A beautiful transcript made the A-share mechanical sector attract attention in the latest mid-term forecast. The three major machinery giants handed over a satisfactory answer to the shareholders within six months.
According to Sany Heavy Industry, in the first half of 2019, the company’s net profit attributable to shareholders of listed companies was 6.5 billion yuan to 7 billion yuan, an increase of 3.1 billion yuan to 3.6 billion yuan compared with the same period of the previous year, an increase of 91.82% over the same period last year. To 106.58%; Zoomlion (Hong Kong stocks 01157) expects net profit attributable to shareholders of listed companies in the first half of this year to be 2.4 to 2.7 billion yuan, a substantial increase of 171% to 212%; Xugong Machinery also expects that in the first half of this year The net profit attributable to shareholders of listed companies was 2.1 billion to 2.4 billion yuan, an increase of 90.21% to 117.39% compared with the same period of the previous year.
“From the macroeconomic data, China’s fixed-asset investment growth rate in the first half of this year is generally in a downward stage. The main reason for the good performance of the three companies is directly related to the customer’s replacement of the stock equipment.” CITIC Jiantou Securities (Hong Kong stock 06066) machinery Lu Juan, chief analyst of the building materials industry, told the Securities Daily reporter.
“Sany is the leader of the excavator industry. Zoomlion has a large proportion of the concrete machinery industry. XCMG has a certain influence in the field of cranes. In the field of construction machinery, the demand for excavators always precedes cranes and concrete mixers. Therefore, the performance of these three companies will have a certain correlation.” Shen Qianhong (Hong Kong stocks 06806) Securities Research Institute chief analyst Han Qiang told the “Securities Daily” reporter.
Not only the three leading enterprises, but the construction machinery related enterprises have also developed rapidly in the first half of this year, and the “Excavator Index” has risen.
According to the statistics of China Construction Machinery Industry Association, in the first half of 2019, 25 mainframe manufacturing enterprises that included statistics sold a total of 137,000 excavators, an increase of 14.2% year-on-year. The domestic market (excluding Hong Kong, Macao and Taiwan) sold 125,000 units, up 12.3% year-on-year; the export sales volume was 12,000 units, up 38.7% year-on-year, and the various types of loaders sold also hit a new high in the past five years.
“The ‘going out’ policy has brought tremendous opportunities to China’s machinery industry; for some traditional machinery industries in the past, in addition to their own upgrades, the relevant policies have also provided them with a market to release production capacity,” Strong said.
In the mechanical industry research report released at the end of July this year, CITIC Securities pointed out that in recent years, with the improvement of the competitiveness of its own products, domestic leading brands are gradually opening up overseas markets. “Mechanical equipment has a wide range of applications in various fields. In the future, there will be a large space for development in overseas markets, such as lithium, photovoltaic, semiconductor, 3C and other emerging sectors of the machinery industry. In the future, there will still be huge markets and opportunities in China.” Strong said.
Recently, Zhongwei, a semiconductor equipment supplier that just landed on Kechuang board, released its first-half financial report. In January-June, it achieved revenue of 801 million yuan, a year-on-year increase of 72.03%. The same batch of lithium-ion industry enterprises that landed on the board. In the first half of the year, Rongrong achieved operating income of 1.949 billion yuan, a year-on-year increase of 45.12%. The leading company in the photovoltaic industry, Tongwei, was also disclosed in the semi-annual report. The company’s total revenue in the first half of 2019 was 16.12 billion yuan, a year-on-year increase of 29.4%.
“The pursuit of high-quality development is the theme of current economic development. In the second half of this year, the development of the infrastructure industry will bring development opportunities to the construction machinery industry, and the competitive landscape of domestic leading manufacturers will be further optimized.” Lu Juan said, at the same time, including New overseas markets will also bring more opportunities to the domestic construction machinery industry.
“In the future, with related equipment in the lithium battery, semiconductor, photovoltaic and other industries, with the recovery of the downstream industry, it will also usher in important development opportunities.” Lu Juan said.