Jinyu Car City (000803): New Energy Business Revenue Fell 99% By Restructuring

The traditional main industries have been withdrawn from each other, and the new energy business has not been successful. Kim Yu Che city hopes to restructure and reverse the decline.

On the night of November 5th, Jinyu car city disclosed the reorganization plan. The company intends to purchase ten party 833795.OC (86.34%) stake and 60% equity in Chuang Chuang energy by issuing shares and paying cash. At the same time, the company intends to include more than ten specific investors, including the controlling shareholder of the North controlled PV, to raise matching funds in the form of non-public offering shares, of which the North controlled PV will not be subscribed for over 180 million yuan.

It is understood that Jinyu car city will further transform the technology and environment into the environment through the reorganization of the organic solid waste disposal industry.

The Yangtze daily news reporter noted that in 2017, Jinyu car city, which acquired the transformation from Chi Lin Electric to the new energy industry, has shown serious performance in recent years and is still in a state of loss.

Among them, the first half of this year, the company's new energy electrical equipment business revenue 1 million 115 thousand yuan, a year-on-year decrease of 99.03%; gross margin -55.01%, down 73.61 percentage points year-on-year, has been at a loss.

In the second half of last year, after the traditional silk and car business was withdrawn, Jinyu car city announced that it would transfer the real estate subsidiary to the new main business at a price of 10 thousand yuan.

To be restructured into the organic solid waste disposal industry

The transaction plan shows that in this transaction, Wang Kaijun, the trading partner, serves as the director of the listed company as the related party of the company, and the investor who raises the capital to subscribe the North controlled PV as the controlling shareholder of the listed company as the related party of the company. Therefore, this transaction constitutes a connected transaction.

It is understood that the main business of the ten party ring is the comprehensive utilization of landfill gas (biogas) and the centralized disposal of food waste. The main business of China Resources is distributed organic solid waste disposal, which focuses on the harmless and resourceful utilization of domestic waste and food waste.

Before the transaction, the main business of the listed company was the R & D, design, manufacture, sale, and property management of new energy electrical equipment and accessories. After the completion of the transaction, the listed companies will build competitive advantages in the field of domestic waste disposal through the ten party ring energy, the Sino yuan Chuang energy entry into the organic solid waste disposal industry, and gradually develop into a high-quality environmental comprehensive management technology enterprise.

The Changjiang Commercial Daily reporter noted that the ten party ring, one of the successful bid, was established in 2005, and was listed on the new third board at the end of 2015 in 2015. Prior to this, the ten party ring had been able to suspend the transfer of the company's shares since October 22nd because of major issues.

The ten party ring can announce that as of now, the company is actively promoting Jinyu car city planning to issue shares and pay cash to buy company control related work.

It is worth mentioning that before the transaction, Gan Hainan and Duan Ming Xiu respectively held ten party ring to 20.7% and 7.55% shares, and ten party rings were able to control the real estate. In October 22nd this year, the two party respectively transferred the ten party ring holding 2 million 550 thousand shares and 1 million 450 thousand shares to Xingfu 1, and the transfer of shares has not yet been transferred to the stock transfer system. Xingfu 1 has a 6.72% stake in the ten party ring.

In addition, the Yangtze River Commercial Daily reporter noted that the ten party ring recently announced that the second largest shareholder of the company, 8 million of the shares held by Sun Wei, was frozen by the judiciary, accounting for 13.43% of the total share capital of the company. The main reason is the design of private lending disputes. But in this transaction, Sun Wei is not listed in the equity transfer party.

Intends to buy three new board listing target before loss

Integrating ten party annulus Energy annual report and transaction plan data, it is easy to find that the ten party ring has experienced major fluctuations.

From 2015 to 2018, the ten party ring realized business income of 102 million, 105 million, 151 million, and 193 million yuan respectively, up by -40.6%, 2.1%, 44.7% and 27.64%, and the net profit was -1847.53 million, 22 million 926 thousand and 400, 17 million 853 thousand and 500, 28 million 704 thousand and 500 yuan, up -200.39%, 28 million 704 thousand and 500, -22.13%, and 28 million 704 thousand and 500 respectively.

Among them, the first year of the listing of the ten party ring has already seen a deficit, and the performance of the next year's turnaround will be gradually recovered.

Half year report shows that in the first half of this year, the ten party ring will achieve a business income of 101 million yuan, an increase of 23.32% over the same period last year, a net profit of 12 million 743 thousand and 600 yuan, an increase of 9.24% over the previous year, and a net profit of 11 million 651 thousand yuan after deducting non profits, an increase of 0.7% over the same period last year. Gross profit margin for the current period also increased from 37.36% in the same period last year to 39.42%. However, during the reporting period, the net cash flow generated by the ten party ring business activities was 18 million 663 thousand yuan, down 30.05% from the same period last year.

In the first three quarters of this year, ten party rings could achieve total revenue and net profit of 158 million yuan and 20 million 223 thousand and 600 yuan respectively. By the end of the three quarter, the total assets of the ten party ring were 669 million yuan, the total liabilities were 221 million yuan, and the net assets were 448 million yuan.

Another source of the company was founded in April 2010. From 2017 to the first three quarters of 2019, China Yuan Chuang realized its business income of 77 million 128 thousand and 100, 68 million 840 thousand and 800 and 57 million 226 thousand yuan respectively, and its net profit to the parent company was 13 million 754 thousand and 800, 10 million 961 thousand and 500 and 11 million 720 thousand and 100 yuan respectively.

Among them, last year, China Yuan Chuang energy business income and net profit respectively decreased by 10.75% and 20.3% compared to the same period last year.

In this regard, Jinyu car city said in a transaction plan that the net profit data attributable to the parent company's owner in the year 2018 included the 5 million 250 thousand yuan management fee confirmed by the share payment. After excluding the impact, the net profit of the 2018 yuan attributable to the parent company's owner was 18 million 592 thousand and 100 yuan.

The real estate subsidiary is insolvent.

To the organic solid waste disposal industry, Jinyu city also announced the asset disposal plan.

Notice shows that because the company's real estate business profitability is weak, and the company has no land reserve is not enough to support the sustained development of real estate business. The company intends to sell Nanchong Jinyu Real Estate Development Co., Ltd. (hereinafter referred to as "Jinyu real estate") 100% stake.

In November 3rd, through competitive negotiation, the company decided to win the winning unit of Shanghai Rui Cong Cci Capital Ltd in 3 companies invited to bid, with a transaction amount of 10 thousand yuan. A transaction agreement with effective conditions has been signed.

Public information shows that after the name renamed as Jinyu car city, the company's main business expanded from single silk production and sales to silk trade, automobile sales, real estate development and operation. In 2017, Jinyu car city acquired 55% stake in Zhi Lin Electric Company, and the main business of the company changed to new energy electrical equipment manufacturing, sales, silk trade, real estate development, automobile sales.

The transformation did not reverse the decline of Jinyu car city. From 2017 to the first three quarters of 2019, Jinyu car city achieved operating income of 299 million, 491 million, and 17 million yuan respectively, with net profit of 16 million 941 thousand and 400, 8 million 139 thousand and 700, and -6285.35 million yuan. After deducting non profits, net profit 536 thousand and 900, -1.97 billion and -4333.74 yuan were still in the stage of hard shell protection.

In the first half of this year, Jinyu city's new energy and electrical equipment business achieved 1 million 115 thousand yuan of business income, a decrease of 99.03% compared with the same period last year. Gross profit margin -55.01%, a decrease of 73.61 percentage points compared with the same period last year, has been at a loss.

With the original silk and automobile business quit in the second half of last year, Jinyu car city real estate business is also difficult to continue.

Financial data show that from 2018 to the first three quarters of 2019, Jinyu real estate achieved operating income of 20 million 824 thousand and 200 yuan and 12 million 407 thousand and 100 yuan respectively, with a net profit of -2321.02 million and -7537.98 million yuan. By the end of the three quarter of this year, the total assets of Jinyu property were more than 300 million yuan, the total liabilities were 330 million yuan, and the net assets of -2768.05 yuan were already in the state of insolvency.

Jin Yu car city also said that after the completion of Jin Yu real estate equity transfer, the company will be based on the principle of prudence, for the possession of Jin Yu property claims assets impairment allowance, may have 2019 adverse effects on the company's annual earnings and annual reports. However, from the financial situation of Jinyu real estate and the operation situation over the years, the transfer of shares will not significantly increase the risk of recovery of related claims.