Xianglu Tungsten Industry's net profit increased by 73.93% in the first half of the year. Cemented carbide sales doubled.

Recently, Xianglu Tungsten Industry issued a semi-annual performance forecast that from January to June 2021, the company realized operating income of 775.5059 million yuan, an increase of 27.09% over the same period last year. The net profit belonging to shareholders of listed companies was 24.2772 million yuan, an increase of 73.93% over the same period last year. Net profit belonging to shareholders of listed companies after deducting non-recurrent profits and losses was 22.1152 million yuan, an increase of 1079.09% over the same period last year. Among them, the revenue of tungsten carbide powder of the company's main products increased by 50.36% over last year, sales increased by 45.18%, cemented carbide revenue increased by 89.74%, and sales increased by 107.29%.

It is reported that Xianglu tungsten industry has formed a product system from APT to cemented carbide through years of development. The company's main products are tungsten oxide (including yellow tungsten oxide, blue tungsten oxide, purple tungsten oxide, etc.), tungsten powder, tungsten carbide powder, tungsten alloy powder and tungsten cemented carbide and other deep processing products.

Xianglu tungsten industry said that in the first half of 2021, the epidemic situation in China was well controlled, overseas also gradually recovered, and the overall demand of the tungsten industry showed an obvious warming trend. as a result, the production, sales and prices of tungsten concentrate, ammonium paratungstate, tungsten powder, alloys and cutting tools have increased in varying degrees. Under the influence of overseas monetary policy, the prices of steel, crude oil, non-ferrous materials and other raw materials continued to rise in the first half of the year, which indirectly increased the cost of tungsten from mining, processing to transportation. Imported inflation is one of the factors in the price increase of raw materials and products in the tungsten industry. Tungsten is the "tooth of industry". If the global epidemic can be effectively alleviated and the global manufacturing industry recovers in the second half of the year, there will be a significant increase in tungsten consumption; if the "American-style infrastructure" can effectively implement the demand for tungsten-based cemented carbide tools and geological and mineral tools, it will be a big boost. During the reporting period, there were no significant changes in the company's main business.

Through continuous optimization and updating of equipment, the powder production department of Chaozhou region in the first half of the year has significantly improved the quality and output of ultra-fine tungsten carbide powder, and its sales volume and market share are in the forefront of the industry. With the gradual production of cemented carbide fund-raising projects, this year's production and sales volume will also be greatly improved compared with last year, and the company has also increased research and development and investment in product quality. This year, the customer complaint rate has significantly decreased, and the product reputation has been further improved; next, with the realization of large-scale production, the cost of cemented carbide products will also be reduced, which will help the company's future development. Xianglu Precision has achieved an increase of more than 50% in sales revenue in the first half of the year, but it is still in a state of loss. this year, the main task of the precision company is to actively expand sales channels, promote "Xianglu" brand tool products, and strive to double revenue for the whole year and turn losses into profits. Jiangxi region laid a solid foundation in the first half of the year, strengthened the training of operation skills, strictly grasped the implementation of the system and technology, and made considerable progress in management. the quality of powder and cemented carbide products and Chaozhou area has been basically Synchronize, and the production and sales of all products have increased significantly, providing a good guarantee for continuous increment in the future. The company will grasp the resources and policy advantages of Jiangxi region, increase and speed up the construction of Jiangxi Xianglu, and strive to build a domestic advanced tungsten manufacturing base of the whole industry chain. At the same time, it will also timely participate in or integrate local tungsten mine resources to ensure the supply of raw materials for the group.