\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 141 Hubei Xingfa Chemicals Group Co.Ltd(600141) )
Event: on March 21, 2022, Hubei Xingfa Chemicals Group Co.Ltd(600141) released the annual report of 2021: the operating revenue reached 23.607 billion yuan, a year-on-year increase of 28.88%; The net profit attributable to the listed company was 58.42 billion yuan, a year-on-year increase of 58.3%; The weighted average return on net assets was 37.16%, an increase of 29.87 percentage points year-on-year. The gross profit margin of sales was 33.37%, with a year-on-year increase of 17.15 percentage points; The net profit margin of sales was 19.92%, with a year-on-year increase of 16.64 percentage points.
Among them, Q4 achieved a revenue of 7.027 billion yuan in 2021, a year-on-year increase of 126.87% and a month on month increase of 4.44%; The net profit attributable to the parent company was 1.759 billion yuan, an increase of 571.71% year-on-year and 30.58% month on month; The weighted average return on net assets was 13.85%, an increase of 10.92 percentage points year-on-year and 1.64 percentage points month on month. The gross profit margin of sales was 43.33%, with a year-on-year increase of 10.17 percentage points and a month on month increase of 7.74 percentage points; The net sales interest rate was 28.30%, with a year-on-year increase of 21.61 percentage points and a month on month increase of 6.15 percentage points.
Comments:
The main products ushered in the business cycle, and the profitability was significantly enhanced
In 2021, the net profit of the company increased by 583.58% compared with the same period of the previous year, mainly due to the sharp rise in the sales price of the company’s main products such as silicone, glyphosate, dimethyl sulfoxide and yellow phosphorus, and the significant enhancement of profitability. In 2021, the average price of the company’s main product phosphate rock was 283.11 yuan / ton, with a year-on-year increase of 35.77%; The average price of yellow phosphorus was 2414626 yuan / ton, a year-on-year increase of 64.15%; The average price of ammonium phosphate was 311101 yuan / ton, with a year-on-year increase of 50.69%; The average price of silicone was 2632643 yuan / ton, with a year-on-year increase of 50.59%; The average price of glyphosate was 3737977 yuan / ton, a year-on-year increase of 95.86%. The company actively grabs the favorable market situation, scientifically organizes production and operation, and realizes stable and high yield of main devices. The industrial chain advantages of “integration of mining, electrification”, “phosphorus and silicon salt coordination” and “combination of mining and fertilizer” have been brought into full play. Meanwhile, the 3 million T / a low-grade collophanite beneficiation and deep processing project of Yidu Xingfa Chemical Co., Ltd., a wholly-owned subsidiary of the company, and the 400000 T / a synthetic ammonia project of Yichang xinglantian Technology Co., Ltd., a joint-stock company, were completed and put into operation in 2021, bringing new profit growth points to the company.
In 2021, the net cash inflow from operating activities in the reporting period was 5.337 billion yuan, with a year-on-year increase of 121.91%, mainly due to the significant increase in the prices of the company’s main industries and the increase in the company’s sales revenue during the reporting period. In 2021, the company received 14.185 billion yuan in cash from selling goods and providing labor services, with a year-on-year increase of 15.95%. In 2021, the company’s sales expense ratio was 1.12%, with a year-on-year increase of 0.03 percentage points; The management fee rate was 1.51%, a year-on-year decrease of 0.11 percentage points; The company’s financial expense ratio was 2.04%, down 1.13 percentage points year-on-year; The R & D expense rate was 3.65%, with a year-on-year increase of 1.61%.
The construction of the project has achieved remarkable results and added strong impetus to the transformation and development
In 2021, the company made positive progress in the construction of key projects. The 400000 T / a ammonium phosphate, 1.2 million T / a sulfuric acid and 400000 T / a phosphoric acid units of Yidu Xingfa phase II project were completed and put into operation, the company’s ammonium phosphate production capacity was increased to 1 million T / A, the raw material bottleneck of wet process phosphoric acid purification unit was completely solved, and the start-up efficiency was greatly improved; The 400000 T / a synthetic ammonia project of xingxinglantian, a joint-stock enterprise, was successfully started at one time, which significantly enhanced the guarantee capacity of synthetic ammonia required for the production of ammonium phosphate, which helped to improve the cost control ability of ammonium phosphate products; The 10000 t / a electronic grade sulfuric acid project of Xingfu electronics and the 15000 T / a electronic grade hydrofluoric acid project of Xingli electronics, a joint-stock enterprise, were put into operation ahead of schedule in the first half of the year, and the product quality reached G5 level. We are accelerating the introduction and testing of customers in China’s high-end market. At present, we have jointly built a capacity of 30000 T / a electronic grade phosphoric acid, 20000 t / a electronic grade sulfuric acid and 30000 T / a electronic grade etching solution. The capacity scale ranks in the forefront of the industry, and the product quality is generally at the international advanced level.
The company’s projects under construction are advancing steadily. Inner Mongolia Xingfa organic silicon new material integrated recycling project (400000 T / a organic silicon monomer Supporting 50000 T / a glyphosate and 300000 t / a caustic soda) is planned to be completed by the end of 2023, of which 50000 T / a glyphosate project is planned to be completed and put into operation in July. After being put into operation, the company’s comprehensive competitiveness and market influence of organic silicon industry will be further improved; Houping phosphate rock 2 million T / a mining project is planned to be completed and put into operation in the second half of 2022, and the company’s phosphate rock production capacity will be expanded to 6.15 million T / A; The 70000 T / a electronic grade sulfuric acid and 10000 t / a electronic grade hydrogen peroxide project of Xingfu electronics is planned to be put into operation by stages in 2022; Xinjiang Xingfa 50000 T / a dimethyl sulfoxide phase II is planned to be completed and put into operation in July, and a 6000 T / a dimethyl sulfoxide unit with high standard will be built to ensure completion and operation within the year. Guizhou Xingfa 10000 t / a dimethyl disulfide (DMDs) project is planned to be completed and put into operation in April. After the project is put into operation, it will become a new profit growth point of the company.
Extend the new energy industry chain and expand the silicone industry cluster
The company plans to issue convertible bonds to raise no more than RMB 2.8 billion, of which RMB 1.27 billion is used for the construction of 200000 t / a iron phosphate and supporting 100000 t / a wet process phosphoric acid refining technology transformation project, RMB 757 million is used for the construction of 80000 T / a functional silicone rubber project, and RMB 773 million is used to repay bank loans.
According to the research data of China automotive power battery industry innovation alliance, the output of China Shipbuilding Industry Group Power Co.Ltd(600482) battery in 2021 was 219.7gwh, with a year-on-year increase of 163.4%, of which the output of lithium iron phosphate battery was 125.4gwh, accounting for 57.1% of the total output, with a year-on-year increase of 262.9%. Lithium iron phosphate battery has ushered in a huge market space in the field of new energy vehicle power battery. At the same time, in the field of energy storage, the electrochemical energy storage market, which benefits from various policies driven by the “double carbon” goal and supports wind and solar power generation, power grid services and users’ power demand, is expected to develop rapidly. According to the statistics of Gaogong lithium battery, the shipment of energy storage batteries in China in 2020 was 16.2gwh, with a year-on-year increase of 70.53%. Lithium iron phosphate battery has the characteristics of high safety and long cycle, which is especially suitable for the use environment with complex energy storage. It is the best choice in the energy storage market. It has good market application prospects on the power generation side, power grid side and user side. The company has abundant phosphate rock resources, 700000 T / a wet process phosphoric acid plant, 100000 t / a wet process refined phosphoric acid plant (the project will increase the production capacity to 150000 tons through technical transformation), 400000 T / a liquid ammonia plant and 80000 T / a hydrogen peroxide plant. The construction of iron phosphate project is conducive to give full play to the existing industrial chain synergy advantages, raw material supply guarantee advantages and fine chemical technology advantages, and enhance the market competitiveness of the company’s products, Improve the production and operation efficiency of the company.
80000 T / a functional silicone rubber project, including the new 50000 T / a photovoltaic rubber (supporting 20000 t / a 107 silicone rubber) project and the new 30000 T / a liquid silicone rubber (supporting 20000 t / a vinyl silicone oil) project. According to the estimation of China Photovoltaic Industry Association, by 2025, the new installed capacity of global photovoltaic will reach 330gw, with a compound growth rate of 20.5%. Under conservative conditions, the new installed capacity of photovoltaic will reach 270gw, with a compound growth rate of 15.7%.
According to the calculation of 1400 tons of photovoltaic glue per GW, the global consumption of photovoltaic glue for photovoltaic cell modules will be about 38 Oceanwide Holdings Co.Ltd(000046) 0000 tons / year by 2025. At present, the company has formed a production capacity of 360000 T / a silicone monomer, 80000 T / a 110 silicone rubber, 70000 T / a 107 silicone rubber, 30000 T / a sealant and 20000 t / a silicone oil. The subsidiary Inner Mongolia Xingfa is building a 400000 T / a silicone monomer project. After the completion of the project, the annual production capacity of the company’s silicone monomer will reach 760000 tons, ranking in the forefront of the industry. After the 80000 T / a functional silicone rubber project is completed, it will further expand the silicone industrial cluster and further improve the added value of the company’s products.
Reviewing the work of the whole year, the company has made outstanding achievements in five aspects:
The construction of the project has achieved remarkable results, and a number of key projects have been started or completed and put into operation, adding a strong driving force to the transformation and development. Yidu Xingfa phase II project (400000 T / a ammonium phosphate, 1.2 million T / a sulfuric acid and 400000 T / a phosphoric acid plant) was completed and put into operation, the raw material bottleneck of wet process phosphoric acid purification plant was completely solved, and the start-up efficiency was greatly improved; The 400000 T / a synthetic ammonia project of xingxinglantian, a joint-stock enterprise, was successfully started at one time, and the coordination level of various devices in Yidu Xingfa Green Ecological Industrial Park was further improved. The 10000 t / a electronic grade sulfuric acid project of Xingfu electronics and the 15000 T / a electronic grade hydrofluoric acid project of Xingli electronics, a joint-stock enterprise, were put into operation ahead of schedule in the first half of the year. The product quality reached G5 level, and the comprehensive strength of wet electronic chemicals was further enhanced. Inner Mongolia Xingfa organic silicon new material integrated recycling project (400000 T / a organic silicon monomer Supporting 50000 T / a glyphosate and 300000 t / a caustic soda), Houping phosphate mine 2 million T / a mining project, Xinjiang Xingfa 50000 T / a dimethyl sulfoxide phase II project, as well as Xingfu electronic 70000 T / a electronic sulfuric acid and 10000 t / a electronic hydrogen peroxide projects have been steadily promoted. After the project is put into operation, it will become a new profit growth point of the company.
The level of technological innovation has been improved, the innovation ability and system construction have been significantly improved, and the transformation of traditional chemical enterprises to modern science and technology enterprises has been accelerated. The R & D center was completed and put into operation, and led the establishment of Hubei Three Gorges laboratory, a high-energy major innovation platform. Gather industry experts to tackle technical bottlenecks in five industries: comprehensive utilization of phosphogypsum, phosphorus based chemical industry, silicon chemical industry, process control and intelligent equipment, and microelectronic chemicals; Set up Xingfa green manufacturing joint R & D center with the Institute of process engineering of Chinese Academy of Sciences, and set up “carbon neutralization” industrial innovation center with Shenzhen Advanced Research Institute of Chinese Academy of Sciences; A series of differentiated reward and assessment policies, such as the management measures for R & D personnel and the reward measures for scientific and technological achievements, have been issued, providing a good soft and hard environment and mechanism guarantee for innovation. R & D achievements have emerged in competition. The company’s “key technology and industrialization of preparing phosphoric acid by double reverse flotation of low-grade collophanite and hydrated crystalline phase reconstruction of calcium sulfate” has been recognized as an international leader by China Petroleum & Chemical Corporation(600028) Federation; The project of “key technology and equipment for safe and efficient mining of deep phosphate rock” has passed the evaluation of scientific and technological achievements of Hubei technology exchange and reached the international advanced level as a whole; “Research and development of key technologies for phosphine preparation series special phosphine products” and “research and development and application of high-performance silicon etching solution technology for chips” were initiated in China. In the whole year, it won two first prizes and one second prize of provincial and ministerial scientific and technological progress awards, and the number of new patent authorizations far exceeded that in previous years, reaching 114, with a total of 650.
Great progress has been made in foreign cooperation. Through school enterprise cooperation, industrial chain investment attraction and other forms, we embrace partners with an open attitude and jointly seek great industrial development. Signed a cooperation framework agreement with the Shenzhen advanced technology research institute of the Chinese Academy of Sciences, and strengthened cooperation in the fields of preparation and amplification of black phosphorus single systems, downstream applications, preparation and application of photovoltaic rubber, aerogel industrialization and downstream applications. By signing a cooperation agreement with Zhejiang Huayou Cobalt Co.Ltd(603799) the two sides will give full play to their respective advantages and deepen cooperation in the field of lithium battery materials. A series of silicone downstream high-value product projects jointly developed by Shenzhen Zheng’an and Shanxi topological Lijie have been started. The above cooperation has significantly accelerated the transformation of the company to new energy and new material industries.
Seize the new opportunities of capital market reform, optimize the investment and financing structure, improve capital operation capacity, and empower and help high-quality development. Based on good performance, the market value of the company has increased significantly; Vigorously reduce the scale of financial liabilities, and the asset liability ratio has dropped to less than 55%; By replacing short-term financial liabilities with long-term financial liabilities, the company has continuously optimized the structure of stock liabilities, and the comprehensive financing cost has been continuously reduced.
The level of management innovation has been continuously improved. Starting from the construction of enterprise governance system and governance capacity, we will accelerate the construction of a modern enterprise management system with an organic unity of spiritual culture, institutional culture, behavioral culture and material culture. Compared with the three-year action plan for the reform of central state-owned enterprises, we deeply studied the spirit of the document on improving the development quality of listed companies issued by the State Council, focused on the main responsibility and main business, developed the real economy, and obtained 70% equity of Jingzhou Jinghua held by the controlling shareholder through public bidding, which solved the potential problem of horizontal competition. Adhere to the bottom line thinking, avoid horizontal competition, strictly control related party transactions, eliminate illegal guarantees and occupation of funds by related parties, strictly control the quality of information disclosure, and continuously improve the standard governance level of the company. Focus on management improvement, and seriously organize directors, supervisors and senior managers of the company to participate in standardized governance training for 4 times. We continued to build the internal control system, revised and improved 37 internal control systems, and completed the internal control evaluation of the company in 2021. Optimize sap, OA, CRM, WMS, LIMS, PMS and other information systems and orderly promote coverage, launch Alibaba 1688 platform, and continuously improve the company’s management informatization level
In 2022, the company will strive to achieve an operating revenue of 28 billion yuan, mainly in the following five aspects:
Further promote production and operation, improve quality and efficiency. Adhere to market orientation, scientifically adjust production and operation strategies, pay close attention to internal tapping potential and improve operation efficiency. Scientifically organize power production dispatching to ensure the stable operation of self owned power grid. Pay close attention to the safe and stable production of mines and strive to improve the efficiency of ore selection and blending; Maintain the core market and key customers of phosphorus ore to lay a foundation for the release of Houping capacity. Relying on its own advantages of yellow phosphorus and wet process phosphoric acid, the phosphorus and sulfur sector optimizes the production organization, focuses on increasing the connection between the production and marketing of leading products such as dimethyl sulfoxide and sodium hypophosphite, maintains the existing market, vigorously develops overseas high-end markets and end customers, expands new markets and new application fields, and consolidates the company’s leading position in the phosphate and sulfoxide market. Yidu park will accelerate the 836 phase II project to achieve production and efficiency, focusing on ensuring the stable and high yield of wet process phosphoric acid; Closely follow the changes of industrial policies, optimize the distribution of fertilizer marketing, focus on improving the market share of China’s main agrochemical services, and start exports in time to seize the international market. Yichang Park continues to pay close attention to the production organization and process control of main products such as organosilicon and glyphosate, so as to ensure the continuous and stable operation of the unit and reduce the production cost; Consolidate the domestic market of glyphosate, vigorously develop the overseas market and further expand the preparation business; Strengthen the analysis of the silicone market, timely adjust the sales strategy, strengthen the market development of sealant and silicone oil, and improve the business scale and efficiency.
Focus on promoting continuous breakthroughs in innovation ability. We will fully implement the innovation driven development strategy, strengthen the construction of innovation platforms and R & D teams, continue to promote technological research, strengthen the transformation and application of scientific and technological achievements, and accelerate the construction of modern scientific and technological enterprises. First, strengthen key technological breakthroughs. Carry out research and development of high-end silicon-based new materials and develop new products in various application fields; Focusing on glyphosate production, carry out technical development and industrial application verification such as tower continuous dealcoholization, multi effect rectification of glycine methanol and synthesis of dimethyl phosphite in high gravity reactor; Multi route research on phosphogypsum deep processing and utilization technology; Continue to promote the large-scale preparation of black phosphorus and the breakthrough of downstream industrial application. Second, strengthen the management of innovation platform. Integrate R & D funds, talents and technical resources to promote the efficient operation of the Three Gorges laboratory; Strengthen the operation management of the R & D center, improve the operation mechanism of the existing eight provincial innovation platforms, and focus on tackling key R & D problems; Do a good job in the application and standardized management of high-tech enterprises, and make real R & D investment
