A new journey of "three modernizations"! "Shanghai Securities News" praised Sany's high-quality development

On December 28, Shanghai Securities News published an article titled "Sany Heavy Industry: Embarking on a New Journey of Globalization, Digital Intelligence and Low Carbonization". As one of the series of reports on "Understanding My Listed Company - Into the Blue Chips", it focuses on the digital and intelligent innovation achievements of Sany Heavy Industry, and leads readers to understand the company's development strategy and future prospects.

Original report

Walking into the No. 18 factory of Sany Heavy Industry, it is like being in a garden. "During the day, when the weather is good, you don't need to turn on the lights to get the strong light you need for production; In summer, the temperature here is one or two degrees lower than that of other factories, and the breeze blows. The whole factory is like a 'steel tailor', relying on the self-developed 'brain' - MOM system and IoT Internet of Things to cut, weld and precision machine the steel plates pulled from the steel mill to form intelligent equipment. Liu Xiangju, director of the Process Support Institute of the Pump Division of Sany Heavy Industry, said.

At present, there are only 2 "lighthouse factories" certified by the World Economic Forum in the global heavy industry industry, and all of them are in Sany Heavy Industry. In the garden-like scenario, Factory 18 has a lot of "wisdom" - through the transformation and upgrading of intelligent manufacturing, personnel efficiency has been greatly improved, and manufacturing costs have been greatly reduced.

Recently, the "Understanding My Listed Company - Into the Blue Chip" series of activities jointly organized by Shanghai Securities News and Investment Service Center entered Sany Heavy Industry. Cai Shenglin, secretary of the board of directors of Sany Heavy Industry, said that in order to seize the development opportunities of the new era and new technological revolution, Sany is implementing the strategy of globalization, digital intelligence and low-carbon transformation. "We are confident in the new opportunities and new space in the technology upcycle, and we are more confident in the improvement of our operating capabilities and profitability."

The wisdom and strength of Factory 18

"These stars flashing on the map are the equipment that Sany is working on." In front of the big data management platform on the central axis of the No. 18 factory, Liu Xiangju pointed to the huge digital screen and said that from 2008 to the present, Sany has accumulated more than 800,000 construction machinery and equipment connected to the network, and the online situation of the equipment and the working hours will be fed back in real time, thus forming the Sany excavator index.

As the saying goes, start building before breaking ground. The Sany Excavator Index is also regarded as one of the "economic barometers".

"Now, what we see is the overall start of construction machinery across the country." Under Liu Xiangju's simple operation, the Shanghai Securities News reporter saw the mystery of the Sany excavator index.

According to the Sany Excavator Index, in November 2023, the overall operating rate of China's construction machinery was 60.18%, of which the operating rate of 11 provinces exceeded 70%, and it continued to run smoothly at a high level; In the same month,Truck cranesThe operation volume increased by 91.80% year-on-year, and the operation volume of truck cranes in Qinghai even increased by 172.80% year-on-year.

Factory 18 is the "most beautiful check-in point" for intelligent manufacturing. The reporter saw that the No. 18 factory is 1,000 meters long, covering an area of 110,000 square meters, and the entire plant has set up six major working islands in accordance with the "Sany production mode": automatic welding, intelligent coating, flexible machining, less manpower assembly, automated logistics and warehousing, and intelligent commissioning.

On the pump truck assembly line, it has a total length of 150 meters, plus a total of 12 stations off the line, and one pump truck rolls off the line every 45 minutes. At the same time, this is also a flexible assembly line, which can realize mixed line production and tailor-made pump trucks of different specifications for downstream customers.

The machining area of Factory No. 18 is called the "Black Light Factory", and in the process of processing precision parts such as pins and valve blocks, the manipulator will automatically identify and grab the loading and unloading, and the machine tool will realize automatic processing. Even at night, when the lights are out, it still works.

The core parts display area of the No. 18 factory shows the growth path of China's construction machinery industry from large to strong.

Leading the industrial transformation with the transformation of "three modernizations".

"Sany has upgraded its internationalization strategy to a globalization strategy, which means that Sany will integrate global resources, build a global enterprise, and focus on the development opportunities and space of globalization." Cai Shenglin said.

In the first half of 2023, Sany Heavy Industry achieved international sales revenue of 22.466 billion yuan, a significant increase of 35.87% year-on-year, and the proportion of international revenue in operating income reached 56.88%. This means that most of Sany Heavy Industry's revenue and profits come from the international market, and the globalization strategy has achieved a historic leap.

At present, the second phase of Sany Indonesia's "Lighthouse Factory" is in full swing. Located 70 kilometers from Jakarta, the capital of Indonesia, Sany Indonesia "Lighthouse Factory" is the first overseas "Lighthouse Factory" of Trinity designed and built in accordance with Industry 4.0 standards, and its first phase has been completed.

In November 2023, the "Sany South Africa ABP" project broke ground in Johannesburg, South Africa. Positioned as a regional manufacturing center, logistics center and talent center, the project is expected to be completed in a year with an investment of R300 million, when it will be able to produce 1,000 excavators and other construction machinery and equipment per year.

"Sany Heavy Industry will not only be limited to simple product exports, but also promote the layout of global intelligent manufacturing. The improvement of intelligent manufacturing capabilities helps us to better go overseas, so that we can greatly control the production cost of overseas localized manufacturing. After the 'Lighthouse Factory' in Indonesia, we will also build a 'Lighthouse Factory' in South Africa. At the same time, Sany will establish a number of global R&D centers in Europe and the United States. Li Qin, head of Sany Heavy Industry's overseas business headquarters, said.

Cai Shenglin said that in terms of digital intelligence strategy, Sany Heavy Industry has vigorously promoted intelligent products, intelligent manufacturing, and intelligent operation, including the global layout of intelligent manufacturing, manufacturing platform, industrial Internet construction, intelligent model building, intelligent technology research and development, and intelligent service platform solutions.

At present, Sany Heavy Industry regards low-carbon as an important strategy for enterprise development, focuses on the electrification of products, and has set up parallel electrification divisions in all business divisions to devote itself to the development and promotion of electrified products. At the same time, Sany Group has made a comprehensive layout in the new energy industry, entered the wind, solar, hydrogen, energy storage and new energy battery industries, and took new energy as the main direction to draw the second growth curve of Sany's business.

In the first three quarters of 2023, Sany Heavy Industry's electrified product revenue grew against the trend, and the sales market share of electric mixer trucks, electric dump trucks, electric cranes, and electric pump trucks ranked first in the industry. "Sany Construction Machinery and Equipment is marching towards electrification in an all-round way, and at the same time, it has deeply laid out the technical routes of electrification and the independence of key components. We believe that in 3 to 5 years, electrification will definitely become the core driving force to promote the development of the construction machinery industry. Cai Shenglin said.

Adhere to the path of high-quality development

For the future, Sany Heavy Industry is always full of confidence. "The construction machinery industry has ushered in a long-term technological upward cycle, globalization, digital intelligence, and low-carbon have become the consensus of the industry, and the construction machinery industry has broad development prospects." Cai Shenglin said.

Sany Heavy Industry believes that, on the one hand, in the future, new technologies represented by electrification and informatization will inevitably trigger new demand and new growth; On the other hand, the overseas market will also provide a huge space for China's leading construction machinery enterprises.

Cai Shenglin emphasized that Sany Heavy Industry adheres to high-quality development, improves profitability, increases payment collection, improves cash flow, adheres to the value sales policy, and enhances risk control. Judging from the performance in the first three quarters of this year, the company's high-quality development policy has shown a positive effect.

According to the data, in the first three quarters of 2023, the gross profit margin of Sany Heavy Industry products continued to increase as a whole, and the net profit attributable to shareholders of listed companies was 4.047 billion yuan, a year-on-year increase of 12.5%; The operation was stable, the foreign payment was well controlled, the collection rate increased, and the net operating cash flow in the first three quarters was 5.062 billion yuan, a year-on-year increase of 45%.

"Sany Heavy Industry and other leading construction machinery enterprises in China will usher in excellent overtaking opportunities. The development trend of electrification and intelligence in the passenger car industry will soon be transmitted to the field of commercial vehicles and construction machinery, and the trend of unmanned construction machinery will gradually rise. Cai Shenglin said.

In this context, the comprehensive strength of products, services and brands is particularly important. "At present, there are still three major gaps between Sany Heavy Industry and international top brands - market share in Europe and the United States, the scale of high-end large customers, and the sales volume of large equipment. In the next 5 to 10 years, Sany Heavy Industry and other leading construction machinery enterprises in China will greatly make up for the above gaps, and are very likely to surpass the top international brands, which contains huge room for further growth. Li Qin said.