DFZQ — Interim / Quarterly Report 2018

Oct 30, 2018

Hong Kong Exchanges and Clearing Limited, The Stock Exchange of Hong Kong Limited and Hong Kong Securities Clearing Company 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.

(A joint stock company incorporated in the People’s Republic of China with limited liability under the Chinese corporate name “ 東方證券股份有限公司 ” and carrying on business in Hong Kong as “ 東方證券 ” (in Chinese) and “DFZQ” (in English))

(Stock Code: 03958)

THE THIRD QUARTERLY REPORT FOR THE YEAR 2018

The board (the “ Board ”) of directors (the “ Directors ”) of 東方證券股份有限公司 (the “ Company ”) is pleased to announce the unaudited results of the Company and its subsidiaries for the third quarter ended September 30, 2018, prepared in accordance with General Accepted Accounting Principles of the People’s Republic of China. This announcement is made pursuant to the Inside Information Provisions (as defined in The Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “ Hong Kong Stock Exchange ”) (the “ Listing Rules ”)) under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong) and Rules 13.09(2) and 13.10B of the Listing Rules.

This announcement contains the Chinese original version and English translation of the “The Third Quarterly Report for the Year 2018 of Orient Securities Company Limited” as published on the website of the Shanghai Stock Exchange, and is provided for your reference only. In case of discrepancy between the Chinese version and the English version, the Chinese version shall prevail.

By order of the Board of Directors PAN Xinjun Chairman

Shanghai, PRC October 30, 2018

As at the date of this announcement, the Board of Directors comprises Mr. PAN Xinjun and Mr. JIN Wenzhong as executive Directors; Mr. LIU Wei, Mr. WU Junhao, Mr. CHEN Bin, Mr. LI Xiang, Ms. XIA Jinghan, Mr. XU Jianguo and Mr. DU Weihua as non-executive Directors; and Mr. XU Guoxiang, Mr. TAO Xiuming, Mr. WEI Anning, Mr. XU Zhiming and Mr. JIN Qinglu as independent non-executive Directors.

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Orient Securities Company Limited

The Third Quarterly Report for the Year 2018

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CONTENTS

I.	IMPORTANT NOTICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	4
II.	COMPANY PROFILE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	4
III.	MATERIAL EVENTS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	9
IV.	APPENDICES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	15

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I. IMPORTANT NOTICE

• 1.1 The Board, the supervisory committee of the Company and its Directors, supervisors and senior management warrant that the information contained herein is true, accurate and complete and there are no false representations, misleading statements contained in or material omissions from this quarterly report, and severally and jointly accept legal liability.

• 1.2 All the Directors attended the Board meeting to consider this quarterly report.

• 1.3 The person-in-charge of the Company, Mr. Pan Xinjun, and the accounting chief and personin-charge of the accounting department (head of the accounting department), Mr. Zhang Jianhui, warrant the truthfulness, accuracy and completeness of the financial statements set out in this quarterly report.

• 1.4 This third quarterly report of the Company was unaudited.

II. COMPANY PROFILE

2.1 Key financial data

Unit: Yuan Currency: RMB

				Increase/
				decrease
				recorded
				at the end of this
				reporting period
				as compared
				with the end of
	At the end of this	At the end of the	previous year	the previous year
	reporting period	After adjustments	Before adjustments	(%)
Total assets	227,000,657,133.94	231,859,988,264.38	231,859,988,264.38	-2.10
Net assets attributable to
the shareholders of
the Company	51,438,793,135.19	52,985,501,419.59	52,985,501,419.59	-2.92
				Increase/
				decrease
	From the beginning			as compared
	of the year to	From the beginning of the previous year		with the
	the end of this	to the end of the reporting period		corresponding
	reporting period	of the previous year		period of the
	(January to	(January to September)		previous year
	September)	After adjustments	Before adjustments	(%)
Net cash flows from
operating activities	7,782,866,397.90	-15,498,651,940.31	-15,498,651,940.31	N/A

– 4 –

Unit: Yuan Currency: RMB

				Increase/
				decrease
	From the beginning			as compared
	of the year to	From the beginning of the previous year		with the
	the end of this	to the end of the reporting period		corresponding
	reporting period	of the previous year		period of the
	(January to	(January to September)		previous year
	September)	After adjustments	Before adjustments	(%)
Operating income	6,565,693,526.21	7,059,329,291.01	7,058,993,363.16	-6.99
Net profit attributable to
the shareholders of
the Company	903,852,606.34	2,628,915,372.22	2,628,915,372.22	-65.62
Net profit attributable to
the shareholders of
the Company after deducting
non-recurring profit or loss	834,440,004.99	2,414,308,887.36	2,414,308,887.36	-65.44
Weighted average returns on				Decrease by 4.63
net assets (%)	1.74	6.37	6.37	percentage points
Basic earnings per share
(RMB/Share)	0.13	0.42	0.42	-69.05
Diluted earnings per share
(RMB/Share)	N/A	N/A	N/A	N/A

Note: In accordance with the requirements of the Notice on the Amendments to the Format of General Corporate Financial Statements 《關於修訂印發一般企業財務報表格式的通知》) (Caikuai [2017] No. 30) issued by the Ministry of Finance on December 25, 2017, in respect of the Company’s gains on asset disposal under operating income, the comparative data of the comparable period was retrospectively adjusted. The consolidated gains on asset disposal in the first three quarters of 2017 was RMB335,927.85.

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Non-recurring items and amounts

✓Applicable □ Not Applicable

Unit: Yuan Currency: RMB

		Amounts from
		the beginning of
		the year to
		the end of this
	Amounts for	reporting period
	this period	(January to
Items	(July to September)	September)	Notes
Gains or losses from disposals of	-374,215.69	-399,229.42
non-current assets
Government grants recognized in current profit	-17,017,698.72	117,710,638.17	Government grants
or loss, excluding those closely related to
the Company’s normal operations and granted
on an ongoing basis under the State’s policies
according to certain quota of amount or volume
Other non-operating incomes and expenses	-3,377,341.16	-17,084,917.51	Mainly for donation
except items above			expenditure
Effect of non-controlling interests (net of tax)	4,912,296.97	-6,035,492.28
Effect of income tax	5,470,539.08	-24,778,397.62
Total	-10,386,419.52	69,412,601.34

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• 2.2 The table below sets out the total number of shareholders, and the shareholding of the top ten shareholders and the top ten shareholders of circulating shares (or shareholders not subject to restriction on sales) as at the end of the reporting period

Unit: Share

Total number of shareholders (accounts)

Total number of shareholders (accounts)						134,786
	Shareholding of the top ten shareholders
	Number of
	shares held
	as at the end
	of the		Number of
Name of shareholders	reporting	Percentage	restricted			Nature of
(Full name)	period	(%)	shares held	Pledged	or frozen	shareholders
				Status of	Number
				shares	of shares
Shenergy (Group) Company Limited	1,767,522,422	25.27	230,000,000	Nil	–	State-owned
						legal person
Hong Kong Securities Clearing Company	1,026,967,200	14.68	–	Nil	–	Foreign legal
Nominees Limited						person
Shanghai Haiyan Investment Management	345,486,596	4.94	59,215,263	Nil	–	State-owned
Company Limited						legal person
Shanghai United Media Group	243,017,306	3.47	–	Nil	–	State-owned
						legal person
China Securities Finance Corporation	209,110,425	2.99	–	Nil	–	State-owned
Limited						legal person
Zheneng Capital Holdings Limited	208,700,000	2.98	208,700,000	Nil	–	State-owned
(浙能資本控股有限公司)						legal person
Shanghai Electric (Group) Corporation	194,038,338	2.77	–	Nil	–	State-owned
						legal person
China Post Group Corporation	178,743,236	2.56	–	Nil	–	State-owned
						legal person
Shanghai Jinqiao Export Processing Zone	160,653,687	2.30	–	Nil	–	Domestic non-
Development Co., Ltd.						state-owned
(上海金橋出口加工區開發股份						legal person
有限公司)
Shanghai Construction Group Co., Ltd.	133,523,008	1.91	–	Nil	–	State-owned
						legal person

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Unit: Share

Shareholding of the top ten shareholders of non-restricted shares

	Number of
	circulating
	non-restricted
Name of shareholders	shares held	Type and number of shares
		Type	Number
Shenergy (Group) Company Limited	1,537,522,422	RMB ordinary	1,537,522,422
		shares
Hong Kong Securities Clearing Company	1,026,967,200	Overseas listed	1,026,967,200
Nominees Limited		foreign shares
Shanghai Haiyan Investment Management	286,271,333	RMB ordinary	286,271,333
Company Limited		shares
Shanghai United Media Group	243,017,306	RMB ordinary	243,017,306
		shares
China Securities Finance Corporation	209,110,425	RMB ordinary	209,110,425
Limited		shares
Shanghai Electric (Group) Corporation	194,038,338	RMB ordinary	194,038,338
		shares
China Post Group Corporation	178,743,236	RMB ordinary	178,743,236
		shares
Shanghai Jinqiao Export Processing Zone	160,653,687	RMB ordinary	160,653,687
Development Co., Ltd.		shares
(上海金橋出口加工區開發股份
有限公司)
Shanghai Construction Group Co., Ltd.	133,523,008	RMB ordinary	133,523,008
		shares
Greenland Holding Group Company	101,302,087	RMB ordinary	101,302,087
Limited (綠地控股集團有限公司)		shares
Description of related party relationship	Shenergy (Group)	Company Limited, Shanghai Electric
or parties acting in concert among	(Group) Corporation and Shanghai		Construction Group
above shareholders	Co., Ltd. are the subsidiaries of the		State-owned Assets
	Supervision and Administration Commission of Shanghai
	Municipal Government. The Company is not aware of
	any other related party relationship or any parties acting
	in concert among other shareholders.

• 2.3 The table below sets out the total number of preferred shareholders, and shareholding of top ten preferred shareholders and top ten preferred shareholders not subject to restriction on sales as at the end of the reporting period

□ Applicable ✓Not Applicable

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III. MATERIAL EVENTS

• 3.1 Material changes in major accounting statement items and financial indicators of the Company and the reasons for such changes

✓Applicable □ Not Applicable

Unit: Yuan Currency: RMB

	As at	As at	Increase/
Items	September 30, 2018	December 31, 2017	Decrease (%)	Reasons
Financial assets at fair value	0.00	48,029,446,703.89	N/A	Impact of changes in the
through profit or loss				classification of new
				financial instrument criteria
Transactional financial assets	52,635,299,215.39	0.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Derivative financial assets	88,164,703.20	168,718,612.92	-47.74	Decrease in the assets arising
				from change in the fair
				value of derivatives
Receivables	536,568,994.57	962,844,440.14	-44.27	Mainly due to the reduction
				of product clearing
				receivables and the
				settlement of customer
				transactions from
				subsidiaries
Deposit with exchanges and	2,000,781,229.61	1,025,095,523.60	95.18	Mainly due to the increase
financial institutions				of the stock index futures
				business and overseas
				business deposits
Held-to-maturity Investments	0.00	110,500,000.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Debt investment	7,806,223,395.31	0.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Available-for-sale financial assets	0.00	72,234,378,083.35	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Other debt investment	63,422,418,345.52	0.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria

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Unit: Yuan Currency: RMB

	As at	As at	Increase/
Items	September 30, 2018	December 31, 2017	Decrease (%)	Reasons
Other equity investment	7,113,378,500.61	0.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Deferred income tax assets	832,797,759.85	150,521,838.19	453.27	Increase of deductible
				temporary difference
Due to banks and other financial	5,200,000,000.00	11,200,000,000.00	-53.57	Decrease in inter-bank
institutions				borrowing
Financial liabilities at fair value	0.00	6,059,726,951.24	N/A	Impact of changes in the
through profit or loss				classification of new
				financial instrument criteria
Transactional financial liabilities	7,635,426,993.01	0.00	N/A	Impact of changes in the
				classification of new
				financial instrument criteria
Derivative financial liabilities	1,262,848,180.51	628,175,517.92	101.03	Mainly due to increase in
				scale of OTC commodity
				options
Contract liabilities	127,003,512.84	0.00	N/A	New income guidelines for
				new items
Funds payable to securities issuers	0.00	264,032,557.89	-100.00	Decrease in the amount of
				securities underwritten by
				the subsidiaries
Accrued staff costs	1,134,326,008.17	1,852,382,791.71	-38.76	Issue of staff costs for prior
				provision
Taxes payable	336,211,866.13	617,353,804.90	-45.54	Mainly due to the decrease
				in the payable corporate
				income tax
Payables	364,394,616.63	992,660,346.00	-63.29	Mainly due to the decrease of
				clearing accounts payable
				by subsidiaries
Deferred income tax liabilities	40,046,786.79	82,026,263.91	-51.18	Decrease of taxable temporary
				differences
Other comprehensive income	-209,930,917.81	-394,790,132.91	N/A	Mainly due to the impact of
				changes in the fair value of
				other debt investments

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Unit: Yuan Currency: RMB

	January to	January to	Increase/
Items	September 2018	September 2017	Decrease (%)	Reasons
Gains from disposal of assets	-20,225.15	335,927.85	-106.02	Increase of asset disposal
				expenses
Gains from changes in fair value	-1,912,341,712.23	1,460,020,989.78	-230.98	Effects of fair value changes
				of equity financial
				instruments
Foreign exchange gains	-25,273,366.60	-123,135,938.76	N/A	Effects of exchange rate
				changes
Other business income	1,903,608,734.90	234,727,654.93	710.99	Increase of the income from
				sale of commodity by
				subsidiaries
Tax and surcharges	56,259,255.16	41,921,873.13	34.20	Mainly due to the increase
				of stamp duty and
				property tax
Asset impairment loss	0.00	56,689,179.76	N/A	Reclassification of
				impairment losses on
				financial instruments to
				credit impairment losses
				after the implementation
				of the new financial
				instrument standards
Credit impairment loss	95,936,163.22	0.00	N/A	After the implementation
				of the new financial
				instrument standards, the
				impact of impairment
				provision on financial
				instruments is calculated
				based on the expected
				loss model
Other business cost	1,874,891,037.07	209,569,962.75	794.64	Increase of cost of sales
				of commodity by
				subsidiaries
Non-operating income	124,454,996.51	308,402,813.04	-59.65	Government subsidies
				received decreased
				compared with the same
				period of the previous
				year

– 11 –

Unit: Yuan Currency: RMB

	January to	January to	Increase/
Items	September 2018	September 2017	Decrease (%)	Reasons
Non-operating expenses	24,208,109.90	10,994,377.90	120.19	Increase in donation
				expenses
Income tax expense	44,524,214.04	511,849,774.18	-91.30	Decrease in operating profit
Other comprehensive income,	-269,139,742.12	-493,133,482.41	N/A	Mainly due to the impact of
net of tax				changes in the fair value
				of other debt investments
Basic earnings per share	0.13	0.42	-69.05	Decrease of net profit and
(RMB/Share)				increase of share capital
Net cash from operating activities	7,782,866,397.90	-15,498,651,940.31	N/A	Mainly due to increase in
				net inflow of disposal of
				transactional financial
				assets and customer
				transaction settlement
				funds
Net cash from investing activities	-12,847,732,853.41	-190,824,868.19	N/A	Mainly due to increase in
				net outflow of purchase
				of other debt investment
Net cash from financing activities	-3,556,333,084.82	1,863,511,648.28	-290.84	Mainly due to decrease in
				net inflow of issuance of
				bonds

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3.2 Analysis and description on the progress, impacts and solutions of material events

✓Applicable □ Not Applicable

3.2.1 Issuance of euro bonds

Pursuant to the “Resolution in Relation to the Mandate to Issue Offshore Debt Financing Instruments of the Company” which was considered and approved by the Company in the second extraordinary general meeting held on September, 27, 2017, the Company completed the issuance of 62.5 million and 62.4 million euros bonds on August 16, 2018 and September 14, 2018 by Orient ZhiSheng Limited, a wholly-owned subsidiary of the Company’s overseas subsidiary Orient Finance Holdings (Hong Kong) Limited. As a guarantor, Orient Finance Holdings (Hong Kong) Limited provided full principal and interest guarantees and the Company entered into a keepwell deed that was not in security nature.

3.2.2 Investigation on a subsidiary

During the reporting period, Citi Orient Securities Co., Ltd. (“ Citi Orient ”), a controlling subsidiary of the Company, received the Notice of Investigation (Yue Zheng Diao Cha Tong Zi No. 180138) from the China Securities Regulatory Commission (the “ CSRC ”). Because Citi Orient was suspected of violating securities laws and regulations during acting as the financial adviser to Guangdong Guangzhou Daily Media Co., Ltd., the CSRC decided to investigate Citi Orient. The Company and Citi Orient will fully cooperate with the investigation of the CSRC and strictly perform information disclosure obligations under relevant regulatory requirements.

3.2.3 Capital increase of a subsidiary

During the reporting period, the Company completed the capital increase of RMB500 million to Orient Futures Co., Ltd., a wholly-owned subsidiary of the Company, and completed the registration of industrial and commercial changes. The registered capital of Orient Futures Co., Ltd. was changed to RMB2 billion. The above matters have been considered and approved by the president’s office meeting of the Company.

3.2.4 Approval of new securities business departments

During the reporting period, pursuant to “Approving Orient Securities Company Limited to Establish 15 Securities Business Departments” (Shanghai Securities Supervision [2018] No. 73) of the Shanghai Securities Regulatory Commission of the China Securities Regulatory Commission, the Company was approved to set up one securities business department separately in Nanjing of Jiangsu Province, Yixing of Jiangsu Province, Weihai of Shandong Province, Weifang of Shandong Province, Beijing, Shenzhen of Guangdong Province, Hangzhou of Zhejiang Province, Ningbo of Zhejiang Province, Zhengzhou of Henan Province, Changsha of Hunan Province, Wuhan of Hubei Province, Bengbu of Anhui Province, Jinzhong of Shanxi Province, Xi’an of Shaanxi Province and Jiujiang of Jiangxi Province and the information system construction model of which is all B type. The business scope of the aforementioned securities business departments is: securities brokerage, margin financing and securities lending, securities investment consulting, financial advisors relevant to securities trading and securities investment activities, distribution of securities investment fund and distribution of financial products.

– 13 –

• 3.3 Undertakings that have not yet been duly fulfilled during the reporting period

• Applicable ✓Not Applicable

• 3.4 Profit warning and explanation of expected accumulated net loss from the beginning of the year to the end of the next reporting period or material changes over the corresponding period of previous year

• Applicable ✓Not Applicable

Name of the Company ORIENT SECURITIES COMPANY LIMITED Legal representative Pan Xinjun Date October 30, 2018

– 14 –

IV. APPENDICES

4.1 Financial Statements

Consolidated Balance Sheet

As at September 30, 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Assets: Cash and bank balances Of which: Deposits held on behalf of customers Clearing settlement funds Of which: Settlement funds held on behalf of customers Placements to banks and other financial institutions Advance to customers Financial assets at fair value through profit or loss Transactional financial assets Derivative financial assets Financial assets acquired under resale agreements Receivables Interest receivables Deposits with exchanges and financial institutions Dividend receivables Contract assets Assets classified as held for sale Held-to-maturity investments Debt investment Available for sale financial assets Other debt investment Long-term receivables Long-term equity investments Other equity investment Other non-current financial assets Investment properties Fixed assets Construction in progress Intangible assets Development expenses Goodwill Long-term deferred expenses Deferred income tax assets Other assets Total assets	Balance as at the end of the period Balance as at the beginning of the year 33,856,940,438.73 42,345,855,129.04 20,893,848,108.19 20,511,635,054.45 9,216,114,571.29 9,349,322,311.13 7,504,034,180.38 8,408,805,301.66 11,230,656,653.36 12,940,063,694.69 48,029,446,703.89 52,635,299,215.39 88,164,703.20 168,718,612.92 27,889,282,801.81 34,618,490,685.76 536,568,994.57 962,844,440.14 2,233,949,779.78 2,242,935,182.39 2,000,781,229.61 1,025,095,523.60
	110,500,000.00
	7,806,223,395.31
	72,234,378,083.35
	63,422,418,345.52
	4,012,868,814.45 4,005,603,966.57
	7,113,378,500.61
	488,468,792.97 456,138,848.43 1,545,359,348.32 1,505,733,360.83 114,738,167.17 127,939,308.39
	32,135,375.10 32,135,375.10 83,210,453.34 71,737,173.41 832,797,759.85 150,521,838.19 1,861,299,793.56 1,482,528,026.55 227,000,657,133.94 231,859,988,264.38

– 15 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Liabilities: Short-term borrowings Short-term financial bills payable Due to banks and other financial institutions Financial liabilities at fair value through profit or loss Transactional financial liabilities Derivative financial liabilities Contract liability Financial assets sold under repurchase agreements Account payable to brokerage clients Funds payable to securities issuers Securities brokerage for margin transaction Accrued staff costs Taxes payable Payables Interest payable Dividend payable Held for sale liabilities Provision Long-term borrowings Bonds payable Long-term payables Long-term accrued staff costs Deferred income tax liabilities Deferred income Other liabilities Total liabilities	Balance as at the end of the period Balance as at the beginning of the year 1,288,760,000.21 1,521,579,784.01 1,480,696,766.22 1,810,486,000.00 5,200,000,000.00 11,200,000,000.00 6,059,726,951.24
	7,635,426,993.01
	1,262,848,180.51 628,175,517.92
	127,003,512.84
	57,757,544,515.40 56,120,004,384.84 26,820,549,631.55 26,809,405,964.99 264,032,557.89 1,417,961,778.05 1,410,115,184.09 1,134,326,008.17 1,852,382,791.71 336,211,866.13 617,353,804.90 364,394,616.63 992,660,346.00 1,599,348,276.70 1,610,026,064.39
	848,634,740.70 806,089,905.65 66,720,935,570.35 65,309,686,815.29
	40,046,786.79 82,026,263.91
	979,073,095.93 1,264,761,077.42 175,013,762,339.19 178,358,513,414.25

– 16 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Equity of owners (or equity of shareholders):	Items Equity of owners (or equity of shareholders):	Items Equity of owners (or equity of shareholders):	Balance as at the end of the period	Balance as at the beginning of the year
Share capital			6,993,655,803.00	6,993,655,803.00
Other equity instruments
Capital reserve			28,254,930,720.76	28,254,930,651.32
Less: treasury shares
Other comprehensive income			-209,930,917.81	-394,790,132.91
Special reserve
Surplus reserve			3,052,204,429.25	3,052,204,429.25
General risk reserve Undistributed profits			6,708,068,770.74 6,639,864,329.25	6,604,969,298.19 8,474,531,370.74
Exchange differences from translation of statements
Total equity attributable to the owners (or shareholders)
of the Parent Company			51,438,793,135.19	52,985,501,419.59
Non-controlling interests			548,101,659.56	515,973,430.54
Total equity of owners (or equity of shareholders)			51,986,894,794.75	53,501,474,850.13
Total liabilities and equity of		owners
(or equity of shareholders)			227,000,657,133.94	231,859,988,264.38
Legal representative:	Accounting chief:		Person-in-charge of the accounting department:
Pan Xinjun		Zhang Jianhui	Zhang Jianhui

– 17 –

Balance Sheet of the Parent Company

As at September 30, 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Assets: Cash and bank balances Of which: Deposits held on behalf of customers Clearing settlement funds Of which: Settlement funds held on behalf of customers Placements to banks and other financial institutions Advance to customers Financial assets at fair value through profit or loss Transactional financial assets Derivative financial assets Financial assets acquired under resale agreements Receivables Interest receivable Deposits with exchanges and financial institutions Dividends receivable Contract assets Assets classified as held for sale Non-current assets maturing within one year Held-to-maturity investments Debt investment Available for sale financial assets Other debt investment Long-term receivables Long-term equity investments Other equity investment Other non-current financial assets Investment properties Fixed assets Construction in progress Intangible assets Development expenses Goodwill Long-term deferred expenses Deferred income tax assets Other assets Total assets	Balance as at the end of the period Balance as at the beginning of the year 18,939,349,934.28 28,764,612,592.41 13,783,530,721.44 12,863,056,694.59 5,420,194,777.15 5,995,853,072.51 3,766,107,181.50 5,124,921,204.52
	10,942,068,026.18 12,624,306,954.50 33,881,570,890.20
	36,602,494,546.14
	32,702,127.07 168,360,197.15 26,507,418,783.82 34,353,349,805.34 206,972,622.15 284,442,735.90 2,101,895,991.00 2,020,227,799.16 1,034,764,507.85 789,075,250.35
	110,500,000.00
	7,806,223,395.31
	67,399,458,233.56
	63,422,418,363.56
	13,380,104,347.67 11,778,354,615.46
	6,888,246,742.84
	460,297,351.17 429,390,321.38 1,532,925,957.85 1,502,310,852.12 99,193,097.95 111,082,408.94
	18,947,605.48 18,947,605.48 61,682,694.62 52,735,849.40
	624,031,623.71
	223,920,312.40 121,089,911.84 196,305,852,808.20 200,405,669,095.70

– 18 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Liabilities: Short-term borrowings Short-term financial bills payable Due to banks and other financial institutions Financial liabilities at fair value through profit or loss Transactional financial liabilities Derivative financial liabilities Financial assets sold under repurchase agreements Accounts payable to brokerage clients Funds payable to securities issuers Securities brokerage for margin transaction Contract liability Accrued staff costs Taxes payable Payables Interest payable Dividends payable Liabilities classified as held for sale Provision Long-term borrowings Bonds payable Long-term payables Long-term accrued staff costs Deferred income tax liabilities Deferred income Other liabilities Total liabilities	Balance as at the end of the period Balance as at the beginning of the year
	1,480,696,766.22 1,810,486,000.00 5,200,000,000.00 11,200,000,000.00 5,616,806,550.00
	4,763,423,280.00
	1,189,026,613.93 613,300,528.39 55,686,549,845.90 51,621,318,914.72 15,993,306,944.85 16,202,494,986.56
	1,195,603,483.74 1,279,217,371.16
	247,699,391.58 721,230,783.83 10,952,967.48 127,607,178.12 8,374,171.43 8,676,628.65 1,488,296,315.04 1,527,834,525.07
	60,644,784,235.90 59,182,941,390.51
	90,946,086.80
	299,705,270.30 418,025,987.66 148,208,419,286.37 150,420,886,931.47

– 19 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

			Balance as	Balance as
			at the end	at the beginning
Items Equity of owners (or equity of	shareholders):		of the period	of the year
Share capital			6,993,655,803.00	6,993,655,803.00
Other equity instruments
Capital reserve			28,157,008,370.79	28,157,008,370.79
Less: treasury shares
Other comprehensive income			-125,997,996.01	-584,333,787.57
Special reserve
Surplus reserve			3,052,204,429.25	3,052,204,429.25
General risk reserve			5,985,880,859.13	5,985,880,859.13
Undistributed profits			4,034,682,055.67	6,380,366,489.63
Exchange differences from translation of
statements denominated in	foreign currencies
Total equity of owners (or	equity of shareholders)		48,097,433,521.83	49,984,782,164.23
Total liabilities and equity	of	owners
(or equity of shareholders)			196,305,852,808.20	200,405,669,095.70
Legal representative:	Accounting chief:		Person-in-charge of the accounting department:
Pan Xinjun		Zhang Jianhui	Zhang Jianhui

– 20 –

Consolidated Income Statement

For January to September 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items I. Operating income Net fee and commission income Of which: Net fee income from brokerage business Net fee income from investment banking Net fee income from asset management business Net interest income Investment gains (“-” indicating losses) Of which: Gains from investments in associates and joint ventures Gains from disposal of assets (“-” indicating losses) Net open hedge income (“-” indicating losses) Gains from changes in fair value (“-” indicating losses) Foreign exchange gains (“-” indicating losses) Other gains Other business income	Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) 2,288,357,393.43 2,430,881,180.96 1,002,279,378.93 1,215,354,235.95 282,623,325.54 416,948,329.52 208,424,289.34 372,708,497.04 467,566,401.70 400,765,894.85 -337,109,078.08 -536,197,651.56 1,230,568,452.16 1,392,840,056.43 130,323,961.70 55,120,790.00 4,788.58 -181,747.52	Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 6,565,693,526.21 7,059,329,291.01 3,988,154,091.98 3,345,939,035.97 1,022,284,845.49 1,100,767,988.92 783,954,467.65 1,009,811,462.91 1,971,034,108.50 1,045,083,900.14 -1,280,626,197.65 -1,323,476,208.11 3,892,192,200.96 3,464,917,829.35 634,497,067.05 228,564,205.80 -20,225.15 335,927.85
	-751,391,257.80 274,015,522.21 -8,692,543.75 -45,462,583.14 1,152,697,653.39 130,513,348.59	-1,912,341,712.23 1,460,020,989.78 -25,273,366.60 -123,135,938.76 1,903,608,734.90 234,727,654.93

– 21 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) II. Operating expenses 2,104,519,553.64 1,402,443,103.05 Tax and surcharges 13,237,114.40 13,420,751.18 Business and administrative expenses 957,363,357.34 1,241,521,225.43 Research and development expenses Finance cost Of which: Interest expense Interest income Asset impairment loss 22,147,648.05 Credit impairment loss -3,043,684.54 Other business cost 1,136,962,766.44 125,353,478.39 III. Operating profit (“-” indicating loss) 183,837,839.79 1,028,438,077.91 Add: Non-operating income -16,440,168.62 772,166.04 Less: Non-operating expenses 4,333,705.31 1,682,668.47 IV. Total profit (“-” indicating loss) 163,063,965.86 1,027,527,575.48 Less: Income tax expenses -29,323,002.62 138,175,729.35 V. Net profit (“-” indicating net loss) 192,386,968.48 889,351,846.13 (I) Classified based on continuing operation 192,386,968.48 889,351,846.13 1. Net profit from continuing operation (“-” indicating net loss) 192,386,968.48 889,351,846.13 2. Net profit from discontinued operation (“-” indicating net loss) (II) Classified based on the nature of ownership 192,386,968.48 889,351,846.13 1. Net profit attributable to the owners of the Parent Company 188,263,684.38 873,673,109.25 2. Profit or loss attributable to non-controlling interests 4,123,284.10 15,678,736.88	Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 5,669,551,652.83 4,146,932,909.19 56,259,255.16 41,921,873.13 3,642,465,197.38 3,838,751,893.55 56,689,179.76
	95,936,163.22
	1,874,891,037.07 209,569,962.75 896,141,873.38 2,912,396,381.82 124,454,996.51 308,402,813.04 24,208,109.90 10,994,377.90 996,388,759.99 3,209,804,816.96 44,524,214.04 511,849,774.18 951,864,545.95 2,697,955,042.78 951,864,545.95 2,697,955,042.78 951,864,545.95 2,697,955,042.78 951,864,545.95 2,697,955,042.78 903,852,606.34 2,628,915,372.22 48,011,939.61 69,039,670.56

– 22 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) VI. Other comprehensive income, net of tax 55,403,353.54 -60,382,678.34 Other comprehensive income, net of tax, attributable to the owners of the Parent Company 55,403,353.54 -60,582,896.02 (I) Other comprehensive income that cannot be reclassified to profit and loss 40,963,613.38 1. Re-measurement of amount of changes in defined benefit scheme 2. Other comprehensive income that cannot be transferred to profit or loss under the equity method 25,818,857.71 3. Changes in fair value of other equity instruments investment 15,144,755.67 4. Changes in the fair value of the Company’s own credit risk (II) Other comprehensive income that will be reclassified to profit and loss 14,439,740.16 -60,582,896.02 1. Other comprehensive income that can be transferred to profit or loss under the equity method -30,769,680.55 -6,191,906.58 2. Changes in fair value of other debt investments 27,197,436.50 3. The amount of financial assets reclassified into other comprehensive income 4. Credit impairment provisions of other debt investment 3,339,979.97 5. Cash flow hedge reserve

Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) -269,139,742.12 -493,133,482.41 -269,139,742.12 -493,623,434.15 -587,755,063.16 -587,755,063.16 318,615,321.04 -493,623,434.15 -47,032,856.05 -7,037,419.70 338,291,301.27 656,643.96

– 23 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 6. Exchange differences from translation of financial statements denominated in foreign currencies 14,672,004.24 -30,436,972.72 26,700,231.86 -53,496,882.66 7. Gains and losses from changes in fair value of available-for-sale financial assets -23,954,016.72 -433,089,131.79 Other comprehensive income, net of tax, attributable to non-controlling interests 200,217.68 489,951.74 VII. Total comprehensive income 247,790,322.02 828,969,167.79 682,724,803.83 2,204,821,560.37 Total comprehensive income attributable to owners of the Parent Company 243,667,037.92 813,090,213.23 634,712,864.22 2,135,291,938.07 Total comprehensive income attributable to non-controlling interests 4,123,284.10 15,878,954.56 48,011,939.61 69,529,622.30 VIII. Earnings per share: (I) Basic earnings per share (RMB/Share) 0.03 0.14 0.13 0.42 (II) Diluted earnings per share (RMB/Share) N/A N/A N/A N/A Legal representative: Accounting chief: Person-in-charge of the accounting department: Pan Xinjun Zhang Jianhui Zhang Jianhui	Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) 14,672,004.24 -30,436,972.72 -23,954,016.72 200,217.68 247,790,322.02 828,969,167.79 243,667,037.92 813,090,213.23 4,123,284.10 15,878,954.56 0.03 0.14	Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 26,700,231.86 -53,496,882.66 -433,089,131.79 489,951.74 682,724,803.83 2,204,821,560.37 634,712,864.22 2,135,291,938.07 48,011,939.61 69,529,622.30 0.13 0.42
	N/A N/A	N/A N/A

– 24 –

Income Statement of the Parent Company

For January to September 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items I. Operating income Net fee and commission income Of which: Net fee income from brokerage business Net fee income from investment banking business Net fee income from asset management business Net interest income Investment gains (“-” indicating losses) Of which: Gains from investments in associates and joint ventures Gains from asset disposal (“-” indicating losses) Net open hedge income (“-” indicating losses) Gains from changes in fair value (“-” indicating losses) Foreign exchange gains (“-” indicating losses) Other income Other business income	Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) 213,974,308.03 1,324,957,405.34 337,532,585.05 469,580,413.87 209,229,767.83 352,731,350.40 115,565,932.37 106,428,953.32 -357,604,062.98 -540,134,980.84 1,002,551,406.38 1,266,618,310.02 81,746,666.56 57,649,400.03 4,788.58 -144,991.80 -781,651,283.23 162,033,161.72 6,645,452.47 -37,434,724.89 6,495,421.76 4,440,217.26	Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 1,359,700,510.88 4,089,709,597.72 1,145,755,576.45 1,296,374,764.83 817,440,319.28 919,566,335.72 262,705,442.62 295,233,139.27 -1,268,818,660.48 -1,317,038,318.55 3,280,316,232.30 2,895,436,682.77 243,102,595.40 202,697,925.59 -20,225.15 410,572.09 -1,808,771,135.32 1,276,082,967.77 -8,751,937.78 -80,569,012.15 19,990,660.86 19,011,940.96

– 25 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items Amounts for this period (July to September) Amounts for the corresponding period of the previous year (July to September) II. Operating expenses 523,115,837.64 703,989,409.54 Tax and surcharges 8,911,321.92 9,005,325.33 Business and administrative expenses 515,721,597.25 675,159,094.21 Research and development expenses Finance cost Of which: Interest expense Interest income Asset impairment loss 19,824,990.00 Credit impairment loss -1,517,081.53 Other business cost III. Operating profit (“-” indicating loss) -309,141,529.61 620,967,995.80 Add: Non-operating income 1,844,417.28 697,123.25 Less: Non-operating expenses 2,789,215.82 189,267.57 IV. Total profit (“-” indicating loss) -310,086,328.15 621,475,851.48 Less: Income tax expenses -232,419,117.58 66,487,512.46 V. Net profit (“-” indicating net loss) -77,667,210.57 554,988,339.02 (I) Net profit from continuing operation (“-” indicating net loss) -77,667,210.57 554,988,339.02 (II) Net profit from discontinued operation (“-” indicating net loss) VI. Other comprehensive income, net of tax 93,389,831.82 -33,603,466.96 (I) Other comprehensive income that cannot be reclassified to profit or loss 60,553,464.42 1. Re-measurement of amount of changes in defined benefit scheme 2. Other comprehensive income that cannot be transferred to profit or loss under the equity method 3. Changes in fair value of other equity instruments investment 60,553,464.42 4. Changes in the fair value of the Company’s own credit risk

Amounts for the beginning of the year to the end of the reporting period (January to September) Amounts for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 1,881,952,224.65 2,241,836,423.81 40,158,468.02 29,407,988.01 1,748,342,859.19 2,170,701,799.33 41,726,636.47 93,450,897.44 -522,251,713.77 1,847,873,173.91 54,376,946.96 229,782,004.25 18,019,941.36 5,698,491.40 -485,894,708.17 2,071,956,686.76 -534,812,555.06 221,972,626.03 48,917,846.89 1,849,984,060.73 48,917,846.89 1,849,984,060.73 -168,980,827.33 -396,225,029.88 -510,888,910.13 -510,888,910.13

– 26 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

								Amounts for
							Amounts for	the beginning of
							the beginning of	the previous year
						Amounts for	the year to	to the end of
						the corresponding	the end of	the reporting
					Amounts for	period of	the reporting	period of
					this period	the previous year	period	the previous year
					(July to	(July to	(January to	(January to
Items (II)	Other comprehensive income				September)	September)	September)	September)
	that	will be reclassified
	to profit and loss				32,836,367.40	-33,603,466.96	341,908,082.80	-396,225,029.88
	1.	Other comprehensive
		income that can be
		transferred to profit or
		loss under the equity
	2.	method Changes in fair value of			2,298,950.93	1,076,019.47	2,960,137.57	7,350,963.06
	3.	other debt investments The amount of financial			27,197,436.50		338,291,301.27
		assets reclassified into
		other comprehensive
		income
	4.	Credit impairment
		provisions of other debt
	5.	investment Cash flow hedge reserve			3,339,979.97		656,643.96
	6.	Exchange differences
		from translation of
		financial statements
		denominated in foreign
		currencies
	7.	Gains and losses from
		changes in fair value
		of available-for-sale
		financial assets				-34,679,486.43		-403,575,992.94
VII. Total comprehensive income					15,722,621.25	521,384,872.06	-120,062,980.44	1,453,759,030.85
Legal representative:			Accounting chief:			Person-in-charge of the accounting department:
	Pan Xinjun			Zhang Jianhui			Zhang Jianhui

– 27 –

Consolidated Statement of Cash Flows

For January to September 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items I. Cash flows from operating activities: Net increase in disposal of financial assets at fair value through profit or loss Net increase in disposal of transactional financial assets Cash received from interests, fees and commissions Net increase in amounts due to banks and other financial institutions Net increase in cash from repurchase business Net decrease in advances to customers Net cash received from securities trading agency services Cash received relating to other operating activities Subtotal of cash inflows from operating activities Net increase in advances to customers Net decrease in transactional financial liabilities Net cash paid for securities trading agency services Net cash paid to securities issuers Cash paid for interests, fees and commissions Cash paid to and paid for staff Taxes paid Cash paid relating to other operating activities Sub-total of cash outflows from operating activities Net cash from operating activities

Amount for the beginning of the year to the end of this reporting period (January to September) Amount for the beginning of the previous year to the end of the reporting period of the previous year (January to September) -19,709,433,423.78 5,499,706,388.03 7,010,942,449.56 6,184,965,737.08 -6,000,000,000.00 2,500,000,000.00 8,642,069,964.17 10,507,300,040.02 1,651,401,796.46 – 18,990,260.52 4,757,578,322.56 2,726,992,015.73 21,580,689,181.30 2,209,824,369.05 1,368,007,366.42 817,875,018.94 8,736,045,567.63 264,032,557.89 1,959,389,284.41 2,041,525,393.34 2,665,353,301.91 2,536,819,314.75 1,049,637,276.33 679,276,212.62 7,041,535,343.92 2,346,802,454.60 13,797,822,783.40 17,708,476,309.36 7,782,866,397.90 -15,498,651,940.31

– 28 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

		Amount for
		the beginning of
	Amount for	the previous year
	the beginning of	to the end of
	the year to	the reporting
	the end of this	period of the
	reporting period	previous year
	(January to	(January to
Items II. Cash flows from investing activities:	September)	September)
Cash received from disposal of investment	839,066,539.51	204,486,790.50
Cash received from investment gains	2,205,690,235.01	157,284,625.14
Net cash received from disposal of subsidiaries and
other business units
Net increase in disposal of transactional financial assets	1,163,861,942.03
Net increase in disposal of other debt investment	-14,289,018,801.48
Net increase in disposal of debt investment	-2,002,318,170.73
Cash received relating to other investing activities	11,198,293.21	5,825,426.42
Sub-total of cash inflows from investing activities	-12,071,519,962.45	367,596,842.06
Cash paid for investments	540,105,395.30	226,577,186.34
Cash paid for purchase and construction of fixed assets,
intangible assets and other long-term assets	230,707,495.66	321,844,523.91
Net cash paid for acquisition of subsidiaries and
other business units
Cash paid relating to other investing activities	5,400,000.00	10,000,000.00
Sub-total of cash outflows from investing activities	776,212,890.96	558,421,710.25
Net cash flows from investing activities	-12,847,732,853.41	-190,824,868.19
III. Cash flows from financing activities:
Proceeds from investments Of which: Cash contribution from non-controlling	510,000.00	980,000.00
interests to subsidiaries	510,000.00	980,000.00
Cash received from borrowings	1,180,133,815.35	517,933,469.13
Cash received from issuance of bonds	27,173,391,321.28	31,633,596,000.00
Cash received relating to other financing activities	1,116,560.00	512,000.00
Sub-total of cash inflows from financing activities	28,355,151,696.63	32,153,021,469.13
Cash repayment of debts	27,914,498,279.38	27,250,790,006.48
Cash paid for distribution of dividends, profits or
interest payment	3,995,516,502.07	3,038,494,814.37
Of which: Dividends and profits paid to non-controlling
interests by subsidiaries	13,705,698.15	13,732,363.28
Cash paid relating to other financing activities	1,470,000.00	225,000.00
Sub-total of cash outflows from financing activities	31,911,484,781.45	30,289,509,820.85
Net cash from financing activities	-3,556,333,084.82	1,863,511,648.28

– 29 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

					Amount for
					the beginning of
			Amount for		the previous year
			the beginning of		to the end of
			the year to		the reporting
			the end of this		period of the
			reporting period		previous year
			(January to		(January to
Items IV. Effect of foreign exchange rate changes on cash and			September)		September)
cash equivalents			-922,889.82		-136,024,002.62
V. Net increase in cash and cash equivalents			-8,622,122,430.15		-13,961,989,162.84
Add: Balance of cash and cash equivalents at the beginning
of the period			51,237,277,440.17		50,283,058,520.18
VI. Balance of cash and cash equivalents at the end of
the period			42,615,155,010.02		36,321,069,357.34
Legal representative:	Accounting chief:	Person-in-charge of the accounting department:
Pan Xinjun	Zhang Jianhui		Zhang Jianhui

– 30 –

Cash Flow Statement of the Parent Company

For January to September 2018

Prepared by: ORIENT SECURITIES COMPANY LIMITED

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items I. Cash flows from operating activities: Net increase in disposal of financial assets at fair value through profit or loss Net increase in disposal of transactional financial assets Cash received from interests, fees and commissions Net increase in amounts due to banks and other financial institutions Net increase in funds from repurchase business Net decrease in advances to customers Net cash received from securities trading agency services Cash received relating to other operating activities Sub-total of cash inflows from operating activities Net increase in advances to customers Net decrease in transactional financial liabilities Net cash paid for securities trading agency services Cash paid for interests, fees and commissions Cash paid to and paid for staff Taxes paid Cash paid relating to other operating activities Sub-total of cash outflows from operating activities Net cash flows from operating activities

Amount for the beginning of the year to the end of this reporting period (January to September) Amount for the beginning of the previous year to the end of the reporting period of the previous year (January to September) -15,543,044,093.87 2,090,974,627.92 3,356,275,280.70 3,588,992,923.48 -6,000,000,000.00 2,500,000,000.00 11,076,499,614.82 6,659,302,100.88 1,679,562,829.02 – 218,680,608.58 618,971,415.27 12,421,992,961.04 -2,175,777,654.24 1,413,272,861.48 817,875,018.94 292,801,929.13 5,873,795,022.96 1,794,816,904.45 1,969,859,246.66 1,457,943,489.96 1,351,667,532.56 113,019,416.80 252,088,312.55 1,181,585,324.64 630,165,827.06 5,658,042,083.92 11,490,848,803.27 6,763,950,877.12 -13,666,626,457.51

– 31 –

Unit: Yuan Currency: RMB Type of audit: Unaudited

Items II. Cash flows from investing activities: Cash received from disposal of investment Cash received from investment gains Net increase in disposal of transactional financial assets Net increase in disposal of other debt investment Net increase in disposal of debt investment Cash received relating to other investing activities Subtotal of cash inflows from investing activities Cash paid for investments Cash paid for purchase and construction of fixed assets, intangible assets and other long-term assets Cash paid relating to other investing activities Subtotal of cash outflows from investing activities Net cash flows from investing activities III. Cash flows from financing activities: Cash received from investments Cash received from borrowings Cash received from issuance of bonds Cash received from other financing activities Sub-total of cash inflows from financing activities Cash repayment of debts Cash paid for distribution of dividends, profits or interest payment Cash paid for other financing activities Sub-total of cash outflows from financing activities Net cash flows from financing activities

Amount for the beginning of the year to the end of this reporting period (January to September) Amount for the beginning of the previous year to the end of the reporting period of the previous year (January to September) 2,574,671,151.72 142,667,826.49 820,014,662.37 -14,288,968,927.01 -2,002,318,170.73 1,686,640.47 5,704,029.37 -12,894,914,643.18 148,371,855.86 1,500,000,000.00 1,500,000,000.00 190,685,308.64 297,768,152.99 1,690,685,308.64 1,797,768,152.99 -14,585,599,951.82 -1,649,396,297.13 24,266,674,000.00 31,633,596,000.00 24,266,674,000.00 31,633,596,000.00 23,134,620,388.39 25,129,430,264.14 3,702,573,552.62 2,761,800,464.59 26,837,193,941.01 27,891,230,728.73 -2,570,519,941.01 3,742,365,271.27

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Unit: Yuan Currency: RMB Type of audit: Unaudited

					Amount for
					the beginning of
			Amount for		the previous year
			the beginning of		to the end of
			the year to		the reporting
			the end of this		period of the
			reporting period		previous year
			(January to		(January to
Items IV. Effect of foreign exchange rate changes on cash and			September)		September)
cash equivalents			-8,751,937.78		-80,569,012.15
V. Net increase in cash and cash equivalents			-10,400,920,953.49		-11,654,226,495.52
Add: Balance of cash and cash equivalents at the beginning
of the period			34,760,465,664.92		36,467,600,162.02
VI. Balance of cash and cash equivalents at the end of
the period			24,359,544,711.43		24,813,373,666.50
Legal representative:	Accounting chief:	Person-in-charge of the accounting department:
Pan Xinjun	Zhang Jianhui		Zhang Jianhui

• 4.2 Auditors’ Report

□ Applicable ✓Not Applicable

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