Category: Money tips Release Date: 2007-06-03
Many companies make money every year, every year of a high-interest small business, need to do boss must also have style, are willing to pay is also a.
There is no fool, of course, if the individual holds a lot of company stock, dividend is normal for an excellent opportunity to benefit. CITIC Pacific after MBO Larry Yung Chi Kin holds more than 400 million shares of company stock, representing 18.28% stake in the annual dividend, have a good harvest. "New Fortune" magazine and Statistics, said :1992-1996 Larry Yung Chi Kin from CITIC Pacific share of the dividend payment of some 547 million Hong Kong dollars, CITIC Pacific issued in 1996,1997 and 1999, over three times "special dividend" per share special dividend to 2.6 Hong Kong dollars, Larry Yung Chi Kin individuals from dividends of 17.8 billion HK dollars. By 2002, Larry Yung Chi alive, "CITIC Pacific" in a variety of bonuses worth a total of about 3.107 billion Hong Kong dollars. 2003 dividend per share of 1 yuan, also accounted for about 4 billion.
March 15, 2005, the Hong Kong Chinese red-chips head license - CITIC Pacific (0267.HK) announced 2004 results, earned 3.58 billion yuan to make a full year dividend of 1.1 yuan, Oh, this amount is 440 million yuan.
"Forbes" announced Larry Yung Chi Kin Chinese version once again topped the 1.49 billion U.S. dollars worth of China's richest throne in 2004, this reporter asked at a news conference, Mr. Rong was elected to look at the richest man? Wing magazine said it was their own doing research. Not only does not rag glad I was a bit disgusted to say that he will not admit that this title did not feel that their glory.
This is a scenario: a rich attitude.
CITIC Pacific to enter the retail
CITIC Pacific is a Hong Kong stocks heterogeneous, dependent on acquisitions and investments are growing rapidly, the market value jumped more than 10 billion today, has 51.2 billion, and its capital story Weiren relish. And its direction of investment is also very unusual dispersion characteristics, power, roads, aviation, steel, retail, real estate ... ...
A securities analyst criticism that business investment in areas of CITIC Pacific is too casual. Larry Yung Chi Kin Fan Ji said that analysts have their own views, is their business, the company is only diversify the investment rather than invest too casual, the company is self-employed, the analyst's remarks will not change investment strategy, or else is the analyst taught him how to invest.
Evidenced by its strong and hard.
Acceptance of Thomson Financial survey of the Hong Kong investment bank, 12 analysts in March 15 is expected to report earnings before the fiscal year 2004 net profit of CITIC Pacific may increase a more than doubled, reaching 2.85 billion Hong Kong dollars, while the 2003 fiscal year was 13.1 billion HK dollars. Analysts believe that CITIC Pacific, Cathay Pacific, owned 26% of its profit growth is to promote the main driving force, a week ago, Cathay Pacific Airways announced that fiscal 2004 profits increased two-fold, to 44.2 billion. March 14 CITIC Pacific affected by this positive impact, closing up 1.3%, to 23.20 Hong Kong dollars.
March 14, CITIC Pacific announced a price for 27.92 million yuan to the U.S. parent company, CITIC Group's acquisition of Wal-Mart East China Stores Co., Ltd. 35% stake, which is a new investment, Wal-Mart East China Stores Co., Ltd. At present, only one in Nanjing between the shop, by the end of 2004 annual loss of 10 million yuan, net assets of 66 million yuan, the acquisition value, which is a bit far-fetched. This was established in October 2003 Wal-Mart East China Stores joint venture with registered capital of 9.7 million U.S. dollars, with a total investment of about 23 million U.S. dollars, not yet profitable.
But the response to December 11, 2004 open to foreign investment in China retail industry, the potential significance of the acquisition should not be underestimated, Wal-Mart East China joint venture then converted into a pure foreign-funded projects, and cooperation for a period of October 2003 since the date of 30 years. CITIC Pacific is very clear: a large-scale shop soon in East China.
CITIC Pacific has used acquisitions to enter the retail trade, a joint business expansion in China the world's largest developed economy of the East China market, so that the outside world imagination. The feedback on the acquisition of the capital market very soon, CITIC Pacific was up 1.3% in the first, to 23.20 Hong Kong dollars, after the acquisition announcement shares fell 1.7% to 22.8 Hong Kong dollars.
Larry Yung Chi alive in response to market criticism of excessive diversification of its business, said that CITIC would not now require the acquisition can bring huge returns, but the prospects for retail distribution in the Mainland have been optimistic about the future can also be its Dachang and real estate projects to achieve synergies, He also admits: Analyst opinion would not change the company's strategy. But he also said it no longer increase its stake.
Published results before the stock accumulated in the past month increased by 4.5%.
2004 pocketed profits of 3.5 billion
At 2:00 p.m. on March 15, CITIC Pacific announced 2004 annual results, such a choice is also quite characteristic, a company would choose be announced around 4 pm, the stock market closed quickly, avoid the big hype in the capital markets, without fear of speculation only one category: He has a full grasp surprise everyone.
CITIC Pacific announced that: As at the end of December 2004 the annual net profit of 3.58 billion Hong Kong dollars, up 175%, far more than analysts had expected an annual net profit was 28.5 billion HK dollars. This makes the site a surprise. The 2003 hit by the SARS outbreak, the company net profit of 1.301 billion Hong Kong dollars only.
More specifically the company's annual turnover of 22.912 billion yuan, but back in 2003 compared with 13%, mainly due to sale of Shanghai bridge and tunnel project in 2003, revenue decreased significantly. However, an increase of 175% of profits and earnings per share 1.63 yuan, year-end dividend of 0.8 yuan, annual dividend of 1.1 yuan, more than in 2003 into one, this is a miracle.
Need to focus on the company's use of financial management techniques to benefit from changes to a new accounting system, so that CITIC Pacific to save 220 million yuan of goodwill amortization expenses, in turn, look at this is not a small sum benefits.
Larry Yung Chi alive performance statement said: "Compared to 2003, the Group has a better performance in most operations, especially in aviation, special steel production and power generation three most prominent businesses." Clearly, this is subject to the tourism industry recovery and China's strong demand for steel and energy driven.
Airline profits of 2.3 billion steel electric
Careful look at the financial statements, profit from the aviation industry increased by 3 times more pre-tax profit of 15.9 billion yuan, after-tax net profit reached 1.398 billion yuan. In 2003 to 4.21 billion yuan, rose 232%, completely free of lethal effects caused by SARS.
CITIC Pacific, Cathay Pacific, holding 26% of the turnover in 2004 reached 39.65 billion yuan, an increase of 32.1%, the company net profit reached 4.417 billion yuan, a jump of 239%, while in 2003 net profit of 1.33 billion. Capacity can be increased by 24.9%, load factor increased by 5.8%, passenger revenue of 264 billion yuan, a record. 972.4 thousand tons annual cargo, freight revenue of 10.549 billion yuan, have set a new record. While oil prices, making the fuel cost increased from 19.8% to 23.9%, but home rule excellent company would still be profitable. Dragonair is also expected to bring 650 million profit profits.
And a joint venture between Air China Cargo is also the first year of profitability in 2004.
In addition, the company's power generation and specialty steel business profit by 2003 the annual contribution of 229 million Hong Kong dollars and 1.78 billion Hong Kong dollars to grow to 439 million Hong Kong dollar and 438 million Hong Kong dollars.
In 2004, the Group's plant in Inner Mongolia in northern China, Ligang Power Plant, Zhengzhou plant, has acquired Hebei Hanfeng Power Plant is owned by CITIC Pacific has been running on electricity capacity has reached 2.91 million kilowatts, after the completion of the remaining plant installed capacity will reach 5.08 million kilowatts. CITIC Pacific is also not a small "electric tiger." The existing power plants grew 8%, while the new acquisition of the Northern United Power and Hanfeng Power Plant is also the first time a profit. Investments in power plants to bring 439 million yuan net profit in 2004 than in 2003, an increase of 91.70%.
Larry Yung Chi Kin said that the Group's total power generation plant in 2004 compared with 2003, a substantial increase in demand for electricity in Mainland China maintained strong growth momentum.
Companies to invest in the special steel business has emerged wang Bureau, in 2004 operating income of 7.177 billion yuan, bringing the company 438 million profit increase of 146.07% over the previous year, its annual output of Jiangyin Xing Cheng a record 1.76 million tons steel plant's history . And Japan's Sumitomo Metals Kokura co-production of high-level special steel will replace the imported goods for the automotive parts and components, is also the rapid growth of this market. While in October 2004, CITIC Pacific through the acquisition of Hubei Xin Ye Steel Corporation 95% interest, acquired A-share listed company 58% interest in Daye Special Steel Company, this steel output reached 1.73 million tons. The latest news is that companies are under negotiation, a specialty steel plant located in northern China, involving funding of about 10 million, if successful, CITIC Pacific will maintain a leading position in specialty steel industry.
Larry Yung Chi Kin optimistic, said: Our steel major customers located in automotive components manufacturing, power generation equipment and industrial machinery manufacturing and other industries. Expected in the next 10 years, this industry will continue to have substantial growth, therefore, the Group is confident in the prospects for steel production.
2004 CITIC Pacific have announced that 20 billion yuan takeover plans have been completed into three, including Lee Hong Kong three or four has invested 3.0 billion power plant project, the future should be subject to invest 6.4 billion. Coupled with acquisition of a specialty steel plant in northern China, involving capital will reach 1 billion yuan. The company available funds of about 8.0 billion.
Telecommunications infrastructure have reduced earnings
In infrastructure investment, CITIC Pacific Cross-Harbor Tunnel in Hong Kong the main operator, which owns the Eastern Harbor Crossing into the 7 rights of holders of 71% of the road portion of the EHC interest, railway section of the 50% interest. In addition, the Group has accounted for the Western Harbor Crossing 35-year franchise, the 35% interest, while 35% of the CHT under management rights and interests of the company in 2004, turnover of 536 million yuan, bringing a net profit of 329 million yuan, 48.19 percent less than in 2003.
CITIC Pacific shareholders of Macau Telecom, CITIC Telecom 1616, as well as CITIC Guoan Information Service, including back 42% of net profit to 1.3 billion, operating income of 1.449 billion yuan, is better than back in 2003, 1.59 billion yuan. Evident how intense the competition.
CITIC Pacific's real estate investment preference for their home in Shanghai, CITIC Square, Huashan apartment rental income optimistic about the development of Ningbo CITIC Square, Shanghai Qingpu, old Simon housing project will generate incremental revenue. In Hong Kong, CITIC Pacific on the Tung Chau Street, Kowloon, 320,000 square? Residential and commercial projects and Tuen Mun, Hung Shui Kiu 53700 square? Agricultural land for residential, two to Pida becomes one billion yuan of premium agreement, at the same time has started reconstruction of the Kowloon City Jialing Building of the feasibility study. The entire property investment income reached 608 million, an increase of 19.69%. There is a revaluation of investment properties has also brought 181 million revenue.
The unit of Dah Chong Hong and Sims Trading, as a veteran trader, sales and distribution of automobiles, cosmetics, etc., revenue to 121 billion, but profits of only 284 million yuan, 7.58 percent increase over 2003.
Old-school investors from non-conservative non-fashion
Us a detailed look at these investments is only one sense of the data: CITIC Pacific is a very diversified investment company, it does not have its own products, but also not have their own brand, but it is involved in industries and enterprises have full uniqueness. The development of rapid economic growth period of return on such investments is very considerable. Now popular telecommunications, biotechnology, Internet technology and other popular sectors, CITIC Pacific is almost not involved in, nor attempts to change. Larry Yung Chi Kin looked very old-fashioned, overly prudent, innovation out of discussion.
But this is not a conservative image, we can look back the history of the growth of CITIC Pacific, you can clearly see that Larry Yung Chi Kin's Interests - continued investment, acquisitions, reliance on a strong financial capacity to complete the massive project, and then re-, sub - demolition, sale, access to investment income. Its continuing to drive profitable growth, high dividend policy to attract investors, to maintain a stable share price of 20 yuan to respond to the needs of placement of shares acquired financing needs. This is an extremely powerful ability of capital for use in a red-chip company who, a little special, the future of the Shanghai Industrial, Beijing Holdings and other red-chip company for a copy, but always ups and downs of the energy and the lack of funds Hui denounced the ability to control them.
We have also seen from 1990 to 2000, Citic Pacific raised eight times, raising amounted to 26.208 billion yuan, nearly 51.2 billion market value of more than half. Its was quite sharp, but also very self-confident, fierce action, not up to not give up.
These historical and 2004, the calm, does not seem out of step, we have seen a quiet company of books: Investing in infrastructure projects is 3.5 billion in annual revenues. And the involvement of electricity, aviation, infrastructure, information, special steel, property, sales and distribution, without a loss, all of them and profit.
Today, the CITIC Pacific to worry about two things: integration of equity participation of the Cathay Pacific Airways and Dragonair, sources said: The two companies are quietly brewing merger, in order to create an aviation network has a full range of domestic and foreign airlines to counter the increasingly fierce market competition. Sword in hand behind the scenes is perhaps the Larry Yung Chi Kin. "All long period of division," is already dead rivers and lakes on the two rival aerospace comments.
The second thing is to intervene in the Mainland of China CITIC Pacific retail industry, will launch a major investment, and probably, new large-scale mergers and acquisitions to come. So you can see Larry Yung Chi Kin investment criteria: industry must be unique, or co-shareholder must be sufficient strength and expertise.
Looking back, today's hot real estate speculation, the concept of casinos in Macau, Mainland travel and other opportunities, CITIC Pacific seldom involved, Larry Yung Chi Kin's style may be decided on the fun of this enterprise, he tables on Mainland China, a unique industry and unique opportunities, he worked hard for outsiders to understand: to see me how much money is not important, we must look at what I have to make investments in the future the number of opportunities that really counts.
