Cangzhou Dahua achieved a year-on-year turnaround in the first half of 2021. Benefited from the increase in the price of the company’s main product, TDI, gross profit margin increased significantly year-on-year. The PC project was completed and put into production in July.
TDI prices rose sharply, net profit in the first half of the year increased by more than 2 times
Recently, Cangzhou Dahua disclosed its semi-annual report and achieved a double increase in its performance in the first half of the year. In the first half of the year, sales revenue was 1.204 billion yuan, an increase of 106.37% from 557 million yuan in revenue in the same period last year, net profit attributable to the parent was 175 million yuan, and a loss of 165 million yuan in the same period last year, achieving a turnaround and an increase of 206.22% year-on-year.
Regarding the reasons for the performance growth, Cangzhou Dahua stated in the announcement that the sales volume and price of the company's main product TDI were higher than the same period last year, which was the main reason for the increase in revenue and profit.
Industry analysts said: “Cangzhou Dahua is a major manufacturer in the TDI market. At present, the total production capacity of TDI is 150,000 tons per year. The company still has 265,000 tons of projects under construction. After it is completed and put into production, it will become the largest TDI producer in China. business."
Copolysilicon PC "new players" urgently need to open up the market
It is worth noting that the company's 100,000-ton PC project with an investment of over 2.8 billion yuan was completed and put into production in July. The semi-annual report shows that the project accounts for more than 40% of the company's total assets. Cangzhou Dahua announced that the company has become the first domestic enterprise to produce silicon copolymer PC by continuous production method, filling the domestic gap in this field. This product is a high-end PC product with broad development space and great market potential.
Industry insiders said: "Compared with foreign manufacturers, Cangzhou Dahua has a certain production cost advantage. Bisphenol A is the main raw material of PC. The company's 200,000 tons of bisphenol A project has been fully started in April."
Copolysilicon PC has a variety of good characteristics: it has good low temperature resistance, good balance of fluidity and impact resistance, long-term stability and excellent flame retardancy. Some people in the industry believe that silicon copolymer PCs were originally imported, and the market is mainly occupied by foreign companies such as SABIC, Covestro, Mitsubishi, and Samyang. The CIF price of the product is around 45,000 yuan. It is not easy for Cangzhou Dahua to open the market. Silicon products are special materials, the market is relatively small, and they are all made on order. New players still need to continuously optimize prices and customized quality to open this new market.
Source: Mobile Public Account
