Panzhihua Iron and Steel Co., Ltd. realized a net profit of 1.2 billion yuan

Panzhihua Steel Vanadium Titanium (000629) disclosed the semi annual report of 2019 after hours on August 7. In the first half of 2019, the company realized an operating revenue of 7.259 billion yuan, a year-on-year increase of 7.19%; and realized a net profit of 1.2 billion yuan, a year-on-year increase of 4.31%. Non net profit deducted was 1.194 billion yuan, up 3.42% year on year. The company said that the increase in operating revenue during the reporting period was mainly due to the increase in prices and sales of main business products and raw and auxiliary materials compared with the same period last year. During the reporting period, the company's production and operation management and control capacity has been significantly improved, the production capacity of each production line has been further released, and the scale benefit has become apparent. During the reporting period, the company has completed 11000 tons of vanadium products (calculated by V2O5), a year-on-year decrease of 10.77%; 115000 tons of titanium dioxide (including 10700 tons of titanium chloride powder), a year-on-year increase of 29.06%; 88300 tons of titanium slag, a year-on-year increase of 4.56%. The company pointed out that in the vanadium industry, after the sharp rise in the market price of vanadium in 2018, some end users use vanadium substitutes, and the resumption of production of some stone coal vanadium extraction enterprises increases the supply.

In the first half of 2019, the market price of vanadium showed a general downward trend. In terms of titanium industry, domestic sulfuric acid titanium dioxide mainly focuses on the upgrading and upgrading of existing production lines, with little change in capacity scale. Chlorinated titanium dioxide is the future development direction of titanium dioxide industry, with obvious domestic development trend. As many as 5-6 new titanium dioxide enterprises are planned to be built, and all of them have certain technical and financial capacity. Accordingly, the company has determined the future development strategy and direction of titanium chloride white, and actively participated in the domestic market development of titanium chloride white. Under the new national environmental protection policy, although the cost of business development has increased, with the promotion of supply side reform, strict environmental protection policy, acceleration of industry integration process and continuous recovery of the terminal industry, large titanium dioxide enterprises have a good momentum of development, which is conducive to the improvement of industry concentration and the construction of an orderly market environment for domestic titanium dioxide development It will also benefit from a better business environment.