On May 23, St Tesco received the inquiry letter of the annual report of Shenzhen Stock Exchange and was asked about 16 aspects, including operating income, borrowing, accounts payable, overseas deposits, investment in financial products, financial leasing and so on.
Among them, the inquiry letter pointed out that the company achieved an operating revenue of 138904 billion yuan, a decrease of 44.94% over the previous year, a net profit attributable to shareholders of listed companies of – 43.264 billion yuan, a decrease of 912.11% over the previous year, and a net profit after deducting non recurring profits and losses of – 44.669 billion yuan, a decrease of 556.23% over the previous year; Meanwhile, the company’s operating revenue in the fourth quarter was 54.005 billion yuan, 39.6 billion yuan, 21.968 billion yuan and 23.331 billion yuan respectively, and its net profit was 456 million yuan, – 3.908 billion yuan, – 4.116 billion yuan and – 35.696 billion yuan respectively. The net profit after deducting non recurring profit and loss was -938 million yuan, – 4.086 billion yuan, – 4.192 billion yuan and – 35.453 billion yuan respectively. The Shenzhen stock exchange requires the company to explain the reason and rationality of the decline of net profit after deducting non recurring profits and losses, which is far more than the decline of operating income, and whether there is any situation of delaying the recognition of operating costs in previous years; Explain the reason and rationality of the decline of the company’s net profit after deducting non recurring profits and losses, which far exceeds the decline of operating revenue, and whether there is any delay in the recognition of operating costs in previous years.
Meanwhile, the inquiry letter also pointed out that the net cash flow from the company’s operating activities was -6.43 billion yuan, the net cash flow from the company’s operating activities had been negative for five consecutive years, and the net increase in cash and cash equivalents had been negative for three consecutive years. Shenzhen stock exchange requires the company to explain the reason and rationality of the continuous negative net cash flow from the company’s operating activities; Whether there is any inconsistency in the change trend of net cash flow generated from operating activities, and whether there is any fiction of operating income and operating costs.
