Xiamen King Long Motor Group Co., Ltd.: history, ownership, mission, how it works & makes money

A Brief History of Xiamen King Long Motor Group Co., Ltd.

Xiamen King Long Motor Group Co., Ltd. was established in 1988 in Xiamen, Fujian Province, China. It has developed into one of the largest manufacturers of buses and special vehicles in China.

In 1996, King Long began its foray into international markets, exporting its first buses to countries in the Middle East. This pivotal move laid the groundwork for its subsequent global expansion.

By 2002, King Long had solidified its reputation, becoming a publicly listed company on the Shenzhen Stock Exchange. This listing was significant, with an initial offering that raised approximately RMB 276 million.

In 2005, King Long celebrated the production of its 50,000th bus, marking a substantial milestone in its manufacturing capabilities.

As of 2010, King Long's annual production capacity reached 30,000 buses, a reflection of its investment in advanced technology and research and development.

The company received notable international recognition in 2012 when they were awarded the prestigious ISO/TS 16949 certification for its quality management system in the automotive sector.

In 2015, King Long expanded its product line to include electric buses, aligning with global sustainability trends. The introduction of these vehicles was timely, as the market for electric buses was projected to grow by 25% annually.

The company reported revenue of approximately RMB 9.2 billion in 2018, underscoring its solid financial performance and market position.

As of 2021, King Long's market share in China’s bus sector was around 12%, with exports covering more than 80 countries globally. Its focus on R&D led to the establishment of several joint ventures and collaborative agreements with international partners.

In 2022, King Long announced plans to invest RMB 1 billion in new energy vehicle (NEV) technology, enhancing its commitment to sustainability and innovation.

Xiamen King Long Motor Group continues to focus on innovation and sustainability, aiming to leverage its established market position as it navigates the evolving landscape of the global automotive industry.

A Who Owns Xiamen King Long Motor Group Co., Ltd.

Xiamen King Long Motor Group Co., Ltd., a leading manufacturer in the bus and specialty vehicle sector, has a notable ownership structure that reflects its strategic partnerships and market positioning. The company was established in 1988 and has since developed a diversified portfolio of products, primarily focusing on the production of buses.

As of the latest available data, the ownership stakes in Xiamen King Long Motor Group Co., Ltd. are divided among several key shareholders:

In addition to the ownership structure, Xiamen King Long Motor Group has reported significant financial metrics that highlight its market performance. As of 2022, the company reported a total revenue of approximately RMB 10.12 billion, reflecting a year-over-year growth of 8.9%.

The company’s net profit for the same period was reported at around RMB 590 million, which translates to a profit margin of 5.8%. Furthermore, Xiamen King Long's total assets amounted to approximately RMB 14.78 billion, with a debt-to-equity ratio of 1.2, indicating a balanced but aggressive growth strategy.

As for shares traded, Xiamen King Long Motor Group is listed on the Shenzhen Stock Exchange under the ticker symbol 000957. The stock has displayed fluctuations, with a 52-week high of RMB 25.80 and a low of RMB 15.20, reflecting the volatility typical of the automotive sector.

Industry analysts have noted that the ownership structure, combined with strategic investments from entities like CIMC, positions Xiamen King Long for potential market expansion both domestically and internationally. With increasing demand for public transportation solutions and government support for electric vehicle initiatives, the company's growth trajectory looks promising.

Xiamen King Long Motor Group Co., Ltd. Mission Statement

Xiamen King Long Motor Group Co., Ltd., established in 1988, aims to produce high-quality vehicles that enhance public transportation and improve the overall travel experience. The company's mission statement emphasizes innovation, sustainability, and customer satisfaction. By focusing on advanced technology and environmental responsibility, King Long strives to lead in the global commercial vehicle market.

The mission encapsulates several core principles:

• Quality Assurance: King Long is committed to adhering to high manufacturing standards, ensuring durability and reliability in its products.
• Innovation: The company focuses on research and development, investing significantly to enhance vehicle performance and efficiency.
• Environmental Responsibility: King Long aims to produce eco-friendly vehicles, reducing emissions and promoting sustainable transportation solutions.
• Global Expansion: Targeting international markets, the company seeks to build partnerships and expand its footprint abroad.
• Customer-Centric Approach: Tailoring products to meet diverse customer needs remains a priority, enhancing service quality and satisfaction.

In 2022, King Long reported total revenue of approximately RMB 10.5 billion ($1.56 billion), marking a growth of 12% compared to the previous year. The company delivered around 17,500 units of various vehicle models, including buses and trucks, in the same year.

King Long continues to advance its operational strategies aligned with its mission of delivering high-quality and environmentally responsible vehicles. The company prioritizes technological advancements, deploying over 7% of its annual revenue towards research and development, focusing on electric and hybrid vehicle technologies.

As of the latest financial disclosures, King Long has established a solid market presence in over 100 countries, reinforcing its commitment to global expansion. The company operates multiple production bases, with its primary facility located in Xiamen, China, equipped to produce various commercial vehicles tailored to local and international specifications.

The mission statement of Xiamen King Long Motor Group Co., Ltd. reflects its strategic objectives, demonstrating a firm dedication to quality, innovation, and sustainability within the competitive landscape of the automotive industry.

How Xiamen King Long Motor Group Co., Ltd. Works

Xiamen King Long Motor Group Co., Ltd. is a major player in the bus and commercial vehicle manufacturing sector. Established in 1988, the company specializes in the production of buses, coaches, and vehicle parts, with a strong focus on innovation and technology.

For the fiscal year 2022, Xiamen King Long reported revenue of approximately RMB 20.5 billion (about USD 3.2 billion), representing a year-on-year increase of 12.5%. This growth can be attributed to increased demand for electric and environmentally friendly vehicles.

The company has a robust production capacity, with an annual output of over 30,000 buses. King Long has made significant investments in research and development, contributing to new product innovations, especially in the electric bus segment. As of 2023, the company aims to expand its electric bus sales to account for 40% of total bus sales.

Xiamen King Long focuses heavily on both domestic and international markets. The company exports its products to over 130 countries, with significant markets in Europe, Africa, and Southeast Asia. In 2022, export sales accounted for approximately 25% of total revenue.

King Long has established several strategic partnerships with global automotive manufacturers, enhancing its competitive edge. Collaborations with companies like Volkswagen and Yutong in joint ventures have expanded their technology and production capabilities.

In terms of employment, Xiamen King Long employs over 10,000 people worldwide, with a focus on maintaining a skilled workforce to support its innovative production processes. The company has invested in training programs that ensure its employees are well-versed in the latest automotive technologies.

Additionally, the company is committed to sustainable practices, which are reflected in its product offerings. King Long's electric buses are equipped with advanced technologies that improve energy efficiency and reduce carbon emissions, helping to meet stringent environmental regulations both domestically and internationally.

As of 2023, King Long aims to enhance its market share by launching new models of electric buses and expanding its service network. This strategic direction is expected to position the company favorably within the growing green transportation segment.

How Xiamen King Long Motor Group Co., Ltd. Makes Money

Xiamen King Long Motor Group Co., Ltd. primarily generates revenue through the manufacture and sale of buses and commercial vehicles. As of 2022, the company reported total revenues of approximately RMB 18.72 billion, reflecting a year-on-year increase of 12.3%. A significant portion of this revenue is derived from domestic sales, representing around 85% of total revenue, while the remaining 15% comes from international markets.

In its product lineup, King Long offers a diverse range of models, including city buses, touring coaches, and electric buses. The company's emphasis on eco-friendly transportation solutions has positioned it favorably in the growing electric vehicle market. In 2022, King Long sold over 9,000 electric buses, amounting to approximately RMB 3.5 billion in revenue from this segment alone.

The company benefits from economies of scale, allowing it to reduce production costs as output increases. The average selling price (ASP) of buses sold by King Long in 2022 was reported at around RMB 700,000. This pricing strategy helps secure profit margins despite competitive pressures in the automotive industry.

King Long has also diversified its revenue streams by engaging in bus maintenance services and spare parts sales. The after-sales services segment contributed roughly RMB 1.2 billion to total revenue in 2022, accounting for about 6.4% of its total income.

To fuel its growth, King Long has invested heavily in research and development, spending approximately RMB 1.2 billion in 2022, which enhances its product offerings and helps the company maintain a competitive edge. Notably, the launch of new models aligns with emerging customer preferences for sustainability and innovation within the transportation sector.

The company has also established strategic partnerships with various international distributors, which facilitate its expansion in overseas markets. Revenues from exports have increased by 20% in 2022 compared to the previous year, showcasing its growing global footprint.

King Long’s financial health is further supported by a robust balance sheet. As of the end of 2022, the company's total assets stood at approximately RMB 10 billion, with a debt-to-equity ratio of 0.43, indicating a relatively low level of financial leverage. This stability allows the company to pursue further growth opportunities.