April 28, 2012 witnessed the completion of disclosure of annual reports of 2011 and 1st quarter reports of 2012 of the listed companies on the Shanghai Stock Exchange (SSE). As scheduled, all 938 listed companies disclosed their annual reports of 2011 (Five new listed companies out of them disclosed their annual financial materials by way of prospectus), while 936 listed companies disclosed 1st quarter reports of 2012.
During the period of disclosing the annual reports, the SSE organized and guided the disclosure of listed companies’ annual reports through various ways. The “Notice of Doing a Better Job for Disclosing Annual Reports of 2011 for Listed Companies”released by the SSE standardized the disclosure. Besides, the SSE, in the form of memorandum on the work of annual reports, further guided the disclosure of narrative information that investors were concerned, such as management’s discussion and analysis, internal control and occupation of non-operational capital. Moreover, the SSE, by attaching importance to the XBRL-based Filing System of Annual Reports, specified the contents for the disclosure. All this have improved the overall quality of the disclosure.
Preliminary statistical analysis unveiled the following features of SSE-listed companies’annual reports of 2011:
I. Overall performance witnessed a modest increase, while return on net assets saw a slight decline.
According to statistics, in 2011, SSE-listed companies boasted RMB17.8389 trillion business income, RMB2.1859 trillion business profit and RMB1.6423 trillion net profit owned by shareholders of listed companies, or jumps of 28.6%, 17.18% and 15.92% year on year (obviously less than those for 2010), respectively.
SSE-listed companies’ weighted average earning per share, return on net assets, net asset value per share, and net cash flow from operating activities per share in 2011 stood at RMB0.55, 14.99%, RMB3.6704, and RMB0.9861, or an increase of 8%, a drop of 2%, an increase of 10.3% and an increase of 12.9% year on year, respectively.
Compared with the overall performance of SSE-listed companies, big-cap blue chips and constituent stocks of SSE Dividend Index stood out for their great performance increases, with their profitability higher than the average on the market as well.
|
Earning per share (yuan) |
Return on net assets (%) |
Net asset value per share (yuan) |
SSE market |
0.55 |
14.99 |
3.6704 |
SSE 50 |
0.6891 |
17.30 |
3.9833 |
SSE 180 |
0.6132 |
16.30 |
3.7610 |
SSE Dividend Index |
0.6531 |
12.28 |
5.3166 |
II. The proportion of listed companies distributing dividends saw a rise with both the proportion of listed companies distributing cash dividends and that of the total cash dividend to the total net profit increased as well.
Statistics show that a total of 571 firms put forward schemes of profit distribution or capitalization from capital public reserve in their annual reports of 2011, accounting for 60.87% of the total that had disclosed the annual reports of 2011. Specifically, 553 (or 58.96%) firms planned cash dividend distribution. Moreover, the total cash dividend to be distributed by listed companies accounted for 29.55% of the total net profit of all SSE-listed companies. Both the proportion of listed companies distributing dividends and that of the total cash dividend to the total net profit saw year-on-year increases.
III. The differentiation of industrial performances was intensified.
According to industry statistics, the construction industry and the finance & insurance industry boasted most dramatic increases in performance of 2011. The average earnings per share in the two sectors respectively witnessed increases of 27.51% and 20.57% year on year, much higher than the increase rate of SSE-listed companies’overall performance.
Furthermore, the agriculture, forestry, animal husbandry and fishery industry, the transportation and storage industry, as well as the industry of production and supply of electricity, gas and water, due to the effects exerted by the economic cycle and the external environment, suffered dramatic declines in their performances, with the average earnings per share seeing year-on-year decreases of 44.36%, 41.51% and 17.67%, respectively.
IV. The number of listed companies suffering losses increased.
A total of 8.32% (or 78) companies suffered loss in 2011, while the proportion in 2010 was 6.07%.
Among those suffering loss, 62 firms were newcomers, 15 were imposed with delisting risk alert (marked with *ST) for losses for two consecutive years, and listing of 1 was suspended for losses for three years in a row.
Another 41 companies turned losses into gains.
V. The proportion of non-standard audit opinions was almost the same as that in 2010.
Of the 938 SSE-listed companies which had disclosed their annual reports of 2011, 59 (or 6.3%) firms faced with non-standard audit opinions on their financial accounting reports. The above figures were almost the same as those in 2010.
The 59 firms facing with non-standard audit opinions can be further classified into 51 companies facing with unqualified audit opinion with stressed issues, 3 with qualified opinion, 4 with qualified audit opinion with stressed issues and 1 with disclaimer of opinion.
Upon preliminary statistics of 1st quarter reports of 2012, the weighted average earning per share, return on net assets, and net asset value per share were RMB0.1452, 3.79% and RMB3.8347, respectively.