Nan Shen, a reporter from China Fund News.

After Zhejiang Yongqiang with a net profit of 50 million yuan and a maximum of 1 billion yuan for "stock speculation"BuffalorisingslotAnother listed company is concerned by the market for its large-scale securities investment and financial management.

On the evening of April 25, my family, which is mainly engaged in real estate brokerage business, released its annual report for 2023 and quarterly report for 2024. Under the background of the overall adjustment of the real estate market, the performance of the company will not be very good. For the whole of 2023, I love my family with a loss of 8%Buffalorisingslot48 billion yuan, compared with a small profit of 25.38 million yuan in the first quarter of 2024 (after deducting a loss of 54.77 million yuan). Throughout 2023, the company's operating stores shrank.BuffalorisingslotMore than 700, from 3583 to 2853.

In this case, through a resolution of the board of directors, the company intends to use its own idle funds to invest in securities and financial products, with a total investment quota of no more than 3.3 billion yuan. It is worth noting that the company's monetary funds as of the end of the first quarter of 2024 are only 33.BuffalorisingslotThe company is not low-indebted. Its latest long-term and short-term bank borrowings totaled 2.23 billion yuan, while non-current liabilities maturing within one year are close to 10 billion yuan.

The number of stores shrank by more than 700 last year.

According to the financial report, I love my family is one of the earliest national housing brokerage service companies in China. The company focuses on residential service scenarios, mainly around the transaction and rental operation and management needs of housing, a core residential asset.

In 2023, the company achieved an operating income of 12.09 billion yuan, an increase of 3.6% over the same period last year, a net profit of-850 million yuan, and a loss of about 540 million yuan over the same period last year. The company said that the expansion of the loss was mainly affected by some non-operating and one-off factors, which affected the company's total profits of about 700 million yuan.

Specifically, in 2023, the company withdrew about 260 million yuan in impairment of goodwill assets related to commercial real estate marketing business, and about 50 million yuan in goodwill impairment of I Love my Home Cloud data Co., Ltd. the credit impairment loss related to part of the new housing business is about 130 million yuan. In addition, the fair value of some of the investment properties held by the company has changed, resulting in a loss of about 50 million yuan.

By the end of 2023, the company has a total of about 2853 stores in China, including 2323 direct stores, 530 franchised stores and more than 30, 000 brokers. By the end of 2022, the company had a total of 3583 domestic stores and about 35000 employees, that is to say, the number of stores shrank by about 20% in a year, to more than 700.

In the first quarter of 2024, the company's performance continued to be depressed.

During the reporting period, the company achieved 2.75 billion yuan in main business income, down 12.6 percent from the same period last year, and realized a net profit of about 25 million yuan, down 51 percent from the same period last year. The deduction of non-net profit was-54.77 million yuan (44.54 million yuan in the same period last year). By the end of the first quarter of this year, the company had operated a total of about 2794 domestic stores, a further 59 fewer.

A maximum of 3.3 billion yuan is proposed for securities investment and financial management.

However, the company's announcement on the evening of April 25 on the use of its own funds to invest in securities and wealth management products attracted more market attention than its annual report and quarterly report.

According to the announcement, the total amount of self-owned idle funds that the company and its subsidiaries can use to invest in securities and wealth management products is 3.3 billion yuan, and the investment period is 12 months from the date of examination and approval of the company's annual general meeting in 2022.

After the above 3.3 billion yuan investment quota for securities and financial products expires, the company and its subsidiaries intend to continue to use their own idle funds to invest in securities and financial products, with a total investment quota of no more than 3.3 billion yuan. The investment period shall be 12 months from the date of approval of the investment quota by the company's annual general meeting in 2023, which can be recycled and rolled within the scope of the quota and time limit.

Among them, the company plans to use 2 billion yuan investment quota for entrusted financial management and securities investment (including new stock placement or purchase, securities repurchase, stock and depositary receipt investment, bond investment and other investment behaviors recognized by Shenzhen Stock Exchange). The proposed investment quota of 1.3 billion yuan is used to purchase low-risk financial products and other risk-controllable financial products with a single investment period of no more than one year.

It should be noted that by the end of 2023, the company's paper monetary funds were only 3.561 billion yuan, while the monetary funds by the end of the first quarter of 2024 were 3.309 billion yuan.

The company is not low-debt, its short-term debt pressure is not small. By the end of the first quarter of this year, the company had 1.154 billion yuan in short-term loans, 1.082 billion yuan in long-term loans, and 9.613 billion yuan in "non-current liabilities due within one year."

Under such circumstances, does the company really dare to spend most of its funds on securities investment and financial management? Judging from the actual implementation in 2023, it is only "loud thunder but little rain".

In 2023, the company also has a maximum limit of 3.3 billion yuan for securities investment and financial management, but as of December 31, 2023, the book balance of securities and financial products held by the company is only 35 million yuan, with a profit or loss of 3.5681 million yuan in the reporting period. Even if we look at the occurrence amount, the company has only carried out 1.515 billion yuan of entrusted financial management, but has not made any securities investment.