天赐材料(002709) - 2025 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions Important Notice The company's board and management affirm the report's accuracy and completeness, with no plans for cash dividends or capital reserve conversions in the reporting period - Company management guarantees the truthfulness, accuracy, and completeness of the report content, free from false records, misleading statements, or major omissions[6] - The company's 2025 semi-annual profit distribution plan proposes no cash dividends, no bonus shares, and no conversion of capital reserves into share capital[7] Definitions This section defines key terms and company entities, including major subsidiaries, related parties, and core business terms like lithium-ion battery materials and electrolytes - The report provides clear abbreviations for the company's numerous subsidiaries and related parties, facilitating investor understanding of its complex equity structure and business layout[13][14] - Key raw materials for core products such as "lithium-ion battery materials," "electrolytes," and "lithium hexafluorophosphate" are defined, aiding comprehension of the company's main business[14] Company Profile and Key Financial Indicators Company Profile Guangzhou Tinci Materials Technology Co., Ltd. (stock abbreviation: Tinci Materials, stock code: 002709) is a company listed on the Shenzhen Stock Exchange, with Xu Jinfu as its legal representative Basic Company Information | Item | Content | | :--- | :--- | | Stock Abbreviation | Tinci Materials | | Stock Code | 002709 | | Listing Exchange | Shenzhen Stock Exchange | | Company Full Name | Guangzhou Tinci Materials Technology Co., Ltd. | | Legal Representative | Xu Jinfu | Key Accounting Data and Financial Indicators In the first half of 2025, the company achieved operating revenue of 7.029 billion CNY, a 28.97% year-on-year increase; net profit attributable to shareholders was 268 million CNY, up 12.79%. Basic earnings per share were 0.14 CNY/share, an increase of 16.67%, primarily driven by increased sales of battery materials Key Financial Performance Indicators | Key Financial Indicators | Current Period (2025 H1) | Prior Period (2024 H1) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue (CNY) | 7,028,730,109.87 | 5,450,027,206.35 | 28.97% | | Net Profit Attributable to Shareholders (CNY) | 267,900,543.30 | 237,525,982.08 | 12.79% | | Net Profit Excluding Non-recurring Items (CNY) | 234,603,380.29 | 186,173,873.04 | 26.01% | | Net Cash Flow from Operating Activities (CNY) | 409,143,054.97 | 364,460,390.32 | 12.26% | | Basic Earnings Per Share (CNY/share) | 0.14 | 0.12 | 16.67% | | Weighted Average Return on Net Assets | 2.04% | 1.79% | Increase by 0.25 percentage points | | Total Assets (CNY) | 24,439,346,520.11 | 23,953,389,261.08 | 2.03% (vs. end of prior year) | - During the reporting period, non-recurring gains and losses totaled 33.30 million CNY, primarily from government subsidies and fair value changes in financial assets[25] Management Discussion and Analysis Principal Business The company's main business involves R&D, production, and sales of fine chemical new materials, with core products including lithium-ion battery materials (electrolytes, lithium iron phosphate) and daily chemical materials and specialty chemicals. During the reporting period, there were no significant changes in the company's business or products, and it strategically expanded into battery material recycling and new technologies like sodium-ion and solid-state batteries - The company's core business is divided into two major segments: lithium-ion battery materials and daily chemical materials and specialty chemicals[29] - In the lithium-ion battery materials sector, the company not only produces electrolytes and lithium iron phosphate but also extends upstream to key raw materials like lithium hexafluorophosphate, additives, and iron phosphate, while also developing battery recycling businesses[30] - The company simultaneously expands into new technology directions, including sodium-ion battery materials and solid-state battery electrolytes[30] Analysis of Core Competencies The company's core competencies include strong R&D innovation, integrated industrial chain and circular economy layout, global production and service network, experienced management team with a robust incentive system, and stringent product quality control - The company possesses strong R&D capabilities, with 1,141 patent applications filed and 587 granted as of the end of the reporting period, actively pursuing global patent layout via PCT[33] - The company builds cost advantages through self-production of core raw materials and recycling, and strengthens its industry position by entering markets such as cathode materials and battery adhesives through M&A[36] - The company actively promotes internationalization, having established subsidiaries in the US and Germany, and is advancing integrated capacity construction in Morocco and Texas, USA, to expand its overseas footprint[39] Analysis of Principal Business During the reporting period, the company's operating revenue increased by 28.97% year-on-year, primarily driven by higher battery material sales. Lithium-ion battery materials revenue reached 6.302 billion CNY, growing 33.18% and accounting for 89.66% of total revenue. Daily chemical materials and specialty chemicals revenue increased by 12.93%, with an overall gross profit margin of 18.69%, largely stable compared to the prior year Key Financial Performance Overview | Financial Indicator | Current Period | Prior Period | Year-on-Year Change | Primary Reason | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue (CNY) | 7,028,730,109.87 | 5,450,027,206.35 | 28.97% | Increased sales of battery materials | | Operating Cost (CNY) | 5,715,055,817.13 | 4,422,889,645.44 | 29.22% | Increased sales of battery materials | | R&D Investment (CNY) | 438,865,660.69 | 305,703,901.19 | 43.56% | Increased R&D investment in new lithium battery materials | Revenue by Business Segment | Business Segment | Revenue (CNY) | Revenue Share | Year-on-Year Growth | | :--- | :--- | :--- | :--- | | Lithium-ion Battery Materials | 6,301,924,155.80 | 89.66% | 33.18% | | Daily Chemical Materials and Specialty Chemicals | 613,915,272.14 | 8.73% | 12.93% | Gross Profit Margin by Business Segment | Business Segment | Gross Profit Margin | Year-on-Year Change | | :--- | :--- | :--- | | Lithium-ion Battery Materials | 17.05% | Decrease by 0.06 percentage points | | Daily Chemical Materials and Specialty Chemicals | 30.27% | Decrease by 0.51 percentage points | | Overall Gross Profit Margin | 18.69% | Decrease by 0.16 percentage points | Analysis of Non-Principal Business During the reporting period, non-principal business activities impacted total profit, with fair value changes of 16.17 million CNY from hedging instruments, asset impairment losses of 58.30 million CNY primarily from inventory write-downs, and other income of 29.74 million CNY mainly from government subsidies and VAT deductions Impact of Non-Principal Business on Profit | Item | Amount (CNY) | % of Total Profit | Reason for Formation | | :--- | :--- | :--- | :--- | | Investment Income | 8,652,894.51 | 2.46% | Primarily income from time deposits | | Fair Value Change Gains/Losses | 16,171,156.59 | 4.60% | Primarily fair value changes of hedging instruments | | Asset Impairment | -58,298,552.73 | -16.59% | Primarily provision for inventory write-downs | | Other Income | 29,736,105.32 | 8.46% | Primarily government subsidies and VAT additional deductions | Analysis of Assets and Liabilities As of the end of the reporting period, total assets were 24.439 billion CNY, a 2.03% increase from the prior year-end. The asset structure remained stable, primarily comprising fixed assets (30.63%) and accounts receivable (20.88%). On the liability side, short-term borrowings increased by 1.57 percentage points to 7.92%, and contract liabilities significantly grew due to increased customer prepayments - Total assets slightly increased by 2.03% from the end of the prior year, reaching 24.439 billion CNY[53] - Fixed assets, accounts receivable, and construction in progress are the main components of asset structure, accounting for 30.63%, 20.88%, and 8.87% respectively[53] - Contract liabilities significantly increased from the beginning of the period, primarily due to increased customer prepayments during the reporting period[53] Analysis of Investment Status Total investment was 363 million CNY, down 24.46% year-on-year, with major non-equity projects still under construction. The company actively manages risks through commodity futures and foreign exchange hedging, and 77.27% of 2022 convertible bond funds have been utilized Overall Investment Situation During the reporting period, the company's total investment was 363 million CNY, a 24.46% decrease from 480 million CNY in the prior year, covering asset acquisition, construction in progress, equity, and financial asset investments Investment Overview | | Investment Amount in Current Period (CNY) | Investment Amount in Prior Period (CNY) | Change Rate | | :--- | :--- | :--- | :--- | | Total Investment | 362,983,621.61 | 480,496,769.81 | -24.46% | Major Non-Equity Investments The company is advancing several major projects, including the 'Jiujiang Tinci 200,000-ton Lithium Battery Material Project' and 'Jiangmen Tinci 200,000-ton Lithium Battery Electrolyte Project,' with progress rates of 72.95% and 42.22% respectively as of the reporting period end Ongoing Major Non-Equity Investment Projects | Project Name | Investment Method | Cumulative Investment Amount as of Period End (CNY) | Project Progress | | :--- | :--- | :--- | :--- | | Jiujiang Tinci - 200,000-ton Lithium Battery Material Project | Self-built | 684,593,053.66 | 72.95% | | Jiangmen Tinci - 200,000-ton Lithium Battery Electrolyte Project | Self-built | 324,200,596.56 | 42.22% | Financial Asset Investments To mitigate risks from lithium carbonate price and foreign exchange rate fluctuations, the company engaged in commodity futures and foreign exchange hedging, largely achieving its risk management objectives. Additionally, speculative commodity futures trading generated 4.26 million CNY in income during the reporting period - The company conducted commodity futures (lithium carbonate) and foreign exchange hedging to mitigate raw material price and exchange rate fluctuation risks. During the reporting period, commodity hedging generated 12.24 million CNY in fair value change gains, while foreign exchange hedging resulted in 0.32 million CNY in fair value change losses[63] - The company engaged in speculative commodity futures trading, realizing actual gains of 4.26 million CNY during the reporting period[65] Use of Raised Funds The net proceeds from the company's 2022 public issuance of convertible bonds were 3.395 billion CNY, with 2.623 billion CNY (or 77.27%) cumulatively utilized as of the reporting period end. Some projects' benefits fell short of expectations due to market demand and raw material price fluctuations, while others were delayed due to process upgrades - The net proceeds from the 2022 convertible bonds were 3.395 billion CNY, with 77.27% cumulatively utilized as of the end of the reporting period[68][71] - Several investment projects funded by raised capital underperformed expectations due to lower-than-anticipated demand and raw material price fluctuations[73] - The '41,000-ton/year Lithium-ion Battery Material Project (Phase I)' completion date was extended to December 31, 2025, due to process innovation and upgrades[76] Analysis of Major Holding and Participating Companies Jiujiang Tinci, a key subsidiary, significantly contributed to the company's performance, primarily engaged in fine chemical business. It reported total assets of 12.163 billion CNY, operating revenue of 4.845 billion CNY, and net profit of 56.26 million CNY during the period Key Subsidiary Financial Performance | Company Name | Type | Operating Revenue (CNY) | Net Profit (CNY) | | :--- | :--- | :--- | :--- | | Jiujiang Tinci | Subsidiary | 4,844,854,630.02 | 56,256,836.34 | Risks and Countermeasures The company faces risks from policy changes, technological iteration, extended payment terms, price volatility, exchange rate fluctuations, environmental safety, project management, and geopolitical factors in overseas projects. Countermeasures include market diversification, R&D investment, dynamic credit management, futures hedging, increased self-sufficiency, and enhanced project management - Technological Iteration Risk: New technologies like solid-state and sodium-ion batteries may impact traditional electrolyte business. The company has increased R&D investment in solid/semi-solid electrolytes and built patent reserves[81] - Price Fluctuation Risk: Overcapacity in the lithium battery material industry leads to product price volatility. The company mitigates this by increasing the proportion of high-margin product exports and raw material self-sufficiency[84] - Overseas Project Risk: Projects in the US and Morocco face local environmental requirements and geopolitical uncertainties. The company will maintain close communication with local governments, monitor regulations, and prepare contingency plans[89] Corporate Governance, Environment, and Society Equity Incentive and Employee Stock Ownership Plans During the reporting period, the company continued its 2021, 2022, and 2024 equity incentive plans, canceling or repurchasing unvested stock options and restricted shares. The 2024 employee stock ownership plan was also implemented, covering 99 core employees and holding 0.21% of the total share capital - The company repurchased and canceled certain equity interests from the 2021 and 2022 equity incentive plans that did not meet the exercise/unlocking conditions[104][109] - The company launched a new phase of its stock option incentive plan at the end of 2024 and completed the initial grant registration in January 2025[110][113] - The 2024 employee stock ownership plan has been implemented, with 99 participating employees holding 3,947,000 shares, representing 0.21% of the total share capital[114] Environmental, Social, and Governance (ESG) The company prioritizes ESG management, issuing compliance and ESG-related policies, including an 'Anti-Bribery and Anti-Corruption Policy.' Environmental efforts through process improvements led to a cumulative 3,820-ton carbon emission reduction at the Jiujiang base, while social initiatives include poverty alleviation and education support - The company and its 9 major subsidiaries are included in the list of enterprises required to disclose environmental information by law[117] - The company issued an "Anti-Bribery and Anti-Corruption Policy" to strengthen corporate governance[118] - Through process technological upgrades, the Jiujiang production base cumulatively reduced carbon emissions by approximately 3,820 tons during the reporting period[119] Significant Matters Litigation Matters During the reporting period, the company was involved in several significant lawsuits. The company's commercial secret infringement case against Jinshi Resources was withdrawn. The case against Yongtai Technology, involving 888 million CNY, is in its first-instance phase, while Jiujiang Tinci's commercial secret infringement case has entered the second-instance judgment phase Overview of Major Litigation Cases | Basic Litigation Information | Amount Involved (million CNY) | Litigation Progress | | :--- | :--- | :--- | | Company vs. Jinshi Resources Commercial Secret Infringement Case | 90.802 | Withdrawn | | Company vs. Yongtai Technology Commercial Secret Infringement Case | 888.25 | First-instance phase | | Jiujiang Tinci Commercial Secret Infringement Case (Criminal) | - | Second-instance phase | Significant Contracts and Guarantees As of the reporting period end, the company and its subsidiaries had external guarantees totaling 67.90 million CNY and guarantees for subsidiaries totaling 1.589 billion CNY. The total actual guarantee amount represented 12.65% of the company's net assets, with no significant entrustment, contracting, or leasing matters Guarantee Balances | Guarantee Type | Actual Guarantee Balance at Period End (million CNY) | | :--- | :--- | | External Guarantees (excluding subsidiaries) | 67.90 | | Guarantees for Subsidiaries | 1,588.70 | | Total | 1,656.60 | - The total actual guarantee amount represents 12.65% of the company's net assets[142] Share Changes and Shareholder Information Share Capital Changes During the reporting period, the company's total share capital decreased from 1.919 billion shares to 1.914 billion shares, primarily due to a 384-share increase from convertible bond conversions and the repurchase and cancellation of 4.4813 million restricted shares under equity incentive plans. Additionally, two share repurchase programs were completed, totaling approximately 242 million CNY - During the reporting period, the company's total share capital decreased by 4,480,905 shares due to convertible bond conversions and equity incentive repurchases and cancellations, with the period-end total share capital at 1,914,344,146 shares[149][150] - The company completed two share repurchase programs, with the first phase totaling approximately 120 million CNY and the second phase approximately 122 million CNY[153][154] Shareholder Information As of the reporting period end, the company had 182,334 common shareholders. Controlling shareholder Xu Jinfu held 36.50% of shares. Among the top ten shareholders, Hong Kong Securities Clearing Company Limited held 2.94%, and Wanxiang A123 Systems Co., Ltd. held 1.73% - As of the end of the reporting period, the company had a total of 182,334 shareholders[159] Top Shareholders | Shareholder Name | Shareholding Percentage | Number of Shares Held at Period End (shares) | | :--- | :--- | :--- | | Xu Jinfu | 36.50% | 698,668,092 | | Hong Kong Securities Clearing Company Limited | 2.94% | 56,332,817 | | Wanxiang A123 Systems Co., Ltd. | 1.73% | 33,070,163 | | Lin Fei | 1.71% | 32,786,972 | Bond-Related Information Convertible Corporate Bonds In September 2022, the company issued 3.4105 billion CNY in convertible corporate bonds ('Tinci Convertible Bonds') with a 5-year term. As of the reporting period end, the bond balance was 3.410 billion CNY, with cumulative conversion to shares totaling 0.3941 million CNY. The conversion price was adjusted multiple times due to equity distributions and share repurchases, with the latest price at 28.50 CNY/share. The company's main credit rating is AA, with a stable outlook - The company issued 3.4105 billion CNY in convertible corporate bonds, abbreviated as 'Tinci Convertible Bonds,' in September 2022[170] - As of the end of the reporting period, the unconverted bond amount was 3.410 billion CNY, representing 99.99% of the total issuance[175] - Due to equity distributions and the repurchase and cancellation of restricted shares, the convertible bond's conversion price was adjusted multiple times, with the latest price at 28.50 CNY/share as of the end of the reporting period[176][177] - According to China Chengxin International Credit Rating Co., Ltd., the company's main credit rating is AA, with a stable outlook[178] Financial Report Consolidated Balance Sheet As of June 30, 2025, total assets were 24.439 billion CNY, a 2.03% increase from the beginning of the period. Total liabilities were 11.125 billion CNY, with a debt-to-asset ratio of 45.52%. Equity attributable to parent company owners was 13.097 billion CNY, a slight decrease from the beginning of the period. Non-current assets (13.264 billion CNY) accounted for a larger proportion than current assets (11.176 billion CNY) Consolidated Balance Sheet Highlights | Item | Period-End Balance (CNY) | Period-Beginning Balance (CNY) | | :--- | :--- | :--- | | Total Assets | 24,439,346,520.11 | 23,953,389,261.08 | | Total Liabilities | 11,125,307,585.50 | 10,628,818,637.80 | | Equity Attributable to Parent Company Owners | 13,096,740,479.10 | 13,103,593,054.20 | | Debt-to-Asset Ratio | 45.52% | 44.37% | Consolidated Income Statement In the first half of 2025, total operating revenue reached 7.029 billion CNY, a 28.97% year-on-year increase. Total operating costs were 6.670 billion CNY, up 29.22%. R&D expenses significantly grew by 43.56% to 439 million CNY. Net profit attributable to parent company shareholders was 268 million CNY, an increase of 12.79% Consolidated Income Statement Highlights | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 7,028,730,109.87 | 5,450,027,206.35 | | Total Operating Cost | 6,670,326,670.31 | 5,200,814,216.24 | | R&D Expenses | 438,865,660.69 | 305,703,901.19 | | Total Profit | 351,445,564.64 | 321,188,556.52 | | Net Profit Attributable to Parent Company Shareholders | 267,900,543.30 | 237,525,982.08 | Consolidated Cash Flow Statement During the reporting period, net cash flow from operating activities was 409 million CNY, a 12.26% year-on-year increase, indicating robust core business cash generation. Net cash outflow from investing activities was 829 million CNY, primarily for acquiring fixed and other long-term assets. Net cash inflow from financing activities was 125 million CNY, mainly due to reduced dividend distribution. Period-end cash and cash equivalents decreased by 299 million CNY from the beginning of the period Consolidated Cash Flow Highlights | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 409,143,054.97 | 364,460,390.32 | | Net Cash Flow from Investing Activities | -829,130,490.36 | -847,722,499.81 | | Net Cash Flow from Financing Activities | 125,160,773.91 | -413,434,570.93 | | Net Increase in Cash and Cash Equivalents | -298,575,422.10 | -895,506,435.11 | Summary of Financial Statement Notes The company's financial statements adhere to Chinese Enterprise Accounting Standards, prepared on a going concern basis. Key policies include revenue recognition upon customer control transfer, financial instrument classification based on business model and cash flow characteristics, inventory valuation using weighted average cost and lower of cost or net realizable value, and impairment testing for long-term assets when indicators arise. The company and several subsidiaries benefit from a 15% high-tech enterprise income tax preferential rate - Revenue recognition points: Domestic sales are recognized when goods arrive at the customer's designated location or upon customer acceptance; international sales are recognized when goods are loaded onto the vessel and pass the ship's rail[376] - Financial asset impairment uses the expected credit loss model, with loss provisions for accounts receivable always measured at the expected credit loss over their entire lifetime[267][272] - The company and several subsidiaries, including Jiujiang Tinci, Chizhou Tinci, and Dongguan Tengwei, are recognized as high-tech enterprises, enjoying a 15% preferential corporate income tax rate[424][425] Other Submitted Data Investor Relations Activities During the reporting period, the company actively engaged with investors, conducting multiple investor relations activities in April 2025, including site visits, phone calls, and online platforms, primarily discussing the company's operating performance for FY2024 and Q1 2025 - In April 2025, the company communicated with investors through various channels, including site visits, phone calls, and online platforms, covering the interpretation of the 2024 annual report and Q1 2025 quarterly report[733]