Becomes a Tier-1 supplier to Jaguar LandRover

Propels Integrated Light-weight Solutions

 

ResultsHighlights:

• Aluminium alloyformwork business grows stably and continues to be a key growth engine of theGroup's business performance.
• Further fabricatedproducts such as large-sized parts for railway vehicles, parts for passengercars and buses deliver a stellar performance.
• Becomes a Tier-1 supplier to Jaguar Land Rover, marking the Group'sfirst foray into the supply chain of automakers outside China.

 

Financial Highlights:

RMB million	For the third quarter ended 30 September			For the nine months ended 30 September
	2018	2017	Change YoY	2018	2017	Change YoY
Sales volume (tonnes)	247,725	204,170	21.3%	572,821	488,731	17.2%
Revenue	7,027	5,389	30.4%	16,357	12,714	28.7%
Gross profit	2,302	1,899	21.2%	5,264	4,334	21.4%
EBITDA	2,106	1,874	12.4%	4,924	4,313	14.2%
Net profit	1,243	1,084	14.6%	2,509	2,344	7.0%

 

HONG KONG, CHINA - Media OutReach - 31 October 2018- China Zhongwang Holdings Limited ("ChinaZhongwang" or the "Company", together with its subsidiaries the "Group", stockcode: 01333), a world-leading fabricated aluminium products developer andmanufacturer, announced its unaudited consolidated results for the nine monthsended 30 September 2018 ("the Period under Review"). During the Period under Review, the Group's total revenue rose by 28.7% year-on-year to RMB16.36 billion. Overall gross profit was RMB5.26 billion, representing an increase of 21.4% year-on-year. Net Profit up by 7.0% year-on-year to RMB2.51 billion.

 

Mr. Lu Changqing, Chairman and President of China Zhongwang, said, "Adhering to thespirit of modern craftsmanship, we have unceasingly conducted in-depth researchon technological improvement and product innovation, constantly improvingquality and adding value to our products. Oustanding performance of high-endproducts including aluminium alloy formwork and large-sized parts for railwayvehicles drove the steady business growth of the Group. Meanwhile, the Group becomesa Tier-1 supplier to Jaguar Land Rover, marking our breakthrough in the overseasautomotive market."

 

Join Hands with Jaguar Land Rover to Propel the Light-weight Development ofthe Automotive Industry

The Group has recently enteredinto a contract with Jaguar Land Rover, and will supply quality extruded productsto Jaguar Land Rover's British company as a Tier-1 supplier. This firstcollaboration between the two companies marks the Group's first foray into thesupply chain of automakers outside China, recognising the Group's comprehensiveR&D capabilities, capacity that covers the entire production process, andthorough quality control system. The Group has been actively exploringpotential collaboration opportunities with end-use customers to jointly promotethe light-weight development of the automotive industry.

 

Leverage Aluminium Alloy Formwork to Promote Ecological Construction

As ecological construction iswidely promoted in China, the Group has capitalised on the opportunities tolaunch the aluminium alloy formwork. This year the Group has rolled out anupgraded version with improved product quality and environmental performance. Theproduct has been continuously receiving positive market response and expanding itscustomer base, making it the growth engine of the Group's business performance.

 

Spur the Light-weight Development of Transportationwith High Value-added Products

Furtherfabrication business is one of the Group's major highlights in the first threequarters. Riding on the development of light-weight transportation in China,the Group has developed further fabricated products with high added-value includinglarge-sized parts for high-speed trains, parts for urban rail vehicles, as wellas body parts of buses and passenger cars. With mature technology, extensive experience andlong-term trusted relationships with clients, the Group has suppliednumerous light-weight solutions for a number of renowned automakers including CheryNew Energy, FAW Group and CH-Auto Technology.As a key supplier of CRRC, the Group supplies further fabricated aluminiumproducts for the "Fuxing EMU" high-speed trains which adopts all-aluminiumbody.

 

Looking ahead, Mr.Lu said, "The government unswervingly supports the development of theprivate sector. As one of the leading private enterprises in China, ChinaZhongwang will stay committed to its core business. The Group will promote theapplication of the ecological aluminium alloy with relentless technologicalinnovation, and facilitate light-weight development in both upstream and downstreamsectors, so as to contribute to the industrial upgrading in China."

 

About ChinaZhongwang Holdings Limited

 

China Zhongwang is the second largest industrialaluminium extruded products developer and manufacturer in the world and thelargest in Asia. The Group provides a myriad of quality fabricated aluminiumproducts and offers integrated light-weight solutions for such downstreamsectors and fields as ecological construction, transportation, machinery andequipment and electric power engineering.

 

With shared resources, the Group's core businesses,namely industrial aluminium extrusion, aluminium flat rolling and furtherfabrication have achieved synergistic development. In 2017, the Group expandedits business presence in the transportation sector by acquiring AluminiumwerkUnna AG., a leading aluminium extrusion manufacturer, and Silver Yachts Ltd., alarge-scale all-aluminium superyacht builder, tapping into the end-usemanufacturing in the marine sector as well. Having built excellent teams ofresearch and development, technology and design, the Group is able to provideone-stop light-weight solutions covering independent design, manufacturing,fabrication and after-sales services. Looking ahead to the future, the Groupwill continue to promote the applications of high-end fabricated aluminiumproducts, aiming to offer light-weight solutions to the society so that peoplecan live a quality life with low energy consumption.

 

For further information on the Group, pleasevisit our official website at www.zhongwang.com.