Weichai Power sales target of RMB 35.2 billion this year

Weichai Power recently announced the 2008 annual report and the first quarter of 2009 report showed that the company's product sales and sales income have steadily increased, creating a record high. After achieving revenue of 33.128 billion yuan in 2008, the company proposed that it will implement a diversified strategy at full speed in 2009 and achieve a sales target of 35.2 billion yuan.

The annual report shows that Weichai Power achieved a net profit of 1.931 billion yuan last year, a slight decrease of 4.4% year-on-year; the earnings per share of 2.32 yuan, the company intends to send a cash dividend of 0.13 yuan per share to all shareholders. In the first quarter of 2009, it achieved operating income of 6.166 billion yuan, net profit of 361 million yuan, and earnings per share of 0.43 yuan.

As the most powerful auto parts and power assembly system industry group in China, Weichai Power's flagship includes China's No. 1 brand engine, No. 1 brand transmission and No. 1 brand heavy-duty car sedan, with obvious market advantages and brand influence. force. In 2008, due to the negative impact of the global economic crisis and the cyclical structural adjustment of China's economy, the economic growth slowed down and the demand for machinery manufacturing industry shrank significantly. However, Weichai Power's powertrain with the engine, transmission, and axle as the core The plate continued to maintain a steady growth momentum, further consolidating the company’s leading position in the supporting market for heavy-duty trucks weighing over 14 tons and loaders of 5 tons or more.

Due to the significant increase in the prices of raw and auxiliary materials such as steel and plastics, the significant decrease in production and sales of products in the second half of the year, and the increase in high-value inventory, the Company made an annual profit of Weichai Power in 2008. There was a slight decline in the level.

In the past year, Weichai Power further established its competitive position in the powertrain system and auto parts. As of December 31, 2008, Weichai Power sold 296,000 units of engines, a year-on-year increase of 20.8%. In particular, the sales of heavy-duty truck engines reached 197,000 units, an increase of 19.3 percentage points over the industry; the market share of heavy-duty trucks with more than 14 tons reached 36.5%; the engine sales of construction machinery reached 88,000 units, and the loader market of 5 tons or more continued to maintain the industry. leadership.

Following the successful entry of the Hunan Torch in 2005, Weichai Power successfully acquired the French Boduuan Engine Company in January 2009 for a price of 2.99 million euros, and successfully took the first step in cross-border mergers and acquisitions. As a production and R&D company with 16 to 33 liters of high-power engines, Baudouin provided complementary commercial advantages with Weichai Power. After the acquisition, Weichai Power took advantage of Baudouin's products, technologies and brands to further explore the foreign market.

Weichai Power stated that in 2009 for Weichai Power, it was a year in which both opportunities and challenges coexisted. The company will focus on Blue Engine and rely on the newly developed 5L/7L/16L engines to continuously develop passenger and non-loader engines. Emerging markets such as machinery, medium- and heavy-duty trucks, ships, and industrial power generation will unwaveringly build market diversification and strive to achieve a sales target of RMB 35.2 billion.

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