The performance improved in the first three quarters and Q3 profitability decreased. From January to September 2021, the operating revenue and net profit attributable to the parent company of SW mechanical equipment sector increased by 24.92% and 28.12% respectively year-on-year, and the overall profit growth was higher than the revenue growth. From the perspective of single quarter, the growth rate of parent net profit in the first three quarters was 181.49%, 6.51% and 1.72% respectively, showing a trend of slowing down quarter by quarter. In 2021q3, the gross profit margin and net profit margin attributable to parent company of SW mechanical equipment sector were 22.68% and 7.47% respectively, with a year-on-year decrease of 1.92 and 0.73 percentage points respectively, and the short-term profitability of the industry was weakened.
The fund's allocation to the industry has decreased, and the position structure has changed. The total size of heavy position stocks of 2021q3 mechanical equipment fund decreased by 1.77% month on month to RMB 97.932 billion, accounting for 2.99%, a decrease of 0.47 percentage points compared with 2020q4. Since 2021, there have been some changes in the position structure of the machinery sector. Compared with 2020q4, the position proportion of the construction machinery sector has decreased significantly by 32.4 percentage points, while the position proportion of lithium equipment, oil and gas equipment and semiconductor equipment has increased by 10.41, 5.20 and 5.15 percentage points respectively.
The manufacturing industry developed with high quality and industrial upgrading accelerated. At present, China's economic development is facing the triple pressure of shrinking demand, supply shock and weakening expectation. Under the background of more complex and severe external environment, repeated disturbance of epidemic situation and increasing uncertain factors, the optimization of industrial structure and the transformation and upgrading of manufacturing industry are imminent. Under the background of high-quality development of manufacturing industry, industrial upgrading is expected to become an important investment main line of the industry. It is suggested to pay attention to medium and long-term investment opportunities in lithium battery equipment and Siasun Robot&Automation Co.Ltd(300024) sector.
Power battery enterprises have strong willingness to expand production, which promotes the high prosperity of lithium battery equipment industry. Under the background of carbon neutrality, the global new energy vehicle market will still maintain rapid development in the future. Based on the expectation of future power battery demand growth and the internal demands of enterprises to further improve their core competitiveness through scale effect, leading battery enterprises currently have a strong desire to expand production, which will continue to be good for the lithium battery equipment industry. From the third quarterly report of 2021, the orders in hand of the industry as a whole are in good condition, providing guarantee for the performance growth of the sector. In this round of production expansion, the head battery manufacturers have made greater efforts to expand production, and the enterprises deeply bound with key customers have more growth space. It is recommended to pay attention to Wuxi Lead Intelligent Equipment Co.Ltd(300450) , Zhejiang Hangke Technology Incorporated Company(688006) , Guangdong Lyric Robot Automation Co.Ltd(688499) .
The key to the transformation and upgrading of the manufacturing industry is that the Siasun Robot&Automation Co.Ltd(300024) industry has great market potential. In recent years, China's industrial Siasun Robot&Automation Co.Ltd(300024) density has shown a rapid upward trend, but it still has a certain upward space compared with some developed countries; While the labor cost is rising, the Siasun Robot&Automation Co.Ltd(300024) price shows a downward trend, and the economy of replacing labor by machine has appeared; For the application of artificial intelligence, cloud computing, big data and other technologies, the application scenario of Siasun Robot&Automation Co.Ltd(300024) will continue to expand. To sum up, in the medium and long term, the market potential of Siasun Robot&Automation Co.Ltd(300024) industry is large. In view of the current pain points in the industry, we believe that enterprises that can establish competitive advantages in high prosperity market segments and make continuous breakthroughs in key core parts are expected to stand out in the follow-up market competition. We suggest paying attention to Estun Automation Co.Ltd(002747) , Leader Harmonious Drive Systems Co.Ltd(688017) , Zhejiang Shuanghuan Driveline Co.Ltd(002472) .
Risk warning: market risk caused by the impact time of the epidemic exceeding expectations; The risk of further deterioration of China US comprehensive relations; The economic situation outside China has deteriorated sharply; The decline in the overall profitability of the industry due to the decline in the price of downstream products; Siasun Robot&Automation Co.Ltd(300024) industry low-end overcapacity risk; Market risks caused by Sino US trade disputes, intensified global geopolitical conflicts and other black swan events; Systemic risk of secondary market outside China.
(Guokai securities)
