HARBIN, China, Nov. 9, 2018 /PRNewswire/ -- China XD Plastics
Company Limited (NASDAQ: CXDC) ("China XD Plastics" or the
"Company"), one of China's leading
specialty chemical companies engaged in the development,
manufacture and sale of polymer composite materials primarily for
automotive applications, today announced its financial results for
the third quarter ended September 30,
2018.
Third Quarter 2018 Financial
Summary
- Revenue was $297.2 million, a decrease of 4.6% YoY
- Gross profit was $47.2 million, a decrease of 0.2%
YoY
- Gross margin of 15.9%, an increase of 70 basis points YoY
- Net income was $9.0 million, an decrease of 36.2% YoY
- EBITDA was $30.0 million, a
decrease of 23.1% YoY
- Total volume shipped was 108,832 metric tons, a slightly down
2.7% YoY
"Our third quarter 2018 results were consistent with the
unanticipated severe downturn in the auto industry of China, the first year over year drop in 28
years," said Jie Han, Chairman of
the Board of Directors and Chief Executive Officer. "In addition,
the reduction of duty on imported vehicles by an average of 46% is
expected to have profound impact on the entire auto industry in
China. Although we applaud the
implementation of such supply-side reform by the policy makers for
the wellbeing of the long term benefit of China auto industry, it will have short term
impact on the auto market as companies throughout the supply chain
adjust themselves and adapt to such change. On oversea business
development front, we are pleased with our successful trial
production at our production base in Dubai and remain optimistic about the prospect
of our business expansion overseas, especially after positive
results and feedbacks after product trials from customers in
various countries and regions overseas."
Third Quarter 2018 Results
Revenues were US$297.2 million in
the third quarter ended September 30,
2018, a decrease of US$14.2
million, or 4.6%, compared to US$311.4 million in the same period of last year,
as a combined results of i) a decrease of 2.7% in sales volume and
ii) 2.0% negative impact from exchange rate due to weakening RMB
against US dollars partially offset by an increase of 0.1% in the
average RMB selling price of our products as compared with those of
last year.
According to the China Association of Automobile Manufacturers,
Automobile production and sales in China increased by 0.9% and 1.5%,
respectively, for the first nine months of 2018 as compared to the
same period of 2017, and China
auto sales dropped 4.0%, 3.8% and 11.6% in this July, August and
September, respectively, compared to the same periods in 2017.
Weakening macroeconomic conditions since the summer of 2018 have
deteriorated business conditions. Though the Company has
increased growth of 208.9% in South
China, and 54.8% in Central
China, sales decreased by 7.2% in Southwest China, 11.0% in North China, 13.6% in Northeast China and 0.2% in East China.
As for the increase of average RMB selling price, it was mainly
due to more sales of higher-end products of modified PA66, PA6 in
China.
Overseas sales were US$2,104 in
the three-month period ended September 30,
2018 as compared to US$14.1
million in the same period of the prior year. The Company
has tried to develop new customers overseas besides the existing
oversea customer. The sales to this oversea customer was
suspended due to the accounts receivable balance overdue
situation.
Gross profit was US$47.2 million
in the third quarter ended September 30,
2018, compared to US$47.3
million in the same period of 2017. Our gross margin
increased to 15.9% during the third quarter ended September 30, 2018 from 15.2% during the same
quarter of 2017 primarily due to more sales of higher-end products
of 77.4% as compared to 74.9% for the same period of the prior
year.
General and administrative (G&A) expenses were US$8.1 million for the quarter ended September 30, 2018 compared to US$10.4 million in the same period in 2017,
representing a decrease 22.1%, or US$2.3
million. The decrease was primarily due to our approach on
optimizing management structure and enhancing efficiency, leading
to the decrease of (i) US$2.1 million
in salary and welfare; (ii) US$0.6
million in miscellaneous expense, (iii) US$0.1 million in rental expense and partially
offset by the increase of (iv) US$0.5
million in stock based compensation.
Research and development (R&D) expenses were US$23.3 million for the third quarter of 2018,
compared to US$9.8 million for the
same period of 2017, representing an increase of US$13.5 million, or 137.8%. This significant
increase was primarily due to (i) elevated R&D activities to
meet the new and higher specification requirements from potential
customers, especially overseas; and (ii) increased
efforts directed towards applications in new
electrical equipment and electronics, alternative energy
applications, power devices, aviation equipment and ocean
engineering, in addition to other new products primarily
for advanced industrialized applications in the
automobile sector and in new verticals such as ships,
airplanes, high-speed rail, 3D printing materials, biodegradable
plastics, and medical devices. As of September 30, 2018, the number of ongoing
research and development projects was 211.
Operating income was US$13.0
million for the third quarter of 2018, compared to
US$26.2 million for the same period
of 2017, representing a decrease of US$13.2
million, or 50.4%. This decrease is primarily due to higher
selling expenses and R&D expenses, and partially offset by
lower G&A expenses.
Net interest expenses were US$13.1
million for the third quarter of 2018, compared to
$9.0 million in the same quarter of
2017, representing an increase of 45.6% or US$4.1 million, primarily due to (i) the increase
of interest expense due to the increase of average short-term
and long-term loan balance in the amount of US$936.2 million for the three-month period ended
September 30, 2018 compared to
US$808.3 million of the same period
in 2017; which is partially offset by the decrease of interest
expense resulting from the average loan interest rate decreased to
4.01% for the three-month period ended September 30, 2018 compared to 4.57% of the same
period in 2017; (ii) the decrease of interest income resulting from
the average interest rate decreased to 1.0% for the three-month
period ended September 30, 2018
compared to 1.5% of the same period in 2017; (iii) the decrease of
average deposit balance in the amount of US$240.8 million for the three-month period ended
September 30, 2018 compared to
US$503.1 million for the same period
in 2017.
Income tax income was US$3.5
million for the third quarter of 2018, representing an
effective income tax rate of negative 65.1%, compared to
income tax expense of US$3.1 million
in the same period of 2017, representing an effective income tax
rate of 17.8%. The significant decrease of effective income
tax rate was primarily due to (i) the increase of additional
deduction of R&D expenses resulted from the new policy issued
by China's tax authority in
September 2018 to increase the
R&D expenses additional deduction rate from 50% to 75% for PRC
entities, effective from January 1,
2018 to December 31, 2020, and
(ii) the increase of continuous operating losses occurred in
overseas subsidiaries such as Dubai Xinda and Xinda Holding (HK).
The effective income tax rate for the three-month ended
September 30, 2018 differs from the
PRC statutory income tax rate of 25% primarily due to Sichuan
Xinda's preferential income tax rate and R&D 75% additional
deduction of the major PRC operating entities.
Net income was US$9.0 million for
the third quarter of 2018, compared to US$14.1 million for the same period of 2017,
representing a decrease of US$5.1
million, or 36.2%. Basic and diluted earnings per share for
the three-month period ended September 30,
2018 were both US$0.13,
compared to US$0.21 per basic and
diluted share for the same period of 2017. The average number
of shares used in the computation of basic and diluted earnings per
share in the current quarter was 50.9 million, compared to 49.6
million shares for basic and diluted earnings per share in the
prior year period.
Earnings before interest, tax, depreciation and amortization
(EBITDA) was US$30.0 million for the
third quarter of 2018, compared to US$39.0
million for the same period of 2017, representing a
decrease of US$9.0 million, or
23.1%. For a detailed reconciliation of EBITDA, a non-GAAP measure,
to its nearest GAAP equivalent, please see the financial tables at
the end of this release.
Financial Condition
As of September 30, 2018, the
Company had US$394.7 million in the
total amount of cash and cash equivalents, restricted cash and time
deposits, a decrease of US$213.4
million or 35.1% as compared to US$608.1 million as of December 31, 2017. As of September 30, 2018, working capital was negative
US$185.8 million (current assets
minus current liabilities) and the current ratio (current
assets divided by current liabilities) was 0.9, as compared to the
current ratio of 1.0 as of December 31,
2017. Stockholders' equity as of September 30, 2018 was US$733.2 million, an increase of US$20.4 million or 2.9% as compared to
US$712.8 million as of December 31, 2017.
Inventories increased by 34.4% as compared to the end of fiscal
year 2017 as a result of more purchases of the raw materials and
the Company's strategy to stock up the finished goods for the
upcoming orders. Prepaid expenses and other current assets
increased by 15.8% or US$22.8 million
as compared to the end of fiscal year 2017 mainly due to the
increase in advances to suppliers. Prepayments to equipment
supplier and construction suppliers increased by 178.1% or
US$339.4 million as compared to the
end of fiscal year 2017 because (i) HLJ Xinda Group prepaid to
purchase equipment for the industrial project with 300,000 metric
tons capacity of biological based composite material and upgrading
existing 100,000 metric tons of engineering plastics facilities and
(ii) Sichuan Xinda prepaid to purchase equipment with 300,000
metric tons capacity of bio-composite materials. The aggregate
short-term and long-term bank loans decreased by 7.9% as compared
to the end of fiscal year 2017 due to the loan repayments. We
define the manageable debt level as the sum of aggregate short-term
and long-term loans, and notes payable over total assets.
Recent Development
On October 31, 2018, the Company's
subsidiary, HLJ Xinda Group, signed a deleveraging investment
framework agreement (the "Agreement") with CCB Financial Asset
Investment Co., Ltd. ("CCB Financial"), and China Construction Bank
Heilongjiang Branch ("CCB HLJ"), both of which are wholy owned
subsidiaries of China Construction Bank ("CCB"). Pursuant to
the agreement, CCB Financial and CCB HLJ are planning to
provide estimated RMB2 billion
(approximately US$289 million)
capital to Xinda Group and or its affiliated entities in debt,
equity or other forms, mainly to repay Xinda Group's interest
bearing loans, to facilitate the Company to diversify and develop
its business and to improve corporate management, subject to the
parties entering into one or more definitive agreements. The
definitive agreements will be subject to satisfactory due diligence
by CCB Financial and CCB HLJ, business arrangement, legal
viability, and completion and satisfaction of other standard and
customary conditions. The Company will make its best effort to
assist CCB Financial and CCB HLJ but does not provide timing
estimate or make promise of signing of any definitive
agreement.
Financial Guidance and Business Outlook
Since the beginning of this third quarter, China auto market has experienced an
unexpected and unprecedent turn with both numbers of car produced
and sold plummeted. The results from China Auto Industry
Association came drastically below its early expectation.
China auto sales dropped 4%, 3.8%
and 11.6% in this July, August and September, respectively,
compared to the same periods in 2017. It has a ripple effect and
impact throughout China auto
supply chain, including the Company. In light of the foregoing
changing market condition and the macro economic environment in
China, the Company is reiterating
the updated and previously disclosed financial guidance for fiscal
2018 to range between $1 and
$1.2 billion in revenue and net
income to range between $70 and
$80 million. It assumes the average
exchange rate of the US dollar to RMB at 6.9. This financial
guidance reflects the Company's current view of its business
outlook for fiscal 2018 and is subject to revision based on
changing market conditions at any time.
The Company's Dubai production
base has completed trial production successfully and official
commencement is scheduled on November 11,
2018 with 11.25 thousand metric tons annual capacity in
2019. Dubai Xinda primarily offers long chain nylon alloy and other
high-end engineering plastics and has developed and completed
product trials with a number of customers overseas from
Spain, Italy, UAE, Malaysia, and India etc.
Conference Call
China XD Plastics' senior management will host a conference call
at 9:00 am Eastern Time on Friday,
November 9th, 2018, to discuss its third quarter 2018 financial
results. The conference call can be accessed by dialing
+1-845-675- 0437 (for callers in the U.S.), +86-4006-208-038 (for
Mainland China callers) or +852-3018-6771 (for Hong Kong callers) and entering passcode
9078388.
A recording of the conference call will be available through
November 16th, 2018, by calling
+1-855-452-5696 (for callers in the U.S.) and entering pass code
9078388.
A live webcast and replay of the conference call will be
available on the investor relations page of the Company's website
at http://chinaxd.net/.
About China XD Plastics Company
Limited
China XD Plastics Company Limited, through its wholly-owned
subsidiaries, develops, manufactures and sells polymer composites
materials, primarily for automotive applications. The Company's
products are used in the exterior and interior trim and in the
functional components of 31 automobile brands manufactured in
China, including without
limitation, Audi, Mercedes Benz,
BMW, Toyota, Buick, Chevrolet, Mazda, Volvo, Ford, Citroen, Jinbei
and VW Passat, Golf, Jetta, etc. The Company's wholly-owned
research center is dedicated to the research and development of
polymer composites materials and benefits from its cooperation with
well-known scientists from prestigious universities in China. As of September
30, 2018, 476 of the Company's products have been certified
for use by one or more of the automobile manufacturers in
China. For more information,
please visit the Company's English website at
http://chinaxd.irpass.com/, and the Chinese website at
http://www.xdholding.com.
Safe Harbor Statement
This announcement contains forward-looking statements within the
meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. All statements other than statements
of historical fact in this announcement are forward-looking
statements, including but not limited to, the Company's growth
potential in international markets; the effectiveness and
profitability of the Company's product diversification strategy;
the impact of the Company's product mix shift to more advanced
products and related pricing policies; the effectiveness,
profitability, and the marketability of its the ongoing mix shift
to more advanced products; the prospects of the Company's
Dubai facility, and the associated
expansion into Middle East,
Europe and other parts of
Asia; the prospects of the
Company's Sichuan facility, and
its penetration into Southwest
China; the prospects of the Company's Harbin facility, and its penetration into
Northeast China; the Company's
projections of its revenues for performance in fiscal 2018.
These forward-looking statements can be identified by terminology
such as "will," "expect," "project," "anticipate," "forecast,"
"plan," "believe," "estimate" and similar statements.
Forward-looking statements involve inherent risks and uncertainties
and are based on current expectations, assumptions, estimates and
projections about the Company and the industry. A number of
important factors could cause actual results to differ materially
from those contained in any forward-looking statement. Potential
risks and uncertainties include, but are not limited to, the global
economic uncertainty which could further impair the automotive
industry and limit demand for our products; fluctuations in
automotive sales and production which could have a material adverse
effect on our results of operations and liquidity; our financial
performance which may be affected by the prospect of our
Dubai facility and the associated
expansion into Middle East,
Europe and other parts of
Asia; the withdrawal of
preferential government policies, the tightening control over the
Chinese automotive industry, automobile purchase restrictions
imposed in certain major cities which may limit market demand for
our products; the slowing of Chinese automotive industry's growth;
the concentration of our distributors, customers and suppliers; and
other risks detailed in the Company's filings with the Securities
and Exchange Commission and available on its website at
http://www.sec.gov. The Company undertakes no obligation to update
forward-looking statements to reflect subsequent occurring events
or circumstances, or to changes in its expectations, except as may
be required by law. Although the Company believes that the
expectations expressed in these forward looking statements are
reasonable, it cannot assure you that its expectations will turn
out to be correct, and investors are cautioned that actual results
may differ materially from the anticipated results.
CHINA XD PLASTICS
COMPANY LIMITED AND SUBSIDIARIES
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
|
September
30,
|
|
December
31,
|
|
2018
|
|
2017
|
|
US$
|
|
US$
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
|
51,539,593
|
|
|
190,392,211
|
Restricted
cash
|
|
335,915,478
|
|
|
129,699,454
|
Time
deposits
|
|
7,268,287
|
|
|
288,023,017
|
Accounts receivable,
net of allowance for doubtful accounts
|
|
173,278,607
|
|
|
298,868,984
|
Inventories
|
|
566,810,166
|
|
|
421,736,682
|
Prepaid expenses and
other current assets
|
|
167,109,645
|
|
|
144,326,151
|
Total current
assets
|
|
1,301,921,776
|
|
|
1,473,046,499
|
Property, plant and
equipment, net
|
|
787,330,204
|
|
|
835,561,739
|
Land use rights,
net
|
|
29,881,029
|
|
|
31,943,652
|
Long-term prepayments
to equipment and construction suppliers
|
|
529,973,047
|
|
|
190,627,514
|
Other non-current
assets
|
|
777,392
|
|
|
12,924,279
|
Total
assets
|
|
2,649,883,448
|
|
|
2,544,103,683
|
|
|
|
|
|
|
LIABILITIES,
REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS'
EQUITY
|
Current
liabilities:
|
|
|
|
|
|
Short-term loans,
including current portion of long-term bank loans
|
|
692,120,072
|
|
|
775,396,929
|
Bills
payable
|
|
626,322,828
|
|
|
252,768,510
|
Accounts
payable
|
|
26,535,220
|
|
|
227,993,140
|
Amounts due to
related parties
|
|
14,256,429
|
|
|
-
|
Income taxes
payable
|
|
11,495,721
|
|
|
17,710,217
|
Accrued expenses and
other current liabilities
|
|
116,926,581
|
|
|
138,605,509
|
Total current
liabilities
|
|
1,487,656,851
|
|
|
1,412,474,305
|
Long-term bank loans,
excluding current portion
|
|
127,253,750
|
|
|
114,208,319
|
Deferred
income
|
|
100,571,327
|
|
|
99,168,276
|
Other non-current
liabilities
|
|
103,629,677
|
|
|
107,898,318
|
Total
liabilities
|
|
1,819,111,605
|
|
|
1,733,749,218
|
|
|
|
|
|
|
Redeemable Series
D convertible preferred stock (redemption amount of
US$270,936,200 and US$244,044,200 as of
September 30, 2018 and
December 31, 2017,
respectively)
|
|
97,576,465
|
|
|
97,576,465
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
|
Series B preferred
stock
|
|
100
|
|
|
100
|
Common stock,
US$0.0001 par value, 500,000,000 shares authorized,
50,469,841 shares and 49,748,731 shares
issued, 50,448,841 shares and
49,727,731 shares outstanding as of
September 30, 2018 and December 31,
2017, respectively
|
|
5,047
|
|
|
4,975
|
Treasury stock,
21,000 shares at cost
|
|
(92,694)
|
|
|
(92,694)
|
Additional paid-in
capital
|
|
86,429,980
|
|
|
83,159,893
|
Retained
earnings
|
|
704,079,389
|
|
|
648,790,469
|
Accumulated other
comprehensive loss
|
|
(57,226,444)
|
|
|
(19,084,743)
|
Total stockholders'
equity
|
|
733,195,378
|
|
|
712,778,000
|
Commitments and
contingencies
|
|
-
|
|
|
-
|
Total liabilities,
redeemable convertible preferred stock and equity
|
|
2,649,883,448
|
|
|
2,544,103,683
|
CHINA XD PLASTICS
COMPANY LIMITED AND SUBSIDIARIES
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
INCOME
|
|
|
Three-Month Period
Ended
September 30,
|
|
Nine-Month Period
Ended
September 30,
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
|
|
|
|
|
|
|
Revenues
|
|
297,224,740
|
|
|
311,418,943
|
|
|
925,007,293
|
|
|
862,814,803
|
Cost of
revenues
|
|
(249,997,804)
|
|
|
(264,099,790)
|
|
|
(767,759,035)
|
|
|
(717,614,278)
|
Gross
profit
|
|
47,226,936
|
|
|
47,319,153
|
|
|
157,248,258
|
|
|
145,200,525
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling
expenses
|
|
(2,741,156)
|
|
|
(858,739)
|
|
|
(7,354,876)
|
|
|
(2,082,889)
|
General and
administrative expenses
|
|
(8,117,769)
|
|
|
(10,403,187)
|
|
|
(28,341,545)
|
|
|
(26,301,440)
|
Research and
development expenses
|
|
(23,342,321)
|
|
|
(9,857,475)
|
|
|
(33,680,855)
|
|
|
(25,255,497)
|
Total operating
expenses
|
|
(34,201,246)
|
|
|
(21,119,401)
|
|
|
(69,377,276)
|
|
|
(53,639,826)
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
13,025,690
|
|
|
26,199,752
|
|
|
87,870,982
|
|
|
91,560,699
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
264,838
|
|
|
1,894,747
|
|
|
3,607,136
|
|
|
4,028,299
|
Interest
expense
|
|
(13,393,886)
|
|
|
(10,892,112)
|
|
|
(37,562,666)
|
|
|
(32,865,939)
|
Foreign currency
exchange gains (losses)
|
|
4,387,166
|
|
|
(2,372,361)
|
|
|
6,064,328
|
|
|
(4,719,423)
|
Losses on foreign
currency option contracts
|
|
-
|
|
|
(584,724)
|
|
|
(520,981)
|
|
|
(584,724)
|
Government
grant
|
|
1,145,703
|
|
|
2,955,045
|
|
|
4,001,746
|
|
|
5,418,498
|
Total non-operating
expense, net
|
|
(7,596,179)
|
|
|
(8,999,405)
|
|
|
(24,410,437)
|
|
|
(28,723,289)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
|
5,429,511
|
|
|
17,200,347
|
|
|
63,460,545
|
|
|
62,837,410
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax benefit
(expense)
|
|
3,535,430
|
|
|
(3,063,889)
|
|
|
(8,171,625)
|
|
|
(10,735,971)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
8,964,941
|
|
|
14,136,458
|
|
|
55,288,920
|
|
|
52,101,439
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
common share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
0.13
|
|
|
0.21
|
|
|
0.83
|
|
|
0.79
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
Income
|
|
8,964,941
|
|
|
14,136,458
|
|
|
55,288,920
|
|
|
52,101,439
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
comprehensive income (losses)
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment, net of nil income taxes
|
|
(28,497,101)
|
|
|
15,887,423
|
|
|
(38,141,701)
|
|
|
33,557,087
|
Total Comprehensive income
(losses)
|
|
(19,532,160)
|
|
|
30,023,881
|
|
|
17,147,219
|
|
|
85,658,526
|
CHINA XD PLASTICS
COMPANY LIMITED AND SUBSIDIARIES
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
Nine-Month Period
Ended
September
30,
|
|
2018
|
|
2017
|
|
US$
|
|
US$
|
Cash flows from
operating activities:
|
|
|
|
Net cash provided
by operating activities
|
|
115,513,922
|
|
|
144,871,143
|
|
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
Proceeds from
maturity of time deposits
|
|
517,686,072
|
|
|
249,029,754
|
Purchase of time
deposits
|
|
(236,428,396)
|
|
|
(396,036,693)
|
Purchase of land
use rights
|
|
-
|
|
|
(3,203,611)
|
Purchase of and
deposits for property, plant and equipment
|
|
(430,839,423)
|
|
|
(338,711,968)
|
Refund of deposit
from equipment suppliers
|
|
121,464,390
|
|
|
122,322,463
|
Deposits for
acquisition of equity
|
|
(3,640,688)
|
|
|
-
|
Refund of deposits
for acquisition of equity
|
|
15,577,880
|
|
|
-
|
Government grant
related to the construction of Sichuan plant
|
|
10,324,859
|
|
|
7,207,612
|
Net cash used in
investing activities
|
|
(5,855,306)
|
|
|
(359,392,443)
|
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
Proceeds from bank
borrowings
|
|
719,994,473
|
|
|
571,141,361
|
Repayments of bank
borrowings
|
|
(757,018,030)
|
|
|
(450,252,497)
|
Investment received
in advance from a related party
|
|
75,567,512
|
|
|
-
|
Refund of investment
received in advance from a related party
|
|
(75,567,512)
|
|
|
-
|
Proceeds from
interest-free advances from related parties
|
|
14,256,429
|
|
|
-
|
Net cash (used in)
provided by financing activities
|
|
(22,767,128)
|
|
|
120,888,864
|
|
|
|
|
|
|
Effect of foreign
currency exchange rate changes on cash, cash equivalents and
restricted cash
|
|
(19,528,082)
|
|
|
9,377,096
|
Net increase
(decrease) in cash, cash equivalents and restricted
cash
|
|
67,363,406
|
|
|
(84,255,340)
|
|
|
|
|
|
|
Cash, cash
equivalents and restricted cash at beginning of
period
|
|
320,091,665
|
|
|
271,575,847
|
Cash, cash
equivalents and restricted cash at end of period
|
|
387,455,071
|
|
|
187,320,507
|
|
|
|
|
|
|
Supplemental
disclosure of cash flow information:
|
|
|
|
|
|
Interest paid, net of
capitalized interest
|
|
35,067,228
|
|
|
28,035,022
|
Income taxes
paid
|
|
16,866,842
|
|
|
9,098,388
|
Non-cash investing
activities:
|
|
|
|
|
|
Accrual for purchase
of equipment and construction included in accrued expenses and
other current liabilities
|
|
5,825,800
|
|
|
6,851,777
|
The following table shows a reconciliation of cash, cash
equivalents and restricted cash on the condensed consolidated
balance sheets to that presented in the above condensed
consolidated statements of cash flows.
|
September
30,
|
|
2018
|
|
2017
|
|
US$
|
|
US$
|
Cash and cash
equivalents
|
|
51,539,593
|
|
|
46,767,025
|
Restricted
cash
|
|
335,915,478
|
|
|
140,553,482
|
Total cash, cash
equivalents, and restricted cash shown in the statement of cash
flows
|
|
387,455,071
|
|
|
187,320,507
|
CHINA XD PLASTICS
COMPANY LIMITED
|
Reconcilation of
Net Income to EBITDA
|
(Amounts expressed
in United States Dollars)
|
|
|
Three Months
Ended
|
|
September
30,
|
|
2,018
|
|
2,017
|
|
|
|
|
Net income
|
$
8,964,941
|
|
$
14,136,458
|
Interest
expense
|
13,393,886
|
|
10,892,112
|
(Benefit) provision
for income taxes
|
(3,535,430)
|
|
3,063,889
|
Depreciation and
amortization expense
|
11,157,560
|
|
10,920,798
|
EBITDA
|
29,980,957
|
|
39,013,257
|
View original
content:http://www.prnewswire.com/news-releases/specialty-chemical-company-china-xd-plastics-announces-third-quarter-2018-financial-results-300747406.html
SOURCE China XD Plastics Company Limited