The main point of view of construction machinery demand analysis tower crane rental industry is operating lease and wet lease. It needs to constantly expand the scale of assets to become bigger and stronger, and its methods of expanding assets mainly include its own funds and financial leverage. From the point of view of the income statement, the largest share of its cost side is labor costs, and its income side is rent, which is different from the traditional financial leasing company's profit margin, and it is more similar to the general service industry.
From the perspective of downstream demand, the difference between the year-on-year growth rate of the new construction area and the completed area of the industry has a forward-looking outlook for the tower crane rental income. The boom of the tower crane and tower crane rental industry can be mutually verified. In 2020, the government's land push speed will accelerate, and the growth rate of new real estate construction in the future is not pessimistic. The prefabricated construction brings new incremental demand and structural optimization, making the tower crane rental industry further improved.
How to judge the prosperity and future of the tower crane leasing company? In the short term, the performance improvement brought by the increase in equipment ownership and equipment utilization rate. Looking at the number of new orders in the medium term is a forward-looking guide for the company's downstream prosperity. In the long run, the tower crane rental market will grow and the company's market share will increase. Taking Pangyuan Leasing as a column, its equipment utilization rate continued to increase month-on-month, and the number of new orders in May increased substantially year-on-year, indicating that the boom of the tower crane leasing industry continues to increase.
Considering the steady-state demand of the industry and the new demand brought by prefabricated buildings, the market size of the tower crane leasing industry is expected to exceed 120 billion yuan by 2022. At present, the industry leader only has a market share of 3.4%. The company will continue to increase its market share by virtue of its qualifications, experience, management, scale, capital, and structural characteristics.
Looking at the future and valuation of the tower crane leasing industry from joint leasing? The joint leasing company is the most successful company in the leasing industry, and the company's revenue and profits have also continued to grow. In 2019, the revenue reached 9.351 billion US dollars, a record high. There are several main points of success in the joint lease of rewinding: scale effect, mergers and acquisitions, extremely high rental fee level plus extremely high utilization rate. When the net profit is rapidly increasing, the company's valuation is between 22-28 times. After entering a mature and stable period, the valuation is between 10-16 times. The business nature of the domestic tower crane leasing industry is different from the traditional leasing business, which is more similar to the service industry, and the valuation is closer to the service industry. In addition, the current domestic tower crane leasing is still in the early stage of rapid development. The leading companies are becoming bigger and stronger. The valuation can be closer to that of joint leasing when the net profit is rapidly increasing: 22-28 times.
