CMOC Group Limited — Interim / Quarterly Report 2021

Apr 27, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

==> picture [452 x 132] intentionally omitted <==

(Stock Code: 03993)

2021 FIRST QUARTERLY FINANCIAL REPORT

The board of directors (the “ Board ”) of China Molybdenum Co., Ltd. (the “ Company ” or “ CMOC ”) is pleased to announce the unaudited results of the Company and its subsidiaries (collectively the “ Group* ”) prepared in accordance with the Accounting Standards for Business Enterprises of the People’s Republic of China for the first quarter ended 31 March 2021. This announcement is made pursuant to Rules 13.09(2) and 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong).

• For identification purposes only

** This report was prepared in both Chinese and English versions. Where there is discrepancy between the Chinese and English versions, the Chinese version shall prevail.

– 1 –

CONTENTS

I.	IMPORTANT NOTICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	4
II.	BASIC INFORMATION OF THE COMPANY . . . . . . . . . . . . . . . . . . .	4
**III. **	SIGNIFICANT EVENTS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	11
**IV. **	APPENDIX. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	16

– 2 –

Abstract:

• Benefiting from the rising prices of copper and cobalt, the Company’s performance has been steadily rising. During the reporting period, the Company achieved operating revenue of RMB39.915 billion, up 78% year-on-year; EBITDA of RMB3.306 billion, up 124% year-on-year; and net profit attributable to the parent company of RMB1.007 billion, up 125% year-on-year; all of which were the best single-quarter levels since 2019. During the same period, capital expenditure was RMB684 million, up 37% year-on-year.

• During the reporting period, the production operation of each segment was good, and production was in line with expectations. Operations in DRC achieved copper production of 49,687 tonnes and cobalt production of 3,300 tonnes; molybdenum and tungsten production in China achieved 4,031 tonnes and 2,091 tonnes; Brazil operations produced 1,877 tonnes of niobium and 255.2 thousand tonnes of phosphate; NPM in Australia (based on 80% of equity interests) produced 5,648 tonnes of copper and 4,489 ounces of gold; IXM achieved concentrates sales of 608 thousand tonnes and refined metal sales of 792 thousand tonnes.

• The Company continued to promote cost reduction and efficiency improvement, and achieved significant cost reduction results in the first quarter of 2021. RMB175 million cost reduction was achieved, of which the contribution of the DRC segment was particularly significant, with a total reduction US$16.5 million through measures such as improving recovery rate of copper and reducing administrative costs.

• Continued to increase liquidity reserves and maintained a healthy asset and liability structure. As of the end of first quarter of 2021, the Company’s cash and cash equivalents was RMB23.1 billion, and the net interest-bearing debt ratio was further reduced to 23.38%, with sufficient liquidity reserves.

– 3 –

I. IMPORTANT NOTICE

• 1.1 The Board, the supervisory committee, the directors, supervisors and senior management of the Company warrant the truthfulness, accuracy and completeness of the contents set out in this quarterly report, and that it contains no false representation, misleading statement nor material omission, and assume several and joint legal responsibilities.

• 1.2 All the directors of the Company attended the board meeting to consider the quarterly report.

• 1.3 Yuan Honglin, the person in charge of the Company, Wu Yiming, the person in charge of accounting affairs and Rong Yinjie, the person responsible for the accounting department, warrant the truthfulness, accuracy and completeness of the financial statements in this quarterly report.

• 1.4 The first quarterly financial report of the Company is unaudited.

II. BASIC INFORMATION OF THE COMPANY

2.1 Key Financial Data

Unit: Yuan Currency: RMB

			Increase/decrease
			as at the end
			of the reporting
	As at the end	As at the	period as
	of the	end of	compared with
Items	reporting period	last year	the end of last year
			(%)
Total assets	132,339,433,186.68	122,441,249,889.87	8.08
Net assets attributable to the shareholders
of the listed company	38,656,028,643.53	38,891,780,788.15	-0..61

– 4 –

		From the beginning
	From the beginning	of last year	Increase/decrease
	of the year	to the end of the	as compared with
	to the end of the	reporting period	the same period
Items	reporting period	of last year	of last year
			(%)
Net cash flow from operating activities	2,569,906,910.68	5,887,743,222.10	-56.35
Operating revenue	39,915,601,697.31	22,382,525,359.85	78.33
Net profit attributable to the shareholders of
the listed company	1,007,464,715.66	448,129,593.18	124.82
Net profit after deduction of non-recurring
profits or losses attributable to the
shareholders of the listed company	503,258,262.86	209,663,660.36	140.03
Weighted average rate of return on net			increased by 1.50
assets (%)	2.60	1.10	percentage points
Basic earnings per share
(RMB Yuan/Share)	0.047	0.021	123.81
Diluted EPS (RMB Yuan/Share)	N/A	N/A	N/A

– 5 –

Items and amounts for non-recurring profits or losses

Unit: Yuan Currency: RMB

• Amount for

• Items the period Explanations Profits or losses from disposal of non-current assets -51,346.39 Government grants included in profit and loss for the 8,358,312.77 Including subsidies for lowperiod, except for those closely relevant to the grade scheelite project of Company’s normal business and in compliance RMB2 million with national policies and regulations and granted continuously according to certain standardized amounts or quotas

• Investment gains arising from changes in fair value -1,437,905,030.53 Including changes in fair and disposal of held-for-trading financial assets, value of derivate financial derivative financial assets, held-for-trading instruments of metal trading financial liabilities, derivative financial liabilities business of IXM amounting and other non-current financial assets, except for to RMB-1,571 million those effectively hedged associated with normal business operations of the Company

• Other losses in changes of fair value -2,488,064.92 Gains or losses in changes of fair value of assets and 1,975,217,793.31 liabilities including trading inventories measured at fair value of IXM’s metal trading business

• Other non-operating income and expenses other than -4,577.48 the above items

• Effects of non-controlling interests (after tax) -2,386.67 Income tax effects -38,918,247.29 Total 504,206,452.80

– 6 –

• 2.2 Table showing total number of shareholders, shareholdings of top 10 shareholders and top 10 holders of tradable shares (or shareholders not subject to trading moratorium) as of the end of the reporting period

Unit: 0’000 Shares

Total number of shareholders (shareholder)

440,555

Top 10 shareholders

			Number	Subject to	pledge or
	Number of		of shares	moratorium
	shares held	Percentage	held with
Name of shareholders	as at the end	of	selling	Status of		Nature of
(full name)	of the period	shareholding	restrictions	shares	Number	shareholders
	(A shares/
	H shares)	(%)
Cathay Fortune Corporation	533,322.00	24.69	0	Nil	0	Domestic non-
(鴻商產業控股	(A shares					state owned legal
集團有限公司)	& H shares)					person
Luoyang Mining Group Co.,	532,978.04	24.68	0	Nil	0	State-owned legal
Ltd. (洛陽礦業集團	(A shares)					person
有限公司)
HKSCC NOMINEES	359,229.43	16.63	0	Unknown	0	Foreign legal person
LIMITED (香港中央	(H shares)
結算（代理人）有限
公司)
Jianxin Fund – Industrial	63,191.70	2.93	0	Nil	0	Unknown
and Commercial Bank	(A shares)
of China – Shaanxi
Province International
Trust – Shan Guotou •
Jinyu No. 6 Directional
Investment Collection
Fund Trust Plan (建信
基金－工商銀行－陝
西省國際信託－陝
國投•金玉6號定向
投資集合資金信託
計劃)
Hong Kong Securities	55,292.88	2.56	0	Nil	0	Foreign legal person
Clearing Company Ltd.	(A shares)
(香港中央結算有限
公司)

– 7 –

			Number	Subject to	pledge or
	Number of		of shares	moratorium
	shares held	Percentage	held with
Name of shareholders	as at the end	of	selling	Status of			Nature of
(full name)	of the period	shareholding	restrictions	shares	Number		shareholders
	(A shares/
	H shares)	(%)
Minsheng Bank Fund	35,194.25	1.63	0	Nil		0	Unknown
– Bank of Ningbo	(A shares)
–Jiaxing Minliu
Investment Partnership
(Limited Partnership)
*(民生加銀基金－寧
波銀行－嘉興民琉
投資合夥企業（有限
合夥))
China Structural Reform	34,375.27	1.59	0	Nil		0	State-owned legal
Fund Corporation	(A shares)						person
Limited (中國國有
企 業結構調整基
金股份 有限公司)
Ningbo Shanshan Venture	22,861.51	1.06	0	Pledge	15,000		Domestic non-
Capital Co., Ltd.	(A shares)						state owned legal
(寧波杉杉創業投							person
資有限公司)
Central Huijin Asset	6,424.29	0.30	0	Nil		0	State-owned legal
Management Limited	(A shares)						person
(中央匯金資產管
理有限責任公司)
Abu Dhabi Investment	6,236.62	0.29	0	Nil		0	Unknown
Authority (阿布達	(A shares)
比投資局)

– 8 –

Top 10 shareholders not subject to trading moratorium

	Number of
	tradable
	shares not
	subject to
Name of shareholders	trading	Types and quantity of shares
(full name)	moratorium	Types	Quantity
Cathay Fortune	533,322.00	RMB-denominated	533,322.00
Corporation (鴻商產		ordinary shares (A
業控股集團有限公		shares) and overseas
司)		listed foreign-
		invested shares (H
		shares)
Luoyang Mining Group	532,978.04	RMB-denominated	532,978.04
Co., Ltd. (洛陽礦業		ordinary shares
集團有限公司)		(A shares)
HKSCC NOMINEES	359,229.43	Overseas listed foreign-	359,229.43
LIMITED (香港中央		invested shares (H
結算（代理人）有限		shares)
公司)
Jianxin Fund – Industrial	63,191.70	RMB-denominated	63,191.70
and Commercial Bank		ordinary shares
of China – Shaanxi		(A shares)
Province International
Trust – Shan Guotou •
Jinyu No. 6 Directional
Investment Collection
Fund Trust Plan (建信
基金－工商銀行－
陝西省國際信託－
陝國投•金玉6號定
向投資集合資金信
託計劃)
Hong Kong Securities	55,292.88	RMB-denominated	55,292.88
Clearing Company		ordinary shares
Ltd.(香港中央結算		(A shares)
有限公司)

– 9 –

	Number of
	tradable
	shares not
	subject to
Name of shareholders	trading	Types and quantity of shares
(full name)	moratorium	Types	Quantity
Minsheng Bank Fund	35,194.25	RMB-denominated	35,194.25
– Bank of Ningbo		ordinary shares
–Jiaxing Minliu		(A shares)
Investment Partnership
(Limited Partnership)
(民生加銀基金-寧
波銀行-嘉興民琉
投資合夥企業（有
限合夥))
China Structural Reform	34,375.27	RMB-denominated	34,375.27
Fund Corporation		ordinary shares
Limited (中國國有		(A shares)
企業結構調整基金
股份有限公司)
Ningbo Shanshan	22,861.51	RMB-denominated	22,861.51
Venture Capital Co.,		ordinary shares
Ltd.(寧波杉杉創業		(A shares)
投資有限公司)
Central Huijin Asset	6,424.29	RMB-denominated	6,424.29
Management Limited		ordinary shares
(中央匯金資產管		(A shares)
理有限責任公司)
Abu Dhabi Investment	6,236.62	RMB-denominated	6,236.62
Authority (阿布達比		ordinary shares
投資局)		(A shares)

Explanation of the aforesaid shareholders’ related relations or concerted action

Cathay Fortune International Company Limited ( 鴻商產業國際有限公司 ) and Cathay Fortune Investment Limited ( 鴻商投資有限 公司 )，which are wholly-owned subsidiaries of Cathay Fortune Corporation ( 鴻商產業控股集 團有限公司 ), hold 303 million H shares of the Company, which were registered under HKSCC NOMINEES LIMITED ( 香港中央結算（代理 人）有限公司 ). Cathay Fortune Corporation, which holds a total of 5,333.22 million shares of the Company, accounting for 24.69% of the shareholding, is the controlling shareholder of the Company.

– 10 –

III. SIGNIFICANT EVENTS

• 3.1 Particulars of and reasons for material changes in major accounting items and financial indicators of the Company

3.1.1 Items in Balance Sheet

Unit: Yuan Currency: RMB

			Increase/
Items	31 March 2021	31 December 2020	Decrease	Notes
Cash and bank balances	23,082,465,227.80	16,947,648,080.87	36.20%	The increase in cash and bank
				balances was mainly due to the
				increase in net cash inflow of
				the mining business and the
				increase in liquidity reserve
Held-for-trading financial	10,145,779,596.26	7,435,128,840.50	36.46%	The increase in held-for-trading
assets				financial assets was mainly
				due to the increase of account
				receivables of basic metal
				trading business which is
				designated as held-for-trading
				financial assets following the
				rising prices of the commodities
Short-term borrowings	28,927,842,277.74	20,464,481,097.49	41.36%	The increase in short-term loan
				was mainly due to the increase
				of the borrowing during the
				period
Held-for-trading financial	8,074,831,605.64	4,291,950,709.21	88.14%	The increase in held-for-trading
liabilities				financial liabilities was mainly
				due to the increase of gold lease
				business and account payables
				of metal trading business which
				is designated as held-for-trading
				financial liabilities

– 11 –

			Increase/
Items	31 March 2021	31 December 2020	Decrease	Notes
Taxes payable	1,689,914,186.50	845,217,960.37	99.94%	The increase in tax payables was
				mainly due to the increase of
				income tax payables of copper
				and cobalt business
Non-current liabilities due	3,342,254,884.23	5,329,646,086.38	-37.29%	The decrease in non-current
within one year				liabilities due within one year
				was mainly due to the repayment
				of medium-term notes during
				the period
Other current liabilities	179,443,628.68	2,159,431,822.36	-91.69%	The decrease in other current
				liabilities was mainly due to the
				repayment of super short-term
				commercial paper during the
				period
Other comprehensive	-4,829,091,457.28	-3,585,690,161.76	-34.68%	The difference was mainly due to
income				the impact of cash flow hedge
				reserves

– 12 –

3.1.2 Items in Income Statement

Unit: Yuan Currency: RMB

	January to	January to	Increase/
Items	March 2021	March 2020	decrease	Notes
Operating income	39,915,601,697.31	22,382,525,359.85	78.33%	The increase in operating income was
				mainly due to the rising copper
				and cobalt prices and the growth in
				basic metal trading business scale
				during the period
Operating costs	35,703,105,093.64	23,537,038,499.92	51.69%	The increase in operating costs was
				mainly due to the growth in basic
				metal trading business scale during
				the period
Financial expenses	239,840,639.29	367,271,181.67	-34.70%	The increase in finance expenses
				was mainly due to the increase of
				exchange differences caused by the
				exchange rate fluctuation during the
				period
Investment income	9,973,927.84	132,138,573.86	-92.45%	The decrease in investment income
				was mainly due to the decrease of
				investment income on disposal of
				other non-current financial assets
				during the period
Gains from changes in fair	-1,441,896,007.07	2,194,008,739.08	-165.72%	The increase in losses from changes
value				in fair value was mainly due to the
				increase of losses from changes in
				fair value of derivative financial
				instruments during the period
Losses from assets	-8,030,049.33	-25,248,192.70	68.20%	The decrease in losses from assets
impairment				impairment was mainly due to
				decrease of losses on decline in
				value of inventories during the
				period
Income tax expenses	663,453,546.96	-283,734,727.27	333.83%	The increase in income tax expenses
				was mainly due to the significant
				increase of the profits from copper
				and cobalt business during the
				period

– 13 –

3.1.3 Items in Cash Flow Statement

Unit: Yuan Currency: RMB

January to January to Increase/ Items March 2021 March 2020 decrease Notes Net cash flow from 2,569,906,910.68 5,887,743,222.10 -56.35% The net operating cash inflow from operating activities the basic metal trading business decreased by RMB3.8 billion during the period Net cash flow from -4,419,778,719.54 -7,074,523,037.94 37.53% The increase in the net cash flow investing activities from investing activities was mainly due to the decrease of structured deposits as compared to the same period last year Net cash flow from 5,682,044,491.04 5,529,037,102.64 2.77% Remain stable financing activities

– 14 –

3.1.4 Output of Major Products

						Production	Sales
						volume increase/	volume increase/
						decrease for the	decrease for the
						reporting period	reporting period
						as compared	as compared
				Production	Sales	with the same	with the same
Principal products			Unit	volume	volume	period last year	period last year
						(%)	(%)
Metal exploration and processing			(Note 1)
Molybdenum	(Note 2)		Tonnes	4,031	3,969	14.53	14.41
Tungsten			Tonnes	2,091	2,041	-11.20	14.50
Niobium			Tonnes	1,877	1,759	-21.64	-23.75
Phosphate(HA+LA)			Tonnes	255,166	286,127	-11.29	39.10
Copper (TFM)			Tonnes	49,687	46,612	16.38	19.10
Cobalt			Tonnes	3,300	3,794	1.74	-28.87
Copper (80%	equity interest of
NPM)			Tonnes	5,648	4,498	-20.42	-7.02
Gold (80% equity interest of NPM)			Ounces	4,489	3,508	-18.85	-5.18
						Purchase	Sales
						volume increase/	volume increase/
						decrease for the	decrease for the
						reporting period	reporting period
						as compared	as compared
				Purchase	Sales	with the same	with the same
			Unit	volume	volume	period last year	period last year
Metal trading
Mineral metals		(Note 3)	Tonnes	621,000	608,000	-9.28	16.21
Refined metals		(Note 4)	Tonnes	836,000	791,999	28.85	26.82

• Note 1: Data relating to production volume, sales volume in the mining and processing stage of the mines is the data of each mine.

• Note 2: Including joint venture Luoyang Fuchuan Mining Co, Ltd.

• Note 3: The primary products of metal minerals, mainly are the concentrates.

• Note 4: The smelting of metal minerals and chemical products.

– 15 –

IV. APPENDIX

4.1 Financial statements

CONSOLIDATED BALANCE SHEET 31 March 2021

	Unit: Yuan Currency: RMB Unaudited	Unit: Yuan Currency: RMB Unaudited
Items	31 March 2021	31 December 2020
Current assets:
Cash and bank balances	23,082,465,227.80	16,947,648,080.87
Held-for-trading financial assets	10,145,779,596.26	7,435,128,840.50
Derivative financial assets	1,937,638,345.96	2,060,111,110.42
Accounts receivable	901,664,103.11	702,193,713.91
Financing receivables	459,502,620.18	405,697,607.38
Prepayments	1,071,799,698.01	1,405,838,288.25
Other receivables	1,956,840,370.74	1,676,752,484.31
Including: Interests receivable	430,070,665.77	344,628,170.18
Inventories	22,889,413,875.00	21,170,188,531.54
Other current assets	4,546,552,372.76	5,436,087,014.38
Total current assets	66,991,656,209.82	57,239,645,671.56
Non-current assets:
Long-term equity investments	1,364,993,319.66	1,348,252,898.68
Other investments in equity instruments	86,215,150.08	86,214,350.23
Other non-current financial assets	4,019,510,942.80	4,678,191,536.17
Fixed assets	23,032,647,681.56	23,328,330,597.04
Construction in progress	4,310,229,926.21	3,958,981,388.37
Right-of-use assets	541,766,074.20	487,786,129.11
Intangible assets	21,258,407,848.65	21,511,518,662.57
Long-term inventories	6,022,951,645.34	5,845,918,877.35
Goodwill	399,083,185.52	396,265,256.07
Long-term prepaid expenses	119,930,694.33	127,533,613.45
Deferred tax assets	832,278,895.38	497,166,341.93
Other non-current assets	3,359,761,613.13	2,935,444,567.34
Total non-current assets	65,347,776,976.86	65,201,604,218.31
Total assets	132,339,433,186.68	122,441,249,889.87

– 16 –

31 March 2021 31 December 2020

Items

Current liabilities: Short-term borrowings Held-for-trading financial liabilities Derivative financial liabilities Notes payable Accounts payable Contract liabilities Employee benefits payable Taxes payable Other payables Including: Interests payable Dividends payable Non-current liabilities due within one year Other current liabilities Total current liabilities Non-current liabilities: Long-term borrowings Bonds payable Non-current derivative financial liabilities Lease liabilities Long-term employee benefits payable Provisions Deferred income Deferred tax liabilities Other non-current liabilities Total non-current liabilities Total liabilities	28,927,842,277.74 8,074,831,605.64 4,589,998,794.81 729,192,440.19 940,243,845.74 476,068,929.81 731,737,294.07 1,689,914,186.50 1,503,274,867.14 144,339,411.59 27,885,796.67 3,342,254,884.23 179,443,628.68 51,184,802,754.55 16,669,108,724.06 3,642,825,000.00 391,276,700.24 315,773,877.09 334,860,445.95 2,403,648,489.84 58,734,869.71 6,222,394,134.54 3,741,232,302.22 33,779,854,543.65 84,964,657,298.20	20,464,481,097.49 4,291,950,709.21 5,021,779,572.93 627,937,567.02 876,914,865.30 371,984,342.17 769,350,564.51 845,217,960.37 1,599,240,517.18 222,893,031.58 27,885,796.67 5,329,646,086.38 2,159,431,822.36
		42,357,935,104.92
		15,360,372,820.17 3,631,225,000.00 417,159,248.94 247,794,476.14 323,797,716.11 2,750,507,412.49 60,587,483.62 6,269,305,883.30 3,687,709,740.77
		32,748,459,781.54
		75,106,394,886.46

– 17 –

Items 31 March 2021 31 December 2020

Shareholders’ equity (or equity interest): Paid-in capital (or share capital) Capital reserve Less: Treasury shares Other comprehensive income Special reserve Surplus reserve Retained profits Total equity attributable to the shareholders of the parent company (or equity interest) Minority interests Total shareholders’ equity (or equity interest) Total liabilities and shareholders’ equity (or equity interest)	4,319,848,116.60 27,582,794,983.23 193,840,466.48 -4,829,091,457.28 415,334.30 1,295,599,051.54 10,480,303,081.62 38,656,028,643.53 8,718,747,244.95 47,374,775,888.48 132,339,433,186.68	4,319,848,116.60 27,582,794,983.23 193,840,466.48 -3,585,690,161.76 230,899.06 1,295,599,051.54 9,472,838,365.96 38,891,780,788.15 8,443,074,215.26
		47,334,855,003.41
		122,441,249,889.87

– 18 –

BALANCE SHEET OF THE COMPANY January to March 2021

Unit: Yuan Currency: RMB Unaudited

Items

31 March 2021 31 December 2020

Current assets: Cash and bank balances Held-for-trading financial assets Accounts receivable Financing receivables Prepayments Other receivables Including: Interests receivable Dividends receivable Inventories Other current assets Total current assets Non-current assets: Long-term equity investments Other non-current financial assets Fixed assets Construction in progress Intangible assets Long-term prepaid expenses Deferred tax assets Other non-current assets Total non-current assets Total assets	11,839,959,621.01 702,017,934.73 744,106,554.33 61,333,748.03 164,906,003.90 2,728,688,376.52 527,113,303.21 44,006,084.08 181,946,784.57 78,781,521.21 16,501,740,544.30 31,891,514,589.58 582,279,860.26 1,771,312,529.61 307,898,448.71 300,742,398.69 124,427,687.23 186,170,415.65 77,089,457.11 35,241,435,386.84 51,743,175,931.14	7,045,029,428.45 200,032,876.71 365,342,418.35 7,966,803.02 143,016,792.20 3,682,649,191.28 468,074,888.87 44,006,084.08 199,847,211.21 80,818,294.02
		11,724,703,015.24
		31,912,290,109.90 580,980,901.35 1,640,559,215.13 268,937,597.32 282,262,342.23 132,147,350.14 116,038,320.48 77,089,457.11
		35,010,305,293.66
		46,735,008,308.90

– 19 –

31 March 2021 31 December 2020

Items

Current liabilities: Short-term borrowings Held-for-trading financial liabilities Derivative financial liabilities Notes payable Accounts payable Contract liabilities Employee benefits payable Taxes payable Other payables Including: Interests payable Non-current liabilities due within one year Other current liabilities Total current liabilities Non-current liabilities: Long-term borrowings Bonds payable Non-current derivative financial liabilities Provisions Deferred income Other non-current liabilities Total non-current liabilities Total liabilities Shareholders’ equity (or equity interest): Paid-in capital (Share capital) Capital reserve Less: Treasury shares Special reserve Surplus reserve Retained profits Total shareholders’ equity (or equity interest) Total liabilities and shareholders’ equity (or equity interest)	5,951,408,000.00 1,777,825,398.24 783,921,939.90 128,816,208.39 165,931,062.75 695,524,945.79 57,540,844.18 57,254,253.10 3,624,686,128.88 81,348,398.77 40,200,000.00 158,853,052.72 13,441,961,833.95 1,824,800,000.00 2,000,000,000.00 391,276,700.24 47,570,371.67 57,416,536.40 165,364,319.14 4,486,427,927.45 17,928,389,761.40 4,319,848,116.60 27,633,234,087.22 193,840,466.48 222,426.55 1,305,892,188.78 749,429,817.07 33,814,786,169.74 51,743,175,931.14	2,195,747,000.00 449,732,550.75 449,661,924.05 122,572,692.44 152,707,814.98 169,168,094.52 92,673,541.26 10,422,432.90 2,162,049,869.58 129,344,304.05 2,000,000,000.00 2,101,491,643.61
		9,906,227,564.09
		200,000,000.00 2,000,000,000.00 406,801,357.57 47,570,371.67 18,402,410.30 165,364,319.14
		2,838,138,458.68
		12,744,366,022.77
		4,319,848,116.60 27,633,234,087.22 193,840,466.48 230,899.06 1,295,599,051.54 935,570,598.19
		33,990,642,286.13
		46,735,008,308.90

– 20 –

CONSOLIDATED INCOME STATEMENT

January to March 2021

Unit: Yuan Currency: RMB Unaudited

Items I. Total operating income Including: Operating income II. Total operating costs Including: Operating costs Taxes and levies Selling expenses Administrative expenses Research and development expenses Financial expenses Including: Interest expenses Interest income Add: Other income Investment income (losses are indicated by “-”) Including: Income from investments in associates and joint ventures Gains from changes in fair value (losses are indicated by “-”) Losses from credit impairment (losses are indicated by “-”) Losses from assets impairment (losses are indicated by “-”) Gains from disposal of assets (losses are indicated by “-”) III. Operating profit (loss is indicated by “-”) Add: Non-operating income Less: Non-operating expenses IV. Total profit (loss is indicated by “-”) Less: Income tax expenses	January to March 2021 39,915,601,697.31 39,915,601,697.31 36,596,220,236.00 35,703,105,093.64 246,353,223.16 20,243,639.39 366,277,502.32 20,400,138.20 239,840,639.29 436,335,185.43 173,359,004.59 8,358,312.77 9,973,927.84 8,471,016.24 -1,441,896,007.07 545,823.44 -8,030,049.33 -51,346.39 1,888,282,122.57 4,672,874.77 4,677,452.24 1,888,277,545.10 663,453,546.96	January to March 2020 22,382,525,359.85 22,382,525,359.85 24,546,358,007.86 23,537,038,499.92 265,580,021.71 23,389,606.80 333,822,373.26 19,256,324.50 367,271,181.67 459,960,310.22 209,528,094.38 2,092,412.10 132,138,573.86 1,413,710.28 2,194,008,739.08 -151,760.94 -25,248,192.70 -20,142.33 138,986,981.06 1,595,265.77 3,928,398.21 136,653,848.62 -283,734,727.27

– 21 –

Items V. Net profit (loss is indicated by “-”) (I) Classified by business continuity 1. Ne t profit from continuing operations (loss is indicated by “-”) (II)Classified by ownership: 1. Ne t profit attributable to owners of the parent company (loss is indicated by “-”) 2. Ne t profit attributable to minority interests (loss is indicated by “-”) VI. Other comprehensive income, net of tax Other comprehensive income attributable to owners of the parent company, net of tax (I) Ot her comprehensive income that will not be reclassified to profit or loss 1. Re measurement of changes in defined benefit plans (II)Ot her comprehensive income that may be reclassified subsequently to profit or loss 1. Cash flow hedges reserve 2. Fo reign exchange difference from translation of financial statements Other comprehensive income attributable to minority interests, net of tax VII. Total comprehensive income Total comprehensive income attributable to shareholders of the parent company Total comprehensive income attributable to minority interests VIII. Earnings per share: (I) Basic earnings per share (RMB Yuan/Share) (II)Diluted earnings per share (RMB Yuan/Share)	January to March 2021 1,224,823,998.14 1,224,823,998.14 1,007,464,715.66 217,359,282.48 -1,185,288,821.52 -1,243,401,295.52 0.00 0.00 -1,243,401,295.52 -1,493,020,852.41 249,619,556.89 58,112,474.00 39,535,176.62 -235,936,579.86 275,471,756.48 0.047 N/A	January to March 2020 420,388,575.89 420,388,575.89 448,129,593.18 -27,741,017.29 -317,138,622.02 -442,369,002.15 -16,511,875.24 -16,511,875.24 -425,857,126.91 -671,281,398.41 245,424,271.50 125,230,380.13 103,249,953.87 5,760,591.03 97,489,362.84 0.021 N/A

– 22 –

INCOME STATEMENT OF THE COMPANY

January to March 2021

Unit: Yuan Currency: RMB Unaudited

	January to	January to
Items	March 2021	March 2020
I. Operating revenue	895,930,208.12	821,183,302.84
Less: Operating costs	523,991,226.17	390,755,955.05
Taxes and levies	36,703,359.38	59,811,794.79
Selling expenses	0.00	8,135.31
Administrative expenses	68,974,333.08	55,305,584.12
Research and development expenses	17,063,635.99	12,941,851.40
Financial expenses	48,259,874.80	25,179,587.37
Including: Interest expenses	104,669,254.84	93,557,254.77
Interest income	100,363,631.75	96,069,268.50
Add: Other income	5,546,046.52	167,034.09
Investment income
(losses are indicated by “-”)	5,580,256.56	20,723,165.82
Including: In come from investments in
associates and joint ventures	-775,520.32	7,514,036.54
Gains from changes
in fair value
(losses are indicated by “-”)	-528,670,003.84	-180,813,653.96
Gains from disposal of assets
(losses are indicated by “-”)	338,543.33	63,764.40
II. Operating profit (losses are indicated by “-”)	-316,267,378.73	117,320,705.15
Add: Non-operating income	175,903.85	7,020.00
Less: Non-operating expenses	3,954,292.06	3,268,607.48
III. Total profit (loss is indicated by “-”)	-320,045,766.94	114,059,117.67
Less: Income tax expenses	-56,825,414.99	10,407,427.51
IV. Net profit (loss is indicated by “-”)	-263,220,351.95	103,651,690.16
(I) Ne t profit from continuing operations
(loss is indicated by “-”)	-263,220,351.95	103,651,690.16
V. Other comprehensive income	/	/
VI. Total comprehensive income	-263,220,351.95	103,651,690.16

– 23 –

CONSOLIDATED CASH FLOW STATEMENT

January to March 2021

Unit: Yuan Currency: RMB Unaudited	Unit: Yuan Currency: RMB Unaudited	Unit: Yuan Currency: RMB Unaudited
	January to	January to
Items	March 2021	March 2020
I. Cash flows from operating activities:
Cash receipts from the sale of goods and
the rendering of services	38,859,584,818.00	24,498,608,659.33
Other cash receipts relating to
operating activities	97,172,053.31	598,249,549.54
Sub-total of cash inflows from
operating activities	38,956,756,871.31	25,096,858,208.87
Cash payments for goods purchased and
services received	34,826,496,636.27	17,655,416,027.66
Cash payments to and on behalf of employees	735,894,672.33	607,560,131.35
Payments of various types of taxes	703,782,549.75	867,144,356.46
Other cash payments relating to
operating activities	120,676,102.28	78,994,471.30
Sub-total of cash outflows from
operating activities	36,386,849,960.63	19,209,114,986.77
Net cash flow from operating activities	2,569,906,910.68	5,887,743,222.10

– 24 –

Items II. Cash flows from investing activities: Cash receipts from disposals and recovery of investments Cash receipts from investment income Net cash receipts from disposals of fixed assets, intangible assets and other long-term assets Other cash receipts relating to investing activities Sub-total of cash inflows from investing activities Cash payments to acquire or construct fixed assets, intangible assets and other long-term assets Cash payments to acquire investments Other cash payments relating to investing activities Sub-total of cash outflows from investing activities Net cash flow from investing activities	January to March 2021 1,246,039,975.85 15,114,951.94 952,223.00 1,517,557,856.84 2,779,665,007.63 683,557,858.87 3,706,407,292.45 2,809,478,575.85 7,199,443,727.17 -4,419,778,719.54	January to March 2020 1,169,238,799.41 8,196,218.33 0.00 120,440,394.28 1,297,875,412.02 499,954,942.91 7,573,866,198.26 298,577,308.79 8,372,398,449.96 -7,074,523,037.94

– 25 –

Items III. Cash flows from financing activities: Cash receipts from borrowings Other cash receipts relating to financing activities Sub-total of cash inflows from financing activities Cash repayments of borrowings Cash payments for distribution of dividends or profits and settlement of interests Other cash payments relating to financing activities Sub-total of cash outflows from financing activities Net cash flow from financing activities IV. Ef fect of foreign exchange rate changes on cash and cash equivalents V. Ne t increase (decrease) in cash and cash equivalents Add: Op ening balance of cash and cash equivalents VI. Closing balance of cash and cash equivalents	January to March 2021 32,802,067,785.02 1,901,390,423.19 34,703,458,208.21 28,079,446,586.48 425,324,972.74 516,642,157.95 29,021,413,717.17 5,682,044,491.04 18,635,071.19 3,850,807,753.37 11,448,950,438.25 15,299,758,191.62	January to March 2020 12,766,185,812.09 3,130,760,096.62 15,896,945,908.71 8,464,426,828.10 469,550,355.08 1,433,931,622.89 10,367,908,806.07 5,529,037,102.64 76,889,344.12 4,419,146,630.92 12,392,247,511.85 16,811,394,142.77

– 26 –

CASH FLOW STATEMENT OF PARENT COMPANY January to March 2021

Unit: Yuan Currency: RMB Unaudited

Items I. Cash flows from operating activities: Cash receipts from the sale of goods and the rendering of services Other cash receipts relating to operating activities Sub-total of cash inflows from operating activities Cash payments for goods purchased and services received Cash payments to and on behalf of employees Payments of various types of taxes Other cash payments relating to operating activities Sub-total of cash outflows from operating activities Net cash flow from operating activities	January to March 2021 1,132,433,078.45 2,304,710,290.54 3,437,143,368.99 155,229,163.29 150,107,356.88 53,160,734.22 1,147,660,719.96 1,506,157,974.35 1,930,985,394.64	January to March 2020 4,227,187,662.38 1,469,597,240.29 5,696,784,902.67 122,791,064.34 127,084,558.13 185,342,436.20 2,066,505,218.53 2,501,723,277.20 3,195,061,625.47

– 27 –

Items II. Cash flows from investing activities: Cash receipts from disposals and recovery of investments Cash receipts from investment income Net cash receipts from disposals of fixed assets, intangible assets and other long-term assets Other cash receipts relating to investing activities Sub-total of cash inflows from investing activities Cash payments to acquire or construct fixed assets, intangible assets and other long-term assets Cash payments to acquire investments Other cash payments relating to investing activities Sub-total of cash outflows from investing activities Net cash flow from investing activities III. Cash flows from financing activities: Cash receipts from borrowings Other cash receipts relating to financing activities Sub-total of cash inflows from financing activities Cash repayments of borrowings Cash payments for distribution of dividends or profits and settlement of interests Other cash payments relating to financing activities Sub-total of cash outflows from financing activities Net cash flow from financing activities	January to March 2021 400,000,000.00 6,355,776.88 952,223.00 1,799,911,774.48 2,207,219,774.36 36,901,446.08 1,981,177,157.92 1,231,351,001.50 3,249,429,605.50 -1,042,209,831.14 9,502,052,000.00 2,512,823,355.49 12,014,875,355.49 8,098,842,992.35 146,715,401.30 729,142,624.16 8,974,701,017.81 3,040,174,337.68	January to March 2020 1,000,000,000.00 8,196,218.33 0.00 2,175,220,707.34 3,183,416,925.67 71,932,671.50 3,730,033,763.63 2,614,390,197.68 6,416,356,632.81 -3,232,939,707.14 4,930,378,000.00 3,155,436,749.63 8,085,814,749.63 2,678,000,000.00 103,993,624.94 1,589,250,356.98 4,371,243,981.92 3,714,570,767.71

– 28 –

	January to	January to
Items	March 2021	March 2020
IV. Ef fect of foreign exchange rate
changes on cash and cash equivalents	-2,040,451.78	-207,044.61
V. Ne t increase in cash and
cash equivalents	3,926,909,449.40	3,676,485,641.43
Add: Opening balance of cash and
cash equivalents	4,948,637,106.52	3,233,637,947.06
VI. Closing balance of cash and cash equivalents	8,875,546,555.92	6,910,123,588.49

Luoyang City, Henan Province, the People’s Republic of China, 27 April 2021

As at the date of this announcement, the Company’s executive directors are Mr. Li Chaochun and Mr. Li Faben; the Company’s non-executive directors are Mr. Yuan Honglin, Mr. Guo Yimin and Mr. Cheng Yunlei; and the Company’s independent nonexecutive directors are Mr. Wang Gerry Yougui, Ms. Yan Ye and Mr. Li Shuhua.

– 29 –