Zhongke Electric: High-voltage inverter has sales performance Foreign market is the future income growth point

Continuous casting EMS orders are full and production capacity is limited: The company is the leader in the continuous casting EMS industry. By the end of 2009, the company has produced 700 streams. In 2009, the order was 148 streams. In the first half of 2010, the order was 125 streams. It is close to 200 streams. In this year's order, square/round billets account for more than 90%, and slabs have more than a dozen streams. The company's fund-raising project is to expand the production capacity of continuous casting EMS. Due to certain reasons, the company's fund-raising for the expansion of industrial land has been postponed, which has affected the capacity expansion of fund-raising projects. At present, the company relies on excavating the original production capacity to maximize its output. Workers work overtime is very serious. The current production capacity reaches the top 200 million. The raised investment project is expected to start releasing production capacity in the second half of next year.

Permanent magnets are worth looking forward to: Electromagnets are traditional industrial magnetic applications. They have a large market capacity and far exceed the market for continuous casting EMS. Yueyang is the country's most concentrated manufacturing area for electromagnets. There are many manufacturers and the output value is about RMB 900 million. Accounted for more than 50% of the national market, the national electromagnet market capacity of about 17-18 billion. As the company currently receives the constraint of continuous casting EMS production capacity, the emphasis is placed on the production of continuous casting EMS. After the release of continuous casting EMS production capacity in the future, the company is expected to achieve greater growth in the lifting of magnetic equipment business. The company also developed permanent magnets with high added value, which have certain achievements, but because the price of permanent magnets is much higher than that of ordinary electromagnets, they need to be further promoted. With energy saving and emission reduction in mind, permanent magnets Electromagnets will gradually contribute more sales later.

High-voltage inverter has sales performance: The company's inverter has been sold separately, the product was originally a subsidiary of China Electric Electric to do, and later the subsidiary revoked, set up the inverter department. High-voltage inverter market capacity is very large. The company mainly produces high-performance high-voltage inverters. The company is the first batch of energy-saving and environmental protection companies announced by the State Council. High-voltage frequency converters often use contract energy management sales, but they are not well measured. The buyer’s management is not yet mature. Now the state gives subsidies to enterprises in this way. Even so, the company has given up its contract energy management model and sold its products independently.

The foreign market is the growth point of future income: the foreign market is a growth point, but the main breakthrough in the foreign market is the bulk electromagnetic stirrer in the continuous casting EMS. It is difficult to export the continuous EMS package system. The export countries include India, Taiwan and Saudi Arabia. , Turkey, Canada, the company set up overseas business division, and ready to set up an office in India. The company's original products are mainly concentrated in domestic sales, and are constantly learning about the characteristics and sales of overseas markets. Use of over-raised funds: The company’s over-raised funds are still several hundred million. The use of funds depends on the sales of high-voltage inverter products in the second half of 2011. If the sales are good, it is expected that some of the funds raised will be invested in this business. . Postponing most of the over-raised funds may also be used to extend the existing business-related extensions.

Performance Forecast and Judgment: Due to the delay in raising investment projects, there is no expansion in production capacity, and the prices of square/round billet products have declined. It is expected that the year-on-year performance will be unlikely to increase year-on-year, and may even decline slightly; in the second half of 2011, The investment project began to contribute to production capacity, and it is expected that the performance will increase by 5%-10%; the company's performance will increase substantially in 2012.