Jianghuai’s net profit for the first half year dropped by 36.93% year-on-year to 315 million.

Anhui Jianghuai Automobile Co., Ltd. announced the first half of 2012 report. During the reporting period, the company achieved operating income of 14.418 billion yuan, a year-on-year decrease of 17.32% compared to 17.438 billion yuan in the same period of last year, and a net profit attributable to the shareholders of the listed company was 315 million yuan. A substantial drop of 36.93% in basic earnings per share, 0.24 yuan per share, representing a significant decrease of 41.42% from 0.39 yuan in the same period of last year

Automobile Sales Decline Significantly Declined According to the semi-annual report of Jianghuai Automobile, Jianghuai Automobile Co., Ltd. reported that due to the economic environment at home and abroad and the downturn in the auto industry, Jianghuai Automobile sold a total of 226,000 vehicles and chassis in the first half of 2012, a year-on-year decrease of 15.69%, of which Ruifeng Commercial Vehicles sold 26,800. Vehicles, a year-on-year decrease of 20.29%, 12.15 million units of trucks, a year-on-year decrease of 9.32%, and a sales volume of 59,600 units, a year-on-year decrease of 26.26%. Coach chassis sales were 12,600 units, an increase of 2.3% year-on-year. China's Ruifeng SRV sold 4,365 units, a year-on-year decrease of 41.46%. A total of 31,300 vehicles were exported in half a year, a year-on-year decrease of 11.92%

Affected by the decline in volume, the company realized total operating revenue of 14.418 billion yuan in the first half of the year, a year-on-year decrease of 17.32%, net profit of 315 million yuan, a year-on-year decrease of 36.93%, of which total vehicle operating revenue was 12.63 billion yuan, a decrease of 18.97% over the same period last year. The revenue from other products was 973 million yuan, which was basically the same as last year.

Shortage of funds, long-term loans increased by 171% from the beginning of the year

JAC pointed out that there have been significant changes in the company’s asset composition at the end of the reporting period. Among which, accounts receivable increased by 223.24% from the beginning of the year to 896 million yuan, prepayments increased by 43.86% from the beginning of the year to 364 million yuan, other current assets increased by 545.08% from the beginning of the year to 1.047 billion yuan, and other payables increased by 46% from the beginning of the year.

In response, Jianghuai Automobile stated that in order to meet funding needs, the company has significantly increased its borrowing funds from banks during the reporting period. The data shows that the current long-term loan of Jianghuai Automobile has increased by 171% from the beginning of the year to 1.355 billion yuan.

Jianghuai’s exports will decline significantly in the future. Jianghuai Automobile will open up other international markets. In the report period, due to further intensified competition in the auto market, the sales volume of the company has declined. At the same time, the export of Brazil’s exports has declined significantly. The supporting market for new energy vehicles is still immature and there is a certain amount of short-term memory. Promotion difficulty.

As for the decline of exports, Jianghuai pointed out that in the future, by replicating Brazil's successful experience, it will actively explore other international markets and further increase the proportion of exports in the sales of the entire company. In addition, with the introduction of the “Energy-saving and New Energy Vehicle Industry Development Plan (2012-2020)” and government support, Jianghuai will increase investment in new energy vehicles in the future.