On May 18, Sinochem International held an investor briefing for business performance in 2020 and the first quarter of 2021 in Shanghai to showcase the company’s financial results and the progress of key strategic projects, and share future priorities and visions.
In 2020, Sinochem International achieved operating revenue of 54.16 billion yuan, a year-on-year increase of 930 million yuan. Operating revenue in the first quarter of this year was 17.39 billion yuan, a year-on-year rise of 5.3 billion yuan. The company achieved EBITDA of 3.94 billion yuan in 2020, up 11% on a yearly basis. In the first quarter of this year, the EBITDA was 1.72 billion yuan, up 50% year on year. The company’s net profit attributable to its parent was 310 million yuan, a record high for a single quarter in recent years, with a compound annual growth rate of 109%.
Liu Hongsheng, General Manager of Sinochem International, said, “The company has achieved strong operating results, which shows that the strategic focus in recent years on new materials and new energy and the ambition to develop an innovative fine chemical enterprise have been recognized by the industry and the market. We are confident that our business performance will further materialize as we deliver our industrial projects.”
Liu Hongsheng said that Sinochem aims to build a world-class materials platform, while carrying out in-depth internal coordination and adjusting the assets layout.
The first phase of the company’s C3 industry chain project is expected to bring in revenue of 16 billion yuan and an average annual profit of 2 billion yuan after it is put into operation next year. And the polymer additives project is also expected to post annual revenue of 2 billion yuan and an average annual profit of 345 million yuan after it starts production next year. The sales volume of the aramid project in 2021 is expected to exceed 2,000 tons.
Qin Jinke, Chief Financial Officer of Sinochem International, said, “The quality of the company’s revenue sources continues to improve, and the profitability of our main business is enhanced. The company has expanded into upstream and downstream industrial chains around core businesses, laying the foundation for sustainable growth in business performance. In the second quarter, we are confident to show stronger financial results to our investors.”