TINCI(SZ:002709) 3 6 Ke·2025-10-27 04:18Core Insights - The article discusses the journey of Tianqi Materials, highlighting its evolution from a small player in daily chemical materials to a leading company in the lithium battery electrolyte market, driven by strategic decisions and market dynamics [1][3][4]. Company Development - Xu Jinfeng, the founder of Tianqi Materials, initially ventured into entrepreneurship in the 1980s, focusing on daily chemical products and later pivoted to high-tech materials, establishing Tianqi Materials in 2000 with an investment of 5.1 million yuan [1][3]. - The company became a hidden champion in the domestic daily chemical raw materials sector, securing contracts with major international brands like Procter & Gamble and L'Oréal [3]. - In 2011, Tianqi Materials became the first domestic company to achieve large-scale production of lithium hexafluorophosphate, breaking the long-standing monopoly held by Japanese and Korean firms [4]. Market Dynamics - The demand for lithium battery electrolytes surged with the growth of the electric vehicle industry, leading to significant revenue growth for Tianqi Materials, with sales to CATL increasing from 457 million yuan in 2018 to 997 million yuan in 2020 [5]. - By 2022, Tianqi Materials reported peak revenues of 22.32 billion yuan and a net profit of 5.714 billion yuan, benefiting from strong demand and strategic partnerships [7]. Price Fluctuations - The electrolyte market faced a downturn in 2023 due to oversupply and intense price competition, with lithium hexafluorophosphate prices plummeting from a peak of 590,000 yuan per ton to below 60,000 yuan [8][9]. - Tianqi Materials' net profit dropped significantly, from 5.714 billion yuan in 2022 to 1.891 billion yuan in 2023, reflecting the impact of falling prices on profitability [8][9]. Recovery Signs - In 2024, there are indications of recovery, with lithium hexafluorophosphate prices rebounding to 73,800 yuan per ton, driven by strong demand in the battery sector [10][11]. - The company reported a revenue increase of 28.97% in the first half of 2024, with net profit rising by 12.79% compared to the previous year [11]. - Significant long-term contracts, including an agreement with Ruipu Lanjun for 800,000 tons of electrolyte products, have bolstered Tianqi Materials' market position [12]. Strategic Moves - Tianqi Materials is pursuing a listing on the Hong Kong Stock Exchange, aiming to enhance its capital base and expand its international market presence [12]. - The company is focusing on increasing exports as the domestic electrolyte market becomes saturated, indicating a strategic shift in its business model [12].