Lianhe technology achieves usd25.7 million in net profit of h1 2012


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Lianhe Technology achieved USD25.7 million in net profit of H1 2012, according to CCM’s January Issue of Herbicides China News.

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Lianhe technology achieves usd25.7 million in net profit of h1 2012

  1. 1. Lianhe Technology achieves USD25.7 million in net profit of H1 2012Summary: Lianhe Technology achieved USD25.7 million in net profit of H1 2012, accordingto CCM’s January Issue of Herbicides China News.Tag: herbicide, pesticide, herbicide inudstry, export, prospect, supply/demand, priceLianhe Chemical Technology Co., Ltd. (Lianhe Technology) issued its semi-annual report by theend of July 2012, which showed the companys nice performance in the first half of 2012. Itsdetailed in the report that Lianhe Technology gained about USD25.7 million (RMB163.3 million) innet profit of H1 2012, achieving a year-on-year growth of 26.17%. And the total revenue touchedUSD232.9 million (RMB1,481.9 million) with the year-on-year growth of 20.15% in the meantime,according to CCM’s August Issue of Herbicides China News.It can be said that Lianhe Technology achieved the growth plan smoothly in H1 2012, and thecompany also confirmed this itself. With current promising development, Lianhe Technologyexpects to maintain a continuous growth in net profit of Q3 2012, and then to complete the growthplan of 20%~50% year on year in the first three quarters of 2012.In a move to meet the sustainable growth in net profit of the whole 2012, Lianhe Technologyexpressed early in its 2011 annual fiscal report that the company will still keep aggressivebehavior and sensible strategy in 2012. In the reporting period of 2011 annual report, LianheTechnology witnessed a growth of 45.01% and 30.13% year on year in net profit and revenue toUSD46.3 million (RMB294.3 million) and USD403.7 million (RMB2,568.0 million) respectively.Its observed actually that Lianhe Technologys core competitiveness and profit growth pointsfocus on intermediate manufacture covering pharmaceuticals and pesticides, especially thecustomized manufacture. And Lianhe Technologys rapid development these years is primarilydriven by the intermediate manufacture. According to the semi-annual 2012 report, theaccumulative revenue of two intermediate manufacture businesses accounted for approximately61.1% of the total revenue in Lianhe Technology of H1 2012. Besides, two intermediatemanufactures of pharmaceuticals and pesticides could meet gross margins of 37.67% and41.94% respectively in the first half of 2012.Meanwhile, Lianhe Technology expects to expand its industrial chain to downstream sectors suchas pesticide technical manufacture all the time for the sustainable growth. Thus LianheTechnology puts continuous efforts to establish new manufacture these years in pesticidetechnical, which cover mostly herbicides such as clomazone, cyhalofop-butyl, fomesafen and soforth. In the recent past, Lianhe Technology pushed the establishment of 300t/a carfentrazone-
  2. 2. ethyl technical manufacture. (Herbicides China News 1106: Lianhe Technologys carfentrazone-ethyl capacity runs smoothly)And its noteworthy that the manufacture of these new herbicides aims at novel herbicides suchas cyhalofop-butyl. Its understandable that these novel herbicides and even the patentedproducts can provide relatively high added value and profit margin for Lianhe Technologysmanufacture. Its predicted further that the company will continue to develop new manufacture innovel pesticides. In Lianhe Technologys herbicide registration list, its observed that three newbreed herbicides were registered by the company in recent two years, namelyaminocyclopyrachlor, fluthiacet-methyl and metamifop.In addition, Lianhe Technology also endeavors to expand raw material manufacture nowadays. Inother words, stable material supply will cut down manufacture cost directly. Hence, LianheTechnology accomplished the 100% acquisition of Shandong Pingyuan Yongheng ChemicalsCo., Ltd. in H1 2012 so as to grab 20,000t/a phosgene capacity. According to LianheTechnologys semi-annual 2012 report, the phosgene plant is under construction at present.Its analyzed in terms of sales region that Lianhe Technology is always inclined to exportbusiness. Among its export destinations, its observed that the regions where the developingcountries centralize play a key role. In H1 2012, the revenue in Asia approached USD22.5 million(RMB143.0 million), toping over that in other regions.Coupled with macro economy thriving gradually in the developing countries such as Brazil andIndia, Lianhe Technology will be able to meet the promising markets of pesticides andintermediates undoubtedly. Of course, Lianhe Technology also needs to grab relevant chancesand avoid probable risks regarding environmental problems, market fluctuation, global economicchanges and so forth.Lianhe Chemical, listed in 2008, is mainly engaged in chemical production such as intermediatesof medicine and pesticides. Especially, Lianhe Chemicals customized manufacturing services forvarious industries including pharmaceuticals, pesticides and other fine chemicals are thecompanys remarkable characteristics. The company maintains rapid development these yearswith the improving performance.Source: Herbicides China News 1208
  3. 3. Content of Herbicides China News 1208:Lianhe Technology achieves USD25.7 million in net profit of H1 2012Good Harvest-Weien seeks new growth in herbicidesJiangsu Changqing plans 2,000t/a dicamba technical constructionLimin Chemical pushes mesotrione businessHefei Xingyu prepares oxadiazon technical expansionJiangsu Yunfan enhances oxyfluorfen productionGlyphosate arouses investors expectation in stock market in H2 20122,4-D dwarfs MCPA in ChinaPropisochlor approaches deadline in EUDomestic manufacturers keep optimistic about trifluralinNantong Jiangshan meets flat phosphorus trichloride manufactureShandong Dehao maintains atrazine productionJiangsu Luye taking the trial run of 300t/a propyzamide production lineYancheng South plans to launch 100t/a orthosulfamuron technical projectZhejiang Bosst tops clodinafop-propargyl manufacturersHerbicides China News, a monthly publication issued by CCM International on 15th of everymonth, provides you with the latest occurrences, exclusive analysis on the market trend as wellas professional reviews on competitiveness of companies, products and relative industries inChina’s herbicide industry.About CCMCCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staffof more than 150 dedicated highly-educated professionals. CCM offers Market Data, Analysis,Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its newproprietary product ValoTracer.For more information, please visit International Ltd.Guangzhou CCM Information Science & Technology Co., Ltd.17th Floor, Huihua Commercial & Trade Mansion, No.80 Xianlie Zhong Road, Guangzhou510070, ChinaTel: 86-20-37616606
  4. 4. Email: econtact@cnchemicals.comSource: