Kunpeng Project
Cao Dewang is back again?
After five years, he is back here.
If you start a guild, I'll bankrupt you! ”
Eight years ago, when Cao Dewang opened a factory in the United States, he said such a sentence. In the Oscar-winning documentary "American Factory", Cao Dewang, the founder and chairman of Fuyao Group, is reluctant to let the American Workers' Federation enter the company, which is very touching.
Fuyao continues to perform its legend in the international market in 2019.
Based on the company's performance, Fuyao earned 102revenue of 9.4 billion yuan, an increase of 22 percent over the same period last year6%。In the same period last year, Fuyao achieved 108The revenue of 1 billion yuan decreased by 8 from the same period last year6%。The growth of revenue in China and abroad has been short-lived, and Fuyao's sales performance abroad has surpassed that of the Chinese domestic market.
At that time, many people thought that "Cao Dewang escaped".
In fact, the reason why Fuyao wants to go out is because on the one hand, it wants to increase its market share in the world, and on the other hand, more regional layout can better share risks. Moreover, Fuyao Glass also has a strong competitor in the world, that is, Japanese saltpeter. Fuyao's sales revenue in 2019 was second only to Hitachi of Japan, becoming the second largest company in the world.
Since then, Cao Dewang's every move abroad has been clearly seen with a magnifying glass. Today, however, Fuyao is the world's largest automotive glass manufacturer, with a market share of 70% in China and 30% in the international market, and sales to more than 70 countries and regions.
I didn't expect him to return here again after five years.
In January, it increased its stake twice to expand production capacity.
Fuyao Glass announced on the evening of January 25 that it will set up three wholly-owned enterprises in Hefei, Anhui Province, mainly to build production bases for automotive safety glass, auto parts and glass glass, with a total investment of 57500 million.
After the project is fully put into operation, it will have an annual production capacity of 26.1 million square meters and two float glass production lines. Float glass is a raw material used to make automotive glass, and it is a special float glass.
Three days after Fuyao's official announcement of the capital injection into Anhui, Cao Dewang rushed to Hefei non-stop to negotiate specific matters with relevant parties in Anhui Province and held a series of signing ceremonies.
Cao Dewang and Fuyao naturally chose Hefei.
At present, Hefei not only has a good foundation for new energy, but also in the field of new energy vehicles, Hefei will also systematically promote the "trinity" development pattern of vehicles, parts and aftermarket. Today, Hefei has gathered more than 500 upstream and downstream enterprises such as JAC, NIO, Hefei Changan Automobile, Hefei BYD, Anhui Volkswagen, etc.
At present, Hefei is gathering the development momentum of new energy vehicles, ushering in a new leap, and by 2023, Hefei will usher in a first-class development period, with an annual output of 740,000 new energy vehicles, an increase of 16 times, among the domestic advanced ranks.
Therefore, Fuyao Group's statement is very clear: "Hefei's first company is in a period of rapid development, especially in the field of new energy. ”
Not only that, but Cao Dewang also benefited his country. Fuyao announced its plans for a factory in Fuqing, Fujian Province, on December 30 of this year, in which the company will invest 32$500 million to build a safe car safety glass.
According to Fuyao Group's official Weibo, the project has been signed in January, and construction is expected to start in March. The project will establish a series of chain-related factories, R&D centers and design centers on the basis of the project.
It is clear that Fuyao's new factory in Fuqing is intended to "build it into the world's largest automotive glass production base" and that the Hefei plant will "make up for Anhui's lack of glass for high-end cars".
In just one month, the total amount of the two items reached 9 billion, which made Fuyao Group the focus again. Within a week, Fuyao was on the hot search twice: first, within one month, it expanded its production scale twice, increasing its output by 30%; And Fuyao Group, in the past 30 years, has increased by 72 times, and in the minds of investors, it is known as "the company that can resist the best."
But what is the purpose of Fuyao's frequent acquisitions?
Ride the bandwagon.
Before Fuyao expanded its production scale, it already had the world's largest production of automotive glass, and Fuyao also became the world's largest producer of automotive glass, but this was not an easy task for it.
It cannot be ignored that due to the increase in the price of raw materials and caustic soda and other raw materials, Fuyao's gross profit has gradually decreased from nearly 43% in 2018 to 34% in 2022.
So Cao Dewang once again set his sights on the foreign American market, and set his sights on the photoelectric glass industry other than automobiles.
So far, Fuyao Glass has not made any money, but Fuyao Glass's panoramic glass, dimmable glass, head-up display and heat-insulating glass, which are high value-added glasses, have brought a huge boost to Fuyao's profits.
Fuyao said in the performance report: "The increased demand for high value-added goods has brought a new development opportunity to Fuyao. In the first half year of this year, Fuyao completed a total sales amount of 1503.1 billion yuan, an increase of 16 percent over the same period last year49%。
But this did not free Fuyao from the spiral of declining profits. In the third quarter of this year, Fuyao was still in the dilemma of "increasing revenue and decreasing profits".
According to the earnings report, Fuyao Glass brought 12900 million yuan, a decrease of 1509%。Regarding the main factors behind the decline, Fuyao said that the exchange rate loss in the third quarter was 2.6.4 billion yuan, resulting in a total profit decrease of 8 percent for the year compared to last year1.9 billion.
But how do you find new breakthroughs?
Fuyao may continue to expand its market share after the new capacity expansion. "We expect the company to continue to grow its market share in the international market in the next 3-5 years. China Merchants ** said that its ** for Fuyao is: "In the next three years, the company will grow at a rate of 2%. ”
Secondly, the load-bearing capacity of glass and glass is also increasing. In the fifties of the 20th century, the per capita usable area of cars per capita was only 22 square meters, in the 21st century, the per capita usable area has doubled.
Especially in recent years, with the launch of Tesla's Model 3, Fuyao's car safety glass production capacity has exceeded 9 million units.
In addition, in addition to glass, in the future car glass industry, "all-glass roof", "HUD front windshield" and other multi-purpose windows will be widely used in the automotive glass industry, which will be a "window" to show the appearance of smart cars.
Of course, Fuyao Company will not let go of this opportunity.
The proportion of high value-added products such as panoramic glass, dimmable glass, head-up display, ultra-isolated glass, lightweight ultra-thin glass, and coated heated glass has continued to increase, accounting for 6 percent of last year21 percentage points, showing its value. ”
In this wave of large-scale production, Fuyao Glass naturally has to find a way to raise more funds. On January 26, Fuyao announced 57The investment amount of 500 million yuan, and obtained a total of 3 billion yuan of joint credit from Fujian Provincial Bank of Communications and Industrial Fuqing Branch.
In terms of capital flow, Fuyao Glass has 193$8.4 billion in liquidity, ending in the third quarter of 2022. At the same time, Fuyao Group has invested heavily in it, and its asset-to-debt ratio has increased from 42 in 20229% dropped to 46 in the third quarter of 20238%。
Just a day before Cao Dewang announced the expansion of production, he said that the current difficulties faced by Chinese companies are mainly due to overcapacity caused by product homogenization and low-level duplication, and excessive debt is also an important reason. And all of this is what Fuyao is facing, and it is about to face, and it is also about to be faced.
At present, the reshuffle of the new energy vehicle industry is accelerating, which will have an impact on the entire industrial chain. As the world's largest supplier of integrated car glass, Cao Dewang had to make another move.