Yiwei Lithium Energy did not increase the battery price in the first half of the year, and the net profit fell for the first time in three years
On August 25, Yiwei Lithium Energy released its semi annual report for 2022. During the reporting period, the Company achieved an operating income of 14.926 billion yuan, up 127.54% year on year; Net profit attributable to shareholders of the listed company was 1.359 billion yuan, a year-on-year decrease of 9.08%; The net profit attributable to shareholders of the listed company after deducting non recurring profits and losses was 1.194 billion yuan, a year-on-year decrease of 16.22%; The net cash flow from operating activities was 1.81 billion yuan, a year-on-year increase of 441.07%.
In the past two years, the revenue of Yiwei Lithium Energy has kept growing. In 2021, the Company will achieve an operating income of about 16.9 billion yuan, with a year-on-year growth of 107.06%; The net profit was about 2.9 billion yuan, up 75.89% year on year. In 2020, the Company will achieve an operating income of 8.162 billion yuan, with a year-on-year growth of 27.3%; The net profit was 1.652 billion yuan, up 8.54% year on year.
In the first half of 2022, under the influence of the rising cost of upstream materials, the net profit of Yiwei Lithium will also decline, which is also reflected in the share price. On August 26, Yiwei Lithium Energy closed at 101.30 yuan/share, down 3.39%. In the first and second quarters of this year, the net profits of Yiwei Lithium Energy were 520 million yuan and 840 million yuan respectively.
In this regard, Yiwei Lithium Energy said that while the price of lithium metal was rising, it was a benchmark enterprise in the industry, so in the case of economic downturn, it did not make price increase arrangements after communicating with downstream partners. If the lithium carbonate capacity is released in the second half of the year, the pressure on lithium sources will also be reduced.
With regard to the growth of revenue, Yiwei Lithium Energy said that the main reason for the year-on-year growth of revenue was that during the reporting period, the company's shipments of square lithium iron phosphate batteries and soft pack ternary batteries increased significantly; In particular, in the energy storage market, the company has strategically taken the lead in the layout of the energy storage market. It has carried out business cooperation with major domestic telecommunications operators, leading enterprises of communication facilities, and multi local power grid companies in the fields of communication energy storage or grid side supporting, and has accumulated a number of domestic and foreign well-known brand customers in the field of household energy storage, industrial and commercial energy storage.
At the same time, the substantial growth of Yiwei Lithium Energy's business volume is also inseparable from upstream and downstream collaboration, and its supply chain management advantages are prominent. According to incomplete statistics, through the establishment of joint ventures with German companies such as Nanometer, Beiteri, Huayou Cobalt, Enjie, Zhongke Electric, New Zebang, Jinkunlun, Chuanneng Power and Honeycomb Energy, Yiwei Lithium Energy has distributed anode materials, anode materials, diaphragms, electrolytes, nickel, cobalt, lithium and other upstream resources. This is not only conducive to ensuring the stability of its supply chain, but also can reduce the impact of raw material price fluctuations on its product costs, thus enhancing the company's comprehensive competitiveness.