Fangda Co., Ltd., the hottest leader in express pa

On July 27, Hebei Fangda Packaging Co., Ltd. released its 2020 semi annual report. The data showed that the net profit attributable to the shareholders of the listed company in the first half of the year reached 23.1949 million, a significant increase of 60.93% year-on-year compared with 14.413 million in the same period last year. During the reporting period, the net operating cash flow of the company was 37.2721 million, up 67.62% year-on-year from 15.0356 million in the same period last year

as we all know, in the first half of the year, during the period when the rapid drying performance of the new crown was comparable to that of polyester, Fangda packaging achieved a significant growth in the adverse market performance, thanks to a series of innovative measures

the leader in the express packaging industry bucked the market growth

Fangda shares' main business is the production and sales of express logistics packaging and the research and development of related products. It is a high-tech enterprise integrating research and development, production and sales, focusing on providing customers in different regions of the world with personalized product solutions for express logistics packaging application materials. The company is the most important manufacturer of plastic bags in the Asia Pacific region, with the leading position in the express packaging industry

with its excellent R & D and design capabilities and stable product quality, the company has accumulated a large customer base worldwide, including large well-known enterprises such as Suning, Tiantian express, jd.com, sf.com, Japanese relief, UPS, FedEx, DHL, etc. At present, the company's main products such as plastic bags and variable information labels are exported to Europe, America, Asia, Oceania, Africa and other dozens of countries or regions

the company's main business income source is export business. Due to different structures, the company's export business income was 102.5023 million in the reporting period, accounting for 83.80% of the main business income, which will produce 10% severe results, such as blocking the valve hole and scratching the piston appearance

according to the statistics of the State Post Office, in 2019, China's express service enterprises completed a total of 63.520 billion business units, an increase of 25.30% over the previous year. From 2010 to 2019, the average annual compound growth rate of China's express business volume reached 44.31%. In the first half of 2020, the business volume of national express service enterprises completed a total of 33.88 billion pieces, an increase of 22.1% year-on-year

it can be seen from the data that the growth rate of China's express business volume in the first half of 2020 decreased compared with previous years, but the growth rate of net profit of Fangda in the first half of 2020 increased significantly compared with 2019. This phenomenon shows that the company has greatly improved its operating efficiency in the first half of this year and made great efforts

a series of innovative measures have significantly increased the gross profit margin

the semi annual report shows that the gross profit margin of the company in the first half of 2020 was 33.20%, compared with 25.97% in the same period last year. The sharp increase in gross profit margin is the main reason for the sharp increase in net profit

further, the substantial increase in gross profit margin is the result of a series of innovative measures, including the company strictly controlling various costs, increasing sales revenue, and strengthening new product research and development. The semi annual report shows that during the reporting period, despite the severe impact of the epidemic, the company's operating revenue decreased by only 4.51%, while the operating cost decreased by 13.84%, so the gross profit margin increased significantly

specifically, the company has mainly taken the following innovative measures:

in order to resolve the impact of rising raw material prices on the company's cost control and profitability, the company has continuously strengthened the procurement management of raw materials by adopting European advanced passive construction technology, and controlled production costs by optimizing the supply chain, improving product quality, reducing unit material consumption and other measures; On the other hand, as a manufacturer of plastic products that can produce and process hot-melt pressure-sensitive adhesive, PE film, silicone paper and other raw materials at the same time, the company continuously develops and improves the production process, updates and transforms the production equipment, improves the proportion and efficiency of the company's production of self-made raw materials, and thus reduces the comprehensive cost. At present, the raw materials of the main links of the company are produced by the factory itself, realizing vertical integration and minimizing transaction costs

since September 2018, due to trade friction, the company suspended cooperation with some American customers and shared tariffs with American customers, resulting in a decline in sales revenue from the United States, which is a major adverse factor affecting operating revenue in 2019. In order to overcome the adverse factors, the company has increased its efforts to expand overseas customers outside the United States this year. The customer concentration of the company in the United States has further decreased. The sales amount and sales proportion of the company in Canada, Britain, Germany, the Netherlands, France and other places have increased simultaneously. The distribution of major overseas customers is more balanced, and the ability to resist risks has been further enhanced

the company is well aware that "science and technology are the first productive force". It has a professional R & D team, core equipment and independently developed technical formula. It has 13 patented technologies, including 6 invention patents, and has obtained the quality management system certification. In the first half of the year, the company obtained the design patent of back plastic bag (environmental protection type) and the utility model patent of an environmental protection transparent paper back plastic bag

the semi annual report shows that the company's sales expenses decreased by 12.06%, the management expenses decreased by 15.76%, the financial expenses decreased by 12.94%, but the R & D expenses increased by 13.32%. From this group of data, it is not difficult to find the reasons for the sharp increase in the net profit of Fangda shares against the market