Exhibit 99.1
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.
FIRST QUARTERLY REPORT OF 2021
Summary
The 2021 first quarterly financial report of China Southern Airlines Company Limited (the “Company”, together with its subsidiaries, the “Group”) was prepared in accordance with the PRC Accounting Standards and was unaudited.
This announcement is published pursuant to rules 13.09 and 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
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1 | Important Notice |
1.1 | The board of directors (the “Board”) and the supervisory committee of the Company and its directors (the “Directors”), supervisors and senior management warrant the truthfulness, accuracy and completeness of the content contained in this quarterly report, and the report does not contain inaccurate or misleading statements or material omission, and jointly and severally accept full legal responsibility. |
1.2 | All Directors attended the meeting of the Board and considered the quarterly report of the Company. |
1.3 | The responsible person of the Company, Mr. Ma Xu Lun (Chairman and President), the responsible person of the finance work of the Company, Mr. Ma Xu Lun (Chairman and President), and the responsible person of the accounting department, Mr. Yao Yong (Executive Vice President, Chief Accountant and Chief Financial Officer of the Company) warrant the truthfulness, accuracy and completeness of the financial statements contained in this quarterly report. |
1.4 | The 2021 first quarterly report of the Company is unaudited. |
2 | Major accounting data and changes of shareholders of the Company |
2.1 | Major accounting data |
Unit: Million Currency: RMB
31 March 2021 | 31 December 2020 | Increase / decrease (%) | ||||||||||
Total assets | 326,049 | 326,115 | -0.02 | |||||||||
Net assets attributable to the shareholders of the Listed Company | 65,352 | 69,346 | -5.76 | |||||||||
Three months ended 31 March 2021 | Three months ended 31 March 2020 | Increase / decrease (%) | ||||||||||
Net cash flows from operating activities | -51 | -8,238 | 99.38 | |||||||||
Three months ended 31 March 2021 | Three months ended 31 March 2020 | Increase / decrease (%) | ||||||||||
Operating revenue | 21,253 | 21,141 | 0.53 | |||||||||
Net profit attributable to the shareholders of the Listed Company (“-” for losses) | -4,006 | -5,262 | 23.87 | |||||||||
Net profit attributable to the shareholders of the Listed Company after deducting non-recurring gains and losses (“-” for losses) | -3,848 | -5,353 | 28.12 | |||||||||
Weighted average return on net assets (%) | -5.95 | -8.61 | | Increased by 2.66 percentage points |
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Basic earnings per share (RMB/share) (“-” for losses) | -0.26 | -0.43 | 39.53 | |||||||||
Diluted earnings per share (RMB /share) (“-” for losses) | -0.26 | -0.43 | 39.53 |
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Non-recurring gains and losses
☑ Applicable ☐ Not applicable
Unit: Million Currency: RMB
Items | Amount for the reporting period | |||
Gains or losses on disposal of non-current assets | 50 | |||
Government grants recorded in the income statement for the current period (exclusive of government grants which are closely related to the business of the Company and entitled pursuant to unified standard quota or amount under the government policy) | 77 | |||
Other non-operating income and expenses besides items above | 77 | |||
Losses from changes in fair value of convertible bonds | -366 | |||
Gains or losses from changes in fair value of other non-current financial assets | 3 | |||
Effect on non-controlling interests after taxation | 41 | |||
Effect of income tax | -40 | |||
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Total | -158 | |||
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2.2 | Total number of shareholders, particulars of the top ten shareholders and the top ten shareholders holding the Company’s tradable shares not subject to selling restrictions as at the end of the reporting period. |
Unit: Share
Total number of shareholders (shareholders) | 199,773 | |||||||||||||||||||
Particulars of the top ten shareholders | ||||||||||||||||||||
Name of the shareholder (in full) | Number of shares held as at the end of the reporting period | Shareholding percentage (%) | Number of shares subject to trading restrictions | Pledged or frozen shares | Capacity of shareholders | |||||||||||||||
Status of shares | Number | |||||||||||||||||||
China Southern Air Holding Company Limited | 6,981,865,780 | 45.55 | 2,942,637,115 | No | 0 | State-owned legal entity | ||||||||||||||
Nan Lung Holding Limited | 2,243,271,577 | 14.63 | 1,209,621,577 | No | 0 | State-owned legal entity | ||||||||||||||
HKSCC Nominees Limited | 1,750,449,857 | 11.42 | 0 | Not known | — | Overseas legal entity | ||||||||||||||
Hong Kong Securities Clearing Company Limited | 696,157,473 | 4.54 | 0 | No | 0 | Overseas legal entity | ||||||||||||||
China National Aviation Fuel Group Corporation | 457,147,480 | 2.98 | 0 | No | 0 | State-owned legal entity | ||||||||||||||
China Securities Finance Corporation Limited | 320,484,148 | 2.09 | 0 | No | 0 | State-owned legal entity | ||||||||||||||
American Airlines, Inc. | 270,606,272 | 1.77 | 0 | No | 0 | Overseas legal entity | ||||||||||||||
China Structural Reform Fund Co., Ltd. | 194,019,933 | 1.27 | 0 | No | 0 | State-owned legal entity | ||||||||||||||
Spring Airlines Co., Ltd. | 140,531,561 | 0.92 | 0 | No | 0 | Domestic non-State-owned legal entity | ||||||||||||||
Guo Xin Central Enterprise Operation Investment Fund Management (Guangzhou) Co., Ltd. – Guo Xin Central Enterprise Operation (Guangzhou) Investment Fund (LLP) | 70,006,275 | 0.46 | 0 | No | 0 | Domestic non-State-owned legal entity |
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Particulars of the top ten shareholders not subject to trading restrictions | ||||||||
Number of tradable shares not subject to selling | Type and number of shares | |||||||
Name of the shareholder | restrictions | Type of shares | Number of shares | |||||
China Southern Air Holding Company Limited | 4,039,228,665 | RMB ordinary shares | 4,039,228,665 | |||||
HKSCC Nominees Limited | 1,750,449,857 | Overseas listed foreign shares | 1,750,449,857 | |||||
Nan Lung Holding Limited | 1,033,650,000 | Overseas listed foreign shares | 1,033,650,000 | |||||
Hong Kong Securities Clearing Company Limited | 696,157,473 | RMB ordinary shares | 696,157,473 | |||||
China National Aviation Fuel Group Corporation | 457,147,480 | RMB ordinary shares | 457,147,480 | |||||
China Securities Finance Corporation Limited | 320,484,148 | RMB ordinary shares | 320,484,148 | |||||
American Airlines, Inc. | 270,606,272 | Overseas listed foreign shares | 270,606,272 | |||||
China Structural Reform Fund Co., Ltd. | 194,019,933 | RMB ordinary shares | 194,019,933 | |||||
Spring Airlines Co., Ltd. | 140,531,561 | RMB ordinary shares | 140,531,561 | |||||
Guo Xin Central Enterprise Operation Investment Fund Management (Guangzhou) Co., Ltd. – Guo Xin Central Enterprise Operation (Guangzhou) Investment Fund (LLP) | 70,006,275 | RMB ordinary shares | 70,006,275 | |||||
Explanation of the related party relationship or concert party relationship of the above shareholders | | China Southern Air Holding Company Limited held aggregate 2,279,983,577 H shares of the Company (including shares subject to trading restrictions) through its wholly-owned subsidiaries in Hong Kong, namely Nan Lung Holding Limited and Perfect Lines (Hong Kong) Limited. The Company is not aware of any other related party relationship between other shareholders. | ||||||
Explanation of the preference shareholders with restored voting rights and its number of shares | Not applicable |
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2.3 | Total number of preference shareholders, particulars of the top ten preference shareholders and the top ten preference shareholders not subject to selling restrictions as at the end of the reporting period |
☐ Applicable ☑ Not applicable
3 | Major Events |
3.1 | Significant changes in major accounting items and financial indicators of the Company and the reasons for such changes |
☑ Applicable ☐ Not applicable
3.1.1 | Significant changes in major items in consolidated balance sheet: |
Unit: million Currency: RMB
Items | 31 March 2021 | 31 December 2020 | Percentage of Change (%) | Main reason(s) for the change | ||||||||||
Accounts receivable | 3,595 | 2,544 | 41.31 | Mainly due to the increase in air ticket receivables at the end of the reporting period | ||||||||||
Prepayments | 501 | 732 | -31.56 | Mainly due to the decrease in prepayments for purchase of aviation equipment | ||||||||||
Employee benefits payable | 2,299 | 4,328 | -46.88 | Mainly due to the payments of 2020 annual bonus during the reporting period | ||||||||||
Other current liabilities | 16,500 | 10,999 | 50.01 | Mainly due to the issuance of ultra-short-term financing bills during the reporting period | ||||||||||
Long-term borrowings | 12,102 | 8,811 | 37.35 | Mainly due to the additions of long-term borrowings during the reporting period |
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3.1.2 | Significant changes in major items in consolidated income statement: |
Unit: million Currency: RMB
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | Percentage of Change (%) | Main reason(s) for the change | ||||||||||
Financial expenses | 1,530 | 2,633 | -41.89 | Mainly due to the decrease in foreign exchange losses | ||||||||||
Investment income (“-” for losses) | 66 | -598 | 111.04 | Mainly due to the changes in share of associates’ results, where less investment loss was recognised during the reporting period | ||||||||||
Gains/(losses) arising from changes in fair value(“-” for losses) | -363 | -24 | -1,412.50 | Mainly due to the changes in fair value of convertible bonds issued in October 2020 during the reporting period |
3.1.3 | Significant changes in major items in consolidated cash flow statement: |
Unit: million Currency: RMB
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | Percentage of Change (%) | Main reason(s) for the change | ||||||||||
Proceeds from sale of goods and rendering of services | 21,870 | 15,829 | 38.16 | Mainly due to the proceeds from ticket sales in the three months ended 31 March 2020 were offset by the large payments of ticket refunds during that period | ||||||||||
Net proceeds from disposal of fixed assets, intangible assets and other long-term assets | 556 | 207 | 168.60 | Mainly due to the increase in proceeds from disposal of assets during the reporting period | ||||||||||
Payment for acquisition of fixed assets, intangible assets and other long-term assets | 4,284 | 1,293 | 231.32 | Mainly due to the increase of aircraft introduced during the reporting period | ||||||||||
Repayments of borrowings | 42,123 | 30,812 | 36.71 | Mainly due to the increase of repayment for borrowings and ultra-short-term financing bills during the reporting period |
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3.2 | Analysis and explanation of the development of major events and their impact and proposal as to the solutions |
☑ Applicable ☐ Not applicable
On 21 September 2020, the Company received the Approval of China Southern Airlines Company Limited’s Public Issuance of Convertible Bonds (Zheng Jian Xu Ke [2020] No. 2264) issued by the China Securities Regulatory Commission, approving the Company’s public issuance of convertible bonds with a total amount of RMB16 billion. On 13 October 2020, the Company published the Announcement on the Public Issuance of A Share Convertible Bonds by China Southern Airlines, the Prospectus for the Public Issuance of A Share Convertible Bonds by China Southern Airlines and other announcements. On 16 October 2020, the Company published the Announcement on the Online Issuance Rate and Priority Placement Results of Public Issuance of A Share Convertible Bonds by China Southern Airlines. On 19 October 2020, the Company published the Announcement on the Results of the Online Issuance of Public Issuance of A Share Convertible Bonds by China Southern Airlines. On 21 October 2020, the Company published the Announcement on the Results of Public Issuance of A Share Convertible Bonds by China Southern Airlines. On 30 October 2020, the Company published the Announcement on the Listing of A Share Convertible Bonds of China Southern Airlines. On 3 November 2020, pursuant to the approval of the Shanghai Stock Exchange Self-discipline Supervision Decision [2020] No. 355, the convertible bonds of the Company with an amount of RMB16 billion were listed on the Shanghai Stock Exchange with the bond abbreviation of “Nanhang Convertible Bonds (南航轉債)” and the bond code of “110075”. On 14 April 2021, the Company published the Announcement on Commencement of Conversion Period of A Share Convertible Bonds of the Company. The Nanhang Convertible Bonds of the Company may be converted into A ordinary shares of the Company from 21 April 2021. For details of the above announcements, please refer to the announcements published by the Company on the China Securities Journal, Shanghai Securities News, Securities Times and the websites of the Shanghai Stock Exchange and The Stock Exchange of Hong Kong Limited.
3.3 | Undertakings of overdue performance during the reporting period |
☐ Applicable ☑ Not applicable
3.4 | Warning in respect of, and the reason for, the forecast of a probable loss in respect of the accumulated net profit from the beginning of the financial year to the end of the next reporting period or any significant changes as compared to the corresponding period of the previous year |
☑ Applicable ☐ Not applicable
In the first quarter of 2021, the recovery of the aviation industry faced challenges due to the continued impact of the COVID-19 pandemic. With the acceleration of the progress of domestic vaccination, the domestic aviation demand continued to improve. However, the overseas pandemic continued to spread and the capacity and market demand of international airlines were still at a low level. The Group seized market opportunities, strived to increase revenue, adhered to lean management and control, and created cost advantages on the premise of normalized prevention and control of the pandemic. In view of the continuing impact of the pandemic on the air transport industry and the uncertainty of the pandemic trend, it is expected that the operating results of the Group will still be adversely affected in the first half of 2021 and there are huge uncertainties. Investors should be aware of investment risks.
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3.5 | Status on the guarantee provided by the Company to SPV companies as of the date of this report |
No. | Established SPVs | Had provided guarantee | The amount of | |||
1 | China Southern Airlines No. 1 | Yes | 1.50 | |||
2 | China Southern Airlines No. 2 | Yes | 1.40 | |||
3 | China Southern Airlines No. 3 | Yes | 3.28 | |||
4 | China Southern Airlines No. 4 | Yes | 0.16 | |||
5 | China Southern Airlines No. 5 | Yes | 0.92 | |||
6 | China Southern Airlines No. 6 | Yes | 0.35 | |||
7 | China Southern Airlines No. 7 | Yes | 0.35 | |||
8 | China Southern Airlines No. 8 | Yes | 0.35 | |||
9 | China Southern Airlines No. 9 | Yes | 5.88 | |||
10 | China Southern Airlines No. 10 | Yes | 5.17 | |||
11 | China Southern Airlines No. 11 | Yes | 2.98 | |||
12 | China Southern Airlines No. 12 | Yes | 0.25 | |||
13 | China Southern Airlines No. 13 | Yes | 0.25 | |||
14 | China Southern Airlines No. 14 | Yes | 0.33 | |||
15 | China Southern Airlines No. 15 | Yes | 3.41 | |||
16 | China Southern Airlines No. 16 | Yes | 5.26 | |||
17 | China Southern Airlines No. 17 | Yes | 1.49 | |||
18 | China Southern Airlines No. 18 | Yes | 2.50 | |||
19 | China Southern Airlines No. 19 | Yes | 0.51 | |||
20 | China Southern Airlines No. 20 | Yes | 0.51 | |||
21 | China Southern Airlines No. 21 | Yes | 0.48 | |||
22 | China Southern Airlines No. 22 | Yes | 0.48 |
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23 | China Southern Airlines No. 23 | Yes | 0.48 | |||
24 | China Southern Airlines No. 24 | Yes | 2.78 | |||
25 | China Southern Airlines No. 25 | Yes | 2.04 | |||
26 | China Southern Airlines No. 26 | Yes | 4.73 | |||
27 | Chongqing Airlines No. 1 | Yes | 3.52 | |||
28 | Chongqing Airlines No. 2 | Yes | 0.32 | |||
29 | Xiamen Airlines No. 1 | Yes | 0.17 | |||
30 | Xiamen Airlines No. 2 | Yes | 0.11 | |||
31 | Xiamen Airlines No. 3 | Yes | 0.11 | |||
32 | Xiamen Airlines No. 4 | Yes | 0.14 | |||
33 | Xiamen Airlines No. 5 | Yes | 0.15 | |||
34 | Xiamen Airlines No. 6 | Yes | 0.20 | |||
35 | Xiamen Airlines No. 7 | Yes | 0.09 | |||
36 | Xiamen Airlines No. 8 | Yes | 0.14 | |||
37 | Xiamen Airlines No. 9 | Yes | 0.15 | |||
38 | Xiamen Airlines No. 10 | Yes | 0.15 | |||
39 | Xiamen Airlines No. 11 | Yes | 0.16 | |||
40 | Xiamen Airlines No. 12 | Yes | 0.13 | |||
41 | Xiamen Airlines No. 13 | Yes | 0.19 | |||
42 | Xiamen Airlines No. 14 | Yes | 0.18 | |||
43 | Xiamen Airlines No. 15 | Yes | 0.18 | |||
44 | Xiamen Airlines No. 16 | Yes | 0.13 | |||
45 | Xiamen Airlines No. 17 | Yes | 0.12 | |||
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Total | / | 54.18 | ||||
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Note | The total amounts of guarantees provided by the Company and its holding subsidiaries, Xiamen Airlines and Chongqing Airlines, for the aforementioned 45 SPVs were US$5.418 billion, equivalent to approximately RMB35.137 billion (calculated based on the exchange rate of US$1 to RMB1: 6.4853), all of which fall within the authorized scope of guarantee approved by the shareholders’ general meeting of the Company. |
By order of the Board
China Southern Airlines Company Limited
Xie Bing
Company Secretary
Guangzhou, the People’s Republic of China
29 April 2021
As at the date of this announcement, the Directors include Ma Xu Lun and Han Wen Sheng as executive Directors; and Zheng Fan, Gu Hui Zhong, Tan Jin Song and Jiao Shu Ge as independent non-executive Directors.
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4、 | APPENDIX |
4.1 | Financial Statements |
Consolidated Balance Sheet
As at 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | 31 March 2021 | 31 December 2020 | ||||||
Current assets: | ||||||||
Cash at bank and on hand | 25,420 | 25,823 | ||||||
Bills receivable | 11 | 12 | ||||||
Accounts receivable | 3,595 | 2,544 | ||||||
Prepayments | 501 | 732 | ||||||
Other receivables | 2,109 | 1,955 | ||||||
Including: Interest receivable | 52 | 35 | ||||||
Dividends receivable | 4 | 4 | ||||||
Inventories | 1,829 | 1,760 | ||||||
Other current assets | 6,356 | 6,159 | ||||||
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Total current assets | 39,821 | 38,985 | ||||||
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Non-current assets: | ||||||||
Long-term equity investments | 5,744 | 5,673 | ||||||
Other equity instrument investments | 799 | 799 | ||||||
Other non-current financial assets | 95 | 92 | ||||||
Investment properties | 301 | 312 | ||||||
Fixed assets | 86,346 | 85,754 | ||||||
Construction in progress | 32,930 | 32,438 | ||||||
Right-of-use assets | 142,146 | 145,540 | ||||||
Intangible assets | 6,277 | 6,155 | ||||||
Long-term deferred expenses | 875 | 887 | ||||||
Deferred tax assets | 9,148 | 7,749 | ||||||
Other non-current assets | 1,567 | 1,731 | ||||||
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Total non-current assets | 286,228 | 287,130 | ||||||
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Total assets | 326,049 | 326,115 | ||||||
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Current liabilities: | ||||||||
Short-term borrowings | 24,465 | 25,286 | ||||||
Derivative financial liabilities | 3,516 | 3,148 | ||||||
Bills payable | 278 | 278 | ||||||
Accounts payable | 13,093 | 11,974 | ||||||
Sales in advance of carriage | 4,070 | 3,997 | ||||||
Contract liabilities | 1,461 | 1,513 | ||||||
Employee benefits payable | 2,299 | 4,328 | ||||||
Taxes payable | 556 | 680 | ||||||
Other payables | 8,507 | 8,640 | ||||||
Including: Interest payable | 329 | 523 | ||||||
Dividends payable | 31 | 31 | ||||||
Non-current liabilities due within one year | 25,039 | 24,838 | ||||||
Other current liabilities | 16,500 | 10,999 | ||||||
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Total current liabilities | 99,784 | 95,681 | ||||||
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Non-current liabilities: | ||||||||
Long-term borrowings | 12,102 | 8,811 | ||||||
Bonds payable | 29,494 | 29,323 | ||||||
Lease liabilities | 96,124 | 100,283 | ||||||
Long-tem payables | 266 | 291 | ||||||
Provision for major overhauls | 4,259 | 4,216 | ||||||
Deferred income | 831 | 769 | ||||||
Hedging instruments | 29 | 42 | ||||||
Deferred tax liabilities | 63 | 80 | ||||||
Other non-current liabilities | 1,598 | 1,756 | ||||||
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Total non-current liabilities | 144,766 | 145,571 | ||||||
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Total liabilities | 244,550 | 241,252 | ||||||
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Owners’ equity (or shareholders’ equity) | ||||||||
Share capital (or issued capital) | 15,329 | 15,329 | ||||||
Capital reserve | 39,050 | 39,050 | ||||||
Other comprehensive income | 254 | 242 | ||||||
Surplus reserve | 2,579 | 2,579 | ||||||
Retained earnings | 8,140 | 12,146 | ||||||
Total equity attributable to shareholders of the Company | 65,352 | 69,346 | ||||||
Non-controlling interests | 16,147 | 15,517 | ||||||
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Total owners’ equity(or shareholders’ equity) | 81,499 | 84,863 | ||||||
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Total liabilities and owners’ equity(or shareholders’ equity) | 326,049 | 326,115 | ||||||
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Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
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Balance Sheet of the Company
As at 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | 31 March 2021 | 31 December 2020 | ||||||
Current assets: | ||||||||
Cash at bank and on hand | 17,355 | 17,634 | ||||||
Accounts receivable | 3,158 | 2,139 | ||||||
Prepayments | 457 | 713 | ||||||
Other receivables | 1,393 | 1,364 | ||||||
Including: Interest receivable | 37 | 18 | ||||||
Dividends receivable | 4 | 4 | ||||||
Inventories | 1,202 | 1,145 | ||||||
Non-current assets due within one year | 727 | 476 | ||||||
Other current assets | 5,323 | 5,106 | ||||||
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Total current assets | 29,615 | 28,577 | ||||||
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Non-current assets: | ||||||||
Long-term receivables | 2,751 | 1,691 | ||||||
Long-term equity investments | 17,281 | 15,788 | ||||||
Other equity instrument investments | 100 | 100 | ||||||
Other non-current financial assets | 21 | 22 | ||||||
Investment properties | 415 | 437 | ||||||
Fixed assets | 53,883 | 54,875 | ||||||
Construction in progress | 23,942 | 23,570 | ||||||
Right-of-use assets | 124,023 | 124,839 | ||||||
Intangible assets | 4,403 | 4,466 | ||||||
Long-term deferred expenses | 104 | 110 | ||||||
Deferred tax assets | 8,225 | 7,017 | ||||||
Other non-current assets | 1,462 | 1,481 | ||||||
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Total non-current assets | 236,610 | 234,396 | ||||||
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Total assets | 266,225 | 262,973 | ||||||
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Current liabilities: | ||||||||
Short-term borrowings | 23,373 | 22,615 | ||||||
Derivative financial liabilities | 3,516 | 3,148 | ||||||
Bills payable | 278 | 278 | ||||||
Accounts payable | 9,751 | 8,773 | ||||||
Sales in advance of carriage | 2,987 | 3,028 | ||||||
Contract liabilities | 1,286 | 1,355 | ||||||
Employee benefits payable | 1,359 | 2,799 | ||||||
Taxes payable | 95 | 75 | ||||||
Other payables | 7,292 | 7,455 | ||||||
Including: Interest payable | 317 | 483 | ||||||
Dividends payable | ||||||||
Non-current liabilities due within one year | 19,826 | 19,644 | ||||||
Other current liabilities | 16,500 | 10,999 | ||||||
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Total current liabilities | 86,263 | 80,169 | ||||||
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Non-current liabilities: | ||||||||
Long-term borrowings | 11,422 | 8,122 | ||||||
Bonds payable | 26,995 | 26,823 | ||||||
Lease liabilities | 83,888 | 86,324 | ||||||
Provision for major overhauls | 2,744 | 2,656 | ||||||
Long-term payables | 266 | 291 | ||||||
Deferred income | 529 | 390 | ||||||
Hedging instruments | 29 | 42 | ||||||
Other non-current liabilities | 1,375 | 1,608 | ||||||
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Total non-current liabilities | 127,248 | 126,256 | ||||||
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Total liabilities | 213,511 | 206,425 | ||||||
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Owners’ equity (or shareholders’ equity) | ||||||||
Share capital (or issued capital) | 15,329 | 15,329 | ||||||
Capital reserve | 38,423 | 38,423 | ||||||
Other comprehensive income | -23 | -35 | ||||||
Surplus reserve | 2,579 | 2,579 | ||||||
Retained earnings | -3,594 | 252 | ||||||
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Total owners’ equity(or shareholders’ equity) | 52,714 | 56,548 | ||||||
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Total liabilities and owners’ equity(or shareholders’ equity) | 266,225 | 262,973 | ||||||
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Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
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Consolidated Income Statement
For the three months ended 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | ||||||
1. Total revenue | 21,253 | 21,141 | ||||||
Including: Operating revenue | 21,253 | 21,141 | ||||||
2. Total operating costs | 27,038 | 28,928 | ||||||
Including: Cost of sales | 23,461 | 23,940 | ||||||
Taxes and surcharges | 65 | 49 | ||||||
Selling and distribution expenses | 1,131 | 1,389 | ||||||
General and administrative expenses | 766 | 831 | ||||||
Research and development expenses | 85 | 86 | ||||||
Financial expenses | 1,530 | 2,633 | ||||||
Including: Interest expenses | 1,600 | 1,645 | ||||||
Interest income | 193 | 16 | ||||||
Add: Other income | 627 | 676 | ||||||
Investment income (“-” for losses) | 66 | -598 | ||||||
Including: Share of profit of associates and joint ventures(“-” for losses) | 66 | -598 | ||||||
Gains/(losses) arising from changes in fair value (“-” for losses) | -363 | -24 | ||||||
Credit losses (“-” for losses) | 1 | 0 | ||||||
Impairment losses on property, plant and equipment and right-of-use assets(“-” for losses) | 1 | 0 | ||||||
Gains/(losses) on disposal of assets(“-” for losses) | 50 | 1 | ||||||
3. Operating profit (“-” for losses) | -5,403 | -7,732 | ||||||
Add: Non-operating income | 101 | 131 | ||||||
Less: Non-operating expenses | 3 | 2 | ||||||
4. Total profits (“-” for losses) | -5,305 | -7,603 | ||||||
Less: Income tax expenses | -1,191 | -1,593 | ||||||
5. Net profit (“-” for net losses) | -4,114 | -6,010 | ||||||
(1) By continuity | ||||||||
1) Net profit from continuing operations (“-” for net losses) | -4,114 | -6,010 | ||||||
2)Net profit from discontinued operations (“-” for net losses) | ||||||||
(2) By ownership | ||||||||
1)Net profit attributable to shareholders of the Company(“-” for net losses) | -4,006 | -5,262 | ||||||
2)Non-controlling interests (“-” for net losses) | -108 | -748 |
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6. Other comprehensive income, net of tax | 12 | -43 | ||||||
Other comprehensive income (net of tax) attributable to shareholders of the Company | 12 | -43 | ||||||
(1) Items that will not be reclassified to profit or loss | ||||||||
(2) Items that may be reclassified subsequently to profit or loss: | 12 | -43 | ||||||
1)Equity-accounted investees-share of other comprehensive income (recycling) | 3 | 0 | ||||||
2) Cash flow hedge: net movement in the hedging reserve (effective portion in cash flow hedge) | 9 | -43 | ||||||
Other comprehensive income (net of tax) attributable to non-controlling interests | ||||||||
7. Total comprehensive income | -4,102 | -6,053 | ||||||
(1) Attributable to shareholders of the Company | -3,994 | -5,305 | ||||||
(2) Attributable to non-controlling interests | -108 | -748 | ||||||
8. Earnings per share: | ||||||||
(1) Basic earnings per share (RMB/share)(“-” for losses) | -0.26 | -0.43 | ||||||
(2) Diluted earnings per share (RMB/share)(“-” for losses) | -0.26 | -0.43 |
Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
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Income Statement of the Company
For the three months ended 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | ||||||
1. Total revenue | 13,475 | 14,272 | ||||||
2.Less: Cost of sales | 16,090 | 16,544 | ||||||
Taxes and surcharges | 29 | 20 | ||||||
Selling and distribution expenses | 674 | 923 | ||||||
General and administrative expenses | 432 | 482 | ||||||
Research and development expenses | 44 | 50 | ||||||
Financial expenses | 1,227 | 2,099 | ||||||
Including: Interest expenses | 1,335 | 1,328 | ||||||
Interest income | 162 | 5 | ||||||
Add: Other income | 176 | 278 | ||||||
Investment income (“-” for losses) | 69 | -596 | ||||||
Including: Share of profit of associates and joint ventures (“-” for losses) | 69 | -596 | ||||||
Gains/(losses) arising from changes in fair value (“-” for losses) | -367 | -19 | ||||||
Gains/(losses) on disposal of assets (“-” for losses) | 5 | 57 | ||||||
3. Operating profit (“-” for losses) | -5,138 | -6,126 | ||||||
Add: Non-operating income | 81 | 124 | ||||||
Less:Non-operating expenses | ||||||||
4. Total profits (“-” for losses) | -5,057 | -6,002 | ||||||
Less: Income tax expenses | -1,211 | -1,352 | ||||||
5. Net profit (“-” for net losses) | -3,846 | -4,650 | ||||||
(1) By continuity | ||||||||
1) Net profit from continuing operations (“-” for net losses) | -3,846 | -4,650 | ||||||
2) Net profit from discontinued operations (“-” for net losses) | ||||||||
6. Other comprehensive income, net of tax | 12 | -43 | ||||||
Other comprehensive income (net of tax) attributable to shareholders of the Company | ||||||||
(1) Items that will not be reclassified to profit or loss | ||||||||
(2) Items that may be reclassified subsequently to profit or loss: | 12 | -43 | ||||||
1) Equity-accounted investees - share of other comprehensive income (recycling) | 3 | 0 | ||||||
2) Cash flow hedge: net movement in the hedging reserve (effective portion in cash flow hedge) | 9 | -43 | ||||||
7. Total comprehensive income | -3,834 | -4,693 |
Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
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Consolidated Cash Flow Statement
For the three months ended 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | ||||||
1. Cash flows from operating activities: | ||||||||
Proceeds from sale of goods and rendering of services | 21,870 | 15,829 | ||||||
Refund of taxes and surcharges | 10 | 6 | ||||||
Proceeds from other operating activities | 620 | 697 | ||||||
Sub-total of operating cash inflows from operating activities | 22,500 | 16,532 | ||||||
Payment for goods and services | 14,593 | 16,743 | ||||||
Payment to and for employees | 6,934 | 7,074 | ||||||
Payment of taxes and surcharges | 834 | 571 | ||||||
Payment for other operating activities | 190 | 382 | ||||||
Sub-total of cash outflows from operating activities | 22,551 | 24,770 | ||||||
Net cash flows from operating activities | -51 | -8,238 | ||||||
2. Cash flows from investment activities: | ||||||||
Net proceeds from disposal of fixed assets, intangible assets and other long-term assets | 556 | 207 | ||||||
Proceeds from other investing activities | 176 | 21 | ||||||
Sub-total of cash inflows from investing activities | 732 | 228 | ||||||
Payment for acquisition of fixed assets, intangible assets and other long-term assets | 4,284 | 1,293 | ||||||
Sub-total of cash outflows from investment activities | 4,284 | 1,293 | ||||||
Net cash flows from investing activities | -3,552 | -1,065 | ||||||
3. Cash flows from financing activities: | ||||||||
Proceeds from investors | 925 | 0 | ||||||
Including: investment received from non-controlling interests | 925 | 0 | ||||||
Proceeds from borrowings | 21,117 | 19,388 | ||||||
Proceeds from issuance of bonds | 25,000 | 22,500 | ||||||
Proceeds from other financing activities | 18 | |||||||
Sub-total of cash inflows from financing activities | 47,060 | 41,888 | ||||||
Repayments of borrowings | 42,123 | 30,812 | ||||||
Payment for dividends, profit distributions or interest | 1,735 | 1,687 | ||||||
Payment for purchase of non-controlling interests of a subsidiary | 0 | 232 | ||||||
Sub-total of cash outflows from financing activities | 43,858 | 32,731 | ||||||
Net cash flows from financing activities | 3,202 | 9,157 | ||||||
4. Effect of changes in exchange rate on cash and cash equivalents | 1 | 2 | ||||||
5. Net increase in cash and cash equivalents | -400 | -144 | ||||||
Add: Cash and cash equivalents at the beginning of the period | 25,419 | 1,849 | ||||||
6. Cash and cash equivalents at the end of the period | 25,019 | 1,705 |
Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
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Cash Flow Statement of the Company
For the three months ended 31 March 2021
Prepared by: China Southern Airlines Company Limited
Unit: Million Currency: RMB Unaudited
Items | Three months ended 31 March 2021 | Three months ended 31 March 2020 | ||||||
1. Cash flows from operating activities: | ||||||||
Proceeds from sale of goods and rendering of services | 13,212 | 9,289 | ||||||
Refund of taxes and surcharges | 4 | 6 | ||||||
Proceeds from other operating activities | 338 | 385 | ||||||
Sub-total of operating cash inflows from operating activities | 13,554 | 9,680 | ||||||
Payment for goods and services | 8,749 | 12,666 | ||||||
Payment to and for employees | 5,476 | 5,522 | ||||||
Payment of taxes and surcharges | 304 | 378 | ||||||
Payment for other operating activities | 122 | 283 | ||||||
Sub-total of cash outflows from operating activities | 14,651 | 18,849 | ||||||
Net cash flows from operating activities | -1,097 | -9,169 | ||||||
2. Cash flows from investment activities: | ||||||||
Net proceeds from disposal of fixed assets, intangible assets and other long-term assets | 98 | 796 | ||||||
Proceeds from other investing activities | 143 | 5 | ||||||
Sub-total of cash inflows from investing activities | 241 | 801 | ||||||
Payment for acquisition of fixed assets, intangible assets and other long-term assets | 1,766 | 646 | ||||||
Payment for acquisition of investments | 2,301 | 232 | ||||||
Sub-total of cash outflows from investment activities | 4,067 | 878 | ||||||
Net cash flows from investing activities | -3,826 | -77 | ||||||
3. Cash flows from financing activities: | ||||||||
Proceeds from borrowings | 20,600 | 17,120 | ||||||
Proceeds from issuance of bonds | 25,000 | 19,000 | ||||||
Proceeds from other financing activities | 18 | 0 | ||||||
Sub-total of cash inflows from financing activities | 45,618 | 36,120 | ||||||
Repayments of borrowings | 39,515 | 25,753 | ||||||
Payment for dividends, profit distributions or interest | 1,462 | 1,432 | ||||||
Sub-total of cash outflows from financing activities | 40,977 | 27,185 | ||||||
Net cash flows from financing activities | 4,641 | 8,935 | ||||||
4. Effect of changes in exchange rate on cash and cash equivalents | 3 | 2 | ||||||
5. Net increase in cash and cash equivalents | -279 | -309 | ||||||
Add: Cash and cash equivalents at the beginning of the period | 17,556 | 859 | ||||||
6. Cash and cash equivalents at the end of the period | 17,277 | 550 |
Responsible person of the Company: Ma Xu Lun
Responsible person of the finance work: Ma Xu Lun
Responsible person of the accounting department: Yao Yong
4.2 | Audited Report |
☐ Applicable ☑ Not applicable
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