On April 16, the 2023 annual results briefing of China Construction West Construction Co., Ltd. was held in China Securities Journal and China Securities Network. In 2023, the company will achieve operating income of 22.863 billion yuan and net profit attributable to the parent company of 645 million yuan, a year-on-year increase of 16.11%.
According to public information, Western Construction is a leading comprehensive service provider in the building materials industry in China, the main product is ready-mixed concrete, the company focuses on ready-mixed concrete and related businesses, on the basis of the development of core business, is committed to the creation of industrial ecology, showing a good trend of diversified development.
In recent years, Western Construction has ranked second in China's ready-mixed concrete industry and is the largest professional ready-mixed concrete listed company in China. According to the annual report, in 2023, the production and sales volume of the company's ready-mixed concrete products will be 58.4876 million cubic meters, a year-on-year increase of 4.41%. The gross profit margin of the company's ready-mixed concrete products was 11.26%, a year-on-year increase of 0.9 percentage points, mainly due to the year-on-year decline in the cost of main raw materials of the products.
Wu Zhiqi, chairman of Western Construction, said that in recent years, the company has continued to improve the market layout of Beijing-Tianjin-Hebei, Yangtze River Delta, Guangdong-Hong Kong-Macao Greater Bay Area and other places, and in 2023, the company will add 16 concrete production grassroots sites in the above regions, and enter 5 blind spot cities in the early stage such as Dongguan and Zhongshan for the first time. In 2023, the company achieved a contracted volume of 63.55 million cubic meters in strategic areas, a year-on-year increase of 21%. The sales volume in Beijing, Shanghai and Guangdong regions has grown rapidly, with a year-on-year increase of more than 60%, of which the proportion of revenue in Guangdong in 2023 has increased from 3.90% in the previous year to 7.16%, accelerating the flow of factors, optimizing the layout of productivity, and expanding the company's future growth space.
Looking to the future, Wu Zhiqi said that the company will continue to work in accordance with the established overall layout of "one body and two wings". "Integration" refers to the development and coordination of domestic and international markets, and the focus on accelerating the investment layout and market development of major national strategic regions, and the coordinated promotion of urban business and out-of-city infrastructure business. "Two wings" refers to industrial chain synergy and "Internet +" synergy. During the "14th Five-Year Plan" period, in accordance with the requirements of the layout of strategic emerging industries, the company focused on increasing the business development of admixtures, sand and gravel aggregates, and industrial Internet on the basis of adhering to the "integration", so as to become stronger, stronger and bigger, and optimize the business structure.
The scene of the 2023 annual performance briefing of Western Construction Image source: Photo by a reporter from China Securities Journal
Guest of honor at the performance briefing
Wu Zhiqi, chairman of the board of directors of Western Construction
Bai Jianjun, director and general manager of Western Construction
Shao Juyang, Director, Chief Financial Officer and Chief Compliance Officer of Western Construction
Zhang Haixia, independent director of Western Construction
Hu Lizhi, Deputy General Manager and Chief Information Officer of Western Construction
Han Chunmin, Secretary of the Board of Directors of Western Construction
frequently asked questions
Q: As an industry leader, what is the company's core competitive advantage?
Answer: The company's core competitive advantages are mainly reflected in six aspects: First, the advantage of platform resources. The company is the first independently listed professional company built by China State Construction, and the only development platform for ready-mixed concrete business, with rich market resources.
The second is the advantage of service capabilities. The company has been focusing on ready-mixed concrete and related businesses for a long time, and has a complete industrial chain, which can effectively meet the diversified and personalized service needs of customers.
The third is the advantage of regional layout. The company adheres to the "regionalization" development strategy, and has established strong production and supply capacity in 26 provinces (autonomous regions and municipalities directly under the central government) and many overseas countries, and is one of the enterprises with the widest regional layout of domestic concrete enterprises.
Fourth, the competitive advantage of talents. The company adheres to the people-oriented, accelerates the reform of the talent development system and mechanism, and jointly establishes entrepreneurship and employment practice bases and talent training bases with many well-known domestic colleges and universities, and coordinates and promotes the construction of various talent teams.
Fifth, the advantages of technology research and development. The company has established close industry-university-research relations with Tsinghua University, Wuhan University, Sichuan University, Chongqing University, China Academy of Building Research and other well-known universities and research institutions. It has the industry's first national postdoctoral research station, 1 national-level recognized enterprise technology center, 14 provincial-level scientific research platforms, and established the Building Materials Science Research Institute to continuously promote strategic core technology research and new industrial technology research.
Sixth, the advantages of green production. The company will run the concept of "green environmental protection" through the entire product life cycle and the whole business process, the first "zero emission" and "garden-style" factory in the industry, and the products have obtained the "China Environmental Product Label Certification" and "Three-star Green Building Materials Evaluation Label", and entered the government directional procurement list.
Q: What is the company's development layout in strategic emerging industries?
Answer: Strategic emerging industries are based on major technological breakthroughs and major development needs, and are of great significance to the overall economic and social situation and the long-term development of the company itself. Judging from the classification catalogue of the new industries released by the National Bureau of Statistics, the concrete industry involves about 5 new industries, more than 90 national economic industries, and key products and services determined by more than 200 countries, and the company has a lot of room for development and potential opportunities.
Specifically, the company will focus on product innovation of concrete, chemical building materials, building materials mining, digital economy, etc., strengthen the transformation of scientific and technological achievements, accelerate the incubation and cultivation of new businesses, and try to increase the proportion of new business revenue year by year, and cultivate new growth momentum and growth curve for the construction of the western region.
Q: How is the company's ESG work currently underway?
A: The company successfully disclosed the "2022 Environmental, Social and Corporate Governance (ESG) Report" in May last year, which is the first ESG report released by the company, showing the company's practice and effectiveness in the ESG field in recent years. The company's first ESG report organically combines the company's "big concrete culture" with sustainable development, highlighting the company's cultural heritage while comprehensively conveying the company's sustainable development concept, actions and performance to the outside world. After the release of the report, the company held an ESG work promotion meeting for the first time, and organized ESG special training, which deepened the awareness and understanding of ESG in various business systems, and quickly gathered an ideological consensus to promote the company's high-quality development through ESG concepts throughout the company.
In order to meet the company's ESG development needs in the next stage, the company updated the focus of ESG work from report release to ESG management improvement, began to explore the construction of the company's ESG management system, compiled and released the company's ESG work plan, put forward the company's ESG work overall ideas, work objectives, organizational system and other important contents, and established a mechanism guarantee for the development of ESG work. The company's related work last year was also recognized by the market, not only to achieve the improvement of Wind's rating, but also to win the first Guoxin Cup· ESG Golden Bull Award Top 50 Central Enterprises, China Shanghai Association ESG Excellent Practice Cases and other awards in this field.
Q: What is the company's cash dividend in 2023?
Answer: In order to actively respond to the policy guidance of the regulatory authorities on increasing dividends of listed companies and enhance the sense of gain of the company's investors, according to the company's announcement of the 2023 profit distribution plan, the company expects to distribute cash dividends of 1.15 yuan (tax included) to all shareholders for every 10 shares based on the company's total share capital of 1.262 billion shares in 2023, with a total cash dividend of 145 million yuan. According to this profit distribution plan, the company's total cash dividends and dividends per share in 2023 will increase on the basis of the previous year.
Reviewer: Gao Gaifang Editor: Yu Hongbo
Proofreader: Zhang Lijing Producer: Li Ruoyu
Issued by: Fei Yangsheng
