① Jinpan Technology's total revenue for the first quarter was 1,305 billion yuan, up 0.60% year on year, and net profit to mother was 94.6396 million yuan, up 8.57% year on year. The growth rate has declined, but the trend has not changed; ② The Wuhan Jinpan Intelligent Technology Green Industrial Park was completed and put into operation in December 2023. After the project is completed and put into production, it is expected to achieve an annual production capacity of 20 million kVA for dry-type transformer series products.
“Science and Technology Innovation Board Daily”, May 28 (Special Correspondent Chen Junqing, Reporter Zhu Ling) “Implementing new quality productivity, on the one hand, uses digital transformation and capital market financing to release production capacity, and on the other hand, continues to invest in R&D. Sales in fields such as new energy and electrical support for industrial enterprises increased significantly during the reporting period, which contributed to the company's annual performance maintaining rapid growth.” Li Zhiyuan, chairman of Jinpan Technology, said this at yesterday's results conference.
Driven by the new energy industry, the country continues to advance power infrastructure construction and implement clean energy, energy saving and emission reduction policies, and the transmission, distribution and control equipment industry is also gradually increasing its attention. According to data, the sales revenue of China's transmission and distribution equipment industry is growing year by year, reaching 5.44 trillion yuan in 2022, and is expected to grow to 5.8 trillion yuan in 2023.
Jinpan Technology is a new energy power system supporting provider. It is mainly engaged in providing excellent power supply solutions and high-end equipment for all scenarios such as new energy, new infrastructure, energy efficiency, rail transit, etc., focusing on R&D, production and sales of dry-type transformer series, energy storage series and other products.
According to Jinpan Technology's 2023 annual report and quarterly report, the company is driven by the new energy industry, and the overall scale is showing a growing trend.
Specifically, in 2023, revenue was 6.668 billion yuan, up 40.50% year on year, and net profit to mother was 505 million yuan, up 78.15% year on year.
In the first quarter of 2024, total revenue was 1.305 billion yuan, up 0.60% year on year, and net profit to mother was 94.6396 million yuan, up 8.57% year on year. The growth rate has declined, but the trend is still the same.
Jinpan Technology's business is mainly divided into three parts: transmission, distribution and control equipment manufacturing, energy storage series products, and overall digital solutions.
The power transmission, distribution and control equipment manufacturing sector accounts for the largest share of the company's revenue. The business had revenue of 1,133 billion yuan in the first quarter, accounting for 87% of total revenue. Li Zhiyuan, chairman of Jinpan Technology, said that Jinpan Technology will continue to expand the application fields of dry-type transformer products, continue to develop technology for high-capacity high-voltage dry-type step-up transformers in the field of offshore wind power, and actively promote the commercialization of new products.
The remaining two businesses do not have a high share of business, but their scale continues to expand. By the end of 2023, the company had received more than 600 million yuan of digital factory overall solution business orders. On April 12, 2024, the company announced the signing of a new digital factory project contract of 297 million yuan. The digital business and energy storage business are expected to become the company's new growth curve.
It is worth noting that in 2024, it has been disclosed that new digital business orders will exceed 500 million yuan (tax included). At the same time, Li Zhiyuan said that in 2024, the company will adapt to the new trend of data asset listing and actively cooperate in depth with third party agencies and big data exchanges.
The “Science and Technology Innovation Board Daily” reporter noticed that Jinpan Technology is continuing to increase investment in research and development in personnel, equipment, etc. According to the annual report, R&D investment in 2023 was 351 million yuan, an increase of 42.06% over the same period last year, accounting for 5.27% of revenue.
In response, Li Zhiyuan, chairman of Jinpan Technology, said that in 2024, the company will further develop high-voltage dry-type power transformers for use in smart grids, and actively promote product prototype development and verification.
In the first quarter of 2024, domestic revenue accounted for 70%, and overseas revenue accounted for 30%, a significant increase from 18% for the full year of 2023. The increase in overseas revenue contributed to an increase in gross margin. Li Hui, director and general manager of Jinpan Technology, revealed that in 2023, the company's overall sales order was 7.832 billion yuan (excluding tax), an increase of 35.14% over the same period last year. Among them, with the rapid growth in overseas market demand and the increasing prominence of overseas channel advantages, the export business achieved strong growth. In 2023, the company's export orders were 1,991 billion yuan, an increase of 119.18% over the same period last year.
The demand for production capacity is also increasing due to the continuous increase in orders at home and abroad. When asked by the “Science and Technology Innovation Board Daily” reporter, Li Zhiyuan answered that the company's Wuhan Jinpan Intelligent Technology Green Industrial Park was completed and put into operation in December 2023. After the project is completed and put into production, it is expected to achieve an annual production capacity of 20 million kVA for dry-type transformer series products.