(Reporter Zhao Binbin) June 11, reporters from China National Heavy Duty Truck (03808.HK) was informed that from January to April this year, the company’s sales of 99,986 heavy trucks, an increase of 12.7%, the market share to further expand to 28.2%, hitting a record high.
The company has also received attention and recognition from a number of institutions. 7 June, CICC issued a research report that the scale effect and the high value of natural gas heavy trucks, export heavy trucks, the proportion of products to improve will further increase the profit of China National Heavy Duty Truck. Haitong Securities is also optimistic about the prospects of the export business of China National Heavy Duty Truck, that the company in the emerging countries of the heavy truck market layout is sufficient, the space is broad, the export business is expected to achieve long-term growth.
According to the traffic insurance data, from January to April this year, China National Heavy Duty Truck natural gas heavy truck licensing volume increased 446% year-on-year to 18,400 units, market share increased by 14.2 percentage points year-on-year to 26.1%. At the same time, according to the China Association of Automobile Manufacturers (CAAM) data, from January to April, China National Heavy Duty Truck exports rose 5.6% year-on-year to 44,000 units, market share of 44%, the industry’s top position is solid.
Institutions also focus on the company’s dividend potential. CICC judgment, China National Heavy Duty Truck is expected to maintain a high level of dividend payout. On the one hand, the company has a long history of cash and trading financial assets higher than interest-bearing liabilities, cash is more abundant. 2023 the end of the company’s cash and trading financial assets balance amounted to 30.7 billion yuan, easily cover 5 billion yuan of interest-bearing liabilities, become a high dividend “safety cushion”. On the other hand, as a state-owned enterprise in Shandong Province, China National Heavy Duty Truck Corporation (SINOTRUK ) is subject to the requirements of ROE, dividend distribution ratio and other assessment targets, with a high willingness to pay dividends. 2021 to 2023, the company’s cash dividend ratio increased year by year, respectively, 35%, 45% and 50%.
In addition, CICC also focuses on the positive effect of equity incentives on the company. on June 6, China National Heavy Duty Truck announced that the company granted a total of 27.17 million incentive shares to 188 selected participants under the terms of the Restricted Stock Incentive Plan, with a grant price of RMB 6.896 per share. The share awardees were core employees engaged in research and development, technology, marketing and management.
CICC is of the view that the performance assessment target of the Share Incentive Scheme highlights the Company’s confidence in its medium to long term operations, and the coverage of the core staff team is expected to fully mobilize their work motivation and help release the Company’s performance.
