gREAT WALL MOTOR COMPANY LIMITED*
(a joint stock company incorporated in the People’s Republic of China with limited liability)
(Stock code: 2333)
ANNOUNCEMENT OF INTERIM RESULTS
FOR THE SIX MONTHS ENDED 30 JUNE 2008
FINANCIAL HIgHLIgHTS
For the For the
six months ended six months ended
30 June 200830 June 2007
(unaudited) (unaudited)  Change (%) REVENUE (RMB Million) 4,610 3,345  37.8 Profit before tax (RMB Million) 486 478  .7 Profit after tax attributable
to equity holders of the parent (RMB Million) 408 406  0.5 Earnings per share RMB0.37 RMB0.42  -  .9
The board of directors (the “Board”) of Great Wall Motor Company Limited (the “Company”) is pleased to announce the unaudited condensed consolidated income statement of the Company and its subsidiaries (the “Group”) for the six months ended 30 June 2008 (the “period”) and the condensed consolidated balance sheet of the Group as at 30 June 2008 which have been reviewed by the Company’s auditor, Ernst & Young, together with the comparative figures for the same period of 2007 as follows:
1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
Condensed Consolidated Income Statement
Six months ended 30 June
2008  2007
Unaudited  Unaudited
Notes RMB’000  RMB’000 REVENUE (i) 4,609,688  3,344,945 Cost of sales (3,663,992 )(2,544,642 )
Gross profit 945,696  800,303 Other income and gains (i) 42,133  2 ,6 4 Selling and distribution costs (
228,284 )( 67,668 ) Administrative expenses (154,780 )( 00,  6 ) Other expenses (117,399 )(83,45  ) Finance costs (ii) (7,161 )(2,450 ) Share of profits and losses of associates 3,531  3,23 Share of profits and losses
of jointly-controlled entities 2,244  6,262
PROFIT BEFORE TAX (iii) 485,980  477,725 Tax (iv) (58,823 )(37,983 ) PROFIT FOR THE PERIOD 427,157  439,742
ATTRIBUTABLE TO:
Equity holders of the parent 408,327  406,047 Minority interests 18,830  33,695
427,157  439,742 EARNINGS PER SHARE ATTRIBUTABLE
TO ORDINARY EQUITY HOLDERS
OF THE PARENT-Basic (v)RMB0.37  RMB0.42 DIVIDEND (vi)Nil  Nil
Condensed Consolidated Balance Sheet
30 June  3  December
2008  2007
Unaudited  Audited
RMB’000  RMB’000 Non-current assets
Property, plant and equipment 2,479,077  ,597,425 Prepaid land premium 274,385  283,578 Construction in progress 1,512,126  2, 73,680 Goodwill 2,164  2, 64 Interests in jointly-controlled entities 176,207  54,226 Interests in associates 16,987  0,403 Available-for-sale financial assets 1,200  –Deferred tax assets 65,840  67,680
Total non-current assets 4,527,986  4,289, 56
Current assets
Inventories 1,095,182  957,633 Trade receivables 169,112  52,2 0 Bills receivable 564,431  657,763 Available-for-sale financial assets 190,000  2 0,000 Prepayments and other receivables 815,493  506,3 4 Pledged bank balances 456,809  238,486 Cash and cash equivalents 2,693,028  3,073,577 Total current assets 5,984,055  5,795,983
Current liabilities
Interest-bearing bank borrowings, secured 3,594  –Trade payables 1,888,743  ,7 2,38 Bills payable 619,074  457,395 Tax payable (47,192 )(44,0 9 ) Other payables and accruals 1,019,904  984,9 9 Dividend payable to minority shareholders 8,110  7,384 Provision for product warranties 39,979  39,396 Total current liabilities 3,532,212  3, 57,456
30 June  3  December
2008  2007
Unaudited  Audited
RMB’000  RMB’000 NET CURRENT ASSETS 2,451,843  2,638,527 TOTAL ASSETS LESS CURRENT LIABILITIES 6,979,829  6,927,683 NON-CURRENT LIABILITIES
Deferred income 68,031  69,892 Total non-current liabilities 68,031  69,892 NET ASSETS 6,911,798  6,857,79 EQUITY
Equity attributable to equity holders of the parent
Issued share capital 1,095,272  ,095,272 Reserves 5,535,934  5, 27,7 5 Proposed final dividend –  2 9,054
6,631,206  6,442,04 Minority interests 280,592  4 5,750 TOTAL EQUITY 6,911,798  6,857,79
Notes:
(i) REVENUE, OTHER INCOME AND gAINS
Revenue represents the net invoiced value of goods sold, after allowances for trade discounts and returns, and excludes sales taxes and intra-group transactions.
An analysis of revenue, other income and gains is as follows:
Six months ended 30 June
长城汽车公司
2008  2007
Unaudited  Unaudited
RMB’000  RMB’000 Revenue
Sale of automobiles 4,333,380  3,200,479 Sale of automotive parts and components 276,308  44,466
4,609,688  3,344,945 Other income and gains
Bank interest income 16,094  5,583 Government grants:
Recognition of deferred income 1,861  974 Others* 986  4,477 Gain on disposal of held-for-trading financial assets –  498 Unrealised gain on revaluation of held-for-trading financial assets –  82 Gain on disposal of prepaid land premiums 7,245  –Gain on acquisition of minority interests 13,517  –Income from available-for-sale financial assets 2,430  –
42,133  2 ,6 4 * Representing government grants and value added tax refunds. The grants must be utilised for the business development of the Company and certain of its subsidiaries.
(ii) FINANCE COSTS
The finance costs mainly represented the bank charges and interest on bank borrowings incurred during the period.