Reborn in Hong Kong as a Tycoon

Chapter 609 Corporate Annual Report for [-] ([-])
Lin Baicheng returned to his desk and continued to read the annual report.

Galaxy Financial Group currently has only three companies under it, namely Galaxy Bank, Yum Securities and Galaxy Insurance.

Among them, Galaxy Insurance was just established in the second half of last year. The company has just launched insurance business. Of course, it is impossible to make a lot of money. Lin Baicheng also depends on the business development. From here, you can see how the company's employees are performing.

Judging from the current data, there is nothing that surprises Lin Baicheng, and his evaluation is mediocre.

However, Galaxy Insurance is still very important. Lin Baicheng has decided to pay five social insurances and one housing fund for the employees of his company in Xiangjiang starting from this year in 80.

In this era, there is no concept of five social insurances and one housing fund, and it is impossible for the Hong Kong government to plan so well for the citizens of Hong Kong. British citizens do not have pension security or other treatment, let alone the 'natives' in the colonies.

The five insurances and one fund that Lin Baicheng wants to get refer to domestic policies decades later, but now it is dominated by Galaxy Insurance, and the insured objects are employees of Lin Baicheng's companies.

It also needs to be paid for 15 years. The employee personally contributes 30%, the employee's company contributes 40% for the employee, and Lin Baicheng's Lin's Charity Fund, which is specially registered in Xiangjiang, also contributes 30%.After 15 years of full payment, male employees can receive the corresponding salary every month after retirement at the age of 55, while female employees can receive it after the age of 50.

After all, now is not 50 or 60 years later, people's living standards are not very good, so the average life expectancy is not as high as a few decades later, so the retirement age cannot wait until after [-] years old.

In addition, with the same investment ratio, the higher the level of the companies under Lin Baicheng, the more money you can pay, and the more monthly salary you can receive after retirement, such as medical care and housing. better.

What’s more, although the policy of five insurances and one housing fund is for the benefit of the employees, it is up to the employees to decide whether they want to pay the five insurances and one housing fund, so as not to be suspected by the employees if Lin Baicheng, the big boss, wants to hack their money after doing something good.

Time can tell everything. Anyway, Lin Baicheng is thinking about the long-term, so there is no need to force all employees to pay five social insurances and one housing fund.

For the five insurances and one housing fund, regardless of the fact that the company under Lin Baicheng’s name needs to pay 40% of the funds, he personally has to contribute 30% of the funds. It seems that the loss is huge, but the problem is that he can get the money paid by the employees. To invest, and the currency is constantly depreciating, so he can't actually lose money.

Of course, this is Lin Baicheng's long-term arrangement for Galaxy Insurance Company, and the company itself will also launch life insurance, safety insurance, property insurance and other insurance businesses.

Then came Yum Securities. In 1978, Yum Securities' net profit was nearly 2 million Hong Kong dollars. At the beginning of 1979, the company's principal was 2.41 million Hong Kong dollars.

In the whole year of 1979, Yum Securities’ performance hit a new high, with a profit of nearly 5 million Hong Kong dollars. After deducting various taxes and employee salaries and bonuses, there was still a net profit of almost 4.5 million Hong Kong dollars.

The reason why last year's net profit was so high was that Yum Securities' principal last year was much higher than the previous year's, which was only 5000 million Hong Kong dollars, and the company had profited several times from Hutchison Whampoa's stock price fluctuations. The more money you have, the more profits you will have.

This is Yum Securities' own profit, and it has nothing to do with Lin Baicheng's account of Yum Securities' operating profits. Lin Baicheng's account is his own profit, so the company's revenue and profit last year were indeed very good.

Today, Yum Securities has nearly 7 million Hong Kong dollars in principal, and the more principal, the higher the profit.Of course, this is on the premise that the company makes money. If it loses money, the more the principal, the more the loss will be.

Lin Baicheng did not plan to withdraw part of Yum Securities' principal of nearly 7 million Hong Kong dollars, and put it all in the company as development funds.

Compared with the first half of last year, after Yum Securities merged into Galaxy Financial Group, the business of Yum Securities has expanded and it has started to engage in brokerage business.To put it simply, it is to let shareholders open accounts at Yum Securities, and the company conducts margin financing and securities lending business through Galaxy Bank to earn transaction fees and interest for shareholders.

Because it has been less than half a year, the brokerage business has just begun to develop, and the scale is not large.

After reading the annual report of Yum Securities, Lin Baicheng picked up the annual report of Galaxy Bank.

Galaxy Bank was acquired by Lin Baicheng after September of 78. It was formed by the integration of three small banks. Therefore, the bank did not have much revenue and profit in 78. It would not only recruit people, but also establish branches and outlets to clean up the original bank. Bad debts in the bank, etc., there are many things.

After entering 79 years, the development of Galaxy Bank has gradually entered the right track, especially when Lin Baicheng injected another 10 billion Hong Kong dollars into the bank, the development of the bank entered a high-speed channel.With money, we can recruit better talents, and with talents, branch outlets and business development can be smoother.

More importantly, as the talents of Galaxy Bank formed an excellent team, Lin Baicheng began to transfer the turnover of the company under his name to Galaxy Bank.

The turnover of the enterprise is not only the revenue and profit of the enterprise itself and the bank. The salary of the employees is paid through the Galaxy Bank, so the employees have to open an account with the Galaxy Bank. In the future, there will definitely be a large number of employees who will often use the bank cards of the Galaxy Bank.

In addition, the company has capital exchanges with other companies. The company under the name of Lin Baicheng uses Galaxy Bank, and there is another fee for inter-bank transfers. Therefore, related companies also need to open accounts with Galaxy Bank. These companies are likely to become Customers of Galaxy Bank.

What's more, Galaxy Bank can create profits for the temporarily different funds placed in the account of the enterprise whether it is invested by itself or lent to other individuals or enterprises.

Therefore, the more companies that put their turnover in Galaxy Bank, and the larger the size of the enterprise, the more benefits Galaxy Bank will get.

Those enterprises in Xiangjiang under Lin Baicheng's current name are not only enough to support a bank, but can even make this bank develop into a top-ranked bank in Xiangjiang.

At present, among Lin Baicheng's enterprises in Hong Kong, only Hutchison Whampoa has a part of the business turnover handed over to HSBC, and all other enterprises' turnover is placed in Galaxy Bank, so Galaxy Bank started in the second half of last year and developed quite rapidly.

As of the end of last year, Galaxy Bank's depositor funds have exceeded tens of billions of Hong Kong dollars.These funds are mainly composed of three parts, one is the funds of depositors of Xiangjiang citizens, the other is the funds of enterprises under the name of Lin Baicheng, and the third is the funds of Lin Baicheng himself.

With his own bank, Lin Baicheng of course put his money in his own bank, and there is no reason to keep the money in HSBC.

Last year, Galaxy Bank's net profit was 1.8 million Hong Kong dollars, but a considerable part of the net profit of 1.8 million Hong Kong dollars was non-renewable.

The year before last, Galaxy Bank launched a business, which was to recommend depositors to buy gold funds. The bank charged 1% handling fee and 20% profit sharing.

As the price of gold continued to rise, Hutchison Whampoa Investment led by Lin Baicheng made profits many times, and Yum Fund made a lot of money for customers. These made many Xiangjiang citizens excited, and then opened an account at Galaxy Bank to buy gold funds.

Galaxy Bank uses customers' money to go long on gold futures, and does not use leverage. Customers can open as many gold futures orders as they have.

After the price of gold broke through $550/oz a while ago, Galaxy Bank began to contact depositors, saying that Galaxy Bank believed that the current gold price was not low, and recommended customers to sell long orders.Of course, the decision rests with the customer. If the customer is not willing to sell, then it is up to the customer.

Most of the customers are ordinary citizens, and there are greedy people, but the number is not many, so most of them choose to close their long orders, and only a small number of customers have not yet closed.

This business made Galaxy Bank earn more than 4000 million Hong Kong dollars.In other words, Galaxy Bank has brought profits of more than [-] million Hong Kong dollars to depositors, and the depositors who chose to buy gold funds had funds of [-] million Hong Kong dollars.

Now, of course, Galaxy Bank has ended its gold fund business. After all, the follow-up gold price will fluctuate and fall for a long time.

However, after the end of the gold fund business, Galaxy Bank launched the stock fund business to customers. This business is to let customers hand over the money to the bank for management. The bank charges 2% management fee and 1% to 20% profit sharing. The higher the bank, the higher the share.

At present, some customers have handed over more than 2000 million Hong Kong dollars to the bank for management. I believe that as time goes by, the funds will increase, and the annual management fee alone can charge a lot.

"When the price of gold falls below $400 per ounce, we will buy physical gold through the bank as the bank's currency reserve."

After reading the annual report, Lin Baicheng thought to himself.If he remembered correctly, the Hong Kong dollar was officially pegged to the U.S. dollar in 83, which led to the depreciation of the Hong Kong dollar. With the advancement of reform and opening up, the mainland’s renminbi will also depreciate, so the currency will depreciate, especially when there is an economic crisis in various countries.

In the next few decades, Lin Baicheng remembers that when the 21st century is about to enter the 300st century, the price of gold will fall below $300 per ounce for a period of time. If you start buying physical gold below $400 per ounce, you will not lose money.

Another thing is the international versatility of gold, no matter which country it is taken from, it can be exchanged into the currency of the country where it is located.If it is exchanged into Hong Kong dollars, it is impossible to directly exchange it into Japanese yen now. It must be converted into US dollars first, and then exchanged into Japanese yen with the US dollars.

Not to mention the hassle of the procedures, there is also a handling fee to be paid. Currency exchange is not just any exchange you want, there is a handling fee in the middle.

As the most important part of Lin Baicheng's business system, Galaxy Financial Group, the group's core Galaxy Bank reserves some physical gold is definitely beneficial. It can improve the anti-risk ability of Lin Baicheng's business system, which is very important.

As for the funds to buy physical gold, Lin Baicheng has already thought about it. It is impossible to use all the funds he made a lot of money from long gold futures this time for investment. These funds can be used to buy gold and store them in Galaxy Bank.

In the future, Lin Baicheng's business can earn him a lot of profits every year, and some of these profits can be used to buy gold, so don't worry about not having enough money to buy gold.

Because of the many subsidiaries of Asia Star Media Group, Lin Baicheng read the annual report last, and then he read the annual report of Jupiter Toys Company.

In 1978, Jupiter Toys mainly produced and sold Rubik's Cube and claw machines. These two toys brought a lot of profits to the company. In 78, the company's net profit was 2820 million Hong Kong dollars.

Last year in 1979, Rubik's Cube and Crane Machine were still the leading products of Jupiter Toys, but there was an extra toy called 'yo-yo', and all three kinds of toys sold well.

A total of 500 million Rubik's Cubes were produced the year before last, but only a little over 100 million were sold. After fermentation and price reduction last year, the sales volume skyrocketed, and a total of more than 600 million were sold. For this reason, Jupiter Toys Company produced again last year. 300 million Rubik's Cubes.

Over 5000 claw machines were sold the year before last, but over 3 were sold last year. This is not counting Jupiter Toys’ sales in Starlight Toys Store in the United States, Zhiyin Comics Store in Japan, and Star Cinemas in Hong Kong. Crane machine.

The ownership of the claw machines placed in these physical stores still belongs to Jupiter Toys, but the daily profits are shared between Jupiter Toys and the company providing the venue, with a ratio of half to each. This piece was also provided to related companies last year. A lot of profit.

The yo-yo is a new toy launched by Jupiter Toys to the market last year. After its launch, it was well received and the children liked it very much. However, it still takes time to promote it, so last year it only brought a few million Hong Kong dollars to Jupiter Toys. profit only.

In addition, a plush toy factory acquired by Jupiter Toys later sold a lot of plush toys due to the sale of claw machines, which also provided the company with a profit of several million Hong Kong dollars.

All together, Jupiter Toys’ revenue last year exceeded 4 million Hong Kong dollars, mainly contributed by the two products Rubik’s Cube and Crane Machine. After deducting various expenses, the company’s net profit last year was as high as 1.6 million Hong Kong dollars.

However, Jupiter Toys increased its investment in technology research and development last year. The company invested 1000 million Hong Kong dollars in special research and development of the mini four-wheel drive toy proposed by Lin Baicheng, and invested 1000 million Hong Kong dollars in research and development of other toys and updated technologies.

Therefore, the net profit left in the account of Jupiter Toys in 1979 was 1.4 million Hong Kong dollars.

Lin Baicheng was very satisfied with the profit of Jupiter Toy Company in 1979. After all, the company's net profit in the previous year was only about 2000 million Hong Kong dollars, and this year's net profit has doubled several times.

What's more, Lin Baicheng invested only 5000 million Hong Kong dollars in the Jupiter Toys Company. Not to mention the company's current value, the cash in the company's account of more than 1.5 million Hong Kong dollars is already three times the principal he invested.

Unlike other companies, Jupiter Toys currently does not need much capital to invest in expansion, so Lin Baicheng can withdraw 1.5 million Hong Kong dollars in cash from Jupiter Toys, but he has not done so for the time being.Anyway, the money in Jupiter Toy Company's account is also stored in Xinghe Bank, whether it is transferred to his personal account or not is the same.

Once Lin Baicheng needs it, he can withdraw cash from Jupiter Toys at any time, since he is the only boss of the company anyway.

(End of this chapter)