CHANGSHA, China, Aug. 5, 2019 /PRNewswire/ -- Zoomlion Heavy Industry Science and Technology Co (000157.SZ), a leading Chinese maker of engineering equipment, held its 2018 annual shareholder meeting in Changsha, central Hunan Province on June 21, capping a year of stellar growth.
Benefiting from continuous industry recovery, Zoomlion achieved high-quality growth in 2018 through leaner operations, further sharpening its competitive edge and strengthening its leading position, according to board secretary Yang Duzhi.
Net profit jumped 51.65 percent to 2.02 billion yuan last year, while revenue rose 23.3 percent to 28.69 billion yuan, as gross margins increased by nearly 6 percentage points, to 27.08 percent. Underscoring growing financial strength, the company's operating cashflows surged 77.62 percent to a record 5.064 billion yuan.
Zoomlion also boosted its operation efficiency in 2018, which was evidenced by much shorter turnover periods for receivables and inventory, the company said.
Quality growth enables Zoomlion to reward shareholders with a steady flow of cash dividends. According to the company's profit allocation scheme for 2018, for every 10 shares held, shareholders receive 2.5 yuan in cash dividends, bringing total rewards to 1.957 billion yuan.
This is the 19th consecutive year of cash dividend payout by Zoomlion, reflecting the company's commitment to shareholder remuneration. It's also a show of Zoomlion's confidence toward its own strength and future growth.
2018 saw continued improvement in Zoomlion's core business. Sales of engineering machinery jumped 49.12 percent to 26.72 billion yuan. In addition, the company maintained its top market share in the construction crane machinery and concrete long-arm pump truck segment.
Last year, Zoomlion continued its push toward 4.0 versions of products, which are more reliable, intelligent, functional, and environment friendly. It launched an integrated network for the G-series next-generation earth moving machinery products and charged into the aerial work platform sector.
In the farming machinery segment in 2018, Zoomlion adopted the strategy of developing mid- to high-end products, while embracing artificial intelligence (AI) through strategic cooperation with intelligence solution provider, Landing AI.
Globally, Zoomlion continues to speed up the development of overseas production bases. Among its overseas initiatives, the company upgraded the Italy-based CIFA from a regional firm into a global company and fostered the establishment of m-tec in China to introduce the German high-end manufacturing and service standards to the country. Zoomlion also accelerated construction of the China-Belarus Industrial Park project.
Responding to shareholders' queries regarding the company's share buyback scheme, the management told the shareholder meeting that plans to acquire 2.5-5 percent of the company's own shares highlights the executives' optimism toward Zoomlion's growth prospects.
For more information, please visit: http://en.zoomlion.com/
Founded in 1992, Zoomlion Heavy Industry Science & Technology Co., Ltd. (Zoomlion) (000157.SZ) is a high-end equipment manufacturing enterprise that integrates engineering machinery, agricultural machinery and financial services. The company now sells nearly 460 cutting-edge products from 55 product lines covering ten major categories.