Cable LINK Industrial net profit three consecutive year decline performance 50% risk

and pick News recently, Shenzhen Cable Link Industrial Co., Ltd. (hereinafter referred to as cable link industrial) announced the prospectus, to SSE the main board listing, the issue does not exceed 22.9 million shares, after the issuance of the total share capital not exceeding 45.8 million shares, the sponsor for investment securities (600999, shares bar), to raise capital of 660 million yuan. And pick, through a careful review of the prospectus, found that cable link industry fell in revenue for 2013 years and that net profit has slipped for three consecutive years. And the company in the market competition risk tips, warning if the company can not in the market competition in the overall promotion of product competitiveness, will not be able to exclude the company listed in the year performance does not fall more than 50% of the risk. Net profit 3 year decline according to cable link industrial Prospectus data show, the company is a large-scale automotive electronic system in the development, production, sales and service of the state-level High-tech enterprises, the main products include car-mounted functional products and automotive intelligent products two categories. The development of its industry is closely related to the development of automobile industry, and the development of automobile industry has great influence on the production and operation of the company. In recent years, China's sustained economic growth has led to rapid development of the domestic automotive industry, according to the China Automotive Industry Association statistics, 2009 to 2011, China's car sales were 13.64 million, 18.04 million and 18.53 million, the composite growth rate of 16.55%, 2012 China Auto Sales of more than 19 million vehicles, nearly 22 million vehicles in 2013, the Chinese auto industry shows a good development trend. Stimulated by the rapid development of the downstream industry, according to the Chinese Automobile Industry Association Motor Electrical Appliances Committee compiled by the "China Automotive Electronics and electrical Machinery Twelve-Five Development Plan", in 35, China's car navigation system sales will maintain an average of more than 40% of the growth rate. However, because of the rapid development of the industry, cable link industry in the face of increasing competitors and development situation, failed to increase market share, the three main industries have slowed down and the decline trend. Car multimedia navigation products in 2013, 2012, 2011 Sales amount of 577 million yuan, 509 million yuan, 381 million yuan, the overall revenue has slowed significantly, car multimedia products sales are 105 million yuan, 182 million yuan, 179 million yuan, 2013 fell 42.3% from 2012, car navigation products sales were 46 million yuan, 79 million yuan, 129 million yuan, the emergence of three consecutive years, a sharp decline in 2013 than 2011 fell 64.34%. At the same time, according to the prospectus, the company's operating income in 2013, 2012 and 2011 was 746.0989 million yuan, 814.8778 million yuan and 725.8188 million yuan, with net profit of 6,226 480,000 yuan, 6,669 330,000 yuan, 7,724 RMB 610,000 yuan, 2013 revenue drop trend, net profit appeared link three years decline. The performance of the listing declined more than 50% risk according to cable Link Industrial Prospectus disclosed that the carThe electronic industry has the characteristics of big market potential, fast market change and fierce competition. Competition often leads to lower sales among competitors, thereby compressing the company's profit margins. In recent years, with the continuous entry of new competitors, as well as the original competitors through the industry integration to expand the scale of operations, crowding out market share, the company's market position may be challenged, and then affect the company's income and profitability level. Although the company currently in the technology, sales, brand and management has a certain advantage, but in view of the future macroeconomic development and market economy environment there are more uncertainties, if the company can not in the market competition in the overall promotion of product competitiveness, will not be able to exclude the company listed in the year performance does not fall more than (Editor: Dance Zhe)