In 2021, the chemical industry index continued to rise. On January 27, the National Bureau of statistics released the profit data of Industrial Enterprises above Designated Size in 2021, of which the total profit of chemical raw materials and chemical products manufacturing industry was 801.94 billion yuan, an increase of 87.8%. At present, the 2021 performance forecast of A-share listed companies has been gradually disclosed, and many chemical enterprises have maintained a steady growth trend.
According to the incomplete statistics of surging news reporters, as of January 29, 18 of the top 20 A-share listed companies of chemical raw materials had released the performance forecast for 2021, of which 17 recorded a year-on-year increase in net profit and 14 had a net profit increase of more than 100%.
The net profit of four enterprises Sichuan Hebang Biotechnology Co.Ltd(603077) ( Sichuan Hebang Biotechnology Co.Ltd(603077) , 603077), Inner Mongoliayuan Xing Energy Company Limited(000683) ( Inner Mongoliayuan Xing Energy Company Limited(000683) , 000683), Do-Fluoride New Materials Co.Ltd(002407) ( Do-Fluoride New Materials Co.Ltd(002407) , 002407), Xinjiang Zhongtai Chenical Co.Ltd(002092) ( Xinjiang Zhongtai Chenical Co.Ltd(002092) , 002092) increased by more than 1000% year-on-year.
Among them, Sichuan Hebang Biotechnology Co.Ltd(603077) is known as the “growth king” of A-Shares with a year-on-year growth rate of more than 72 times the expected net profit in 2021. Sichuan Hebang Biotechnology Co.Ltd(603077) it is expected to realize a net profit of 3 billion yuan to 3.3 billion yuan in 2021, an increase of 7227.36% to 7960.09% compared with the net profit of 409 million yuan last year.
Leading stocks of chemical raw materials Wanhua Chemical Group Co.Ltd(600309) (600309, Wanhua Chemical Group Co.Ltd(600309) ) are expected to realize a net profit attributable to shareholders of listed companies of 24 billion yuan to 25.2 billion yuan in 2021, with a year-on-year increase of 139% to 151%; The net profit attributable to shareholders of listed companies was 24 billion yuan to 25.2 billion yuan, a year-on-year increase of 152% to 165%.
In addition, Ningxia Baofeng Energy Group Co.Ltd(600989) ( Ningxia Baofeng Energy Group Co.Ltd(600989) , 600989) is expected to realize a net profit attributable to shareholders of listed companies of 6.8 billion yuan to 7.2 billion yuan in 2021, with a year-on-year increase of 47.10% to 55.75%.
Satellite Chemical Co., Ltd. (satellite chemical, 002648) expects to realize a net profit attributable to shareholders of listed companies of 5.7 billion yuan to 6.3 billion yuan in 2021, with a year-on-year increase of 243.17% to 279.29%.
Hubei Xingfa Chemicals Group Co.Ltd(600141) ( Hubei Xingfa Chemicals Group Co.Ltd(600141) , 600141) it is estimated that the net profit attributable to shareholders of listed companies will be 4.2 billion yuan to 4.4 billion yuan in 2021, with a year-on-year increase of 573.14% to 605.19%.
Xinjiang Zhongtai Chenical Co.Ltd(002092) it is estimated that the net profit attributable to shareholders of Listed Companies in 2021 will be 2.65 billion yuan to 2.75 billion yuan, with a year-on-year increase of 1715.55% to 1784.06%.
Zibo Qixiang Tengda Chemical Co.Ltd(002408) ( Zibo Qixiang Tengda Chemical Co.Ltd(002408) , 002408) it is estimated that the net profit attributable to shareholders of Listed Companies in 2021 will be 2.391 billion yuan to 2.556 billion yuan, with a year-on-year increase of 145% to 162%.
Most enterprises said in the forecast that the expected increase in performance was mainly due to the boom cycle of the chemical industry in 2021, and the prices of main products of glyphosate, lithium iron phosphate, silicone, yellow phosphorus, soda ash and other companies increased significantly year-on-year.
Taking glyphosate as an example, the price data of Longzhong information showed that as of January 13, the average sales price of glyphosate in China was 78000 yuan / ton, an increase of nearly four times compared with the previous average price of 20000 yuan / ton. At present, the global glyphosate production capacity is about 1.1 million tons, and 70% of the production capacity is concentrated in China. In 2022, there was no new capacity except the 50000 tons of glyphosate capacity reconstructed and expanded by Hubei Xingfa Chemicals Group Co.Ltd(600141) , but the global demand for glyphosate continued to grow steadily.
In addition to being boosted by the rise in the price of chemical raw materials, many enterprises accelerated the layout of industrial chains during the reporting period, with remarkable results. Zibo Qixiang Tengda Chemical Co.Ltd(002408) said in the forecast that during the reporting period, the company aimed at the field of high value-added fine chemicals and new chemical materials, and the production side flexibly adjusted the production line to ensure the maximization of the output of profitable products.
Catch up with the Inner Mongoliayuan Xing Energy Company Limited(000683) 2021 jointly boosted by the chemical and coal industries, and the net profit increased by 70 times year-on-year. According to the announcement of Inner Mongoliayuan Xing Energy Company Limited(000683) , the net profit attributable to shareholders of listed companies is expected to be 4.85 billion yuan to 5.05 billion yuan in 2021, with a year-on-year increase of 7022.3% to 7316%.
In addition to the price boost of soda ash and urea, Inner Mongoliayuan Xing Energy Company Limited(000683) said that during the reporting period, the contribution of the coal sector to the company’s profit increased significantly compared with the previous year. Superimposed on the company’s focus on the main business during the reporting period, the amount of non recurring profits and losses was about 2.1 billion yuan.
During the reporting period, Inner Mongoliayuan Xing Energy Company Limited(000683) transferred the equity of Inner Mongolia Boyuan Coal Chemical Co., Ltd., Inner Mongolia Boyuan United Chemical Co., Ltd. and Inner Mongolia Boyuan water Co., Ltd; Cancelled the subsidiary Inner Mongolia Yuanxing Jiangshan Chemical Co., Ltd; The construction of ethylene glycol project was terminated.
The only enterprise with pre reduced performance – Kingfa Sci.& Tech.Co.Ltd(600143) ( Kingfa Sci.& Tech.Co.Ltd(600143) , 600143) announced that the net profit attributable to shareholders of Listed Companies in 2021 is expected to be 1.377 billion yuan to 1.932 billion yuan, a year-on-year decrease of 57.89% to 69.99%.
For the pre reduction of performance, Kingfa Sci.& Tech.Co.Ltd(600143) indicates that the sales volume and selling price of the company’s main products in the medical and health sector decreased year-on-year in 2021; The price of raw materials of main products in the green petrochemical sector has increased and the cost of materials has increased; The company plans to withdraw the provision for asset impairment of 50 million yuan to 605 million yuan (Unaudited).
Yu Ze, a researcher at the China Institute of economic reform and development at Renmin University of China, said that since 2021, chemicals have broken through the original cycle logic, driving up the price of upstream means of production. In the global energy transformation, fossil energy accelerates the transformation to new materials, which has strong support for new chemical materials. As the supply adjustment takes time, some chemical raw materials will continue to be at a relatively high level for a period of time, and the chemical industry will gradually change from a strong cyclical industry to an industry with certain growth.
