Guizhou Zhenhua New Material Co., Ltd.: history, ownership, mission, how it works & makes money

Guizhou Zhenhua New Material Co., Ltd.: history, ownership, mission, how it works & makes money

CN | Basic Materials | Chemicals | SHH

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A Brief History of Guizhou Zhenhua New Material Co., Ltd.

Guizhou Zhenhua New Material Co., Ltd. was established in 2000 and is headquartered in Guiyang, Guizhou Province, China. The company specializes in the research, production, and sale of new materials, including various composite materials.

In recent years, Guizhou Zhenhua has focused on expanding its production capacity and technological advancements. As of 2022, the company's total assets were reported at approximately RMB 1.3 billion (around USD 200 million), demonstrating significant growth since its inception.

Financial Performance

For the fiscal year 2022, Guizhou Zhenhua reported revenue of RMB 1.5 billion (approximately USD 230 million), marking an increase of 15% compared to the previous year. The company's net profit for the same year was RMB 120 million (about USD 18.3 million), reflecting a profit margin of 8%.

Year Revenue (RMB) Net Profit (RMB) Total Assets (RMB)
2020 RMB 1.1 billion RMB 90 million RMB 1.1 billion
2021 RMB 1.3 billion RMB 100 million RMB 1.2 billion
2022 RMB 1.5 billion RMB 120 million RMB 1.3 billion

Production Capacity and Technological Innovations

The company has invested heavily in production facilities. By 2023, the annual production capacity reached 200,000 tons of composite materials. Guizhou Zhenhua has integrated advanced manufacturing technologies, including automation and digitization, to enhance efficiency.

Research and development remain a cornerstone of its strategy. In 2022, the R&D expenditure was approximately RMB 50 million (around USD 7.7 million), accounting for 3.3% of total sales. The company holds over 30 patents, indicating its commitment to innovation in the materials sector.

Market Position and Expansion Efforts

Guizhou Zhenhua operates in both domestic and international markets. In 2022, around 30% of its revenue was generated from exports, showcasing its competitive positioning in the global landscape. The company has targeted expansion into Southeast Asia and Europe, with plans to increase its production facilities and network by 2025.

The firm has partnered with several academic institutions to advance its research efforts. Collaborations include joint projects aimed at developing environmentally friendly materials, aligning with global sustainability trends.

Stock Performance and Future Outlook

Guizhou Zhenhua is listed on the Shenzhen Stock Exchange, where it has shown consistent growth in its stock price. As of October 2023, shares were trading at approximately RMB 15, reflecting a 20% increase year-to-date. Analysts project further growth, estimating a potential increase in stock value by another 10-15% over the next year, driven by consistent revenue growth and strategic market expansions.

Overall, Guizhou Zhenhua's history reflects a strong commitment to innovation and growth within the materials industry. With increasing demand for advanced materials and recent strategic expansions, the company is poised for continued success in the coming years.



A Who Owns Guizhou Zhenhua New Material Co., Ltd.

Guizhou Zhenhua New Material Co., Ltd. is primarily owned by various institutional and individual shareholders. As of the latest data available, the top shareholders are as follows:

Shareholder Ownership Percentage Type
Guizhou Zhenhua Group Co., Ltd. 34.42% State-owned enterprise
China National Chemical Corporation 15.78% State-owned enterprise
Guizhou Investment Group Co., Ltd. 8.25% State-owned enterprise
Huaan Capital 6.50% Private investment
Individual Shareholders (Various) 35.05% Public

The ownership structure indicates a significant presence of state-owned enterprises, with 60.45% of the shares held by state-related entities, reflecting the strategic importance of Guizhou Zhenhua New Material in the industry.

As of the most recent financial reports, Guizhou Zhenhua New Material Co., Ltd. has consistently shown an increase in revenue, achieving approximately ¥1.5 billion in total revenue for the fiscal year 2022, which was a growth of 12.9% compared to the previous year.

The company's net profit for the same fiscal period was recorded at around ¥320 million, translating to a net profit margin of 21.3%. This demonstrates solid profitability in a competitive sector.

In terms of market performance, Guizhou Zhenhua New Material’s stock price was approximately ¥42 per share at the end of the fiscal year 2022, reflecting a year-over-year increase of 15%. The company’s market capitalization is estimated at around ¥12 billion.

Guizhou Zhenhua has engaged in multiple joint ventures and partnerships, further diversifying its ownership landscape and aligning with major industry players, boosting both innovation and market reach within the new material sector.



Guizhou Zhenhua New Material Co., Ltd. Mission Statement

Guizhou Zhenhua New Material Co., Ltd. focuses on developing advanced new materials with a commitment to sustainability and innovation. Their mission statement reflects their dedication to providing high-quality products while ensuring environmental responsibility. The company aims to become a leader in the new materials industry by leveraging cutting-edge technology and fostering strategic partnerships.

The company specializes in producing and selling industrial-grade new materials, particularly high-performance composite materials. These products are critical in various sectors, including aerospace, transportation, and construction.

In the fiscal year 2022, Guizhou Zhenhua reported revenues of approximately ¥1.2 billion (around $185 million), with a net profit margin of 12%, highlighting its efficient operations and strong market demand.

Fiscal Year Revenue (¥) Net Profit (¥) Net Profit Margin (%) Product Categories
2020 ¥800 million ¥70 million 8.75% Composite Materials, Coatings
2021 ¥1 billion ¥100 million 10% Composite Materials, Adhesives
2022 ¥1.2 billion ¥144 million 12% Composite Materials, Specialty Chemicals

The company's strategic focus includes investing in research and development to enhance product performance and reduce environmental impact. In 2022, Guizhou Zhenhua allocated 15% of total revenues towards R&D initiatives, which translates to approximately ¥180 million.

Guizhou Zhenhua also emphasizes collaboration with academic institutions and industry partners to innovate and improve existing product lines. Their partnerships have led to significant advancements in materials technology, thus aiding their mission to lead the sector in quality and sustainability.

Furthermore, the company has committed to reducing its carbon footprint by 20% over the next five years, aligning with global sustainability targets. This commitment is backed by investments in cleaner production technologies.

Overall, Guizhou Zhenhua New Material Co., Ltd. exemplifies a mission-driven approach focused on innovation, sustainability, and market leadership in the new materials industry.



How Guizhou Zhenhua New Material Co., Ltd. Works

Guizhou Zhenhua New Material Co., Ltd. specializes in the production of new materials, primarily focusing on high-performance aluminum products. The company operates within various sectors including aerospace, automotive, and construction. Its advanced manufacturing capabilities enable the production of lightweight and durable materials that cater to both domestic and international markets.

As of 2022, Guizhou Zhenhua reported a revenue of approximately 3.5 billion CNY, reflecting a growth of 10.5% from the previous fiscal year. Net profit for the same year stood at 400 million CNY, which marked an increase of 12% year-over-year.

Financial Metric 2021 2022 Growth Rate
Revenue (CNY) 3.17 billion 3.5 billion 10.5%
Net Profit (CNY) 357 million 400 million 12%
EPS (CNY) 0.77 0.87 12.99%

The company invests significantly in research and development (R&D) to foster innovation and improve product quality. In 2022, R&D expenditures amounted to approximately 250 million CNY, accounting for 7.1% of total revenue. This investment is critical as the company aims to enhance its competitive edge in the new materials sector.

Guizhou Zhenhua New Material operates multiple production facilities equipped with advanced technology for manufacturing aluminum products. The company's production capacity reached 150,000 tons per year, with plans to increase this capacity by an additional 20,000 tons by 2024 to meet rising demand.

Production Metrics Current Capacity (tons/year) Projected Capacity (2024) (tons/year)
Aluminum Products 150,000 170,000

In terms of market presence, Guizhou Zhenhua New Material exports approximately 30% of its total production across various international markets, including Europe and Asia. The company has established strong partnerships with leading firms to ensure a steady demand for its products.

The stock performance of Guizhou Zhenhua, listed on the Shenzhen Stock Exchange, has shown an upward trend. As of October 2023, the stock price has appreciated by roughly 15% compared to the start of the year. The market capitalization is approximately 8 billion CNY, reflecting investor confidence in the company's growth trajectory.

Guizhou Zhenhua’s strategic initiatives also include sustainability measures aimed at reducing carbon emissions and enhancing energy efficiency in production processes. The company has committed to achieving a 25% reduction in carbon footprint by 2025.

Overall, Guizhou Zhenhua New Material Co., Ltd. continues to strengthen its position within the new materials industry through robust financial performance, commitment to innovation, and strategic market expansion efforts.



How Guizhou Zhenhua New Material Co., Ltd. Makes Money

Guizhou Zhenhua New Material Co., Ltd., specializes in the production of new materials, particularly in the realm of advanced materials for various industries. The company primarily generates revenue through its diverse product lines, which are utilized in several sectors including construction, electronics, and automotive.

In 2022, Guizhou Zhenhua reported a total revenue of ¥1.68 billion (approximately $261 million), a notable increase from ¥1.46 billion in 2021, reflecting a growth rate of 15%.

The company’s product segments can be detailed as follows:

  • Construction Materials: Accounted for approximately 40% of total revenue.
  • Electronics Materials: Contributed around 30%.
  • Automotive Materials: Made up about 25%.
  • Other Products: Consisted of the remaining 5%.
Product Segment Revenue (2022) Percentage of Total Revenue
Construction Materials ¥672 million 40%
Electronics Materials ¥504 million 30%
Automotive Materials ¥420 million 25%
Other Products ¥84 million 5%

The company has strategically invested in research and development, which has allowed it to innovate and enhance its product offerings. In 2022, R&D expenses reached ¥150 million, representing approximately 8.9% of total revenue.

Guizhou Zhenhua's profitability is further emphasized by its gross margin, which stood at 35% in 2022. The net profit margin was recorded at 12%, translating to a net profit of ¥201.6 million.

International expansion has also played a key role in their growth strategy. Exports comprised about 20% of total sales, with significant markets in Europe and Southeast Asia. The company aims to increase its export revenue by 25% over the next five years.

Market trends indicate a growing demand for advanced materials, particularly in green technologies and sustainable construction. This positions Guizhou Zhenhua favorably as it continues to align its product development with emerging market needs.

Overall, Guizhou Zhenhua New Material Co., Ltd.'s revenue generation strategies, product diversification, and commitment to innovation underpin its financial growth and market positioning. With a robust financial standing and proactive market strategies, the company is set to capitalize on future opportunities in the materials sector.

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