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Consolidated Statement of Cash Flows
¥ in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2019
CNY (¥)
Dec. 31, 2019
USD ($)
Dec. 31, 2018
CNY (¥)
Dec. 31, 2017
CNY (¥)
Operating activities        
Profit before tax ¥ 1,033,319 $ 145,844 ¥ 1,181,067 ¥ 1,514,028
Adjustments:        
Amortization of intangible asset 1,012 143    
Amortization of prepaid operating leases     12,724 12,366
Bad debt written off/(recovered)     (108) 10
Cost of share-based payments       1,592
Depreciation of investment property 380 54 884 248
Depreciation of property, plant and equipment 422,859 59,683 420,277 431,567
Depreciation of right-of-use assets 40,958 5,781    
Dividend income from quoted equity securities (959) (135) (1,992) (2,532)
Exchange (gain)/loss (4,679) (660) 4,235 (8,319)
Fair value (gain)/loss on foreign exchange forward contract 5,529 780 (4,529)  
Fair value (gain)/loss on quoted equity securities (1,118) (158) 3,433 (12,768)
Finance costs 131,796 18,602 113,088 100,439
(Gain)/loss on disposal of:        
- associate       (199)
- joint venture [1]       (107,976)
- property, plant and equipment 645 91 (8,835) (11,668)
- quoted equity securities (11,528) (1,627)    
- right-of-use assets (9,237) (1,304)    
- subsidiaries       (216,115)
Government grants (122,371) (17,272) (32,237) (28,035)
Interest income (177,261) (25,019) (147,244) (105,421)
Impairment losses on development property 3,039 429    
Impairment losses on intangible asset       40,000
Impairment losses on property, plant and equipment 3,950 558 30,173 20,845
(Reversal of impairment losses)/impairment losses on trade receivables 32,340 4,565 (11,052) (10,854)
Property, plant and equipment written off 4,137 584 1,265 5,682
Provision for onerous contract 2,316 327    
(Reversal of write-down)/ impairment losses of inventories, net 17,022 2,403 (8,468) (19,901)
Share of profit of associates and joint ventures, net of tax (19,034) (2,686) (11,634) (10,054)
Write-back of trade and other payables (2,087) (295)   (29)
Profit before tax after adjustments 1,351,028 190,688 1,541,047 1,592,906
Changes in working capital        
(Increase)/decrease in inventories (314,904) (44,446) 47,533 (897,437)
Decrease/(increase) in trade and other receivables and capitalized contract cost (514,163) (72,570) (502,069) 81,121
Increase/(decrease) in trade and other payables and contract liabilities 1,294,214 182,667 (229,457) 846,175
Decrease/(increase) in development properties (71) (10) 4,205 377
Cash flows from operating activities 1,816,104 256,329 861,259 1,623,142
Income taxes paid (233,088) (32,898) (190,658) (202,975)
Net cash flows from operating activities 1,583,016 223,431 670,601 1,420,167
Investing activities        
Payment for trademark usage fee (169,811) (23,967)    
Additional investment in subsidiaries (114) (16)   (8,279)
Additional investment in associates and joint ventures (41,160) (5,809)   (75,000)
Development costs (345,128) (48,712) (180,626)  
Dividend received from:        
- joint ventures 821 116 801 754
- quoted equity securities 959 135 1,992 2,532
Interest received 173,745 24,523 143,768 108,481
Proceeds from disposal of:        
- associate       1,832
- joint venture       182,679
- property, plant and equipment 1,178 166 6,669 15,640
- quoted equity securities 16,429 2,319    
- right-of-use assets 11,008 1,554    
- subsidiaries, net of cash disposed       341,602
Proceeds from government grants 191,491 27,027 286,198 50,095
Purchase of property, plant and equipment (749,087) (105,727) (407,747) (289,472)
Tax and relevant expenses in relation to disposal of subsidiary (38,887) (5,489)    
(Withdrawal)/placement of fixed deposits with banks, net 138,079 19,489 68,953 (254,294)
Net cash flows from/(used in) investing activities (810,477) (114,391) (79,992) 76,570
Dividends paid to:        
- equity holders of the parent (238,758) (33,699) (597,459) (235,947)
- non-controlling interests (203,167) (28,675) (132,558) (97,009)
Interest paid and discounting on bills receivable (139,118) (19,635) (108,039) (107,246)
Payment of finance lease liabilities     (33) (38)
Payment of principal portion of lease liabilities (48,365) (6,826)    
Proceeds from:        
- borrowings 2,040,752 288,034 2,000,320 1,814,618
- issue of shares       6,617
Repayment of borrowings (2,000,773) (282,392) (1,611,756) (1,100,133)
Net cash flows from/(used in) financing activities (589,429) (83,193) (449,525) 280,862
Net increase in cash and cash equivalents 183,110 25,847 141,084 1,777,599
Cash and cash equivalents at January 1 5,559,890 784,729 5,390,324 3,653,914
Effect of exchange rate changes on balances in foreign currencies 10,268 1,448 28,482 (41,189)
Cash and cash equivalents at December 31 ¥ 5,753,268 $ 812,024 ¥ 5,559,890 ¥ 5,390,324
[1] On October 19, 2017, the Group completed the disposal of its joint venture investment in Copthorne Qingdao and recognized gain on disposal in the Group’s profit or loss for the year ended December 31, 2017.