39 Auto Parts Companies Announce Performance Forecast Nearly 90% Net Profit Growth

(Original title: 39 auto parts companies released performance forecasts of nearly 90% net profit growth, lion technology increased the most)

In the past 2016, China's automobile industry has maintained rapid development, and the demand scale of auto parts market has also grown rapidly. Under the stable situation of the automobile industry and the unremitting efforts of listed parts companies, the overall performance of parts companies has recovered and shown a growth trend.

According to Flush statistics, as of January 5, a total of 39 listed auto parts companies in Shanghai and Shenzhen have announced their 2016 annual report performance forecasts. Among them, only one of Jingu shares has predicted a net profit loss; according to the forecast net profit In terms of the maximum change range, nearly 90% of the companies have achieved net profit growth, and only 4 companies expect net profit to decline year-on-year.

Jia Xinguang, chief analyst of China Automotive Industry Consulting and Development Corporation, told the Securities Daily that while the entire parts industry was facing the "labor pains" of transformation and upgrading in 2016, its influence in the international automobile market was also gradually increasing. To build factories overseas to expand production or to the European and American markets merger and reorganization, the development of listed auto parts companies show an international development route.

Nearly 90% of the company's net profit increased year-on-year.

Fierce Lion Technology Up 5647.95 Percent

According to the data compiled by the reporter of Securities Daily, among the 39 companies that announced the performance forecast of 2016 annual report, 15 companies increased slightly, 15 companies increased their performance in advance, 3 companies continued to make profits, 3 companies turned losses, 1 company decreased in advance, 1 company slightly decreased and 1 company lost money. It is worth noting that Jingu shares have become the only company whose net profit is expected to lose, and the first loss is expected to reach 0.127 billion yuan.

Among the enterprises with rising net profit, the growth was more significant for Mengshi Technology, Ningbo Huaxiang and Guangyang shares. The net profit of the above-mentioned enterprises in the first half of the year increased by more than 100 percent year-on-year, of which Mengshi Technology grew by a rare 3133.22 percent to 5647.95 percent.

According to the announcement, Mengshi Technology expects to achieve a net profit of 90 million yuan to 160 million yuan in 2016, an increase of 3133.22 to 5647.95 percent.

According to Mengshi Technology, the main basis for the forecast is that the traditional peak season for lead batteries is in the fourth quarter. In addition, with the production of lithium battery projects and other business development and the introduction of the state's subsidy policy for new energy vehicles, the lithium battery division and the new energy vehicle division are experiencing great performance development. The EPC of photovoltaic and energy storage projects carried out by enterprises under the jurisdiction of the Clean Power Division will also increase their performance by a large margin.

Ningbo Huaxiang and Guangyang, which are among the top in the forecast net profit growth, are expected to reach 641.976 million yuan to 690.124 million yuan and 73.008 million yuan to 83.959 million yuan respectively in 2016, with growth rates of 300.00 percent to 330.00 percent and 100.00 percent to 130.00 percent respectively.

As for the reasons for the change in performance, Ningbo Huaxiang said that it was mainly due to the company's insistence on promoting lean production for many years, and the sales volume under the leadership of the new management team increased significantly compared with the same period last year; Guangyang shares improved its operating performance through the merger of the company.

Judging from the lower limit of the forecast net profit, the net profit of 18 auto parts companies attributable to shareholders of the parent company exceeded 0.1 billion yuan, accounting for 46%.

A reporter from the Securities Daily noted that the profitability of regional leading car companies is still strong, and there are currently 3 companies with a net profit of more than 0.5 billion yuan; Wanfeng Aowei's 2016 net profit is expected to be between 0.957 billion yuan and 1.196 billion yuan. Ranked first; Ningbo Huaxiang's net profit is expected to be between 0.642 billion yuan and 0.69 billion yuan, ranking second; Jingwei shares are expected to achieve a net profit of 0.6 billion yuan to 0.7 billion yuan, ranking third.

Overseas planning new energy strategy

Help enterprises scale expansion

Reporter statistics found that in the first nine months of 2016, parts listed companies showed a red situation across the board. Among the more than 90 listed auto parts companies, the top 30 companies in operating income accumulated total revenue of 295.822 billion yuan, an increase of nearly 55 billion yuan compared with the same period last year, an increase of 22.94; total net profit reached 16.942 billion billion yuan, an increase of 23.25 year-on-year; Profit margin is 5.7.

It is by virtue of the international business gradually incorporated into the report, so that many parts enterprises to hand over a beautiful answer. Among them, Aotejia, which has the largest revenue growth in the first three quarters, is expected to have a net profit of 360 million to 450 million yuan, an increase of 61.23 to 101.54 percent.

In fact, after two major asset reorganizations in 2015, Aotejia completed the acquisition of 100 per cent of Nanjing Aotejia and Air Conditioning International Group, realizing technological upgrading and global matching. At present, automotive air conditioning compressor, automotive air conditioning system revenue has accounted for more than 90% of its main business income.

The reporter also learned that the output of Fuyao Glass's US auto glass business is climbing, and its Russian auto glass business is also developing in a benign direction. In the implementation of Linglong Tire's global manufacturing strategy, Thailand's factory has adjusted its product structure, increased the output of high-end products, and gradually formed an international sales pattern.

In this regard, Su Hui, vice president of the tangible Automobile Branch of the China Automobile Circulation Association, believes that the voice of encouraging parts and components enterprises to acquire or build factories overseas has remained high in the automobile industry. at the same time, the anti-risk ability of parts and components enterprises in the global market and the management ability of overseas assets have also been experienced and improved.

In addition, new energy vehicles have also become the focus of investment in many parts companies.

Previously, although Shenzhen Wuzhoulong, which is controlled by investment, suffered losses due to new energy vehicle policies and other factors, Jingwei shares did not reduce their investment in new energy vehicles. After the controlling shareholder Central Investment acquired a 75% stake in Germany's Stuttgart Electric Vehicle, Jingwei plans to raise 7 billion yuan to build a high-end electric vehicle research and development and production base in Germany. The latest announcement shows that due to the favorable industry policies, Jingwei shares are expected to have a net profit of 600 million to 700 million yuan in 2016, an increase of 30% to 50%.

Relative to the good data, the industry is more concerned about the current pressure facing the parts industry. Jia Xinguang said that the slow recovery of the entire auto parts market may continue, but the level will be opened between enterprises. The auto parts industry will have to wait a few years before it is expected to pick up.

"Auto parts companies must seize the development opportunities of deep industrial integration in the past three years and achieve sustainable and healthy development through innovative technologies, especially new energy auto parts companies and smart auto parts companies strive to catch up with foreign-funded companies." Jia Xinguang said.