The Impact Of The Epidemic On Profits And Profits Declined, And The Pressure Of The Textile Machinery Listed Companies Is Still Evident.

Recently, several listed companies in the textile machinery industry have released the 2019 annual report and the first quarter results announcement. Overall, affected by the outbreak of the new coronavirus pneumonia, the textile machinery listed companies generally failed to start work in the first quarter of this year, and the production and delivery of products were restricted. Among them, Cixing shares and Jinggong technology were in a loss, and Cixing shares were converted from losses in the same period last year to losses, indicating that the development of enterprises is still facing greater pressure. In the face of the sudden attack of the new crown pneumonia epidemic, the textile machinery listed enterprises play an irreplaceable role in key links on the one hand, combined with their own industrial characteristics and professional advantages, and contribute to the fight against the epidemic. On the other hand, they continue to focus on the requirements of high quality development, focusing on quality improvement, efficiency enhancement, innovation driven and intelligent transformation, and accelerating the transformation and upgrading.

Profit fell sharply

Tremendous pressure on enterprise development

Jingwei Textile Machinery Limited by Share Ltd (hereinafter referred to as "Jingwei Textile Machinery") recently announced its first quarter results announcement in 2020. It is estimated that the net profit attributable to shareholders of listed companies is 50 million yuan ~5200 million yuan, down 71.43%~72.53% compared with the same period last year. Affected by the new crown pneumonia epidemic, Jingwei Textile Machinery undergoes the first quarter commencement, and the production and delivery of products are restricted. Textile machinery business and financial business revenue decreased, profits declined, resulting in net profit attributable to shareholders of listed companies decreased year by year. The 2019 annual report released by Jingwei Textile Machinery showed that during the reporting period, the company realized operating income of 9 billion 335 million yuan, a decrease of 8.44% compared with the same period last year, and realized a net profit of 490 million yuan attributable to shareholders of the parent company, down 35.23% from the same period last year. The gross profit margin of the company was 25.6%, 13 percentage points lower than the previous year, and the net interest rate was 34.3%, basically maintaining the level of the previous year. During the reporting period, the operating cost of Jingwei Textile machinery was 3 billion 490 million yuan, down 6% from the same period last year, lower than the 22.4% decline in operating income; the period cost rate was 84.8%, an increase of 18.4% over the previous year, which was a drag on the company's performance. Operating cash flow fell sharply by 99.7% to 16 million 151 thousand yuan. The company's R & D investment was 200 million yuan, an increase of 16.2% over the same period. From the perspective of business structure, financial trust is the main source of business income of Jingwei Textile machinery. Its operating income was 5 billion 10 million yuan, an increase of 36.58% over the same period last year, and its textile machinery business realized 3 billion 714 million yuan, down 7.84% compared with the same period last year. The first quarter results announcement of Ningbo Cixing Limited by Share Ltd disclosed in 2020 is that the net loss attributable to shareholders of listed companies is 20 million yuan ~2500 million, compared with a profit of 42 million 728 thousand and 600 yuan in the same period last year. The reason for the change is due to the infection of the new coronavirus pneumonia, the delay of the company and the upstream and downstream enterprises' reemployment time has obviously affected the sales of the market, resulting in a decline in the company's first quarter revenue and a net profit loss attributable to shareholders of the listed company. During the reporting period, the impact of non recurring gains and losses on net profit is estimated at -240 million, which is mainly due to the decrease in financial returns and the donation of 3 million yuan to the Cixi Red Cross by the company to prevent and control the new coronavirus. Cixing shares 2019 annual results bulletin Bulletin shows that in 2019, the total revenue of Cixing shares was 1 billion 499 million yuan, down 11.23% from the same period last year; net profit attributable to shareholders of listed companies was -7.73 billion yuan, 153 million yuan from the same period last year, from profit to loss. According to the announcement, the total assets of Cixing share were 4 billion 66 million yuan, 25.94% lower than the current reporting period, and the basic earnings per share were -0.96 yuan, compared with 0.19 yuan in the same period last year. It is understood that during the reporting period, the performance change of Cixing shares was mainly due to the impact of the actual operation of the mobile Internet business and the changes in the industry policies of the subsidiary Hangzhou excellent investment Technology Co., Ltd. and the POLYMOBILE Network Technology Co., Ltd. of Hangzhou. The amount of impairment allowance is about 650 million yuan. In addition, due to intensified market competition and accelerated speed of computer flat knitting machine, it is estimated that the cost of inventory impairment will be about 100 million yuan. Zhejiang Jinggong Polytron Technologies Inc (2020) announced a quarterly loss of 15 million yuan ~2000 million yuan, a loss of 27 million 298 thousand and 200 yuan in the same period last year, down 53.55%~25.69% compared to the same period last year. According to the financial report, in 2019, Zhejiang Jinggong realized its total business income of 878 million 430 thousand yuan, the net profit attributable to shareholders of the parent company was -10863 million yuan, and its basic earnings per share was -0.24 yuan. Jinggong technology said that during the reporting period, the overall business performance of the company was relatively low due to factors such as the new crown epidemic situation and the Spring Festival holiday. At the same time, the expenses of company management and R & D expenses continued to grow during the reporting period, leading to a continued loss in the reporting period. Jinlun blue ocean Limited by Share Ltd announced the first quarter results announcement in 2020. It is expected that the net profit of shareholders belonging to listed companies in the first quarter will be 0.0~500.00 million yuan, up -100.00%~-73.98% over the same period. The first quarter of 2020, affected by the outbreak of new crown pneumonia, Jinlun shares and upstream and downstream enterprises resumed their working hours. In the first quarter, the production and business hours of the company decreased more than that of the same period last year. After the resumption of work, traffic restrictions and logistical sluggish conditions occurred, resulting in a decrease of about 23% in the first quarter, and net profit attributable to shareholders of listed companies decreased year by year. Performance express shows that Jinlun shares achieved 2 billion 452 million yuan in 2019, an increase of 7.5% compared with the same period last year. Net profit attributable to shareholders of listed companies was 58 million 489 thousand yuan, down 51.88% from the same period last year.

The key link is obvious.

To contribute to the fight against disease

In particular, it is worth mentioning that in the new crown pneumonia blocking war, the textile machinery listed companies play an irreplaceable role in key links in combination with their own industrial characteristics and professional advantages, and contribute to the textile machinery strength for the country and the world to fight against the epidemic. In order to fully cope with the outbreak of new crown pneumonia and alleviate the tight supply of respirator equipment, under the unified arrangement of the national machine group and the Heng Tian Group, the Jingwei Textile Machinery pumped out the lean strength. The first time the N95 mask machine project tackling group was formed, and the N95 mask machine was tackled with technical problems, so as to provide the mask machine equipment support for the whole country to fight against the epidemic as soon as possible. Since February 11th, from receiving orders to setting up project groups, from raw material to prototype development, from component production to mask assembly, and then to final installation and commissioning, 20 months before and after the use of warp and weft spinning machine, a semi-automatic N95 mask machine has been successfully developed. After that, a full-automatic N95 high-end stereo mask machine has been successfully developed. In March 17th, the "JWN3011 full-automatic N95 high-end stereo respirator" developed by Jingwei Textile machinery was approved by the prototype of the China Textile Machinery Association. The prototype has made breakthroughs in key technologies such as full-automatic ear belt fixed length shear welding system, various parts of steel mold and ultrasonic welding technology, roll cutting forming tool module, pneumatic execution system and so on. The automation and stability of the prototype have been improved, the structure is reasonable, the operation is reliable and stable, and the operation is convenient. The production efficiency of the whole machine can reach up to 50 pieces per minute, and the daily output of three machines per unit can be achieved. Up to 50 thousand or more. As a Chinese business card in textile machinery industry, Jingwei Textile machinery has the courage to shoulder the responsibility of central enterprises in the critical period of anti epidemic. It has independently developed an automatic N95 high-end stereo mask machine in a relatively short time, which has made up for the shortage of high-end manufacturing in the mask industry, and has made new contributions to the upgrading of medical and health industry and industrial protection industry. In addition to Jingwei Textile machinery, Cixing stock, Zhuo Lang intelligent, Jinggong technology and other textile machinery listed companies also play their own professional advantages, and devote all their efforts to R & D and manufacture related production equipment for epidemic prevention materials. The Dongguan Zhongtian Automation Technology Co., Ltd. of Cixing stock company has developed and manufactured a highly effective automatic mask machine. Now it has received more than 100 units, and has shipped nearly 60 units. In view of the demand for non-woven fabrics market, Zhuo Lang intelligent technology Limited by Share Ltd has pioneered an international leading non-woven carding line with the existing blowing carding technology to meet the production demand of non-woven fabrics with high quality requirements. Zhuo Lang intelligent has provided non-woven fabric blowing carding production line to many famous medical equipment manufacturers, and has established deep cooperation. Jinggong science and technology subordinate subsidiary Zhejiang Jinggong robot intelligent equipment Co., Ltd. has set up a mask automatic plane production line group, completed the mask mask production line research and development, trial work, and formed a small batch production capacity. The production line can produce a disposable flat respirator 100~110PPM per minute, and the main technical specifications meet the design requirements. As of March 12, 2020, Jinggong robot has signed a total of 89 masks production lines (7 of which have been shipped), with a total contract value of 41 million 875 thousand yuan.

Innovation driven by quality, efficiency and efficiency

Transformation and upgrading unswerving

Under the epidemic, the demand for mask products is large, which has stimulated the rapid increase of respirator demand in a short time. However, for textile machinery listed companies, the proportion of masks production line accounts for a small proportion of the company's operating income, which will not have a significant impact on the company's performance in 2020. Jinggong technology indicates that the development of the mask production line by Jinggong robot is needed to cope with the epidemic situation in the context of new coronavirus pneumonia control. After the end of the epidemic situation and the market demand of the mask equipment has returned to normal, the Jinggong robot will make a rational analysis and judgement on the business and decide whether to continue production. Facing the multiple pressures and challenges brought by the external environment, focusing on the requirements of high quality development, focusing on quality improvement, efficiency enhancement, innovation driven and intelligent transformation, accelerating the transformation and upgrading is the direction for the development of textile machinery listed companies. In the past two years, Jinggong technology has achieved a high quality development target around quality upgrading. It has done a lot of work in accelerating intelligent manufacturing, optimizing lean manufacturing, innovating sales mode, intensifying fine management, reforming scientific research system, and accelerating industrialization of new products and scientific and technological achievements. In 2018, the company's first carbon fiber microwave graphitization production line was successfully produced. In order to increase the development of the carbon fiber equipment market, Jinggong technology and Jilin Jinggong Carbon Fiber Co., Ltd. signed the sales contract of the large wire bundle carbon fiber production line in April 2, 2020, with a total sum of 183 million yuan. Jingwei Textile machinery has actively promoted the integration of industry and finance while deepening the textile machinery industry. The growth of financial trust business has promoted the development of textile machinery industry. Jingwei Textile machinery provides the whole process and life-cycle equipment and services to customers at home and abroad. Through the new media and model factories, it improves the visibility of the company, expands the influence at home and abroad, and keeps the industry status steady. Especially the successful implementation of the complete set of the digital spinning workshop and the first intelligent spinning factory in China, the international influence of the company is increasing. In 2019, Jingwei Textile Machinery Co worked with Wuhan Yu Dahua Textile Co., Ltd. to complete the Ministry of textile spinning intelligent production line project. The project achieved three key technical breakthroughs: the whole process automatic logistics delivery system, the whole process intelligent return receipt and payment system, and the whole process quality traceability system. The ten thousand spindles yarn production line has been reduced from 15 ~60 to 50 in the past. It has launched the world's first comb parallel system, realizing unattended at night, automatic operation of equipment, and automation and intellectualization level of spinning production line to a new milestone.

In 2020, Jingwei Textile machinery will continue to improve the level of automation and intelligentization of the equipment, and provide high-quality textile equipment for the global textile customers. We will continue to deepen the transformation of manufacturing oriented manufacturing service enterprises, set up a complete set of intelligent demonstration plants, set up service centers and spare parts centers in textile gathering areas, increase overseas market share and enhance profitability of textile machinery business.