Recently, at the “manufacturing leader” theme week of Shanghai stock market performance presentation meeting, a number of infrastructure and rail transit companies such as China Railway Group Limited(601390) , China Communications Construction Company Limited(601800) , China Railway Construction Corporation Limited(601186) , Crrc Corporation Limited(601766) , Zhuzhou Times New Material Technology Co.Ltd(600458) etc. appeared one after another. Due to the recent market funds chasing the real estate and infrastructure sectors, the performance description of the above company will be highly concerned and praised by investors. The above companies have greatly improved the readability, viewability and interactivity of the performance presentation in the form of live broadcasting, webcast, online interaction, visual annual report and other forms. Many professional investors attended the meeting and had a warm interaction with the company’s executives. Many companies have visited tens of thousands of times in a single performance description.
The infrastructure sector is regarded as an important starting point for steady growth. According to the information disclosed by the company’s executives during Q & A at the performance description meeting, most companies have full orders and sufficient growth potential and power.
full orders on hand to support steady growth
Recently, China Railway Group Limited(601390) , China Railway Construction Corporation Limited(601186) , China Communications Construction Company Limited(601800) three central infrastructure enterprises have all handed over commendable “report cards”. Whether the driving force behind the good results and the industry prosperity can be continued affects the eyes of investors.
China Railway Group Limited(601390) 2021 achieved a total operating revenue of 1.07 trillion yuan, with a year-on-year increase of 10.11%; The net profit was 27.618 billion yuan, a year-on-year increase of 9.65%. Infrastructure construction is the largest source of the company’s operating income, which mainly comes from railway, highway, municipal and other engineering construction. Orders in hand and newly signed contracts are the engine of the company’s performance growth.
“The company’s orders on hand at the end of 2021 were 4.5 trillion yuan, an increase of 22% over the end of 2020. The balance of orders on hand accounted for a high proportion of revenue, about four times the operating revenue of 2021, which provided a guarantee for the stable growth of the company’s future operating revenue and profit.” China Railway Group Limited(601390) secretary he Wen told investors that the company’s newly signed orders were 2.42 trillion yuan, an increase of 10.7% year-on-year, accounting for 89%, further highlighting the company’s advantages in the traditional infrastructure market.
China Communications Construction Company Limited(601800) performance maintained a steady development momentum. Last year, the operating revenue was 685639 billion yuan, a year-on-year increase of 9.25%, and the net profit attributable to the shareholders of the company was 17.993 billion yuan, a year-on-year increase of 11.03%. As of December 31, 2021, the amount of unfinished contracts under execution was 3.13 trillion yuan, with sufficient order reserves and continuous optimization of structure, which provided strong support and guarantee for the sustainable and steady development of the company.
China Communications Construction Company Limited(601800) chairman Wang TongZhou further expressed his confidence in infrastructure investment. “In accordance with the requirements of national steady growth, we carefully study and judge the situation and feel that infrastructure investment will once again become an important starting point for steady growth. As a leading enterprise in the field of global infrastructure, we are confident to complete this year’s production and operation indicators.” He said that in the current situation outside China facing many uncertainties such as the impact of the epidemic, anti globalization and the increase of commodity prices, the company will follow up with the national strategic deployment and actively follow up in the “big transportation” fields such as ports, waterways, water transportation and integrated three-dimensional transportation network, as well as the “big cities” direction such as the improvement of urban energy level and the integration of industry and city.
accelerating the pace of new infrastructure construction and promoting transformation
In addition to traditional infrastructure businesses such as railways, highways, airports and ports, in recent years, strategic emerging fields represented by 5g, artificial intelligence, industrial Internet, Internet of things and big data center have led the development direction of building industrialization, digitization and intelligence, and gradually become the driving force of infrastructure investment. What new strategies and opportunities the new infrastructure layout has become the focus of investors’ questioning at the performance briefing.
China Railway Group Limited(601390) chairman Chen Yun said in response to the CSI small and medium-sized Investor Service Center that the company has confidence in future infrastructure investment and is determined to transform and upgrade. On the one hand, with the country actively promoting infrastructure investment and construction and further promoting major regional strategies, the construction of the new economic belt will continue to heat up, and the next few years will still be a key period for the development of China’s infrastructure construction. On the other hand, the development of the construction industry will gradually change from investment, labor and other factors to innovation. The company will seize the opportunity, accelerate innovation and the combination of industry and finance, and improve the high-quality development ability in an all-round way.
China Communications Construction Company Limited(601800) executive director Sun Ziyu elaborated the company’s development plan in the field of new infrastructure. He said that the company will actively grasp the digital and intelligent development direction of the infrastructure industry, stimulate the amplification, superposition and multiplication of digital on industrial development, and accelerate industrial transformation and upgrading. At the same time, the construction of urban rail transit is also an important part of the new infrastructure. It is understood that the company has specially established the track business department to build the track branch, track design institute and electromechanical Bureau into an integrated rail transit sector, and has made efforts in the rail transit sector. In the early stage, the bid winning amount of Sichuan Tibet Railway reached 20 billion yuan.
China Railway Construction Corporation Limited(601186) chairman Wang Jianping revealed that the company will solidly improve the industrial layout, accelerate the expansion of new energy, new infrastructure, ecological and environmental protection and other new businesses while improving the market share of traditional businesses, and form new growth points.
high speed railway continues to polish “China’s business card”
From engineering construction to technical equipment, from safety production to operation management, a number of Shanghai capital construction and equipment manufacturing companies have made independent innovation and overcome difficulties, constantly refreshing the “high-speed railway speed”. At the performance presentation meeting, investors also paid close attention to the technical advantages and strategic layout in the field of high-speed railway and railway construction.
As the largest construction group in the field of railway infrastructure and urban rail transit infrastructure in China, China Railway Group Limited(601390) has undertaken more than two-thirds of China’s railways and electrified railways, representing China’s highest level in Railway Electrification Technology and stepping into the world’s advanced ranks. He Wenxin happily told investors: “the newly signed contract amount of the company’s railway business maintained a rapid growth, with 433.57 billion yuan of contracts completed in the whole year, a year-on-year increase of 22%; the outstanding contract amount at the end of the period was 724.61 billion yuan, a year-on-year increase of 13.8%; in 2021, the market share of China’s large and medium-sized railway construction reached 46.6%, ranking first in China.”
Crrc Corporation Limited(601766) , Zhuzhou Times New Material Technology Co.Ltd(600458) and other high-speed railway equipment manufacturing companies shared a series of innovative achievements in enabling the development of high-speed railway.
Lou Qiliang, President of Crrc Corporation Limited(601766) said that Crrc Corporation Limited(601766) has built a EMU product pedigree with completely independent intellectual property rights. The “Fuxing” series EMUs with speeds of 160350 kilometers per hour have been fully put into operation. The “Fuxing” EMUs of Shuangyuan on the sectorau have been put into operation on the Lalin railway, realizing the full coverage of “Fuxing” in 31 provinces (autonomous regions and cities); 600 km / h high-speed maglev, 400 km / h variable gauge transnational interconnection high-speed EMU, 350 km / h Freight EMU and the first Chinese standard subway train have been offline.
Zhuzhou Times New Material Technology Co.Ltd(600458) chairman Peng Huawen said that the company has always adhered to the strategy of “strengthening the enterprise with science and technology”, accelerated the construction of innovation center with industrial digitization, built a global lighthouse factory for shock absorption and noise reduction of rail transit, and created a world-class industry. “The company has newly established the industry and engineering division, which will focus on the production of products related to rail transit lines and bridges, and expand its business to other industrial and engineering fields such as building vibration reduction and isolation, so as to enhance the company’s comprehensive competitiveness in rail transit and other related business fields.” Xia Zhi, the company’s board secretary, added.
