24 August, 2023

SUPPLIER FINANCING

Hiding debt and inflating cash flow

Mark Webb

mark-webb celltrion-inc china-shipbuilding byd-company-limited trip-dot-com conch-venture inner-mongolia-baotou-steel avichina-indus sichuan-road-bridge china-railway-signal-communication dongfeng-motor true-corp china-state-construction-int sinotruk shenzhen-inovance-technology tbea china-communications-construction crrc-corp contemporary-amperex-tech nari-technology gcl-poly-energy sany-heavy-equipment-international yadea-group eve-energy sungrow-power chongqing-changan-auto calb-group aecc-aviation-power avic-jonhon-optronictechnology china-three-gorges-renewables xinte-energy zhejiang-jinsheng-mechanical-electrical

Insights

18 August, 2020

NEWSLETTER: COMING HOME?

Watch out for the privatisation “squeeze out”

The proposed Holding Foreign Companies Accountable Act could force hundreds of Chinese companies listed on US exchanges to delist over the next few years. For many large companies, seeking a secondary listing in Hong Kong or the mainland is a sensible insurance policy. However, investors should be wary of companies which decide to privatise and then relist. Our analysis of...

12 August, 2020

NEWSLETTER: TECHNOLOGY ONE

Growth illusion

Nigel Stevenson

Technology One’s growth in the last couple of years appears to be an illusion. It has used various accounting tricks to pull forward revenue and profits, artificially creating growth and hiding a major slowdown. New rules on revenue recognition in FY19 have left a big hole in TNE’s profits, which it filled by starting to capitalise development costs, having previously...