Hangxiao Steel Structure: Building a "smart" steel structure system and deploying integrated photovoltaic buildings

According to the record sheet of investor relations activities recently disclosed by Hangxiao Steel Structure, based on rough statistics, the company accepted surveys from more than 50 institutions in July.

Hangxiao Steel Structure stated in the institutional survey that it will continue to focus on the main business of steel structure, and realize capacity expansion with the help of intelligent transformation, layout of photovoltaic building integration, further exert its advantageous position, and increase the company's market share.

Sufficient capacity reserves, upgrade the "smart" manufacturing system

The steel structure business of Hangxiao Steel has a good historical growth, and orders have maintained rapid growth in recent years. In the four years from 2016 to 2020, the revenue of Hangxiao Steel Structure's steel structure business increased from 2.512 billion yuan to 6.214 billion yuan, an increase of nearly three times. In 2020, the value of newly signed contracts for the steel structure business of Hangxiao Steel Structure was 10.04 billion yuan, a year-on-year increase of 17.19%. From January to March 2021, Hangxiao Steel Structure has signed 30 new contracts for steel structure manufacturing and installation business, totaling 1.630 billion yuan, a year-on-year increase of 22.15%.

The existing steel structure production capacity of Hangxiao Steel Structure is nearly 1 million tons, and it has nine steel structure production, manufacturing and processing bases in Guangdong, Hebei, Shandong and other places. In 2020, Hainan Hangxiao and Lu'an Hangxiao will be added, and additional investment will be made in Hangzhou Zhizhi Manufacturing Company. In the first quarter of 2021, Hangzhou Yudu Hangxiao in Jiangxi and Hangzhou Lishui Hangxiao in Zhejiang will be added. In addition, Hangxiao Steel plans to raise 1.2 billion yuan through non-public issuance to invest in the construction of green prefabricated building research and development innovation, intelligent manufacturing and digital intelligent management demonstration base projects, as well as intelligent manufacturing and information management platform projects. On March 24, 2021, the application for additional issuance of Hangxiao Steel Structure was approved by the China Securities Regulatory Commission.

It is worth mentioning that Hangxiao Steel Structure is on the list of the first batch of “future factories” cultivation enterprises in Hangzhou in 2021, and it is one of the only five enterprises in the city's “energy gathering factory” category. Relying on more than 120 steel structure companies with holdings and equity participations across the country, Hangxiao Steel Structure has made every effort to upgrade its "intelligent" manufacturing system.

Invest in Hete Optoelectronics to deploy photovoltaic building integration

A few days ago, in order to promote the development of building-integrated photovoltaics (BIPV), the General Department of the National Energy Administration issued the "Notice on Submitting the Pilot Program for the Development of Roof Distributed Photovoltaics in the Whole County (City, District)." It is planned to organize the whole county (city, district) to promote the pilot work of rooftop distributed photovoltaic development throughout the country. The main content includes that the total roof area of party and government buildings can be installed with photovoltaic power generation ratio not less than 50%; the total roof area of public buildings such as schools, hospitals, and village committees can be installed with photovoltaic power generation ratio not less than 40%.

Hangxiao Steel Structure announced on July 17 that it intends to increase the capital of Hete Optoelectronics by 35 million yuan in cash. Hete Optoelectronics is a domestic photovoltaic power generation R&D and application enterprise, integrating material technology, equipment technology, process technology, and production technology. It is a high-end manufacturing enterprise in the entire industry chain with international leading level.

At present, Hangxiao Steel Structure has started the construction of the BIPV production line. In the first phase, a BIPV production line with a capacity of 1 million square meters will be built in the industrial park of Hangxiao Steel Structure.

Regarding the development prospects of the prefabricated construction industry that institutions are generally concerned about, Yao Tao, vice president and secretary of the board of directors of Hangxiao Steel Structure, pointed out in the survey activity: "Prefabricated steel structure buildings have stronger comprehensive advantages, higher safety factors, and are more energy-saving and environmentally friendly. They are in line with national energy-saving and emission-reduction requirements. The gradual inclination of policies towards steel structure buildings is also an inevitable development trend. At present, the penetration rate of domestic steel structure housing is less than 5%. With the implementation of national policies in the future, steel structure housing has broad development prospects. The company has a technical system specifically designed for steel structure housing. Compared with its peers, the steel structure housing of Hangxiao Steel can be said to have the most advantages. "

In recent years, as the promotion of steel structure housing in various regions has increased, the steel structure housing market has also grown rapidly, and many companies have also begun to try or imitate the research and development of their own steel structure housing system. However, Hangxiao Steel Structure seized the first opportunity 20 years ago. Through the accumulation of more than 20 years of experience, the technology system of concrete-filled steel tube bundles developed by the company has obvious technical advantages and has the highest market recognition.

According to industry analysts, a series of policies to promote rooftop photovoltaic power generation in the near future are expected to significantly boost the valuation of related construction companies, and the valuation of high-quality companies is expected to gradually rise. The recent research report of Great Wall Securities covered Hangxiao Steel Structure for the first time and gave it an "overweight" rating.