Main points of investment
The company is mainly engaged in phosphate mining, phosphate compound fertilizer, fine phosphorus chemical industry, synthetic ammonia and methanol production and sales, is the national key development of large-scale phosphate compound fertilizer production backbone enterprises. After years of development, the company has formed a chemical fertilizer production capacity of 3 million tons / year, with production and sales volume exceeding 2.2 million tons in 2014, annual sales income exceeding 5 billion yuan, and total assets exceeding 6 billion yuan. The company is the only manufacturer of diammonium phosphate in China with two well-known trademarks of "six Kingdoms" and "Shi Dazhuang". The production bases are mainly distributed in Tongling, Jiangxi, Dangyang, Hubei and Suzhou, Anhui.
There was little new phosphate fertilizer capacity in the world in 2015, and actual production capacity is expected to decline in some areas due to production restrictions and shutdowns, while demand maintains a growth rate of about 2%, and the supply and demand pattern of phosphate fertilizer is expected to improve. At the same time, in 2015, the state abolished seasonal differences in export tariffs on phosphate fertilizer, and the annual export tariffs on diammonium phosphate and monoammonium phosphate were adjusted to 100 yuan per ton, which was significantly lower in peak season than in previous years. In 2014, China exported 4.8821 million tons of diammonium phosphate, an increase of 27.82 percent compared with 3.8196 million tons in 2013. From January to April 2015, China exported 1.4161 million tons of diammonium phosphate, an increase of 78.35 percent compared with 794000 tons in the same period last year.
Transform to a marketing enterprise. In 2015, the company plans to increase marketing investment, take the excellent typical marketing enterprises in the industry as the target enterprises, and make every effort to promote the comprehensive transformation of the company from traditional production enterprises to modern marketing enterprises. Through the establishment of marketing companies, the company integrates the procurement and sales resources of subsidiaries such as Hubei and Jiangxi, so as to form a pattern of "big marketing and large procurement", avoiding the situation of subsidiaries fighting on their own; enrich the scale of marketing personnel, combine marketing and technical services, integrate its brands, and build the "six Kingdoms" into a more competitive and market influential phosphate compound fertilizer brand.
On June 4, 2015, six countries Chemical Industry and Anada issued a suspension notice, and the controlling shareholder Tonghua Group planned to plan the reform of mixed ownership, marking the official opening of the reform of state-owned enterprises in Tongling City. As the capital platform of the group, the company is expected to play an important role in the mixed reform.
We expect the company to achieve earnings per share of 0.07yuan, 0.18yuan and 0.24yuan respectively from 2015 to 2017. The company's main phosphate compound fertilizer warms up, the internal transformation positioning is clear; the controlling shareholder has started the mixed ownership reform, the company will usher in new development opportunities, giving the company a "holding" rating.