Securities code: Changjiang & Jinggong Steel Building(Group)Co.Ltd(600496) securities abbreviation: Changjiang & Jinggong Steel Building(Group)Co.Ltd(600496) Changjiang Jinggong steel structure (Group) Co., Ltd
Minutes of teleconference with institutional investors
1、 Investigation
Research time: 10:00-10:50, April 1, 2022
Research method: teleconference communication
Name of research institution: Haitong Securities Company Limited(600837) , Huabao fund, Taikang endowment insurance, Boshi fund, Guangyin wealth management, Jiutai fund, Qiyao investment, sunshine assets, ningquan assets, chaos investment, WT China group and other 11 institutions.
RECEPTIONIST: Ms. Shen Yuehua, vice president and Secretary of the board of directors
2、 Main research contents
At the meeting, the Secretary of the board of directors first introduced the company’s operation status, and then made a specific Q & A exchange on the key issues concerned by investors. The minutes are as follows: 1. Recently, the company announced the strategic cooperation with Risen Energy Co.Ltd(300118) , what are the reasons for the cooperation between the two sides? What is the follow-up plan of the cooperation?
Our two sides also reached this strategic cooperation with the original intention of exchanging resources and complementing each other’s advantages. Partner Risen Energy Co.Ltd(300118) as a large and professional photovoltaic manufacturing enterprise, the shipment volume ranks among the top ten in the world. With mature module manufacturing capacity and economies of scale, it is a high-quality and reliable partner for us. Our company is good at construction and has high-quality customer channel resources, which is also valued by our partners. In terms of technology, we are not only good at structure, but also have mature technical experience and solutions in roof, wall and other fields. For example, in the field of industrial construction, our Jr roof series – which has been upgraded to jr4 generation – is specially developed to solve the persistent disease of water leakage in industrial plants. At present, this generation of products have passed FM certification level 1-135, which further optimizes the wind resistance. It is also based on the strength of technology and products that we have accumulated high-quality customer resources in the field of industrial construction, such as Alibaba, apple, Huawei, market opener and Starbucks. The volume of business revenue reached 5.6 billion yuan in 2020, with access to tens of millions of square meters of high-quality roofs every year, and the repurchase rate of old customers in that year reached 58%.
The next step of cooperation will mainly focus on product R & D and commercial promotion. In terms of product research and development, our two sides will work together to develop “Jingsheng” roof. Both sides will give full play to their respective advantages in photovoltaic and construction, and strive to create products with both functional and economic advantages and market competitiveness. In terms of commercial promotion, we are mainly responsible for sales and provide EPC engineering services integrating design, construction and installation for the owner, while Risen Energy Co.Ltd(300118) is responsible for the supply of photovoltaic modules, inverters and other core raw materials. 2. What barriers will other construction enterprises encounter when entering the photovoltaic business?
Photovoltaic power generation involves power engineering construction. Power is an independent specialty. Engaging in relevant businesses requires corresponding qualifications, which forms a threshold. Some pure construction enterprises do not have relevant knowledge and technology and qualifications. 3. Why did the company set up a subsidiary of green carbon solar energy?
For more than ten years, the company has been practicing “green building” as its mission. As an important part of green building, photovoltaic building integration has also been carried out in related businesses and accumulated some project cases.
The establishment of a subsidiary of carbon solar energy this time is due to the company’s strategic emphasis on green building, especially the recent frequent policies and better market opportunities; Second, corporate operation is more conducive to the integration of internal resources, technology and experience, and with the follow-up business, it is also more convenient for management and control. 4. Please talk about your subjective feelings about the market environment this year
The upgrading and reform trend of the construction industry towards industrialization, digitization, greening and encouraging general contracting continues. Coupled with the favorable policies issued recently, the market this year is still worth looking forward to. Moreover, after the rapid rise of raw materials last year, the company successfully passed the stress test, which proved the company’s management ability and accumulated confidence within the team. Therefore, we are more optimistic about the market situation this year.
For the company itself, the management attitude of the company is to strive for breakthrough and growth regardless of the market environment; Because there is a lot of room to play in the construction market. Even in the reverse cycle, there is a subdivision track of contrarian growth. As long as we can grasp the market demand, we actually have business opportunities.
5. How is the current progress of convertible bonds?
The company obtained the approval at the beginning of this year. The approval is valid for 12 months. We will choose an opportunity to issue it during this period. Please pay attention to the announcement for specific conditions.
3、 Risk tips
If the relevant contents of this exchange meeting involve the intentional objectives such as the company’s development strategic planning at the current stage, it cannot be regarded as the guarantee of the company or the management for the company’s development or performance. The company will timely perform the relevant information disclosure obligations according to the relevant requirements, and the majority of investors are invited to pay attention to the investment risk.
