Analysis of profit and loss of polypropylene powder enterprises
In the short term, the wait-and-see atmosphere of the powder market will increase, and the stable price of its raw material propylene may alleviate the downward trend of the powder market. In addition, the end of the late month is approaching, the eleventh day holiday is approaching, and the enthusiasm of businesses to stock up may be slightly warmed up.
The profit margin of powder enterprises is low, and the cost pressure of merchants is increased. In terms of cost, there are more factories stopping for maintenance of raw materials polypropylene manufacturers in the early stage, and there are less goods coming to the port, and enterprises generally hesitate to sell, which brings significant support to the price of propylene, but as the market downturn continues for too long. In addition, the continuous downward guidance of particle prices, powder companies offer a large margin, instantly reduce the profit margin of powder companies, and its profit margin fell from 0.64% to -0.40%. In September and October, there are more holidays, more downstream factories are shut down or load reduction, the enthusiasm for raw materials is not high, the market demand is weak, the delivery rhythm of powder merchants is limited, and the end user is insufficient to follow up, and the overall market trading atmosphere is not good.
Because the powder market trend has a greater impact on the raw material propylene, the next year will complement each other. Among them, in May 2016, powder enterprises hit the lowest profit in the year, and from mid-August, the powder market downturn continued, powder enterprises have no obvious profit space, and the phenomenon of enterprise upside down frequently appeared. Today, in late September, the delivery price of Shandong powder enterprises dropped to 7,500 yuan/ton, the low-end price has 7,450 yuan/ton, and the price of raw propylene dropped from 7,000 yuan/ton to 6,900 yuan/ton. According to this price calculation, the cost pressure of powder enterprises is large, and the loss state appears. In East China, the price of powder and powder is flat, powder companies have no price issues, the market wait-and-see state continues, and supported by the high price of raw material propylene, powder companies have weak interest intention, and the price difference between propylene and powder is maintained at 700 yuan/ton. However, the National Day holiday is approaching, some businesses have a little speculation intention, and the market circulation of goods is low, middlemen may have a small amount of stock, powder companies may have pressure relief, or produce a small profit margin in the later period.