\u3000\u3000 Shanghai Sheng Jian Environment Technology Co.Ltd(603324) (603324)
Event:
Shanghai Sheng Jian Environment Technology Co.Ltd(603324) release the announcement on the adjustment of the investment funds of the raised investment projects: after the adjustment, the main products in the “intelligent manufacturing project of environmental protection equipment” will not include the pan semiconductor process equipment PFCs pollutant treatment unit (L / s), the pan semiconductor clean room EHS treatment unit (loc-voc) and the inner liner of electronic grade chemical storage tanks, The environmental protection equipment intelligent manufacturing project reduced the investment of 33 million yuan, and the raised funds were adjusted to new technology projects with large capital gap for the construction of headquarters office and R & D buildings, the purchase of R & D equipment, and the establishment of R & D design and testing laboratories.
Key investment points:
The waste gas treatment business covers panels and semiconductors, Shanghai Sheng Jian Environment Technology Co.Ltd(603324) is expected to grow rapidly with the expansion of wafer factories. Shanghai Sheng Jian Environment Technology Co.Ltd(603324) is a provider focusing on the solution of waste gas treatment system of Pan semiconductor process. Its main products are waste gas treatment system and equipment, mainly based on customized production mode, including R & D and design, processing and manufacturing, system integration and operation and maintenance management. Major customers include Semiconductor Manufacturing International Corporation(688981) , Huahong semiconductor, etc. semi data shows that 60 12 inch wafer plants will be newly built or expanded in the world from 2020 to 2024, and 25 8-inch wafer plants will be put into mass production in the same period. The company is expected to usher in large-scale performance with the downstream expansion.
Considering the continuous tension in the supply chain of key raw materials of current environmental protection projects, such as polytetrafluoroethylene, and the high procurement cost, the company adjusted the investment funds of raised investment projects. The company carefully evaluated that the inner liner of electronic grade chemical storage tank does not meet the investment conditions and will not be implemented later. After the adjustment of the project, it is expected to reduce the annual production capacity of 200 sets of PFCs pollutant treatment units (L / s) of Pan semiconductor process equipment, 150 sets of EHS treatment units (loc-voc) of Pan semiconductor clean room and 15000m2 of inner liner of electronic grade chemical storage tank. 33 million yuan will be invested in new technology projects with a large capital gap.
The favorable environmental protection policy intensifies the industry competition, and increasing the investment in technology R & D is conducive to expanding the company’s competitive advantage. The company’s new technology projects mainly include the research and development of ultra-low emission system solutions for Pan semiconductor waste gas treatment, VOC treatment of high-performance concentrated adsorption materials, the research and development of electronic grade chemical supply and mixing system technology, and the research and development of electronic grade chemical recovery and regeneration technology. It is expected to expand market share and improve profitability through the research and development of new technologies, processes and products.
Profit forecast and investment rating companies have obvious advantages in the field of Pan semiconductor process waste gas treatment. With the continuous expansion of downstream semiconductor wafer factories, the company is expected to continue to benefit. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be 179 / 277 / 373 million yuan respectively, with growth rates of 47% / 55% / 35% respectively, and the corresponding PE will be 30x / 19x / 14x respectively. It will be covered for the first time and given a “buy” rating.
The risk indicates that the investment in the semiconductor industry is less than expected; Industry competition intensifies; Business expansion is less than expected; The market share of the company decreased; Substantial increase in the price of raw materials, etc.
