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GLN is mentioned in today's Ganfeng earning news, this is first time GLN was reported by Chinese media with Ganfeng.

Last year's net profit more than tripled, Ganfeng Lithium's market value rose back to 200 billion

January 25, 2022 11:29

Lithium Industry Leader Ganfeng Lithium Industry(002460.SZ) Last year 's performance increased significantly, with a net profit of more than 4.8 billion yuan.

　　On the evening of January 24, Ganfeng Lithium disclosed its performance forecast that its net profit in 2021 will be 4.8 billion to 5.5 billion yuan, a year-on-year increase of 368% to 436%. The company's share price rose by the daily limit, at 134.87 yuan.

　　Ganfeng Lithium made profits of 470 million yuan, 940 million yuan and 1.05 billion yuan respectively in the first three quarters of last year. Based on this calculation, the company's net profit in the fourth quarter was between 2.32 billion yuan and 3.02 billion yuan, accounting for about half of the annual net profit.

　　Ganfeng Lithium is the only company in the global lithium industry that has the industrialization technologies of "extraction of lithium from brine", "extraction of lithium from ore" and "extraction of lithium from recycling". As of the first half of last year, the company's equity lithium resources were 26.11 million tons of lithium carbonate equivalent, ranking first in the world.

　　Ganfeng Lithium said that the rapid development of new energy vehicles and energy storage industries has driven the demand for lithium salts from downstream customers. The increase in sales and prices of lithium salt products last year led to a year-on-year increase in performance.

　　Last year, domestic sales of new energy vehicles recorded the fastest growth in six years. According to data from the China Association of Automobile Manufacturers, the cumulative sales in 2021 will be 3.521 million vehicles, ranking first in the world for seven consecutive years.

　　Among the main products of Ganfeng Lithium , batteriesThe price of grade lithium carbonate was 280,000 yuan/ton at the end of last year, an increase of more than 4 times compared with the beginning of the year. Battery -grade lithium carbonate is one of the key raw materials for new energy vehicle power batteries .

　　Ganfeng Lithium also mentioned that the new projects of its lithium battery sector have been put into operation and the production capacity has been gradually released, which also promoted the company's substantial growth in performance last year.

　　The company previously disclosed that its lithium battery business has deployed five major categories of products, including consumer batteries, power and energy storage batteries, and has established lithium battery research and development and production bases in Xinyu, Jiangxi, Dongguan, Guangdong and other places, and has successively cooperated with Dongfeng Motor ., JinkoSolarand other companies to reach a strategic cooperation intention.

　　Another reason for the sharp increase in Ganfeng Lithium's performance is the substantial increase in the stock prices of listed companies it holds. Ganfeng Lithium's 2021 semi-annual report shows that the company holds GLN, Ma Yinglong(600993.SH), Sananguang (600703.SH) and many other domestic and foreign company stocks.

　　Among them, GLN is the Australian trading company Galan Lithium. Its shares traded at $1.90 at the end of last year, nearly four times their price at the start of last year. Ganfeng Lithium's semi-annual report disclosed that in the first half of last year, GLN alone brought more than 40 million yuan in revenue.