Packaging / Advertising & Office

A few days ago, companies in the paper industry in mainland China and Taiwan have announced their performance reports for the first half of the year. Judging from the currently published financial data, the increase in net profit of paper companies in the mainland is significantly higher than that of the three paper manufacturers in Taiwan, with the highest increase reaching about 3 times, and the lowest at about 1 times. It can be seen that the continuous increase in paper prices in the first half of the year has laid a very solid foundation for the profits of paper companies.

Among them, Chenming Paper expects that the net profit attributable to shareholders of listed companies in the first half of the year will be 2 billion to 2.1 billion yuan, an increase of 287% to 307% over the same period of the previous year. The company pointed out that its performance changes were due to the improvement in the prosperity of the paper industry, and the company's main paper grade prices rose year-on-year, and the price increase benefits were obvious. During the reporting period, revenue and profits achieved substantial year-on-year growth. As the price of wood pulp rises, the cost advantage brought by the company's pulp-paper integration strategy is outstanding, which further enhances the company's profitability.

Huatai Paper’s performance announcement shows that it expects to achieve a net profit of about 530 million to 580 million yuan attributable to shareholders of listed companies in the first half of 2021, a year-on-year increase of about 90%-110%. The main reason is that the prices of newsprint, cultural paper, coated paper and other products have risen compared with the same period last year, and the profitability has increased.

Forest Packaging Group Co., Ltd. expects to achieve a net profit attributable to shareholders of listed companies of 120 million to 145 million in the first half of 2021, an increase of 112.22%-156.43% compared with the same period of the previous year. The main reason for this is that in the first half of 2021, the company organized production according to market demand, and the volume and price of its main products increased compared with the same period last year.

Jingxing Paper expects to achieve a net profit attributable to shareholders of listed companies of approximately 234 million to 278 million yuan in the first half of 2021, an increase of 110%-150% compared to the same period last year. The main reason is that the company organizes production according to market conditions, and the volume and price of main products have risen. At the same time, the company further strengthens lean management, rationally implements raw material procurement, controls production costs, and improves production and operation. Industrial cardboard blocks realize revenue and net profit. Double growth.

In addition, Xianhe Co., Ltd. expects to realize a net profit of 590-630 million yuan attributable to shareholders of listed companies in the first half of 2021, a year-on-year increase of 108.90%-123.06%. The main reason is that the company uses its own characteristics of highly flexible production to actively adjust the product business structure, so that the company's SKU will be further optimized in 2021. The production capacity of high-margin products is gradually increasing while the production capacity of low-margin products is gradually controlled, and product flexibility The adaptability to the market has been greatly enhanced, and the comprehensive scale benefits of the paper-based functional materials industry have gradually become prominent...

A few days ago, Taiwan's industrial paper Sanxiong officially released its June performance, which exceeded expectations. Among them, Yongfeng Yu Investment Control's revenue in June, the second quarter and the first half of the year reached new highs at the same time. Benefited from the assistance of its two Golden Rooster mothers, Yongfeng Yugong Paper and Shenfeng Yingcai, Yongfeng Yu’s June revenue was NT$7.462 billion. Increased by 35.4%, revenue in the second quarter was NT$22.55 billion; cumulative revenue for the first half of the year was NT$43.865 billion, an annual increase of 30.79%, a significant increase of more than NT$10 billion in revenue over the same period last year.

Rongcheng benefited from the increase in the price and volume of industrial paper cartons on both sides of the strait. June revenue was NT$4.925 billion, an annual increase of 39.36%, and net profit before tax was NT$572 million, a monthly increase of 82%. The single-month pre-tax surplus reached the first place. Nearly 90% of the quarter; accumulated revenue of NT$25.103 billion in the first half of the year, an annual increase of 50.95%, and net profit before tax of NT$1.684 billion.

In addition to the full capacity of the Taiwan region, Zhenglong is rushing the market. Relying on the growth of revenue from the mainland and Vietnam, it also drives the group's June revenue to 3.892 billion Taiwan dollars, an annual increase of 9.49%. The cumulative revenue for the first half of the year is 21.829 billion Taiwan dollars, an increase 17.03%, breaking through the 20 billion New Taiwan dollar mark in one fell swoop.

With the recovery of the European and American industries and the economic expansion, unblocking business opportunities broke out and opened up a booming buying model, which drove the strong pull of production bases in Asian countries, especially orders from the United States, which was described as the largest inventory replenishment action by local retailers. All are fully loaded with production.

Let’s look at the market in Taiwan Province. Since the beginning of this year, the housing economy has driven the demand for online home delivery packaging to continue to increase. In particular, it has entered the third level of alert and has a good harvest since May. The overall packaging sales in the first six months have increased by more than 10%. Packaging toilet paper, fruits and vegetables, etc. At the same time, people go out to buy take-out, which promotes a significant increase in the use of paper boxes, bags, bags and other packaging paper. Huazhi, a subsidiary of Yongfengyu, will also benefit.

Due to the shocking rise in the price of various raw materials for papermaking, the current imported waste paper has risen above US$300 per ton. Paper prices in China and Vietnam can immediately reflect the international market. The price of paper in Taiwan has also risen successfully twice, entering high paper prices. In the price era, the paper industry is the biggest beneficiary group. Paper mills said that due to the epidemic and shipping this year, the peak seasons of Europe, the United States, and China all began to pull goods earlier in the second half of the year. It is expected that the revenue growth rate in the second half of the year will increase month by month and continue to reach new highs.