Xiang Wenbo: Sany very healthy industry is expected to recover next year

Sany very healthy industry is expected to recover next year

Since the restart of Weibo, in response to some users' misunderstandings of Sany, Wen Bo repeatedly stressed that Sany's business performance is good and does not lose to any company in the industry. He said: "In fact, the 31st business is very healthy." And said that the construction machinery industry is expected to recover next year.

In response to Sany’s healthy operations, Wen Wenbo stated four reasons: “First, there is a strong profitability, ranking the first in the industry; Second, there is a strong cash flow, positive cash flow over the past five years more than 130 billion, industry Most of them have no positive cash flow. Some companies blindly pursue scale and negative cash flow exceeds RMB 20 billion. Third, they have strong financing capabilities. Since Sany hasn’t used equity financing since its listing, if it dilutes the equity of large shareholders into certain industries Some of these companies have the same level, for example, about 20%, and even with today's stock price, Sany can raise 200 billion yuan. Fourth, if Sany is also doing factoring in out-of-pocket payments, as long as the factoring is 20.5 billion, all bank loans can be paid off. Please rest assured that all 31 shareholders, and all friends concerned about the 31, rest assured that 31 is very healthy."

At the same time, Wenbo also expressed his expectations for the recovery of the industry. He said: “Some people say that I am not confident in the development of the industry. On the contrary, I am still full of confidence in the development of the construction machinery industry. I think that the Chinese economy will enter a new beginning next year. With the development period of gold and the strong export of the construction machinery industry, it is very likely that the Chinese construction machinery industry will enter a new period of rapid growth."

Lamenting the harm of vicious competition calls for rational competition

Since the end of last year, the aggressive sales strategies and various vicious competition methods that emerged in the Chinese construction machinery industry have caused widespread concern in the industry.

Xiang Wenbo sighed in Weibo: “Intensifying vicious competition in the industry has actually seriously hurt the healthy development of the industry and harmed the interests of our customers.”

“The destructive power of vicious competition against the industry is far greater than the impact of the bad market, because vicious competition has seriously damaged the industry's ecology! It has harmed the interests of consumers and is equivalent to the pursuit of excessive barbaric mining of mine resources for short-term benefits.”

In Weibo, Wen Bobo expressed his distaste for this vicious competition. He appealed that the entire construction machinery industry should unite to eliminate vicious competition and jointly protect the interests of the industry and the rights and interests of consumers.

"Any rational operator should not defeat other people but should aim to be strong himself. Many people message in my tweets and beat this one. I don't agree with that. In the early days, I and Liang always cooperated with an international construction machinery. The giant CEO met and both parties believed that we should work hard to maintain the healthy development of the industry. The Sany employees all know that we may mention catch-ups, but we will never say defeat, said Xiang Wenbo.