Original title: China's most profitable high-speed rail: only 67 employees, half of the annual 10 billion ticket sales revenue
With the disclosure of the prospectus, the veil of Beijing Shanghai high speed rail company has also been opened.
On the evening of October 25, the prospectus of the initial public offering of Beijing Shanghai High Speed Railway Co., Ltd. (hereinafter referred to as "Beijing Shanghai high speed railway") was disclosed on the official website of the CSRC. The main underwriter is CSCEC, and it is planned to be listed on the Shanghai Stock Exchange.
According to the prospectus, the number of shares to be issued by the Beijing Shanghai high speed railway will not exceed 7556.6214 million, accounting for no more than 15% of the total share capital after the issuance. After deducting the issuing expenses, all the raised funds are intended to be used to acquire 65.0759% equity of Beijing Fuzhou Railway Passenger Dedicated Line Anhui Co., Ltd., with the consideration of RMB 50 billion. The difference between the acquisition consideration and the raised funds is solved by self financing.
As the operator of China's most profitable high-speed rail lines, the listing of Beijing Shanghai high-speed rail company has attracted much attention.
According to the prospectus, from 2016 to 2018, the operating revenue of Beijing Shanghai high speed railway increased year by year, reaching 25.002 billion yuan from January to September 2019, and the net profit reached 10.248 billion yuan in 2018. The asset liability ratio of Beijing Shanghai high speed railway is only 14.6%.
Moreover, due to the entrusted transportation operation mode, as of September 30, 2019, the number of employees of Beijing Shanghai high-speed railway company was only 67, including 25 secondees.
The Beijing Shanghai high speed railway was established on January 9, 2008. Its legal representative is Liu Hongrun and its registered capital is RMB 42.821 billion. The business scope includes Beijing Shanghai high speed railway construction, passenger transportation business, consulting service, equipment and materials procurement and sales, property management, logistics, warehousing, parking lot business, etc.
China Railway Investment Co., Ltd. holds 49.76% of the shares of Beijing Shanghai high speed railway and is the controlling shareholder of Beijing Shanghai high speed railway. China Railway Investment Co., Ltd. is a wholly-owned enterprise directly under China National Railway Group Co., Ltd. (hereinafter referred to as "China Railway Group"), which is the actual controller of Beijing Shanghai high-speed railway.
In recent three years, the asset liability ratio of Beijing Shanghai high speed railway has declined year by year, and the net profit of revenue has increased year by year
According to the prospectus, as of September 30, 2019, the total assets of Beijing Shanghai high-speed railway reached 187.080 billion yuan, the total liabilities reached 27.346 billion yuan, and the asset liability ratio was 14.6%.
In the past three years, the asset liability ratio of Beijing Shanghai high-speed railway has declined year after year, from 22.53% in 2016 to 18.76% in 2017, and to 15.67% in 2018.
The asset liability ratio has declined in recent three years
From 2016 to 2018, the operating revenue of Beijing Shanghai high speed railway was 26.258 billion yuan, 29.555 billion yuan and 31.158 billion yuan respectively, showing a continuous upward state, with the revenue reaching 25.002 billion yuan from January to September 2019; in terms of the net profit attributable to the shareholders of the parent company, from 2016 to 2018, it was 7.903 billion yuan, 9.053 billion yuan and 10.248 billion yuan respectively, and from January to September 2019, it reached 9.520 billion yuan.
Net profit of revenue has increased in recent three years
The main business of Beijing Shanghai high-speed railway is high-speed railway passenger transportation, which mainly includes: first, providing high-speed railway transportation services for passengers taking on the train and collecting ticket price; second, when other railway transportation enterprises take on the train running on the Beijing Shanghai high-speed railway, providing line use, OCS use and other services and collecting corresponding fees. Since its establishment, the company's main business has not changed significantly.
Among them, from 2016 to 2018, the passenger transportation business income of Beijing Shanghai high-speed railway was 14.189 billion yuan, 15.567 billion yuan and 15.791 billion yuan respectively, reaching 12.042 billion yuan from January to September 2019; and the proportion of this part of the income in the total income has a downward trend year by year, 54.04%, 52.67% and 50.68% from 2016 to 2018, and 48.16% from January to September 2019.
The revenue from providing road network services is increasing year by year. From 2016 to 2018, the revenue was 11.915 billion yuan, 13.812 billion yuan and 15.102 billion yuan, accounting for 45.38%, 46.73% and 48.47% respectively. From January to September 2019, the revenue reached 12.74 billion yuan, accounting for 50.96%.
Summary of passenger transportation revenue and road network service revenue
In terms of cash flow, from 2016 to 2018, the net cash flow from operating activities was 14.385 billion yuan, 14.888 billion yuan and 13.765 billion yuan respectively, reaching 13.333 billion yuan from January to September 2019.
12 shareholders, majority shareholder China railway investment holding 49.76%
According to the prospectus, there are 12 shareholders in Beijing Shanghai high speed railway company, namely China Railway Investment Co., Ltd. (hereinafter referred to as "China Railway Investment"), holding 49.76%; Ping An Asset Management Co., Ltd. (hereinafter referred to as "ping an asset management"), holding 11.44%; National Social Security Fund Council (hereinafter referred to as "social security fund"), holding 7.15%; Shanghai shentie Investment Co., Ltd. (hereinafter referred to as "Shanghai shentie"), holding 5.24%; Jiangsu Railway Group Co., Ltd. (hereinafter referred to as "Jiangsu Railway"), holding 4.90%; Nanjing Railway Construction Investment Co., Ltd. (hereinafter referred to as "Nanjing railway investment"), holding 4.64%; Shandong Railway Investment Holding Group Co., Ltd. (hereinafter referred to as "Shandong railway investment"), holding 4.33%; Tianjin railway construction investment holding (Group) Co., Ltd. (hereinafter referred to as "Tianjin railway investment"), holding 4.21%; Bank of China Group Investment Co., Ltd. (brief) Bank of China investment, holding 3.73%; Beijing Infrastructure Investment Co., Ltd. (hereinafter referred to as "Beijing Investment Company"), holding 2.02%; Anhui Investment Group Co., Ltd. (hereinafter referred to as "Anhui investment"), holding 1.31%; Hebei Construction Investment Transportation Investment Co., Ltd. (hereinafter referred to as "Hebei Construction Investment"), holding 1.26%.
Shareholder structure of Beijing Shanghai high speed rail before issuance
After the issuance of a shares of Beijing Shanghai high speed railway, the capital structure will change. Specifically, the shareholding ratio of 12 shareholders will be reduced, namely, 42.29% of China Railway Investment Corporation, 9.73% of Ping An Asset Management Corporation, 6.08% of social security fund, 4.46% of Shanghai shentie Corporation, 4.16% of Jiangsu Railway Corporation, 3.94% of Nanjing Railway Investment Corporation, 3.68% of Shandong Railway Investment Corporation, 3.58% of Tianjin Railway Investment Corporation, 3.17% of Bank of China Investment Corporation, 1.72% of Beijing Investment Corporation, 1.12% of Anhui Investment Corporation, and 1.12% of Hebei Construction Investment Corporation Stock 1.07%. In addition, public investors hold 15%.
Changes in capital structure of Beijing Shanghai high speed rail before and after the issuance
11 members of the board of directors: Chairman of the board of directors who took the helm of Beijing Shanghai High Speed Railway four months ago
At present, the board of directors of Beijing Shanghai high speed railway company is composed of 11 people, including Liu Hongrun, Shao Changhong, Wanfang, Huang Guizhang, Wu Tiehong, Qian Yongxiang, Hou rigen, Lin Yixiang, Wang Yuliang, Zhang Xingchen and Li Shihui. Among them, Hou rigen is an employee director, Lin Yixiang, Wang Yuliang, Zhang Xingchen, Li Shihui and other four are independent directors. The board of supervisors of the company is composed of 7 persons, including Gong Jianzhong, Wang Honggang, LAN Xiaoming, Wang Xin, Wei Rongge, Zheng Yong and Sheng Dajun. Wei Rongge, Zheng Yong and Sheng Dajun are the staff supervisors. The company has 5 senior managers, including general manager Shao Changhong, deputy general manager Liu Xuewen, chief accountant Wen Weiming, deputy general manager Wang Yongping and board secretary Zhao Fei.
Among them, Liu Hongrun is the chairman, Shao Changhong and Wanfang are the vice chairmen, and Shao Changhong is also the general manager.
According to Liu Hongrun's resume, he is 51 years old. From March 2013 to June 2019, he worked in the Finance Department of China Railway Corporation. He once served as the deputy director, deputy director (presiding over the work), director (at the level of bureau); in November 2017, he also served as the director of the capital clearing center of China Railway Corporation; in February 2018, he also served as the chairman of China Railway Finance Co., Ltd.; from June 2019, he served as the Party of Beijing Shanghai High Speed Railway Corporation Secretary of the CPC Committee, chairman of the board of directors of Beijing Shanghai high speed railway company since July 2019.
Shao Changhong, 52 years old, served as inspector, inspector and deputy director of planning and Statistics Department of China Railway Corporation from July 2013 to January 2016, deputy secretary of Party committee, vice chairman and general manager of Beijing Shanghai High Speed Railway Corporation from January 2016 to December 2017, Secretary of Party committee, vice chairman and general manager of Beijing Shanghai High Speed Railway Corporation from December 2017 to June 2019, and the Beijing Shanghai High Speed Railway Corporation from June 2019 Deputy Secretary of the Party committee, vice chairman and general manager of the company.
Wanfang, 55 years old, served successively as the director of the Secretariat of the board of directors and the director of the office of the board of directors of China Ping An insurance (Group) Co., Ltd. from July 1998 to April 2007, as the general manager of Ping an asset management from April 2007 to November 2012, and as the director general of Ping an asset management from November 2012.
Beijing Shanghai high speed railway has 67 employees, 52% of whom are 51 years old and above
For the internal organizational structure of Beijing Shanghai high speed railway company and the disclosure of the prospectus, at present, the company has eight departments, namely, the office of the board of directors (general management department, party and Mass Work Department), the human resources department (Party Committee Organization Department), the planning and Finance Department, the legal audit department, the transportation business department (Strategic Development Department), the equipment safety department, the Jinan business department and the Shanghai business department.
According to the prospectus, as of September 30, 2019, the number of employees of Beijing Shanghai high-speed railway company was 67, including 25 secondees. According to the prospectus, the issuer is cleaning up the seconded personnel, signing labor contracts with the employees who need to be retained and regulating labor relations.
In terms of professional structure of employees, 23 are management personnel, accounting for 34.33% of the total number of employees; 7 are financial personnel, accounting for 10.45% of the total number of employees; 37 are technical personnel, accounting for 55.22% of the total number of employees.
In terms of the education level of employees, 16.42% of them are graduates or above, 64.18% are undergraduates, 19.40% are junior college or below.
In terms of age composition, 13.43% of them are 31-40 years old, 34.33% are 41-50 years old, 52.24% are 51 years old and above.
Entrusted transportation operation mode
One of the reasons for the small number of employees in Beijing Shanghai high speed railway company is that it mainly adopts the entrusted transportation operation mode, that is, the transportation organization management, transportation facilities and equipment management, transportation mobile equipment management, transportation safety production management and railway land management of Beijing Shanghai high speed railway are entrusted to Beijing Bureau Group, Jinan Bureau Group and Shanghai Bureau Group along the line of Beijing Shanghai high speed railway , and pay the relevant fees to it.
Beijing Shanghai high speed rail associated procurement mainly targets Beijing Bureau Group, Jinan Bureau Group and Shanghai Bureau Group. Among them, Shanghai Bureau Group has the highest proportion, accounting for about 30% from 2016 to 2018.
From 2016 to 2018, the related procurement amount of Beijing Shanghai high speed railway was 8.747 billion yuan, 9.998 billion yuan and 10.568 billion yuan respectively, accounting for 57.76%, 62.74% and 64.84% of the operating cost; from January to September 2019, the related procurement amount of Beijing Shanghai high speed railway was 7.239 billion yuan, accounting for 61.06% of the operating cost. This part of cost is also the main operating cost of Beijing Shanghai high-speed railway.
There are four reasons why the mode of entrusted transportation operation should be adopted, according to the prospectus:
First, according to the characteristics of the railway industry of "line networking, equipment linkage, and operation cooperation", the former Ministry of Railways formulated the guiding opinions. At present, the passenger dedicated lines that have been opened in China all adopt the entrusted transportation mode. The joint venture railway company entrusts the railway bureaus along the passenger dedicated lines to carry out transportation management. The entrusted transportation mode is the characteristic of the operation of Passenger Dedicated Lines in China's railway industry, which is conducive to maintaining the integrity of the road network structure, centralized and unified command of railway transportation, giving full play to the overall resource advantages of the road network and maximizing the high-speed railway Road transport capacity.
Second, the efficient transportation of high-speed railway requires the unified coordination and close cooperation of the departments of vehicle, locomotive, track, electricity, vehicle, dispatching and commanding. If the joint venture company manages itself, it needs to set up a huge management system with complete categories, which is costly and difficult. The local railway bureau has mature and systematic operation experience and maintenance experience of relevant equipment and facilities. Therefore, entrusted transportation management can give full play to the advantages of Railway Bureau in terms of personnel, equipment, technology, experience, etc., reduce various problems caused by the company's self-organized team, reduce operating costs, improve the company's transportation quality and efficiency, and avoid repeated construction and resource waste.
Third, to ensure the safe operation of high-speed railway, we must support