On April 11, Qinghai Salt Lake Industry Co.Ltd(000792) ( Qinghai Salt Lake Industry Co.Ltd(000792) . SZ) and Zangger mining ( Zangge Holding Company Limited(000408) . SZ) disclosed the first quarter performance forecast. As a concept stock of lithium extraction from Salt Lake, the shares of Qinghai Salt Lake Industry Co.Ltd(000792) and zangge mining have risen sharply since last year. Closing on April 11, Qinghai Salt Lake Industry Co.Ltd(000792) reported 30.55 yuan / share, 30% lower than the record high of 45.65 yuan / share in August 2021; Zangger mining reported 29.12 yuan / share, which reached a record high of 41.77 yuan / share in January this year.
Qinghai Salt Lake Industry Co.Ltd(000792) the performance in the first quarter is expected to triple
In the first quarter of this year, Qinghai Salt Lake Industry Co.Ltd(000792) it is estimated that the net profit attributable to the shareholders of the listed company will be 3.45-3.55 billion yuan, an increase of 334.98% – 347.59% over the same period of last year; The net profit after non deduction was RMB 3.433 billion-3.533 billion, an increase of 337.34% – 350.08% over the same period of last year.
The reasons for performance changes include: during the reporting period, the production and sales of potassium chloride, the company’s main business, were stable, with an output of about 1.14 million tons of potassium chloride and a sales volume of about 1.45 million tons; The output of lithium carbonate is about 7000 tons and the sales volume is about 6700 tons. During the reporting period, the market price of potassium chloride and lithium carbonate products increased, and the company’s performance increased significantly compared with the same period of last year Qinghai Salt Lake Industry Co.Ltd(000792) mainly engaged in potash fertilizer and lithium salt industry. The semi annual report of 2021 shows that potassium chloride accounts for 81.52% of the main revenue of listed companies. At present, the company’s potassium chloride output ranks first in Asia. In 2021, the company produced about 5.02 million tons of potassium chloride, sold about 4.65 million tons of potassium chloride and accumulated about 370000 tons of potassium chloride.
Recently, Qinghai Salt Lake Industry Co.Ltd(000792) in response to investors’ questions on the interactive platform, said that lithium industry is the company’s key development direction, and the company will continue to increase its main business development in lithium batteries, new energy materials, etc., take high-quality battery raw material lithium carbonate as supplementary business, lithium chloride, lithium hydroxide and metal lithium as derivative business, and continuously improve its R & D and design ability and core competitiveness. At present, other lithium industries of the company are still under planning. If there is progress, the company will timely perform relevant procedures and fulfill the obligation of information disclosure.
According to the 2021 performance express disclosed by the company on March 11, Qinghai Salt Lake Industry Co.Ltd(000792) achieved a revenue of 14.462 billion yuan last year, with a year-on-year increase of 3.18%; The net profit attributable to shareholders of listed companies was 4.268 billion yuan, a year-on-year increase of 109.27%.
In this way, in the first quarter of this year, Qinghai Salt Lake Industry Co.Ltd(000792) the performance growth rate was higher than that in 2021. Previously, some institutions believed that the performance of Qinghai Salt Lake Industry Co.Ltd(000792) last year was lower than expected, mainly due to the decline in the sales of potassium chloride and lithium salt in the fourth quarter and the bankruptcy liquidation of the subsidiary. The price trend of potassium chloride and lithium salt directly affects the trend of Qinghai Salt Lake Industry Co.Ltd(000792) subsequent performance.
Zangger mining’s net profit in the first quarter increased by more than twice
In the first quarter of this year, zangge mining is expected to realize a net profit of 730830 million yuan attributable to the shareholders of the listed company, an increase of 208.15% – 227.90% over the same period of last year; The net profit after non deduction was 777 million yuan to 827 million yuan, an increase of 625.37% – 672.05% over the same period of last year.
The reasons for performance changes include that during the reporting period, the sales volume of potassium chloride products of Zangger potash fertilizer, a subsidiary of the company, increased, the sales price continued to rise, and the operating revenue and profit increased significantly compared with the same period last year; The sales price of lithium carbonate products of cangge lithium industry, a secondary subsidiary of the company, continued to rise, and the operating revenue and profit increased significantly compared with the same period last year; The company’s long-term equity investment confirmed an investment income of about 124 million yuan, which is mainly the investment income generated by Tibet Julong copper industry.
Zangge mining used to be mainly engaged in the production and sales of potassium chloride. With a mining area of 7243493 square kilometers and an annual production capacity of 2 million tons, zangge mining is the second largest production enterprise in China’s potassium chloride industry.
In terms of lithium carbonate output, the company produced 756000 tons of lithium carbonate and sold 11000 tons in 2021. In terms of lithium carbonate price, the annual average sales price of lithium carbonate of the company is about 86000 yuan / ton (excluding tax price). According to the market situation in 2021, the settlement price of lithium carbonate increased from 36000 yuan / ton in January 2021 to 77000 yuan / ton in August 2021. During this period, the price increased gently, and began to rise rapidly in September 2021, reaching nearly 200000 yuan / ton by the end of the year. From January to August 2021, the company’s lithium carbonate sales accounted for more than 68% of the whole year, and its revenue accounted for more than 49%.
According to the 2021 annual report of zangge mining, the company’s operating revenue was 3.623 billion yuan, a year-on-year increase of 90.31%; The net profit attributable to the parent company was 1.427 billion yuan, a year-on-year increase of 523.6%; Deduction of non net profit was 1.358 billion yuan, a year-on-year increase of 599.04%. In terms of gross profit margin, in 2021, the gross profit margin of potassium chloride business of zangge mining was 58.96%, with a year-on-year increase of 24.93%; The gross profit margin of lithium carbonate business was 59.79%, with a year-on-year increase of 63.33%.
Recently, affected by the relationship between supply and demand and geopolitics, the price of potassium chloride has remained high.
East Asia Qianhai Securities pointed out that under the background of limited supply, the global potash price may continue to rise in 2022. Under the rising price of potash fertilizer and the prosperity of the industry, relevant production enterprises may benefit, such as Asia-Potash International Investment (Guangzhou) Co.Ltd(000893) ( Asia-Potash International Investment (Guangzhou) Co.Ltd(000893) . SZ), Zangger mining, Qinghai Salt Lake Industry Co.Ltd(000792) , Qingdao East Steel Tower Stock Co.Ltd(002545) ( Qingdao East Steel Tower Stock Co.Ltd(002545) . SZ), etc.
According to Zhuo Chuang information, the price of potassium chloride in China has nearly doubled from 2100 yuan / ton at the beginning of last year to 4000 yuan / ton at the end of last year.
Zhuo Chuang information believes that the short-term potash price is expected to remain stable, but the global potash supply gap still exists, and the subsequent price is still expected to rise. In addition, by mid March, the price of lithium carbonate in China had risen to about 500000 yuan / ton from 280000 yuan / ton at the beginning of the year.
In terms of lithium carbonate price, the price of lithium carbonate has increased nearly 10 times in the past year. This year’s increase is more than 80%, breaking through 400000 yuan / ton at the end of February this year. On April 11, Shanghai Ganglian E-Commerce Holdings Co.Ltd(300226) data showed that the average price of battery grade lithium carbonate fell by 2000 yuan / ton to 500000 yuan / ton, and the average price of industrial grade lithium carbonate fell by 3500 yuan to 479000 yuan / ton. Some insiders believe that the current price of lithium carbonate has reached the inflection point.
