On May 11, Ningde Times New Energy Technology Co., Ltd. (hereinafter referred to as “Ningde Times”, 300750) held an online briefing session on the 2019 annual results. In response to investor questions, Zeng Yuqun, chairman of Ningde Times, said, “The company has its own ‘cobalt-free’ battery technology reserve. At present, research and development is progressing smoothly, and it is looking for ways to improve the supply chain because it is a brand-new and disruptive product. ”
Since Ningde Times announced in February that it will supply Tesla, what kind of batteries will be used in this cooperation has been the focus of market attention. Zeng Yuqun said that the company and Tesla’s technical team had communicated with each other very early, and the delivery time is probably in the second half of this year. The company has corresponding products in lithium iron phosphate and ternary, the supply is not limited to lithium iron phosphate or ternary, the specific supply of products depends on market demand. Jiang Li, deputy general manager of Ningde Times and secretary of the board of directors, also revealed that the company’s cooperation with Tesla is not limited to China.
Regarding the news that partner Tesla will produce its own battery, Zeng Yuqun responded, “Musk told me that Tesla wants to make his own battery. Their technical route will not have an impact on us, and we are discussing how to make the battery better to serve the new energy cause. “
It is worth noting that According to the latest report from market research organization SNE Research, LG Chem, Japan’s Matsushita and Ningde Times ranked first among the global power battery suppliers with 27.1%, 25.7% and 17.4% market shares, respectively. In the first quarter of last year, Ningde Times ranked first in the world with a market share of 23.4%.
In competing with LG Chem and Panasonic Japan, Zeng Yuqun said that for the automotive industry, from joint development of products A, B, and C samples to mass production with customers After 36-48 months, customers generally start the fixed-point in the second sample stage. The fixed-point competition for many projects has ended. We have already achieved results in the fixed-point competition with Panasonic, Samsung and LG in the international market.
In addition, facing the long-term downward trend of new energy power battery unit prices, how will the Ningde era guarantee profit margins? Jiang Li said that the company mainly reduces production costs and raw material costs by improving product performance and energy density, optimizing product design, improving production processes, improving product yield, achieving more efficient automated production, and reaching in-depth cooperation with the industrial chain.
He also mentioned that in terms of CTP, because of the elimination of the battery module assembly link, compared with the traditional battery pack, CTPThe volume utilization rate of the battery pack is increased by 15% -20%, the number of battery pack parts is reduced by 40%, the production efficiency is increased by 50%, and the energy density of the battery pack is also significantly improved, which will effectively reduce the manufacturing cost of the power battery.
Ningde Times was established in 2011. Its business covers the research, development, production and sales of new energy vehicle power battery systems and energy storage systems. It owns power and energy storage batteries including materials , The core technology of batteries, battery systems, and battery recycling. Market research company SNE Research’s 2019 global lithium-ion power battery shipment data shows that Ningde Times ranked first in the world with 32.5 GWh shipments for three consecutive years, accounting for nearly 1/3 of the global market share.
The company ’s 2019 annual report recently revealed that it achieved operating income of 45.788 billion yuan last year, an increase of 54.6% year-on-year; and achieved a net profit of 4.560 billion yuan, an increase of 34.6% year-on-year . Among them, the power battery business is the company’s main source of income. Last year’s revenue was 38.58 billion yuan, a year-on-year increase of 57%, accounting for 84.26% of total revenue. The lithium battery materials business and energy storage business accounted for 9.41% and 1.33% of total revenue with revenues of 4.31 billion yuan and 610 million yuan, respectively.
Closed on May 11, Ningde Times closed at 137.62 yuan / share, down 4.48%.