Last Year, More Than 4 Billion Of The Chemical Fiber Leader, Halliday, Invested $600 Thousand To Invest In The US.

One of the largest manufacturing enterprises of polyester filament and light box manufacturing in China, the Zhejiang halid new material Limited by Share Ltd (hereinafter referred to as "Halliday") announced in the evening of April 13th that the company intends to increase its capital to the wholly owned subsidiary of Halliday (Hongkong) Klc Holdings Ltd (hereinafter referred to as "Hongkong Holdings") by 600 thousand US dollars, and then by Hongkong holding company. A total of $600 thousand has been added to the wholly-owned Sun Group, Halliday (Hongkong) fiber Investment Co., Ltd. (hereinafter referred to as "Hongkong fiber") to invest in HailideFibersAmerica, Inc, a wholly owned grandson company in Georgia.

Halliday said that the scope of Hongkong's fiber business involves the sale of polyester filament products, cord fabrics and polyester chips. The established grandson company is conducive to expanding the layout of the company's main business in the US terminal market, enhancing the competitiveness and continuous development capabilities of the company's foreign markets. In the long run, it is in line with the company's overall business development and strategic planning for the company. The future development will play a positive role.

According to public information, Halliday was founded in 2001 and listed on Shenzhen Stock Exchange in January 2008. Its main production base is located in Haining, Zhejiang. It is divided into Ma Qiao plant area and Jianshan factory area. The company specializes in three main products, including polyester industrial filament, plastic material and polyester cord fabric. The company's safety belt silk and airbag silk two car wire products are already AUTOLIV JOYSON and other safety assembly manufacturers more than 10 years of qualified suppliers; cord fabric and high modulus low shrinkage wire have Michelin, Bridgestone, mainland, Sumitomo, HANKOOK, solid platinum, NOKIA, Yokohama and other international first-line brand customers; in 2019, it became an official supplier of Bridgestone (Europe), Kumho and Terry Berg, and completed the company, Sumitomo, and Nai Kesen. Many new factories have been certified and begun to supply normally.

Since its listing, the company has focused on overseas business, and is committed to achieving strategic cooperation with world-renowned tire manufacturers and automotive safety assembly companies. The company's automobile silk has a high reputation in the industry, and is the main manufacturer of polyester airbag yarn in the world. In tire cord fabric products, we have developed HANKOOK, Sumitomo and Michelin tire manufacturers as long-term customers. Meanwhile, the newly developed stone and plastic flooring products in recent years are also mainly for the European and American markets.

Since its listing in 2011, the company has actively promoted the differentiation strategy and continuously increased the polyester filament industry. In the past 2012-2018 years, the company's profit has increased steadily, and its annual growth rate has been 25.93%. At the same time, the company has outstanding cash flow, and has always maintained a high dividend rate, with a dividend rate exceeding 90%. Beginning in the fourth quarter of 2018, China's exports to the US decreased significantly due to trade friction between China and the United States. Curtain fabric and stone and plastic flooring business were all affected, resulting in a decline in 2019's performance.

According to the financial report, in 2019, Halliday achieved an operating income of 4 billion 13 million 629 thousand and 200 yuan, up 12.44% from the same period last year, operating profit of 384 million 569 thousand yuan, down 6.87% from the same period last year, and the net profit attributable to shareholders of the company was 327 million 93 thousand yuan, down 6.87% from the same period last year.

During the reporting period, Halliday actively promoted the internationalization process, and proposed 110 thousand tons of differentiated polyester industrial filament project in Vietnam, and the related work is advancing smoothly. In March 2019, the company's annual output of 200 thousand tons of functional polyester project put into operation, further expanded the company's main industry capacity and the integrity of the industrial chain. After several years of certification and market cultivation of tire cord fabrics, the cord fabric products have been successfully imported into the world's first tier brand tire manufacturers such as Sumitomo, HANKOOK, Michelin, Continental tires and so on. During the reporting period, third cord fabric production lines have been put into operation, and the latter will gradually release capacity according to the new customer certification and new market development. From scratch, we have achieved industrial production and continue to increase investment, making this product a new driving force for the company's future development and profit growth.

Jin Yiteng, an analyst with open source securities, said that with the spread of overseas epidemic, consumption and production restrictions in the European and American markets will have a negative impact on the global economy and trade. In 2019, the proportion of overseas business of Halliday was 64%. In the short term, when the global inflection point is not yet clear, the decline of overseas market demand and the postponed progress of Vietnamese factories will have certain impact on the company's performance. In the medium to long term, the Sino US trade friction has eased. The air bag and stone flooring have been waiving the additional tariffs. Automobile wire and tire cord fabrics have been tied up with downstream leading enterprises, and the future will rebound with the downstream demand recovery. Halliday will make full use of the binding effect to seize the market share. With the new growth space, the turning point of Future Ltd performance will come.

Halliday also said that in 2020, the company will focus on its main business, and continue to strive to improve profitability by further optimizing the product mix, reducing costs, improving efficiency and increasing marketing efforts.

1, in the production of polyester filament products, the project will be put into operation in an orderly way to achieve the global optimization of production capacity. On the basis of maintaining the original market competitiveness, and relying on the global strategic layout of the company, we continue to focus on the development and innovation of new products, and continue to develop new markets and new customers.

2, on plastic products: continue to target customers, target market, better understand the needs of the market and customers; enrich product mix, increase the proportion of high added value and woven products, enhance profitability; continue to take differentiated marketing channels, optimize customer structure, ensure product profitability and receivables security; stone plastic floor sales overseas steady. On the basis of growth, we should promote the development of domestic trade market and further expand the sales share of stone plastic flooring.

3, on the cord fabric products: in order to reduce the impact of Sino US trade war, the company strengthens its marketing power, introduces the core marketing backbone of the same industry, and integrates the production, technology and sales force of the cord business department, so as to expand the domestic and overseas two major markets, and focus on the target customers of Europe, America, Southeast Asia, Japan, Korea, and China. We should lay a solid foundation for internal consolidation, improve our internal strength, increase our cost savings and raise our profitability.