\u3000\u3000 Wuxi Autowell Technology Co.Ltd(688516) (688516)
Event: the company issued the 2022 equity incentive draft.
Key investment points
Restricted stock incentive plan condenses core talents and demonstrates confidence in long-term development
The incentive plan intends to grant 950000 restricted shares to the incentive objects, accounting for about 0.96% of the total share capital of the company at the time of announcement of the draft incentive plan. The grant price (including reserved grants) is 110 yuan / share. The incentive objects are 850, accounting for 39% of the total number of employees. Among them, 850000 shares were granted for the first time, accounting for 89% of the total equity granted this time; 100000 shares are reserved, accounting for 11% of the total equity granted this time. The vesting proportion of the restricted shares granted for the first time / reserved in the incentive plan in the three vesting periods is 30% / 30% / 40% respectively.
The performance target of equity incentive in 2022 is higher than that in 2021
The performance assessment of this equity incentive plan is based on the net profit deducted from non parent company excluding the impact of share based payment expenses in 2021, with an increase of no less than 50% / 100% / 150% from 2022 to 2024. We calculate that the minimum net profit deducted from non parent company in 2022-2024 is RMB 431 / 628 / 814 million respectively, with a year-on-year increase of 34% / 46% / 30%, and the corresponding PE is 45 / 31 / 23x respectively. In the equity incentive plan of 2021, the net profit of guaranteed minimum deduction and non parent company from 2021 to 2024 is RMB 274 / 3.84/534/644 million respectively. In the equity incentive plan of 2022, the net profit of guaranteed minimum deduction and non parent company from 2022 to 2024 increased by 47 / 94 / 170 million yuan respectively.
The company exceeded the target of equity incentive plan in 2021
In the equity incentive plan of 2021, the net profit of guaranteed minimum deduction of non parent company in 2021 was 274 million yuan, and 322 million yuan was actually completed in the performance express, exceeding 48 million yuan. The photovoltaic industry continues to enjoy a high boom, and the company has fully benefited as the leader of module equipment series welding machine (the sales market accounted for 60% in 2020 and more than 70% in 2021). We judge that the overall market scale of series welding machines in 2022 is about 220-230gw, and the market space of series welding machines is about 1500-1600 sets. It is estimated that the order will be about 1300 sets in Wuxi Autowell Technology Co.Ltd(688516) 2022.
Component equipment technology has fast iteration and wide equipment market space
The equipment renewal cycle brought by the technical iteration is shortened. At present, the iteration cycle is about 2 years. The key to the complete renewal of the subsequent series welding machine lies in the large-scale continuous penetration (the penetration rate of 182 / 210 in 2021 is less than 50%), the silicon wafer thinning demand brought by hjt and high-precision series welding. The market space of series welding machine is expected to double. At present, the mainstream is half piece of components. The popularity of three-piece and four piece will make the demand of series welding machine 1.5/2 times that of now. In addition, 12bb will increase the demand for tooling on the basis of 9bb. As the leader of series welding machine, the company is expected to continue to benefit.
With rich technical reserves, it has grown into an automation platform company spanning photovoltaic, lithium battery and semiconductor
With fast delivery time, high cost performance and strong competitiveness, the company’s semiconductor bonding machine won the first batch of aluminum wire bonding machine orders from Wuxi delixin on November 29, 2021; The company’s photovoltaic silicon wafer equipment expanded smoothly. In October 2021, it won the bid for Yuze semiconductor’s “1600 single crystal furnace procurement” project (corresponding to 210 silicon wafers) of 140 million yuan (tax included), and the delivery has been completed by the end of 2021; Lithium battery equipment is the company’s high growth business with low base. On November 30, 2021, it was announced that it won the honeycomb 130 million yuan (tax included) Order (module pack line), and achieved a breakthrough in order magnitude and customer quality; The company’s laminating machine has completed market research and project approval, and realized the extension from the rear module pack line to the middle automation machine in the field of lithium battery.
Profit forecast and investment rating: with the downstream expansion + stock technology iteration, we maintain the company’s net profit attributable to the parent company from 2021 to 2023 to be RMB 355 / 510 / 660 million respectively, corresponding to 55 / 39 / 29 times of the current share price PE, maintaining the “overweight” rating.
Risk tip: the research and development of new products is less than expected, and the market competition worsens.
