In the economic downturn, the performance of construction machinery has ushered in good results.
According to incomplete statistics, more than 10 domestic construction machinery enterprises have successively distributed "report cards".
According to the announcement, nearly 8 percent of enterprises have achieved a "double increase" in revenue and net profit. Among them, the net profit of Weichai Power, Zoomlion and CIMC Vehicles increased by more than 50% year-on-year.
The performance of enterprises has risen sharply, does it mean that the industry has ushered in a new rebound cycle?
Recently, construction machinery stocks have generally strengthened, and some have come out of new highs, such as Liugong.
Regarding the direction of construction machinery, or usher in three benefits.
Device updates
The customs department has recently released the implementation plan and detailed rules for equipment renewal, aiming to activate the stock market and promote the upgrading of equipment in the industrial field.
By 2027, industrial equipment investment is expected to increase by more than 22% compared with 2023, and the penetration rate of industrial digital R&D and the automation rate of key processes will reach more than 90% and 75% respectively.
The Ministry of Housing and Urban-Rural Development has issued a work plan for the renewal of construction and municipal engineering equipment, focusing on residential elevators, water supply and heating, and energy-saving renovation of buildings, aiming to eliminate old equipment such as excavators, cranes and loaders that have been used for more than ten years.
At present, about 20% of excavators have been used for more than ten years, and it is expected that the annual demand for more than 100,000 units will be updated in the next three years from 2025 onwards.
outlet
In 2023, the total sales volume of construction machinery products in mainland China will be 601151 units, mainly lifting work platforms, excavators and loaders, and the sales volume of the three major categories in 2023 will account for 34%, 33% and 17% respectively, accounting for 84% in total.
Among them, excavator sales accounted for about 1/3, which is consistent with the overall global situation.
According to statistics, the total sales of the top 50 global construction machinery manufacturers in 2023 will be 223.806 billion US dollars, of which the top 20 enterprises in the excavator business will have a total sales of 65.047 billion US dollars, accounting for 29.06% of the total sales of the top 50 global construction machinery manufacturers, nearly one-third.
In the past three years, the export pattern of construction machinery in the mainland has been relatively stable, and Asia is the main export area of construction machinery in the mainland.
From January to November 2023, the cumulative value of mainland construction machinery exports to Asia was 17.97 billion US dollars, a year-on-year increase of 8.22%, accounting for 40.27%;
followed by Europe, with a total export value of 11.82 billion US dollars, a year-on-year increase of 26.7%, accounting for 26.49%;
Again, North America, South America, Africa and Oceania, with a cumulative export value of US$4.734 billion, US$4.12 billion, US$4.068 billion and US$1.91 billion respectively;
The cumulative export value increased by -6.88%, 8.26%, 14.8% and -2.7% year-on-year respectively, and the cumulative export value accounted for 10.61%, 9.23%, 9.12% and 4.28% respectively.
Despite the decline in export volumes, the revenue of OEMs such as Sany Heavy Industry and Zoomlion still maintained growth.
The demand in Southeast Asia is weakening, but the medium- and long-term potential is huge, while the Russian-speaking market is growing strongly and the South American market is gradually recovering.
Ōki-hsien
The State Council promulgated the new "National Nine Articles", and then proposed to formulate market value management guidelines and dividend requirements for listed companies.
Combined with the previous comprehensive promotion policy of central enterprise market value management, it is expected that the follow-up assessment plan of central enterprises is expected to be gradually implemented, and the supervision and management of cash dividends will be increased, and we are optimistic about the intrinsic value improvement and market return performance of engineering and construction central enterprises in the future, and low-valuation engineering and construction central enterprises are expected to fully benefit.
(Summarize related industry chain stocks, not recommended)
Sany Heavy Industry: a leading domestic construction machinery;
Liugong: The main business is the research and development, production, sales and service of construction machinery and key components, and it is the first listed company of construction machinery in China.
Zoomlion: one of the leading engineering equipment in China;
Hengli Hydraulics: domestic hydraulic parts leading (supporting excavators);
XCMG Machinery: the world's leading crane;
SINOMACH: One of the largest major technical equipment research and development bases in China.