CHINA NEW BORUN Corp

CIK:0001490366|SEC Filings

CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME	12 Months Ended
	Dec. 31, 2018 USD ($) $ / shares shares	Dec. 31, 2018 CNY (¥) ¥ / shares shares	Dec. 31, 2017 CNY (¥) ¥ / shares shares	Dec. 31, 2016 CNY (¥) ¥ / shares shares
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
Revenues	$ 262,256,112	¥ 1,803,881,198	¥ 2,140,871,979	¥ 2,132,680,185
Cost of goods sold	241,710,246	1,662,560,180	1,907,898,919	1,950,614,338
Gross profit	20,545,866	141,321,018	232,973,060	182,065,847
Operating expenses (income), net:
Selling	512,307	3,523,809	3,657,645	4,164,703
General and administrative	7,696,043	52,935,840	49,015,721	48,413,749
Government subsidy	0		(117,216,600)	0
Others, net	(144,500)	(993,917)	(104,649)	(4,086,154)
Impairment losses of property, plant and equipment	7,268,586	49,995,656	0	0
Total operating expenses(income), net	15,332,436	105,461,388	(64,647,883)	48,492,298
Income from operations	5,213,429	35,859,630	297,620,943	133,573,549
Interest income	556,920	3,830,674	4,154,446	4,043,903
Interest expense	(9,069,499)	(62,382,917)	(66,125,464)	(52,669,508)
Income (loss) before income tax expenses	(3,299,150)	(22,692,613)	235,649,925	84,947,944
Income tax (credit) expenses (note 14)
Current	2,402,109	16,522,472	58,912,481	19,481,789
Deferred \| ¥				1,755,197
Income tax expenses	2,402,109	16,522,472	58,912,481	21,236,986
Net income (loss) attributable to ordinary shareholders	(5,701,259)	(39,215,085)	176,737,444	63,710,958
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustment	(6,142)	(42,248)	61,376	(59,426)
Other comprehensive income (loss)	(6,142)	(42,248)	61,376	(59,426)
Total comprehensive income attributable to ordinary shareholders	$ (5,707,401)	¥ (39,257,333)	¥ 176,798,820	¥ 63,651,532
Earnings (loss) per share (note 2):
Basic and Diluted (in CNY or dollars per share) \| (per share)	$ (0.22)	¥ (1.52)	¥ 6.87	¥ 2.48
Weighted average ordinary shares outstanding (note 2):
Basic and diluted (in shares) \| shares	25,725,000	25,725,000	25,725,000	25,725,000

CONSOLIDATED STATEMENTS OF CASH FLOWS	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS	Dec. 31, 2018 USD ($)	Dec. 31, 2018 CNY (¥)	Dec. 31, 2017 CNY (¥)	Dec. 31, 2016 CNY (¥)
CONSOLIDATED STATEMENTS OF CASH FLOWS
Net income/(loss)	$ (5,701,259)	¥ (39,215,085)	¥ 176,737,444	¥ 63,710,958
Adjustments to reconcile net income to net cash provided by operating activities:
Interest income on held-to-maturity debt securities				(1,587,889)
Impairment loss of property, plant and equipment	7,268,586	49,995,656	0	0
Gain on disposal of property, plant and equipment				(3,743,590)
Deferred income taxes				1,755,197
Depreciation	15,485,648	106,515,229	112,816,310	115,744,856
Amortization expense	535,874	3,685,914	2,832,576	4,828,862
Amortized debt issuance costs associated to the bonds	205,523	1,413,655	1,411,537	672,831
Changes in operating assets and liabilities:
Trade accounts receivable	47,024,324	323,448,304	(94,115,818)	99,898,697
Inventories	(146,417,761)	(1,007,108,069)	168,443,408	(163,787,747)
Prepaid expenses and other current assets	81,304,725	559,239,834	(300,755,630)	87,668,833
Trade accounts payable	(3,885,140)	(26,723,230)	13,247,376	1,351,129
Accrued expenses and other payables	(10,782,480)	(74,165,333)	5,219,296	(32,647,208)
Income tax payable	(6,241,769)	(42,932,879)	54,475,346	(13,932,965)
Net cash provided by/ (used in) operating activities	(21,203,729)	(145,846,004)	140,311,845	159,931,964
Cash flows from investing activities:
Purchases of property, plant and equipment and construction in progress			(950,000)	(3,592,397)
Proceeds from disposal of property, plant and equipment	1,107,102	7,615,000		3,743,590
Net cash provided by/ (used in) investing activities	1,107,102	7,615,000	(950,000)	151,193
Cash flows from financing activities:
Proceeds from borrowings	4,971,180	34,193,359	880,867,011	961,870,000
Repayments of borrowings			(1,087,370,000)	(893,900,000)
Settlement of bonds				(221,279,238)
Proceeds from the issuance of bonds, net of debt issuance costs paid				292,924,529
Net cash provided by/(used in) financing activities	4,971,180	34,193,359	(206,502,989)	139,615,291
Effect of foreign currency exchange translation	(5,282)	(36,333)	61,376	10
Net increase/ (decrease) in cash	(15,125,447)	(104,037,645)	(67,079,768)	299,698,458
Cash-beginning of year	105,876,058	728,249,297	795,329,065	495,630,607
Cash-end of year	90,750,611	624,211,652	728,249,297	795,329,065
Supplemental disclosure of cash flow information:
Cash paid for income taxes	2,402,109	16,522,472	4,437,138	33,414,753
Cash paid for interest	$ 9,069,499	¥ 62,382,917	64,796,999	76,584,346
Non-cash investing activities:
Accrued fixed asset purchases			¥ 1,936,729
Offsetting other payables to the debt securities issuer for the principal amounts of held-to-maturity debt securities to be received upon matured				98,720,762
Non-cash financing activities:
Offsetting other receivables from the bonds holder upon the settlement of bonds				¥ 98,720,762

CONSOLIDATED BALANCE SHEETS	Dec. 31, 2018 USD ($)	Dec. 31, 2018 CNY (¥)	Dec. 31, 2017 CNY (¥)
Current assets
Cash	$ 90,750,611	¥ 624,211,652	¥ 728,249,297
Trade accounts receivable, net of allowance for doubtful accounts of RMB nil and RMB nil ($ nil), as of December 31, 2017 and 2018, respectively (note 4)	18,463,572	126,998,338	509,737,390
Inventories (note 5)	209,541,532	1,441,293,500	434,185,431
Advance to suppliers (note 6)	32,647	224,554	562,196,185
Other receivables (note 7)	27,905,665	191,944,065	66,391,456
Prepaid expenses	796,265	5,476,967	2,781,503
Total current assets	347,490,292	2,390,149,076	2,303,541,262
Property, plant and equipment, net (note 8)	87,511,216	601,930,062	766,055,948
Land use rights, net (note 9)	18,019,187	123,941,714	127,627,629
Total assets	453,020,695	3,116,020,852	3,197,224,839
Current liabilities
Trade accounts payable	1,478,181	10,167,408	36,890,637
Accrued expenses and other payables (note 10)	6,061,539	41,693,201	54,770,180
Income taxes payable	4,416,472	30,377,905	66,717,710
Short-term borrowings (note 11)	106,340,912	731,446,715	698,667,011
Bonds payable - current portion	14,538,436	100,000,000
Total current liabilities	132,835,540	913,685,229	857,045,538
Bonds payable, outstanding principal amount of RMB300,000,000 ($43,615,301), bearing fixed annual interest rate of 6.5%, with maturity on November 2, 2021 (less unamortized debt issuance costs based on imputed interest rate of 6.75% of RMB 5,419,012 and RMB 4,005,357 ($582,316) as of December 31, 2017 and 2018, respectively) (note 12)	28,494,555	195,994,643	294,580,988
Total liabilities	161,330,095	1,109,679,872	1,151,626,526
Commitments and contingencies (note 15)
Shareholders' equity
Ordinary share-par value of RMB0.0068259; 25,725,000 shares authorized, issued and outstanding as of December 31, 2017 and 2018, respectively	25,725	175,596	175,596
Additional paid-in capital	68,059,098	468,132,187	468,132,187
Retained earnings-appropriated (note 2)	25,567,986	175,864,784	171,207,400
Retained earnings-unappropriated	198,116,895	1,362,711,200	1,406,583,669
Accumulated other comprehensive loss	(79,104)	(542,787)	(500,539)
Total shareholders' equity	291,690,600	2,006,340,980	2,045,598,313
Total liabilities and shareholders' equity	$ 453,020,695	¥ 3,116,020,852	¥ 3,197,224,839