Create Century(SZ:300083)2022-12-03 08:52Company Overview - Guangdong Chuangjishi Intelligent Equipment Co., Ltd. was established in April 2003, initially focusing on electronic plastic precision structural components [2] - The company was listed on the Shenzhen Stock Exchange's Growth Enterprise Market in May 2010 [3] - In 2015, the company acquired 100% of Shenzhen Chuangjishi Machinery Co., Ltd., entering the high-end intelligent equipment sector [3] Business Transition - Since 2018, the precision structural components business has faced significant competition, leading to a decline in order volume and increased operational risks [3] - The company has initiated a comprehensive integration and divestment of its precision structural components business, which is now nearing completion [3] - In the first three quarters of 2020, the precision structural components business generated revenue of CNY 27.45 million, accounting for 10.86% of total revenue, with a significant decline in scale [3] High-end Intelligent Equipment Business - The high-end intelligent equipment business has shown steady growth from 2015 to 2017, achieving net profits of CNY 255 million, CNY 366 million, and CNY 573 million respectively [3] - In 2020, the CNC machine tool industry has rebounded, with the company benefiting from strong demand in the 3C sector, leading to increased orders for its drilling and tapping machines [3] - The company has a 15-year accumulation in the CNC machine tool field, positioning itself among the industry leaders [3] Product Range and Market Strategy - The company offers a wide range of products, including metal cutting machines, non-metal cutting machines, and laser cutting machines, with a focus on high precision and cost-effectiveness [4] - The typical customers for the 3C series products include major players like BYD Electronics and Longying Precision [4] - The company aims to expand its market share in the general machine tool sector, which has significant growth potential [4] Financial Performance - The overall gross margin for CNC machine tools is around 31%, with the 3C series having a slightly higher margin compared to general models [5] - The company has implemented strategies to enhance gross margins by leveraging economies of scale and optimizing supply chain costs [5] Production Capacity and Supply Chain - The company operates three main production bases in Shenzhen, Suzhou, and Yibin, with Suzhou focusing on general machine series products [5] - The company has achieved a high level of domestic substitution for most core components, with key suppliers including Mitsubishi and Fanuc [6] Future Outlook - The company anticipates that future sales will be driven by both incremental and replacement market demands [4] - The company is actively pursuing strategic adjustments in its marketing system to enhance its presence in high-potential industries such as 5G and medical devices [5] - The company is currently revising its plan for a private placement of shares and is in the process of responding to inquiries from the Shenzhen Stock Exchange [7]