The first phase of Nandu Lithium Power Recycling Project is expected to release 25000 tons of production capacity in March. Last year's net profit is expected to exceed 900 million.

SMM February 16: recently, Nandu Power sources said that 25000 tons of capacity in the first phase of the company's 100000-ton lithium recovery project will be released one after another from March this year, and the first one to come out is lithium salt. The production cycle of recycled waste batteries from batteries to resources is about 20 days. When the price of raw materials is stable, the company expects the gross profit of the products to be about 20% and 30%.

According to public data, Nandu Power supply specializes in the research, development, manufacture and sales of communication power supply and green energy storage application products, and provides complete solutions and services for backup power supply, power supply and special power supply. The company's lead-acid battery industry mainly serves backup and energy storage, light power industries.

As early as the end of January, Nandu Power supply issued a performance forecast saying that the net loss attributed to shareholders of listed companies in 2021 is expected to be 980 million yuan to 1.27 billion yuan. In the same period last year, the net profit and loss belonging to the shareholders of listed companies was about 281 million yuan. During the reporting period, the overall price of raw materials for lithium electricity products of the company rose sharply unilaterally, the prices of raw materials and auxiliary materials for lead and electricity products increased significantly, and due to fierce market competition, the increase in the cost of the company's products could not be effectively transmitted, and the growth rate of product sales prices was not as fast as that of raw materials; civil lead-acid business was affected by market competition, and the price of ordinary civil lead-acid battery products dropped significantly. As a result, the company's comprehensive gross profit margin decreased significantly during the reporting period, resulting in a loss of about 500 million yuan.

In addition, the epidemic situation, the dual control policy and the adjustment of the company's business and production lines have affected the production capacity of industrial and agricultural companies to varying degrees. During the reporting period, the company increased its investment in R & D projects, and the R & D expenditure increased by about 80 million yuan over the same period last year.

In terms of renewable resources business, Nandu Power said that its main business model is to process lead-containing waste mainly from lead-acid waste batteries into metal lead and sell it to the outside world, and its pricing methods for purchasing raw materials such as lead-acid waste batteries and selling finished metal lead are determined with reference to the interval average price of metal lead in Shanghai non-ferrous metal net.

And it is worth mentioning that by the end of 2021, Nandu Power has integrated the production lines of existing lead and lithium power, and the capacity utilization rate will increase and unit cost will be reduced in 2022.

When an investor asked about the cities in which the company's lithium battery recycling business currently set up recycling points, Nandu Power said that the company's shareholding subsidiary Quick Technology operates on the Internet platform, has more than 30 professional recycling channels with recycling, storage and transportation qualifications, and has built a complete waste lead-acid battery and lithium battery recycling network and system. At the same time, some Lithium Electric head car factories have been the company's stable suppliers of waste batteries.

In addition, the company also mentioned that at a time when raw material prices are rising, the company mainly ensures the supply of raw materials through the following three ways: one is to rely on the Nandu power lead-acid battery recycling network and the good relationship between customers in the lower reaches of the power battery industry chain to effectively integrate middlemen and establish a waste lithium-ion battery recycling network system; The second is to establish a tripartite strategic cooperation of iron-lithium battery recovery and reuse with lithium power head enterprises and material factories, to give full play to their respective advantages to become bigger and stronger; third, relying on Nandu Power holding subsidiary to speed up the power APP recovery platform, using online and offline methods to build a waste power battery recycling network.

For the choice of energy storage technology route in the future, the company's energy storage power station has the ability to provide lead carbon and lithium iron phosphate technology path, which can meet the different needs of customers.