On the evening of April 22, the southeast grid (002135. SZ) released its 2023 performance report, the company achieved revenue of about 12.996 billion yuan last year, a year-on-year increase of 7.72%, and net profit attributable to the parent company of 326 million yuan, a year-on-year increase of 12.26%.
As a spire enterprise in the domestic steel structure industry and a leader in green buildings, Southeast Grid has been practicing the national "double carbon" development strategy and vigorously developing steel structures and prefabricated buildings. The development of the main business is steady, and the expansion of the photovoltaic building integration market has also achieved rapid progress. On the road of green and innovative buildings, the southeast grid is stable and far-reaching, and it is determined to move forward.
Revenue and net profit achieved double growth
In order to solidly promote high-quality economic development and lead China's economy to continue to recover and make progress while maintaining stability, infrastructure investment is still an important focus of the government's steady growth policy.
In the second half of 2023, large-scale infrastructure construction investment projects will be launched in mainland China, with a total investment of more than 2.7 trillion yuan. It is expected that infrastructure investment and construction will continue to maintain a high degree of prosperity for a period of time, and the downstream demand of the construction industry will maintain stable growth in the medium and long term.
In the field of construction, the concept of green, low-carbon and sustainable design has gradually taken root in the hearts of the people, accelerating the green and low-carbon development of the construction field, and pointing out the direction for the development of prefabricated steel structure buildings.
In 2022, the Ministry of Housing and Urban-Rural Development and the National Development and Reform Commission issued the "Implementation Plan for Carbon Peaking in the Field of Urban and Rural Construction", which pointed out that it is necessary to promote green and low-carbon construction, vigorously develop prefabricated buildings, promote steel structure housing, and by 2030, prefabricated buildings will account for 40% of new urban buildings in that year.
In the context of "dual carbon", the development of prefabricated buildings is a national strategy, and it is also one of the important measures for the construction industry to promote green and high-quality development. With the support of the national industrial policy, the prefabricated steel structure market is expected to maintain growth.
Deeply cultivated in the construction industry for many years, Southeast Grid has become an advantageous enterprise in the field of steel structure, a leading enterprise in the field of space steel structure, and a leading enterprise in high-rise heavy steel structure.
For a long time, Southeast Grid has adhered to the development path of specialization and differentiation, adhered to market-oriented, benefit-centered, highlighted stable growth, improved quality and efficiency, strengthened capital, and promoted innovation, and the company is accelerating towards the road of high-quality development.
In 2023, Southeast Grid will achieve revenue of about 12.996 billion yuan, a year-on-year increase of 7.72%, net profit attributable to the parent company of 326 million yuan, a year-on-year increase of 12.26%, and net profit of 307 million yuan, a year-on-year increase of 67.45%, with both revenue and net profit maintaining stable growth. In terms of business type, the steel structure subcontracting business of Southeast Grid achieved revenue of 7.098 billion yuan, a year-on-year increase of 16.93%.
Southeast Grid closely focuses on the dual-engine development strategy of "EPC General Contracting + No. 1 Project" to accelerate the optimization and adjustment of business structure. During the reporting period, Southeast Grid signed and won a new contract of 13.405 billion yuan, and undertook the high-tech World Industrial Park (contract amount of 1.578 billion yuan), the EPC project of special rental housing for talents in Hezhuang District, Qiantang District, Hangzhou (contract amount of 810 million yuan), Hohhot New Airport (contract amount of 124 million yuan), Hangzhou West Railway Station North Complex (contract amount of 403 million yuan), Hangzhou Baishi Entertainment Recreation and Sports Commercial Commercial Housing General Contracting Project (contract amount of 1.330 billion yuan), Dachuang Town A22 plot commercial commercial real estate general contracting project (contract amount of 1.06 billion yuan) and other key projects.
Promote digital transformation and lead the new trend of industry development
Since the beginning of this year, the term "new quality productivity" has been widely mentioned. In January 2024, the meeting of the Political Bureau of the CPC Central Committee once again emphasized the need to accelerate the development of new quality productive forces and solidly promote high-quality development.
In the field of construction, accelerating the formation of "new quality productivity" with the characteristics of the construction industry is also the inevitable direction of industry development.
In recent years, the aging of the population in mainland China has become increasingly serious, and the number of labor force in the construction industry has shown a downward trend as a whole. The phenomenon of "difficulty in recruiting workers and labor shortage" in the construction industry has emerged, and it is imperative to accelerate the industrialization and digitalization of the construction industry.
The construction enterprises represented by the Southeast Grid have accelerated scientific and technological innovation, led the construction of a modern industrial system, and vigorously promoted the digital transformation of the construction industry with intelligent construction as the starting point, so as to realize the leap and upgrade of new quality productivity.
Intelligent construction is an advanced construction method of digitalization, informatization and intelligence, which meets the characteristic requirements of new quality productivity. It realizes the "capacity upgrading, capital convergence, and industrial cluster" of the construction industry, promotes the digital transformation and high-quality development of the construction industry, and is the best demonstration of "new quality productivity" in the construction field.
The National Development and Reform Commission recently issued the "Industrial Structure Adjustment Guidance Catalogue (2024 Edition)" to encourage the production and manufacturing of intelligent construction products and equipment and the research and development of integrated technology, encourage the development and promotion of advanced and applicable building complete sets of technologies, products and residential parts, and the research and development and promotion of steel structure housing integration system and technology. Encourage building energy conservation, green buildings, prefabricated buildings, solar photovoltaic and other renewable energy building application related industries, which means that intelligent construction will become the mainstream direction of the construction industry in the future.
According to the company's disclosure, Southeast Grid is based on the traditional information technology of the building, integrating BIM, cloud computing, artificial intelligence, mobile Internet and other cutting-edge information technologies to achieve a new digital management and digital construction. The company has always been at the forefront of technological innovation in the industry, actively developing and mastering core technologies, and gradually promoting them to engineering projects.
In March 2020, Southeast Grid invested in the construction of the industry's first "200,000-ton new prefabricated steel structure digital factory", and the automated, intelligent flexible production line, manufacturing execution system with MES as the core, data acquisition system, logistics and warehousing system, human-machine interface system, etc., were listed as "key implementation projects in Hangzhou in 2020".
The completion of the above projects has gradually released the company's production capacity, reflected the cost advantage, and reduced the labor demand by about 20%. While the product quality has been significantly improved, the company's management efficiency has also been greatly improved. Next, Southeast Grid will continue to accelerate the transformation and development of production technology, carry out overall process transformation of the existing workshop, continuously improve the company's intelligent manufacturing level, and improve production efficiency.
The Southeast Grid, which continues to improve the level of digital construction, is expected to lead the new trend of the development of the construction industry in the future.
The photovoltaic business is growing by leaps and bounds
It is worth mentioning that in recent years, Southeast Grid has focused on the photovoltaic industry, continued to develop the photovoltaic building integration market, and achieved rapid progress in 2023.
According to the company's disclosure, Southeast Grid achieved revenue of 95.648 million yuan in photovoltaic business last year, a significant increase of 2140.59% year-on-year.
Since 2023, with the decline in the cost of photovoltaic modules, the cost-effective advantage has gradually become prominent, and the market's acceptance of distributed photovoltaic products has become higher and higher, and the enthusiasm of industrial and commercial users for the installation of distributed photovoltaic has also increased significantly.
Southeast Grid actively grasps the new opportunities of energy transition and low-carbon economy, vigorously develops green and low-carbon industries, seizes the distributed photovoltaic power station market, and strives to develop photovoltaic building integration products that can meet market demand, and finally realizes the substantial growth of this business, contributing new growth points to the company's performance growth.
In fact, in the context of the country's vigorous promotion of "carbon neutrality", photovoltaic and building integration have ushered in rapid development and have become an important way for building carbon neutrality. In addition, the policy side is also constantly encouraging construction companies to integrate with clean energy such as photovoltaics. The "14th Five-Year Plan" for the development of building energy efficiency and green buildings proposes that by 2025, the energy-saving renovation area of existing buildings will be more than 350 million square meters, and the national target of new building photovoltaic installed capacity will be more than 50 million kilowatts, that is, the average annual installed capacity of 10 million kilowatts in 2025.
Under the continuous promotion of the policy "Dongfeng", the application scale of distributed photovoltaic will continue to rise, and the mainland photovoltaic building integration market is expected to usher in a period of rapid development. It has accumulated in this field and continues to promote R&D and innovation, and the Southeast Grid is expected to continue to benefit.
Looking forward to the future, Southeast Grid will continue to focus on the dual-engine development strategy of "EPC general contracting + No. 1 project", create differentiated projects, and further expand the brand. While consolidating the development of the main business, we will steadily promote the photovoltaic building integration business, vigorously develop green and low-carbon industries, and fully enjoy the development dividends of the industry.