Results Highlights:

· Aluminium alloy formwork business grows stably and continues to be a key growth engine of the Group’s business performance.

· Further fabricated products such as large-sized parts for railway vehicles, parts for passenger cars and buses deliver a stellar performance. 

· Becomes a Tier-1 supplier to Jaguar Land Rover, marking the Group’s first foray into the supply chain of automakers outside China.

(Hong Kong, 31 October 2018) - China Zhongwang Holdings Limited (“China Zhongwang” or the “Company”, together with its subsidiaries the “Group”, stock code: 01333), a world-leading fabricated aluminium products developer and manufacturer, announced its unaudited consolidated results for the nine months ended 30 September 2018 (“the Period under Review”). During the Period under Review, the Group’s total revenue rose by 28.7% year-on-year to RMB16.36 billion. Overall gross profit was RMB5.26 billion, representing an increase of 21.4% year-on-year. Net Profit up by 7.0% year-on-year to RMB2.51 billion.

Mr. Lu Changqing, Chairman and President of China Zhongwang, said, “Adhering to the spirit of modern craftsmanship, we have unceasingly conducted in-depth research on technological improvement and product innovation, constantly improving quality and adding value to our products. Oustanding performance of high-end products including aluminium alloy formwork and large-sized parts for railway vehicles drove the steady business growth of the Group. Meanwhile, the Group becomes a Tier-1 supplier to Jaguar Land Rover, marking our breakthrough in the overseas automotive market.”

Join Hands with Jaguar Land Rover to Propel the Light-weight Development of the Automotive Industry

The Group has recently entered into a contract with Jaguar Land Rover, and will supply quality extruded products to Jaguar Land Rover’s British company as a Tier-1 supplier. This first collaboration between the two companies marks the Group’s first foray into the supply chain of automakers outside China, recognising the Group’s comprehensive R&D capabilities, capacity that covers the entire production process, and thorough quality control system. The Group has been actively exploring potential collaboration opportunities with end-use customers to jointly promote the light-weight development of the automotive industry.

Leverage Aluminium Alloy Formwork to Promote Ecological Construction

As ecological construction is widely promoted in China, the Group has capitalised on the opportunities to launch the aluminium alloy formwork. This year the Group has rolled out an upgraded version with improved product quality and environmental performance. The product has been continuously receiving positive market response and expanding its customer base, making it the growth engine of the Group’s business performance.

Spur the Light-weight Development of Transportation with High Value-added Products

Further fabrication business is one of the Group’s major highlights in the first three quarters. Riding on the development of light-weight transportation in China, the Group has developed further fabricated products with high added-value including large-sized parts for high-speed trains, parts for urban rail vehicles, as well as body parts of buses and passenger cars. With mature technology, extensive experience and long-term trusted relationships with clients, the Group has supplied numerous light-weight solutions for a number of renowned automakers including Chery New Energy, FAW Group and CH-Auto Technology. As a key supplier of CRRC, the Group supplies further fabricated aluminium products for the “Fuxing EMU” high-speed trains which adopts all-aluminium body. 

Looking ahead, Mr. Lu said, “The government unswervingly supports the development of the private sector. As one of the leading private enterprises in China, China Zhongwang will stay committed to its core business. The Group will promote the application of the ecological aluminium alloy with relentless technological innovation, and facilitate light-weight development in both upstream and downstream sectors, so as to contribute to the industrial upgrading in China.”