\u3000\u3000 Leyard Optoelectronic Co.Ltd(300296) (300296)
Event: the company released the performance forecast for 2021. The net profit attributable to the shareholders of the listed company in 2021 is expected to be 560-720 million yuan, with a loss of – 976435200 yuan in the same period last year; The net profit after deducting non recurring profits and losses is expected to be RMB 50000-660 million, with a loss of RMB -1062692500 in the same period last year.
The new orders signed by the company are full, which shows that the performance has reached a record high: with the stability of the epidemic, the demand of the LED industry has gradually warmed up, and the production capacity, driving the increase of chip cost and shortage of raw materials have become the main factors limiting the number of orders. The industry leading enterprises can alleviate the pressure by expanding production, stabilizing the supply chain and raising product prices, and concentrate high-quality orders to the leading enterprises. According to the report of global LED display market report, Leyard Optoelectronic Co.Ltd(300296) has ranked first in the market share of global LED display products, small spacing products and indoor LED products for five consecutive years. According to the disclosure of the company’s performance forecast, the total amount of newly signed orders and winning projects of the company in 2021 was about 11.55 billion yuan, an increase of 34% over the same period of last year, and the goal at the beginning of the year was basically achieved. Among them, the performance of the display sector increased rapidly, with an increase of 44% over the same period of the previous year, of which China showed an increase of 44%, the international display showed an accelerated growth in the second half of the year, with an increase of 44% over the same period of the previous year, and the amount of orders at home and abroad exceeded 2019; The scale of VR business increased, and NP company increased by 72% over the same period of last year.
The continuous upgrading of microled product technology has become a new driving force for the company’s performance growth: the company has been deeply engaged in the display field for decades. Since 2020, the company took the lead in promoting microled technology and officially opened the global microled display industrialization. According to the company’s performance forecast, in COG, the company cooperates with TCL Huaxing to develop and produce the world’s first 75 inch P0 6 oxide am direct display microledtv sample, synchronously cooperate to develop the world’s first am glass based transparent display sample, combined with oxide TG device + 3t1c driving technology; ASIC chip development has been completed and has entered mass production. In addition, the company’s Lijing production expansion plan was completed ahead of schedule to achieve a production capacity of 800kk / month and reach the production capacity in July 2021 to meet the demand of micro market. At the same time, the company launched four full-size microled household large TVs, including 216 inch 8K, 162 inch 4K, 135 inch 4K and 108 inch 4K, to comprehensively layout the microled consumer goods market. Microled products are expected to enhance the company’s competitiveness.
The company’s strategic layout is high-end manufacturing to improve the company’s strength: the trend of LED products from customization to standardization is obvious, and the high-end manufacturing capacity has become the company’s core competitiveness. High end manufacturing puts forward higher requirements for the company’s automation and process improvement. In 2021 Leyard Optoelectronic Co.Ltd(300296) , we will increase R & D investment in various production bases. According to the record of investor relations activities of the company on January 11, the company merged the factories located in Shenzhen, reduced the management radius, and integrated control from the procurement end to the supply chain end and then to the production end, so as to reduce management costs and improve production efficiency; According to the company’s announcement on August 20, the 54.2974 million yuan raised from the ” Leyard Optoelectronic Co.Ltd(300296) (Xi’an) intelligent R & D center project” was used for the “Southern headquarters project of LED application industry”, and the company’s southern production base was successfully moved in December; According to the performance forecast, the newly-built production base in Changsha, Hunan in March 2021 will be put into operation in July and achieve a capacity of 6000kk / month in December. The layout of the company in the field of high-end manufacturing is conducive to developing the global market and consolidating the leading position in the industry.
Investment suggestion: we estimate that the company’s revenue from 2021 to 2023 will be 8.226 billion yuan, 10.406 billion yuan and 12.799 billion yuan respectively, and the net profit attributable to the parent company will be 671 million yuan, 1.059 billion yuan and 1.213 billion yuan respectively, maintaining the “Buy-A” investment rating.
Risk tip: the prosperity of the industry is lower than expected; The expansion project is not as expected; Market development is less than expected.
