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Zoomlion (000157): Cash flow and crane revenue hit new highs at the same time

Zoomlion (000157): Cash flow and crane revenue hit new highs at the same time

Zoomlion (000157): Cash flow and crane revenue hit new highs at the same time

Event In the first half of 2019, the company realized operating income and the net profit attributable to the parent was 222.

62, 25.

7.6 billion, an increase of 51 each year.

23%, 198.

11%; operating cash flow 35.

$ 7.5 billion, an annual increase of 124.

19%, the best level in history.

Brief comment one, in the main business, crane revenue created a new historical high in the same period: the revenue in the first half reached 11 billion, an increase of 94 in one year.

75%, a record high over the same period, with an income share of 49.

43%, gross margin reached 32.

17%, an increase of 3 per year.


Among cranes, tower cranes achieved revenue of 38 in the first half of the year.

4.3 billion, with an annual growth rate of nearly two times, ranking first in the industry; excluding tower cranes, the revenue of engineering cranes in the first half of the year increased by about 65%, of which the market share of truck cranes was around 28%, an increase of 6 from 2018

8pct, currently the industry CR3 market share is near 94%.

Concrete machinery: Revenue reached 74 in the first half.

900 million, an annual increase of 31.

15%, income accounted for 33.

64%, gross margin is 27.

37%, an increase of 3 per year.


Due to the relatively large number of second-hand pump trucks cleared in 2018, if the sales of second mobile phones are excluded, the revenue of new concrete machinery machines will increase by more than 50% annually in the first half of this year, and long boom truck trucks will continue to maintain the number one position in the market.

Agricultural machinery: 9 in the first half of the year.

100 million, down 2 every year.

57%, income accounted for 4.

09%, gross profit margin 10.

37%, an increase of 3 per year.


As the overall industry is still weak, the company is still working to reduce losses.

High-altitude operation platform: mass production has begun, with over 2,000 units in the first half of the year, and it is expected to achieve revenue1.

Near 700 million, this product currently uses a crane factory building, excluding the factory depreciation, the gross profit margin in June has exceeded 25%. At the previous level, it has achieved profitability.

Prospects for growth of main business: It is expected that the growth rate of the crane industry will be narrowed, taking into account the need 上海夜网论坛 for replacement and the support of the country’s five and six countries, considering that the crane base is already very high.

Concrete machinery has always maintained rapid growth, mainly due to the relative relative base, and the demand for replacement has increased.

High-altitude operation platforms have maintained rapid growth. The penetration rate of the main Chinese market is still low. Due to safety and economic reasons, the market demand is large.

In addition, in 2019, the company restarted the business unit system, replacing the large-area system implemented during the industry’s downturn, which will help integrate production and sales and more quickly meet market demand.

Second, profitability continued to improve and there was still room for the first half of the year. Benefiting from the continued increase in sales of major products, the increase in scale effects, and the incremental repair of basic clearing statements for the second handset, the company’s comprehensive gross profit margin increased to 30.

00%, an increase of 4 a year.

41pct; the cost rate is reduced by 16.92%, falling by 2 every year.

40pct, in which the financial expense rate and the management expense rate have dropped twice.

50, 1.

84pct, and R & D expenses / operating income increase increased by 0.

73pct to 2.

07%; net margin reached 11.

55%, an increase of 5 a year.

75pct; expected average ROE to 6.

52%, an increase of 3 per year.

98 points.

At present, profitability has not yet reached a record high. Looking ahead, it is expected that there is still room for profitability to increase through the volume of new high-altitude operation platforms, and the reduction or even loss of agricultural machinery, as well as the improvement of intelligent digitalization.

Third, in the first half of the improvement of operating quality, the company accrued assets and credit impairment losses.

35 billion, accounting for 1% of operating income.

51%, although there was a slight increase of 0 in the same period last year.

31pct, but still at the bottom of history.

Operating cash flow 35.

75 ppm, an increase of 124 in ten years.

19%, the best level in history.

Cash / operating income received from sales of goods and services reached 99.

31%, an increase of 6 per year.

08pct; net cash flow / operating income from operating activities reached 16.

06%, an increase of 5 a year.


Fourth, profit forecast and investment advice Based on the above analysis, the company’s operating income for 2019-2021 is expected to be 399.

95, 449.

48, 494.

79 trillion, an increase of 39 each year.

37%, 12.

39%, 10.

08%; net profit attributable to mothers is 41.

36, 49.

24, 55.

02 million, an increase of 104 each year.

77%, 19.

04%, 11.

75%; PE is 10 for 2019-2021.

06, 8.

45, 7.

56 times, giving 19 times 13 times PE, corresponding to target price of 6.

89 yuan, given a “buy” rating.