Securities code: Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) securities abbreviation: Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) Zhejiang Jiahua Energy Chemical Industry Co.Ltd(600273) investor relations activity record
No.: 2022002
□ specific object √ research analyst meeting □ media interview
Investor relations activities
□ performance presentation meeting □ press conference □ roadshow activity □ site visit
Dynamic category
□ others (please specify other activities in words)
Name of the chief investment analyst of shuitong Investment Co., Ltd., Mr. Zhao Jiechen, Mr. Chen qingui, and Mr. Chen Haizi, the chief investment manager of shuitong Investment Co., Ltd
Time: 15:00-16:00, March 31, 2022
Location: conference room on the third floor of the company
Wang Jianping, director and general manager Shao Shengfu, director and Deputy General Manager
Wang Hongliang, director and deputy general manager of the listed company, and Shen Gaoqing, deputy general manager
Personnel name: financial director Yang Jun, deputy general manager Wang Minjuan
Securities affairs representative Zhang Bingyang
1、 Mr. Shao Shengfu, director and deputy general manager of the company, introduced the company’s performance in 2021 and the company’s future development strategy from the perspective of the company’s overall business indicators, business, sub industries and products in 2021.
2、 Communication link
Investor relations question 1: what is the company’s expectation for the sulfonated pharmaceutical sector?
A: in 2021, affected by exports and intensified competition in the same industry, the price of sulfonated pharmaceutical products decreased significantly. However, with the completion of the company’s 4000 T / a BA project and waste acid cracking project, the company has a more advantageous position in the industry. In the future, the company will continue to strengthen the technical research and development in this business segment and focus on the market demand of antitumor drug intermediates, so as to enhance the market share of the company’s sulfonated pharmaceutical industry.
Question 2: how does the price of palm kernel oil affect the company’s fatty alcohol series products
Look?
A: since the second half of last year, the Shenzhen Agricultural Products Group Co.Ltd(000061) price has risen, and the price of palm kernel oil has also increased significantly. The company’s response measures are as follows: first, encourage downstream industrial chain customers to entrust processing mode; Second, develop multi-channel and multi variety procurement of upstream raw materials to improve competitiveness; Third, develop and cultivate the market of fatty acid series products and achieve good benefits. The overall operating rate and profitability have maintained a good trend.
Question 3: the company is a large liquid chlorine production center in Zhejiang. Will the supply of liquid chlorine in Zhejiang be tight after the self use of liquid chlorine? The company’s liquid chlorine self-use supporting and export, which model is more profitable?
A: the construction of new production capacity of liquid chlorine is subject to certain restrictions. After the company’s liquid chlorine is used for self use, it will locally affect the supply of liquid chlorine in Zhejiang. The company’s liquid chlorine mainly extends the industrial chain and is used in VCM & PVC production units, which reduces the chlor alkali load fluctuation caused by the outward transportation of liquid chlorine, and its profitability is better than that of export.
Question 4: how about the commencement of PVC plant of the company? What is the prospect of calcium carbide PVC industry? Advantages and disadvantages of PVC with ethylene process? What is the cost level of the company’s ethylene PVC process?
Answer: since the company’s ethylene PVC was put into operation at the end of June 2021, it has been operating at full load, and the production process quality index meets the design requirements. After it was put on the market, the downstream reflects a good situation.
Calcium carbide PVC enterprises are facing not only the threat of lack of mercury resources, but also the pressure of environmental constraints on the development of the industry. The state has limited access conditions for calcium carbide PVC in terms of transportation, industrial layout, scale, process and equipment, safety, health and environmental protection. Calcium carbide PVC enterprises are under increasing pressure on energy conservation, emission reduction and environmental protection. In terms of product quality, Vinyl PVC is better than calcium carbide PVC in impurities and product performance indexes, and is more widely used than calcium carbide PVC.
Since PVC was put into operation for nearly half a year, the company has continuously improved the process, saving energy, reducing consumption, reducing cost and increasing efficiency. The main raw materials of PVC of the company are ethylene and self-produced liquid chlorine, and the rest cover Beijing Dynamic Power Co.Ltd(600405) costs of fuel (natural gas), steam, electricity, etc. The company improves the competitiveness of its products through its own circular economy industrial chain. In the same industry in a favorable position.
Question 5: how much hydrogen is the company’s annual by-product? What are the main export areas? What is the layout of subsequent hydrogen energy?
A: the company’s annual by-product hydrogen is about 10000 tons. It produces high-purity hydrogen through purification and pressurization to meet the needs of downstream hydrogenation stations and other customers. It mainly serves the Yangtze River Delta region. In the future, relying on the existing hydrogen energy industry foundation and characteristic advantages, the company will promote upstream and downstream cooperation in the industrial chain, accelerate the cultivation and development of the industrial chain of hydrogen production (mainly industrial by-product hydrogen) – hydrogen transportation (mainly high-pressure gas hydrogen) – hydrogen storage – hydrogenation (accelerate the layout and construction of hydrogenation stations in the Yangtze River Delta) – hydrogen consumption (mainly fuel cell vehicles), and layout a new type of distributed clean energy hydrogen storage power station. In addition, the company will promote the market application of hydrogen fuel cells in standby batteries and explore the R & D and demonstration of power generation peak shaving technology based on fuel cells.
Question 6: what large amount of project investment will be made in the next two years?
A: it was approved at the 16th meeting of the ninth board of directors that the company invested 1 billion yuan respectively in the construction of 300000 t / a vinyl chloride (VCM) phase II project and 300000 t / a polyvinyl chloride (PVC) phase II project, with a project cycle of 24 months.
Question 7: the oil price drives up the cost of ethylene. What is the year-on-year situation in the first quarter of 2022? How long is the pricing cycle of ethylene?
A: the company’s operation in the first quarter is still under intense preparation. Please pay attention to the company’s follow-up announcement.
The pricing cycle of the company’s ethylene is about 30-40 days. The company has many ethylene supply channels, geographical location near the port and convenient transportation.
Question 8: please introduce the cryogenic tank project.
A: the two full capacity tanks of the company’s low-temperature tank farm project have been lifted, and the overall project has been completed by 70%, which is expected to be completed in the third quarter of this year. Medium and low temperature olefin products for Wharf storage
Products, such as imported ethane and propane, provide strong support for the company’s business.
Question 9: please introduce the company’s dividend policy.
A: the company pays attention to the return of investors and implements a positive dividend policy.
The company has implemented cash dividends twice a year in recent three years. In the half year of 2021, the company distributed a cash dividend of 2.5 yuan (tax included) and a cash dividend of 35048630175 yuan (tax included) for every 10 shares. Together with the annual dividend, it is expected that the total cash dividend distributed in 2021 will not exceed 77106986385 yuan (tax included), accounting for 42.64% of the net profit attributable to the common shareholders of the listed company in the consolidated statement of the company, Accounting for 48.70% of the distributable profits realized in the current year.
In addition, the board of directors of the company also considered the proposal of repurchasing shares with 100200 million yuan of self-use funds in this annual report, and the repurchase price is not less than 13.5 yuan / share. It is estimated that the upper limit of share repurchase is 14814800 shares. According to relevant rules, repurchase is regarded as dividend.
Question 10: how is the cooperation between the company and BASF progressing? What is the layout of electronic chemicals?
A: the company has established a good cooperative relationship with BASF, the world’s top 500 chemical giant. With the gradual production of BASF’s phase I and phase II electronic grade sulfuric acid projects, and the construction of phase III electronic grade sulfuric acid projects, the company’s sulfuric acid product structure has been continuously optimized. The company’s sulphuric acid cracking unit will further ensure the supply of electronic grade sulfuric acid raw materials, and lay the foundation for further cooperation between the two sides, and jointly build the leading electronic grade sulphuric acid production base in Chinese mainland, and make bigger electronic chemicals matching cakes. The company will make use of the advantages of its own listed company platform, timely carry out capital operation mode, cooperate with leading technology enterprises in the field of electronic chemicals, actively layout the R & D and production of high-quality compounds of electronic chemicals, and further expand the electronic chemical material industry.
List of accessories (if any)
Date: March 31, 2022
