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From January to November 2021, industrial enterprises above Designated Size nationwide realized a total profit of 7.98 trillion 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, industrial enterprises above Designated Size realized a total profit of 0.81 trillion yuan, a year-on-year increase of 9% and an average increase of 16.7% in two years.
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The profit growth of industrial enterprises has declined, mainly affected by cost pressure. In November, the profits of Industrial Enterprises above designated size increased by 38% year-on-year, with an average growth rate of 18.9% in two years, 0.8 percentage points slower than the cumulative growth rate in October. In November, the revenue and profit fell significantly, down about 16% month on month. The reasons are as follows: firstly, due to the energy supply guarantee policy, the coal supply is large, which affects the profits of upstream enterprises; Secondly, PPI was flat month on month in November, but it was still high, and the cost pressure was still obvious, which restricted the profits of industrial enterprises; In addition, the impact of last year's high base also led to a year-on-year decline in the profits of industrial enterprises. Since December, there have been frequent policy messages and obvious signals of macroeconomic stability. Under the signals of "moderately advancing policies" and "striving to boost the industrial economy and provide strong support for stabilizing the economic market", the decline rate of profits of industrial enterprises will slow down. Subsequently, as the manufacturing PMI rebounded to the boom and bust line in December, and the scissors difference between PPI and CPI gradually decreased, the supply side has been repaired. However, as the demand of real estate investment and consumption related industries continues to shrink, and the epidemic repeatedly disrupts the repair process of domestic demand, we believe that the revenue of industrial enterprises is difficult to rebound in the short term.
The revenue profit margin fell in the current month, and the structural differentiation improved. In November, the revenue and profit of the mining industry decreased by 7.2 percentage points month on month compared with the previous month; The manufacturing revenue and profit were 6.5% year-on-year, flat month on month, but significantly lower than that in the same period last year; The profit of public utilities changed from positive to negative year-on-year. From the perspective of upstream and downstream structure, the pull of mining and upstream raw material industries on profit growth has weakened in November, the profit growth in the middle reaches has generally accelerated, and the profit growth in the downstream has slowed down slightly, but it is still positive. The structural differentiation of revenue and profit has eased. The reason is mainly due to the peak decline in the price of upstream means of production in November, and the month on month growth rate fell by 6 percentage points; The price of downstream means of living rebounded slightly, up 0.7 percentage points month on month. In the future, the imbalance of upstream and downstream profits will continue to improve, and the short-term profit margin of upstream raw materials will decline under the continuous force of policies such as ensuring supply and double carbon; The profit margins of equipment manufacturing, consumer manufacturing and private small and micro enterprises in the middle and lower reaches will improve under the promotion of continuous cost reduction policies.
