1. A major turnaround for ZTE! Trump said it is providing ZTE with a way to quickly recover its business;
Micronet collection May 13 report
Today evening, U.S. President Trump issued a tweet saying that it is communicating to provide ZTE with a way to quickly resume business. (Because ZTE's business cannot be carried out normally.) China has too many jobs lost. I have informed the Ministry of Commerce. To complete this work as soon as possible.
This statement also means that since April 16th ZTE’s US embargo has ushered in its first major turnaround.
In fact, it is indeed a turning point for the fate of ZTE Corporation. According to an announcement on May 9 by ZTE, the main business activities of the company are no longer available.
From April 16th, the US Department of Commerce’s Bureau of Industry and Security (BIS) made an activation decision on ZTE’s refusal order, which has lasted 27 days as of today. According to previous industry comment, ZTE’s inventory is only enough to maintain one More than a month or so will be exhausted. Take the mobile phone business as an example. At present, the ZTE official mall and the Tmall flagship store page of Tmall show 'website revision' and cannot place an order.
In addition, from a business perspective, important customers can endure and wait for shorter and shorter time frames, and they will delay as time goes by. Even if the ban is lifted in the future, it will cause irreversible losses to ZTE.
In fact, in the evening before May 6th earlier, ZTE Corporation issued an announcement that the company has formally submitted an application for suspension of enforcement refusal orders to BIS, and submitted supplementary materials in response to the refusal order according to BIS guidelines. May 10 According to a Wall Street Journal report, a BIS spokesperson stated that the Bureau is evaluating ZTE's complaint and will immediately consider it.
(2) The SFC sponsored the expulsion and extinguishment of the 17 executives. ST Bao Qian began to liquidate the mess;
The SFC sponsored the expulsion and extinguishment of the 17 senior executives, and the ST Baoji began to liquidate the mess.
Source: Fukai Finance
Authors
Fukai Abstract
The fraudsters shot, no one was spared, not only tens of thousands of small, 12 long-established institutions have failed to escape.
On May 12, *ST Bao Qian (1.500, -0.01, -0.66%) received company directors Lu Peng, Ding Lihong, Chen Xianwen, Zhou Yulin, Chen Yanghui, He Nianfeng, Huang Wei, Cao Yiwei, Zhou Hanjun, supervisor Liang Guohua. , Yan Jiade, Lin Xinyang and senior managers Jiang Jianping, Chen Deyin, Li Xiaohu, Long Gang, Lin Songwei informed 17 supervisors that they received the China Securities Regulatory Commission on May 10 and 11, 2018 ( Hereinafter referred to as 'China Securities Regulatory Commission') Notice of Investigation.
The actual controllers are the only ones, and the board of directors ignores them?
According to the "Notice of Investigation," it shows that: 'Since Jiangsu Baoqianli Video Technology Group Co., Ltd. has allegedly violated laws and regulations for information disclosure, in accordance with the relevant provisions of the "PRC Securities Law," I will decide to investigate you. Please cooperate. '
Since then, following the actual control person Zhuang Min’s running, the company’s 17 supervisors have been wiped out and all have been assigned to the team under investigation. Although the reasons for the investigation were not mentioned in the announcement, but from The fact that the ST Baoan Qian is in a state of frequentity can be seen as a situation where the company can become a mess. The management team can't have no responsibility at all.
According to the causes of the huge losses of ST ST, the company’s huge loss of 7.7 billion yuan in 2017, the company’s 2017 financial statements issued by the annual auditing accountant could not express opinions, and the internal control was issued with negative opinions. The auditing accountant believed that the company’s continuing operations existed. Significant uncertainty, failure of internal control, inability to judge significant contingent liabilities and contingent effects'.
According to the explanation given by the company, due to the excessive investment by the company under the control of the former controlling shareholder and actual controller Zhuang Min, the company experienced a tight funding chain, which caused the company to have liquidity risks. The shrinking of the company’s commercial credit resulted in a tight supply chain. The procurement of raw materials of the company was difficult, the customer orders could not be accepted normally, and the production capacity in the second half of the year decreased, which led to the loss of customers in the second half of the year and the decrease in sales in the second half of the year.
At the same time, the company also stated that the company’s accounts receivables, prepayments, etc. are subject to greater risk of non-recovery, and large provision for bad debts will be accrued; in addition, the company’s operating conditions for most of its foreign investments in 2017 are not optimistic. Most of them are in a half-pause or stagnant state. After devaluation test, a large amount of long-term equity investment impairment provision will be accrued.
Although the company attributed the cause of the huge loss to the actual controller Zhuang Min, from the perspective of the investigation of the company’s 17 supervisors, the company’s management did not have no responsibility.
Fu Kaijun believes that Zhuang Min’s dominance of a listed company is mainly used by the company's management. According to Lixin Accounting Firm, the company’s former Chairman, Zhuang Min, led many companies to foreign companies. Investing, signing business contracts and paying related funds, and using the official seal of the company and related subsidiaries illegally to sign an external guarantee agreement on behalf of the company, which actually overrides the internal control of the company.
At this time, Fu Kaijun could not help but ask, what was the board of directors of the company when Zhuang Min invested? When Zhuang Min and Zhuang Min entered into a security agreement, where was the board of directors of the company? What did Zhuang Min do in the listed company? Is the management of the company ignorant or unacceptable, letting it act?
In the process of Zhuang Min's short-listing of listed companies, where are the supervisors who supervise the management of listed companies? What are the independent directors of the board of directors?
Regarding the problems faced by the company, the Shanghai Stock Exchange stated in its supervisory letter that the company’s board of directors needs to formulate rectification measures in response to non-standard audit opinions and issues that lead to internal control negative opinions, clarify the deadline for rectification, complete the rectification as soon as possible, and restore effective internal controls. At the same time, comprehensively sort out guarantees, litigation matters, timely perform information disclosure obligations, and clarify the impact of significant contingent liabilities on the company.
Fake listing brewing disaster, false valuations can not prevent
In fact, the main source of *ST's move to the present one can be traced back to Zhuang Min’s counterfeiting before the backdoor listing.
It is understood that in the first three months of the backdoor purchase, the value of the Senkatsu Insurance is only 530 million yuan, and the assessment of the 3 billion yuan in the Senkaku-ri is mainly in the process of reorganizing the listing with the defendant Chih-Min and his concerted action. Providing false agreements, inflated assessment values, etc.
The actual profit-seeking party behind the false valuation is undoubtedly the actual controller Zhuang Min of Bao Qianli, as well as shareholders such as Chen Haichang, Zhuang Ming, and Jiang Junjie who hold shares for thousands of years. The price of Bao Qianli on July 20, 2017, was 11.48. Yuan/shares calculations, Zhuang Minduo obtained a stock market value of 918 million yuan, Chen Haichang, Zhuang Ming, Jiang Junjie three more than the stock market value of 119 million yuan, 45.92 million yuan and 29.84 million yuan.
It is worth noting that Chen Haichang and Jiang Junjie rushed into 8% and 2% stakes in the 12 days before the announcement of the reorganization plan of Zhongda Co., Ltd., and immediately added assets of RMB 200 million, which has caused people to suspect that they have insider trading. Suspected.
From the above point of view, Zhuang Min and his group have made a sweeping list of counterfeit money listed on the counterfeits. Afterwards, it is not surprising that Zhuang Min short-listed the company and pledged his own stock to go out and replace the ghost.
For analysts who believe that it is common for listed companies to fraudulently go public and inflate assets, some analysts believe that the cost of penalties is too low.
According to the stock price calculation on July 20, 2017, if Zhuang Min and others earned more than RMB 900 million after listing on the counterfeit account and the penalty was only RMB 600,000, then people who listen to the wind will ignore the penalty and continue to fish out. money.
12 institutions were pitted
In fact, *ST Bao Qian kept calm before the resumption of trading on July 24, 2017. There was no trace of the wind coming out. It was precisely because of the company’s confidentiality that it did a great job, leading to 12 companies who had gone through 100 battles. The agency also followed suit.
The public information shows that in addition to the natural person Yang Zhijie, the pledged financing of Baoqianli shareholders includes 12 institutions, including Haitong Securities (11.600, -0.13, -1.11%), Xiangcai Securities, Huarong Securities, Guosen Securities (10.780, - 0.12, -1.10%), Tibet Trust, Shaanxi International Trust, Chang'an International Trust, Xiamen International Trust, Southwest Securities (4.450, -0.08, -1.77%), Zhongtai Securities Asset Management, Changjiang Securities (6.860, -0.07, - 1.01%) Asset Management, Haitong Securities Asset Management.
According to the choice data, the three largest pledged parties are Haitong Securities (including asset management), Huarong Securities, and Western Securities (9.360, -0.08, -0.85%), which are subject to 13.3% of the total equity of the three-mile pledged company, respectively. %, 8.02%.
According to reports, Haitong Asset Management announced that Zhuang Min had bought back equity pledges in August 2015, and Chen Haichang had returned part of his principal in advance and provided performance guarantees separately. However, in 2016 and 2017, Both Zhuang Min and Chen Haichang have numerous large pledges.
For Zhuang Min’s massive pledge, even investors had long suspected that he had a suspicion of running. He had to admire the investor: 'You guessed it!'
Unfortunately, there are not many investors who guessed that real controllers have signs of running. Guess there are also a few investors who have risks. Looking at the number of shareholders at the end of 2017, there are still more than 100,000 shareholders who have been placed in the company. In stock.
Fu Kaijun found that at present, *ST Bao Qian is facing the risk of being withdrawn from the market. If the listed company is still issued by the accounting firm in 2018, it is unable to express its opinion, and the listed company's stock trading may be suspended.
In addition, due to the major loss of Baoqianli Electronics in 2017, after the counterparty of the transaction agreed to share compensation for the listed company in accordance with the “Profit Forecasting Compensation Agreement” and the “Profit Forecast Compensation Compensation Agreement”, the actual controller of the listed company changed or There is no actual control of the risk.
Although people in the industry believe that the only way out for the company is to regroup, there is no one who dares to take this mess.
3. 'Unicorn' Dajiang investors revealed: The book has been floating 100 times;
When Huang Wei invested several hundred thousand yuan in DJI innovation six years ago, he simply thought that it was a good project. Perhaps he did not expect that the return on investment of several hundred thousand dollars would have risen to the present day. Tens of millions of dollars. And DJI has quickly grown into a drone industry's 'unicorn'.
Originally, Huang Wei was an investment company that recommended Dajiang’s projects to his services. He sought out industry experts and college professors at that time to demonstrate that this was a good project, but the one he worked for was a CBD-styled investment company. In the end, the project did not pass this project. Huang Wei turned out to invest hundreds of thousands of yuan in the fund that the classmates initiated. Following this fund became one of the early investors of DJI.
Today's Dajiang has become a lot of investors who want to vote but can not vote. The company has no listing plan.
Dajiang throws out bid financing plan
Clearly no listing plan
In early April of this year, Dajiang’s new round of USD 1 billion equity financing was exposed. The maverick DJI adopted an unusual financing method, namely bidding financing, requiring investors to subscribe for a certain amount of equity and also to take the initiative to bid A high proportion of bonds, and bonds that have no interest for three years outside the country, means that investors are required to invest in white papers in order to use large amounts of land without interest.
Undoubtedly, Da Jiang is taking the role of 'the strongest financing party in history' and completely dominates the 'financing drama'.
This is the first time that the investment community has faced such a financing approach as tendering by suppliers. However, after shouting inconceivable, there are still many investment institutions rushing.
It is reported that the first round of bids ended. Nearly 100 investment institutions submitted deposits and bidding applications, and the total amount of subscriptions was more than 30 times over. In order to filter out suitable investors, Dajiang opened a second round of bidding.
As of 15:30 on April 15th, the average class D/B share subscription ratio for the second round of bids of up to US$500 million (the maximum investment amount for a single investment institution) was 1.61: 1.
On April 20th, Dajiang’s third round of bidding was opened. Insiders revealed that at this auction, some investors reported a 1:1 ratio, and even higher prices, but they did not enter the game.
In the end, this major financing event lasted for more than a month. The third round of financing was finalized in the afternoon of May 7. There were five or six leading companies, each with a minimum investment of US$100 million, and many small and medium-sized investments. The agency received an outgoing phone call from Dajiang and contacted the original deposit of 100,000 U.S. dollars. It is reported that the total size of the current round reached 1 billion U.S. dollars.
In response to this round of financing, Xie Tao, Director of Public Relations at Dajiang Innovation, responded to media reports that the government of Dajiang had never confirmed the financing and declined to comment on the report.
However, at the China Regional Product Interpretation Conference organized by DJI Innovation Shenzhen, Xie Tao once stated that the recent financing incident was not a round of financing for the company. It has no relation with the current business. It is related to the bank. The cooperation between the parties, and the final result may also produce variables, 'We are more willing to regard it as a financial innovation.' Xie Yu said.
Xie Tao also stated that the company clearly does not have a listing plan. In terms of financing requirements, DJI can use a lot of ways to finance and it does not need to be listed for financing.
As to whether this round of financing was the rumors of the Dajiang Pre-IPO round, an early investor in Dajiang stated to the “Securities Daily” reporter that he “don't know”. However, even if Da Jiang insisted not to go public, he would not Do not worry about the problem of investment withdrawal, because 'there is always someone willing to take a high position.'
The extent to which Dajiang’s stocks are highly sought-after, and the two statements from its official website can also provide a glimpse of one or two.
According to two statements made by Dajiang official website, in 2017, some people deliberately falsified the company's e-mail, under the pretext of investing in the United States Nasdaq (Nasdaq) to invest in Xinjiang’s stock, in order to commit fraud. Then there was a society called “Lai Jin Fa”. The person, claiming to be 'Dargon shareholders, vice president', has been attending social activities in this capacity and raising funds from investors since August 2016.
In fact, being able to get the investment case of the famous “Unicorn” of Dajiang is equivalent to a gold coating for investment institutions. From this point of view, it is easy to understand that the investment institutions are enthusiastic.
Early investment income
Has risen 100 times
However, the most important thing for investment is to make money. How much can an organization involved in this round of financing in Dajiang get?
With regard to the current Dajiang’s financial valuation, there are 24 billion U.S. dollars and 22 billion U.S. dollars in several versions. Which is closer to the true value? The outside world has no basis for research. Compared with the popularity of popular unicorns, the relevant information of Dajiang is not transparent. .
For most of the investors, Dajiang did not disclose its financial data. According to media quoted investors' remarks, Dajiang did not make financial statements to investors on its own initiative, and even previous rounds of leading agencies did not get it. Want to know? The CFO will dictate the data in a financial report.
Due to the lack of financial statements, most of the investors participating in this auction can not price Dajiang according to a fair valuation method, and can only refer to the benchmark company and its past transaction price.
According to DJI’s financing materials, the valuation for the first round of financing was US$15 billion. Currently, Parrot (Parrot, listed in France), Sunny Optical (02382.HK), and Hikvision (002415) have listed three comparable companies. The average P/E (P/E) is 57.7 times, and the current P/E ratio for the current round of valuation is less than 50% of the average, 'subsequent growth is huge'. With Uber, Xiaomi, Didi Travel, headlines Compared with other unlisted unicorn companies, DJI believes that in this financing material, the 'P/E ratio is obviously at a low level'.
Based on the above information, DJI currently has a P/E less than 30 times. And when the current IPO is only close to the door, if Xiaomi is listed at a valuation of 100 billion US dollars, P/E is about 60 times.
From the perspective of securities firms, the valuation of Chinese high-tech companies will be further enhanced in this special era. It is worth noting that there will be more resources in the future for high-tech companies such as DJI.
However, most organizations participating in the DaJing bid think that this investment will not basically lose money, but the return rate is probably not high.
As an early investor in Dajiang, Yuanyang Capital Partners Li Hao is more optimistic. In an interview with the media, he said that Dajiang maintained 100% business growth in recent years. This round of financing has a five-year return on investment. There will be 3-5 times.
However, this is indeed not a big deal compared to the early investors in DJI. Some early investors in Dajiang told the “Securities Daily” reporter that his return on investment in the Dajiang project has increased by a factor of 100.
Shocked by Internet giants
Not used in the largest application area
No doubt, now Dajiang is already the king of drones, but where the future of DJI will fly, it is full of variables.
It is worth noting that in the response of Xie Tao before this, it also revealed a purpose of DJI financing, 'We are willing to open a window of cooperation with capital, in the future we can support some of Dajiang's downstream manufacturers, or some very good start-ups. Youth, thus creating an ecological. '
In this one billion US dollar financing document, it shows that Dajiang will exert its force in three major directions including: Medical imaging AI market Annual market size is more than 5 billion US dollars; In education, 3-year-old + technology curriculum market size is more than US$10 billion. Emerging industries include artificial intelligence and advanced manufacturing around vision, algorithms, image processing, integrated chip technology, robotics and other related markets.
Behind this movement, it may be that Dajiang has faintly felt the crisis.
Aside from the hidden dangers of privacy and security, the cold weather of the consumer-grade drone industry and the impact from the Internet giants are the top priorities facing the country.
As we all know, drones have a wide range of application scenarios. However, if we talk about market capacity, express delivery and take-away are definitely the biggest application scenarios.
However, this huge market does not seem to have anything to do with Dajiang. Because the drones needed for express delivery and takeaways are all independently developed by SF and JD, rather than purchased from the outside world. This is the largest application area for express delivery and takeout. , Dajiang has been rejected.
Consumer drone market is cold
Industry drones are full of challenges
On the other hand, Dajiang has become known as the world's consumer-grade drones, and the market is becoming saturated.
In December 2017, the General Aviation Branch of the China Air Transport Association issued the "2017-2018 China Civilian UAV Development Report" and pointed out that after a rapid development in the first three years, domestic consumer-grade aerial drones have developed due to technology, usage scenarios, and markets. Fixed factors and other factors have entered a period of slow development.
In addition, iResearch also predicts that more than half of the 75 billion yuan market size of domestic drones in 2025 will come from the professional-level application market.
Grand View Research is most pessimistic about consumer-grade drones. The agency believes that by 2024, the annual sales of global consumer drones will drop to 4.19 billion US dollars.
As the global consumer-class drone companies have encountered cold in the past two years, as the old U.S. unmanned aerial vehicle manufacturer 3D Robotics announced the complete termination of the production of drones, it has already turned to software development; domestic soaring, billionaire, zero-degree and other companies The company was exposed to layoffs; Parrot, France, also experienced layoffs and transitions to commercial drones.
At present, with weak competitors in the world, DJI’s 2017 performance has grown in a contrarian direction, and its market share has increased to more than 80%. This has further strengthened DJI’s leadership in the consumer-grade drone market. status.
However, the cold weather in the consumer-grade drone market is the status quo of the industry. In this context, the growth of Dajiang’s performance has also had to slow down.
Although almost monopolized the market, the market size of US$4.19 billion has virtually limited the development of Dajiang.
It can be seen that Dajiang has begun to force the industry to use the drone market.
Some analysts pointed out that at the end of 2015, Dajiang released the first agricultural plant protection machine MG-1. At the same time, it continued to introduce new products in the past three years, trying to win the new market of agro-plant protection. However, it was completely suppressed by Dajiang. Feifei Technology, which has almost reached the forefront, has already had a first-mover advantage in this vertical field. In 2017, sales reached 300 million yuan, and DJI is left far behind.
At the same time, Dajiang faced even greater challenges in the application market of more segments. For example, zero-degree intelligence control recently announced that it will shift its business operations to the reconnaissance planes used by security and inspection industries, while Airline will focus on unmanned personnel. With regard to aircraft and UAV logistics, DJI lacks the power to cope with it and has shown a certain amount of fatigue.
Judging from the media’s recent exposure in 2017, DJIA’s performance in 2017 is quite dazzling: In 2017, operating income was 17.57 billion yuan, an increase of 80% year-on-year; net profit was 4.3 billion yuan, a year-on-year increase of 123%.
According to IDC, the global market for consumer and business UAVs is US$9 billion, and the average annual growth rate is estimated to be about 30% over the next five years. Based on this, the total UAV market size is estimated to be about 2023. 33.41 billion US dollars.
This lackluster figures made Dajiang gradually reach the ceiling of the market.
How to maintain high growth? The road to the future of Dajiang is full of challenges and challenges. (Human character Huang Wei is an alias) Securities Daily
4. Foxconn IPO fundraising is a mystery.
The CSRC has approved but did not disclose the size of the initial fundraising; last year’s liabilities increased by RMB 62.2 billion compared to 2016, an increase of 106.8% doubled
Beijing News (Reporter Zhao Yibo) Foxconn is one step closer to the A-share market.
On the evening of May 11, the China Securities Regulatory Commission’s official WeChat news released said that Foxconn Industrial Internet Co., Ltd. (hereinafter referred to as FII, Foxconn)’s initial application was approved according to legal procedures. Foxconn and its underwriters will negotiate with the Shanghai Stock Exchange to determine the issuance schedule. And publish the prospectus document.
36 days passed before the meeting was approved. The size of the initial fundraising became a mystery.
Previously, Foxconn’s IPO road speed was extremely fast.
According to the official website of the China Securities Regulatory Commission, on February 1st, Foxconn submitted the original manuscript submission, which was accepted by the China Securities Regulatory Commission on the same day. On February 9, the SFC disclosed the prospectus of Foxconn’s initial public offering of shares, indicating that the world's largest contracted company will soon be impacted. A shares. On February 23rd, the Beijing News reporter saw on the official website of the China Securities Regulatory Commission that the Foxconn prospectus had entered the 'predisclosure update' status on February 22. On March 8, the official website of the China Securities Regulatory Commission disclosed that the Foxconn IPO had successfully It was proved that Foxconn took only 36 days from the first submission to the meeting, setting a record for history.
According to the IPO procedure, Foxconn passed the road show inquiry and offline placement after the meeting was approved and issued. If there is no accident, it can be listed and traded.
On May 11, Foxconn finally waited for approval. However, it is worth noting that in the official WeChat of the China Securities Regulatory Commission on Friday, Foxconn’s initial fundraising scale was not disclosed. On the afternoon of May 13, the Beijing News reporter Check the Securities and Futures Commission’s securities and futures supervision and management information disclosure catalog, Foxconn has not yet received the relevant approval, the latest one is April 23.
According to a prospectus issued by Foxconn previously, the IPO will be used to raise funds of 27.253 billion yuan. The funds will be used for the construction of industrial Internet platforms, including cloud computing, 5G, Internet of Things, and intelligent manufacturing. Through this IPO , Foxconn will improve its financial statements.
As of the end of last year, the total liabilities were 120.4 billion, and the debt ratio was 81%.
According to the prospectus, Foxconn’s liabilities are relatively large. As of the end of 2017, Foxconn’s total assets were RMB 148.6 billion, total liabilities were RMB 120.4 billion, and the debt ratio was approximately 81%, which was nearly doubled compared to 43% as of the end of 2016. Its total liabilities as of the end of 2016 was 58.2 billion yuan, which means that compared to 2016, Foxconn’s liabilities increased by 62.2 billion yuan, an increase of 106.8%, which doubled.
The prospectus shows that as of the end of last year, the total liabilities were 120.414 billion yuan, the current liabilities totaled 120.38 billion yuan, and the non-current liabilities totaled 32 million yuan. The company's liabilities were mainly due to accounts payable, other payables, short-term loans, and payable employees. Compensation and other components.
At the end of 2017, the company's gearing ratio was 81.03%, an increase of 38.14 percentage points compared to the end of 2016. This was mainly due to the fact that the balance of payable reorganization costs arising from the company's restructured assets acquired through cash payment was included in other payables at the end of 2017, resulting in the company The current liabilities have increased substantially.
The Beijing News reporter noted that as of the end of 2017, the book value of accounts payable by Foxconn increased by 33.796 billion yuan compared to the end of 2016. Foxconn said that the main reason was that the growth of downstream orders since 2017 was good, and the company increased the procurement of raw materials and equipment accordingly. Amount.
Compared with the same industry, Foxconn’s debt ratio is also at a high level. According to the listed companies in the same industry disclosed in the prospectus, Foxconn’s asset-liability ratios in 2015-2016 were 45.72% and 42.89%, respectively, which was lower than the comparable company’s average of 57.17%. And 56.88%. In 2017, Foxconn’s debt ratio was 81.03%, which was higher than the comparable company’s average of 57.73%.
Foxconn stated that after the raised funds are in place, the company’s total assets and net assets will increase significantly, the current ratio and quick ratio will increase substantially, and the level of assets and liabilities will further decline. The company’s capital structure is optimized, as well as its financing capacity and risk resistance capabilities. The improvement will provide a favorable guarantee for the company's market expansion and strategic deployment.
Exchange loss is on the rise, up to 900 million in 2017
The Beijing News reporter noted that Foxconn’s interest expense is not high despite its large scale of liabilities.
The prospectus shows that Foxconn’s interest expenses in 2015 were 990 million yuan, 620 million yuan in 2016, and 1.06 billion yuan in 2017. If the total debt is 120.4 billion yuan and the financing cost is 5%, Foxconn’s financing costs should reach 6 billion yuan. The actual interest expenditure of 1 billion yuan is obviously lower than the estimated financing cost.
Although interest expenses are not high, Foxconn’s exchange losses are relatively large. Due to the overall upward trend in the US$/RMB exchange rate during the reporting period, the company’s exchange losses amounted to RMB 22 million in 2015, 2016 and 2017 respectively. 236 million yuan and 901 million yuan.
What is slightly optimistic is that the prospectus shows that Foxconn's profitability is good.
Foxconn achieved operating revenue of 272.8 billion yuan, 277.2 billion yuan, and 354.5 billion yuan for 2015-2017, of which 2016 operating income slightly decreased by 0.03% compared to 2015, and operating revenue in 2017 increased by 30.01% compared to 2016.
Foxconn's net profit for 2015-2017 was 14.35 billion yuan, 14.37 billion yuan and 15.87 billion yuan, of which net profit increased by 0.11% in 2016 compared with 2015, and net profit increased by 10.45% in 2016 compared to 2016.
5. Huawei: Currently there is no plan to provide download services for cryptocurrency applications
According to foreign media reports, according to foreign media reports, Huawei's mobile phone users will be able to download BTC's Bitcoin wallet through App Gallery. The BTC.com vice president of commercial operations, said, as the world's third largest mobile phone maker, Huawei will be BTC.com’s Bitcoin purse is provided in AppGallery, and AppGallery will be pre-installed on all new Huawei and Glory phones, and will be available in the coming months for older devices.
In response to this report, Huawei's exclusive response to Global Network Technology stated that Huawei and BTC have no business relationship between companies. BTC applications will not be incorporated into Huawei's application market in China. In order to provide better application downloads to global Huawei end users. Service, Huawei is gradually developing the Huawei application market AppGallery on overseas mobile phones. At present, there is no plan to provide download services for applications such as cryptocurrency. The Huawei application market App Gallery strictly follows the laws and regulations of different countries and regions.
Starting from the beginning of last year, the relevant authorities conducted an inventory of all virtual currency exchanges and then forcedly closed them. The People’s Bank of China said in April this year that the ICO platform and Bitcoin and other virtual currency trading venues that have been identified have no risk to exit the Chinese market. .