Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Credit Analyst, Lucror Analytics

Chuanyi Zhou

Credit Analyst

Credit

Ronshine’s H1/21 results were in line with our expectations, especially as the company had noted in its previous investor presentation the weak profitability would take years to recover. Despite the decline in ASP, contracted sales growth was promising. Revenue recognition is slow, with Ronshine guiding for c. 7% growth for the full year. While there was no increase in debt, the credit profile remained weak, given the low profitability. Ronshine’s major drawbacks are the: [1] significant exposure for co-operation projects, both consolidated and unconsolidated; and [2] poor profitability, which will take time to recover, with expected gross profit margins of only 15-20% post-recovery (at the low end among developers). The very weak EBITDA has negatively impacted the credit profile. The company has a good liquidity profile, with Cash/ST Debt coverage of more than 1x, unutilised credit facilities, as well as quotas for the public credit market both onshore and offshore. We move our recommendation on the RONXIN 2022 Notes to “Buy” from "Hold".

  Ronshine’s H1/21 results were in line with our expectations, especially as the company had noted in its previous investor presentation the weak profitability would take years to recover. Despite the decline in ASP, contracted sales growth was promising. Revenue recognition is slow, with Ronshine guiding for c. 7% growth for the full year. While there was no increase in debt, the credit profile remained weak, given the low profitability.   Ronshine’s major drawbacks are the: [1] significant exposure for co-operation projects, both consolidated and unconsolidated; and [2] poor profitability, which will take time to recover, with expected gross profit margins of only 15-20% post-recovery (at the low end among developers). The very weak EBITDA has negatively impacted the credit profile.   The company has a good liquidity profile, with Cash/ST Debt coverage of more than 1x, unutilised credit facilities, as well as quotas for the public credit market both onshore and offshore.   We move our recommendation on the RONXIN 2022 Notes to “Buy” from "Hold". 

Ronshine - Earnings Flash - H1 FY 2021 Results - Lucror Analytics

Ronshine China Holdings

Ronshine - Earnings Flash - H1 FY 2021 Results - Lucror Analytics