Limin Group: net profit +53.5% YoY to USD43.6 million in H1 2020

In H1 2020, Limin Group Co., Ltd. (Limin Group) made revenue of USD379.5 million, up by 144.2% year on year, and net profit of USD43.6 million, up by 53.5% year on year.

Its main products - fungicides including mancozeb, cymoxanil, phosethyl-al, pyrimethanil, and metham - all rank first by sales in China. Its subsidiary Jiangsu Xinhe Agricultural Chemical Co., Ltd. runs the top 1 chlorothalonil production capacity.

In 2019, Limin Group acquired Veyong assets (incl. Hebei Veyong Bio-Chemical Co., Ltd., Hebei Veyong Pharmaceutical Co., Ltd. and Inner Mongolia New Veyong Bio-Chemical Pesticide Co., Ltd.) who run the production lines of insecticides (abamectin and emamectin benzoate), herbicides (glufosinate-ammonium), and several veterinary drugs.

In H1 2020, Limin Group achieved a year-on-year growth of 130.8% in the sales of pesticides, a result of:

- The business expansion after the acquisition of Veyong assets;

- The strong market demand for several products and the subsequent increases in sales volumes.

In H1 2020, Limin Group continued constructing its large-sized projects:

- 500 t/a Difenoconazole project which is expected to be completed in Q3 2020;

- 10,000 t/a EBDC project of its subsidiary which is expected to be put into operation in Q3 2020;

- 500 t/a Emamectin benzoate project of its subsidiary which just started constructing and is expected to be finished at the end of this year;

- The 4th production line of chlorothalonil which is expected to be put into trial operation in Q4 2020.

Table: Revenue and gross margin of main business of Limin Chemical, H1 2020

Source: Limin Chemical