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On December 27, the National Bureau of statistics released data. From January to November, industrial enterprises above Designated Size achieved a total profit of 7975.01 billion yuan, a year-on-year increase of 38.0%, an increase of 41.3% over January to November 2019, and an average increase of 18.9% over the two years. In November, the profits of Industrial Enterprises above designated size increased by 9.0% year-on-year, down 15.6 percentage points from the previous month, with an average growth of 12.2% in two years.
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From January to November, the profit structure of industrial enterprises improved. From January to November, industrial enterprises above Designated Size achieved a total profit of 7975.01 billion yuan, a year-on-year increase of 38.0%. Compared with the previous October, the growth rate decreased by 4.2 percentage points, but still continued the rapid growth trend since the second half of last year; Compared with the same period in 2019, the profit increased by 41.3%, with an average increase of 18.9% in two years. Since the second half of last year, the profit of industrial enterprises has continued to grow rapidly. On the one hand, the rapid growth of profits of industrial enterprises is due to the continuous recovery of the production end. From January to November, the added value of industries above designated size increased by 10.1% year-on-year. Driven by demand, China's industrial production has been actively repaired.
It is noteworthy that with the continuous promotion of the policy of ensuring supply and stabilizing prices, the soaring trend of commodity raw material prices has been initially curbed, the driving effect of mining and raw material industries on profit growth has weakened, while the contribution of equipment and consumer goods manufacturing in the middle and lower reaches to the profits of industrial enterprises has increased, and the proportion of profits has increased significantly, The phenomenon of profit differentiation between upstream and downstream has eased. In November, the profits of private enterprises and small and micro enterprises increased by 12.9% and 15.9% respectively year-on-year, 3.9 and 6.9 percentage points higher than the average level of industries above Designated Size respectively. Now, the cost pressure of middle and lower reaches enterprises has been relieved, the profit space of small, medium-sized and micro enterprises located in the middle and lower reaches of the industrial chain has been increased, and the production willingness of small, medium-sized and micro enterprises has been improved. The supporting role of the policy side and the capital side has a significant transmission effect in the industry. Through the reduction of cost, it has effectively alleviated the problems of demand inhibition and poor capital of small and micro enterprises. Therefore, the profit mitigation effect is more obvious.
The profits of the equipment manufacturing industry changed from decline to increase. In the first November, China's manufacturing industry realized a total profit of 6612.89 billion yuan, an increase of 34.5%. On the other hand, benefiting from the rapid growth of the sales end, industrial enterprises above Designated Size realized an operating revenue of 114.31 trillion yuan, a year-on-year increase of 20.3%; The operating cost was 95.70 trillion yuan, an increase of 19.7%; The profit margin of operating revenue was 6.98%, an increase of 0.90 percentage points year-on-year. The rapid growth of production and sales has laid a good foundation for the profit growth of industrial enterprises. In November, the profit of equipment manufacturing industry increased by 0.8% year-on-year, while it decreased by 7.5% in October, and the profit changed from decline to increase. In November, the problem of automobile core shortage was alleviated. Although the profit growth rate of the automobile industry was still declining, the decline was 22.1 percentage points narrower than that of the previous month.
The mining industry continues to drive the profit growth of industrial enterprises. In November, the profit of the mining industry increased by 248.4% year-on-year. Although it is still at a high level, the growth rate has dropped significantly compared with the previous month, and the driving effect of the profit of the mining industry on the profit growth of industrial enterprises has weakened. With the strong promotion of the policy of ensuring supply and stabilizing price, the coal price fell significantly month on month.
Risk tips: the overseas epidemic situation fluctuates more than expected, the downstream demand is less than expected, and the monetary policy changes.
