Do you face continuous management risks?Baiwei Storage Response Science and Creation Board In the first round of 21 consecutive questions

On July 19, 2022, Shenzhen Baiwei Storage Technology Co., Ltd. (hereinafter referred to as "Baiwei Storage") replied to the first round of inquiry from the science and technology board.

Picture source: Shanghai Stock Exchange official website

In the first round of inquiries, the Shanghai Stock Exchange mainly focused on the actual controller and shareholder of Baiwei Storage, the director of the director, the product and technology, the market competition, the sales model, the procurement and supplier, the supply chain financing, the continuous operation, the receivables, and the payment, and the payment, the payment, and the payment, the payment, and the payment, the payment, and the payment, the payment, and the payment, the payment, and the payment, the payment, and the payment, and the payment, the payment, and the payment, and the payment. Third -party repayment and other 21 questions.

Regarding the supply chain financing, the Shanghai Stock Exchange requires the issuer to explain: (1) the specific business model of supply chain financing, the rights and obligations of the relevant parties in the supply chain financing business, as well as the agreed situation of the transaction party, the transfer of funds, interest rates, and guarantee. Procurement of business essence, related accounting processing and basis, the hooking situation of financing expenses and financial expenses, whether the comparable company in the same industry may also have a large amount of supply chain financing; (2) Prepaid to supplier Shenzhen Zhongdian Investment Co., Ltd. The relationship between the payment and its subsidiaries with the supply chain financing, the specific situation of related business and the flow of funds; (3) the supply chain borrowing during the reporting period and the business situation corresponding to the flow of banks in Hong Kong Baiwei and the supply chain company's funds, and The reasons for the large amount of flow of banks, the specific use of financing and the final whereabouts, the types of wafers purchased and the main suppliers, whether the relevant funds flow to the Zhu Xiayun couple, Xiao Zhenghua, Xiao Shaozhi, Shenzhen Jinsheng, Hong Kong Jinsheng, Haihai, Haihai The related parties such as the storage storage are guaranteed; Debt, the disposal of the collateral.

Baiwei Storage replies that the supply chain service, as a business model of service, can help enterprises reach a higher customer service level at a lower operating cost, and ultimately increase the profit margin of the enterprise. In October 2017, the "Guiding Opinions on Actively Promoting the Innovation and Application of Supply Chain" was issued, and the clear supply chain was based on customer needs, with the goal of improving quality and efficiency. , Sales, services and other efficient organizational forms, that is, the supply chain company can connect customers upstream manufacturers and downstream customers according to the actual needs of customers to effectively integrate funds, information flow, commercial flow, logistics, implement procurement, customs clearance, and customize customs clearance. , International and domestic logistics, cargo delivery and other actions, and finally provide services to the integration of procurement and procurement and procurement resources.

The company is a semiconductor memory manufacturer, which belongs to the semiconductor industry, and is in the middle and lower reaches of the industrial chain. The main raw material NANDFLASH wafers and DRAM wafers are mainly supplied by a few memory wafer manufacturers (hereinafter referred to as "original") supply Such as Samsung, Micron, Western Data, SK Hynix, etc.

The original factory gives a short period of time to the downstream enterprises or the credit limit is relatively small. When the downstream enterprises are purchased in batches, a large amount of capital gap will occur during the process of "cash purchase" to "goods sales". For the demand for raw materials, the company introduces the supply chain company to perform procurement services; in addition, the company's main production base is located in China. In order to effectively use the supply chain service capital flow, information flow, business flow, logistics service, and reduce operating costs, the company has commissioned supply supply. Chain companies provide procurement, customs declaration and international and domestic logistics services.

The contract/order elements of the company, Hong Kong Baiwei and the supply chain company are complete, and the contract is established and effective in accordance with the law. These supply chain businesses have a substantial commercial legal basis. The agreement is implemented, and these supply chain business has the actual business foundation for actual performance; the company, Hong Kong Baiwei and the supply chain company based on real goods procurement/sales, transportation, warehousing, import declaration, goods delivery, price payment, and other series of processes development. Supply chain services, there is a transit of physical goods, ownership and risk transfer, so the commercial essence of such supply chain business has a real trading foundation.

In summary, these supply chain businesses have legal foundations, actual performance foundations and real transaction foundations, and have the essence of sales and procurement.

In summary, the company's supply chain financing is mainly formed in the company's overseas subsidiary Hong Kong Baiwei directly to the original procurement link and the domestic production company's procurement of imported raw materials. All transactions are purchased and sold based on the demand for raw materials for production and stocking. With the essence of business, related business accounting processing meets the provisions of accounting standards, reflects the company's transaction essence.

The company's weighted monthly rates are consistent with the service rates agreed in the contract, and the financing expenses and interest expenses in financial expenses have a relationship. During the reporting period, the company's service rates decreased year by year, mainly the company's operating performance and the scale of net assets continued to increase, the industry status and influence have steadily increased, the comprehensive strength gradually increased, and the number of supply chain service providers increased. In 2020, the amount of service fee is relatively small, mainly because the company's new equity financing was increased, and the increase in funding sources reduced the supply chain financing amount.

The company's introduction of supply chain services on the procurement business is conducive to alleviating the pressure of occupation of the purchase of operating funds to a certain extent, thereby improving the efficiency and turning speed of operating funds and enhancing liquidity.

In addition, the company's main production base is located in China. The import and customs declaration process of raw materials are more complicated. In order to effectively use the funds and logistics services of the supply chain service to reduce operating costs, the company has entrusted supply chain companies to provide procurement, customs declaration, and international and domestic logistics services. Case. After retrieval market cases, related companies such as Calleut (have passed the meeting), Kos Technology (688788), Wankai New Materials (301216), Hengxuan Technology (688608), Ai Wei Electronics (688798) and other existing supply chain services Situation.

The company's procurement business is rational and conforms to industry practices.

The company's supply chain financing to the supplier CLP Investment and its subsidiaries is due to different business models. The flow of funds of the two businesses is independent of each other.

During the reporting period, the company's financing to the supply chain company was mainly to meet the company's demand for raw material procurement funds.

Financing funds are used to pay the purchase funds from suppliers. Related funds do not have related parties such as Zhu Xiayun, Hong Kong Jinsheng and other related parties such as Xiao Zhenghua, Xiao Shaozhi, and Shenzhen Jinsheng and Hainan Storage.

The company does not have the guarantee and pledge of accounts receivable.

Regarding the continuous operation, the Shanghai Stock Exchange requires the issuer to explain: (1) The main reason for the issuer's losses in 2018 is whether there is a situation in advance to confirm the cost and adjust the profit in advance, and combine the large fluctuations of the issuer's gross profit margin to explain 2019 The persistence and stability of the year and 2020; (2) the specific situation of the payment and repayment cycle of purchase and sales, the necessity of purchasing a large amount of raw materials, etc., indicate that the net cash flow generated by operating activities is The impact on the issuer's operation and whether the future will be improved; (3) combined with factors such as the company's development stage, and compare and analyze the reason and rationality of the issuer's relevant debt capability indicator lower than the comparable company in the same industry; (4) Combining debt repayment indicators is lower than the industry, cash flow continues to be negative, accounts receivable, sustainable inventory growth, etc., indicating whether the issuer's current business model is sustainable, whether it is facing continuous management risks, and combined with specific circumstances, combined with specific circumstances Make major issues and risk prompts.

Baiwei Storage replied that the company has enabled the Oracle Software System since 2016. Through a series of information system integration, it has closely collaborated on business links such as procurement, production, research and development, and sales. Save traceability to ensure the effective connection between business data and financial data. In addition, the company has formulated a series of control measures related to sales, cost switching, etc. to ensure the true and accurate financial data. During the reporting period, the company strictly abides by the relevant control system. The confirmation of income, cost and costs are based on the actual original vouchers such as related contracts, orders, invoices, outlet orders, delivery orders, and signing orders. Cost and expenses, cross -off profit -making profits.

With the company's continuous investment in various products, the company's product technology level has continued to improve, product competitiveness, brand influence, and continuous expansion of product channels, the company's products are widely recognized by downstream customers. At the same time, the company has the core technologies of various links such as the research, firmware design, packaging design and manufacturing, and storage chip testing, which constructs the key competitiveness of the core product lines such as smart terminal storage, consumer storage, and industrial storage. The company's twist in 2019 and 2020 has sustainability and stability.

During the reporting period, the net cash flow of the company's operating activities continued to be negative. It mainly caused the rapid growth of the business scale and the increase in the scale of the company's procurement, which led to the inflow of cash in business activities less than the cash outflow of business activities. However, the company's customer credit status is good, the company's mobile ratio and speed ratio are relatively stable. At the same time, the company's asset -liability ratio is relatively low, the proportion of the total assets of mobile assets, and the company has strong financing capabilities and credit quotas. Meet the company's demand for monetary funds in time. In summary, although the net cash flow generated by the company's operation during the reporting period continues to be negative, the company's asset quality is good. It is expected that as the company strengthens the management of stocks and customer repayment management in the future Therefore, it does not affect the company's production and operation activities.

The issuer has disclosed the relevant risks to disclose the risks of the "fourth risk factor" of the "fourth risk factor" of the "fourth quarter" of the "fourth section of risk factors".

"During the reporting period, the net cash flow generated by the company's operating activities was -118.165 million yuan, -272,627 million yuan, and -48,880,600 yuan, respectively. In the stage of rapid development, the company implements strategic procurement strategies for key raw materials such as memory wafers. During the reporting period, the amount of cash expenditure of raw materials is higher. In the future, with the further expansion of the business scale, if the company fails to improve the efficiency of stocking and increase inventory, The turnover speed may continue to occur in the case of the net cash flow generated by operating activities, which will not affect production and operation. "

At the end of the reporting period, the company's asset -liability ratio was lower than the group -linked electronics and ADAC, which was higher than Zhaoyi Innovation, Innovation Information and Jiang Bolong. The main reason for the difference in the company in the same industry is that the company has not logged in to the capital market. The company's external financing is mainly borrowing, and the asset -liability ratio is higher than that of the same industry, which is rational. During the reporting period, as the company's operating conditions gradually increased, the company's flow ratio and speed ratio rate increased steadily, and the asset -liability ratio continued to decline. After this public offering, the company's above -mentioned indicators will be further improved.

In general, the company's financial indicators are at a normal level, the financial structure is stable, and there is no greater risk of debt repayment.

As the company is still in the development period, the company's product and customer structure continues to optimize, and the sales scale has increased rapidly.

In order to meet the continuously expanding sales scale, the company increases inventory stocking, leading to negative net cash flow in business activities. However, the company does not have continuous operating risks in combination with the development of the issuer's business development and financial structure.

During the reporting period, the company's current business model continued to stabilize, business indicators such as production capacity, management level, and liquidity continued to improve, and the company did not have continuous operating risks.

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