Luoyang Glass turned losses into profits thanks to

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Thanks to the "spring breeze" of state-owned enterprise reform, Luoyang Glass turned losses into profits

thanks to the "spring breeze" of state-owned enterprise reform, the share price of Luoyang Glass began to come out of the trough, ushered in a long-awaited rising cycle since 2017, and its performance is also booming

Luoyang Glass provides production efficiency for enterprises. In the first half of the year, Luoyang Glass deducted non net profits to turn losses.

Luoyang Glass is mainly engaged in vehicle safety glass, building safety glass, decorative glass and other series, with an annual comprehensive processing capacity of 10million square meters in the international market. In the first half of 2018, the company completed the issue of shares to purchase assets and acquired three new energy photovoltaic glass companies (Tongcheng new energy, Hefei new energy and Yixing new energy), covering two major sectors: information display glass and new energy glass

during the reporting period, Luoyang Glass achieved an operating revenue of 702million yuan (RMB, the same below), a slight decrease of 0.30% year-on-year, through new product research and development, quality improvement projects, and continuous "increase, savings and reduction" work; The net profit attributable to shareholders of listed companies was 22 million yuan, an increase of 11.37% year-on-year; The net profit attributable to the shareholders of the listed company after deducting non recurring profits and losses was 03 million yuan, turning losses into profits over the same period last year, indicating that its main business is coming out of the mud of losses and returning. Driven by the growth of income and net profit, the company's asset liability ratio decreased by 1.4% to 64.95% from the beginning of the period

at the same time, benefiting from the technological upgrading of production line transformation, the profitability of the company has been significantly enhanced. The information during the period showed that the glass revenue was 163 million yuan, with a gross profit rate of 27.76% and an increase of 0.46%; The revenue of new energy glass was 515million yuan, with a gross profit rate of 26.74% and an increase of 5.6%

in the follow-up outlook, the internal cyclical changes of the glass industry and the contraction of the supply side will promote the glass sector to show driving force

the internal driving force of the glass plate is strong

according to the research of Tianfeng securities, the price of flat glass presents a regular periodicity, which experiences a complete cycle about every 3 to 4 years, and the cycle at this stage has experienced 21 months. However, due to the influence of supply side reform and superimposed environmental protection and production restriction, it is expected that this cycle will be extended to the end of 2018, that is, glass prices will still be in an upward cycle in 2018

from the supply side, the general office of the State Council issued the guiding opinions on promoting the steady growth of the building materials industry, adjusting the structure and increasing benefits in 2016, proposing that it is strictly prohibited to file and build cement clinker and flat glass construction projects that expand production capacity before the end of 2020. 2018 rule 2. Technical parameters of automotive interior materials testing machine: the document again requires that construction projects with new cement clinker and flat glass production capacity shall not be filed in any other name or in any way. Under policy pressure, at the end of 2017, 9 and 3 glass production lines in Shahe and Xingtai were shut down respectively. It is estimated that the production capacity will be reduced by 50million weight automatic calibration: load volume box in 2018, which will aggravate the tight supply in the glass market and make the glass price more firm

as a leader in the industry, Luoyang Glass has obvious advantages in technology and inventory, and has less pressure to resist policy risks, which helps to maintain stable performance growth

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