The cancellation of subsidies three high growth momentum has been questioned

Thrown round of financing from the capital market plan, is expected to have 12 billion yuan of funds Sanan Optoelectronics in two years, in 16 disclosure report shows that. The company's high growth performance is still dependent on huge government subsidies.

Statistics reporters found that Sanan optoelectronics at least 928 million yuan of government subsidies are not included in the current profits and losses. In this regard, insiders worry that although the amount of subsidies in the hands of a huge, but the country has been the trend of LED equipment subsidies canceled, the company relies on the performance of local financial subsidy model is difficult to long.

Financial subsidies to dress up performance

Sanan Optoelectronics (600703, closing price of 15.39 yuan) first half net profit, operating income reached 719 million yuan and 459 million yuan, an increase of 97% and 127.20% respectively, the performance of the high-speed growth momentum is maintained.

However, the gold content of three optical high growth is still difficult to obtain external identity: huge subsidies from its various construction projects in the seat of local government, become the main driving force to promote the growth performance of the company. The annual report 2010 net profit of 420 million yuan, including 253 million yuan of government subsidies; this year the company recorded a quarterly net profit of 165 million yuan, but the government subsidies included in the current profits and the amount of government subsidies for 130 million yuan, net profit in the proportion increased from 60% to 80%.

And to this semi annual report, this phenomenon is more serious. In the first 6 months of this year, the company confirmed a total of $583 million in government subsidies, but the company's net profit was only 459 million yuan!

The main business, not Sanan optoelectronics no progress, but compared with many less subsidies. There are three major companies on LED investment project, Tianjin production base in the middle of last year, this year profit of 38 million 920 thousand yuan in the first half of Anhui; Wuhu issue has not yet been completed, but the first half of this year to produce 200 million yuan revenue, including net income from subsidies have reached 104 million yuan. In addition, on the core of photovoltaic Sanan optoelectronics 40% stake, the semi annual report is included in the scope of the merger of listed companies, the first half net profit of 335 million yuan.

There are still 900 million subsidies not confirmed

Government subsidies Sanan optoelectronics mainly from the purchase of MOCVD equipment is given by local government subsidies, according to the company announcement of rough statistics, in 2010 the annual received all kinds of government subsidies of more than 720 million yuan; the joint venture project in Huainan city started construction, this figure further growth in 2011 this year, the company has announced subsidies has reached 1 billion 44 million yuan. Minus 836 million yuan respectively in last year's annual report and the report confirmed, the company is currently in the hands of at least 928 million yuan has not been included in the profit and loss.

Without subsidies, the company will have the following performance? Unnamed brokerage researcher said the company Wuhu base a project equipment has been basically put in place, then can receive the subsidy is in the core of Huainan photovoltaic; in addition, the company announcement in April of this year, plans to open additional ways of raising not more than 8 billion yuan on the base of the two phase of Wuhu construction and LED application products industry.

But the aforementioned researcher said that the two phase of Wuhu subsidies can be obtained uncertainty. Prior to the local government to encourage domestic LED investment boom, a number of projects launched intensive; in addition MOCVD expensive equipment, single equipment subsidies to 10 million yuan, caused no small pressure on local finance, for example, only Wuhu Sanan optoelectronics base a received 1 billion 30 million yuan subsidy, a subsidiary of Japan photovoltaic core since this year, received a total of 700 million yuan from the Huainan municipal government subsidies.

Local governments have begun to halt LED investment subsidies. As a force to push the LED industry in Yangzhou, in August 2009 issued a two-year MOCVD subsidy implementation details, in May this year, the city said it did not intend to continue to implement the subsidy policy after the expiration of the term. In accordance with the "two years ago, Sanan optoelectronics refinancing rhythm, the public issuance of the fastest at the end of the year, but when the funds project started, also can continue to get government subsidies is not asserted. Aforementioned researcher said.