Driven by the continued improvement of the chemical market, the caustic soda industry has been booming since 2022. In the A-share market, caustic soda concept stocks have performed well in 2021, with many companies steadily advancing production capacity expansion.
Source: Photo Network
Caustic soda industry has strong demand
Caustic soda generally refers to sodium hydroxide . As a basic chemical raw material, it is widely used in light industry, textile, chemical industry, agriculture, building materials, electric power, electronics, food processing, etc. All aspects of the national economy occupy an important position in the national economy.
Securities Times data treasure platform disclosed that according to Baichuan data, on February 17, 2022, the latest quotation of solid caustic soda was 4,562 yuan/ton, an increase of 3.12% compared with the previous day. The price increased by 14.2% after the Spring Festival, and the increase during the year was 32%. In addition, according to its disclosure, in October 2021, the highest price of solid caustic soda exceeded 6,000 yuan/ton, and then entered a cliff-like decline. The lowest price once fell to about 3,000 yuan/ton, and the price was cut in half. In December 2021, caustic soda prices stabilized and rebounded. After entering 2022, prices will continue to rise.
Choice financial terminal data shows that from January 4, 2022 to February 17, 2022, the sales price of caustic soda in the basic chemical industry has increased from 3,500 yuan/ton to 4,650 yuan/ton.
Caustic soda quotations since 2022 (data source: Choice Financial Terminal)
According to multiple analyses, the increase in caustic soda market prices is mainly due to the influence of several factors such as the maintenance of some major chlor-alkali companies, the continued improvement of the export market, and the good resumption of work in downstream industries. , the market has a tight supply situation, driving prices to continue to rise.
Many companies have high performance growth in 2021
Looking at A shares , benefiting from the industry boom, many listed companies will have good performance in 2021.
The performance report shows that Sanyou Chemical (600409.SH) achieved operating income of 23.182 billion yuan in 2021, an increase of 30.38% over the same period last year; the net profit attributable to shareholders of the listed company was 1.671 billion yuan, an increase of 133.03% over the same period last year. Operating income increased year-on-year: the main reason was that the sales market improved during the reporting period.
According to the performance report of Beiyuan Group (601568.SH), the company achieved operating income of 13.154 billion yuan in 2021, a year-on-year increase of 33.49%; the net profit attributable to shareholders of the listed company was 1.852 billion yuan, a year-on-year increase of 9.96%. The increase in operating income compared with the same period was mainly due to the increase in the sales prices of the company's main products polyvinyl chloride and caustic soda in 2021 compared with the same period. It is reported that Beiyuan Group has a caustic soda production device of 800,000 tons/year.
Zhongtai Chemical (002092.SZ) is a leading chlor-alkali enterprise. The company's main products include PVC, ion membrane caustic soda, viscose fiber, viscose yarn . The company is currently one of the few companies in the domestic chlor-alkali chemical industry with a complete industrial chain. Zhongtai Chemical's annual report shows that the company achieved operating income of 62.463 billion yuan in 2021, a year-on-year decrease of 25.83%; the net profit attributable to shareholders of listed companies was 2.703 billion yuan, a year-on-year increase of 1769.96%.
Chlor-alkali Chemical (600618.SH) is one of the leading companies in the domestic caustic soda industry. In the first half of 2021, the company's main product caustic soda output was 354,520 tons, and this product achieved operating income of 593 million yuan. Chlor-Alkali Chemical estimates that the company's net profit attributable to shareholders of listed companies in 2021 is expected to be 1.65 billion to 1.85 billion yuan, a year-on-year increase of 171.97% to 204.93%. During the reporting period, the company's leading products were positively affected by the market, and their selling prices and output increased compared with the same period last year.
In addition, Xinjin Road (000510.SZ) expects the company to achieve net profits attributable to shareholders of listed companies in 2021 of approximately 280 million to 330 million yuan, an increase of 291.41% to 361.30% over the same period last year. During the reporting period, the company increased its efforts in product production and sales, increased sales profits, and improved the company's operating performance.
Shilong Industrial (002748.SZ) estimates that the company’s net profit attributable to shareholders of listed companies in 2021 will be 160 million yuan to 215 million yuan, an increase of 212.76% to 251.52% over the same period last year. The company's operating performance in 2021 turned a loss into a profit compared with the same period last year and achieved substantial growth. The main reason for the change is the increase in the market of the company's main products AC foaming agent , caustic soda, sulfoxide chloride and hydrazine hydrate .
Binhua Co., Ltd. (601678.SH) expects the company’s net profit attributable to shareholders of listed companies to increase by about 1.118 billion yuan in 2021, which will increase by about 220.52% compared with the same period last year. In 2021, the company's various devices maintained stable operation, and the output of main products remained stable. Mainly due to the influence of market supply and demand, the sales revenue of the company's main products, caustic soda, propylene oxide , trichlorethylene , etc. increased.
Hongda Xingye (002002.SZ) expects the company to achieve net profits attributable to shareholders of listed companies in 2021 of 1.458 billion yuan to 1.562 billion yuan, an increase of 79.15% to 91.96% over the same period last year. The company disclosed that in 2021, the company's chlor-alkali plant is operating in good condition, with stable production and sales, and the gross profit of its main products PVC and caustic soda has increased; the company has vigorously developed its hydrogen energy business, and its hydrogen energy, rare earth new materials and other businesses have developed rapidly, bringing better results. Profit contribution.
Due to the improvement in the market for polyvinyl chloride resin , caustic soda and other products, as well as the merger of companies under the same control of and the acquisition of subsidiaries by , Xinjiang Tianye (600075.SH) expects the company to become a listed company in 2021 Shareholders' net profit ranged from 1.6 billion yuan to 1.750 billion yuan, an increase of 80% to 97% compared with the same period last year.
Tianyuan Co., Ltd. (002386.SZ) is the largest dominant chlor-alkali enterprise in Southwest China. Its main products are PVC, ion membrane caustic soda, and hydrazine hydrate series products. The company expects to obtain net profits attributable to shareholders of listed companies in 2021 of 635 million yuan to 675 million yuan; an increase of 447.99% to 482.51% compared with the same period last year. On February 18, 2022, Tianyuan Shares stated on the exchange’s investor interaction platform that the company’s annual caustic soda production capacity is 480,000 tons.
Some companies are steadily advancing their production capacity expansion.
The performance of caustic soda concept stocks has generally increased. Since this year, some companies have also further expanded their production capacity through foreign investment and other methods to create new profit growth points.
On February 15, 2022, Hesheng Silicon Industry (603260.SH) announced that the company plans to conduct "Xinjiang Central Hesheng Silicon Industry Co., Ltd. Silicon-based "New materials industry integration project (annual output of 200,000 tons of high-purity polysilicon project)" investment and construction, with an estimated total investment of 17.5 billion yuan. It is reported that the construction content of the project includes a 200,000 tons/year polysilicon unit, a 100,000 tons/year caustic soda unit, as well as supporting public works and auxiliary works. Hesheng Silicon disclosed that this external investment implements the company's overall strategic plan to further expand into the downstream of industrial silicon, laying the foundation for the rapid development of the company's photovoltaic new energy business, and helping the company create new profit growth points.
On January 29, 2022, Rike Chemical (300214.SZ) announced that it plans to use its own funds of 28.8 million yuan to jointly establish Dongying Huinengda New Materials Technology Co., Ltd., a joint venture with Shandong Hongxu Chemical Co., Ltd. After the establishment of the company, it plans to invest in the construction of lithium battery electrolyte projects. Riko Chemical disclosed that in recent years, the company has successively invested in the construction of "330,000 tons of new polymer materials projects per year" and "200,000 tons of caustic soda technology transformation projects per year", etc. Among them, the by-product varieties of the "annual output of 200,000 tons of caustic soda technical transformation project" include hydrogen and chlorine . Hydrogen may play an important role in the future energy structure transformation. The company will take the opportunity to actively carry out the application of hydrogen in the field of new energy. Explore research and development. It disclosed that chlorine, a by-product of the chlor-alkali project, is used as a raw material for the production of chloroethylene carbonate (CEC), and it also has room for application in the preparation of electrolyte-related products. Therefore, this investment project in the new energy field can produce certain synergy effects with the company's projects under construction.
On January 4, 2022, the investor research announcement disclosed by Xuetian Salt Industry (600929.SH) showed that the company’s Jiuer Salt Industry caustic soda second phase project will be completed and put into operation in the second half of 2021, with a caustic soda production capacity of 200,000 tons/ years and above. In addition, Chlor-Alkali Chemical responded to relevant questions on the exchange's investor interactive platform on January 10, 2022, saying that the company invested in the construction of a 300,000-ton caustic soda and 400,000-ton polyvinyl chloride project in Qinzhou, Guangxi, which is expected to be completed in the fourth quarter of 2022. drive.
On January 12, 2022, Xingfa Group (600141.SH) responded to relevant questions on the exchange investor interactive platform and stated that the company’s controlling subsidiary Inner Mongolia Xingfa Technology Co., Ltd. organic silicon new material integrated cycle The project (including a new 400,000 tons/year silicone monomer production unit, a supporting 50,000 tons/year glyphosate unit, and a 300,000 tons/year ion membrane caustic soda plant) has obtained energy assessment approval.
