Zhejiang Halead New Material 2016 cord fabric revenue up 77.06% on yr

Zhejiang Halead New Material released on Mar. 28 the financial results for 2016.

Last year, the company’s revenue of cord fabric business totaled 416 million yuan, up 77.06% year on year. The business revenue of its tire cord fabric accounted for 16.20% of the total, up from 11.07% in 2015.

Meanwhile, the gross profit margin of the firm’s tire cord fabric increased to 19.21%.

In 2016, Halead New Material’s total turnover was 2.57 billion yuan, up 21.01%; and the net profit increased 30.51% to 255 million yuan.

The tire cord fabric sector made significant contribution to the firm’s revenue growth.

Currently, the annual capacity of the producer’s tire cord fabric is 30,000 tons, while the second production line with annual capacity of 15,000 tons was launched in 2016.

The company has passed a proposal of technology reform project, which involves an additional cord fabric capacity of 30,000 tons.

A number of leading tire brands, including Sumitomo, Michelin, Cooper, Hankook, and Continental, have become clients of Halead New Material.

In 2016, Halead New Material’s Shenyang plant was authenticated by Michelin and became a supplier of the latter; its Hefei plant was authenticated by Continental and became an exclusive supplier for part of the latter’s tire specifications.