On the evening of April 16, Yuefeng Aluminum Industry announced its annual report for 2018. In the case of the decline in the price of aluminium, the company put into operation new projects, coupled with continuous breakthroughs in the high-end market, achieved sales growth and business income growth. However, due to the increase in costs, net profit declined slightly. In 2018, the company realized business income of CNY20.222 billion, an increase of 18.48% over the same period last year; operating cost of CNY16.707 billion, an increase of 26.44% over the same period last year; net profit of shareholders belonging to listed companies was CNY1.438 billion, a decrease of 10.76% over the same period last year. Earnings per share is CNY0.15.
The sustained growth of business income lies in the company's intensification of new product development, expansion of product application areas, improvement and optimization of product structure. Among them, the capacity of aluminium extrusion production line and deep processing production line is continuously released during the reporting period, and the original production line is adjusted and increased by improving processing technology, so as to increase product sales.
The slight decline in net profit was attributed to a larger increase in operating costs, an increase of 26.44% over the previous year, mainly due to the rise in raw material prices and the fall in the prices of raw aluminium products. In the adverse circumstances of the industry, in 2018, the company continued to adhere to the "innovation-driven, high-end manufacturing, intensive processing" strategic development ideas, products continue to tilt towards high-tech, high value-added products. After years of market development and technological accumulation, the company has achieved a leap from traditional civilian products to high-end industrial products, becoming the world's most advanced equipment, technology and processing capacity in the forefront of domestic aluminum production and processing enterprises. During the reporting period, with the gradual release of production capacity of new projects, the company's high-end manufacturing strategy has made significant breakthroughs: the supply of aluminum materials for aviation and automobiles has continued to increase, the scope of supply has further expanded, and long-term orders have been signed with international first-class mainframe factories; while doing a good job in research and development, certification and production of high-end aluminum materials, the company actively promotes and implements further. Industry strategy, continue to extend the industrial chain, enter the field of aviation spare parts with higher added value. During the Fanburo International Aerospace Exhibition from July 16 to 22, 2018, the company signed a formal joint venture contract with the French Aerospace Group, which marks the formal establishment of a comprehensive strategic cooperative relationship between the two sides. Next, the two sides will jointly invest in the construction of the aeronautical parts deep processing production line in the company's Aeronautical Materials Industrial park, providing parts for the international aircraft manufacturers and the production of large domestic aircraft. Pieces. At present, the company has become the first aluminium processing enterprise in China to officially supply aircraft manufacturing and parts processing enterprises such as Boeing, Airbus, Rollo, Saifeng, China Aviation Industry. It also supplies large quantities of products to famous domestic and foreign automotive main engine factories such as BMW, GM, Chery and world-famous new energy automotive factories, and orders continue to grow.
