Shenma Co., Ltd.: The production and sales of silk cloth products are booming, and the polycarbon material company has entered a period of profit and return

Latest News: Benefiting from the rising prosperity of the nylon industry, Shenma’s net profit in 2021 will increase by more than 4 times year-on-year. At the company’s performance briefing held on June 15, many investors participated and asked questions actively. The executives of Shenma told the reporters and investors of the Financial Associated Press that the production and sales of industrial yarn, fine denier yarn and cord fabric are booming this year. The PC project was completed and put into production in May this year.

Nylon 66 products account for about 90% of the company’s overall sales. Last year, the price of nylon 66 sliced ​​products rose rapidly, and the gross profit margin increased by 31.66 percentage points, becoming an important source of profit for the company. Since the beginning of this year, the price of nylon 66 has begun to fall. The price of slices decreased month-on-month.

In this regard, Li Benbin, chairman of Shenma Co., Ltd., and Liu Zhen, secretary of the board of directors, told investors that the current comprehensive operating rate of the company’s PA66 products is about 80%. Running at a high level, the demand for nylon 66 chips has been weak this year, and the price has dropped to a certain extent. It is expected to gradually stabilize in the third quarter. ”

In 2021, Shenma’s performance will hit the best level in history. According to the financial report, in 2021, the company will achieve 13.415 billion yuan, a year-on-year increase of 50.53%; the net profit attributable to the parent is 2.144 billion yuan, a year-on-year increase of 478.56%. In the first quarter of 2022, Shenma achieved operating income of 3.858 billion yuan, a year-on-year increase of 28.72%; realized a net profit attributable to the parent of 368 million yuan, a year-on-year increase of 6.37%.

At the performance meeting, the bisphenol A project and PC project of polycarbonate materials of Shenma Co., Ltd. attracted investors’ attention. It is understood that bisphenol A is mainly used for the production of various polymers such as polycarbonate (PC) and epoxy resin. Material, PC is widely used in building boards, auto parts, aerospace, optical lenses and other fields, and has a tendency to replace the market space of other engineering plastic products. At present, domestic bisphenol A is in short supply and needs to be supplemented by imported resources. Driven by bisphenol A, the PC market was running at a high level last year and the trend of integration with bisphenol A is obvious.

Chairman Li Benbin said: “The bisphenol A project of Polycarbon Materials Company will be completed and put into operation in December 2021. At present, production and sales are booming. The PC project has a designed production capacity of 100,000 tons. It will be completed and put into production in May 2022, and the products are undergoing market certification. The above two After the project is put into production, the polycarbon material company will enter a period of profit return.”