march 9, the reporter of the securities times learned that the Shanghai store of real estate intermediary Q Fangwang fell into the storm of closure due to continuous losses
q real estate network Shanghai store in business crisis
“At present, we are in arrears with the Commission in January and the deferred Commission for tax avoidance in 2021. Previously, the company announced that it would be issued on February 20. Later, it said that it would be delayed to February 25 due to factors such as the epidemic and the Spring Festival, but it was not issued on February 25 and there was no explanation.” Dong Xin (a pseudonym), a salesman of Q housing network, told the securities times.
Public information shows that Q real estate network is a real estate Internet brand with o2o mode as the core and real estate transactions as the main business. Its business covers many cities such as Shenzhen, Shanghai, Beijing and Suzhou. The main operator of q-room network is Shenzhen Yunfang Network Technology Co., Ltd., and its wholly-owned subsidiary Shanghai Yunfang Data Service Co., Ltd. is responsible for the business in Shanghai.
“At present, the response we have received is that the headquarters can’t send it without money. We don’t know when to send it.” Dong Xin said.
On March 8, several front-line salesmen of Q room network gathered at the office site of Q room network to negotiate with the company about salary arrears, but the communication between the two sides was unsuccessful until the early morning of March 9.
At noon on March 9, several salesmen came to the Shanghai headquarters of Q room network again. The reporter learned at the scene that most salesmen were owed more than 100000 yuan in salary and commission. In order to prevent disorder, property management personnel are stationed at the office site of Q room network, while only a small number of employees go in and out of the office site of Q room networkP align = “center” (q-room.com Shanghai headquarters)
“What I have learned is that there is no solution or statement at present.” For the situation at the scene, a person familiar with Q room network responded to the reporter.
In fact, for the business situation in Shanghai, Q housing network has recently put forward a solution. In an announcement called the implementation plan for the closure of Shanghai Yunfang Data Service Co., Ltd. (Draft), Shanghai Yunfang said that the company continued to suffer losses and was unable to maintain normal operation. In order to prevent further expansion of operating losses, the company provided two schemes:
first, from now on, in addition to retaining necessary personnel, Shanghai Yunfang headquarters will urge other employees to go through resignation procedures within a time limit; Second, all businesses of Shanghai Yunfang store will be suspended, and the stock business in the process of promotion can continue to be completed, or the contract can be terminated unconditionally after reaching an agreement with the customer
The draft shows that the headquarters of q-room group plans to open its existing stores in Shanghai to the existing teams of Shanghai company, and encourage the existing teams of Shanghai Yunfang to participate in the operation of q-room in Shanghai. However, this solution has not been recognized by the front-line salesperson.
\u3000\u3000 “The solution now is to let us turn to franchising and collect the commission that has not been recovered to fill the current hole, but most salesmen disagree. The money we have received before has not been paid, and we have not made clear when to send it. We don’t believe that we have to collect the follow-up Commission. The company has no credibility.” Dong Xin said.
“The premise is that we don’t pay for the basic set of stationery on time, but if we don’t pay for the basic set of stationery, we have to take care of our own profits and losses. If we don’t pay for the basic set of stationery on time, we have to pay our own money first.” Dong Xin said.
operating losses
The operation status of Q housing network in Shanghai market is closely related to the policy and market trend. In 2021, affected by the policy, the real estate transaction in Shanghai once fell to the freezing point.
In a statement from Shenzhen Yunfang obtained by the reporter, Shenzhen Yunfang explained the operation of Q room network in Shanghai.
Shenzhen Yunfang said that due to the large number of local real estate intermediary brands and fierce market competition in Shanghai, as a key city for house price monitoring, regulatory policies emerge one after another. Shanghai Yunfang has been in a state of operating loss and cash flow shortage for a long time.
Shenzhen Yunfang said that by the end of January 2022, it had provided more than 60 million yuan of financial support to Shanghai Yunfang. However, since last year, the market environment has continued to deteriorate and the whole industry has entered a period of adjustment. In order to comply with market changes, the company has actively taken reform measures to reduce costs, increase efficiency and turn losses into profits to maintain the sustainable operation of the company.
Shenzhen Yunfang said that it has been actively helping Shanghai Yunfang to solve the problems of operating losses and tight operating cash flow. There is no company bankruptcy, abscond with funds and embezzlement of Shanghai Yunfang funds.
However, a number of q-room network salesmen told reporters that the business situation in Shanghai has been OK. There were indeed fewer bills in some periods in the second half of last year, but it has recovered significantly since the end of last year. “The Shanghai market as a whole is still relatively stable, and the performance is OK. If there is a loss, it will not be very big. We don’t know why there are current problems.” Q room network salesman said.
The reporter learned that at present, a large number of q-room.com stores in Shanghai have been suspended. In q-room.com app, only a few areas in Shanghai can still provide services. In some cities around Shanghai, salary delays have also occurred.
According to the information provided by the salesman of q-room.com to reporters, q-room.com Suzhou functional management center issued a notice on March 9 that the salary originally scheduled to be paid on March 10 needs to be delayed to March 15 due to the epidemic situation in Suzhou and Shenzhen and the transformation of the company’s business model.
In addition, after the crisis of q-room.com’s Shanghai stores, some q-room.com stores and Red Star Macalline Group Corporation Ltd(601828) Aijia, a real estate brokerage brand of Red Star Red Star Macalline Group Corporation Ltd(601828) have reached an agreement. At present, some q-room.com stores have been renamed Red Star Macalline Group Corporation Ltd(601828) Aijia stores, and the original q-room.com staff have movedP align = “center” (a q-room.com store in Shanghai has been changed to Red Star Macalline Group Corporation Ltd(601828) Aijia store)
In a Red Star Macalline Group Corporation Ltd(601828) Aijia store in Baoshan District, Shanghai, the reporter noticed that the staff of the store had not even had time to print the new business card, but still used the business card of Q room network.
listed companies in trouble
Q room network operation main system Shenzhen Yunfang Network Technology Co., Ltd. In 2017, the listed company Hubei Guochuang Hi-Tech Material Co.Ltd(002377) announced that it planned to purchase 100% equity of Shenzhen Yunfang by issuing shares and paying cash, with a transaction consideration of 3.8 billion yuan.
through this major asset restructuring, Hubei Guochuang Hi-Tech Material Co.Ltd(002377) , originally mainly engaged in the R & D, production and sales of asphalt materials, has entered the real estate intermediary service industry across the border.
In 2018, thanks to the good performance of Shenzhen Yunfang, the overall operation of Hubei Guochuang Hi-Tech Material Co.Ltd(002377) increased significantly
However, affected by the operation of cloud house in Shenzhen, Hubei Guochuang Hi-Tech Material Co.Ltd(002377) fell into a loss in the past two years Hubei Guochuang Hi-Tech Material Co.Ltd(002377) according to the announcement released in January this year, the net profit loss of the company in 2021 is expected to be RMB 900 million to RMB 1.3 billion.
The company said that the important reason for the loss was the serious loss of the company’s real estate intermediary service business in 2021. Among them, affected by policy regulation, the operating revenue of Shenzhen, the main source of profit, fell sharply; At the same time, the company continued the policy of increasing the proportion of brokerage commission, and the relevant variable costs increased significantly year-on-year; In addition, in the first half of 2021, the company added about 400 stores and closed some inefficient stores, resulting in a large increase in relevant costs.
In 2017, Hubei Guochuang Hi-Tech Material Co.Ltd(002377) the acquisition of Shenzhen Yunfang generated goodwill of about 3.2 billion yuan. In 2020, Hubei Guochuang Hi-Tech Material Co.Ltd(002377) made provision for goodwill impairment of 2.92 billion yuan and intangible asset impairment of 47.04 million yuan for Shenzhen Yunfang, which directly led to the company’s loss of nearly 3 billion yuan in 2020.
in the announcement released in January this year, Hubei Guochuang Hi-Tech Material Co.Ltd(002377) also said that most of the receivables of Shenzhen cloud real estate are real estate development enterprises, and some real estate development enterprises have incurred risks such as debt default. The management of the company has carefully analyzed and evaluated the recoverability of the company’s receivables and believes that there are great risks, It is expected that the company’s provision for impairment of receivables will increase significantly
intermediary expects the market to be optimistic this year
In Shanghai, q-room is not the only intermediary agency in business crisis. According to China Central Television, there was a trend of closing down real estate agencies in Shanghai at the end of 2021.
“An important reason for the collapse of intermediary institutions is that the policy last year was relatively strict. Last year, the bank lending was slow, and many loans could not be approved at all. It took a set of processes, and it could not be completed in seven or eight months. Because the policy was sudden, many in transit transactions faced default.” Li Shengli (a pseudonym), the store manager of an intermediary in Shanghai, told reporters.
reporters learned that since 2022, the regulation and control policies of the real estate market in many places have changed, the lending cycle of some urban banks has been shortened, the interest rate has been reduced, and the mentality of some real estate agents has also changed significantly
“I was in Shenzhen. Last year’s situation was really bad. Many employees left, or they could only transition to the rental business. The main reason is that the guiding price was too tight, resulting in an increase in the proportion of down payment and a sharp decline in trading volume. From the current situation, the interest rate has decreased this year, and the situation must be better than last year.” Chen Fei, a senior real estate agent in Shenzhen, said.
“This year’s market is indeed much better than last year. Now a house sometimes has several groups of people to see it at the same time. I have some houses in my hand, and the transaction will be completed in two or three days. Our store held a meeting a few days ago. It is expected that this year’s market may be much better than last year, but the price will not change much.” Li Shengli introduced.
“Compared with last year, in fact, the policy this year has basically not changed, but the bank lending cycle has been significantly accelerated. Now you can lend money in three weeks, or even two weeks if it is urgent, and the interest rate is 0.05% lower than last year.” Li Shengli said.
