[investigation report] Jintian Copper Industry: increasing the development of copper products in new energy, wind power, photovoltaic and other areas greatly increased production and sales in the first half of the year.

Ningbo Jintian Copper (Group) Co., Ltd. released an investor survey report on Jintian Copper in August 2021, saying that in the first half of the year, the company actively promoted production capacity construction projects under the guidance of the 14th five-year Plan strategy. efforts to expand the application of copper products and magnetic materials in new energy, new infrastructure and other fields, achieved a substantial increase in output and profits, and achieved good operating results.

In the first half of the year, the company realized 34.131 billion yuan in main business income, an increase of 93.65% over the same period last year, and the net profit belonging to shareholders of listed companies was 373 million yuan, an increase of 50.75% over the same period last year Among them, the total output of copper and copper alloy materials reached 753800 tons, an increase of 30.11% over the same period last year.

During the reporting period, the production capacity of the company's IPO investment project continued to improve, and the convertible bond investment project was progressing smoothly. Other base construction projects were promoted according to plan, laying the capacity foundation for the 14th five-year Plan strategy. The company increased its development in new energy, wind power, photovoltaic and other fields. During the reporting period, the company's copper products in new energy vehicles, wind power, UHV and 5G and other key areas of application exceeded 17500 tons; Among them, the sales of products used in the field of new energy vehicles increased by 94% compared with the same period last year, the sales of products used in the field of wind power generation increased by 52%, and those used in UHV increased by 20% compared with the same period last year. The company's electromagnetic wire flat wire products have entered the supplier system of well-known new energy vehicle enterprises, and have now entered the stage of mass production. High-precision copper strip products have successfully entered the international well-known motor supplier system and are used in new energy vehicles, motors and other fields; at the same time, the company has completed the issuance and registration of the first round of restricted shares after listing, so that the core employees and the company form an interest community, laying the organizational talent foundation for the company to achieve the strategic goal of the 14th five-year Plan.

Up to now, the production capacity of the company's copper products is about 1.6 million tons, and with the commissioning of the convertible bond project, the production capacity will reach 2 million tons in 2022; the commissioning of new production capacity will help consolidate the company's leading position in the industry, at the same time, enhance the application of the company's products in new infrastructure, new energy, new consumption and other fields, and promote the upgrading of the company's products.

What is the market position of the company's new production capacity?

The company's annual output of 80,000 tons of hot-rolled copper strip project, annual output of 50,000 tons of high-strength and high-conductivity copper alloy wire project, Guangdong Jintian Copper Industry high-end copper-based new material project are located in the middle and high-end applications, which are conducive to optimize the product structure and improve the company's gross profit level.

What is the company's development strategy?

The company has adhered to strategic leadership for many years. During the 13th five-year Plan period, the company worked out the strategic development plan under the guidance of IBM, and the relevant goals have been achieved; in 2020, the company completed the preparation of the 14th five-year strategic plan under the guidance of Boston Consulting Company. During the 14th five-year Plan period, on the one hand, the company actively expanded the production capacity of copper products and magnetic materials, increased its market share, and strived to become an expert in copper processing products and advanced materials in the world; at the same time, it seized the market opportunities of new infrastructure, new energy and new consumption. speed up the upgrading of the market and customers.