Card NDI Road Cash Flow Slipped Beyond 425% High Growth Hidden Behind Worries

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The industry as a whole is in a doldrums, but there are one or two black horses from time to time.

Following the discovery of the newspaper's growth of over 46%, a new surprise report was released yesterday by the card slave Road, which just launched in February.

However, behind this high growth report card, the sharp decline in net cash flow and the large increase in accounts receivable caused the decline of the "gold content" of the report card.

Median profit growth exceeded 50%

The first Chinese newspaper published yesterday by card slave road showed that in the first half of the year, the company's operating income was 286 million yuan, and its growth rate was over 29.49%. The total profit was 103 million yuan, up 67 million 970 thousand over the same period last year, and the net profit was 76 million 920 thousand yuan, up by 51.65% over the same period last year, compared with 50 million 720 thousand yuan in the same period last year.

Compared with the card slave Road, the performance of Listed Companies in the same industry is much lower.

The net profit attributable to shareholders in the first half of the year is 71 million 910 thousand ~8629 yuan, an increase of 0%~20% compared with the same period last year. The net profit attributable to shareholders in the first half of is 240 million ~2.8 billion yuan, down by 35%~45% compared with the same period last year. The net profit of Kaiser shares attributable to shareholders in the first half of the year was 34 million 270 thousand yuan, an increase of not more than 1%.

Behind the high growth of the card slave Road, it is the first half of this year, the shop opening plan is advancing rapidly, and the base of the direct operation is steady.

As of the end of June, the company had 364 stores, a net increase of 46 compared to the end of last year, of which, direct investment and franchisees increased by 30 and 16 respectively, reaching 205 and 159.

The industry believes that the company is expected to add 120 new business plans to achieve a greater probability.

An insider told the author.

At present, it is in the initial stage, and the expansion store will have a significant increase in its performance. At the same time, increasing support for franchisees is also one of the most direct ways to achieve rapid expansion.

Performance concealed "moisture"

It is noted that there are hidden worries behind the brilliant performance of card slave road.

In sharp contrast to the high growth performance, the net operating cash flow at the end of the first half of the year was -5588 million, compared with 17 million 150 thousand yuan in the same period last year, a decline of more than 425%.

At the same time, from the prospectus of cnndi Road, its operating cash flow net has maintained a relatively stable state. The net operating cash flow at the end of 2009 was 48 million 330 thousand yuan, the end of 2010 was 76 million 250 thousand yuan, the end of 2011 was 109 million yuan, the net profit in 2009 was 40 million 140 thousand yuan, 65 million 200 thousand yuan in 2010, 109 million yuan in 2011.

Net profit per year is not much different from net cash flow.

And all of this happened 180 degrees after the listing. What is the reason?

In the interview with the author, the card slave road representative said that on the one hand, as the number of Direct stores increased, on the other hand, the decrease in the use of bills and the increase in support for franchisees led to tight cash flow.

Based on this, the accounts receivable increased by 79 million 930 thousand yuan at the end of the six months, and 44 million 600 thousand yuan at the end of last year, an increase of 35 million 330 thousand yuan.

A market participant who declined to be named told me that the operating cash flow was far below that.

And negative, which means that the growth of listed companies may have a "false increase" component, and it is likely that there will be a decline in performance or even loss, which is worth vigilance.