Mesnac expects up to 55% growth in annual profit

Qingdao, China – Mesnac Co. Ltd expects earnings (profit attributable to shareholders) in 2022 to grow by between 34% and 55%, as demand for tire & rubber machinery picks up.

In a 4 Jan announcement to the Shenzhen Stock Exchange, the Chinese machinery supplier predicted large year-on-year growth in profit, driven by a rise in demand from its main customer industry.

As a result, the company expects profits to come in between Yuan190 million (€26.2 million) and Yuan220 million, up from Yuan142 million reported in 2021.

Furthermore, Mesnac expects net profit after deducting non-recurring gains and losses to be between Yuan135 million and Yuan170 million, a year-on-year increase of 60% to 100% compared to Yuan 84 million last year.

The machinery maker did not provide a total sales outlook for the year.

“During the reporting period, the rubber equipment business maintained growth, and the company continued to promote the application of product standardisation and modularisation,” said Mesnac.

Furthermore, the company said it promoted the use and improvement of intelligent upgrades for process equipment, while enhancing product quality and delivery efficiency.

Mesnac added that it increased investment in R&D during the year, while maintaining focus on emerging businesses, including new rubber materials and lithium battery equipment.