Jiangxi Guoguang Commercial Chains (SHSE:605188) Seems To Use Debt Quite Sensibly
Jiangxi Guoguang Commercial Chains (SHSE:605188) Seems To Use Debt Quite Sensibly
The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says 'The biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital.' It's only natural to consider a company's balance sheet when you examine how risky it is, since debt is often involved when a business collapses. As with many other companies Jiangxi Guoguang Commercial Chains Co., Ltd. (SHSE:605188) makes use of debt. But is this debt a concern to shareholders?
由伯克希尔·哈撒韦公司的查理·芒格支持的外部基金经理李露对此毫不掩饰,他说:“最大的投资风险不是价格的波动,而是你是否会遭受永久的资本损失。”当你检查公司的资产负债表的风险时,考虑它的资产负债表是很自然的,因为企业倒闭时通常会涉及债务。与许多其他公司一样,江西国光商业连锁有限公司(SHSE: 605188)也使用债务。但是这笔债务是股东关心的问题吗?
When Is Debt A Problem?
债务何时会成为问题?
Debt and other liabilities become risky for a business when it cannot easily fulfill those obligations, either with free cash flow or by raising capital at an attractive price. If things get really bad, the lenders can take control of the business. However, a more common (but still painful) scenario is that it has to raise new equity capital at a low price, thus permanently diluting shareholders. Of course, plenty of companies use debt to fund growth, without any negative consequences. The first step when considering a company's debt levels is to consider its cash and debt together.
当企业无法轻易履行这些义务时,无论是通过自由现金流还是以诱人的价格筹集资金,债务和其他负债就会面临风险。如果情况变得非常糟糕,贷款人可以控制业务。但是,更常见(但仍然令人痛苦)的情况是,它必须以低廉的价格筹集新的股权资本,从而永久稀释股东。当然,许多公司使用债务为增长提供资金,而不会产生任何负面后果。考虑公司债务水平的第一步是将其现金和债务放在一起考虑。
Check out our latest analysis for Jiangxi Guoguang Commercial Chains
查看我们对江西国光商业连锁的最新分析
What Is Jiangxi Guoguang Commercial Chains's Debt?
江西国光商业连锁店的债务是多少?
The image below, which you can click on for greater detail, shows that at September 2023 Jiangxi Guoguang Commercial Chains had debt of CN¥100.9m, up from none in one year. But it also has CN¥771.6m in cash to offset that, meaning it has CN¥670.7m net cash.
您可以点击下图查看更多详情,该图片显示,截至2023年9月,江西国光商业连锁公司的债务为1.009亿元人民币,高于一年内的零债务。但它也有7.716亿元的现金来抵消这一点,这意味着它有6.707亿元的净现金。
![debt-equity-history-analysis](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240124/0-ee2ba9184484f4380980cffa076f4558-0-15e3afa2888c470979c78533313fc8d9.png/big)
How Strong Is Jiangxi Guoguang Commercial Chains' Balance Sheet?
江西国光商业连锁店的资产负债表有多强?
According to the last reported balance sheet, Jiangxi Guoguang Commercial Chains had liabilities of CN¥1.02b due within 12 months, and liabilities of CN¥669.9m due beyond 12 months. On the other hand, it had cash of CN¥771.6m and CN¥85.0m worth of receivables due within a year. So its liabilities total CN¥833.4m more than the combination of its cash and short-term receivables.
根据上次报告的资产负债表,江西国光商业连锁的负债为10.2亿元人民币,12个月以后到期的负债为6.699亿元人民币。另一方面,它有一年内到期的7.716亿元现金和价值8,500万元人民币的应收账款。因此,其负债总额比其现金和短期应收账款的总额高出8.334亿元人民币。
While this might seem like a lot, it is not so bad since Jiangxi Guoguang Commercial Chains has a market capitalization of CN¥3.85b, and so it could probably strengthen its balance sheet by raising capital if it needed to. But we definitely want to keep our eyes open to indications that its debt is bringing too much risk. Despite its noteworthy liabilities, Jiangxi Guoguang Commercial Chains boasts net cash, so it's fair to say it does not have a heavy debt load!
尽管这可能看起来很多,但还不错,因为江西国光商业连锁的市值为38.5亿元人民币,因此如果需要,它可能会通过筹集资金来强化资产负债表。但是,我们绝对希望留意其债务带来过大风险的迹象。尽管负债可观,但江西国光商业连锁店拥有净现金,因此可以公平地说,它没有沉重的债务负担!
Notably Jiangxi Guoguang Commercial Chains's EBIT was pretty flat over the last year. Ideally it can diminish its debt load by kick-starting earnings growth. When analysing debt levels, the balance sheet is the obvious place to start. But it is Jiangxi Guoguang Commercial Chains's earnings that will influence how the balance sheet holds up in the future. So when considering debt, it's definitely worth looking at the earnings trend. Click here for an interactive snapshot.
值得注意的是,江西国光商业连锁的息税前利润与去年持平。理想情况下,它可以通过启动收益增长来减少债务负担。在分析债务水平时,资产负债表是显而易见的起点。但是,影响未来资产负债表状况的是江西国光商业连锁店的收益。因此,在考虑债务时,绝对值得一看收益趋势。单击此处查看交互式快照。
Finally, while the tax-man may adore accounting profits, lenders only accept cold hard cash. While Jiangxi Guoguang Commercial Chains has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance. Happily for any shareholders, Jiangxi Guoguang Commercial Chains actually produced more free cash flow than EBIT over the last three years. There's nothing better than incoming cash when it comes to staying in your lenders' good graces.
最后,尽管税务人员可能喜欢会计利润,但贷款人只接受冷硬现金。尽管江西国光商业连锁的资产负债表上有净现金,但仍值得一看其将息税前收益(EBIT)转换为自由现金流的能力,以帮助我们了解其建立(或侵蚀)现金余额的速度有多快。令所有股东感到高兴的是,在过去三年中,江西国光商业连锁店产生的自由现金流实际上超过了息税前利润。在保持贷款人的支持方面,没有什么比流入的现金更好的了。
Summing Up
总结
While Jiangxi Guoguang Commercial Chains does have more liabilities than liquid assets, it also has net cash of CN¥670.7m. And it impressed us with free cash flow of CN¥124m, being 354% of its EBIT. So we don't have any problem with Jiangxi Guoguang Commercial Chains's use of debt. There's no doubt that we learn most about debt from the balance sheet. But ultimately, every company can contain risks that exist outside of the balance sheet. For example, we've discovered 3 warning signs for Jiangxi Guoguang Commercial Chains (2 can't be ignored!) that you should be aware of before investing here.
尽管江西国光商业连锁的负债确实超过了流动资产,但其净现金也为6.707亿元人民币。它以1.24亿元人民币的自由现金流给我们留下了深刻的印象,占其息税前利润的354%。因此,我们对江西国光商业连锁使用债务没有任何问题。毫无疑问,我们从资产负债表中学到的关于债务的知识最多。但归根结底,每家公司都可以控制资产负债表之外存在的风险。例如,我们发现了江西国光商业连锁店的3个警告标志(2个不容忽视!)在这里投资之前,您应该注意这一点。
Of course, if you're the type of investor who prefers buying stocks without the burden of debt, then don't hesitate to discover our exclusive list of net cash growth stocks, today.
当然,如果你是那种喜欢在没有债务负担的情况下购买股票的投资者,那么请立即查看我们的独家净现金增长股票清单。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。