"Policy and Market Resonance Improve the Boom of the Construction Machinery Industry"
Recently, the construction machinery sector in the secondary market has continued to strengthen, and the stock prices of many stocks have reached record highs; in March, the domestic sales of excavators, the main product of construction machinery, ushered in long-lost positive growth year-on-year. . Various signals indicate that the construction machinery industry is picking up.
Domestic market expectations are good. It is currently the period for the disclosure of annual reports and first quarter reports. The performance of most construction machinery companies is very impressive, conveying a strong sense of warmth in the construction machinery industry. In 2023, overseas market demand will continue to increase, Chinese brands will become more competitive in overseas markets, and the export sales of the construction machinery industry will maintain high growth. The outstanding performance of overseas business has become an important factor in the performance growth of construction machinery companies last year.
Zoomlion achieved operating income of 47.075 billion yuan in 2023, a year-on-year increase of 13.08%; net profit attributable to the parent company was 3.506 billion yuan, a year-on-year increase of 52.04%; gross profit margin increased by 5.7 percentage points year-on-year. During the reporting period, the company's overseas revenue increased by more than 79.2% year-on-year.
Liugong predicts that its performance will increase significantly in the first quarter of this year, with net profit attributable to the parent company reaching 457 million yuan to 536 million yuan, a year-on-year increase of 45% to 70%. LiuGong said that in the first quarter, both the international and domestic market revenue growth outperformed the industry. In particular, the revenue share of the international market further increased to about 50%, and profitability increased steadily, which promoted the company's operating performance to significantly increase.
Hangcha Group achieved revenue of 4.172 billion yuan in the first quarter, a year-on-year increase of 6.17%; net profit attributable to the parent company was approximately 379 million yuan, a year-on-year increase of 31.16%.
On April 9, seven departments including the Ministry of Industry and Information Technology jointly issued the "Implementation Plan for Promoting Equipment Updating in the Industrial Sector", proposing that by 2027, the scale of equipment investment in the industrial sector will increase by more than 25% compared with 2023. The Ministry of Housing and Urban-Rural Development recently issued the "Notice on the Implementation Plan for Promoting the Updating of Building and Municipal Infrastructure Equipment", which clearly requires the updating and elimination of construction equipment that has been used for more than 10 years, has high pollution, high energy consumption, serious aging and wear, and is technologically backward. Excavation, lifting, loading, concrete mixing, lifts, bulldozers and other equipment (vehicles).
According to data from the Huicong Engineering Machinery Network, there are 388,000 excavators, loaders, forklifts, and road rollers with equipment below National II standards (use life of more than 10 years), 388,000 units, 362,000 units, 757,000 units, and 34,000 rollers,
accounting for 2023 19.79%, 37.84%, 13.35%, and 23.78% of the annual holdings. The industry predicts that 70%-80% of old equipment will be eliminated in the future, and 20%-30% of old equipment will need to be replaced with new ones.
Industry insiders said that as the policy effects gradually emerge and the demand for updates continues to be reflected, leading companies are expected to be the first to stabilize by virtue of their scale advantages, industrial layout advantages, and reform dividends.
Continue to focus on overseas markets. In the new "three modernizations" strategy, "internationalization" has been upgraded to "globalization". The Chinese construction machinery market is part of the global market. Overseas markets such as the North American market and the European market are parallel to the Chinese market. , is equally important in investment. " said Cai Shenglin, Secretary of the Board of Directors of Sany Heavy Industry.
It is understood that Sany Heavy Industry has got rid of the simple product export model and has carried out localized manufacturing layout in the global market. "We have intelligently upgraded our factories in the United States. In the next step, we will intelligently upgrade existing factories in Europe and India. In 2024, our factory in South Africa is expected to be completed." said the person in charge of Sany Heavy Industry's overseas operations headquarters Introduced by Li Qin.
Among them, the "Sany South Africa Headquarters Base" project has broken ground. The base is positioned as a regional manufacturing center, logistics center and talent center. The project investment is 300 million rand and is expected to be completed by the end of 2024. By then, it will be able to produce 1,000 excavators and other projects per year. Equipment. Sany Heavy Industry has also established R&D centers overseas in order to better explore overseas markets. "We have established global R&D centers in the United States, India and Europe, using local talents to link up with China to conduct product research and development to better serve global customers." Li Qin said.
Zoomlion has also stepped up its efforts to “go overseas”. Tao Zhaobo, Secretary of the Board of Directors of Zoomlion, told reporters that in 2024, the company will firmly "go overseas" and continue to use global village thinking to promote overseas changes, build an overseas business system based on end-to-end, digitalization, and localization, and continue to promote leapfrog overseas business. develop. The market share of Zoomlion's products in overseas markets is in a period of rapid growth, and exports have doubled for two consecutive years. The company's overseas sales areas are mainly countries and regions co-building the "Belt and Road" and developing countries. At the same time, it will also actively expand markets such as Western Europe and North America. As of the end of 2023, the company has built more than 30 first-level business airports and more than 350 second-level outlets around the world. The construction of outlets has spread from regional centers to important cities. The total number of overseas localized employees worldwide exceeds 3,000, and its products cover more than 140 countries and regions. " said Huang Chengya, deputy general manager of Zoomlion Overseas Company.
Taking 2023 as an example, Zoomlion's overseas business has shown a strong growth trend from partial breakthroughs to comprehensive efforts and comprehensive results. Effective breakthroughs have been achieved in key markets, localization development strategies in key countries have achieved remarkable results, and product market share has increased rapidly. Engineering hoisting machinery has become the brand with the highest market share in Turkey and Central Asia; Jianjian products have maintained its leading position in the Turkish market; markets such as Saudi Arabia, Malaysia, Vietnam, and Kenya have rapidly increased their market share through localized efforts. In 2023, Zoomlion's overseas revenue will reach 17.905 billion yuan, a year-on-year increase of 79.2%, and the proportion of overseas revenue will further increase to 38.04%, a record high.
Huang Chengya said that Zoomlion will continue to deepen its "end-to-end, digital and localized" overseas business system. "In the future, the huge space in overseas markets will continue to provide the company with solid growth momentum."
