On March 27, Hunan Changyuan Lico Co.Ltd(688779) released the performance forecast for the first quarter of 2022. According to the preliminary accounting of the financial department, the operating revenue of the company in the first quarter of 2022 is expected to be 3.35 billion yuan to 3.45 billion yuan, with a year-on-year increase of 175.77% to 184.00%; It is estimated that the net profit attributable to the owners of the parent company in the first quarter of 2022 will be RMB 280 million to RMB 320 million, with a year-on-year increase of 143.00% to 177.72%.
Hunan Changyuan Lico Co.Ltd(688779) said that the main reasons for the change of the company's performance were: first, the first phase of the company's production expansion project of lithium battery cathode materials for vehicles was completed and put into operation, the new production capacity was gradually released during the reporting period, and the production and sales of products increased. Moreover, the strong market demand promoted the rise of product prices and the company's operating revenue increased significantly. Second, with the expansion of the company's production capacity, the company's cost control ability was further improved under the scale effect, and the net profit increased. The company also suggests that the performance forecast is a preliminary accounting conducted by the financial department based on its own professional judgment, which has not been audited by a certified public accountant.
