\u3000\u3 Guocheng Mining Co.Ltd(000688) 208 Autel Intelligent Technology Corp.Ltd(688208) )
Event:
The company issued the announcement of 2021 annual performance express after the closing on February 25, 2022.
Comments:
The operating income is growing rapidly, and the net profit attributable to the parent company is affected by factors such as raw material cost
In 2021, the company achieved an operating revenue of 2.254 billion yuan, with a year-on-year increase of 42.84%, mainly due to the company's high R & D investment in intelligence and digitization, the continuous strengthening of product competitiveness, the continuous improvement of product recognition and brand image in the automotive aftermarket, the rapid growth of ADAS products, the third generation of comprehensive diagnostic products Software cloud service products and TPMS products have achieved rapid growth. The net profit attributable to the parent company was 440 million yuan, a year-on-year increase of 1.69%; The net profit deducted from non parent company was 384 million yuan, a year-on-year decrease of 3.92%. Due to the phased impact of the severe damage to the global supply chain, the purchase cost of raw materials and international transportation expenses of the company's products have increased significantly, and the growth of the company's net profit attributable to the parent is lower than the growth of operating revenue due to the superposition of new product R & D investment, share based payment expenses caused by restricted stock incentives and other factors.
Maintain a high level of R & D investment, and the new energy integration strategy opens up a new market space
In 2021, the company continued to increase R & D investment in new products and technologies such as new energy products, ADAS systems, cloud services and intelligent maintenance information. The R & D expenses in the first three quarters reached 339 million yuan, accounting for 20.76% of operating revenue. On September 25, 2021, the company held a new energy strategy conference to release the development strategy of digital integrated solutions for "diagnosis, inspection, charging and storage" of new energy vehicles, which runs through three major businesses: new energy diagnosis and detection system products, intelligent charging and detection system products, echelon utilization and energy management. 1) Product strategy: create a tool ecosystem of new energy diagnosis and detection system, expand the ecosystem of intelligent charging and detection system, and extend the ecosystem of echelon utilization and energy management. 2) Technology strategy: focus on vehicle pile compatibility technology, smart battery detection technology and power electronics technology. 3) Market strategy: actively expand new energy diagnosis and testing market, new energy smart charging market and cooperation with open platform construction.
The equity incentive plan is expected to enhance the cohesion of employees and ensure the long-term development of the company
The company issued the 2021 restricted stock incentive plan (Draft) in December 2021 and completed the first grant in January 2022. The assessment period of this equity incentive is from 2022 to 2024. The performance assessment objectives of each year corresponding to assessment objective a are: Taking 2021 as the base period, the growth rate of operating income or gross profit will reach 50%, 125% and 238%; Assessment target B + the performance assessment target of each year is: with 2021 as the base period, the growth rate of operating revenue or gross profit will reach 30%, 69% and 120%. The equity incentive plan is expected to further improve employee cohesion and team stability.
Profit forecast and investment suggestions
Relying on product quality and technical advantages, the company has established a good brand awareness in the world. Under the background of great changes in the global automobile industry, the company has made forward-looking layout, issued new energy strategy, and continuously launched vertical and horizontal products, with broad space for sustainable growth in the future. Referring to the announcement of 2021 annual performance express, the company's operating revenue forecast from 2021 to 2023 is adjusted to 2.254, 3.085 and 4.103 billion yuan, the net profit attributable to the parent is adjusted to 440, 731 and 1.035 billion yuan, and the EPS is 0.98, 1.62 and 2.29 yuan / share, corresponding to 52.29, 31.48 and 22.25 times of PE. Since its listing, the company's PE has mainly operated between 45-100 times. At present, the pettm of the computer (Shenwan) index is 48.4 times, maintaining the company's target PE of 55 times in 2022, with the corresponding target price of 89.10 yuan. Maintain the "buy" rating.
Risk tips
Covid-19 recurrent pneumonia; Sino US trade friction escalating; Intellectual property disputes; The progress of China's market expansion is lower than expected; The promotion of new energy strategy is less than expected; Competition in the automotive aftermarket has intensified.
