Antimony price Q1 rises rapidly! How long will the business cycle last? Hunan Gold responded.

On the evening of April 12, Hunan Gold issued a forecast for the first quarter of 2021. It is estimated that the net profit attributable to shareholders of listed companies in the first quarter of 2021 is 74 million yuan, compared with a loss of 38.2383 million yuan in the same period last year, and basic earnings per share of 0.06 yuan per share. The company said that the change in performance was due to an increase in sales and sales prices of major products compared with the same period last year.

It is reported that the main products of Hunan gold are standard gold ingots, refined antimony, antimony oxide, antimony glycol, plastic flame retardant masterbatch and ammonium paratungstate, as well as some gold concentrates and antimony content sold directly to the outside world. Among them, refined antimony as the hardening agent of alloy is mainly used in metallurgy, battery and military industry, as well as the raw material for the production of antimony oxide; antimony oxide as a flame retardant is mainly used in plastics, rubber, paint, textile, chemical fiber and other industries. it is also used in glass, electronics, ceramics, phosphors and other industries.

In 2020, the company produced a total of 36245 kg of gold, a decrease of 12.13% over the same period last year, including 33320 kg of standard gold and 2925 kg of gold; 34967 tons of antimony products were produced, down 1.07% from the same period last year, including 10848 tons of refined antimony, 16405 tons of antimony oxide, 5330 tons of antimony and 2384 tons of antimony glycol; the production of tungsten products was 2181 standard tons, down 8.82 percent from the same period last year.

In terms of data, according to the Hunan Gold 2020 Annual report, in 2020, the market demand for antimony and tungsten was seriously affected by the epidemic, and the export volume of antimony and tungsten decreased. According to customs statistics, antimony exports for the whole year were 48761.3 tons, down 16.4 percent from the same period last year. Among them, the cumulative export volume of antimony oxide was 37456.8 tons, down 11.1% from the same period last year, mainly sold to the United States, Taiwan, South Korea, Japan, Malaysia, India and other countries and regions.

Antimony prices rose sharply in the first quarter of this year. Recent data from SMM showed that SMM1# antimony ingots were at 67000 yuan / ton, up 24750 yuan / ton from 42250 yuan / ton at the end of last year, or 58.6 percent.

"Click to view the spot price of SMM metal

For the future, on April 15, an investor asked Hunan Gold a question. According to the company management study, judging from the cycle of commodities in the past decade, can the current price of antimony be maintained? whether the business cycle of the antimony industry can maintain the industry trend in the next few years. Hunan Gold said that imports of raw materials decreased in the first quarter of this year, supply tightened, and antimony prices rose rapidly. As an antimony production enterprise, the company is more important to do a good job in production and operation, and strive to achieve the annual output profit target.