Under the new coronavirus, Wuhan and other Hubei provinces announced the closure of the city, and the Spring Festival holiday was extended to February 2. Shanghai, Guangdong, Zhejiang, Hunan and other places made it clear that enterprises in the region should not return to work earlier than 24:00 on February 9.
Closure of the city shut down, the impact of the epidemic on the economy is spreading. In the current era of global integration, the epidemic has a wide range and great destructive power. Kristalina Georgieva, President of the International Monetary Fund, said recently that the outbreak of pneumonia in China caused by the new coronavirus is causing confusion in the production sector and supply chain, and has an impact on tourism and business, which may lead to a short-term slowdown in the world economy. As the backbone of Chinas economy, listed companies also have an impact.
Specifically, what kind of impact and difficulties are listed companies facing? How about the resumption of production, operation and sales? What can we do next and what can we do about it?
New wealth recently conducted an exclusive investigation on listed companies, and has received 69 replies from directors, supervisors and senior executives. From the perspective of response, many listed companies are greatly impacted by the epidemic and face many difficulties, but there are also new opportunities for the industry.
69 listed companies that replied to the survey did not return to work completely. According to the requirements of the state and the local government, most of the enterprises temporarily return to work on February 10, but according to the nature of the industry, the situation is different.
For example, the transportation industry, loading and unloading business and transportation business departments operate normally; the online R & D personnel in the media industry have also opened remote offices, and the production departments of some chemical enterprises have resumed work. Due to the particularity of the industry, the pharmaceutical and biological industry has resumed work in a good condition, especially the production, pharmacy operation and other departments are operating normally, while the designated hospitals to fight against the epidemic are in operation During the critical period of Japan and the fight against the epidemic, patients were treated normally.
For most of the listed companies that have not returned to work, returning to work becomes a challenge.
First, the current trend of the epidemic situation is not clear, and there is still great uncertainty in the resumption of work on February 10;
Second, the epidemic has made it difficult for employees to return home. For some enterprises mainly operating in Beijing, Shanghai, Guangzhou and Shenzhen, more than 80% of the employees are registered in other places. There are more employees returning home during the Spring Festival, especially for some enterprises, a certain number of employees are in the epidemic area. Even after returning home, most enterprises in principle suggest that they return home after isolation for 14 days Work in the office area.
Therefore, the pressure to return to work is still severe.
More importantly, what worries listed companies is the pressure of epidemic prevention after employees return to work. How to improve the on-site office environment scheme and prevent cross infection when employees work together is an urgent issue for companies to consider. Most enterprises are short of emergency epidemic prevention materials, and there are large gaps in masks, medical gloves and disinfectants, which need support.
Due to the extension of the Spring Festival holiday, the suspension of production, logistics, sales and other obstacles, the operating performance of most enterprises is affected, especially in the first quarter. The construction is delayed and the business cannot be carried out, but the enterprise still has to bear the huge costs such as staff salaries, office space rent, staff rent, tax, loan interest, etc., which has great capital pressure. However, according to the responses of various companies, different industries have different degrees of influence.
Due to the closure of the city, the roads in most areas are blocked, and the transportation industry is the first to bear the brunt. According to the enterprises with transportation, the epidemic has hindered the supply chain logistics, the supply and the rework of employees; as well as delayed resumption of upstream and downstream customers, part of the trade business has stopped, and the port transit mainly consumes inventory. In addition to the contract orders signed before the festival, the downstream market has no purchase intention, which affects the subsequent transit. The loss of port throughput of transport enterprises caused by the epidemic is in millions of tons, and even some enterprises estimate that the annual operating performance loss may reach 20%.
The enterprises in agriculture, forestry, animal husbandry and sideline fishery industry are also affected by labor, logistics, cost, etc., the time for workers to return to the factory is delayed, the logistics and distribution of raw materials and finished products are affected, and livestock and poultry breeding, live poultry transportation and sales are restricted.
Some design and construction enterprises in the construction and decoration industry say that the risk of breach of contract increases. On the one hand, there will be delay and breach of contract due to force majeure. On the other hand, some construction projects will not be completed within the original time due to the tight construction period required by Party as contract, but the project cannot be started under strict control under the epidemic situation; on the other hand, there will be breach of purchase contract due to the project For the construction needs, the company generally needs to prepay materials deposit for the project in the early stage, and the epidemic situation leads to the inability to perform the contract.
For real estate enterprises, people are not allowed to go out under the epidemic situation, the sales department is closed, and the demand for real estate is affected. In January, the sales dropped sharply, which affects the payment collection. For the construction in progress, it is also greatly affected because of the holiday of workers, the difficulty of returning to work, the inability to transport construction materials and other reasons. Some enterprises have changed from offline sales to online sales through online sales and advisory services to activate capital and reduce liquidity risk.
The landscape of the food and beverage industry is also different. Some enterprises said that the factory was shut down and the sales end was blocked, which affected 15-20% of the whole years performance. Some enterprises also said that although there was a certain impact, the overall impact was not significant. The companys production plan before the Spring Festival starts on January 14, 2020, and starts on January 16 after the Spring Festival. At present, the production side has little impact. In terms of sales, supermarket channels are open normally, and the overall impact is not significant at present. At the same time, after the outbreak of the epidemic, the company set up an epidemic prevention team to timely respond to the situation, and purchased such epidemic prevention materials as masks. The staffs masks were well stocked, and they also mailed masks to the staff in Hubei area in time. At present, the staffs situation is relatively stable.
Chemical and electrical equipment companies also said the impact was limited. Media game R & D enterprises, due to the online remote office, also said that the temporary impact is not significant. Enterprises in the computer software industry say that the epidemic will have some impact in the short term, but not in the long term. To a certain extent, it will promote the development of information technology, make users better adapt to the cloud products and remote service mode, and promote the development of the industry.
The pharmaceutical and biological industry is relatively special, most enterprises say it will have a certain impact, but the overall impact is small. Some enterprises said that although the loss of operation is not easy to assess, on the one hand, the medical service belongs to the anti cycle industry, and it is a rigid demand. On the other hand, because of the epidemic situation, the problem of insufficient supply in the medical market is prominent. With the growth of peoples demand for health, the development of medical service is imperative and good for the industry.
However, due to the unclear development of the epidemic situation, some enterprises said that the impact of performance can not be estimated temporarily, and it needs to be judged according to the follow-up situation.
The performance of A-share market in the past two days also shows that the industry is warm and cold. Although the industry sector fell on the first day of opening, many industry indexes are close to falling. However, the concept of virus prevention and control continued to go well, and nearly 30 shares including TEDA (000652) and Harbin Pharmaceutical (600664) were up and down. The concept of online education has exploded strongly, with nearly 30 shares including chinaonline (300364) and QUANTONG Education (300359) trading up and down. E-sports concept stocks were active, with the price limits of three five Internet (300051) and Kunlun World Wide Web (300418) rising, and the price of electric Soul Network (603258) rising by more than 8%. Cloud office theme also soared, with Jinshan Office (688111), Huichang communication (300578) and other stocks trading.
Under the epidemic situation, remote office has gained high attention and ushered in the turning point of the industry; online consultation has outstanding advantages and the volume of online consultation has exploded; online entertainment has exploded in an all-round way, with a large increase in the flow of heavy games in the head, and leisure games have sprung up; online education has a huge industry space; and the security industry has also ushered in new opportunities. After SARS in 2003, the rapid rise of e-commerce mode was driven and Alibaba was achieved. Although the short-term impact of the epidemic on Chinas economy cannot be underestimated, it will also bring about changes in lifestyle and industry.
The office of the board of directors opens the remote office, and all parties keep watch and help each other
Of the 69 listed companies responding to the new wealth survey, most of the board offices are open to telecommuting. Some enterprises, through the combination of on-site and remote office, ensure the normal operation of DCO, and closely monitor the spirit of the relevant documents of the exchanges and listed companies associations, while maintaining communication with investors through public numbers, investor interaction platforms and investor hotlines. In addition, regular and interim announcements such as annual reports are actively prepared.
Under the epidemic situation, the pressure of epidemic prevention and operation of listed companies is huge. There are many problems such as the shortage of emergency epidemic prevention materials, the risk of cross infection after resumption of work, the difficulty of recruitment and resumption of work, the obstruction of logistics, the difficulty of supply of raw materials, the risk of breach of contract, the aggravation of production rent cost, the impairment of performance, the difficulty of capital turnover, the difficulty of raising funds for merger and acquisition, the difficulty of accounting audit and the obstruction of annual report disclosure Out. In response, Secretary Dong said that we believe that the epidemic will come to an end. However, affected by this, there may be a new epidemic with a long incubation period and a wide spread in the economic field.
In the survey of new wealth, listed companies in Hubei and Wuhan also replied. At present, the enterprises have been shut down, and the impact on business performance is uncertain, but the closure of the city has brought the impact of personnel and logistics.
At the same time, some listed companies are worried that they will be discriminated by their business partners. After the outbreak, people in Wuhan and even Hubei have been treated differently. In response, the peoples Daily called for: the virus should be isolated, not the people of Hubei, and the epidemic should be prevented and controlled, not compatriots. Under the epidemic, Hubei people are also victims. Please treat them kindly.
In response to the pressure caused by the epidemic, enterprises called for policy support in the fields of epidemic prevention materials, rent-free, loans, delayed disclosure of annual reports, and introduction of new refinancing policies. At the same time, the enterprise itself is also ready to make up for the losses by adjusting the companys management methods, strengthening the epidemic prevention work after the employees return to work, increasing the investment of R & D personnel, overtime production after the epidemic, etc.
At present, the Shanghai and Shenzhen stock exchanges have also issued the notice on supporting regulatory business arrangements related to the prevention and control of new coronavirus infection and pneumonia epidemic, making adjustment and linkage arrangements for the implementation of listing audit, stock issuance and underwriting, information disclosure and other businesses. Affected by the epidemic situation, it is difficult for the listed company to disclose the performance forecast and performance express report on time, so it can apply for postponement. If there is any difficulty in the disclosure of the 2019 annual report, the exchange will make proper arrangements according to law.
Local government policies are also being introduced. On February 2, Suzhou City issued ten policies to support small and medium-sized enterprises to overcome difficulties together, including ensuring that the credit balance of small and medium-sized enterprises does not decline, ensuring that the financing cost of small and medium-sized enterprises is reduced, giving full play to the role of national teams of policy banks, encouraging financial institutions to provide safeguard financial services, implementing the policy of helping enterprises to stabilize their posts, delaying the payment of social insurance premiums, reducing the rent of small and medium-sized enterprises, and reducing and remitting them From the ten perspectives of small and medium-sized enterprise tax, tax deferment and supporting small and medium-sized enterprise business park, we can provide policy support in three aspects for small and medium-sized enterprises affected by the epidemic situation and faced with difficulties in production and operation, such as increasing financial support, stabilizing the staff and reducing the burden of enterprises. Suzhous policy has been praised by all parties. It is regarded as a responsible and responsible government and a Guardian Knight of private enterprises.
Under the pressure, enterprises began to look forward to helping each other. Many commercial property enterprises successively introduced measures such as reducing or reducing the rent of shops by half. On January 28, Wanda business management group announced that from January 24 to February 25, the rent and property fee of all Wanda Plaza merchants in all regions would be exempted. According to the previous speculation of Wanda business management related property income, it is expected that the rent will be reduced by 3-4 billion yuan this time. Longhu group (00960) announced a 2-month rent reduction for its stores and merchants, covering 10 cities including Chongqing, Chengdu, Xian, Beijing and 39 stores in operation, supporting more than 4500 cooperative brands. On the evening of February 2, Macalline (601828) also issued a notice on Exempting self-employed mall merchants from one months rent and management fees. It is estimated that the scale of rent-free and management fees can reach up to 590 million yuan.
However, most enterprises said that the best way to relieve the pressure is to control the epidemic as soon as possible, lift the blockade and restore everything to normal. This is also the biggest aspiration of 1.4 billion Chinese people at present.
To fight against the epidemic, listed companies are taking on the responsibilities
Under the impact of the epidemic, no one can survive. Although the listed companies have been greatly impacted, in the face of the disaster, the listed companies have become an important part of the social assistance force. Many companies gather their own industry characteristics, do their best, and actively perform social responsibilities.
According to incomplete statistics of new wealth, 26 founders, such as Alibaba and Tencent, have been listed on the new wealth 500 list in 2019, with a total donation of 2.765 billion yuan as of February 2, 2020. Zhu Zhengwang, Secretary of the board of directors of Yanjin branch, said that the company is making efforts from three aspects: first, strengthening prevention to make sure that employees and their families have no cases and that they have made contributions to the society; second, according to the new situation, adjusting the management methods and methods of the enterprise to ensure that the production and operation are restored to stability and growth as soon as possible; third, making the social responsibility of the listed company through donations as far as possible.
In this epidemic situation, the medical and biological industry has a large space. International medicine (000516) is the first top three hospital established by social capital in China. Its Xian high tech hospital has been identified as one of the first batch of designated hospitals for pneumonia infected with new coronavirus in Shaanxi Province. Xian International Medical Center Hospital has also been identified as a designated hot clinic in Shaanxi Province. In order to fight against the epidemic, the two hospitals urgently purchase protective materials, and the medical staff end it in advance Leave, return to work, provide 24-hour medical service.
In order to alleviate the pressure of fever clinic in the hospital and reduce the cross infection in the hospital, international medicine used the online platform of Xian high tech Hospital Internet hospital to gather experts from Xian high tech hospital and Xian International Medical Center Hospital to set up the pneumonia special question plate, and through the online platform of Internet hospital to answer questions for patients from all over the world. Xian International Medical Center Hospital also makes use of its own advantages to boil 12000 bags of coronavirus prevention traditional Chinese medicine decoction in the hospital preparation center in an emergency manner, which is distributed to traffic police, citizens, medical staff and patients who stick to their posts during the festival.
On February 2, Xian high tech hospital and Xian International Medical Center hospital quickly took action under the call and command of the national health and Health Commission and Shaanxi health and Health Commission. A total of 12 excellent medical staff from respiratory medicine, critical medicine and other related departments were selected to support Wuhan medical team with the second batch of Shaanxi medical team. Xian International Medical Center Hospital has also selected more than 200 excellent medical staff to set up the second group of medical teams to assist Hubei Province to go to Wuhan on February 3, to be responsible for the treatment of new pneumonia in the Eighth Peoples Hospital of Wuhan.
With the epidemic raging, many listed companies have been taking part in the epidemic campaign, not only donating money and materials, but also combining their own business to support the epidemic area. For example, Henghua Technology (300365) provides electric power support for epidemic situation through information technology, Henglin Co., Ltd. (603661) donates office furniture to Wuhan huoshenshan hospital and leishenshan hospital, Chenhua Co., Ltd. (300610) donates its own peracetic acid disinfectant, Shenzhou Information Co., Ltd. (000555) donates video conference system, and provides free storage and logistics to support medical material transportation, etc To fight the epidemic. I believe that with the joint efforts of all parties, we can overcome the epidemic as soon as possible and overcome the difficulties together. Source: new fortune editor: Yang bin_nf4368
With the epidemic raging, many listed companies have been taking part in the epidemic campaign, not only donating money and materials, but also combining their own business to support the epidemic area. For example, Henghua Technology (300365) provides electric power support for epidemic situation through information technology, Henglin Co., Ltd. (603661) donates office furniture to Wuhan huoshenshan hospital and leishenshan hospital, Chenhua Co., Ltd. (300610) donates its own peracetic acid disinfectant, Shenzhou Information Co., Ltd. (000555) donates video conference system, and provides free storage and logistics to support medical material transportation, etc To fight the epidemic.
I believe that with the joint efforts of all parties, we can overcome the epidemic as soon as possible and overcome the difficulties together.