red weekly: Wuxi Paike New Materials Technology Co.Ltd(605123) performance express shows that the company achieved an operating revenue of 1.733 billion yuan in 2021, a year-on-year increase of 68.65%; The net profit was 304 million yuan, a year-on-year increase of 82.59%; After deducting non profits, the company’s net profit was 286 million yuan, a year-on-year increase of 91.14%. Is there any value to pay attention to after the great increase in performance?
Qiu Zheng: Wuxi Paike New Materials Technology Co.Ltd(605123) belongs to the forging industry. The company’s main business is all kinds of metal forgings. Its products can be used in many industries such as aerospace, electric power, petrochemical and other machinery. In 2021, the company benefited from the favorable climate of aviation, aerospace and new energy industries, sufficient market orders, effective improvement of production capacity and rapid expansion of business scale, Operating income and net profit increased significantly. At present, the listed companies in the same industry as Wuxi Paike New Materials Technology Co.Ltd(605123) are Xi’An Triangle Defense Co.Ltd(300775) , Guizhou Aviation Technical Development Co.Ltd(688239) , Jiangyin Hengrun Heavy Industries Co.Ltd(603985) , Baoding Technology Co.Ltd(002552) and Tongyu Heavy Industy Co.Ltd(300185) respectively. Among the above companies, Xi’An Triangle Defense Co.Ltd(300775) and Guizhou Aviation Technical Development Co.Ltd(688239) are dominated by aviation forgings and Aerospace Forgings, so their positioning is high, while Jiangyin Hengrun Heavy Industries Co.Ltd(603985) , Baoding Technology Co.Ltd(002552) and Tongyu Heavy Industy Co.Ltd(300185) are dominated by electricity and petrochemical industries, Therefore, the positioning is relatively low.
At present, the P / E ratios of Xi’An Triangle Defense Co.Ltd(300775) and Guizhou Aviation Technical Development Co.Ltd(688239) are about 53 times and 60 times respectively. As the proportion of operating revenue of Wuxi Paike New Materials Technology Co.Ltd(605123) in aviation and aerospace forging business is lower than that of Xi’An Triangle Defense Co.Ltd(300775) and Guizhou Aviation Technical Development Co.Ltd(688239) , the P / E ratio of Wuxi Paike New Materials Technology Co.Ltd(605123) is about 45 times, lower than that of the above two companies. In the long run, Wuxi Paike New Materials Technology Co.Ltd(605123) has become one of the few enterprises in China that can supply ring forgings in high-end fields such as aerospace, and has formed its own unique competitive advantages in terms of qualification, equipment and technology. In terms of aviation business, Wuxi Paike New Materials Technology Co.Ltd(605123) has signed long-term agreements with Luo Luo and Ge aviation for 11 and 5 years respectively, covering a variety of best-selling models, and transferred the production of titanium alloy fan casing to the Chinese market for the first time. At the same time, it has seized the opportunity of the growth of aviation demand in China and made a breakthrough in the development of high temperature alloy and titanium alloy products; In terms of aerospace business, Wuxi Paike New Materials Technology Co.Ltd(605123) focuses on the needs of major equipment such as missiles, launch vehicles and space vehicles, develops and makes breakthroughs in the development of a new generation of light alloy materials, especially aluminum lithium alloy and magnesium alloy forgings, actively gives full play to the manufacturing advantages of special-shaped thin-walled and high barrel parts, and further expands the aerospace market. If the proportion of the company’s aviation and aerospace forging business revenue can be increased in the future, The company’s valuation will also increase.
red weekly: Xi’An Bright Laser Technologies Co.Ltd(688333) it is estimated that the net profit in 2021 will lose 65.7472 million yuan, and the net profit loss after deduction is 100.9901 million yuan. What do you think?
Qiu Zheng: Xi’An Bright Laser Technologies Co.Ltd(688333) is a high-tech enterprise focusing on industrial metal additive manufacturing (3D printing). The company’s business is mainly oriented to aviation and aerospace manufacturing. 3D printing is regarded as one of the core technologies leading a new round of scientific and technological revolution and industrial transformation, with broad development prospects. With the development of economy and the improvement of living standards, consumers are more pursuing personalized needs. 3D printing, together with Siasun Robot&Automation Co.Ltd(300024) , artificial intelligence and other technologies, will improve the flexibility of manufacturing production lines, produce customized products at a lower cost, and promote the transformation of manufacturing production mode from large-scale production to personalized customization.
The production and operation of Xi’An Bright Laser Technologies Co.Ltd(688333) in 2021 was in good condition, and the operating revenue increased significantly compared with the previous year. However, due to the implementation of the restricted stock incentive plan in 2020, the company accrued share based payment expenses of about 172.7 million yuan, resulting in losses. In addition to the provision of share based payment expenses, the R & D expenses of Xi’An Bright Laser Technologies Co.Ltd(688333) in 2021 also increased by tens of millions of yuan over the same period of last year, which is also the main reason for the decline of the company’s performance. In 2022, with the significant reduction of the company’s accrued share based payment expenses, the company’s performance will rise rapidly.
red weekly: chuangyao technology performance express shows that the company achieved an operating revenue of 641 million yuan in 2021, a year-on-year increase of 205.77%; The net profit was 78.6886 million yuan, a year-on-year increase of 15.89%. Why is the growth rate of net profit far lower than that of operating revenue?
Qiu Zheng: from January to September 2021, the operating revenue and net profit of chuangyao technology were 343 million yuan and 60.1944 million yuan respectively, that is, the company realized only 18.4942 million yuan of net profit from October to December when it realized 298 million yuan of operating revenue. The main reason why the net profit of the company is lower than the growth rate of operating revenue is that the R & D expenses of chuangyao technology reached 119.5149 million yuan in 2021, compared with 20.8941 million yuan in the same period of last year, with a year-on-year increase of 472.00%. Based on the R & D expenses of 54.5783 million yuan from January to September 2021, the R & D expenses of the company in only one quarter from October to December are as high as 64.9366 million yuan.
Chuangyao technology is a professional integrated circuit design enterprise, focusing on the R & D, design and sales of communication core chips. The company’s large investment in R & D can enhance the company’s core competitiveness, promote the improvement of technical level and the growth of the company’s business scale. The substantial increase in the operating revenue of chuangyao technology in 2021 is mainly due to the addition of new customers in the access network business field of the company, such as China Guangdong Internet, Shenzhen Daxin and Xi’an leiye, in which the company provides access network related technology licensing services to China Guangdong Internet, sells access network wafers to Shenzhen Daxin and Xi’an leiye, and Shenzhen Daxin and Xi’an leiye are designated customers of China Guangdong Internet, It purchases from chuangyao technology and then sells it to downstream communication equipment manufacturers to distribute customers for chuangyao technology. As of June 30, 2021, the amount of orders on hand from chuangyao technology to China Guangdong Internet, Shenzhen Daxin and Xi’an leiye is 117 million yuan, 461 million yuan and 229 million yuan respectively. The amount of orders on hand is large. In the next 1 ~ 2 years, the performance of chuangyao technology will be significantly affected by the trend of orders from China Guangdong Internet and other customers.
