é»” Tire will add 120 million yuan to its subsidiary company, Hercules, Guizhou. The company has been working hard to develop the radial tire project in the past two years. With the gradual release of the first and second phase technological transformation capacity, the company's earnings are expected to reach in 09 and 10 years. To speed up.

é»” Tire A issued an announcement on June 25th that the company's board of directors reviewed and passed the "Proposal on Increasing Investment in Guizhou Hercules Tire Co., Ltd." (hereinafter referred to as "Guizhou Hercules Company"), and the company will hold its own subsidiary in Guizhou Hercules. The company increased its capital by 120 million yuan and increased its registered capital from the original 120 million yuan to 240 million yuan. After the capital increase was completed, the proportion of the shares held by Handan Tire increased from 90% to 95%.

The purpose of the capital increase is to promote the implementation of radial tire technical transformation projects.黔 Tire began implementing the “Technical Reform Project for the Heavy Duty and Engineering Meridian Tire” in 2006. It has a total of two phases. The total planned investment is about 838 million yuan, which is organized and implemented by Guizhou Hercules. The first stage project of Guizhou Hercules Company's “Technology-reform project for 400,000 sets of high-performance radial-loaded radial tires” has invested a total of 410 million yuan. It has been completed and put into production in 2008, and has been profitable since the first quarter of 2009. At present, the second phase of the project, "An annual output of 800,000 sets of high-tech radial tire tire technical transformation project," is under construction, plans a total investment of 398 million yuan, which is the main reason for the increase of 120 million yuan in Guizhou Shengli Tire Company's capital increase.

All-steel radial truck tires have become the focus of development. The main business of Tire Tire includes over a thousand varieties of six series of truck tires, construction machinery tires, automobile bias tires, automotive radial tires, agricultural tires and solid tires. Among them, all-steel radial truck tires (2 million sets of production capacity) and automobile bias tires (3 million sets of production capacity) are the company's two core products. Operating income in 2008 accounted for 50.68% and 43.84% of total operating income. With the gradual completion of the Phase I and II projects of radial trucks, the Company’s production capacity of all-steel radial tires will continue to increase.

Sales growth in 2009 is expected to reach 15%. In 2009, Tire Tire added a capacity of 400,000 Tier I radial tires. The company plans to have annual production and sales of 5.1 million and 5.3 million pieces respectively. With the gradual recovery of the domestic macro economy, domestic domestic cargo freight turnover and freight volume have picked up, which will boost the sales of heavy truck products. In addition, the in-depth promotion of domestic infrastructure investment will also boost the company’s engineering tires in the matching and replacement markets. Sales volume. The profit contribution from Guizhou Hercules will increase significantly. The operating income of Guizhou Hercules in the first quarter of 2008 and 2009 was 255 million yuan and 104 million yuan respectively, and the net profit was -0.24 billion yuan respectively. 0.12 billion yuan.

In the first half of 2009, the gross profit margin is stable and will remain high throughout the year. Tianjiao accounted for about 30% of the tire's operating costs, a sharp drop from the same period last year will drive the company's gross profit margin at a high level. In the first quarter of 2009, the company's product gross margin was 19%, which was an increase of 5.4 percentage points from the 13.6% of the year 2008. Due to the procurement practices of tire rubber companies in advance, low-cost rubber prices have been locked in the first half of 2009. Therefore, the gross profit margin of the company's products will continue to be maintained at around 19% in the first half of the year. Looking from the whole year, the price of rubber has rebounded slightly. At the same time, the production capacity of heavy-duty radial tires in the industry will also be gradually released in the second half of the year. Therefore, it is expected that the gross margin of the company will fall slightly in the second half of the year, but it will be maintained at more than 16% for the whole year. Higher sex.

The operating structure determines the stability of performance. Since the sales of Yu Tire's products are mainly in the replacement market, the sharp decline in exports in the first quarter of 2009 and the downturn in commercial use have had a significant impact on the company's sales. The company's operating income growth is better than the industry average, so its performance is also relatively low. stable.

According to the quarterly report, the company achieved operating income of RMB 920 million in the first three months of 2009, a year-on-year decrease of 1.35%, and a net profit of RMB 29 million, a year-on-year increase of 16.9%, corresponding to an earnings per share of RMB 0.11.