New Year’s new weather, but as the former “first brother” of Sichuan real estate, Sichuan Languang Development Co.Ltd(600466) (600466) life is not easy.
After the crazy rise in December 2021, Sichuan Languang Development Co.Ltd(600466) share price has returned to around 2 yuan / share again. It has been a secular disturbance for a long time, but the receiver rumored by the market has not yet appeared.
nevertheless, the debt owed by Sichuan Languang Development Co.Ltd(600466) is still accumulating and rising. On February 9, the latest announcement of Sichuan Languang Development Co.Ltd(600466) disclosed that the total amount of principal and interest of the debt due and unpaid has reached 29.855 billion yuan. according to the closing price of the day, Sichuan Languang Development Co.Ltd(600466) has a total market value of only 6.07 billion yuan; As of September 30, 2021, Sichuan Languang Development Co.Ltd(600466) shareholders’ equity totaled 19.8 billion yuan and monetary capital was 7.597 billion yuan.
nearly 90% of the controlling shareholder’s equity was frozen
Due to the superposition of macroeconomic environment, industry environment and financing environment, since 2020, Sichuan Languang Development Co.Ltd(600466) open market refinancing has been blocked, the return rate of operating cash has slowed down, and the liquidity of listed companies has been strained periodically. In addition, some financial institutions announced their maturity in advance, resulting in Sichuan Languang Development Co.Ltd(600466) some debts not being repaid on schedule.
On February 9, Sichuan Languang Development Co.Ltd(600466) released the latest debt data. Recently, the listed company and its subsidiaries added 2.116 billion yuan of debt principal and interest that could not be repaid when due. As of February 9, 2022, Sichuan Languang Development Co.Ltd(600466) the total amount of principal and interest of the debt due and unpaid amounted to 29.855 billion yuan, including bank loans, trust loans, debt financing instruments and other debt forms.
In view of the above situation, Sichuan Languang Development Co.Ltd(600466) said that in order to resolve debt risks, listed companies are fully coordinating all parties to actively raise funds and discuss various ways to solve relevant problems. At the same time, Sichuan Languang Development Co.Ltd(600466) will formulate a short, medium and long-term comprehensive solution to actively solve the current problems under the communication and coordination mechanisms such as the creditor Committee and the holder meeting. However, Sichuan Languang Development Co.Ltd(600466) is still actively coordinating solutions with the financial institutions involved above.
The debt crisis has also brought a series of symptoms, Sichuan Languang Development Co.Ltd(600466) boss Yang Keng resigned early, his son Yang Wuzheng took over in the face of danger, and the controlling shareholder’s equity has been highly frozen.
In 2021, various rumors of “sex selling” around Sichuan Languang Development Co.Ltd(600466) emerged one after another, and the “broken arm survival” mode was started in order to survive. Previously, Sichuan Languang Development Co.Ltd(600466) has successively sold the controlling equity of Blu ray Jiabao service (02606. HK), a property of cash cow, and part of the equity of Blu ray Wuxi project. Country garden and Vanke took over these two assets respectively.
In addition to the business level, Sichuan Languang Development Co.Ltd(600466) also made a series of internal adjustments. Yang Keng, the actual controller of Sichuan Languang Development Co.Ltd(600466) , transferred 169 million shares of Blu ray directly held by himself by agreement, and the controlling shareholder Blu ray group took over; In June 2021, Yang Keng resigned as chairman of Sichuan Languang Development Co.Ltd(600466) again, and Yang Wuzheng, who was widely rumored to be his son, took over in the face of danger.
On January 24, 2022, due to the breach of stock pledge, Blu ray group was applied for judicial freezing of 226 million shares by China Railway trust, accounting for 15.11% of its shares and 7.44% of the total share capital of Sichuan Languang Development Co.Ltd(600466) . As of January 24, 2022, Blu ray group held 1.494 billion shares of the listed company, accounting for 49.22% of the total share capital of the company; The cumulative number of frozen shares was 1.334 billion, accounting for 89.32% of its Sichuan Languang Development Co.Ltd(600466) shares and 43.96% of the total share capital of the company.
Net profit of 123561 billion yuan in 2021}
On the eve of the Spring Festival, Sichuan Languang Development Co.Ltd(600466) released the performance forecast for 2021, which brought investors a big “surprise”.
According to the preliminary calculation of Sichuan Languang Development Co.Ltd(600466) financial department, it is expected that the net profit of listed companies will suffer a loss of about 12.037 billion yuan in 2021 and a profit of more than 3.3 billion yuan in 2020; After deducting non profits, Sichuan Languang Development Co.Ltd(600466) net profit will still reach about 11.273 billion yuan.
in this regard, Sichuan Languang Development Co.Ltd(600466) attributed the reasons for performance loss in advance to three aspects, namely, operating loss, impairment provision and asset disposal.
Sichuan Languang Development Co.Ltd(600466) the financial department preliminarily merged and calculated that there was a large operating loss in 2021 compared with the previous year, and the expected loss was about 4.394 billion yuan. Among them, Sichuan Languang Development Co.Ltd(600466) due to overdue debts and shortage of funds, the construction progress of the projects planned to be delivered this year has been affected to varying degrees. The projects originally planned to complete the performance obligations of house sales and included in the settlement in this period have failed to complete the delivery according to the original plan in the current period, and the recognition of real estate business income has decreased by about 18.842 billion yuan compared with 2020, a year-on-year decrease of 47.37%.
In the second half of 2021, there were difficulties in real estate sales, Sichuan Languang Development Co.Ltd(600466) chose to sell at a lower price and eliminate some of the stock real estate, resulting in a decline in sales gross profit or even loss, and increasing the pressure of inventory falling price of the company’s real estate stock projects. In addition, Sichuan Languang Development Co.Ltd(600466) due to the shortage of liquidity, some new loans are mainly used to pay the due debts and are not directly used for project development and construction. The relevant costs of these loans not used for development and construction are included in the current profits and losses. Some projects are shut down abnormally, resulting in the rise of financial costs.
Further, as for the large part of the loss in advance of net profit, it also depends on the impact of impairment provision. Based on the balance sheet date of 2021 and the current real estate market situation, Sichuan Languang Development Co.Ltd(600466) combined with the impact of current liquidity risk on future real estate sales, an impairment loss of about RMB 6.909 billion is accrued, mainly for inventory falling price reserves.
In addition, Sichuan Languang Development Co.Ltd(600466) in 2021, the subordinate property management companies and some real estate projects were disposed of. Due to the loss of selling real estate projects in order to ensure the delivery and repay due liabilities during the reporting period, the accumulated non recurring profit and loss was about -733 million yuan.
On January 28, the Shanghai Stock Exchange issued the inquiry letter to Sichuan Languang Development Co.Ltd(600466) and asked the latter to reply in writing as soon as possible.
It should be noted that Sichuan Languang Development Co.Ltd(600466) the net profit loss attributable to the parent company in the first three quarters of 2021 was 6.705 billion yuan, which was quite different from the estimated annual net profit loss of 12.037 billion yuan disclosed this time. According to the requirements of the Shanghai Stock Exchange, Sichuan Languang Development Co.Ltd(600466) in combination with the project carry forward and other operating conditions of the real estate business, explain the specific reasons and rationality of the company’s significant loss in the fourth quarter, and whether there is profit adjustment such as the cost should be carried forward but not carried forward in the first three quarters.
Sichuan Languang Development Co.Ltd(600466) it is estimated that the provision for impairment loss will be about 6.909 billion yuan in 2021, mainly for inventory falling price reserves, while the provision for asset impairment loss will be only 166 million yuan in 2020. In view of this situation, it also attracted the attention of Shanghai Stock Exchange, requiring Sichuan Languang Development Co.Ltd(600466) to supplement and list the specific amount of impairment provision for each item in the inventory, and explain the reason and rationality of large impairment provision in the current period in combination with the location distribution, development, sales progress, market supply and demand and other factors of the project.
