JINHONG GAS(SH:688106)2024-08-26 07:37Company Overview - Jin Hong Gas Co., Ltd. was established in 1999 and listed on the Sci-Tech Innovation Board in 2020 with stock code 688106, specializing in integrated gas solutions for research, production, sales, and services [1] - The company adheres to a vertical and horizontal development strategy, focusing on technology to provide innovative and sustainable gas solutions, aiming to be a leader in the gas industry [2] Financial Performance - In the first half of 2024, the company achieved a revenue of CNY 1.232 billion, representing an increase of 8.65% compared to the same period last year [2] - The net profit attributable to shareholders was CNY 160 million [2] - As of June 30, 2024, total assets amounted to CNY 6.742 billion, with net assets of CNY 3.414 billion [2] Project Updates - The company has made progress in its electronic bulk gas projects, with Xiamen Tianma and Wuxi Huaren projects starting gas supply in Q1 and Q2 of this year, respectively [2] - The Suzhou Longchi project is in the acceptance phase, while the Wuhan Changfei project is expected to start gas supply by the end of this year [2] Core Competencies - The company’s large-scale on-site gas production team possesses extensive experience in similar business development and management, enhancing its competitive edge [3] - It employs standardized procurement practices, allowing for effective collaboration with suitable manufacturers, thus improving project competitiveness [3] Future Plans - The company plans to increase investment in on-site gas production, focusing on high-quality clients to ensure business stability and leverage cash flow for steady growth [4] Market Challenges - The decline in gross margin for specialty gases is attributed to fluctuations in product margins, particularly for nitrous oxide and helium, influenced by market conditions and geopolitical factors [4][5] - In the first half of 2024, helium sales reached approximately CNY 50 million, with low gross margins due to oversupply in the market [5] Industry Revenue Breakdown - In the first half of 2024, revenue from the photovoltaic industry accounted for approximately 13% of total revenue, while the semiconductor industry contributed 33%, with the integrated circuit sector exceeding 12% [6]