The company is mainly engaged in the production, R&D and sales of organic pigments and intermediates. 1) The company has a complete range of organic pigment products. By variety, the company's high-performance organic pigments include quinacridones, pyrrolopyrrolidinones (DPP), isoindolines, dioxazines, metal complexes, phthalocyanines, benzimidazolones, chromophenols and others. Traditional azo pigments include lake red, bisazo yellow, Hansha yellow, monoazo orange, bisazo orange and chromophenols. 2) The company is involved in the production and sales of sodium metal. The downstream demand of sodium metal is stable, mainly including indigo dye (66.70%), pharmaceutical intermediates (28.89%), pesticides, high-performance pigments and others (4.50%). 3) In 2023, the company will achieve a total revenue of 2.284 billion yuan, a year-on-year decrease of 7.46%; The total profit was 120 million yuan, down 43.96% year on year.
The company's pigment products are the main source of income. 1) In 2023, the company's pigment operating revenue will be 2.063 billion yuan, down 9.38% year on year. In 2023, the global consumption of organic pigments will be about 400000 tons. The company has the capacity of more than 40000 tons of organic pigments, accounting for about 10% of the global share. 2) In 2023, the company's intermediate business income will be 97 million yuan, down 27.64% year on year. The company uses basic chemical raw materials and intermediates to produce some key intermediates required in the production process of organic pigments through chemical synthesis, such as 4-chloro-2,5-dimethoxylaniline (4625), tryptophan series, DB-70, DMSS and other intermediates. The self production capacity of the company can meet most of the consumption needs of the company's production. At present, the company has a relatively complete product chain self supporting system. 3) Sodium metal and by-products reached 107 million yuan, up 105.95% year on year. In 2023, the domestic metal sodium production capacity will be about 178500 tons. The global apparent demand for metal sodium is about 126500 tons, and Inner Mongolia Yuansheng has a metal sodium production capacity of 20000 tons/year.
The company's new production capacity is gradually put into production, and the construction projects under construction are steadily promoted. 1) In 2023, the company plans to build a new project with an annual output of 5000 tons of high-performance organic pigments and supporting intermediates. The project construction period is two years. It is expected that by the end of 2024, the company's total capacity of organic pigments will reach 46300 tons. 2) In 2023, Hubei Caili New Material Co., Ltd. will carry out the "ammonia oxidation project with an annual output of 8900 tons", and produce qualified products. The production of ammonia oxidation project has improved the extension advantage of the company's industrial chain and provided raw material guarantee for the production of high-performance organic pigments.
The pigment supplier Huibaihe applied for bankruptcy, and the industry prosperity is expected to improve. On April 22, 2024, Faberger, the world's leading pigment supplier, submitted an application to the competent bankruptcy court of Braunschweig, Germany, to start regular bankruptcy proceedings against its assets. In January 2022, Fraser and SK Capital Partners jointly announced the completion of the acquisition of Clariant's global pigment business with a value of 805 million Swiss francs. The pigments and pigment preparations produced by Huibaihe are widely used in many fields, including interior and exterior wall coatings, automobile coatings, coil coatings, etc., as well as plastic coloring, anti-corrosion, medicine and seed coloring. Clariant is one of the leading specialty chemicals companies in the world. The pigment and additive business department develops and produces pigments for coatings and lacquers, plastics and special applications. After Huibaihe filed for bankruptcy, the prosperity of the pigment industry is expected to improve, and the performance of the company's pigment products is expected to improve.
Risk tip: the risk of macroeconomic environment change; Risk that downstream market demand is less than expected; The risk that the production progress of the capacity under construction is not as expected.
