As a group, CIMC Vehicles sold a total of 151,870 units of various types of vehicles worldwide in 2022.
The China-based OEM has released its annual results for the 12 months ended 31 December 2022.
The world’s biggest producer of trailing equipment has prevailed in the face of global economic slowdown and a relatively weak specialty vehicle market.
CIMC Vehicles has achieved ‘brilliant’ performance across its international businesses.
During the reported period, CIMC Vehicles recorded a revenue of 23,621 million RMB. The group’s gross profit margin increased significantly by 2.26 percentage points year-on-year. The net profit attributable to shareholders of the company was 1,118 million RMB, representing a year-on-year significant increase of 24.11 per cent. The net profit attributable to shareholders of the company after deducting non-recurring profit or loss was 916 million RMB, representing a year-on-year significant increase of 43.99 per cent. Its total assets amounted to 22,217 million RMB, a year-on-year increase of 2.0 per cent. The net assets reached 13,360 million RMB, representing a year-on-year increase of 7.86 per cent. The net cash flow from operating activities increased to 1,154 million RMB.
Revenue from overseas business soared by 70 per cent following the implementation of the ‘Light Tower Manufacturing Network’ strategy along with superior resources.
CIMC’s market share of semi-trailers in China reportedly increased to 14.45 per cent, and the company ranked first in China for the fourth year in a row.
For the North American business, through the arrangement for various LTP production centred and LoM manufacturing plants, the CIMC accelerated the release of production capacity. Moreover, it alleviated the supply chain shortage worldwide and shipping difficulties, achieving a brilliant results performance: an increase in sales volumes and prices of its three main products, and profit hitting a record high. The revenue from North American Business was 10,760 million RMB, representing a year-on-year significant increase of 122.28 per cent, and its gross profit margin increased by 6.03 percentage points year-on-year.
In terms of refrigerated trailers in North America, the company also made a breakthrough with profit hitting a record high. During the reported period, the company’s revenue from refrigerated trailers in North America increased significantly by 164.05 percent to 4,003 million RMB, and its share of the refrigerated trailer market in North America continued to increase. The revenue from van trailers in North America increased by 60.13 per cent to 3,127 million RMB, and maintained a leading position in the van trailer market in North America.
Regarding European business, despite energy and supply chain crises, the company overcame the difficulties and constructed the LoM manufacturing plants in Southampton in the UK, Mansfield, and Pijnacker in the Netherlands. The company completed the arrangement of the ‘Light Tower Manufacturing Network’, optimising production capacity and efficiency. In 2022, the revenue from European Business reached 2,621 million RMB, representing a year-on-year increase of 10.48 per cent. Meanwhile, the company transformed SDC with profits hitting a five-year high.
Champion Tanker Business Group identified opportunities in market segments, developed lightweight and green new energy products, and actively explored the international market. The revenue from Champion Tanker Business Group was 3,636 million RMB and the gross profit margin increased by 0.60 percentage point. The company ranked first in China in terms of the sales volume of concrete mixer trucks for the sixth year in a row and had 26.32 per cent of the market in China.
TB Business Group – Dump Truck Business carried out organisational marketing reform, deepened cooperation with tractor manufacturers, expanded the wide-body mining truck market, and established overseas businesses. With its product research and development innovation and ‘Light Tower Manufacturing Network’, the company occupied a leading position in the dump truck retrofitting industry. In 2022, the revenue from TB Business Group – Dump Truck Business was 881 million RMB.
The Jiangmen LTP Production Center of TB Business Group – Urban Distribution Van Truck Bodies Business was put into operation. It actively adjusted its target market and product structure. Moreover, it reached strategic cooperation with a number of well-known and leading new energy vehicle companies to establish various pre-LoM manufacturing plants. In 2022, the revenue from TB Business Group – Urban Distribution Van Truck Bodies Business of the Company was 366 million RMB.
CIMC Vehicles also took advantage of the electrification and hydrogen trend to enhance its exploration and innovation in the field of new energy, thereby generating a new growth driver for results performance.
In 2022, Champion Tanker Business Group launched more than 10 types of concrete mixer trucks with battery charging and swapping. During the reported period, the sales volume of new energy concrete mixer trucks increased significantly by 500 per cent. The market share of TB Business Group – Dump Truck Business’s new energy dump trucks increased to 37.2 per cent. Seizing opportunities from the increment in new energy products, TB Business Group – Urban Distribution Van Truck Bodies Business achieved an 18.83 per cent growth in sales of new energy products. The TB KG hydrogen-energy refrigerated trucks won the honour of the ‘No.1 Hydrogen-energy Refrigerated Truck in 2022’.
CIMC Vehicles established 25 ‘Light Tower’ Plants at home and abroad. In the future, the group will deepen the construction of the ‘Light Tower Manufacturing Network’. By utilising sophisticated manufacturing production lines and capacity, CIMC Vehicles achieved mutual complementation of superior resources and efficient synergy of the six major businesses or groups.
CIMC Vehicles’s Light Tower Pioneer Business will start the ‘Star-chained Manufacturing Network’ through the structural reform of semi-trailer production organisations in China. Moreover, it promotes the business development under ‘excellent tractors with excellent trailers’, achieving increase in both market share and profitability; North American Business will consolidate and promote business expansion in the local market, improve production efficiency, explore room for growth of new energy products, and increase the market share; European Business will optimise the manufacturing process, improve the supply of key parts and components, and explore new products and businesses; Champion Tanker Business Group will promote business development under ‘excellent tractors with excellent tanks’, explore new energy businesses, and strive to become a global leader in tank logistics equipment; TB Business Group – Dump Truck Business will promote the business development under ‘excellent horses with excellent saddles’, expand the market share of dump truck products, and properly make plans for the iteration of new energy products in the future; TB Business Group – Urban Distribution Van Truck Bodies Business will increase the market share of refrigerated van truck bodies and dry van truck bodies, accelerate the progress in upgrading the green transformation, and create green intelligent transportation solutions.