Financial Report on Hubei Xingfa Chemicals Group Co Ltd

Date of Publication: 2025‑10‑21
Ticker: 600141.SH
Market: Shanghai Stock Exchange
Currency: CNY

1. Production Capacity of Yellow Phosphorus

  • Current annual capacity: 170,000 t (17 万吨/年).
  • Utilisation rate: 70%–80% of the capacity is consistently in use, indicating a stable operational level.
  • Strategic outlook: The company plans to expand its product portfolio by synchronously launching a super‑pure yellow phosphorus (yellow phosphorus) project and a phosphorus pentasulfide (P₂S₅) project in the next fiscal year.

2. Super‑Pure Yellow Phosphorus Project

  • Target capacity for the next year: 30,000 t (3 万吨/年).
  • Technological foundation: The company has developed a solid‑state electrolyte pilot process for lithium‑sulfur batteries and has mastered industry‑leading purification technology for super‑pure yellow phosphorus.
  • Material requirements: Key raw materials include lithium sulfide and phosphorus pentasulfide.

3. Engagement with Academic Research

  • Collaboration with Fudan University: The company acknowledged a milestone breakthrough by the Fudan University research team, who successfully fabricated the world’s first two‑dimensional silicon‑based hybrid flash memory chip.
  • Implication for the company: Xingfa will leverage the compatible fabrication technology demonstrated by the university to strengthen its own research and development efforts in two‑dimensional electronic devices, especially in black phosphorus‑based chips.

4. Corporate Governance

  • Shareholding activity: On 2025‑10‑20, a notice was released regarding the purchase of additional shares by certain directors and senior executives of Hubei Xingfa Chemicals Group. The announcement can be accessed at the provided link (https://stockmc.xueqiu.com/202510/600141_20251021_AVF5.pdf) .

5. Market Context

  • Share price (as of 2025‑10‑19): 26.91 CNY.
  • 52‑week range: 19.24 CNY – 31.38 CNY.
  • Market capitalization: 29.6 billion CNY.
  • P/E ratio: 19.99.

The company’s primary product line—yellow phosphorus, glyphosate, phosphorus trichloride, phosphoric acid, and related chemicals—is distributed to the United States, Japan, Brazil, and Vietnam. Its strategic expansion into high‑purity phosphorus and advanced battery materials positions it favorably within the growing global demand for specialty chemicals used in energy storage and electronics.