Last Year a Manufacturer's Net Profit is Expected to Drop 22.6%-39.8%

On the evening of January 14, Gaomeng New Material disclosed its annual performance forecast for 2021, expecting net profit attributable to shareholders of listed companies for 2021 to be 140 million yuan - 180 million yuan, down 22.6% - 39.8% year-on-year; net profit after deducting non-recurring gains and losses to be 136 million yuan - 176 million yuan, down 23.0% - 40.6% year-on-year.

Regarding the reasons for the change in performance, Gaomeng New Material said that in 2021, under the unfavorable environment of soaring prices of bulk raw materials and the lack of chips in the automotive industry.

The company has been working with professional strength and carried out a series of management improvement work such as optimization of organizational structure, adjustment of incentive policy and increasing investment in R&D, which laid a solid foundation for the realization of future strategic goals.

However, due to the impact of material prices, although the sales revenue has achieved a substantial growth, the gross profit level still declined relatively obviously, coupled with the increase in investment in research and development, the company's profit in fiscal year 2021 decreased year-on-year.

According to the information, Gaomeng New Material focuses on high performance polyurethane adhesive materials, and strives to provide customers with personalized and systematic adhesive solutions while providing them with adhesive materials products.

They are widely used in packaging, printing, transportation, safety protection, household appliances, construction materials and other important industries or fields.

The second is the sound insulation and noise reduction materials for automobiles, the main products include seals, shock absorbing and cushioning materials, other automobile-related products, etc.