The “Loss King” of A-shares was born.

On the evening of April 29, *ST HNA released its 2020 annual report. Last year, it suffered a net loss of 64 billion yuan, setting a record for the largest annual loss for a single company in the history of the A-share market.

*ST HNA's huge loss of 64 billion yuan in 2020 surpassed *ST Salt Lake to become the largest loss leader in A-share history *ST HNA (600221) released its 2020 annual report on the evening of the 29th. The report showed that the company's net loss last year was 64.003 billion yuan, surpassing the loss in 2019*

ST Salt Lake set a new record for the largest annual loss in the history of A-shares.

At the same time, it also exceeded the upper limit of the loss amount in the previous annual report preview.

*ST Salt Lake (net profit loss of 45.86 billion yuan in 2019) and ST Kangmei (net profit loss of 27.736 billion yuan in 2020) followed closely behind.

What does a loss of 64 billion yuan a year mean?

In other words, the daily loss is as high as 175 million, which is more than the annual net profit of half of the A-share companies.

Recently, Zheng Shuang's huge salary of 160 million yuan has been hotly discussed. 160 million yuan is also jokingly called "1 Shuang", and 64 billion yuan is as high as 400 Shuang.

If it were all cash, based on the current size of hundred-dollar bills, approximately every 6.5 pieces would be 1 meter long. 64 billion hundred-dollar bills placed end to end could circle the Earth's equator 2.5 times.

*ST HNA will face the risk of delisting and wants to introduce strategic investors *ST HNA, the original Hainan Airlines, was later renamed HNA Holdings. In 2007, the stock price rose to a maximum of 14.35 yuan. From 2015 to 2017, it was still

It can maintain a net profit of more than 3 billion yuan, but now the stock price is only 1.62 yuan and the total market value is 27.23 billion yuan.

As of the end of 2019, HNA Holdings' net assets were 51.498 billion yuan. Now it has lost 64 billion yuan a year. All shareholders' assets have been lost. It has become seriously insolvent and has completely become a negative asset.

Because *ST HNA's audited closing net assets in 2020 were negative, and the company's 2020 financial report was issued a disclaimer of opinion audit report by PricewaterhouseCoopers Zhongtian, according to 13.3.2 of the "Shanghai Stock Exchange Stock Listing Rules"

According to relevant regulations, the company has triggered the corresponding situation of "listed company stocks being issued a delisting risk warning" and will be issued a delisting risk warning after the disclosure of the 2020 annual report.

According to regulations, if the net assets are negative for two consecutive years or a refusal (unavailable) opinion is issued for two consecutive years, the company will be suspended from listing for one year.

If the value is negative for three years, it will be delisted, that is, it will be withdrawn to the Third Board for trading.

In other words, unless *ST HNA introduces strategic investors to increase capital, it is very likely to be suspended from listing next year.

*ST HNA stated in the announcement that the company will actively introduce strategic investors to ease the company's financial pressure.

In addition, *ST HNA stated that the Hainan Provincial High Court has ruled on the creditors' reorganization application against the company on February 10, 2021, and the company is at risk of being declared bankrupt due to failed reorganization.

Global air passenger traffic is slowly recovering, and the darkest moment may be over. As of the evening of April 29, all major A-share listed airlines have disclosed their 2020 performance.

Affected by the global epidemic, domestic airlines have suffered losses without exception.

Air China lost 14.409 billion yuan, China Southern Airlines lost 10.842 billion yuan, China Eastern Airlines lost 11.835 billion yuan, *ST Hainan Airlines lost 64.003 billion yuan, and the total loss of the four airlines exceeded 100 billion yuan!

At the beginning of 2020, the novel coronavirus pneumonia epidemic had a huge impact on the global civil aviation industry, resulting in a sharp decline in global air transport volume, and the entire international aviation industry was facing an operating crisis.

The recovery of each country's air passenger market will depend on the global epidemic situation and various countries' epidemic prevention and control measures. According to the latest "Global Economic Outlook Report" of the International Monetary Fund (IMF), the road to recovery for the global aviation industry will be long and difficult, with passenger traffic expected to

It will not return to 2019 levels until 2024.

However, the darkest moment for airlines may be over.

Huachuang Securities recently released a review of the air transport industry's data for March 2021. It believes that the data in March have fully recovered, and the passenger load factors of various airlines have increased significantly year-on-year, emphasizing that spring for aviation stocks has arrived.

High-frequency data shows that the flight volume of various airlines has increased year-on-year this year, and the flight volume in April has exceeded the level of the same period in 2019.

a) Year-on-year in 2020: The flight volume of the three major airlines (Air China, China Southern Airlines, and China Eastern Airlines) in April increased by 186% year-on-year, Juneyao increased by 168% year-on-year, and Spring and Autumn increased by 88.3% year-on-year.

b) Compared with 2019: The flight volume of the three major airlines in April increased by 5.1% compared with the same period in 2019, Juneyao increased by 8%, and Spring and Autumn increased by 22.6%.

Industry flight volume has exceeded the level of the same period in 2019.

c) Since 2021, the flight volume of each airline company has achieved year-on-year growth.