Source: China Economic Network
On June 2, jintuo technology co., ltd. (hereinafter referred to as "jintuo technology") will be held for the first time application, the sponsoring institution (lead underwriter) is Haitong Securities Co., Ltd., and the sponsor representatives are Xie Linlei and Yang Bowen. Jintuo Technology intends to be listed on the main board of the Shanghai Stock Exchange, and the number of shares issued shall not exceed 67.952 million shares, accounting for no less than 25% of the total share capital after the issuance. The company intends to raise 585 million yuan, of which 480.3892 million yuan is used for smart auto parts production projects, 55 million yuan is used for R&D center construction projects, and 50 million yuan is used to supplement working capital.
Jintuo Technology is mainly engaged in the research and development, production and sales of aluminum alloy precision die castings. Relying on advanced technology and manufacturing technology in the fields of die casting, mold design and machining, the company has formed a diversified product structure based on auto parts, as well as smart home parts, industrial automation and robot parts, and information transmission equipment parts.
The controlling shareholder of Jintuo Technology is Zhituo Investment. As of the date of signing of the Prospectus, Zhituo Investment holds 63.30% of the shares of Jintuo Technology. The actual controllers of Jintuo Technology are Zhang Dong and He Wenying. Zhang Dong directly holds 18.49% of the shares of Jintuo Technology and controls 2.94% of the shares of Jintuo Technology through Panzhu Partnership, Xixia Partnership and Qinxi Partnership; He Wenying directly holds 12.32% of the shares of Jintuo Technology, and controls 2.94% of the shares of Jintuo Technology through Panjin Partnership, Zhaoqian Partnership and Zhupan Partnership; Zhang Dong and He Wenying control 63.30% of the shares of Jintuo Technology through Zhituo Investment, and both parties jointly control 100% of the shares of Jintuo Technology. Zhang Tianyu and Zhang Xinyi, the children of Zhang Dong and He Wenying, indirectly hold 3.17% and 3.17% of the shares of Jintuo Technology through Zhituo Investment, respectively, and are the concerted actors of Zhang Dong and He Wenying.
The company's 2019 dividend is close to the annual net profit. In May 2019, jintuo limited shareholders' meeting resolved to pass a dividend distribution resolution to distribute dividends to two shareholders of the company, Zhang Dong and He Wenying, with an amount of 60 million yuan. In September 2020, the Company's Second Extraordinary General Meeting of Shareholders in 2020 passed the "Proposal on the Profit Distribution of Jintuo Technology Co., Ltd.", distributing dividends to the Company's shareholders Zhituo Investment, Zhang Dong and He Wenying, with an amount of 10 million yuan. It is reported. In 2019, the net profit of Jintuo Technology was 60.1061 million yuan.
Jintuo Technology's operating income in 2020 decreased by 1.35% year-on-year, and its net profit increased by 38% year-on-year. In 2018, 2019, 2020 and January-June 2021, the operating income of Jintuo Technology was 655.5283 million yuan, 712.9709 million yuan, 703.3372 million yuan and 416.4219 million yuan, respectively, and the main business income was 640.3483 million yuan, 695.823 million yuan, 685.7296 million yuan and 404.6693 million yuan, respectively, and the cash received from the sale of goods and the provision of labor services was 65. 6,925,600 yuan, 637,714,900 yuan, 720,368,500 yuan, 401,973,300 yuan.
In 2018, 2019, 2020 and January to June 2021, the net profit of Jintuo Technology was 51.7505 million yuan, 60.1061 million yuan, 82.9443 million yuan and 34.7585 million yuan, respectively, and the net profit attributable to the shareholders of the parent company after deducting non-recurring gains and losses was 56.402 million yuan, 56.1299 million yuan, 75.4383 million yuan and 33.5585 million yuan, respectively Net cash flow from operating activities was RMB44.8668 million, RMB62.1838 million, RMB158.179 million and RMB63.1483 million, respectively.
The company deducted non-ROE decline. In 2018, 2019, 2020 and January to June 2021, the weighted average return on net assets of Jintuo Technology was 15.17%, 17.60%, 17.15% and 5.86%, respectively, and the weighted average return on net assets after deducting non-recurring gains and losses was 18.93%, 16.43%, 15.60% and 5.64%, respectively.
At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the total assets of Jintuo Technology were 701.1737 million yuan, 831.2798 million yuan, 1108.9754 million yuan and 1245.6164 million yuan, respectively, and the total liabilities were 354.6669 million yuan, 386.667 million yuan, 531.4182 million yuan and 625.3008 million yuan, respectively, and the asset-liability ratio was 50.58% and 46.51%, respectively. 47.92%、50.20%。
The current ratio is the ratio of current assets to current liabilities, which is used to measure the ability of an enterprise's current assets to be turned into cash to repay liabilities before short-term debt matures, and the reasonable minimum current ratio is 2. The quick ratio refers to the ratio of the enterprise's quick assets to current liabilities, which is used to measure the ability of the enterprise's current assets to be easily realized to repay the current liabilities, and the quick ratio is maintained at 1.
Jintuo Technology's current ratio is always lower than 2, while the quick ratio is always lower than 1, and its solvency is weak. At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the current ratios of Jintuo Technology were 1.12, 1.15, 1.17 and 1.14, respectively, and the quick ratios were 0.83, 0.87, 0.93 and 0.90, respectively.
In addition, compared with comparable listed companies in the same industry, at the end of each period of the reporting period, the current ratio and quick ratio of Jintuo Technology were lower than the average of comparable listed companies, and the asset-liability ratio was higher than the average of comparable listed companies. At the end of each reporting period, the average asset-liability ratios of comparable listed companies in the same industry were 44.45%, 41.25%, 42.67% and 39.89%, respectively; the average current ratios were 1.32, 1.68, 1.28 and 1.86, respectively; and the average quick ratios were 0.99, 1.35, 0.97 and 1.36, respectively.
The company's gross profit margin decreased from January to June 2021. In 2018, 2019, 2020 and January to June 2021, the gross profit margin of Jintuo Technology's main business was 19.92%, 22.34%, 23.23% and 19.44%, respectively. In addition, compared with comparable listed companies in the same industry, the company's gross profit margin is slightly below average. During the reporting period, the average gross profit margin of listed companies in the same industry was 28.23%, 27.33%, 25.97% and 23.95%, respectively.
The company's capacity utilization rate is not saturated. In 2018, 2019, 2020 and January-June 2021, the capacity utilization rate of Jintuo Technology was 83.55%, 85.48%, 85.05% and 90.19% respectively. In each period of the reporting period, the production and sales rates of auto parts were 97.36%, 99.79%, 101.85% and 96.01%, respectively, and the production and sales rates of industrial parts were 96.87%, 99.71%, 101.20% and 97.04%, respectively.
The price of the company's main products fell. During the reporting period, the company's main products were auto parts and industrial parts. In 2018, 2019, 2020 and January to June 2021, the sales revenue of auto parts accounted for 64.27%, 65.75%, 67.25%, and 70.59% respectively; the sales revenue of industrial parts accounted for 31.12%, 28.78%, 27.61%, and 24.48% respectively. In 2018, 2019, 2020 and January to June 2021, the prices of auto parts were 11.77 yuan / piece, 10.77 yuan / piece, 10.57 yuan / piece, 10.07 yuan / piece, and industrial parts prices were 10.30 yuan / piece, 9.81 yuan / piece, 10.22 yuan / piece, 9.90 yuan / piece, respectively.
At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the book balances of Jintuo Technology's accounts receivable were 209.193 million yuan, 251.0499 million yuan, 243.6937 million yuan and 260.3378 million yuan, respectively. During the reporting period, the company's accounts receivable turnover rate was 3.40, 3.10, 2.84 and 3.30 respectively, and the average accounts receivable turnover rate of comparable companies in the same industry was 3.84, 3.63, 3.68 and 4.21, respectively. At the end of each period, the inventory balance of Jintuo Technology was 103.8339 million yuan, 100.4123 million yuan, 99.3503 million yuan and 112.9909 million yuan, respectively. During the reporting period, the company's inventory turnover rate was 6.03, 5.46, 5.44 and 6.35, respectively, and the average inventory turnover rate of comparable companies in the same industry was 5.08, 4.55, 4.56 and 4.82, respectively.
In 2018, 2019, 2020 and January to June 2021, the amount of government subsidies included in the profit and loss of Jintuo Technology in the current period was 1.8668 million yuan, 1.8983 million yuan, 8.5621 million yuan and 1.6225 million yuan, accounting for 3.24%, 2.82%, 9.15% and 4.28% of the total profit, respectively.
According to the prospectus of Jintuo Technology, during the reporting period, there were cases in which related parties provided related party guarantees for the company's bank loans, which were mainly arising from the company's normal financing needs in accordance with financing transaction practices. The total amount is $660 million. In addition, during the reporting period, the Company had capital transactions with related parties due to temporary working capital. The company has gradually established a sound internal control system to regulate the capital transactions of related parties. As of December 31, 2020, the balance of the Company's capital transactions with related parties was RMB1 million payable to Zhang Dong, which was returned in early 2021.
The company had fewer employees in both 2020 and the first half of 2021 than in 2018 and 2019. The number of employees in 2020 is 168 fewer than in 2019. At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the number of employees of Jintuo Technology was 1150, 1233, 1065 and 1131 respectively. According to the prospectus, during the reporting period, the sum of the number of labor dispatch and labor outsourcing occupied by Jintuo Technology was 30.04%, 14.17%, 19.05% and 24.44% respectively, and the sum of labor dispatch and labor outsourcing expenses accounted for 7.30%, 3.52%, 4.75% and 5.76% of the operating costs, respectively.
During the reporting period, the total number of laborers occupied by jintuo technology labor outsourcing was 8.98%, 14.17%, 19.05% and 24.44% respectively. In 2018, the total number of labor dispatched workers occupied was 21.06%, and there was none after that. Jintuo Technology said that in 2018, the number, cost and proportion of labor dispatched by the company were relatively high, and the company used labor dispatch employment methods more during the year, but the company had terminated the labor dispatch agreement with the labor dispatch company in December 2018 and converted some of the dispatched employees into regular employees. As a result, there are no labor dispatches at the end of 2019, the end of 2020, and the end of June 2021. However, due to the large mobility of grass-roots employees, temporary labor tensions and the increase in the demand for expanding the company's business scale, the number and cost of labor outsourcing of the company have increased since 2019.
Jintuo Technology's prospectus disclosed safety production violations. Jintuo Materials was not trained in special safety operations in accordance with the regulations by a special (melt welding and thermal cutting) operator, and did not obtain the corresponding qualifications and worked on the job. On May 10, 2018, the Wuxi Municipal Administration of Work Safety issued the Zion Supervision and Punishment [2018] No. 030 Administrative Punishment Decision, finding that the above acts violated the first paragraph of Article 27 of the Work Safety Law of the People's Republic of China, and imposed a fine of RMB15,000 in accordance with the provisions of Item 7 of Article 94 of the Work Safety Law of the People's Republic of China.
The main supplier, Jiashan Yaosheng, has been punished by the Bureau of Ecology and Environment. Jintuo Materials disclosed in the prospectus that during the period of cooperation with the company, the administrative penalties of major suppliers showed that Jiashan Yaosheng Electronic Technology Co., Ltd. was fined 16,300 yuan by the Jiashan County Ecological and Environmental Bureau (Shanhuan Penalty Zi [2018] No. 194) on November 25, 2018, and fined 20,000 yuan by jiaxing Ecological and Environmental Bureau (Jiahuan (Shan) Penalty Zi [2021] No. 25 on June 18, 2021).
In addition, public information shows that jintuo technology's top five suppliers have also been punished by environmental protection.
Aluminum alloy precision die casting enterprises sprint to the main board of the Shanghai Stock Exchange to raise 585 million yuan
Jintuo Technology intends to be listed on the main board of the Shanghai Stock Exchange, and the number of shares issued shall not exceed 67.952 million shares, accounting for no less than 25% of the total share capital after the issuance; the issuance is all new shares and does not involve the public offering of shares by the shareholders of the company. The sponsoring institution (lead underwriter) of Jintuo Technology is Haitong Securities Co., Ltd., and the sponsoring representatives are Xie Linlei and Yang Bowen.
Jintuo Technology intends to raise 585 million yuan, of which 480.3892 million yuan is used for smart auto parts production projects, 55 million yuan is used for R&D center construction projects, and 50 million yuan is used to supplement working capital.
The 2019 dividend is close to the annual net profit
Jintuo Technology disclosed the dividend distribution during the reporting period.
In May 2019, the shareholders' meeting of Jintuo Limited passed the resolution on dividend distribution, and distributed dividends to two shareholders of the company, Zhang Dong and He Wenying, in the amount of 60 million yuan.
In September 2020, the Company's Second Extraordinary General Meeting of Shareholders in 2020 passed the "Proposal on the Profit Distribution of Jintuo Technology Co., Ltd.", distributing dividends to the Company's shareholders Zhituo Investment, Zhang Dong and He Wenying, with an amount of 10 million yuan.
In 2019, the net profit of Jintuo Technology was 60.1061 million yuan.
In 2020, the revenue decreased and net profit increased
Jintuo Technology's operating income in 2020 decreased by 1.35% year-on-year, and its net profit increased by 38% year-on-year.
In 2018, 2019, 2020 and January-June 2021, the operating income of Jintuo Technology was 655.5283 million yuan, 712.9709 million yuan, 703.3372 million yuan and 416.4219 million yuan, respectively, and the main business income was 640.3483 million yuan, 695.823 million yuan, 685.7296 million yuan and 404.6693 million yuan, respectively, and the cash received from the sale of goods and the provision of labor services was 65. 6,925,600 yuan, 637,714,900 yuan, 720,368,500 yuan, 401,973,300 yuan.
In 2018, 2019, 2020 and January to June 2021, the weighted average return on net assets of Jintuo Technology was 15.17%, 17.60%, 17.15% and 5.86%, respectively, and the weighted average return on net assets after deducting non-recurring gains and losses was 18.93%, 16.43%, 15.60% and 5.64%, respectively.
The current ratio and quick ratio are lower than the average of comparable listed companies
Compared with comparable listed companies in the same industry, at the end of each reporting period, jintuo technology's current ratio and quick ratio were lower than the average of comparable listed companies, and the asset-liability ratio was higher than the average value of comparable listed companies.
At the end of each reporting period, the average asset-liability ratios of comparable listed companies in the same industry were 44.45%, 41.25%, 42.67% and 39.89%, respectively; the average current ratios were 1.32, 1.68, 1.28 and 1.86, respectively; and the average quick ratios were 0.99, 1.35, 0.97 and 1.36, respectively.
Gross margin for January-June 2021 decreased by 3.79% compared to 2020
In 2018, 2019, 2020 and January to June 2021, the gross profit margin of Jintuo Technology's main business was 19.92%, 22.34%, 23.23% and 19.44%, respectively.
Jintuo Technology said that the company's main business gross profit margin from 2018 to 2020 showed a stable growth trend, from January to June 2021, the price of the company's main raw material aluminum continued to rise, although the company has actively negotiated with customers, the product price according to the changes in raw material prices in the quarter or half year after the adjustment, but due to the lag in price adjustment, in the short term caused by the company's operating costs increased, gross profit margin declined, so the company's current gross profit margin fell by 3.79% compared with 2020.
The company's gross profit mainly comes from the auto parts business, and its gross profit accounted for 64.67%, 64.59%, 65.18% and 66.72% respectively, which remained stable during the reporting period.
During the reporting period, the average gross profit margin of listed companies in the same industry was 28.23%, 27.33%, 25.97% and 23.95%, respectively.
Jintuo Technology said that due to the wide variety of auto parts, the difference in product structure and customer structure has led to certain differences in the gross profit margin level of different companies in the industry. Compared with comparable listed companies in the same industry, the company's gross profit margin is slightly lower than the average but the overall level is at a reasonable level.
Capacity utilization is unsaturated
Jintuo Technology prospectus shows that the core processes of the company's main products include smelting, die casting, machining, etc., considering the actual production equipment and personnel usage of each process, of which the die casting process is the main bottleneck of the issuer's production. Therefore, the utilization rate of die-casting equipment can fully reflect the capacity utilization rate of the company's main products.
In 2018, 2019, 2020 and January-June 2021, the capacity utilization rate of Jintuo Technology was 83.55%, 85.48%, 85.05% and 90.19% respectively.
During the reporting period, the company's main products were auto parts and industrial parts. In each period, the production and sales rates of auto parts of Jintuo Technology were 97.36%, 99.79%, 101.85% and 96.01%, respectively, and the production and sales rates of industrial parts were 96.87%, 99.71%, 101.20% and 97.04% respectively.
Prices of major products fell
During the reporting period, the main products of Jintuo Technology were auto parts and industrial parts.
In 2018, 2019, 2020 and January to June 2021, Jintuo Technology's auto parts sales revenue accounted for 64.27%, 65.75%, 67.25%, 70.59% respectively; industrial parts sales revenue accounted for 31.12%, 28.78%, 27.61%, and 24.48%, respectively.
In 2018, 2019, 2020 and January to June 2021, the prices of auto parts of Jintuo Technology were 11.77 yuan / piece, 10.77 yuan / piece, 10.57 yuan / piece, 10.07 yuan / piece, and 10.07 yuan / piece; the price of industrial parts was 10.30 yuan / piece, 9.81 yuan / piece, 10.22 yuan / piece, 9.90 yuan / piece, respectively.
At the end of June 2021, the turnover rate of accounts receivable of 260 million yuan was lower than the average of comparable companies
At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the book balances of Jintuo Technology's accounts receivable were 209.193 million yuan, 251.0499 million yuan, 243.6937 million yuan and 260.3378 million yuan, respectively. During the reporting period, the company's accounts receivable turnover rate was 3.40, 3.10, 2.84 and 3.30 respectively, and the average accounts receivable turnover rate of comparable companies in the same industry was 3.84, 3.63, 3.68 and 4.21, respectively.
At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the inventory book balances of Jintuo Technology were 103.8339 million yuan, 100.4123 million yuan, 99.3503 million yuan and 112.9909 million yuan, respectively. During the reporting period, the company's inventory turnover rate was 6.03, 5.46, 5.44 and 6.35, respectively, and the average inventory turnover rate of comparable companies in the same industry was 5.08, 4.55, 4.56 and 4.82, respectively.
In 2020, the amount of government subsidies included in the profit and loss of the current period was 8.5621 million yuan
Jintuo Technology said that the company's government subsidies included in the current period's profit and loss accounted for a low proportion of total profits, after deducting government subsidies, the company's net profit still showed a steady growth trend, government subsidies had less impact on the company's performance, and the company's operating results did not have a serious dependence on government subsidies.
Related parties have repeatedly provided related party guarantees for the company's bank loans
According to the prospectus of Jintuo Technology, during the reporting period, there were cases in which related parties provided related party guarantees for the company's bank loans, which were mainly arising from the company's normal financing needs in accordance with financing transaction practices. The total amount is $660 million.
In addition, during the reporting period, the Company had capital transactions with related parties due to temporary working capital. The company has gradually established a sound internal control system to regulate the capital transactions of related parties. As of December 31, 2020, the balance of the Company's capital transactions with related parties was RMB1 million payable to Zhang Dong, which was returned in early 2021.
The number and cost of labor outsourcing began to increase in 2019
At the end of 2018, the end of 2019, the end of 2020 and the end of June 2021, the number of employees of Jintuo Technology was 1150, 1233, 1065 and 1131 respectively.
During the reporting period, the company's labor dispatch and labor outsourcing employees were all production personnel.
During the reporting period, the total number of laborers occupied by jintuo technology labor outsourcing was 8.98%, 14.17%, 19.05% and 24.44% respectively. In 2018, the total number of labor dispatched workers occupied was 21.06%, and there was none after that.
According to the prospectus, during the reporting period, the sum of the labor dispatch and labor outsourcing quantities of Jintuo Technology was 30.04%, 14.17%, 19.05% and 24.44% respectively, and the sum of labor dispatch and labor outsourcing expenses accounted for 7.30%, 3.52%, 4.75% and 5.76% of the operating costs, respectively.
Jintuo Technology said that in 2018, the number, cost and proportion of labor dispatched by the company were relatively high, and the company used labor dispatch employment methods more during the year, but the company had terminated the labor dispatch agreement with the labor dispatch company in December 2018 and converted some of the dispatched employees into regular employees. As a result, there are no labor dispatches at the end of 2019, the end of 2020, and the end of June 2021. However, due to the large mobility of grass-roots employees, temporary labor tensions and the increase in the demand for expanding the company's business scale, the number and cost of labor outsourcing of the company have increased since 2019.
During the reporting period, the average number of regular workers, labor outsourcing and labor dispatch personnel was 1458.00, 1489.00, 1433.00 and 1616.00 respectively, and the total proportion of related expenses of the above three types of personnel to operating costs was 20.34%, 20.86%, 19.29% and 19.68%, respectively, and the number of employees and expenses in the current year decreased due to the impact of factors such as epidemic suspension and social security reduction and reduction. From January to June 2021, due to the large increase in aluminum prices, the proportion of direct materials in operating costs increased, resulting in a decrease in the proportion of labor costs.
He was fined for safety production violations
Jintuo Technology's prospectus disclosed safety production violations.
Jintuo Materials was not trained in special safety operations in accordance with the regulations by a special (melt welding and thermal cutting) operator, and did not obtain the corresponding qualifications and worked on the job. On May 10, 2018, the Wuxi Municipal Administration of Work Safety issued the Zion Supervision and Punishment [2018] No. 030 Administrative Punishment Decision, finding that the above acts violated the first paragraph of Article 27 of the Work Safety Law of the People's Republic of China, and imposed a fine of RMB15,000 in accordance with the provisions of Item 7 of Article 94 of the Work Safety Law of the People's Republic of China.
In addition, the prospectus of Jintuo Technology also disclosed the inspection of the competent department. Jintuo Technology said that during the reporting period, the Work Safety Supervision Administration and the Market Supervision administration carried out corresponding inspections of the company's production and operation, and the company has been rectified in accordance with relevant regulations after accepting the inspection of the competent departments, and these matters have not caused a significant adverse impact on the company's production and operation.
The main supplier, Jiashan Yaosheng, has been punished by the Bureau of Ecology and Environment
Jintuo Materials disclosed in the prospectus that during the reporting period, the company's main external negotiations have obtained the corresponding production qualifications. After verification on the National Enterprise Credit Information Publicity System, the China Market Supervision Administrative Punishment Document Network, and the China Judgment Documents Network, etc.
During the period of cooperation with the company, the administrative penalties of major suppliers show that Jiashan Yaosheng Electronic Technology Co., Ltd. was fined 16,300 yuan by the Jiashan County Ecological and Environmental Bureau (Shanhuan Penalty Zi [2018] No. 194) on November 25, 2018, and fined 20,000 yuan by jiaxing Ecological and Environmental Bureau (Jiahuan (Shan) Penalty Zi [2021] No. 25) on June 18, 2021.
Suppliers continue to impose environmental penalties
Jintuo Technology's suppliers continue to impose environmental penalties.
Among the top five suppliers, Kunshan Chaoqun Metal Products Co., Ltd. was fined 59,600 yuan by the Suzhou Municipal Bureau of Ecology and Environment (Su Huanxing Penalty Zi [2021] 83 No. 1) on January 13, 2021.
Shuai Yi chi new material group co., LTD. received three consecutive fines on December 28, 2021, and was fined and ordered to make corrections by the Shanghai Jinshan District Ecological and Environmental Bureau. On February 5, 2015, the company violated the "three simultaneous" and acceptance system of the construction project, and was ordered by the Shanghai Jinshan District Ecological and Environmental Bureau to stop production or use and fined.
Nantong Zhongfu New Material Technology Co., Ltd. was punished by the Nantong Municipal Bureau of Ecology and Environment (Tong 06 Ring Penalty Zi [2022] No. 42) on January 31, 2022.
On April 8, 2018, Kunshan Qunjie Metal Products Co., Ltd. was fined 40,000 yuan by the Kunshan Municipal Environmental Protection Bureau (Kunhuan Penalty (2018) No. 105) for "violating the air pollution prevention and control management system".
Suzhou Cangsong Metal Products Co., Ltd. was punished by the Suzhou Taicang Municipal Bureau of Ecology and Environment (Taihuan Xing Penalty Zi [2018] No. 223) on September 12, 2018.
(Source: China Economic Network)