“Lithium” is a cow! The performance of “lithium mining leader” Sichuan Yahua Industrial Group Co.Ltd(002497) broke the table in the first quarter, with a year-on-year increase of more than 1000%, and the three-month net profit exceeded that of last year.
Affected by the news, Sichuan Yahua Industrial Group Co.Ltd(002497) opened the trading limit today. So far, the stock has been reported at 32.49 yuan, with a total market value of 37.4 billion yuan.
Sichuan Yahua Industrial Group Co.Ltd(002497) performance explosion table
net profit in the first quarter exceeded that of last year
On February 21, Sichuan Yahua Industrial Group Co.Ltd(002497) announced the performance forecast for the first quarter of this year. During the reporting period, Sichuan Yahua Industrial Group Co.Ltd(002497) realized a net profit attributable to the parent company of 900 million yuan to 1.2 billion yuan, with a year-on-year increase of 1053.67% – 1438.22%.
For the main reason why the performance of the first quarter of 2022 increased significantly compared with the same period of the previous year, Sichuan Yahua Industrial Group Co.Ltd(002497) said that the company’s civil explosive business continued to make progress while maintaining stability and the performance increased steadily during the reporting period; The demand of lithium industry continues to rise, and the price of lithium salt products continues to rise. The company seizes the opportunity to release production capacity and increase sales. The sales volume of lithium salt products has gradually increased, and the profit of lithium business has increased significantly.
last year’s net profit increased significantly
lithium business fully releases capacity
On the same day, Sichuan Yahua Industrial Group Co.Ltd(002497) also disclosed the performance express of 2021. In 2021, the company achieved a total operating revenue of 5.233 billion yuan, a year-on-year increase of 60.99%; The net profit attributable to the parent company was 925 million yuan, a year-on-year increase of 185.5%; After deducting non recurring profits and losses, the net profit attributable to shareholders of listed companies was 905 million yuan, with a year-on-year increase of 202.71%; The basic earnings per share is 0.8050 yuan.
Sichuan Yahua Industrial Group Co.Ltd(002497) pointed out that the main reason for the change of the above indicators is that in the lithium business, the company seizes the opportunity to fully release its production capacity, formulate marketing strategies for the market with strong demand and improve the product profit margin; Effectively control operating costs and enhance profitability through continuous measures such as process technology improvement and internal control; The business of civil explosives grew steadily, responded to the rise of raw and auxiliary materials through centralized procurement, continued to control internal costs, and the performance of civil explosives continued to grow.
Compared with the beginning of the reporting period, the total assets increased by 2.127 billion yuan, a year-on-year increase of 30.57%, mainly due to the significant increase in operating performance caused by the increase of the company’s income scale, and the increase of lithium material inventory storage in order to ensure the supply and demand of products in the lithium industry.
In 2021, the prosperity of the lithium industry continued to improve, new energy vehicles developed rapidly, the demand for lithium products continued to grow, and the price of lithium salt continued to rise and hit a record high. The company gave full play to its own advantages and developed the dual main industries of civil explosion and lithium industry, with obvious growth trend of lithium business.
For the performance of Sichuan Yahua Industrial Group Co.Ltd(002497) , netizens shouted, “too fierce!” Investors are also in high spirits, “like to mention a word board, is that gold will always shine.” However, several families are happy and several families are sad. Some investors said, “I regret selling half of it yesterday.” (click to enter Sichuan Yahua Industrial Group Co.Ltd(002497) )
lithium industry + civil explosive industry
linkage development of dual main industries
It is understood that Sichuan Yahua Industrial Group Co.Ltd(002497) focuses on the production of lithium ore and lithium salt products. It is one of the earliest enterprises producing lithium salt products in China and the main supplier of lithium salt products in the world. The company focuses on lithium industry and civil explosion industry. The two main businesses of the company complement each other and support each other.
In a recent research meeting, Sichuan Yahua Industrial Group Co.Ltd(002497) introduced the development of the company’s two major businesses. In terms of civil explosive business, through the forward-looking layout in recent years, the company has industrial and market layout in the Midwest with the strongest demand for civil explosive in the future, as well as Inner Mongolia, Shanxi, Yunnan, Jilin and other regions. While the product sales market continues to expand, the company will continue to promote the sustainable development of blasting business and gravel aggregate business, and constantly consolidate its leading position in the civil blasting industry. With the resumption of key projects in various regions, the continuous construction of Sichuan Tibet railway, and the continuous implementation of major projects brought by the state’s increased infrastructure investment, it will bring greater development opportunities to the civil explosive industry in the future.
In terms of lithium business, the company entered the lithium industry by participating in Guoli in 2013. At present, it has four lithium industry companies: Guoli, Xingsheng lithium, Ya’an lithium and lithium technology. The company focuses on the R & D, production and sales of lithium hydroxide. At the same time, it is equipped with lithium carbonate capacity, and the production process level and equipment technology level are in the forefront of the industry. It has established long-term cooperation with Japanese well-known enterprises in the cathode material industry chain and the world’s leading manufacturers of cathode materials.
At present, the comprehensive design capacity of Sichuan Yahua Industrial Group Co.Ltd(002497) is about 43000 tons. In addition, 50000 tons of battery grade lithium hydroxide, 11000 tons of lithium chloride and their products have been constructed with the funds raised from non-public offering. The construction of the project has been started. At present, all construction is in normal progress, of which 30000 tons of battery grade lithium hydroxide production line will be completed and put into operation by the end of this year. By 2025, the company’s comprehensive capacity of lithium salt products will reach more than 100000 tons.
Sichuan Yahua Industrial Group Co.Ltd(002497) also mentioned that the company reserves lithium resources through various channels. At present, the lithium resource supply channel can meet the needs of lithium salt production in 2022. At present, Australian core company has started mining construction as planned, and it is expected to provide lithium concentrate for the company in the fourth quarter of this year according to the agreement.
According to the analysis of Anxin securities, Sichuan Yahua Industrial Group Co.Ltd(002497) ‘s main business includes civil explosion business and lithium business, as well as other businesses such as transportation. The industrial and product structure of the company’s civil explosive industry continues to be optimized, or there is still room for increment, and the replacement of electronic detonators is expected to accelerate. The civil explosive business contributes good cash flow, and the equity incentive of lithium business may promote the continuous and large-scale business. At the same time, it is planned to jointly Xtc New Energy Materials( Xiamen) Co.Ltd(688778) layout lithium iron phosphate. The company may explore the road of industrial chain integration and continue to be optimistic about the development prospect of the company.
from 400 million yuan to 1 billion yuan
to buy financial products
In addition, Sichuan Yahua Industrial Group Co.Ltd(002497) has abundant cash flow. The company will increase its idle own funds to 1 billion yuan for the purchase of financial products.
Last night, Sichuan Yahua Industrial Group Co.Ltd(002497) announced that the proposal on increasing the amount of idle self owned funds to buy financial products was reviewed and approved by the board of directors. In view of the good economic benefits of the company and the gradual increase of stock funds, the company and its subsidiaries were approved to adjust the amount of idle self owned funds to buy financial products from 400 million yuan to 1 billion yuan, Within the accumulative amount of no more than 1 billion yuan, the funds can be used on a rolling basis. We will invest in financial products with high security, good liquidity and low risk.
The company and its subsidiaries will determine a reasonable financial management stage according to the capital situation and capital use plan, and choose the opportunity to buy medium and short-term financial products, with a maximum period of no more than 1 year.
Sichuan Yahua Industrial Group Co.Ltd(002497) stressed that the company and its subsidiaries increased the amount of idle self owned funds to buy financial products on the premise of ensuring the company’s daily operation and capital safety. At the same time, the company made good and reasonable arrangements in terms of investment period and investment redemption flexibility. The company has formulated a strict internal control system for control, which can better prevent risks, It also does not affect the normal turnover demand of the company’s daily funds, which is conducive to improving the use efficiency and income of the company and its subsidiaries’ own idle funds.
