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China Heart to Heart (01866.HK) held its 2021 financial results presentation successfully. Author/Source: Date: 2022-03-29 Clicks: 21 As of December 31, 2021, the group achieved operating revenue of approximately RMB 16.815 billion, a 61% increase on a year-on-year basis； Pre-tax profit was approximately RMB 2.176 billion, representing a year-on-year increase of 245% ； The net profit was approximately RMB 1.769 billion, representing a year-on-year increase of 238% ； The net profit attributable to the parent company was approximately RMB 1.294 billion, representing a year-on-year increase of 272%. During the review period, as the pandemic persisted and recurred, coupled with disruptions in global supply chains and soaring prices of energy and food, demand for domestic fertilizer and petrochemical-related products increased, along with rising prices for these products in 2021. The third production facility in Jiujiang, Jiangxi was successfully put into operation in February 2021. The renovation and upgrading projects for the second and third fixed-bed plants of the group in Xinxiang, Henan were also completed and brought online in the fourth quarter of 2021. As a result, the group’s production capacity and efficiency reached new milestones, leading to record-level revenues and profitability. Among them, the sales revenue from urea increased by 61% on a year-on-year basis, reaching approximately RMB 4.959 billion ； Revenue from compound fertilizers increased by 19% year-on-year, reaching approximately RMB 3.754 billion ； Sales revenue from methanol increased by approximately 242% on a year-on-year basis, reaching around RMB 1.759 billion ； Sales revenue from dimethyl ether increased by 92% year-on-year, reaching approximately RMB 1.439 billion ； Sales revenue from melamine increased by 94% year-on-year, reaching approximately RMB 1.206 billion ； The sales revenue from furfuryl alcohol products increased by 59% year-on-year, reaching approximately RMB 835 million. Since 2022, international oil prices have continued to rise, leading to an increase in the prices of basic raw materials. This rise in raw material costs has provided strong support for the prices of fertilizers in China. Furthermore, due to the ongoing impact of the pandemic, global food prices have risen, which has led to an increased emphasis on food security and agricultural development. The rising demand for fertilizers in agriculture means that their prices will remain high. At the same time, various domestic policies will support the high-quality operation of the market, drive up the prices of high-end agricultural products, and thus increase the use of high-end fertilizers. As a promoter of high-efficiency fertilizers, the group will further drive sales growth. In the chemical products market, influenced by the \"dual carbon\" policy and increasingly stringent domestic environmental regulations, there is accelerated integration within this sector. Our group will leverage the advantages of its industrial parks, adhere to green and environmentally friendly practices, and vigorously develop fine chemicals in order to achieve high-quality and comprehensive development. Looking to the future, Mr. Liu Xingxu, Chairman of China Heart to Heart, said that as one of the leading enterprises in this industry, the group will leverage its advantages in having production bases to enhance product flexibility, optimize its product portfolio, and increase efforts in the research and development of high-efficiency fertilizers. It will also actively work to \"extend, supplement, and strengthen\" the industrial chains based on the characteristics of its three production bases. At the same time, with the commissioning of the upgrade and renovation projects for the second and third factories, the group has fully adopted advanced production processes, thereby gaining even greater advantages in terms of technology and low costs. Next, the group will make full use of the new **policies, seize the opportunities presented by high-quality development, accelerate its transformation and upgrading within the new development framework, and further enhance its profitability and market competitiveness, thereby achieving long-term, stable, and sustainable development.