On August 25th, Seres (601127.SH) released multiple announcements, including the announcement of the proposed purchase of a 10% equity stake in Shenzhen Yinwang Intelligent Technology Co., Ltd. (formerly known as Huawei's Vehicle Business Unit, hereinafter referred to as "Shenzhen Yinwang") held by Huawei Technologies Co., Ltd. (hereinafter referred to as "Huawei"), the audit report on the aforementioned transaction, asset appraisal report, etc.
According to the financial statements of Shenzhen Yinwang for the years 2022 and 2023, and the simulated financial statements for the first half of 2024, issued by Daxin Certified Public Accountants (Special General Partnership), Shenzhen Yinwang's operating income for the years 2022, 2023, and the first half of 2024 were 2.098 billion yuan, 4.7 billion yuan, and 10.435 billion yuan, respectively. The gross profit margins of the main business for the aforementioned years were 17.73%, 32.13%, and 55.36%, respectively. Horizontally, the average sales gross profit margin of six companies with similar main businesses in 2023, such as Desay SV and Zhongke Chuangda, was 37.73%.
In addition, Shenzhen Yinwang's net profit attributable to the parent company from 2022 to the first half of 2024 were -7.587 billion yuan, -5.597 billion yuan, and 2.231 billion yuan, respectively, with an estimated net profit attributable to the parent company for the year 2024 of 3.351 billion yuan. Huawei's Vehicle Business Unit was established in May 2019, which means that Huawei's Vehicle Business Unit achieved a turnaround from loss to profit in its fifth year of establishment. Looking at hardware and software, the gross profit margins of Shenzhen Yinwang's hardware business for the aforementioned years were 14.47%, 15.85%, and 33.41%; the gross profit margins of software and service business were 24.97%, 52.22%, and 86.17%, respectively.
Advertisement
According to the asset appraisal report (Jingxin Evaluation Report No. 508, 2024) issued by Zhongjing Minxin (Beijing) Asset Appraisal Co., Ltd. (hereinafter referred to as "Zhongjing Minxin"), the appraisal institution used two appraisal methods, the asset-based method and the market method, to appraise the total equity value of Shenzhen Yinwang's simulation shareholders. The scope of the appraisal is the audited simulated total assets and liabilities of Shenzhen Yinwang, and the appraisal base date is January 31, 2024.
According to the asset-based method, the net asset book value of Shenzhen Yinwang on the appraisal base date was 5.717 billion yuan, and the net asset appraisal value was 19.851 billion yuan, with an appraisal appreciation rate of 247.25%. According to the market method, the net asset appraisal value of Shenzhen Yinwang on the appraisal base date was 115.256 billion yuan, with an appreciation amount of 109.54 billion yuan, and an appreciation rate of 1916.16%.
Zhongjing Minxin stated that the reason for using the market method for appraisal is that in addition to the value generated by individual assets in Shenzhen Yinwang's overall assets, the various potential intangible resources formed by its excellent management experience, market channels, customer resources, human resources, shareholder resources, brand, and other comprehensive factors are a necessary part of the enterprise's overall value. The book value of the enterprise only reflects the historical data of the financial report and cannot truly and completely reflect the enterprise's future overall profitability.
Shenzhen Yinwang relies on its parent company Huawei Technologies' more than 30 years of experience in ICT field technology research and development and consumer electronics to empower the intelligent automotive field, promoting the traditional automotive industry towards intelligent connected vehicles. Shenzhen Yinwang has a complete production and operation model, a comprehensive management system, flexible business processes, a mature team, and high growth potential. On this basis, the company's profitability in 2024 has also been further enhanced. These factors are all important reasons for the appreciation of the appraisal. Therefore, the appraisal result of the market method is significantly appreciated compared to the book value.
The reporter noticed that Huawei also plans to transfer a total of 6,838 patents and patent applications (including those submitted and to be submitted) owned by it or its affiliates, as well as the results of employee inventions (referring to the inventions and patent applications for inventions and the patent rights obtained based on the inventions by employees who have transferred their labor relations from Huawei Technologies and its affiliates to Shenzhen Yinwang within one year, and are related to their main work at Huawei Technologies and its affiliates or the tasks assigned by the transferor or its affiliates).
Including the above-mentioned more than 6,000 patents and non-patent technologies, 74 registered trademarks, 25 purchased software, and 1 technology license, the appraisal value of intangible assets is 13.82 billion yuan, with an appreciation of 13.7 billion yuan, and an appreciation rate of 11,471.97%.
In addition, according to the proposed "Patent Transfer Agreement," for the transferred patents, Shenzhen Yinwang grants Huawei Technologies and its affiliates a general license to use, but Huawei Technologies and its affiliates should not use the aforementioned licensed intellectual property for business within the scope of Huawei Technologies' competition.A senior executive from an automotive company stated that the aforementioned patent transfer agreement and the establishment of the scope of competition may be one of the ways Huawei is fulfilling its commitment to "not make cars" after the independence of its automotive business unit (BU).
Comments