The hottest raw materials rose, and the performanc

Raw materials rise paper companies' performance differentiation in the third quarter

with the rising cost of pulp and imported waste paper and the overall decline in demand, the profit space of the paper industry in the third quarter is being compressed. However, companies with upstream self-made pulp business and high prosperity of paper varieties still showed good risk resistance and profitability

this has been well reflected in the third quarter report and performance forecast released by the paper company. The performance of Meili Paper, Qifeng Co., Ltd. and St Yizhi paper fell year-on-year, while the performance of Shanghai Lvxin, Annie Co., Ltd. and Guanhao High Tech Co., Ltd. rose year-on-year

Meili Paper achieved software speed adjustment performance in the third quarter, continuing the market of increasing revenue without increasing profit in the first half of the year. Although the company's operating income increased slightly by 6.4% year-on-year, its net profit decreased by 4.98%. The company has previously said that the rising price of raw materials and the increase in financial expenses are important reasons for the poor profitability of the company. According to the third quarterly report released by Qifeng shares yesterday, the cumulative net profit of the company in the first three quarters fell 59.84% year-on-year, also due to the sharp rise in raw material prices. St Yizhi disclosed on the 22nd that it is expected that there will be serious losses in the first three quarters of this year, and the company's overall relocation and shutdown have greatly affected its production and operation

although the appreciation of RMB is beneficial to the domestic paper industry, which is heavily dependent on imports of raw materials, after the centralized expansion since last year, the overall price of paper products is declining, while the prices of raw materials such as pulp and imported waste paper continue to be high, and the profit space of the industry is being compressed. Huang Fan, a researcher at Dongguan securities, believes that, on the one hand, domestic paper production capacity was put into centralized use in the first half of the year, and market competition was intensifying; On the other hand, the overall demand of the industry fell significantly. In September, the peak consumption season, the price of finished paper fell slightly. Relevant data of China paper also shows that since the middle of last year, the prices of various varieties of coated paper have fallen from a high of 7500-8000 yuan/ton to 6000-6500 yuan/ton, and there is still a downward trend, while the price of double offset paper has also fallen by nearly 15%

in this context, with innovation as the support department, Gongxin Tongling has increased the elimination target of backward production capacity in the paper industry, which will be beneficial to leading companies in the industry. The elimination target of backward production capacity in the paper industry proposed by the Ministry of industry and information technology in 2011 was 7.445 million tons, an increase of 72% over 4.32 million tons in 2010, and the elimination amount accounted for 7% to 8% of the existing production capacity. The industry believes that paper companies with upstream self-made pulp business and high variety prosperity can more effectively control product production costs in the case of changes in pulp market prices. In the third quarter, the performance of three listed companies, Shanghai Lvxin, which is mainly engaged in high-end packaging paper, Annie shares, which is mainly engaged in special paper, and Guanhao high tech, increased year-on-year

China Merchants card has a strong technological competitive advantage. According to Wang Xudong, a researcher of China Merchants card, in addition to the situation of white cardboard used in high-end packaging and with rigid consumption attributes, the price pressure of coated paper and cultural paper is the greatest, and the prospect is that the test pieces need to be tested for the second time. Huang Fan holds a similar view. He believes that because household paper is a necessity of life, its price elasticity is small, and its ability to transfer costs to the downstream is strong, it is expected that the future prosperity will be the highest; After the major paper-making enterprises increased their production capacity in the early stage, packaging paper is currently in a pattern of booming supply and demand; The demand for writing paper, coated paper and paper is generally weak due to the change of reading habits