Hubei Dinglong reports H1 results
August 29, 2019
Earlier this month, Hubei Dinglong Holdings Co., Ltd. published its semi-annual for the first half of 2019.
Hubei DInglong stated that in the first half of 2019, in the face of the complex changes in the global economy, the fierce market competition in the printing and copying and general consumables industry, as well as in semiconductors, the company continues to strive to become the leading international and domestic optoelectronic imaging company.
During the reporting period, the company actively optimised its marketing strategy, enhanced its supply chain advantages, continued to enhance customer service capabilities, and concentrated resources on its main business. Hubei Dinglong said that the acquisition of Speed Infotech (Beihai) Company Limited actively complements the company’s business in the ink cartridge field, and enhance the company for continued competition in the future.
At of the end of the reporting period, the company’s operating income was RMB 558.921 million ($78.181 million/ €70.585 million), a decreased by 16.90 percent year-on-year. Net profit attributable to shareholders of listed companies was RMB 147,720,600 ($20.663 million/ €18.655 million), a year-on-year increase of 7.05 percent.
Hubei Dinglong stated in its report that during the reporting period, the printing and copying consumables industry was in the stage of deep adjustment and continuous to reshuffle. Affected by the competition of the toner cartridge industry and environmental changes, customers meant the company changed its sales strategy and product structure, which led to a phased decline in the sales revenue of the toner cartridges in the first half of the year.
The company said that demand although drum sales were down, there was an increase in shipments and increase in sales revenue of toner cartridges. Sales volume of colour polymerised toner and consumable chips of the core products of the company’s consumables remained basically stable.
Hubei Dinglong also elaborated that the company’s strategic development needs and to further expand the company’s printing consumables business, the company is gaining expertise in remanufactured inkjet cartridges through mergers and acquisitions and investment methods. The company has obtained remanufactured inkjet cartridge suppliers through a combination of capital increase and equity transfer.
The company explained that the 59 percent equity acquisition of Beihai Dexun Electronic Technology Co., Ltd. was a perfect fit due to Hubei Dinglong being toner centric and now has additional expertise in inkjet and “can quickly open up the market with the advantages of upstream toner and chip products, and can also drive the sales of upstream toner and chip products.”
Once the acquisition is completed, further information will be released.
Categories : City News
Tags : Business Financials Hubei Dinglong
