Yanjiang Shares, Which Are Also In Short Supply Of 8-10 Tons Of Nissan Melt Blown Fabric, Earn 36 Million 280 Thousand Yuan In The First Quarter.

Perforated non-woven fabric leader, Xiamen Yanjiang new material Limited by Share Ltd (hereinafter referred to as "Yanjiang stock") released its first quarter results announcement in March 31st. The company expects to make a profit of 36 million 287 thousand and 100 yuan -3891.03 million during the reporting period, up by 315%-345% over the same period last year.

For the change of performance, Yanjiang shares explained that: first, during the reporting period, YanjanUSALLC, a subsidiary of the US company, because the customers switched the original supplier's "tail effect", and the order volume was insufficient, resulting in a large loss in the current quarter. During the same period, the Yanjiang River achieved quarterly profits, making the comparative data show a larger profit growth; two, a new epidemic vine within the reporting period. The demand for masks increased significantly, and there was a shortage of melt blown nonwovens for the production of masks. For this reason, the company set up an emergency project, set up a melt blown nonwoven project group, and began selling melted nonwoven fabrics in mid February, and further expanded the production capacity in mid March. Because of the limited supply of melt blown nonwovens in the market, the melt blown nonwoven fabric produced by the company has been in short supply during the reporting period, and has become one of the main factors in the reporting period.

First textile network reporter learned here that Yanjiang shares have many years of non-woven production experience. After half a month of outbreak, through the transformation of mechanical equipment, three melted nonwoven production lines were reformed, and 6 tons of civilian grade melt blown non-woven fabrics were produced daily. On the investor platform, Yanjiang shares said that the daily output could reach 8-10 tons.

However, in the view of Wang Qiang, an analyst at China Merchants Securities, it is difficult for general enterprises to expand the capacity of melt blown cloth. Sinopec and PetroChina have their own main producers of polypropylene for upstream melt blown fabrics. Combined with the advantages of the National Machinery Group's textile machinery, we have achieved the strong combination of state owned enterprises and state-owned enterprises.

Data show that in 2019, China's melt spraying cloth production capacity of 8-10 tons, and domestic melt spraying cloth production is only 55 thousand tons, that is to say, there are about 45 thousand tons of annual production capacity without full production released. Therefore, the fastest way to increase the use of melted cloth for masks is to increase the load and other transfer products. After all, the enterprises that have the capacity of "fire god mountain" to build new capacity of melt blown cloth are also like Sinopec's super strength enterprise. If the output and output of 50 thousand tons of load increase can be released to about 140 tons per day, and the acceleration of some enterprises' overload and Sinopec and other powerful enterprises can support China's daily mask production of 1.8-2 million.

At present, the new crown outbreak has greatly triggered the explosive growth of the mask demand, which has ushered in the "mask shortage" for a while. The daily output of China's mask has been growing rapidly in the past month. The national development and Reform Commission released data that in February 29th, the national masks daily production reached 110 million, and the daily output reached 116 million, including masks, medical masks and medical N95 masks. It is 5.2 times and 12 times the level of February 1st, which greatly relieves the contradiction between supply and demand of respirators.

Wang Qiang believes that the proportion of melt blown fabric in non-woven fabrics is only 0.9%, and is mainly used for environmental protection, diaphragm and wiping materials, and only 10% of them produce masks. At present, all the capacity of the melt blown fabric is expected to be converted to masks, and the upper limit is approaching. Many domestic strength enterprises begin to expand their production capacity rapidly. Even if the capacity of the melt blown fabric is calculated, China's masks will be on-line about 200 million Nissan. Since the new melted fabric production capacity will take at least 2-3 months, the conversion of non medical melt spun cloth and SMS spinning and blending production line will only take 1 months. If the whole product is converted, it will have the potential of 150 thousand tons per year, corresponding to 400 million masks.

Wan Lian Securities researcher Chen Wen said that since January 20th, the price of masks and protective clothing related stocks has increased by 52.71% and 48.31% respectively. The rest of the related stocks also have a good growth rate. From the perspective of the epidemic situation this year, the demand for masks and protective clothing has surged, plus the factory shutdown and raw materials during the Spring Festival. In the case of insufficient supply, there was a "hard cover" situation. But now, with the resumption of production and resumption of production, as well as more and more enterprises declare the production mask and protective clothing qualification, and the masks supply chain has increased significantly, it is estimated that the output of mask and protective clothing will have a substantial increase in 2020.

Chen Wen said that despite the fact that the current situation of pneumonia in China has been controlled and the situation is easing, the form of foreign countries is still very severe, and there are continuing overseas cases of "reflux". Therefore, the domestic need to remain vigilant; on the other hand, in many other countries, due to the surge in demand for respirators and protective clothing caused by the outbreak of epidemics, some areas have stopped production and stopped production, and the masses have "hoarding goods". The shortage of raw materials makes the supply and demand imbalance of masks. Therefore, the high demand for masks and protective clothing is expected to remain at the end of the year, and will be exported to other countries after meeting domestic demand in the future.

Public information shows that Yanjiang industrial and Trading Co., Ltd., the predecessor of Yanjiang shares, was founded in 2000. After the reform, it was changed to Limited by Share Ltd in 2000, with a registered capital of 75 million yuan. The company entered the gem in June 2017, mainly from the development, production and sale of disposable sanitary products surface materials. At present, its products include 3D punched nonwoven fabrics, hot-air non-woven fabrics, PE perforated films, etc. the products are mainly used as surface materials for disposable sanitary products such as sanitary napkins, diapers and pads.

Yanjiang shares disclosed today's 2019 annual report shows that during the reporting period, the company achieved operating income of 1 billion 38 million yuan, an increase of 35.48% over the same period, and realized a net profit of 82 million 310 thousand and 700 yuan attributable to shareholders of listed companies, an increase of 69.32% over the same period, and a basic earnings per share of 0.54 yuan / share.