On August 18th, JSSX Advanced Materials Technology Group, a leading manufacturer of optical and functional film materials in China, released a 2020 semi-annual report, stating that the company achieved revenue of 2.15 billion yuan in the first half of the year, an increase of 3.45% over the same period of the previous year; The net profit of shareholders of listed companies was 232 million yuan, a year-on-year increase of 190.55%. The company expects to achieve a net profit of 400 million to 440 million yuan from January to September this year, an increase of 200% to 230% over the same period last year.
During the reporting period, the company's performance increased significantly, mainly due to the increase in customer order demand and the full production of projects under construction. In an interview with Hay Think, a person from the company said: “The company’s construction project has been prepared for several years. After passing the construction period, installation period, and product sample period, the new production capacity has been released this year, and it has driven the company. Performance growth."
Double Star New Materials, which landed on the capital market in 2011, was originally mainly engaged in the research and development, production and sales of advanced polymer composite materials such as polyester film, aluminized film, and PVC functional film. In recent years, the company has refined five major business segments around strategic emerging industries: optical materials, energy-saving window film materials, variable information materials, heat shrinkable materials and new energy materials.
In the past three years, the growth rates of the five emerging industry sectors of JSSX have all been above 40%, and the market share of each sector has formed a leading advantage in segmented areas. The market share of core products of each business segment in 2019 are: the domestic market share of optical materials segment reaches 15%, the global market share of variable information materials segment exceeds 50%, the global market share of new energy materials segment exceeds 25%, and the energy-saving window film segment The global market share is nearly 40%.
From the perspective of product revenue, in the first half of this year, the company’s polyester functional film and optical material film products achieved revenues of 925 million yuan and 699 million yuan respectively, accounting for 43.13% and 32.57% of total revenue, which are the company’s main sources of revenue. ; New energy material film, variable information material film, and heat shrinkable material film accounted for 12.33%, 5.70%, and 5.87% respectively. From the perspective of product profit, the company's variable information material film performed well in the first half of the year, with a gross profit margin of 42%; its related products include TTR carbon tape film, IM base film, laser screen film, etc., satisfying touch panels, mobile phones, printing The urgent needs of ribbons and other fields are at the leading level in the industry.
It is worth mentioning that the company's share of optical materials is gradually increasing in recent years. During the reporting period, the number of customer orders for the company's optical film segment increased steadily, and orders from domestic brand customers continued to increase. Domestic first-line brands such as Hisense, Xiaomi, and BOE successfully bid for a bid in 2020. In the international market, the company's optical film has become the only global strategic cooperative supplier of Samsung VD optical film, and orders have grown steadily. Optical substrates have been supplied to LG companies.
According to the analysis of CITIC Construction Investment Research Report, the total global demand for optical films is 300 million square meters, with an overall value of 5 billion yuan, and Samsung's demand accounts for 60% of the global market share. Shuangxing New Materials has cooperated with Samsung for many years. It is expected that the penetration rate of composite membrane products will reach 30% in 2020, and the penetration rate will reach 60% soon in the future. In addition, the company has obtained bidding projects for domestic brands and foundries such as Xiaomi and BOE. Through in-depth cooperation with major international and domestic customers, the company's optical materials' share in the international and domestic markets will increase significantly.
Talking about the industry development prospects of optical materials, Pan Helin, Executive Dean of the Institute of Digital Economy, Zhongnan University of Economics and Law, said in an interview with Hay Think: “The main application of optical materials is the display screen of consumer electronics. In terms of market demand, With the advent of the'screen reading' era, the demand for optical materials for touch screen materials will steadily increase in the future. Especially with the advent of the 5G era, all things will be interconnected, and more and more screens will be connected to the network. LCD, smart Mobile phones, touch panels, etc. all need such materials, so the market demand for optical materials will be even greater in the future."
"Of course, optical film is a relatively mature polymer material industry. In addition to the technical threshold, the more important thing is the scale of the company in the industry. The top scale is an important prerequisite for such companies to excel in the industry." Pan Helin added. .