Yongan bike to give up | 'share the first share of the car' | laurel

March 24, 2017, Changzhou Yongan Public Bicycle System Co., Ltd. once again submitted a "prospectus", compared with June 18, 2015 reported an increase of nearly 40% of the space.

For Yongan bike, the two most important event between the submission is the 'shared bike' and the rise of their own 'wet body'.

Public bicycles are 'public goods'

Within three kilometers of short trips, there is no means of transport can be comparable with the bike.But in today's city, riding a bike has two inconvenience: one is often travel distance more than ten kilometers need to take other means of transport and inconvenient to carry bicycles; After reaching the destination, the bike becomes cumbersome (mainly afraid of losing).

Bicycle rental can be a good solution to the 'pain point', Yang long, to avoid its short, effectively compensate for the lack of public transport system, but the user's pain point resolved, the business is 'pain': the lease is heavy assets, heavy business , The user riding a two-kilometer bike is willing to pay the cost is very few (preferably free). 'Heavy assets + heavy operation + ultra-low unit price', this 'business'

'Social benefits are good, poor economic efficiency' is an important feature of 'public good' (public education), such as compulsory education, environmental greening, public transport, etc. Enterprises are not charitable organizations, providing public goods is the basic functions of the government. : Can make money thing business rush, lose money can only find the government, so there is a public bike.

So far, the mainstream model of bicycle rental at home and abroad is the government (or the difference between the institutions) to the commercial enterprises to buy equipment, facilities and services. Representatives of the city of Amsterdam, Copenhagen, London, Paris, Berlin, Melbourne, Seoul, Tokyo and so on.

New 'governor'

In addition to justice, defense and other areas, the government usually through the 'purchase' way to provide public services: business services for the public, the Government paid to the enterprise.

The benefits of the government can be reduced by the government to improve the efficiency of the use of financial funds to improve the quality and quantity of public goods supply to meet the needs of the public diversification (Note: government procurement of public services is part of government procurement, compliance with the "People's Republic of China Government Procurement Law "The relevant provisions).

Public bicycles are the main responsibility of the local government, Yongan bike is China's largest supplier.

Yongan bike was founded in August 2010, has developed a 'sweeping car rental system', 'mobile phone smart car rental system', 'multi-city Internet rental system'.

As of the end of 2016, Yongan bike has become more than 210 city government suppliers (2014, 2015, respectively, 120 and 165), built a rental site 32,000, 'lock car' total 89 million, the end of the year registration Members of 7.5 million (Yonganxing platform members), the annual total of 750 million people riding (per person per year more than 100 times).

In the new era of government to buy public services, by the financial contribution, the total income of enterprises at the end of the business income, the government has appointed the government, The

In addition to public bicycles, the three major intermediaries (second-hand housing intermediary, referral, dating) and the interests of the residents, the government's public welfare (1 hour free ride) at the same time to support the private enterprises. Closely related, may wish to learn from. Because the real estate, real recruitment and marital status in the relevant departments are case to check the government to the Internet business to pay the latter to the authority of information-based, to provide quality services to the public.

'B2G' is very nourishing

Yongan bike main B2G (Business to government) business, there are two specific models:

'Public bicycle system sales' mode: Yongan bike is responsible for the design, production, installation and commissioning of the system after the delivery of the system, Yongan bike take the money to leave, do not participate in the follow-up operation and management. Representatives of the city of Nanjing, Shaoxing, Yueyang and so on.

'Public Bicycle System Operation Service' mode (PPP mode): Yongan bicycles continue to provide operations, management services, duration and system life (usually 5 years) after the completion of the system, which means 'lifelong service'.

The first model, the project cycle is short, the follow-up risk is low, high gross margin, do not need to set up local sub / subsidiary, in general, relatively 'light'; the second model of the high amount of contracts, customer sticky strong, follow-up expansion Business opportunities and more.

Public bicycle operation and management have a certain degree of professionalism, by the builder is responsible for the benefits of operation and management Needless to say, the local government also tend to 'no guest bother', so the second model is gradually becoming mainstream.

As of the end of 2016, nearly 100 of the 210 cities in Yongan's bike took 'operational service mode', representing Suzhou, Nantong, Weifang, Fuyang, lions and so on. Yongan set up more than 90 points / Operation and Management in Operations Service Mode.

2012, 2013, the first model (system sales model) lead; the second model in 2014 (system operating mode) overtake; by 2016, the second model accounted for 69% of revenue.

Yongan bike 'B2G' is very moist, although the revenue, profit scale is small, but the development is quite stable: 2016 net profit of 117 million, an increase of 732% over 2012, the average annual compound growth rate of 169.8%; business activities Net cash inflows stabilized at $ 200 million; net profit margin declined compared to 2014, and the second model revenue ratio increased.

2014, 2015, 2016, Yongan new system operating contract amount were 900 million, 670 million and 840 million. Has been signed in the operation contract, in 2017 will give Yongan 600 million yuan revenue (all related contracts The implementation of the completion of Wing On total revenue of about 3 billion).

Give up 'share the first share of the car' laurel

Public bicycle 'public product' attribute, which means that the market operation is difficult to achieve balance of payments, industry development is highly dependent on government investment, and the photovoltaic industry is very similar.

'Burn war', 'O2O subsidized war' burned tens of billions of dollars, burn out two market value of more than 10 billion dollars of the 'super unicorn'. "So, 'wool out of the dog pig money' routines were introduced Public bicycle field. Too, moabai as the representative of the non-pile rental services in Beijing, Shanghai, Guangzhou, Shenzhen, Chengdu and other second-tier cities for the rapid rise of three reasons:

First, the capital's profit motive is much stronger than the government's motivation to expand the public bicycle budget.When the public bike in August 2008 in Hangzhou since the birth of the local government's total investment is probably less than a year withino, the worship of the amount of financing The

Second, no pile mode to expand the low cost, speed not only eliminates the need to build parking equipment and time, but also from municipal planning (especially land) and supporting facilities (such as power supply) of the fetters. As long as the funds keep up To the street 'lost' it wants.

Third, the acquisition speed, low cost, spend hundreds of dollars to buy a car lost to the street about to attract five registered users, each user also pay 99 yuan to 299 yuan 'deposit'.

In the second half of 2016, Yongan bike began to explore the 2C 'no-pile sharing cycle mode', in Beijing, Shanghai, Chengdu, Kunming, Changsha, Wuchang, Fuzhou, Guiyang and other cities have put 50,000 trucks without bricks.

March 1, 2017, ants gold service, deep venture capital and other eight institutions and Wing On Bank signed an investment agreement, the new funds will be used to expand the shared bicycle business.

Operation of the 'easy delivery' of the three Thai holdings, with 'solve the last 100 meters of electricity business concept of the market value was as high as 50 billion.' Involved in the 'shared bicycle' Yongan, with 'shared bicycle first shares' concept, the market value soared to hundreds There is no suspense.

April 6, 2017, Yongan bike IPO by the Commission issued by the Board of Directors issued the 48th meeting in 2017 audit approval.

The first IPO, the market value of tens of billions, Ali concept ... ... many people think that Wing will be in the capital of the strong push to rewrite the shared bike pattern.

But on the eve of the IPO, Yongan suddenly announced the termination of financing, temporarily withdraw from the shared bicycle 'fast lane'.

Prospectus revealed 'secret'

Yongan to give up the 'share of the first batch of shares' laurel is out of frustration, the new version of "prospectus" revealed some clues.

The first income is low.As of the end of 2016, Yongan put a total of 50,000 'shared bicycle', while the rental income of only 368,300 yuan, equivalent to 0.05% of total revenue. "Prospectus" shows 'shared bicycle' book fixed assets The original value of 6.987 million yuan, even if the car can hold for two years, can return to this question, let alone profits.

Tiger in the March 20 article "to share the bike count account" in the assumption that 'cycling monthly income of 100 yuan', now seems too optimistic. Yongan even put only 10,000, the monthly income of 100 yuan, then 1 Month of rental income can reach 100 million. Seeive of the performance ofo after entering Beijing, the basic monthly income of the bike is zero!

Followed by high operating costs. According to the "prospectus" disclosure, 'inspection schedule' content includes: inspection, car; according to location information, the 'ride scattered' vehicles together; according to large data projections, the vehicle To hotspot area.

In 2016, Yongan 'system operation services' operating cost of 393 million. At the beginning of the 'lock car' number of 630,000, the end of the 89 million, the average period of 760,000.

Assuming 50 million of Wing On operations, each lock car corresponds to a public bike, the average annual operating cost per public bike is 786 yuan.

The operation of a pile of public bicycles less full of the world to find the car, to sum up the trouble and less damage to the vehicle, maintenance costs are low, but more on the rental site equipment maintenance, may wish to assume that the two models operating costs are similar.

500 yuan per year, 50,000 sharing bicycles six months of operating costs as high as 12.5 million yuan, while the rental income is only negligible tens of thousands of dollars.

A shares of the company certainly can not be so burned, the concept of important, to maintain the listing status is more important, so Yongan had to give up 'share the first row of shares' laurel slightly.