News Release


              The operating revenue was RMB 73.2 billion, with an increase of 85%


              On the evening of August 27, China International Marine Containers Co., Ltd. (CIMC for short, stock symbol: 000039. SZ\2039.HK) officially released its performance report for the first half of 2021.

              The report shows that from January to June 2021, CIMC's operating revenue was about RMB 73.2 billion (RMB, the same below), up 85.60% over the same period of last year; and the gross profit rate was 16.59%, and the net profit attributable to the parent company was about RMB 4.3 billion. It has achieved the best interim results since CIMC went into production in 1982.

              Among the principal businesses of CIMC, the operating revenues and profits of container manufacturing, road transport vehicles, energy/chemical/liquid food equipment, logistics, airport facilities, recycling vehicles, etc. have all increased substantially, and the scale and quality of the overall financial revenue have shown a gratifying upward growth trend.

              Container production and sales reached a new high, and the profit was 18 times that of the same period last year

              The report pointed out that CIMC still insists on focusing on container manufacturing business.

              From January to June 2021, CIMC's container production and sales reached the highest record in the same period of history, and its operating revenue and net profit increased sharply on a year-on-year basis. From January to June, CIMC's cumulative sales of ordinary dry containers were 1,145,500 TEU (twenty-foot equivalent units), with a year-on-year increase of 219.70%; and the cumulative sales of refrigerated containers were 94,500 TEU, with a year-on-year increase of 76.31%.

              From January to June, CIMC's container business achieved an operating revenue of about RMB 27.5 billion, with a year-on-year increase of 224.91%; and the net profit was about RMB 4.39 billion, with a year-on-year increase of 1739%, about 18 times that of the same period last year.

              All businesses are in a gratifying situation, and the operating revenues of some businesses have doubled

              From January to June, in addition to container business, the operating revenues of CIMC's road transport vehicles, energy/chemical/liquid food equipment, logistics, recycling vehicles and other business revenues also increased significantly.

              In the first half of 2021, the global road transport vehicle manufacturing industry recovered, and the demand for logistics and transportation at home and abroad was further restored, which promoted the significant growth of domestic and foreign market revenue of CIMC's road transport vehicle business.

              From January to June, in terms of road transport vehicle business, CIMC sold more than 80,000 semitrailers worldwide, with a year-on-year increase of 60%, and achieved an operating revenue of about RMB 17.7 billion, with a year-on-year increase of 58.28%; and the net profit was about RMB 760 million.

              In the first half of the year, CIMC Vehicles, the main business entity of CIMC road transport vehicle business, continued to promote the listing of A shares, and successfully listed on the GEM of Shenzhen Stock Exchange on July 8, realizing the simultaneous listing of A + H shares like CIMC, becoming the first batch of listed enterprises after the reform of GEM registration system.

              In the first half of the year, CIMC's energy, chemical and liquid food equipment business achieved an operating revenue of about RMB 8.3 billion, with a year-on-year increase of 43.42%; and the net profit was about RMB 350 million, with a year-on-year increase of 121.82%. Under this segment, as of the end of June 2021, the amount of orders in hand of CIMC Enric, a subsidiary of the Group, was RMB 12.25 billion, with a year-on-year increase of 23%, and the amount of newly signed orders was RMB 9.2 billion, with a year-on-year increase of 1%.

              According to the analysis of the report, due to the further growth of domestic natural gas consumption and the rapid development of hydrogen energy, the revenue of CIMC's energy business, which is the leader of clean energy equipment, has steadily increased, while the recovery of the global chemical and petrochemical industries has boosted the demand for chemical tanks and boxes, and promoted the substantial growth of CIMC's orders in hand and newly signed orders.

              In the first half of the year, in terms of airport facilities and logistics equipment, and fire and rescue equipment business, CIMC achieved an operating revenue of about RMB 2.8 billion, with a year-on-year increase of 29.31%; and the net profit was RMB 180 million, with a year-on-year increase of 128.86%.

              According to the analysis of the report, benefiting from the successful completion of Chengdu Tianfu International Airport and other projects as well as the outbreak of demand in the domestic e-commerce logistics industry, CIMC's boarding bridge, bridge-borne equipment business and automated logistics equipment business gained considerable growth in the first half of the year. On the other hand, China's urbanization and China's fire protection reform continue to advance, and CIMC's fire protection and rescue business, which is the leading industry, has achieved rapid growth.

              In the first half of the year, CIMC's logistics service business achieved an operating revenue of about RMB 9.9 billion, with a year-on-year increase of 122.97%, and achieved a net profit of about RMB 170 million.

              From the financial data, CIMC's logistics business is growing rapidly. Last year, the annual operating revenue of CIMC's logistics business was RMB 10.6 billion, making it the fourth business segment of CIMC with an operating revenue exceeding RMB 10 billion. From January to June this year, the operating revenue of CIMC's logistics business has reached RMB 9.9 billion, which is close to the total operating revenue of last year, thus the development momentum is expected.

              In the first half of the year, CIMC's recycling vehicle business achieved an operating revenue of about RMB 2.6 billion, with a year-on-year increase of 104.18%; and the net profit was about RMB 230 million. As a business unit established only over two years ago, the growth performance of this business is exciting.

              In the first half of the year, CIMC's financial and asset management business achieved an operating revenue of about RMB 1.05 billion and a net profit of about RMB 190 million, with a year-on-year increase of 5.81%.

              The clean energy strategy has been fully implemented, and the natural gas, hydrogen energy and offshore wind power businesses have flourished

              In the second half of last year, General Secretary Xi Jinping officially announced that China will strive to achieve the strategic objectives of peak carbon dioxide emissions by 2030 and carbon neutrality by 2060.

              As a Chinese enterprise focusing on improving the efficiency of the global energy and logistics industry, CIMC also actively responded to the call of the state, and according to the market demand, gave full play to its own advantages to help achieve the national “3060” dual-carbon goal. At the end of March this year, CIMC made it clear at the 2020 annual performance conference that it would continue to promote the strategy of “clean energy” and “smart logistics”.

              What is gratifying is that in the semi-annual report, behind the substantial increase in operating revenue and profits of major businesses, CIMC has achieved positive results in the key new energy field, which will further help the development of national low-carbon economy.

              According to the report, in CIMC's energy/chemical/liquid food equipment business, the clean energy business achieved an operating revenue of about RMB 4.45 billion, with a year-on-year increase of 48.74%, accounting for more than half of the revenue.

              In the field of clean and low-carbon fossil energy, in the first half of 2021, thanks to the promotion of policies such as changing industrial coal to gas and ensuring peak shaving and supply of urban gas, the upstream storage and transportation demand of LNG (liquefied natural gas) increased rapidly, and the sales volume of CIMC's LNG storage tanks, LNG tanks and LNG transport vehicles increased. At the same time, due to the accelerated construction of LPG (liquefied petroleum gas) micro-pipe network and the recovery of the global oil market, the operating rate of oil refining enterprises increased, and the sales of LPG spherical tanks and other related equipment, LPG transport vehicles and LPG transport ships were quite high from January to June.

              In the field of hydrogen energy, from January to June, CIMC's hydrogen energy business developed steadily and made a major breakthrough. CIMC's subordinate enterprise and Hexagon Purus AS established a joint venture company of four types of vehicle-mounted hydrogen cylinders and hydrogen supply systems, which is currently preparing for production and advancing steadily. In April, CIMC received an amount of orders of over RMB 100 million for hydrogen supply systems of hydrogen-powered heavy duty trucks. In May, CIMC and Ansteel joined hands to step in the fields of hydrogen production by industrial by-products and LNG, and create an “end-to-end demonstration industrial ecology” of resources + storage and transportation + application.

              In the first half of the year, CIMC also successfully joined Baic Motor Foton Vehicle Hydrogen Supply System Supplier List, joined the National Fuel Cell Vehicle Demonstration (Beijing) Enterprise List, and settled in Daxing District International Hydrogen Energy Demonstration Zone. Recently, CIMC also built the first oil, gas and hydrogen combined station in Baoding, Hebei Province, which will provide hydrogenation services for over 100 hydrogen-powered heavy duty trucks serving Xiong'an New Area infrastructure.

              In May, “Huadian CIMC 01”, an offshore wind power platform with 100% independent intellectual property rights transformed by CIMC Raffles, went to work in Shenquan sea area of Jieyang, Guangdong Province, and was applied to offshore wind power for the first time; In June, “CNOOC 15”, a jack-up drilling platform transformed by CIMC Raffles, officially went to the southern waters of Shandong Peninsula for offshore wind power installation, which was also the first delivered wind power installation platform transformed by jack-up drilling platform in China.

              Up to now, CIMC Raffles has completed three offshore wind power platform renovation projects, which also shows that CIMC Raffles has completed the transformation from single operation to standardized and systematic operation by using existing oil and gas assets to renovate the wind power installation platform. On the one hand, these measures can improve the utilization rate of CIMC's offshore engineering stock platform, on the other hand, they can also help CIMC Raffles accelerate its transformation from “oil and gas resources development platform supplier” to “marine new energy service provider”.

              CIMC Raffles has also successively signed strategic cooperation agreements with offshore wind power giants such as Huadian Heavy Industries Co., Ltd., Boqiang Heavy Industry, Yangtze Three Gorges Equipment & Materials Co., Ltd., and China General Nuclear Power Corporation to jointly develop the huge offshore wind power market. In July, CIMC Raffles introduced strategic investment from Yantai State-owned Assets Supervision and Administration Commission to complement each other's advantages and jointly develop offshore wind power, marine fishery and other businesses.

              In the first half of 2021, CIMC Raffles held a total of orders in hand worth USD 960 million, of which non-oil and gas orders accounted for about 40%, basically maintaining 50% of the business portfolio and capacity layout of oil and gas and non-oil and gas businesses. Thanks to the layout and development of new energy business, CIMC Offshore Engineering's operating revenue in the first half of the year increased by 11.5% year-on-year to about RMB 2.82 billion, with a year-on-year loss reduction of 23.5%.

              In the aspect of power cleaning of inland ships, at the end of May, CIMC cooperated with Zhaoqing City, Guangdong Province to start the “Xijiang River New Energy Transportation” project, promote the LNG-based power of inland ships and the modification and new construction of cement transport tanks, and strive to completely change the heavy pollution of traditional diesel-powered ships and open cement ships, and realize “gasification of the Pearl River and the Xijiang River”, which is expected to be gradually extended to other inland rivers in China and the world in the future.

              In July, CIMC Pacific CIMC Raffles also acquired some assets of Fengshun Ship, and harvested scarce Yangtze River shoreline wharf and several 10,000-ton dock resources, which provided a solid foundation for upgrading the power clean transformation and new construction of ships.

              Innovative business also catches up with the “dual-carbon” policies, highlighting the advantages of CIMC

              “Pioneering and innovating” has always been one of the core values of CIMC, and it is also the core “magic weapon” for CIMC to grow. CIMC's innovative business and innovative enterprises have also been expected and concerned by the public.

              Mai Boliang, Chairman and CEO of CIMC, once said: “CIMC’s principle of choosing new business is ‘this business has demand in the market, shortcomings in the industry, and is the advantage of CIMC’”. From the results, many innovative businesses and innovative enterprises of CIMC have indeed followed this principle and developed vigorously along the way.

              The national “3060” dual-carbon strategic objective has also brought great development opportunities to CIMC's innovative business and innovative enterprises, which have been quietly engaged in green, low-carbon and environmental intensive industries.

              For example, CIMC's recycling vehicle business focuses on providing customers with comprehensive solutions for recycling packaging instead of disposable packaging, with the aim of reducing the consumption and pollution of packaging materials in commodity transshipment and helping carbon neutrality.

              In the first half of 2021, the operating revenue of CIMC's recycling vehicle business increased significantly and turned from losses into profits, which made an important contribution to CIMC's overall outstanding performance and proved that “low carbon and environmental protection” is promising.

              The whole process cold chain of food is the best way to reduce the rot of fresh agricultural products at present. In terms of cold chain services, CIMC's cold chain logistics business has the end-to-end service capability of cold chain in Southeast Asia. The cross-border transportation business of cold chain logistics is equipped with CIMC Carrier recycling packaging. With durian packing cases and coconut green packing cases independently developed by CIMC, the loss of fruits during transportation is effectively reduced and the use of disposable cartons is greatly reduced. It has green, environmental protection and fresh-keeping performance. In the first half of this year, the operating revenue of CIMC's multimodal transport business of imported fruits for cross-border fresh transportation also reached a new high.

              In the aspect of pharmaceutical cold chain, the products developed by CIMC in the early stage have been continuously recognized by the market, and the cryogenic cold containers for transporting vaccines have broken through the difficulties of various ultra-low temperature materials and processes and refrigeration technology, and have been delivered in batches. In the first half of the year, CIMC has transported 67.17 million domestic COVID-19 vaccine products. At present, CIMC is the only enterprise in China that can produce active temperature-controlled fight cases, breaking the monopoly of the product in Europe and America.

              For CIMC, which has been engaged in container manufacturing for nearly 40 years, containerization has penetrated into the industry soul. The concept of container standardization, transshipment convenience and stackability has been refined by CIMC and applied to other industries, giving containers a brand-new connotation.

              On March 31 this year, Project Phase I of Class 1.5 Enterprise Port in Jiangdong New District of Haikou, of which the modular design was undertaken by CIMC and which undertook the manufacturing, transportation and installation works of modular buildings, was successfully completed. The project takes only 70 days from manufacturing to delivery of building modules, which refreshes the modular construction speed of CIMC again.

              In addition to modular buildings, container business is vigorously promoting various professional integrated equipment businesses and exploring “container +”. CIMC puts batteries into containers, power equipment into containers, and wastewater treatment equipment into containers, all of which are creative advantages caused by the cross-border integration of containerization concept and related industries.

              In the first half of 2021, CIMC's container integrated equipment business continued to develop rapidly and formed closer cooperation with the industry's head customers. At present, the energy integrated equipment business mainly focuses on four aspects: new energy substation equipment, power generation equipment, electrochemical energy storage equipment and new energy charging & battery swap equipment, among which new energy substation and energy storage equipment are the key business development directions of the container segment in the future. Environmental protection integrated equipment business mainly focuses on water treatment, fixed waste transfer equipment, etc. The container segment is planned to enter six market segments, including domestic wastewater treatment in villages and towns, riverway sewage interception treatment, decentralized water supply system, etc.

              In the second half of the year, CIMC's integrated equipment business will continue to focus on two major fields: energy and environmental protection, further deepen cooperation with head customers in the fields of energy and environmental protection, rapidly improve the integration and added value of products, and actively explore new “container +” application fields.

              In the future, CIMC has formulated a three-year strategic plan, with “steady operation and high-quality growth” as its strategic theme. Its main business will continue to focus on two major industries: “logistics” and “energy”, and the layout of emerging businesses will also focus on two main channels: “smart logistics” and “clean energy”, continuously optimizing its business portfolio, improving its asset income level and pursuing high-quality business development.