Cloud Coal Energy annual report is difficult to eliminate the suspicion that connected transactions are suspected of being unconnected

category:Finance
 Cloud Coal Energy annual report is difficult to eliminate the suspicion that connected transactions are suspected of being unconnected


In 2019, the connected transactions among the top five customers of cloud coal energy amounted to 2.5 billion yuan, accounting for 44% of the annual sales amount, while in 2018, they accounted for 66%. In that year, there was a super large customer - Yunnan centralized mining, who purchased more than 1.1 billion yuan of products from Yunnan coal energy throughout the year. Further, Yunnan coal energy and the actual controller of Yunnan centralized mining belong to the state owned assets supervision and Administration Commission of Yunnan Province.

In this regard, some investors question whether there is a non related transaction of cloud coal energy and whether it is false information disclosure? What is the use of so many coke products purchased by Yunnans centralized mining, which relies on the builders? In response to relevant issues, the reporter of securities times u00b7 e company has called Yunmei energy several times, but as of the time of press release, the company has not replied.

Doubt on the performance against the trend

At present, cloud coal energy is mainly engaged in coal coking business, the main business is to produce coke with coal as raw material, the leading product is metallurgical coke, and the by-products are gas, crude benzene, tar, etc.

In 2019, the full production state of cloud coal energy delivered a beautiful report card, and the listed company completed its revenue fifty-seven point two six Billion yuan, year-on-year growth 6.05% ; net profit realized Two point four Billion yuan, year-on-year growth 25.22% u3002

In 2019, the overall volume of Chinas coking market increased and the price fell, and the export fell sharply, the price fell, and the profit level fell. Affected by the pressure of economic slowdown, increasingly strict environmental protection requirements and intensified competition among the industry, the price of coke fluctuated downward.

On the whole, the industry of coking market is not booming, while in the same period, the revenue and net profit of Shanxi Coking Company decreased respectively 8.12% and 69.06% ; ST Aetnas revenue and net profit are growth respectively 8.48% And decline 44.31% u3002

In addition, the annual report of cloud coal energy in 2019 mentioned that the coke gross margin of listed companies reached 19.99%, an increase of 2.02% year on year. But in the same period, the gross profit margin of Shanxi coking coke business is only 4.14%, down 9.04% year on year; ST Antai coke gross profit margin is 11.11%, down 9.16% year on year; Meijin energy coking business (main products are coal, coke and coking) gross profit margin is 23.56%, down 6.59% year on year.

From the perspective of business performance, Yunnan coal energy has completely surpassed Shanxi Coking, St Antai and other peers, but the performance against the trend has also raised questions from all sides. As early as the end of April, the Shanghai Stock Exchange has issued the inquiry letter for the annual report of cloud coal energy in 2019, requiring the listed company to explain the reasons and rationality of the year-on-year growth of cloud coal energy revenue and net profit under the background of the fluctuation of the coking market in combination with the specific situation of the specific output, sales volume, production capacity, price change of the business coal coking.

In response, the cloud coal energy announcement replied, compared with other companies in the same industry, the companys core competitiveness is mainly reflected in its ability to rely on the advantages of major customers in the context of market shocks and downturns, and the company pays attention to constantly improving the level of operation and management, and the role of scientific and technological innovation in the companys production and operation.

In 2019, the net cash flow generated by cloud coals energy business activities is - 281 million yuan, while during 2016-2018, the financial data is 628 million yuan, 389 million yuan and 518 million yuan.

Trade business data conflicts

In 2019, the operating revenue of cloud coal energy is 5.726 billion yuan, while the main business revenue is 5.689 billion yuan, with a year-on-year growth of 421 million yuan.

In terms of business segments, the coking of Yunnan coal energy coal decreased by 45 million yuan, the trade increased by 243 million yuan, the raw coal increased by 73 million yuan, and the equipment manufacturing industry increased by 153 million yuan.

As the largest segment of performance increase, the trade revenue of cloud coal energy in 2019 increased by 243 million yuan, a year-on-year increase of 144.86%. Yunmei Energy said that the increase in trade volume was mainly due to its Yunnan qiansheng Trading Co., Ltd. (hereinafter referred to as qiansheng company) actively exploring the market in 2019, continuously developing new customer resources and expanding the types of resource management.

Looking at the coke trade, the trade revenue of cloud coal energy in 2019 is 91.8242 million yuan, an increase of 91.8242 million yuan. Yunmei energy pointed out that in 2019, the listed companies newly expanded their coke trade business, purchased coke from coking enterprises around Qujing and sold it to Kungang international trade, with a gross profit increase of 1.7248 million yuan. However, in the annual report of 2019, cloud coal energy disclosed that it sold 88.45 million yuan worth of coke products to Kungang international trade.

1.1 billion revenue from centralized mining in Yunnan

In the face of fierce market competition, Yunmei Energy said that through years of cooperation with Kunming Iron and Steel Co., Ltd. (hereinafter referred to as Wukun Co., Ltd.), the first major customer of WISCO, the two sides have established a long-term and stable strategic cooperation relationship to effectively guarantee the sales market of the companys coke products.

According to Tianyan survey, Kunming Iron and Steel Group Co., Ltd. (hereinafter referred to as Kunming Iron and Steel Group) holds 47.41% of the equity of Wuhan Kunming Iron and Steel Group Co., Ltd. (hereinafter referred to as Kunming Iron and steel Holding Co., Ltd.) holds 100% of the equity of Kunming Iron and Steel Group Co., Ltd.; in addition, Kunming Iron and steel Holding Co., Ltd. holds 60.19% of the equity of Yunnan coal energy, and Yunnan SASAC is the actual controller of Yunnan coal energy; therefore, Yunnan Coal Energy And Wukun shares are related parties.

But on the other hand, in 2017, 2018 and 2019, the sales amount of related parties of the top five customers of cloud coal energy was 2.749 billion yuan, 3.48 billion yuan and 2.507 billion yuan respectively, accounting for 62.17%, 66.07% and 44.07% of the total annual sales. In fact, audit Zhonghuan certified public accountants, a financial consultant of Yunnan coal energy, also concluded that the operation of Yunnan coal energy relies heavily on related parties and controlling shareholders.

According to Tianyan survey, Yunnan Jicai was established in April 2017, and the approval date is February 19, 2019, with less than 50 employees and only 32 insured. The business scope of Yunnan Jicai includes sales of construction and decoration materials, electronic and electrical equipment, hardware and electromechanical products. The reporter of securities times u00b7 e company noted that Yunnan centralized mining is 100% owned by Yunnan Urban Construction Investment Group Co., Ltd. and Yunnan SASAC is the actual controller. The controlling shareholder of Yunnan coal energy is Kunming Iron and Steel Co., Ltd. and its controller is the state owned assets supervision and Administration Commission of Yunnan Province. So, are Yunnan coal energy and Yunnan centralized mining related parties, are related transactions non related, and are they false information disclosure? If the two are considered as related parties, the proportion of related party transaction amount of the top five customers of cloud coal energy will soar from 44% to 64%; on the other hand, Yunnan Jicai is not engaged in coal coking business itself, and its controlling shareholder, Yunnan Urban Investment Group, is mainly engaged in construction and other industries, so where is Yunnan Jicai going to buy so many coke and other products? These questions have yet to be explained by the company. Source: responsible editor of Securities Times: Yang bin_nf4368

According to Tianyan survey, Yunnan Jicai was established in April 2017, and the approval date is February 19, 2019, with less than 50 employees and only 32 insured. The business scope of Yunnan Jicai includes sales of construction and decoration materials, electronic and electrical equipment, hardware and electromechanical products. The reporter of securities times u00b7 e company noted that Yunnan centralized mining is 100% owned by Yunnan Urban Construction Investment Group Co., Ltd. and Yunnan SASAC is the actual controller.

The controlling shareholder of Yunnan coal energy is Kunming Iron and Steel Co., Ltd. and its controller is the state owned assets supervision and Administration Commission of Yunnan Province. So, are Yunnan coal energy and Yunnan centralized mining related parties, are related transactions non related, and are they false information disclosure? If the two are considered as related parties, the proportion of related party transaction amount of the top five customers of cloud coal energy will soar from 44% to 64%; on the other hand, Yunnan Jicai is not engaged in coal coking business itself, and its controlling shareholder, Yunnan Urban Investment Group, is mainly engaged in construction and other industries, so where is Yunnan Jicai going to buy so many coke and other products? These questions have yet to be explained by the company.