Why is Hebei private steel enterprises can contrarian profit

In the first half of this year, Hebei private steel production of crude steel production was down trend. At the same time, the main economic indicators also showed a sharp decline in trend.

Statistics show that in the first half, Hebei private steel production capacity of 65703000 tons, down 1.81%; pig iron production was 59671700 tons, down 0.50%; steel (1830, -1.00, -0.05%) production was 93634600 tons, an increase of 6.23%. This is the last 15 years, the Hebei private steel enterprises thick steel, pig iron production increased for the first time less than the province's steel output growth. At the same time, the province's private iron and steel enterprises in the main business income of 386708000000 yuan, down 0.08%; realize profit and tax 7428000000 yuan, down 24.43%; realize profit 4714000000 yuan, down 21.09%, to achieve the province's total profit of 89.38% yuan (5274000000 yuan). Hebei private steel enterprises sales profit rate of 1.22%, higher than the province's iron and steel industry sales profit margin of 0.16 percentage points.

The strong stronger, the weak weaker competition situation highlights

Specific to the profit situation of the various private enterprises, the stronger, the weak weaker competition more obvious.

This year from January to July, Hebei Private Iron and steel enterprises 10 profit enterprises according to the order is: Puyang iron and steel profit 9.11 billion yuan, dedicated group of 2.66 billion yuan, Tangshan Jianlong 2.22 billion yuan, Ruifeng steel 1.96 billion yuan, Hebei Xinjin iron and 2.13 billion yuan, Anfeng steel 140 million yuan, Tangshan ganglu 1.37 billion yuan, Cangzhou Iron 1.48 billion yuan, vertical and horizontal steel 1.28 billion yuan, Wen'an 1.31 billion yuan. These 7 profit companies before 10 months of a total of 2492000000 yuan, 2281000000 yuan more than last year growth of 9.25%, the province's total profit margin of private iron and steel enterprises (4375000000 yuan) of 56.96%, accounting for 42.39% of the province's total profit of steel industry.

From January to July, 10 losses private iron and steel enterprise losses totaling 2.804 billion yuan, an increase of loss 122.19%, 85.54% losses accounted for 23 total loss (32.78 million yuan). Among them, the losses amounted to more than 700 million yuan enterprise has a and a loss of 4 billion yuan, 300 million yuan and 100 million yuan enterprise each have two, three business losses in the amount of 700 million yuan ~8900 million yuan. In the 10 loss making enterprises, the assets liability ratio of 100% or more of the enterprises have 3, 1 enterprises in the debt ratio of 90% or more; 10 of the assets and liabilities of the enterprise is an average of 95.34%.

Hebei iron and steel enterprises have been difficult to pull apart from the past high growth period, the strong stronger, the weak and the weak, and the polarization is serious, a number of enterprises with serious losses and high corporate asset liability ratio may be out.

Reduce the cost is the core of the iron and steel enterprise competition.

In July, Hebei Province 10 profit private iron and steel enterprises iron cost an average of $1335.48 / tons, compared with the same period of 10 loss private iron and steel enterprises iron average cost ($1424.36 / tons) low 88.88 yuan / ton, than the industry average ($1358.30 / tons) low 22.82 yuan / ton; and 10 losses enterprises, than the industry average of 66.06 yuan / ton.

Over the same period, the average cost of the top 10 companies in the same period last year to reduce the cost of 582.43 yuan / ton; the average cost of the top ten enterprises in the same period fell only 427.71 yuan / ton, 154.72 yuan less than the 10 major profit companies / ton. Which shows that one of the advantages of profit companies is to reduce costs.

1424.36 losses for the average enterprise 1319.34 average profit of 6, Cangzhou, Tangshan built Puyang is in, and after the Hebei Iron and steel enterprises (including state-owned enterprises) this year, January to July pig iron cost research estimates that 12 profit 1 billion yuan more than the steel enterprises iron average cost 1291.75 / tons which iron and steel, Hebei Iron and Steel Group Tangshan Iron and steel dragon, Xinjin iron and iron and the ganglu steel prices of pig iron cost in 1270 yuan / tons, 8 in the amount of 50 million yuan to 9999 yuan steel enterprises iron cost yuan / tons, 11 earnings amounted to 1000 million yuan ~4999 steel pig iron cost 1339.39 / tons; 10 steel prices of pig iron cost an average of yuan / tons.

It can be seen, iron and steel enterprises in the process of reducing the efficiency, 1400 yuan / ton, 1310 yuan / ton, 1280 yuan / ton is 3 hom. Steel enterprises to profit, at least to the cost of pig iron crashed through the 1310 yuan / ton to 13 yuan / ton this hurdle, then to 1280 yuan / ton the following sprint for more space.

Of course, for an enterprise, the reduction of the efficiency involves many factors, to do a good job of supply and marketing, and other aspects of the supply and marketing cooperation and support.

This shows that the Hebei iron and steel enterprises in the high growth period to yield, the size of the center for the benefit of the competition, has shifted to the enterprise internal cost, profit for the center to seek the benefit maximization of competition.

The rational product structure has become the watershed between the profitable enterprises and the loss making enterprises.

From the product structure analysis and comparison, the majority of products of the company is the majority of the plate and strip, and the product of the 10 most of the products are construction materials or narrow band steel, product technical content and added value has a large gap, but also directly resulted in the gap.

Some big profits, such as Puyang iron and steel, mainly rely on the plate, thick and wide strip, hot rolled coil profit, Xinjin iron and steel, mainly by a thick wide strip, ganglu iron and steel is mainly rely on hot rolled thin wide strip, Cangzhou Iron and vertical and horizontal steel is mainly rely on wide thick steel plate coiled material profit. Visible, product structure has become the key to the profitability of the enterprise.

Competition between iron and steel enterprises is more and more reflected in the management mode of competition.

Internal simulation model of corporation operation so that only 200 million tons of steel scale Xinxing Ductile Iron Pipes (Hebei) since 2009 to maintain an annual profit of hundreds of millions of yuan, to a maximum of 12 billion yuan, this year from January to July realized a total profit of 7.54 billion yuan, 300 million tons of crude steel scale