China Jushi FY2018: Markets, customers and suppliers

Glass fiber and related products generated CNY 9,536,796,579.73 of main-business revenue against CNY 5,049,990,828.95 of cost, with a reported gross margin of 47.05%. Their revenue grew 13.17% and the margin increased by 0.41 percentage points. Other main-business activities contributed CNY 371,460,136.16 of revenue and CNY 363,287,955.40 of cost, with a much lower 2.20% margin. These product categories sum to main-business revenue, rather than the full consolidated revenue of CNY 10,032,423,279.18. The report states that fiber products supplied 95.06% of total revenue. It attributes revenue growth primarily to higher sales volume. The production-and-sales subsection reports growth without supplying numerical tonnage, so these figures do not establish tonnes sold, utilization or an average selling price.

Fiber-product main-business revenue / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 9,536,796,579.73

Fiber-product main-business cost / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 5,049,990,828.95

Other main-business revenue / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 371,460,136.16

Other main-business cost / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 363,287,955.4

Full consolidated revenue / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 10,032,423,279.18

Domestic main-business revenue was CNY 5,457,431,544.54, with CNY 3,093,746,647.16 of cost and a reported 43.31% gross margin. Overseas main-business revenue was CNY 4,450,825,171.35, with CNY 2,319,532,137.19 of cost and a 47.89% margin. Domestic sales represented 55.08% of main-business sales. Domestic revenue increased 15.95%; overseas revenue increased 14.58%, while the overseas margin fell by 0.93 percentage points. The table separates sales markets, not manufacturing locations: overseas revenue cannot be assigned entirely to Egypt or the unfinished US plant. It gives no customer-country breakdown or product-by-market cross-tabulation.

Domestic main-business revenue / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 5,457,431,544.54

Domestic main-business cost / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 3,093,746,647.16

Overseas main-business revenue / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 4,450,825,171.35

Overseas main-business cost / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 2,319,532,137.19

The five largest customers accounted for CNY 1,320,374,800 of sales, or 13.16% of annual sales. Related-party sales within this five-customer group were CNY 619,802,300, or 6.18% of annual sales. The five largest suppliers accounted for CNY 3,421,901,400 of purchases, or 29.21% of annual purchases; related-party purchases within that group were reported as zero. The source presents amounts in CNY 10,000 units and does not name the ranked counterparties here. The zero applies to the five-supplier subset, not all related-party procurement. Ranked totals do not establish individual customer identities, project orders or guaranteed repeat purchases.

Five-customer sales / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 1,320,374,800

Related-party sales within five customers / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 619,802,300

Five-supplier purchases / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 3,421,901,400

Related-party purchases within five suppliers / 2018 / FY2018 A share/CAS. Management discussion, stated category and denominator retained; not factory output or customer level allocation.

RMB 0

The related-transaction note records product sales of CNY 619,802,250.66 to Zhejiang Hengshi Fiberglass and CNY 78,236,126.07 to HENGSHI EGYPT FIBERGLASS FABRICS S.A.E. It also records CNY 352,684,649.19 of transport services from Zhenshi Group Zhejiang Yushi International Logistics and CNY 119,708,375.77 of equipment purchases from Tongxiang Huarui Automatic Control Technology Equipment. These disclosed relationships link sales channels, logistics and production investment to related parties. They are separate transaction categories, not a combined customer order value or a cash-paid table. The board revised the anticipated routine related-transaction limits in December 2018; that approval does not by itself prove arm's-length prices or settlement. A zero related-party amount within the five largest suppliers does not negate these wider related purchases. No further investigation of the counterparties is inferred.

Product sales to Zhejiang Hengshi / 2018 / FY2018 A share/CAS. Named related party annual transaction and category; not cash settlement or current project order.

RMB 619,802,250.66

Product sales to Hengshi Egypt / 2018 / FY2018 A share/CAS. Named related party annual transaction and category; not cash settlement or current project order.

RMB 78,236,126.07

Transport services from Zhejiang Yushi / 2018 / FY2018 A share/CAS. Named related party annual transaction and category; not cash settlement or current project order.

RMB 352,684,649.19

Equipment purchases from Tongxiang Huarui / 2018 / FY2018 A share/CAS. Named related party annual transaction and category; not cash settlement or current project order.

RMB 119,708,375.77