Huading Nylon(SH:601113) Zheng Quan Shi Bao Wang·2025-04-14 13:20Core Viewpoint - Huading Co., Ltd. reported a significant decline in revenue for Q1 2025, while net profit showed growth, indicating a mixed financial performance amidst ongoing investments in capacity expansion and product differentiation [1][2]. Financial Performance - For Q1 2025, Huading Co., Ltd. achieved revenue of 1.16 billion yuan, a year-on-year decrease of 44.5% - The net profit for the same period was 94.49 million yuan, reflecting a year-on-year increase of 17.3% - The non-recurring net profit was 88.26 million yuan, up 22.3% year-on-year [1]. Business Expansion and Investment - The company plans to invest 2.738 billion yuan in a project to construct a 200,000-ton PA6 functional nylon filament production facility - The project is expected to be completed in five years, divided into two phases: the first phase will produce 100,000 tons over three years, and the second phase will also produce 100,000 tons over two years [1][2]. Market Trends and Product Development - The market for high-quality differentiated PA6 nylon filaments is expanding, driven by increasing consumer demand for features like UV resistance and moisture-wicking - Huading Co., Ltd. is focusing on customized products to penetrate mid-to-high-end markets, including sportswear and functional outdoor clothing [2]. - The company has initiated two additional nylon filament projects with a total investment of nearly 2 billion yuan, aimed at enhancing production capacity [3]. Production and Sales Data - In 2024, Huading Co., Ltd. produced 303,900 tons of nylon filament, a year-on-year increase of 17.56%, with sales reaching 300,900 tons, up 11.9% - For Q1 2025, the production of nylon 6 filament was 69,300 tons, with sales of 62,000 tons and sales revenue of 1.133 billion yuan [1][3].