On August 17, Guangdong Dongpeng Holdings Co., Ltd. (hereinafter referred to as "Dongpeng Holdings") released its 2022 semi-annual report. The report shows that Dongpeng Holdings’ revenue and net profit declined in the first half of the year.
Revenue in the first half of the year was 3.231 billion yuan
Revenue decline due to increased inventory
The semi-annual report shows that Dongpeng Holdings achieved operating income of 3.231 billion yuan in the first half of the year, a year-on-year decrease of 13.61%. The net profit attributable to shareholders of the listed company was 118 million yuan, a year-on-year decrease of 69.45%. , the net profit after non-recurring gains and losses attributable to shareholders of listed companies was 83 million yuan, a year-on-year decrease of 73.49%. The net cash flow generated from operating activities was -198 million yuan, a year-on-year decrease of 141.61%.
Dongpeng Holdings stated that the main reason for the decline in revenue in the first half of 2022 is due to an increase in inventory, which led to a significant decline in operating income in the current period. In the first half of the year, the construction and ceramics industry faced huge challenges, and the company faced multiple difficulties. First, the liquidity pressure in the real estate industry was not effectively alleviated and sales declined, resulting in shrinking demand in the building materials market; the company proactively controlled risks and adopted prudent strategies for the real estate engineering business. , revenue from strategic engineering channels declined during the reporting period. Secondly, due to the sharp increase in the prices of natural gas, coal and raw materials, although the company has adjusted product prices in a timely manner, it will take time to transmit the pressure of rising costs to downstream. Third, due to the recurrence of local epidemics, the performance of sales subsidiaries and marketing regions such as Shanghai, Shenzhen, and Xi'an has been greatly affected; production capacity and logistics transportation of some production bases have been affected due to epidemic prevention and control. On the whole, Dongpeng Holdings' performance in the first quarter of 2022 was greatly affected by the external environment, but there was a significant increase in the second quarter from the previous quarter, and it has not yet been able to completely reverse the year-on-year decline in the first half of the year.
Meet market demand
Accelerate the adjustment of industrial structure
It is understood that Dongpeng Holdings is mainly engaged in the research and development, production and sales of building sanitary ceramic products represented by ceramic tiles and sanitary ware. Its main business includes the production and sales of ceramic tiles, sanitary ware (sanitary ware) Ceramics and sanitary ware products), wooden floors, coatings, integrated wall panels, auxiliary materials (waterproofing, tile adhesives, seams), new ecological materials and home furnishings and other products and services are building sanitary ceramics.One of the leading brands in the porcelain industry. During the reporting period, it was shown that there were no major changes in the main business and main products of Dongpeng Holdings.
On August 16, due to the strengthening concept of tile adhesive, Dongpeng Holdings’ stock price reached its daily limit. Last year, the Ministry of Housing and Urban-Rural Development issued an announcement on the "Category of elimination of construction techniques, equipment and materials that endanger production safety in housing construction and municipal infrastructure projects (first batch)". "Facing brick cement mortar pasting technology" was included in the elimination catalog, and ceramic tile adhesive, The popularity of new adhesives such as premixed materials and construction techniques such as dry hanging and thin pasting is expected to further increase. Therefore, it can be seen that under the national conditions where national policies drive the use of green building materials, the dual carbon and dual control goals continue to advance, and energy consumption and energy consumption indicators have become an important factor affecting the production of the ceramic industry.
Dongpeng Holdings stated that it will cater to national conditions and social market needs. On the one hand, it will accelerate the adjustment of industrial structure, promote the improvement of corporate R&D and innovation capabilities, and continue to promote the development of the green building materials industry; On the other hand, it will accelerate the adjustment of corporate industries and create more development opportunities and greater development space.
Development plan for the second half of the year
Four major paths drive performance
The report shows that Dongpeng Holdings will drive industrial performance and achieve strategic goals through four major paths: innovation-driven, lean operations, digital empowerment and green development.
Innovation driven. Dongpeng advocates a culture of innovation and divides the innovation development path into three stages. The first is product functionalization. Dongpeng products are given more functions through healthy ceramic tiles, healthy bathroom ware, burn-free ceramic tiles, smart bathroom ware, etc. attributes; the second is the integration of wall and floor and bathroom space, providing Dongpeng wall and floor scenario solutions and delivery services, and residential bathroom space solutions and delivery services; the third is the integration of hard decoration space, providing Dongpeng hard decoration overall Solutions and delivery services.
Lean operations. In terms of lean manufacturing: through technological innovation, process leanness, energy conservation and emission reduction, and the creation of intelligent production lines; using industrial Internet and 5G information technology to build an international level four standard intelligent manufacturing factory. In terms of lean supply chain: building end-to-end value chain digital collaboration capabilitiescapabilities to achieve a demand-driven warehouse-to-warehouse rapid response system. In terms of lean marketing: release a brand matrix and start from user scenarios to cover more market segments; achieve accurate customer acquisition and efficiently meet needs.
Digital empowerment. Dongpeng will continue to iterate its digital strategy and release the Digital Empowerment 2.0 strategy. Digital empowerment, with the help of the Internet of Things and 5G technology, builds an intelligent manufacturing factory that meets the national level four standards; continues to promote retail digitalization, empowers dealers and stores, and provides digital solutions of "wall-to-floor integrated products + services" to bring Give consumers a better consumption experience.
Green development. With the overall positioning of "Low Carbon Dongpeng, Pioneer in Green Building", Dongpeng provides first-class low-carbon ceramic products and services, becoming the source of advanced green and low-carbon technologies in the ceramic industry, helping to achieve the industry's carbon peak and carbon neutrality. and goal leader, becoming a pioneer enterprise in the low-carbon transformation of my country's ceramic industry.
Dongpeng Holdings stated that it will continue to uphold the vision of "Century Enterprise, World Dongpeng", continue to innovate, strengthen adjustments in the production and sales of ceramic tiles and sanitary ware sectors, and solve the problems faced as soon as possible , to increase corporate revenue. The report shows that Dongpeng is currently the first in the industry to launch new ceramic products such as wall slate, Zunshi slate and graphene smart warm slate, as well as a series of bathroom products with nano coating and antibacterial glaze technology, providing consumers with more Green products promote the development of the ceramic industry.
