Affected by the sluggish freight situation in the first half of the year, the performance of railway transport enterprises in the first three quarters has also been affected. Some brokers pointed out that the future volume and price will greatly promote the performance of railway companies. Due to the shortage of funds in the railway head office and the increase in railway operating costs, the railway freight rate will continue to increase in the future.

Since the reform of railway freight organization in June this year, the railway freight market has continued to improve. According to the data released by China Railway Corporation recently, driven by the Golden Week holiday, the national railway freight volume in October was 348.1 million tons, up 23.9 million tons year-on-year, and the daily average freight volume was 11.229 million tons, up 7.4% year-on-year.

Railway freight is developing well.

Affected by the reform of railway freight organization, railway freight is also developing well. As of September, the cumulative freight volume has been basically the same as that of the same period last year. The data shows that the national railway loaded 142,509 cars a day in October, continuing the upward trend since the middle and late July this year, with an increase of 7,788 cars year-on-year, an increase of 2,531 cars compared with September, the highest level since this year. Among them, coal increased by 3,200 vehicles per day, mine construction increased by 2,413 vehicles, and grain increased by 1,066 vehicles. The loading increment of these three categories accounted for more than 80% of the total loading increment of the whole road.

Grab the express logistics market to increase revenue

The data shows that the after-tax profit of China Railway Corporation in the first half of this year was 6.5 billion yuan, slightly less than that in the first quarter, while the debt ratio continued to rise slightly to 62.58% at the end of June. Faced with the pressure of insufficient profitability and huge debts to be repaid, Iron General is constantly reforming and expanding the market to increase income.

After the railway reform, China Railway Corporation has made frequent moves in logistics and transportation, and China Railway Special Goods Transportation Company has made great efforts to develop the refrigerated transportation market for transporting south vegetables to the north and the transportation market for extra-large goods. Although the railway has an advantage in the volume of bulk materials, the LTL white goods business also has competition from aviation, highway and other modes of transportation, while electronic appliances and daily necessities are also facing fierce competition from express delivery companies.

In order to compete with the highway express for the market, the railway general manager has launched the transportation products of assembling express trains. Different from the previous trains that transport goods of a single category, the express trains that collect goods and assemble goods are composed of LTL goods, with many consignors and miscellaneous categories. In addition, Zhongyuan Railway Logistics has also jointly launched small express delivery with SF Express and China Post, and put it into trial operation on the whole Beijing-Guangzhou Railway.

Pay attention to railway transport unit from the aspects of freight rate reform.

In the A-share market, the most important railway transportation listed companies include Daqin Railway, guangzhou-shenzhen railway and Tielong Logistics. The performance of railway transport companies is relatively stable, and railway transport stocks are generally regarded as defensive stocks. However, in the first half of the year, the performance of listed companies was also affected due to the continuous downturn in railway freight volume.

The net profit of Tielong Logistics in the first three quarters was 337 million yuan, down 6.04% year-on-year, and that of guangzhou-shenzhen railway was 981 million yuan, down 9.22% year-on-year. Some brokers said that railway reform is an important catalyst for the railway industry, among which the most noteworthy are "freight rate reform", "diversified development of railways" and "asset injection".

According to the analysis of Industrial Securities, the future volume and price will greatly promote the performance of railway companies. From the perspective of freight rate, due to the shortage of funds of railway head office and the increase of railway operating costs, the future railway freight rate will continue to increase. With the economic recovery in the future, it is expected that the railway traffic volume will continue to increase.