Guizhou Guihang Automotive Components Co., Ltd. Business Report FY ended Dec. 2017

Business Results

(in million yuan)
FY ended Dec. 31, 2017 FY ended Dec. 31, 2016 Rate of change Factors
Sales 3,391.14 3,361.21 0.89%

-Continuously exploring markets; obtained additional purchase orders of CNY 2.564 billion; strengthened budget management.

Operating profit 227.41 194.27 17.06% -

Ordinary profit 240.41 216.73 10.92%
Net profit 210.29 190.84 10.19%

Equity Adjustment

-Guizhou Guihang Automotive Components Co., Ltd. said on November 6, 2017, that the company acquired shares in its three subsidiaries. Specifically speaking, the company bought a 47% stake in Guizhou Huayang Automotive Parts Co., Ltd. from its wholly-owned subsidiary, Guizhou Huayang Electronics Co., Ltd., to raise its shareholding ratio to 85% from 38%. The company also purchased all shares in Chengdu Wanjiang Automotive Components Co., Ltd. in which another wholly-owned subsidiary, Guiyang Wanjiang Aviation Electromechanical Co., Ltd., holds, to make it a wholly-owned subsidiary of the company. Also, the company purchased 80% shares in Shanghai Wanjiang Automobile Parts Co., Ltd. to hold an 80% stake from Guiyang Wanjiang. (From a corporate announcement on November 6, 2017)


-Got the supply agreements of key related products with Changan commercial vehicles.

-Developed locks for BAIC Group platform, and supplied in batch to part of models.

-Supplied in batch to BAIC New Energy.

-Supplied locks of GAC Group GS4.

Business Plan for Next Year

-In 2018, the Company plans to reach 3.4 billion sales, increased by 0.26% on year-over-year basis; and plans to reach 0.26 billion profits, increased by 8.15% on year-over-year basis. (From the Company's 2017 annual report)

R&D Expenditure

(in million CNY
FY ended Dec. 31, 2017 FY ended Dec. 31, 2016 FY ended Dec. 31, 2015
R&D Expenditure 121.57 102.88 93.36
Expenditure/Operating revenue(%) 3.59 3.06 2.92

R&D Staff

-In 2017, the Company has 849 R&D personnels.

Capital Investment Projects in FY2017

(in million CNY
Projects Budget Investment in 2017 Project progress
Technology transformation 2.64 1.21 52.28

-In 2018, the Company plans to invest CNY 203 million in ins subsidiaries for technology transformation.