Anode materials are stable and profitability is continuing to improve. It is expected to improve quarter by quarter in 2024.

Putilai (603659.SH) stated on the interactive platform that the company's product prices of the same category of anode materials in 2024 will not be much different from those at the end of 2023. Due to changes in monthly and quarterly shipments of different categories of anode materials, the price will also change. There may be structural differences. Over the years, the company has built a technical team in the field of theoretical knowledge of carbon materials. 

After years of intensive R&D investment, its main anode material products have occupied the global market due to their high capacity, high compaction density, low expansion, long cycle, fast charging and other characteristics. Leading position in high-end digital and power battery fields. Since 2023, the anode materials industry has been experiencing a phased imbalance in the supply and demand environment due to sufficient production capacity and downstream battery customers entering the destocking stage. 

The industry is generally facing pressure from capacity consumption and downward prices. The company has made an inventory provision of 480 million in the first three quarters of 2023. Preparations for price drops are mainly concentrated in the anode material sector. The company also expects that there will still be impairment provisions for some high-priced anode inventories in the fourth quarter of 2023. 

At the same time, considering that the industry price level of anode materials has also become relatively stable, the impairment risk of high-priced inventories in the early stage has been basically released. With the elimination of historically high-cost inventories and the innovation of non-petrochemical raw materials, some of the company's cost-competitive products have been gradually introduced. The market price and supply and demand of anode materials have gradually stabilized. The company's anode material profitability is continuing to improve. It is expected to be in 2024. It will get better season by season.