Hangzhou Hangyang has released its 2011 annual results, demonstrating a revenue increase of almost 40%.
The annual financial report 2011 of Hangzhou Hangyang stated gross operating revenue of 4.232bn yuan, an increase of 39.99% when compared with 3.023bn yuan in 2010.
Operating profit also rose 36%.
In the equipment business the company signed a total of 62 orders for air separation plants (ASUs) in 2011, including four sets of 60,000 m3/h ASUs for China Coal Shaanxi Yulin Energy Co., Ltd.
As many as 49 large-scale ASUs were manufactured last year – a new record for Hangyang in its position as a leading ASU manufacturer in China.
The company’s ASU business revenues accounted for 3.215bn yuan among the gross revenue in manufacturing of 3.396bn, an increase of 25.87%.
“The company’s ASU business revenues accounted for 3.215bn yuan among the gross revenue in manufacturing of 3.396bn, an increase of 25.87%”
As for the company’s gases business, gas sales increased by 163% over the previous year to 680m yuan. The Hangyang report explained, “In 2011, the company’s gas investment has made progress step by step with a solid pace. At the end of 2011, nine companies have been put into operation. We have also signed investment projects with Quzhou Yuanli, Guangxi Jinchuan, Jilin Economic Development, Fuyang Smelting, Guizhou Shougang, and Jilin Boda, with a total investment of over 2.5bn yuan, more than the sum of the last eight years.”
“We have now a total of 17 gas investment projects which not only involve the field of iron and steel, non-ferrous metals, chemicals, glass and carbon dioxide, but also a new breakthrough in the development zone pipe network to supply gas model, establishing the company’s rightful place and influence in the domestic gas market.”
As for the outlook for the future development of ASU manufacturing industry, Hangyang gave some interesting insights into the development of the China market
The company explained that both the chemical and metallurgy industries were experiencing rapid growth with the continued pace of growth in the China economy, while at the same time the plant sizes for these industries have ‘expanded rapidly’ in line with the economies of scale.
The unit capacity of large scale ASUs is increasing, showing the ‘obvious market demand trend’ for large-scale ASUs, says Hangyang.
“In the coming period, the major market demand growth will be from the chemical companies and steel and power enterprises employing new technologies of energy saving and environmental protection,” the company said.
“These enterprises have huge demand for oxygen, so their demand for ASUs will be mainly concentrated in large and extra large scale ASUs.”
Also mentioned in the report were Hangyang’s 2012 business objectives and work plans, including the improvement of its 80-120,000 class large-scale ASU design and the goal to complete the R&D for a 120,000 grade ASU on time.
More efforts will be put into gas application technology research, we understand, to provide strong and solid backing to the gas investments of Hangyang. Furthermore, the company will also complete the development of ASUs using the cold energy of LNG.