Fuyao: Focus On The Future Of Automotive Glass Is Expected To Grow Neutral - Prefab Building

Fuyao is to translate these into action, the breakdown in the glass industry, is actively adjust product structure, drastic strategic exit the field of architectural glass, specializing in auto glass. From the ups and downs in the plight of
After the future growth of the company is expected to be neutral.
Fuyao Hainan two production lines have been sold architectural glass, architectural glass and Fuqing Shuangliao architectural glass production lines have been discontinued. August 17, 2009 the company announced that: consideration by investing 203 million yuan for the construction of float glass upgrade three lines into high-quality automotive float glass production line, further strengthening the product of concentration and improve profitability. Normal operation of the building now are down to two glasses, and basically be able to achieve profitability. As of first half of 2009, the company's automotive glass and float glass main revenue income accounted for 82.97% and 30.18% (including related party transactions). Domestic auto glass companies now account for more than 40% of market share, is the industry leader, are expected to share at home and abroad continue to expand.
First half of 2009 revenues of 2.5 billion, down 12%. Income of 2.1 billion in auto glass, up 4.36%; as shutting down the four float glass production line construction, building glass float revenues of 768 million yuan, down 37.73 percent. After deducting non-recurring gains and losses net profit of 193 million yuan, down 54.94 percent year on year significantly. First half of the discount sale of the two float glass production line in Hainan, the 215 million impairment provision for preparation, Excluding this factor, basic net income was flat with a year earlier. Reporting period, the proportion increased as automotive glass, integrated gross margin reached 38.56%, higher than 4.74 percentage points a year ago to upgrade. Second quarter of 2009, benefiting from capacity utilization to enhance and lower raw material prices, profit margins as high as 41.9%, the highest level in recent years, the quarterly gross margin.
Widely considered the growth rate of China's auto industry in the next few years is expected to maintain a level of 10% or more, Fuyao super capacity development of the industry, coupled with its increasing volume of export business, future income growth is expected to reach 15 % or more. Consider Fuyao leading automotive glass industry, business and asset structure of orderly contraction of the gradual improvement in the industry and products while the company has a deep understanding of, and capacity management and cost control is also very mature, we believe that it neutral growth is quite positive in nature.
According to the company's second quarter data, analysis and speculation on the situation the second half of the industry, the market have increased speculation that the company's performance, expects 2009 to 2011, after deducting non-recurring income and earnings per share were 0.42 yuan, 0.61 yuan and 0.71 yuan. The current share price of its future prospects and growth has been the response.

Related Automotive Digest Articles