WUHAN CITY, China, Aug. 9,
2018 /PRNewswire/ -- Kingold Jewelry, Inc.
("Kingold" or "the Company") (NASDAQ: KGJI), one of
China's leading manufacturers and
designers of high quality 24-karat gold jewelry, ornaments and
investment-oriented products, today announced its unaudited
financial results for the second quarter and six months ended
June 30, 2018.
2018 Second Quarter Financial Highlights (all results
compared to prior year period)
- Net sales were $678.8 million, an
increase of 42.6% from $475.9
million
- Processed a total of 27.6 metric tons of 24-karat gold
products, increased by 6.0% from 26 metric tons
- Net income was $13.6 million, or
$0.20 per diluted share, compared to
net income of $8.0 million, or
$0.12 per diluted share
Outlook for 2018
- Company reiterates guidance of between 100 metric tons and 110
metric tons of 24-karat gold products in 2018
Management Commentary
Mr. Zhihong Jia, Chairman and CEO
of the Company, commented, "We were pleased to deliver strong
operating results in the second quarter of 2018 and continue to
benefit from our gold investment which enabled us to further expand
our production capacity and design capabilities. During the
quarter, we have witnessed a strong growing demand for 24-karat
gold jewelry and investment products in China, and our management quickly adjusted the
product mix in response to market demand with additional trendy
design jewelry products and value preserving investment gold
products. We are dedicated to building the Kingold brand as an
increasingly important participant in the gold industry in
China, while quickly responding to
market changes and adjusting operational strategies."
2018 SECOND QUARTER AND SIX MONTHS OPERATIONAL REVIEW
Metric Tons
of Gold Processed
|
Three Months
Ended:
|
|
June 30,
2018
|
June 30,
2017
|
|
Volume
|
% of Total
|
Volume
|
% of Total
|
Branded*
|
16.9
|
61.1%
|
12
|
46.2%
|
Customized**
|
10.7
|
38.9%
|
14
|
53.8%
|
Total
|
27.6
|
100.0%
|
26
|
100%
|
Six Months
Ended:
|
|
June 30,
2018
|
June 30,
2017
|
|
Volume
|
% of Total
|
Volume
|
% of Total
|
Branded*
|
29.8
|
58.6%
|
20.1
|
47.7%
|
Customized**
|
21.1
|
41.4%
|
22.0
|
52.3%
|
Total
|
50.9
|
100.0%
|
42.1
|
100.0%
|
*
|
Branded
Production:
|
The Company
acquires gold from the Shanghai Gold Exchange to produce branded
products.
|
**
|
Customized
Production:
|
Clients who
purchase customized products supply gold to the Company for
processing.
|
For the three months ended June 30,
2018, the Company processed a total of 27.6 metric tons of
gold, of which branded production was 16.9 metric tons,
representing 61.1% of total gold processed, and customized
production was 10.7 metric tons, representing 38.9% of total gold
processed in the second quarter of 2018. In the second quarter of
2017, the Company processed a total of 26 metric tons, of which
branded production was 12 metric tons, or 46.2% of the total gold
processed, and customized production was 14 metric tons, or 53.8%
of total gold processed.
For the six months ended June 30,
2018, the Company processed a total of 50.9 metric tons of
gold, of which branded production was 29.8 metric tons,
representing 58.6% of total gold processed, and customized
production was 21.1 metric tons, representing 41.4% of total gold
processed in the first half of 2018. In the first half of 2017, the
Company processed a total of 42.1 metric tons, of which branded
production was 20.1 metric tons, or 47.7% of the total gold
processed, and customized production was 22 metric tons, or 52.3%
of total gold processed.
CONSOLIDATED FINANCIAL AND OPERATING REVIEW
Net Sales
Net sales for the three months ended June
30, 2018 was $678.8 million,
increased by 42.6% from $475.9
million for the same period in 2017. The increase in net
sales was mainly the result of the higher sales volume for branded
production sales.
For the six months ended June 30,
2018, the Company's net sales were $1,218.3 million, increased by 58.6% from
$768.1 million in the first half of
2017. The increase in net sales was mainly the result of the higher
sales volume for branded production sales.
Gross Profit
Gross profit for the three months ended June 30, 2018 was $63.8
million, increased by 33.4% from $47.8 million for the same period in 2017.
For the six months ended June 30,
2018, the Company's gross profit were $128 million increased by 97.3% from $64.9 million in the same period of 2017.
Gross Margin
The Company's gross margin was 9.4% for the three months ended
June 30, 2018, compared to 10% in the
prior year period. The slight decrease in gross margin was
primarily due to the decreased average selling price of branded
production, compensated by decreased unit cost of branded
production during the three months ended June 30, 2018. The average selling price of
branded production was RMB 252.34 per
gram for the three months ended June 30,
2018, decreased by RMB 11.66
or 4.4%, from RMB 264 per gram for
the same period in 2017. Meanwhile, the unit cost of branded
production sales was RMB 232.43 per
gram for the three months ended June 30,
2018, decreased by RMB 11.63,
or 4.8%, from RMB 244.06 per gram for
the same period in 2017. The decreases of both the average
selling price and unit cost of branded production were mainly due
to the weak gold price in the three months ended June 30, 2018.
For the six months ended June 30,
2018, the Company's gross margin was 10.5%, compared to 8.4%
in the first half of 2017. The increase in gross margin was because
the decrease in unit cost of branded production sales exceeded the
decrease in the average selling price of branded production during
the six months ended June 30, 2018.
The unit cost of branded production sales was RMB 232.30 per gram for the six months ended
June 30, 2018, decreased by
RMB 8.1 or 3.4% from RMB 240.39 per gram for the same period in 2017.
However, the average selling price of branded production was
RMB 254.95 per gram for the six
months ended June 30, 2018, decreased
by RMB 1.72 or 0.7% from RMB 256.66 per gram for the same period in
2017.
Net Income
Net income for the three months ended June 30, 2018 was $13.6
million, or $0.20 per diluted
share based on 66.2 million weighted average diluted shares
outstanding, compared to net income of $8.0
million in the prior year period, or $0.12 per diluted share based on 66.4 million
weighted average diluted shares outstanding in the prior year
period.
For the six months ended June 30,
2018, the Company's net income was $26.8 million, or $0.40 per basic and diluted share, compared to
net loss of $13.3 million, or
$(0.20) per basic and diluted share,
in the same period of 2017.
Balance Sheet
Highlights (USD in Millions)
|
|
6/30/2018
|
|
12/31/2017
|
Percentage
Change
|
Cash and Cash
Equivalents
|
$0.24
|
|
$5.0
|
(95.2)
%
|
Inventories
|
$150
|
|
$135
|
11.1%
|
Working
Capital (Current Assets -- Current Liabilities)
|
$603
|
|
$768
|
(21.5)
%
|
Stockholders'
Equity
|
$373
|
|
$390
|
(4.4)
%
|
Net cash provided by operating activities was $446.3 million for the six months ended
June 30, 2018, compared with net cash
used in operating activities of $257
million for the same period in 2017. The increase of net
cash provided by operating activities was mainly due to the
decrease in inventory purchases of $311
million because $349.4 million
of gold for investment was released to inventory during the six
months ended June 30, 2018, a
decrease in value added tax receivable of $76.6 million, an increase in income taxable of
$2.9 million and an increase in other
payables and accrued liabilities of $1.3
million.
The Company's net cash from operating activities can fluctuate
significantly due to change in inventories. Other factors that may
vary significantly include accounts payable, purchase of gold and
income taxes. The Company expects the net cash it generates from
operating activities to continue to fluctuate as inventories,
receivables, accounts payables and the other factors described
above change with increased production and the purchase of larger
or smaller quantities of raw materials (principally gold). These
fluctuations could cause net cash from operating activities to
decrease, even if net income grows as the Company continues to
expand. Although the Company expects that net cash from operating
activities will increase over the long term, it cannot predict how
these fluctuations will affect Kingold's cash flow in any
particular quarter.
OUTLOOK FOR 2018
Based on its existing resources and capacity along with strong
demand for 24-karat gold products in China, the Company reiterates its expectation
that gold processed will be between 100 metric tons and 110 metric
tons during 2018.
Conference Call Details
Kingold also announced that it
will discuss these financial results in a conference call on
August 9, 2018 at 4:30 p.m. E.T.
The dial-in numbers are:
Live Participant Dial In (Toll Free): 877-407-9038
Live Participant Dial In (International): 201-493-6742
The conference call will also be webcast live. To listen to the
call, please go to the Investor Relations section of Kingold's
website at www.kingoldjewelry.com, or click on the following link:
http://kingoldjewelry.equisolvewebcast.com/q2-2018. The
Company will also have an accompanying slide presentation available
in PDF format on its homepage prior to the conference call.
About Kingold Jewelry, Inc.
Kingold Jewelry, Inc. (NASDAQ: KGJI), centrally located in
Wuhan City, one of China's largest cities, was founded in 2002
and today is one of China's
leading designers and manufacturers of 24-karat gold jewelry,
ornaments, and investment-oriented products. The Company sells both
directly to retailers as well as through major distributors across
China. Kingold has received
numerous industry awards and has been a member of the Shanghai Gold
Exchange since 2003. For more information, please visit
www.kingoldjewelry.com.
Business Risks and Forward-Looking Statements
This press release contains forward-looking statements that are
subject to the safe harbors created under the Securities Act of
1933, as amended, and the Securities Exchange Act of 1934, as
amended. You can identify these forward - looking statements by
words such as "expects," "believe," "project," "anticipate," or
similar expressions. The forward-looking statements in this release
include statements regarding Kingold's outlook with respect to its
2018 outlook for gold processing. Readers are cautioned that actual
results could differ materially from those expressed in any
forward-looking statements. Forward-looking statements are subject
to a number of risks, including those contained in Kingold's SEC
filings available at www.sec.gov, including Kingold's most recent
Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
Readers are cautioned not to place undue reliance on any
forward-looking statements, which speak only as of the date on
which they are made. Kingold undertakes no obligation to update or
revise any forward-looking statements for any reason.
COMPANY CONTACT
Kingold Jewelry, Inc.
Bin Liu, CFO
Phone: +1-847-660-3498 (US) / +86-27-6569-4977 (China)
bl@kingoldjewelry.com
INVESTOR RELATIONS COUNSEL:
The Equity Group Inc.
Katherine Yao, Senior Associate
Phone: +86-10-5661 7012
kyao@equityny.com
KINGOLD JEWELRY,
INC.
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(LOSS)
|
(IN US
DOLLARS)
|
(UNAUDITED)
|
|
|
|
For the three
months ended June 30,
|
|
|
For the six months
ended June 30,
|
|
|
|
2018
|
|
|
2017
|
|
|
2018
|
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
SALES
|
|
$
|
678,796,263
|
|
|
$
|
475,891,200
|
|
|
$
|
1,218,320,318
|
|
|
$
|
768,155,277
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COST OF
SALES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
sales
|
|
|
(614,775,972)
|
|
|
|
(427,858,604)
|
|
|
|
(1,089,741,556)
|
|
|
|
(702,767,612)
|
|
Depreciation
|
|
|
(228,173)
|
|
|
|
(210,888)
|
|
|
|
(545,838)
|
|
|
|
(505,331)
|
|
Total
cost of sales
|
|
|
(615,004,145)
|
|
|
|
(428,069,492)
|
|
|
|
(1,090,287,394)
|
|
|
|
(703,272,943)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT
|
|
|
63,792,118
|
|
|
|
47,821,708
|
|
|
|
128,032,924
|
|
|
|
64,882,334
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
EXPENSES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
|
2,564,845
|
|
|
|
3,069,142
|
|
|
|
5,110,199
|
|
|
|
6,766,525
|
|
Stock compensation
expenses
|
|
|
5,364
|
|
|
|
11,143
|
|
|
|
10,728
|
|
|
|
22,286
|
|
Depreciation
|
|
|
151,658
|
|
|
|
125,831
|
|
|
|
260,487
|
|
|
|
231,670
|
|
Amortization
|
|
|
2,963
|
|
|
|
2,755
|
|
|
|
5,936
|
|
|
|
5,498
|
|
Total
operating expenses
|
|
|
2,724,830
|
|
|
|
3,208,871
|
|
|
|
5,387,350
|
|
|
|
7,025,979
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS
|
|
|
61,067,288
|
|
|
|
44,612,837
|
|
|
|
122,645,574
|
|
|
|
57,856,355
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSES)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Income
|
|
|
-
|
|
|
|
132
|
|
|
|
-
|
|
|
|
65,497
|
|
Interest
Income
|
|
|
446,143
|
|
|
|
504,462
|
|
|
|
822,144
|
|
|
|
1,191,307
|
|
Interest expense,
including amortization of debt
issuance costs of $2,305,354 and $3,116,277 for
the three months, and $4,560,420 and $6,403,986
for the six months ended June 30, 2018 and 2017,
respectively
|
|
|
(43,301,467)
|
|
|
|
(38,980,626)
|
|
|
|
(87,418,347)
|
|
|
|
(76,570,122)
|
|
Total
other expenses, net
|
|
|
(42,855,324)
|
|
|
|
(38,476,032)
|
|
|
|
(86,596,203)
|
|
|
|
(75,313,318)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME (LOSS) FROM
OPERATIONS BEFORE TAXES
|
|
|
18,211,964
|
|
|
|
6,136,805
|
|
|
|
36,049,371
|
|
|
|
(17,456,963)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME TAX
PROVISION (BENEFIT)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
|
|
|
4,169,121
|
|
|
|
5,218,082
|
|
|
|
7,426,595
|
|
|
|
5,218,082
|
|
Deferred
|
|
|
479,046
|
|
|
|
(7,114,895)
|
|
|
|
1,824,055
|
|
|
|
(9,402,844)
|
|
Total
income tax provision (benefit)
|
|
|
4,648,167
|
|
|
|
(1,896,813)
|
|
|
|
9,250,650
|
|
|
|
(4,184,762)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
|
|
13,563,797
|
|
|
|
8,033,618
|
|
|
|
26,798,721
|
|
|
|
(13,272,201)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER
COMPREHENSIVE INCOME (LOSS)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized gain
(loss) related to investments in
gold, net of tax
|
|
$
|
(19,350,626)
|
|
|
$
|
(54,046,052)
|
|
|
$
|
(37,973,323)
|
|
|
$
|
48,861,337
|
|
Foreign currency
translation gains (loss)
|
|
|
(19,822,304)
|
|
|
|
11,789,755
|
|
|
|
(6,002,603)
|
|
|
|
8,362,338
|
|
Total Other
comprehensive income (loss)
|
|
$
|
(39,172,930)
|
|
|
$
|
(42,256,297)
|
|
|
$
|
(43,975,926)
|
|
|
$
|
57,223,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMPREHENSIVE INCOME
(LOSS)
|
|
$
|
(25,609,133)
|
|
|
$
|
(34,222,679)
|
|
|
$
|
(17,177,205)
|
|
|
$
|
43,951,474
|
|
Earnings (Loss) per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.21
|
|
|
$
|
0.12
|
|
|
$
|
0.41
|
|
|
$
|
(0.20)
|
|
Diluted
|
|
$
|
0.20
|
|
|
$
|
0.12
|
|
|
$
|
0.40
|
|
|
$
|
(0.20)
|
|
Weighted average
number of shares
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
66,113,502
|
|
|
|
66,018,867
|
|
|
|
66,113,502
|
|
|
|
66,018,867
|
|
Diluted
|
|
|
66,229,658
|
|
|
|
66,415,601
|
|
|
|
66,395,251
|
|
|
|
66,018,867
|
|
KINGOLD JEWELRY,
INC.
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(IN US
DOLLARS)
|
(UNAUDITED)
|
|
|
|
June30,
|
|
|
December
31,
|
|
|
|
2018
|
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
|
|
$
|
240,453
|
|
|
$
|
4,997,125
|
|
Restricted
cash
|
|
|
6,965,467
|
|
|
|
5,534,551
|
|
Accounts
receivable
|
|
|
-
|
|
|
|
768,167
|
|
Inventories
|
|
|
150,437,622
|
|
|
|
135,042,713
|
|
Investments in
gold
|
|
|
1,185,042,807
|
|
|
|
1,562,943,153
|
|
Other current assets
and prepaid expenses
|
|
|
250,183
|
|
|
|
100,592
|
|
Value added tax
recoverable
|
|
|
274,033,622
|
|
|
|
353,732,758
|
|
Total
current assets
|
|
|
1,616,970,154
|
|
|
|
2,063,119,059
|
|
|
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
|
6,517,129
|
|
|
|
7,299,643
|
|
Restricted
cash
|
|
|
7,600,532
|
|
|
|
7,392,721
|
|
Investments in
gold
|
|
|
908,899,905
|
|
|
|
957,124,267
|
|
Other
assets
|
|
|
296,897
|
|
|
|
302,072
|
|
Deferred income tax
assets
|
|
|
18,545,561
|
|
|
|
6,677,675
|
|
Land use
right
|
|
|
416,840
|
|
|
|
429,915
|
|
Total
long-term assets
|
|
|
942,276,864
|
|
|
|
979,226,293
|
|
TOTAL
ASSETS
|
|
$
|
2,559,247,018
|
|
|
$
|
3,042,345,352
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short term
loans
|
|
$
|
908,635,791
|
|
|
$
|
962,101,746
|
|
Other payables and
accrued expenses
|
|
|
19,906,196
|
|
|
|
18,913,863
|
|
Related party
loan
|
|
|
75,530,983
|
|
|
|
307,389,647
|
|
Due to related
party
|
|
|
3,420,269
|
|
|
|
2,630,301
|
|
Income tax
payable
|
|
|
4,015,473
|
|
|
|
1,208,742
|
|
Other taxes
payable
|
|
|
2,496,472
|
|
|
|
2,615,463
|
|
Total
current liabilities
|
|
|
1,014,005,184
|
|
|
|
1,294,859,762
|
|
Related party
loans
|
|
|
414,034,451
|
|
|
|
567,843,066
|
|
Long term
loans
|
|
|
758,141,473
|
|
|
|
789,410,137
|
|
TOTAL
LIABILITIES
|
|
|
2,186,181,108
|
|
|
|
2,652,112,965
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
Preferred stock,
$0.001 par value, 500,000 shares authorized, none issued
or outstanding as of June 30, 2018 and December 31,
2017
|
|
|
-
|
|
|
|
-
|
|
Common stock $0.001
par value, 100,000,000 shares authorized, 66,113,502
shares issued and outstanding as of June 30, 2018 and December 31,
2017
|
|
|
66,113
|
|
|
|
66,113
|
|
Additional paid-in
capital
|
|
|
80,388,177
|
|
|
|
80,377,449
|
|
Retained
earnings
|
|
|
|
|
|
|
|
|
Unappropriated
|
|
|
330,465,332
|
|
|
|
303,666,611
|
|
Appropriated
|
|
|
967,543
|
|
|
|
967,543
|
|
Accumulated other
comprehensive income (loss), net of tax
|
|
|
(38,821,255)
|
|
|
|
5,154,671
|
|
Total
Equity
|
|
|
373,065,910
|
|
|
|
390,232,387
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|
$
|
2,559,247,018
|
|
|
$
|
3,042,345,352
|
|
KINGOLD JEWELRY,
INC.
|
CONDENSED
CONSOLIDATED STATEMENT OF CASH FLOWS
|
(IN US
DOLLARS)
|
(UNAUDITED)
|
|
|
|
For the six months
ended June 30,
|
|
|
|
2018
|
|
|
2017
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
|
26,798,721
|
|
|
$
|
(13,272,201)
|
|
Adjustments to
reconcile net income (loss) to cash provided by (used in) operating
activities:
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
806,325
|
|
|
|
737,001
|
|
Amortization of intangible assets
|
|
|
5,936
|
|
|
|
5,498
|
|
Amortization of debt issuance costs included in
interest expense
|
|
|
4,560,420
|
|
|
|
6,403,986
|
|
Share
based compensation for services and warrants expense
|
|
|
10,728
|
|
|
|
22,286
|
|
Inventory valuation allowance
|
|
|
-
|
|
|
|
17,597,804
|
|
Deferred
tax provision (benefit)
|
|
|
1,824,055
|
|
|
|
(9,402,844)
|
|
Changes in operating
assets and liabilities
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
784,850
|
|
|
|
572,975
|
|
Inventories
|
|
|
331,036,274
|
|
|
|
(204,138,326)
|
|
Other
current assets and prepaid expenses
|
|
|
(157,286)
|
|
|
|
587,453
|
|
Value
added tax recoverable
|
|
|
76,550,155
|
|
|
|
(66,550,772)
|
|
Other
payables and accrued expenses
|
|
|
1,251,498
|
|
|
|
5,063,398
|
|
Customer
deposits
|
|
|
(82,602)
|
|
|
|
-
|
|
Income
tax payable
|
|
|
2,939,193
|
|
|
|
5,218,082
|
|
Other
taxes payable
|
|
|
(77,119)
|
|
|
|
123,225
|
|
Net cash
provided by (used in) operating activities
|
|
|
446,251,148
|
|
|
|
(257,032,435)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
Purchases of property
and equipment
|
|
|
(453,522)
|
|
|
|
(1,141,219)
|
|
Investments in
gold
|
|
|
-
|
|
|
|
(270,889,242)
|
|
Net cash used in
investing activities
|
|
|
(453,522)
|
|
|
|
(272,030,461)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
Proceeds from other
loans – short term
|
|
|
-
|
|
|
|
29,090,063
|
|
Repayments of other
loans – short term
|
|
|
(301,624,503)
|
|
|
|
(72,870,607)
|
|
Proceeds from other
loans – long term
|
|
|
240,479,892
|
|
|
|
95,997,207
|
|
Repayments of other
loans – long term
|
|
|
-
|
|
|
|
(101,815,220)
|
|
Proceeds from related
party loans – short term
|
|
|
-
|
|
|
|
290,900,628
|
|
Repayments of related
party loans – short term
|
|
|
(235,549,065)
|
|
|
|
-
|
|
Proceeds from related
party loans – long term
|
|
|
334,479,672
|
|
|
|
690,888,992
|
|
Repayments of related
party loans – long term
|
|
|
(484,255,723)
|
|
|
|
(415,987,899)
|
|
Payments of loan
origination fees
|
|
|
(309,511)
|
|
|
|
(1,998,723)
|
|
Repayment of third
party loans
|
|
|
-
|
|
|
|
(29,090,063)
|
|
(Repayment of)
borrowings from related party
|
|
|
800,793
|
|
|
|
(3,988,513)
|
|
Net cash provided by
(used in) financing activities
|
|
|
(445,978,445)
|
|
|
|
481,125,865
|
|
|
|
|
|
|
|
|
|
|
EFFECT OF EXCHANGE
RATES ON CASH AND RESTRICTED CASH
|
|
|
(2,937,126)
|
|
|
|
1,732,785
|
|
NET DECREASE IN
CASH AND RESTRICTED CASH
|
|
|
(3,117,945)
|
|
|
|
(46,204,246)
|
|
CASH AND
RESTRICTED CASH, BEGINNING OF PERIOD
|
|
|
17,924,397
|
|
|
|
81,677,623
|
|
CASH AND
RESTRICTED CASH, END OF PERIOD
|
|
$
|
14,806,452
|
|
|
$
|
35,473,377
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION
|
|
|
|
|
|
|
|
|
Cash paid for
interest expense
|
|
$
|
81,761,918
|
|
|
$
|
56,674,744
|
|
Cash paid for income
tax
|
|
$
|
4,487,402
|
|
|
$
|
-
|
|
|
|
|
|
|
|
|
|
|
NON-CASH INVESTING
AND FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
Investments in gold
obtained in a lease from a related party and fully
repaid
|
|
$
|
-
|
|
|
$
|
131,117,303
|
|
Investments in gold
transferred to inventories
|
|
$
|
389,112,590
|
|
|
$
|
180,786,694
|
|
Unrealized gain
(loss) on investments in gold, net of tax
|
|
$
|
(37,973,323)
|
|
|
$
|
48,861,337
|
|
View original
content:http://www.prnewswire.com/news-releases/kingold-jewelry-reports-financial-results-for-the-second-quarter-and-six-months-ended-june-30-2018-300694970.html
SOURCE Kingold Jewelry, Inc.