This report comments on the profit data of Chinese industrial enterprises published every month.
Profits of industrial enterprises increased by 8.5% from January to March
From January to March, the profits of Industrial Enterprises above designated size increased by 8.5% year-on-year and rebounded by 3.5 percentage points. Among them, the profit growth rate in March was 12.2%, a sharp increase of 7.2 percentage points. Against the background of continued high prices of industrial products, the profits of industrial enterprises improved month on month in March.
The profits of state-owned enterprises increased by 19.5% year-on-year, up 2.8 percentage points from the previous value; The profits of private enterprises increased by 3.2% year-on-year and rebounded by 4.9 percentage points.
The proportion of manufacturing profits continued to decline
From January to March, the profit of mining industry increased by 147.8% year-on-year, the profit of manufacturing industry decreased by 2.1% year-on-year, and the profit of power, heat and gas industry decreased by 30.3% year-on-year. High growth rate of mining industry; The manufacturing industry improved slightly, but still fell year-on-year; The decline in the power industry narrowed.
From the perspective of the profit proportion of the three major industries, the proportion of mining industry fell slightly, but it is still significantly higher than last year's level; The proportion of manufacturing industry further decreased to 75.4%; The proportion of power industry rebounded.
Among the 31 manufacturing industries, 16 industries achieved year-on-year growth in profits, of which: some upstream industries with rapid profit growth last year fell significantly, such as petroleum processing industry and chemical fiber manufacturing industry; The profit growth rate of most middle and downstream equipment manufacturing industries rebounded or narrowed; However, due to the impact of the epidemic on the supply chain and other reasons, the profit decline of automobile manufacturing and general equipment manufacturing expanded.
The cost of enterprises has risen continuously, and the inventory has accumulated
From January to March, the operating revenue increased by 12.7% year-on-year and continued to fall by 1.2 percentage points; Operating costs increased by 13.5% year-on-year; The profit margin of operating revenue was 6.25%, up 0.28 percentage points month on month. Corporate sales continued the downward trend, and the profitability rebounded slightly month on month. The cost per 100 yuan of operating income was 84.07 yuan, rising for the fourth consecutive month.
At the end of March, the growth rate of finished goods inventory increased by 1.3 percentage points to 18.1%. Due to the continued weakness of downstream demand, the inventory growth rate increased significantly again.
It is expected that the profit in April may fall again affected by the epidemic
From the high-frequency data, the overall growth rate of upstream industrial prices fell in April. We expect that the support of upstream prices for the profits of the mining industry will weaken in April, and at the same time, many places across the country will take control measures due to the local epidemic, which will affect the industrial production and supply chain. Therefore, we expect that the profit growth rate of industrial enterprises may decline again in April.
Risk tips
The economy has changed more than expected.
