Yintech Investment Holdings Ltd

CIK:0001661125|SEC Filings

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/(LOSS) ¥ in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2019 USD ($) $ / shares	Dec. 31, 2019 CNY (¥) ¥ / shares	Dec. 31, 2018 CNY (¥) ¥ / shares	Dec. 31, 2017 CNY (¥) ¥ / shares
Revenues
Commissions and fees, net	$ 201,036	¥ 1,399,575	¥ 941,868	¥ 2,198,575
Trading gains, net	29,857	207,857	34,333	40,554
Interest and investment income	5,027	35,000	18,128	5,406
Other revenues	7,092	49,373	100,415	204,411
Total Revenues	243,012	1,691,805	1,094,744	2,448,946
Expenses
Commission expense	(83)	(576)	(2,012)
Employee compensation and benefits	(120,832)	(841,205)	(808,292)	(1,066,553)
Advertising and promotion	(48,803)	(339,755)	(223,265)	(424,865)
Information technology and communications	(4,757)	(33,119)	(32,421)	(41,170)
Occupancy and equipment rental	(14,214)	(98,956)	(115,810)	(123,680)
Taxes and surcharges	(846)	(5,893)	(6,455)	(21,080)
Intangible assets amortization	(4,030)	(28,053)	(56,515)	(56,547)
Impairment of goodwill and intangible assets			(639,000)
Other expenses	(12,318)	(85,755)	(83,334)	(78,509)
Expenses	(205,883)	(1,433,312)	(1,967,104)	(1,812,404)
Income/(loss) before income taxes	37,129	258,493	(872,360)	636,542
Income tax expense	(18,375)	(127,925)	(1,028)	(169,556)
Net income/(loss)	18,754	130,568	(873,388)	466,986
Less: Net (loss)/gain attributable to non-controlling interests	6,448	44,888	(10,350)	(13,678)
Net income/(loss) attributable to Yintech	$ 12,306	¥ 85,680	¥ (863,038)	¥ 480,664
Earnings/(losses) per share
Basic \| (per share)	$ 0.01	¥ 0.06	¥ (0.60)	¥ 0.34
Diluted \| (per share)	$ 0.01	¥ 0.06	¥ (0.60)	¥ 0.33
Other comprehensive income/(loss)
Unrealized gain/(losses) on available-for-sale investments, net of tax	$ 149	¥ 1,033		¥ (800)
Foreign currency translation adjustment	338	2,348	¥ 22,538	(18,714)
Comprehensive income/(loss)	19,241	133,949	(850,850)	447,472
Comprehensive (loss)/gain attributable to non-controlling interests	6,488	45,165	(10,350)	(13,678)
Comprehensive income/(loss) attributable to Yintech	$ 12,753	¥ 88,784	¥ (840,500)	¥ 461,150

CONSOLIDATED STATEMENTS OF CASH FLOWS ¥ in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2019 USD ($)	Dec. 31, 2019 CNY (¥)	Dec. 31, 2018 CNY (¥)	Dec. 31, 2017 CNY (¥)
Cash flows from operating activities:
Net income/(loss)	$ 18,754	¥ 130,568	¥ (873,388)	¥ 466,986
Adjustments to reconcile net income/(loss) to cash provided by operating activities:
Depreciation and amortization	6,774	47,156	78,152	83,014
Gains/(losses) on sale of equipment	25	171	(298)	(524)
Fair value change of derivatives				45,569
Trading gains	(29,857)	(207,857)	(34,333)	(38,392)
Deferred tax (benefit)/expense	6,146	42,786	(61,792)	35,206
Share-based compensation	3,772	26,262	27,107	169,717
Gain from disposal of subsidiaries	(1)	(6)	(5,754)	(87,217)
Impairment of goodwill and intangible assets			639,000
Changes in operating assets and liabilities, net of acquisition:
(Increase)/decrease in deposits with clearing organizations	1,994	13,885	(33,063)	258,875
(Increase)/decrease in account receivables and other assets arising from operating activities	(7,815)	(54,403)	105,977	(74,052)
(Increase)/decrease in amount due from related parties	718	5,000	(25,000)
Increase in amount due to related parties	636	4,426
Decrease in accounts payable	(706)	(4,917)	(78,017)	(78,427)
(Decrease)/Increase in accrued employee benefits	11,911	82,923	52,770	(2,828)
(Decrease)/increase in other liabilities arising from operating activities	5,331	37,106	119,646	(67,058)
Increase/(decrease) in income taxes payable	10,971	76,378	23,361	(42,397)
Net cash provided by/(used in) operating activities	28,653	199,478	(65,632)	668,472
Cash flows from investing activities:
Proceeds from sale of equipment	104	727	383	467
Cash paid for purchase of equipment and leasehold improvements	(1,369)	(9,529)	(10,008)	(31,945)
Cash paid for purchase of investment securities	(768,608)	(5,350,902)	(16,129,945)	(16,155,280)
Cash received from sale of investment securities	738,525	5,141,460	15,883,215	15,059,010
Payment for equity method investments			(24,500)
Proceeds (Payment for) from acquisition of subsidiaries, net of cash and restricted cash acquired			(11,352)	39,618
Cash received/(decrease) from disposal of subsidiaries	20	140	(384)	92,024
Net cash used in investing activities	(31,328)	(218,104)	(292,591)	(996,106)
Cash flows from financing activities:
Proceeds from non-controlling shareholders			95,550
Proceeds from exercise of options	700	4,869	4,451	49,409
Dividends paid			(177,497)	(385,113)
Purchase of treasury stock	(2,671)	(18,594)	(74,196)	(36,973)
Net cash used in financing activities	(1,971)	(13,725)	(151,692)	(372,677)
Net decrease in cash and restricted cash	(4,646)	(32,351)	(509,915)	(700,311)
Cash and restricted cash - beginning of year	47,547	331,015	840,930	1,541,241
Cash and restricted cash - end of year	42,901	298,664	331,015	840,930
Supplemental disclosure of cash flow information
Cash paid for income taxes	$ 2,123	¥ 14,780	¥ 22,942	¥ 134,276

CONSOLIDATED BALANCE SHEETS ¥ in Thousands, $ in Thousands	Dec. 31, 2019 USD ($)	Dec. 31, 2019 CNY (¥)	Dec. 31, 2018 CNY (¥)
Assets
Cash	$ 30,094	¥ 209,507	¥ 257,789
Entrusted bank balances held on behalf of customers	12,807	89,157	73,226
Investment securities	272,325	1,895,874	1,479,109
Deposits with clearing organizations	2,920	20,330	34,215
Amount due from related parties	2,873	20,000	25,000
Equity method investment	3,569	24,845	24,730
Equipment and leasehold improvements	1,989	13,844	24,316
Deferred tax assets	3,908	27,206	31,239
Goodwill	91,619	637,835	637,147
Accounts receivable	23,613	164,391	180,230
Operating lease right-of-use assets	4,952	34,476
Intangible assets	43,468	302,613	330,247
Other assets	32,363	225,302	155,648
Total assets	526,500	3,665,380	3,252,896
Liabilities and Shareholders' Equity
Accounts payable (including accounts payable of the consolidated variable interest entities ("VIE") and VIE's subsidiaries without recourse to the Company of RMB 2,283 thousand and RMB 768 thousand as of December 31, 2018 and 2019, respectively)	16,454	114,552	119,469
Accrued employee benefits (including accrued employee benefits of the consolidated VIE and VIE's subsidiaries without recourse to the Company of RMB 19,708 thousand and RMB 58,417 thousand as of December 31, 2018 and 2019, respectively)	39,065	271,965	189,042
Income taxes payable (including income taxes payable of the consolidated VIE and VIE's subsidiaries without recourse to the Company of RMB 11,042 thousand and RMB 34,855 thousand as of December 31, 2018 and 2019, respectively)	24,677	171,793	95,415
Deferred tax liabilities (including deferred tax liabilities of the consolidated VIE and VIE's subsidiaries without recourse to the Company of RMB 38,287 thousand and RMB 42,177 thousand as of December 31, 2018 and 2019, respectively)	17,017	118,469	79,618
Operating lease liabilities	4,431	30,846
Amount due to related parties	636	4,426
Other liabilities (including other liabilities of the consolidated VIE and VIE's subsidiaries without recourse to the Company of RMB 62,645 thousand and RMB 127,320 thousand as of December 31, 2018 and 2019, respectively)	26,126	181,883	144,392
Total liabilities	128,406	893,934	627,936
Ordinary shares (US$0.00001 par value; 3,000,000,000 shares authorized, 1,468,059,155 shares issued and 1,428,942,175 shares outstanding as of December 31, 2018; 1,431,840,215 shares issued and 1,431,078,855 shares outstanding as of December 31, 2019)	14	95	96
Treasury stock (39,116,980 and 761,360 shares as of December 31, 2018 and 2019, respectively)	(250)	(1,737)	(111,169)
Additional paid-in capital	263,001	1,830,960	1,927,854
Retained earnings	106,060	738,367	652,687
Accumulated other comprehensive income	7,306	50,865	47,761
Total Yintech shareholders' equity	376,131	2,618,550	2,517,229
Non-controlling interests	21,963	152,896	107,731
Total shareholders' equity	398,094	2,771,446	2,624,960
Total liabilities and shareholders' equity	$ 526,500	¥ 3,665,380	¥ 3,252,896