On September 6th, Guangfa Securities and Boshi Fund received institutional research

Q: Overall situation of the company

Answer: The company's operating revenue in the first half of 2023 was 1.832 billion yuan, a year-on-year increase of 30.11%; The net profit attributable to shareholders of the listed company was 162 million yuan, a year-on-year increase of 10.01%. The company's dedicated equipment revenue in the first half of the year was 1.047 billion yuan, a year-on-year increase of 34.87%; IDC's business revenue in the first half of the year was 785 million, a year-on-year increase of 24.26%.

Question: The situation of the woodworking machinery industry

Answer: Despite fluctuations in the real estate market, the development of the woodworking machinery industry is relatively stable. On the one hand, consumer upgrading is reflected in the rise of customized home furnishings, and the development of the customized home furnishings industry requires upgrading production equipment to continuously meet flexible production needs; On the other hand, domestic equipment has a higher cost-effectiveness, with some technological levels surpassing those of foreign countries, and the trend of import substitution is irreversible.

Q: Current order status for specialized equipment

Answer: The growth rate of the company's performance in the first half of the year was relatively ideal, and the current orders are relatively full. The demand for orders from regional distributors and new production lines from leading enterprises has increased. Recently, the newly introduced real estate policies can stimulate the new and second-hand housing market, and the policy direction will have a direct effect, and the decoration market will be restored. At the same time, leading domestic home furnishing companies have introduced strategies to stimulate the consumer market, stimulating the production capacity of home furnishing enterprises. The company is optimistic about the market situation in the second half of the year.

Q: Application of new products and technologies in the company

Answer: The company's products have been optimized and upgraded from various stages, and new products have been launched for cutting, drilling, and edge sealing. Taking the double station hexagonal drill as an example, the processing efficiency is extremely high, reaching over 9 pieces per minute, which can fully meet the needs of customers; Taking the laser edge banding machine as an example, it is the company's latest domestically developed fully servo adjusted rectangular laser edge banding machine. At present, some top brand customers' intelligent manufacturing factories have all used the company's products, transitioning from an "import+domestic" production line to a production line for all domestic machines, and the company's equipment has been fully recognized by customers.

Q: Overseas market situation of specialized equipment

A: In recent years, the export volume of the company's products has constantly hit a record high, mainly in the BRICS countries and the the Belt and Road countries. The export proportion of special equipment in the first half of 2023 will be about 18%. Overseas demand is rising, and there is still much room for international sales. From the recent Shanghai International Woodworking Machinery Exhibition, it can be seen that overseas customers are increasing and overseas orders are also increasing. In the future, the company will focus on exploring the European and South American markets and increasing its overseas market share.