China's Baoan and its subsidiary Beit released its mid-2021 report that China's Baoan achieved an income of 8.05 billion yuan and a net profit of 680 million yuan. Bertre, a subsidiary, achieved revenue of 4.21 billion in the first half of the year, up 169% from the same period last year, and net profit attributable to 730 million, up 232% from the same period last year, deducting 520 million from non-net profit, an increase of 279% over the same period last year. Q2 realized revenue of 2.35 billion, an increase of 170 per cent over the same period last year, and a net profit of 468 million, an increase of 439 per cent over the same period last year, deducting 279 million of non-net profit and an increase of 15 per cent from the previous month.
Event comment
Beitri shipped 62000 tons of negative electrodes in the first half of the year, an increase of 131% over the same period last year. 2021Q1 sales are expected to be 28-30, 000 tons, and 2021Q2 sales are expected to be 3.2-34000 tons, up 15% from a month earlier. The gross profit margin in the first half of the year is 36.7%, which is basically the same as that of 2020H2. Thanks to the excellent customer structure, the company's profitability remains robust. The net profit per ton is expected to be around 8000, corresponding to the net profit of 250 million yuan contributed by 2021Q2. In the first half of the year, the positive electrode is expected to ship about 20, 000 tons, expected to be about 7000 tons of positive electrodes, 15000 tons of iron lithium positive electrodes (released in June), and a gross profit of 14000 yuan per ton of positive electrodes. It is expected that in addition to the recovery of iron and lithium positive electrodes with rising prices, the profit of three yuan positive electrodes has also increased. The net profit of three yuan tons is expected to be about 3000, and the net profit contributed by 2021Q2 is about 10 million yuan. In addition, the company sold iron lithium business corresponding to a profit of 260 million yuan.
The company's capacity expansion accelerated, in the first half of the year, Huizhou Phase II negative electrode production of 40,000 tons, Jiangsu High Nickel Phase II 15000 tons, Tianjin 40,000 tons of negative electrode business is also steadily advancing, 2021Q2 end-of-construction projects reached 1.17 billion yuan, an increase of 500 million yuan, the company is expected to end 2021, 2022 negative capacity of close to 20, 280000 tons, of which graphitization capacity is close to 4, 100000 tons. After the sale of iron and lithium business, the company has 3 billion yuan in cash on hand, which has become a solid foundation for production expansion.
In terms of investment, 2021 will be the inflection point of the company's operation, on the one hand, the negative pole will be artificially accelerated, the production capacity will expand rapidly and is mainly graphitized and integrated, and the client will also form an increment; on the other hand, the positive focus on high nickel after the stripping of lithium iron phosphate will benefit from the transformation from zero to one after the release of SKI in the United States. Continue to recommend.
Risk hint
1. The demand is lower than expected.
two。 The competition situation has deteriorated.