\u3000\u3000 Shandong Yuma Sun-Shading Technology Corp.Ltd(300993) (300993)
Functional sunshade industry leader, deeply cultivated in the global market for many years. The company focuses on the R & D, production and sales of functional sunshade materials. Its main products include sunshade fabrics, dimmable fabrics and sunshine fabrics. Positioning at the high end, the company is committed to providing shading materials and services with high quality, high performance and high value-added functions for manufacturers of shading products. The company’s products are mainly exported. In 2020, the export revenue accounted for nearly 70%, mainly exported to Europe, North America and other regions. After the short-term impact of the epidemic, the company’s performance returned to rapid growth. In the first three quarters of 2021, the operating revenue / net profit attributable to the parent company was 375 million yuan / 107 million yuan, with a year-on-year increase of 45.12% / 46.17%.
China’s market demand potential is strong, and high barriers promote the stronger. Functional sunshade products can effectively reduce building energy consumption and comprehensively save building energy consumption by about 14%, which is in line with the current concept of green building materials and building energy conservation. China’s functional sunshade industry is still in the early stage of growth. In 2020, the penetration rate of functional sunshade products is only 3.28%, and the market scale is only 20.89 billion yuan. In the future, the support of national policies and the upgrading of consumption preferences will promote functional shading products to gradually replace traditional cloth curtains. According to the calculation of China State Construction Engineering Corporation Limited(601668) sunshade Association, the scale of functional sunshade industry will reach 50 billion yuan by 2025. From the perspective of industry pattern, there are many participants in the sunshade production market and the pattern is scattered. In the future, with the gradual development of sunshade products in the direction of multi-function and diversification, enterprises with advantages in R & D and design, product innovation and customer service are expected to gain more market share and highlight the head effect of the industry.
Concentrate on the main business and build core competitive advantages in many aspects. The company has been deeply engaged in the sunshade industry for many years and has accumulated a number of competitive advantages: 1) in terms of technology and process, the company has a number of independently developed core technologies and obtained national patent protection, and the product technical parameters are in a leading position in the industry. 2) In terms of products, the company has a complete range of products. Its products keep pace with the times and bring forth the new. Based on the hot spots of consumer demand, the company launches creative new products and leads the market trend. 3) In terms of quality control, the company adheres to lean weaving and has established a mature production management system to ensure the high efficiency of production and operation and the stability of product quality while expanding the production scale. 4) In terms of services, the company’s three categories and thousands of products help the company to quickly respond to customer needs and provide complete solutions. Based on the company’s accumulation in product, management and service levels, the company has established a good brand image and established long-term and stable cooperative relations with well-known manufacturers at home and abroad, with strong customer stickiness.
Fund raising projects open the ceiling of production capacity and expand brand influence through marketing network. At present, the company’s production capacity is basically saturated, and the supply of products is in short supply. Before listing, the company has carried out projects such as capacity expansion, technological transformation of production line and new material R & D center. The implementation and implementation of raised investment projects will help the company expand production scale, break through capacity bottlenecks, improve production, warehousing and logistics efficiency, and comprehensively improve product quality and management level. In addition, the company’s marketing network construction project plans to give priority to the layout in the Yangtze River Delta and the Pearl River Delta, strengthen the publicity and promotion of products, further improve the company’s brand influence and popularity, and empower the strategy of “foreign expansion and Chinese penetration”.
Profit forecast and investment evaluation. The net profit of the listed company is expected to increase by 2.682 billion yuan / 2021.2%, which is equivalent to the strong growth of 2.682 billion yuan / 2021.6 billion yuan / 2021.6 billion yuan, and the net profit of the listed company is expected to increase by 2.682 billion yuan / 2021.2%, corresponding to the strong growth of 2.682 billion yuan / 2021.6 billion yuan / 2021.6 billion yuan. According to the absolute valuation method, we give the company a target price of 32.37 yuan. The company has obvious barriers to competition, rapid growth in short-term performance and large space for long-term development. We give a “buy” rating for the first time.
Risk factors: covid-19 virus epidemic spread risk, exchange rate fluctuation risk and raw material price fluctuation risk.
