The recent exposure of corporate debt defaults has made more and more people turn their attention to corporate debt and the resulting financial expenses.
Shandong Finance reported statistics on 193 Shandong A-share listed companies and found that 156 of them had financial expenses in 2017, with a total amount of 27.634 billion yuan. The financial expenses of Huadian International were as high as 5 billion yuan; with this In contrast, 37 listed companies in Shandong have negative financial expenses, which means that these companies' interest income or exchange income exceeds interest expenses, etc., and instead "make" money, making a total of 716 million yuan, of which Tsingtao Beer alone earned 370 million yuan.
43 companies have financial expenses exceeding 100 million
Huadian International ranks first with 5 billion yuan
Shandong Finance reported that according to Wind statistics, among the 156 companies with financial expenses last year, 43 companies had financial expenses exceeding 100 million yuan, 18 companies exceeded 300 million yuan, 10 companies exceeded 500 million yuan, and 4 companies exceeded 1 billion yuan.
Among them, Huadian International has the largest financial expenses, reaching 5.044 billion yuan, a slight increase from 4.913 billion yuan in 2016. Specifically, Huadian International’s interest expenses in 2017 were 5.567 billion yuan, and the net profit attributable to the parent company during the same period was only 430 million yuan.
In 2017, Lugu's financial expenses exceeded 1 billion yuan, including Yanzhou Coal (3.666 billion yuan), Chenming Paper (2.497 billion yuan), and Qingdao Haier (1.393 billion yuan). The 10 companies with the most financial expenses spent a total of 16.5 billion yuan, accounting for 59.71% of the total financial expenses, nearly 60%.
Among the 156 companies, 30 companies have financial expenses less than 10 million yuan. Among them, Synthes Electronics' financial expenses are only 149,300 yuan, Shandong Zhanggu 161,800 yuan, Minsheng Holdings 279,000 yuan, and Baomo Holdings 392,800 yuan. They are the only 4 companies with financial expenses less than 1 million yuan. Among them, with the exception of Baomo Group, the financial expenses of the other three companies in 2016 were negative.
37 companies have negative financial expenses
Tsingtao Beer-370 million yuan the most
Shandong Financial Report statistics found that among 193 Shandong listed companies, 37 companies had negative financial expenses in 2017, totaling -716 million yuan.
Among them, Tsingtao Beer is the most eye-catching, with financial expenses of -370 million yuan; Jiajiayue – 63.05 million yuan follows closely, and Hailian Jinhui ranks third – 44.27 million yuan. Others with larger numbers include Neusoft Carrier (-28.54 million yuan) and Shandong Publishing (-23.93 million yuan).
It is understood that financial expenses are the expenses incurred by the company to raise funds required for production. According to the provisions of my country's accounting system, the accounting content of the company's financial expense accounts includes interest income, interest expenses, exchange gains and losses and other expenses incurred in financing.
That is: financial expenses = handling fee expenses – interest income + interest expenses – exchange gains and losses + exchange losses + others. It can be seen that when the sum of interest income and exchange income is greater than handling fee expenses, exchange losses, and others, the financial expense data is a negative number.
Generally speaking, if the bank deposit balance of a listed company is much higher than the bank loan balance, or the funds are lent to other enterprises, causing the interest income to be greater than the interest expense, the financial expenses will be negative. The former mostly occurs in companies that have just gone public or issued shares.
Shandong Finance reported that among the Shandong stocks with negative financial expenses in 2017, Jiajiayue and Shandong Publishing were companies that had just gone public in the past two years.
It is worth noting that Tsingtao Beer, as an old listed company, has had negative financial expenses for many years. Its financial expenses from 2014 to 2016 were -335 million yuan, -300 million yuan, and -257 million yuan respectively. In 2017, its interest income reached 415 million yuan.
Some analysts also believe that the most prominent problem for listed companies with negative financial expenses is that the "return on assets" is lower than the "bank interest rate." And the company cannot find suitable projects for the time being, so the company has no choice but to deposit a large amount of funds in the bank or lend them to others. The reason behind this is actually low return on assets and unreasonable asset structure.
32 companies’ financial expenses increased by more than 100%
31 companies have financial expenses exceeding net profit
Shandong Finance reported that among the above-mentioned 156 companies with positive financial expenses in 2017, 32 companies’ financial expenses increased by more than 100%, and 4 companies’ financial expenses increased by more than 10 times.
Among them, Yingke Medical's financial expenses in 2017 were 30.475 million yuan, an increase of 58.8 times compared with 509,300 yuan in 2016; Triangle Tire's financial expenses last year were 125 million yuan, a year-on-year increase of 396%, which was the largest increase among companies with financial expenses of over 100 million yuan.
Compared with the net profit situation, among the 193 listed companies in Shandong, the financial expenses of 31 companies exceeded the amount of net profit attributable to the parent company, and 12 of them were in the red, showing the dragging effect of financial expenses on the company's performance.
In addition to Huadian International mentioned above, *ST Mining lost 225 million yuan last year, and its financial expenses alone were as high as 202 million yuan; *ST New Energy's loss of 549 million yuan also corresponded to financial expenses of 168 million yuan.
In terms of the proportion of financial expenses to total operating income, East China CNC has the highest proportion, with its financial expenses of 53.4472 million yuan accounting for 48.19% of total operating income; Luxin Venture Capital’s financial expenses of 72.3406 million yuan also accounted for 33.53%; others with higher proportions include Kairuide (26.07%), Yuancheng Gold (17.67%), and *ST Minerals (14.11%). (Reporter Duan Haitao)
