After the performance reached a record high in 2022, the leading fluorine chemical giant shares fell into a profit-making situation in the first half of this year. At the 2023 semi-annual performance presentation meeting held yesterday, Han Jinming, general manager of Juhua shares, talked about the reasons for the decline in the company's performance, saying, "although the fluctuation of the company's performance is greatly influenced by external factors, the deep-seated problem is that the company's product structure is still unreasonable, and the contradiction between industry overcapacity and fierce homogenization competition is more prominent."
Han Jinming further pointed out that the main factors affecting performance are the decline in product prices and raw material prices. "the prices of the company's main products are generally at an all-time low after falling, and the price risk has been fully released. In August, the production index and new order index of the chemical raw materials and chemical products industry were both higher than 53.0%, and both ends of production and demand were more active, showing signs of improvement. Judging from the actual situation of the company, the prices of some products have shown signs of stabilizing and rebounding. "
From January to June this year, the prices of Juhua's main products, except fluorine-containing fine chemicals, increased year-on-year. According to the semi-annual report, the volume and price of fluorine-containing fine chemicals in Juhua rose in the first half of the year: the average price was 101000 yuan / ton, an increase of 74.35% over the same period last year, and foreign sales were 700.53 tons, an increase of 60.11% over the same period last year. Wang Xiaoming, financial director of Juhua, explained that it was mainly due to the normal operation of the first phase of the giant core coolant project, 1000 tons / year, and the increase in the quantity and high price of its new perfluoropolyether products.
According to Liu Yunhua, the secretary of Juhua shares at the meeting, the giant core coolant project mainly produces JHT electronic fluid series, JHLO lubricating oil series and JX immersion coolant products. In the first half of the year, the revenue of the first phase of the giant core coolant project reached 51 million yuan and a net profit of 10 million yuan, which is still in the stage of market expansion and capacity climbing.
At the performance meeting, some investors pointed out, "the reduction process of the company's second-generation fluorine refrigerants is speeding up, and the production and consumption of the third-generation fluorine refrigerants will also be frozen next year, starting in 2029. What are the company's plans for fluorine refrigerants?"
Han Jinming replied that the total amount and distribution plan of the national HFCs quota has not yet been introduced, and in view of the iterative upgrading of fluorine refrigerants, the company will continue to develop fluoropolymers and fluorine fine products downstream of TFE to promote the raw materials and technological progress of R22 products; actively do a good job in the management work under the control of the third generation fluorine refrigerant quota, and turn scale advantages into business advantages. Continuous research and development of new refrigerants with low GWP, such as the fourth generation fluorine refrigerants, including single refrigerants and mixtures.
On the question of whether the product price will be raised after the implementation of the third-generation fluorine refrigerant quota next year, Han Jinming replied: "in recent years, due to serious overcapacity and fierce competition for quota in the baseline period (2020-2022), product prices are relatively low in history. Next year, enterprises will produce under the quota allocated by the state, and the supply capacity will be limited by the quota. It is expected that the contradiction of serious overcapacity highlighted in recent years will be effectively alleviated, which is conducive to the reasonable return of product prices. The details will still be determined by the supply and demand of products. "
According to the semi-annual report, Juhua achieved revenue of 10.096 billion yuan in the first half of the year, down 3.89% from the same period last year, while its net profit was 490 million yuan, down 48.61% from the same period last year. According to the main business plan of 2023, the total revenue of Juhua shares this year is 21.66 billion yuan. Judging from the results in the first half of the year, the company's revenue completion rate is 46.61%. Source: financial Union