How To "Specialize And Strengthen" Potential Stocks? Xi Wenjie, Chairman Of Suzhou Long Jie, Talking About The Differential Management And Epidemic Response Of Polyester Enterprises

Among many listed companies in China's polyester industry, Suzhou Long Jie special fiber Limited by Share Ltd (hereinafter referred to as "Suzhou Long Jie") is a unique existence. Its start is not early and its scale is not large, but its listing speed is fast and its profitability is strong.

Compared with the scale and volume of millions of tons produced by other direct melt "big" enterprises, Suzhou dragon Jie has gone out of the road of differentiation and development, and has also become a "rising star" in the capital market and in China's polyester polyester industry.

Along the way, at the different stages of rapid development, what key points have Suzhou Long Jie grasped? What kind of personalized "enterprise gene" has gradually formed? In recent years, what are its specialized, refined and special products? What's the reaction in the market? What is the reason why Suzhou Long Jie insists on deep plowing and slicing spinning Market in the market of melt direct spinning in polyester polyester industry? In particular, this year, in response to the multiple adverse effects brought by the new crown pneumonia epidemic, what strategies have Suzhou adopted? What are its long-term development ideas? Recently, Xi Wenjie, chairman of Suzhou Long Jie special fiber Limited by Share Ltd The above questions are answered in detail.

Open up a differentiated "blue ocean"

Walking into the dragon city of Suzhou in Zhangjiagang, Jiangsu, the slogan of "innovation creates great difference" can be seen everywhere. Since its inception in 2003, this phrase has become the consistent belief of the rising star in the polyester industry and has gradually become an enterprise culture.

Xi Wenjie explains that innovation means breaking the rules and denying ourselves. Creation is based on factors of production, including modification of raw materials and equipment improvement. The so-called "expertise and strong" means strong professionalism, high quality products, distinctive products and strong competitiveness.

"We have to do what others have not done. Only under the guidance of innovative thinking can companies create different products and build different product structures. When the company was founded in 2003, the competition of conventional polyester filament products in the domestic market was already fierce. At that time, we determined the strategic policy of "high tech sword taking advantage of the opposite direction and differentiation of new ways". We resolutely abandoned the "Red Sea" of conventional products, chose the "blue sea" of differentiated production, initially established the concept of differentiated management, and decided to take the road of dislocation development. Xi Wenjie said.

Suzhou dragon's products include differential polyester filament, PTT fiber and so on, covering FDY, DTY and POY categories. There are hundreds of varieties and specifications. Over the past decade, the company has been insisting on physical modification, chemical modification and process modification. Through technological transformation, on-line addition and functional compounding, it has given the special properties of polyester products to achieve continuous innovation of products, and effectively meet the market's personalized requirements in terms of comfort, perception and function of textile fabrics. Its series of differentiated products are highly recognized by the market, and more than 70 national patents have been obtained.

"Imitation cotton, imitation hemp, silk like, imitation wool, imitation leather" five imitation fiber, fine denier hygroscopic PTT fiber, full dull ultra-fine PTT fiber and other high-tech products, low alkali sea island fiber, elastic fiber and new ultra / ultra-fine fiber and other functional fibers, as well as the use of bio based raw materials or recycled recycled raw materials to produce environmentally-friendly green fibers, are dragon products differentiated products in Suzhou. The representative. In particular, suede fiber series, imitation fur fabric and PTT fiber series are its core characteristics.

According to the introduction, the fabric made of Suzhou Long Jie's imitation wool / rabbit hair fiber is very close to fur in terms of vision, touch, style and so on. The effect is realistic and has a certain substitution effect on acrylic fiber. The low alkalinity island fiber can save the consumption of water-soluble slicing of raw materials, and reduce the discharge of sewage in the latter course, which is more green and environmental friendly. Its PTT fiber has good tensile resilience, low modulus and low temperature dyeing properties, and is environmentally friendly and renewable. These special products have been widely recognized by the market.

Xi Wenjie introduced: "our company has always attached importance to R & D and product innovation, constantly improving the performance of existing products, improving production processes, and continuing to develop new products in combination with market demand and fashion trends. We are one of the few enterprises in China that have mastered the technology of high / super simulation animal fur, polyester fiber and low alkali suede fiber like wool, rabbit hair, and so on. The products of suede, imitation fur and PTT fiber are at the forefront of market segmentation and have strong competitive advantages. We can get what we are doing now, that is, we are constantly negating ourselves and bringing forth new ideas.

"Sword go sideways", deep plowing, slicing, spinning, and market segmentation.

In recent 15 years, the melt direct spinning device with large scale, high efficiency and high technology level has gradually become the "standard" of large polyester leading enterprises. The rapid upgrading of plant technology has promoted the continuous expansion of the annual capacity of these enterprises, some of which have reached millions of tons, and some even go straight to the target of 10 million tons. They have formed a strong "scale effect" and comprehensive competitive advantage in the polyester market.

However, if enterprises want to win in the competitive market with a flourishing variety of flowers, there is never one way to play. Even some large enterprises know the unique charm of sliced spinning technology, and retain the slicing technology to some extent besides the direct melt spinning device.   The strategy chosen by Suzhou Long Jie is to focus on and deepen the slicing market, constantly tap the market potential of the technology, and strive to achieve the ultimate goal in this field.

Xi Wenjie recognized the strong reason for slicing technology. "Sliced spinning process has the advantages of convenient production transformation, high conversion cost performance, convenient product development, flexible production and rapid market response, especially in developing and producing products with complex fiber structure and functions, such as super simulation fiber and multi component composite fiber. Compared with direct melt spinning, the production of polyester filament by slice spinning process is not so great in capacity, output and scale, but the product features are more obvious and the added value of products is higher. Xi Wenjie said.

Professionality is an important factor in the achievement of competitiveness. Based on the advantages of technology accumulation and product research and development, Suzhou dragon has focused on the development of differentiated products for many years, continuously improving the added value of products, and meeting and guiding the demand for terminal materials such as fabrics, garments and home textiles. Especially in recent years, under the promotion of the relevant animal protection organizations, many domestic and foreign clothing brands began to advocate "to eliminate the use of animal fur", so that the market of wool like fiber is rapidly warming. Suzhou dragon Jie firmly grasped this market opportunity and displayed its talents. In 2015 ~2018, the proportion of imitation fur fiber in total revenue was about 27.77%, 31.22%, 37.25% and 31% respectively.

"For wool like products, there are many different needs among different customers, and the fur of different animals and parts is also different in performance. We need to analyze and research customers' needs and continuously and deeply study and simulate the development of different animals and different parts of fur. After repeated experiments, we will finally produce products that meet the needs of customers. After the success of the new product development, based on the company's output basis, we will further customize it and give customers a protection period ranging from six months to one year. This is the development strategy of "personalized customization, differentiated production" and "cooperative development, sharing dividends". The formulation and implementation of these strategies have laid a solid foundation for the healthy development of the company. Xi Wenjie explained.

The market share of differentiated products continues to expand, which drives Suzhou Dragon into a fast developing market competition step by step. In particular, in recent years, the company has introduced several Japanese TMT high-speed spinning production lines and dozens of German Bama Maga production lines. The scale has gradually expanded from more than 500 employees with 300 million annual sales revenue to a large-scale enterprise with more than 1000 employees and annual sales revenue of more than ten billion yuan, forming an annual output of 150 thousand tons of differential polyester filament production capacity. In 2017 ~2019, its operating income was 1 billion 524 million yuan, 1 billion 743 million yuan and 1 billion 624 million yuan respectively, and the net profit attributable to shareholders of listed companies was 135 million yuan, 154 million yuan and 168 million yuan respectively.

"In order to become bigger and stronger enterprises, we invest huge sums of money, rely on scientific and technological innovation, vigorously develop high value-added and high-tech fiber products, take high-end products as the direction of R & D, and constantly seize the commanding heights of the market. We deeply cultivate specialized fields, and firmly believe that only in the market segmentation, insist on technological innovation, and constantly introduce innovative products that conform to the market, can we truly form the core competitiveness of differentiation. Xi Wenjie said.

"Capital blessings" stride forward to develop new fields

The capital market and the real economy have always been mixed with each other. On January 17, 2019, Xi Wen Jie wore a red scarf around his neck. He was in a mood of excitement to usher in a glorious moment in the entrepreneurial journey of more than ten years. He listed the gong on the Shanghai stock exchange. With 603332 of the stock code appearing on the big screen, Suzhou Long Jie successfully listed on A shares. This is a milestone in the development of Suzhou Long Jie, and opens a new world for its further development.

Through the listing, Suzhou dragon Jie issued 29 million 735 thousand shares of stock, issuing price of 19.44 yuan per share, raising total funds of 578 million yuan, the total share capital after issue is 118 million 938 thousand shares, and raise investment funds to two key projects.

Among them, the "green composite fiber new material production project" will build a new plant of 70 thousand square meters and introduce advanced technology equipment such as high efficiency imported winding unit, spinning machine and centrifugal air compressor, so as to form an annual production capacity of 25 thousand tons of new bio based polyester PTT memory fiber and an annual output of 25 thousand tons of elastic composite fiber. After the project is put into operation, the production scale of Suzhou Long Jie will further expand, the product structure will be more optimized and the efficiency will be improved. The "high performance special fiber research and Development Center Project" will use the existing factory buildings, import imported multi-functional winding machines, spinning machines, and advanced fiber testing instruments to develop new leading multi-functional fiber products in China. After the project is completed, it will further enhance Suzhou dragon's production technology and new product development capability, and enhance its R & D innovation strength and core competitiveness. At present, the two projects have been completed, the EIA approval, the assessment and approval work have been completed, and the main production and auxiliary equipment have also been booked.

However, a reality is that since this year, with the outbreak of the new crown pneumonia outbreak, the uncertainties and complexities of the external environment facing all walks of life have been greatly increased. The promotion of two new projects in Suzhou has also been affected. At the same time, although the production line of dragon Jie in Suzhou continued to be produced during the Spring Festival this year, affected by the domestic epidemic, enterprises are faced with common problems such as the full date of resumption of production, the shortage of reemployment personnel, the lack of transportation and logistics, the shortage of raw materials, and the difficulties in delivery.

For this reason, Xi Wen Jie clearly realized that under the epidemic situation, we are all in the same heat. Enterprises really need to spend a certain amount of time and energy to digest the adverse effects brought by the epidemic. However, in the long run of enterprises, the impact of the epidemic will only be temporary for a long time, and firm confidence, precise planning and development are the absolute principles that will never change.

Under the guidance of this thought, during the epidemic period, Suzhou dragon Jie took part of the device parking as an opportunity to carry out large-scale intelligent upgrading and upgrading of the workshop's production and auxiliary equipment, and introduced advanced automatic equipment such as automatic oil dispensing system, full-automatic crimp shrinkage tester, automatic packing palletizing line and other advanced intelligent equipment, so as to improve the production detection efficiency and product quality, and reduce staff. Labor intensity further reduces the pressure of employment demand. At the same time, in order to prevent the accident, Suzhou dragon Jie also organized relevant departments to conduct a thorough safety check on the production workshop, and maintained all the shutting down equipment. "Since the beginning of this year, we have carried out intelligent upgrading and upgrading of production lines and maintenance of production equipment on the basis of epidemic prevention and control, and resumed production in a stable and orderly manner. In the second half of the year, we will speed up the construction of new projects and try to get the time delayed by the epidemic. Xi Wenjie said.

For long-term development, he also has a clear plan. In the next 3 years, Suzhou Long Jie will take advantage of the platform built by Jiangsu high tech differential fiber engineering technology research center and so on. On the basis of strengthening independent research and development, it will continue to strengthen cooperation with scientific research institutions and tertiary institutions, and continue to commercialization of research results. Based on existing products, it will further develop, upgrade and upgrade fiber products such as suede, imitation fur and PTT. The development of new products will further optimize the structure of differentiated and high value-added products and achieve the goal of "bigger PTT, stronger fur imitation and fine suede". At the same time, the company will further enrich the product mix of recycled recycled fiber, bio based fiber, dyed fiber and other green fibers, improve the proportion of such products, and continuously promote green development.

"From the medium to long term, with the continuous upgrading of terminal consumer demand, the market demand of functional and high value-added fiber will continue to increase. In particular, environmental protection products that can meet the changing needs of consumers and keep in harmony with the ecological environment will be one of the key development directions of the market. Xi Wenjie pointed out that "for the future, we believe that we have gold at our feet, not blindly follow and follow." Of course, we are full of confidence and will always maintain a sense of crisis. The epidemic will eventually pass away. We will continue to promote the development of new fibers in the direction of environmental protection, function diversification and performance enhancement. We believe that slicing technology and differential products have broad market prospects.