JCF(SZ:000420) Ge Long Hui A P P·2025-05-20 03:26Core Viewpoint - The recent share reduction by major shareholder Shanghai Fangda has caused significant market turbulence for Jilin Chemical Fiber, leading to a sharp decline in stock price after a period of strong performance [1][6]. Shareholder Actions - On May 16, Shanghai Fangda reduced its stake in Jilin Chemical Fiber by 1%, selling 24.59 million shares, which decreased its holding from 7.95% to 6.95% [3][6]. - The reduction occurred during a sensitive period when the company's stock had experienced a "4 days 3 boards" surge, raising concerns about short-term liquidity and investor sentiment [6]. Financial Performance - Jilin Chemical Fiber reported a revenue of 3.883 billion yuan in 2024, a 3.93% increase from 2023, but the net profit decreased by 13.90% to 277.13 million yuan [7][10]. - The company faced challenges in its product segments, with a 100% decline in revenue from viscose short fibers and a 12.59% drop in carbon fiber product revenue [7][10]. Market Dynamics - The company has been impacted by a downturn in the viscose short fiber industry, which has affected the entire textile supply chain [8]. - Despite a recovery in the viscose fiber market and a rise in sales prices, the overall profitability has not improved significantly [7][11]. Future Outlook - The ability of Jilin Chemical Fiber to achieve stable net profit growth will depend on market conditions and the effectiveness of its strategic initiatives [11].