Construction machinery: earthmoving machinery weak crane performance stability       

Construction machinery industry in 2014 in the "grad" of the situation, to suppress the real estate industry, the weak state of earth moving machinery makes the current industry is at a low ebb, thankfully crane performance is relatively stable, Xugong and Hengli cylinder good performance. In view of this, the construction machinery industry are still open to question, again to seek development.

Downward pressure on real estate construction machinery equipment sales pressure

In the first half of 2014, the total sales area of commercial housing decreased by 6%, and the new housing construction area decreased by 16.5%. Since the second half of 2013 sales of commercial housing area of 790 million square meters, the absolute level is higher, therefore, analysts believe that the second half of the 14 year sales area decreased the possibility of expansion, thereby suppressing the real estate construction activities. Real estate is one of the most important downstream of construction machinery, weak new construction will suppress the sales of construction machinery and equipment.

Earthmoving machinery performance is weak, concrete machinery sales continue to decline sharply

Excavator and loader sales declined by 8% and 4% in March 2014, ending 11 months of positive growth. After the decline continues to expand, July excavator sales fell 27%, sales fell 20% loaders.

Channel research shows that, in the first half of this year, leading enterprises of concrete machinery sales decline may still be more than 30%, expected gross profit margins will be pressure.

The crane performance is expected to relatively stable, relatively optimistic about the Xugong and Hengli cylinder.

Infrastructure is the central government "micro stimulation" important force point, engineering cranes and pavement machinery relatively good performance, so from the product structure optimistic Xugong machinery performance. From the next 5-10 years to see the expected performance of the core parts manufacturers will be better than the host manufacturers, promising Hengli cylinder pioneering in the field of hydraulic components.

By Sany, ZOOMLION, Liugong earnings forecast and rating, Hengli cylinder cut profit forecasts.

By Sany, ZOOMLION, Liugong earnings forecast and rating to "neutral" Hengli cylinder cut profit forecasts, maintaining a "buy" rating, Xugong maintain "buy" rating and profit forecast.

Sow the human not old, the scenery here is fine. For the current construction machinery enterprises, going out is undoubtedly one of the effective ways to alleviate the current difficulties. Gold ten years or so, cold and cheerless, the beautiful scenery is always in the next place waiting for the arrival of construction machinery!