Comparison of operation of key enterprises in China titanium dioxide industry and Forecast of industry investment potential

During 2017-2021, Longbai Group has the largest total enterprise assets among the three major enterprises. In 2021, the total assets of LongBai Group reached 45.33 billion yuan, an increase of 30.4% compared with the total assets of the previous year. In 2021, the total assets of titanium dioxide and vanadium titanium shares were 11.19 billion yuan and 10.21 billion yuan, respectively, with a year-on-year growth rate of 36.9% and -22.0%.

From the perspective of net asset size in 2021, from high to low are Longbai Group (18.92 billion yuan), middle-core titanium dioxide (6.96 billion yuan) and Vanadium titanium shares (7.53 billion yuan), with year-on-year change rates of 33.3%, 19.4% and -30.8%.

In 2022, benefit from the domestic paint market in the stock of housing and recoating demand is increasing, downstream real estate, decoration, automotive and other areas of development is in a recovery or stable period, titanium dioxide demand to obtain stability, and because of the rising cost of raw materials and domestic and foreign market demand and other good influence, the domestic titanium dioxide market overall upward trend. Among them, the total revenue of Longbai Group in 2021 was the highest among the three enterprises, at 20.62 billion yuan, an increase of 45.6% compared with the previous year; Vanadium Titanium shares of the total operating revenue of 14.06 billion yuan, year-on-year growth of 33.4%; CNPC’s total revenue in 2021 was 5.37 billion yuan, up 44.6% from the previous year.

In addition, the total operating cost of the enterprise from high to low is Longbai Group, vanadium titanium shares and nuclear titanium white, respectively, 20.62 billion yuan, 14.06 billion yuan and 5.37 billion yuan, year-on-year growth of 37.7%, 23.5%, 24.6%.

In 2022, the net profit attributable to the parent company of Longbai Group is 4.68 billion yuan, the net profit attributable to the parent company of titanium dioxide in China is 1.22 billion yuan, and the net profit attributable to vanadium titanium shares is 1.33 billion yuan.

In 2022, all three companies increased their R&D spending from the previous year. Among them, the R&D investment of Longbai Group was 1.01 billion yuan, an increase of 472 million yuan compared with last year; The R&D investment of titanium dioxide in the core was 149 million yuan, an increase of 48 million yuan year-on-year; Vanadium Titanium shares invested 673 million yuan in research and development, an increase of 259 million yuan. In terms of the proportion of total R&D investment to revenue in 2022, Longbai Group (4.91%), Vanado-Titanium (4.79%), and middle-core titanium Dioxide (2.77%) were ranked in descending order.

By the end of 2022, Longbai Group owned nearly 700 patents in China, including more than 220 invention patents and 460 utility model patents. The company has 19 authorized invention patents and 62 authorized utility model patents. In addition, in 2022, 65 shares of vanadium titanium patents were authorized, including 20 invention patents.