YAXING CHEMICAL(SH:600319)2025-01-16 08:43Financial Performance Forecast - The company expects a net profit attributable to shareholders for 2024 to be between -115 million and -95 million RMB, indicating a loss compared to the previous year[3]. - The net profit attributable to shareholders after deducting non-recurring gains and losses is projected to be between -176.2 million and -156.2 million RMB, also reflecting a loss year-over-year[3]. - In the previous year, the total profit was 6.68 million RMB, with a net profit attributable to shareholders of 6.36 million RMB, and a net profit of -111.69 million RMB after deducting non-recurring gains and losses[5]. - The performance forecast is based on preliminary calculations by the finance department and has not yet been audited by a registered accountant[8]. - Investors are advised to be cautious as the forecast data is preliminary and the final audited financial data will be disclosed in the annual report[9]. Production Capacity and Market Conditions - The company has increased the capacity of its CPE unit from 50,000 tons/year to 80,000 tons/year, leading to increased production and sales volume[7]. - Despite the increase in production capacity, the company faces declining market prices due to intensified competition, resulting in lower gross margins[7]. - The company is currently in a relocation phase with only three production units operational, leading to high fixed costs that compress profit margins[7]. Financial Impact of Relocation - The company received a relocation compensation of 50 million RMB and a relocation incentive of 9.6 million RMB, which will positively impact the net profit and net assets for 2024[7]. - Financial expenses have increased due to additional financing needed for ongoing projects, including a 45,000-ton high-end new materials project and a 12,000-ton hydrazine project[7].