Zhucheng Technology IPO: The cash flow of business activities is continuously negatively negatively traded by the affiliated parties.

The cash flow of Zhucheng Technology has continued to be negative in the past three years, and there is a large difference in net profit. In addition, the transactions of Zhucheng Technology and the former affiliated parties are intricate, and there are suspected cycles of in vitro.

Shenzhen Zhucheng Technology Co., Ltd. (hereinafter referred to as: Zhucheng Technology), which is mainly engaged in the research and development of electronic connectors, is listed on the Shenzhen Stock Exchange GEM. On May 26, Zhucheng Technology will pass.

Public information shows that the number of public offering of Zhucheng Technology this time does not exceed 16.2834 million shares, accounting for 25%of the company's total share capital after the issuance. It is expected to raise 655 million yuan, of which 404 million yuan is used for precision electronic connector intelligent technology reform projects, 91 million yuan for R & D centers upgrade projects, and 160 million yuan to supplement mobile funds.

By inquiring the prospectus, it was found that the cash flow of Zhucheng Technology in the past three years has continued to negative, and there is a large difference in net profit. In addition, the transactions of Zhucheng Technology and the former affiliated parties are intricate, and there are suspected cycles of in vitro. In response to the above issues, I found that the network sent an interview letter to the public mailbox of Zhucheng Technology to request a question, but as of press time, Zhucheng Technology did not give a reasonable explanation.

The cash flow of business activities is negative for three consecutive years

According to the prospectus, Zhucheng Technology is an enterprise focusing on the development, production and sales of electronic connectors, and has the ability to design, manufacture and assemble the precision mold of electronic connectors. From 2019 to 2021, the total operating income of Zhucheng Technology was 627 million yuan, 709 million yuan, and 1.051 billion yuan, respectively, with a year-on-year growth rate of 20.33%, 13.08%, and 48.21%. Yuan, 104 million yuan and 137 million yuan, a year -on -year growth rate of 17.67%, 67.04%, and 32.31%, respectively.

Picture source: Wind (Zhucheng Technology)

In the past three years, the net profit of Zhucheng's science and technology was RMB 65 million, 108 million yuan, and 146 million yuan, respectively, showing a rapid growth trend. However, the net cash flow generated by its operating activities continues to be negative, and during the reporting period,

-157 billion yuan, -051 billion yuan and -069 billion yuan, there is a large difference in net profit.

Picture source: prospectus (Zhucheng Technology)

By inquiring the prospectus, the net cash flow of Zhucheng's science and technology operation activities continued to negative, mainly due to the continuous increase in the company's receivables and inventory scale. The prospectus shows that from 2019 to 2021, the book value of Zhucheng Technology's accounts receivable was 163 million yuan, 211 million yuan, and 302 million yuan, respectively, showing a continuous growth trend; the receivables were 171 million yuan, 169 million yuan, respectively. With 207 million yuan, the total amount of the two accounted for 71.29%, 66.8%, and 66.69%, respectively, accounting for relatively high.

It is worth noting that Zhucheng Technology customers have a high concentration. Among them, the sales proportion of groups from the largest customer Midea account for about 35%, and the debt of the group in the reporting period accounts for 40.86%of the accounts receivable, respectively. , 32.82%and 48.64%, which accounts for relatively large. And since 2019, Midea Group has begun to enable Meiyi's settlement, which has reduced the company's account receivable turnover rate, and the receivables have further increased.

In addition, the inventory scale of Zhucheng Technology has also continued to increase. During the reporting period, it was 113 million yuan, 151 million yuan, and 197 million yuan, respectively, accounting for 24.18%, 26.53%, and 25.79%of mobile assets, respectively.

Picture source: prospectus (Zhucheng Technology)

Zhucheng Technology also expressed concerns in the prospectus. With the further expansion of the company's scale, the demand for operating funds in the company is increasing, and the net cash flow of the company's operating activities continues to be effective. Essence

The transactions with the previous affiliated parties are intricate and have been questioned the cycle of funds outside the body

According to the prospectus, in June 2018, Zhucheng Technology increased the capital to Hubei Bochuang Electronics Co., Ltd. (hereinafter referred to as: Hubei Baichuang) of 3 million yuan. Associated enterprises of urban technology.

The investigation of the enterprise shows that the Hubei Liechin was established on April 3, 2016, and is mainly engaged in the car line business. Zhucheng Technology invested in Hubei Blinks in 2018 in order to develop the car beam market, and completed the registration of industrial and commercial filing on August 7. Due to the failure to fully meet the requirements of Zhucheng's science and technology in the management of Hubei Base Chuangxin, Zhucheng Technology and Hubei Liech Chuangda shareholder Yang Baolei signed the "Equity Transfer Agreement" in December of the same year, and transferred 30%of Hubei Basechuang to 3 million yuan to 3 million yuan to 3 million yuan to 3 million yuan to 3 million yuan to 3 million yuan to 3 million yuan. Yang Baolei. The registration of industrial and commercial filing was completed on January 2, 2019. Since then, Zhucheng Technology has withdrawn from Hubei Laguang.

It is worth mentioning that after withdrawing from Hubei Liechuang, on January 10, 2019, Zhucheng Technology and Hubei Baichuang shareholder Yang Baolei and Yang Fanlei cooperated to set up a new company Hubei Batton Electronic Technology Co., Ltd. (hereinafter referred to as: Hubei Ba, Hubei Ba Steton), mainly engaged in the car line business.

At the beginning of the establishment of Batton in Hubei, the registered capital was 5 million yuan, and the capital contribution of Zhucheng Technology accounted for 70%. Subsequently, in August 2019, Zhucheng Technology increased another 5 million yuan, and acquired 29%and 1%of the equity held by Yang Baolei and Yang Fanlei for 1.45 million yuan and 50,000 yuan. After the equity transfer, Hubei Patton became a wholly -owned subsidiary of Zhucheng Technology.

Picture source: prospectus (Zhucheng Technology), only one year, Zhucheng Technology was not good at exiting in August 2020 because of the operating conditions of Baston, Hubei, and 100%of Hubei Patton's equity of 550,000 The price of the yuan was transferred to Yang Baolei.

In addition, when Zhucheng Technology transferred 30%of the equity of Hubei Base Chuang to Yang Baolei in January 2019, Yang Baolei did not pay 3 million yuan in equity transfer models. In August of the same year, Zhucheng Technology acquired Yang Baolei for 1.45 million yuan. When Batton's 29%equity, he did not actually pay it. Instead, it offset 1.45 million yuan with 3 million yuan of equity transfer models owed by Yang Baolei.

It is worth noting that before Zhucheng Technology had not withdrawn from Baston, Hubei, it also borrowed 8.271 million yuan from Baston, Hubei, of which 500,000 yuan had been returned in August 2019, and the remaining 7.771 million yuan was used for Babe, Hubei Pakistan. Steton's daily operation. At the same time, Zhucheng Science and Technology Exemption to 1.2141 million yuan in Hubei Patton's debt of 7.771 million yuan, and transferred the remaining 5.63 million yuan to Yang Baolei. After the transfer, the company received Yang Baolei's debt 5.63 million yuan. As of December 31, 2021, Zhucheng Technology has prepared 5.6 million yuan for this single plan.

Picture source: prospectus (Zhucheng Technology)

People in the industry said that Zhucheng Technology has withdrawn from Hubei Baschuang and Baston, Hubei in a short period of time. It may involve the suspicion of the cycle of in vitro.

(Reporter Luo Xuefeng Financial Researcher Tenghui said)

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