The Huayi Brothers Annual Report was issued with non-standard opinions, followed by the inquiry letter of the Shenzhen Stock Exchange

The Huayi Brothers Annual Report was issued with non-standard opinions, followed by the inquiry letter of the Shenzhen Stock Exchange
On the evening of May 6, Huayi Brothers, which issued a qualified opinion audit report with a feature section, received an inquiry letter from the Shenzhen Stock Exchange, and Huayi Brothers, who had just thrown out a plan for a fixed increase of 2.3 billion, was again concerned by the capital market.The annual report was issued with non-standard opinions. The Shenzhen Stock Exchange issued an inquiry letter. Huayi Brothers ‘2019 annual report showed that the reservations involved matters that accountants could not fully account for the company ‘s inventory book balance of 6,293 million scripts, and the STXFor financing, LLC accrues bad debts for accounts receivable and prepares adequate and appropriate audit evidence.However, the financial problems raised by the Shenzhen Stock Exchange faced by Huayi Brothers are still many. The 2019 annual report shows that many Huayi brothers have reported operating income21.86 ppm, a decrease of 43 per year.81%; net profit attributable to shareholders of listed companies -39.600 million, down 262 from last year.32%; net cash flow from operating activities is 9035.60,000 yuan, down by 84 from last year.48%.The Shenzhen Stock Exchange asked Huayi Brothers to explain the company’s specific measures to improve its business performance and sustainable management capabilities.The reasons for the huge loss in 2019 include the provision of a long-term equity investment impairment reserve of 18.USD 7.3 billion. At the end of the reporting period, Huayi Brothers ‘long-term equity investment balance was 43.At 7.5 billion US dollars, the Shenzhen Stock Exchange questioned the cause of the asset impairment of Huayi Brothers, the timing and other related issues.At the same time, in advance of the huge asset impairment, Huayi Brothers took 2 on December 31, 2019.Zhejiang Dongyang Haohan Film and Television Entertainment Co., Ltd. (hereinafter referred to as “Dongyang Haohan”) 17 was sold for a consideration of 2 million US dollars.64% of the shares were given to Shanghai Yunfeng Xincheng Investment Center (hereinafter referred to as “Yunfeng Xincheng”), and Huayi Brothers held Dongyang Haohan 48 after the transfer.With a 13% stake, Dongyang Haohan will no longer be included in the financial statements, and in 2019 Dongyang Haohan’s performance will change, and only a net profit of 3262 will be realized.630,000, fully fulfilled the performance commitment, and acquired the goodwill formed by Dongyang Haohan7.4.9 billion US dollars was transferred out, and the financial report showed that the equity compensation income of 66.61 million yuan recognized in this period was the difference between the minority shareholders of Dongyang Haohan who did not complete the 2019 annual performance commitment according to the equity transfer agreement.In the summary of the financial report, the impulsive performance of selling subsidiaries is not uncommon in the capital market. The Shenzhen Stock Exchange also requires Huayi Brothers to explain the background and purpose of the company ‘s sale of related company equity, whether the transaction price is fair, and whether the above transaction constitutes a package transaction.Triggered a plan to increase 2.3 billion yuan, whether it is a matter of urgency. In 2019 without works, clearing goodwill and focusing on the main business are the focus of Huayi Brothers, and the capital chain of Huayi Brothers is very tight.As of December 31, 2019, the balance of monetary funds of Huayi Brothers was 5.5.4 billion, with a short-term loan of 20.8.7 billion, non-current debt due within one year is 6.6.7 billion US dollars, when the money cannot cover the debt within one year, there is a possibility of a liquidity crisis. Today, Huayi Brothers is “lack of money”.At the end of the reporting period, Huayi Brothers ‘interest-bearing debts (short-term, non-current debts terminated within one year, and long-term borrowings) accounted for 57% of total liabilities.49%, accounting for 31% of total assets.34%.The current ratio of Huayi Brothers in 2018 and 2019 is 1, respectively.04, 0.65, the quick ratio is 0.87, 0.47. The cash ratios are 0.37, 0.12.In addition, multiple borrowings use the company’s subsidiary equity and multiple film revenue receivables as collateral, and the company’s multiple sets of own property as collateral.As of now, the stock pledge rate of Huayi Brothers ‘controlling shareholders and their concerted parties exceeds 92%.The Shenzhen Stock Exchange requires Huayi Brothers to explain the purpose of the relevant borrowings, the investment direction and whether the company has the risk of debt repayment.At the same time that Huayi Brothers released its 2019 annual report, Huayi Brothers issued a fixed increase announcement.The total non-public offering of 78 yuan / share does not exceed 8.2.4 billion shares, the total amount of funds raised does not exceed 22.For the 900 million US dollars, the budgetary expenditures of the funds raised will be used to supplement working capital and repayment. Huayi Brothers will further improve the cash flow situation and reduce the asset-liability ratio.The targets of this increase as strategic investors are very gorgeous, including Alibaba Pictures, Tencent Computer, Sunshine Life, Xiangshan Dachengtianxia, Yuyuan, Minghe Group, Xintai Life, Sanli Jingkong, Shandong Jingda nine companies,Ali, Tencent, Fosun and other big-name capital sets are embodied, and all the issuers subscribe for the shares issued in cash.In the case of tight liquidity, Huayi Brothers ‘cash flow statement has also attracted the attention of the Shenzhen Stock Exchange. Huayi Brothers’ sales of goods in 2018 and 2019 and the receipt of labor services were 51 and 51.7.5 billion, 30.69 ppm, which is 1 of the current operating income.33 times, 1.4 times, the Shenzhen Stock Exchange asked Huayi Brothers to explain whether the cash received from the sale of goods and the provision of labor services is reasonable with the check of the relationship between the operating income and whether there is any borrowing of funds.Sauna, Ye Wang Zhang Yanbian editor Yue Caizhou proofreading He Yan

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