Longbai Group's net profit increased by 64.15% in the first quarter of 2024

On the evening of April 23rd, Longbai Group (002601) disclosed its 2023 annual report that the company's revenue in 2023 reached a record high of 26.79 billion yuan, an increase of 11.00% over the same period last year, and realized a net profit of 3.226 billion yuan belonging to shareholders of listed companies, a slight decrease of 5.64% over the same period last year. In the first quarter of 2024, the company achieved operating income of 7.288 billion yuan, an increase of 4.52% over the same period last year, and the net profit belonging to shareholders of listed companies reached 951 million yuan, an increase of 64.15% over the same period last year.

Data show that Longbai Group is a large and diversified enterprise group committed to the R & D and manufacturing of new materials and the deep integration of the industry. At present, it is mainly engaged in the production and sales of titanium dioxide, titanium sponge, zirconium products, lithium cathode materials and other products. The company's products are sold to six continents, more than 100 countries and regions. In the field of titanium industry, the production capacity of titanium dioxide is 1.51 million tons / year, and that of sponge titanium is about to reach 80, 000 tons / year, both ranking first in the world.

At the same time, the company enters the field of new energy battery through new projects, cooperation and acquisition, using the production of waste by-product ferrous sulfate, surplus capacity of caustic soda, sulfuric acid, steam, hydrogen, etc., can be directly or indirectly used in the production of positive and negative materials for lithium batteries to reduce production costs. The company gives full play to its own management, research and development, technology and supply chain advantages, R & D and production of iron phosphate, lithium iron phosphate, graphite negative electrode and other battery materials to cultivate a new growth curve.

According to the annual report, titanium dioxide of Longbai Group is the largest source of income, with revenue of 17.768 billion yuan during the reporting period, an increase of 9.83% over the same period last year. Revenue of sponge titanium increased by 6.27% over the same period last year because its production capacity was fully saturated. As a new energy material for its use of waste by-products, revenue grew by 59.71%.

Due to the numerous application scenarios of titanium dioxide, the price advantage and the expansion of production capacity of chlorination process, the competitiveness of Chinese titanium dioxide enterprises in the global market is also gradually improving. From 2019 to 2023, the export volume of titanium dioxide reached 13.09%. The company's titanium dioxide product brand "Xuelian" is one of the most well-known and influential brands in the global market of titanium dioxide products, and it is sold in more than 100 countries and regions in China and abroad. Well received by customers outside China.

It was disclosed that in 2023, the company produced 1.1914 million tons of titanium dioxide, an increase of 20.36 percent over the same period last year, and sales of 1.1589 million tons, an increase of 24.93 percent over the same period last year. China's sales accounted for 43.53 percent, and international sales accounted for 56.47 percent; sponge titanium production of 51800 tons, an increase of 36.05 percent over the same period last year; sales of 47000 tons, an increase of 28.15 percent.

In terms of production capacity, the design capacity of the company's titanium dioxide products is 1.51 million tons / year, and the capacity utilization rate is 78.9%. The designed production capacity of sponge titanium is 50, 000 tons per year, and the capacity utilization rate is 103.8%. The second phase of Yunnan Guoti's annual production capacity of 30, 000 tons of rotor-grade sponge titanium intelligent manufacturing and technical renovation project (15000 tons) is undergoing equipment commissioning. Gansu Guoti 30, 000 tons / year rotor sponge titanium technology upgrading project phase II (15000 tons) is undergoing equipment commissioning, with a total production capacity of 30, 000 tons under construction.

For future development, the company said in the annual report that it will continue to rely on the existing core resources and advantages to build a low-cost co-production system of sulfuric acid titanium dioxide, chlorination titanium dioxide, sponge titanium and high-end titanium alloy; further improve the green large cycle industry chain, and strive to create an integrated whole industry chain including "titanium ore mining and processing-chlorination titanium dioxide-sponge titanium-titanium processing". At the same time, under the guidance of the concept of resource cycle and green development, adhering to the development idea of "whole industry chain, large cycle and low cost", we will actively layout the new energy industry. We should attach equal importance to connotative growth and extension development, and seize the opportunity to carry out horizontal and vertical mergers and acquisitions.