On January 11, Shenzhen Dynanonic Co.Ltd(300769) named “leader of lithium iron phosphate material” by securities companies disclosed the performance forecast for 2021. It is estimated that the net profit attributable to the parent company in 2021 will be RMB 760 million-830 million. In 2020, the company’s net profit attributable to the parent company lost 28.4016 million yuan.
Source: Announcement
both volume and price
By quarter, Shenzhen Dynanonic Co.Ltd(300769) the net profit attributable to the parent company in the fourth quarter of 2021 was 516-585 million yuan, the net profit attributable to the parent company in the third quarter was 109 million yuan, and the net profit attributable to the parent company in the first three quarters was 244 million yuan.
According to the company, the new capacity will be released in 2021, and the production and sales volume will increase significantly compared with 2020. The price rise of upstream raw materials and tight supply and demand in the lithium iron phosphate market will drive the price rise of the company’s products. At the same time, the net profit growth benefited from the effective promotion of the company’s cost control and the emergence of economies of scale.
Shenzhen Dynanonic Co.Ltd(300769) its main business is the R & D, production and sales of nano lithium iron phosphate materials. It is a leading company in the lithium iron phosphate industry.
According to the data released by China automotive power battery industry innovation alliance, from January to November, China Shipbuilding Industry Group Power Co.Ltd(600482) battery output was 188.1gwh, a year-on-year increase of 175.5%. The output of lithium iron phosphate battery was 105.3gwh, accounting for 56.0% of the total output, with a year-on-year increase of 275.7%.
This pushes up the price of cathode materials. According to the data of Shanghai Nonferrous Metals network, on January 11, the average price of lithium iron phosphate (power type) was 113500 yuan / ton, and the average price of lithium iron phosphate (energy storage type) was 108000 yuan / ton.
10 billion expansion
The new energy track is hot, Kunming Chuan Jin Nuo Chemical Co.Ltd(300505) , Hunan Changyuan Lico Co.Ltd(688779) and others have thrown out plans to expand production. As an “old player” in the cathode material industry, Shenzhen Dynanonic Co.Ltd(300769) is spending 10 billion yuan to expand production.
In September 2021, Shenzhen Dynanonic Co.Ltd(300769) announced that it planned to invest about 3.5 billion yuan to build a “25000 ton lithium supplement project” in Qujing Economic and Technological Development Zone. In December 2021, Shenzhen Dynanonic Co.Ltd(300769) announced that it decided to increase the capital of its subsidiary qujinglin iron and Steel Co., Ltd. by 900 million yuan together with Contemporary Amperex Technology Co.Limited(300750) . The business scope of the latter includes nano lithium iron phosphate, etc.
On December 23, 2021, the company said in an institutional survey that the company has a lithium iron phosphate production capacity of 120000 tons / year, and it is expected to release a technical transformation production capacity of 30000 tons / year in the first quarter of 2022. At the same time, actively promote the construction of Defang Yiwei’s “100000 tons of nano lithium iron phosphate project”, Yibin German era’s “80000 tons of lithium iron phosphate project”, Qujing German Party’s “110000 tons of new phosphate cathode material production base project” and German Chuangyu’s “25000 tons of lithium supplement project”.
In 2022, Shenzhen Dynanonic Co.Ltd(300769) threw out the investment plan again. The company plans to invest 7.5 billion yuan to build the “production base project of new phosphate cathode materials with an annual output of 330000 tons” in Qujing Economic and Technological Development Zone.
The company said that this foreign investment is to further expand the company’s cathode material production capacity, meet the market demand of downstream customers and further enhance the company’s market competitiveness.
Citic Securities Company Limited(600030) believes that the corresponding investment of the above projects is about 227 million yuan / 10000 tons, and the corresponding battery capacity exceeds 100GWh. Shenzhen Dynanonic Co.Ltd(300769) the new phosphate cathode material produced by the proposed project is an upgraded product of nano lithium iron phosphate. Compared with the traditional phosphate cathode material, it has a higher voltage platform (15% – 20%) and can significantly improve the energy density of the battery (15% – 20%), and retains the advantages of high safety and low cost, It is expected to realize large-scale application in the field of new energy vehicles and energy storage.
