China Fund News reporter Nan Shen
The A-shares, which have not been listed by a property management company for many years, still have not accepted new members.
On the evening of December 15, the website of the Shenzhen Stock Exchange was updated, and on December 12, 2023, Mingzhe Group and the sponsor Changjiang Securities applied for the withdrawal of the issuance and listing application documents. In accordance with the relevant rules, the Shenzhen Stock Exchange decided to terminate the review of its initial public offering and listing on the Main Board.
From 2020 to 2022, the company's revenue will be 3.007 billion yuan, 3.342 billion yuan and 3.617 billion yuan respectively. Before the declaration of listing, the company had a surprise dividend and overdraft dividend. During the three years of the reporting period, its total profit was only 632 million yuan, but the cash dividend was as high as 844 million yuan. In addition, as a manpower-intensive enterprise, the company has nearly 5,000 employees who have not paid social security, and more than 20,000 people have not paid housing provident fund.
In this IPO, the company's application was accepted on June 26, and the first round of inquiries was received on July 24, but until now it has not been able to reply to the inquiries, and finally chose to withdraw the listing, and the whole process lasted less than half a year.
The net profit was 630 million yuan, and the dividend exceeded 800 million
According to the prospectus, Mingzhe Group Co., Ltd. (hereinafter referred to as "Mingzhe Group") is mainly engaged in property management related business.
During the reporting period, the company's main business income mainly came from comprehensive property services.
In 2020, 2021 and 2022, the company's operating income was 3.007 billion yuan, 3.342 billion yuan and 3.617 billion yuan respectively, and the proportion of comprehensive property service income in the main business income was 88.72%, 90.48% and 92.31% respectively, and the scale and proportion of revenue continued to rise.
During the reporting period, the company was able to maintain a low growth rate in operating income, but its net profit fell into a state of stagnation after deducting non-recurring gains and losses. According to the prospectus, the net profit deducted from the non-attributable parent of Mingzhe Group during the reporting period was 276 million yuan, 248 million yuan, and 278 million yuan respectively, which declined in 2021 and only increased by 0.75% in 2022 compared with 2020.
Despite the average performance, the company was very willing to pay dividends before the listing. From 2020 to 2022, its cash dividends will be 380 million yuan, 119 million yuan, and 345 million yuan respectively, totaling 844 million yuan, while the total net profit in the same period will only be 632 million yuan. Especially in 2020 and 2021, its dividends far exceeded the net profit of that year.
Because the actual controllers of Mingzhe Group, Gao Haiqing, Zhang Guoling, and Gao Yifei, hold a total of 80.78% of the company's shares and control 91.71% of the company's voting rights, which means that nearly 700 million of the above-mentioned dividends have flowed into the actual controller's family. According to the prospectus, the actual controller's family of three all have permanent residency in Singapore.
In this IPO, the company originally planned to raise 1.41 billion yuan for five projects, including marketing network and brand building, urban service business development and capacity building, of which 190 million yuan was used to supplement working capital.
Nearly 5,000 employees have not paid social security
As a manpower-intensive service-oriented industry, the issue of social security provident fund has always been one of the focuses of the listing review. The reporter noticed that Mingzhe Group, which has tens of thousands of employees, also has a high proportion of unpaid social security provident fund, and the total amount of unpaid once accounted for nearly 20% of the company's net profit.
Specifically, as of December 31, 2022, the number of employees of Mingzhe Group and its subsidiaries was 46,200, and after deducting 14,500 retired and rehired personnel and 111 part-time employees, the number of people who should pay social insurance and housing provident fund was 31,600.
However, even if the improvement is stepped up during the reporting period, by the end of 2022, there are still 4,682 people in Mingzhe Group who have not paid social security, and the number of people who have not paid the provident fund is as high as 23,200, with the proportion of unpaid funds reaching 14.82% and 73.5% respectively.
In this regard, Mingzhe Group explained that the main reason for the failure to pay is that "some employees voluntarily give up the payment for personal reasons". However, this undoubtedly buries hidden dangers for the company and may cause the risk of backpayment.
According to the prospectus, the company's main business cost is mainly labor cost, and the proportion of labor cost (including labor dispatch and labor outsourcing cost) in the main business cost in each period of the reporting period is 82.36%, 85.52% and 87.25% respectively. However, the company did not pay social security and provident fund for some employees, which saved a lot of costs.
In each period of the reporting period, the total amount of the company's unpaid social security and provident fund accounted for 17.28%, 18.6% and 11.91% of the net profit attributable to the parent company after deducting non-payment in the current period.
Editor: Captain
Review: Muyu