Here's Why Qinghai Salt Lake IndustryLtd (SZSE:000792) Can Manage Its Debt Responsibly
Here's Why Qinghai Salt Lake IndustryLtd (SZSE:000792) Can Manage Its Debt Responsibly
Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of permanent loss is the risk I worry about... and every practical investor I know worries about.' When we think about how risky a company is, we always like to look at its use of debt, since debt overload can lead to ruin. Importantly, Qinghai Salt Lake Industry Co.,Ltd (SZSE:000792) does carry debt. But the more important question is: how much risk is that debt creating?
霍華德·馬克斯表達得很好,他說,與其擔心股價波動,「我擔心的是永久性損失的可能性...我認識的每一個實踐投資者都會擔心這一點。」當我們考慮一個公司的風險有多大時,我們總是喜歡看一下它的債務使用情況,因爲債務過重會導致災難。重要的是,青海鹽湖股份有限公司(股票代碼:000792)確實負債。但更重要的問題是:這些債務產生了多少風險呢?
Why Does Debt Bring Risk?
爲什麼債務會帶來風險?
Debt assists a business until the business has trouble paying it off, either with new capital or with free cash flow. Part and parcel of capitalism is the process of 'creative destruction' where failed businesses are mercilessly liquidated by their bankers. 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. Having said that, the most common situation is where a company manages its debt reasonably well - and to its own advantage. The first thing to do when considering how much debt a business uses is to look at its cash and debt together.
直到企業有困難支付新資本或自由現金流之前,債務是企業的有益助手。資本主義的一部分是「創造性破壞」的過程,在這個過程中,業績不佳的企業將被它們的銀行家無情清算。然而,更常見的(但仍然痛苦的)情況是,它必須以低價籌集新的股本,從而永久地稀釋股東。儘管如此,最常見的情況是公司合理地處理其債務,並使其受益。在考慮企業使用多少債務時,首先要做的是將其現金和債務合併。
What Is Qinghai Salt Lake IndustryLtd's Debt?
青海鹽湖股份有限公司的債務是什麼?
As you can see below, Qinghai Salt Lake IndustryLtd had CN¥4.67b of debt at March 2024, down from CN¥6.82b a year prior. But on the other hand it also has CN¥21.9b in cash, leading to a CN¥17.2b net cash position.
正如您下面所看到的,青海鹽湖股份有限公司在2024年3月的債務爲467億元,較上年的682億元下降。但另一方面,它也擁有219億元的現金,導致172億元的淨現金頭寸。
![big](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240714/0-79f47eaaad5a0bf11f0405a8449bc07e-0-4dae24c6c26cb6ab901e5e9bb083439b.png/big)
How Healthy Is Qinghai Salt Lake IndustryLtd's Balance Sheet?
青海鹽湖股份有限公司的資產負債表有多健康?
The latest balance sheet data shows that Qinghai Salt Lake IndustryLtd had liabilities of CN¥8.97b due within a year, and liabilities of CN¥2.35b falling due after that. Offsetting this, it had CN¥21.9b in cash and CN¥6.82b in receivables that were due within 12 months. So it can boast CN¥17.4b more liquid assets than total liabilities.
最新的資產負債表數據顯示,青海鹽湖股份有限公司有897億元的短期債務和235億元的長期債務。抵消這些的是,它有219億元的現金和682億元的應收賬款,這些賬款在12個月內到期。所以,它的流動資產比總負債多了174億元。
This excess liquidity suggests that Qinghai Salt Lake IndustryLtd is taking a careful approach to debt. Given it has easily adequate short term liquidity, we don't think it will have any issues with its lenders. Succinctly put, Qinghai Salt Lake IndustryLtd boasts net cash, so it's fair to say it does not have a heavy debt load!
這種過剩流動性表明青海鹽湖股份有限公司對債務採取了謹慎的態度。鑑於它有充足的短期流動性,我們認爲它不會遇到任何與借款人的問題。簡而言之,青海鹽湖股份有限公司擁有淨現金,因此可以說它沒有重債負擔!
The modesty of its debt load may become crucial for Qinghai Salt Lake IndustryLtd if management cannot prevent a repeat of the 58% cut to EBIT over the last year. When a company sees its earnings tank, it can sometimes find its relationships with its lenders turn sour. The balance sheet is clearly the area to focus on when you are analysing debt. But ultimately the future profitability of the business will decide if Qinghai Salt Lake IndustryLtd can strengthen its balance sheet over time. So if you're focused on the future you can check out this free report showing analyst profit forecasts.
如果管理層無法防止去年EBIt下降58%的情況再次發生,那麼它的債務負擔的適度性可能會對青海鹽湖股份有限公司至關重要。當一個公司看到它的收益下降時,它有時會發現與其放款人的關係變得糟糕。當分析債務時,資產負債表顯然是需要關注的領域。但最終,企業未來的盈利能力將決定青海鹽湖股份有限公司是否能夠隨着時間的推移加強其資產負債表。所以,如果您關注未來,可以查看這份免費報告,顯示分析師的盈利預測。
Finally, while the tax-man may adore accounting profits, lenders only accept cold hard cash. Qinghai Salt Lake IndustryLtd may have net cash on the balance sheet, but it is still interesting to look at how well the business converts its earnings before interest and tax (EBIT) to free cash flow, because that will influence both its need for, and its capacity to manage debt. Over the last three years, Qinghai Salt Lake IndustryLtd recorded free cash flow worth a fulsome 84% of its EBIT, which is stronger than we'd usually expect. That puts it in a very strong position to pay down debt.
最後,儘管稅務人員可能崇拜會計利潤,但放款人只接受冰冷的現金。青海鹽湖股份有限公司可能在資產負債表上有淨現金,但看看它將利息和稅前利潤(EBIT)轉化爲自由現金流有多好,仍然很有趣,因爲這將影響其管理債務的需求和能力。在過去三年中,青海鹽湖股份有限公司的自由現金流價值達到其EBIt的豐厚84%,這比我們通常預期的要強。這使得它在償還債務方面處於非常強勁的位置。
Summing Up
總之
While it is always sensible to investigate a company's debt, in this case Qinghai Salt Lake IndustryLtd has CN¥17.2b in net cash and a decent-looking balance sheet. And it impressed us with free cash flow of CN¥11b, being 84% of its EBIT. So is Qinghai Salt Lake IndustryLtd's debt a risk? It doesn't seem so to us. When analysing debt levels, the balance sheet is the obvious place to start. But ultimately, every company can contain risks that exist outside of the balance sheet. For example, we've discovered 1 warning sign for Qinghai Salt Lake IndustryLtd that you should be aware of before investing here.
雖然調查公司的債務總是明智的,但在這種情況下,青海鹽湖股份有限公司擁有172億元的淨現金和一份看起來不錯的資產負債表。而且,它還以110億元的自由現金流給我們留下了深刻印象,這是其EBIt的84%。所以,青海鹽湖股份有限公司的債務風險嗎?對我們來說似乎並不是。在分析債務水平時,資產負債表是顯然的開始之處。但最終,每個公司都有可能存在超出資產負債表之外的風險。例如,我們已經發現了1個Qinghai Salt Lake IndustryLtd的警告信號,您在投資之前應該了解一下。
At the end of the day, it's often better to focus on companies that are free from net debt. You can access our special list of such companies (all with a track record of profit growth). It's free.
歸根結底,專注於沒有淨債務的公司往往更好。您可以訪問我們的特別列表,其中包括所有表現出盈利增長軌跡的公司。這是免費的。
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
對本文有任何反饋?對內容有任何疑慮?請直接與我們聯繫。或者,發送電子郵件至editorial-team@simplywallst.com。
這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論,只使用公正的方法論,我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議,也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意,我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
對本文有任何反饋?對內容有任何疑慮?請直接與我們聯繫。或者,發送電子郵件至editorial-team@simplywallst.com。