Views: 0 Author: Site Editor Publish Time: 2024-05-08 Origin: Site
In 2023, faced with profound changes in the internal and external development environment, XCMG Machinery (000425) still delivered an excellent answer leading the industry. This year, the company achieved double-digit growth in net profit, both gross profit margin and net sales profit margin increased, and both accounts receivable and inventory dropped; the share of most products continued to increase; strategic emerging industry revenue grew rapidly, with a contribution of over 20 %, new energy revenue doubled for two consecutive years, contributing nearly 10%; international revenue increased by nearly 10 billion yuan to 37.22 billion yuan, accounting for 40.09% of revenue, creating a new historical high.
Based on its good performance, XCMG has continued to actively reward investors. The profit distribution plan for 2023 is to distribute a cash dividend of 1.80 yuan (tax included) for every 10 shares. The cash dividend is approximately 2.127 billion yuan, a year-on-year increase of 20%, accounting for the company's net profit attributable to the parent company. 40% of profits; at the same time, it actively implements a stock buyback and cancellation plan, with an amount of 300 million to 600 million yuan.
Major indicators such as operating income and net profit continue to lead the way
On the evening of April 29, XCMG Machinery, the leader in construction machinery, disclosed its 2023 annual report. The company achieved operating income of 92.848 billion yuan, a year-on-year decrease of 1.03%, net profit attributable to the parent company of 5.326 billion yuan, a year-on-year increase of 23.51%, and net profit after non-profit deductions of 4.497 billion yuan. , a year-on-year increase of 29.47%, and revenue and profits continue to rank first in the domestic industry.
Faced with multiple difficulties and challenges in the market environment such as the continued contraction of domestic sales in the industry and the slowdown in year-on-year export growth, the company stabilized the overall situation and responded to the situation, focusing on the "three special projects" of increasing gross profit margin and reducing accounts receivable and inventory, and achieved Obvious effect.
Gross profit margin is one of the key indicators to measure a company's profitability. In 2023, the company's overall gross profit margin reached 22.38%, an increase of 2.17 percentage points. In terms of products, the gross profit margins of hoisting machinery, earthmoving machinery, and concrete machinery increased by 2.73, 0.37, and 1.72 percentage points respectively. The gross profit margins of "other construction machinery, spare parts, and other" products increased by 5.42 percentage points. Looking at regions, gross profit margins have improved both domestically and overseas.
By the end of 2023, XCMG Machinery's accounts receivable and inventory amounts have declined compared with the beginning of 2023. Among them, the accounts receivable amount has decreased by 1.13%, and the inventory amount has decreased by 7.75%.
In 2023, the company vigorously promoted two capital reductions and achieved phased results. The net cash flow generated from operating activities was 3.57 billion yuan, a year-on-year increase of 125.59%.
In recent years, XCMG Machinery has unswervingly promoted the "main internationalization strategy" and deepened its international development layout. The "going up" stage of high-quality development has advanced, forming a "four-in-one" international development model of export trade, overseas greenfield factory construction, cross-border mergers and acquisitions, and global R&D, which can provide global customers with a full range of product marketing services and a full value chain. Services and overall solutions. Driven by the main strategy of internationalization, the company's international business has grown rapidly.
In 2023, XCMG Machinery's overseas revenue was 37.220 billion yuan, a year-on-year increase of 33.70%, and its proportion of operating revenue increased from 29.67% in the previous year to 40.09%. In 2021, this proportion is 15.84%.
It is worth mentioning that in 2023, XCMG’s digital supply chain project will be included in Jiangsu Province’s key industrial Internet projects, with 5 new provincial industrial Internet benchmark factories, 3 new intelligent manufacturing capability maturity level three enterprises, XCMG Heavy Duty, XCMG Transmission Newly selected into the "5G Factory Directory" of the Ministry of Industry and Information Technology, XCMG loaders were selected as national smart manufacturing demonstration factories, and XCMG Machinery ranked first in the country in the "2023 Demonstration List of Integrated Development of New Generation Information Technology and Manufacturing Industry" by the Ministry of Industry and Information Technology.
After handing over an industry-leading report card in 2023, in the first quarter of this year, XCMG Machinery’s operating income was 24.041 billion yuan, a year-on-year increase of 0.96%, and the net profit attributable to the parent company was 1.6 billion yuan, a year-on-year increase of 5.06%. 1.466 billion yuan, a year-on-year increase of 12.48%, with revenue and profits continuing to lead the domestic industry. Development momentum continues to shift, with new energy products growing by more than 40% year-on-year, spare parts revenue growing by nearly 15% year-on-year, and high-end product revenue growing by nearly 5% year-on-year.
Actively reward investors with annual dividends of approximately 2.127 billion yuan
Outstanding operating performance allows XCMG Machinery to continue to reward investors with real money.
The company always adheres to the core values of "taking on big responsibilities, doing the right thing, and becoming a great tool", practices the action creed of integrity, customer orientation, pursuit of excellence, and teamwork, and shares the development results with investors through cash dividends, share buybacks, etc. , demonstrating development confidence through major shareholder increases, employee shareholdings and equity incentives.
On the evening of February 6 this year, XCMG issued an announcement that it would promote the implementation of the "Double Improvement of Quality and Return" action plan, continue to optimize and consolidate operational quality, continuously improve operational management capabilities, core competitiveness, profitability and risk management capabilities, with high Quality development performance rewards investors.
In fact, being "investor-oriented" and actively returning investors has become a practical action of XCMG Machinery. For example, from February 22, 2023 to March 13, 2023, the company repurchased a total of 118 million shares of the company through a special securities account for share repurchase through centralized bidding transactions, accounting for 1.00% of the company's total share capital, and the total transaction amount was 852 million yuan, and the repurchased shares will be used to implement the equity incentive plan.
For another example, based on its firm confidence in the company's future development prospects and its high recognition of the company's long-term value, XCMG Group increased its holdings of XCMG Machinery stocks to 84.4774 million shares through centralized bidding transactions from March 29 to September 28, 2023. Accounting for 0.7149% of the company's total share capital, the additional holding amount is 540 million yuan.
In addition, XCMG has always attached great importance to returning investors in the form of cash dividends. In 2021, due to the ongoing major asset reorganization at that time, in order to maintain the stability of the equity structure, speed up the reorganization process, and better safeguard the long-term interests of all shareholders, the company did not distribute profits that year. Instead, it will choose an opportunity to propose profit distribution after the reorganization is completed. Plan. Since then, the overall listing of XCMG Co., Ltd. has been completed. High-quality assets such as excavators and mining machines have been injected, and the capital market has ushered in the "New XCMG". After the completion of the reorganization, XCMG will distribute profits in mid-2022, with a dividend of 0.23 yuan per share (including tax), the amount of cash dividends reached 2.718 billion yuan.
According to the profit distribution plan disclosed in XCMG Machinery's 2022 annual report, the company paid a dividend of 0.15 per share (tax included), and the cash dividend amount (tax included) was 1.772 billion yuan, accounting for 41.15% of the net profit attributable to the parent company of 4.307 billion yuan that year. In June last year, the implementation of profit distribution was completed.
In 2023, XCMG Machinery once again paid a high proportion of dividends. The company plans to pay a dividend of 0.18 per share (tax included), with a cash dividend of approximately 2.127 billion yuan.
It is foreseeable that with the implementation of the action plan to promote large-scale equipment updates, the domestic construction machinery industry is expected to bottom out. In the future, XCMG is expected to give investors a greater sense of gain.
