February 9, the SFC official website hung out of Foxconn Industrial Internet Co., Ltd. IPO prospectus shows that the world's largest foundry will soon impact the A-share market.
Honor listing commitments
Hon Hai Precision was founded in 1974, is the world's electronics products 'foundry giants', the founder is Terry Gou.The mainland's main business is Foxconn.
Foxconn, as the main business of Hon Hai Precision Group in mainland China, has been attracting much attention.
According to the official website, Foxconn Technology Group is a hi-tech enterprise specialized in the research, development and manufacturing of 3C products such as computers, telecommunications and consumer electronics. It has extensive involvement in the development and application of digital content, automotive components, access roads, cloud computing services and new energy and new materials. Is the world's largest electronics manufacturing and technology service provider with a total import and export volume accounting for 3.6% of total mainland China's import and export volume in 2016 and 27th place in Fortune Global 500 in 2017. In addition,
As early as June 2015, Hon Hai Chairman Terry Gou said at the meeting that Hon Hai's business in mainland China may be disembarked in Shanghai and Shenzhen stock markets within the next three to five years, which means that Hon Hai's large foundries in mainland China Foxconn will be listed on the financing.
On the evening of December 13 last year, the Taiwan Stock Exchange announced that Hon Hai Precision Board through its subsidiary Foxconn Industrial Internet Co., Ltd. initial public offering of RMB ordinary shares and apply for listing on the Shanghai Stock Exchange.
For Foxconn's listing, some media pointed out that there are more than 20 Taiwanese investors who have taken part in the A-share market. However, it is the first time that a Taiwan-funded holding company seeks A-share listing.
The prospectus, released on February 9, shows that the controlling shareholder of Foxconn Industrial Internet Co., Ltd. is the backbone of the company, which was established on November 29, 2007 as an investment-holding company with its 100 % Of the interest as of this prospectus signing date, because there is no actual controller of Hon Hai precision, so the company does not exist the actual controller.
Big Mac Foxconn: total liability 120.4 billion debt ratio of about 81%
From a business point of view, Foxconn is mainly engaged in the design, development, manufacturing and sales of various types of electronic equipment products. At present, its main products cover communications network equipment, cloud service equipment, precision tools and industrial robots. The products are mainly used in smartphones, Infrastructure for telecom operators, end-products for Internet value-added service providers, infrastructures for enterprise networks and data centers, and automated intelligent manufacturing of precision core components.
As of December 31, 2017, Foxconn has a total staff of 269,049, of which 200,000 are manufacturing, accounting for 75.57%, 40,000 are R & D / engineering, accounting for 14.90%, and sales / Administration / Management 25662 people, accounting for 9.54%.
According to the prospectus, Foxconn achieved revenue of RMB272.8bn, RMB272.7bn and RMB354.5bn respectively from 2015 to 2017. In 2016, revenue decreased slightly by 0.03% from 2015, and revenue in 2017 was higher than 2016 Increase by 30.01%.
In terms of net profit, Foxconn posted a record high of 14.35 billion yuan, 14.37 billion yuan and 15.87 billion yuan respectively from 2015 to 2017, of which net profit in 2016 increased 0.11% from 2015 and net profit in 2017 increased 10.45% over 2016.
Foxconn said that at present, the cooperation between the Company and its major customers is stable. However, with the continuous expansion of investment, R & D investment and industry and market competition, customer structure, product prices, raw material prices, labor costs and expansion progress If the company can not respond to the above factors change in the future, there is a risk that future business performance will not maintain rapid growth, fluctuating operating performance and declining operating profit.
In terms of assets and liabilities, Foxconn had total assets of 148.6 billion yuan, total liabilities of 120.4 billion yuan and debt ratio of about 81% as of the end of 2017, nearly doubling the 43% as of the end of 2016. Its total liabilities as of the end of 2016 were 582 This means that compared with 2016, Foxconn's liabilities increased by 62.2 billion yuan, an increase of 106.8%, to achieve doubled.
Prospectus shows that as of December 31, 2017, Foxconn consolidated statement of caliber liabilities amounted to 120.414 billion yuan, of which current liabilities amounted to 120.382 billion yuan, total non-current liabilities of 0.32 billion.The company's debt mainly by accounts payable, other Payables, short-term borrowings, employee benefits payable and others.
The increase in Foxconn's liabilities was mainly due to the increase in accounts payable, according to the prospectus, as of the end of 2017, the carrying value of the Company's accounts payable increased by RMB33,796 million as compared to the end of 2016.
Foxconn said the main reason is that since 2017, the downstream order volume has a good growth trend, and the company has increased the purchase amount of raw materials and equipment accordingly.
In the meantime, Foxconn disclosed in the prospectus that the company's consolidated gross profit margin was 10.50%, 10.65% and 10.14% for FY2015, FY2016 and FY2017 respectively. Compared to industry companies, Foxconn gross margin comparable.
Foxconn said the overall gross profit margin in the recent year, though somewhat lower, remained generally stable at a stable level and its profitability was good, mainly due to the stable development of the smart device manufacturing industry and a steady upward trend in overall industry profitability, The Company enjoys a solid market position. In addition, the Company has formed long-term cooperative relationship with its customers. The orders are relatively large and the sales and purchase prices are relatively stable.