Breaking Down Zhejiang Huayou Cobalt Co., Ltd Financial Health: Key Insights for Investors

Founded in 2002 and headquartered in Tongxiang, Zhejiang, Zhejiang Huayou Cobalt Co., Ltd. has built a vertically integrated presence across resource development, refining, battery material R&D and recycling, expanded into five business sectors (new energy, new materials, Indonesian nickel, African resources, recycling), and placed itself firmly in the global EV battery supply chain with operations across Africa, Southeast Asia and Europe; in 2023 the company delivered operating income of CNY 51.091 billion (up 4.88% year‑on‑year) and a net profit attributable to the parent of CNY 3.013 billion, while driving a mission "to create value for customers and make contributions to the development of lithium power new energy industry," a vision "to become the global leader of new energy Li‑ion battery materials," and core values of integrity, innovation, responsibility, learning, and passion that steer its ESG and global expansion strategies-read on to see how these numbers and principles translate into strategy, operations and future growth.

Zhejiang Huayou Cobalt Co., Ltd (603799.SS) - Intro

• Founded: 2002; Headquarters: Tongxiang, Zhejiang
• Primary focus: New energy lithium-ion battery materials and cobalt-based materials
• Vertical integration: resource development → refining → battery material manufacturing → recycling
• Global footprint: operations and investments in Africa, Southeast Asia (notably Indonesia), and Europe

• New energy industry (lithium battery materials)
• New material industry (non-cobalt advanced materials)
• Indonesian nickel industry (nickel sourcing and processing)
• African resource industry (minerals and upstream resource access)
• Recycling industry (battery and metal recycling to close material loops)

• Mission: Secure and industrialize critical battery material supply chains while advancing green, circular processes across production and recycling.
• Vision: Become a globally trusted, vertically integrated supplier enabling the mass electrification of transport and storage through reliable, responsibly sourced materials.
• Core values:
  • Supply-chain resilience - securing upstream resources and refining capacity
  • Innovation - sustained R&D in battery materials and process technologies
  • Sustainability - integrating ESG across operations and investments
  • Global partnership - expanding responsible resource operations in Africa, Southeast Asia, and Europe

Zhejiang Huayou Cobalt Co., Ltd (603799.SS) - Overview

• Customer value through product innovation and service-driven solutions.
• Industry contribution focused on the lithium power new energy ecosystem (precursors, cathode materials, recycling).
• Long-term consistency-mission retained across expansions into upstream raw materials and downstream battery materials.

• R&D and technology deployment targeted at improving energy density, cycle life and safety of lithium-ion battery materials.
• Vertical integration to stabilize supply of cobalt, nickel and lithium feedstocks while reducing cost volatility for customers.
• Scaling production and recycling capacity to support global OEMs and regional EV market growth.

• Cathode active material production capacity (NCM/NCA, estimated): 120,000 tonnes/year.
• Lithium precursor capacity (estimated): 80,000 tonnes/year.
• Cobalt refining and salts capacity (estimated): 50,000 tonnes/year of cobalt-containing product equivalents.
• Battery-material recycling throughput (installed pilot and commercial lines): supporting several thousand tonnes/year of scrap and black mass processing with expansion underway.

• Significant capex and M&A toward upstream resource security (mining stakes, smelting partnerships) to ensure feedstock stability for customers.
• R&D partnerships with OEMs and universities to accelerate high-Ni and low-cobalt chemistries while improving safety.
• Investment in recycling infrastructure to close the loop and reduce lifecycle carbon intensity-aligned with customer demands for sustainable supply chains.

Zhejiang Huayou Cobalt Co., Ltd (603799.SS) - Mission Statement

• Global leadership ambition: explicit corporate aim to lead in lithium-ion battery materials across cathode active materials (CAM), precursors and electrolyte additives.
• Consistency over time: the vision has remained stable as the business shifted from cobalt mining and refining into integrated battery-material value chains.
• Innovation focus: sustained investment in product and process development to improve energy density, cycle life and safety of Li-ion cells.
• International expansion: capacity and sales footprint targeted at major EV and battery markets (China, Europe, North America).

• Scale: ramping production capacity for NCM/NCA precursors and cathode materials to meet OEM demand and capture market share.
• Technology: R&D into high-nickel, low-cobalt chemistries and silicon/graphite composite anode additives to improve cell energy density.
• Vertical integration: securing raw cobalt and nickel feedstock while expanding recycling and refining to control costs and ESG risk.
• Global footprint: building plants and sales channels near major EV manufacturers to reduce logistics and strengthen partnerships.
• ESG & compliance: implementing traceability, responsible sourcing, and emissions controls to meet customer and regulator requirements.

Zhejiang Huayou Cobalt Co., Ltd (603799.SS) - Vision Statement

• Integrity - building trust through transparent procurement, traceability, and compliance across mining, refining, and materials manufacturing.
• Innovation - investing in R&D to lower cost, improve performance, and reduce environmental footprint in cathode materials, precursor salts, and recycling.
• Responsibility - committing to responsible sourcing, decarbonization, and community engagement throughout global operations.
• Learning - fostering continuous upskilling, internal knowledge transfer, and partnerships with institutions to accelerate technology adoption.
• Passion - cultivating an entrepreneurial, mission-driven culture focused on accelerating the clean-energy transition.

• Integrity - implementation of supply-chain traceability systems, third-party audits, and public sustainability disclosures (ESG reporting cadence and supplier due-diligence programs).
• Innovation - patents filed, pilot lines for low-cobalt/high-nickel chemistries, and joint development agreements with OEMs and research institutes; R&D spend representing a mid-single-digit percentage of revenues.
• Responsibility - investments in community projects near mining/refining sites, occupational health & safety KPIs, and stepwise targets to increase recycled material share in feedstock.
• Learning & Passion - structured talent programs, internal technical academies, and incentive structures tied to sustainability and innovation milestones.

• Traceable sourcing: digitalized supplier tracking and independent verification to ensure responsible cobalt procurement.
• Product innovation: development of high-nickel cathode precursors and low-cobalt formulations to improve energy density and reduce reliance on critical metals.
• Circularity initiatives: ramping up battery recycling lines to reclaim cobalt, nickel and lithium, feeding them back into precursor manufacturing.
• Human capital: technical training programs and cross-border R&D teams to accelerate learning and retain specialist talent.