Zoomlion Captures Broad Blue Ocean Market with Emerging Segments Account for over 20% of Total Revenue in 2021CHANGSHA, China
On March 30, Zoomlion released its 2021 annual report. The company secured operating revenue of RMB 67.131 billion, up 3.11% year over year. Emerging segments such as aerial work machinery, earthmoving machinery, new building materials, agricultural machinery and smart agriculture were responsible for more than 20% of the Company’s revenue, a year-on-year increase of nearly 6 percentage points.
In recent years, Zoomlion has been focusing its business plan on three major segments: construction machinery, agricultural machinery + smart agriculture, and new building materials. The annual report suggests that Zoomlion continued to keep construction machinery stabilized and improved in 2021, with an annual sales revenue of RMB 63.523 billion in this respect, up 3.49% over the prior year. Three major products of concrete machinery, engineering hoisting machinery and construction hoisting machinery continued to grow with a solid market position.
The sales revenue of earthmoving machinery, one of Zoomlion’s emerging segments, increased by more than 21% compared to the same period in the prior year. The sales volume of medium and large excavator products with relatively good profitability saw substantial growth, and the overall market share increased at a steady pace.
In aerial work machinery, the sales of Zoomlion aerial work machinery were RMB 3.351 billion in 2021, a substantial increase of 310.76% year-on-year. At present, aerial work machinery has had full coverage of the product spectrum of 4-68 meters, making Zoomlion the altitude equipment manufacturer with the most complete models in China. It also performed well in overseas markets, with its operations across 58 countries and regions on five continents, including those upscale markets such as Europe and the United States.
In 2021, the commercialization of AI-enabled intelligent agricultural machinery picked up the pace, and the reliability of harvesting machinery and power machinery products was fully updated. The market share of wheat machines, dryers, rotary tillers, balers and rice throwers stayed at the forefront of the industry in China.
Zoomlion’s new building materials business was fully rolled out. The dry-mixed mortar equipment business grew at a stable pace, securing a solid place among the few on top in terms of domestic market share.
Zoomlion will further diversify its operations, accelerate emerging segments, and develop its market in the new blue ocean market.