Tianneng Group is located in Changxing County, Huzhou City, Zhejiang Province, the "capital of China's battery industry". It has been established for more than 30 years and has dual listed brands "An and H". In 2007, the company was listed on the main board of Hong Kong (stock name: Tianneng Power; Code: 0819.HK); on January 18, 2021, its battery business was successfully spun off to the Shanghai Stock Exchange Kechuang Board listing (stock name: Tianneng shares; Code: 688819).
On May 12, the activity of "New track Butterfly change and Leap up New Power to accelerate the Integration of New Ecological Enablement China-2021 China Battery New Energy Industry chain Research Bank" (Jiangsu and Zhejiang Railway Station) officially kicked off in Huzhou, Zhejiang Province. On the morning of the 12th, the research group visited and inspected Tianneng shares and exchanged views with Qian Shunyao, president of the lithium power division of Tianneng shares, and other relevant leaders.
According to Qian Shunyao, Tianneng Co., Ltd. is mainly engaged in the production, R & D and sales of high-performance battery products such as lead batteries, lithium batteries, fuel cells and other energy storage environmentally friendly batteries.
In 2020, Tianneng shares achieved an operating income of about 35.1 billion yuan and a net profit of about 2.28 billion yuan, an increase of 52.83 percent over the same period last year. Among them, the operating income of lead-acid batteries is 29.651 billion, accounting for 84.48% of the company's total revenue, and the gross profit margin is 23.31%.
In terms of lithium power business, Tianneng shares are currently mainly focused on the electric light vehicle power battery market. The company's revenue from lithium batteries in 2018, 2019 and 2020 is 424 million yuan, 524 million yuan and 1.021 billion yuan respectively. Qian Shunyao said that in 2020, the company's lithium-ion battery sales revenue increased by more than 90% over the previous year, and the sales volume increased by more than 120% over the previous year, mainly due to the further deepening of strategic cooperation between the company and downstream leading enterprises.
Recently, statistics from the White Paper on the Development of China's Electric two-wheeled vehicle Industry (2021) jointly released by EVTank and Ivy Economic Research Institute and China Battery Industry Research Institute show that in 2020, the total production of electric two-wheeled vehicles in China was 48.34 million, an increase of about 27.2% over the same period last year, and the cumulative social ownership has reached 340 million.
In 2020, the average selling price of lithium-ion battery has been less than 0.6 yuan / Wh,. With the rapid decline of the cost of lithium-ion battery, the market permeability of lithium-ion electric two-wheeler has increased rapidly. According to white paper statistics released by EVTank, China produced 11.36 million lithium electric two-wheeled vehicles in 2020, with an overall penetration rate of 23.5 per cent, an increase of 84.7 per cent over the same period last year. EVTank expects the market penetration of the entire lithium electric two-wheeler to be close to 60 per cent by 2025. In 2020, shipments of lithium-ion batteries for electric two-wheeled vehicles in China reached 10.7 GWH, an increase of 91.1% over the same period last year. It is expected that the demand for lithium-ion batteries for electric two-wheeled vehicles will reach 45.9Gwh by 2025.
In addition, Tianneng also actively studies the cutting-edge technology of new-generation batteries such as fuel cells. The company established Zhejiang Tianneng hydrogen Energy Technology Co., Ltd. in February 2021, which is committed to promoting the industrialization of fuel cell technology.
Looking to the future, Qian Shunyao said that the company will focus on the sustainable development strategy of "new materials, new structures, new technologies, and new fields" to achieve "application generation, reserve generation, R & D generation". While consolidating its leading position in the field of lead-acid batteries, the company will focus on electric light vehicles, electric vehicles and energy storage solutions in the field of lithium batteries, and actively expand start-stop, energy storage and other businesses. Continue to explore technologies in the field of fuel cells and new generation batteries.
