Gross profit rate of construction machinery industry rose in the first quarter

Recently, three listed companies such as Sany, Xugong and China United announced a quarterly report. It can be seen from the data display that the net income of each company’s business and the shareholders of listed companies are still in a downward channel. Due to the "lagging" of the Spring Festival and the "two sessions" in March, the downstream demand of the construction machinery industry is sluggish. The demand for large-scale infrastructure and coal mines recovered slowly. Sales of auto-cranes, excavators, and loaders declined by 32.0%, 25.7%, and 19.0% respectively in the first quarter. Affected by this, the original competitive products of the six listed companies such as SANY have become the “culprits” that dragged down the company’s profits.

As the construction machinery industry is closely related to the investment in fixed assets and infrastructure construction, the decline in operating income and net profit of the six listed companies is obviously burdened by the macro environment. Among them, operating income of 11.13 billion yuan in the 311 quarters, net profit of 1.572 billion yuan attributable to listed companies, Xugong’s revenue of 6.623 billion yuan, net profit of 453 million yuan, Zoomlion’s revenue of 5.963 billion yuan, net profit of 592 million yuan. . Although in the first quarter of this year, no dark horses that had grown in contrarian conditions were killed, they also showed a welcome change in the quarterly reports of the six listed companies.

Increased gross profit rate, improved corporate earnings

In the first quarter of 2013, XCMG's consolidated gross profit margin was 21.45%, an increase of 0.8 percentage points year-on-year. Zoomlion's consolidated gross margin for the first quarter was 35.6%, which was 3.35 percentage points higher than that of 2012 and 3.5 percentage points higher than the first quarter of last year. The gross profit rate of concrete machinery business was 33.9%, compared with 32.8% in the same period of last year; as the price of steel decreased by 10 %, the gross profit rate of tower cranes increased by 2 percentage points; as the proportion of large digging sales increased, the gross profit rate of bulldozers and excavators increased by 6.4 percentage points, and the gross profit rate of road surface and piling machinery increased by 1.2 percentage points. Liugong benefited from the improvement of the company's product structure, and the proportion of high-margin product revenue increased. The company's comprehensive gross profit margin in the first quarter was 19.4%, up 2.5 percentage points from the previous quarter. Shantui's consolidated gross profit margin was 13.9%, a slight increase of 0.8% from the same period in 2012, and the company's comprehensive gross profit margin performance was also stable.

The six companies’ operating cost control was strengthened, and the lean management effect showed

According to Shen Ke, Deputy Chief Executive of Zoomlion, in 2013, the company will not only continue to make breakthroughs in the external market, but will also actively change its internal management, give full decentralization to all business units, implement a simulated joint-stock system, and implement it in the company as a whole. Strict cost control.

In the first quarter of this year, Zoomlion’s operating costs were 3.837 billion yuan, a decrease of 51.33% compared to the same period of last year; Xugong’s operating costs for the first three months were 5.202 billion yuan, a year-on-year decrease of 17.88%; and March-April’s operating costs were 7.445 billion yuan. The year-on-year decrease was 17.63%; Liugong's operating costs for the January-March period was 5.202 billion yuan, a year-on-year decrease of 17.88%. It can be seen that, in order to adapt to the rapid growth of China's macro economy, the relatively extensive development mode of China's construction machinery companies has quietly changed. It can be expected that the "slimming and successful" construction machinery enterprises will continue to work hard and make great efforts. before.

Concentration of the industry is further enhanced, and the trend of the strong and strong

In the first quarter of this year, the XCMG graders relied on Xugong to construct the overall advantages of the maintenance machinery and its own brand, and the sales volume in the single season rose against the trend. The domestic market share reached over 50%, creating a record high and continuing to maintain the leading position in the industry; Shantui Company The share increased by 4.6 percentage points to 66.78%. The road rollers achieved sales of 245 units, and the market share was 7.85%, which was 0.8% higher than that in 2012. Trinity products still maintained market competitiveness in a weak background, and the sales of concrete machinery remained stable. Ranked first in the world, excavators, crawler cranes, rotary drilling rigs, pavers and other products continued to maintain their market share in the domestic market first. If according to 2015, the sales volume of China's construction machinery industry will reach 900 billion yuan, the engineering machinery enterprises of the scale of 100 billion will no longer be only XCMG, and the gap between Chinese domestic brands and international construction machinery giants will be further reduced.

Although the sales data of construction machinery in the first quarter was not satisfactory, the recently released April excavator data was encouraging. The declining momentum since May 2011 has finally come to an end this month. In April, the excavator sold a total of 16,739 units (including exports), up 5% year-on-year. Although it is still too early to tell whether the construction machinery industry is picking up, new products that have emerged from the beginning of the year also show us that China’s construction machinery companies have never lost momentum—after all, “This world has never been truly In the sunset industry, there is only the thinking of the sunset.” Continuous innovation, attention to customer needs and more scientific management of internal control – “Iron Man” who once created a miracle is planning a day of complete reversal.