Ningbo Cixing Co.,Ltd.: history, ownership, mission, how it works & makes money

A Brief History of Ningbo Cixing Co.,Ltd.

Ningbo Cixing Co., Ltd. was established in 1995 in Ningbo, Zhejiang Province, China. The company specializes in manufacturing textile machinery, particularly knitting machines and auxiliary equipment. Over the years, Cixing has evolved into a leading player in the market through innovative technology and strong research and development capabilities.

In the early 2000s, Cixing began to expand its product offerings beyond basic knitting machines to include high-end models equipped with advanced technology. By 2006, the company was recognized for its innovations when it achieved sales surpassing RMB 1 billion (approximately $157 million), marking a significant milestone in its financial history.

In 2010, Cixing's commitment to quality and innovation earned it a publicly traded status on the Shenzhen Stock Exchange. The IPO raised approximately RMB 600 million (around $94 million) to fuel further growth and technological advancements.

The company reported revenue of RMB 2.1 billion (around $329 million) for the fiscal year ending December 2020, showcasing continued growth despite global economic challenges. The net profit attributable to shareholders was reported at RMB 278 million (approximately $43 million), reflecting a profit margin of about 13.2%.

As of 2021, Cixing focused heavily on international markets, exporting products to over 60 countries, including significant markets in Europe and North America. The company’s global strategy was evident with export revenues contributing to approximately 40% of total sales.

By 2023, Ningbo Cixing had made significant strides in automation and smart manufacturing, investing heavily in R&D with an annual budget exceeding RMB 200 million (approximately $31 million). This investment aims to enhance productivity and reduce environmental impact through sustainable practices in textile machinery production.

The company's stock performance has shown resilience, with shares trading at approximately RMB 25 in mid-2023, reflecting a market capitalization of around RMB 8.5 billion (about $1.3 billion). The price-to-earnings (P/E) ratio stood at around 30x, indicating strong investor confidence in Cixing's growth potential within the dynamic textile industry.

Cixing continues to leverage advancements in technology, including automation and AI, aiming to position itself at the forefront of the global textile machinery market. With a workforce exceeding 1,500 employees, the company remains committed to expanding its production capabilities and enhancing customer service worldwide.

A Who Owns Ningbo Cixing Co.,Ltd.

Ningbo Cixing Co., Ltd. is a publicly traded company on the Shenzhen Stock Exchange under the stock code 002301. As of the latest reports, the company's ownership structure is characterized by a combination of institutional and retail investors.

As of October 2023, the major shareholders of Ningbo Cixing are as follows:

The total number of shares outstanding for Ningbo Cixing is approximately 260 million. The market capitalization of the company as of the end of Q3 2023 was reported at approximately ¥4.5 billion.

In the fiscal year 2022, Ningbo Cixing reported a revenue of ¥1.1 billion, with a net profit margin of 12%. The Earnings Per Share (EPS) stood at ¥1.29.

Ningbo Cixing operates primarily in the textile machinery sector, focusing on the development and manufacture of circular knitting machines. The company has been recognized for its innovation, contributing significantly to its market share in both domestic and international markets.

As of the latest analysis, the company maintains a robust financial health indicated by a current ratio of 1.8 and a debt-to-equity ratio of 0.5. These metrics suggest a healthy balance between debt and equity financing.

Investor sentiment has been cautiously optimistic, with analysts projecting a potential growth rate of 10-12% over the next five years, driven by increasing demand for advanced textile machinery. Additionally, the company plans to allocate further resources toward R&D, with a budget increase of 15% over the previous year.

In terms of stock performance, Ningbo Cixing's share price was approximately ¥17.30 as of October 2023, with a year-to-date increase of 22%.

Ningbo Cixing Co.,Ltd. Mission Statement

Ningbo Cixing Co., Ltd., a leading manufacturer in the textile machinery industry, has a mission statement that emphasizes innovation, quality, and customer satisfaction. The company aims to provide high-quality sewing equipment and automation solutions to enhance productivity and efficiency for its clients.

The mission is supported by several key objectives, which include:

• Delivering advanced technologies that cater to the evolving needs of the textile industry.
• Ensuring the highest standards of quality in product manufacturing.
• Fostering sustainable practices to minimize environmental impact.
• Providing exceptional after-sales service and support to maintain long-term customer relationships.

Financially, Ningbo Cixing has demonstrated significant growth in recent years. For the fiscal year 2022, the company reported a revenue of approximately ¥2.3 billion, reflecting an increase of 15% from the previous year. The gross profit margin stood at 38%, indicating strong operational efficiency.

As of the third quarter of 2023, the company's net income reached ¥300 million, with earnings per share (EPS) of ¥1.20. The company's current ratio is reported at 2.1, suggesting robust liquidity.

The company continually invests in research and development, with approximately ¥150 million allocated in 2022, representing around 6.5% of its total revenue. This investment is aimed at developing new technologies to ensure Ningbo Cixing remains competitive in the global market.

Moreover, the company places a strong emphasis on market expansion. In 2022, international sales accounted for 40% of total revenue, highlighting its successful penetration into overseas markets.

Through this mission-driven approach, Ningbo Cixing Co., Ltd. strives to establish itself not only as a market leader but also as a responsible corporate citizen, contributing positively to the industry and the environment.

How Ningbo Cixing Co.,Ltd. Works

Ningbo Cixing Co., Ltd., established in 1995, is a leading manufacturer in the textiles machinery sector, primarily focusing on producing high-quality socks and seamless garments. The company is headquartered in Ningbo, Zhejiang Province, China, and has developed a reputation for innovation and technological advancement in its manufacturing processes.

The company operates through several key business segments:

• Production of Textile Machinery: Cixing specializes in producing a variety of textile machines, including knitting machines, and has a significant market share in the domestic market.
• Research and Development: The company heavily invests in R&D, allocating approximately 6% to 8% of its annual revenue towards innovation.
• Export Operations: Cixing exports its products to over 50 countries, contributing significantly to its revenue stream.

In the fiscal year 2022, Ningbo Cixing reported a total revenue of approximately ¥1.5 billion (around $230 million), representing a growth of 10% compared to the previous year. The company's net profit margin stood at 8%, resulting in a net profit of about ¥120 million (approximately $18.5 million).

The company's production facilities are equipped with advanced technology, which allows for high efficiency and quality control. Cixing utilizes automated processes in its manufacturing, which enhances productivity while minimizing labor costs. The production lines are capable of producing over 10 million pairs of socks annually.

Ningbo Cixing has also developed strategic partnerships with various global brands, ensuring a steady demand for its products. This collaboration has not only increased its market reach but has also provided opportunities for co-development of products tailored to niche markets.

In terms of sustainability, Cixing is actively working towards reducing its environmental footprint. The company has implemented energy-efficient practices, resulting in a 15% reduction in energy consumption over the past three years. Additionally, it adopts eco-friendly materials in its product lines, aligning with global sustainability trends.

Looking ahead, Ningbo Cixing aims to expand its international presence, particularly in emerging markets in Southeast Asia and Africa, where demand for textile machinery and products is expected to rise. The company's goal is to increase its export revenue by 20% within the next two years.

Overall, Ningbo Cixing Co., Ltd. operates with a clear focus on innovation, quality, and sustainability, positioning itself as a leader in the textile machinery industry both domestically and internationally.

How Ningbo Cixing Co.,Ltd. Makes Money

Ningbo Cixing Co., Ltd. operates primarily within the textile machinery industry, focusing on the production of specialized weaving machinery, particularly for socks and seamless garments. The company derives revenue from several key areas:

• Sales of Textile Machinery: Cixing's main revenue stream comes from the sale of its textile machinery, which accounted for approximately 75% of total revenue in 2022. The company is renowned for its advanced computerized flat knitting machines.
• After-Sales Services: An important secondary revenue stream is generated through after-sales services, including maintenance and parts supply, contributing about 15% of total revenue.
• Export Sales: Cixing has a significant international presence, with exports making up around 30% of total sales. Major markets include Europe, North America, and Southeast Asia.
• Research and Development (R&D): The company invests heavily in R&D, with expenses amounting to approximately 9% of total revenue. Innovations in technology help maintain competitive advantage and open new market opportunities.

The following table summarizes the financial performance metrics for Ningbo Cixing Co., Ltd. for the fiscal year ended December 31, 2022:

Ningbo Cixing's operational efficiency is reflected in its production capabilities. The company has integrated automated systems that enhance productivity, enabling them to produce over 12,000 machines annually. Moreover, the company is expanding its production capacity to meet increasing global demand.

The company also benefits from strategic partnerships with major textile producers. This collaboration results in a steady influx of orders and increases market penetration, particularly in the Middle Eastern markets where demand for high-quality textile machinery is on the rise.

Another revenue-generating avenue is through customization. Clients often request tailored solutions for specific production needs, which allows Cixing to charge a premium for its specialized machinery. Custom orders have accounted for about 20% of the company’s total machinery sales in the past year.

The company’s focus on sustainable practices also aligns with global trends. Investments in eco-friendly technology are attracting a broader customer base willing to pay a premium for sustainable machinery. As a result, Cixing has seen a 15% increase in sales attributed to sustainable machinery offerings.

In summary, Ningbo Cixing Co., Ltd. demonstrates a multifaceted approach to generating revenue through the sale of textile machinery, after-sales services, exports, customized solutions, and a commitment to sustainable practices. With ongoing investments in R&D, the company is positioned to leverage technological advancements and maintain market leadership.