Produced by: Sina Finance Research Institute of Listed Companies

Author: Dayan Lou Guan/Zhu

On the evening of December 5, Beijing Jinyu Group The Joint Stock Company Limited (hereinafter referred to as "Jinyu Group" or the Company) announced that its wholly-owned subsidiary Jinyu Real Estate had won the state-owned construction land use right of Suyuan Tujia (2023) Lot 04 through public listing and bidding, with a total transaction price of 2.897 billion yuan. The company's frequent moves in recent two months have attracted attention.

　　 More than 2 billion war investment Fantastic Home . Large scale land acquisition requires financing to ease liquidity?

Recently, Jinyu Group has been acting continuously. First, in mid November, the company invested 2.232 billion yuan to acquire 10% of the shares of Unintech House as its strategic investor, and then the company's subsidiaries, Dunshi Real Estate and Jinyu Real Estate, won two residential plots in Tangshan and Suzhou at a price of 443 million yuan and 2.897 billion yuan respectively.

According to public reports, the Suzhou plot snapped by the company last week is the only premium plot among the eighth batch of centralized land supply in Suzhou, with a premium rate of more than 30%.

In contrast to several capital outflows, one of the main topics discussed at the second extraordinary general meeting of shareholders held at the end of November was related to the public issuance of corporate bonds. The resolution stated that the scale of this public offering should not exceed 10 billion yuan and the term should not exceed 10 years, while specific information such as bond interest rates should be confirmed after subsequent comprehensive consideration of various factors.

It is worth noting that the main purpose of the raised funds is to repay bank loans, bonds and other debt financing instruments and/or supplement working capital. Specifically, the company's current short-term interest bearing liabilities and solvency. As of September 30, the company's monetary capital balance was 20.093 billion yuan, while short-term borrowings and non current liabilities due within a year were 30.013 billion yuan and 11.842 billion yuan, respectively. The gap between the funds in hand and these two amounts to 21.762 billion yuan, which does not take into account the restricted part of monetary capital. In this view, 10 billion yuan of corporate bonds cannot completely cover the gap.

However, under the pressure of overall solvency, the need to issue bonds to "borrow the old for the new" and supplement working capital, the rationality of taking land at a premium and acquiring equity is still questionable.

What is the reason why the net profit in the first three quarters turned into a loss and the asset disposal income increased by more than 600 million on a year-on-year basis?

At the end of October, the company announced the third quarter report, of which the operating revenue from January to September was 72.595 billion yuan, down 8.77% year on year; The net profit attributable to the parent company was 10.6147 million yuan, a decrease of 99.54%; And the net profit also turned into a loss, which dropped sharply to - 419 million yuan from 3.094 billion yuan in the same period last year.

Also noteworthy in the income statement is that the asset disposal income from January to September was 650 million yuan, up 1327.75% year on year. The Company's explanation for the change is that the income received from asset disposal increased year on year. As the income from asset disposal in the first half of the year has reached 620 million yuan, please refer to the details and reasons in the interim report.

From the details of the interim report, the main increase in asset disposal income is 525 million yuan of intangible asset disposal income. The original book value of intangible assets decreased by 27.1618 million yuan in the first half of the year, of which the original book value of disposal was 6.0658 million yuan. It is doubtful what intangible assets can be disposed to achieve such high returns.

　　 Long aging balance of receivables growth, collection and inventory reduction are under pressure

According to public reports, the company issued the first phase of securitization of accounts receivable assets at the end of November, with a product scale of 550 million yuan. From the perspective of the balance sheet, the Company's receivables are still large. As of September 30, the balance of accounts receivable was 10.455 billion yuan, up 9.66% year on year; The balance of other receivables is also expanding, from 9.148 billion yuan in the same period last year to 9.612 billion yuan. At the same time, according to Wind calculation, the turnover rate of accounts receivable of the company has also decreased from 9.33 at the end of September last year to 8.03 at the same period this year, which puts pressure on the ability to collect payments.

From the perspective of aging, the balance of accounts receivable and other receivables in the first half of the year accounted for 60.08% and 39.87% respectively; However, it is worth noting that in the first half of this year, the long aging balances of two subjects with more than three years have increased year on year: the balance of accounts receivable with more than three years is 2.222 billion yuan, with a year-on-year growth of about 17.73%; The balance of other receivables over three years is 4.126 billion yuan, of which the balance over five years is 3.093 billion yuan, accounting for 30.24% of the total balance of other receivables, which is only second to the balance of other receivables within one year. For these long aging receivables, the subsequent collection situation remains to be observed.

Looking at the inventory of the company, although the balance in the first half of the year and the end of September showed that the overall scale had declined compared with the same period last year, if we look specifically at the details disclosed in the interim, as of the end of June, the balance of finished products and developed products was 5.9 billion yuan and 34.1 billion yuan respectively, up 43.90% and 4.92% respectively from 4.1 billion yuan and 32.5 billion yuan in the same period last year. To some extent, it reflects that the two major sectors of the company, the new green building materials sector and the real estate development and operation sector, may have the pressure of inventory reduction.