Constitute business income, income machine products accounted over 80 percent, the company became the most important source of revenue and profits, and machine tool products from the revenue perspective, cnc boring and milling machine as the company's main product, horizontal boring and milling machine And floor-boring and milling machine sales accounted respectively Cnc boring and milling machine from the lower reaches of demand, including: aerospace, shipbuilding, automobiles, electrical equipment, heavy machinery and railway equipment, and other fields, in the breakdown of industries, from the second half of the demand, including aerospace, Shipbuilding, power equipment, heavy machinery and railway equipment demand will remain strong pattern, and taking into account the wealth effect of the stock market, we expect the demand for the automobile industry will slow down in the second half, but in the lower reaches of the company in the proportion of demand, GM Equipment and special equipment as a share of over 80%, delivered equipment accounted less than 10 percent, we believe that the automobile industry sales growth slowdown will not affect the company's boring and milling machine business needs of the market.
While large companies leading products cnc boring and milling machine-sufficient, but we should note that the small machine tool products demand a significant decline, according to communications, small machine tool products decline in demand mainly due to the coastal areas of Zhejiang and small cars, Parts of the closure of processing enterprises, small machine tool products demand has also led to the decline in the amount of company stock increased substantially
Together, we believe that demand for downstream products led the company is widely distributed, and the second half of demand will remain stable trend.
Boring milling machine as the field of domestic enterprises, in floor-boring and milling machine industry market share of about 30 percent, horizontal boring and milling machine industry market share of about 25 percent, due to floor-boring and milling machine higher gross margin products, in recent years With floor-to boring and milling machine sales revenue share of the upgrade, the company consolidated gross profit margin machine products also will be improved, but because the floor-boring and milling machine market little capacity, the company's development strategy facing a "scale" "Effectiveness" of choice, from the company's development strategy of view: "horizontal boring and milling machine cnc, floor-boring and milling machine scale, shaver desktop boring and milling machine series, efficient processing center" in ensuring that the profitability of the company at the same time Expanding sources of income, and to ensure profitability of the company should become the primary strategy.