Guangdong Yantang Dairy Co.Ltd(002732)
Risk assessment report on Guangdong Agricultural Reclamation Group Finance Co., Ltd
Guangdong Yantang Dairy Co.Ltd(002732) (hereinafter referred to as "the company") has assessed the operating assets, business and risk status of the financial company by examining the financial license, business license and other business qualification materials of Guangdong Agricultural Reclamation Group Finance Co., Ltd. (hereinafter referred to as "the financial company"), and reviewing the capital verification report of the financial company. Now the relevant risk assessment is reported as follows:
1、 Basic information
Guangdong Nongken Group Finance Co., Ltd., established on November 12, 2019, is a non bank financial institution approved by Bank Of China Limited(601988) Insurance Regulatory Commission.
Company name: Guangdong Agricultural Reclamation Group Finance Co., Ltd
Enterprise type: other limited liability companies
Legal representative: Cai Yinong
Registered capital: 500 million yuan
Date of establishment: November 12, 2019
Registration authority: Guangzhou Tianhe District market supervision and Administration Bureau
Company domicile: room 1901-1912, No. 607, yueken Road, Tianhe District, Guangzhou (office only)
Business scope: handle financial and financing consulting, credit assurance and related consulting and agency business for member units; Assist member units to realize the receipt and payment of transaction funds; Approved insurance agency business; Provide guarantee to member units; Handle entrusted loans between member units; Handle bill acceptance and discount for member companies; Handle the internal transfer settlement between member units and the corresponding settlement and clearing scheme design; Absorbing deposits from member units; Handle loans and financial leases for member units; Engage in interbank lending. (the specific business items shall be subject to the financial license and approval documents. This business scope is only limited to the licensed business of "Guangdong Agricultural Reclamation Group Finance Co., Ltd.".
2、 Basic information of internal control of finance company
(I) control environment
The financial company has a sound corporate governance structure and organization. In accordance with the requirements of the company law on limited liability companies and the relevant requirements of the measures for the administration of enterprise group financial companies, the board of shareholders, the board of directors, the board of supervisors and senior management have been established. There are risk management committee, investment decision-making committee and audit committee under the board of directors; At the same time, a credit review committee and an asset liability management committee have been established, which are responsible to the general manager. The responsibilities and authorities, qualifications, rules of procedure, working procedures and terms of office of each special committee are specific and clear. The "three sessions and one layer" and all committees can basically perform their duties within their respective terms of reference. At present, the finance company has eight departments: credit business department, capital planning department, settlement department, finance department, general affairs department, supervision and audit department, risk control (legal affairs) department and Trust Alliance Information Development Inc.Ltd.Shanghai(300469) department.
(II) risk identification and assessment
In accordance with the requirements of the regulatory authorities and the group company, the finance company has established a comprehensive risk management system covering all business levels and management levels to ensure timely detection, control and disposal of risks and promote healthy and stable operation. The board of directors is the highest decision-making authority for the risk management of the financial company, which is responsible for establishing and maintaining an effective comprehensive risk management system and taking the ultimate responsibility for the risk management of the financial company. The risk management committee under the board of directors is mainly responsible for reviewing the risk management policies and internal control policies of the finance company according to the overall strategy of the finance company, and supervising and evaluating their implementation and effect; Review the risk management report of the finance company, and regularly evaluate the risk management status and risk tolerance level of the finance company, so as to ensure that the risks faced by various businesses of the finance company are controlled within the acceptable range.
The board of supervisors shall perform risk management duties in accordance with the provisions of the articles of association of the finance company, and inspect, supervise and evaluate the effectiveness of risk management of the finance company.
The senior management is responsible to the board of directors for the effectiveness of risk management, and is mainly responsible for implementing the basic risk management standards of the financial company approved by the board of directors; Assess the financial risks of the company; Handle the risk assets and risk events of the financial company and resolve the risks in time. The senior management consists of a credit review committee and an asset liability management committee, which provide decision-making suggestions on risk management to the senior management within their respective responsibilities. The risk control (legal affairs) department is the centralized management department of the financial company's risk control, which is responsible for coordinating the risk management work and organizing the formulation of various risk management systems and risk management processes; Be responsible for checking and evaluating the risk management work of each department and writing the risk management work report; Be responsible for tracking the relevant risk management policies, rules and systems issued by regulators, and putting forward plans and measures for continuous improvement of risk management in combination with the actual situation of the financial company.
Other departments of the finance company shall manage various risks involved in their own departments in accordance with the principles of "managing business must manage risks" and "who is in charge is responsible", and be responsible for implementing the risk management policies, rules and regulations of the finance company; Be responsible for information collection, identification, assessment, monitoring and control of various risks involved in the Department; Responsible for and information.
(III) control activities
The operation of all businesses of the finance company shall comply with the provisions of relevant laws and regulations such as the measures for the administration of enterprise group finance companies and the approval documents. Since its opening, it has formulated various front, middle and back office business systems covering settlement business, credit business, investment business, foreign exchange business, risk control, information control, emergency preparedness, internal control and so on. All regulatory indicators of the financial company comply with the provisions of the Interim Measures for the assessment of risk regulatory indicators of enterprise group financial companies. In accordance with the spirit and requirements of the comprehensive risk management of the China Banking and Insurance Regulatory Commission, the finance company adheres to the business philosophy of "based on Agricultural Reclamation and serving enterprises". Under the severe situation of strong supervision, the finance company takes risk control as the primary task, actively implements the requirements of the superior regulatory department, and earnestly performs the responsibility of financial services to the real economy while doing well the traditional businesses such as deposit and loan, Through the risk-based business philosophy, strengthen the system revision and internal audit, and ensure the smooth operation of various businesses.
(IV) emergency preparedness
The finance company has established the management measures for financial services in response to emergencies, which provides institutional support for the rapid and effective disposal of major financial risks and emergencies and the prevention and reduction of hazards and losses to the greatest extent. At the same time, the corresponding credit risk early warning system has been established to strengthen the tracking and monitoring of the risk information obtained from various channels, evaluate the risk status of relevant objects, effectively prevent the occurrence of emergencies and ensure the safety of the company's credit assets. (V) internal control evaluation
The finance company has established a relatively complete internal control system and conducts internal control effectiveness evaluation every year to ensure the effective conduct of business activities, protect the safety and integrity of assets, find and correct errors and prevent fraud, ensure the authenticity, legality and integrity of accounting materials, and promote the achievement of strategic objectives. At present, all businesses and matters included in the evaluation scope of the finance company can be carried out in strict accordance with the relevant internal control systems, all internal control systems can be effectively implemented, the objectives of internal control have been achieved, there are no major defects, and the operation of the internal control system of the finance company is effective.
3、 Operation management and risk management of finance company
(I) operation
As of December 31, 2020, the total assets were 1971726200 yuan, the total liabilities were 1468763500 yuan, and the net assets were 502962700 yuan. In 2020, the operating income was 20243300 yuan and the net profit was 2433400 yuan (the above data have been audited).
As of December 31, 2021, the total assets are 2651927800 yuan and the total liabilities are 2141258100 yuan
Yuan, with a net asset of 510669700 yuan. In 2021, the operating income was 44.4705 million yuan and the net profit was 7.7989 million yuan. The above financial data have not been audited.
(II) management
Since its establishment, the finance company has always adhered to the principle of sound operation and standardized its business behavior in strict accordance with the company law of the people's Republic of China, the banking supervision and administration law of the people's Republic of China, the accounting standards for business enterprises, the measures for the administration of enterprise group financial companies, relevant national financial regulations and regulations and the articles of association of Guangdong Agricultural Reclamation Group Finance Co., Ltd, Strengthen internal management. According to the understanding and evaluation of the risk management of the financial company, no major defects have been found in the risk control system.
(III) regulatory indicators
According to the provisions of the measures for the administration of financial companies of enterprise groups, all regulatory indicators of financial companies are within a reasonable range, and there are no major risks:
1. The capital adequacy ratio shall not be less than 10%
The actual capital adequacy ratio is 29.30%;
2. The balance of borrowed funds shall not be higher than the total capital
The actual balance of borrowed funds is 0 million yuan;
3. The guarantee balance shall not be higher than the total capital
The actual balance of external guarantee is 0 million yuan;
4. The ratio of short-term securities investment to total capital shall not be higher than 40%
The actual balance of securities investment is 0 million yuan;
5. The ratio of long-term investment to total capital shall not be higher than 30%
The actual balance of long-term investment is 0 million yuan;
6. The ratio of self owned fixed assets to total capital shall not be higher than 20%
The actual proportion of self owned fixed assets is 0.53%.
(IV) deposits and loans of the company
As of January 26, 2021, the company had no deposit and loan business with the finance company. At the same time, the company has formulated the risk disposal plan for carrying out deposit and loan business in Guangdong Agricultural Reclamation Group Finance Co., Ltd., so as to ensure the safety of deposit and loan funds in the finance company, effectively prevent, timely control and resolve deposit and loan risks.
4、 Risk assessment opinions
Based on the above analysis and judgment, the company believes that:
(I) the finance company has legal and valid financial license and business license;
(II) it is not found that the financial company violates the provisions of the measures for the administration of enterprise group financial companies issued by the former Bank Of China Limited(601988) industry supervision and Administration Commission, and the asset liability ratio of the financial company meets the requirements of the measures;
(III) since its establishment, the finance company has operated in strict accordance with the provisions of the measures for the administration of financial companies of enterprise groups, with sound internal control and no major defects in risk management. The risk of deposit and loan business between the company and the finance company is controllable.
Guangdong Yantang Dairy Co.Ltd(002732) board of directors January 26, 2022
