The decline of the real estate industry in 2021, the first to bear the brunt of it is nothing more than the decoration industry, let us focus on Shenzhen, you will find that the decoration industry is in mourning, even listed companies can not avoid. In this issue, follow The Dragon Hui Engineering Network Xiaoqiu to take a look at some famous decoration companies in Shenzhen to see how they are?
Qixin shares lost hundreds of millions of yuan, caught in the whirlpool of legal disputes!
Shenzhen Qixin Construction Group Co., Ltd. (hereinafter referred to as: Qixin Co., Ltd.) was established in 1995, the current registered capital of 180 million yuan, is a special grade A for architectural decoration engineering design, a special grade A for building curtain wall engineering design, a professional contract for building decoration and decoration engineering, a professional contract for building curtain wall engineering, a professional contract for building intelligent engineering, a professional contract for mechanical and electrical equipment installation engineering, a professional contract for fire fighting facilities, a professional contract for metal doors and windows, and a professional contract for steel structure engineering. Joint-stock enterprises with qualifications such as urban landscaping and foreign contracting project qualifications. It has won the honorary titles of "Top 500 Enterprises in Guangdong Province", "Top 100 Enterprises in China's Building Decoration Industry 'Top 10 Units of Comprehensive Strength'", "Contract-abiding and Credit-worthy Enterprises in Guangdong Province" and so on.
Thirty years of Hedong, thirty years of Hexi, with the fall of Evergrande in the middle of this year, Qixin shares have also begun to decline. There are also netizens on the Internet asking "How much does the company's Evergrande business account for?" Evergrande's debt is at the top, how big is the impact on the company? Qixin shares replied at that time: "In 2020, Beijing Yinghao, a wholly-owned subsidiary of the company, undertook Evergrande business, and the parent company did not undertake Evergrande-related business, and Evergrande business accounted for about 0.09% of the company's 2020 consolidated statement operating income, which had no significant impact on the company's operation." Is it true as Qixin shares said? Why did it go downhill since the middle of the month, and even fell into legal disputes, unable to extricate itself?
It is reported that on October 29, 2021, Qixin Co., Ltd. released the first three quarters of 2021 report, and the operating income during the reporting period was 843,403,789.20 yuan, a year-on-year decrease of 43.17%; the loss was 139,951,067.98 yuan. The loss in the third quarter was 140 million yuan, but it is conceivable that the dilemma faced by Qixin shares is not a little bit and a half, which is an unprecedented challenge for Qixin shares!
Source: Shenzhen Stock Exchange
According to the current loss situation, the cash flow may have been in trouble. Longhui Engineering Network Xiaoqiu On Love Qi qi check inquired about the situation of Qixin shares, and sure enough, legal disputes continued, and even 10 records were enforced by the court, the amount of enforcement ranging from thousands to hundreds of thousands, and the scattered estimates added up to more than 3 million.
Source: Aiqicha
On November 4, Ye Yousheng, director and vice chairman of Qixin Co., Ltd., resigned, and as of November 3, 2021, Mr. Ye Yousheng did not directly hold shares in the company, but indirectly held about 5.9 million shares in the company through Xinyu High-tech Zone Zhida Investment Co., Ltd. On November 9, the two major shareholders of Qixin shares were supervised, and their shares were frozen for more than one month without disclosure. According to the disclosure, the executor of the freeze is the Intermediate People's Court of Xinyu City, Jiangxi Province, and the amount of creditor's rights and enforcement costs in the case is about 220 million yuan; the number of securities that the executor actually needs to freeze is about 26.84 million shares.
Hongtao shares executives frequently leave their jobs and face multiple lawsuits!
Coincidentally, Hongtao shares, another listed decoration company in Shenzhen, are also full of difficulties. Hongtao shares have also won the "Shenzhen Top 100 Brands", "the most potential 50 listed companies" and other honors, but, from the performance of recent years, perhaps the highlight of Hongtao shares is no longer there.
On November 11, the executives of Hongtao shares changed, Liu Yuexin (chairman) changed to Liu Wang (chairman); earlier, in early August, Hongtao shares changed the financial director, it is reported that within one year of Hongtao shares, the position of financial director changed three times, and in the three changes, Liu Yongqing served for more than one year, and the other two financial directors did not last more than one year.
Source: Daily Economic News
Behind the frequent departures of executives, or the company's performance is not satisfactory? Data show that in 2018, the net profit of Hongtao shares plummeted by 407.58%, with a net loss of 422 million yuan. In 2019, the performance turned around, achieving a net profit of 36.5178 million yuan. However, in 2020, the net profit once again turned from profit to loss, with a loss of 350 million yuan, a plunge of 1057.10%. Performance shocks, the main revenue decline, HongTao shares can be described as difficult.
Source: Aiqicha
Xiaoqiu of Longhui Engineering Network learned from Aiqicha that Hongtao shares faced many lawsuits due to construction project contract disputes, decoration contract disputes, etc. In addition, there are several records of restricted spending in the company's history. It has even been listed by the court as an executor, and the data from May 2021 to today alone reaches 31. According to the disclosure of Hongtao shares, as of June 22, 2021, the company and its holding subsidiaries have accumulated a total amount of 295 million yuan in litigation and arbitration matters, accounting for 10.60% of the absolute value of the company's latest audited net assets.
From Qixin shares to Hongtao shares, it is not difficult for us to find that due to the impact of policies and epidemics, the decoration industry is facing a huge crisis, and the industry competition is fierce, and the development space is limited; the small partners of Longhui Engineering Network, how do you say China's decoration industry should go? How can we go further? Feel free to leave a comment in the comments section and express your thoughts!