Nuode Investment Co.Ltd(600110) the performance forecast for 2021 was disclosed on January 29. It is estimated that the net profit attributable to the parent company in 2021 will be 390 million yuan to 420 million yuan, an increase of 7142% to 7699% year-on-year compared with the same period of the previous year. The company expects to deduct non net profit of 370 million yuan to 400 million yuan, with a loss of 50.5126 million yuan in 2020.
Although the net profit increased by more than 70 times, the performance was lower than the expectation of the organization. The company’s share price may also reflect this performance.
Nuode Investment Co.Ltd(600110) is concerned by investors, which is related to the “incisive theory” thrown out by Chen Yubi, deputy general manager of the company. On October 26, 2021, Chen Yubi, the deputy general manager of Nuode Investment Co.Ltd(600110) , made an astonishing statement that “I will apologize for not having a market value of 50 billion next year”. The speech stimulated the company’s share price, and the market value of Nuode Investment Co.Ltd(600110) once reached 33.8 billion yuan. However, since then, Nuode Investment Co.Ltd(600110) share price has been falling all the way. As of the closing on January 28, the stock price had fallen by 45% in the past three months, almost halved, and the latest market value was 18 billion yuan.
performance is lower than expected
For performance growth, Nuode Investment Co.Ltd(600110) said that in 2021, the company actively grasped the market development opportunities of the new energy industry, strengthened the development of the copper foil market, continuously improved the operation quality and efficiency, and continuously optimized the product structure. The profitability of the company continued to increase. At the same time, the order demand of new energy power batteries of downstream enterprises increased significantly year-on-year, The demand for lithium battery copper foil increased significantly.
In addition, the production efficiency of Qinghai Electronic Materials Co., Ltd. has been upgraded. The growth of production and sales volume drives the scale effect, and the company also reduces the unit processing cost, thus improving the product profit margin.
Although the growth was more than 70 times, the performance was not as good as expected. According to the data, the organization’s consistent expectation for the performance of Nuode Investment Co.Ltd(600110) 2021 is 506 million yuan, the most conservative performance expectation in recent six months is 466 million yuan, and the upper edge of the performance forecast range is 420 million yuan, which can be said to be lower than the organization’s expectation.
In the third quarter of 2021, Nuode Investment Co.Ltd(600110) net profit attributable to the parent company reached 121 million yuan, a year-on-year increase of 8663.26%. The company expects the net profit attributable to the parent company in the fourth quarter of 2021 to be 68.42 million yuan – 98.42 million yuan, with a median value of 83.42 million yuan. If the median value is used as a reference, it is expected to increase by 284% year-on-year. However, the month on month growth rate is sluggish. After the performance growth rate in the third quarter of 2021 fell by 11% month on month, the month on month growth rate in the fourth quarter is expected to drop to 31%.
Nuode Investment Co.Ltd(600110) is at a disadvantage compared with its main competitor Guangdong Jiayuan Technology Co.Ltd(688388) . Guangdong Jiayuan Technology Co.Ltd(688388) it is estimated that the net profit attributable to the parent company in 2021 will be 530 million yuan to 603 million yuan, with a year-on-year increase of 184.25% to 223.56%. According to the data, the performance of Guangdong Jiayuan Technology Co.Ltd(688388) 2021 is expected to be 535 million yuan, which is in line with the market expectation. In terms of split quarterly results, Guangdong Jiayuan Technology Co.Ltd(688388) it is estimated that the net profit attributable to the parent company in the fourth quarter is 136 million yuan – 209 million yuan, with a median value of 172 million yuan. Guangdong Jiayuan Technology Co.Ltd(688388) the net profit in the third quarter increased by 11.94% month on month, and the growth rate in the fourth quarter is expected to be 14.88%.
For the performance variables in the fourth quarter, the provision for losses or important disturbance factors. Nuode Investment Co.Ltd(600110) said that through the technical transformation and upgrading of Qinghai electronics, some equipment could not meet the production of products required by the existing market, and the company made provision for asset impairment for some equipment.
the share price nearly halved after the executives made bold remarks
It is worth noting that Nuode Investment Co.Ltd(600110) has been widely concerned by the market due to the remarks of senior executives.
On October 26, 2021, Chen Yubi, deputy general manager of Nuode Investment Co.Ltd(600110) released a circle of friends saying: “please support Nord, the market value of next year is less than 50 billion, I sincerely apologize”, and distributed his personal speech poster at an industrial chain summit.
That night, Nuode Investment Co.Ltd(600110) issued a Clarification Announcement, saying that the content of the above circle of friends was released by Chen Yubi at 10 p.m. on October 22, 2021 and had been deleted in a short time. The company said that the outlook involving the future market value of the company is based on Chen Yubi’s personal outlook on the securities market of Dianxin sector, which does not represent the position of the company. The objectives involved are affected by various factors, there are risks that cannot be achieved, and there are major uncertainties.
However, Chen Yubi’s remarks further stimulated the company’s share price, Nuode Investment Co.Ltd(600110) hit a record high on October 28, 2021, with a market value of 33.8 billion yuan.
However, since then, Nuode Investment Co.Ltd(600110) shares have been falling all the way. As of the closing on January 28, the cumulative decline in the past three months has reached 45%, almost halving.
pile up and expand production capacity
In December 2021, Chen Yubi said at an industry forum that driven by the medium and high growth of the global lithium battery market, the global lithium battery copper foil market is expected to continue the high growth trend in the early stage. Among them, the supply of high-end lithium battery copper foil will remain tight, especially the ultra-thin high-performance copper foil will have a large supply gap.
Facing the upward trend of market prosperity, since 2021, Nuode Investment Co.Ltd(600110) , Jiangxi Copper Company Limited(600362) , Guangdong Jiayuan Technology Co.Ltd(688388) and other companies have announced large-scale production expansion plans. Industry insiders predict that from 2022 to 2023, the lithium battery copper foil industry will usher in the tide of production expansion, and the situation of short supply in 2022 will continue.
Nuode Investment Co.Ltd(600110) issued a fixed increase plan in June 2021. It is proposed to raise no more than 2.288 billion yuan to invest in the 15000 ton phase III project in Qinghai and the 12000 ton phase III project in Huizhou. When all of them are completed, Nuode Investment Co.Ltd(600110) will form an annual production capacity of 85000 tons of lithium battery copper foil. On January 17, Nuode Investment Co.Ltd(600110) announced that the company and Huangshi Economic Development Zone planned to sign an investment contract to invest in the construction of Nord’s 100000 ton copper foil material new production base, with a registered capital of 3.5 billion yuan.
Chen Yubi said that at present, Nuode Investment Co.Ltd(600110) 4-5 μ M ultra thin high tensile lithium copper foil has begun to be supplied in large quantities; three point five μ M ultra thin high tensile lithium battery copper foil can accept sample delivery and can be customized according to the specific technical requirements of customers.
