De Cai Holdings: Company and Subsidiaries' Outstanding External Guarantees Total 1.196 Billion Yuan

Radar Finance Text | Yang Yang Edited | Li Yihui

On March 11, DeCai Co., Ltd. (Stock Code: 605287) released an update on the progress of providing guarantees for its subsidiaries. The company and its subsidiaries, China Construction United and China Housing Design, applied for financing from financial institutions and provided joint liability guarantees.

The specific guarantee details are as follows: the company provides guarantees for China Construction United and China Housing Design with a maximum debt principal of no more than RMB 220 million and RMB 26 million, respectively; China Construction United provides guarantees for the company and China Housing Design with a maximum debt principal of no more than RMB 200 million and RMB 26 million, respectively.

As of the disclosure date, the company’s and its subsidiaries’ external guarantee balance was RMB 1,196.1662 million, accounting for 77.71% of the company’s latest audited net assets, with no overdue guarantees.

According to Tianyancha data, DeCai Co., Ltd. was established on August 26, 1999, with a registered capital of RMB 140 million. The legal representative is Yuan Yonglin, and the registered address is No. 169 Hong Kong Middle Road, Shinan District, Qingdao. Its main business involves design and construction of architectural decoration and housing construction projects.

Currently, the company’s chairman is Ye Decai, the secretary is Wang Wenjing, with 1,781 employees, and the actual controller is Ye Decai.

The company has 37 associated companies, including Qingdao China Construction United Group Co., Ltd., Qingdao DeCai High-Tech New Materials Co., Ltd., Qingdao Zhonghe Building Materials Technology Co., Ltd., DeCai (Beijing) Ancient Architecture Engineering Co., Ltd., Qingdao Yingzhong Chinese and Foreign Trade Co., Ltd., among others.

In terms of performance, the company’s operating income for 2022, 2023, and 2024 was RMB 5.638 billion, RMB 6.103 billion, and RMB 4.134 billion, respectively, with year-over-year growth of 11.87%, 8.25%, and -32.26%. Net profit attributable to the parent was RMB 200 million, RMB 156 million, and a loss of RMB 287 million, with year-over-year changes of +43.09%, -21.82%, and -283.52%. During the same period, the company’s asset-liability ratio was 82.10%, 83.14%, and 85.35%.

Regarding risks, Tianyancha information shows the company has 492 internal Tianyan risks, 292 surrounding risks, 523 historical risks, and 357 early warning risks.