Conch Cement released a bright first-quarter performance forecast announcement. In the first quarter, the company expects to make a net profit of 4.7 billion yuan, a year-on-year increase of 120%. Huaxin Cement is growing more rapidly than Conch Cement. That night, the company announced that it expects a year-on-year growth rate of 420% to 470% in the first quarter. Some people in the cement industry said that the entire industry has ushered in a year with better benefits. "It is said that last year was the best in history. It seems that this year may be even better than last year."

The benefits of the cement industry are indeed impressive. Taking the leading company Conch Cement as an example, the company made a net profit of 15.85 billion yuan in 2017, a year-on-year increase of 85.87%, which is also a relatively good profit level in the company's history. According to the forecast, in the first quarter of this year, Conch Cement's net profit is expected to increase by 2.584 billion yuan compared with the same period last year, a year-on-year increase of 120%. The company's net profit in the first quarter of last year was 2.153 billion yuan.

Where is the driving force for profit growth? Conch Cement announced that during the reporting period, benefiting from a large year-on-year increase in the sales price of the company's products and a substantial year-on-year increase in operating income, the company's net profit increased significantly year-on-year.

The reporter learned from the interview that there are two main factors that stimulate the price increase: one is the policy of staggered production, which reduces the market supply; the other is that at the end of last year, East China strengthened environmental protection inspections during the peak season, which led to a sharp rise in cement prices. After rising, it has been maintained at a relatively high level."

According to the statistics of China Cement Researcher, in the first quarter of this year, the national cement price index (CEMPI) rose by 6.95% from the previous quarter, and the increase slowed down significantly compared with the fourth quarter of last year, but the overall price was still relatively high. Compared with the same period in 2017, CEMPI rose by 36.2% year-on-year in the first quarter, and the year-on-year increase in a single quarter also hit a new high in recent years.

Cement listed companies that benefited from the price increase reported good news one after another. In addition to Conch Cement, Huaxin Cement announced on the evening of the 9th that its performance in the first quarter will increase by 400 million yuan to 450 million yuan, a year-on-year increase of 420% to 470%. In the first quarter of last year, Huaxin Cement's net profit was 95 million yuan. Another example is Evergreen, which is expected to make a profit of 223 million yuan in the first quarter of this year, a year-on-year increase of 33 times! There is also Fujian Cement, which is expected to make a profit of about 86 million yuan in the first quarter, compared with a loss of 43.54 million yuan in the same period last year.