On the evening of August 27, the first Feilu shares of Rail Transit Coatings disclosed the 2018 Interim Report. During the reporting period, the company realized operating income of 142 million yuan, an increase of 34.64% year-on-year; net profit after deducting non-recurring gains and losses was 10.78 million yuan, an increase of 23.28% over the same period last year. During the reporting period, the company's performance increased steadily, mainly because the company's business strategy was implemented steadily, business expansion gradually showed results, and its main business segment gradually entered the peak sales season.
(1) Continuously winning the bid for large single water-based coatings
Feilu Co., Ltd. has been committed to becoming a leading company in the field of high-end rail equipment coatings in China. The company's main business is anticorrosion of rail transportation equipment including high-speed rail and subways, waterproofing of rail engineering, rail construction maintenance, urban corridors and municipal construction. , Wind power, new energy vehicle manufacturing and many other fields. In the first half of 2018, the company's various business segments made joint efforts to achieve major breakthroughs in three major areas, such as rail equipment corrosion protection, rail construction waterproofing, and rail equipment maintenance, and won multiple major customer orders, laying a solid foundation for the company's performance to maintain stable growth. Solid foundation.
The company is the main supplier of various OEMs of CRRC. During the reporting period, the company continued to deepen its cooperation with CRRC's subsidiaries and obtained the "Supplier Supporting License" issued by Nanjing Puzhen and the "Product Supply and Service Qualification Certificate" issued by Qingdao Quartet. The OEM provides water-based paint, damping paint and other products. At present, the company has won bids for 1,316 water-resistant damping pastes for Qingdao Sifang city rail vehicles, and 1,430 water-based paints for Nanjing Puzhen city rail vehicles.
In terms of track construction waterproof plates, the company newly won bids for the Shanghe-Hangzhou high-speed railway (Shangqiu-Hefei-Hangzhou), the Yinxi high-speed railway Ganning section, Shijiazhuang Metro Line 1, Rixin Road (Tianxin Avenue-Planning Branch Road Three) ) Integrated Pipe Gallery Project. Among them, the Rixin Road comprehensive pipe gallery project is another breakthrough for the company in the urban comprehensive pipe gallery market.
In addition, the company is actively promoting the track equipment maintenance business, and successfully completed the operation and repair of some operating vehicles in the Shanghai depot in the first half of the year. The Interim Report revealed that in the future, the company will continue to dig deep into the track equipment maintenance market in order to gain greater market share, which will become one of the company's main performance growth drivers.
(2) Successful acquisition of Hunan Impervious Subsidiary
Endogenous growth goes hand in hand with epitaxial expansion. Hunan Impervious, which was acquired by Feilu with its own funds of 88 million yuan, became a wholly-owned subsidiary, and the integration work progressed smoothly. Relying on the related qualifications and related achievements of Hunan Impermeability for waterproof membranes in the field of rail transit, the company has expanded and improved new waterproof membrane products, and made up for the adverse effects of the combined bidding of waterproof coatings and waterproof membranes on the company's bidding.
During the reporting period, Hunan Impermeability steadily advanced the original orders in hand and actively bid for new projects. Hunan Impermeability has successfully won the bidding for waterproof membrane projects such as Fuzhou Metro and Beijing Fengtai. The interim report shows that in the first half of the year, it has been included in the scope of consolidated financial statements, and the company's performance has increased significantly.
In addition, Guangzhou Feilu, a company's holding subsidiary, actively explored the motor vehicle maintenance business while stabilizing the existing market. During the reporting period, Guangzhou Feilu has completed the tertiary repair business of four trains, and the maintenance of the motor vehicle has now entered operation. Detection phase. After passing the operation test, Guangzhou Feilu will have a large number of qualifications to undertake motor vehicle maintenance business. In the first half of the year, the subsidiary's development momentum is good. Due to the increase in sales volume, the operating income and net profit have increased simultaneously during the reporting period.
It is worth noting that, based on its own technology and market advantages in the rail transportation industry, the company continued to connect with major customers in the first half of the year and has signed strategic cooperation agreements with Zhengzhou Railway Equipment and CIMC New Materials. In the future, the company will continue to implement efficient large customer cooperation models based on resource integration, including, but not limited to, strategic cooperation with major customers, business cooperation, establishment of joint ventures, mergers and acquisitions and other forms.
As of the end of the reporting period, the company and its subsidiaries had 31 patents. The company's waterproof coatings, railway bridge coatings and other products have passed CRCC certification. The water-based truck paint and 25-type railway passenger car paint and other product systems have passed CRCC technical review. The coating passed the GL review inspection of the German Classification Society. The company has become the first batch of domestic suppliers of urban rail waterborne coatings and the first batch of domestic suppliers of automotive coatings.