News Release


CIMC’s Revenue of RMB163,700 million in 2021, Hitting a Record High


On the evening of March 28, CIMC Group published its annual results report 2021. According to the report, the revenue of CIMC Group for 2021 was approximately RMB163,700 million, exceeding RMB100,000 million for the first time, representing a year-on-year increase of 74%; operating profit was RMB13,470 million, representing a year-on-year increase of 81%, hitting a record high.

Revenue significantly increased by 70% to exceed RMB100,000 million for the first time, as a gift for the 40th anniversary of putting CIMC into operation

In 2021, the revenue of CIMC reached RMB163,700 million, significantly exceeding the previous record high of RMB94,200 million in 2020, and even the two high levels of RMB100,000 million and RMB150,000 million, with the highest growth rate in decades.

CIMC sought faster development at a higher level, bravely assumed responsibilities, and made efforts to open up a new prospect. In the past year, CIMC made rapid progress, with its revenue and operating profit respectively exceeding RMB100,000 million and RMB10,000 million. Its net profit attributable to the parent company was RMB6,665 million, representing a year-on-year increase of 25%. The contribution to the operating profit was prominent. The debt ratio remained stable at 63%. ROE increased to 15%. There was a significant improvement in the development progress and asset quality.

Based on outstanding performance in the previous year, CIMC planned to distribute an annual dividend of RMB 0.69 per share in cash to its shareholders. The cash dividend accounted for 38.22% of the adjusted net profit attributable to the parent company, a high level. Meanwhile, in line with the high growth of the Group, CIMC also proposed the conversion of capital reserve into share capital on the basis of 15 shares for every 10 shares held by shareholders. Meanwhile, CIMC also announced the key employee stock ownership plan (draft) with a term of 10 years, which reflected the firm confidence of the management of CIMC in its long-term development. CIMC made outstanding achievements in 2021 far better than in previous years, marking a highlight in the 40-year development of CIMC, as a lavish gift for the upcoming 40th anniversary of putting CIMC into operation.

In the previous year, CIMC continued to strengthen, optimize and expand its logistics and energy equipment business. It made forward-looking arrangements for strategic emerging businesses, and promoted the coordinated development of its various segments by strengthening the innovative business model of top-level design, thus achieving an overall sound development trend of stable finance and solid business. In the past year, all employees of CIMC adhered to the enterprise spirit of “striving for self-improvement and excellence”, seized the historic opportunity, and delivered excellent results to shareholders and the society.

Significant achievements in focus on the superior business, and brilliant performance of core businesses

In 2021, CIMC adhered to the main development principle of “focus on superior business and promotion of high-quality growth”, continuously integrated the advantages of equipment manufacturing and service in logistics and energy industries, and consolidated its position as an industry leader.

In the past year, major business segments of CIMC and enterprises directly managed by the Group made significant contributions to the “high-quality” growth of CIMC. According to the annual report 2021, revenue from the six segments, namely containers, vehicles, energy and chemical, TianDa, offshore engineering and logistics accounted for more than 90% of the total revenue of CIMC last year, indicating the significant achievement in the strategy of CIMC focus on superior core businesses.

According to the report, in 2021, the containers segment recorded revenue of RMB65,967 million, presenting a year-on-year increase of 197.64%, and net profit of RMB11,327 million. The vehicles segment recorded revenue of RMB27,648 million, hitting another record high, and net profit of RMB988 million. The energy, chemical and food equipment segment recorded revenue of RMB19,528 million, representing a year-on-year increase of 46.92%, and net profit of RMB885 million, representing a year-on-year increase of 145.57%. TianDa Holdings, mainly engaged in airport and logistics equipment, firefighting and rescue equipment businesses, recorded revenue of RMB6,842 million and net profit of RMB193 million. The logistics service segment recorded revenue of RMB29,471 million, representing a year-on-year increase of 177%, and net profit of RMB542 million, both of which hit record highs. As an approximately 2-year-old business unit of CIMC, CIMC Load Unit recorded revenue of more than RMB6,000 million, representing a year-on-year increase of 98%, and net profit of RMB577 million, representing a year-on-year increase of 512%, hitting a record high. After excluding the impact of impairment, the offshore engineering segment also reduced loss significantly.

In the past year, for core businesses, CIMC Group continued to be deeply engaged in the market of its champion product businesses, and continuously consolidated its position as a market leader. The sales of some champion products hit record highs. Meanwhile, CIMC continued to implement industrial upgrading projects and launch innovative products.

In 2021, due to the influence of the outbreak and shipping cycle, international container shipping was in a period of boom. CIMC made every effort to increase its production when containers were in short supply, so as to support the “stabilization of foreign trade” of China, meet the demand for containers in export, and make its due contribution to stabilizing the global supply chain system. Under the new production methods, in the container business, the efficiency of production of standard dry containers increased by 64%, and the production and sales volumes of containers hit record highs.

In the road transport vehicle business, the global sales volume of various vehicles exceeded 200,000 units in 2021. According to the data of automobile professional associations in China, CIMC Vehicles ranked first in China in terms of sales volume of concrete mixer trucks, for the fifth year in a row, with its market share increasing to 29.3%. There was a rapid rebound in businesses in overseas markets, showing the prominent advantages of intercontinental operation and further enhancing the global leading position. In terms of the road transport vehicle business, overseas manufacturing and assembly plants in the United States, Canada and the UK, etc., were put into operation successively. Meanwhile, new structural design roadmaps and lightweight composite materials were developed.

The energy, chemical and liquid food equipment businesses developed rapidly. CIMC maintained its leading position in terms of core storage and transportation equipment and technology of clean energy in China, and continued to rank first in terms of sales volume of chemical tank containers in the world. In terms of the liquid food business, CIMC further consolidated its overseas leading edge in liquor brewing equipment, and made a breakthrough in China by securing orders for Chinese spirits brewing projects and equipment for the first time. Substantial breakthroughs were made in the development of high-end cryogenic equipment products including liquid helium tanks and storage tanks in the energy and chemical segments.

In the airport equipment business, CIMC continued to rank first in terms of sales volume of boarding bridges in the world, and continuously integrated its businesses to establish a supplier mainly engaged in the boarding bridge business and airport support equipment solutions, so as to support the transformation of domestic and overseas airports to intelligent and green ones.

With regard to the offshore engineering business, the amount of new orders reached US$1,450 million, hitting a record high since the transformation and upgrading of the company. Projects were delivered in batches, which contributed to making new achievements. “Shenhai-1”, the first 100,000-ton deep-water semi-submersible oil production and storage platform in the world, was delivered. CIMC accelerated its arrangements for new businesses, with deep development of wind power business and fishery business

In terms of logistics services, with the superior resources of CIMC Group, CIMC actively promoted innovative businesses including new energy, cold chain, LNG and steel logistics in Xijiang. 20 Xijiang LNG ships have been built and are about to be put into operation. CIMC supplemented its air transport capacity in multimodal transport, with an annual air freight volume of 80,000 tons. CIMC innovated shipping SOC products, with an annual shipment volume of 50,000 TEUs, thus further consolidating its position in superior routes.

Promotion of production through financing: Capital operation for supporting the focus on industries and achieving transformation and upgrading

Capital operation and corporate strategy complement each other. In 2021, CIMC continuously promoted all segments and enterprises directly managed by the Group to optimize resource allocation by capital operation, promoted the focus on industries, and achieved transformation and upgrading.

CIMC Vehicles was listed on the Shenzhen Stock Exchange in July 2021. Like CIMC Group, CIMC Vehicles has A shares and H shares listed in Shenzhen and Hong Kong respectively. CIMC-TianDa, CIMC Safeway and CIMC Wetrans are also steadily advancing their listing processes.

In 2021, CIMC also continuously optimized the shareholding structures and financial position of relevant enterprises through measures including introduction of strategic investors. Last June, Yantai State-owned Assets Supervision Committee intended to invest RMB835 million in cash to take a 16.7% stake in Yantai CIMC Raffles Marine Technology Group , which significantly promoted the restructuring of CIMC Offshore Engineering.

In November last year, CIMC Financial Leasing successfully introduced strategic investors including Shenzhen Capital Group to the financial service segment of the Stated-owned Assets Supervision and Administration Commission of Shenzhen. CIMC Financial Leasing will make full use of the resources from strategic investors for rapid and steady development, which will also enhance the ability of CIMC to focus on industries and is expected to continue to generate good investment income for CIMC.

In 2021, CIMC Wetrans successively and strategically invested in high-quality enterprises at home and abroad, including Globe Success Group, Delfin Group and Gold Wide, thus covering global routes, and developing into China’s leading integrated logistics service provider for transport by river, sea, rail, air and land.

In 2022, CIMC continuously promoted its capital operation. In March 2022, CIMC Group, Shanghai International Port Group and Hidden Hill Capital jointly increased their capital contributions to CIMC Wetrans Logistics Technology (Group) Co., Ltd., and introduced many high-quality strategic investors for CIMC Wetrans.

These capital operation methods effectively promoted the implementation the strategies of CIMC for business structure optimization, and played an important role in promoting key strategic measures of CIMC including focus on superior industries, expansion of strategic emerging businesses and establishment of competitive business portfolios.

Main principle of operation in 2022: Expanding presence in emerging industries and focusing on high-quality growth.

With regard to future work ideas, the main principle of operation of CIMC in 2022 is “expanding presence in emerging industries and focusing on high-quality growth.”

On the one hand, CIMC will vigorously expand its presence in emerging industries. With a focus on two major topics, namely intelligent logistics and clean energy, CIMC will expand its presence in areas in which there are demands in markets and shortcomings in industries and CIMC is able to be engaged. CIMC will gradually build an anti-cyclical business portfolio with stable profits, so as to improve the overall return level of the sustainable business of the Group. CIMC will make arrangements for and explore forward-looking industries, including cold chain, hydrogen energy, stored energy, offshore wind power, bamboo chain and other businesses, through investment, mergers and acquisitions, innovative incubation, industrial funds, etc., so as to have in pipeline and develop strategic emerging businesses for CIMC.

On the other hand, CIMC will continuously focus on high-quality growth. CIMC will deepen the strategic goal of “high-quality growth” and adhere to its strategic and business focus. Through a series of equity optimization and asset liquidation measures, CIMC will identify superior businesses and increase resource investment to achieve high-quality growth. Through measures such as the strengthening of scientific and technological innovation, product intelligentization and promotion of intelligent manufacturing, CIMC will establish model enterprises for excellent operation, and achieve financial stability and improvement in operational quality and efficiency, especially the average efficiency per employee. While consolidating the advantages in market share, CIMC will continuously enhance the added value of products, service capabilities, and value contribution of products.

Mai Boliang, chairman and CEO of CIMC Group, said: “2022 is the 40th anniversary of putting CIMC into operation. In the past 40 years, CIMC has been adhering to the enterprise spirit of “striving for self-improvement and excellence”, and has written a story of CIMC about its efforts to become the world champion and win the respect for Made in China in the world. CIMC has developed into a diversified multinational group well-known at home and abroad. Under the new development paradigm of “dual circulation”, CIMC will continue to live up to its original aspiration and mission, achieve long-term and steady development, and make effort to develop itself into a respectable, high-quality and world-class enterprise.”