On April 27, at the press conference held by the Information Office of Shandong provincial government, Fan Jun, chairman of Hualu group, introduced the economic operation of the enterprise in the first quarter. It is reported that in the first quarter of this year, Hualu group’s operating performance reached a new high, and its total profit continued to increase significantly on the basis of last year’s annual growth of 236.4%. It exceeded the 3 billion yuan mark for the first time in a single quarter, and successfully achieved a stable and good start.
According to preliminary estimates, Hualu group achieved an operating revenue of 11.67 billion yuan, a total profit of 3.01 billion yuan and a net profit attributable to the parent company of 810 million yuan, with a year-on-year increase of 39.1%, 46.4% and 47.9% respectively; Net operating cash flow increased by 2.295 billion yuan year-on-year; ROA and roe were 5.9% and 7.6% respectively, with a year-on-year increase of 0.75 and 0.87 percentage points respectively, and the annualized ROA and roe reached 23.5% and 30.6%; The total assets were 54.39 billion yuan, a year-on-year increase of 27.9%; The debt ratio was 36.7%, down 1.3 percentage points year-on-year. Most of the indicators of “two profits and four rates” have reached record highs, and continue to maintain a good development trend in which the growth of revenue (39%) is greater than that of assets (28%), the growth of profit (46%) is greater than that of revenue, and the growth of operating cash flow (95%) is greater than that of profit. The growth rate of main economic indicators outperformed the overall market: compared with enterprises above Designated Size, the growth rate of operating income and total profit were 25 and 41 percentage points higher than the average value of Enterprises above Designated Size in China (from January to February), and the growth rate of industrial added value was 35 percentage points higher than that of Industrial Enterprises above Designated Size in the province.
Fan Jun said that in addition to market price factors, the beautiful performance in the first quarter was mainly due to the strong injection of “five new” kinetic energy:
New products have become the main profit growth point. In the second half of 2021, the group’s new energy and new material projects such as dimethyl carbonate and caprolactam contributed more than 900 million yuan in the first quarter, accounting for nearly 30%. The first water treatment project integrating investment, construction and operation of the Provincial Academy of Environmental Sciences entered the operation period, with a revenue of 18.78 million yuan. Acarbose Tablets and other new products have been successfully marketed. 15 new product codes and 44 patents were obtained, and 6 products and 11 product specifications passed the conformity evaluation of generic drugs, all reaching a record high in a single quarter.
New technology and investment open up new space for future development. It is reported that Hualu Group invested more than 420 million yuan in R & D in the first quarter, with a year-on-year increase of 20.1% on the basis of a 43% increase in the whole year last year Shandong Hualu-Hengsheng Chemical Co.Ltd(600426) new energy vehicle lithium battery high-end solution has successfully opened up the technical route and is implementing large-scale production Shandong Xinhua Pharmaceutical Company Limited(000756) gene and cell engineering center phase 1 project starts planning and design. The industrialization project of Lukang international cooperative vaccine and high-end preparations successfully signed the cooperative development agreement of adult tuberculosis vaccine. In the first quarter, the group completed a fixed asset investment of 1096 million yuan, which was included in the provincial new and old kinetic energy conversion project library optimization projects and provincial major projects. A total investment of 12.5 billion yuan has been completed, and all of them will be completed and put into operation this year.
New markets and new channels. Hualu group has achieved substantial growth in the contract amount of new energy and new materials, characteristic APIs, key preparation varieties and environmental protection projects. The development momentum of emerging markets such as the the Belt and Road is good. In the first quarter, export earned US $180million, an increase of 25% year-on-year. The sales volume of electronic grade dimethyl carbonate products increased by 14.6% month on month, accounting for more than 60% of China’s market; The sales volume of 10 strategic varieties such as shutaide increased by 7.3% year-on-year; The contract amount of environmental protection business increased by 27.3% year-on-year; The sales of “Internet + great health” business increased by 17.9% year-on-year.
New cooperation introduces high-end new resources. According to Fan Jun, Hualu group introduced French Suez group to jointly establish a new company, with a capital of 28.38 million yuan in the first quarter. It is the first cooperation project reached between Shandong Province and the world’s top 500 enterprises in the field of ecological environment. Hong Kong Hualu balance fund introduced a third-party social capital of US $10 million for the first time. Hualu investment’s financial investment platform was successfully built, and Galaxy investment followed up with 30 million yuan.
The new mechanism stimulates the new vitality of officers’ entrepreneurship Shandong Xinhua Pharmaceutical Company Limited(000756) complete the second exercise of the first phase of stock option incentive. The company granted technical restricted stock options and technical restricted stock options in the second period, and the third period.
