Jian Institute: Minimal Impact of Science and Technology Innovation Bonds, Multiple Measures to Promote Performance Recovery and Business Transformation

Log in to the Sina Finance app and search for 【Disclosure of Information】 to view additional evaluation tiers

Investor Q&A:

Hello, under the current construction real estate macro environment, there is no clear turning point. The company’s revenue is already down by half compared with 2021. Although cost control is in place, it is also true that if revenue is below 300 million, it is difficult to cover operating costs. While the interest on the sci-tech innovation bond is relatively low, as debt financing it will also increase the asset-liability ratio. Unless there are reliable underlying assets involved. I’d like to ask: besides what is mentioned in the annual report, does the company have any red line regarding its asset-liability ratio? Is it possible to resolve liquidity or potential new projects through equity financing?

Reply from the Secretary to the Board of Directors (Jianke Yuan SZ300675):

Hello. The issuance of the sci-tech innovation bond is one of the key measures taken to provide stable funding support for the company’s strategy and business transformation over a certain period of time. Optimizing the financing structure also helps improve the efficiency of capital use. At the same time, according to preliminary estimates, the sci-tech innovation bond has a relatively small impact on the company’s asset-liability ratio and is not the main factor causing fluctuations in the company’s asset-liability ratio. The company is also working to expedite the collection of accounts receivable in line with recent policies, and actively advancing business transformation and new business development, including future office building leasing. We will strive for a fundamental rebound in performance and a comprehensive turnaround from losses. If we match suitable investment targets in areas such as energy, zero-carbon, and digitalization/intelligentization, the company will also actively carry out capital operations to enhance overall business service capabilities. If any matters meeting the relevant standards arise, we will fulfill information disclosure procedures in accordance with regulations. Investors are kindly reminded to take note of investment risks. Thank you for your attention.

View more Q&A from the Secretary to the Board of Directors>>

Disclaimer: This information is extracted by Sina Finance from publicly available information and does not constitute any investment advice. Sina Finance does not guarantee the accuracy of the data; the content is for reference only.

A vast amount of information and precise analysis—right on the Sina Finance app