Luoyang Glass’s performance increased by 11 times, and photovoltaic glass production capacity was fully liberalized
The semi-annual report disclosed on August 17 shows that, thanks to the increase in product sales and prices, Luoyang Glass (600876, SH) has increased its performance by 11 times. Wu Zhixin, secretary of the board of directors, said: “The production capacity of photovoltaic glass has been liberalized. The first quarter and the fourth quarter have a good market. Prices have fallen in the second quarter of the first half. At present, the company’s orders have long and short.”
Luoyang Glass achieved operating income of 1.595 billion yuan in the first half of the year, a year-on-year increase of 66.52%; operating profit of 263 million yuan, a year-on-year increase of 555.32%; net profit attributable to the parent company was 198 million yuan, a year-on-year increase of 1126.73%.
According to the forecast of China’s photovoltaic industry, the global installed capacity of photovoltaic power generation will increase by 150-170GW in 2021, and China’s new scale will increase by 55-65GW. The photovoltaic industry continues to maintain rapid growth. Wu Zhixin agreed: “Photovoltaic glass is used for solar power generation, and the new energy industry is strongly supported by the state. Photovoltaic glass was originally classified as flat glass, and its production capacity was controlled. Now that the production capacity of photovoltaic glass is fully liberalized, the future prospects of this industry are certain. Very broad.”
Wu Zhixin said that there is a certain cyclicality in the photovoltaic glass sector, and the overall market will be better in the first and fourth quarters. The performance in the second half of the year is temporarily uncertain, but the development of the industry is undoubtedly improving.
From the perspective of companies in the same industry that have disclosed semi-annual reports, most companies have different growth rates in their semi-annual reports. Flat (601865, SH) semi-annual report shows that total operating income increased by 61.37% year-on-year; Ancai Hi-Tech (600207, SH) total operating income increased by 55.89% year-on-year; CSG A (000012, SZ) predicted that net profit would increase by 2.3300 times To 2.65 times.
Regarding the glass market, Wu Zhixin replied that the current market for the company’s two main products is relatively good, and the price of new energy glass has fallen in the second quarter. However, the company’s current order status is fairly good, with long, medium and short orders, and some new energy glass will be exported. Southeast Asia: Information shows that the glass market continues to be stable.
In addition, the report also shows that Luoyang Glass has accelerated the construction of new projects and mergers and acquisitions. Hefei New Energy Solar Equipment Photovoltaic Cell Packaging Materials Project and Tongcheng New Energy Solar Equipment Photovoltaic Cell Packaging Materials Phase I project are progressing smoothly. It is expected that the two projects will be put into production in September 2021 and November 2021, respectively. Yixing New Energy Solar Equipment Photovoltaic Cell Packaging Materials Project, Northern Glass Equity Acquisition Project and Zigong New Energy Capital Increase Project are progressing steadily. Wu Zhixin said: “These projects are of great significance to the company’s development. They expand the company’s production capacity and are conducive to the company’s market expansion.”