exv99w1
Exhibit 99.1
China Xiniya Fashion Limited Reports First Quarter 2011 Financial Results
JINJIANG, FUJIAN, China—(PR NEWSWIRE)— June 16, 2011—China Xiniya Fashion Limited (“Xiniya” or
the “Company”) (NYSE:XNY), a leading provider of men’s business casual apparel in China, today
reported financial results for the first quarter of 2011. The financial statements and other
financial information included in this press release have been prepared in conformity with
International Financial Reporting Standards (“IFRS”).
The Company publishes its financial statements in Renminbi (“RMB”).
First Quarter 2011 Highlights
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Total revenue in the first quarter of 2011 increased by 30.1% to RMB159.3 million — at
the high-end of prior guidance of 29%-30% — as compared to RMB122.4 million in the first
quarter of 2010. |
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• |
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Gross margin was 33.6% in the first quarter of 2011, compared to 32.5% in the first
quarter of 2010; a 19.2% increase in average selling price (“ASP”) fully offset the
increase in materials and labor costs. |
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• |
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Profit before taxation in the first quarter of 2011 increased by 16.9% to RMB42.9
million as compared to RMB36.7 million in the first quarter of 2010. |
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• |
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Net profit in the first quarter of 2011 increased by 1.5% to RMB32.1 million. The
magnitude of this growth was adversely impacted by the increase in the Company’s tax rate
to 25% in 2011 from an effective tax rate of 12.6% in 2010, due to the expiration of the
Company’s preferential PRC tax treatment at the end of 2010. |
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• |
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Earnings per ADS were $0.08 in the first quarter of 2011, which was within the range of
the prior guidance of $0.08-$0.09 per ADS. |
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Xiniya’s network of authorized retailers added 42 new retail outlets in the first
quarter of 2011, as compared to 35 new retail outlets added in the first quarter of 2010.
In 2010, 39% of the new stores for the year were opened in the first half of the year,
while 61% of the new stores were opened in the second half. |
Guidance
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The Company reiterates its guidance for the first half of 2011. Revenue in RMB is
expected to increase by 27%-30%, and gross margin is expected to be in the range of
32%-33%, compared with 31.9% in the first half of 2010. |
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• |
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Following a successful bi-annual sales fair held in April 2011, revenue in RMB in the
second half of 2011 is expected to increase by 24%-29%, and gross margin is expected to be
in the range of 34%-35%, compared with 35.5% in the second half of 2010. |
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• |
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For the full year of 2011, revenue in RMB is expected to increase by 24%-29%, and gross
margin is expected to be in the range of 34%-35%, compared with 34.5% for the full year of
2010. |
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• |
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Earnings per ADS in the second quarter of 2011 are expected to be in the range of
$0.07-$0.09 compared to $0.10 in the second quarter of 2010, due to the expiration of the
Company’s preferential PRC tax treatment at the end of 2010. Xiniya’s tax rate increased to
25% beginning in 2011 versus an effective tax rate of 12.6% in 2010. If earnings per ADS
for the second quarter of 2010 were subject to a 25% tax rate, the earnings per ADS would
have been $0.08. |
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As previously reported, Xiniya plans to increase the total number of retail outlets
managed or authorized by its distributors by approximately 180 to 220 in 2011. |
Mr. Qiming Xu, Chairman and Chief Executive Officer, commented, “We are pleased to report solid
results for the start of 2011. Our sales momentum is continuing as we dedicated more resources to
marketing and advertising to support the Xiniya brand. The promotional efforts of our spokesperson,
Jacky Cheung, and our partial sponsorship of his “Half Century” concert tour, coupled with our
first national television campaign as a public company on two of China’s leading national channels,
helped to propel impressive results during the quarter. Xiniya’s ongoing sales momentum was
evidenced by the 29% sales increase at our most recent bi-annual sales fair held in April. Our
brand remains vibrant and we expect to continue to deliver solid results for the rest of the year.”
1
First Quarter 2011 Results
Revenue for the first quarter of 2011 was RMB159.3 million, compared with revenue of RMB122.4
million for the first quarter of 2010, which represented a 30.1% increase. Revenue was driven by
volume growth of 9.2%, with the number of units sold increasing from 1.0 million in the first
quarter of 2010 to 1.1 million in the first quarter 2011. ASP increased by 19.2% from RMB118.1 in
the first quarter of 2010 to RMB140.8 in the first quarter of 2011, of which approximately 11% was
attributable to a change in our product mix, and an increase in materials and labor costs (which
was passed on to consumers in the form of higher prices) accounted for approximately 8%.
In the first quarter of 2011, Xiniya’s authorized network of retailers added 42 new retail outlets,
as compared to 35 new retail outlets added in the first quarter of 2010. In 2010, 39% of the new
stores for the year were opened in the first half of the year, while 61% of the new stores were
opened in the second half. The total store count as of March 31, 2011 was 1,445. The Company
places significant emphasis on opening quality stores and maintaining sustainable store expansion
rates. The chart below sets forth the number of retail stores by outlet type.
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As of December 31, |
As of March 31, |
| Outlet Type |
|
2008 |
|
2009 |
|
2010 |
|
2011 |
Flagship |
|
|
1 |
|
|
|
1 |
|
|
|
1 |
|
|
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1 |
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Managed by Distributors |
|
|
30 |
|
|
|
49 |
|
|
|
68 |
|
|
|
73 |
|
Managed by Department Store Chains |
|
|
257 |
|
|
|
304 |
|
|
|
326 |
|
|
|
327 |
|
Managed by Authorized Retailers |
|
|
720 |
|
|
|
827 |
|
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|
1,009 |
|
|
|
1,044 |
|
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Total Store Counts |
|
|
1,008 |
|
|
|
1,181 |
|
|
|
1,404 |
|
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1,445 |
|
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Gross profit increased 35.0% to RMB53.6 million in the first quarter of 2011 from RMB39.7 million
in the first quarter of 2010. Gross margin was 33.6% compared with 32.5% in the first quarter of
2010 — an increase of 1.1%. The ASP increase of 19.2% in the first quarter of 2011 helped to
offset higher materials and labor costs.
Interest income was RMB1.9 million in the first quarter of 2011 as compared to RMB0.2 million in
the first quarter of 2010.
Selling and distribution expenses in the first quarter of 2011 increased significantly due to an
increase in advertising and promotional expenses. Advertising and promotional expenses were RMB7.2
million, or 4.5% of revenue in the first quarter of 2011, compared with RMB0.8 million, or 0.7% of
revenue, in the first quarter of 2010. These higher expenses mainly related to the sponsorship
agreement with the Company’s spokesperson, Jacky Cheung, one of the leading pop stars in China,
sponsorship of Jacky Cheung’s concerts, and advertising on Chinese national television channels,
CCTV5 and CCTV12.
Administrative expenses were also significantly higher, rising to RMB3.5 million in the first
quarter of 2011 from RMB1.1 million in the first quarter of 2010, due to an increase in the number
of administrative and sales staff, public company listing fees of approximately RMB0.8 million and
share-based compensation expenses of approximately RMB0.2 million.
Operating profit before taxes of RMB42.9 million in the first quarter of 2011 represented an
increase of 16.9% compared with RMB36.7 million in the first quarter of 2010. Operating margin was
26.9% in the first quarter of 2011 compared with 29.9% in the first quarter of 2010.
Non-IFRS operating income (i.e., excluding share-based compensation expenses) in the first quarter
of 2011 increased 17.5% to RMB43.1 million compared with RMB36.7 million in the first quarter of
2010. Non-IFRS operating income margin was 26.9% in the first quarter of 2011 compared with 29.9%
in the first quarter of 2010.
Income tax expense was RMB10.8 million, which resulted in an effective tax rate of 25.2%. This
compares with income tax expense of RMB5.0 million and an effective tax rate of 13.8% in the first
quarter of 2010. The increase is due to the expiration of the Company’s preferential PRC tax
treatment at the end of 2010.
2
Profit for the first quarter of 2011 increased to RMB32.1 million, compared with RMB31.6 million in
the first quarter of 2010. Earnings per ADS were $0.08 in the first quarter of 2011, compared to
$0.10 per ADS in the first quarter of 2010, due mainly to increased shares outstanding from 50 million ADS in the first
quarter of 2010 to 58 million ADS in first quarter of 2011. If earnings for the first quarter of
2010 were subject to a 25% tax rate, and based on 58 million ADS, earnings per ADS would have been
$0.07. Non-IFRS earnings per ADS (excluding share-based compensation expenses) were $0.08 in the
first quarter of 2011.
Financial Position
As of March 31, 2011, the Company had cash and cash equivalents of RMB662.1 million, time deposits
held at banks and with maturity over three months of RMB252.7 million, and restricted bank deposits
of RMB100.6 million.
As of March 31, 2011, the Company had trade receivables of RMB152.5 million arising wholly from
sales recognized during the first quarter of 2011. Trade receivables as of March 31, 2011 were
down from RMB221.4 million in trade receivables as of December 31, 2010 which were entirely related
to sales recognized during the fourth quarter of 2010. The three-months moving average trade
receivables turnover days were 67 days and 63 days as of December 31, 2010 and March 31, 2011,
respectively.
Outlook for 2011
Based on its planned production and delivery schedule, Xiniya expects to realize revenue growth in
the first half of 2011 of approximately 27%-30% in RMB terms compared to the same period in 2010.
The growth is expected to be mainly attributable to organic sales growth at existing stores, as
well as additions of new stores, and is projected to result in overall increases of approximately
16%-17% in unit volume and approximately 10%-11% in ASP.
Gross margin in the first half of 2011 is expected to be in the 32%-33% range, compared with 31.9%
in the first half of 2010. A projected 10%-11% increase in ASP is expected to fully offset the
increase in materials and labor costs as well as the impact of sales rebate increases, leading to
overall gross margin improvement.
For the second half of 2011, Xiniya expects to realize revenue growth of approximately 24%-29%, the
growth is expected to be mainly attributable to overall increases of approximately 8%-10% in unit
volume and approximately 15%-17% in ASP due to product mix.
Gross margin in the second half of 2011 is expected to be in the range of 34%-35%, compared with
35.5% in the second half of 2010. The expected decrease in gross margin in the second half of 2011
is mainly due to the restructuring impact of department store chains operated by department store
operators, which is expected to increase sales rebates in 2011 and thereby negatively impact our
gross margin.
For the full year of 2011, Xiniya expects to realize revenue growth of approximately 24%-29%, which
is expected to be mainly attributable to overall increases of approximately 10%-13% in unit volume
and approximately 12%-14% in ASP.
Gross margin for the full year of 2011 is expected to be in the range of 34%-35%, compared with
34.5% for the full year of 2010.
Momentum of new store openings remains strong. As of the end of March 2011, Xiniya’s network of
authorized distributors added 42 new stores, as compared to 35 new stores during same period in
2010. As of the end of May 2011, a total of 83 new retail stores have been added, compared to 76
new stores added in the first five months of 2010. In 2010, 39% of the new stores for the year
were opened in the first half of the year, while 61% of the new stores were opened in the second
half. For the full year 2011, as reported previously, Xiniya targets to add a total of 180-220
new stores to its authorized retailer network.
Business Update
In May, Xiniya recruited two new distributors in Anhui Province and the Shantou district of
Guangdong Province. Previously, the Company had one distributor managing both Anhui and Zhejiang
Provinces. With the appointment of a new distributor in Anhui Province, the prior distributor can
now fully focus on distribution in Zhejiang province .The new distributor in Anhui Province will
take over the distributorship from the prior
3
distributor in Anhui and grow the market from that
base. As of May 31, 2011, Xiniya had 142 authorized retail stores operated by retailers in Zhejiang Province and 28 authorized retail stores operated by
retailers in Anhui Province.
In addition, Xiniya recruited another new distributor in the Shantou district of Guangdong
Province. As of May 31, 2011, the Company had five authorized retail stores operated by retailers
in the Shantou district of Guangdong Province. This new distributor will focus on the distribution
and expansion of new retail stores in Shantou district.
The incremental financial contribution by these new distributors is expected to be minimal in 2011.
Conference Call
Xiniya will host a conference call and live webcast at 9 am Eastern Standard Time (EST) (8 pm
Beijing time on June 16, 2011).
The dial-in details for the live conference call are as follows:
- Participant Dial In (Toll Free USA): 1-877-317-6789
- International Dial In: 1 412-317-6789
- China Toll Free (Northern): 10-800-712-2304
- China Toll Free (Southern): 10-800-120-2304
- Hong Kong Toll Free: 800-962475
Conference ID: 451625
A live webcast of the conference call will be available in the investor relations section of the
Company’s website at: http://ir.xiniya.com.
A telephone replay of the call will be available 1 hour after the end of the conference through
June 27, 2011 at 9:00 AM EDT.
The dial-in details for the replay are as follows:
- US Toll Free: 877-344-7529
- International Toll: 412-317-0088
Conference ID: 451625
Use of Non-IFRS Financial Measures
The Company has included in this press release certain non-IFRS financial measures, including
measures that exclude share-based compensation. The Company believes that both management and
investors benefit from referring to these non-IFRS financial measures in assessing the performance
of the Company and when planning and forecasting future periods. Readers are cautioned not to view
non-IFRS financial measures on a stand-alone basis or as a substitute for IFRS measures, or as
being comparable to results reported or forecasted by other companies, and should refer to the
reconciliation of IFRS measures with non-IFRS measures also included herein.
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology
such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,”
“target,” “going forward,” “outlook” and similar statements. Such statements are based upon
management’s current expectations and current market and operating conditions, and relate to events
that involve known or unknown risks, uncertainties and other factors, all of which are difficult to
predict and many of which are beyond the Company’s control, which may cause the Company’s actual
results, performance or achievements to differ materially from those in the forward-looking
statements. Further information regarding these and other risks, uncertainties or factors is
included in the Company’s filings with the U.S. Securities and Exchange Commission. The Company
does not undertake any obligation to update any forward-looking statement as a result of new
information, future events or otherwise, except as required under law.
4
About China Xiniya Fashion Limited
Xiniya is a leading provider of men’s business casual apparel in China. The Company designs and
manufactures men’s business casual and business formal apparel and accessories, which are marketed
under the Xiniya brand, and sells through its distribution network that includes 26 distributors
and 24 department store chains. Its products are sold to consumers at over 1,400 authorized retail
outlets owned and managed by third parties located in 21 provinces, five autonomous regions, and
four municipalities in China. This retail network focuses on second- and lower-tier cities, where
increasing affluence has led to an improvement in living standards and where most international
men’s apparel brands do not have a significant presence. The Company’s target consumers are male
working professionals in China between the ages of 25 and 45 who seek fashionable clothing to suit
their working and lifestyle needs. For more information, please visit the Company’s website at
http://ir.xiniya.com.
For additional information, please contact:
China Xiniya Fashion Limited
Chee Jiong Ng
Chief Financial Officer
Telephone: +86 1365 5939 932
Email: ngcheejiong@xiniya.com
Christensen
Kimberly Minarovich
Telephone: +1 212-618-1978
Email: kminarovich@christensenir.com
or
Linda Bergkamp
Telephone: +1 480 614-3000
Email: lbergkamp@christensenir.com
5
CHINA XINIYA FASHION LIMITED
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Expressed in thousands of Chinese Renminbi Yuan, except share, per share and per ADS amounts)
For the Three Months Ended March 31, 2010 and 2011 (unaudited)
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Three Months Ended March 31, |
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|
2010 |
|
2011 |
Revenue |
|
|
122,433 |
|
|
|
159,311 |
|
Cost of sales |
|
|
(82,702 |
) |
|
|
(105,717 |
) |
|
|
|
|
|
|
|
|
|
Gross profit |
|
|
39,731 |
|
|
|
53,594 |
|
|
|
|
|
|
|
|
|
|
Interest and other income |
|
|
233 |
|
|
|
1,919 |
|
Selling and distribution expenses |
|
|
(2,226 |
) |
|
|
(9,148 |
) |
Administrative expenses |
|
|
(1,076 |
) |
|
|
(3,495 |
) |
|
|
|
|
|
|
|
|
|
Profit before taxation |
|
|
36,662 |
|
|
|
42,870 |
|
Income tax expense |
|
|
(5,048 |
) |
|
|
(10,797 |
) |
|
|
|
|
|
|
|
|
|
Profit for the period |
|
|
31,614 |
|
|
|
32,073 |
|
|
|
|
|
|
|
|
|
|
Other comprehensive income for the period: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exchange differences on translation of financial
statements of entities outside the mainland of
the People’s Republic of China |
|
|
— |
|
|
|
(4,060 |
) |
|
|
|
|
|
|
|
|
|
Total comprehensive income for the period |
|
|
31,614 |
|
|
|
28,013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share — basic and diluted (in RMB) |
|
|
0.16 |
|
|
|
0.14 |
|
Earnings per ADS — basic and diluted (in USD) |
|
|
0.10 |
|
|
|
0.08 |
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding in the period |
|
|
200,000,000 |
|
|
|
232,000,000 |
|
Weighted average ADS outstanding in the period |
|
|
50,000,000 |
|
|
|
58,000,000 |
|
One ADS represents four ordinary shares. |
|
|
|
|
|
|
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6
CHINA XINIYA FASHION LIMITED
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(Expressed in thousands of Chinese Renminbi Yuan)
As at March 31, 2010 and 2011 (unaudited)
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|
|
|
| |
|
2010 |
|
2011 |
Assets |
|
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
|
|
|
Property, plant and equipment |
|
|
1,920 |
|
|
|
3,103 |
|
Deferred offering expenses |
|
|
89 |
|
|
|
— |
|
Prepayments |
|
|
— |
|
|
|
4,064 |
|
|
|
|
|
|
|
|
|
|
Total non-current assets |
|
|
2,009 |
|
|
|
7,167 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
|
220,531 |
|
|
|
662,113 |
|
Time deposits held at banks with maturity over three months |
|
|
— |
|
|
|
252,742 |
|
Restricted bank deposits |
|
|
— |
|
|
|
100,647 |
|
Trade receivables |
|
|
110,835 |
|
|
|
152,456 |
|
Inventories |
|
|
13,161 |
|
|
|
13,083 |
|
Other receivables and prepayments |
|
|
5,328 |
|
|
|
18,195 |
|
|
|
|
|
|
|
|
|
|
Total current assets |
|
|
349,855 |
|
|
|
1,199,236 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
|
351,864 |
|
|
|
1,206,403 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity and liabilities |
|
|
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
|
|
Share capital |
|
|
9,843 |
|
|
|
77 |
|
Additional paid-in capital |
|
|
— |
|
|
|
529,650 |
|
Statutory reserve |
|
|
43,897 |
|
|
|
69,351 |
|
Foreign currency translation differences |
|
|
— |
|
|
|
(4,060 |
) |
Retained earnings |
|
|
206,281 |
|
|
|
436,038 |
|
|
|
|
|
|
|
|
|
|
Total equity |
|
|
260,021 |
|
|
|
1,031,056 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Short-term bank loans |
|
|
— |
|
|
|
60,000 |
|
Trade payables |
|
|
67,501 |
|
|
|
73,765 |
|
Other payables and accruals |
|
|
19,294 |
|
|
|
30,785 |
|
Current income tax payable |
|
|
5,048 |
|
|
|
10,797 |
|
|
|
|
|
|
|
|
|
|
Total current liabilities |
|
|
91,843 |
|
|
|
175,347 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity and liabilities |
|
|
351,864 |
|
|
|
1,206,403 |
|
|
|
|
|
|
|
|
|
|
7
CHINA XINIYA FASHION LIMITED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in thousands of Chinese Renminbi Yuan)
For the Periods Ended March 31, 2010 and 2011 (unaudited)
| |
|
|
|
|
|
|
|
|
| |
|
2010 |
|
2011 |
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
Profit before taxation |
|
|
36,662 |
|
|
|
42,870 |
|
Adjustments for: |
|
|
|
|
|
|
|
|
Depreciation for property, plant and equipment |
|
|
109 |
|
|
|
83 |
|
Loss on disposal of property, plant and equipment |
|
|
351 |
|
|
|
— |
|
Share-based compensation |
|
|
— |
|
|
|
211 |
|
Interest income |
|
|
(234 |
) |
|
|
(1,564 |
) |
Interest expenses |
|
|
— |
|
|
|
229 |
|
|
|
|
|
|
|
|
|
|
Operating profit before working capital changes |
|
|
36,888 |
|
|
|
41,829 |
|
Increase in restricted bank deposits |
|
|
— |
|
|
|
(100,647 |
) |
Decrease in trade receivables |
|
|
16,984 |
|
|
|
68,900 |
|
Increase in inventories |
|
|
(2,143 |
) |
|
|
(7,425 |
) |
Decrease/(increase) in other receivables and prepayments |
|
|
9 |
|
|
|
(11,528 |
) |
Increase in trade payables |
|
|
39,484 |
|
|
|
27,407 |
|
Increase in other payables and accruals |
|
|
1,126 |
|
|
|
80 |
|
|
|
|
|
|
|
|
|
|
Cash generated by operating activities |
|
|
92,348 |
|
|
|
18,616 |
|
Interest paid |
|
|
— |
|
|
|
(164 |
) |
Income tax paid |
|
|
(11,898 |
) |
|
|
(13,957 |
) |
|
|
|
|
|
|
|
|
|
Net cash generated by operating activities |
|
|
80,450 |
|
|
|
4,495 |
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
Increase in time deposits held at banks with maturity over three months |
|
|
— |
|
|
|
(252,742 |
) |
Interest received |
|
|
234 |
|
|
|
905 |
|
Proceeds from the disposal of property, plant and equipment |
|
|
396 |
|
|
|
— |
|
Acquisition of property, plant and equipment |
|
|
— |
|
|
|
(1,544 |
) |
|
|
|
|
|
|
|
|
|
Net cash generated by/(used in) investing activities |
|
|
630 |
|
|
|
(253,381 |
) |
|
|
|
|
|
|
|
|
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
Proceeds from short-term bank loans |
|
|
— |
|
|
|
60,000 |
|
Decrease in advance to and from director |
|
|
(2,851 |
) |
|
|
(7,738 |
) |
|
|
|
|
|
|
|
|
|
Net cash (used in)/generated by financing activities |
|
|
(2,851 |
) |
|
|
52,262 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase in cash and cash equivalents |
|
|
78,229 |
|
|
|
(196,624 |
) |
Cash and cash equivalents at beginning of the period |
|
|
142,302 |
|
|
|
862,797 |
|
Exchange losses on cash and cash equivalents |
|
|
— |
|
|
|
(4,060 |
) |
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at end of the period |
|
|
220,531 |
|
|
|
662,113 |
|
|
|
|
|
|
|
|
|
|
8
CHINA XINIYA FASHION LIMITED
RECONCILIATION OF IFRS TO NON-IFRS FINANCIAL DATA
(Expressed in thousands of Chinese Renminbi Yuan, except share, per share and per ADS amounts)
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three months ended March 31, |
| |
|
2010 |
|
2011 |
|
% Change |
IFRS operating expenses |
|
|
(1,076 |
) |
|
|
(3,495 |
) |
|
|
224.8 |
% |
Adjustment: |
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation |
|
|
— |
|
|
|
211 |
|
|
|
|
|
| |
|
|
|
|
|
|
Non-IFRS operating expenses |
|
|
(1,076 |
) |
|
|
(3,284 |
) |
|
|
205.2 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IFRS profit before taxation |
|
|
36,662 |
|
|
|
42,870 |
|
|
|
16.9 |
% |
IFRS operating margin |
|
|
29.9 |
% |
|
|
26.9 |
% |
|
|
|
|
Adjustment: |
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation |
|
|
— |
|
|
|
211 |
|
|
|
|
|
| |
|
|
|
|
|
|
Non-IFRS profit before taxation |
|
|
36,662 |
|
|
|
43,081 |
|
|
|
17.5 |
% |
Non-IFRS operating margin |
|
|
29.9 |
% |
|
|
27.0 |
% |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IFRS profit for the period |
|
|
31,614 |
|
|
|
32,073 |
|
|
|
1.5 |
% |
IFRS net margin |
|
|
25.8 |
% |
|
|
20.1 |
% |
|
|
|
|
Adjustment: |
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation |
|
|
— |
|
|
|
211 |
|
|
|
|
|
| |
|
|
|
|
|
|
Non-IFRS profit for the period |
|
|
31,614 |
|
|
|
32,284 |
|
|
|
2.1 |
% |
Non-IFRS net margin |
|
|
25.8 |
% |
|
|
20.3 |
% |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IFRS Earnings per ADS |
|
|
0.10 |
|
|
|
0.08 |
|
|
|
(20.0 |
%) |
Adjustment: |
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation |
|
|
— |
|
|
|
* |
|
|
|
|
|
| |
|
|
|
|
|
|
Non-IFRS Earnings per ADS |
|
|
0.10 |
|
|
|
0.08 |
|
|
|
(20.0 |
%) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average ADS outstanding, basic and diluted (in thousands)1 |
|
|
50,000 |
|
|
|
58,000 |
|
|
|
|
|
* Less than one thousand renminbi |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 1 |
|
Each ADS represents 4 ordinary shares. |
9