Jihua Group: The Leader Of The Quartermaster Light Industry
Jihua Group Limited by Share Ltd (601718) will be listed on the Shanghai stock exchange in the near future, and online purchase will start today, the purchase code is 780718.
The number of A shares issued by Jihua Group is no more than 1 billion 157 million shares, and the fund-raising funds are mainly used for the construction of military and Police Occupational wear, the construction of professional shoes and boots for military police, the construction of military and police professional wear fabrics and home textile products, and special products.
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Five major categories and 16 projects, such as equipment construction and R & D institution function construction, will be used to supplement the company's working capital.
The leader of the Quartermaster light industry
Jihua Group Limited by Share Ltd was founded in June 26, 2009. The controlling shareholder is the central enterprise Xinxing casting Group Co., Ltd., which is directly under the State Council's SASAC.
Jihua Group is the largest Quartermaster light industry enterprise in China.
The predecessor of the company's subsidiaries is the Quartermaster enterprise under the leadership and management of the General Logistics Department. It has been undertaking the tasks of production and support of the army and the armed police force.
The company is mainly engaged in
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Clothing, special equipment, professional shoes and other series of brand products R & D, manufacturing and capital operation, have occupation clothing, occupation.
Shoes and boots
Protective clothing, textile printing and dyeing and leather shoes five major business segments.
The leading industry position and stable customer base lay a solid foundation for the leapfrog development of the group, making it a leader in the light industry.
In the field of professional wear, the China International Group is in the leading position in the industry, enjoying about 75% of the market share of the military uniform market, and the share of the uniform clothing department of public security, judiciary, industry and commerce, taxation, railways, etc., which is more than 20% of the market.
It has reached the international advanced level and the leading level in the domestic production and manufacture technology.
In the field of professional footwear, Jihua Group focuses on R & D and production of all kinds of professional footwear and functional footwear. Anti puncture, high temperature resistance, antistatic, waterproof and oil repellent, skid resistant and wear-resisting shoes are at the top level in China, and the market share exceeds 30%.
In the field of protective equipment, the China International Group is the first largest bulletproof vest manufacturer and bulletproof helmet manufacturer in China, and is the only enterprise in the country that has a full range of military tent production capabilities, and occupies a leading position in the market of military cooking cars and bulletproof vehicles.
All kinds of occupational protection munitions safeguard products of the company, with high technology content and strong protection function, play an important role in safeguarding national security, safeguarding national interests, emergency rescue and disaster relief.
In terms of textile printing and dyeing, the company has international advanced level of textile dyeing and printing equipment. The annual production capacity of grey cloth is 120 million meters, especially the width and breadth of high density, high-density home textile grey cloth 3 to 6 million meters, leading the high-end home textile products consumer market; the annual production of printing and dyeing coloured cloth 16, 000 million meters, waterproof, flame retardant, infrared protection, tear resistance and other functional dyeing and dyeing and military camouflage color cloth manufacturing technology is the first class level in China.
In leather leather shoes, the group has a market share of over 70% in the special functional footwear market of the armed forces and the armed police force.
The company has the world's most advanced rubber double density injection shoes and boots production line, with rubber double density continuous injection molding technology research and development, production of shoes and boots in the munitions market segments in the leading position in the industry.
At the same time, as the only shoe manufacturer in China to participate in aerospace projects, Jihua Group has successfully developed "Shenzhou" five, six and seven manned spaceship products, such as training boots, expedition boots and spaceflight boots.
Strong munitions market advantage and market potential of civilian products
INTERCHINA group is currently China's largest supplier of munitions light industry.
In the next three years, the professional wear and leather shoes, which dominate the munitions, will maintain a relatively rapid growth, with a compound growth rate of 20.6% and 24.5%.
As the largest supplier of munitions in the armed forces and the armed police force, the position of Jihua Group in the munitions market is hard to shake.
In the three years from 2007 to 2009, the sales revenue of munitions accounted for 44%, 48% and 48% of the total income of the group.
The main income of munitions comes from professional uniforms, that is, uniforms of military and armed police and leather shoes, which account for 75% and 82% of the categories of income in 2009.
After decades of development and running in, the interconnected business model of the whole industry chain, the plant and distribution channels covering the whole country and the high quality production facilities have met the special requirements of standard dress for the armed forces, the armed police force and other large public sector and large enterprises.
Because munitions require more consistency in specifications, texture and color, manufacturers must have higher raw material procurement and coordination capabilities.
Generally speaking, textile enterprises are often unable to collect enough upstream and downstream resources in a limited time to meet large orders.
In this regard, the China Group has not only a complete munitions product mix, including textile printing and dyeing, professional wear, professional footwear, leather shoes, and protective fittings, forming a complete industrial chain of military supplies, but also able to complete the garment manufacturing and shoemaking tasks at regular intervals with the help of a large system of unified supply of munitions.
At present, the market of professional clothing, especially the uniform market of military police, is characterized by regional coverage. The military logistics department will designate local professional clothing production enterprises to provide products for the local garrison and carry out regionalization guarantee.
In the future, professional clothing manufacturers need to take advantage of the regional layout and establish a more stable and long-lasting customer relationship with customers in various regions.
Jihua Group has been providing the army's R & D and production services for the whole army for a long time. The products cover all 7 military regions, including Navy, air force, and artillery, etc. in Beijing, Nanjing, Lanzhou, Ji'nan, Guangzhou, Chengdu and Shenyang, and each military area is supplied by focal points by the regional or neighboring subsidiary companies, so that it can fully meet the army's requirements for the supply of munitions.
At the same time, the number of orders for the armed forces, the armed police force and other large public sector and large enterprises is generally very large.
Based on the characteristics of large order, low production risk and high replenishment frequency, these orders are highly demanded for the automatic production scale of the production enterprises, and the production of high automation is conducive to the lowest production cost of the company.
From 2007 to 2009, the Group invested 798 million yuan to rebuild the manufacturing system and key equipment. The technology and equipment were updated around the adjustment of the product structure and the extension of the industrial chain. The international first-class technology and equipment were imported from Germany, Italy, Japan, the United States, Sweden and other countries.
Moreover, the main personnel of the management team of the group have worked for many years in the munitions supporting enterprises or management organs. They have a deep understanding and understanding of the needs of the armed police, the quality control standards of the munitions, and the bidding system of the munitions. In short, the entry barriers of large number of professional uniform shoes market are actually higher than that of the ordinary civilian products industry.
Therefore, military police and professional uniforms with special protective functions have maintained relatively high profit margins, while small scale ordinary professional uniforms are relatively competitive and profit margins are low.
The competitive advantage and customer resources accumulated by the China group in the past decades will gain more benefits in the future development of munitions customer needs to a higher quality.
Although the performance of Jihua Group in the civilian product market is not as impressive as that in the field of military supplies, the group has more than 30% of its market share in the rubber footwear industry, and the nonwoven filter business has achieved a compound growth rate of 110% over the past 3 years. The competitive edge in the textile and dyeing Market is also striking.
The group has the ability to continue to deepen its efforts in the above three markets and expand its market share in the large domestic public sector and large central enterprises.
The Sino China Group's civilian product business maintained a fairly stable development from 2007 to 2009, mainly benefiting from the stable development trend of the pharmaceutical business of Jihua Group.
In 2007, the development of nonwoven filter materials has been developing vigorously, and the compound sales growth rate has reached 110% over the past 3 years.
Nonwoven filter materials will continue to develop rapidly under the environment of increasing national environmental input, and will become the most important growth point in protective equipment.
Optimizing product structure with scientific and technological innovation
In optimizing the product mix, the China Group will focus on the development of high-end market with high technology and high added value.
The group's affiliated Hua Hua 3537 company aims at rapid development, extends the industrial chain to the front end of high value-added raw materials, and establishes a new rubber processing industry, achieving the rapid development of the benefit multiplier. The 3547 Chinese companies have developed multi-functional and multi-element new bulletproof anti puncture clothing as the precursor of the new technology research and development, and has made a special place in the special equipment market; the 3526 China company focuses on the special products, adjusts the product structure, and makes the special products become an important support for the rapid development of the enterprises; and the 3509 China and 3542 China companies have developed and produced a number of high value-added textile products with national patent technology, which have been widely welcomed in the domestic and foreign markets.
Through its technological innovation and enhancing its capability of independent innovation, the China Group has realized the pformation and upgrading of enterprises from labor-intensive to technology intensive.
The China Group currently has 5 professional research institutes, including 45 professional research institutes, including professional wear, professional footwear, protective clothing, textile printing and dyeing, leather shoes.
The group has 3 state-level high-tech enterprises, 1 state-level technology centers, 15 provincial-level enterprise technology centers, 2 provincial key laboratories and engineering technology centers.
By the end of June this year, the China International Group had applied for and received 597 patents from the State Intellectual Property Office, including 305 authorized patents. The China group also participated in the R & D and manufacturing of Shenwu, Shenzhou VI and Shen seven space boots. The Shenzhou seven Spaceship Launch shoes successfully filled the vacancy of the astronauts out of the space capsule.
The company has won the honorary titles of "2009 China's most innovative enterprises", "China's PARKnSHOP innovation demonstration enterprise" and "China's independent innovation TP0100 enterprise".
Management advantages enhance corporate image and cohesion
The group has many advantages in management.
The company has a strong management team and a high level of staff, the company has a number of rich industry knowledge, operational experience and management skills of senior management personnel.
The main personnel of the management team have worked in the munitions supporting enterprises or management organs for many years. They have a deep understanding and understanding of the needs of the armed forces and the armed police, the quality control standards of the munitions, and the bidding system of the munitions. They have over 20 years of work experience and management practices in textile and apparel, professional footwear, leather shoes, protective clothing and other related industries, especially in the field of market development and new product development with rich management skills and professional knowledge.
The company has established an open competitive and market-based selection mechanism, with the development of ideas, decision-making capabilities, management capabilities, market development capabilities and loyalty to enterprises as the main criteria for selecting and employing people.
The excellent management skills and successful operation experience of the company management team and the spirit of "hard work and dedication" of the "veteran Quartermaster" staff have made the China group remain invincible in the decades of market competition.
In order to meet the requirements of the market economy, since its establishment, the company has actively promoted the reform and restructuring of enterprises, and has established a management system and operation mechanism to meet the requirements of the market economy.
In order to speed up the pformation of the company system, the company established a modern enterprise system, and enriched and optimized the structure of the board of directors of the subsidiary companies through the introduction of technical experts and accountants in the social sectors. It also optimized the age structure and knowledge structure of the managers and improved their executive ability through the restructuring of enterprises.
So far, the company has established the corporate governance structure of shareholders' meeting, board of directors, board of supervisors, managers' responsibility, checks and balances, decision-making science and effective execution in accordance with the provisions of the company law.
At the same time, the company actively set up and perfect the assessment and incentive mechanism, and set up a market-oriented incentive mechanism to attract talents, retain talents and make good use of talents.
With the implementation and commissioning of the project, it will further highlight and enhance the competitiveness of the core business of the group and enhance the profitability of the entire company, so as to further establish a more stable competitive position in the domestic and international markets.
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