SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the month of April, 2004
CHINA SOUTHERN AIRLINES COMPANY LIMITED
(Translation of registrant's name into English)
Baiyun International Airport
Guangzhou, People's Republic of China
(Address of principal executive offices)
(Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.)
Form 20-F. X Form 40-F.
----- -----
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
Yes. No. X
----- -----
(If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82- .)
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China Southern Airlines Company Limited (the "Company") on April 29, 2004
published in local newspapers in Hong Kong an announcement in Chinese and
English, respectively, concerning the Company's first quarterly report of 2004.
A copy of the English announcement is included in this Form 6-K of the Company.
The Stock Exchange of Hong Kong Limited takes no responsibility for the content
of this announcement, makes no representation as to its accuracy or completeness
and expressly disclaims any liability whatsoever for any loss howsoever arising
from or in reliance upon the whole or any part of the content of this
announcement.
[COMPANY NAME IN CHINESE CHARACTER]
CHINA SOUTHERN AIRLINES COMPANY LIMITED
(a joint stock limited company incorporated in the People's Republic of China
with limited liability)
(STOCK CODE: 1055)
FIRST QUARTERLY REPORT OF 2004
SUMMARY
The unaudited financial statements of the Company for the first quarter of 2004
were prepared in accordance with the PRC GAAP.
This announcement is made by the Company pursuant to Rule 13.09 of the Listing
Rules.
1. IMPORTANT NOTICE
This announcement is made by China Southern Airlines Company Limited (the
"Company") pursuant to Rule 13.09 of the Rules Governing the Listing of
Securities on The Stock Exchange of Hong Kong Limited (the "Listing
Rules").
The Directors of the Company collectively and individually warrant that the
information set out in this report does not contain any misrepresentation,
misleading statement or material omission; and jointly and severally
accepts full responsibility as to the truthfulness, accuracy and
completeness of the content herein.
The first quarterly report of the Company for the year 2004 (the "First
Quarterly Report") was prepared in accordance with the relevant rules and
regulations of the China Securities Regulatory Commission.
The unaudited financial statements of the Company for the first quarter of
2004 were prepared in accordance with the accounting rules and regulations
of the People's Republic of China ("PRC GAAP").
Mr. Yan Zhi Qing (Chairman), Mr. Wang Chang Shun (President), Mr. Xu Jie Bo
(Chief Financial Officer and Vice President) and Mr. Xiao Li Xin (General
Manager of the Financial Department) of the Company, warrant that the First
Quarterly Report is true and complete.
2 BASIC PARTICULARS OF THE COMPANY
2.1 BASIC INFORMATION OF THE COMPANY
Stock abbreviation China Southern
Stock code 600029 (A share), 1055 (H share), ZNH (ADs)
Company Secretary: Su Liang
Securities Representative: Lei Bin
Correspondence Address: Baiyun International Airport, Guangzhou, the People's Republic of China
Telephone: 020-86124737
Facsimile: 020-86659040
e-mail address: ir.cz@cs-air.com
2.2 FINANCIAL INFORMATION
2.2.1 Major Accounting Data and Financial Indices
AS AT AS AT
31 MARCH 2004 31 MARCH 2003 CHANGE
(%)
Total assets (RMB'000) 40,449,545 39,372,204 2.74
Shareholders' equity
(excluding minority interests)
(RMB'000) 11,745,766 11,549,850 1.70
Net assets per share (RMB) 2.69 2.64 1.89
Adjusted net assets per
share (RMB) 2.61 2.59 0.77
FOR THE
PERIOD FROM FOR THE
1 JANUARY 2004 PERIOD ENDED
TO 31 MARCH 2004 31 MARCH 2004 CHANGE
(%)
Net cash outflow from
operating activities
(RMB'000) 11,097 N/A N/A
Earnings per share (RMB) 0.045 N/A N/A
Return on net assets 1.7% N/A N/A
Return on net assets
after extraordinary
gains and losses 1.8% N/A N/A
EXTRAORDINARY (GAINS)/LOSSES AMOUNT
(RMB'000)
Non-operating expenses
Net loss on disposal
of fixed assets 397
Others, net 10,291
------
Total 10,688
======
2.2.2 Profit and Loss Account
CONSOLIDATED THE COMPANY
JANUARY - JANUARY -
MARCH, 2004 MARCH, 2004
RMB'000 RMB'000
REVENUE FROM PRINCIPAL OPERATIONS 5,245,109 3,618,154
Less: Operating costs of principal
operations 4,041,279 2,905,338
Business taxes and surcharges 153,297 102.676
--------- ---------
PROFIT FROM PRINCIPAL OPERATIONS 1,050,533 610,140
Add: Profit from other operations 80,773 74,927
Less: Selling expenses 401,859 275,227
General and administration expenses 224,812 131,959
Financial expenses 184,660 141,236
--------- ---------
OPERATING PROFIT 319,975 136,645
Add: Investment income 7,685 91,282
Non-operating income 1,801 334
Less: Non-operating expenses 12,489 6,878
--------- ---------
PROFIT BEFORE INCOME TAX 316,972 221,383
Less: Income tax 58,421 25,467
Less: Minority interests 62,635 -
--------- ---------
Net Profit 195,916 195,916
========= =========
2.3 As at the end of the reporting period, the Company had a total number
of 155,710 shareholders.
3 MANAGEMENT DISCUSSION AND ANALYSIS
3.1 BRIEF ANALYSIS OF THE COMPANY'S OVERALL OPERATIONAL ACTIVITIES DURING
THE REPORTING PERIOD
[X] Applicable [ ] Not Applicable
During the reporting period, the domestic aviation market continued
to recover with strong demand for air transportation, which was
mainly stimulated by the continuous stable economic development and
the increase in domestic consumption level. For the first quarter of
2004, our aviation transportation business maintained a good trend of
growth. All production indices were higher as compared to the same
period of last year. Among which, the Company's total traffic volume
was 1,041,600,000 tonne-kilometers, representing a growth of 5.6%
over the same period of last year; passengers carried were 6,413,000,
representing an increase of 17.1% from the same period last year;
Cargo and mail traffic amounted to 124,000 tonne, representing an
increase of 0.8% from the same period last year; passenger load
factor was 65.3%, representing a growth of 4.1% over the
corresponding period last year. Meanwhile, the revenues and profits
from our principal operations were RMB5,245,109,000 and
RMB1,050,533,000 respectively, which resulting in a net profit of
RMB195,916,000. This is the first quarterly report for the period
from 1 January to 31 March announced by the Company. Therefore, no
comparative figures for the corresponding period of last year are
available.
3.1.1 PRINCIPAL OPERATIONS OR PRODUCTS REPRESENTING MORE THAN 10% OF THE
INCOME OR PROFIT FROM THE COMPANY'S PRINCIPAL OPERATIONS
[X] Applicable [ ] Not Applicable
PRINCIPLE OPERATION GROSS PROFIT
(BY BUSINESS OR PRODUCT) INCOME COSTS MARGIN
(%)
Income from
transportation (RMB'000) 5,245,109 4,041,279 22.95
Including: connected
transactions (RMB'000) - 209,145 -
3.1.2 ANALYSIS OF SIGNIFICANT EVENTS AND THEIR IMPACT AND SOLUTIONS
[X] Applicable [ ] Not Applicable
In accordance with the reply by the State Tax Bureau in Guangzhou
Economic and Technology Development Zone in relation to the
applicable rate on enterprise income tax on the part of China
Southern Airlines Company Limited, the Company is liable to pay
enterprise income tax at the rate applicable to manufacturing foreign
investment enterprises in Guangzhou Economic and Technology
Development Zone, with effect from 1 October 2003.
As at the date of this Announcement, the Directors of the Company are Yan Zhi
Qing, Liu Ming Qi, Wang Chang Shun, Peng An Fa, Wang Quan Hua, Zhao Liu An, Zhou
Yong Qian, Zhou Yong Jin, Xu Jie Bo and Wu Rong Nan as executive Directors and
Simon To, Peter Lok, Wei Ming Hai, Wang Zhi and Sui Guang Jun as independent
non-executive Directors.
By order of the Board
CHINA SOUTHERN AIRLINE COMPANY LIMITED
YAN ZHI QING
Chairman
Guangzhou, the People's Republic of China
28 April 2004
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
CHINA SOUTHERN AIRLINES COMPANY LIMITED
By /s/ Su Liang
------------------------------------
Name: Su Liang
Title: Company Secretary
Date: April 30, 2004