Jiangxi Guotai Group Co.Ltd(603977) 4 issued the annual report of 2021 on April 8. During the reporting period, the company achieved an operating revenue of 1.988 billion yuan, a year-on-year increase of 13.29%; The net profit attributable to shareholders of listed companies was 240 million yuan, with a year-on-year increase of 25.01%; The net profit attributable to shareholders of listed companies after deducting non recurring profits and losses was 223 million yuan, a year-on-year increase of 30.03%.
Jiangxi Guotai Group Co.Ltd(603977) said that the company has built a new business territory of civil explosive integration + rail transit automation and informatization + coordinated development of military new material industry. Among them, the operating income of civil explosive integration business was 1320198800 yuan, an increase of 8.76% over the previous year; Rail transit automation and informatization business realized an operating revenue of 318668600 yuan, an increase of 13.57% over the previous year; The operating income of military new materials business was 1410498 million yuan, an increase of 3.94% over the previous year; The operating income of other business segments is 208206800 yuan.
During the reporting period, the company’s R & D investment exceeded 100 million yuan for the first time, with a year-on-year increase of 10.89%, and the R & D investment intensity remained above 5% for four consecutive years.
For the company’s development strategy, Jiangxi Guotai Group Co.Ltd(603977) said that it would accelerate transformation and upgrading, strive to double innovation, promote the high-quality development of enterprises, realize the coordinated development of “civil explosion + military civilian integration + rail transit automation and informatization”, and create a “Jiangxi model” for the reform of state-owned enterprises.
In terms of civil explosives, in 2021, driven by the policy of comprehensively promoting digital electronic detonators, the company planned the planning, construction and capacity replacement of digital electronic detonators. Xinyu Cathay Pacific, a wholly-owned subsidiary, completed the construction of phase II of digital electronic detonators, and the phase III project entered the stage of equipment installation and commissioning. In July 2021, it jointly established Guokun microelectronics production chip module with Shanghai Kuncheng to expand the industrial chain of digital electronic detonators. Meanwhile, the company’s overseas project Nigeria explosive plant has entered the trial production stage.
In the follow-up, the company will consolidate the measures of strengthening the foundation, optimizing the structure and increasing the power of the civil explosive integration industry, and improve its comprehensive strength to a new level. Catch new opportunities in the industry integration, seize a new round of policy opportunities in the civil explosive industry, actively seek high-quality civil explosive enterprises, implement merger and reorganization, expand the production capacity of industrial explosives and electronic detonators, continue to maintain the first square of the industry, promote the reorganization and integration with a wider range of distribution companies in the province, extend the industrial chain, and consolidate and enhance the company’s industrial position; Accelerate the “integrated” development of blasting services and strive to improve the quantity and quality of blasting services.
In terms of military new materials, in September 2021, the company controlled Aoke new materials by increasing capital and shares. Taking the business field of near bulletproof warhead as an opportunity, the company continued to expand the scope of military civilian integration industry from the direction of defense equipment and further expand the field of military new materials. Tuohong new material, the holding subsidiary of the company, seized the opportunity of the substantial increase in the demand for tantalum and niobium products in the military industry, continued to develop new customers and release production capacity. The production and sales of tantalum and niobium oxide products increased by 49% and 73% respectively year-on-year. The annual operating revenue was 125.69 million yuan and the net profit was 7.5983 million yuan, with a year-on-year increase of 40.96% and 147.68% respectively. The company’s holding subsidiary Sanshi nonferrous high-purity tantalum niobium rare metal project has been promoted in an orderly manner. The main project has been fully completed and entered the stage of equipment procurement, installation and indoor and outdoor decoration.
In the future, Aoke new material will coordinate the overall technical transformation, relocation, production and operation, continue to develop high-quality customers based on existing customers, increase scientific research investment and maintain the advantage of product iteration. Xinyu Cathay Pacific will accelerate the research and development of UAV rocket boosters and carbon dioxide cracking tubes, form large-scale production, seize market opportunities and create new economic growth points. Tuohong new material and Sanshi nonferrous metals will strengthen the control of industry trends and the study and judgment of market trends, vigorously optimize process technology, and strive to meet the needs of the military industry with more products.
