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, 2005
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.
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(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-_______________.)
China Southern Airlines Company Limited (the "Company") on April 29, 2005
published in local newspapers in Hong Kong an announcement in Chinese and
English, respectively, concerning the Company's first quarterly report of 2005.
A copy of the English announcement is included in this Form 6-K of the Company.
[LOGO] [CHINESE CHARACTERS]
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 2005
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SUMMARY
The unaudited financial statements of the Company for the First Quarterly
Report were prepared in accordance with the PRC GAAP.
This announcement is made by the Company pursuant to Rule 13.09 of the Listing
Rules.
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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 (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 accept full responsibility as to the
truthfulness, accuracy and completeness of the content herein.
The first quarterly report of the Company for the year 2005 (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 Quarterly
Report were prepared in accordance with the accounting rules and
regulations of the People's Republic of China ("PRC GAAP").
Mr. Liu Shao Yong (Chairman), Mr. Si Xian Min (Chief of Accounting Work,
President), Mr. Xu Jie Bo (Chief Financial Officer and Vice President) and
Mr. Xiao Li Xin (Chief of Accounting Department and 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: No. 278 Ji Chang Road, Guangzhou,
Guangdong Province,
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 31 DECEMBER
2005 2004 CHANGE
(%)
Total assets (RMB'million) 66,762 63,155 5.71
Shareholders' equity
(excluding minority
interests) (RMB'million) 11,368 11,653 -2.45
Net assets per share (RMB) 2.60 2.66 -2.45
Adjusted net assets
per share (RMB) 2.60 2.66 -2.45
FOR THE FOR THE
PERIOD FROM PERIOD FROM
1 JANUARY TO 1 JANUARY TO
31 MARCH 31 MARCH
2005 2004 CHANGE
(%)
Net cash outflow from
operating activities
(RMB'million) 1,496 -11 N/A
Earnings per share (RMB) -0.065 0.045 N/A
Return on net assets -2.5% 1.7% -4.2
Return on net assets after
extraordinary gains
and losses -2.5% 1.8% -4.3
2.2.2 Profit and Loss Account
JANUARY - MARCH, 2005 JANUARY - MARCH, 2004
CONSOLIDATED THE COMPANY CONSOLIDATED THE COMPANY
RMB million RMB million RMB million RMB million
REVENUE FROM PRINCIPAL
OPERATIONS 8,266 6,398 5,245 3,652
Less: Operating costs of
principal operations 7,266 5,776 4,041 2,905
Business taxes and
surcharges 232 178 153 103
PROFIT FROM PRINCIPAL
OPERATIONS 768 444 1,051 644
Add: Profit from other
operations 65 49 81 41
Less: Selling expenses 564 427 402 275
General and
administration
expenses 363 251 225 132
Finance expenses 217 189 185 141
JANUARY - MARCH, 2005 JANUARY - MARCH, 2004
CONSOLIDATED THE COMPANY CONSOLIDATED THE COMPANY
RMB million RMB million RMB million RMB million
OPERATING (LOSS)/PROFIT (311) (374) 320 137
Add: Investment (loss)/income (3) 29 8 91
Non-operating income 8 5 2 -
Less: Non-operating expenses 2 1 13 7
(LOSS)/PROFIT BEFORE INCOME TAX (308) (341) 317 221
Less: Income tax (45) (56) 58 25
Minority interests 22 - 63 -
NET (LOSS)/PROFIT (285) (285) 196 196
2.3 As at the end of the reporting period, the Company had a total number
of 137,528 shareholders.
NUMBER OF
SHARES HELD AS AT
31 MARCH TYPE OF
NAME OF SHAREHOLDERS 2005 SHAREHOLDER
HKSCC Nominees Limited 1,152,113,998 H shares
Huaxia Growth Securities Investment Fund 44,123,769 A shares
Bank of China - Huaxia Return Securities Investment Fund 38,052,128 A shares
Xinghe Securities Investment Fund 29,992,670 A shares
China Merchant Bank Co., Ltd. - Zhong Xin Jing
Dian Pei Zhi Securities Investment Fund 29,261,916 A shares
The Industrial and Commerce Bank of China
- Shanghai Stock Exchange 50 Openly Trading
Index Fund 26,077,646 A shares
Xinghua Securities Investment Fund 25,175,921 A shares
National Social Securities Fund 103 Group 22,083,609 A shares
National Social Securities Fund 107 Group 20,998,539 A shares
Boshi Value Growth Securities Investment Fund 13,000,000 A shares
3. MANAGEMENT DISCUSSION AND ANALYSIS
3.1 BRIEF ANALYSIS OF THE COMPANY'S OVERALL OPERATIONAL ACTIVITIES DURING
THE REPORTING PERIOD
During the reporting period, the domestic aviation market sustained
the continuing contraction trend from the forth quarter of 2004, until
mid-March of 2005 when the demand in the PRC civil aviation market
gradually increased. The sustained high fuel price, which might climb
even higher, contributed to the high jet fuel costs borne by the
Company. The Shareholders of the Company approved the purchase by the
Company of the airline and airline business and assets of China
Northern Airlines Company and Xinjiang Airlines Company which took
effect on 31 December 2004. Five branch offices in Northern China,
Xinjiang, Dalian, Changchun and Harbin were set up, thereby the
operating scales of the Company were further expanded. The Company's
total traffic volume was 1,566 million tonne-kilometers, representing
a growth of 50% over the same period of last year; passengers carried
were 9.46 million, representing an increase of 48% from the same
period last year; cargo and mail traffic amounted to 160,000 tonne,
representing an increase of 28% from the same period last year;
passenger load factor was 67%, representing an increase of 2.6% from
the same period last year. Meanwhile, the revenues and profits from
our principal operations were RMB8,266 million which is an increase of
58% from the same period last year, and RMB768 million which is a
decrease of 27% from the same period last year respectively. The
decrease in profits from principal operations was mainly due to the
combined effect of a 91% increase of jet fuel costs as compared to the
same period last year, and the waiver of the levies of CAAC
Infrastructure Development Fund in the same period of last year. As a
result, the net loss for the first quarter of this year was RMB285
million.
3.1.1 Principal operations or products representing more than 10% of
the income or profit from the Company's principal operations
GROSS PROFIT
PRINCIPLE OPERATION INCOME COSTS MARGIN
(BY BUSINESS OR PRODUCT) (RMB'million) (RMB'million) (%)
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Income from passenger transportation 7,521
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Income from cargo and mail transportation 684
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Others 61
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Total 8,266 7,266 12.1
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By order of the Board
CHINA SOUTHERN AIRLINE COMPANY LIMITED
LIU SHAO YONG
Chairman of the Board of Directors
Guangzhou, the People's Republic of China
April 28, 2005
As at the date of this announcement, the Directors of the Company include Liu
Shao Yong, Liu Ming Qi, Peng An Fa, Wang Quan Hua, Zhao Liu An, Zhou Yong Qian,
Zhou Yong Jin, Xu Jie Bo, Wu Rong Nan and Si Xian Min as executive Directors;
and Simon To, Peter Lok, Wei Ming Hai, Wang Zhi and Sui Guang Jun as independent
non-executive Directors.
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
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Name: Su Liang
Title: Company Secretary
Date: April 29, 2005