Zhongtai auto annual report: net profit loss of RMB 11.19 billion in 2019

 Zhongtai auto annual report: net profit loss of RMB 11.19 billion in 2019

Whether you can drive Lamborghini or not in your life depends on Zotye. I believe you are very familiar with such teasing. Under dispute, Zhonghua shenche Zhongtai automobile once made rapid progress. In 2016, the sales volume of Zhongtai automobile reached 330000, and in 2017, the annual sales volume of Zhongtai automobile still reached 310000.

However, after reaching the peak, Zhongtai auto fell rapidly. After entering 2018, the sales volume of Zhongtai auto dropped significantly: the annual sales volume was 230000, while the sales target for that year was 480000, less than half of which was achieved. After 2019, the sales volume of Zhongtai automobile further declined. According to the sales volume data of China Federation of passenger cars, the sales volume of Zhongtai automobile (excluding Junma) brand in 2019 was only 116600, nearly 50% lower than the same period of the previous year.

On the evening of June 18, Zhongtai Motor Co., Ltd. in trouble broke out a big thunder. The company issued the revised notice of performance forecast, saying that it had expected the net profit in 2019 to be about 6 billion yuan - 9 billion yuan; after the revision, it was expected to be about 10.8 billion yuan - 11.5 billion yuan for the whole year.

Affected by the adverse news, Zhongtai Motor Co., Ltd. ended down 2.6% on June 19, with a total market value of 3.711 billion yuan, which means that the loss amount of Zhongtai Motor Co., Ltd. in one year is more than twice the current market value of the company.

Its worth noting that because Zhongtai automobile cant pay back, its upstream battery supplier, BIC battery, has also been hit. Even new Zebang, rongbai technology, dangsheng technology and Hangke technology, which once had business relations with BIC battery, staged serial bombing in four listed companies.

BIC battery has been providing power batteries for Zhongtai new energy since 2014. In 2018, BIC battery supplied 18900 new energy vehicles to Zhongtai, accounting for about 60% of the latters new energy vehicles in that year. From the second half of 2018, Zotye began to pay back to bick battery, even after receiving 60 million yuan of new energy subsidies, it still did not settle the debt. After Zhongtai defaulted as much as 621 million yuan, in May 2019, bick battery had to ask the court to freeze more than 40 million yuan of property of several companies of Zhongtai series.

Bick battery told AI finance and economics that the lawsuit against Zhongtai is still in the first instance.

Zhongtai automobile faces more than one legal dispute. According to public information, on April 3 and April 4 of this year, Jin zheyong, chairman of Zhongtai Automobile Co., Ltd., was successively issued the consumption restriction order by Yanling County Peoples Court of Henan Province and Changsha County Peoples Court of Hunan Province due to the dispute over the sales contract. As soon as the news came out, the public was in a uproar.