Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | China Biologic Products Holdings, Inc. |
Entity Central Index Key | 1,369,868 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Trading Symbol | CBPO |
Entity Common Stock, Shares Outstanding | 27,611,841 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 219,336,848 | $ 183,765,533 |
Time deposits | 22,895,200 | 0 |
Accounts receivable, net of allowance for doubtful accounts | 77,267,275 | 33,918,796 |
Loan receivable - current | 45,912,000 | 0 |
Inventories | 209,570,835 | 156,412,674 |
Prepayments and other current assets, net of allowance for doubtful accounts | 18,139,453 | 15,320,913 |
Total Current Assets | 593,121,611 | 389,417,916 |
Loan receivable - non current | 0 | 43,245,000 |
Property, plant and equipment, net | 166,812,749 | 132,091,923 |
Land use rights, net | 24,853,163 | 23,389,384 |
Equity method investment | 14,903,908 | 10,614,755 |
Other non-current assets | 9,365,986 | 6,198,531 |
Total Assets | 809,057,417 | 604,957,509 |
Current Liabilities | ||
Accounts payable | 7,548,909 | 6,158,601 |
Income tax payable | 14,258,544 | 7,484,366 |
Other payables and accrued expenses | 75,827,864 | 59,798,145 |
Total Current Liabilities | 97,635,317 | 73,441,112 |
Deferred income | 3,476,877 | 3,755,648 |
Non-current income tax payable | 37,067,138 | 0 |
Other liabilities | 6,553,088 | 6,623,926 |
Total Liabilities | 144,732,420 | 83,820,686 |
Shareholders’ Equity | ||
Ordinary share: par value $0.0001; 100,000,000 shares authorized; 29,866,545 and 29,427,609 shares issued at December 31, 2017 and 2016, respectively; 27,611,841 and 27,172,905 shares outstanding at December 31, 2017 and 2016, respectively | 2,987 | 2,943 |
Additional paid-in capital | 140,230,395 | 105,459,610 |
Treasury share: 2,254,704 shares at December 31, 2017 and 2016, respectively, at cost | (56,425,094) | (56,425,094) |
Retained earnings | 506,426,436 | 438,483,401 |
Accumulated other comprehensive income/(losses) | 7,957,304 | (25,320,271) |
Total equity attributable to China Biologic Products Holdings, Inc. | 598,192,028 | 462,200,589 |
Noncontrolling interest | 66,132,969 | 58,936,234 |
Total Shareholders’ Equity | 664,324,997 | 521,136,823 |
Commitments and contingencies | ||
Total Liabilities and Shareholders’ Equity | $ 809,057,417 | $ 604,957,509 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Common Stock, Par Value Per Share | $ 0.0001 | $ 0.0001 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 29,866,545 | 29,427,609 |
Common Stock, Shares, Outstanding | 27,611,841 | 27,172,905 |
Treasury Stock, Shares | 2,254,704 | 2,254,704 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Sales | $ 370,406,840 | $ 341,169,426 | $ 296,457,902 |
Cost of sales | 125,517,021 | 124,034,448 | 106,482,626 |
Gross profit | 244,889,819 | 217,134,978 | 189,975,276 |
Operating expenses | |||
Selling expenses | 34,843,935 | 11,679,242 | 9,973,449 |
General and administrative expenses | 67,683,667 | 54,519,122 | 41,391,520 |
Research and development expenses | 6,503,712 | 7,021,992 | 6,024,368 |
Income from operations | 135,858,505 | 143,914,622 | 132,585,939 |
Other income (expenses) | |||
Equity in income/(loss) of an equity method investee | 3,509,071 | 2,519,201 | (1,311,278) |
Interest income | 7,623,624 | 7,815,780 | 5,551,105 |
Interest expense | (583,432) | (254,471) | (1,727,335) |
Loss from disposal of a subsidiary | 0 | (75,891) | 0 |
Total other income, net | 10,549,263 | 10,004,619 | 2,512,492 |
Income before income tax expense | 146,407,768 | 153,919,241 | 135,098,431 |
Income tax expense | 64,171,809 | 25,125,820 | 20,992,913 |
Net income | 82,235,959 | 128,793,421 | 114,105,518 |
Less: Net income attributable to noncontrolling interest | 14,292,924 | 24,014,114 | 25,062,815 |
Net income attributable to China Biologic Products Holdings, Inc. | $ 67,943,035 | $ 104,779,307 | $ 89,042,703 |
Earnings per share of ordinary share: | |||
Basic | $ 2.40 | $ 3.79 | $ 3.4 |
Diluted | $ 2.38 | $ 3.74 | $ 3.27 |
Weighted average shares used in computation: | |||
Basic | 27,361,561 | 26,848,445 | 25,599,153 |
Diluted | 27,605,623 | 27,249,144 | 26,567,366 |
Net income | $ 82,235,959 | $ 128,793,421 | $ 114,105,518 |
Other comprehensive income/(losses): | |||
Foreign currency translation adjustment, net of nil income taxes | 36,861,394 | (31,303,262) | (24,368,360) |
Comprehensive income | 119,097,353 | 97,490,159 | 89,737,158 |
Less: Comprehensive income attributable to noncontrolling interest | 17,876,743 | 19,026,592 | 20,698,249 |
Comprehensive income attributable to China Biologic Products Holdings, Inc. | $ 101,220,610 | $ 78,463,567 | $ 69,038,909 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) | Total | Ordinary share [Member] | Additional paid-in capital [Member] | Treasury stock [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Equity attributable to China Biologic Products Holdings, Inc. [Member] | Noncontrolling interest [Member] |
Balance at Dec. 31, 2014 | $ 275,261,730 | $ 2,787 | $ 24,008,281 | $ (76,570,621) | $ 244,661,391 | $ 19,985,189 | $ 212,087,027 | $ 63,174,703 |
Balance (in shares) at Dec. 31, 2014 | 27,865,871 | |||||||
Net income | 114,105,518 | $ 0 | 0 | 0 | 89,042,703 | 0 | 89,042,703 | 25,062,815 |
Other comprehensive income (loss) | (24,368,360) | 0 | 0 | 0 | 0 | (20,003,794) | (20,003,794) | (4,364,566) |
Share-based compensation | 12,114,272 | 0 | 12,114,272 | 0 | 0 | 0 | 12,114,272 | 0 |
Excess tax benefits from stock option exercises | 1,518,702 | 0 | 1,225,941 | 0 | 0 | 0 | 1,225,941 | 292,761 |
Reissuance of treasury stock | 80,583,959 | 0 | 60,438,432 | 20,145,527 | 0 | 0 | 80,583,959 | 0 |
Ordinary share issued in connection with: | 0 | 0 | (452,962) | 0 | 0 | 0 | (452,962) | 452,962 |
Common stock issued in connection with: | ||||||||
Exercise of stock options | 7,745,978 | $ 78 | 7,745,900 | 0 | 0 | 0 | 7,745,978 | 0 |
Exercise of stock options (in shares) | 780,557 | |||||||
Vesting of restricted shares | 0 | $ 19 | (19) | 0 | 0 | 0 | 0 | 0 |
Vesting of restricted shares (in shares) | 188,625 | |||||||
Balance at Dec. 31, 2015 | 466,961,799 | $ 2,884 | 105,079,845 | (56,425,094) | 333,704,094 | (18,605) | 382,343,124 | 84,618,675 |
Balance (in shares) at Dec. 31, 2015 | 28,835,053 | |||||||
Net income | 128,793,421 | $ 0 | 0 | 0 | 104,779,307 | 0 | 104,779,307 | 24,014,114 |
Other comprehensive income (loss) | (31,303,262) | 0 | 0 | 0 | 0 | (26,315,740) | (26,315,740) | (4,987,522) |
Dividend declared to noncontrolling interest shareholders | (10,901,312) | 0 | 0 | 0 | 0 | 0 | 0 | (10,901,312) |
Share-based compensation | 24,405,511 | 0 | 24,405,511 | 0 | 0 | 0 | 24,405,511 | 0 |
Excess tax benefits from stock option exercises | 2,613,831 | 0 | 2,299,316 | 0 | 0 | 0 | 2,299,316 | 314,515 |
Ordinary share issued in connection with: | 0 | 0 | 513,397 | 0 | 0 | 0 | 513,397 | (513,397) |
Capital withdrawal by noncontrolling interest shareholders | (62,991,961) | 0 | (30,397,196) | 0 | 0 | 1,014,074 | (29,383,122) | (33,608,839) |
Common stock issued in connection with: | ||||||||
Exercise of stock options | 3,558,796 | $ 34 | 3,558,762 | 0 | 0 | 0 | 3,558,796 | 0 |
Exercise of stock options (in shares) | 337,406 | |||||||
Vesting of restricted shares | 0 | $ 25 | (25) | 0 | 0 | 0 | 0 | 0 |
Vesting of restricted shares (in shares) | 255,150 | |||||||
Balance at Dec. 31, 2016 | 521,136,823 | $ 2,943 | 105,459,610 | (56,425,094) | 438,483,401 | (25,320,271) | 462,200,589 | 58,936,234 |
Balance (in shares) at Dec. 31, 2016 | 29,427,609 | |||||||
Net income | 82,235,959 | $ 0 | 0 | 0 | 67,943,035 | 0 | 67,943,035 | 14,292,924 |
Other comprehensive income (loss) | 36,861,394 | 0 | 0 | 0 | 0 | 33,277,575 | 33,277,575 | 3,583,819 |
Dividend declared to noncontrolling interest shareholders | (10,680,008) | 0 | 0 | 0 | 0 | 0 | 0 | (10,680,008) |
Share-based compensation | 33,903,283 | 33,903,283 | 0 | 0 | 33,903,283 | 0 | ||
Common stock issued in connection with: | ||||||||
Exercise of stock options | 867,546 | $ 9 | 867,537 | 0 | 0 | 0 | 867,546 | 0 |
Exercise of stock options (in shares) | 85,242 | |||||||
Vesting of restricted shares | 0 | $ 35 | (35) | 0 | 0 | 0 | 0 | 0 |
Vesting of restricted shares (in shares) | 353,694 | |||||||
Balance at Dec. 31, 2017 | $ 664,324,997 | $ 2,987 | $ 140,230,395 | $ (56,425,094) | $ 506,426,436 | $ 7,957,304 | $ 598,192,028 | $ 66,132,969 |
Balance (in shares) at Dec. 31, 2017 | 29,866,545 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 82,235,959 | $ 128,793,421 | $ 114,105,518 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 11,691,731 | 11,962,983 | 8,179,376 |
Amortization | 1,216,959 | 775,053 | 854,364 |
Loss on disposal of property, plant and equipment | 3,228,845 | 293,098 | 3,024,830 |
Allowance for doubtful accounts - accounts receivable, net | 23,783 | 123,239 | 34,902 |
Allowance for doubtful accounts - prepayments and other receivables | 0 | 65,341 | 788 |
Impairment for other non-current assets | 0 | 1,225,200 | 0 |
Write-down of obsolete inventories | 0 | 256,862 | 76,587 |
Deferred income tax benefit | (3,252,516) | (3,006,541) | (170,345) |
Share-based compensation | 33,903,283 | 24,405,511 | 12,114,272 |
Equity in (income) /loss of an equity method investee | (3,509,071) | (2,519,201) | 1,311,278 |
Loss from disposal of a subsidiary | 0 | 75,891 | 0 |
Excess tax benefits from share-based compensation arrangements | 0 | (2,613,831) | (1,518,702) |
Change in operating assets and liabilities: | |||
Accounts receivable | (39,918,939) | (10,971,773) | (7,146,311) |
Inventories | (42,078,261) | (40,077,384) | (32,095,328) |
Prepayments and other current assets | (1,777,783) | 1,946,800 | 879,165 |
Accounts payable | 977,152 | 2,966,885 | 5,348,896 |
Income tax payable | 6,047,808 | 6,022,145 | (1,926,093) |
Other payables and accrued expenses | 16,821,694 | 4,221,669 | 6,734,988 |
Deferred income | (493,897) | (686,757) | (416,185) |
Non-current income tax payable | 37,067,138 | 0 | 0 |
Net cash provided by operating activities | 102,183,885 | 123,258,611 | 109,392,000 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Payment for time deposits | (22,669,000) | 0 | 0 |
Payment for property, plant and equipment | (37,504,440) | (49,371,318) | (38,790,998) |
Payment for intangible assets and land use rights | (786,691) | (1,635,891) | (13,500,526) |
Refund of payments and deposits related to land use right | 0 | 10,297,893 | 0 |
Proceeds from disposal of property, plant and equipment and land use rights | 64,914 | 393,019 | 827,020 |
Loans lent to a third party | 0 | (12,332,718) | (40,744,167) |
Proceeds from disposal of a subsidiary | 0 | 128,654 | 0 |
Receipt of government grants related to property and equipment | 0 | 0 | 2,452,864 |
Net cash used in investing activities | (60,895,217) | (52,520,361) | (89,755,807) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Proceeds from stock option exercised | 867,546 | 3,558,796 | 7,745,978 |
Proceeds from short-term bank loans | 23,009,280 | 0 | 15,770,881 |
Repayment of short-term bank loans | (23,412,060) | 0 | (47,201,255) |
Repayment of long-term bank loans | 0 | 0 | (66,300,000) |
Maturity of deposit as security for bank loans | 0 | 37,756,405 | 63,152,258 |
Net proceeds from reissuance of treasury stock | 0 | 0 | 80,583,959 |
Excess tax benefits from share-based compensation arrangements | 0 | 2,613,831 | 1,518,702 |
Dividend paid by subsidiaries to noncontrolling interest shareholders | (18,789,151) | (7,921,952) | 0 |
Dividend to the trial court to be held in escrow as to dispute with Jie’an | 0 | 0 | (3,690,814) |
Payment to noncontrolling interest shareholders in connection with their capital withdrawal | 0 | (58,091,018) | 0 |
Net cash (used in)/provided by financing activities | (18,324,385) | (22,083,938) | 51,579,709 |
EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH | 12,607,032 | (9,826,672) | (7,098,233) |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 35,571,315 | 38,827,640 | 64,117,669 |
Cash and cash equivalents at beginning of year | 183,765,533 | 144,937,893 | 80,820,224 |
Cash and cash equivalents at end of year | 219,336,848 | 183,765,533 | 144,937,893 |
Supplemental cash flow information | |||
Cash paid for income taxes | 24,691,429 | 22,210,476 | 23,348,371 |
Cash paid for interest expense | 252,353 | 84,664 | 1,526,807 |
Noncash investing and financing activities: | |||
Acquisition of property, plant and equipment included in payables | 7,548,964 | 4,912,937 | 6,363,392 |
Loan receivable offset by accounts payable | $ 0 | $ 5,848,400 | $ 0 |
DESCRIPTION OF BUSINESS AND SIG
DESCRIPTION OF BUSINESS AND SIGNIFICANT CONCENTRATIONS AND RISKS | 12 Months Ended |
Dec. 31, 2017 | |
Basis Of Presentation Significant Concentration and Risks [Abstract] | |
DESCRIPTION OF BUSINESS AND SIGNIFICANT CONCENTRATIONS AND RISKS | NOTE 1 DESCRIPTION OF BUSINESS AND SIGNIFICANT CONCENTRATIONS AND RISKS China Biologic Products Holdings, Inc. (“CBP”) and its subsidiaries (collectively, the “Company”), through its subsidiaries in the People’s Republic of China (the “PRC”), is a biopharmaceutical company that is principally engaged in the research, development, manufacturing and sales of plasma-based pharmaceutical products in the PRC. The PRC subsidiaries own and operate plasma collection stations that purchase and collect plasma from individual donors. The plasma is processed into finished goods after passing through a series of fractionating processes. All of the Company’s plasma products are prescription medicines that require government approval before the products are sold to customers. The Company primarily sells its products to hospitals and inoculation centers directly or through distributors in the PRC. On July 21, 2017, China Biologic Products Holdings, Inc. (the “Successor”) succeeded to the interests of China Biologic Products, Inc. (the “Predecessor”) following a redomicile merger pursuant to an agreement and plan of merger dated as of April 28, 2017 (the “Merger Agreement”) between the Successor and the Predecessor. Pursuant to the Merger Agreement, the Predecessor merged with and into the Successor, with the Successor surviving the merger and each issued and outstanding shares of Predecessor's common stock being converted into the right to receive one ordinary share of the Successor. The consolidated financial statements of the Successor represents the continuation of the financial statements of the Predecessor, reflecting the assets and liabilities, retained earnings and other equity balances of the Predecessor before the domiciliation. The equity structure is restated using the exchange ratio established in the Merger Agreement to reflect the number of shares of the Successor. Cash Concentration The Company maintains cash balances at financial institutions which, from time to time, may exceed Federal Deposit Insurance Corporation insured limits for its bank accounts located in the United States or may exceed Hong Kong Deposit Protection Board insured limits for its bank accounts located in Hong Kong or may exceed the insured limits for its bank accounts in China established by China Deposit Insurance Fund Management Institution. Total cash at banks and deposits, including cash and equivalents and time deposits, as of December 31, 2017 and December 31, 2016 amounted to $ 241,761,593 183,078,440 2,577,139 2,744,704 Sales Concentration The Company’s two major products are human albumin and human immunoglobulin for intravenous injection (“IVIG”). Human albumin accounted for 35.8 39.2 37.6 31.7 34.6 42.2 Substantially all of the Company’s customers are located in the PRC. There were no customers that individually comprised 10% or more of sales during the years ended December 31, 2017, 2016 and 2015. No individual customer represented 10% or more of accounts receivables as at December 31, 2017 and 2016. The Company performs ongoing credit evaluations of its customers’ financial condition and, generally, requires no collateral from its customers. Purchase Concentration There was one supplier, namely, Xinjiang Deyuan Bioengineering Co., Ltd. (“Xinjiang Deyuan”) (see Note 8), that comprised 10% or more of the total purchases during the year ended December 31, 2017, 2016 and 2015. Chongqing Sanda Great Exploit Pharmaceutical Co, Ltd. (“Chongqing Sanda”) represented more than 10% of accounts payables as at December 31, 2017. Chongqing Sanda and Xinjiang Deyuan represented more than 10% of accounts payables as at December 31, 2016. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), and include the financial statements of the Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated upon consolidation. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives of property, plant and equipment and intangibles with definite lives, the collectability of accounts receivable and loan receivable, the fair value determinations of stock compensation awards, the realizability of deferred income tax assets and inventories, the recoverability of intangible assets, land use rights, property, plant and equipment and equity method investment, and accruals for income tax uncertainties and other contingencies. The current economic environment has increased the degree of uncertainty inherent in those estimates and assumptions. The accompanying consolidated financial statements of the Company are reported in US dollar. The financial position and results of operations of the Company’s subsidiaries in the PRC are measured using the Renminbi, which is the local and functional currency of these entities. Assets and liabilities of the subsidiaries are translated at the prevailing exchange rate in effect at each period end. Revenues and expenses are translated at the average rate of exchange during the period. Translation adjustments are included in other comprehensive income/(losses). Revenue represents the invoiced amount of products sold, net of value added taxes (VAT). Revenue is recognized when persuasive evidence of an arrangement exists, delivery of the product has occurred and the customer takes ownership and assumes risk of loss, the sales price is fixed or determinable and collection of the relevant receivable is probable. The Company mainly sells human albumin and human immunoglobulin to hospitals, inoculation centers and pharmaceutical distributors. For all sales, the Company requires a signed contract or purchase order, which specify pricing, quantity and product specifications. Delivery of the product occurs when the customer receives the product, which is when the risks and rewards of ownership have been transferred. Delivery is evidenced by signed customer acknowledgement. The Company’s sales agreements do not provide the customer the right of return, unless the product is defective in which case the Company allows for an exchange of product or return. For the periods presented, defective product returns were inconsequential. Fair Value Measurements The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: • Level 1 Inputs: Unadjusted quoted prices for identical assets or liabilities in active markets accessible to the entity at the measurement date. • Level 2 Inputs: Other than quoted prices included in Level 1, inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. • Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. The fair value measurement level of an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. See Note 14 to the Consolidated Financial Statements. Cash consists of cash on hand and demand deposits. The Company considers all highly liquid investments with original maturities of three-month or less at the time of purchase to be cash equivalents. Cash and cash equivalents at December 31, 2017 and 2016 include $ 135,728,697 98,022,000 December 31, 2017 December 31, 2016 USD USD PRC, excluding Hong Kong 214,157,592 171,539,309 U.S. 4,708,801 11,539,131 Total 218,866,393 183,078,440 Accounts receivable are recorded at the invoiced amount and do not bear interest. Amounts collected on trade accounts receivable are included in cash provided by operating activities in the consolidated statements of cash flows. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable portfolio. In establishing the required allowance, management considers historical losses, the customers’ financial condition, the amount of accounts receivables in dispute, the accounts receivables aging and the customers’ payment patterns. The Company reviews its allowance for doubtful accounts monthly. Past due balances are reviewed individually for collectability. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. Inventories are stated at the lower of cost or net realizable value. Cost is determined using the weighted average method. Cost of work-in-process and finished goods comprise direct materials, direct production costs and an allocation of production overheads based on normal operating capacity. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Adjustments are recorded to write down the carrying amount of any obsolete and excess inventory to its estimated net realizable value based on historical and forecasted demand. Property, plant and equipment are stated at cost. Depreciation of property, plant and equipment attributable to manufacturing activities is capitalized as part of inventories, and recognized as cost of sales when the inventory is sold. Cost incurred in the construction of property, plant and equipment, including downpayments and progress payments, are initially capitalized as construction-in-progress and transferred into their respective asset categories when the assets are ready for their intended use, at which time depreciation commences. Buildings 30 Machinery and equipment 10 Furniture, fixtures, office equipment and vehicles 5 10 When items are retired or otherwise disposed of, income is charged or credited for the difference between net book value and the proceeds received thereon. Ordinary maintenance and repairs are charged to expense as incurred, and replacements and betterments are capitalized and amortized over the remaining useful life. Investment in an investee in which the Company has the ability to exercise significant influence, but does not have a controlling interest is accounted for using the equity method. Significant influence is generally presumed to exist when the Company has an ownership interest in the voting stock between 20 50 1,252,387 1,179,637 Government grants are recognized when there is reasonable assurance that the Company will comply with the conditions attaching to them and the grants will be received. Grants that compensate research and development expenses are recognized as a reduction to the related research and development expenses. Grants that compensate the Company for the cost of property, plant and equipment and land use rights are recognized as deferred income and are recognized as a reduction of depreciation and amortization during the useful life of the asset. For the year ended December 31, 2017, the Company received government grants of RMB 2,405,210 368,093 For the year ended December 31, 2016, the Company received government grants of RMB 5,056,361 728,874 For the year ended December 31, 2015, the Company received government grants of RMB 15,000,000 2,452,864 222,143 410,369 118,751 7,280,600 1,188,907 For the year ended December 31, 2012, the Company received government grants of RMB 18,350,000 2,989,215 271,754 276,388 297,434 Land use rights represent the exclusive right to occupy and use a piece of land in the PRC for a specified contractual term. Land use rights are carried at cost, less accumulated amortization. Amortization is calculated using the straight-line method over the contractual period of the rights ranging from 40 50 Research and development costs are expensed as incurred. Research and development expenses for the years ended December 31, 2017, 2016 and 2015 were $ 6,503,712 7,021,992 6,024,368 Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax loss and tax credit carryforwards. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in the consolidated statements of comprehensive income in the period that includes the enactment date. A valuation allowance is provided to reduce the amount of deferred income tax assets if it is considered more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest related to unrecognized tax benefits in interest expense and penalties in general and administrative expenses. Pursuant to relevant PRC regulations, the Company is required to make contributions to various defined contribution plans organized by municipal and provincial PRC governments. The contributions are made for each PRC employee at rates ranging from 25 43 3,763,276 3,258,629 2,981,962 The Company has no other obligation for the payment of employee benefits associated with these plans beyond the contributions described above. The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award and recognizes the cost over the period the employee is required to provide service in exchange for the award, which generally is the vesting period. For graded vesting awards, the Company recognizes compensation cost on a straight-line basis over the requisite service period for the entire award, provided that the cumulative amount of compensation cost recognized at any date at least equals the portion of the grant-date value of such award that is vested at that date. Long-lived assets, including property, plant and equipment, land use rights and purchased intangible asset subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by that asset or asset group to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. Earnings per Share Basic earnings per ordinary share is computed by dividing net income attributable to ordinary shareholders by the weighted average number of ordinary share outstanding during the year using the two-class method. Under the two-class method, net income is allocated between ordinary share and other participating securities based on their participating rights in undistributed earnings. The Company’s nonvested shares were considered participating securities since the holders of these securities participate in dividends on the same basis as ordinary shareholders. Diluted earnings per share is calculated by dividing net income attributable to ordinary shareholders as adjusted for the effect of dilutive ordinary share equivalent, if any, by the weighted average number of ordinary share and dilutive ordinary share equivalent outstanding during the year. Potential dilutive securities are not included in the calculation of diluted earnings per share if the impact is anti-dilutive. Segment Reporting The Company has one operating segment, which is the human plasma products segment. Substantially all of the Company’s operations and customers are located in the PRC, and therefore, no geographic information is presented. Contingencies In the normal course of business, the Company is subject to loss contingencies, such as legal proceedings and claims arising out of its business, that cover a wide range of matters, including, among others, government investigations and tax matters. An accrual for a loss contingency is recognized when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Disclosure will be made if an unfavorable outcome is determined to be reasonably possible but not probable, or if the amount of loss cannot be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Deferral of the Effective Date In July 2015, the FASB issued ASU No.2015-11, Simplifying the Measurement of Inventory In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Classification of Certain Cash Receipts and Cash Payments, In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Effective January 1, 2017, on a retrospective basis, the Company adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740). 4,625,996 Effective January 1, 2017, the Company adopted the FASB ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. 621,381 In January 2017, the FASB issued ASU 2017-01, Clarifying the Definition of a Business. |
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE | 12 Months Ended |
Dec. 31, 2017 | |
Accounts Receivable [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
ACCOUNTS RECEIVABLE | NOTE 3 ACCOUNTS RECEIVABLE December 31, 2017 December 31, 2016 USD USD Accounts receivable 77,858,266 34,452,392 Less: Allowance for doubtful accounts (590,991) (533,596) Total 77,267,275 33,918,796 For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 533,596 443,624 433,948 Provisions 23,783 123,239 34,902 Foreign currency translation adjustment 33,612 (33,267) (25,226) Ending balance 590,991 533,596 443,624 |
PREPAYMENTS AND OTHER CURRENT A
PREPAYMENTS AND OTHER CURRENT ASSETS | 12 Months Ended |
Dec. 31, 2017 | |
Prepaid And Other Current Asset [Abstract] | |
PREPAYMENTS AND OTHER CURRENT ASSETS | NOTE 4 PREPAYMENTS AND OTHER CURRENT ASSETS Prepayments and other current assets as of December 31, 2017 mainly represented other receivables of $ 10,412,739 4,886,604 10,117,032 2,921,069 For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 4,671,896 4,924,063 5,207,840 Provisions - 65,341 788 Foreign currency translation adjustment 288,124 (317,508) (284,565) Ending balance 4,960,020 4,671,896 4,924,063 |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | NOTE 5 INVENTORIES December 31, 2017 December 31, 2016 USD USD Raw materials 107,651,325 80,781,903 Work-in-process 42,202,306 24,994,839 Finished goods 59,717,204 50,635,932 Total 209,570,835 156,412,674 Raw materials mainly comprised of human plasma collected from the Company’s plasma collection stations. Work-in-process represented intermediate products in the process of production. Finished goods mainly comprised plasma products. Provisions to write-down the carrying amount of obsolete inventory to its estimated net realizable value amounted to nil, $ 256,862 76,587 |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | NOTE 6 PROPERTY, PLANT AND EQUIPMENT December 31, 2017 December 31, 2016 USD USD Buildings 41,669,081 34,131,032 Machinery and equipment 41,102,242 52,467,764 Furniture, fixtures, office equipment and vehicles 9,980,062 7,843,567 Total property, plant and equipment, gross 92,751,385 94,442,363 Accumulated depreciation (33,862,836) (39,315,011) Total property, plant and equipment, net 58,888,549 55,127,352 Construction in progress 105,226,787 61,825,470 Prepayment for property, plant and equipment 2,697,413 15,139,101 Property, plant and equipment, net 166,812,749 132,091,923 As a result of the planned commencement of operation of the new facility, the Company disposed certain machinery and equipment in the old facility of Shandong Taibang and incurred a disposal loss of $3,228,845 for the year ended December 31, 2017. Loss on disposal of property, plant and equipment for the years ended December 31, 2016 and 2015 was 293,098 and 3,024,830, respectively. Depreciation expense for the years ended December 31, 2017, 2016 and 2015 was $ 11,691,731 11,962,983 8,179,376 |
EQUITY METHOD INVESTMENT
EQUITY METHOD INVESTMENT | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
EQUITY METHOD INVESTMENT | NOTE 7 EQUITY METHOD INVESTMENT The Company’s equity method investment as of December 31, 2017 and 2016 represented 35 In October 2008, Shandong Taibang entered into an equity purchase agreement with one of the equity owners of Huitian (“Seller”) to acquire 35 |
LOAN RECEIVABLE
LOAN RECEIVABLE | 12 Months Ended |
Dec. 31, 2017 | |
Loans Receivable [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
LOAN RECEIVABLE | NOTE 8 LOAN RECEIVABLE In August 2015, the Company entered into a cooperation agreement with Xinjiang Deyuan and the controlling shareholder of Xinjiang Deyuan. Pursuant to the agreement, Guizhou Taibang agreed to provide Xinjiang Deyuan with an interest-bearing loan at an interest rate of 6 300,000,000 45,912,000 July 31, 2018 Deyuan Shareholder’s 58.02% equity interest in Xinjiang Deyuan. Interest income of $ 2,514,936 2,661,700 1,985,767 675,933 496,170 |
SHORT-TERM BANK LOANS
SHORT-TERM BANK LOANS | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
SHORT-TERM BANK LOANS | NOTE 9 SHORT-TERM BANK LOANS In March 2017, the Company obtained a one-year unsecured loan of RMB 60,000,000 8,715,000 4.5675 March 21, 2018 In April 2017, the Company obtained a one-year unsecured loan of RMB 98,000,000 14,465,780 4.35 March 31, 2018 |
OTHER PAYABLES AND ACCRUED EXPE
OTHER PAYABLES AND ACCRUED EXPENSES | 12 Months Ended |
Dec. 31, 2017 | |
Payables and Accruals [Abstract] | |
OTHER PAYABLES AND ACCRUED EXPENSES | NOTE 10 OTHER PAYABLES AND ACCRUED EXPENSES December 31, 2017 December 31, 2016 USD USD Payables to a potential investor (1) $ 8,679,073 7,941,013 Salaries and bonuses payable 19,770,025 16,740,846 Accruals for sales promotion fee 19,346,659 4,391,160 Dividends payable to noncontrolling interest (2) - 7,952,467 Payables for construction work 9,135,810 5,364,441 Other tax payables 2,891,714 1,918,248 Advance from customers 2,425,975 3,976,832 Deposits received 6,662,705 4,640,244 Others 6,915,903 6,872,894 Total $ 75,827,864 59,798,145 (1) The payables to a potential investor comprises deposits received from a potential investor in the amount of $ 5,227,846 4,924,164 3,451,227 3,016,849 (2) In March and July 2017, Shandong Taibang declared a cash dividend distribution amounting RMB 220,000,000 31,955,000 200,000,000 29,994,000 37,928,000 5,509,042 34,480,000 5,170,966 |
INCOME TAX
INCOME TAX | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAX | NOTE 11 INCOME TAX The Company and each of its subsidiaries file separate income tax returns. The United States of America China Biologic Products Inc. was originally incorporated on December 20, 1989 under the laws of the State of Texas as Shepherd Food Equipment, Inc. On November 20, 2000, Shepherd Food Equipment, Inc. changed its corporate name to Shepherd Food Equipment, Inc. Acquisition Corp., or Shepherd. Shepherd is the survivor of a May 28, 2003 merger between Shepherd and GRC Holdings, Inc., or GRC, a Texas corporation. In the merger, the surviving corporation adopted the articles of incorporation and bylaws of GRC and changed its corporate name to GRC Holdings, Inc. On January 10, 2007, a plan of conversion became effective pursuant to which GRC was converted into a Delaware corporation and changed its name to China Biologic Products, Inc. With the completion of domiciliation to the Cayman Islands on July 21, 2017, China Biologic Products Inc. was merged with and into China Biologic Products Holdings, Inc., with China Biologic Products Holdings, Inc. as the surviving company. China Biologic Products Holdings, Inc. continued to be a U.S. corporation for U.S. federal income tax purposes and is subject to U.S. federal corporate income tax at gradual rates of up to 35 On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was enacted. The Tax Act has made significant changes to the U.S. Internal Revenue Code, including the taxation of U.S. corporations, by, among other things, limiting interest deductions, reducing the U.S. corporate income tax rate, disallowing certain deductions that had previously been allowed, altering the expensing of capital expenditures, adopting elements of a territorial tax system, assessing a repatriation tax or “toll-charge” on undistributed earnings and profits of U.S.-owned foreign corporations, and introducing certain anti-base erosion provisions. The Company recorded a charge of approximately $ 40.3 $ 40.3 The actual impact of the U.S. Tax Reform on the Company may differ from management’s estimates, and management may update the provisional amount upon obtaining, preparing or analyzing additional information Cayman Islands Under the current laws of Cayman Islands, China Biologic Products Holdings, Inc. is not subject to tax on its income or capital gains. British Virgin Islands Taibang Biological is incorporated in the British Virgin Islands. Under the current laws of the British Virgin Islands (BVI), Taibang Biological is not subject to tax on income or capital gains. In addition, upon payments of dividends by Taibang Biological, no British Virgin Islands withholding tax is imposed. Hong Kong Taibang Holdings (Hong Kong) Limited (“Taibang Holdings”, formerly known as “Logic Holdings (Hong Kong) Limited”) is incorporated in Hong Kong and is subject to Hong Kong’s profits tax rate of 16.5 PRC The PRC’s statutory income tax rate is 25 In October 2014, Shandong Taibang obtained a notice from the Shandong provincial government that granted it the High and New Technology Enterprise certificate. This certificate entitled Shandong Taibang to enjoy a preferential income tax rate of 15 15.0 According to CaiShui [2011] No. 58 dated July 27, 2011, Guizhou Taibang, being a qualified enterprise located in the western region of the PRC, enjoys a preferential income tax rate of 15 For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD PRC, excluding Hong Kong 171,787,763 170,830,607 147,580,488 U.S. (28,866,395) (19,408,283) (11,711,102) BVI 3,488,680 2,498,629 (1,336,183) Hong Kong (2,280) (1,712) 565,228 Total 146,407,768 153,919,241 135,098,431 For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD Current income tax expense 67,424,325 28,132,361 21,163,258 Deferred income tax benefit (3,252,516) (3,006,541) (170,345) Total income tax expense 64,171,809 25,125,820 20,992,913 For the Years Ended December 31, December 31, December 31, 2017 2016 2015 (in percentage to earnings before income tax expense) PRC statutory income tax rate 25.0 % 25.0 % 25.0 % Non-deductible expenses: Share-based compensation 3.7 % - 1.3 % Others 1.1 % 1.6 % 0.1 % Tax rate differential (0.9) % (3.6) % - Effect of PRC preferential tax rate (11.1) % (10.9) % (10.5) % Bonus deduction on research and development expenses (1.5) % (1.5) % (1.5) % Change in valuation allowance (0.6) % 5.3 % 1.3 % Repatriation tax 29.4 % - - Tax effect of equity method investment (0.6) % 0.4 % (0.2) % Excess tax benefits from stock option exercises (0.7) % - - Effective income tax rate 43.8 % 16.3 % 15.5 % The PRC tax rate has been used because the majority of the Company’s consolidated pre-tax earnings arise in the PRC. December 31, 2017 December 31, 2016 USD USD Deferred income tax assets arising from: -Accrued expenses 6,558,359 3,954,375 -Deferred income 258,255 275,687 -Property, Plant and Equipment 1,210,006 257,550 -Other non-current assets 146,918 138,384 -Tax loss carryforwards 5,031,657 27,783,051 Gross deferred income tax assets 13,205,195 32,409,047 Less: valuation allowance (5,031,657) (26,629,179) Net deferred income tax assets 8,173,538 5,779,868 Deferred income tax liabilities arising from: - Intangible assets (148,467) (235,217) - Equity method investment - (1,153,872) - Dividend withholding tax (6,085,290) (6,085,290) Deferred income tax liabilities (6,233,757) (7,474,379) Classification on consolidated balance sheets: Deferred income tax assets, included in other non-current assets 8,173,538 4,625,996 Deferred income tax liabilities, included in other liabilities (6,233,757) (6,320,507) In assessing the realizability of deferred income tax assets, management considers whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible and tax loss carryforwards are utilized. Management considers the scheduled reversal of deferred income tax liabilities (including the impact of available carryforwards periods), projected future taxable income, and tax planning strategies in making this The deferred income tax assets of $ 5,031,657 20,126,629 5,019,226 5,048,268 4,416,172 4,878,108 764,855 5,031,657 6,139,906 For United States federal income tax purposes, CBP had nil tax loss carry forwards as of December 31, 2017. All tax loss brought forwards of CBP has been utilized by December 31, 2017 as a result of the repatriation tax on deemed repatriation of accumulated earnings to the United States. The following table presents the movement of the valuation allowance for deferred income tax assets for the years ended December 31, 2017, 2016 and 2015: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 26,629,179 8,160,611 6,661,139 Addition (deduction) during the year (21,927,117) 18,676,456 1,703,771 Foreign currency translation adjustment 329,595 (207,888) (204,299) Ending balance 5,031,657 26,629,179 8,160,611 According to the prevailing PRC income tax law and relevant regulations, dividends relating to earnings accumulated beginning on January 1, 2008 that are received by non-PRC-resident enterprises from PRC-resident enterprises are subject to withholding tax at 10 34 7,351,023 74 1,265,733 82,760,000 11,929,854 550.0 As of January 1, 2015 and for each of the years ended December 31, 2015, 2016 and 2017, the Company and its subsidiaries did not have any unrecognized tax benefits, and therefore no interest or penalties related to unrecognized tax benefits were accrued. The Company does not expect that the amount of unrecognized tax benefits will change significantly within the next 12 months. The Company and each of its PRC subsidiaries file income tax returns in the United States and the PRC, respectively. The Company is subject to U.S. federal income tax examination by tax authorities for tax years beginning in 2007. According to the PRC Tax Administration and Collection Law, the statute of limitations is three years if the underpayment of taxes is due to computational errors made by the taxpayer or the withholding agent. The statute of limitations is extended to five years under special circumstances where the underpayment of taxes is more than RMB 100,000 15,304 |
OPTIONS AND NONVESTED SHARES
OPTIONS AND NONVESTED SHARES | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
OPTIONS AND NONVESTED SHARES | NOTE 12 OPTIONS AND NONVESTED SHARES Options Effective May 9, 2008, the Board of Directors adopted the China Biologic 2008 Equity Incentive Plan, (“the 2008 Plan”). The 2008 Plan provides for grants of stock options, stock appreciation rights, performance units, restricted stock, restricted stock units and performance shares. A total of five million shares of the Company’s ordinary share may be issued pursuant to the 2008 Plan. The exercise price per share for the shares to be issued pursuant to an exercise of a stock option will be no less than the fair market value per share on the grant date, except that, in the case of an incentive stock option granted to a person who holds more than 10 110 10 For the year ended December 31, 2017, 2016 and 2015, no stock options to purchase ordinary share were granted to any directors or employees. Weighted Weighted Average Remaining Number of Exercise Contractual Aggregate Options Price Term in years Intrinsic Value USD USD Outstanding as of January 1, 2015 1,432,454 10.16 6.53 81,753,119 Granted - - Exercised (780,557) 9.92 (68,089,712) Forfeited and expired - - Outstanding as of December 31, 2015 651,897 10.44 5.24 86,064,461 Granted - Exercised (337,406) 10.55 (35,180,367) Forfeited and expired - - Outstanding as of December 31, 2016 314,491 10.32 3.84 30,568,083 Granted - - Exercised (85,242) 10.18 (7,868,258) Forfeited and expired - - Outstanding as of December 31, 2017 229,249 10.37 2.61 15,168,276 Vested as of December 31, 2017 229,249 10.37 2.61 15,168,276 Exercisable as of December 31, 2017 229,249 10.37 2.61 15,168,276 For the years ended December 31, 2017, 2016 and 2015, the Company recorded stock compensation expense of nil, $ 649,203 1,117,994 Nonvested shares For the years ended December 31, 2017, 2016 and 2015, nonvested shares were granted to certain directors and employees (collectively, the “Participant”). Pursuant to the nonvested share grant agreements between the Company and the Participant, the Participant will have all the rights of a shareholder with respect to the nonvested shares. The nonvested shares granted to directors generally vest in one or two years. Number of Grant date weighted nonvested shares average fair value USD Outstanding as of January 1, 2015 552,125 37.78 Granted 313,100 120.62 Vested (188,625) 34.78 Forfeited (7,500) 28.80 Outstanding as of December 31, 2015 669,100 77.49 Granted 511,200 119.75 Vested (255,150) 66.04 Forfeited (12,500) 66.74 Outstanding as of December 31, 2016 912,650 104.51 Granted 356,150 89.94 Vested (353,694) 91.32 Forfeited (1,080) 98.20 Outstanding as of December 31, 2017 914,026 103.95 For the years ended December 31, 2017, 2016 and 2015, the Company recorded stock compensation expense of $ 33,903,283 23,756,308 10,996,278 As of December 31, 2017, approximately $ 79,691,474 2.65 |
STATUTORY RESERVES
STATUTORY RESERVES | 12 Months Ended |
Dec. 31, 2017 | |
Statutory Accounting Practices [Abstract] | |
STATUTORY RESERVES | NOTE 13 STATUTORY RESERVES The Company’s PRC subsidiaries are required to allocate at least 10 50 34,513,788 34,508,737 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 14 FAIR VALUE MEASUREMENTS Management used the following methods and assumptions to estimate the fair value of financial instruments at the relevant balance sheet dates: Short-term financial instruments (including cash and cash equivalents, time deposits, accounts receivable, other receivables, loan receivable-current, accounts payable, and other payables and accrued expenses) The carrying amounts of the short-term financial instruments approximate their fair values because of the short maturity of these instruments. |
SALES
SALES | 12 Months Ended |
Dec. 31, 2017 | |
Sales [Abstract] | |
SALES | NOTE 15 SALES The Company’s sales by product categories for the years ended December 31, 2017, 2016 and 2015 are as follows: For the Years Ended December 31, December 31, December 31, USD USD USD Human Albumin 132,498,791 133,712,663 111,422,258 Immunoglobulin products: Human Immunoglobulin for Intravenous Injection 117,511,797 117,891,410 125,136,104 Other Immunoglobulin products 50,147,328 40,105,561 22,518,554 Placenta Polypeptide 49,199,288 32,178,681 27,194,800 Others 21,049,636 17,281,111 10,186,186 Total 370,406,840 341,169,426 296,457,902 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 16 COMMITMENTS AND CONTINGENCIES Commitments As of December 31, 2017, commitments outstanding for operating lease approximated $ 1.3 As of December 31, 2017, commitments outstanding for the purchase of property, plant and equipment approximated $ 12.9 As of December 31, 2017, commitments outstanding for the purchase of plasma in 2018 approximated $ 8.7 |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per share | NOTE 17 EARNINGS PER SHARE The following table sets forth the computation of basic and diluted For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD Net income attributable to China Biologic Products Holdings, Inc. 67,943,035 104,779,307 89,042,703 Earnings allocated to participating nonvested shares (2,188,633) (2,987,429) (2,070,762) Net income used in basic and diluted earnings per ordinary share 65,754,402 101,791,878 86,971,941 Weighted average shares used in computing basic earnings per ordinary share 27,361,561 26,848,445 25,599,153 Diluted effect of stock option 244,062 400,699 968,213 Weighted average shares used in computing diluted earnings per ordinary share 27,605,623 27,249,144 26,567,366 Basic earnings per ordinary share 2.40 3.79 3.40 Diluted earnings per ordinary share 2.38 3.74 3.27 During the year ended December 31, 2017, 2016 and 2015, no potential ordinary shares outstanding were excluded from the calculation of diluted earnings per ordinary share. |
CHINA BIOLOGIC PRODUCTS HOLDING
CHINA BIOLOGIC PRODUCTS HOLDINGS, INC. (PARENT COMPANY) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
CHINA BIOLOGIC PRODUCTS, INC. (PARENT COMPANY) | NOTE 18 CHINA BIOLOGIC PRODUCTS HOLDINGS, INC. (PARENT COMPANY) The following represents condensed unconsolidated financial information of the Parent Company only: December 31, 2017 December 31, 2016 USD USD Cash 4,708,801 11,539,131 Time deposits 3,000,000 - Prepayments and prepaid expenses 87,070 85,879 Total Current Assets 7,795,871 11,625,010 Property, plant and equipment, net 145 211 Investment in and amounts due from subsidiaries 634,245,590 454,309,702 Total Assets 642,041,606 465,934,923 Other payables and accrued expenses 3,559,211 3,734,334 Income tax payable - current 3,223,229 - Total Current Liabilities 6,782,440 3,734,334 Income tax payable - non current 37,067,138 - Total Liabilities 43,849,578 3,734,334 Total Shareholders’ Equity 598,192,028 462,200,589 Total Liabilities and Shareholders’ Equity 642,041,606 465,934,923 For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Equity in income of subsidiaries 137,099,797 124,187,590 100,753,805 General and administrative expenses (28,879,890) (19,408,283) (10,693,991) Other income (expenses) 13,495 - (1,017,111) Earnings before income tax expense 108,233,402 104,779,307 89,042,703 Income tax expense 40,290,367 - - Net Income 67,943,035 104,779,307 89,042,703 For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Net cash used in operating activities (3,830,330) (2,400,188) (3,904,038) Net cash used in investing activities (3,000,000) - - Net cash provided by financing activities - - 15,192,269 Net (decrease) increase in cash (6,830,330) (2,400,188) 11,288,231 Cash at beginning of year 11,539,131 13,939,319 2,651,088 Cash at end of year 4,708,801 11,539,131 13,939,319 |
FOLLOW-ON OFFERING OF COMMON ST
FOLLOW-ON OFFERING OF COMMON STOCK | 12 Months Ended |
Dec. 31, 2017 | |
Follow on Offering of Common Stock [Abstract] | |
FOLLOW-ON OFFERING OF COMMON STOCK | NOTE 19 FOLLOW-ON OFFERING OF COMMON STOCK On June 15, 2015, the Company completed a follow-on offering of 3,450,000 105.00 805,000 105,000 2,645,000 345,000 80.6 |
CAPITAL WITHDRAWAL BY TWO FORME
CAPITAL WITHDRAWAL BY TWO FORMER NONCONTROLLING INTEREST SHAREHOLDRERS OF GUIZHOU TAIBANG | 12 Months Ended |
Dec. 31, 2017 | |
Redeemable Noncontrolling Interest, Equity, Redemption Value [Abstract] | |
CAPITAL WITHDRAWAL BY TWO FORMER NONCONTROLLING INTEREST SHAREHOLDRERS OF GUIZHOU TAIBANG | NOTE 20 CAPITAL WITHDRAWAL BY TWO FORMER NONCONTROLLING INTEREST SHAREHOLDRERS OF GUIZHOU TAIBANG On October 26, 2016, Guizhou Taibang completed the requisite legal and administrative procedures, through which two former minority shareholders, holding a combined 15.3 415,000,000 59,822,250 |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | NOTE 21 SUBSEQUENT EVENT On October 12, 2017, the Company entered into a definitive agreement with PW Medtech Group Limited (“PWM”), a company listed on the Stock Exchange of Hong Kong Limited, to acquire 80 5,521,000 80 20 The transaction will be accounted for under the acquisition method of accounting in accordance with ASC Topic 805, Business Combinations |
SUMMARY OF SIGNIFICANT ACCOUN28
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The accompanying consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), and include the financial statements of the Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated upon consolidation. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the useful lives of property, plant and equipment and intangibles with definite lives, the collectability of accounts receivable and loan receivable, the fair value determinations of stock compensation awards, the realizability of deferred income tax assets and inventories, the recoverability of intangible assets, land use rights, property, plant and equipment and equity method investment, and accruals for income tax uncertainties and other contingencies. The current economic environment has increased the degree of uncertainty inherent in those estimates and assumptions. |
Foreign Currency Translation | Foreign Currency Translation The accompanying consolidated financial statements of the Company are reported in US dollar. The financial position and results of operations of the Company’s subsidiaries in the PRC are measured using the Renminbi, which is the local and functional currency of these entities. Assets and liabilities of the subsidiaries are translated at the prevailing exchange rate in effect at each period end. Revenues and expenses are translated at the average rate of exchange during the period. Translation adjustments are included in other comprehensive income/(losses). |
Revenue Recognition | Revenue Recognition Revenue represents the invoiced amount of products sold, net of value added taxes (VAT). Revenue is recognized when persuasive evidence of an arrangement exists, delivery of the product has occurred and the customer takes ownership and assumes risk of loss, the sales price is fixed or determinable and collection of the relevant receivable is probable. The Company mainly sells human albumin and human immunoglobulin to hospitals, inoculation centers and pharmaceutical distributors. For all sales, the Company requires a signed contract or purchase order, which specify pricing, quantity and product specifications. Delivery of the product occurs when the customer receives the product, which is when the risks and rewards of ownership have been transferred. Delivery is evidenced by signed customer acknowledgement. The Company’s sales agreements do not provide the customer the right of return, unless the product is defective in which case the Company allows for an exchange of product or return. For the periods presented, defective product returns were inconsequential. |
Fair Value Measurements | Fair Value Measurements The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: • Level 1 Inputs: Unadjusted quoted prices for identical assets or liabilities in active markets accessible to the entity at the measurement date. • Level 2 Inputs: Other than quoted prices included in Level 1, inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. • Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. The fair value measurement level of an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. See Note 14 to the Consolidated Financial Statements. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash consists of cash on hand and demand deposits. The Company considers all highly liquid investments with original maturities of three-month or less at the time of purchase to be cash equivalents. Cash and cash equivalents at December 31, 2017 and 2016 include $ 135,728,697 98,022,000 December 31, 2017 December 31, 2016 USD USD PRC, excluding Hong Kong 214,157,592 171,539,309 U.S. 4,708,801 11,539,131 Total 218,866,393 183,078,440 |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are recorded at the invoiced amount and do not bear interest. Amounts collected on trade accounts receivable are included in cash provided by operating activities in the consolidated statements of cash flows. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable portfolio. In establishing the required allowance, management considers historical losses, the customers’ financial condition, the amount of accounts receivables in dispute, the accounts receivables aging and the customers’ payment patterns. The Company reviews its allowance for doubtful accounts monthly. Past due balances are reviewed individually for collectability. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined using the weighted average method. Cost of work-in-process and finished goods comprise direct materials, direct production costs and an allocation of production overheads based on normal operating capacity. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Adjustments are recorded to write down the carrying amount of any obsolete and excess inventory to its estimated net realizable value based on historical and forecasted demand. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at cost. Depreciation of property, plant and equipment attributable to manufacturing activities is capitalized as part of inventories, and recognized as cost of sales when the inventory is sold. Cost incurred in the construction of property, plant and equipment, including downpayments and progress payments, are initially capitalized as construction-in-progress and transferred into their respective asset categories when the assets are ready for their intended use, at which time depreciation commences. Buildings 30 Machinery and equipment 10 Furniture, fixtures, office equipment and vehicles 5 10 When items are retired or otherwise disposed of, income is charged or credited for the difference between net book value and the proceeds received thereon. Ordinary maintenance and repairs are charged to expense as incurred, and replacements and betterments are capitalized and amortized over the remaining useful life. |
Equity Method Investment | Investment in an investee in which the Company has the ability to exercise significant influence, but does not have a controlling interest is accounted for using the equity method. Significant influence is generally presumed to exist when the Company has an ownership interest in the voting stock between 20 50 1,252,387 1,179,637 |
Government Grants | Government Grants Government grants are recognized when there is reasonable assurance that the Company will comply with the conditions attaching to them and the grants will be received. Grants that compensate research and development expenses are recognized as a reduction to the related research and development expenses. Grants that compensate the Company for the cost of property, plant and equipment and land use rights are recognized as deferred income and are recognized as a reduction of depreciation and amortization during the useful life of the asset. For the year ended December 31, 2017, the Company received government grants of RMB 2,405,210 368,093 For the year ended December 31, 2016, the Company received government grants of RMB 5,056,361 728,874 For the year ended December 31, 2015, the Company received government grants of RMB 15,000,000 2,452,864 222,143 410,369 118,751 7,280,600 1,188,907 For the year ended December 31, 2012, the Company received government grants of RMB 18,350,000 2,989,215 271,754 276,388 297,434 |
Land Use Rights | Land Use Rights Land use rights represent the exclusive right to occupy and use a piece of land in the PRC for a specified contractual term. Land use rights are carried at cost, less accumulated amortization. Amortization is calculated using the straight-line method over the contractual period of the rights ranging from 40 50 |
Research and Development Expenses | Research and Development Expenses Research and development costs are expensed as incurred. Research and development expenses for the years ended December 31, 2017, 2016 and 2015 were $ 6,503,712 7,021,992 6,024,368 |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax loss and tax credit carryforwards. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in the consolidated statements of comprehensive income in the period that includes the enactment date. A valuation allowance is provided to reduce the amount of deferred income tax assets if it is considered more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest related to unrecognized tax benefits in interest expense and penalties in general and administrative expenses. |
Employee Benefit Plans | Employee Benefit Plans Pursuant to relevant PRC regulations, the Company is required to make contributions to various defined contribution plans organized by municipal and provincial PRC governments. The contributions are made for each PRC employee at rates ranging from 25 43 3,763,276 3,258,629 2,981,962 The Company has no other obligation for the payment of employee benefits associated with these plans beyond the contributions described above. |
Share-based Payment | Share-based Payment The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award and recognizes the cost over the period the employee is required to provide service in exchange for the award, which generally is the vesting period. For graded vesting awards, the Company recognizes compensation cost on a straight-line basis over the requisite service period for the entire award, provided that the cumulative amount of compensation cost recognized at any date at least equals the portion of the grant-date value of such award that is vested at that date. |
Long-lived Assets | Long-lived Assets Long-lived assets, including property, plant and equipment, land use rights and purchased intangible asset subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by that asset or asset group to its carrying value. If the carrying value of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. |
Recently Issued Accounting Standards | In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) Deferral of the Effective Date In July 2015, the FASB issued ASU No.2015-11, Simplifying the Measurement of Inventory In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Classification of Certain Cash Receipts and Cash Payments, In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. Effective January 1, 2017, on a retrospective basis, the Company adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740). 4,625,996 Effective January 1, 2017, the Company adopted the FASB ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. 621,381 In January 2017, the FASB issued ASU 2017-01, Clarifying the Definition of a Business. |
SUMMARY OF SIGNIFICANT ACCOUN29
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of cash at banks | As of December 31, 2017 and 2016, the Company maintained cash and cash equivalents at banks in the following locations: December 31, 2017 December 31, 2016 USD USD PRC, excluding Hong Kong 214,157,592 171,539,309 U.S. 4,708,801 11,539,131 Total 218,866,393 183,078,440 |
Schedule of estimated useful lives of the assets | Depreciation on property, plant and equipment is calculated on the straight-line method over the estimated useful lives of the assets. Estimated useful lives of the assets are as follows: Buildings 30 Machinery and equipment 10 Furniture, fixtures, office equipment and vehicles 5 10 |
ACCOUNTS RECEIVABLE (Tables)
ACCOUNTS RECEIVABLE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
SCHEDULE OF ACCOUNTS RECEIVABLE | Accounts receivable at December 31, 2017 and 2016 consisted of the following: December 31, 2017 December 31, 2016 USD USD Accounts receivable 77,858,266 34,452,392 Less: Allowance for doubtful accounts (590,991) (533,596) Total 77,267,275 33,918,796 |
Accounts Receivable [Member] | |
SCHEDULE OF ACTIVITIES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS | The activity in the allowance for doubtful accounts accounts receivable for the years ended December 31, 2017, 2016 and 2015 are as follows: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 533,596 443,624 433,948 Provisions 23,783 123,239 34,902 Foreign currency translation adjustment 33,612 (33,267) (25,226) Ending balance 590,991 533,596 443,624 |
PREPAYMENTS AND OTHER CURRENT31
PREPAYMENTS AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Receivables And Prepayments [Member] | |
Prepayments And Other Current Assets [Line Items] | |
SCHEDULE OF ACTIVITIES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS | The activity in the allowance for doubtful accounts prepayments and other receivables for the years ended December 31, 2017, 2016 and 2015 are as follows: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 4,671,896 4,924,063 5,207,840 Provisions - 65,341 788 Foreign currency translation adjustment 288,124 (317,508) (284,565) Ending balance 4,960,020 4,671,896 4,924,063 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
SCHEDULE OF INVENTORIES | Inventories at December 31, 2017 and 2016 consisted of the following: December 31, 2017 December 31, 2016 USD USD Raw materials 107,651,325 80,781,903 Work-in-process 42,202,306 24,994,839 Finished goods 59,717,204 50,635,932 Total 209,570,835 156,412,674 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT | Property, plant and equipment at December 31, 2017 and 2016 consisted of the following: December 31, 2017 December 31, 2016 USD USD Buildings 41,669,081 34,131,032 Machinery and equipment 41,102,242 52,467,764 Furniture, fixtures, office equipment and vehicles 9,980,062 7,843,567 Total property, plant and equipment, gross 92,751,385 94,442,363 Accumulated depreciation (33,862,836) (39,315,011) Total property, plant and equipment, net 58,888,549 55,127,352 Construction in progress 105,226,787 61,825,470 Prepayment for property, plant and equipment 2,697,413 15,139,101 Property, plant and equipment, net 166,812,749 132,091,923 |
OTHER PAYABLES AND ACCRUED EX34
OTHER PAYABLES AND ACCRUED EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Payables and Accruals [Abstract] | |
SCHEDULE OF OTHER PAYABLES AND ACCRUED EXPENSES | Other payables and accrued expenses at December 31, 2017 and 2016 consisted of the following: December 31, 2017 December 31, 2016 USD USD Payables to a potential investor (1) $ 8,679,073 7,941,013 Salaries and bonuses payable 19,770,025 16,740,846 Accruals for sales promotion fee 19,346,659 4,391,160 Dividends payable to noncontrolling interest (2) - 7,952,467 Payables for construction work 9,135,810 5,364,441 Other tax payables 2,891,714 1,918,248 Advance from customers 2,425,975 3,976,832 Deposits received 6,662,705 4,640,244 Others 6,915,903 6,872,894 Total $ 75,827,864 59,798,145 (1) The payables to a potential investor comprises deposits received from a potential investor in the amount of $ 5,227,846 4,924,164 3,451,227 3,016,849 (2) In March and July 2017, Shandong Taibang declared a cash dividend distribution amounting RMB 220,000,000 31,955,000 200,000,000 29,994,000 37,928,000 5,509,042 34,480,000 5,170,966 |
INCOME TAX (Tables)
INCOME TAX (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
SCHEDULE OF EARNINGS (LOSSES) BEFORE INCOME TAXES BY JURISDICTIONS | The components of earnings (losses) before income tax expense by jurisdictions are as follows: For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD PRC, excluding Hong Kong 171,787,763 170,830,607 147,580,488 U.S. (28,866,395) (19,408,283) (11,711,102) BVI 3,488,680 2,498,629 (1,336,183) Hong Kong (2,280) (1,712) 565,228 Total 146,407,768 153,919,241 135,098,431 |
SCHEDULE OF INCOME TAX EXPENSE | Income tax expense for the years ended December 31, 2017, 2016 and 2015 represents current income tax expense and deferred income tax benefit: For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD Current income tax expense 67,424,325 28,132,361 21,163,258 Deferred income tax benefit (3,252,516) (3,006,541) (170,345) Total income tax expense 64,171,809 25,125,820 20,992,913 |
SCHEDULE OF RECONCILIATION OF INCOME TAX EXPENSE | The effective income tax rate based on income tax expense and earnings before income taxes reported in the consolidated statements of comprehensive income differs from the PRC statutory income tax rate of 25% due to the following: For the Years Ended December 31, December 31, December 31, 2017 2016 2015 (in percentage to earnings before income tax expense) PRC statutory income tax rate 25.0 % 25.0 % 25.0 % Non-deductible expenses: Share-based compensation 3.7 % - 1.3 % Others 1.1 % 1.6 % 0.1 % Tax rate differential (0.9) % (3.6) % - Effect of PRC preferential tax rate (11.1) % (10.9) % (10.5) % Bonus deduction on research and development expenses (1.5) % (1.5) % (1.5) % Change in valuation allowance (0.6) % 5.3 % 1.3 % Repatriation tax 29.4 % - - Tax effect of equity method investment (0.6) % 0.4 % (0.2) % Excess tax benefits from stock option exercises (0.7) % - - Effective income tax rate 43.8 % 16.3 % 15.5 % |
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES | As of December 31, 2017 and 2016, significant temporary differences between the tax basis and financial statement basis of assets and liabilities that gave rise to deferred taxes were principally related to the following: December 31, 2017 December 31, 2016 USD USD Deferred income tax assets arising from: -Accrued expenses 6,558,359 3,954,375 -Deferred income 258,255 275,687 -Property, Plant and Equipment 1,210,006 257,550 -Other non-current assets 146,918 138,384 -Tax loss carryforwards 5,031,657 27,783,051 Gross deferred income tax assets 13,205,195 32,409,047 Less: valuation allowance (5,031,657) (26,629,179) Net deferred income tax assets 8,173,538 5,779,868 Deferred income tax liabilities arising from: - Intangible assets (148,467) (235,217) - Equity method investment - (1,153,872) - Dividend withholding tax (6,085,290) (6,085,290) Deferred income tax liabilities (6,233,757) (7,474,379) Classification on consolidated balance sheets: Deferred income tax assets, included in other non-current assets 8,173,538 4,625,996 Deferred income tax liabilities, included in other liabilities (6,233,757) (6,320,507) |
SUMMARY OF VALUATION ALLOWANCE FOR DEFERRED TAX ASSETS | The following table presents the movement of the valuation allowance for deferred tax assets for the years ended December 31, 2017, 2016 and 2015: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Beginning balance 26,629,179 8,160,611 6,661,139 Addition (deduction) during the year (21,927,117) 18,676,456 1,703,771 Foreign currency translation adjustment 329,595 (207,888) (204,299) Ending balance 5,031,657 26,629,179 8,160,611 |
OPTIONS AND NONVESTED SHARES (T
OPTIONS AND NONVESTED SHARES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Options and Nonvested Shares [Abstract] | |
SCHEDULE OF STOCK OPTIONS ACTIVITY | Weighted Weighted Average Remaining Number of Exercise Contractual Aggregate Options Price Term in years Intrinsic Value USD USD Outstanding as of January 1, 2015 1,432,454 10.16 6.53 81,753,119 Granted - - Exercised (780,557) 9.92 (68,089,712) Forfeited and expired - - Outstanding as of December 31, 2015 651,897 10.44 5.24 86,064,461 Granted - Exercised (337,406) 10.55 (35,180,367) Forfeited and expired - - Outstanding as of December 31, 2016 314,491 10.32 3.84 30,568,083 Granted - - Exercised (85,242) 10.18 (7,868,258) Forfeited and expired - - Outstanding as of December 31, 2017 229,249 10.37 2.61 15,168,276 Vested as of December 31, 2017 229,249 10.37 2.61 15,168,276 Exercisable as of December 31, 2017 229,249 10.37 2.61 15,168,276 |
SCHEDULE OF NONVESTED SHARES ACTIVITY | A summary of nonvested shares activity for the year ended December 31, 2017, 2016 and 2015 is as follow: Number of Grant date weighted nonvested shares average fair value USD Outstanding as of January 1, 2015 552,125 37.78 Granted 313,100 120.62 Vested (188,625) 34.78 Forfeited (7,500) 28.80 Outstanding as of December 31, 2015 669,100 77.49 Granted 511,200 119.75 Vested (255,150) 66.04 Forfeited (12,500) 66.74 Outstanding as of December 31, 2016 912,650 104.51 Granted 356,150 89.94 Vested (353,694) 91.32 Forfeited (1,080) 98.20 Outstanding as of December 31, 2017 914,026 103.95 |
SALES (Tables)
SALES (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Sales Disclosure [Abstract] | |
SCHEDULE OF SALES BY PRODUCT TYPE | The Company’s sales by product categories for the years ended December 31, 2017, 2016 and 2015 are as follows: For the Years Ended December 31, December 31, December 31, USD USD USD Human Albumin 132,498,791 133,712,663 111,422,258 Immunoglobulin products: Human Immunoglobulin for Intravenous Injection 117,511,797 117,891,410 125,136,104 Other Immunoglobulin products 50,147,328 40,105,561 22,518,554 Placenta Polypeptide 49,199,288 32,178,681 27,194,800 Others 21,049,636 17,281,111 10,186,186 Total 370,406,840 341,169,426 296,457,902 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Net Income Loss Per Share Disclosure [Abstract] | |
SCHEDULE OF EPS - BASIC AND DILUTED | The following table sets forth the computation of basic and diluted For the Years Ended December 31, December 31, December 31, 2017 2016 2015 USD USD USD Net income attributable to China Biologic Products Holdings, Inc. 67,943,035 104,779,307 89,042,703 Earnings allocated to participating nonvested shares (2,188,633) (2,987,429) (2,070,762) Net income used in basic and diluted earnings per ordinary share 65,754,402 101,791,878 86,971,941 Weighted average shares used in computing basic earnings per ordinary share 27,361,561 26,848,445 25,599,153 Diluted effect of stock option 244,062 400,699 968,213 Weighted average shares used in computing diluted earnings per ordinary share 27,605,623 27,249,144 26,567,366 Basic earnings per ordinary share 2.40 3.79 3.40 Diluted earnings per ordinary share 2.38 3.74 3.27 |
CHINA BIOLOGIC PRODUCTS HOLDI39
CHINA BIOLOGIC PRODUCTS HOLDINGS, INC. (PARENT COMPANY) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
CONDENSED BALANCE SHEETS | Condensed Balance Sheets: December 31, 2017 December 31, 2016 USD USD Cash 4,708,801 11,539,131 Time deposits 3,000,000 - Prepayments and prepaid expenses 87,070 85,879 Total Current Assets 7,795,871 11,625,010 Property, plant and equipment, net 145 211 Investment in and amounts due from subsidiaries 634,245,590 454,309,702 Total Assets 642,041,606 465,934,923 Other payables and accrued expenses 3,559,211 3,734,334 Income tax payable - current 3,223,229 - Total Current Liabilities 6,782,440 3,734,334 Income tax payable - non current 37,067,138 - Total Liabilities 43,849,578 3,734,334 Total Shareholders’ Equity 598,192,028 462,200,589 Total Liabilities and Shareholders’ Equity 642,041,606 465,934,923 |
CONDENSED STATEMENTS OF COMPREHENSIVE INCOME | Condensed Statements of Comprehensive Income: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Equity in income of subsidiaries 137,099,797 124,187,590 100,753,805 General and administrative expenses (28,879,890) (19,408,283) (10,693,991) Other income (expenses) 13,495 - (1,017,111) Earnings before income tax expense 108,233,402 104,779,307 89,042,703 Income tax expense 40,290,367 - - Net Income 67,943,035 104,779,307 89,042,703 |
CONDENSED STATEMENTS OF CASH FLOWS | Condensed Statements of Cash Flows: For the Years Ended December 31, 2017 December 31, 2016 December 31, 2015 USD USD USD Net cash used in operating activities (3,830,330) (2,400,188) (3,904,038) Net cash used in investing activities (3,000,000) - - Net cash provided by financing activities - - 15,192,269 Net (decrease) increase in cash (6,830,330) (2,400,188) 11,288,231 Cash at beginning of year 11,539,131 13,939,319 2,651,088 Cash at end of year 4,708,801 11,539,131 13,939,319 |
DESCRIPTION OF BUSINESS AND S40
DESCRIPTION OF BUSINESS AND SIGNIFICANT CONCENTRATIONS AND RISKS (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015 | |
Basis Of Presentation Significant Concentration And Risk [Line Items] | |||
Total cash at banks and deposits including insured amount | $ 241,761,593 | $ 183,078,440 | |
Cash, Insured Amount | $ 2,577,139 | $ 2,744,704 | |
Customers that individually comprised 10% or more of the total sales | 0 | 0 | 0 |
Suppliers that comprised 10% or more of the total purchases | 1 | 1 | 1 |
Customers represented 10% or more of trade receivables | 0 | 0 | |
Suppliers that represented more than 10% of accounts payables | 1 | 1 | |
Human Albumin [Member] | |||
Basis Of Presentation Significant Concentration And Risk [Line Items] | |||
Major product sales percentage | 35.80% | 39.20% | 37.60% |
Human Immunoglobulin For Intravenous Injection [Member] | |||
Basis Of Presentation Significant Concentration And Risk [Line Items] | |||
Major product sales percentage | 31.70% | 34.60% | 42.20% |
SUMMARY OF SIGNIFICANT ACCOUN41
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) | 12 Months Ended | |||||||
Dec. 31, 2017USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016USD ($) | Dec. 31, 2016CNY (¥) | Dec. 31, 2015USD ($) | Dec. 31, 2015CNY (¥) | Dec. 31, 2012USD ($) | Dec. 31, 2012CNY (¥) | |
Significant Accounting Policies [Line Items] | ||||||||
Certificates of deposit | $ 135,728,697 | $ 98,022,000 | ||||||
Research and development expenses | 6,503,712 | 7,021,992 | $ 6,024,368 | |||||
Deferred Tax Assets, Net, Noncurrent | 8,173,538 | 4,625,996 | ||||||
Equity Method Investment, Difference Between Carrying Amount and Underlying Equity | 1,252,387 | 1,179,637 | ||||||
Defined Contribution Plan, Employer Discretionary Contribution Amount | 3,763,276 | 3,258,629 | 2,981,962 | |||||
Excess Tax Benefit from Share-based Compensation, Operating Activities | 0 | 2,613,831 | 1,518,702 | |||||
Accounting Standards Update 2015-17 [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Deferred Tax Assets, Net, Noncurrent | 4,625,996 | |||||||
Accounting Standards Update 2016-09 [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Excess Tax Benefit from Share-based Compensation, Operating Activities | 621,381 | |||||||
Guizhou Taibang [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Grants received | $ 2,989,215 | ¥ 18,350,000 | ||||||
Grants amortized amount | 271,754 | 276,388 | 297,434 | |||||
Shandong Taibang [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Grants received | 2,452,864 | ¥ 15,000,000 | ||||||
Grants amortized amount | 222,143 | 410,369 | 118,751 | |||||
Research and Development Expense [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Grants received | $ 368,093 | ¥ 2,405,210 | $ 728,874 | ¥ 5,056,361 | $ 1,188,907 | ¥ 7,280,600 | ||
Minimum [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Equity method investment percentage | 20.00% | |||||||
Contractual period of rights | 40 years | 40 years | ||||||
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 25.00% | 25.00% | ||||||
Maximum [Member] | ||||||||
Significant Accounting Policies [Line Items] | ||||||||
Equity method investment percentage | 50.00% | |||||||
Contractual period of rights | 50 years | 50 years | ||||||
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 43.00% | 43.00% |
SUMMARY OF SIGNIFICANT ACCOUN42
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule Of Cash And Cash Equivalents) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents at banks | $ 218,866,393 | $ 183,078,440 |
United States of America, Dollars | ||
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents at banks | 4,708,801 | 11,539,131 |
PRC Excluding Hong Kong [Member] | ||
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents at banks | $ 214,157,592 | $ 171,539,309 |
SUMMARY OF SIGNIFICANT ACCOUN43
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule Of Estimated Useful Lives Of The Assets) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Building [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Machinery and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
ACCOUNTS RECEIVABLE (Schedule O
ACCOUNTS RECEIVABLE (Schedule Of Accounts Receivable) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | $ 77,858,266 | $ 34,452,392 |
Less: Allowance for doubtful accounts | (590,991) | (533,596) |
Total | $ 77,267,275 | $ 33,918,796 |
ACCOUNTS RECEIVABLE (Schedule45
ACCOUNTS RECEIVABLE (Schedule Of Activity in the Allowance for Doubtful Accounts) (Details) - Accounts Receivable [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Beginning balance | $ 533,596 | $ 443,624 | $ 433,948 |
Provisions | 23,783 | 123,239 | 34,902 |
Foreign currency translation adjustment | 33,612 | (33,267) | (25,226) |
Ending balance | $ 590,991 | $ 533,596 | $ 443,624 |
PREPAYMENTS AND OTHER CURRENT46
PREPAYMENTS AND OTHER CURRENT ASSETS (Schedule of activities in allowance for doubtful accounts) (Details) - Other Receivables And Prepayments [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Beginning balance | $ 4,671,896 | $ 4,924,063 | $ 5,207,840 |
Provisions | 0 | 65,341 | 788 |
Foreign currency translation adjustment | 288,124 | (317,508) | (284,565) |
Ending balance | $ 4,960,020 | $ 4,671,896 | $ 4,924,063 |
PREPAYMENTS AND OTHER CURRENT47
PREPAYMENTS AND OTHER CURRENT ASSETS (Narrative) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Other Receivables | $ 10,412,739 | $ 10,117,032 |
Prepaid Expense | $ 4,886,604 | $ 2,921,069 |
INVENTORIES (Schedule Of Invent
INVENTORIES (Schedule Of Inventories) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Inventory [Line Items] | ||
Raw materials | $ 107,651,325 | $ 80,781,903 |
Work-in-process | 42,202,306 | 24,994,839 |
Finished goods | 59,717,204 | 50,635,932 |
Total | $ 209,570,835 | $ 156,412,674 |
INVENTORIES (Narrative) (Detail
INVENTORIES (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Inventory Write-down | $ 0 | $ 256,862 | $ 76,587 |
PROPERTY, PLANT AND EQUIPMENT50
PROPERTY, PLANT AND EQUIPMENT (Schedule Of Property Plant And Equipment) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | $ 92,751,385 | $ 94,442,363 |
Accumulated depreciation | (33,862,836) | (39,315,011) |
Total property, plant and equipment, net | 58,888,549 | 55,127,352 |
Construction in progress | 105,226,787 | 61,825,470 |
Prepayment for property, plant and equipment | 2,697,413 | 15,139,101 |
Property, plant and equipment, net | 166,812,749 | 132,091,923 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | 41,669,081 | 34,131,032 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | 41,102,242 | 52,467,764 |
Furniture, Fixtures, Office Equipment and Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | $ 9,980,062 | $ 7,843,567 |
PROPERTY, PLANT AND EQUIPMENT51
PROPERTY, PLANT AND EQUIPMENT (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Depreciation expense | $ 11,691,731 | $ 11,962,983 | $ 8,179,376 |
Gain (Loss) on Disposition of Assets, Total | (3,228,845) | $ (293,098) | $ (3,024,830) |
Shandong Taibang Biological Products Co., Ltd [Member] | |||
Gain (Loss) on Disposition of Property Plant Equipment | $ (3,228,845) |
EQUITY METHOD INVESTMENT (Narra
EQUITY METHOD INVESTMENT (Narrative) (Details) | Dec. 31, 2017 | Dec. 31, 2016 |
Xian Huitian Blood Products Co., Ltd [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investment, Ownership Percentage | 35.00% | 35.00% |
LOAN RECEIVABLE (Narrative) (De
LOAN RECEIVABLE (Narrative) (Details) | 1 Months Ended | 12 Months Ended | |||
Aug. 31, 2015USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Aug. 31, 2015CNY (¥) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Interest income | $ 7,623,624 | $ 7,815,780 | $ 5,551,105 | ||
Xinjiang Deyuan [Member] | Long-term Debt [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Cooperation Agreement Loan Principal Amount | $ 45,912,000 | ¥ 300,000,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.00% | 6.00% | |||
Debt Instrument, Maturity Date | Jul. 31, 2018 | ||||
Debt Instrument, Collateral | Deyuan Shareholders 58.02% equity interest in Xinjiang Deyuan. | ||||
Interest income | $ 2,514,936 | 2,661,700 | $ 496,170 | ||
Interest Receivable Offset By Accounts Payable For The Purchase Of Plasma From Xinjiang Deyuan | 675,933 | ||||
Proceeds from Interest Received | $ 2,514,936 | $ 1,985,767 |
SHORT-TERM BANK LOANS (Narrativ
SHORT-TERM BANK LOANS (Narrative) (Details) - Unsecured Debt [Member] | 1 Months Ended | |||
Apr. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Apr. 30, 2017CNY (¥) | Mar. 31, 2017CNY (¥) | |
Bank Of China [Member] | ||||
Short-term Debt, Interest Rate, Stated Percentage | 4.5675% | 4.5675% | ||
Short-term Debt,Maturity Date | Mar. 21, 2018 | |||
Short-term Debt | $ 8,715,000 | ¥ 60,000,000 | ||
Short Term Debt, Repaid Date | May 31, 2017 | |||
China Everbright Bank [Member] | ||||
Short-term Debt, Interest Rate, Stated Percentage | 4.35% | 4.35% | ||
Short-term Debt,Maturity Date | Mar. 31, 2018 | |||
Short-term Debt | $ 14,465,780 | ¥ 98,000,000 | ||
Short Term Debt, Repaid Date | Jul. 31, 2017 |
OTHER PAYABLES AND ACCRUED EX55
OTHER PAYABLES AND ACCRUED EXPENSES (Schedule Of Other Payables And Accrued Expenses) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounts Payable And Accrued Liabilities [Line Items] | |||
Payables to a potential investor | [1] | $ 8,679,073 | $ 7,941,013 |
Salaries and bonuses payable | 19,770,025 | 16,740,846 | |
Accruals for sales promotion fee | 19,346,659 | 4,391,160 | |
Dividends payable to noncontrolling interest | [2] | 0 | 7,952,467 |
Payables for construction work | 9,135,810 | 5,364,441 | |
Other tax payables | 2,891,714 | 1,918,248 | |
Advance from customers | 2,425,975 | 3,976,832 | |
Deposits received | 6,662,705 | 4,640,244 | |
Others | 6,915,903 | 6,872,894 | |
Total | $ 75,827,864 | $ 59,798,145 | |
[1] | The payables to a potential investor comprises deposits received from a potential investor in the amount of $5,227,846 and $4,924,164 as of December 31, 2017 and 2016, respectively, and related interest plus penalty on these deposits totaling $3,451,227 and $3,016,849 as of December 31, 2017 and 2016, respectively. | ||
[2] | In March and July 2017, Shandong Taibang declared a cash dividend distribution amounting RMB220,000,000 (approximately $31,955,000) and RMB200,000,000 (approximately $29,994,000), of which RMB37,928,000 (approximately $5,509,042) and RMB34,480,000 (approximately $5,170,966) represented the dividends payable to a noncontrolling interest shareholder. In August 2017, all dividends payable balance was fully paid to the noncontrolling interest shareholder. |
OTHER PAYABLES AND ACCRUED EX56
OTHER PAYABLES AND ACCRUED EXPENSES (Narrative) (Details) | Dec. 31, 2017USD ($) | Jul. 31, 2017USD ($) | Jul. 31, 2017CNY (¥) | Mar. 31, 2017USD ($) | Mar. 31, 2017CNY (¥) | Dec. 31, 2016USD ($) | |
Accounts Payable And Accrued Liabilities [Line Items] | |||||||
Dividends Payable | [1] | $ 0 | $ 7,952,467 | ||||
Shandong Taibang [Member] | |||||||
Accounts Payable And Accrued Liabilities [Line Items] | |||||||
Dividends Payable | $ 29,994,000 | ¥ 200,000,000 | $ 31,955,000 | ¥ 220,000,000 | |||
Shandong Taibang [Member] | Noncontrolling Interest [Member] | |||||||
Accounts Payable And Accrued Liabilities [Line Items] | |||||||
Dividends Payable | $ 5,170,966 | ¥ 34,480,000 | $ 5,509,042 | ¥ 37,928,000 | |||
Potential Investors [Member] | |||||||
Accounts Payable And Accrued Liabilities [Line Items] | |||||||
Deposits received from a potential investor | 5,227,846 | 4,924,164 | |||||
Interest plus penalty on these deposits | $ 3,451,227 | $ 3,016,849 | |||||
[1] | In March and July 2017, Shandong Taibang declared a cash dividend distribution amounting RMB220,000,000 (approximately $31,955,000) and RMB200,000,000 (approximately $29,994,000), of which RMB37,928,000 (approximately $5,509,042) and RMB34,480,000 (approximately $5,170,966) represented the dividends payable to a noncontrolling interest shareholder. In August 2017, all dividends payable balance was fully paid to the noncontrolling interest shareholder. |
INCOME TAX (Narrative) (Details
INCOME TAX (Narrative) (Details) | 1 Months Ended | 12 Months Ended | 36 Months Ended | 120 Months Ended | |||||||
Dec. 22, 2017USD ($) | Jan. 31, 2008 | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016CNY (¥) | Dec. 31, 2015USD ($) | Dec. 31, 2019 | Dec. 31, 2016USD ($) | Dec. 31, 2020 | Dec. 31, 2017CNY (¥) | Dec. 31, 2014USD ($) | |
Deferred tax assets for tax loss carryforwards | $ 5,031,657 | $ 27,783,051 | $ 27,783,051 | ||||||||
Deferred Tax Assets, Valuation Allowance | 5,031,657 | 26,629,179 | $ 8,160,611 | 26,629,179 | $ 6,661,139 | ||||||
Subject to withholding tax at 10%, unless reduced by tax treaties | 10.00% | ||||||||||
Deferred tax liabilities on undistributed earnings | 7,351,023 | ||||||||||
Underpayment of taxes | 15,304 | ¥ 100,000 | |||||||||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | $ 40,300,000 | ||||||||||
Taibang Holdings [Member] | |||||||||||
Deferred Tax Liabilities, Reversed Amount | 1,265,733 | $ 1,265,733 | |||||||||
Shandong Taibang Biological Products Co., Ltd [Member] | |||||||||||
Preferential tax rate | 15.00% | ||||||||||
Undistributed earnings | $ 74,000,000 | ||||||||||
Distributed Earnings | $ 11,929,854 | ¥ 82,760,000 | |||||||||
Shandong Taibang Biological Products Co., Ltd [Member] | Scenario, Forecast [Member] | |||||||||||
Preferential tax rate | 15.00% | ||||||||||
Guizhou Taibang Biological Products Co., Ltd [Member] | Scenario, Forecast [Member] | |||||||||||
Income Tax Rate | 15.00% | ||||||||||
PRC [Member] | |||||||||||
Income Tax Rate | 25.00% | ||||||||||
The United States of America [Member] | |||||||||||
Income Tax Rate | 35.00% | ||||||||||
U.S. federal income tax | 34.00% | ||||||||||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | $ 40,300,000 | ||||||||||
Hong Kong [Member] | |||||||||||
Income Tax Rate | 16.50% | 16.50% | 16.50% | 16.50% | |||||||
PRC subsidiaries [Member] | |||||||||||
Deferred tax assets for tax loss carryforwards | $ 5,031,657 | ||||||||||
Tax loss carryforwards | 20,126,629 | ||||||||||
Deferred Tax Assets, Valuation Allowance | 5,031,657 | $ 6,139,906 | $ 6,139,906 | ||||||||
Undistributed earnings | 550,000,000 | ||||||||||
PRC subsidiaries [Member] | 2018 [Member] | |||||||||||
Tax loss carryforwards expiring | 5,019,226 | ||||||||||
PRC subsidiaries [Member] | 2019 [Member] | |||||||||||
Tax loss carryforwards expiring | 5,048,268 | ||||||||||
PRC subsidiaries [Member] | 2020 [Member] | |||||||||||
Tax loss carryforwards expiring | 4,416,172 | ||||||||||
PRC subsidiaries [Member] | 2021 [Member] | |||||||||||
Tax loss carryforwards expiring | 4,878,108 | ||||||||||
PRC subsidiaries [Member] | 2022 [Member] | |||||||||||
Tax loss carryforwards expiring | $ 764,855 |
SCHEDULE OF EARNINGS (LOSSES) B
SCHEDULE OF EARNINGS (LOSSES) BEFORE INCOME TAXES BY JURISDICTIONS (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
PRC, excluding Hong Kong | $ 171,787,763 | $ 170,830,607 | $ 147,580,488 |
U.S. | (28,866,395) | (19,408,283) | (11,711,102) |
BVI | 3,488,680 | 2,498,629 | (1,336,183) |
Hong Kong | (2,280) | (1,712) | 565,228 |
Total | $ 146,407,768 | $ 153,919,241 | $ 135,098,431 |
SCHEDULE OF INCOME TAX EXPENSE
SCHEDULE OF INCOME TAX EXPENSE (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current income tax expense | $ 67,424,325 | $ 28,132,361 | $ 21,163,258 |
Deferred income tax benefit | (3,252,516) | (3,006,541) | (170,345) |
Total income tax expense | $ 64,171,809 | $ 25,125,820 | $ 20,992,913 |
SCHEDULE OF RECONCILIATION OF I
SCHEDULE OF RECONCILIATION OF INCOME TAX EXPENSE (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
PRC statutory income tax rate | 25.00% | 25.00% | 25.00% |
Non-deductible expenses: | |||
Share-based compensation | 3.70% | 0.00% | 1.30% |
Others | 1.10% | 1.60% | 0.10% |
Tax rate differential | (0.90%) | (3.60%) | 0.00% |
Effect of PRC preferential tax rate | (11.10%) | (10.90%) | (10.50%) |
Bonus deduction on research and development expenses | (1.50%) | (1.50%) | (1.50%) |
Change in valuation allowance | (0.60%) | 5.30% | 1.30% |
Repatriation tax | 29.40% | 0.00% | 0.00% |
Tax effect of equity method investment | (0.60%) | 0.40% | (0.20%) |
Excess tax benefits from stock option exercises | (0.70%) | 0.00% | 0.00% |
Effective income tax rate | 43.80% | 16.30% | 15.50% |
SCHEDULE OF DEFERRED TAX ASSETS
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred income tax assets arising from: | ||
-Accrued expenses | $ 6,558,359 | $ 3,954,375 |
-Deferred income | 258,255 | 275,687 |
-Property, Plant and Equipment | 1,210,006 | 257,550 |
-Other non-current assets | 146,918 | 138,384 |
-Tax loss carryforwards | 5,031,657 | 27,783,051 |
Gross deferred income tax assets | 13,205,195 | 32,409,047 |
Less: valuation allowance | (5,031,657) | (26,629,179) |
Net deferred income tax assets | 8,173,538 | 5,779,868 |
Deferred income tax liabilities arising from: | ||
- Intangible assets | (148,467) | (235,217) |
- Equity method investment | 0 | (1,153,872) |
- Dividend withholding tax | (6,085,290) | (6,085,290) |
Deferred income tax liabilities | (6,233,757) | (7,474,379) |
Classification on consolidated balance sheets: | ||
Deferred income tax assets, included in other non-current assets | 8,173,538 | 4,625,996 |
Deferred income tax liabilities, included in other liabilities | $ (6,233,757) | $ (6,320,507) |
SUMMARY OF VALUATION ALLOWANCE
SUMMARY OF VALUATION ALLOWANCE FOR DEFERRED TAX ASSETS (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Beginning balance | $ 26,629,179 | $ 8,160,611 | $ 6,661,139 |
Addition (deduction) during the year | (21,927,117) | 18,676,456 | 1,703,771 |
Foreign currency translation adjustment | 329,595 | (207,888) | (204,299) |
Ending balance | $ 5,031,657 | $ 26,629,179 | $ 8,160,611 |
OPTIONS AND NONVESTED SHARES (N
OPTIONS AND NONVESTED SHARES (Narrative) (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
May 09, 2008 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Warrants and Options Disclosure [Line Items] | ||||
Stock compensation expense to be recognized with respect to non-vested shares | $ 79,691,474 | |||
Stock compensation expense with respect to non-vested shares weighted average vesting period | 2 years 7 months 24 days | |||
General and Administrative Expense [Member] | ||||
Warrants and Options Disclosure [Line Items] | ||||
Stock compensation expense with respect to stock options | $ 0 | $ 649,203 | $ 1,117,994 | |
Stock compensation expense with respect to nonvested shares | $ 33,903,283 | $ 23,756,308 | $ 10,996,278 | |
2008 Equity Incentive Plan [Member] | ||||
Warrants and Options Disclosure [Line Items] | ||||
Stock Incentive Option Granted Percentage | 10.00% | |||
Fair Value Market Exercise Price Percentage | 110.00% | |||
Options granted terms | 10 years |
SCHEDULE OF STOCK OPTIONS ACTIV
SCHEDULE OF STOCK OPTIONS ACTIVITY (Details) - Stock Option [Member] - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Options, Outstanding at beginning | 314,491 | 651,897 | 1,432,454 | |
Number of Options, Granted | 0 | 0 | 0 | |
Number of Options, Exercised | (85,242) | (337,406) | (780,557) | |
Number of Options, Forfeited and expired | 0 | 0 | 0 | |
Number of Options, Outstanding | 229,249 | 314,491 | 651,897 | 1,432,454 |
Number of Options, Vested | 229,249 | |||
Number of Options, Exercisable | 229,249 | |||
Weighted Average Exercise Price, Outstanding at beginning | $ 10.32 | $ 10.44 | $ 10.16 | |
Weighted Average Exercise Price, Granted | 0 | 0 | ||
Weighted Average Exercise Price, Exercised | 10.18 | 10.55 | 9.92 | |
Weighted Average Exercise Price, Forfeited and expired | 0 | 0 | 0 | |
Weighted Average Exercise Price, Outstanding | 10.37 | $ 10.32 | $ 10.44 | $ 10.16 |
Weighted Average Exercise Price, Vested | 10.37 | |||
Weighted Average Exercise Price, Exercisable | $ 10.37 | |||
Weighted Average Remaining Contractual Term in Years, Outstanding | 2 years 7 months 10 days | 3 years 10 months 2 days | 5 years 2 months 26 days | 6 years 6 months 11 days |
Weighted Average Remaining Contractual Term in Years, Vested | 2 years 7 months 10 days | |||
Weighted Average Remaining Contractual Term in Years, Exercisable | 2 years 7 months 10 days | |||
Aggregate Intrinsic Value, Outstanding at beginning | $ 30,568,083 | $ 86,064,461 | $ 81,753,119 | |
Aggregate Intrinsic Value, Exercised | (7,868,258) | (35,180,367) | (68,089,712) | |
Aggregate Intrinsic Value, Outstanding | 15,168,276 | $ 30,568,083 | $ 86,064,461 | $ 81,753,119 |
Aggregate Intrinsic Value, Vested | 15,168,276 | |||
Aggregate Intrinsic Value, Exercisable | $ 15,168,276 |
SCHEDULE OF NONVESTED SHARES AC
SCHEDULE OF NONVESTED SHARES ACTIVITY (Details) - Non Vested Shares [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of nonvested shares, Outstanding at beginning | 912,650 | 669,100 | 552,125 |
Number of nonvested shares, Granted | 356,150 | 511,200 | 313,100 |
Number of nonvested shares, Vested | (353,694) | (255,150) | (188,625) |
Number of nonvested shares, Forfeited | (1,080) | (12,500) | (7,500) |
Number of nonvested shares, Outstanding at ending | 914,026 | 912,650 | 669,100 |
Grant date weighted average fair value, Outstanding at beginning | $ 104.51 | $ 77.49 | $ 37.78 |
Grant date weighted average fair value, Granted | 89.94 | 119.75 | 120.62 |
Grant date weighted average fair value, Vested | 91.32 | 66.04 | 34.78 |
Grant date weighted average fair value, Forfeited | 98.2 | 66.74 | 28.80 |
Grant date weighted average fair value, Outstanding at ending | $ 103.95 | $ 104.51 | $ 77.49 |
STATUTORY RESERVES (Narrative)
STATUTORY RESERVES (Narrative) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Statutory Accounting Practices [Line Items] | ||
Allocate at least 10% of its after tax profits | 10.00% | 10.00% |
Until the reserve balance reaches 50% of respective registered capital | 50.00% | 50.00% |
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | $ 34,513,788 | $ 34,508,737 |
SCHEDULE OF SALES BY PRODUCT TY
SCHEDULE OF SALES BY PRODUCT TYPE (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Product Information [Line Items] | |||
Sales | $ 370,406,840 | $ 341,169,426 | $ 296,457,902 |
Human Albumin [Member] | |||
Product Information [Line Items] | |||
Sales | 132,498,791 | 133,712,663 | 111,422,258 |
Human Immunoglobulin For Intravenous Injection [Member] | |||
Product Information [Line Items] | |||
Sales | 117,511,797 | 117,891,410 | 125,136,104 |
Other Immunoglobulin Products [Member] | |||
Product Information [Line Items] | |||
Sales | 50,147,328 | 40,105,561 | 22,518,554 |
Placenta Polypeptide [Member] | |||
Product Information [Line Items] | |||
Sales | 49,199,288 | 32,178,681 | 27,194,800 |
Others [Member] | |||
Product Information [Line Items] | |||
Sales | $ 21,049,636 | $ 17,281,111 | $ 10,186,186 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Operating Lease [Member] | |
Operating Leases, Future Minimum Payments Due | $ 1.3 |
Plasma [Member] | |
Purchase commitment amount | 8.7 |
Capital Addition Purchase Commitments [Member] | |
Purchase commitment amount | $ 12.9 |
EARNINGS PER SHARE (Schedule Of
EARNINGS PER SHARE (Schedule Of Computation Of Basic And Diluted Net Income Per Share (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net income attributable to China Biologic Products Holdings, Inc. | $ 67,943,035 | $ 104,779,307 | $ 89,042,703 |
Earnings allocated to participating nonvested shares | (2,188,633) | (2,987,429) | (2,070,762) |
Net income used in basic and diluted earnings per ordinary share | $ 65,754,402 | $ 101,791,878 | $ 86,971,941 |
Weighted average shares used in computing basic earnings per ordinary share | 27,361,561 | 26,848,445 | 25,599,153 |
Diluted effect of stock option | 244,062 | 400,699 | 968,213 |
Weighted average shares used in computing diluted earnings per ordinary share | 27,605,623 | 27,249,144 | 26,567,366 |
Basic earnings per ordinary share | $ 2.40 | $ 3.79 | $ 3.4 |
Diluted earnings per ordinary share | $ 2.38 | $ 3.74 | $ 3.27 |
SCHEDULE OF CONDENSED BALANCE S
SCHEDULE OF CONDENSED BALANCE SHEETS (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Financial Information Disclosure [Line Items] | ||||
Cash | $ 219,336,848 | $ 183,765,533 | $ 144,937,893 | $ 80,820,224 |
Prepayments and prepaid expenses | 4,886,604 | 2,921,069 | ||
Total Current Assets | 593,121,611 | 389,417,916 | ||
Property, plant and equipment, net | 166,812,749 | 132,091,923 | ||
Total Assets | 809,057,417 | 604,957,509 | ||
Other payables and accrued expenses | 75,827,864 | 59,798,145 | ||
Income tax payable - current | 14,258,544 | 7,484,366 | ||
Total Current Liabilities | 97,635,317 | 73,441,112 | ||
Income tax payable - non current | 37,067,138 | 0 | ||
Total Liabilities | 144,732,420 | 83,820,686 | ||
Total Shareholders’ Equity | 598,192,028 | 462,200,589 | ||
Total Liabilities and Shareholders’ Equity | 809,057,417 | 604,957,509 | ||
Parent [Member] | ||||
Financial Information Disclosure [Line Items] | ||||
Cash | 4,708,801 | 11,539,131 | $ 13,939,319 | $ 2,651,088 |
Time Deposits | 3,000,000 | 0 | ||
Prepayments and prepaid expenses | 87,070 | 85,879 | ||
Total Current Assets | 7,795,871 | 11,625,010 | ||
Property, plant and equipment, net | 145 | 211 | ||
Investment in and amounts due from subsidiaries | 634,245,590 | 454,309,702 | ||
Total Assets | 642,041,606 | 465,934,923 | ||
Other payables and accrued expenses | 3,559,211 | 3,734,334 | ||
Income tax payable - current | 3,223,229 | 0 | ||
Total Current Liabilities | 6,782,440 | 3,734,334 | ||
Income tax payable - non current | 37,067,138 | 0 | ||
Total Liabilities | 43,849,578 | 3,734,334 | ||
Total Shareholders’ Equity | 598,192,028 | 462,200,589 | ||
Total Liabilities and Shareholders’ Equity | $ 642,041,606 | $ 465,934,923 |
SCHEDULE OF CONDENSED STATEMENT
SCHEDULE OF CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statements Of Comprehensive Income [Line Items] | |||
Equity in income (loss) of subsidiaries | $ 3,509,071 | $ 2,519,201 | $ (1,311,278) |
General and administrative expenses | (67,683,667) | (54,519,122) | (41,391,520) |
Earnings before income tax expense | 146,407,768 | 153,919,241 | 135,098,431 |
Income tax expense | (64,171,809) | (25,125,820) | (20,992,913) |
Net Income | 82,235,959 | 128,793,421 | 114,105,518 |
Parent [Member] | |||
Statements Of Comprehensive Income [Line Items] | |||
Equity in income (loss) of subsidiaries | 137,099,797 | 124,187,590 | 100,753,805 |
General and administrative expenses | (28,879,890) | (19,408,283) | (10,693,991) |
Other income (expenses) | 13,495 | 0 | (1,017,111) |
Earnings before income tax expense | 108,233,402 | 104,779,307 | 89,042,703 |
Income tax expense | 40,290,367 | 0 | 0 |
Net Income | $ 67,943,035 | $ 104,779,307 | $ 89,042,703 |
SCHEDULE OF CONDENSED STATEME72
SCHEDULE OF CONDENSED STATEMENTS OF CASH FLOWS (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | $ 102,183,885 | $ 123,258,611 | $ 109,392,000 |
Net cash used in investing activities | (60,895,217) | (52,520,361) | (89,755,807) |
Net cash provided by (used in) financing activities | (18,324,385) | (22,083,938) | 51,579,709 |
Net (decrease) increase in cash | 35,571,315 | 38,827,640 | 64,117,669 |
Cash and cash equivalents at beginning of year | 183,765,533 | 144,937,893 | 80,820,224 |
Cash and cash equivalents at end of year | 219,336,848 | 183,765,533 | 144,937,893 |
Parent [Member] | |||
Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | (3,830,330) | (2,400,188) | (3,904,038) |
Net cash used in investing activities | (3,000,000) | 0 | 0 |
Net cash provided by (used in) financing activities | 0 | 0 | 15,192,269 |
Net (decrease) increase in cash | (6,830,330) | (2,400,188) | 11,288,231 |
Cash and cash equivalents at beginning of year | 11,539,131 | 13,939,319 | 2,651,088 |
Cash and cash equivalents at end of year | $ 4,708,801 | $ 11,539,131 | $ 13,939,319 |
FOLLOW-ON OFFERING OF COMMON 73
FOLLOW-ON OFFERING OF COMMON STOCK (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jun. 15, 2015 | Jun. 30, 2015 |
Follow On Offering Of Common Stock [Line Items] | ||
Shares Of Common Stock That Is Offered To Sell | 3,450,000 | |
Shares price of additionally issued shares | $ 105 | |
Stock Issued During Period, Shares, Treasury Stock Reissued | 805,000 | |
Number Of Shares Sold By Stockholders | 2,645,000 | |
Purchase Option Of Additional Number Of Shares Of Common Stock From Company | 105,000 | |
Purchase Option Of Additional Number Of Shares Of Common Stock From Selling Stockholder | 345,000 | |
Proceeds from Issuance or Sale of Equity | $ 80.6 |
CAPITAL WITHDRAWAL BY TWO FOR74
CAPITAL WITHDRAWAL BY TWO FORMER NONCONTROLLING INTEREST SHAREHOLDRERS OF GUIZHOU TAIBANG (Narrative) (Details) - Dispute With Jiean Over Certain Capital Injection Into Guizhou Taibang [Member] | 1 Months Ended | |
Oct. 26, 2016USD ($) | Oct. 26, 2016CNY (¥) | |
Equity Method Investment, Ownership Percentage | 15.30% | 15.30% |
Consideration To Noncontrolling Interest Holders For Withdraw All Of Capital Contribution | $ 59,822,250 | ¥ 415,000,000 |
SUBSEQUENT EVENT (Details Textu
SUBSEQUENT EVENT (Details Textual) | Oct. 12, 2017shares |
Subsequent Event [Line Items] | |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 20.00% |
Business Acquisition, Percentage of Voting Interests Acquired | 80.00% |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 5,521,000 |
Hong Kong Limited [Member] | |
Subsequent Event [Line Items] | |
Equity Method Investment, Ownership Percentage | 80.00% |