On March 31, Dongfeng Motor Co., Ltd. released its 2021 annual report.
According to the annual report, Dongfeng Motor's revenue in 2021 was 15.55 billion yuan, an increase of 13.23% year-on-year; the net profit attributable to the mother was 372 million yuan, down 32.84% year-on-year.
As for the reasons for the decline in profits, the annual report pointed out that due to the impact of the increase in raw material prices and the shortage of chips during the reporting period, the gross profit margin of the company's products declined. as well as a large impairment of accounts receivable during the reporting period, resulting in a decline in profit.
In 2021, in the face of complex market conditions, the company continued to focus on the customer-centric, market-oriented business philosophy, and with the joint efforts of the management level and all employees, successfully overcame the impact of adverse factors such as repeated epidemics, chip shortages, and rising market conditions, and achieved good business results.
Dongfeng Yufeng sold more than 8,000 light passenger exports throughout the year, an increase of 70%.
Dongfeng Motor co., Ltd. achieved car sales of 182,723 units in 2021, an increase of 6.56% year-on-year, outperforming the market, and car sales have maintained growth for five consecutive years. In the field of commercial vehicles, in 2021, Dongfeng Motor co., Ltd. sold 182269 commercial vehicles in the whole year, of which 155,366 light trucks were sold, an increase of 3.68% year-on-year, and 16,452 buses were sold, an increase of 113.55% year-on-year. Among them, Dongfeng Yufeng European light passenger actively expanded the market, 2021 annual sales of 8,017 vehicles, an increase of 43.01%; sales of bus non-complete vehicles 10,451 units, down 23.54% year-on-year, bus chassis to overcome the impact of the continuous decline in the market, chassis market share continued to increase, further consolidating the industry's first position.
In overseas markets, Dongfeng Motor co., Ltd. will export 5,021 vehicles in 2021, an increase of 56.91% year-on-year. Among them, 332 export buses were exported, down 3.21% year-on-year; 35 non-complete vehicles of export buses, down 54.55% year-on-year; and 4,654 light trucks were exported, an increase of 70.48% year-on-year.
In 2021, the company's advantages will be comprehensively improved and a number of projects will be completed
During the reporting period, the company deepened technological innovation, vigorously promoted product upgrading, strengthened cost reduction and efficiency increase, continued to deepen reform, and further enhanced the company's comprehensive competitiveness.
In terms of technology research and development, Dongfeng Motor Co., Ltd. continues to strengthen its advantages. The company attaches long-term importance to technology research and development investment, has an independent research and development organization, clearly focuses on the development of LCV business, and establishes and improves the R&D system for the market and customers by continuously strengthening investment in product research and development.
In terms of cooperation model, Dongfeng Motor Co., Ltd. adopts a diversified cooperation model. Through in-depth cooperation with Nissan, Cummins and other foreign joint venture partners, the company actively borrows from the Sino-foreign joint venture model and experience. Through deepening cooperation with foreign joint venture partners in technology, products and services, brand image and management model, the company's overall competitiveness has been enhanced.
In the development of new energy products, the company has begun to develop new energy vehicle products since 2005, and is the earliest enterprise engaged in new energy demonstration operations and the earliest enterprises to realize the commercialization of new energy in China. At present, the company's new energy products cover multiple market segments such as buses, highways, urban logistics, and special vehicles.
As the undertaker of the entire Dongfeng Group LCV business, the company relies on the internal technology research and development, parts procurement, marketing platform and other resource advantages of the Dongfeng Group to actively realize the resource sharing and synergy effect within the Dongfeng Group.
In 2021, Dongfeng Motor completed the research and development of a number of important projects:
Strategic Project Advancement: Focus on T22 and T23 project development. Mass production of the T22 gasoline model in December 2021 lays the groundwork for a increase in sales of small trucks in 2022. The T23 project has been steadily advanced, and the vehicle has achieved results in lightweighting.
Adaptive development is in full swing: the T15 project continues to reduce costs and weight, and the revenue of the vehicle has increased significantly. T17 comprehensive layout, China VI independent power layout 2/3/4 tons platform, the development of multi-zone models. The T17B has developed a number of models to lay the foundation for a sales boost in 2022. B19 New Blue Brand / China VI was put on the market and successfully realized the model change. Established a suizhou special vehicle team to improve customer and market problems and improve customer satisfaction.
Vans continue to improve the commodity line: The Royal Wind V9 project contributed more than 70% to the sales of new products in China VI, and the interior and exterior decorations of the major overhaul project were renewed, and the automatic transmission models were developed synchronously, which greatly enhanced the competitiveness of goods.
In 2022, we will target 200,000 vehicles to accelerate our digital transformation
2022 is a key year in the 14th Five-Year Plan, and Dongfeng Motor co., Ltd. is ambitious, setting a target of selling 200,000 vehicles and generating revenue of 17.4 billion yuan. In order to achieve this goal, Dongfeng Motor will strive for the following six aspects:
1. Actively seize the market and persistently improve the ability of the marketing system. Focus on market segments and customer needs, promote breakthroughs in key markets and products, and seize the incremental market and the stock market through new product launch and commodity competitiveness improvement.
2. Adhere to open source and reduce expenditure, and promote the company to achieve high-quality development. Increase sales of high-yield models, optimize sales structure, increase cost reduction efforts, and improve bicycle profit margins. Continuously optimize the personnel expense ratio, strengthen the coordination of R&D resources, improve the efficiency of product development, precision marketing, and improve the efficiency of sales resources. Focusing on the three capacity buildings of service support, network service and customer maintenance, we will optimize the spare parts sales system and improve the profitability of the aftermarket.
3. Improve quality and efficiency, and continuously enhance the company's operational efficiency. Based on customer needs, accurately locate product segments, and establish a dynamic monitoring system for parts and model correlation indicators through parts map integration and optimization to improve product efficiency. Thoroughly implement the alliance production method, committed to the pursuit of quality, cost, delivery and customer at the same time, in product development, order delivery and customer service efficient collaboration, continue to promote cost reduction and efficiency, improve manufacturing efficiency. Focus on "efficiency, talent, and vitality", continue to build a cadre management mechanism that can be completely up and down, a thorough performance-oriented salary incentive mechanism, and a market-oriented labor management mechanism to improve management efficiency. Expand cooperation with various financial institutions, develop diversified and customized auto finance products, strengthen dealer profitability analysis, extend cash flow management to dealers, and improve financial efficiency.
4. Accelerate process reengineering and promote the digital transformation of the whole value chain. Focus on customer value improvement and data empowerment of the whole value chain, promote the digital transformation of "product + service", and achieve "three online, three through".
5. Establish a long-term mechanism to improve the level of risk management. Strengthen internal control, prevent risks, promote compliance, and boost the company's high-quality development. The first is to take the prevention of major risks of the company as the guide, carry out risk management, and ensure that the risks are "visible and manageable"; the second is to take the compliance evaluation and internal control evaluation as an opportunity to enhance compliance awareness and promote compliance operations; the third is to adhere to the problem orientation and promote the rectification and implementation of inspection problems.
6. Consolidate basic management and improve the level of corporate governance. Through innovative management ideas and management methods, strict implementation of management standards and management assessment, comprehensively improve the basic management capabilities and refined management level.