Zoomlion's Fully Demonstrates its Development Resilience and Potential
August 30,2024
On the evening of August 29, Zoomlion released its 2024 semi-annual report. The report shows that the company achieved operating income of 24.535 billion yuan in the first half of the year, a year-on-year increase of 1.91%, and overseas income of 12.048 billion yuan, a year-on-year increase of 43.90% (of which exports increased by 51.95% year-on-year); the net profit attributable to the parent company's shareholders was 2.288 billion yuan, a year-on-year increase of 12.15%, of which the net profit attributable to the parent company's shareholders in the second quarter was 1.372 billion yuan, a year-on-year increase of 11.54%. The company's share-based payment expenses in the first half of 2024 totaled 481 million yuan, compared with 38 million yuan in the same period last year. After excluding the impact of share-based payment expenses, the net profit attributable to the parent company and the net profit attributable to the parent company after deducting non-recurring items increased by 30% and 10% year-on-year respectively in the first half of the year.
In recent years, the company has achieved remarkable results by promoting its globalization strategy and expanding its industrial echelons on the basis of adhering to high-quality development. The proportion of the company's overseas revenue and the proportion of revenue from emerging industries have increased rapidly to 49.10% and 48.28% respectively, and the sales revenue of new energy products is about 3.5 billion yuan, accounting for about 15%. The sources of income and profits are more diversified and stable, which further enhances the company's core competitiveness and demonstrates strong sustainable development resilience and huge development potential.
Industrial sectors compete for development
The industry status of emerging sectors continues to improve
In the first half of the year, Zoomlion accelerated the development of new quality productivity, accelerated the cultivation and expansion of emerging sectors, further optimized the product structure, formed a pattern of coordinated integration and competitive development of traditional advantageous industries and emerging industries, further strengthened the strategic execution, and highlighted the overall strategic effectiveness.
The market position of the company's three traditional advantageous industries, concrete machinery, engineering hoisting machinery, and construction hoisting machinery, is stable, the industry concentration is further improved, and sustainable competitiveness is forged; earth-moving machinery, aerial machinery, agricultural machinery, mining machinery and other emerging sectors are competing for breakthroughs, and they have achieved rapid growth year-on-year. The industry status of each has been significantly improved, accounting for a total of 48.28% of the company's revenue, and this part of the revenue has increased by 28.12% year-on-year, contributing a new growth pole.
The revenue of earth-moving machinery increased by 19.89% year-on-year. In the early stage, the company focused on the medium and large excavation strategy. Relying on the world's leading "lighthouse factory", the key performance of the products continued to lead, and the market share of medium and large excavators ranked at the forefront of the industry; the product spectrum of super-large excavators and micro-excavators has been quickly supplemented, and the expansion of the electric spectrum has been accelerated to cover the full range of products; the upgrade of the micro-excavator production workshop and the structural parts workshop is expected to be completed within the year, and the cost will be further reduced by then, preparing for the company's full entry into the domestic micro-excavator market.
The revenue of aerial machinery increased by 17.75% year-on-year. It is the domestic aerial machinery equipment manufacturer with the most complete models. The innovation ability of technology and products continues to strengthen, especially in the fields of electric products, arm products, and ultra-high-meter products. The company continues to maintain competitive advantages in the high-value and high-tech fields; in the first half of the year, it focused on overseas, designed and developed products for the global market, further improved its international market competitiveness, accelerated breakthroughs in North America and Europe, and sales were in short supply.
Agricultural machinery revenue increased by 112.51% year-on-year. The company fully relied on its engineering machinery resource advantages, optimized its product structure, vigorously promoted product upgrades and integration, and improved production and efficiency in all aspects. It successfully launched a new generation of high-end, intelligent, and new energy products such as 300-horsepower tractors and 350-horsepower hybrid tractors, accumulating new momentum for the sustained growth of agricultural machinery development.
Mining machinery revenue also grew rapidly year-on-year. The wide-body vehicle used a 765-horsepower engine for the first time, and the world's first 100-ton hybrid wide-body vehicle was created and exported overseas in batches. At the same time, the independently developed 100-ton domestically produced electric transmission mining dump truck was also successfully launched.
The global layout continues to improve
Export growth rate remains the leader
In the first half of 2024, the company's overseas revenue was 12.048 billion yuan, a year-on-year increase of 43.90% (of which exports increased by 51.95% year-on-year), and the proportion of overseas business revenue reached 49.10%, a significant increase of 14.32pct from the first half of 2023.
In recent years, Zoomlion has accelerated the globalization strategy of "end-to-end, digitalization, and localization", and its overseas revenue has continued to grow and its proportion has reached a new high. The company has accelerated its transformation overseas, making full efforts in R&D, manufacturing, supply chain, products, services, and talents, and continuously promoting the localization of overseas business. The global sales network, service network, and supply chain system have been continuously improved, and the brand competitiveness has continued to improve.
From the perspective of the regional structure of overseas sales, the company's revenue sources have become more diversified. The Middle East, Southeast Asia, and Central Asia continue to maintain a growth rate higher than the industry average; South America, Africa, and India achieved rapid growth in the first half of the year, becoming a new driving force for overseas business growth; the overall average growth rate of developed markets such as the European Union, North America, Australia and New Zealand has been rapid, and the proportion of the company's export revenue has increased significantly.
More and more new overseas outlets of the company have been implemented from planning. During the period, the company completed the layout of multiple first-level outlets. As of the end of June, the company has completed the layout of about 400 overseas outlets, and the number of overseas bases and factories has accumulated to nearly 15, and the localization development has reached a new level.
Leading profitability
The business quality is one of the best in the industry
The company has always adhered to the high-quality development route and the positioning of mid-to-high-end products. In the first half of the year, the company not only achieved double-digit growth in net profit, but also led the industry in gross profit margin and net profit margin attributable to shareholders, which were 28.31% and 9.33% respectively. Among them, the gross profit margin of the engineering machinery segment was 29.23%. These three indicators increased by 0.41pct, 0.85pct and 1.07pct year-on-year, respectively, reflecting the company's competitive advantages in R&D, technology, products and brands.
During the period, the company further strengthened risk control and tightened business policies, and did not make price and business concessions in exchange for sales. At the same time, through end-to-end and digital management of the entire business process, the business quality continued to improve, maintaining the industry's top level and forging sustainable development competitiveness. The company's full payment sales ratio increased by 2.58pct, the installment period was shortened by 10.63 months, and the down payment ratio of domestic sales increased by 5.38pct. The comprehensive collection rate was 110.32%, an increase of 2.52pct year-on-year, and the net cash flow generated by operating goods and services increased by 5.13% year-on-year. At the same time, accounts receivable and long-term receivables decreased by 738 million yuan and 3.103 billion yuan respectively compared with the end of the first quarter. Inventories decreased by 477 million yuan from the end of the first quarter, remaining within a reasonable and safe range.
Source : www.51cm.com
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Tags : Zoomlion
