Securities code: 002783 securities abbreviation: Hubei Kailong Chemical Group Co.Ltd(002783) Announcement No.: 2022-005 Hubei Kailong Chemical Group Co.Ltd(002783)
2021 annual performance forecast
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
1、 Expected performance of the current period
（1） Performance forecast period: January 1, 2021 to December 31, 2021
（2） Expected operating performance: the expected net profit is negative
The current reporting period of the project is the same period of last year
Net loss attributable to shareholders of listed companies: 300 million yuan – 380 million yuan; Profit: 50.3426 million yuan
profit
Net loss after deducting non recurring profit and loss: 290 million yuan – 370 million yuan; Profit: 50.492 million yuan
profit
Basic earnings per share loss: 0.79 yuan / share – 1.00 yuan / share earnings: 0.13 yuan / share
2700 million yuan - 2900 million yuan
Operating income: 2010941200 yuan
An increase of 34.26% - 44.21% over the same period last year
Operating income after deduction [Note 1] 260000-285000 yuan 1897356200 yuan
Note 1: operating income after deduction refers to the operating income after deducting the business income irrelevant to the main business and the income without commercial substance. The operating income after deduction in the same period of last year has not been audited.
2、 Communication with accounting firms
The financial data related to the performance forecast of this period has not been audited by certified public accountants, but the company has pre communicated with the annual report audit accounting firm on matters related to the performance forecast, and there is no difference between the company and the accounting firm in the performance forecast of this reporting period.
3、 Explanation of performance change reasons
The expected net profit of the current period has a large loss, mainly due to:
（1） The price of main raw materials rose sharply
In 2021, the main raw materials such as industrial coal and synthetic ammonia required by the company's production increased significantly, and the rising price of raw materials had a great adverse impact on the company's operating profit.
(II) financial expenses - interest expenses increased significantly
The company's financial expenses - interest expenses in 2021 increased significantly due to the increase of bank loans, which led to the decline of the company's operating profit in 2021.
（3） Provision for impairment of large assets
1. Provision for impairment of goodwill
The financial department of the company conducted a preliminary test on the goodwill impairment of each asset group and judged that guiding Shunxiang dangerous goods transportation Co., Ltd. and Qiannan anpingtai Blasting Engineering Co., Ltd., Guizhou Wanhe Blasting Engineering Co., Ltd. and Guizhou Hexing Transportation Co., Ltd., Bijie Guiling blasting engineering and Supervision Co., Ltd., Xingzhou blasting and Guizhou Xingzhou Transportation Co., Ltd There are signs of further impairment of goodwill in 8 asset groups of Wuzhong Ansheng civil explosive Co., Ltd., Wuzhong Tianli civil explosive equipment franchise Co., Ltd., Jingshan Kailong Mining Co., Ltd., Huludao Linghe Chemical Group Co., Ltd., Shandong Tianbao Chemical Co., Ltd. and Shandong Kaile Chemical Co., Ltd, It is estimated that the provision for goodwill impairment of the eight asset groups will need to be withdrawn from 300 million yuan to 340 million yuan in 2021, and the net profit attributable to the shareholders of the parent company in the consolidated statements of the company in 2021 is expected to be reduced from 255 million yuan to 289 million yuan. 2. Provision for impairment of fixed assets
(1) The remaining mining period of Huashan mining site affiliated to the company's subsidiary Jingshan Huashan Mining Co., Ltd. is expected to be 1-2 years. After the mining is completed, some special mining equipment and structures are difficult to reuse, will no longer have use value and there are signs of impairment. At the same time, the current book intangible asset - mining right shows signs of impairment due to the short remaining mining period. According to the preliminary calculation of the company's financial department, the company's Sun company Jingshan Huashan Mining Co., Ltd. is expected to withdraw the provision for impairment of fixed assets and intangible assets of 10 million yuan to 20 million yuan in 2021, which is expected to reduce the net profit attributable to shareholders of the parent company in the company's consolidated statements in 2021 by 2.8 million yuan to 5.6 million yuan. (2) Xinjiang Tianbao Chemical Co., Ltd., a subsidiary of the company, has been shut down for a long time due to market reasons, and there are signs of impairment of its fixed assets. According to the preliminary calculation of the company's financial department, it is estimated that Xinjiang Tianbao Chemical Co., Ltd., a subsidiary of the company, will need to withdraw the provision for impairment of fixed assets of 20 million yuan to 40 million yuan in 2021
Reduce the net profit attributable to shareholders of the parent company in the consolidated statements of the company in 2021 from 6.7 million yuan to 13.4 million yuan. （4） The long-term equity investment accounted by the equity method has a large loss.
Maxim chemical (Shandong) Co., Ltd. is a joint venture jointly invested and established by the company's subsidiary Shandong Tianbao Chemical Co., Ltd., Spain marksam International Co., Ltd. and Weihai yuboqiang Investment Co., Ltd. Shandong Tianbao Chemical Co., Ltd. holds 38.90% of the equity of the joint venture. The water gel explosive production line and detonator production line of the major project under construction of the joint venture have been in trial production since March 2020. Due to various reasons, it is difficult to pass the acceptance of the national competent department of industry, and there are signs of large impairment of the project under construction. According to the preliminary calculation of the company's financial department, due to the asset impairment of the associated enterprise Maxim chemical (Shandong) Co., Ltd., Shandong Tianbao Chemical Co., Ltd. is expected to make a long-term equity investment loss of 60 million yuan to 80 million yuan of the associated enterprise Maxim chemical (Shandong) Co., Ltd., which needs to be calculated with the equity method in the current period, It is expected to reduce the net profit attributable to shareholders of the parent company in the consolidated statements of the company in 2021 by 36 million yuan to 48 million yuan.
4、 Risk tips
This performance forecast is the preliminary accounting conducted by the company's financial department based on its own professional judgment, which has not been audited by certified public accountants. The provision for impairment of various assets made by the company in the current period is an uncertain factor affecting the accuracy of the performance forecast. The final amount of impairment provision will be determined after evaluation and audit by professional evaluation institutions and audit institutions hired by the company.
5、 Other relevant instructions
This performance forecast is the result of the preliminary calculation of the company's financial department, and the specific financial data will be disclosed in detail in the company's 2021 annual report. Please invest rationally and pay attention to investment risks. It is hereby announced.
Hubei Kailong Chemical Group Co.Ltd(002783) board of directors January 29, 2022
