The performance has risen 20 times, and it is not happy to see the seven major risks

A joint-stock company, which has completed business adjustment, has recently given a half - year report - the company announced seven major risks while announcing a big increase in the first half of 2016. Due to this effect, good performance failed to boost the performance of the two level market, as of August 15th, Jia Wei shares 32.35 yuan, compared with the semi annual report before the release of 5%, against the big market trend. In 2016, Jia Wei shares showed that the company realized its operating revenue of 1 billion 299 million yuan in 1-6 months, up 220.14% from the same period, and the net profit of shareholders belonging to listed companies was 122 million yuan, up 19.66 times over the same period. Since 2015, the company has completed the acquisition of 100% shares of Hua Yuan new energy and national source electricity through the extension type acquisition, which has entered the field of photovoltaic power plant production, and formed the business model of "photovoltaic, lighting, photovoltaic + lighting". In fact, before the completion of the two acquisitions, Jia Wei has been in a business dilemma. In the first half of 2015, the company suffered the first loss since it was listed on the market. The net profit of the company was -655.17 million yuan, down 124.70% over the same period. The company was originally the main LED lawn lamp, LED lighting, other LED products and special components. Among them, the LED lawn lamp is the first major product of the company, but the profitability of the product has been declining in recent years. In 2014, the company's LED lawn lamp products achieved 277 million yuan, down 13.37% compared with the previous year. But the operating cost of the product reached 203 million yuan, up 14.39% over the same period. In 2015, the operating cost of the product increased by 24.40%, and its operating cost increased by 23.15%. In August 2015, Jiawei shares completed the acquisition of new energy sources in Hua Yuan, which entered the field of photovoltaic power stations and EPC and the performance was "out of fire". In 2015, the business income of Jia Wei was 1 billion 902 million yuan, up 179.68% from the same period, and the net profit of the shareholders belonging to the listed company was 137 million yuan, and the increase was more than 15 times over the same period. It is worth mentioning that the EPC photovoltaic power plant project replaced LED products to become the first major business of the company, the business revenue in 2015 accounted for more than 50%. In June this year, Jia Wei shares the industrial chain of photovoltaic power plants through the completion of the acquisition of power from the source of the country. The results are immediate, the company's EPC photovoltaic power plant engineering and photovoltaic power generation income of two significantly thickened. The 2016 half year report of the company showed that the EPC PV power station project achieved 776 million yuan, accounting for 59.74% of the total revenue, and up 9.63 percentage points from the end of 2015. Its photovoltaic power income is 128 million yuan, accounting for 9.85% of the total revenue, up 4.96 percentage points from the end of 2015. It is clear that the two major takeover has saved the share of Jia Wei from the poor performance, and stood on the current hottest photovoltaic vents. But why did the company reveal seven major risk tips on the occasion of the rise in performance? The so-called "become also Xiao He defeated Xiao He", Jia Wei's shares are worried about their own layout of the photovoltaic power plant industry chain potential risks. According to the company's 2016 semi annual report, these seven risk tips can be summarized as management risks involved in the company, LED product risk, PV policy subsidy risk, goodwill devaluation risk, exchange rate risk and performance commitment risk. Among them, five risks are related to the companies involved in the business of photovoltaic power stations. In the announcement, the company said it was faced with "the management risks brought by the expansion of the company scale", "the risk of decreasing subsidies issued by photovoltaic power stations and the decreasing of subsidies year by year", "PV power plant policy risk", "reputation reduction risk" and "uncompleted risk of merger performance commitment". In fact, it is not difficult to find out by inquiring the company's acquisition work in the last two years that the risk is directed at a series of acquisitions by the company because of the layout of the PV power plant business. The first of all is that the share of Jia Wei shares 1 billion 800 million yuan and 1 billion 100 million yuan respectively, and "swallowed" the new energy of Hua Yuan and the power of national source successively. The injection of new business has made the popular PV vents at Jia Wei joint-stock station, but the new problem ensued. First of all, Jia Wei shares the risk of goodwill devaluation. Before the introduction of the photovoltaic power plant industry, the value of the goodwill of Jia Wei was 135 million yuan. After completing the acquisition of new energy sources, the electric light of the white flag state and the power of the national source, the company's goodwill increased by 1 billion 335 million yuan, up 9.89 times. Second, the new business injection has boosted the company's performance, but because of its high business ratio, the new business will lead to the overall performance of the company, so the failure to complete the performance commitment will greatly affect the performance of the company. The trading report shows that the shareholders of China source new energy and national source power have carried out performance commitments respectively: China's new energy commitment is not less than 258 million 906 thousand and 400 yuan, 334 million 570 thousand and 900 yuan and 366 million 144 thousand and 200 yuan, respectively, for 2015-2017 years. It is 78 million 954 thousand and 100 yuan, 70 million 183 thousand and 800 yuan and 81 million 394 thousand and 800 yuan. In 2015, the new energy source of Hua Yuan was 259 million 531 thousand and 100 yuan and 624 thousand and 700 yuan exceeded the net profit, but its net profit was 137 million 102 thousand and 100 yuan in the first half of this year, only 40.98% of this year's target was completed, and the pressure in the second half of the year was increased steeply. And national source power in the first half of this year net profit of only 3 million 581 thousand and 500 yuan, only completed the target of 4.54% of this year. In addition, at the policy level, the joint-stock shares also need to hold back the pressure. In April of this year, the person in charge of the price department of the national development and Reform Commission of the national development and Reform Commission said publicly that China will improve the standard of photovoltaic generation subsidies and set up a mechanism for the gradual reduction of subsidies. This means that the subsidy to the photovoltaic industry will gradually "burn". At the same time, as the total amount of domestic photovoltaic equipment is constantly refreshed, the excess capacity of photovoltaic capacity is also aggravating, which makes the policy level of regulation and control highlighted. For example, the national development and Reform Commission (NDRC) announced at the end of last year that the three types of PV prices began to be reduced in June 30, 2016. In this way, although the performance of the Chinese newspaper has risen nearly 20 times, the joint-stock shares can not be easy to worry about. Fortunately, the company's current business symptoms have been clear, how "the right medicine" to continue to maintain a steady growth of performance has become a good problem for the rest of the company.