In 2011, the company achieved operating income of 5.929 billion yuan, an increase of 6.48% over the same period last year; operating profit of 58.743 million yuan, reversing losses (a loss of 31.3594 million yuan in the same period last year); net profit belonging to the owner of the parent company was 36.6703 million yuan, an increase of 50.33% over the same period last year; and basic earnings per share was 0.0840 yuan.
The investment income helps the company to realize the operating profit and reverse the loss. In 2011, the company's investment income increased by 1515.94% over the same period last year, mainly because the company transferred the equity held by Jiangsu Shuntian International Group Real Estate Co., Ltd. and other subsidiaries engaged in real estate business to obtain larger disposal income, thus turning operating profits into profits.
The gross profit margin is the same as that of the previous year, and the expenses are well controlled. The company's comprehensive gross profit margin was 7.83%, down 0.07 percentage points from the same period last year, basically the same as the previous year. The sales expenses generated by the company were 226.27 million yuan, an increase of 6.29% over the same period last year, and the sales expense rate was 3.82%, a decrease of 0.01% over the same period last year. The management fee was 170.11 million yuan, an increase of 10.5% over the same period last year, and the management expense rate was 2.87%, an increase of 0.1% over the same period last year. The financial expenses were 125.61 million yuan, an increase of 64.71% over the same period last year, and the financial expense rate was 2.12%, an increase of 0.75% over the same period last year. The increase in financial expenses is mainly due to the sharp increase in financing costs such as short-term borrowing and bill discount.
The diversified operation mode seeks the new profit growth point. After successfully developing the sales business of mechanical and electrical products, the company entered the field of mechanical and electrical equipment installation engineering for the first time, and successfully won the bid for major projects such as the cruise terminal of Xiamen Port Bureau and the installation of mechanical and electrical equipment in Guoxin Hainan Longmuwan. The company established Jiangsu Shuntian Chemical Storage Co., Ltd. with the legally obtained liquid chemical storage equipment located in Zhangjiagang Free Trade Zone as the carrier, and obtained the management qualification of liquid chemical product storage. It has achieved a good start to production and profits in that year, and achieved a relatively sufficient cash return.
It is expected that the company's earnings per share from 2012 to 2013 will be 0.00 yuan and 0.01yuan respectively, maintaining the company's "neutral" investment rating.
Risk hint: the company's traditional foreign trade is facing an unfavorable situation affected by the economic situation.
