Asia's largest titanium dioxide company has been reduced by major shareholders by more than 200 million shares!

Recently, the titanium dioxide industry leader Long Yuli (or "company") released a three-quarter report showing that the reporting period of the company achieved operating income of 9.898 billion yuan, up 19.67 percent year-on-year;
of this year, the domestic spot price of titanium dioxide has set off a wave of price increases. According to the financial results, Long Yuli has raised the price of titanium dioxide, its main product, three times on July 11, September 7 and October 12 to

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, despite repeated price increases for titanium dioxide, the gross margin level of the dragon's profit margin is still down from 2019. In the first three quarters of 2020, the gross margin of sales was 38.44 percent, down nearly 4 percentage points from the end of 2019.
" in addition to titanium dioxide upstream raw materials titanium refined ore price increases are larger, since the second half of this year, sulfuric acid and other raw materials prices are also rising, titanium dioxide enterprises have an impact on the profit margins. Industry analysts said.
of these factors in the financial results reflected in the year-to-year increase in operating costs of Long Yuli. The company's operating expenses were 6.09 billion yuan in the first three quarters of 2020, up 30% year-on-year and higher than the 19.7% growth rate in operating income, according to the results. Long said that the company's operating costs during the reporting period increased significantly year-on-year mainly due to the increase in production and sales in the current period.
has been firmly in the domestic titanium dioxide industry leader of the dragon, this year is still continuing to increase the layout of titanium, tantail industry. In August of this year, Long Yuli subscribed to Oriental Yiye (002167. SZ) non-public issuance of no more than 85 million shares, with a total capital of not more than 411 million yuan. In May, Long Yuli invested 700 million yuan to set up a holding subsidiary, Gansu Guotium, and a 700 million yuan capital increase to the holding subsidiary, Yunnan Guotium, and in August, a subsidiary, Gansu Guotium, proposed to transfer 644 million yuan to a piece of titanium plant land, and in September this year, a total of 40 million yuan in physical assets and cash investment to set up two joint ventures.
the move of the upper reaches of the titanium industry chain, the above-mentioned analysts believe that the relevant layout has certain feasibility. "The quality of titanium ore in places like Gansu is not the best, but companies can save money on raw materials if they can master better purification techniques." However, at present, the risk of overcapacity in the titanium dioxide industry is still the same, and related enterprises still need to carry out transformation and upgrading.
For the blood transfusion capital chain, Long Yuli in April this year in a non-public issue of no more than 368 million shares, raising a total of not more than 4,387 million yuan, after deducting the related issuance costs, the funds raised will be used for an annual output of 200,000 tons of chlorinated titanium dioxide production line and other construction projects, supplementary working capital. In addition, the company also reached strategic cooperation with Jinlian Assets, Henan Assets, Xuanyuan Investment, which will provide international capital operation, industrial chain integration, refinancing and other aspects of the listed companies to provide assistance and support.in terms of
liabilities, the ratio of long-term assets to liabilities was 53.35 percent in the first three quarters of 2020, an increase of 7.6 percentage points over the end of 2019, and the balance of monetary funds on the Company's books was 5.005 billion yuan, with a total of 3.98 billion yuan in loans and liabilities to be repaid in one year.
shareholders, in the third quarter, Vice Chairman Tan Ruiqing's shareholding ratio decreased by 0.34% compared with this year's half-yearly report, with a pledge ratio of 12.73 percent, and a reduction of 6.8363 million shares in the current period; Ling reduced her stake by 18 million shares and her shareholding by 0.89%, Wang Zelong, Long Yuli's second-phase employee shareholding plan, and three shareholders of Great Wall of China Management Company all decreased, and Shanghai Gaoyi Asset Management Partnership withdrew from the top ten shareholder seats. Natural person Chen Kaiqiong became the eighth largest shareholder in the new promotion.
statistics show that since 2020, long-term shareholders have reduced their holdings by more than 200 million shares.