Changhong Polymer(SH:605008)2024-05-21 09:47Group 1: Investment Plans and Technology - The company plans to invest a total of 11.5 billion CNY in an acrylic acid project, with the first phase involving an investment of 600 million CNY due to current catalyst production capacity limitations, supporting an annual output of 50,000 tons of acrylic acid [3][4] - The company will utilize a propane one-step oxidation method for acrylic acid production, which is more cost-effective compared to the traditional two-step method using propylene, resulting in lower equipment investment, cheaper raw materials, and reduced energy consumption [3] Group 2: Market Demand and Growth Potential - Acrylic acid is a key organic synthesis raw material, with demand driven by industries such as construction, textiles, packaging materials, and hygiene products, particularly in the production of superabsorbent polymers (SAP) [3] - The demand for acrylic acid esters has been increasing, with growth expected in high-purity acrylic acid due to rising needs for high water-absorbent resins and environmental policies promoting water-based products [3] Group 3: Financial Strategy and Performance - The first phase of the acrylic acid project will be financed through self-raised funds, with future financing planned through bank loans and capital market financing, alongside cash flow generated from the project [4] - In Q1 2024, the company reported a significant revenue increase of 105.36% year-on-year, with a net profit growth of 88.42% after excluding non-recurring items, indicating a recovery in performance [4]