Changchun Faway Automobile Components Co., Ltd. Business Report FY ended 2013

Changchun Faway Automobile Components Co., Ltd. Business Report FY ended Dec. 2013

Business Highlights

Financial Overview

(million yuan)

	FY ended Dec. 31, 2013	FY ended Dec. 31, 2012	Rate of Change (%)	Factors
Sales	9,472.49	7,676.36	23.40%	-A slight increase in sales compared with last year -Market share is relatively stable
Operating profit	446.00	462.66	(3.60%)	-Material price increased. -Parts price reduced. -Supply to OEMS decreased.
Ordinary profit	448.67	466.93	(3.91%)
Net profit	416.68	450.58	(7.52%)

Business Plan for Next Year

-In 2014, the Company plans to reach CNY 11.01 billion sales.

R&D

R&D facilities

Name	Company
Wheel R&D Center	Changchun Faway Automobile Components Co., Ltd. Wheel Company
Faway-Johnson Technical Center	Changchun Faway-Johnson Controls Automotive Systems Co., Ltd.

-In 2013, the Company’s R&D expenditure was CNY 75.59 million, 0.80% of the Company’s revenue.

-Faway-Johnson Technical Center is the Company’s provincial-level technology center.

-The technical centers have strengthened their development in the field of automotive exteriors and have the ability to simultaneously design 3 sets of bumpers.

-Changchun Faway Johnson Controls Automotive Electronics Co., Ltd. has the ability to research and develop software and hardware.

Investment Activities

Investment activity in 2013

（in million yuan）

Project	Planned amount of investment	Amount invested in 2013	Status
Plant construction in Chengdu	75.60	53.34	The main body has been complet.
Project in Foshan	184.94	105.26	Equipment debugging phase
Production equipment for Audi A3	31.63	16.66	The device is still in installation.
Project of D003 product mould of Huayisheng	12.44	0.39	Debugging phase
Project of B50G product mould of Shenzhen Huayisheng	5.04	5.04	Debugging phase
Production capacity upgrading project	49.98	21.03	The main body is not completed, and it is expected to be completed in June2014.