After the performance loss of 1.048 billion yuan in 2020, Huayi Brothers Media Corporation(300027) (300027) disclosed the performance forecast of 22.5209 million yuan to 33.7139 million yuan at the end of January. For the performance forecast of turning losses by relying on non recurring profits and losses, the Shenzhen Stock Exchange issued a concern letter to the company on the 11th.
non recurring profits and losses become the main force of profit
On January 28, Huayi Brothers Media Corporation(300027) disclosed the performance forecast for 2021. It is estimated that the non net profit loss deducted from the previous year will be 927 million yuan to 938 million yuan. However, due to the profit and loss from the disposal of long-term equity investment and financial assets and the profit and loss from the change in the fair value of financial assets caused by the change of share price, the company is expected to realize a net profit of 22.5209 million yuan to 33.7139 million yuan.
In addition, the net non recurring profit and loss of the company in 2021 was 961 million yuan, a large increase compared with the net non recurring profit and loss of – 29.6488 million yuan in the same period of the previous year, mainly including the profit and loss on the disposal of long-term equity investment and financial assets, as well as the profit and loss on the change of fair value of financial assets caused by the change of stock price. For Huayi Brothers Media Corporation(300027) , the fluctuation of non recurring profit and loss seems to determine the direction of the company’s performance.
On October 29, 2021, Huayi Brothers Media Corporation(300027) disclosed the third quarterly report. The company realized a net profit of 477 million yuan in the first three quarters, an increase of 278.87% over the same period of the previous year; After deducting the total non recurring profit and loss of 595 million yuan, a non net profit loss of 118 million yuan was recorded. At that time, the company said that the non recurring profit and loss in the first three quarters mainly included the profit and loss on the disposal of long-term equity investment and financial assets, as well as the profit and loss on the change of fair value of financial assets caused by the change of share price. Specifically, including the disposal of part of the equity of live entertainment, Huayi cinema and Brothers International LLC, and the recognition of the disposal income of long-term equity investment of 690 million yuan; As well as the income from the disposal of equity of more than RMB 2.4 billion of Tencent and the fair value of the company’s overseas investment.
By the end of the third quarter of 2021, Huayi Brothers Media Corporation(300027) had other equity investment of 703 million yuan, other non current financial assets of 384 million yuan, book value of accounts receivable of 392 million yuan, book value of long-term equity investment of 3.783 billion yuan and goodwill of 409 million yuan.
changes in the fair value of financial assets are inquired
As for the impact of financial assets and equity investment on the company’s performance, the Shenzhen Stock Exchange issued a concern letter to Huayi Brothers Media Corporation(300027) on the 11th, asking the company to explain the specific problems of long-term equity investment and bad debt provision.
For the long-term equity investment and financial assets that have a great impact on the company’s performance, the Shenzhen stock exchange requires the company to explain the historical entry time point, entry amount and entry basis of the long-term equity investment and financial assets disposed of in 2021, as well as the disposal time point, disposal proportion, disposal consideration, disposal reason, and whether the purchaser is related to the directors, supervisors and actual controllers of the company, Whether the conditions for derecognition are met, the accounting method of the remaining proportion, the amount recognized and the specific basis, and whether there are other agreements or further disposal plans. Supplement the specific details of the profit and loss of changes in the fair value of the company’s financial assets in 2021, including the specific recognition basis of the fair value of other equity investments, other non current financial assets and other financial assets; Supplement the details of the company’s provision for bad debts of accounts receivable at the end of 2021, and whether there is a big difference with the recovery and estimation basis of historical years; Explain the company’s provision for impairment of long-term equity investment and goodwill and the impairment test process at the end of 2021.
Many investors questioned the financial report of the company’s profits and losses due to the disposal of assets and said: “playing the financial game.”
In August 2021, Huayi Brothers Media Corporation(300027) issued the fourth revised fixed increase plan, which plans to issue no more than 834 million shares, and the total fund-raising will be reduced from no more than 2.243 billion yuan to no more than 2.069 billion yuan for film and television drama projects and supplement working capital. However, the above-mentioned fixed increase plan has not made progress so far. “At present, the company’s application for issuing shares to specific objects is still in progress,” the company said
