Two mechanical giant reported losses in the first quarter

2017-07-05 15:57
Two mechanical giant reported losses in the first quarter
Last 2014 the industry downturn, ZOOMLION, XCMG machinery in the first quarter of this year were two giant losses. Yesterday, ZOOMLION, XCMG also released a quarterly forecast, two companies in the first quarter were huge losses, the amount of loss of over 300000000 yuan.
ZOOMLION said the performance forecast, the company expects a loss of 300000000 in the first quarter of this year -3.9 billion yuan, 396000000 yuan and profits last year.
The reason for the loss, ZOOMLION said, the national investment in fixed assets, especially real estate investment growth continued to slow down, the construction machinery market demand continues to slump, the influence on the company's overall operating income and net profit is still large. At the same time, due to the Spring Festival holiday late, due to all kinds of projects started later than usual, the company related products, the market demand is also affected to some extent. In addition, in order to control the risk and realize the quality management, the company's sales continue to implement tight policy, also have a certain impact on operating income and net profit.
While Xugong said the performance forecast, the first quarter of this year the company a loss of 380000000 -4.2 billion yuan, 464000000 yuan and profits last year. The reason for the loss, Xugong said, on the one hand, domestic and foreign construction machinery market demand continues to slump, sales revenue fell, on the other hand, influenced by the Brazil economy continued to decline, Brazil's devaluation, exchange rate losses rose.
From a quarterly data, at the beginning of 2015, a continuation of last year's machinery market downturn in the overall situation. In 2014, the big background affected by the slowdown in investment in fixed assets, construction machinery industry continues to have excess capacity, sluggish market demand, the stock of digestion, the risk of decline in the operating results of "growing pains" test. ZOOMLION last year, net profit fell sharply 84.53%, Xugong last year net profit fell 85.89%.