease of 10.26% compared to the same period last year, mainly due to lower project collections[26]. - The cash paid for purchasing goods and receiving services was 1.35 billion yuan, a growth of 92.27% year-on-year, mainly due to increased payments for materials, labor, and machinery for engineering projects[27]. - The cash paid to employees and for employee benefits was 61.60 million yuan, up 42.34% from the previous year, primarily due to year-end bonuses paid to employees[27]. - The cash paid for various taxes was 67.94 million yuan, reflecting a 23.46% increase year-on-year, attributed to the expansion of the company's business scale[27]. - The cash paid for other operating activities was 61.81 million yuan, an increase of 51.18% year-on-year, mainly due to a donation of 9 million yuan to the Inner Mongolia Grassland Cultural Development Foundation[27]. - The cash received from loans was 546.63 million yuan, an increase of 187.45% compared to the same period last year, primarily due to increased loans from financial institutions[28]. - The company reported a cash dividend distribution plan for 2017, proposing a cash dividend of RMB 0.87 per 10 shares, totaling RMB 139,569,061.05[100]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 11,793,798,046.10, a decrease of 5.47% from CNY 12,476,140,771.27 at the end of the previous year[8]. - The company reported a total equity of RMB 3,944,172,420.97, slightly up from RMB 3,923,400,922.28[108]. - The total current liabilities decreased to RMB 6,683,394,012.63 from RMB 7,480,153,451.73[108]. - The company's long-term borrowings increased to RMB 841,765,538.12 from RMB 758,111,538.29[108]. - The company's accounts payable at the end of the period were RMB 1,689.49 million, a decrease of 39.36% compared to the beginning of the period, mainly due to payments for material procurement and subcontracting project payments[23]. Project and Contract Updates - The company signed 4 new engineering construction contracts with a total amount of 151.18 million yuan, a decrease of 90.82% year-on-year[28]. - The cumulative recognized revenue from major signed contracts reached 30.32 million yuan by the end of the reporting period[33]. - The company signed a construction contract for the comprehensive management project of the upper section of the Kunhe River, with a total contract value of 80 million yuan, and has recognized cumulative revenue of 95.70 million yuan by the end of the reporting period[36]. - A contract for the ecological restoration project in the northern part of the Zhalute Flag was signed, amounting to 73.47 million yuan, with cumulative revenue recognized at 55.56 million yuan by the end of the reporting period[37]. - The company confirmed revenue of 3,009.63 million CNY from the Hohhot ecological construction project, with a contract value of approximately 385.38 million CNY[47]. Strategic Initiatives - The company plans to continue utilizing the PPP model for ecological project construction to reduce upfront capital occupation and effectively lower project risks[12]. - The company is actively exploring financial models such as asset securitization and accounts receivable factoring to reduce capital occupation from accounts receivable[12]. - The company emphasizes the importance of cash collection capability as a key evaluation criterion for new contract bidding, aiming to increase the upfront payment ratio in new contracts[12]. - The company is focused on expanding its market beyond Inner Mongolia to reduce dependency on local government finances, which are subject to regional economic fluctuations[82]. - The company has developed a comprehensive ecological protection and restoration technical process, enhancing its core technological competitiveness[75]. Fund Management - The total amount of raised funds for the quarter is 124,683.73 million, with a cumulative investment of 119,994.58 million[87]. - The company has decided to terminate the use of raised funds for the construction of the drought-resistant plant production base project due to low survival rates of planted seedlings and increased costs, resulting in lower gross profit margins[90]. - The company has allocated RMB 1,000 million for the greening and landscape project in Hohhot, with a 100% completion rate[89]. - The company has committed to investing RMB 13,300 million in Zhejiang Putian Garden Construction Development Co., Ltd, acquiring a 70% stake[89]. - The company has successfully replaced RMB 113.25 million of pre-invested funds into various ecological projects with raised funds by the end of 2015[91].