Zheng Quan Zhi Xing·2025-08-29 14:20Core Viewpoint - The report evaluates the financial and operational risks associated with Dongfeng Automotive Finance Co., Ltd., highlighting its established risk management framework and compliance with regulatory requirements [1][14]. Group 1: Company Overview - Dongfeng Automotive Finance Co., Ltd. was established on May 7, 1987, as the first corporate group finance company in China, with an initial registered capital of 900 million RMB [1][2]. - The company is fully owned by Dongfeng Motor Group Co., Ltd. since March 2013 and has relocated its headquarters to Wuhan, Hubei Province [1][2]. Group 2: Risk Management Framework - Dongfeng Finance has a clear governance structure with defined roles among shareholders, the board of directors, supervisors, and management, ensuring effective risk management [3][4]. - The company has established a comprehensive risk management system, including specific policies for operational, liquidity, compliance, and reputational risks [4][5][10]. Group 3: Financial Performance - As of December 31, 2024, Dongfeng Finance reported total assets of 12,002,029.30 million RMB and total equity of 2,106,483.86 million RMB, with a net profit of 62,175.48 million RMB for the year [11]. - By June 30, 2025, total assets decreased to 11,007,093.48 million RMB, while total equity increased to 2,114,369.17 million RMB, with a net profit of 7,804.93 million RMB for the first half of 2025 [11]. Group 4: Regulatory Compliance - As of June 30, 2025, Dongfeng Finance met all regulatory requirements, including a capital adequacy ratio of 25.97%, significantly above the minimum requirement of 10.5% [13]. - The company has maintained a good liquidity position, with no instances of delayed payments due to cash shortages [14]. Group 5: Risk Assessment Measures - The company has developed a risk disposal plan to ensure the safety of deposits with Dongfeng Finance, committing to semi-annual reviews of financial reports and ongoing risk assessments [14][15]. - The internal control system is deemed effective, with no significant deficiencies identified in financial, credit, audit, or information management risk controls [14].