Tianci Materials 2025 Lithium Battery Material Revenue Exceeds 15 Billion Yuan, Hubei Yichang Project Faces Changes

2025Tianci Materials(45.300, 1.94, 4.47%)Lithium battery materials business achieved revenue of RMB 15.05 billion, an increase of 37.14% year-over-year, accounting for as high as 90.39% of total revenue.

On the evening of March 9, Tianqi Materials (Stock Code: 002709), a leading listed company in the electrolyte sector, released dozens of reports. The two most closely watched by the market were the “2025 Annual Report” and the “Announcement on Initiating Preliminary Work for the Hubei Tianqi New Energy Materials Industrial Park Project.”

Electrolyte sales exceeded 720,000 tons in 2025.

Over the past year, Tinci Materials delivered an outstanding performance, achieving dual growth in both operational scale and profitability.

In 2025, Tianshi Materials achieved a revenue of 16.65 billion yuan, an increase of 33% year-on-year; the net profit attributable to shareholders of the company reached 1.362 billion yuan, a significant increase of 181.43% year-on-year. The basic earnings per share was 0.71 yuan. The growth in net profit far exceeded the growth in revenue, reflecting the company's significant improvement in cost control and product profitability. While experiencing high growth in performance, the company proposed to distribute cash dividends of 3 yuan per 10 shares (including tax) to all shareholders.

Tinci Materials 2025 Revenue Breakdown (Unit: RMB)

As a global leader in electrolyte solutions, the core business of Tianqi Materials—lithium-ion battery materials—has performed exceptionally well. In 2025, this business achieved a revenue of 15.05 billion yuan, a year-on-year increase of 37.14%, accounting for a high proportion of 90.39% of the total revenue.

In terms of electrolyte, under the backdrop of profound changes in the global industry structure in 2025, Tianci Materials continues to focus on leading R&D of lithium battery materials, integrated layout, and the construction of global supply capabilities. The core product electrolyte sales maintained strong growth, with annual sales exceeding 720,000 tons, an increase of about 44% year-over-year. At the same time, the company's North American and European OEM factories were smoothly established and obtained local customer orders, achieving a historic breakthrough from zero to one. The company also actively carried out pilot testing/ mass production of new additive synthesis for customers, successfully developing and promoting various new additives such as K1303, W77, M557, and M1297, enhancing product performance and comprehensive competitiveness.

In the cathode material business, by 2025, the lithium iron phosphate (LFP) industry structure will be optimized: capacity expansion will focus on high-end products, accelerating the phasing out of low-end capacities, and the industry competition will shift from "price wars" to "positioning in high-end capacities." Meanwhile, benefiting from the dual demand support of new energy storage and the increase in power battery installations, the LFP market will experience robust demand throughout 2025, with CATL having ample orders and both production bases operating at full capacity. Note: In the translation, "" (Tianqi Materials) was translated as "CATL" (Contemporary Amperex Technology Co. Limited), which might not be the correct company. If "" refers to a specific company, please provide the accurate English name for a more precise translation.

Regarding lithium iron phosphate, Tianci Materials has continuously increased its technological investment, achieving smooth product iteration and enhancing overall capacity utilization through quality improvements and operational efficiency gains. In battery adhesives, the company continues to deepen its business in bonding materials for cells and modules, as well as silicone rubber.

In addition, in terms of battery cell binders, Tinci Materials has made new breakthroughs in the scale of its customer base and sales, achieving customer breakthroughs and mass production supply for various types of binders. In the module PACK adhesive business, by 2025, the company has had multiple products pass multiple rounds of validation by mainstream vehicle manufacturers and have been introduced into mass production. At the same time, the overseas sales revenue of PACK adhesives has also reached new highs repeatedly.

Changes in the Lithium Battery Materials Project in Yichang, Hubei

On the same day, Tianshi Materials announced the start of preliminary work for the Hubei Tianshi New Energy Materials Industrial Park project.

The announcement states that, in accordance with its strategic development plan in the lithium-ion battery materials sector, Tinci Materials plans to construct a new energy materials industrial park in Yichang, Hubei Province, through Tinci Materials (Hubei) Co., Ltd. The project includes the construction of facilities with an annual production capacity of 1 million tons of iron source and 300,000 tons of iron phosphate, with an estimated total investment of no more than RMB 2.1 billion.

Tianci Materials stated that through the implementation of this project, the company will further strengthen its strategic layout in lithium-ion battery materials. Upon completion of the project, it will meet the company's future business development and market expansion needs, further improve the company's capacity layout in positive electrode materials, and meet the company's future business development and market expansion needs.

Meanwhile, Tianci Materials also disclosed the progress of other projects in Hubei Tianci: The company issued the "Announcement on the Establishment of a Wholly Owned Subsidiary to Carry out the Preliminary Work of the 400,000 Ton per Year Lithium Battery Materials and 100,000 Ton per Year Lithium Battery Recycling Project" on July 11, 2022. The board of directors agreed to authorize the company's management to specifically carry out the preliminary work for the 400,000 ton per year lithium battery materials and 100,000 ton per year lithium battery recycling project at Hubei Tianci.

As of now, the project has only carried out preliminary feasibility studies and some procedures for filing and environmental impact assessment, with no construction investment made yet. The original plan was to build a production facility in Yichang, Hubei, to produce electrolyte and lithium hexafluorophosphate. According to the company's capacity layout planning and comprehensive evaluation of raw material supply support, other factories within the group have a more competitive cost advantage. After careful consideration, the company has decided not to proceed with the further construction of this project.