Text | Jinwei
On September 8, Tianci Materials opened sharply down, once touching the drop limit, as of the noon close, Tianci Materials still fell 7.5%, the stock price was reported at 29.2 yuan, the total market value of 56.2 billion.
In the last trading day, Tianci Materials has fallen by 5%, with the largest drawdown of 14.5% in two trading days, and the market value has shrunk by 7.8 billion.
On September 7, Tianci Materials also issued a series of announcements, saying that the company currently has sufficient orders on hand, and it is expected that the market share will be further improved.
What happened to the fall in the share price of Tianci Materials?
Tianci Materials, whose main business is the research and development, production and sales of fine chemical new materials, is the world's electrolyte leader, and the company's lithium hexafluorophosphate market share is the world's top two.
With the outbreak of new energy vehicles, the development of Tianci materials has entered the fast lane.
The net profit of Tianci Materials in the past three years was 533 million, 2.208 billion and 5.714 billion respectively, with a year-on-year growth rate of 3165.21%, 314.42% and 158.77%, with an average growth rate of more than 1000%;
From the perspective of specific revenue, Tianci Materials recorded an average of 12.509 billion yuan and a net profit of 2.818 billion yuan in the past three years, and last year recorded the highest annual profit value since listing, that is, 5.714 billion yuan.
Such a high multiple growth rate has achieved the market of ten times the big bull stocks of Tianci Materials.
However, entering 2023, the high growth rate of Tianci Materials' performance has been broken, and the company's stock price has continued to decline.
In terms of performance, the company's performance fell again in the first half of the year after handing over a report card of a 50% year-on-year decline in profit and a 16% decline in revenue in the first quarter.
On the evening of August 14, Tianci Materials released a half-year performance report that the operating income in the first half of 2023 was about 7.987 billion yuan, a year-on-year decrease of 22.93%; The net profit attributable to shareholders of the listed company was about 1.288 billion yuan, a year-on-year decrease of 55.67%;
Tianci Materials said that during the reporting period, the supply and demand pattern of the new energy vehicle industry chain changed, and the price of lithium-ion battery electrolyte dropped significantly; At the same time, due to the impact of inventory of raw materials, the cost of products is higher, so the decline in overall operating income is higher than the decline in operating costs.
From the perspective of last year, Tianci Materials in the four quarters of last year, whether it was the overall profit or the main business profit, the average profit in a single quarter exceeded 1.284 billion yuan, and the quarterly profit in the first three quarters was about 1.4 billion yuan. Since 2023, Tianci Materials' single-quarter profit has not exceeded 1 billion, and the year-on-year decline is about 50%, and such a large decline is indeed somewhat rare.
At present, in the revenue structure of Tianci Materials, lithium battery materials account for more than 90% of revenue, mainly lithium-ion battery electrolyte and cathode material lithium iron phosphate, which are key raw materials for lithium batteries.
It can be seen that the price of new energy batteries directly affects the trend of Tianci Materials' performance.
On the evening of September 7, Tianci Materials issued a series of announcements, saying that the company intends to invest an additional 272 million yuan in the 300,000-ton iron phosphate project (phase II) of its holding subsidiary Yichang Tianci with self-financing. After the additional investment, the total investment of the project was changed from 1.005 billion yuan to 1.277 billion yuan. As of the announcement date, the project has completed the construction of the main pile foundation, the main production equipment has arrived one after another, entering the stage of equipment installation and commissioning, and all work is advancing in an orderly manner.
According to Tianci Materials disclosed on September 7, when accepting on-site visits, the company said that the current company has sufficient orders in hand, as a leading enterprise in the industry, with excellent cost control capabilities, the company's electrolyte market share has been increasing since this year. With the further reduction of the company's electrolyte costs, the company expects that the market share will further increase.
However, the market did not seem to buy the benefits of additional investment and sufficient orders, and the stock price of Tianci Materials fell.
It is worth mentioning that the 2023 interim report shows that the number of main holding institutions has reached 705, accounting for 35.5% of the positions, most of which are public funds. According to the decline since the second quarter of this year, these newly entered public funds may be mostly trapped.
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