"The Old King Of Change", Jia Zhao Industry, Personnel Adjustment, The Two Generation Of The 90 Generation Enters The Core Management Level.

Jia Zhao, who is standing at 100 billion gates, has planned a major adjustment of personnel structure. Since the beginning of the year, from the board of directors to the CFO platform, the company has changed 14 generals, including the group headquarters, Jia Zhao Yi, and Jia Zhao health.

In May 18th, Jia Zhao also issued a new personnel appointment: Wu Jianxin is chief financial officer, and Sun Weijian is co chief financial officer.

It is worth noting that Guo Yingcheng and Guo Xiaoqun, the chairman of the board of directors of the group, have entered the core management layer this year. This massive change of personnel indicates that the new blood will profoundly rewrite the genes of Jia Zhao and lead the financial sector to improve its impact on the 100 billion battlefield.

But at the same time, Jia Zhao also faces the problem of high debt ratio and new business diversification. Whether the new generation of management team can effectively reduce liabilities and balance new business will determine the future development limit of Jia.

Board of directors and CFO exchange transfusion

Last year, Jia Zhao, who had just passed his 20 birthday, is undergoing an unprecedented adjustment of management structure. The group has 9 board members, 2 of whom are newly joined this year. They are Guo Xiaoqun, chairman of the Shanghai regional group and Li Haiming, chief operating officer of the group.

Zheng Yi, the veteran Minister of Jia Zhao, and Weng Hao, another director, chose to leave.

Of the 26 Group executives, 14 have just taken office this year, including Vice President Zhang Huagang, one of the "three carriages" of golden land, chief executive officer, chief investment officer, Wu Jianxin, executive vice president, chief executive officer Li Haiming, vice president and chief risk officer Yang Ming. Xu Yanlin, vice president, left.

The position of chief financial officer of Jia Zhao has changed frequently in recent years. Since 2016, 2 people have been replaced - Huang Zhiqiang and Liu Fuqiang are only two years in office. Liu Fuqiang has just completed the goal of reducing net debt to less than 180% last year, and now he resigned from his personal affairs.

Since May 18th, Wu Jianxin, the veteran of five years, has officially served as the chief financial officer of the company. He will work with Sun Weijian, the joint chief financial officer of the airborne company, to create the financial safety valve of the company. The two persons are responsible for financing and financial plans both inside and outside the country.

Not only the base camp, but also the personnel adjustment has taken place in the subsidiary company. In April, Weng Hao resigned as executive director of Jia Zhao, and vice president of investment department, Guo Xiaoting, chief executive officer Li Haiming executive director. In terms of big health, Zhang Huagang took over Guo Yingcheng as chairman of the health board and nominated committee chairman. Liu Shifeng and Xu Hao resigned as directors.

The highlights of this round of adjustment include a wide range and a large number of people. There are two successors to join.

Guo Yingcheng's eldest son, Guo Xiaoqun, is 28 years old and graduated from the sociology major of University College London. Since May 2018, he has worked as an assistant to President of Shanghai fortune management group.

His younger sister, Guo Xiaoting, is 26 years old and graduated from Columbia University in the field of sustainable management. In January 2018, he joined Jia Zhao Ye, and he will be responsible for supervising the investment and financing business from the deputy manager of the investment holding Department of Jia Zhao Ye group.

In the early years of crisis, chairman Guo Yingcheng once quit to avoid Hongkong and passed the professional manager remote control company. Now he is 54 years old.

With the two generation successors and 14 senior executives in position, it is expected that the new team will change the "rushing and rushing" trend of the past to form a relatively stable management structure, which will help for a long time.

Financial disk repair

By the crisis of lock plate, bankruptcy and debt restructuring, the crisis of Jia Zhao's industry attracted the attention of the whole industry, but also hit the financial foundation of Jia Zhao. However, the new team of Jia Zhao has resumed its vitality and its financial position has continued to improve.

In recent years, Jia Zhao has regarded "adjusting the structure and reducing liabilities" as the top priority of risk control. According to the financial report, at the end of 2017-2019, the net debt ratio of Jia Zhao's industry dropped from 300% to 236% to 144%, with an annual decline of more than 60%. The cost of financing is also declining. The financing cost of Jia Zhao in 2019 is about 8.8%, which further narrowed the gap with mainstream housing companies. According to statistics, the new financing cost of Housing enterprises in 2019 was 7.07%.

Jia's cash flow is increasing. By the end of 2019, the amount of cash and deposits of Jia had reached 36 billion 980 million yuan, up 61.3% from the same period last year. The cash short debt ratio is about 1.1, and the short-term debt repayment pressure is small.

By the end of 2019, compared with the current liabilities of 31 billion 890 million yuan, the speed ratio of Jia Chao industry has reached 1.1 times, and the cash flow is enough to cover short-term debt. At the end of last year, the rate of interest bearing liabilities was only 29.6%, which was 7.9 percentage points lower than the end of 2018. Total cash and bank deposits totaled nearly 37 billion yuan, an increase of 61.3% over the end of 2018.

On the whole, the financial side of Jia Zhao is in the best position after the 2015 crisis.

This is largely due to the efforts of the incoming CFO Wu Jianxin. After he entered Jia Zhao, he actively promoted the transformation of financial functions to the strategic financial role of "integration of industry and finance", and achieved a positive interaction between enterprises' finance and business, providing support for the strategic decision of the group.

Jia Zhao, who is separated from life and death, is standing on a new node, so it begins to actively layout the future. In addition to management structure adjustment and financial aspects, Jia Zhao plans to continue to reduce liabilities and make wind control. In the April performance note, senior consultant Tan Lining revealed that future financing will focus on long-term services, and strive to reduce net debt to 120% and financing costs to 1%-1.5%.

In terms of performance, Jia Zhao is in a critical period of 100 billion. In 2019, the sales contract reached 88 billion 120 million yuan. The CEO, Mai Fan, said that despite the impact of the new crown pneumonia, it would push ahead with the pace of project construction and sales, and the sales target of 100 billion yuan in 2020 remained unchanged.

At present, the sales value of Jia Zhao can be 180 billion, and the 100 billion club can be added to the rate of 56%. Guoxin Securities analyst Xu Jin said: "in 2020, the company completed 100 billion of the contract sales target is a big probability event."

However, the historical legacy of Jia Zhao's industry has not yet been completely solved, and financial risks remain. Net debt ratio is always higher than TOP50 mean (91%). Xu Jin said: "the net debt ratio level is still at a relatively high level, mainly because the company's old reform projects have a longer investment cycle, and the conversion cycle usually takes about 5 years."

At the same time, sales and management fees increased by about 1.2% compared with the same period last year. Net profit margin (8.67%) is in the middle and lower reaches of the industry. The difficulty of reducing liabilities will be bigger and bigger in the future. The decline will not be as large as in recent years.

In addition, in the past few years, Jia Zhao has deployed a large number of diversified businesses. Many of them have been involved in comprehensive development, urban renewal, health care, cultural and sports, property management, tidal catering, science and technology industry, deep foot club and so on in the field of over 20 subdivision.

Like most housing companies, in addition to property management, most of the new businesses are not profitable, accounting for less than 5% of revenue. So complex and multi-point layout makes Jia Zhao's financial transfusion pressure increasing and occupying large amounts of funds, which not only scattered management energy, but also brought about a drag on earnings performance.

Nowadays, the diversification of Jia Zhao has also reached the point of convergence.

From 2014 to now, Jia Zhao has never been so close to 100 billion.

China Securities believes that abundant and reasonably priced soil reserves can effectively support the company's future growth and profitability. Jia Zhao's property rights ratio is about 76%, and the higher equity ratio provides space for company operation.