\u3000\u30 Beijing Zznode Technologies Co.Ltd(003007) 72 Zhejiang Windey Co.Ltd(300772) )
Event: the company released its annual report for 2021, and achieved a revenue of 16.041 billion yuan, a year-on-year increase of 39.75%; The net profit attributable to the parent company was 490 million yuan, a year-on-year increase of 183.13%; Deduct non net profit of 480 million yuan, with a year-on-year increase of 251.50%; EPS1. 59 yuan.
The sales volume of fans increased rapidly, and the revenue and market share increased steadily. In 2021, the company’s fan sales capacity was 5464.9mw, with a year-on-year increase of 50.62%; The number of units sold increased by 178579% year-on-year. The average unit price of the company’s wind turbine was 2.88 yuan / W, a decrease of 7.92% compared with 2020. However, due to the faster growth of sales volume, the revenue of wind turbine still maintained a good growth. In 2021, the company’s wind turbines achieved a revenue of 15.726 billion yuan, a year-on-year increase of 38.69%. With the growth of wind turbine shipments and the slight year-on-year decrease of 47.57gw of new wind power installed capacity in China, the market share of the company’s wind turbine increased steadily. According to bnef data, in 2021, the company added 7.64gw of hoisting capacity in the Chinese market, with a year-on-year increase of 91.96%. Its market share in China increased from 7% in 2020 to 14% in 2021, and its market share ranked top 3, second only to Jinfeng and vision.
The large-scale fan has effectively helped reduce the cost and improved the profitability year-on-year. In 2021, the bidding price of wind turbine continued to decline, and the average price of single watt of wind turbine of the company also decreased. The company accelerated the expansion of fans, with sales capacity above 4MW accounting for 13% and above 5MW accounting for 6%, significantly higher than that in 2020. The large-scale fan effectively promoted the cost reduction. In 21 years, the average single watt cost of the company’s fan was 2.40 yuan, a year-on-year decrease of 10.96%, which was greater than the change of the average sales price, resulting in the improvement of the company’s profitability. Even considering the adjustment of transportation costs, the gross profit margin of the company’s fans was 16.46% in 2021, with a year-on-year increase of about 3PP; Excluding the freight factor, it increased by about 7pp year-on-year, fully highlighting the cost reduction and profit advantages brought by large-scale.
The proportion of R & D investment has increased, Haifeng series has made continuous breakthroughs, and the company has broad long-term growth space. The proportion of R & D investment of the company increased by 0.35pp to 4.12% year-on-year, mainly focusing on the R & D of sea breeze, large units and core parts. On this basis, the Shanghai wind project has made continuous breakthroughs, completed the design and certification of 7mw and 9mw platform sea wind turbines, and has a clear and broad growth space under the background of the high growth period of the “14th five year plan” sea wind.
Profit forecast and investment suggestions: with the rising cost of raw materials and the sharp decline in the bidding price of wind turbines, the company has highlighted its profitability through large-scale cost reduction. We expect that the net profit attributable to the parent company will maintain a compound growth rate of 23.39% in the next three years and maintain the “hold” rating.
Risk tip: the risk of rising raw material costs and declining profitability of the company; Risk of exchange rate fluctuation; Risks of policy changes.
