Skip to main content
Sister Publication Links
  • Middle East Foam & Polyurethane
  • UTECH Asia/PU China
  • UTECH Europe
  • UTECH Las Americas
Subscribe
  • My Account
  • Login
  • Subscribe
  • Ukraine
  • News
    • Asia
    • Americas
    • Europe
    • M & A
    • Financial results
    • Automotive
  • Data
  • Information
    • Country Overview
    • Market Sector overviews
    • Technical articles
    • Company profiles and strategies
  • Events
    • Exhibitions
    • Conferences
    • Webinars / Livestreams
    • Become a Speaker
  • Advertise
  • Contact Us
  • Issues
  • Subscribe
MENU
Breadcrumb
  1. Home
  2. News
October 09, 2017 12:00 AM

Faux leather maker Anli sees profit keep sliding in H1 2017

Jane Ho
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    Hefei, Anhui – Anli posted a 91% drop in net profit to CNY 3 m ($451,000) in the first half of 2017, following a similar rate of decline in the first quarter.

    The company’s revenue in H1 rose by 3% to CNY 691 m, of which 87% comes from PU faux leather, said its half year report.

    In the wake of China’s tightened environmental regulation, prices of chemical feedstock – accounting for half of Anli’s total cost – and energy jumped up to 50% during the period, said the report. The company continued that it was unable to raise its products’ prices enough to counter the impact because the downstream market was stagnant .

    Anli’s own environmental investments, including CNY 30 m for wastewater treatment and CNY 80 m to change from coal to gas power in line with  local regulations, further dragged down its profitability.

    The company’s gross margin for PU leather in H1 fell by 4% to 22%.

    By the end of H1 Anli had 80 M m/year PU leather capacity, and is looking at 88.5 M m/year for PU leather and 70kT/year for PU resin when all ongoing projects are in full operation.

    The company worries ‘the market won’t be able to well digest its capacity,’ said the report.

    Recommended for You
    Hexion
    Hexion’s “safer” alternative to 2-ethylhexanoic acid meets ECHA demands
    A smiling executive wearing a suit and tie, standing in front of the Pearl Polyurethanes Systems logo.
    Pearl expands into Egypt, appoints regional sales head
    Lab testing of mattresses
    Second US lab gets CertiPUR approval
    Latest Issue
    UTech April/May 2023
    Get the latest edition here
    View All Archives
    Get our newsletters

    Breaking news and in-depth coverage of essential topics delivered straight to your inbox.

    Subscribe today

    Register to access our archive of leading information on the polyurethanes industry.

    Subscribe now
    Connect with Us
    • Twitter
    • LinkedIn
    • Facebook
    • Youtube

    Follow us on social media for the latest polyurethanes industry news and event updates.

    Logo
    Contact Us

    Crain Communications
    11, Ironmonger Lane
    London
    EC2V 8EY
    United Kingdom

    Editorial
    Phone +44 (0) 20 3287 5935
    Email click to send

    Customer Service
    Phone +1 313 446 0450
    Email click to send

    Resources
    • Advertise with Us
    • Media Kit
    • Staff
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • Ukraine
    • News
      • Asia
      • Americas
      • Europe
      • M & A
      • Financial results
      • Automotive
    • Data
    • Information
      • Country Overview
      • Market Sector overviews
      • Technical articles
      • Company profiles and strategies
    • Events
      • Exhibitions
      • Conferences
      • Webinars / Livestreams
      • Become a Speaker
    • Advertise
    • Contact Us
    • Issues
    • Subscribe