Anning Co., Ltd.: the supply of titanium concentrate will continue to be tight next year, and there is still room for prices to rise.

SMM Network News: Anning shares recently accepted institutional research, said that it is expected that the supply of titanium concentrate will continue to be tight next year, the downstream titanium dioxide market continues to improve, the tight supply of titanium concentrate is difficult to solve for a long time, the company expects that there is still room for titanium concentrate prices to rise in the coming year.

In the first three quarters, the company produced 388000 tons of titanium concentrate and 981600 tons of vanadium titanium iron concentrate, with a total revenue of 1.242 billion yuan and a net profit of 522 million yuan. In the fourth quarter, the price of titanium concentrate continued to rise, the company quoted 2050 yuan / ton (excluding tax ex-factory price); vanadium-titanium iron concentrate price rose slightly, the company quoted 680 yuan / ton (excluding tax ex-factory price). It is expected that the supply of titanium concentrate will continue to be tight next year, the downstream titanium dioxide market will continue to improve, and the price of titanium concentrate is still likely to rise.

The company said that the increase in the price of titanium concentrate is mainly due to:

1. The downstream titanium dioxide market continues to improve, titanium dioxide enterprises produce at full load, and there is a strong demand for titanium concentrate. 2. Due to the epidemic situation and the depletion of some mines, the production of overseas titanium concentrate has been reduced.

3. The major domestic titanium concentrate producers are not expected to produce large amounts of minerals in the near future. Therefore, the tight supply of titanium concentrate is difficult to solve for a long time, and the company expects that the price of titanium concentrate will still have room to rise in the coming year.

In terms of future production expansion plan, according to the company's strategy, Panjiatian Iron Mine has no production expansion plan at present. In the future, the company will increase production capacity mainly through external mergers and acquisitions. At present, the company is actively looking for the target project, and will make timely acquisitions according to the situation in the future, in order to increase the company's resource reserves, increase product capacity and increase the company's long-term investment value.

The impact of rising product prices on mergers and acquisitions: product prices rise, the corresponding project valuation is expected to rise, so the recent price rise does have a certain impact on the company's search for M & A projects.

The company has always held a positive attitude in M & A, but while actively looking for the object of M & A, the company will carefully consider its feasibility and control the risk.

Company order status:

1. At present, the company's products are in short supply, mainly to ensure the needs of core customers.

2. The company has established a long-term strategic cooperative relationship with its core customers, signed an annual framework agreement at the beginning of the year, and signed a specific sales contract every month to determine the sales volume and price of the next month. Most customers adopt the method of payment after payment.