Hunan Dezhong automotive sales service (BJ:838030)2024-04-22 12:37Corporate Structure and Subsidiaries - The company established a wholly-owned subsidiary, Yueyang Baoli Automotive Sales Service Co., Ltd., on January 4, 2023, marking its third BMW brand 4S store[3]. - The registered capital of the wholly-owned subsidiary Hunan Jinrui New Energy Technology Co., Ltd. was increased from 10 million RMB to 100 million RMB on August 24, 2023[3]. - The company added two new subsidiaries during the reporting period, expanding its presence in the luxury and new energy vehicle markets[49]. - The company established new subsidiaries, including Guiyang Zhongmao and Yueyang Baoli, to expand its operational regions and enhance business development[98]. Financial Performance - The company's operating revenue for 2023 was approximately ¥2.59 billion, a decrease of 2.42% compared to ¥2.66 billion in 2022[27]. - The net profit attributable to shareholders was a loss of approximately ¥17.44 million, representing a decline of 175.45% from a profit of ¥23.12 million in 2022[27]. - The company's gross profit margin decreased to 6.42% in 2023 from 7.30% in 2022[27]. - The weighted average return on equity (ROE) was -3.68% in 2023, down from 4.88% in 2022[27]. - The net profit growth rate for 2023 was -64.93%, indicating a significant decline compared to the previous year's growth rate of 13.63%[38]. - The company's net profit for the reporting period was -17,441,585.84, a decrease of 175.45% year-on-year, while the net profit attributable to shareholders after deducting non-recurring gains and losses was -23,021,879.39, a decrease of 260.39%[122]. Assets and Liabilities - The total assets increased by 21.21% to approximately ¥1.88 billion in 2023, up from ¥1.55 billion in 2022[29]. - The total liabilities rose by 33.34% to approximately ¥1.41 billion in 2023, compared to ¥1.06 billion in 2022[29]. - The company's asset-liability ratio (consolidated) increased to 75.10% in 2023 from 68.27% in 2022[29]. - The company's inventory at the end of 2023 was valued at ¥799,667,922.62, an increase of 34.54% compared to the end of 2022, primarily due to two subsidiaries becoming vehicle wholesale dealers for SAIC General Motors[59]. - Other current assets reached ¥93,664,983.95, up 40.33% year-over-year, mainly driven by a significant increase in input tax credits corresponding to the rise in inventory[60]. Revenue and Sales - The quarterly revenue for Q4 2023 was approximately ¥686.75 million, showing a consistent revenue generation trend throughout the year[33]. - Total vehicle sales reached 800 units, generating revenue of 7,534.17 million, with a year-over-year decline of 32.44%[93]. - The company reported 2,227.17 million in revenue from vehicle sales, with a total of 11,403.60 million in sales, reflecting a decrease of 268.97 million compared to the previous period[93]. - The company reported a revenue of 48,000,000.00 with a net profit of 38,888,274.00 for the year 2023[152]. Market and Industry Trends - In 2023, China's automotive production and sales exceeded 30 million units, marking a year-on-year growth of 11.6% and 12% respectively, achieving record highs[50]. - The automotive aftermarket in China is growing at a rate exceeding 10% annually, driven by increasing vehicle age and ownership, with a projected market size of 1.7 trillion yuan by 2025[131]. - The automotive sales market in China is transitioning from a high-growth phase to a more saturated market, leading to potential declines in sales prices and gross margins[140]. - The company is focusing on the automotive after-market services, which are expected to grow significantly due to the increasing average vehicle age and ownership rates[54][55]. Research and Development - Research and development expenses increased by 36.69% to ¥7.07 million, driven by an increase in R&D personnel from 66 to 75[65]. - The total number of R&D personnel increased from 66 to 75, with R&D personnel now constituting 6.21% of the total workforce[105]. - The company holds 11 patents, including 6 invention patents, compared to none in the previous period[106]. Debt and Financing - The total guarantee amount provided by the company and its subsidiaries is ¥1,337,224,049.60, with a remaining balance of ¥694,269,148.16[161]. - The company has provided debt guarantees amounting to ¥1,082,930,049.60 for entities with a debt-to-asset ratio exceeding 70%, with a remaining balance of ¥584,664,069.56[161]. - The company has secured loans with guarantees and joint liability agreements in place for all debt obligations[173]. Corporate Governance and Management - The company appointed Mr. Zhang Tiegang as an independent director during the first extraordinary general meeting of 2023 on December 29, 2023[4]. - The company has been recognized as a "high-tech enterprise" and a "specialized and innovative" small and medium-sized enterprise in Hunan province, enhancing its competitive edge[48]. - The company has created 1,208 jobs and trained over 300 management talents, demonstrating its commitment to social responsibility and community development[121]. Shareholder Information - The largest shareholder, Duan Kunliang, holds 41,286,943 shares, accounting for 23.09% of total shares, after a reduction of 13,499,925 shares[194]. - The total number of shareholders with more than 5% ownership among the top ten shareholders is 126,854,098 shares, which is 63.77% of total shares[195]. - The total number of unrestricted shares increased from 71,394,287 to 95,386,746, representing a rise from 39.92% to 53.34% of total shares[192].