Securities code: Polyrocks Chemical Co.Ltd(688669) securities abbreviation: Polyrocks Chemical Co.Ltd(688669)
Polyrocks Chemical Co.Ltd(688669)
Record of investor relations activities
No.: 2022001
Investor relations activity category □ specific object research □ analyst meeting
□ media interview □ performance briefing
□ press conference □ Roadshow
□ site visit □ teleconference
□ others
Name of participants Citic Securities Company Limited(600030) South China Co., Ltd., Yuancheng fund, Yuandong Hongxin
Time: March 17, 2022
Mode of participation: on site participation
Name of receptionist of listed company Mr. Chen Gang, chairman and general manager
Ms. Mei Jing, Secretary of the board of directors
Ms. Zhu Hongfang, President of Jushi Research Institute
Ms. Li Lingyu, general manager office of Jushi
The main business of the company is the R & D, production and sales of flame retardants, modified plastic particles and products. After years of innovation and accumulation, it has possessed core technologies including halogen-free flame retardant chemical synthesis and compounding application technology, flame retardant modified plastic preparation technology, functional polymer material technology and so on. It is one of the manufacturers of high-performance plastics and resins with differentiated competitive advantages in China.
The halogen-free flame retardants of the company comply with international RoHS, reach and WEEE standards, and have superior flame retardant and environmental protection performance. They are mainly used in the field of new materials such as flame retardant plastics and flame retardant coatings. Modified plastic particles and products are widely used in holiday lighting, electronic appliances, wires and cables, automobiles, liquid crystal displays, medical and health care and other fields. And has established strategic cooperative relations with many well-known enterprises at home and abroad. Through continuous R & D investment and scientific and technological innovation, the company has formed an integrated development model of “basic raw materials – plastic additives – plastic materials” industrial chain, and will march towards high-performance green new materials in the future.
Question 1: how about the company’s R & D expenses? Please introduce the company’s research projects?
A: the R & D expenses of the company from January to September in 2019, 2020 and 2021 were 453942 million yuan, 596919 million yuan and 731109 million yuan respectively, accounting for 3.08%, 3.10% and 3.92% of the sales revenue of the same year; The company continues to increase R & D investment, and the R & D direction is divided into two parts:
(1) Research on application scenarios and process technology development of existing products: the company goes deep into the modified plastic market and carries out product performance research from the customer application end, such as antibacterial and mildew proof of automobile interior and exterior decoration, heat resistance of PS, low warpage and low linear expansion coefficient of flame retardant PC, modification of recycled plastics, etc; And expand the company’s product categories, such as adding phosphate flame retardant, hydroxide flame retardant, PC rear cover sector, flame retardant PP composite sector instead of PC / ABS sector, EPP foam sector, pet foam sector and other products, so as to broaden the new application market.
(2) Research reserve of high value-added products: the company has established Jushi Research Institute and its subsidiary Guangdong Jushi Technology Research Co., Ltd. to carry out technical research and entrusted research on new material products through the combination of enterprise independent innovation and industry university research cooperation, At present, the company’s research projects include the pilot study of graphene industrialization and the main downstream applications of investor relations, the research and development of PVA composite gel and medical dressings, the preparation of polyimide two anhydride monomer, the study of the industrialization of composite biodegradable films, and so on, so as to provide technical reserves for the company’s product layout and long-term development.
Question 2: according to the data disclosed in the company’s 2021 annual performance express, where is the main growth point of the company’s operating revenue?
A: the company focuses on the main business line of “modified plastic additives + modified plastic particles + modified plastic products”. On the one hand, due to the rise in the price of upstream raw materials, the company has increased the corresponding selling price of products; on the other hand, due to the increase in product output and sales volume, the company’s operating revenue has increased, and the company’s flame retardants Modified plastic products have stable sales increment; In addition, the company’s trade revenue increased in 2021; Finally, the company increased the operating income of the consolidated statements through mergers and acquisitions of upstream and downstream enterprises in the industrial chain.
Question 3: the company has done a lot of business now. Please briefly explain the logic of our business layout? A: the company has always implemented the mission of “creating environmental protection and energy-saving products with science and technology to make people’s life safer and better”. In the two major industrial sectors of chemical industry and plastics, the company’s product development focuses on the application route of safety, environmental protection, energy saving and innovation, and improves horizontally from “basic raw materials – plastic additives”
-The industrial chain layout of “plastic materials”, so as to realize the company’s strategic goal of leading the industry in subdivided fields and realizing import substitution of subdivided products.
Question 4: the company has announced many foreign investment projects in the past year. What is the current construction situation of these projects?
A: at present, the foreign investment projects under construction mainly include Chizhou production base, Anqing production base and Jiangling Circular Industrial Park. Among them, the 50000 T / a halogen-free flame retardant project, graphene project and daily chemical oil project of Chizhou production base have been put on record. It is expected that phase I construction will be completed and put into operation in 2024. Anqing production base has successfully obtained 300 mu of land through bidding, auction and listing, and has completed the procedures of project filing and review of hazardous chemical construction projects. It is expected that the construction of phase I 200000 tons of polystyrene will be completed and put into operation in 2023. Jiangling Circular Industrial Park has recently acquired 181 mu of land through bidding, auction and listing, and has completed the project filing. The project will gradually increase its production capacity to 10000 tons of EPP materials per year within three years. After all the above projects are put into operation, the new output value will exceed 4 billion yuan.
Annex list (if any) none
Date: March 17, 2022
