The comments on the operation of the board of directors of Zhe Zhong shares (002346) 2023 are as followsFreevideopokergamestodownload:
I. the situation of the company's industry during the reporting period
The "14th five-year Plan" is a comprehensive construction period of intelligent power grid in China, the domestic power industry and economic construction will continue to develop by leaps and bounds, and the medium and low voltage distribution manufacturing industry will still be in a period of sustained, stable and rapid development. the overall demand of the industry will further increase. Electricity consumption of the whole society in 2023Freevideopokergamestodownload.22 trillion kilowatt-hours, an increase of 6.7 percent, and the gradual recovery of the domestic economy has pushed the growth rate of electricity consumption higher than the same period last year. According to the national power industry statistics released by the State Energy Administration in 2023, the completed investment in power grid projects reached 527.5 billion yuan, an increase of 5.4% over the same period last year, and the amount of power grid investment increased steadily year by year, providing important support for promoting the development of the power industry. The electric power industry is very important to the development of the national economy and the improvement of people's living standards, and it is an important basic industry encouraged by the state. A number of national policies and industrial development plans support the development of the industry. From the recent national energy strategic plan, the active development of electric power is still a long-term development strategy of our country. With the rapid development of advanced manufacturing, artificial intelligence, new energy and other emerging industries in recent years, the transmission and distribution and control equipment manufacturing of the company's industry is expected to benefit from it.
II. The main business of the company during the reporting period
The main business of the company during the reporting period is complete sets of switchgear and investment business.
1. Complete switchgear business
The main products of the company's complete sets of switchgear business are all kinds of distribution cabinets below 35KV, which are general distribution equipment, which are widely used in power grid, industrial manufacturing, civil construction, rail transit, airport hub and other scenes. In recent years, the company's main customers are concentrated in integrated circuits, the State Grid, urban rail transit, airport railway and other fields. The company's complete sets of switchgear are generally customized products, mainly through bidding to complete sales, the production mode is mainly "fixed production by sales", first by the design institute according to the needs of users to design drawings, and then by the production enterprise to carry out product design and organize production, the products are delivered to users after factory inspection, and provide supporting power system installation and deployment and spare parts services.
In recent years, the company has actively grasped the development momentum of the domestic integrated circuit industry, and has served a number of well-known domestic semiconductor enterprises with its deep ploughing resources, good brand reputation and rich project experience in the high-tech electronics industry.
two。 Investment business
The investment business of the company during the reporting period is mainly carried out through equity direct investment and participation in private equity funds. The equity direct investment model is to invest the company's own funds in the equity of unlisted enterprises, while the private equity fund model invests its own funds indirectly in the equity of the enterprise through the contribution to private equity funds, and obtains the investment income through equity appreciation.
By the end of the reporting period, the companies directly invested in Shanghai Rural Commercial Bank Co., Ltd., Shanghai Fengxian Gas Turbine Power Generation Co., Ltd., Jiangsu Ronghui General Lithium Industry Co., Ltd., Haike (Jiaxing) Electric Technology Co., Ltd., Hantiancheng Electronic Technology (Xiamen) Co., Ltd. Investments through private equity funds include Su Min Investment Junxin Fund, Zhenzhong Junxin Fund, Liaoning Zhongde Fund, Haitong Huanxin Fund, Pingan Tianyu Fund, Shanghai Xinli Fund and so on. Its investment projects cover integrated circuits, medicine and biochemistry, energy conservation and environmental protection, high-end equipment and other fields. The company maintains an appropriate scale of investment business, which is conducive to diversification, helps the company to broaden its industry vision and gain an in-depth understanding of the frontier areas of manufacturing development, so as to seek strategic fulcrum for the transformation and upgrading of the company's industrial structure. Third, the analysis of core competence
The core competitiveness of the company is mainly reflected in the following aspects:
1. Industry competition pattern
The complete set of switchgear manufacturing industry is a manufacturing industry that combines electronic technology with power technology and uses the circuits composed of various power electronic components or devices to complete the transformation of electric energy and control devices. According to different power demand, through the conversion of power electronic equipment into electric energy of different properties and different uses, energy can be greatly saved, raw material consumption can be reduced, automatic control can be realized and production efficiency can be improved. There are many companies engaged in complete sets of switchgear industry, and most of them are small and medium-sized enterprises with homogeneous competition, but orders for complete sets of switchgear for important livelihood projects, large-scale electric power projects, and high-end manufacturing industries, it is still mainly completed by a small number of leading enterprises with the advantages of brand, technology and sales network. As a well-known manufacturer in the industry, the company occupies a leading position in the industry in the process of development, and continues to consolidate its leading position, and the market share of its leading enterprises will continue to expand in the development and integration of the industry. build higher obstacles and barriers for new entrants to the industry.
two。 Product and brand advantage
Qianzhong Electric, a subsidiary of the company, as a high-tech enterprise, has passed three system certifications: ISO9001 quality system certification, ISO14001 environmental management system certification and OHSAS18001 occupational health and safety management system certification. KYN37-12, KYN37-40.5 series intelligent high voltage cabinet, OKKEN intelligent low voltage cabinet and PPS series intelligent low voltage cabinet are the components and complete sets of equipment needed for intelligent grid by experts of Shanghai Electrical Appliances Industry Association, which belong to the products encouraged and supported by the state.
The company's products are mainly used in power transmission and distribution related fields, product quality is particularly important. Among the company's existing customers, infrastructure, Internet data, high-end integrated circuits and other industries related to people's livelihood have more stringent requirements for the stability and reliability of electrical equipment. Zhonghua Electric, as a leader in the complete set of switchgear industry, has a strong strength in the design, production and installation of complete sets of switchgear products, fully matching customers' stringent requirements on product quality. In recent years, the company has actively seized the development opportunities such as major infrastructure construction and high-tech integrated circuit supporting projects to create key model projects to enhance the influence of Luozhong brand in the field of high-end manufacturing industry.
3. Advantages of sales and customer resources
As the basic demand of the national economy, complete sets of switchgear are widely used in production and life. the diversification and distribution of its end customers determine the importance of a sound and sound sales network for production enterprises. China has a vast territory and there are some differences in the degree of economic development, which highlights the importance of the sales network rooted in various places for the complete sets of switchgear enterprises to achieve scale growth and overall strength improvement. While improving the sales network, the company has built up supporting logistics services and continuous service capabilities, which has also become a strong guarantee for the company to maintain customer resources and lay a solid foundation for sustainable sales. IV. Analysis of main business
1. Overview
(1) Overview
During the reporting period, the company's complete switchgear business grew rapidly, benefiting from continuous orders brought about by the rapid development of integrated circuit, data center and power grid infrastructure industry. Relying on the core competitiveness of brand, technology and customer resources advantages of complete sets of switchgear, the company actively grasps the demand growth of complete sets of switchgear driven by the rapid development of the domestic integrated circuit industry, Internet data centers and other emerging industries, while maintaining the market in traditional business areas such as the State Grid and rail transit, to achieve the stable and healthy development of the company's complete sets of switchgear business. The company's operating income in 2023 was 1122937947.79 yuan, an increase of 54.76% over the previous year.
(2) Analysis of the operation situation in the reporting period
1. Main business of complete switchgear
The company is deeply engaged in electrical business. Since 2005, the brand "Luzhong" has been recognized as "Shanghai famous Trademark" and enjoys high popularity in the industry, and its products have been continuously recognized as "Shanghai famous Brand products". The high-tech enterprise of Yazhong Electric Department has passed three system certifications: ISO9001 quality system certification, ISO14001 environmental management system certification and OHSAS18001 occupational health and safety management system certification. Evaluated by the experts of Shanghai Electrical Appliance Industry Association, the company's KYN37-12, KYN37-40.5 series intelligent high-voltage cabinet, OKKEN intelligent low-voltage cabinet and PPS series intelligent low-voltage cabinet all belong to the components and complete sets of equipment needed by the intelligent grid, and belong to the products encouraged and supported by the state. Over the years, the company has accumulated a large number of high-quality customers in production and operation, and stable and excellent customer resources are the guarantee for the continuous development of the company's business.
The complete sets of switchgear produced by the company are highly professional, with high requirements for performance and precision, and a high degree of personalization of demand. it adopts the production mode of "fixed production by sales" and the purchasing mode of "ordering by production". Sales is an important part of its production and operation, and the implementation of procurement and production revolves around sales contract orders. During the reporting period, it served a number of well-known domestic semiconductor enterprises, the State Grid, data centers and large-scale transmission and distribution infrastructure projects. The company will continue to work in industries with high market concentration, such as integrated circuits, the State Grid, rail transit and data centers, and strive to seize the opportunity of expansion of the new infrastructure market and steadily develop complete sets of switchgear business. at the same time, on this basis, we will continue to try the transformation of the manufacturing industry to find new profit growth points for the company's further development.
two。 Investment business
The company maintains a moderate investment business scale and mainly makes forward-looking investments in industries with high scientific and technological content and broad application prospects. Through equity direct investment, the company is involved in banking, power, lithium battery, third-generation semiconductors and other industries. through participation in private equity investment projects cover applied science and technology, medical, biomedical, integrated circuits, new energy, new materials, energy conservation and environmental protection, high-end equipment and other fields. The company's investment business helps the company to broaden its industry vision, deeply understand the frontier areas of manufacturing development, and explore strategic fulcrum to adapt to the transformation and upgrading of the company's industrial structure, in order to reduce the risk of a single business.
In recent years, the company has carried out equity investment around the semiconductor industry, gradually enhanced its influence in the semiconductor industry, and brought good synergy for the application of complete sets of switchgear in the semiconductor industry. In the future, the company will continue to maintain an appropriate investment business scale, try to diversify, enhance the ability to adapt to the market environment and anti-risk ability, and ensure the company's continuous operation and long-term development. V. Prospect of the company's future development
During the reporting period, the company's operating income increased steadily compared with the previous year, improving the technical content of products and seizing market segmentation opportunities on the basis of maintaining the original industry advantages. Relying on excellent product quality, the company has gradually won the trust of key customers. Among the company's existing customers, major infrastructure, Internet data, high-end integrated circuits and other industries have more stringent requirements for the stability and reliability of electrical equipment. Zhonghua Electric, as a leader in the complete set of switchgear industry, has a strong strength in the design, production and installation of complete sets of switchgear products to meet the stringent requirements of customers with reliable product quality.
In recent years, on the premise of maintaining the steady development of the main business, the company has maintained an appropriate investment business scale, mainly making forward-looking investments in industries with high science and technology content and broad application prospects, and gradually showing benefits. The company's equity direct investment involves silicon carbide, lithium materials, banking, power and other industries, through participation in private equity investment projects covering integrated circuits, medicine, biochemistry, energy saving and environmental protection, high-end equipment and other fields. The company's investment business helps to broaden the company's industry vision and gain an in-depth understanding of various banks.
The frontier field of industrial development, explore the strategic fulcrum of the transformation and upgrading of the company's industrial structure, in order to reduce the risk of a single business. The company will reasonably control the company's cash flow and investment scale according to the actual situation, strengthen investment business management and risk control, and actively pay attention to the operation of the investment target to maintain the safety of the company's investment funds.