Jiangte Motor: Lithium Carbonate production and Marketing Liangwang's net profit soared by 6442.29% in the first half of the year

SMM August 12: on the evening of August 11, Jiangte Motor disclosed its semi-annual report data. According to the announcement, the company achieved a total operating income of 1.365 billion yuan in the first half of 2021, an increase of 50.02 percent over the same period last year, while net profit was 181 million yuan, up 6442.29 percent from the same period last year.

For the reason for the soaring performance of the company during the reporting period, Jant Motor explained that it was mainly due to the substantial growth of the company's lithium carbonate business. According to the company's semi-annual report, the company's lithium carbonate business has achieved 440 million of revenue in the past six months, an increase of 251.59% over the same period in 2020.

It is reported that during the reporting period, the external environment of lithium salt business has improved, the downstream demand for lithium carbonate products has increased, and its sales price has also increased significantly than in the past. Through the release and expansion of lithium mica mining and lithium carbonate production capacity, the company has greatly increased the production and sales of lithium carbonate.

The historical price of SMM shows that as of June 30, the average price of domestic battery-grade lithium carbonate was 87500 yuan / ton, up 34500 yuan / ton from the beginning of the year, or 65.1%.

"Click to view the historical price of SMM Metals.

It is worth mentioning that at present, Jiangte Motor has a total of 4 lithium carbonate and lithium hydroxide production lines under construction, with a total annual production capacity of more than 30,000 tons, which is in the forefront of the country. And it has 2 mining rights and 5 exploration rights of lithium porcelain stone in Yichun area, and it is estimated that it will hold more than 100 million tons of lithium ore resources in the future, and under the premise of free ore, it will carry out deep processing to prepare lithium carbonate products. to a certain extent, it saves a lot of costs and improves the profitability of Jiangte Motor's lithium carbonate business.

It should be noted that after the close on August 6, due to the huge increase in Jiangte Motor shares, with a cumulative increase of more than 594%, the company issued a notice of abnormal stock price fluctuations, explaining that although the company is rich in lithium ore resources, however, it is affected by factors such as limited mining capacity, long working cycle of "exploration and conversion" mining in mines with large reserves, and tight procurement of raw materials in the market. There is uncertainty about the company's target for lithium carbonate production this year. Previously, Jiangte Motor set a target production capacity of 27200 tons of lithium carbonate for the company.