Xinjiang Goldwind Science & Expertise Co., Ltd. (OTCPK:XJNGF) Q1 2023 Outcomes Convention Name April 27, 2023 4:00 AM ET
Firm Individuals
Ma Jinru – Vice President and Board Secretary
Wang Hongyan – CFO
Xue Naichuan – Vice President
Chen Qiuhua – Vice President
Operator
Distinguished buyers, an excellent afternoon. Welcome to Goldwind Science & Expertise Co., Ltd. First Quarter Outcomes of 2023.
Immediately, we’ve the administration right here at present with us. President, Zhigang Cao; Vice President and Board Secretary, Madam Ma Jinru; CFO, Wang Hongyan; Vice President, Xue Naichuan; Vice President, Chen Qiuhua.
Immediately, the assembly can be consisted of two components. First, we are going to Madam Ma Jinru discuss to us in regards to the first quarter trade overview — enterprise overview. And adopted by Mr. Wang, Hongyan to speak to us in regards to the monetary outcomes. After which we could have a question-and-answer session.
Now to start with, we’ll give the ground to Madam Ma Jinru.
Ma Jinru
Pricey, buyers, superb afternoon to everyone. Welcome to our first quarter outcomes announcement of Goldwind Science & Expertise Co. To start with, I’ll discuss in regards to the trade overview and enterprise overview of our firm.
If you happen to go to the Web page quantity 3, you’ll be able to take a look on the international wind energy market, particularly the brand new installations and their geographical areas. I am going to skip the main points of what I am talking. There was a lower of 15% of world new installations. The principle purpose is due to the set up lower in China and the wind tower firm — wind energy. That is about — [69%] of them are in China.
And should you have a look at the China home market, you’ll notice that within the first quarter, we registered a rise in the entire nation with 10.4 gigawatts of latest grid connection, with a rise of 31.6% year-over-year. And the overall accrued grid-connected wind energy capability was 375 gigawatts, taking 14% of the China’s complete energy combine.
And on the right-hand aspect, you’ll notice the general electrical energy manufacturing in China for the 12 months 2022 and in addition for the primary quarter. So you’ll be able to see that utilization hours was 615 hours within the first quarter. The utilization on the nationwide common, with a rise of 60 hours comparatively to the primary quarter.
Public tender market. There is a complete market of 26.5 gigawatts within the first quarter, representing 7.3% year-over-year progress. Onshore public tender totaled 24.9 gigawatts and offshore totaled 1.6 gigawatts. After which you’ll be able to see the bidding value of all WTG suppliers out there recorded one other lower all the way down to RMB1,607 per kilowatt.
And the subsequent slide is in regards to the state insurance policies and initiatives replace. That principally covers the 3-base growth path the place the brand new power, together with the regulation over the ability technology and energy market in addition to our transactions. After which in addition they issued insurance policies in regards to the rural space growth in the case of energy and transformation in addition to inexperienced growth.
And amongst them,you’ll be able to see that there are packages on the agricultural areas in the case of power technology based mostly on the county stage. And by 2025, the renewable energy will account for about 30% of the overall energy and over 60% of the incremental energy technology within the rural areas. And there are additionally encouraging insurance policies to help native technology and native consumption and in addition to additional push ahead the event of wind energy.
And on the right-hand aspect, you’ll be able to see the rule on power growth for 2023. As an illustration, pushing ahead the proportion of non-fossil power in complete power consumption to about 18%. And non-fossil power energy technology put in capability will enhance to about 51.9%. And wind energy and PV energy technology accounted for 15.3% of the overall electrical energy consumption.
After which we even have the third section of the initiatives associated PV and wind energy growth. After which it has additionally been talked about that there can be a complete set up goal of wind energy and PV energy to about 160 million kilowatts. So this provides us an enormous room for growth.
Towards this coverage backdrop, I might like to speak about our enterprise overview. So the gross sales capability, we’ve about 1,100 megawatts, amongst which you’ll be able to see that we’ve 32.7% of that for 3S/4S sequence. After which the MSPM totaled 717 megawatts.
And in the case of order backlogging, you’ll be able to see that we’ve 29.6 gigawatts of complete backlog of order, and externally, 28.9%. After which we even have 25.7 gigawatts of signed contract. So you’ll be able to see that our contract order backlog is a really sustainable one.
On the right-hand aspect, you’ll be able to see the combo for MSPM. You’ll be able to see that it has accounted for 73.3% of our complete combine. And with the remainder accounted for about 20% to 17% of the overall order combine.
Now our abroad backlog is about 5.29 gigawatts. And you’ll see that there was a rise of 65.7%, primarily in Vietnam, Chile, Uzbekistan, South Africa, Australia and so forth.
Now wind energy technology. As of the tip of the primary quarter, our attributable grid-connected energy venture says 6,500 megawatts, 28% of that in Northwestern space, 26% within the East China and 23% in North China.
And for the primary quarter, we added 171 megawatts of attributable grid-connected wind energy capability at house and overseas, with the sale of 744 megawatts. And different development wind capability at house and overseas, 2,747 megawatts. And the self-run wind farms recorded 637 hours of utilization, with 22 hours greater than the nationwide common.
Now I am going to give the ground to our CFO, Mr. Wang.
Wang Hongyan
Thanks very a lot. An excellent afternoon. That is the CFO. I’ll discuss in regards to the monetary numbers of our firm. So on this slide, you’ll be able to see that our income and our revenue margin. So you’ll be able to see — so within the first quarter, we’ve a income of RMB 5.56 billion, with a lower.
Essential purpose was due to the WTG sale capability in addition to the value went down. And we’ve a 1.1 gigawatts of deliveries, decreased by 21.34% when it comes to value. The WTG value, on common, remains to be reducing, on decline, and that’s another excuse for a decline in income.
And on the right-hand aspect, you’ll be able to see our revenue margin. We had 25.23% of gross margin — of revenue margin for the primary quarter. That is primarily due to the gross sales value dropped on the largest share in contrast with the drop in our prices. Nevertheless, it nonetheless has a quarter-over-quarter enhance.
The opposite three sectors of our enterprise remained steady, besides the WTG one. The web revenue attributable to the proprietor of the Firm within the first quarter was 1.235 billion, which is kind of flattish versus the identical interval final 12 months, however there is a combine change as a result of the gross margin for the WTG drop versus the earlier interval. And we are going to proceed to manage the value and attempt to enhance the margin stage.
And on the right-hand aspect, you see the weighted common return on fairness. We had 3.38%, with a drop of 0%. That is primarily because of the weighted common calculation on the return of fairness.
And subsequent slide, you’ll be able to see the solvency place of the Firm that we’ve. The present ratio, 1.08, and fast ratio was 0.72. And should you discuss with the numbers, you’ll notice that we’ve a — present property, 41.76. And within the 12 months of 2022, we will begin right into a optimistic. That means, that we’re higher in our solvency place.
On the right-hand aspect, you’ll be able to see the asset legal responsibility ratio that we’ve. As of the tip of March, the asset legal responsibility ratio was 67.93%, improved from 70% within the fourth quarter of 2022. So you’ll be able to see that we had returned some loans — interest-bearing loans. After which we additionally had disposed some property which are liquid. After which principally has improved our general solvency place.
And subsequent slide is the money circulate of our firm. In order you’ll be able to see that within the subsequent quarter, the online money outflows from working actions for the primary quarter was RMB7.5 billion. This can be a results of our proactive administration of the money circulate in addition to the truth that the enterprise and financial system general has emerged out of the company stress.
And you’ll see that we’re just about on the identical tempo as we did seasonality — when it comes to seasonality with the earlier 12 months. And on the right-hand aspect, you’ll be able to see that the ratio of money to complete property was 7.95%. And we had a slide devoted to stability between the liquidity and the protection of our money versus the overall property. So you would see that 7.95% asset ratio is just about according to the necessities of the administration.
We’re in a protected and wholesome situation in the case of the money circulate and finance-wise. Thanks.
Query-and-Reply Session
Finish of Q&A
