Abrasives giant Luxin Gaoxin builds high-growth engine

Luxin Gaoxin was restructured from the former China National Machinery Industry Department's large-scale first-class enterprise, China's fourth grinding wheel factory. After several years of product structure adjustment and industrial upgrading, the company's four core industries: abrasive industry, abrasive tools The industry, sandpaper sandpaper industry and citric acid industry have entered a stage of rapid and healthy development. The company's scale and efficiency are growing and it is in a leading position in the industry.
Luxin Gaoxin's main business scope includes the production and sales of abrasives, abrasive tools, abrasive cloth sandpaper and citric acid products. The 2005 annual report showed that the production of abrasives increased by 29.79% year-on-year; the abrasive tools increased by 0.3%; the sandpaper sandpaper increased by 22.74%; the citric acid series products increased by 68.67%, showing that the main products are in a period of rapid growth.
The annual report shows that Luxin Gaoxin has achieved breakthroughs in asset scale and efficiency. Compared with 2001, the company's total assets have increased from 544 million yuan in 2001 to 937 million yuan; the main business income increased from 133 million yuan to 416 million yuan; profits increased from 1.31 million yuan to 15.28 million yuan. From the same period of last year, the company's main business income in 2005 increased by 44.41% over the same period of 2004. The total profit increased by 16.16% over the same period. The net profit was a leaps and bounds, up 158.53% year-on-year!
The company determined its business target for 2006 as: the main business income reached 600 million yuan. According to this goal, Luxin Gaoxin’s main income this year will increase by 44% compared with 2005. According to the calculation of the main cost, it can be confirmed that the comprehensive gross profit margin of Luxin high-tech products will reach 17%, which is much higher than that in 2005. Great improvement. With the adjustment of product structure, we believe that Luxin High-tech will usher in a new development opportunity and continue to build a solid high-growth engine.
 

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