Hengli Petrochemical Achieved A Good Start, The First Quarter Net Profit Increased By 315%

In the evening of April 10th, Hengli Petrochemical (600346) disclosed its performance forecast. The company expects to achieve net profit of 2 billion 100 million yuan attributable to shareholders of Listed Companies in the first quarter of 2020, an increase of about 315.02% compared to the same period last year. It is estimated that the net profit attributable to shareholders of listed companies is 2 billion 46 million yuan, left and right, an increase of 323.6% over the same period last year.

For the reasons for the increase in performance, the company said Hengli 20 million ton / year refining and chemical integration project formally implemented commercial operation in the two quarter of 2019. Driven by the new business pattern of the "-PX-PTA- polyester" whole industry chain, the company has refined the product management mode with the integration of upstream and downstream production capacity, achieving a significant increase in the scale of revenue and profitability.

In fact, Hengli Petrochemical began to enter the new stage of performance growth after the 20 million ton / year integration project was put into operation. According to the 2019 performance forecast, the company expects to achieve net profit of 10 billion 900 million yuan in the whole year, the first time to break through the 10 billion yuan mark, a sharp increase of 228% over the same period last year, far exceeding all expectations.

According to the insiders, in addition to device maintenance or maintenance, refinery plant is always in the running state, so during the epidemic period, Hengli petrochemical refining plate still maintained high load, high efficiency, production and marketing smooth running situation, to ensure the supply of important petrochemical raw materials.

At present, the investment and start-up of the world's largest 1 million 500 thousand ton / year ethylene project has been basically completed. Hengli Petrochemical investment and construction project has basically completed. The installation and transportation system optimization of the whole ethylene plant is progressing smoothly, and is accelerating towards full load operation and full scale operation.

In view of the supply of over 98% of the raw materials from the ethylene project, the 48% yield of ethylene has reached the highest level in the world. In the future, Hengli 1 million 500 thousand ton / year ethylene project will produce all kinds of high-end chemicals, such as ethylene glycol, styrene, polypropylene, high-density polyethylene and butadiene, which are in short supply in China, so as to enhance the deep processing capacity and added value of Hengli refinery project.

In addition, Hengli 5 million tons / year PTA project, 1 million 350 thousand tons / year multi-functional high quality textile new material project and 200 thousand tons / year high performance automotive industrial yarn technical transformation and other key projects are also advancing rapidly. All of the new projects will be released, Hengli Petrochemical is expected to achieve output value of 300 billion yuan, profits and taxes of 65 billion yuan.