A stock market heat wave hit China's traditional car rental giant. Following Shenzhou Car Rental's landing in the Hong Kong Stock Exchange in September, a car hire announced in October that it had submitted an IPO application to the US New York Stock Exchange . Despite a loss of 20.7 million yuan in the rental car company in the first half of 2014, the US capital market is still more enthusiastic about its 200 million U.S. dollars financing application.
Synchronous private equity participation in IPO, Dongfeng Asset Management Corporation and Kunlun Capital Limited. According to news, other cornerstone investors are actively buying.
One advantage of renting a car is that the production value of the bicycle is high. Although on the face of it, once the loss of car rental, the main business is far less than the car rental in China, but its bicycle income and occupancy rate is in the leading position in the industry. Relevant data show that in the first half of 2012, 2013, and 2014, the average daily income of a rental car was 145 yuan, 156 yuan, and 160 yuan respectively, and the average short-term rental rate remained at around 70%; Car rental orders are increasingly attracting the attention of mobile clients. More than 30% from mobile clients, about 55% from the official website.
With the development of business, the rental income of a rental car company is continuously increasing and losses are continuously narrowing. In 2013, the rental income from car rental was 566 million yuan, a year-on-year increase of 25.8%. In the first half of 2014, the rental income from car rental was 3.85, which was 261 million yuan in the same period of last year. From the perspective of profitability analysis, in the first half of 2012, 2013, and 2014, the loss of car rental continued to drop, which was 178 million yuan, 152 million yuan, and 20.7 million yuan respectively. Among them, a car rental car had a net loss of 2.85 million in the second quarter of 2014, a decrease of 84% from the previous quarter and a decrease of 94% from the same period of last year, setting a record of the lowest loss in the past three years.
A car rental program uses IPO financing to expand its fleet and service network. At present, the size of a rental car is far less than that of a Shenzhou car. According to public statistics, in the first half of 2014, there were 760 service outlets in 90 cities across the country, with a fleet size of 15,409 vehicles; China Car Rental Co., Ltd. owns 52,498 vehicles and has 717 direct-operated stores in 70 major cities across the country. There are 202 franchise service outlets in 162 smaller cities.
The outside world is still optimistic about the Chinese car rental market. In 2013, the domestic online car rental market had a transaction volume of 3.42 billion yuan, a year-on-year increase of 69.5%. According to a report from Roland Berger, the penetration rate of the Chinese car rental market in 2013 was only 0.4%, far below the 2.5%, 1.6%, 1.4% and 1.3% of the United States, and Brazil. In the next five years, China's short-term self-driving business will grow at an annual rate of 27%. By 2018, the Chinese market will reach 18.3 billion yuan.