Industry analysts believe that, by national policies to stimulate consumption of cars, annual car sales are expected to maintain a 7% growth, driven by this, China's auto glass industry will maintain steady growth.
According to the China Securities Journal reported on July 24, the strong recovery in the first half of the Chinese automotive market, directly contributing to the automotive glass industry, including the auto parts industry, including the recovery. Industry analysts see the auto glass industry leader Fuyao will appear before the first half results are expected after the high-low feature, Fuqing headquarters is expected to transform the production line production line for automotive glass, automotive glass to expand capacity, improve product gross margins.
Degree of automotive glass industry, the economy is closely related to the automotive industry, from March, the domestic automobile market to new heights. Ping An Securities auto industry more than a senior fellow soldiers, said parts supporting the company's revenue and profit slightly delayed compared with changes in vehicle sales, income or the first quarter of Fuyao has bottomed out, the second quarter is expected year on year, the chain increased.
First quarter of 2009, sales revenue Fuyao 1.059 billion yuan, up by 21%, a decrease of 18%. Researcher Wang Jinxiang Industrial Securities, said in the first quarter results Fuyao decline is mainly due to 4 production lines of float glass float glass cut-off and prices fell more than 20% decline in the dollar also affected the export revenue settlement auto glass.
According to business analyst Wang Qingtao first introduced, starting from March, Fuyao orders and production showed a substantial growth in trend labor productivity and capacity utilization improved significantly. United Securities to the latest data, 7-8 months, the company's orders are still saturated, there is no sign of decline. Can be expected in the second quarter performance of the company rose more determined.
Fuyao is the largest auto glass manufacturer, in 2008 annual report, automotive glass company's main business revenue accounts for about 70%. Cao Dewang chairman said the company in 5 years and strive to become the world's largest supplier of automotive glass, but the company did not rebuild or buy a new float glass production line going.
China Merchants Securities, expected production line is expected to transform Fuqing headquarters for the automotive glass production lines. Higher gross profit margin as automotive glass, which will also enhance the company's consolidated gross profit margin. Auto Glass, 2008 gross margin was 33.74%, while gross profit margin of only 12.4% of float glass.
Industry analysts believe that, by national policies to stimulate consumption of cars, annual car sales are expected to maintain a 7% growth, driven by this, the domestic auto glass industry will maintain steady growth. As people's income, savings, consumption continued to increase under the echelon structure changes, the next 3-5 years, the domestic automobile consumption will continue to show steady growth trend.
In 2009, the European and American competitors Asahi, Pilkington, God-Gobain large number of factory closures, Fuyao be the main beneficiaries. Fuyao OEM now accounts for 70% market share, export about 40% of total revenue. United Securities believes that with the global auto market competition, accelerating generation of products, a single downward trend in sales of the product, which requires matching the upstream providers to better meet the variety of supporting small-volume trend, the production organization Fuyao The advantage will be further highlighted.
